HomeMy WebLinkAboutCity Council Meeting of 2012-06-12 Agenda Item No.SA3 c of
LALE OLSITIOU
4 DREAM EXTREME
REPORT TO CITY COUNCIL
OF THE CITY OF LAKE ELSINORE, AS SUCCESSOR AGENCY OF THE
REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE
TO: HONORABLE MAYOR
AND MEMBERS OF THE CITY COUNCIL
FROM: JAMES RILEY, DIRECTOR OF ADMINISTRATIVE SERVICES
DATE: JUNE 12, 2012
SUBJECT: SUCCESSOR AGENCY ADMINISTRATIVE BUDGET
Recommendation
Approve the Administrative Budget of the Successor Agency for July through
December 2012.
Discussion
AB X1 26 provides for an administrative allowance to allow a Successor Agency to
wind down the former redevelopment agency and administer the Successor Agency
and Oversight Board. Pursuant to Health & Safety Code Section 34177(j), the
Successor Agency shall prepare an administrative budget and submit it to the
Oversight Board for its approval. The attached proposed administrative budget
includes estimated costs for July 1, 2012 through December 31, 2012.
The administrative budget covers a percentage of city staff and support costs and
other operating costs such as attorney and consultant costs, training and education,
supplies, audit fees, record - keeping costs, and related administrative costs required
to carry out Successor Agency and Oversight Board activities and administration.
The law allows the greater of $250,000 or 3% of the property tax revenues listed on
the ROPS. For fiscal 2012/2013, 3% of the property tax revenues listed on the
ROPS is $314,788.61 so the Successor Agency is entitled to that amount for the
fiscal year. The attached Administrative Budget is for the period July 2012 -
December 2012 and provides for a six -month administrative budget of $157,380.
AGENDA ITEM NO. SA3
Page 1 of 3
Prepared By: Barbara Leibold, City Attorney
James Riley, Director Administrative Services
Approved By: Thomas P. Evans, Interim City Manager
Attachment: Administrative Budget July — December 2012
Page 2 of 3
SUCCESSOR AGENCY OF THE
REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE
ADMINISTRATIVE BUDGET
JULY TO DECEMBER 2012
DESCRIPTION AMOUNT
City Staff Support Costs $ 78,845
Operating Costs:
Professional Services (Legal) 60,000
Professional Services (Other) 10,000
Training & Education 2,000
Office Supplies 6,000
Bank Fees 535
Total Operating Costs 78,535
Total Administrative Budget $ 157,380
The Administrative Budget includes city staff and support costs and other
operating costs required to carry out Successor Agency and Oversight Board
activities and administration.
City Staff Support Costs are detailed in Exhibit No. 1 and include a percentage of
salaries and benefits based upon City staff's performance of the following
Successor Agency activities: weekly staff meetings, preparation of staff reports,
preparation of agendas, preparation of minutes, records management, general
correspondence, attendance at Successor Agency and Oversight Board
meetings, financial management, budgeting and accounts payable, annual
reporting, information technology support, website maintenance, and overall
Successor Agency and Oversight Board management.
Operating Costs include legal services by the Successor Agency Counsel as well
as special counsel services such as bond counsel and tax counsel services on an
as needed basis including performance of the following activities: legal
research /analysis and preparation of staff reports and agendas, attendance at
Successor Agency and Oversight Board meetings, correspondence and
management. Operating Costs also include other professional services such as
investment services and financial consulting services, supplies, training and
education, and bank fees, which include investment administration, investment
services by PFM and other similar services.
Page 3 of 3
6/7/2012,jrr