Agenda

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City Council Regular Meeting

Meeting Date:

12/10/2019

BACKGROUND

With Ordinance 19-T-23 the City Council of the City of Schertz approved the annual budget for FY 2019-20. Staff is proposing to amend the budget to encumber unused funds from FY 2018-19 for use in FY 2019-20.

Unspent funds at the end of the fiscal year are added to the fund balance. Due to time restrictions on equipment delivery and project delays some departments weren't able to spend the funds allocated to them in the previous fiscal year and those funds were add to the fund balance instead. In order to use these funds, staff recommends council approve a budget adjustment to move these funds out of the fund balance to be spent this fiscal year instead. This action will prevent the current year's budget being used up on purchases and projects left over from last year.

The items requested to encumber from the previous fiscal year are as follows:

The Fire Department is requesting to encumber from reserves $7,937 for 5 vehicle repeaters and cable. These are items needed in conjunction with the opening of the new fire station.

The Parks Department is requesting to encumber from reserves $50,000 for the Senior Center parking lot renovation and $16,089 for maintenance to the Veteran's Memorial. The parking lot enhancements will provide better layout for parking and the Veteran's Memorial needs regular maintenance for the remembrance pavers.

The Streets Department is requesting to encumber from reserves $20,514 for the North Schertz Sidewalk projects and $30,555.00 for the Mid Schertz Sidewalks projects. The City has begun sidwalk maintenance and extensions. The processes for area selection, engineering, and construction bid award pushed these projects in FY 2019-20.

The Facility Maintenance Department is requesting to encumber from reserves $16,515 for the replacement of the YMCA air conditioner unit. The City is responsiblef or structural repair including air conditioners on the Recreation Center leased to the YMCA. The funding was identified at the end of FY 2018-19 but the work invoices didn't arrive until FY 2019-20.

The Human Resources Department is requesting to encumber from reserves $50,000 for Wellness Programs and $15,000 to set up insurance provider links to the Human Resources Management system. These amounts were granted to the City by Blue Cross Blue Shield in FY 2018-19 and is proposed to be used in FY 2019-20.

To complete these purchases and projects without impacting the current year budget, the budget needs to be increased by the stated amounts.

Council approved this on December 3, 2019.

GOAL

To adjust the budget to provide funding to complete all fo the anticipated FY 2019-20 projects and the remaining FY 2018-19 projects.

COMMUNITY BENEFIT

N/A

SUMMARY OF RECOMMENDED ACTION

Approve the adjustment to complete the remaining purchases and projects from FY 2018-19.

FISCAL IMPACT

This adjustment will decrease the projected fund balance in the General Fund by $206,610. These funds were original expected to be spent in FY 2018-19 and by encumbering them for FY 2019-20 it will not have an impact on the City's 5 year plan.

RECOMMENDATION

Staff recommends approval of Ordinance 19-T-29 on final reading to encumber unused funds from FY 2018-19 for use in FY 2019-20.

Attachments
Ordinance 19-T-19