DATE: May 4, 2018
TO: Board of Mayor and Aldermen
Budget & Finance Committee
FROM: Eric Stuckey, City Administrator
Kristine Tallent, Assistant City Administrator for Finance and Administration
Michael Walters Young, Budget & Strategic Innovation Manager
SUBJECT:
title
Consideration of Ordinance 2018-09 AS AMENDED, 4th Quarter 2018 Budget Amendments (05/10/18 Finance 4-0, 05/22/18 BOMA 1st Reading 8-0; 06/12/18 Amended, PH and 2nd BOMA Reading 7-0) THIRD AND FINAL READING
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Purpose
The purpose of this memo is to provide information to the Franklin Board of Mayor and Aldermen (BOMA) concerning amending the Fiscal Year 2018 Budget for compliance with State budgeting guidance regarding:
1. Deficit Fund Balances (fund's net accumulated revenues and expenditures),
2. Deficit Cash Balances (for funds with year-end receivables not collected by June 30), and
3. Ensuring authorizations in place to balance each fund's budget on a cash basis on June 30, 2018.
Background
The State Comptroller has provided guidance that budget amendments are to be on the cash basis and must occur prior to fiscal year end (June 30) to ensure no fund has a deficit fund balance or deficit cash balance at June 30.
To stay ahead of this responsibility, staff is proposing three budget amendments.
The amendments are as follows:
1. Year-End Transfers: This amendment has one component:
a. Transfer of $250,000 from the General Fund to the Sanitation Fund for the purpose of ensuring enough fund and a positive cash balance at year end. The money will remain in the SES fund and fall to fund balance there.
2. Capital Transfer: This amendment has two components:
a. Transfer of $1,500,000 from the Road Impact Fund to partially offset accrued deficits in the Multi-Purpose Capital Fund (310) attributable to road projects.
b. Transfer of $1,500,000 to the Multi-Purpose Capital Projects Fund to continue to reduce the accrued deficit in that fund. It is hoped that by the ...
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