Title
Facilities, a division of the Chief Administrative Office, recommending the Board:
1) Authorize the Chair to sign a budget transfer decreasing operating transfers in and building improvements by $18,625,257 in the Accumulative Capital Outlay Fund and decrease use of General Fund designations and operating transfers out of Department 15 by the same (4/5 vote required); and
2) Authorize the Chief Administrative Office to change the name of the Juvenile Hall Designation to the Spring Street Replacement Designation per Board direction on April 08, 2025 (Legistar file 25-0654).
FUNDING: Accumulative Capital Outlay Fund, General Fund.
Body
DISCUSSION / BACKGROUND
When putting together the Facilities Accumulative Capital Outlay workplan, staff budget for the full project costs. Projects often take longer than one fiscal year to complete and funds roll into the next budget year. The jail expansion project included a large use of the Capital Designation in Fiscal Year (FY) 2024-25. Staff anticipate that the majority of expenses for the project will take place in FY 2025-26. The attached budget transfer reduces the use of the Capital Designation in FY 2024-25. This will ensure that funds remain in the Capital Designation in FY 2024-25 for use in the FY 2025-26 budget. Without this budget transfer, funds in the Capital Designation would automatically roll into the General Fund; artificially increasing General Fund fund balance.
ALTERNATIVES
Should the Board decline to approve this item the General Fund fund balance would be overstated.
PRIOR BOARD ACTION
N/A
OTHER DEPARTMENT / AGENCY INVOLVEMENT
N/A
CAO RECOMMENDATION / COMMENTS
Approve as recommended.
FINANCIAL IMPACT
The budget transfer will reduce the use of the Capital Designation in FY 2024-25. The FY 2025-26 budget includes the use of these Capital Designations for project expenses in FY 2025-26.
CLERK OF THE BOARD FOLLOW UP ACTIONS
Obtain Board Chair's signature on the attached Budget Transfer form and forward to the Chief Administrative Office for final processing.
STRATEGIC PLAN COMPONENT
N/A
CONTACT
Laura Schwartz, Assistant Chief Administrative Officer