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HomeMy WebLinkAboutSubstitution Memo from Office of Management and BudgetCITY OF MIAMI, FLORIDA INTER -OFFICE MEMORANDUM Arthur Noriega V. City Manager Date: November 15, 2024 Subject: Substitution Fiscal Year 2023-24 Close-out Budget Amendment — RE.11 File ID:16636 Marie "Maggie" Gouin, Director Enclosures: ASF, Resolution, and Exhibit A Office of Management and Budget The Office of Management and Budget respectfully requests that item RE. 11 amending appropriations relating to operational and budgetary requirements for the fiscal year ending September 30, 2024, be substituted in the November 21, 2024 City Commission Meeting, to reflect changes made to the original agenda item and supplemental materials as shown in the exhibits provided. Upon approval, the revised Agenda Summary Form, Resolution, and Exhibit "A" will be forwarded to the Agenda Office for distribution to the Mayor and all Commissioners. DocuSigned by: 111461, Approved OSOOr90372D0I2AA... Arthur Noriega V., City Manager I .vcv3ct, Sitos4) -1-ul;oti ►'n2)(14.0 -Gro„-, 01-Ace ac rw4 awl r�I�� ?Ir. • 4‘. 10 AGENDA ITEM SUMMARY FORM FILE ID: 16636 Law Department Matter ID No. Date: 9/11/2024 Requesting Department: Office of Management and Budget Commission Meeting Date: 11/21/2024 District Impacted : All Type: ®Resolution ❑ Ordinance ❑ Emergency Ordinance ❑ Discussion Item ❑ Future Legislation ❑ Other Subject: FY 2023-24 Budget Appropriations Purpose of Item: Recommend changes to the FY 2023-24 budget to allow for year-end close-out. Background Information: As FY 2023-24 is now complete and the financial system is now closed, as such it is now appropriate to amend the City's previously approved budget allocations to close the fiscal year in compliance with existing laws ( Florida Statutes 166.241) and best practices. Budget Impact Analysis ® Yes ❑ No Is this item related to revenue? ® Yes LI No Is this item an expenditure? If so, please identify funding source below. General Account No: Various Special Revenue Account No: Various CIP Project No: N/A ❑ Yes El No Is this Item funded by bonds? Start Up Capital Cost: Maintenance Cost: Total Fiscal Impact: $58,406,000 (GF: $57,240,000; SR: $1,166,000) Sponsorship Information (This section is not required for items that have Citywide impact.) ❑ Yes ❑ No Has the District Commissioner been advised of this item? Please check which of the following applies: ❑ The District Commissioner will sponsor the item. Specify district below. ❑ D1 ❑D2 ❑D3 ❑D4 ❑D5 ❑ The District Commissioner will NOT sponsor the item. ❑ Response pending from District Commissioner. Does the item require approval from the following departments? ❑ Grants ❑ Procurement ❑ Risk Dept. Director Final Approval co Page 1 of 1 ..TITLE A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), AMENDING APPROPRIATIONS RELATING TO OPERATIONAL AND BUDGETARY REQUIREMENTS FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 2024. ..BODY WHEREAS, in accordance with Section 166.241(4), Florida Statutes, and other applicable State of Florida and local laws (collectively, "Laws"), the City of Miami ("City") is amending and closing out its General Fund Budget and total Budget for all funds for the fiscal year ending September 30, 2024 ("Fiscal Year 2023-24"), as further described in Exhibit "A", attached and incorporated; and WHEREAS, the General Fund Budget for Fiscal Year 2023-24 is $1,117,828,000 and the total Budget for all operating funds is $1,698,028,000; and WHEREAS, in accordance with the close-out memorandum set forth in Exhibit "A", attached and incorporated, it is in the best interests of the City to authorize the City Manager to make any necessary changes to adjust, amend, and appropriate the City's Fiscal Year 2023-24 Operating Budget, Five -Year Financial Plan, Strategic Plan, and Multi -Year Capital Plan as may be necessary for said purpose; and WHEREAS, the major source of revenue for the General Fund is derived from the category identified as "Property Taxes" in the amount of $529,682,000; and WHEREAS, it is necessary to adjust year-end budgets for the General