City of Alexandria, Virginia
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MEMORANDUM
DATE: JUNE 8, 2016
TO: THE HONORABLE MAYOR AND MEMBERS OF CITY COUNCIL
FROM: MARK B. JINKS, CITY MANAGER /s/
DOCKET TITLE:
TITLE
Introduction and First Reading. Consideration. Passage on First Reading of a Supplemental Appropriation Ordinance for the Support of the City Government for FY 2016.
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ISSUE: Consideration of a Supplemental Appropriation Ordinance for the support of the City government for FY 2016.
RECOMMENDATION: That City Council pass this proposed Ordinance (Attachment 2) on first reading on June 14, 2016, and schedule it for public hearing, second reading, and final passage on June 18, 2016.
DISCUSSION: Near the end of each fiscal year a Supplemental Appropriation Ordinance is presented for Council consideration in order to reflect additional grant revenues, donations and other technical appropriation adjustments previously planned but not yet enacted. This Ordinance includes the appropriation of City Grants, Other Special Revenue and Potomac Yard Funds. In addition, General Fund Balance is being appropriated at this time. Staff recommends the FY 2016 Appropriations Ordinance be amended to accomplish the following:
(1) Appropriation of grant revenue accepted or adjusted by the City in FY 2016, for specific programs, but not yet appropriated. A listing of grants is included as Attachment 2 and totals $1,175,537. The majority of these appropriations are small adjustments to existing grants. All of the adjustments are described in Attachment 3.
(2) Appropriation of Potomac Yard Fund. This appropriation of $337,000 of prior year Potomac Yard Special Tax District revenue to fund the Cash Capital contribution to the CIP. In FY 2016 the transfer out from the Potomac Yard Fund was budgeted in the operating budget at $2.1 million. Based on the spending to date, the CIP allocation is actually $2.5 million. This appropriation of lapsed prior year funds adjusts the interfund transfer to equal actual activity for FY 2016.
(3) Appropriation of General Fund Fund Balance. This appropriation of $77,500 includes $77,500 of the $0.6 million designation for economic development retention and attraction money approved in the FY 2017 Operating Budget.
(4) The transfer of General Fund Budget Authority Between Departments. Existing resources in a Non-Departmental account are recommended to be transferred to the City Attorney’s Office to cover costs already incurred for outside legal expertise for several complex cases under litigation. The amount proposed for transfer is $475,000. In addition, projected savings in several departments are proposed for transfer to the Non-Departmental account to cover the unbudgeted costs of the snow storm that occurred in late January 2016. In total, snow removal costs were approximately $3.4 million. The FY 2016 Operating Budget includes $0.8 million to pay for snow removal costs. Although staff is working with FEMA to obtain reimbursements for the costs that the City incurred, at this time the amount, if any, that the City will receive is unknown.
(5) The appropriation of donations and other special revenues received but not appropriated in the FY 2016 Operating Budget. This appropriation provides $150,000 to the Department of Planning and Zoning from developer contribution for the North Potomac Yard Re-Planning effort.
FISCAL IMPACT: The five sections of the Ordinance appropriate a total of $1,740,037 as follows:
Section 1 Appropriation of grant revenue authorized and adjusted,
But not yet appropriated $1,175,537
Section 2 Appropriation of Potomac Yard Funds $337,000
Section 3 Appropriation of General Fund Balance $77,500
Section 4 Transfer of General Fund Budget Authority Between Departments $0
Section 5 Appropriation of Other Special Revenue $150,000
ATTACHMENTS:
Attachment 1. Ordinance Cover
Attachment 2. Ordinance to Amend Fiscal Year 2016 Operating Budget
Attachment 3. Listing of Fiscal Year 2016 Grant Authorization and Adjustments
STAFF:
Kendel Taylor, Finance Director
Morgan Routt, Budget Director