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HomeMy WebLinkAbout03. Set a public notice date for 09-15-22 to consider establishing FY 2022-23 Appropriations Limit Page 1 of 2 Item 3. CENTRAL SAN BOARD OF DIRECTORS POSITION PAPER MEETING DATE: AUGUST4, 2022 SUBJECT: SETA PUBLIC NOTICE FOR SEPTEMBER 15, 2022 AT 2:30 P.M. TO CONSIDER ESTABLISHING THE FISCAL YEAR 2022-23 APPROPRIATIONS LIMIT SUBMITTED BY: INITIATING DEPARTMENT: CHRISTOPHER THOMAS, FINANCE ADMINISTRATION-FINANCE ADMINISTRATOR REVIEWED BY: KEVIN MIZUNO, FINANCE MANAGER PHILIP LEIBER, DIRECTOR OF FINANCE AND ADMINISTRATION Roger S. Bailey General Manager ISSUE Central San is required to establish its annual appropriations limit in accordance with Article XI I I B of the California Constitution, which imposes a limit (known as the "GANN Limit") on the rate of growth in governmental spending of tax revenues. BACKGROUND Tax revenue to Central San comes from ad valorem property taxes. Such taxes are expected to comprise about 12.6% of Centrals San's total revenues for FY 2022-23 ($21.0 million of $167.2 million in budgeted revenues, excluding debt proceeds and use of reserves). Central San does not set the level of ad valorem property taxes the agency receives, but instead receives from Contra Costa County a calculated share of the property taxes assessed for properties within the service territory. The GANN Limit has, in past years, been about ten times higher than the amount of ad valorem property tax received from the County. Each year, the GANN Limit is increased annually by a factor comprised of the change in population combined with either the change in California per capita personal income or the change in the local assessment roll due to August 4, 2022 Regular Board Meeting Agenda Packet- Page 18 of 94 Page 2 of 2 local nonresidential construction. Article XIII B requires government agencies to establish their appropriations limit by resolution each year at a regularly scheduled meeting. In accordance with California Government Code Section 7910, fifteen days prior to the meeting documentation used in the determination of the appropriations limit and other necessary determinations shall be made available to the public. This year, the FY 2022-23 appropriations limit will be considered by the Board at its meeting on September 15, 2022. Documentation is available by contacting Secretary of the District Katie Young at sod&centralsan.org. ALTERNATIVES/CONSIDERATIONS None. FINANCIAL IMPACTS None. COMMITTEE RECOMMENDATION No Committee review is necessary for this matter. RECOMMENDED BOARD ACTION Set a public notice for September 15, 2022 at 2:30 p.m. to consider establishing the Fiscal Year 2022-23 Appropriations Limit. Strategic Plan re-In GOAL FOUR: Governance and Fiscal Responsibility Strategy 3- Maintain financial stability and sustainability August 4, 2022 Regular Board Meeting Agenda Packet- Page 19 of 94