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HomeMy WebLinkAboutR-2003-109 2003 Mid Year budget adjustments RESOLUTION NO. 2003-109 A RESOLUTION OF THE CITY OF DANIA BEACH, FLORIDA, APPROVING FUND TRANSFERS AND APPROPRIATION OF FUNDS FOR FISCAL YEAR 2002-2003 AS A MID-YEAR AMENDMENT; PROVIDING THAT ALL RESOLUTIONS OR PARTS OF RESOLUTIONS IN CONFLICT HEREWITH BE REPEALED TO THE EXTENT OF SUCH CONFLICT; FURTHER, PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City Commission of Dania Beach approved a budget for fiscal year 2002-2003 in September 2002; and WHEREAS, in April the Finance Department performed a mid-year review and projected the year-end expenditures and revenues of all funds for Fiscal Year 2003; and WHEREAS, the management comment in the FY 2002 financial report indicated that all City's fund should provide a budget according to requirement of the State Auditor's General; and WHEREAS, certain changes to said fiscal year budget of appropriations for expenditures are identified. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF DANIA BEACH, FLORIDA: Section 1. That the General Fund, and Capital Projects Fund Budget for the fiscal year 2002-2003 be hereby amended as per Attachment "A". Section 2. That the Donation Fund, the Debt Service Fund and the Grant Fund are hereby appropriated as per Attachment "B". Section 3. That this resolution shall be in force and take effect immediately upon its passage and adoption. 1 RESOLUTION NO. 2003-109 • PASSED AND ADOPTED THIS 13 day of May, 2003. ATTEST: OB ANTO MAYOR — COMMISSIONER CH RLENE J NSON CITY CLERK ROLL CALL: COMMISSIONER CHUNN - YES COMMISSIONER FLURY - YES COMMISSIONER MIKES - YES VICE-MAYOR MC ELYEA - YES MAYOR ANTON - YES APPROVED AS TO F M AND CORRECTNESS: BY: r� ` : Ak THO AS . A R CITY ATTORNEY 2 RESOLUTION NO. 2003-109 Budget Transfers/Appropriations Revised FY 2003 Mid Year Revisions Attachment"A" Current Increase Revised FY 2003 Budget (Decrease) Budget Explanation GENERAL FUND Administration 001-12-0210-53-310 $217,500 ($10,000) $207,500 Fund City's Clerk's Deficit Professional Services 001-12-0210-53-315 $50,000 $57,650 $107,650 Legal and Consultant's Fee Airport Consult/Legal 001-12-0210-59-920 $294,340 ($135,875) $158,465 Fund deficits Contingency City Clerk's 001-12-0300-53-495 $40,100 $5,000 $45,100 Sept. 2002 Election Exp. Election 001-12-0300-51-130 $0 $5,000 $5,000 Catch up minutes Part-time Salaries Information Services 001-13-0410-53-310 $20,960 $8,225 $29,185 e-mail records management Professional Svc Legal Counsel 001-14-0600-53-308 $75,000 $19,000 $94,000 Labor related issues Other Legal Services 001-14-0600-53-313 $90,000 $40,200 $130,200 Foreclosures/Land sale Ryan & Ryan Legal Svc Fire Rescue Department 001-22-0800-51-260 $148,859 $102,183 $251,042 Accrued Leave Buyback 001-22-0800-51-210 $282,372 $6,335 $288,707 FICA Taxes 001-22-08000-51-215 $66,038 $1,482 $67,520 Medicare Taxes aa::.l v'vsd�32�uPs&'.c:�9.�.. , .....k.:. •@ram `S 7&wj Personal Services 001-13-0510-51-260 $45,000 ($45,000) $0 Fund Fire Accured Leave ® Accrued Leave 001-13-0510-51-250 $17,500 ($10,000) $7,500 Fund Accured Leave Unemployment Comp. 111,11111 Budget Transfers/Appropriations Revised FY 2003 Mid Year Revisions Attachment"A" Current Increase Revised FY 2003 Budget (Decrease) Budget Explanation GENERALFUND Recreation Department 001-72-1521-51-120 $183,587 $25,081 $208,668 Accrued Leave Buyback 001-72-1521-51-210 $19,658 $1,555 $21,213 FICA Taxes 001-72-1521-51-215 $4,597 $364 $4,961 Medicare Taxes 001-72-1530-59-910 $0 $45,000 $45,000 BBIP Grant disallowed Transfers to Grant Fund expenses 001-72-1500-53-526 $4,500 $15,500 $20,000 Flag, flagpole and fighting at Miscellaneous Supplies all parks Building Division • 001-59-1020-51-310 $67,000 $26,000 $93,000 Increase planning review - Professional Services new developments Revenues: Increase ( ) 001-30-3220-32-200 ($474,282) ($26,000) ($500,282) Fund planning review costs Building Permit Fees 001-30-3632-36-328 ($47,500) ($60,500) ($108,000) Fund BBIP Grant/Flags Recreation