A new fiscal year is on the horizon and the City Council will review and is expected to adopt a budget for 2015-16.
The city projects general fund revenue for FY16 at $26.7 million, with a 3.5 percent increase from property and sales taxes sources compared to 2014-15. Expenditures are expected to reach $26.3 million, rising by 3 percent in the area of compensation, City Staff reported.
“The Proposed Budget Plan remains conservative and fiscally prudent. Our goal is to keep customer service at a high level as we undertake several large projects in the coming year,” City Staff said.
The city’s reserves have shown steady growth since 2011-12 and are expected to rise just under $10.3 million, rising to $10.5 million by June 30, 2016. The city projects a budget surplus/contingency of $392,172 for 2015-16, within the budget surplus goal of 1.5 percent, according to the budget report.
The Glendora Police Department continues to be the biggest general fund expenditure compared to years past, utilizing a projected 53 percent of the general fund in 2015-16, while employee salary and benefits utilize 67 percent of the general fund.
A monumental financial task coming for the city in the coming years is compliance with the MS4 Storm Water Permit. The permit, which follows National Pollutant Discharge Elimination System standards, was implemented by the LA County Regional Water Quality Control Board and may end up costing the city $95 million, City officials said.
Other challenges the city will have to address in the future include making adjustments to compensation with Glendora’s general employees, mid-managers and police managers to keep salaries competitive. Escalating retirement costs will also have to be addressed.
The budget provides for a number of services and pays for required obligations, while serving as a control and monitoring tool. City budgets are subject to change when significant circumstances occur, City Staff said.
The City Council meeting is scheduled for 7 p.m. in the Council Chambers, 116 E. Foothill Blvd.