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ECONOMIC RECOVERY REVIEW FOR FISCAL YEAR 2021-22 AND FISCAL YEAR 2022-23 BUDGETED REVENUES
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Please note this agenda item was included on the March 6, 2023 and September 27, 2023 committee meeting agendas but was not heard by the committee due to a lack of quorum.
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According to Section 19 (“Citizen Oversight”) of the Ordinance that enacted Measure A (Ordinance No. 2013-07-09-1601), the Measure A Citizens’ Advisory Committee is tasked, in part, to: “review progress toward peak general fund revenues as described in Section 18 of this Ordinance.”
Section 18 (“Economic Recovery Review”) of that ordinance reads: “Peak revenues to the City’s general fund occurred in the fiscal year 2008-2009 when the City received approximately $203,101,529 in such revenues. In the event the City, during any fiscal year in which this Ordinance is in effect, receives general fund (excluding amounts of such revenues transferred by the City to San Joaquin County pursuant to any tax sharing agreement, and excluding revenues under this Ordinance) in excess of the peak amount reached in fiscal year 2008-2009 adjusted for inflation from July 1, 2008 to the date of measurement using an average of the Consumer Price Indices for All Urban Consumers (1982-84=100) (CPI-U) for (i) U.S. City Average; (ii) San Francisco-Oakland-San Jose; and (iii) Western Urban, then the City Council shall hold a noticed public hearing to consider whether to reduce or eliminate the tax imposed by this Ordinance.”
This report provides an update of the Economic Recovery Review reflecting Fiscal Year (FY) 2021-22 actual General Fund revenues and FY 2022-23 budget revenues as shown on Attachment A. Table 1 shows the composite CPI changes of 4.73% in 2021 and 7.51% in 2022. The FY 2008-09 peak revenues of $203.1 million adjusted for annual inflation would be $284.8 million in FY 2022-23. Table 2 on the attachment details the FY 2021-22 and FY 2022-23 adjusted revenues reconciled to page 24 of the Fiscal Year 2021-22 Annual Comprehensive Financial Report. FY 2021-22 revenues were $23.1 million below adjusted peak revenues and FY 2022-23 budgeted revenues are $41.5 million below the peak revenues as shown in summary below.
Attachment A - Measure A Economic Recovery Review Tables