Meeting_Body
FINANCE, BUDGET, AND AUDIT COMMITTEE
MARCH 15, 2023
Subject
SUBJECT: FISCAL YEAR 2024 BUDGET DEVELOPMENT STATUS UPDATE
Action
ACTION: RECEIVE AND FILE
Heading
RECOMMENDATION
Title
RECEIVE AND FILE the Fiscal Year 2024 (FY24) Budget Development Status Update.
Issue
ISSUE
This is the third of a series of monthly updates to the Board on the FY24 Budget development process, culminating in a planned May 2023 Board Adoption. This report lays the framework for the annual budget development, with the primary objective for the annual budget to advance Metro's transit and transportation goals, with an equity lens, in a fiscally sound and financially responsible manner.
This report focuses on Metro's diverse portfolio of major infrastructure capital projects, including Transit Infrastructure Development (TID), Highway Multimodal Development, and Regional Rail. Additionally, this report provides an overview of Metro's voter approved Regional Allocation and Pass Throughs (Subsidy) funding programs.
This report also discusses the mitigation options to be considered for managing through the near-term financial challenges for the major infrastructure capital projects and shares the latest update regarding Metro's comprehensive budget outreach efforts.
Background
BACKGROUND
California Public Utilities Code Section 130105 requires Metro to adopt an annual budget to manage the revenues and expenses of the Agency's projects and programs. The budget is the legal authorization to obligate and spend funds and to implement Board policy. It includes all operating, capital, planning and programming, subsidy funds, debt service requirements, and general fund activities for the fiscal year. The legal level of control is at the fund level. Total annual expenditures cannot exceed the final appropriation by the Board at the fund level except for capital expenditures, which are authorized on a life of project basis.
Discussion
DISCUSSION
Major Infrastru...
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