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MOTION SHEET Budget Amendment No. 6 FY 2011-12

June 12, 2012 Note: If there are additional motions you would like staff to prepare, please let staff know.

POTENTIAL MOTIONS:

I. This motion adopts the entire budget amendment except for various items to be considered separately:

{“I move that the Council”} Adopt an ordinance amending the fiscal year 2011-2012 budget as proposed by the Administration and including Council added items*, with the exception of Item A-9 Fleet Building Construction Budget Reduction, Item A-11 Golf Fund Financial Consultant, and Item I-1 Sugar House Park 4th of July Fireworks, which was previously adopted on June 5, 2012. (Please note that Items I-2 Revenue and expenditure budget for expedited plan review, I-3 expenditure budget for Sharepoint Document Management System, and I-4 expenditure budget to add Case File Management System for the Justice Court are included in this motion.)

II. Separate Items

A. Item A-9: Fleet Building Construction Budget Reduction CIP of $1,493,396 {“I move that the Council”} Adopt item A-9, a request to reduce the construction budget for the Fleet Facility, and fund overages with other recaptured CIP funds as proposed by the Administration, with the exception that rather than recapture funds from the District 4 Olympic Legacy CIP project, that these funds be recaptured from additional Class C Surplus funds. OR

{“I move that the Council”} Not adopt item A-9.

B. Item A-11: Golf Fund Financial Consultant, $50,000 from General Fund {“I move that the Council”} Adopt item A-11, a request to fund a financial consultant for the Golf Fund, to be paid for by the General Fund. I further move that the Council approve the three legislative intent statements listed on page two of this motion sheet. OR

{“I move that the Council”} Adopt item A-11, request to fund a financial consultant for the Golf Fund, to be paid for by the Golf Fund. I further move that the Council approve the three legislative intent statements listed on page two of this motion sheet. (motion continued on next page)

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OR

{“I move that the Council”} Not adopt item A-11, request to fund a financial consultant for the Golf Fund.

POTENTIAL Legislative Intents Item A-11 – Golf Fund Financial Consultant 1. It is the intent of the Council that the Administration provides the Council with more

information regarding a more clearly defined scope for the Financial Consultant. The study scope should include, but is not limited to the following:

An evaluation of the courses and projects critical to the success and long-term financial viability of the courses (5-year economic model).

A cost-benefit analysis of the projects.

An evaluation of alternatives, and profitable uses of golf course property, including the privatization/out-sourcing/land lease for a “clubhouse/reception center” at the Bonneville Golf Course.

Sequencing, including funding, of Capital Improvement Program projects for each of the courses.

Other information, as identified by the Administration and/or Council.

2. If the $50,000 budget item A-11 is approved, it is the intent of the Council that the cost-benefit study/financial plan be completed prior to expending significant funds for major course improvements, such as, clubhouses, maintenance facilities, master planning, etc.

3. It is the intent of the Council to consider irrigation or other value-added projects prior to completion of the study.

*As a reminder, during the June 5, 2012 formal Council meeting, the Council adopted Item I-1 Sugar House Park 4th of July Fireworks in the amount of $10,000 from the General Fund to the Sugar House Park Authority. In addition, the Council requested a legislative intent that the Park Authority Board review expenditures related to this event, including an audit, oversight, and reporting of donated funds and related expenditures. Additionally, the Council adopted a motion to add the following items to be considered with the rest of Budget Amendment #6 of FY 2011-12:

(The items below are included in Motion I on page one of this motion sheet.) Item I -2 - $50,000 in revenue and expenditure budget for expedited plan review, to be reflected in the General Fund.

Item I-3 - $340,000 in expenditure budget for the Sharepoint Document Management System to come from various City sources as listed in Budget Amendment #5 of FY 2011-12.

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Item I-4 - $50,000 in expenditure budget to add Electronic Case File Management System to the Sharepoint Document Management System for the Justice Court. Any funds not needed for this added item could be used for other Sharepoint projects.

6.5.2012 BUDGET AMENDMENT FOLLOW-UP INFORMATION

Below please find the Administration’s response to staff’s follow-up questions for the budget amendment. The Administration has also provided a detailed listing of change order items with regard to construction of the Fleet Facility (item A-9), for the Council’s review (see attached). Follow-up Questions: - Item A-9 – Fleet Facility construction issue

o Can the administration provide more detail about each of the CIP projects proposed to be closed? Which ones are completed with insufficient funds to start a new project? Do you have descriptions for what each project originally was? Are there other/related items that could be funded with those leftover funds? When was the project initially funded and when was the last transaction? It would be helpful if you could address each of those questions for each of the projects:

Project Amount

Legacy Project District #4 $59,389

Yale Ave SID Legal Fees $3,250

4th Ave Stairway $885

Residential Concrete $22,992

City Creek Canyon Washout $70,972

Parley’s Way/Wilshire Park $119,217

Rose Park Golf Course Land Purchase $102,294

Class “C” Surplus Funds $383,274

Total Recaptured $762,273

Response:

1. Legacy Project District # 4: After the Olympics each Council person was allocated money to do an Olympic related project in their District. Nancy Saxton expensed funds to have a consultant prepare plans for a project at Library Square. The City Engineers office was involved to help facilitate the project. The proposed design was well in excess of allocated funding. The project never proceeded and Nancy left office and apparently the project was dropped. The project was funded in the 02/03 fiscal year (83-03074). Attached to this document is the General Ledger Transactions Report.

2. Yale Ave SID Legal Fees: A street lighting district was proposed by the City’s Transportation office. The City’s bond council expensed preparing legal documents. The project was never funded. Typically the property owners pay the legal expenses in their overall assessments. Since the district was never created a general fund budget needed to be created to pay bond council expenses. I did not find any expenditures from the associated cost center, 83-07044. Dan Mule should be asked if the invoice if any has been paid. Funded in 06/07 fiscal year (83-07044)

3. 4th Avenue Stairway. The work consists of earthwork, grading, drainage, lighting, concrete, irrigation, metal fabrication, metal refurbishing and landscape work. Funded in 07/08 (83-08021) with additional funding in 09/10 (83-10018). Attached to this document is the General Ledger Transactions Report. The last expenditure was in June 2011.

4. Residential Concrete Study. The work consisted of the City Engineers Office preparing a study report to outline the process of evaluating the conditions and method of repairing concrete streets. Funded in 07/08 (83-08028). Attached to this document is the General Ledger Transaction Report. Last expenditure in May of 2012.

5. City Creek Canyon Washout. The work consisted of 1. repairing a hillside washout between Bonneville Boulevard and North Canyon Road; 2. Repairing the roadway adjacent to the washout on Bonneville Boulevard; and 3. An asphalt drainage swale along Bonneville Boulevard. Funded in 10/11 (83-11026). Attached to this document is the General Ledger Transaction Report. Last expenditure in December 2011.

6. Parley’s Way/Wilshire Park. The work consisted of demolition, concrete work, site furniture, play equipment, irrigation and landscape work. Funded in 10/11 (83-11050). Attached to this document is the General Ledger Transaction Report. Last expenditure in December 2011.

7. Rose Park Golf Course Land Purchase. Cost center 83-81700. Engineering has not had any involvement with this cost center.

8. Class “C” Surplus Funds. This fund tracks all Class “C” funds received from the state of Utah. In any given year the amount received from the state may exceed the estimated amount used for budgeting purposes. Also when Class “C” funded projects are completed and closed the remaining funding goes to the Class “C” fund balance.

When CIP projects are completed a list is transmitted to LuAnn Clark so the remaining funds can be included in a budget opening and thus transferred to contingency accounts so the funds can become part of the discussion to fund future proposed CIP projects.

o Can the administration provide a DETAILED accounting of everything paid for by the project

budget. Public Services clarified the issue of the CNG fill station this morning, and apparently the refuse fund did pay to install the fill station (separately from the ongoing debt service payment). Response: The Refuse Fund pays $291K each year of the annual bond payment for the Public Services Maintenance Facility (PSMF). The Refuse Fund has been paying this since FY0910. The Refuse CNG Fill station, was paid for by the Refuse Fund. It came out of Refund working capital. It wasn’t associated with the annual bond payment for the PSMF. The total cost, including site improvements, was $350K.

o Can the administration provide a detailed expenditure list so that the Council can see exactly what was paid for by those extra funds? Response: The following is a summary of items of work processed by change order to the Fleet Facility. They were processed later in the project when in actuality funding was not available. See the attached Change Order Summary.

In a quick summary the expenditures on the overall Fleet Facility are for: Design consultant, Geotechnical services, Environmental services, City Engineering fees, building permits, permits to the City’s Public Utilities department, Commissioning services, Material testing services, Contractor, Rocky Mountain Power, Questar, Furniture. See the attached Ledger document with the detail of expenditures for the Fleet Facility. The property

purchase is not included since it did not use the City Engineering IFAS number for the Fleet Facility.

o Can the administration provide an official response justifying the use of Class C funds on

this project, since it is not a road? Response: Class C Funds will be used to do local streets in the CIP that are eligible for use of those funds and general fund funds will be used on those projects to cover the Fleet construction overrun.

o What internal controls are now in place so that this kind of issue can be avoided in the future? Response: Timeline: Fleet Facility bonds approved and budgets set: October 2008 Bonds issued: February 2009 Property issue identified: February/March 2009 Adjustments made in IFAS to reflect alternate expenses as part of the bond: May 2009 The City Council approved the project budget and the issuance of bonds associated with the fleet facility in October of 2008. Many months later, we discovered that approximately $3 million of the expenses associated with the land purchase could not be reimbursed by bond proceeds. However, other expenses that had been incurred by the General Fund could be reimbursed using bond proceeds. In the spring of 2009, a series of accounting adjustments were prepared to reflect those changes in uses of bond proceeds. A key component of those adjustments, the reduction of the project budget to reflect the amount of one of the substituted projects, was missed. This led to the overage in the fleet facility budget when compared to bond proceeds available. In response, we have: -- reviewed the North Temple bond projects with this potential in mind. As part of that review, we identified changes in budget that were necessary in the North Temple boulevard and viaduct projects, and have submitted those changes as part of Budget Amendment #6. -- reviewed the Public Safety Bond project with Engineering, Project Management, Finance, Capital Asset Management and Mayor's Office staff to ensure a similar situation does not exist. This group will continue to meet quarterly to ensure any potential issues are identified. -- reiterated with the City's leadership that 1) staff must be encouraged to ask questions when information does not appear to be consistent or accurate, and 2) significant changes/additions to project scope must be discussed with City Administration before being made. In addition, we are committed to on-going, quarterly reviews of bond projects including Mayor's Office, Finance, and Engineering staff going forward, including other City departments and divisions as appropriate. For example, the significant streetcar project will include RDA staff.

Finally, we see the review of Engineering proposed by the Mayor as an opportunity to review the relationship between project management and the City's financial system, with the goal of strengthening that relationship, so they are more closely linked in real time; this being a need that was highlighted with the unexpected death of the Project Manager.

- A-11 – Golf Fund financial consultant – does the administration have a draft scope or plan for how to manage this project to best ensure oversight? Response: The consultant would perform a financial analysis on each individual course and a study on the capital improvements and funding sources proposed by the City’s Golf Division. This study would prioritize the needs of each course and determine if and how the proposed improvements meet those needs. As part of the study, a 5-year economic model would be created that would account for the prioritization of the course’s needs, track the progress of the spending for those improvements, show whether those improvements can be tied directly to a return on investment, and determine whether the courses are fulfilling their purpose and maintaining viability. The economic model would also recommend what measures need to be put into place to correct issues affecting the financial condition and the playability of the courses. If a new organizational structure for the courses were to become needed in order to increase efficiency, the 5-year model would seek to address it. A Request for Proposal would be created that clearly defines the scope of the study and would be used to hire the consultant. Mike Akerlow, Deputy Director of Housing and Neighborhood Development, has coordinated the efforts of the Citizen’s Golf Task Force and the preparation of the recommendation for the Mayor and Council. He will continue his involvement through the creation of the RFP and hiring of the consultant and will work directly with the Finance Division and the Council office to ensure that the consultant meets the objectives of the study.

