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HomeMy WebLinkAbout7/11/2012 - STAFF REPORTS - 2.J. SUBMITTAL TO THE BOARD OF SUPERVISORSb'L COUNTY OF RIVERSIDE, STATE OF CALIFORNIA FROM: Executive Office SUBMITTAL DATE: July 3, 2012 SUBJECT: Resolution No. 2012-166 Determining the Amount of Property Tax Revenue to be Exchanged between the Banning Library District and the County of Riverside and the City of Palm Springs - LAFCO 2012-04-4&5 RECOMMENDED MOTION: That the Board of Supervisors adopts Resolution No. 2012-166, Determining the Amount of Property Tax Revenue to be Exchanged between the Banning Library District and the County of Riverside and the City of Palm Springs. w o BACKGROUND: On April 26, 2011 (Item 3.4), Supervisor Ashley introduced, and the Board of J a Supervisors adopted, Resolution No. 2011-099: A Resolution of Application Requesting the Local W �Q Area Formation Commission Commence Proceedings for the Detachment of Property from the ` Banning Library District. The property encompasses the areas of Cabazon, Whitewater, and Snow a Creek. a zContinued on page 2 0 U Tina Grande WZ GPrincipal Managem Analyst W d Current F.Y.Total Cost: $ N/A In Current Year Budget: N/A a. W` FINANCIAL c DATA Current F.Y. Net County Cost: $ N/A Budget Adjustment: N/A Annual Net County Cost: $ N/A For Fiscal Year: N/A SOURCE OF FUNDS: N/A Positions To Be ❑ Deleted Per A-30 Requires 4/5 Vote ❑ C.E.O. RECOMMENDATION: APPROVE �. & Debra Cournoyer �` rC- a° a County Executive Office Signature -} w m 00 0 MINUTES OF THE BOARD OF SUPERVISORS o Ln On motion of Supervisor Stone, seconded by Supervisor Tavaglione and duly carried, IT WAS ORDERED that the above matter is approved as recommended. Ayes: Buster, Tavaglione, Stone and Benoit Nays: None Kecia Harper-Them Absent: Ashley Cle of thehu rd Date: July 3, 2012 By� - xc: E.O., Affected A-Ancy's, Auditor, Commission e E p 3 LIJ o a Prev. Agn. Ref.: 4126/11 3.4 District: 5/5 Agenda Number: 3 e49 Resolution No. 2012-166 Determining the Amount of Property Tax Revenue to be Exchanged Between the Banning Library District and the County of Riverside and the City of Palm Springs — LAFCO 2012-04-4&5 July 3, 2012 Page 2 BACKGROUND continued: Per the Revenue and Taxation Code Section 99(b)5, the Board of Supervisors, on behalf of special districts, negotiates any exchange of property tax when a proposed change affects the service area or responsibility of one or more special districts. The Board is required to consult with the affected district(s) prior to adopting the final tax exchange resolution. Staff negotiated with the City Palm Springs on behalf of the Banning Library District (BLD) as well as negotiated directly with the BLD for the areas that the County will assume. The estimated annual amount of property tax to be transferred to the City of Palm Springs is $2,049. The estimated annual amount transferred to the county is $249,556, making the total annual amount to be exchanged $251,605. If the detachment is recorded prior to December 2012, then the exchange would occur as of July 2013, with the first distribution in December 2013. The subject area is approximately 167 square miles. The area to be detached to the county is approximately 152 square miles, with the remaining approximate 15 square miles to be detached to the city. The BLD area will be reduced from approximately 310 square miles to 143 square miles. The BLD currently serves about 29,965 people. The Cabazon area population is approximately 2,535. The estimated amount of property tax revenue for BLD for FY 11/12 is $439,134. BLD's total revenue reported by LAFCO for FY 10/11 was $721,777. If the detachment is approved by LAFCO, BLD is requesting that the property tax be reduced gradually over a five-year period. This would allow the BLD to plan for the reduction in funding over a longer term. BLD cites the property tax exchange between the BLD and Beaumont Library District as precedent. In that case, the BLD annexed property from the Beaumont Library District. The total estimated