CC - Item 4E - Interim Budget AmendmentsROSEMEAD CITY COUNCIL
STAFF REPORT
TO: THE HONORABLE MAYOR AND CITY COUNCIL
FROM: JEFF ALLRED, CITY MANAGER Z-ffi
DATE: APRIL 24. 2012
SUBJECT: INTERIM BUDGET AMENDMENTS
SUMMARY
During the fiscal year unforeseen financial needs and opportunities may arise which
require Council approval of additional appropriations. Without them various auditors
could make an adverse finding in the annual audit reports.
At this time there are only two budget line items that need to have appropriations
approved by the City Council: 1) A tractor and a pickup truck were purchased using
Equipment Replacement Fund cash and, 2) Proposition Fund A Fund cash was
exchanged for General Fund cash with the City of Industry. All purchases requiring
appropriation increases have previously been approved by City Council. Approving
appropriations for these items is an necessary "housekeeping" task that will help avoid
undesirable audit findings.
Staff Recommendation
Staff recommends that the City Council approve Resolution No. 2012 -25 "A Resolution
of the City of Rosemead Approving Various Appropriations."
ANALYSIS
Appropriations provide the authority for a government to spend money. In their absence
the City's auditors may make an adverse finding which could contribute to a qualified
audit opinion, a circumstance that is certainly unwanted.
The appropriaton increases are for purchases of a tractor and a truck totaling $86,303
made using Equipment Replacement Fund cash; both vehicles are replacement
vehicles. The second item needing an appropriation is the exchange of $400,000 of
Rosemead Proposition A funds for $300,000 of City of Industry's General Fund cash.
All of these transactions have been previously approved by City Council.
ITEM NUMBER:
City Council Meeting
April 24, 2012
Page 2 of 2
PUBLIC NOTICE PROCESS
This item has been noticed through the regular agenda notification process.
Submitted by:
Steve Brisco
Director of Finance
Attachment A: Resolution No. 2012 "A Resolution of the City of Rosemead Approving Various
Appropriations'
RESOLUTION NO. 2012 -25
A RESOLUTION OF THE CITY OF ROSEMEAD APPROVING VARIOUS
APPROPRIATIONS
WHEREAS, appropriations are the legal authority for a City to spend its funds; and
WHEREAS, from time to time it is necessary to amend the budget with additional
appropriations; and
WHEREAS, purchases charged to the line items requiring additional appropriations
have received prior City Council approval.
NOW THEREFORE, $86,400 is appropriated in the Equipment Replacement Fund
(501- 3020 -5825) for replacement vehicles and $400,000 is appropriated in the Proposition
A Fund (215- 3040 -5940) for exchange for General Fund cash from the City of Industry.
The additional appropriation is made a part of the approved FY2011 -12 budget as though
it were a part of the initial approved budget fully set forth and the City Manager is
authorized and empowered to expend such sum for the purpose of such account, but with
no expenditure by any office or department for any item within an account shall exceed the
amount budgeted therefore without prior written approval of the City Manager.
PASSED, APPROVED and ADOPTED this 24 day of April 2012.
Sandra Armenta, Mayor
ATTEST:
Gloria Molleda, City Clerk