Title
Ordinance in the Amount of $500,000 Amending the War Memorial Coliseum Complex Fund and the General Fund for FY 13-14
Body
Department: Budget & Evaluation
Council District: All
Public Hearing: N/A
Advertising Date/By: N/A
Contact 1 and Phone: Larry Davis, 373-2291
Contact 2 and Phone: Rick Lusk, 373-2077
PURPOSE:
The attached ordinance serves to amend the War Memorial Coliseum Complex Fund and the General Fund. The General Fund provides an annual operating subsidy to the Coliseum Fund to cover operating expenses not otherwise covered by direct Coliseum revenues. The final FY 13-14 operating deficit is undetermined at this time, but may need additional General Fund support. A budget ordinance needs to be approved to fund the additional General Fund support.
BACKGROUND:
The FY 13-14 Coliseum Fund Budget was adopted with a General Fund transfer of $2,215,000. The final FY 13-14 operating deficit is undetermined at this time, but may need additional General Fund support. Some of the projected potential additional deficit is due to a concert market that performed poorly during FY 13-14. Only four major concerts materialized while eight were projected in the budget. Due to construction in the arena area during the year, the Coliseum experienced higher than expected housekeeping costs necessary to clean the building between events.
Some of this increased deficit projection is due to costs incurred in the architect selection for the Performing Arts Center, including study and conceptual design costs for the site and building that have been initially charged to the Coliseum Fund. These charges will ultimately be moved to a Performing Arts Center Capital Projects Fund budget once the budget is established.
June 17th is the final opportunity to amend the Coliseum Fund budget prior to the end of the fiscal year. The budget amendment will provide additional General Fund support to cover the final deficit figure that will be determined after June 30. The General Fund will be reimbursed for any and all eligible expenses that are ultimately moved from the Coliseum Operating Fund to a Performing Arts Center Capital Projects Fund.
BUDGET IMPACT:
The General Fund will be reimbursed for any Performing Arts Center Project Fund expenses that are initially covered by the Coliseum Operating Fund. This ordinance will increase the Coliseum Operating Fund as follows:
521-7531-01.5279 $500,000
This ordinance will increase the General Fund as follows:
101-0000-00.8900 $500,000
RECOMMENDATION / ACTION REQUESTED:
It is requested and recommended that the City Council adopt the attached budget ordinance amending the War Memorial Coliseum Complex Fund and the General Fund budgets for FY 13-14.