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~~~YOt. City Council Report
Santa Monica
City Council Meeting: June 28, 2011
Agenda Item: ~_
To: Mayor and City Council
From: Barbara Stinchfield, Community and Cultural Services Director
Subject: Resolution Accepting Assets from the Martin Charitable Trust for Use in
Palisades Park
Recommended Action
Staff recommends that the City Council 1) adopt a resolution accepting the assets of
the Martin Charitable Trust in accordance with the terms of the trust to be used to
maintain and develop Palisades Park 2) authorize the City Manager to enter into
agreements and execute any documents related to the acceptance of funds from said
trust 3) authorize budget changes as outlined in the Financial Impacts and Budget
Actions section of this report.
Executive Summary
The City has been notified by the trustee (Northern Trust, N.A.) of the Richard G. and
Virginia L. Martin Charitable Remainder Unitrust that it is a beneficiary of the trust and
further that 10% of the assets to be liquidated are to be given to the City of Santa
Monica to be used to maintain and develop Palisades Park. In order for the trustee to
facilitate distribution of this. asset to the City, a resolution adopted by the City Council
agreeing to use the funds per the terms of the trust is necessary.
Background
The City of Santa Monica is one of the charitable beneficiaries of the Martin Charitable
Remainder Unitrust created by Richard G. Martin and Virginia L. Martin (Martin
Charitable Trust) in approximately March 1996. The terms of the Martin Charitable
Trust specify that the City of Santa Monica is to receive 10% of the assets of the trust
and to use these assets to maintain and develop Palisades Park. The trustee of the
Martin Charitable Trust is currently liquidating the assets of the trust and distributing the
assets to the charitable beneficiaries.
Discussion
Based upon the assets in the Martin Charitable Trust, it is anticipated that the City will
receive approximately $100,000 for Palisades Park: These funds will be used to
support one-time maintenance activities in the Park. The proposed resolution
authorizes the City Manager to enter into agreements and execute documents related to
the acceptance of funds from the Martin Charitable Trust.
Financial Impacts & Budget Actions
The following budget changes will be needed to record receipt of the funds from the
Charitable Trust and to make them available for use at Palisades Park in accordance
with the terms of the trust:
® Establish a revenue budget in the amount of $100,000 at account number
01224.404170;
® Appropriate the funds to account 015552.544018.
Prepared by: Karen Ginsberg, Assistant Director
Approved:
Forwarded to Council:
Barbara Stinchfield Rod Gould
Director, Department City Manager
Attachment A: Resolution
2
Reference Contract
No. 9392 (CCS) and
Resolution No. 10589
(ccs)