6.3.
HRA Regular Session
- Meeting Date:
- 04/12/2011
- By:
- Heidi Nelson, Administrative Services
Title:
Review 2011 and Projected 2012 HRA Budget
Background:
As a part of the review of HRA expenditures and the review of the Development Management contract, there was a request to review the current HRA budget and the projected budget for 2012.
Staff has prepared a revised 2011 budget that reflects the following changes:
Reduction in expenses:
A portion of the Planning Manager salary was budgeted from the HRA, the elimination of this position has resulted in a savings of $19,971 for 2011.
Increase in revenues:
With the amendment to the TOTI purchase agreement, there will be a distribution of $50,000 to the HRA in earnest monies.
This will help to offset the payment of incentive advance for 2011.
Increase in expenses:
The 2011 HRA budgeted reflected a full year of the DM Contract Admin fee, but only Jan-March of Incentive advance. Thus, additional revenue will be required to offset the contract obligation to pay the incentive advance for the first year of the new contract. Closings that are anticipated in the 2nd and 3rd quarters of 2011 will offset the advance payments in 2011.
Projected Reductions for 2012 budget:
Reduce Marketing 6246 to 33,000 (2010 budget -53,000)
Reduce Legal 6304 to 25,000 (2010 budget - 30,000)
Reduce Travel 6331 to 15,000 (2010 budget - 20,000)
With the closings projected for 2011, there will most likely not be a need to budget for advance incentive for the first quarter of 2012.
Budget spreadsheets for both 2011 and 2012 are attached for HRA review.
Recommendation:
Review proposed amendments to the 2011 HRA budget and the projected 2012 budget. Action on an amended HRA budget will not take place until closer to year end 2011. The 2012 HRA budget will be developed and approved as a part of the normal annual budget process.
Funding Source:
HRA activities are funded by the HRA levy, fund balance and land sale proceeds.
Council Action:
No action required at this time. Provide feedback to HRA Executive Director regarding 2011 and 2012 budgets.
Attachments
Form Review
- Form Started By:
- hnelson
- Started On:
- 04/07/2011 11:04 AM
- Final Approval Date:
- 04/07/2011