N1500 - KM 554e-20190228162334

REPORT FROM

OFFICE OF THE CITY ADMINISTRATIVE OFFICER

Date: February 28, 2019

To: Eric Garcetti, Mayor Herb J. Wesson, Council President Paul Krekorian, Chair, B~ et,~nd F:\ _

From: Richard H. Llewellyn, Jr'::-City Administ~ative Officer

Reference: 2018-19 Budget

Subject: MID-YEAR (THIRD) FINANCIAL STATUS REPORT

SUMMARY

CAO File No. 0590-00098-5150 Council File No. 18-0600 Council District: All

This Office is transmitting the Mid-Year Financial Status Report (FSR) for this fiscal year. This report provides an update on the current-year budget-including projected department overexpenditures, trends in revenue, the status of the Reserve Fund, and discussion of current issues of concern. This report contains recommendations totaling approximately $92. 76 million for appropriations, transfers, and other budgetary adjustments.

Year-end overspending has decreased slightly since the adoption of the Second FSR. The currently projected expenditure imbalance of $69.65 million is still at a significant level and continues to have Police sworn overtime as the biggest single driver. Further, the current year-end imbalance of $69.65 million excludes potential unbudgeted expenditures in the current fiscal year that may result from ongoing labor negotiations and potential risks to revenue. The newly released Sworn Overtime Task Force report provides a comprehensive analysis of sworn overtime. If adopted, the proposals in the sworn overtime report address $21.81 million of the Police overtime overspending, thus reducing the Citywide imbalance from $69.65 million to $47.84 million.

While the Sworn Overtime Task Force report presents a plan to manage current year sworn overtime and address a significant portion of Citywide overspending, the budget solutions in that report will impact the City's reserves. After accounting for the recommendations in this Mid-Year FSR, and the pending actions in the sworn overtime report, the Reserve Fund will decrease from 5.67 percent to 5.59 percent.1 This will restrict the City's ability to rely on the Reserve Fund to manage the budget through the year-end and remain above the 5.00 percent threshold.

1 Cumulative reserves, including the Budget Stabilization Fund and the Unappropriated Balance, Reserve for MidYear Adjustments account are at 7.48 percent.

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The recommendations in this FSR address a portion of the projected overspending through departmental and non-departmental savings. In light of the latest reduction to the Reserve Fund, we continue to urge City departments to manage within existing resources and work to meet budgeted revenue targets. Further, should labor agreements be reached in the current fiscal year with employee bargaining groups, City departments will be required to absorb any current year fiscal impacts, to the extent possible.

General Fund Revenue

Key Findings/Recommendations

• Based on our review of revenue data through January, 2018-19 revenue is $43.0 million above planned receipts.

• With approximately 90 percent of business tax renewal receipts recorded after January, it is too early to project year-end revenue. Downside risks in departmental receipts, parking fines and documentary transfer taxes, however, may offset existing surpluses in property, business, and sales taxes.

• Known revenue shortfalls and downward trends include:

o Parking fine revenue is $7. 1 million below plan. This revenue source has fallen short of adopted estimates in prior fiscal years.

o Departmental revenue includes $13.0 million from billboard leasing and modernization that require Mayor and Council action to implement policy and realize receipts.

o The Documentary Transfer Tax, which declined in 2017-18 from the prior year, is $3.0 million below plan, and faces additional downside risks with rising interest rates and decreasing affordability.

2018-19 Adopted Revenue The 2018-19 Adopted Budget is $6.19 billion, total revenue through January is $2.95 billion, representing 47.7 percent of total adopted General Fund revenue.

Revenue is $43.0 million above planned receipts of $2.91 billion, primarily due to higher receipts in property, business and sales taxes, and interest earnings and the offsetting shortfalls in parking fines, documentary transfer tax, and parking occupancy tax. The 2018-19 Adopted Budget, planned revenue, and actual receipts are summarized in Attachments 1, with details on specific revenue surpluses and shortfalls discussed below.

Property tax: Property tax revenue is $15.9 million ahead of plan. Higher secured receipts in July and August correspond to the final County tax period remittances, which are offset

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by lower redemptions and adjustments receipts, the impact of the Los Angeles Community College District settlement agreement for CRA-related litigation, and an increased County administrative charge. The adjusted levy on secured property is responsible for the increased surplus and indicates that property tax will end the year ahead of budget.

Sales tax: Receipts through January are $21.2 million above plan. This surplus is attributed to the State's change in tax allocation methodology, first implemented for the May payment in 2017-18. The new methodology has increased the size of quarterly advance payments and accelerated the final cleanup payment by one month, resulting in sizeable deviations from the monthly revenue plan. Additionally, receipts include one-time remittances from the changeover due to the delay in processing payments during the prior fiscal year. Adjusting the monthly plan for the new tax allocation methodology eliminates most of the surplus; although receipts will likely end above budget due to the receipt of prior year revenue.

Business tax: Receipts are $8.5 million above plan, due to higher-than-projected renewal receipts. New and continuing business tax receipts from medical and recreational cannabis activity are now at plan. Since more than 88 percent of annual business tax receipts are recorded after January, it is too early to predict year end receipts.

Departmental receipts: Receipts from licenses, permits, fees and fines (LPFF) and direct and related cost reimbursements through January are $510.6 million which is close to planned monthly receipts. There are downside risks to this revenue with lower-thanprojected related costs reimbursements and unrealized revenue from the stalled implementation of a billboard leasing and modernization policy.

Parking fines: This revenue has witnessed four years of consecutive declines since its peak of $161.1 million in fiscal year 2013-14. Parking fine receipts are currently $7.1 million below plan, which is 8.8 percent below prior year receipts through January. Year-end revenue is projected to below adopted receipts.

Documentary transfer tax: Receipts are currently $3.0 million below plan. While revenue per deed has increased, sales volume has continued to fall with six months of year-overyear declines in southern California home sales. Although price appreciation has slowed, higher mortgage rates and limited wage gains have led to decreasing affordability. Slowing price gains and declining sales volume puts this revenue at risk to end in deficit at year-end.

Other receipts: Business tax revenue attributed to cannabis activities and electricity users tax revenue have improved to eliminate previously reported shortfalls. Parking occupancy tax receipts are behind plan by $3. 7 million; however monthly receipts are variable and do not necessarily indicate a trend.

Any deviations from planned revenue receipts are reported in FSRs along with deviations in the appropriations budget. Surpluses or deficits that are projected for year-end are typically addressed

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during the development of the following fiscal year's budget, at which time revenue estimates are revised. The Fourth FSR (Year-End) will present the revised revenue estimates for 2018-19.

Expenditures


• Projected Citywide year-end over-expenditures have decreased from $72. 15 million to $69. 65 million.

• The recommendations in this FSR, combined with the pending sworn overtime actions reduce the year-end overspending to $44.38 million. This Office has identified anticipated future actions that would offset an additional $15. 94 million, reducing year-end overspending to $29.63 million. There is also potential for an additional $15.23 million in future departmental and non-departmental savings that may further offset the projected year-end overspending to $14.40 million; this includes $10.48 million in actions that could be taken by the Police Department.

This FSR is based on department expenditure data and revenue information through the end of December. We have identified approximately $69.65 million in projected overspending and unfunded items across various departments and funds. This is less than the Second FSR estimate of $72.15 million. The decrease is largely attributed to a reduction in the Police, General Services and Fire Departments' reported overspending. While the projected overspending has declined since the Second FSR reporting period, new issues have arisen contributing to the significant Citywide overspending. This estimate excludes any potential increases in employee costs resulting from current labor negotiations. The year-end overspending is detailed in Table 1 and is largely attributed to the following:

• Continued overspending of $33.19 million in the Police Department primarily due to sworn overtime expenditures. This estimate is prior to taking any action on the Sworn Overtime Task Force report.

• Continued overspending of $7.19 million in various accounts within the Fire Department.

• Continued overspending in the General Services Department by approximately $5.5 million. The projected overspending has decreased due to special fund adjustments to the Field Equipment expense estimate ($1.4 million), decrease in projected Petroleum Products expenditures ($0.1 million), and recently identified savings in the Leasing account ($0.8 million).

• Newly reported over-expenditures in the Office of the City Attorney relative to the Litigation Expense account and unplanned storm drain repair projects impacted by the current rains.

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• Reversion of $10 million in prior year funding identified for the Ardon settlement. The timing of when this amount will be needed is currently unknown.

(See Table 1 on next page)

Department/ Initiative

Police Fire

General Services

City Attorney

Personnel

PW-Board

El Pueblo Employee Relations Board Non-Departmental Ardon Settlement Emergency Storm Repair-Various Realignment of Consolidated Plan Year Proposition 0 unfunded positions

June 2019 Elections Human Resources Benefits Fund-Workers' Compensation Neighborhood Council FundinQ Total Year-End Overspendina

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Table 1. Mid-Year FSR Projected Overspending/Unfunded Expenditures (Millions)

Second Change Mid- Reason FSR Year

FSR $35.43 $(2.24) $33.19 Primarily from sworn overtime expenditures.

10.3 (3.11) 7.19 Overspending in the Salaries Sworn ($5.16 million), Overtime Constant Staffing ($1.02 million), and Overtime Variable Staffing ($0.52 million) Overtime General ($284,000), Field Equipment Expense ($300,000), and Uniforms ($200,000) accounts.

7.80 (2.3) 5.50 The projected overspending has decreased due to special fund adjustments to the Field Equipment expense estimate ($1.4 million), decrease in projected Petroleum Products expenditures ($0.1 million), and recently identified savings in the Leasino account ($0.8 million).

0.57 2.17 2.74 Based on current hiring plan and litigation account overspending.

0.60 0.10 0.70 Mainly from the increase to the reimbursement rate for forensic examinations conducted by the Sexual Assault Response Team Centers (C.F. 18-0728).

0.00 0.58 0.58 Unbudgeted increases in Prevailing Wage rate for graffiti abatement workers.

0.17 0.00 0.17 Unbudgeted security costs (Bridge Housing Program). 0.03 0.00 0.03 Unbudgeted retirement payout and 120-day employee costs.

10.00 0.00 10.00 Primarily from reversion of prior vear fundino. 1.68 1.60 3.28 Unplanned storm drain repair projects (Hollywood Hills

Storm Drain and various others). 2.60 0.00 2.60 Alignment of Community Development Block Grant

Consolidated Plan Year with the City's fiscal year.

1.40 0.00 1.40 Ineligible Proposition O salary costs in the Bureau of Sanitation as eligible uses are now restricted to construction related tasks.

1.30 0.00 1.30 June 2019 Special Election for 12th District.

0.00 0.70 0.70 Due to an increase in the State's Assessment Fee as well as increases in Workers' Compensation benefit and claims costs.

0.27 0.00 0.27 Starting fund balance lower than assumed in the budget.

$72.15 $(2.50) $69.65

As noted in Table 2 below, actions from the Sworn Overtime Task Force report and the recommendations in this report are expected to reduce the year-end overspending from

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$69.65 million to $44.38 million. In addition, anticipated future actions totaling $14.75 million will further reduce the year-end overspending to $29.63 million. This Office has identified potential future actions consisting of various departmental savings that are contingent on fiscal management efforts to be undertaken by City departments. If realized, these savings could reduce the remaining year-end overspending to $14.40 million.

Table 2. 2018-19 Budget Balancing Solutions

(Millions) Mid-Year FSR Over-Expenditures $ (69.65)

Pendina Interim Actions Sworn Overtime Task Force Report 21.81 Transfers to the Police Department. (Reserve Fund loans, UB, Reserve for Mid-Year Adjustments and Various Programs and Services-Contingent Revenues, Departmental Solutions and Other Adiustments)

Subtotal $ (47.84} Mid-Year Recommendations UB, Reserve for Mid-Year Adjustments 2.23 Transfers to Employee Relations Board, Personnel

and Citv Attornev-Litiqation Expense. Reserve Fund loan 0.90 Loan to Police to be reimbursed by Los Angeles

County Metropolitan Transportation Authority fundinq in 2018-19.

Transfer Housing and Community 0.26 Transfer to City Departments for CDBG Investment salary savings (Community realignment (Aging, City Attorney and Economic Develooment Block Grant) and Workforce Development). Aooropriate Measure B Reimbursements 0.07 Transfer to Fire Department.

Subtotal $ (44.38} Future Actions Transfer from UB, Reserve for Mid-Year 10.67 Transfer for citywide budget balancing. Includes Adiustments. additional aooropriation from Mid- Year FSR. Transfer from UB, General Services 3.39 Transfer to General Services Department. Department-Custodial Services and Capital Improvement Expenditure Program funds. City Attorney to manage hiring schedules and staffinq levels.

0.69 Savings to be generated by the City Attorney.

Subtotal $ (29.63) Potential Future Actions Conserve Standby and Vacation Pay ($7.56 10.48 Savings to be generated by the Police Department. million) will be solved by conserving Standby and Vacation pay and potential savings from not incurring emergency reserve costs ($2.92 million). Transfer non-departmental savings 4.75 Savings from various other UB Various Programs

and Services - Continaent Revenues. Year-End Problem* $ (14.40)

*Excludes potential fiscal impacts in the current year from labor negotiations.

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City Reserves


• The City maintains budgetary reserves designed to help manage its risks and ensure sufficient resources to meet contingencies. After accounting for the recommendations in this report, the City's reserves total approximately $463. 1 million or 7.48 percent of the total 2018-19 Adopted General Fund Budget.

Reserves Balance % Purpose UB, 2018-19 10.7 0.17 Available to address shortfalls that may Reserve for arise throughout the year. Mid-Year Adjustments account Reserve 346.1 5.59 Preserved for the most critical needs and Fund matters of urgent economic necessity

and are not to be used for ongoing expenses.

Budget 106.3 1.72 Restricted for the maintenance of Stabilization service levels during years of slow Fund growth and declining revenue.

Total $ 463.1 7.48% Reserves

Unappropriated Balance, 2018-19 Reserve for Mid-Year Adjustments

The 2018-19 Adopted Budget included $20.3 million in the UB, Reserve for Mid-Year Adjustments account. This account is to be used prior to the other reserves. As of the Second FSR, the balance in this account was $19.6 million. This report recommends transferring into this account a net $4.5 million in savings from the Office of Finance ($1.1 million), Information Technology Agency ($1.5 million), the Bureau of Contract Administration ($2.0 million), the Board of Public Works ($0.03 million), and savings from various line items in the UB ($2.1 million). Attachment 9B summarizes all year-to-date transactions in this account. These mid-year actions combined with $13.4 million in pending appropriations for Police sworn overtime via the Sworn Overtime Task Force report, leave a balance of about $10.7 million.

Reserve Fund

Since the last FSR, the Reserve Fund balance reported here reflects a net decrease of $5.1 million. This decrease is primarily due to Reserve Fund loans to the Police Department for sworn overtime that are proposed in the Sworn Overtime Task Force report. After also accounting for transactions

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recommended in this report, the Reserve Fund balance is approximately $346.1 million, which consists of $170.2 million in Emergency Reserve and $175.9 million in Contingency Reserve. This balance represents 5.59 percent of the General Fund budget, which is above the 5 percent Reserve Fund policy threshold. This is a decrease from the Second FSR ($351.2 million or 5.67 percent).

This report recommends authorizing a Reserve Fund loan for the Police Department for additional services provided to the Los Angeles Metropolitan Transportation Authority ($0.9 million).

This Office continues to recommend refraining from using the Reserve Fund to offset current year overspending or fund program expansions and service restorations at this time, given the known overspending discussed in this report as well as the potential impact from the issues of concern that are summarized below.

Budget Stabilization Fund

The Budget Stabilization Fund (BSF) was established as part of the 2008-09 Budget to supplement the Reserve Fund, to prevent overspending during prosperous years, and to provide resources to help maintain service levels during lean years. The BSF balance is approximately $106.3 million, or 1. 72 percent. Interest earnings within the Fund have raised the balance from the previously reported $106.0 million.

Including the UB, Reserve for Mid-Year Adjustments account and the Budget Stabilization Fund, the City's total reserves is 7.48 percent of the General Fund budget, which reflects a decrease from the previously reported 7. 70 percent. ·

Issues of Concern


• In addition to the _aforementioned anticipated over-expenditures, there are additional internal and external factors that may have an impact on the City, the size and/or timing of which cannot be accurately determined at this time. These include the potential fiscal impact from labor negotiations, the alignment of the Community Development Block Grant Consolidated Plan Year with the City fiscal year, and liability claims.

Pending labor negotiations: Labor negotiations are ongoing. Should labor agreements be reached in the current fiscal year with employee bargaining groups, this Office recommends that City departments absorb any current year fiscal impacts, to the extent possible. The magnitude of these fiscal impacts for the current fiscal year are contingent on the terms of these agreements. We will report on this matter as more information becomes available. With only a few months remaining before the close of the fiscal year, it is imperative that City Departments conserve any reported surpluses in anticipation of possible action by the close of the fiscal year.

Realignment of Community Development Block Grant (CDBG) Consolidated Plan Year: The Council approved changing the start date of the Consolidated Plan (Con Plan) Year from April 1 to

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July 1 to align the Con Plan program year with the fiscal year (C.F. 18-0106). This resulted in unfunded General Fund costs of approximately $2.7 million in the current fiscal year due to the need to support the Con Plan administration costs for a three-month extension for Program Year 44. The actions taken in the Second FSR reduced the remaining General Fund impact to $2.6 million. The recommendations in this report, further reduce this estimate to $2.34 million. See the Housing and Community Investment Department Section of this FSR for a recommended appropriation of $260,000 to various departments from CDBG salary savings to address a portion of the $2.6 million remaining liability. Our Office will continue to work with these departments to identify program and administrative savings to mitigate the realignment's impact on the General Fund.

Liability Claims (tort and tax related): Liability claims payments are always difficult to project. Any payouts occurring during the current fiscal year would require use of the Liability Claims Account or the UB, Reserve for Extraordinary Liability account. There is potential that ongoing litigation may result in additional liability claims payments beyond what has been accounted for in the current fiscal year. Attachment 10 of the FSR provides a breakdown of the liability account expenditures to date according to each of the tracking accounts established as part of the 2018-19 Budget. In collaboration with the Office of the City Attorney, this. Office will continue to monitor liability claims expenditures and report back on potential current year shortfalls in the Year End FSR.

Budgetary Adjustments

Budgetary adjustments totaling approximately $92.76 million are recommended in Sections 1, 2, and 6 of this report which include:

• $1.11 million in special fund reappropriations; • $5.29 million in new appropriations; • $27.68 million for transfers between accounts within various departments and funds; • $8.99 million for transfers between departments and funds; • $6.73 million in appropriations to the UB, Reserve for Mid-Year Adjustments; • $27.43 million in appropriations from various accounts within the UB; • $0.90 million in Reserve Fund loans and appropriations; and, • $13.44 million in reductions in Special Gas Tax Improvement Fund appropriations.

Attachments

1 2018-19 General Fund Revenue 2 Current Status of Reserve Fund 3 Special Fund Reappropriations 4 New Appropriations 5 Transfers between Accounts within Departments and Funds 6 Transfers between Departments and Funds 7 Appropriations to·the Unappropriated Balance, Reserve for Mid-Year Adjustments

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8 Appropriations from the Unappropriated Balance 9A Status of the Unappropriated Balance-General Account 98 Status of the Unappropriated Balance-Reserve for Mid-Year Adjustments 9C Status of the Unappropriated Balance-non-General Accounts 1 O Status of Liability Claims Account 11 Employment Level Report

RECOMMENDATIONS (Refer to Discussion Sections 1, 2, and 6)

That the Council, subject to the approval of the Mayor:

Aging

1. Reappropriate $1,111,783.03 from various special funds as noted in Attachment 3;

2. Appropriate $5,288,117.88 to Department accounts as specified in Attachment 4;

3. Transfer $27,682,102.59 between accounts within various departments and funds as specified in Attachment 5;

4. Transfer $8,991,640.34 between various departments and funds as specified in Attachment 6;

5. Appropriate $6,727,507.00 from various departments and funds to the Unappropriated Balance, Reserve for Mid-Year Adjustments account as specified in Attachment 7;

6. Appropriate $27,434,251.00 from the Unappropriated Balance to various departments and funds as specified in Attachment 8;

7. Increase appropriations in the amount of $366,335 in the Senior Human Services Program Fund No. 42J/02, within the following accounts to reflect Program Year 44 Community Development Block Grant Consolidated Plan revisions that adjusted Community Development Block Grant funding for the Department's programs.