Fund, Special Revenue Funds, and Debt Service Funds in order to comply with the Laws; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The recitals and findings contained in the Preamble to this Resolution are adopted by reference and incorporated as if fully set forth in this Section. Section 2. The following appropriations are made for the municipal operations of the General Fund for Fiscal Year 2023-24: GENERAL FUND AMENDED APPROPRIATIONS Departments, Boards and Offices: Mayor Commissioners City Manager Agenda Coordination Independent Auditor General City Attorney City Clerk Civil Service Code Compliance Communications Equal Opportunity and Diversity Programs Finance Grants Administration Human Resources Innovation and Technology Management and Budget Procurement Resilience and Sustainability Human Services Building Planning Zoning Housing and Community Development Capital Improvements General Services Administration Resilience and Public Works Solid Waste Fire -Rescue Police Real Estate and Asset Management Parks and Recreation Risk Management Non -Departmental Accounts (NDA) Transfers - Out Total $ 3,261,000 11,333,000 4,888,000 413,000 1,782,000 12,310,000 2,321,000 677,000 11,402,000 1,666,000 647,000 12,784,000 1,889,000 6,083,000 14,711,000 3,737,000 3,344,000 1,171,000 7,730,000 36,407,000 7,216,000 6,030,000 2,521,000 1,800,000 35,127,000 38,505,000 48,413,000 236,992,000 352,626,000 18,864,000 60,621,000 4,561,000 36,266,000 129,730,000 $ 1,117,828,000 Section 3. The above appropriations for the General Fund are made based on the following sources of revenues for Fiscal Year 2023-24: GENERAL FUND REVENUES Property Taxes $ 529,682,000 Franchise Fees and Other Taxes 138,291,000 Interest 46,593,000 Transfers -In 25,390,000 Fines and Forfeitures 6,743,000 Intergovernmental Revenues 111,569,000 Licenses and Permits 104,888,000 Other Revenues (Inflows) 11,377,000 Charges for Services 143,295,000 TOTAL GENERAL FUND $ 1,117,828,000 Section 4. The following appropriations are made for the municipal operations of Debt Service Funds for Fiscal Year 2023-24: DEBT SERVICE FUNDS APPROPRIATONS General Obligation Bonds Special Obligation Bonds TOTAL DEBT SERVICE FUNDS $ $ 25,958,000 40,368,000 66,326,000 Section 5. The above appropriations for Debt Service Funds are made based on the following sources of revenues for Fiscal Year 2023-24: DEBT SERVICE FUNDS REVENUES Property Taxes Transfers -In and Other Revenues TOTAL DEBT SERVICE FUNDS $ $ 25,958,000 40,368,000 66,326,000 Section 6. The following appropriations are made for the municipal operations of Special Revenue Funds for Fiscal Year 2023-24: SPECIAL REVENUE FUNDS AMENDED APPROPRIATIONS General Special Revenues Sport Facilities and Activities Planning Services Planning and Zoning Tree Trust Fund Public Art Fund Historic Preservation Trust Fund Fire Rescue Services UASI-Fire Rescue NET Offices and Code Enforcement Parks and Recreation Services Police Services Law Enforcement Trust Fund Public Works Services Solid Waste Recycling Trust City Clerk Services Community and Economic Development Homeless Program Human Services Bayfront/Riverfront Land Acquisition Rouse Trust Mami Ballpark Parking Facilities Departmental Improvement Initiatives Transportation and Transit Emergency Funds American Rescue Plan Act TOTAL SPECIAL REVENUE FUNDS 4,047,000 18,000 22,750,000 2,766,000 3,786,000 648,000 10,683,000 14,640,000 11,000 4,016,000 19,852,000 1,688,000 8,680,000 127,000 2,005,000 75,978,000 2,407,000 1,370,000 2,079,000 16,697,000 85,047,000 23,710,000 17,953,000 80,000,000 400,958,000 Section 7. The above appropriations for Special Revenue Funds are made based on the following sources of revenues for Fiscal Year 2023-24: SPECIAL REVENUE FUNDS REVENUES All Sources TOTAL SPECIAL REVENUE FUNDS 400,958,000 400,958,000 Section 8. The following appropriations are made for the municipal operations of Internal Service Funds for Fiscal Year 2023-24 : INTERNAL SERVICE FUND Life and Health Insurance Workers' Compensation Others TOTAL INTERNAL SERVICE FUND APPROPRIATIONS - 54,454,000 22,441,000 36,021,000- $ 112,916,000. Section 9. The above appropriations