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HomeMy WebLinkAbout283-23 RESOLUTION113 West Mountain Street Fayetteville, AR 72701 (479) 575-8323 Resolution: 283-23 File Number: 2023-1465 PURCHASED WATER ACCOUNT (BUDGET ADJUSTMENT): A RESOLUTION TO APPROVE A BUDGET ADJUSTMENT IN THE AMOUNT OF $550,000.00 FOR THE PURCHASED WATER ACCOUNT DUE TO INCREASED WATER USAGE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby approves a budget adjustment, a copy of which is attached to this Resolution, in the amount of $550,000.00 for the purchased water account due to increased water usage. PASSED and APPROVED on December 19, 2023 Approved Page 1 Attest: `tv��«cnn►q'r�r -L •• C,�i Y • is • "' f-AYETT EV!i_L• '= 9Jy.Q�i A N��P.\�� 1V 1111111111���``` CITY OF FAYETTEVILLE ARKANSAS MEETING OF DECEMBER 19, 2023 CITY COUNCIL MEMO 2023-1465 TO: Mayor Jordan and City Council THRU: Paul Becker, Chief Financial Officer FROM: Kevin Springer, Budget Director DATE: SUBJECT: Approval of a budget adjustment for purchased water due to increased water usage RECOMMENDATION: Approval of a budget adjustment for purchased water due to increased water usage BACKGROUND: At the beginning of each budget cycle, the Utilities Department calculates the amount of money needed to purchase water from Beaver Water District for the entire year. This is accomplished by looking into the water usage history of the City in the previous year or years and making some changes based on growth, climate and non -revenue water loss. DISCUSSION: Water purchased at the end of November 2023 is up by 8.8% compared to water purchased at the end of November 2022. This increase in water usage is due to several factors, but most notably is due to increases seen in customer water usage and water loss due to leaks. BUDGET/STAFF IMPACT: The $550,000 requested for Water Purchases will come from Water and Sewer fund balance. ATTACHMENTS: SRF (#3), BA (#4) Mailing address: 113 W. Mountain Street www.fayetteville-ar.gov Fayetteville, AR 72701 _= City of Fayetteville, Arkansas 113 West Mountain Street Fayetteville, AR 72701 (479)575-8323 - Legislation Text File #: 2023-1465 Approval of a budget adjustment for purchased water due to increased water usage A RESOLUTION TO APPROVE A BUDGET ADJUSTMENT IN THE AMOUNT OF $550,000.00 FOR THE PURCHASED WATER ACCOUNT DUE TO INCREASED WATER USAGE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby approves a budget adjustment, a copy of which is attached to this Resolution, in the amount of $550,000.00 for the purchased water account due to increased water usage. Page 1 Kevin Springer Submitted By City of Fayetteville Staff Review Form 2023-1465 Item ID 12/19/2023 City Council Meeting Date - Agenda Item Only N/A for Non -Agenda Item 12/1/2023 BUDGET & INFORMATION MGMT (133) Submitted Date Division / Department Action Recommendation: Staff recommends approval of a budget adjustment in the amount of $550,000.00 in the Purchased Water account due to increased water usage, which is purchased from Beaver Water District. 5400.720.3800-5312.00 Account Number Project Number Budgeted Item? Yes Does item have a direct cost? No Is a Budget Adjustment attached? Yes Purchase Order Number: Change Order Number: Original Contract Number: Comments: Budget Impact: Total Amended Budget Expenses (Actual+Encum) Available Budget Item Cost Budget Adjustment Remaining Budget Water & Sewer Fund Project Title $ 11,616,239.00 $ 10,966,251.04 649,987,96 $ 550,000.00 1,199,987.96 Previous Ordinance or Resolution # Approval Date: V20221130 City of Fayetteville, Arkansas - Budget Adjustment (Agenda) Budget Year Division Adjustment Number BUDGET &INFORMATION MGMT (133) /Org2 2023 Requestor: Kevin Springer BUDGET ADJUSTMENT DESCRIPTION / JUSTIFICATION: Staff recommends approval of a budget adjustment in the amount of $550,000.00 in the Purchased Water account due to increased water usage, which is purchased from Beaver Water District. COUNCIL DATE: 12/19/2023 ITEM ID#: 2023-1465 Holly Black 121112023 3:09 Pln RESOLUTION/ORDINANCE Budget Division Date TYPE: D - (City Council) JOURNAL#: GLDATE: CHKD/POSTED: TOTAL Account Number 550,000 550,000 Increase / (Decrease) Expense Revenue Project.Sub# Project Sub.Detl AT v.20231113 Account Name 5400.720.3800-5312.00 550,000 - EX Purchased Water 5400.720.4000-4999.99 - 550,000 RE Use Fund Balance - Current I of 1