(a) Each year, the Mayor shall provide instructions to all City agencies regarding the Mayor’s requests for the contents of all agencies’ proposed budget submissions for the subsequent fiscal year(s) (“Budget Instructions”). On the same date the Mayor transmits the Budget Instructions to all other agencies, the Mayor shall transmit those instructions to the Clerk of the Board. To assist City agencies with the formulation of proposed budgets, the Controller shall prepare a base budget for each agency for the subsequent two fiscal years. The base budget shall incorporate such changes in the cost of City services that the Controller determines are necessary for planning purposes, including reflecting the cost of labor agreements and the anticipated changes in the expected cost of City services delivered by nonprofit organizations to reflect annual inflation increases. City agencies, the Mayor, and the Board of Supervisors may modify these base budgets following the processes set forth in this Section 3.3 and Article IX of the Charter.
(b) After the agencies receive Budget Instructions from the Mayor each year, there shall be a public meeting, as specified in subsections (b)(1) and (2), concerning each agency’s budget priorities, excluding Designated Agencies, at which members of the public may provide input regarding the budget priorities. The purpose of the meeting shall be to allow for public input into the agency’s budget for the upcoming fiscal year(s) prior to the agency’s preparing and finalizing a proposed budget. Designated Agencies are not required to hold a public meeting under this subsection (b), but each such agency shall provide an alternative method for the public to provide input on its proposed budget priorities, and shall provide a written description of the agency’s proposed budget priorities and a format for public input on the agency’s website.
(1) For agencies subject to the oversight of a commission under the Charter or the Municipal Code, the commission may satisfy this subsection (b) by holding a hearing regarding budget priorities at a regular or special meeting of the commission at least 15 days prior to the commission’s final approval of the agency’s proposed budget. Meetings held under this subsection (b)(1) are subject to the Brown Act and the Sunshine Ordinance.
(2) Agencies that are not subject to the oversight of a commission under the Charter or the Municipal Code shall provide notice of the meeting on the agency’s website, and on the Controller’s budget web page required by Section 3.4, at least 72 hours in advance. The meeting shall be open to the public. All members of the public attending the meeting shall have the opportunity to provide at least two minutes of oral public comments during the meeting and to provide written comments before, during, or after the meeting. Meetings held under this subsection (b)(2) are not subject to the Brown Act or the Sunshine Ordinance.
(3) If the Board of Supervisors or any of its committees holds a hearing regarding an agency’s budget priorities during the period set forth in this subsection (b) and presenting the content required by this subsection, the agency shall be deemed to have satisfied the meeting requirement in this subsection.
(c) By no later than February 14 each year, there shall be a public meeting, as specified in subsections (c)(1) and (2), concerning each agency’s proposed budget. The proposed budget that the agency presents at this meeting shall provide the following information, if applicable to the agency: all agency divisions; budget totals and major changes including new or reduced initiatives and staffing changes; changes in service levels; projected salary savings; and how the agency is meeting budget instruction targets. The purpose of this meeting shall be to allow for public input into the agency’s budget for the upcoming fiscal year(s) prior to the agency’s submission of a proposed budget to the Controller. For agencies required to hold a public meeting under subsection (b), the meeting required under this subsection (c) shall occur at least 15 days after the public meeting required under subsection (b).
(1) For agencies subject to the oversight of a commission under the Charter or the Municipal Code, the commission may satisfy this subsection (c) at a regular or special meeting at which it considers final approval of the agency’s proposed budget. Meetings held under this subsection (c)(1) are subject to the Brown Act and Sunshine Ordinance.
(2) Agencies that are not subject to the oversight of a commission under the Charter or the Municipal Code shall provide notice of the meeting and a draft of the agency’s proposed budget on the agency’s website, and on the Controller’s budget web page required by Section 3.4, at least 72 hours in advance. The meeting shall be open to the public. All members of the public attending the meeting shall have the opportunity to provide at least two minutes of oral public comments during the meeting and to provide written comments before, during, or after the meeting. Meetings held under this subsection (c)(2) are not subject to the Brown Act or the Sunshine Ordinance.
(3) The City Administrator shall hold a separate public meeting under subsection (c)(2) regarding the budget of the Department of Public Works and a separate public meeting under subsection (c)(2) regarding the budget of the Department of Technology. For all other agencies under the direction of the City Administrator, the City Administrator may hold a single public meeting under subsection (c)(2) to receive input on all such agencies or, in the City Administrator’s discretion, may hold separate public meetings to receive input on one or more specific agencies.
