HomeMy WebLinkAboutItem 4.06 Budget Change Fy 06-07
CITY CLERK
File # D~IiJ[]-~~
AGENDA STATEMENT
CITY COUNCIL MEETING DATE: October 16, 2007
SUBJECT:
Final Budget Changes For Fiscal Year 2006-2007
Report Prepared By: Paul S. Rankin, Administrative Services Dir. q7J/2.,
ATTACHMENTS:
RECOMMENDATION:~
FINANCIAL STATEMENT:
Budget Change Forms
Approve the Budget Changes
See Report
DESCRIPTION: Staff has reviewed the Preliminary Financial Reports and the Auditors are preparing the
final Comprehensive Annual Financial Report (CAFR) information for the Fiscal Year ending June 30, 2007. It
has been the City's past practice to have the City Council adopt year end adjustments prior to publishing the
CAFR. With the exception of a change in the Engineering Budget, the Budget Changes have been incorporated
in the Preliminary June Financial Statements. The adjustment to the Engineering Budget will be reflected in the
final CAFR.
City policies allow the City Manager to only make budget adjustments between line items which are within the
same activity (i.e. Department), using the same funding source. The City Manager is also authorized to make,
limited transfers from the Contingent Reserve. The City Council must approve all other adjustments to
appropriations. It is important to note that these changes will not result in General Fund expenditures being in
excess of revenues.
Proposed Adjustments
Some of the adjustments discussed in this report were anticipated in the estimated actual information presented
in the Preliminary 2007-2008 Fiscal Year Budget and Financial Plan. Most of the adjustments relat~_ to
situations where the total spending in a particular Activity (i.e. Department or Project) 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.
GENERAL FUND (001)
General Government: Increase bv $122.268
City Attorney Department (10300) comprised $117,480 of the adjustments required in this category. Legal
services are billed based upon the actual number of hours provided. The budget adjustment was required for
COPY TO:
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ITEM NO.
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G:\Audit\FY 06-07 Annual AUdit\Budget Changes Final\ag_06_07 _year end budget_changes.doc
two line items to balance the Legal Services budget. The General Legal Services exceeded the budget, a portion
of which was offset by fewer than budgeted expenditures for the litigation line item. An additional
appropriation of $66,400 for General Legal Services is required. Among the special projects requiring more
time than was originally estimated was work associated with the Municipal Code Update and Zoning Ordinance
Update. In addition the Reimbursable Legal Services line item requires a budget adjustment. This line item
captures expenses for City Attorney time expended on Development Applications and any other reimbursable
legal matters. The City recovers these costs from the applicant. During 2006/07 the level of activity was higher
than originally projected. An additional appropriation of $51,080 is necessary for the Legal Services -
Reimbursable line item. In the Elections activity (10700) the Alameda County contract services charges for the
November 2006 election, were higher than originally projected. This resulted in a need for an additional
appropriation of$4,788.
Transportation: Increase by $39.245
The expenditures in Transportation were approximately $39,245 over budget due to expenditures incurred in
Street Tree Maintenance (30400) and Street Landscape Maintenance (30500). An additional appropriation of
$27,863 for contract tree maintenance services is required. During completion of the pruning of street trees as
planned, additional locations were identified, including along the San Ramon Road Trail. This work was
necessary to improve safety by removing low hanging hazardous branches and trimming branches away from
the light standards to improve visibility. This work was not anticipated, but was necessary to insure the
continued safety of those using the trail. An additional appropriation of$II,382 is required in street landscape
maintenance due to cost overruns for water services.
Eneineerine: Increase by $191.693
The Engineering activity experienced expenses higher than the budget primarily due to: 1) A delay in the start of
construction ofCIP projects resulted in less staff time being allocated to CIP projects requiring these costs to bt;,-..
absorbed in General Engineering. Part ofthe budget overage in full time salaries was offset by savings in part- r
time salaries and benefit accounts. The budget increase required for the salary line item is $19,195. 2) Contract
Engineering services primarily attributable to several large development projects which proceeded more quickly
than anticipated. The costs for these services are recovered in fees charged to the developer. The amount of the
increase required for the contract services line item is $172,498.
Capital Improvement Proiects: Increase by $1.456
One capital project funded by the General Fund incurred a budget variance. Project 94942 Seasonal Street
Banners incurred costs of $1 ,228 more than the initial budget. These costs primarily related to additional set-up
charges to accommodate the final banner designs selected. In addition final costs associated with Project 93181
Habitat Monitoring Camera exceeded the budget by $228.
