HomeMy WebLinkAboutOrdinance 22354-08-2016 ORDINANCE NO.22354-08-2016
AN ORDINANCE INCREASING THE ESTIMATED RECEIPTS AND APPROPRIATIONS IN
THE MUNICIPAL AIRPORTS FUND BY $900,000.00, SUBJECT TO RECEIPT OF AIRPORT
REVENUE, FOR THE PURPOSE OF PAYMENT OF THE MANAGEMENT FEE FOR THE
AGREEMENT WITH ALLIANCE AIR SERVICES TO MANAGE ALLIANCE AIRPORT;
AUTHORIZING THE CHIEF FINANCIAL OFFICER TO MAKE CERTAIN TRANSFERS AND
ALLOCATIONS AS FUNDS ARE RECEIVED, UP TO THE TOTAL BUDGETED AMOUNT;
PROVIDING FOR A SEVERABILITY CLAUSE; MAKING THIS ORDINANCE CUMULATIVE
OF PRIOR ORDINANCES; REPEALING ALL ORDINANCES IN CONFLICT HEREWITH;
AND PROVIDING AN EFFECTIVE DATE.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH,TEXAS:
SECTION 1.
That in addition to those amounts allocated to the various City departments for Fiscal Year 2015-2016 in the Budget of the
City Manager, there shall also be increased estimated receipts and appropriations in the Municipal Airports Fund in the
amount of$900,000.00, subject to receipt of airport revenues, for the purpose of payment of the management fee required in
the management agreement with Alliance Air Services for Alliance Airport.
SECTION 2.
That appropriations in the Municipal Airports Fund in Section 1 of this ordinance include revenues that are anticipated to be
received during the remainder of the fiscal year. In accordance with Chapter X of the Charter of the City of Fort Worth,
Texas, by adoption of this ordinance, the City Council authorizes and delegates to City's Chief Financial Officer authority,
following the actual receipt or availability of such monies, to enact and make transfers and allocations of such monies in a
cumulative amount not to exceed the total amount budgeted, provided, however, that the Chief Financial Officer shall be
required to report such transfers and allocations to the City Council in periodic financial reports,which shall be submitted no
less than quarterly throughout the remainder of the fiscal year.
SECTION 3.
That should any portion, section or part of a section of this ordinance be declared invalid, inoperative or void for any reason
by a court of competent jurisdiction, such decision, opinion or judgment shall in no way impair the remaining portions,
sections,or parts of sections of this ordinance,which said remaining provisions shall be and remain in full force and effect.
SECTION 4.
That this ordinance shall be cumulative of Ordinance No. 21873-09-2015 and all other ordinances and appropriations
amending the same except in those instances where the provisions of this ordinance are in direct conflict with such other
ordinances and appropriations, in which instance said conflicting provisions of said prior ordinances and appropriations are
hereby expressly repealed.
SECTION 5.
This ordinance shall take effect upon adoption.
APPROVED AS TO FORM AND LEGALITY:
Den cE Irokj Sr.Assistant City Attorney Mary J.Kay ,, Ircretwo
ADOPTED AND EFFECTIVE: August 16.2016
Ordinance No.22354-08-2016
Page 1 of 1
City of Fort Worth, Texas
Mayor and Council Communication
COUNCIL ACTION: Approved on 8/16/2016 - Ordinance No. 22354-08-2016
DATE: Tuesday, August 16, 2016 REFERENCE NO.: **G-18796
LOG NAME: 55ALLIANCE FY 16 BUDGET
SUBJECT:
Adopt Ordinance Increasing Receipts and Appropriations in the Municipal Airports Fund by $900,000.00,
Subject to Receipt of Airport Revenues, for Payment of Alliance Airport Management Fees, and Delegating
Authority to the City's Chief Financial Officer to Effect Transfers and Allocations on Receipt of Funds Up to
the Total Budgeted Amount (COUNCIL DISTRICT 7)
RECOMMENDATION:
It is recommended that the City Council adopt the attached ordinance increasing estimated receipts and
appropriations in the Municipal Airports Fund by $900,000.00, subject to receipt of airport revenues, and
delegating authority to the City's Chief Financial Officer to effect transfers and allocations as funds are
received, up to the total budgeted amount.
DISCUSSION:
The City has a contract with Alliance Air Services to manage Alliance Airport. Under the terms of the
Agreement, Alliance Air Services is paid a percentage of all revenues generated at the facility. Over the
past year, the Aviation Department has seen substantial growth in the revenue collected at Alliance
Airport. This growth is largely due to an increase in aircraft landing fees generated.
The amount of landing fees collected during Fiscal Year 2015 was 35 percent more than the revenue that
was collected in fiscal year 2014. The City is projected to receive 21 percent more in landing fees in Fiscal
Year 2016 than was collected in Fiscal Year 2015. Receipts to-date for the year are $418,936.00 higher
than what they were projected to be in the adopted budget.
As Alliance Airport revenue exceeds projections, the management fee expense increases accordingly.
Adjustments are needed to the revenues and appropriations in the Airports Fund to prevent exceeding the
appropriated amount. This Mayor and Council Communication increases receipts and appropriations in
the Municipal Airports Fund by $900,000.00, subject to receipt of airport revenues. The additional
appropriation takes into account the nearly $419,000.00 in higher-than-budgeted revenues that have been
received year-to-date and adjusts projected receipts and expenditures for the remainder of the Fiscal
Year.
The ordinance also delegates authority to the Chief Financial Officer to transfer and allocate the additional
funds, up to the total budgeted amount, as they are received; investing the CFO with authority to "turn on"
the appropriation will prevent funds from being spent prior to their actual receipt but also allow the
Department's spending authority to be promptly adjusted and increased as funds are actually received.
This M&C does not request approval of a contract with a business entity.
FISCAL INFORMATION / CERTIFICATION:
Logname: 55ALLIANCE FY 16 BUDGET Page 1 of 2
attached appropriation ordinance, funds will be available in the current operating budget of the Municipal
Airports Fund.
FUND IDENTIFIERS (FIDs):
TO
Fund Department ccoun Project Program ctivity Budget Reference # moun
ID ID Year Chartfield 2
FROM
Fund Department ccoun Project Program ctivity Budget Reference # toul
ID ID Year Chartfield 2
CERTIFICATIONS:
Submitted for City Manager's Office by: Fernando Costa (6122)
Originating Department Head: Bill Welstead (5402)
Additional Information Contact: Aya Ealy (5403)
Logname: 55ALLIANCE FY 16 BUDGET Page 2 of 2