Loading...
HomeMy WebLinkAbout5/4/2005 - STAFF REPORTS (5) CITY COUNCIL MAY 4, 2005 CONSENT CALENDAR SUBJECT: ESTABLISHMENT OF A NEW SPECIAL REVENUE FUND TO BE NAMED THE SPECIAL DEVELOPMENT FUND FROM: David H. Ready, City Manager BY: Department of Finance SUMMARY: The new fund will allow the City to track the revenue from special building fees assessed on tracts in Specific Plan 1 in the South Palm Canyon area. RECOMMENDATION: Adopt Resolution No. "A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS AUTHORIZING THE ESTABLISHMENT OF A NEW SPECIAL REVENUE FUND TO BE CALLED THE SPECIAL DEVELOPMENT FUND AND AUTHORIZING THE DIRECTOR OF FINANCE TO CREATE THE APPROPRIATE ACTIVITIES (COST CENTERS) AND ACCOUNT NUMBERS." STAFF ANALYSIS: The City and/or the Community Redevelopment Agency have entered into Subdivision Improvement Agreements with various developers of property in the South Palm Canyon area referred to as Specific Plan 1. Among the requirements of the Agreements is a provision that, as the property is developed, special fees are assessed. These include payments for: Fire Station & Equipment Drainage Road & Bridge Traffic Signal Affordable Housing The fees vary depending on the individual tract, but average about $12,000 per lot. The fees are paid at the time a Building Permit is issued. The fees are adjusted annually by changes in the Consumer Price Index. To date, the City has collected about$74,000 in total from IRP El Portal Associates (Tract #30050) and Acanto Partners (Tract #29632). The fees have been deposited into the City's Trust & Agency Fund pending the establishment of the proposed Special Revenue Fund. s Item No. 2 . D . May 4,2005 Page 2 The Special Development Fund will allow the City to track the payment of the fees and the related expenditures, as required by State law. FISCAL IMPACT: Depending on the level of development in Specific Plan 1, there could be a minor to moderate revenue stream that could help fund future services in the affected area. There is no impact on current General Fund expenses or revenues. Thomas M. Kanarr, Director of Finance David H. Ready, City Ma, - & Treasurer RESOLUTION NO. 21251 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS AUTHORIZING THE ESTABLISHMENT OF A NEW SPECIAL REVENUE FUND TO BE CALLED THE SPECIAL DEVELOPMENT FUND AND AUTHORIZING THE DIRECTOR OF FINANCE TO CREATE THE APPROPRIATE ACTIVITIES (COST CENTERS) AND ACCOUNT NUMBERS WHEREAS, the City and/or the Community Redevelopment Agency has entered into Subdivision Improvement Agreements with various developers; and WHEREAS, one of the provisions of these agreements is the establishment of special building fees for the affected tracts; and WHEREAS, the City is required by State law to track the revenue received from those fees, and the expenditures made from them; and WHEREAS, the most efficient method of segregating the revenue and expenditures is to record the transactions in a separate fund. THE CITY COUNCIL OF THE CITY OF PALM SPRINGS DOES HEREBY RESOLVE AS FOLLOWS: SECTION 1. To create a new special revenue fund to be called the Special Development Fund. SECTION 2. To direct the Director of Finance & Treasurer to record the appropriate receipts and expenditures in this fund. SECTION 3. To authorize the Director of Finance & Treasurer to create the appropriate activities (cost centers) and account numbers, as necessary. ADOPTED THIS 41h day of May, 2005. David H. Ready, City Manager ATTEST: James Thompson, City Clerk 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. 21251 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 May 4, 2005, by the following vote: AYES: Members Foat, McCulloch, Mills, Pougnet and Mayor Oden NOES: None ABSENT: None ABSTAIN: None James Thompson, City Clerk City of Palm Springs, California