Change Order Summary

ADDED WORK ITEMS (by the City: Fleet Division & Street Division)5/24/2012 9:10

Public Services Maintenance FacilityJob No. 650507

TOTAL 1,187,462.00$ Date

Item No. Description/Reason Add/Deduct Amount PR# CO# Approved

1 Add undercarrige wash at Truck Wash as per Proposal Request #60-R1 dated 2/23/2010, and Comtrol's cost proposal dated 6/8/2010 Add 25,196.00$ 60-R1 CO#11 7/22/2010

Reason: Requested by Fleet Division. Will greatly reduce specific truck meintenance costs.

2

Add underground piping and electrical infrastructure for future compressed natural gas fueling system at South Site Fuel Island as per Proposal request #62 dated 2/3/10, with revision #62R1 dated 3/3/10, and #62R2 dated 3/30/10, and Comtrol's cost proposal dated 6/14/10

Add 33,898.00$ 62-R2 CO#11 7/22/2010

Reason: Requested by Fleet Division and the SLC Office of Sustainability, this will provide the underground piping and electrical conduit for a future CNG fast-fueling system at the Fuel island.

3 Add 4 emergency eye wash stations as per Proposal Request #73 dated 3/11/2010, and Comtrol's cost proposal dated 5/12/2010 Add 30,254.00$ 73 CO#11 7/22/2010

Reason: Additional emercency eyewash stations required by Fleet and Street Division for employee safety and OSHA requirements.

4 Add ventilation system for concrete storage room as per Proposal Request #065-R3 dated 5/27/2010, and Comtrol’s cost proposal dated 6/29/2010 Add 39,827.00$ 65-R3 CO#12 8/20/2010

Reason: Request by the SLC to move the snow plow operation to the Streets from the Fleet Building.

5Add Anti-graffiti coating to the north walls of the fuel island bldg & car wash bldg as per PR#085-R2 dated June 7, 2010 and Comtrol's cost proposal dated July 20, 2010.

Add 15,922.00$ 85-R2 CO#13 9/8/2010

Reason: Request by the SLC to protect these walls from graffiti.

6 Provide Bollards around gas meters throughout site as per PR#097-R1 dated July 21, 2010 and Comtrol's cost proposal dated August 12, 2010. Add 9,906.00$ 97-R1 CO#13 9/8/2010

Reason: Request by the SLC to protect the gas meters.

7 Coordinate and Pay for Qwest to remove pedestal in sidewalk. CCD#12 Add 4,530.00$ CCD#12 CO#13 9/8/2010

Reason: The SLC wants to extend the sidewalk from the new site to the Park's driveway. The Qwest pedestal in the path of the new sidewalk and needs to be moved.

8Provide Infrastructure and slab for Future CNG system on the north site as per PR-061 dated April 12, 2010 and PR-061-R1 dated June 11, 2010 and Comtrols costproposal dated August 9, 2010.

Add 26,709.00$ 61 CO#14 10/15/2010

Reason: City request.

9Provide Inventory Control System for Lubrication Fluids as per PR-066 dated March 15, 2010 and PR-066-R1 dated July 19, 2010 and Comtrols cost proposal dated August 27, 2010

Add 126,549.00$ 66-R1 CO#14 10/15/2010

Reason: This system was presumed to be in the City's computerized system, but it was not. It needed to be added to the project to have a functional system.

10Extend sidewalk on south site to Parks Driveway per PR-094 dated July 8, 2010 and Comtrol's price proposal dated August 19, 2010.and Comtrol's price proposal dated September 8, 2010.

Add 12,199.00$ 94 CO#14 10/15/2010

Reason: City desired the walk to continue to the Parks Building.

11 Install the equipment/furniture supplied by Grainger/Lyon per PR-116 dated August 3, 2010 and Comtrol's price proposal dated September 8, 2010. Add 20,757.00$ 116 CO#14 10/15/2010

Reason: Installation of the equipment was not part of the Contract with the City.

12 Power for Signals Crane per PR-098 dated August 31, 2010 and Comtrol's cost proposal dated September 21, 2010. Add 3,418.00$ 98 CO#15 12/3/2010

Reason: Addition of signals crane by city required electrical service.

13 Replace Vehicle Exhaust Hoses per PR-102-R1 dated August 10, 2010 and Comtrol's proposal dated October 1, 2010. Add 30,032.00$ 102-R1 CO#15 12/3/2010

Reason: City wanted to change the hoses from what as approved during design.

14 Relocate glycol feed pump for Computer Room Air Conditioning system per PR-120 dated August 3, 2010 and Comtrol's proposal dated October 1, 2010. Add 4,678.00$ 120 CO#15 12/3/2010

Reason: Glycol feed pump location conflicted with proposed City equipment layout. City layout not part of construction documents, City requested relocation

15 Added Compressed Air Outlets in Heavy Shop per PR-121 dated August 3, 2010 and Comtrol's proposal dated October 1, 2010. Add 3,578.00$ 121 CO#15 12/3/2010

Reason: City requested additional compressed air outlets in Heavy Shop.

16 Install city provided trees per PR-122-R1 dated August 31, 2010 and Comtrol's proposal dated October 4, 2010. Add 2,839.00$ 122-R1 CO#15 12/3/2010

Reason: City desired more trees than provided on the plans.

17 Provide additional air outlets in Light Shop per PR-143 dated September 14, 2010 and Comtrol's proposal dated October 8, 2010. Add 4,387.00$ 143 CO#15 12/3/2010

Reason: City wanted more air outlets.

18 Dry breaks for bulk reals as bottom loaders per Comtrol's proposal CR#72 dated September 28, 2010. Add 2,438.00$ CR#72 CO#15 12/3/2010

Reason: City originally requested hose reel for top feed bulk fuel truck fill. After installation, City changed their bulk fuel truck to bottom feed with required.

19Install conduit with pull-string to ATMS pull box at freeway location per PR-101-R1 dated October 19, 2010 and Comtrol's price proposal dated November 6, 2010.

Add 2,868.00$ 101-R1 CO#16 12/16/2010

Reason: City wants connection to UDOT System. Not in original design.

20 Provide protection of pedestals in the equipment parking areas per PR 109-R1 dated October 14, 2010 and Comtrol's price proposal dated November 6, 2010. Add 19,103.00$ 109-R1 CO#16 12/16/2010

Reason: City wanted additional protection of the stands from being hit by vehicles. Not in original design.

21 Install a card reader at Door 132A Concrete Storage Streets Building per PR-129 dated August 31, 2010 and Comtrol's price proposal dated November 2, 2010. Add 6,712.00$ 129 CO#16 12/16/2010

Reason: City wanted this door to have card access. Not in original design.

22Provide card readers at the man-gates and power for the card readers, per PR-134 dated September 23, 2010 and Comtrol's price proposal dated November 2, 2010.

Add 5,536.00$ 134 CO#16 12/16/2010

Reason: City wanted access to the gates via card readers. Not shown on design drawings.

23Add door with cypher lock on Streets Women's Restroom and cypher lock on Car Wash Restroom per PR-139-R1 dated October 26, 2010 and Comtrol's price proposal dated November 12, 2010.

Add 5,162.00$ 139-R1 CO#16 12/16/2010

Reason: City wanted the door on the Women's Room and lock on the Car WashRestroom. Not shown on original bid documents.

24Install thermostatic mixing valves for hand sinks and insulation at Car Wash restroom per PR-141 dated September 14, 2010 and Comtrol's price proposal dated November 6, 2010.

Add 5,085.00$ 141 CO#16 12/16/2010

Reason: City wanted better control of temperature, which these valves will provide.

25 Provide spray wand in Can Wash Room in the Streets Building per PR-150 dated October 6, 2010 and Comtrol's price proposal dated November 6, 2010. Add 4,773.00$ 150 CO#16 12/16/2010

Reason: City wanted spray wand to clean outside of cans. Not in original design.

26Remove projector screen and lighting controls (I-Lux) and add switching per PR-071-R1 dated September 29, 2010 and Comtrol's price proposal dated November 11, 2010.

Add 2,256.00$ 71-R1 CO#17 3/24/2011

Reason: City wanted to delete the controls for projector screens and lighting (I-Lux).

27Provide switch/programming to turn on lights and open 2 gates for after-hour snow activities per PR-130-R2 dated December 7, 2010 and Comtrol's price proposal dated February 2, 2011.

Add 11,891.00$ 130-R2 CO#17 3/24/2011

Reason: City wanted to have a one-switch override on the gates and lights to faciltiate after-hour snow removal operations.

28Provide Xylexin high-performance coating on the remainder of the Light Shop and on the east wall of the Fleet Administration Building per PR-155 dated October 26, 2010 and Comtrol's REVISED price proposal dated February 1, 2011.

Add 3,987.00$ 155 CO#17 3/24/2011

Reason: Coating was more apparent that advertised. The City wanted to provide the coating for a uniform appearance across the face of the building.

29Provide pipe protection for Fire Risers in the Light Shop per PR-158 dated November 10, 2010 and Comtrol's REVISED price proposal dated February 2, 2011.

Add 7,176.00$ 158 CO#17 3/24/2011

Reason: City decided that there is potential for vehicles hitting the fire risers, so protection pipes were requested.

30Provide electrical and other work to support the CNG system at the northwest corner of the site per PR-119-R3 dated February 2, 2011 and Comtrol's price proposal dated February 15, 2011.

Add 15,678.00$ 119-R3 CO#18 4/7/2011

Reason: City wanted to pursue the installation of the CNG system.

31 Provide and install fencing in the storage areas per PR-118-R3 dated April 6, 2011 and Comtrol's price proposal dated May 2, 2011. Add 38,366.00$ 118-R3 CO#19 6/20/2011

Reason: City wanted to add fencing dividers to some spaces.

32 Provide various electrical changes per PR-170 dated March 17, 2011 and Comtrol's price proposal dated May 2, 2011. Add 24,483.00$ 170 CO#19 6/20/2011

Reason: Additional electrical work was requested by the City, including snow control overrides, cameras, outlets, cord reels, lights, etc.

33 Modify Streets entry window per PR-181 dated March 25, 2011 and Comtrol's price proposal dated March 29, 2011 Add 2,041.00$ 181 CO#19 6/20/2011

Reason: City wanted a smaller, more secure window.

34 Provide and install louvers in Car Wash Equipment Room per PR-161 dated December 3, 2010 and Comtrol's price proposal dated May 23, 2011. Add 5,956.00$ 161 CO#20 7/21/2011

Reason: Additional ventilation for equipment room was requested by the City.

35 Increase the pressure in the Can Wash per PR-168-R3 dated April 27, 2011 and Comtrol's price proposal dated June 1, 2011. Add 75,740.00$ 168-R3 CO#20 7/21/2011

Reason: City wanted to have more pressure for the Can Wash.

36 Revise the Hose Reels and Hose Bibbs in the Heavy Shop per PR-172-R1 dated April 28, 2011 and Comtrol's price proposal dated May 24, 2011. Add 82,076.00$ 172-R1 CO#20 7/21/2011

Reason: City wanted to change the locations of the water hose bibbs and add electrical and air reels to the project.

37 Provide new sidewalk outside Fleet Break Room per PR-176 dated March 25, 2011 and Comtrol's price proposal dated June 14, 2011. Add 1,439.00$ 176 CO#20 7/21/2011

Reason: City wanted to extend sidewalk to access the exit door from Break Room.

38 Replace mirrored glass in Fleet Building and add blinds per PR-183 dated April 20, 2011 and Comtrol's price proposal dated June 6, 2011. Add 2,019.00$ 183 CO#20 7/21/2011

Reason: City decided it did not want the mirrored glass.

39Upgrade Car Wash cycle to include high-pressure wash and low pressure rinse per PR-192 dated April 28, 2011 and Comtrol's revised price proposal dated June 28, 2011.

Add 7,678.00$ 192 CO#20 7/21/2011

Reason: City decided to have an additional wash and rinse cycle.

40Modify the ventilation system in Heavy Shop to accommodate CNG Repairs per PR-132-R4 dated June 16, 2011 and Comtrol's price proposal dated July 26, 2011.

Add 204,673.00$ 132-R4 CO#21 11/18/2011

Reason: City wanted to add CNG Repair capabilities to the Heavy Shop.

41 Modify the override ventilation switches in the Heavy and Light Shops per PR-179 dated April 22, 2011 and Comtrol's price proposal dated July 5, 2011. Add 1,112.00$ 179 CO#21 11/18/2011

Reason: City wanted to be able to override the ventilation.

