Fiscal Note
The proposed resolution amends the 2023 Adopted Operating Budget in order to make technical adjustments within various agency budgets. The amounts proposed in the midyear appropriation are based on actual expenditures through May of 2023. The proposed transfers include applying $252,208 in general and library fund balance for carry forward encumbrances and projected deficits in agency budgets. The December 31, 2022, unassigned general fund balance was $66.1 million, which is 18.2 percent of the 2023 general fund budget (city policy goal is to have a general fund balance of at least 15 percent of the subsequent year budget). The December 31, 2022, unassigned library fund balance was $1.9 million, which is 8.4 percent of the library budget (the goal is 5.0 percent). The remaining Expenditure Restraint Program (ERP) is $14.3 million, so the net increase of $195,008 in General Fund appropriations will not affect the City’s eligibility to qualify for a state ERP payment in 2024.
In addition, the resolution amends the 2023 Adopted Capital Budget to make technical transfers of funding across projects and comply with arbitrage requirements under federal tax law. The resolution also increases GO Borrowing for Affordable Housing by $926,600 and reduces TIF proceeds by the same amount.
Carryforward Encumbrances
The 2023 Adopted Operating Budget includes $233,568 for encumbrances associated with contracts that span multiple years, which is centrally budgeted in Direct Appropriations. The total amount carried forward from 2022 for the General and Library funds totals $330,189. The resolution transfers centrally budgeted funds and makes appropriations from the general fund balance ($39,421) and library fund balance ($57,200) to agency budgets for carry forward encumbrances.
The total amount carried forward from 2022 for Public Health totals $410,266. The resolution transfers budget from Public Health’s fund balance for carry forward encumbrances.
Town of Madis...
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