Title
Adopt a Resolution to Approve the Redistribution of Remaining Travel and Training Funds and to Accept the Year-End Report on Councilmember Travel and Training Expenditures
Staffreport
SUMMARY AND RECOMMENDATIONS
The report provides information on the travel and training expenses incurred by City Councilmembers and the Mayor during the fiscal year. It details the allocation of funds, reimbursement processes, and the establishment of a pooled reserve of $17,947.33 for future use, within one fiscal year. This pooled fund aims to provide additional support for Councilmembers who may exceed their individual travel budgets, ensuring they have adequate resources for professional development and official duties.
Notably, the requirement for a detailed report on these expenditures was introduced in 2023 along with the requirement to pool unused funds, marking the 2023/2024 fiscal year as the first year of its implementation and this the first fiscal year of reporting. Some accounts have an overage, which are absorbed by the total unspent funds to be pooled. To assist with avoiding future overages, going forward Staff has implemented a system of monitoring with monthly status updates emailed to Councilmembers.
Staff recommends that the City Council accept the report, including the establishment of the account for pooled funds, to enhance the financial management of Councilmember travel resources for the upcoming fiscal year. It is recommended that the pooled funds will be allocated evenly among all City Councilmembers and serve as a reserve to support upcoming travel and training expenditures, allowing for greater flexibility in funding needs that may arise. A total of $12,819.52 from the FY 2023/2024 reserve amount will be divided equally between five Councilmembers into account 010-11-xx-5514 Council Travel Pooled Funds. The amounts for two Councilmembers, totaling $5,127.81, will be allocated to Human Services account 010-63-014 for homeless services.
BACKGROUND
Councilmembers receive $10,000 annually and the Mayor receives $15,000 for travel and training related to official City business, with potential annual increases for inflation. Staff assists with conference registration and hotel bookings, while travel arrangements (flights, rentals, etc.) must be made by the Councilmembers and/or Mayor.
A year-end report detailing travel and training expenditures must be presented to Council at the end of each Fiscal Year. Unused budget funds would be pooled for future use by Councilmembers, presumably by those who exceed their allotted budget.
After travel, both the Mayor and Councilmembers must submit trip reports to the City Manager and City Clerk for inclusion in a future City Council meeting's agenda. Reimbursement requests must be submitted within 90 days, supported by receipts for transportation, hotel costs, and other allowable expenses.
Current Agency Policies
From the 2024 City Council Handbook:
B. Travel/Training
a) Councilmembers currently receive $10,000 per fiscal year for official City business travel or training, to be reimbursed after providing sufficient supporting documentation to the City Manager. Annual amounts may increase based on inflation.
b) The Mayor currently receives $15,000 per fiscal year for official City business travel or training, to be reimbursed after providing sufficient supporting documentation to the City Manager. Annual amounts may increase based on inflation.
c) City Staff will facilitate conference registration and hotel accommodations at the conference site or approved conference hotel. Travel (Flight, Rental Car, Uber etc.) accommodations must be booked by the Councilmember or Mayor in addition to any variations on hotel or other accommodations.
(d) If Councilmembers have unused funds in their official City business Travel/Training budget, unused funds shall be deposited or set aside into a separate fund or pool and held for one fiscal year, to be used to cover the costs of future travel or training expenditures for Councilmembers who have exhausted their budget. Pooled funds will be administered through financial administrative procedures.
e) Upon return from a conference or travel for official City business, Councilmembers and the Mayor must report out at the subsequent meeting a trip report or submit a written report to the City Manager and City Clerk to be included on a subsequent regular City Council meeting’s Consent Calendar.
f) At the end of each fiscal year, a year-end report on Councilmember travel and training expenditures will be added to a regular City Council meeting agenda, on the Consent Calendar.
g) Councilmembers may be reimbursed for actual and necessary automobile expenses incurred in the performance of official duties within the San Francisco Bay Area. The reimbursable amount will be based on the actual mileage traveled for the purposes of the Councilmember’s official duties. In no case shall the amount of reimbursement exceed $125 per month. Mileage reimbursement rates will be the annually posted IRS mileage rate, which the Finance Department will maintain. A travel expense form must be completed for reimbursement of mileage and travel related expenses, and must include documentation for payment including receipts, invoices, canceled checks or credit card receipts.
h) The Mayor receives a car allowance of a flat $375 per month, which shall be in lieu of the $125 automobile expense reimbursement afforded other Councilmembers.
i) Councilmembers and the Mayor will receive a $100 per diem during travel/training.
j) Councilmembers and Mayor must submit reimbursement requests within 90 days of the expense to be eligible for reimbursement.
Fiscal Impacts
After accounting for all expenses related to travel and training, a total of $17,947.33 will be pooled for future use by City Councilmembers for one fiscal year. This pooled fund will be allocated evenly among all City Councilmembers and serve as a reserve to support upcoming travel and training expenditures, allowing for greater flexibility in funding needs that may arise. The establishment of this reserve aligns with the City’s commitment to ensuring that Councilmembers have the necessary resources for professional development and engagement in official City business.
$2,563.90 will be allocated to each of the six Councilmembers and Mayor Gonzalez. At the November 18, 2024, Council meeting it was decided that the funds available to Councilmember Aguilar and Vice-Mayor Simon, will be redistributed to the Human Services Department, for Fiscal Year 23/24, to be added to Human Services account number 010-63-014 where the Human Services Director will track the expenditures to be used on homeless services.
ATTACHMENT
Attachment A - Draft Resolution
Attachment B - Budget Report FY23/24
PREPARED BY: Kelly B. Clancy, CMC, City Clerk, City Manager’s office