Title
Consider and take action on an ordinance amending the City of League City, Texas, Governmental, Proprietary, and Capital Funds Budget for Fiscal Year 2024 by amending Ordinance No. 2023-28 to adjust the operating and capital budget for actual and projected expenditures related to TIRZ 2 and COVID ARPA funds (Assistant City Manager - CFO)
Background:
This item was directed by City Council on September 12, 2023 agenda item 9C.
With the closing of TIRZ 2, staff estimates between $7.0 to $9.7 million will be remaining as uncommitted funds.
There will be approximately $6 million in uncommitted COVID ARPA funds remaining at the end of FY2023. At Council’s direction, staff can use current public safety salaries as justification to claim the remaining $6 million in COVID ARPA grant funds. Since the salary expense is currently paid from the general fund, moving the expense to ARPA, would free up an equal amount ($6 million) in general fund dollars. This amount will be transferred to the CIP to cash fund (without time or project type restriction) CIP projects at Council’s direction.
The proposed ordinance requests a net zero amendment to the General Fund, addition of Fire Station 7 to the capital budget, creates capital projects fund 5018 “Fire Station 7”, and modifies the COVID ARPA spending plan.
If approved, the proposed ordinance would amend the City’s FY2024 budget to incorporate proposed adjustments for:
· Modify the formal COVID ARPA spending plan by reprogramming the uncommitted total at the end of FY2023 to FY2024 public safety salaries (estimated at $5,950,000)
o including removing COVID ARPA funding for construction of the DSWWTP Admin, Lab & Ops building as part of FY2024 capital budget in the amount of $1.16 million
· Create capital projects fund 5018 “Fire Station 7”
· Transfer from General Fund an equal amount to the remaining ARPA funds (estimated at $5,950,000) to the new dedicated fund 5018 to plan, design, construct, and equip Fire Stat...
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