HomeMy WebLinkAbout8.1 General Fund Reserves FY 2013-14or
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DATE:
TO:
FROM:
SUBJECT:
STAFF REPORT
CITY COUNCIL
June 17, 2014
Honorable Mayor and City Councilmembers
CITY CLERK
File #330 -20
Christopher L. Foss, City Manager �?14 "
Resolution Authorizing Special Designations of General Fund Reserves for Fiscal
Year 2013 -14
Prepared by Colleen Tribby, Administrative Services Director
EXECUTIVE SUMMARY:
In accordance with the City of Dublin's Fund Balance and Reserves Policy, the City Council will
consider making special designations of General Fund reserves for Fiscal Year 2013 -14.
FINANCIAL IMPACT:
Approval of the special designations of General Fund reserves will not result in any net change
to total fund balance, but would shift reserves to add funding for the Emerald Glen Aquatics
Complex, the Cemetery Expansion, the Shannon Center Parking Lot, and the Advance to
Public Facility Fees Fund.
RECOMMENDATION:
Staff recommends that the City Council adopt a Resolution Authorizing a Special Designation
of General Fund Reserves for Fiscal Year 2013 -14; and, by motion, direct Staff to implement
the changes in the financial records.
Submitted By
Administrative Services Director
DESCRIPTION:
Reviewed By
Assistant City Manager
The City's Fund Balance and Reserves Policy (Policy) identifies the five classifications of fund
balance to be used in the financial reporting of governmental funds, and defines the
methodology of allocating net resources before the fiscal year end. Specifically, the Policy states
that any excess fund balance, after designations to all other categories, and after providing
for at least two months of ongoing expenditures in the cash flow reserve, go to the reserves
for Pension and Retiree Health (50 %) and Non - Streets CIP (50 %).
Page 1 of 3 ITEM NO. 8.1
Staff is proposing that the City Council adopt special designations of fund balance as of June
30, 2014. These designations include the shifting between sub - categories under the broader
component of Committed reserves, as well as some new designations of Unassigned reserves
for special purposes. The Resolution also creates two new reserve sub - categories for the 1)
Shannon Center Parking Lot and the 2) General Fund Advance to the Public Facility Fees
Fund. With City Council's approval, the following is a list of fund balances and projected
balances at year -end to be reflected in the FY 2013 -14 financial statements:
Restricted Reserves
Heritage Park Maintenance
Total Restricted
Actual Increase
Decrease
Projected
Non - Spendable Reserves
2012 -13 2013 -14
2013 -14
2013 -14
Prepaid Expenses
34,756
5,868,847
34,756
Cemetery Endowment
60,000
1,000,000
60,000
Advanceto Public Facility Fees
-
Affordabl e Housi ng
-
Advanceto Fire Impact Fee
1,098,606
(250,000)
848,606
Advanceto PERS Side Fund
1,642,768
(400,000)
1,242,768
Total Non - Spendable
$ 2,836,130 $ -
$ (650,000)
$ 2,186,130
Restricted Reserves
Heritage Park Maintenance
Total Restricted
500,000
$ 500,000
500,000
$ - $ - $ 500,000
Civic Ctr Expansion
391,568
Committed Reserves
-
Public Safety Complex
Economic Stability
5,868,847
5,868,847
Downtown Public Impr
1,000,000
1,000,000
Open Space Funding
2,000,000
(2,000,000) -
Affordabl e Housi ng
1,000,000
1,000,000
Emerald Glen Aquatic Complex
1,500,000
1,500,000 (102,350) 2,897,650
Emergency Communications
741,000
741,000
Fire Svcs OPEB
7,610,058
400,000 8,010,058
Innovations & New Opport
1,372,785
1,372,785
Maintenance Facility
6,027,950
(6,027,950) -
Cemetery Expansion
750,000
1,641,538 2,391,538
Fallon Sports Park
-
Committed Reserves, cont.
