HomeMy WebLinkAbout10/07/2014 09 2014 Budget Amendment and Miscellaneous AppropriationsBUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEMENT
Item No. 9.
For Meeting of: October 07, 2014
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ITEM TITLE: First reading of an Ordinance amending the 2014 budget and
making appropriations from Unappropriated Fund Balances
within various Funds for expenditure during 2014 (no action
required; second reading on October21, 2014)
SUBMITTED BY: Cindy Epperson, Director of Finance & Budget
SUMMARY EXPLANATION:
During our development of the 2015 preliminary budget which requires analysis of 2014 budget
trends and estimates, we noted several instances where additional appropriation is warranted
so funds remain within budget at the end of 2014.
For additional costs in General Fund there is additional revenue to fully cover the costs. In all of
the other funds, except for Parks and Recreation, that is also the case. The Parks and
Recreation appropriation has a net effect of $31,100 which leaves an adequate fund balance.
We are asking for appropriation for the following purposes:
General Fund Indigent Defense $95,000
General Fund City Clerk - Temporary Salaries $20,000
General Fund City Hall Maintenance - Overtime $15,000
General Fund Economic Development Activities $25,000
General Fund Police Succession Plan Retirements $249,000
General Fund Fire — Overtime & Battalion Chief $190,720
Retirements
General Fund Local Match -Yakima Redevelopment Area $500,000
(YRDA) LIFT project
Parks & Recreation Fund Operational expenses for extended pool $35,000
hours
Parks & Recreation Fund Additional concession purchases — Kiwanis $10,000
Park
Parks & Recreation Fund Additional water costs $92,600
Streets & Traffic Eng Fund Equipment Maintenance and Operations $35,000
Central Business District Professional Services — Downtown Business
$40,000
Fund Incubator
Refuse Fund
Refuse Fund
Transit Capital Fund
Recycling Pilot Program
Additional Costs — Annexation Area
Interlocal expense — Firing Center Park &
Ride Parking Lot Expansion
$112,500
$75,000
$240, 000
The attached appropriation adds these items to the 2014 budget, which increases the total City
expenditure budget by $1,741,320, while the revenue budget is increasing by $1,710,220, with
a net use of reserves Citywide of only $31,100 in the Parks & Recreation Fund. The attached
narrative describes each program in detail and looks specifically at how each initiative is being
funded.
Resolution: Ordinance: X
Other (Specify): Schedule I
Contract: Contract Term:
Start Date: End Date:
Item Budgeted: NA Amount:
Funding Source/Fiscal
Impact:
Strategic Priority:
Insurance Required? No
Mail to:
Phone:
APPROVED FOR
SUBMITTAL:
RECOMMENDATION:
Public Trust and Accountability
City Manager
Read Ordinance by title only at the October 7, 2014 meeting. Pass Ordinance after second
reading at the October 21, 2014 meeting.
ATTACHMENTS:
Description
Upload Date
❑ Supplemental Narrative for 10/7/14 Appropriation 10/1/2014
❑ 10/7/14 Appropriation Ordinance 10/1/2014
❑ Oct 14Approp Ord Schedule 10/1/2014
Type
Cover Memo
Ordinance
Ordinance
Supplemental Narrative for October 7, 2014 Appropriation Ordinance
• 000 -General Fund
o Indigent Defense
No net use of reserves
$95, 000
Implementation of the Supreme Court ruling to reduce the case loads for Indigent
Defenders was postponed until 2015, but both the outside contract and the Legal
Prosecuting unit are staffing up in the last quarter of 2014 to be ready when the rule is
in place.
o City Clerk -Temporary Salaries
$20,000
To address the increase in Public Disclosure Requests (PDR), the City Clerk's office
is hiring temporary employees to stay in compliance with PDR rules and regulations.
o City Hall Maintenance -Overtime
$15,000
Council approved the recent remodeling of City Hall in the 2014 budget to be funded
by Real Estate Excise Tax 1. What we didn't budget is the staff involvement to
prepare for and oversee the contractors, which is requiring staff overtime.
