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Home My WebLink AboutItem 2: URA Resolution Adopting FY11 Budget EURA UGENE RBAN ENEWAL GENCY AIS GENDA TEM UMMARY Public Hearing: A Resolution of the Urban Renewal Agency of the City of Eugene Adopting the Budget, Making Appropriations, and Declaring the Amount of Tax to be Certified for the Fiscal Year Beginning July 1, 2010 and Ending June 30, 2011 Meeting Date: June 21, 2010 Agenda Item Number: 2 Department: Central Services Staff Contact: Mia Cariaga www.eugene-or.gov Contact Telephone Number: (541) 682-5408 ISSUE STATEMENT This meeting is a public hearing with no action required. Oregon Local Budget Law requires the Urban Renewal Agency of the City of Eugene to conduct a public hearing to receive testimony on the FY11 Urban Renewal Agency Annual Budget as recommended by the Budget Committee on May 19, 2010. Following the hearing, the governing body of the Urban Renewal Agency may deliberate and approve a resolution adopting the budget of the Urban Renewal Agency of the City of Eugene. The Agency Board is scheduled to take final action on June 28, 2010. BACKGROUND On May 19, 2010, the Budget Committee recommended that the City Council, acting as the Eugene Urban Renewal Agency Board of Directors, adopt an FY11 Budget for the Eugene Urban Renewal Agency that consists of the City Manager’s FY11 Proposed Budget. Council Goals The budget supports department work plans designed to meet Council Goals and Priorities. Financial and/or Resource Considerations Financial and/or resource considerations are detailed in the FY11 Proposed Budget Document and the Urban Renewal Plan Amendment. The plan amendment includes spending for three projects: • Contribution to Lane Community College’s new Downtown Campus of $8 million • Infrastructure improvements to the Farmers’ Market of $500,000 • Assistance in funding the Broadway Place Garage debt, which will enable improvements to public safety Budget Committee Recommendation Budget Committee review consisted of six work sessions and one public hearing on the City of Eugene and the Urban Renewal Agency budgets. Public comment was received at five of the work sessions and a separate public hearing on the budget proposal was conducted on May 17, 2010. The Budget Committee recommendation approved on May 19, 2010 is as follows: Z:\CMO\2010 Council Agendas\M100621\S1006212.doc Ms. Syrett moved that the Budget Committee recommend to the Eugene City Council, acting as the Urban Renewal Agency Board of Directors, the FY11 Budget for the Eugene Urban Renewal Agency that consists of the City Manager’s FY11 Proposed Budget, including the property tax levies and/or rates contained therein, amended to reflect appropriations for prior year encumbrances and prior year capital projects. Other Motions On May 27, 2010, the Budget Committee held a work session to discuss and vote on a motion to amend the FY11 Proposed Budget to include changes described in the Urban Renewal Plan Amendment approved by the council on May 24, 2010. The committee voted 6-4 on this motion. Timing Under the State Statute, a budget must be approved prior to July 1, 2010, and a copy of the adopting resolution filed with the County Assessor by July 31, 2010. Other Background Information The FY11 Proposed Budget document, Budget Committee packets, information distributed at Budget Committee meetings, and Budget Committee motions are available on the City’s website. AGENCY BOARD OPTIONS According to ORS 294.435, the Urban Renewal Agency’s governing body is limited to increasing expenditures in a fund by no more than $5,000 or 10 percent, whichever is greater, of the Budget Committee approved total in each or any fund. If a larger expenditure increase is desired, republishing the budget and conducting a second public hearing is required. The Agency Board of Directors may reduce revenues, move allocations within a fund and decrease expenditures; however, all actions must result in a balanced budget, where revenues equal expenditures, for each fund. Any increase to property taxes above the rate or amount approved by the Budget Committee requires republishing the budget summary and conducting a second public hearing. If a director makes a motion to amend the budget resolutions, the motion must contain the specific appropriation line(s) being altered in the resolution and each motion must be self-balancing, meaning that a resource and a requirement must exactly offset each other. AGENCY DIRECTOR’S RECOMMENDATION The Agency Director recommends adoption of the FY11 Urban Renewal Agency Budget as recommended by the Budget Committee. In addition, the Agency Director recommends the budget changes to reflect the Urban Renewal Plan Amendment approved by the Agency Director on May 24, 2010. The City published a legal advertisement