HomeMy WebLinkAbout8.1 RevAppropLimitFY2000-1 CITY CLERK FILE 330-20
AGENDA STATEMENT
CITY COUNCIL MEETING DATE: (June 21, 2001)
SUBJECT: Adoption of a Revised Appropriations Limit for
Fiscal Year 2000-2001
(Prepared by: Carole A. Perry, Administrative Services Director
and Fred Marsh, Finance Manager)
ATTACHMENTS: 1. Resolution
2. Calculation of Fiscal Year 2001-2002 Appropriations Limit
RECOMMENDATION: Approve the selected factors used to calculate the Revised
~/~2000-2001 Limit and adopt the Resolution.
FINANCIAL STATEMENT: The proposed Revised Limit for Fiscal Year 2000-2001 is
$60,694,045 and only $21,226,010 in Appropriations for Fiscal Year
2000-2001 are subject to this Limit.
DESCRIPTION:
Each year the City Council is required by State Law to adopt an Appropriations Limit (Limit) in
conjunction with the annual Budget process. The 2000-2001 Limit was calculated and adopted by
Resolution 121-00 on June 21, 2000. At the time the Limit was adopted, final information relating to the
population for the City of Dublin and the amount of Non-Residential Assessed Valuation, both of which
are used in the calculation of the Limit, was not available. Now that the information is available, it is
recommended that the Council adopt a Revised Limit for Fiscal Year 2000-2001.
Descri~}tion of Annronriations Limit
The laws regulating the application of the Limit, forbid an agency from appropriating specific funds that
would exceed the Limit. The restriction applies to appropriating monies categorized as "Proceeds of
Taxes." The Limit carries forward each year and is subject to an adjustment in accordance with a
specified formula.
Each government entity is required to calculate a Limit and include it as part of the Annual Budget. This
Limit may also be referred to as the Gann Limit or Proposition 4 Limit. The City has complied with this
requirement, as well as the posting of the proposed calculation prior to adoption. The adjustment is made
annually and is based on a formula which may include the following factors (the City has the discretion to
pick one factor from each category below):
· Change in City population; or
· Change in population for the entire County;
and
· Change in State per capita income; or
· Change in non-residential assessed valuation.
COPIES TO:
H:\BudgetXAppropriation LimitXAgenda Report revised limit. DOC ITEM NO.
2000-2001 ProOosed Revised Aoorooriations Limit
Staff has prepared the calculations necessary to adopt the Revised Limit for Fiscal Year 2000-2001 in
accordance with State Law and with the Uniform Guidelines of the League of California Cities. The
discretionary factors selected in calculating the 2000-2001 Revised Limit are: (1) the change in the County
of Alameda Population, which represents a revised January 1, 2000 population provided by the State
Department of Finance; and (2) the change in the assessed valuation from local non-residential
construction, which represents the figures provided by the County Assessor from the final 1999-2000
property tax roll.
The Revised 2000-2001 Appropriations Limit, as calculated on Attachment 2 of the Proposed Resolution
(Attachment 1) is $60,694,045, based upon a revised adjustment factor of 14.0% over the 1999-2000
Limit. Upon adoption, this figure becomes the base limit, which will be increased by the adjustment factor
calculated for the subsequent fiscal year. Total appropriations for Fiscal Year 2000-2001 that are subject
to the Limit total $21,226,010, which is significantly below the allowed amount. Staff has prepared a
Resolution (Attachment 1 ) that will adopt a Revised Appropriations Limit for 2000-2001.
RECOMMENDATION
Staff recommends that the City Council adopt the attached Resolution.
RESOLUTION NO. - 01
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN
ADOPTING A REVISED APPROPRIATIONS LIMIT
FOR FISCAL YEAR 2000-2001 OF $60,694,045
WHEREAS, State law requires that an Appropriations Limit ("Limit") be adopted by the City
Council in conjunction with the Annual Budget process; and
WHEREAS, the City Council previously adopted resolution 121-00 establishing an
Appropriations Limit for Fiscal Year 2000-2001; and
WHEREAS, at the time the "Limit" was adopted final information related to the population for
the City of Dublin and the amount of "Non-Residential Assessed Valuation", both of which are used in the
calculation of the limit, was unknown; and
WHEREAS, Revised population estimates and assessed valuations are now available; and
WHEREAS, the law allows the option to select the factors to be used in the calculation of the
Appropriations Limit; and
WHEREAS, the City must select between the following factors: (A) the change in City
population, or, (B) Countywide population, and either: (1) the change in the State per capita income, or (2)
the change in the assessed valuation of local non-residential construction; and
WHEREAS, the revised 2000-2001 Appropriations Limit used the following discretionary
factors: (1) the Growth in the Countywide Population and (2) the change in the assessed valuation of local
non-residential construction; and
WHEREAS, the calculation of the revised Appropriations Limit for 2000-2001 is described in
Attachment 2, attached hereto and by reference made a part hereof.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin does
hereby adopt the City of Dublin Revised Appropriations Limit for Fiscal Year 2000-2001 of $60,694,045.
BE IT FURTHER RESOLVED that the limit has been calculated in accordance with State Law
and is shown in Attachment 2, attached hereto.
PASSED, APPROVED AND ADOPTED this 21 st day of June, 2001.
AYES:
NOES:
ABSENT:
ATTEST: Mayor
City Clerk
ATTACHMENT 1
REVISED CALCULATION OF FISCAL YEAR 2000-2001
APPROPRIATIONS LIMIT
(Based On Adopted Fiscal Year 1999-2000 Limit)
A. SELECTION OF OPTIONAL FACTORS
1. PoDulation - City vs. County
(% Decrease)
1/1/99 1/1/00 % Increase
City of Dublin 27,355 27,230 (0.457%)
OR
Alameda County 1,434, 162 1,450,637 1.149%
2. State Income vs. City Non-Residential Building
Change in State Per Capita Income = 4.910%
OR
Change in Non-Residential Assessed Valuation = 12.663%
B. CALCULATION OF GROWTH LIMIT ADJUSTMENT
The formula for calculating the adjustment is as follows:
Selected Factor 1 + 100 = X
100
Selected Factor 2 + 100 = Y
100
(X) x (Y) = Fiscal Year 2000-2001 Appropriations Limit Adjustment Factor
1.149+100 = 1.01149 (Originally was 1.13336)
100
12.663+100 = 1.12663 (Originally was 1.04925)
100
1.01149 x 1.12663 = 1.1396 = 2000-2001 Adjustment Factor (Originally was 1.1892)
C. CALCULATION OF APPROPRIATIONS LIMIT
Fiscal Year 1999-2000 Adopted Appropriations Limit = $ 53,259,078
Fiscal Year 2000-2001 Adjustment Factor x 1.1396
"::~'.: FiScal Year::.1999-200.Qi~propriations: Limit?!s':.EE . $ 60,694~0457~,::.~.' .i .....
:i:: ", '
: .::.:;;~ (Originally~;WaS,:$63,335,696)..~,i'.......!.'.~i~,::i'!i;~i;~,~i~i~:~i~i ~..". :".: .,'." ::' :!!.:'~::;;~':~iiii;:,i~;i!',;~::::'~i,;:.= .:
ATTACHMENT 2