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HomeMy WebLinkAbout1981-06-23; City Council; 6643; 1981-82 Appropriation LimitCITY OF CARLSBAD AGENDA BILL NO. DATE: June 23, 1981 DEPARTMENT:Finance C. Mgr. Subject: 1981-82 Appropriation Limit Statement of the Matter Article XIIIB of the California Constitution requires that all governmental entities operate under certain limits on appropriations of proceeds of taxes. This "spending limit" is based on the appropriations of adopted by the governing body during 1978-79 and is increased annually by a factor based on inflation and population. For the City of Carlsbad, the 1978-79 base is about $10.2 million. That is the City approoriated $10.2 million from proceeds of taxes during 1978-79. The City is required by law to annually set and publish the appropriation limit for each fiscal year. For 1981-82 this limit should be set as part of the budget adoption process. The exhibits to this agenda bill show the process used in computing the 1981-82 limit of $17.2 million comnared to appropriations from proceeds of taxes of about $10.7 million. Based on these numbers, the city will have a $6.6 million margin during 1981-82. Fiscal Impact The establishment of the appropriation limit has no fiscal impact in itself. It should be noted, however, that should the city ever receive more in proceeds of taxes than can legally be appropriated, the excess must be returned to the state or to the citizens by returning sales tax or property tax. Exhibits Table I Computation of the 1981-82 Limit Table II Appropriation of Proceeds of Taxes in 1981-82 Resolution No. £5~93 adopting the 1981-82 appropriation limit Recommendation Adopt Resolution No. £$~93 adopting the 1981-82 appropriation limit. APPROVED 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 RESOLUTION NO.6593 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, ESTABLISHING THE 1981-82 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 WHEREAS state law requires that this limit be formally adopted by the governing body of each entity prior to June 30th of each fiscal year; and WHEREAS state law also requires that this limit be published in a newspaper of general circulation to allow public response to the limit as adopted, NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the City Council of the City of Carlsbad, California, does hereby establish and adopt the 1981-82 appropriation limit of seventeen million two hundred thirty eight thousand six dollars ($17,238,006) as computed in exhibit A attached hereto. 2. That the City Clerk is directed to publish this resolution in a newspaper of general circulation. PASSED, APPROVED AND ADOPTED at a regular meeting of the City Council of the City of Carlsbad held on the 23rd day of June 1981, by the following vote, to wit: AYES: Council Members Packard, Casler, Anear, Lewis and Kulchin 'NOES: None ABSENT: None ^,'0-7^-' RONALD C. PACKARD, Mayor ETHA L. RAUJENKRANZ, City Clerk R. SIEWNS, Deputy City Clerk (SEAL) TABLE I COMPUTATION OF 1981-82 APPROPRIATION LIMIT 1980-81 Appropriation Limit (see-Resolution No. 6592, 6/23/81) June 18,1981 EXHIBIT A (Page 1 of 2) Limit $15,726,673 Inflation Factor: Change in State Per Capita Income =9.12% Population Change =0.45% Factor = Per Capita Income Change X Population Change Factor = 1.0912 X 1.0045 Factor = 1.0961 1981-82 Limit = Factor X 1980-81 Limit 1981-82 Limit = 1.0961 X $15,726,673 $17,238,006 June 18, 1981 EXHIBIT A (Page 2 of 2) Fund General Gas Tax Sanitation Street Lighting Redevelopment Water Bond Debt Service Community Dev. Block Grants Housing Authority TOTAL ALL FUNDS 1981-82 Appropriation Limit Amount 1981-82 Appropriations Below Limit TABLE II Total Appropriations $12,546,107 325,000 679,812 449,500 89,061 1,885,450 142,670 38,280 816,156 $16,972,036 Proceeds Non Proceeds of Taxes of Taxes $10,271,207 $2,274,900 325,000 679,812 449,500 89,061 1,885,450 142,670 38,280 816,156 $10,685,268 $6,286,768 $17,238,006 $ 6,552,738