05-17-2017 - Fiscal Year 2017-18 Budget Study Session - Item No. 1 (2).pdf
AGENDA STAFF REPORT
City of West Covina | Office of the City Manager
DATE: May 17, 2017
TO: Mayor and City Council
FROM: Chris Freeland
City Manager
SUBJECT: FISCAL YEAR 2017-18 BUDGET STUDY SESSION
RECOMMENDATION:
It is recommended that the City Council provide City staff direction on the various City priorities
related to the Fiscal Year 2017-18 Operating and Capital Improvement Program Budget.
DISCUSSION:
On January 31, 2017, the Finance Department held a Fiscal Year (FY) 2017-18 budget kickoff
meeting with City of West Covina staff to begin the development of the FY 2017-18 budget. All department budgets were turned into the Finance Department by March 2, 2017, and reviewed
with the City Manager the following week.
In addition, as part of the FY 2017-18 Operating and Capital Improvement Program (CIP) Budget
preparation, two Community Budget Workshops were held on April 19, 2017, and May 8, 2017. At the 1st Community Budget Workshop staff shared information on the various funds that make
up the City of West Covina’s budget, department responsibilities and discussed the current
financial state of the City, including a preliminary General Fund operating deficit of $6.1 million.
Staff requested feedback from community members regarding the proposed budget priorities. At
the same meeting, staff presented results from the online budget survey.
At the 2nd Community Budget Workshop staff provided the community with an update on the
City’s operating deficit, which was decreased to $5.3 million, along with detailed comparisons and
explanations of rising public safety costs and the future sustainability of current levels of service.
Additionally, staff shared ideas for closing the operating gap further, including revenue ideas such as sharing the costs of crossing guards with the school districts, charging sports groups for the use
of field lighting, a street sweeping fee, dog license canvassing, the Athens contributions and
Athens enforcement. Staff also proposed the removal of vehicle replacement funding for
FY 2017-18 and 5% expenditure cuts across all departments. These cuts would include the
elimination of the aquatics program and special events, cuts to travel/training, freezing vacant
AGENDA
ITEM NO. 1
Budget Study Session Page 2 of 9 – May 17, 2017
General-funded non-safety positions, and cuts to City Council allowances and Commissioner/Treasurer budgets, among other reductions.
The goal of this Budget Study Session is to receive direction from the City Council on various
measures that would help close the operating deficit.
CITY FUND STRUCTURE
A number of different funds are utilized to account for the City, the Successor Agency to the
Former Redevelopment Agency, and the West Covina Housing Authority financial resources. Funds are classified into the following fund types:
• General Fund
• Special Revenue
• Debt Service
• Capital Project
• Proprietary
• Private Purpose Trust
The City has established multiple funds, under each fund type, to assist in accounting and record
keeping for the City and outside agencies. A brief description of all the funds are provided in Attachment No. 1.
PROPOSED BUDGET INFORMATION
For FY 2017-18, estimated revenues (including transfers in) on an all funds basis are $123,017,493. Many funds make up the total budget amount, with the largest being the General
Fund in the amount of $61,712,594, or 50% of the City’s total.
General Fund
50%
Special Revenue
Funds
23%Capital Project Funds
4%
Debt
Service
Fund
4%
Internal Service
Funds
4%
Enterprise Fund
1%
Successor Agency
14%
Total Revenues by Fund Type
$123,017,493
Budget Study Session Page 3 of 9 – May 17, 2017
As of May 17, 2017, estimated expenditures (including transfers out) for all budgeted funds are
estimated at $118,776,073. Many funds make up the total budget amount, with the largest being
the General Fund in the amount of $67,044,985, or 56% of the organization’s total.
Personnel costs inclusive of all City funds are anticipated to increase by $4.9 million from $56.3 million to $61.2 million. The increase is a result of PERS rate increases for pension benefits,
increased medical costs and changes in personnel.
