Title
Approval to Appropriate 2019 Year-End Funds
Recommended Action
Committee Recommendation:
Finance Committee met on March 18 to review and discuss the 2019 year-end General Fund Financial position. The Committee directed staff to forward a recommendation to City Council to appropriate approximately $1,430,000; $495,000 to Capital for Building Repair and Replacement, and $935,000 to the 2020 Operating Budget as unallocated funds.
City Manager Recommendation:
Move to approve appropriating 2019 year-end General Fund savings of approximately $1,430,000: $495,000 to Capital for Building Repair and Replacement and $935,000 to the 2020 Operating Budget as unallocated funds, and direct staff to include these appropriations with the First Quarter Budget Amendment.
Report
Issue:
Whether to approve appropriating 2019 year-end General Fund savings of approximately $1,430,000: $495,000 to Capital for Building Repair and Replacement and $935,000 to the 2020 Operating Budget as unallocated funds, and direct staff to include these appropriations with the First Quarter Budget Amendment.
Staff Contact:
Debbie Sullivan, Administrative Services Director, 360.753.8499
Presenter(s):
None - Consent Calendar Item.
Background and Analysis:
The City ended 2019 with an approximate General Fund balance of $1,430,000. This amount remains after adjustments were made to the Emergency Reserve ($266,509) and the Budget Stabilization Reserve ($208,498).
Finance Committee discussed the 2019 year-end General Fund financial position on March 18, 2020. The Committee confirmed the Council’s commitment to allocate $495,000 to Building Repair and Replacement. They also discussed the uncertainly of 2020 General Fund Revenue due to the COVID-19 pandemic and recommended keeping unallocated funds of $935,000 in the 2020 Operating Budget. The intent is to use these funds as a buffer to help cover impacts to General Fund revenue as a result of the pandemic.
Neighborhood/Community Interests (if known):
None noted.
Options:
1. Approve Finance Committee’s recommendation and direct staff to include these appropriations in the First Quarter Budget Amendment.
2. Modify Finance Committee’s recommendation and direct staff to include Council’s approved changes in the First Quarter Budget Amendment.
3. Do not approve Finance Committee’s recommendation and request additional discussion at a future Finance Committee meeting.
Financial Impact:
Appropriates commitments of approximately $1,430,000; including $495,000 to the Capital Budget for Building Repair and Replacement and approximately $935,000 to the Operating Budget to cover a potential revenue shortfall as a result of the pandemic.
Attachments:
None