AGENDA ITEM EXECUTIVE SUMMARY
ITEM TITLE
title
Enact the Annual Budget Ordinance Amendment to Re-Appropriate Funds for Prior Year Encumbrances and Other Commitments.
presenter
RESPONSIBLE STAFF, TITLE, DEPARTMENT
Amy Oland, Director, Business Management Department
STAFF RECOMMENDATION
That the Council enact the budget ordinance amendment to adjust for encumbrances and other commitments from FY 2024 to FY 2025.
body
ACTION/DECISION POINTS
In order to have the budgetary authority to spend this money, Council needs to enact the budget ordinance amendment.
LEGISLATIVE CONTEXT
Each year, as the new fiscal year budget gets underway, we ask the Council to re-appropriate funds for activities that cross over July 1st. These activities were anticipated and planned for in our budget preparation and are for routine activities and longer-term projects.
BACKGROUND AND CONTEXT
Encumbrances
* Encumbrances are obligations the Town committed to before June 30, 2024, through a contract or a purchase order. Since the materials or services weren't delivered before June 30th, we need to re-appropriate those funds in the 2024-2025 budget. Staff recommends carrying forward a total of $16,572,815 across all funds from last year to the 2024-2025 budget.
Other Commitments
* In addition to outstanding contracts and purchase orders, there are items that were planned for in our budget preparation but not completed before June 30, 2024. These projects include: Land Use Management Ordinance (LUMO) update $474,649, reimagining community safety $43,420, the penny for housing initiative $2,124,494, climate action plan $905,236, vehicle replacements $801,431, Transit ARPA funding held in reserve until projects are identified $4,605,835, North South bus rail transit project $4,026,687, transit vehicles ordered but not delivered/invoiced $10,467,670, and stormwater projects $2,108,251. Other carryforward items include workforce development training, Council-approved planning initiatives, ...
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