HomeMy WebLinkAboutSR - RDA & HA Amnd FY 2007/08 BudgetPALM DESERT REDEVELOPMENT AGENCY/
PALM DESERT HOUSING AUTHORITY
STAFF REPORT
REQUEST: ADOPTION OF RESOLUTIONS OF THE REDEVELOPMENT
AGENCY AND THE HOUSING AUTHORITY AMENDING THEIR
FISCAL YEAR 2007-08 BUDGETS
SUBMITTED BY: DAVE YRIGOYEN, DIRECTOR OF REDEVELOPMENT/HOUSING
DATE: FEBRUARY 14, 2008
CONTENTS: AGENCY RESOLUTION NO. 545
HOUSING AUTHORITY RESOLUTION NO. HA-35
Recommendation:
Waiver further reading and adopt:
1. Resolution No. 545 , amending the Fiscal Year 2007-08 budget as a
result of Mid -Year Adjustments; and
2. Resolution No. HA- 35 , amending the Fiscal Year 2007-08 budget as a
result of Mid -Year Adjustments.
Executive Summary:
The adoption of these resolutions will adjust the budgets for the Redevelopment Agency
and the Housing Authority to reflect the projected changes in revenues and expenditures of
both entities.
Discussion:
Staff has completed a Mid -Year analysis of the Redevelopment Agency, Housing Authority,
and Financing Authority budgets, as well as the budgets for the El Paseo Assessment
District, Shopper Hopper, and Facade Enhancement. Staff is proposing adjustments to all
budgets to reflect changes in projected revenues and expenditures. The adjustments
include higher than anticipated tax increment revenues, which will necessitate higher pass -
through payments and housing set -aside transfers.
Current Budget Mid -Year Revised Budget
Revenues
Agency 95,006,433 101,231,013
Housing Authority 5,274,302 4,905,474
Expenses
Agency 201,854,587 207,875,001
Housing Authority 19,008,150 19,038,150
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Staff Report
Adoption of Resolutions of the Redevelopment Agency/Housing Authority amending their
Fiscal Year 2007-08 Budgets
Page 2 of 5
February 14 2008
Revenue:
Staff proposes to increase the budgeted revenue to reflect increases in tax increment
revenues to the four project areas. The records and receipt of the first payments of tax
increment reflect a projected increase of tax increment revenue of $4,831,357 as follows:
Project Area No. 1
Project Area No. 2
Project Area No. 3
Project Area No. 4
$2,181,268
1,146,017
480,123
1,023,949
Staff is also recommending changes to the project Housing Set -Aside transfers, net of
SB 2557 adjustments of $1,393,223.
Staff also anticipates a decrease in rent at the Housing Authority properties due to the
construction/renovations at Laguna Palms, California Villas, Country Village, Palm Village,
and La Rocca Villas, which will result in an adjustment to revenues of ($368,828).
Expenditures:
Redevelopment:
Staff is proposing to increase the expenditures for the Redevelopment Agency funds as
follows:
Phone Service
El Paseo Courtesy Carts
Alessandro Improvements
Property Acquisition
$ 2,000
$ 10,000
$ 1,478,524
$ 1,500,000
The increase to phone service is to accommodate the reimbursement to management staff
for personal cell phones. The increase to the courtesy carts is to accommodate increased
maintenance due to the age of the vehicles. The increase to Alessandro Improvements is
to accommodate potential acquisitions necessary in order to complete the project. Finally,
the increase to Property Acquisition is to assist in alleviating blight in Project Area 1.
Debt Service Funds:
Staff is proposing increases to the Debt Services Funds to reflect the higher pass -through
payments, changes to debt service payments, and Housing Set -Aside transfers. The
following increases are recommended:
Project Area No. 1 Pass -Through Payments $ 1,543,888
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Staff Report
Adoption of Resolutions of the Redevelopment Agency/Housing Authority amending their
Fiscal Year 2007-08 Budgets
Page 3 of 5
February 14 2008
Called Premium Expense
Housing Set -Aside Transfer
$ 1,679,486
323,965
Project Area No. 2. Pass -Through Payment $ 787,713
Debt Service Payments 40,000
Housing Set -Aside Transfer 199,479
Project Area No. 3 Pass -Through Payment
Housing Set -Aside Transfer
Project Area No. 4 Pass -Through Payment
Housing Set -Aside Transfer
$ 469,164
89,643
$ 513,508
182,049
Staff is also recommending partial repayment of the advance due to the City in an
amount not to exceed $10,000,000.
