HomeMy WebLinkAbout02 APPROP'S LIMIT 09-06-94AGENDA
NO. 2
9-6-94
,nter-Com'
DATE: AUGUST 25, 1994
TO:
FROM:
SUBJECT:
WILLIAM A. HUSTON, CITY MANAGER
FINANCE DEPARTMENT
RESOLUTION 94=10?ADOPTING APPROPRIATIONS LIMIT FOR
FISCAL YEAR 1994-1995.
RECOMMENDATION:
Adopt Resolution 94-107 setting the appropriations limit for Fiscal
Year 1994-1995.
FISCAL IMPACT:
No fiscal impact on the City.
DISCUSSION;
Article XIIIB of the State Constitution requires cities to annually
adopt a limit on appropriations for governmental funds. The basis
of this limitation is the relationship between proceeds of tax and
total appropriations. The base year was 1978-79, and limits were
allowed to grow based on the annual increased population and U.S.
CPI/California per Capita Personal Income, whichever is less.
Proposition 111 was approved by voters in 1990 changing the base
year from 1978-79 to 1986-87. Proposition 111 provides new
adjustment formulas which make the appropriation limit more
responsive to local growth issues. It also requires review of the
limit calculation as part of the annual audit process.
Exhibit "A" shows the calculation of the appropriation limit for
each of the fiscal years 1986-87 through 1994-95, and Exhibit "B"
compares the appropriation limits and the fiscal year
appropriations subject to the limit. Exhibit "C" ~details the
calculation of proceeds of tax and non proceeds of tax for the
Fiscal Year 1994-95.
The appropriation limits for the past six years have been
recalculated using the new formulas which are consistent with the
intent of Proposition 111. As exhibit "B" indicates, we continue to
be below the annual appropriation limit. The City auditors have
reviewed and approved the annual appropriation limit calculation in
conformance to Proposition 111.
Page 2
August 25, 1994
Appropriations Limit
For Fiscal Year 1994-95, we are below our limit by $4.3 million.
The cumulative growth factors this year, as provided by the State
Department of Finance, were a certified population of 59,751, an
increase of 4.15 percent, and the California per capita personal
income increase of .71 percent.
Ronald A. Nault
Director of Finance
I~m~Hern-and~z
Administrative
RAN:IH:is
Attachments
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RESOLUTION 94-107
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
TUSTIN, DETERMINING AND ADOPTING AN APPROPRIHTIONS
LIMIT FOR THE FISCAL YEAR 1994-1995 1N ACCORDANCE
WITH ARTICLE XIIIB OF THE CONSTITUTION OF THE STATE
OF CALIFORNIA, AND SECTION 7910 OF THE GOVERNMENT
CODE.
The City Council of The City of Tustin does hereby resolve
as follows:
WHEREAS, Article XIIIB was added to the Constitution of
the State of California at a general election held November
6, 1979; and
WHEREAS, an annual appropriation limit must be determined
for this City effective for the fiscal year beginning July,
1994; and
WHEREAS, the appropriations limit must be adhered to in
preparing and adopting this City's Annual Budget.
NOW, THEREFORE, the City Council of the City of Tustln
does hereby resolve and order as follows:
Section I: In accordance with Article XIIIB of the
Constitution of the State of California, and Section 7910
of the Government Code and as set forth in detail in the
Attached Exhibit "A" that the appropriations limit for
the fiscal year beginning July, 1994 thru June, 1995 is
$25,333,350.
Section 2: The appropriations limit shall not be exceeded
in the adopted budget nor by any proposed amendment to
the budget.
PASSED AND ADOPTED at a regular meeting of the City
Council of the City of Tustin held on the 6th day of
September , 1994.
