HomeMy WebLinkAboutAGENDA REPORT 2015 0915 OB REG ITEM 09B OVERSIGHT BOARD TO SUCCESSOR AGENCY
OF THE REDEVELOPMENT AGENCY
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OVERSIGHT BOARD TO THE SUCCESSOR AGENCY OF THE
REDEVELOPMENT AGENCY OF THE CITY OF MOORPARK
AGENDA REPORT
TO: Oversight Board to the Successor Agency
-A-
FROM: David C. Moe II, Economic Development and Housing Manager Li-J-1
DATE: September 9, 2015 (Meeting of 9/15/15)
SUBJECT: Consider Resolution Approving Administrative Budget 15-16B
BACKGROUND & DISCUSSION
Pursuant to Part 1.85 of Division 24 of the California Health and Safety Code (the
"Redevelopment Dissolution Law"), the Successor Agency must prepare a proposed
administrative budget and a Recognized Obligation Payment Schedule ("ROPS") for
each six-month fiscal period, both of which must be submitted to the Oversight Board
for approval. Each proposed administrative budget must include all of the following:
(1) estimated amounts for Successor Agency administrative costs for the applicable six-
month fiscal period; (2) proposed sources of payment for the administrative costs; and
(3) proposals for arrangements for administrative and operations services provided by
the City or other entity.
The Redevelopment Dissolution Law is unclear regarding the required timing for the
submission of the proposed administrative budget for the period from January 1, 2016
through June 30, 2016 (i.e., the second half of fiscal year 2015-16) ("Administrative
Budget 15-16B") to the Oversight Board. However, because the Successor Agency's
administrative expenditures also have to be reflected on the ROPS, Administrative
Budget 15-16B and the ROPS for the same period ("ROPS 15-16B") should be
consistent.
The Successor Agency is required to submit ROPS 15-16B to the Oversight Board for
approval and then submit the Oversight Board-approved ROPS 15-16B to the State
Department of Finance, State Controller, and the County Auditor-Controller. Staff has
prepared a ROPS 15-16B for the Oversight Board's approval at this meeting as a
separate agenda item. Staff recommends that the Board approve Administrative
Budget 15-16B on the same date as the Board's approval of ROPS 15-16B.
19
Oversight Board to the Successor Agency
September 15, 2015
Page 2
The Oversight Board must take action by resolution and must provide the State
Department of Finance, by electronic means, written notice and information about their
action.
FISCAL IMPACT
Under the Redevelopment Dissolution Law, an "Administrative Cost Allowance" is paid
to the Successor Agency from property tax revenues allocated by the County Auditor-
Controller. The Administrative Cost Allowance is defined as an amount, subject to the
approval of the Oversight Board, which is up to 3% of the property tax allocated for
enforceable obligations from the Redevelopment Property Tax Trust Fund by the
County Auditor-Controller. The amount shall not be less than $250,000 for any fiscal
year unless the Oversight Board reduces this amount. The Successor Agency receives
the minimum $250,000 annually for operational expenses as 3% of the property tax
allocation is less than $250,000.
The Administrative Cost Allowance is subject to reduction if there are insufficient funds
to pay the enforceable obligations as listed on the ROPS. All or a portion of the
Administrative Cost Allowance amount will be reimbursed to the City pursuant to a
Cooperative Agreement for Advance and Reimbursement of Administrative Overhead
and Other Expenses, to be entered into by the Successor Agency and the City, after
approval by the Oversight Board.
RECOMMENDATION (ROLL CALL VOTE)
Adopt Resolution No. OB-2015- , approving a proposed administrative budget for
the six-month fiscal period from January 1, 2016 through June 30, 2016, and take
certain other related actions.
Attachment 1 Resolution No. OB-2015-
Attachment 2 Administrative Budget
20
ATTACHMENT 1
RESOLUTION NO. OB-2015 -
A RESOLUTION OF THE OVERSIGHT BOARD TO THE
SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY
OF THE CITY OF MOORPARK, CALIFORNIA, FOR THE
REGULAR MEETING OF SEPTEMBER 15, 2015, APPROVING
THE ADMINISTRATIVE BUDGET FOR ROPS 15-16B
WHEREAS, Section 34179 (e) of the Health and Safety Code requires all actions
taken by the Oversight Board to the Successor Agency of the Redevelopment Agency
of the City of Moorpark be adopted by resolution; and
WHEREAS, pursuant to Health and Safety Code Section 34177(j), the Successor
Agency of the Redevelopment Agency of the City of Moorpark (the "Successor Agency')
must prepare a proposed administrative budget for each six-month fiscal period
(commencing each January 1 and July 1) and submit each proposed administrative
budget to the Oversight Board for the Successor Agency (the "Oversight Board") for
approval; and
WHEREAS, at the regular meeting of September 15, 2015 there has been
presented to this Board for approval a proposed administrative budget for the
Successor Agency for the six-month fiscal period from January 1 , 2016 through June
30, 2016 ("Administrative Budget 15-16B"). (Agenda Item 9.B.)
