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95-098 RESOLUTION NO. 95R-98 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM, CALIFORNIA, ADOPTING THE ANNUAL APPROPRIATIONS LIMIT FOR THE FISCAL YEAR 1995/96. 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 1995/96 is calculated by adjusting the 1994/95 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 appropriations limit for fiscal year 1995/96. NOW, THEREFORE, BE IT RESOLVED by the city Council of the City of Anaheim that the City of Anaheim appropriations limit for fiscal year 1995/96 be established in the amount of $388,664,958.00. 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 1995/96 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 1995/96 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 20th day of June , 1995. ATTEST: CITY CLERK OF THE CITY OF 12072.1\EEGAN\May 24, 1995 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. 95R- 98 was introduced and adopted at a regular meeting provided by law, of the Anaheim City Council held on the 20th day of June, 1995, by the following vote of the members thereof: AYES: MAYOR/COUNCIL: Tait, Lopez, Zemel, Feldhaus, Daly NOES: MAYOR/COUNCIL: None ABSENT: MAYOR/COUNCIL: None AND I FURTHER CERTIFY that the Mayor of the City of Anaheim signed said Resolution No. 95R- 98 on the 20th day of June, 1995. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Anaheim this 20th day of June, 1995. CITY CLERK OF THE CITY OF ANAHEIM (SEAL) I, LEONORA N. SOHL, City Clerk of the City of Anaheim, do hereby certify that the foregoing is the original of Resolution No. 95R- 9~ was duly passed and adopted by the City Council of the City of Anaheim on June 20th, 1995. CITY CLERK OF THE CITY OF ANAHEIM EXHIBIT A 1995/96 APPROPRIATIONS LIMIT CALCULATIONS AND COMPARISON OF APPROPRIATIONS SUBJECT TO LIMIT FY 1994/95 Adopted Appropriations Limit $364,157,180 Adjustment Factor 1.0673 FY 1995/96 Appropriations Limit $388,664,958 FY 1995/96 Appropriations Limit $388,664,958 FY 1995/96 Appropriations Subject To Limit 144,473,146 FY 1995/96 Appropriations Limit Margin $244,191,812 FY 1995/96 Appropriations Limit Margin, As a Percent of Limit 62.8% EXHIBIT B 1995/96 APPROPRIATIONS LIMIT ADJUSTMENT FACTORS POPULATION - Selected Factor: City Population Growth Population count provided by the State Finance Department 296,497 Population percent change pursuant to Sections 2227 and 2228 of the Revenue and Taxation Code 1.92% CHANGE IN COST OF LIVING - Selected Factor: California Per Capita Personal Income Growth 4.72% POPULATION AND PRICE FACTOR CONVERTED TO AN ADJUSTMENT FACTOR A) Population - City, Converted to a factor 1.0192 B) Cost of Living - Calif. Per Cap Income, Converted to a factor 1.0472 Ratio of change: AXB= 1.0673 EXHIBIT C 1995/96 APPROPRIATIONS LIMIT APPROPRIATIONS SUBJECT TO LIMIT CALCULATION Totals Total All City Revenues $650,112,520 Reduce by Non-Proceeds of Taxes 506,897,214 $143,215,306 Add User Fee Revenues in Excess of Costs 0 143,215,306 Add User Fees in Replacement of Taxes 4,413.449 147,628,755 Subtract Revenues Supporting Federal Mandates (FLSA) 152,609 147,476,146 Subtract Qualified Capital Projects 2,300,000 145,176,146 Subtract Debt Service Appropriations 703,000 $144,473,146 Total All Expenditure Appropriations $650,112,520 Reduce by Non-Proceeds of Taxes 506,897,214 $143,215,306 Subtract Debt Service Appropriations 703,000 142,512,306 Subtract Revenues Supporting Federal Mandates (FLSA) 152,609 142,359,697 Subtract Qualified Capital