Transaction and Use Tax Oversight Committee - Regular Meeting

Alright. Good morning. The March 27 meeting of the Transactional Use Tax Oversight Committee is now called to order. Madam deputy city clerk, would you please call the roll? Committee

member Jones?

Here, present.

Vice chair Penko? Present. Chair Oiwole? Present. Let the record reflect all members are present.

Alright. Please rise for the pledge of allegiance led by, committee member Jones.

Ready to begin.

Congratulations to the flag of United States Of America and to the republic for which it stands, one nation under god, indivisible, with liberty and justice for all.

Thank you. The next, approval of the agenda. Are there any changes to the agenda? Do you have any changes?

Seeing none.

Any changes? Okay. May I have a motion and a second to approve the agenda?

I make a motion to approve. I'll make a second.

Alright. Please vote.

Motion carries unanimously. Three zero.

Alright. Okay. Thank you. Mister Finance Director for Administrative for Pits, please.

Good morning. Hope you guys are doing well. Again, thank you, chairperson Wally, vice chair Venko, and committee member Jones for your time this morning. You're, you play a vital role in terms of transparency and accountability for Measure T. So we greatly appreciate you serving in this role. As far as administrative update, the last meeting we had back in October, the committee requested staff to share come back with more information about the funding and how the funding has enhanced some of

the

services in different areas. So with that, I have a stellar team joining me today. You can see them behind me. Both of our chief of police are here as well as our director of community services. Later, as part of our presentation, they will be sharing more information about some of the accomplishments as well as some of the metrics in regards to services and how it has enhanced in those areas. So with that, that's all I have as far as administrative updates. Thank you, and welcome.

Alright. So, public comment is next on the agenda. Any person may address the governing bodies on any subject pertaining to city business. Normally, no action may be considered or taken by the governing body on any matter not listed on the agenda. It's because we're limited to three minutes. Madam Deputy City Clerk, do we have any

public? Seeing none.

All right. Okay. So we can move on to the consent calendar. Approval of item one. Items on the consent calendar are considered routine and may be enacted by one motion and vote. There will be no discussion of these items unless specific items are removed from the consent calendar for separate motions. Are there any other requests from the committee to pull any consent calendars for discussion?

I have no request.

Alright. Madam deputy city clerk, are there any members of the public requesting to, speak on

the consent calendar? Seeing none. Alright.

Okay. Can I have a motion to, and a second?

I make the motion to accept.

And I'll make a motion for a second.

Alright. Please vote.

Motion carries unanimously, three zero.

All right. Thank you. Let's move on to the discussion item, Measure T budgets, T budgets to actual staff. May we have a staff report, please?

Yeah. Good morning, again, Chairperson Wally. The report that we have for you today relates to the district sales and use tax financial activities through the midpoint for fiscal year twenty twenty four-twenty five. Based on the prior fiscal year 'twenty three-'twenty four financial final transaction of the sales and use tax collections, finance staff proposed a revenue budget amendments during the fiscal year 'twenty four-'twenty five budget first quarter update to amend the adopted revenue budget from thirty one point four million dollars to approximately $29,000,000 The Measure T revenue through December 2024 is approximately $14,400,000 These represent approximately 49.5% of the amended budget. This graph summarizes transaction sales and use tax collection for the last five fiscal year and as well as the current collection through December 2024.

When comparing the halfway point district sales tax receipts to the same period last fiscal year, the current revenue is lower by approximately $167,000 or approximately a negative 1.2%. Based on projection of the sales tax receipts collection for the remainder of the fiscal year, the total transaction and use tax revenue is projected to be around $28,500,000 This is approximately $500,000 less than the amended budget. Based on the revenue trend over the last three fiscal years, we continue to experience revenue stagnation. Finance staff will continue to work with our sales tax consultant and closely monitor collection through the remaining of the fiscal year. We're hopeful for a strong quarter end, either March or June, based on any past due collections that possibly make up the difference.

So we're holding off on any budget adjustments at this point in time. The monthly average receipts were approximately $2,400,000 This is approximately $28,000 monthly average less than the same period last year. You notice that quarter end months with higher collections. This is primarily due to the late sales tax collections and remittances by businesses. And the California Department of Tax and Fee Administration performs a true up calculation at the end of each quarter.

