Title
Air Quality Management District (AQMD), recommending the Board, acting as the AQMD Board of Directors:
1) Approve an amendment to the District's FY 2020-21 Budget to adjust fund balance amounts and corresponding balancing entries to reflect FY 2019-20 ending fund balances as outlined in Attachment B: Exhibit 2 (4/5 vote required); and
2) Direct the Board Chair to sign the Budget Transfer included as Attachment C: Exhibit 3.
Body
DISCUSSION / BACKGROUND
The Air Quality Management District's Board of Directors conducted a Budget Hearing on the District's recommended Fiscal Year (FY) 2020-21 budget on May 19, 2020. The Board then approved the recommended budget on June 23, 2020. Exhibit 1 consists of the Adopted Budget documents that were posted to the District's webpage after the Board's approval.
On September 11, 2020, the County's Auditor-Controller closed FY 2019-20, and the final year-end fund balances were calculated. This item makes adjustments to the Approved AQMD FY 2020-21 Budget based on these year-end fund balances. The recommended revisions are outlined in Exhibit 2 for Board review and approval for inclusion in the FY 2020-21 Adopted Budget for the District. These adjustments require a 4/5 vote as these changes are being made after the District's budget was approved by the Board on June 23, 2020. A County budget transfer form with the recommended changes is included as Exhibit 3.
The recommended changes increase the use of the District's fund balances for the four subfunds a total of $1,383,391. The increase in fund balance is largely due to timing of the receipt of grant revenue combined with the decreased expenditures in several grant funded activities due to the coronavirus pandemic. There is one recommended decrease in revenue from "State Revenue: Other" due to Carl Moyer funding being received in FY 2019-20. The increases in the offsetting expenditure appropriations are largely in "Appropriations for Contingency", but in the AB923 grant subfund, we are recommending the increase of appropriations for "Non-County Governmental" in order to have more funding available for school bus replacement/repowering for an upcoming Request for Proposals (RFP) for AB923 and Carl Moyer funded projects.
ALTERNATIVES
Board could direct AQMD to make changes elsewhere in the budget.
PRIOR BOARD ACTION
May 19, 2020 - Legistar #20-0548 - Air Quality Management District budget hearing on the Fiscal Year 2020/21 recommended budget.
June 23, 2020 - Legistar #20-0548 - Board approved Fiscal Year 2021/21 recommended budget and signed Resolution 099-2020.
OTHER DEPARTMENT / AGENCY INVOLVEMENT
N/A
CAO RECOMMENDATION / COMMENTS
Approve as recommended.
FINANCIAL IMPACT
Correctly appropriates the true available fund balance of the District.
CLERK OF THE BOARD FOLLOW UP ACTIONS
Clerk of the Board to:
1) Provide Minute Order to AQMD.
2) Forward signed Budget Transfer form with approved changes to the County Auditor for input into FENIX.
STRATEGIC PLAN COMPONENT
Good Governance
CONTACT
Dave Johnston, Air Pollution Control Officer