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HomeMy WebLinkAboutItem 03 SEDA Supplemental BudgetAGENDA ITEM SUMMARY Meeting Date: 10/9/2023 Meeting Type: Regular Meeting Department: Finance Staff Contact: Nathan Bell S P R I N G F I E L D ECONOMIC Staff Phone No: 541-736-1032 DEVELOPMENT AGENCY Estimated Time: 10 Minutes ITEM TITLE: FY24 SUPPLEMENTAL BUDGET 1 ACTION REQUESTED: Conduct a public hearing and adopt/not adopt the following resolutions: A RESOLUTION ADJUSTING RESOURCES AND REQUIREMENTS IN THE FOLLOWING FUNDS: SEDA GLENWOOD GENERAL FUND, SEDA DOWNTOWN GENERAL FUND. ISSUE STATEMENT: At various times during the fiscal year, the SEDA Board is asked 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. The supplemental budget being presented includes adjusting resources and requirements in both the SEDA Glenwood General Fund and SEDA Downtown General Fund. The SEDA Board is asked to approve the attached Supplemental Budget Resolution. ATTACHMENTS: 1. Supplemental Budget Resolution and Exhibit A DISCUSSION/ FINANCIAL IMPACT: This supplemental budget includes proposed changes to the budget as outlined in the commentary section of Exhibit A in the attached resolution. Glenwood General Fund Summary: This supplemental budget recognizes bond proceeds of $2,750,000, decreases capital project expense by $1,036,376, decreases beginning cash by $3,513,922, and increases reserves by $272,454. These adjustments are the result of uncertainty in the closing of property purchases spanning fiscal years and related to funds from the FY23 Glenwood borrowing. Downtown General Fund Summary: This supplemental budget decreases debt service by $2,155,000 offset by a decrease in beginning cash of $1,440,394 and an increase in reserves of $714,606. These adjustments are the result of an internal borrowing that was repaid in full in FY23 as well as debt service on a projected external borrowing that did not happen. SPRINGFIELD ECONOMIC DEVELOPMENT AGENCY RESOLUTION NO. ___________ SUPPLEMENTAL BUDGET 1 A RESOLUTION ADJUSTING RESOURCES AND REQUIREMENTS IN THE FOLLOWING FUNDS: SEDA GLENWOOD GENERAL FUND AND SEDA DOWNTOWN GENERAL FUND. WHEREAS, the Springfield Economic Development Agency Board of Directors has adopted the budget and made appropriations for Fiscal Year 2023-2024 through Resolution No. SEDA2023-04 adopted June 12, 2023; WHEREAS, ORS 294.471(1)(a) permit a supplemental budget due to An occurrence or condition that is not ascertained when preparing the original budget or a previous supplemental budget for the current year or current budget period and that requires a change in financial planning; WHEREAS, the Springfield Economic Development Agency Board is requested to make adjustments to the Fiscal Year 2023-2024 budget as described in Exhibit A, which is attached and incorporated by reference; WHEREAS, this supplemental budget is being presented for consideration at a regular meeting of the Springfield Economic Development Agency Board; and WHEREAS, notice of a supplemental budget, 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, NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF THE SPRINGFIELD ECONOMIC DEVELOPMENT AGENCY, An Urban Renewal Agency of the State of Oregon, as follows: Section 1: The Fiscal Year 2023-2024 budget and appropriations, as adopted by Resolution No. SEDA2023-04 are hereby adjusted as provided in Exhibit A. Section 2: This Resolution will take effect upon adoption by the Board. ADOPTED by the Board of Directors of the Springfield Economic Development Agency this ___ day of _________, ____, by a vote of _____ for and ____ against. _______________________ Joe Pishioneri, Board Chair Springfield Economic Development Agency ATTEST: __________________________ Victoria Doyle, Board Secretary Springfield Economic Development Agency FY24 Adopted Budget Supplemental Budget #1 FY23 Revised Budget Operating Material and Services 296,764$ -$ 296,764$ Capital Projects 3,194,000 (1,036,376) 2,157,624 (1) Non-Departmental Debt Service 1,244,640 - 1,244,640 Reserves 567,939 272,454 840,393 (1) Total Non-Departmental 1,812,579 272,454 2,085,033 Total SEDA Glenwood General Fund 5,303,343$ (763,922)$ 4,539,421$ FY24 Adopted Budget Supplemental Budget #1 FY23 Revised Budget Operating Materials and Services 439,992$ -$ 439,992$ Capital Projects 550,000 - 550,000 Non-Departmental Debt Service (Interfund)2,155,000 (2,155,000) - (1) Reserves 873,129 714,606 1,587,735 (1) Total Non-Departmental 3,028,129 (1,440,394) 1,587,735 Total SEDA Downtown General Fund 4,018,121$ (1,440,394)$ 2,577,727$ SEDA Glenwood General Fund - 229 SEDA Downtown General Fund - 230 Exhibit A FY 2023-2024 Supplemental Budget No.1 Glenwood General Fund Commentary: 1.) Reduce City Manager's Office Capital Project expense by $1,036,376 and increase reserves by $272,454 offset bya decrease in beginning cash of $3,513,922 and an increase in bond revenue $2,750,000. These adjustments are the result of uncertainty in the closing of property purchases spanning fiscal years and related to funds from the FY23 Glenwood borrowing. Exhibit A Page 1 of 3 FY24 Adopted Budget Supplemental Budget #1 FY23 Revised Budget Downtown General Fund Commentary: 1.) Decreases debt service by $2,155,000 offset by a decrease in beginning cash of $1,440,394 and an increase in reserves of $714,606. These adjustments are the result of an internal borrowing that was repaid in full in FY23 as well as debt service on a projected external borrowing that did not happen. Exhibit A Page 2 of 3 FY24 Adopted Budget Supplemental Budget #1 FY23 Revised Budget FY24 Adopted Budget Supplemental Budget #1 FY23 Revised Budget Capital Projects 56,191$ -$ 56,191$ Non-Departmental Reserves 2,416 - 2,416 Total SEDA Glenwood Capital Projects Fund 58,607$ -$ 58,607$ TOTAL RESOLUTION 9,380,071$ (2,204,316)$ 7,175,755$ Glenwood Capital Project Fund Commentary: - No current activity. SEDA Glenwood Capital Projects Fund - 429 Exhibit A Page 3 of 3