Title
An Ordinance approving Amendment No. 3 to the budget for the Fiscal Year ending June 30, 2026, as adopted by Ordinances 10132, 10133, 10136, 10137, and 10138, by amending the authorized expenditures for the City. (F&BC 3-2-26)
Body
Issue/Request:
An Ordinance approving Amendment No. 3 to the budget for the Fiscal Year ending June 30, 2026, as adopted by Ordinances 10132, 10133, 10136, 10137, and 10138, by amending the authorized expenditures for the City.
Key Issues:
Transfers
-Transfer of fund balances from the closure of the Land Fill Enterprise Fund and Land Fill Special Revenue Funds to the General Fund as previously discussed during the Presentation of the Annual Comprehensive Financial Report on January 7, 2026
-Transfer $1 million from the General Fund Unallocated balance to the General Capital Fund for the Quarry Park Road Relocation project.
A brief history of the Quarry Park Road Project:
• Following the unexpected mine collapse under NW Quarry Park Road, the NW Quarry Park Road connection to Pryor Road had to be closed (December 2023).
• Due to the cost prohibitive estimate to stabilize existing NW Quarry Park Road, staff determined relocating NW Quarry Park Road was the most cost-effective permanent fix.
• This spending authority covers the design, property acquisition, and construction of relocating NW Quarry Park Road to the north and establishing a permanent connection to Bannister Road.
-Consolidation of Funds: As part of the transition from Lawson to Workday the City took the opportunity to reduce the number of funds in the organization. The City has well over 100 separate funds, using strategic consolidation we are down to 40 funds. Several of the funds were zeroed out at the end of FY25, others have their FY25 ending balance transferred to the new consolidated fund. The following outlines the funds that were consolidated.
*F265 Grants & Settlements - consolidated Grants & Settlements, Violence Against Women Act Grant (VAWA), Entitlement Fund, and ARPA Fund
*F330 Park Development Fund - Park COP Debt Fund - revenue directly into the construction fund
*F350 General Capital Fund - consolidated General Governmental Capital and Green Street Capital Fund
*F630 ST Disability, Unemployment and Work Comp Fund - consolidated the Short Term Disability Fund, Unemployment Fund, and Workers' Compensation Fund - the three programs are tracked by program work tags instead of being in separate funds
*F800 Economic Development Fund - consolidated TIF, TDD, CID and other economic development type funds into one fund. Each incentive is tracked by its unique Incentive work tag
Revenue / Spending Changes
-Increase the revenue for Capital Projects Fund to receive the $100,000 match from the IDA for the Gateway Monument project
-Increase Creative Services spending authority for the Communication Strategic Plan, using planned fund balance spend down from FY24 spend down list
-Budget the bond proceeds received from the sale of the 2025A General Obligation bonds
-Increase and decrease of authority for Solid Waste Cost Center to align with the transfer of funds
-Increase the Wastewater Construction Fund spending authority $1 million to provide funding for the design work for the Jacomo Basin Pump Stations project
-Increase the Capital Project Fund spending authority $1 million to provide funding for the design, acquisition of property, professional fees, and construction of the Quarry Park Road Relocation Project
-Increase the Longview Community Center spending authority $67,270 for the replacement of the boiler for the pool
-Decrease the Capital Project Bond Fund spending authority, many large items were budgeted and also brought in with budget amendment no. 1. This reduction will take the budget down to the original budgeted amount for FY26
FTE Updates
-Update the Public Works FTE sheet with the Operator Foreman position to align with Council approved IAM Labor Agreement and Pay and Class Plan
-Update the Finance FTE sheet changing one Accounting Clerk FTE to an Accountant FTE, approved by the Human Resources Director and City Manager
Presenter
Rick Gentry, Budget Manager
Recommendation
Recommendation: Staff recommends approval