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Ordinance No. 2023-22 Adopting Mid-Biennium Modifications to 2024 Adopted Budget Final (Approved 111423) Page 1 of 3 ORDINANCE NO. 2023-22 AN ORDINANCE of the City of Bainbridge Island, Washington, adopting mid-biennium modifications to the final budget of the City for the fiscal year ending December 31, 2024, which is the second year of the biennial budget. WHEREAS, the City of Bainbridge Island adopted Ordinance No. 2008-11 providing for a biennial budget process for years after 2010; and WHEREAS, the City adopted Ordinance No. 2013-23 providing for a mid-biennial review of the budget; and WHEREAS, on November 8, 2022, the City of Bainbridge Island adopted a biennial budget for 2023 and 2024 via Ordinance No. 2022-19; and WHEREAS, on November 08, 2023, the City Council adopted the 2023-2028 Capital Improvement Plan via Ordinance No. 2022-23; and WHEREAS, on June 09, 2023, the City Council adopted modifications to the 2023- 2024 biennial budget including updates to the 2023-2028 Capital Improvement Plan via Ordinance No. 2023-15; and WHEREAS, modifications to the budget were submitted to the City Manager with estimates of revenues, and based on requests from all departments for expenditures for the fiscal year ending December 31, 2024 (these dates being prior to the dates required by law); and WHEREAS, the modifications to the biennial budget were presented to the City Council at a City Council meeting on October 24, 2023; and WHEREAS, on October 24, 2023, pursuant to Chapter 2.82 of the Bainbridge Island Municipal Code and RCW 35A.34.130, the City Council held a public hearing regarding this ordinance and the proposed modifications to the biennial budget; and WHEREAS, the City Council considered proposed modifications to the biennial budget at a Council meeting on October 24, 2023 for the purpose of adopting a final budget for 2024, and at which meeting the City Council made such changes as it deemed necessary and proper; and WHEREAS, on November [14], 2023, the City Council adopted this Ordinance No. 2023-22 and thereby adopted a final budget for 2024. Page 2 of 3 NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF BAINBRIDGE ISLAND, WASHINGTON DOES ORDAIN AS FOLLOWS: Section 1. The budget for fiscal year 2024 is hereby modified and adopted as the result of the City’s mid-biennium review. The entire modified budget document is to be placed on file with the office of the City Clerk for public inspection. Section 2. Ordinance No. 2022-19 and the 2024 budget are each amended as shown in the attached Exhibit A. Section 3. Attached hereto as Exhibit B (to the 2024 Modified Budget) are the totals of budgeted expenditures for each separate fund and the aggregate totals for all such funds combined in summary form for the modified budget. Section 4. The 2024 update of the 2023-2028 six-year Capital Improvement Plan, attached as Exhibit C, is adopted as of the effective date of this ordinance. Section 5. This ordinance authorizes the City Manager to reformat Exhibit C into a final edition for publication and to reformat and transmit Exhibit C to the State of Washington as the City’s annual State Transportation Improvement Program (“STIP”), as applicable. Section 6. The City Manager may authorize transfers of budget authority within a fund as needed but may not transfer budget authority from one fund to another without the prior approval of the City Council. Section 7. Because the amounts of revenues and expenditures to be recorded in the Building and Development Services Fund are not clearly fixed and because the Building and Development Services Fund receives operating transfers from the General Fund, this Budget authorizes additional amounts to be spent from the Building and Development Services Fund and to be covered by additional operating transfers from the General Fund provided that the total expenditures for these two funds shall be no more than the amount authorized by this ordinance. Section 8. A complete copy of the final budget for 2024, as modified by the mid- biennium review, together with