Regular 3.
Regular City Council Meeting
- Meeting Date:
- 10/25/2010
- TITLE
- 1st Quarter FY2010/2011 & 4th Quarter FY2009/2010 Budget Amendments
- PRESENTED BY:
- Patrick M. Weber
- Department:
- City Hall Administration
Presentation:
PROBLEM/ISSUE STATEMENT
First Quarter Budget amendments for Fiscal Year 2010/2011 are requested for the following:
The General Fund-Nondepartmental and Parking Fund requests a budget amendment for City Hall and attached parking garage façade wash and related repairs totaling $16,120. This was an expenditure budgeted for FY10, but not expended or under contract until FY11. Reserves will be used to fund this expenditure.
The General Fund-Recreation Department needs budget authority for the County Community Center. The kitchen at the Center is in need of an upgrade to the hood suppression system and also to replace burners that are not working on the range. Donations will be used for these two repairs in the amount of $4,200.
The Community Development Grants Fund requests to use remaining budget authority from Fiscal Year 2010/2011 in various accounts to pay for scanning of documents for records management, grant writing related expenses and environmental review training for a total of $8,933.
The Tax Increment South Fund needs budget authority to transfer the remaining funds from construction to the Debt Service Fund.
The Parks Program Fund-Recreation needs budget authority for costs incurred related to dog races and special events/concerts. The proceeds received from these special events will be revenue in the parks program and transferred to the baseball field maintenance Fund.
The Parks and Recreation Division of the General Fund will begin to pay Street/Traffic Fund for charge for forestry services totaling $160,000 previously reported as a Nondepartmental Division transfer.
The Parks Department has received a donation from the Billings Tennis Association. The funds will be used to pay for repairs of tennis courts.
Sidewalk and Curb Debt Service that was issued in 1994 and 1995 was delinquent in collections in the amount of $183,000. No more tax collections will be received by these sidewalk districts and thus monies will need to be transferred out of the SID revolving fund. The SID revolving fund will need budget authority to transfer out $183,000 into the Sidewalk and Curb District Fund for the deficit.
General Fund-Nondepartmental is requesting budget authority to be used to pay Community Seven for live broadcasts of Council Work Sessions totaling $1,300. Broadcasts will be paid using cash reserves.
The Capital Replacement Fund will transfer amounts previously contributed by the Street/Traffic Fund to be used for equipment replacements. A budget amendment is requested to increase the previously budgeted transfer by $54,789 for a total transfer of $2,958,443.
Budget authority is requested to pay for arbitrage costs incurred. These costs will be funded by reserves.
Budget authority is requested to pay for mowing services provided to Urban Renewal Projects Fund property using reserves.
Budget authority is requested to use Community Development Grant funds to pay for the skatepark bathrooms.
The Airport desires to re-establish the budget authority to purchase a Runway Broom in the bid amount of $523,000. The Runway Broom was recommended for replacement through the ERP process and is an approved FY 2010 AIP Grant project that was not awarded until August 9, 2010. The Runway Broom is 95% reimbursed by the FAA and 5% is paid from local funds.
The Airport recently completed issuing Series 2010B Revenue Bonds to build the Car Rental Quick Turn Around (QTA) facility. The Debt Service will be paid for with a $3.00 per day Customer Facility Charge (CFC) on each car rental. The CFC fee was also recently approved by Council. The Airport desires to establish budget authority for the Series 2010B Revenue Bonds debt service payments and the related transfer from fund 406 where CFC’s are collected.
The Airport desires to establish budget authority to construct and equip the Airport Car Rental Company Quick Turn Around (QTA) Facility in the amount of $5,648,680. The QTA is an approved CIP and Budgeted FY 2010 project that was not bid prior to the end of FY 2010, and this request is being made to rebudget the project in FY 2011. The project is 100% funded by the sale of revenue bonds which will be repaid by Customer Facility Charges (CFC). The budget adjustment also establishes budget authority to transfer the debt service reserve amount to the debt service reserve fund.
The Airport desires to re-establish budget authority to contract for services to apply roof coating to Industrial Park Buildings #6 and #7 in the amount of $44,000. The roof coating project is an approved FY 2010 CIP and Budgeted project that did not get under contract prior to the end of FY 2010 and this request is being made to rebudget the project in FY 2011. The project is 100% funded by local Airport revenues.
The Airport desires to establish budget authority to contract for services to renovate an airline freight office in the terminal building baggage claim area into a fifth Car Rental Counter in the amount of $100,000. The Car Rental Company Counter project is an approved FY 2010 CIP and Budgeted project that was not contracted prior to July 1, 2010, because the Airport was unsure if a fifth counter position was needed. After five car rental concessions were approved at the September 13, 2010, Council meeting, it was determined that this budget authority was needed. Adding a fifth on-site Car Rental concession should increase Airport concession revenues by $150,000 to $200,000 per year. The project is 100% funded by local Airport revenues.
Fourth Quarter Budget amendments for Fiscal Year 2009/2010 are requested for the following:
Budget authority is requested to increase the claims expense using reserves in the City Health Benefits Fund.
The General Fund-Nondepartmental and Parking Fund requests a budget amendment for City Hall and attached parking garage façade wash and related repairs totaling $16,120. This was an expenditure budgeted for FY10, but not expended or under contract until FY11. Reserves will be used to fund this expenditure.
