| | | | | | | | Agenda Item - 3.a.
City of Garden Grove
INTER-DEPARTMENT MEMORANDUM
| To: | Scott C. Stiles
| From: | Patricia Song
| | Dept.: | Director
| Dept.: | Finance
| | Subject: | Adoption of a Resolution Amending Garden Grove Successor Agency Fiscal Year 2022-23 Budget. (Action Item) | Date: | 6/28/2022 |
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| | | | | | | | OBJECTIVE
For the City of Garden Grove as the Successor Agency to the Garden Grove Agency for Community Development (the Successor Agency) to adopt resolutions amending its adopted biennial budget for Fiscal Year (FY) 2022-23. |
| | | | | | | | BACKGROUND
Pursuant to the Dissolution Act (ABx1 26) and AB 1484, the Garden Grove Agency for Community Development was dissolved as of February 1, 2012. City of Garden Grove as the Successor Agency to the Garden Grove Agency for Community Development is required to prepare and consider for approval a Recognized Obligation Payment Schedule (ROPS) annually. Once approved, the ROPS is transmitted to the Oversight Board for approval and subsequently submitted to the California Department of Finance (DOF) for review and approval.
On June 22, 2021, the Successor Agency Board approved a biennial budget for fiscal years 2021-22 and 2022-23. As revenue and expenditure estimates have changed, it is necessary to perform a mid-cycle review and amend the second year, FY 2022-23 budget to align with budget approved by the DOF. |
| | | | | | | | DISCUSSION
The amended budget for the Successor Agency for FY 2022-23 totals $20.1 million, consistent with the adopted budget. However, there was an increase to the recognized obligation payments in the amount of $217,175, and a reduction of $84,417 in the administrative allowance allocation to the Agency. The amended FY2022-23 budget reflects these changes and is consistent with the enforceable obligations approved by the DOF on the latest ROPS for the period of July 1, 2022 through June 30, 2023. |
| | | | | | | | FINANCIAL IMPACT
The Successor Agency receives all of its funding from the Redevelopment Property Tax Trust Fund (RPTTF) pursuant to ABx1 26 and AB 1484 through the County Auditor Controller in an amount to cover the approved enforceable obligations by the DOF. |
| | | | | | | | RECOMMENDATION
It is recommended that the Successor Agency to the Garden Grove Agency for Community Development adopt the following resolution:
- Resolution of the Successor Agency to the Garden Grove Agency for Community Development Amending the Adopted Biennial Budget for Fiscal Year 2022-23.
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