HomeMy WebLinkAbout93-04 RESOLUTIONBudget Year
2004
• City of Fayetteville, Arkansas
Budget Adjustment Form
Department: Water & Wastewater
Division: Wastewater Treatment
Program: Wastewater Treatment Plant Capital
Date Requested
6/15/2004
Adjustment Number
Project or Item Requested:
$128,902 is requested in Plant Equipment Maintenance.
Project or Item Deleted:
None. Rebates in the amount of $128,902 were received
from the 2003 OMI contract management.
Justification of this Increase:
Mally Wagnon, Old Wire Road, and Double Springs
pump stations were severely damaged due to the recent
flood.
Justification of this Decrease:
The project amount for 2004 was not sufficient to handle ,
these unexpected occurrences.
Increase Budget (Decrease Revenue)
Account Name Account Number Amount Project Number
Plant equipment maint 5400 5800 5414 00
Account Name
Use of fund balance
Decrease Budget (Increase Revenue)
Account Number
5400 0940 4999 99
128,902 02068 1
Amount Project Number
128,902
Approval Signatures Budget Office Use Only
Requested By
Budget Manager
Department Director
Type: A B C D E
Date
Date of Approval
Date
Date
Posted to General Ledger
Posted to Project Accounting
Finance & IntemayS*vices Three r Date Initial Date
Alfa/ /' / 7 Entered in Category Log
Initial Date
Initial Date
Mayor
Date
Initial Date
NAME OF FILE:
CROSS REFERENCE:
Item #
Date
•
Resolution No. 93-04
w/budget adjustment
Document
•
1
05/28/04
memo to mayor & city council
2
draft resolution
3
06/03/04
Staff Review Form
4
06/21/04
memo to Greg Boettcher
NOTES:
E25
• � 7/5 /01
City Council Meeting of June 15, 2004 q 3 _ 0 47
6)F2rarans
Momait-ntmi-
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CITY COUNCIL AGENDA MEMO
To:
From:
Date:
Subject:
Mayor and City Coyncil
Greg Boettcher
Water/Wastewater Director
May 28, 2004
Thru: Hugh Earnest
Chief Administrative Officer
Resolution Approving a Budget Adjustment to Transfer OMI's
Reconciliation Funds to Lift Station Improvements Account
RECOMMENDATION
Fayetteville City Administration recommends approval of resolution transferring
$128,902.00 (2003 OMI Rebate Amounts) to Lift Station Improvements Account (Plant
Equipment Maintenance -5400.5800.5414.00, Project 02068)
BACKGROUND
The contract between Fayetteville and Operations Management International
(OMI) provides for annual contract reconciliations, with OMI to refund actual cost savings
to the City. In 2003, the reconciliation totalled $58,216.56. Also in 2003, an out -of -scope
task to upgrade the Hamestring Lift Station was negotiated with OMI for $250,000.00.
Reconciliation of the Hamestring project has resulted in a refund of $70,685.41.
Accordingly, in 2004 the City of Fayetteville's water and sewer fund has received an
unforseen income of $128,901.97 due to economies of OMI.
DISCUSSION
In early 2004, wastewater system operations, particularly the needs of the City's
35 wastewater pumping stations have experienced significant and unusual financial
impacts. Heavy rains in late April flushed large amount of debris through the piping,
damaging a large pump in the Old Wire Lift Station. Record flooding of White River
inundated the Melly Wagnon Road Lift Station, necessitating extensive repairs. Age and
wear have necessitated the replacement of both pumps in the Double Springs Lift
Station. These specific events alone represent cost nearing $110,000.00, the essential
work exceeding the 2004 Amended Budget for Upgrade/Replace Lift Stations of
$76,472.00.
This account is critical to the City's need to maintain adequate system reliability
and capacity. The 2004 operating strategy was changed to allow accelerated pumping
station improvements, targeting a goal of maintaining facilities at or near their design
capacities. This objective requires greater investment in parts, supplies and equipment
to improve the operating condition of the lift stations. The transfer of the OMI rebate
funds to the lift station improvement account will allow OMI to sustain its efforts to
improve lift station reliability and capacities, and provide needed monies to maintain
these critical assets.
