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HomeMy WebLinkAboutCouncil Provided Information - 12/9/2025CITY COUNCIL OF SALT LAKE CITY 451 SOUTH STATE STREET, ROOM 304 SLCCOUNCIL.COM COUNCIL TAFF EPORT CITY COUNCIL of SALT LAKE CITY TO: City Council Members FROM: Jennifer Bruno, Lehua Weaver, Austin Kimmel, Kira Luke, Allison Rowland, Sylvia Richards, Michael Sanders, and Kate Werrett DATE: December 9, 2025 RE: FY 2026 Budget Amendment No.3 PROJECT TIMELINE: Briefing: December 2, 2025 Set Date: November 25, 2025 Public Hearing: Dec. 9, 2025 Potential Action: Dec. 9, 2025 ISSUE AT-A-GLANCE Budget Amendment #3 includes three proposed amendments (grants) , including $4,139,705 in revenues. The amendment proposes changes in one fund. No General Fund expenses are proposed in Budget Amendment No. 3; therefore, if the three grants are adopted, the available fund balance will remain 12.71 percent of the FY 2026 Adopted Budget, or $1,498,933 below the 13% minimum target. The Administration indicates that an update on impact fees will be provided with the next budget amendment transmittal. Page | 2 Revenue Update The Administration provided the following revenue numbers (see below), and indicated the Sales, Use & Excise decrease is due to natural gas revenue from Enbridge (municipal energy tax). The revenues are trending lower, and staff will continue to monitor this revenue line item and are looking into final rates that were adopted across the last few years. Page | 3 Fund Balance Chart No General Fund expenses are proposed in Budget Amendment No. 3; therefore, the available fund balance will remain at 12.71 percent of the FY26 Adopted Budget. For context, at budget adoption, fund balance was at 12.93 percent. Page | 4 ADDITIONAL & BACKGROUND INFORMATION Section A: New Items None Section B: Grants for Existing Staff Resources None Section C: Grants for New Staff Resources None Section D: Housekeeping None Section E: Grants Requiring No New Staff Resources E-1: COPS Technology & Equipment Grant - Subaward from Davis County ($224,000 - Misc. Grant Fund) The Davis County Sheriff's Department applied for and received a COPS grant in the amount of $1.5 million from the Department of Justice. They are sub-awarding $659,000 to Salt Lake County, $165,000 to Tooele County and $224,000 to Salt Lake City as reimbursement for the purchase of equipment. The grant will pay for license plate reader cameras which will be posted on traffic light poles at major intersections to and from the city, such as Beck Street. The Public Hearing for this grant was held November 18, 2025. E-2: Jordan River Water Trail River Restoration & Recreation Project Grant ($666,000 - Misc. Grant Fund) This grant helps fund the removal of hazardous vegetation from the Jordan River's riverbed, banks and canopy, ensuring a safe, navigable waterway while improving habitat quality. The first phase, completed between 2022- 2024, focused on a full sweep of the riverbed, removing decades worth of dead and downed trees. Following completion of this phase of the project, canoes and kayaks are now able to navigate the full length of Salt Lake City’s portion of the river without obstacles. The current phase will address riverbanks and tree canopy management, with the goal of reducing hazards from unstable trees and preventing organic debris from entering the river. Public Lands is using $135,000 of operational funds as a required match. These funds will be used to employ a contractor to do the required work. The Public Hearing for this grant was held October 21, 2025. E-3: FY26 Homeless Shelter Cities Mitigation Grant – ($3,249,704 – Misc. Grant Fund) The City was awarded funds from an annual formula driven grant which the state provides for homeless shelter mitigation. The City has received this grant each year since FY 2020. The state allocates funding each year to local governments with homeless shelters within their boundaries. The grant provides financial assistance to help cover the expenses related to providing shelter for the unhoused. The total of this award is $3,249,704.89, an amount determined by an allocation formula outlined in Utah State Code and will primarily cover the ongoing personnel costs of 15 SLCPD officers, 3 SLCPD Sergeants, and 1 SLCPD Lieutenant. In addition, the grant will cover overtime and personnel costs for winter overflow shelter response approximately 7,000 hours. In past years, the grant provided funding for the Homeless Engagement and Response Team (HEART), as well as subawards to the Downtown Alliance and Volunteers of America (VOA), in addition to Police staff and equipment. This will be the first year the grant will solely fund Police personnel. The Public Hearing for this grant was held July 8, 2025. Section F: Donations None Page | 5 Section G: Council Consent Agenda – Grant Awards None Section I: Council Added Items None ATTACHMENTS 1. Ongoing Costs to the General Fund ACRONYMS COPS – Community Oriented Policing Services CAFR – Comprehensive Annual Financial Report FTE – Full time Employee / Equivalent FY – Fiscal Year GF – General Fund HEART – Homeless Engagement and Response Team IMS – Information Management Services VOA – Volunteers of America Page | 6 Attachment 1: New Ongoing Costs to the General Fund Council staff has provided the following list of potential new ongoing costs to the General Fund. Many of these are new FTE’s approved during this fiscal year’s budget amendments, noting that each new FTE increases the City’s annual budget costs if positions are added to the staffing document. Note that some items in the table below are partially or fully funded by grants. If a grant continues to be awarded to the City in future years, then there may not be a cost to the General Fund but grant funding is not guaranteed year-over-year. Budget Amendment Item Potential Cost to FY2026 Annual Budget Full Time Employ ee (FTEs) Notes BAM#2 Forward $159,414 Ongoing funding for multiple departments to address compensation for positions lagging behind market rate. Changes & funding weren’t included in BAM#2 D-4 Language Access Transfer from Mayor’s Office $50,000 Ongoing -0- access services funding was inadvertently left out of IMS budget when it was transferred from Mayor’s to IMS during BAM#3 None. TOTAL $209,414