NOW, THEREFORE, THE OVERSIGHT BOARD TO THE SUCCESSOR
AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF MOORPARK
DOES HEREBY RESOLVE AS FOLLOWS:
SECTION 1 . The above recitals are true and correct and are a substantive part
of this Resolution.
SECTION 2. The Oversight Board hereby approves the proposed Administrative
Budget 15-16B substantially in the form of Agenda Item 9.B.
SECTION 3. The staff of the Successor Agency is hereby directed to provide the
State Department of Finance ("DOF") written notice and information regarding the action
taken by the Oversight Board in Section 2 of this Resolution. Such notice and
information shall be provided by electronic means and in a manner of DOF's choosing.
SECTION 4. The officers of the Oversight Board and staff of the Successor
Agency are hereby authorized and directed, jointly and severally, to do any and all
things which they may deem necessary or advisable to effectuate this Resolution.
SECTION 5. The City Clerk shall certify to the adoption of this resolution and
shall cause a certified resolution to be filed in the book of original resolutions.
21
Oversight Board to the Successor Agency
September 15, 2015
Page 2
PASSED AND ADOPTED this 15th day of September, 2015.
Bruce Hamous, Chairperson
ATTEST:
Maureen Benson, City Clerk
22
81000-0172\1528279v1 doc 2
ATTACHMENT 2
SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE
CITY OF MOORPARK
ADMINSTRATIVE BUDGET
(January 1, 2016 through June 30, 2016)
BUDGET ITEM AMOUNT DESCRIPTION
Salaries and Benefits $ 97,000 Salaries and benefits
Operations $ 28,000 Operations
TOTAL: $125,000
23
ITEM 9.B.
OVERSIGHT BOARD TO THE SUCCESSOR AGENCY OF THE
REDEVELOPMENT AGENCY OF THE CITY OF MOORPARK
AGENDA REPORT
TO: Oversight Board to the Successor Agency
FROM: David C. Moe II, Economic Development and Housing Manager
DATE: September 9, 2015 (Meeting of 9115/15)
SUBJECT: Consider Resolution Approving Administrative Budget 15-16B
BACKGROUND & DISCUSSION
Pursuant to Part 1.85 of Division 24 of the California Health and Safety Code (the
"Redevelopment Dissolution Law"), the Successor Agency must prepare a proposed
administrative budget and a Recognized Obligation Payment Schedule ("ROPS") for
each six-month fiscal period, both of which must be submitted to the Oversight Board
for approval. Each proposed administrative budget must include all of the following:
(1) estimated amounts for Successor Agency administrative costs for the applicable six-
month fiscal period; (2) proposed sources of payment for the administrative costs; and
(3) proposals for arrangements for administrative and operations services provided by
the City or other entity.
The Redevelopment Dissolution Law is unclear regarding the required timing for the
submission of the proposed administrative budget for the period from January 1, 2016
through June 30, 2016 (i.e., the second half of fiscal year 2015-16) ("Administrative
Budget 15-16B") to the Oversight Board. However, because the Successor Agency's
administrative expenditures also have to be reflected on the ROPS, Administrative
Budget 15-16B and the ROPS for the same period ("ROPS 15-16B") should be
consistent.
The Successor Agency is required to submit ROPS 15-16B to the Oversight Board for
approval and then submit the Oversight Board-approved ROPS 15-16B to the State
Department of Finance, State Controller, and the County Auditor-Controller. Staff has
prepared a ROPS 15-16B for the Oversight Board's approval at this meeting as a
separate agenda item. Staff recommends that the Board approve Administrative
Budget 15-16B on the same date as the Board's approval of ROPS 15-16B.
Oversight Board to the Successor Agency
September 15, 2015
Page 2
The Oversight Board must take action by resolution and must provide the State
Department of Finance, by electronic means, written notice and information about their
action.
