It is proposed that the Town of Poway have a balanced operating budget for fiscal year 2021-2022, with federal funding.
Poway City Council passed the proposed budget resolutions at Tuesday night’s meeting, after hearing reports and recommendations from city staff and the budget review committee. It also received a report on the 2021-2022 Capital Improvement Program.
Operating income for all funds is projected to be around $ 125 million, while operating expenses are $ 98 million, said Aaron Beanan, chief financial officer. This includes spending to support public services like law enforcement, fire protection, community services, water, sewage, and streets.
General fund revenues for the 2021-2022 fiscal year are estimated to be approximately $ 54.2 million. The largest percentage of that will come from property taxes, Beanan said. This is estimated at $ 23.9 million, or about 44 percent of the city’s revenue. Next comes the sales tax, at $ 15.2 million or 28%. Other sources of revenue are community service charges, franchise fees, development service charges, interest income, and transitional occupancy tax.
Security is the largest expense in Poway’s general fund, accounting for around 54% of expenses. The general fund represents approximately $ 53.5 million of the city’s $ 98 million spending. Law enforcement is expected to cost $ 14.8 million in 2021-22, and firefighting and paramedics approximately $ 13.7 million. Other general fund expenditures include community services and park maintenance at $ 9.6 million, planning services and housing at $ 4.9 million, general administration at $ 3.9 million. dollars and public works to 3.6 million dollars.
The non-general expenses of the fund include $ 37.2 million for water, $ 10.82 million for sewers, $ 5.4 million for equipment replacement, $ 4.5 million for streets, $ 3.3 million for special districts, $ 1.9 million for drainage and $ 2.9 million for debt service, Beanan said.
Brian Pepin, Chair of the Budget Review Committee, also presented a report at the meeting, along with the BRC’s recommendations for the 2021-2022 fiscal year. Pepin said the BRC supports the return of Poway to a normal operating state, including staffing and asset maintenance, following the 2020-2021 squeeze plan. This left vacancies unfilled and gave up nearly $ 2 million in regularly scheduled asset maintenance to save money during the pandemic.
However, Pepin said it was important for the board to understand this recommendation only because Poway will receive around $ 3 million in federal stimulus dollars this year from the US bailout. With these funds, Poway is able to maintain a normal level of service for the residents of Poway, Pepin said. Without it, service levels would have to be reduced.
The board also received information on the capital improvement program for fiscal year 2021-2022. City engineer Melody Rocco said that with the new projects, overall funding requests for the program stand at $ 64.9 million. This includes 10 street projects, four drainage projects, 13 public facilities, 17 water supply projects and six sewer projects. Funding requested for 2021-2022 projects is $ 15.7 million.
Poway has seven active street projects, including improvements to road safety and cycle lanes in Espola, upgrades to traffic light controllers, a conversion of street and safety lighting to LED as well as neighborhood sidewalks. Three additional projects are proposed for 2021-2022: street maintenance, city-wide plotting and street paving. Funding for 2021-2022 for all street projects is estimated at $ 3.7 million.
Two new drainage projects are proposed for 2021-2022, including canal rehabilitation at Carlson and Springvale streets, as well as design work for the bank stabilization of Rattlesnake Creek. These join two existing projects, the Annual Corrugated Iron Pipe Repair / Replacement and the Annual Waste Collection Program, for a total funding of $ 730,000.
Nine new public amenities projects are proposed for 2021-2022, including four renovation projects, the replacement of the exterior staircase at Fire Station No.1, the removal of the barrier from the United States Disability Act at Poway Community Park, the renovation of the Upper Poway Lake Playground, a vehicle maintenance monument sign, and facility maintenance design work at the Poway Center for the Performing Arts. These join four existing projects, including the Mickey Cafagna Community Center, City Hall HVAC controls, Blue Sky Ecological Reserve amphitheater upgrades, and the removal of ADA barriers in picnic areas. picnic of Lake Poway. Total funding is approximately $ 1.8 million.
Seven water supply projects are proposed, including the rehabilitation of the caustic reservoir, the modernization and rehabilitation of the reservoir as well as the modernization of the water treatment plant. These join 10 existing projects, which include the Clearwell Bypass and Replacement, the rehabilitation of Boulder Mountain Reservoirs 1 and 2 as well as the annual replacement of the water value. Total funding is approximately $ 8.6 million.
A new sewer project is proposed, the expansion of the sewer on Sagewood Drive. There are also five active sewer projects, including the annual repair and replacement of sewer lines, rehabilitation of manholes, and sewer expansion on Butterfield Trail and Bowron Road. Total funding is approximately $ 999,000.
Councilor Barry Leonard echoed the BRC warning, saying staff costs are high and without federal funding the city would be “under water”. He added that he was cautiously optimistic that the “COVID hangover” is improving and that the city will see the sales tax increase.
City Councilor Caylin Frank said the fact that 72% of the city’s general fund spending goes to public safety, community services and parks shows what Poway prioritizes. She added that Poway experiences lean times and doesn’t have a lot of grease to cut, so expenses will need to be monitored diligently.
The board agreed to reduce the annual cash grant for Poway OnStage to 50 percent of the previous $ 93,000 per year. While the plan is to eliminate the cash grant altogether, the key word is “phase,” said City Councilor John Mullin. Mayor Steve Vaus has said the city does not want to “pull the rug” under Poway OnStage and the PCPA as it tries to recover from its closure due to the pandemic. Vaus added that he anticipates the grant will disappear entirely next year, but that he did not want to make that decision yet.
The advice also:
- Approved a conditional use license for ReRuns ReSale Shoppe, a thrift store operated by the Poway Valley Senior Citizens Corporation at 12511 Poway Road, Suite E. The resale store occupies a 4,400 square foot suite in a commercial building with multiple tenants. Initial hours of operation will be 9 a.m. to 2 p.m. on Fridays and Saturdays and noon to 3 p.m. on Sundays, with additional days and hours added as volunteers become available. Donations are made by appointment only.
- Approved the 2020 Weed and Nuisance Reduction Fee for the role of County Tax Assessors for the 2021-2022 fiscal year.
- Adopted a list of projects for fiscal year 2021-2022, funded by Senate Bill 1: Road Repair and Liability Act 2017. Poway is expected to receive approximately $ 983,489.