AGENDA MEMORANDUM

 

 

Meeting Date:           January 10, 2011

 

From:                          Brandy McDaniel, Budget Manager

                                    Jerry Boop, CPA, CGFO Finance Director                                                                

Subject:                      Ordinance reallocating the 2007 Capital Improvement Bond for the Electric Fund

 

 

Staff Recommendation:

Staff recommends adoption of the attached ordinance reallocating the 2007 Capital Improvement Bonds for the Electric Fund.

 

Analysis:

The following adjustments are required to reallocate the 2007 bond funds among the projects based on actual and projected expenditures (see attached narrative explanation):

 

Project                                                Current Budget                     Proposed Budget         Difference

Meters                                     $          120,000                               120,000                               -0-

Transformers                                       500,000                               500,000                               -0-

Distribution Lines                            5,563,848                                       6,588,080                    1,024,232

Other Equipment                             1,693,880                                       1,693,880                                -0-

Lighting Projects                                200,000                                          200,000                                 -0-

Subdivisions                                       815,700                                          283,090                       (532,610)

Reconductoring                                1,783,480                                        1,783,480                              -0-

Substations                                         200,000                                            200,000                               -0-_       

                                                $     10,876,908                                   $ 11,368,530               $     491,622

 

The original 2007 Bond Issue included funds for specific Subdivision projects that were expected to be moving forward at the time of Bond Issue.  With the downturn in the economy, certain subdivisions have not developed and the Electric department has identified several critical Distribution Line projects that need to be completed.  Additionally, $491,622 in interest income has accumulated allowing for additional bond proceeds to be used on construction projects.  The reallocation of the available bond funds will allow the Electric department to utilize funding and provide necessary infrastructure improvements.

 

Options:

  1. Adopt the attached ordinance reallocating the 2007 Capital Improvement Bond for the Electric Fund; or

2.  Such alternative action as the Commission may deem appropriate

 

 

 

Fiscal Impact

Interest income of $491,622 on the unspent 2007 Bond Proceeds will be included in the first quarter budget adjustments for Fiscal Year 2010-11.

 

Submission Date and Time:    1/6/2011 1:52 PM____

 

Department: _Finance______________

Prepared by:  Brandy________________                     

Attachments:         Yes_X__   No ______

Advertised:   ____Not Required ______                     

Dates:   __________________________                     

Attorney Review :       Yes___  No ____

                                                

_________________________________           

Revised 6/10/04

 

Reviewed by: Dept. Head _JB_____

 

Finance  Dept. __________JB_____                                     

                              

Deputy C.M. ___________________                                                                         

Submitted by:

City Manager ___________________

 

Account No. _________________

 

Project No. ___________________

 

WF No. ______________________

 

Budget  ______________________

 

Available _____________________


 

ORDINANCE NO._______________

 

AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA REALLOCATING THE 2007 CAPITAL IMPROVEMENT ELECTRIC BOND FUNDS; AND PROVIDING AN EFFECTIVE DATE.

 

 

            WHEREAS, it is now necessary to reallocate the 2007 Capital Improvement Bond for the Electric Fund and,

 

            WHEREAS, such action was not anticipated in the original 2007 Capital Improvement Bond for the Electric Fund, and

 

            WHEREAS, additional public purpose capital projects of $1,024,232 have been identified for Distribution Lines and available funding has been found by transferring $532,610 from Subdivisions and recognizing interest income of $491,622;

 

            NOW THEREFORE, BE IT ENACTED BY THE PEOPLE OF THE CITY OF LEESBURG, FLORIDA:

 

SECTION I.

 

This ordinance shall become effective upon its passage and adoption by the Leesburg City Commission in the manner provided by law.

 

            PASSED AND by the City Commission of the City of Leesburg, Florida, at a regular meeting held the 10th day of January 2011.

 

 

 

                                                                            __________________________

                                                                             Mayor

 

ATTEST:

 

 

__________________________

City Clerk