Project Expenditures 2,300,000 140,059,697 Add User Fees in Excess of Costs 0 140,059,697 Add Expenditures for Functions Formerly Tax Supported 4,413.449 $144,473,146 EXHIBIT D 1995/96 APPROPRIATIONS LIMIT PROCEEDS OF TAXES CALCULATION PROCEEDS NON-PROCEEDS OF TAXES OF TAXES TOTAL Taxes $114,504,206 $114,504,206 State Subventions 13,080,809 13,080,809 Service Charges 3,162,291 45,925,771 49,088,062 Permit Fees 4,090,337 4,090,337 Fines and Forfeitures 2,185,015 2,185,015 Rentals 42,097,651 42,097,651 Sales 11,088,000 295,879,322 306,967,322 Refunds and Reimbursements 9,003,117 9,003,117 Internal Service Charges 76,587,926 76,587,926 Federal and County Subventions 11,228,445 11,228,445 Contributions 6,538,334 6,538,334 Subtotal $141,835,306 $493,535,918 $635,371,224 Interest 1,380,000 13,361.296 14,741,296 Total All City Revenues $143,215,306 $506,897,214 $650,112,520 Use of (Contribution to) Fund Balances 2,718,179 Mello-Roos CFDs (Separate Limits) 3,951,043 Redevelopment Agency 41,283,894 Housing Authority 33,221,896 Grand Total 731,287,532 11.800 EXHIBIT F TEXT 01" GANN SI'F. NDIN(;-I,IMITATION INI'I'IA FIVE LIMITATION OF GOVERNMENT APPROPRIATIONS. INITIATIVE CONSTITUTIONAl, AMENDMENT. Establishes and del'im,x annu~ll appropri,tion lilllils on st,itc lllld Ioe,,I governmental entit~es based on annual appropriations for prior fiscal year. Itequ~rcs 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 axeess created. With exceptions, provides for reimbursement of local governments for new pro, rams or higher level of services mandated by state. Financial Impact: !ndeterminable. ARTICLE XlU B. See. 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 livin~ and [x~ulation except as otherwise provided in this Article. See. 2, Revenues received by any entity of government in excess of that amount which is appropriated by such entity in compliance with this Article durir~ the fiscal year shat] be returned by a revision of tax rates or fee schedules within the next two subsequent rises! yea~. See. 3. The appropriations limit for any fiscal year pumuant to See. t 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 transforce entity shall be increased by such reasonable amount as the said entities shall mutually agree and the appropriations limit of the trunsferor entity shall be decreased by the same amount. (b) In the event that the financial responsibility of providing services is trunsferred, 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 reven,e.~ of un 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, (c) In the event of an emergency, tile appropriation limit may be exceeded provided thut the appropriation limits in the following three years are reduced aecordingly to prevent an aggregate increase in appropriations resulting from the emergency. Sec. 4. The appropriations limit imposed on any new or existing entity of government by ties Article may be e~tablished or changed by the electors of such entity, subject to slid in conformity with eonstitutiollal and statutory voting requirements. The durution of uny such change shull be us determined by said electors, but shall in no event exceed four ye.rs from the most recent vote of sa~d electors ere. ting or eontinmng such change. lof 3 contrihl~tions are derived from :he pro~.ecds of ~.axe~, shall f'or' p(~rpo.~es of th~ Art,tie withdrHwRIs [rom uny S~lCh [u~l~l, nor exl)endit'Jre~ ,~1 ((,r m~thortYMtt~)n~ to wlti,druwa~, i~or trundlers betwear, or um(~.