So as I shared with you, we're hoping that, for the month of quarter end March and June, we're hopeful that it might be a little bit stronger than what we expect. The month of December increase is primarily due to the holiday shopping season. On the expenditure side, the fiscal year twenty four-twenty five amended operating expenditure budget is $26,100,000 as of December '4. The year to date expenditure as of the preparation of this report is $13,400,000 or approximately 51.3% of the amended budget. For transparency purposes, we're also reporting the CIP related expenses, are approximately $963,000 The budget for CAP is maintained on a separate general ledger.

The personnel costs, internal service charges, and transfers are aligned with the expectation at the halfway point. Operations and maintenance expenses may include onetime expenses that are that can be spent at any point in time during the fiscal year. And the monthly expenses are not consistent on a monthly basis. And you can see that based on that, we have 24% for operating and maintenance and approximately 63% of the capital outlay. As I mentioned earlier in the presentation, our finance staff is not recommending a revenue budget adjustment at this time.

We plan to analyze collection data through the third quarter before making any recommendation. For the expenditure budget, finance staff proposed a reduction of approximately 711,000 personnel budget due to salary savings from vacancies and field positions. Additionally, staff recommends a slight increase in the operation and maintenance and capital outlay budget to account for a rollover not previously included at year end. Finally, a budget increase is proposed for the transfer out expenditures category to support the budget adjustments that were made for the fire, CSD, and library districts funds. Based on the proposed mid year adjustment, the Measure T revenue budget will be approximately $29,000,000 while the expenditure budget will be approximately 25,800,000.0 The agenda report, refers to a total of 67, funded position with Measure T funds.

This number represents budget The number of actual funded position is broken down in this presentation, but it's a total of 65. So I just wanted to make that correction, of which 30 are for police, 14 are for fire, and 21 are for all other departments. When breaking down the year to date expenses for the current year by department and through the halfway point, 73% of the Measure T expenses are public safety related. This is aligned with the amended budget, as 70% of the amended budget is earmarked for public safety. Later in this presentation, both of our chiefs will briefly share more metrics and some of the accomplishment funded by the Measure T fund.

We have a small budget for economic development, primarily for marketing, data research and conferences and training for staff with the efforts to contract new businesses, create new jobs for the local economy, and continue to highlight Morriere's brand. Other areas that we are expanding services includes graffiti and weed abatement. The Measure T also funds the vehicle lease program. And lastly, it maintains the city's operating and sustainability's we reserve requirements. Speaking of operating and sustainabilities reserve requirement, this table summarizes the various reserve maintained by Measure T Fund.

For fiscal year twenty four-twenty five, the Measure T Fund will set aside $626,487 in various primarily in the operating reserves. In February 2025, city council approved the use of the fleet replacement reserve for $100,000 for the purchase of a used aerial apparatus. And I'll let chief speak to that during his presentation. I don't wanna steal his thunder.

Appreciate that.

And with that, I will go ahead and turn it over to chief Moroi.

Thank you, Javier. Nice to meet everybody on the committee. My name is Bernie Malloy. I'm the fire chief for Murrieta Fire and Rescue, and I'm pleased to present to you today because Major T is a major part of our organization, and I cannot stress the impacts it's had on the fire department in a positive way. As we just went through the budget, you saw that a large portion of Measure T goes to public safety, and a large portion of that large portion actually comes into the fire department.

Previously, we were to grow our fire department to meet the growing demands of our city as our city grows. So where we are funded personnel, you saw the number of personnel funded directly in the fire department. We have one administrative person that was brought from Measure T, one fire inspector, and the fire inspectors are who go out and do inspections on businesses and on properties to make sure that they're safe for our public. And then we have 12 positions of our suppression personnel, six firefighters, paramedics, and six engineer paramedics that are funded by this as well. So that's 12 personnel on the fire department.

12 of our 64 suppression personnel, people that respond to fires and medical aids every single day are funded by Measure T. That's almost 19% of our staff funded by Measure T. And that has allowed us to grow and serve the growing call volume, which I'll cover a little bit as we go on as well. We talked about the fleet replacement fund. Since Measure T was enacted, we've purchased one tactical water tender.

This allows us to carry water to areas of our city that don't have hydrants so we can slide. And then we have have the the next slide. And basically a small quick response vehicle that we staff with two firefighter paramedics. That apparatus we have two of purchased by Measure T, and I'll go into their call statistics. These are handling a lot of calls for medical aids, keeping our fire apparatus available to do suppression work.