a copy of this ordinance shall be transmitted by the City Clerk to the Division of Municipal Corporations of the Office of the State Auditor and to the Association of Washington Cities. Section 9. Severability. Should any section, paragraph, sentence, clause, or phrase of this ordinance, or its application to any person or circumstance, be declared unconstitutional or otherwise invalid for any reason, or should any portion of this ordinance be preempted by state or federal law or regulation, such decision or preemption shall not affect the validity of the remaining portions of this ordinance or its application to other persons or circumstances. Section 10. This ordinance shall take effect on January 1, 2024. Page 3 of 3 PASSED by the City Council this 14th day of November, 2023. APPROVED by the Mayor this 14th day November, 2023. Brenda Fantroy-Johnson, Mayor ATTEST/AUTHENTICATE: Christine Brown, MMC, City Clerk FILED WITH THE CITY CLERK: September 8, 2023 PASSED BY THE CITY COUNCIL: November 14, 2023 PUBLISHED: November 24, 2023 EFFECTIVE DATE: January 1, 2024 ORDINANCE NO.: 2023-22 Attached: Exhibit A - Crosswalk Summary by Fund Exhibit B – Table 1 – Summary by Fund and Department Exhibit B – Table 2 – Summary of Technical/Administrative Adjustments Exhibit B – Table 3 – Summary of Supporting Interfund Transfers Exhibit C – 2024 Update of the 2023-2028 Capital Improvement Plan (“CIP”) Exhibit A - Crosswalk by Fund ORDINANCE NO. 2023-22 2024 ADOPTED BUDGET Supporting Transfers (See Ord Section 6) Ord. No. 2023-22 Technical Amendments Ord. No. 2023-22 Operating and Capital Amendments 2024 REVISED Budget (As Modified) 001 GENERAL FUND 26,324,897$ 1,937,500$ 138,993$ 515,226$ 28,916,616$ 101 STREET FUND 4,110,936$ -$ 26,593$ 75,000$ 4,212,529$ 103 REAL ESTATE EXCISE TAX FUND 3,227,064$ -$ -$ -$ 3,227,064$ 104 CIVIC IMPROVEMENT FUND 350,000$ -$ -$ -$ 350,000$ 108 AFFORDABLE HOUSING FUND 2,230,565$ -$ -$ -$ 2,230,565$ 171 TRANSPORTATION BENEFIT FUND 603,337$ -$ -$ -$ 603,337$ 173 TRANSPORTATION IMPACT FEE FUND -$ -$ -$ -$ -$ 199 ARPA FUND 2,020,000$ (2,020,000)$ -$ -$ -$ 201 GO BOND FUND 927,665$ -$ -$ -$ 927,665$ 203 LID BOND FUND -$ -$ -$ -$ -$ 301 CAPITAL CONSTRUCTION FUND 5,065,596$ -$ 10,000$ 2,890,000$ 7,965,596$ 401 WATER FUND 3,547,178$ -$ 114,515$ 518,000$ 4,179,693$ 402 SEWER FUND 6,515,759$ -$ 114,515$ 3,141,200$ 9,771,474$ 403 STORM & SURFACE WATER FUND 3,969,038$ -$ 86,954$ 955,510$ 5,011,502$ 407 BUILDING & DEVELOPMENT FUND 3,550,834$ -$ -$ (138,515)$ 3,412,319$ 501 EQUIPMENT RENTAL & REVOLVING FUND 770,000$ -$ -$ -$ 770,000$ TOTAL EXPENDITURES $ 63,212,869 (82,500)$ 491,571$ 7,956,421$ $ 71,578,360 2024 EXPENDITURES CITY FUNDS CITY OF BAINBRIDGE ISLAND - 2023 REVISED BUDGET SUMMARY BY FUND Ordinance_No._2023-22_Exhibit A_DRAFT 2024 BUDGET AMENDMENTS Presented to City Council Approved on __________, 2023 Exhibit B Table 1 SUBJECT DESCRIPTION FUND / Department Revenue Change amount requested Change to Appropriation One-Time or On- going? Budgeted salary & benefit costs for these positions will be used instead for the professional services contract with Ogden Murphy Wallace for City attorney services. Council approved September 12, 2023 Contracted professional services with Ogden Murphy Wallace for City Attorney services. Council approved September 12, 2023 Obtain lobbying services to facilitate the City with: education & communication concerning legislative activities, securing funding for specific community needs, pro/con advocacy, and representation and advocacy before regulatory agencies. Council approved August 8, 2023 Expenses for planning, programming, and supplies to coordinate an annual Juneteenth celebration. To bring budget in line with anticipated costs for COBI Connects, Weekly Video Update, Island-wide mailings, and general training, subscription, and software maintenance costs. Added funding for website and social media content. Annual event recognizing the City's 800+ volunteers, to be held annually in April. Use Existing PEG funds to pay for ongoing information technology costs for the TSJC, including network switches, licensing, and