98-116
RESOLUTION NO. 98R- 116
A RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF ANAHEIM, CALIFORNIA,
ADOPTING THE COMMUNITY FACILITIES
DISTRICT NO. 1989-2 (THE HIGHLANDS)
ANNUAL APPROPRIATIONS LIMIT FOR THE
FISCAL YEAR 1998/99,
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 1998/99 is
calculated by adjusting the 1997/98 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. 1989-2 (The
Highlands) appropriations limit for fiscal year 1998/99.
NOW, THEREFORE, BE IT RESOLVED by the City Council of
the City of Anaheim that the Community Facilities District No.
1989-2 (The Highlands) appropriations limit for fiscal year
1998/99 be established in the amount of $166,207,469,00.
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 1998/99 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 1998/99 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.
Tllnp
AT~
CITY CLERK OF
0026737.01
j{~-
THE CI OF ANAHEIM
2
EXHIBIT A
1998/99 APPROPRIATIONS LIMIT
COMMUNITY FACILITIES DISTRICT NO. 1989-2 (THE HIGHLANDS)
CALCULATIONS & COMPARISON OF APPROPRIATIONS SUBJECT TO LIMIT
FY 1997/98 Adopted Appropriations Limit $157,630,091
Adjustment Factor 1.05441460
FY 1998/99 Appropriations Limit $166,207,469
FY 1998/99 Appropriations Limit $166,207,469
FY 1998/99 Appropriations Subject To Limit 377,385
FY 1998/99 Appropriations Limit Margin $165,830,084
FY 1998/99 Appropriations Limit Margin, As a Percent of Limit
99.8%
EXHIBIT B
1998/99 APPROPRIATIONS LIMIT
COMMUNITY FACILITIES DISTRICT NO, 1989-2 (THE HIGHLANDS)
ADJUSTMENT FACTORS
POPULATION. Selected Factor: City Population Growth
Population count provided by the
State Finance Department
301,176
Population percent change pursuant
10 Sections 2227 and 2228 of the
Revenue and Taxation Code
1.24%
PRICE FACTOR - Selected Factor:
California Per Capita Personal
Income Growth
4.15%
POPULATION AND PRICE FACTOR
CONVERTED TO AN ADJUSTMENT FACTOR
A) Population: Converted to a factor
1.0124
B) Price Factor: Converted to a factor
1.0415
Ratio of change: A x B =
1.05441460
EXHIBIT C
1998/99 APPROPRIATIONS LIMIT
COMMUNITY FACILITIES DISTRICT NO, 1989-2 (THE HIGHLANDS)
APPROPRIATIONS SUBJECT TO LIMIT CALCULATION
Total All Revenues $1,309,765
Reduce by Non-Proceeds of Taxes 0 $1,309,765
Add User Pees in Excess of Costs 0 1,309,765
Add User Pees in Replacement of Taxes 0 1,309,765
Subtract Debt Service Appropriations 932,380 $377,385
Total All Appropriations
$1,309,765
Reduce by Non-Proceeds of Taxes
o
$1,309,765
Subtract Debt Service Appropriations
932,380
377,385
Appropriations Subject to Limit
$377,385
EXHIBIT D
1998/99 APPROPRIATIONS LIMIT
COMMUNITY FACILITIES DISTRICT NO, 1989-2 (THE HIGHLANDS)
PROCEEDS OF TAXES CALCULATION
PROCEEDS NON-PROCEEDS
OF TAXES OF TAXES TOTAL
Taxes $1,309,765 0 $1,309,765
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 $1,309,765 $0 $1,309,765
Interest 0 0 0
Total $1,309,765 $0 $1,309,765
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TEXT OF GANN SPF.NUIN<i-I.IMITA1'ION INITIATIVE
EXHIBIT F
LIMITATION OF GOVERNMENT APPROPRIATIONS. INITIATIVE CONSTITUTIONAL
AMF.NUMENT. Establishes Hnd c1e(jn<~s AnnulIl 8(lprojJri/ltion limits on stllte 11110 loelll
governmental entities based on annuul approprill.tions for prior fisclI.l year. Requires
adjustments for changes in cost of living, population and other speciried fll.ctors.
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. I. 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 excE:pt as
otherwise provided in this Article.
Sec. 2. Revenues received by II.ny 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
~ubsequent 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 providillg services is
transferred, in whole or in part, whether by annexation, incorporation or otherwise, from
one entity vf 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 oC p.roviding services is
t~ansferred, in whole or in part, from an entity of government to a private entity, or the
fmancial source Cor the provision of services is transferred, in whole or in part, Crom other
revenues 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 oC government
shall be decreased accordingly.
