HomeMy WebLinkAboutItem 11 Supplemental Budget Resolution AGENDA ITEM SUMMARY Meeting Date: 3/5/2018
Meeting Type: Regular Meeting
Staff Contact/Dept.: Bob Duey/Finance Staff Phone No: 541.726.3740
Estimated Time: 10 Minutes
S P R I N G F I E L D C I T Y C O U N C I L Council Goals: Provide Financially Responsible and
Innovative Government Services ITEM TITLE:
SUPPLEMENTAL BUDGET RESOLUTION
ACTION REQUESTED:
Conduct a public hearing. Adopt/not adopt the following resolutions:
A RESOLUTION ADJUSTING RESOURCES AND REQUIREMENTS IN THE FOLLOWING FUNDS: GENERAL, STREET, SPECIAL REVENUE, BANCROFT
REDEMPTION, DEVELOPMENT PROJECTS, REGIONAL WASTEWATER CAPITAL, SANITARY SEWER OPERATIONS, STORM DRAINAGE OPERATIONS, AND
VEHICLE & EQUIPMENT FUNDS.
ISSUE STATEMENT:
At various times during the fiscal year, the Council is requested to adjust the annual budget to reflect needed changes in planned activities, to recognize new revenues, or to make other
required changes. These adjustments to resources and requirements change the current budget and are processed through supplemental budget requests scheduled by the Finance
Department on an annual basis.
This is the second of three scheduled FY18 supplemental budget requests to come before Council. The supplemental budget being presented includes adjusting resources and
requirements in General, Street, Special Revenue, Bancroft Redemption, Development Projects, Regional Wastewater Capital, Sanitary Sewer Operations, Storm Drainage
Operations, and Vehicle & Equipment Funds.
The City Council is asked to approve the attached Supplemental Budget Resolution.
ATTACHMENTS:
Attachment 1. Council Briefing Memorandum
Attachment 2. Supplemental Budget Resolution
DISCUSSION/ FINANCIAL IMPACT:
The overall financial impact of the Supplemental Budget Resolution is to increase Operating Expenditures of $225,078, inter-fund transfers $55,823 and Capital Projects $4,538,250. These are offset by new revenue $192,771 and the use of reserves ($4,570,557).
Attachment 1, Page 1 of 5
M E M O R A N D U M City of Springfield
Date: 2/20/2018
To: Gino Grimaldi COUNCIL
From: Bob Duey BRIEFING
Subject: SUPPLEMENTAL BUDGET REQUEST MEMORANDUM
ISSUE: At various times during the fiscal year, the Council is requested to make adjustments to the annual
budget to reflect needed changes in planned activities, to recognize new revenues, or to make
other required adjustments. These adjustments to resources and requirements change the current budget and are processed through supplemental budget requests scheduled by the Finance
Department on an annual basis.
This is the second of three scheduled FY18 supplemental budget request to come before Council.
The supplemental budget being presented includes adjusting resources and requirements in the :
General, Street, Special Revenue, Bancroft Redemption, Development Projects, Regional Wastewater Capital, Sanitary Sewer Operations, Storm Drainage Operations, and Vehicle & Equipment Funds.
The City Council is asked conduct a public hearing to adopted the attached Supplemental Budget
Resolution.
COUNCIL GOALS/
MANDATE:
Financially Responsible and Stable Government Services
BACKGROUND:
Supplemental budgets may be used to meet unexpected needs or to spend revenues not anticipated at the time the original budget was adopted. In accordance with Oregon budget law, notification of this
supplemental budget and a hearing is made no later than five calendar days before the public meeting. A public hearing is only required when a supplemental budget request changes total appropriations within a fund by 10% or greater. Notification of this public hearing was published in the Register
Guard on Friday, February 23rd, 2018. The attached information identifies the individual items that
are included in the March 5th, 2018 Supplemental Budget request.
Changes to the budget included in this request fall into three general categories: reallocation of existing resources, re-appropriations or carryovers, and new appropriation requests. Reallocations move existing approved budget authority between funds or between departments. These adjustments
can include reallocating reserves within a fund and beginning cash adjustments.
Re-appropriations or carryovers represent money that was committed by contract in the previous year
but the contracted work was not completed within the fiscal year. The prior year’s remaining budget amount needs to be appropriated into this year’s budget to allow final payments to be made in the
current year. Re-appropriations also may include money for capital projects that were planned but
not completed in the prior year. The projects are still scheduled and funds are being carried forward to the current year’s budget.
