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Home My WebLink AboutAGENDA REPORT 2018 0116 OB REG ITEM 07B OVERSIGHT BOARD TO SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF MOORPARK MEETING FERfi 7.13. of kI1bl1oeb ACTION' Pc??Yoded 51t1-c4 rect.Mm2ndatiorl Inc.10clinq adorbon o-t R89.D(L o\-. no . 08- 2O - I12- . BY: 66-re— 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: Ron Ahlers, Finance Directors DATE: January 8, 2018 ( fleeting of January 16, 2018) SUBJECT: Consider Resolution Approving Administrative Budget 18-19 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 CROPS") for each six-month fiscal period, 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 July 1, 2018 through June 30, 2019 (Le. fiscal year 2018-19) ("Administrative Budget 18-19") to the Oversight Board. However, because the Successor Agency's administrative expenditures also have to be reflected on the ROPS, Administrative Budget 18-19 and the ROPS for the same period ("ROPS 18-19") should be consistent. The Successor Agency is required to submit ROPS 18-19 to the Oversight Board for approval and then submit the Oversight Board-approved ROPS 18-19 to the State Department of Finance, State Controller, and the County Auditor-Controller. Staff has prepared a ROPS 18-19 for the Oversight Board's approval at this meeting as a separate agenda item. Staff recommends that the Board approve Administrative Budget 18-19 on the same date as the Board's approval of ROPS 1849. 16 Oversight Board to the Successor Agency January 16, 2018 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. uditorController. 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 (RPTTF) 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. RECOMMENDATION (ROLL CALL VOTE) Adopt Resolution No. OB-2018- , approving proposed administrative budgets for the six-month fiscal perigd from July 1, 2018 through December 31, 2018 and the six- month fiscal period from January 1, 2019 through June 30, 2019, and take certain other related actions. Attachment 1 Resolution No. OB-2018- Attachment 2 Administrative Budget 18-19A Attachment 3 Administrative Budget 18-19B 17 • Attachment 1 RESOLUTION NO. OB-2018 - A RESOLUTION OF THE OVERSIGHT BOARD TO THE SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF MOORPARK, CALIFORNIA, FOR THE MEETING OF JANUARY 16, 2018, APPROVING PROPOSED ADMINISTRATIVE BUDGETS FOR THE SIX-MONTH FISCAL PERIODS FROM JULY 1, 2018 THROUGH DECEMBER 31, 2018, AND FROM JANUARY 1, 2019 THROUGH JUNE 30, 2019, AND TAKING RELATED ACTIONS 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 to 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 of the Successor Agency (the "Oversight Board")for approval; and . WHEREAS, The Successor Agency's proposed administrative budgets for the six-month fiscal periods from July 1, 2018 through December 31, 2018 ('Administrative Budget 18-19A") and from January 1, 2019 through June 30, 2019 ("Administrative Budget 18-19B," together with Administrative Budget 18-19A, the "Administrative Budgets") have been presented to this Oversight Board for approval; and WHEREAS, at the regular meeting of January 16, 2018 there has been presented to this Board for approval the proposed Administrative Budgets for the Successor Agency for the fiscal period from July 1, 2018 through June 30, 2019. (Agenda Item 7.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 Administrative Budget 18- 19A, substantially in the form attached hereto as Attachment 2 with Agenda Item 7.B. ' 18 SECTION 3, The Oversight Board hereby approves Administrative Budget 18- 19B, substantially in the form attached hereto as Attachment 3 with Agenda Item 7.B. SECTION 4. The 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 and the Administrative Budgets, including making any adjustment to the proposed Administrative Budgets to make them consistent with the Successor Agency's Recognized Obligation Payment Schedule for fiscal year 2018-19 (as such Recognized Obligation Payment Schedule is approved by the State Department of Finance), 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 5. If any provision of this Resolution or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of this Resolution which can be given effect without the invalid provision or application, and to this end, the provisions of this Resolution are severable. The Oversight Board hereby declares that it would have adopted this Resolution regardless that one or more portion may be determined to be invalid, SECTION 6. 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 16th day of January, 2018. Bruce Hamous, Chairperson ATTEST: Maureen Benson, City Clerk 19 • Attachment 2 SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF MOORPARK ADIAINSTRATIVE BUDGET 18-19A (July 1, 2018 through December 31, 2018) Budget Item Amount Description Salaries& Benefits $ 97,O00 Salaries& Benefits- Operations $28,000 Operations Total $ 125,000 *All items are expected to be paid out of the Successor Agency's Administrative Costs Allowance. 20 Attachment 3 SUCCESSOR AGENCY OF THE REDEVELOPMENT AGENCY OF THE CITY OF MOORPARK ADMINSTRATIVE BUDGET 18-19B (January 1, 2019 through June 30, 2019) Budget Item Amount Description Salaries & Benefits $ 97,000 Salaries & Benefits Operations $28,000 Operations Total $ 125,000 All items are expected to be paid out of the Successor Agency's Administrative Costs Allowance. 21