HomeMy WebLinkAbout; ; 2015-2016 Operating Budget and Capital Improvement Program; 2015-06-302015–2016
Operating Budget and
Capital Improvement Program
City of Carlsbad
2015-16 Operating Budget
and Capital Improvement Program
Mayor
Matt Hall
City Council
Mark Packard
Keith Blackburn
Lorraine Wood
Michael Schumacher
Interim City Manager
Kathy Dodson
Assistant City Manager
Gary Barberio
Prepared by the Administrative Services Department
Administrative Services Director
Chuck McBride
Website: www.carlsbadca.gov
CITY OF CARLSBAD, CALIFORNIA 2015-2016 BUDGET
TABLE OF CONTENTS
1
Reader’s Guide to the Budget ................................................................................................................. i
Council’s 2015-16 Strategic Goals .......................................................................................................... ii
About the City of Carlsbad ..................................................................................................................... iii
Organization Chart ................................................................................................................................ vii
BUDGET OVERVIEW
City Manager’s Transmittal Letter........................................................................................................ A-1
2015-16 Budget Highlights .................................................................................................................. A-3
Budget Process ................................................................................................................................... A-4
Community Vision ............................................................................................................................... A-4
Budget Summary .............................................................................................................................. A-21
Personnel Allocations........................................................................................................................ A-33
2015-16 Budget Calendar ................................................................................................................. A-34
Budget Awards.................................................................................................................................. A-35
OPERATING BUDGET
Overview ............................................................................................................................................. B-1
Projected Fund Balances .................................................................................................................. B-19
Revenue Estimates ........................................................................................................................... B-21
Budget Expenditure Schedule ........................................................................................................... B-26
PROGRAM SUMMARIES
Policy & Leadership Group
Policy and Leadership Group Summary ....................................................................................... C-1
City Council .................................................................................................................................. C-2
City Clerk ..................................................................................................................................... C-3
City Treasurer .............................................................................................................................. C-4
City Manager ................................................................................................................................ C-6
Community Outreach & Engagement ........................................................................................... C-8
City Attorney .............................................................................................................................. C-10
Administrative Services
Administrative Services Summary ................................................................................................ D-1
Finance Summary ........................................................................................................................ D-2
Finance ........................................................................................................................................ D-3
Risk Management ........................................................................................................................ D-7
Records Management .................................................................................................................. D-9
Human Resources Summary ..................................................................................................... D-10
Human Resources ..................................................................................................................... D-11
Workers’ Compensation ............................................................................................................. D-13
Self-Insured Benefits .................................................................................................................. D-14
Information Technology .............................................................................................................. D-15
Miscellaneous Non-Departmental ............................................................................................... D-17
CITY OF CARLSBAD, CALIFORNIA 2015-2016 BUDGET
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2
Community Development
Community Development Summary .............................................................................................. E-1
Community & Economic Development Summary .......................................................................... E-2
Administration ............................................................................................................................... E-3
Economic Development ................................................................................................................ E-5
Land Development Engineering .................................................................................................... E-7
Land Use Planning & Planning Commission ................................................................................. E-9
Building ....................................................................................................................................... E-11
Housing & Neighborhood Services Summary .............................................................................. E-13
Neighborhood Services ............................................................................................................... E-14
Affordable Housing ...................................................................................................................... E-16
Rental Assistance ....................................................................................................................... E-17
Community Development Block Grant ......................................................................................... E-18
Successor Agency Redevelopment Operations Village Area ....................................................... E-19
Community Services
Community Services Summary ..................................................................................................... F-1
Library & Cultural Arts Summary ................................................................................................... F-2
Administration ............................................................................................................................... F-4
Circulation Services....................................................................................................................... F-5
Reference Services ....................................................................................................................... F-6
Children’s Services ....................................................................................................................... F-7
Collections & Technical Services................................................................................................... F-8
Literacy / Learning Center ............................................................................................................. F-9
Community Relations .................................................................................................................. F-10
Cultural Arts ................................................................................................................................ F-11
Parks & Recreation Summary ..................................................................................................... F-12
Parks & Recreation Administration .............................................................................................. F-13
Recreation ................................................................................................................................... F-16
Parks and Trail Maintenance ....................................................................................................... F-21
Street Tree Maintenance ............................................................................................................. F-23
Median Maintenance ................................................................................................................... F-24
The Crossings Golf Course ......................................................................................................... F-25
Public Safety
Public Safety Summary ................................................................................................................ G-1
Fire Summary............................................................................................................................... G-2
Fire Administration ....................................................................................................................... G-4
Emergency Operations ................................................................................................................. G-5
Weed Abatement ......................................................................................................................... G-6
Emergency Preparedness ............................................................................................................ G-7
Support Services .......................................................................................................................... G-8
Prevention .................................................................................................................................... G-9
Police Department Summary ...................................................................................................... G-10
Police Administration .................................................................................................................. G-11
Field Operations ......................................................................................................................... G-12
Community Services .................................................................................................................. G-13
Canine ....................................................................................................................................... G-15
Investigations/Field Evidence ..................................................................................................... G-16
CITY OF CARLSBAD, CALIFORNIA 2015-2016 BUDGET
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Public Safety (continued)
Vice/Narcotics ............................................................................................................................ G-17
Youth/School Programs ............................................................................................................. G-18
Property and Evidence/Records ................................................................................................. G-19
Family Services .......................................................................................................................... G-20
Task Force ................................................................................................................................. G-21
Support Services ........................................................................................................................ G-22
Communications Center ............................................................................................................. G-23
Information Technology .............................................................................................................. G-24
Police Asset Forfeiture ............................................................................................................... G-25
Citizens Option for Public Safety ................................................................................................ G-26
Police Grants.............................................................................................................................. G-27
Public Works
Public Works Summary ................................................................................................................ H-1
Public Works Administration ......................................................................................................... H-2
Transportation Summary .............................................................................................................. H-3
Asset Management, Construction Management & Inspection, Storm Drain Engineering .............. H-4
Street & Storm Drain Maintenance and Operations Services ....................................................... H-7
Traffic Operations, Planning and Signals ...................................................................................... H-9
Street Lighting ............................................................................................................................ H-11
Lighting & Landscape District No. 2 ............................................................................................ H-12
Buena Vista Creek Channel Maintenance .................................................................................. H-13
Property & Fleet Management Summary .................................................................................... H-14
Property & Fleet Management .................................................................................................... H-15
Vehicle Maintenance & Replacement ......................................................................................... H-17
Environmental Management Summary....................................................................................... H-19
Environmental Management ....................................................................................................... H-20
Solid Waste Management .......................................................................................................... H-22
Storm Water Protection .............................................................................................................. H-24
Utilities Summary ....................................................................................................................... H-27
Water Operations ....................................................................................................................... H-28
Wastewater Operations .............................................................................................................. H-31
CAPITAL IMPROVEMENT PROGRAM
Overview .............................................................................................................................................. I-1
Project Evaluation ................................................................................................................................ I-1
Capital Projects – The Next Five Years ................................................................................................ I-2
Capital Projects through FY 2029-2030 ............................................................................................... I-6
Future Growth and Development ......................................................................................................... I-7
Revenues ............................................................................................................................................. I-9
Summary ........................................................................................................................................... I-10
Growth Management Plan ................................................................................................................. I-11
Capital Funds Projected Fund Balances for FY 2014-2015 ................................................................ I-12
Capital Funds Projected Fund Balances for FY 2015-2016 ................................................................ I-13
Capital Revenues Actual and Estimated ............................................................................................ I-14
Capital Funds Budget Expenditure Schedule .................................................................................... I-15
CITY OF CARLSBAD, CALIFORNIA 2015-2016 BUDGET
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4
Capital Projects
Detail Schedule of Capital Projects by Category FY 2015-2016 .............................................. J-1
Fund Summary
Capital Improvement Program Fund Summary ........................................................................ K-1
Glossary of Capital Project Funding Sources......................................................................... K-12
APPENDICES
Planned Major Capital Outlay Items 2015-2016 .................................................................................. L-1
Out of State Travel Requests 2015-2016 ............................................................................................ L-3
Miscellaneous Statistical Information .................................................................................................. L-5
Accounting Systems and Budgetary Control ....................................................................................... L-6
Glossary.............................................................................................................................................. L-7
Resolutions Adopting the Budget ........................................................................................................ L-9
Acronyms .......................................................................................................................................... L-48
READER’S GUIDE TO THE BUDGET
i
This budget document has been designed to provide the public concise and readable
information about the City of Carlsbad’s 2015-16 budget. The budget is separated into
three major sections: the Overview, the Operating Budget, and the Capital Improvement
Program.
Overview
The beginning of the budget document contains the City Manager’s transmittal letter and
overview information. The overview information will provide summary data to the reader
for the Operating Budget and the Capital Improvement Program, as well as information
on personnel allocations, debt management issues and the budget process.
Operating Budget
The Operating Budget section has seven tabbed sections. The first section provides a
summary of the Operating Budget and the remaining six sections provide detailed
budget information for six main functional areas. The summary section begins with a
budget overview, including revenue assumptions, information on the policies used to
develop the budget, and an overview of expenditures. The overview is followed by tables
providing detailed information on fund balances, revenues and expenditures. The
following six sections are separated by functional area, which are Policy and Leadership,
Administrative Services, Community Development, Community Services, Public Safety,
and Public Works. Within these broad categories, the budget is organized on a
department, or program group, basis. Summaries, financial and descriptive, are included
for departments containing more than one program. The summary page is followed by
detailed information for each program. Some departments consist of one program only,
and thus only one page is included for them. For each summary and program, a
financial history and the 2015-16 budget figures are presented. If applicable, narrative
statements are also included describing program activities, associated workload
measures or performance objectives, key achievements for 2014-15 and key goals for
2015-16.
Capital Improvement Program
The Capital Improvement Program (CIP) is located in the back of the budget document.
An overview of the CIP provides general information about the process used in
preparing the budget for capital projects and describes how development information is
used to project future revenues that fund these projects. In addition, major CIP projects
are highlighted and discussed. The next section contains summary revenue and
expenditure tables, by funding source, and a detailed project expenditure schedule
listing the cost and timing of each future and current CIP project. Following this
schedule are fund summary pages, which list the revenues and expenditures by fund,
thus providing cash flow information and annual projected fund balances for each
Capital Improvement Program fund.
Appendices
The Appendices contain a detailed listing of the 2015-16 Planned Major Capital Outlay
items by department. An Out-of-State Travel Detail is presented next. The last section
of the Appendices provides information on accounting systems and budgetary control,
the adopted Resolutions for the budget including the Gann Limit, a glossary, and a list of
acronyms.
ii
City of Carlsbad provides exceptional, top quality services on a daily basis by proactively listening, engaging
and responding to its residents.
¾ Balanced community development: Be a city that connects community, place and spirit, through
balanced and economically sustainable land uses.
¾ Resident connection and partnership: Be a city that embraces community connectivity through
the effective use of technological and interpersonal mediums.
¾ Communication: Ensure that community members, council and staff are well informed, continuing
to be a more responsive government while providing a high level of citizen confidence in its
government.
¾ Economic Development: Strengthen the city’s strong and diverse economy, supporting local
businesses, attracting new businesses in targeted industries and solidifying the city’s position as a
key employment hub.
¾ Environmental management: An environmentally sensitive community by focusing on
conservation, storm water, sewage collection and treatment, solid waste, and cost effective and
efficient use of energy including alternative energy sources.
¾ Financial health: Pursue and implement proactive strategies that support sustainable economic
health and manage city resources effectively.
¾ Learning, culture and arts: Promote and support continuous learning, cultural opportunities and
the arts within the community and the city organization.
¾ Parks, open spaces and trails: Acquire, develop and maintain a broad range of open space and
recreational facilities that actively address citizen needs which are fiscally responsible, and are
consistent with the general plan and growth management standards.
¾ Safe community: Maintain a safe and secure community through collaborative partnerships. Public
safety providers support high standards, deliver protection of life and property and encourage
community involvement in prevention and preparedness efforts.
¾ Transportation and circulation: Provide and support a safe and efficient transportation system that
moves people, services and goods throughout the city.
¾ Water: Ensure, in the most cost-effective manner, water quality and reliability to the maximum extent
practical, to deliver high quality potable and reclaimed water incorporating drought-resistant
community principles.
Carlsbad City Council
Fiscal Year 2015-16
Strategic Goals
City Council continues to clarify and pursue the vision of
Carlsbad that reflects the pride and quality of life.
ABOUT THE CITY OF CARLSBAD
iii
The City of Carlsbad is a unique coastal
community located 35 miles north of the
City of San Diego and surrounded by
mountains, lagoons, and the Pacific
Ocean. The city is governed by a five-
member City Council under the
Council/Manager form of government.
Although the “village” dates back more
than 100 years, Carlsbad incorporated in
1952 as a General Law city, and in 2008
became a Charter city. Currently, the city
is over 90 percent developed and is
expected to grow from a population of
about 110,000 to 120,000 once its 39
square miles are built out. Industries in the
area include a major regional shopping
center; a specialty outlet center; 37 hotels
offering over 4,000 rooms for tourist
lodging; over 20 auto dealers; high
technology, multimedia and biomedical
businesses; electronics, golf apparel and equipment manufacturers; several business and light
industry parks; and numerous land developers building single and multi-family housing in a
variety of community settings.
The city provides the full range of services normally associated with a municipality including
police, fire, parks and recreation, library and cultural arts, planning and zoning, building and
engineering, various maintenance services, and administration. The city provides water services
through the Carlsbad Municipal Water District, a subsidiary district of the city. The City Council
serves as the Board of Directors for the Carlsbad Municipal Water District. Solid waste
collection is provided through a franchise agreement with a local refuse collection service.
In addition to the usual city services, Carlsbad offers a wide variety of programs to help local
residents and businesses. The city’s Housing Authority administers federal housing assistance
to 600 low-income households in Carlsbad. Older Carlsbad residents receive assistance
through the city’s senior citizen programs.
School programs and facilities are provided by four different school districts located within the
city boundaries. The City Council has no direct control over these school districts; however, the
Council recognizes the importance of quality school facilities and programs to Carlsbad’s
residents. Thus, the Council and staff work with the school districts on a regular basis.
ABOUT THE CITY OF CARLSBAD
iv
Demographic and Economic Data
When comparing the percentage age distribution of the City of Carlsbad’s population versus the
State of California and the United States, Carlsbad’s population has fewer people in the 0–40
age group, and a higher number of people in the 40+ age group.
Population Age Distribution
Source: US Census Bureau
Carlsbad’s median and mean household income are substantially higher than the nation, state,
and county income levels.
Household Income
Source: US Census Bureau
ABOUT THE CITY OF CARLSBAD
v
Source: State of California Employment Development Department and US Bureau
of Labor Statistics
Source: US Census Bureau
ABOUT THE CITY OF CARLSBAD
vi
Source: US Census Bureau
ELECTORATECity ManagerCity Treasurer7/27/15KEYElectedCouncil AppointedCouncil AppointedOrganization ChartCity AttorneyCity CouncilCity ClerkPolice DepartmentAssistant City Manager(Operations)ArtsCommissionBeachPreservationCommitteeSeniorCommissionParks & RecCommissionLibrary BoardofTrusteesHistoricPreservationCommissionHousingCommissionTraffic SafetyCommissionPlanningCommissionCarlsbad TourismB.I.D. AdvisoryBoardCarlsbad Golf Lodging B.I.D. Advisory BoardFire DepartmentTransportationUtilitiesEnvironmentalManagementLibrary & Cultural ArtsCommunity & Economic DevelopmentParks & Recreation Housing & Neighborhood ServicesFinanceHuman ResourcesInformation TechnologyAdministrative Services Assistant City Manager(Projects)Public WorksCommunications ManagerProperty & Fleet Managementvii
Overview
A-3
CITY OF CARLSBAD BUDGET HIGHLIGHTS
FISCAL YEAR 2015-16
WHERE THE MONEY COMES FROM…
ESTIMATED REVENUES $290.1 MILLION
WHERE THE MONEY GOES…
ADOPTED BUDGET $313.6 MILLION
CITY OF CARLSBAD BUDGET HIGHLIGHTS
A-4
The city’s budget is comprised of two pieces, the Operating Budget and the Capital Improvement
Program Budget (CIP). The CIP provides the funds to build the parks, roads, buildings, and other
infrastructure of the city, while the Operating Budget provides the money to staff and operate the
facilities and infrastructure, as well as provide important services to the citizens and visitors of
Carlsbad. The operating budget totals $240.1 million and is expected to generate $244.9 million
in revenues. The CIP contains the current year budget allocation of $73.5 million and outlines
approximately 240 future projects at a total cost of $455 million. Capital revenues for Fiscal Year
2015-16 are estimated at $45.2 million. The capital projects include parks, civic facilities, as well
as infrastructure needs anticipated for the future that are not expected to be constructed by
developers.
The budget overview on the following pages will provide the reader with a good
understanding of the budget process and the economic profile of the city, as well
as providing a broad overview of the services and projects planned for the 2015-16
Fiscal Year. This section also addresses debt management, including a schedule
of the outstanding bond issues. More detail on the city’s numerous programs and
projects can be found throughout the remainder of the document.
BUDGET PROCESS
At the beginning of each year, the City Council meets to develop goals that help city staff prioritize
programs, projects and services, as well as the resources required to fund them. Based on this
direction, along with input received at public workshops, city staff finalizes the overall city work
plan and develops the proposed annual budget for the coming fiscal year. The City Council adopts
the formal budget for all funds prior to the beginning of each fiscal year and may amend those
budgets throughout the year, as necessary. The legal level of budgetary control is at the fund
level and budgetary control is maintained through the city’s accounting system. Expenditures
may not exceed budgeted amounts at the fund level.
The Carlsbad City Council has set a vision to make Carlsbad a truly world class city by fulfilling
the core values outlined in the community’s vision of the future, with a particular emphasis in
several strategic areas of focus.
City of Carlsbad Community Vision
x Small town feel, beach community character and connectedness
Enhance Carlsbad’s defining attributes—its small town feel and beach community
character. Build on the city’s culture of civic engagement, volunteerism and philanthropy.
x Open space and the natural environment
Prioritize protection and enhancement of open space and the natural environment.
Support and protect Carlsbad’s unique open space and agricultural heritage.
x Access to recreation and active, healthy lifestyles
Promote active lifestyles and community health by furthering access to trails, parks,
beaches and other recreation opportunities.
x The local economy, business diversity and tourism
Strengthen the city’s strong and diverse economy and its position as an employment hub
in north San Diego County. Promote business diversity, increased specialty retail and
dining opportunities, and Carlsbad’s tourism.
CITY OF CARLSBAD BUDGET HIGHLIGHTS
A-5
x Walking, biking, public transportation and connectivity
Increase travel options through enhanced walking, bicycling and public transportation
systems. Enhance mobility through increased connectivity and intelligent transportation
management.
x Sustainability
Build on the city’s sustainability initiatives to emerge as a leader in green development
and sustainability. Pursue public/private partnerships, particularly on sustainable water,
energy, recycling and foods.
x History, the arts and cultural resources
Emphasize the arts by promoting a multitude of events and productions year round.
Cutting edge venues to host world class performances, and celebrate Carlsbad’s cultural
heritage in dedicated facilities and programs.
x High quality education and community services
Support quality, comprehensive education and lifelong learning opportunities, provide
housing and community services for a changing population, and maintain a high standard
for citywide public safety.
x Neighborhood revitalization, community design and livability
Revitalize neighborhoods and enhance citywide community design and livability. Promote
a greater mix of uses citywide, more activities along the coastline and link density to public
transportation. Revitalize the downtown Village as a community focal point and a unique
and memorable center for visitors, and rejuvenate the historic Barrio neighborhood.
In FY 2015-16, the city organization will continue to deliver excellent service to all of our
constituents in a responsive and efficient manner and maintain our focus on retaining a highly
trained, flexible and responsive staff. Given the importance of a strong local economy, the city
will continue its work to create jobs by attracting talent to Carlsbad and helping existing business
to thrive. In the coming year, the city is on track to complete its General Plan update, adapting
city land use policies to address population and demographic trends while maintaining the city’s
high standards and quality of life. The city completed its parks and recreation needs assessment,
charting a course for the future development of parks, community centers and recreational
services. The upcoming year includes construction of several parks projects which address the
needs assessment recommendations. Carlsbad streets will continue to evolve to accommodate
and encourage all modes of transportation, not just cars. And, the city will maintain a strong focus
on fostering the next generation of community leaders through programs, training and
engagement opportunities at all levels of city government.
Carlsbad’s operating budget is a tool that guides the achievement of Council’s vision, goals, and
priority projects for the city. The budget allocates resources to city programs in accordance with
priorities established by residents and the Council. Thus, it is an integral part of making Carlsbad
a wonderful community in which to live, work and play. In addition, the budget is fiscally
conservative and balanced, and provides a blueprint to effectively sustain the community and
essential city services far into the future.
CITY OF CARLSBAD BUDGET HIGHLIGHTS
A-6
ECONOMIC PROFILE
The US economy continues to expand in an
unpredictable fashion. Growth in GDP in the first
quarter of 2015 (advance estimate) is an anemic 0.2
percent, following growth of 2.2 percent in the last
quarter of 2014. However, the two preceding
quarter had growth of over 4 percent. While
consumer spending in the US rose by 4.4 percent in
the fourth quarter, the fastest pace since 2006, the
strength of the dollar is creating a drag from net
exports. National unemployment was stable at 5.5
percent in March, bolstered by strength in
professional and business services, health care,
and retail trade. However, the economy only added
126,000 jobs in March, which is relatively anemic when compared to an addition of 201,000 and
264,000 in January and February, respectively. Economists with the UCLA Anderson Forecast
predict that the US economy will expand at a pace of 3 percent per year for the next two years
and that payroll employment will increase by 250,000 jobs per month, bringing unemployment to
5 percent by the end of 2015. Economists continue to predict that the Federal Reserve will raise
the Federal Funds rate, which is forecast to top 3 percent by the end of 2016.
At the national level, housing is showing continued strength. The US National Home Price
Indices, prepared by S&P/Case-Shiller, show an increase of 5 percent when comparing February
2015 to the previous February, compared to 4.5 percent for the same year-over-year comparison
in January. These positive year-over-year gains have continued over the past 34 months. David
M. Blitzer, the Managing Director and Chairman of the Index Committee at S&P Dow Jones
Indices, says, “Home prices continue to rise and outpace both inflation and wage gains.” The
effects of expected raises in mortgage interest rates remains to be seen.
As mentioned above, the prognosis for the national economy is positive. Housing construction is
expected to accelerate in the next two years, spurred by growing employment, relaxed down
payment requirements, and low mortgage interest rates. Defense spending is also forecasted to
increase, given the global geopolitical climate. Moderating these positive effects will be expected
increases in inflation and a decrease in capital spending associated with oil and gas production.
The California economy appears to have stabilized, despite some challenges arising from the
recent labor dispute at West Coast ports and some slowing seen in the housing market. The
employment picture remains positive, as evidenced by an unemployment rate of 6.7 percent in
February, compared to 8.1 percent a year ago. According to the California Department of
Finance, job growth in the state has grown for 44 consecutive months at an average addition of
37,000 jobs per month. Economists at UCLA expect the unemployment rate to drop to 5.1 percent
by the end of 2017, converging with the national unemployment level.
Indicators of economic health, such as taxable sales, growth in personal income, and
employment, all point to a relatively healthy economy. The housing market provides a more
perplexing story for the state economy. According to CoreLogic DataQuick, the median price of
a California home reached $378,000 in January, up 6.5 percent from the previous year. The rate
of growth in home prices seems to be abating and home sales also seem to be waning.
Conversely, residential building permits indicate that development is increasing. In 2007, over
106,000 permits were issued and this fell to 33,000 in 2009. This year, that number expected to
top 100,000 permits, indicating that developers believe that sufficient demand remains for new
housing. This data indicates the effect of price searching, as buyers and sellers find the new
equilibrium in the housing markets. The increase in prices on the coast have also spurred
increased residential permitting in commuter communities, such as San Bernardino and
CITY OF CARLSBAD BUDGET HIGHLIGHTS
A-7
Riverside. Increasing personal income and employment should also increase household
formation and provide demand for residential housing in the coming years.
The San Diego County economy continues to improve and, according to USD economist Alan
Gin, is expected to see continued growth into the coming years. Unemployment in San Diego
was at 5.1 percent in March, compared to 6.9 percent the previous March. One factor driving the
optimistic outlook for San Diego is the significant increase in residential building permits. Single
family residential permits increased by over 18 percent, compared to the first quarter of 2014.
Marney Cox, the Chief Economist for the San Diego Association of Governments, sees residential
permits increasing by 30 percent in 2015, along with an increase of 5 percent in taxable sales.
Home prices continue to increase in San Diego County, but at a slower pace. For example, the
S&P Case-Shiller Index indicates a year-over-year increase of 4.7 percent in residential home
prices, comparing February 2015 to the previous year. That same annual rate of change in
February 2014 was 20 percent. Monthly appreciation from January to February 2015 was less
than 1 percent, slightly lower than 2014. According to DataQuick, the median price for single
family residences (SFR) is up 6.4 percent to $500,000, measured from the quarter ending March
2015 to the same quarter in 2014.
The chart below reflects the historical trend in USD’s Leading Economic Indicators. The index,
which measure local stock prices, help wanted advertising, and other pertinent metrics, increased
by 1.3 percent in March, the third consecutive month in which all six measures were positive.
Carlsbad’s economy is tied closely to that
of the San Diego region. For FY 2014-15,
property taxes increased by 8 percent
compared to the prior year, as assessed
values rose and temporary reductions in
property tax bills expired. Transient
Occupancy Tax (TOT), a gauge of local
tourism activity, increased by approximately
3 percent, as occupancy and average daily
rates (ADR) continue to improve. Sales tax
revenues are projected to end FY 2014-15
with an increase of over 5 percent, as the city
sees continued strength in auto sales and
benefits from the addition of retail business.
Overall, General Fund revenues are
projected to end the current fiscal year at $134 million, an increase of over 4 percent compared
to the prior year. In FY 2015-16, we forecast continued strength, as General Fund revenues are
expected to increase by almost 3 percent.
CITY OF CARLSBAD BUDGET HIGHLIGHTS
A-8
Housing prices in Carlsbad are following national, state and regional trends. Data on single family
residence (SFR) sales from
DataQuick indicate that the median
sales price increased to
approximately $734,000 in the first
quarter of 2015, an increase of less
than 2 percent compared to the
same quarter in 2014. According to
Movoto, inventory of units for sale
have increased by 14 percent in
Carlsbad, from 324 units in April
2014 to 370 units for sale, this April.
Total assessed property values in
the city are $24.9 billion, an
increase of 8.5 percent compared to
the prior fiscal year (FY 2013-14). According to recent growth projections prepared for the city,
Carlsbad will add over 1,700 residential units over the next five fiscal years.
From 1992 to 2008, commercial and industrial development in Carlsbad averaged approximately
1.1 million square feet per year. As opportunities for new development diminish, commercial and
industrial development is tapering off, falling to an average of approximately 169,000 square feet
per year over the next five fiscal years. Large industrial and commercial developments in the next
five years include Dos Colinas Retirement Community, the Floral Trade Center, and the
expansion of the Viasat campus. Commercial office space vacancy has witnessed a decline over
the past several years, falling from over 30 percent in the last quarter of 2009 to just under 17
percent in the first quarter of 2014. Industrial vacancy remains at 10 percent and retail vacancy
for the first quarter of 2015 was 3 percent, according to data from CoStar.
Commercial development has brought much needed entertainment and shopping venues to
citizens and visitors alike, as well as generating additional sales tax to help pay for city services.
Carlsbad is home to Car Country Carlsbad – an auto mall; the Carlsbad Premium Outlets – a
specialty outlet center; Plaza Camino Real – a regional shopping mall; a Costco center; and the
Forum at Carlsbad – a commercial center with upscale retail shops, restaurants and other
commercial uses. A new Lowe’s opened in fall 2013, and La Costa Town Square opened in FY
2014-15.
Development has also enhanced Carlsbad’s reputation as a destination resort for tourism. The
city is host to a major family theme park, Legoland, and has two luxury resorts available for its
visitors, the Park Hyatt at Aviara and the La Costa Resort & Spa. There are also a number of
other quality hotels and motels in the city, with the most recent additions being the Hilton
Oceanfront Resort & Spa (recently renamed Cape Rey Carlsbad, a Hilton Resort) and the
Legoland California Resort.
The City of Carlsbad opened a municipal golf course in the summer of 2007 which has further
enhanced the tourism attractions the city offers. The municipal golf course, The Crossings at
Carlsbad, is an 18-hole, destination golf course set in the rolling hills and canyons of Carlsbad.
With ocean views, high quality golf experience, a first class restaurant and clubhouse, and
linkages to hiking trails, The Crossings at Carlsbad is a destination spot for golfers and non-golfers
alike.
It is the Council’s goal to ensure that the city remains in good financial health, and there are a
number of steps the city has taken to attain that goal. One of the steps is the Growth Management
Plan. This plan was adopted by the citizens to ensure that all necessary public facilities were
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constructed along with development. It also ensures that a financing plan is in place to pay for
the facilities prior to the development of the property.
In addition to the Growth Management Plan, the city also prepares a long-term financial model
for both the capital and operating needs of the city. With a growing city such as Carlsbad, it is
imperative that we plan for the impacts of the economy, serving new development and operating
new public facilities, and plan for capital needed to build them. Thus, the city prepares a ten-year
operating forecast for the General Fund, and a 15-year Capital Improvement Program. As part of
the Capital Improvement Program, the city annually calculates the amounts needed to pay for the
various projects, and calculates the anticipated operating budget impacts. In this way, the city can
anticipate the effects of development from both a capital and an operating perspective.
One important initiative the city has undertaken to ensure its financial health is the development
of an Infrastructure Replacement Fund. With this fund, the city sets aside a portion of General
Fund revenues on an annual basis for major maintenance and replacement of its infrastructure.
Much of the city’s infrastructure is relatively new; thus, the city is just now experiencing the impact
of maintenance requirements. By setting aside funds now, the citizens of Carlsbad can be
assured that the proper maintenance and replacement, as needed, will be performed on streets,
parks and many facilities for which the city is responsible.
As national and local economic conditions begin to improve, Carlsbad is well positioned to reap
the benefits of a diverse business composition. Over the past decade, the city has developed an
economic base that attracts business, tourism, and retail consumers. The city hosts four regional
shopping areas within its boundaries; an auto mall, a large regional mall, an outlet center, and a
high-end retail center in the southern part of the city called The Forum. A strong tourism industry
is served by Legoland and a host of resorts and hotels, as mentioned previously. All of these
factors, combined with relatively stable property values, provide a strong revenue base to support
the high level of city services for our residents. In FY 2015-16, the city is expected to generate
$110.6 million, or 80 percent of General Fund revenues, from three main sources: property taxes,
sales taxes, and transient occupancy taxes (TOT).
