HomeMy Public PortalAboutCity Council_Resolution No. 21-5534_Annual Appropriations Limit for FY 2021-22RESOLUTION NO. 21-5534
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMPLE
CITY, CALIFORNIA ADOPTING THE ANNUAL APPROPRIATIONS
LIMIT FOR THE FISCAL YEAR (FY) 2021-2022
WHEREAS, the voters of California in November, 1979 added Article XIIIB (Proposition 4)
to the State Constitution placing various limitations on the appropriations of the State and local
governments; and
WHEREAS, the voters of California in June, 1990 modified Article XIIIB by approving
Proposition 111 and SB 88 (Chapter 60/90) which revised the annual adjustment factors to be
applied to the 1986-87 Limit and each year thereafter; and
WHEREAS, the City of Temple City has calculated the Appropriations Limit by adjusting the
1986-87 Limit for annual changes in the cost of living and population growth; and
WHEREAS, the City of Temple City has complied with all the provisions of Article XIIIB in
determining the Appropriations Limit for FY 2021-2022 as provided in the worksheets attached
hereto as Exhibit 1.
NOW, THEREFORE, the City Council of the City of Temple City does resolve, determine
and order as follows:
SECTION 1. That the Appropriations Limit for FY 2021-22 shall be $23,883,509, with
appropriations subject to the limit of $9,371,707, or $14,511,802 less than the limit.
SECTION 2. The City Clerk shall certify to the adoption of this resolution.
APPROVED AND ADOPTED this 15th day of June, 2021.
ATTEST:
a
Peggy Kuo, City Clerk
J
Vincent Yu, Mayor
APPROVED AS TO FORM:
Greg Murphy, City Attorney
Resolution No. 21-5534
Page 2 of 2
I hereby certify that the foregoing resolution, Resolution No. 21-5534, was duly passed, approved
and adopted by the City Council of the City of Temple City at a regular meeting held on the 15th day
of June 2021, by the following vote:
AYES:
Councilmember—Chavez, Man, Vizcarra, Sternquist, Yu
NOES:
Councilmember — None
ABSENT:
Councilmember — None
ABSTAIN:
Councilmember — None
Pte"
Peggy Kuo, it Clerk
.•.
EXHIBIT 1, Page 1
ARTICLE XIII -B OF THE CALIFORNIA CONSTITUTION (GANN INITIATIVE)
Effective July 1, 1980, Proposition 4 (Gann) established a limit on the City's expenditures from tax
revenues based on 1978-79 appropriations. This limit is adjusted annually by the Consumer Price
Index and population changes. Non -Proceeds of Taxes (Fines and Forfeitures and User Fees) were
not subject to this limit.
In 1989-90 Proposition 111 was passed, which changed the base year to 1986-87 and allows cities
to adjust the limit annually by either the change in the California per capita income or the percentage
change in growth in total assessed valuation due to non residential construction. For population
changes, cities now have the option of using either the percentage increase of the City or the
percentage increase of the entire county. The law also allows for the exclusion from the limit of
"qualified capital outlay" which includes any appropriation for fixed assets costing over $100,000.
The 2020-2021 budget expenditures are well within the statutory limit.
It should be noted that future revenues exceeding the limitation require a return of the excess to the
taxpayers or a substantial portion of such excess will be forfeited for State uses.
COMPUTATION OF APPROPRIATIONS LIMIT
00ft 2021-2022 APPROPRIATIONS LIMIT
2020-21 limit (1)
$22,767,883
Per Capita Income and City population change
factor applied to 2020-21 appropriations limit 1.0490
2021-2022 Appropriations Limit $23,883,509
APPROPRIATIONS SUBJECT TO LIMIT
Proceeds of Taxes $13,605,707
Less Exclusions:
Qualified Capital Outlay 4,234,000
Appropriations Subject to Limit $9,371,707
Appropriations Margin $14,511,802
(1) Recalculated as a result of Proposition 111 and in accordance with guidelines of the League of
California Cities. Formal adoption for the FY 1991-92 recalculated appropriations limit was
�" approved by the City Council on July 2, 1991.