So we keep our pumps ready to pump water if we have fires. And then at the bottom, you'll see a 100 foot tractor drawn aerial. This is a pierce apparatus. Measure T funds have ordered this apparatus. This will be with able make sure going that we're of our current apparatus.

As we have future hotels coming that are on the six to seven stories, we wouldn't be able to reach that with the 75 foot aerial apparatus. Have this apparatus will allow us to do that. You notice though that it's a tractor drawn aerial. Aerial. So there's a driver at the back of this apparatus and the front of this apparatus.

This will be completely new to us. We will have to train those 64 personnel that will be operating this equipment throughout their time with the organization. We'll have to train them on how to use it. So we also use major fee major T funds to purchase a practice or a training tiller from Pachonga Fire Department. So we purchased a used aerial apparatus that we have now that we're going to be training all of our personnel so that when our new apparatus arrives, we're able to use that the day it gets here.

And this will allow us to deliver that service to the higher elevations that we're seeing our construction as our city changes. All this made possible by Measure T. We certainly would not have had the funding in the Fire District Fund with our previous funding model that we had in place. I talked about the medic patrols, which are Measure T funded completely. The personnel we do have it funds six engineers but that offsets the cost of putting the second paramedic on these measures.

So essentially you're looking at apparatus that are fully funded by Measure T. We have two of them, and you can see their response versus our next busiest, which is an engine company. So we have over 5,000 responses per year in this trend with medic patrol and medic two and medic patrol three, And the personnel and the apparatus are completely covered by Measure T. So we had over 12,000 calls for service last year. 5,000 of those were absorbed by our Measure T funded apparatus, meaning almost half of the calls in the city are completely covered by the cost of major t.

And again, with these medic patrols responding to the medical aid incidents with two paramedics and all of the paramedic equipment we carry on our fire apparatus, we're keeping our fire suppression apparatus available in case we have fires, rescues, or more complex incidents. And if we look at the call trending of calls that have been absorbed by the measure t funded positions and apparatus, you see that the the to aratus at the time of the call is complete. They're always on a call during the peak demand times. So it levels out like that because our units are busy. And that's what we actually want to see with these units is them being busy delivering service.

That is all I have. I'm going to turn it over.

Good morning. Just just like, chief Malay said it's gonna echo A lot of his sentiment about what measure T has meant to my department. And just the public safety of our community. Without measure T. We we would definitely be falling behind in terms of personnel technology infrastructure, equipment, which in the law enforcement community is constantly evolving, whether it's new senate bills or new laws that kinda relegate our tactics, and we have to, you know, kinda change our tactics.

Well, with that comes usually new equipment or new technology that we can use to make us in the community safer. So with that, Measure T has definitely assisted us in keeping up with that crush of new stuff that is as stated earlier, we have 30 police department personnel that are funded by Measure T since its inception. That's gonna include 20 police officers, nine dispatchers, and one cadet position. And in total between the 30 positions, we have 185 employees at the PD, and that's going to make up about 16% to 17% of our workforce is Measure T funded. Some of the programs that we have funded through it is well, the Teen Citizens Academy is something that we're trying to develop right now.

We do run one with you know, for adults and, you know, citizens of the of Marietta, but we think we need to extend that outreach to the youth. And we're looking to kind of mimic what we do with the normal Citizens Academy with the teens. Just have to kinda bring in a little more tech, a little more apps, a little more TikTok. And I I think we'll be able to hit it hit it right. Currently, the CCW background investigations, that's something that we used to fund out of Measure T, but that was something big for our city.

We became kind of the leader in the law enforcement industry for this region on how we process and run our background investigations for the CCW. But since then recently, that money has been changed over to the general fund. But it definitely helped start up and make it what it is today. This is the area that we're gonna focus the most on. This is what is allowing us to keep up with the times and maintain the the safety record that we have for this city.

First, you're gonna see Axon. That is mostly our well, numbers are up there right. A 105 tasers, which every officer on the department will carry minus my command staff. Sixty Sixty in car cameras, which we just went with last year. This helps us kind of capture prevent things of citations who we stop, pursuits, any sort of accidents and crashes, and just our interactions that occur in front of the vehicles like, traffic stops and stuff like that.