New appropriation requests include both expenditure items that are funded by new revenue, such as a new grant, and expenditure items that are being requested to be funded out of reserves. Those
requests funded from reserves include items implementing Council direction, emerging issues
identified by the City Executive Team that need to be resolved immediately or to meet legal requirements.
Attachment 1, Page 2 of 5
SUPPLEMENTAL BUDGET REQUESTS BY FUNDS
General Fund – The proceeding table shows the impact of all General Fund requests on the FY18
amended budget.
Resources Requirements
FY18 Amended Budget 45,357,630$ FY18 Amended Budget 45,357,630$
ROW Fees 9,173$ Operating Expenses:
District 19 100,000 City Manager's Office 10,000$
Transfer Fund 305 4,000 City Attorney's Office 19,000
Human Resources 100,000
Total Operating Expense 129,000$
Non-Departmental Expenses:
Reserves (41,650)$
Interfund Transfers 25,823
Total Non-Deptmental Expense (15,827)$
Total Resources Adjustments 45,470,803$ Total Requirements Adjustments 45,470,803$
1. Request aligns the budgeted ROW fees revenue $9,173 and Street fund transfers to actuals. Also adjust prior year’s transfer $3,400.
2. The Human Resources department has received payment from the Springfield School district for a share of remodeling cost for the Wellness Center. The revenue is being applied to a software upgrade to the City’s Oracle Human Resources Management System that is due to
be completed in the next few months. This upgrade will be contracted out to a private vendor which will allow the process to be expedited; $100,000.
3. To bring the City Attorney function in-house the City is remodeling and furnishing an area of
City Hall to accommodate the additional 3.0 FTE. This request also recognizes a transfer from the Bancroft Redemption Fund to provide resources for supplies; $4,000 4. Per Council direction from the October 9, 2017 work session General Fund reserves are
being appropriated for the Work Ready initiative; $10,000. This initiative supports career ready programs developed in conjunction with the Springfield public schools.
5. General Fund reserves are being requested for the pre-purchase of office equipment
(computers, copier, scanner and telephones) so that on July 1 when the City Attorney Office’s is brought in-house the office for the three new employees will be fully equipped
and ready for occupancy; $15,000.
6. Request is for the use of General Fund reserves to continue the front office security upgrades by construction improvements to the City Manager’s Office. These funds are to be
transferred to the Development Projects Fund 420 for this project; $13,250.
Street Fund – The proceeding table shows the impact of all Street Fund requests on the FY18
amended budget.
Resources Requirements
FY18 Amended Budget 6,377,950$ FY18 Amended Budget 6,377,950$
Transfer Fund 100 12,573$ Non-Departmental Expenses:
Reserves 12,573$
Total Resources Adjustments 6,390,523$ Total Requirements Adjustments 6,390,523$ 1. Request recognizes the ROW fee transfer from the General Fund and places them in reserves;
$12,573.
Special Revenue Fund – The proceeding table shows the impact of all Special Revenue Funds
requests on the FY18 amended budget.
Attachment 1, Page 3 of 5
Resources Requirements
FY18 Amended Budget 934,314$ FY18 Amended Budget 934,314$
BJA Vest Grant 10,535$ Operating Expenses:
DUII Overtime Grant 6,303 Police 36,838$
ODOT Grants 9,000 Non-Departmental Expenses:
Reserves (11,000)$
Total Resources Adjustments 960,152$ Total Requirements Adjustments 960,152$
1. Recognizes funds awarded to the Police Department as part of the 2017 Bureau of Justice Assistance Bulletproof Vest Partnership award. The Springfield Police Department was
awarded up to $10,535, to be used to reimburse up to 50 percent of the cost for qualifying
uniquely fitted vests ordered between April 1, 2017 through August 31, 2019. 2. Request will allow for use of funds awarded to the Police Department as part of the 2017-
2018 DUII Overtime Enforcement Grant, ODOT Speed Enforcement Grant, and ODOT
Safety Belt Overtime Enforcement Grant. SPD was awarded funds for officer overtime dedicate to 52 hours of high visibility enforcement on impaired drivers, 42 hours of speed
enforcement, and 33 hours of safety belt enforcement; $15,303.
3. Allocates funds from Federal Forfeiture Reserves to purchase a SWAT rifle and a long range communication device. In FY17 supplemental budget 1, forfeiture funds for two SWAT
rifles, however only one rifle was purchased in FY17. The police department would like to
proceed with purchasing the second SWAT rifle in FY18. The long range communication device would be used by patrol, detectives and SWAT personnel in high priority events to
communicate with suspects and citizens up to 600 meters from the device; $11,000. Bancroft Redemption Fund – The proceeding table shows the impact of all the Bancroft Fund
requests on the FY18 amended budget.
