City of Alexandria, Virginia
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MEMORANDUM
DATE: APRIL 9, 2018
TO: THE HONORABLE MAYOR AND MEMBERS OF CITY COUNCIL
FROM: MARK B. JINKS, CITY MANAGER
DOCKET TITLE:
TITLE
Public Hearing, Second Reading and Final Passage of an Ordinance to Make Supplemental Appropriations for the Support of the City Government for Fiscal Year 2018. [ROLL-CALL VOTE]
BODY
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ISSUE: Consideration of a Reappropriation Ordinance to amend Fiscal Year 2018 Appropriation.
RECOMMENDATION: That City Council hold public hearing, second reading and final passage on April 14, 2018.
DISCUSSION: This Ordinance includes the appropriation of City Grants and Capital Funds; the transfer of General Fund appropriations between various departments and the appropriation of Other Special Revenue Funds and Donations.
Staff recommends that the Fiscal Year (FY) 2018 Appropriation be amended to accomplish the following purposes:
Section 1. The appropriation of Equipment Replacement Fund Balance to pay for new purchases not included in the FY 2018 Appropriation. This appropriation of $171,489 provides $96,900 in budget authority to the Fire Department to purchase vehicles that were planned for replacement in FY 2017, but due to the length of time to develop the specifications the purchase did not occur. The funds are being reappropriated to provide spending authority in the current fiscal year. In addition, $21,589 is being appropriated to the Department of General Services to replace equipment in the mailroom and purchase air quality improvement equipment for City Hall. The remaining $53,000 provides budget authority in the appropriate fund to replace two vehicles in the Department of Code Administration, which were planned for replacement in FY 2018.
Section 2. The appropriation of grant revenues accepted by departments, which need adjustment in FY 2017 or are not yet appropriated. The grants in this section reflect grant revenues that are included as estimates in the current year budget that are being adjusted to reflect the actual award, as well as new grants. New grant applications are approved by City Council. Where applicable, the date of the City Council meeting is included in the comments, as well as how the funds will be utilized. A listing of grants is included (Attachment 3) and totals $6,505,861. It should be noted that $3,587,833 million of the grants described will provide additional project budget authority in the Capital Improvement Program reflected in Section 4.
Section 3. The appropriation of donations and other special revenues received but not appropriated in the FY 2017 Operating Budget. This appropriation of $843,734 in donations and other special revenues as follows: $48,409 in donations received in FY 2018 or a prior year to the Office of Historic Alexandria for various programs including Caen Sister Cities, the Black History Museum, the Stabler-Leadbeater Apothecary Museum and the recent archaeological discoveries on the waterfront; $1,350 to the Office of Human Rights for the Gerry Bertier Scholarship Award and other related costs; $1,250 to TES for an Eco-City donation, and $0.7 million to Recreation in Developer Contributions for landscaping, trail construction maintenance and park maintenance at Braddock Gateway, Potomac Yard and Montgomery Park. Other Special Revenue appropriations include $26,265 in museum fee and sales revenue that will be used for additional ship preservation work and expenses at the Black History Museum, and $0.1 million to the Clerk of the Courts to provide refunds to AJIS users impacted by access limitations.
Section 4. The appropriation of project budget authority from grant revenues, donations, fees, Developer Contributions and SUP Conditions of Capital Improvement Program funds. This appropriation will provide budget authority of $4,338,357 in the Capital Improvement Program including $3,587,833 in grant adjustments that are described in detail in Attachment 3. Depending on the source of funding for the CIP, multiple funds have to be amended. Projects that are funded by General Fund Cash Capital are appropriated to the Non-Departmental Cash Capital account, and they are also appropriated in the Capital Improvement Program. In November 2017, City Council approved the appropriation of General Funds from the expenditure savings at the end of FY 2017 to be used as cash capital. The Fall Supplemental Appropriation Ordinance reflected the Cash Capital increase, but did not also include the corresponding increase in project budget authority in the CIP.
Section 5. The transfer of General Fund Budget Authority Between Departments. Existing resources in several departments are being transferred to allocate resources in the appropriate location. Transfers include $0.1 million from the Circuit Court to the Department of Information Technology Services to transfer the salary and benefit costs for one FTE. The transfer provides direct funding rather than requiring interdepartmental billing. From a Non-Departmental account, $20,000 is being transferred ($10,000 each) to the City Attorney’s Office and the Office of Human Rights to fund salaries for interns.
Section 6. The appropriation of Component Unit Funds. This appropriation of $4,650 recognizes additional state revenue that has been received by the Alexandria Libraries above the amount that was budgeted in FY 2018.
Section 7. The appropriation of General Obligation Bond Proceeds. This appropriation includes $43,230,766 in bond proceeds from the December bond refinancing.
FISCAL IMPACT: The seven sections of the ordinance appropriate a total of $55,094,857 as follows:
Section 1 Appropriation of Equipment Replacement Fund Balance $ 171,489
Section 2 Appropriation of grant revenues authorized and adjusted but not $ 6,505,861
appropriated in Fiscal Year 2018.
Section 3 Appropriation of donations, fees and other special revenue $ 843,734
Section 4 Appropriation of Capital Improvement Program revenues $ 4,338,357
previously unbudgeted.
Section 5 Transfer of General Fund Budget Authority. $ 0
Section 6 Appropriation of Component Unit Funds $ 4,650
Section 7 Appropriation of General Obligation Bond Proceeds $ 43,230,76
ATTACHMENTS:
Attachment 1: Ordinance Cover to Amend Fiscal Year 2018 Appropriation
Attachment 2: Ordinance to Amend Fiscal Year 2018 Appropriation
Attachment 3: Listing of Fiscal Year 2018 City of Alexandria Grant Adjustments
STAFF:
Kendel Taylor, Director, Department of Finance
Morgan Routt, Director, Office of Management and Budget