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HomeMy WebLinkAboutMINUTES - 03061984 - F.1 *To: BOARD OF SUPERVISORS `- FROM: Contra Finance Committee C0S+a 1. DATE: March 5, 1984 @ County SUBJECT: Public Works Report of February 28 , 1984 on 1982-1983 Storm Damage Repairs SPECIFIC REQUEST(S) OR RECOMMENDATION(S) & BACKGROUND AND JUSTIFICATION Recommendations: 1. Approve revised priority list for repair of storm damages. 2. Direct staff of the Public Works Department to apply for a loan from the State under the Mello Bill (Chapter 1064, Statutes of 1983-1984 session) with an annual repayment schedule of $250 , 000 to complete certain repair projects specifidd on Attachment C to said report. 3. Direct County Administrator, County Counsel and County Auditor- Controller to resolve questions as to the legality of the County utilizing this loan procedure and if determined to be legal, how the repayment obligation is to be funded. Discussion: The revised priority list for 1982-1983 storm damage repair projects which remain uncompleted due to funding problems and the procedure used by the Public Works Department to arrive at priorities were reviewed and determined to be appropriate. The report sets forth several proposals which would affect the General Fund in fiscal year 1984-1985. The first is that the department has included a General Fund allocation of $500, 000 to continue repairs on major storm damage sites. The second is the use of the Mello Bill (SB 78) to borrow funds from the State to be repaid from the General Fund over a 5 year period at approximately 9% interest. The number of projects to be completed under the borrowing program are dependent upon the amount applied for by local public agencies and the annual payments which the County may be able to assume. The County Administrator indicated that preliminary computations of revenue sources and expenditures indicate clearly that fiscal year 1984-1985 will be a very difficult financial period for the General Fund. Preliminary projections indicate that programs and services may have to be cut back further for the year in order to remain within the county's limited financial resources. As a result of this situation, the Finance Committee recommends that no General Fund money be committed at this time for any storm damage repairs or for the repayment of any State loans. CONTINUED ON ATTACHMENT: xx YES SIGNATURE: RECOMMENDATION OF COUNTY ADMINISTRATOR XX RECOMMENDATION OF BOARD COMMITTEE X APPROVE OTHER Supervisor Torlakson substituting for Supevisor Schree'r�77 SIGNATURE(S) Supervisor S. W. McPeak Supervisor T. Torlakson ACTION OF BOARD ON -r $ APPROVED AS RECOMMENDED OTHER VOTE OF SUPERVISORS XJL UNANIMOUS (ABSENT ) I HEREBY CERTIFY THAT THIS IS A TRUE AYES: NOES: AND CORRECT COPY OF AN ACTION TAKEN ABSENT: ABSTAIN: AND ENTERED ON THE MINUTES OF THE BOARD OF SUPERVISORS ON THE DATE SHOWN. CC: Public Works Director ATTESTED / �� akr4 - 9E, 19 9 41 County Administrator J.R. OLSSON, COUNTY CLERK County Counsel AND EX OFFICIO CLERK OF THE BOARD County Auditor-Controller 000 ` 97 9 M362/7-e3 BY, DEPUTY 2. The County Administrator also indicated that the loan procedure has been reviewed with the Offices of County Auditor-Controller and County Counsel. There are serious legal questions with respect to the authority of the County to borrow funds and include such amounts in the budget in view of constitutional limitations on such matters. Staff has not had sufficient time to research this matter to determine the legal authority for the loan program. Recognizing the hardships to property owners resulting from the inability of the County to complete certain storm damage repair projects and the March 15, 1984 deadline for submittal of a laon application to the State, it is proposed that staff be directed to submit the applicationfor a loan while efforts are made to resolve the legal and funding questions involved. 0OOy9a