General Fund
56%
Special Revenue
Funds
20%Capital Project Funds
2%
Debt Service Fund
4%
Internal Service
Funds
4%
Enterprise Fund
1%
Successor Agency
13%
Total Expenditures by Fund Type
$118,776,073
Salaries & Benefits
52%
Maintenance &
Operations
26%
Debt Service
13%
Capital Projects &
Equipment
9%
Total Expenditures by Category
$118,776,073
Budget Study Session Page 4 of 9 – May 17, 2017
General Fund The City’s overarching financial goal is to provide an appropriate level of municipal services with
the ability to adapt to local and regional economic changes, while maintaining and enhancing the
sound fiscal condition of the City. The City’s General Fund has been negatively impacted in the
past number of years by the economic recession, increases in pension costs, the State’s elimination of redevelopment, and the State’s raid of local revenues. The General Fund ending unassigned fund balance is projected to be $8.6 million, which is 13% of operating expenditures, which does
not meet the City’s 20% reserve policy. The General Fund ending unassigned fund balance, or
reserve, is equivalent to a “savings account” to cover unexpected costs or significant economic
changes. The intent is to not use this for normal operating expenses. To meet the City’s 20% reserve policy, the City needs to reduce the deficit by $4.2 million.
A summary of the General Fund balance is illustrated below:
At this time, the General Fund’s estimated ending fund balance for FY 2017-18 is $12.6 million,
but $4 million is considered nonspendable. The nonspendable portion consists of unpaid loans
from the Department of Finance (DOF) which have been approved loans to the former Redevelopment Agency and will be repaid over the next few years.
Estimated Beginning Fund Balance @ 7/1/17 17,885,763$
Operating:
Revenues 61,712,594
Expenditures (65,938,013)
Operating revenues over (under) expenditures (4,225,419)
Non-operating revenues -
Non-operating transfers out (1,106,972)
Fund Balance:
Nonspendable for Advances 3,969,135
Unassigned 8,584,237$
Estimated Ending Fund Balance @ 6/30/18 12,553,372$
Unassigned Fund Balance as a % of Operating Expenditures 13%
Note: Fund Balance Reserve Policy set the minimum unassigned fund balance to at least
20% of General Fund operating expenditures.
Budget Study Session Page 5 of 9 – May 17, 2017
General Fund Revenues:
Total General Fund revenues are projected to be $61,712,594, an increase of $2.1 million or 3.5%
from the prior year adopted budget. The increase is due to the anticipated growth in property tax revenues and charges for services.
$-
$10,000,000
$20,000,000
$30,000,000
$40,000,000
$50,000,000
$60,000,000
$70,000,000
$80,000,000
13/14 Actual 14/15 Actual 15/16 Actual 16/17 Adjusted
Budget
17/18
Proposed
BudgetFiscal Year
General Fund Comparison
Revenues
Expenditures
Property Taxes
39%Sales Tax
28%
Other Taxes
14%
Licenses & Permits
2%
Fines & Forfeitures
1%Use of Money and Property
1%
Revenue from other
Agencies
3%
Charges for Service
10%
Interdepartmental
Charges
2%
Other Revenue
<1%
Transfers In
<1%
General Fund Revenues
$61,712,594
Budget Study Session Page 6 of 9 – May 17, 2017
• Property tax revenues represent 39% of General Fund revenues for FY 2017-18. Property tax revenues are projected to increase 6.2% from the previous fiscal year. These revenue projections do not include the City’s share of residual tax increment revenues from the
former Redevelopment Agency in the estimated amount of $1,800,000.
• Sales tax revenues represent 28% of General Fund revenues for FY 2017-18. Sales tax
revenues are projected to increase 1.5% from the previous fiscal year.