~ ~('h (Lm(t~. shall for p~rp()se~ of the5 Art~t~l~ c,)nstil~t~ approprmt~ons su~,ject t(: Sec. 6. What,ever the Ec~i~lature nc any slate a~ency nlandates a new pro[r~m or h~[her level of service on an~' local [Overnmenl, the sbHe sh~lI provide a subvention of fiends to reimb~rse suel~ local [ovcrnment for lt~ costs ~,f such pro~ram or increased Level ~,f serv~e, except that the [,e~sIuture meV, b~;; need not, prr, vide sttch subvention fun~ for the following' mandale~,; (a) Legislative menHates requested by the local alehey Mffected; (b) 'L~[isl~tion de~inin~ a new crime or ehan~in~ an existin[ de[initinn crime; or (e) l.~E~sl.tive m~n~.tes enMcted prior 1o January 1, 1975, or executive orders or re~H~tions initially implementin[ legislation enMcted prior to January 1, 1975. S3e. ?. Nothin[ in this Article shall be construed to impair the abIility of the state or o( nny local [overnment to meet its obli~atio~ with respect to existin~ or future bonded indebtedne~. Sec. 8. A~ ~d in this Article and except a~ otherwi~ expre~ly provided ~rein: (a) "Appr~riatio~ subject to hmitation" of tl~e state shall mean any aethorization to ex~nd duri~ a fiscal yeaf the proeee~ of taxes levied by or for t~ stale, exclusive of state subventio~ for the ~e ~;~d ~ration of local ~overnment (other than subventions m~de ~ur~uant to ~ction 6 nf this Article) and further exe!~ive of refun~ of taxes, ~nefit payments from retirement, unemployment i~uranee and disability insurance fun~; (b) "Appropriatio~ subject to limitation" of an entity of local Kovernment sh~l; ~nean any authorization to ex~nd durin~ a fiscal year the proeee~ of taxes levied hy or for that entity an~ the proceeds of state subventio~ to that entity (other than subventio~ made pursuant to ~ction 6 of this Article) exclusive of refunds o~ taxes; (e) "Proeee~ o~ taxes" shall include, but not he restricted to, all tax revenues end the proceeds to an entity o[ ¢overnment, from (i) reculatory liee~es, user charles, and user fees to the extent that st[eh proceed5 exceed the costs reasonably ~rne by such entity m providin~ the rekulation, ~ro(luet, or ~rviee, and (ii) the investment o~ tax revenues. With re~et to any local ¢overnment, "procee~ ~f taxes" shall inclu,~e ~bve~tto~t5 received from the ~tute, other than purs~,~itl loSaction6 of tll~s Artie~e,~n~, with respect to the ~tate, pr~ee~ of taxes shall exclude s[~eh ~t~bve~ltions; ~d) "l~eal ~(w~rnmenI" shMll me.n ~ny eity,.eounty eHy ~n(I co(rely, school distr~ut, sfm(:ml district, ~utl~()rity, or oliver p~litieal ~ul)divisio~ of or within tl~e state; (~) "~o~t ~)f IiwnK" ~hulI ~neun Ilic ~.~onstm~er Price Index ~or the Urnted as reporlu(I hv the U~l~le{I 51~le~ I)ep~rtmc~H ~ I.abo~, or successor alenay of the b{tited ~ct~ol ~lutes (;ov~r~H; provillaS, however, that for purposes of ''' ' i 1, I1~ ch~tll~O it. cost Of living fr(m, Ihc preceding yeur sh~ll iii 11o event ex(~eed the eluu~ge in ea[)ltu personul H,c'O.,e frofn 5~lid prt'('edlll~ y~,r; 2of 3 (;overnm(:ld. The populal~on or Hny ,,~.houl (hslrlel. ',hull h~' ~,~.rh ~,eho~H dl',tmet'~ dully attendance us determined by a method prescribed hy the (~) "Debt setwee" shall mcan uppropr~utmn~ required to puy the eo~t interest ~nd redemption charges, including the funding of any reserve or smkm~ fund required in connection therewHh, on indebtedness existing or leg~Hy authorized ~s Jsnu~ry I, 1979 or on ~nded indebtedness thereufter approved according to law by e vote of the electors of the issuing entity voting in un election for such pur~se. (h) The "ap~ropriution~ limit" of eseh entity of government [or e~eh year sh~11 be that ~mount which total ~nnuul appropriations subject to limitation may not exceed under ~eetion i ~nd Section 3; provided, however, that the "uppropri~tions limit" o~ e~eh entity of government for fiseul year ~978-79 sh~11 be the total of the ~ppropri~tiol~ subject to limitation of such entity for that fiscal year. For fiscal year i978-79, state subventions to loewi governments, exclusive of ~eder~1 gr~nts, shaU be deemed to h~ve been ~rived from the proeee~ of state t~xes. (i) Except ~s otherwise provided in Section 5, "~ppro~ri~tio~ subject to limitation" shall not include local ~geney loan [un~ or indebtedne~ [un~, investment (or authorizatio~ to invest) fuuds of the state, or o[ an entity o~ I~a] government in aeeoul~ts at banks or ~vings and loan as~eiatio~ or in liquid securities. See. 9. "Appropriatio~ subject to limitation" [or each entity o~ government shall not inclug: (a) Debt service. (b) Al,propriatio~ required [or pur~ses o[ eomplyi~ with mandates o( the eourt~ or the ~ederal government which, without discretion, require an ex~nditure [or additional ~ervices or which unavoidably make the providing o[ existi~ ~rviees more costly. (e) Appropriution~ o[ any speeiul district which existed on January 1, and which did not as of the 1977-?8 fiscal yeur levy an ad valorem tax on pro~rty in excess o~ 12~ cents ~r $100 o[ asse~ed value; or the appropriatio~ of any special district then existing or thereafter ereuted by a vote o[ the ~ople, which ~ totally funded by other thun the proeeed~ o[ taxe~. See. 10. 'l't.~ Article ~hull be <,~l'ective commencing with the first ~y o~ the fiscal yeur following it~ ~ee. II. I[ uny apl)rol)riution euteKury ~hull be added to or removed [rom appropriulio~L~ s.hjeet to limH.tion, pursuant to [inul judgment o[ any court of competent juri~d~<.lion .nd .ny Upl~ul therefrom, the ~ppro~rl~tiolt~ limit ~hall he adjusted accordingly. I~ .ny ~et.)n, i)urt, el~u~e or phru~e in thi~ Article i~ ~oc any reason held invuhd or ul~eon~tHutiulml, the remumin[ ~rtlolt~ o[ thi~ Article shall not be a~eeted but ~1,:,11 remuin in ~ull ~oree ~,nd e[[eet. 3of 3 EXHIBIT G DEPARTMENT OF FINANCE (~ 915 L STREET SACRAMENTO. CA 95814-4998 May l, 1995 PRICE AND POPULATION DATA FOR LOCAL JURISDICTIONS Appropriations Limit Article XIII B of the California Constitution specifies that appropriations made by State and local governments may increase annually by a factor comprised of the change in population combined with either the change in California per capita personal income or the change in the local assessment roll due to local nonresidential construction. The Department of Finance is mandated to provide the population and Califomia per capita personal income change data for local jurisdictions to calculate their appropriation limits. The change in the local assessment roll due to local nonresidential construction may be obtained from your county Assessor. The enclosures contain price and population factors for setting your 1995-96 appropriation limit. Enclosure I provides the change in Califomia's per capita personal income price factor. An example of how to utilize this price factor and the population percentage change factor in calculating your 1995-96 limit is included. Enclosure II provides the population percentage change factors for cities and counties. Enclosure I1A provides the population percentage change factor for counties and for the total incorporated population of each county. These