SR-202-001 (55)
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AUG 1 1 1987
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city Council Meeting: Aug. 11, 1987
Santa Monica, California
TO: Mayor and City Council
FROM: city staff
SUBJECT: 1986-87 Year-End Report
INTRODUCTION
The purpose of this staff report is to request year end budget
adjustments for 1986-87, to transmit the Year-End Performance
Review and to request selected budget adjustments for 1987-88.
1986-87 Budqet Adjustments
It is standard practice for budget adjustments to be requested
based upo~ the year end financial reports which become available
in late July. Budget adjustments are recommended to ensure that
departmental budgets are balanced within the appropriation levels
established to the major account groups level of each fund within
a department.
As wi th the mid-year budget review,
the
appropriation
changes,
transfers
and
grant
supported
appropriation adjustments requested are mainly technical in
purpose. Adjustments are also requested in the Water, Wastewater
and Airport funds to pay for added costs due to increased water
purchases, increased Hyperion Treatment Plant charges and higher
property taxes, respectively. Each budget adjustment requested
is detailed in Exhibits A and B.
Year-End Performance Report
The
1986-87
Year-End
Departmental
Performance Review is
transmitted as a separate document for your review. Progress
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AUG 1 11931
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towards accomplishing all objectives and performance indicators
in the 1986-87 Adopted Budget is reported.
The format of
information presented for objectives is identical to that
presented for the 1986-87 mid-year review.
I f further
information is desired on accomplishment of objectives, staff are
prepared to follow-up with information items on specific
issues/concerns identified by City Council.
1987-88 Budget Adjustments
Rather than wait until the mid-year budget review in February of
1988, several technical financial adjustments to the 1987-88
budget are recommended at this time.
These adjustments are
outlined in Exhibit C. These financial adjustments are mostly
necessary due to the timing of expenditures originally approved
in the 1986-87 budget but not incurred until 1987-88, and to
effect selected transfers and reimbursements between funds.
RECOMMENDATIONS
1) Approve the budget adjustments detailed in Exhibits A, B, and
c.
Prepared By: craig Perkins
Budget Coordinator
Attachments
(yearend)
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Exhibit A
Summary of Proposed 1986-87 Appropriation Adjustments
Fund
Department
General
Finance
General
City Attorney
General
Recreation & Parks
General
General Services
General
Capital -
Public Safety
General
Non-Departmental
Purpose
To reflect additional $
appropriation authority
needed for payment of the
city's contract for
parking citation processing.
This increase
is due to a higher than
expected backlog of tickets
to be processed and the
charging of June 1986 con-
tract costs against 1986-87
funds. These additional
costs were offset by
additional revenues.
Additional appropriation $
needed for higher than
anticipated costs of
taking depositions
and other unforeseen
litigation costs.
To pay for higher than $
anticipated costs
associated with natural gas
and water usage,
maintenance equipment and
telephone equipment.
Additional appropriation $
needed to cover higher than
anticipated vehicle repair
costs.
Technical adjustment to $
increase appropriation
amount for lease-purchase
payment on Aerial Ladder
Fire Truck.
To allow transfer of funds $
from Miscellaneous Grants
Fund to the General Fund to
reflect receipt of grant
from the National Endowment
for the Arts related to the
Wilshire Gateway sculpture
project.
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Appropriation
62,663
11,440
8,857
53,548
2,186
(2,250)
Fund
Department
General
Non-Departmental
General
Non-Departmental
Redevel- Non-Departmental
opment
(16 & 18 funds)
CDBG
Non-Departmental
Misc.
Grants
Non-Departmental
Misc.
Grants
Non-Departmental
Water
General Services
Purpose
Transfer of funds $
from the Miscellaneous
Grants Fund to the General
Fund to reflect proceeds
from a state grant for
Clover Park which was
originally awarded in
1979-80.
To correct inappropriate $
transfers to the General
Fund from the Redevelopment
Fund (15 fund) in 1985-86.
To correct inappropriate
transfers to the General
Fund made in 1985-86.
$
To correct inappropriate $
transfers to the General
Fund made in 1985-86.
To allow transfer of funds $
from Miscellaneous Grants
Fund to the General Fund to
reflect receipt of grant
from the National Endowment
for the Arts related to the
Wilshire Gateway sculpture
project.
Transfer of funds $
from the Miscellaneous
Grants Fund to the General
Fund to reflect proceeds
from a state grant for
Clover Park which was
originally awarded in
1979-80.
Additional appropriation $
authority needed for higher
than anticipated costs of
water purchased from
outside agencies as a
result of higher water
usage. This increased water
usage is a result of an
unusually dry winter I
reduced local production
from city wells due to
temporary aeration restric-
tions and other factors.
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Appropriation
(44,242)
(82,423)
68,289
6,570
2,250
44,242
546,551
Fund
Hastewater
Airport
Airport
Cemetery
Department
General Services
Airport
Non-Departmental
General Services
Purpose
To pay for 1985-86 costs $
associated with Hyperion
Treatment Plant sewage
disposal which were not
billed to the City until
June of 1987. These
additional charges could
not be forseen during
preparation of the 1986-87
budget.
