To: Honorable City Council D_ A f Date: Nov. 9, 2010
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1 ATTACHMENT 2 CITY OF WOODINVILLE, WA REPORT TO THE CITY COUNCIL rd Avenue NE, Woodinville, WA To: Honorable City Council D_ A f Date: Nov. 9, 2010 From: Richard A. Leahy, City Manager "'V By: Jim Katica, Finance Direct~ Subject: Adoption of the 2011/2012 ~nnial BUdget FINANCIAL ACTION SUMMARY Exoenditure Reauired Amount Budaeted/Approved Additional Amount Required $45,573,774 $45,573,774 ISSUE: Shall the City Council conduct a public hearing of Ordinance No. 515 to adopt the 2011/2012 BUdget? RECOMMENDATION: To conduct the public hearing and place Ordinance No. 515 on the November 16, 2010 Agenda for first reading. POLICY DECISION: State law requires that the City Council adopt a budget before the end of the calendar year. The budget is one of the key annual documents approved by the City Council. BACKGROUNDIDISCUSSION: The budget process began with departments submitting their budget requests in July. In October, a public hearing on revenue sources was held, and Council received the preliminary budget on November 2, Ordinance No. 515 adopts the budget at the fund level at the budgeted expenditures for each fund. The ordinance is also a means to remove funds that are no longer being utilized, create new funds, or review the scope of a particular fund to determine whether the intent or purpose of a particular fund should be amended. Ordinance No. 515 will abolish three funds and change the numeric designation of another. Funds to be abolished The Mitigation Fund, Fund 108, was established to collect mitigation fees for specific projects. The fund was replaced by the Traffic Impact Fund, and all mitigation funds have either been spent on the identified projects or refunded to the developer. There is no fund balance and the Mitigation Fund is no longer needed. The SR202/148 th Fund, Fund 338, was established to pay for the costs of the Roundabout Project. The Project is expected to be completed by year end, and will no longer be needed. Any residual funds will be returned to the Utility Tax Fund. The Small Neighborhood Action Projects fund (SNAP), Fund 360, was established to be a funding source for small parks and street projects. The operating budgets of the respective departments have the necessary funding for small projects and the fund is no longer needed. I:\Council, Boards & Comrnissions\City Council\StaffReports\2010\November\ \FINAL Adopting the 2011 and 1
2 The Surface Water Capital Projects Fund, Fund No. 357, has been recommended by the State Auditors to be reclassified as a 400- level (enterprise) fund. Ordinance 515 will reclassify Fund 357 to Fund 412, with no other changes. The budget ordinance lists all funds that are addressed in the preliminary budget and sets forth an amount that is the recommended expenditure level for each fund. The budget is a balanced budget, as required by law, and must be adopted before the end of the calendar year. The attached ordinance adopts the 2011/2012 Biennial Budget as recommended by the City Manager on November 2, Any amendments or adjustments to that proposal desired by the Council should be addressed as separate motions of the City Council, prior to adoption of this ordinance. l:\council, Boards & Commissions\City Council\StaffReports\201O\November\ IO\FINAL Adopting the and 2 2
3 ORDINANCE NO. 515 AN ORDINANCE OF THE CITY OF WOODINVILLE, WASHINGTON, ABOLISHING THREE FUNDS, CHANGING THE FUND CODE OF ONE FUND AND ADOPTING A BIENNIAL BUDGET FOR THE CITY OF WOODINVILLE, WASHINGTON, FOR THE YEARS 2011 AND 2012, SETTING FORTH THE ESTIMATED REVENUES AND APPROPRIATIONS. WHEREAS, the Washington State Auditors have recommended that the City consolidate funds to simplify accounting records, and WHEREAS, the Mitigation Fund (Fund 108) is no longer needed and has no identifiable source or use of revenue, and WHEREAS, the SR202/148 th Fund (Fund 338) is project that has been completed and is no longer required to track revenue and expenditures, and WHEREAS, the Small Neighborhood Action Projects fund (Fund 360) is no longer used and similar expenditures are more properly covered in the operating budgets, and WHEREAS, The Surface Water Capital Project Fund (Fund 357) is more properly classified under the enterprise coding and will remain the same in all aspects with the exception that it will now be Fund No. 412, and WHEREAS, a preliminary budget has been filed with the City Clerk as required by law; now, therefore, NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF WOODINVILLE DO ORDAIN AS FOLLOWS: Section 1.The Mitigation Fund, Fund 108, is hereby abolished. Section 2. The SR202/148 th Fund, Fund 338, is hereby abolished, with the residual equities to be transferred to the Utility Tax Fund. Section 3. The Small Neighborhood Action Projects Fund, Fund 360, is hereby abolished, with the residual equities to be transferred to the sources of funding for each aspect of the fund. is being expanded in scope to include all operational costs associated with park, recreation and volunteer programs. Section 4. The Surface Water Capital Project Fund, Fund 357, is hereby numbered Fund 412, Section 5. The biennial budget of the City of Woodinville, Washington for the years 2011 and 2012, a copy of which is on file in the Office of the City Clerk, is hereby adopted by this reference, in the aggregate total of estimated revenues and appropriations for all funds combined of $45,573,774. Section 6. The totals of estimated revenues and appropriations for each separate fund, as set forth herein, are: I:\Council, Boards & Commissions\City Council\StaffReports\201O\November\ O\FINAL Adopting the 2011 and 3 3
4 001 General Fund 101 Street Fund $16,385,850 $ 1,699, Contingency $ 368, Developmental Services $ 2,317, Admission Tax $ 395, Parks & Recreation Special Revenue $ 727, System Replacement $ Strategic Budget Reserve $ Park Impact Fee $ 22, Hotel/Motel Tax $ 80, Traffic Impact Fees $ 739, Debt Service $ 1,064, Capital Project $ 878, Special Capital Project 303 Capital Street Reserve 316 Utility Tax $ 3,711,000 $ 2,850,000 $ 2,691, SR522/195 th Capital Project $ 700, Parks and Recreation Capital Projects $ 399, Surface Water Capital Projects $ 627, Facilities Capital Project $ 400, Sammamish Bridge Replacement 410 Surface Water Management $ 7,159,000 $ 1,811, Equipment Rental $ 122, Equipment Replacement $ 134, Unemployment Reserve $ 252, Affordable Housing $ 40,000 TOTAL ALL FUNDS $45,573,774 Section 6. The City Clerk is directed to transmit a certified copy of this ordinance to the Office of the Auditor of the State of Washington, Division of Municipal Corporations and to the Association of Washington Cities. Section 7. Effective date. This ordinance shall be effective five (5) days after publication of an approved summary consisting of the title to this ordinance. ADOPTED BY THE CITY COUNCIL AND SIGNED IN AUTHENTICATION OF ITS PASSAGE THIS DAY OF DECEMBER Charles E. Price, Mayor ATTEST/AUTHENTICATED: I:\Council, Boards & Commissions\City CounciI\StaffReports\201 0\November\II O\FINAL Adopting the 2011 and 4 4
5 Jennifer Kuhn City ClerklCMC APPROVED AS TO FORM: OFFICE OF THE CITY ATTORNEY Greg A. Rubstello City Attorney PASSED BY THE CITY COUNCIL: PUBLISHED: EFFECTIVE DATE: ORDINANCE NO. 515 I:\Council, Boards & Comrnissions\City CounciJ\StaffReports\201O\November\II \FINAL Adopting the 2011 and 5 5
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