HomeMy WebLinkAbout24 RES 11-53 & RDA RES 11-02 ADOPTING FY 2011/12 BUDGETAGENDA REPORT
MEETING DATE: JULY 19, 2011
Agenda Item 24
Reviewed:
City Manager
Finance Director
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TO: WILLIAM A. HUSTON, INTERIM CITY MANAGER
FROM: PAMELA ARENDS-KING, FINANCE DIRECTOR
SUBJECT: RESOLUTION NO. 11-53 & RDA RESOLUTION NO. 11-02
APPROPRIATING FUNDS FOR VARIOUS CITY BUDGETS FOR THE
FISCAL YEAR 2011/2012
SUMMARY:
The City Council is requested to approve the attached Resolution adopting the budgets
for the City and the Water Enterprise for Fiscal Year 2011/2012.
RECOMMENDATION:
Adopt Resolution No. 11-53 adopting the City budget and appropriating from the
anticipated revenues of the City for fiscal year 2011/2012 Governmental Funds of
$75,447,622; Special Revenue Funds, $37,895,180; and the Water Enterprise
Funds, $30,288,200; and the City's FY 2011/2012 Classification/Compensation
Plan; and
2. Adopt Resolution No. RDA 11-02, a Resolution of the Board of Directors of the
Community Redevelopment Agency of the City of Tustin, adopting the Agency's
2011/2012 Budget of $53,626,957.
FISCAL IMPACT:
The adoption of Resolution No. 11-53 and RDA Resolution No. 11-02 will establish the
anticipated expenditures for the City of Tustin during fiscal year 2011/2012 at
$197,257,959. This expenditure is greater than the proposed fiscal year 2011/2012
budget of $165,172,505 as it includes the Assembly Bill 1X 27 payment, capital outlay for
the Water Enterprise Fund, and increased operating expenditures.
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BACKGROUND:
The Proposed 2011/2012 City of Tustin Program and Financial Plan was presented to
the City Council at the budget workshop held on July 5, 2011. At the workshop, the City
Council reviewed key elements of the draft budget. The Council directed staff to make
the following changes to the Proposed Budget:
• Waive the Business License Tax for Fiscal Year 2011-2012 to be capped at
$350,000;
• Waive the Building Permit Fees for Fiscal Year 2011-2012 for all existing
businesses (including school districts) and residents to be capped at $400,000.
Subsequent to the July 5, 2011 Budget workshop, staff made additional revenue and
expenditure changes to reflect the impact of the State Budget and the availability of
updated information that change departmental expenditures. The changes include:
• State Budget eliminated the City's share of Motor Vehicle License Fee, which
resulted in a decrease in General Fund revenue projection, an impact of
$265,000;
• Increase in General Fund revenue to reflect updated projections in other
revenues sources, an impact of $528,000;
• Increase in General Fund expenditure to include salary and benefits for staff that
was not included in the proposed budget, an impact of $268,800;
• Decrease Equipment Fund expenditure to reflect deferment of two police vehicle
replacement which was netted against adding an additional expenditure for
purchasing ten (10) Automated External Defibrillator (AED), an impact of
$72,800;
• The adoption of the State Budget included Assembly Bill 1X 27 which required
redevelopment agencies to make a "voluntary" payment in order to continue
functioning as a redevelopment agency and be exempted from Assembly Bill 1X
26, which calls for the elimination of redevelopment agency. The payment is
estimated to be $7,163,745 for Fiscal Year 2011/2012.
The proposed FY 2011/2012 budget for the General Fund had planned use of reserves
of $4,293,878, with revenues of $48,584,243 and expenditures of $52,878,121.
Incorporating the changes that were identified above (including the Business License
Tax and Building Permit Fee waiver totaling $750,000) the General Fund's planned use
of reserves to $5,209,878, with revenues of $47,937,043 and expenditures of
$53,146, 921.
