HomeMy WebLinkAboutOrdinance 22434-09-2016 ORDINANCE NO.22434-09-2016
AN ORDINANCE DECREASING APPROPRIATIONS IN FISCAL YEAR 2016 NON-
DEPARTMENTAL BY $40,000.00, FROM UNENCUMBERED SURPLUS, AND INCREASING
APPROPRIATIONS AND EXPENDITURES IN THE NEIGHBORHOOD SERVICES PORTION
OF THE GENERAL FUND BY THE SAME AMOUNT, FOR THE PURPOSE OF FUNDING A
ROLLOVER ENCUMBRANCE TO FISCAL YEAR 2017 FOR ADDITIONAL SERVICES
BENEFITTING SENIOR CITIZENS IN THE CITY; 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 the operating budget of the City of Fort Worth for Fiscal Year 2015-2016, as enacted by Ordinance 21873-09-2015, as
amended, is hereby further amended to reduce appropriations in Non-Departmental by $40,000.00, representing available
operating surplus,for use to fund a rollover encumbrance.
SECTION 2.
That the operating budget of the General Fund for the City of Fort Worth for Fiscal Year 2015-2016, as amended, is hereby
further amended to increase appropriations and expenditures in the Neighborhood Services Department budget by
$40,000.00, for a rollover encumbrance to Fiscal Year 2017 for additional funding for services benefiting senior citizens in
the City of Fort Worth.
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 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instance said conflicting provisions of said prior ordinances and appropriations are hereby expressly repealed.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:
Denis Mc ,Asst ty Attorney ary a e ,C Se retary
ADOPTED AND EFFECTIVE: September 20,2016
Ordinance No. 22434-09-2016
Page 1 of I
City of Fort Worth, Texas
Mayor and Council Communication
COUNCIL ACTION: Approved on 9/20/2016 - Ordinance No. 22433-09-2016 & 22434-09-
2016
DATE: Tuesday, September 20, 2016 REFERENCE NO.: G-18828
LOG NAME: 13FY2016 WINDUP
SUBJECT:
Adopt Ordinance Enacting Fiscal Year 2016 Year End Budget Adjustments by Reallocating Resources and
Operating Surpluses to Offset Projected Shortfalls, to Fund Departmental Capital Projects and Outlays,
and to Partially Fund the IT Network Infrastructure Replacement Project, Authorize All Associated
Transfers, and Adopt Supplemental Appropriation Ordinance to Allocate $40,000.00 for a Rollover to Fund
Services Benefitting Seniors (ALL COUNCIL DISTRICTS)
RECOMMENDATION:
It is recommended that the City Council:
1. Adopt the attached ordinance making Fiscal Year 2016 year-end budget adjustments to address
projected departmental operational shortfalls for a net impact of$0:
a. Reducing the Police Department budget in the General Fund by $1,973,000.00 due to projected
savings to offset projected departmental shortfalls in other General Fund departments and to allocate
revenue for transfer to capital projects and outlays.
b. Increasing the following departmental General Fund budgets in the General Fund by $1,973,000.00 to
address projected shortfalls:
1) City Manager's Office by $125,000.00
2) City Secretary's Office by $23,000.00
3) Code Compliance Department by $440,000.00
4) Fire Department by $1,096,000.00
5) Financial Management Services Department by $110,000.00
6) Property Management Department by $179,000.00
2. Adopt the attached ordinance transferring existing appropriations of $5,968,000.00 from the General
Fund operating budget to General Capital Projects Fund:
a. Reducing the following departmental General Fund operating budgets by $5,968,000.00 due to
projected savings to fund City-wide capital projects or capital outlay.
1) Police Department by $4,487,000.00
2) Economic Development Department by $706,000.00
3) Park and Recreation Department by $231,000.00
4) Transportation/Public Works Department by $480,000.00
5) Library by $64,000.00
c. Increasing Non-Departmental by $5,968,000.00 and transferring to the General Capital Projects Fund.
d. Increasing estimated receipts and appropriations in the General Capital Projects Fund by
$5,968,000.00 from transferred operating surplus for the purpose of funding capital outlay and projects in
Lognarne: 13FY2016 WINDUP Page 1 of 5
the Economic Development, Fire, Library, Park and Recreation, Police, Property Management, and
Transportation/Public Works Departments.
