Loading...
RPVCCA_IA_SR_2013_03_05_03_FY11-12_IA_Mid-Year_Financial_ReportCITY OF MEMORANDUM RANCHO PALOS VERDES TO: FROM: DATE: SUBJECT: REVIEWED: Project Manager: HONORABLE CHAIR &COMMISSION MEMBE~ DENNIS McLEAN,DIRECTOR OF FINANCE &@; INFORMATION TECHNOLOGY MARCH 5,2013 FY12-13 IMPROVEMENT AUTHORITY MIDYEAR FINANCIAL REPORT CAROLYN LEHR,CHIEF ADMINISTRATIVE OFFICER ~ Kathryn Downs,Deputy Director of Finance &Information Technology RECOMMENDATION Receive and file the attached midyear financial report. BACKGROUND On September 4,1990,the City Council approved a Joint Powers Agreement between the City and Redevelopment Agency (the Agency).The Agreement requires separate accounting of repair and maintenance activities of the improvements constructed (i.e.de- watering wells)within the Abalone Cove and Portuguese Bend landslide project areas. While the improvements were under construction,repair and maintenance expenditures were budgeted and accounted for by both the Agency and the City,"Beginning in FY97-98 the accounting for the activities of the Authority was separated from the City and Agency. Since that time an operating budget has been adopted annually by the Improvement Authority Commission. The Improvement Authority is separated into two funds -the Abalone Cove Maintenance Fund and the Portuguese Bend Maintenance Fund.In accordance with the Reimbursement and Settlement Agreement (Horan Agreement),the repair and maintenance costs associated with the Abalone Cove landslide improvements are recorded in the Abalone Cove Maintenance Fund and are paid from the accumulated interest earned on $1,000,000 of County bond proceeds received in 1991.Annual transfers from the City's General fund are required to finance the repair and maintenance expenditures for Portuguese Bend landslide abatement improvements accounted for in the IA 3-1 CITY OF MEMORANDUM RANCHO PALOS VERDES TO: FROM: DATE: SUBJECT: REVIEWED: Project Manager: HONORABLE CHAIR &COMMISSION MEMBE~ DENNIS McLEAN,DIRECTOR OF FINANCE &@; INFORMATION TECHNOLOGY MARCH 5,2013 FY12-13 IMPROVEMENT AUTHORITY MIDYEAR FINANCIAL REPORT CAROLYN LEHR,CHIEF ADMINISTRATIVE OFFICER ~ Kathryn Downs,Deputy Director of Finance &Information Technology RECOMMENDATION Receive and file the attached midyear financial report. BACKGROUND On September 4,1990,the City Council approved a Joint Powers Agreement between the City and Redevelopment Agency (the Agency).The Agreement requires separate accounting of repair and maintenance activities of the improvements constructed (i.e.de- watering wells)within the Abalone Cove and Portuguese Bend landslide project areas. While the improvements were under construction,repair and maintenance expenditures were budgeted and accounted for by both the Agency and the City,"Beginning in FY97-98 the accounting for the activities of the Authority was separated from the City and Agency. Since that time an operating budget has been adopted annually by the Improvement Authority Commission. The Improvement Authority is separated into two funds -the Abalone Cove Maintenance Fund and the Portuguese Bend Maintenance Fund.In accordance with the Reimbursement and Settlement Agreement (Horan Agreement),the repair and maintenance costs associated with the Abalone Cove landslide improvements are recorded in the Abalone Cove Maintenance Fund and are paid from the accumulated interest earned on $1,000,000 of County bond proceeds received in 1991.Annual transfers from the City's General fund are required to finance the repair and maintenance expenditures for Portuguese Bend landslide abatement improvements accounted for in the FY12·13 Improvement Authority Midyear Financial Report March 5,2013 Page 2 of2 Portuguese Bend Maintenance Fund. DISCUSSION Fund Summary Portuguese Bend Fund At this time,revenue,expenditures and operating transfers are not expected to materially deviate from the budgeted amounts for FY12-13.The remaining fund balance will be used to finance repair and maintenance activities in future periods.The only funding source for this maintenance fund is an annual General fund subsidy. Abalone Cove Fund With one exception discussed below,revenue,expenditures and operating transfers are not expected to materially deviate from the budgeted amounts for FY11-12.The remaining fund balance will be used to finance repair and maintenance activities in future periods. The primary funding source for this maintenance fund is the interest revenue earned on the non-spendable $1,000,000 of County bond proceeds noted above. In FY1 0-11,the Improvement Authority budget included a $60,000 contribution to the Abalone Cove Landslide Abatement District (ACLAD).The ACLAD project was completed and invoices were submitted to the Improvement Authority in accordance the maintenance agreement with ACLAD.Staff requests an adjustment to re-budget the FY10-11 contribution of $60,000 which was not carried forward.If the Improvement Authority Commission adopts the attached resolution,the revised estimated fund balance at June 