FOUR FIFTHS VOTE REQUIREMENT Adoption of Budget Amendments Re Appropriating Bond Funds. City of Culver City California Agenda Item Report Meeting Date: 04/02/12 CITY COUNCIL AGENDA ITEM: FOUR FIFTHS VOTE REQUIREMENT Adoption of Budget Amendments Re Appropriating Bond Funds. Contact Person/Dept.: Nick Kimball Finance Fiscal Impact: Yes X No Public Hearing: Commission Action Required: Yes No X Date: _______________ Public Notification: Agendas and Meetings City Council (03/30/2012) Department Approval: Jeff Muir (03/29/12) Chief Financial Officer Approval: Jeff Muir (03/29/12) City Attorney Approval: Carol Schwab (by H. Baker) (03/29/12) City Manager Approval: John M. Nachbar (03/29/12) General Fund: Yes No X Attachments: Phone Number: 310.253.6013 Action Item: Item Number: C 6 RECOMMENDATION: Staff recommends the City Council adopt the proposed budget amendments for the re appropriation of Bond Funds. A City budget amendment requires a 4/5ths vote. BACKGROUND/DISCUSSION: As a result of ABX1 26 (AB 26) which dissolved redevelopment agencies statewide as of February 1 2012 the City has experienced a significant loss of revenue from the former Culver City Redevelopment Agency (CCRA) that was used to support City staff and programs that are impacted by redevelopment activity. AB 26 provides a small administrative allowance to successor agencies equal to either 5% or 3% of the total property tax received by the successor agency from the County to pay enforceable obligations. This amounts to a fraction of the former administrative related revenue received by the City. Consequently staff has been exploring other options fund necessary administrative costs formerly funded by tax increment. In the past staff has maximized the number of bond funded projects by appropriating only hard construction costs and funding consultants and City staff working on the project from tax increment funds. However funding project related soft costs including consultants and construction managem...
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