HomeMy WebLinkAbout5/2/2012 - STAFF REPORTS - 2H ALM sp9
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Oq<�PORN�P CITY COUNCIL STAFF REPORT
DATE: May 2, 2012 CONSENT CALENDAR
SUBJECT: ESTABLISHMENT OF A NEW CAPITAL PROJECT FUND TO BE
NAMED THE MEASURE J FUND.
FROM: David H. Ready, City Manager
BY: Department of Finance and Treasury
SUMMARY
The City Council will consider an action that creates a new fund in the City's accounting
system that will allow the City to track the revenue and expenses related to Measure J.
RECOMMENDATION:
1. Adopt Resolution No. "A RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF PALM SPRINGS, CALIFORNIA, AUTHORIZING THE
ESTABLISHMENT OF A NEW CAPITAL PROJECTS FUND TO BE CALLED
THE MEASURE J FUND, AND AUTHORIZING THE DIRECTOR OF
FINANCE TO CREATE THE APPROPRIATE ACTIVITIES (COST
CENTERS) AND ACCOUNT NUMBERS.".
STAFF ANALYSIS:
Measure J, the local revenue measure approved by voters in November 2011,
increased the City's sales tax by 1%. This new rate became effective April 1, 2012. The
City has an agreement with the Board of Equalization to administer and collect the
additional local tax Measure J will provide, with payments expected to be received on a
monthly basis and the first payment being made near the end of the current fiscal year.
To facilitate the necessary accounting and reporting requirements, staff is
recommending that Measure J funds be segregated in a new fund.
ITEM NO. --
City Council Staff Report
May 2, 2012 -- Page 2
Establish New Measure J Fund
FISCAL IMPACT:
Creating a new Measure J fund will have no impact on the General Fund or any other
City fund. Its creation streamlines the accounting and provides a clear audit trail for
expenses. The change is supported by the City's outside auditors, Lance, Soil &
Lunghard.
Geoffrey S.Kiehl David H. Read Hager
Director of Finance and Treasurer
-d4ol� --
Doug laskiolland, City Attorney
Attachments:
Resolution
002
RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
PALM SPRINGS, CALIFORNIA, AUTHORIZING THE
ESTABLISHMENT OF A NEW CAPITAL PROJECTS FUND
TO BE CALLED THE MEASURE J FUND, AND
AUTHORIZING THE DIRECTOR OF FINANCE TO
CREATE THE APPROPRIATE ACTIVITIES (COST
CENTERS) AND ACCOUNT NUMBERS.
WHEREAS, on November 8, 2011, voters approved Measure J, the local
revenue measure increasing the City's sales tax rate by 1%, which became effective
April 1, 2012; and
WHEREAS, the Board of Equalization will administer and collect the additional
local tax and remit this revenue to the City; and
WHEREAS, creating a new Measure J fund will allow the City to more effectively
track revenue and provide a much better audit trail for expenses; and
WHEREAS, Council approval is necessary for the creation of new funds;
NOW THEREFORE THE CITY COUNCIL DETERMINES, RESOLVES AND
APPROVES AS FOLLOWS:
SECTION 1. The Director of Finance is hereby authorized to create a new and
separate Capital Projects Fund to be named the Measure J fund.
SECTION 2. The Director of Finance is hereby authorized to create the
appropriate activities (cost centers) and account numbers.
PASSED, APPROVED AND ADOPTED BY THE PALM SPRINGS CITY
COUNCIL THIS 2ND DAY OF MAY, 2012.
DAVID H. READY, CITY MANAGER
ATTEST:
JAMES THOMPSON, CITY CLERK
003
Resolution
Page 2
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 February 15, 2012, by the
following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
JAMES THOMPSON, CITY CLERK
City of Palm Springs, California
004