(c) In the event of an emergency, the appropriation limit may be exceeded
provided thut the appropriution limits in the following three yell.rs are reduced accordingly
to prevent un aggrcgtlte increase in appropriations resulting from the emergency.
Sec. 4. The appropriations limit imposed on any new or existing entity of
government by this Article muy be estltblishcd or changed by the electors of such entity,
subject to alld in conformity with constitutiOllll1 and statutory voting requirements. The
durtltion of !tny such ch!tnge shull be itS determined by sllid electors, but shll.lI in no event
exceed four yellrs from the most recent vote of said electors creating or continuing such
change.
1 of 3
EXHIBI'l'P
Sec. 5. Elich cntily of guvernment ",ay establish such .conting-elley,. Emergency,
unem[lloymcnt, re....ervE:. retirement, sinking (und, trUllt. or simllllr (I/fId:; us It shall deem
reasonable and proper. Contrihutions to RIlY such fund, to the extent Olllt su~h
contributions are derived from ~hc proceeds of taxes, ShRII {or purpO'ies of this ArUclc
cons~itlltc appropriutions .suhject to limit/II ih!' ii, I/Ie YCllr of cCllltrihulion. Neither
withcirHwals from !1ny such fUIlt1, nor expenditures oj (or lIulllori"':litions to 1~Y-flP.fld) sll.~h
wilh,1rtlwals, /lof" trlln;;Ccrs between or I1m()j;~ slwh iUlllls, shtlll fOl' plll'poses oC tillS Article
c.lnstitute apprnprintions subject tv Illllilulioll.
. Sec. 6. Whenever the Lcgi:;18ture or any lilale agenc~' nllmdutes a new progrltm or
higher level of service on tlllY local government, thc stRte shull provide Il suhvention of
funds to reimburse such local government ((lr thl! costs of such program or increased level
oC service, except that the Legisluture liley, but need not, prr,vidc such subvention of
funds for the Collowin~' msndate~i;
crimc; or
(a) Legislative mandates requested by thc loeal agcncy a{(ected;
(b) 'L'egislation defining a new crime or changing an cxistiqg deCinition of a
(c) l.egislHtive mandlttcs enactedllrior to January], ] 975, or executive orders
or regullltions initially implementing legislation enacted prior to January], 1975.
S~c. 7. Nothing in this Article shaH be construed to impair the ablility of the stete
or of any local government to meet its obligations with respect to existing or future
bonded indebtedness.
Sec. 8. All IIsed in this Article and except us otherwise expressly provided herein:
(a) "Appropriation:. subject to hmitalion" of the state shall mean any
authori~ution to expend during a fiscal year the proceeds of taxes levied by or Cor the
state, exclusive of state subventions for the use Ilnd operation of local government (other
than llubventions made pursuant to Section 6 of this Article) and Curther exclusive oC
reCunds of taxes, benefit payments from retirement, unemployment insurance and
dbRbility insurancc Cunds;
(b) "Appropriatiorui subject to limitation" of an entity oC local government
ShRH mean emy authorization to expend during a fiscal year the proceeds of ta~es levied by
or for thHt entity tlnd the proceed,> of state subventions to that entity (other than
subventions made pursusnt to Section 6 of this Article) exclusive of refunds oC taxes;
(c) "Proceeds of taxes" shall include,-but not tie restricted to, all tax revenues
Bnd the proceeds to an entity of government, from (j) regulatory licenses, user charges,
and user Cees to the extent thut such procee.ls ex~eed the costs reasonably borne by such
entity ill providing the regulHtior., product, or service, llnd (ii) the_investment of tax
rev~nuc~. With respect to any local government, "proceeds of bixes" shall inclul1~
Subventions received from the stllte, other thulI purswmf. to Section 6 of tllis Artic!e, nn<1,
with respect to the stute, proceeds of taxes sh&1I exclude such subventions;
'. (e1) "I.oeHI gOVl:rnmentU shnll mcnn Rny 'city,. <,ounty, city 8n<l county, ~chool
distrIct, specltll district, lIuthority, or other politit'lll subdivision of 01' within the st8te;
(I:) "Cost of living" :-:hulI melln the Consume.' Price Index for thc United Stlltes
as reported hy lilt' Unitcd SIll Ie:; Ileplirtmellt of LlII.lO(, or suc(~essor Hgelley of the Lnitcd
Stulcs Ciovel'lllllcnt; provided, howeVer, thllt for pUl'pOSCS of Scctioll I, the ChllllgC in ('ost
of Hving frolll the preceding YCtll' l'hull ill no event eXI~eed thc cllllllge in California per,
Cli(lItl! persollul illCOIIIC from s/Jid pn'('edillg yellrj
2 of 3
I
EXHIBIT F
(f) "Population" of tiny enlily of g..v('runll~nt. oU,(.,. llwlI U SI'II001 distl'ict, shnll
be determined by II melhod prescriued uy the LC'~isIHlllre, (J,'ovidcd thul such
delcrminulion sholl be revised, liS net'essRry, to reflecl the pl'riodlC' census ('ollductcd by
lhe Uniled SIllIes Uepartment of Commerce, or SUl'c,'ssor Ilf.:t'IICY of tile United Slules
(;overnmenl. '.rhe popultllion of /lny school district sludl 11(' sueh scllool district's IIverll~('
dtlily ttllendttllce ttS determined by II lIIelhod prescrihed by the Leljislulurc;
(g) "UelH sel'vice" shllll rnclln uppropriHtions rcquir(~d to puy the cosl of
interest and redemption chllrges, including the funding of ttny reserve or sinking fund
required in connection therewith, on indebtedness existing or legally authori:t:ed as of
January I, 1919 or on bonded indebtedness thereafter approved according to law by a vote
oC the electors of the issuing entity voting in an election Cor such purpose.
