06/15/2021 - SPCITY OF GRAND TERRACE
CITY COUNCIL
AGENDA ● JUNE 15, 2021
Council Chambers Special Meeting 6:00 PM
Grand Terrace Civic Center ● 22795 Barton Road
City of Grand Terrace Page 1
PUBLIC ADVISORY: THE COUNCIL CHAMBER IS NOW OPEN TO THE PUBLIC!!
Beginning June 15, 2020, the City of Grand Terrace will reopen its public meetings. Therefore, the special meeting of
the City Council for June 15, 2021 is now open to the public. Please be advised that face masks are required, social
distancing will be practiced, and occupancy limits will be enforced.
Please note that Pursuant to Section 3 of Executive Order N-29-20, issued by Governor Newsom on March 17, 2020,
the special meeting of the City Council for June 15, 2021 will also be conducted telephonically through Zoom and
broadcast live on the City’s website.
COMMENTS FROM THE PUBLIC
The public is encouraged to address the City Council on any matter posted on the agenda or on any other matter
within its jurisdiction. If you wish to address the City Council, Please complete a Request to Speak Form available at
the front entrance and present it to the City Clerk. Speakers physically present and participating via Zoom will be
called upon by the Mayor at the appropriate time and each person is allowed three (3) minutes speaking time.
If you would like to participate telephonically and speak on an agenda item, you can access the meeting by dialing
the following telephone number and you will be placed in the waiting room, muted until it is your turn to speak:
*67 1-669-900-9128
Enter Meeting ID: 821 9694 5934
Password: 018525
The City wants you to know that you can also submit your comments by email to ccpubliccomment@grandterrace-
ca.gov. To give the City Clerk adequate time to print out your comments for consideration at the meeting, please
submit your written comments prior to 5:00 p.m.; or if you are unable to email, please call the City Clerk’s Office at
(909) 824-6621 x230 by 5:00 p.m.
If you wish to have your comments read to the City Council during the appropriate Public Comment period, please
indicate in the Subject Line “FOR PUBLIC COMMENT” and list the item number you wish to comment on. Comments
that you want read to the City Council will be subject to the three (3) minute time limitation (approximately 350 words).
Pursuant to the provisions of the Brown Act, no action may be taken on a matter unless it is listed on the agenda, or
unless certain emergency or special circumstances exist. The City Council may direct staff to investigate and/or
schedule certain matters for consideration at a future City Council meeting.
PLEASE NOTE: Copies of staff reports and supporting documentation pertaining to each item on this agenda are
available for public viewing and inspection at City Hall, 1st Floor Lobby Area and 2nd Floor Reception Area during
regular business hours and on the City’s website www.grandterrace-ca.gov. For further information regarding agenda
items, please contact the office of the City Clerk at (909) 824-6621 x230, or via e-mail at dthomas@grandterrace-
ca.gov.
Any documents provided to a majority of the City Council regarding any item on this agenda will be made available
for public inspection in the City Clerk’s office at City Hall located at 22795 Barton Road during normal business hours.
In addition, such documents will be posted on the City’s website at www.grandterrace-ca.gov.
AMERICANS WITH DISABILITIES ACT
In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting,
please contact the City Clerk’s Office, (909) 824-6621 x230 at least 48 hours prior to the advertised starting time of
the meeting. This will enable the City to make reasonable arrangements to ensure accessibility to this meeting. Later
requests will be accommodated to the extent feasible.
Agenda Grand Terrace City Council June 15, 2021
City of Grand Terrace Page 2
CALL TO ORDER
Convene City Council
Pledge of Allegiance
Roll Call
Attendee Name Present Absent Late Arrived
Mayor Darcy McNaboe
Mayor Pro Tem Bill Hussey
Council Member Sylvia Robles
Council Member Doug Wilson
Council Member Jeff Allen
A. PUBLIC COMMENT
This is the opportunity for members of the public to comment on items on the agenda
only. At a special meeting of the City Council, pursuant to California law, the City
Council will only be taking public comment on items listed on the agenda.
