Monday, June 25, 2007

Oops! Council Forgets to to Apporve $141 MILLION

JUN 22 2007

On May 16, 2007, the City Council considered the Community Redevelopment Agency's
(CRA) Fiscal Year 2006-2007 Mid-Year Budget Adjustment request
. At that time, the Housing, Community and Economic Development Committee (I-ICED) had submitted a report on the matter which was circulated to the members of the Council.

Also at that time, several amending motions were considered. Inadvertently, however, the HCED report was not placed before the Council and only the Motion (Reyes - Wesson) was adopted. The HCED report included recommendations from the Chief Legislative Analyst and the City Administrative Offce that would allow the CRA to transfer approximately $25 million in current year resources and to recognize and allocate approximately $116 million in unencumbered and new revenue carried-over from the prior fiscal year. The HCED report also ineluded language relative to the swap ofCRA funds for CDBG funds relative to the financing of Community Based Development Organizations (CBDO). A correction action is now necessary.

I THEREFORE MOVE that Council's action of May 16, 2007 (Item No.5) relative to the
Community Redevelopment Agency's Fiscal Year 2006-2007 Mid-Year Budget Adjustments (C.F.No. 07-0409) be amended to inelude recommendations No.5 and No.6, as follows:
"5. Authorize the Community Redevelopment Agency (Agency) Chief Executive Officer
CEO, or designee, to amend the Fiscal Year 2006-07 Agency Budget and Work
Program, as follows:

a) Transfer existing resources within the 2006-07 Budget work program
objectives in an amount not to exceed $25,090,161 as detailed in Attachment
Band F ofthe Agency's Mid- Year Budget transmittal dated February 1,2007;

b) Recognize $116,356,494 in additional 2006-07 Unencumbered and New
Revenue, as detailed in Attachment Two, and transfer from this amount
$12,234,890 ($11,734,890 - Land Acquisition Fund - GA9990) to a new
account entitled Agency General Revenue Reserve, expenditures from which
require Agency Board of Commissioners and Council approval; and,

c) Create a new Objective for State Bond Fund Administration - Citywide Nonhousing

6. Authorize the Agency CEO and the General Manager, Community Development
Deparent (COD), or designees, to enter into a Cooperation Agreement and
Implementation Agreement(s) as necessary, for the use of$4, 150,685 in Bunker Hill
Program Ineome (Fund 1201) (Agency General Revenue Reserves) and swap such
funds for an equivalent amount of33 Program Year Community Development Block
Grant (CDBG) funds to address funding Community Based Development Organizations ineligible programs (C.F. 062366); swapped CDBG funds are to be used Íi:r CDHG eligible projects including land acquisition."

Co-member, 1Oth District

No comments: