HomeMy WebLinkAbout2006/10/24 Item 7
COUNCIL AGENDA STATEMENT
Item:
Meeting Date:
1
10/24/06
"
,
ITEM TITLE:
RESOLUTION NO. APPROVING THE CLOSURE OF
FOUR (4) COMPONENTS OF THE PUBLIC FACILITIES
DEVELOPMENT IMPACT FEE (PFDIF) AND TRANSFERRING FUNDS
THEREFOR.
REVIEWED BY:
Director of BUd7d Analysis W
City Manager ';t
(4/5ths Vote: Yes X No_)
SUBMITTED BY:
In August of 1989, Council adopted an ordinance establishing a series of 'supplemental' impact
fees, After a more comprehensive review of the City's capital needs over the next year, the
Public Facilities Development Impact Fee (PFDIF) program was established in January of 1991,
via Ordinance 2432. The current PFDIF program includes four (4) support system components,
which are now recommended for closure.
RECOMMENDATION: That Council:
Approve the Resolution closing the Telecommunication Systems, Geographic Information
Systems, Computer Systems, and Records Management Systems components of the Public
Facilities Development Impact Fee (PFDIF) by:
. Transferring funds from the Civic Center component to eliminate the deficit balance
of the Geographic Information System component; and
. Transferring funds from the Civic Center component to eliminate the deficit balance
of the Computer Systems component; and
. Transferring funds from the Civic Center component to eliminate the deficit balance
of the Records Management System component; and
. Transferring $15,404 from the Telecommunication Systems component to the
Program Administration component; and
. Transferring the remaining fund balance of the Telecommunication Systems
component to the Civic Center component.
BOARDS/COMMISSIONS RECOMMENDATION: Not applicable.
DISCUSSION:
The purpose of the Public Facilities Development Impact Fee (PFDIF) is mitigation of the
cumulative burden on public facilities placed by new development. The public facilities financed
by the PFDIF include the following eleven (11) components:
1. Civic Center Expansion
2. Police Facilities and Equipment
3. Corporation Yard Relocation
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5.
6.
7.
8.
9.
10.
11.
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Meeting Date: 10/24/06
Libraries
Fire Suppression System
Geographic Information System (GIS)
Computer Systems
Telecommunications Systems
Records Management System
Administration
Major Recreation Facilities
.'
.
Of these components, the following four (4) program components are now recommended for
closure:
1. Geographic Imaging System (GIS)
2. Computer Systems
3. Telecommunication Systems
4. Records Management System
These components are not associated with the construction of large facilities, but are instead
responsible for the acquisition of various support systems. These systems have been acquired
and are currently in use by the City. As a result, this update recommends that no additional
projects be created, no additional fees be collected, and subsequently, that all four funds be
closed effective July 1, 2006.
This closure has no impact on development's overall PFDIF fee obligation. This action simply
recognizes that no additional projects will be required for these support system components.
Closure of these components simplifies fee calculation, fund accounting, annual reporting, and
other program administration activities.
These transfers are reflected in the "Public Facilities Development Impact Fee, March 2006
Update" fee structure, which will be the subject of a Public Hearing this evening.
ENVIRONMENTAL REVIEW
The Environmental Review Coordinator has reviewed the proposed activity for compliance with
the California Environmental Quality Act (CEQA) and has determined that the activity is not a
"Project" as defined under Section 15378 of the State CEQA Guidelines because it will not
result in a physical change in the environment; therefore, pursuant to Section 15060(c)(3) of the
State CEQA Guidelines the activity is not subject to CEQA. Thus, no environmental review is
necessary .
DECISION MAKER CONFLICTS:
Staff has reviewed the property holdings of the City Council and has found a conflict exists, in
that Council member Jerry Rindone has property holdings within 500 feet of the boundaries of
the property which is the subject of this action.
FISCAL IMPACT:
In order to finalize the closure of these four components, a number of transfers are necessary.