(4) If the Board of Supervisors or any of its committees holds a hearing regarding an agency’s proposed budget during the period set forth in this subsection (c) and presenting the content required by this subsection, the agency shall be deemed to have satisfied the meeting requirement in this subsection.
(d) After the issuance of Budget Instructions, but no later than April 1 each year, the Office of the Mayor shall hold at least one meeting open to the public, at which members of the public may provide input on the Mayor’s budget priorities. The Mayor shall provide notice of the meeting and a copy of the Budget Instructions on the Mayor’s website at least 72 hours in advance. Members of the public attending the meeting shall have the opportunity to provide public comment during the meeting and to provide written comments before, during, or after the meeting. Meetings held under this subsection (d) are not subject to the Brown Act or the Sunshine Ordinance.
(e) No later than February 21 each year, each agency shall file with the Controller, for check as to form and completeness, copies of its budget estimate approved in accordance with the provisions of the Charter. The Mayor’s Budget Office shall prescribe a format for all agency budget submissions under this subsection (e).
(f) No later than March 1 each year, the Controller shall consolidate such budget estimates and transmit the same to the Mayor and the Clerk of the Board, together with such other material as the Controller determines is appropriate.
(g) No later than April 30 each year, the Mayor shall prepare and transmit to the Clerk of the Board a detailed description of the Mayor’s budget priorities that the Mayor intends will guide the content of the proposed budgets for the next two fiscal years.
(h) No later than May 1 each year, the Mayor shall transmit to the Board proposed budgets for selected departments, as determined by the Controller, in consultation with the President of the Board, the chair of the committee having jurisdiction over the budget under the Board’s Rules of Order, and the Mayor’s Budget Director. The criteria used by the Controller to determine which budgets will be submitted to the Board by May 1 should include: agencies that are not supported by the City’s general fund or departments that do not rely on the State’s budget submission in May for their revenue sources. The Mayor shall, not later than June 1 each year, transmit to the Board the complete City budget. The complete City budget shall include the proposed Annual Appropriations Ordinance, including the budgets of agencies whose budgets the Mayor did not submit on May 1, estimates of amounts required to meet bond interest and fixed charges, the proposed Annual Salary Ordinance, and the Mayor’s budget message.
(i) The Controller shall, as provided in Section 9.102 of the Charter, review the estimated revenues and assumptions contained in the Mayor’s submission of the budget and provide an opinion regarding the accuracy and reasonableness of the economic assumptions and revenue estimates on or before the tenth working day following submission of the Mayor’s budget to the Board. In addition, the Controller may also recommend to the Board such reserves as the Controller considers prudent given the proposed resources and expenditures contained in the Mayor’s budget.
(j) The committee of the Board then having jurisdiction over the budget according to the Board’s Rules of Order shall review the Mayor’s proposed budget and recommend to the Board an Interim Appropriation and Salary Ordinance which shall reflect the budget transmitted by the Mayor; provided, however, that any funds for equipment, capital improvements, new positions of employment, or any other proposed expenditures may be placed in reserve until released by the Board; and provided, further, that said ordinances shall reflect the rates of compensation established pursuant to Charter Sections A8.403, A8.404, A8.409 and A8.590-1 through A8.590-5.
(k) The Board shall not later than June 30 each year, finally pass the interim appropriation and salary ordinances.
(l) The Board shall not later than July 31 each year, adopt the Annual Appropriations Ordinance and Annual Salary Ordinance.
(m) Not later than September 30 each year, the Board shall adopt by resolution the property tax rate for the City, including amounts required for debt service.
(o) If any date shown in this Section 3.3 falls on a nonbusiness day, the due date shall be the next succeeding business day.
(Added by Ord. 223-97, App. 6/6/97; amended by Ord. 236-01, File No. 011848, App. 12/7/2001; Ord. 240-02, File No. 021502, App. 12/20/2002; Ord. 80-04, File No. 040411, App. 5/6/2004; Ord. 222-11, File No. 111001, App. 11/15/2011, Eff. 12/15/2011; Ord. 166-13
, File No. 130541, App. 8/2/2013, Eff. 9/1/2013; Ord. 294-19, File No. 191072, App. 12/20/2019, Eff. 1/20/2020; Ord. 216-23, File No. 230483, App. 11/3/2023, Eff. 12/4/2023)