(h) The "appropriations limit" of each entity oC government (or each fiscal
yettr shall be that amount whi.ch total annuttl ttppropriations subject to limitation may not
exceed under'Section 1 and Section 3; provided, however, that the "appropriations limit"
oC each entity of government for fiscal year 1978-79 shall be the total of the
appropriations subject to limitation of such entily 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.
(i) Except as otherwise provided in Section 5, "appropriations subject to
limitation" shun not include local agency loan funds or indebtedness funds, investment (or
authorizations to invcst) funds oC the state, or of all entity of local government in
accounts at banks or Slivings tind 10tin associations or in liquid securities.
Sec. 9. "Appropritttions subject to limitation" for each entity of government shall
not include:
(a) Debt service.
(b) Appropriations required for purposes of complying with mandates of the
courts or the federal government which, without discretion, require an expenditure for
additionul services or which unavoidably mlike the providing of existing services more
costly.
(c) Appropritttions of any special district which existed on January 1, 1978,
and which did not as of the 1977-18 fisc!!1 year levy an ad valorem tax on property in
excess of 12 ~ cents per $100 of assessed value; or the appropri!ltions of any special
district then existing or thereafter crettted by a vote of the people, which is totally funded
by other thun the procccd'i of tllKes.
Sec. 10. This Articlc shall be effectivc commcncing with the first day of the fiscal
ycur following ils udoptioll.
Sec, II. If tiny upproprilitioll ctlte~ol'Y 5111111 be added to or removed from
uppropriut ions slIhjcct 10 Iimitfltion, ptlrSllttllt to fiolll jU\lgmcnt of any court of competent
jtlrisdiet ion Ulld flny ttPI)(!ul therefrom, thc Rflpropi"illlions limit shttll be adjusted
accordilll{ly. If 'lilY sectioll, ()urt, eltHlsc or phrllse in this Article is for any reason hcld
invttlid or ullconstitutiollul, the remuininl{ portiolls of this Article shull not be affected but
sll:.1I rCllluin in full forec /Ind effect.
3 of 3
~"'Ar; Of CAl.:FORNIA
PEn! WILSON. Go.omo.'
DEPARTMENT OF F!NANCE
OF!=JCE OF THE DIR;CTOR
STATECA."ITOL. FlOOM 114$
SACRAMENTO. CA 958'.....99a
EXHIBIT G
~
May 1, 1998
Dear Auditor/Controller/Fiscal Officer:
PRICE AND POPULATION DATA FOR LOCAL JURISDICTIONS
Appropriations Limit
Article xm 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 tbe change in the
local assessment roll due to local nonresidential constnlction.
The Departnlem of Finance is mandated to provide the population and California p'er capita
personal income change data for local jurisdictiof'..5 to calculate their appropriations limits. The
change in the local assessment roll due to local nonresidential construction may be obtained
from your county l\ssessor. The enclosures contain the price factor and population percentage
change for setting your 1998-99 appropriation limit.
Enciosure I provides the change in California's per capita personal income price factor. An
example of how to utilize this price factor and the population percentage change in calculating
your] 998.99 limit is included.
Enclosure IT provides the population percentage change factors for cities and counties.