The required transfers are as follows:
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Page 3, Item:
Meeting Date:
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1 0/24/06
. Transfer of $15,404 from the available balance of the Telecommunication Systems
component to the Program Administration component of the PFDIF.
. Transfer of funds from the available balance of the Telecommunication and Civic Center
components to eliminate the deficit balances of the Geographic Information Systems,
Computer Systems, and Records Management Systems components of the PFDIF.
The transfer of $15,404 from the Telecommunications Systetm component to the Program
Administration component will be offset by a transferred future debt service obligation,
associated with the City's Fiscal Accounting System. There is no net impact to the Program
Administration component as a result of these actions.
The final balance of each component to be eliminated will not be known until completion of the
City's annual financial audit. Effective July 1, 2006 these funds were closed to all transactions.
Following completion of the final audit, and identification of the final balances, the funds will be
closed per the above-described transfers.
These transfers are reflected in the "Public Facilities Development Impact Fee, March 2006
Update" fee calculations.
There is no General fund impact as a result of this action.
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RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CHULA VISTA APPROVING THE CLOSURE OF FOUR
(4) COMPONENTS OF THE PUBLIC FACILITIES
DEVELOPMENT IMPACT FEE (PFDIF) AND
TRANSFERRING FUNDS THEREFOR.
.,
,
WHEREAS, the Public Facilities Development Impact Fee (PFDIF) is currently
composed of ten (10) facility based components, as well as a program administration
component; and
WHEREAS, all planned acquisitions included in four (4) of the components have been
completed and no future projects are anticipated, including the Geographic Information
Systems component, the Computer Systems Expansion component, the
Telecommunications System component, and the Records Management System
component; and
WHEREAS, it is appropriate to cease collecting fees for these facilities and close their
respective funds; and
WHEREAS, the Geographic Information System, Computer System, and Records
Management System components are estimated to have a deficit balance as of the end
of fiscal year 2006; and
WHEREAS, it is necessary to transfer funds from other PFDIF components to eliminate
these deficit balances; and
WHEREAS, per Chula Vista Municipal code Section 3.50.110, the Finance Director is
authorized to establish a single fund for the various components, and to periodically
make expenditures from the fund for the purposes set forth in Chapter 3.50 of the Chula
Vista Municipal Code; and
WHEREAS, the Telecommunications System component is estimated to have a positive
fund balance as of the end of fiscal year 2006, and these funds may be used to eliminate
the above described deficit balances; and
WHEREAS, there is a remaining debt service obligation of the Computer System
component which will now be transferred to the Program Administration component; and
WHEREAS, it is necessary to transferfunds from the Telecommunications component to
the Program Administration component to offset the impact of the debt service obligation
transfer; and
WHEREAS, the remaining deficit balance of the components to be ciosed will be
eliminated using available funds from the Civic Center Expansion component; and
WHEREAS, the Environmental Review Coordinator has reviewed the proposed activity
for compliance with the California Environmental Quality Act (CEQA) and has
determined that the activity is not a "Projecf' as defined under Section 15378 of the
State CEQA Guidelines because it will not result in a physical change in the
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environment; therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines
the activity is not subject to CEQA.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista
does hereby approve the closure of the Telecommunication Systems, Geographic
Information Systems, Computer Systems, and Records Management Systems
components of the Public Facilities Development Impact'F~ (PFDIF).
NOW THEREFORE, BE IT FURTHER RESOLVED that the City Council of the City Of
Chula Vista does hereby approve the transfer of funds from the Civic Center component
to eliminate the deficit balance of the Geographic Information System component; the
transfer of funds from the Civic Center component to eliminate the deficit balance of the
Computer Systems component; the transfer of funds from the Civic Center component to
eliminate the deficit balance of the Records Management System component; the
transfer of $15,404 from the Telecommunication Systems component to the Program
Administration component; and the transfer of the remaining fund balance of the
Telecommunication Systems component to the Civic Center component of the Public
Facilities Development Impact Fee (PFDIF).
Presented by
Approved as to form by
Edward Van Eenoo
Director of Budget & Analysis
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