Title
Discussion of issues relating to the preliminary FY 2024-2025 Deer Park Community Development Corporation (DPCDC) Budget.
Body
Summary:
The DPCDC bylaws provide that the Corporation’s fiscal year shall be the same as the fiscal year of the City, which is October 1 - September 30. Attached is the overall FY 2024-2025 budget schedule for the City, which includes meeting dates for the City Council, CCPD, FCPEMSD and the DPCDC. The dates specific to the DPCDC budget are in purple font.
Key dates for the FY 2024-2025 DPCDC budget process are as follows:
• Mon, 04/22/2024 @ 5:30 PM - DPCDC Board of Directors reviews preliminary FY 2024-2025 DPCDC Budget.
• Mon, 07/22/2024 @ 5:30 PM - DPCDC Board of Directors approves FY 2024-2025 Budget and submits to City Council for adoption.
The City Council is scheduled to adopt the FY 2024-2025 DPCDC budget on Tuesday, August 6, 2024 at the regular City Council meeting at 7:30 PM. The final FY 2024-2025 City Budget, which incorporates all funds and component units, is scheduled for adoption at the regular meeting of City Council on Tuesday, September 17, 2024.
On May 1, 2021 voters approved a continuation of the dedicated 0.50% sales tax for the additional purchase of land, buildings, equipment, facilities, and improvements (including the operating and maintenance costs thereof) for the purpose of amateur sports, children's sports, athletic, entertainment and public park purposes and events, as well as any related infrastructure and improvements that enhance the same.
Fiscal/Budgetary Impact:
This preliminary FY 2024-2025 budget for the DPCDC includes total revenues of $6,206,746, representing estimated sales tax revenue, investment earnings, and prior year revenue. Sales tax revenues have remained flat in FY 2023-2024 thus far; however, the impact inflation will have on sales tax revenue in the upcoming fiscal year remains uncertain. In regards to investment revenue, interest rates are expected to remain elevated with the potential to gradually decline as the year progresses. In response, staff is utilizing a conservative approach when forecasting FY 2024-2025.
Projected expenditures of $6,206,746 include operating expenses but primarily represent other expenditures (debt service, $2,596,246) and capital outlay ($1,850,000). The capital outlay expenditures include the construction of the Spencerview bridge and additional parking for Glenwood Park and the Spencerview baseball fields. With the construction of the new Community Center underway, $1,500,000.00 of contingency funds have been included in the DPCDC budget as well to cover unexpected project overages. Funding for these expenditures would be from prior year revenue (note: the current $7.7 million fund balance for the DPCDC is more than adequate to cover these costs).
The attached draft of the preliminary FY 2024-2025 DPCDC Budget has been prepared by City staff on behalf of the Corporation. Please note, this draft document will change as additional information becomes available prior to the meeting of the DPCDC Board of Directors on July 22, 2024 to consider approval of the FY 2024-2025 Budget. Adjustments will be included in the final document and any such changes will be addressed at the July 22, 2024 meeting. It may also be expected for revenues and expenditures to be discussed in greater detail at the July 22, 2024 meeting.
Recommended action
Discuss issues relating to the preliminary FY 2024-2025 DPCDC Budget.