HomeMy WebLinkAboutPH 3 APPROP. LIMIT 82-83 9-7-82DATE:
August 18, 1982
PUBLIC HEARING
Inter - C om
TO:
FROM:
SUBJECT:
Bill Hus~Manager
Ron Naul t
Proposition 4 - Appropriation Limitation Fiscal Year 1982-1983
RECOMMENDATION
Adopt attached Resolution No. 82-?0, setting the City of Tustin's 1982-83 appropr-
iation limit at $11,695,561.
BACKGROUND
Article XIIIB was added to the State constitution as a result of the 11/79 general
elections. It is more commonly known as Proposition 4, "The Gann Spending Limi-
tation.'' The intent of this constitutional amendment is to separate governmental
revenues between taxes and non-taxes, then limit the growth in "tax" revenues to
the increased cost of goods and services experienced by the general population.
Allowance for increases or decreases in population are also calculated into the
annual limitation.
Section 7910 of the Government Code requires a public hearing prior to adopting a
resolution setting the annual appropriation limit.
DISCUSSION
Approximately May 1 of every year the State Department of Finance must provide us
with the price and population data for local jurisdictions. This years' price
factor uses the March to March CPI growth of 6.79%. This means that the growth in
CPI was less than the per capita personal income for the previous 12 months.
The population as of January 1982 has been certified at 38,223. This is an in-
crease of 959 or .93% net of exclusions.
The attached worksheet illustates the determination of the appropriation limit for
1982-83 of $11,695,561. Net appropriations subject to limitation are $8,128,814,
providing a variance of $3,566,747. The appropriations subject to limit are based
on the adopted 1982-83 budget.
RAN :mm
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RESOLUTION NO. 82-70
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUSTIN,
DETERMINING AND ADOPTING AN APPROPRIATIONS LIMIT FOR THE
FISCAL YEAR 1982-83, IN ACCORDANCE WITH ARTICLE XIIIB OF
THE CONSTITUTION OF THE STATE OF CALIFORNIA, AND SECTION
79i0 OF THE GOVERNMENT CODE.
The City Council of the City of Tustin does 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 1, 1982; ana
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 Tustin does hereby resolve and
order as follows:
Section 1: 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 1, 1982 is $11,695,561.
Section 2: The appropriations limit shall not be exceeded in the
proposed 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 day of , 1982.
ATTEST:
Richard B. Edgar
Mayor
Mary E. Wynn
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1982-83 APPROPRIATIONS LIMIT/APPROPRIATIONS SUBJECT TO LIMIT
PART I 1982-83 APPROPRIATION LIMIT
1981-82 Appropriation Limit
Cumulative Growth Rate
1982-83 Appropriation Limit
PART II 1982-83 APPROPRIATIONS SUBJECT TO LIMIT
$10,851,016
1.0077831
$11,695,561
A. Determine proceeds of tax from governmental funds
$8,411,507
2,320,954
Proceeds of tax
Non-proceeds
B. Determine appropriations subject to limit
Total appropriations-governmental funds
Less:
Non-proceeds of tax
General obligation bond dept.
PERS unfunded liability
Use of prior yars' reserves to fund
current year appropriations
Total appropriations subject to limit
82/83 appropriation limit
Under/<over> limit
$11,218,887
<2,320,954>
< 180,075>
< 41,000>
< 548,044>
$ 8,128,814
$11,695,561
$ 3,566,747
EX}{IBIT "A"