for Internal Service Funds are made based on the following sources of revenues for Fiscal Year 2023-24: INTERNAL SERVICE FUND REVENUES All Sources $ 112,916,000 TOTAL INTERNAL SERVICE FUND $ 112,916,000 Section 10. This Resolution is a resolution of precedent and all other resolutions in conflict with it are held null and void insofar as they pertain to these appropriations; however, no provision contained in this Resolution shall be construed to violate the Anti -Deficiency Act, as set forth in Sections 18-500 through Sections 18-503 of the Code of the City of Miami, Florida, as amended ("City Code"). These appropriations are expenditure requirements for the City, but are not mandatory. The City Manager is specifically authorized' to transfer funds between accounts and withhold any of these appropriated funds from encumbrance or expenditure should such action appear advantageous to the economic and efficient operation of the City. The City Manager is also authorized' to transfer any excess unrestricted moneys from other funds to the General Fund provided that those are appropriated moneys which are no longer needed to implement the original purpose of the appropriation and whose expenditure is not limited to use for any other specified purpose. Section 11. All departments and the number of employees designated therein provided for in this budget either by position summary or by the organizational chart are deemed approved by the City Commission. Any permanent change regarding same shall require City Commission approval. Section 12. The City Manager is authorized' to continue to administer the executive pay plan and benefit package, and to disburse the funds appropriated herein for said purpose in a manner he deems appropriate. The City Manager is also authorized' to administer and disburse the City Commission benefit package. With the exception of those positions in which the salary is established by City Commission action, the City Manager is further authorized' to establish the salaries of those employees in executive and staff positions in accordance with the executive and staff pay plan. These employees may receive any salary increases given as stated in this Resolution. Section 13. The City Manager is authorized' to disburse any funds that may be designated by the City Commission as cost -of -living or other pay adjustments to Civil Service, executive and staff employees as may be approved by the City Manager. Section 14. Nothing contained in this Resolution shall be construed as to prohibit or prevent the City Manager, the administrative head of the City, who is responsible for the efficient administration of all Departments, from exercising the power granted to and imposed upon him in the Charter of the City of Miami, Florida, as amended ("City Charter") to fix, adjust, raise, of lower salaries, and to create, abolish, fill or hold vacant, temporary or permanent positions whenever it has been determined by the City Manager to be in the best interest of efficient and 1 The herein authorization is further subject to compliance with all legal requirements that may be imposed, including but not limited to, those prescribed by applicable City Charter and City Code provisions. economical administration of the City and all its Departments2. The authority contained in this Section shall also be applicable whenever the City Manager shall cause a Department to reorganize itself to perform its services more efficiently; such reorganization may include reduction of budgeted positions, reclassification of positions, and alteration of the number of budgeted positions in any given classification. Section 15. (a) (1) The transfer of funds between the detailed accounts comprising any separate amount appropriated by the above sections hereof is approved and authorized when such transfer shall have been made at the request of the City Manager and when such transfer shall have been made of any part of an unencumbered balance of an appropriation to or for a purpose or object for which the appropriation for the herein fiscal year has proved insufficient. (2) The transfer of funds between the detailed