PRESENTER: Presenter
Karrie Cook, Budget Manager
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SUBJECT: Title
Approval of FY 2023 budget amendments for the General Fund, Airport Fund, Golf Fund, Federal Court Awards, Court Security, Special Revenue Fund, Development Services, and the Fleet Fund.
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DEPARTMENT: Finance
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COUNCIL DISTRICTS IMPACTED: N/A
BACKGROUND INFORMATION:
General Fund Amendment -Per the City’s financial policy, if an overall department budget needs to be increased or decreased, a budget amendment is required via City Council approval. Due to higher than anticipated employee expenditures, end-of-year accruals, increased service and equipment costs, and unanticipated operating expenditures, budget amendments are required in the City Council, City Secretary, Police, City Attorney, Human Resources, and Communication departments of the General Fund Budget. Staff recommends utilizing the non-Departmental operating and capital allocations as well as savings in the Parks and Recreation employee allocation to support this amendment, so there will be no direct financial impact to the General Fund. As a whole, the FY 2023 actual expenditures are still expected to come in below the FY 2023 estimates. The following General Fund budget amendments are recommended for City Council consideration.
Airport Fund Amendment - A budget amendment to supplement the operating and capital expenditure categories is required due to increased fuel for resale and machinery parts costs. There is offsetting revenue for the operational expenses related to the purchase of fuel sales. The Airport Fund has sufficient funds to support the amendments as described above.
Golf Fund Amendment - A budget amendment to supplement employee, operating, and capital expenditure categories is required due to higher than anticipated year-end accruals, increased merchandise costs, and the purchase of capital assets. There is offsetting revenue for the operational expenses related to the purchase of merchandise for resale. The Golf Course has sufficient funds to support the amendments as described above.
Federal Court Awards Fund Amendment - A budget amendment to supplement the operating expenditure category is required due to the purchase of badge holders. The Federal Court Awards Fund has sufficient funds to support the amendments as described above.
Court Security Fund Amendment - A budget amendment to supplement the employee and operating expenditure categories is required due to higher than anticipated employee and operating expenditures. There is offsetting revenue related to Court Costs to supplement this overage. The Court Security Fund has sufficient funds to support the amendments as described above.
Special Revenue Fund Amendment - A budget amendment to supplement employee, operating, and capital expenditure categories is required due to an increase in special revenue project activity. There is offsetting revenue consisting of State Grant Funds, Property Sales Revenue, Donations, and Proceeds from Insurance to supplement the expenditure overage. The Special Revenue Fund has sufficient funds to support the amendments as described above.
Development Services Fund Amendment - A budget amendment to supplement the operating expenditure category is required due to increased permit and plan review. There is offsetting revenue in Development Fees, Engineering Plan Review Fees, and Engineering Inspection Fees to supplement the expenditure overage. The Development Services Fund has sufficient funds to support the amendments as described above.
Fleet Fund Amendment - A budget amendment to supplement the employee and operating expenditure categories is required due to higher than anticipated employee and operating costs. The Fleet fund expenditures fluctuate depending on Citywide usage of the Fleet services. There will be an adjustment in the Fleet revenue allocation to offset the expenditure overage.
ISSUE:
N/A
FISCAL IMPACT:
The General Fund amendment does not have a fiscal impact and will not increase expenditures within the General Fund, therefore sufficient funds are available in the General Fund to support the amendment. The Golf Fund, Airport Fund, Special Revenue Fund, Development Services Fund, Court Security Fund and Fleet Fund will have offsetting revenue and sufficient funds to cover the amendments mentioned above. The Federal Court Awards Fund has sufficient fund balance to cover the amendments.
Recommendation
RECOMMENDATION:
Staff recommends approval of all budget amendments for FY 2023.