3. Adopt the attached appropriation ordinances and transferring associated funds $3,148,560.00 to
provide partial funding for the IT Network Infrastructure Replacement Project:
a. Increasing appropriations in the Municipal Golf Fund by $73,512.00 and in the Group Health Insurance
Fund by $28,274.00 and decreasing fund balance/net position in each Fund by the same amount for
purposes of making a transfer to the IT Capital Projects Fund.
b. Transferring to the IT Capital Projects Fund the following amounts from the existing appropriations in
indicated sources, totaling $3,148,560.00:
1) $385,653.00 from the Culture and Tourism Fund
2) $73,512.00 from the Municipal Golf Fund
3) $42,976.00 from the Environmental Protection Fund
4) $11,309.00 from the Red Light Enforcement Fund
5) $308,749.00 from the Stormwater Utility Fund
6) $153,809.00 from the Solid Waste Fund
7) $10,179.00 from the Municipal Parking Fund
8) $88,214.00 from the Municipal Airports Fund
9) $1,927,135.00 from the Water and Sewer Fund
10) $90,476.00 from the Capital Project Services Fund
11) $28,274.00 from the Group Health Insurance Fund
12) $27,143.00 from the Risk Financing Fund
13) $1,131.00 from the Library Special Revenue Fund
c. Increasing estimated receipts and appropriations in the amount of$3,148,560.00 in the IT Capital
Projects Fund.
4. Adopt the attached supplemental appropriation ordinance decreasing Fiscal Year 2016 Non-
Departmental and increasing expenditures in the Neighborhood Services portion of the General Fund
budget for Fiscal Year 2017 by $40,000.00 from rollover of surplus funds from Fiscal Year 2016 in order to
fund services benefiting senior citizens in the City.
DISCUSSION:
The purpose of this Mayor and Council Communication is to take actions associated with closing out
Fiscal Year 2016. This includes increasing appropriations in certain departments that are projected to be
over budget offset by decreasing appropriations in departments that anticipate savings. In addition, the net
available surplus funds were evaluated during the Fiscal Year 2017 budget development process for
opportunities to fund one-time capital projects and capital outlays in order to reduce the needs in the
upcoming fiscal year. Also, the IT Network Infrastructure Replacement Project Phase II that is scheduled
during Fiscal Year 2017 can be partially funded with current year savings in the non-General Funds.
Finally, this M&C also takes actions to appropriate and rollover$40,000.00 in surplus from 2016 for
services that benefit senior citizens in the City.
The City's annual operating budget is formally enacted into law by City Council action adopting an
appropriation ordinance that establishes spending limits for each department's and fund's operation.
Based on third quarter re-estimates, it was determined that we anticipate surplus revenues of
approximately $2.2 million and expenditure savings of approximately $9.9 million in the General Fund. In
the past, Staff waited until the completion of the Comprehensive Annual Financial Report (CAFR) to effect
the settlement of General Fund departments. Going forward, the intent is to manage this process during
the current fiscal year and to allocate net savings to meet one-time capital needs when the fund balance
exceeds required reserves.
Logname: 13FY2016 WINDUP Page 2 of 5
Reallocating a Portion of Operating Surplus to Offset Department Shortfalls
Based on the most recent forecast, unless funds are reallocated the following departments are projected
to have deficits as of August 24, 2016:
General Fund Department Additional
Appropriations Purpose
City Manager's Office $125,000.00 Salaries and Benefits
City Secretary's Office $23,000.00 Health Insurance
Code Compliance Department $440,000.00 Mosquito Surveillance
(M&C C-27771)
Financial Management Services $110,000.00 JSalaries and Benefits
Fire Department $1,096,000.00 ehicle Maintenance and
repair _
Property Management
Department $179,000.00 [Electricity
otal General Fund $1,973,000.00
The most recent forecast indicates that there is more than sufficient budget in the Police Department
within the General Fund and adoption of the attached ordinance would reallocate available budget to the
extent needed to offset these deficits.
