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BIENNIAL BUDGET OVERVIEW
<br />The biennial budget incorporates the estimated revenues and planned expenditures for all General Fund, Special Revenue
<br />Funds, Enterprise Funds including Internal Service Funds, and other agency funds. The resources total for all funds in the
<br />biennial budget is $219,951,000 in 2023-24. Total proposed expenditures of $221,091,000 are set forth by fund in the following
<br />chart.
<br />GENERAL FUND
<br />The General Fund nances the operations of the City that have no special or dedicated revenue sources. The fund pays for the
<br />basic operations of the City. Over one-half of the General Fund revenue is allocated to support public safety activities. Total
<br />2023-24 and 2024-25 General Fund expenditures total $143,337,000 and $146,822,000, respectively. Estimated revenues in the
<br />amount of $137,993,000 and $140,940,000 nance the anticipated expenditures.
<br />GENERAL FUND REVENUE
<br />In 2023-24, revenues from taxes, franchises, licenses and permits, nes, fees & forfeitures, interest & property income, and
<br />charges for services are estimated to increase by 3% over 2022-23. Of the estimated General Fund revenue of $137,993,000 in
<br />2023-24, 78% is generated from only three sources: sales tax, property tax, and utility users tax.
<br />Property Tax - Total property-related tax revenues are budgeted at $28,959,000 in the proposed budget, an increase of
<br />$1,082,600 compared to the 2022-23 amended budget. Secured Tax and Redevelopment Residual Property Tax revenues
<br />make up 66% of the City’s annual Property Tax revenue. Secured Tax revenue amounts to $15,287,000 in 2023-24, while
<br />Redevelopment Residual Tax amounts to $2,972,000. Property Tax is the City’s second largest revenue source and
<br />represents 21% of total General Fund revenue.
<br />Sales/Transaction Taxes - Sales/Transaction Tax revenues are budgeted at $55,847,600, a decrease by $147,200 compared
<br />to the 2022-23 amended budget. While this revenue item is impacted by economic conditions, Avenue Insights, the City’s
<br />sales tax advisor, projects the City will receive the projected budget amount in 2023-24. This amount includes Transaction
<br />Use Tax (Measure HH from 2014) amounts of $14,770,000. Sales and Transaction Taxes are the City’s largest revenue
<br />sources and account for 40% of the General Fund revenue.
<br />Utility Users Tax (UUT) - Total UUT revenues decreased by $212,858 in the proposed budget compared to the 2022-23
<br />amended budget. The 2023-24 budget is estimated at $11,280,700. Natural gas and electric UUT revenues represent 80%
<br />of the total UUT revenues. UUT is not expected to increase signi cantly in future years due to the use of renewal energy
<br />and increased competition in the telecommunication market (e.g., cable TV and wired and wireless telecommunications).
<br />Real Property Transfer Tax (RPTT) - Total projected RPTT revenues are estimated at $11,000,000. This is an increase by
<br />$1,730,000 compared to the 2022-23 amended budget. Ballot Measure VV, increasing the Property Transfer tax rate from
<br />$6 per $1,000 in valuation to $11, accounts for $4,900,000 of the projected budget. This tax is highly volatile, relying on
<br />the timing of changes in property ownership.
<br />Business Licenses Tax – Business License Tax revenues increase by $270,000 compared to the projected 2022-23 budget.
<br />Total projected Business License revenues are estimated at $6,100,000.
<br />City of San Leandro | Proposed Biennial Budget FY24-25 Page 8
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