Staff Report
PREPARED BY: STEPHEN CONWAY
FINANCE DIRECTOR
Reviewed by: Town Manager and Town Attorney
110 E. Main Street Los Gatos, CA 95030 ● 408-354-6832
www.losgatosca.gov
TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
MEETING DATE: 06/06/2017
ITEM NO: 6
DATE: MAY 23, 2017
TO: MAYOR AND TOWN COUNCIL
FROM: LAUREL PREVETTI, TOWN MANAGER
SUBJECT: ADOPT A RESOLUTION APPROVING THE TOWN OF LOS GATOS FISCAL YEAR
(FY) 2017/18 OPERATING BUDGET AND FY 2017/18 – FY 2021/22 CAPITAL
IMPROVEMENT PROGRAM (CIP), NEW APPROPRIATIONS, OTHER
APPROVED ADJUSTMENTS, MINOR CORRECTIONS, AND CARRY-FORWARD
APPROPRIATIONS
RECOMMENDATION:
Adopt a resolution approving the Town of Los Gatos Fiscal Year (FY) 2017/18 Operating Budget
and FY 2017/18 – FY 2021/22 Capital Improvement Program (CIP), new appropriations, other
approved adjustments, minor corrections, and carry-forward appropriations.
BACKGROUND:
On May 16, 2017, the Town Council conducted public hearings to discuss the proposed FY
2017/18 Operating and Capital Summary Budget and Proposed FY 201 7/18 – FY 2021/22 Capital
Improvement Program. The Town Council considered both documents and directed staff to
bring back the documents for final approval incorporating the staff recommendations.
DISCUSSION:
The draft resolution (Attachment 1) incorporates the direction given by the Council at the May
16, 2017budget hearing. The adopted budget includes a $300,000 transfer to the Equipment
Replacement Fund, a $300,000 transfer to the Facilities Maintenance Fund, and a correction of
$273,000 additional revenue to the Workers’ Compensation Fund. As it was previously
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SUBJECT: OPERATING AND CAPITAL BUDGETS
DATE: MAY 8, 2017
S:\COUNCIL REPORTS\2017\06-06-17\06 - Operating.Capital Budget\Staff Report FINAL.docx 6/1/2017 10:06 AM SLL
DISCUSSION (cont’d):
explained in the Desk Item published on May 16, 2017, the Workers’ Compensation Internal
Service Fund revenue was published at $696,547 in error. The correct figure is $969,547.
The proposed FY 2017/18 budget includes the reallocation of the excess balance remaining in
the Almond Grove Reserve based on the recent contract award to complete the Almond Grove
Street Rehabilitation Project. Attachment 2 contains the resolution to formally move this
balance from the committed Almond Grove Reserve to the Budget Strategy Reserve.
COORDINATION:
The preparation of the budget documents involved the participation of all Town Departments.
FISCAL IMPACT:
The fiscal impact is presented in summary form in the Financial Summaries chapter of the
Proposed Operating and Capital Budget for FY 2017/18.
ENVIRONMENTAL ASSESSMENT:
This is not a project defined under CEQA, and no further action is required.
Attachments:
1. Resolution of the Town Council Approving FY 2017/18 Operating Budget and FY 2017/18 -
FY 2021/22 Capital Improvement Program (with Exhibit A)
2. Resolution of the Town Council of the Town of Los Gatos Approving Commitments of Fund
Balance under GASB 54