Overall, for FY 2015-16, General Fund revenue is projected to increase by 2.8 percent from the
previous year’s estimates. Most major sources of tax revenue are expected to increase slightly
in FY 2015-16, including property tax (4 percent increase), which is stabilizing following a year
that saw growth of over 8 percent. Sales tax is expected to increase by 5.3 percent and TOT
revenues are projected to increase by 6 percent as occupancy and average daily rates (ADR)
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increase with the addition of new hotels, such as the Staybridge and Fairfield hotels. Home values
continue to appreciate, however, following the national, state, and regional trends, grow at lower
rates. Development related revenue items are forecast to decrease by 30 percent in FY 2015-
16, as compared to the previous fiscal year, which witnessed high development activity.
State of California – In January, Governor Jerry Brown submitted a balanced budget
to the California legislature. The passage of Proposition 30, which temporarily
increases income tax rates and sales tax rates, is providing a respite from ongoing
fiscal pressure in California, but the greatest hope for future state budgets is an
improving economy.
The budget for FY 2015-16 is a tenuous balancing act, using projected revenues of $113.4 billion
to cover $113.3 billion in expenditures. In November, voters approved Proposition 2, which sets
aside additional revenues, primarily from capital gains, to address future economic downturns,
instead of increasing ongoing expenditures. At the end of the year, this “rainy day” fund is
projected to have a balance of $2.8 billion. Still, the Governor’s budget message acknowledges
the ongoing fiscal stress in the state, driven by rising costs from health care, wildfires, and
mandates imposed on our prison system. Changes in federal immigration policy could increase
future expenditures by hundreds of millions of dollars. The FY 2015-16 California budget projects
that, indeed, the state will begin to spend more than it receives in revenues in 2018-19. Another
sobering fiscal matter is the amount of liabilities attributable to employee pension and health care
benefits. Total state debt and liabilities are $227 billion, of which $222.2 billion is for health and
pension liabilities. Finally, the temporary quarter-cent sales tax expires in 2016, followed by the
sunset of the temporary income tax increase in 2018.
California, as mentioned previously, continues to face sizable pension liabilities. Reforms enacted
in 2012 increase cost sharing for employees, increase retirement ages for new employees, and
reduced pension benefit formulas. Additionally, the governor signed a funding plan in 2014 that
will address the $74 billion shortfall in teacher pension liabilities over thirty years, similar to the
plan enacted by CalPERS. General Fund expenditures in the proposed budget increased by 1.4
percent, down significantly from the 8.5 percent increase a year ago. The budget also addresses
issues such as climate change and water management.
Looking Forward
In order to strategically address the future needs of the city and to ensure that we maintain a
structurally balanced budget in the long term, the city prepares a ten-year financial forecast.
Revenue projections are developed based on current and forecasted economic variables at the
national, state, and local levels, and provide city leaders with some measurement of future
capacity to support city programs and services. In recent years, revenue growth has become
more difficult to project in the long-term, as we find ourselves in an economic climate that changes
rapidly and unpredictably, and the forecast allows decision makers to adjust for these changes.
The ten-year forecast is updated frequently to avoid potential pitfalls and to ensure that we identify
and resolve fiscal challenges and continue to develop a balanced and responsible budget.
Over the past several years, the city has addressed the budgetary challenges brought on by the
recent recession and taken deliberate measures to continue to allocate resources in a responsible
manner, minimizing the impact to users of city services. These measures included a reduction in
full-time and hourly full-time equivalent (FTE) positions, delaying the construction of non-essential
capital projects, reducing the funding for capital outlay and priority projects, reducing and/or
eliminating cost of living salary increases, requiring employees to pay a larger portion of their
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retirement costs, using technology and other tools to create efficiencies, and reducing certain
non-essential service levels with a minimal impact to the community.
The ability to anticipate changes in revenue sources and to balance those resources against the
costs related to ongoing and future programs, services, and infrastructure requirements is critical
to the financial health of the city. The city relies on the General Fund forecast to effectively
manage fiscal resources and map a sustainable and responsible path for attaining the goals of
the community. The tumultuous economic environment experienced in the past few years makes
this long-term perspective even more important.
The forecast assumes limited growth in residential and commercial development over the next
decade and captures the expected revenue impacts from major projects that are expected to be
completed during the forecast period. Ongoing transfers to the Carlsbad Crossings Golf Course
are expected to continue over the forecast period; however, the transfer is expected to decrease
steadily over the ten-year forecast horizon. The operating costs of new city facilities projected in
the Capital Improvement Program and supported by the General Fund, such as Alga Norte Park,
are also captured in the forecast. Economic conditions at the national, state, and local level are
expected to continue to improve at a modest rate and to provide a boost to most of our major
sources of revenue. Home prices, which have been slumping for several years, are continuing to
increase substantially and will begin to provide a boost to the city’s property tax revenues in the
following years. Overall, the outlook for General Fund revenues continues to be positive and
revenues are expected to exceed ongoing operating costs over the period of the forecast.
The forecast assumes that General Fund revenues will increase by approximately three percent
in FY 2015-16, as economic conditions continue to improve, bolstering revenues from the property
taxes, sales taxes and TOT. To project the expenditures, all known changes in personnel and
maintenance and operations costs are accounted for. However, the effects of future negotiations
with employee bargaining units are not contemplated in the current ten-year forecast. The
forecast also captures increases in operating costs associated with planned capital
improvements, such as parks as civic facilities.
The forecast assumes that the city’s cost for employee health care will increase by five percent,
annually, over the life of the forecast. Pension plan costs continue to be a major driver of overall
personnel costs for the city. CalPERS, the pension plan which funds city employee pension
CITY OF CARLSBAD BUDGET HIGHLIGHTS
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benefits, has recently decided to substantially increase required annual pension contributions
from participating agencies in order to fully fund outstanding pension obligations within 30 years.
This decision, coupled with new mortality assumptions (pensioners are living longer), will
substantially increase personnel costs for the city and are contemplated in the current ten-year
forecast. The cumulative effect of the five year ramp-up in pension costs will increase the General
Fund’s annual contribution by 35 percent from FY 2015-16 to FY 2019-20, after which costs
stabilize and may even decrease. The forecast further assumes that no new positions are
authorized after FY 2015-16, except those that may be related to the operating costs of new city
facilities supported by the General Fund. Negotiated salary step increases and cost of living
increases are included in personnel costs, in order to provide a conservative estimate of future
costs. The contribution from the General Fund to the Infrastructure Replacement Fund is
forecasted to remain at 6.5 percent of General Fund revenues. Finally, the forecast includes
estimated operating costs for all capital projects in the timeframes shown in the Capital
Improvement Program (CIP).
As indicated in the graph on the previous page, the General Fund is balanced for FY 2015-16 and
revenues exceed expenses over the life of the forecast. Although the revenue forecast is
optimistic, Carlsbad faces the same challenges that plague the national and state economies,
including the unknown impact and duration of the current drought and rising health costs. Despite
these threats, responsible fiduciary stewardship and planning have placed the city in a position to
benefit from even modest improvements in the economic environment.
(In millions)
2015-16 2016-17 2017-18 2018-19 2018-19
REVENUES
Property Tax 56.6$ 58.4$ 61.2$ 63.3$ 65.9$
Sales Tax 34.9 34.9 36.8 38.3 39.9
Transient Occupancy Tax 19.1 20.2 20.8 21.6 22.5
Franchise Taxes 5.1 5.1 5.2 5.3 5.4
Business License Tax 4.5 4.7 4.8 4.9 5.1
Development Revenues 1.7 1.3 1.1 1.4 2.2
All Other Revenues 15.9 15.9 16.3 17.1 18.0
Total 137.7$ 140.5$ 146.1$ 152.0$ 158.8$
EXPENDITURES
Personnel 82.2$ 85.4$ 89.2$ 93.2$ 97.5$
Maintenance & Operations 39.5 38.7 39.9 41.3 43.2
Capital Outlay - 0.4 0.4 0.5 0.5
Council Contingency 1.5 1.5 1.5 1.5 1.5
Transfers 12.1 12.1 12.5 12.8 13.2
Total 135.3$ 138.1$ 143.4$ 149.2$ 155.9$
SURPLUS/(DEFICIT) 2.4$ 2.4$ 2.7$ 2.8$ 2.9$
GENERAL FUND FIVE YEAR FORECAST
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The Appropriations Limitation imposed by Proposition 4 and modified by Proposition 111 (Gann
Limit) creates a restriction on the amount of revenue which can be appropriated in any fiscal year.
The revenues which are subject to the limitation are those considered "proceeds of taxes." The
basis for calculating the limit began in Fiscal Year 1978-79 and is increased based on population
growth and inflation. Carlsbad’s appropriation limit is in excess of three times the annual
appropriation of proceeds of taxes subject to the limit. With such a large margin (approximately
$268 million), and in light of the city’s ten year financial forecast, there is no time in the foreseeable
future where Carlsbad’s annual appropriation of tax proceeds would approach the limit. It is
unlikely the Gann Limit will ever be reached in the future.
FINANCIAL POLICIES
The city has a number of financial policies to not only safeguard city assets, but also to assist in
ensuring long-term financial stability.
LONG RANGE FINANCIAL PLANNING POLICIES
PURPOSE:
Financial planning uses forecasts to provide insight into future financial capacity so that strategies
can be developed to achieve long-term sustainability in light of a government's service objectives
and financial challenges.
A sound financial planning process assesses the long-term financial implications of current and
future operating and capital budgets, providing decision-makers with the long-term fiscal impact
of current policies and budget decisions. A good forecast recognizes the effects of economic
cycles and differentiates between revenue associated with one-time activities and revenue
derived as a result of base economic growth.
BACKGROUND:
Long-term financial planning is a best practice approved by GFOA’s Executive Board. The best
practice concepts related to long-term financial planning are as follows:
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It allows the city to execute a long-range financial plan and supports the overall city strategic plan.
It is a highly collaborative process that considers future scenarios and helps governments
navigate challenges.
Financial forecasting is the process of projecting revenues and expenditures over a long-term
period, using assumptions about economic conditions, future spending scenarios, and other
salient variables.
Long-term financial planning is the process of aligning financial capacity with long-term service
objectives.
GFOA recommends that all governments regularly engage in long-term financial planning that
encompasses the following elements and essential steps:
x Time Horizon. A plan should look at least five to ten years into the future. Governments
may elect to extend their planning horizon further if conditions warrant.
x Scope. A plan should consider all appropriated funds, but especially those funds that are
used to account for the issues of top concern to elected officials and the community.
x Frequency. Governments should update long-term planning activities as needed in order
to provide direction to the budget process, though not every element of the long-range
plan must be repeated.
x Content. A plan should include an analysis of the financial environment, revenue and
expenditure forecasts, debt position and affordability analysis, strategies for achieving and
maintaining financial balance, and plan monitoring mechanisms, such as scorecard of key
indicators of financial health.
x Visibility. The public and elected officials should be able to easily learn about the long-
term financial prospects of the government and strategies for financial balance. Hence,
governments should devise an effective means for communicating this information,
through either separate plan documents or by integrating it with existing communication
devices.
TEN-YEAR GENERAL FUND FINANCIAL FORECAST
x The Finance Department will prepare and maintain a ten-year financial forecast of
revenues and expenditures for the General Fund.
x This tool will be used during the annual City Council goal setting and the development of
the annual operating and capital budgets.
x The financial forecast will be updated at least twice each year, or more often if unexpected
changes in economic conditions or other unforeseen circumstances warrant more frequent
updates.
x The plan will include impacts and timing of new facilities, programs, and mandates.
x Any significant changes will be reported to the City Manager and City Council.
STRUCTURALLY BALANCED BUDGET
x The city shall adopt an annual budget in which ongoing revenues equal or exceed ongoing
expenditures. If the long-range plan indicates periods where revenues may not equal or
exceed forecasted expenditures, options to correct the imbalance will presented for
consideration.
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x Unexpected one-time revenues shall not be used to fund ongoing expenditures.
PLAN MONITORING: MONTHLY FINANCIAL STATUS REPORT
x Each month after the close of the books, the Finance Director will prepare and distribute
a Financial Status Report. The report will include, at a minimum, the following sections:
General Fund Revenues – to provide information about the more significant General
Fund revenues, compared with the prior fiscal year, and compared with the current
fiscal year projections. Significant one-time and/or unplanned revenues are
discussed, as well as any other information considered helpful in understanding the
financial position of the General Fund.
General Fund Expenditures – to provide information about General Fund
expenditures, compared with the prior fiscal year, and compared with the current fiscal
year projections. Significant one-time occurrences are explained, as well as any
trends or other information considered helpful in understanding the financial position
of the General Fund and the operations of the city. A table of expenditures by
department is provided with a current year budget-to-actual comparison.
City Council Contingency – the annual adopted budget generally includes
authorization to appropriate funds (Council Contingency) to be used at the Council’s
discretion. Expenditures from this account are one-time expenditures and for items
expected to have a positive impact on the citizens and community of Carlsbad, such
as:
Special Events
Community projects
Donations (usually for non-profit groups/organizations)
Water and Wastewater Utility Operating Revenues and Expenditures – to provide
an overview of revenues and expenditures compared with prior year actuals and the
current year budgeted amounts. Since these are enterprise funds, operating
incomes/losses are discussed.
FIFTEEN-YEAR CAPITAL PROJECT FINANCIAL PLAN
x The Finance Department will prepare and maintain a fifteen-year financial plan for capital
project development and construction (this plan will include all funds that have capital
projects: such as the water and wastewater asset construction funds).
x The financial plan is updated at a minimum each fiscal year, or more often if unexpected
changes in economic conditions or other unforeseen circumstances prompt more frequent
updates.
x Annually in conjunction with the budget process, staff will review the proposed timing of
the projects in the plan to make sure that resources are available and that the timing is
appropriate.
x Any significant changes are reported to the City Manager and City Council.
x All known future revenues and expenditures are incorporated into the fifteen-year plan to
create cash flows, and any foreseen shortfalls are reviewed.
x If there is not sufficient funding projected to pay for a planned project, the project is still
shown in the project schedule, in the “unfunded” section. Staff will pursue funding options
for the projects on the unfunded list.
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Operating impacts of completed capital construction facilities are incorporated into the
General Fund ten-year financial forecast or the long-range financial plan of the funds
affected, as soon as the timing is relatively certain.
TEN-YEAR WATER AND WASTEWATER OPERATING FUND FINANCIAL FORECAST
The Utilities Department and Finance Department will jointly prepare and maintain a ten-
year financial forecast of revenues and expenditures for the Water Operating Fund and
the Wastewater Operating Fund.
The financial forecast will be updated at least once a year as part of the annual budget
process, or more often if unexpected changes in economic conditions or other unforeseen
circumstances warrant more frequent updates.
Utility rates and charges will be evaluated annually and increases (or decreases) will be
recommended in order to meet the long-range financial objectives of each utility.
Cost of Service study – The American Water Works Association (AWWA) recommends
that water utilities’ revenues from water service charges, user rates, and capital charges
(impact fees and system development charges) should be sufficient to pay for:
Annual operation and maintenance expenses
Capital costs including debt service and other capital outlays
Adequate working capital and required reserves
A periodic cost of service study ensures that sufficient revenues are generated for the
above expenses, and that rates and charges are equitably established. The Utilities
Department and Finance Department will conduct a Water/Wastewater Cost of Service
review at least once every five years or as necessary due to significant changes in system
costs and/or system operations.
Any significant changes will be reported to the City Manager and City Council.
OPERATING RESERVE POLICIES
PURPOSE:
To provide guidelines to the City Council and staff for establishing, maintaining and the annual
review of a minimum and target reserve level for the General Fund and proprietary funds listed
below.
BACKGROUND:
The city acts as a steward of public funds – one of the most significant responsibilities of the City
Council, Boards, and managers. Adequate reserves are a necessary component of the city’s
overall financial management strategy and can help offset current and future risks.
The establishment and adherence to fiscal reserve policies enables the city to:
protect the interest of the public and provide rate stabilization and funding, if needed
address short-term temporary unplanned losses (revenue and expenditure)
provide stability during economic cycles, allowing the organization to weather significant
economic downturns
CITY OF CARLSBAD BUDGET HIGHLIGHTS
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x address unfunded mandates
x manage the consequences of outside agency actions that may result in revenue
reductions
x address unexpected emergencies from natural disasters or catastrophic events caused
by human activity
x address excessive liabilities or legal judgments against the organization
x provide continuity in service delivery
It is the policy of the City of Carlsbad to maintain reserve levels as noted in the following sections,
for unforeseen events such as those listed above.
A review of all reserves listed below will occur as part of the annual budget process, and during
the rate-setting process for the wastewater and water utility enterprises.
GENERAL FUND
The city has a reserve policy in place (Council Policy 74) which sets a minimum reserve at 30
percent of the General Fund Operating Expenditures and a target reserve of 40 to 50 percent
unassigned fund balance of the General Fund Operating Expenditures. The reserve is
calculated using the prior fiscal year’s Adopted General Fund Budgeted Expenditures
(including routine operating transfers and the Council Contingency).
ENTERPRISE FUNDS
x Wastewater Operating Fund
The city will target a reserve funding level of 40 percent. The reserve amount is
calculated by dividing unassigned fund balance by total budgeted operating
expenses plus replacement transfers plus budgeted debt service payments.
The annual budget process and setting utility user rates and charges will be used
to achieve and maintain the target reserve level.
x Water Operating Fund
The city will target a reserve funding level of 40 percent. The reserve amount is
calculated by dividing unassigned fund balance by total budgeted operating
expenses plus replacement transfers plus budgeted debt service payments.
The annual budget process and setting utility user rates and charges will be used
to achieve and maintain the target reserve level.
INTERNAL SERVICE FUNDS
x Worker’s Compensation Fund
The city will maintain a minimum reserve equal to the estimated outstanding claims
as calculated by a third-party administrator. Additional reserve amounts may be
set aside as deemed appropriate based on a third-party actuarial study completed
at two year intervals.
CITY OF CARLSBAD BUDGET HIGHLIGHTS
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During the annual budget process, the target confidence level will be compared
with the projected fund balance, and, if the projected fund balance is greater than
or lesser than the target, a plan to adjust the fund balance will be considered, using:
x Increasing revenues through interdepartmental charges
x One-time cash contributions from those funds contributing to the shortfall
x Risk Management Fund (General Liability)
The city will maintain a minimum reserve equal to the estimated outstanding claims
as calculated by a third-party administrator. Additional reserve amounts may be
set aside as deemed appropriate based on a third-party actuarial study completed
at two year intervals.
During the annual budget process, the reserve level will be compared with the
projected fund balance, and, if the projected fund balance is greater than or lesser
than the target, a plan to adjust the fund balance will be considered, using:
x Increasing revenues through interdepartmental charges
x One-time cash contributions from those funds contributing to the shortfall
x Information Technology Asset Replacement Fund
The city shall maintain a minimum reserve level defined as the amount of
accumulated depreciation of IT capitalized assets based on the original cost of
each capitalized asset, and up to a maximum reserve level defined as the
accumulated depreciation based on the estimated replacement cost (calculated
annually by the Information Technology Department) of each capitalized asset.
If, during the annual budget process, the fund does not have sufficient cash
balances to achieve the minimum reserve level, a plan to increase cash balances
will be proposed using:
x Increasing revenues through interdepartmental charges
x One-time cash contributions from those funds contributing to the shortfall
If, during the annual budget process, the fund has excess cash balances, a plan
to decrease cash balances will be proposed using:
x Decreasing revenues from interdepartmental charges
x One-time refunds to those funds contributing to the excess
x Vehicle Asset Replacement Fund
The city shall maintain a minimum reserve level defined as the amount of
accumulated depreciation of capitalized Fleet assets based on the original cost of
each capitalized asset, and up to a maximum reserve level defined as the
accumulated depreciation based on the estimated replacement cost (calculated
annually by the Public Works Department) of each capitalized asset.
If, during the annual budget process, the fund does not have sufficient cash
balances to achieve the recommended reserve level, a plan to increase cash
balances will be proposed using:
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x Increasing revenues through interdepartmental charges
x One-time cash contributions from those funds contributing to the shortfall
If during the annual budget process the fund has excess cash balances, a plan to
decrease cash balances will be proposed using:
x Decreasing revenues from interdepartmental charges
x One-time refunds to those funds contributing to the excess
GENERAL FUND ECONOMIC UNCERTAINTY ASSIGNMENT
In addition to the operating reserve, on June 30, 2015, the City Council set aside $10 million from
the General Fund unassigned fund balance to mitigate revenue losses should another recession
occur. Unlike the General Fund reserve, these funds could be used for ongoing operating
expenditures to ensure the continuation of services with minimal impact to the public.
INVESTMENT POLICY
The city has also established a formal Investment Policy. It is the policy of the City of Carlsbad
to invest public funds not required for immediate day to day operations in safe, liquid and medium-
term investments that shall yield an acceptable return while conforming to all California statutes.
It is intended that the policy cover the investment activities of all contingency reserves and inactive
cash under the direct authority of the city. Investments of the city and its component units will be
made on a pooled basis; however, investments of bond proceeds will be held separately if
required.
FINANCING OF PUBLIC IMPROVEMENTS
Council Policy 33 outlines the city’s policies for financing public improvements, primarily to
complete links in the city’s traffic circulation system. Improvements generally include streets and
highways, sewer lines, water lines, drainage facilities, and other improvements as authorized by
law and which the City Council has determined are consistent with the policy.
The underlying principals behind the policy are:
• To protect the public interest;
• To ensure fairness in the application of the assessments, special taxes, or fees to current
and future property owners;
• To ensure full disclosure to current and future property owners of the special district;
• To ensure the creditworthiness of any special district debt;
• To protect the city's credit rating and financial position;
• To ensure that the applicants for special district proceedings, other than city-initiated
proceedings, pay all costs associated with the formation of any special district;
• To establish one policy regarding the requirements that must be met before the City
Council will consider approving the financing of public improvements using special
districts;
• To provide city staff, the residents of the city, and owners and developers of property
located within the city with guidance in the application for and consideration of the
establishment of special districts; and
• To incorporate the requirements of new legislation pertaining to the use of special districts.
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The policy provides the framework for use of Assessment Districts, Community Facilities Districts,
and Bridge and Thoroughfare Districts. The public improvements must be located in the public
rights-of-way dedicated or otherwise granted to the city or other public agency, and construction
of the improvements must serve the public interest as well as the benefit conferred on the
properties within the proposed financing districts. The Policy describes property owner
requirements such as concurrence of a certain percent of property owners wishing to establish
the special district, financial capability and stability of the property owners and proposed project,
as well as the steps of the formation process.
BUDGET SUMMARY
A-21
OPERATING BUDGET
Revenue
Projections
The city’s operations
are divided into
various funds. Each
fund has been
established because
of certain restrictions
placed on the use of
the resources
received by that fund.
Any unrestricted
funds are placed in
the General Fund.
Estimated revenues
for the city’s five fund
types are shown on
the accompanying
graph.
General Fund
The fund receiving the largest slice of the revenues is the General Fund, with estimated revenues
of $137.7 million for Fiscal Year 2015-16. The General Fund pays for most of the city services
available to city residents. The majority of the General Fund revenues are derived from taxes.
The following graph illustrates the sources of revenue to the General Fund.
FY 2015-16 GENERAL FUND REVENUES = $137.7 MILLION
Property taxes, at $56.6 million, are the largest General Fund revenue. The city receives only
about 18 percent of the property taxes paid by its citizens. The remainder of the tax goes to the
FY 2015-16 OPERATING REVENUES
BY FUND TYPE = $244.9 MILLION
BUDGET SUMMARY
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school districts, the state, and other various agencies. Sales tax is the second largest source of
revenue for the General Fund. Sales taxes are estimated to bring in $34.9 million for Fiscal Year
2015-16. Automobile and retail sales are the most significant contributors to the category of sales
tax.
Transient occupancy taxes (hotel taxes) are estimated at $19.1 million and represent the third
largest revenue source for the city. Franchise taxes, transfer taxes, and business license taxes
make up the remaining $10.7 million in tax revenues estimated to be collected in Fiscal Year
2015-16.
Intergovernmental revenues are revenues collected by the state and other governmental
agencies and allocated to the city based on a formula. Examples of intergovernmental revenues
include state mandated cost reimbursements, and homeowner’s exemptions. Intergovernmental
revenues are estimated at approximately $900,000 for the upcoming year.
Licenses and permits account for $1.1 million of the General Fund revenues and include building
permits and other development-related permits. Charges for services are estimated to be $7.2
million and include fees for engineering, planning, building, recreation, and ambulance services.
Income from investments and property are estimated at $2.9 million.
Other General Fund revenue sources include charges collected from other departments, fines
and forfeitures, and miscellaneous revenues. Those sources total $4.3 million.
Special Revenue Funds
Revenues from Special Revenue funds are estimated at $11.2 million for Fiscal Year 2015-16.
Funds collected in this category are legally restricted to specified purposes. Examples of funding
resources include donations, grants, and special assessments. The types of functions supported
with Special Revenue funds include programs such as Section 8 Housing Assistance, Housing
Trust Fund, Community Development Block Grants (CDBG), and maintenance and assessment
districts.
Enterprise Funds
Enterprise funds revenues make up the second largest revenue group, totaling $73.7 million.
Enterprise funds operate similar to a business in that they charge fees to cover the cost of their
services. Examples of the city’s enterprises include water and wastewater services and solid
waste management. This fund group also includes operations of the city’s municipal golf course,
The Crossings at Carlsbad.
Internal Service Funds
Internal Service fund revenues, projected to be $20.8 million, are derived from charges to the city
programs that benefit from the services rendered. The funds collected must be used specifically
to support the internal service. Examples of the city’s Internal Service funds include General
Liability, Self-Insured Benefits, Information Technology, Workers’ Compensation, and Vehicle
Maintenance and Replacement.
Redevelopment Obligation Retirement Funds
The Redevelopment Obligation Retirement Fund (RORF) revenues are expected to total $1.5
million in the upcoming year. On June 29, 2011, California Governor Jerry Brown signed ABX126
to dissolve all redevelopment agencies within the State of California. All agencies were
subsequently dissolved as of February 1, 2012, and a Successor Agency was designated to
complete the work of the Carlsbad Redevelopment Agency (RDA) and satisfy the financial
obligations. A Recognized Obligation Payment Schedule (ROPS) was prepared by the Successor
Agency in April 2012 which must ultimately be approved by the Oversight Board, the County of
San Diego, and the State of California. The initial ROPS identified financial commitments of the
former RDA which will be paid from semi-annual tax increment revenue received by the
BUDGET SUMMARY
A-23
Successor Agency. Every six months a new ROPS must be prepared and approved by the
Oversight Board, the County of San Diego, and the State of California in order to receive additional
tax increment. Due to the dissolving of the RDA, the RORF will only receive tax increment
revenues and interest earnings on any cash balances. Tax increment revenues are projected to
decrease due to the increase in County of San Diego administrative costs which are netted
against the tax increment revenues received by the Successor Agency.
Operating Budget By Program
The total Operating Budget adopted for the city for FY 2015-16 equals $240.1 million, which is
approximately 5.6 percent higher than the Operating Budget adopted for FY 2014-15. The
Operating Budget includes funding for the General Fund as well as all other city funds, and can
be categorized by main functional area. Six main functional areas that represent the key
businesses of the city have been identified, as well as a Non-Departmental component which
includes fund transfers as well as items that benefit the city as a whole. The graph below shows
the percentage of the Operating Budget applicable to each of the functional areas.
FY 2015-16 OPERATING BUDGET = $240.1 MILLION
Total funding allocated for the Policy and Leadership Group for 2015-16 is $6.5 million. This
group encompasses all elected officials and the chief executive offices for the city. These include
the offices of the City Council, City Manager, City Clerk, City Attorney, City Treasurer, and the
communications department.
Administrative Services, with a budget of $23.4 million, includes finance, purchasing, human
resources, information technology, records management, self-insured benefits, risk management,
and workers’ compensation. These areas mainly provide services to internal city departments.
BUDGET SUMMARY
A-24
Public Safety services are funded at $53.1 million and include all of the police and fire programs
such as police patrol, vice/narcotics, juvenile diversion and DARE programs, fire emergency
operations, fire prevention and emergency preparedness.
Community & Economic Development, with a budget of $17.8 million, provide the services that
guide and oversee the planning and development of Carlsbad as depicted in the city's General
Plan. The General Plan is the base document that expresses the goals and public policy relative
to future land use. It acts as a "constitution" for development and is the foundation upon which
all land use decisions are based. Also included under Community Development are building and
code enforcement, volunteer programs, and providing for housing and neighborhood services.
Community Services, with a budget of $37.5 million, consists of library and cultural arts, parks
and recreation, and seniors programs. Included in this area is the enterprise fund for operations
of the municipal golf course, The Crossings at Carlsbad. These programs are provided to a wide
range of people and assist in their education, health and well-being, and cultural development.
The functional area requiring the largest amount of funds is Public Works, with a budget of $86.9
million. Public Works is responsible for the provision of utility services as well as the building and
maintenance of all of the city’s streets and roadways. It is comprised of the water, sewer, and
solid waste enterprise funds, as well as the transportation department and lighting and
landscaping special assessment districts.
The Non-Departmental and Contingency funding is $16 million and includes transfers to other
funds, programs benefiting the city as a whole, such as community promotions, community
contributions, assessment services, transfers to the golf course for debt service payments, and
the City Council’s contingency account. Included in the non-departmental group is a $9 million
transfer to the Infrastructure Replacement Fund. This program sets aside funds for the
replacement of the city’s base infrastructure. The City Council contingency account, which is
available for emergencies and unforeseen program needs that arise during the year, is budgeted
at $1.5 million.
Staffing
The FY 2015-16 Operating Budget reflects a total net increase of 4.5 full-time positions, 3.75
limited-term positions, and an increase of part-time staff totaling 1.74 hourly full-time equivalent
(FTE) positions. These changes result in a city workforce of 678 full and three-quarter time
employees and 159.51 hourly FTE. The staffing changes in each of the city’s programs are
discussed more fully in the Operating Budget Overview.
CAPITAL IMPROVEMENT PROGRAM
The City of Carlsbad’s Capital Improvement Program (CIP) is a long-range planning document,
which outlines the expenditure plan for current and future capital projects and the corresponding
revenues to pay for those expenditures. Projects in the CIP consist primarily of new construction
or major maintenance and replacement of city facilities such as parks, roads, civic facilities such
as libraries, police and fire stations, and sewer, water, and drainage facilities. The Capital
Improvement Program for 2015-16 totals $73.5 million in new appropriations and an estimated
$204 million in continuing appropriations, for a total appropriation of $277.5 million. Some of the
notable capital projects which are planned in the next five years are discussed on the following
pages.
