2022 05 11 FAC Minutes
FINANCIAL ADVISORY COMMISSION MINUTES Page 1 of 4 MAY 11, 2022
REGULAR QUARTERLY MEETING
FINANCIAL ADVISORY COMMISSION
MINUTES
WEDNESDAY, MAY 11, 2022
CALL TO ORDER
A regular quarterly meeting of the Financial Advisory Commission
(Commission) was called to order at 4:00 p.m. by Chairperson Batavick.
This meeting provided teleconferencing accessibility pursuant to Executive
Orders N-60-20 and N-08-21 executed by the Governor of California, and
subsequently Assembly Bill 361 (AB 361, 2021), enacted in response to the
state of emergency relating to novel coronavirus disease 2019 (COVID-19) and
enabling teleconferencing accommodations by suspending or waiving specified
provisions in the Ralph M. Brown Act (Government Code § 54950 et seq.).
PRESENT: Commissioners Anderson, Mast, Mills, Way, and Chairperson
Batavick
ABSENT: Commissioner Dorsey
VACANCY: One
STAFF PRESENT: Finance Director Martinez, Financial Services Analyst Hallick,
Account Technician Batuta, and Management Assistant
Delgado.
PLEDGE OF ALLEGIANCE
Commissioner Mills led the audience in the Pledge of Allegiance.
PUBLIC COMMENT ON MATTERS NOT ON THE AGENDA – None
CONFIRMATION OF AGENDA
Financial Services Analyst said that the title for Consent Calendar Item No. 2
should read as follows:
“Receive and File Revenue and Expenditure Report Dated February 28, 2022”
The Commission concurred.
FINANCIAL ADVISORY COMMISSION MINUTES Page 2 of 4 MAY 11, 2022
REGULAR QUARTERLY MEETING
ANNOUNCEMENTS, PRESENTATIONS, AND WRITTEN COMMUNICATIONS
– None
CONSENT CALENDAR ITEMS
1. APPROVE MEETING MINUTES DATED APRIL 13, 2022
2. RECEIVE AND FILE REVENUE AND EXPENDITURE REPORT
DATED FEBRUARY 28, 2022
Motion – A motion was made and seconded by Commissioners Way/Mills to
approve the Consent Calendar, with the amended title for Consent Calendar
Item No. 2 as noted above. Motion passed: ayes – 5, noes – 0, absent – 1
(Dorsey), vacancy – 1.
BUSINESS SESSION
1. REVIEW AND APPROVE THE FISCAL YEAR 2022/23 MEETING
DATES
Finance Director Martinez presented the staff report, which is on file in the
Finance Department.
The Commission discussed the process on how to request approval for being
absent at a regular Commission meeting.
Motion – A motion was made and seconded by Commissioners Way/Mast to
approve the fiscal year 2022/23 Commission meeting dates as submitted.
Motion passed: ayes – 5, noes – 0, absent – 1 (Dorsey), vacancy – 1.
STUDY SESSION
1. DISCUSS THE FISCAL YEAR 2022/23 INVESTMENT POLICY
(Policy)
Financial Services Analyst Hallick presented the staff report, which is on file in
the Finance Department.
The Commission and staff discussed state and government code for
investments and how government funds are governed.
Commissioner Mills mentioned the importance of reviewing the Policy as it is
a component of one of the principal functions of the Commission.
FINANCIAL ADVISORY COMMISSION MINUTES Page 3 of 4 MAY 11, 2022
REGULAR QUARTERLY MEETING
Further discussion followed on state code guidelines and the timeline for
approving and publishing the fiscal year 2022/23 Policy.
2. REVIEW AND DISCUSS 10-YEAR FINANCIAL PROJECTIONS FOR
THE GENERAL FUND
Finance Director Martinez presented the staff report, which is on file in the
Finance Department.
The Commission and staff discussed current police services cost; revenue and
expenditure projections; transient occupant tax (TOT) revenue; and growth
projections percentages. Chair Batavick mentioned that input for the 10-year
projections (Projections) starts at the City’s Annual Community Workshop
(Workshop). Staff noted the Projections are generally provided to the
Commission prior to the Workshop.
The Commission and staff discussed having a future study session for
Projections showing three different types of scenarios including worse case,
best case, and a more likely comparison.
Further discussion followed on police services cost, and what is included; and
reimbursements for police services for special events.
Chair Batavick said that he and Commissioner Way assisted with the
Projections document included as Handout 1 of the staff report and mentioned
on page 4, under Net Cash Position, it reflects the impact of the
Redevelopment Agency Loan proceeds.
3. DISCUSS FISCAL YEAR 2022/23 PRELIMINARY PROPOSED
BUDGET
Finance Director Martinez presented the staff report, which is on file in the
Finance Department.
The Commission and staff discussed inflation; expense increases; sales tax;
and wage increases.
DEPARTMENTAL REPORTS
All reports are on file in the finance department.
1. FINANCE DEPARTMENT CURRENT AND FUTURE INITIATIVES
FINANCIAL ADVISORY COMMISSION MINUTES Page 4 of 4 MAY 11, 2022
REGULAR QUARTERLY MEETING
Finance Director Martinez announced effective Monday, May 16, 2022, the
City recruited a new Accounting Manager in the Finance Department who will
be introduced at a future Commission meeting.
Chair Batavick inquired on the review of the City’s pension liability. Staff said
that this item would be placed on the agenda for a future Commission
meeting. Further discussion followed on the process for how pension obligation
discount rate is established.
2. FOURTH QUARTER 2021 (OCTOBER-DECEMBER) SALES TAX
UPDATE FOR THE CITY OF LA QUINTA
Financial Services Analyst Hallick said the City’s forecast Measure G at
approximately 110-115% of sales tax, and the trend has been closer to 120%
due to shifts in buying patterns.
COMMISSIONERS’ ITEMS
Chair Batavick mentioned his term expires in June 2022, and he has reapplied
for another term. He also announced the current vacancy and encouraged
those interested to apply to serve on the Commission.
ADJOURNMENT
There being no further business, it was moved and seconded by
Commissioners Mills/Way to adjourn this meeting at 5:34 p.m. Motion passed:
ayes – 5, noes – 0, absent – 1 (Dorsey), vacancy – 1.
Respectfully submitted,
Jessica Delgado, Management Assistant
City of La Quinta, California