CCAgenda_04Dec8 - Laserfiche WebLink

Home Browse Search

• CONSENT G4 12/8/04 ITEM: Amend the General Fund Budget to account for increased expenditures due to storm damage, Dutch Elm Disease, and higher than expected MN Fire Aid payment SUBMITTED BY: Roland O.Olson, Finance Director REVIEWED BY: Heather Worthington, City Administrator EXPLANATION: Summary: To be legally compliant with state statute, a city can not spend more in the general fund than was budgeted or amended during the year. During the year 2004, Falcon Heights experienced some very unusual expenses. The first expense resulted from the outbreak of Dutch Elm Disease and the excessive tree damage from a storm this last summer. We had originally budgeted $6,000 for tree removals but actually spent $18,044. Also we set up a new budget line item for storm damage removals. There was no beginning budgeted amount; however, we spent $5,780 for storm damage. On the plus side we had budgeted $4,000 for plantings, but have not spent more than $160 for 2004 for plantings. The net increase in expenses above what was originally budgeted for tree removals, tree plantings, and tree storm damage totaled $13,824. Staff recommends increasing the tree • removal line item by $14,000 so that the tree removal line item amount would be $20,000 in the fina12004 Budget. This would be consistent with the projected budget tree removal line item for 2005 of $20,000. Also, during 2004, the MN State Fire Aid exceeded the projected revenue and resulting expenditure in the 2004 Budget. Originally, it was projected that $40,000 would be received and then forwarded to the Falcon Heights Fire Relief Association. The actual amount received was $52,795. The corresponding expenditure would be $52,795 to the Fire Relief Association. Staff recommends increasing the budgeted line item for the MN State Fire Aid to $52, 795 as well as a corresponding expenditure of $52,795 to the Falcon Heights Fire Relief Association. ACTION REQUESTED: ^ Staff recommends amending the general fund budget for 2004 to be legally compliant by increasing the expenditure items as listed above to total increase of $24,975. Increase the MN State Fire Aid revenue item to correspond to the increase in revenue from the MN State Fire Aid. i• ~~