Civic Ctr Expansion
391,568
(391,568)
-
Public Safety Complex
3,070,746
(3,070,746)
-
Jt City / School Projects
600,000
(600,000)
-
Non- Streets CIP Commitments
2,745,809
-
2,745,809
Shannon Center Parking Lot
775,000
775,000
Advanceto Public Facility Fee
2,000,000
2,000,000
One -Ti me Initiative
1,341,408
1,341,408
Total Committed $
7,757,963
$ 2,775,000 $(3,670,746) $
6,862,217
Page 2 of 3
Assigned Reserves
Accrued Leave
896,658
896,658
0 pera ti ng Ca r ryovers
986,326
(986,326)
-
CIP Carryovers
265,845
(265,845)
-
Catastophic Loss
10,537,271
10,537,271
Service Continuity
2,410,000
2,410,000
Pension & OPEB
8,480,646
8,480,646
Fiscally ResponsibleAdj
336,150
325,000 (336,150)
325,000
Total Assigned
$ 23,912,896 $
325,000 $(1,588,321)
$22,649,575
Unassigned Reserves
Unassigned - Unrealized Gains (263,162) 263,162 -
Unassigned (Available) 14,311,098 10,828,195
Total Unassigned $ 14,047,935 $ 263,162 $ - $10,828,195
Projected balances in all fund balance categories have been taken into account during the
preparation of the Fiscal Year 2014 -15 Adopted Budget, with the expectation that many of
the Committed reserves will be spent down over the next several years. Please note that,
while the changes to Committed reserves can be authorized only by the City Council, the
City Manager has the authority to make designations to Assigned reserves as fund balance
allows. The changes to Assigned reserves included in this report are based on estimated
revenues and expenses in the current fiscal year, and will be updated with exact amounts
after closing entries are made.
At the time of this report, it is estimated that the General Fund will have sufficient fund
balance to provide for an Unassigned Cash Flow of $10,828,195 (2.15 months of budgeted
operating expenditures), and a Catastrophic Loss reserve of $10,537,271.
NOTICING REQUIREMENTS /PUBLIC OUTREACH:
None.
ATTACHMENTS: 1. Resolution Authorizing a Special Designation of General Fund
Reserves for Fiscal Year 2013 -14
Page 3 of 3
RESOLUTION NO. -14
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF DUBLIN
* * * * * * * * * * * * * * * * * * * * * * * * * **
AUTHORIZING A SPECIAL DESIGNATION OF GENERAL FUND RESERVES FOR
FISCAL YEAR 2013 -14
WHEREAS, On June 4, 2013 the City Council adopted a revised Fund Balance and Reserves
Policy; and
WHEREAS, the Fund Balance and Reserves Policy requires special fund balance allocations
to be adopted by the City Council, and allows the City Council to take action prior to the end of the
fiscal year to direct a specific assignment of the fund balance; and
WHEREAS, Staff reviewed updated information regarding fund balance and estimated one-
time revenues during the preparation of the Fiscal Year 2014 -15 and FY 2015 -16 Budget;
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin does
hereby make a special allocation of the estimated Fiscal Year 2013 -14 year -end balance to the
Committed fund balance sub - categories as follows:
Committed Reserves
Actual
2012 -13
Increase
2013 -14
Decrease
2013 -14
Projected
2013 -14
Economic Stability
5,868,847
5,868,847
Downtown Public Impr
1,000,000
1,000,000
Open Space Funding
2,000,000
(2,000,000)
-
Affordable Housing
1,000,000
1,000,000
Emerald Glen Aquatic Complex
1,500,000
1,500,000
(102,350)
2,897,650
Emergency Communications
741,000
741,000
Fire Svcs OPEB
7,610,058
400,000
8,010,058
Innovations & New Opport
1,372,785
1,372,785
Maintenance Facility
6,027,950
(6,027,950)
-
Cemetery Expansion
750,000
1,641,538
2,391,538
Fallon Sports Park
-
Civic Ctr Expansion
391,568
(391,568)
-
Emergency Generator
-
-
Public Safety Complex
3,070,746
(3,070,746)
-
Jt City/ School Projects
600,000
(600,000)
-
Non- Streets CIP Commitments
2,745,809
-
2,745,809
Shannon Center Parking Lot
775,000
775,000
Advance to Public Facility Fee
2,000,000
2,000,000
One -Time Initiative
1,341,408
1,341,408
Total
$ 36,020,171
$ 6,316,538
$ (12,192,614)
$ 30,144,095
BE IT FURTHER RESOLVED that, any net resources remaining after special designations, and after
meeting the minimum requirement of two months cash flow in the Unassigned fund balance and a
maximum of 15% asset book value in the Catastrophic Loss reserve, will be assigned as described in
the policy: a) 50% to Pension and Other Post Employment Benefits; and b) 50% to the Non - Streets
Capital Improvements Program reserve.
ATTACHMENT 3
PASSED, APPROVED AND ADOPTED this 17th day of June, 2014.
AYES:
NOES:
ABSENT:
Mayor
ATTEST:
City Clerk
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