SUBJECT:
Title
PUBLIC HEARING: An Ordinance of the Town Council of the Town of Erie Providing for the Supplemental Appropriation of Money to Various Funds for the 2023 Budget Year
Body
DEPARTMENT: Finance
Department
PRESENTER(S): Victoria Runkle, Interim Finance Director
First Name Last Name, Title
TIME ESTIMATE: 5 minutes
only required for non-consent items
FISCAL SUMMARY:
Cost as Recommended: $4,477,364
Balance Available: $1,687,092
Budget Line Item Number: 205-30-110-604000
New Appropriation Required: Yes
STAFF RECOMMENDATION:
Recommendation
Adopt the Budget Amendment Ordinance
End
SUMMARY AND BACKGROUND OF SUBJECT MATTER:
Following the passage of the 2nd Supplemental, certain items remain that must be addressed before the calendar year.
The first request in this 3rd Supplemental Resolution is required because the Town’s purchasing rules state the Board of Trustees must approve every cost change in a capital project of more than $50,000.
On Tuesday, Nov. 14 the Board of Trustees approved Agenda Item 23-520, the second contract amendment for the North Water Reclamation Facility (NWRF) with HDR Engineering for $120,000. Staff has requested a transfer of an available $100,000 from the Sewer Rehabilitation budget to the North Water Rehabilitation Facility (NWRF) project where only $57,065 is remaining before this contract amendment. This transfer will provide enough funds to meet the requirements of the contract amendment. The Sewer Rehabilitation Project will have $270,000 remaining and this will meet the needs of that project.
After the transfer, the balances will be as illustrated in the following table:
|
Account number |
Transfer |
Remaining Balance After Transfer Approval |
|
510-70-110-605000-100115 |
($100,000) |
$270,000 |
|
510-70-110-605000-100267 |
$100,000 |
$157,065 |
The second request in 3rd Supplemental is to meet the requirements of property purchases from American Rescue Plan Act (ARPA) monies. In 2023 both the Cheesman and Page properties were purchased using ARPA monies. The former property, aka the Cheesman Property, was purchased in February 2023. This purchase was originally budgeted in 2022, and there was a $25,000 deposit made in 2022. While the purchase was anticipated, and the source of payment identified, the actual purchase was not re-appropriated in 2023. In reviewing the grants, staff discovered this was also not included in either the 1st or 2nd Supplemental Resolutions earlier in the year.
The second property purchased is the Page Property. This was budgeted for 2024; and how fast the purchase would ultimately be completed was not anticipated.
The following table illustrates how the ARPA monies were appropriated, and with the purchase of the properties, how they should be appropriated now.
The 2024 Recommended Budget presented to you on Nov. 14, decreased the 2024 ARPA appropriation; assuming the monies would be moved from 2024 to 2023.
The total 3rd Supplemental appropriates $4,477,364 from ARPA monies for the purchase of the two land parcels, Cheesman and Page. The 2024 Budget appropriates $87,000 from the General Fund for maintenance costs at the properties.
The final request in this 3rd Supplemental resolution is from Public Works for $100,000. This is a transfer from one account number to another: all within the same Fund. It needs no appropriation, but it does require approval.
BOARD PRIORITY(S) ADDRESSED:
ü Attractive Community Amenities
ü Prosperous Economy
ü Safe and Healthy Community
ü Effective Governance
ü Fiscally Responsible
ATTACHMENT:
1. Ordinance
2. Town of Erie 2023 3rd Supplemental Handout