DATE: June 21, 2022
TO: Board of Supervisors
SUBMITTED BY: Margaret Mims, Sheriff-Coroner-Public Administrator
SUBJECT: Establish FY 2022-23 Appropriations Limit for Mello-Roos Community Facilities District No. 2006-01
RECOMMENDED ACTION(S):
TITLE
Approve and authorize the Chairman to execute a Resolution to establish the FY 2022-23 appropriations limit for the County’s Mello-Roos Community Facilities District No. 2016-01 for Enhanced Police Protection Services, effective July 1, 2022.
REPORT
The recommended action only sets a spending limit for Community Facilities District No. 2006-01 (Police Protection Services) of the County of Fresno (CFD 2006-01) for FY 2022-23. Your Board will be asked at a later date to levy the Mello-Roos special tax for CFD 2006-01 for FY 2022-23. This item is countywide.
ALTERNATIVE ACTION(S):
Your Board is required by law to establish the appropriations limit for CFDs and to adjust each limit annually for the following fiscal year based on changes in the cost of living and changes in the populations from the prior year. Your Board may increase the appropriations limit according to the statutory calculations shown below or maintain the same appropriations limit as your Board approved for the 2021-22 fiscal year.
FISCAL IMPACT:
The Resolution will result in no Net County Cost. The proposed appropriation limit for CFD 2006-01 for FY 2021-22 is $392,454,596.
DISCUSSION:
The purpose of CFD 2006-01 is to provide enhanced police protection services to residents within the CFD, which includes certain developments within the unincorporated area of the County. Your Board is the legislative body for CFD 2006-01.
As allowed by the Mello-Roos Act, the Board established the initial appropriations limit when CFD 2006-01 was formed. The qualified electors for CFD 2006-01 (i.e., landowners at that time) also approved the initial appropriations limit, as required by law. The amount of that initial appropriations limit was calculated by MuniFinancial, which was the County’s financial consultant for the formation of CFD 2006-01.
The law requires your Board to annually adopt by resolution for the following fiscal year the appropriations limit for CFD 2006-01, under Article XIII B of the State Constitution and State law. The law also requires your Board to adjust the appropriations limit based on changes in the cost of living and changes in population from the prior year, using information provided by the State Department of Finance. Any of three population growth factors based on data provided by the State Department of Finance may be chosen. The “unincorporated” factor is being used because the CFD 2006-01 lies solely within the unincorporated area.
The recommended action only sets a spending limit for CFD 2006-01 for FY 2022-23. Your Board will be asked at a later date to set the Mello-Roos special taxes for FY 2022-23 for CFD 2006-01.
The Board last adjusted the appropriations limit for CFD 2006-01 on June 22, 2021. The current appropriations limit for CFD 2006-01, for FY 2021-22, is $367,847,097. The proposed appropriations limit for FY 2022-23 is $392,454,596, which is a 6.69% percent increase.
The special tax that your Board actually levied in CFD 2006-01 for FY 2021-22 was $334,512.86, which was well below the appropriations limit for FY 2021-22. The Sheriff expects that the special tax actually levied in CFD 2006-01 for FY 2021-22 will also be below the appropriations limit for 2022-23.
The documentation used in the determination of the proposed appropriations limit was made available to the public at least 15 days before today’s Board meeting. Notices of the public availability of that information have been posted during the 15-day period at the Office of the Clerk of the Board, the Hall of Records entrance, and the lobby of the Sheriff’s Office Headquarters. As stated in the proposed resolution, this documentation has been on file with the Clerk of the Board of Supervisors and the Sheriff’s Business Office during that period.
Next steps:
The Sheriff will return to your Board on July 12, 2022, to ask your Board to levy the Mello-Roos special tax for the CFD 2006-01 for FY 2022-23.
REFERENCE MATERIAL:
BAI #31, June 22, 2021
ATTACHMENTS INCLUDED AND/OR ON FILE:
On file with Clerk - Resolution
On file with Clerk - Calculation of Annual Appropriation Limit
On file with Clerk - California Department of Finance Population Information Letter
CAO ANALYST:
Yussel Zalapa