Resources Requirements
FY18 Amended Budget 34,994$ FY18 Amended Budget 34,994$
Non-Departmental Expenses:
Reserves (30,000)$
Interfund Transfers 30,000
Total Non-Deptmental Expense -$
Total Resources Adjustments 34,994$ Total Requirements Adjustments 34,994$
1. To bring the City Attorney function in-house the City is remodeling and furnishing an area of
City Hall to accommodate the additional 3.0 FTE. This request recognizes the transfers from the Bancroft Redemption Fund to the General Fund ( $4,000) and Development Project Fund
($26,000) funds by the use of reserves.
Development Projects Fund – The proceeding table shows the impact of all the Development Fund
requests on the FY18 amended budget.
Resources Requirements
FY18 Amended Budget 4,391,654$ FY18 Amended Budget 4,391,654$
Transfer Fund 100 13,250$ Capital Projects 39,250$
Transfer Fund 305 26,000
Total Resources Adjustments 4,430,904$ Total Requirements Adjustments 4,430,904$
1. Request recognizes the transfer from the General Fund for the front office security upgrades
to the City Manager’s Office; $13,250.
2. Request also recognizes the transfer from the Bancroft Redemption fund for the remodeling of City Hall to accommodate the City Attorney’s office; $26,000.
Attachment 1, Page 4 of 5
Regional Wastewater Capital Fund – The proceeding table shows the impact of all the Regional
Wastewater Capital Fund requests on the FY18 amended budget.
Resources Requirements
FY18 Amended Budget 84,017,548$ FY18 Amended Budget 84,017,548$
Non-Departmental Expenses:
Reserves (4,370,000)$
Capital Projects 4,370,000$
Total Resources Adjustments 84,017,548$ Total Requirements Adjustments 84,017,548$
1. To request new capital project money for Biogas/Renewable Natural Gas Project as
discussed in the December MWMC Commission meeting; $470,000. Additionally, to pick up the carryover of the Operations and Maintenance building improvements ($3.9M) that was
approved in supplemental budget #3 in FY2016-17 after the budget for FY2017-18 was
approved.
Sanitary Sewer Operations Fund – The proceeding table shows the impact of all Sanitary Sewer Fund requests on the FY18 amended budget.
Resources Requirements
FY18 Amended Budget 28,666,177$ FY18 Amended Budget 28,666,177$
Operating Expenses:
Development & Public Works 2,200$
Non-Departmental Expenses:
Reserves (131,200)$
Capital Projects 129,000$
Total Resources Adjustments 28,666,177$ Total Requirements Adjustments 28,666,177$
1. To adjust the ROW fee and transfers to the General Fund. These adjustments put the fees in line with the budgeted revenues and the transfers equal to the fees; $2,200.
2. This supplemental budget re-allocates some of the Wastewater Capital funds budgeted for Sanitary Sewer Rehab C (P21132), as well as allocates additional wastewater capital reserves
to the project $129k. This recognizes the need for less funds dedicated to internal engineering
services and project administration, and additional funds for construction services; total capital project adjustment $179,000.
3. Request moves funding within the Mill race Stormwater Facility (P211052) budget to cover
unplanned legal expenditures. Funding within the project is sufficient to meet these needs, thus the reduction in funding for administrative expenses; $12,000.
Storm Drainage Operations Fund – The proceeding table shows the impact of all Storm Drainage Fund requests on the FY18 amended budget.
Resources Requirements
FY18 Amended Budget 24,271,292$ FY18 Amended Budget 24,271,292$
Operating Expenses:
Development & Public Works 973
Non-Departmental Expenses:
Reserves (973)$
Capital Projects -$
Total Resources Adjustments 24,271,292$ Total Requirements Adjustments 24,271,292$
1. To adjust the ROW fee and transfers to the General Fund. These adjustments put the fees in
line with the budgeted revenues and the transfers equal to the fees; $973. 2. This supplemental budget reallocates funding within Stormwater Capital Program from
Attachment 1, Page 5 of 5
annually budgeted Stormwater Repair funds (P61002) to L Street Curb and Gutter
Construction (P21139). These funds were used as part of a DPW Operations led project that
repaired failed curb and gutter on L Street; $20,000
Vehicle & Equipment Fund – The proceeding table shows the impact of all Vehicle & Equipment
Fund requests on the FY18 amended budget.
