TO: Mayor and City Council
THROUGH: Keith Stahley, City Manager
FROM: Josh Eggleston, Chief Financial Officer
SUBJECT:
title
Public hearing on the FY 2025 Salem Urban Renewal Agency Budget
Ward(s): All Wards
Councilor(s): All Councilors
Neighborhood(s): All Neighborhoods
Result Area(s): Good Governance; Natural Environment Stewardship; Safe and Healthy Community; Safe, Reliable and Efficient Infrastructure; Strong and Diverse Economy; Welcoming and Livable Community.
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SUMMARY:
summary
The Urban Renewal Agency Budget Committee recommended a budget to the Urban Renewal Agency Board (Board) on May 8, 2024. The Board is required to hold a public hearing on the recommended budget and adopt a final budget prior to July 1, 2024. The Board may amend the Urban Renewal Agency Budget Committee's recommended budget with the following restrictions:
• Property tax levies cannot be increased in total beyond the amount approved by the Urban Renewal Agency Budget Committee.
• The recommended expenditures for each fund cannot be increased by more than ten percent (10%).
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ISSUE:
Shall the Urban Renewal Agency Board direct staff to return on June 24, 2024, with a resolution to adopt the Budget Committee recommended FY 2025 Urban Renewal Agency budget with amendments?
RECOMMENDATION:
recommendation
Direct staff to return on June 24, 2024 with a resolution to adopt the Budget Committee recommended FY 2025 Urban Renewal Agency budget with amendments.
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FACTS AND FINDINGS:
Pursuant to Oregon Local Budget Law, the public hearing on the Urban Renewal Agency Budget Committee recommended budget was noticed in the Statesman Journal on May 30, 2024. At this meeting, any person may appear for or against any item in the recommended budget document (ORS 294.453).
A summary of the Salem Urban Renewal Agency Budget Committee’s recommended budget appears as Attachment 1 of this report. Specific details are available in the budget document.
Budget Deliberation and Recommendation
The Urban Renewal Agency Board can deliberate on the recommended budget including any changes that the Board may want to make within the previously mentioned restrictions.
The Board is asked to provide direction on any modification to the recommended budget on June 10, 2024, in order to provide sufficient time to prepare the necessary resolution for budget adoption on June 24, 2024. The budget resolution will include any changes approved on June 10, 2024, as well as additional amendments that will be presented on June 24.
Additional amendments may include rebudgeted purchase orders and carryover projects. Accounting standards require the Urban Renewal Agency to rebudget outstanding purchase orders and carryover projects prior to June 30, 2024. A detailed list will be provided to the Board at the meeting on June 24, 2024.
Other Budget Considerations
Another amendment that will be included in the adoption of the budget on June 24th will be a transfer of $335,260 from the Tax Allocation Bond Debt Fund (220) to the Tax Allocation Improvement Fund (265). As a requirement of the 2009 loan in the Riverfront Downtown Urban Renewal Agency for the Convention Center, a reserve was created. With the payoff of that loan this current fiscal year, that reserve can be transferred into the Tax Allocation Improvement Fund for approved Riverfront Downtown plan projects.
BACKGROUND:
Oregon Budget Law requires the adoption of a balanced budget prior to the beginning of a new fiscal year which for the Salem Urban Renewal Agency, this is July 1, 2024.
Kali Leinenbach
Budget Manager
Attachments:
1. Recommended FY 2025 Urban Renewal Agency Budget