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HomeMy WebLinkAboutFY 2011-2012 Planned Local Drainage Facilities Fund Annual C Dept. ID PW 13-014 Page 1 of 2 Meeting Date:4/15/2013 a, CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL ACTION MEETING DATE: 4/15/2013 SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Manager PREPARED BY: Travis K. Hopkins, PE, Director of Public Works SUBJECT: Approve Annual Compliance Reports for the Planned Local Drainage Fund, Sanitary Sewer Facilities Fund and Fair Share Traffic Impact Mitigation Fee Program 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 are Planned Local Drainage Facilities, Sanitary Sewer Facilities and Fair Share Traffic Impact Mitigation Fee Program. Financial Impact: Not applicable. Recommended Action: A) Approve the "Planned Local Drainage Facilities Fund Annual Compliance Report Fiscal Year 2011/12;" and, B) Approve the "Sanitary Sewer Facilities Fund Annual Compliance Report Fiscal Year 2011/12;" and, C) Approve the "Fair Share Traffic Impact Fee Program Annual Report for Fiscal Year 2011/12." Alternative Action(s): Do not approve the individual compliance reports and recommend revisions. 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 20, 2013, and recommended approval by a vote of 6-0. Environmental Status: Not applicable HB -125- Item 6. - I Dept. ID PW 13-014 Page 2 of 2 Meeting Date:4/15/2013 Strategic-Plan Goal: Improve the City's infrastructure Attachment(s): 1. Planned Local Drainage Fund Compliance Report— Fiscal Year 2011-2012 2. Sanitary Sewer Facilities Fund Compliance Report— Fiscal Year 2011-2012 3. Fair Share Traffic Impact Mitigation Fee Program Compliance Report— Fiscal Year 2011- 2012 Item 6. - 2 HB -126- ATTACHMENT # 1 na -i_, Item 6. - 3 e CITY OF HUNTINGTON BEACH PUBLIC WORKS COMMISSION REQUEST FOR ACTION Item No. PW 13-05 SUBMITTED TO: Chairperson and Members of the Commission SUBMITTED BY: Travis K. Hopkins, PE, Director of Public Works DATE: March 20, 2013 SUBJECT: Planned Local Drainage Facilities Fund Annual Compliance Report Fiscal Year 2011112 Statement of Issue: 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. Funding Source: No funding is required for this action. Impact on Future Maintenance Costs: Not applicable. Recommended Action: Motion to recommend to the City Council the approval of the Planned Local Drainage Facility Fund Compliance Report for Fiscal Year 2011/12. Alternative Action(s): Recommend revisions to the report. Analysis: 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 201 1/12. Item 6. - 4 xB -128- Fiscal Status As the result of project costs overruns for the Shields Pump Station in Fiscal Year 2001/02, the Drainage Fund maintained a negative balance of ($275,130) at the end of the fiscal year. The Drainage Fund advanced $250,000 to the Redevelopment Agency for improvements in 1987. With interest accrual of $596,408, the debt amount is currently $846,408. On June, 29, 2011, the State of California enacted AB1 X26, which dissolves redevelopment agencies and designates Successor Agencies to "wind-down" activities of the former redevelopment agencies under supervision of newly created Oversight Boards. On January, 31, 2012, the City's Redevelopment Agency presented an initial draft Recognized Obligation Payment Schedule (BOPS) to the Successor Agency. In this case, the City has elected to become the Successor Agency. The debt noted above is included in the list of obligations, however, no payments are scheduled to the Drainage Fund within the presented time frame. Revenues Revenue for FY 201 1/12 from development was $100,354. Interest to the fund was debited for a reduction of ($2,088). Expenditures No expenditures were made in 201 1/12, or 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. Beginning Balance l0/'!1 ;° y .;r7 ($373;390 Revenue Developer fees 100,354 Interest earned (2,088) Total Revenue y y $ 98,266 .