Staff recommends City Council hold a public hearing and adopt the FY2025 budget amendments.

On 6/11/2025, the City Council Budget and Finance committee met and discussed the following budget amendments. The committee voted unanimously to approve the following amendments to the FY2025 budget.
 

			Expenditure
Fund 1990 - South TIF
A budget amendment is required to cover the design and construction contracts approved for the Amend Recreation Center in FY25. This will reflect the reduction in Capital Outlay budgeted in the FY26 Proposed Budget.
South TIF Fund			20,000,000	Capital Outlay
Fund 6050 - Central Services
A budget amendment is required to cover the Print Management System implementation - new printers purchased for the new City Hall and restructured print system. This will be covered by fund balance and existing charges.
Central Services			163,724	Capital Outlay
Fund 6520 - Facilities at BOC
A budget amendment is required to cover the removal and replacement of 14 rooftop units at the BOC. The project was most cost effective to bid replacement of all together, but will be spent over a longer period. This will be paid by fund balance from existing charges.
BOC Facilities			443,681	Capital Outlay
Multiple Funds - New City Hall Furniture
A budget amendment is required to cover the furniture charges in new City Hall for multiple departments. The furniture was not budgeted in FY25 due to the unknown departmental allocations. This will be paid from fund balances.
Building (2090)			26,342	Operations & Maintenance
City Council (0100 - General)			10,075	Operations & Maintenance
Fund 2600 - Library
A budget amendment is required to cover the increased costs for contract labor to cover two staff members out for medical issues and contract security from changing vendors and their rates. The security cameras installation will be more than budgeted. These will be paid from the fund balance.
Library			147,701	Operations & Maintenance
Library			158,000	Capital Outlay
Fund 7030 and 7010 - Cemetery and Mausoleum Maintenance
A budget amendment is required to transfer the full amount of interest received into fund 8730. The transfer of all interest from the permanent fund is required to cover cemetery maintenance. The original transfer budget did not include enough to cover the actual interest received. This will be paid from additional revenues that exceeded the original budget.
Cemetery Maintenance (7010)			8,000	Transfer out
Mausoleum Maintenance (7030)			800	Transfer out
Fund 6300 - Property and Liability Insurance
A budget amendment is required due to an increase in the property insurance premiums and more property compensation payouts than expected. This will come from fund balance.
Property and Liability Insurance			100,000	Operations & Maintenance
Fund 2110 - Street and Traffic
A budget amendment is required due to an increase in the COLA and rates for specific positions per the Teamster Contract negotiations, in particular, the Equipment Operators. The heavy snowfall over fiscal year 25 winter also increased snow management activities and asphalt restoration. This will come from the fund balance and existing street & traffic charges.
Street and Traffic			205,000	Personnel Services
Street and Traffic			260,000	Operations & Maintenance
Fund 2090 - Building
A budget amendment is required to cover the purchase of three vehicles for two new positions added in FY24 and one vehicle replacement due to an accident. There will also need to be a budget amendment to cover the additional cost of the CityView software. These will come from the fund balance and existing building division charges.
Building			226,870	Capital Outlay
Fund 0100- General Fund - Mayor & City Council
A budget amendment is required for a significant increase in the membership fees for the Montana League of Cities and Towns. This will come from the fund balance.
Mayor & City Council			35,000	Operations & Maintenance

City Council may:

• Approve; or,
• Not Approve. If not approved, some funds may be over budget in FY25, and the City would not be compliant with State law (Title 7, Chapter 6, Part 40)

The impacts of these expenses will vary by fund. However, there is sufficient revenue and cash on hand to cover these expenses. In the case of the South TIF fund, this expenditure will be covered by the issuance of TIF Revenue Bonds.

Fund	Budget Amount
Building	253,212
Cemetery Maintenance	8,000
Central Services	163,724
Facilities	443,681
General	45,075
Library	305,701
Mausoleum Maintenance	800
Property & Liability	100,000
South TIF	20,000,000
Street & Traffic	465,000