EXHIBIT 1, Page 2
CALCULATION OF
PROCEEDS OF TAXES
Worksheet #1
Pagel of 2
CITY: TEMPLE CITY Funds Included: ALL
FY: 2021-22
PROCEEDS NON -PROCEEDS
REVENUE OF TAXES OF TAXES TOTAL
TAXES:
Property Tax
Sales & Use Tax 1 In Lieu Sales Tax
Business License Tax Revenue
Transient Occupancy Tax
Other Taxes: Real Estate
Prop. A / Prop. C
FROM STATE:
Motor Vehicle In Lieu / In Lieu VLF
State Cops Grant
Gasoline Tax
Used Oil
SB1
Other Grants
OTHER GOVERNMENTS
Community Development (CDBG)
SB821 Aid to Cities
Air Quality Improvement
Measure M
Measure R
Measure W
LOCAL
Special benefit assessments
Franchise fees
Franchise fees -In -lieu
Development fees -Sewer/Park/Public Arts
Fines, forfeitures, penalties/Traffic Safety
AB939 Revenues
AB939 Reimbursement
USER FEES
Building Permits
Parking Permits
Encroachment Permits
Animal License
Vehicle Impound
Code Enforcement
Shared Maint./Facility Rental
Zoning & Plan Check
Recreation
PW Engineering
OTHER MISCELLANEOUS
Bus Pass Sales
Misc Sundry/Other Reimb
Rental Income
CRA and ULD Admin Reimb
Subtotal
Subtotal
Subtotal
Subtotal
Subtotal
Subtotal
3,824,955
1,842,305
42,000
130,000
1,085,080
6,924,340
5,319,160
5,319,160
484,090
330,100
450,000
1,264,190
140,000
564,930
10,0
643,500
150,000
1,508,430
186,000
44,000
47,000
277,000
1,605,835
560,000
300,000
52,000
432,800
56,800
7,100
3,014, 535
462,395
157,500
152,090
23,250
10,690
22,750
17,755
610,750
250,0 0
39,5201
1,746, 700
8,775
100,000
37,300
24,300
170,375
3,824,955
1,842,305
141,655
42,000
130,000
1,085,080
7,065,995
5,319,160
140,000
564,930
10,000
643,500
150,000
6,827,590
186,000
44,000
47,000
484,090
330,100
450,000
1,541,190
1,605,835
560, 000
300.000
7,100 1
3,014,535
462,395
157,500
152,090
23,250
10,690
22, 750
17,755
610,750
25o,oao
39, 520 77
1,746,700
8,775
100,000
37,300
24,300
170,375
EXHIBIT 1, Page 3
CALCULATION OF
PROCEEDS OF TAXES
Worksheet #1
Page 2 of 2
CITY: TEMPLE CITY
Funds Included:
ALL
FY: 2021-22
PROCEEDS
NON -PROCEEDS
REVENUE
OF TAXES
OF TAXES
TOTAL
SUB TOTAL (For Worksheet #3)
13,507,690
6,858,695
20,366,385
INTEREST EARNINGS
98,017
115,063
213,080
(From Worksheet #3)
TOTAL (Use For Worksheet #4)
13,605,707
6,973,758
20,579,465
EXHIBIT 1, Page 4
INTEREST EARNINGS
PRODUCED BY TAXES
Worksheet #2
Page 1 of 1
CITY: TEMPLE CITY
FY: 2021-22
A. Non -Interest Tax Proceeds
B. Minus Exclusions
C. Net Invested Taxes
D. Total Non -Interest
E. Tax Proceeds as Percent of Budget
F. Interest Earnings
G. Amount of Interest Earned from Taxes
H. Amount of Interest Earned from
Non -Taxes
I. Take results of Steps #G and #H copy to worksheet #2
AMOUNT SOURCE
13,507,690
(Worksheet #2)
4,234,000
GF Capital Project
9,273,690
(A - B)
20,366,385
(Worksheet #2)
46%
(C / D)
213,080
(Budget or Actual)
98,017
(E * F)
115,063 kF-G) plus any CRA Int,
Restricted CIP)
CITY: TEMPLE CITY
FY: 2021-22
A. Proceeds of Taxes
B. Exclusions
C. Appropriations subject to Limitation
D. Current Year Limit
E. Over/(Under) Limit
CAPITAL PROJECTS
General Fund (MOE)
TDA
Gas Tax
SB1
AQMD
CDBG
Prop C
SB821
Measure A
Measure M
Measure R
Measure W
ULD
State Parks Grant
Park Acq
"PROJECTS UNDER $100,000
APPROPRIATIONS SUBJECT
TO LIMITATION
Worksheet #3
Page 1 of 1
Amount Source
13,605,707
(Worksheet #2)
4,234,000
GF Capital Project
9,371,707
(A - B)
16,171,728
(Worksheet #6)
6,800,021
(C - D)
PROCEEDS NON -PROCEEDS
OF TAXES OF TAXES
210,000
1
mmmmmmwrll@Tfj
711, 825
