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Home My WebLink AboutPO 6747: FY 18-19 BUDGET AMENDMENT NUMBER 3 4 City of z % ort rtltur www.PortArthurTx.gov INTEROFFICE MEMORANDUM Date: January 2, 2019 To: The Honorable Mayor and City Council Through: Harvey Robinson, Interim City Manager From: Andrew Vasquez, Finance Director RE: P.O. 6747 - FY18-19 Budget Amendment Number 3 Introduction: A budget amendment is requested to create a new Gaming Special Revenue Fund to properly account for separate activities associated with the enforcement of gaming regulations within Port Arthur. Special Revenue Funds are used to account for the proceeds of specific revenue sources that are legally restricted to expenditure for specified purposes. A transfer of$944,376, which represents the net of the revenue and expenditure amounts that were recorded in the General Fund from FY15 thru FY18 ($989,376) and the reduction of the FY19 transfer to Capital Reserve Fund($45,000). FY19 related expenditures budgeted in the Information Technology Department($24,200) and Development Services ($109,856) are requested to be moved as well creating a net increase to the General fund appropriation of $810,320. $87,500 in additional gaming expenditures is requested bringing the total appropriation in the Gaming Fund to $266,556. (See Attachment) In addition, $304,000 is requested to increase the Public Works appropriation for unanticipated expenditures. An additional $250,000 is needed in the Facilities Maintenance Division for repairs and remediation at City Hall including the basement, first floor and water intrusion on the fourth floor. An additional $54,000 is requested for drainage maintenance including a contract to clear the ditch line for MUD Ditch 1 and 2 in the amount of$33,900. Background: The FY 18-19 budget was approved on September 11, 2018. This is the third budget amendment requested for this budget year. Budget Impact: The above requests will increase the appropriation to the General Fund by $1,114,320 and decrease the ending fund balance by a total of$1,414,320. The Gaming Fund appropriation for FY19 will be $266,556 and the ending fund balance is expected to be $1,022,820. "Remember,we are here to serve the Citizens of Port Arthur" P.O.Box 1089 X Port Arthur,Texas 77641-1089 X 409.983.8101 X FAX 409.982.6743 \,\\111111.,// \- . doCiry of i otI Ithre! www.PortArthurTx.gov Recommendation: The attached Proposed Ordinance No. 6747 amends the budget to move gaming activities into a separate fund as well as increase the Public Works Budget and we recommend that the City Council approve it as presented. "Remember,we are here to serve the Citizens of Port Arthur" P.O.Box 1089 X Port Arthur,Texas 77641-1089 X 409.983.8101 X FAX 409.982.6743 GAMING FUND (New) Original Additional Revised Budget Requests Budget Revenues FY 19 Gami ng M whi ne Permits $ 300,000 $ 300.000 Transfer In-Genera Fund 989,376 989.376 Total Revenues 1,289.376 1,289.376 Expenditures Salaries and Benefits Regular Earnings 34,691 34,691 Overtime Earnings 35,000 35,000 Social Security 5,332 5,332 Retirement - - Workers Compensation 407 407 Terminating Pay 1,526 1,526 Total Salaries and Benefits 76,956 - 76.956 Supplies and Materials Office Supplies 7,000 7,000 Minor Equipment 2,700 2,700 IT Equipment(From IT Budget) 24,200 24,200 Other Supplies and Material 2,200 2,200 Total Supplies and Materials 36,100 - 36.100 Contractual Service Advertising 3,000 20.000 23,000 Communications 18,000 2.500 20,500 Total Contractual Services 21,000 22.500 43.500 Capital Outlay Equipment(From Fund 625) 45,000 45,000 90.000 Total Capital Outlay 45,000 45,000 90.000 Other Expenditures(Undercover