HomeMy WebLinkAbout7/16/2008 - STAFF REPORTS - 2.K. ?ALMgpR
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City Council Staff Report
DATE: July 16, 2008 Consent Calendar
SUBJECT. ADOPTION OF APPROPRIATIONS LIMIT FOR FISCAL YEAR 2008-09
FROM: David H. Ready, City Manager
BY: Department of Finance and Treasurer
SUMMARY
The City Council is required to annually adopt an appropriations limit for the new fiscal
year. Article XIIIB of the California Constitution requires government units to establish
an annual appropriations limit. This is done by using 1978-79 as a base year and
allowing the base to increase in future years by the percentage of growth in population
of the City or County, whichever is greater, and by the increase in California Per Capita
Personal Income.
RECOMMENDATION:
Adopt Resolution No. of the City Council of the City of Palm
Springs, California, Adopting an Appropriations Limit for the Fiscal Year Ending
June 30, 2009.
STAFF ANALYSIS:
The State of California in Article XIIIB of the California Constitution requires government
units to establish an annual appropriations limit. This is done by establishing 1978-79 as
a base year and allowing the base to increase in future years by the percentage of
growth in population of the City or County, whichever is greater, and by the increase in
California Per Capita Personal Income.
Guidelines and statistical data for calculation of the appropriation limit are provided by
the League of California Cities and the Department of Finance of the State of California.
The City's Finance Department has calculated the City's fiscal 1978-79 base year
appropriation limit to be $13,429,805. Using information supplied by the State
Department of Finance, the fiscal year 2008-09 appropriation limit is calculated to be
$117,137,003.
, V
ITEM NO. '%�
City Council Staff Report
July 16, 2008 -- Page 2
Adoption of Appropriations Limit for Fiscal Year 08-09
It is important to point out those only specific revenues and appropriations are subject to
limitation. All of the City's enterprise and intra-governmental service funds are exempt.
In addition, Federal funds are exempt.
The appropriation amount subject to the limit was calculated to be $63,976,018, which
is $53,160,985 less than the 2008-09 appropriation limit.
The summary calculation to determine the limitation is attached to this report. However,
the total calculations are very detailed and are not provided with this report, but are
available for review at the office of the City Clerk or at the Department of Finance. The
formula for calculations to determine the new appropriations limit is established by the
State Department of Finance.
FISCAL IMPACT:
None.
Geoffrey' Mehl David H. Ready
Director of Finance and Treasurer City Manager
Attachments:
RESOLUTION NO.
OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS
CALIFORNIA, ADOPTING AN APPROPRIATIONS LIMIT
FOR THE FISCAL YEAR ENDING JUNE 30, 2009.
WHEREAS Article XIIIB of the Constitution of the State of California mandates an
appropriation and expenditure limit on various units of government, including the City of
Palm Springs; and
WHEREAS that limit has been calculated by the Finance Department of the City of
Palm Springs using current guidelines provided by the State Department of Finance;
and
WHEREAS the City Council of the City of Palm Springs desires to formally adopt that
appropriations limit for the City.
WHEREAS the options for calculation will be California Per Capita Income and the City
of Palm Springs population growth;
NOW THEREFORE BE IT RESOLVED by the City Council of the City of Palm Springs
that, in accordance with Article XIIIB of the Constitution of the State of California, the
appropriations limit for the City of Palm Springs for the fiscal year 2008-09 is
$117,137,003.
ADOPTED this day of July, 2008.
David H. Ready, City Manager
ATTEST:
James Thompson, City Clerk
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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
by the following vote:
AYES-
NOES-
ABSENT:
ABSTAIN:
James Thompson, City Clerk
City of Palm Springs, California