SR 06:127 - Laserfiche WebLink

been exceeding inflation. As is the case with most public and private sector employers, the single greatest factor driving expenditure growth is labor costs; specifically the costs of retirement, medical benefits, and workers' compensation have been growing beyond the rate ofinflation. The Figure on page XI-19 shows that revenues are expected to continue to exceed expenditures over the next five or six years, but excess net income is starting to slowly trend downwards. Therefore, not only is it important to maintain a strong revenue base through an aggressive economic development strategy, and to charge appropriate fees, but it is a continual necessity to manage labor and other costs in order to deliver services in a very cost effective manner. City Financing and Sustain ability at General Plan Build Out As noted, the City currently has over 70% of its total General Fund revenue generated from property tax and sales tax. With pending retail saturation and the limitations on property tax growth, the diversity of the revenue system as well as the degree of local control will be key factors in ensuring Pleasanton's long-term fiscal health and sustainability. To maintain such revenue diversity and self-reliance, new revenue sources will need to be explored while existing sources, such as development and user fees, will require periodic review to ensure that costs are paid by the appropriate users. The City should also be proactive in monitoring legislation that could have a negative financial impact. Prudent asset management and effective revenue collection, as well as the delivery of services in the most cost effective manner, will be important factors in minimizing burdens to the taxpayer and ensuring fiscal sustainability at build-out. In order to ensure that any remaining development pays for its share of capital facilities and infrastructure, the City must continue to identify the appropriate funding sources for each capital project. Each project should be analyzed to determine whom it will serve and who should pay for it. Through fee studies and efficient accounting, the City can ensure that development fees pay for those portions of projects that are needed to serve new development. The remaining portion of projects that serve existing residents and businesses can then be funded appropriately by General Fund reserves, gas taxes, water/sewer rate revenue, and available grants. XI-8