maintenance. This grant will allow the City to replace existing end-of-life network equipment, and cover professional services to assist in IP address migration in the City's efforts to mititage potential cyber-attacks. This merges the Harbormaster role with that of an added Marine officer in order to address community concerns while continuing the existing tasks and responsibilities of the existing role. To increase presence on the water and address boating and navigation concerns in the Island's harbors, as well as continuing the responsibilities previously held by the Harbormaster position. Costs associated with onboarding new marine officer. A council high-priority project, this covers the cost of the contract amendment with LMN Architects, with added funds for two island- wide postcard mailings regarding engagement opportunities during the project phases. Vacated in October 2023, this position will be held vacant in 2024. Vacant for all of 2023, this position will be held vacant in 2024. Technical Adjustments Technical Budget Adjustments (See Table 2)138,993$ TOTAL GENERAL FUND INCREASE 95,000$ 654,219$ Budgeted salary & benefit costs for these positions will be used instead for the professional services contract with Ogden Murphy Wallace for City attorney services. Council approved September 12, 2023 Contracted professional services with Ogden Murphy Wallace for City Attorney services. Council approved September 12, 2023 (17,450)$ Decrease Ongoing Exhibit B to Ordinance No. 2023-22 Hold Vacant: City Attorney and Deputy City Attorney General/Executive (244,000)$ Decrease Ongoing Professional Services agreement in lieu of salaried City Attorney services General/Executive 244,000$ Increase Ongoing BUDGET AMENDMENTS Lobbying Services General/Executive 50,000$ Increase Ongoing 15,000$ 80,000$ Juneteenth Celebration Media Content for City Website and Social Media General/Executive 45,000$ Increase Ongoing Annual Volunteer Recognition Event General/Executive 5,000$ Increase Ongoing General/Executive 15,000$ Increase Ongoing Communications Budget Increase General/Executive 83,000$ Increase Ongoing Cybersecurity Grants: Network Equipment & IP Address Migration General/Information Technology 80,000$ Increase One-Time Ted Spearman Justice Center (TJSC) IT Costs General (PEG)/Information Technology 15,000$ Increase Ongoing Marine Officer Onboarding General/Public Safety 25,000$ Increase One-Time Winslow Subarea Professional Services General/Planning 201,200$ Increase One-Time Eliminate: Harbormaster position General/Public Safety (94,738)$ Decrease Ongoing Add: Police Officer - Marine Unit General/Public Safety 136,500$ Increase Ongoing Hold Vacant: Admin III General/Planning (28,286)$ Decrease Ongoing Hold Vacant: City Attorney and Deputy City Attorney Street/Executive (36,000)$ Decrease Ongoing Professional Services agreement in lieu of salaried City Attorney services Street/Executive 36,000$ Increase Ongoing Hold Vacant: Building Inspector/Plans Examiner Position General/Planning Ordinance_No._2023-22_Exhibit B_DRAFT 1 of 4 SUBJECT DESCRIPTION FUND / Department Revenue Change amount requested Change to Appropriation One-Time or On- going? BUDGET AMENDMENTSFor transportation components of the broader comprehensive plan update work being done by the Planning dept. Technical Adjustments Technical Budget Adjustments (See Table 2)26,593$ TOTAL STREET FUND INCREASE -$ 101,593$ Additional funding to address the cost of project mitigation as required by Federal permitting agency. Increase project scope and budget due to the acceptance of the Rebuilding American Infrastructure with Sustainability and Equity (RAISE) federal grant. New project added in conjunction with the City Climate office. Council approved June 27, 2023 Increase in project scope needed to address the charging needs of the growing City electric fleet. Technical Adjustments Technical Budget Adjustments (See Table 2)10,000$ Increase One-Time TOTAL CAPITAL CONSTRUCTION FUND INCREASE 1,700,000$ 2,900,000$ Budgeted salary & benefit costs for these positions will be used instead for the