Workshop Item: 3 - Joe Huss, Finance Director
Title
2014 CAPITAL FUND BUDGET
Background
A draft of the 2014 Proposed Capital Fund Budget is attached for Council consideration and review. Staff is seeking direction from the Council to proceed with any adjustments or refinement to the proposed budget. Per direction from Council at this workshop, the item will either return to a Workshop for further discussion, or be presented for adoption at an upcoming Council meeting.
Summary and detail information is provided both for the Proposed 2014 Capital Budget as well as the 2014-18 Capital Budget Plan. Initial capital and equipment requests from staff totaled $1,602,000. Subsequent to review, $416,000 was cut from those initial requests, and the total proposed capital requests for 2014 now stands at $1,186,000.
Funding for the purchase of capital items will most likely come from the issuance of a certificate of indebtedness. From 2005 through 2013, unrestricted reserves were used to fund capital purchases for all but one year (2010). While this option remains for 2014, it is unlikely there will be adequate unrestricted reserves to fund 2014 capital as well as other items that the Council wishes to fund. Final disposition on the funding source would not need to be made until after the adoption of the General Fund Budget and at the point when a reliable estimate of year-end reserves is available. This would most likely be in February of 2014.
Recommendation
Council review and prioritize capital requests.