ATTEST:
Thomas R. Saltarelli
Mayor
Mary Wynn, City Clerk
EXHIBIT A
City of Tustin
Appropriation Limits
For the Years Ended June 30, 1987~- 1995
Appropria tions h'ffEt for £tscal
year ended June 30, 1987 (base year)
$14,249,831
ANNUAL ADJUSTMENT FACTORS:
Fiscal Year Price Population Combined Factors Cumulative Factors*
1987 - 88 1.0347 1.0199 1.0553 1.0553
1988-89 1.0466 1.0579
1.1072 1,1684
1989-90 1.0519 1.0238
1.0769 1.2583
1990-91 1.0421 1.0435
1.0874 1.3683
1991-92 1.0414 1.0273
1 .O698 1.4639
1992-93 0.9936 1.0615
1.0547 1.5440
1993-94 1.0272 1.0687
1.0978 1.6949
1994-95 1.0071 1.0415
'Appropriation limit lot F~scal
year ended June $Oth (calculated using base yea0
1.0489
1.7778
~HIBIT B
City of Tustin
Summary of Appropriations Limit
For thc Years Ended June 30, 1987--1995
Amount Subject Variance
Fiscal Year Appropriation Limit to the Limit Over/(Under
1987- 88 $15,037,847 $11,727,140 ($3,310,707)
1988-89
$16,649,503
$14,275,605
($2,373,898)
1989-90
$17,930,562
$14,580,062
($3,350,500)
1990-91
1991-92
$19,495,194
$20,860,328
$14,536~578
$17,321,698
($4,958,616)
($3,538,630)
1992-93
$22,001,739
$16,317,522
($5,684,217
1993-94
1994-95
$24,152,039
$25,333,350
$19,037,168
$21,025,049
($5,114,871
($4,308,300
Exhibit C
City of Tustin
Annual Appropriations Limit
1994-1995 Appropriations Limit
And
1994-1995 Appropriations Subject To Limit
Appropriations Limit for fiscal year ended June 30, 1987 (base year)
1994-95 Cumulative Growth Rate
1994-95 Appropriations Limit
$14,249,831
1.7778
$25,333,350
Total Governmental Appropriations
Less:
Non Proceeds of Tax
PERS Unfunded Liability
General Obligation Bonded Debt
Use of Prior Years Reserves
Net Appropriations Subject to Limit
$34,965,801
($8,315,1u9)
($127,459)
$0
($5,498,184)
$21,025,049
1994-95 Appropriations Limit
Variance Over/(under) 1994- 95 Limit
$25,333,350
($4,308,300)
Exhibit D
City of Tustin
Annual Appropriations Limit
1994-95 Proceeds of Tax Computation-
(A)Taxes
(B)License/Permits
(C) Fines/Forfeitures
(D)Revenue from Other
Agencies
(E)Charges for Services
(F)Revenue from Use
of Property
(G)Use of Money
Sub-Total
$1,138,000
Total
$16,748,700 $1,709,800
$0 $432,100
$0 $325,000
$1,971,800 $4,176,514
$0 $1,246,225
$0 $85,500
$18,720,500
$798,030
$19,518,530
$7,975,139
$339,970
$8,315,109
TOTAL FUNDS AVAILABLE
SUBJECT TO THE LIMIT
$27,833,639
1994-95 ANALYSIS OF REVENUES FOR THE GANN LIMIT
EXHIBIT D-1
PROCEEDS NON-PROCEED6
DESCRIPTION OF TAX OF TAX
(A)TAXES
PROPERTY TAX:
GEN FUND
$3,800,000
FRANCHISE FEES:
SALES TAX:
TRANSIENT LODG:
BUSINESS LIC:
NEW CONST. TAX:
BLDG PERMIT-E.TUS:
NEW' CONST.- E. TUS:
REAL PROP.TRANS:
TUS.ST.LT DIST:
TUS. LANDSCAPE/LT. DIST:
;: ~O!AL 'TAXES
(B)LIC/PERMITS
$0 $780,500
$11,150,000
$92,000
$26O,000
$10,000
$895,100
$391,600
$150,000
$442,000
$487,300
: $16~748,700 $1 i709,800
(C)FINES&FORFEITURES
(D)REVENUE FROM
OTHER AGENCIES
GENERAL FUND:
MOTOR VEH.IN-LIEU
HOME PROP TX REL
TRAILER COACH
BICYCLE TRAIL FUNDS
OFF HIGHWAY VEH
POST REIMB
SR. CTR GRANT
C.D.B.G.
ASSET FORFEITURE
MEASURE M
PUBLIC SAFETY AUGMENTATION
COUNTY/STATE GRANTS
GAS TAX FUND
CALTRANS REIM
SCAQMD
MARINE BASE CLOSURE
TOTAE REV ER OTHER AGN
$1,885,000
$78,000
$8,000
$17,518
$32,000
$811,545
$150,000
$1,082,000
$155,000
$65,000
$1,560,595
$45,000
$48,000
$209,856
$4,17C
1994-95 ANALYSIS OF EVENUES FOR THE GAl' LIMIT
EXHIBIT D-2
PROCEEDS NON -PROCEEDS
DESCRIPTION OF TAX OF TAX
(E-)CHARGES FOR SERVICES
GENERAL FUND:
PLAN CK FEES-E.T.
FEE FOR SERVICES
PERS CREDIT
DEVELOPER SHARE
LIBRARY MAINT.
RECOVERY OF EXPENSE
OTHER
$433,100
$741,700
$0
$23,000
$48,425
(F-)REVENUE FROM USE
OF PROPERTY
GENERAL FUND:
FACILITY RENTAL
FIRE STATION RENT
PARK RENTAL
SALE-UNCL PROP
TOTAL REVENUES
$18,720,500
REVENUE FROM USE
OF MONEY
GENERAL FUND
CAPITAL IMPROVEMENT FUND
ASSET FORFEITURE
W/COMP
SCAQMD
MARINE BASE CLOSURE
$750,000
$300,000
$25,000
$60,OO0
$3,000
$30,O00
GAS TAX $10,000
; TOTAEUSEOFMONE~: ~ : : : i; $1,138,000
$30,500
$0
$10,000
$7,975,139