2,853,150
15.000
EXHIBIT 1, Page 5
EXHIBIT 1, Page 6
APPROPRIATIONS LIMIT CALCULATION
Worksheet #4
Page 1 of 1 +�
City County
Population Percent Population Percent
2020-21:
1-1-20 36,343 10,127, 550
1-1-21 36,225 -0.32% 10,037,774 -0.89%
Amount
A. LAST YEAR'S LIMIT $15,416,328
B. ADJUSTMENT FACTORS:
Source
1. Population % (greater of City or County factor)
1 0.9968
(Worksheet #5)
2. Inflation % (from State Finance or Assessor)
1.0524
C. ANNUAL Al Total Adjustment Factor
1.0490
(Cl " C2)
D. OTHER ADJUSTMENTS:
755,400
(A * B)
Lost Responsibility (-)
Transfer to private (-)
Transfer to fees (-)
am%
Assumed Responsibility (+)
E. TOTAL ADJUSTMENTS
Sub -total
0
F. THIS YEAR'S LIMIT
755,400
(C + D)
(A + E)
$16,171M8
EXHIBIT 1, Page 7
May 2021
Dear Fiscal Officer:
Subject: Price Factor and Population Information
Appropriations Limit
California Revenue and Taxation Code section 2227 requires the Department of Finance (Finance)
to transmit an estimate of the percentage change in population to local governments. Each local
jurisdiction must use their percentage change in population factor for January 1, 2021, in
conjunction with a change in the cost of living, or price factor, to calculate their appropriations
limit for fiscal year 2021-22. Attachment A provides the change in California's per capita personal
income and an example for utilizing the price factor and population percentage change factor
to calculate the 2021-22 appropriations limit. Attachment B provides the city and unincorporated
county population percentage change. Attachment C provides the population percentage
change for counties and their summed incorporated areas. The population percentage change
data excludes federal and state institutionalized populations and military populations.
Population Percent Change for Special Districts
Some special districts must establish an annual appropriations limit. California Revenue and
Taxation Code section 2228 provides additional information regarding the appropriations limit.
Article XIII B, section 9(C) of the California Constitution exempts certain special districts from the
Ono appropriations limit calculation mandate. The code section and the California Constitution can
be accessed at the following website: http://Ieginfo.leaislature.ca.gov/faces/codes.xhtmi.
Special districts required by law to calculate their appropriations limit must present the calculation
as part of their annual audit. Any questions special districts have on this requirement should be
directed to their county, district legal counsel, or the law itself. No state agency reviews the local
appropriations limits.
Population Certification
The population certification program applies only to cities and counties. California Revenue and
Taxation Code section 11005.6 mandates Finance to automatically certify any population
estimate that exceeds the current certified population with the State Controller's Office. Finance
will certify the higher estimate to the State Controller by June 1, 2021.
Please Note: The prior year's city population estimates may be revised. The per capita personal
income change is based on historical data. Given the stay-at-home orders due to COVID-19,
growth in the coming years may be substantially lower than recent trends.
If you have any questions regarding this data, please contact the Demographic Research Unit at
(916) 323-4086.
