HomeMy WebLinkAboutReso 62-2017 (17-624) _x SANS City of South San Francisco
4,`• . t -o L P.O. Box 711 (City Hall,
° 400 Grand Avenue)
South San Francisco, CA
—_ o City Council
L OB- Resolution: RES 62-2017
File Number: 17-624 Enactment Number: RES 62-2017
RESOLUTION APPROVING THE SOUTH SAN FRANCISCO
CONFERENCE CENTER AUTHORITY FISCAL YEAR 2017-18
BUDGET.
WHEREAS, the South San Francisco Conference Center Authority ("Conference Center ") conducted a
public meeting on June 5, 2017 and reviewed the Fiscal Year(FY) 2017-18 budget("Budget"); and
WHEREAS, the Conference Center Authority found that the FY 2017-18 budget represented the
appropriate level of expenditures for Fiscal Year 2017-18 and recommended that the City Council approve
the proposed budget; and
WHEREAS, the City Council concurs with the Conference Center Authority's recommendation.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of South San Francisco ("City
Council")as follows:
The Conference Center FY 2017-18 Budget attached hereto as Exhibit A showing a total revenue
projection of$4,173,246 and a total expenditure request of$3,504,556 is hereby approved.
The capital project request of$408,600 included within the Budget is hereby approved.
Each budget category listed in South San Francisco Municipal Code § 2.78.106 is funded to the limits
specified in the Budget.
The funds collected pursuant to South San Francisco Municipal Code §4.20.035 are hereby appropriated
to fund the Conference Center Budget.
The City Manager and the Finance Director are hereby directed and authorized to make the specified funds
available to the Conference Center.
Copies of the Conference Center Budget shall be made available for public review and inspection in the
Offices of the City Clerk and the Administrative Offices of the Conference Center.
City of South San Francisco Page 1
File Number: 17-624 Enactment Number: RES 62-2017
At a meeting of the Special City Council on 6/27/2017, a motion was made by Richard Garbarino,
seconded by Mark Addiego, that this Resolution be approved. The motion passed.
Yes: 4 Matsumoto,Addiego, Gupta, and Garbarino
Recused: 1 Normandy
n
Attest by r
Gabrod iguez
City of South San Francisco Page 2
South San Francisco
Conference Center Authority
Fiscal Year 2017-2018 Budget
As Recommended to the
South San Francisco City Council
By the
South San Francisco Conference Center
Authority Board
June 28, 2017
FY 17-18 FY 16-17 FY 16-17
Proposed BudgetApproved Budget Year End
Total Revenue 4,173,246 3,770,394 3,957,271
Total Expenditures3,504,556 3,205,315 3,207,726
Surplus 668,690 565,079 749,545
Fiscal Year 2017-2018 Budget
South San Francisco Conference Center
1
FY 17-18 FY 16-17 FY 16-17 % change % of Year End to
Proposed BudgetApproved Budget Year End Proposed BudgetApproved Budget
to Approved Budget
Conference Center
Operations 1,908,000 1,575,000 1,800,000 21.14%114.29%
Conference Center 2,250,746 2,183,394 2,143,071 3.08%98.15%
Tax
Interest Income 14,500 12,000 14,200 20.83%118.33%
Total 4,173,246 3,770,394 3,957,271 10.68%104.96%
Expenditure Projections - All Sources
FY 17-18 FY 16-17 FY 16-17 % change % of Year End to
Proposed BudgetApproved Budget Year End Proposed BudgetApproved Budget
to Approved Budget
Conference Center
Operations 2,546,129 2,255,502 2,257,913 12.89%100.11%
Debt Service 474,022 469,613 469,613 0.94%100.00%
Property Leases/Taxes 484,405 480,200 480,200 0.88%100.00%
Total 3,504,556 3,205,315 3,207,726 9.34%100.08%
South San Francisco Conference Center
Fiscal Year 2017-2018 Budget
Revenue Projections - All Sources
2
FY 17-18 FY 16-17 FY 16-17 % change % of Year End to
Proposed BudgetApproved Budget Year End Proposed BudgetApproved Budget
to Approved Budget
Rent 888,000 805,000 805,000 10.31%100.00%
Food & Beverage 770,000 550,000 750,000 40.00%136.36%
Event Services 250,000 220,000 245,000 13.64%111.36%
Total 1,908,000 1,575,000 1,800,000 21.14%114.29%
Fiscal Year 2017-2018 Budget
Revenue Projections-Conference Center Operations
South San Francisco Conference Center
3
FY 17-18 FY 16-17FY 16-17 % change % of Year End
Proposed BudgetApproved BudgetYear EndProposed 17-18to Approved
to Approved 16-17
Salaries/Benefits
Salaries 853,500 680,750 672,000 25.38%98.71%
