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97-086RESOLUTION NO. 97R -86 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA, ADOPTING THE COMMUNITY FACILITIES DISTRICT NO. 1989 -3 (THE SUMMIT) ANNUAL APPROPRIATIONS LIMIT FOR THE FISCAL YEAR 1997/98. WHEREAS, the voters of California on November 6, 1977, added Article XIII B to the State Constitution placing various limitations on the appropriations of the state and local governments; and WHEREAS, Article XIII B of the State Constitution provides that the appropriations limit for fiscal year 1997/98 is calculated by adjusting the 1996/97 fiscal appropriations limit for changes in the cost of living and population except as otherwise provided in said Article XIII B; and WHEREAS, the information necessary for making these adjustments is attached in Exhibits A through G; and WHEREAS, the City of Anaheim has complied with all the provisions of Article XIII B of the State Constitution in determining the Community Facilities District No. 1989 -3 (The Summit) appropriations limit for fiscal year 1997/98. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Anaheim that the Community Facilities District No. 1989 -3 (The Summit) appropriations limit for fiscal year 1997/98 be established in the amount of $157,630,091.00. BE IT FURTHER RESOLVED that the City Council of the City of Anaheim, by recorded vote of the City Council adopting this resolution, hereby determines and selects that, with regard to fiscal year 1997/98 and the calculations specified herein for such fiscal year, the term "change in the cost of living" for purposes of Section 8(e) (2) of Article XIII B of the Constitution of the State of California shall mean the percentage change in the California per capita personal income from the preceding year. BE IT FURTHER RESOLVED that the City Council of the City of Anaheim, by recorded vote of the City Council adopting this resolution, hereby determines and chooses that, with regard to fiscal year 1997/98 and the calculations specified herein for such fiscal year, the term "change in population" for purposes of Article XIII B of the Constitution of the State of California and Division 9 of Article 1 of the Government Code of the State of California shall mean the change in population within the City of Anaheim. BE IT FURTHER RESOLVED that said appropriations limit herein established may be changed as deemed necessary by resolution of the City Council. THE FOREGOING RESOLUTION is approved and adopted by the City Council of the City of Anaheim this 17th day of June 1997. ATTEST: CITY CLERK OF THE CITY OF ANAHEIM 0023053.01 2 MAYO12 OF THE CITY OF //ANAHEIM STATE OF CALIFORNIA COUNTY OF ORANGE ss. CITY OF ANAHEIM I, LEONORA N. SOHL, City Clerk of the City of Anaheim, do hereby certify that the foregoing Resolution No. 97R -86 was introduced and adopted at a regular meeting provided by law, of the Anaheim City Council held on the 17th day of June, 1997, by the following vote of the members thereof: AYES: MAYOR /COUNCIL MEMBERS: McCracken, Tait, Zemel, Lopez, Daly NOES: MAYOR /COUNCIL MEMBERS: None ABSENT: MAYOR /COUNCIL MEMBERS: None AND I FURTHER CERTIFY that the Mayor of the City of Anaheim signed said Resolution No. 97R -86 on the 17th day of June, 1997. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Anaheim this 17th day of June, 1997. (SEAL) CITY CLERK OF THE CITY OF ANAHEIM I, LEONORA N. SOHL, City Clerk of the City of Anaheim, do hereby certify that the foregoing is the original of Resolution No. 97R -86 was duly passed and adopted by the City Council of the City of Anaheim on June 17th, 1997. CITY CLERK OF THE CITY OF ANAHEIM EXHIBIT A 1997 /98 APPROPRIATIONS LIMIT COMMUNITY FACILITIES DISTRICT NO. 1989 -3 (THE SUMMIT) CALCULATIONS COMPARISON OF APPROPRIATIONS SUBJECT TO LIMIT FY 1996/97 Adopted Appropriations Limit Adjustment Factor FY 1997/98 Appropriations Limit FY 1997/98 Appropriations Limit FY 1997/98 Appropriations Subject To Limit FY 1997/98 Appropriations Limit Margin 1.0519 $149,847,962 $157,630,091 $157,630,091 248,474 $157,381,617 FY 1997/98 Appropriations Limit Margin, As a Percent of Limit 99.8% Population percent change pursuant to Sections 2227 