Print Back to Calendar Return
  9.       
City Council Regular Meeting
Meeting Date: 06/28/2022  

BACKGROUND
The Schertz/Seguin Local Government Corporation has a Retained Earnings Policy that sets a threshold for the minimum retained earnings to be held in the operating fund. By previous SSLGC Board action, the minimum is set at three months of operating expenditures.
 
SSLGC Staff is recommending a transfer to the SSLGC Operating fund in the amount of $380,000; $330,000 of this will be used to for Chemicals and $50,000 of this will be used for installation of GVEC fiber internet at the Gonzales Water Treatment Plant and the Hal Baldwin Pump Station to strengthen SCADA communications and improve internet connectivity.
 
SSLGC Staff is recommending a transfer to the Rate Stabilization fund in the amount of $300,000 to aid in reducing future rate increases for our customers. In addition, these funds will be available for use to reimburse the Guadalupe Water Treatment Plant’s short-term expenditures when it comes online in 2023.
 
SSLGC Staff is recommending a transfer to the SSLGC Repair/Replacement Fund in the amount of $596,669; $500,000 of this amount will be used for repair and replacement project expenditures and $96,669 will be used to pay for cattle guards and fencing at the Guadalupe Water Treatment Plant site.  
 
The SSLGC Board approved this action at their regularly scheduled board meeting on June 16, 2022.
 
GOAL
Approve the SSLGC Budget Amendment transferring $380,000 from the Retained Earnings Fund to the SSLGC Operating Fund; transferring $300,000 from the Retained Earnings Fund to the Rate Stabilization Fund; and transferring $596,669 from the Retained Earnings Fund to the SSLGC Repair and Replacement Fund.
 
COMMUNITY BENEFIT
The City of Schertz is a member of the SSLGC. It is through the SSLGC that the City provides water to its residents.  Approval of the budget amendment will ensure that the citizens of Schertz will continue to receive this vital resource and service. 
 
SUMMARY OF RECOMMENDED ACTION
Staff recommends approval of the Resolution for the Budget  Amendment to the FY2021-2022 Annual Budget.
 
FISCAL IMPACT
No fiscal impact.  This budget amendment is based on SSLGC revenue.
 
RECOMMENDATION
Staff recommends approval of 22-R-67.
 
Attachments
SSLGC Resolution R22-06
Resolution 22-R-67

AgendaQuick©2005 - 2024 Destiny Software Inc., All Rights Reserved