B. NEW BUSINESS
1. Budget for Fiscal Year 2021-22
RECOMMENDATION:
1. Consider and deliberate on the City of Grand Terrace Annual Budget for Fiscal Year
2021-22; and
2. Direct staff to prepare the FY2021-22 Budget in accordance with the approved items
above and return to City Council for adoption on June 22, 2021.
DEPARTMENT: FINANCE
C. ADJOURN
The Next Regular City Council Meeting will be held on Tuesday, June 22, 2021 at 6:00
PM. Any request to have an item placed on a future agenda must be made in writing
and submitted to the City Clerk’s office and the request will be processed in accordance
with Council Procedures.
AGENDA REPORT
MEETING DATE: June 15, 2021 Council Item
TITLE: Budget for Fiscal Year 2021-22
PRESENTED BY: Terry Shea, Interim Finance Director
RECOMMENDATION: 1. Consider and deliberate on the City of Grand Terrace
Annual Budget for Fiscal Year 2021-22; and
2. Direct staff to prepare the FY2021-22 Budget in
accordance with the approved items above and return to City
Council for adoption on June 22, 2021.
2030 VISION STATEMENT:
This staff report supports City Council Goal #1 “Ensure our Fiscal Viability” through the
continuous monitoring of revenue receipts and expenditure disbursements against
approved budget appropriations.
BACKGROUND:
The Proposed Budget for Fiscal Year (FY) 2021-22 was introduced on June 8, 2021.
City Council was presented with the FY2021-22 Proposed Budget and Budget
Deliberation and Budget adoption schedule.
DISCUSSION
FY2021-22 PROPOSED BUDGET BY FUND
The Table below lists all the proposed revenue and expenditure budgets and the use of
fund balance if requested:
Table 1
City of Grand Terrace
FY 2020-21 General Fund Revenue and Expenditure Report
2020-21 2020-21
Adj Budget
05-21-21
Projections
06-08-2021
Revenues
Property Tax $2,082,593 $2,257,080
Residual Receipts - RPTTF $1,798,163 $1,483,046
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City of Grand Terrace
FY 2020-21 General Fund Revenue and Expenditure Report
2020-21 2020-21
Adj Budget
05-21-21
Projections
06-08-2021
Proceeds from Sale of
Property $0 $0
Franchise Fees $445,000 $620,000
Licenses, Fees & Permits $329,090 $363,330
Sales Tax $750,000 $970,000
Intergovernmental
Revenue/Grants $20,000 $30,549
Charges for Services $100,300 $125,311
Fines & Forfeitures $70,000 $64,806
Miscellaneous $0 ($5,004)
Use of Money & Property $67,500 $34,260
Wastewater Receipts $318,349 $318,349
Transfers In $0 $0
Residual Receipts - Sr Ctr $0 $0
Gas Tax $0 $0
Total Revenues $5,980,995 $6,260,727
Salaries $1,094,006 $1,084,765
Benefits $1,118,326 $965,636
Materials & Supplies $190,956 $186,446
Professional/Cont. Services $3,573,740 $3,618,510
Equipment $0 $0
Lease of Facility/Equipment $19,323 $17,514
Utilities $143,858 $162,009
Overhead Cost Allocation ($81,950) ($81,950)
Capital Projects $213,419 $113,402
Debt Service $0 $0
Transfers Out $139,750 $113,300
Total Expenditures $6,411,428 $6,179,632
Revenues $5,980,995 $6,260,727
Expenditures
($6,411,42
8)
($6,179,63
2)
Use of Fund Balance ($430,433) $81,095
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FISCAL YEAR 2021-22
The City continues to receive optimistic sales tax projections that build on the success
from prior and current year sales tax growth. Staff continues to meet with our property
and sales tax consultants (HdL) to monitor quarterly sales tax trends. The strengths
and weaknesses in the FY 2021-22 budget are transparent, which requires strategies to
capitalize on the strengths and overcome the weaknesses.
