03 Attachment 2 - Resolution Establishing the GANN Appropriation Limit for FY 2020-211 of 3
Resolution 2020 - November 3, 2020
RESOLUTION 2020-
RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS
ESTABLISHING THE FY 2020/21 APPROPRIATIONS LIMIT
FOR THE TOWN OF LOS GATOS
WHEREAS, Article XIIIB of the California Constitution (Limitation of Government
Appropriations) was passed by the California electorate on November 6, 1979, and became
effective on July 1, 1980; and
WHEREAS, Chapter 1205, Statute of 1980, Section 7900 of the California Government
Code formally implements methods for governmental entities to establish and define annual
appropriations limits; and
WHEREAS, the growth factors used to calculate the Annual Appropriations Limit are
County or Town population change and the increase in the California per capita income;
WHEREAS, in addition to the annual inflation and population adjustments, state law
requires the Appropriations Limit to be adjusted in the event that the financial responsibility for
providing services is transferred in whole or in part from one entity of government to another;
and
WHEREAS, the Town is reached a mutually agreed amount with the County of Santa Clara
regarding the Town’s annexation of unincorporated islands in 2019;
WHEREAS, the Town is calculating its Annual Appropriations Limit for FY 2020/21 based
on the mutually agreed amount as of this date with the County of Santa Clara; and
THEREFORE, BE IT RESOLVED: that the Annual Appropriations Limit for the Town of Los
Gatos for FY 2020/21 is $45,839,363 as reflected in Exhibit A.
ATTACHMENT 2
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Resolution 2020 - November 3, 2020
PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Los
Gatos, California, held on the 3rd day of November 2020 by the following vote:
COUNCIL MEMBERS:
AYES:
NAYS:
ABSENT:
ABSTAIN:
SIGNED:
MAYOR OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
DATE: __________________
ATTEST:
TOWN CLERK OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
DATE: __________________
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Resolution 2020 - November 3, 2020
EXHIBIT A
For Beginning County Town Per Capita Ending %
YE Population Population Income Limit
Limit Factor Factor Factor Limit Increase
2010 28,426,367 1.0156 1.0108 1.0062 29,048,811 2.19%
2011 29,048,811 1.0126 1.0101 0.9746 28,667,689 -1.31%
2012 28,667,689 1.0089 1.0096 1.0251 29,669,366 3.49%
2013 29,669,366 1.0124 1.0081 1.0377 31,169,671 5.06%
2014 31,169,671 1.0157 1.0147 1.0512 33,279,977 6.77%
2015 33,279,977 1.0150 1.0102 0.9977 33,701,485 1.27%
2016 33,701,485 1.0113 1.0020 1.0382 35,384,256 4.99%
2017 35,384,256 1.0126 1.0070 1.0537 37,754,174 6.70%
2018 37,754,174 1.0081 1.0040 1.0369 39,464,396 4.53%
2019 39,464,396 1.0099 1.0050 1.0367 41,317,775 4.70%
2020 41,317,775 1.0033 0.9998 1.0385 43,180,611 *4.51%
2021 43,180,611 *1.0037 1.0234 1.0373 45,839,363 6.16%
Town Per Capita 2019/20 2020/21
Population Income Appropriation Appropriation Appropriation
Factor Factor Factor Limit Limit
1.0234 X 1.0373 =1.061573 X 43,180,611$ =45,839,363$
2020/21 2020/21 Percentage
Tax Appropriation of
Revenues Limit Limit
30,447,571 /45,839,363$ =66%
APPROPRIATION LIMIT FACTORS
Appropriation Appropriation
June 30
FY 2020/21 Calculation
*FY 2019/20 ending and FY 2020/21 beginning Approtiation Limit includes an adjustment of $130,503 to adress the
recently annexed parcels from Santa Clara County. The Town of Los Gatos increasing its base by $130,503 while the
County of Santa Clara decreasing its base with the same amount.
Percentage of Appropriation