accounts comprising any separate amount appropriated by the above sections hereof is approved and authorized when such transfer of funds is made at the request of the City Manager and when such transfer is to be made between the detailed accounts appropriated to the same office, department, or division. (b) (1) To effect salary adjustments, the City Manager is further authorized to make departmental and other transfers from any reserve accounts established in the General Fund, and is authorized' to approve transfers for any unforeseen requirements of all appropriated funds as may be required so long as such transfer is consistent with the provisions contained in Chapter 18, Article IX of the City Code. (2) To facilitate effective budgetary control and sound fiscal management, the City Manager is further authorized to transfer funds from departmental budget reserve accounts to the Emergency Account of Non -Departmental Accounts to other Funds, and to departmental budget reserve accounts from the Emergency Account of Non -Departmental Accounts to other Funds. (3) The Emergency Account is declared to be appropriated to meet emergency expenses and is subject to expenditure by the City Manager for any emergency purpose. (c) Except as herein provided, transfers between items appropriated shall be authorized by resolution amendatory hereto, except that transfers from the Non -Departmental Accounts may be made by resolution. Section 16. (a) The City Manager is authorized) to invite or advertise for bids for the purchase of any material, equipment, physical improvement, or service provided by the aforementioned appropriations or which may be provided for in accordance with the authority of this Resolution, for which formal bidding is required; such bids shall be returnable to the City Commission or City Manager in accordance with City Charter or City Code provisions. (b) Further, expenditure of the herein appropriated funds is authorized in the procurement of goods and services by award or contract for the same by the City Commission following the use, if applicable, of competitive negotiations unless the award of such contract by the City Manager is expressly allowed under City Code provisions. Section 17. This Resolution shall become effective immediately upon its adoption and 2 The provisions of this Section 14 are subject to the limitations and requirements set forth in City Commissibr) Resolution No. 22-0230. (71 fy° signature of the Mayor. 3 3 If the Mayor does not sign this Resolution, it shall become effective at the end of ten (10) calendar days from the date it was passed and adopted. If the Mayor vetoes this Resolution, it shall become effective immediately upon override of the veto by the City Commission. CITY OF MIAMI, FLORIDA INTER -OFFICE MEMORANDUM TO: Honorable Mayor and Members DATE: November 15, 2024 of the City Commission FROM: Arthur Noriega V. DS QN SUBJECT: Information for the FY 2023-24 City Manager Year -End Budget Amendment Background and Summary for General Fund Amendment As part of the year-end financial closing process, it is customary for the Administration to present to the Commission a close-out budget amendment. In accordance with Florida Statutes 166.241(7), the City may amend the budget of the previous fiscal year within 60 days (November 30`h) of the end of that respective fiscal year. Recommendations for year-end budget amendments for departments are being proposed to address certain line -item expenditures overages and year-end capital allocations. In the General Fund, preliminary unaudited financial results for Fiscal Year 2023-24 indicate that the City fund balance will increase by approximately $30.943 million from the previous fiscal year. City Administration is recommending that $24.022 million of this surplus be allocated to year-end budget amendments (listed below), and the remaining $6.921 million will be reserved to maintain compliance with Financial Integrity Principles (See Attachment A). Summary of Changes in the General Fund Revenues The City's FY 2023-24 General Fund Revenue Budget is being amended to increase the "Interest" ($29.692 million), the "Licenses and Permits Revenues" ($16.990 million), and the "Charges for Services" ($10.558 million). This will result in total amended general fund revenues of $1.118 billion or an increase of $57.240 million (See Attachment A). Summary of Changes in the General Fund Expenditures The City's FY 2023-24 General Fund Expenditure Budget is being amended to increase by $57.240 million to cover additional expenses in multiple departments. The resulting total amended General Fund expenditure budget will be $1.118 billion (See Attachment A). 