42 Provide benches in the Streets Corridor per PR-182 dated April 7, 2011 and Comtrol's REVISDE price proposal dated August 24, 2011. Add 10,322.00$ 182 CO#21 11/18/2011

Reason: City wanted to add benches in the corridor.

43 Provide Cranes and Lifts per PR-185-R2 dated July 5, 2011 and Comtrol's price proposal dated July 5, 2011. Add 40,946.00$ 185-R2 CO#21 11/18/2011

Reason: City wanted to add cranes and lifts to the project.

44 Provide bollards to protect the car wash pedestal per PR-186 dated April 5, 2011 and Comtrol's price proposal dated July 6, 2011. Add 1,557.00$ 186 CO#21 11/18/2011

Reason: The City wanted to add protection for the pedestal.

45 Provide a floor drain for the Ice Machine and a Utility Ramp in the Paint Room per PR-191-R1 dated June 8, 2011 and Comtrol's price proposal dated , 2011. Add 7,593.00$ 191-R1 CO#21 11/18/2011

Reason: City desired both the floor drain and the ramp to be added to the project.

46 Revise the Building Management System per PR-159-R3 dated February 25, 2011 and Comtrol's price proposal dated September 29, 2011. Add 135,746.00$ 159-R3 CO#22 11/18/2011

Reason: Various changes were required to make the Controls System operate correctly and to report to the EMCS systems as desired by the City.

47Provide material and labor to make various changes to the Fleet Building per PR-175-R2 dated July 27, 2011 and Comtrol's price proposal dated September 6, 2011.

Add 49,604.00$ 175-R2 CO#22 11/18/2011

Reason: City wanted to make various changes to the Fleet Building.

48 Provide a "kill" switch in the Fleet and Streets Buildings per PR-196 dated September 2, 2011 and Comtrol's price proposal dated September 20, 2011. Add 5,730.00$ 196 CO#22 11/18/2011

Reason: City wanted emergency kill switches in case of a disaster.

49 Provide Sensor and Controller for Boiler Pump per the response to RFI-158 per Comtrol's price proposal CR-106 dated September 29, 2011. Add 3,037.00$ CR-106 CO#22 11/18/2011

Reason: Additional controls and monitoring were desired by the City for the boilers.

ABBREVIATIONS: CCD: Construction Change Direction. CR: Contractor Request. PR: Proposal Request. RFI: Request For Information

Filename: N:/Pd4819/MyDocuments/Projects/Public Services Maintenance Facility-650507/ Change-Order/Change Order Summary - ADDED WORK ITEMS - by Fleets & Streets.xls

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SALT LAKE CITY COUNCIL STAFF REPORT

BUDGET AMENDMENT #6 – FISCAL YEAR 2012-13

DATE: May 22, 2012

SUBJECT: Budget Amendment #6

STAFF REPORT BY: Sylvia Richards, Lehua Weaver, Karen Halladay, Jennifer Bruno and Russell

Weeks

CC: David Everitt, Gina Chamness, Gordon Hoskins, Frank Gray, Mary De La

Mare-Schaefer, LuAnn Clark, Chief Chris Burbank, Chief Kurt Cook, Rick

Graham, Kay Christensen, Shannon Ashby, and Sherrie Collins

Budget Amendment Number Six contains 36 proposed adjustments, as suggested by the Administration. The budget amendment totals $13,938,581. A majority of this amount relates to changes in the Debt Service Fund, recognizing the anticipated issuance of bonds

for the North Temple Viaduct and Boulevard project.

The Council requests a year-to-date revenue forecast with each budget amendment. The Administration provided the following revenue forecast, which includes revenues through

February 2012. Sales and Use Tax are 6% or approximately $3.3 million above the budgeted target for the FY 2012 budgeted amount. Franchise Tax ($267,042 above budget target),

Parking Meters ($15,000 above budget target), Charges and Services ($302,177 above budget target), and Miscellaneous Revenue ($136,642 above budgeted target) are all coming in

slightly above budget targets.

Property Taxes are coming in $909,755 under budget targets due to Board of Equalization decisions to reduce contested property taxes, and reduced property tax collection rates. The

following are slightly lower than budget targets: License and Permits ($106,209 under budget), Intergovernmental ($112,844 under budget), Interest Income ($58,802 under budget), Interfund ($250,000 under budget) and Transfers ($96,325 under budget). In

addition, Fines and Forfeitures are coming in $522,552 under budget targets. The Justice Court fines are seeing a decrease in revenue, as well as a decline in traffic school

participation.

In addition to the revenue forecast, the Administration provides a projected Fund Balance based on actual and forecasted revenues, expenditures, and encumbrances or outstanding

obligations. Based on current fund balance levels, and assuming the City will not use fund balance to augment the FY 2013 budget, the City will have approximately $21.5 million in

general fund balance, or 10.5% of ongoing revenue. This is lower than the percentage level has been in the past year, in part because of usage of Fund Balance during FY 2012 budget

amendments, but also in part because overall general fund revenues have increased, making the same amount of fund balance a smaller percentage.

In the past, the Council has had a policy of maintaining a fund balance of at least equal to

10% of on-going general fund revenue. In FY 2013, 10% of proposed general fund revenue would be $20.4 million. Therefore the City has approximately $1.1 million in excess of the

10% threshold using FY 2013 revenue projections. To give context to how fluctuations in the

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overall budget affect this number, the City had the same amount in fund balance upon adoption of the FY 2012 budget, but because the ongoing budget was smaller, the City had $2.4 million in excess of the 10% threshold. The Administration is proposing to use $1.3

million of general fund balance for this budget amendment.

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MATTERS AT ISSUE The Administration classified the following as:

New Items:

A-1: Audio Recording Equipment Mandated by Section 78A-7-103 in the Justice Courts ($25,800 – Source: fund balance of the General Fund) In accordance with State Statute 78A-7-103, on July 1, 2012 the Justice Court will be responsible to ensure all courtrooms are equipped with and fully capable of providing digital audio recordings of all Court hearings. The audio records must be held for one year and must be retrievable.

Vectra Solutions of Salt Lake City was awarded the bid for $20,535. Adding the annual maintenance agreement and microphones, the total cost is $25,800. According to the Justice Court, the new equipment installation should be finished by May 18th. The training and testing process will then begin with Court personnel and IMS. The training timeframe will take approximately two weeks. Once the Justice Court has paid the invoice to Vectra, the Administrative Office of the Courts should send the City a reimbursement check for $10,000 of the expense ($2,000 per court room). If this item is approved by the Council, the maintenance fee for the first year will be paid with the current budget amendment; the Court will build this into its 2013-14 budget. This request results in a net request of $15,800 from the General Fund fund balance. A-2: Police Department Overtime Reimbursement ($183,963.00 - Source: General Fund)

Each year the Police Department receives reimbursements related to Officer overtime supporting special events. In this particular case, the amendment corrects an accounting error, and recognizes an additional $12,000 in revenues. The revenue received this year was placed into the prior fiscal year with a journal entry, but should have been reflected in the current fiscal year. This amendment item is just housekeeping to move $171,357 back into the correct fiscal year. A-3: Police Department Overtime Reimbursement ($306,000.00 – Source: General Fund)

Each year the Police Department receives reimbursements from the federal government related to Officer overtime performing law enforcement activities related to violent crimes, narcotics, and gang enforcement. This budget amendment item increases the budgeted revenue for these reimbursements by an additional $306,000 based on what the Department anticipates will be received. A-4: Street Lighting Power and Maintenance ($100,000 – Sources: General Fund) As the Council may recall, the 2011-12 budget for Street Lighting Power & Maintenance was reduced

significantly in anticipation of a Street Lighting Enterprise fund being created. The Council may also recall,

that for the past 12-18 months, only critical or complaint based repairs and maintenance have been

addressed. The Administration is requesting $100,000 to complete the year with the necessary „critical‟

repair items. The Council may wish to discuss the amount of funding added in the current year for critical repairs, and consider whether any funds should be added to the upcoming budget for this purpose.

A-5: Fund 20 Special Assessment Budget Increase Curb & Gutter Special Assessment -

($11,707 - Source: Curb & Gutter Special Assessment) The Administration is proposing that an operating expense budget be established for two new Special Assessment Areas – North Temple Viaduct and North Temple Lighting Construction. It is estimated that $11,707 will be needed to pay for: 1) postage for mailing invoices, 2) legal costs when outside attorneys and bond counsel are needed, 3) Salt Lake County Recorder document recording fees, 4) legal notification/publication fees, and 5) invoice printing costs. Special

Page 4

Assessment Area property owners will pay for these costs, which will be included in the amount of the assessment. A-6: Department Insurance Budget Increase ($89,000 – Source: General Fund)

In FY 2011-12, the City began offering a High Deductible Health Plan (HDHP) with a Health Savings Account (HSA). As part of this medical insurance program, the City made a contribution of $1,500 for double/family and $750 for single coverage into employee HSAs if the employee selected the HDHP option. At the time of the program launch, it was estimated that eight (8) percent of the employees would chose the HDHP. Because of the HDHP design, HSA contribution, and communication efforts of the Human Resources Department, forty-eight (48) percent of City employees switched to the HDHP. The FY 2011-12 budget of $450,000 for City‟s HSA contribution of $450,000 was underestimated. The Administration is asking for General Fund funds to help department expenditure budgets pay for the underestimated HSA contributions. The request of $89,000 would be allocated to departments as follows:

Department Amount

Mayor‟s Office $19,000

Council Office $18,700

Fire $22,500

Human Resources $14,100

Attorney‟s Office $14,700

Total $89,000

►One of the factors contributing to the number of City employees switching from the traditional insurance plan to the HDHP is the employer contribution into employees’ HSAs. The Administration is recommending a contribution into employees’ HSA accounts in FY 2012-13. The Council wish to discuss this and other compensation related issues further during the Compensation briefing. A-7: Wind Storm Costs - Public Services Department ($34,699 – Source: General Fund

fund balance)

The large wind storm this past winter caused additional clean-up work by Public Services, which will partially be reimbursed by FEMA. This item will establish the expense budget for the costs and a revenue budget for the reimbursement for FEMA. In order to calculate the increased expenses, the Administration has not included use of full-time employees during regular hours; instead it includes payments made to vendors and employee overtime. A-8: Move Long-Term Disability Insurance from Self Funded to Fully Insured Risk

($1,017,000 – Source: Risk Fund) The Administration completed a Request for Proposal (RFP) for the administration of the City’s Long Term Disability

(LTD) and Short Term Disability (SDI) programs. The following are recommendations proposed with the Mayor’s

Recommended Budget for Fiscal Year 2012-13:

Short Term Disability (SDI) –

o The City has self-funded short term disability since its inception in 1997. The recommendation is to

continue the practice of self funding SDI through the employee’s annual salary budgeted in each

department.

o The new administrator, MetLife, will charge approximately $20,000 more than the current

administrator. According to paperwork prepared by the Administration, the increased cost should be

offset by the reduced claims costs due to the more stringent case management.

Long Term Disability (LTD)

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o The LTD program has been self insured for many years from premiums collected from employees

(excluding sworn police officers) who have voluntarily enrolled in the LTD program. The City is

required by statute to provide a LTD program at no cost to its sworn police officers.

o The selection committee, with the help of a Benefits Consultant from FirstWest Benefits selected

MetLife to provide LTD benefits. The liability and future risk of LTD claimants will be the

responsibility of MetLife.

o The LTD premium charged by MetLife, the carrier, is .572 per $100 of base total salary. In addition, a

reserve buyout premium of $1,343,000, which covers the City’s current long term disability liability

for employees that are receiving a monthly benefit, is required. The City is able to cover $863,000 of

this reserve with the amounts in the long term self-funded and Police LTD accounts and another

$154,000 from the Risk Fund. With these funds the bi-weekly premium charged to employees

participating in the LTD program will be $14.00 per pay period, an increase of $3.50.

This budget request is contingent upon the Council’s approval of these changes recommended in the Mayor’s 2012-13

annual budget. It would appropriate funds - $154,000 in the LTD balance in the Risk Fund and $863,000 in the LTD

self fund and Police LTD accounts to be used for the MetLife reserve buyout premium.

►Does the Council have concerns about moving this budget amendment forward before the Mayor’s

Recommended Budget is approved by the Council?

►The Council may wish to ask for more information on the changes to the City’s short and long term

disability programs?