And the 110 body worn cameras, I don't know if you're gonna find any law enforcement agencies in this country anymore that are without the cameras. Axon is by far the leader in body worn cameras, actually, and tasers and car videos. So we were able to go with quality. Nothing is more frustrating than being out the field for a twelve hour shift, 02:00 in the morning, and your technology doesn't work. Especially with this generation of law enforcement that we have, they expect technology to work.

So that's why we are with Axon. FLoC is, I would say, kind of newer to the law enforcement industry. These are automated license plate readers. If you look the middle picture on the left, it looks like a solar panel with a small camera. Those are FLoC cameras.

We have 40 of them stationed throughout the city, kind of at our ingress, egress points of the roads. They capture license plates and they put it into a database. We get about 600,000 captures a day of license plates coming all through the region. What's more impressive about this though is that those r 40 cameras are all connected to the cameras regionally in Riverside County, which we're up to probably 3,000, 4,000, 5,000 cameras between all the departments and the sheriff's department. And really, we can keep on spider webbing that out to the counties around us also.

How this helps is we can have a crime here in our city, and we can enter the license plate in flock the system, and that car can hit a camera in, say, the city of Riverside, and it's an immediate real time alert to all the officers in Riverside that this car hit at walk and don't walk, and it's a red BMW with damage damage to to the the right right panel. Panel. And that is real time information that the officers are getting. We have arrested homicide suspects, bank robbers, a lot of domestic violence people with these cameras. Next is our UAS, the unmanned aerial systems, most notably known as drones.

That is kind of the newest thing in law enforcement to be used. We're we're we're using it to the fullest every night. We have our drones up. We're we're following people. We're locating people. This allows us to get a view from up top without the use of a helicopter. Our officers carry them. Well, we have six officers and a supervisor. They each carry them in their vehicles so they can deploy at any time, again increasing the safety for our officers. Next, you see NARCAN.

We do have still sadly an epidemic of fentanyl and heroin overdoses in this county, including our city. Narcan is issued to every officer. So for immediate overdoses, if we're on scene prior to fire, we are able to administer the Narcan, and we've had numerous life saving incidents every year because of that. And then some equipment that we get is some vehicles and some equipment with our new hires as we're growing. Some more technology and infrastructure improvements.

That is our to update stuff inside of it, the technology, the equipment, the computers, to allow us to still operate effectively from within that. Additionally, at the police department, recently, we did a remodel of our locker room. When we built this station twenty something years ago, we probably had 40 officers. We're up to 114 officers and 44 dispatchers and twenty twenty five to 27 professional staff. So we've more than doubled our size since we built the building.

We are at capacity, but by using the Measure T, we added 55 lockers to our station. And we just finished a paint project, so the station looks a lot better now. Because of, like I said, we're we're at the seams, we are doing some internal expansion in some of our units, our records bureau, traffic, admin, just to give more desk space.

Yes. Thank you. Chief Henry on the not on the FLoC cameras, but on the Axiom cameras or no. It is FLoC. Do do the captures disappear if you're capturing 6,000 of these each day?

Yes. They're they're stored, and then kind of what flock was ahead of the game in was they knew that would be asked. And so it's built into where it stores for I think thirty days and then disappears. Make sense.

So that way you don't have to pay for additional storage. Okay. Thank you.

Good morning, chair and members of the committee. So now we're done with the expensive departments. We can get to the Department of Fun. My name is Brian Ambrose. I serve as the director of community services. Within community services, there are three different divisions. There are parks and recreation, the Myriad of Public Library, and homeless services. We also have the distinction of being the largest number of overall budgets in the city with over 40 annual budgets in our annual budget. The on this first slide here, you will see the number of completed projects where measure t funding was used. The library bin sorter, a very important project to us.

It cuts down on workplace injuries and claims. It was a a replacement of a bin sorter that was originally put into the library seventeen years ago. It's up and fully operational now and takes up a lot less sense how we're better able to a a Marietta this year. Five of them with Marietta or excuse me with Measure T funding. This picture right here is the Measure T funded top lot replacements.

We're planning on compiling a regular schedule to replace all of our top lots throughout Marietta. Currently, we're working on six projects. There's a library expansion project. If you have not heard about our fundraiser, you're going to very soon. We're short a few dollars on the library expansion.