and 2228 of the Revenue and Taxation Code PRICE FACTOR Selected Factor POPULATION AND PRICE FACTOR CONVERTED TO AN ADJUSTMENT FACTOR A) Population: Converted to a factor B) Price Factor: Converted to a factor Ratio of change: A x B EXHIBIT B 1997/98 APPROPRIATIONS LIMIT COMMUNITY FACILITIES DISTRICT NO. 1989 -3 (THE SUMMIT) ADJUSTMENT FACTORS POPULATION Selected Factor: City Population Growth Population count provided by the State Finance Department 295,452 California Per Capita Personal 4.67% Income Growth 1.0050 1.0467 0.50% 1.0519 EXHIBIT C 1997/98 APPROPRIATIONS LIMIT COMMUNITY FACILITIES DISTRICT NO. 1989 -3 (THE SUMMIT) APPROPRIATIONS SUBJECT TO LIMIT CALCULATION Total All Revenues $1,101,566 Reduce by Non- Proceeds of Taxes 0 51,101,566 Add User Fees in Excess of Costs 0 1,101,566 Add User Fees in Replacement of Taxes 0 1,101,566 Subtract Debt Service Appropriations 853,092 248,474 Total All Appropriations $1,101,566 Reduce by Non Proceeds of Taxes 0 $1,101,566 Subtract Debt Service Appropriations 853,092 248,474 Appropriations Subject to Limit $248.474 EXHIBIT D 1997/98 APPROPRIATIONS LIMIT COMMUNITY FACILITIES DISTRICT NO. 1989 -3 (THE SUMMIT) PROCEEDS OF TAXES CALCULATION PROCEEDS NON- PROCEEDS OF TAXES OF TAXES TOTAL Taxes $1,101,566 0 $1,101,566 State Subventions 0 0 0 Service Charges 0 0 0 Permit Fees 0 0 0 Fines and Forfeitures 0 0 0 Rentals 0 0 0 Sales 0 0 0 Refunds and Reimbursements 0 0 0 Internal Service Charges 0 0 0 Federal and County Subventions 0 0 0 Contributions 0 0 0 Subtotal 51,101,566 50 $1,101,566 Interest 0 0 0 Total 51,101.566 50 51,101,566 N w ciN F Z P y 41 Z z o G V F F2 tx CL G Ld O Q F N R a z O J Z C W LTJ CL Z 4 2 2 i cel X 0 O N O 0 O O W. N 0 N 0 d O N b r TEXT OF GANN SPENDING-LIMITATION INITIATIVE EXHIBIT F LIMITATION OF GOVERNMENT APPROPRIATIONS. INITIATIVE CONSTITUTIONAL. AMENDMENT. Establishes and defines annual appropriation limits on state and loyal governmental entities based on annual appropriations for prior fiscal year. Requires adjustments for changes in cost of living, population and other specified factors. Appropriation limits may be established or temporarily changed by electorate. Requires revenues received in excess of appropriations permitted by this measure to be returned by revision of tax rates or fee schedules within two fiscal years next following year excess created. With exceptions, provides for reimbursement of local governments for new programs or higher level of services mandated by state. Financial Impact: Indeterminable. ARTICLE XIII B. Sec. 1. The total annual appropriations subject to limitation of the state and of each local government shall not exceed the appropriations limit of such entity of government for the prior year adjusted for changes in the cost of living and population except as otherwise provided in this Article. Sec. 2. Revenues received by any entity of government in excess of that amount which is appropriated by such entity in compliance with this Article during the fiscal year shall be returned by a revision of tax rates or fee schedules within the next two subsequent fiscal years. Sec. 3. The appropriations limit for any fiscal year pursuant to Sec. 1 shall be adjusted as follows: (a) In the event that the financial responsibility of providing services is transferred, in whole or in part, whether by annexation, incorporation or otherwise, from one entity of government to another, then for the year in which such transfer becomes effective the appropriations limit of the transferee entity shall be increased by such reasonable amount as the said entities shall mutually agree and the appropriations limit of the transferor entity shall be decreased by the same amount. (b) In the event that the financial responsibility of providing services is transferred, in whole or in part, from an entity of government to a private entity, or the financial source for the provision of services is transferred, in whole or in part, from other revenues of an entity of government, to regulatory licenses, user charges or user fees, then for the year of such transfer the appropriations limit of such entity of government shall be decreased accordingly. (e) In the event of