Title
Community Development Services, Administration and Finance Division, recommending the Board:
1) Approve and authorize the Chair to sign a Budget Transfer adjusting the budget for Fiscal Year 2017/18 to accommodate projected expenditures identified by the Community Development Services, Department of Transportation, and to allow earned revenue to be transferred to Planning Operations from the EIR Development Costs Fund; and
2) Approve the addition to the Department of Transportation's Fiscal Year 2017/18 Fixed Asset List of a truck-mounted message board and a diesel smoke testing machine. (4/5 vote required)
FUNDING: Various.
Body
DEPARTMENT RECOMMENDATION
Community Development Services, Administration and Finance Division, recommending the Board:
1) Approve and authorize the Chair to sign a Budget Transfer adjusting the budget for Fiscal Year (FY) 2017/18 to accommodate projected expenditures identified by the Community Development Services, Department of Transportation (Transportation), and to allow earned revenue to be transferred to Planning Operations from the EIR Development Costs Fund; and
2) Approve the addition to Transportation's FY 2017/18 Fixed Asset List of a truck-mounted message board and a diesel smoke testing machine.
DISCUSSION / BACKGROUND
Community Development Services Budget Transfer
Transportation Operations (Road Fund)
The request to purchase the truck-mounted message board was previously approved by the Board on May 23, 2017 (Item 15), but due to delivery issues this item was not purchased before the end of FY 2016/17. The item was inadvertently left off the Fixed Asset List and was not included in the FY 2017/18 budget, and is requested to be re-budgeted for FY 2017/18.
Budgeted appropriations for Fixed Assets-Equipment in the Shop Operations Index Code (306250) need to be increased by $10,000 to purchase a truck-mounted message board used for centerline and edgeline striping operations on County roads. The existing equipment has exceeded its service life and is no longer supported by the manufacturer. This is offset by a decrease in Fixed Assets-Equipment in the Road Maintenance Index Code (306200), in the amount of $10,000, due to savings on the cost of a purchased radar detection system.
Transportation Operations (Road Fund)
Budgeted appropriations for Fixed Assets-Equipment in the Shop Operations Support Index Code (306250) need to be increased by $6,000 to purchase a diesel smoke testing machine used to perform required diesel emission smoke testing, as required by the Air Resources Board and Department of Motor Vehicles, for Transportation vehicles that fall under the regulation. This service has been contracted out in the past, but due to increasing costs by vendors and the difficulty in scheduling the service, it will be more cost effective to purchase the necessary equipment and perform the service in-house. This is offset by a decrease in Vehicle Maintenance Service Contracts in the Shop Operations Support Index Code (306250) in the amount of $6,000.
Planning Operations
Budgeted appropriations for Operating Transfers-Out in the EIR Development Costs Index Code (348000) need to be increased by $25,837 to allow earned revenue to be transferred to the Planning Operations Index Code (345000) in order to close out the EIR Development Costs fund. This is offset by an increase in use of Fund Balance in the EIR Development Costs fund in the amount of $25,837. Additionally, budgeted Appropriation for Contingencies is being increased by $25,837 in the Appropriation Contingency Index Code (151000), as there will be a savings to the General Fund.
ALTERNATIVES
The Board may elect not to approve the budget transfers as proposed, although proper accounting for operating activity would be jeopardized.
OTHER DEPARTMENT / AGENCY INVOLVEMENT
N/A
CAO RECOMMENDATION
It is recommended that the Board approve this item.
FINANCIAL IMPACT
The proposed budget transfers result in a savings to Net County Cost of $25,837, as Planning Operations will recognize additional revenue. All increases in Transportation's expenditures are funded by commensurate offsets.
CLERK OF THE BOARD FOLLOW UP ACTIONS
1) Clerk of the Board will obtain the Chair’s signature on the original Budget Transfer document.
2) Clerk of the Board will forward the signed original Budget Transfer document to the Auditor/Controller’s office for processing.
STRATEGIC PLAN COMPONENT
Good Governance and Infrastructure.
CONTACT
Ruth Young, Chief Fiscal Officer
Community Development Services, Administration and Finance Division