Loading...
HomeMy WebLinkAboutE-07 Staff Report - Approve Azusa-RMC JPA FY 2019-20 BudgetCONSENT ITEM E-7 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL VIA: SERGIO GONZALEZ, CITY MANAGER FROM: TALIKA M. JOHNSON, DIRECTOR OF FINANCE DATE: JUNE 17, 2019 SUBJECT: ADOPT RESOLUTION APPROVING THE AZUSA-RMC JOINT POWERS AUTHORITY BUDGET FOR FISCAL YEAR 2019-20 BACKGROUND: In 2016, the City Council took several actions to establish the Azusa-RMC Joint Powers Authority which will long-term manage the hillside open space property north of the Rosedale project. The Authority was formed in partnership with the San Gabriel and Lower Los Angeles Rivers and Mountains Conservancy (Conservancy). As set forth in the Azusa-RMC Joint Powers Authority’s Joint Exercise of Powers Agreement, an adopted annual budget shall be in a form approved by the Conservancy (RMC) and by the City of Azusa, and shall be submitted to the City Council of the City and the Board of the Conservancy for review and approval. On June 13, 2019, the Azusa-RMC Joint Powers Authority approved the proposed Fiscal Year 2019-20 budget (Attachment 1). The City Council must now review and approve the annual budget. The proposed action adopts Resolution No. 2019-C22 approving the Azusa-RMC Joint Powers Authority Budget for Fiscal Year 2019-20. RECOMMENDATION: Staff recommends the City Council take the following action: 1) Adopt Resolution No. 2019-C22 approving the Azusa-RMC Joint Powers Authority Budget for Fiscal Year 2019-20. ANALYSIS: In 2016, the City Council took several actions to establish the Azusa-RMC Joint Powers Authority which will long-term manage the hillside open space property north of the Rosedale project. The Authority was formed in partnership with the San Gabriel and Lower Los Angeles Rivers and Mountains Conservancy (the “Conservancy”). APPROVED CITY COUNCIL 6/17/2019 Approve the Azusa-RMC Joint Powers Authority Budget June 17, 2019 Page 2 Public funds may not be distributed by the Azusa-RMC Joint Powers Authority except pursuant to an annual budget. Furthermore, Section 6.2.2 of the Azusa-RMC Joint Powers Authority’s Joint Exercise of Powers Agreement states: Annual Budget. Annually, prior to July 1 of each year, the Board shall adopt a budget for all expenses to be made by the Authority during the ensuring Fiscal year and an allocation of contributions from Member Agencies. The Board shall adopt an annual budget in a form approved by the City and the Conservancy, which shall be submitted to the City Council of the City and the Board of the Conservancy for approval. Public funds may not be distributed by the Authority except pursuant to a budget which has been adopted by the Board and approved by the City council of the City and the Board of the Conservancy, and all receipts and disbursements shall be in strict conformance with the adopted and approved budget. The Authority’s Board at their June 13th Meeting, approved the proposed budget for Fiscal Year 2019- 20 (Attachment 1). The proposed budget covers the Authority operations through June 30, 2020. The proposed FY 2019-20 budget provides a detailed explanation of revenues and anticipated expenditures. Total revenues are $18,477, including $4,000 of in-kind contributions from the Conservancy and $2,000 from the City. Expenditures are separated into administrative and operational components totaling $18,477, with $12,477 in direct cash expenses. The proposed Azusa-RMC Joint Powers Authority Budget is a balanced budget. FISCAL IMPACT: There is no fiscal impact associated with the recommended action. Prepared by: Reviewed and Approved: Talika M. Johnson Sergio Gonzalez Director of Finance City Manager Attachments: 1) Proposed Budget Fiscal Year 2019-20 2) Resolution No. 2019-C22 approving the Azusa-RMC JPA Budget for Fiscal Year 2019-20 BudgetFYE2019Actuals as of 05/31/19Additional Projected through 6/30/19ForecastedFYE2019 Proposed BudgetFYE2020  ProjectionsFYE2021  ProjectionsFYE2022 RevenuesGeneral Administrative & Operating Revenue     RMC JPA Contribution (in‐kind) 3,000            1,500            300                1,800             4,000            4,000            4,000                 City of Azusa JPA Contribution (in‐kind)‐                 ‐                 ‐                  ‐                 2,000            2,000            2,000                 Other Miscellaneous Revenue‐                 ‐                 ‐                  ‐                  ‐                 ‐                 ‐                     Subtotal‐General Administrative & Operating 3,000            1,500            300                1,800             6,000            6,000            6,000            Grants and Special Projects Revenue      Grant‐Rivers & Mountains Conservancy‐                 ‐                 ‐                  ‐                  ‐                 ‐                 ‐                      Grant‐Other Federal, State, County & Local Funds‐                 ‐                 ‐                  ‐                  ‐                 ‐                 ‐                      Other‐Unrestricted 10,783          5,435            6,190            11,625           12,477          8,513             ‐                      Other‐Donations‐                 ‐                 ‐                  ‐                  ‐                 ‐                 ‐                      Other‐Miscellaneous‐                 ‐                 ‐                  ‐                  ‐                 ‐                 ‐                     Subtotal‐Grants and Special Projects10,783          5,435            6,190            11,625           12,477          8,513             ‐                Total Revenue13,783          6,935            6,490            13,425           18,477          14,513          6,000            ExpensesGeneral Administrative Expenses     Administrative Support (RMC in‐kind) 1,000            720               150                870                1,000            1,000            1,000                 Legal Services (City in‐kind)‐                 ‐                 ‐                  ‐                 2,000            2,000            2,000                 Legal Services‐                295               590                885                 ‐                 ‐                 ‐                     Grant Writing‐                 ‐                 ‐                  ‐                 3,500             ‐                 ‐                     Financial Audit Services 3,500             ‐                5,300            5,300             2,780            3,500            3,500                 Insurance/Insurance Bond 3,883            2,465             ‐                 2,465             2,588            2,718            2,854                 Other/Not Classified‐                 ‐                300                300                300               300               300                    Subtotal‐General Administrative 8,383            3,480            6,340            9,820             12,168          9,518            9,654            General Operational Expenses     Insurance 2,900            2,675             ‐                 2,675             2,809            2,949            3,097                 Security‐                 ‐                 ‐                  ‐                  ‐                 ‐                 ‐                     Grounds Maintenance and Repair Contigency500                ‐                 ‐                  ‐                 500               500               500                    Property Management (RMC in‐kind) 2,000            780               150                930                3,000            3,000            3,000                 Weed Abatement‐                 ‐                 ‐                  ‐                  ‐                     Subtotal‐General Operational 5,400            3,455            150                3,605             6,309            6,449            6,597               Total Expense13,783            6,935              6,490              13,425            18,477            15,967            16,250            Change In Net Position Before Transfers‐                     0000(1,454) (10,250)Transfers In‐                 ‐                 ‐                  ‐                  ‐                 ‐                 ‐                Transfers Out‐                 ‐                 ‐                  ‐                  ‐                 ‐                 ‐                Change In Net Position‐                 ‐                 ‐                  ‐                  ‐                (1,454)          (10,250)        CONSOLIDATED BUDGET FISCAL YEAR 2019‐2020AZUSA‐RMC JOINT POWERS AUTHORITY ATTACHMENT 2 RESOLUTION 2019-C22 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AZUSA, CALIFORNIA APPROVING THE AZUSA-RMC JOINT POWERS AUTHORITY BUDGET FOR FISCAL YEAR 2019-20 WHEREAS, the Azusa-RMC Joint Powers Authority (Authority) has been established as a joint powers authority between the City of Azusa and San Gabriel and Lower Los Angeles Rivers and Mountains Conservancy; and WHEREAS, the Authority has been established to acquire, operate, and conserve additional park and open space lands including water-oriented recreation and conservation projects in the vicinity of the City of Azusa; and WHEREAS, this action approves the Fiscal Year 2019-20 Budget; and WHEREAS, the proposed action is not a “project” under Section 15378(b)(5) of the California Environmental Quality Act (CEQA) Guidelines because it pertains to organizational or administrative activities that will not result in direct or indirect physical changes to the environment. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Azusa does hereby find, determine, and declare as follows: SECTION 1. Finds that this action is consistent with the purposes of the Authority. SECTION 2. Finds that the actions contemplated by this resolution are exempt from the requirements of CEQA. SECTION 3. Adopts the staff report dated June 17, 2019. SECTION 4. Approves the Fiscal Year 2019-20 Budget. PASSED, APPROVED and ADOPTED this 17th day of June, 2019. ___________________________________ Joseph Romero Rocha Mayor ATTEST: ___________________________________ Jeffrey Lawrence Cornejo, Jr. City Clerk STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss. CITY OF AZUSA ) I HEREBY CERTIFY that the foregoing Resolution No. 2019-C22 was duly adopted by the City Council of the City of Azusa at a regular meeting thereof, held on the 17th day of June, 2019, by the following vote of the Council: AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: ___________________________________ Jeffrey Lawrence Cornejo, Jr., City Clerk APPROVED AS TO FORM: ___________________________________ Best Best & Krieger, LLP City Attorney