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HomeMy WebLinkAboutREVISED AGENDA REPORT NO. 8REVISED AGENDA ITEM NO. 8 Agenda Item Reviewed: AGENDA REPORT City Manager Finance Director MEETING DATE: DECEMBER 4, 2012 TO: JEFFREY C. PARKER, CITY MANAGER FROM: PAMELA ARENDS-KING, FINANCE DIRECTOR SUBJECT: MEASURE M2 FAIRSHARE ANNUAL EXPENDITURE REPORT SUMMARY: The Local Transportation Authority Ordinance No. 3 requires the City to adopt an annual Expenditure Report to account for the Net Revenues, developer/traffic impact fees, and funds expended by the City which satisfy the Maintenance of Effort (MOE). The Orange County Transportation Authority (OCTA) established the MOE benchmark in conjunction with passage of the original Measure M. MOE is a requirement that the City expend local funds on transportation related projects each fiscal year in order to be eligible to receive Measure M2 Fairshare funds, the City's required MOE expenditure is $1,119,535. RECOMMENDATION: It is recommended that the Tustin City Council Adopt Resolution No. 12-108, adopting the Measure M2 Expenditure Report for Fiscal Year 2011-2012 (attach) and direct staff to file the report with the Orange County Transportation Authority. FISCAL IMPACT: There is no fiscal impact associated with this Agenda Item other than staff time. BACKGROUND: Voters approved the renewed Measure M (referred to as Measure M2) on November 7, 2006. Measure M2 is a 30 -year, multi -billion dollar program extension of the original Measure M (1991-2011) with a new slate of projects and programs that's managed by OCTA. With passage of Measure M2, additional eligibility requirements must be established and maintained by the City in order for the City to receive Measure M2 Fairshare funds, which represents a proportionate share of the 1/2% sales tax. Measure M2 Fairshare Expenditure Report Page 2 The Local Transportation Authority Ordinance No. 3 requires the City to adopt an annual Expenditure Report to account for Measure M2 Fairshare, other Measure M2 funding (includes Senior Mobility program), developer/traffic impact fees, and funds expended by the City which satisfy MOE. The annual Expenditure report must be adopted by the City Council and submitted to OCTA by the end of six (6) months following the end of the City's fiscal year. The Measure M2 Expenditure Report for Fiscal Year 2011-2012 is attached to this agenda report. For Fiscal Year 2011-2012, the City received $1,172,915 in M2 Fairshare revenues for the period of July through June 2012. The City expended $143,164 in Measure M2 sources during Fiscal Year 2011-2012. These expenditures include $100,000 in Combined Transportation Funding Program (CTFP) for storm drain inserts and $43,164 in Fairshare funds (includes interest) for storm drain inserts and traffic signal improvements. The CTFP allows local jurisdictions to submit projects during the "Call for Projects" period to receive additional Measure M2 funding. The City applied for and received $100,000 in CTFP funding to install storm drain inserts throughout the City. The Measure M2 program requires interest earned by Fairshare allocations be expended in the same manner and under the same time constraints as regular Fairshare allocations, therefore interest earning are expended prior to regular Fairshare allocations. The City expended $1,426,234 in Fiscal Year 2011-2012 to satisfy MOE requirements. The ending fund balance for the Measure M2 fund is $ $1,432,683 Pamela Arends-King Finance Director Sean Tran Administrative Services Manager Attachment Measure M2 Expenditure Report for Fiscal Year 2011-2012 Resolution No. 12-108 City of Tustin M2 Expenditure Report Fiscal Year Ended June 30, 2012 Beginning and Ending Balances Description Line No. Amount Balances at Beginning of Fiscal Year M2 Fairshare 1 $ 244,041 M2 Fairshare Interest 2 M2 CTFP 3 M2 CTFP Interest 4 Other M2 Funding 5 Other M2 Interest 6 Other* 7 Balances at Beginning of Fiscal Year (Sum Lines 1 to 7) 8 $ 244,041 Monies Made Available During Fiscal Year 9 $ 1,331,806 Total Monies Available (Sum Lines 8 & 9) 10 $ 1,575,847 Expenditures During Fiscal Year 11 $ 143,164 Balances at End of Fiscal Year M2 Fairshare 12 $ 1,378,444 M2 Fairshare Interest 13 M2 CTFP 14 $ - M2 CTFP Interest 15 Other M2 Funding 16 $ 54,239 Other M2 Interest 17 Other* 18 * Please provide a specific description CTFP - Combined Transportation Funding Program Schedule i City of Tustin M2 Expenditure Report Fiscal Year Ended June 30, 2012 Sources and Uses Description Noe Amount Revenues: M2 Fairshare 1 $ 1,172,915 M2 Fairshare Interest 2 $ 4,652 M2 CTFP 3 $ 100,000 M2 CTFP Interest 4 Other M2 Funding 5 $ 54,239 Other M2 Interest 6 Other* 7 TOTAL REVENUES (Sum lines 1 to 7) 8 $ 1,331,806 Expenditures: M2 Fairshare 9 _ $ 38,512 M2 Fairshare Interest 10 $ 4,652 M2 CTFP 11 $ 100,000 M2 CTFP Interest 12 Other M2 Funding 13 Other M2 Interest 14 Other* 15 TOTAL EXPENDITURES (Sum lines 9 to 15) 1 6 $ 143,164 TOTAL BALANCE (Subtract line 16 from 8) 1 17 $ 1,188,642 * Please provide a specific description Schedule 2