amount of property tax transferred from Beaumont to Banning at the completion of five years is $205,105. FY 12/13 will be the first year BLD receives the property tax for the area annexed. The percentage for 12/13 is 20%. The detachment before the Board of Supervisors is different from the previous annexation. The County of Riverside is constructing a new library in the subject area with an anticipated opening date of December 2012. This new library is adjacent to the community center, the Cabazon Elementary School, and a proposed child development project. The new library will join these important facilities that provide much needed amenities to the residents in Cabazon. The estimated operating budget for the new library is $410,000. This does not include additional startup costs necessary to open the library. These one-time expenses will occur in FY 12/13. The BLD closed their Cabazon Library in June 2011. At the time of closure the library was only open 12 hours per week. Currently, the community residents who have transportation can use the BLD library in the City of Banning. The community is also being by served the County Library bookmobile; however, the bookmobile is only available on Tuesdays and Saturday mornings, for only four hours each morning. Further the collection is very limited, and there is Resolution No. 2012-166 Determining the Amount of Property Tax Revenue to be Exchanged Between the Banning Library District and the County of Riverside and the City of Palm Springs — LAFCO 2012-04-40 July 3, 2012 Page 3 limited public access to computers. Children in the area derive little or no benefit from the Bookmobile which allows no room for educational programming for anyone, including children. The new library has received community support. The West Desert Municipal Advisory Committee (MAC) voted in April 2011 to support the Cabazon Library becoming part of the county library system. Citizens in the community have continued to express their support for a library in the Cabazon area to the new County Librarian. They anticipate a library with comprehensive collections of books and materials, public access to at least 13 computers and ample space for programs for diverse groups in the community including programs for literacy and US Citizenship, all delivered with the latest in library technology. Although a case can be made on the population figures with regard to the amount of property tax being transferred to the Cabazon community, the amount of the property tax to be exchanged is generated from the Cabazon community and will serve the residents directly. The BLD will ultimately receive an increase in the amount of property tax from the previous annexation in the amount close to what will be transferred to the county. Unlike the previous annexation, the funds will go toward providing a new facility in the subject community. BLD will continue to receive a 100% of property tax in FY 12/13, which will be a total of two years of funding after the closure of the previous library in Cabazon. As for the portion that goes to the City of Palm Springs, the city is already providing full service to the subject area. Given the above, staff is recommending that the city and the county should assume 100% of the portion of property tax generated for library services beginning FY 13/14. The attached resolution is compatible with the terms and conditions of the dissolution agreement. The exchange of property tax revenue will become effective for tax purposes beginning July 1 of the subsequent calendar year following the date of dissolution. The detachment is tentatively scheduled for LAFCO on July 26, 2012. 