HomeMy WebLinkAboutAgenda Statement 1986/06/17 Item 9 COUNCIL AGENDA STATEMENT
Ltem 9
r
Meeting Date 6/17/86
• ITEM TITLE: Public Hearing - Establishing an appropriations limit for
fiscal year ending June 30, 1987
Resolution 1a 5c ( Adopting an appropriations-limit for fiscal
year ending June 30, 1987
SUBMITTED BY: Director of Finance,
REVIEWED BY: City Manager ,j& & Lt-� (4/5ths Vote: Yes No X )
Government Code Section 7910 requires each local government to establish its
Gann (Article XIIIB of the California Constitution) appropriations limit by
resolution each year at a regularly scheduled meeting or noticed special
meeting.
RECOMMENDATION: That the City Council adopt a resolution establishing an
appropriations limit of $34,654,360 for the 1986/87 fiscal year.
BOARDS/COMMISSIONS RECOMMENDATION: Not applicable.
DISCUSSION:
Article XIIIB of the California Constitution specifies that appropriations
financed from "Proceeds of Taxes" may increase annually by the change in
population of the city and the change in the U. S. Consumer Price Index or
California per capita personal income, whichever is less. The CPI increased
by 2.3% while personal income rose 4.1%. Therefore, the CPI factor is used.
"Proceeds of Taxes" includes such revenues as property taxes, sales and use
taxes, utility users taxes, transient occupancy taxes, and state subventions.
Revenues from other sources like fees/charges and federal grants are
considered "Non-Proceeds of Taxes" and not subject to limit.
The State Department of Finance is charged with providing the data necessary
for local jurisdictions to establish their appropriation limit. Based on this
data, the 1986-87 appropriation limit has been calculated as follows:
Fiscal Year 1985-86 Appropriation Limit $26,351 ,793
Increase by the March to March U. S. All x 1 .023 (2.3%)
Consumer Price Index (CPI)
Increase by the Population Change in Chula
Vista from January 1 , 1985, to January 1 , 1986 x 1 .2855 (28.55%)
FISCAL YEAR 1986-87 APPROPRIATIONS LIMIT $34,654,360
mostly significant d due increase l annexed population area and 90,487 reflected 116,325 or +28.55% is the substantial
mostly due to the newly
increase in the appropriations limit for FY 1986-87.
FISCAL IMPACT: The "Proceeds 61 of Taxes"
or FY 1986-g7ectChula Vista phasra comfortable
appropriation are estimated to be $24,812,161
appropriation "gap" of $9,842,199.
RPF:vt/WPC 0080G
by t, di City Council of
Chula Vista, California
Dated cc' /