Strengths Weaknesses
Revenue Sales Taxes
Franchise Fees
License Fees (Development)
Property Tax Growth
Liquidation of Assets
Expenses Salary
Benefits
Professional Services
Utilities
Revenues:
1. Sales Tax projections: HdL projected higher sales tax revenues for FY2021-22 in
the amount of $988,000 and
2. Property Tax projections: Were provided by HdL as if the Successor Agency has
been dissolved with no RPTTF funds being received; and
3. Included in General Fund revenues is $1,798,000 for the sale of two properties
located at 22582 City Center Court and 22273 Barton Road.
Expenditures:
1. The General Fund must absorb the Child Care’s portion of the unfunded accrued
liability (UAL), plus the annual increase added by CalPERS to the UAL. The total
UAL for FY2021-22 which includes the Child Care’s portion is $523,523.
2. For the Sheriff’s Department the City Council approved a Contract extension with a
2.7% increase at its May 11, 2021 Council Meeting. The Contract amount is
$2,269,316 but staff budgeted it at $2,353,940 to be more in line with the prior year
increases. The increase is $145,948.
3. General Fund Maintenance of Effort: The City receives Measure “I” funds (1/2 cent
sales tax collected throughout San Bernardino County for transportation
improvements - $248k) and Road Maintenance and Rehabilitation Program
(RMRP) funds ($239k) into the RMRA Fund for use on local street and road
systems. The term “Maintenance of Effort” (MOE) generally refers to
a requirement placed upon state and federally funded grant programs that requires
local cities and counties to maintain general fund spending for streets and roads
either through a certain percentage or formula, which may include the local
agency’s history of past spending on street rehabilitation and/or maintenance.
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4. The FY2021-22 Budget includes the addition of five full-time employees, one part-
time position and two interns.
Table 2 summarizes the FY2021-22 Proposed Budget:
City of Grand Terrace
FY 2021-22 Proposed General Fund Revenue and Expenditure Report
2021-22
Proposed
06-08-2021
Revenues
Property Tax $3,989,040
Residual Receipts - RPTTF $176,900
Proceeds from Sale of Property $1,798,700
Franchise Fees $620,000
Licenses, Fees & Permits $490,500
Sales Tax $988,000
Intergovernmental Revenue/Grants $31,220
Charges for Services $141,100
Fines & Forfeitures $66,300
Miscellaneous $0
Use of Money & Property $34,660
Wastewater Receipts $318,349
Transfers In $0
Residual Receipts - Sr Ctr $0
Gas Tax $0
Total Revenues $8,654,269
Expenditures by Department
Salaries $1,552,512
Benefits $1,149,757
Materials & Supplies $224,770
Professional/Contractual Services $3,662,458
Equipment $0
Lease of Facility/Equipment $19,600
Utilities $176,448
Overhead Cost Allocation ($84,950)
Capital Projects $0
Debt Service $0
Transfers Out $105,000
Total Expenditures $6,805,595
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City of Grand Terrace
FY 2021-22 Proposed General Fund Revenue and Expenditure Report
2021-22
Proposed
06-08-2021
Revenues $8,654,269
Expenditures ($6,805,595)
Fund Balance $1,848,674
While the revenue and expenses of FY 2021-22 significantly exceed those in the prior
year, staff’s goal is to return to pre-COVID-19 staffing levels to ensure we can operate
and maintain city facilities that allow residents to fully utilize the assets of the
community. The projected Fund Balance is equal to or more than the revenue received
from the liquidation of assets, this is consistent with the City Council’s policy to not fund
ongoing expenses with one-time revenue.
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CITY-WIDE PROPOSED FY2021-22 BUDGET
The total Proposed Budget for FY2021-22 is $10,267,918 in revenues and $9,175,136
in expenditures.
