HomeMy WebLinkAbout9/1/2004 - STAFF REPORTS (18) DATE: September 1, 2004
TO: City Council
FROM: Director of Finance and Treasurer
CITY OF PALM SPRINGS 2004-05 APPROPRIATION LIMIT
RECOMMENDATION:
That the City Council of the City of Palm Springs adopt a resolution establishing an appropriations
limit for the 2004-05 fiscal year in accordance with Article X111 B of the California Constitution
BACKGROUND:
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 2004-
05 appropriation limit is calculated to be $94,969,438.
It is important to point out that only specific revenues and appropriations are subject to limitation All
of the City's enterprise and intragovernmental service funds are exempt In addition, Federal funds
are exempt.
The appropriation amount subject to the limit was calculated to be$49,121,252 which is$45,848,186
less than the 2004-05 appropriation limit.
The actual calculation is very detailed and is not provided with this report, but is available for review
at the office of the Director of Finance. As mentioned earlier, the approach used follows the basic
guidelines provided by the League of California Cities.
APPROVED:
David H. Ready Thomas M Kanarr
City Manager Director of Finance and Treasurer
ATTACHMENT: Resolution
RESOLUTION NO.
OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS
CALIFORNIA, ADOPTING AN APPROPRIATIONS LIMIT FOR THE
FISCAL YEAR ENDING JUNE 30, 2005.
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 County of
Riverside 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 2004-05 is $94,969,438.
ADOPTED this day of 12004.
AYES:
NOES:
ABSENT:
ATTEST CITY OF PALM SPRINGS, CALIFORNIA
By
City Clerk City Manager
REVIEWED &APPROVED