Account 02R102 02R332 02R340

Account Name Aging EARS Evidence Based Programs

Total

Amount $32,350

30,538 303,447

$366,335 Finance

8. Instruct Animal Services, El Pueblo, Ethics, General Services, Housing and Community Investment, Library, Recreation and Parks, Public Works-Bureau of Sanitation, and Zoo to work with the Office of Finance to establish departments' direct payment of merchant service fees related to credit card transactions by June 1, 2019 with the intent of defraying all General Fund expenditures on such fees;

Mayor

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9. Relative to the Fire Department's 2016 Staffing for Adequate Fire and Emergency Response (SAFER) grant:

A. Transfer appropriations up to $2.6 million corresponding to FY 16 SAFER Grant funds, as needed, from Fund 335/38, Account 38909P, 2016 FEMA SAFER Grant, to FY 2019, Fund 100/38, Account 001012, Salaries Sworn, or Account 1030, Sworn Bonuses, or Revenue Source Code 5161, Reimbursement of Prior Year Salary, as appropriate, upon submission of proper documentation by LAFD, subject to approval of the City Administrative Officer (CAO), of direct costs incurred during the grant performance period; and,

B. Transfer 2016 SAFER Grant funds up to $1.82 million from Fund 335/38 to FY 2019, Fund 100/38, Revenue Source Code 5346, Reimbursement of Related Costs from Grants, or Revenue Source Code 5331, Reimbursement of Related Costs - Prior Year, as appropriate, for fringe benefits and related costs upon submission of proper documentation by LAFD, subject to CAO approval, of related costs incurred during the grant performance period.

10.Authorize the Fire Department to transfer $2,566,050 from the Med-Cal IGT Trust Fund No. 59F/38, Account 38P401, Medi-Cal Inter-governmental Transfer, to the Reserve Fund to reimburse a loan authorized in the 2017-18 Year End Financial Status Report (C.F. 17-0600-S119) in connection with the 2016-17 Inter-governmental Transfer Program;

11.Authorize the Controller to disencumber up to $59,684 in Fiscal Year 2017-18 encumbered balances for Gang Reduction and Youth Development Service Provider Contracts within Mayor Fund No. 100/46, Account No. 3040, Contractual Services, and request the Controller to revert the unencumbered funds to the Reserve Fund, transfer up to $59,684 to the Unappropriated Balance Fund No. 100/58, and appropriate therefrom to Recreation and Parks Fund No. 302/88, Account No. 003040, Contractual Services, to support Summer Night Lights activities as noted below.

Fiscal Year Account No. Account Name Enc. Doc. ID 2019 003040 Contractual Services CO18124228M 2019 003040 Contractual Services CO18126268M

Total

Amount $54,752

$4,932 $59,684

12. Reduce appropriations in the amount of $229,569 in the Fiscal Year 2016 Urban Areas Security Initiative Grant Fund No. 59E/46, within Account No. 46N135, Emergency Management account to align with Council actions in the 2018-19 Budget (C.F. 18-0600). This transaction is required to correct a prior action that resulted in a new appropriation instead of a reappropriation.

Police

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13. Authorize a Reserve Fund loan in the amount of $895,557 to the Police Department and subsequently transfer $895,557 from the Reserve Fund to the Unappropriated Balance and appropriate therefrom to the following accounts within the Police Fund No. 100/70, to be reimbursed by the Police Department upon receipt of Los Angeles County Metropolitan Transportation Authority funding in 2018-19:

Account 001010 001012 003090 004430 006010 006020

Account Name Salaries General Salaries Sworn Field Equipment Uniforms Office and Administrative Operating Supplies

Total

Amount $149,916

367,779 286,367

12,375 29,120 50,000

$895,557

Public Works/Bureau of Engineering 14.Authorize the Controller to process the revision of the 2017-18 Year-End Reversion

Worksheet submitted by the Bureau of Engineering on October 2, 2018;

Special Gas Tax Improvement Fund Public Works-Bureau of Contract Administration

15. Reduce 2018-19 appropriations to the Bureau of Contract Administration, Fund No. 100/76, Account No. 001010, Salaries General, by $432,010 from the Special Gas Tax Improvement Fund No. 206/50 to offset the Gas Tax revenue shortfall , instead the Bureau will use the projected salary surplus in Measure M funds;

Public Works-Bureau of Engineering 16. Reduce 2018-19 appropriations to the Bureau of Engineering, Fund No. 100/78, Account

No. 001010, Salaries General, by $1,600,000, from the Special Gas Tax Improvement Fund No. 206/50; and, further instruct the Bureau of Engineering to use a projected $1,000,000 salary surplus in the Proposition C Fund instead of Gas Tax funding. The remaining balance represents the Bureau's projected salary surplus in the Gas Tax Fund.

Public Works-Bureau of Street Services 17. Reduce 2018-19 appropriations for the Bureau of Street Services, Fund No. 100/86,

Account No. 003030, Construction Expense, by $6,000,000 from the Special Gas Tax Improvement Fund No. 206/50; and, correspondingly increase appropriations by $6,000,000 to the same account from the Measure M Fund No. 59C/94;

18. Reduce 2018-19 appropriations for the Bureau of Street Services, Fund No. 100/86, Account No. 001010, Salaries General, by $1,707,990 from the Special Gas Tax Improvement Fund No. 206/50 as Gas Tax revenues are anticipated to be lower than budget; and, further instruct the Bureau to use a $500,000 Proposition C salary surplus

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in lieu of the Gas Tax funding with the remaining $1 ,207,990 to be transferred from the Bureau of Contract Administration as noted in Attachment 6;

Capital Improvement Expenditure Program 19. Reduce appropriations within the Special Gas Tax Improvement Fund No. 206/50,

Account No. S0RKGH, Glendale Blvd/Silverlake Blvd Rockfall Mitigation project, by $531,000 as the project is no longer needed because the adjacent property owner will construct the project. The reduction is required as Gas Tax revenues are coming in lower than budget; and,

General Services 20. Reduce 2018-19 appropriations to the Department of General Services, Fund No.

100/40, Account No. 001010, Salaries General, by $400,000 from the Special Gas Tax Improvement Fund No. 206/50. This reduction will be offset by a $400,000 surplus in the Salaries General and Petroleum accounts in the Street Damage Restoration Fee Fund No. 41N50;

Transportation 21. Reduce 2018-19 appropriations to the Department of Transportation, Fund No. 100/94,

Account No. 001010, Salaries General, by $124,000 from the Special Gas Tax Improvement Fund No. 206/50 to offset the Gas Tax revenue shortfall ; and, further instruct the Department of Transportation to use its salary surpluses in Measure R and Measure M funds;

22. Reduce 2018-19 appropriations to the Department of Transportation, Fund No. 100/94 from the Special Gas Tax Improvement Fund No. 206/50 by a total of $2,640,000 as listed below; and, further instruct the Department of Transportation to use surpluses in Measure Mand Measure R identified by the department in lieu of Gas Tax funding.

Technical

Account 001010 003040 003350

Account Name Salaries General Contractual Services Paint and Sign Maintenance

Amount $ (1 ,784,965)

(378,000) (477,035}

$ (2,640,000)

23. Authorize the CAO to make technical corrections as necessary to those transactions included in this report to implement Mayor and Council intentions.

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FISCAL IMPACT STATEMENT

A total of $69.65 million in projected over-expenditures and unbudgeted expenses are identified in this Mid-Year Financial Status Report. Transfers, appropriations, and other adjustments totaling approximately $91.57 million are recommended in Sections 1, 2, and 6 of this report. This includes a $0.90 million Reserve Fund loan to the Police Department to be repaid in 2018-19 and 2019-20.

DISCUSSION

The CAO monitors the budget and transmits reports to the Mayor and Council detailing the City's current financial condition. This report provides an update on current-year expenditures and revenues, the status of the reserve fund, and highlights current issues of concern and the potential impact to the City. It includes recommendations totaling approximately $91.57 million for appropriations, transfers, and other budgetary adjustments.

The following is a discussion regarding the recommendations included in the report and other budget related items. The discussion is presented in four sections as follows:

Section 1. Status of Departmental Budgets ........................................ ...... .................... ........... 15

Section 2. Status of Non-Departmental Funds and Special Accounts .......... .. ... ...... ............... .47

Section 3. Employment Level Report ............................... ..... ... ..... ... ... .......... .. ......... ... ....... ...... 50

Section 4. Status of MICLA Commercial Paper Program ............. ................ .. ...... .... ............... 50

Section 5. State Budget ................................................................................ .... .......... ..... ........ 51

Section 6. Special Gas Tax Improvement Fund ............... ........... ................. .......... ..... .......... ... 51

1. STATUS OF DEPARTMENTAL BUDGETS

This section addresses the status of department expenditures and revenues, updates projected year-end deficits, and highlights issues of concern. Recommendations include new appropriations, reappropriations, and transfers for operational needs.

Department Expenditures: This analysis is based on department expenditure and revenue information through the end of December.

Department Revenues: Departmental General Fund revenue estimates for this reporting period are based on data through the end of December with some exceptions.

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A. Aging Attachment 6 - Transfers between Departments and Funds Recommendation No. 7

This Office projects a year-end surplus of $537,731 , comprised of $156,325 in General Fund and $381,406 in special (grant) funds due to vacancies.

The 2018-19 Adopted Budget included $205,750 in the Department's Salaries General account for the Older Workers Employment Program due to the increase in the minimum wage and increased service levels. The Department has since reported that the funds are for a paygrade advancement and three new positions, which were not authorized in the 2018-19 Adopted Budget. On December 4, 2018, the Department submitted a request to Council for the paygrade advancement and three position authorities (C.F. No. 18-1199). The Personnel and Animal Welfare (PAW) Committee instructed the Department to work with this Office to develop an interim solution. At this time, this Office recommends that the $129,425 be transferred to the Other Programs for the Aging Fund.

The Department is expected to meet its General Fund revenue budget of $382,466.

This Office recommends the following transactions:

• Appropriate $96,547 from the Area Plan for the Aging Title Ill Fund, Social Services for Seniors account to the Aging account, and transfer therefrom to the Department's Salaries General account for staff support for the Home-Delivered Meals and Congregate Meals Programs.

• Transfer $129,425 from the Department's Salaries General account to the Other Programs for the Aging Fund to fund additional Older Workers Employment Program participants.

• Increase appropriations in the Senior Human Services Program Fund by $366,335 to reflect Program Year 44 Community Development Block Grant Consolidated Plan revisions which adjusted Community Development Block Grant funding for the Department's programs.

B. Animal Services Attachment 5 - Transfers between Accounts within Departments and Funds Attachment 6 - Transfers between Departments and Funds

This Office projects a year-end General Fund surplus of $29,726 across all accounts for the Department. This is a $29,063 reduction from the surplus reported in the Second FSR primarily due to increased expenditures from the Department's Animal Feed and Grain account.

The Department projects meeting its General Fund revenue budget of $4.08 million.


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• Transfer $610,309 from the Salaries General account to the Salaries As-Needed ($92,838), Salaries Overtime ($230,000), Printing and Binding ($33,017), Private Veterinary Care ($30,000), Animal Feed and Grain ($100,000), Office and Administrative ($60,000), and Operating Supplies ($64,454) accounts to address anticipated overspending in these accounts.

• Transfer $23,375 from the Code Compliance Fund to the Animal Services Department's Revenue Fund ($21 ,392) and Printing and Binding ($1,983) account.

C. Building and Safety No Recommendation

This Office projects a net year-end surplus of $11.92 million for the Department that is solely comprised of special fund surpluses. This is a $340,000 reduction to the surplus since the last reporting period.

General Fund receipts through December total $26.6 million, representing 42 percent of the Department's General Fund revenue budget of $62.82 million. The majority of the General Fund revenue from the Department is comprised of related costs reimbursements. The Department previously reported an anticipated reduction in General Fund revenue in an amount up to $370,000 due to a backlog of lien hearings. This estimate has not changed. The Department projects an additional General Fund revenue shortfall of $6.27 million due to a reduction in related cost reimbursements attributed to existing vacancies. The total projected General Fund revenue shortfall is $6.64 million. This Office will continue to work with the Department to monitor this revenue source and provide updated information in the Year-End FSR.

Enterprise Fund receipts through October total $107.34 million, representing 68 percent of the Department's special fund revenue budget of $157.38 million. The Department projects that it will meet or exceed the Enterprise Fund revenue budget for this fiscal year.

D. Cannabis Regulation No Recommendation

This Office projects a year-end surplus of $320,998, which is slightly higher than the $304,896 surplus reported in the last FSR. The surplus is comprised of special fund savings in the Salaries General account as a result of vacancies. If the Department does not meet its hiring plan, the surplus may increase.

The Department's General Fund revenue budget is $5.44 million. This is based on the Mayor and Council adopted Cost Allocation Plan (CAP) rate for the Department's related cost reimbursement. This Office estimates a year-end shortfall of $1.36 million based on projected employment levels and the CAP rate adopted by Mayor and Council as part of the 2018-19 Budget.

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The Department's Special Fund revenue budget is $10 million. There is no change from the previous FSR. The Department estimates it will collect $11 million by year-end.

E. City Administrative Officer Attachment 5 - Transfers between Accounts within Departments and Funds Attachment 8 - Appropriations from the Unappropriated Balance

The Office of the City Administrative Officer (CAO) is projected to complete the year within budget. The CAO anticipates meeting its General Fund revenue budget of $3.1 million by year end.


• Transfer $300,000 from the Salaries General account to the Salaries As-Needed account to fund salaries for interns.

• Transfer $100,000 from the Unappropriated Balance, Commission on Revenue Generation line item to the CAO's Contractual Services account to fund economic consultant services at the direction of the Commission.

F. City Attorney Attachment 8 - Appropriations from the Unappropriated Balance

The City Attorney's Office is projecting year-end General Fund overspending of $2.74 million, consisting of $689,702 in the Salaries General account and $2.05 million in the Litigation Expense account. The estimate is a significant increase from the Second FSR projection of $568,850 due to newly reported overspending in the Litigation Expense account. The projected overspending in salaries is primarily due to the Office's current hiring plan assumptions as well as a reduction in Workforce Innovation Opportunity Act Fund dollars and ineligibility of Neighborhood Stabilization Program funds. This Office recommends a supplemental appropriation of $1.5 million to the Litigation Expense account to partially offset the year-end projected imbalance of $2.74 million. Further, consistent with the Second FSR actions relative to the approval of the City Attorney's $1.19 million interim technology package, this Office continues to recommend that the City Attorney's Office fully offset the overspending in the Salaries General account through the management of hiring schedules and staffing levels. If implemented, the totality of these actions would reduce the remaining year-end imbalance to approximately $0.55 million.

The City Attorney is projecting a $1.52 million decrease in its General Fund revenue budget of $43.4 million. This decrease is due to the revised revenue amounts from the proprietary departments, the Tobacco Retailer Permit Fee, and decreases in legal support to the Housing Authority and in miscellaneous service charges.

The City Attorney's Office is projecting overspending of approximately $2.05 million in the Litigation Expense account budget of $4.95 million. The overspending in the Litigation Expense account is due to cost increases associated with expert witnesses for a variety of high exposure cases related to discrimination, retaliation, traffic accidents, and infrastructure. As a result, the City Attorney

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requests a supplemental General Fund appropriation of $1.5 million to cover current expenses. It is also anticipated that the Office will request an additional appropriation of at least $550,000 in the Year-End FSR. The 2018-19 expenditure projections for this account are consistent with historical spending patterns.

This Office recommends the following transaction:

• Transfer $1.5 million from the UB, Reserve for Mid-Year Adjustments account to the Litigation Expense account to partially offset projected over-expenditures in the account.

See the Mayor's Office and the Housing and Community Investment sections of this report for appropriations to the City Attorney's Salaries General account.

G. City Clerk Attachment 4 - New Appropriations Attachment 5 - Transfers between Accounts within Departments and Funds

The Department has identified approximately $1.57 million in year-end unfunded expenses attributed to the June 2019 special election and the Neighborhood Council Funding Program. Excluding these unfunded expenditures, the Office of the City Clerk is projecting a year-end surplus of $188,705 primarily in the Salaries, General account. This surplus is mostly attributed to holding various positions vacant through the middle part of the fiscal year.

The Department's General Fund revenue budget is $3.2 million. The Department now projects a year-end shortfall of $229,000 due to an anticipated reduction in billings to the Department of Water and Power.

The following highlights the unfunded expenditures:

• Neighborhood Council Funding Program: It was anticipated that the Neighborhood Council Funding Program would have a surplus of approximately $630,000 at the end of the previous fiscal year. Since the actual surplus was $265,000 less than what was assumed in the budget, a supplemental General Fund appropriation may be required by year-end to ensure that each Neighborhood Council receives its $42,000 allotment. This Office will continue to monitor the Neighborhood Council Fund to determine if a supplemental appropriation is required at year-end.

• Council District 12 Election: A Special Election has been established on June 4, 2019 to fill the 12th District vacancy with a potential run-off on August 13, 2019. The cost to administer this special election is estimated at $2.4 million consisting of $1.3 million in 2018-19 for the June election and $1.1 million in 2019-20 for a potential August run-off. The Department is expected to receive an invoice for the cost of the June election in July 2019. The City Clerk requests a supplemental General Fund appropriation of $1.3 million this fiscal year to encumber funds to pay the invoice in July.

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• Appropriate $60,000 from available cash in the Neighborhood Council Fund to a new account to be established within the Neighborhood Council Fund for translation services. The Department recommends establishing a new account within the Neighborhood Council Fund specifically for translation services expenditures.

• Transfer $190,000 from Elections expense account to the Salaries As-Needed ($130,000) and Overtime General ($60,000) accounts to meet the Department's operational needs.

H. City Planning Attachment 5 - Transfers between Accounts within Departments and Funds

The Department of City Planning projects an overall year-end surplus of $1.83 million ($11,278 General Fund and $1.82 million Special Fund), primarily from the Salaries General account as a result of a high number of vacancies. The Department is working to fill vacancies and reduce the surplus.

The Department's General Fund revenue budget is $20.7 mill.ion. The Department now projects a revenue shortfall of $709,863, an increase from the Second FSR estimate of $274,256, because of a reduction in related cost reimbursements. The decrease in related cost reimbursements is attributable to the Department's vacancy rate and a substantially lower reimbursement amount for three positions which were to be reimbursed by the Los Angeles World Airport (LAWA) for work on LAWA projects. The three positions are currently filled, but because of a lack of LAWA project work, the incumbents have not been working on matters related to the LAWA and therefore the General Fund cannot recover full reimbursements for these positions.

The Department's Case Processing Fund revenue budget is $32.18 million. The Department projects a revenue shortfall of $3.23 million because of lower permits issued and less staff intensive case filings which require higher fees. No additional General Fund impact is anticipated as the reduction in special fund revenue reimbursements was already assumed in the General Fund revenue shortfall highlighted above.


• Transfer $200,000 from the Salaries General account to the Salaries As-Needed account to pay for Student Professional Workers to temporarily fill vacant positions.

• Transfer $300,000 from the Salaries General account to the Contractual Services account to pay for Environmental Impact Report services.

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I. Controller Attachment 5 - Transfers between Accounts within Departments and Funds

The Office of the Controller is projecting a year-end General Fund surplus of $672,000 provided that the recommendation included in this report is approved. The surplus is due to savings in the Salaries General and Salaries As-Needed accounts. It is anticipated that a portion of these savings may be used for the Accounting Resource Program in the following fiscal year.

The Controller anticipates meeting its General Fund revenue budget of $5. 7 million.


• Transfer $235,146 from the Salaries General account to the Contractual Services and Office and Administrative accounts for the Cost Allocation Plan Re-engineering Study, the Open Data Platform, and PaySR operating expenses.

J. Convention and Tourism Development (CTD) No Recommendation

The CTD projects a year-end surplus of approximately $233,000. The CTD recommends that the $233,000 be reserved as a contingency for year-end budget adjustments.

The Department anticipates meeting its General Fund revenue budget of $1,9 million, comprised of related cost reimbursements.

K. Council Attachment 4 - New Appropriations Attachment 5 - Transfers between Accounts within Departments and Funds Attachment 8 - Appropriations from the UB

The Council requests the following transactions:

• Transfer $250,000 in AB1290 funding (Council District 10) to the Council's Salaries AsNeeded account.

• Transfer $650,000 in AB1290 funding (Council District 14) to the Council's Salaries AsNeeded account.

• Transfer $3,730,000 from the Council's Salaries General account to various accounts as follows: Salaries As-Needed ($2,500,000); Printing and Binding ($350,000); Travel ($30,000); Contractual Services ($300,000); and Office and Administrative ($550,000) accounts to meet operational needs.

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• Transfer $6,000 from the Council's Legislative, Economic or Government account to the Transportation account to meet operational needs.

• Transfer $3,219,792 from the Unappropriated Balance, Equipment, Expense, Alteration and Improvement account to various accounts as follows: Council's Salaries As Needed account ($1,763,293); Information Technology Agency's Hiring Hall ($1,465) and Communication Services ($11,536) accounts; General Services Department's Salaries Construction Projects ($143,767) and Construction Materials ($95,845) accounts; and Capital Improvement Expenditure Program, Citywide Facilities Maintenance and Improvements account ($1,203,886).

L. Cultural Affairs Attachment 5 - Transfers between Accounts within Departments and Funds Attachment 6 - Transfers between Departments and Funds

This Office projects a year-end surplus of $169,156 in the Department's Salaries General account as a result of savings from vacancies. The Department proposes to fill these vacancies during the fiscal year to maintain continuity in the delivery of art instruction programs, exhibitions, performances, and public art support.

