Explanation
1. BACKGROUND:
City Code Section 2155.04 grants the Director of the Department of Public Service the authority to set parking rates and rules of operation, such as effective days and hours. Rates and rules were last updated effective June 5, 2010.
In 2009, ordinance 1578-2009 authorized the City to enter into a cooperative agreement with the Franklin County Convention Facilities Authority and Franklin County for the acquisition, construction, installation, equipping and financing of a full-service convention center hotel. Section 3.3 of the agreement directed the City Auditor to establish a City Parking Meter Contribution Fund, and further directed the Auditor to deposit to that fund incremental parking meter receipts to maintain a balance of $1.4 million in the fund for the City's hotel-related financial requirements. In addition, ordinance 1560-2009 authorized the City Auditor to create a second special revenue fund called the "Parking Meter Program Fund".
The result of the cooperative agreement and ordinances 1578-2009 and 1560-2009 is that, effective January 1, 2010, parking meter revenues are deposited into three separate funds in a specified"waterfall" method. Section 1 of ordinance 1560-2009 stipulates that first and foremost each year the General Fund shall receive an amount equal to the total annual parking meter revenues received from January 1, 2009 through December 31, 2009. That equates to $3,349,870.15. After that amount is satisfied, parking revenues are to be deposited in the City Parking Meter Contribution Fund until the balance in that fund is $1.4 million. Any revenue received after the $1.4 million balance is established may be deposited in the Parking Meter Program Fund subject to amounts authorized by the Director of Finance and Management after review and approval of the Parking Meter Program Fund five year pro forma and associated budget. Monies in the Parking Meter Program Fund are available to replace the current parking meters, to manage, operate, and maintain the replacement meter system, and to enforce parking regulations.
Due to the "waterfall" method of allocating parking meter funds, the Parking Meter Program Fund will likely carry a lower balance in the earlier part of each year while funds are being deposited into the General Fund. During these periods, temporary cash flow assistance may be needed.
2. FISCAL IMPACT:
The purpose of this legislation is to provide temporary cash flow assistance, not to exceed $2 million per year, to the Parking Meter Program Fund. Use of the Special Income Tax Fund is appropriate and necessary to ensure that services provided by the Department of Public Service, Division of Mobility Options continue uninterrupted. The Department of Public Service understands that this is a temporary measure, and that all funds are to be repaid at the earliest practicable date.
3. EMERGENCY DESIGNATION:
The Department of Public Service is requesting that this ordinance be considered an emergency measure in order to ensure that any resulting accounting transactions are posted immediately.
Title
To authorize the City Auditor to execute temporary fund transfers from the Special Income Tax Fund to the Parking Meter Program Fund and to declare an emergency.
Body
WHEREAS, the cost of all services rendered by the parking meter program of the Department of Public Service, Division of Mobility Options are to be made self-sustaining through the use of the Parking Meter Program Fund, and
WHEREAS, these funds are to be supported by the fees collected from the City's parking meters; and
WHEREAS, it has been determined to be in the best interest of the City and the Department of Public Service that the Special Income Tax Fund shall be used to facilitate temporary cash assistance to the Parking Meter Program Fund, and
WHEREAS, the temporary cash assistance should not exceed $2 million per year, and
WHEREAS, an emergency exists in the usual daily operation of the Department of Public Service in that it is immediately necessary to authorize the City Auditor to make temporary fund transfers as shown below, in order to allow for the continuation of the services performed by the department; to preserve the public health, peace, property, safety and welfare; now, therefore,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. The City Auditor, in his discretion, is authorized to make temporary transfers of cash from the Special Income Tax Fund No. 430; to the Parking Meter Program Fund No. 268; to allow payment of necessary operating expenses from the latter fund in the event of temporary cash shortages in that fund.
Section 2. That these transfers are only to be made to address short-term cash flow issues, and they shall be repaid to the Special Income Tax Fund No. 430, upon the City Auditor determining that sufficient funds for such payment exist within the fund authorized to receive temporary fund transfers within Section 1 herein.
Section 3. That these transfers should not exceed $2 million per year.
Section 4. That repayment of such temporary transfers shall be a priority for the fund authorized to receive temporary fund transfers within Section 1 herein, and it is the intention of this provision that all temporary transfers be repaid at the earliest possible time.
Section 5. That all funds necessary to carry out the purpose of this ordinance are hereby deemed appropriated.
Section 6. 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.