KEELY MARTIN BOSLER
Director
By:
/s/ Erika Li
Erika Li
Chief Deputy Director
Attachment
May 2021
EXHIBIT 1, Page 8
Attachment A
A. Price Factor: Article XIII B specifies that local jurisdictions select their cost of living
factor to compute their appropriation limit by a vote of their governing body. The
cost of living factor provided here is per capita personal income. If the percentage
change in per capita personal income is selected, the percentage change to be
used in setting the fiscal year 2021-22 appropriation limit is:
Per Capita Personal Income
Fiscal Year Percentage change
(FY) over prior year
2021-22 5.73
B. Following is an example using sample population change and the change in
California per capita personal income as growth factors in computing a 2021-22
appropriation limit.
2021-22:
Per Capita Cost of Living Change = 5.73 percent
Population Change = -0.46 percent
Per Capita Cost of Living converted to a ratio:
Population converted to a ratio:
5.73 +1100 = 1.0573
100
-0.46 + 100 = 0.9954
100
Calculation of factor for FY 2021-22: 1.0573 x 0.9954 = 1.0524
EXHIBIT 1, Page 9
Fiscal Year 2021-22
Wal
County Percent Change -- Population Minus Exclusions -- Population
City 2020-2021 1-1-20 1-1.21 1-1-2021
Los Angeles
Agoura Hills
-0.69
20,599
20,457
20,457
Alhambra
-0.38
86,588
86,258
86,258
Arcadia
-0.28
57,820
57,660
57,660
Artesia
-0.70
16,514
16,398
16,484
Avalon
-0.80
4,005
3,973
3,973
Azusa
-0.44
49,805
49,587
49,587
Baldwin Park
-0.59
76,388
75,935
75,935
Bell
-0.43
36,475
36,319
36,319
Bellflower
-0.58
77,909
77,458
77,458
Bell Gardens
-0.67
42,518
42,233
42,233
Beverly Hills
-0.78
33,660
33,399
33,399
Bradbury
-1.04
1,056
1,045
1,045
Burbank
-0.54
104,535
103,969
103,969
Calabasas
0.76
24,157
24,341
24,341
Carson
-0.49
92,121
91,668
91,668
Cerritos
-0.43
50,262
50,048
50,048
Claremont
-0.47
35,877
35,707
35,707
Commerce
-0.74
12,888
12,792
12,792
Compton
-0.68
98,447
97,775
97,775
Covina
-0.13
48,899
48,833
48,833
Cudahy
-0.78
23,937
23,750
23,750
Culver City
0.05
39,785
39,805
39,805
Diamond Bar
-0.65
57,088
56,717
56,717
Downey
-0.68
112,186
111,425
111,425
Duarte
-0.34
21,531
21,457
21,457
El Monte
-0.35
116,876
116,465
116,465
EI Segundo
-0.53
16,749
16,660
16,660
Gardena
-0.64
60,732
60,344
60,344
Glendale
-0.27
204,392
203,834
203,834
Glendora
-0.65
51,879
51,540
51,540
Hawaiian Gardens
-0.71
14,571
14,467
14,467
Hawthorne
-0.65
87,571
86,999
86,999
Hermosa Beach
-0.77
19,601
19,451
19,451
Hidden Hills
0.63
1,901
1,913
1,913
Huntington Park
-0.67
59,337
58,937
58,937
Industry
-0.23
428
427
427
Inglewood
-0.69
110,925
110,159
110,159
Irwindale
-0.07
1,442
1,441
1,441
EXHIBIT 1, Page 10
Fiscal Year 2021-22
Total
County
Percent Change
-- Population Minus
Exclusions ---
Population
City
2020-2021
1-1-20
1-1-21
1-1-2021
Lo Canada Flintridge
-0.78
20,352
20,194
20,194
Lo Habra Heights
-0.33
5,469
5,451
5,451
Lakewood
-0.67
80,757
80,218
80,218
La Mirada
-0.65
48,947
48,631
48,631
Lancaster
-0.12
157,696
157,504
161,372
La Puente
-0.67
40,358
40,087
40,087
La Verne
-0.69