1 Board of Supervisors County of Riverside 2 RESOLUTION NO. 2012-166 3 DETERMINING THE AMOUNT OF PROPERTY TAX REVENUE TO BE EXCHANGED BETWEEN THE BANNING LIBRARY DISTRICT 4 AND THE COUNTY OF RIVERSIDE AND THE CITY OF PALM SPRINGS PER DETACHMENT FROM THE BANNING LIBRARY DISTRICT 5 LAFCO 2012-04-4&5 6 WHEREAS, the County of Riverside has filed LAFCO No. 2012-04-4&5 requesting a 7 detachment from the Banning Library District, and 8 WHEREAS, Revenue and Taxation code Section 99(b)(5) directs the Board of Supervisors to 9 negotiate any exchange of Property Tax revenues that affect the service responsibility of one or more 10 special districts, and 11 WHEREAS, the responsibility for providing library services of the affected parcels will rest with 12 the County of Riverside and the City of Palm Springs per the new proposed boundaries; 13 NOW, THEREFORE, BE IT RESOLVED by the Riverside County Board of Supervisors 14 assembled in regular session on July 3 , 2012, that: 15 1. The Banning Library District is the agency whose area of responsibility would be affected 16 by LAFCO 2012-04-4&5. 17 2. The County of Riverside shall assume the responsibility for all library services of the W8 affected parcels identified as the areas of Cabazon, Snow Creek, Whitewater and in the City of Desert w a z N 99 Hot Springs within the territory sought to be detached from the Banning Library District and for such z ` 20 service shall receive a 100 percentage of that portion of the property tax revenue generated within said z21 area of the territory to be detached that relates to library services; 0 w 2 3. The City of Palm Springs already provides library services to the affected parcels within ua Of 0 3 the city's limit within the territory sought to be detached from the Banning Library District for such � d a a Q4 service shall receive a 100 percent of that portion of the property tax revenue generated within said � o 0 y 25 area of the territory to be detached that relates to library services. LL ED 26 -1- 07.03.12 3.49 1 4. The County Auditor shall convert the above-established percentage into actual dollar 2 figures and thereafter allocate such property tax revenue in accord with the provisions of Section 95 et 3 seq. of the Revenue and Taxation Code. 4 5. The Clerk shall transmit a certified copy of this resolution to each affected agency and to 5 the Executive Officer of the Local Agency Formation Commission and to the Auditor of the County of 6 Riverside pursuant to Section 99 of the Revenue and Taxation Code. 7 ROLL CALL: 8 Ayes: Buster, Tavaglione, Stone, and Benoit Nays: None 9 Absent: Ashley 10 The foregoing is certified to be a true copy of a resolution duly adopted by said Board of Supervisors on the date therein set forth. 11 KECIA HARPER—IHEM, Clerk of said Board 12 By: De 13 14 15 16 17 18 19 20 21 22 23 24 25 26 _2_ 07.03.12 3.49 t?ALM Sp c V N Cg41FOIL CITY COUNCIL STAFF REPORT DATE: July 11, 2012 CONSENT CALENDAR SUBJECT: PROPOSED RESOLUTION RECEIVING A PORTION OF AN AREA DETACHED FROM THE BANNING LIBRARY DISTRICT AND TRANSFERRING IT TO THE CITY OF PALM SPRINGS FROM: David H. Ready, City Manager BY: Department of Finance and Treasury SUMMARY The Riverside Local Agency Formation Commission (LAFCO) is in the process of detaching a group of parcels from the Banning Library District and transferring them to either the County of Riverside or the City of Palm Springs. RECOMMENDATION: 1. Adopt Resolution No. "A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, RECEIVING A PORTION OF AN AREA DETACHED FROM THE BANNING LIBRARY DISTRICT IN CABAZON AND TRANSFERRING IT TO THE CITY OF PALM SPRINGS." 2. Authorize the City Manager to execute all appropriate documents related to the transfer to the City. BACKGROUND: The Finance Director has been contacted by staff from LAFCO and the County Executive's Office regarding a proposed detachment of parcels near Cabazon from the Banning Library District and a resulting transfer of a large portion to the County of Riverside and a small portion that is contiguous to our current boundaries to the City of Palm Springs. The estimated property tax transfer to Palm Springs will begin in 2013-2014 and is estimated to be $2,049. The library service area being detached and transferred to us is already within our City boundaries. The Whitewater Rock and Supply Company is the only business in that area, and there are no homes or residents. The additional ITEM