AGENDA ITEM NO. 22
Meeting Date: June 27, 2006
Subject/Title: Approve Resolution to Amend the Agency’s 2006/07 Budget and
Authorize Expenditures for Fiscal Year 2006/07
Prepared by: Gina Rozenski Redevelopment Manager
Donald Kwong, Sr. Redevelopment Analyst
Submitted by: Donna Landeros, Executive Director
Approve Resolution amending the Agency’s 2006/07 Budget and Authorize
Expenditures for Fiscal Year 2006/07.
The 2005/06 and 2006/07 annual budgets for the Brentwood Redevelopment
Agency were approved by the Agency on June 14, 2005, by Resolution No.
The financial status of the Brentwood Redevelopment Agency is sound. The
Redevelopment Agency’s projected Fund Balance as of June 30, 2006 is
approximately $15,400,000. Of this amount, the Tax Allocation Bond Proceeds
account for approximately $6,500,000, and the Housing Fund accounts for
The Agency’s financial structure comprises of three major funds. The
Administration and Project Fund is the fund from which the majority of
Agency’s general operational expenses, redevelopment projects, and capital
improvement projects are paid. The other two funds, Housing Fund and Debt
Service, are reserved for those specific purposes.
Funding of the Agency’s administrative, redevelopment projects and programs,
capital improvement projects, and housing program expenses is dependent on
tax increment revenues, interest on investments and, most importantly, bond
proceeds that are strictly used for redevelopment projects. After paying
debt obligations, excess tax increment revenues are then transferred from
the Debt Service Fund to the Administration and Project Fund as needed
throughout the fiscal year.
Recommended adjustments to the 2006/07 Agency budget for the three major
funds are as follows:
Revenues for Administration & Project Fund 301
Adjustment for 2006/07 Revenue $768,018
From land sale proceeds, reimbursement of expenses and fund transfers.
Expenses for Administration & Project Fund 301 $2,912,844
For transfer of land sale proceeds to City; for new and existing capital
improvement projects; for continued support of Specific Plan preparation and
associated studies; for operational expenses associated with building lease;
for expenses associated with redevelopment activities and support of
development projects; and for new Health & Safety Grant Program.
Expenses for Housing Fund 302
Total Budget Adjustment for 2006/07 Expenses $1,401,262
For financial support of Villa Amador project.
Expenses for Debt Service Fund 303
Total Budget Adjustment for 2006/07 Expenses $55,000
For transfers to Fund 301 for general operational expenses and new Health &
Safety Grant Program.
Total Budget Adjustment for 2006/07 Revenue $768,018
Total Budget Adjustment for 2006/07 Expenses $4,369,106
The remaining Tax Allocation Bonds of $6,500,000 and the anticipated
2005/2006 tax increment and earned interest revenues of $5,200,000 will be
sufficient to fund the adjusted 2006/07 expenses of $4,362,794. More than
62% of the total $4,369,106 recommended adjustments are to fund capital
improvement projects from the Tax Allocation Bond proceeds; 32% is for Villa
Amador; and the remaining 6% is directly related to redevelopment programs
RESOLUTION NO. RA-_____
A RESOLUTION OF THE REDEVELPMENT AGENCY OF THE CITY OF BRENTWOOD AMENDING
ITS 2006-07 BUDGET AND AUTHORIZING EXPENDITURES FOR
FISCAL YEAR 2006-07
WHEREAS, the Redevelopment Agency of the City of Brentwood (“Agency”) has
reviewed the financial condition of the Agency; and
WHEREAS, the Agency’s Merged Brentwood and North Brentwood Administration
and Project Fund, Low/Moderate Housing Fund and Debt Service Fund are stable
and healthy; and
WHEREAS, the Agency desires to memorialize its expenditure approvals for
redevelopment projects and activities that will facilitate commercial,
retail, and industrial development programs, public improvements and
facilities programs, and the assistance and participation in the expansion
and improvement of the supply of very low, low and moderate income housing,
while investing tax increment receipts and bond proceeds in projects that
will generate increased tax increment.
NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS:
Section 1. The Redevelopment Agency of the City of Brentwood hereby finds
and determines that the planning and administrative expenses in the
Low/Moderate Housing Fund are necessary for the production, improvement, or
preservation of very low, low and moderate income housing, and for programs
and activities authorized under Health & Safety Code Section 33334.2.
Section 2. The Redevelopment Agency of the City of Brentwood hereby adopts
the amendments to its 2006-07 Budget in the amount of $2,912,844 of expenses
in Fund 301, $1,401,262 of expenses for Fund 302, and $55,000 of expenses
for Fund 303, and $768,018 of revenues in Fund 301, and authorizes
expenditures for Fiscal Year 2006-07.
PASSED, APPROVED AND ADOPTED by the Redevelopment Agency of the City of
Brentwood at a regular meeting held on the 27th day of June 2006 by the