Workers' Compensation 18,000 7,600 35,000 136.84%460.53%
Health, Dental, Vision, LTD, STD 198,000 162,000 157,000 22.22%96.91%
Pension, Medicare FICA 145,000 115,000 102,300 26.09%88.96%
1,214,500 965,350 966,300 25.81%100.10%
Operations/Maintenance Services
Set Up/Tear Down Service 124,500 115,000 123,500 8.26%107.39%
Janitorial Service 120,000 104,500 116,500 14.83%111.48%
Transportation Service 6,500 6,500 5,700 0.00%87.69%
Linen/Water Service 21,500 20,000 20,000 7.50%100.00%
Temporary Event Labor 170,000 170,000 148,000 0.00%87.06%
Electr/Plum/HVAC Main. Service 37,700 34,500 34,500 9.28%100.00%
Pest Control 4,000 3,800 3,600 5.26%94.74%
Fire Extinguisher/Alarm Service 5,000 4,500 7,300 11.11%162.22%
Landscape Service 17,000 15,500 13,200 9.68%85.16%
506,200 474,300 472,300 6.73%99.58%
Operation/Maintenance Supplies
Janitorial Supplies 14,000 14,000 14,000 0.00%100.00%
Operations Supplies 35,500 24,500 26,000 44.90%106.12%
49,500 38,500 40,000 28.57%103.90%
Marketing Services
Ad Production/Placement 172,000 172,000 198,000 0.00%115.12%
Public Relations 25,000 12,500 12,500 100.00%100.00%
Client Entertainment 19,000 11,000 13,400 72.73%121.82%
Client Gifts 9,000 7,500 8,500 20.00%113.33%
Booth Rental & Equipment Fee 7,500 4,000 3,800 87.50%95.00%
Industry Event Registration 12,000 10,000 9,000 20.00%90.00%
Group Incentive Rentals 9,000 20,000 9,600 -55.00%48.00%
253,500 237,000 254,800 6.96%107.51%
Meeting Travel/Dues/Memberships
Dues/Memberships 6,000 6,500 6,000 -7.69%92.31%
Meeting Travel Expense 18,000 16,000 15,000 12.50%93.75%
24,000 22,500 21,000 6.67%93.33%
Legal/Professional Services
Legal Services 30,000 30,000 26,500 0.00%88.33%
Professional Services 80,500 70,000 70,000 15.00%100.00%
110,500 100,000 96,500 10.50%96.50%
Fiscal Year 2017-2018 Budget
Expenditure Budget Conference Center Operations
4
FY 17-18 FY 16-17FY 16-17 % change % of Year End
Proposed BudgetApproved BudgetYear EndProposed 17-18to Approved
to Approved 16-17
Audit/Payroll Services 24,150 22,770 22,000 6.06%96.62%
City Finance Services 10,000 10,000 10,000 0.00%100.00%
General Insurance
Property Insurance 18,271 14,055 14,055 30.00%100.00%
Liability Insurance 18,808 14,468 14,468 30.00%100.00%
37,079 28,523 28,523 30.00%100.00%
Bank Charges/Bad Debt
Bank Charges 89,000 80,000 85,000 11.25%106.25%
Bad Debt 6,000 6,000 0 0.00%
95,000 86,000 85,000 10.47%98.84%
Office Machines/Publication/Supplies
Postage/Rental Equipment
Office Machines 8,000 8,000 7,200 0.00%90.00%
Computer Supplies 5,500 5,500 5,500 0.00%100.00%
Office Supplies 3,800 3,800 3,800 0.00%100.00%
Postage 2,300 2,500 1,990 -8.00%79.60%
19,600 19,800 18,490 -1.01%93.38%
Printing 2,500 2,500 2,000 0.00%80.00%
Utilities
Internet Service 56,500 57,500 57,300 -1.74%99.65%
Gas/Electric 96,200 95,000 95,000 1.26%100.00%
Telephone/Long Distance 16,900 17,200 16,500 -1.74%95.93%
Water 15,500 16,000 15,500 -3.13%96.88%
185,100 185,700 184,300 -0.32%99.25%
Other Adjustment
Retiree Health Cost 14,500 12,559 13,200 15.46%105.10%
2,546,129 2,205,502 2,214,413 15.44%100.40%
Expansion Study 50,000.00 43,500.00 -100.00%87.00%
TOTAL 2,546,129 2,255,502 2,257,913 12.89%100.11%
5
Capital Improvement Budget Budget
1 Replace Two (2) HVAC Units 57,000.00$
2 Replace and Repair Roof with Ceramic Flex Coat 275,000.00$
3 Replace and Upgrade the Emergency Lighting 68,500.00$
4 Replace two (2) Natural Gas Stock Pot Range 2,500.00$
5 Purchase five (5) Speed Kitchen Racks with Covers 5,600.00$
TOTAL:408,600.00$
South San Francisco Conference Center
Fiscal Year 2017-2018 Budget
6
Ending Unrestricted Fund Balance 2,550,678$
6/30/2016
Plus Projected FY 2016-17 Surplus/Loss 749,545$
Less FY 2016-17 Capital Expenditures (Actual)(390,441)$
Projected Unrestricted Fund Balance 6/30/17 2,909,782$
Plus Projected FY 2017-2018 Surplus 668,690$
Less FY 2017-18 Capital Expenditures (408,600)$
Projected Unrestricted Fund Balance 6/30/18 3,169,872$
Authority Designated Reserves *500,000$
Projected Undesignated Reserves 2,669,872$
Projected Fund Balance 6/30/18 3,169,872$
* Designated Reserve Categories
Capital Improvements 100,000$
Insurance 100,000$
Debt. Service 150,000$
Contingencies 150,000$
Total 500,000$
South San Francisco Conference Center
Fiscal Year 2017-2018