NO. City Council Staff Report July 11, 2012 -- Page 2 Authorize the Transfer of Area from the Banning Library District to Palm Springs property taxes will be used for our library which serves the entire City, including this new area. FISCAL IMPACT: $2,049 in additional property taxes will begin coming to the City as part of our regular property taxes in the 2013-2014 fiscal year. No additional library services are required to serve the area being detached and transferred. Geoffrey S. Kiehl David H. Ready, Ci er Director of finance and Treasurer �Ow Dougla Holland City Attorney Attachment: Resolution the Transfer of Area from Banning Library District to the City LAFCO document showing area proposed for detachment and transfer Estimated Tax Transfer for LAFCO 2012-04-4&5 02 RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, RECEIVING A PORTION OF AN AREA DETACHED FROM THE BANNING LIBRARY DISTRICT AND TRANSFERRING IT TO THE CITY OF PALM SPRINGS. WHEREAS, the County of Riverside has filed LAFCO No. 2012-04-40 requesting a detachment from the Banning Library District and transfer to the County of Riverside and the City of Palm Springs; and WHEREAS, the City of Palm Springs already provides literary services to the affected parcels within the City's limit within the territory to be detached from the Banning Library District, and for such service shall receive 100 percent of that portion of the property tax revenue generated within said area of the territory to be detached that relates to library services; and WHEREAS, the County of Riverside and LAFCO have determined that the there is an estimated $2,049 in property taxes to be transferred to the City of Palm Springs as part of the detachment and transfer; and WHEREAS, the Board of Supervisors of the County of Riverside approved such detachment and transfer on July 3, 2012. NOW THEREFORE THE CITY COUNCIL DETERMINES, RESOLVES AND APPROVES AS FOLLOWS: SECTION 1. The transfer of detached area from the Banning Library District to the City of Palm Springs per LAFCO 2012-04-04&05 is hereby approved. SECTION 2. The City hereby accepts the property tax revenue as determined by the County Auditor as determined in accordance with the provisions of Section 95 et seq. of the California Revenue and Taxation Code. PASSED, APPROVED AND ADOPTED BY THE PALM SPRINGS CITY COUNCIL THIS 11TH DAY OF JULY, 2012. David H. Ready, City Manager ATTEST: James Thompson, City Clerk 03 CERTIFICATION STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss. CITY OF PALM SPRINGS ) I, JAMES THOMPSON, City Clerk of the City of Palm Springs, hereby certify that Resolution No. is a full, true and correct copy, and was duly adopted at a regular meeting of the City Council of the City of Palm Springs on July 11, 2012, by the following vote: AYES: NOES: ABSENT: ABSTAIN: James Thompson, City Clerk City of Palm Springs, California 04 LAFCO 2012-03-4&5 Sphere of Influence Amendment(removal)from the Banning Library District (Cabazon) LAFCO 2012-04-4&5 Detachment from Banning Library District (Cabazon) APPLICANT: LAFCO 2012-03-4&5 - LAFCO LAFCO 2012-04-4&5-County of Riverside PURPOSE: For the County of Riverside Library System to extend library services to the general Cabazon area. GENERAL LOCATION: Generally located east of the City of Banning city limits and sphere of influence, south of the Riverside/San Bernardino County line,generally west of the City of Desert Hot Springs and north of State Highway 243. Includes the unincorporated area of Cabazon and portions of the Cities of Desert Hot Springs and Palm Springs. ACREAGE: 152 square miles fi 5 a 3 2 1 6 6 B +0 11 12 T 5 9 10 11 12 T 6 9 10 11 12 1 11 1 15 I6 15 11 13 16 17 I6 15 11 13 10 17 16 15 11 13 ID 11 Jf 23 21 +9 21 22 23 21 IB 20 21 n 0 N 19 20 21 22 23 21 19 20 21 26 M 2 25 21 26 25 30 29 N 27 25 25 30 29 29 22 N N >D N DESERT HOT IRRR ]5 M Jt, 3i ]J 31 35 36 31 32 3] N 35 36 31 32 33 U 35 38 31 32 2 1 5 1 ] S24 5 1 ] 2 1 6 5 1 ] 2 1a NNIry0 ,-12 2 H Bt1 13T ID 16 V 16 15 11 13 18 16 15, 11 w• "10 th 3@ 23 24 +9 20 21 22 fi N N 19 20 2+ 22 n N 1 20 2i 22 23 2 19 20 21 M 25 29 N 22 IB 5 JO A 1a Z1 2B 25 ]0 29 Ifi 21 26 25'. N S P 72 9 M �J6 31 32 ]] 7a 35 ]6 31 32 It N 35 ]6 31 J2 2 �0 5 , e C Bn r0 a qis rSct J 2 1 B s a ] 2 1 1 ] 2 + 6 5 1 �11 12 1 5 9 10 11 12 1 B 10 11 12 1 a 9 10 11 12 ) a 9 1a IT 16 15 1. 