HomeMy WebLinkAboutReso 34-26 Appropriations Limit for FY 2026-27 - signed
RESOLUTION NO. 34-26
RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF MORRO BAY, CALIFORNIA,
ESTABLISHING THE ANNUAL PROPOSITION 4
APPROPRIATIONS LIMIT FOR THE FISCAL YEAR 2026-27
THE CITY COUNCIL
City of Morro Bay, California
WHEREAS, Article XIIIB of the California Constitution restricts the appropriation of
tax proceeds that the City receives in any given fiscal year; and
WHEREAS, the City has calculated the FY 2026-27 appropriations limit, in
accordance with the provisions of Article XIIIB of the California Constitution; and
WHEREAS, in June 1990, the California voters approved Proposition 111, amending
the Gann Initiative to provide local agencies with the option of using either the city or county
population change percentage, whichever is greater. The City is calculating this limit using
the San Luis Obispo County population change and the California Per Capita Personal
Income, referred to as the Price Factor (outlined in Exhibit 3, attached hereto); and
WHEREAS, the City has complied with Government Code 7910.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Morro
Bay, California, to adopt Resolution No. 34-26, which accepts the calculation of the FY 2026-
27 appropriations limit, as prepared by the Morro Bay Finance Department, and establishes
the FY 2026-27 appropriations limit at $39,553,846, based on the calculation detailed in
Exhibits 1 and 2 attached hereto.
PASSED AND ADOPTED, by the City Council of the City of Morro Bay, at a regular
meeting thereof held on the 9th day of June 2026, by the following vote:
AYES: Wixom, Eckles, Edwards, Landrum, Luffee
NOES: None
ABSENT: None
ABSTAIN: None
RECUSED: None
______________________________________
CARLA WIXOM, Mayor
ATTEST:
______________________________
DANA SWANSON, City Clerk
Carla Wixom (Jun 10, 2026 18:07:54 PDT)
Carla Wixom
May 1, 2026
Dear Fiscal Officer:
Price Factor and Population Information
Appropriations Limit
California Revenue and Taxation Code section 2227 requires the Department of Finance
to transmit an estimate of the percentage change in population to local governments.
Each local jurisdiction must use their percentage change in population factor for
January 1, 2026, in conjunction with a change in the cost of living, or price factor, to
calculate their appropriations limit for fiscal year 2026–27. Attachment A provides the
change in California’s per capita personal income and an example for utilizing the
factors to calculate the 2026–27 appropriations limit. Attachment B provides the city and
unincorporated county population percentage change. Attachment C provides the
population percentage change for counties and their summed incorporated areas. The
population percentage change data excludes federal and state institutionalized
populations and military populations.
Population Percent Change for Special Districts
Some special districts must establish an annual appropriations limit. California Revenue
and Taxation Code section 2228 provides additional information regarding the
appropriations limit. Article XIII B, section 9(C) of the California Constitution exempts
certain special districts from the appropriations limit calculation mandate. Special districts
required by law to calculate their appropriations limit must present the calculation as
part of their annual audit. Any questions special districts have on this requirement should
be directed to their county, district legal counsel, or the law itself. No state agency
reviews the local appropriations limits.
Population Certification
The population certification program applies only to cities and counties. California
Revenue and Taxation Code section 11005.6 mandates Finance to automatically certify
any population estimate that exceeds the current certified population with the State
Controller’s Office. Finance will certify the higher estimate to the State Controller by
June 1, 2026. Please note: The prior year’s city population estimates may be revised.
The per capita personal income change is based on historical data.
If you have any questions regarding this data, please contact the Demographic
Research Unit at (916) 323-4086.
/s Erika Li
Attachment
May 2026
Attachment A
A.Price Factor: Article XIII B specifies that local jurisdictions select their cost of
living factor to compute their appropriation limit by a vote of their governing
body. The cost of living factor provided here is per capita personal income. If
the percentage change in per capita personal income is selected, the
percentage change to be used in setting the fiscal year 2026–27
appropriation limit is:
Per Capita Personal Income
Fiscal Year Percentage change
(FY) over prior year
2026-27 4.95
B.Following is an example using sample population change and the change in
California per capita personal income as growth factors in computing a
2026–27 appropriation limit.
