TITLE
HOLD a public hearing and consider an ordinance amending the FY 2020 Annual Budget of the City of Killeen to adjust revenue and expenditure accounts in multiple operating, special revenue, internal service, and capital improvement project funds.
SUMMARY
DATE: May 12, 2020
TO: Kent Cagle, City Manager
FROM: Jonathan Locke, Executive Director of Finance
VIA: Miranda Drake, Director of Budget
SUBJECT: Mid-Year Budget Amendment
BACKGROUND AND FINDINGS:
City staff creates a mid-year budget amendment to align budgets with forecasted revenues and expenses. Staff has estimated revenues and expenses through the end of the fiscal year and identified accounts that require a budget amendment. The City Charter authorizes the City Manager to approve budget amendments between accounts of the same department and fund. The City Council must approve budget amendments between accounts of different departments and to increase the overall budget of a fund. This ordinance authorizes the recommended budget amendments.
The budget amendment predominantly addresses three major initiatives that include the movement of the departments making up Support Services, establishing a budget for the $7.1 million Water and Sewer Bond Refunding that occurred in October 2019, and recognizing additional grant funding made available through the passing of the Coronavirus Aid, Relief, and Economic Stability Act (CARES Act). The remaining revenue and expense budget accounts are being amended to align budgets with forecasted amounts.
The largest component of the budget amendment is moving Support Services back into the appropriate operating fund. The FY 2020 Budget moved the departments that make up Support Services into one fund. Moving the Support Services’ departments into one fund has presented challenges. It has been determined that the best option is to move Support Services back to the operating funds with the other departments. Doing this now will prevent loss of h...
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