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Home My WebLink About4.04 Final Bdgt Change FY 08-09G~~~ OF Dp~~2 19' ••• ~~ ,82 ~~~~~% `O`~LI~~~D / STAFF REPORT CITY C L E R K DUBLIN CITY COUNCIL File # ^~] 3^®-®~ DATE: November 3, 2009 TO: Honorable Mayor and City Councilmembers FROM: Joni Pattillo, City Manager SUBJECT: Final Budget Changes For Fiscal Year 2008 - 2009 Prepared By: Paul S. Rankin, Administrative Services Director EXECUTIVE SUMMARY: The City financial policies require City Council approval of budget adjustments when more than one activity or funding source is involved. The City Council will consider recommended budget changes as part of the closing of the City's financial records for Fiscal Year 2008-2009. The adjustments to the General Fund represent less than one percent of the authorized expenditures. FINANCIAL IMPACT: The financial impacts are discussed as part of the Staff Report. RECOMMENDATION: 1) Receive the report; 2) Authorize the Mayor to execute the attached budget change; and 3) Direct Staff to include this information in the Final Comprehensive Annual Financial Report, which will be presented to the City Council later this year. Submitted By: Administrative Services Director Assistant Page 1 of 4 ITEM NO. . ~ ~,g- DESCRIPTION: Staff has reviewed the Preliminary Financial Reports and the Auditors are conducting the field work necessary to prepare the final Comprehensive Annual Financial Report (CAFR) information for the Fiscal Year ending June 30, 2009. 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 which meet both of the following criteria: 1) The change is being made between line items which are within the same activity (Department); and 2) the change uses the same funding source (For example, unspent general fund appropriations cannot be transferred to address expenditures in the Gas Tax Fund). The City Manager is also authorized to make limited transfers from the Contingent Reserve. The City Council must approve all other adjustments to appropriations. Proposed Adjustments Some of the adjustments discussed in this report were anticipated in the estimated actual information presented in the Preliminary 2009-2010 Fiscal Year Budget and Financial Plan. Most of the adjustments relate to situations where the total spending in a particular Activity (Department) 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. ENERAL FUND (10011 SUMMARY OF GENERAL FUND CHANGES The adopted Fiscal Year 2008 -2009 Operating Budget prior to these adjustments is $46.5 million. The total additional appropriation proposed for all operating activities is $454,922, which is less than 1 %. The impact is offset by savings in other activities, however as explained above, City Council approval is required if correcting the imbalance would involve a transfer between different activities. General Government: Increase by $220,429 The Insurance activity (#1402) requires a budget adjustment of $28,168 related to insurance premium costs. Included in this budget is liability and property insurance costs for the City's operations as well as surcharges paid for costs associated with services provided by Alameda County Fire Department and Alameda County Sheriff's Department. Last year the City experienced a significant increase in costs associated with the Sheriffs Department contract. The City Attorney activity (#1501) requires an additional appropriation of $192,261 for General Legal Services. 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 budget for work associated with development applications, which is reimbursed. During Fiscal Year 2008 - 2009 the level of activity was higher than originally projected. Factors which contributed to this were: increased activity related to development issues that cannot be recovered from the applicant such as processing appeals; general development issues such as water supply impacts and Zone 7 development fee increases; more complex issues related to slow down in development activity; etc. Public Safety: (No General Fund Change Required) Page 2 of 4 Transportation: Increase by $58,251 The Street Maintenance activity (#3201) requires a budget adjustment of $4,152 related to Contract Services for Spill Clean-up, the