HomeMy WebLinkAbout226-22 RESOLUTION113 West Mountain Street
Fayetteville, AR 72701
(479) 575-8323
Resolution: 226-22
File Number: 2022-0872
BEAVER WATER DISTRICT:
A RESOLUTION TO APPROVE A BUDGET ADJUSTMENT IN THE AMOUNT OF
$800,000.00 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 $800,000.00 for the
purchased water account due to increased water usage.
PASSED and APPROVED on 10/4/2022
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Attest:
Lioneld Jo r a ,Mayor Kara Paxton, City Clerk Treasuretr,%011 t I � � tr,�
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City of Fayetteville, Arkansas 113 West Mountain Street
Fayetteville, AR 72701
(479)575-8323
Text File
File Number: 2022-0872
Agenda Date: 10/4/2022 Version: 1 Status: Passed
In Control: City Council Meetinq
Agenda Number: A.9
BEAVER WATER DISTRICT:
File Type: Resolution
A RESOLUTION TO APPROVE A BUDGET ADJUSTMENT IN THE AMOUNT OF $800,000.00 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 $800,000.00 for the purchased water account
due to increased water usage.
City of Fayetteville, Arkansas Page 1 Printed on 101512022
Kevin Springer
Submitted By
City of Fayetteville Staff Review Form
2022-0872
Legistar File ID
10/4/2022
City Council Meeting Date - Agenda Item Only
N/A for Non -Agenda Item
9/13/2022 BUDGET & INFORMATION MGMT (133)
Submitted Date Division / Department
Action Recommendation:
Staff recommends approval of a budget adjustment in the amount of $800,000.00 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 cost? No
Budget Adjustment Attached? Yes
Purchase Order Number:
Change Order Number:
Original Contract Number:
Comments:
Budget Impact:
Current Budget
Funds Obligated
Current Balance
Item Cost
Budget Adjustment
Remaining Budget
Water & Sewer
Fund
Project Title
$ 10,338,000.00
$ 7,199,349.00
3,138,651.00
$ 800,000.00
3,938,651.00
V20210527
Previous Ordinance or Resolution #
Approval Date:
CITY OF
FAYETTEVILLE
ARKANSAS
MEETING OF OCTOBER 4, 2022
TO: Mayor and City Council
THRU: Paul A Becker, Chief Financial Officer
FROM: Kevin Springer, Budget Director
DATE: September 13, 2022
CITY COUNCIL MEMO
SUBJECT: Approval of a Budget Adjustment for Purchased Water Due to Increased
Water Usage.
RECOMMENDATION:
Staff recommends approval of a budget adjustment in the amount of $800,000.00 in the
Purchased Water account due to increased water usage, which is purchased from Beaver
Water District.
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 make some
changes based on growth, climate, and non -revenue water loss.
DISCUSSION:
Water purchased at the end of August 2022 is up by 10.93% compared to water purchased at
the end of August 2021. 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. More
specifically, customer water usage is currently at record levels and is up by 3%. Additionally, the
number of leaks in the City's water distribution system have increased by 82% at the end of
August 2022 compared to what was seen at the end of August 2021.
BUDGET/STAFF IMPACT:
Because most of the growth in water purchased from Beaver Water District directly
corresponds to growth in revenue, there are additional revenues received in water and
sewer sales. The $800,000 requested for Water Purchases will come from the
recognition of $560,000 in water sales and $240,000 in sewer sales.
Attachments:
Budget Adjustment
Mailing Address:
113 W. Mountain Street www.fayetteville-ar.gov
Fayetteville, AR 72701
City of Fayetteville, Arkansas - Budget Adjustment Form (Legistar)
Budget Year Division Adjustment Number
/Org2 WATER SEWER (720)
2022
Requestor: Kevin Springer
BUDGET ADJUSTMENT DESCRIPTION / JUSTIFICATION:
Staff recommends approval of a budget adjustment in the amount of $800,000.00 in the Purchased Water account due
to increased water usage, which is purchased from Beaver Water District.
RESOLUTION/ORDINANCE
COUNCIL DATE: 10/4/2022
LEGISTAR FILE ID#: 2022-0872
KeAvLwSpr�
911312022 3:19 PM
Budget Director Date
TYPE: D - (City Council)
JOURNAL #:
GLDATE:
CHKD/POSTED:
TOTAL
Account Number
800,000 800,000
Increase / (Decrease)
Expense Revenue
Proiect.Sub#
Project Sub.Detl AT
v.20220818
Account Name
5400.720.3800-5312.00
800,000
-
EX
Purchased Water
5400.720.4310-4431.01
5400.720.4410-4432.01
-
-
560,000
240,000
RE
RE
Water Sales - On Computer
Sewer Sales - On Computer
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