Unrestricted Fund Balance/Designated/Undesignated Reserves
7
SOUTH SAN FRANCISCO CONFERENCE CENTER
Salary Schedule
Fiscal Year 2017-2018
Executive Director 4/1/00
Hourly 72.36 150,500.00
Semi-Monthly 6,270.83
Monthly 12,541.67
Chief Financial Officer 5/1/98
Hourly 58.40 121,480.89
Semi-Monthly 5,061.70
Monthly 10,123.41
Director of Facility Operations 7/1/93
Hourly 51.11 106,304.44
Semi-Monthly 4,429.35
Monthly 8,858.70
Director of Sales 43.27 11/28/16 90,000.00
Hourly 3,750.00
Semi-Monthly 7,500.00
Monthly
Facility Services Manager 6/18/13
Hourly 36.06 75,000.00
Semi-Monthly 3,125.00
Monthly 6,250.00
Sales Manager 7/1/15
Hourly 26.44 55,000.00
Semi-Monthly 2,291.67
Monthly 4,583.33
Event Manager 3/1/15
Hourly 28.85 60,000.00
Semi-Monthly 2,500.00
Monthly 5,000.00
Administrative Services Assistant 12/1/15
Hourly 27.88 58,000.00
Semi-Monthly 2,416.67
Monthly 4,833.33
Meeting Manager Vacant 26.44 55,000.00
Hourly 2,291.67
Semi-Monthly 4,583.33
Monthly
Facility Services Coordinator Vacant 26.44 55,000.00
Hourly 2,291.67
Semi-Monthly 4,583.33
Monthly
Total 826,285.33
Incentive/Increase 27,214.67
Total 853,500.00
8
SOUTH SAN FRANCISCO
CONFERENCE CENTER AUTHORITY
FISCAL YEAR 2017-2018 BUDGET
Explanations of Changes
June 5, 2017
255 South Airport Boulevard, South San Francisco, California 94080
tel 650.877.8787 fax 650.877.5356
www.ssfconf.com
Revenue and Expenditure Projections - All Sources -
A surplus of revenue over expenses for FY 17-18 in the amount of $668,690 is
projected. This contributes to the fund balance and provides for capital
improvements. The projected Fund Balance at June 30, 2017 is $2,909,782.
The budgeted surplus for the FY 2016-17 was $565,079; however, the year-end
projection is that the surplus will be $749,545.
Revenue Projections - All Sources -
Conference Center Revenue – A 21.14% increase in Operations Revenue is
projected for FY 2017-18 from FY 2016-17 approved budget. The hospitality
industry continues to improve and 114.29% of the FY 2016-2017 budget
projection was achieved. The FY 2017-18 projections are anticipated to be met
based on the level of confirmed and tentative business currently booked. The
outlook for the coming year is still very positive for the San Francisco
International Airport area.
Conference Center Occupancy Tax - An occupancy rate of 80% is projected for
Fiscal Year 2017-18. This does included the addition of two (2) new hotels
coming into the inventory and the closure of one (1) hotel in Fiscal Year 2017-
2018. It is anticipated that FY 2016-17 year-end occupancies will be
approximately 80.5%.
Interest Income – Interest income is projected to remain relativity the same;
however changes can be based on market fluctuation.
10.68% Revenue increase projected for FY 2017-18 from FY 2016-17 approved
budget.
255 South Airport Boulevard, South San Francisco, California 94080
tel 650.877.8787 fax 650.877.5356
www.ssfconf.com
Expenditure Projections - All Sources -
Conference Center Operations Expenditure – A 12.89% increase is projected
from FY 2016-17 approved budget and an overall 9.34% increase from FY2016-
17. Please see the Operations Detail section for explanations.
Debt Service - Amounts reflect a continuation budget.
Property Leases/Taxes - Amounts reflect a continuation budget.
Expenditure Projections - Conference Center Operations
All operating areas reflect the level of projected business. Funds are included
to add a Meetings Manager and a Facility Services Coordinator to the staff of
the Conference Center. In Marketing Services, the Public Relations and Client
Entertainment has been increased based upon the Sales Staff several planned
events and sales missions for coming fiscal year.
Capital Improvements Budget -
The Capital Improvement Budget lists projects which require HVAC upgrades
(1), replacing and repairing the roof (2), replace and upgrade the emergency
lighting in the building (3), replace and install two (2) natural gas stock pot
ranges in the kitchen (4), purchase five (5) speed kitchen racks with covers (5).
The Capital Improvement Budget reflects the Authority’s continued
commitment to making annual capital improvements to the Conference Center
so no single year requires an excessive amount of funds to be budgeted.