The Department anticipates meeting its General Fund revenue budget of $7 .1 million by year end.

The following transfers are recommended:

• Transfer and appropriate $190,000 from the Arts and Cultural Facilities and Services Trust Fund Available Cash Balance, to various accounts to prevent overspending for expenses incurred for the restoration and activation of theaters within the Performing Arts Program which were not funded in the 2018-19 Adopted Budget.

• Transfer $40,000 from the Music LA Account to the Salaries As-Needed account to fund asneeded staffing for the program.

• Transfer and appropriate $500,000 from the Arts and Cultural Facilities and Services Trust Fund Available Cash Balance to the Reserve for Revenue Fluctuations Account to provide sufficient cash for prior year appropriations.

M. Disability No Recommendation

The Department projects a year-end General Fund surplus of $82,497 due to existing vacancies. This Office anticipates that the Department will use the surplus to offset a potential separation payout. This Office will work with the Department and will advise if any transactions are required in the Year-End FSR.

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This Department's 2018-19 General Fund revenue budget is $21,897, comprised of related cost reimbursements from other funds. As of January 29, 2019, the Department has not received any budgeted revenue. This Office will work with the Department to ensure that reimbursements are received before the end of the fiscal year.

N. Economic and Workforce Development Attachment 5 - Transfers between Accounts within Departments and Funds Attachment 6 - Transfers between Departments and Funds

With the approval of the requested transactions in this FSR and assuming that 8 vacant positions will be filled, the Department is projecting a year-end surplus of $2.03 million in the Salaries General Account ($0.36 million General Fund and $1.67 million special funds, including the Workforce Innovation and Opportunity Act Fund and various workforce grant funds).

The Department's General Fund revenue budget is $5.8 million for related costs reimbursements. The Department projects a year-end revenue shortfall of $700,000 due to administrative expenses exceeding the ten percent grant limit of the Workforce Innovation Opportunity Act Fund. The revenue shortfall may be partially offset by the General Fund salary savings noted above. This Office will continue to monitor related costs reimbursements and work with the Department in its efforts to meet the revised revenue budget.


• Transfer a total of $100,972 (General Fund) from the Salaries General and Contractual Services accounts to various operating accounts as detailed in Attachment 5 for administrative support of asset management and economic development activities.

• Transfer a total of $149,815 (Community Development Trust Fund), from the Salaries General, Printing and Binding, Transportation, and Office and Administrative accounts to various operating accounts as detailed in Attachment 5 for administrative support for Community Development Block Grant activities.

• Transfer a total of $4,000 from the Operating Supplies account to the Salaries As-Needed account for support of Citi corporation summer youth employment programs and employment programs for vulnerable LA County probation-impacted youth.

• Transfer $67,387 from the Salaries General account to the Personnel Department's Salaries General account for personnel support of asset management activities.

0. El Pueblo No Recommendation

This Office continues to project $170,000 in year-end overspending as a result of enhanced security services to support the temporary homeless storage facility located on Paseo Luis Olivares that

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were not budgeted (C.F. 18-0044). A supplemental General Fund appropriation may be required by the year-end.

This Office previously identified a potential $170,000 year-end revenue shortfall within the Department's special fund revenue budget of $5.4 million. This is due to the re-purposing of Parking Lot 5 for the Bridge Housing Program. The Department continues to take various actions to offset this revenue shortfall including executing new !'eases, raising weekend parking rates, and securing new commercial filming. As a results of these actions, a year-end revenue shortfall is no longer projected.

P. Emergency Management Department No Recommendation

The Emergency Management Department (EMO) is projecting to complete the fiscal year with a net surplus of $167,027, consisting of $167,017 from General Fund and a $10 Special Fund surplus.

The Department's General Fund revised revenue budget is $977,987, following a reduction in expected receivables from the County of Los Angeles to fund a Public Health Coordinator position. This position has been filled and was front-funded by the General Fund, with costs to be reimbursed by the County of Los Angeles. The Department now projects a year-end shortfall of approximately $4,316, which is comprised of a $4,341 decrease in Reimbursement from Other Funds and a $25 surplus in reimbursements from prior year salaries.

Q. Employee Relations Board Attachment 6 - Transfers between Accounts within Departments and Funds Attachment 8 - Appropriations from the Unappropriated Balance

This Office projects that the Employee Relations Board will have net year-end General Fund overexpenditures of $33,027 primarily due to a retirement payout and a 120-day authority for the former Executive Director's to resolve complex employee relations matters. The overspending is also due to additional salary costs incurred during the transition period between the former Executive Director and new Executive Director. Total over-expenditures are $45,027, however, there are savings in some accounts that can partially offset this overspending.

This Office recommends the following transactions to offset the projected overspending:

• Transfer a total of $12,000 from the Salaries As-Needed, Printing and Binding, Office and Administrative, and Operating Supplies accounts to the Salaries General account to offset a projected over-expenditure in the account.

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• Transfer $33,027 from the Unappropriated Balance, Reserve for Mid-Year Adjustments account to the Salaries General account to offset a projected over-expenditure in the account.

R. Ethics No Recommendation

The City Ethics Commission is projected to complete the year with a $143, 115 salary surplus.

The Department anticipates meeting its General Fund revenue budget of $570,650 by year end.

S. Finance Attachment 5 -Transfers between Accounts within Departments and Funds Attachment 7 - Appropriations to the UB, Reserve for Mid-Year Adjustments Recommendation No. 8

This Office projects that the Office of Finance will end the year with a $1.74 million General Fund surplus across all accounts. The surplus is higher than the Second FSR estimate of $1.36 million due to increased attrition. The anticipated General Fund surplus in the Salaries General account of $1.81 million is offset by projected overspending in the Printing and Binding ($15,000) and Office and Administrative ($50,000) accounts. A transfer is recommended from the Salaries General account to partially address internal overspending. It is further recommended that $1.1 million of the salary surplus be used to offset a portion of Citywide overspending. This reduces the net yearend General Fund surplus to $0.64 million. The Department and our Office will continue to monitor these accounts and will recommend transfers as necessary in the year-end financial status report.

The Department anticipates exceeding its revenue budget by $1.43 million primarily due to increased proprietary department reimbursements and Department of Water and Power Lifeline Program reimbursements (RSC 5165). On June 12, 2018, the Board of Water and Power Commissioners approved an increase to the Office of Finance's cost recovery rate for processing Lifeline Program applications. This increase was not assumed in the 2018-19 Adopted Budget revenue projection. The revised revenue goal includes payments for the full year of 2017-18 and the first half of 2018-19. The revised revenue budget is $8.32 million to reflect increased receipts from proprietary departments as discussed above.

Merchant Fee Status The 2018-19 Budget reduced Finance's Bank Service Fees account by $0.5 million on an ongoing basis to reflect additional departments passing credit card usage fees to cardholders. Finance established the Credit Card Service Fee Pass-Through Program (Program) to assist departments with implementation. Finance reports that of the 14 departments instructed to pass credit card fees to customers in the First FSR, four departments have begun implementation and one department is not currently incurring credit card service fees. The remaining nine departments have indicated to Finance that they will not participate in the Program:

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• Animal Services • El Pueblo • Ethics • General Services • Housing and Community Investment • Library • Public Works-Bureau of Sanitation • Recreation and Parks • Zoo

This Office recommends instructing the above departments to establish direct payment for credit card service fee costs incurred from January through June 2019. If these departments do not pay for the fees directly or reimburse Finance for the costs, the Bank Services Fee account may be overspent. Housing, Library, Recreation and Parks, and Zoo have requested to reimburse Finance with special funds. We will continue to monitor the Bank Service Fees account and the implementation of the Program.


• Transfer $15,000 from the Salaries General account to the Printing and Binding account to address costs related to business tax renewal mailings.

• Instruct the Animal Services, El Pueblo, Ethics, General Services, Housing and Community Investment, Library, Public Works-Bureau of Sanitation, Recreation and Parks, and Zoo departments to work with the Office of Finance to establish departments' direct payment of merchant service fees related to credit card transactions by June 1, 2019 with the intent of defraying all General Fund expenditures on such fees.

• Transfer to $1.1 million from the Salaries General account to the UB, Reserve for Mid-Year Adjustments account to partially offset Citywide overspending.

T. Fire Attachment 4 - New Appropriations Attachment 5-Transfers between Accounts within Departments and Funds Recommendation Nos. 9 and 10

The Los Angeles Fire Department is projecting net year-end over-expenditures of $7.19 million which is less than the Second FSR estimate of $10.3 million. The remaining over-expenditures are mainly attributed to the Salaries, Sworn ($5.16 million), Overtime Constant Staffing ($1.02 million), Overtime Variable Staffing ($523,000), Overtime General ($284,000), Field Equipment Expense ($300,000}, and Uniforms ($200,000) accounts. The net year-end General Fund estimate assumes the transfer of salary savings to offset a portion of this projected overspending. A supplemental appropriation recommended in this FSR will reduce the projected over-expenditures to $7 .11 million by the year-end. It is anticipated that the Department will manage the remaining imbalance through deferred expenses and potential reimbursements. This Office will continue to monitor these

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accounts and report back by the year-end.

The Department does not report any significant impacts to its General Fund revenue target of $210.3 million at year-end. General Fund receipts through January 17th, 2019 total $91. 7 million, which represents approximately 44 percent of the total revenue budget.

Intergovernmental Transfer Program Funds The Fire Department continues to report a shortfall from the Intergovernmental Transfer Program (IGT) fund receipts of $3.3 million for 2018-19. A slight increase in receipts from other revenue accounts and the judicious management of resources may mitigate the reduction in IGT revenue.

The most significant expenditure variances are discussed below.

• Salaries Sworn: The Department is projecting an over-expenditure of $5.16 million. This is mainly due to mutual aid response to fires and disasters outside the City. This account is expected to be fully offset by ongoing reimbursements. The FSR includes appropriations from Measure B and from the 2016 Staffing for Adequate Fire and Emergency Response Grant (SAFER) program to this account to partially offset this imbalance.

• Overtime Constant Staffing: The projected overspending reported in the last FSR has now been reduced from $2.2 million to $1.02 million. The Department is not requesting a transfer at this time and will continue to monitor this account.

The following transactions are recommended:

• Transfer $300,000 from the Salaries General account to the Field Equipment Expense account to offset the cost of maintenance on fire boats, including Fire Boat 4 which has been recently hauled out for regular maintenance. These costs are reimbursed from the Port of Los Angeles.

• Appropriate $134,107 from the Vocational Education Training (VET) Fund to the Department of Public Works, Bureau of Street Services (BSS), for resurfacing of the Frank Hotchkin Memorial Training Center parking lot.

• Transfer $341,733 from LAFD Measure B funds received from Los Angeles County to the Department's Salaries Sworn ($53,147) and Overtime Variable Staffing ($20,888) accounts and as revenue (RSC 5168) for prior years' salary reimbursements ($267,699). These funds are reimbursements relating to the Department's Aero Medical Clinical Care Coordinator and training costs.

• Appropriate ongoing reimbursements from the 2016 SAFER Grant (C.F. 17-1434) to the Department's salary accounts. Transfer authority must be renewed each fiscal year for General Fund transactions. Approximately $2.6 million in reimbursements pertaining to the 2016 SAFER Grant are anticipated this year.

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• Appropriate $95,598 from the Department's Reimbursement from Other Funds revenue account to the Department's operating expense account as reimbursement from a Cal OES grant for the purchase of a SUV for the Department's K-9 Unit. The funds were transferred to LAFD as revenue by the Mayor's Office and must be appropriated to complete the reimbursement.

• Transfer $200,000 from the Water Control Devices account to the Uniforms account for the replacement of firefighter safety gear.

• Transfer $2,566,050 in 2016-17 Inter-governmental Transfer Program funds to the Reserve Fund to repay a loan pursuant to the 2017-18 Year End FSR (C.F. 17-0600-S119).

MICLA • Authorize Municipal Improvement Corporation of Los Angeles (MICLA) funding for the

ongoing installation of communications equipment. This funding was provided in the 2017-18 Year End FSR to reimburse ITA's Hiring Hall account through December 2018. An additional transfer of $200,000 is recommended to complete the installation work through end of the fiscal year.

U. General Services Attachment 5 - Transfers between Accounts within Departments and Funds Attachment 6 - Transfers between Departments and Funds

The Department's projected net General Fund over-expenditure has decreased from $7.78 million to $5.5 million primarily due to an increased surplus in the Salaries General account, reduced overexpenditures in the Petroleum Products account, and special fund adjustments. The projected Special Fund surplus has decreased from $5.43 million to $4.03 million.

Various transfers are recommended from the Salaries General, Leasing, and Petroleum Products accounts to address a portion of the reported over-expenditures and are assumed in the $5.5 million estimate. A portion of the remaining $5.5 million General Fund imbalance may be addressed with $2.8 million in the Unappropriated Balance for contracted custodial services, pending Council approval, and $590,000 in Capital Improvement Expenditure Program funds, pending appropriation in a future Construction Projects Report. If these pending actions are approved, the remaining General Fund overspending will be reduced to approximately $2.1 million.

This Office's projected year-end General Fund revenue shortfall for the Department remains at $12.5 million due to unrealized revenues from the leasing of City facilities as a result of pending policy on the use of City facilities by billboard companies.

The most significant change to the Department's budget outlook includes an increase in the Salaries General account surplus from $3.3 million to $4.3 million. This report recommends transfers from this account to partially offset anticipated over-expenditures in other accounts.

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This Office recommends the following transactions at this time:

• Transfer $2.4 million from the Salaries General account to the following accounts:

o Salaries As-Needed ($450,000) to offset overspending resulting from hiring part-time vocational workers to provide custodial services, as-needed building maintenance, and parking related services;

o Overtime General ($50,000) for warehouse and payment services in support of the Bureau of Sanitation. Funds will be transferred from the Sewer Construction and Maintenance Fund Salaries General account surplus;

o Hiring Hall Benefits ($350,000) for the payment of benefits for hiring hall workers in accordance with their respective Memorandum of Understanding;

o Contractual Services ($471,000) to offset overspending resulting from unfunded contract security services, replacement and removal of underground fuel storage tanks, and access control panel equipment and repairs;

o Field Equipment Expense ($689,000) to offset overspending in the account;

o Custodial Supplies ($130,000) to offset cost increases and increased usage of supplies;

o Other Operating Equipment ($131,000) to purchase servers and software licenses to replace obsolete systems; and

o Controller's Office Salaries As-Needed ($80,000) to reimburse the Controller's Office for Accounting Resource Pool staff support.

• Transfer $870,000 from the Leasing account to the Field Equipment Expense account to offset the projected over-expenditure in the account.

• Transfer $1,579,000 from the Solid Waste Resources Revenue Fund portion of the Petroleum Products account to the Field Equipment Expense ($1,429,000) and Overtime ($150,000) accounts to address Special Fund shortfalls in those accounts.

V. Housing and Community Investment Attachment 4 - New Appropriations

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Attachment 5 - Transfers between Accounts within Departments and Funds Attachment 6 - Transfers between Departments and Funds

This Office projects that the Housing and Community Investment Department (HCID) will have a year-end Special Fund surplus of $9.6 million and General Fund surplus of $51,100. The Department currently has a vacancy rate of approximately 20 percent, which HCID will try to reduce as they fill positions when certification lists become available. This FSR recommends transfers from the Salaries General account to various other accounts to support the department's operational needs, such as contractual services, overtime, lease costs, and system hardware and software needs.

The Department's revenue budget is $33.3 million. The Department continues to project a shortfall of $6 million due to a reduction in related cost reimbursements. The anticipated decrease in related cost reimbursements is attributable to the Department's vacancy rate and reductions in available grant funds. This Office will continue to monitor the Related Cost reimbursements and work with the Department to meet the revenue budget and make timely reimbursements to the General Fund.

Realignment of Community Development Block Grant Consolidated Plan Year We previously identified a $2.7 million General Fund liability resulting from the alignment of the Community Development Block Grant (CDBG) Consolidated Plan Year with the City's fiscal year. The Second FSR actions reduced the liability to $2.6 million. The actions recommended in this FSR further reduce this year-end estimate to $2.34 million. HCID reports that they may have sufficient funding to offset their share of these administrative costs while Los Angeles Homeless Services Authority has confirmed that they are able to absorb these costs through the year-end. The Department of Aging, City Attorney, and Economic and Workforce Development Department, however, do not have sufficient savings and request an additional appropriation for their administrative costs. Due to a reported CDBG-funded salary surplus within HCID, this Office recommends a transfer of $260,000 from the HCID's Salaries General account to salary accounts within the Department of Aging, City Attorney, and Economic and Workforce Development Department. This reduces the remaining General Fund liability to $2.34 million. We will continue to work with the Departments to identify any potential savings to offset this General Fund liability by the year-end. If savings are not available, a supplemental General Fund appropriation will be required.


• Appropriate $1.3 million to the Department's operating budget from the Systematic Code Enforcement Trust Fund (Fund 41 M) to pay for Leasing costs.

• Transfer $34,551 from the Salaries General account to the Contractual Services and Office and Administrative accounts to support software renewals, hardware purchases, and overtime needs for the department (Fund 424).

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• Transfer $113,731 from the Contractual Services account to various accounts to support the Handyworker Program's operating needs (Fund 424).

• Transfer $141,925 from the Salaries General account to the Contractual Services account to support the Konica lease needs for the department in various funds.

• Transfer $180,712 from the Salaries General account to other accounts for general funded programs office and administrative and leasing needs.

• Transfer $40,488 from the Leasing account to the Salaries General account from Community Services Block Grant Funds to support program's needs.

• Transfer $70,000 from the Salaries General account to the Leasing account to support the Garland Building Lease.

• Appropriate $4,000 from the Board Commission -Status of Women Trust Fund to HCIDLA's operating budget to pay for activities related to the work of the Commission.

• Appropriate $87,987 from the ARRA-Neighborhood Stabilization Program 2 Fund to pay for salary costs.

• Appropriate $400,000 from the Code Trust Fund Cash Balance to the Contract Programming account within the same Fund for the Systematic Code Enforcement Program.

• Transfer $259,897 from the HCID's Salaries General account (Fund 424) to the Salaries General account within the Departments of Aging, City Attorney, and Economic and Workforce Development to pay for administering the Consolidated Plan from April 2019 through June 2019 as a result of the realignment of the Consolidated Plan Year to the Fiscal Year.

W. Information Technology Agency Attachment 5 -Transfers between Accounts within Departments and Funds Attachment 7 -Appropriations to the UB, Reserve for Mid-Year Adjustments

The Information Technology Agency (ITA) projects a net General Fund surplus of $1.98 million, a $0.59 million decrease from the surplus reported in the Second FSR. The change reflects a reduction in the projected Salaries General and Communication Services accounts' surpluses. The savings in these accounts are offset by projected overspending in ITA's Hiring Hall Salaries and Overtime General accounts. The overspending projections in the Hiring Hall Salaries account are similar to expenditure patterns from the previous year and are anticipated to be resolved through the transactions recommended in this report. The Department reports that the General Fund surplus may be needed to offset costs related to accelerated hiring, the continued rollout of the Mobile Worker Program, and the Human Resources Payroll Replacement Project. This Office recommends that $1.5 million of ITA's General Fund surplus be used to help offset cumulative Citywide overspending.

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The Department anticipates General Fund revenue of $5.76 million which is approximately $250,000 below ITA's 2018-19 revenue budget. The Department will, however, meet its Special Fund revenue budget of $17.25 million by year-end.


• Transfer $300,000 from the Salaries General account to the Contractual Services account to mitigate an anticipated overspending in this account associated with continued project management for the Human Resources Payroll Project and additional programming content produced for LA CityView.

• Transfer $600,000 from the Salaries General account to the Salaries Overtime account to mitigate an anticipated overspending in this account associated with the Department's use of overtime to backfill vacancies.

• Transfer $205,000 from the Salaries General account to the Hiring Hall Salaries account to mitigate an anticipated overspending in this account associated primarily with sick time payouts.

• Transfer $400,000 from the Communication Services account to the Hiring Hall Salaries account to mitigate an anticipated overspending in this account associated with maintenance tasks and repair jobs including Voice over Internet Protocol upgrades at LAPD stations and LAFD Fire Station Alerting System Upgrades.

• Transfer $1.5 million from the Salaries General account to the UB, Reserve for Mid-Year Adjustments account to partially offset Citywide overspending.

X. Library Attachment 6 - Transfers between Departments and Funds

This Office projects that the Department will have a year-end surplus of $2,168,246 in its Salaries, General account as a result of vacancies. The Department intends to use $1.5 million of this funding as revenue from the Unreserved and Undesignated Fund Balance (UUFB) to fund the Library's 2019-10 Proposed Budget.

The Department anticipates meeting its revenue budget of $4.4 million. All revenue collected by the Library is deposited into the Library Fund.

