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HomeMy WebLinkAbout233-13 RESOLUTIONRESOLUTION NO.233-13 A RESOLUTION APPROVING A BUDGET ADJUSTMENT IN THE TOTAL AMOUNT OF $39,682.00 TO INCREASE THE AIRPORT BUDGET FOR AVIATION GASOLINE 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 as Exhibit "A", in the total amount of $39,682.00 to increase the airport budget for aviation gasoline. PASSED and APPROVED this 19t" day of November, 2013. APPROVED: ATTEST: If By:4,40k,14" � "4� SONDRA E. SMITH, City ClerWtsurer FAYETTEVILLEa�,._ =za w City of Fayetteville, Arkansas Budget Adjustment Form Budget Year Division: Aviation Request Date 2013 1 Department: Transportation Services 11 /19/2013 V13.1031 Legistar Adjustment Number BUDGET ADJUSTMENT DESCRIPTION / JUSTIFICATION Budget Adjustment to increase expense budget line item in the Operations program: 1) Correct overage in the AVGAS expense line item - AVGAS expense is affected by demand and price changes. AVGAS expense is offset by revenue from sales. This BA recognizes revenue from the sale of aviation gasoline (AVGAS), which averages approximately $37,000/ mo. There is available budget in the Admin program that was previously budgeted for AVGAS expense that is no longer used. CITY\kspringer 11/1/2013 3:15 PM Prepared By Division Head Kevin Springer cn=Kevin Springer, odity of Fayetteville, Arkansas, ou=Budget Director, email=kspringer@fayetteville-argov,c=US 2013.11.01 15:17:43 -05'00' Budget Director Legistar# / Date: 2013-0158 / 11/19/2013 Legistar Title AVIATION AVGAS INCREASE Budget & Information Management Use Only Type: A B C D E P General Ledger Date Posted to General Ledger Checked / Verified Initial Date Initial Date TOTAL BUDGET ADJUSTMENT 39,682 39,682 Increase / (Decrease) Project.Sub Account Name Account Number Expense Revenue Number AVGAS 5550.3955.5213.03 95,000 AVGAS 5550.3940.5213.03 (55,318) AVGAS rvenues 5550.0955.4456.01 Ri 39,682 HABudgetlBudget Adjustments12013 BudgetU-EGISTARIBA 2013-0158 AVIATIOM _AVGAS INCREASE 20131119.1ds 1 of 4 City of Fayetteville Item Review Form Ray M. Boudreaux Submitted By 2013-0153 t egistar File Number 11/19/13 City Council Meeting Date - Agenda Item Only NIA for Non -Agenda Item Action Required: Transportation Services Department Action Required: Approve a budget adjustment - Airport Operations program expense. Does this item have a cost? NO $39,682.00 Cost of this request 5550.3955.5213.03 Account Number $1,366,355.00 Matt/Supp Category or Project Budget $694,311.00 Funds Used to Date N/A $632,362.00 Airport Project Number Remaining Balance Fund Name Budgeted Item? Budget Adjustment Attached? Yes V20130812 Previous Ordinance or Resolution # Original Contract Number. Comments: +aA 0,. wj►,- fib- 0- �,013 //- 6-1-3 Program or Project Name Airport Operations Program or Project Category 3 PG3`25 CVO Zay1e,eV*11'1e RKANSAS CITY COUNCIL AGENDA MEMO — November 19, 2013 To: Mayor Lioneld Jordan Thru: Don Marr, Chief of Staff Thru: Terry Gulley, Transportation Director Thru: Staff/Contract Review Committee From: _ Ray M. Boudreaux, Aviation Director Date: 11/1/13 Subject: Budget Adjustment for Avgas expense — correct overage THE CITY OF FAYETTEVILLE, ARKANSAS AVIATION DIVISION 4500 S School Ave, Ste F Fayetteville, AR 72701 P (479) 718-7642 PROPOSAL: Increase the expense budget for aviation gasoline, (avgas). The budget adjustment moves unused expense budget for avgas from the Airport Administration program budget to the Operations program and recognizes additional revenue from the sale of avgas. BACKGROUND: The City took over the aircraft fueling operation at Drake Field in March. At the time of assuming the operation a comprehensive budget adjustment was approved by the City Council to begin the operation. The amount budgeted for avgas expense at that time has been exceeded and the Airport staff projects that $95,000 additional is needed in the line item. Two main factors affect the expense for avgas; the cost of fuel and the volume of sales. Both were underestimated in the original startup budget. Council approval is required to increase the previously approved overall Division budget. In this case, the increase in the expense is offset by increased revenue from the sale of the aviation fuel. RECOMMENDATION: Airport Administration recommends approval of the budget adjustment. BUDGET IMPACT: Will increase revenue and expense budget line items associated with the sale of avgas. Telecommunications Device for the Deaf TDD (479) 521-1316 113 West Mountain -Fayetteville, AR 72701 RESOLUTION NO. A RESOLUTION APPROVING A BUDGET ADJUSTMENT IN THE TOTAL AMOUNT OF $39,682.00 TO INCREASE THE AIRPORT BUDGET FOR AVIATION GASOLINE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: i Section l: That the City Council of the City of Fayetteville, Arkansas hereby approves a budget adjustment, a copy of which is attached as Exhibit "A", in the total amount of $39,682.00 to increase the airport budget for aviation gasoline. PASSED and APPROVED this 19th day of November, 2013. APPROVED: By: LIONELD JORDAN, Mayor ATTEST: By: SONDRA E. SMITH, City Clerk/Treasurer