The City’s Proposed Budget, which is presented for City Council’s review and
consideration,
• Supports the City’s mission, vision, core values and goals by preserving and
protecting the community and its exceptional quality of life; and
PROPOSED BUDGET BY FUND FY 2021-22
The next two tables show the Citywide Proposed Revenues and Expenditure budgets
by fund:
Table 3 (Proposed Revenues)
City of Grand Terrace
FY 2021-22 Proposed Revenue Summary by Fund
2019-20 2019-20 2020-21 2020-21 2021-22
Fun
d Type
Adjusted
Budget
Actuals Adjusted
Budget
Year-End
Projections
Proposed
Budget
GENERAL FUNDS
10 GENERAL FUND $5,977,197 $6,480,870 $5,980,995 $6,260,727 $8,654,269
61
COMMUNITY BENEFITS
FUND $20,000 $20,377 $20,000 $10,094 $20,000
62 LIGHT UP GRAND TERRACE $10,000 $13,006 $10,000 $5,535 $10,000
63
GT ILLEGAL FIREWORKS
ENFORCEMENT $500 $6 $0 $1 $250
64 PUBLIC SAFETY FUND $0 $326 $0 $105 $0
69 COMMUNITY DAY FUND $0 $0 $0 $0 $0
68
40TH YEAR BIRTHDAY
CELEBRATION FND $39,300 $22,947 $8 $0 $0
70
EQUIP REPLACEMENT
RESERVE FUND $0 $15 $0 $4 $0
DEVELOPMENT IMPACT
FEES (DIF)
11 STREET FUND $48,000 $92,272 $48,000 $6,827 $88,000
12 STORM DRAIN FUND $13,250 $4,231 $13,250 $935 $800
13 PARK FUND $69,400 $2,254 $69,400 $304 $800
19 FACILITIES FUND $20,000 $36,675 $20,000 $3,016 $20,600
SPECIAL REVENUE FUNDS
14 SLESF (AB3229 COPS) $156,330 $157,324 $100,050 $157,161 $160,000
15
AIR QUALITY IMPROVEMENT
FUND $58,000 $12,255 $58,000 $15,877 $15,500
16 GAS TAX FUND $610,600 $636,402 $650,800 $599,028 $614,200
17 TRAFFIC SAFETY FUND $6,000 $5,314 $6,000 $3,903 $4,000
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City of Grand Terrace
FY 2021-22 Proposed Revenue Summary by Fund
2019-20 2019-20 2020-21 2020-21 2021-22
Fun
d Type
Adjusted
Budget
Actuals Adjusted
Budget
Year-End
Projections
Proposed
Budget
20 MEASURE "I" FUND $193,000 $254,068 $193,000 $255,833 $248,600
25 SPRING MOUNTAIN RANCH $3,000 $223,598 $3,000 $2,326 $53,000
26
LNDSCP & LGTG
ASSESSMENT DIST $19,440 $46,483 $47,648 $48,522 $57,325
67
PUBLIC, EDUCATIONAL &
GOVT ACCESS $21,500 $23,180 $21,500 $17,637 $19,300
76
EIFD - ENHANCED INFRAST
FIN DIST $0 $0 $0 $0 $0
90
COVID-19 FEMA
REIMBURSEMENT FUND 30,300 $0 $153,425 $153,425 $0
ENTERPRISE FUND
21
WASTEWATER DISPOSAL
FUND $10,000 $38,590 $10,000 $2,021 $4,000
GRANT FUNDS
22
CDBG - COMM DEV BLOCK
GRANT $47,876 $33,982 $47,876 $35,020 $69,934
65
SENIOR BUS PROGRAM
FUND $54,566 $57,611 $37,450 $20,789 $118,340
66 CAL RECYCLE GRANT $5,000 $1,073 $5,000 $5,023 $0
73
ACTIVE TRANSPORTATION