Enclosure IlA 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, 1998. Section 2227 specifies
that state mental instirutions, federal military bases and state and federal prisons be exc1udoo
from the percentage char:ge calculations.
Population Factors for Special Districts
This letter may be received by special districts, which were exempt from establishing
appropriation limits by Article XIII B, Section 9(c), Receipt of this letter should not be
consC!1.led as a requiri:rnent by the Department of Finance to establish an appropri.a:ion limit.
Auditor/Controller/Fiscal Officer
May 1, 1998
Page 2
Certification
The certification program applies to cities and counties only and does not apply to special
districts.
Sections 11005.6 and 30462.1 of the Revenue and Taxation Code, Section 21022 Streets and
Highways Code. and Section 38421 Vehicle Code specify 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 a written request not to certify is received by the Department from the city or
county 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 for
certification must be received by the Department on or before June 1, 1998,
Further Information
Questions concerning population should be directed to the Demographic Research Unit at
(916) 323-4086.
Enclosures
I!nclosur9 \I
A"nual Perc.nt Change in Population Minus Exclusions. January 1,1997
to January 1, 1998 and Total Population January 1, 1998
Total
County Percent Change - PopulatJon ""nut Exc\uslcm. - Population
City '"7_ '-1-87 ,-,.sa '.1-98
ORANGE
ANAHEIM 1.24 297476 301176 301176
B~ 1.10 3~98 35890 35890
BUENA PARK 1.28 73fJ71 74517 74511
COSTA MESA O.Bl '02~S6 103387 104237
CY?RESS 1.23 47354 41938 47938
DANA POINT 1.12 36460 36868 36e6S
FOUNTAIN VAl..I..EY 0.82 55176 55828 55628
FULLEFl.TON 1,16 123642 125081 12SOet
GARDEN GROVE O.se 153084 1~398 154398
HUNTINGTON BEACH 1.37 189223 192430 192430
IRVINE 2,32 128818 131a07 133152
LAGUNA BEACH 1.15 24249 24527 24527
LAGUNA HILLS 0.74 30158 30381 30381
LAGUNA NIGUEL 1.92 56744 57836 57836
LA HASAA 0.7.4 54127 55133 55133
LAKE FOREST 0.72 58227 58649 58649
LA PAlMA 0.73 15871 15981 15987
LOS AlAMITOS 0.99 11664 11719 11854
MISSION VIEJO 2.31 92558 94899 94699
NEWPORT BEACH 2.99 70512 72623 72623
ORANGE 1.59 123105 125065 125065
PL.ACENTIA 2.79 "5865 47143 "'143
SAN CLEMENTE 1.28 47633 48242 "8242
SAN JUAN CAPISTRANO 4.13 29840 31071 31071
SANTA ANA 0.70 309042 311210 311210
SEAL BEACH 0.77 25954 26155 26742
STANTON 0.12 33210 33449 33449
TIJ$iIN 3.37 61216 63278 66420
VIllA PARK 0.97 6484 8547 8547
VVeSTMINSTER 1.34 83717 64835 84835
YORBA LINlJA 2.23 58939 60255 60<:55
UNINCORPORATED 5.89 182002 192353 198;\08
COUNTY TOTAl US 2W181 2710335 2722291
. Exclusions include ",aident$ i~ alate mental Wlstilulions, fllde,.t military itl$tallatio/l$, and $llllll and leeeral prisons.
Page 1
M2y 1, 1998
Enclosure I
A. Price Factor: Article XIIIB specifies that local jurisdictions select their
cost-of-Iiving 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 1998-99 appropriation limit are:
Per Capita Personal Income
Fiscal
Year (FY)
Percentage change
over prior year
1998-99
4,15
B. Follov.ing is an example using sample population change and the change in
California per capita personal income as growth factors in computing a 1998-99
appropriations limit,
1998-99:
Per Capita Change = 4.15 percent
Population Change'" 1.81 percent
Per Capita converted to a ratio:
4.15 + 100 '" 1.0415
100
Population converted to a ratio:
1.81 + 100 =: 1.0181
100
Calculation offactor for FY 98-99:
1.0415 x 1.0181 = 1.0604
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. 98R-116 was introduced and adopted at a regular meeting provided by law, of
the Anaheim City Council held on the 16th day of June, 1998, 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. 98R-116 on the 16th day of June, 1998.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City
of Anaheim this 16th day of June, 1998.
~~/{~
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. 98R-116 was duly passed and adopted by the City Council of
the City of Anaheim on June 16th, 1998.
~~~-
CITY CLERK OF THE CITY OF ANAHEIM