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HomeMy Public PortalAbout2013.144 (11-05-13) RESOLUTION NO. 2013.144 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LYNWOOD AUTHORIZING THE FOLLOWING FY2013-2014 MID-YEAR BUDGET ADJUSTMENTS: AUTHORIZATION FOR THE WATER ENTERPRISE FUND TO REPAY T H E GENERAL RETIREMENT SPECIAL REVENUE FUND $2,072,739 FOR RETIREMENT PAYMENTS MADE ON BEHALF OF THE WATER ENTERPRISE FUND EMPLOYEES; AUTHORIZATION FOR THE GENERAL RETIREMENT FUND TO PAY $1,549,002 TO THE GENERAL FUND FOR RETIREMENT BENEFITS OF GENERAL FUND EMPLOYEES; AUTHORIZATION FOR THE USE OF ONE-TIME REVENUES OF $878,539 FROM THE GENERAL FUND BALANCE; AND AUTHORIZATION FOR A GENERAL FUND TRANSFER OF $2,427,541 TO ELIMINATE THE CUMULATIVE ACCOUNTING FUND DEFICITS OF $121,0541N THE TRAFFIC SAFETY SPECIAL REVENUE FUND; $488,974 IN THE STREET LIGHTING MAINTENANCE SPECIAL REVENUE FUND, $1,592,431 IN THE PARK REPLACEMENT CAPITAL PROJECTS FUND (HAM PARK CONSTRUCTION PROJECT) AND $225,082 IN THE EMPLOYEE'S SELF-INSURANCE INTERNAL SERVICE FUND WHEREAS, the City operates a General Retirement Special Revenue Fund to account for a general property tax levy collected for employee retirement contributions; and WHEREAS, from FY1998 through FY2008, the General Retirement Special Revenue Fund transferred a total of $2,072,739 to the Water Enterprise Fund for Water Enterprise Fund employees' retirement costs that should have been paid by the Water Enterprise Fund; and WHEREAS, the Water Enterprise Fund should repay the General Retirement Special Revenue Fund for the ,retirement costs of Water Enterprise Fund employees; and WHEREAS, the General Fund paid $1,549,002 for retirement benefits from FY2008 through FY2013; and WHEREAS, these costs were eligible to be funded from th e General Retirement Special Revenue Fund and the City Council desires the General Retirement Special Revenue Fund to repay the General Fund; and WHEREAS, over the past 20 years City Councils and administrations allowed several City Accounting Funds to run annual deficits that currently total $2,427,541 including $121,054 in the Traffic Safety Special Revenue Fund, $488,974 in the Street Lighting Maintenance Special Revenue Fund, $1,592,431 in the Park Replacement Capital Projects Fund for the construction of Ham Park and $225,082 in the employees' Self-Insurance Internal Service Fund; and • WHEREAS, the City Council desires to increase transparency and eliminate all of the accumulated deficits in the City's Capital Project, Internal Service and Special Revenue Funds. NOW, THEREFORE THE CITY COUNCIL OF THE CITY OF LYNWOOD DOES HEREBY FIND, DETERMINE, ORDER AND RESOLVE AS FOLLOWS: Section 1, The City Council of the City of Lynwood here by takes the following actions to adjust the FY201•4 Budget: • • Authorizes the Water Enterprise Fund to repay the General Retirement Special Revenue Fund $2,072,739 for retirement payments made by the G eneral Retirement Special Revenue Fund on behalf of Water Enterprise Fund employees from FY1998 through FY2008. • Authorizes the General Retirement Special Revenue Fund to pay $1,549,002 to the General Fund for retirement benefits of General Fund employees from FY2008 to FY2013. • Authorizes the use of one-time revenues from the Ge neral Fund balance from a FY2013 one-time asset distribution of $386,187 from the dissolution of the Lynwood Redevelopment Agency and a one-time distribution of $562,911 in Property Tax Administrative Fees (PTAF) as part of a settlement in the Alhambra et.al. v. Los Angeles County court case. • Authorizes a transfer of $2,427,541 from the General Fund to eliminate the cumulative Accounting Fund deficits of $121,054 in the Traffic Safety Special Revenue Fund, $488,974 in the Street Lighting Maintenance Special Revenue Fund, $1,592,431 in the Park Replacement Capital Projects Fund for the Ham Park Construction Project and $225,082 in the Employee's Self-Insurance Internal Service Fund. Section 2, The staff is authorized to make the necessary and appropriate transfers and accounting transactions and budget adjustments to eliminate the deficits in the City's Capital Projects, Internal Service and Special Revenue Funds. Section 2, This Resolution shall become effective immediately upon its adoption. PASSED, APPROVED and ADOPTED this 5th day of November, 2013. Salvador Alatorre, Mayor ATTEST: aria Quinonez, ity Clerk 4 APPROVED AS TO FORM: APPROVED AS TO CONTENT: Fred Galante, City Attorney Richard N. Warne, ' Interim City Manager STATE OF CALIFORNIA ) § COUNTY OF LOS ANGELES ) I, the undersigned City Clerk of the City of Lynwood, do hereby certify that the foregoing Resolution was .passed and adopted by the City Council of the City of Lynwood at a special meeting held on the 5th day of November 2013. AYES: COUNCIL MEMBERS CASTRO, SANTILLAN-BEAS, MORTON, RODRIGUEZ AND ALATORRE NOES: NONE • ABSENT: NONE ABSTAIN: NONE tAJ *Mts Y Maria Quinonez, City Clerk STATE OF CALIFORNIA ) § COUNTY OF LOS ANGELES ) I, the undersigned City Clerk of the City of Lynwood, and Clerk of the City Council of said City, do hereby certify that the above and forgoing is a full, true and correct copy of Resolution No. 2013.144 on file in my office and that said Resolution was adopted on the date and by the vote therein stated. Dated this 5th day of November 2013. Maria Quinonez, City Clerk •