HomeMy WebLinkAboutItem 4.7 Amend Reso Adopt Budgetor
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DATE:
TO:
FROM:
STAFF REPORT
CITY COUNCIL
October 15, 2013
Honorable Mayor and City Councilmembers
Joni Pattillo City Manager""'
CITY CLERK
File #330 -20
SUBJECT: Resolution Amending Resolution 86 -13 Adopting a Budget for the City of Dublin
for Fiscal Year 2013 -14
Prepared by Colleen Tribby, Director of Administrative Services
EXECUTIVE SUMMARY:
Staff recommends amending Resolution 86 -13 to allow for more administrative efficiency in
transferring budgets already approved by City Council between departments as long as the
amount remains within the same fund. Staff also recommends authorizing the City Manager to
increase revenue and expense budgets for specific department activities, where there is no net
budget impact. Finally, Staff proposes that the City Council authorize the City Manager to
transfer budgets between capital improvement projects, provided the projects have the same
funding source. A full accounting of any budget changes will be provided to the City Council at
the quarterly financial reviews.
FINANCIAL IMPACT:
There is no financial impact from changing the City Manager's authority to administratively
amend budgets as described in this report.
RECOMMENDATION:
Staff recommends that the City Council adopt Resolution Amending the Budget Resolution for
the City of Dublin for Fiscal Year 2013 -2014.
4
r
Submitted By
Administrative Services Director
Reviewed By
Assistant City Manager
Page 1 of 2 ITEM NO. 4.7
DESCRIPTION:
The annual budget resolution adopted by the City Council formally approves the City budget,
provides for the use of reserve funds for specific purposes, and specifies the authority of the
City Manager to make certain budget transfers and increases during the year. Resolution 86 -13,
governing the FY 2013 -14 budget, was approved by the City Council at the meeting of June 4,
2013.
Upon review of the budget transfer process and related workflow, Staff is recommending some
changes to the resolution that will allow for increased efficiency, without changing the City
Council's ultimate authority to appropriate funds, and while maintaining transparency to the City
Council and the community. As shown in the red -lined version of Resolution 86 -13 (Attachment
2), Staff proposes to make the following changes:
Budget Resolution 86 -13, Item 3
This item specifies the City Manager's authority to transfer budgets between line items provided
the transfer occurs within the same department activity, and to transfer the budgeted contingent
reserve to departmental personnel budgets under certain conditions. Staff proposes to amend
and clarify this item to allow the City Manager to transfer budgeted amounts between line items
as long as the transfer is within the same fund, regardless of the specific department activity.
This would include any transfer from the General Fund budgeted contingency amounts that are
approved by the City Council during the annual budget adoption.
Budget Resolution 86 -13, Item 9
This item authorizes the City Manager to increase appropriations for revenues and expenditures
related to increased development activity. Staff proposes changing the language to include all
departmental- specific revenues and expenditures that exceed estimates, and adds language to
clarify that such budget changes will have no net budgetary impact.
Budget Resolution 86 -13, Item 14
This item allows the City Manager to transfer line item budgets within the same project. Staff
recommends adding language to further authorize the City Manager to transfer funds between
projects, as long the transfer is within the same funding source. For example, if a street
improvement project has $10,000 left over in Gas Tax funding, the City Manager could authorize
that amount be transferred to another project that also has Gas Tax as a funding source. In that
case, the total Gas Tax appropriation does not change, but the two project budgets change (one
decrease, one increase). Any revisions which add funding from a new source would need City
Council approval.
With the changes above, Staff will be able to conduct routine, appropriate budgetary
adjustments in a timely manner, and will provide a full accounting of those changes to the City
Council during the quarterly financial reviews.
NOTICING REQUIREMENTS /PUBLIC OUTREACH:
None.
ATTACHMENTS: 1. Resolution Amending the Budget Resolution for the City of Dublin for
Fiscal Year 2013 -2014
2. Red -Lined Version of Resolution 86 -13 Adopting a Budget for the
City of Dublin for Fiscal Year 2013 -2014
Page 2 of 2
RESOLUTION NO. - 14
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN
* * * * * * * * * * * * * * * * * * * * * * * * * **
AMENDING THE BUDGET RESOLUTION FOR THE CITY OF DUBLIN
FOR FISCAL YEAR 2013 -2014
WHEREAS, at the City Council meeting of June 4, 2013, the City Council of the City of Dublin
adopted Resolution No. 86 -13 approving the Budget and Financial Plan for Fiscal Year 2013 -2014;
and
WHEREAS, Resolution No. 86 -13 included language that defines the authority of the City
Manager to make certain departmental budget transfers and increases; and
WHEREAS, the City Council has ultimate authority to set and amend budgets, and does so for
items both specific and more general in nature such as the budgeted contingency funds; and
WHEREAS, the City has a desire to conduct budgetary transactions in an efficient manner
while maintaining transparency to both the City Council and the community; and
WHEREAS, Resolution No. 86 -13 has been amended to improve the budget change process,
with the changes detailed in the attached Red -Lined Version of the resolution (Attachment 2).
