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Home My WebLink About4.06 Budget Changes 07-08<~ ~~ -~~ ~~I C;' //, /~. CITY CLERK File # ^~~^~ -^2 AGENDA STATEMENT CITY COUNCIL MEETING DATE: October 7, 2008 SUBJECT: ATTACHMENTS: RECOMMENDATION: ~. FINANCIAL STATEMENT: Final Budget Changes For Fiscal Year 2007-2008 Report Prepared By: Paul S. Rankin, Administrative Services Dir. Budget Change Forms Approve the Budget Changes See Report DESCRIPTION: Staff has reviewed the Preliminary Financial Reports and the Auditors are preparing the final Comprehensive Annual Financial Report (CAFR) information for the Fiscal Year ending June 30, 2008. It has been the City's past practice to have the City Council adopt year end adjustments prior to publishing the CAFR. The Budget Changes have been incorporated in the Preliminary June Financial Statements. City policies allow the City Manager to only make budget adjustments between line items which are within the same activity (i.e. Department), using the same funding source. The City Manager is also authorized to make limited transfers from the Contingent Reserve. The City Council must approve all other adjustments to appropriations. It is important to note that these changes will not result in General Fund expenditures being in excess of revenues. Proposed Adjustments Some of the adjustments discussed in this report were anticipated in the estimated actual information presented in the Preliminary 2008-2009 Fiscal Year Budget and Financial Plan. Most of the adjustments relate to situations where the total spending in a particular Activity (i.e. Department or Project) exceeded the total budget. If a budget imbalance occurred between line items within the same Activity a formal budget change is not required. The Staff Report will describe changes by both Fund and Program, beginning with the General Fund. GENERAL FUND (0011 General Government: Increase by $117,760 City Attorney Department (10300) requires a budget adjustment for two line items to balance the Legal Services budget. The City is billed for Legal Services based on the actual hours expended. The General Legal Services exceeded the budget, a portion of which was offset by fewer than budgeted expenditures in the employee benefit line items. An additional appropriation of $28,160 for General Legal Services is required. In addition the Reimbursable Legal Services line item requires a budget adjustment. This line item captures expenses for City COPY TO: Page 1 of ~- ITEM NO. ' G:\Audit\FY 07-08 Annual Audit\BudgetChangeFinal\ag_07_08~ear end budget_changes.doc C Attorney time expended on Development Applications and any other reimbursable legal matters. The City recovers these .costs from the applicant. During 2007/08 the level of activity was higher than originally projected. An additional appropriation of $89,600 is necessary for the Legal Services -Reimbursable line item. Public Safety: Increase by $161,523 The expenditures in Public Safety were impacted by Contract Service costs incurred in Police Services. Due to the fact that some Department activities were completed at less than the budget this substantially reduced the amount of additional appropriations required. In Fiscal Year 2007/2008 the City contribution to the City of Livermore which coordinates the Horizon's Family Counseling Services exceeded what was estimated for the Budget. An increase in General Contract Services is necessary in the amount of $18,340. In 2007/2008 the State revised the funding formula for services related to Jail Booking fees. The State budgeted funds to reimburse counties for a significant portion of the costs. No additional fees would be charged if the number of booking transactions did not exceed the City base year amount and the budget was based on no fees being paid. Based on the number of arrests and booking transactions an additional appropriation of $6,373 is required. The final adjustment for Police Services relates to Sheriff's Department Contract Personnel Services. The amount of the adjustment is $136,810. This reflects increases in staffing costs as well as overtime used to meet staffing needs. Capital Improvement Proiects: Increase by $144,789 Three capital projects funded by the General Fund incurred a budget variance. Project 96585 Annual Slurry Seal Project had a small overrun of $87 associated with benefit charges incurred for inspection staff. Project 94052 Wildflower Planting Project requires an additional $990 based on the contract expenditures. Project 95465 Shannon Center incurred costs of $143,712 more than the budget. This is related to project timing as the project will be incurring construction expenses in three different fiscal years and the amount budgeted for a specific year can be different than the work performed. SUMMARY OF GENERAL FUND CHANGES The total additional appropriation in the General Fund for all activities is $424,072. Even with these additional expenditures, the budget will be balanced and General Fund revenues will