BUDGET IMPACT
The proposed transfer of the OMI reconciliation amounts from fund balance to
Lift Station Improvements has no adverse impact on the water and sewer enterprise
finances, as the rebate/refunds were not included in the 2004 financial planning. If
portions of the flood expenses are recovered from emergency management assistance
agencies, the reimbursement amounts may then flow to the water and sewer fund
balance.
• •
RESOLUTION NO.
A RESOLUTION APPROVING A BUDGET ADJUSTMENT
•TRANSFERRING $128,902.00 OF OPERATIONS MANAGEMENT
INTERNATIONAL (OMI) REBATES FROM WATER & SEWER
FUND BALANCE TO THE LIFT STATION IMPROVEMENTS
ACCOUNT.
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 transferring $128,902.00 of Operations
Management International (OMI) rebates from Water & Sewer Fund Balance o
the Lift Station Improvements Account.
PASSED and APPROVED this 15th day of June 2004
rp; _"} ST
APPROVE
1
ODY, Mayor
By
IVIITICity Clerk
X AGENDA REQUEST
CONTRACT REVIEW
GRANT REVIEW
•
STAFF REVIEW FORM
For the Fayetteville City Council Meeting of:
•
June 15, 2004
FROM:
Greg Boettcher
Name
Water & Wastewater
Division
Wastewater Treatment Plant
Department
ACTION REQUIRED: Resolution approving a Budget Adjustment to transfer ($128,902.00) OMI's reconciliation
funds from Water and Sewer Fund Balance to Lift Station Improvements Account.
COST TO CITY:
$128,902.00
Cost of this request
5400-5800-5414-00
Account Number
02068
Project Number
76,472.00 Upgrade/Replace Lift Stations
Program Category / Project Name
52,951.98 Wastewater Treatment Improvements
Funds Used to Date
Program / Project Category Name
23,520.02 Water & Sewer
Remaining Balance
Fund Name
BUDGET REVIEW:
Budgeted Item X Budget Adjustment Attached
Budget Manager
Date
CONTRACT/GRANT/LEASE REVIEW:
Accounting Manager
J
co/, /ay ct
Internal A
Date
City Att6rney
r
Purchasing Manager
5/a8ky
Date
(13104
Date
STAFF RECOMMENDATION:
Division Head
Departmgfit Director
Finance & Internal Services Dir.
Date
Zes- Dr/
Date
Date
Cross Reference
New Item:
Yes
Previous Ord/Res#:
Orig. Contract Date
Orig. Contract Number
Rec'd in Mayor's
Office
No
FAYETT&ILLE
THE CITY OF FAYETTEVILLE, ARKANSAS
City Clerk Division
DEPARTMENTAL CORRESPONDENCE
•
113 West Mountain
Fayetteville, AR 72701
Telephone: (479) 575-8323
To: Gregg Boettcher
Water/Wastewater Director
From: Clarice Buffalohead-Pearman 0/
City Clerk Division
Date: June 21, 2004
Re: Resolution No. 93-04
The City Council passed a resolution, June 15, 2004, approving a budget adjustment to transfer OMI
rebates from the Water & Sewer Fund Balance to the Lift Station Improvements Account. I have attached
a copy of the budget adjustment and resolution.
The resolution with attachments will be recorded in the city clerk's office and microfilmed. If anything else
is needed please let the clerk's office know.
/cbp
attachments
cc. Nancy Smith, Internal Auditor
Barbara Fell, Budget & Esear•cb,
•
RESOLUTION NO. 93-04
A RESOLUTION APPROVING A BUDGET ADJUSTMENT
TRANSFERRING $128,902.00 OF OPERATIONS MANAGEMENT
INTERNATIONAL (OMI) REBATES FROM WATER & SEWER
FUND BALANCE TO THE LIFT STATION IMPROVEMENTS
ACCOUNT
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 transferring $128,902.00 of Operations
Management International (OMI) rebates from Water & Sewer Fund Balance to
the Lift Station Improvements Account.
PASSED and APPROVED this 15th day of June 2004.
ATTEST -
By:
SONDRA SMITH, City Clerk
APPROVED.
By:
DAN COODY, Mayor
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