an emergency, the appropriation limit may be exceeded provided that the appropriation limits in the following three years are reduced accordingly to prevent an aggregate increase in appropriations resulting from the emergency. Sec. 4. The appropriations limit imposed on any new or existing entity of governinent by this Article may be established or changed by the electors of such entity, subject to and in conformity with constitutional and statutory voting requirements. The duration of any such change shall he as determined by said electors, but shall in no event exceed four years from the most recent vote of said electors creating or continuing such change. 1 of 3 Sec. 5. Eacti entity of government may establish Such contingency, emergency, unemployment, reserve. retirement, sinking fund, trust. or simlinr funds as it shall deem reasonable and proper. Contributions to any such fund, to the extent that such contributions are derived from the proceeds of taxes, shall for purposes of this Article constitute appropriations subject to limitai ion in the year of contribution. Neither withdrawals from any such fund, nor expenditures nt (or authorizations to emend) such withdrawals, nor transfers between or among such funds, shall for purposes of this Article constitute appropriations subject to limitation. Sec. 6. Whenever the Legislature or any state agency mandates a new program or higher level of service on any local government, the state shall provide u subvention of funds to reimburse such local government for the costs of such program or increased level of service, except that the Legislature may, bin need not, provide such subvention of funds for the following mandates: (a) Legislative mandates requested by the local agency affected; (b) i egislation defining a new crime or changing an existing definition of a crime; or Al, elk EXHIBIT F (c) Legislative mandates enacted prior to January 1, 1975, or executive orders or regulations initially implementing legislation enacted prior to January 1, 1975. Sec. 7. Nothing in this Article shall be construed to impair the ablility of the state or of any local government to meet its obligations with respect to existing or future bonded indebtedness. Sec. 8. As used in this Article and except as otherwise expressly provided herein: (a) "Appropriations subject to limitation" of the state shall mean any authorization to expend during a fiscal year the proceeds of taxes levied by or for the state, exclusive of state subventions for the use and operation of local government (other than subventions made pursuant to Section 6 of this Article) and further exclusive of refunds of taxes, benefit payments from retirement, unemployment insurance and disability insurance funds; (b) "Appropriations subject to limitation" of an entity of local government shall mean any authorization to expend during a fiscal year the proceeds of taxes levied by or for that entity and the proceeds of state subventions to that entity (other than subventions made pursuant to Section 6 of this Article) exclusive of refunds of taxes; (c) "Proceeds of taxes" shall include, but not he restricted to, all tax revenues and the proceeds to an entity of government, from (1) regulatory licenses, user charges, and user fees to the extent that such proceeds exceed the costs reasonably borne by such entity in providing the regulation, product, or service, and (ii) the. investment of tax revenues. With respect to any local government, "proceeds of taxes" shall include Subventions received from the state, other than pursmnnt to Section 6 of this Article, and, with respect to the state, proceeds of taxes shall exclude such subventions; fd) "Local guvertunent" shall mean any city,, county, city and county, school district, special district, authority, or other political subdivision of or within the state; (c) "Cost of living" shall mean the Consumer Price Index for the United States as reported by the United States Department or Labor, or successor agency of the United states Government; provided, however, that for purposes of Section 1, the change in cost of living front the preceding veer shall in no event exceed the change in California per