HomeMy WebLinkAbout1991-04-23 - AGENDA REPORTS - PROPOSITION A FUNDS EXCHANGE (2)NEW BUSINESS
DATE:
SUBJECT:
DEPARTMENT:
BACKGROUND
April 23, 1991
Proposition A
Public
AGENDA REPORT
City Manager Approval
Item to be presented by:
John E. Medina
The City of Diamond Bar has offered to trade -$600,000 of Proposition A Funds
in exchange for General Fund money to any municipality or public agency. The
benefit to the City of Diamond Bar would be that it could then use the General
Fund money for any.city expense whereas, Proposition A funding is limited only
to transit related expenses. If a municipality does not have transit expenses
where the funds can be utilized, the money then reverts back to the Los
Angeles County Transportation Commission for reallocation.
The rate of exchange offered is $.65 of General Fund money per $1.00 of
Proposition A money. The City of Santa Clarita, which has a major expenditure
in transit operations, can benefit in such an exchange by the following:
Proposition A Funds from Diamond Bar could replace Transportation Demand Act
Funds (TDA) used in the funding of our. transit system. Those TDA funds
replaced by Proposition A money can be used to either provide funds for
additional roadway projects or to release General Fund money budgeted for
roadway projects to be used for other City programs.
The exchange would result in the City providing $390,000 of General Fund money
in exchange for $600,000 Proposition A money resulting in $210,000 of
additional money that can be used for general City expenses whether they be
roadways or other programs at City discretion.
Because of the urgency of the matter, a letter was sent to the City of Diamond
Bar expressing our intent to purchase the Proposition A money contingent upon
confirmation by Council. Other cities had also expressed interests in the
exchange of the funding.
RECOMMENDATION
1) The City Council authorize an exchange of $390,000 of City General Funds
for $600,000 of the City of Diamond Bar's Proposition A funds.
2) Authorize the Mayor and City Clerk to execute a standard assignment
agreement approved as to form by the City Attorney to accomplish the
exchange.
3) Authorize the exchange no earlier than 30 days from the date a project
description describing the exchange is received by the Los AngelesCo
Transportation Commission.
JEM:rd:912 FROVED Agenda Item:
City of
Santa Clarita
Carl Boyer, 3rd
Mayor
Jill Klajic
Mayor Pro -Tem
Jo Anne Darcy
Councilmember
Jan Heidt
Councilmember
Howard "Buck" McKeon
Councilmember
23920 Valencia Blvd.
Suite 300
City of Santa Clarita
California 91355
April 12, 1991
Phone
(805) 259-2489
Fax
(805)259-8125
Mr. Robert L. Van Nort, City Manager
CITY OF DIAMOND.BAR
21660 East Copley Drive, Suite 100
Diamond Bar, CA 91765-4177
Subject: Proposition A Exchange
Dear Mr. Van Nort:
As discussed in our telephone conversation yesterday, the City
of Santa Clarita is interested in the exchange of Proposition A
funding at a rate of 65L of our General Fund money for $1.00 of
you Proposition A funds. The opportunity to mutually benefit
from such an exchange is sincerely appreciated.
It is my understanding that your Director of Public Works,
Mr. Mousavi, has indicated to our Director of Public Works,
John Medina, that an exchange of $600,000 rather than $500,000
is now offered to the City of Santa Clarita and our Director
has indicated our willingness to enter into such an exchange.
It is our intent to bring to our City Council for consideration
in their meeting of April 23, 1991 the exchange of $390,000 of
this City's General Funds in exchange for $600,000 of your
Proposition A funding.. It is our understanding that your
Council will consider the exchange on April 16,. 1991. Upon
action by our respective Councils, we will then present the
exchange to the LACTC for their approval.
We sincerely appreciate
exchange of funding and
similar exchange in the
Sinc
17bot'ge A. Ca
City Manager
GAC:jem:gmm-1183
the opportunity
look forward to
future.
to participate in this
any opportunities of a
cc:'. John Medina, Director of Public Works
21660 EAST COPLEY DRIVE • SUITE 100
DIAMOND BAR, CA 91765-4177
714-860-2489 • FAX 714-861-3117
RMt2y10b�L
'APR 0 8 1991
FU CITY OLIC F SANTA CLARITAfZKS NT
George Caravalho, City,
ity Manager
CITY OF SANTA CLARIT
23920 V cia vard, Suite 300
Santa Ct iia, 91355
Dear Mr
RECEIVED
APR 4 1991
CITY VANAGEWS OFFICE
CITY OF SANTA CLARITA
The City of Diamond Bar is interested in exchanging
—$5AD-Q-x.088. of itr Proposition A funds for general
funds. If your city is interested in discussing this
further, pleas.0 contact Sid Jalal Mousavi, City
Engineer/Publ'c Works Director at (714) 396-5671.
Sinc ely,
Robe t L. Van Nort
City anager
RLVN:kna
JOHN A. FORBING JAY C. KIM PHYLLIS E. PAPEN DONALD C. NARDELLA GARY H. WERNER ROBERT L. VAN NORT
Mayor Mayor Pro Tem Councilmember Councilmember Councilmember City Manager
CITY OF DIAMOND BAR USES RECYCLED PAPER