30,2013 for the Abalone Cove fund will be $1,098,814.As the spendable portion of the Abalone Cove fund balance can no longer bear annual contributions to ACLAD,no future contributions have been budgeted at this time.. IA 3-2 FY12·13 Improvement Authority Midyear Financial Report March 5,2013 Page 2 of2 Portuguese Bend Maintenance Fund. DISCUSSION Fund Summary Portuguese Bend Fund At this time,revenue,expenditures and operating transfers are not expected to materially deviate from the budgeted amounts for FY12-13.The remaining fund balance will be used to finance repair and maintenance activities in future periods.The only funding source for this maintenance fund is an annual General fund subsidy. Abalone Cove Fund With one exception discussed below,revenue,expenditures and operating transfers are not expected to materially deviate from the budgeted amounts for FY11-12.The remaining fund balance will be used to finance repair and maintenance activities in future periods. The primary funding source for this maintenance fund is the interest revenue earned on the non-spendable $1,000,000 of County bond proceeds noted above. In FY1 0-11,the Improvement Authority budget included a $60,000 contribution to the Abalone Cove Landslide Abatement District (ACLAD).The ACLAD project was completed and invoices were submitted to the Improvement Authority in accordance the maintenance agreement with ACLAD.Staff requests an adjustment to re-budget the FY10-11 contribution of $60,000 which was not carried forward.If the Improvement Authority Commission adopts the attached resolution,the revised estimated fund balance at June 30,2013 for the Abalone Cove fund will be $1,098,814.As the spendable portion of the Abalone Cove fund balance can no longer bear annual contributions to ACLAD,no future contributions have been budgeted at this time.. RESOLUTION NO.IA 2013- A RESOLUTION OF THE RANCHO PALOS VERDES JOINT POWERS IMPROVEMENT AUTHORITY AMENDING THE OPERATING BUDGET FOR FISCAL YEAR 2012-2013 WHEREAS,on July 3,2012,the Commission of the Rancho Palos Verdes Joint Powers Improvement Authority adopted Resolution No.IA 2012-08,adopting the operating budget for FY12-13; WHEREAS,the Commission of the Rancho Palos Verdes Joint Powers Improvement Authority desires to provide for a FY1 0-11 contribution to the Abalone Cove Landslide Abatement District (ACLAD)that was appropriated,but not continued to FY12- 13; WHEREAS,ACLAD has completed the project and submitted invoices to the Improvement Authority in accordance with the agreement between ACLAD and the Improvement Authority dated May 2,2000; NOW,THEREFORE,BE IT RESOLVED,THAT THE COMMISSION OF THE RANCHO PALOS VERDES JOINT POWERS IMPROVEMENT AUTHORITY DOES HEREBY ADOPT THE FOLLOWING AMENDMENT TO THE FY12-13 OPERATING AND CAPITAL BUDGET. Improvement Authority Abalone Cove 795-3089-431-43-00 Maintenance $60,000 PASSED,APPROVED,and ADOPTED the 5th day of March 2013. AUTHORITY CHAIRPERSON ATTEST: AUTHORITY SECRETARY State of California ) County of Los Angeles ) City of Rancho Palos Verdes ) Resolution No.IA 2013- Page 1 of 2 IA 3-3 RESOLUTION NO.IA 2013- A RESOLUTION OF THE RANCHO PALOS VERDES JOINT POWERS IMPROVEMENT AUTHORITY AMENDING THE OPERATING BUDGET FOR FISCAL YEAR 2012-2013 WHEREAS,on July 3,2012,the Commission of the Rancho Palos Verdes Joint Powers Improvement Authority adopted Resolution No.IA 2012-08,adopting the operating budget for FY12-13; WHEREAS,the Commission of the Rancho Palos Verdes Joint Powers Improvement Authority desires to provide for a FY1 0-11 contribution to the Abalone Cove Landslide Abatement District (ACLAD)that was appropriated,but not continued to FY12- 13; WHEREAS,ACLAD has completed the project and submitted invoices to the Improvement Authority in accordance with the agreement between ACLAD and the Improvement Authority dated May 2,2000; NOW,THEREFORE,BE IT RESOLVED,THAT THE COMMISSION OF THE RANCHO PALOS VERDES JOINT POWERS IMPROVEMENT AUTHORITY DOES HEREBY ADOPT THE FOLLOWING AMENDMENT TO THE FY12-13 OPERATING AND CAPITAL BUDGET. Improvement Authority Abalone Cove 795-3089-431-43-00 Maintenance $60,000 PASSED,APPROVED,and ADOPTED the 5th day of March 2013. AUTHORITY CHAIRPERSON ATTEST: AUTHORITY SECRETARY State of California ) County of Los Angeles ) City of Rancho Palos Verdes ) Resolution No.IA 2013- Page 1 of 2 I,CARLA MORREALE,Authority Secretary of the Rancho Palos Verdes Joint Powers Improvement Authority,hereby certify that the above Resolution No.IA 2013-was duly and regularly passed and adopted by the said Joint Powers Improvement Authority at regular meeting thereof held on March 5,2013. AUTHORITY SECRETARY Resolution No.IA 2013- Page 2 of 2 IA 3-4 I,CARLA MORREALE,Authority Secretary of the Rancho Palos Verdes Joint Powers Improvement Authority,hereby certify that the above Resolution No.IA 2013-was duly and regularly passed and adopted by the said Joint Powers Improvement Authority at regular meeting thereof held on March 5,2013. AUTHORITY SECRETARY Resolution No.IA 2013- Page 2 of 2