SUMMARY OF GENERAL FUND CHANGES
The total additional appropriation in the General Fund for all activities is $354,622. Even with these additional
expenditures, the budget will be balanced and General Fund revenues will exceed General Fund expenditures.
SPECIAL REVENUE AND CAPITAL PROJECT FUNDS
The following sections summarize Budget Changes required in various Special Revenue and Capital Project
Funds. The City financial records currently account for revenues and expenditures in over twenty different
Special Revenue and Capital Project 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.
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VehicJe Abatement Fund (201) Increase of $320 (Offsettine Reduction In Different Fund)
This fund is utilized for the County Vehicle Abatement Funds. In Fiscal Year 2006/07 the Sheriffs Technician
vehicle was outfitted with a specialized computer. Since the vehicle is used for a variety of assignments only a
pro-rata share of the computer cost was expended to this fund. This reduced the amount funded from the
General Fund.
State COPs Grant Fund (202) Increase of $753 (Offsettine Reduction In Different Fund)
This fund is utilized for the State portion of Police related expenses associated with the Police bicycle patrol
unit. Unanticipated funds were carried over from previous Fiscal Years as well as interest earnings in this fund
for Fiscal Year 2006-2007. Therefore an additional $753 appropriation is proposed for Police Personnel
Servicesl in this fund. The General Fund line item budget for police contract personnel will be decreased by the
same amount, resulting in no net increase in expenditures.
County RecycJineFunds (224) Increase Street Landscape Maintenance bv $1.742 (Decrease) - Project
95631 - Park Furniture Replacement Project
MCE Corporation selected a location to utilize recycled rubberized bark chips in a landscape area. In addition
to promoting the use of recycled material this also has positive impacts on the planting area. The area selected
for the use of the rubberized bark incurred costs which require an additional appropriation of $1,742. This is
proposed to be funded from project savings with the recycled products purchased as part of the Park Furniture
Replacement Project (Project 95631), resulting in no net increase in expenditures for this fund.
Traffic Coneestion Relief Fund (240) Increase Street Overlav Project by $15.419 (Offsettine Reduction In
Different Fund)
The Annual Street Overlay Project (#96580) utilize.s three different funding sources (State Gas Tax; Measure B;
and Traffic Congestion Relief Funds - (TCRF)). The TCRF funds have requirements that they be fully
expended within two years of receipt. This adjustment will assure that the funds including all accrued interest
were allocated and expended for authorized project expenses prior to June 30, 2007. The Measure B Fund line
item budget for improvements will be decreased by the same amount, resulting in no net increase in budgeted
expenditures.
Public Facility Fee Fund (310) Increase by $4.750
The variance in this fund is due to higher than expected costs incurred for the Civic Center Expansion Study
(Project 93910). The results of the Study were presented to the City Council March 20,2007.
Housine In Lieu Fund (380) Increase by $17.190
The variance in this fund is due to higher than expected costs incurred in legal expenditures related to the City's
affordable housing programs and to the City's new Non Residential Housing In Lieu fee program. In addition,
the City incurred support expenditures associated with the redevelopment of the Dublin Housing Authority
Arroyo Vista project. Approximately $4,889 of these costs will be reimbursed as part of an agreement with the
project developer. All expenditures in this fund are funded solely from housing in lieu fees received from
development. An additional appropriation of $17,190 in expenditures has been requested to match the 2006/07
expenditures.
ASSESSMENT DISTRICT FUNDS
Assessment District Funds are used to finance expenditures for specific maintenance activities in a clearly
defined geographic area. The parcels which benefit from these services are assessed for the cost of the
maintenance.
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Citywide Street Liehtine Fund (710) Increase by $11.335
The Citywide Street Light Assessment District covers most of the City west of Tassajara Road. The variance in
this fund is due to higher than expected Pacific Gas & Electric (PG&E) Company billings. The charges
included costs for lights added to the system that had not been previously billed by PG&E.
Doueherty Road Maintenance Assessment Fund (713) Increase Street Tree Maintenance by $1.117
(Decrease) Landscape Maintenance
Contract Street Tree Maintenance (30400) exceeded the budgeted funds by $1,117. This is proposed to be
funded from budgetary savings in the contract services for "Landscape Maintenance" (30500), resulting in no
net increase in expenditures for this fund. The additional work related to removal of several trees that presented
what a consulting Arborist deemed as a potential hazard to the public.
Santa Rita Maintenance Assessment Fund (716) Increase Street Tree Maintenance by $11.584 (Decrease)
Landscape Maintenance
Contract Street Tree Maintenance (30400) exceeded the budgeted funds by $11,584. This is proposed to be
funded from budgetary savings in the contract services for "Landscape Maintenance" (30500). It was
determined that the trees in this area would benefit from pruning for structural stability, since they were
exhibiting ever increasing distressed growth patterns. As noted the costs were offset from savings resulting in
no net increase in expenditures for this fund.