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• Transfer $1,505,515 from the Library's Contractual Services account to the Department of General Services, Salaries Hiring Hall ($353,954.36), Benefits Hiring Hall ($235,971.24), and Construction Materials and Supplies ($915,589.40) accounts for work completed at the Central Library, and various branch libraries.

Y. Mayor Attachment 6 - Transfers between Departments and Funds Attachment 8 - Appropriations from the Unappropriated Balance Recommendation Nos. 11 and 12

The Mayor's Office requests the following transactions:

• Transfer $1,881,432 from the Unappropriated Balance, Equipment, Expense, Alteration and Improvement account to the Mayor's Salaries General and Salaries Grant Reimbursed accounts to support current year salary costs.

• Transfer $119,565 from the Mayor's Contractual Services account to the City Attorney's Salaries General account to reimburse the department for Gang Reduction and Youth Development (GRYD) salary costs for the period July 2018 through December 2018.

• Authorize the Controller to disencumber up to $59,684 in 2017-18 encumbered balances for Gang Reduction and Youth Development Service Provider Contracts within the Mayor's Contractual Services account, and request the Controller to revert the unencumbered funds to the Reserve Fund, transfer up to $59,684 to the Unappropriated Balance, and appropriate therefrom to the Recreation and Parks Contractual Services account, to support Summer Night Lights activities.

• Transfer $673,076 from the Mayor's Contractual Services account to the Recreation and Parks Contractual Services account to support Summer Night Lights activities.

• Establish a new appropriation account within the Fiscal Year 2016 Preparing Communities for Complex Coordinated Terrorist Attacks Grant Fund and transfer $21,373 in prior year related costs to reimburse the General Fund for current year related costs.

• Establish a new appropriation account within the Fiscal Year 2016 Office of Violence Against Women Training and Services for Women with Disabilities Grant Fund and transfer $12,325 in prior year related costs to reimburse the General Fund for current year related costs.

• Establish a new appropriation account within Fiscal Year 2016 Justice Assistance Grant Fund and transfer $62,230 in prior year related costs to reimburse the General Fund for current year related costs.

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• Establish a new appropriation account within Fiscal Year 2018 Proposition 47, California State Board of Community Corrections Grant Fund and transfer $151,627 from various accounts to reimburse the General Fund for current year salaries and related costs.

• Reduce appropriations in the amount of $229,569 in the Fiscal Year 2016 Urban Areas Security Initiative Grant Fund, Emergency Management account to align with Council actions in the 2018-19 Budget (C.F. 18-0600). This transaction is required to correct a prior action that resulted in a new appropriation instead of a reappropriation. Rescind the prior corrective action contained in the Second Financial Status Report (C.F. 18-0600-S161 ) relative to this item.

Z. Neighborhood Empowerment No Recommendation

The Department of Neighborhood Empowerment is projecting a year-end surplus of $15,603. The surplus is primarily due to savings in the Salaries General and Office and Administrative accounts. The funds are expected to be used to offset over-expended accounts within the fiscal year.

The Department has no budgeted General Fund revenues.

AA. Personnel Attachment 5 - Transfers between Accounts within Departments and Funds Attachment 8 - Appropriations from the UB

The Personnel Department is projecting General Fund year-end overspending of $700,000 and a Special Fund surplus of $1.1 million. The Department's current budget outlook is primarily the result of 1) a surplus in the Salaries General account of $2.5 million associated with a high level of vacant positions (General Fund and Special Fund) and 2) potential overspending in the Contractual Services ($1,224,084), Salaries As-Needed ($500,000), Salaries Overtime ($250,000), and Training Expense ($114,000) accounts. The projected Contractual Services account imbalance is associated with an approved Council action regarding an increase to the reimbursement rate for forensic examinations conducted by the Sexual Assault Response Team Centers (C.F. 18-0728). This Office recommends a transfer from the Unappropriated Balance, Reserve for Mid-Year Adjustments account to fully offset the net year-end imbalance.

The Department is currently projecting to achieve its $23.2 million General Fund revenue budget. While Special Funded position vacancies will result in slightly decreased General Fund revenue associated with reduced related cost reimbursement, there is increased revenue in other areas that offsets the reductions. This Office will continue to monitor General Fund receipts and refine projections in a future FSR.

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• Transfer $1.38 million from the Salaries General account to the Salaries As-Needed ($500,000), Salaries Overtime ($250,000), Contractual Services ($524,084), and Training Expense ($114,000) accounts to address anticipated overspending in this account.

• Transfer $700,000 from the Unappropriated Balance, Reserve for Mid-Year Adjustments account to the Personnel Department Contractual Services account to address anticipated overspending in this account.

BB. Police Attachment 4 - New Appropriations Attachment 5 - Transfers between Accounts within Departments and Funds Attachment 6 - Transfers between Departments and Funds Recommendation No. 13

This Office previously projected year-end over-expenditures of $51.2 million for the Police Department, with $43.39 million attributed to the Sworn Overtime account. The actions taken by the Mayor and Council in the First and Second FSRs reduced this estimate from $51.2 million to $35.43 million. Since that time, the year-end imbalance has decreased by $2.24 million to $33.19 million and the Sworn Overtime Task Force released a joint report that recommends solutions to eliminate the sworn overtime over-expenditures. The recommended Task Force solutions consist of Reserve Fund loans, appropriations from the Unappropriated Balance Reserve for Mid-Year Adjustments and Various Programs and Services-Contingent Revenue accounts, and department savings that will be realized if hours reserved for standby, holiday, and emergency overtime and certain earmark deployments remain unexpended through year-end. If approved, the Task Force recommendations and assumptions will reduce the year-end imbalance by $21.81 million to $11.38 million. The recommendations in this Mid-Year FSR further reduce the year-end estimate to $10.48 million.

The Department has a General Fund revenue budget of $141.12 million. General Fund and Special Fund receipts are anticipated to end the year on budget.

The most significant expenditure variances and recommended offsets are discussed below:

• LACMTA-Related Expenses: Expenses of $895,557 for LACMTA-related expenses consist of Salaries General ($149,916), Salaries Sworn ($367,779), Field Equipment ($286,367), Uniforms ($12,375), Office and Administrative ($29,120), and Operating Supplies ($50,000). These expenses are the remaining amount needed for startup and interim requests for services from LACMTA. The initial front-funding for the balance of these expenses ($7.30 million) was provided as a Reserve Fund Loan in the Second FSR. This Office recommends an $895,557 Reserve Fund loan to be repaid from LACMTA revenue in 2018-19 and the first quarter of 2019-20.

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• Expense Accounts ($2.24 million): The Department continues to project over-expenditures in the Printing and Binding ($202,000), Contractual Services ($700,000), Field Equipment ($1.15 million), and Secret Service ($190,000) accounts. Transfers from other operational accounts with surpluses will offset these over-expenditures: Sworn Salaries ($1.32 million), Salaries As-Needed ($72,000), Uniforms ($700,000), and Operating Supplies ($150,000).

Westlake/MacArthur Park Community Market The 2018-19 Adopted Budget included an earmark within the Sworn Overtime account for costs associated with the Westlake/MacArthur Park Community Market which operates as permitted by the LACMTA seven days a week at the entrance to the Westlake/MacArthur Park subway station. Market expenses include overtime for Street Services Investigators to enforce Americans with Disabilities Act (ADA) requirements in the surrounding neighborhood, contract security services, salary expenses for a manager to oversee the market's operations, and fifty-percent of the cost for deployment of police officers to the Westlake/MacArthur Park subway station. Since these expenses are not related to sworn overtime, this Office recommends that they be addressed as follows:

• ADA enforcement in the area surrounding the market will be provided by the Public WorksBureau of Street Services (BSS) Investigation and Enforcement Division. Overtime expenses for this service are projected to be $339,317 through year-end. At this time it is unknown if BSS will be able to absorb these costs. If BSS is unable to absorb these costs, a General Fund appropriation will be required by the year-end.

• To ensure safe and orderly conditions at the market, the Housing Department will contract with the Central City Neighborhood Partners Family Source Center (CCNP) in order to hire a market manager for $12,500 and contract security to protect the market for twelve hours a day, seven days a week, for an anticipated cost of $42,613 through year-end. CCNP is acting as the fiscal agent for the market. Funding for these expenses will be transferred from the Police Department.

• The permit with LACMTA also requires that the City absorb fifty-percent of the expense for deploying sworn officers to the Westlake/MacArthur Park subway station; this cost is anticipated to be approximately $277,400 from January 2019 through June 2019. For accounting purposes, it is recommended that this amount be reimbursed to LACMTA from LACMTA revenue. Authority to appropriate the final amount of the rebate will be included in the Year-End FSR.

Managed Attrition The Department has begun planning to implement an additional phase of managed attrition which will yield approximately 200 additional sworn personnel from specialized and administrative divisions to assignments within the Office of Operations beginning in January 2019. The total number of officers redeployed through Managed Attrition since January 2018 will be 550 upon completion of this additional phase.

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Sworn Hiring From June 24, 2018 through January 5, 2019, the Department has hired six recruit classes totaling 273 officers. The Department plans to hire a total of 510 officers this fiscal year. Year to date attrition is 213 versus 220 projected. There are currently 10,080 officers deployed Citywide, including 27 Municipal Police Officers.

Civilian Hiring During the period from June 24, 2018 through January 5, 2019, 176 civilian positions were filled versus 131 planned, with attrition of 136 versus 119 planned. The total number of civilian positions deployed was 3,015 (including 276 Detention Officers). Staying within budget, the Department has been able to fill critical vacancies (i.e. Criminalist, Area Record Clerk, etc.) that directly impact police work. The filling of these positions has also supported the Department's commitment to strengthening the civilian workforce and ensuring that sworn personnel are assigned appropriately to perform police functions. Using various selection methods including the Mayor's Targeted Local Hire Program, the Department has been able to hire personnel for difficult to fill positions and expects to continue this progress within budgetary restraints.

This Office recommends the following transactions

• Transfer $2.24 million from the Salaries Sworn, Salaries As-Needed, Uniforms, and Operating Supplies accounts for the following: $202,000 to the Printing and Binding account for printing services and publication of the Use of Force Year-End Review; $700,000 to the Contractual Services account for contract security and copier contracts; $1.15 million to the Field Equipment account for vehicle maintenance expenses; $190,000 to the Secret Service account for the costs of Pen/Traps which allow for the tracking of missing persons per California Penal Code Section 1546.

• Authorize an $895,557 Reserve Fund loan to the Police Department to front-fund LACMTA reimbursable expenses and transfer $895,557 from the Reserve fund to various operational accounts. It is anticipated that the Reserve Fund loan will be repaid from LACMTA reimbursements during 2018-19 and the first quarter of 2019-20 in accordance with the three month invoicing schedule for the LACMTA contract.

• Transfer $99,462 from the General City Purposes Fund, Recruitment Diversity account to the Police Department's Office and Administrative account to enhance the Police Department's ability to recruit qualified and diverse sworn candidates. The funding will cover the costs of recruiter display booths, social media, promotional items, media and advertising, and travel expenses.

• Transfer $83,91 O from the Salaries General account to the Office of Mayor Salaries General account for the salary costs of the Department's Public Information Officer through Pay Period Ending December 22, 2018.

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• Transfer $147,749.78 from the Standards and Training for Corrections Fund to the Sworn Overtime ($17,749.78) and Overtime General ($130,000) account for training of sworn and civilian personnel.

• Transfer $80,614.53 from the Police Department Trust Fund for Harvard Park Community Safety Partnership Program to the Sworn Salaries ($30,535.20) and Sworn Overtime ($50,079.33) account to support the Harvard Park Community Safety Partnership Program. Further, transfer $54,758.38 from the Police Department Trust Fund for Harvard Park Community Safety Partnership Program to Revenue Source Code 5301, Reimbursement from Other Funds, for related costs related to this program.

• Appropriate $50,000 from the Department of Cannabis Regulation Special Revenue Trust Fund to the Police Department Sworn Overtime account to pay for inspections of cannabis facilities.

CC. Public Accountability No Recommendation

The Office of Public Accountability is projected to end the year with a surplus of $1,295,859 primarily within the Contractual Services and Salaries General accounts. This is mainly attributed to existing vacancies. If the surplus exists at year-end, DWP reimbursements will be adjusted downward.

The Department's General Fund revenue budget is $3.6 million. The Department now projects a year-end shortfall of $2. 7 million due to an anticipated decrease in current year billings to the Department of Water and Power (DWP) which reimburses all OPA expenditures. Further, this reduction is also attributed to DWP over payments in prior years that are being reconciled in the current fiscal year.

DD. Public Works/Board Attachment 5 - Transfers between Accounts within Departments and Funds Attachment 6 - Transfers between Departments and Funds Attachment 7 - Transfers to the UB, Reserve for Mid-Year Adjustments Attachment 8 - Appropriations from the Unappropriated Balance

The Board of Public Works (Board) projects a net surplus of $153,813 ($10,354 General Fund and $143,459 Special Fund). To stay within budget, the Board plans to absorb approximately $331 ,902 in General Fund costs by delaying hiring and holding several positions vacant.

The Board anticipates meeting its General Fund revenue budget of $6.4 million by year-end with the exception of $50,000 that was anticipated from the Proposition O Clean Water Bond as was reported in the First FSR.

Beginning in July 2018, graffiti removal contractors for the Office of Community Beautification

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(OCB) are required to adhere to the State of California Prevailing Wage, which requires graffiti abatement workers to be paid an amount equivalent to union painters at $43 per hour or to only supervise the work of community service workers that are exempt from the Prevailing Wage rate. To adhere to Prevailing Wage and operate within budget, OCB contractors have reduced the hours of graffiti abatement crews, thereby decreasing graffiti removal services in various Council Districts by 21 percent. The Board is requesting $575,000 from the Unappropriated Balance, Reserve for Mid-Year Adjustments account to partially address the decrease in graffiti removal service levels.

The 2018-19 Adopted Budget appropriated $1,745,242 from the PWTF to the Capital Improvement Expenditure Program for six projects. The majority of this amount has been transferred. The Board is requesting the transfer of the remaining $1,512.86 for two projects.


• Transfer $30,000 from the Salaries General account within the Sewer Operations and Maintenance Fund to the Overtime General account for additional overtime related to Sewer Construction and Maintenance accounts payable.

• Transfer $2,622,023 from the Public Works Trust Fund to the Bureau of Street Services, Reimbursement of Expenditures account to reimburse the Bureau for pavement preservation projects in accordance with C.F. 18-0600 and C.F. 18-0394.

• Transfer $321,409 from the Public Works Trust Fund account to the Street Furniture Revenue Fund of Council Districts 3, 7, 8, 9, 10, and 13 pursuant to C.F. 18-0394.

• Transfer $75,000 from the Contractual Services account to the Salaries General account pursuant to C. F. 18-0394.

• Appropriate and transfer $25,000 from the Contractual Services account to the Unappropriated Balance, Reserve for Mid-Year Adjustments account pursuant to C.F. 18-0394.

• Transfer $1,512.86 from the Public Works Trust Fund to the Verde Oak Drive (2552) Bulkhead and the Sheldon Arleta Sidewalk Improvement - Sharp Avenue accounts in the Capital Improvement Expenditure Program.

EE. Public Works/Bureau of Contract Administration Attachment 4 - New Appropriations Attachment 5 - Transfers between Accounts within Departments and Funds Attachment 7 -Appropriations to the UB, Reserve for Mid-Year Adjustments

The Bureau is projecting a year-end surplus of $5 million ($3.2 million in General Fund and $1.8 million in special funds). This is primarily due to salary savings from existing vacancies. The General Fund surplus assumes $1.5 million from off-budget sources and the transactions

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recommended in this report. Additionally, any changes to anticipated workload schedules, project information, or future appropriations will impact the General Fund surplus estimate. This Office recommends that $2 million of the Bureau's General Fund surplus be used to help offset cumulative Citywide overspending.

Year-end General Fund revenue is currently projected at $3.2 million below the budgeted amount of $27.4 million. The shortfall is mainly attributed to a decrease in permit inspections and in proprietary and special funded program workload. This reduction in workload also impacts the related costs reimbursements to the Bureau. This Office will continue to monitor the Bureau's revenue to ensure that it meets the revised revenue targets.


• Transfer $450,000 within the Sidewalk Repair Fund from the Bureau of Contract Administration appropriation to the Sidewalk Repair Engineering Consulting Services account as these funds are not needed by the Bureau. The funds will be used to provide additional support to the Sidewalk Repair Program.

• Transfer $886,107 from the available cash balance within the Sewer Capital Fund to the Bureau of Contract Administration's Salaries General account to address projected deficits associated with additional inspection services provided for wastewater projects.

• Transfer $2.0 million from the Salaries General account to the UB, Reserve for Mid-Year Adjustments account to partially offset Citywide overspending.

• Reduce appropriations to the Salaries General account by $450,000 from the Sidewalk Repair Fund as these surplus funds are not needed by the Bureau. These funds will be used to provide additional engineering consulting services for the Sidewalk Repair Program.

See the Special Gas Tax Improvement Fund section for recommended reductions in appropriations to the Bureau.

FF. Public Works/Bureau of Engineering Attachment 6 - Transfers between Departments and Funds Recommendation No. 14

This Office projects a year-end surplus of $7.8 million for the Bureau of Engineering. This is a slight increase above the $7.7 million surplus reported in the Second FSR. The surplus is mainly due to salary savings, primarily in special funds.

This Office projects that the Bureau's General Fund revenue budget of $48.6 million will be reduced to $46.6 million, a reduction of $2.0 million due to an anticipated reduction in related cost reimbursements to the General Fund. General Fund receipts through the end of December total $20.9 million, which represents 45 percent of the Bureau's total revised revenue budget. The delay

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in B permit reconciliation, which was reported in the last FSR, is still reflected in B permit receipts. As of December, the Bureau collected $1.7 million, or 35 percent of the $4.7 million B permit revenue target. This Office will continue to monitor the Bureau's revenue to ensure that it meets its General Fund revenue budget and will report back in the Year-End FSR regarding any significant changes.

This Office recommends the following transactions at this time:

• Transfer $200,000 from the Bureau's Engineering Special Services Fund to the General Services Department's Hiring Hall Construction, Hiring Hall Benefits, and Construction Materials accounts for roof replacement and repair of the Hydraulics Research Lab.

• Authorize the Controller to process the revision of the 2017-18 Year-End Reversion Worksheet submitted by the Bureau of Engineering on October 2, 2018.


GG. Public Works/Bureau of Sanitation Attachment 5 - Transfers between Accounts within Departments and Funds Attachment 6 - Transfers between Departments and Funds

The Bureau's overall projected year-end special fund surplus has increased by $8.01 million, from $3.26 million to $11.27 million, due to salary savings. While the Bureau's vacancy rate has decreased from 17.2 percent to 12.5 percent since the last FSR, the Bureau has been delayed in implementing its hiring plan. The 2018-19 Budget provided the Bureau with 175 new positions with either six or nine-months funding. Only 46 of these positions have been filled as of December 31, 2018.

In addition, the Bureau now projects a General Fund surplus of $796,558 due to the delayed rollout of three Homeless Outreach Proactive Engagement (HOPE) teams. The 2018-19 Budget provided $3.57 million for nine-months funding to implement three additional HOPE teams. This Office will continue to monitor the Bureau's hiring efforts and HOPE team deployment.

The previously reported year-end General Fund liability of $3.08 million attributed to unfunded Proposition O positions ($1.40 million) and unanticipated costs for the Hollywood Hills Storm Drain Repair Project ($1.68 million) has increased by $1.60 million to $4.68 million due to additional emergency storm drain repairs. During severe rain storms, the Bureau uses on-call contractors to repair damaged storm drains that present an immediate risk to public safety. No actions are recommended at this time as the Bureau has expended only $1.04 million of its $3.0 million appropriation in the On-Call Contractors (Emergency Funds) account to date. In addition, the Bureau has only expended $1.25 million of the $5.08 million remaining special purpose fund appropriations within the Stormwater Pollution Abatement Fund. This Office will report back in the Year-End FSR on the status of these issues and recommendations to resolve the remaining General Fund liability.

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The Bureau anticipates meeting its General Fund revenue budget of $119.3 million by year end.

The following transactions are recommended at this time:

• Transfer $23,808 from the Sanitation Expense and Equipment account, a special purpose fund appropriation within the Sewer Operations and Maintenance Fund (SCMO), to the Information Technology Agency's Communication Services account for the leasing of fiber service lines between the Hyperion Water Reclamation Plant and various satellite locations within the Los Angeles Integrated Wastewater Network Systems.

• Transfer $50,000 from the Bureau's Salaries General account within the Central Recycling Transfer Station Fund to the Bureau's Overtime General account for the "Free Dump Saturday" program activities at the Central Los Angeles Recycling and Transfer Station.

• Transfer $700,000 from the Bureau's Salaries General ($300,000) and Operating Supplies ($400,000) accounts within the General Fund to the Bureau's Overtime General account to support the "A Bridge Home" program and other public health emergencies.