Park Development Projects
BUDGET SUMMARY
A-25
The city is in the process of updating existing city park master plans based on the outcomes of a
recent needs assessment that re-evaluated current and future park needs.
Multi-Use/Multi-Generational Community Center – As a result of the needs assessment, funds
are included to study the feasibility of a multi-use, multi-generation indoor community center,
located at Poinsettia Park, which will serve a larger cross section of the community.
Leo Carrillo Phase III – Located in the
southeast quadrant of the city, a recent
update re-evaluated the remainder of the
Carrillo Ranch Master Plan and
prioritized projects based on community
input to make sure that the proposed
project amenities are serving the greatest
need of the community. Expenditures
include restoration of the horse stables.
The total estimated cost is $980,000.
Pine Avenue Park Community Facility
and Garden Areas – The remaining
elements of the park include a multi-
purpose community center and gymnasium, a community garden with rentable plots, and a
botanical/ornamental garden. This final phase of the park is estimated at $10.4 million.
Aviara Community Park Amphitheater and Picnic Areas – The additional park amenities include
a large passive outdoor community social space with a small amphitheater, group picnic areas, a
perimeter walking path and a warming kitchen complete with appliances to support outside
catering, food and beverage services, and small events. The total cost is $3.1 million.
Poinsettia Community Park – Park improvements include a fenced dog park for both large and
small dogs, updated tot lots and a multi-sports arena with a picnic area and artificial turf field, at
a total cost of $3.9 million.
Outdoor Adventure Park Feasibility Study – The proposed Capital Plan includes funding to study
the feasibility and possible location of an outdoor adventure park for recreational activities not
typically done in community centers or gymnasiums, such as a bike skills course, rope skills, zip
lines, and rock climbing.
Civic Facilities
Civic facilities include a variety of facilities from which the city can offer its services to the public.
Library Renovation Projects – Funding was previously budgeted for significant renovation projects
at the Dove and the Cole libraries. Improvements are designed to accommodate current staffing
needs, meet patron demands for modern library services and allow for better wireless and
communications services for the public. Renovation at Cole Library is expected to begin in the
fall of 2015 and be complete around the end of the year. Dove Library improvements will begin
after the Cole Library is re-opened and is planned for completion by June 2016.
Safety Center Improvements – Improvements include new and renovated office space, a new
lobby wall, an expanded women’s locker room and dispatch area, as well as lighting and HVAC
improvements. The total estimated cost is $3.2 million.
BUDGET SUMMARY
A-26
Maintenance & Operations Center – This city facility will bring together offices, the maintenance
yard, a warehouse, and parking to accommodate the various work groups at one location,
currently planned near the existing Safety Center and fleet yard. The total estimated construction
cost is $25.9 million.
Facilities Maintenance – As the city facilities begin to age, maintenance
and repair projects are needed to keep them in good condition. New
projects have currently been identified at a total cost of about $8.9 million.
Projects are planned at the following locations:
x Aviara Community Park – Synthetic turf replacement
x City Hall Complex refurbishment
x EOC Relocation
x Faraday Facility rehabilitation
x Fire Station No. 1
x Fleet Maintenance
x Harding Center
Trails – Additional funding is included for the Lake Calavera Trails system for restrooms and a
drinking fountain.
Street and Circulation Projects
People of all ages and abilities want to go places safely and conveniently in Carlsbad. Whether
they drive, walk, bike, or ride a bus or train. The livable streets concept, also called "complete
streets," acknowledges that streets are an important part of the livability of today's communities
and ought to be for everyone. Carlsbad has made livable streets a priority when planning and
constructing improvements to city roadways. In addition to constructing improvements, the city
continues to invest in the maintenance and operation of the transportation infrastructure by
providing timely repairs and rehabilitation of the public assets associated with the roadways and
public rights of way throughout the city.
ADA Improvements – ADA projects throughout the city are scheduled for $1.2 million in funding
over the next five years, with $250,000 scheduled in FY 2015-16. The project includes various
accessibility improvements, including sidewalk curb ramps and pedestrian signals.
Public Beach Access Improvements – This project will make improvements to beach access
locations along Ocean Street, including removal and replacement of stairs, installation of shade
structures, improved signage, trash receptacles and landscaping. The total cost is $2.6 million.
Avenida Encinas Widening – Widening to full secondary arterial standards along Avenida Encinas
from Palomar Airport Road to just south of Embarcadero Lane is scheduled for design in FY 2016-
17. The CIP includes $5.4 million to fund this project in the next five years.
Street Road Diet and Traffic Calming Projects along Chestnut Avenue, Valley Street, Kelly Drive,
and La Costa Avenue – Three new projects are planned in the next five years to provide complete
street solutions so that the varied user of these roads, including pedestrians and bicyclists, are
provided for in a balanced and equitable manner. The total cost is estimated at $8.2 million.
Intersection Improvements – Two intersection projects along El Camino Real - at Cannon Road
and at College Boulevard are scheduled to receive an additional $775,000 in the next five years.
BUDGET SUMMARY
A-27
El Camino Real Widening – There are a number of projects that are scheduled over the next five
years that will focus on the widening of El Camino Real to prime arterial roadway standards, in
addition to other improvements, such as median construction. The projects include widening from
Cassia Road to Camino Vida Roble, Arenal Road to La Costa Avenue, Lisa Street to Crestview
Drive and Tamarack to Chestnut. In the next five years, $4.9 million in additional funding is
included for these projects, which are expected to cost over $20 million by completion.
Pavement Management – Carlsbad’s local streets are maintained on a regular cycle to ensure a
good riding surface and to extend the life of the streets. Part of the maintenance program is the
sealing and overlay of the existing street surface. In addition, any problem areas are addressed
as they are identified. The FY 2015-16 CIP has $18.5 million budgeted in the next five years for
this program.
Parking Lot Maintenance Program – Parking lot maintenance is a relatively new program and is
scheduled to receive funding of $845,000 in the next five years.
Concrete Repair and Maintenance – The proposed spending plan included $1 million in the next
five years for repairs to sidewalks, curb and gutter, pedestrian ramps, driveway approaches and
cross gutters.
Traffic Signals – In the next five years, four traffic signal installations are planned at the following
locations, at a total cost of $780,000:
x El Fuerte Street and Rancho Pancho
x Faraday Avenue and Camino Hills Drive
x Faraday Avenue and Palmer Way
x La Costa Avenue and Levante Street
Water and Wastewater Projects
The city’s water and wastewater projects are vital to the continued health and welfare of its
citizens. Most new lines are built and paid for by developers. As the city ages, it will become
necessary to repair and replace the lines that already exist, and an increase in these projects is
anticipated in future years. In the next five years, an additional $32.4 million in funding is
scheduled for both new and replacement water and sewer projects.
Vista/Carlsbad Interceptor & Agua Hedionda Lift Station Replacement – This project consists of
a set of individual projects that will ultimately construct a parallel sewer interceptor system to
accommodate existing and future sewer flows from the cities of Vista and Carlsbad. The individual
projects include a main in Jefferson Street, replacement of the Agua Hedionda Lift Station, and a
main from the lift station to the Encina Wastewater Facility. The overall total cost estimate for this
set of projects totals $64.3 million, of which the remaining $20 million is to be funded by the City
of Carlsbad, with the remaining $44.3 million to be funded by the City of Vista.
BUDGET SUMMARY
A-28
Wastewater
Other wastewater facilities scheduled for construction or replacement within the next five years
include:
x Buena Interceptor Sewer Improvements
x Chinquapin
x Crest Drive
x Faraday/El Camino Real Sewer Replacement
x Las Palmas Trunk Sewer
x Marron Road
x North Batiquitos
x Poinsettia Lane Lift Station Emergency Overflow Basin
x Quarry Creek Sewer Extension
x Terramar Sewer Replacement
In addition to the new construction and replacement projects and ongoing condition assessments,
repairs and upgrades to the city’s wastewater facilities are expected to cost $2.1 million in the
next five years.
Water Lines
Major water facilities scheduled for construction or replacement within the next five years are
estimated at $35.9 million, and include the following locations:
x Aviara Parkway and Plum Tree
x Carlsbad Boulevard – South of Avenida Encinas
x Crestview Drive
x El Fuerte and Corintia
x Fire Flow System Improvements
x Hydroelectric Generator at Palomar Airport Road/White Sands
x La Costa High Reservoir Inlet Pipeline
x Maerkle Reservoir Floating Cover Replacement
x Maerkle Pump Station Improvements and Transmission Main
x Poinsettia Lane – Casia Road to Skimmer Court
x Santa Fe II Inlet Pipeline
x Tri-agencies Water Transmission Pipeline Replacements
Recycled Water Expansion
Expansion to the Carlsbad Water Recycling Facility, including
construction of additional pipelines and a reservoir, are anticipated
to cost $30 million. These facilities are expected to meet the 76
percent increase in future recycled water demand. The expansion
is expected to increase the recycled water supply from 4 to 7 mgd
(million gallons per day). With diminishing potable water resources
available, alternative supplies such as recycled and desalinated
water become increasingly important in supplementing the total
water supply.
BUDGET SUMMARY
A-29
Drainage Projects
The city’s drainage infrastructure plays an important role in handling storm water runoff flows, as
well as maintaining the water quality of the city’s creeks, lagoons and ocean. Carlsbad supports
programs that will ensure that all water bodies within the city are safe and clean and, where
possible, open to the public at all times. The system consists of drainage pipes 30-inches or larger
in diameter, large concrete and rock lined channels, permanent sedimentation basins and
miscellaneous large facilities. As the city continues to age, it will become necessary to repair and
replace the lines that already exist. An increase in these projects is anticipated in future years.
An additional $1.3 million will be added to the program in the next five years.
SUMMARY
The FY 2015-16 budget targets resources to attain city goals and prepare the organization for the
future. City revenues, especially property tax revenues, are increasing as the country sheds the
effects of the Great Recession. The city is poised to benefit from a diverse revenue base and the
improved fiscal conditions witnessed in the past year are expected to continue to improve.
National, state, and local economies showed improvements in the past year, but the slow recovery
could face challenges, especially in California, which faces a severe drought and the ensuing
fiscal implications. Unemployment rates are improving, and housing markets are showing
significant improvement, resulting in a more positive outlook for the foreseeable future. Although
our forecast reflects improving conditions in the coming years, the FY 2015-16 budget maintains
fiscal discipline as exercised by the city over the past several years.
The City of Carlsbad continues to exercise fiscal responsibility. The city continues to plan for the
long-term and uses a ten-year financial forecast in creating the budget. This long-term planning
tool allows us to model the effects of ongoing fiscal impacts from new facilities, economic
conditions, and changes in personnel costs. Effective June 30, 2015, the city has set aside $10
million from the General Fund unassigned fund balance to mitigate revenue losses should another
recession occur. Unlike the General Fund reserve, these funds could be used for ongoing
operating expenditures to ensure the continuation of services with minimal impact to the public.
The FY 2015-16 budget reflects continued dedication to the provision of excellent city services
and the quality of life valued by those who live, work and play in Carlsbad.
DEBT MANAGEMENT ISSUES
The use of debt has always been a primary issue in the development of the Capital Improvement
Program and the policies to implement the Growth Management Program. Over the years, the
city has issued millions of dollars of bonds and Certificates of Participation (COPs) to fund streets,
buildings, sewer and water facilities, open space acquisitions, and other infrastructure projects.
The city is continually evaluating its outstanding debt as well as potential future issues to ensure
that interest costs are kept at a minimum and the use of the bond funds is appropriate.
Under state finance law, the city’s outstanding general obligation debt may not exceed 15 percent
(as adjusted by 25 percent, per the law) of total assessed property value. By law, the general
obligation debt subject to the limitation may be offset by amounts set aside for repaying general
obligation bonds. For the last 10 years, the city’s general obligation debt has been under 5 percent
of the total calculated debt limit.
BUDGET SUMMARY
A-30
Since Fiscal Year 2008-09, no debt service payments have been required of the General Fund,
and no new debt is anticipated for the General Fund in the coming year. Of the approximately
$91 million of debt currently outstanding, none will be paid back using General Fund monies.
Rather, the debts will be repaid from sewer revenues, golf course revenues and from property
owners benefiting from the improvements built with bond proceeds. The city has no obligation to
advance funds to the assessment districts if the property owners do not pay.
BUDGET SUMMARY
A-31
PROJECTED PROJECTED
BALANCE ESTIMATED ADOPTED BALANCE
PROGRAM AREA July 1, 2015 REVENUES BUDGET June 30, 2016
OPERATING BUDGET
Policy / Leadership Group 6,485,731$
Administrative Services 22,346,465
Community Development 17,796,407
Community Services 37,496,486
Public Safety 53,127,469
Public Works 86,882,230
Non Departmental & Contingencies 16,008,530
SUBTOTAL OPERATING 180,996,007$ 244,851,719$ 240,143,318$ 185,704,408$
CAPITAL IMPROVEMENT PROGRAM
Fiscal Year 2015-16 507,234,067$ 45,206,364$ 73,479,581$ 478,960,850$
2014-15 Continuing Appropriations (204,006,209)
Projected CIP Fund Balance at June 30, 2016 274,954,641
TOTAL OPERATING AND CAPITAL 688,230,074$ 290,058,083$ 313,622,899$ 664,665,258$
PROJECTED PROJECTED
BALANCE PROJECTED ESTIMATED BALANCE
PROGRAM AREA JULY 1, 2014 REVENUES EXPENDITURES JUNE 30, 2015
OPERATING BUDGET
Policy / Leadership Group 5,550,000$
Administrative Services 23,541,000
Community Development 16,699,000
Community Services 34,486,500
Public Safety 48,163,000
Public Works 82,624,000
Non Departmental & Contingencies 14,207,324
SUBTOTAL OPERATING 162,429,632$ 243,837,199$ 225,270,824$ 180,996,007$
CAPITAL IMPROVEMENT PROGRAM
Fiscal Year 2014-15 454,873,091$ 102,701,363$ 50,340,387$ 507,234,067$
TOTAL OPERATING AND CAPITAL 617,302,723$ 346,538,562$ 275,611,211$ 688,230,074$
FISCAL YEAR 2015-16
FISCAL YEAR 2014-15
BUDGET SUMMARY
A-32
The following table identifies the debt the city has issued, the outstanding principal balance, the
2015-16 scheduled principal and interest payments, and the scheduled year of payoff.
Bond Name Repayment Source
Original Bond
Issue
Outstanding
Principal At
6/30/15
2015-16
Payment P&I
Final
Payment
FY
Carlsbad Public Financing Authority Bonds
Revenue Bonds Golf Course 18,540,000$ 16,260,000$ 1,126,312$ 2037
Enterprise Revenue
1993 Redevelopment
Tax Allocation Redevelopment 15,495,000$ 7,395,000$ 1,037,634$ 2024
Bonds
CFD #3 2006 -Improvement Area 1
Special Tax Special District 11,490,000$ 9,865,000$ 760,850$ 2037
Bonds
CFD #3 2008-Improvement Area 2
Special Tax Special District 18,175,000$ 13,160,000$ 1,055,238$ 2039
Bonds
Subtotals 63,700,000$ 46,680,000$ 3,980,034$
1997 Carlsbad Ranch (AD 95-1)
Limited Obligation Assessment 10,175,438$ 3,790,000$ 582,165$ 2023
Improvement Bonds District
1998 Rancho Carrillo (AD 96-1)
Limited Obligation Assessment 19,600,000$ 10,745,000$ 1,107,234$ 2029
Improvement Bonds District
2013 Reassessment District (AD 2012-1)
Limited Obligation Assessment 31,300,000$ 29,495,000$ 2,151,007$ 2036
Improvement Bonds District
Subtotals 61,075,438$ 44,030,000$ 3,840,406$
Totals 124,775,438$ 90,710,000$ 7,820,440$
City of Carlsbad
Debt Outstanding
FINAL FINAL FINAL
BUDGET BUDGET BUDGET 2015-16
2013-14 2014-15 2015-16 CHANGES
CITY ATTORNEY 7.00 7.00 7.00 0.00
CITY CLERK 0.00 3.00 3.00 0.00
CITY COUNCIL 1.00 1.00 1.00 0.00
CITY MANAGER 7.00 7.00 7.00 0.00
CITY TREASURER 0.75 0.75 0.75 0.00
COMMUNICATIONS 2.75 4.75 5.00 0.25
COMMUNITY AND ECONOMIC DEVELOPMENT 44.00 44.00 44.00 0.00
ENVIRONMENTAL MANAGEMENT 8.05 7.80 8.50 0.70
FINANCE AND RISK MANAGEMENT 31.50 31.50 32.50 1.00
FIRE 88.00 89.00 89.00 0.00
HOUSING AND NEIGHBORHOOD SERVICES 10.00 12.00 13.00 1.00
HUMAN RESOURCES & WORKERS COMP 9.00 11.00 11.00 0.00
INFORMATION TECHNOLOGY 22.50 22.50 19.50 (3.00)
LIBRARY & ARTS 51.25 50.25 50.50 0.25
PARKS AND RECREATION 67.60 61.60 58.15 (3.45)
POLICE 161.00 162.00 168.00 6.00
PROPERTY AND FLEET 33.55 33.10 28.10 (5.00)
PUBLIC WORKS ADMINISTRATION 6.00 6.00 8.05 2.05
RECORDS MANAGEMENT 5.00 2.00 2.00 0.00
TRANSPORTATION 54.20 55.10 57.35 2.25
UTILITIES 57.60 58.40 60.85 2.45
PERMANENT FULL AND 3/4 TIME LABOR FORCE 667.75 669.75 674.25 4.50
2013-14 2014-15 2015-16 Difference
Limited Term Personnel 2.00 0.00 3.75 3.75
Hourly Full Time Equivalent Personnel 150.58 157.77 159.51 1.74
TOTAL LABOR FORCE 820.33 827.52 837.51 9.99
PERSONNEL ALLOCATIONS
SUMMARY OF REQUESTED LABOR FORCE BY CATEGORY
A-33
2015-16 BUDGET CALENDAR
A-34
Operating Budget Capital Budget
Planning and calendar development Planning and calendar development
Operating Budget Capital Budget
Ten-year forecast updated Kickoff meeting
Budget policies are set Departments update project submittals
Block calculation completed
Budget manual finalized
Operating Budget Capital Budget
Council goal ssetting Kickoff meeting
Department submittals due
Operating Budget Capital Budget
Department budgets due Growth estimates updated
Finance department review Cash flows updated (15 year)
Operating Budget Capital Budget
Meetings with Department Heads Meetings with City Manager
Meetings with City Manager
Operating Budget Capital Budget
Preliminary budget to printer Preliminary budget to printer
19th City Council Workshop
Operating Budget Capital Budget
9th City Council Workshop
11th Citizen's Budget 11th Citizen's Budget
30th Budget Adoption 30th Budget Adoption
DECEMBER 2014
MAY 2015
JUNE 2015
JANUARY 2015
FEBRUARY 2015
MARCH 2015
APRIL 2015
2015 – 2016 Operating Budget &
Capital Improvement Program Operating Budget
Operating Budget Summary Summary
2015-16 OPERATING BUDGET OVERVIEW
B-1
The Operating Budget for FY 2015-16 totals $240.1 million, with revenues for the year estimated
at $244.9 million. General Fund revenues are estimated at $137.7 million and General Fund
budgeted operating expenditures are $135.3 million.
REVENUE
The following table shows the total operating revenues anticipated to be received by the city for
FY 2014-15, as well as those estimated for FY 2015-16.
Revenue estimates for the Operating Budget indicate that the city will receive a total of $244.9
million in FY 2015-16, a change of about $1 million over the projected FY2014-15 revenues. The
significant changes from the prior year include a $3.7 million, or 2.8 percent, increase in the
General Fund from healthy increases in property tax, sales tax, transient occupancy tax revenues,
and business license tax combined. The Special Revenue funds show a decrease of $500,000,
or 4.2 percent from the prior year due to decreases in police grant funding and affordable housing
fees. Enterprise revenues are expected to decrease by $2.8 million, mainly due to a one-time
insurance reimbursement received in FY 2014-15 for a previously paid settlement. More
information on the city’s revenue sources can be found in the discussion that follows.
General Fund
General Fund revenues provide a representative picture of the local economy. These revenues
are of particular interest as they fund basic city services, such as Police, Fire, Library and Cultural
Arts, Street and Park Maintenance, and Recreation programs. The following table provides a
summarized outlook for the major General Fund revenues.
PROJECTED BUDGETED $ %
2014-15 2015-16 CHANGE CHANGE
GENERAL FUND 134.0$ 137.7$ 3.7$ 2.8%
SPECIAL REVENUE 11.7 11.2 (0.5) -4.2%
ENTERPRISE 76.5 73.7 (2.8) -3.7%
INTERNAL SERVICE 20.1 20.8 0.7 3.4%
REDEV. OBLIG. RETIREMENT 1.5 1.5 - -2.0%
TOTAL 243.8$ 244.9$ 1.0$ 0.4%
REVENUE SUMMARY
BY FUND TYPE
(in Millions)
FUND
PROJECTED BUDGETED $%
2014-15 2015-16 CHANGE CHANGE
PROPERTY TAX 54.4$ 56.6$ 2.2$ 4.0%
SALES TAX 33.2 34.9 1.7 5.3%
TRANSIENT OCCUPANCY TAX 18.0 19.1 1.1 6.0%
FRANCHISE TAXES 5.0 5.1 0.1 1.2%
BUSINESS LICENSE TAX 4.3 4.5 0.2 4.0%
DEVELOPMENT REVENUES 2.5 1.7 (0.7) -30.0%
ALL OTHER REVENUE 16.7 15.9 (0.8) -4.8%
TOTAL 134.0$ 137.7$ 3.7$ 2.8%
SIGNIFICANT GENERAL FUND REVENUES
(In Millions)
2015-16 OPERATING BUDGET OVERVIEW
B-2
As we emerge from the Great Recession, General Fund revenues indicate healthy growth. Our
three largest revenue sources, property tax, sales tax, and transient occupancy tax (TOT), are
expected to total $110.6 million in FY 2015-16, comprising over 80 percent of General Fund
revenue. Revenues from sales tax and TOT are highly sensitive to changes in economic activity,
unlike property tax revenues, which tend to lag behind economic growth and remain relatively
stable over time. The biggest revenue source, property tax, is expected to grow by 4 percent to
$56.6 million, as assessed values continue to improve in residential and commercial real estate
and temporary reductions in assessed values phase out. The median price for a single family
residence in Carlsbad rose to $734,000, compared to $720,000 for the same time period, last
year. According to DataQuick, median home prices have increased in all city zip codes except
92010, the southeast quadrant of Carlsbad (first quarter 2015). Sales inventories have increased
by 14 percent compared to last year, which may explain why prices continue to increase, but at a
slower rate of growth than last year. Economists continue to forecast increased interest rates and
a tightening in Federal Reserve monetary policy, factors that could slow price appreciation in
residential real estate.
Property taxes tend to lag behind the rest of the economy, as the tax revenue for the upcoming
fiscal year is based on assessed values from January. Thus, the taxes to be received for FY
2015-16 are based on assessed values as of January 1, 2015.
Proposition 13, adopted in 1978, limits the annual increase in assessed values for property.
Under this proposition, assessed values (and the related property tax) can grow by no more than
two percent per year. The value upon which the tax is based is only increased to the full market
value upon the sale of the property. Thus, property taxes tend to grow slowly unless there is a
significant amount of housing activity. In past decades, we have seen robust growth in property
taxes due to new development, high turnover of existing homes, and double-digit growth in
housing prices.
2015-16 OPERATING BUDGET OVERVIEW
B-3
Sales tax revenues
generally move in step
with economic conditions
and have improved
markedly over the past
years. Comparing the
fourth quarter of calendar
year 2014 to the previous
year, sales tax cash
receipts in the State of
California increased by 3.9
percent, bolstered by
decreasing unemployment
in the state and continued
strength in automobile
sales. Economists at
UCLA expect statewide
taxable sales to maintain a
growth rate above 4 percent through 2017, as state unemployment improves and personal
incomes increase. The City of Carlsbad realized an increase of 1.8 percent in cash receipts for
the fourth quarter of 2014. New auto sales, which comprise approximately one-quarter of city
sales tax revenue, have exceeded pre-recession levels and hit an all-time high in the last quarter
of 2014. City sales tax revenues are expected to increase by more than 5 percent in FY 2015-
16, contributing $34.9 million to the General Fund. New retail additions in Carlsbad, such as La
Costa Town Square, will add to the sales tax base and the city will continue to benefit from recent
additions, such as the LegoLand Hotel and Lowe’s, which opened in fall 2013.
Several years ago, the State of California implemented the “Triple Flip.” The “Triple Flip” is
essentially a temporary swap of a ¼ cent of the cities’ sales taxes in return for property tax. It
was done in order to give the state a revenue source against which they could issue deficit
reduction bonds. The city’s sales tax estimates continue to show this amount as sales tax, since
the amount is reflective of what the city would receive.
As can be seen in the chart above, the city’s sales tax base is heavily weighted in the
transportation (predominantly new car sales) and retail sectors. These two sectors account for
two-thirds of taxable sales in Carlsbad. New car sales tax revenue dropped precipitously during
the recent recession, falling from $6.7 million in the fourth quarter of 2007 to a low of $4.4 million
in 2009. In the fourth quarter of 2014, new car sales hit a high of $7.4 million. Sales tax receipts
rose 7.3 percent year-over-year in the quarter ending December 2014, well ahead of statewide
growth of 3.9 percent.
Sales tax estimates also include approximately $1 million in Proposition 172 funds, which are
earmarked for public safety service expenditures. Proposition 172 requires that the ½ cent
increase in California sales taxes be allocated to local agencies to fund public safety services.
TRANSPORTATION
32.1%GENERAL RETAIL
36.1%
FOOD PRODUCTS
14.8%BUSINESS TO
BUSINESS
12.3%
CONSTRUCTION
4.3%
MISCELLANEOUS
0.4%
SALES TAX BY CATEGORY
FOURTH QUARTER 2014
2015-16 OPERATING BUDGET OVERVIEW
B-4
The third highest General Fund
revenue source is Transient
Occupancy Tax (TOT, or hotel
taxes). TOT is forecast to increase
by 6 percent in FY 2015-16, from
approximately $18 million to just
over $19 million. As seen in the
accompanying graph, TOT has
increased by over 65 percent since
FY 2010-11, as new hotels, such as
the LegoLand Hotel and the Hilton
Oceanfront Resort & Spa (recently
renamed Cape Rey Carlsbad, a
Hilton Resort) have opened in the
past years. Overall improvement in the national and state economies has also bolstered tourism
in the region, and the San Diego Tourism Authority expects the average daily rate (ADR) to
improve by 6 percent in 2015. Carlsbad currently has approximately 4,300 hotel rooms and over
1,000 vacation rentals, and continues to benefit from increasing daily room rates and improving
occupancy rates.
One of the more volatile General
Fund revenues is the Franchise
Tax. Franchise taxes are paid by
certain industries that use the city
right-of-way to conduct their
business. The city currently has
franchise agreements for cable TV
service, solid waste services, cell
sites, fiber optic antenna systems
and gas and electric services. The
cable and solid waste franchises
have been growing along with the
growth in population, changes in
their rate structures, and the
continued growth of the city’s
newest cable franchises, AT&T and Time Warner. Overall, franchise tax revenues are projected
to increase by approximately 1 percent.
SDG&E pays franchise taxes for the use of the public land over which they transport gas and
electricity. The city also receives an “in-lieu” franchise tax based on the value of gas and electricity
transported on SDG&E lines, but purchased from another source. The “in-lieu” tax captures the
franchise taxes on gas and electricity that is transported using public lands but which would not
otherwise be included in the calculations for franchise taxes, due to deregulation of the power
industry. The majority of the “in-lieu” taxes received is attributable to Cabrillo Power, the operator
of the Encina power plant, and is based on the gas used in the generation of electricity. The
continued reduction in operations at the Encina power plant is projected to negatively impact the
“in-lieu” franchise tax paid by SDG&E, although revenues from this source are expected to
stabilize in FY 2015-16 and remain stable for several years.
Development-related revenues are derived from fees for planning, engineering and building
permits, and fees paid by developers to cover the cost of reviewing and monitoring development
activities, such as plan checks and inspections. These revenues are difficult to predict, as many
of the planning and engineering activities occur months or years before any actual development.
2015-16 OPERATING BUDGET OVERVIEW
B-5
During FY 2009-10, development-related revenues began to turn around from historic lows
experienced in FY 2008-09. During FY 2010-11, this revenue source continued to strengthen,
especially on the non-residential side, with the permitting of the new Isis Pharmaceuticals
headquarters and the Hilton Beachfront Hotel. Development-related revenues have fluctuated in
the past years in line with increases and decreases in residential, commercial and industrial
development. In FY 2012-13, revenues rose from $2.7 million to $3 million, following a marked
increase in commercial space permitted. This year, FY 2014-15, development-related revenues
are estimated at $2.5 million. In FY 2015-16, we expect a 30 percent decrease in development
related revenues, to approximately $1.7 million.
Business license taxes are closely tied to the health of the local economy, and are projected to
increase by 4 percent to an estimated $4.5 million in FY 2015-16. There are currently about 9,600
licensed businesses in Carlsbad, with just over 2,400 of them home-based.
All other revenues include transfer taxes, interest earnings, ambulance fees, recreation fees,
and other charges and fees. The estimate for FY 2015-16 totals $15.9 million, an $800,000, or
4.8 percent, decrease from the previous year, primarily due to a change in how interdepartmental
allocations are calculated.
Interdepartmental charges are generated through engineering services charged to capital
projects, reimbursed work from other funds and miscellaneous interdepartmental expenses
charged to funds outside the General Fund for services performed by departments within the
General Fund.
Transfer taxes are those taxes paid to the county upon the transfer of interests in real estate. The
tax is $1.10 per $1,000 of property value, and is split equally between the county and the city.
Carlsbad expects to receive approximately $1.1 million in transfer taxes for FY 2015-16, which is
essentially unchanged from FY 2014-15. Housing prices are increasing at a slower pace, and
inventories should increase slightly due to new construction. Economists continue to predict Fed
action to increase rates, and this could increase historically low mortgage interest rates. Income
from investments and property includes interest earnings, as well as rental income from city-
owned land and facilities. The city is expected to earn about $1.3 million in interest on its General
Fund investments for Fiscal Year 2015-16, as the yield on the city’s portfolio is expected to remain
approximately one percent and is not expected to substantially improve in the coming fiscal year.
2015-16 OPERATING BUDGET OVERVIEW
B-6
Overall, as reflected in the bar chart, General Fund revenues are expected to be up 2.8 percent
from FY 2014-15, as property tax, sales tax, and TOT continue to improve. Although the city
experienced revenue growth between 9 and 17 percent in the late 1990’s, it was not sustainable.