13 15 11 16 I5 11 13 to 11 15 15 14 13 1 1/ 20 21 22 n N f9 ]0 1 23 2] N 19 20 21 22 N EI 1 25 N N 21 R 25 X 29 N 21 25 J0 29 25 " 26 25 ]5 JB ]1 32 33 N 35 ]0 31 32 3] N 2a 31 92 23 N 35 M 1 1 1 3 2 1 a 5 . 3 2 1 8 5 1 3 2 1 5 1 11 1 a tl 12 2 5 B 10 If 2 a B 10 11 12 1 8 RIVERSIDE LOCAL AGENCY FORMATION COMMISSION•3850 VINE SntE> r sunm 110•RIVERSIDE,CA 92507-40 Phone(951)369-0631 •www.lafco.org•Fax(951)369-8479 05 Estimated Tax Transfer for LAFCO 2012-044&5 -*Assesed Value 1%General Annual Estimated t E tnatetl ' Adl or z .lax lncrtem"ent„`, PrAFRAp P,-ERAFO2r S tRA RSV Rede mer � AdJ.for V Factor Tax Transfer jFact&r unt, x Tax Trpnsfer 011-007 848,605 8,496 0.04406474 374 0.163362 61.09 312.85 011-079 3,612,857 36,129 0.05143638 1,858 0.163362 303,58 1,554.74 011-080 398,304 3,983 0.05447353 217 0.163362 35.44 181.53 4,859,766 48,598 2,449 400 2,049 Estimated Tax Transfer from Banning Library to Palm Springs City $ 2,049 055-008 4,194,202 41,942 0.05167099 2,167 0.163362 354.04 1,813.15 055-011 27,613,258 276,133 0.05143638 14,203 0.163362 2,320.27 11,882.99 055-012 895,328 8,953 0.05421221 485 0.163362 79.29 406.09 055-013 9,827,261 98,273 0,04623248 4,543 0.163362 742.22 3,801.17 055-019 24,410,591 244,106 0.05447353 13,297 0.163362 2,172.27 11,125,04 055-021 325,461 3,255 0,05153152 168 0,163362 27.40 140.32 055-025 964 10 0.05338297 1 0.163362 0.08 0.43 055-027 6,164,671 61,647 0.05120332 3,157 0.163362 515.65 2,640.96 055-028 155,163,050 1,551,631 0.05231874 81,179 0.163362 13,261.59 67,917.76 055-029 R 26,513 265 0.04582611 12 0.163362 1.98 10.17 055-030 R 165,082 1,651 0.04582611 76 0.163362 12.36 63.29 055-031 8,221,807 82,218 0.04290711 3,528 0.163362 576.30 2,951.44 055-032 R 10,254 103 0.05167099 5 0.163352 0.87 4.43 055-033 0 0 0.03712771 0 0.163362 0,00 0.00 055-034 1,372,618 13,726 0.03653814 502 0.163362 81.93 419.60 055-035 4,212,823 42,128 0,05238831 2,207 0.163362 360.54 1,846A8 055-036 38,034,140 380,341 0.03569599 13,577 0.163362 2,217.91 11,358.76 055-038 0 0 0,05362819 0 0.163362 0.00 0.00 055-039 0 0 0.05048150 0 0.163362 0.00 0.00 055-040 18,551,197 186,512 0.04790708 8,935 0.163362 1,459.68 7,475.57 055-042 79,995 800 0.04873181 39 0.163362 6.37 32.61 055-043 R 510,044 5,100 0.04122512 210 0,163362 34.35 175.92 055-044 R 12,438,316 124,383 0,04589545 5,709 0.163362 932.57 4,776.05 055-045 9,475,162 94,752 0.04641996 4,398 0.163362 718.52 3,679.84 - 055-046 R 16,281,655 162,817 0.04122512 6,712 0.163362 1,096.50 5,615.63 055-051 R 57,523 575 0,04122512 24 0.163362 3.87 19.84 055-054 0 0 0.05120332 0 0.163362 0.00 0.00 055-055 1,662,300 16,623 0.05167099 859 0.163362 140.32 718.61 055-056 R 373,478 3,735 0.04589545 171 0.163362 28.00 143.41 055-057 R 214,164 2,142 0.05167099 111 0,163362 18.08 92.58 055-058 R 3,813,015 38,130 0.05167099 1,970 0.163362 321.86 1,648.36 055-059 R 0 0 0.04589545 0 0.163362 0.00 0.00 055-060 R 121,538,475 1,215,385 0.05167099 62,800 0.163362 10,259.13 52,541.00 055-061 R 90,384,172 903,842 0.05167099 46,702 0.163362 7,629.38 39,073.02 055-062 1,028,526 10,285 0.05167099 531 0,163362 86.82 444.63 055-063 816,971 8,170 0.05231874 427 0.163362 69.83 357.60 055-064 R 172,999 1,730 0.05167099 89 0.163362 14.60 74.79 055-067 34,878,525 348,785 0,05231874 18,248 0.163362 2,981.02 15,266.98 055-068 R 124,452 1,245 0.05167099 64 0.163362 10.51 53.80 055-619 0 0 0.05447353 0 0.163362 0.00 0.00 061-057 1,997,186 19,972 0.05886173 1,176 0.163362 192.04 983.53 0 0 Total 595,136,178 5,951,362 298,284 48,728 249,556 Estimated Tax Transfer from Banning Library to County Library $ 249,556 _ Estimated Tax Transfer from Banning Library Total S 251,605 h:\users\GeoffreyK\Property Taxes\Banning Cabazon Library Estimated Tax Transfer -LAFCO 2012-04-4&5 Page 1 06