Operations) - 20,000 20,000 Total Expenditures and Transfers 179,056 87.500 266,556 Net Revenues/(Expenditures) 1,110,320 1.022,820 Fund Balances Beginning of Year - - End of Year $ 1.110,320 S 1,022,820 P. O. NO. 6747 KD 12.19.18 ORDINANCE NO. AN APPROPRIATION ORDINANCE AMENDING THE CITY OF PORT ARTHUR BUDGET FOR THE FISCAL YEAR BEGINNING OCTOBER 1,2018 AND ENDING SEPTEMBER 30, 2019 BY $1,114,320 FOR THE GENERAL FUND, AND BY $266,556 FOR THE GAMING FUND. WHEREAS, in accordance with Article XII, Section 9, of the City Charter,the City Council may make emergency appropriations from time to time; and WHEREAS, the City Council may make budget amendments for emergencies under Section 102.009 and for Municipal purposes under Section 102.010 Local Government Code; and WHEREAS, on September 11, 2018, the City Council approved and adopted Ordinance 18-50 which appropriated the 2018-2019 budget; and WHEREAS, on October 30, 2018, the City Council approved and adopted Ordinance No. 18-66, which amended Ordinance No. 18-50. WHEREAS, on November 6,2018,the City Council approved and adopted Ordinance No. 18-68, which amended Ordinance No. 18-66. NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF PORT ARTHUR: Section 1. That the facts and opinions in the preamble are true and correct. Section 2. That the following funds/departments Budget be increased(decreased) as shown: General Fund Information Technology $ (24,200) Development Services $ (109,856) Public Works $ 304,000 Transfers Out $ 944,376 Gaming Fund $ 266,556 Section 3. That Section 4 of Ordinance 18-50 is amended to read: That there be and is hereby appropriated the sum of Seventy Million, Four Hundred Sixty Six Thousand, Four Hundred Sixty Four Dollars ($70,466,464) to the General Fund for the payment of the Operating Expenses,and necessary Capital Outlay for the City Government for the following Departments and uses: Department or Use Amended Inc./(Dec) Amended Budget Appropriation Budget Administration $ 1,613,294 $ 1,613,294 City Secretary 2,097,232 2,097,232 City Attorney 1,127,621 1,127,621 Finance 2,288,445 2,288,445 Information Technology 1,772,046 (24.200) 1,747,846 Human Resources 813,215 813,215 Development Services 5,986,202 (109,856) 5,876,346 Civic Center 774,571 774,571 Police 20,509,145 20,509,145 Fire 13,905,674 13,905,674 Public Works 7,962,925 304.000 8,266,925 Health 1,500,621 1,500,621 Parks &Recreation 3,048,723 3,048,723 Library 1,274,655 1,274,655 Transfers to Other Funds 4,677,775 944,376 5,622,151 Total $ 69,352,144 $ 1,114,320 $ 70,466,464 Section 4. That Section 24 of Ordinance 18-50 is added to read: That there be and is hereby appropriated the sum of Two Hundred Sixty Six Thousand, Five Hundred Fifty Six Dollars ($266,556) to the newly created Gaming Fund for the enforcement of gaming regulations within Port Arthur. Section 5. That unassigned Fund Balance in the General Fund shall be decreased by $1,414,320 and the estimated Fund Balance in the Gaming Fund shall be increased by $1,022,820 at the end of this fiscal year if all other revenues and expenditures come in as budgeted. Section 6. That a copy of the caption of this Ordinance be spread upon the minutes of the City Council. Section 7. That this Ordinance shall be effective immediately. READ, ADOPTED, AND APPROVED, this day of January, 2019, AD. at a Regular Meeting of the City Council of the City of Port Arthur, Texas by the following vote: Ayes: Mayor Councilmembers: NOES: Derrick Freeman, Mayor ATTEST: Sherri Bellard, City Secretary APPROVED AS TO FORM: hf_itil 4alec1-iaTi o, City Attorney " APPROVED FOR ADMINISTRATION: Harvey Robinson, Interim City Manager Andrew Vasquez, Director of Finance