AGENDA #4i

MEMORANDUM

TO:                  Mayor and Town Council

FROM:            W. Calvin Horton, Town Manager

SUBJECT:       Budget Amendment to Correct Allocation of Accounting Costs for the Stormwater Management Fund 

DATE:             February 14, 2005

The attached budget amendment would allocate $10,000 of the charges to the Stormwater Management Fund by the General Fund to cover the accounting costs incurred in the Finance Department.

BACKGROUND

When the Stormwater Fund was established on July 1, 2004, we included $10,000 in the charges to the General Fund for accounting costs incurred in the Finance Department; however, we did not allocate the $10,000 to the Finance Department.

DISCUSSION

The attached budget amendment would allocate the $10,000 of the charges to the Stormwater Fund by the General Fund specifically to the Finance Department for accounting services and related costs, as intended when the Stormwater budget was established.  Since the charges are currently included as a part of total General Fund revenues, the allocation to Finance would come from appropriated fund balance.

RECOMMENDATION

That the Council enact the attached Ordinance that would increase the Finance Department budget by $10,000.

AN ORDINANCE TO AMEND “THE ORDINANCE CONCERNING APPROPRIATIONS AND THE RAISING OF REVENUE FOR THE FISCAL YEAR BEGINNING JULY 1, 2004” (2005-02-14/O-5)

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, 2004” as duly adopted on June 14, 2004 and the same is hereby amended as follows:

This the 14^th day of February, 2005.