33,313
33,084
33,084
Lawndale
-0.50
32,873
32,710
32,710
Lomita
-0.73
20,582
20,431
20,431
Long Beach
-0.91
471,975
467,684
467,730
Los Angeles
-1.29
3,973,512
3,922,113
3,923,341
Lynwood
-2.13
71,399
69,880
69,880
Malibu
-0.61
11,608
11,537
11,537
Manhattan Beach
-0.67
35,294
35,058
35,058
Maywood
-0.60
27,837
27,670
27,670
Monrovia
1.36
37,964
38,479
38,479
Montebello
-0.55
63,264
62,914
62,914
Monterey Park
-0.70
60,808
60,380
60,380
Norwalk
-0.62
105,207
104,554
105,393
Palmdale
-0.53
156,910
156,074
156,074
Palos Verdes Estates
-0.68
13,377
13,286
13,286
Paramount
-0.66
55,566
55,200
55,200
Pasadena
0.17
145,061
145,306
145,306
Pico Rivera
-0.59
63,530
63,157
63,157
Pomona
-1.74
153,992
151,319
151,319
Rancho Palos Verdes
-0.70
41,835
41,541
41,541
Redondo Beach
-0.62
66,900
66,484
66,484
Rolling Hills
-0.59
1,877
1,866
1,866
Rolling Hills Estates
0.15
8,086
8,098
8,098
Rosemead
-0.44
54,471
54,229
54,229
San Dimas
-0.65
34,226
34,003
34,003
San Fernando
0.05
24,742
24,754
24,754
San Gabriel
-0.46
40,129
39,945
39,945
San Marino
-0.36
13,008
12,961
12,961
Santa Clarita
0.21
221,106
221,572
221,572
Santa Fe Springs
-0.74
18,219
18,084
18,129
Santa Monica
-0.03
92,995
92,968
92,968
Sierra Madre
-0.68
10,728
10,655
10,655
Signal Hill
-0.67
11,695
11,617
11,617
South El Monte
0.21
21,252
21,296
21,296
EXHIBIT 1, Page 11
Fiscal Year 2021-22
Total
County
Percent Change
-- Population Minus
Exclusions ---
Population
City
2020-2021
1-1-20
1-1-21
1-1-2021
South Gate
0.42
96,147
96,553
96,553
South Pasadena
-0.72
25,853
25,668
25,668
Temple City
-0.32
36,343
36,225
36,225
Torrance
-0.65
145,783
144,832
144,832
Vernon
-0.67
297
295
Walnut
-0.60
30,015
29,835
29,835
West Covina
-0.58
106,209
105,593
105,593
West Hollywood
-0.60
36,344
36,125
36,125
Westlake Village
-0.74
8,241
8,180
8,180
Whittier
-0.34
86,487
86,196
86,196
Unincorporated
-1.14
1,035,457
1,023,632
1,024,204
County Total
-0.89
10,127,550
10,037,774
10,044,458
EXHIBIT 1, Page 12
Fiscal Year 2021-22
On"
Attachment C
Annual Percent Change In Population Minus Exclusions*
January 1, 2020 to January 1, 2021
County
Percent Change
-- Population Minus
Exclusions --
2020-21
1-1-20
1-1-21
Los Angeles
Incorporated
-0.86
9,092,093
9,014,142
County Total
-0.89
10,127,550
10,037,774
Madera
Incorporated
0.86
78,102
78,770
County Total
0.57
152,872
153,742
Marin
Incorporated
-0.42
191,682
190,877
County Total
-0.43
256,217
255,106
Mariposa
Incorporated
0.00
0
0
County Total
-0.02
17,993
17,989 ~
Mendocino
Incorporated
-1.71
28,905
28,410
County Total
-1.02
87,547
86,655
Merced
Incorporated
2.25
188,284
192,518
County Total
0.55
282,236
283,795
MOdoc
Incorporated
-0.07
2,888
2,886
County Total
-0.06
9,497
9,491
Mono
Incorporated
-0.33
7,853
7,827
. County Total
-1.16
13,317
13,163
Monterey
Incorporated
-0.57
323,210
321,366
County Total
-0.48
429,874
427,819
*Exclusions include residents on federal military installations and group quarters residents in state mental
institutions, state and federal correctional institutions and veteran homes.