exceed General Fund expenditures. SPECIAL REVENUE AND CAPITAL PROJECT FUNDS The following sections summarize Budget Changes required in various Special Revenue and Capital Project Funds. The City financial records currently account for revenues and expenditures in over twenty different Special Revenue and Capital Project Funds. These funds are used when there are special restrictions on the expenditure of the funds and accounting for them separately provides a clear record for the auditors and for City reporting purposes. State COPS Grant Fund (202) Increase of $354 This fund is utilized for the State portion of Police related expenses associated with the Police bicycle patrol unit. The small deviation represents interest revenue generated on the grant funds before the expenditures were recorded. By expensing an additional $354 in this fund it will bring the balance to zero. An additional $354 appropriation is proposed for Police Personnel Services in this fund. County Recycling Funds (224) Increase Street Landscape Maintenance by $370 MCE Corporation selected a location to utilize recycled rubberized bark chips in a landscape area. In addition to promoting the use of recycled material this also has positive impacts on the planting area. The total cost of these materials in the Recycling Fund exceeded the budget by $370. Page 2 of '~- Community Development Block Grant Fund (CDBG) (209) Increase ADA Transition Project - (Sidewalk Curb Ramps) by $73 The CDBG funds available for this project were $73 more than the amount recognized in the adopted budget. The City used the $10,926 eligible for this project. Proposition 1(b) Transportation Improvement Fund (241) Increase Dougherty Road -Houston Place to I- 580 Project by $3,972 . The City received the first allocation of Proposition 1(b) funds in Fiscal Year 2007/2008. Pursuant to the funding plan approved by the City Council and submitted to the State, these funds were to be used for the Dougherty Road Project (#96582). This adjustment will assure that the funds including all accrued interest were allocated and expended for authorized project expenses prior to June 30, 2008. Housing In Lieu Fund (380) Increase by $109,035 The variance in this fund is due to higher than expected costs incurred in legal expenditures related to the City's affordable housing programs. In addition, this fund incurred litigation expenditures associated with the redevelopment of the Dublin Housing Authority Arroyo Vista project. All expenditures in this fund are funded solely from housing in lieu fees received from development. The adjustment consists of $90,495 for housing related litigation and $18,540 in general housing legal services. The total impact on this fund is additional appropriations of $109,035. ASSESSMENT DISTRICT FUNDS Assessment District Funds are used to finance expenditures for specific maintenance activities in a clearly defined geographic area. The parcels which benefit from these services are assessed for the cost of the maintenance. Citywide Street Lighting Fund (710) Increase by $32 The Citywide Street Light Assessment District covers most of the City west of Tassajara Road. The small variance in this fund is due to higher than expected Legal Notice costs incurred as part of the Engineering Budget (90300). Stagecoach Road Maintenance Assessment Fund (711) Increase Street Tree Maintenance by $4,058 (Decrease) Landscape Maintenance Contract Street Tree Maintenance (30400) exceeded the budgeted funds by $4,058. This is proposed to be funded from budgetary savings in the contract services for "Landscape Maintenance" (30500), resulting in no net increase in expenditures for this fund. Dougherty Road Maintenance Assessment Fund (713) Increase Street Tree Maintenance by $1,169; Street Landscape Maintenance by $598; and Engineering by $80 (Total for three departments = $1,847) Contract Street Tree Maintenance (30400) exceeded the budgeted funds by $1,169. There were not any budgetary savings in the contract services for "Landscape Maintenance" (30500). Landscape Maintenance required an additional appropriation of $598 primarily due to larger than expected charges for water service. A small variance of $80 in the Engineering Department Budget (90300) is due to higher than expected Legal Notice costs. Santa Rita Maintenance Assessment Fund (716) Increase Street Tree Maintenance by $1,220 (Decrease) Landscape Maintenance And Increase Engineering Department By $152. Contract Street Tree Maintenance (30400) exceeded the budgeted funds by $1,220. This is proposed to be funded from budgetary savings in the contract services for "Landscape Maintenance" (30500). A small variance of $152 in the Engineering Department Budget (90300) is due to higher than expected Legal Notice costs. Page 3 of East Dublin Street Lighting Fund (717) Increase by $111 The Citywide Street Light Assessment District covers most of the City east of Tassajara Road as well as a small subdivision in the western hills. The small variance