PURPOSE

The purpose of this report is to forward to City Council, the Redevelopment Agency Board of Directors, and the Youth Endowment Services (YES) Board of Directors the YES Committee�s recommendation to apply the unappropriated YES Funds from FY 2003-04 towards the Robert �Bud� Ovrom Park Project (Ovrom Park). In addition, this report requests the appropriation of previous FY 2002-03 YES fund balances be transferred into the Ovrom Park Project Account.

Background

The City Council established the Youth Endowment Services (YES) Fund during their meeting on January 15, 1991. This fund was created to provide, encourage and support activities that benefit the development of youth residing in the City of Burbank. The concept of the YES Fund was to meet this goal through a collaborative effort between the City and the community. The public contribution to this effort is a City Council/Redevelopment Agency pledge of five percent of the incremental tax revenue produced in the Golden State, West Olive, and City Centre redevelopment project areas. During the May 5, 1998 YES Fund Board of Directors meeting, staff was directed to also incorporate five percent of the incremental tax revenues from the new South San Fernando Redevelopment Area.

At the July 11, 2000 joint meeting of the City Council, Redevelopment Agency Board of Directors and the YES Fund Board of Directors, changes were made in the way funds were appropriated into the YES Fund. Previously, one-third of the available year-end fund balance was allocated toward the YES Fund Grant Program for the following year. At that meeting, authorization was given to expend the entire year-end fund balances of the Redevelopment Tax Increment Fund toward the YES Fund Grant Award Program. Any remaining funds after awards were issued would be designated for the Ovrom Park Project, and held in a YES Fund account until expenditure for the project was needed.

Previously designated funds for Ovrom Park at that time totaled $433,946 and have been transferred to the Ovrom Park Project account 370.CP01A.70005.0000.13504. At the end of FY 2002-03 $792,799 of undesignated funds in the Youth Endowment Services Fund 130 remained after awards were issued and are available for the Orvom Park Project.

DISCUSSION

At their January 21, 2004 meeting, the YES Fund Advisory Committee passed a motion to recommend to City Council, the Redevelopment Agency Board of Directors, and the YES Board of Directors that the unappropriated YES Fund balances as of the end of FY 2003-2004 be designated for the Ovrom Park Project. With the anticipated revenue and interest, it is estimated that an additional $552,299 will available at the end of FY    2003-04.

FISCAL IMPACT

Previously, at the July 11, 2000 joint meeting, the City Council, Redevelopment Board of Directors and the YES Fund Board of Directors approved that the unappropriated YES Fund balances be transferred to the Ovrom Park Project. That total as of the     end of FY 2002-03 is $792,799. Staff recommends the budget transfer of this      amount from account 130.ND000.30004 to the Ovrom Park Project account 370.CP01A.70005.0000.13504.

The YES Fund Advisory Committee, at their January 21, 2004 meeting, recommended the remaining YES Funds at the end of FY 2003-04 be designated to the Orvom Park Project. This amount is estimated at $553,300 and staff recommends these estimated funds be appropriated through the FY 2003-04 Budget Process.

RECOMMENDATION

It is recommended that City Council approve the attached resolution to appropriate $792,799 from FY 2002-03 towards the Orvom Park Project account 370.CP01A.70005.0000.13504 and approve the remaining funds from FY 2003-04 estimated at $553,300 be designated for the Orvom Park Project and appropriated through the FY 2004-05 budget process.