SR-6-C (111)
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jUL 2 6 1988
CA:LM:aks/srbmlpa
Councll Meetlng: July 26, 1988 Santa Monlca, Callfornla
TO: Mayor and City Council
FROM: City Staff
SUBJECT: November 1988 Ballot Measure for Library Property Acquisition
Introduction
ThlS report presents for Clty Council approval a resolutlon WhlCh determines
it is in the public interest for the Clty to acqulre and lmprove certaln real
property adjacent to the City's Main Library, and requests that the Clty
Council direct the City Attorney to draft for Councll conslderatlon at ltS
August 9. 1988 meeting an appropriate ordinance to place a general obllgation
bond issue on the November 1988 ballot for this project, and to prepare other
assoclated ballot materials.
Background
On May 24, 1988, the City Councll dlrected staff to take actlons necessary to
place a measure on the November 1988 ballot to purchase property adjacent to
the Main Library frontlng Santa Monlca Blvd. for future expanSlon and to be
used temporarlly to provide additional parklng for library patrons and staff.
This action was taken in response to a request of the Library Board.
The Library Board's request was based on a 1986 l1brary space study WhlCh
recommended that the present Main Library be enlarged to at least 87.000
square foot by the year 2,000 in order to meet the future needs of library
users. The study also recommended that certain real property adJacent to the
Main Library be acqulred to provlde the needed space.
Subsequent reVlew by City staff and a flnanclal consultant indicated that the
most economical way to ralse the funds necessary for this project was to
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JUt 2 6 1988
obtain voter approval for the issuance of general obligation bonds, thereby
allowing an associated increase in the City/s property tax rate to flnance the
annual debt serVlce payments on the bonds.
One effect resulting from the passage of Propositlon 13 in 1978 was to
prohibit local governments from lssuing general obligation bonds financed by
an lncrease in the local property tax rate. However, wlth voter approval of
Propositlon 46 in 1986, local governments regalned authority to increase local
property taxes above the Propositlon 13 limlt of 1% of full cash value by
issuance of general obligation bonds, provlded: a) two-thirds of those votlng
in the authorizlng electlon approve such measure, and b) the bond proceeds are
used excluslvely to acquire and/or improve real property.
The placlng of a general obligation bond measure on the ballot is a two step
process:
- A City councll resolution must be adopted by two-thlrds vote of all council
members WhlCh finds that the public interest or necesslty demands the
acqulsltion, construction or completlon of a munlclpal improvement project;
- At any subsequent meetlng~ an ordinance must be passed by two-thirds vote of
all council members orderlng the submlssion to the voters of the City of a
proposition for the issuance of general obligation bonds for the municipal
improvement project.
Council approval of the attached resolution and dlrectlon to the City Attorney
to prepare the necessary ordlnance and associated ballot materlals wlll
satisfy the first step in this process.
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Resolution of Public Interest or Necessity
The resolution intiates proceedings for the proposed General Obllgation
Library Bonds, by maklng a finding that the public interest or necessity
demands the actions identified therein (acqulsition and lmprovement of real
property). Such resolutlon requires a two-thirds vote of the City Councll
members for adoption.
Directlon to Clty Attorney
Following adoption of the attached resolution, the City Attorney should be
directed to draft an approprlate ordinance for the August 9, 1988 City Council
meeting. The ordinance must order the submission of the proposed General
Obligation Library Bond lssue, for the purposes set forth in the resolutlon of
public lnterest or necesslty, to the qualified voters of the City of Santa
Monlca at the November, 1988 electlon.
Budget and Flnancial Impact
Staff wlll present at the August 9, 1988 Council meeting the total cost,
assoclated annual debt service requirement, and tax rate impact for thlS
project.
Staff does not believe lt is approprlate to request voter approval ln November
1988 for constructlon of a library expanslon as well as property acquisitlon
because insufflcient time has been avallable to plan for such a complex
undertaking. Should the proposed General Obligation Library Bonds issue be
approved by the voters in November 1988, staff will recommend to the Council
capltal funds to proceed with the necessary expansion planning.
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BEFORE DISTRIBUTION CHECK CONTENT OF ALL FOR CITY C~ERKIS ACTION
DISTRIBUTION OF RESOLUTION * 7~ S-S- ORDINANCE *
Council Meeting Date 7ht/~t Introduced:
r") Agenda Item II r; - C!- Adopted:
QJ f/c 1\lNAYS PUBLISH AOOP'l1:D ORDINANCES*
-..... Was it amended? *Cross out Attorney's approval
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0\ VOTE: Affirmat1ve: <7 - ()
If) Negative:
CJ Abstain:
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c: Absent:
n.1 -) PROOF VQTE~ WITH ANOTHER PERSON BE~ORE A~WTHING
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..; DISTK.:iBUTluN: uKIGINAL '[.0 be slgIied; -sealed and 'filed in '{ault:.
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0 NEWSPAPER PUBLICATION (Date: , )
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> Pepartment originating staff report ( * )
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~ *C1ty Attorney does not want copies of his orcu.t}ances or resolutions.
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CI.l tdanagement Ser~~se~ Lynne Bar,rette urd1nances only ~
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+J Agency mentioned in document or staff report
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::: (certi fied?)
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~ Subject file (agenda packet) I
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0 Counter file
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~ Others: (Review for depai- i..i(ents ~ need to kn::w).
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+J Alrport Parking Auth.
"'d Aud1torum
Q) Personnel
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VI
Q) Building Dept. Planning
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Q.l C:....11....uni ty and Econcmic [)eV. Police (en-
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Q:I forcement?)
u Finance (
"4 Purchasing .
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4-1 Fire
0 Recr/Parks
VI General Servo
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>.. Transportation
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t::' LIbrary
j..., -- Treasurer
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~ Manager
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>.. SEND F()U~ COPIES OF ALL ORDINANCES. TO: *Check COde Sect~cns befor;:;: s':?l1dIr.
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..; CODFD SYSTE~1S, At!n Peter Maclearie
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...... AVrJ . ~T~W Jersey. 01717
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C'O SEND FOUR COPIES-OF ALL OROTNANr.FS _to:
~ ~tfift ~r1ck ·
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ll.l M NICA MUNICIPAL COURT
Ll ~725 MAIN STREEt Room 118 3
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0:: SANTA MON!CA, CA 90401 TOTAL COPIES .
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Recommendation
It is recommended that the City Council:
1) Adopt the attached resolution WhlCh finds it lS ln the public lnterest to
place before the voters in November, 1988 a General Obligation Library
Bonds measure to acquire and improve certain real property adjacent to the
City's Maln Library for future expansion and temporary use as parking; and
2) Direct the Clty Attorney to present for Clty Councll conslderation at the
August 9, 1988 Council meeting an ordinance placlng such a measure on the
November 1988 ballot, and assoclated ballot materials.
Prepared by: John Jalili, City Manager
Llnda Moxon, Deputy City Attorney
Mike Dennls, Director of Finance
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