The proposed FY 2011/2012 budget projected the General Fund Fund Balance to be
$11,274,636 as of June 30, 2012, which represents 22.6% of General Fund
expenditures. Incorporating the changes identified above (including the Business
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License Tax and Building Permit Fee waiver totaling $750,000) the General Fund Fund
Balance is still within City Council reserve policy of 20%-25%.
The draft 2011/2012 Tustin Community Redevelopment Agency budget was included in
the Proposed City of Tustin Program and Financial Plan which was presented to the
City Council at its workshop on July 5, 2011. Pursuant to §33606 of the California
Community Redevelopment Law, the Budget included: 1) the proposed expenditures of
the Agency; 2) proposed indebtedness to be incurred by the Agency; 3) the anticipated
revenues of the Agency; 4) the work program for the coming year, including goals; and
5) an examination of the previous year's achievements and a comparison of the
achievements with the goals of the previous year's work program. The Board made no
adjustments to the recommended appropriations.
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Pamela Arends-King
Finance Director
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Sean Tran
Administrative Services Manager
Attachment
Resolution No. 11-53
RDA Resolution No. 11-02
RESOLUTION NO. 11-53
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
TUSTIN, CALIFORNIA, ADOPTING THE CITY BUDGET
AND APPROPRIATING FROM THE ANTICIPATED
REVENUES OF THE CITY FOR THE FISCAL YEAR 2011-
2012
WHEREAS, in accordance with Section 1415t" of the Tustin City code, the City
Manager has prepared and submitted to the City Council a Proposed Annual Budget for
the 2011-2012 fiscal year, beginning July 1, 2011; and
WHEREAS, the City Council, as the legislative body of the City, has reviewed
this proposed budget;
NOW, THEREFORE, the City Council of the City of Tustin does hereby resolve,
determine and order as follows:
SECTION 1. A certain document is on file in the office of the City Clerk of the City
of Tustin, being marked and designated "City of Tustin Proposed Budget 2011-2012".
Said document, as prepared by the City Manager and reviewed and adjusted by the
City Council, is hereby adopted for the fiscal year commencing July 1, 2011;
SECTION 2. The following sums of money are hereby appropriated from the
anticipated revenues of the City of Tustin for the 2011-2012 fiscal year.
GOVERNMENTAL FUNDS
General Fund:
• City Council $ 125,800
• City Clerk 387,300
• City Attorney 660,000
• City Manager 768,400
• Finance 1,156,100
• Human Resources 770,200
• Community Development 2,809,900
• Public Works 9,924,000
• Police 23,907,700
• Fire 5,831,703
• Parks & Recreations 3,103,800
• Non Departmental 3,702,018
Total General Fund Appropriations: $ 53,146,921
Capital Projects 15,473,181
Tustin Street Lighting 574,500
Tustin Landscape & Lighting District 726,700
Equipment Replacement Fund 1,360,700
Information Technology 1,553,800
Risk Management Funds 2,611,820
TOTAL GOVERNMENTAL FUNDS $ 75,447,622
SPECIAL REVENUE FUNDS
Asset Forfeiture $ 150,000
Supplemental Law Enforcement 238,100
CDBG 1,257,336
Measure "M" 3,221,971
Gas Tax 700,000
Park Development 572,000
Reassessment District 95-1 / 95-2 10,853,449
Community Facilities Districts 20,902,324
TOTAL SPECIAL REVENUE FUNDS $ 37,895,180
WATER ENTERPRISE
Operations/Debt Service $ 12,259,136
Capital Improvements 575,000
Capital Outlay 17,454,064
TOTAL WATER ENTERPRISE $ 30,288,200
GRAND TOTAL $ 143,631.002
PASSED AND ADOPTED at a regular meeting of the City Council of the City of Tustin,
California, held on the 19th day of July, 2011.
