City Council to tackle $136M budget during Tuesday's meeting

SOUTH LAKE TAHOE, Calif. - Most of Tuesday's South Lake Tahoe City Council meeting will be a budget workshop, but first there is discussion and vote in their role as South Tahoe Redevelopment Successor Agency on a letter of intent to sell two surplus lots, 3900 and 3908 Lake Tahoe Boulevard. Between 7-11 and the National 9 Motel, these lots were part of the Loop Road route plans from the current highway to behind Raley's.

Council has before them three bidders for the parcels and staff recommends they select Novin Development and SMR Development for $1 million. They are planning on a mixed-use community of 1-3 bedrooms that serves those making 30-120 percent of the area median income. They propose three or four stories.

St. Joseph Community Land Trust (SJCLT) also submitted a bid to purchase the lots and turn the area into what is known as a Pocket Neighborhood with deed-restricted one- and two-bedroom duplexes facing a shared courtyard. SJCLT said these would be for those in the middle-income workforce group, making 100-120 percent of the area median income.

The third bid was received from the City of South Lake Tahoe. They offered to buy the lots from the Successor Agency for multi-family units with at least 25 percent of them for lower-income residents.

The Fiscal Year 2022-2023 (FY 2023) Recommended Budget will be presented
and discussed during the meeting. The total City budget across all
funds is approximately $136.2 million, including the primary General Fund budget of approximately $50.9 million and the Measure S Sales Tax general fund budget of $6.0 million. The total decrease in the primary General Fund proposed expenditure appropriations is approximately $6.2 million over the FY 2022 amended budget.

This reduction in expenditures is due for the most part to one-time supplemental appropriations council made during FY 2022 for capital projects and purchases and grant match funding, as well as attributed to the 27th pay period in FY 2022 and is offset by increases in payroll (2 percent salary
increase) and an increase in Unfunded Accrued Liability (UAL). The FY 2023 proposed budget continues to include targeted funding to address some of the City Council's top priorities. FY 2023 General Fund revenue estimates are approximately $0.9 million higher than the current FY 2022 total budget. The FY 2023 Recommended Budget is balanced without usage of the City's undesignated General Fund reserves (conservatively projected at $1.5 million at September 30, 2022) that are retained for future emergencies, strategic capital investments, and in anticipation of future one-time needs.

The complete agenda and instructions on how to participate can be found here https://cityofslt.us/84/Watch-City-CouncilCommission-Meetings.