Santa Ana Municipal Code Art. VI Revenue and Taxation

Editor's note— Sections 600 and 601, relative to an ad valorem assessment and collection system, and to property tax limits, respectively, were repealed by Ord. No. NS-1864, adopted July 24, 1986, approved at election Nov. 4, 1986.

The City shall not incur an indebtedness evidenced by general obligation bonds which shall in the aggregate exceed ten (10) per cent of the total assessed valuation, for purposes of City taxation, of all the real and personal property within the City.

No bonded indebtedness which shall constitute a general obligation of the City may be created unless authorized by the affirmative votes of two-thirds (⅔) of the electors voting on such proposition at any election at which the question is submitted to the electors and unless in full compliance with the provisions of the Constitution of the State of California and this charter.

Bonds, which are payable solely and exclusively out of the revenues of the revenue-producing utilities owned, controlled, or operated by the City, may be issued when the City Council, by ordinance, shall have authorized a proposition therefor, only with the assent of the majority of the voters, voting upon such proposition, at an election at which such proposition shall have been duly submitted to the qualified electors of the City. Such revenue bonds shall be excluded from the debt limit hereinbefore established and shall not constitute an indebtedness of the City.

Such proposition shall specify:

(a) The property to be acquired and/or the improvements or additions to be made to the equipment for such revenue-producing utility, or utilities, and the estimate of the cost thereof,

(b) The maximum amount of bonds to be issued for such purposes,

(c) The regulations and procedures for the sale and issuance of the bonds, and

(d) The provision to be made from the revenue of the utilities for the payment of interest on, and retirement of, the bonds.

The fiscal year of the City government shall begin on the first day of July of each year and end on the thirtieth (30th) day of June the following year.

Cross reference— See also § 102.

At such time as the City Manager may prescribe, but not later than sixty (60) days prior to the beginning of each fiscal year, each head of any office, agency, or department of the City government shall submit, through the director of finance, to the City Manager on forms and in the manner prescribed by the City Manager a detailed financial plan for the proper conduct of the office, agency, or department under their control. With this financial plan shall be submitted such summaries, schedules, and supporting data as may be prescribed by the City Manager. In preparing the proposed City budget, the City Manager shall review the financial plans submitted, hold conferences thereon with the office, agency, and department heads, respectively, and revise such plans as they may deem advisable.

(Res. No. 2022-044, 8-2-22, approved at the election 11-8-22)

On or before the fifteenth (15th) day of June of each year the City Manager shall recommend and submit to the City Council a proposed budget for the next ensuing fiscal year and a proposed appropriation ordinance as prepared by them.

(Prop. of 2-4-63, approved on 4-2-63; Res. No. 63-027; Res. No. 2022-044, 8-2-22, approved at the election 11-8-22)

Upon receipt of the proposed budget from the City Manager, the City Council shall proceed to the consideration of the proposed budget and, by the affirmative vote of at least a majority of its members, may increase, decrease, or omit any item or insert new items therein. Before adopting the budget the City Council shall fix the time and place for holding a public hearing upon the proposed budget and shall cause to be published a notice thereof not less than ten (10) days prior to said hearing, by at least one insertion in the official newspaper. Copies of the proposed budget shall be available for inspection by the public in the office of the City Clerk at least ten (10) days prior to said hearing. At the time and place so advertised, or at any time and place to which such public hearing shall from time to time be adjourned, the City Council shall hold a public hearing on the proposed budget, at which interested persons desiring to be heard shall be given such opportunity.

(Prop. of 2-4-63, approved on 4-2-63; Res. No. 63-027; Res. No. 2022-044, 8-2-22, approved at the election 11-8-22)

After the conclusion of the public hearing, the City Council may further consider the proposed budget and make any revisions thereof that it may deem advisable. On or before the thirty-first (31st) day of July the City Council shall adopt the budget with revisions, if any, by the affirmative votes of at least two-thirds of its members. Upon final adoption, the budget shall be in effect for the ensuing fiscal year. Between the first (1st) day of July and any subsequent date on which the budget, is adopted the several offices, departments and divisions shall be authorized to expend, each calendar month subject to the controls established in other sections of this charter, amounts of money equal to the expenditures of each such office, department or division during the preceding June.

The budget adopted by the City Council shall provide for the support of public recreation programs at least the equivalent of six cents (6) on each one hundred dollars ($100) of the assessed value of taxable property in the City on the legal assessment date for the previous fiscal year.

A copy of the adopted budget, certified to by the City Clerk, shall be filed with the director of finance and a further copy shall be placed, and shall remain on file, in the office of the City Clerk where it shall be available for inspection. The budget so certified shall be reproduced and copies made available for the use of all officers, offices, departments, and other agencies of the City and for the use of civic organizations.