Much of those increases were due to the opening of new hotels, restaurants, retail centers, and
new home development. As new development slows, it will be increasingly more difficult to
produce double-digit growth in revenues. An improving economy is certainly driving General Fund
revenues higher, but revenue growth should remain around 4 percent in the coming years.
The City has a General Fund reserve policy that sets a minimum reserve of 30 percent of the
General Fund Operating Expenditures. In addition, the policy sets a target reserve of 40 percent
to 50 percent of General Fund Operating Expenditures. The minimum reserve would provide
approximately three to four months of operating expenditures for unforeseen emergencies. At
the end of FY 2014-15, the unassigned General Fund balance is projected to be approximately
$86.9 million. At the end of FY 2015-16, the reserve is projected to be approximately $89.7
million, or 66 percent, of the FY 2015-16 Budget. The reserve amount is consistent with Council
Policy 74: General Fund Reserve Guidelines. More information about the city’s financial policies
are located in the “Budget Highlights – Section A” of this document.
Other Funds
Revenues from Special Revenue funds are expected to total $11.2 million in FY 2015-16, a
$90,000, or 4.2 percent, decrease from FY 2014-15. The types of programs supported within
Special Revenue funds are those funded by specific revenue streams such as:
x Grants (Rental Assistance-Section 8 and Community Development Block Grants)
x Special fees and assessments (Affordable Housing and Maintenance Assessment Districts)
x Donations (Library, Cultural Arts, Recreation and Senior Donations)
The most noteworthy changes in the Special Revenue funds occurred in the Affordable Housing
Trust Fund (decreased $263,000, or 29 percent), the Police Grants Fund (decreased $289,000,
or 100 percent), and the Rental Assistance Program (decreased $188,000, or 3.1 percent).
2015-16 OPERATING BUDGET OVERVIEW
B-7
Enterprise fund revenues for FY 2015-16 are projected at $73.7 million, a decrease of $2.8
million, or 3.7 percent, over current year projections.
Enterprise funds are similar to a business, in that rates are charged to support the operations that
supply the service. Carlsbad Enterprise funds include water and recycled water delivery,
wastewater services, solid waste management, and operation of a golf course. In addition to
paying for the wholesale and fixed water costs, the FY 2015-16 Operating Budget includes
funding for replacement of Carlsbad’s water infrastructure, ongoing meter replacements, and
building sufficient operating reserves.
The Water Enterprise Fund revenue is estimated at $49.2 million, a decrease of $3.2 million, or
6.1 percent over the current year estimate. The decrease is primarily due to a one-time insurance
reimbursement received in the current fiscal year. In addition, recycled connection fee revenue
is expected to decrease in FY 2015-16. Revenue from water sales is not expected to increase
substantially, because of the anticipated decrease in water usage as mandated by the State.
Anticipated increases paid to the San Diego County Water Authority include an estimated 2
percent increase to the wholesale purchase cost of water and an estimated 4.6 percent increase
in the fixed charges for water purchases. Proposed rate increases for the upcoming fiscal year
will be presented in the fall of this year pending further analysis by staff with consideration of
drought impacts.
Estimated revenues for Wastewater are $12.8 million; no change from the current year
estimate. The revenue reflects estimated rate increases of 2 percent, to fund the ongoing cost of
operations, maintenance, and funding for replacement of infrastructure, as well as providing a
sufficient operating reserve. Although rates are expected to increase, revenues are projected to
remain flat due to decreases in wastewater flows.
Estimated revenues for the Golf Course are $8.3 million, up 5.4 percent or $419,000 from the
current year estimate, primarily in projected food and beverage sales.
2015-16 OPERATING BUDGET OVERVIEW
B-8
Internal Service funds show estimated revenues of $20.8 million for FY 2015-16, a 3.4 percent
increase over FY 2014-15 projections. Worker’s compensation settlements and estimated claims
continue to increase. In FY2014-15 there was a $2 million transfer in to the fund and a $1 million
transfer is planned from the General Fund in FY 2015-16, therefore the total revenue shows a
decrease compared to the current year estimate. Worker’s compensation Interdepartmental
charges are increasing 25 percent, or $400,000 in order to grow the reserve for estimated claims
liability.
Vehicle Maintenance and Replacement fund revenues for FY 2015-16 are increasing $1.1
million, or 22 percent over FY 2014-15 projections, due to the rising cost of replacement and new
vehicles, as well as increased maintenance and gas and oil costs. The number and cost of vehicle
replacements can fluctuate significantly from year-to-year. In FY 2015-16, for example, the
replacement of one fire rescue vehicle is expected to cost $950,000.
Internal Service funds account for services provided within the City itself, from one department to
another, on a cost reimbursement basis. These include programs such as the self-insurance
funds for Workers’ Compensation and General Liability (Risk Management), as well as Vehicle
Maintenance and Replacement, and Information Technology. Departments pay for these
services; therefore, the rates charged are based on the cost to provide the service. The goal of
an Internal Service fund is to match budgeted expenses with charges to the departments.
The Redevelopment Obligation Retirement Fund (RORF) revenues are budgeted at $1.5
million, slightly less than FY 2014-15 estimates. Although the Redevelopment has been
dissolved, the California Department of Finance has approved the repayment of the approximately
$8.1 million (plus accrued interest) loaned to both former redevelopment areas by the General
Fund. Loan payments of approximately $1 million per year will be made to the city, and 20 percent
of this repayment will be set aside for future affordable housing.
2015-16 OPERATING BUDGET OVERVIEW
B-9
EXPENDITURES
The city’s Operating Budget for FY 2015-16 totals $240.1 million, which
represents an increase of about $12.7 million, or 5.6 percent, as compared
to the adopted FY 2014-15 Budget. The changes in each of the city’s
programs will be discussed below.
Budgetary Policies
The theme behind this year’s budget development was for the city to continue to provide the
very best services to the community while finding operating efficiencies, reducing costs
wherever possible, and planning for the future. The goal was to achieve a balanced budget for
the coming fiscal year while still maintaining the city’s long-term financial health and ensuring
that future costs can be met without negatively impacting the services provided to the
community. All known and ongoing operating expenses were incorporated in the FY 2015-16
Preliminary Operating Budget, as well as in the long-term financial forecast.
Responsible management of the city’s resources includes maintaining a focus on a sustainable
future by ensuring the city remains in good financial health, as today’s decisions will impact
future spending levels. Although the city is entering the new fiscal year in a solid financial
position, the city will pursue allocating resources in a manner that provides the best services for
the people of Carlsbad. The following policies for FY 2015-16 were established in line with
conservative estimates for future revenue growth:
x Continue to provide excellent services to our residents.
x Increase in the number of staff positions were allowed in instances where community
priorities would be served. In addition, increases were allowed for short-term staffing
needs to assist with succession planning while maintaining high levels of service.
x Modest growth (2.3 percent) was allowed for maintenance and operations in order to
allow departments to meet escalating costs. Additional growth was allowed for utility
costs (SDG&E) where precipitous increases occurred over the past several years.
x Increases were considered for new initiatives where community priorities would be
served.
x All departments exercised prudence in budgeting and considered cost containment
measures and set discretionary budgets at minimum levels.
The city uses an “Expenditure Control Budget” (ECB) process in budgeting, where each
department is given a block appropriation containing sufficient funds to provide the current level
of services for the upcoming year. For FY 2015-16, departments were allowed a 2.3 percent
increase, if needed, for their expenditures for maintenance & operations (M&O). As a result of
the economic recession, block budgets were reduced in both FY 2008-09 and FY 2009-10 in
order to align expenses with falling revenues. In order to gain further operating efficiencies, the
city’s organizational structure was realigned in FY 2010-11. Since the beginning of the
recession, the city has eliminated 40 full-time equivalent (FTE) positions in order to contain
costs. In the FY 2015-16 budget, there is a net increase of 4.5 full-time equivalent positions,
and 3.75 limited-term positions. No additional appropriations are expected during the fiscal
year, except in the case of significant unanticipated events. As in past years, amounts that are
unspent at the end of the fiscal year will be carried forward to the next year, or will increase the
city’s reserves. At the end of FY 2014-15, the amounts carried forward by each department will
be capped at no more than 10 percent of the previous year’s Adopted Budget. Departments
are allowed to request additional carry forward amounts from remaining unspent funds, for
2015-16 OPERATING BUDGET OVERVIEW
B-10
special one-time projects as well as items funded in FY 2014-15 which are planned for
completed in FY 2015-16.
Budgeted Expenditures
Through the application of these guidelines and policies, the FY 2015-16 Operating Budget of
$240.1 million was developed.
Position Changes
A net increase of 4.5 full-time positions and 3.75 limited-term positions , when compared to the
FY 2014-15 Adopted Budget, is reflected in the FY 2015-16 Operating Budget. These position
changes in addition to the un-funding of 3.0 full-time positions resulted in an approximate
citywide personnel increase of $857,000 for the coming year.
The FY 2015-16 Operating Budget includes the elimination of the following 11.75 permanent
full-time positions:
2.0 Client Systems Associate Administrator
1.0 Client Systems Administrator
4.0 Custodian
2.0 Parks Maintenance Worker II
1.0 Property & Environmental Management Director
1.0 Parks & Recreation Secretary
0.75 Video Production Manager
The FY 2015-16 Operating Budget includes the addition of the following 16.25 permanent full-
time positions:
1.0 Account Clerk II
1.0 Utilities Asset Manager
1.0 Client Systems Associate
4.0 Associate Engineer
1.0 Code Compliance Specialist II
2.0 Communications Operator I
1.0 Community Relations Manager
1.0 Community Services Officer II
1.0 Equipment Technician I
0.25 Library Assistant II
1.0 Police Lieutenant
1.0 Police Records Specialist II
1.0 Public Works Superintendent
The net increase in hourly staff totals 1.74 FTE. This increase is due to the following:
Additions: Eliminations:
0.70 Human Resources 1.00 Community & Economic Development
0.50 Information Technology 0.30 Library
2.34 Parks & Recreation 0.50 Utilities
These changes result in a city workforce of 674.25 full and three-quarter time employees, 3.75
limited-term employees, and 159.51 hourly, full-time equivalent positions.
2015-16 OPERATING BUDGET OVERVIEW
B-11
New Facilities
The city has a number of major capital projects scheduled to be built over the next five years.
As the city completes these projects, the costs of maintaining and operating the facilities,
including additional personnel if necessary, are added to departmental operating budgets.
There are no new facilities expected to open in FY 2015-16.
Budget by Fund Type
The table below shows the changes in the proposed Operating Budget for FY 2015-16, as
compared to the Adopted Budget for FY 2014-15.
The General Fund contains most of the discretionary revenues that support basic core city
services. However, this should not diminish the importance of the other operating funds, as
they also contribute to the array of services available within Carlsbad. The remainder of this
section will provide more information about the budgeted expenditures by fund and program.
General Fund
The total Operating Budget for the General Fund for FY 2015-16 is $135.3 million, which is 8.5
percent greater than the previous year’s Adopted Budget of $124.6 million. The total increase
is attributable to a $3.9 million, or 5.0 percent increase in Personnel, a $3.2 million or 8.7
percent increase in Maintenance & Operations costs, and a $1.7 million overall increase in
Capital Outlay, as can be seen in the table above. Transfers to other funds increased $1.9
million, or 19.2 percent. These changes are discussed in more detail below.
BUDGET BUDGET $%
FUND 2014-15 2015-16 CHANGE CHANGE
GENERAL FUND 124.6$ 135.3$ 10.6$ 8.5%
SPECIAL REVENUE 10.6 11.6 1.0 9.4%
ENTERPRISE 68.9 70.4 1.5 2.1%
INTERNAL SERVICE 21.9 21.6 (0.3) -1.6%
REDEV. OBLIG. RETIREMENT 1.3 1.3 - -1.9%
TOTAL 227.3$ 240.1$ 12.7$ 5.6%
BUDGET EXPENDITURE SUMMARY
BY FUND TYPE
(In Millions)
BUDGET BUDGET $%
2014-15 2015-16 CHANGE CHANGE
PERSONNEL 78.3$ 82.2$ 3.9$ 5.0%
MAINTENANCE & OPERATIONS 36.1 39.2 3.2 8.7%
CAPITAL OUTLAY 0.1 1.8 1.7 1265.5%
TRANSFERS 10.1 12.1 1.9 19.2%
TOTAL 124.6$ 135.3$ 10.7$ 8.5%
(In Millions)
GENERAL FUND SUMMARY
BY EXPENDITURE TYPE
2015-16 OPERATING BUDGET OVERVIEW
B-12
Personnel costs make up approximately 61 percent of the General Fund budget, so any
changes in these costs can have a significant effect on the total budget. The total personnel
budget for FY 2015-16 is $82.2 million, which is $3.9 million, or 5.0 percent more than the
previous year’s total personnel budget of $78.3 million.
The table above shows the breakdown of personnel costs for the General Fund. Salaries
include full and part-time staff costs and are expected to increase in FY 2015-16 by $2 million,
or 3.8 percent. The increase is mainly due to previously negotiated wage increases scheduled
to occur in FY 2015-16, as well as the net addition of 9.99 full-time staff, limited-term and part-
time staff.
Retirement rates as projected by CalPERS will increase in FY 2015-16 by about 2.1 percent of
payroll for General and Management employees, representing an 8.5 percent increase, and by
about 1.6 percent of salary for Safety employees, representing a 4.5 percent increase. These
rate increases for the city will result in an increase of approximately $900,000 for the General
Fund in FY 2015-16. Larger increases, approved by CalPERS, will go into effect in FY 2016-
17.
Health insurance rates are up slightly, while Worker’s Compensation expense is projected to
increase 24.4 percent due to increasing liability estimates and settlements. Miscellaneous
other personnel costs, such as bi-lingual pay, are also projected to increase by $200,000, or
12.8 percent in FY 2015-16.
Departments with part-time hourly employees were also given adjustments based on an
amended hourly salary schedule following review of hourly salary ranges in the San Diego
public agency market. The review determined that many of the ranges were out of alignment
with the local market. The annual impact of the adjustments was estimated at $235,000.
Maintenance & Operations costs (or M&O) represent about 29 percent of the total General
Fund budget, and include the budgets for all program expenses other than personnel, capital
outlay and transfers. Overall, total M&O costs are projected at $39.2 million, an increase of
about $3.2 million, or 8.7 percent, for FY 2015-16 as compared to FY 2014-15. Maintenance &
Operations costs are discussed more fully by program later in the report.
Capital Outlay includes budgeted equipment purchases over $1,000. Capital outlay purchases
of $1.8 million are budgeted in the General Fund for FY 2015-16. The complete list listed of
proposed capital purchases is shown on page L-1.
GENERAL FUND
PERSONNEL COSTS
(In Millions)
BUDGET BUDGET $%
2014-15 2015-16 CHANGE CHANGE
SALARIES 54.5$ 56.5$ 2.0$ 3.8%
RETIREMENT 14.3 15.2 0.9 6.7%
HEALTH INSURANCE 6.8 7.2 0.4 5.4%
WORKERS COMP 1.5 1.9 0.4 24.4%
OTHER PERSONNEL 1.2 1.4 0.2 12.8%
TOTAL 78.3$ 82.2$ 3.9$ 5.0%
2015-16 OPERATING BUDGET OVERVIEW
B-13
Transfers are amounts anticipated to be transferred from the General Fund to another city
fund. The transfers included in the adopted budget are as follows:
x $8,952,000 million to the Infrastructure Replacement Fund for major maintenance and
replacement of city infrastructure. This represents 6.5 percent of the General Fund
Revenues, the same as the percentage transfer for FY 2014-15.
x $209,735 to the Storm Water Program for reimbursement for the General Fund portion
of Storm Water expenses.
x $860,000 to the Median Maintenance and Street Tree Maintenance Special Revenue
Funds to cover cash shortfalls, as annual assessments collected from property owners
do not cover annual operating expenditures.
x $1,049,795 to the city’s municipal golf course for debt service.
x $1,000,000 to the city’s Worker’s Compensation Fund to cover increased claims
settlements and estimated liability.
Advances are amounts anticipated to be transferred from the General Fund to another city
funds and are expected to be repaid to the General Fund in future years. No General Fund
advances are included in this year’s Operating Budget.
Another way of looking at the General Fund budget is by program. The chart below compares
the total FY 2015-16 Budget to the amounts adopted in the previous year. A brief description
of each department and its services and a summary of significant department budget changes
in the FY 2015-16 Operating Budget, are noted below the chart.
GENERAL FUND EXPENDITURES
BY DEPARTMENT
(In Millions)
BUDGET BUDGET $%
DEPARTMENT 2014-15 2015-16 CHANGE CHANGE
POLICY & LEADERSHIP GROUP 5.6$ 6.0$ 0.3$ 5.8%
COMMUNITY & ECONOMIC DEV 8.9 9.5 0.6 6.6%
ADM SVCS - FINANCE 3.7 4.2 0.4 11.7%
ADM SVCS - HUMAN RESOURCES 2.9 3.2 0.3 11.0%
ADM SVCS - RECORDS MANAGEMENT 0.3 0.3 - -8.7%
FIRE 18.9 20.4 1.5 7.9%
LIBRARY & CULTURAL ARTS 11.2 12.1 0.8 7.4%
PARKS & RECREATION 14.8 15.1 0.3 2.0%
POLICE 29.1 32.3 3.2 11.1%
PW - ADMINISTRATION 1.2 1.6 0.4 29.2%
PW - ENVIRONMENTAL MANAGEMENT 0.3 0.4 0.1 25.7%
PW - PROPERTY & FLEET 5.8 5.4 (0.4) -7.2%
PW - TRANSPORTATION 8.3 9.0 0.6 7.5%
NON-DEPARTMENTAL 13.5 16.0 2.5 18.8%
TOTAL 124.6$ 135.3$ 10.6$ 8.5%
2015-16 OPERATING BUDGET OVERVIEW
B-14
The Policy & Leadership Group consists of all elected officials, the City Manager’s
Office, the City Attorney’s Office and Community Outreach and Engagement. The
$328,000, or 5.8 percent increase for FY 2015-16 includes $60,000 to update and
reaffirm the community values identified in the Envision Carlsbad program, and $60,000
for recodification and republication of the city’s Municipal Code.
The Community and Economic Development Department includes housing and
neighborhood services, economic development, planning, development services,
building inspection, and land use engineering. The increase over FY 2014-15 is about
$584,000, or 6.6 percent, and includes the addition of limited-term staff to assist with
succession planning while ensuring continuous high levels of service, and a full-time
code compliance specialist (including a vehicle for the added position) to provide
increased oversight and enforcement of city regulations, such as the recently adopted
ordinance regulating vacation rental properties within Carlsbad. Funding of $120,000 is
also included for improvements to the Faraday Administrative Center reception and
front counter areas to improve the customer service experience and promote a more
collaborative workplace, and $172,000 was added to fund the first year of a pilot
program for expedited service from the California Coastal Commission on Carlsbad
projects.
The Administrative Services’ Finance division provides the services of accounting,
financial reporting, capital and operating budgeting, payroll, billing and collections,
records management, citywide mail processing, purchasing and receiving, fiscal
oversight, and long-term financial planning for the city. The increase of about
$440,000, or 11.7 percent, includes reclassification and funding of an existing vacant
position for a new real estate manager position, and adding a full-time account clerk to
serve as receptionist for the Faraday Administrative Center.
The Administrative Services’ Human Resources division supports the city with staffing
and recruitment, employee development, performance management, and compensation
and labor relations services. The increase of $316,000, or 11 percent, is primarily due
to temporary overstaffing to assist with succession planning, and $100,000 for design
enhancements of the Performance Management and Pay for Performance model.
The Administrative Services’ Records Management division budget remains relatively
flat when compared to the previous year.
The Carlsbad Fire Department provides emergency operations, emergency
preparedness, and fire prevention services to safeguard lives, property and the
environment in the City of Carlsbad. The FY 2015-16 Operating Budget reflects a 7.9
percent, or $1,490,000 increase. In addition to negotiated personnel related increases,
funding of $590,000 is included for replacement of Regional Communications System
(RCS) radios that are compliant with the next generation system. Internal service costs
for vehicle replacement and maintenance as well as information technology increased
by $430,000, and additional funding is included for on-going training needs and a peer
support program, and repair and replacement of protective equipment and breathing
apparatus.
The Library and Cultural Arts Department provides staffing and a wide variety of
programming for three library locations, and a cultural arts office. The department’s
budget is projected to increase by $827,000, or 7.4 percent, from FY 2014-15. Included
is a $175,000 increase to the library materials budget, to address increasing demand,
particularly for electronic materials, and bring the department back to pre-recession
2015-16 OPERATING BUDGET OVERVIEW
B-15
spending levels. The proposed budget includes $100,000 for wayfinding signage at
both libraries to bring higher visibility to the public from the roadways and up to each
building. The spending plan also includes one-time funding of $165,000 for a
comprehensive plan for arts and cultural development in Carlsbad. In addition,
$149,000 is included to replace the stage for the popular annual TGIF Concerts in the
Parks.
x The Parks & Recreation
Department plans, staffs
and maintains the city’s
parks and recreational
facilities, provides an
assortment of recreational
programs for all ages,
maintains landscaping at
facilities throughout the city,
and manages the city’s open
space areas. The FY 2015-
16 budget is $290,000, or 2
percent greater than the FY
2014-15 budget. Additional
funding is included for
grounds maintenance at school sites, and private security for park sites. New program
costs for Alga Norte Concessions, the Senior Nutrition Program, Kidz Camp expansion,
and VIP Movie Premier will be offset by increased revenues.
x The Carlsbad Police Department provides high quality public safety services to the
community by enforcing laws and ordinances, preserving the peace, and providing for
the protection of life and property. Overall, the department’s costs are increasing by
$3.2 million, or 11.1 percent, for FY 2015-16. A net addition of four full-time staff,
supported by the ICMA study recently completed, is approximately $386,000. The
increase includes the addition of a client systems associate, a police lieutenant, a police
records specialist, two communications operators, and one community services officers,
partially offset by unfunding two police officer positions. As with the Fire Department,
the spending plan includes $879,000 to replace RCS radios that are compliant with the
next generation system.
x Public Works Administration division has a $353,000, or 29.2 percent increase when
compared to FY 2014-15. Because this division is relatively new, the positions in this
department were previously allocated to other divisions, resulting in an increase in total
personnel costs when compared to previous years.
x The Public Works Environmental Management division manages the city’s
environmental programs, which include storm water, habitat and other environmental
maintenance and monitoring programs. The increase of $84,000 from the prior year’s
budget is primarily due to increased personnel costs.
x The Public Works Property & Fleet division oversees the city’s fleet and manages all
city-owned property including the design and construction of new civic facilities, and
maintenance and modification of existing facilities. The FY2015-16 budget decreased
$418,000 from the prior year due to reorganization within the Public Works departments
and elimination or reallocation of staff to other divisions. Three general fund custodian
positions were eliminated and the property and environmental management director
2015-16 OPERATING BUDGET OVERVIEW
B-16
$0.0
$20.0
$40.0
$60.0
$80.0
$100.0
$120.0
$140.0
FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 FY 2014 FY 2015e FY 2016e
$118.7
$111.9 $115.2
$107.9 $112.6 $111.2
$122.7 $122.7
$135.3
History of General Fund Expenditures
(in millions)
3.0% -5.7% 2.9% -6.3% 4.4% -1.2% 10.3% 0.0% 10.3%
position was also eliminated, partially offset by the addition of a public works
superintendent.
x The Public Works Transportation division manages all streets, traffic and other city-
wide transportation services, including city traffic engineering, traffic signal monitoring
and maintenance, storm drain engineering, and maintenance of all city streets and
roadways. The FY 2015-15 budget reflects an increase of $623,000, a 7.5 percent
increase over FY 2014-15. Personnel changes included the addition of two associate
engineers for transportation capital projects, and negotiated salary increases.
x Non-departmental expenses include the transfers previously discussed, the Council
Contingency account, and administrative and other expenses not associated with any
one department. The non-departmental budget is expected to increase by $2.5 million,
or 18.8 percent, in FY 2015-16. The increase is due to increased transfers to the
Worker’s Compensation Fund ($1 million), the Infrastructure Replacement Fund
($650,000), The Median and Tree Benefit Districts ($321,000) and professional and
legal services which support citywide initiatives ($590,000).
The Council Contingency is a budgeted amount that is available to the City Council to
address unanticipated emergencies or unforeseen program needs during the fiscal
year. Prior to the economic recession, the Council Contingency budget provided
between 2 and 2.5 percent of the General Fund Operating Budget for these unforeseen
costs. For FY 2015-16, the Contingency is budgeted at $1.5 million, with no change
when compared to the prior year.
2015-16 OPERATING BUDGET OVERVIEW
B-17
As reflected in the previous chart, the city’s expenditures were reduced significantly with the
City Council’s revised budget in FY 2008-09, and expenditure increases were kept at bay
through FY 2012-13. FY 2013-14 expenditures reflected a 10.3 percent increase, and in the
following year, FY 2014-15, estimated expenditures reflected no increase over FY 2013-14.
The FY 2015-16 adopted budget reflects a 10.3 percent increase in expenditures, mirroring the
healthy economic growth experienced over the last 3 years.
Changes in Other Funds
Special Revenue funds, at $11.6 million, show a $1 million dollar, or 9.4 percent increase
when compared to FY 2014-15. Special benefit district expenditures are budgeted at $464,000
higher than in the previous year, and CDBG grant funding reflect an increase of $379,000 over
the prior year. The library gifts and bequests funding has increased $285,000 to support
peripheral projects related to the library remodel projects.
Enterprise funds total $70.4 million, an increase of $1.5 million, or 2.1 percent, over the FY
2014-15 Adopted Budget. Staffing increases include the addition of two associate engineers
and one asset manager position to assist in the management and construction of utility water
and wastewater assets. The most significant change in Water operations is due to the
estimated increase in the cost of water purchased from the San Diego County Water Authority
(5.4 percent increase in fixed charges and a 4 percent increase in variable costs). The
Operating Budget also includes funding for depreciation replacement transfers related to
growth and aging of the water infrastructure system.
Wastewater operations are projected to remain relatively flat. Personnel increases mentioned
in the previous paragraph were offset with a decrease in anticipated depreciation expense.
Golf Course operations are expected to increase $679,000, or 9.1 percent over FY 2014-15,
primarily in payroll related expenses and funding for capital improvements at the course.
The Internal Service funds total $21.6 million, with almost no net change from FY 2014-15.
There are, however, large swings in the individual funds themselves, as discussed below.
x The General Liability/Risk Management budget reflects an increase of approximately
$191,000, or 10.6 percent, due to one-time funding for the second phase of the city’s
ADA transition plan, for inspection and assessment of all city public facilities.
x The Self-Insured Benefits budget shows a decrease of approximately $2.5 million on
the expenditure side; due to the prior year spike of $2 million for a one-time transfer out
to the worker’s compensation fund for money originally set aside to mitigate pension
increases. There was a need to supplement the worker’s compensation fund due to
increases in settlements and estimated claims liability, and the pension set-aside was
no longer needed.
x The Vehicle Replacement budget shows a substantial increase of $1.6 million.
Replacement of vehicles can vary greatly from year to year. While purchases slowed
down for several years, the upcoming year represents an effort to catch up on
replacements, and includes the purchase of a fire truck at almost $1 million.
x The Vehicle Maintenance costs remain relatively flat in FY 2015-16.
x The Information Technology budget includes both operating and replacement
expenditures. The overall decrease is $909,000, which is the net of a $1.3 million
2015-16 OPERATING BUDGET OVERVIEW
B-18
decrease in replacement purchases, and an increase in the department’s operating
budget of approximately $378,000, from the prior fiscal year. The department has seen
increases in software maintenance and contractual services for both existing and new
technology projects. The cost of staffing has also increased, in part due to a greater
need for specific key professional positions which come at a higher cost based on
market demand for those skills.
x The budget for the Redevelopment Obligation Retirement Funds (RORF) has remained
flat, when compared to the previous year. The ROPS identifies financial commitments
of the former RDA, including $250,000 in administrative costs, to be paid from semi-
annual tax increment revenue received by the Successor Agency and annual debt
service requirements. Every six months a new ROPS must be prepared and approved
by the Oversight Board, the County of San Diego and the State of California in order to
receive additional tax increment.
SUMMARY
The Operating Budget for FY 2015-16 provides a balanced budget for the coming fiscal year
while continuing with a long-term plan to sustain a balanced budget in future years. Significant
ongoing operating expenses were identified and incorporated in the FY 2015-16 proposed
spending plan, to ensure ongoing financial obligations of the city are met. The Carlsbad
economy is continuing to improve, as a strong economic base is aided by the addition of hotel,
retail and commercial projects. Major revenue sources are improving in the city, with continued
gains seen in property tax, sales tax, and hotel tax revenues.
Carlsbad still faces economic challenges from a fluctuating economy, continued increases in
utility and water rates compounded with the call for drastic water use reductions due to the
drought. The impact that budget decisions at the state and federal levels could have on the
city’s financial situation are also a potential threat. To meet these challenges, the city has
initiated a program to evaluate all city operations looking for opportunities to reduce costs
through efficiencies, shared services or contracting out services in some areas when that
makes sense. The city has already seen results from these efforts.
The City of Carlsbad is entering the new fiscal year in a solid financial position and focused on
the future. Careful planning and responsible management have allowed the city to not only
maintain core services, but to also move ahead on community projects and other investments
that contribute to an excellent quality of life in our community. Promoting a strong local
economy and bringing more jobs to the city is a top priority. Due to continued fiscally
conservative practices, the city is in an excellent position to take advantage of new economic
opportunities that will allow our community to thrive now and for many years in the future.