Resources Requirements
FY18 Amended Budget 10,152,407$ FY18 Amended Budget 10,152,407$
Equipment Sales 1,937$ Operating Expenses:
Development & Public Works 53,067$
Human Resources 3,000
Total Operating Expense 56,067$
Non-Departmental Expenses:
Reserves (54,130)$
Total Resources Adjustments 10,154,344$ Total Requirements Adjustments 10,154,344$
1. Inspector vehicle replacements have been deferred in recent years, and several vehicles need
replacement. Because of the extended schedule from ordering vehicles to delivery, a building inspector vehicle and the LDAP vehicle will be replaced in FY18. Additional replacements will be budgeted for future years. These purchases are made via the State of Oregon contract
system; $51,130 with the use of reserves 2. In the fall 2017 obsolete vehicle maintenance equipment was identified and sold in the Lane
County auction. Request recognizes proceeds from that sale and allocates them equipment
replacement; $1,937. 3. Human Resources is requesting the replacement of two department computers from reserves;
$3,000.
RECOMMENDED ACTION:
Hold a public hearing and adopt/not adopt the following resolutions:
A RESOLUTION ADJUSTING RESOURCES AND REQUIREMENTS IN THE FOLLOWING FUNDS: General, Street, Special Revenue, Bancroft Redemption, Development Projects, Regional
Wastewater Capital, Sanitary Sewer Operations, Storm Drainage Operations, and Vehicle & Equipment Funds.
Attachment 2 Page 1 of 3
Resources Requirements
FY18 Amended Budget 45,357,630$ FY18 Amended Budget 45,357,630$
ROW Fees 9,173$ Operating Expenses:
District 19 100,000 City Manager's Office 10,000$
Transfer Fund 305 4,000 City Attorney's Office 19,000
Human Resources 100,000
Total Operating Expense 129,000$
Non-Departmental Expenses:
Reserves (41,650)$
Interfund Transfers 25,823
Total Non-Departmental Expense (15,827)$
Total Resources Adjustments 45,470,803$ Total Requirements Adjustments 45,470,803$
General, Street, Special Revenue, Bancroft Redemption, Development Projects, Regional Wastewater Capital,
Sanitary Sewer Operations, Storm Drainage Operations, and Vehicle & Equipment Funds.
WHEREAS, the 2017-2018 fiscal year appropriations for the City of Springfield were made by Resolution No.
2017-22 dated June 19, 2017 and,
WHEREAS, at various times during the fiscal year the Common Council is requested to make adjustments to the
fiscal year budget to reflect needed changes in planned activities, to recognize new revenues, or to make other required
adjustments; and,
WHEREAS, the Common Council handles such requests for adjustment to the budget through Supplemental Budget
Resolutions presented at public hearings at which the public may comment on such requests; and,
WHEREAS, notice of a public hearing, including information regarding such revenues and expenditures was
published in a newspaper of general circulation not less than 5 days prior to the public meeting; and,
WHEREAS, this Supplemental Budget #2 as amended by Supplemental Budget #1 Resolution #2017-26, for the 2017-
2018 fiscal year, amends Resolution #2017-22; and
CITY OF SPRINGFIELD
FY 2017-2018
SUPPLEMENTAL BUDGET No. 2
RESOLUTION NO. xxx
A RESOLUTION ADJUSTING RESOURCES AND REQUIREMENTS IN THE FOLLOWING FUNDS:
NOW, THEREFORE, BE IT RESOLVED, by the Common Council of the City of Springfield, a Municipal
Corporation of the State of Oregon, as follows:
Section 1. Resolution 2017-26 is hereby adjusted as follows:
General - Fund 100
Comments: Request aligns the budgeted ROW fees revenue and Street fund transfers to actuals. Also adjust prior
year’s transfer $3,400. Recognizes payment received from the Springfield School district and appropriates those funds
for system upgrade. This request recognizes a transfer from the Bancroft Redemption Fund to provide resources for
City Attorney's office supplies. Per Council direction from the October 9, 2017 work session General Fund reserves are
being appropriated for the Work Ready initiative. Reserves are being requested for the pre-purchase of office
equipment for City Attorney Office’s. Request is for the use of reserves to continue the front office security upgrades
to the City Manager’s Office.
