Summary The Finance Department performs an end of year review of actual receipts and expenditures for each fund and department as part of its end of year procedures. This review is intended to identify budget and expenditure variances in need of correction. As a result of the review, the Finance Department deems it necessary to appropriate previously unanticipated FY15 revenues and to utilize General Fund Contingency to correct several budget variances. Florida Statutes allows for this type of budget adjustment up to 60 days after the close of the fiscal year.
Listed below is a breakdown of the budget and expenditure variances requiring corrective action:
1) The General Fund Solid Waste budget experienced increased expenses of $35,793 that resulted from the contract required customer true-up of calendar years 2013 and 2014 alongside a Consumer Price Index (CPI) adjustment of 1.14% applicable to the rates charged to the City for Solid Waste disposal services;
2) The General Fund Recreation budget experienced increased utility expenses that could not absorbed within its budget in the amount of $3,167; and,
3) The Debt Service Fund incurred additional interest expenses in the amount of $1,087 that resulted from the Section 108 debt refinancing.
In order to correct these variances, a resolution amending the FY 2014-2015 budget is necessary to authorize the increase in the General and Debt Service Fund budgets by recognizing General Fund revenues in the amount of $21,168 from unanticipated solid waste disposal fees and authorizing the use of the General Fund Contingency in the amount of $18,879. |