professional services contract with Ogden Murphy Wallace for City attorney services. Council approved September 12, 2023 Contracted professional services with Ogden Murphy Wallace for City Attorney services. Council approved September 12, 2023 Work that is required every 4-6 years. Critical in 2024 to help ensure a smooth transition when bringing the new water tank online. Required in accordance with the State Department of Health regulations. The well was taken offline several years ago but never decommissioned. Increase in project scope after survey of existing conditions identified that will need to be addressed. Adding 2024 budget for project that was moved "above the line" after the water rate increase. Discussed with 2023 BUA-1 on June 27, 2023 Technical Adjustments Technical Budget Adjustments (See Table 2)114,515$ TOTAL WATER FUND INCREASE -$ 632,515$ Budgeted salary & benefit costs for these positions will be used instead for the professional services contract with Ogden Murphy Wallace for City attorney services. Council approved September 12, 2023 Contracted professional services with Ogden Murphy Wallace for City Attorney services. Council approved September 12, 2023 Work that will be required to keep the WWTP performing correctly, and to ensure coordination with upcoming capital upgrade improvements. Increase in project scope since the adoption of the original CIP. Adding 2024 budget for project that was moved "above the line" after the sewer rate increases. Discussed with 2023 BUA-1 on June 27, 2023 Adding 2024 budget for project that was moved "above the line" after the sewer rate increases. Discussed with 2023 BUA-1 on June 27, 2023 Adding 2024 budget for project that was moved "above the line" after the sewer rate increases. Discussed with 2023 BUA-1 on June 27, 2023 Technical Adjustments Technical Budget Adjustments (See Table 2)114,515$ One-Time TOTAL SEWER FUND INCREASE -$ 3,255,715$ Budgeted salary & benefit costs for these positions will be used instead for the professional services contract with Ogden Murphy Wallace for City attorney services. Council approved September 12, 2023 One-Time STO Long Range Plan Capital/Public Works 1,700,000$ Increase One-Time Hold Vacant: City Attorney and Deputy City Attorney Water/Executive (11,000)$ Decrease 1,700,000$ Country Club Bulkhead Capital/Public Works 250,000$ Increase Comprehensive Plan Transportation Element Update General/Public Works 75,000$ Increase One-Time Ted Spearman Justice Center Carbon Offset Program Capital/Public Works 780,000$ Increase One-Time Electric Charging Station Capital/Public Works 160,000$ Increase One-Time Head of Bay Well Decommissioning Water/Public Works 75,000$ Increase One-Time Capital: Fletcher Bay Well Rehab/Pump Replacement Water/Public Works Ongoing 150,000$ Increase One-Time Cla-Val Automatic Valve Maintenance Water/Public Works 85,000$ Increase One-Time Professional Services agreement in lieu of salaried City Attorney services Water/Executive 11,000$ Increase Ongoing WWTP Operating Improvements Sewer/Public Works 190,000$ Increase One-Time Professional Services agreement in lieu of salaried City Attorney services Sewer/Executive 25,000$ Increase Ongoing Capital: Winslow Supply Well Water/Public Works 208,000$ Increase One-Time Hold Vacant: City Attorney and Deputy City Attorney Sewer/Executive (25,000)$ Decrease Ongoing Capital: Island Terrace Pump Station Sewer/Public Works 180,000$ Increase One-Time Capital: WWTP Outfall Extension Sewer/Public Works 700,000$ Increase One-Time Capital: WWTP Upgrades Sewer/Public Works 1,423,300$ Increase One-Time Capital: Wing Point Pump Station Sewer/Public Works 647,900$ Increase One-Time Hold Vacant: City Attorney and Deputy City Attorney SSWM/Executive (16,000)$ Decrease Ongoing Ordinance_No._2023-22_Exhibit B_DRAFT 2 of 4 SUBJECT DESCRIPTION FUND / Department Revenue Change amount requested Change to Appropriation One-Time or On- going? BUDGET AMENDMENTSContracted professional services with Ogden Murphy Wallace for City Attorney services. Council approved September 12, 2023 Vacated in October 2023, this position