Low and Moderate Housing Set -Aside:
Staff is proposing to increase the expenditures for the Housing Capital funds as follows:
Fred Waring Street Imps
Workforce Housing Grant
Property Acquisition
Relocation Assistance
($ 5,733,000)
$ 83,995
$ 2,550,000
$ 300,000
The decrease to the Fred Waring Street Improvements is to correct an entry in the
budgeting system. The increase to the Workforce Housing Grant will create the budget
necessary to expend additional grant funds awarded by HCD. The increase to Property
Acquisition will provide funding to Housing Set -Aside to reimburse the Agency for units
acquired for Low and Moderate Housing purposes. Finally, the increase to relocation
assistance is to provide assistance to the residents at Country Village Apartments.
Financing Authority:
Staff is recommending a net increase to the total debt service principal in the amount of
$40,000 to accurately reflect the amount of debt service due in 2007-08.
The overall changes are as follows:
Budgeted Revenue
Redevelopment Agency Housing Authority
Tax Increment $84,501,790
G:\RDA\VERONICA TAPIA\WORD FILES\STAFF REPORTS\2007-08 MID YEAR BUDGET ADJUSTMENT.DOC
Staff Report
Adoption of Resolutions of the Redevelopment Agency/Housing Authority amending their
Fiscal Year 2007-08 Budgets
Page 4 of 5
February 14 2008
Rents
Trans In (20% HSA)
Total
Budgeted Expense
Operations
Capital
Debt Service/Pass Thru
Total
16,729,223
$101,231,013
$5,383,720
$115,059,171
$87,432,110
$207,875,001
$4,905,474
$4,905,474
$6,151,618
$12,886,532
$19,038,150
Housing Authority:
Staff is recommending the following adjustments to appropriations to the Housing Authority
properties as follows:
Laguna Palms
Catalina Gardens
Desert Pointe
Las Serenas
Neighbors Garden
One Quail Place
Pueblos
California Villas
Taos Palms
Country Village
Capital Expense
Payroll
Capital/Emergency Repairs
Repairs & Maintenance
Contract Services
Management Fee
Payroll
Capital/Emergency Repairs
Contract Services
Management Fee
Payroll
Repairs & Maintenance
Repairs & Maintenance
Capital Improvements
Capital/Emergency Repairs
Capital/Emergency Repairs
Payroll
Contract Services
Management Fee
Advertising/Promotion
$ 38,500
$ 14,000
5,000
$ 8,000
$ (87,880)
(30,780)
118,660
$ 10,000
$ (505,782)
(97,748)
603,530
$ 6,000
$ 10,000
( 25,000)
25,000
$ 50,000
$ (22,380)
(37,500)
(17,000)
( 500)
G:\RDA\VERONICA TAPIA\WORD FILES\STAFF REPORTS12007-08 MID YEAR BUDGET ADJUSTMENT.DOC
Staff Report
Adoption of Resolutions of the Redevelopment Agency/Housing Authority amending their
Fiscal Year 2007-08 Budgets
Page 5 of 5
February 14 2008
Country Village Repairs & Maintenance (13,000)
Utility Service (31,500)
Miscellaneous Expense (4,000)
Capital/Emergency Repairs 14,380
The total net increase to the Housing Authority budget amounts to $30,000 due to the
reductions to the Country Village expenditures.
The Housing Commission reviewed the above recommendations on January 9, 2008, and
has recommended that the Housing Authority approve the increased budget
appropriations.
Attached are the resolutions and exhibits for the Redevelopment Agency and Housing
Authority, which amend their respective budgets.
Submitted by:
2ve Yrigoyen
Director ofvelopment/Housing
Approval:
Carlos L. Ortega, scecutive Director
Approval:
sti
ACM
4
McCarthy
Redevelopment
Paul S. Gibson, Director of Finance
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