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CITY 'OF SAN BERtQ:IDINO - REQUEST ()R COUNCIL ACTION
Date:
November 29, 1994
Subject: Transfer of funds from Parking
District Fund to General Fund
to pay for Youth Committee
programs and outstanding legal
fees.
From:
FRED WILSON
Assistant City Administrator
Dept:
Syno~lsis of Previous Council action:
Recommended motion:
'rhat the Finance Director be directed to transfer the amount of
$132,216 from the Parking District Fund to the General Fund to repay
i~ portion of the outstanding loan to the parking District: that
$35,754 of that amount be allocated to fund the Late Night Hoops
i~nd Mentoring/Tutoring programs as outlined in the Youth Committee
:report and that the remaining balance of $96,462.00 be transi~rip.d to
Account #001-092-54102 to fund legal services for the following
la\lSuit: Scott vs. City of San Bernardino (~gator lawsuit).
~ Signature
Contact person:
Fred Wilson
Phone:
'i122
Supporting data attached: ves
Ward:
FUNDING REQUIREMENTS:
Amount:
$132,216.00
Source: (Acct, No.! 001-092-54102
(Acct, DescriPtion)
General fund - Non Departmental
Finance:~k~/~
Council Notes:
7S.026~~
Aaenda Item No ~
, '
c
"'---".
~
STAFF REPORT
In FY 79-80, the General Fund loaned the Parking District
$812,763.45 to fund an expansion project involving the downtown
Parking District lots. This project involved adding 254 parking
spaces to the Parking District. The payback of the loan to the
general fund was initially established at an interest rate of 7%
with a term of 28 years. The payback of the loan was through an
additional assessment on the properties in the downtown Parking
District area as well as interest earnings and rental income. That
assessment has been collected since FY 80-81 pursuant to the
resolution which establishes the mechanics for the collection.
The Finance Department recently completed a review of the parking
district fund balance at the request of the Parking Commission.
The Parking District had accumulated a fund balance as of June 30,
1994, of $334,879. The Finance Department was requested to
determine why such a large fund balance existed. This analysis
determined that, although the levy of assessments had occurred
correctly, the annual transfer of funds from the Parking District
to the General Fund to repay the loan had not been transferred in
the full amount as outlined in the authorizing resolution. As a
result, the Parking District accumulated the fund balance noted
above. According to the Finance Department analysis, a balance of
$132,216 should be transferred to the General Fund to bring the
loan current. This transfer will still leave a fund balance of
$202,663 in the Parking District fund. It should be noted that the
transfer of funds from the Parking District will not affect the
existing loan nor will it change the term of the loan.
The proceeds of the transfer are recommended to be allocated as
follows:
1.
First year funding of the Late
MentoringjTutoring Program as outlined
Committee Report. -- $35,754.
Night Hoops
in the Youth
2. Payment of legal services for Scott et al vs. Common
council (investigator lawsuit). Through September 1,
1994, the City has incurred approximately $26,000 in
legal costs associated with the City's defense in this
case. These costs were not anticipated when the budget
was prepared. As the case is on appeal, the final costs
are not known at this time.
Adoption of the form motion is recommended.