TO: Mayor and Members of City Council
THRU: Doug Hewett, ICMA-CM, City Manager
Jeffrey Yates, Assistant City Manager
FROM: Kimberly Leonard, NCLGBO, NCLGFO, CPA, MPA
DATE: June 26, 2021
RE:
Title
Adoption of Budget Ordinance Amendment 2023-16 for the General Fund, Central Business Tax District Fund, Emergency Telephone System Fund, and Fleet Maintenance Internal Service Fund
end
COUNCIL DISTRICT(S):
Council District(s)
All
b
Relationship To Strategic Plan:
Goal 5: Financially sound city providing exemplary city services.
Executive Summary:
Council is requested to adopt Budget Ordinance Amendment (BOA) 2023-16 to adjust the annual operating budget for the General Fund by $3,833,069, the Central Business Tax District (CBTD) Fund by $50,000, the Emergency Telephone System Fund by $200,000 and the Fleet Maintenance Internal Fund by $800,000 to ensure a sufficient budget is available to meet year-end expenditure projections developed with the FY2024 budget process, to provide for additional funding needs recently identified, and to ensure sufficient budget availability should unexpected expenditures arise before the close of the fiscal year.
Background:
The total revised General Fund Budget will be $208,156,743, which exceeds the previously developed year-end projections by $3,833,069. The additional requested appropriation of $50,000 for the CBTD Fund is to meet year-end projections of $23,482 and provide a small contingency of $26,518. This appropriation is proposed to be funded through additional property taxes and a general fund appropriation. The additional requested adjustment, for the Emergency Telephone System Funds, is proposed to be funded through an Emergency Telephone System Fund balance appropriation.
Issues/Analysis:
None.
Budget Impact:
The proposed additional expenditures for the General Fund totaling $3,833,069 as noted above would result in a projected reduction of available General Fund balance at the close of the FY 2023 to 30.2 million, or 14.3% of the budget that is proposed for adoption for FY 2024. The amount remaining above the 12% fund balance goal would be estimated at 5.0 million, and 9.2 million beyond the 10% policy minimum.
Options:
1.Adopt BOA 2023-16 to appropriate the funding needs as outlined above.
2.Do not approve BOA 2023-16 and provide further direction to the staff.
Recommended Action:
Staff recommends that Council move to adopt Budget Ordinance Amendment 2023-16 as presented.
Attachments:
Budget Ordinance Amendment 2021-13