reflecting these changes because they are in excess of the 10 percent limit outlined in ORS 294.435. Those changes are as follows: ? Budget an intergovernmental payment of $8,000,000 to Lane Community College for redevelopment of the excavated vacant lot at the 10th Avenue and Charnelton Street site; ? Budget $500,000 for Farmers’ Market site improvements; Z:\CMO\2010 Council Agendas\M100621\S1006212.doc ? Budget bond issuance costs of $150,000, debt service reserve of $1,000,000, and issue bonds of $4,500,000; ? Reduce Balance Available by $5,890,000; ? Budget an intergovernmental payment of $740,000 from the URA to the City’s Parking Fund to use for Broadway Parking Garage debt service. These changes are included in the attached resolution. SUGGESTED MOTION No motions are needed at this public hearing. The motion to be considered by council at the June 28 meeting to adopt the budget is: Move to approve a resolution of the Urban Renewal Agency of the City of Eugene adopting the budget and making appropriations for the fiscal year beginning July 1, 2010, and ending June 30, 2011. ATTACHMENTS A. Summary of Changes to the FY11 Executive Budget Recommendation B. Resolution Adopting the FY11 Urban Renewal Agency Budget - Exhibit A - Fund Schedules - Exhibit B – Fund Names FOR MORE INFORMATION Staff Contact: Mia Cariaga Telephone: (541) 682-5408 Staff E-Mail: mia.cariaga@ci.eugene.or.us OR Staff Contact: Pavel Gubanikhin Telephone: (541) 682-5512 Staff E-Mail: pavel.e.gubanikhin@ci.eugene.or.us Z:\CMO\2010 Council Agendas\M100621\S1006212.doc ATTACHMENT B RESOLUTION NO. ____ A RESOLUTION OF THE URBAN RENEWAL AGENCY OF THE CITY OF EUGENE ADOPTING THE BUDGET, MAKING APPROPRIATIONS, AND DECLARING THE AMOUNT OF TAX TO BE RECEIVED FOR THE FISCAL YEAR BEGINNING JULY 1, 2010 AND ENDING JUNE 30, 2011. The Urban Renewal Agency of the City of Eugene finds that adopting the budget and making appropriations is necessary under ORS 294.305 to ORS 294.565. NOW, THEREFORE, BE IT RESOLVED by the Urban Renewal Agency of the City of Eugene, as follows: Section 1. The budget for the Urban Renewal Agency of the City of Eugene for the Fiscal Year beginningJuly 1, 2010 set forth in attached Exhibit "A" is hereby adopted. Section 2. The amounts for the Fiscal Year beginning July 1, 2010 and for the purposes shown in the attached Exhibit "A" are hereby appropriated. Section 3. That the following be certified to the County Assessor of Lane County, Oregon: The Downtown Plan Area is an Option One plan that shall receive the maximum amount of revenue that may be raised by dividing the taxes under section 1c, Article IX, of the Oregon Constitution. The Riverfront Plan Area shall receive the maximum amount of revenue that may be raised by dividing the taxes under section 1c, Article IX, of the Oregon Constitution. This plan shall be certified under Section 3: Other Standard Rate Plans. Section 4. That the City Recorder is hereby requested to certify the levies as herein made and set forth to the County Assessor of Lane County, Oregon, and shall file with the County Assessor a copy of the budget as finally adopted, and such other documents as required by ORS 294.555(3). Section 5. The list of fund numbers and fund titles set forth in attached Exhibit "B" is hereby adopted, and any fund numbers or fund titles in conflict herewith are hereby repealed. The foregoing Resolution adopted this 28th day of June, 2010. Director EXHIBIT A Urban Renewal Agency Downtown General Fund$$$ Department Operating Planning and Development530,000 Total Department Operating 530,000 Non-Departmental Miscellaneous Fiscal Transactions8,499,967 Balance Available50,000 Total Non-Departmental 8,549,967 Total Downtown General Fund9,079,967 Downtown Debt Service Fund Non-Departmental Debt Service150,000 Interfund Transfers1,030,000 Intergovernmental Expenditures8,740,000 Reserve1,000,000 Balance Available243,491 Total Non-Departmental 11,163,491 Total Downtown Debt Service Fund11,163,491 Downtown Capital Projects Fund Total Capital Projects 635,593 Non-Departmental Balance Available3,500 Total Non-Departmental 3,500 Total Downtown Capital Projects Fund639,093 Riverfront General Fund Department Operating Planning and Development267,500 Total Department Operating 267,500 Non-Departmental Balance Available4,055,450 Total Non-Departmental 4,055,450 Total Riverfront General Fund4,322,950 Riverfront Capital Projects Fund Total Capital Projects 141,500 Non-Departmental Balance Available16,818 Total Non-Departmental 16,818 Total Riverfront Capital Projects Fund158,318 Total Resolution25,363,819 Exhibit B Urban Renewal Agency Reporting FundManaging FundFund Titles 817817Downtown General Fund 812812Downtown Debt Service Fund 813813Downtown Capital Projects Fund 821821Riverfront General Fund 823823Riverfront Capital Projects Fund