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HomeMy WebLinkAboutMINUTES - 06032008 - C.92 TO: BOARD OF SUPERVISORS Contra FROM: JOHN CULLEN, County Administrator Costa DATE: MAY 16, 2008 County SUBJECT: FY 2007/08 CERTIFICATION OF PROPOSITION 172 MAINTENANCE OF EFFORT SPECIFIC REQUEST(S)OR RECOMMENDATION(S)&BACKGROUND AND JUSTIFICATION RECOMMENDATION 2000 ACCEPT this report and AUTHORIZE.the County Administrator, or designee, to execute the Maintenance of Effort Certification .Form for FY 2007/08 as required by Chapter 886, Statutes of 1994 to receive Proposition 172 funds, and to submit the Certificate to the County Auditor-Controller. FISCAL IMPACT This Certificate of Maintenance of Effort:is required by State statute as implemented by guidelines issued by the Office of the State Controller. Failure to submit the required certification form would result in the loss of$66.4 (million in State Proposition. 172 funds for the current fiscal year. CONTINUED ON ATTACHMENT: ES SIGNATURE: [g-RECOMMENDATION OF COUNTY ADMINISTRATOR ❑ RECOMM ATION OF BOARD COMMITTEE O'APPROVE OTHER SIGNATURE(S): ACTION OF BO D ON APPROVED AS RECOMMENDED OTHER ❑ VOTE OF SUPERVISORS: I HEREBY CERTIFY THAT THIS IS A TRUE AND CORRECT COPY OF AN ACTION TAKEN AND &UNANIMOUS(ABSENT P IV 1_...-.)- ENTERED ON THE MINUTES OF THE BOARD OF SUPERVISORS ON THE DATE SHOWN. AYES: NOES: ABSENT: ABSTAIN: ATTESTED: JUNE 3, 2008 Contact: JULIE ENEA(925)335-1077 JOHN CULLEN,CLERK OF THE BOARD OF SUPERVISORS AND COUNTY ADMINISTRATOR cc: AUDITOR-CONTROLLER CAO-FINANCE CAO-PUBLIC PROTECTION / SHERIFF-CORONER By: DISTRICT ATTORNEY COUNTY PROBATION OFFICER PUBLIC DEFENDER HEALTH SERVICES DIRECTOR FY 2007/08 Prop 172 Maintenance of Effort Certification May 16,2008 County Administrator's Office Page 2 BACKGROUND This '/z cent sales tax was authorized in 1994 as a result of the 1993/94 state budget process. Proposition 172 (Senate Bill 509) designated that the '/z cent sales tax be deposited to newly-created state and local public safety trust funds and allocated to local agencies to fund public safety activities such as police, sheriff.. fire, district attorney, county corrections, and ocean lifeguards. Court operations were explicitly excluded. To prevent supplantation of local revenues that would have otherwise been allocated to public safety functions with Proposition 172 sales tax, the Legislature enacted Assembly Bill 2788 as Chapter 886, Statutes of 1994. AB 2733 requires a local agency to commit at least the same resources as were committed in FY 1992/93 (minus certain exclusions), adjusted each year by any growth in its Proposition 172 revenue, as maintenance of effort (MOE) in order to qualify to receive Proposition 172 (Public Safety Sales Tax). AB 2733 does not specifically define what is meant by"public safety services" and allows each county to make its own computation. In implementing the MOE section of Assembly Bill 2788, as indicated in the Certification Form, it was most advantageous for this County to define public safety as follows: District Attorney (Department 0242). Probation (Departments (0308, 0309, 0310, 0311), Public Defender (Department 0243), Sheriff-Coroner (Departments 0255, 0300, and 0359). and Inmate Medical Care (Department 0301). It should be noted that the definition of"public safety services" for computation of the MOE obligation does not in any way detract from the Board's authority to designate those funds to whatever public safety department or service it chooses. In FY 2005/06, this County received $$69.3 million in public safety sales tax funds (Proposition 172), and in 2006/07 the County received $67.3 million. In FY 2007/08, it is estimated that we will receive $66.4 million. All of these estimated funds have been budgeted in the District Attorney and Sheriff budgets, pursuant to Board action. For the current year, it is estimated that Proposition 172 funds will pay for 42% of the District:Attorney's annual net cost of operations and 32% of the Sheriffs annual net cost of operations. We have determined that for FY 2007/08, the adopted budget for the County-defined public safety services exceeds the County's MOE obligation by $ 135.1 million. In computing the MOE, we followed the Public Safety MOE Requirement Uniform Guidelines.for California Counties and Cities approved by the State Association of County Auditors. Authorizing the County Administrator to execute and submit the MOE Certification ]Form to the County Auditor-Controller will assure that the County will receive its full allotment of Proposition 172 funds for the current year. Auditor-Controller CONTRA COSTA COUNTY AB2788 (Chapter 866/94) Maintenance of Effort Certification Form Name of County: Contra Costa Fiscal Year of Certification: 2007/08 AB2788 Maintenance of Effort (MOE) Calculation: Line 1: Total Public.Safety Adopted Budget 254,139,571.00 (Amount of Line 4.1 from Form A) Line 2: Public Safety MOE 119,032,622.25 (Amount of Line 3.2 from Form A) Line 3: Difference (Amount of Line 1 minus Line 2) Over/(Under) AB2788 MOE Requirements 135,106,948.75 (*Enter this amount below.) Certification Statement: I hereby certify that the County of Contra Costa is over. /under (please circle one) the AB2788 Maintenance of Effort requirements concerning the use of Proposition 172 revenues in the amount of 135,106,948.75 . Forms A and C are submitted in support of this calculation. Detailed records concerning this calculation are available upon request and will be retained. Signature of County Official: Date Signed: S Form A: AB2788 MOE Calculation Worksheet Contra Costa Step#1: Public Safety Services as Previously Defined In 1994/95, the County established their definition of public safety services consistent with Government Code Section 30052. Listed below are all departments included in this definition. District Attorney Health Detention-Inmates Probation Public Defender Sheriff(including Coroner) Step#2: Growth Adiusted Base Year The County determined the AB2788 base year amount in 1994/95 on Form B by using the 1992/93 adopted budget for all defined public safety departments. Line 2.1: Total Base Year Forward 120,995,142.42 (.Adjusted AB2788 Base Amount from Prior Year Form A, Line 3.2) Step#3: New Base Amount for Local Agency AB2788 includes a growth factor provision equal to the previous years' growth in Proposition 172 revenues. The Auditor-Controller's Office will provide cities and counties with this amount. If appropriate, this amount should be added to the AB2788 Base Year. Line 3.1: Growth Amount -1,962,520.17 Line 3.2: Total Base Amount for Local Agency 119,032,622.25 (Total of lines 2.1 and 3.1) Step#4: Determine AB2788 Public Safety Budget for Certification Year The County should determine the AB2788 Public Safety Budget for the Certification year. The same departments and adjustments that were included in the AB2788 base year calculation have been entered on Form C. Please complete Form C to provide the following: Line 4.1: Total AB2788 Public Safety Budget 254,139,571.00 Step#5: AB2788 Maintenance of Effort(MOE)Calculation Please complete the AB2788 Certification Form using the above information. The calculation would be as follows: Line 1 of the Certification Form Take the amount of Line 4.1, Form A Line 2 of the Certification Form Less the amount of Llne 3.2, Form A Line 3 of the Certification Form Equals the amount over/(under)AB2788 MOE requirement. 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