Agenda

Back to Calendar Return

Item # 12.

Work Session and Regular Meeting

Meeting Date:	09/24/2019
Department:	Finance
Pillars:	Gold Standard in Financial Health

AGENDA CAPTION:

Present, Discuss, and Consider Action on an Ordinance to Amend the Town's Annual Budget for the Fiscal Year Ending September 30, 2019 to Appropriate Funds for Storm Cleanup and the Sales Tax Audit, and to Reflect the Receipt of Insurance Proceeds; Providing that Expenditures Shall be Made in Accordance with Said Budget as Amended.

BACKGROUND:

The Fiscal Year 2019 budget was adopted by Council on September 11, 2018. This is the second amendment for the FY2019 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 the authority of the City Manager, these adjustments are presented to the Council in the form of a budget amendment.

Major items include:

General Fund

The first amendment moves funding from the General Fund fund balance into the Parks Department budget to cover the costs of the June 2019 storm cleanup in the amount of $235,000.
The second amendment adds funding to the Finance Department for payment to the Town's sales tax audit firm for audit collections. This payment in the amount of $305,000 can be funded from the increase in sales tax collections with no impact to fund balance.

Hotel Fund

An amendment is needed for the Addison Theatre Centre in the Hotel Fund. Insurance proceeds in the amount of $12,880 have been received for an accident that resulted in equipment damage. This amendment adds funding to cover the costs of replacing the damaged equipment.

Fund	Impact on Budgeted Expenditures	Impact on Budgeted Revenues	Impact on Fund Balance
General Fund	$540,000	$305,000	($235,000)
Hotel Fund	12,880	12,880	-

The attachments reflect the proposed budget changes by fund in the ordinance and budget amendment summary.

RECOMMENDATION:

Administration recommends approval.

Attachments
Ordinance - Fiscal Year 2019 Budget Amendment
Presentation - Fiscal Year 2019 Budget Amendment
Report - Fiscal Year 2019 Budget Amendment Summaries