RECOMMENDATION
Attached are Budget Change forms which will allow for amendments to the budget consistent with this report.
Staff recommends that the City Council receive this report and authorize the Mayor to execute the attached
budget changes. This information will be reflected in the Final Comprehensive Annual Financial Report, which
is anticipated to be presented to the City Council later this year.
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CITY OF DUBLIN
BUDGET CHANGE FORM FISCAL YEAR 2006/2007
CHANGE FORM #:
New Appropriations (City Council Approval Required):
x From Unappropriated Reserves
From New Revenues
Budget Transfers:
Various Funds From Budgeted Contingent Reserve (1080-799.000)
Within Same Department Activity
x Between Departments (City Council Approval Required)
Other
Name: Professional Services
Account: 001-10300-741-000 $66,400
General Fund - City Attorney
Name: Professional Services - Reimburseable
Account: 00 I-I 0300-741-003 $51,080
General Fund- Elections - Contract
Name: Services
Account: 001-10700-740-000 $4,788
General Fund- Street Tree
Name: Maintenance - Contract Services
Account: 001-30400-740-000-740-000 $27,863
General Fund- Street Landscape $11,382
Name: Maint - Water
Account: 001-30500-725-010
Name: General Fund: Engineering -Salaries
Account: 001-90300-701-001 $19 195
General Fund: Seasonal Banner
Name: Project -Machinery & Equip
Account: 001-90300-740-072 $172,498
General Fund- Habitat Monitoring $228
Name: Camera - Machinery & Equip
Account: 001-93181-750.073
General Fund: Seasonal Banner
Name: Project -Machinery & Equip
Account: 001-94942-750-071 $1,228
General Fund - Police - Machinery Vehicle Abatement Fund - Police-
Name: & Equipment Name: Machinery & Equipment
Account: 001-20100-750-073 $320 Account: 201-20100-750-073 $320
General Fund - Police - Contract SLES/COPS Grant Fund - Police -
Name: Personnel Name: Contract Personnel
Account: 001-20100-740-00 I $753 Account: 202-20100-740-001 $753
Recycling Fund- Playground Recycling Fund- Street Landscape
Name: Renovation Project - Improvements Name: Maint - Improvements
Account: 224-95631-750.050 $1,742 Account: 224-30500-750.050 $1,742
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CITY OF DUBLIN
BUDGET CHANGE FORM FISCAL YEAR 2006/2007 .
'1'
CHANGE FORM #:
New Appropriations (City Council Approval Required):
x From Urtappropriated Reserves
From New Revenues
Budget Transfers: PAGE 2 OF 2
. Various Funds . From Budgeted Contingent Reserve (1080-799.000)
Within Same Department Activity.
x Between Departments (City Council Approval Required)
. Other
Name:
Account:
Measure B Fund- 2006/07 Overlay
Project - Improvements
217-96580-750.050
Name:
Account:
Dougherty Rd Assmt Fund - St
Landscape Maint - Improvements
713-30500-750.050
Name:
Account:
Santa Rita Assmt Fund - St
Landscape Maint - Contract Service
716-30500-740.000
Traffic Congestion Relief Fund -
2006/07 Street Overlay Project -
Name: Improvements
$15419 Account: 240-96580-750.050
Public Facility Fee Fund - Civic
Name: Center Expansion Project - Design
Account: 310-93910-740-078
Housing Fund - City Atty -
Name: Professional Services
Account: 380-10300-740-003
Housing Fund - City Atty -
Name: Professional Services
Account: 380-10300-740-003
Citywide St Light Assmt Fund -
Signals & St Lights - Electricity (Fr
-Name: Unappropriated Reserves)
Account: 710-20400-725.005
Dougherty Rd Assmt Fund - St Tree
Name: Maint - Contract Service
$1117 Account: 713-30400-740.000
Santa Rita Assmt Fund - St Tree
Name: Maint - Contract Service
$11 584 Account: 716-30400-740.000
$15419
$4750
$6,170
$11,020
$11335
$1117
$11 584
Reason for Budget Change: To reflect budget changes proposed as part of the City's year end adjustments to close the
financial records for 2006/07 - per the report to the City Council 10/16/2007.
Fin Mgr / ASD:
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City Manage~: .~... c::.--z9:-.. (: . .
. Slgna ure
Mayor:
Signature
Posted By:
Signature
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Date:
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Date:
10 /'3/0 :7
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Date:
Date:
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ATTACHMENT