Explanation
BACKGROUND: This ordinance authorizes the appropriation and transfer of funds within the General Fund to the Basic City Services Subfund related to the refund of certain Bureau of Workers’ Compensation proceeds by the State of Ohio to the City of Columbus.
On October 28, 2020, Ohio Governor Mike DeWine formally requested the Ohio Bureau of Workers' Compensation (BWC) to process up to $5 billion in dividends to Ohio employers to ease the continued financial impact from the COVID-19 pandemic. In mid-December, the City of Columbus will receive an amount estimated at $63,972,429.71 from the BWC. Of this, an amount estimated at $53,193,075.00 (or the amount of monies actually received and allocated from BWC) will be deposited into the General Fund and will be included in the City Auditor’s revised 2020 revenue estimate released in December 2020. Legislation is needed to appropriate and transfer these proceeds to the appropriate Subfund within the General Fund.
Emergency Designation: Emergency action is requested so that these BWC proceeds can be formally appropriated and transferred to the General Fund - Basic City Services Subfund without delay.
FISCAL IMPACT: This ordinance authorizes the appropriation and transfer of an amount estimated at $53,193,075.00 (or the amount of monies actually received and allocated from BWC) of BWC proceeds to the General Fund - Basic City Services Subfund. It should be noted that this transaction is contingent upon the December 2020 revised revenue estimate issued by the City Auditor.
Title
To authorize the appropriation of an amount estimated at $53,193,075.00, or the amount of monies actually received and allocated from the Bureau of Workers’ Compensation rebate proceeds, within the General Fund; to authorize the transfer of the same amount to the General Fund Basic City Services Subfund; and to declare an emergency. ($53,193,075.00)
Body
WHEREAS, the State of Ohio has recently processed a refund of certain Bureau of Workers’ Compensation proceeds; and
WHEREAS, the City of Columbus will be the recipient of an amount estimated to be $63,972,429.71 in such proceeds, and a portion of these proceeds, estimated at $53,193,075.00, will be deposited into the General Fund; and
WHEREAS, it is necessary to authorize the appropriation and transfer of an amount estimated to be $53,193,075.00 of the total BWC proceeds from the General Fund to the General Fund - Basic City Services Subfund; and
WHEREAS, an emergency exists in the usual daily operation of the Finance and Management Department, in that it is immediately necessary to authorize the appropriation and transfer of BWC funds within the General Fund, so that these proceeds can be formally appropriated and transferred without delay, thereby preserving the public health, peace, property, safety, and welfare; now, therefore
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the estimated amount of $53,193,075.00, or the amount of monies actually received and allocated from BWC, be and is hereby appropriated from the unappropriated balance of the General Fund 1000, Subfund 100010 and from all monies estimated to come into said fund from any and all sources and unappropriated for any other purpose during the fiscal year ending December 31, 2020 in Div 4501 Object Class 10. This appropriated amount will be included in the City Auditor’s revised 2020 revenue estimate released in December 2020.
See Attached File: Ord 2898-2020 Legislation Template.xls
SECTION 2. That the transfer of the estimated amount of $53,193,075.00, or the amount of monies actually received and allocated from BWC, is hereby authorized within the General Fund 1000, from Subfund 100010 to Subfund 100017. This transferred amount will be included in the City Auditor’s revised 2020 revenue estimate released in December 2020.
See Attached File: Ord 2898-2020 Legislation Template.xls
SECTION 3. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is hereby declared an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.