Title
a. Receive the Monterey County Financial Forecast, which assesses the County’s fiscal condition for the current year and three forecast years (FY 2023-24 through FY 2025-26);
b. Receive the annual update to the County’s General Financial Policies including technical corrections; and
c. Provide direction to staff.
Report
RECOMMENDATION:
It is recommended that the Budget Committee:
a. Receive the Monterey County Financial Forecast, which assesses the County’s fiscal condition for the current year and three forecast years (FY 2023-24 through FY 2025-26);
b. Receive the annual update to the County’s General Financial Policies including technical corrections; and
c. Provide direction to staff.
SUMMARY/DISCUSSION:
The County’s financial forecast is the first step of the annual budget development cycle. Staff conducts a comprehensive mid-year review of planned spending and anticipated revenues for the current year, budget year, and two additional out years. The result of this review is an assessment of the County’s financial condition, emerging needs, and the capacity to fund those needs as well as current levels of service and operations for the remainder of the fiscal year and beyond. Please see the attached Monterey County Financial Forecast for details.
The Board first adopted formal financial policies in February 2003, establishing a framework for overall fiscal planning and management. In the ensuing years, the Board and County management have continuously refined these policies to employ sound financial practices and strategies. The financial policies require annual update. This year’s version includes only technical “clean-up” to improve readability.
OTHER AGENCY INVOLVEMENT:
Development of this forecast is a cooperative effort between all departments and the County Administrative Office.
FINANCING:
There are no fiscal impacts related to receipt of this report. The revised General Financial Policies provide the framework for building and administering the annual budget and are reviewed by the Government Finance Officers Association (GFOA) in determining the County’s eligibility for the Distinguished Budget Presentation Award.
Prepared by: Veronica Fernandez, Principal Administrative Analyst, ext. 5278
Approved by: Ezequiel Vega, County Budget Director, ext. 3078
Approved by: Dewayne Woods, Assistant County Administrative Officer, ext. 5309
Attachment 1: March 2023 Monterey County Financial Forecast; Attachment 2: Monterey County FY 2023-24 General Financial Policies Revision; Attachment 3: Monterey County FY 2023-24 General Financial Policies Revision [Redline Version]