$17.2 $18.6 $17.8 $17.8 $17.8 $18.3 $18.7 $18.8 $20.0 $20.9 $22.2
$-
$5.0
$10.0
$15.0
$20.0
$25.0
07/08 08/09 09/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17 17/18Millions
Fiscal Year
Property Tax Revenues
$-
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
$14.0
$16.0
$18.0
$20.0
07/08 08/09 09/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17 17/18Millions
Fiscal Year
Sales Tax Revenues
Budget Study Session Page 7 of 9 – May 17, 2017
General Fund Expenditures: At this time, General Fund expenditures for FY 2017-18 are projected to be $67,044,985. This equates to an increase in expenditures of 10.6%, or $6,449,349 when compared to the adopted
budget for FY 2016-17. The majority of General Fund expenditures are appropriated for Public
Safety services (75%) followed by Support Services (9%) and Public Works (7%). The chart
below illustrates General Fund Expenditures by Department.
The below bar chart comparison shows that public safety costs continue to outpace our property tax and sales tax revenues combined.
Support Services
9%Planning
1%
Police
47%
Fire
28%
Public Works
7%
Community Services
4%
Transfers Out
4%
General Fund Expenditures by Department
$67,044,985
$-
$10,000,000
$20,000,000
$30,000,000
$40,000,000
$50,000,000
$60,000,000
13/14 Actual 14/15 Actual 15/16 Actual 16/17 Budget 17/18 Budget
Fiscal Year
Major Revenue & Public Safety Comparison
Property & Sales Tax
Police & Fire Exp
Budget Study Session Page 8 of 9 – May 17, 2017
CAPITAL IMPROVEMENT PROGRAM: Staff is recommending a number of CIP projects for FY 2017-18, with the majority of them being
funded from special revenue funds. These projects are listed on Attachment No. 2 and include
Glendora Avenue redesign, Azusa Avenue street rehabilitation, and residential street
rehabilitation, a new ambulance, drought tolerant landscaping, sewer projects, concrete repairs, and flashing beacons. Two projects are being funded by the General Fund for a total of $130,000. These are for replacing all Fire Department Self Contained Breathing Apparatus Masks and to
fund the Catch Basin Trash Capture Device Installation Program.
CITY COUNCIL DIRECTION: The original General Fund operating budget deficit was $6.1 million. At the 2nd Community
Budget Workshop, the deficit was reduced to $5.3 million by incorporating anticipated changes to
fleet management and revised revenue estimates. Over the past week, City staff updated franchise
and sales tax revenue estimates, incorporated the Athens enforcement revenue and made further expenditure cuts, bringing the operating deficit down to $4.2 million. It is recommended that the City Council provide direction on the following revenue enhancement
options:
1) Athens annual contribution $300,000 2) Crossing guard shared costs 90,000
3) Charge sports groups for field usage/lighting 150,000
4) Street sweeping fee 490,644
5) Dog license canvassing 200,000 Total Revenue Items $1,230,644
It is recommended that the City Council provide direction on the following expenditure cuts:
1) Remove vehicle replacement funding for FY 2017-18 $253,552 2) Eliminate aquatics program 41,600
3) Eliminate special events 31,000
4) Eliminate nonessential training/travel 96,000
5) Cut Commission/Treasurer budgets 6,875 6) Cut City Council allowances to $1,500 each 16,000 7) Eliminate vacant positions:
a. Finance Account Clerk 69,000
b. Planning Associate 56,000
c. 5 Police Officers 790,000 8) Downgrade Fire Marshal to Fire Protection Specialist 71,000 9) Downgrade Deputy City Clerk to 2 Part-time positions 50,000
10) Eliminate the School Resource Officer Program 237,000
Total Expenditure Items $1,718,027
Prepared by: Reviewed and Approved by:
Serena Bubenheim
Management Analyst IT
Budget Study Session
Page 9 of 9 — May 17, 2017
Based on these recommendations, the operating deficit would decrease from $4.2 million to $1.3
million. Staff will continue to make revenue and expenditure adjustments as necessary to bring a
balanced FY 2017-18 budget to the City Council for the anticipated adoption on June 20, 2017.
