HomeMy Public PortalAboutResolution 96-35181
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RESOLUTION NO. 96 -3518
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMPLE
CITY CONFIRMING THE FACTORS USED FOR CALCULATING THE
ANNUAL APPROPRIATIONS LIMIT FOR THE FISCAL YEAR 1996 -97
WHEREAS, the voters of California in November, 1979 added Article XITIB (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 decision as to which of the factors: a) either the California Per Capita Income
or the percentage change in the local assessment roll from the preceding year due to the addition of local
non - residential construction in the city; b) either the city's own population growth or the entire country;
must be done by a recorded vote of the City Council; and
WHEREAS, the City of Temple City has complied with all the provisions of Article XIIIB in
determining the Appropriations Limit for Fiscal Year 1996 -97.
NOW, THEREFORE, the City Council of the City of Temple City does resolve, determine and
order as follows:
SECTION 1. The adjustment factors (the California Per Capita Income and the population
growth of the City) are to be applied to the 1986 -87 Limit and each year thereafter.
SECTION 2. The accumulated growth in the calculation of these new factors are to be applied
to the Appropriations Limit in Fiscal Year 1996 -97.
SECTION 3. The Appropriations Limit for Fiscal Year 1996 -97 shall be $8,104,770 for the City
of Temple City as determined by Exhibit A, attached hereto.
SECTION 4. The City Clerk shall certify to the adoption of this resolution.
APPROVED AND ADOPTED this 18th day of June, 1996
MAYOR
ATTEST:
I hereby certify that the foregoing resolution, Resolution No. 96 -3518 was duly adopted by the City
Council of the City of Temple City at a regular meeting held on the 18th day of June, 1996 by the following
vote:
AYES: Councilman - Breazeal, Budds, Gillanders, Souder, Wilson
NOES: Councilman -None
ABSENT: Councilman -None
EXHIBIT A
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IIIARTICLE XIII -B OF THE CALIFORNIA CONSTITUTION (GANN INITIATIVE)
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Effective July 1, 1980, Proposition 4(Gann) put a limit on the City's
expenditures from tax revenues based on 1978 -79 appropriations that is
adjusted each succeeding year by 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 their 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 1996 -97 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
1996 -97 APPROPRIATIONS LIMIT
1995 -96 limit (1)
Per Capita Income and City population change
factor applied to 1995 -96 appropriations limit
1996 -97 appropriations limit
$7,694,645
1.0533
$8,104,770
APPROPRIATIONS SUBJECT TO LIMIT AND APPROPRIATIONS MARGIN
Proceeds of Taxes $4,407,547
Less Exclusions: 1.254,300
Qualified Capital Outlay
Appropriations Subject to Limit $3,153,247
Appropriations Margin $4,951,523
(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.
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EXHIBIT A
Page 2 of 4
Schedule of Calculations of Appropriations Limit
for Fiscal Year 1995 -96
a) Revised Appropriation Limit Calculation
Increase Annual Base
City or County In California Adjustment Appropriations
Fiscal Year Population Growth Per Capita Income Factor Limit
1986-87 — — — $5,097,811
1987 -88 101.91% County 103.47% 105.45% 5,097,811
x 1.0545
5,375,642
1988 -89 101.62% County 104.66% 106.36% 5,375,642
x 1.0636
5,717,533
1989 -90 101.14% County 105.19% 106.39% 5,717,533
x 1.0639
6,082,883
1990 -91 101.36% County 104.21% 105.63% 6,082,883
x 1.0563
6,425,349
1991 —92 101.73% County 104.14% 105.94% 6,425,349
x 1.0594
6,807,015
1992 -93 101.49% County 99.36% 100.84% 6,807,015
x 1.0084
6,864,194
1993 -94 101.42% City 102.72% 104.18% 6,864,194
x 1.0418
7,151,117
1994 -95 100.79% City 100.71 % 101.51% 7,151,117
x 1.0151
7,259,099
1995 -96 101.22% City 104.72% 106.00% 7,259,099
x 1.0600
7,694,645
1996 -97 100.63% City 104.67% 105.33% 7,694,645
x 1.0533
8,104,770
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Schedule of Calculations of Appropriations Limit
for Fiscai Year 1995 -96
(Con't)
b) Past Appropriation Limit Calculation
Fiscal Year
EXHIBIT A
Page 3 of 4
City Increase Annual Base
Population In Consumer Adjustment Appropriations
Growth Price Index Factor Umit
1986-87 — — — $5,097,811
1987 -88 101.72% 103.04% 104.80% 5,097,811
x 1.0480
5,342,506
1988 -89 100.55% 103.93% 104.50% 5,342,506
x 1.0450
5,582,919
1989 -90 99.19% 104.98% 104.13% 5,582,919
x 1.0413
5,813,493
1990 -91 100.45% 104.21% (1) 104.68% 5,813,493
x 1.0468
6,085,565
(1) The increase in California Per Capita Income was used instead of the Consumer
Price Index
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POPULATION GROWTH
Fiscal Year City County
1987 -88 101.72% 101.91%
1988-89 100.55% 101.62%
1989-90 99.19% 101.14%
1990-91 100.45% 101.36%
1991 -92 100.93% 101.73%
1992 -93 100.93% 101.49%
1993-94 101.42% 100.96%
1994-95 100.79% 100.75%
1995-96 101.22% 100.33%
1996-97 100.63% 100.48%
EXHIBIT A
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