Impact Fees 001-30-3430-34-342 ($681,175) ($30,860) ($712,035) Fund deficits Garbage/Recycling Rev. 001-30-3640-36-405 $0 ($40,340) ($40,340) Fund deficits Sales of Surplus Property x Total $0 Budget Transfers/Appropriations Revised FY 2003 Mid Year Revisions Attachment°A° Current Increase Revised Explanation FY 2003 Budget (Decrease) Budget CAPITAL PROJECTS FUND Law Enforcement 300-21-0700-56-620 $260,863 ($10,000) $250,863 Surplus 803 Building 73 Recreation 300-72-1530-56-636 $0 $10,000 $10,000 Install Lighting at Griffin Griffin Marine Park Improv Marine Park 300-31-1131-53-310 $0 $300,000 $300,000 Canal Dredging Revenues: Increase ( ) 300-30-3430-34-390/1 $0 ($100,000) ($100,000) Contributions for Canal Broward County Dredging Project 300-30-3430-34-392 $0 ($200,000) ($200,000) Contributions for Canal S.R. Water Mgmt. Dredging Project 75 Total $0 a ,� Budget Appropriation for Donation Fund, Debt Service Fund Revised and Grant Fund for FY 2003 Mid-Year Appropriation Attachment°B° Donation Fund Account Number Account Description Amount Revenues: 104-30-3800-38-940 Appropriate Fund Balance (11,801) 104-30-3669-36-270 M.L. King Donation (1,700) 104-30-3669-36-280 Centennial Celebration (250) Total Revenue (13,751) Expenditures 104-21-0762-53-310 Law Enforcement 4,500 104-74-1545-53-522 M.L. King Banquet 4,191 104-74-1546-53-310 Centennial Celebration 250 104-79-1041-53-310 I.T. Parker House Relocation refunds i 2,450 104-72-1525-53-400 Bahamas Baseball 2,360 Total Expenditures 13,751 Debt Service Fund ® Revenues: 210-30-3800-38-100 Transfers In (210,025) Total Revenue (210,025) Expenditures: 210-72-1521-57-710 Debt Service - Principal 70,000 210-72-1521-57-720 Debt Service - Interest 140,025 Total Expenditures 210,025 Grant Fund Revenues: 103-30-3313-31-390 F.I.N.D. Grant 180,000 103-30-3800-38-310 Transfers In 45,000 103-30-3379-33-777 BBIP Grant (45,000) Total Revenue 180,000 Expenditures: 103-37-1131-53-310 Canal Dredging 180,000 ® Total Expenditures 180,000 Agenda Request Form City of Dania Beach Agenda Item: Date of Commission meeting: 5/13/2003 Description of Agenda Item: Approved Mid-Year Adjustment to FY 2003 Budget Commission action being requested: Adopt Resolution or Ordinance g Expenditure ❑ Award BID/ RFP ❑ Presentation ❑ General approval of item ❑ Continued from meeting Clther(Please explain) ��...; � �a a Summaryoexplanatioon and background ' r The Finance Department performed a mid-year analysis of revenues and expenses, and based on this analysis projected a year-end finances as of September 30, 2003. Certain line items in the Governmental funds are presented to the Commission for approval for mid-year adjustments. Attached exhibits and additionallbackup materials (Please list): . .,.... � . Staff memo Resolution Attachments "A" and "B" to resolution For purchasing requests ONLY Department: Amount: Fund: General: ❑ Water: ❑ Sewer: ❑ Stormwater: ❑ Grants: ❑ Capital: ❑ Account Name: Account Number: Submitted by. Patricia Varney Date: 5/7/2003 Department Director. Date: Admin. Services Director. Date: • Finance Director. Patricia Varney Date: 5/7/2003 City Manager. Ivan Pato Date: 5/7/2003 CITY OF DANIA BEACH DEPARTMENT OF FINANCE MEMORANDUM TO: Ivan Pato, City Manager Memo: DF-03-022 FROM: Patricia Varney, Director of Finance 1 DATE: April 30, 2003 SUBJECT: Mid-year Review of FY 2003 budget Purpose Forecast City's finances as of September 30, 2003. Background The Finance Department analyzed the city's revenues and expenditures as of March 30, 2003 and based on this analysis a projection of year end finances was performed. The analysis is as follows: General Fund: ® The General Fund revenue is forecasted to be within budget. Certain revenues such as state revenue sharing, fire inspection fees, and interest earnings are projected to be under budget. Other revenues which include contractor's registration fees, fire revenue sharing, transfers from perpetual care and cost recovery are indicating a deficit due to budget error. The contractor's registration fees and fire revenue sharing