IMPACT ON CITY SERVICES:
Each of the proposed cuts are likely to impact City Services to varying degrees. Freezing of vacant
positions or other similar cuts to the organization staffing levels will increase the workload on
current employees; may impact wait times at public counters and processing times for service
requests; and likely increase response times from Public Safety on non-emergency
calls. Furthermore, any revenue enhancements or expenditure cuts not approved in the staff report
will drive the need for even further reductions, over and above those still needed to close the
remaining $1.3 million operating deficit. City staff will make every effort to continue to provide
the best quality service to our customers with the resources available.
ATTACHMENTS:
Attachment No. 1 — City Fund Structure
Attachment No. 2— 2017-18 Project Summary by Fund Number
Attachment No. 1
CITY FUND STRUCTURE
A number of different funds are utilized to account for the City, the Successor Agency to the
Former Redevelopment Agency, and the West Covina Housing Authority financial resources. Funds are classified into the following fund types:
• General Fund
• Special Revenue
• Debt Service
• Capital Projects
• Proprietary
• Private Purpose Trust
The City has established multiple funds, under each fund type, to assist in accounting and record
keeping for the City and outside agencies.
GENERAL FUND TYPE
General Fund (Fund 110) The General Fund is the City’s largest single fund type and is used to account for unrestricted
revenues. The City’s General Fund is the main operating fund for non-restricted revenues, such
as general taxes and fees. Appropriations may be made from the General Fund for City activities.
This fund is used to account for basic City services such as police, fire, recreation, building,
planning and general administration. Within the General Fund, the City maintains non-spendable (not available) and unassigned (available) reserves that represent the unappropriated fund balance.
SPECIAL REVENUE FUNDS
Asset Seizure (Funds 116 and 117)
Asset Seizure revenues are received based on the City’s participation in drug-related asset seizures.
Funds are received from federal and state agencies. These funds are restricted to uses that enhance
the police department’s activities.
Air Quality Improvement Trust (Fund 119)
In 1991-1992, the state passed AB 2766, the State’s Air Quality Improvement Trust Fund. An
increase in motor vehicle license fees collected by the State of California supports this state fund.
The City receives a portion of the fees to enhance the City’s clean air efforts.
Proposition A (Fund 121)
Under Proposition A, the City receives a portion of the ½ cent of sales tax levied in Los Angeles
County to provide transportation-related programs and projects. For years the City has sold its
Proposition A funds to other cities in exchange for non-restricted General Fund dollars.
Attachment No. 1
Proposition C (Fund 122)
Under Proposition C, the City receives a portion of an additional ½ cent sales tax approved for
transportation-related programs in Los Angeles County. The funds may be used for certain capital
projects or transportation projects similar to those allowed under Proposition A. Projects include street rehabilitation and reconstruction, traffic monitoring systems, congestion management and
planning, bus shelter maintenance, and Park-and-Ride lots.
Gas Tax (Fund 124)
This fund accounts for State Gas Tax monies received under various state laws. The funds are used to fund the City’s street maintenance program. Activities include ongoing minor street repairs, upgrades of traffic signals, replacement and installation of new traffic signs and street
painting. Programs are administered through the Public Works Department.
Police Donations (Fund 127) This fund accounts for donations received and expenditures related to various police programs.
Transportation Development Act (Fund 128)
Transportation Development Act funds are received through the County and may only be used for
specific transportation development purposes. These funds are generally used by the City for
sidewalk rehabilitation and construction, and the long-term transportation planning efforts within
the City.
AB 939 (Fund 129)
This fund accounts for revenues and expenditures of programs implemented to meet the
requirements of the California Integrated Waste Management Act of 1989 (AB 939). Revenues
are generated through a waste management fee. Programs funded include the development and implementation of a solid waste reduction and recycling project, household hazardous waste disposal project, and solid waste management activities.
Community Development Block Grant (Fund 131)
This fund accounts for activities of the Community Development Block Grant received from the U.S. Department of Housing and Urban Development, including monies received from this agency as part of the federal stimulus program.
