Laserfiche WebLink
Public Works Agency <br />www.santa-ana.org/pw <br />Item # 12 <br />City of Santa Ana <br />20 Civic Center Plaza, Santa Ana, CA 92701 <br /> Staff Report <br />March 4, 2025 <br />TOPIC: Expired Street Work Permit Deposits <br />AGENDA TITLE <br />Approve the Transfer of $1,153,976 in Non-Refunded Expired Street Work Permit <br />Deposits from Deposit Fund to Street Improvement Fund <br />RECOMMENDED ACTION <br />Approve an appropriation adjustment authorizing an interfund budgetary transfer from <br />the City Services Fund to the Residential Street Improvement Fund and appropriate the <br />same amount for non-building improvements. (Requires five affirmative votes) <br />GOVERNMENT CODE §84308 APPLIES: No <br />DISCUSSION <br />In 2024, the City’s independent auditor, CliftonLarsonAllen LLP, recommended that <br />Public Works Agency (PWA) staff perform an analysis of the street work permit deposits <br />account (No. 05301001) so that the balance will reconcile to supporting documentation. <br />Staff performed a comprehensive, thorough review and it was determined that several <br />street work permit deposits dating as far back as 15 years were stale-dated, expired, <br />and non-refundable. Per language stated on the Permit, the Miscellaneous Cash <br />Transaction Receipt, Miscellaneous Fee Schedule, and City Guidelines, these deposit <br />monies at-issue went not refunded because Permittees failed to complete the project <br />within 12 months. Attempts were made by staff to reach out to Permittee before <br />expiration. However, once a permit expires, the deposit is qualified to be recognized as <br />revenue and can be transferred into a non-refundable account, for which the City could, <br />at its sole convenience, elect to use the monies for street improvements. By way of <br />contract (i.e. the Permit, the Miscellaneous Cash Transaction Receipt, Miscellaneous <br />Fee Schedule, and City Guidelines), the Permittee effectively loses ownership over the <br />deposit at the time of non-compliance. <br />Staff recommends that these funds be transferred to the Residential Street <br />Improvement Fund 058. This will allow staff to implement street improvements that will <br />benefit the public via a separate staff report being presented in tonight’s agenda; staff <br />recommends allocating these funds toward the Bristol Street Widening Project. Moving <br />forward, staff will implement a routine review and transfer process. Staff will proactively