M&C Review


COUNCIL ACTION:  Approved on 9/27/2016 - Ordinance No. 22454-09-2016 & 22455-09-2016

DATE: 9/27/2016 REFERENCE NO.: G-18843 LOG NAME: 60FY16 IMPACT FEE TRANSFER
CODE: G TYPE: NON-CONSENT PUBLIC HEARING: NO
SUBJECT:   Adopt Appropriation Ordinances Increasing Estimated Receipts and Appropriations in the Amount of $3,623,005.00 in the Water Capital Projects Closed Fund and in the Amount of $2,639,672.00 in the Sewer Capital Projects Closed Fund and Authorize Transfer in the Total Amount of $6,262,677.00 to the Water and Sewer Operating Fund for the Purpose of Paying Debt Associated with Impact Fee-Eligible Projects (ALL COUNCIL DISTRICTS)

RECOMMENDATION:

It is recommended that the City Council:

1.  Adopt the attached appropriation ordinances increasing estimated receipts and appropriations in the Water Capital Projects Closed Fund in the amount of $3,623,005.00 and in the Sewer Capital Projects Closed Fund in the amount of $2,639,672.00 from impact fees; and

2.  Authorize the transfer to the Water and Sewer Operating Fund in the total amount of $6,262,677.00, $3,623,005.00 from the Water Capital Projects Closed Fund and $2,639,672.00 from the Sewer Capital Projects Closed Fund for the purpose of paying debt associated with impact fee-eligible projects.

 
DISCUSSION:

During the retail cost of service studies, it was determined that the use of impact fee revenues could lower the amount of water and sewer service revenue required to balance Fiscal Year 2015-2016 budgeted revenues and expenditures. While Section 35-70.9 (b) of the City Code, " Use of proceeds of impact fee accounts," prohibits the use of impact fees for operating expenses, those proceeds can be used to pay principal and interest on debt associated with projects eligible to be funded by impact fees. This transfer of the total amount of $6,262,677.00, $3,623,005.00 from Water Impact Fee revenue and $2,639,672.00 from Wastewater Impact Fee revenue to the Water and Sewer Operating Fund will be used to pay principal and interest on existing revenue bonds used to fund impact fee-eligible projects.

This M&C does not request approval of a contract with a business entity.
 
FISCAL INFORMATION/CERTIFICATION:

The Director or Finance certifies that upon approval of the above recommendations and adoption of the attached appropriation ordinances, funds will be available in the current Fiscal Year 2016 operating budget, as appropriated, of the Water and Sewer Fund and Water and Sewer Capital Projects Closed Funds. In the Capital Projects Fund the current unappropriated revenue exists in the amount of $8,355,589.69.  After appropriation and transfer of $3,623,005.00 to the Water and Sewer Fund, the unappropriated revenue will be $4,732,584.69.  In the Sewer Capital Projects Closed Fund the current unappropriated revenue exists in the amount of $11,416,663.19.  After appropriation and transfer of $2,639,672.00 to the Water and Sewer Fund, the unappropriated revenue will be $8,776,991.19.


TO
    Fund Department
ID
Account Project
ID
Program Activity Budget
Year
Reference #
(Chartfield 2)
Amount

FROM
    Fund Department
ID
Account Project
ID
Program Activity Budget
Year
Reference #
(Chartfield 2)
Amount

Submitted for City Manager's Office by:
Jay Chapa (5804)
Originating Department Head:
John Carman (8246)
Additional Information Contact:
Jane Hale (8438)

 
 
ATTACHMENTS
  60FY16 IMPACT FEE TRANSFER FID TABLE.pdf
  60FY16 IMPACT FEE TRANSFER sewer AO16.docx
  60FY16 IMPACT FEE TRANSFER water AO16.docx