2026–27:
Per Capita Cost of Living Change = 4.95 percent
Population Change = -0.14 percent
Per Capita Cost of Living converted to a ratio: 4.95 + 100 = 1.0495
100
Population converted to a ratio: -0.14 + 100 = 0.9986
100
Calculation of factor for FY 2026–27: 1.0495 x 0.9986 = 1.0480
005 045 050
001 003 Unfunded Developer Gov't 051 052 250 260 201-206 280 282 299 302 303 430
General District Compensable Reimbursment Vehicle State Road Maint.Traffic SLESF Parking LTF LTF Risk
Fund Trans Tax Leave Agreements Replacement GFER GF Fac Maint Gas Tax & Rehab SB1 CDBG Safety COPS In-Lieu Bikepaths Roads Management
Property taxes 6,179,220 - - - - - - - - - - - - -
Intergovernmental Revenues 562,500 - - - - - - 323,442 296,214 - - 150,000 12,928 29,000 -
Other taxes:
Sales and Use Tax 2,781,312 4,500,000 - - - - - - - - - - - - -
Cannabis City Tax 502,250 - - - - - - - - - - - - - -
Transient Occupancy Tax 4,681,800 - - - - - - - - - - - - - -
Franchise fees 834,500 - - - - - - - - - - - - - -
Other - - - - - - - - - - - - - - -
Licenses/permits 769,040 - - - - - - - - - - - - - -
Revenues From Current Services 2,041,443 - - - - - - - - - - - - - -
Fines/Forfeitures 11,105 - - - - - - - - - 15,000 - - - -
Other Revenues 786,400 - - 220,000 - - - - - - - - - - 1,978,132
Use of money and property:
Interest 425,000 5,000 - - - - - - - - - 12,500 13,000 2,500 - 40,000
Rent 466,100 - - - - - 66,336 - - - - - - - -
Revenue from other agencies:- -
State - - - - - - - - - - - - - - -
State/County grants - - - - - - - - - - - - - - -
Federal grants - - - - - - - - - - - - - - -
20,040,670 4,505,000 - 220,000 - - 66,336 323,442 296,214 - 15,000 162,500 13,000 15,428 29,000 2,018,132
450 311 & 921 315 321 & 922 331 & 923 500 & 565 570 515-2430 900 904 907 915 925 924 941 All Funds
Water Sewer Special Special Gov't Capital TOTAL
Information Operating &Utility Operating &Harbor Ops Assessmt Assessmt PEG Gov Park Economic Improvement Triangle Lot State Park Housing ESTIMATED
Technology Capital Imprv.Discount Capital Imprv.& Equipment Districts Cloisters Fees Impact Fees Dev.Projects Boat Yard Marina In-Lieu REVENUES
Property taxes - - - - - 8,477 148,944 - - - - - - - 6,336,641
Intergovernmental Revenues - - - - 1,525,750 - - - - - - - - - 2,899,834
Other taxes:-
Sales and Use Tax - - - - - - - - - - - - - - 7,281,312
Cannabis City Tax - - - - - - - - - - - - - - 502,250
Transient Occupancy Tax - - - - - - - - - - - - - - 4,681,800
Franchise fees - - - - - - - - - - - - - - 834,500
Other - - - - - - - - - - - - - - -
Licenses/permits - - - - - - - - - - - - - - 769,040
Revenues From Current Services 82,800 7,649,200 - 9,460,000 2,815,026 - - - 122,000 - - - 130,000 10,000 22,310,469
Fines/Forfeitures - 55,000 - 30,000 8,500 - - - - - - - - - 119,605
Other Revenues 42,867 - - 399,152 - 21,454 - - - 430,000 - - - 3,878,005
Use of money and property:-
Interest 40,000 700,000 - 1,300,000 50,000 2,500 6,500 - 40,000 10,000 - - - 40,000 8,000 2,695,000
Rent - - - - - - - - - - - 55,000 - - 587,436
Revenue from other agencies:- - -
State - - - - - - - - - - - - - - -
State/County grants - - - - - - - - - - - - - - -
Federal grants/loans - - - - - - - - - - - - - - -
165,667 8,404,200 - 10,790,000 4,798,428 10,977 176,898 - 162,000 10,000 - 430,000 55,000 170,000 18,000 52,895,892
CITY OF MORRO BAY
APPROPRIATION LIMIT DOCUMENTATION
FISCAL YEAR 2026/27