will be held vacant in 2024. $176k to be transferred from the General fund to support the Transportation portion of this project. The total amount of General fund and SSWM funds needed to be increased as required by a 25% match for the $770k grant expected to be received from WSDOT. Technical Adjustments Technical Budget Adjustments (See Table 2)86,954$ One-Time TOTAL STORMWATER FUND INCREASE 770,000$ 1,042,464$ Budgeted salary & benefit costs for these positions will be used instead for the professional services contract with Ogden Murphy Wallace for City attorney services. Council approved September 12, 2023 Contracted professional services with Ogden Murphy Wallace for City Attorney services. Council approved September 12, 2023 Vacated in October 2023, this position will be held vacant in 2024. Vacant for all of 2023, this position will be held vacant in 2024. Continuation of existing non-benefited temporary staffing. Technical Adjustments Technical Budget Adjustments (See Table 2)-$ Decrease One-Time TOTAL BUILDING AND DEVELOPMENT FUND INCREASE -$ (138,515)$ 2,565,000$ 7,956,421$ -$ 491,571$ TOTAL BUDGET AMENDMENTS 2,565,000$ 8,447,992$ Net Increase: Exhibit B Table 2 Continue "Something New" public art program for five additional years and increase the admin fee paid to Arts & Humanities Bainbridge. Council approved June 27, 2023 Software agreement with Camino Technologies for annual software maintenance. Council approved June 27, 2023 Software agreement with Tyler Techologies for annual software maintenance. Council approved June 27, 2023 Regulatory requirement for monitoring the former Vincent Road Landfill site through the year 2031. Council approved June 27, 2023 FTE approved in 2023, this is the General Fund portion (20%) of the 2024 position allocation. Council approved June 27, 2023 TOTAL GENERAL FUND IMPACT 138,993$ FTE approved in 2023, this is the Street Fund portion (20%) of the 2024 position allocation. Council approved June 27, 2023 TOTAL STREET FUND IMPACT 26,593$ Total amount appropriated does not agree with Adopted CIP project total. TOTAL CAPITAL CONSTRUCTION FUND IMPACT 10,000$ FTE approved in 2023, this is the Water Fund portion (20%) of the 2024 position allocation. Council approved June 27, 2023 FTE approved in 2023, this is the Water Fund portion (40%) of the 2024 position allocation. Council approved June 27, 2023 Hold Vacant: Building Inspector/Plans Examiner Position SSWM/Planning (3,490)$ Decrease Ongoing Hold Vacant: Building Inspector/Plans Examiner Position BDS/Planning (118,658)$ Decrease Ongoing "Something New" Public Art Program General/Executive 27,400$ Increase Ongoing Camino Tech Software Maintenance General/Information Technology 10,000$ Increase Ongoing Vincent Road Landfill Monitoring General/Public Works 70,000$ Increase Ongoing Add: GIS Specialist General/Public Works 26,593$ Increase Ongoing Tyler SSRS Software Maintenance General/Information Technology 5,000$ Increase Ongoing Capital: Springbrook Fish Passage SSWM/Public Works 959,000$ Increase One-Time770,000$ Professional Services agreement in lieu of salaried City Attorney services SSWM/Executive 16,000$ Increase Ongoing Temporary Part-Time Planning Position BDS/Planning 65,000$ Increase One-Time TECHNICAL & AMINISTRATIVE BUDGET ADJUSTMENTS Hold Vacant: City Attorney and Deputy City Attorney BDS/Executive (89,000)$ Decrease Ongoing Professional Services agreement in lieu of salaried City Attorney services BDS/Executive 89,000$ Increase Ongoing TOTAL TECHNICAL ADJUSTMENTS TOTAL BUDGET INCREASES 5,882,992$ Hold Vacant: Admin III BDS/Planning (84,857)$ Decrease Ongoing Add: GIS Specialist Street/Public Works 26,593$ Increase Ongoing Bucklin Hill Capital/Public Works 10,000$ Increase One-Time Add: Utilities Technicians x2 Water/Public Works 87,922$ Increase Ongoing Add: GIS Specialist Water/Public Works 26,593$ Increase Ongoing Ordinance_No._2023-22_Exhibit B_DRAFT 3 of 4 SUBJECT DESCRIPTION FUND / Department Revenue Change amount requested Change to Appropriation One-Time or On- going? BUDGET AMENDMENTSMove remaining Fireflow/Pipeline Improvement budget