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HomeMy WebLinkAboutAGENDA REPORT 1997 0219 CC REG ITEM 09BCITY OF MOORPARK CITY COUNCIL AGENDA REPORT TO: The Honorable City Council FROM: Donald P. Reynolds Jr., Administrative Services Manager DATE: February 13. 1997 SUBJECT: Consider Additional Appropriation for the Arroyo Vista Community Park ("AVCP") for Fiscal Year 1996/97 Background 1_? 7 On November 20, 1996, the Council adopted Resolution 96 -1248, approving the transfer of $104,452 from the General Fund Reserve to the Park Improvement Fund ( "PIF "), Community Zone (which is used to track AVCP capital expenses), to balance previous expenses of $4,092,734 which have occurred in the past four years. Of this amount, the General Fund (by means of using the GANN monies available at the time) has contributed $397,152, and the Moorpark Redevelopment Agency has contributed $226,000. The balance of funding for Phase I came from contributions to the PIF- Community Zone. A funding and expenditure summary is provided in Attachment "A." This action did not address costs related to Phase I incurred this fiscal year. The November appropriation of $104,452 corrected a previously approved 1994 GANN appropriation of $97,000, addressed the balance due of $3,300 from an outstanding commitment from AYSO of $5,000, and accounted for an outstanding balance of $152. The $97,000 corrected a previously approved expense, and the $152 expense corrected a very minor budget over -run. The AYSO portion of Council's action ($3,300,) when received, will be repaid directly to the General Fund Reserve. The Council's November action left two existing approved loans ( "inter -zone loans ") in tact of $310,000, comprised of an $85,000 loan from the PIF- Campus Park Zone, and $225,000 from the PIF - Central Zone, to be repaid from future contributions to the PIF- Community Zone. The 1996/97 appropriation for AVCP is $195,000. Of this amount, $75,000 was allocated as an expense for a modular teen center, and the balance of $120,000 was budgeted as a loan to the PIF- Community Zone as follows: $10,000 for kitchen equipment; $100,000 for the access road, and; $10,000 for the conceptual design for Phase II improvements. If completed this fiscal year, development expenses for AVCP will increase from $4,092,734 to $4,287,734. The loaned amount will increase from $310,000 to $430,000. Staff is continuing to finalize details related to Phase I of AVCP this fiscal year by completing a boundary survey, and the legal description of a utility easement. A park boundary survey will require $7,750, and the easement will require $3,440, for a combined cost of $11,190. The Council can consider various funding sources for these expenses, including reprogramming current allocations of $195,000, use of the either the Redevelopment or General Fund 1A78' 000604 reserves, or a loan from the General Fund reserve. Ideally, the PIF- Community Zone should pay all costs related to the AVCP, but as described above, it is currently carrying outstanding loans of $430,000. The use of the General Fund Reserve can occur as either a transfer and direct expense, or as another loan. Consistent with the concept that the PIF- Community Zone will be used as much as possible as the exclusive source of funding for improvements at AVCP, staff is recommending an additional loan to the Zone from the General Fund Reserve of $11,190. This would bring the total loan from the General Fund Reserve to $131,190. ($120,000 plus $11,190). There are anticipated savings related to the current allocation of $195,000, which can be applied to this request, and reduce the proposed total loan from the General Fund Reserve by $8,810; from $120,000 to $111,190. In a separate report to Council on this agenda, the Public Works Director is requesting that the $100,000 loan for the access road be reduced to $80,000. This $20,000 savings can then be transferred to account for the $11,190 needed to complete Phase I, leaving an undesignated portion of the original loan a principal in the amount of $8,810. The modular teen center ($75,000) is being postponed until the budget deliberations this spring, and this is not proposed as part of this calculation. The conceptual design for Phase II ($10,000), and kitchen equipment purchase ($10,000) are