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Home My WebLink About _ 9.11(g)--Identify Impact to the General Fund with add'l $10 million annually for Street Maintenance CITY OF REDDING REPORT TO THE CITY COUNCIL Recommendation Informational item only. MEETING DATE: September 16, 2025 ITEM NO. 9.11(g) FROM: ***APPROVED BY*** btippin@cityofredding.org btippin@cityofredding.org SUBJECT: 9.11(g)--Identify the impact to the General Fund if an additional $10 million annually was redirected for street maintenance. Barry Tippin, City Manager General Fund Reductions to Redirect $10 Million to Streets Maintenance 9.11 (g) This presentation is a basic, high-level exercise intended solely to illustrate potential tradeoffs if $10 million were shifted from the General Fund to street maintenance. •The GF Discretionary Budget is $65 million so this represents 15% of that. •It does not contain detailed analysis or identify implementation steps. •Any future actual reductions to the General Fund would require significant further study. Disclaimer: This presentation is a basic, high-level exercise intended solely to illustrate potential tradeoffs if $10 million were shifted from the General Fund to street maintenance. •Any effort to identify redirection would involve comprehensive coordination with employee labor groups and careful evaluation of community impacts. •This would only address pavement maintenance and ignore other infrastructure needs. •The following are illustrative only Disclaimer: (continued) •If the City Council decided to eliminate every Director in the City of Redding, the General Fund would save $1.7 million. If you kept a Fire Chief and a Police Chief the number is reduced to approximately $1 million. •If the City Council eliminated ALL General Government Departments (City Manager, City Attorney, City Clerk, Financial Services, Part of Personnel) the savings to the General Fund would be $2.1 million. •REALITY-The total cost of General Government is $6.5 million to support $550 million in Business Operations –1.2% •Lastly, with any reduction, it would be unlikely the City could support the Sports Park, the Civic Auditorium, the Arts Council, the Airport, etcetera. Just For Context The Issue 981 Lane Miles of Pavement The Solution Additional Annual Investment of $10 Million Option 1 –Staff and Programs Police Department Description Savings Impact Eliminate Beat 7 (5 officer Positions) $760,000 City-wide reduction in response time, increase in required self reporting for some crimes, decrease in proactive policing, burnout Eliminate 3 Detectives Positions $625,000 Increased case backlog, no cold case work, limited investigation of property crime, no proactive work and burnout. Eliminate 8 CSO Positions $735,000 Requires Officer response to non-critical calls, eliminates proactive policing, no response to non- injury accidents and other types of calls Eliminate 3 Support Staff Positions $255,000 Increase command staff and officer workload causing items to go undone and impacting departmental efficiency and efficacy. $2,375,000 Fire Department Description Savings Impact Eliminate 1 Deputy Chief Position $285,000 Shifting of many administrative duties effecting training, procurement, policy updating, equipment procurement and other long term harmful elements. Eliminate 2 Prevention Positions $425,000 Legal obligations jeopardized due to reduced inspections and investigations, plan check delayed & inspections delayed, untimely arson investigations, diminished long-term planning and forecasting capabilities and erosion of City-wide emergency management preparedness. Close 1 Fire Station $1,400,000 Reduced operational readiness, increase response times and coverage gaps, community risk increase, decreased FF safety, recruitment impact and strategic setback. $2,110,000 Community Services Department Description Savings Impact Eliminate Recreation Program $1,800,000 Increased cost impacting participation and associated social impacts Eliminate 4 Parks Maint. Positions $400,000 Reduced repairs, unkept facilities, tree liability increase, increased fire risk, overall quality of life impacts Close the Library $1,000,000 Reduction of available literacy programs, potential of cooling center closure, cost increase for community members seeking library materials, impact to economic development Cancel Visit Redding Contract $650,000 Overall decline in tourism, TOT, and other related