• Transfer $1,500,000 from the Bureau's Salaries General account within the SCMO to the Bureau's Overtime General ($1,450,000) account to staff the Bureau's wet weather response teams and test the replacement process control systems at the Bureau's water reclamation facilities and the Office and Administrative ($50,000) account for employee tuition reimbursements.

• Transfer $30,000 from the Bureau's Salaries General account within the Citywide Recycling Trust Fund to the Bureau's Office and Administrative account for employee tuition reimbursements.

HH. Public Works/Bureau of Street Lighting Attachment 4 - New Appropriations Attachment 5-Transfers between Accounts within Departments and Funds

Pending approval of the recommendations in this report, it is projected that the Bureau of Street Lighting (Bureau) will complete the year within budget across all accounts. It is projected that the Bureau will achieve a special fund year-end surplus of $5.2 million, which is primarily due to salary savings from existing vacancies and a surplus in the Street Lighting Improvements and Supplies account. This is an increase from the $2.5 million estimate reported in the Second FSR.

The Bureau currently anticipates that General Fund revenue will come in at $4.0 million below the budgeted amount of $17.7 million. This is due to an expected decrease in related costs reimbursements to the General Fund resulting from an overpayment in 2017-18 and from vacancies in 2018-19. The Bureau's special fund revenue is projected to be on budget.

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• Transfer $73,276 from the Measure M Local Return Fund to the Bureau's budgetary accounts to reimburse the Bureau's expenditures from design work performed for the Complete Streets Program.

• Transfer $24,656.80 from the Sidewalk Repair Fund to the Street Lighting Maintenance Assessment Fund Revenue Source Reimbursement from Other Funds - General and the Bureau's Salaries General account to reimburse the Bureau for work performed as part of the Sidewalk Repair Program.

• Transfer $732,151 between appropriation accounts within the MICLA 2016 and 2017 Streetlights Construction Funds to continue the Bureau's High Voltage Conversion Program.

II. Public Works/Bureau of Street Services Attachment 3 - Special Fund Reappropriations Attachment 4 - New Appropriations Attachment 5 - Transfers between Accounts within Departments and Funds

The Bureau of Street Services (BSS) is projecting a total year-end surplus of approximately $0.50 million in Special Funds. The surplus is attributable to salary savings due to vacancies and attrition.

The Bureau is projecting a $4.5 million year-end shortfall with in its General Fund revenue budget of $52. 7 million. The projected year-end revenue shortfall has increased from $3.6 million to $4.5 million mainly due to a $0.88 million reduction in Proposition C Local Transit Related Costs revenue due to vacancies. General Fund receipts through the end of December 2018 total $8.9 million, which represents 17 percent of its total revenue budget of $52.7 million. Approximately $39.4 million of the Bureau's revenue target is related costs reimbursement.


• Appropriate $1,649.28 from the Public Works Trust Fund (Revenue Source Code 57 4219) to the Bureau for reimbursement of illegal vending enforcement.

• Reimburse a total of $785,800.03 to various City departments and funds associated with Special Events held from July 2017 through June 2018 from the Subventions and Grants Fund.

• Transfer $2,650,000 between various Bureau accounts to address projected deficits in Bureau accounts including Construction Expense ($1,500,000); Contractual Services ($500,000), Office and Administration ($200,000), and Operating Supplies ($450,000) accounts.

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• Reappropriate $6,790.17 from the Street Furniture Revenue Fund to the Bureau for street and curb repairs in Council District 4 per C.F. No. 18-0011-S1.

• Reappropriate $127,219.99 from the Street Furniture Revenue Fund to the Bureau for various sidewalk repairs, including tree services, in Council District 13 per C.F. No. 17-1600-S 119 and 16-0600-S 173.

• Reappropriate $276.82 from the State AB 1290 City Fund to the Bureau for emergency sidewalk improvements to repair broken and buckled sidewalks in Council District 7 per C.F. No. 17-0600-S119.

• Reappropriate $800,000 from the Sunshine Canyon Community Amenities Fund to the Bureau for various resurfacing projects in Council District 12 per C.F. No. 17-0600-S114.

• Reappropriate $9,000 from the State AB1290 City Fund to the Bureau for various street projects, including tree services, in Council District 3 per C.F. No. 17-0600-S119 and 16-0600-S173.

• Reappropriate $168,496.05 from the CRNLA Excess Non-Housing Bond Proceeds Fund to the Bureau for the repair and replacement of sidewalk, driveways, curb and gutter, and curb ramps along Whittier Blvd. between Indiana St. to Lorena St. per C.F. 17-0600~S114 and 14-1174-S4.


JJ.Recreation and Parks No Recommendation

The Department is projecting a year-end Special Fund surplus of approximately $553,000, which is slightly higher than the $300,000 surplus reported earlier this year. The surplus is primarily a result of a projected year-end $2.37 million surplus in the Salaries General account due to vacancies. The projected surplus may be necessary to offset the anticipated overspending totaling $1.82 million due to the following:

• Los Arigeles Unified School District (LAUSD) Strike ($216,000) - Overspending is projected in the Salaries As-Needed ($134,000), Overtime General ($62,000), and Contractual Services ($20,000) accounts for services to families affected by the LAUSD strike in January 2019. The Department opened 40 recreation centers across the City for six days, providing recreational programming, and lunches and snacks to approximately 6,700 students.

• Rain and Winter Storms ($100,000) - Overspending is projected in the Overtime General account for emergency response and shelter operations.

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• Credit Card Service Fee Pass-Through Program ($500,000) - Overspending is projected in the Contractual Services account to establish direct payment of merchant service fees related to credit card transactions by June 1, 2019.

• Brush Clearance ($300,000) - Overspending is projected in the Contractual Services account due to increased vendor costs and additional work demand.

• Additional Sanitation Charges ($300,000) - Overspending is projected in the Refuse Collection account as a result of the Bureau of Sanitation's charges for excess homeless debris in the Venice Beach area.

• Fire, Life and Safety ($200,000) - Overspending is projected in the Maintenance Materials, Supplies and Services account to perform work mandated by the Los Angeles Fire Department.

• Pool Repairs ($200,000) - Overspending is projected in the Maintenance Materials, Supplies and Services Account for repairs of pool pumps, filters, and boilers throughout the park system.

Additionally, the Department anticipates continued shortages in the Overtime General account as a result of emergency shelter operations, special events, and increasing demands of homeless encampment cleanups. The 2018-19 Adopted Budget provided one-time funding in the amount of $493,765 to fund one Bulky Items Illegal Dumping cleanup crew to address the homeless issues but a significant shortage remains. The Department will offset projected over-expenditures with salary savings.

The Department anticipates meeting its Special Fund revenue budget of $49.6 million.

KK. Transportation Attachment 4 - New Appropriations Attachment 5 - Transfers between Accounts within Departments and Funds

The Department is projecting a $10.1 million year-end surplus across all funds and accounts. This is an increase of about $2.4 million from the previous reporting period. The net surplus is mainly attributable to continued vacancies, particularly in the Proposition A Local Return Fund, the Measure R Local Return Fund, and the Measure M Local Return Fund, combined with a small projected surplus in the Overtime General account due to the amount of funds transferred for traffic control services for special events and projects throughout the year. As of December 2018, the Department had 367 vacancies.

The Department anticipates a $5.3 million General Fund revenue shortfall to its target of $66.9 million. The estimate has increased by $2.1 million since the last reporting period. The revenue shortfall is mainly due to reduced related cost reimbursements to the General Fund based on persistent vacancies in various special funds; and, a reduction in permit and fee revenue. General Fund receipts through the end of December totaled $24.3 million, which represents 36.4 percent of

CAO File No. PAGE

0590-00098-5150 46

LADOT's total Revenue budget of $66.9 million. In terms of permits and fees, LADOT has collected $6.7 million as of the end of December, which represents 40.2 percent of the total budget of $16.0 million. The Department currently projects collecting $13.5 million in permits and fees revenue at year-end, which would equal a $3.1 million revenue shortfall for that category.

Parking citation revenue totaled $64.5 million as of January 3, 2019. Based on straight projection of revenue, this amount is 8.5 percent lower than projected collection ($70.5 million) for this time period. If current revenue projections hold through year-end (between 7.5-8.5 percent lower than projected), then the estimated revenue shortfall would range from $10.6 to $12 million lower than the $140.9 million adopted revenue budget at year-end. The Department expects revenue to increase during the last six months of the fiscal year due to the anticipated hiring of more traffic officers. Based on current revenue projections, the Department is projecting $130.3 million in revenue at year-end which is less than the $139.5 million estimate in the Second FSR.


• Transfer and appropriate $512,000 from the Proposition A Local Transit Fund, Transit Operations account to the Bus Inspection and Maintenance Facility account to pay for architectural services and construction services for the Downtown Bus Maintenance Facility.

• Transfer $150,000 from the Department's Contractual Services account to the Office and Administrative Expenses account to pay for computer license renewals, software subscription renewals, and various administrative expenses.

• Transfer $500,000 from the Salaries General account (Proposition C Anti-Gridlock Improvement Fund) to the Signal Supplies and Repairs account (General Fund) to address the projected over-expenditure in that account. The Department installs new traffic signals and maintains and repairs existing signals on a daily basis. Costly supplies (such as poles, mast arms, cabinets, and controllers) are required to support this operation.

• Appropriate $100,000 from the Special Parking Revenue Fund, Contractual Services account, to the Police Department's Sworn Overtime account to provide continued security services at the Hollywood and Highland parking facility for the remainder of 2018-19.

• Transfer $378,000 from the Measure M Local Return Fund, Salaries General account to the General Fund, Contractual Services account to offset the Gas Tax revenue shortfall.

• Transfer $477,035 from the Measure R Local Return Fund, Salaries General account to the General Fund, Paint and Sign Maintenance account to offset the Gas Tax revenue shortfall.

See the Special Gas Tax Improvement Fund section for recommended reductions in appropriations to the Department of Transportation.

CAO File No. PAGE

0590-00098-5150 4 7

LL. Zoo No Recommendation

The Department is projected to end the year within budget across all accounts. Although this FSR identifies various factors that may impact the Department's budget later in the fiscal year, overspending is not reported at this time. This Office will continue to monitor the Department's operational accounts and report on any changes.

The Department highlights the following concerns of potential impact to its budget:

• Continued staffing issues as a result of absences from vacation, family, sick, or other leaves, as well as vacancies from attrition throughout the year. The Department may need to supplement full-time staffing with additional part-time staffing to keep up with workload.

• Continued market price fluctuations in pharmaceuticals, animal feed, and other related commodities due to limited supply and increased costs.

The Department has no budgeted General Fund revenues.

2. STATUS OF NON-DEPARTMENTAL FUNDS AND SPECIAL ACCOUNTS

This section addresses the status of non-departmental expenditures and revenues and highlights issues of concern.

A. General City Purposes Attachment 5 - Transfers between Accounts within Departments and Funds

Since the last FSR, the net year-end surplus in the payroll accounts within the General City Purposes (GCP) budget has decreased from $381,760 to $197,977 because of the projected increase in Social Security Contribution expenditures. The overall surplus is composed of surpluses in the Medicare Contributions ($310,112) and Pensions Savings Plan ($140,267) accounts and a projected over-expenditure in the Social Security account ($252,402).

Recent payroll data for both the Medicare and Pensions Savings Plan have shown a decline in the number of employees and contribution amounts. The Social Security account reflects higher than anticipated employment levels. This account was budgeted based on an average of 440 employees per pay period, whereas actual employment levels have averaged 498 employees per pay period.


• Transfer a total of $252,402 from the Medicare Contributions and Pensions Savings Plan accounts to the Social Security account to offset an anticipated over-expenditure.

CAO File No. PAGE

0590-00098-5150 48

See the Police Department section for a transfer from the Recruitment Diversity account to the Police Department.

B. Human Resources Benefits Fund Attachment 5 - Transfers between Accounts within Departments and Funds

The Human Resources Benefits (HRS) Fund is currently projecting a net $700,000 imbalance, which is comprised of surpluses in the Contractual Services ($1.3 million) and Civilian Flex Benefits ($1 million) accounts, and overspending of $3 million in the Workers' Compensation account. The Contractual Services account savings are the result of savings in the implementation of the Police Alternative Dispute Resolution (ADR) program. The Civilian Flex Benefit savings are due to lower than projected civilian employee enrollment. The Workers' Compensation shortage is due to an increase in the State's Assessment Fee ($1.6 million) as well as increases in Workers' Compensation benefit and claims costs ($1.4 million). Transfers are recommended within the HRB to address the majority of this anticipated overspending. The CAO will work with the Personnel Department to monitor Workers' Compensation expenditures and address any remaining imbalance in the Year-End FSR.

HRS is anticipated to achieve its budgeted General Fund revenue of $2.7 million by year-end.


• Transfer appropriations within HRS from the Contractual Services ($1.3 million) and Civilian Flex Benefits ($1 million) accounts to the Workers' Compensation Account to partially eliminate the projected Workers' Compensation overspending.

C. Unappropriated Balance (UB) Attachment 7 -Appropriations to the UB, Reserve for Mid-Year Adjustments Attachment 8- Appropriations from the UB Attachment 9A - Status .of the UB - General Accounts Attachment 98 - Status of the UB, Reserve for Mid-Year Adjustments Attachment 9C - Status of the UB - Non-General Accounts

With the approval of the adopted budget, the Unappropriated Balance (UB) began with a balance of approximately $140.3 million. To date, approximately $0.6 million was transferred or reappropriated into the UB, while a total of approximately $54.5 million was transferred out. This reduced the UB balance to approximately $85.5 million. This report recommends a net transfer of

• $22.8 million from the UB, leaving a balance of approximately $62. 7 million.

In regards to the UB General Account, there has been no additional appropriations from this account since the last FSR. The balance remains at $48,059.

This report includes recommendations to appropriate $25.2 million from various UB line items, to address expenses including liability claims ($20 million), alterations and improvements ($5.1

CAO File No. PAGE

0590-00098-5150 49

million), and the Commission on Revenue Generation ($0.1 million).

In regards to the UB, Reserve for Mid-Year Adjustments account, the 2018-19 Adopted Budget included $20.3 million. As of the Second FSR, the balance was $19.6 million. A separate report recommends transferring $13.4 million from this account to address sworn overtime in the Police Department, reducing this account to a balance of $6.2 million. This report recommends transferring savings from various UB line items ($2.1 million) and City Departments ($4.6 million) into this account to be set aside to help offset over-expenditures at year-end. In addition, transfers totaling $2.2 million are recommended to address over-expenditures for the City Attorney Litigation Expense account ($1.5 million), the Employee Relations Board ($0.03 million), and the Personnel Department Contractual Services account for the reimbursement rate increase for forensic examinations conducted by the Sexual Assault Response Team Centers ($0.7 million). These recommendations result in a balance of approximately $10.7 million within the UB, Reserve for Mid-Year Adjustments account. Due to current expenditure trends, this Office anticipates that this account will be fully expended by year-end.

D. Liability Claims Account Attachment 10 - Status of Liability Claims Account Attachment 8 - Appropriations from the UB

The 2018-19 Budget includes $89.09 million for liability payouts and supplemental funding of $20 million in the Unappropriated Balance (UB) to pay for both tort liability and tax-related cases. Subsequently, $347,313 was reappropriated to the Liability Claims account for the Independent Living Center settlement monitoring fees.

Of the $89.44 million budgeted, an available balance of $30.24 million (or 34 percent) remains, of which $8. 75 million is budgeted for Bureau of Sanitation matters. Based on the current rate of departmental payouts, payouts pending approval, approved payouts pending payment, and prior year expenditures of $107 .12 million, this Office recommends transferring the supplemental funding of $20 million in the UB to the Miscellaneous Liability Payouts account to pay anticipated settlements.

Ardon Settlement The Ardon vs. City of Los Angeles matter is a class action which challenged the validity of the City's telephone users' tax based on an interpretation of federal law. The City previously approved a settlement agreement that capped liability at $92.5 million, inclusive of all claims, attorney fees, and other costs associated with the administration of this settlement. There is no change to the status of the Ardon claims account since the last reporting period. Of the initial $50 million appropriated in 2016, $27 million remains in the Ardon claims account to cover all claims and the remaining settlement costs. We continue to project that a total of $10 million may be needed for claims and settlement costs related to this matter.

This Office recommends the following transaction at this time:

• Transfer $20 million from the UB, Reserve for Extraordinary Liability account to the Liability

CAO File No. PAGE

0590-00098-5150 50

Claims Fund, Miscellaneous Liability Payouts account for anticipated settlements.

3. EMPLOYMENT LEVEL REPORT

Citywide employment authority from all funding sources totaled 36,672 at the end of December for both civilian and sworn classes. There are 32,484 filled positions at the end of December. Departments reported a total of 4,188 vacant positions: 2,086 General Fund and 2,102 special funded.

4. STATUS OF MICLA COMMERCIAL PAPER PROGRAM

The City's Financial Policies instruct the City Administrative Officer (CAO) to periodically report on the status of Municipal Improvement Corporation of Los Angeles (MICLA) Commercial Paper (CP) Programs. The MICLA CP Programs are used for the acquisition, construction, and capital improvements to the Los Angeles Convention Center (LACC) and various City facilities and for the acquisition of capital equipment and vehicles for City departments. The MICLA CP Programs allow the City to access the financial markets quickly, to obtain flexible, short-term maturities, and to borrow at favorable rates. Commercial paper notes are short-term obligations with maturities ranging from 1 to 270 days.

In April 2004, the Mayor and City Council approved a $200 million MICLA CP Program. The Mayor and City Council increased the MICLA CP Program to $300 million in December 2009, to $335 million in June 2013, and to $395 million in May 2016 (C.F. 16-0472).

In November 2015, the Mayor and Council approved a $110 million MICLA CP Program to be used as temporary financing for capital improvements and capital equipment purchases relating to the LACC (C.F. 15-1206).

The MICLA CP Programs are secured by direct-pay letters of credit (LOCs) from five commercial banks. The current LOCs for the MICLA CP Programs expire on June 30, 2019. This Office will report back regarding the replacement letters of credit at a later date, under separate cover. Below is the status of the MICLA CP Programs from the previous reporting date through February 19, 2019.

Program Reporting Period Interest Rate Range Amount Outstanding MICLA CP (Tax-Exempt) 0.65% to 1.84% $ 326,100,000 MICLA CP (Taxable) 2/16/18- 2/19/19 1.68% to 2.55% 29,300,000 MICLA LACC CP (Taxable) 1.75% to 2.70% 17,700,000

Total: $ 373,100,000

5. STATE BUDGET No Recommendation

CAO File No. PAGE

0590-00098-5150 51

On January 10, Governor Newsom released his 2019-20 proposed budget. The $209 billion budget reflects a 3.8 percent increase over 2018-19. The budget prioritizes discretionary funding allocations on paying down state liabilities, increasing reserves, and funding one-time programming expansions.

Potential impacts to the City include new funding to accelerate housing production and address homelessness. The proposed budget includes $250 million in grants to local governments to develop plans to meet new short-term housing production goals, which will be identified by the California Department of Housing and Community Development. An additional $500 million will be awarded to cities and counties that demonstrate progress towards those goals.

With regard to homelessness, the budget includes $300 million for jurisdictions that establish joint regional plans to provide housing and services to individuals experiencing homelessness. Of the $300 million, $100 million will be distributed to the eleven most populous cities in the state. An additional $200 million will be awarded to jurisdictions that show progress toward developing housing, shelters, and navigation centers.

The budget also encourages the formation of Enhanced Infrastructure Financing Districts (EIFD), a tool created after the dissolution of redevelopment agencies that authorizes the use of tax increment financing for infrastructure projects, including affordable housing and recreational facilities. The budget removes the 55 percent voter approval requirement to issue debt for the projects. The Governor will release his revised budget in May 2019. This Office will provide a status update in the Year-End FSR.

6. SPECIAL GAS TAX IMPROVEMENT FUND Attachment 6 - Transfers between Departments and Funds Recommendation Nos. 15 through 22

Special Gas Tax Improvement Fund (Gas Tax) revenues in the 2018-19 Adopted Budget were projected to be $96.6 million. As of the end of January 2019, actual Gas Tax revenues are trending approximately 20 percent below the Adopted Budget. The revised 2018-19 revenue estimate is $77.5 million (a reduction of $19.1 million). Therefore, adjustments to the 2018-19 Budget are required at this time. The recommended adjustments will not have a negative impact on projects as the funds are either no longer needed or alternative funding sources are identified. We have identified $13,435,000 in adjustments that are recommended as follows:

CAO File No. PAGE

0590-00098-5150 52

• $6 million - Actual Measure M revenues are above the Adopted Budget by approximately $6 million for 2018-19. Metro has confirmed that this surplus is part of a one-time, limited term adjustment to Measure M Local Return. This same increase in revenue is not being experienced in the General Fund, Proposition A, Proposition C, Measure Rand the Local Transportation Fund. This Office recommends that $6 million of 2018-19 Gas Tax appropriations to various accounts within the Bureau of Street Services be replaced with these surplus Measure M funds.

