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REPORT TO MEASURE Z CITIZEN COMMITTEE
To: Honorable Members of the Committee
From: Jason Simpson, City Manager
Prepared by: Nicole Dailey, Deputy City Manager
Date: October 28, 2021
Subject: Update on 2021-22 Measure Z Budget Spending Plan
Recommendation
Receive and file an update on the Fiscal Year 2021-22 Measure Z Budget Spending Plan.
Background
On November 3, 2020, residents of the City of Lake Elsinore voted in favor of Measure Z, a
locally controlled one-cent, or one percent, transactions and use tax to generate unrestricted
general fund dollars to address City service, public safety, and local recovery needs.
Before the passage of Measure Z, the City engaged residents and businesses as part of its
Let's Talk Lake Elsinore campaign to identify the community's needs. Based on this effort and
ongoing community opinion surveys, residents identified the following spending priorities:
Preparing for any public health or catastrophic emergency
Having adequate 911 emergency capacity
Continuing to address homelessness and supporting residents and families in transition
Improving fire protection and paramedic services
Keeping public areas safe, healthy, and clean
Continuing law enforcement services, including effectively staffed neighborhood patrols
Supporting residents and local businesses through our local recovery
As part of the passage of Measure Z and as specified in Lake Elsinore Municipal Code Chapter
3.30, Section 3.30.160, the City was required to establish an independent Citizens Committee to
serve in an advisory role to the City Council regarding the expenditure of revenues generated by
the transactions and use tax.
The Measure Z Citizen Committee's primary role is to independently review and provide advice
and guidance concerning the expenditure of Measure Z revenues. The Committee is tasked
with meeting, in a public forum, at least twice each calendar year to ensure funding is being
used in a manner consistent with the established goals and needs of the community.
Specifically, the Committee must annually review and report on the City's proposed and actual
expenditure of proceeds generated by the transactions and use tax along with reviewing the
Update on 2021-22 Measure Z Budget Spending Plan
October 28, 2021
Page 2
independent annual audit of those revenues and expenditures prepared by a Certified Public
Accounting firm.
Discussion
Measure Z officially went into effect on April 1, 2021, updating Lake Elsinore's sales tax rate to
8.75%. The City identified Measure Z projects for the Fiscal Year 2021-22 as outlined in the
City’s Measure Z Budget Spending Plan attached as Exhibit A. This plan was developed and
prioritized based on input from the community. The plan was reviewed by the Citizen Committee
in May 2021 and adopted by the City Council in June 2021. At this time, staff estimated the City
will receive $2.8 million in Measure Z funding for the Fiscal Year 2020-21 and $11.25 million in
the Fiscal Year 2021-22 plus investment earnings, for an estimated total of $14,145,148. The
Measure Z funding was allocated to each of the following areas:
FY2021-22
DESCRIPTION AMOUNT % SHARE
Police Services $ 1,792,634 12.67%
Fire Services 1,391,974 9.83%
Animal Control 55,600 0.39%
Road and Infrastructure Improvements/Maintenance 8,636,070 61.01%
Park and Facility Improvements/Maintenance 484,500 3.42%
Assistance - Local Recovery & Economic Development 481,470 3.40%
Homeless Services 1,311,900 9.27%
$ 14,154,148 100.00%
The Measure Z Citizen Committee initially met on May 13, 2021 and again on July 1, 2021. At
the last meeting, the Committee requested to meet ahead of the new year to get an update on
Measure Z expenditures since July 1, 2021.
Expenditures to date are shown in Exhibit B. Several of the projects have been initiated and/or
completed. Examples include the Collier Avenue Pavement Rehabilitation & Striping Project,
The Avenues Pavement Rehabilitation Project, hiring of additional deputies and staff including
the City’s first park deputy and full time Traffic Engineer and securing the City’s new CAL FIRE
medic squad, which should be arriving in January of 2021. Staff will provide an overview of the
projects and programs completed to date for review by the Committee.
The Measure Z Citizen Committee will meet again in January or February to begin considering
expenditures for next fiscal year. The fiscal year for the City is from July 1 to June 30 each year.
Fiscal Impact
None
Exhibits
A – Fiscal Year 2021-22 Measure Z Budget Spending Plan
B – Statement of Revenues, Expenditures, and Changes in Fund Balance for Measure Z