Explanation
Background: This ordinance authorizes a supplemental appropriation of $975,000 for the Fleet Management Division of the Public Service Department. The appropriation is needed as a result of higher than anticipated costs for fuel and higher than anticipated expenditures for automotive parts.
The 2004 budget appropriated $4,450,437 for fuel purchases. The budget assumed the purchase of 3,640,350 gallons at $1.22 per gallon. As of June 2004, Fleet has purchased 1,777,626 gallons (49 percent of the budget) at an average price of $1.42 per gallon, 16.4 percent above estimate. An additional $655,000 in fuel appropriation is needed to cover fuel purchases into the 4th quarter.
Despite reducing Fleet Management's stocked inventory by $279,000, expenditures for vehicle maintenance parts through the month of July 2004 were $2,193,693 (72 percent of the budget). This is largely due to the increase in the average age of the City's fleet. An additional $320,000 in appropriation for automotive parts is needed to cover parts purchases into the 4th quarter.
The ordinance will authorize a general fund transfer. In 2004, $2,518,002 was appropriated to purchase vehicles for general fund divisions citywide. Of this amount, $1,314,949 has been expended or encumbered on the purchase of 39 police cruisers and 23 vehicles for Fire. A balance of $1,203,053 remains. This legislation will transfer $975,000 of that balance to Fleet's largest general fund customers: Police, Fire, and Refuse. This will allow these divisions to continue to purchase Fleet services despite the higher than anticipated costs for fuel and the higher than anticipated demand for automotive parts.
Emergency action: This ordinance is submitted as an emergency so as to allow the financial transaction to be posted in the City's accounting system as soon as possible. Up to date financial posting promotes accurate accounting and financial management.
Fiscal impact: This legislation authorizes a transfer within the general fund of $975,000. It also authorizes a supplemental appropriation of $130,000 within the fleet management service fund.
Title
To authorize a transfer of $975,000 within the general fund; to authorize a supplemental appropriation of $975,000 within the fleet management services fund; and to declare an emergency. ($975,000.00)
Body
WHEREAS, the Department of Public Service, Division of Fleet Management, requires budget authority for fuel and parts expenses; and
WHEREAS, a transfer of funds within the general fund is required in order to provide sufficient funds within the Police, Fire and Refuse divisions to pay for projected Fleet expenses; and
WHEREAS, an emergency exists in the usual daily operation of the Public Service Department, Division of Fleet Management in that it is immediately necessary to appropriate funds thereby preserving the public health, peace, property, safety and welfare; now, therefore:
BE IT ORDANIED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the City Auditor is hereby authorized and directed to transfer funds within the general fund as follows:
FROM:
Dept/Div: 59-05 | Fund 10 | Object Level 3: 6650 | OCA: 591201 | Amount: $975,000
TO:
Dept/Div: 30-03 | Fund 10 | Object Level 3: 3380 | OCA: 301580 | Amount: $604,500
Dept/Div: 30-04 | Fund 10 | Object Level 3: 3380 | OCA: 301531 | Amount: $195,000
Dept/Div: 59-02 | Fund 10 | Object Level 3: 3380 | OCA: 591602 | Amount: $58,500
Dept/Div: 59-02 | Fund 10 | Object Level 3: 3380 | OCA: 591834 | Amount: $58,500
Dept/Div: 59-02 | Fund 10 | Object Level 3: 3380 | OCA: 532642 | Amount: $58,500
SECTION 2. That from unappropriated monies in the fleet management service fund, 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, 2004 the sum of $975,000 be and is hereby appropriated to the fleet management service fund, Fund 513, Department of Public Service, Fleet Management Division, Division No. 59-05, as follows:
Dept/Div: 59-05 | Fund 513 | Object Level 3: 2280 | OCA: 591347 | Amount: $570,000 Dept/Div: 59-05 | Fund 513 | Object Level 3: 2286 | OCA: 591347 | Amount: $85,000
Dept/Div: 59-05 | Fund 513 | Object Level 3: 2284 | OCA: 591347 | Amount: $320,000
SECTION 3. That said monies shall be paid upon order of the Department of Public Service; and no other order shall be drawn or money paid except by voucher, in the form of which shall be approved by the City Auditor.
SECTION 4: 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.