Reallocating a Portion of Operating Surplus to Fund Capital Projects and Outlays
The projected surplus in the General Fund exceeds the projected deficits. Therefore, in addition to
covering anticipated overages, adoption of the attached ordinance would reallocate available budget for
the following General Fund departments to cover needed expenditures as described, either from available
budget within their own department or from other departments:
General Fund Transfer to purpose
Department Capital
Economic Development $350,000.00 Economic Development Strategic Plan
Fire 1 $100,000.00 Physical Agility Equipment
Library $127,000.00 Central Library Bathrooms
[P & Recreation $541,000.00 Furniture, fixtures and equipment for three
ark �community centers and fleet equipment
Surveillance cameras, in-car camera upgrades,
Police [$2,650,000.00 electronic citation writers and part of gunshot
location system
Property Management 'Roof replacement at Gordon Swift Building,
Department F$1,200,000.00 sewer line at Fire Station 43, and construction
crew equipment
$1,000.000.00 Two flameless pothole filler trucks, traffic
Transportation/Public signal equipment such as crosswalk signals
Logname: 13FY2016 WINDUP Page 3 of 5
orks land LED lights; revision of the 1987 Street Plan
Manual
otal General Fund $5,968,000.00
Reallocating a Portion of Operating Surplus and Other Resources to Partially Fund the IT Network
Infrastructure Replacement Project
This M&C is also reallocating surplus budget from various sources for partial funding of the IT Solutions'
Network Infrastructure Replacement Project. In addition, two funds plan to use fund balance to provide
their portion of the project.
On June 16, 2015, the City Council approved an agreement to provide for replacement of various IT
network infrastructure (M&C C-27346). That M&C established an estimated total cost for the project of
$14.4 million and allocated $7 million to fund Phase I, with Staff committing to development the funding
strategy for the balance of the project. Phase I was completed during Fiscal Year 2016, and approval of
funding in this M&C, when combined with monies approved in the recently adopted Fiscal Year 2017
budget, represents an additional funding of the total estimated project costs. Staff will endeavor to achieve
the reduced final cost of$14 million.
The following funds are transferring money in the current fiscal year to the IT Capital Projects Fund from
surplus operating funds:
Fund Transfer
Culture and Tourism Fund 1 $385,653.00
Library Special Revenue Fund $ 1,131.00
Environmental Protection Fund $42,976.00
Red Light Enforcement Fund $11 ,309.00
Stormwater Utility Fund $308,749.00
Solid Waster Fund $153,809.00
Municipal Parking Fund 1 $10,179.00
Municipal Airports Fund $88,214.00
Water and Sewer Fund 1 $1,927,135.00
Capital Projects Services Fund $90,476.00
Risk Financing Fund 1 $27,143.00
otal $3,046,774.00
These two funds are transferring money in the current fiscal year to the IT Capital Projects Fund from
newly available fund balance/net position that is being appropriated in the attached ordinance:
Fund Transfer
Municipal Golf Fund $73,512.00
roup Health Insurance Fund $28,274.00
ff otal $101,786.00
The total amount of$3,148,560.00 will fund a portion of the Network Infrastructure Replacement Project,
with additional funding from accumulated gas lease revenue provided in the adopted Fiscal Year 2017.
Reallocating a Portion of Operating Surplus to be Rolled Forward to Fiscal Year 2017 for Senior
Logname: 13FY2016 WINDUP Page 4 of 5
Services
The final action recommended by this M&C responds to a City Council request raised during the recent
budget adoption process.
In the course of considering and adopting the Fiscal Year 2017 budget, support was voiced for increasing
the allocation of resources for services that benefit senior citizens in the City. The adopted Fiscal Year
2017 budget includes a General Fund allocation of$80,000.00 for direct monetary support to Senior
Citizen Services of Greater Tarrant County. In addition, the adopted budget provides approximately
$100,000.00 in Community Development Block Grant (CDBG) funding to the organization and continues
the funding that allows for in-kind support in the form of unpaid use of City facilities and equipment at
various Community and Recreation Centers throughout the City.
The adoption of the second attached ordinance would provide $40,000.00 in addition to the resources
identified above for additional funding for services that benefit seniors in the City during the coming year.
This M&C does not request approval of a contract with a business entity.
FISCAL INFORMATION / CERTIFICATION:
The Director of Finance certifies that upon the approval of the above recommendations and adoption of
the attached ordinance, funds will be available in the current operating and capital budgets, as
appropriated, of the General Fund, Municipal Golf Fund, Group Health Insurance Fund, and the General
Capital Projects Fund, and the IT Capital Projects 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 # moun
ID ID Year Chartfield 2
CERTIFICATIONS:
Submitted for City Manager's Office by: Susan Alanis (8180)
Originating Department Head: Lynda Johnson (6222)
Additional Information Contact: Terry Hanson (7934)
Logname: 13FY2016 WINDUP Page 5 of 5