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin does
hereby find, determine, declare and resolve that Resolution No. 86 -13 governing the FY 2013 -14
budget is amended as follows:
Budget Resolution 86 -13, Item 3
This is amended to allow the City Manager to transfer budgeted amounts between line items,
provided that the transfer is within the same fund, regardless of the specific department activity.
This includes the authority to transfer from the General Fund budgeted contingency amounts that
are approved by the City Council during the annual budget adoption. A full accounting of any such
transfers will be provided to the City Council during the quarterly financial reviews.
Budget Resolution 86 -13, Item 9
This item is amended to authorize the City Manager to increase revenue and expenditure budgets
for various departmental functions, when corresponding revenues come in over budget: this would
apply to development activity, inspection activity, recreation program activity, and any other
departmental activity which generates correlating revenues, as verified by the Administrative
Services Director. Increased appropriations shall continue to be documented in the financial
records and conveyed to the City Council as part of the on -going financial reporting.
Budget Resolution 86 -13, Item 14
This is amended to authorize the City Manager to transfer funds between capital projects, within
the same funding source. Any revisions which alter a project budget by adding a new funding
source are to still be approved by the City Council.
PASSED, APPROVED AND ADOPTED this 15th day of October, 2013.
AYES-
NOES-
ABSENT-
ATTEST-
City Clerk
Mayor
ATTACHMENT 1
RESOLUTION NO. 86— 13 (Red- Lined)
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN
* * * * * * * * * * * * * * * * * * * * * * * * * **
ADOPTING A BUDGET FOR THE CITY OF DUBLIN
FOR FISCAL YEAR 2013 -2014
WHEREAS, the City Council of the City of Dublin is desirous of establishing a Budget and
Financial Plan for Fiscal Year 2013 -2014; and
WHEREAS, the City Council has reviewed and considered the Budget documents and has
received input from the public; and
WHEREAS, the City Manager has prepared a balanced budget which continues with
organizational adjustments and allocation of resources in a manner which aligns with available
resources and the proposed Ten Year Strategic Plan; and
WHEREAS, the General Fund Operating Budget is balanced without the need to draw from
the Reserve for Economic Stability in order to balance funding with planned expenditures; and
WHEREAS, the City Council has the responsibility to adopt a budget before the Fiscal Year
begins July 1, 2013; and
WHEREAS, the Summary of Appropriations (Exhibit A) attached hereto and made a part of
this Resolution, reflects the Fiscal Year 2013 -2014 Program Budget (All Funds) for the City of Dublin;
and
WHEREAS, (Exhibit A) has been segregated to isolate a grant appropriation for a community
organization, Dublin Partners In Education, (DPIE) which will be voted on as a separate Resolution
as one City Councilmember is also a member of the community organization's Board of Directors;
and
WHEREAS, the action taken by this resolution shall approve the appropriation of all funds
excluding the DPIE appropriation; and
WHEREAS, the City Council also desires to confirm adjustments made administratively to
Capital Project balances during the preparation of the Budget and accommodate the carryover of
unspent 2012 -2013 Capital Project appropriations, for those projects where work and expenditures
will continue in Fiscal Year 2013 -2014; and
WHEREAS, the City Council also desires to accommodate a process for the carryover of
unspent 2012 -2013 operating expenditures (excluding personnel costs) for activities where work and
expenditures will continue in Fiscal Year 2013 -2014; and
WHEREAS, the action taken by this resolution shall approve the adoption of Fiscal Year 2013-
2014 Strategic Plan Update.
ATTACHMENT 2
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin does
hereby find, determine, declare and resolve as follows:
1. The Dublin City Council does hereby adopt the Fiscal Year 2013 -2014 Budget
Appropriation for the City of Dublin, as outlined in Exhibit A (Column A — Excludes DPIE
Contribution).