The General Fund-Recreation Department needs budget authority for the County Community Center. The kitchen at the Center is in need of an upgrade to the hood suppression system and also to replace burners that are not working on the range. Donations will be used for these two repairs in the amount of $4,200.
The Community Development Grants Fund requests to use remaining budget authority from Fiscal Year 2010/2011 in various accounts to pay for scanning of documents for records management, grant writing related expenses and environmental review training for a total of $8,933.
The Tax Increment South Fund needs budget authority to transfer the remaining funds from construction to the Debt Service Fund.
The Parks Program Fund-Recreation needs budget authority for costs incurred related to dog races and special events/concerts. The proceeds received from these special events will be revenue in the parks program and transferred to the baseball field maintenance Fund.
The Parks and Recreation Division of the General Fund will begin to pay Street/Traffic Fund for charge for forestry services totaling $160,000 previously reported as a Nondepartmental Division transfer.
The Parks Department has received a donation from the Billings Tennis Association. The funds will be used to pay for repairs of tennis courts.
Sidewalk and Curb Debt Service that was issued in 1994 and 1995 was delinquent in collections in the amount of $183,000. No more tax collections will be received by these sidewalk districts and thus monies will need to be transferred out of the SID revolving fund. The SID revolving fund will need budget authority to transfer out $183,000 into the Sidewalk and Curb District Fund for the deficit.
Special Improvement District Debt Service that was issued in 1994 has excess cash in the amount of $15,100. No more tax collections or payments will be made by this SID district and thus the monies will be transferred out of the Special Improvement District fund per Montana Code. The Special Improvement District Fund will need budget authority to transfer $15,100 into the SID Revolving Fund for the excess.
General Fund-Nondepartmental is requesting budget authority to be used to pay Community Seven for live broadcasts of Council Work Sessions totaling $1,300. Broadcasts will be paid using cash reserves.
The Capital Replacement Fund will transfer amounts previously contributed by the Street/Traffic Fund to be used for equipment replacements. A budget amendment is requested to increase the previously budgeted transfer by $54,789 for a total transfer of $2,958,443.
Budget authority is requested to pay for arbitrage costs incurred. These costs will be funded by reserves.
Budget authority is requested to pay for mowing services provided to Urban Renewal Projects Fund property using reserves.
Budget authority is requested to use Community Development Grant funds to pay for the skatepark bathrooms.
The Airport desires to re-establish the budget authority to purchase a Runway Broom in the bid amount of $523,000. The Runway Broom was recommended for replacement through the ERP process and is an approved FY 2010 AIP Grant project that was not awarded until August 9, 2010. The Runway Broom is 95% reimbursed by the FAA and 5% is paid from local funds.
The Airport recently completed issuing Series 2010B Revenue Bonds to build the Car Rental Quick Turn Around (QTA) facility. The Debt Service will be paid for with a $3.00 per day Customer Facility Charge (CFC) on each car rental. The CFC fee was also recently approved by Council. The Airport desires to establish budget authority for the Series 2010B Revenue Bonds debt service payments and the related transfer from fund 406 where CFC’s are collected.
The Airport desires to establish budget authority to construct and equip the Airport Car Rental Company Quick Turn Around (QTA) Facility in the amount of $5,648,680. The QTA is an approved CIP and Budgeted FY 2010 project that was not bid prior to the end of FY 2010, and this request is being made to rebudget the project in FY 2011. The project is 100% funded by the sale of revenue bonds which will be repaid by Customer Facility Charges (CFC). The budget adjustment also establishes budget authority to transfer the debt service reserve amount to the debt service reserve fund.
The Airport desires to re-establish budget authority to contract for services to apply roof coating to Industrial Park Buildings #6 and #7 in the amount of $44,000. The roof coating project is an approved FY 2010 CIP and Budgeted project that did not get under contract prior to the end of FY 2010 and this request is being made to rebudget the project in FY 2011. The project is 100% funded by local Airport revenues.
The Airport desires to establish budget authority to contract for services to renovate an airline freight office in the terminal building baggage claim area into a fifth Car Rental Counter in the amount of $100,000. The Car Rental Company Counter project is an approved FY 2010 CIP and Budgeted project that was not contracted prior to July 1, 2010, because the Airport was unsure if a fifth counter position was needed. After five car rental concessions were approved at the September 13, 2010, Council meeting, it was determined that this budget authority was needed. Adding a fifth on-site Car Rental concession should increase Airport concession revenues by $150,000 to $200,000 per year. The project is 100% funded by local Airport revenues.
Fourth Quarter Budget amendments for Fiscal Year 2009/2010 are requested for the following:
Budget authority is requested to increase the claims expense using reserves in the City Health Benefits Fund.
ALTERNATIVES ANALYZED
The Council may:
- Approve the request budget amendments; or
- Not approve the request budget amendments.
FINANCIAL IMPACT
The requested budget amendments will be funded by additional revenues or reserves.
RECOMMENDATION
Staff recommends that the City Council conduct a public hearing and approve the resolution approving and adopting the budget amendments for Fiscal Year 2010/2011 and Fiscal Year 2009/2010 per attached.