► One Council Member recently requested clarification on the degree to which the City is self insured and the

degree to which the City purchases insurance coverage. Does the Council wish to request a report or chart

from the Administration listing this by category / risk / exposure?

A-9: Fleet Building Construction Budget Reduction CIP ($1,493,396.00 reduction – Source: CIP Fund)

This budget amendment request will correct an accounting error that resulted in extra budget in the Fleet Construction account. Unfortunately, about half of this “extra budget” was spent ($762,273) before the accounting error was discovered. The accounting error was caused when the fleet bond proceeds could not be used to reimburse the surplus land account for the property purchase. Bond proceeds were instead used for other general fund, bond-eligible projects, and funds planned for those projects in turn reimbursed the surplus land account. The main issue was that the budget in the fleet construction account was never reduced to reflect this shift. As such, the construction management spent the “extra” funds on Fleet Facility project add-ons including natural gas pumps, and under carriage washing system, and an inventory control and containment system. The Administration has proposed to rectify this situation by gathering remaining funds from closed CIP projects with small amounts of remaining funds:

Project Amount

Legacy Project District #4 $59,389

Yale Ave SID Legal Fees $3,250

4th Ave Stairway $885

Residential Concrete $22,992

City Creek Canyon Washout $70,972

Parley‟s Way/Wilshire Park $119,217

Rose Park Golf Course Land Purchase $102,294

Class “C” Surplus Funds $383,274

Total Recaptured $762,273

The Council may wish to review these CIP projects to ensure that closing them out and recapturing funds to spend on the Fleet Facility is consistent with Council goals and other priorities.

Page 6

The Council may wish to note that Class “C” Surplus funds could be recaptured and rolled into the FY 2013 budget, to be used for other road projects.

The Council may wish to ask the Administration if the Fleet Fund could cover the construction overage, as it was a construction management and accounting error that caused the overspend.

Council Member Garrott has asked for more information on the District 4 Olympic Legacy Project, which was not completed. The original appropriation was $100,000 per Council District. Funds in the amount of $59,389 have been held in CIP and are listed above to be recaptured.

The situation described with the Fleet expenditure of funds seems to point to a significant systems problem. Does the Council wish to ask the Administration for additional information on changes made to prevent this in the future, in addition to the recapture of funds?

A-10: Fleet Maintenance Budget Increase – ($412,000 – Source: General Fund) This budget amendment request is to cover three areas of unanticipated increased expenditures:

- Increased costs for maintenance of general fund fleet (parts, tires, batteries, repair). These overages would be reimbursed by the general fund fund balance. The departments with higher-than anticipated costs are as follows:

o Fire ($175,000) o Streets Division of Public Services ($183,000)

- Higher-than-anticipated utility costs in the new facility - Some one-time expenses related to the old fleet site ($54,000 – to be reimbursed from the

General Fund Non-Departmental budget) This budget amendment also reduces the Fleet Fund revenue budget, as some vehicle sales will not occur

until after the current fiscal year. This is due to a delay in purchasing new vehicles (which has also saved

in FY 2012 debt service). The net effect to the Fleet Fund is a combined decrease of $218,000 to both the

revenue and expense line item.

It should be noted that previously the Fleet Fund has carried a fund balance that could be used for such

situations. The funds have been transferred to balance the general fund budget in recent years. As such,

the General Fund is the revenue source looked to to cover the costs.

The Council may wish to ask whether these are isolated circumstances for these departments, or whether the 2012-13 budgets for Fire and Streets have been/need to be adjusted to reflect these costs.

A-11: Golf Fund Financial Consultant – ($50,000 – Source: General Fund) Last year, the Mayor formed an independent Golf Citizen's Task Force (CTF) to evaluate the City‟s golf

program, proposed capital improvement projects (CIP), and the funding of the identified capital projects. The CTF began meeting biweekly in September of 2011. One of the CTF‟s recommendations is for the City

to contract with a financial consultant. According to the Administration and CTF, the consultant would

have broad range of expertise in the golf industry. The consultant would:

1) Perform an analysis on the golf program.

2) Create an economic model for the program that would address the proposed capital improvement

projects and funding options. The economic model would:

Identify the needs of each golf course in the city.

Aid Salt Lake City Golf in addressing and funding identified needs, including repairs, upgrades, required modifications, and modernization of equipment and technology.

Prioritize the needs of each facility and set a known baseline for capital investments.

Page 7

Track progress regarding spending, providing a benefit to the general population, monitoring environmental impacts, and determining whether the courses are fulfilling

their purpose and maintaining viability.

Outline what measures will be put in place to correct issues affecting the financial condition of the courses as well as the playability.

Indicate if a new organizational structure for the courses were to needed to increase

efficiency.

►This budget request would use $50,000 of General Funds, not Golf Enterprise Funds, to pay for

the cost of the Study/Financial Analysis/5-Year Economic Plan for the City‟s Golf Division, specifically, the CIP needs of the City‟s golf courses. It is unusual for the General Fund to be used

as a funding source for a study of this type. The City‟s standard procedure would be to allocate the

cost to the fund to which the cost is related.

Does the Council wish to make an exception in this case, or ask the Administration what they believe the basis for a policy exception would be?

►This item, along with several other Golf CIP items, is scheduled to be discussed during the Golf CIP briefing on Tuesday, May 22, 2012. Please see the Golf CIP staff memo for further information

and questions the Council may wish to consider.

Does the Council have any follow-up questions with regard to this request?

Does the Council wish to fund this request from the General Fund, as per the request, or should this study be paid out of another funding source, such as, the Golf Enterprise Fund?

A-12: Postage Reimbursement for Landlord / Tenant Mailing – ($12,326.10 – Source:

General Fund)

The Council may recall that during last year‟s annual budget discussions, a request was made for a citywide mailing to notify residents of the implementation of the Landlord / Tenant program. Since that was a large mailing that was not anticipated, the Administration has requested that the one-time expense be covered. (This was intended to have been included earlier in the year.) A-13: Library Budget Adjustment Library – ($207,600 – Source: Library Fund)

Contained within this amendment request are one-time start-up costs for the Utah Education Network filtering initiative, costs associated with reimbursing the County for the Transitional Director‟s services as well as the performance audit, chairs in the tech lab and the cost of replacing a library vehicle. The Library proposes to use Library fund balance for these items. (The Library staff has provided more detail on the costs. Please see attached.)

The Administration classified the following as:

Housekeeping

D-1: Recapture Remaining CIP Completed and Closed Projects ($4,714 recapture - Source:

CIP / $83,281 recapture - Source: CDBG Fund) This budget amendment request would close out one class C project account ($4,714.15) and one CDBG project account ($83,281.54). These remaining funds would be deposited into their respective cost overrun accounts to cover future unanticipated cost over-runs in Class C and/or CDBG projects.

D-2: Utah State Department of Public Safety - 2011 Homeland Security Program (SHSP) Grant Budget Increase ($3,265.00 – Source: Misc. Grants) This budget amendment request would increase the grant budget for the 2011 SHSP Grant to reflect an additional award that the City received of $3,265. This increases this grant budget from $120,735 to $124,000. This grant will be used to purchase equipment and provide or

Page 8

participate in training to prepare for terrorist or other mass attacks. SL County Unified Fire is the lead agency for this grant.

Items D-3 thru D-6 relate to the state grant program resulting from the Red Butte Oil Spill, and are projects identified to help with the restoration and rebuilding of the corridor that was impacted by the oil spills in June and December of 2010. The settlement agreement included a payment to the State with the understanding that the money would be used toward restoration projects in areas affected by or related to the Red Butte Oil Spill. In Budget Amendment No. 5, the Council approved requests to set up the expense budgets to begin the design work on each of the projects. Now that the grants have been awarded, these current requests establish the remainder of the budgets for each project. For each of the projects, the design will be contracted out, and the full project will also include public outreach and engineering oversight. The projects will be managed out of the Open Space

Division and funded by the grant money. The projects are listed below along with a brief explanation. D-3: Utah Department of Environmental Quality, State Division of Water Quality - 900 So.

Oxbow Restoration Project ($308,496 – Source: Misc Grants)

This project will restore 16.4 acres of stream bank habitat including a 50-foot buffer along the oxbow (or bend) in the Jordan River at approximately 900 South and 900 West where the connection is between the 9-Line trail and the River. The total grant budget amount will be $383,322; $74,826 of which has already been approved by the Council for design work.

D-4: Utah Department of Environmental Quality, State Division of Water Quality - Miller Bird Refuge and Bonneville Restoration Project ($655,356 – Source: Misc Grants)

This funding would go to the restoration of 2,084 feet along Red Butte Creek that flows through the Miller Bird Refuge and Bonneville Glen. The total grant budget amount will be $767,612; $112,256 of which has already been approved by the Council for design work. D-5: Utah Department of Environmental Quality, State Division of Water Quality - Liberty

Lake Restoration ($329,982.00 – Source: Misc Grants) This project includes restoration of the bank around Liberty Lake, the islands, and wetlands in the lake. The work will be geared toward increasing the bird life around the lake, and other related improvements to restore the habitat for birds and fish. The total grant budget amount will be $359,516; $29,534 of which has already been approved by the Council for design work. D-6: Utah Department of Environmental Quality, State Division of Water Quality – Jordan

River Corridor Restoration Project ($835,940.00 – Source: Misc Grants)

This project includes restoration sites between 1800 North and 2500 North for 23 acres of stream bank on the west side of the river, 22 acres on the east side, and 10 acres in the Riverview area. The total grant budget amount will be $1,095,234; $259,294 of which has already been approved by the Council for design work.

D-7: Reallocation of HUD - Housing Opportunities for Persons with AIDS (HOPWA) Funds to the Community Action Program (CAP) ($749.55 – Source: Misc Grants) This request is to reallocate budget in the amount of $749.55 of HUD, HOPWA funding that was inadvertently recaptured from the Community Action Program (CAP) through a budget amendment. This request will reduce the FY 2011 HUD – HOPWA cost over-run account by the $749.55.

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D-8: US Department of Housing and Urban Development (HUD), HOME Funds – Budget Reallocation ($304,331.00 - Misc Grants)

During FY 2008, the City awarded HUD-HOME (HOME) funds in the amount of $304,331 to NeighborWorks of Salt Lake City for the purchase of property in the Glendale neighborhood. NeighborWorks purchased and planned to build three affordable housing units as allowed under the HOME program. The NeighborWorks property, located at 1365 Concord Street, was identified as a desirable location for the planned Glendale neighborhood library. After an extensive public process, this property was later purchased by the Salt Lake City Library Board. This transaction required that HOME funds used by NeighborWorks for the property purchase needed to be returned to the federal government, as per federal regulations. NeighborWorks and the City returned the funds, which were then reallocated back to the City by HOME program. This budget request is to reestablish budget within the HOME program and reallocate the funds to NeighborWorks, a Community Housing Development Organization (CHDO).

D-9: Spring Mobile Ballpark Utilities ($81,500.00 – Source: General Fund) A new lease agreement with the Miller Group was signed during fiscal year 2011-12. Under the new lease, the City will pay the water, electric, and gas utilities and then be reimbursed by the lessee for these costs. This budget amendment establishes the Spring Mobile Ballpark utilities revenue and expense budgets. ►The Council may wish to ask about these lease terms, including the frequency of the utilities reimbursement billings? D-10: Series 2012 General Obligation Refunding Bonds Debt Service ($12,571,889.00 –

Source: Debt Service) This item relates to the refinancing of Library General Obligation bonds. The Council discussed this idea in detail in March 2012 and gave approval for the Administration to proceed. This amendment is to comply with reporting requirements recognizing the revenue of the refund, as well as the expenditure of the new bond‟s debt service. D-11: US Department of Energy (DOE) UCCC - Alternative Fuels Transportation Project

and Project Fleet ($64,788.99 and $56,928.56 - Misc Grants) This budget amendment would adjust budgets within the grant, fleet, and refuse cost centers to reflect actual grant funds received and amounts spent. Utah Clean Cities Coalition (UCCC) received a $15 million grant from the US Department of Energy, through the American Recovery and Reinvestment Act. The purpose of this grant was to increase the use of alternative fuel vehicles. UCCC originally awarded the City $297,467 to cover the incremental costs to purchase CNG vehicles rather than diesel fuel vehicles (processed in FY 2011). The City ended up spending an additional $56,928.56 above this grant amount. UCCC has agreed to cover this additional incremental cost. The Council may wish to ask the Administration what financial controls were or could be in

place to ensure that the City cannot overspend when using grant funds. If other grant funds from the UCCC were not available, the general fund would have had to cover this incremental cost.