%INCR/(DECR)
2014-15 14-15 BUD
2012-13 2013-14 ESTIMATED 2014-15 2015-16 TO
DEPARTMENT ACTUAL ACTUALS EXPENDITURES BUDGET BUDGET 15-16 BUD
GENERAL FUND
POLICY AND LEADERSHIP GROUP
CITY COUNCIL $354,428 $352,420 $383,000 $367,220 419,945 14.4%
CITY ATTORNEY 1,286,037 1,306,354 1,346,000 1,373,159 1,491,210 8.6%
CITY CLERK 101,502 382,441 527,000 531,474 634,227 19.3%
CITY MANAGER 1,737,511 1,604,836 1,700,000 1,874,568 1,790,773 -4.5%
CITY TREASURER 185,597 188,681 194,000 200,226 237,924 18.8%
COMMUNITY OUTREACH AND ENGAGEMENT 698,799 768,903 1,200,000 1,283,257 1,384,149 7.9%
TOTAL POLICY AND LEADERSHIP GROUP 4,363,874 4,603,635 5,350,000 5,629,904 5,958,228 5.8%
ADMINISTRATIVE SERVICES
FINANCE 3,248,400 3,547,169 4,046,000 3,747,584 4,187,552 11.7%
HUMAN RESOURCES 2,293,015 2,422,311 2,774,000 2,876,229 3,191,748 11.0%
RECORDS MANAGEMENT 650,547 273,150 278,000 302,342 275,919 -8.7%
TOTAL ADMINISTRATIVE SERVICES 6,191,962 6,242,630 7,098,000 6,926,155 7,655,219 10.5%
COMMUNITY DEVELOPMENT
COMMUNITY AND ECONOMIC DEVELOPMENT 6,961,921 7,497,677 7,340,000 8,159,731 8,611,894 5.5%
HOUSING AND NEIGHBORHOOD SERVICES 522,669 569,061 603,000 721,317 853,563 18.3%
TOTAL COMMUNITY DEVELOPMENT 7,484,590 8,066,738 7,943,000 8,881,048 9,465,457 6.6%
COMMUNITY SERVICES
LIBRARY AND CULTURAL ARTS 10,282,856 10,509,164 10,500,000 11,228,043 12,055,044 7.4%
PARKS AND RECREATION 11,603,390 13,406,265 15,000,000 14,815,116 15,105,406 2.0%
TOTAL COMMUNITY SERVICES 21,886,246 23,915,429 25,500,000 26,043,159 27,160,450 4.3%
PUBLIC SAFETY
FIRE 17,915,669 18,029,627 18,900,000 18,933,836 20,423,483 7.9%
POLICE 27,756,320 28,913,269 29,000,000 29,077,696 32,296,504 11.1%
TOTAL PUBLIC SAFETY 45,671,989 46,942,896 47,900,000 48,011,532 52,719,987 9.8%
PUBLIC WORKS
PUBLIC WORKS ADMINISTRATION - 1,110,647 1,125,000 1,209,827 1,562,600 29.2%
ENVIRONMENTAL MANAGEMENT 232,032 263,984 282,000 325,044 408,564 25.7%
PROPERTY AND FLEET MANAGEMENT 4,502,290 4,986,773 5,800,000 5,775,747 5,357,458 -7.2%
TRANSPORTATION 8,355,623 7,745,918 7,500,000 8,346,370 8,969,559 7.5%
TOTAL PUBLIC WORKS 13,089,945 14,107,322 14,707,000 15,656,988 16,298,181 4.1%
NOTE: ESTIMATED EXPENDITURES MAY EXCEED ADOPTED BUDGET SINCE THEY INCLUDE PRIOR YEAR BUDGET APPROPRIATIONS.
CITY OF CARLSBAD
OPERATING FUNDS
BUDGET EXPENDITURE SCHEDULE
B-26
%INCR/(DECR)
2014-15 14-15 BUD
2012-13 2013-14 ESTIMATED 2014-15 2015-16 TO
DEPARTMENT ACTUAL ACTUALS EXPENDITURES BUDGET BUDGET 15-16 BUD
CITY OF CARLSBAD
OPERATING FUNDS
BUDGET EXPENDITURE SCHEDULE
GENERAL FUND - CONTINUED
MISCELLANEOUS NON-DEPARTMENTAL
EXPENDITURES
COMMUNITY CONTRIBUTIONS 135,057 33,698 30,750 0 0 -
DUES & SUBSCRIPTIONS 51,492 51,565 50,000 55,000 55,000 0.0%
LEGAL SERVICES 28,618 100,029 273,000 80,000 400,000 400.0%
PROFESSIONAL SERVICES 392,391 1,125,469 1,227,000 185,000 402,000 117.3%
OTHER MISCELLANEOUS EXPENDITURES 270,515 609,548 1,500,000 0 0 -
PERSONNEL RELATED 63,719 131,359 150,000 904,632 930,000 2.8%
PROPERTY TAX & OTHER ADMINISTRATION 585,854 643,729 622,000 622,000 650,000 4.5%
TOTAL EXPENDITURES 1,527,646 2,695,397 3,852,750 1,846,632 2,437,000 32.0%
TRANSFERS
INFRASTRUCTURE REPLACEMENT FUND 7,547,000 7,800,000 8,302,000 8,302,000 8,952,000 7.8%
TRANSFERS TO SELF INSURED BEN.-PERS SETASIDE 1,800,000 2,000,000 0 0 0 -
TRANSFERS TO GOLF COURSE 251,072 998,549 1,031,240 1,031,240 1,049,795 1.8%
TRANSFER TO LLD#1 (MEDIANS & TREES) 527,746 1,949,251 539,000 539,000 860,000 59.6%
TRANSFER TO STORM WATER PROGRAM 245,931 189,616 232,334 251,962 209,735 -16.8%
OTHER MISCELLANEOUS TRANSFERS 658,561 3,197,800 250,000 0 1,000,000 -
TOTAL TRANSFERS 11,030,310 16,135,216 10,354,574 10,124,202 12,071,530 19.2%
TOTAL MISCELLANEOUS NON-DEPARTMENTAL 12,557,956 18,830,613 14,207,324 11,970,834 14,508,530 21.2%
SUBTOTAL GENERAL FUND 111,246,562 122,709,263 122,705,324 123,119,620 133,766,052 8.6%
CONTINGENCIES 0 0 0 1,500,000 1,500,000 0.0%
TOTAL GENERAL FUND $111,246,562 $122,709,263 $122,705,324 $124,619,620 $135,266,052 8.5%
B-27
%INCR/(DECR)
2014-15 14-15 BUD
2012-13 2013-14 ESTIMATED 2014-15 2015-16 TO
DEPARTMENT ACTUAL ACTUALS EXPENDITURES BUDGET BUDGET 15-16 BUD
CITY OF CARLSBAD
OPERATING FUNDS
BUDGET EXPENDITURE SCHEDULE
SPECIAL REVENUE FUNDS
AFFORDABLE HOUSING $4,211,185 $476,970 $419,000 $537,380 $616,640 14.7%
BUENA VISTA CHANNEL MAINTENANCE 204,468 100,014 20,000 106,275 110,400 3.9%
CITIZEN'S OPTION FOR PUBLIC SAFETY 124,984 125,037 97,000 142,368 193,001 35.6%
COMMUNITY ACTIVITY GRANTS 45,460 11,554 10,000 14,000 10,000 -28.6%
COMMUNITY DEVELOPMENT BLOCK GRANT 2,095,540 209,022 702,000 94,639 474,030 400.9%
CULTURAL ARTS DONATIONS 41,142 30,560 30,000 74,500 75,500 1.3%
LIBRARY AND ARTS ENDOWMENT FUND 2,000 0 2,000 4,000 4,000 0.0%
LIBRARY GIFTS/BEQUESTS 91,764 129,231 80,000 50,375 335,130 565.3%
LIGHTING AND LANDSCAPING DISTRICT NO. 2 233,666 238,307 251,000 251,476 305,503 21.5%
LOCAL CABLE INFRASTRUCTURE FUND 261,511 279,299 200,000 522,138 527,503 1.0%
MEDIAN MAINTENANCE 730,335 873,997 895,000 843,833 1,067,592 26.5%
PARKING IN LIEU 42,359 42,196 44,000 44,000 44,000 0.0%
POLICE ASSET FORFEITURE 202,161 162,981 110,000 181,140 166,441 -8.1%
POLICE GRANTS 543,148 230,980 56,000 0 48,040 -
RECREATION DONATIONS 21,296 15,791 25,000 80,500 81,322 1.0%
RENTAL ASSISTANCE 6,355,545 6,087,129 6,175,000 6,249,055 5,940,146 -4.9%
SENIOR DONATIONS 25,447 25,003 24,500 36,600 46,600 27.3%
STREET LIGHTING 851,100 747,085 1,070,000 860,276 1,006,452 17.0%
STREET TREE MAINTENANCE 643,490 647,691 530,000 533,345 569,333 6.7%
TOTAL SPECIAL REVENUE FUNDS $16,726,601 $10,432,847 $10,740,500 $10,625,900 $11,621,633 9.4%
ENTERPRISE FUNDS
WATER OPERATIONS $35,015,968 $37,585,445 $37,908,000 $37,907,851 $38,266,039 0.9%
RECYCLED WATER OPERATIONS 7,264,458 10,606,510 7,596,000 7,595,449 7,917,312 4.2%
WASTEWATER OPERATIONS 11,388,038 11,140,611 12,424,000 12,424,199 12,404,876 -0.2%
SOLID WASTE MANAGEMENT 2,861,179 2,861,791 2,860,000 3,513,918 3,640,424 3.6%
GOLF COURSE OPERATIONS 7,665,238 7,876,241 7,400,000 7,477,931 8,156,559 9.1%
TOTAL ENTERPRISE FUNDS $64,194,881 $70,070,598 $68,188,000 $68,919,348 $70,385,210 2.1%
INTERNAL SERVICE FUNDS
WORKERS' COMPENSATION $3,962,146 $3,359,904 $2,688,000 $2,026,466 $3,217,007 58.7%
RISK MANAGEMENT 1,871,775 737,709 1,658,000 1,809,248 2,000,422 10.6%
SELF-INSURED BENEFITS 3,404,933 821,366 3,346,000 3,554,614 1,074,520 -69.8%
VEHICLE MAINTENANCE 2,702,769 3,071,201 3,249,000 3,269,004 3,329,985 1.9%
VEHICLE REPLACEMENT 660,549 2,186,947 2,495,000 1,952,500 3,559,058 82.3%
INFORMATION TECHNOLOGY 6,141,226 7,129,998 8,751,000 9,308,565 8,399,297 -9.8%
TOTAL INTERNAL SERVICE FUNDS $18,743,398 $17,307,125 $22,187,000 $21,920,397 $21,580,289 -1.6%
REDEVELOPMENT OBLIGATION RETIREMENT FUNDS
VILLAGE RDA OBLIGATION RETIREMENT FUND $763,349 $709,820 $1,450,000 $1,315,279 $1,290,134 -1.9%
TOTAL REDEVELOPMENT $763,349 $709,820 $1,450,000 $1,315,279 $1,290,134 -1.9%
TOTAL OPERATING FUNDS $211,674,791 $221,229,653 $225,270,824 $227,400,544 $240,143,318 5.6%
General Fund $135,266,052
Non GF 104,877,266
$240,143,318
NOTE: ESTIMATED EXPENDITURES MAY EXCEED ADOPTED BUDGET SINCE THEY INCLUDE PRIOR YEAR BUDGET APPROPRIATIONS.
B-28
Policy and Leadership Group Policy Ldrshp
City CouncilCity ManagerCommunity Outreach & EngagementCity AttorneyCity ClerkCity TreasurerPolicy & LeadershipOrg Chart by Function
Administrative Services Admin Services
Administrative Services DirectorHuman ResourcesWorker’s CompensationSelf-Insured BenefitsFinanceRecordsInformation TechnologyRisk ManagementAdministrative ServicesOrg Chart by Function
D-3
PROGRAM: FINANCE
FUND: GENERAL & ENTERPRISE
PROGRAM GROUP: FINANCE ACCT NO. 0011310
2012-13
ACTUAL
2013-14
ACTUAL
2014-15
BUDGET
2015-16
BUDGET
PERSONNEL $2,871,866 $3,144,956 $3,215,571 $3,590,775
MAINTENANCE & OPERATIONS 1,224,184 1,263,568 1,452,607 1,637,524
CAPITAL OUTLAY 1,294 23,165 0 0
GRAND TOTAL $4,097,344 $4,431,689 $4,668,178 $5,228,299
FULL TIME POSITIONS 29.00 30.00 30.00 31.00
HOURLY/FTE POSITIONS 1.00 1.00 1.00 1.00
GENERAL FUND $3,248,400 $3,547,169 $3,747,584 $4,187,552
WATER ENTERPRISE 551,813 574,938 598,386 676,485
STORM WATER 21,224 22,113 23,015 26,019
SOLID WASTE 21,224 22,113 23,015 26,019
WASTEWATER ENTERPRISE 254,683 265,356 276,178 312,224
TOTAL FUNDING $4,097,344 $4,431,689 $4,668,178 $5,228,299
MISSION STATEMENT:
The Finance Department mission is to ensure that the City of Carlsbad makes sound financial decisions by setting and
implementing a strategic financial direction. The department takes pride in accomplishing this mission by maintaining
individual and departmental credibility; working together as a team; and consistently striving to go above and beyond
expectations.
WORK PROGRAM:
The Finance Department’s work program includes the program activities below. The total FY 2015-16 budget is
allocated to the General Fund and the Water, Storm Water, Solid Waste and Wastewater Enterprise funds as shown
in the table above. The allocation of these costs to the Enterprise funds is for the utility billing function performed by
Finance.
PROGRAM ACTIVITIES:
Long-Range Financial Planning and Budget Management
x Prepare ten-year operating forecasts incorporating various “what-if” scenarios to facilitate decision-making for the
City Council and city departments.
x Prepare and monitor annual capital and operating budgets to allocate resources in a cost-effective manner in
alignment with the City Council’s goals.
x Perform bi-annual review of all city fees and the Cost Allocation Plan.
General Accounting and Reporting
x Accurately bill, collect, record, and report all city revenues including follow-up of delinquent accounts.
x Prepare payments for city employees and for service and commodity suppliers.
x Prepare and maintain finance records and documents in conformity with generally accepted accounting principles
and applicable legal and contractual provisions.
x Prepare Comprehensive Annual Financial Report in conformity with generally accepted accounting principles.
x Provide the City Council, city management and the public with timely monthly financial reports.
x Perform in-house internal control reviews as needed.
x Perform external vendor audits as needed.
x Provide staff support for the Successor Agency to the former Redevelopment Agency.
x Perform analysis on special projects as needed.
D-4
PROGRAM: FINANCE PAGE TWO
FUND: GENERAL & ENTERPRISE
PROGRAM GROUP: FINANCE ACCT NO. 0011310
PROGRAM ACTIVITIES (continued):
Assessment District/Community Facilities District (CFD)/Special Benefit District Administration x Assist in evaluation and formation of new districts and annexations into existing districts.
x Issue bonds for capital projects when required. Pay debt service and provide continuing disclosure information.
x Provide administration of CFDs, assessment districts and special benefit districts as required by formation
documents and state law.
x Evaluate debt refunding opportunities.
Purchasing
x Issue and manage formal bid and quotation processes.
x Track and renew annual commodity and service contracts and joint agency contracts.
x Assist city departments in the creation and administration of contracts.
x Administer citywide procurement card program.
Receiving, Messenger, and Mail Services
x Act as shipping and receiving for the Faraday Administration Center.
x Direct disposal of surplus and lost/unclaimed property.
x Collect outgoing city mail and apply postage.
x Sort and distribute all incoming city mail.
General Accounting and Reporting
x Provide full bi-weekly payroll functions. Maintain payroll records and documents in conformity with state and
federal laws and generally accepted accounting principles.
x Perform all CalPERS, federal tax and state tax reporting and filings.
WORKLOAD AND PERFORMANCE INDICATORS:
FY 2012
FY 2013 FY 2014
x Average number of days to issue Monthly
Financial Status Report
11.5
12.2 10.5
x Awards received for CAFR GFOA GFOA Pending
x Awards received for Annual Budget GFOA & CSMFO
Excellence in
Operational
Budgeting
GFOA & CSMFO
Excellence in
Operational
Budgeting
GFOA & CSMFO
Excellence in
Operational
Budgeting
x Number of business licenses processed 9,303 9,422 10,327
x Number of account payable checks processed 13,800 13,798 14,327
x Number of payroll checks issued 110 0 0
x Number of electronic payroll checks issued 24,171 24,621 25,183
x Outstanding debt issues administered $136 million $121 million $116 million
x Number of purchase orders issued 1,347 1,314 1,671
x Dollar amount of purchase orders issued $56 million $28 million $32 million
x Pieces of mail processed 126,388 143,514 126,663
D-5
PROGRAM: FINANCE PAGE THREE
FUND: GENERAL & ENTERPRISE
PROGRAM GROUP: FINANCE ACCT NO. 0011310
KEY ACHIEVEMENTS FOR 2014-15:
x Continued to maintain a balanced budget through the recovering economy, without using city reserves.
x Closely monitored the economy and provided frequent updates to the City Council on the city’s Ten-Year Financial
Forecast to ensure the General Fund remained in balance throughout the year and into the future.
x Completed Phase I of an electronic funds transfer (EFT) program for the city’s vendors.
x Assisted with the implementation of internal controls, procedures and policies with the new Alga Norte Park and
Swim Complex operations.
x Completed internal audits/reviews of citywide cash holdings and began an audit of citywide fixed assets.
x Worked with the Human Resources Department to implement a new pay for performance system including the
training of employees and Human Capital Management System (HCMS) modifications.
x Continued the implementation of additional phases of the HCMS.
x Completed the first online open enrollment creating significant efficiencies and increased accuracy.
x Several staff members completed the University of San Diego Project Management Certificate Program.
x Updated the city’s Cost Allocation Plan and Fee Study.
x Completed the reconciliation of the Fleet Replacement Fund.
x Began the implementation of the new Enterprise Content Management (ECM) system.
x Began the implementation of the new Integrated Community Development System (ICDS) focusing on the
business license component of the system.
x Implemented Government Accounting Standards Board (GASB) 68 which requires the city to disclose additional
pension related data in its financial statements.
x Initiated the process of seeking reimbursement from the Federal Emergency Management Agency (FEMA) and
the California Office of Emergency Management (CalOES) for city fire suppression and recovery efforts associated
with May 2014 Poinsettia fire.
x Completed the preparation of financial policies to be incorporated into the final adopted budget.
x Implemented the administration of a short term vacation rental program in the city.
KEY GOALS FOR 2015-16:
x Continue to monitor the economy and its impact to the Ten-Year Financial Forecast to ensure the General Fund
remains in balance.
x Continue to explore financing alternatives for College Blvd., Reach A.
x Continue to audit internal operations of the city, as well as external vendors/customers as appropriate.
x Work with the Information Technology Department on the reconciliation of the Information Technology
Replacement Fund.
x Work with Community and Economic Development on the simplification of the current fee schedule.
x Complete and implement a citywide fraud hotline system.
x Initiate an audit of the HCMS focusing on proper internal controls and payroll accuracy, and complete a review of
the city’s cable franchise fees.
x Prepare a list of projects that will individually exceed the Proposition H $1 million cap and submit the list to voters
in the November 2016 election.
x Update and document various financial policies.
x Continue to perform various transient occupancy tax (TOT) audits.
x Work with the Information Technology Department to develop a strategic plan for a future Enterprise Resource
Planning (ERP) system.
x Implement the TeleStaff Police scheduling and Fire scheduling upgrade.
x Implement the leave module component of the Human Capital Management System (HCMS).
x Work with the Human Resources Department to develop a part-time, hourly employees paid leave program.
x Continue the roll out of the city’s new accounts payable electronic funds transfer (EFT) program.
D-6
PROGRAM: FINANCE PAGE FOUR
FUND: GENERAL & ENTERPRISE
PROGRAM GROUP: FINANCE ACCT NO. 0011310
x Assist the Public Works Department with a cost study for potable water, recycled water and solid waste services.
x Complete the implementation of the new Integrated Community Development System (ICDS).
x Complete the implementation of the new Enterprise Content Management (ECM) system to include workflows for
contract and agenda bill processing, as well as an e-signature policy.
x Call bonds using surplus construction funds in Community Facilities District No. 3.
x Complete the reimbursement process for fire suppression and recovery efforts associated with the May 2014
Poinsettia fire.
x Refund surplus construction funds to property owners in the Alga Road assessment district.
x Work with the Human Resources Department to develop an Employee Onboarding Program.
SIGNIFICANT CHANGES:
x Combined a 0.5 position in Finance with a 0.5 position in Community and Economic Development to create a 1.0
full-time receptionist position for the Faraday Center.
x Created a permanent 0.5 position in Finance to assist with the Accounts Payable Division in the city.
x Reclassified the previously unfunded Assistant Finance Director position to a Real Estate Manager position.
Comm Dev
Community Development
Community & Economic Development Director Housing & Neighborhood Services Building Economic Development Land Development Engineering Planning Community & Economic Development Org Chart by Function
Comm Services
Community Services
Library and Cultural Arts Director Dove Lane Library Cole Library Learning Center Cultural Arts Office Parks & Recreation Director Parks, Trails & Lagoons Recreation Services Park Planning Community Services Org Chart by Function
F-1
PROGRAM: COMMUNITY SERVICES
FUND: VARIOUS
PROGRAM GROUP: VARIOUS SUMMARY
2012-13
ACTUAL
2013-14
ACTUAL
2014-15
BUDGET
2015-16
BUDGET
PERSONNEL $13,686,932 $14,301,348 $15,448,168 $15,617,527
MAINTENANCE & OPERATIONS 16,796,486 18,520,298 19,696,075 21,560,772
CAPITAL OUTLAY 623,540 692,297 0 318,187
GRAND TOTAL $31,106,958 $33,513,943 $35,144,243 $37,496,486
FULL TIME POSITIONS 119.65 118.85 111.85 108.65
HOURLY/FTE POSITIONS 118.11 135.10 137.79 139.83
LIBRARY & CULTURAL
ARTS
33%
PARKS &
RECREATION
67%
Public Safety
Public Safety
Police ChiefField OperationsPatrolCommunicationsInvestigationsInformation TechnologyRecordsSpecial InvestigationsSupport ServicesFire ChiefEmergency PreparednessEmergency OperationsSupport ServicesFire PreventionPublic Safety Org Chart by Function
Public Works
Public Works
Public Works Director Environmental Management Storm Water Protection Solid Waste Management Habitat Management Property & Fleet Management Facility Maintenance Safety Training Center Fleet Maintenance & Replacement Transportation Traffic & Mobility Construction Management & Inspection Street & Storm Drain Engineering Transportation Engineering & CIP Buena Vista Channel Utilities Water Wastewater Recycled Water Administration Public Works Org Chart by Function
H-22
PROGRAM: SOLID WASTE MANAGEMENT
FUND: ENTERPRISE
PROGRAM GROUP: ENVIRONMENTAL MANAGEMENT ACCT NO. 520XXXX
2012-13
ACTUAL
2013-14
ACTUAL
2014-15
BUDGET
2015-16
BUDGET
PERSONNEL $103,439 $43,933 $106,005 $175,422
MAINTENANCE & OPERATIONS 381,013 379,372 500,460 524,630
CAPITAL OUTLAY 220 17,302 0 0
GRAND TOTAL $484,672 $440,607 $606,465 $700,052
FULL TIME POSITIONS 1.10 1.00 1.00 1.60
HOURLY/FTE POSITIONS 0.00 0.00 0.00 0.00
WORK PROGRAM:
The Environmental Management division of the Public Works Department is responsible for the waste reduction and
recycling components of the Source Reduction and Recycling Element and Household Hazardous Waste Element of
the General Plan to comply with state mandated AB939, AB341, and SB1016 diversion and disposal requirements.
The Division also administers and monitors the Coast Waste Management contract for recycling and trash services,
the Palomar Transfer Station agreement, a contract with Solana Center for composting services and the Regional Solid
Waste Association for household hazardous waste services.
PERFORMANCE MEASURES:
Customer Satisfaction
x Ninety five percent (95%) are satisfied with trash collection services based on Fiscal Year 2013 results.
x Ninety three percent (93%) are satisfied with recycling collection services based on Fiscal Year 2013 results.
Cost Efficiency
x Commercial and residential rates continue to be in the lowest third in San Diego County when compared to our
benchmark partners.
Disposal Rate
x In 2013, the disposal rate (pounds per person per day) as reported to CalRecycle is 6.5, below the maximum target
of 8.4.
PROGRAM ACTIVITIES:
x Maintain and improve the city’s compliance with AB939 Integrated Waste Management Act of 1989, AB341
Mandatory Commercial Recycling, and SB1016 Solid Waste per Capita Disposal Measurement Act.
x Represent the city at meetings with the State of California regulatory agency CalRecycle, businesses, residents,
regional partners and other stakeholders.
x Oversee contract management for residential recycling, green waste, electronic waste, composting, household
hazardous waste, bulky items, shredding, and trash programs.
x Work with City Facilities, Custodial, Library, and Parks staff to improve the city’s municipal recycling and waste
diversion operations.
x Implement an outreach program and monitor results for businesses to encourage recycling and waste reduction.
x Administer and monitor the lease agreement with Palomar Transfer Station.
x Prepare state and county grant applications with Council approval, appropriate funds, implement grant activities
and track financials, and submit reports.
x Coordinate outreach and education to residents, businesses, municipal employees and the general public about
Recycling resources and Trash disposal.
x Conduct annual rate analysis compared to index pricing.
x Prepare and submit required annual recycling, composting, and disposal reports to CalRecycle as required by SB
1016-– Solid Waste per Capita Disposal Measurement Act.
H-23
PROGRAM: SOLID WASTE MANAGEMENT PAGE TWO
FUND: ENTERPRISE
PROGRAM GROUP: ENVIRONMENTAL MANAGEMENT ACCT NO. 520XXXX
PROGRAM ACTIVITIES: (continued)
x Participate in regional activities with the Countywide Technical Advisory Committee.
x Research innovative environmental stewardship best practices to improve diversion rates for all materials including
organic waste.
KEY ACHIEVEMENTS FOR 2014-15:
x Held the ninth annual special collection event for Household Hazardous Waste while using grant funding for
promoting and volunteers to help staff the event.
x Continued to review special event applications for compliance with recycling and trash best practices.
x Continued maintaining and improving working relationships with state regulators, contractors and regional
stakeholders.
x Responded to CalRecycle’s compliance questions related to previous year’s annual report of existing programs
activities and statistics. x Actively promoted innovative methods to engage businesses and residents to increase recycling and waste
diversion.
KEY GOALS FOR 2015-16:
x Expand emphasis on commercial recycling and improve outreach to businesses.
x Review, prioritize, and implement improvements needed based on feedback from CalRecycle in the mandatory
commercial recycling and construction/demolition recycling programs. x Continue monitoring and analyzing outcomes of the trash services agreement with Coast Waste Management. x Continue tracking disposal rate (pounds per person per day).
x Evaluate household hazardous waste program participation.
x Ensure grant monies are appropriated and utilized to maximum efficiency.
x Evaluate new programs to meet AB1826 – Organics Recycling which requires businesses to recycle their organic
waste starting January 1, 2016.
x Seek technical assistance to provide outreach on commercial food scrap diversion.
x Continue researching compliance requirements and implementing corresponding activities. x Increase outreach and education to residents, businesses, municipal employees and the general public about
recycling resources and trash disposal efforts.
SIGNIFICANT CHANGES:
x AB1826– Organics Recycling will require businesses to recycle their organic waste starting January 1, 2016.
x A total of 0.60 full-time positions have been reallocated from other division to better reflect each division’s workload.
H-24
PROGRAM: STORM WATER PROTECTION
FUND: ENTERPRISE
PROGRAM GROUP: ENVIRONMENTAL MANAGEMENT ACCT NO. 5215110
2012-13
ACTUAL
2013-14
ACTUAL
2014-15
BUDGET
2015-16
BUDGET
PERSONNEL $627,813 $580,634 $577,546 $553,295
MAINTENANCE & OPERATIONS 485,556 555,944 794,760 844,996
CAPITAL OUTLAY 0 0 0 0
GRAND TOTAL $1,113,369 $1,136,578 $1,372,306 $1,398,291
FULL TIME POSITIONS 6.05 5.70 5.35 4.95
HOURLY/FTE POSITIONS 0.00 0.00 0.00 0.00
WORK PROGRAM:
Provide leadership and stewardship of the city’s resources protecting our beaches, creeks, and lagoons. Coordinate
the citywide Storm Water Protection Program and maintain compliance with the Existing Development section of the
Municipal Storm Water Permit issued by the San Diego Regional Water Quality Control Board through the following
program activities.
PERFORMANCE MEASURES:
x Customer Service: No beach postings related to urban runoff within the City of Carlsbad; no Notices of
Violation for the Existing Development section of the city’s storm water program as required by Regional Board
Order R9-2013-0001
x Customer Satisfaction: For any issue related to an illicit discharge into the street or storm drain system that is
currently occurring, an environmental specialist will be onsite within 45 minutes from the receipt of the issue
via the storm water hotline or email, 90% of incidents. A representative sample of residents that report a
change in behavior to prevent water pollution based on outreach received is at least 75% or higher.
x Costs Efficiency: Cost per capita for storm water protection program.
x Internal Divisional Performance Measures: Costs are calculated per Customer Service issue or investigation
to ensure competitive implementation of permit requirements while maintaining the highest level of customer
service to residents and protection of the city’s natural resources. Costs are calculated per business inspection
and compared to contractor costs to ensure best value implementation of permit requirements while
maintaining the highest level of customer service.
PROGRAM ACTIVITIES:
1. City Representation - The Storm Water Protection Program personnel represent the city at meetings with the
Environmental Protection Agency, the Regional Water Quality Control Board, Copermittees, environmental non-
profit groups, and other related stakeholders. .
2. Watershed Principal and Participation – The Storm Water Protection program personnel participate in watershed
activities with neighboring cities in the Carlsbad Watershed. Activities are focused on preparing the Water Quality
Improvement Plan (WQIP) for the Carlsbad Watershed to be submitted in June 2015, and then implementing water
quality protection activities in FY 15-16. As the Principal Copermittee for the Watershed, the city serves as a
liaison with the San Diego Regional Water Quality Control Board and participates in the San Diego County
Copermittees Regional Program Planning Committee.
3. Water Quality Monitoring - The Storm Water Protection Program staff developing and implementing a monitoring
program to evaluate Municipal Separate Storm Sewer (MS4) discharges. Required monitoring programs include
Receiving Water monitoring, MS4 outfall discharge monitoring, Sediment Quality monitoring and various Special
Studies.
4. Education/Outreach and Public Participation – The Storm Water Protection Program staff implement a public
outreach and educational program to promote and encourage behavior changes that reduce the discharge of
pollutants into the MS4 and protect water quality in our receiving waters. Outreach to municipal staff is conducted
to inform and educate employees and city contractors on the requirements for municipal facilities and operations.
H-25
PROGRAM: STORM WATER PROTECTION PAGE TWO
FUND: ENTERPRISE
PROGRAM GROUP: ENVIRONMENTAL MANAGEMENT ACCT NO. 5215110
PROGRAM ACTIVITIES (continued):
5. Business Program – Businesses are assessed using either a property-based method or as a single entity to ensure
the use of proper Best Management Practices and Pollution Prevention activities, to prevent discharges into the
MS4 and protect receiving waters. Follow–up visits and targeted education may be required.
6. Illicit Discharge Detection and Elimination (IDDE) – The permit requires an IDDE program to detect and eliminate
illicit discharges into the MS4. This program includes the response to, and investigation of, potential illicit
discharges in the city, field screening at major outfalls and the management of a public hotline.
7. Municipal Program - The permit requires that all existing municipal facilities be inspected, with programs reviewed
and modified as needed to prevent or reduce the pollutants in runoff. The permit also requires review of pesticide,
herbicide, and fertilizer use at all municipal facilities.