�fi "'W I,. r lkg XPRI Total Expenditures 0 be nnii Balance 10/12 Budgeted revenues 90,000 Budgeted expenditures 0 Estimated Balance'!0/13 ($'9 85,130) xB -129- Item 6. - 5 Rate Schedule Fiscal Year 2011/12 Drainage Fees: $13,880 per acre. Environmental Status: Not applicable Attachments: None Item 6. - 6 HB -1.30- ATTACHMENT #2 iin -131- Inn 6. - 7 No VIM J CITY OF HUNTINGTON BEACH �- PUBLIC WORKS COMMISSION REQUEST FOR ACTION Item No. PW 13-06 SUBMITTED TO: Chairperson and Members of the Commission SUBMITTED BY: Travis K. Hopkins, PE, Director of Public Works DATE: March 20, 2013 SUBJECT: Sanitary Sewer Facilities Fund Annual Compliance Report Fiscal Year 2011112 Statement of Issue: In accordance with Section 14.36 of the Huntington Beach Municipal Code (HBMC), the Public Works Department is required to prepare an annual report of the status of the Sanitary Sewer Facilities Fund (Sanitary Sewer 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. Funding Source: No funding is required for this action. Impact on Future Maintenance Costs: Not applicable. Recommended Action: Motion to recommend to the City Council the approval of the Annual Sanitary Sewer Facilities Fund Compliance Report for Fiscal Year 2011 /12. Alternative Action(s): Recommend revisions to the report. Analysis: The Sanitary Sewer Fund is a development fee that is restricted to use for sewer capacity enhancements. The fee is unrelated to the monthly Sewer Service Charge used for operations and maintenance of the existing sewer system. Section 14.36.070 (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 Sanitary Sewer Fund. Although this requirement became effective with the adoption of the revised ordinance in Item 6. - 8 HB -132- July 2003, the Sewer Facilities Fund has existed since 1988. The following information covers Fiscal Year 201 1/12. Fiscal Status Revenues and expenditures are summarized below for the past fiscal year. The fund balance as of September 30, 2012 was $1,979,533. Not included in this figure are monies owed the Sanitary Sewer Facilities Fund by the Huntington Beach Redevelopment Agency. The original advance was $131,000. With interest accrual of $315,978 the debt amount for the fiscal year end was $446.978. On June, 29, 2011, the State of California enacted AB1 X26, which dissolves redevelopment agencies and designates Successor Agencies to "wind-down" activities of the former redevelopment agencies under supervision of newly created Oversight Boards. On January, 31•, 2012, the City's Redevelopment Agency presented an initial draft Recognized Obligation Payment Schedule (BOPS) to the Successor Agency. In this case, the City has elected to become the Successor Agency. The debt noted above is included in the list of obligations, however, no payments are scheduled to the Sanitary Sewer Facilities Fund within the presented time frame. Revenues Total revenue for FY 201 1/12 was $1,028,163. Residential and commercial developer fees contributed $75,278 and $923,973 respectively. The higher than normal commercial revenue is due to a receipt of $823,545 related to the ongoing development at Bella Terra. Miscellaneous revenue totaled $12,31 Q. The fund was credited $16,602 in interest. Expenditures Fiscal Year 201 1 /12 Expenditures for the fund in FY 11/12 included $90,740 in salaries and $30,139 in engineering design related to the Trinidad station for a total of $120,879. Fiscal Year 2012/13 Budgeted expenditures for the current fiscal year include $106,911 in encumbrance rollovers, $400,000 in new funds. In addition, $525,200 for Warner Avenue Gravity Sewer and $399,000 for Trinidad Lift Station were carried over from FY 1 1-12 to FY 12-13. Total budgeted expenditures are $1,431,1 1 1 HB -133- Item 6. - 9 Conformance with Program Goals and Objectives The Sanitary Sewer Facilities Fund is intended to implement the goals and objectives of the current Sewer Master Plan. Funds collected and deposited to the fund may be expended solely for the construction or reimbursement for construction of sanitary sewer facilities. The Fund is in compliance with these requirements. Environmental Status: Not applicable. Summary of Revenue and Expenditures Sanitary Sewer Facilities Fund Beginning Balanc&:10/11 ;x ,3 _" $107,2,249 Revenue Developer fees (residential) 75,278 Developer fees (commercial) 923,973 Miscellaneous revenue 12,310 Interest earned 16,602 Total Revenue _ y $ 1,028,163 • '. 'c-4 " R'a.'d31��- " 3+�, � �.�- 2� ....V 1 k'. Y ''F� A"Ua f 1.A 5` c3.s� ,y' .1 ___' EXpend�tuaes Salaries and Benefits (90,740) Design services (30,139 Total Expenditures ($120,$79) Beginning Balance_1a/1.2 $1,979,533 Budgeted revenues 87,000 Budgeted expenditures (1,431.111) Estimated Balance 1.0/13 $635,422 Item 6. - 10 HB -134- Rate Structure Fiscal Year 201 l/12 CI,7 1O 1=Ei=S 7gf eG�u Octob`e 0 Single Family Dwelling Unit 2,202 Multiple Family Dwelling Unit 1,801 l�on�es�den#ial��as�8=on mraterer,size reship to�ga�ata�Dvusll�r�g�rai#, Efl�"� '. 