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HomeMy WebLinkAbout10 - Assessment District 87 - Big Balboa IslandCITY OF NEWPORT BEACH CITY COUNCIL STAFF REPORT Agenda Item No. 10 July 13, 2004 TO: Mayor and Members of the City Council FROM: Public Works Department Iris Lee, Junior Civil Engineer 949 - 644 -3311 ilee @city.newport- beach.ca.us SUBJECT: REQUEST FOR ADDITIONAL FUNDING FOR PROPOSED UNDERGROUND ASSESSMENT DISTRICT NO. 87 (BIG BALBOA ISLAND) RECOMMENDATION: Authorize an advance from the General Fund in the amount of $371,338.00 to Assessment District No. 87, Account No. 74087 -9810 for electrical design. DISCUSSION: On January 5, 2004, Harris & Associates certified the sufficiency of petition in Assessment District 87 (Big Balboa Island). Said petitions represented sixty and seventy -eight one hundredths of a percent (60.78 %) of the assessable area of property within the proposed boundaries of the Assessment District. A previous staff report was approved on November 25, 2003 to appropriate $51,112.00 to Account No. 74087 -9810 from the General Fund as an electrical design fee deposit to Southern California Edison (SCE). A letter dated May 28, 2004 was submitted to the City indicating the total electrical design fee - $422,450.00. In order to begin the electrical design phase for this District, the City must remit an additional $371,338.00 to SCE. Said design fee will be reimbursed to the City by the District if it is formed at the final Public Hearing. However, the funds will not be recovered if the District is not formed. The City Council has previously authorized the advancements of funds for other districts. The boundaries of the proposed District are shown on the attached Exhibit "A ". Environmental Review: This project qualifies for a Class 2 California Environmental Quality Act (CEQA) exemption under Section 15302, item "d" of the Implementing Guidelines as follows: "Conversion of overhead electric utility distribution system facilities to underground including connection to existing overhead electric utility distribution lines where the surface is restored to the condition existing prior to the undergrounding." SUBJECT: Request for Funding for Proposed Underaround Assessment District No, 87 July 13, 2004 Page 2 Public Notice: Not Applicable at this time. Funding Availabilit : Upon approval of the recommended Budget Amendment, sufficient funds will be available in the following account: Account Description SCE Design Fee Prepared by: Iris,: e Junior Civil Engineer Account No. 74087 -9810 Amount $371,338.00 Submitted by: C.,._,._.Stephen G. 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BA- 05BA -001 BUDGET AMENDMENT 2004 -05 EFFECT ON BUDGETARY FUND BALANCE: Increase Revenue Estimates x Increase Expenditure Appropriations AND Transfer Budget Appropriations SOURCE: from existing budget appropriations from additional estimated revenues PX from unappropriated fund balance EXPLANATION: This budget amendment is requested to provide for the following: AMOUNT: 8371,338.00 Increase in Budgetary Fund Balance x Decrease in Budgetary Fund Balance No effect on Budgetary Fund Balance To increase expenditures appropriations for the cost associated with electrical designs for assessment district No. 87. General Fund will advance these funds and will be reimbursed by the district should it be formed. ACCOUNTING ENTRY: BUDGETARY FUND BALANCE Fund Account 4087 3605 REVENUE ESTIMATES (3601) Fund /Division Account EXPENDITURE APPROPRIATIONS (3603) Description AD #87 Fund Balance Description Description Division Number 74087 Assessment District No. 87 Account Number 9810 AD Electrical Design Division Number Account Number Division Number Account Number Division Number Account Number Signed: Signed: Signed: Administrative Services Administrative Approval: City Manager City Council Approval: City Clerk Amount Debit Credit $371,338.00 Automatic $371,338.00 Date a ate Date