1. An increase of $41.076 million among City departments primarily to cover additional personnel expenses due to new union contracts. 2. A decrease of -$7.858 million in the Non -Departmental Accounts (NDA), Budget Reserve to cover others City departments' needs. ': CO Honorable Mayor and Members of the City Commission Information for the FY 2023-24 Year -End Budget Amendment Page 2 of 3 3. An increase $24.022 million in the Non -Departmental Accounts (NDA), Transfer -Out — to cover New Capital Allocations ($22.856 million) and New Special Revenue Allocations ($1.166 million) as detailed below. Transfer — Out Allocations Detail ($24.022 million) distributed as follows: Transfer out to Capital — ($22.856 million) — New Appropriations considered as a Summary of Changes in the Five -Year Capital Plan 1. $4 million for Police Vehicles 2. $4 million for Mission Critical Capital Request and additional Capital for Department of Fire and Rescue 3. $3.5 million for Police Garage 4. $2.965 million for Little Haiti Cultural Center, Water Intrusion and Drainage 5. $2.275 million for the Caribbean Marketplace, Re -roofing 6. $1.5 million for the Underline, Maintenance 7. $981,000 for Spot Drainage 8. $600,000 for a plumbing renovation in Police Building 9. $600,000 for a Grapeland Park 10. $500,000 for Traffic Calming 11. $350,000 for a Douglas Park Dog Run 12. $300,000 for the Public Safety Building Program and Massing Study Capital Project 13. $250,000 for a Bryan Park 14. $200,000 for the Plaza de la Cubanidad 15. $160,000 for an 8th Floor Plan Renovation 16. $151,000 for the MRC, Parking Garage Supplemental 17. $150,000 for Traffic Calming Project at SW 1 AVE and SW 24 RD 18. $150,000 for the Cost of Feasibility Study for GSA lot by AECOM 19. $130,000 for the Code Compliance Office renovation in Overtown 20. $47,000 for the City Hall, District 2 Office Renovation 21. $28,000 for the Hazard Mitigation Grant - Fire Station 6 Hardening 22. $19,000 for the Police, Small -Scale Derelict Vessel Removal program (Cash Match) Transfer out to Special Revenue — ($1.166 million) a) $722,000 to Citywide Festivals and Events for the College Football Playoff ($550,000), the Gay 8 Parade ($100,000), and for the Latin GRAMMYs ($72,000) b) $311,000 for Miami for Everyone (Venture Miami) to reclassify a balance from previous allocation of the America Rescue Plan Act c) $150,000 for the Miami for Everyone FIU, First -Generation Scholarship Initiative (Venture Miami) to reclassify a balance from previous allocation of the America Rescue Plan Act d) $18,000 for the Department of Fire and Rescue, EMS Matching Grant Award — M2413. e)-$35,000 back to the General Fund (GF) for a GF contribution to the Human Services Special Revenue Fund no longer needed 7 Honorable Mayor and Members of the City Commission Information for the FY 2023-24 Year -End Budget Amendment Page 3of3 Summary of Changes in the Special Revenue Fund (New Appropriations $1.166 million) 1. An increase of $1.183 million to the Departmental Improvement Initiative fund for Citywide Festivals and Events ($772,000; Award 2430) and for the to the Miami For Everyone (MFE) Program ($461,000; Award 2941) as detailed in the allocation section above (items b and c). 2. An increase of $18,000 to the Fire Rescue Services Fund as a General Fund Contribution to the EMS Matching Grant Award — M2413. 3. A decrease of -$35,000 to the Human Services Fund to reallocate a General Fund Contribution no longer needed. 