are no longer an allowable source of revenues, and cost recovery should not be recognized as revenue as it is mainly a pass through of expenses to the contractor. However, these shortfalls are offset by revenues such as electric franchise and utility taxes, half cents sales tax and permit fees which are forecasted to be over the budget. As for expenditures,transfers or appropriations are required for the following departments: I) Airport Related Expenses: $57,650 is required in General Administration. As of 3/31/03, the Airport related charges which included services performed by White and Case and Brenda Chalifour have exceeded the budget by $7,650. An additional $50,000 is projected from April to September 30, 2003. Fund Transfer: $57,650 from contingency. 2) City Clerk: $10,000. The City Clerk Department is projected to have a shortfall due to $5,000 costs from the Supervisor of Elections Office for the September 2002 ballot regarding"Term Limit". An additional $5,000 is also required for the funding of additional resources to assist in transcribing of commission minutes. As of February 28, 2003, there is a backlog of nineteen meetings for minutes to be transcribed. • Fund Transfer: $10,000 from City Administration 3) Legal Counsel: $59,200. $40,200 is needed to fund for services provided by Ryan and Ryan. The cost increase as • compared to budget is mainly due to accelerated foreclosure activities and continuous complex high profile cases. Also included is the commission and closing costs of the three confiscated properties that the City recently sold. As for the City Attorney, Weiss, Serota, Helfman, Pastoriza& Guedes, P.A.,the City only budgeted $75,000 for specialized services according to the proposal submitted by the firm. As of March 30, 2003, the City has already expended $65,935.80 mainly due to the increase of labor related matters. An additional funding of$19,000 is projected for year end which will include an additional $6,500 in labor attorney costs with regard to the completion of the Civil Service document and handling of certain employee grievances. A detailed analysis of specialized services as of 3/30/03 is as follows: LAWSUITS COSTS LAND REAL TELECOM. LABOR AIRPORT USE ESTATE As of 3/30/03 10,166.99 1,322.17 21,593.02 4,192.18 6,569.08 21,792.36 300.00 Org.Budget 20,000.00 - 30,000.00 - 20,000.00 5,000.00 - Balance 9,833.01 (1,322,17) 8,406.98 (4,192.18) 13,430.92 (16,792.36) (300.00) Shortages (1,322,17) (4,192.18) (16,792.36) (300.00) City Administration recently sold three pieces of confiscated properties in the amount of $73,900. The amount $33,560 has already been recognized at fiscal year ending September • 30, 2002 based on assessed value. The additional amount of$40,340 will be recognized as additional revenue in FY 2003. Staff is recommending appropriating this additional amount to fund part of the deficit. City Administration also recognized some additional revenues from recycling in the amount of approximately $42,000 due to some indeterminate language in the contract. Staff is recommending appropriating $18,860 of this revenue to fund the remaining of the deficit in legal services. Budget Appropriation: $59,200 Sale of Surplus Property, recycling revenues and City Attorney Professional Service 4) Fire Rescue Department: $110,000. Previous administration allowed sick and vacation accruals to be above the accrued limit. Current administration is in the process of correcting this problem,to derive funding for allowing employees to buyback the exceeded amount. This will cost the City approximately $122,000 in salaries account and fringe benefits. Currently the department is projecting surplus in some line items, thus reducing the amount required for the Fire Rescue Department to approximately$110,000. Staff is recommending to appropriate $12,000 of the revenue generated from the recycling revenues to fund part of the deficit. Further, in the Personal Services Division,there is a budget of$45,000 Accrued Leave Buyback available. Based on the first two quarters of Unemployment Compensation claims, a$10,000 surplus is projected in this line item, therefore, making a total of$55,000 available to be transferred to Fire Rescue Department. Fund Transfer: $55,000 from Personal Services Division and$43,000,from Contingency. Budget Appropriation: $12,000 Recycling Revenues and Salaries Account. 