2. The City Council does hereby authorize the use of reserve funds, as outlined in Exhibit B.
3. The City Manager is hereby authorized to make expenditures and appropriations in
accordance with the Budget as adopted, with the exception of those expenditures which require prior
City Council approval, in accordance with the adopted City ordinances, rules and regulations.
4. The City Manager is authorized to transfer budgeted amounts between line items, provided
that the transfer is within the same depaFtMeRt aGti ,,+" and fund. A full accounting of these transfers
will be provided to the City Council during the quarterly financial reviews. A;, ��,
5. The City Council may also transfer appropriations from the Budgeted Contingent Reserve
upon adopting a formal budget change at a public meeting.
6. The City Council recognizes that the Budget as presented includes a Contingency for
Fiscally Responsible Adjustments ($270,000 appropriated in Activity 1901 — Line Item #81201),
which is not scheduled to be used in Fiscal Year 2013 -2014. As determined by fiscal outcomes as of
June 30, 2013 this funding may be available for appropriation in the subsequent fiscal year. The
Fiscal Year 2012 -2013 Budget includes a Contingency for Fiscally Responsible Adjustments in the
amount of $336,150. The City Manager is authorized to increase the appropriations for Fiscal Year
2013 -2014 by this amount to the extent the funds are available.
7. The City Council recognizes that the Budget as presented include a Contingency for fire
contract service cost adjustment ($402,909 appropriated in Activity 1901 — Line Item #81201). The
contingency is for potential Alameda County Fire Department 2013 COLA adjustment. The City
Manager is authorized to transfer the amount to Fire Department budget (Department 2401) if
needed.
8. The City Council recognizes that the Budget as presented also include a placeholder
($350,000 appropriated in Activity 1901 — Line Item #81201) for "Create a comprehensive marketing
and branding plan for the City" strategic initiative. The City Manager is authorized to transfer the
amount to Economic Development Department when Staff has identified the scope and estimated
implementation cost.
9. When revenue estimates exceed the amount identified in the Budget due to increases in
development applications and permit activity, inspection activity, recreation program activity, and any
other departmental activity which generates correlating revenues, as verified by the Administrative
ATTACHMENT 2
Services Director, the City Manager is authorized to increase the appropriations for Fiscal Year 2013-
2014 expenditures in an amount not to exceed the amount of increased
permtrelated revenue. Increased appropriations shall be documented in the financial records and
reported to the City Council as part of the on -going financial reporting.
10. When revenue estimates exceed the amount identified in the Budget due to increases in
grant revenues, as verified by the Administrative Services Director, the City Manager is authorized to
increase the appropriations for Fiscal Year 2013 -2014 expenditures in an amount not to exceed the
amount of increased grant revenue. Increased appropriations shall be documented in the financial
records and reported to the City Council as part of the on -going financial reporting.
11. The City Manager is authorized to make transfers among the various funds designated as
Transfers. This shall be consistent with the "Summary Appropriations by Major Fund" as presented
in the Preliminary Budget and Financial Plan; and fund transfers are reported as part of the regular
financial reports provided to the City Council and public.
12. The City Manager is authorized to increase the appropriations for Fiscal Year 2013 -2014
expenditures in an amount not to exceed the amount of funds encumbered or designated by the City
Manager as needed for expenses that did not occur prior to year -end but are expected to be
expended in Fiscal Year 2013 -2014 consistent with the original purpose. This ability to carry -over
funding shall not apply to savings from personnel services and shall only occur if the Department
Activity total for non - personnel expenditures were less than the amount budgeted for the same. This
must also be evaluated on a fund by fund basis. The actual amount of the increased appropriation
shall be reported to the City Council, and the City Manager may assign the fund balance in an
amount sufficient to account for the increase.
13. The City Manager shall be authorized to adjust the Fiscal Year 2013 -2014 appropriations
to account for the carryover of unspent capital project appropriations from Fiscal Year 2012 -2013.
All such adjustments shall be clearly recorded in the City Financial records and shall only be for
projects that remain incomplete as of June 30, 2013.
14. The City Manager is authorized to transfer budgeted capital project amounts between line
items, provided that the transfer is within the same project and fund, or between capital projects but
within the same funding source. Any revisions which alter a project budget by adding a new funding
source, Whinh alteF the pF9je_„+'s total expo dituFe are to be approved by the City Council.