The Council may wish to ask what the City’s plan is for future alternative fuel purchases.

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D-12: No. Temple Boulevard & Viaduct Debt Service & Construction Curb & Gutter Special

Assessment, Debt Service, and CIP – ($2,047,717- Source: SAA Fund; -$1,246,526- Source: Debt Service Fund; -$5,048,766 - Source: CIP Fund)

The Council was briefed on this topic in detail in April 2012. The Administration is requesting this budget amendment to reflect this discussion. The amendment reflects the actual amount of debt service issued, and will reflect that the SAA payments for the North Temple Viaduct, will be used to reduce the amount of bonds rather than be used to pay off debt service in the first few years. These changes, as well as some project savings, require an adjustment to the previously approved project budget for the viaduct. For a further detailing of sources and uses of funds, see the Administration‟s transmittal, page 7.

The Administration classified the following as:

Grants Requiring No New Staff Resources

E-1: US Department of Homeland Security, FEMA - Assistance to Firefighters Grant

Program – ($214,972 – Source: Misc Grants) Please reference the Administration‟s transmittal for more information.

E-2: Utah State Department of Public Safety - Emergency Operations Center Grant, EOC

2011 – ($999,750.00 – Source: CIP) Please reference the Administration‟s transmittal for more information.

E-3: State of Utah, Department of Environmental Quality, Clean Fuels Vehicle Technology

Grant – ($70,000 – Source: Misc Grants/Fleet)

This budget amendment request accepts a $70,000 grant recently awarded to the Public Services Department from the State of Utah DEQ, to cover the incremental costs of purchasing two CNG vehicles (a street sweeper and an aerial tower truck, to be used in the Forestry Division). The $70,000 covers a portion of the difference between purchasing these vehicles as diesel or as CNG vehicles.

- The incremental cost to purchase a CNG street sweeper is $80,000 of which the DEQ will reimburse $40,000.

- The incremental cost to purchase a CNG aerial tower truck is $60,000 of which the DEQ will reimburse $30,000.

The remaining incremental cost will be covered by the general fund, and is already included in the current fiscal year budget. The Administration classified the following as:

Council Consent Agenda – Grant Awards

G-1: State of Utah Commission on Criminal and Juvenile Justice (CCJJ) Utah Pharmaceutical Drug Crime Project Public Awareness Grant – ($2,000 – Source: Misc

Grants) Please reference the Administration‟s transmittal for more information. G-2: Dept. of Energy (DOE), Wasatch Solar Challenge, Streamlining & Simplifying Solar – ($424,740 – Source: Misc Grants)

Please reference the Administration‟s transmittal for more information.

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G-3: Safety - 2010 State Homeland Security Program (SHSP) and Law Enforcement

Terrorism Prevention Program (LETPP) Grant Budget Increase – ($20,421.00 – Source: Misc Grants)

Please reference the Administration‟s transmittal for detail on this item. G-4: State of Utah, Department of Public Safety, Division of Homeland Security –

Metropolitan Medical Response System (MMRS) Grant – ($281,693 – Source: Misc Grants) Please reference the Administration‟s transmittal for more information. G-5: Safe Streets Violent Crimes Task Force - FBI Reimbursement – ($62,580.00- Source:

Misc Grants) Please reference the Administration‟s transmittal for more information. G-6: Interest on Justice Assistance Grants – ($47,000.00 – Source: Misc Grants) Please reference the Administration‟s transmittal for more information.

G-7: State Office of Crime Victim Reparations, FY 2012 VAWA Grant – ($18,963.83 – Source: Misc Grants) Please reference the Administration‟s transmittal for more information.

The following are classified as:

Council Added Items

I-1: Sugar House Park 4th of July Fireworks – ($15,000.00 one-time – Source: General

Fund fund balance)

This item is a request by City Council Member Søren Simonsen for an allocation to support efforts to raise money to hold the July Fourth fireworks show at Sugar House Park. The event used to be held by the Sugar House Park Authority, but the Authority discontinued financial support to spend money on more pressing infrastructure and maintenance issues. Resident Scott Workman then organized Sugar House Fireworks, a non-profit entity, to continue the event, largely through attracting sponsors. The attached letter from Mr. Workman requests a $15,000 allocation for the July 4, 2012 event.

Need

Requested

Adjustment

Amount

Line Item

Amount After

Adjustment

Source -

Transfer from

Operating Fund

Balance

Current

Operating

Fund Balance

Operating

Fund

Balance

After

Adjustment

10-5335 Technical Equipment Purchases* 45,000 70,000 45,000

10-5140 Professional and Technical Services** 115,300 238,300 115,300

10-5330 Equipment Purchases*** 16,300 36,300 16,300

Total 176,600 176,600 2,259,451 2,082,851

Requested

Adjustment

Amount

Line Item

Amount After

Adjustment

Source -

Transfer from

Capital Fund

Balance

Current

Capital Fund

Balance

Capital

Fund

Balance

After

Adjustment

20-5011 Capital Vehicle Replacement**** 31,000 - 31,000 5,169,071 5,138,071

*One-time start up costs with the Utah Education Network. This enables our filtering initiative.

**There are two significant one-time costs, reimbursing the County for the Transitional Director's services and the Performance Audit.

***The chairs in the tech lab are falling apart. They are torn and the arms fall off. This will replace them.

****A vehicle was ordered for maintenance employees in March of 2011. It was not delivered until January of 2012. The budget to

pay for the vehicle lapsed to fund balance on July 1, 2011.

Budget Adjustment Request, March 22, 2012

targets this year, with slight surplus as a result of an upward revision in sales tax revenue assumptions. The Administration is requesting a budget amendment totaling $13,938,581. The majority of this amount is associated with changes in the Debt Service Fund, reflecting the expected issuance of bonds for the North Temple Viaduct and Boulevard. The Administration is proposing to use $863,954 from the General Fund fund balance for eight separate items. In addition, at the request of Council staff, we have included a Council initiated item for an additional $15,000. More detail on each of these items, as well as other items is provided in the attached narrative summary. In addition, a summary spreadsheet document, outlining proposed budget changes, is also attached. The Administration requests this document be modified based on the decisions of the Council. The budget opening is separated in eight different categories: A. New Budget Items B. Grants for Existing Staff Resources C. Grants for New Staff Resources D. Housekeeping Items E. Grants Requiring No New Staff Resources F. Donations G. Council Consent Agenda Grant Awards I. Council Added Items

PUBLIC PROCESS: Public Hearing

1

Initiative Number/Name Fund Expenditure

Amount Revenue Amount

On-going or One time FTEs

1 Audio Recording Equipment Mandated by Secion 78A-7-103 in the Justice Courts GF 25,800.00 10,000.00 one-time 02 Police Department Overtime Reimbursement GF 183,963.00 12,606.00 one-time 03 Police Department Overtime Reimbursement GF 306,000.00 306,000.00 one-time 04 Street Lighting Power and Maintenance GF 100,000.00 one-time 05 Fund 20 Special Assessment Budget Increase Curb & Gutter

Spec Assessment 11,707.00 11,707.00 one-time 0

6 Department Insurance Budget Increase GF 89,000.00 ongoing 07 Wind Storm Costs - Public Services Department GF 34,699.00 21,228.00 one-time 08 Move Long-Term Disability Insurance from Self Funded to Fully Insured Risk 1,017,000.00 ongoing 09 Fleet Building Construction Budget Reduction CIP (1,493,396.00) (1,493,396.00) one-time 0

10 Fleet Maintenance Budget Increase GF 412,000.00 010 Fleet Maintenance Budget Increase Fleet (218,000.00) (296,000.00) 011 Golf Fund Financial Consultant GF 50,000.00 one-time 012 Postage Reimbursement for Landlord / Tenant Mailing GF 12,326.10 one-time 013 Library Budget Adjustment Library 207,600.00 one-time 0

1 Recapture Remaining CIP Completed and Closed Projects CIP 4,714.15 one-time 01 Recapture Remaining CIP Completed and Closed Projects CDBG 83,281.54 one-time 01 Recapture Remaining CIP Completed and Closed Projects CIP (4,714.15) one-time 01 Recapture Remaining CIP Completed and Closed Projects CDBG (83,281.54) one-time 02 Utah State Department of Public Safety - 2011 Homeland Security Program (SHSP) Grant

Budget IncreaseMisc Grants 3,265.00 3,265.00 one-time 0

3 Utah Department of Environmental Quality, State Division of Water Quality - 900 So. Oxbow Restoration Project

Misc Grants 308,496.00 308,496.00 one-time 0

4 Utah Department of Environmental Quality, State Division of Water Quality - Miller Bird Refuge and Bonneville Restoration Project

Misc Grants 655,356.00 655,356.00 one-time 0

5 Utah Department of Environmental Quality, State Division of Water Quality - Liberty Lake Restoration

Misc Grants 329,982.00 329,982.00 one-time 0

6 Utah Department of Environmental Quality, State Division of Water Quality - Jordan River Corridor Restoration Project

Misc Grants 835,940.00 835,940.00 one-time 0

7 Reallocation of HUD - Housing Opportunities for Persons with AIDS (HOPWA) Funds to the Community Action Program (CAP)

Misc Grants 749.55 one-time 0

Reallocation of HUD - Housing Opportunities for Persons with AIDS (HOPWA) Funds to the Community Action Program (CAP)

Misc. Grants (749.55) one-time

8 US Department of Housing and Urban Development (HUD), HOME Funds - Budget Reallocation

Misc Grants 304,331.00 304,331.00 one-time 0

9 Spring Mobile Ballpark Utilities GF 81,500.00 81,500.00 ongoing 010 Series 2012 General Obligation Refunding Bonds Debt Service 12,571,889.10 12,571,889.10 one-time 0

Fiscal Year 2011-12 Budget Amendment #6

Section A: New Items

Section B: Grants for Existing Staff Resources

Section C: Grants for New Staff Resources

Section D: Housekeeping

2

Initiative Number/Name Fund Expenditure

Amount Revenue Amount

On-going or One time FTEs

Fiscal Year 2011-12 Budget Amendment #6

11 US Department of Energy (DOE) UCCC - Alternative Fuels Transportation Project Misc Grants 64,788.99 56,928.56 one-time 011 US Department of Energy (DOE) UCCC - Alternative Fuels Transportation Project Fleet 64,788.99 64,788.99 one-time 012 No. Temple Boulevard & Viaduct Debt Service & Construction Curb & Gutter

Special Assessment

2,047,717.00 2,047,717.00 one-time 0

12 No. Temple Boulevard & Viaduct Debt Service & Construction Debt Service (1,246,526.00) (1,246,526.00) one-time 012 No. Temple Boulevard & Viaduct Debt Service & Construction CIP (5,048,766.00) 15,920,000.00 one-time 0

1 US Department of Homeland Security, FEMA - Assistance to Firefighters Grant Program Misc Grants 214,972.00 214,972.00 one-time 0

2 Utah State Department of Public Safety - Emergency Operations Center Grant, EOC 2011 CIP 999,750.00 999,750.00 one-time 0

3 State of Utah, Department of Environmental Quality, Clean Fuels Vehicle Technology Grant

Misc Grants 70,000.00 70,000.00 one-time 0

3 State of Utah, Department of Environmental Quality, Clean Fuels Vehicle Technology Grant

Fleet 70,000.00 70,000.00 one-time 0

1 State of Utah Commission on Criminal and Juvenile Justice (CCJJ) Utah Pharmaceutical Drug Crime Project Public Awareness Grant

Misc Grants 2,000.00 2,000.00 ongoing 0

2 Dept of Energy (DOE), Wasatch Solar Challenge, Streamlining & Simplifying Solar Misc Grants 424,740.00 424,740.00 one-time 03 Safety - 2010 State Homeland Security Program (SHSP) and Law Enforcement Terrorism

Prevention Program (LETPP) Grant Budget IncreaseMisc Grants 20,421.00 20,421.00 one-time 0

4 State of Utah, Department of Public Safety, Division of Homeland Security - Metropolitan Medical Response System (MMRS) Grant