amount required is partially offset by savings in other areas. The City incurred expenses related to responses to emergency sewer clean-up as well as a gasoline spill. The City policy is to pursue reimbursement from responsible parties, which would then appear in the financial records as a revenue. The Street Landscape activity (#3401) requires a budget adjustment totaling $54,099 and impacting three line items. Water services for medians exceeded the budget by $9,062. General contract services for maintaining the medians were higher than expected and require an additional appropriation of $30,236. This is due to a large amount of plantings on the median that died off and required replacement. This activity also accounts for General Fund Maintenance costs associated with City events. An additional appropriation of $14,801 is required for expenses related to Maintenance Services for Community Events. Health & Welfare: (No General Fund Change Required) Culture & Leisure: Increase by $40,992 The Community Television activity (#7101) requires a budget adjustment of $428. Tri-Valley Community Television revised the charges for taping and airing meetings resulting in increased contract service costs. The impact was partially offset by savings in other line items. The Library activity (#7301) requires a budget adjustment of $4,918, related to the Contract Building Maintenance line item. During the year the City experienced unanticipated costs associated with a gas line repair as well as higher than expected heating and air conditioning repairs and mid-day janitorial services. The impact was partially offset by savings in other line items. The Parks and Facilities Development activity (#7901) requires a budget adjustment of $35,646. The adopted Budget projected more staff time would be expended on capital projects. The Staff time associated with Capital Improvement Program (CIP) projects become part of the total expense for the project. A difference was projected at the time that the Fiscal Year 2009 -2010 Budget was presented. The staff time was less due to the timing of projects as well as the delay in proceeding with the Emerald Glen Recreation and Aquatic Center. The impact was partially offset by savings in other line items. Community Development: Increase by $135,250 The Engineering activity (#8301) requires a budget adjustment of $135,250. The adopted Budget projected more staff time would be expended on capital projects. The Staff time associated with Capital Improvement Program (CIP) projects become part of the total expense for the project. A difference was projected at the time that the Fiscal Year 2009 -2010 Budget was presented. The staff time was less due to the timing of projects. The adopted Budget projected time to be expended on the Village Parkway Storm Drain Project, which did not get underway. There was also a delay in the timing of work associated with the Dublin Boulevard Corridor project due to Cal-Trans delay in issuing an authorization to proceed. The City also postponed work on the analysis of the Amador Plaza and Dublin Boulevard intersection in order to incorporate data from the specific plan process. The impact was partially offset by savings in other line items. Page 3 of 4 SPECIAL REVENUE FUNDS The following sections summarize Budget Changes required in various Special Revenue Funds. The City financial records currently account for revenues and expenditures in over twenty different Special Revenue 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 (#2103) Increase of $382 This fund is utilized expenditures under the State grant funds. The Police activity (#2199) requires a budget adjustment of $382. The small deviation represents interest revenue generated on the grant funds before the expenditures were recorded. By expensing an additional $382 in this fund it will bring the balance to zero. Street Lighting Assessment District 1983-1 Fund (#27011 Increase of $7,049 This fund pays for the operation and maintenance of Street Lights in most of the City excluding east Dublin. The Street Lighting activity (#2802) requires an adjustment of $7, 049 due to higher than anticipated expenditures for maintenance and repair. The impact was partially offset