8. Annual City Report Writing - Program personnel are responsible for compiling the annual Jurisdictional Runoff
Management Program (JRMP) report. In addition, program personnel coordinate the writing of the new program
documents at the beginning of each permit cycle.
9. Inter-departmental Support - The Storm Water Protection Program continues to work inter-departmentally on storm
water and other environmentally-related activities, such as with the Carlsbad Fire Department during emergency
response, Land use Engineering, the Construction Management Division, and the Transportation, Facilities and
Utilities Department.
10. Total Maximum Daily Load (TMDL) Regulation Management - In the past few years, the Regional Water Quality
Control Board has issued several draft and final TMDL orders that affect the City of Carlsbad. The Storm Water
Protection Program has proactively spent resources to track pending regulations, review drafts, comment,
coordinate watershed or Hydrologic Area (HA) communication and meetings, gather water quality information, and
submit formal de-listing applications. To date, the program has successfully processed three de-listings: a) the
Pacific Ocean from Buena Vista Lagoon mouth south to Pine Street for bacteria, b) Agua Hedionda Lagoon for
sediment, and c) Agua Hedionda Lagoon for bacteria. The program is currently analyzing other 303(d) impaired
water bodies for availability and accuracy of water quality data.
KEY ACHIEVEMENTS FOR 2014-15
x Facilitated public panel workshops required by the new permit on behalf of the watershed agencies.
x Worked inter-departmentally to prepare for implementation of the new National Pollutant Discharge Elimination
System Municipal permit and possible impacts to the city.
x As the Carlsbad Watershed principal, managed the contract for a Watershed Coordinator to assist the watershed
agencies with developing the Water Quality Improvement Plan to optimize the watershed’s compliance with the
new permit.
x Continued San Marcos HA participation in the Beaches and Creeks Bacteria TMDL.
x Strengthened partnerships with other stakeholders within the region on a TMDL Reference Study to provide
accurate and scientifically valid data for future TMDL regulations.
x Revised and updated Divisional procedures and work plan to better define and monitor program performance and
costs.
x Worked inter-departmentally to prepare the Jurisdictional Runoff Management Plan to direct the implementation
of strategies developed in the Water Quality Improvement Plan.
x Continued working on citywide project teams to implement the Integrated Community Development System
(ICDS).
x Participated in Beach Fest 2014, Village Street Faire, Carlsbad Love It, Beaches to Creeks cleanup event, and
other outreach and education activities within the City of Carlsbad and regionally.
x Successfully completed a safety audit with no documented issues.
KEY GOALS FOR 2015-16:
x Continue to support Carlsbad’s quality of life by responsibly managing environmental resources in partnership with
our stakeholders.
x Continue serving as the Principal Copermittee for the Carlsbad Watershed Management Area.
x Implementing the WQIP on behalf of the Carlsbad Watershed to the San Diego Regional Water Quality Control
Board.
x Incorporate innovative methods to implement the city’s JRMP in conjunction with the Carlsbad Watershed WQIP.
x Expand use of tablet computers in the field to access and record data in other components, and facilitate
implementation of the new permit.
x Continue actively working on acquiring new data management software in conjunction with citywide ICDS team.
H-26
PROGRAM: STORM WATER PROTECTION PAGE THREE
FUND: ENTERPRISE
PROGRAM GROUP: ENVIRONMENTAL MANAGEMENT ACCT NO. 5215110
KEY GOALS FOR 2015-16 (continued):
x Continue streamlining programs and improving efficiencies where possible.
x Proactively submit TMDL de-listing applications for 303(d) listed impaired water bodies where complete and
accurate water quality data are available.
SIGNIFICANT CHANGES:
x Minor reallocations of full-time positions for Environmental Manager, Senior Office Specialist and Management
Analyst to better reflect work assignment.
x A total of 0.40 full-time positions have been reallocated to other divisions to better reflect each division’s workload.
Capital Improvement Program
Capital Improvement Program
Overview
Overview
2015-16 CAPITAL IMPROVEMENT PROGRAM
I-1
OVERVIEW
The City of Carlsbad Capital Improvement Program (CIP) is a 15 year planning document that
outlines the expenditure plan for future capital projects and the corresponding revenues to pay for
those expenditures. The CIP is a financial planning document, not a commitment for spending. All
construction costs are estimates and are reviewed and further refined each year. Spending
authorization is given only at the time the City Council formally adopts the proposed budget, and,
at that time, funds are only appropriated for the upcoming fiscal year. Information is shown in
subsequent years to provide the most comprehensive overview of all the known future facilities the
City of Carlsbad plans to construct.
The Fiscal Year (FY) 2015-16 Capital Improvement Program outlines approximately $73.5 million
in new appropriations to provide additional funding for the continuation of existing projects as well
as funding for new projects. Projected revenues during the same fiscal year are estimated at $45.2
million. As the city continues to grow and develop, there is a corresponding increase in the demand
for development-related services and new facilities. To ensure that the necessary infrastructure
and facilities are built on a schedule that meets or exceeds this demand, the citizens of Carlsbad
adopted a Growth Management Plan in 1986. The Growth Management Plan states that unless a
standard level of facilities is available to meet new demands resulting from the city’s growth,
development cannot proceed. This Plan is the foundation for making decisions about the timing
and prioritization of the capital projects under consideration. A discussion of the city's Growth
Management Plan is located at the end of this report. The remainder of the report explains the
process and the results of the city’s plan for its capital facilities.
Proposition C was approved by the voters of Carlsbad in November 2002. It allowed the city to
expend over $1 million (per project) of city funds to help finance the following projects:
x City/Safety Training Center
x A portion of Cannon Road – East of College (Reach 4)
x Trails and Open Space
x Alga Norte Swimming Pool Complex
After the voters approved the ballot initiative, the city set aside $35 million for Proposition C projects.
Currently, $16.3 million has been appropriated for Alga Norte Park, $13.7 million has been
appropriated for the Joint First Responders Training Facility, and $5 million has been allocated to
Trails and Open Space.
It is still anticipated that the city will continue to meet its growth management standards. This
reflects the Council’s continued commitment to construct the facilities as needed to serve the
current and anticipated development occurring throughout the city.
PROJECT EVALUATION
Projects that are shown in the CIP are generally defined as any construction (or
reconstruction/replacement) of major infrastructure such as streets, libraries, parks, fire stations
and administrative facilities, water, sewer and drainage facilities, and other facilities that are located
on or in the ground. In most cases, the total construction cost of each of these assets is recorded
and tracked as part of the city’s inventory of capital infrastructure assets and other city-owned
property.
2015-16 CAPITAL IMPROVEMENT PROGRAM
I-2
The CIP and the Operating Budget are integral
parts of the total city financing plan. Staff began
the process by evaluating the construction
schedules for city facilities in conjunction with the
workload of the staff needed to complete the
projects. Staff also met with the City Council to
identify their priorities, and to ensure that the CIP
was in alignment with the Council and
Community Vision. In the FY 2015-16 CIP, there
are approximately 240 continuing and new
projects planned in the next 15 years. All
projects were analyzed using the criteria shown
in the table. Project timing was reviewed, and an
evaluation of the availability of capital
construction funds as well as operating funds
was then factored into the evaluation process.
CAPITAL PROJECTS
The following two sections provide information about the major capital projects. The first section
focuses on projects planned in the next five years, and the second section contains an overview of
the entire expenditure plan through FY 2029-30 (the next 15 years). All construction costs are
estimates and only projects scheduled for FY 2015-16 receive appropriations. The information
shown in the future years reflect the most comprehensive snapshot of the known future facilities
and their associated cost at this point in time.
THE NEXT FIVE YEARS
PARK PROJECTS
The city is in the process of updating existing city park master plans based on the outcomes of a
recent needs assessment that re-evaluated current and future park needs.
Multi-Use/Multi-Generational Community Center – As a result of the needs assessment, funds are
included to study the feasibility of a multi-use, multi-generation indoor community center, located
at Poinsettia Park, which will serve a larger cross section of the community.
Leo Carrillo Phase III – Located in the
southeast quadrant of the city, a recent
update re-evaluated the remainder of the
Carrillo Ranch Master Plan and
prioritized projects based on community
input to make sure that the proposed
project amenities are serving the greatest
need of the community. Expenditures
include restoration of the horse stables.
The total estimated cost is $980,000.
Project Ranking Criteria
1. Is the project required to ensure the health
and safety of the citizens, as the result of a
legal mandate?
2. Is the project needed soon for growth
management compliance?
3. Is the project needed now for other city
standards (example: ball field standards)?
4. Does the project complete or provide part of
the basic infrastructure (example: a linking
road segment)?
5. Are there other reasons to construct the
project (example: Council priority, timing or
funding opportunity, public demand)? Are
operating funds available to operate the
facility?
2015-16 CAPITAL IMPROVEMENT PROGRAM
I-3
Pine Avenue Park Community Facility and Garden Areas – The remaining elements of the park
include a multi-purpose community center and gymnasium, a community garden with rentable
plots, and a botanical/ornamental garden. This final phase of the park is estimated at $10.4 million.
Aviara Community Park Amphitheater and Picnic Areas – The additional park amenities include a
large passive outdoor community social space with a small amphitheater, group picnic areas, a
perimeter walking path and a warming kitchen complete with appliances to support outside catering
and food and beverage services and small events. The total cost is $3.1 million.
Poinsettia Community Park – Park improvements include a fenced dog park for both large and
small dogs, updated tot lots and a multi-sports arena with a picnic area and artificial turf field, at a
total cost of $3.9 million.
Outdoor Adventure Park Feasibility Study – The proposed Capital Plan includes funding to study
the feasibility and possible location of an outdoor adventure park for recreational activities not
typically done in community centers or gymnasiums, such as a bike skills course, rope skills, zip
lines, and rock climbing.
CIVIC FACILITIES
Civic facilities include a variety of facilities from which the city can offer its services to the public.
Library Renovation Projects – Funding was previously budgeted for significant renovation projects
at the Dove and the Cole libraries. Improvements are designed to accommodate current staffing
needs, meet patron demands for modern library services and allow for better wireless and
communications services for the public. Renovation at Cole Library is expected to begin in the fall
of 2015 and be complete around the end of the year. Dove Library improvements will begin after
the Cole Library is re-opened and is planned for completion by June 2016.
Safety Center Improvements – Improvements include new and renovated office space, a new lobby
wall, an expanded women’s locker room and dispatch area, as well as lighting and HVAC
improvements. The total estimated cost is $3.2 million.
Maintenance & Operations Center – This city facility will bring together offices, the maintenance
yard, a warehouse, and parking to accommodate the various work groups at one location, currently
planned near the existing Safety Center and Fleet yard. The total estimated construction cost is
$25.9 million.
Facilities Maintenance – As the city facilities begin to age, maintenance
and repair projects are needed to keep them in good condition. New
projects have currently been identified at a total cost of about $8.9 million.
Projects are planned at the following locations:
x Aviara Community Park – Synthetic turf replacement
x City Hall Complex refurbishment
x EOC Relocation
x Faraday Facility rehabilitation
x Fire Station No. 1
x Fleet Maintenance
x Harding Center
Trails – Additional funding is included for the Lake Calavera Trails system for restrooms and a
drinking fountain.
2015-16 CAPITAL IMPROVEMENT PROGRAM
I-4
STREET AND CIRCULATION PROJECTS
People of all ages and abilities want to go places safely and conveniently in Carlsbad. Whether
they drive, walk, bike, or ride a bus or train. The livable streets concept, also called "complete
streets," acknowledges that streets are an important part of the livability of today's communities
and ought to be for everyone. Carlsbad has made livable streets a priority when planning and
constructing improvements to city roadways. In addition to constructing improvements, the city
continues to invest in the maintenance and operation of the transportation infrastructure by
providing timely repairs and rehabilitation of the public assets associated with the roadways and
public rights of way throughout the city.
ADA Improvements – ADA projects throughout the city are scheduled for $1.2 million in funding
over the next five years. The project includes various accessibility improvements, including
sidewalk curb ramps and pedestrian signals.
Public Beach Access Improvements – This project will make improvements to beach access
locations along Ocean Street, including removal and replacement of stairs, installation of shade
structures, improved signage, trash receptacles and landscaping. The total cost is $2.6 million.
Avenida Encinas Widening – Widening to full secondary arterial standards along Avenida Encinas
from Palomar Airport Road to just south of Embarcadero Lane is scheduled for design in FY 2016-
17. The CIP includes $5.4 million to fund this project in the next five years.
Street Road Diet and Traffic Calming Projects along Chestnut Avenue, Valley Street, Kelly Drive,
and La Costa Avenue – Three new projects are planned in the next five years to provide complete
street solutions so that the varied user of these roads, including pedestrians and bicyclists, are
provided for in a balanced and equitable manner. The total cost is estimated at $8.2 million.
Intersection Improvements – Two intersection projects along El Camino Real - at Cannon Road
and at College Boulevard are scheduled to receive an additional $775,000 in the next five years.
El Camino Real Widening – There are a number of projects that are scheduled over the next five
years that will focus on the widening of El Camino Real to prime arterial roadway standards, in
addition to other improvements, such as median construction. The projects include widening from
Cassia Road to Camino Vida Roble, Arenal Road to La Costa Avenue, Lisa Street to Crestview
Drive and Tamarack to Chestnut. In the next five years, $4.9 million in additional funding is included
for these projects, which are expected to cost over $20 million by completion.
Pavement Management – Carlsbad’s local streets are maintained on a regular cycle to ensure a
good riding surface and to extend the life of the streets. Part of the maintenance program is the
sealing and overlay of the existing street surface. In addition, any problem areas are addressed
as they are identified. The FY 2015-16 CIP has $18.5 million budgeted in the next five years for
this program.
Parking Lot Maintenance Program – Parking lot maintenance is a relatively new program and is
scheduled to receive funding of $845,000 in the next five years.
Concrete Repair and Maintenance – The proposed spending plan included $1 million in the next
five years for repairs to sidewalks, curb and gutter, pedestrian ramps, driveway approaches and
cross gutters.
Traffic Signals – In the next five years, four traffic signal installations are planned at the following
locations, at a total cost of $780,000:
2015-16 CAPITAL IMPROVEMENT PROGRAM
I-5
x El Fuerte Street and Rancho Pancho
x Faraday Avenue and Camino Hills Drive
x Faraday Avenue and Palmer Way
x La Costa Avenue and Levante Street
WATER/WASTEWATER PROJECTS
The city’s water and wastewater projects are vital to the continued health and welfare of its citizens.
Most new lines are built and paid for by developers. As the city ages, it will become necessary to
repair and replace the lines that already exist, and an increase in these projects is anticipated in
future years. In the next five years, an additional $32.4 million in funding is scheduled for both new
and replacement water and sewer projects.
Vista/Carlsbad Interceptor & Agua Hedionda Lift Station Replacement – This project consists of a
set of individual projects that will ultimately construct a parallel sewer interceptor system to
accommodate existing and future sewer flows from the cities of Vista and Carlsbad. The individual
projects include a main in Jefferson Street, replacement of the Agua Hedionda Lift Station, and a
main from the lift station to the Encina Wastewater Facility. The overall total cost estimate for this
set of projects totals $64.3 million, of which the remaining $20 million is to be funded by the City of
Carlsbad, with the remaining $44.3 million to be funded by the City of Vista.
Wastewater
Other wastewater facilities scheduled for construction or replacement within the next five years
include:
x Buena Interceptor Sewer Improvements
x Chinquapin
x Crest Drive
x Faraday/El Camino Real Sewer Replacement
x Las Palmas Trunk Sewer
x Marron Road
x North Batiquitos
x Poinsettia Lane Lift Station Emergency Overflow Basin
x Quarry Creek Sewer Extension
x Terramar Sewer Replacement
In addition to the new construction and replacement projects and ongoing condition assessments,
repairs and upgrades to the city’s wastewater facilities are expected to cost $2.1 million in the next
five years.
Water Lines
Major water facilities scheduled for construction or replacement within the next five years are
estimated at $35.9 million, and include the following locations:
x Aviara Parkway and Plum Tree
x Carlsbad Boulevard – South of Avenida Encinas
x Crestview Drive
x El Fuerte and Corintia
x Fire Flow System Improvements
x Hydroelectric Generator at Palomar Airport Road/White Sands
x La Costa High Reservoir Inlet Pipeline
2015-16 CAPITAL IMPROVEMENT PROGRAM
I-6
x Maerkle Reservoir Floating Cover Replacement
x Maerkle Pump Station Improvements and Transmission Main
x Poinsettia Lane – Casia Road to Skimmer Court
x Santa Fe II Inlet Pipeline
x Tri-agencies Water Transmission Pipeline Replacements
Recycled Water Expansion
Expansion to the Carlsbad Water Recycling Facility, including
construction of additional pipelines and a reservoir, are anticipated
to cost $30 million. These facilities are expected to meet the 76
percent increase in future recycled water demand. The expansion
is expected to increase the recycled water supply from 4 to up to 8
mgd (million gallons per day). With diminishing potable water
resources available, alternative supplies such as recycled and
desalinated water become increasingly important in supplementing
the total water supply.
DRAINAGE PROJECTS
The city’s drainage infrastructure plays an important role in handling storm water runoff flows, as
well as maintaining the water quality of the city’s creeks, lagoons and ocean. Carlsbad supports
programs that will ensure that all water bodies within the city are safe and clean and, where
possible, open to the public at all times. The system consists of drainage pipes 30-inches or larger
in diameter, large concrete and rock lined channels, permanent sedimentation basins and
miscellaneous large facilities. As the city continues to age, it will become necessary to repair and
replace the lines that already exist. An additional $1.3 million will be added to the program in the
next five years.
CAPITAL PROJECTS THROUGH FISCAL YEAR 2029-30
The CIP for FY 2015-16 to FY 2029-30 outlines approximately 240 projects at a cost of $454.9
million as shown below:
OVERVIEW OF FY 2015-16 TO 2029-30
The spending plan includes $82.5, million, or 18 percent for future park development projects
located within all four quadrants of the city.
Approximately 28 percent of future expenditures, or $125.9 million, are planned for street and traffic
signal construction projects. Projects include several road-widening projects, road diet and traffic
Project Type Percent Total Cost
Streets/Circulation 28%125,926,075
Civic Projects 17%79,140,455
Wastewater 15%67,715,887
Parks 18%82,496,360
Water 14%63,247,275
Drainage 3%15,549,012
Other (loans)5%20,839,636
Total Future 100% 454,914,700
CIP Projects - All Future Project Costs
2015-16 CAPITAL IMPROVEMENT PROGRAM
I-7
calming projects, Carlsbad Boulevard Realignment, and funding for sidewalk construction, concrete
repair work, ADA projects, and parking lot and pavement maintenance.
Wastewater projects are expected to cost over $67.7 million, or 15 percent for numerous pipeline
construction and rehabilitation projects.
Future water and recycled water projects include construction of new waterlines, both potable and
recycled, and expansion of the Carlsbad Water Recycling Facility. Replacement of existing potable
waterlines and reservoir improvements are also included in this category. A total of $63.2 million,
or 14 percent of the total CIP, is planned for these projects.
Construction and maintenance of civic facilities such as libraries, administrative buildings, and
police and fire facilities are currently estimated at $79.1 million, or 17 percent of the total planned
capital expenditures to build out.
Drainage projects are 3 percent of the total spending plan, at $15.5 million and the remaining 5
percent, or $20.8 million are for loans and repayments. There are times when one fund will loan
money to another fund to cover a temporary shortfall due to the timing of revenues and
expenditures. For example, the Sewer Replacement Fund loaned money to the Sewer Connection
Fund in the current fiscal year.
UNFUNDED PROJECTS
There are several projects identified in the CIP for which there is no identifiable funding source and,
in some cases, where only partial funding has been identified. The city will investigate obtaining
possible outside funding, such as federal and state grants, loans, or other financing sources. Once
funding is identified for these projects, the project costs will have to be reviewed and updated to
reflect actual cost estimates. The unfunded projects do not receive annual inflationary increases.
These projects are:
x Agua Hedionda Channel (partial)*
x Business Park Recreational Facility (partial)
x Cannon Lake Park
x Cannon Road - Reach 4B – Cannon Road/College Boulevard to City Limits (partial)
x Carlsbad Boulevard Widening Mountain View to Northerly City Limits (partial)**
x Carlsbad Boulevard/Palomar Airport Road Improvements (partial)**
x Carlsbad Boulevard Realignment, Segments 3-5
x Hosp Grove/Buena Vista Lagoon Improvements
x Pine Avenue Park – Madison Property Phase 2
x Robertson Ranch (NE Quadrant) Park Development (partial)
(*) The Agua Hedionda Channel project is funded in part with Planned Local Drainage Area
fees. The unfunded amount is listed in this section.
(**) These projects are in the Traffic Impact Fee (TIF) program approved by the City Council
on May 12, 2009, which was planned to generate enough revenue to pay for 20 percent of
the total cost of these projects, the remaining 80 percent is unfunded.
FUTURE GROWTH AND DEVELOPMENT
There are a variety of revenues that are used to fund the capital projects. In order to estimate
revenues received from development, several assumptions about the rate and type of future
development need to be made. These assumptions can change from year-to-year and tend to
correlate with the economic climate.
2015-16 CAPITAL IMPROVEMENT PROGRAM
I-8
Every year, city staff evaluates all existing and future private development projects and compares
this information to the capacity of the city using adopted general plans. Information about existing
development activity combined with estimates of how remaining net developable land might
develop is then summarized to prepare future projections about when and where residential and
non-residential development will occur. The following table shows the number of residential units
and non-residential square feet of development used in calculating estimated revenues for FY
2015-16 and subsequent years to build out.
Finance Department staff prepare financial forecasting schedules to ensure that funding will be
sufficient for construction of capital projects as planned in the CIP. In addition to evaluating whether
or not capital funds are sufficient, significant operating cost impacts and availability of staff
resources are also considered in evaluating the timing of projects. Where funding discrepancies
occur, alternative financing methods and project timing are again evaluated and recommendations
are made to resolve the discrepancies.
About 3,000 residential units are still planned over the next 15 years, or longer, and it is currently
estimated that the city is about 94 percent built out.
Residential development for FY 2015-16 is projected at 208 units, and, over the next five years
should average 348 units per year. This is compared to an average of over 274 units per year for
the previous five-year period. This is a short term spike due to the timing of some of the larger
remaining projects, and development is expected to decline after these projects are completed.
The amount of non-residential development is projected at about 844,000 square feet over the next
five years, a significant decrease from the prior five years at $1,847,000 square feet.
Projects include several neighborhood commercial/retail developments including an auto
dealership, a winery and culinary center, a senior care facility, a floral trade center, timeshares, and
other office and mixed use projects.
Development estimates provide the data and basis for estimating future fee revenues, which are
calculated by multiplying each applicable development fee by the estimated number of dwelling
units and/or square feet of construction expected during each year.
Residental Non-Residential
Year Units Square Feet
2015-16 208 245,355
2016-17 299 59,468
2017-18 322 161,485
2018-19 434 239,485
2019-20 475 137,985
2021-25 590 3,040,141
2026-30 673 3,685,553
Totals 3,001 7,569,472
Projected Development
Residential and Non-Residential Construcion
2015-16 CAPITAL IMPROVEMENT PROGRAM
I-9
REVENUES
Over the next 15 years, revenues for Capital Projects are an estimated $570 million and are
segregated into five major funding sources: (1) fees generated by development in Carlsbad, (2)
special district fees and taxes (Community Facilities Districts and Bridge and Thoroughfare Benefit
Districts), (3) water and wastewater replacement funds, (4) infrastructure replacement funds (other
than wastewater and water), and (5) other sources, including grants, bond issues, and contributions
from other agencies.
Capital Improvement Program Revenues
FY2015-16 to FY2029-30
$570 million
Approximately 21 percent of all capital revenue is received as a result of development, and is
dependent upon assumptions made about the city's annual growth in dwelling units and
commercial/industrial square feet. Development revenues include Public Facilities Fees (PFF),
Traffic Impact Fees (TIF), Park-In-Lieu Fees (PIL), Planned Local Drainage (PLD) Fees, Water
Connection Fees (MFF), and Sewer Connection charges. Revenue from special districts, such as
Community Facilities Districts (CFD) and Bridge and Thoroughfare Benefit Districts (BTD) comprise
4 percent of the total. Water and wastewater replacement revenues generated by user fees equal
approximately 30 percent of total revenues, and are used to pay for replacement of existing water
and sewer facilities. Infrastructure replacement revenues, equal to 28 percent, are transfers from
the city’s General Fund, which are being set aside to pay for replacement of major capital facilities
other than wastewater and water facilities. The remaining 17 percent consists of revenues from
other agencies and include federal and state grants, the county sales tax program (TransNet) and
contributions from cities, developers, and other agencies.
CALCULATION OF FUTURE FEES
The revenue projections in the Capital Improvement Program reflect the growth assumptions
identified in the previous section. The following information delineates how those assumptions
were applied to estimate future development revenues. The mix of multi-family and single-family
residential units is assumed to be 35 percent and 65 percent, respectively, and reflects the
Developer Fees
21%
Financing
Districts
4%
Utility
Replacement
Transfers
30%
Infrastructure
Replacement
Transfers
28%
Other Agencies
17%
2015-16 CAPITAL IMPROVEMENT PROGRAM
I-10
anticipated mix of residential development for each Local Facilities Management Zone. The building
permit valuation used for computing Public Facilities Fees is $180,437 per multi-family dwelling
unit, and $319,912 per single-family dwelling unit. A building permit valuation of $42 per square
foot of construction is used to calculate non-residential Public Facilities Fees.
In order to calculate estimated revenues for Traffic Impact Fees, the number of average daily trips
was computed for each type of development use. An attached multi-family residential dwelling unit
is assigned either eight or six trips and a detached single-family unit is assigned 10 trips per day.
The trips-per-day value for commercial and industrial buildings are 40 and eight trips per 1,000
square feet of development, respectively, although the actual volume of trips generated by
commercial/industrial building can vary widely depending on the ultimate land use.
Community Facilities District No. 1 is a citywide district established to finance various civic facilities
required under the city’s Growth Management Plan. CFD No. 3 was established for the Faraday
Avenue and Melrose Drive Extensions east of El Camino Real, as well as the extension of El Fuerte.
Park-in-Lieu Fees are collected for the purchase and development of parkland within each quadrant
of the city, and the fees are based on the acquisition cost of parkland. Projects in the CIP funded
with Park-in-Lieu Fees include future park site acquisition, development and restoration.
Bridge and Thoroughfare Fee Districts are formed by property owners to finance specific road
construction projects located within the district boundaries. Poinsettia Lane - Aviara Parkway (BTD
No. 2) was formed to finance the construction of Poinsettia Lane between Aviara Parkway and El
Camino Real and Aviara Parkway between Palomar Airport Road and Poinsettia Lane.
SUMMARY
The FY 2015-16 CIP is being driven by the city’s commitment to ensure that facilities are available
to serve the developing areas as well as the current residents. Carlsbad’s philosophy has been to
build quality capital facilities, which meet and, at times, exceed Growth Management standards, in
addition to reflecting the needs and wants of all who live, work and play in Carlsbad. Phasing
projects over a period of years to match funding availability for construction and operations is often
used to meet the needs of growth management. The FY 2015-16 Capital Improvement Program
reflects the commitment of Carlsbad’s City Council and staff to continue providing its residents with
a better quality of life.
2015-16 CAPITAL IMPROVEMENT PROGRAM
I-11
GROWTH MANAGEMENT PLAN
The Growth Management Plan was developed and voted into law by the citizens of Carlsbad in
1986. The plan was established to manage development within the city by linking residential,
commercial, and industrial development directly to standards for availability of public services and
facilities.
The Growth Management Plan has established precise standards for 11 public facilities. Standards
must be met at all times as growth occurs. Facilities for which standards have been established
are as follows:
- City Administrative - Library
- Wastewater Treatment - Parks
- Circulation - Drainage
- Fire - Open Space
- Schools - Sewer Collection
- Water Distribution
The plan requires that appropriate public facilities be available, in conformance with the adopted
performance standards, as development occurs. Unless all of the 11 public facility standards have
been met, no new development can occur.
The Growth Management Plan impacts both the Operating Budget and the Capital Improvement
Program. The detailed level of planning required by Growth Management has allowed Carlsbad’s
Capital Improvement Program to anticipate the funding needed for capital improvements in the next
15 years. The timing of construction of facilities is governed by the rate of development and the 11
performance standards. New public facilities often require additional staffing and other resources,
which affects the Operating Budget. Facilities such as community centers, parks, and fire stations
have been constructed and opened to the public under this program.
The Capital Improvement Program has been designed to specifically address areas where new or
expanded facilities will be needed to maintain compliance with the adopted performance standards.
With the adoption of the FY 2015-16 CIP, compliance with the Growth Management Plan is
continued.
