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HomeMy WebLinkAbout2013-06-11; City Council; Resolution 2013-1388 Exhibit 6 RESOLUTION NO. 2013-138 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, ESTABLISHING THE 2013-14 APPROPRIATION LIMIT AS REQUIRED BY ARTICLE XIIIB OF THE CALIFORNIA STATE CONSTITUTION AND STATE LAW WHEREAS, Article XIIIB of the California State Constitution requires that governments annually establish a limit on the appropriation of proceeds of taxes; and 9 WHEREAS, State law requires that this limit be presented to the governing body 10 of each entity each fiscal year; and 11 WHEREAS, State law also requires that this limit be published in a newspaper of 12 general circulation to allow public response to the limit as adopted. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as follows: 1. That the above recitations are true and correct. 2. That the City Council of the City of Carlsbad, California, does hereby establish and adopt the 2013-14 appropriation limit of three hundred and fifty five 19 million, five hundred and thirty six thousand, and two hundred and twenty three 20 dollars ($355,536,223) as computed in Exhibit 6-A attached hereto. 21 3. That the City Clerk is directed to publish this Resolution in a 22 newspaper of general circulation. 23 /// /// /// /// /// g5 13 14 15 16 17 18 24 25 26 27 28 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 PASSED, APPROVED AND ADOPTED at a Joint Special Meeting of the Carlsbad City Council, Carlsbad Municipal Water District Board of Directors, Carlsbad Community Development Commission and City of Carlsbad as the Successor Agency to the Redevelopment Agency held on the 11^^ day of June, 2013, by the following vote to wit: AYES: NOES: ABSENT: Council Members Hall, Packard, Wood, Blackburn and Douglas. None. None. MATT HALl, Mayor ATTEST: Exhibit 6-A CITY OF CARLSBAD GANN APPROPRIATIONS LIMIT The Appropriations Limitation imposed by Proposition 4 and modified by Proposition 111 creates a restriction on the amount of revenue which can be appropriated in any fiscal year. The revenues which are subject to the Limitation are those considered "proceeds of taxes." The basis for calculating the Limit began in fiscal year 1978-79 and is increased based on population growth and inflation. The major change made by Proposition 111 allows the city to annually choose among the following options for calculating its Gann Limit: > Population growth of Carlsbad, OR > Population growth within San Diego County, AND > Growth in California per capita income, OR > Growth in non-residential assessed valuation due to new construction in the City. The factors used to calculate the 2013-14 Limit were: > Population growth in Carlsbad, AND > Growth in non-residential assessed valuation due to construction in the City. The formula is outlined below: 2012- 13 Expenditure Limit $308.625.194 % Carlsbad Population Growth 1.0102 Growth in non-residential assessed valuation X 1.1404 Net I ncrease Factor 1.1520 2013- 14 Limit (2012-13 Limit X Factor) $355.536.223 Current Appropriation of Proceeds of Taxes $105,392,745 (Subject to the Limit) The spending limit for the City of Carlsbad for 2013-14 is $355.5 million, with appropriations of "proceeds of taxes" of $105.4 million. The result of the calculation provides the city with an operating margin of $250.1 million. D-11 7