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Home My WebLink About232-18 RESOLUTION113 West Mountain Street Fayetteville, AR 72701 (479) 575-8323 Resolution: 232-18 File Number: 2018-0617 JET FUEL BUDGET ADJUSTMENT: A RESOLUTION TO APPROVE A BUDGET ADJUSTMENT IN THE AMOUNT OF $189,000.00 TO APPROPRIATE ADDITIONAL FUNDING FOR THE PURCHASE OF JET FUEL THROUGH THE END OF 2018 WHEREAS, the airport is currently at 95% utilization of its jet fuel expense budget due to a 36% increase in fuel sales over 2017 and an increase in the cost of fuel; and WHEREAS, airport staff believe an additional 9 loads of jet fuel will be needed through the end of the year and the increase in sales will generate additional revenue to offset the requested expense. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF F A Y E T T E V I L L E, 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 $189,000.00 to appropriate additional funding for the purchase of jet fuel through the end of 2018. PASSED and APPROVED on 11/20/2018 ATTEST: 1 �RF'fir SONDRA E. SMITH, City Clerk TreasurgJ6�, • CtiT Y 0 ■�' rr y r ` : FAYF-rTFVILLE. Page 1 City of Fayetteville, Arkansas 113 West Mountain Street Fayetteville, AR 72701 (479) 575-8323 Text File File Number: 2018-0617 Agenda Date: 11/20/2018 Version: 1 Status: Agenda Ready In Control: City Council Meeting File Type: Resolution Agenda Number: A. 3 JET FUEL BUDGET ADJUSTMENT: A RESOLUTION TO APPROVE A BUDGET ADJUSTMENT IN THE AMOUNT OF $189,000.00 TO APPROPRIATE ADDITIONAL FUNDING FOR THE PURCHASE OF JET FUEL THROUGH THE END OF 2018 WHEREAS, the airport is currently at 95% utilization of its jet fuel expense budget due to a 36% increase in fuel sales over 2017 and an increase in the cost of fuel; and WHEREAS, airport staff believe an additional 9 loads of jet fuel will be needed through the end of the year and the increase in sales will generate additional revenue to offset the requested expense. 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 $189,000.00 to appropriate additional funding for the purchase of jet fuel through the end of 2018. City of Fayetteville, Arkansas Page 1 Printed on 1112012018 Summer Fallen City of Fayetteville Staff Review Form 2018-0617 Legistar File ID 11/20/2018 City Council Meeting Date - Agenda Item Only N/A for Non -Agenda Item 10/26/2018 Submitted By Submitted Date Action Recommendation: AIRPORT SERVICES (760) Division / Department Staff is requesting approval of a budget adjustment for $189,000 for an estimated 9 additional loads of jet fuel. Budget Impact: 5550.760.3955-5213.02 - Jet Fuel Account Number Project Number Budgeted Item? Yes Current Budget Funds Obligated Current Balance Does item have a cost? No Item Cost Budget Adjustment Attached? Yes Budget Adjustment Purchase Order Number: Change Order Number: Original Contract Number: Comments: Remaining Budget Airport Fund Project Title $ 1,046,250.00 $ 994,995.75 $ 51,254.25 $ 189,000.00 $ 240,254.25: Previous Ordinance or Resolution # Approval Date: V20180321 Res# 162-18 CITY OF FAYETTEVILLE ARKANSAS MEETING OF NOVEMBER 20, 2018 TO: Mayor and City Council THRU: Don Marr, Chief of Staff Terry Gulley, Transportation Services Director FROM: Summer Fallen, Airport Services Manager DATE: October 26, 2018 CITY COUNCIL MEMO SUBJECT: Jet Fuel Expense Account Budget Adjustment RECOMMENDATION: Staff is requesting approval of a budget adjustment for $189,000 for an estimated 9 additional loads of jet fuel. BACKGROUND/DISCUSSION: The airport is currently at 95% utilization of the jet fuel expense budget. This is due to a 36% increase in jet fuel sales from last year, and the cost increase of jet fuel itself. On August 7, 2018, City Council granted the airport an additional 20 loads of jet fuel. Due to an increase in charter traffic, football season, and the Springdale Airport being closed for two weeks in September the airport has utilized all additional inventory and estimates that an additional 9 loads or 72,000 gallons of fuel will be needed for the remainder of the year. The airport has sold an average of 10,499 gallons of jet fuel per week for the past three months. BUDGET/STAFF IMPACT: Staff is requesting funding for 9 more loads of jet fuel at $21,000.00, totaling a request of $189,000.00. The increase in sales will in turn generate additional revenue to offset the requested expense. Attachments: Staff Review Form City Council Memo Resolution 162-18 BA Mailing Address: 113 W. Mountain Street www.fayetteville-ar.gov Fayetteville, AR 72701 113 West Mountain Street Fayetteville, AR 72701 (479) 575-8323 Resolution: 162-18 File Number: 2018-0379 JET FUEL EMERGENCY FUNDING: A RESOLUTION TO APPROVE A BUDGET ADJUSTMENT IN THE AMOUNT OF $380,000.00 TO APPROPRIATE EMERGENCY FUNDING FOR THE PURCHASE OF JET FUEL THROUGH THE END OF 2018 WHEREAS, the airport is currently at 90% utilization of its jet fuel expense budget due to a 40% increase in fuel sales over 2017 and an increase in the cost of fuel; and WHEREAS, airport staff believe an additional 20 loads of jet fuel will be needed through the end of the year and the increase in sales will generate additional revenue to offset the requested expense. 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 $380,000.00 to appropriate emergency funding for the purchase of jet fuel through the end of 2018. PASSED and APPROVED on 8/7/2018 Approved: Li eld . xdan,iv r Attest: 11111�� Sondra E. Smith, City Clerk T,�E#1TR�� amu• �p,YEn � �r,9 .. KAN O •� GTD� Page 1 Printed on 818118 City of Fayetteville, Arkansas - Budget Adjustment Form (Legistar) Budget Year Division Adjustment Number AIRPORT SERVICES (760) 2018 /Org2 Requestor: Dee McCoy BUDGET ADJUSTMENT DESCRIPTION / JUSTIFICATION: Staff is requesting approval of a budget adjustment for $189,000 for an estimated 9 additional loads of jet fuel. The airport is currently at 95% utilization of the jet fuel expense budget. This is due to a 36% increase in fuel sales from last year, and due to the cost increase of jet fuel itself. It is anticipated that the airport will need 9 more loads of jet fuel, at approximately $21,000.00 per load, to sustain through the end of the year with high volumes of traffic anticipated throughout football season. The increase in sales will in turn generate additional revenue to offset the requested COUNCIL DATE: 11/20/2018 LEGISTAR FILE ID#. 2018-0617 RESOLUTION/ORDINANCE LilkHfltcr~ 10/31/2018 10:48 AM Budget Director Date TYPE: DESCRIPTION: GLDATE: POSTED: v.2U 18U62/ TOTAL 18 9, 000 189,000 Increase / (Decrease) Proiect.Sub# Account Number Expense Revenue Project Sub AT Account Name 5550.760.3940-4456.02 - 189,000 RE Aviation Fuel- Fuel Revenues 5550.760.3955-5213.02 189,000 EX Fuel - Jet Fuel H:\Budget Adjustments\2018_Budget\CITY_COUNCIL\2018-1 1-20\201-0617 BA Jet Fuel - 9 Loads 1 of 1