GALT, CA (MPG) - Presenting the city of Galt’s annual comprehensive financial report, the city’s finance head told Galt City Council members about increases in revenue and expenses, and discussed the first income from the Measure Q sales tax. Council approved a request for bids on Walker Community Park upgrades.

Finance Director Matthew Boring said the report had received an unmodified opinion from the city’s auditor, with no findings. This means that the auditor considered the data to be fairly presented and had identified no corrections, which Boring called “the gold standard.” The report was also completed within the required six-month timeframe, which he said has not happened in several years.

The city’s net position in the fiscal year 2022-23 rose to $245.5 million, an increase of close to 7% over the previous year. Total revenue increased by $8.5 million or 16%, while total expenditures increased $7.7 million or 20%.

Boring said some of the rise in income was caused by the city recognizing the last of its pandemic-relief grant from the American Rescue Plan Act. The rise in expenses was mainly the result of work on capital projects.

The city’s assets and liabilities also increased, by 4% and 19% respectively. Boring said pension obligations account for the rise in liabilities, due to low investment returns at CalPERS, the public-employee retirement plan.

The first revenues were recorded for the Measure Q sales tax, approved by Galt voters in 2022; the 1-cent tax intended to supplement parks and recreation funding brought in about $1 million in 2022-23, Boring said, making up roughly a quarter of the total sales tax collected. He said the Measure Q money was collected over the final three months of the fiscal year, which ended in June 2023. While that amount suggests a potential annual revenue of $4 million, Boring expected the yearly amount to be higher.

“That should also increase going forward,” Boring told Council Member Shawn Farmer. “There’s still some lag and some retailers not collecting that (the Measure Q sales tax).”

He added that the city’s sales tax consultants monitor for compliance among businesses.

Vice Mayor Rich Lozano commended the Finance Department’s work, saying the city is in a better financial position than it was several years ago, particularly in the amount of money available in the general fund. He also voiced interest in hearing what can be done to address a decrease in Galt Market revenue.

Council accepted the report by a 4-0 vote. Council Member Kevin Papineau was absent.

With the city set to receive a grant covering half of the money to complete the next phase of the Walker Community Park upgrades, city staff asked Council to approve a request for bids to design the project.

The Phase IIA upgrades will add three baseball/softball diamonds and an expansion to the parking lot, as well as a new bathroom and landscaping.

The city was awarded a $2.65 million grant by the state Land and Water Conservation Fund, which accounts for half of the expected price tag; the city must come up with the remaining money. Deputy Director of Public Works John Griffin said the specific application necessary to start construction would take months to complete.

Assuming the grant money is provided in June this year, he said the documents could be finished by May 2025, and the construction contract awarded in September 2025. He said construction could finish by October 2026.

Council approved the request for proposals with a 4-0 vote. They identified Park Capital Funds, Measure Q and the general fund as sources for the city’s half of the bill.