HomeMy Public PortalAbout06-05-2001LPFA•
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AGENDA ITEMS ON FILE ~FOR CONSIDERA ION ~'~G~ ~
AT THE REGULAR MEETING OF ~(~ ~~~~ "~'~`r~Y D
THE. LYNWOOD PUBLIC FINANCE AUTHORITY cirr of LYNwoo~
TO BE HELD ON JUNE 5, 2001 CITY CLERKS OFFICE
6:00 P.M. N~~iY .~ 1 ?001
COUNCIL CHAMBERS ~~ ~ ~
7t8ig~IDt11~1211~2~3~4~5~6
PAUL H. RICHARDS, II ~
PRESIDENT ~~,~~.f.[.t„!~ , Q~~~c
~ ~ - ~
RICARDO SANCHEZ LOUIS BYR
VICE PRESIDENT MEMBER
ARTURO REYES
MEMBER
CHIEF ADMINISTRATIVE OFFICER
RALPH W. DAVIS, ..III
SECRETARY
ANDREA L. HOOPER
OPENING CEREMONIES
1: CALL TO ORDER
2. ROLL CALL OF MEMBERS
Louis Byrd
Armando Rea
Arturo Reyes
Ricardo Sanchez
Paul Richards
3. CERTIFLCATION OF AGENDA POSTING BY SECRETARY
,PUBLIC ORAL COMMUNICATIONS
(Regarding Agenda Items Only)
PUBLIC ORAL COMMUNICATIONS
TREASURER
IRIS PYGATT
IF AN ITEM IS NOT ON THE AGENDA, THERE SHOULD BE NO SUBSTANTIAL
DISCUSSION OF THE ISSUE BY THE LYNWOOD PUBLIC FINANCE
AUTHORITY, BUT IT IS ALL RIGHT FOR THE LYNWOOD PUBLIC FINANCE
AUTHORITY MEMBERS TO REFER THE MATTER TO THE STAFF OR
SCHEDULE SUBSTANTIVE DISCUSSION FOR A FUTURE MEETING.
(The Ralph M. Brown Act, Government Code Section 54950-54962, Part III,
Paragraph 5.)
4. MINUTES OF PREVIOUS MEETING:
ARMANDO REA
MEMBER
FINANCE DIRECTOR
ALFRETTA EARNEST
Special Meeting, May 14, 2001
Special Meeting, May 21, 2001
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5. LOCAL GOVERNMENT FINANCE=PROPERTY TAX REVENUE
ALLOCATION
Comments:
Existing law shifts property taxes from cities, counties, and special districts to
an Education Revenue Augmentation Fund (ERAF) in each county. The
shift has reduced revenue available to cities, counties, and special districts,
while having no impact on schools, and increasing the funds available to the
State of California to meet other obligations.
ACA 10 amends the State Constitution to cap the property tax shifts from
cities,. counties and special districts to the ERAF. This cap is limited to the
amount equal to the shift in FY 2000-2001. In addition, this legislation
includes language that ensures there is not a net fiscal effect on school
finance.
Recommendation:
Staff respectfully requests that the Board of Directors of the Lynwood Public
Finance Authority receive and file the information.
6. UPDATE ON SB 484 -VINCENT BILL
Comments:
SB 484 has successfully passed the Senate and is now in the Assembly.
The next step in the legislative process is for SB 484 to be heard by the
Assembly Transportation Committee.
The deadline for this to take place is July 16, 2001.
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Recommendation:
Staff recommends for the President & Members of the Lynwood Public
Finance Authority to receive and file this item.
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ADJOURNMENT
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MOTION. TO ADJOURN T04 THE REGULARLY SCHEDULED MEETING ON JUNE
19, 2001 AT 6:00 P.M., IN THE COUNCIL CHAMBERS OF THE ,CITY HALL,
11330 BULLIS ROAD, CITY OF LYNWOOD, CALIFORNJA.
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LYNV!/OOD PUBLIC FINANCE AUTHORITY
!SPECIAL MEETING
MAY 14, 2001
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The Pubiic Finance Authority of the City of Lynwood met in a Special Meeting at 11330
Bullis Road on the above date at 9:25 a.m.
Vice President Sanchez presiding.
Members Byrd., Rea, Reyes, and Sanchez Richards answered the roll call.
President Richards was absenfi
Also present were Assistant Chief Administrative Officer Hempe, Assistant City Attorney
March, Secretary Hooper, and Treasurer Pygatt.