5) Recreation Department: This department is also experiencing the same situation as the Fire Rescue Department for accrued sick and vacation time that exceeded the limit. The amount needed for Recreation is $27,000. Fund Transfer: $27,000 from Contingency 6) Growth Management, Building Division: $26,000. This is mainly due to the increase in volume for services provided by Broward County for building plans review and building inspection services because of new developments. Budget Appropriation: $26,000 for Permits Revenue and Professional Services 7) Debt Service: $97,000. Due to budget error of allocating the debt service incorrectly, the General Fund will have to reduce the amount"Transfer to Capital Projects Fund" by $97,000 to cover the debt payment correctly. This is mainly a housekeeping issue and does not affect the spending level. A total Contingency transfer from the above is $127,650. After these transfers the City will have $166,690 available in the contingency fund. Capital Projects Fund: The construction costs for the 803 Police Sub-station is currently under the budget and is forecasted to ® realize a surplus of approximately $15,000. Staff is recommending to appropriate part of this surplus $10,000 for the installation of the lighting at the Griffin Marine Park. The City received funding from Broward County and South Florida Water Management District for the dredging canal project. These funds need to be appropriated for budget purpose. Funds Transfer: $10,000 from Police Sub-Station to Griffin Marine Park Budget Appropriation: $300,000 in contributions and$300,000 in professional services. Water and Sewer Fund: These two funds are operating within its budget. Stormwater Fund: This fund may experience a very small deficit which is also due to the correction of the accrued sick and vacation time. Grant Fund: Due to a change by prior administration to the project for the Broward Boating Improvement Program (BBIP) grant of which it was not reported to the agency for approval of the alternate project,the City is facing the risk of losing the entire grant in the amount of$155,000. Ms. Bonnie Temchuk is working diligently to convince the BBIP Board that this project did meet all requirements of the agreement except for the two amenities that were removed by prior administration. BBIP Board will be holding an emergency meeting in June to address this issue. Should this issue be reconciled, the City will be eligible for $110,000 reimbursement and the City will have to derive funding of the additional $45,000. Staff is recommending appropriating $45,000 from the Parks Impact Fee. • Further a funding of$15,500 is requested for the installation of flagpoles and lighting in different parks. This will also be appropriated from the Parks Impact fee. After the above appropriations, the Parks Impact Fee will have an available balance of$276,000. City of Dania Beach received an award from Florida Inland Navigation District for a grant of$180,000 to perform canal dredging services. The appropriation of the revenue and expenses is required. In order to comply with the auditor's comment that all funds should be budgeted, the following two funds need to be budgeted as they were not appropriated at the beginning of the fiscal year: Donations Fund: Expenditures: Law Enforcement(for the canine unit) $ 4,500 M.L. King Banquet $4,191 Centennial Celebration $ 250 I.T. Parker House Relocation refunds $ 2,450 Totals $11,391 Revenues: Appropriate Fund Balance $ 9,441 • M.L. King Donation $ 1,700 Centennial Donation $ 250 Totals $11,391 Debt Service Fund: Expenditures: Debt Service—Principal $ 70,000 Debt Service—Interest $140,025 Totals $210,025 Revenues: Transfer from General Fund $210,025 •