HomeMy WebLinkAboutM-78-0266•
Joseph Grassie, City Manager April 7, 1978
Funding for three Programs
Howard V. Gary, Director
Department of Management an Budget
Recently you requested that I search for funds to finance three programs:
ACTION (Bus System for Little Havana) $ 30,000
Blind Elderly Program 16,600
Increased Benefits for Retired Employees
(Option No. 2)
190,793*
TOTAL $237,393
We have completed our search, and the only funds available in addition to
the Contingent Fund are $10,000 allocated for "Environmental Protection"
in Special Programs and Accounts. Those funds will not be needed because
the Planning Department will be able to absorb any expenditures related to
environmental protection.
Total commitments against the Co:;gingent Fund to date amount to $84,350,
leaving an uncommitted balance of $169,650. The $169,650, added to the
$10,000 budgeted for Environmental Protection, results in $179,650 currently
uncommitted and available in Special Programs and Accounts. However, the
total is $57,743 less than the $237,393 sought.
Other budgetary requirements should be taken into consideration when deciding
on the use of the above available resources. Firstly, the FY'76-77 Fund Bal-
ance is approximately $198,000 short of anticipation. If you recall, $1 mil-
lion was anticipated in the FY'78 Budget as carry over fund balance from FY'77.
However, preliminary financial reports reveal that only $802,000 will be real-
ized. It should be noted that outside budget experts predicted that the City
would have $2.3 million in fund balance. If the City had agreed to use this
figure, the fund balance would be short approximately $1.5 million instead of
$198,000.
Secondly, the Fire Department needs approximately $140,000 for a new recruit
class, $60,000 for medical examinations and $54,000 for holiday pay for a
total of $254,000.
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Thirdly, the City will owe the University of Chicago approximately $51,000
at the end of this fiscal year for test validations, One of the requiremefts
of the Cohen Decree is that the City obtain the services of an independent
organization to design examinations that measure ones ability to perform the
job being tested for and, in addition, ensure safeguards against any racial,
cultural or ethnic biases, University of Chicago was selected to perform these
services, No provisions have been made in the budgets of the Police or Human
Resources Departments,
Fourthly, $27,884 is needed to operate African Square Park, These operational
expenses are needed to hire personnel, purchase recreational equipment and
supplies and other mandatory costs,
In summary, the following are additional budget requirements that are known
as of today:
Action $ 30,000
Blind Elderly Program 16,600
Increased Benefits for Retired Employees 100,793
Fund Balance Shortfall 198,000
Fire Recruit Class 140,000
Fire Medical Examinations 60,000
Fire Holiday Pay 54,000
University of Chicago Contract 51,000
African Square Park 27,884
EiVr/mt
cc: Richard Fo::moen
TOTAL $768, 277
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April 20, 1978
The Honorable Joseph R. Grassie
Manager, City of Miami
3500 Pan American Drive
Miami, Florida 33133
Dear Manager Grassie:
0n the basis of my review of actual severance payments during
the period October 1, 1977 to March 25, 1978 and for the prior
five years, 1 estimate that actual severance payments for fiscal
year 1978 will be S300,000 less than the $2,055,639 currently
budgeted.
The pattern of expenditures during fiscal year 1978 appears to
be a close approximation of the average for fiscal years 1976 and
1977 in which expenditures from October through March were
approximately 57 percent of those for the entire year; thus,
assuming that the S986,000 in actual severance payments from
October 1, 1977 through March 1978 is 57 percent of those for
all of fiscal year 1978, the total should be about $1,730,000,
or about $300.000 less than the budget.
appreciate the excellent assistance and cooperation that
Howard Gary and his assistants have given me in gathering
data and developing analyses for this estimate.
Sincerely,
arvey n rickson, Ph.D, CPA
9865 / . 158 Terrace
Miami, Florida 33157
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