Secretary Hooper announced that the agenda had been posted in accordance with the
Brown Act.
PUBLIC ORAL COMMUNICATIONS
Agenda Items Only
NONE
PUBLIC ORAL COMMUNICATIONS
NONE
President Richards arrived at 9:35 a.m.
Item# 4: STRATEGIC PLANNINV & IMPLEMENTATION
CITY ATTORNEY
Vehicles for sale:
Assistant City Manager Lorry Hempe gave the Directors a brief presentation. on the
vehicles for sale.
Director Reyes stated the City h`as-two (2) hour parking limit restriction but it also needs
to be more enforce.
Vice President Sanchez stated he would like to raise the permit fees, he also
questioned if there was a limit on the permit fees.
t
Member Reyes discussed painting the business street curbs green to help limit the
parking because a lot of businesses are losing business. Would like to also increase the
citation fees. i
Assistant Chief Administrative Officer Hempe stated she would meet with the City
Attorney on this issue's.
Member Byrd stated he believes there is not enougfi enforcement in the City.
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ENVIRONMENTAL SERVICES
Status Report on the Energy Crisis -Impact on the City Services:
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Director of Public Works Joseph` Wang gave a brief presentation on the Energy Crisis
Status Report.
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Member Reyes questioned if there is any way that we could be notify when there will be
a blackout. Also stated he would like to have an update on how many people are in life
support in case of a blackout.
Captain Jesus Berciaga stated that the Sheriffs Department has back up generators in
-case of a blackout.
Sheriffs Department gave a brief presentation to the Members on their routine in case of
a blackout.
FINANCE
Cost Allocation.:
Greta Davis gave a brief presentation on the Cost Allocation Plan, also stated that on
June 11th she will bring back to `the Members the Recreation Revenue Cost.
Member Rea stated he would like a monthly report on all the Water Billings from all the
residents of Lynwood. i
COMMUNITY DEVELOPMENT
John. D. Ham House:
Community Development Director Gary Chicots gave the Members a brief presentation
on the Dial A Ride Scope and the Ham House.
RECREATION & COMMUNITY:SERVICES
Overview of the Proposed Dial A Ride Scope of Services:
.Assistant Chief Administrative Officer Lorry Hempe stated she would bring back to the
Members the corrected information on Fiesta Taxi relating to the Dial A Ride Scope.
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ADJOURNMENT
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Having no further discussion, it was moved by Member Rea, seconded by Member
Reyes and carried to adjourn the meeting at 12:00 p.m.
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Paul H. Richards, II, Mayor
Andrea L. Hooper, City Clerk
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LYNWOOD, PUBLIC FINANCE AUTHORITY
~~ SPECIAL MEETING
MAY 21, 2001
The Public Finance Authority of the City of Lynwood met in a Special Meeting at 11330
Bullis Road on the above date at 9:25 a.m.
President Richards presiding.
Members Byrd, Rea, Reyes, Sanchez and Richards answered the roll call.
Also present were Chief Administrative Officer Davis, Assistant City Attorney Calsada,
Project Manager Jackson, and Treasurer Pygatt.
Project Manager Jackson announced that the agenda had been posted in accordance
with the Brown Act.
PUBLIC ORAL COMMUNICATIONS
', Agenda Items Only
NONE
PUBLIC ORAL COMMUNICATIONS
NONE
Item# 4: STRATEGIC PLANNING & IMPLEMENTATION
Parking. Meters Study:
Director of public Works Wang gave the Directors a brief presentation on the Parking
.Meter Study, stated he will also have more workable plans in detail for the Directors to
review.
Member Rea stated that the estimated cost of the Parking Meters is incorrect.
Director of Public Works Wang stated the main. revenue from this project is the citations
Member Rea stated he would like further review of the estimated cost for the Parking
Meters, and wants a full report.
President Richards stated he would like for the Director of Public Works to-bring back to
the Members different options, with details on the Parking Meters Fees to next regular
meeting.
Member Rea also asked Public Work Director Wang about the status of the Gas Station
at 116.30 Long Beach Blvd. Stated he does not want their license re-issued. There is
hazardous material on the site.
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Item# 5 UPDATE ON SB484 -VINCENT BLLL
President Richards .stated he would bring back this Item next special meeting for further
discussion.
