HomeMy WebLinkAbout86-112 - Establish Cash Reserve (Article XIII-B of State Constitution) FY 1985-86RESOLUTION NO. 86-112
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
COSTA MESA, CALIFORNIA, ESTABLISHING AND IMPOUND-
ING A CASH RESERVE FOR THE FISCAL YEAR OF 1985-86,
TO COMPLY WITH ARTICLE XIII -B OF THE CONSTITUTION
OF THE STATE OF CALIFORNIA.
THE CITY COUNCIL OF THE CITY OF COSTA MESA DOES HEREBY RESOLVE AS
FOLD :
THAT, WHEREAS, Article XIII -B of the Constitution of the State of
California establishes a procedure for the computation of an annually
adjusted limit for the appropriation of proceeds of taxes; and
WHEREAS, said article also prohibits the appropriation and expenditure
of proceeds of taxes received in excess of the appropriation limit; and
WHEREAS, proceeds of taxes received in excess of the appropriation
limit must be returned within the next two subsequent fiscal years in
accordance with Government Code Section 7911, unless otherwise authorized
by the voters pursuant to Section 4 of said article; and
WHEREAS, it had been determined by the Director of Finance that the
appropriation limit for the fiscal year of 1985-86 is $33,573,667.00; and
WHEREAS, the City Council of the City of Costa Mesa did adopt the
aforementioned appropriation limit by enactment of Resolution No. 85-54 on
June 17, 1985; and
WHEREAS, it has been determined by the Director of Finance that the
proceeds of taxes received during the fiscal year 1985-86 amounted to
$34,120,713.00, which is $547,046.00 in excess of the amount that the City
of Costa Mesa is legally authorized to appropriate;
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of
Costa Mesa does hereby direct the Director of Finance to establish a cash
reserve in the amount of $547,046.00, and to apportion interest to this
cash reserve quarterly at the same rate at which interest is apportioned
to other funds and accounts; and that said funds are to be impounded and
their use restricted until Government Code Section 7911 has been complied
with or voter approval has been obtained changing the appropriation limit
pursuant to Article XIII -B, Section 4 of the Constitution of the State of
California.
PASSED AND ADOPTED this 6th day of October, 1986.
ATTEST:
y Clerk of the City of Coso Mesa
STATE OF CALIFORNIA ) v
COUNTY OF ORANGE ) ss
CITY OF COSTA MESA )
Makor of the City &,j
I, EILEEN P. PHINNEY, City Clerk and ex -officio Clerk of the City
Council of the City of Costa Mesa, hereby certify that the above and fore-
going Resolution No. 86-112 was duly and regularly passed and adopted by
the said City Council at a regular meeting thereof, held on the 6th day of
October, 1986.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Seal
of the City of Costa Mesa this 7th day of October, 1986.
01 (RL-�
City Clerk and ex -officio Cler the
City Council of the City of Mesa