Misc Grants 281,693.00 281,693.00 one-time 0

5 Safe Streets Violent Crimes Task Force - FBI Reimbursement Misc Grants 62,580.00 62,580.00 one-time6 Interest on Justice Assistance Grants Misc Grants 47,000.00 47,000.00 one-time 07 State Office of Crime Victim Reparations, FY 2012 VAWA Grant Misc Grants 18,963.83 18,963.83 one-time

1 Sugar House Park 4th of July Fireworks GF 15,000.00 one-timeTotal of Budget Amendment Items 13,938,581.01 32,717,932.48

Section F: Donations

Section G: Council Consent Agenda -- Grant Awards

Section I: Council Added Items

Section E: Grants Requiring No New Staff Resources

3

Initiative Number/Name Fund Expenditure

Amount Revenue Amount

On-going or One time FTEs

Fiscal Year 2011-12 Budget Amendment #6

Total by Fund, Budget Amendment #6:General Fund 1,310,288.10 431,334.00 Fleet Fund (83,211.01) (161,211.01) CIP Fund (6,542,162.00) 14,426,604.00 Misc. Grant Fund 4,644,278.82 4,636,418.39 Debt Service Fund 11,325,363.10 11,325,363.10 Risk Fund 1,017,000.00 - Curb & Gutter Special Assessment Fund 1,976,142.46 2,059,424.00 CDBG Fund 83,281.54 - Library Fund 207,600.00 -

Total of Budget Amendment Items 13,938,581.01 32,717,932.48

Current Year Budget Summary, provided for information onlyFY 2011-12 Budget, Including Budget Amendments

FY 2011-12 Adopted Budget BA #6 Total Total To-Date

General Fund $195,154,853 1,310,288.10 $196,465,141Fleet Fund $16,716,891 (83,211.01) $16,633,680CIP Fund $19,618,798 (6,542,162.00) $13,076,636Misc. Grant Fund $8,630,249 4,644,278.82 $13,274,528Debt Service Fund $28,484,685 11,325,363.10 $39,810,048Risk Fund $43,866,570 1,017,000.00 $44,883,570Curb & Gutter Special Assessment Fund $1,769,757 1,976,142.46 $3,745,899CDBG Fund $2,663,167 83,281.54 $2,746,449Library Fund $16,022,342 207,600.00 $16,229,942

Certification

____________________________________________________________Budget Director

____________________________________________________________Deputy Director, City Council

I certify that this document is a full and correct copy of Ordinance ________ of 2011, amending Salt Lake City Ordinance _________ of 2011, which adopted the final budget of Salt Lake City Utah for the fiscal year beginning June 1 2011 and ending June 30, 2012.

Salt Lake City FY 2011-12 Budget Amendment #6 Initiative Number/Name Fund Amount

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Section A: New Items A-1: Audio Recording Equipment Mandated by Section 78A-7-103 in the Justice Courts

GF $25,800

In accordance with State Statute 78A-7-103, on July 1, 2012 the Justice Court will be responsible to ensure all courtrooms are equipped with and fully capable to provide digital audio recordings of all court hearings. These audio records must be held for one year and must be retrievable. The winning bid is $20,535; with the annual maintenance agreement and microphones the total is $25,800. The Administrative Office of the Courts will give Class I courts $2000 / courtroom for this mandate or $10,000 to the Salt Lake City Justice Court, which will be funded on a reimbursement basis. This request results in a net request of $15,800 from the General Fund fund balance. A-2: Police Department Overtime Reimbursements and Training GF $183,963 The Police Department was reimbursed for Special Events overtime costs incurred, and reimbursed in September in the amount of $171,357. The revenue was accrued from prior fiscal year and was placed in the prior fiscal year by a journal entry. The revenue should have been placed in the current fiscal year. This request will allow the Police Department to realize the funds in the year that was intended. This request is funded from the general fund fund balance. Also two officers attended the "Edward Amacher Hazardous Devices School" in Huntsville, Alabama. The State of Utah, under their Homeland Security Program, agreed to reimburse the City for the travel and training of these two bomb technicians. The budget amendment proposes to increase both revenue and expense budgets by $12,606. A-3: Police Department Overtime Reimbursements GF $306,000 The Police Department has contracted with multiple agencies to provide law enforcement functions within the community that address major public safety issues above and beyond everyday policing. These services are performed on an overtime basis, and the city is reimbursed for the officers' time. These are issues including gang, narcotics, underage drinking, street racing, and other types of enforcement. This budget amendment request is to increase the projected revenues to reimburse the overtime expenses of these officers to reflect the actual reimbursements that have and will be received by the end of the fiscal year, to cover the overtime the City is paying the officers. The total amount of these reimbursements is $306,000. A-4: Street Lighting Power and Maintenance GF $100,000 Funding for street lighting power and maintenance was only partially funded this fiscal year with the anticipation of creating an enterprise fund to pay for street lighting operations. Since a decision has not yet been made as to whether or not to create the enterprise fund, it is anticipated that the budget for street lighting operation and maintenance will be depleted before the end of the fiscal year, resulting in the stoppage of street light maintenance. Due to the flat-rate structure for paying for electrical power for street lighting, it is not economically feasible to disconnect street lights to lower electrical costs. The street light power bill is essentially a fixed cost. Also, due to a shortfall in budgeting this year, some street lighting repairs have been deferred and many lights (approx. 1500, or 10% of all street lights) are still not functioning as a result. Street lighting maintenance has been operating at a low level of service during this FY and, for the most part, only lights deemed "critical" have been repaired. In order to maintain this "critical only" level of service, it is anticipated that $100,000 extra will need to budgeted for the rest of the fiscal year. A-5: Fund 20 Special Assessment Budget Increase Curb &

Gutter Spec Assessment

$11,707

Fund 20 currently has 29 active Special Assessment Areas (projects) with 29 different cost centers. Expenditures primarily occur in five categories: Postage for mailing invoices, legal charges to retain outside attorneys and bond counsel, recording fees to record documents with the Salt Lake County Recorder, publication fees for newspaper legal notices and printing charges to print invoices prior to mailing. In previous fiscal years the costs of postage and printing were absorbed by the General Fund budget of the Treasurer’s Office. Now, Fund 20 cost centers are covering the costs of postage and printing. Also, two new Special Assessment Areas previously created by the City Council will levy assessments this fiscal year, the North Temple Viaduct and the North Temple Lighting Construction, and all the postage, legal, recording, publication and printing costs associated with these new Areas need a budget. We are requesting budget in Fund 20 in the amount of $11,707 to cover these various expenditures.

Salt Lake City FY 2011-12 Budget Amendment #6 Initiative Number/Name Fund Amount

2

A-6: Department Insurance Budget Increase GF $89,000 With the implementation of the new high deductible insurance plan and the HSA contribution from the City to the employees savings accounts , the number of employees that took advantage of the high deductible insurance plan was initially underestimated. Originally, we assumed 8% of employees would move to that new high deductible plan. In actuality it turned out to be 48%. Prior to budget adoption for FY 12, the Council allocated $450,000 in Non-Departmental to help fund contributions in the HSA savings accounts. We allocated the $450,000 out to the department in a budget opening in December 2011, however, some departments are still significantly short and are unable to manage the increase within their existing budget. This budget requests addresses those departments that need the additional dollars in the insurance contribution accounts, and provides $19,000 for the Mayor’s Office, $18,700 for the Council Office, $22,500 for Fire, $14,00 for HR and $14,700 for the Attorney’s Office. The amount that is being requested from the fund balance is $89,000. A-7: Wind Storm Costs-Public Services Department GF $34,699

Public Services incurred costs in Salt Lake City and also dispatched crews and equipment to assist in Davis County with the cleanup after the wind storm this past December. This budget amendment seeks to establish budgets to reflect costs incurred associated with the wind storm. It also establishes a budget for the anticipated reimbursement from FEMA. This request is only for amounts actually paid to vendors and for overtime incurred from this event, and budget is not requested for use of full-time employees during regular hours or use of existing City equipment. We anticipate that the difference between total expenses if $34,699 and expected FEMA reimbursement of $21,228 will be funded from the General Fund fund balance ($13,471). A-8: Move Long-Term Disability Insurance from Self Funded to Fully Insured

Risk $1,017,000

The City has completed a RFP process for a new short term and long term disability benefits. A Committee with the help of Dave Jackson, our Benefits Consultant voted to continue to self insure the short term disability, but fully insure the long term disability (LTD) due to the continued increase in risk. The City has self insured the short term disability plan since its inception in 1997 and will continue this practice. Currently the City pays the current administrator an administrative fee of 9% of the short term claims paid, about $140,000 per year. The short term administrative fee of the new carrier is $5.49 per employee per month, about $159,000 annually. Although this is an increase of about $20,000, it will be offset by reduced claims costs because the new carrier has more stringent case management. The new carrier proposed a fully insured long term disability plan where they are 100% responsible for the cost of claims. The premium for this coverage is .572 for each $100 of base total salary. This converts to a bi-weekly premium for each enrolled employee of approximately $12.00 per payday. Employees are currently paying a bi-weekly premium of $10.50. The new carrier also quoted a reserve buyout premium in the amount of $1,343,000. This means they will take over our current long term disability liability (those employees approved and receiving a monthly benefit). We currently have approximately $863,000 in long term self funded and the Police long term disability City funded accounts. To bring the premium closer to a $14.00 per payday amount the Risk Fund has in its fund balance $154,000 to offset the reserve buyout amount. This budget amendment requests an appropriation of $154,000 in LTD fund balance plus the $863,000 in long term self funded and Police LTD City funded accounts, totaling $1,017,000. (This amount assumes that the Mayor’s Recommended Budget transfer amount is adopted by the Council). With these sources of funding this leave us short of the carrier’s buyout premium of $1,342,000 by an amount of approximately $$326,000. The premium for employees to pay down this buyout amount over a three year period would be an additional $2.00 per payday. The total premium would increase from $10.50 per payday to $14.00 per payday for those employees covered by this benefit, beginning in the new fiscal year. A-9: Fleet Building Construction Budget Reduction CIP ($1,493,396 When the budget for the Fleet facility was adopted when bonds were issued, land purchases were planned to be funded from bond proceeds. The land for the facility has previously been purchased using funds from the surplus land account in

Salt Lake City FY 2011-12 Budget Amendment #6 Initiative Number/Name Fund Amount

3

2006. After the budget was adopted and bonds issued, we discovered that the purchase was not consistent with the parameters of the bond reimbursement, as the purchase were made more than three years prior to bond issuance. We determined we could use the bond proceeds for other projects that were eligible to be paid for by the bond and consistent with the bond resolution and then use those funds that would have been used for those identified General Fund funded projects to reimburse the surplus land account for the land purchase. The land was purchased for $3,104,284.67. The two items that were determined to be eligible for the bond proceeds were the debt service for the bond and the retrofit for earthquake at the Leonardo Center. The debt service was $1,641,671 and the Leonardo Center retrofit was $1,493,396 for a total of $3,135,068. The General Fund was to pay for those two items. Instead, the funds were transferred from the General Fund to the surplus land account to reimburse it for the purchase of the fleet facility land. The debt service was paid for out of the fleet facility construction account #83-09064. The budget should have been reduced in the fleet account and increased in the Leonardo Center construction account at the same time. That reduction didn't take place leaving the fleet construction account with too much budget in the amount of $1,493,396. During the same time period, there was a change in construction management, and the new construction management staff continued thinking they had $1,493,396, as was reflected in IFAS. Once the problem was discovered we had spent $762,273 of the extra budget leaving only $731,122 remaining in the construction account for the fleet facility. We stopped all other expenditures and developed a plan to cover the additional expenditures as follows: Total extra budget $1,493,396

83-09064 Fleet Const (731,123)

CIP surplus budgets

83-03074 Legacy Project Dist #4 (59,389)

83-07044 Yale Ave SID Legal Fees (3,250)

83-08021 4th Ave Stairway (885)

83-08028 Residential Concrete (22,992)

83-11026 City Creek Canyon Washout (70,972)

83-11050 Parleys Way/Wilshire Pk (119,217)

83-81700 Rose Park Golf Course Land Purchase (102,294)

83-04097 Class "C" Surplus (383,274) The items that were added to the fleet facility were the natural gas pumps, additonal costs in the fueling station, car washing facility to increase pressure and under carriage washing to remove oil, debris and salt, and inventory control and containment system for all the different fluids used at the fleet facility. A-10: Adjustments to Fleet Fund Budget GF $412,000 Fleet $(218,000) FLEET MAINTENANCE: Fleet Maintenance has been incurring more expenses that are related to more repairs to the General Fund equipment than was originally budgeted - parts, tires, batteries, outsider repair, etc. In addition, some of the utilities and other costs have been higher in the new facility than anticipated. Fleet has also incurred some expenses related to the old Fleet site. The department seeks additional expense budget in Fleet Maintenance to reflect all of these expense items. Fleet Maintenance revenue will be increased to reflect the additional billings for the higher maintenance on General Fund equipment. In order to fund this needed change, the Administration proposes to use fund balance for unanticipated expenses this year in both the Fire Department ($175,000) and Streets division of Public Services ($183,000). In addition, Fleet Maintenance also requests reimbursement from the GF Nondepartmental budget for costs incurred at the old Fleet Facility site ($54,000).