Surface Transportation Program (STP) Local (Fund 140)
The Intermodal Surface Transportation Efficiency Act of 1992 (ISTEA) is the Federal Highway Program. This fund accounts for federal money received for use in improving certain major
streets. Caltrans and the Federal Highway Administration must approve projects.
LA County Park Bond (Fund 143 & 210)
These funds account for grant money received through the Los Angeles County Regional Park and Open Space District Grant.
Waste Management Enforcement Grant (Fund 145)
This fund accounts for the money received from the State of California to help support the local
enforcement agent who monitors the local closed landfill.
Attachment No. 1
Senior Meals Program (Fund 146)
This program provides meals to low-income seniors with funding from the United States
Department of Agriculture and Area Agency on Aging. The program also receives donations from
seniors for the meals served.
Used Oil Block Grant (Fund 149)
The California Integrated Waste Management Board (CIWMB) provides grant funds to cities to
promote used motor oil recycling.
Inmate Welfare (Fund 150)
This fund accounts for any money, refund, rebate or commission received from a telephone call
from inmates while incarcerated to meet the requirements of California Penal Code: Part 3; Title
4; Chapter 1; Section 4025. The monies are to be expended for the benefit, education, and welfare
of inmates confined within the jail. Any funds that are not needed for the welfare of the inmates may be expended for the maintenance of the jail facilities.
Public Safety Augmentation (Fund 153)
This fund accounts for the permanent extension of the sales tax by ½ cent guaranteed under
Proposition 172. These revenues are restricted to the enhancement of public safety services. Revenue is allocated based on each qualified county’s proportionate share of statewide taxable
sales.
COPS/SLESA (Fund 155)
This fund accounts for grant revenue provided by the state to support Community Oriented Policing programs. Funds must be spent on front-line law enforcement services.
Beverage Container Recycling Grant (Fund 158)
The Beverage Container Recycling Grant provides funds derived from consumer deposits on
beverage containers. These funds are to be used for beverage container recycling and litter cleanup activities.
Summer Meals Program (Fund 159)
This fund comes from the Food and Nutrition Service (FNS) of the United States Department of
Agriculture, which provides a free lunch to children on weekdays during the summer months.
Maintenance District Funds (Fund 18x)
The City levies special benefit assessments and property taxes upon property within defined
districts. Through the Los Angeles County Tax Collector, assessments are placed on the property
owner’s annual tax bill. These funds are used to maintain and improve the open spaces within the districts by providing landscape maintenance. Assessment districts currently established in the City include:
Maintenance District #1 (Fund 181)
Maintenance District #2 (Fund 182)
Maintenance District #4 (Fund 184)
Maintenance District #6 (Fund 186)
Maintenance District #7 (Fund 187)
Attachment No. 1
Coastal Sage and Scrub Community Facilities District (Fund 183)
This community facilities district was formed to provide for the restoration and ongoing
maintenance of sensitive environmental habitat within the development area of a former landfill,
including habitat for endangered species such as the California gnatcatcher (Polioptila californica).
Citywide Maintenance District (Fund 188)
This is the City’s most significant special assessment fund. Revenue for the fund comes from
annual special benefit assessments from property owners who benefit from covered improvements. The Citywide Assessment District provides the majority of funding for the City’s street lighting system and street tree program.
Sewer Maintenance (Fund 189)
This fund supports the City’s street sweeping program and maintenance of the City’s sewer system.
Business Improvement District (Fund 190)
This is an assessment district supported by six of West Covina’s automobile dealers to fund the
construction, maintenance and operation of a reader board adjacent to Interstate 10.
Police Grant Funds
These funds come from federal or state grants to provide funding for various public safety
programs. Bureau of Justice Assistance Grant (Fund 130), Alcohol Beverage Control (ABC) Grant (Fund 138), and Police Private Grants (Fund 221)
Charter PEG (Fund 205)
Charter Communications awarded the City a $150,000 Public Education Grant for a number of
years. Due to changes in communications rules, no additional grant revenue is being received. The money remaining in this fund can only be used to make capital expenditures related to the City’s Public Access Channel.