o Economic Development Activities
$25,000
In its second year, the number of events sponsored by the City has grown. These
activities are also seeing a growth in concession revenue that totally offsets this
budget amendment.
o Police -Succession Plan Retirements
$249,000
Council approved the Police succession plan in the fall of 2013. It was anticipated at
the time that vacancies would offset the expense, but there is enough pressure on the
total Police budget, that this extraordinary expense could not be absorbed.
o Fire- Overtime & Battalion Chief retirement
$190,720
Fire has experienced position vacancies in the first half of the year. In many areas,
vacancies result in total savings, but in the case of Fire, vacancies cause additional
overtime for shift coverage. Additionally, a long-term employee with maximum leave
accruals retired. The savings from the position vacancies are not enough to make up
for the additional overtime and the retirement cashout. The City was awarded a
SAFER grant that is paying for three firefighters hired mid -year. The grant award is
being added to General Fund Revenue and covers about 2/3s of this budget increase.
o Transfer to Yakima Redevelopment Area (YRDA) Fund
$500,000
The original 2014 budget contemplated a donation of right-of-way for the road projects to meet
the $1 million match requirement for the Cascade Mill Site redevelopment projects. A donation
is not likely in 2014, so we needed to look at other options. The County is anticipating paying
about $0.5m for engineering design work on the East-West Corridor that is in the LIFT area,
which would leave about $0.5m for the City to match. General Fund revenues are coming in
stronger than anticipated, and General Fund is in the position to make this contribution of
$500,000 for the YRDA improvements out of current revenues.
TOTAL GENERAL FUND EXPENDITURE BUDGET INCREASE
General Fund Revenue
o Additional Sales Tax
o Additional Electric Utility Tax — Rates and Usage
o Additional Outside Water Utility Tax — Rates and Usage
o Additional Natural Gas Utility Tax — Rates and Usage
o Additional Economic Development Concession Revenue
o SAFER Grant for newly hired Firefighters — 6 mos
TOTAL GENERAL FUND REVENUE BUDGET INCREASE
• 131 -Parks and Recreation Fund Total net use of reserves
o Operational expenses for extended hours at the pools
$1,094,720
$380,000
$265,000
$45,000
$250,000
$25, 000
$129,720
$1,094,720
$31,100
$35,000
Higher demand for services resulted in both Lions and Franklin pool extending their operating
hours. This expense is partially being offset by additional admissions/concession revenue.
o Additional concession purchases-Kiwanis Park
$10,000
The new fields at Kiwanis Park are generating additional costs -primarily in concession
inventory. The sales more than offset this increased cost.
o Additional water costs
$92,600
The extremely hot weather this summer resulted in higher than budgeted water costs.
o Purchase Arts Van $6,500
Allied Arts of Yakima Valley owns an arts van that they used in the parks for "hands-on" art
projects for children in the community. Since Allied Arts is going out of business they offered to
sell the van to the City for $5,500. Both the Parks and Recreation and YPAL have expressed
an interest in using the van for programs. The amount of $6,500 is requested to supply both the
initial purchase and operating costs (i.e. maintenance, fuel, art supplies, etc.).
TOTAL PARKS & REC EXPENDITURE BUDGET INCREASE $144,100
Parks & Recreation Fund Revenue
o Additional Property Tax
o Additional Utility Tax Transfer
o Additional Pool Admissions — Usage
o Additional Kiwanis Park Concessions Revenue — Usage
TOTAL PARKS & REC REVENUE BUDGET INCREASE
$40,000
$48, 000
$10,000
$15, 000
$113,000
The Parks & Recreation Fund Balance is adequate for the $31,100 net use of reserves.
• 141 -Streets & Traffic Engineering Fund - No net use of reserves
o Equipment Maintenance and Operations
$35, 000
With implementation of the new Financial Management System, maintenance performed by
Equipment Rental is being charged "real time" to the operating funds. The budget was set
based on the prior year actual maintenance costs, and current maintenance costs are
exceeding the budget. There is additional revenue to cover this additional cost.