PRGRM FUND $100,000 $0 $100,000 $0 $0
74
HIGHWAY SAFETY IMPROV
PROGRAM $510,000 $0 $185,000 $36,200 $44,000
77
SO CAL INCENTIVE PROJ
(SCIP) GRANT $185,000 $178,900 $0 $0 $0
SUCCESSOR AGENCY
31 S/A RDA REVENUE FUND $2,065,200 $292,285 $2,065,200 $301,438 $0
32
S/A CAPITAL PROJECTS
FUND $33,100 $11,113 $33,100 $0 $0
33 S/A DEBT SERVICE FUND $2,032,100 $18,282,143 $2,032,100 $0 $0
36
2011 TABS A & B BOND
PROCEEDS $0 $79,832 $0 $615 $0
CAPITAL PROJECT FUNDS
45 CIP - COMMERCE WAY $0 $12,628 $0 $0 $0
46
CAPITAL IMPROVEMENTS -
STREETS $543,400 $139,177 $445,000 $144 $0
47
CAP.PRJ. BARTON/COLTON
BRIDGE $0 $1,186 $0 $0 $0
48 CAPITAL PROJECTS FUND $0 $1,971 $0 $0 $0
49
CAPITAL PROJECTS FUND-
PARKS $100,000 $102,946 $100,000 $796 $0
52 HOUSING AUTHORITY $50,000 $14,206 $50,000 $7,186 $65,000
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City of Grand Terrace
FY 2021-22 Proposed Revenue Summary by Fund
2019-20 2019-20 2020-21 2020-21 2021-22
Fun
d Type
Adjusted
Budget
Actuals Adjusted
Budget
Year-End
Projections
Proposed
Budget
95
DOG PARK ENDOWMENT
FUND $0 $0 $0 $115 $0
$13,032,059 $27,279,246 $12,506,802 $7,337,139
$10,1267,91
8
Table 4 (Proposed Expenditures)
City of Grand Terrace
FY 2021-22 Proposed Expense Summary by Fund
2019-20 2019-20 2020-21 2020-21 2021-22
Fund Type
Adjusted
Budget
Actuals Adjusted
Budget
Year-End
Projections
Proposed
Budget
GENERAL FUNDS
10 GENERAL FUND $6,273,121 $6,106,120 $6,411,428 $6,179,632 $6,805,595
61
COMMUNITY BENEFITS
FUND $15,000 $7,997 $10,000 $1,385 $20,000
62 LIGHT UP GRAND TERRACE $10,000 $13,535 $10,000 $5,915 $10,000
63
GT ILLEGAL FIREWORKS
ENFORCEMENT $500 $236 $250 $0 $250
64 PUBLIC SAFETY FUND $0 $0 $0 $0 $0
69 COMMUNITY DAY FUND $0 $0 $0 $0 $0
68
40TH YEAR BIRTHDAY
CELEBRATION FND $0 $0 $0 $18 $0
70
EQUIP REPLACEMENT
RESERVE FUND $0 $0 $0 $0 $0
DEVELOPMENT IMPACT
FEES (DIF)
11 STREET FUND $445,000 $40,457 $0 $0 $0
12 STORM DRAIN FUND $50,000 $0 $0 $0 $0
13 PARK FUND $100,000 $100,000 $0 $0 $0
19 FACILITIES FUND $100,000 $0 $60,425 $60,425 $0
SPECIAL REVENUE FUNDS
14 SLESF (AB3229 COPS) $156,350 $157,274 $150,000 $150,000 $160,000
15
AIR QUALITY IMPROVEMENT
FUND $58,000 $54,353 $13,000 $5,000 $13,000
16 GAS TAX FUND $607,880 $527,925 $558,000 $431,984 $722,075
17 TRAFFIC SAFETY FUND $0 $0 $4,000 $0 $4,000
20 MEASURE "I" FUND $193,000 $28,432 $250,000 $53,090 $119,272
25 SPRING MOUNTAIN RANCH $0 $7,200 $50,000 $5,720 $50,000
26
LNDSCP & LGTG
ASSESSMENT DIST $19,440 $16,183 $48,584 $16,139 $66,009
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City of Grand Terrace