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ADJOURNMENT
Having no further discussion, it was moved by Member Byrd, seconded by Member
Reyes and carried to adjourn the meeting at 11:45 a.m.
Paul H. Richards, II, Mayor
Andrea L. Hooper, City Clerk
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Memorandum ~
DATE: June 5, 2001
TO: HONORABLE~PRESIDENT AND MEMBERS OF THE LYNWOOD
PUBLIC FINANCE AUTHORITY
FROM: Ralph W. Davis, III, Chief Administrative Officer -~:~,,~
BY: Autra C. Adams, Project Manager
SUBJECT:. Local Government Finance -Property Tax Revenue Allocation
PURPOSE:
To have the President & Members of the Lynwood Public Finance Authority receive and
file this item.
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BACKGROUND:
In the recession of the early 1990's, the Legislature shifted property taxes from cities,
counties, and special districts'to schools. This hift has not been beneficial to schools
because the, legislation allowed the state to reduce its support of schools on 'a dollar-for-
dollarbasis.
Existing law shifts property taxes from cities, counties, and special districts to an
Educational Revenue Augmentation Fund (ERAF) in each county. The shift has
reduced revenue available to cities, counties, and special districts, while having no
impact on schools, and increasing the funds available to the State of California to meet
other obligations.
ANALYSIS:
Last year SB 1637 (Burton), intended to cap the shift of property tax revenues from
counties to ERAF over athree-year.period, unanimously passed both houses of the
legislature and was vetoed by Governor Davis. In his veto message eight months ago,
the governor made a commitment to work with cities and counties to solve this problem
but to date has shown minimal effort.
ACA 10 (Cogdill)
This legislation has been introduced as an Assembly Constitutional Amendment. The
reason was because by this legislation passing both houses with a 2/3 vote, voters are
allowed to ratify this decision opposed to the governor.
ACA 10 amends the State Constitution to cap the property tax shifts from cities,
counties, and special districts~to the ERAF. This cap is limited to the amount equal to
the shift in FY 2000-2001. In addition, this legislation includes language that ensures
there is not a net fiscal effect on school finance.
ACA 10 provides a gradual 10-year period for ERAF revenues to be restored, in order to
allow the state time to properly plan for and make needed budget adjustments.
The next committee hearing for ACA 10 will take place on June 19, 2001 in the
Assembly Elections, Reapportionment, and Constitutional Amendment Committee.
RECOMMENDATION:
Staff respectfully requests that the President & Members of the Lynwood Public Finance
Authority receive and file this item.
ATTACHMENT
~G~NUA I!I~EI~
ALA 1 U Assembly C:onst~tutional Amendment - AIVir.Nll1/ll Yage 1 or S
BILL NUMBER: ACA 10 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY MAY 15, 2001
.INTRODUCED BY Assembly. Member Cogdill
(Coauthors: Assembly Members Correa, Daucher, Diaz, Harman,
LaSuer, Lowenthal, NegreteMcLeod, Salinas, and Wiggins)
MARCH;29, 2001
Assembly Constitutional Amendment No. 10--A resolution to propose
to the people of the State of'California an amendment to the
Constitution of the State, by~adding Section 1.5 to Article XIIIA
thereof, relating to local government finance.
LEGISLATIVE COUNSEL'S'DIGEST
ACA 10, as amended, Cogdill. Local government finance: property
tax revenue allocation: local agency relief.
• Existing provisions of the~California Constitution require that
the revenues derived .from the general ad valorem property tax be
allocated to local jurisdictions in each county in accordance with
law. Existing statutory law implementing these provisions requires
each county auditor, in each fiscal year, to allocate property tax
revenues to local jurisdictions in accordance with specified formulas
and procedures, and generallyjrequires that each jurisdiction be
allocated an amount equal to the. total of the amount of revenue
allocated to that jurisdiction in the prior fiscal year, subject to
certain modifications, and that jurisdiction's portion of the annual
tax increment, as defined. Existing statutory law reduces the
amounts of ad valorem property revenue that would otherwise be
annually allocated to the county, cities, and special districts
pursuant to these general allocation provisions by requiring, for
purposes of determining property tax revenue allocations in each
county for the 1992-93 and 1993-94 fiscal years, that the amounts of
property tax revenue deemed allocated in the prior fiscal year to the
county, cities, and special districts be reduced in accordance with
certain formulas. Existing law annually requires that the revenues
not allocated to the county, cities, and special districts as a
.result of these reductions betransferred to the Educational Revenue
Augmentation Fund in that county for allocation to school districts,
community college districts, and the county office of education.