in this fund is due to higher than expected Legal Notice costs incurred as part of the Engineering Budget (90300). RECOMMENDATION Attached are Budget Change forms which will allow for amendments to the budget consistent with this report. Staff recommends that the City Council receive this report and authorize the Mayor to execute the attached budget changes. This information will be reflected in the Final Comprehensive Annual Financial Report, which is anticipated to be presented to the City Council later this year. Page 4 of ~~P 3 ~r CITY OF DUBLIN BUDGET CHANGE FORM FISCAL YEAR 2007/2008 CHANGE FORM #: New Appropriations (City Council Approval Required): Budget Transfers: x From Unappropriated Reserves Various Funds From Budgeted Contingent Reserve (1080-799.000) From New Revenues Within Same Department Activity x Between Departrnents (City Council Approval Required) Other DECREASE'BUDGETACCOUl1T AtilO1 VT 1NCEiEASE`BLrUCF;1' ACCOIiNr A'~~10LN1~ General Fund - Cl'1'Y A'1"fORNEY- Name: Professional Services -General Account: 001-10300-741-000 $28,160 ' General Fund -CITY ATTORNEY- Name: Prof. Svcs -Reimburseable Account: 001-10300-741-000 $89,600 Affordable Housing Fund -CITY ATTORNEY- Professional Services Name: Litigation Account: 380-10300-741-001 $90,495 Affordable Housing Fund- CITY ATTORNEY- Professional Services Name: Housing Account: 380-10300-741-005 $18,540 General Fund- POLICE -Contract Name: Services -General (Horizons Pgm) Account: 001-20100-740-000 $18,340 General Fund- POLICE -Contract Name: Services -Personnel Account: 001-20100-740-001 $136 810 General Fund- Police -Contract Name: Services -Booking Fees Account: 001-20100-740-007 $6,373 .SEES/COPS Grant Fund -POLICE Name: Contract Personnel Account: 202-20100-740-001 $354 Stagecoach Road Assort Fund - ST LANDSCAPE MAINTENANCE - Contract Svcs Stagecoach Road Assort Fund - ST TREE MAINTENANCE -Contract Name: Svcs 711-30500-740-000 $4,058 Account: 711-30400-740-000 $4,058 Dougherty Rd Assort Fund - ST Name: TREE MAINT -Contract Service Account: 713-30400-740.000 $1,169 Santa Rita Assort Fund - ST LANDSCAPE MAINTENANCE - Contract Svcs Santa Rita Assort Fund - ST TREE Name: MAINT -Contract Svcs 716-30500-740-000 $1,220 Account: 716-30400-740-000 $1,220 1+~,#ti~6 ~q'7lfle f4-H-aGhmenT CITY OF DUBLIN ~ 3 BUDGET CHANGE FORM FISCAL YEAR 2007/2008 CHANGE FORM #: New Appropriations (City Council Approval Required): Budget Transfers: x From Unappropriated Reserves Various Funds From Budgeted Contingent Reserve (1080-799.000) From New Revenues Within Same Department Activity x Between Departments (City Council Approval Requited) Other DECREASE`BITDGETRCCOUNT AMOUNT INCREASE $UDGET ACCOUNT AMOUN'1 Measure D Fund - ST LANDSCAPE MAINTENANCE - Name: rovements Account: 224-30500-750-050 $370 Dougherty Rd Assmt Fund - LANDSCAPE MAINTENANCE - Name: Water Service Account: 713-30500-725-010 $598 Citywide St Light Assmt Fund - Name: ENGINEERING -Legal Notice Account: 710-90300-728.000 $32 Dougherty Rd. Landscape Assmt Fund -ENGINEERING -Legal Name: Notice _ Account: 713-90300-728.000 $80 Santa Rita Assmt Fund - Name: ENGINEERING - Le al Notice Account 716-90300-728-000 $152 East Dublin St Light Assmt Fund - Name: ENGINEERING - Le al Notice Account: 717-90300-728-000 $111 Reason for Budget Change: To reflect budget changes to Operating Budget Departments proposed as part of the City's year end adjustments to close the financial records for 2007/08 -per the report to the City Council 10/7/2008. Fin Mgr / ASD:~~ Signature City Manager: Signature Mayor: Signature Posted By: Date: 1 I a Z~ O Date: '~s :lppro~°cd at the Cit}' Council b9eeun~~ on: 117. X008 Date: Date: Signature CITY OF DUBLIN ~ Q BUDGET CHANGE FORM FISCAL YEAR 2007/2008 CHANGE FORM #: New Appropriations (City Council Approval Required): Budget Transfers: x From Unappropriated Reserves Various Funds From Budgeted Contingent Reserve (1080-799.000) From New Revenues Within Same Department Activity Between Departments (City Council Approval Required) Other DECREASE BUAGrT ACCOUNT' :UIOUYI' INCREASE`BUDGETRCCOUNT AMOUNT General Fund: WILDFLOWER PLANTING PROJECT- - Name: Improvements Account: 001-94052-750-050 $990 General Fund- SHANNON CENTER RECONSTRUCTION Name: PROJECT -Buildings Account: 001-95465-750-030 $143 712 General Fund: SLURRY SEAL Name: PROJECT - Grou Insurance Account: 001-96585-702-005 $87 Community Development Block Grant (CDBG) Fund- ADA Name: Transition Project -Improvements Account: 209-93917-750-050 $73 Proposition 1B Transportation Fund -Dublin Blvd / Dougherty Name: Road Project -Improvements Account: 241-96852-750-050 $3,972 Reason for Budget Change: To reflect budget changes for Capital Projects proposed as part of the City's year end adjustments to close the financial records for 2007/08 -per the report to the City Council 10/07/2008. p Fin Mgr / ASD: a Date: 1 lr a ~ Signature. City Manager: Signature Mayor: Signature Posted By: Date: :'~s _lppra~°ed at the City Cnuncil'~-letting on: 10/7/2008 Date: Date: Signature