FISCAL IMPACT
Under the Redevelopment Dissolution Law, an "Administrative Cost Allowance" is paid
to the Successor Agency from property tax revenues allocated by the County Auditor-
Controller. The Administrative Cost Allowance is defined as an amount, subject to the
approval of the Oversight Board, which is up to 3% of the property tax allocated for
enforceable obligations from the Redevelopment Property Tax Trust Fund by the
County Auditor-Controller. The amount shall not be less than $250,000 for any fiscal
year unless the Oversight Board reduces this amount. The Successor Agency receives
the minimum $250,000 annually for operational expenses as 3% of the property tax
allocation is less than $250,000.
The Administrative Cost Allowance is subject to reduction if there are insufficient funds
to pay the enforceable obligations as listed on the ROPS. AA--or---a---portion-of--the
Adntn-is#aative-_cost Allowance-amount—will—be reimbursed .to-..thy City pursuant-to- a
Cooperative-Agreement for--Advance and—Reimbursement of--Administrative-G ad
and--Otherr xp -t be--entered into--by-t-he oessar-Agency -after
approval--by-the-Oversight-Board:
RECOMMENDATION (ROLL CALL VOTE)
Adopt Resolution No. OB-2015- , approving a proposed administrative budget for
the six-month fiscal period from January 1, 2016 through June 30, 2016, and take
certain other related actions.
Attachment 1 Resolution No. OB-2015-
Attachment 2 Administrative Budget
ATTACHMENT 1
RESOLUTION NO. OB-2015 -
A RESOLUTION OF THE OVERSIGHT BOARD TO THE
SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY
OF THE CITY OF MOORPARK, CALIFORNIA, FOR THE
REGULAR MEETING OF SEPTEMBER 15, 2015, APPROVING
THE ADMINISTRATIVE BUDGET FOR ROPS 15-16B
WHEREAS, Section 34179 (e) of the Health and Safety Code requires all actions
taken by the Oversight Board to the Successor Agency of the Redevelopment Agency
of the City of Moorpark be adopted by resolution; and
WHEREAS, pursuant to Health and Safety Code Section 34177(j), the Successor
Agency of the Redevelopment Agency of the City of Moorpark (the "Successor Agency")
must prepare a proposed administrative budget for each six-month fiscal period
(commencing each January 1 and July 1) and submit each proposed administrative
budget to the Oversight Board for the Successor Agency (the "Oversight Board") for
approval; and
WHEREAS, at the regular meeting of September 15, 2015 there has been
presented to this Board for approval a proposed administrative budget for the
Successor Agency for the six-month fiscal period from January 1 , 2016 through June
30, 2016 ("Administrative Budget 15-16B"). (Agenda Item 9.B.)
NOW, THEREFORE, THE OVERSIGHT BOARD TO THE SUCCESSOR
AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF MOORPARK
DOES HEREBY RESOLVE AS FOLLOWS:
SECTION 1. The above recitals are true and correct and are a substantive part
of this Resolution.
SECTION 2. The Oversight Board hereby approves the proposed Administrative
Budget 15-16B substantially in the form of Agenda Item 9.B.
SECTION 3. The staff of the Successor Agency is hereby directed to provide the
State Department of Finance ("DOF") written notice and information regarding the action
taken by the Oversight Board in Section 2 of this Resolution. Such notice and
information shall be provided by electronic means and in a manner of DOF's choosing.
SECTION 4. The officers members of the Oversight Board and staff of the
Successor Agency are hereby authorized and directed, jointly and severally, to do any
and all things which they may deem necessary or advisable to effectuate this
Resolution.
SECTION 5. The City Clerk shall certify to the adoption of this resolution and
shall cause a certified resolution to be filed in the book of original resolutions.
Resolution No. OB-2015-
Page 2
SECTION 5. The City Clerk shall certify to the adoption of this resolution and
shall cause a certified resolution to be filed in the book of original resolutions.
PASSED AND ADOPTED this 15th day of September, 2015.
Bruce Hamous, Chairperson
ATTEST:
Maureen Benson, City Clerk
ATTACHMENT 2
SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE
CITY OF MOORPARK
ADMINSTRATIVE BUDGET
(January 1, 2016 through June 30, 2016)
BUDGET ITEM AMOUNT DESCRIPTION
Salaries and Benefits $ 97,000 Salaries and benefits
Operations $ 28,000 Operations
TOTAL: $125,000
All items are expected to be paid out of the Successor Agency's Administrative
Costs Allowance.