Art in Public Places (Fund 212)
This fund accounts for development fees paid in lieu of acquisition and installation of approved artwork in a development, with expenditures restricted to acquisition, installation, maintenance and repair of artworks at approved sites. WC Community Services Foundation (Fund 220) This fund is used to account for activity of the West Covina Community Services Foundation, a 501(c)(3) non-profit organization. Measure R (Fund 224) Under Measure R, the City receives a portion of a ½ cent sales tax levied in Los Angeles County
to provide transportation related projects and programs. The City uses Measure R Funds to
provide a variety of transportation services including Dial-A-Ride, the West Covina Shuttle (a fixed route system), bus pass subsidies and recreational transit services.
Attachment No. 1
Taskforce for Regional Auto Theft Prevention (TRAP) Grant (Fund 233) A regional law enforcement taskforce know as TRAP is funded through vehicle registration fees pursuant to Vehicle Code section 9250.14 (SB-2139). The primary mission of TRAP is to combat auto thefts and spearhead major investigations related to vehicle thefts throughout the Southern California regions. City Law Enforcement Grant (Fund 234) This fund accounts for personnel costs that are reimbursable through the Board of State and
Community Corrections (BSCC) City Law Enforcement Grant.
Measure M (Fund 235) Under Measure M, the City receives a portion of a ½ cent sales tax levied in Los Angeles County
to provide transportation related projects and programs. The City uses Measure M Funds for
certain capital projects or transportation projects such as street rehabilitation and reconstruction,
traffic monitoring systems, and congestion management and planning.
West Covina Housing Authority (Fund 820)
Under ABX1 26, the housing functions were transferred to the West Covina Housing Authority
with the adoption of Resolution No. 2012-11 by the West Covina City Council on January 17,
2012. Accordingly, all rights, powers, duties and obligations related to the housing functions have
been assumed by the Housing Authority and it may enforce affordability covenants, and perform related activities pursuant to the applicable provisions of the Community Redevelopment Law.
ABX1 26 provides that the non-cash housing assets and obligations of dissolving redevelopment
agencies ("RDAs") do not pass to the Successor Agencies formed to wind-down each RDA, but
rather to the Housing Successor Agency. As such, decisions regarding such housing assets and obligations are not subject to approval by the Oversight Board of the Successor Agency.
This fund will accumulate loan repayments from homeowners and multi-family housing
developers per agreements that were put in place using low and moderate income housing funds
of the former Redevelopment Agency. Those funds, along with repayment of the Supplemental Educational Revenue Augmentation Fund loans that were previously made by the housing fund of
the former Redevelopment Agency, will be used to continue to provide low and moderate income
housing programs in compliance with state law regarding affordable housing.
CAPITAL PROJECT FUNDS
Capital Projects (Fund 160)
The fund was established by the City Council to serve as the source of capital funding for projects
that have no other funding source.
Construction Tax (Fund 161)
The Construction Tax Fund receives monies from developers based on the construction of
dwelling units in the City. These funds are then used to purchase or construct public facilities,
such as street reconstruction, traffic signal modifications, curb and gutter replacements and rehabilitation of park structures and equipment.
Attachment No. 1
Information Technology (Fund 162)
The funds paid into this fund are to be used for information technology capital outlay projects.
Development Impact Fees (Fund 16x) The City receives one-time fees on new development to be used to cover costs of capital equipment
and infrastructure required to serve new growth. The following funds have been established:
Fund 164 – Police Impact Fees
Fund 165 – Fire Impact Fees
Fund 166 – Park Impact Fees Fund 167 – City Administrative Impact Fees
Fund 168 – Public Works Impact Fees
Park Acquisition (Fund 169)
The funds paid into this fund are to be utilized for new parkland acquisition and the development of new parkland.