• $724,000 - The Bureau of Contract Administration and the Department of Transportation are projecting 2018-19 surpluses in Gas Tax appropriations. This Office recommends that these Gas Tax appropriations be reduced to partially offset the revenue shortfall.

• $531,000 - The Glendale Blvd/Silverlake Blvd Rockfall Mitigation project was previously provided Gas Tax funds but the funding is no longer required. This project is now being built by an adjacent private property owner as part of the development of the adjacent property. Therefore, this Office recommends the elimination of this Gas Tax appropriation.

• $6.18 million - Four City departments are projecting 2018-19 surpluses in other special fund appropriations that are eligible to be used to offset a reduction in Gas Tax appropriations. These departments consist of the Bureau of Street Services ($500,000), the Bureau of Contract Administration ($1.04 million), the Bureau of Engineering ($1 .6 million), the General Services Department ($400,000) and the Department of Transportation ($2.64 million). Therefore, this Office recommends a reduction in Gas Tax appropriations to these departments by an amount equal to the projected surpluses and that these departments be required to use the other special funds instead of Gas Tax, including Measure M, Proposition C, and Street Damage Restoration Fee funds. Additionally, this Office recommends that $1.04 million of the surplus funds be transferred from the Bur<3au of Contract Administration to the Bureau of Street Services since those funds exceed the amount of available Gas Tax appropriation in the source department.

Actual 2018-19 SB1 Revenues are currently within one percent of the 2018-19 Adopted Budget. Therefore, no adjustment is being recommended to the SB1 Budget.

APPROVED:

Ben Ceja, Assistant City Administrative Officer

RHL:BC:JWW:ZB:MDG01190026c

Attachments

CAO File No. PAGE

0590-00098-5150 53

Property Tax

Property Tax Ex-CRA Inc.

Utility Users' Tax

Licenses, Permits, Fees and Fines Business Tax

Sales Tax

Documentary Transfer Tax

Power Revenue Transfer

Transient Occupancy Tax

Parking Fines

Parking Occupancy Tax

Franchise Income

State Motor Vehicle License Fees Grant Receipts Tobacco Settlement Transfer from Telecommunications Fund

Residential Development Special Parking Revenue Transfer

Subtotal General Fund

Interest Income

Transfer from Reserve Fund Total General Fund

2018-19 Budget

$1,961,509

97,252

641,570

1,128,045

590,000

557,990

214,548

238,000

322,160

141,900

118,400

78,816

2,127

12,003 10,952

0

5,280 32,116

0

$6 152 668

32,137

5 791 $6.190,596

General Fund Receipts Through January

$ Thousands

Plan Through Receipts Variance January Through

January

$1,033,149 $1,049,084 $15,935

35,152 35,569 417

387,545 387,601 56

509,937 510,570 633

83,680 92,193 8,513

320,070 341,313 21 ,243

131,573 128,568 (3,005)

0 0 -

184,390 185,299 909

81,110 73,984 (7,126)

70,955 67,267 (3,688)

39,660 42,404 2,744

2,127 0 (2,127)

4,459 4,104 (355) 0 0 -0 0 -

3,080 3,020 (60) D 0 -

$2,886,887 $2,920,974 $34,088

18,746 27,664 8,918

5 791 5 791 $0 $2 911 424 $2,954430 $43,006

ATTACHMENT 1

Comments

Surplus attributed to higher secured receipts, offset by lower than-anticipated redemptions and supplemental receipts, and higher refunds. $Sm risk that proceeds from surplus property sa les will not be realized this fiscal year. Electricity users tax has moved above plan ($300k) while CUT shortfall has increased ($5.8m) and is offset by gas users tax surplus ($5.6m).

Surplus reflects settlement receipts. Quarterly receipts from cannabis activity is near plan. Approximately 90 percent of business tax renewal receipts are recorded between February and June. The State altered the sales tax remittance schedule, increasing quarterly advance payments. Current receipts include the delayed remittance of prior year payments (est. $9.0m). Adjusting the monthly plan for the new remittance schedule, reduces the surplus to $7.4m. Documentary transfer tax receipts are $3.6m below plan and are offset by receipts from legal entity transfers. Number of deeds have declined 8.1 % from prior year, while price per deed has increased. DWP has adopted a lower power transfer amount. Corresponds with lower than estimated EUT in prior year. Hotel receipts are $4.4m below plan. Surplus attributed to additional receipts from short-tenn rental tax collection agreements. Current year receipts are 6.4 percent below prior year receipts through December. Monthly receipts are var iable, but have averaged below plan. Surplus attributed to early receipt of quarterly natural gas franchise payment.

Monthly receipts are variable. Excess interest may be owed to special funds.

ATTACHMENT 2 STATUS OF RESERVE FUND AS OF 01/31/2019

Council File No. Item Description

Balance Available, 7/1/2018 Less: Emergency Reserve Account

Contingency Reserve Account 7/1/2018 General Fund Appropriation to the Reserve Fund

Loan Repayment and Other Receipts

Contingency Reserve Account

Loans and Transfers Approved to Date

CAO Memo

18-0106

Revenue Bond Claim 16-001 0-S34 18-0106 18-0106 18-0106

18-0106 09-0010-S9 17-0600-S119 17-0973-S1

11-0363-S1 11-0138-S3

18-0848 18-0800 18-0600-S159 Revenue Bond Claim 1 8-0600-S 161 18-0600-S 161 18-0600-S161 18-0600-S161 18-0600-S161 18-0600-S161 18-0600-S161 Revenue Bond Claim CAO Memo

Los Angeles Convention Tourism and Convention Board (LA Inc.)

HCID Consolidated Plan Projects

Electric Plant Revenue Bond - Michael J. Voskian LAPD Special Reward Trust Fund HCID Consolidated Plan Projects HCID Consolidated Plan Projects HCID Consolidated Plan Projects HCID Consolidated Plan Projects LAPD Special Reward Trust Fund LAFD Fire Boat Maintenance and Repair Reappropriation GCP - Illegal Firearm Recovery Reappropriation Prop 1 C Infill and Infrastructure Grant - Crenshaw Boulevard

City Attorney Outside Counsel Contract Reappropriation Board of Public Works Graffiti Abatement Reappropriation CalVIP Grant Office of Public Accountability Reappropriation William John Blake Council Airport and Harbor-Related Activities

Mayor - LA METRO Project-Related Support Police - Metropolitan Transportation Authority Police - Department of Justice FBI Grants City Attorney - Reappropriation Unappropriated Balance Reserve for Mid-Year Adjustments General Services - Reappropriation Electric Plant Revenue Bond - Gino James Bianconi Los Angeles Convention Tourism and Convention Board (LA Inc.)

Loans and Transfers Approved to Date Subtotal

Proposed Loans and Transfers 14-1635-S2 City Planning Home Sharing Mid-Year FSR Police - Metropolitan Transportation Authority CAO Report LAPD - Metro Reimbursed OT CAO Report LAPD - Special Events Reimbursed OT

Proposed Loans and Transfers Subtotal

(1,857,341.20)

(468,859.51)

(25,387.50) (15,000.00)

(1,000,692.80) (457,814.32) (300,932.92) (395,915.14) (125,000.00) (40,299.07) (25,000.00)

(2,500,000.00) (450,367.33)

(93,539.00) (350,000.00) (805,331.92)

(4,020.00) (183,997.00) (820,963.00)

(7,301,786.00) (249,954.00)

(1,198,720.00) (322,144.89) (939,128.39)

(36,492.50) (5,095,138.70)

Contingency Reserve Available Balance as of 1/31/2019

Total Emergency and Contingency Reserve Fund

Amount

$ 345,785,548.99

$ 170,241,000.00

$ 175,544,548.99

36,089,944.55

$ 211,634,493.54

$ (25,063,825.19)

$ (485,609) (895,557.00)

(1,299,699.00) (8,014,962.00)

$ (10,695,827.00)

$ 175,874,841.35

$ 346,115,841.35

FY 2018-19 BUDGET ADJUSTMENTS SPECIAL FUND REAPPROPRIATIONS

TRANSFER FROM TRANSFER TO REQUESTING DEPARTMENT FUND/ACCOUNT AMOUNT FUND/ACCOUNT

Public Works - Street Services Street & Curb Repairs in CD 4 (CF 18-0011-St)

Sidewalk Repairs in CD 13 (CF 17-1600-S119

Sidewalk Repairs in CD 13 (CF 16-0600-S173)

Fund 43D/50. Street Furniture Revenue Fund

50P186, PW-Street Services

Fund 430150. Street Furniture Revenue Fund

50P186, PW-Street Services

Fund 43D/50. Street Furniture Revenue Fund

50N186, PW-Street Services

Fund 53P/28. State AB 1290 City Fund

$

$

$

Emergency Sidewalk Improvements 28P186, PW-Street Services $ to Repair Broken & Buckled Sidewalks in CD 7 (CF 17-0600-S119)

Fund 699/14, Sunshine Canyon Community AmenitiE $

Street Construction Services in CD 12 14N186, PW-Street Services

(CF 17-0600-S114)

Various Street Projects in CD 3 (CF 17-0600-Sl 19)

Vanous Street Projects in CD 3 (CF 16-0600-S173)

Fund 53Pl28. State AB 1290 City Fund 28P186, PW-Street Services

Fund 53P/28, State AB 1290 City Fund 28N 186, PW-Street Services

$

$

Fund 57D/22. CRA/LA Excess Non-Housing Bond Procees

Fund 100186. Public Works - Street Services 6,790.17 001090, Overtime General

Fund 100186. Public Works - Street Services

2,300.61 001090, Overtime General

124,919.38

276.82

800,000.00

Fund 100/86. Public Works - Street Services 001090, Overtime General

003030, Construction Expense

006020, Operating Supplies

Fund 100/86. Public Works - Street Services

001090, Overtime General

Fund 100/86 Public Works - Street Services 001090, Overtime General

003030, Construction Expense 003040, Contractual Services

006020, Operating Supplies

Fund 100186. Public Works - Street Services


Fund 100/86, Public Works - Street Services


Whittier Blvd Sidewalk Infrastructure 22P186, PW-Street Services $ 168,496.05 Fund 100/86, Public Works - Street Services

001090, Overtime General Improvements 003030, Construction Expense (CF 17-0600-S114 & 14-1174-S4) 006020, Operating Supplies

TOTAL ALL DEPARTMENTS AND FUNDS $ 1,111,783.03

1 of 1

ATTACHMENT 3

AMOUNT

$ 6,790.17

$ 2,300.61

$ 56,000.00

$ 44,000.00

$ 24,919.38

Subtotal $ 124,919.38

$ 276.82

$ 280,000.00

$ 200,000.00

$ 200,000.00 $ 120,000.00

Subtotal $ 800,000.00

$ 2,570.84

$ 6,429.16

$ 128,496.05

$ 35,000.00 $ 5,000.00

Subtotal $ 168,496.05

$ 1,111,783.03

REQUESTING DEPARTMENT

City Clerk NC Translation Costs

Council Council District 10

Council District 14

Fire Measure B Reimbursements

FHMTC Lot Resurfacing

UASI 16 Reimbursement

Housing and Community Investment Code Enforcement Trust Fund

Leasing

System Expenses for Code Enforcement's System Modifications CCRIS2.0

Police Standards and Training

Program

Program

ATTACHMENT 4 FY 2018-19 BUDGET ADJUSTMENTS

NEW APPROPRIATIONS

TRANSFER FROM FUND/ACCOUNT

Fund 598/14 Neighborhood Council Fund Available Cash Balance

Fund 53P/28 State AB 1290

281210, CD10 Redevelopment Fund

Fund 53P/28 State AB 1290

281214, CD14 Redevelopment Fund

Fund 335/38, Fire Dept Grant Fund 38900G, Measure B - Trauma Program

Fund 40J, LAFD Special Training Fund 3840J B, State Educational Account

Fund 100/38, Fire

RSC 5301 - Reimb from Other Funds/Depts.

Fund 41M/43, Code Enforcement Trust Fund Cash Balance

Fund 41M/43 Code Enforcement Trust Fund Cash Balance

Fund 41Y/70, Standards and Training for Corrections Fund 70P207, FY18 STD & Training Collection 70R207, FY19 STD & Training Collection

AMOUNT

$ 60,000.00

$ 250,000.00

$ 650,000.00

$ 341,734.00

$ 134,107.00

$ 95,597.88

$ 1,300,000.00

$ 400,000.00

$ 83,014.56 $ 64,735.22

Subtotal $ 147,749.78

TRANSFER TO FUND/ACCOUNT

Fund 598/14 Neighborhood Council Fund TBD, Translation Services (New Account)

Fund 100/28 Coungil

001070, Salaries As-Needed

Fund 100/2!;! Coungil 001070, Salaries As-Needed

Fund 100/38 Fire

001012, Salaries. Sworn 001098, Overtime Variable Staffing

RSC 5168, Reimbursement of Prior Year Salaries

Fund/100/86 PW-Bureau of Street Services 001090, Overtime General

003030, Construction Expense

Fund/100/38 Fire 006020, Operating Supplies

Fund 100/43, Housing and Community Investment 006030, leasing

Fund 41 M/43 Code Enforcement Tru§! F!,!nd 43R900, Contract Programming

Fund 100170, Police Department 001092, Sworn Overtime 001090, Overtime General

Fund 100/70, Police Department Fund 885/70 Police Department Trust Fund 70P807, Harvard Park Program $ 80,614.53 001012, Salary, Swem

001092, Sworn Overtime

Fund 885170, Police Department Trust Fund 70P807, Harvard Parl< Program

1 of 2

$

Fund 100/70 Police Department

54,758.38 RSC5301, Reimbursement from Other Funds

AMOUNT

Subtotal

Subtotal

$

$

$

$

$ $

$ $

$

$

$

$

$

Subtotal $

$

$

60,000.00

250,000.00

650,000.00

53,147.00 20,888.00

267,699.00

341,734.00

17,788.00

116,319.00 134,107.00

95,597.88

1,300,000.00

400,000.00

17,749.78

130,000.00 147,749.78

30,535.20

50,079.33 80,614.53 Subtotal_$ _____ _

$ 54,758.38

ATT AC HM ENT 4 FY 2018-19 BUDGET ADJUSTMENTS

NEW APPROPRIATIONS

TRANSFER FROM TRANSFER TO REQUESTING DEPARTMENT FUND/ACCOUNT AMOUNT FUND/ACCOUNT AMOUNT Public Works • Contract Administration Fund 761/50 Sewer Capital Fund 100/76 PW-Contract Administration

Wastewater Inspection Services Available Cash Balance $ 886,107.00 001010, Salaries General $ 886,107.00

Public Works-Street Services Fund 834/50 Public Works Trust Fund F~nQ 100/!;!!;1 E~!21i!. l/YQrk§-l;ltre~t Services Reimb for illegal vending RSC 574219. Bureau of St Svcs Other Deposits $ 1,649.28 001090, Overtime General $ 1,649.28 enforcement

Fund 305/50 Subventions and Grants Fund Fund 100186 Public Works -Street Services Reimb for Special Events held RSC 465800, Special Events-General $ 785,800.03 RSC 465800, Special Events-General $ 149,476.83 from July 2017 through June 2018

Fund 100/94 Trans12ortation

001090, Overtime General $ 294,528.93

Fund 508/50, Solid Waste Resour~§ Fung

RSC 518801, Miscellaneous Revenue-Others $ 5,474.52

Fund 48R/08, Bldg & Safe!),: Permit Enter12rise Fund

RSC 3225, Building Permits-Regular $ 11,848.34

Fund 100/38. Fire 001012, Salaries Sworn $ 41,931.97

Fund 100170, Police 001092, Overtime Sworn $ 282,539.44

Subtotal $ 785,800.03

Transportation 363/94 Sll!;lcial Parking Revenue Fund 100/70 Police LAPD Security at Hollywood & Highland 94R050, Contractual Services $ 100,000.00 001092, Overtime Sworn $ 100,000.00

TOTAL ALL DEPARTMENTS AND FUNDS $ 5,288,117.88 $ 5,288,117.88

2 of 2

ATTACHMENT 5

FY 2018-19 BUDGET ADJUSTMENTS TRANSFERS BETWEEN ACCOUNTS WITHIN DEPARTMENTS AND FUNDS

TRANSFER FROM TRANSFER TO REQUESTING DEPARTMENT FUND/ACCOUNT AMOUNT FUND/ACCOUNT AMOUNT

Animal Services Fund 100/06 Animal Services Fund 100/06, Animal Services

Various Shortfalls 001010, Salaries, General $ 610,308.60 001070, Salaries, As Needed $ 92,838.00

001090, Salaries, Overtime $ 230,000.00

002120, Printing & Binding $ 33,016.60 00460, Private Veterinary Care $ 30,000.00 004580, Animal Feed & Grain $ 100,000.00 006010, Office & Administrative $ 60,000.00

006020, Operating Supplies $ 64,454.00

Subtotal $ 610,308.60

City Administrative Officer Fund 100/1 o, Ci!:{ Administrative Officer Fund 100/1 O Ci!:i Administrative Officer

As-Needed Staffing 001010, Salaries, General $ 300,000.00 001070, Salaries, As-Needed $ 300,000.00

City Clerk Fund 100/14 City: Clerk Fund 100/14, Cify Clerk

Operational Needs 004170, Elections $ 190,000.00 001070, Salaries, As-Needed $ 130,000.00 001090, Overtime General $ 60,000.00

Subtotal $ 190,000.00

City Planning Fund 100/68 Planning Fund 100/68 Planning

As Needed Support and 00101 o, Salaries General $ 500,000.00 001070, Salaries As-Needed $ 200,000.00

EIR Consulting Services 003040, Contractual Services $ 300,000.00 Subtotal $ 500,000.00

Controller Fund 100/26, Controller Fund 100/26, Controller Cost Allocation Plan 00101 o, Salaries General $ 235,146.00 003040, Contractual Services $ 200,500.00 Re-Engineering Study, Open 006010, Office and Administrative $ 34,646.00 Data Platform, and PaySR Subtotal $ 235,146.00 operating expenses

Council Fund 100/2B Council Fund 100128 Council

Expenditure Alignment 001010, Salaries General $ 3,730,000.00 001070, Salaries As-Needed $ 2,500,000.00

004140, Legislative, Economic or Govt Purposes $ 6,000.00 002120, Printing and Binding $ 350,000.00

Subtotal $ 3,736,000.00 002130, Travel $ 30,000.00 003040, Contractual Services $ 300,000.00

006010, Office and Administrative $ 550,000.00 003310, Transportation $ 6,000.00

Subtotal $ 3,736,000.00

Cultural Affairs Fund 100130, Cultural Affairs Fund 100/30 Cultural Affairs

As-Needed Staffing - Music LA 009836, Music LA $ 40,000.00 001070, Salaries, As Needed $ 40,000.00

Fund 480/30, Arts & Cultural Facilities and Services Trust Fund Fund 480130, Arts & Cultural Facilities and Services Trust Fund

Reserve tor Revenue Fluctuations 30P130, Cultural Affairs $ 500,000.00 30R200, Reserve tor Revenue Fluctuations Account $ 500,000.00

Page 1 of 7


Economic and Workforce Development Administrative Support

Community Development Trost Fund Program Support

CFE/Citi Summer Youth Jobs

Connect Youth Employment Program Support

Youth Employment Program Support

Employee Relations Board Salaries General Over~xpenditure

Finance Printing and Binding

Fire Fire Boat Maintenance & Safety Gear

General City Purposes Social Security Contributions

ATTACHMENT 5


TRANSFER FROM TRANSFER TO FUND/ACCOUNT AMOUNT FUND/ACCOUNT AMOUNT

Fund 100/22. Economic and Workforce Development (Fund 100) Fund 100/22, Economic and Workforce Development (Fund 1 DO) 00101 D, Salaries General $ 69.977.00 001070, Salaries As-Needed $ 7,354.00 00304D. Contractual Services $ 30.995.00 001090. Overtime General $ 113.00

Subtotal $ 100.972.00 002120. Printing and Binding $ 30,229.00 002130. Travel $ 15,641.00 00331 o. Transportation $ 855.00 006010. Office and Administrative $ 42,583.00 006020, Operating Supplies $ 63.00 006030, Leasing $ 4,134.00

Subtotal $ 100.972.DD

Fund 100/22, Economic and Workforce Development (Fund 424) Fund 100/22, Economic and Workforce Development (Fund 424) 001010. Salaries General $ 147,568.00 001070, Salaries As-Needed $ 2,413.00 002120, Printing and Binding $ 8.00 001090. Overtime General $ 2.609.00 003310. Transportation $ 57.00 002130. Travel $ 15,506.00 006010, Office and Administrative $ 2,182.00 003040, Contractual Services $ 74,849.00

Subtotal $ 149.815.00 006020. Operating Supplies $ 50.00 006030. Leasing $ 54,388.00

Subtotal $ 149,815.00

Fund 100122 Economic and Workforce Development (Fund 56Ll Fund 100/22 Economic and Workforce Development (Fund 56L) 006020. Operating Supplies $ 2.000.00 001070. Salaries As-Needed $ 2,000.00

Fund 100122 Economic and Workforce Development (Fund 450) Fund 100/22 Economic and Workforce Development (Fund 450) 006020. Operating Supplies $ 2,000.00 001070. Salaries As-Needed $ 2,000.00

F!,!ng 100/~§ l;mplo),'ee Relations Board Fund 100/36. EmQIOl,'ee Relations Bo<1rd 001070. Salaries As-Needed $ 9,000.00 001010. Salaries General $ 12,000.00 002120, Printing and Binding $ 500.00 006010. Office and Administrative $ 2,000.00 006020. Operating Supplies $ 500.00

Subtotal $ 12,000.00

Fund 100/39. Finance Fund 100/39, Finance 001010, Salaries General $ 15,000.00 002120, Printing and Binding $ 15,000.00

Fund 100/38 Fire Fund 100/38, Fire 001010. Salaries, General $ 300,000.00 003090, Field Equipment Expense $ 300,000.00 004450. Water Control Devices $ 200,000.00 004430. Uniforms $ 200,000.00

Subtotal $ 500,000.00 Subtotal $ 500,000.00

Fund 100/56, General Ci!ll Pur12oses Fund 100/56 General Ci!ll Pur(loses 000510. Medicare Contributions $ 152,402.00 000570, Social Security Contributions $ 252,402.00 000577. Pensions Savings Plan $ 100,000.00

Subtotal $ 252,402.00

Page2 of?