Attachment 2 Page 2 of 3
Resources Requirements
FY18 Amended Budget 6,377,950$ FY18 Amended Budget 6,377,950$
Transfer Fund 100 12,573$ Non-Departmental Expenses:
Reserves 12,573$
Total Resources Adjustments 6,390,523$ Total Requirements Adjustments 6,390,523$
Resources Requirements
FY18 Amended Budget 934,314$ FY18 Amended Budget 934,314$
BJA Vest Grant 10,535$ Operating Expenses:
DUII Overtime Grant 6,303 Police 36,838$
ODOT Grants 9,000 Non-Departmental Expenses:
Reserves (11,000)$
Total Resources Adjustments 960,152$ Total Requirements Adjustments 960,152$
Resources Requirements
FY18 Amended Budget 34,994$ FY18 Amended Budget 34,994$
Non-Departmental Expenses:
Reserves (30,000)$
Interfund Transfers 30,000
Total Non-Departmental Expense -$
Total Resources Adjustments 34,994$ Total Requirements Adjustments 34,994$
Resources Requirements
FY18 Amended Budget 4,391,654$ FY18 Amended Budget 4,391,654$
Transfer Fund 100 13,250$ Capital Projects 39,250$
Transfer Fund 305 26,000
Total Resources Adjustments 4,430,904$ Total Requirements Adjustments 4,430,904$
Resources Requirements
FY18 Amended Budget 84,017,548$ FY18 Amended Budget 84,017,548$
Non-Departmental Expenses:
Reserves (4,370,000)$
Capital Projects 4,370,000$
Total Resources Adjustments 84,017,548$ Total Requirements Adjustments 84,017,548$
Comments: To request new capital project money for Biogas/Renewable Natural Gas Project and to pick up the
carryover of the Operations and Maintenance building improvements (3.9M) that was approved in supplemental budget
#3 in FY2016-17 after the budget for FY2017-18 was approved.
Bancroft Redemption - Fund 305
Comments: Request transfers funds to the General and Development Project Funds.
Regional Wastewater Capital - Fund 433
Special Revenue - Fund 204
Comments: Recognizes Police grants received and appropriates those funds for overtime and safety equipment.
Appropriates Federal Forfeiture reserves for the purchase of SWAT rifle and long range communication device.
Comments: Request recognizes the ROW fee transfer from the General Fund and places them in reserves.
Development Projects - Fund 420
Comments: Recognizes the transfers from the General and Bancroft Redemption Funds and appropriates theses funds
for City Manager's Office security upgrades and remodel for City Attorney's office at City hall.
Street - Fund 201
Attachment 2 Page 3 of 3
Resources Requirements
FY18 Amended Budget 28,666,177$ FY18 Amended Budget 28,666,177$
Operating Expenses:
Development & Public Works 2,200$
Non-Departmental Expenses:
Reserves (131,200)$
Capital Projects 129,000$
Total Resources Adjustments 28,666,177$ Total Requirements Adjustments 28,666,177$
Resources Requirements
FY18 Amended Budget 24,271,292$ FY18 Amended Budget 24,271,292$
Operating Expenses:
Development & Public Works 973
Non-Departmental Expenses:
Reserves (973)$
Capital Projects -$
Total Resources Adjustments 24,271,292$ Total Requirements Adjustments 24,271,292$
Resources Requirements
FY18 Amended Budget 10,152,407$ FY18 Amended Budget 10,152,407$
Equipment Sales 1,937$ Operating Expenses:
Development & Public Works 53,067$
Human Resources 3,000
Total Operating Expense 56,067$
Non-Departmental Expenses:
Reserves (54,130)$
Total Resources Adjustments 10,154,344$ Total Requirements Adjustments 10,154,344$
Total Resources Adjustments 192,771$ Total Requirements Adjustments 192,771$
Attest:
Mayor Christine L LundbergCity Recorder Amy Sowa
Vehicle & Equipment - Fund 713
Comments: Request appropriates funding for the replacement of two HR computers, an DPW inspector's vehicle and
LDAP vehicle from reserves.
Local Wastewater Operations - Fund 611
Comments: To adjust the ROW fee and transfers to the General Fund. Re-allocates some of the Wastewater Capital
funds budgeted for Sanitary Sewer Rehab C (P21132), as well as allocates additional wastewater capital reserves to
the project. Request moves funding within the Mill race Stormwater Facility (P211052) budget to cover unplanned
legal expenditures.
Comments: To adjust the ROW fee and transfers to the General Fund. Reallocates capital funding from annually
budgeted Stormwater Repair funds (P61002) to L Street Curb and Gutter Construction (P21139).
Storm Drainage Operations - Fund 617
Section 2. This resolution shall take effect upon adoption by the Council and approval by the Mayor.
Adopted by the Common Council of the City of Springfield this 20 day of February, 2018, by a vote of ______for and
______against.