capita personal Meanie from said preceding year; 2 of 3 (a) Debt service. EXHIBIT F (f) "Population" of any entity of government, otLt•r than u school district, shall be determined by a method prescribed by the Legislature, provided that such determination shall be revised, as necessary, to reflect the periodic census eunducted by the United States Department of Comineree, or successor agency of the United States Government. The population of any school district shall be well school district's average daily attendance as determined by a method prescribed by the Legislature; (g) "Debt service" shall mean appropriations required to pay the cost of interest and redemption charges, including the funding of any reserve or sinking fund required in connection therewith, on indebtedness existing or legally authorized as of January 1, 1979 or on bonded indebtedness thereafter approved according to law by a vote of the electors of the issuing entity voting in an election for such purpose. (h) The "appropriations limit" of each entity of government for each fiscal year shall be that amount which total annual appropriations subject to limitation may not exceed under Section 1 and Section 3; provided, however, that the "appropriations limit" of each entity of government for fiscal year 1978 -79 shall be the total of the appropriations subject to limitation of such entity for that fiscal year. For fiscal year 1978 -79, state subventions to local governments, exclusive of federal grants, shall be deemed to have been derived from the proceeds of state taxes. (0 Except as otherwise provided in Section 5, "appropriations subject to limitation" shall not include local agency loan funds or indebtedness funds, investment (or authorizations to invest) funds of the state, or of an entity of local government in accounts at banks or savings and loan associations or in liquid securities. Sec. 9. "Appropriations subject to limitation" for each entity of government shall not include: (b) Appropriations required for purposes of complying with mandates of the courts or the federal government which, without discretion, require an expenditure for additional services or which unavoidably make the providing of existing services more costly. (c) Appropriations of any special district which existed on January 1, 1978, and which did not as of the 1977 -78 fiscal year levy an ad valorem tax on property in excess of 121 cents per $100 of assessed value; or the appropriations of any special district then existing or thereafter created by a vote of the people, which is totally funded by other than the proceeds of taxes. Sec. IU. This Article shall be effective commencing with the first day of the fiscal year following its adoption. See. II. If any appropriation category shall be added to or removed from appropriations subject to limitation, pursuant to final judgment of any court of competent jurisdiction and any appeal therefrom, the appropriations limit shall be adjusted accordingly. If any section, part, clause or phrase in this Article is for any reason held invalid or unconstitutional, the remaining portions of this Article shall not be affected but shall remain in full force and effect. 3 of 3 05/13/19/ 14:29 916 327 -0222 DEMOGRAPHIC UNIT STATE Q4JJJFOPNI■ DEPARTMENT OF FINANCE OFFICE OF THE DIRECTOR STATE CAPITOL ROOM 1145. SACRAMENTO, CA 958144998 May 1, 1997 Dear Auditor /Controller/Fiscal Officer: This letter contains PRICE ANDPOPULATION INFORMATION for FY 1997 -1998. APPROPRIATIONS LIMIT: The Department of Finance is mandated to provide population and California per capita personal income change data to local jurisdictions to use in calculating their appropriations limits. The enclosures contain price and population factors for setting your 1997- 1998 appropriations limit. These factors are effective for January 1, 1997 and were calculated on a base that excludes Federal, and state institutionalized populations noted Enclosure I provides the change in California's per capita personal income. An example of how to utilize this price factor and the population percentage change factor in calculating your 1997 -1998 limit is included. Enclosures II and ILA provide