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AGENDA ITEM REVIEW FORM |
6.E.
Special City Council Meeting
- Meeting Date:
- 07/19/2023
- Department Head:
- Kay Macuil
- Submitted By:
- Kay Macuil, City Attorney, Attorney's Office
Action Requested:
Motion
ITEM:
Discussion and possible action on any and all matters regarding the Fiscal Year 2023-2024 for City Council’s line-item budget in the General Ledger Account named Council's Contractual Services for consideration of continuing as a signatory on the Intergovernmental Agreement, 4FrontED. (Jenny Torres, Acting City Manager)
SUMMARY:
IGA Organizational Structure: 4FrontED was created through an Intergovernmental Agreement (“IGA”) which includes the municipalities within Yuma County and Yuma County. The Board consists of the mayors of each municipality in the county and a county supervisor. The staff is each community’s economic development staff or designee. 4FrontED hires an Executive Director. The City of San Luis is the Fiscal Agent. The IGA expires on February 13, 2024, but automatically renews after that for five (5), one-year (1-year) terms. Terminating participation requires thirty (30) days’ notice.
Service: 4FrontED provides a binational program focused on education, infrastructure, tourism, and economic development in the region of the U.S.-Mexican Border, communicating with California, Baja California Norte, Sonora, and Arizona border regions to mutually uplift the economy of the region.
Compliance: 4FrontED provided an accounting as requested by the deadline of March 10, 2023, and provided a slide deck summarizing their activities in the past fiscal year (both attached).
Amount: 4FrontED calculates the contribution at twenty cents (20¢) per capita per member jurisdiction under the IGA. Section 2.2 of the 4FrontED Intergovernmental Agreement: Specifically, the Section says: “The contributions shall be adjusted on an annual basis based on the Arizona Department of Revenue (“ADR”) population estimates and on the recommendation of the 4FrontED staff and the approval of all the Parties through their respective budgeting and procurement procedures.” Last year, 4FrontED recommended using the Arizona Commerce Authority, Office of Economic Opportunity’s (“ACA”) estimate because it includes an estimate for unincorporated areas of the County and ADR does not. 4FrontED’s Board met on May 30, 2023, to set the contribution at twenty cents (20¢) per capita times the ACA's estimated population for San Luis for July 1, 2023, 43,946 for a total of $8,789.20. Last year, San Luis budgeted $7,950.00 for its contribution due to not having the 4FrontED's Board's approved contribution at the time of the San Luis Council Meeting. The actual amount San Luis paid was $7,941.00 based on the ACA's population estimate last year. The contribution this year is $848.20 more than last year. 4FrontED's minutes, which include the spreadsheet presented to its Board, are attached.
Service: 4FrontED provides a binational program focused on education, infrastructure, tourism, and economic development in the region of the U.S.-Mexican Border, communicating with California, Baja California Norte, Sonora, and Arizona border regions to mutually uplift the economy of the region.
Compliance: 4FrontED provided an accounting as requested by the deadline of March 10, 2023, and provided a slide deck summarizing their activities in the past fiscal year (both attached).
Amount: 4FrontED calculates the contribution at twenty cents (20¢) per capita per member jurisdiction under the IGA. Section 2.2 of the 4FrontED Intergovernmental Agreement: Specifically, the Section says: “The contributions shall be adjusted on an annual basis based on the Arizona Department of Revenue (“ADR”) population estimates and on the recommendation of the 4FrontED staff and the approval of all the Parties through their respective budgeting and procurement procedures.” Last year, 4FrontED recommended using the Arizona Commerce Authority, Office of Economic Opportunity’s (“ACA”) estimate because it includes an estimate for unincorporated areas of the County and ADR does not. 4FrontED’s Board met on May 30, 2023, to set the contribution at twenty cents (20¢) per capita times the ACA's estimated population for San Luis for July 1, 2023, 43,946 for a total of $8,789.20. Last year, San Luis budgeted $7,950.00 for its contribution due to not having the 4FrontED's Board's approved contribution at the time of the San Luis Council Meeting. The actual amount San Luis paid was $7,941.00 based on the ACA's population estimate last year. The contribution this year is $848.20 more than last year. 4FrontED's minutes, which include the spreadsheet presented to its Board, are attached.
Motion: The staff prepared a motion of approval, but the staff is neutral on whether to approve or deny funding because the item is part of the City Council's budget and not part of any operational department's budget. San Luis is the fiscal agent for 4FrontED, and so San Luis is the fiduciary for the 4FrontED's funds and payments from the fund.
RECOMMENDATION / SUGGESTED MOTION:
I MOVE TO APPROVE FUNDING 4FrontED IN THE AMOUNT OF $8,789.20 FOR THE FISCAL YEAR 2023-2024.
Fiscal Impact
- IS THERE FISCAL IMPACT ASSOCIATED WITH THIS ITEM:
- Yes
- CITY/STATE/FEDERAL FUNDS:
- City
- TOTAL:
- $8,789.20
- BUDGETED AMOUNT:
- See fiscal impact statement
- AVAILABLE AMOUNT TO TRANSFER:
- See fiscal impact statement
- ACCT NAME & GL#/REMAINING BALANCE BEFORE PURCHASE:
- See fiscal impact statement
FISCAL IMPACT STATEMENT (IF THIS IS A BUDGET TRANSFER, YOU MUST ATTACH THE BUDGET ADJUSTMENT FORM):
If funding is approved, there is budget capacity for the fiscal year 2023-2024 for the requested $8,789.20 contribution to 4FrontED. In the council contingency we budgeted $200,000 over the usual budget to allow for budget flexibility to cover items that were pending council evaluation as the item presented.