Title
Ordinance No. 21-39 amending Ordinance No. 20-92 (2021 Appropriation Ordinance) for a supplemental appropriation to the Lodgers & Auto Rental Tax (LART) Fund in the amount of $1,309,315 for additional projects and events recommended by the LART Citizen Advisory Committee
Presenter:
Charae McDaniel, Chief Financial Officer
PK McPherson, Chair, LART Citizen Advisory Committee
Body
Summary:
The LART Citizen Advisory Committee, at their meetings in March of 2021, recommended approval and funding of additional events and projects. The attached ordinance is a supplemental appropriation to the LART Fund in the amount of $1,309,315 as shown in Exhibit A, as recommended by the LART Citizen Advisory Committee.
At the November 2020 coordinated election, the City requested, and the voters approved, the retention and spending of all revenues received in 2019 and 2020, and the resetting of the revenue and spending limitations for 2021 based thereon. Revenue and spending limitations associated with TABOR apply to the LART Fund. Because of the passage of the ballot item, an amount of $1.175 million that had previously been set aside and reserved as unspendable due to TABOR revenue and spending limitations is now available for appropriation in 2021. This amount is included in a total amount available for appropriation in 2021 of approximately $1.6 million.
Background:
A number of events in the community have been designated by Council resolutions over the years as “City-sponsored events” and are supported in whole or in part by LART funds. The remaining funds are allocated to projects and events in the community through an application process and extensive review by the LART Citizen Advisory Committee, which results in their recommendation to City Council for projects to include in the City’s annual budget (Exhibit A: 2021 List of LART Projects).
The LART Citizen Advisory Committee, at their March 2021 meetings, reviewed additional applications for funding and recommended a supplemental appropriation for additional projects and events for 2021 totaling $1,309,315. The recommendations from the LART Committee include fully funding the Resolution events, which had previously been funded at 70%. The Committee also reviewed applications for several other events and made recommendations for approval and funding levels.
Previous Council Action:
On October 13, 2020, City Council recommended LART expenditures to be included in the 2021 budget (Resolution No. 86-20). On December 10, 2020, City Council approved the 2021 Budget per Ordinance No. 20-92, which included the appropriation of funds for the LART Fund.
Financial Implications:
The supplemental appropriation increases the 2021 LART Fund expenditure budget by $1,309,315 and does not affect the General Fund balance. The source of these funds is the available fund balance in the LART fund. After this supplemental appropriation, there is approximately $300,000 of remaining funds available for appropriation in 2021.
City Council Appointed Board/Commission/Committee Recommendation:
The LART Citizen Advisory Committee has recommended funding for the projects listed in Exhibit A totaling $1,309,315 to be funded in 2021.
Stakeholder Process:
This request was discussed at a special City Council Budget Committee on March 16, 2021.
Alternatives:
N/A
Recommended Action
Proposed Motion:
Move approval of the attached ordinance approving a supplemental appropriation to the Lodgers & Auto Rental Tax Fund.
Summary of Ordinance Language
An Ordinance amending Ordinance No. 20-92 (2021 Appropriation Ordinance) for a supplemental appropriation to the Lodgers & Auto Rental Tax (LART) Fund in the amount of $1,309,315 for additional projects and events recommended by the LART Citizen Advisory Committee