HomeMy WebLinkAbout29 - NB-2 - Successor Agency Adminstrative Budget - 2/18/2014New Business Item 2
SUCCESSOR AGENCY TO THE COSTA MESA
REDEVELOPMENT AGENCY
AGENDA REPORT
MEETING DATE: February 18, 2014 ITEM NUMBER: 2
SUBJECT: SUCCESSOR AGENCY ADMINISTRATIVE BUDGET FOR SIX-MONTH
FISCAL PERIOD OF JULY 1, 2014 TO DECEMBER 31, 2014
DATE: February 18, 2014
FROM: FINANCE DEPARTMENT
PRESENTATION BY: COLLEEN O'DONOGHUE, CPA, ASSISTANT FINANCE
DIRECTOR
CONTACT: COLLEEN O'DONOGHUE, ASSISTANT FINANCE DIRECTOR
(714) 754-5219 COLLEEN.ODONOGHUE(cD-COSTAMESACA.GOV
RECOMMENDED ACTION
Adopt Successor Agency Resolution No. 14-_ Approving the Successor Agency's
Administrative Budget for the 14-15A Six -Month Fiscal Period of July 1, 2014 to
December 31, 2014 Pursuant to Health and Safety Code Section 34177(j) of the
Dissolution Laws
BACKGROUND AND DISCUSSION
The Dissolution Laws, Parts 1.8 and 1.85 of the California Health and Safety Code,
as modified by the Supreme Court's opinion in California Redevelopment
Association, et al. v. Ana Matosantos, et al., Case No. S194861 and as amended by
Assembly Bill 1484 chaptered and effective June 27, 2012, in particular Section
341770), requires the Successor Agency to the Costa Mesa Redevelopment Agency
("Successor Agency") to prepare a proposed "Administrative Budget" for the period
concurrent with the six-month fiscal period of each Recognized Obligation Payment
Schedule ("ROPS"). To date the Successor Agency previously prepared and
approved and the Oversight Board reviewed and approved Administrative Budgets
through June 30, 2014.
Pursuant to AB 1484, each ROPS includes a line item for the Successor Agency's
Administrative Budget for the applicable period and requires that for the 14-15A six-
month fiscal period of July 1, 2014 to December 31, 2014 shall be approved by the
Successor Agency and Oversight Board and submitted to the State Department of
Finance ("DOF") as a part of ROPS 14-15A by March 1, 2014.
Successor Agency staff has prepared and now submits to the Successor Agency for
review and approval the proposed Administrative Budget for the period July 1, 2014
to December 31, 2014. (Attachment 1) Pursuant to Section 341770) as amended by
AB 1484, an Administrative Budget is to include all of the following: (a) estimated
amounts of the Successor Agency's administrative costs for the upcoming six-month
fiscal period (here, July 1, 2014 to December 31, 2014); (b) the proposed sources of
payment for the costs identified in (a); and (c) proposals for arrangements for
administrative and operations services provided by the City to the Successor
Agency.
If approved, the Administrative Budget next will be submitted to the Oversight Board
for review and approval. Under Section 34177(k), the Successor Agency would then
provide to the County of Orange Auditor -Controller the administrative cost estimates
from the approved Administrative Budget that are to be paid from property tax
revenues deposited into the Redevelopment Property Tax Trust Fund ("RPTTF") for
the 14-15A fiscal period.
FISCAL AND LEGAL REVIEW
The Finance Department staff has worked with the Successor Agency's special
counsel Stradling Yocca Carlson & Rauth in preparation of this Administrative
Budget pursuant to the Dissolution Laws.
CONCLUSION
Staff recommends adoption of the attached resolution approving the Successor
Agency's Administrative Budget for the 14-15A fiscal period of July 1, 2014 to
December 31, 2014.
Thomas R. Hatch
Chief Executive Officer
Colleen O'Donoghue, CPA
Assistant Finance Director
Attachments:
1. Administrative Budaet for the 14-15A six-month fiscal Deriod of Julv 1. 2014 to
December 31, 2014
2. Successor Agency Resolution No. 14-