Park Dedication Fees (Fund 17x)
The City receives fees from developers to fund recreation facilities. The City has been divided
into seven park districts for purposes of collecting revenue. These funds are used for qualified recreational purposes throughout the City. The following Districts have been established:
Fund 170 – Park District “A”
Fund 171 – Park District “B”
Fund 172 – Park District “C”
Fund 173 – Park District “D” Fund 174 – Park District “E”
Fund 175 – Park District “F”
Fund 176 – Park District “G”
Fund 177 – Park District “H”
DEBT SERVICE FUND
Debt Service (Fund 300)
The City has established one Debt Service Fund to accumulate assets for the repayment of City long-term debt, which includes outstanding bonds, notes, capital leases and related costs. Funding
is accumulated from interest income, developer reimbursements, and transfers from the General
Fund and the Successor Agency.
INTERNAL SERVICE FUNDS
Self-Insurance - General and Auto Liability (Fund 361)
Funding for general/auto liability claims, uninsured losses and insurance premiums is provided
through a charge on all operating departments based on prior year claims expense.
Attachment No. 1
Self-Insurance - Workers’ Compensation (Fund 363)
Funding for workers’ compensation is derived from a percentage charge of all salaries with
different rates levied for the various employee categories.
Fleet Management (Fund 365)
The Maintenance division of the Public Works department operates the fleet management function
for the City which oversees the repair and disposal of City vehicles and heavy equipment.
Revenue for the fleet management fund is generated through charges to operating departments.
Each department that operates assigned vehicles is charged based on the departmental usage of the vehicles. Fleet management costs are reflected in each department’s line-item budget.
Vehicle Replacement (Fund 367)
The City put surplus funds into this fund for the replacement of vehicles to update the fleet and
save on maintenance costs. Retirement Health Savings Plan (368)
This fund accounts for the set aside lump sum benefits for retiring employees.
ENTERPRISE FUND
Police Computer Service Group (Fund 375)
This fund accounts for the computer services provided by the Police department to other public
safety agencies for a fee. The programs are marketed to both public and private agencies. The program also provides these products and services to the West Covina Police Department.
SUCCESSOR AGENCY
Successor Agency Redevelopment Obligation Retirement (Fund 810)
The City’s Redevelopment Agency was dissolved as a result of the passage of ABX1 26, and the
Successor Agency was subsequently created for the purpose of winding down the affairs of the
former Redevelopment Agency. The responsibilities of the Successor Agency are to (1) continue
to make payments on the outstanding debt of the former Redevelopment Agency for items that are deemed to be “enforceable obligations”, and (2) wind down the activities of the Redevelopment
Agency through the sale and disposition of assets and properties. The Successor Agency will
receive allocations of property tax increment in amounts determined by the State Department of
Finance (DOF) and deposited into the Redevelopment Property Tax Trust Fund (RPTTF) by the
county. Those RPTTF allocations will then be used to pay the enforceable obligations.
Successor Agency Administration (Fund 815)
This fund is for all allowable administrative expenses of the Successor Agency, including salaries
and benefits, legal costs, appraisals, consultants, and other administration and overhead charges
as well as support costs incurred for the Oversight Board. The Successor Agency receives an annual amount equal to 3% of the RPTTF allocation approved for payment of enforceable obligations.
Attachment No. 1
CFD Debt Service (Fund 853)
This fund was established as part of the Fashion Plaza Expansion Project of the former
Redevelopment Agency for the purpose of issuing bonds to assist in the expansion of the leasable
square footage and parking facilities of a regional shopping mall. The fund collects revenues from a special tax assessment on the property, as well as sales and property tax increment revenues
generated on the property. Those revenues are used to service the principal and interest payments,
and related costs of the outstanding bonds.