CITY OF MORRO BAY
APPROPRIATION LIMIT DOCUMENTATION
FISCAL YEAR 2026-27
PROCEEDS OF TAXES CALCULATION APPROPRIATION LIMIT CALCULATION
[1]PROCEEDS TOTAL [2][3]
PROCEEDS OTHER THAN ESTIMATED CALIFORNIA POPULATION
OF TAXES TAXES REVENUES YEAR PCPI CHANGE CHANGE LIMIT
PROPERTY TAXES $6,336,641 6,336,641 1978-79 BASE YEAR $3,046,393
INTERGOVERNMENTAL 2,899,834 2,899,834 1979-80 10.17%1.38%3,402,527
OTHER TAXES 12,465,362 834,500 13,299,862 1980-81 10.53%0.26%3,770,591
PERMITS 769,040 769,040 1981-82 9.12%1.39%4,171,660
REVENUE FROM AGENCIES - 1982-83 6.79%2.04%4,545,796
STATE - 1983-84 2.35%1.81%4,736,835
STATE/COUNTY GRANTS - 1984-85 4.74%1.75%5,048,185
FEDERAL GRANTS - 1985-86 3.74%1.62%5,321,826
USE OF MONEY & PROPERTY - 1986-87 2.30%4.12%5,668,530
INTEREST 2,695,000 2,695,000 1987-88 3.04%2.93%6,011,990
RENT 587,436 587,436 1988-89 3.93%3.83%6,487,570
FINES & FORFEITURES 119,605 119,605 1989-90 4.98%3.92%7,077,629
CHARGES FOR SERVICES 22,310,469 22,310,469 1990-91 4.21%4.59%7,714,137
OTHER REVENUES 3,878,005 3,878,005 1991-92 4.14%3.04%8,277,721
1992-93 -0.64%1.00%8,306,991
$18,802,003 $34,093,889 $52,895,892 1993-94 2.72%1.86%8,691,654
1994-95 0.71% 1.40% 8,875,912
TRUE 1995-96 4.72%1.60%9,443,573
1996-97 4.67%2.31%10,112,922
1997-98 4.67%2.06%10,803,250
1998-99 4.15%2.70%11,555,378
1999-2000 4.53%2.28%12,354,234
2000-01 4.91%2.46%13,279,663
2001-02 7.82%1.60%14,547,223
2002-03 -1.27%1.80%14,620,998
2003-04 2.31%1.32%15,156,198
2004-05 3.28%1.15%15,833,334
2005-06 5.26%1.19%16,864,495
2006-07 3.96%0.73%17,660,315
2007-08 4.42%0.96%18,617,934
2008-09 4.29%1.12%19,634,110
2009-10 0.62%1.01%19,955,375
2010-11 -2.54%0.87%19,617,710
2011-12 2.51%1.09%20,329,315
2012-13 3.77%0.47%21,194,880
2013-14 5.12%0.52%22,395,914
2014-15 -0.23%0.09%22,364,513
2015-16 3.82%0.78%23,399,944
2016-17 5.37%0.77%24,846,376
2017-18 3.69%0.59%25,915,210
2018-19 3.67%0.35%26,960,330
2019-20 3.85%0.24%28,065,499
2020-21 3.73%-0.42%28,990,070
2021-22 5.73%-0.30%30,559,247
2022-23 7.55%0.28%32,958,496
2023-24 4.44%-0.50%34,249,744
2024-25 3.62%-0.08%35,461,193
2025-26 6.44%0.00%37,744,894
2026-27 4.95%-0.15%39,553,846
PROCEEDS OF TAXES 18,802,003
PROCEEDS OF TAXES
UNDER APPROPRIATION LIMIT $18,942,891
Reso 34-26 Appropriations Limit for FY 2026-27
Final Audit Report 2026-06-11
Created:2026-06-10
By:Heather Goodwin (hgoodwin@morrobayca.gov)
Status:Signed
Transaction ID:CBJCHBCAABAAGeWInjWTaomqMAQueX-nNxPG3Aew3Edn
"Reso 34-26 Appropriations Limit for FY 2026-27" History
Document created by Heather Goodwin (hgoodwin@morrobayca.gov)
2026-06-10 - 9:08:08 PM GMT
Document emailed to cwixom@morrobayca.gov for signature
2026-06-10 - 9:09:26 PM GMT
Email viewed by cwixom@morrobayca.gov
2026-06-11 - 1:07:28 AM GMT
Signer cwixom@morrobayca.gov entered name at signing as Carla Wixom
2026-06-11 - 1:07:52 AM GMT
Document e-signed by Carla Wixom (cwixom@morrobayca.gov)
Signature Date: 2026-06-11 - 1:07:54 AM GMT - Time Source: server - Signature Appearance Selected: TYPE
Document emailed to Dana Swanson (dswanson@morrobayca.gov) for signature
2026-06-11 - 1:07:56 AM GMT
Email viewed by Dana Swanson (dswanson@morrobayca.gov)
2026-06-11 - 2:44:53 PM GMT
Document e-signed by Dana Swanson (dswanson@morrobayca.gov)
Signature Date: 2026-06-11 - 2:45:03 PM GMT - Time Source: server - Signature Appearance Selected: IMAGE
Agreement completed.
2026-06-11 - 2:45:03 PM GMT