To: Honorable Mayor and Members of Town Council
Through: David L. Corliss, Town Manager
From: Trish Muller CPA, Finance Director
Title
Ordinance Approving the Fourth Amendment to the 2023 Fiscal Year Budget by Making Supplemental Appropriations for the 2023 Fiscal Year (Second Reading - Approved on First Reading on November 7, 2023 by a vote 7-0)
Body
________________________________________________________________________________
Executive Summary
The charter for the Town of Castle Rock allows for amendments to budget appropriations, including requests for supplemental appropriations that require approval by ordinance (Section 9.10). The Finance Department prepares budget amendments for Town Council consideration based on needs that may arise throughout the year. The number of budget amendments varies by year depending on needs/opportunities as they are identified. The chart below shows supplemental appropriations for the last four years and the budget amendments approved to date in 2023.
Supplemental expenditure requests in this proposed Fourth Amendment to the 2023 Budget total $4,815,784. Also, an additional $4,616,807 of revenue is being requested. Descriptions of requested items are included in Attachment B. The Finance Department has reviewed all requests and has determined that sufficient funding is available to accommodate this proposed Fourth Amendment to the 2023 Budget. Following is a summary of requested items.
Discussion
Total requested changes to appropriations referred to in Attachment B increase total expenditures for 2023 by $4,815,784. Major requests included in this budget amendment are described below and are grouped by Town priority.
Secure our water future
• Castle Rock Water requests supplemental appropriation of funds totaling $605,949. This includes funding for construction, including drilling, completion, and testing for re-drill of the Bell Mountain Ranch Well A-3.
• Castle Rock Water is requesting supplemental appropriation of $1,659,000 to enter into an interfund loan to the Parks and Recreation fund to replace turf at Paintbrush Park. These funds will be paid back in accordance with the agreement.
Enhancing our transportation
• The Public Works Department is requesting supplemental appropriation of $381,490 for Pavement Maintenance Improvement. These funds are Public Works portion of Castle Rock Water’s Glovers project.
• The Public Works Department is requesting supplemental appropriation of $100,000 for Parts within the Fleet fund. The expense for parts is being offset with a revenue of the same amount.
Maintain strong Parks and Recreation
• The Parks and Recreation Department requests supplemental appropriation of $928,800 for the Paintbrush Park’s turf replacement. This project is being funded partially through an Interfund loan that is also in the amendment.
• Supplemental appropriation in the Philip S Miller Trust Fund to increase revenues and expenses by $490,000. Revenue and expenses for special events have exceeded budgeted estimates in 2023. This request will have a zero balance increase to the budget.
• The Community Center requests supplemental appropriation of $180,000 for Town special events due to increased event costs throughout the year.
• The Parks and Recreation Department requests supplemental appropriation of $150,000 for improvements at the historic Cantril School building for things such as restroom facilities, an ADA accessible lift, and kitchen updates.
• The Community Center requests supplemental appropriation of $90,545 for repairs at the Recreation Center for the leisure pool as well as the elevator.
• The Community Center requests supplemental appropriation of $60,000 for operations at the new Cantril School building. This building was purchased mid-year 2023 and programs were planned at time of purchase.
Ensure outstanding public safety
• The Fire Department requests supplemental appropriation of $85,000 for a new vehicle needed due to Fire Prevention Officer’s schedules being readjusted.
The additional amount of expenditures requested in this amendment are shown below and are grouped by Town fund.
Budget Impact
As presented in Attachment C, the Finance Department has ensured that funding is available through either revenues and/or fund balance for requested items, maintaining adequate reserves within each fund.
Staff Recommendation
Staff recommends that Town Council approve the Ordinance.
Proposed Motion
I move to approve on the Ordinance as introduced by title, on first reading.
Alternative Motions
“I move to approve the resolution as introduced by title, with the following conditions: (list conditions).
“I move to continue this item to the Town Council meeting on _____ date to allow additional time to (list information needed).”
Attachments
Attachment A: Ordinance
Attachment B: Requests for Supplemental Appropriation
Attachment C: Estimated Ending Funds Available for 2023