4. A reallocation of $6,000 to the Miami Ballpark Parking Facilities, Transfer -Out Budget Line Item to cover prior year negative fund balance in the Special Obligation Bonds (SOB), funds 24023 and 24029. This reallocation has a zero net budget impact. Summary of Changes in the America Rescue Plan Act (ARPA) Fund 97100 • A reallocation of funding totaling $1,618.98 from Department of Housing and Community Development's ARPA-Elderly Meals Program to the ARPA-New Construction Homeownership Project. This reallocation has a zero net budget impact. Attachment A General Fund Revenue Amended Budget FY 2023-24 Amendment Nov 21, 2024 (Close-out) Amended Budget FY 2023-24 Property Taxes $529,682,000 $529,682,000 Franchise Fees and Other Taxes 138,291,000 138,291,000 Interest 16,901,000 29,692,000 46,593,000 Transfers -In 25,390,000 25,390,000 Fines and Forfeitures 6,743,000 6,743,000 Intergovernmental Revenues 111,569,000 111,569,000 Licenses and Permits 87,898,000 16,990,000 104,888,000 Other Revenues (Inflows) 11,377,000 11,377,000 Charges for Services 132,737,000 10,558,000 143,295,000 Total Revenues $1,060,588,000 $57,240,000 $1,117,828,000 General Fund Expenditures Mayor $3,261,000 - $3,261,000 Commissioners 11,333,000 - 11,333,000 City Manager 4,888,000 - 4,888,000 Agenda Coordination 409,000 4,000 413,000 Independent Auditor General 1,782,000 - 1,782,000 City Attorney 12,310,000 - 12,310,000 City Clerk 2,301,000 20,000 2,321,000 Civil Service 647,000 30,000 677,000 Code Compliance 11,320,000 82,000 11,402,000 Communications 1,591,000 75,000 1,666,000 Equal Opportunity and Diversity Programs 647,000 - 647,000 Finance 12,635,000 149,000 12,784,000 Grants Administration 1,884,000 5,000 1,889,000 Human Resources 6,049,000 34,000 6,083,000 Innovation and Technology 14,541,000 170,000 14,711,000 Management and Budget 3,736,000 1,000 3,737,000 Procurement 3,344,000 - 3,344,000 Resilience and Sustainability 1,171,000 - 1,171,000 Human Services 7,406,000 324,000 7,730,000 Building 36,075,000 332,000 36,407,000 Planning 7,216,000 - 7,216,000 Zoning 6,030,000 - 6,030,000 Housing and Community Development 2,281,000 240,000 2,521,000 Capital Improvements 1,675,000 125,000 1,800,000 General Services Administration 34,736,000 391,000 35,127,000 Resilience and Public Works 37,835,000 670,000 38,505,000 Solid Waste 44,153,000 4,260,000 48,413,000 Fire -Rescue 213,400,000 23,592,000 236,992,000 Police 345,159,000 7,467,000 352,626,000 Real Estate and Asset Management 18,864,000 - 18,864,000 Parks and Recreation 57,971,000 2,650,000 60,621,000 Risk Management 4,106,000 455,000 4,561,000 Non -Departmental Accounts (NDA) 44,124,000 (7,858,000) 1 36,206,000 Transfers - Out 105,708,000 24,022,000 129,730,006 TOTAL GENERAL FUND $1,060,588,000 $57,240,000 $1,117,828,000 -c- Attachment B Special Revenue Funds Amended Budget FY 2023-24 Amendment Nov 21, 2024 (Close-out) Amended Budget FY 2023-24 General Special Revenues $ 4,047,000.00 $ 4,047,000.00 Sport Facilities and Activities 18,000 18,000 Planning Services 22,750,000 22,750,000 Planning and Zoning Tree Trust Fund 2,766,000 2,766,000 Public Art Fund 3,786,000 3,786,000 Historic Preservation Trust Fund 648,000 648,000 Fire Rescue Services 10,665,000 18,000 10,683,000 UASI-Fire Rescue 14,640,000 14,640,000 NET Offices and Code Enforcement 11,000 11,000 Parks and Recreation Services 4,016,000 4,016,000 Police Services 19,852,000 19,852,000 Law Enforcement Trust Fund 1,688,000 1,688,000 Public Works Services 8,680,000 8,680,000 Solid Waste Recycling Trust 127,000 127,000 City Clerk Services 2,005,000 2,005,000 Community and Economic Development 75,978,000 75,978,000 Homeless Program 2,407,000 2,407,000 Human Services 1,405,000 (35,000) 1,370,000 BayfrontlRiverfront Land Acquisition Rouse Trust 2,079,000 2,079,000 Miami Ballpark Parking Facilities 16,697,000 16,697,000 Departmental Improvement Initiatives 83,864,000 1,183,000 85,047,000 Transportation and Transit 23,710,000 23,710,000 Emergency Funds 17,953,000 17,953,000 American Rescue Plan Act 80,000,000 80,000,000 TOTAL SPECIAL REVENUE FUNDS $ 399,792,000 $ 1,166,000 $ 400,958,000 Abbreviations ACFR - Annual Comprehensive Financial Report FY - Fiscal Year GF - General Fund PR - Program Revenues UASI - Urban Area Security Initiative m