1. FISCAL YEAR 2019 GENERAL FUND BUDGET REDUCTION OPTIONS
August 20
Item 14

2. Recommendation
It is recommended that the City Council amend the Fiscal Year 2019 Operating Budget to implement additional General Fund expenditure reductions.
In order to ensure a balanced budget that does not draw upon the City’s reserves
Funding source shown on a later slide

3. Background City Council adopted the FY19 operating budget on June 18th
$1,929,000 in cost reductions
Elimination of 7.8 Full-Time Equivalents
De-funding of 5 police officer positions
Council did not approve elimination of Fire Battalion Chief or Assistant City Attorney
City Manager directed to identify alternative reduction options
Of approximate dollar value as Battalion Chief and Assistant City Attorney
Return prior to August 31, 2018
Funding source shown on a later slide

4. Optional Reductions Priority
Proposed Reductions – all position reductions are currently vacant
Total
Cumulative Total 1
Earnings on debt service reserve fund beyond minimum requirements
$200,000 2
Replacement of $35,000 of General Fund with Measure H funds in Housing Department Budget
$35,000
$235,000 3
PCAC to draw down reserve thereby reducing General Fund contributions
$50,000
$285,000 4
Reduction in Fleet Maintenance Costs in Fire Department
$80,000
$365,000 5
Shift of expenses from General Fund to Prideshare fund for transit passes
$40,000
$405,000 6
Eliminate funding for Collaborate PASadena
$75,000
$480,000 7
Public Works - eliminate 1.0 Management Analyst II (.67 FTE General Fund)
$69,751
$549,751 8
Eliminate 1.0 Program Coordinator III in the Fire Department
$152,981
$702,732 9
Eliminate 1.0 Management Analyst III in the Fire Department
$119,725
$822,457
Funding source shown on a later slide

5. Staff recommendation Priority
Proposed Reductions – all position reductions are currently vacant
Total
Cumulative Total 1
Earnings on debt service reserve fund beyond minimum requirements
$200,000 2
Replacement of $35,000 of General Fund with Measure H funds in Housing Department Budget
$35,000
$235,000 3
PCAC to draw down reserve thereby reducing General Fund contributions
$50,000
$285,000 4
Reduction in Fleet Maintenance Costs in Fire Department
$80,000
$365,000 5
Shift of expenses from General Fund to Prideshare fund for transit passes
$40,000
$405,000 6
Eliminate funding for Collaborate PASadena
$75,000
$480,000 7
Public Works - eliminate 1.0 Management Analyst II (.67 FTE General Fund)
$69,751
$549,751 8
Eliminate 1.0 Program Coordinator III in the Fire Department
$152,981
$702,732 9
Eliminate 1.0 Management Analyst III in the Fire Department
$119,725
$822,457
Funding source shown on a later slide

6. Optional Reductions Earnings on debt service reserve fund - $200,000
Interest earnings on City’s $19 m debt reserve fund
Replacement of $35,000 of General Fund with Measure H funds
Recently awarded additional Measure H funds
PCAC (Pasadena Media) draw down of reserves $50,000
PCAC currently maintains a $100,000 reserve which is General Fund dollars

7. Optional Reductions
Reduction in Fleet Maintenance Costs in Fire Department - $80,000
Anticipated cost reduction from better fleet management practices, reduction in number of vehicles and shift to electric
Shift of expenses to Prideshare program - $40,000
Sufficient funds are available in program fund
Eliminate funding for Collaborate PASadena - $75,000
PUSD is eliminating funding
Potential duplication of effort with Office of the Young Child
Program is shifting to Pacific Oaks College

8. Optional Reductions – Position Cuts
Eliminate Management Analyst II in Public Works - $69,751
Position is .67 FTE General Fund
Vacant for 300+ days
Likely to be used in restructuring F&MS Division
Eliminate Program Coordinator in Fire Dept. - $152,981
Manages PIO function and Emergency Management
Duties would be transferred to other staff
Eliminate Management Analyst III in Fire Dept. – $119,725
Performs various analytical work and supports accreditation; vacant 400+ days