AGENDA #4d
TO: Roger L. Stancil, Town Manager
FROM: Loris R. Colclough, Interim Finance Director
SUBJECT: Annual Budget Ordinance Amendment to Reappropriate Funds for Prior Year Encumbrances and Other Obligations
DATE: September 10, 2007
The attached budget ordinance amendment would appropriate funds for encumbrances, previously approved grants, and capital improvement projects in various funds from the 2006-07 fiscal year.
BACKGROUND AND DISCUSSION
Encumbrances
After each fiscal year end, Council is requested to amend the current year budget ordinance to provide funding for encumbrances from the prior fiscal year. Encumbrances are obligations incurred by issuance of purchase orders for which payments were not made as of June 30, 2007, because materials or services had not been delivered. In accordance with generally accepted accounting principles, encumbrances were not included as expenditures for 2006-07 and must be reappropriated for payment during the 2007-08 budget.
Funds for these expenditures are shown in the 2006-07 Annual Financial Report on the balance sheets for each fund under the heading "Fund Balance-Reserved for Encumbrances."
Grant Fund Carryovers
The attached amendment would reappropriate $803,402 for unspent grant funds into the Grant Fund as follows:
|
|
Grant |
Total Grant |
Spent at |
Balance to |
|
|
Governor's Crime Commission - GANG Grant |
$ 49,977 |
$ 19,786 |
$ 30,191 |
|
|
Byrne Grant |
40,577 |
39,323 |
1,254 |
|
|
Orange County ABC Contribution |
8,975 |
2,059 |
6,916 |
|
|
Youth Initiative Partnership |
21,006 |
10,162 |
10,844 |
|
|
Camp Escapde |
6,219 |
1,656 |
4,563 |
|
|
SAFER Grant |
495,409 |
165,030 |
330,379 |
|
|
Surface Transportation Direct Allocation Grant |
522,000 |
200,000 |
322,000 |
|
|
Transit Planning 104f |
82,640 |
|
82,640 |
|
|
Project Homeless |
3,500 |
|
3,500 |
|
|
Highland Woods |
90,000 |
78,885 |
11,115 |
|
|
Total |
$ 1,320,303 |
$ 516,901 |
$ 803,402 |
CIP Project Carryovers
In addition to the reappropriations for encumbrances in various funds and grants, the attached amendment would also reappropriate a net total of $1,292,842 appropriated last year for various projects in the Capital Improvements Fund that were incomplete in 2006-07, and not encumbered, as shown below. Of this amount, about $499,000 is allocated for replacement of HVAC units at Town Hall. Other significant carry forward requests include about $154,000 for the Community Center renovation project, and about $130,000 for Cemetery Beautification. The projects are expected to be completed in 2007-08.
BUDGET ADJUSTMENTS TO 2007-08 CIP PROJECTS FUND
Based on CIP Fund Reconciliation at June 30, 2007
|
Project |
Encumbrances |
Needed to Complete Projects |
Total Recommended for Reappropriation |
|
|
|
|
|
|
Buildings / Facilities |
|
|
|
|
Fire Station #2 Capital Maintenance |
$ 35,500 |
$ 62,794 |
$ 98,294 |
|
Fire Station #3 Capital Maintenance |
|
95,000 |
95,000 |
|
Library Capital Maintenance |
|
49,500 |
49,500 |
|
Extraordinary Maintenance |
19,748 |
7,208 |
26,956 |
|
Town Hall HVAC Replacement |
44,110 |
498,711 |
542,821 |
|
Total Building / Facilities |
99,358 |
713,213 |
812,571 |
|
|
|
|
|
|
Infrastructure |
|
|
|
|
Sidewalks |
|
26,094 |
26,094 |
|
Cameron Avenue Railroad Crossing |
|
9,000 |
9,000 |
|
Parking Lots/Bike and Pedestrian Paths |
382 |
75,000 |
75,382 |
|
Jay Street Paving |
|
16,000 |
16,000 |
|
Traffic Signal System Upgrade |
75,877 |
83,575 |
159,452 |
|
Cemetery Beautification |
54,929 |
130,361 |
185,290 |
|
Total Infrastructure |
131,188 |
340,030 |
471,218 |
|
|
|
|
|
|
Parks and Other Public Use Facilities |
|
|
|
|
Small Parks Improvements |
38,751 |
8,325 |
47,076 |
|
Sport Art Gym |
|
34,279 |
34,279 |
|
Greenways |
|
34,694 |
34,694 |
|
Community Center Renovations |
600,251 |
153,842 |
754,093 |
|
Morgan Creek Signage Project |
|
4,603 |
4,603 |
|
Homestead Park Improvements |
|
3,856 |
3,856 |
|
Total Parks and Other Public Use Facilities |
639,002 |
239,599 |
878,601 |
|
|
|
|
|
|
Totals |
$ 869,548 |
$ 1,292,842 |
$ 2,162,390 |
|
|
|
|
|
RECOMMENDATION
That Council enact the attached budget ordinance amendment reappropriating unexpended obligations from the 2006-07 fiscal year and the attached multi-year capital projects ordinance.