3/4" 1 $ 2,503 ill 2 $ 5.006 1 '/2" 3 $ 7.509 2" 5 $ 12,517 3" 11 $ 27,537 4" Compound 17 $ 42,556 4" Domestic&Turbine 33 $ 82,610 6" Compound 33 $ 82,610 6" Domestic&Turbine 67 $ 167,721 8" Domestic 117 $ 292,885 10" Domestic 183 $ 455,483 Attachments: None HB -135- Item 6. - 11 ATTAC H M E N T #3 CITY OF HUNTINGTON BEACH �- PUBLIC WORKS COMMISSION REQUEST FOR ACTION Item No. PW 13-07 SUBMITTED TO: Chairman and Members of the Commission SUBMITTED BY: Travis K. Hopkins, PE, Director of Public Works DATE: March 20, 2013 SUBJECT: Fair Share Traffic Impact Fee Program Annual Report for Fiscal Year 2011/12 Statement of Issue: In accordance with Section 17.65.130 of the Huntington Beach Municipal Code (HBMC), the Public Works Department is required to prepare an annual report of the status of the Fair Share Traffic Impact Fee Program for the City Council. The process also provides an opportunity for the Public Works Commission to review revenues and expenditures under the program. Funding Source: No funding is required for the recommended action. All Traffic Impact Fee funds are maintained in a separate account from other City operation funds. Recommended Action: Motion to recommend approval of the 201 1/12 Traffic Impact Fee Annual Report to the City Council. Alternative Action(s): Recommend revisions to the report elements or request additional information. Analysis: The Fair Share Traffic Impact Fee (TIF) program is intended to implement the goals and objectives of the General Plan by providing revenue to ensure that the adopted Level of Service standards for arterial roadways and signalized intersections are maintained when new development is constructed within the City limits and that these developments pay their fair share towards short and long term transportation improvements. During the FY 201 1/12 fiscal year, the City Council approved an update of the Fair Share Traffic Impact Fee including minor revisions to the Municipal Code and the fee structure. The following sections comprise the annual report. xB -137- Item 6. - 13 Fiscal Status This report presents the fund information based on the City's preliminary audit for Fiscal Year 201 1/12. The balance for the fund at the beginning of the fiscal year was $30,402. During FY 201 1/12, Traffic Impact Fee fund recognized $293,447 in revenues including the following: • Grant reimbursements $134,545 • Impact Fees Paid $156,820 • Interest $ 2,082 Expenditures from the fund totaled $57,567 during the year, with the majority of those expenses ($41,086) in personnel salaries and benefits related to program and project administration. The fund balance at the end of the fiscal year was $266,282. No projects were funded in this program in FY201 1/12 due to the low fund balance. Planned Capital Projects, Studies and Expenditures The City Council approved funding towards two projects using Traffic Impact Fee funds for the 2012/13 Fiscal Year. The Atlanta widening project has $26,500 in continuing project funding. The City Council also approved $60,000 funding for a study of the potential reconfiguration of the Beach/Ellis/Main Street intersection to improve traffic flow efficiency and reduce congestion. Most projects envisioned in the Traffic Impact Fee program require substantial funding and project programming is expected to be limited for the next few years while the fund balance increases to a level sufficient to fund larger projects. Staff will continue to look for opportunities to obtain grant funds for TIF eligible projects and consider use of TIF funds as local matching funds. Capital Project Reimbursements During the FY 201 1/12 Fiscal Year, staff has been working to dispose of excess real property owned by the Traffic Impact Fee fund. Though none of the sales were finalized in the FY 201 1/12, significant progress was made and the sale of two properties are expected to be finalized this year. The overall assessed value of the real estate assets to the fund are in excess of $700,000 2010/1 1 Fund Balance Including Assets Final Audited Fund Balance $266,282 Real Estate Assets (low estimate) $700,000 Total $966,282 Item 6. - 14 HB -138- Conformance with Program Goals and Objectives The Traffic Impact Fee Program is intended to implement the goals, objectives and policies of the City of Huntington Beach General Plan, as stated in the Municipal Code Chapter 17.65. Completion of the planned projects .implements improvements identified in the Circulation Element of the General Plan and is in conformance with the goals and objectives of the Fair Share Traffic Impact Fee program. HB -139- Item 6. - 15