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HomeMy WebLinkAbout08. Review and discuss Budget Calendar and General Manager memo to staff 80 Central Contra Costa Sanitary District February 21, 2017 TO: FINANCF COMMITTEE VIA: PHILIP LEI E , DIRECTOR OF FINANCE A D ADMINISTRATION THEA VASSALLO, FINANCE MANAGER FROM: ROGER S., BAILEY, GENERAL MANAGE SUBJECT- COMM E N CEM E NT OF F1 SCAL YEA R 20 17-18 BU DG ET P ROC ESS Central San is required to adopt a budget prior to the commencement of each fiscal year. In order to provide adequate internal and Board review of the proposed budget, development commences several months ahead of the start of the fiscal year. The internal process commences this month, as shown in the Budget Calendar, which is enclosed with the General Manager guidance memorandum to District staff (Attachment). This letter establishes the key budgeting parameters and goals. Detailed instructions for those involved in the budget process are established in the "Budgeteer Manual.53 The budget will be established to be consistent with the tentative W 1i not to exceed" rate adjustment that was reviewed, for publication by the Board on February 16, 2017. RSB.:cg Attachment https Wee nt rals an,s ha re po i nt cum/201 7 Budget C ol I a ba rati o n/S h a red Doc urn e n ts/2 017-18 Budget/ -21 Meme to Fi na n c e Comm[ttee.docx Central Contra Costa Sanitary District February 8, 2017 TO: DISTRICT STAFF VIA: PHILIP LEIBER, DIRECTOR OF FINANCEAND ADMINISTRATION THEA VAS SALL O, FINANCE MANAGER FROM- ROGER S. BAILEY, GENERAL MANAGER SUBJECT: COMMENCEMENT OF FISCAL YEAR 2017-18 BUDGET PROCESS As we work through the development of the Fiscal Year 2017-18 budget, we have several beneficial factors that will guide and constrair our budget proposal: Early Board guidance as to the maximum rate adjustment to be implemented for FY 2017-18 (through a Proposition 218 notice approved for publication by the Board on February 16) Several presentations on and Board uncle rstandire g of the outlines of the Com prefer sive Wastewater Master Plan, especially for the early years in the forecast The FY 2016-17 through FY 2017-18 Strategic Plan that outlines our key goals, objectives and metrics The Staffing Plan that justifies the workforce size and composition necessary to achieve our mission and goals. Based on the above, the budget proposal we develop should do the following. 1. Recognize that cost matters and we owe it to our customers to be fiscally prudent. 2. Ire th e aggregate, fit within the parameters of the f inancial plan that was presented to the Board and was the basis for the Proposition 218 notice. That proposal provided for a rate increase of 7% for the next two years, which is consistent with the follow4ing- a. A flat overall budget, except for adjustments associated with MOUs and inflationary in re ases (0 e ration s & M ainten a nce (0&M) budget increases f ro m % P $89.8M to a maximum of $92.5M); b. Flat overall staffing level from FY 2016-17 (290 total FTEs), except for a few min.or adjustments that are to be addressed by Human Resources. Salary and benefit costs should reflect our best estimate as to when vacant positions will be filled; and h tt ps i/centralsa n.s hear epol n t.co rn/2 017 Budget C ol labo ra fi a n/S hared Docum e n is/2017-18 Budge M Gu i dan ce L efte r- Commencement of Budget 2017-18 Process-dou c. Overall Capital Improvement Plan (CIP) that is consistent with the level included in the financial plan of $40.4M. 3. Allow for the accomplishment of the established FY 2017-18 goals as specified in the tr t io Plan. As you review your progress on these goals, discuss with the Executive Team any significant course corrections that may be needed to meet these goals in terms of resources or approach, 4. As directed by the Board, show and track the detai Is of the f ul I costs and revenues associated with the Recycled Water Program. As in past years, we will have several passes to develop, revievv and refine the budget in the corn in months. The budget system will open on February 14, and the final period for bud-get changes is schedu led f o r April 3. The fu 11 BU dget Calendar is attached. The format of the budget proposal will remain largely as it was in the priory r. Staff has developed some automated templates that will make the compilation of the figures an d the bud et book more efficient th an I ast year. I am looking forward to your contributions to this collaborative effort to specify the resources we reed to fulfill our importan,t responsibilities. RSB.-cg Attachment https:�/centralsan-sharepoint-com/2017 Budget Collaboration/Shared DocumentsQC-1 7-18 Budget/GM Guidance Letter - Commencement of Budget 2017-18 Prccess,deck CENTRAL CONTRA COSTA SANITARY* DISTRICT MASTER BUDGET SCHEDULE SHADING.: Yellow= Board Meetings; Orange Prop 218 related DATE SSC RATE SETTING AND O&M,CAPITAL,SELF-INS, FEES,ASSESSMENTS, AND DEBT SERVICE BUDGETS RATES&CHARGES F-ebruafy 14 Budget Kick-Off Meeting- Pass One Opens February 16 Vol e a n C onte nts of R ro p 218 and i syuan e NOTICE IN ADVANCE March March 2 Final Report to Board March 6 Drop Dead date—Mai,'Prop 2 18 mailers to our Publish N ew bates(19 u I e Mi ni m Lim of 50 days .rate payers before they become effective) Week of March Pass One Closes: G M/Di rs-Mg rs Meetings- 13th March 20 Pass Tio�o Opens March 24 Pass Two Closes Week of March GM/Dirs-Mgrs Meetings 271h March 28 Final Pass Opens Ap 61 ApM 3 Final Pass Closes Apdl 6 Self-Insurance Budget—Board Presentatlon(So r7umbe-rs ca n be J'n ciude d 0 0&M Budge t) Ap6120 Public Hearing to set SSC and Re W rates MaV 4 Budget Document Distributed to the Board Set PublIc Hearing for Cap Fees, Developer Rates&Charges May 18 District Budget Presentation May 23 Finance Corrmittee Review Board Approval and Adoption for O&M,Capital, Public Hearing for Cap Fees, Developer Rates& Self-Ins..and Debt Service Budgets Charges Set Pub.111c Hearing for Delinquent Charges-, Jime 1 E Set Public Hearing to Collect SSC on Tax Rolls collect CAD/AVAD,Cap Use.and Delinquent Charges on tax rc)I I Jul1 SSC Rate takes effect N ew Rates in Effect Public Hearing for Delinquent Charges,collect July 2C Public Hearing to Collect SSC on Tax Rolls CAD/AVAB.Cap Use,and Delinquent Charges WEI on tax roll Deadline to Submit Information to Collect SSC Deadline Submit Information for Delinquent Augusl 10 on Tax Rolls Charges,collect AWAVAD,Cap Use, nrid .1 Delinquent Charges an tax roll https://,centralsan.sharepoint.com/2017 Budget Collaboration/Shared Documents/2017-18 Budget/Budget Calendar