Additional appropriation $
authority to pay for higher
property tax charges which
are the result of reassess-
ment of Airport property by
the County, and to cover
higher than expected
interest costs on a loan
from CalTrans related to
Airport development.
To correct inappropriate $
transfers to the General
Fund made in 1985-86.
Additional appropriation $
necessary to pay for the
interest costs of a 1981-82
loan from the Airport to
the Cemetery which was
repaid in 1986-87.
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Appropriation
236,124
107,952
7,564
43,045
Fund
General
General
Beach
Hater
Exhibit B
Summary of Proposed 1986-87 Transfers within Departments
Requiring City Council Approval
Department
Salaries &
Wages
Total
Supplies &
Expenses
Capital
outlay
Personnel
(49)
49
(49)
49
o
(49)
49
o
Transfer from Supply & Expense account to pay for inadvertent
charge to a Capital Outlay Account.
Information
Systems
(7,158)
(7,158)
7,158
7,158
o
(7,158)
7,158
o
Transfer from Supply & Expense account savings to pay for
higher than anticipated computer equipment costs.
Recreation
& Parks
(84,717)
(84,717)
84,717
84,717
(84,717)
o
84,717
o
Transfer from Salary and Wage account savings to cover the
higher beach lifeguard contract payments to the County which
are the result of the City's increase in parking lot fees
which was effective in April, 1987.
General
Services
(79,111)
116,215
(37,104)
o
(79,111)
116,215
(79,111)
(37,104)
(37,104)
116,215
Salary savings and Capital Outlay savings are available to
partially offset the higher than anticipated costs of outside
water purchases which have been necessitated by a dryer than
average year and other factors.
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Salaries & Supplies & Capital
Fund Department Wages Expenses Outlay Total
---------- ---------- ---------- ------- -----
Refuse General (34/487) (34,487)
Services 34,487 34,487
(34,487) 0 34,487 0
Savings in Salary and Wage accounts are used to offset higher
than expected costs for repairs to trash bins.
Airport
Airport
400
o
(400)
(400)
400
(400)
400
o
Savings in the Capital outlay account are needed to offset
higher than planned uniform allowance costs.
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Exhibit C
Summary of Proposed 1987-88 Appropriation Adjustments
Fund
Department
General
community & Econ.
Development
General
Community & Econ.
Development
General
Cultural and Rec.
Services
General
General Services
General
capital -
C&ED
General
ClP -
Rec. & Cultural
Purpose
Appropriation to a new $
operating budget line item
for "CLARE Transitional
Housing project" which is
offset by a reduction in an
existing ClP project
(community Services Center).
To reflect allocation of $
additional CDBG funds 1 which
have been identified as
available for appropriation,
to a "Non-profit
Accessibility Project".
Reappropriation of $
Commission on Older
American funds to be used
for the production of
printed materials and
flyers concerning medical
issues as they
relate to seniors. This
project was originally
budgeted in 1986-87 but
will not be completed until
1987-88.
Adjustment necessary to $
correct for oversight in
amount budgeted in 1987-88
for furniture and furnish-
ings in the civil
Engineering Division.
To reflect transfer of $
funds from an existing ClP
project (Community services
Center) to a new operating
budget line item for "CLARE
Transitional Housing".
To allow expenditure of $
funds received from the
S.M. Arts Foundation for the
NES Park ClP project.
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Appropriation
101000
10,000
1,694
3/750
(10,000)
161000
. .
Fund
General
CDBG
CDBG
Water
Water
pier
Wastewater
Department
Non-Departmental
Capital -
C&ED
Non-Departmental
General Services
General Services
General Services
General Services
Purpose
Transfer of additional CDBG $
funds to the General Fund
to be used for a new
"Non-Profit Accessibility
Project".
Increase in appropriation $
to an existing ClP project
(Community services Center)
to reflect allocation of
additional CDBG funds which
have been identified as
available for appropriation
in accordance with the Com-
munity Development Plan.
Transfer of additional CDBG $
funds to the General Fund
to be used for a new
"Non-Profit Accessibility
Project".
To allow payment of
invoices for parts and
equipment associated with
improvements to the City
Yards radio system which
were budgeted in 1986-87
but not received until
1987-88.
$
To allow payment for $
backhoe equipment which was
budgeted and ordered in
1986-87 but not received
until 1987-88.
To allow payment for $
treated lumber which was
originally budgeted and
ordered in 1986-87 but not
received until 1987-88.
To allow payment of $
invoices for parts and
equipment associated with
improvements to the City
Yards radio system which
were budgeted in 1986-87
but not received until
1987-88.
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Appropriation
(10,000)
85,000
10,000
24,833
21,162
12,938
5,250
, .. J i
Fund
Department
Purpose
Airport
Airport
Appropriation adjustment
needed to cover minor
overrun in the Airport
Maintenance Building elP
project.
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Appropriation
$
1,500