FY 2017-18 PROJECT SUMMARY BY FUND NUMBER
NO FUND NO. FUND PROJECT AMOUNT
S-10 122 Prop C Bus Stop Enhancement Program 25,000
P-27 122 Prop C Cortez Senior Center Parking Lot 29,000
TOTAL Prop C - 122 54,000
S-19 128 TDA Sidewalk & Stamped Concrete Annual Program 70,000
TOTAL TDA - 128 70,000
B-21 131 CDBG
Cortez Senior Center - Main Facility & North Wing - Replace carpet &
vinyl flooring, & paint interior & exterior 30,000
TOTAL CDBG - 131 30,000
S-17 140 STPL
Major Street Rehabilitation - Annual Program - Azusa Avenue Street Rehab
(I-10 to N. City Limit)500,000
TOTAL STPL - 140 500,000
G-6 160 Capital Projects Replace Fire Department Self Contained Breathing Apparatus Masks 80,000
N-2 160 Capital Projects Catch Basin Trash Capture Device Installation Program 50,000
TOTAL CAPITAL PROJECTS - 160 130,000
B-38 161 Const Tax Misc. Building Repairs 20,000
B-29 161 Const Tax Fire Stations Floor Improvements 28,000
TOTAL CONSTRUCTION TAX - 161 48,000
17015 162 IT IT Upgrades 1,106,972
TOTAL INFORMATION TECHNOLOGY - 162 1,106,972
V-12 164 PIF Police - Replace 7 units 32,340
TOTAL POLICE IMPACT FEES - 164 32,340
V-16 165 FIF Replace Leader Ambulance Unit F30 28,897
TOTAL FIRE IMPACT FEES - 165 28,897
P-13 181 MD1 Paseo Lighting Upgrade 20,000
P-17 181 MD1 Concrete Repairs 20,000
P-23 181 MD1 Tree Trimming and Brush Control 40,000
P-28 181 MD1 Drought Tolerant Landscaping 150,000
TOTAL MD1 - 181 230,000
P-18 182 MD2 Concrete Repairs 20,000
P-22 182 MD2 Tree Trimming and Brush Control 40,000
P-29 182 MD2 Drought Tolerant Landscaping 150,000
TOTAL MD2 - 182 210,000
P-11 184 MD4 Paseo Lighting Upgrade 50,000
P-16 184 MD4 Concrete Repairs 50,000
P-21 184 MD4 Tree Trimming and Brush Control 100,000
P-30 184 MD4 Drought Tolerant Landscaping 250,000
TOTAL MD4 - 184 450,000
P-31 186 MD6 Drought Tolerant Landscaping 50,000
TOTAL MD6 - 186 50,000
P19 187 MD7 Tree Trimming and Brush Control 25,000
P-32 187 MD7 Drought Tolerant Landscaping 100,000
P-33 187 MD7 Concrete Repairs 10,000
TOTAL MD7 - 187 135,000
P-34 188 MD7 Tree Trimming 135,000
P-35 188 MD7 Installation of Street Lights 50,000
TOTAL CWMD - 188 185,000
U-9 189 Sewer Sewer System Controls and Power 140,000
17022 189 Sewer Upgrades for 2700 Azusa Sewer Lift Station 300,000
TOTAL SEWER FUND - 189 440,000
Attachment No. 2
FY 2017-18 PROJECT SUMMARY BY FUND NUMBER
NO FUND NO. FUND PROJECT AMOUNT
S-16 224 Measure R
Major Street Rehabilitation - Annual Program - Azusa Avenue Street Rehab
(I-10 to N. City Limit)500,000
T-8 224 Measure R Battery Replacement for Traffic Signal Battery Back-Up Systems 35,000
T-20 224 Measure R Installation of Traffic Control Devices 30,000
S-16 224 Measure R Annual Concrete Repairs 100,000
T-9 224 Measure R Flashing Beacons 150,000
16047 224 Measure R Glendora Avenue 5,000,000
TOTAL MEASURE R - 224 5,815,000
S-15 235 Measure M Residential Street Rehabilitation - Annual Program 1,000,000
TOTAL MEASURE M 1,000,000
V-16 367 VR Replace Leader Ambulance Unit F30 185,812
TOTAL VEHICLE REPLACEMENT 185,812
GRAND TOTAL $10,701,021