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HomeMy WebLinkAboutOrdinance 21633-02-2015 Ordinance No. 21633-02-2015 AN ORDINANCE AMENDING BUDGET ORDINANCE NO. 21457-09-2014 TO ADJUST REVENUE AND EXPENDITURE APPROPRIATIONS AS FOLLOWS TO REFLECT ACTUAL COSTS OF IMPLEMENTATION OF SALARY ADJUSTMENTS: REDUCE $268,639.00 IN THE GENERAL FUND, REDUCE $73,513.00 IN THE CAPITAL PROJECTS SERVICE FUND, INCREASE $32,876.00 IN THE CULTURE AND TOURISM FUND, INCREASE $22,133.00 IN THE ENVIRONMENTAL PROTECTION FUND, REDUCE $14,706.00 IN THE EQUIPMENT SERVICES FUND, INCREASE $6,173.00 IN THE INFORMATION SYSTEMS FUND, REDUCE $13,584.00 IN THE MUNICIPAL AIRPORTS FUND, REDUCE $14,814.00 IN THE RED LIGHT ENFORCEMENT FUND, INCREASE $7,372.00 IN THE RISK MANAGEMENT FUND, AND REDUCE $28,752.00 IN THE STORMWATER UTILITY FUND; 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 Budget Ordinance No, 21457-09-2014, as amended, is amended to adjust revenue and expenditure appropriations as follows to reflect actual costs of implementation of salary adjustments: reduce expenditure appropriations by $268,639.00 in the General Fund and contribute to fund balance by the same amount; reduce expense appropriations by $73,513.00 in the Capital Projects Service Fund and contribute to net position by the same amount; increase expenditure appropriations by $32,876.00 in the Culture and Tourism Fund from use of fund balance in the same amount; increase expenditure appropriations by $22,133.00 in the Environmental Protection Fund from use of fund balance in the same amount; reduce expense appropriations by $14,706.00 in the Equipment Services Fund and contribute to net position by the same amount; increase expense appropriations by $6,173.00 in the Information Systems Fund from use of net position in the same amount; reduce expense appropriations by $13,584.00 in the Municipal Airports Fund and contribute to net position by the same amount; reduce expenditure appropriations by $14,814.00 in the Red Light Enforcement Fund and contribute to fund balance by the same amount; increase expense appropriations by $7,372.00 in the Risk Management Fund from use of net position in the same amount; and reduce expense appropriations by $28,752.00 in the Stormwater Utility Fund and contribute to net position by the same amount. SECTION 2. 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 3. That this ordinance shall be cumulative of Ordinance No. 21457-09-2014 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. Ordinance No. 21633-02-2015 Page 1 of 2 SECTION 4. This ordinance shall take effect upon adoption. APP r VED AS T O ORM AND LEGALITY: CITY SECRETARY Denis Elroy, ss tant City Attorney ry J. Ka ADOPTED AND EFFECTIVE: February 10, 2015 Ordinance No.21633-02-2015 Page 2 of 2 City of Fort Worth, Texas Mayor and Council Communication COUNCIL ACTION: Approved on 2/10/2015 - Ordinance No. 21633-02-2015 DATE: Tuesday, February 10, 2015 REFERENCE NO.: **G-18410 LOG NAME: 13131 PERCENTADJUST SUBJECT: Adopt Ordinance Amending Fiscal Year 2015 Budget to Adjust Department Appropriations and Use of Fund Balance and Net Position to Reflect Actual Costs of Implementing Salary Adjustments Resulting in a Cumulative Net Reduction in the Amount of$345,454.00 to the Total City Budget (ALL COUNCIL DISTRICTS) RECOMMENDATION: It is recommended that the City Council adopt the attached ordinance amending the Fiscal Year 2015 budget to adjust appropriations and use of fund balance/net position in the following funds in the noted amounts to reflect the actual costs of implementing salary adjustments: reduce the General Fund by $268,639.00, reduce the Capital Projects Service Fund by $73,513.00, increase the Culture and Tourism Fund by $32,876.00, increase the Environmental Protection Fund by $22,133.00, reduce the Equipment Services Fund by $14,706.00, increase the Information Systems Fund by $6,173.00, reduce the Municipal Airports Fund by $13,584.00, reduce the Red Light Enforcement Fund by $14,814.00, increase the Risk Management Fund by $7,372.00 and reduce the Stormwater Utility Fund by $28,752.00. DISCUSSION: Departments' Fiscal Year (FY) 2015 salaries budget included a 5 percent increase to fund general employee pay raises with 4 percent allocated to fund an across-the-board increase and the remaining 1 percent allocated to fund compensation adjustments for certain identified positions that were significantly below market. The Human Resources Department has worked with departments to identify those positions, and the compensation adjustments have been finalized. Although the actual cost of implementing the salary adjustments for the City as a whole was less than the total 1 percent amount that was appropriated, individual departments either had excess or insufficient appropriation. Therefore, the Budget Office is recommending adjustments to departmental budgets and use of fund balance/net position, as necessary, to