General Services Various Deficits

Housing and Community Investment

System Software Renewals, Hardware Purchases. and Oveltime

Consolidated Plan PY44 Handyworker Program

Konica Contract

ATTACHMENT 5


TRANSFER FROM FUND/ACCOUNT

Fund 100/40. General Services

001010, Salaries General

001010, Salaries General (SCM)

006030, Leasing

003230, Petroleum Products (SWRF)

AMOUNT

$ 2,221,000.00

$ 50,000.00

$ 870,000.00

$ 1,579,000.00

Subtotal $ 4,720,000.00

Fund 100/43 Housing & Community Investment /424/43 43R143)

001010, Salaries, General $ 34,551.00

Fund 100/43, Housing & Community Investment {424/43, 43R143)

003040, Contractual Services $ 113,731.00

Fund 100/43 Housing & Community Investment (41M/43 43R143)


Fund 100/43, Housing & Community Investment (440/43. 43R143)

001010, Salaries, General $ 29,243.oo

Fund 100/43 Housing & Community Investment (56V/43 43R143}


Fund 100143. Housing & Community Investment (424/43. 43R143}

001010. Salaries. General $ 17,647.00

Fund 100/43 Housing & Community Investment (428/43 43R143l

006030, Leasing $ 1,512.00

Fund 100/43, Housing & Community Investment (55J/43, 43R143}

001010. Salaries, General $ 6,103.00

Fund 100/43 Housing & Community lnvestment/561/43 43R143)

001010, Salaries, General $ 1.288.00

Page 3 of 7

TRANSFER TO FUND/ACCOUNT AMOUNT

Fund 100/40 General Services 001070, Salaries As-Needed

001090. Salaries Overtime (SCM)

001090, Salaries Overtime (SWRF) 001120, Benefits Hiring Hall

003040. Contractual Services 003090, Field Equipment Expense

003090, Field Equipment Expense (SWRF)

003170. Custodial Supplies

007350. Other Operating Equipment

$

$ $

$

$

$

$ $

$

Subtotal $

Fund 100/43 Housing & Community Investment (424/43 43R 143)

450,000.00

50,000.00

150,000.00

350,000.00

471,000.00 1,559,000.00

1,429,000.00

130,000.00

131,000.00

4,720,000.00

00601 o, Office and Administrative $ 33,122.00

001090, Salaries, Overtime $ 1,429.00


Fund 100/43, Housing & Community Investment (424/43. 43R 143}

001070. Salaries As-Needed $ 35,000.00

002120, Printing and Binding $ 15,000.00

006010, Office and Administrative $ 23,731.00

006020, Operating Supplies $ 40,000.00

Subtotal $ 113,731.00

Fund 100/43 Housing & Community Investment (41M/43. 43R143)

003040, Contractual Services $

Fund 100/43. Housing & Community Investment (440/43 43R143l


Fund 100/43 Housing & Community Investment (56V/43. 43R143l


Fund 100/43. Housing & Community Investment 1424/43 43R143}

003040. Contractual Services $

Fund 100/43, Housing & Community Investment /428/43 43R 143)


Fund 100/43. Housing & Community Investment (SSJ/43 43R143)


Fund 100/43. Housing & Community Investment (561/43, 43R143)


48,132.00

29,243.00

3,601.00

17,647.00

1,512.00

6,103.00

1,288.00

ATTACHMENT 5



Housing and Community Investment continued

General Fund Programs

Community Services Block Grant Trust Fund

Garland Lease

Human Resources Benefits (HRB) Workers Compensation Account

Information Technology Agency Project Management and Programming

Offset Anticipated Over-expenditures

Fund 100/43. Housing & Community Investment (815/43 43R 1431 001010, Salaries, General $ 11.826.00

Fund 100/43 Housing & Community Investment (240/43, 43R143) 001010, Salaries. General $ 448.00

Fund 100/43 Housing & Community Investment (815143 43R143l 003040, Contractual Services $

Fund 100/43, Housing & Community Investment (240/43 43R 143) 003040, Contractual Services $

Fund 100/43, Housing & Community Investment

11,826.00

448.00

Fund 100/43 Housing & Community Investment

001010, Salaries, General $ 15,000.00 003040, Contractual Services $ 15,000.00

Fund 100/43. Housing & Community Investment (569/43 43R143l 001010, Salaries, General $ 413.00

Fund 100/43, Housing & Community Investment [10D/43. 43R143l 001010, Salaries, General $ 6,712.00

Subtotal$ 141,925.00

Fund 100/43 Housing & Community Investment [569/43 43R143l 003040, Contractual Services $

Fund 100/43 Housing & Community Investment (100143 43R143l 003040, Contractual Services $

413.00

6,712.00

Subtotal $ 141,925.00

Fund 100143 Housing & Community Investment Fund 100/43. Housing & Community investment

00101 o, Salaries, General $ 180,712.00 00601 o, Office and Administrative

006030, Leasing $ 59,311.00 $ 121,401.00

Fund 100/43. Housing & Community Investment (428143 43R143l 006030, Leasing $ 40,488.00

Fund 100/43. Housing & Community Investment /240/43, 43R143) 001010, Salaries, General $ 20,000.00

Fund 100/43, Housing & Community Investment (815/43 43R143) 001010, Salaries, General $ 50,000.00


Subtotal $ 180,712.00

Fund 100/43 Housing & Community Investment (428/43 43R143l 001010, Salaries, General $

Fund 100/43. Housing & Community Investment (240/43 43R143) 006030, Leasing $

Fund 100/43, Housing & Community Investment (615/43. 43R143l 006030, Leasing $

40,488.00

20,000.00

50,000.00


Fund 100/61, Human Resources Benefits Fund 100161 Human Resources Benefi1S

003040, Contractual Services $ 1,300,000.00 009910, Workers' Compensation $ 2,300,000.00 009200, Civilian Flex Program

Fund 100/32 Information Technology Agency 001 01 o, Salaries General

Fund 100/32, Information Technology Agency


$ 1,000,000.00 Subtotal $ 2,300,000.00

Fund 100/32 Information Technology Agency $ 300,000.00 0D3040, Contractual Services


$ 600,000.00 001 090, Overtime General

Page 4 of 7

$ 300,000.00

$ 600,000.00


Information Technology Agency continued Sick Time Payouts

Maintenance Tasks and Repair Jobs

MICLA

/TA Hiring Hall

Personnel

Police Account Adjustments

Public Works-Board Accounts Payable Overtime

Public Works Trust Fund Staffing

Public Works-Contract Administration For Sidewall< Repair Program

Public Works-Sanitation Various Shortfalls

Tuition Reimbursements

ATTACHMENT 5


TRANSFER FROM TRANSFER TO FUND/ACCOUNT AMOUNT FUND/ACCOUNT AMOUNT

Fund 100/32 Information Technology Agency 001010, Salaries General

Fund 100132 Information Technology Agency

009350, Communication Services

Fund 298/38, MICLA 38N232, Communication Labor

38P232, Communication Labor

Fund 100/66. Personnel 001010, Salaries, General

Fund 100170 Police

001012, Salaries Sworn 001070, Salaries As Needed 004430, Uniforms 006020, Operating Supplies

$

$

$ $

Subtotal $

$

$

$ $ $

Subtotal $

205,000.00

400,000.00

104,395.00

95,605.00 200,000.00

1,388,084.00

1,320,000.00 72,000.00

700,000.00

150,000.00 2,242,000.00

Fund 100/74, Board of Public Works /760/74/50R174) 001010. Salaries General $ 30,000.00

Fund 100174, Board of Public Works

003040, Contractual Services

Fund 100/76 Bureau of Contract Administration

001010, Salaries General (Fund 57F/50)

Fund 100/82. Bureau of Sanitation 001010, Salaries General (CLARTS) 001010, Salaries General (GF) 001010, Salaries General (SCMO) 006020, Operating Supplies (GF)

$ 75,000.00

$ 450,000.00

$ 50,000.00 $ 300,000.00 $ 1,500,000.00 $ 400,000.00

Subtotal $ 2,250,000.00

Fund 10D/32. Information Technology Agency 0011 DD, Hiring Hall


001100, Hiring Hall

$

$

Fund 100/32,lnformation TechnologyAgency {Fund 298/38 38R132) 0011 DO, Hiring Hall Salaries $

Fund 100/66 Personnel 001070, Salaries, As Needed $ 001090, Salaries, Overtime $ 003040, Contractual Services $ 009570, Training Expense $

Subtotal $

Fund 100170. Police

002120, Printing and Binding $ D03040, Contractual Services $ 003090. Field Equipment $ 004310, Secret Service $

Subtotal $

Fund 10D/74 Board of Public Works (760174I50R174] 001090, Overtime General $

Fung 10Q/7~ !2oard of Public Works

001010. Salaries General $

Fund 57F/50, QiQ!;!W2l!s Be112ir Fund (57F/50/50R176] 50RVBN, Sidewalk Repair Engineering Consulting Servioes $

Fund 100/82, Bureau of Sanitation 001090, Overtime General (CLARTS) 001090, Overtime General (GF) 001090, Overtime General (SCMO) 00601 o, Office and Administrative (SCMO)

Fund 100/82 Bureau of Sanitation

$ $ $ $

Subtotal $

Fund 100/82. Bureau of Sanitation 001010, Salaries General (CRTF) $ 30,000.00 006010, Office and Administrative (CRTF) $

Page 5 of 7

205,000.00

400,000.00

200,000.00

500,000.00 250,000.00

524,084.00 114,000.00

1,388,084.00

202,000.00

700,000.00 1,150,000.00

190,000.00 2,242,000.00

30,000.00

75,000.00

450,000.00

50,000.00 700,000.00

1,450,000.00

50,000.00 2,250,000,00

30,000.00

ATTACHMENT 5



PW-Bureau of Street Lighting Fund 59C/94, M!;!s!~U~ M LQgil R!i!!YOJ Fund Fund 100/84 PW-Street Lighting Complete Streets Program 94RV35, Street ReconstructionNision Zero Projects $ 73,276.19 001010, Salaries General $ 71,351.75

001090, Overtime General $ 1,924.44


Fund 57F/50 Sidewalk Re~ir Fund Fund 347/50 Street Lighting Maintenance Assessment Fund Sidewalk Repair Program 50N184, PW-Street Lighting $ 24,656.80 RSC 530100, Reimb From Other Funds $ 17,726.00

Fund 100/84 PW-Street Lighting 001010, Salaries General $ 6,930.80


Public Works-Street Services Fund 100/86, Public Works -Street Services Fyng 1Q0/86, Public Works -Street Services General Fund Imbalance 001100, Hiring Hall Salaries $ 200,000.00 006010, Office and Administrative $ 200,000.00

Fund 100/86 Public Works -Street Services (206/50) Fund 100186, Public Works -Street Services Special Gas Tax Imbalance 003090, Field Equipment Expense $ 400,000.00 003030, Construction Expense $ 400,000.00

003330, Utilities Expense Private Company $ 350,000.00 003040, Contractual Services $ 200,000.00 Subtotal $ 750,000.00 006020, Operating Supplies $ 150,000.00

Subtotal $ 750,000.00

Public Works-Street Services cont. Fund 100/86, Public Works -Street Services (59C/94} Fund 100186, Public Works -Street Services Measure M Imbalance 001010, Salaries General $ 1,000,000.00 003030, Construction Expense $ 700,000.00

oo 1100, Hiring Hall Salaries $ 200,000.00 003040, Contractual Services $ 200,000.00 Subtotal $ 1,200,000.00 006020, Operating Supplies $ 300,000.00

Subtotal $ 1,200,000.00

Fund 100/86 Public Works -Street Services (540/94} Fund 100/86 Public Works -Street Services Prop C Imbalance 00101 o, Salaries General $ 500,000.00 003030, Construction Expense $ 400,000.00

003040, Contractual Services $ 100,000.00 Subtotal $ 500,000.00 Subtotal $ 500,000.00

Transportation 385/94, Pro12osition A Local Transit Assistance 385194, Pro11Qsition A Local Transit Assistance Downtown Bus Maintenance Facility 94R431, Transit Operations $ 512,000.00 94L485, Bus Inspection and Maintenance Facility $ 512,000.00

Office & Administrative Expenses 100/94, T[i!nS!lQc!i!liQn 100/94, Trans11ortation 003040, Contractual Services $ 150,000.00 006010, Office and Administrative Expense $ 150,000.00

Signal Supplies and Repairs 100/94, Trans12ortation 100194, Trans11ortation 001010, Salaries General $ 500,000.00 003360, Signal Supplies and Repairs $ 500,000.00 (Proposition C source of funds)

100/94 Trans12ortation 100/94 Trans12ortation Gas Tax Revenue Shortfall 001010, Salaries General $ 378,000.00 003040, Contractual Services $ 378.000.00

(Fund 59C/94, Measure M source of funds]

Page 6 of7


Transportation continued Gas Tax Revenue Shortfall

ATTACHMENT 5


TRANSFER FROM TRANSFER TO FUND/ACCOUNT AMOUNT FUND/ACCOUNT

100/94. Transportation 100194 Transportation 001010, Salaries General $ 477,035.00 003350, Paint and Sign Maintenance (Fund 51Q/94, Measure R source offunds)

TOTAL ALL DEPARTMENTS AND FUNDS $ 27,682,102.59

Page 7 of 7

AMOUNT

$ 477,035.00

$ 27,682,102.59


Aging Meals Program

Older Workers Employment Program

Animal Services

ACE Operational Costs

Cultural Affairs Various Transfers

Economic and Workforce Development Asset Management Personnel Support

Employee Relations Board Salaries General Over-expenditure

General Services Controller Accounting Pool

Housing and Community Investment Board of Commission of Women

ARRA-Neighbomood Stabil. Prog. 2

FUND/ACCOUNT

ATTACHMENT 6

FY 2018-19 BUDGET ADJUSTMENTS TRANSFERS BETWEEN DEPARTMENTS AND FUNDS

TRANSFER FROM AMOUNT FUND/ACCOUNT

TRANSFER TO

Fund 395102 Area Plan for the Aging 02RQO 1, Social Services for Seniors

Fund 100/02 Aging (Fund 395/02, 02R 102)

Fund 100/02, Aging 001010, Salaries General

Fund 55R/39 Code Compliance 39R400, Reserve for Revenue Fluctuation

$

$

$

96,547.00 001010, Salaries General

Fund 410102, Other Programs for the Aging 129,425.00 21021, Enrollee Wages

Fund 100/06, Animal Services 23,375.BO RSRC 51B8, Miscellaneous Revenue-Others

002120, Printing & Binding

Fund 480130 Arts & Cultural Facilities and Services Trust Fund Fund 100/30 Cultural Affairs 30P130, Cultural Affairs $ 190,000.00 001070, Salaries, As-Needed

002120, Printing and Binding 001090, Salaries, Overtime 006020, Operating Supplies

Fund 100122 Economic and Workforce Development

001010, Salaries General (General Fund)

Fund 100/36 Em11loi,:ee Relations Board 001070, Salaries As-Needed 002120. Printing and Binding

006010, Office and Administrative 006020, Operating Supplies

$

$

$

$

$ Subtotal $

Fund 100140, General Services 00101 o, Salaries General $

Fund 100/66 Personnel

67,387.00 001010, Salaries General

Fund 100/36, EmQloi,:ee Relations Board 9,000.00 001010, Salaries General

500.00

2,000.00 500.00

12,000.00

Fund 100/26, Controller 80,000.00 001070, Salaries As-Needed

AMOUNT

$ 96,547.00

$ 129,425.00

$ 21,392.40

$ 1,983.40 Subtotal $ 23,375.80

$ 100,000.00

$ 40,000.00 $ 30,000.00 $ 20,000.00

Subtotal $ 190,000.00

$ 67,387.00

$ 12,000.00

$ 80,000.00

Fund 52V/43 Board Commission - Status of Women Trust Fund Fund 100/43, Housing & Community Investment (52V/43, 43143Rl

43000A, Available $ 2,000.00 43369l, Gender Equity Studies $ 2,000.00

Subtotal $ 4,000.00

Fund 52J/43, ARRA-Neighborhood Stabilization Program 2 43NB06, NSP HCID Program Delivery $ 87,987.00

Page 1 of4

002120, Printing and Binding $ 700.00

006010, Office and Administrative $ 3,300.00 Subtotal $ 4,000.00

Fund 100/43, Housing & Community Investment (52J/43, 43R143) 00101 o, Salaries General $ 52,205.00

006030, Leasing $ 6,265.00


Fund 52J/43 ARRA-Neighborhood Stabilization Program 2 43R299, Reimbursements to General Fund $ 29,517.00


ATTACHMENT 6


TRANSFER FROM REQUESTING DEPARTMENT FUND/ACCOUNT AMOUNT

Housing and Community Investment continued Consolidated Plan PY 44 Realign. Fund 100/43 Housing and Community Investment (424/43 43R143)

001010, Salaries General $ 30,920.00

Fund 100/43 Housing and Community Investment (424/43 43R143) 001010, Salaries General $ 19,068.00

TRANSFER TO FUND/ACCOUNT

Fund 100/02, Aging (424143 43R143)


Fund 100/12, City Attorney {424/43 43R143)


AMOUNT

$ 30,920.00

$ 19,068.00

Fund 100/43. Housing and Community Investment (424/43 43R143) Fund 100/22 Economic and Workforce Development (424/43 43R143) 001010, Salaries General $ 209,909.00 00101 O, Salaries General $ 209,909.00


Library Fund 300/44. Library Fund Fund 100/40 General Services ARRA Program 003040, Contractual Services $ 1,505,515.00 001101, Hiring Hall Construction $ 353,954.36

001121, Benefi1s, Hiring Hall Construction $ 235,971.24 003180, Construction Materials and Supplies $ 915,589.40

Subtotal $ 1,505,515.00

Mayor Fund 100/46 Mayor Fund 100/12 City Attorney GRYD Salaries 003040, Contractual Services $ 119,565.07 001010, Salaries General $ 119,565.07

Public Safety Grants Fund 60H/46, FY16 Pre11. Comm. for Complex Coord. Terrorist Attacks Fund 100/46 Mayor (46R299) 46P299, Reimbursement of General Fund $ 21,373.00 RSC 5346, Related Cost Reimbursement From Grants $ 95,927.93

Fund 59M/46 FY16 OVW Training and Svcs for Women with Disabilities 46P299, Reimbursement of General Fund $ 12,324.78

Fund SBW/46 FY16 Justice Assistance Grant 46P299, Reimbursement of General Fund $ 62,230.15


Public Safety Grant Fund 59S/46, FY18 Prop. 47 CA State Board of Comm. Corr. Grant F!,!n~ 100/46. Mayor (46R299) 46P299, Reimbursement of General Fund $ 29,186.85 RSC 5346, Related Cost Reimbursement From Grants $ 78,628.18 46P946, Grant Management and Administration $ 122,439.84

Subtotal $ 151,626.69 Fund 100/46 Mayor (46R146l

001020. Salaries, Grant Reimbursed $ 72,998.51

Subtotal $ 151,626.69

Summer Night Lights Fund 100/46 Mayor Fund 302/88 Recreation and Par11s 003040, Contractual Services $ 673,076.00 003040, Contractual Services $ 673,076.00

