Title
a. Receive a financial condition report for the Housing and Community Development Department and Department of Public Works, Facilities, & Parks (collectively, the former Resource Management Agency) for Fiscal Year (FY) 2020-21; and
b. Provide direction to staff.
Report
RECOMMENDATION:
It is recommended that the Budget Committee:
a. Receive a financial condition report for the Housing and Community Development Department and Department of Public Works, Facilities, & Parks (collectively, the former Resource Management Agency) for Fiscal Year (FY) 2020-21; and
b. Provide direction to staff.
SUMMARY/DISCUSSION:
The Resource Management Agency (RMA) dissolved on November 30, 2020, and in its place, two new departments were formed: the Housing and Community Development Department (HCD) and the Community Services Department (CSD), the latter was updated to be called the Department of Public Works, Facilities, & Parks (PWFP). It was decided that the Fiscal Year (FY) 2020-21 RMA Adopted Budget (adopted June 23, 2020), including all subsequent Board of Supervisor-approved modifications, will remain intact through June 30, 2021. No changes to the accounting structure will occur until FY 2021-22. Accordingly, HCD/PWFP will continue to manage the RMA General Fund budget to the bottom line and not individually by department or functional unit.
HCD/PWFP is presenting today a financial condition report for FY 2020-21 that details the impact of COVID-19 on revenue as well as potential increased costs to implement Citygate's recommendations approved by the Board of Supervisors. Staff projects a shortfall in General Fund revenue of $2.5 million, offset slightly by a reduction in costs of $0.3 million, resulting in a net loss of $2.2 million. The net loss of $2.2 million is expected to be further reduced to $1.8 million from CARES revenue of $0.4 million, that will be treated as additional General Fund Contribution (GFC). Attachment A provides detailed revenue an...
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