Title
Ordinance No. 24-19 amending Ordinance No. 23-65 (2024 Budget Appropriation Ordinance) for a supplemental appropriation to the Conservation Trust Fund in the amount of $567,118 to address additional operating and capital expenditures
Presenter:
Charae McDaniel, Chief Financial Officer
Chris Fiandaca, City Budget Manager
Kim King, Assistant Director - Parks, Recreation and Cultural Services
Body
Summary:
The Parks, Recreation and Cultural Services Department is requesting an increase in its 2024 Conservation Trust Fund (CTF) budget in the amount of $567,118 to meet anticipated increased operational costs including the purchase of a new mower and the necessary remediation and removal of a structure located in Palmer Park as well as support of the construction of Grey Hawk Park.
Background:
The first item the Department is requesting funds for is the purchase of a large commercial mower that will be a replacement for an existing unit. The current mower is used primarily at the El Pomar Youth Sports Complex. The unit is a 2004 Toro 580 with approximately 2500 hours of drive time on it. It has exceeded its recommended service life and parts are very difficult to acquire for this unit. This situation leads to longer downtimes when a mechanical failure occurs. Staff is recommending the Toro mower that is a direct replacement for this unit. It is designed specifically for large turf areas and has the widest cutting width on the market. The unit cost is $142,118.
The second funding request is to address a hazardous condition in Palmer Park. A fire in Palmer Park last year, determined to be started by transients, destroyed a vacant structure. Upon further investigation, it was determined that the site was not covered by insurance. As evaluation of the incident continued, it was established that the fire created a major asbestos spill. The property has been signed appropriately while mitigation funds are identified.
The cost of this mitigation project is much higher than a normal abatement because of the spill and the asbestos contractor having to follow established regulations regarding this type of incident. Funding for this project is proposed to be shared between TOPS Parks and CTF with each fund contributing $100,000. The TOPS Parks funds are 2023 budgeted funds being encumbered forward to 2024. The Department is requesting $100,000 from the CTF fund balance to fulfill the funding requirement and address this critical item that highlights the often-significant costs attributed to vandalism and illegal activities occurring within our parks system.
The last request is to support the construction of Grey Hawk Park which is estimated to begin fourth quarter 2024 with completion in early 2025. As an undeveloped site since 2006, staff has been exploring all opportunities to accumulate the needed funding to construct this long-overdue neighborhood park. This request is for $325,000 of supplemental funding from the CTF fund balance. The total project cost for Grey Hawk Park is $2.2 million. Currently, there is budget allocated for $1.1 million in CTF and TOPS funds. The remainder will come from CTF, TOPS and the Parkland Dedication Ordinance (PLDO) fund.
Previous Council Action:
On November 28, 2023, City Council approved the 2024 Budget per Ordinance No. 23-65, which included the appropriation of the Conservation Trust Fund.
Financial Implications:
The supplemental appropriation increases the 2024 Conservation Trust Fund expenditure budget by $567,118 and does not affect the General Fund budget or fund balance. The source of these funds is the Conservation Trust Fund balance.
City Council Appointed Board/Commission/Committee Recommendation:
The supplemental appropriation is being presented to the Parks, Recreation and Cultural Services Advisory Board at its March 14, 2024, meeting. This item will be an action item at their April 11, 2024, meeting
This supplemental appropriation was discussed with City Council Budget Committee on March 12, 2024.
Stakeholder Process:
N/A
Alternatives:
N/A
Recommended Action
Proposed Motion:
Move to approve Ordinance 24-19 amending Ordinance No. 23-65 (2024 Budget Appropriation Ordinance) for a supplemental appropriation to the Conservation Trust Fund in the amount of $567,118 to address additional operating and capital expenditures.
Summary of Ordinance Language
An ordinance amending Ordinance No. 23-65 (2024 Budget Appropriation Ordinance) for a supplemental appropriation to the Conservation Trust Fund in the amount of $567,118 to address additional operating and capital expenditures.