MICLA PW-BSL High Voltage Conversion

Fund 26U/10 MICLA RSC 490301, Interest Income-Others $

Fund 26U/50 MICLA 8,165.00 50Rl.M, High Voltage Conversion Program $ 8,165.00

Fund 26Y/10 MICLA Fund 26Y/50, MICLA RSC 490301, Interest Income-Others $ 723,986.00 50RLM, High Voltage Conversion Program $ 723,986.00

732,151.00 Subtotal $ . --, . _

Page 2 of 4

ATTACHMENT 6



Police Fund 100170. Police Fund 100/46 Office of Ma}'or Salaries 00101 o, Salaries General $ 83,910.00 001010, Salaries General $ 83,910.00

Fund 100/56 General City Purposes Fund 100/70 Police Sworn Recruitment 000928, Recruitment Diversity $ 99,462.00 00601 o, Office and Administrative $ 99,462.00

Fund 100170 Police Fund 100/43 Housing Westlake/Macarthur Park Com. Market 00101 o, Salaries General $ 12,500.00 003040, Contractual Services $ 12,500.00 Housing 001012, Salaries Sworn $ 42,613.00 003040, Contractual Services $ 42,613.00


Fund 100170 Police (Fund 60E/13} Cannabis Regulation Cannabis Inspection Activity

Fund 100/13. Cannabis (Fund 60E/13} 001010, Salaries General $ 50,000.00 001012, Sworn Overtime $ 50,000.00

Public Works-Board Pavement Preservation

PWTF Nexus Study Findings

CIEP Projects, CD 4 and 6

Public Works - Contract Administration Gas Tax revenue shortfall

Gas Tax revenue shortfall

Public Works - Engineering Hydraulics Research Lab Repairs

Fund 834/50. Public Works Trust fund RSC 5742, Miscellaneous Deposits - Budgeted RSC 5742, Miscellaneous Deposits - Excess

Fund 834/50. Public Works Trust Fund RSC 57 42, Miscellaneous Deposits

Fund 834/50. Public Works Trust Fund RSC 5742, Miscellaneous Deposits

$ 2,599,342.00 $ 22,680.00

Subtotal $ 2,622,022.00

$ 321,409.00

$ 1,512.86

Fund 100176 Bureau of Contracl Administration (Fund No. 59C/94}

001010, Salaries General $ 167,990.00

Fund 100/76 Bureau of Contract Administration (Fund No. 540/94) 001010, Salaries General $ 1,040,000.00

Fund 682/50 Engineering Special Services Fund

Fund 100/86 Street Services RSC 5161, Reimbursement of Expenditures $ 2,622,022.00

Fund 43D/50. Street Furniture Revenue Fund 50 R03D, Council District 3 $ 53,568.17 50R07D, Council District 7 $ 53,568.17 50R08D, Council District 8 $ 53,568.17 50R09D, Council District 9 $ 53,568.17 50R10D, Council District 1 o $ 53,568.16 50R13D. Council District 13 $ 53,568.16

Subtotal $ 321,409.00

Fund 1 QQ/:i~ Ca11ital 1m11rovement Ex11enditure Program 00R650, PWTF-Verde Oak Drive (2552) Bulkhead $ 1,423.02 00R651, PWTF-Sheldon Arleta Sdwk Im prov- Sharp Ave $ 89.84

Subtotal $ 1,512.86

Fund 100/86 Bureau of Street Services (Fund No. 59C/94} 001010, Salaries General

Fund 100/86. Bureau of Street Services (Fund No. 540/94) 00101 o, Salaries General

Fund 100/40 General Services Department

$ 167,990.00

$ 1,040,000.00

50RVDL, Hydraulics Lab Roof Replacement and Repairs $ 200,000.00 001101, Hiring Hall Construction $ 50,000.00

Page 3 of 4

001121, Benefits Hiring Hall Construction

003180, Construction Materials $ 30,000.00 $ 120,000.00

Subtotal $ 200,000.00


PW- Sanitation Fiber Lease Expenses

PW-Street Lighting

Complete Streets Program

FUND/ACCOUNT

ATTACHMENT 6


TRANSFER FROM AMOUNT FUND/ACCOUNT

TRANSFER TO

Fund 760150 Sewer Operations and Maintenance Fund Fund 100/32 Information Technology Agency 50RX82, Sanitation Expense and Equipment $

Fund 59C/94 Measure M Local Return Fund 94RV35, Street ReconstructionMsion Zero Projects $

23,808.00 009350, Communication Services

Fund 100184, PW-Street lighting 73,276.19 001010, Salaries General

001090, Overtime General

AMOUNT

$ 23,808.00

$ 71,351.75 $ 1,924.44


Fund 57F/50. Sidewalk Repair Fund S0N184, PW-Street Lighting

Fund 347/50 Street Lighting Maintenance Assessment Fund Sidewalk Repair Program

TOTAL ALL DEPARTMENTS AND FUNDS

$ 24,656.80 RSC 530100. Reimb From Other Funds

$ 8,991.640.34

Page4 of 4

Fund 100/84, PW-Street Lighting 001010, Salaries General

$ 17,726.00

$ 6,930.80 Subtotal $ 24,656.80

$ 8,991,640.34

ATTACHMENT 7 FY 2018-19 BUDGET ADJUSTMENTS

TRANSFERS TO THE UNAPPROPRIATED BALANCE, RESERVE FOR MIDYEAR ADJUSTMENTS


Finance

Citywide Overspending

Information Technology Agency Citywide Overspending

Public Works-Board

PW.Contract Administration

Citywide Overspending

Unappropriated Balance Citywide Overspending

TOTAL All DEPARTMENTS AND FUNDS

TRANSFER FROM TRANSFER TO FUND/ACCOUNT

Fund 100/39. Finance 001010. Salaries General

Fund 100/32 Information Technology Agency 001010, Salaries General

Fund 100[74 Board of Public Works 003040, Contractual Services (General Fund)

Fund 100/76, PW-Contract Administration 001010, Salaries General (General Fund)

Fund 100/58

580185, Tree Trimming Services 580261, Load Bank Testing and Emergency Repairs 580264, Congregate and Home-Delivered Meals Programs

580266, Certified Access Specialist 580270. Tree Maintenance and Urban Forestry Program

AMOUNT

$

$

$

$

$

$

$

$

$

1,100,000.00

1,500,000.00

25,000.00

2,000,000.00

1,053,581.00 230,000.00

400,000.00 81,989.00

336,937.00 2, 102.507.00 Sublolal $ -, . -,

$ 6,727,507.00

1 of 1

FUND/ACCOUNT

Fund 100/58, Una~11ro~riated !;!alance 580196. Reserve for Mid-Year Adjustments

580196, Reserve for Mid-Year Adjustments


580196. Reserve for Mid-Year Adjustments

5B0196, Reserve for Mid-Year Adjustments

AMOUNT

$ 1,100,000.00

$ 1,500,000.00

$ 25,00000

$ 2,000,000.00

$ 2,102,507.00

$ 6,727,507.00

APPROPRIATE FROM:

ATTACHMENT 8

FY 2018-19 BUDGET ADJUSTMENTS APPROPRIATIONS FROM THE UNAPPROPRIATED BALANCE

APPROPRIATE TO:

Fund. 100/58, Unappropriated Balance Fund 100/46, Mayor 580132, Equipment, Expense, and Alterations & Improvement: 001010, Salaries General

001020, Grant Reimbursed

Fund 100/28. Council 001070, Salaries As-Needed

Fund 100/32, Information Technology Agency 001100. Hiring Hall Salaries 009350. Communication Services

Fund 10040 General Services Department 001014, Salaries, Construction Projects 003180, Construction Materials

AMOUNT

$ 1,481,432.00 $ 400,000.00

Subtotal $ 1,881,432.00

$ 1,763,293.00

$ 1,465.00 $ 11.536.00

Subtotal $ 13.001.00

$ 143,767.00 $ 95,845.00

Subtotal$ 239,612.00 Fund 100/54. Capital Improvement Expenditure Prgm 00K046, City Facilities Maintenance & lmprov. $ 1,203,886.00


580225, Commission on Revenue Generation

580232, Reserve for Extraordinary Liability

Fund 100/36. Employee Relations Board 001010, Salaries General

Fund 100/12, City Attorney 004200, Litigation Expense

Fund 100/66. Personnel Department 003040, Contractual Services

Fund 100/10 City Administrative Officer 003040, Contractual Services

Fund 100/59. liability Claims 009798, Miscellaneous liability Payouts

TOTAL APPROPRIATIONS FROM THE UNAPPROPRIATED BALANCE

$ 33,027.00

$ 1,500,000.00

$ 700,000.00

$ 100,000.00

$ 20,000,000.00

$ 27,434,251.00

C.F.

18-0600

18-0424

18-0830

17-1090-S1

ATTACHMENT 9A STATUS OF UNAPPROPRIATED BALANCE

GENERAL ACCOUNT as of 01/31/2019

Appropriations

General

Approved Transfer

Heritage Month Celebrations

Loyola Marymount University Special Reception Society of Hispanic Professional Engineers

Balance Available

Date Amount

$ 50,000

(1,465.00)

(204.00)

(272.00)

48,059.00

Status of the Unappropriated Balance, Reserve for Mid Year Adjustments Attachment 98

2018-19 Adopted Budget

First FSR Actions

None

$ 20,325,000.00

Subtotal $

Second FSR Recommendations

Transfer In: Transfer from City Attorney Balance Sheet account

Transfer Out: Transfer to City Clerk, Elections Expense Transfer to Housing and Community Investment - Contractual Services

Year-end Available

Midyear FSR Recommendations

Transfer In: Transfer from Office of Finance savings Transfer from Information Technology Agency savings Transfer from PW-Contract Administration savings Transfer from PW-Board savings

Transfer from UB - Tree Trimming Services Transfer from UB - Load Bank and Emergency Repairs

Subtotal

Transfer from UB - Congregate and Home Delivered Meals for Seniors Transfer from UB - Certified Access Specialist Transfer from UB - Tree Maintenance and Urban Forestry Program

Transfer Out: Transfer to Employee Relations Board Transfer to Personnel Contractual Services Transfer to City Attorney Litigation Expense

Year-end Available

Interim Transfers Pending to LAPD Sworn Overtime

Year End Available

Subtotal

Subtotal

322,144.89

(1,000,000.00)

(88,280.00)

(766,135.11)

$ 19,558,864.89

1,100,000.00 1,500,000.00 2,000,000.00

25,000.00 1,053,581.00

230,000.00 400,000.00

81,989.00 336,937.00

(33,027.00) (700,000.00)

(1,500,000.00)

4,494,480.00

$ 24,053,344.89

(13,386,138.00)

(13,386, 138.00)

$ 10,667,206.89

ATTACHMENT 9C STATUS OF UNAPPROPRIATED BALANCE NON-GENERAL ACCOUNT as of 01/31/2019

- --·~------------------ ------

iAccount No. UB Non-General Accounts

I General Fund 1580001 Genef"ai"(s_e_e Attachment 9A) 1580132 Equipment, expel1Se, and Alterations & !mprov. "" 5so·1eO Off-site Counc.- and Committee.Meetings ~Vu,-, .....

580168 OffiC8-Qf Public Accountability studies -- - .._.

560185 Tree Trimming ServiceS ··--- .....

580186 BID A-ssessment on City Properties ...,11,

580196 Reserve for Mtd-Year Adji.JStments

580197 oUiStde Counsel including Workers' ConiP 580199 Neighborhoo(:fCo-uncils

1580225 Commission on Revenue --l-----="~ccv=----....;..--580232 Reserve for EXtraordjnary Uability 580234 November 2018 Speci·-•,..;I E~le-ct~i-on-'------+--

~ Fire~ghter Escape Baitqut System [ U.S, Economic De11elopment Adm1rnstrat1on Grant

580237 i Obligation

15.80240 1.~~-t~~leum Rever\ue Eritiilr1cemerrts 580241 ]Franchise Valuation and Health S1udies

580242 !Risk M anagement mrormauon i;;ystem .....,,,...., ·--.---

5802«-·- J Public Bath~_?_m Access ~--- ,..,.., ""- -580249 Fire Advanced Provider Unit - LAWA rir•.

580:i!:li Human Resources Payroll SystelTI Replacement _...J..._cci7-'--A'----'--~~ Repaymerit'Or Community Deveropment Block --

580259 -.~ Grant Projects -- ·- r,v1u "",v v• . 580260 Bureau ot Engineering - Supplemeotel Funding ...... .-

580261 Load B ank-Te·stlng and Emergency Repairs .._

Homeless Outreach Pa.riM1'Ship Endea\/or (HOPE) 580263 Team

.:80264 Coogreg&te and Home.Delivered Meals Progra'm.S

! 580265 I Animal Se~~~s Sterilization Trust Fund

ls80266 Certified Access Specialist !,5~_0267 Fire and Police~ G~P"'S~T"'_r"'anc-sccp7onc-dcceccrs----

l 580268 ·-· . Neighoomood Empowerment Election outreach Oil Well and Facilities Inspection Program Fee

580269 Study

~ 270 Tree Maintenance and urnai:- Forestry Program

1580271 - Climate C hange Emergency Mobilization Program I ...,~,._,. .... : ...... I-- ---,---1

580272 Homeless SeJVices Programs Various Progra ms and Services ~ ·Contingent

580273 Revenues 58027 4 - Mutual Aid Overtime

580275 ; Fire and Polie& Recruitment FuncHng

580276 : General SeNices - Custodial SeJVices

5802TT 1Potice Department Tech,c;n.::o.:;lo~gy'--,------~.~~ [Oceanfront Walk at Ve-nice ~each 580279 ;Midnight Stroll Transgender Cafe

1

580280 !~~•grated Disability Managementj"rog ram I co" 580282 I Neighbol'h~~ Council Election Outreach I '"''-''"i;;.

'---· --+---------------+-- '--··

e------,--------·~, I ~ lU:>,Jfl,IU.11 : ~ -•--- 1,.. , ,,..., • .,..,. .... .,. .. , , .... ,., .. ,, .. v ... "'v)I \"•' 11 , .. .,.,,1 (o,vv.,, ....... .. ,:,.. 1"•'""•.,"••--•! •-·••·• >! {-

ATTACHMENT 9C STATUS OF UNAPPROPRIATED BALANCE NON-GENERAL ACCOUNT as of 01/31/2019

Account No. UB Non-General Accounts Department Adopted Budget Reapprop. during year FirstFSR during year Second FSR year Transactions Mid-Year FSR Year-End FSR Ba.lance

Primary Transfer lnJ Appropriated Appropriated Appropriated during Pending Available

--7

i

I - .. -,-... " - -

Special Funds ! ! 1-- - - .-. ----·- ... ·- ·-·-·· ·- --;580238 Accessible Housing Program Retrofit Contracts HCID I 5,000,000

- -- -··-· .. (534,668) 4,465,332 :580258 ___ Lanark Park Security-Enhancements 121,800

. .. 121,800 . CIEP : I

Street Damage Restoration Fee - Contingent street 1 -- -. .. is802a1 Funding Services : 29,a~~.~oq __ J_ 29,850,000 1,- ---- · ·· - ----

· ·-·· -- --- I i 0 ,$ 34,971,800 $ !$ I $ (534,668) I $ is 1----- -- ---.

' ... -·

' ·-•- -

Grand Total - ·1 $ 140,342,909 $ 644,368 s r1•,20J,s,o, I <4,331,000.001 (1,117,593) (1,009,636.11) i $ (10.322,705.00) t24,495,673.001I 122,ao9,2s1.00J s ; $ 62,697,888.94

STATUS OF LIABILITY ACCOUNTS .Available

Available Perrding Balance Based

Budget Paid Balance After After Paid and Paid Amounts Payments

Pending Payments

(A1) (A2) (BJ (C=A2+B) (D) (E=C+D)

2018-19 2018-19 Department/Bureau Account Amount Amount Amount Amount Adopted Budget Adjusted Budget

Fire 009790 $ - $ - $ - $ - $ - $ -

General Services 009791 $ - $ - $ - $ - $ - $ -

Police 009792 $ - $ 15,973,006 $ (12,873,006) $ 3,100,000 $ (3,100,000) $ -

PW/Engineering 009793 $ - $ 3,300,000 $ - $ 3,300,000 $ (3,300,000) $ -

PW/Sanitation 009794 $ 8,750,000 $ 8,750,000 $ (1,970,387) $ 6,779,613 $ (55,000) $ 6,724,613

PW/Street Services 009795 $ - $ 15,228,981 $ (13,880,000) $ 1,348,981 $ (1,348,981) $ -

Recreation & Parks 009796 $ - $ 2,300,000 $ (2,000,000) $ 300,000 $ (300,000) $ -Transportation 009797 $ - $ 11,437,500 $ (11,037,500) $ 400,000 $ (400,000) $ -

Miscellaneous (2) 009798 $ 80,340,000 $ 32,447,796 $ (7,185,124) $ 25,262,672 $ (1,748,525) $ 23,514,147

TOTALS $ 89,090,000 $ 89,437,283 $ (48,946,017) $ 40,491,266 $ (10,252,506) $ 30,238,760

Note:

(1) Percentage to Adjusted Budget applies to Fire, General Services, Police, PW/Engineering, PW/Sanitation, Recreation & Parks, and Transportation Liability Accounts.

(2) Includes a $167,317 transfer from 2016-17 and a $179,966 from 2017-18 from Years 1 and 2 monitoring fees for the Independent Living Center settlement.

ATTACHMENT 10

%to Adjusted Budaet<1J

0%

0%

0%

0%

77%

0%

0%

0%

72%

34%

ATTACHMENT 11 EMPLOYMENT LEVEL REPORT

FY 2018-19

Position Authorities Filled Positions

Department Adopted Start of End of Start of Changes

End of Vacancies

Activated Budget December Changes December December December Sub. Auth.

Aging 44 47 47 35 36 11 Animal Services 357 363 363 319 319 44 3 Building and Safety 905 1,079 1,079 916 8 924 155 14 Cannabis 5 28 9 37 11 1 12 25 City Administrative Officer 117 126 126 113 1 114 12 4 City Attorney 878 1,018 1,018 981 (1) 980 38 4 City Clerk 116 117 117 106 (2) 104 13 City Planning 388 477 477 374 (3) 371 106 3 Controller 166 176 176 136 136 40 4 Convention Center and Tourism Dev't 13 15 15 8 8 7 2 Cultural Affairs 65 75 76 60 61 15 Disability 22 24 Economic & Workforce

24 22 22 2

Develooment 101 164 164 125 126 38 El Pueblo 10 10 10 7 8 2 Emergency Management 23 30 30 24 25 5 Employee Relations Board 3 3 3 3 3 Ethics Commission 27 27 27 25 1 26 1 Finance 348 372 372 315 (4) 311 61 5 Fire • Civilian 397 434 435 361 2 363 72 5 Fire• Sworn 3,363 3,451 3,451 3,392 (2) 3,390 61 1 General Services 1,352 1,362 1,363 1,226 (2) 1,224 139 4 Housing 581 747 747 594 10 604 143 6 Information Technology Agency 423 456 456 381 381 75 4 Neighborhood Empowerment 27 33 33 30 30 3 Personnel 498 572 572 502 4 506 66 29 Police • Civilian 3,388 3,443 3,443 3,024 9 3,033 410 13 Police · Sworn 10,549 10,674 10,674 10,015 25 10,040 634 4 Public Accountability 7 7 7 4 4 3 PW/Board of Public Works 97 115 116 88 89 27 PW/Bureau of Contract Admin 250 403 403 337 338 65 PW/Bureau of Engineering 680 945 946 815 8 823 123 12 PW/Bureau of Sanitation 3,066 3,299 3,299 2,724 40 2,764 535 7 PW/Bureau of Street Lighting 210 345 345 282 2 284 61 4 PW/Bureau of Street Services 905 1,422 2 1.424 1,001 16 1,017 407 20 Transportation 1,372 1,708 1,708 1,338 (4) 1,334 374 4 Zoo 238 260 260 228 3 231 29 6

Subtotal 30,991 33,827 16 33,843 29,922 119 30,041 3,802 161

Library 1,095 1,095 1,095 1,015 (2) 1,013 82 Recreation and Parks 1,472 1,734 1,734 1,430 1,430 304 254

Subtotal 2,567 2,829 2,829 2,445 (2) 2,443 386 254

Total 33,558 36,656 16 36,672 32,367 117 32,484 4 188 415 "Position Authorities•Start of December" includes resolution authority and substitute positions.

Position Authorities Filled Positions

Monthly Summary Adopted Start of Changes

End of Start of Changes

End of Vacancies

Activated Budget Month Month Month Month Sub. Auth.

July 33,558 36,543 29 36,572 32,123 87 32,210 4,362 389 August 33,558 36,572 2 36,574 32,210 21 32,231 4,343 393 September 33,558 36,574 63 36,637 32,231 1 32,232 4,405 396 October 33,558 36,637 14 36,651 32,232 51 32,283 4,368 406 November 33,558 36,651 5 36,656 32,283 84 32,367 4,289 411 December 33,558 36,656 16 36,672 32,367 117 32,484 4,188 415

Documents

N1500 - KM 554e-20190228162334