Thin measure-would modify these reduction and transfer
requirements, for the 2002-03 `fiscal year and each fiscal year
thereafter, by prohibiting the total amount allocated_to a county's
Educational Revenue Augmentation Fund from exceeding the applicable
percentage, set forth in .a specified schedule, of the total amount
allocated to that fund for the 2000-01 fiscal year. This measure
would further require that the revenues not allocated to the county's
Educational Revenue Augmentation Fund as a result of these limits be
instead allocated among the local agencies in the county, as
provided, and that the decrease in allocations to a county's •
Educational Revenue Augmentation Fund resulting from those
limitations be first applied to reduce allocations from that fund to
• school districts and the county office of education. This measure
would also specify that the amount of moneys required by the
California Constitution to be applied by the state for the support of
school districts and community; college districts be determined in
that amount that would be determined pursuant to that provision in
http://info.sen.ca.gov/publbilUasm/ab 0001-0050/aca 10 bill_20010515_amended_asm.html 5/29/01
A(.:A.10 Assembly (;onstitutional Amendment - AIV1r;Nll~ll
the absence of this measure. j
Vote: 2/3. Appropriation: no
State-mandated local program:,, no:
Fiscal committee: yes.
Resolved by the Assembly, the Senate concurring, That the
Legislature of the State of California at its 2001-02 Regular Session
commencing on the fourth day of December 2000, two-thirds of the
membership of each house concurring, hereby proposes to the people of
the State of California that the Constitution of the State be
amended by adding Section 1.5~to Article XIIIA thereof, to read:
SEC. 1.5. (a) (1) In implementing the ad valorem property tax
revenue allocation requirements of subdivision (a) of Section 1 in
the 2002-03 fiscal year and in each fiscal year thereafter, a county'
s Educational Revenue Augmentation Fund established
pursuant to Sections 97.2 and,97.3,of the Revenue and Taxation Code,
or any successor fund established pursuant to those sections or any
successor provisions, may not ;be allocated a total amount of ad
valorem property tax revenue that exceeds the applicable percentage,
specified in paragraph (2), of the total amount of ad valorem
property tax revenue that was allocated to that fund in the 2000-O1
fiscal year.
(2) For purposes of paragraph (1), the. applicable percentages are
as follows• ,
i
Fiscal Year Percentage (o)
2002-03 80
2003-04 ~ 70
2004-05 ~ 60
2005-06 50
2005-07 40
2007-08 i 30
2008-09 20
2009-10 ~ 10
2010-11 and each fiscal year thereafter p
(b) In the 2002-03 fiscal year and each fiscal year thereafter,
both of the following requirements apply:
(1) Any amount of ad valorem property tax revenue that is not
allocated to a county's Educational Revenue Augmentation Fund as a'
result of the limit established in .subdivision (a) shall instead be
allocated among the local agencies in the county in accordance with
each local agency's percentage share of the total amount of ad
valorem property tax revenues ;that would be required to be allocated
to the county's Educational Revenue Augmentation Fund, or the
successor to that fund, in the:. absence of this section.
(2) Any reduction resulting from subdivision (a) in°the amount of
ad valorem property tax revenue allocated to a county's Educational
Revenue Augmentation Fund, or 'the successor to that fund, shall be
first applied to reduce allocations made from that fund to school
districts and the county office of education, and may be applied to
reduce the allocations made from that fund to community college
districts only after the allocations made from that fund to school
districts and the county office of education have been reduced to
zero.
(c) The amount of moneys that is required.by Section 8 of Article
XVI to be applied by the State for the support of school districts;
and community college district`s shall be determined in accordance
with Section 8 of Article XVI in that amount that would be so
determined in the absence of this section.
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Yage 3 of 3
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MEMORANDUM
DATE: June 5, 2001
TO: THE HONORABLE PRESIDENT AND MEMBERS OF THE
LYNWOOD PUBLIC FINANCE AUTHORITY
FROM: Ralph W. Davis, III, Chief Administrative Officer
BY': Autra C. Adams, Project Manager
SUBJECT: Update on SB ;484 -Vincent Bill '
PURPOSE: f ~~
To have the President & Members of the Lynwood Public Finance Authority
receive and file this item. i
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COMMENTS: ! ~
Sequence of Events ~ .
