Title
Consider an ordinance adopting Amendment No. 1 to the FY 2020-2021 Operating Budget. (Second Reading)
Body
The following budget restorations are recommended to allow General Fund departments to meet current operating needs. The proposal amendment increases the General Fund budget by a total of $871,000. These budget restorations will be funded by much higher-than-expected Sales Tax Revenues in the General Fund.
• All departments noted below made significant budget reductions for FY 2021 as the City was facing uncertain long-term revenue losses and service curtailments due to COVID related restrictions at the time the FY 2021 budget was adopted.
• The lifting of most COVID restrictions and the strong local economy has increased demands not currently allowed in the adopted budget. The increases are necessary to provide full, quality services to the community for the remainder of the fiscal year.
1) Library FY 2021 COVID-19 Budget Restorations: Library is seeking to restore their COVID-19 operating budget cuts totaling $26,000. These restorations would bring the Library’s budget back up to its FY 2019 level, when all programming and services were offered. The Library is expecting to return to full operations and hours starting this summer and for the rest of the fiscal year.
2) PARD FY 2021 COVID-19 Budget Restorations: The Parks and Recreation Department (PARD) is seeking to restore their COVID-19 operating budget cuts totaling $199,000. These restorations would bring PARD’s budget back up to its FY 2019 level, when all programming and services were offered.
3) Police FY 2021 COVID-19 Budget Cuts Restorations: The Police Department is seeking to restore their COVID-19 operating budget cuts totaling $162,000. These restorations would bring the Police Department’s budget back up to its FY 2019 level.
4) Transportation FY 2021 COVID-19 Budget Cuts Restorations: Transportation is seeking to restore their COVID-19 operating budget cuts totaling $444,000. These restorations would bring Transportation’s budget back up to its FY 2019 level and accommodate pricing increases.
Library Bookmobile Program
This portion of the amendment adds a Program Coordinator (1.0 FTE) and Bookmobile Operations to the Library budget. The total amendment for FY 2020-21 totals $40,000. This position will provide delivery of Library services to citizens not able to access the Library facilities.
General Self Finance Funds
When the FY 2020-21 budget was adopted, the City delayed committing GSFC funds for several needed projects to preserve a strong cash position during the uncertainty of the pandemic. The COVID restrictions have receded, and the local economy has rebounded. Therefore, staff recommends allocating excess funds to these projects for FY 2020-21. The following budget amendment transfers $5,300,000 in FY 2019 General Fund Excess revenues into the GSFC with $3,572,000 allocated and a remaining balance of $1,728,000 for future projects.
1) Restore Facility Maintenance and IT Replacement Funds. These funds were reduced from $750,000 to $500,000 each. This amendment restores those funds to their original target amounts.
2) The Kinningham House replacement has been on Council’s strategic planning list for several years. This $2 million will allow a reconstruction of that facility and improve PARD programming options.
3) PARD Holiday Decorations. The $100,000 allocated will fund a much-needed downtown Christmas Tree replacement and new Light Up the Lake Ornaments will enhance the successful event held in December 2020.
4) Planning and Development Services Software Replacement. The current Trakit software no longer meets department needs. PD&S and IT will be bringing a new option to Council soon to begin that replacement process.
5) Automated External Defibrillators in Fire Services. These units were overdue for replacement. Council approved the purchase at its May 13, 2021 regular meeting.