HomeMy WebLinkAbout18-43 CC Resolution RESOLUTION NO. 18-43
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
TEMECULA ESTABLISHING THE APPROPRIATIONS
LIMIT FOR FY 2018-19
THE CITY COUNCIL OF THE CITY OF TEMECULA DOES HEREBY RESOLVE
AS FOLLOWS:
Section 1. The Appropriations Limit will be calculated based on the changes in
City population and California per capita personal income.
Section 2. The Appropriations Limit for the City of Temecula for FY 2018-19,
attached hereto, is hereby adopted.
Section 3. The City Clerk shall certify to the adoption of this resolution and shall
cause a certified resolution to be filed in the office of the City Clerk.
PASSED, APPROVED, AND ADOPTED by the City Council of the City of
Temecula this 12th day of June 2018.
Matt Rahn, Mayor
ATTEST:
Ran i Joh , i y Clerk
[SEAL]
Resos 18-43 1
STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss
CITY OF TEMECULA )
I, Randi Johl, City Clerk of the City of Temecula, do hereby certify that the
foregoing Resolution No. 18-43 was duly and regularly adopted by the City Council of the
City of Temecula at a meeting thereof held on the 12th day of June, 2018, by the following
vote:
AYES: 5 COUNCIL MEMBERS: Comerchero, Edwards, Naggar,
Stewart, Rahn
NOES: 0 COUNCIL MEMBERS: None
ABSTAIN: 0 COUNCIL MEMBERS: None
ABSENT: 0 COUNCIL MEMBERS: None
Randi Johl, City Clerk
Resos 18-43 2
City of Temecula
,.r Fiscal Year 2018-19
` Annual Operating Budget
GANN APPROPRIATIONS LIMIT
Article XIIIB of the California State Constitution, more commonly referred to as the Gann Initiative or Gann
Limit, was approved by California voters in November 1979, and placed limits on the amount of proceeds of
taxes that state and local government agencies can receive and spend each year. For cities that incorporated
after 1978-79 (such as the City of Temecula), the voters set the initial appropriations limit at the time of
incorporation. Proposition 111 was approved by California voters in June 1990, which provided new
adjustment formulas which make the appropriations limit more responsive to local growth issues. Each year
the City Council must adopt by resolution the appropriations limit for the following year. Following is the
calculation of the City's Gann Appropriations Limit for Fiscal Year 2018-19:
Fiscal Year 2017-18 Appropriations Limits...................................................................$260,138,176
CityPopulation Growth ............................................................................................................1.02%
Per Capita Personal Income Change.........................................................................................3.67%
Fiscal Year 2018-19 Appropriations Limit.................................................................... ...$272,442,712
Appropriations subject to the limit in the Fiscal Year 2018-19 Budget total $73,007,313 which is $199,435,399
less than the computed limit. Additional appropriations to the budget funded by non-tax sources such as
service charges, restricted revenues from other agencies, grants or beginning fund balances would be
unaffected by the appropriations limit. However, any supplemental appropriations funded through increased
tax sources would be subject to the appropriations limit and could not exceed the $199,435,399 variance
indicated. Further, any overall actual receipts from tax sources greater than $199,435,399 from budget
estimates will result in proceeds from taxes in excess of the City's appropriations limit, requiring refunds of the
excess within the next two fiscal years or voter approval of an increase in the City's appropriations limit. Voter
approval for an increase in the City's appropriations limit is not anticipated in the future due to the margin
between the limit and tax revenue.
NN Appropriations Limit
300,000,000
250,000,000
i
200,000,000 -- -- —
150,000,000 -- -- —
100,000,000
50,000,000 --
■ ■
2013-14 2014-15 2015-16 2016-17 2017-18 2018-19
■Appropriations Subject to Limit Legal Limit
Annual Operating Budget