On April 17, 2001 S6:484 was passed as amended by the Senate
Transportation Committee with an 11-1 vote and referred to the Senate
Appropriations Committee.
• It was expected for SB 484 to go to the Senate Appropriations Committee
on May 14, 2001; however,. the Chair decided that the fiscal effect on the
State of California's general fund was minor so due to Senate Rule 28.8,
the Chair was able to, refer the bill to the Senate Floor without a hearing.
• SB 484 had its 3~d reading by the Senate on May 17, 2001 and ;passed the
Senate Floor with a 35-0 vote.
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Current Status
With the successful passage of SB 484 in the first house (Senate), SB 484 is
now in the Assembly. The next step in the legislative process is for SB 484 to be
heard by the Assembly Transportation Committee.
Although a specific hearing date has not yet been set, the deadline for the
hearing to take place is July~16, 2001. The Assembly Transportation Committee
meets on Monday's at 1:30 p.m.
RECOMMENDATION:
Staff recommends for the President & Members of the Lynwood Public Finance
Authority to receive and file this item.
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A(~E1V7.lA ~,,,{,
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Jti 4254 Senate liW - AM~Nll~ll
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BILL NUMBER: SB 484 AMENDED
BILL TEXT ,
AMENDED IN SENATE APRIL 24, 2001 ~
INTRODUCED BY Senator Vincent
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FEBRUARY 22, 2001
-wit-ae~-~e a e~ ~ 6 e e ~ g e~ e ~ 9 4' ~ P ~ r~r,} } }~ 7 ~ e ~ ~~ e~rccr~
. An act
relating to highways. i
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LEGISLATIVE COUNSEL'S DIGEST
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SB 484, as amended, Vincent. Highways: property: lease:
conveyance.
Existing law vests full responsibility and all control of all
state highways and all property and rights in property for state
highway purposes in the Department of Transportation.
This bill would authorize the Department of Transportation to
enter into a settlement agreement with the City of Lynwood and credit
the settlement amount toward the fair market lease or purchase price
of surplus properties or .airspace within the city adjacent to the
Century Freeway if the department finds that the City of Lyn wood
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incurred costs from expenditures related to the maintenance and care
of the surplus properties, determines .the amount of the expenditures,
and determines the expenditures were to the benefit of the
department`s operations and constitute a valid claim against the ~
state.
~tre e~*~~a~~e~e~~ a~~,4ee~~e~ t~~e~e~~e
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THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
~ '
SECTION 1. Tne Legislature finds and declares all of the
following:
(a) After the construction of the Century Freeway (State Highway!
Route 105) through the middle of the City of Lynwood, several small;
~ ~
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rake i cir
5/31 /0l
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: .no.
Jii 4254 senate tslll - AMh1VU~U
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' parcels and strips of land owned by. the Department of Transportation.
'were left unused alongside that freeway within the city.
(b) These unused small. parcels and strips of vacant land have been
contributing to conditions of 'crime, health and safety hazards,
Might, and nuisance for more :than six and one-half years.
~e }eree~el~~e~,a~s; e~~keep~--err~•-:natrr~ene~eeT-e2~e 9~C~~€f, €3~e; -af~e~
e e ~~ ~'r-~ ~e~e e ~ 3e a ~e ~ t~s9e-~i~~e e ~ e . ~~~ e9e CCs ~ 9 eei~ 3 i!t}e--~
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(c) The City of Lynwood has incurred maintenance costs, dumping;
disposal costs, and graffiti removal costs on the surplus department
properties within the city..
(d) These lands should be put to beneficial use by the City of
Lynwood for economic development and use as a park.
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SEC. 2. (a ), The Department :of Transportation may enter into a
settlement agreement with the,City of Lynwood and credit the
settlement amount toward the fair market Zease or purchase price of
the surplus properties or airspace upon making a finding that all of
the following have occurred:
(1) The City of Lynwood has; incurred costs from expenditures
related to the maintenance and care of surplus properties adjacent:to
the Century Freeway (State Highway Route I-105) within the city and
has determined the amount of the expenditures.
(2) The expenditures referred to in subdivision (a) were to the
benefit of the department's operaticns and constitute a valid claim
against the state. !
(b) Any lease or purchase shall be subject to all other existin g
terms and conditions applicable to the department's disposition of
surplus. property acquired for 'highway purposes.
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