HomeMy WebLinkAboutResolutions - No. 2009-116RESOLUTION NO. 2009-116
A RESOLUTION OF THE LODI CITY COUNCILAMENDING THE
CITY OF LODI FINANCIAL PLAN AND BUDGET FORTHE FISCAL
YEAR BEGINNING JULY 1,2009 AND ENDING JUNE 30,2010,
AUTHORIZINGTHE CITY MANAGERTO PURSUE FUNDING
THROUGH THE CALIFORNIA COMMUNITIES FINANCING, AND
FAILING THAT, TO EXECUTE LOAN TO THE GENERAL FUND
FROM UNRESTRICTED PCE SETTLEMENT FUNDS FORTHE
ACTUAL AMOUNT OF THE'PROPOSITION 1A LOAN TO THE STATE
WHEREAS, the City Council adopted the Fiscal Year 2009-10 Financial Plan and
Budget on June 10, 2009, by Resolution 2009-76; and
WHEREAS, the State of California adopted its Fiscal Year 2009-10 budget on July 28,
2009; and
WHEREAS, provisions in the State adopted budget call for a forced "loan" of
approximately $1.9 billion of propertytax collections from local agencies to the State; and
WHEREAS, the City of Lodi share of the forced "loan" is estimated to be about $1.2
million, but could be higher; and
WHEREAS, the City Council has considered the impact of a loss of up to $1.5 million on
the City General Fund; and
WHEREAS, the City Council has determined that it must act quickly to mitigate the loss
of funds and preserve services to the residents of the City.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Lodi does
hereby authorize the City Manager to pursue funding through the California Communities
financing for the full amount of the Proposition 1A loan; and
FURTHER, BE IT RESOLVED that, if financing through California Communities is not
feasible, the City Council of the City of Lodi does hereby authorize the City Managerto execute
a loan to the General Fund from unrestricted PCE Settlement funds for the actual amount of the
Proposition I A loan to the State underthe following principal business points:
• Loan amount shall be for the actual amount of the Proposition 1A loan to the
State and shall not exceed $1.5 million;
• Repayment to be coterminous with receipt of payment, or payments, from the
State under the terms of the Proposition 1A loan authorized in the state budget
for 2009-10, however, term shall not extend beyond June 30,2013;
• Interest to be paid to loaning fund at the rate that loaned funds would have
earned in the Citytreasury pool; and
• Interest received from the State in excess of the City treasury pool rate to be
deposited to the General Fund.
Dated: August 19, 2009
I hereby certify that Resolution No. 2009-116 as passed and adopted by the City Council
of the City of Lodi in a regular meeting held August 19, 2009, by the following votes:
AYES: COUNCIL MEMBERS— Katzakian, Mounce, and Mayor Hansen
NOES: COUNCIL MEMBERS — Hitchcockand Johnson
ABSENT: COUNCIL MEMBERS — None
ABSTAIN: COUNCIL MEMBERS— Norse
L
City Clerk
2009-116