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CC - 2022-40 - Adopting An Appropriations Limit For The Fiscal Year 2022-23RESOLUTION NO. 2022-40 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROSEMEAD, CALIFORNIA, ADOPTING AN APPROPRIATIONS LIMIT FOR THE FISCAL YEAR 2022-23 WHEREAS, Article XIII -B of the Constitution of the State of California provides that total annual appropriations subject to limitation of the City shall not exceed the appropriations limit of the City for the prior year as adjusted for annual adjustment factors; and WHEREAS, Section 7910 of the Government code of the State of California directs the governing body of each local jurisdiction to establish its appropriations limit by resolution each year; and WHEREAS, the governing body of each local jurisdiction must select the annual Miustment factors to be used in determining the appropriations limit pursuant to Article XIIIB of the State Constitution. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ROSEMEAD, DOES HEREBY RESOLVE, DECLARE, DETERMINE, AND ORDER AS FOLLOWS: SECTION 1. The City Council hereby elects the change in the California per capita personal income as the cost -of -living adjustment factor and the annual population change for the City of Rosemead as the population adjustment factor. SECTION 2. The appropriations limit fiscal year 2022-23 is hereby set at $58,766,896, as detailed in the attached Exhibit A, which is hereby made a part of this Resolution. SECTION 3. The City reserves the right to adjust or amend the appropriations limit based upon the use of alternative growth factors as authorized by Proposition I I I if such changes or revisions would result in a more advantageous appropriations limit, now or in the future. SECTION 4. The City Clerk shall certify to the adoption of this resolution and hereafter the same shall be in full force and effect. PASSED, APPROVED, AND ADOPTED this 14th day of June, 2022. ;4t�— Polly Lo a r APPROVED AS TO FORM: Rachel Ricl�iman, City Attorney ATTEST: E�V� Ericka Hernandez, City Clerk STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES) § CITY OF ROSEMEAD ) I, Ericka Hernandez, City Clerk of the City Council of the City of Rosemead, California, do hereby certify that the foregoing City Council Resolution No. 2022-40 was duly adopted by the City Council of the City of Rosemead, California, at a regular meeting thereof held on the 14'h day of June, 2022, by the following vote, to wit: AYES: ARMENTA, DANG, LOW NOES: NONE ABSENT: CLARK, TANG ABSTAIN: NONE Ericka Hernandez, City Clerk Exhibit A City of Rosemead Appropriations Limit FY 2022-23 APPROPRIATIONS SUBJECTTO LIMITATION a) Proceeds of Taxes Amount a) Prior Year Appropriations Limit $ 54,976,824 b) Adjustment Factors Percent Ratio c) 1) Population Change* -0.61% 0.9939 21,618,579 2) Cost of Living ** 7.55% 1.0755 $ 3) Combined Adjustment Factor e) 1.0689 c) Adjusted Limit $ 58,766,896 d) Alterations - e) Appropriations Limit - Current Year $ 58,766,896 APPROPRIATIONS SUBJECTTO LIMITATION a) Proceeds of Taxes $ 21,618,579 b) Exclusions 0 c) Appropriation Subject to Limitation $ 21,618,579 d) Appropriation Limit -Current Year $ 58,766,896 e) Under(Over)Limit $ 37,148,317 Sources: * Annual Percent Change inPopulationCityofRosemead-ProvidedbyCADeptofFinance ** Price Factor: Per Capita PersonaIIncome-ProvidedbyCADeptofFinance Computations based on the 2022-23 Adopted Budget Article XIII -13 of the California Constitution (Proposition 4 as modified by Proposition 111) limits the amount of tax revenue that can be appropriated by State and local governments in a fiscal year. A City with appropriations greater than the limit must either refund the excess tax proceeds to the taxpayers or obtain their approval to raise the limit. Adoption of a Resolution is required annually to establish the limit. The calculation is based on the prior year's limit multiplied by a factor of the change in City or County population and the percent increase in per capita personal income or non-residential assessed valuation. Both population and per capital income data is supplied by the State of California Department of Finance. The City's limit for 2022-23 is $58,766,896 with appropriations subject to the limit at $21,618,579. Therefore, the City of Rosemead is $37,148,317 below its appropriation limit.