CAPITAL FUNDS
JULY 1, 2014 PROJECTED JUNE 30, 2015
UNRESERVED PROJECTED PROJECTED DEBT SERVICE PROJECTED
FUND BALANCE REVENUES EXPENDITURES LOANS & OTHER BALANCE
BTD#2 - POINSETTIA LANE/AVIARA PKWY 10,568,389 197,184 0 0 10,765,573
BTD#3 - CANNON ROAD WEST 327,601 109,841 0 0 437,442
CFD #1 - CITYWIDE 70,189,516 1,943,625 0 145,916 71,987,225
GAS TAX 18,097,130 3,357,247 1,526,825 610,000 19,317,552
GENERAL CAPITAL CONST. 47,701,309 5,829,141 2,979,069 0 50,551,381
GRANTS - FEDERAL (22,030) 1,375,438 531,299 0 822,109
INFRASTRUCTURE REPLACEMENT 83,985,862 8,941,934 3,347,767 5,385,484 84,194,545
OTHER 2,714,323 153,605 0 0 2,867,928
PARK FEE ZONES 5,13,16 2,831,398 52,677 0 0 2,884,075
PARK-IN-LIEU NE 907,096 28,059 0 0 935,155
PARK-IN-LIEU NW 466,082 542,120 0 0 1,008,202
PARK-IN-LIEU SE 1,421,936 609,768 0 0 2,031,704
PARK-IN-LIEU SW 1,764,213 53,479 0 0 1,817,692
PLANNED LOCAL DRAINAGE 5,948,710 221,644 133,882 182,972 5,853,500
PUBLIC FACILITIES FEE 30,756,379 2,065,356 7,959,676 20,000 24,842,059
RANCHO SANTA FE ROAD PROJECT 1,849,953 6,953 45,883 1,212,568 598,455
SEWER CONNECTION 18,126,844 39,127,705 3,727,356 925,191 52,602,002
SEWER REPLACEMENT 30,229,414 4,808,660 4,156,016 0 30,882,058
TDA (30,992) 66,652 32,950 2,710 0
TRAFFIC IMPACT FEE 20,483,696 2,852,842 7,333,336 60,000 15,943,202
TRANSNET/BIKE 0 0 0 0 0
TRANSNET/HIGHWAY 0 0 0 0 0
TRANSNET/LOCAL 19,400,943 3,754,759 5,496,447 0 17,659,255
TRANSNET/STP 374,688 2,516 305,906 0 71,298
WATER - MAJOR FACILITY 26,745,906 811,359 4,982 0 27,552,283
WATER - RECYCLED WATER 0 16,100,000 15,152 0 16,084,848
WATER - REPLACEMENT 60,034,725 9,688,798 4,199,000 0 65,524,523
TOTAL 454,873,091 102,701,363 41,795,546 8,544,841 507,234,067
PROJECTED FUND BALANCES FOR FY 2014-15
I-12
CITY OF CARLSBAD
CAPITAL FUNDS
JULY 1, 2015 6/30/2015 7/1/2015 2015-16 JUNE 30, 2016
PROJECTED ESTIMATED CONTINUING NEW TOTAL CIP PROJECTED
FUND BALANCE REVENUES APPROPR. APPROPR. APPROPR. BALANCE
BTD#2 - POINSETTIA LANE/AVIARA PKWY 10,765,573 211,800 388,342 1,436,000 1,824,342 9,153,031
BTD#3 - CANNON ROAD WEST 437,442 80,386 0 0 0 517,828
CFD #1 - CITYWIDE 71,987,225 1,413,281 13,332,013 1,034,000 14,366,013 59,034,494
GAS TAX 19,317,552 2,328,279 13,526,765 4,636,530 18,163,295 3,482,536
GENERAL CAPITAL CONST. 50,551,381 0 16,469,356 13,689,955 30,159,311 20,392,070
GRANTS - FEDERAL 822,109 130,622 822,109 130,622 952,731 0
INFRASTRUCTURE REPLACEMENT 84,194,545 8,952,000 7,416,723 5,797,500 13,214,223 79,932,322
OTHER 2,867,928 567,000 1,664,231 567,000 2,231,231 1,203,697
PARK FEE ZONES 5,13,16 2,884,075 71,552 0 0 0 2,955,627
PARK-IN-LIEU NE 935,155 0 0 0 0 935,155
PARK-IN-LIEU NW 1,008,202 985,597 0 1,957,000 1,957,000 36,799
PARK-IN-LIEU SE 2,031,704 155,028 0 959,100 959,100 1,227,632
PARK-IN-LIEU SW 1,817,692 1,164,150 219,100 2,791,100 3,010,200 (28,358)
PLANNED LOCAL DRAINAGE 5,853,500 346,784 2,985,349 0 2,985,349 3,214,936
PUBLIC FACILITIES FEE 24,842,059 1,039,146 1,876,150 15,411,660 17,287,810 8,593,395
RANCHO SANTA FE ROAD PROJECT 598,455 0 520,170 0 520,170 78,285
SEWER CONNECTION 52,602,002 1,214,486 47,923,767 992,000 48,915,767 4,900,721
SEWER REPLACEMENT 30,882,058 4,225,000 19,563,911 6,241,116 25,805,027 9,302,031
TDA 0 0 0 0 0 0
TRAFFIC IMPACT FEE 15,943,202 1,034,547 12,638,719 696,000 13,334,719 3,643,030
TRANSNET/BIKE 0 0 0 0 0 0
TRANSNET/HIGHWAY 0 0 0 0 0 0
TRANSNET/LOCAL 17,659,255 3,802,459 6,770,761 2,516,923 9,287,684 12,174,030
TRANSNET/STP 71,298 0 39,092 0 39,092 32,206
WATER - MAJOR FACILITY 27,552,283 816,246 2,585,923 460,000 3,045,923 25,322,606
WATER - RECYCLED WATER 16,084,848 11,035,000 16,084,848 10,600,000 26,684,848 435,000
WATER - REPLACEMENT 65,524,523 5,633,000 39,178,880 3,563,075 42,741,955 28,415,568
TOTAL 507,234,067 45,206,364 204,006,209 73,479,581 277,485,790 274,954,641
PROJECTED FUND BALANCES FOR FY 2015-16
I-13
CITY OF CARLSBAD
CAPITAL FUNDS
REVENUES ACTUAL AND ESTIMATED
2011-12 2012-13 2013-14 2014-15 2015-16
ACTUAL ACTUAL ACTUAL PROJECTED ESTIMATED
FUND REVENUE REVENUE REVENUE REVENUE REVENUE
BTD#2 - POINSETTIA LANE/AVIARA PKWY 754,248 978,413 781,080 197,184 211,800
BTD#3 - CANNON ROAD WEST 1,933 121,728 40,415 109,841 80,386
CFD #1 - CITYWIDE 3,382,863 2,738,841 3,616,943 1,943,625 1,413,281
GAS TAX 3,246,871 2,572,724 3,713,486 3,357,247 2,328,279
GENERAL CAPITAL CONST. 2,226,470 147,721 2,023,514 193,657 0
GRANTS - FEDERAL 158,153 298,019 99,540 7,010,922 130,622
INFRASTRUCTURE REPLACEMENT 8,267,968 7,718,901 8,929,319 8,941,934 8,952,000
OTHER 25,185 7,325 33,555 153,605 567,000
PARK FEE ZONES 5,13,16 121,800 96,849 79,981 52,677 71,552
PARK-IN-LIEU NE 10,419 1,471 12,326 28,059 0
PARK-IN-LIEU NW 145,792 239,643 76,543 542,120 985,597
PARK-IN-LIEU SE 284,214 13,434 199,290 609,768 155,028
PARK-IN-LIEU SW 881,352 65,918 23,977 53,479 1,164,150
PLANNED LOCAL DRAINAGE 225,052 498,903 229,892 221,644 346,784
PUBLIC FACILITIES FEE 3,224,274 2,253,212 2,937,401 2,065,356 1,039,146
RANCHO SANTA FE ROAD PROJECT 57,471 2,951,512 1,442,457 6,953 0
SEWER CONNECTION 1,107,247 542,008 835,100 39,127,705 1,214,486
SEWER REPLACEMENT 4,022,001 4,772,543 4,524,527 4,808,660 4,225,000
TDA 208,672 0 599,862 66,652 0
TRAFFIC IMPACT FEE 1,719,138 1,488,403 1,069,174 2,852,842 1,034,547
TRANSNET/BIKE 396 122 629 0 0
TRANSNET/HIGHWAY 16,490 1,575 0 0 0
TRANSNET/LOCAL 1,807,535 761,273 3,085,462 3,754,759 3,802,459
TRANSNET/STP 4,301 608 5,089 2,516 0
WATER - MAJOR FACILITY 1,516,854 1,232,974 1,058,370 811,359 816,246
WATER - RECYCLED WATER - 0 0 16,100,000 11,035,000
WATER - REPLACEMENT 5,992,152 5,821,417 6,379,020 9,688,798 5,633,000
TOTAL CAPITAL FUNDS 39,408,851 35,325,537 41,796,952 102,701,363 45,206,364
Note: Revenues include loans, advances and transfers.
I-14
CITY OF CARLSBAD
CAPITAL FUNDS
BUDGET EXPENDITURE SCHEDULE
2012-13 2013-14 2014-15 2014-15 2015-16 2015-16
ACTUAL ACTUAL ESTIMATED CONTINUING NEW TOTAL CIP
FUND EXPENSE EXPENSE EXPENSE APPROPR.APPROPR.APPROPR.
BTD#2 - POINSETTIA LANE/AVIARA PKWY 252,991 0 0 388,342 1,436,000 1,824,342
BTD#3 - CANNON ROAD WEST 0 0 0 0 0
CFD #1 - CITYWIDE 100,950 143,775 145,916 13,332,013 1,034,000 14,366,013
GAS TAX 1,798,131 1,633,865 2,136,825 13,526,765 4,636,530 18,163,295
GENERAL CAPITAL CONST. 8,766,191 (28,719) 2,979,069 16,469,356 13,689,955 30,159,311
GRANTS - FEDERAL 257,085 108,371 531,299 822,109 130,622 952,731
INFRASTRUCTURE REPLACEMENT 704,485 1,215,143 8,733,251 7,416,723 5,797,500 13,214,223
OTHER 12,318 0 0 1,664,231 567,000 2,231,231
PARK FEE ZONES 5,13,16 0 0 0 0 0 0
PARK-IN-LIEU NE 0 0 0 0 0 0
PARK-IN-LIEU NW 0 0 0 0 1,957,000 1,957,000
PARK-IN-LIEU SE 0 0 0 0 959,100 959,100
PARK-IN-LIEU SW 0 0 0 219,100 2,791,100 3,010,200
PLANNED LOCAL DRAINAGE 251,900 99,351 316,854 2,985,349 0 2,985,349
PUBLIC FACILITIES FEE 11,931,075 11,805,511 7,979,676 1,876,150 15,411,660 17,287,810
RANCHO SANTA FE ROAD PROJECT 58,203 45,390 1,258,451 520,170 0 520,170
SEWER CONNECTION 2,384,830 1,682,966 4,652,547 47,923,767 992,000 48,915,767
SEWER REPLACEMENT 4,510,826 5,334,292 4,156,016 19,563,911 6,241,116 25,805,027
TDA 22,111 639,864 35,660 0 0 0
TRAFFIC IMPACT FEE 286,710 430,113 7,393,336 12,638,719 696,000 13,334,719
TRANSNET/BIKE 0 0 0 0 0 0
TRANSNET/HIGHWAY 1,417,708 0 0 0 0 0
TRANSNET/LOCAL 4,220,724 2,897,024 5,496,447 6,770,761 2,516,923 9,287,684
TRANSNET/STP 0 0 305,906 39,092 0 39,092
WATER - MAJOR FACILITY 27,323 0 4,982 2,585,923 460,000 3,045,923
WATER - RECYCLED WATER 0 0 15,152 16,084,848 10,600,000 26,684,848
WATER - REPLACEMENT 2,752,969 3,252,302 4,199,000 39,178,880 3,563,075 42,741,955
TOTAL CAPITAL FUNDS 39,756,530 29,259,248 50,340,387 204,006,209 73,479,581 277,485,790
Note: Expenditures include loans, advances and transfers.
I-15
Schedule of Capital Projects Capital Proj
2015-16 Final Capital Improvement Program
TOTAL PRIOR BALANCE
PROJECT TITLE FUND COST EXP/ENC FORWARD
CIVIC PROJECTS
ADMINISTRATIVE FACILITIES
CIVIC CENTER CFD#1 30,019,000 - 100,000
MAINTENANCE AND OPERATIONS CENTER CFD#1 17,861,264 3,848,251 13,232,013
MAINTENANCE AND OPERATIONS CENTER - ART CFD#1 143,000
MAINTENANCE AND OPERATIONS CENTER WATER REPL 7,674,000 - 7,170,000
MAINTENANCE AND OPERATIONS CENTER SEWER REPL 4,113,000 5,000 3,856,000
DOWNTOWN AREA PROJECTS
BARRIO STREET LIGHTING GCC 100,000 100,000
BARRIO STREET LIGHTING OTHER 137,500 85,500 52,000
VILLAGE AND BARRIO BIKE & PEDESTRIAN WAYFINDING GCC 250,000 20,150 229,850
VILLAGE AND BARRIO TRAFFIC CIRCLES GCC 315,000 45,070 269,930
VILLAGE DECORATIVE LIGHTING GCC 177,800 75,797 102,003
VILLAGE PARKING WAYFINDING GCC 105,000 68,312 36,688
VILLAGE SAFETY LIGHTING GCC 234,678 233,743 935
VILLAGE AND BEACH STREETSCAPE GCC 635,000 254,018 35,982
POLICE & FIRE FACILITIES
CARLSBAD SAFETY TRAINING FACILITY - FIREARMS RANGE NOISE MITIGATION GCC 350,500
FIRE STATION NO. 3 RELOCATION PFF 9,352,000 8,588,537 763,463
FIRE STATION NO. 6 (PERMANENT) PFF 5,324,100 5,237,610 86,490
POLICE CAD IMPLEMENTATION GCC 2,312,228 2,285,622 26,606
SAFETY CENTER IMPROVEMENTS IRF 1,400,000 200,000
SAFETY CENTER IMPROVEMENTS GCC 2,013,500
LIBRARY FACILITIES
COLE LIBRARY EXPANSION CFD#1 5,481,000 - -
COLE LIBRARY EXPANSION PFF 10,922,000 - -
COLE LIBRARY EXPANSION (BROWNLEY DONATION) GCC 1,000,000
COLE LIBRARY IMPROVEMENTS (INCLUDES IRF FUNDING) GCC 5,300,000 575,085 4,724,915
DOVE LIBRARY IMPROVEMENTS (INCLUDES IRF FUNDING) GCC 6,046,529 686,918 5,359,611
TRAILS
ARROYO VISTA TRAIL EXTENSION (PROP C)GCC 303,000 29,534 273,466
COASTAL RAIL TRAIL REACH 1 GAS TAX 899,000 828,103 70,897
COASTAL RAIL TRAIL REACH 1 TRANSNET-LOC 133,486 133,455 31
COASTAL RAIL TRAIL REACH 1 TDA 666,514 666,514 -
COASTAL RAIL TRAIL REACH 1 GCC 100,000 100,000 -
LAKE CALAVERA SOUTH TRAIL IMPROVEMENTS GCC 131,000 126,177 4,823
LAKE CALAVERA TRAILS MASTER PLAN/CONSTRUCTION (PROP C)GCC 1,063,250 641,922 198,828
MISCELLANEOUS CITYWIDE PROJECTS
CFD#1 ADMINISTRATION CFD#1 550,000
OPEN SPACE AND TRAILS (PROP C)GCC 3,767,955 - -
SUBTOTAL CIVIC PROJECTS 118,881,304 24,535,318 36,894,531
FACILITIES MAINTENANCE
AVIARA COMMUNITY PARK SOCCER FIELD SYNTHETIC TURF REPLACEMENT IRF 868,000
BEACH ACCESS REPAIR/UPGRADES IRF 517,500 278,095 239,405
CITY HALL COMPLEX REFURBISHMENT IRF 919,000
CITY HALL EXTERIOR REFURBISHMENT GCC 2,250,000
EMERGENCY CENTER RECONFIGURATION GCC 1,658,000
EMERGENCY CENTER RECONFIGURATION IRF 200,000
FARADAY EXTERIOR REFURBISHMENT IRF 40,000 22,764 17,236
FARADAY REHABILITATION IRF 939,000
FIRE STATION NO. 1 REFURBISHMENT IRF 150,000
FIRE STATION NO. 2 REFURBISHMENT IRF 375,000 30,472 344,528
FLEET MAINTENANCE REFURBISHMENT IRF 975,000 885,000
FUTURE FACILITIES MAINTENANCE PROJECTS IRF 14,000,000
HARDING CENTER REFURBISHMENT IRF 115,000 100,000
HOLIDAY PARK FACILITIES MAINTENANCE IRF 50,000 50,000
MAERKLE RESERVOIR SOLAR PROJECT GCC 250,000
MISCELLANEOUS BUILDING IMPROVEMENTS IRF 250,000
J-1
2015-16 Final Capital Improvement Program
YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5 YEAR 6-10 YEAR 11 -15
2015-16 2016-17 2017-18 2018-19 2019-20 2021-25 2026-30
29,919,000
781,000
143,000
504,000
252,000
345,000
350,500
1,200,000
2,013,500
5,481,000
10,922,000
1,000,000
32,500 190,000
110,000 110,000 110,000 110,000 110,000
3,767,955
9,499,455 300,000 110,000 110,000 110,000 29,919,000 17,403,000
868,000
919,000
2,250,000
1,658,000
200,000
939,000
150,000
90,000
1,000,000 1,000,000 1,000,000 1,000,000 5,000,000 5,000,000
15,000
250,000
250,000
J-2
2015-16 Final Capital Improvement Program
TOTAL PRIOR BALANCE
PROJECT TITLE FUND COST EXP/ENC FORWARD
MONROE STREET POOL REPLACEMENT IRF 100,000
PARK ATHLETIC FIELD LIGHTING RETROFITS IRF 756,000 660,882 95,118
POINSETTIA COMMUNIT PARK SOCCER FIELD SYNTHETIC TURF REPLACEMENT IRF 665,500 651,623 13,877
ROOF RENOVATION/REPLACEMENT - DOVE LIBRARY AND LAS PALMAS IRF 450,000 390,025 59,975
SAFETY TRAINING CENTER SOLAR PHOTOVOLTAIC INSTALLATION GCC 451,000 451,000
SENIOR CENTER CONFERENCE ROOM REFURBISHMENT IRF 52,000 52,000
SUBTOTAL FACILITIES MAINTENANCE 26,031,000 2,033,861 2,308,139
PARK PROJECTS
NORTHWEST QUADRANT PARKS
BUSINESS PARK RECREATIONAL FACILITY (PARTIAL FUNDING) ZONE 5 4,355,000 - -
OUTDOOR ADVENTURE PARK FEASIBILITY STUDY GCC 122,500
PINE AVENUE PARK - PHASE 2 (COMMUNITY FACILITY AND GARDEN AREAS) PIL-NW 1,957,000 - -
PINE AVENUE PARK - PHASE 2 (COMMUNITY FACILITY AND GARDEN AREAS) PFF 8,343,000 - -
PINE AVENUE PARK - PHASE 2 (COMMUNITY FACILITY AND GARDEN AREAS) - ART PFF 103,000
VETERAN'S MEMORIAL PARK (ALL QUADRANTS) CFD#1 23,240,000 - -
NORTHEAST QUADRANT PARKS
CALAVERA PARK GATEWAY IMPROVEMENTS GCC 582,500 24,625 7,875
ROBERTSON RANCH PARK DEVELOPMENT (PARTIAL FUNDING) PIL-NE 2,700,000 -
SOUTHWEST QUADRANT PARKS
AVIARA COMMUNITY PARK - WARMING KITCHEN / RESTROOMS PFF 9,134,000 - -
AVIARA COMMUNITY PARK AMPHITHEATER AND PICNIC AREAS PIL-SW 2,760,500 - -
AVIARA COMMUNITY PARK AMPHITHEATER AND PICNIC AREAS - ART PIL-SW 30,600
AVIARA REIMBURSEMENT AGREEMENT PIL-SW 238,000 18,900 219,100
MULTI-USE, MULTIGENERATIONAL INDOOR COMMUNITY CENTER (STUDY) GCC 90,000 90,000
POINSETTIA COMMUNITY PARK - PHASE 3 PFF 16,676,000 - -
POINSETTIA COMMUNITY PARK - PHASE 3 - ART PFF 38,500
SOUTHEAST QUADRANT PARKS
ALGA NORTE PARK - PHASE 1 PARK PFF 22,107,511 22,106,886 625
ALGA NORTE PARK - PHASE 1 PFF 6,099,694 6,072,143 27,551
ALGA NORTE PARK - PHASE 1 (PROP C FUNDS)GCC 7,804,217 7,004,217 800,000
ALGA NORTE PARK - PHASE 2 GCC 6,556,000 -
ALGA NORTE PARK - PHASE 2 (PROP C FUNDS)GCC 4,770,498 676,498
LEO CARRILLO PARK - PHASE 3 PFF 1,057,000 - 200,000
LEO CARRILLO PARK - PHASE 3 - ART PFF 20,160
LEO CARRILLO PARK - PHASE 3 PIL-SE 959,100 - -
SUBTOTAL PARK PROJECTS 119,744,780 35,903,269 1,345,151
DRAINAGE PROJECTS
AGUA HEDIONDA CREEK STORM DRAIN OUTFALL (FAROL COURT) IRF 411,700 48,313 316,887
BUENA VISTA CREEK CHANNEL FENCING GCC 200,000 32,260 167,740
CMP REPLACEMENT PROGRAM IRF 2,859,360 1,960,831 898,529
DMP FACILITY AAA (JEFFERSON STREET) PLD 289,534 - -
DMP FACILITY AAAA (MADISON STREET) PLD 416,500 - -
DMP FACILITY AC (HIGHLAND DRIVE) PLD 992,913 71,504 58,496
DMP FACILITY AFA (HIDDEN VALLEY DRAINAGE RESTORATION) PLD 91,608 - -
DMP FACILITY AFB (CALAVERA HILLS DRAINAGE RESTORATION) PLD 163,164 - -
DMP FACILITY B & BN (AGUA HEDIONDA AND CALAVERA CREEK PLDA "B") GCC 975,340 - 975,340
DMP FACILITY B & BN (AGUA HEDIONDA AND CALAVERA CREEK PLDA "B") PLD 4,598,066 3,455,516 1,142,550
DMP FACILITY BB 1 and 2 (WASHINGTON STREET) PLD 1,086,065 - -
DMP FACILITY BCA (PARK DRIVE AND TAMARACK AVENUE PLDA "B") PLD 1,068,613 299 1,068,314
DMP FACILITY BCB (MAGNOLIA AVENUE) PLD 468,096 - -
DMP FACILITY BFA (COUNTRY STORE) PLD 963,673 - -
DMP FACILITY BFB-L & BFB-1 (TAMARACK AND EL CAMINO REAL PLDA "B") PLD 904,329 - -
DMP FACILITY BFB-U (EL CAMINO REAL) PLD 138,220 - -
DMP FACILITY BJ B, BNB AND BJ-1 (COLLEGE BOULEVARD/CANNON ROAD) PLD 2,761,644 2,249,448 512,196
DMP FACILITY BL-L (COLLEGE BLVD. BRIDGE REIMB. PLDA "B") PLD 1,816,101 - -
DMP FACILITY BL-U (COLLEGE BOULEVARD) PLD 384,509 - -
DMP FACILITY BM (CANTARINI/COLLEGE BOULEVARD BOX CULVERT) PLD 204,077 - -
DMP FACILITY BQ (SUNNY CREEK) PLD 131,355 - -
DMP FACILITY BR (CANTARINI/COLLEGE BOULEVARD PIPE DRAINAGE) PLD 180,773 - -
DMP FACILITY C1 - CARLSBAD BOULEVARD ENCINAS CREEK BRIDGE PLDA "C") PLD 2,539,565 2,335,772 203,793
DMP FACILITY C2 (PASEO DEL NORTE) PLD 727,730 - -
J-3
2015-16 Final Capital Improvement Program
YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5 YEAR 6-10 YEAR 11 -15
2015-16 2016-17 2017-18 2018-19 2019-20 2021-25 2026-30
100,000
7,689,000 1,000,000 1,000,000 1,000,000 1,000,000 5,000,000 5,000,000
4,355,000
122,500
1,957,000
8,343,000
103,000
23,240,000
550,000
2,700,000
300,000 8,834,000
2,760,500
30,600
3,850,000 12,826,000
38,500
6,556,000
4,094,000
857,000
20,160
959,100
19,891,360 0 0 0 0 23,476,000 39,129,000
46,500
289,534
416,500
862,913
91,608
163,164
1,086,065
468,096
963,673
904,329
138,220
1,816,101
384,509
204,077
131,355
180,773
727,730
J-4
2015-16 Final Capital Improvement Program
TOTAL PRIOR BALANCE
PROJECT TITLE FUND COST EXP/ENC FORWARD
DMP FACILITY CA (AVENIDA ENCINAS) PLD 529,402 - -
DMP FACILITY DBA (POINSETTIA VILLAGE) PLD 167,215 - -
DMP FACILITY DBB (AVENIDA ENCINAS) PLD 429,108 - -
DMP FACILITY DFA (BATIQUITOS LAGOON STORMWATER TREATMENT) PLD 256,423 - -
DMP FACILITY DH (ALTIVE PLACE CANYON RESTORATION) PLD 232,812 - -
DMP FACILITY DQB (LA COSTA TOWN CENTER) PLD 745,842 - -
DMP FACILITY DZ (POINSETTIA LANE) PLD 642,063 - -
FIRE STATION DRAINAGE IMPROVEMENTS GCC 225,000 - 225,000
KELLY DRIVE CHANNEL REPAIR IRF 1,161,000 305,990 855,010
KELLY DRIVE CHANNEL REPLACEMENT IRF 1,934,000
LA COSTA AVENUE DRAINAGE IMPROVEMENTS IRF 492,150 147,032 345,118
MARCA PLACE DRAINAGE IMPROVEMENTS GAS TAX 65,000 1,071 63,929
NW QUADRANT STORM DRAIN IMPROVEMENT PROGRAM GAS TAX 6,090,592 3,235,852 2,117,740
PARK DRIVE DRAINAGE AND STREET IMPROVEMENTS GCC 243,000 47,210 195,790
ROMERIA DRAINAGE IMPROVEMENTS GAS TAX 348,000 75,114 272,886
ROMERIA DRAINAGE IMPROVEMENTS GCC 299,000 119,086 179,914
STORM DRAIN CONDITION ASSESSMENT IRF 1,000,000
SUBTOTAL DRAINAGE PROJECTS 39,233,542 14,085,298 9,599,232
SEWER PROJECTS
ENCINA WATER POLLUTION CONTROL FACILITY
ENCINA CAPITAL PROJECTS SEWER REPL 59,535,791 11,045,910 3,349,194
PHASE V EXPANSION SEWER CONN 10,910,358 10,559,811 350,547
SEWER COLLECTION SYSTEM
BATIQUITOS LIFT STATION PUMP REPLACEMENT SEWER REPL 905,000 754,880 150,120
BUENA INTERCEPTOR REHAB AT ENCINA PLANT (REIMB) SEWER REPL 100,000 - 100,000
BUENA INTERCEPTOR SEWER ACCESS ROAD IMPROVEMENTS SEWER REPL 250,000
BUENA INTERCEPTOR SEWER IMPROVEMENTS SEWER REPL 3,326,000 211,302 1,150,698
BUENA INTERCEPTOR SEWER IMPROVEMENTS SEWER CONN 500,000 500,000
BUENA INTERCEPTOR SEWER REALIGNMENT - EAST SEGMENT SEWER REPL 1,987,000
CALAVERA HILLS TREATMENT PLANT - DEMOLITION SEWER REPL 723,500 235,120 488,380
CHINQUAPIN LIFT STATION FORCE MAIN OUTFALL REALIGNMENT SEWER REPL 212,000
CREST DRIVE SEWER EXTENSION OTHER 350,000
FARADAY & EL CAMINO REAL SEWER REPLACEMENT - ORION TO PAR SEWER CONN 1,540,000
FLOW METER REPLACEMENTS SEWER REPL 150,000 44,691 55,309
FOXES LANDING LIFT STATION FORCEMAIN REHABILITATION SEWER REPL 225,000 838 224,162
FOXES LANDING LIFT STATION WETWELL AND PUMP REPLACEMENT SEWER REPL 3,050,000 376,092 2,673,908
GATESHEAD LIFT STATION REMOVAL SEWER REPL 150,000 74,000
HOME PLANT PIPELINE AND LIFT STATION REPLACEMENT SEWER REPL 4,139,000 4,097,231 41,769
LAS PALMAS TRUNK SEWER SEWER CONN 2,420,000
LEUCADIA TRUNK SEWER REHABILITATION SEWER REPL 150,000 - 150,000
MARRON ROAD SEWER REPLACEMENT SEWER CONN 350,000
NORTH AGUA HEDIONDA INTERCEPTOR - WEST SEGMENT SEWER REPL 5,854,000 5,321,379 532,621
NORTH AGUA HEDIONDA TRUNK SEWER REACH NAHT1A (SBA "B") SEWER REPL 2,862,000 1,627,715 1,234,285
NORTH BATIQUITOS INTERCEPTOR SEWER ACCESS ROAD IMPROVEMENTS SEWER REPL 250,000
NORTH BATIQUITOS LIFT STATION FORCEMAIN REHABILITATION SEWER REPL 550,000 115,000
NORTHWEST QUADRANT CIPP SEWER REHABILITATION SEWER REPL 700,000 700,000
OCCIDENTAL SEWER IMPROVEMENTS SEWER REPL 849,000 691,686 157,314
ODOR AND CORROSION PREVENTION ASSESSMENT SEWER REPL 200,000 15,821 84,179
POINSETTIA LANE LIFT STATION EMERGENCY OVERFLOW BASIN SEWER REPL 1,200,000 105,032 214,968
QUARRY CREEK SEWER EXTENSION (SBA "A" - REIMB. AGREEMENT) OTHER 567,000
SEWER EASEMENT ACCESS PROGRAM SEWER REPL 400,000 263 399,737
SEWER LIFT STATION REPAIRS AND UPGRADES SEWER REPL 3,860,380 1,485,829 124,551
SEWER LINE CONDITION ASSESSMENT SEWER REPL 633,000 64,933 488,067
SEWER LINE REFURBISHMENTS AND REPLACEMENT SEWER REPL 8,547,896 2,600,370 1,457,526
SEWER MONITORING PROGRAM SEWER CONN 634,000 154,627 149,373
SIMSBURY SEWER EXTENSION SEWER REPL 301,000 20,360 140,640
TAMARACK SEWER RELOCATION AT RAILROAD RIGHT-OF-WAY SEWER REPL 252,000 252,000
TERRAMAR LIFT STATION REPLACEMENT SEWER REPL 987,000 919,035 67,965
TERRAMAR SEWER REPLACEMENT - EL ARBOL AND LOS ROBLES SEWER REPL 1,250,000 1,250,000
VANCOUVER SEWER EXTENSION SEWER REPL 1,006,000 974,482 31,518
VISTA CARLSBAD INTERCEPTER - REHABILITATION (VC1 & VC2) SEWER REPL 141,000
VISTA CARLSBAD INTERCEPTOR - AGUA HEDIONDA LS & FORCEMAIN (VC12-VC13) SEWER CONN 29,200,000 5,319,955 23,880,045
VISTA CARLSBAD INTERCEPTOR - BUENA VISTA LIFT STATION & FORCEMAIN (VC-4) SEWER CONN 5,725,000 4,778,623 946,377
VISTA CARLSBAD INTERCEPTOR - BUENA VISTA LIFT STATION IMPROVEMENTS SEWER CONN 1,125,000 100,000
VISTA CARLSBAD INTERCEPTOR - LAGOON BRIDGE REPLACEMENT (VC11B) SEWER CONN 6,930,000 794,083 6,135,917
VISTA CARLSBAD INTERCEPTOR - REACH VC14 TO VC15 SEWER CONN 18,600,000 2,738,492 15,861,508