Salt Lake City FY 2011-12 Budget Amendment #6 Initiative Number/Name Fund Amount

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FLEET REPLACEMENT: The expense budget in Fleet Replacement has benefitted from a delay in the debt service associated with the new purchases for FY12. This delay in expense will help cover some of the unfavorable expense budget variance in the maintenance activities. Some delays in equipment purchases and delivery have also delayed Fleet’s collections from vehicles sales. Therefore, Fleet Replacement’s revenue budget also needs to be reduced to reflect the latest expectations for vehicle sales revenue that will be posted before June 30, 2012. COMBINED MAINTENANCE AND REPLACEMENT: The overall budget change to the Fleet fund class (Fleet Maintenance increase and Fleet Replacement decrease) is a combined decrease to revenue and to expense. A-11: Golf Fund Financial Consultant GF $50,000 The Mayor's Golf Citizen's Task Force has recommended to the Administration that the City contract with a financial consultant who has a broader range of expertise in the golf industry to perform an analysis on the golf program and create an economic model for the program that would address the proposed capital improvement projects and funding options. The economic model developed would state the needs of each golf course in the city. This model would also aid the Council and the city’s golf system in keeping up with the assessed need for repairs, upgrades, required modifications, modernization of equipment and technology and would assist in identifying options to address these issues as they appear. It is the belief of the Citizen's Task Force that this newly developed economic model would prioritize the needs of each facility and set a known baseline for capital investments. A 5-year plan is recommended to better track progress in spending, benefit to the general population, monitor any environmental impacts, and determine whether the courses are fulfilling their purpose and maintaining viability. The economic model would also outline what measures will be put in place to correct issues affecting the financial condition of the courses as well as the playability. If a new organizational structure for the courses were to become needed in order to increase efficiency, the 5-year model would seek to address it. A-12: Postage Reimbursement for Landlord/Tenant Mailing GF $12,326.10 Before implementing the Landlord/Tenant program the Council requested that we notify by mail all household information pertaining to the new landlord program. The Council stated they would reimburse business licensing the funds from the General Fund Fund Balance. The total postage expense was $12,326.10. A-13: Library Budget Adjustment Library Fund $207,600 Contained within this amendment request are one-time start-up costs for the Utah Education Network filtering initiative, costs associated with reimbursing the County for the Transitional Director’s services as well as the performance audit, chairs in the tech lab and the cost of replacing a library vehicle. The Library proposes to use Library fund balance for these expenses.

Section D: Housekeeping D-1: Recapture Remaining CIP Completed and Closed Projects CIP $4,714.15 CDBG $83,281.54 This request decreases the remaining budget of one (1) Class "C" completed and closed project totaling $4,714.15, and one (1) US Department of Urban Development (HUD), CDBG project totaling $83,281.54 and increases the perspective funds cost overrun accounts to cover future unanticipated cost over-runs on Class "C" and CDBG CIP projects. D-2: Utah State Department of Public Safety – 2011 State Homeland Security Program (SHSP) Grant Budget Increase

Misc Grants $3,265

The Emergency Management Services Division received an annual grant from the Utah Department of Public Safety, Division of Homeland Security to purchase equipment and provide and or participate in training opportunities as necessary to prepare in the event of a terrorist or weapons of mass destruction attack. The Salt Lake County Unified Fire Authority is the lead agency and reimburses SLC for eligible expense. A budget allocation of $120,735 was awarded during a 2012 consent agenda. Recently, an additional $3,265 was allocated to the City's grant allocation of $120,735. This request is to increase the grant budget in the amount of $3,265 for a total grant budget of $124,000. A Resolution was previously passed authorizing the Mayor to sign and accept the Utah State Department of Public Safety

Salt Lake City FY 2011-12 Budget Amendment #6 Initiative Number/Name Fund Amount

5

grant funds and any additional grants or agreements that stem from the original grant. D-3: Utah Department of Environmental Quality, State Division of Water Quality – 900 So. Oxbow Restoration Project

Misc Grants $308,496

The Open Space Division applied for and received four grants from the Utah Department of Environmental Quality, State Division of Water Quality. The projects must enhance and protect waterways that may have been affected or related to the June and December 2010 releases of crude oil and condensate into Red Butte Creek and must improve conditions for wildlife, habitat, native vegetation, water quality or emergency response. The four grants include restoration improvements for the Liberty Park Lake, Miller Bird Refuge and Bonneville Glen, Jordan River Corridor, and the 900 So. Oxbow. During Budget Amendment #5 FY2012, budget was allocated to prepare detailed project designs/plans for each grant awarded, on the basis that the City may have been required to submit a detailed plan at the time of the awards. At that time, the City had not received the official grant award documents but has since then. This request is to allocate the remaining budget in the amount of $308,496 for a total grant budget of $383,322 for the 900 So. Oxbow Restoration Project. $74,826 was previously awarded for design costs, engineering oversight and public outreach. The goal of the 900 South Oxbow Restoration is to restore 16.4 acres of riparian stream bank habitat, including a 50 foot buffer, along the existing oxbow in the Jordan River to the conditions prior to the Red Butte Creek oil release. The oxbow is located near the 900 South and 900 West and serves as a signature feature at the intersection of the Jordan River Parkway and the 9 Line Trail. D-4: Utah Department of Environmental Quality, State Division of Water Quality – Miller Bird Refuge and Bonneville Restoration Project

Misc Grants $655,356

The Open Space Division applied for and received four grants from the Utah Department of Environmental Quality, State Division of Water Quality. The projects must enhance and protect waterways that may have been affected or related to the June and December 2010 releases of crude oil and condensate into Red Butte Creek and must improve conditions for wildlife, habitat, native vegetation, water quality or emergency response. The four grants include restoration improvements for the Liberty Park Lake, Miller Bird Refuge and Bonneville Glen, Jordan River Corridor, and the 900 So. Oxbow. During Budget Amendment #5 FY2012, budget was allocated to prepare detailed project designs/plans for each grant awarded, on the basis that the City may have been required to submit a detailed plan at the time of the grant awards. At that time, the City had not received the official grant award documents, but has since then. This request is to allocate the remaining budget in the amount of $655,356 for a total grant budget of $767,612 for the Miller Bird Refuge and Bonneville Glen Restoration project. $112,256 was previously awarded for design costs, engineering oversight and public outreach. The goal of the Miller Bird Refuge and Bonneville Glen Restoration Project is to restore the 2,084 foot stretch of Red Butte Creek that flows through the Miller Bird Refuge and Bonneville Glen to the conditions prior to the Red Butte Creek oil release and to improve ecosystem functions. D-5: Utah Department of Environmental Quality, State Division of Water Quality – Liberty Lake Restoration

Misc Grants $329,982

The Open Space Division applied for and received four grants from the Utah Department of Environmental Quality, State Division of Water Quality. The projects must enhance and protect waterways that may have been affected or related to the June and December 2010 releases of crude oil and condensate into Red Butte Creek and must improve conditions for wildlife, habitat, native vegetation, water quality or emergency response. The four grants include restoration improvements for the Liberty Park Lake, Miller Bird Refuge and Bonneville Glen, Jordan River Corridor, and the 900 So. Oxbow. During Budget Amendment #5 FY2012, budget was allocated to prepare detailed project designs/plans for each grant awarded, on the basis that the City may have been required to submit a detailed plan at the time of the awards. At that time, the City had not received the official grant award documents but has since then. This request is to allocate the remaining budget in the amount of $329,982 for a total grant budget of $359,516 for the Liberty Lake Restoration project. $29,534 was previously awarded for design costs, engineering oversight and public outreach.

Salt Lake City FY 2011-12 Budget Amendment #6 Initiative Number/Name Fund Amount

6

The goal of the Liberty Lake Restoration is to restore 2,240 linear feet of bank, 0.09 acre of in-lake wetlands, and the two existing habitat islands (0.55 acres for one island and 0.33 acres for the second island) to the conditions prior to the Red Butte Creek oil release and improve the ecosystem functions. Liberty Lake was highly impacted by the oil which negatively impacted wildlife species (macro invertebrates, fish, and birds) and their critical habitat and limited public access to the lake and Liberty Park. The proposed restoration work will increase avian habitat, cool water temperature, provided protective cover for fish and healthy food supply for fish and birds. D-6: Utah Department of Environmental Quality, State Division of Water Quality – Jordan River Corridor Restoration Project

Misc Grants $835,940

The Open Space Division applied for and received four grants from the Utah Department of Environmental Quality, State Division of Water Quality. The projects must enhance and protect waterways that may have been affected or related to the June and December 2010 releases of crude oil and condensate into Red Butte Creek and must improve conditions for wildlife, habitat, native vegetation, water quality or emergency response. The four grants include restoration improvements for the Liberty Park Lake, Miller Bird Refuge and Bonneville Glen, Jordan River Corridor, and the 900 So. Oxbow. During Budget Amendment #5 FY2012, budget was allocated to prepare detailed project designs/plans for each grant awarded, on the basis that the City may have been required to submit a detailed plan at the time of the awards. At that time, the City had not received the official grant award documents but has since then. This request is to allocate the remaining budget in the amount of $835,940 for a total grant budget of $1,095,234 for the Jordan River Corridor Restoration project. $259,294 was previously awarded for design costs, engineering oversight and public outreach. The goal of the Jordan River Corridor Restoration is to restore 23 acres of stream bank on the west side of Jordan River, 22 acres of stream bank on the east side of the Jordan River, and the 10 acres of the Riverview area to the conditions prior to the Red Butte Creek oil release. The proposed restoration sites are located between 1800 North and 2500 North. D-7: Reallocation of HUD – Housing Opportunities for Persons with AIDS (HOPWA) Funds to the Community Action Program (CAP)

Misc Grants $749.55

This request is to reallocate budget in the amount of $749.55 of HUD, HOPWA funding that was inadvertently recaptured from the Community Action Program (CAP) through a budget amendment. This request will reduce the FY2011 HUD - HOPWA cost over-run account by the $749.55. D-8: US Department of Housing and Urban Development (HUD), HOME Funds – Budget Reallocation

Misc Grants $304,331

During FY 2008, the City awarded HUD-HOME funds in the amount of $304,331 to NeighborWorks of Salt Lake City to purchase property in the Glendale neighborhood. NeighborWorks purchased the property to build three units of affordable housing as eligible under the HOME program. After an extensive public process, the Salt Lake City Library Board made an offer to NeighborWorks to purchase the property to be used for the construction of the Glendale neighborhood library. NeighborWorks then sold the property to the SLC Library Board. As federally required, NeighborWorks returned the HOME funds to the City which they used for the original acquisition. The City as required under federal regulations, returned the HOME entitlement funding to HUD. HUD then reallocated the funds back to the City. This request is to reestablish budget within the HUD HOME Program to facilitate the HOME project funding and reallocate the funds to NeighborWorks. HOME funds are required to be allocated to a local CHODO. NeighborWorks is the City's CHODO. D-9: Spring Mobile Ballpark Utilities GF $81,500 Under the terms of a new lease agreement signed during fiscal year 2011-12, the City will pay for the utilities and will then be reimbursed by the lessee. This budget amendment establishes utilities expense budget and equal revenue budget to reflect the reimbursement. D-10: Series 2012 General Obligation Refunding Bonds Debt Service $12,571,889.10 The City Council has approved the issuance of the Series 2012 General Obligation bonds that advance refunds part of the Series 2002 General Obligation Bonds. In order to comply with reporting and legal requirements, it is necessary to budget