issues. $3,850,000 Development Services Department Description Savings Impact Full Cost Recovery Model $1,500,000 Increased cost to customers and may increase administrative burden for billing purposes. $1,500,000 General Government Description Savings Impact Eliminate 1 position from CM $47,000 Reduction of proactive work, minimize the ability to pursue Council initiatives and overall diminishment of ability to administer the city. Eliminate 2 Positions from Finance $60,000 Increased time for billing and paying, reduced audit checks, increased time for reimbursements, increase risk of audit or regulatory discrepancies. Eliminate 1 Position from CA $75,000 Increased timeline for contract review, reduced time for personnel assistance increasing risk, less time for oversight of outside attorney work and minimized time for ordinance updates or creation. $182,000 Option 1 –Staff and Programs Police $2,375,000 Fire $2,110,000 Community Serv.$3,850,000 Development Serv.$1,500,000 General Government $182,000 TOTAL $10,017,000 Option 2 –Maintain Programs Police Department Description Savings Impact Eliminate 12 Officer Positions $1,825,000 City-wide reduction in response time, increase in required self reporting for some crimes, decrease in proactive policing, and burnout Eliminate 3 Detectives Positions $625,000 Increased case backlog, no cold case work, limited investigation of property crime, no proactive work and burnout. Eliminate 1 Captain Position $360,000 Requires Officer response to non-critical calls, eliminates proactive policing, no response to non- injury accidents and other types of calls Eliminate 10 CSO Positions $920,000 Increase command staff and officer workload causing items to go undone and impacting departmental efficiency and efficacy. Eliminate 3 Support Staff Positions $255,000 City-wide reduction in response time, increase in required self reporting for some crimes, decrease in proactive policing, and burnout $3,985,000 Fire Department Description Savings Impact Eliminate 1 Deputy Chief Position $285,000 Shifting of many administrative duties effecting training, procurement, policy updating, equipment procurement and other long term harmful elements. Eliminate 3 Prevention Positions $640,000 Legal obligations jeopardized due to reduced inspections and investigations, plan check delayed, untimely arson investigations, diminished long-term planning and forecasting capabilities and erosion of City-wide emergency management preparedness Close 2 Fire Stations $2,800,000 Reduced operational readiness, increase response times and coverage gaps, community risk increase, decreased FF safety, recruitment impact and strategic setback. $3,725,000 Community Services Department Description Savings Impact Eliminate 6 Parks Maint. Positions $600,000 Reduced repairs, unkept facilities, tree liability increase, increased fire risk, and overall quality of life impacts $600,000 Development Services Department Description Savings Impact Eliminate 4 Positions $400,000 Significant reduction in processing times and inability to pursue code enforcement cases. $400,000 Miscellaneous Description Savings Impact Reduce Unrepresented Manager Pay by 15% $570,000 Impact to recruitment and retention, diminished management and lower morale (111 employees). Cut by ½ and the savings is $1.9 million Reduce Internal Service Fund Positions (approx. 20+) $800,000 Impacts range from a reduction in mechanics’ work, to limits on new IT technology implementation, to reductions in the ability to process public records requests in a timely manner. $1,370,000 General Government Description Savings Impact Eliminate 1 position from CM $47,000 Reduction of proactive work, minimize the ability to pursue Council initiatives and overall diminishment of ability to administer the city. Eliminate 2 Positions from Finance $60,000 Increased time for billing and paying, reduced audit checks, increased time for reimbursements, increase risk of audit or regulatory discrepancies. Eliminate 1 Position from CA $75,000 Increased timeline for contract review, reduced time for personnel assistance increasing risk, less time for oversight of outside attorney work and minimized time for ordinance updates or creation. $182,000 Option 2 –Maintain Programs Police $ 3,985,000 Fire $ 3,725,000 Community Serv.$ 600,000 Development Serv.$ 400,000 Miscellaneous $ 1,370,000 General Government $ 182,000 TOTAL $10,262,000 Questions?