RDA MINS 19890417 RANCHO PALOS VERDES REDEVELOPMENT AGENCY
BUDGET REVIEW WORKSHOP SESSION
APRIL 17, 1989
M I N U T E S
The meeting was called to order at 6: 10 p.m. by Chairwoman
Bacharach at City Hall Community Room, 30940 Hawthorne Boulevard,
Rancho Palos Verdes, CA 90274.
PRESENT: Member Hughes, Member H inchli f f e, Member McTaggart and
Chairwoman Bacharach
Also present were Executive Director Dennis McDuffie, Finance
Director Kevin Smith and Director of Public Works George Wentz.
Executive Director McDuffie briefly reported on the budget format
and on the format of the budget workshop sessions.
Finance Director Smith presented the following revised pages of
the Redevelopment Agency budget: 103 , 104 , 107, 108, 109 .
Mr . Smith reviewed the Redevelopment Agency budget, and reported
that it is projected to reflect a deficit of $398,420 because of
additional expenses which will be incurred through June 30 , 1989.
Mr. Smith then provided an update of where the Agency currently
stands and where it is anticipated to be at the end of the
current fiscal year. He noted the recommendation for a loan from
the City to the RDA of $122 ,032 , which would offset the deficit
and start the next fiscal year with a zero balance.
Mr. Smith next reviewed the composition of the Portuguese Bend
Landslide budget, including the cost of administering existing
and proposed projects within the RDA. He stated that $311,000 in
tax increment revenues will be obtained in the next fiscal year ,
and that the City Attorney has assured him that these funds will
in fact go to the Agency.
Mr. Smith explained the methodology for calculating the length of
the existence of the Redevelopment Agency, and recommended
maintaining the present Gann limitation. He noted that repayment
of the existing debt does not affect the Gann limit.
In reviewing the expenditure classifications for the Portuguese
Bend Landslide budget, several amendments were proposed by the
i
Agency in order to clarify the figures, which resulted in
modification of the ending fund balance. Specifically, the
General Operation and Maintenance category (Expense Code .84) was
reduced to show that this work will be performed based on funds
available and supplied by the Army Corps of Engineers. The
proposed City loan to the RDA was reduced to $30 ,032.
RDA April 17 , 1989
At this P oint, Chairwoman Bacharach questioned the fact that all
budgeted figures were to the nearest dollar and they matched
expenditures to the nearest dollar .
Executive Director McDuf f ie described the budget request process,
and explained that the Public Works Department has been asked to
prepare three scenarios for the RDA.
Director of Public Works Wentz briefly clarified the definition
in the "Slide Acceleration" category in the budget.
Discussion followed on the type of approach that will be used
toward proposed budgets, and it was agreed that a status quo
approach will be adopted.
The five-year projected expenditures for the Portuguese Bend
landslide were reviewed next. Mr. Smith reported that these
expenditures do not include revenue from projected sources of
revenue that the City may receive over the next five years.
Chairwoman Bacharach requested that the word "extension" be
removed from line item 4 under the "Projects" category on Page
107.
Mr . Smith reported that the Portuguese Bend budget will be
changed to reflect the RDA' s recommendations.
Regarding the Abalone Cove project, Mr . Smith reviewed the budget
appropriation for year ending June 30 , 1990 by line item and
explained the requirement and intent of the Horan Settlement. In
response to Member Hughes' question, he also explained how the
County debt reserves and outstanding debts are budgeted. It was
clarified that property tax increment of $254 ,056 and also a
footnote at Other Revenue stating "These two equal $10 Million"
will be added on Page 110.
Chairwoman Bacharach also requested addition of a notation of
estimated costs on Pages 112-114.
Director of Public Works George Wentz then noted that street
plans under the Horan Settlement will take into consideration the
Watt Project and private streets requiring drainage
rehabilitation.
Mr. Smith reported that the Abalone Cove Shoreline Preserve -
Account Number 835 will be placed in an enterprise account where
it will be listed as an enterprise fund.
Discussion then followed regarding distribution of revenues
generated from the Abalone Cove Shoreline Preserve, which agency
is liable for actions which occur on the preserve, and the scope
and purpose of the Redevelopment Agency in this area. Member
Hughes stressed that the City should separate beach and
recreational programs from physical construction activities.
RDA April 17, 1989
ti- - 2
It was agreed that these issues would be discussed in detail
with the City Attorney at the April 18th meeting. Mr. Dorsey
would also be asked to interpret the recommendation on page
118 to transfer Account Number 001-505 to the Redevelopment
Agency. The staff was requested to clarify what amenities
and improvements which are proposed for Abalone Cove Beach,
particularly in view of the docent program being planned by
the Director of Recreation and Parks.
There being no further business, the meeting of the
Redevelopment Agency was duly adjourned at 8: 20 p.m.
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IFCHAIRWOMAN
ATTEST:
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n r r AL
A E =CY SECRETARY
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-3- RDA APRIL 17 , 1989