to Water Tank project. Council approved June 27, 2023 Move remaining Fireflow/Pipeline Improvement budget to Water Tank project. Council approved June 27, 2023 TOTAL WATER FUND IMPACT 114,515$ FTE approved in 2023, this is the Sewer Fund portion (20%) of the 2024 position allocation. Council approved June 27, 2023 FTE approved in 2023, this is the Sewer Fund portion (40%) of the 2024 position allocation. Council approved June 27, 2023 TOTAL SEWER FUND IMPACT 114,515$ FTE approved in 2023, this is the SSWM Fund portion (20%) of the 2024 position allocation. Council approved June 27, 2023 FTE approved in 2023, this is the SSWM Fund portion (20%) of the 2024 position allocation. Council approved June 27, 2023 Total amount appropriated does not agree with Adopted CIP project total. TOTAL SSWM FUND IMPACT 86,954$ TOTAL TECHNICAL & ADMINISTRATIVE ADJUSTMENTS 491,571$ Exhibit B Table 3 Transfer to SSWM - increase in General Fund contribution due to grant match requirements. Transfer to Capital - increase in project budget. Transfer to Capital - funding for new project. Transfer to Capital - increase in project budget. Transfer to Capital - technical adjustment to match total approved CIP appropriations. Transfer to BDS - increase in General fund support due to reduction in 2024 revenue forecast. TOTAL GENERAL FUND IMPACT 1,937,500$ Transfer to Affordable Housing - this transaction moves ARPA contributions to the Affordable Housing fund to pay for the $2 million Housing Resources Bainbridge project previously approved by council in the 2024 adopted budget. TOTAL ARPA FUND IMPACT (2,020,000)$ TOTAL SUPPORTING TRANSFERS (82,500)$ Increase One-Time Increase One-Time Ted Spearman Justice Center Carbon Offset General/Public Works 780,000$ Increase One-Time Electric Car Charging Stations General/Public Works 160,000$ Increase One-Time Fireflow/Pipeline Improvements Water/Public Works (431,000)$ Decrease One-Time ARPA Transfers ARPA/Finance (2,020,000)$ Decrease One-Time Bucklin Hill General/Public Works 10,000$ Increase One-Time Building & Development Fund Support General/Finance 561,500$ Winslow Water Tank Water/Public Works 431,000 Increase One-Time Add: Utilities Technicians x2 Sewer/Public Works 87,922$ Increase Ongoing Add: GIS Specialist Sewer/Public Works 26,593$ Increase Ongoing 250,000$ Eagle Harbor Drive Cooper Creek Fish Passage SSWM/Public Works 16,400 Increase One-Time Add: GIS Specialist SSWM/Public Works 26,593$ Increase Ongoing Add: Utilities Technicians x2 SSWM/Public Works 43,961$ Increase Ongoing SUPPORTING TRANSFERS Springbrook Fish Passage General/Public Works 176,000$ Increase One-Time Country Club Bulkhead Reconstruction General/Public Works Ordinance_No._2023-22_Exhibit B_DRAFT 4 of 4 City of Bainbridge Island 2023-2028 Capital Improvement Plan 2024 Modified Budget 1 Ordinance 2023-22 Exhibit C 2 Amounts in thousands 3 44 5 6 Country Club Bulkhead Reconstruction Seawall on Country Club Road 7 Country Club Road Reconstruction Toe Jam Road to the Seawall 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 Description: The station was constructed as part of a major sewer system upgrade in 1979. Telemetry is limited to monitoring and is provided by a tone RTU installed in 1995. A generator set installed in 1996. The electrical systems are in fair condition, the telemetry is beyond its useful life, and the wet well controls do not meet current safety standards. Because of their age, the pumps, motors, valves, controls, and telemetry should be replaced. The station has exceeded the estimated useful life and requires rehabilitation. Benefit: Replacement of a deteriorated system with a reliable sewer collection system that can be maintained in the future. Schedule: YR1: design. YR2: construction. 58 Description: This project proposes to upgrade the North Town Woods pump station to meet current standards, as identified in the City’s General Sewer Plan. Benefit: Upgrading the sewer system with a reliable improvement that can be maintained in the future. Schedule: YR1: design. YR3: construction. 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74