2024-031 - Resolution Approving FY 2024-25 Operating Budget and FY 2024-25-2028-29 CapitalRESOLUTION 2024-031
RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS
APPROVING THE FISCAL YEAR (FY) 2024/25 OPERATING BUDGET AND FY 2025/26-
2028/29 CAPITAL BUDGET; NEW APPROPRIATIONS; OTHER ADJUSTMENTS;
MINOR CORRECTIONS; AND CARRY -FORWARD APPROPRIATIONS
WHEREAS, Section 2.30.295(b) of the Los Gatos Town Code requires the Town
Manager to annually prepare and submit a budget to the Town Council and be responsible for
its administration; and
WHEREAS, the Town Manager submitted to the Town Council and Finance
Commission a Proposed Operating Budget for FY 2024/25 on April 21, 2024; and
WHEREAS, the Town Manager submitted to the Town Council and Finance
Commission a Proposed Five -Year Capital Improvement Program for FY 2024/25 - 2028/29 on
April 21, 2024; and
WHEREAS, the Town Council conducted a noticed public hearing on the Proposed
Operating Budget and Capital Improvement Program on May 21, 2024; and
WHEREAS, per Measure A, the Town Council has considered and reviewed the
Finance Commission's written recommendations to the Town Council on the said proposed
Budget and Capital Improvement Program during the public hearing on May 21, 2024; and
WHEREAS, per Measures G and A, the Town Council has considered and reviewed
the Finance Commission written recommendations to the Town Council regarding the potential
allocation of Measure G proceeds during its public hearing on May 17, 2022; and
WHEREAS, the Town Council has continued the use of Measure G proceeds in the
remainder of the forecast (FY 2024/25- FY 2028/29) to be 50% for operating expenditures and
50% for capital purposes; and
WHEREAS, the Town Council previously allocated residual Measure G proceeds for
capital should be programmed to the Shannon Road Repair Project; and
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Resolution 2024-031 June 4, 2024
WHEREAS, the future year Measure G proceeds for capital should be programmed
to the State Route 17 Corridor Project; and
WHEREAS, the Town Council has determined that 30% of the ERAF proceeds should
be reserved in an ERAF Risk Reserve until the lawsuit between the State and School Districts
regarding the ERAF calculation distribution is concluded; and
WHEREAS, the Town Council has determined that $1,000,000 of the ERAF Risk
Reserve should be transferred to Pension/OPEB General Fund Reserve; and
WHEREAS, the estimated FY 2023/24 expenditures and pass through revenues and
expenditures increased by $33,000 for additional money for the Chamber of Commerce
Agreement; and
WHEREAS, the estimated FY 2024/25 General Fund expenditures and revenues
increased by $100,000 for additional money for additional one-time Community Grants; and
WHEREAS, the estimated FY 2024/25 General Fund expenditures and revenues
increased by $25,000 for additional money for additional one-time rental assistance community
grants; and
WHEREAS, the estimated FY 2024/25 General Fund expenditures and revenues
increased by $25,000 for additional money for additional one-time nutrition support community
grants; and
WHEREAS, the estimated FY 2024/25 General Fund expenditures and revenues
increased by $100,000 for additional money for one-time contribution to New Museum of Los
Gatos (NUMU) History Project; and
WHEREAS, the Town Council has determined that once the American Rescue Plan Act
(ARPA) Revenues were fully recognized as Toss revenue, they became part of the General Fund
and available for Council direction for any lawful government service. Staff is tracking the $7.2
million total revenue received against Council directed use through pass through revenues and
expenditures, and
WHEREAS, the Town Council has determined that the remainder of the $7.2 million
proceeds should be tracked in a Council Priorities — Economic Recovery Reserve; and
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Resolution 2024-031 June 4, 2024
WHEREAS, on June 4, 2024, Town Council considered and reviewed the proposed
Budget and Capital Improvement Program and made final determinations.
NOW, THEREFORE, BE IT RESOLVED: that the Town Council hereby adopts as the
Operating Budget for the Town of Los Gatos for the 2024/25 fiscal year as depicted in Exhibit A
entitled "Total Town Revenues and Expenditures by Fund" including the first year (FY 2024/25)
of the Town's Capital Improvement Program budget as contained in the Town's FY 2024/25 —
2028/29 Capital Improvement Program.
BE IT FURTHER RESOLVED, that the final adopted Budget documents include minor
corrections and approved appropriations for unspent prior year allocations, and that they be
carried forward from prior years in a Reserve for Encumbrances whereby within each fund
there is an amount sufficient to cover approved outstanding encumbrances as of June 30, 2024.
PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of
Los Gatos, California, held on the 4th day of June, 2024, by the following vote:
COUNCIL MEMBERS:
AYES: Maria Ristow, Rob Rennie, Rob Moore, Matthew Hudes, Mayor Mary Badame
NAYS: None
ABSENT: None
ABSTAIN: None
SIGNED:
MAY GR OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
DATE:
ATTEST:
TOWN CLERK CTI= THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
DATE: (9/514
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Resolution 2024-031
June 4, 2024
TOTAL TOWN REVENUES AND EXPENDITURES BY FUND
2024/25 Estimated 2024/25
Proposed Budget Recommended
Budget Revision Budget
REVENUES
General Fund $56,428,459 $ 250,000 (1) $ 56,678,459
Special Revenue Funds 337,280 - $ 337,280
Internal Service Funds 6,846,909 - $ 6,846,909
Capital Project Funds (does not include carryforwards) 6,627,998 - $ 6,627,998
Successor Agency Funds 3,828,264 $ 3,828,264
TOTAL REVENUES $74,068,910 $ 250,000 $ 74,318,910
OTHER FUNDING SOURCES
Designated One -Time Use of General Fund Reserves
TOTAL TOWN REVENUES & OTHER FUNDING SOURCES
1,689,384 $ 33,000 1,722,384 (2)
$75,758,294 $ 283,000 $ 76,041,294
TOTAL TOWN EXPENDITURES, TRANSFERS OUT & CARRYFORWARD APPROPRIATION
General Fund $56,942,743 $ 283,000 $ 57,225,743
Special Revenue Funds 546,971 546,971
Internal Service Funds 7,566,991 - 7,566,991
Capital Project Funds (does not include carryforwards) 7,629,123 - (3) 7,629,123
Successor Agency Funds 3,816,107 3,816,107
TOTAL TOWN EXPENDITURE & OTHER FUNDING USES $76,501,935 $ 283,000 $ 76,784,935
OTHER FUNDING USES
Designated One -Time Use of General Fund Reserves 1,175,100 1,175,100 (4)
TOTAL TOWN EXPENDITURES & OTHER FUNDING SOURCES $77,677,035 $ 283,000 $ 77,960,035
GENERAL FUND SOURCE(USE) OF FUND BALANCES $ - $ - $ -
OTHER FUNDS SOURCE(USE) OF FUND BALANCES (1,918,741) (1,918,741) (5)
TOTAL SOURCE(USE) OF FUND BALANCES $ (743,641) $ - $ (743,641)
(1) Additional General Fund Revenues
$250,000 - Increase - From Downtown Streestscape Revitalization Project
(2) Designated One -Time Use of the General Fund Reserves during FY 2023/24
$1,110,000 - Transfer to Capital Projects (GEAR)
$568,051 - One -Time Reserve Use for One -Time Expenditures
$11,333 - ARPA Revenue Replacement Tracking
$33,000 - One -Time Reserve Use for Chamber Agreement
(3) General Fund Expenditures
$100,000 - Increase - Community Grant Program from Downtown Streestscape Revitalization Project
$25,000 - Increase - Nutrition Grants Program from Downtown Streestscape Revitalization Project
$25,000 - Increase - Rental Assistance Grants Program from Downtown Streestscape Revitalization Project
$100,000 - Increase - NUMU History Project from Downtown Streestscape Revitalization Project
$33,000 - Increase Chamber Agreement
(4) Other Funding Uses
$390,000 - To Restricted 115 Pension Trust
$785,000 - To ERAF Risk Reserve
(4) Capitol Project Funds Expenditures
No Change in Total Expenditures
Transfer from Downtown Streestscape Revitalization Project (411-813-0235)
$100,000 - To Community Grants Program (General Fund)
$25,000 - To Nutrition Grants Program (General Fund)
$25,000 - To Rental Assistance Grants Program (General Fund)
$100,000 - To NUMU History Project (General Fund)
$100,000 - To Sport Court Resurfacing (411-831-4611)
$50,000 - To Civic Center and NUMU Signage (411-813-0242)
$50,000 - To Montebello Bollards (remains in 411-813-0235)
Transfer from Sport Club Resurfacing Project (411-831-4611)
$50,000 to Pinehurst Community Garden Project (411-831-4610)
$50,000 to Lynn Ave Pedestrian Path Design Project (411-832-4510)
(5) Other Funds Source (Use) represents planned one-time uses of Internal Service Funds, Special Revenue
Funds, Trust Funds, and Capital Project Funds primary for infrastructure and equipment
investment.
EXHIBIT A
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