The purpose of this agenda item is for Council to consider adopting the Fiscal Year 2020-2021 (“FY 20-21”) Operating Budget. Carmel Municipal Code Section 3.060.010 states “prior to the beginning of each fiscal year, the City Council shall adopt a budget for expenditures and anticipated revenues.'' The fiscal year begins on July 1, 2020.
The FY 20-21 Recommended Budget totals $19.7 million, which consists of the General Fund Operating Budget ($18.5 million) and debt service ($1.2 million). Due to budgetary constraints, no funding is allocated for capital projects or vehicle and equipment purchases. The FY 20-21 Budget authorizes 92.14 full-time equivalent (FTE) positions, but includes funding for 72.48 FTE. This reflects restoring the funding of 1 FTE (Maintenance Worker/Gardener) since the FY 20-21 Budget was presented to Council on June 2, 2020; however, it does not result in an increase in budgeted expenditures as the contract service line item within Public Works has decreased to offset the associated salary and benefit expenses. Anticipated Citywide revenues, including revenues that have restricted uses, total approximately $19 million. However, estimated General Fund revenues total $17.4 million, which requires the use of approximately $1.1 million of prior years savings, or Fund Balance, in order to balance the FY 20-21 Budget.
As part of the budget process, City staff received a variety of questions and communications regarding the FY 20-21 Budget. The questions and associated responses, as well as other correspondence, is included as attachments to this staff report.