HomeMy WebLinkAbout47 - NB-1 - Council Direction for Allocation of - 7/21/2015CITY COUNCIL AGENDA REPORT
MEETING DATE: JULY 21, 2015 ITEM NUMBER: NB -1
SUBJECT: COUNCIL DIRECTION FOR ALLOCATION OF FIELD USE FEES
DATE: JULY 8, 2015
FROM: CHIEF EXECUTIVE OFFICE
PRESENTATION BY: DANIEL BAKER, ASSISTANT TO THE CEO
FOR FURTHER INFORMATION CONTACT: Dan Baker (714) 754-5156
RECOMMENDATION:
It is recommended that the City Council provide direction to staff where to allocate field
use fees paid by the Matt Leinart Flag Football Program.
BACKGROUND:
The Matt Leinart Flag Football Program began utilizing Costa Mesa athletic fields in the
fall of 2013. Due to a miscommunication between the group organizers and City staff, it
has been determined that prior use fees need to be paid at a total cost of $24,862. The
group has paid their first installment of $4,862 (Attachment 1).
At the July 7, 2015 City Council Meeting, Council Member Katrina Foley requested that
staff bring back a council report that would allow the City Council to determine an
appropriate use of the funds.
ANALYSIS:
Traditionally, fees that are paid by individuals or organizations that utilize City facilities
are deposited in general fund revenue accounts. The fees paid by Leinart league
organizers will follow the same guidelines unless specified by City Council direction.
Council Member Foley expressed interest in allocating the $24,862 in fees equally to
assist both Costa Mesa and Estancia high schools in the purchase of athletic
equipment. If this is Council's direction, the fees collected may be reallocated towards
the City of Costa Mesa Athletic Grant Program.
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Because the fees involve the use of public funds, the City has a fiduciary responsibility
to the public in how the funds are spent. The terms and conditions on the use of the
funds will continue to be documented in a form of an agreement between Costa Mesa
United and executed by the City CEO before any disbursement of public funds. In
addition, project specific agreements will continue to be utilized to appropriately
document the public purpose of the grant award(s) with final approval by the Newport
Mesa Unified Board of Trustees. Attachment 2 is the approved expenditures over the
last three years for this program.
ALTERNATIVES CONSIDERED:
An alternative would be to allocate the funds towards athletic field improvements at City
facilities and or parks which would include Jake Hammett, Lion's Park, etc.
Another alternative would be to allow the fees to be disbursed back into the general
fund revenue accounts to be utilized by the finance department in relationship to annual
budgeting purposes.
FISCAL REVIEW:
Currently, for Fiscal Year 2015-2016, Estancia High School is eligible for $52,295.24 in
athletic grant funding due to carryover from prior years. Conversely, Costa Mesa High
School is eligible for $99,400 due to prior year carryovers. If Council were to reallocate
funds toward the grant program, both schools would receive a one-time equal split of
$12,431 of the reimbursed fees. These fees would then be eligible to be spent on
authorized athletic facility improvements at both schools.
If approved, budgeted contingency funds would be used to front the total expenditures
now, with additional payments coming into the City as outlined in attachment 1.
LEGAL REVIEW:
Legal has reviewed the report and agrees that the funding will need to be disbursed
consistently with state law to ensure public benefit.
CONCLUSION:
Staff is requesting that the City Council provide direction regarding the allocation of field
use fees paid by the Matt Leinart Flag Football League.
DANIEL K. BAKER
Assistant to the CEO
Attachment 1 Matt Leinart Letter
Attachment 2 Grant Program Summary
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