TITLE: Title
Designation of Fund Balance for FY 2013-14 Budget Items Not Yet Spent or Encumbered
PURPOSE: The Board of Aldermen is requested to designate fund balance in the General Fund for certain budget items where funds have not been spent or encumbered.
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DEPARTMENT: Management Services
CONTACT INFORMATION: Arche McAdoo, 918-7439
INFORMATION: The Town Manager has identified several projects totaling $332,475 in the FY 2013-14 adopted general fund budget where funds appropriated by the Board have not been spent or encumbered. These funds will be needed when projects are developed or designed and a vendor identified to purchase the service or item. Funds for budgeted projects or commitments made by the Board, if not spent, will accrue to unrestricted fund balance within the General Fund at June 30, 2014.
As part of the transition from one fiscal year to the next, Management Services requests all departments to identify budgeted projects that are not completed so that the funding for these unspent budgeted items may be set aside at year-end and available at a future date when needed. This avoids possible interruption of the project planning or implementation. By designating fund balance for the use of these budgeted, but unspent or encumbered funds, allows for a more accurate presentation of the undesignated fund balance portion of the General Fund in the annual audit report.
The resolutions to designate funds balance (Attachment A) authorizes the carryover to next fiscal year of unexpended budget balance for specified item(s) contingent upon confirmation of the actual amount by the independent audit for the year. The Town Manager is also authorized to transfer these funds to the appropriate department.
FISCAL & STAFF IMPACT: The budget items identified total $332,475 to be carried over from FY 2013-14 to FY 2014-15. If not carried over, an appropriation in the FY 2014-15 budget would be necessary to continue these projects....
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