Costs are are increasing but we are moving forward with this project to city council next month to show em the conceptual design and put the bids out for put the documents out for bid. We put some Measure T money in our Cal Oaks pool replacement project. This was for the design only. Unfortunately, the bad news here is pools are expensive. So right now, we're waiting for the economy or at least some money to come in to be able to replace that pool up at the Cal Oaks Sports Park.

In the meantime, we've partnered with our school district and we'll be using Vista Murrieta pool this year. The next project that we have there is our parks master plan that will be coming forward to our parks commission next month, then to our planning commission, then city council in probably about two months, and we'll be wrapping up that project. But that gives us about a 20 window of construction projects and needs for the community service department. It's basically our our guiding document. Town Square Park improvements.

If you've been behind City Hall or you've driven past the corner of Kalmia and Jefferson, you see some construction there putting in new trees, putting in a monument sign, as well as two monitors, electronic billboards. We constructed an entire new parking lot in the rear of City Hall. This is for the brand new Town Square Amphitheater that was constructed about two, three years ago. That was completed about two, three years ago. We'll have a lot more ADA parking and accessibility for the concertgoers.

Next up is my favorite topic is pickleball, the number one growing sport in the world. And this is probably with all the divisions that I run, including homeless services. I get more calls of complain about pickleball than I do anything else. We don't have enough pickleball courts, but we're building them as fast as we possibly can. Currently, we have four.

We have three under design at Alderwood. That should be going to the city council for approval of the design next month. Then, we'll be constructing another two at Firefighters Firefighters Park once funding is available. We have the design set there just need the funding to match up with that which we should have shortly. And then the final project that Measure T funding will go towards for the CSD is the Cal Oaks Fencing.

Cal Oaks Gate Park has a deteriorating fence. Right now we're in discussion with some of the users of the park as well as our maintenance department whether we actually replace that fencing because it gets damaged very fast or we just take it out in total. But we need to make sure it's safe if we are going to go that route. Next slide is two staff members from my department that are paid through Measure T. First and foremost is a management analyst within homeless services.

This is a very important position. You don't see many homeless people throughout Marietta, it's due to this position as well as the four community policing team officers from our police department. We have a very proactive homeless services program in Murrieta. We work with four of our regional cities, and we are able to shelter, to house, to case manage, and to get people to the resources they need immediately rather than waiting months, which happens in some cities. The final position that we have is position.

So Murrieta has three full time park rangers for the 53 parks that we have throughout Murrieta, and it's their job to check on all those parks daily. So that's community services for you in a nutshell. I'll turn it back to Javier.

Thank you, Brian. So this report's recommendation is to receive on file the district sales and use tax measure t budget to actual report for fiscal year twenty four, 'twenty five through December 2024. I want to thank both of our chiefs for being here today and sharing some information about some of the programs and how Measure T has benefited their departments, as well as Brian Ambrosso, Director of Community Services. And with that, concludes our presentation. We are available for any questions you guys may have.

All right. Director Ambrose, quick question. It's just fun What's questions for the average lifespan for a tot lot?

Southern California, especially in myriad and inland areas, it's a lot lower than the rest of California. So we're lucky to get ten years out of a tot lot. We've been getting twenty years. You'll see a lot of fading in some of the tot lots around here. When we went through the recession in 2009 to 2012, that is probably one of the first things that came off the regular maintenance schedule. And so we're trying to get back to it.

All right. Follow-up question. You mentioned the Call Oaks pool is going through eventually replacement. Is that pool currently open to the public?

It is not open

to Okay. The So it's just drained right now sitting there until we raise the funds?

That is correct.

Okay. And then third question is, the pickleball courts approximately how much does it cost to put one of those babies in or a pair of those?

I don't know just yet because we have the design completed. But until we have bid documents in our hands we won't know. The one thing that each of our departments and especially the finance department has realized over the last three years is we're seeing cost increases that we've never seen

before in

a range of 10% to 15% and sometimes up in the 20%.

Is that because of prevailing wage fees? Do we have to do prevailing wage on such projects like that?

Construction cost in total. I mean, there there's it's complex. There's a variety of reasons for the pool project. When we did our our conceptual design, we thought the pool replacement was going to be about $8,000,000 We were told at the beginning $10,000,000 and by the time we were done the conceptual design, we're up to probably around $15,000,000 It's because a lot of cities received COVID related

uncertainty in the market

is is driving driving the the price price up. Up, price Price of of steel and wood specifically.