15. The total projected appropriations to reserves for all funds are shown in Exhibit A.
16. The Dublin City Council does hereby adopt the Fiscal Year 2013 -2014 Strategic Plan
Update.
PASSED, APPROVED AND ADOPTED this 4th day of June, 2013.
AYES:
NOES:
ABSENT:
ATTACHMENT 2
ATTEST:
City Clerk
Mayor
ATTACHMENT 2
EXHIBIT A
FISCAL YEAR 2013 -2014 SUMMARY OF APPROPRIATIONS
Excluding DPIE DPIE Total
OPERATING BUDGET
General
GENERAL GOVERNMENT
City Council
$433,930
Community Improvements
$433,930
City Manager/City Manager/City Clerk
1,338,970
Parks
1,338,970
Elections
3,120
Streets
3,120
Central Services / Human Resources
507,180
TOTAL - Capital Improvements
507,180
Insurance
1,033,290
1,033,290
City Attorney
807,360
1
1 807,360
Administrative Services
2,274,140
2,274,140
Building Management
999,520
999,520
Non Departmental
1,494,810
1,494,810
TOTAL -General Government
$8,892,320
$0
$8,892,320
PUBLIC SAFETY
Police Services
$16,100,660
$16,100,660
Fire Services
11,742,590
11,742,590
Disaster Preparedness
168,810
168,810
Crossing Guards
111,890
111,890
Animal Control
389,580
389,580
Traffic Signals & Street Lighting
964,160
1
964,160
TOTAL - Public Safety
$29,477,690
$0
$29,477,690
TRANSPORTATION
Public Works Administration
$905,050
$905,050
Street Maintenance
509,770
509,770
Street Sweeping
125,400
125,400
Street Landscaping
1,484,630
1,484,630
Street Tree Maintenance
166,020
166,020
TOTAL - Transportation
$3,190,870
1 $0
1 $3,190,870
HEALTH & WELFARE
Waste Management
$2,862,420
$2,862,420
Environmental Programs
384,030
384,030
Social Seances
286,440
$25,000
311,440
Housing Programs
701,020
701,020
TOTAL - Health & Welfare
$4,233,910
$25,000
$4,258,910
CULTURE & LEISURE SERVICES
Community TV
$144,490
$144,490
Library Services
696,410
696,410
Park Maintenance
2,762,050
2,762,050
Heritage & Cultural Arts
1,237,870
1,237,870
Recreation & Community Services
4,188,810
4,188,810
Parks / Facilities Development
545,140
1
545,140
TOTAL - Culture & Leisure Services
$9,574,770
$0
$9,574,770
COMMUNITY DEVELOPMENT
Development Services (Planning & Building)
$4,629,830
$4,629,830
Engineering
2,534,830
2,534,830
Economic Development
970,450
970,450
TOTAL -Community Development
$8,135,110
$0
$8,135,110
TOTAL OPERATING BUDGET
$63,504,670
$25,000
$63,529,670
CAPITAL IMPROVEMENT BUDGET
General
$9,856,440
$9,856,440
Community Improvements
86,130
1 $134,663
86,130
Parks
16,602,440
(14,916,660)
16,602,440
Streets
11,771,900
1 ($14,781,997)
11,771,900
TOTAL - Capital Improvements
$38,316,910
$0
$38,316,910
INTERNAL SERVICE FUND BUDGET
TOTAL - Internal Service Fund $1,560,330 $1,560,330
APPROPRIATIONS TO RESERVES
General Fund
1 $134,663
1 $0
1 $134,663
Other Funds
1 (14,916,660)
(14,916,660)
TOTAL -APPROPRIATIONS TO RESERVES
1 ($14,781,997)
$0
1 ($14,781,997)
Exhibit B
Approved Appropriations From General Fund
Committed And Assigned Fund Balances
As presented in the Preliminary Budget and Financial Plan (Fiscal Years 2013 -2014 Update) the
source of funding includes allocations from reserves. In accordance with adopted policies related to
Fund Balance the City Council must authorize the use of certain reserve funds. The following
schedule identifies the reserves sources that are approved for use by the City Council as part of the
funding sources in the proposed budget.
Appropriations from Reserves
Economic Stability Reserve
Assigned For One -Time Initiatives (Operating)
Open Space Funding
Public Safety Complex
Maintenance Facility
Fiscal Year
2013 -2014
$0
$350,000
$2,000,000
$1,688,608
$3,765,865
ATTACHMENT 2