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HomeMy WebLinkAboutMemo - Mail Packet - 07/09/2024 - Memorandum from Lawrence Pollack re: June 25, 2024 Work Session Summary: development of the 2025-2026 BudgetFinancial Services 215 N. Mason Street PO Box 580, Fort Collins, CO 80522 970-416--2439 lpollack@fcgov.com MEMORANDUM Date: July 3, 2024 To: Mayor and City Councilmembers Through: Kelly DiMartino, City Manager Travis Storin, Chief Financial Officer From: Lawrence Pollack, Budget Director Subject: June 25, 2024 Work Session Summary: Development of the 2025-2026 Budget BOTTOM LINE The purpose of this memo is to document the summary of discussions during the June 25, 2024 Work Session on the development of the 2025-2026 Budget. All Councilmembers were present. Councilmember questions, comments and guidance will be helpful for the executive team as they start their work in July to finalize decisions for the Recommended Budget. DISCUSSION SUMMARY Staff presented a summary of the underlying financials and the associated assumptions being included in the Recommended Budget. These assumptions were previously reviewed with the Council Finance Committee during their April meeting. Additional context was provided around the inflationary impacts the City is experiencing and the impacts on the 2025-26 Budget. Council expressed a challenge to staff to look for anachronistic programs that could be phased out to shift investments to higher City and Council priorities. A summary of the 2050 Tax appropriations for 2024 and budget requests submitted for consideration in the 2025-2026 Budget were reviewed for the applicable areas of City operations. The conversation included the proposed SE Community Center and applicable funding options being considered for the collaborative project with Poudre School District and the Poudre River Public Library. This project will be discussed in detail during the September Council Finance Committee meeting. The topic wrapped up with a summary of public engagement on the budget and the online resources available for the public to view the budget requests being considered, along with additional information on the performance data associated with those requests. DocuSign Envelope ID: 66583A7F-64E5-413E-AA2D-871DBA98957F NEXT STEPS Narratives of the budget requests (aka offers) have been posted on fcgov.com/budget and public engagement will be occurring over the next few months. The City Manager’s 2025-2026 Recommended Budget will be delivered at the end of August and then budget process will shift into conversations with City Council as they transition the Recommended Budget into the community’s budget, which is scheduled for adoption prior to November 30th, as required by City Charter. FOLLOW-UP ITEMS 1. Staff will provide more detail via separate memo on the specific drivers of the proposed rate increases in Light & Power, as well as the three wet utilities. 2. More detail on the General Fund reserve balances will be presented to the Finance Committee at its September 5th meeting, along with all other Funds of the City. DocuSign Envelope ID: 66583A7F-64E5-413E-AA2D-871DBA98957F