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HomeMy WebLinkAboutResolution No. 2021-43)Cc'� /f KENAI CITY OF KENAI RESOLUTION NO. 2021 - 43 Sponsored by: Administration A RESOLUTION OF THE CITY OF KENAI, ALASKA, AUTHORIZING BUDGET TRANSFERS IN THE GENERAL FUND — STREET AND BUILDING DEPARTMENTS AND THE WATER AND SEWER FUND — WASTEWATER TREATMENT PLANT DEPARTMENT TO ACCOUNT FOR UNANTICIPATED EXPENDITURES. WHEREAS, as fiscal year end approaches the Public Works Department is addressing some unanticipated budgetary concerns; and WHEREAS, the Streets Department budget had originally anticipated auctioning off two existing graders and replacing them with two newer graders to be leased for five months of the year to provide for winter service operations; and, WHEREAS, based on the bids received, leasing of the equipment was not in the best interest of the City and the Department is now in the process of purchasing one new grader; and, WHEREAS, as the existing graders remained in service through the previous winter season a payment should be made to the equipment replacement fund in the amount of $22,810; and, WHEREAS, this proposed budget transfer addresses this shortfall; and WHEREAS, within the Buildings Department, with the recent departure of the Building Official, there is an approximately $7,100 deficit due to leave cashed out, with this proposed budget transfer addressing that shortfall; and, WHEREAS, within the Wastewater Treatment Plant budget overtime exceeded budgeted amounts by approximately $6,000 due to work restrictions resulting from COVID; and WHEREAS, one member of staff in a high risk category worked from home while the remaining two employees were required to cover a seven day work week rotation, requiring additional weekend hours as a result and this proposed budget transfer addresses that shortfall. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA Section 1. That the following budget transfer is authorized in the General Fund- Streets Department: General Fund — Streets Department Decrease Appropriations: Rentals $122.8101 Increase Appropriations: Equipment Fund Payments $ 22$1 Resolution No. 2021-43 Page 2 of 2 Section 2. That the following budget transfer is authorized in the General Fund — Buildings Department: General Fund — Buildings Department Decrease Appropriations: Professional Services $[7.1001 Increase Appropriations: Leave $7,100 Section 3. That the following budget transfer is authorized in the Water & Sewer Fund - Wastewater Treatment Plant Department: Water Sewer Fund — Wastewater Treatment Plant Department Decrease Appropriations: Machinery & Equipment $=0101 000 Increase Appropriations: Overtime $Q�Q. Section 4. That this Resolution takes effect immediately upon adoption. ADOPTED BY THE COUNCIL OF THE CITY OF ATTEST: 16th day of June, 2021. GABRIEL SR., MAYOR KENA J mie Heinz, MMC, City Clerk � Odom t Approved by Finance: 1%. I 18V k�v KENAI City of Kenai 1210 Fidalgo Ave, Kenai, AK 99611-7794 1907.283.75351 www.6naixity MEMORANDUM TO: Mayor Brian Gabriel and Kenai City Council THROUGH: Paul Ostrander, City Manager FROM: Scott Curtin, Public Works Director DATE: June 9, 2021 SUBJECT: Resolution 2021-43 The purpose of this memo is to request Council's Support of Resolution 2021-43 which provides budget transfers for the Public Works Department. As fiscal year end approaches, several accounts had unanticipated impacts, this Resolution is intended to clarify and resolve those variances. For the Streets Department, two existing graders that provide for snow removal and gravel road grading, were not successfully replaced with intended leased units. The Department has recently received Council approval to purchase one new unit through the State of Alaska procurement contract. As the existing equipment remained in service last season, a payment to the Equipment Replacement Fund would typically be provided for. This resolution will transfer $22,810 from the Streets Rentals account over to the Equipment Replacement Fund to correct that. For the Buildings Department, the budget variance is the result of the Building Official resigning from the position and the resulting payout of all leave that individual had earned to date. A transfer of $7,100 in available funds from the Buildings Professional Services Account to leave will resolve this concern. Within the Wastewater Treatment Plant Department additional overtime resulted from staff limitations resulting from COVID. One at risk staff member was able to work remotely from home, however as routine daily labs are required, the other two members of staff covered a seven day work week schedule to maintain operational compliance at the plant. This resulted in weekend work often going into overtime. A transfer of $6,000 from the Wastewater Machinery & Equipment account to Overtime will resolve this concern. Council's support is respectfully requested. �� The City of Kenai I www.kenai.city