HomeMy WebLinkAboutPCDC Resolution 2003-03 03/24/2003
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RESOLUTION 2003-03
~'ETALUMA COMMUNITY DEVELOPMENT C®MMISSION
APPR®VING ADJUSTMENTS 'T® FY 2002-03 PCDC DUDGET
WHEREAS, on March 24, 2003, the Petaluma Community Development Commission
held a public meeting and considered amid-year financial report on the FY 2002-03 PCDC
Budget; and
WHEREAS, the Commission considered various adjustments to the budget and
requested that changes be reflected in certain line-items with the intention of having the budget
reflect current financial conditions.
NOW, THEREFORE, BE IT RESOLVED that the Petaluma Community
Development Commission hereby approves and adopts adjustments to FY 2002-03 PCDC
Budget, attached hereto as Exhibit A and referred to as Attachment II in the FY 2002-03 PCDC
Mid-Year Financial Forecast Staff Report as amended.
BE IT FURTHER RESOLVED that the Petaluma Community Development
Commission hereby authorizes a Transfer Out of $1,511,200 from to the Low & Moderate
Income Housing Fund (903) as a loan to the Housing In-Lieu Fund (211) to fund the following
programs:
o Rental Assistance Program (PPSC): $1.24,800
® Family Shelter Program (COTS): $240,000
Homeless Singles Program (COTS): $312,000
• Op Center Facility (UST): $258,000
® Transitional Housing/Path (SARMY): $ 60,000
o Emmaus House (COTS): $312,900
o Supportive Shared Housing (COTS): $ 7,500
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Resolution 2003-03
® Boys & Girls Club: $136,000
® Rebuilding Together: $ 60,000
Subtotal: $1,511,200
Adopted this 24th day of March, 2003 by the following vote:
Com><nissioner Aye No Absent
Canevaro X
Chair Glass X
Harris X
Healy X
Moynihan X
Vice Chair O'Brien X
Torliatt X - -
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_ David-Gh Chair
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ATTEST: ~P S TO ORM:
Ga e Pet en, Recording Secretary Rich Rudnans~Cy, City ttorn y
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Resolution 2003-03
Exhibit A
fY 2002-03 PCDC Mid-Year Financial forecast
The following details the proposed changes to the Petaluma Community Development
Commission FY 2002-03 Budget originally adopted on June 27, 2002. The changes are reflected
in the budget detail worksheets in Attaclunent II.
Central Business District Project Area Fund (901):
• FY 2002-03 Beginning Fund Balance & Reserve: After the completion of the annual
audit, the FY 2002-03 Beginning Fund Balance was -$984,585 and the Beginning
Reserve for FY 2002-03 was zero.
® Property Taxes: Property Taxes are accruing at a lower rate than originally anticipated.
The year-end projection assumes $177,500 less than the adopted budget of $806,500.
The original forecast relied on the revenue projections made by Seifel Consulting as part
of their work on the CBD Plan Amendment. Seifel assumed that more development
would have occurred in the CBD.
• Interest Earnings: Earnings are projected to increase by +$3,500 from $1,500 to $5,000.
• Parking Lot Revenue: Revenues are reduced by $60,000 to a total of $20,000 to reflect
the April start-up date for the new Keller Street Garage. Similarly, appropriations were
reduced by $30,000 reflect this change.
• Project Administration: An additional $21,000 has been added to an adopted budget of
$280,900 to account for additional charges for Information Services and the need for
equipment for new redevelopment project managers.
® Bassett Street Remodel: An additional $10,000 has been added to the budget to account
for a portion of office renovation for new redevelopment project managers at Bassett
Street.
• .Seifel Consulting: An appropriation of $3,000 is included so that base year calculations
by the County Assessor can be verified in connection with the expansion of the CBD
Project Area tax revenue.
• Indirect Costs: No change.
® SB-2557 Collection Fees: Fees will decrease by $9,850 due to the reduced property tax
collection.