reflect the actual appropriation needed to accommodate the salary adjustments. Upon approval of this Mayor & Council Communication (M&C), the Budget Office will adjust appropriations so that each department's revised salary budgets equal the actual amount needed. In cases where current appropriations are less than the actual salary increases, it is recommended that the appropriations be increased through use of fund balance/net position. In cases where the current budgeted amount is more than the actual salary increases, it is proposed that the appropriations be reduced and savings be deposited to fund balance/net position of the affected fund. Based on an assessment of the impacts of implementing the salary adjustments, Staff recommends the following adjustments with specific funds, departments and amounts as outlined below: Lognatne: 1313 1 PERCENTADJUST Page 1 of 4 GENERALFUND Del2artment Increase / (Decrease) In Departmental Appropriation City Attorney's Office ($ 21,760.00) City Auditor's Office ($ 9,834.00) City Manager's Office ($ 20,353.00) City Secretary's Office ($ 7,479.00) Code Compliance ($ 67,279.00) Financial Management Services $ 41,651.00 Fire ($ 12,937.00) Housing & Economic Development $ 25,134.00 Human Resources ($ 18,564.00) Library ($ 61,896.00)) Municipal Court ($ 89,116.00) Parks and Community Services $ 61,736.00 Planning and Development $ 36,846.00 Police ($ 40,391.00) Transportation and Public Works ($ 84,397.00) GENERAL FUND TOTAL ($268,639.00) Contribution to Fund Balance 1 ($268,639.00) CAPITAL PROJECTS SERVICE FUND De artment Increase / (Decrease) In Appropriation Transportation and Public ($73,513.00) Works Contribution to Net ($73,513.00) jPosition CULTURE AND TOURISM FUND Department Increase / (DecreaseLln Appropriation Culture and Tourism $32,876.00 Use of Fund Balance $32,876.00 ENVIRONMENTAL PROTECTION FUND Department u Increase / (Decrease) In Appropriation Logname: 13131PERCENTADNST Page 2 of 4 4�fransportation and Public $22,133.00 orks Use of Fund Balance $22,133.00 EQUIPMENT SERVICES FUND_ _ De artment Increase / (Decrease) In Appropriation Equipment Services 1 ($14,706.00) Contribution to Net ($14,706.00) Position INFORMATION SYSTEMS FUND Department Increase / (Decrease) In Appropriation IT Solutions Department -- $6,173.00 Use of Net Position $6,173.00 MUNICIPAL AIRPORTS FUND _ Department Increase / (Decrease) In Appropriation viation ($13,584.00) Contribution to Net ($13,584.00) Position RED LIGHT ENFORCEMENT FUND De artment Increase / (Decrease) In Appropriation Municipal Court ($14,814.00) Contribution to Fund ($14,814.00) Balance RISK MANAGEMENT FUND _ Department Increase / (Decrease) In Appropriation Financial Management $7,372.00 Services Use of Net Position $7,372.00 STORMWATER UTILITY FUND Department Increase / (Decrease) In Appropriation Transportation and Public ($28,752.00) Works _ Contribution to Net ($28,752.00) Logname: 13131 PERCENTADJUST Page 3 of 4 Position 1 1 NOTE: All amounts in this M&C have been rounded to the nearest dollar for presentation purposes, which may result in slight mathematical variations. The amount listed as the total for each fund is what is being appropriated in the attached ordinance. The cumulative impact of all of the listed adjustments is a net reduction of $345,454.00 to the total City budget for all funds. Although the actual cost of implementing salary adjustments for individuals who are paid out of the Crime Control and Prevention District Fund was $16,004.00 more than the 1 percent appropriation, staff anticipates that cost can be absorbed into existing appropriations, and no adjustment to that Fund is being recommended at this time. To implement industry best practices for funds management, the above budget adjustments are being implemented mid-year in FY 2015. FISCAL INFORMATION /CERTIFICATION: The Financial Management Services Director certifies that upon approval of the above recommendations and adoption of the attached ordinance, funds will be available in the current budgets, as appropriated, of the General Fund, the Culture and Tourism Fund, the Risk Management Fund, the Information Systems Fund, the Environmental Protection Fund, the Municipal Airports Fund, the Stormwater Utility Fund, the Capital Projects Service Fund, the Equipment Services Fund and the Red Light Enforcement Fund. Upon approval of this Mayor and Council Communication, all funds listed above will meet the minimum reserve requirements, as outlined in the Financial Management Policy Statements, except for the Equipment Service Fund, which is an Internal Service Fund and does not currently have a reserve requirement. FUND CENTERS: TO Fund/Account/Centers FROM Fund/Account/Centers f'ERTIFI"ATIONS: Submitted for City Manager's Office by: Susan Alanis (8180) Originating Department Head: Aaron Bovos (8517) Additional Information Contact: Ann Marie Mendez (8515) Logname: 13131PERCENTADJUST Page 4 of 4