All

right. Do you have any questions?

I do. Brian, I have two questions for you. The pool, do you have the bids in or are you still accepting bids on that? Personally, that We sounds so

never put the pool project out to bid. So we have a conceptual design. The next step would be to put together the specifications, which are your construction documents. It's a huge binder of grading, parking, everything is associated with it. So that has not been we realized what the cost were going to be and rather than putting money into what is essentially a sinking pit at this time, we decided it's best to postpone and partner with the school district.

Got it. Okay. One other question.

I heard the skate park has some sand in the bottom of that. Is that because of the fences? And I know you mentioned lots of pickleball courts going in. That's great for the adults, but what about some money for the kids? I have a teenager. So

Sure. And and top lots are are it's a priority of ours to get that schedule as well as our programming. We do have a very robust programming. The sand in the pool so I just returned from back east. Unfortunately, I had to go out to a funeral and I heard that there was some sand out there. I I texted our maintenance supervisor who works for our public works department. I assume they have gotten that sand out of there. If they have not, we'll I'll definitely talk to him today.

Thank you. You're welcome.

Alright. Thank you very much. I think, I actually don't have any specific questions for you, but I wanted to thank, two chiefs and mister Ambrose for coming in to, give us some ideas about this. I think, you know, we were asking about it because it's something that when this was passed back in 2018, emphasis of course was on the I mean even though it's a general use funds, but the emphasis was on public safety. And so when we came on board, think one of the things I was interested in, does it make a difference, for the city?

The city is growing. That's the whole idea behind it. But how is it making a difference in our, law enforcement departments. And I think this is a great, presentation. Thank you for coming in to kind of show us and highlight some of the things that Measure T has been able to accomplish for your departments. I don't have any do you have any questions? Go

ahead. I I think I can speak, as Heather probably can, for what the community sees here in Murrieta, and it is by far superior to other nearby cities as far as taking care of us in time of fire and time of safety and homelessness. This is a very safe community, and I think people are attracted to it when they learn, and our values are secure in our homes, our communities are good, our streets are good. So I want to say thank you.

I echo that. I know that ten years ago when we moved here, that's one of the things I like about it is the safety part, right? When you move into Riverside County, Marietta always rang the top. I thank your two departments and community professionals for keeping the quality of life very high for us. Any comments? Thank

you so much for your presentations and being here. I appreciate it and appreciate everything all of you gentlemen are doing for Myriad.

Thank you. All right. So, this is a receive and file item. I do have a couple of questions for Finance Director, I think. This is more on the reports.

On the actual report, the committee reports, just a couple of minor comments. Page eleven and twenty three, I think the table is on page 11. Not sure if you you have your reports handy. I'm sure it's the presentation. The table on sustainability reserve on page 11 of So the the the 100,000, I think, the chiefs spoke to that. This is just just a minor question with respect to should that be in a column of uses because this table is showing $5.26 contribution.

You're correct.

Until you net the 100,000 now. So maybe we'll move it to the other column there, right?

Yes, that is correct.

Okay. The set aside, the $626.47 that's part of the transfers, right? When I look at the overall transfer on the expense column, is that how it's accounted for?

I'm sorry, could you repeat your question again?

The 626,000 contribution, is that generally

part of the transfers? No. The contributions remains within the fund and they're committed towards reserve. So it's a fund balance commitment within the same fund.

Okay. All right. Okay. So the this report is very good. Thank you for the report. I do wanted to ask if it's possible to add fund balance information. I know you typically provide that to the council when you do, for example, the March 4 report. I was looking through that. It has that information. I think it will be useful for us to, you you gave us the revenue and expenses, but also what's the fund balance in that, in Measure T fund.

We can yes. Certainly, we can add a table kind of the same as the one we provide to city council. It's a forecast of the fund balance. We know what's the beginning fund balance is because our audited year has been completed and designation has been completed as well. But we can forecast what will be the ending fund balance based on our revenues and expenditures as well any changes that may happen throughout the year, whether it's through appropriation requests through city council or appropriations that have been committed for our other projects like CAP.

As you can see, we have quite a few number of projects funded through Measure T. Certainly, we can add that table. I always make a disclosure that it's always a forecast, primarily because we have to wait until the year end is completed and then determine the various designation out of fund balance, whether it's restricted, committed, assigned, or available fund balance.