• Keller Street Garage Equipment Maintenance & Security: Appropriations are reduced by
-$30,000 to reflect fewer hours for security patrol, beginning the last four months of the
fiscal year, for a total cost of $50,000.
• Keller Street Garage, Phase II: An increase of $20,000 is proposed pursuant to PCDC
direction to install surveillance cameras to enhance safety and security in the parking
structure. This is in addition to an increase of $78,500 approved by the PCDC when the
construction bid was awarded.
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Resolution 2003-03
• Downtown Improvements: The approved budget contained $440,000 for engineering and
architectural design. Subsequently, the PCDC directed that additional street
improvements be undertaken. Therefore, an additional $150,000 must be appropriated to
perform engineering on downtown streets.
• Central Petaluma Specific Plan: $93,600 in additional funding is required to complete
the Plan; including consulting assistance on Traffic/Circulation, Smart Codes, and EIR.
• Petaluma Railroad Depot Restoration: $300,000 has been reduced from the budget,
leaving a total of .$250,000 in the budget for emergency repairs to the roof, windows and
stucco; sealing the structures with a primer coat.
• Riverwalk Improvements: $90,000 in additional funding is included per PCDC direction
to augment architectural services provided by CSW with ZAC. These funds provide for
an expanded public review process beyond what was originally budgeted.
• Storefront Improvement Loan Program: The program is beginning implementation and it
is anticipated that $200,000 less funding is required this year, for a remaining total of
$100,000.
• Transfer-Out to the Housing Fund: A reduction of -$35,500 is allocated to the Low &
Moderate Income Housing Fund (903) due to a smaller increase in tax revenue. (20% of
the property tax amount for the fund is transferred to fund 903.)
• Transfer-Out to Debt Service: A reduction of -$3,100 is included in the transfer out to
debt service.
• Interfund Loan: Aline item is reflected in the budget to account for the loan from the
PCD Project Area Fund 902.. The loan is higher than originally budgeted by $1,106,235
for a total loan of $3,835,535, primarily due to lower revenue from property tax
increment, coverage of the negative fund balance as a loan, and increased expenditures
associated with capital projects.
Community Development Project Area (902):
• Beginning Available Fund Balance/Reserves for Projects: A reduction in beginning fund
balance of $2,619,793 is included in the Adjusted Budget as per the. FY 2001-02 Audit.
• Property Tax Increment: Figures provided by the County of Sonoma reflect a 6°l0
increase in property tax increment to the project area over-the prior year actual. This is.
an increase of $591,924 from $9,787,076 to $10,379,000. However, the revised estimate
is -$1,251,800 less than FY 2002-03 adopted figure.
• Interest Earnings: Interest earnings are reduced by $252,000 to reflect a lower beginning
fund balance, to a total of $300,000.
• Project Administration: An additional $15,650 has been added to an appropriation of
$264,500 to account for costs associated with facilities and equipment for new
redevelopment project managers.
• Bassett Street Remodel: An additional $10,000 has been added to the budget to account
for a portion of office renovation for new redevelopment project managers at Bassett
Street.
• SB 2557 Collection Fee: The fee is estimated to decrease by - $87,600 based on reduced
property tax collection. (This fee is calculated as a % of property tax allocations.)
• General Plan Administration: No Change
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Resolution 2003-03
• AB 1768 ERAF Shift to State: Based on AB 1768, $250,200 has been shifted to the state
to help offset the State budget deficit.
• Real Property Purchase: $250,000 is deleted for the purchase of 27 Howard from the
General Fund and is deferred. Indirect Costs: No change.
• URM Project: A recent analysis of the URM program revealed that no buildings in the
project area are due for the next stage of retrofits unti12012. Accordingly, a reduction of
$78,000 was made, leaving only $2,000 in the account.
• Gateway Landscape Improvements:' $150,000 has been reduced from the line-item
leaving $50,000 for landscape architectural planning for the remaining fiscal year.
• Auto Plaza Project: $6,000 is allocated in order to perform a major clean-up of the site.
