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HomeMy WebLinkAboutAGENDA REPORT 2004 0218 CC REG ITEM 10JCITY Or' t4aORi'ARK. !`A1,TVOR'`,,I*,, of T TON, MOORPARK CITY COUNCIL AGENDA REPORT TO: The Honorable City Council FROM: Mary K. Lindley, Director of Community Servicesw . DATE: February 9, 2004 (Meeting of February 18, 2004) SUBJECT: Consider Budget Amendment to Complete the Purchase of the Property Located at 412 Poindexter Avenue DISCUSSION On September 17, 2003, the City Council authorized the purchase of the property at 412 Poindexter Avenue for the purpose of expanding Poindexter Park. The Council also authorized the City Manager to execute a purchase agreement with the seller, paying $640,000. Escrow fees on the purchase amount to $5,551, making the total cost, $645,551. The final source of funding for the purchase is the City's grant allocations from the two statewide Park Bonds (Prop. 12 and Prop. 40). The City will receive funds from the following grants: Prop. 12 (2000) Roberti- Z'Berg- Harris - $ 86,621.00 Per Capita Block Grant - $269,000.00 Prop. 40 (2002) Roberti- Z'Berg- Harris - $ 89,495.00 Per Capita Block Grant - $220,000.00 Total Available Grant Funding $665,116.00 The 2000 Robert i- Z' Berg-Harr is Grant ($86,621) requires a 30 percent match ($37,123). The 30% match is calculated as 3/7 times the Project Grant amount. The 3/7 fraction is due to the relationship that for every 10 dollars in allowable M: \MLindley \PARKS \Poindexter Property Purchase \Poindexter purchase budget amendment ccagd.doc 000144 Honorable City Council February 18, 2004 Page 2 Project costs, the State will cover 7 dollars with a grant and the Grantee must match the State's 7 dollars with 3 dollars from the Grantee's funds, resulting in 3 percent of the project being funded from non -grant funds. To complete the property purchase, staff proposes using $86,621 from the 2000 Roberti- Z'Berg- Harris grant, $269,000, from the 2000 Per Capita Block grant, $220,000 from the 2002 Per Capita Block grant, and the remaining $69,930 would be funded from the City's Park Improvement Fund, Central Zone. The City's $69,930 contribution includes the required match of $37,123. Poindexter Park is within the Central Zone which has an unallocated cash balance of approximately $200,000. Acquisition of property is an appropriate use of the Park Improvement Fund. The aforementioned action would leave the City $89,495 in Prop. 40 grant funds (Roberti- Z'Berg- Harris), which could be used to improve the purchased property at a later time. Since escrow closed on the property on February 13, 2004, the City funded the initial purchase solely from the City's Park Improvement Fund - Central Zone. The State will reimburse the City $575,621 for total expenditures (645,551), less the City's contribution (69,930), approximately four weeks after the City submits its reimbursement request. When received, the reimbursement will be credited to the Central Zone. To finalize the purchase transaction, the Council is being asked to approve the use of the Park Bond Funds (Prop. 12 and Prop. 40) ; approve the use of the City's Park Improvement Fund - Central Zone, to fund the City's contribution ($69,930), including the required match; approve a temporary loan in the amount of $575,621 from the Central Zone; and recognize new revenue in the amount of $575,621 to the Central Zone. If the attached resolution is adopted, it will amend the FY 2003/04 budget by appropriating $645,551 from the Park Improvement Fund - Central Zone (2111) to complete the property purchase and recognize new revenue in the amount of $575,621. 000145 Honorable City Council February 18, 2004 Page 3 STAFF RECOMMENDATION (Roll Call Vote) Approve the use of Park Bond Funds and funds from the City's Park Improvement Fund - Central Zone, to purchase the property at 412 Poindexter Avenue, as outlined in the Agenda Report, and adopt Resolution No. 2004-, amending the FY 2003/04 budget to appropriate the necessary funds. 000146 Honorable City Council February 18, 2004 Page 4 RESOLUTION NO. 2004- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MOORPARK, CALIFORNIA, AMENDING THE FY 2003/04 BUDGET FOR THE PURCHASE OF PROPERTY AT 412 POINDEXTER AVENUE BY APPROPRIATING $645,551 FROM THE CENTRAL ZONE (2111) OF THE PARK IMPROVEMENT FUND AND RECOGNIZING PARK BOND REVENUE IN THE AMOUNT OF $575,621 WHEREAS, on June 18, 2003, the City Council adopted the FY 2003/04 Budget; and WHEREAS, on February 18, 2004, staff presented the Council with a report which requests the appropriation of $645,551 from the Central Zone of the Park Improvement Fund and recognizes state Park Bond funds in the amount of $575,621 for the purchase of property; and WHEREAS, Exhibit "A" hereof describes said budget amendment and its resultant impacts to the budget line items. NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF MOORPARK DOES HEREBY RESOLVE AS FOLLOWS: SECTION 1. A budget amendment to allocate $575,621 from the Community Zone of the Park Improvement Fund for the purchase of property, as more particularly described in Exhibit "A" attached hereto is hereby approved. SECTION 2. The City Clerk shall certify to the adoption of the resolution and shall cause a certified resolution to be filed in the book of original Resolutions. PASSED AND ADOPTED this 18th day of February, 2004. Patrick Hunter, Mayor ATTEST: Deborah S. Traffenstedt, City Clerk Attachment: Exhibit A 000147 Honorable City Council February 18, 2004 Page 5 Attachment A Resolution No. 2004- EXHIBIT A Budget Revision A. Fund Allocation: Fund No. Fund Name Amount 2111.5500 Central Zone - Park Improvement Funs, $645,551 $645,551 $645,551 B. Budget Appropriation: BUDGET NUMBER BUDGETED REVISION NEW BUDGET 2111. "1300. "7851.9610 $0 $645,551 $645,551 2111.3751 $0 $575,621 $575,621 Approved to Form: 000148