Streets and Traffic Engineering Fund Revenue
o Additional Property Tax $15,000
o Additional Miscellaneous Revenue -Rebates, external services $20,000
TOTAL STREETS & TRAFFIC ENG. REVENUE BUDGET INCREASE $35,000
• 321 -Central Business District Capital Fund - No net use of reserves
o Professional Services -Downtown Business Incubator $40,000
o Revenue -State Economic Development Grant $40,000
The City received a grant to study at the feasibility and possible implementation of a Downtown
Business Incubator project.
• 471 -Refuse Fund -
No net use of reserves
o Recycling Pilot Program $112,500
o Additional Costs -Annexation Area $75,000
$187,500
o Revenue -Dept of Ecology Recycling Grant $37,500
o Revenue -Increase in Automated Residential Service $150,000
$187,500
Council approved a recycling pilot program, which was conducted through the summer. This
program required the purchase of additional carts and fuel, and the City received a grant to fund
a consultant to prepare an evaluation of the pilot program and recommend a plan to go forward
with a recycling program. The other event affecting this budget is adding an annexation area.
Both revenues and expenses were conservatively estimated for this new service, and the
Refuse Fund is experiencing additional revenue that is adequate to cover additional costs for
both the annexation and the recycling pilot program.
• 464 -Transit Capital Fund — No net use of reserves
o Interlocal expense -Firing Center Park & Ride Parking Lot Expansion $240,000
o Revenue -Washington State Dept of Transportation Grant $240,000
The City received a grant to improve and expand the Park & Ride Parking Lot at the entrance to
the Firing Center right off Interstate 84.
AN ORDINANCE
ORDINANCE NO. 2014
amending the 2014 budget for the City of Yakima; and making
appropriations from Unappropriated Fund Balances within various
funds for expenditure during 2014 for purposes described in the
attached Schedule.
WHEREAS, the various funds indicated on the attached Schedule 1 contain
Unappropriated Fund Balances available for appropriation and expenditures during 2014 in
various amounts and for the purposes mentioned in the attached Schedule, and
WHEREAS, at the time of the adoption of the 2014 budget it could not reasonably have
been foreseen that the appropriation provided for by this ordinance would be required; and the
City Council declares that an emergency exists of the type contemplated by RCW 35.33.091
and that it is in the best interests of the City to make the appropriation herein provided, now,
therefore,
BE IT ORDAINED BY THE CITY OF YAKIMA:
Section 1: Appropriations are hereby made, for expenditure during 2014, from
Unappropriated Fund Balances in the various Funds to the various accounts and in the various
amounts, and for the various specific purposes, all as specified in the Schedule attached hereto
and incorporated herein.
Section 2: This ordinance is one making an appropriation and shall take effect
immediately upon its passage, approval and publication as provided by law and by the City
Charter.
PASSED BY THE CITY COUNCIL, signed and approved this day of
, 2014.
ATTEST:
MICAH CAWLEY, MAYOR
CITY CLERK
First Reading:
Publication Date:
Effective Date:
City of Yakima
2014 Appropriation Schedule
SCHEDULE I
Appropriate out of unappropriated fund balances of the various funds and in the various
amounts and for the purposes as described:
ACCOUNT
AMOUNT FUND TOT. DESCRIPTION
GENERAL FUND
Indigent Defense
001 109.4100
Legal -Prosecution
001 152.1110
City Clerk
001 144.1120
City Hall Maintenance
001 224.1200
Economic Development
001 251.4100
Police
001 313.1300
001 313.1400
001 319.1300
001 319.1400
Fire
001 328.1400
001 322.1200
Transfer
001 601.0055
Total General Fund Expenditures
General Fund -Revenue
001 895.1301
001 895.1602
001 895.1603
001 895.1603
001 895.6227