currently moving ahead. Summary Phase I of AVCP will be completed this year with boundary survey and easement deed at a cost of $11,190, increasing the total cost from $4,092,734 to $4,103,924. These costs include previously approved inter -zone loans of $310,000 within the PIF. The current budget provides $120,000 in loans from the General Fund Reserve, and $75,000 in expenses from the General Fund, for a total of $195,000. A separate report to Council staff explains that of the $120,000 General Fund Reserve Loan, there will be a savings of $20,000 related to the Park Access Road project, reducing the cummulative need for a loan to $100,000 for the three projects. This report requests that the $11,190, be appropriated as a loan to the PIF - Community Zone, in place of a portion of the $20,000 savings from the Access Road. Adding this request to the previously budgeted loan now reduced to $100,000, makes a total loan this fiscal year of $111,190. This is $8,810 less than currently budgeted. Attachment "B" re -caps this proposed re- arrangement. Future Considerations and Loan Reoavment Methods Now that loans exist from the General Fund Reserve and the Park Improvement Fund, (inter- zone loan), consideration will eventually have to be given to the method of loan repayments. Community Zone revenues are received as 40% of all PIF revenues (Quimby Fees) from development in the City, where other zones have to rely on contributions which occur within their geographic boundary. Therefore, there is no doubt that the Community Zone will be able to repay the debt, but is unlikely that all of the monies would be received during one fiscal year. Repayments will come at the expense of future improvements. It is recommended that the repayment schedule be discussed at the time the Park Capital Improvement Program and 1997/98 proposed budget are reviewed by the Council 2 Recommendation (Roll Call Vote Required) That City Council authorize the changes to the AVCP /General Fund appropriations by adopting Resolution 97- , presented in Attachment "C ", authorizing an appropriation as a loan from the General Fund Reserve of $11,190 to pay for the completion of Phase I of AVCP (boundary survey and easement deed) in conjunction with a separate report to Council which reduces the current loan from $120,000 to $100,000, making the revised loan from the General Fund Reserve to the PIF- Community Zone $111.190. Attachments A The December 4, 1996, Summary of AVCP Expenses B Re -Cap of AVCP Loans and 1996/97 Expenditures C Resolution 97 000bob ATTACHMENT A SUMMARY OF THE AVCP CAPITAL, IMPROVEMENT BUDGETS Phase I Revenues which include the G &S Developer Contribution 3,653,514 Phase I Costs $63,534 more than the 7/6/94 estimate) 3,4741164 Balance Available for Phase II (referred to as "Phase I Savings ") 179 350 , Phase II Revenues ($11,731 in interest + $17,037 in FY 95/96 deposits 28,768 which includes $ 1,700 from AYSO) GANN Contribution from 94/95 (to be recorded) 97,000 Loan from Zone 3 for Roller Hockey (June 1 994 Budget,) 85 000 , Sub -Total Related to the 94/95 Budget of $417,700 390,118 Loan from Central Zone March 15, 1995 Report to Council 225,000 `ymg \E::`,,:�•5' .. t4•. Y.:n. •... .' tik, 4rti::: Y. Y:•;;•:{: F:}:.:.:: `:: }2 °`Fv;`.•'t ",•` '1 :`}5..,.:�: Total of Funding Sources Phase 1 $3,653,514 Savings ($ 179,350) Sub -Total $3,474,164 Phase II ' 615 118 $4,089,282 Total Construction Costs Phase I $3,474,164 Phase II $ 618,570 $4,092,734 Surplus/Deficit $4,089,282 $4,092,734 ($ 3,452) 0006017 ATTACHMENT B GENERAL FUND USE FOR AVCP 1996/97 ,Current Budget Combine - - - -_ - -- Loan Expense Total -- - - - - -- -- --------------- - Access Road 100000 1000 Phase II Design 10000 1001 Modular Teen Center 75000 7501 Kitchen Equipment 10000 1001 Boundary Survey Easement Deed 120000 75000 1950{ d Combined Loan Expense Total )0 80000 80000 )0 10000 10000 )0 75000 75000 )0 10000 10000 7750 7750 3440 3440 10 111190y 75000^ 186190 " Teen Center Project Funding will be reviewed with the 1997/98 Budget and not expended this fiscal year. It is shown here for consistency with the current budget PROPOSED LOAN SUMMARY PARKIMPROVEMENTFUND CAMPUS PARK ZONE CENTRAL ZONE GENERAL FUND PROPOSED AVCPLOAN.WK4 AMOUNT SUB -TOTAL 1 TOTAL 85000 225000 310000 111190 111190 ootltiak