population percentage changes were prepared pursuant to Sections 2227 and 2228 of the Revenue and Taxation Code and are calculated as of January 1, 1995. Section 2227 specifies that state mental institutions, federal military bases and state and federal prisons be excluded from the percentage change calculations. Population Factors for Cities and Counties Cities and counties should consult Section 7901 of the Government Code for the various population factors that may be used for purposes &change in population. Population Factors for Special Districts Special districts should consult Section 7901 of the Government Code and Section 2228 of the Revenue and Taxation Code for the various population factors that may be used for purposes of change in population. Enclosure I A. 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 goveming body. Local jurisdictions may select either the percentage change in California per capita personal income or the percentage change in the local assessment roll due to the addition of local nonresidential new construction. If the percentage change in per capita personal income is selected, the percentage changes to be used in setting 1995-96 appropriation limit are: Per Capita Personal Income Fiscal Pementage change Year (FY) over prior year 1995-96 4.72 B. Following is an example using sample population changes and the changes in California per capita personal income as growth factors in computing a 1995-96 appropriations limit.* 1995-96: Per Capita Change = 4.72 percent Population Change -- 1.31 percent Per Capita converted to a ratio: 4,72 + 100 = 1.0472 100 Population converted to a ratio: 1.31 + 100 = 1.0131 100 Calculationof factor for FY 95-96: 1.0472 x 1.0131 -- 1.0609 * Conversion of the factor to a ratio eliminates minus numbers. ENCLOSURE II ANNUAL PERCENTAGE CHANGE IN POPULATION MINUS EXCLUSIONS* JANUARY 1, 1994 DATE PRINTED TO JANUARY 1, 1995 AND TOTAL POPULATION JANUARY 1, 1995. 04/25/95 POPULATION MINUS EXCLUSIONS POPULATION ANNUAL TOTAL COUNTY PERCENT CHANGE POPULATION CITY 1994 TO 1995 1-1-94 1-1-95 1-1-95 ORANGE ANAHEIM 1.92 290,915 296,497 296,497 BREA 1.47 34,612 35,122 35,122 ,~,BUENA PARK 1.25 72,949 73,864 73,864 COSTA MESA 1.45 101,416 102,883 103,823 CYPRESS 2.04 46,026 46,963 46,963 DANA POINT 4.12 34,852 36,289 36,289 FOUNTAIN VALLEY 0.29 55,010 55,171 55,171 FULLERTON 1.77 121,540 123 692 123,692 GARDEN GROVE 1.26 151,913 153824 153,824 HUNTINGTON BEACH 0.27 189 293 189 795 189,795 IRVINE 2.21 119 864 122 513 123,909 LAGUNA BEACH 0.10 23.961 23 985 23,985 LAGUNA HILLS 1o00 25~110 25 360 25,360 LAGUNA NIGUEL 2.27 54 487 55 724 55,724 LA HABRA 1,36 54 168 54,907 54,907 LAKE FOREST 0.19 38 445 58,558 58,558 LA PALMA 0.56 15 693 15,781 15,781 LOS ALAMITOS 2.20 11 376 11,626 12,425 ~ MISSION VIEJO 4.21 86 215 89,841 89,841 NEWPORT BEACH 1.08 69 350 70,098 70,098 ORANGE 1.73 118 037 120,078 120:078 PLACENTIA 2.78 44 113 45,339 45,339 SAN CLEMENTE 3.73 45 081 46,764 46,764 SAN JUAN CAPISTRANO 2.81 28 326 29,121 29,121 SANTA ANA 0.28 310 629 311,491 311,491 SEAL BEACH 2.60 25,436 26,097 26,795 STANTON 0.47 32,252 32,404 32,404 TUSTIN 5.08 55,053 57,849 62,497 VILLA PARK 0.17 6,434 6,445 6,445 WESTMINSTER 1.99 81,659 83,287 83,287 YORBA LINDA 1.15 57,410 58,069 58,069 UNINCORPORATED 4.03 161,983 168,512 173,437 ORANGE COUNTY 1.72 2,583,608 2,627,949 2,641,355 * EXCLUSIONS INCLUDE STATE MENTAL INSTITUTIONS, FEDERAL MILITARY BASES AND STATE AND FEDERAL PRISONS. 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