Explanation
BACKGROUND: To maintain unemployment benefit payments in accordance with Federal Law, appropriation is necessary for the unemployment compensation program. To determine the amount necessary for the appropriation, current utilization and anticipated claims were analyzed.
Emergency action is requested to ensure the unemployment compensation program is able to commence as soon as contractually possible, thereby maintaining continuity of service.
FISCAL IMPACT: Unemployment expense was higher than normal due to the pandemic in 2020 and 2021. Actual expense in 2020 was $728,000, but due to the CaresAct Funding through the Ohio Department of Job and Family Services only $283,000 was realized. In 2021, actual expense for January through November was $583,000 with $257,000 actually realized due to the CaresAct funding noted above and the American Rescue Plan Act. A total of $600,000 is projected to be needed for 2022 as the American Rescue Plan Act, as it relates to unemployment, only allows credits through the week of September 4, 2021 claims. Sufficient funds are available in the Employee Benefits Fund 5502 for this expense.
Appropriation is being made to the following program:
Employee Unemployment Compensation Program: $600,000
Title
To make appropriations from January 1, 2022 through December 31, 2022 for the funding of the Unemployment Compensation Program; to authorize the expenditure of $600,000 or so much thereof as may be necessary; and to declare an emergency. ($600,000.00)
Body
WHEREAS, it is necessary to authorize the expenditure of $600,000, or so much therefore as may be necessary, to pay costs for the unemployment compensation program; and
WHEREAS, an emergency exists in the usual daily operations of the Department of Human Resources in that it is immediately necessary to appropriate funds to ensure the unemployment compensation program is able to commence as soon as contractually possible, thereby maintaining continuity of service; Now, Therefore,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That from the monies in and from all monies estimated to come into the Employee Benefits Fund 5502, from any and all sources from January 1, 2022 through December 31, 2022, the following appropriation is hereby authorized and directed:
Department: 4602 |Fund: 5502 |Subfund: 550202 |Program: HR006 | Amount: $600,000
SECTION 2. That from the monies appropriated in Section 1 shall be paid on order of the Human Resources Director and no other shall be drawn or money paid except by voucher, the form of which shall be approved by the City Auditor.
SECTION 3. That the expenditure of $600,000 or so much thereof as may be necessary to the Ohio Department of Job & Family Services is hereby authorized to be expended as follows:
Department: 4602 |Fund: 5502 |Subfund: 550202 |Program: HR006 | Amount: $600,000
SECTION 4. That the funds necessary to carry out the purpose of this ordinance are hereby deemed appropriated, and the City Auditor shall establish such accounting codes as necessary.
SECTION 5. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is 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.