Loading...
Ordinance 2017-03 - Ord. 2017-03 - budget amendment for wastewater CIP, 11-15-16 ORDINANCE NO. 2017-03 AN ORDINANCE OF THE CITY OF HUNTSVILLE, TEXAS, AMENDING THE 2016- 2017 ANNUAL BUDGET AND CAPITAL IMPROVEMENTS PROJECTS (CIP) BUDGETS, ORDINANCE NO. 2016-40 TO AMEND ADOPTED EXPENDITURES OF THE BUDGET; AND DECLARING AN EFFECTIVE DATE. WHEREAS, the 2016-2017 Annual Budget and CIP Budgets were adopted by Ordinance 2016-40 on September 20,2016; WHEREAS, various unforeseen circumstances affecting the City have presented themselves during the course of the fiscal year; WHEREAS, the City Council considered the circumstances independently, deliberating appropriately on the associated revenues and expenditures and the overall impact on the general financial status of the City; WHEREAS, pursuant to the laws of the State of Texas and the City Charter of the City of Huntsville, Texas, the City Council has determined that it will be beneficial and advantageous to the citizens of the City of Huntsville to amend the annual budget for fiscal year 2016—2017 and the Capital Improvements Projects(CIP)budget as set forth herein; and WHEREAS, this ordinance combines the independent Council actions into one budget amendment document; NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF HUNTSVILLE,TEXAS,that: Section 1. The findings set forth above are incorporated into the body of this ordinance. Section 2. The annual budget for fiscal year 2016 —2017 is hereby amended to include the expenditures and revenues in Exhibit"A" and the Capital Improvements Projects budget is hereby amended to include the expenditures described in Exhibit "A" attached hereto and made a part of this ordinance as if set out verbatim herein. Section 3. All ordinances of the City in conflict with the provisions of this ordinance are hereby repealed, and all other ordinances of the City not in conflict with the provisions of this ordinance shall remain in full force and effect. Section 4. Should any section, portion, sentence, clause or phrase of this ordinance be declared unconstitutional or invalid for any reason, it shall not invalidate or impair the force or effect of any other section or portion of this ordinance. Section 5. The necessity for amending the budget for the fiscal year 2016—2017 and Capital Improvements Projects, as required by the laws of the State of Texas, requires that this ordinance shall take effect immediately from and after its passage, as the law in such cases provides. Section 6.This ordinance shall take effect immediately after its passage. PASSED AND APPROVED on this the 15'day of November 2016. E C "aunine NTSVILLE,TEXAS And B , ayor T EST: WVTO FORM: Le oodward, City Secre Leor, City Attorney 'Sudget Amendments FY 16-17 November 1,5, 2016 .: Exhibit A Increase: Wastewater-Non-Dept-Transfer to CIP $ 1,894,794 The Series 1997 Wastewater Revenue Bonds required a Debt Reserve account for the Bonds and the initial$842,000 of reserve funds came from the bond proceeds. The Reserve funds have been carried in the Wastewater Fund ever since the Bonds were issued and interest earned has been added to the Reserve. The Bonds were refunded in 2011 but the Reserve requirement was still applicable. The final principal and interest payment on the Bonds was made in August 2016 and as such the Reserve funds are no Explanation: longer required. Bond Counsel has indicated the Reserve monies should be used for CIP Projects in that the initial monies for the Reserve came from Bond proceeds. This Budget Amendment will allow the transfer of the funds from the Wastewater Operations Fund to the Wastewater CIP Fund and use of the monies for Wastewater Projects with Projects to be determined at a future date. Additionally,Interest and Sinking monies in the amount of$89,929 no longer necessary due to the final maturity of the Bonds are part of this request to move monies to Wastewater CIP. Increase: Wastewater CIP-Unallocated Budget $ 1,894,794 The Series 1997 Wastewater Revenue Bonds required a Debt Reserve account for the Bonds and the initial$842,000 of reserve funds came from the bond proceeds. The Reserve funds have been carried in the Wastewater Fund ever since the Bonds were issued and interest earned has been added to the Reserve. The Bonds were refunded in 2011 but the Reserve requirement was still applicable. The final principal and interest payment on the Bonds was made in August 2016 and as such the Reserve funds are no Explanation: longer required. Bond Counsel has indicated the Reserve monies should be used for CIP Projects in that the initial monies for the Reserve came from Bond proceeds. This Budget Amendment will allow the transfer of the funds from the Wastewater Operations Fund to the Wastewater CIP Fund and use of the monies for Wastewater Projects with Projects to be determined at a future date. Additionally,Interest and Sinking monies in the amount of$89,929 no longer necessary due to the final maturity of the Bonds are part of this request to move monies to Wastwater CIP.