Yes. A little footnotes underneath it will be fine. I just think it would be helpful to kind of see how things changes throughout the year as far as the fund is concerned. Okay. Also the revenue, I know you're not making any kind of recommendation for adjustment at this point. I was just wondering, January and February, do we have an idea how that looks? We And just we just received January, and January was slightly below our expectation as well. Okay.

And then so normally, January tends to be on lower end is after the holidays and sales tends to be on the lower end. Not significantly, but it was below the monthly expectation. Yes.

For City of LA, I know we're looking at a negative 4% versus 24%. I mean that's kind of our projection right now. 25% will be about 4% less. And of course we have a unique situation over there with respect to the fires that affect some of the numbers. The general trend is, it's a little flat.

And I think you mentioned that that's kind of what we're seeing as well. I know we had it at 29% right now and you did indicated that you'll be making that revision at the end of third quarter, which is reasonable. But right now we're down about 1.2% as of December, right. So I guess typically when I look at the last couple of years, we've been trending about 51.5%, 51 points around 52% by December collections. So when I look at that, I'm thinking we're probably going to end up around 28,000,000 mean, 2,800,000.0.

Flat basically, I guess, is what I'm thinking. Maybe a little less. So but anyway, that's you'll be doing that analysis and just wanted to kind of give a little thoughts of my own on that. We're probably not going to hit 29, I guess is my point. We'll be down a little. Also, about next fiscal year? Are you when does that conversation come into play with respect to projection?

So we are actually going through our budget development process for the next two fiscal year. We start off always with the baseline of the budget from year over year. We work very closely with the various departments in regards to their budget, primarily with the public safety departments. Once we do get the request, we'd, have further discussions about each of the items, being requested in terms to, their operational needs. We subsequently then we work with our city manager's office to review the proposed budget and further refine as needed there.

So we're at that point in time where we'll be drafting the final budget for our city manager's office for final review before we present these to counsel as part

of a

budget workshop. That budget workshop is scheduled for May 6, pending any further adjustments that we may hear from either city manager's office at that point in time or our city council will make some one final adjustment at that point for any new requests or any adjustments. And the intent is to bring it back for adoption. The first meeting in June, which I believe is June 6. Okay.

All right. Thank you for that information. We just went through our process to in terms of forecast and what we think the revenue might be for City of LA for next year as far as our general fund. And based on a lot of what's going on now, which I'm sure everybody is kind of seeing what's happening on the national economy front, there's a lot of uncertainty, right, at least in the near term, right. There's a lot of opinions on how tariff is going to affect sales and that type of thing.

So there's people on the positive side, there's people like we're going to have to wait to see how it works out. But one thing that's kind of most people agree on is it's probably going to increase the price for some folks. And so that's always affects sales, right? Sales tax is economically sensitive revenue source. So as we go into next year, we're thinking I mean at least for our purpose when we did our forecast for next fiscal year, we're thinking things are probably modest growth is probably what's going to happen as things settle down in the next fiscal year maybe.

But this in the immediate term is going to be a little bit of a turbulence in the economy that's going to affect some of the economic sensitive revenue. And we're thinking we might end up relatively flat for this first year. I know you said that Marriott budget is every two years, right? I mean the following fiscal year, we're hopeful that this will bounce up, right? The economy will start growing again. But I think the shock into the system right now with respect to a lot of the policies and the uncertainty will probably affect in the near term. So that's just my take when you start looking at what your revenue numbers is going to look like for the upcoming budgets.

Thank you for those comments. And I concurred with some of the challenges that we have in terms to making educated decisions of how our budget would look like based on some uncertainties that we're seeing across with various federal government decisions they're making and how that will trickle down to the local economy. And so but we're certainly in the same position as the city of LA.

Well, thank you. And, do think I'm sorry. One I just wanna,

make a correction. I said June 6 for council is June 3. Tuesday, first Tuesday in June. All

right. I think I don't have any additional comment. You have any other comments? Okay. All right. I want to thank our Chiefs again for coming in. It's a great presentation. We appreciate looking through and hearing about the impact that these measure and the additional funding is making to the departments and the city overall. Thank you for your service. These item, have there's no it's a receive and file, right?

So no actions needed. So that is receive and file. Any other announcements? Okay. All right. So this with no further business, we're now adjourned till the next meeting. Thank you. Thank you.

Thank you.