Title
MOTION TO APPROVE THE 2021 AMENDMENT TO THE INTERLOCAL AGREEMENT FOR DISTRIBUTION OF THE ADDITIONAL TAX ON MOTOR FUEL AND THE 2021 AMENDMENT TO THE INTERLOCAL AGREEMENT FOR THE DISTRIBUTION OF THE FIFTH CENT ADDITIONAL TAX ON MOTOR FUEL FOR TRANSIT.
Summary Explanation and Background
SUMMARY EXPLANATION AND BACKGROUND:
1. Revenues from both Local Option Gas Taxes are distributed among Broward cities based on population figures published annually by the University of Florida Bureau of Economics and Business Research. Use of these revenues is restricted by law, and budgeted in the City's Road and Bridge Fund. Estimates are provided by the State in June.
2. The incorporated Broward County cities population grew by .66% by April 2020, from 1,904,340 in 2019 to 1,916,837 while the Pembroke Pines population estimate grew by .55% from 168,023 to 168,949.
3. The "Additional Local Option Gas Tax" is also known as the "Three Cent Gas Tax". The cities' share of this gas tax will remain the same as last year, 51.27%. Pembroke Pines' share will decrease from 4.524% to 4.519%. FY2019-20 receipts were $925,252. The FY2020-21 budget is $908,000.
4. The "Fifth Cent Additional Local Option Gas Tax" is also known as the "One Cent Gas Tax" and the "Transit Gas Tax". The allocation to cities remains at 26.00%. Pembroke Pines' share will decrease from 2.294% to 2.292%. FY2019-20 receipts were $156,914. The FY2020-21 budget is $154,000.
5. The City Attorney has reviewed and approved the agreements as to form.
6. Recommend Commission Approve the 2021 Amendments to the Interlocal agreements. The signed agreements are required to be returned to Broward County no later than June 1, 2021.
Financial Impact
FINANCIAL IMPACT DETAIL:
a) Initial Cost: None. The proposed agreements are consistent with prior years. The available gasoline tax dollars are distributed based on population.
b) Amount budgeted for this item in Account Numbers: Budget estimate for 2020-21 will be provided by the State in June 2021.
c) Source of funding for difference, if not fully budgeted: Not Applicable.
d) 5 year projection of the operational cost of the project: Each Interlocal Agreement impacts revenues for one year only. There are no associated operation expenses.
e) Detail of additional staff requirements: Not Applicable.