JERRY AMANTE,
Mayor
ATTEST:
PAMELA STOKER,
City Clerk
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) SS
CITY OF TUSTIN )
I, Pamela Stoker, City Clerk and ex-officio Clerk of the City Council of the City of Tustin,
California, do hereby certify that the whole number of the members of the City Council
of the City of Tustin is five; that the above and foregoing Resolution No. 11-53 was duly
assed and adopted at a regular meeting of the Tustin City Council, held on the 19t" day
of July, 2011, by the following vote:
COUNCILMEMBER AYES:
COUNCILMEMBER NOES:
COUNCILMEMBER ABSTAINED:
COUNCILMEMBER ABSENT:
PAMELA STOKER
City Clerk
RDA RESOLUTION NO. 11-02
A RESOLUTION OF THE COMMUNITY
REDEVELOPMENT AGENCY OF THE CITY OF TUSTIN,
CALIFORNIA, ADOPTING THE AGENCY BUDGET AND
APPROPRIATING FROM ANTICIPATED REVENUE OF
THE AGENCY FOR THE FISCAL YEAR 2011-2012
WHEREAS, in accordance with good fiscal policies, the Executive Director of
Tustin community Redevelopment Agency has prepared and submitted to the Board of
Directors a proposed Annual Budget for the 2011-2012 fiscal year, beginning July 1,
2011; and
WHEREAS, 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; and
WHEREAS, the Agency, pursuant to Health and Safety Code section 33334.3,
has determined that the planning and administrative expenses are necessary for the
production, improvement, or preservation of low- and moderate-income housing;
WHEREAS, the Board of Directors, as the legislative body of the Agency, has
reviewed this proposed budget;
NOW, THEREFORE, the Board of Directors of the Community Redevelopment
Agency of the City of Tustin does hereby resolve, determine and order that the following
sums of money are appropriated from the anticipated revenue of the Redevelopment
Agency for the purposes stated during the 2011-2012 fiscal year, and that the
expenditures from the Low and Moderate Income Housing Fund for planning and
administrative expenses for each Redevelopment Project Area are not disproportionate
to the amount actually spent for the cost of production, improvement or preservation of
that housing and that the expenditures from the Low and Moderate Income Housing
Fund for planning and administrative expenses for each Project Area are necessary for
the production improvement and preservation of low and moderate income housing.
South Center Project Area:
Operating Expenses $ 9,580,106
Debt Service 7,939,545
Capital Improvements 743 930
TOTAL SOUTH CENTRAL PROJECT AREA
APPROPRIATIONS 2011-2012 $ 18,263,581
Marine Corp Air Station Project Area:
Operating Expenses $ 4,943,669
Debt Service 6,167,751
Capital Improvements (includes use of bond
proceeds) 20,194,391
TOTAL MARINE CORP AIR STATION
PROJECT AREA APPROPRIATIONS 2011-2012 $ 31,305,811
Town Center Project Area:
Operating Expenses $ 1,827,899
Debt Service 2,194,666
Capital Improvements 35,000
TOTAL TOWN CENTER PROJECT AREA
APPROPRIATIONS 2011-2012 $ 4,057,565
PASSED AND ADOPTED at a regular meeting of the Community
Redevelopment Agency of the City of Tustin held on the 19th day of July, 2011.
JERRY AMANTE,
Chair
ATTEST:
PAMELA STOKER,
Recording Secretary
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) SS
CITY OF TUSTIN )
I, Pamela Stoker, City Clerk and ex-officio Secretary of the Tustin Community
Redevelopment Agency of the City of Tustin, California, do hereby certify that the whole
number of the members of the Redevelopment Agency of the City of Tustin is five; that
the above and foregoing RDA Resolution No. 11-02 was duly passed and adopted at a
regular meeting of the Tustin Community Redevelopment Agency, held on the 19th day
of July, 2011, by the following vote:
AGENCYMEMBER AYES:
AGENCYMEMBER NOES:
AGENCYMEMBER ABSTAINED:
AGENCYMEMBER ABSENT:
PAMELA STOKER
Recording Secretary