AGENDA #4k

MEMORANDUM

TO:                 Mayor and Town Council

FROM:           W. Calvin Horton, Town Manager

SUBJECT:      Correction of Annual Budget Amendment to Reappropriate Funds for Prior Year Encumbrances and Obligations 

DATE:            January 12, 2004

The attached budget amendment would correct an error in the annual budget amendment to reappropriate funds for prior year encumbrances and obligations.

BACKGROUND AND DISCUSSION

On September 22, 2003. the Council approved an amendment to reappropriate funds for prior year encumbrances and obligations.  The Public Housing Fund and the Transportation Fund received appropriation additions in excess of the correct amounts of $34,045 and $38,481, respectively.  The $72,526 in over appropriations was for inventory purchases that did not need to be reappropriated.  At the same time the Vehicle Replacement Fund was under appropriated by $64,725 for the encumbered purchases of rolling stock which was not received by June 30, 2003.

RECOMMENDATION

We propose that the Council enact the attached revised budget ordinance reducing the appropriations to the Public Housing Fund and the Transportation Fund and reappropriating funds to the Vehicle Replacement Fund as discussed above.

ATTACHMENT

1. Memorandum of October 8, 2003 (p. 3).

AN ORDINANCE TO AMEND “THE ORDINANCE CONCERNING APPROPRIATIONS AND THE RAISING OF REVENUE FOR THE FISCAL YEAR BEGINNING JULY 1, 2003” (2004-01-12/O-7)

BE IT ORDAINED by the Council of the Town of Chapel Hill that the Budget Ordinance entitled “An Ordinance Concerning Appropriations and the Raising of Revenue for the Fiscal Year Beginning July 1, 2003” as duly adopted on June 9, 2003 and the same is hereby amended as follows:

This the 12^th day of January, 2004.