Explanation
BACKGROUND:
This legislation authorizes the City Auditor to transfer funds within the Water Operating Fund and the Sanitary Sewer Operating Fund. It also authorizes supplemental appropriation within the Storm Sewer Operating Fund and the Electricity Operating Fund.
The results of the third quarter financial review show both positive and negative budgetary variances in multiple funds for Columbus Water and Power. This request transfers budget appropriation where expenditures were less than budgeted into funding categories where expenditures are more than expected. These transactions are required to properly align budget appropriation and allow the divisions to continue operations until a new operating budget is passed by City Council. Supplemental appropriation is requested where positive budgetary variances were not sufficient to cover expected deficits within the Storm Sewer Operating Fund and Electricity Operating Fund.
FISCAL IMPACT:
A transfer between object classes of $3,664,221.00 is needed within the Water Operating Fund and a transfer of $6,602,770.00 is needed in the Sanitary Sewer Operating Fund. An increase in appropriation of $1,500,000.00 is needed within the Storm Sewer Operating Fund and $2,000,000.00 within the Electricity Operating Fund.
These transfers and supplements are required to pay for internal service charges, primarily pro-rata, where the remaining budget appropriation is not sufficient. The fund balances can support these transactions.
EMERGENCY JUSTIFICATION: Emergency action is requested to add funding (via transfer and supplemental appropriation) to the Water Operating, Sanitary Sewer Operating, Storm Sewer Operating and Electricity Operating Funds to cover expected deficits for additional internal bills. Failure to do so immediately would result in a lack of services appropriation and prevent any other operational encumbrance.
Title
To appropriate $1,500,000.00 within the Storm Sewer Operating Fund and $2,000,000.00 within the Electricity Operating Fund; to authorize the City Auditor to transfer $3,664,221.00 between object classes within the Water Operating Fund and $6,602,770.00 between object classes within the Sanitary Sewer Operating Fund; and to declare and emergency. ($10,266,991.00)
Body
WHEREAS, the results of the third quarter financial review show both positive and negative budgetary variances in multiple funds for Columbus Water and Power; and
WHEREAS, these transactions are required to properly align budget appropriation and allow the divisions to continue operations until a new operating budget is passed by City Council; and
WHEREAS, it is necessary to appropriate funds in the Electricity Operating Fund, Fund 6300 and the Storm Sewer Operating Fund, Fund 6200; and
WHEREAS, the Division of Water has a need to transfer $3,664,221.00 between object classes within the 2026 Water Operating Fund 6000; and
WHEREAS, the Division of Water Reclamation has a need to transfer $6,602,770.00 between object classes within the 2026 Sanitary Sewer Operating Fund 6100; and
WHEREAS, an emergency exists in the usual daily operations of Columbus Water & Power in that it is immediately necessary to authorize the City Auditor to transfer funds within the Water Operating Fund and the Sanitary Sewer Operating Fund, and to appropriate additional funding in the Storm Sewer Operating Fund and Electricity Operating Fund to cover expected, immediate services deficits; all for the immediate preservation of the public health, peace, property, safety, and welfare; and NOW, THEREFORE
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That from the unappropriated monies 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 ended December 31, 2026, the sum of $2,000,000.00 is appropriated in Fund 6300 (Electricity Operating Fund), per the account codes in the attachment to this ordinance.
SECTION 2. That from the unappropriated monies 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 ended December 31, 2026, the sum of $1,500,000.00 is appropriated in Fund 6200 (Storm Sewer Operating Fund), per the account codes in the attachment to this ordinance.
SECTION 3. That the transfer of $3,664,221.00 or so much thereof as may be needed is hereby authorized between Object Classes within Fund 6000, Water Operating Fund, per the accounting codes in the attachment to this ordinance.
SECTION 4. That the transfer of $6,602,770.00 or so much thereof as may be needed is hereby authorized between Object Classes within Fund 6100, Sanitary Sewer Operating Fund, per the accounting codes in the attachment to this ordinance.
SECTION 5. That funds are hereby deemed appropriated and transfers authorized to carry out the purposes of this ordinance, and the City Auditor shall establish such accounting codes as necessary.
SECTION 6. That the City Auditor is authorized to make any accounting changes to revise the funding source for all contracts or contract modifications associated with this ordinance.
SECTION 7. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is hereby declared to be 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.