November 1, 2005
SUBJECT: Adoption of Work Plan for Update of Fiscal Sub-Element of General Plan (STUDY ISSUE)
REPORT IN BRIEF
The Fiscal Sub-Element of the City’s General Plan was adopted in 1988 and has not been updated in the interim. The update of this document provides an opportunity to incorporate policy that has been adopted since then and to review and revise as necessary the City’s goals, policies and action statements. This report provides a Work Plan for Council consideration, projecting completion of the revised Fiscal Sub-Element for July 2006. The update of the Fiscal Sub-Element is a Council Study Issue. A copy of the Study Issue Paper is included as Attachment A to this report.
Staff recommends Alternative 1: Adopt Work Plan for update of Fiscal Sub-Element as submitted.
BACKGROUND
The Fiscal Sub-Element of the City’s General Plan provides a policy basis for Sunnyvale’s financial decision-making and actions. The Sub-Element includes a description of community conditions, and identifies goals, policies and action statements addressing fiscal matters.
The Fiscal Sub-Element was adopted by the Council in 1988 and has not been updated in the interim. As a general practice, Sub-Elements are updated every five to ten years, depending on how much conditions in Sunnyvale have changed. In updating the Fiscal Sub-Element, staff will review Sunnyvale’s fiscal systems and our current and projected financial condition. Staff will also review all existing policies to see what changes have been adopted since the Fiscal Sub-Element was written. Research will be done to gather the formal financial policies from other local governments and identify best practices that should be considered. Finally, staff will review the goals to ensure that they are still relevant, determine what modifications might be needed, and check for consistency with other City planning and policy documents.
EXISTING POLICY
The Legislative Management Sub-Element states:
7.3A.1c Review and update each General Plan Sub-Element approximately every 5 years.
DISCUSSION
Scope and Timeline
The Fiscal Sub-Element will utilize best practices to update the City’s financial policies. The Scope of Services includes several tasks and activities related to the Update. They can be broadly classified as follows:
· Identification of community demographics;
· Analysis of Sunnyvale’s current and projected financial condition;
· Review of current financial structure and practices;
· Identification of governing philosophies and policies;
· Identification of emerging issues; and
· Development of strategies for meeting needs.
This work plan represents the beginning of the update process, and the work is anticipated to be completed in July 2006. All staff work and community and commission review will occur within this time frame. Attachment B is a copy of the full Work Plan with the associated timeline.
Process for Developing and Adopting the Fiscal Sub-element
In accordance with the City’s standard administrative guidelines, staff will follow a structured process for the revision of the General Plan Sub-Element, consisting of six phases:
1. Adoption of a work plan;
2. Identification of community conditions;
3. Identification of goals and policies;
4. Preparation of a draft Sub-Element;
5. Adoption of Sub-Element; and
6. Distribution of Sub-Element.
Citizen Participation
Finance staff views the City Council, Office of the City Manager, Finance Department employees, and staff from other departments to be the primary stakeholders of this Sub-Element. Staff is proposing a Study Session with City Council at the beginning of June 2006 to gain input on the draft. The required input from the Planning Commission and any other interested Boards and Commissions is scheduled for later in June 2006. The Work Plan schedule may change due to any addition and/or removal of citizen participation desired by Council.
Staff Participation
Overall project management will be coordinated by the Director of Finance. Project management includes the coordination of research and analysis activities, participation of staff in the public review process and overall responsibility for the preparation of the Sub-Element. Other Finance Department staff will assist with data collection activities, issues identification, and needs assessment and review of the document. Staff will also coordinate citizen participation and distribution to other government entities. Input and comment will also be solicited from staff from other City departments.
FISCAL IMPACT
No additional funding is required. Council has approved a special project in the amount of $40,000 (Project #821670) for all associated costs, including final publication costs.
Conclusion
The Fiscal Sub-Element has not been revised since its adoption in 1988. The existing document does not include changes in fiscal policies adopted by Council throughout the intervening years nor does it recognize the changes in the City’s financial condition or strategies put into practice throughout the years. Updating will also allow us to review best practices from other jurisdictions and include those that would be beneficial to Sunnyvale. The proposed Work Plan follows the City’s standard guidelines for updating Sub-Elements.
PUBLIC CONTACT
Public contact was made through posting of the Council agenda on the City’s official notice bulletin board, posting of the agenda and report on the City’s web page, publication of the Council agenda in the San Jose Mercury News, and the availability of the report in the City Clerk’s office and the Library.
ALTERNATIVES
1. Adopt Work Plan for update of the Fiscal Sub-Element as submitted.
2. Approve Work Plan for update of the Fiscal Sub-element with modifications.
3. Other action as determined by Council.
RECOMMENDATION
Staff recommends Alternative 1: Adopt Work Plan for update of the Fiscal Sub-Element of the General Plan
Prepared by:
Mary J. Bradley
Director of Finance
Approved by:
Amy Chan
City Manager
Attachments (pdf)
A. Study Issue Paper: “Update Fiscal Sub-Element”
B. Work Plan for Revision of Fiscal Sub-Element