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HomeMy WebLinkAbout2008/2009 Planned Local Drainage Facility Fund Annual CompliCouncil/Agency Meeting Held:_ 1 1p Deferred/Continued to: )�LAppr ved ❑ Conditionally Approved ❑ Denied Cit Cleoes Sign re Council Meeting Date: April 5, 2010 Department ID Number: PW 10-020 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Administrator PREPARED BY: Travis K. Hopkins, PE, Director of Public Works SUBJECT: Approve Developer Fee Funds Annual Compliance Reports Statement of Issue: In accordance with the Huntington Beach Municipal Code and the California Government Code, the City Council must receive annual compliance reports on facilities improvement fees collected for development projects. The three funds with this requirement included Planned Local Drainage Facilities, Sanitary Sewer Facilities, and Fair Share Traffic Impact Mitigation Fee. Funding Source: No funding is required for the recommended action Recommended Action: Motion to: A) Approve the Planned Local Drainage Facility Fund Annual Compliance Report for Fiscal Year 2008/09 B) Approve the Sanitary Sewer Facilities Fund Annual Compliance Report for Fiscal Year 2008/09 C) Approve the Fair Share Traffic Impact Mitigation Fee Annual Compliance Report for Fiscal Year 2008/09 Alternative Action(s): Recommend revisions to any of the reports. Item ie REQUEST FOR COUNCIL ACTION MEETING DATE: 4/5/2010 DEPARTMENT ID NUMBER: PW 10-020 Analysis: The three funds included in this report are comprised of fees paid by developers. Use of the funds is restricted to making system improvements as outlined in the respective master plans. Information contained in the reports conforms to the requirements of the Huntington Beach Municipal Code regarding revenues and expenditures in each fund. Public Works Commission Action: The Public Works Commission reviewed each report on March 17, 2010 and recommended approval by a vote of 7-0. The Commission expressed concern that the loans from the Drainage and Sanitary Sewer Funds to the Redevelopment Agency were over 20 years old and did not have a repayment schedule. Environmental Status: No applicable Strategic Plan Goal: Maintain, Improve and Obtain Funding for Public Improvements Attachment(s): ATTACHMENT it Planned Local Drainage Facilities Fund Annual Compliance Report Fiscal Year 2008109 In accordance with Section 14.48 of the Huntington Beach Municipal Code (HBMC), the Public Works Department is required to prepare an annual report of the status of the Planned Local Drainage Facility Fund (Drainage Fund) for the City Council. The process provides an opportunity for the Public Works Commission to review planned projects, revenues and expenditures under the program. The Planned Local Drainage Facilities Fund (Drainage Fund) is a development fee that is restricted to use for drainage system enhancements. Section 14.48.050 (d) requires the City Council to review the status of compliance with this Chapter, including the revenues collected and the funds expended. The following information conforms to the requirements of the HBMC regarding revenues and expenditures of the Drainage Fund. Although the reporting requirement became effective with the adoption of the revised ordinance in September 2006, the Drainage Fund has existed since 1975. The following information covers Fiscal Year 2008/09. Fiscal Status As the result of project costs overruns for the Shields Pump Station in Fiscal Year 2001/02, the Drainage Fund maintains a negative balance of ($542,322). The Drainage Fund advanced $250,000 to the Redevelopment Agency for improvements in the early 1990s. With interest accrual of $546,000, the debt amount is currently $796,000. Revenues Revenue for FY 2008/09 from development was $140,148. Interest to the fund was debited for a reduction of ($15,019). Expenditures Salary charges of $213 were inadvertently charged. No expenditures are planned for the Drainage Fund in the foreseeable future. Conformance with Program Goals and Objectives The Drainage Fund is intended to implement the goals and objectives of the current Drainage Master Plan. Funds collected and deposited to the fund may be expended solely for the construction or reimbursement for construction of drainage facilities. The Fund is in compliance with these requirements. Be innirg ;galance ,1-0/08 - $607,239 Revenue Developer fees Interest earned 140,148 15,019 Total Revenue $ 125,129 Personal services 213 Total Expenditures $213 Be innirt ' balance 10f09 >$542;323 Budgeted revenues Budgeted expenditures 50,000 0 Estimated, Balance 10/10 - $492,323 Rate Schedule Fiscal Year 2008109 Drainage Fees: $13,270 per acre