population percentage change for cities and counties, and their incorporated areas. POPULATION FACTORS FOR SPECIAL DISTRICTS: Some special districts are required to establish appropriations limits. These districts should consult the state code for the various population factors that may be used for purposes pf assessing change in population. Other districts are exempt under Article XIII B, Section 9(c). This letter may be received by such special districts. However, it should not be construed as a Department of Finance requirement to establish an appropriations limit. POPULATION CERTIFICATION: The certification program applies only to cities and counties. It is mandated that if a Department of Finance population estimate is greater than the current certified population, the Department shall automatically file a certified copy with the Controller not less than 25 days nor more than '30 days after completion of the estimate. The Department will certify the higher estimate unless it receives a written request not to certify within 25 days of the completion of the estimate. A city or county requesting that their higher estimate not be certified will remain at the current certified population. The Department of Finance will not certify a population estimate that is lower than the current certified population unless requested to do so by a city or a county. The request to not certify must be received by the Department on or before June 1, 1997. Questions about population should be addressed to the Demographic Research Unit at (916) 323- 4086. Sincere Enclosures G L. BROWN Director Exhibit G PAGE 01 PETE WILSON. pwpnr 05/13/1997 14:29 916 327 -0222 DEMOGRAPHIC UNIT Enclosure II Annual Percent Change in Population Minus Exclusion January 1, 1996 to January 1, 1997 and Total Population January 1, 1997 Total County Percent Change Population Minus Exclusions Population City 1996 -97 1 -1.88 1 -1.97 1 -147 ORANGE ANAHEIM 0.50 293894 295452 295452 BREA 1.04 34892 35254 35254 BUENA PARK 0.25 72888 73072 73072 COSTA MESA 0.32 101529 101888 102574 CYPRESS 1.10 48517 47028 47026 DANA POINT 0,37 36077 36211 36211 FOUNTAIN VALLEY 0.64 54451 54797 54797 FULLERTON 0.35 122370 12 2804 122604 GARDEN GROVE 0.18 151764 152041 152041 HUNTINGTQN BEACH 0.46 18 188518 188518 IRVINE 1.42 126158 127949 129294 LAGUNA BEACH 0.97 23861 24083 24083 LAGUNA HILLS 18.41 25084 29954 29954 LACUNA NIGUEL 1.16 55706 56353 56353 LA HABRA .0.17 54257 54351 54351 LAKE FOREST 0.08 57779 57828 57828 LA PALMA 1.40 15544 15781 15761 LOS AIAMITOS 0.41 11539 11586 11861 MISSION VIEJO 1.88 90138 91922 91922 NEWPORT BEACH 1,13 69246 70030 70030 ORANGE 1.87 120043 122282 122282 PLACENTIA 0.98 45119 45550 45550 SAN CLEMENTE 1.23 '48728 47305 47305 SAN JUAN CAPISTRA 2.11 29023 28635 29635 SANTA ANA 0.13 306511 306981 306981 SEAL BEACH 0.14 25738 25773 26380 STANTON 3.19 31964 32984 32984 TUSTIN 2.83 59101 80776 65287 VILLA PARK 0.69 6382 6439 8439 WESTMINSTER 0.47 82749 83141 84141 YORBA LINDA 1.30 57782 58533 585331 UNINCORPORATED 2.53 178277 180738 185851 TOTAL 1.07 2818920 2646967 2659316 EXcluslens inelude residents in state mental institutions, federal military installations, and state and federal prisons. Page 1 PAGE 03 06/13/1997 14:29 916- 327 -0222 May 1, 1997 Enclosure 1 Price Factor: Article XIII B specifies that local jurisdictions select their cost -of- living factor to compute their appropriation limit by a vote of their governing body. The cost of living factor provided here is per capita personal income. If the percentage change in per, capita personal income is selected, the percentage changes to be used in setting the 1997 -98 appropriation limit are: 1997 -98: Per Capita Change 4.67 percent Population Change 1.35 percent Per Capita converted to a ratio: Population converted to a ratio: Per Capita Personal Income Fiscal Percentage change Year (FY) over prior year 1997 -98 4.67 DEMOGRAPHIC UNIT PAGE 02 Following is an example using sample population change and the change in California per capita personal income as growth factors in computing a 1997 -98 appropriations limit. 4.67 100 1.0467 100 1.35 100 100 1.0135 Calculation of factor for FY 97 -98: 1.0467 x 1.0135 1.0608