HomeMy WebLinkAbout14 AUTHORIZATION TO CONTINUE OPERATIONAgenda Item 14
Reviewed:
AGENDA REPORT City Manager
Finance Director
MEETING DATE: July 5, 2011
TO: WILLIAM A. HUSTON, INTERIM CITY MANAGER
FROM: PAMELA ARENDS-KING, FINANCE DIRECTOR
SUBJECT: AUTHORIZATION TO CONTINUE OPERATION FOR FISCAL YEAR
2011-2012
SUMMARY:
It is requested that the City Council and the Board of Directors for the Tustin Community
Redevelopment Agency approve to continue the fiscal year 2010-2011 budget for the
General Fund, Water Enterprise Fund, Redevelopment Agency Funds, Internal Service
Funds, Special Revenue Funds, and alt other City Funds into Fiscal Year 2011-2012
pending the finalization of the Fiscal Year 2011-2012 budget.
RECOMMENDATION:
It is recommended that the City Council, through Minute Action, approve the
continuance of fiscal operations for fiscal year 2011-2012 at the appropriation
level not to exceed that of fiscal year 2010-2011, until such time that the budget
process can be completed.
2. In compliance with Health & Safety Code section 33606, it is recommended that
the Board of Directors for the Tustin Community Redevelopment Agency,
through Minute Action, approve the continuance of fiscal operations for fiscal
year 2011-2012 at the appropriation level not to exceed that of fiscal year 2010-
2011, until such time that the budget process can be completed.
FISCAL IMPACT:
The continuance of fiscal year 2010-2011 budget into fiscal year 2011-2012 would allow
the City to continue operational and capital projects expenditures until such time that the
fiscal year 2011-2012 budget process can be completed.
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BACKGROUND:
Since the fiscal year 2011-2012 Budget will not be approved until after July 1, 2011, it is
necessary for the City Council and the Board of Directors for the Tustin Community
Redevelopment Agency authorize expenditures for operations. This would also include
capital improvement projects approved in fiscal year 2010-2011, but would not include
any new capital improvement projects or services.
Pursuant to Section 33334.3 of California Redevelopment Law provides that the amount
of money spent from the Low and Moderate Income Housing Fund for planning and
general administrative activities associated with the development, improvement and
preservation of low and moderate income housing shall not be disproportionate to the
amount actually spent for the cost of production, improvement or preservation of that
housing, and that the Redevelopment Agency shall determine annually that the
expenditures from the Low and Moderate Income Housing Funds for each
Redevelopment Project Area for planning and administrative expenses are necessary
for the production, improvement or preservation of the low and moderate income
housing. Therefore, the associated planning and administrative expenses continued
from fiscal year 2010-2011 are necessary for the production, improvement, or
preservation of low- and moderate-income housing.
Pamela Arends-King
Finance Director
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Sean Tran
Senior Financial Analyst