J-5
2015-16 Final Capital Improvement Program
YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5 YEAR 6-10 YEAR 11 -15
2015-16 2016-17 2017-18 2018-19 2019-20 2021-25 2026-30
529,402
167,215
429,108
256,423
232,812
745,842
642,063
1,934,000
737,000
100,000 100,000 100,000 100,000 100,000 500,000
883,500 100,000 100,000 100,000 100,000 4,250,101 10,015,411
3,668,116 3,028,667 2,891,399 2,592,104 2,708,396 14,377,229 15,874,776
250,000
1,964,000
507,000 1,480,000
60,000 152,000
350,000
140,000 1,400,000
50,000
76,000
430,000 1,990,000
350,000
250,000
435,000
100,000
880,000
567,000
150,000 150,000 150,000 150,000 150,000 750,000 750,000
80,000
100,000 100,000 330,000 330,000 330,000 1,650,000 1,650,000
22,000 22,000 22,000 22,000 22,000 110,000 110,000
140,000
20,000 121,000
50,000 225,000 750,000
J-6
2015-16 Final Capital Improvement Program
TOTAL PRIOR BALANCE
PROJECT TITLE FUND COST EXP/ENC FORWARD
VISTA CARLSBAD INTERCEPTOR - REACH VC3 SEWER CONN 2,688,200 - -
SUBTOTAL SEWER PROJECTS 186,286,125 54,938,560 63,631,678
WATER DISTRIBUTION SYSTEM
AVIARA PARKWAY AND PLUM TREE WATERLINE WATER REPL 815,000 - -
BUENA VISTA PUMP STATION AND FOREBAY REMOVAL WATER REPL 150,000 150,000
CARLSBAD BOULEVARD - SOUTH OF AVENIDA ENCINAS WATER REPL 950,000 - -
CATHODIC PROTECTION PROGRAM WATER REPL 1,246,700 203,049 1,043,651
COLLEGE BOULEVARD - CANNON ROAD TO BADGER LANE (375 ZONE) WATER CONN 1,060,000 183 1,059,817
COLLEGE BOULEVARD - CANNON ROAD TO BADGER LANE (490 ZONE) WATER CONN 1,090,000 - 1,090,000
CRESTVIEW DRIVE TRANSMISSION MAIN WATER REPL 240,000 - -
DESALINATED WATER FLOW CONTROL FACILITY WATER CONN 90,000 90,000
DESALINATED WATER FLOW CONTROL FACILITY WATER REPL 180,000 29,281 150,719
E TANK DECOMMISSION (THE CROSSINGS ROAD) WATER REPL 150,000 150,000
EL FUERTE AND CORINTIA STREET PRESSURE REDUCING STATION WATER REPL 800,000 - 500,000
ELLERY PUMP STATION DECOMMISSION WATER REPL 250,000 70,399 179,601
ELLERY WATER PUMP PROJECT WATER REPL 275,000 - 275,000
FIRE FLOW SYSTEM IMPROVEMENTS WATER REPL 2,449,000 720,000
HYDROELECTRIC GENERATOR AT MAERKLE RESERVOIR WATER REPL 2,000,000 1,990,195 9,805
HYDROELECTRIC GENERATOR AT PALOMAR AIRPORT ROAD/WHITE SANDS WATER REPL 2,160,000
KELLY RANCH DOMESTIC WATER PRESSURE REDUCING STATION WATER REPL 560,000 - 560,000
LA COSTA HIGH RESERVOIR INLET PIPELINE WATER REPL 2,150,000
LAKE CALAVERA RESERVOIR IMPROVEMENTS WATER REPL 6,396,908 6,117,081 279,827
LIMITED ACCESS PIPELINE RELOCATION PROGRAM WATER REPL 1,940,000 31,724 1,423,276
MAERKLE FACILITY IMPROVEMENTS WATER REPL 2,135,200 1,126,304 1,008,896
MAERKLE PUMP STATION IMPROVEMENTS WATER CONN 1,955,200 4,982 205,018
MAERKLE RESERVOIR FLOATING COVER REPLACEMENT WATER REPL 10,000,000 270,000
MAERKLE RESERVOIR TRANSMISSION MAIN WATER REPL 6,330,000 388,588 5,941,412
MISCELLANEOUS PIPELINE REPLACEMENTS WATER REPL 1,433,000 372,441 1,060,559
OCEANSIDE WATER INTERTIE UPGRADE WATER REPL 115,000 - -
PARK DRIVE WATER LINE AND STREET IMPROVEMENTS WATER REPL 1,092,000 1,045,323 46,677
POINSETTIA LANE - CASSIA ROAD TO SKIMMER COURT WATER CONN 300,000 - -
PRESSURE REDUCING STATION PROGRAM WATER REPL 1,102,000 333,167 768,833
RANCHO CARLSBAD GROUNDWATER SUPPLY WATER CONN 1,750,000
RANCHO CARLSBAD GROUNDWATER SUPPLY WATER REPL 1,750,000
RESERVOIR REPAIR AND MAINTENANCE PROGRAM WATER REPL 6,000,000 2,479,127 1,520,873
ROBERTSON RANCH WATER TRANSMISSION MAIN WATER REPL 1,200,000 1,200,000
SAN LUIS REY MISSION BASIN GROUNDWATER SUPPLY WATER CONN 8,527,500 27,500
SAN LUIS REY MISSION BASIN GROUNDWATER SUPPLY WATER REPL 8,527,500 27,500
SANTA FE II INLET PIPELINE WATER REPL 2,838,000
SANTA FE II RESERVOIR SITE DRAINAGE WATER REPL 645,000 491,431 153,569
SANTA FE II RESERVOIR SITE ELECTRICAL IMPROVEMENTS WATER REPL 100,000
TRI-AGENCY WATER TRANSMISSION PIPELINE REPLACEMENT WATER REPL 6,455,000 428,259 6,026,741
WATER MASTER PLAN UPDATE WATER CONN 700,000 586,412 113,588
WATER SYSTEM INTERTIE CONNECTION WATER REPL 405,000 - -
WATER VALVE REPAIR/REPLACEMENT PROGRAM WATER REPL 2,450,000 161,034 388,966
SUBTOTAL WATER DISTRIBUTION SYSTEM 90,763,008 15,858,980 26,441,828
RECYCLED WATER SYSTEM
RECYCLED WATER PROJECTS: ENCINA FACILITY LOCATION
CARLSBAD WATER RECYCLING FACILITY (ENCINA CAPITAL PROJECTS) WATER REPL 4,715,390 125,752 504,563
RECYCLED WATER SYSTEM
ABANDON POTABLE SERVICES (NEW RECYCLED SERVICES) WATER REPL 390,000 49,690 340,310
CWRF - CHLORINE CONTACT TANK COVERS WATER REPL 765,000 8,136 756,864
EL CAMINO REAL AND TAMARACK PUMP STATION REMOVAL WATER REPL 100,000 - -
RECYCLED WATER LINE - EL CAMINO REAL TO LA COSTA AVENUE WATER REPL 1,915,000 1,536,989 378,011
RECYCLED WATER LINE - PALOMAR BUISNESS PARK WATER REPL 1,245,000 2,371 1,242,629
RECYCLED WATER LINE - CWRF TO CHINQUAPIN WATER REPL 2,900,000 232,382 2,667,618
RECYCLED WATER MASTER PLAN UPDATE WATER REPL 672,470 627,246 45,224
RECYCLED WATER PHASE 3 - PIPELINES RECL WATER 18,700,000 752 8,099,248
RECYCLED WATER PHASE 3 - PIPELINES WATER REPL 2,000,000 394,756 1,605,244
RECYCLED WATER PHASE 3 - CWRF EXPANSION RECL WATER 6,500,000 14,400 6,485,600
RECYCLED WATER PHASE 3 - CWRF EXPANSION WATER REPL 640,000 617,629 22,371
RECYCLED WATER PHASE 3 - RESERVOIR RECL WATER 1,500,000 1,500,000
RECYCLED WATER PHASE 3 - RESERVOIR WATER REPL 300,000 655 299,345
J-7
2015-16 Final Capital Improvement Program
YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5 YEAR 6-10 YEAR 11 -15
2015-16 2016-17 2017-18 2018-19 2019-20 2021-25 2026-30
- 596,200 2,092,000
7,548,116 10,734,867 7,735,399 3,215,104 3,210,396 16,887,229 18,384,776
815,000
280,000 670,000
240,000
300,000
720,000 1,009,000
85,000 275,000 1,800,000
250,000 1,900,000
485,000
160,000 1,585,200
1,000,000 8,730,000
115,000
300,000
325,000 1,425,000
325,000 1,425,000
150,000 1,850,000
8,500,000
8,500,000
470,000 2,368,000
100,000
405,000
300,000 300,000 100,000 100,000 100,000 500,000 500,000
3,440,000 13,350,200 5,313,000 1,900,000 100,000 4,009,000 20,350,000
79,075 106,000 300,000 300,000 300,000 1,500,000 1,500,000
100,000
10,600,000
J-8
2015-16 Final Capital Improvement Program
TOTAL PRIOR BALANCE
PROJECT TITLE FUND COST EXP/ENC FORWARD
SUBTOTAL RECYCLED WATER PROJECTS 42,342,860 3,610,758 23,947,027
CIRCULATION SYSTEM
TRAFFIC SIGNAL PROJECTS
PEDESTRIAN CROSSINGS - CARLSBAD BOULEVARD/VILLAGE GAS TAX 200,000 66,559 133,441
TRAFFIC SIGNAL - ALGA ROAD AND CAZADERO DRIVE GAS TAX 210,000 - -
TRAFFIC SIGNAL - ARMADA DRIVE AND FLEET STREET SOUTH GAS TAX 190,000 - -
TRAFFIC SIGNAL - ARMADA DRIVE AND GRAND PACIFIC RESORTS GAS TAX 190,000 - -
TRAFFIC SIGNAL - CAMINO DE LOS COCHES AND LA COSTA AVENUE GAS TAX 190,000 - 190,000
TRAFFIC SIGNAL - CAMINO VIDA ROBLE AND YARROW DRIVE GAS TAX 190,000 - -
TRAFFIC SIGNAL - CANNON ROAD AND AVENIDA ENCINAS (REIMBURSEMENT) PFF 150,000 300 149,700
TRAFFIC SIGNAL - EL CAMINO REAL AND CHESTNUT AVENUE SIGNAL REPAIRS IRF 276,000 276,000 -
TRAFFIC SIGNAL - EL CAMINO REAL AND TAMARACK AVENUE SIGNAL REPAIRS IRF 200,000 172,500 27,500
TRAFFIC SIGNAL - EL FUERTE STREET AND LOKER AVENUE GAS TAX 210,000 187,606 22,394
TRAFFIC SIGNAL - EL FUERTE STREET AND RANCHO PANCHO GAS TAX 190,000 - -
TRAFFIC SIGNAL - FARADAY AVENUE AND CAMINO HILLS DRIVE GAS TAX 190,000 -
TRAFFIC SIGNAL - FARADAY AVENUE AND PALMER WAY GAS TAX 190,000
TRAFFIC SIGNAL - LA COSTA AVENUE AND LEVANTE STREET GAS TAX 210,000 -
TRAFFIC SIGNAL - MONROE STREET AND HOSP WAY GAS TAX 210,000 - -
TRAFFIC SIGNAL - POINSETTIA LANE AND BRIGANTINE ROAD GAS TAX 190,000 - -
TRAFFIC SIGNAL - TAMARACK AVENUE AND VALLEY STREET GAS TAX 190,000 - -
TRAFFIC SIGNAL PROGRAM GCC 912,000 911,674 326
TRAFFIC SIGNAL PROGRAM IRF 4,772,974 2,706,122 2,066,852
SUBTOTAL TRAFFIC SIGNAL PROJECTS 9,060,974 4,320,761 2,590,213
STREET PROJECTS
ACTIVE VILLAGE CAMPAIGN TRANSNET-LOC 271,211 236,755 34,456
ADA IMPROVEMENT PROGRAM TRANSNET-LOC 1,670,000 1,317 498,683
AVENIDA ENCINAS WIDENING - SOUTH OF PALOMAR AIRPORT ROAD TIF 5,402,000 169,750 55,250
CAMINO HILLS AND JACKSPAR DRIVE SLOPE STABILIZATION GCC 859,400 24,878 834,522
CARLSBAD ACTIVE TRANSPORTATION STRATEGIC PLAN TRANSNET-LOC 150,000 150,000
CARLSBAD BLVD AND TAMARACK AVENUE PEDESTRIAN IMPROVEMENTS GAS TAX 1,000,000 1,000,000
CARLSBAD BLVD BRIDGE CONCRETE BARRIER POWER PLANT FED GRNT 896,366 248,014 648,352
CARLSBAD BLVD BRIDGE CONCRETE BARRIER POWER PLANT (LOCAL MATCH)TRANSNET-LOC 116,134 16,538 99,596
CARLSBAD BLVD BRIDGE CONCRETE BARRIER RAILROAD FED GRNT 726,146 552,389 173,757
CARLSBAD BLVD BRIDGE CONCRETE BARRIER RAILROAD (LOCAL MATCH)TRANSNET-LOC 543,154 399,420 143,734
CARLSBAD BLVD BRIDGE RAILING EAST SIDE AT POWER PLANT DISCHARGE GCC 338,455 338,455
CARLSBAD BLVD BRIDGE RAILING EAST SIDE AT POWER PLANT DISCHARGE TRANSNET-LOC 16,923
CARLSBAD BLVD BRIDGE RAILING EAST SIDE AT POWER PLANT DISCHARGE FED GRNT 130,622
CARLSBAD BLVD MEDIAN-TAMARACK AVENUE TO PINE AVENUE GAS TAX 2,529,000 - -
CARLSBAD BLVD REALIGNMENT TRANSNET-LOC 3,000,000 1,688,597 1,311,403
CARLSBAD BLVD REALIGNMENT GCC 250,000 250,000
CARLSBAD BLVD REALIGNMENT - CANNON TO MANZANO (SEGMENT 1) TIF 6,050,000 - 6,050,000
CARLSBAD BLVD REALIGNMENT / PALOMAR AIRPORT ROAD (SEGMENT 2) (20%) TIF 853,000 - -
CARLSBAD BLVD REALIGNMENT / PALOMAR AIRPORT ROAD (SEGMENT 2) (RTCIP / 20%)TIF 3,369,000 - -
CARLSBAD BLVD WIDENING MOUNTAIN VIEW TO NORTHERLY CITY LIMITS (20%) TIF 900,000 - -
CARLSBAD BLVD WIDENING MOUNTAIN VIEW TO NORTHERLY CITY LIMITS (RTCIP/20%) TIF 1,166,000 - -
CARLSBAD STATE BEACH BLUFF RESTORATION GCC 499,830 420,802 79,028
CARLSBAD STATE BEACH GREENWAY IMPROVEMENTS GCC 400,000 272,294 127,706
CARLSBAD VILLAGE DRIVE WIDENING - PONTIAC DRIVE TO VICTORIA AVENUE TIF 2,839,000 - -
CARLSBAD VILLAGE DR. & GRAND AVE. PEDESTRIAN AND CROSSING IMP. TRANSNET-LOC 1,320,000
CHESTNUT AVENUE ROAD DIET AND TRAFFIC CALMING TRANSNET-LOC 1,080,000
COASTAL CORRIDOR MULTI-MODAL INFRASTRUCTURE PLAN GCC 100,000 100,000
COLLEGE BLVD REACH A AND CANNON ROAD REACH 4A OTHER 1,713,000 418,409 1,294,591
COLLEGE/CANNON ASSESSMENT DISTRICT OTHER 10,314,481 9,996,841 317,640
CONCRETE REPAIR/REPLACEMENT PROGRAM GAS TAX 5,500,000 1,237,335 512,665
EL CAMINO REAL AND AGUA HEDIONDA CREEK BRIDGE RAILING & SIDEWALK IRF 210,000 210,000
EL CAMINO REAL AND CANNON ROAD INTERSECTION IMPROVEMENTS TIF 849,000 43,164 545,836
EL CAMINO REAL AND CARLSBAD VILLAGE DRIVE DUAL LEFT TURNS TIF 1,036,000 - -
EL CAMINO REAL AND COLLEGE BLVD INTERSECTION IMPROVEMENTS GAS TAX 515,000
EL CAMINO REAL LEFT TURN LANE TO WESTBOUND TAMARACK AVENUE TIF 286,000 - 286,000
EL CAMINO REAL MEDIANS GAS TAX 1,984,530 - 1,135,000
EL CAMINO REAL MEDIANS PFF 909,500 261,179 648,321
EL CAMINO REAL RIGHT TURN LANE TO EAST BOUND ALGA ROAD TIF 401,000 - -
EL CAMINO REAL WIDENING - CASSIA RD TO CAMINO VIDA ROBLE TRANSNET-LOC 2,820,000 - -
EL CAMINO REAL WIDENING - ARENAL ROAD TO LA COSTA AVENUE TIF 1,925,000 - -
J-9
2015-16 Final Capital Improvement Program
YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5 YEAR 6-10 YEAR 11 -15
2015-16 2016-17 2017-18 2018-19 2019-20 2021-25 2026-30
10,679,075 206,000 300,000 300,000 300,000 1,500,000 1,500,000
210,000
190,000
190,000
190,000
190,000
190,000
190,000
210,000
210,000
190,000
190,000
0 190,000 190,000 400,000 0 1,180,000 190,000
250,000 250,000 250,000 250,000 170,000
2,431,000 2,746,000
16,923
130,622
2,529,000
853,000
3,369,000
900,000
1,166,000
2,839,000
1,320,000
1,080,000
250,000 250,000 250,000 250,000 250,000 1,250,000 1,250,000
260,000
1,036,000
515,000
849,530
401,000
325,000 2,495,000
1,925,000
J-10
2015-16 Final Capital Improvement Program
TOTAL PRIOR BALANCE
PROJECT TITLE FUND COST EXP/ENC FORWARD
EL CAMINO REAL WIDENING - ARENAL ROAD TO LA COSTA AVENUE (RTCIP) TIF 625,000 - 450,000
EL CAMINO REAL WIDENING - LISA STREET TO CRESTVIEW DRIVE OTHER 2,322,000 - -
EL CAMINO REAL WIDENING - TAMARACK AVENUE TO CHESTNUT AVENUE TIF 5,641,022 5,641,022
EL CAMINO REAL WIDENING - TAMARACK AVENUE TO CHESTNUT AVENUE (RTCIP) TIF 2,922,000 2,922,000 -
EL CAMINO REAL WIDENING - TAMARACK AVENUE TO CHESTNUT AVENUE TRANSNET-LOC 3,925,885 3,818,490 107,395
EL CAMINO REAL WIDENING - TAMARACK AVENUE TO CHESTNUT AVENUE TRANSNET-STP 344,400 305,308 39,092
KELLY DRIVE AND PARK DRIVE ROAD DIET AND MULTIUSE TRAIL TRANSNET-LOC 3,875,000
LA COSTA AVENUE - TRAFFIC CALMING GAS TAX 863,000 - -
LA COSTA AVENUE SLOPE REPAIR WEST OF ROMERIA STREET GAS TAX 209,000 69,014 139,986
MELROSE DRIVE AND ALGA ROAD DUAL LEFT TURN LANES (RTCIP) TIF 1,132,000 - -
MELROSE DRIVE RIGHT TURN LANE TO WEST BOUND PALOMAR AIRPORT ROAD TIF 561,000 95,632 465,368
MUTCD STREET NAME SIGN REPLACEMENT PROGRAM GAS TAX 756,187 671,147 85,040
PALOMAR AIRPORT ROAD AND COLLEGE BLVD IMPROVEMENTS TIF 495,500 343,989 151,511
PALOMAR AIRPORT ROAD AND COLLEGE BLVD IMPROVEMENTS GCC 405,500 405,059 441
PALOMAR AIRPORT ROAD WIDENING AT PASEO DEL NORTE TIF 1,676,019 1,263,103 412,916
PALOMAR AIRPORT ROAD/EL CAMINO REAL RIGHT TURN LANE TIF 591,000 - 591,000
PALOMAR AIRPORT ROAD/EL FUERTE STREET RIGHT TURN LANE TIF 1,096,000 - -
PALOMAR AIRPORT ROAD/PASEO DEL NORTE LEFT TURN LANE GAS TAX 233,000 - 233,000
PALOMAR AIRPORT ROAD/PASEO DEL NORTE RIGHT TURN LANE GAS TAX 564,000 - 564,000
PARKING LOT MAINTENANCE PROGRAM IRF 1,530,000 45,312 639,688
PAVEMENT MANAGEMENT PROGRAM GAS TAX 26,138,128 2,481,024 4,907,104
PAVEMENT MANAGEMENT PROGRAM TRANSNET-LOC 38,946,375 12,842,533 3,603,842
PAVEMENT MANAGEMENT PROGRAM (NON-JURIS FEES) TRANSNET-LOC 16,282,474 4,060,853 971,621
POINSETTIA LANE - REACH E CASSIA ROAD TO SKIMMER COURT BTD#2 15,204,000 261,658 388,342
POINSETTIA LANE - REACHES A,B,C,F,G & AVIARA PKWY REIMB BTD#2 1,534,000 - -
POINSETTIA LANE WIDENING - PASEO DEL NORTE TO BATIQUITOS DRIVE (RTCIP) TIF 951,000 - -
PUBLIC BEACH ACCESS IMPROVEMENTS AT GRAND AND CVD GCC 2,100,000 70,000
PUBLIC BEACH ACCESS IMPROVEMENTS AT GRAND AND CVD IRF 500,000
RAILROAD DOUBLE TRACKING GCC 250,000 37,418 212,582
RANCHO SANTA FE ROAD NORTH - PHASE II (BRIDGE) RSF ROAD 20,671,000 20,150,830 520,170
RETROREFLECTIVITY SIGN REPLACEMENT PROGRAM GAS TAX 2,320,000 21,317 2,078,683
SIDEWALK/STREET CONSTRUCTION - VALLEY STREET MAGNOLIA AVENUE WATER REPL 291,000 204 290,796
SIDEWALK/STREET CONSTRUCTION - VALLEY STREET MAGNOLIA AVENUE TIF 1,674,237 95,322 1,578,915
SIDEWALK/STREET CONSTRUCTION PROGRAM TIF 4,100,000 407,350 1,592,650
STREET LIGHTING REPLACEMENT PROGRAM GCC 3,645,000
TRAILS ROADWAY CROSSINGS (CATS) GAS TAX 380,000
TRAFFIC IMPACT FEE UPDATE TIF 200,000 - 200,000
TRAFFIC MONITORING PROGRAM TIF 2,102,900 691,627 259,273
VALLEY STREET ROAD DIET AND TRAFFIC CALMING TRANSNET-LOC 1,645,000
WAYFINDING SIGN REPLACEMENT PROGRAM GAS TAX 150,000
SUBTOTAL STREETS PROJECTS 233,792,379 72,767,894 37,248,410
LOANS TO OTHER FUNDS
LOAN - CFD #1 TO TIF CFD#1 2,329,636 2,329,636
LOAN - SEWER REPL TO SEWER CONN SEWER REPL 4,700,000 4,700,000
LOAN - PFF TO PIL-NW PFF 800,000
LOAN - PFF TO PIL-SW PFF 1,100,000
PFF LOAN TO PIL-NE FOR PARK SITE ACQUISITION PFF 4,550,000 4,550,000
SUBTOTAL FUTURE LOANS TO OTHER FUNDS 13,479,636 11,579,636 -
REPAYMENTS/TRANSFERS
GAS TAX TRANSFER TO GENERAL FUND (TRANSPORTATION OPERATING BUDGET) GAS TAX 5,400,000
LOAN: PIL-NE TO PFF FOR PARK SITE ACQUISITION PIL-NE 4,550,000
LOAN REPAY - SEWER CONN TO SEWER REPL SEWER CONN 4,700,000
LOAN REPAY - PIL-NW TO PFF PIL-NW 800,000
LOAN REPAY - PIL-SW TO PFF PIL-SW 1,100,000
TIF TO CFD #1 TIF 2,329,636
SUBTOTAL LOAN REPAYMENTS 18,879,636 - -
GRAND TOTAL ALL FUNDED PROJECTS 898,495,244 239,634,335 204,006,209
J-11
2015-16 Final Capital Improvement Program
YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5 YEAR 6-10 YEAR 11 -15
2015-16 2016-17 2017-18 2018-19 2019-20 2021-25 2026-30
175,000
2,322,000
2,360,000 1,515,000
863,000
1,132,000
1,096,000
420,000 425,000
1,450,000 1,450,000 1,450,000 1,450,000 1,450,000 7,250,000 4,250,000
1,500,000 1,500,000 1,500,000 1,500,000 1,500,000 7,500,000 7,500,000
750,000 750,000 750,000 750,000 750,000 3,750,000 3,750,000
1,436,000 13,118,000
1,534,000
951,000
2,030,000
500,000
220,000
300,000 300,000 300,000 300,000 300,000 600,000
320,000 850,000 825,000 825,000 825,000
380,000
-
96,000 96,000 96,000 96,000 96,000 480,000 192,000
1,645,000
150,000
11,309,075 14,465,000 13,387,000 8,256,000 5,341,000 25,685,000 45,333,000
800,000
1,100,000
1,900,000 - - - - - -
600,000 600,000 600,000 600,000 600,000 2,400,000
4,550,000
4,700,000
800,000
1,100,000
40,000 40,000 40,000 40,000 40,000 200,000 1,989,636
640,000 640,000 640,000 640,000 1,440,000 3,700,000 11,239,636
73,479,581 40,986,067 28,775,399 15,921,104 11,601,396 115,606,330 168,544,823
J-12
2015-16 Final Capital Improvement Program
TOTAL PRIOR BALANCE
PROJECT TITLE FUND COST EXP/ENC FORWARD
UNFUNDED PROJECTS*
AGUA HEDIONDA CHANNEL (PLDA "B" - FACILITY B + BN) 4,600,000
BUSINESS PARK RECREATIONAL FACILITY (PARTIAL FUNDING) 6,600,000
CANNON LAKE PARK (6.7 ACRES)2,243,000
CANNON ROAD REACH 4 (PARTIAL FUNDING) 27,000,000
CARLSBAD BOULEVARD MOUNTAIN VIEW TO NORTHERLY CITY LIMITS (PARTIAL FUNDING) 6,905,600
CARLSBAD BOULEVARD / PALOMAR AIRPORT ROAD (PARTIAL FUNDING) 14,109,600
CARLSBAD BOULEVARD REALIGNMENT - SEGMENTS 3-5 26,100,000
HOSP GROVE/BUENA VISTA LAGOON REC'L IMPROVEMENTS 1,280,000
PINE AVENUE PARK - MADISION PROPERTY, PHASE 2 2,320,000
ROBERTSON RANCH PARK DEVELOPMENT (PARTIAL FUNDING) 7,800,000
TOTAL UNFUNDED PROJECTS 98,958,200
J-13
Fund Summary
Fund Summary
Appendices
CITY OF CARLSBAD
OUT OF STATE TRAVEL BUDGET 2015-16
0014010 LIBRARY & CULTURAL ARTS Americans For The Arts Annual Meeting 2 Denver, CO $4,500
Association of American Museums 1 Washington, DC $2,500
SirsiDynix Library Systems Users Conference 1 Buena Vista, FL $2,300
PLA Conference 3 Denver, CO $6,900
ALA Conference 1 Orlando, FL $2,750
LIBRARY & CULTURAL ARTS TOTAL $18,950
0014510 PARKS & RECREATION National Recreation and Parks Assoc. Conference 10 Las Vegas, NV $10,000
Active Net Conference 3 Dallax, TX $5,000
ASLA Annual Meeting and Expo 2 Chicago, IL $4,000
PARKS & RECREATION TOTAL $19,000
0015010 PROPERTY & FLEET Commercial Real Estate Development Association 2 TBD $6,000
0015110 ENVIRONMENTAL MANAGEMENT National League of Cities 2 St. Louis, MO $2,050
0015310 PROPERTY AND FLEET - FACILITIES CMAA 1 TBD $1,500
Living Future Conference 1 TBD $1,500
International Facility Maintenance Conference 1 TBD $1,500
0015320 SAFETY TRAINING CENTER Shot Show 1 Las Vegas, NV $3,300
PROPERTY & FLEET TOTAL $15,850
0018310 PUBLIC WORKS ADMINISTRATION APWA Conference 4 Phoenix, AZ $14,025
0018410 PW - TRANSPORTATION AND STREETS APWA Conference 2 Minneapolis, MN $4,000
Storm Con 5 Austin, TX $13,925
TRANSPORTATION TOTAL $31,950
0019003 STRATGIC CHANGE TEAM - NON-DEPT'L ICMA Transforming Local Government Conference 3 St. Paul, MN $7,500
TRANSPORTATION TOTAL $7,500
GENERAL FUND SUBTOTAL $256,329
ORG KEY DEPARTMENT TRAVEL DESCRIPTION PEOPLE DESTINATION BUDGET
5016310 WATER OPERATIONS AWWA CA-NV Conference 1 Las Vegas, NV $1,000
AWWA ACE Conference 2 Chicago, IL $5,000
Tri State Seminar 4 Las Vegas, NV $3,600
WaterSmart Innovations Conference 1 Las Vegas, NV $1,000
AWWA CA-NV 2016 Conference 3 Reno, NV $6,500
WATER OPERATIONS TOTAL $17,100
5026310 RECYCLED WATER Tri State Seminar 1 Las Vegas, NV $1,600
Water Reuse Annual Conference 2 Seattle, WA $4,800
Western Regional Backflow Conference 1 Las Vegas, NV $1,600
RECYCLED WATER TOTAL $8,000
5116310 WASTEWATER Tri State Seminar 2 Las Vegas, NV $3,200
WEFTEC Conference 2 Chicago, IL $3,500
APWA Annual Conference 1 Phoenix, AZ $2,000
WASTEWATER TOTAL $8,700
6205460 PROPERTY & FLEET MANAGEMENT Assetworks Conference 2 TBD $4,000
Government Fleet Expo 1 TBD $2,500
PROPERTY & FLEET MAINTENANCE TOTAL $6,500
640171X INFORMATION TECHNOLOGY Business Intelligence Conference 2 TBD $2,400
ESI - Taking Charge of Organizational Change 1 TBD $2,600
ETL Training 2 TBD $2,400
Front-end Tool Training 2 TBD $2,400
Gartner Business Intelligence and Analysis Summit 1 TBD $2,600
Gartner Application Architecture, Development & Integration 1 Las Vegas, NV $3,500
Gartner BPM / Change Management 1 Southeast US $3,500
Gartner CIO Conference 1 Western US $3,500
Informix/Lawson Conference 1 TBD $3,000
IT Financial Management 1 Atlanta, GA $2,000
IT PMO Training 1 Western US $2,400
Kronos Conference 1 Las Vegas, NV $2,700
NAGW Conference 1 Albuquerque, NM $2,100
Sunguard Conference 1 TBD $1,000
Tyler Conference 1 TBD $2,300
Tyler Technology User Conference 1 Atlanta, GA $1,350
INFORMATION TECHNOLOGY TOTAL $39,750
NON GENERAL FUND SUBTOTAL $80,050
GRAND TOTAL OUT OF STATE TRAVEL $336,379
NON-GENERAL FUND
L-4