Present, Discuss, and Consider Action on an Ordinance to Amend the Town’s Annual Budget for the Fiscal Year Ending September 30, 2020 to Provide Funding for the Addison Circle Park Fountains, 2019 Bond Program Projects, Basin I Sewer Reroute Project, Customs Facility Project, Capital Equipment, Repairs, and Transfers.
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The Fiscal Year (FY) 2020 budget was adopted by Council on September 10, 2019. This is the first amendment for the FY2020 Town of Addison annual budget.
Each year, Finance staff reviews the budget to determine which items should be recognized with formal budget amendments. When budget variances occur that are outside of the authority of the City Manager these adjustments are presented to the Council in the form of a budget amendment.
Work began on the Addison Circle Park Fountain Project in January of 2019. Work was not completed as of Fiscal Year End 2019, and the full appropriation was not exhausted in 2019 and was not budgeted in 2020. The amount of $16,845 is requested to complete the project in Fiscal Year 2020.
Multiple projects have begun associated with the Town’s 2019 Bond Program approved by voters but were not included in the 2020 budget. On December 10th, 2019 Council approved a design contract with Jacobs engineering in the amount of $1,439,000 for Keller Springs and Airport Parkway. Additionally, a $24,000 contract for geotechnical services for the same projects has been approved. Also, on December 10, 2019 Council approved a reimbursement resolution to fund a boiler replacement at the Addison Athletic Club. The amount of that replacement was $50,000. Other contracts will be presented for Council approval for Traffic Control Systems ($600,000) and design services for the Addison Athletic Club ($450,000) soon. The total appropriation requested from the 2020 GO Bond Fund (bonds to be issued later) is $2,563,000.
Residual bonds funds in the 2014 Utility Certificates of Obligations Fund are requested to be utilized to fund a portion of the Basin I Sanitary Sewer Reroute project rather than operating funds in the amount of $810,000.
An amendment is needed in the Self-Funded Projects Fund. The unanticipated repair of the Police Department’s property room ventilation system was completed in January. The additional appropriation requested to fund the repair is $20,000.
On January 22, 2019, Council approved a resolution authorizing and interfund loan from the Infrastructure Investment Fund to the Airport Fund in the amount of $700,000. Appropriation is requested for Transfers-out in the Infrastructure Investment Fund and Major Tools and Equipment in the Airport Fund both for $700,000 while an offsetting Transfer-in of the same amount is recognized in the Airport Fund. An appropriation of $911,417 is requested as the cash funded portion of the Customs Facility Project, as planned, in the Airport fund which is offset by the recognition of $1,310,000 in land reimbursement grant awards.
The table below illustrates the net impact the proposed budget amendment has on each fund and in total:
| Fund |
Impact on Budgeted Expenditures |
Impact on Budgeted Revenues |
Impact on Fund Balance |
| Hotel Fund |
$16,845 |
$- |
($16,845) |
| 2020 GO Bonds |
$2,563,000 |
$- |
($2,563,000) |
| 2014 Utility CO Bonds |
$810,000 |
$- |
($810,000) |
| Self-Funded Special Projects |
$20,000 |
$- |
($20,000) |
| Airport Fund |
$1,611,417 |
$2,010,000 |
$393,583 |
| Infrastructure Investment Fund |
$700,000 |
|
($700,000) |
| Total |
$5,721,262 |
$2,010,000 |
($3,711,262) |
The attachments reflect the proposed budget changes by fund in the ordinance and budget amendment summary. |