by savings in other line items. Street Landscaping Assessment District 1983-2 Fund (#2702) Increase of $3,285 This fund pays for the operation and maintenance of landscaping adjacent to Stagecoach Road. The Landscaping activity (#3401) requires an adjustment of $3,285 due to higher than anticipated expenditures for maintenance and repair. The overage was primarily related to irrigation repairs. Street Landscaping Assessment District 1997-1 Fund (#2704) Transfer Between Activities This fund pays for the operation and maintenance of landscaping on several arterials within the following general boundaries: Gleason Drive on the north; Interstate 580 on the south; Tassajara Road on the east; and Arnold Road on the west. The Landscaping activity (#3401) has sufficient unexpended funds to transfer for overages in the Street Tree Maintenance activity (#3402) and Engineering activity (#8301). The amount proposed to be transferred to Street Tree Maintenance is $4,601 and the amount being transferred to Engineering is $32. Even after these transfers expenditures in Landscape Maintenance will continue to be less than the adjusted budget. NOTICING REQUIREMENTS/PUBLIC OUTREACH: None ATTACHMENTS: 1. Budget Change Page 4 of 4 of a CITY OF DUBLIN BUDGET CHANGE FORM FISCAL YEAR 2008/2009 CHANGE FORM #: New Appropriations (City Council Approval Required): x From Unappropriated Reserves Various Funds From New Revenues Budget Transfers: From Budgeted Contingent Reserve (1080-799.000) Within Same Deparhnent Activity Between Departments (City Council Approval Required) Other DEC;RE,ASEBDDGET.A000IINT ~ AMOUNT I'~CREASEBUDGETACCOUNT ~ AIVIOIINT General Fund -INSURANCE - Name: Premiums ` Account: 1001-1402 - 61601 $28,168 General Fund -CITY ATTORNEY- Name: Professional Services -General Account: 1001- 1501 - 65101 $192,261 General Fund -STREET MAINTENANCE - Contract Services Name: -Spill Clean-Up Account: 1001 - 3201 - 64084 $4,152 General Fund -STREET Name: LANDSCAPE -Utilities Water Account: 1001 - 3401 - 63399 $9,062 General Fund -STREET LANDSCAPE -Contract Services - Name: General Account: 1001 - 3401 - 64001 $30,236 General Fund -STREET LANDSCAPE -Contract Services - Name: Community Events Account: 1001 - 3401 - 64089 $14,801 General Fund- COMMUNITY Name: TELEVISION -Contract Services Account: 1001-7101- 64001 $428 General Fund- LIBRARY -Contract Name: Services -Building Maintenance Account: 1001 - 7301 - 64005 $4,918 General Fund- PARKS / FACILITIES DEVELOPMENT - Name: Salaries Account: 1001 - 7901 - 51101 $35,646 General Fund- ENGINEERING - Name: Salaries Account: 1001 - 8301 - 51101 $135,250 Reason for Budget Change: To reflect General Fund budget changes to Operating Budget Departments proposed as part of the City's year end adjustments to close the financial records for 2008/09 -per the report to the City Council 11/3/2009. ~-~Yh ~ ~ ~ ~ ~ l ~ 31~ ~ ATTACHMENT 1 Page 1 of 2 CITY. OF DUBLIN ~ ~~ ~ BUDGET CHANGE FORM FISCAL YEAR 2008/2009 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 Required) Other UECRF.A.SE BUDGET ACCOLIN t' AMOUNT INC'REASE;BtiDGET ACCOiI!Y'I' AVl<OITN7' STATE COPS Fund -POLICE - Name: Contract Services Account: 2103 - 2199 -64020 $382 Citywide St Light Assort Fund - STREET LIGHTING -Contract Name: Services Account: 2701 - 2802 - 64001 $7,049 Stagecoach Rd Assort Fund - LANDSCAPE MAINTENANCE - Name: Contract Services Account: 2702 - 3401 - 64001 $3,285 Santa Rita Landscape Assort Fund - LANDSCAPE MAINTENANCE - Name: Contract Service Santa Rita Landscape Assort Fund - STREET TREE MAINTENANCE- Name: Contract Service Account: 2704 - 3401 - 64001 <$4,633> Account: 2704-3402-64001 $4,601 Santa Rita Landscape Assort Fund - Name: ENGINEERING -Legal Notice Account: 2704 -8301 - 61117 $32 season for Budget Change: To reflect non- General Fund (Special Revenue Fund) budget changes to Operating Budget departments proposed as part of the City's year end adjustments to close the financial records for 2008/09 -per the report o the City Council 11/3/2009. !. s' Fin Mgr / ASD: ~{~ ' t Signature City Manager: Signature Mayor: Signature Posted By: Signature As Approved at the City Council Mcetine nn: Date: Date: ~~ L3~a Date: ~~ ~ 11/3/2009 Date: ATTACHMENT 1 Page 2 of 2