001 895.3113
Total Revenues
Net Use of Fund Balance
50,000 $50,000 Professional Services -Indigent Defense contract
45,000 $45,000 Permanent Salaries -staffing for Indigent Defense rule change
20,000 $20,000 Temporary Salaries
15,000 $15,000 Overtime -City Hall remodel
25,000 $25,000 Professional Services -Economic Development activities
55,000 Police Patrol -Succession plan retirements -Severance
72,000 Police Patrol -Succession plan retirements -Leave accrual cashouts
55,000 Police Admin -Succession plan retirement -Severance
67,000 $249,000 Police Admin -Succession plan retirements -Leave accrual cashouts
65,000 Fire -Battalion Chief retirement -Leave accrual cashouts
125,720 $190,720 Fire -Overtime for Shift coverage
$500,000 $500,000 Transfer to Yakima Redevelopment Area Fund
$380,000
$265,000
$45, 000
$250,000
$25,000
$129,720
$1,094,720
$1,094,720
$0
Sales Tax
Electric Utility Tax
Outside Water Utility Tax
Natural Gas Utility Tax
Economic Development Concessions
SAFER Grant for Firefighters -6 mos
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City of Yakima
2014 Appropriation Schedule
SCHEDULE I
Appropriate out of unappropriated fund balances of the various funds and in the various
amounts and for the purposes as described:
ACCOUNT
AMOUNT FUND TOT. DESCRIPTION
PARKS & RECREATION FUND
131 521.1120
131 523.3112
131 523.4704
131 515.3400
131 512.4704
131 541.4704
131 543.0055
Total Expenditures
Parks and Recreation -Revenue
131 895.1101
131 895.0050
131 895.4714
131 895.6228
Total Revenues
$15,000 Temporary salaries -extended hours at Lions pool
$10,000 Pool supplies -extended hours
$10,000 Water -Swimming Pools
$10,000 Items purchased for resale-Kiwanis Park
$7,100 Water -Fisher Golf Course
$85,500 Water -Parks Maintenance
$6,500 Transfer to Equip Rental to purchase Arts Van
$144,100
$40, 000
$48, 000
$10,000
$15,000
$113,000
Net Use of Fund Balance $31,100
Property tax greater than estimate
Utility tax transfer from General Fund
Franklin Pool admission
Kiwanis Park Concessions
STREETS & TRAFFIC ENG. FUND
141 413.4892 $35,000 Equipment Repair -Parts
Total Expenditures $35,000
Streets -Revenue
141 895.1101 $15,000 Property tax greater than estimate
141 895.6919 $20,000 Misc Revenue -Rebates, external services
Total Revenues $35,000
Net Use of Fund Balance $0
CENTRAL BUSINESS DISTRICT FUND
321 258.4100
Total Expenditures
CBD -Revenue
$40,000 Professional Service -Downtown Business Incubator
$40,000
321 895.3770 $40,000 Grant for Downtown Business Incubator
Total Revenues $40,000
Net Use of Fund Balance
$0
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City of Yakima
2014 Appropriation Schedule
SCHEDULE I
Appropriate out of unappropriated fund balances of the various funds and in the various
amounts and for the purposes as described:
ACCOUNT
AMOUNT FUND TOT. DESCRIPTION
REFUSE FUND
471 471.3112
471 471.3200
471 478.4100
471 477.4453
471 472.4706
Total Expenditures
Refuse -Revenue
471 895.3445 $37,500
471 895.4339 $150,000
Total Revenues
Net Use of Fund Balance
$50,000 Operating Supplies - Recycle Pilot Program
$25,000 Fuel - Recycle Pilot Program and annexation area
$37,500 Prof. Services -Recycling Evaluation
$25,000 State Excise Tax
$50,000 Yakima County Landfill - (Annexation area)
$187,500
$187,500
$0
Dept of Ecology Grant -Recycling
Automated Residential Service
YAKIMA REDEVELOPMENT AREA
Yakima Redevelopment Area -Revenue
323 895.0050 $500,000 Transfer from General Fund to match LIFT expenses
Total Revenues $500,000
Net Use of Fund Balance $0 Not applicable --projects are already budgeted
TRANSIT CAPITAL FUND
464 451.5210
Total Expenditures
Transit Capital -Revenue
464 895.3458
Total Revenues
Net Use of Fund Balance
$240,000 Interlocal expense -Firing Center Park & Ride Parking Lot
$240,000
$240,000 Grant Award
$240,000
$0
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