M&C Review

COUNCIL ACTION:  Approved on 6/20/2017 - Ordinance No. 22766-06-2017
DATE: 6/20/2017 REFERENCE NO.: **G-19027 LOG NAME: 03CAPITAL PROJECTS RESERVE FUND APPROPRIATION
CODE: G TYPE: CONSENT PUBLIC HEARING: NO
SUBJECT:   Facilitate Clean-Up of the Aviation Project in the General Capital Projects Close Fund in Preparation for Closure by Ratifying Past Transfer to the Municipal Airports Fund and Adopt Appropriation Ordinance (ALL COUNCIL DISTRICTS)
RECOMMENDATION:

It is recommended that the City Council take the following actions to facilitate closure of the Aviation project in the General Capital Projects Close Fund formerly the Capital Projects Reserve Fund.

1.  Ratify a past transfer to the Municipal Airports Fund for repayment of a prior inter-fund loan; and

2.  Adopt the attached ordinance increasing receipts and appropriations in the General Capital Projects Close Fund by $2,541,658.66 from previously authorized but not appropriated funding and for the ratified transfers, which will bring the Aviation project into balance for closure.
 
DISCUSSION:

The purpose of this Mayor and Council Communication (M&C) is to take the necessary actions to bring the Aviation project of the General Capital Projects Close Fund (formerly the Capital Projects Reserve Fund) into balance and facilitate the project's closure.  This M&C is part of a larger concentrated effort to balance and close this Fund and other antiquated capital funds that predate ERP implementation.

These recommendations formalize actions associated with final closeout of an interfund loan dating back to 1990.  In that year, City Council approved transfer and appropriation of funds from the Capital Projects Reserve Fund to Aviation as a loan to make improvements associated with hangar construction at Meacham Airport (M&C C-12194, Amended by M&C C-14520).  Repayment to the Capital Projects Reserve Fund of the loan was originally anticipated to occur from lease payments made by the hangar's tenant.  The loan created between the Capital Projects Reserve Fund and Aviation was dissolved with subsequent Mayor and Council actions but the appropriate accounting transactions were not recorded.  The actions outlined within this M&C will allow for the liabilities and receivables between the funds to be correctly recorded.        

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

The Director of Finance certifies that upon approval of the above recommendation and adoption of the attached appropriation ordinance, funds will be available in the current capital budget, as appropriated, of the Capital Project Reserve Fund (aka General Capital Projects Close Fund) sufficient to close the intended Aviation Department project.
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:
Susan Alanis (8180)
Originating Department Head:
Lynda Johnson (6222)
Additional Information Contact:
Terry Hanson (7934)
 
 
ATTACHMENTS
  03CAPITAL PROJECTS RESERVE FUND APPROPRIATION _AO_17_v2.docx