Morro Bay, CA – City Manager Scott Collins released the City’s Proposed Fiscal Year (FY) 2022-23 Budget, which funds all City services and 23 capital projects from July 1, 2022 through June 30, 2023. The budget makes key investments in operations, City staff, capital improvements, and paying down pension liabilities, while also preserving healthy financial reserves to weather future emergencies and economic downturns. City Council and the community will review the proposed budget at two public meetings, on May 24 and May 25.
Members of the community can view the budget in digital and printable PDF format below:
The proposed balance budget represents the City’s continued financial recovery from the COVID-19 pandemic. The recovery has been aided by increases in sales and transient occupancy taxes as well as by the community’s passage of Measure E at the November 2020 election. This recovery, plus support from the Federal government, allows the City to provide its full complement of services—police, fire, water, sewer, maintenance, community development, recreation, harbor, and code enforcement—to the community. The City is also able to increase compensation for employees and invest in a class and compensation study to ensure Morro Bay remains competitive for attracting and retaining talented employees.
The budget also invests $18.7 million in capital improvements, including the Water Reclamation Facility (WRF), water tanks, sewer pipes, roads, boating facilities, community centers and ADA access. With this investment, the City will complete the WRF facility and conveyance portions of the project so that the City can meet the State’s Time Schedule Order. While the FY 2022-23 makes critical investments in our infrastructure, including $1.7 million invested in street repaving, more work is needed to keep pace with infrastructure and facilities preventative maintenance and improvements. Thus, the budget also includes funding for an assessment of Harbor facilities and other City facilities. Further, the budget includes funding for state and federal advocacy and grant writing support to compete for grant opportunities.
Given the challenges of global supply chain issue, COVID-19, the war in Europe, rapidly increasing inflation and the potential for an economic slowdown, the City is taking a prudent fiscal approach to budgeting. The City has secured significant financial reserves in all its funds to weather a future emergency or recession. This budget also includes $1 million investment into a pension trust fund to help lower our overall pension liability.
Lastly, the FY 2022-23 is presented in a new digital format to make it easier for community members to track their investment in the City. The City is greatly appreciative of the community’s continued support of the Morro Bay City services and infrastructure. To learn more about the Budget, please visit: https://www.morro-bay.ca.us/827/Budget.