• Passthrough Payments to Others: Approximately 34% of Tax Increment is passed
through to other taxing agencies. As the tax increment increases, the amount of
passthrough also increases. Based on the County's latest property tax figures, a reduction
of -$657,200 is included for a total line-item appropriation of $3,285,600.
• Transfer Out to Low/Moderate Income Housing Fund: A reduction of -$250,400 is
included in the Adjusted Budget for a total transfer of $2,075,800. This is due to lower
than anticipated tax increment.
• Transfer Out to Debt Service Fund: A reduction of -$113,200 is included. to reflect the
impact of accelerated payments on the Benson Note.
• Transfer Out to Storm Drain Mitigation Fund (210): Due to the US Army Corps of
Engineers' dredging of the Turning Basin, $100,000 originally appropriated for this
purpose is deleted.
• Interfund Loan to CBD Fund 901: The loan amount projected by the end of the fiscal
year is $3,835,535.
Low & Moderate Income Housing Fund (903):
• FY 2002-03 Beginning Fund Balance/Reserve for Projects: Subsequent to the annual
audit, the Beginning Balance/Project Reserve combined was $382,614, a decrease of -
$6,197,524. This is due to an error in estimating the Beginning Fund Balance. The
figure used included the entire fund balance rather than just the undesignated fund
balance. The mid-year adjusted budget corrects this error.
• Mobile Home Rent Control Revenue: An additional $3,600 is anticipated.
• Investment Income: This line item is reduced by $153,200 to account for a smaller fund
balance to invest in combination with lower interest rates.
• Charges for Services: An additional $12,200 is anticipated.
• Other Revenue: A reduction of -$1,507,800 for the "First Time Home Buyer" program
is included as the funds the program are now included in the Housing In Lieu Fund.
• Transfers In From PCD Project Area Funds: Transfers are reduced by -$285,900 due to
lower property tax increment than originally budgeted. (20% of the tax increment from
the PCD and CBD project areas is transferred to this fund.)
• Transfer Out to Housing In Lieu Fund (211): $1,511,200 is loaned to support the
following programs:
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Resolution 2003-03
1. Rental Assistance Program (PPSC): -$124,800
2. Family Shelter Program (COTS): -$240,000
3. Homeless Shelter/Ops Center (COTS): -$312,000
4. Ops Center Facility (COTS): -$258,000
5. Transitional Housing/Path (SARMY): - $ 60,000
6. Emmaus House (COTS): -$312,900
7. Supportive Shared Housing (COTS): 7,500
8. Boys & Girls Club: -$136,000
9. Rebuilding Together: 60,000
Subtotal: -$1,511,200
® Mary Isaac Center: -$1 million in fimding for the project has been deferred until future
consideration.
® Cedar Grove (PEP): Funding is reduced by -$495,000 and reallocated in later fiscal years.
® Mobile Home Rent Control: An additional $200 is appropriated to cover the cost of the
legal expenses. This is offset by a charge to a reserve fund..
® The Boulevard/Buckelew Programs: $200,000 will be reduced and carried over to the
following fiscal year. The proposed site is adjacent to the Police Department.
® Senior Housing Rehab (PEP): The PCDC approved $300,700 in additional funding to
PEP in January to rehab aging low income housing units.
® Vietnam Vets of CA: Funding is reduced by $25,000 as these funds will be carried over
for expenditure next year.
® Mortgage Certificate Program: $7,500 in funding for this program has been deleted as no
funds are going to be expended this fiscal year.
® Real Property Purchase: $250,000 has been deleted from this fund as the purchase of the
property is deferred.
o SB 2557 County Collection Fee: The Housing Fund has been allocated a share of the
collection costs and administration by the County for an increase of $45,600.
® Housing Projects Management: An increase of $4,600 is included to reflect more
current costs.
Debt Service Fund (904):
® FY 2002-03 Beginning Debt Service Reserve: The beginning reserve has been increased
by $781,974 to a total of $880,785.
® Transfers In & Debt Service Payments: No significant changes.
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Resolution 2003-03