FY 2021-22 Proposed Expense Summary by Fund
2019-20 2019-20 2020-21 2020-21 2021-22
Fund Type
Adjusted
Budget
Actuals Adjusted
Budget
Year-End
Projections
Proposed
Budget
67
PUBLIC, EDUCATIONAL &
GOVT ACCESS $21,500 $0 $21,500 $62 $21,500
76
EIFD - ENHANCED INFRAST
FIN DIST $0 $8,100 $5,000 $5,000 $0
90
COVID-19 FEMA
REIMBURSEMENT FUND $0 $4,725 $0 $0 $0
ENTERPRISE FUND
21
WASTEWATER DISPOSAL
FUND $10,000 $88,570 $7,000 $0 $0
GRANT FUNDS
22
CDBG - COMM DEV BLOCK
GRANT $58,592 $53,725 $69,934 $30,638 $69,934
65
SENIOR BUS PROGRAM
FUND $54,566 $67,316 $159,915 $63,075 $121,067
66 CAL RECYCLE GRANT $5,000 $937 $5,000 $0 $0
73
ACTIVE TRANSPORTATION
PRGRM FUND $99,810 $0 $0 $0 $0
74
HIGHWAY SAFETY IMPROV
PROGRAM $509,690 $21,685 $497,064 $417,508 $44,000
77
SO CAL INCENTIVE PROJ
(SCIP) GRANT $185,000 $185,000 $0 $0 $0
SUCCESSOR AGENCY
31 S/A RDA REVENUE FUND $2,065,200 $1,527,676 $301,438 $0 $0
32
S/A CAPITAL PROJECTS
FUND $33,100 $11,113 $18,000 $5,928 $0
33 S/A DEBT SERVICE FUND $2,032,100 $918,552 $283,438 $281,106 $0
36
2011 TABS A & B BOND
PROCEEDS $320,000 $16,941,138 $0 $6,670 $0
CAPITAL PROJECT FUNDS
45 CIP - COMMERCE WAY $875,977 $36,384 $839,594 $65 $839,594
46
CAPITAL IMPROVEMENTS -
STREETS $568,400 $139,986 $427,040 $0 $0
47
CAP.PRJ. BARTON/COLTON
BRIDGE $0 $2,650 $0 $13,418 $0
48 CAPITAL PROJECTS FUND $0 $1,186 $0 $0 $0
49
CAPITAL PROJECTS FUND-
PARKS $253,087 $13,495 $89,592 $13,145 $89,592
52 HOUSING AUTHORITY $28,320 $26,829 $118,950 $21,725 $19,248
95
DOG PARK ENDOWMENT
FUND $0 $0 $0 $0 $0
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City of Grand Terrace
FY 2021-22 Proposed Expense Summary by Fund
2019-20 2019-20 2020-21 2020-21 2021-22
Fund Type
Adjusted
Budget
Actuals Adjusted
Budget
Year-End
Projections
Proposed
Budget
$15,148,633 $27,108,779 $10,409,152 $8,397,583 $9,175,136
Budget Schedule
The proposed schedule leading to adoption of the FY2021-22 is as follows:
Table 5
Description Date
Budget Introduction Tuesday, June 8th
Budget Deliberations by Department and Fund Tuesday, June 15th
Budget Adoption Tuesday, June 22nd
FISCAL IMPACT:
Fiscal impacts of the FY2021-22 Proposed Budget are identified in the FY2021-22
Proposed Budget Summary (which is being made available in the City Clerk’s office).
APPROVALS:
Finance Completed 06/14/2021 1:55 PM
City Attorney Completed 06/14/2021 3:36 PM
City Manager Completed 06/14/2021 5:24 PM
City Council Pending 06/15/2021 6:00 PM
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