(Prop. of 2-4-63, approved on 4-2-63; Res. No. 63-027; Res. No. 2022-044, 8-2-22, approved at the election 11-8-22)

Editor's note— Section 608, pertaining to the amount of money required to be raised by property tax and the certification of same, was repealed by Ord. No. NS-1864, adopted July 24, 1986, approved at election Nov. 4, 1986.

From the effective date of the budget, the several amounts stated therein as proposed expenditures shall be and become appropriated to the several offices, agencies, and departments for the respective objects and purposes therein specified as stated in an appropriation ordinance. All appropriations shall lapse at the end of the fiscal year to the extent that they shall not have been expended or lawfully encumbered.

At any meeting after the adoption of the budget, the City Council may amend or supplement the budget by motion adopted by the affirmative votes of at least two-thirds (⅔) of the members so as to authorize the transfer of unused balances appropriated for one purpose to another purpose, or to appropriate available revenue not included in the budget; except that the City Council shall not reduce that portion of the budget providing for the support of public recreation programs below the amount specified in section 607 of this article.

(Prop. of 2-4-63, approved on 4-2-63; Res. No. 63-027)

Editor's note— Res. No. 2018-047, § 4(Exh. A), adopted July 3, 2018 and approved at the election of November 6, 2018, repealed § 425. Former § 425 pertained to Funds—General fund; stabilization fund and derived from the Charter of 1967.

Editor's note— Res. No. 2024-033, adopted June 18, 2024 and approved at the election of November 5, 2024, repealed § 611 which pertained to capital improvement funds.

The City Council may provide, by ordinance, for the establishment and maintenance of working capital funds for budgeted activities which are largely of a service nature for offices, departments, or agencies of the City. Such funds shall be operated on a revolving fund basis.

Any claim against the City shall be in writing and may be in the form of a bill, invoice, payroll, or formal demand. The director of finance, with approval of the City Manager, may prescribe the format in which claims against the City shall be presented. Each such claim shall be presented to the finance department. The director of finance shall prescribe internal controls for examination and audit of each claim. If the claim is correct in all respects, has not previously been paid nor certified for payment, is provided for by an appropriation or legally enforceable court or administrative order for the purpose or object that gave rise to it, and if sufficient funds for the payment thereof remain unencumbered in such appropriation if applicable, and if the claim is otherwise legally due and payable, the director of finance shall authorize payment from the treasury, and against the proper fund, for the payment thereof.

All claims certified for payment by the director of finance, and payments drawn by the finance director for the payment thereof, shall be transmitted by the finance director to the City Manager together with a list of such payments payable from each fund, showing for each payment, the number, date, and amount of the payment and the name of the payee. The City Manager may approve or disallow any of the claims so certified for payment. Any person dissatisfied with the refusal of the director of finance and/or the City Manager to approve any claim, in whole or in part, may present such claim to the City Council. The City Council, after examination into the matter, may approve or disapprove the claim in whole or in part, and, if properly payable under an existing appropriation, may order the director of finance to make payment of the claim or portion thereof. For any such claim for which no provision, by way of appropriation, exists, but which is approved for payment by the City Council, appropriation by the City Council shall be made therefor before the director of finance is ordered to make payment thereof.

Payment due on the City treasury which are not paid for lack of funds shall be registered. All registered payments shall be paid in the order of their registration when funds therefor are available and shall bear interest from date of registration at such rate as shall be fixed by the City Council by resolution.

(Res. No. 2022-044, 8-2-22, approved at the election 11-8-22)

Except in those cases where a shorter or longer time is otherwise provided by law, all claims for money or damages against the City must be presented to the director of finance within ninety (90) days after the occurrence, event, or transaction from which the damages allegedly arose, and shall set forth in detail the name and address of the claimant, the time, date, place, and circumstances of the occurrence, and the extent of the injuries or damages received. All other claims or demands shall be presented to the director of finance within ninety (90) days after the last item of the account or claim accrued. In all cases such claims shall be approved or rejected in writing and the date thereof given. Failure to act upon any claim or demand within sixty (60) days from the day the same is filed with the director of finance shall be deemed a rejection thereof.

No suit shall be brought on any claim for money or damages against the City, or any officer or board thereof, until a demand for the same has been presented as herein provided and rejected in whole or in part.

(Ord. No. NS-2074, § 4, 8-6-90, approved at election 11-6-90)

For the purpose of exercising continuous budgeting and for exercising budgetary control the City Council may establish by ordinance, an allotment system which shall entail the designation of how much of the budget appropriations may be spent during fixed periods of the year by the various offices, agencies, and departments of the City.

(Prop. of 2-4-63, approved on 4-2-63; Res. No. 63-027)