Salt Lake City FY 2011-12 Budget Amendment #6 Initiative Number/Name Fund Amount

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for the proceeds of the new bonds as well as the use of the same proceeds for the purpose of paying the interest and principal on the advance refunded bonds. D-11: US Department of Energy (DOE) UCCC – Alternative Fuels Transportation Project

Misc Grants $56,928.56

Fleet $64,788.99 Utah Clean Cities Coalition (UCCC) was the prime recipient of a $14,908,648 US Department of Energy, ARRA grant. The purpose of this grant was to increase the use of alternative fuel vehicles such as vehicles powered by compressed natural gas (CNG). Of this amount, the City received $297,467 for the incremental costs between what the City would pay for diesel fuel vehicles versus CNG. The $297,467 was brought into budget amendment #1 FY2011. UCCC amended the City's contract and awarded the City an additional $56,928.56. based on the City's actual expenditures toward the purchase of the trucks. The remaining amount from the previous grant is being transferred and added to the $56,928.56, for a total of $64,877.99 This request is to adjust the budgets within the grant, fleet and refuse cost centers to accommodate the actual funds received and expenditures made within the correct cost centers. D-12: No. Temple – Boulevard and Viaduct Sales Tax Bonds Debt Service and Construction

SAA Fund $2,047,717

Debt Service Fund

$(1,246,526)

CIP Fund $(5,048,766) At the time the FY 2012 debt related budgets were prepared for the North Temple Boulevard and North Temple Viaduct Sales Tax Revenue Bond Projects, the plan was to issue the bonds in early Fall 2011, and budget the first debt service payment in April 2012. Also, at the time the budgets were prepared, a portion of the estimated prepayments for Special Assessment Area SAA 109014 were budgeted to pay the April 2012 debt service on that portion of the bonds related to the Viaduct project only. Funds were budgeted to transfer assessment prepayments from Special Assessment Fund 20-09014 into Debt Service Fund 81-81835 to cover the estimated Viaduct debt service payments. Bonds are now being issued for the project. Based on the recommendation of bond counsel, the Administration proposes to reduce the par amount of bonds to be issued by the amount of assessment prepayments, rather than apply the prepayments to debt service. This change, as well as some cost savings on the viaduct project itself ($530,000), requires an adjustment in the previously approved project budget for the Viaduct. The following chart details the changes in the overall project:

Original Budget

Revision Reflecting Change in Sources

Difference

Revision Reflecting Cost Savings and Change in Sources

Difference

Sources of Funds Construction

Project -- bonds 16,450,000

13,374,543

(3,075,457)

12,844,543

(3,605,457) SAA

3,075,457

3,075,457

3,075,457

3,075,457

UTA 25,000,000

25,000,000

-

25,000,000 State of Utah 20,000,000

20,000,000

-

20,000,000

WFRC 5,000,000

5,000,000

-

5,000,000 WFRC 700,000

700,000

-

700,000

Public Utilities 4,000,000

4,000,000

-

4,000,000

71,150,000

71,149,980

70,620,000

(530,000)

Uses of Funds Viaduct Project 71,000,000

71,000,000

70,470,020

(530,000)

Issuance Costs 150,000

150,000

150,000

-

71,150,000

71,150,000

70,620,020

(530,000)

Original Budget

Revision Reflecting Cost Savings and Change in Sources

N Temple SAA 4,300,000

3,075,457

(1,224,543)

Salt Lake City FY 2011-12 Budget Amendment #6 Initiative Number/Name Fund Amount

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Section E: Grants Requiring No New Staff Resources E-1: US Department of Homeland Security, FEMA – Assistance to Firefighters Grant Program

Misc Grants $214,972

The Fire Department applied for and received a US Department of Homeland Security, FEMA grant in the amount of $214,972. This grant will be used to purchase equipment and personal protective equipment which is used by firefighters to protect the health and safety of the public and firefighting personnel against fire and fire-related hazards. Equipment includes headsets and other communication devices. Personal protective equipment includes SCBA - 45 minutes with face piece & bottles and spare cylinders (breathing apparatus). The grant requires a match of $53,743 which is budgeted for within the Fire Departments general fund budget and will also be used to purchase personal protective equipment. A Resolution was previously passed authorizing the Mayor to sign and accept FEMA Homeland Security grants and any additional grants or agreements that stem from the original grant. E-2: Utah State Department of Public Safety – Emergency Operations Center Grant, EOC 2011

CIP Fund $999,750

The Emergency Management Services Division applied for and received a $999,750 grant from the Utah State Department of Public Safety under the EOC grant program to purchase a Simulcast Site antennae to be installed on the Public Safety Building monopole and radio dispatch equipment related to EOC operations. The grant requires a $333,250 match which will be satisfied with bond funds used for the additional costs of the antennae and equipment. A Resolution was previously passed authorizing the Mayor to sign and accept the Utah State Department of Public Safety grant funds and any additional grants or agreements that stem from the original grant. E-3: State of Utah, Department of Environmental Quality, Clean Fuels Vehicle Technology Grant

Misc Grants $70,000

Fleet $70,000 The Public Services Department applied for and received a State of Utah, DEQ, Clean Fuels and Vehicle Technology grant in the amount of $70,000. The $70,000 represents 50 percent of the incremental costs of purchasing two Compact Natural Gas (CNG) original equipment manufacturer vehicles. Public Services intends to purchase a CNG Street Sweeper which will be used by the City's Streets Division for daily removal of street and gutter debris and a CNG Aerial Tower Truck which will be used by the Forestry program to trim, manage and maintain all public trees. The incremental cost is the difference between the costs of diesel vehicles and CNG vehicles. The diesel street sweeper cost is $235,000, the CNG street sweeper is $315,000. The incremental cost is $80,000 of which DEQ will reimburse $40,000. A diesel aerial tower truck is $140,000, a CNG $200,000. The incremental cost is $60,000 of which DEQ will reimburse $30,000. Public Services has included the purchase of the two vehicles in their FY 12 budget. A Resolution was previously passed authorizing the Mayor to sign and accept DEQ grants and any additional grants or agreements that stem from the original grant.

Section G: Council Consent Agenda – Grant Awards G-1: State of Utah Commission on Criminal and Juvenile Justice (CCJJ) Utah Pharmaceutical Drug Crime Project Public Awareness Grant

Misc Grants $2,000

The Police Department applied for and received a $250,000 continuation grant from the State of Utah, CCJJ, under their Utah Pharmaceutical Drug Crime Project (UPDCP) Public Awareness grant program. This grant was brought in during Budget Amendment #2 2012, initiative E #1. The funding is to be used to continue the contract with R&R Partners and further the Use Only as Directed public awareness campaign.

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CCJJ has awarded an additional $2,000 to this grant bringing the total allocation to $252,000. This request is to increase the grant cost center by $2,000. A Resolution was previously passed authorizing the Mayor to sign and accept the funds and any additional grants or agreements that stem from the original grant. A Resolution was previously passed authorizing the Mayor to sign and accept the State of Utah CCJJ grant funds and any additional grants or agreements that stem from the original grant. G-2: Dept of Energy (DOE), Wasatch Solar Challenge, Streamlining & Simplifying Solar

Misc Grants $424,740

The Sustainability Division applied for and received a $424,740.00 Grant from the DOE to expand and transform Utah's solar photovoltaic (PV) market through a collaborative effort with local governments and non-profit organizations. The City will contract with Salt Lake County, Summit County, Utah Clean Energy, Utah Solar Energy Association and West Valley City for a total cost of $379,716. These organizations will provide Staff time and services to meet the goals of the grant which include coordination and implementation of barrier and solutions identifications workshop, technical assistance and education regarding solar permitting processes and standards, legal consultation, exchange forums, engaging solar industry representations, & expanding the Solar Salt Lake Website. The City will retain $45,024 which will cover partial costs associated with the City's representation of the coalition that will include travel, a HP ProLiant DL385 Performance Server and staff time that includes grant financial over-site and IMS services related to the Web-site. A Resolution was previously passed authorizing the Mayor to sign and accept the funds and any additional grants or agreements that stem from the original grant. The grant requires an $87,405 match which will be satisfied with $12,196 of the City's Sustainability Directors time, and in-kind staff services from Midvale City, Park City Municipal Corporation, Summit County, Salt Lake County, Utah Clean Energy, Utah Solar Energy Association and West Valley City. G-3: Safety – 2010 State Homeland Security Program (SHSP) and Law Enforcement Terrorism Prevention Program (LETPP) Grant Budget Increase

Misc Grants $20,421

The Emergency Management Services Division receives this annual grant from the Utah Department of Public Safety, Division of Homeland Security. It is awarded to local jurisdictions to purchase equipment and provide and or participate in training opportunities as necessary to prepare in the event of a terrorist or weapons of mass destruction attack. The Salt Lake County Unified Fire Authority is the lead agency and will reimburse SLC for eligible expenses. The City received a $125,634 grant which was brought in during BA#1of 2012. Emergency Management has recently learned that an additional amount of $20,421 has been allocated to the City to be used for the training exercises. This request is to increase the 2010 grant budget by the $20,421 for a total budget of 146,055. A Resolution was previously passed authorizing the Mayor to sign and accept the funds and any additional grants or agreements that stem from the original grant. G-4: State of Utah, Department of Public Safety, Division of Homeland Security – Metropolitan Medical Response System (MMRS) Grant

Misc Grants $281,693

The Fire Department applied for and received $281,693 from the State of Utah, Department of Public Safety, under the FEMA Homeland Security Metropolitan Medical Response (MMRS) grant program. This grant is awarded on an annual basis to jurisdictions across the County to plan and implement a medical response mechanism in the event of a mass casualty or a weapons of mass destruction terrorist attack. The SLC Fire Department is the lead agency partnering with local health, police, fire, hospitals, ambulance and other agencies who make up the MMRS team. Of these funds, $167,000 will be used to purchase medical supplies and equipment; $29,000 will be used for

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required travel/training to regional and national training workshops by the MMRS Steering Committee and coordinators; $10,000 of the grant funding will be used to plan and coordinate MMRS activities, drills and grant preparation as is required by the grant regulations; $46,000 will be used to pay 50% of the grant Coordinator position, $9,693 will be used to pay grant related administration of the Assistant Coordinator and $20,000 will be used to pay for a consultant and local hospital in the training activities. No match is required. A Resolution was previously passed authorizing the Mayor to sign and accept the funds and any additional grants or agreements that stem from the original grant. G-5: Safe Streets Violent Crimes Task Force – FBI Reimbursement Misc Grants $62,580 During fiscal year 2010 under Resolution 38 of 2010, budget was allocated and approved for the SLC Police Department to renovate building space to be used jointly by the Salt Lake City FBI and the Salt Lake City Police Department under the Safe Street Violent Crimes Task Force grant program, funded by the Department of Justice. The MOU between the PD and FBI included that up-to $210,000 would be reimbursed to the City by the FBI for the renovation. . Once the renovation was completed and the space occupied, the MOU was amended to include lease expense reimbursements to the City by the FBI. The City does not own the building and under separate agreement leases the space at a monthly cost of $15,645. During Budget Amendment #2 - FY 2011, the Police Department established budget to pay 12 months of lease payments. This request is to establish an additional 4 months of budget in the amount of $62,580 to cover the City's monthly lease payments to the end of FY 12. During the FY 2012-13 budget process, budget will be established and the revenue will be moved to a special revenue fund since the grant is over and lease payments and revenue are no longer tied to the grant. G-6: Interest on Justice Assistance Grants Misc Grants $47,000 The PD is requesting a budget initiative to allow us to spend out the interest earned on two federal grants: the 2009 Justice Assistance Grant (JAG) and the ARRA (Recovery) Justice Assistance Grant. The funding for these grants is received up front and placed into an interest bearing account. We are then required to use the interest gained for approved projects within the scope of the grant. The two grants have earned approximately $47,000 in interest since receiving them in 2009. G-7: State Office of Crime Victim Reparations, FY 2012 VAWA Grant Misc Grants $18,963.83 The Police Department received a $18,963.83 grant from the State of Utah, Office of Crime Victim Reparations for the continuation of their VAWA funded Victim Advocate Program. Of these funds, $18,763.83 will be used to continue to pay the salary and benefits of an existing hourly victim advocate who provides on scene crisis counseling and information pertaining to resource services to victims of domestic violence; and $200 will be used for emergency victim assistance needs such as food, clothing, transportation, etc. The PD receives this grant on an annual basis. A $6,356.77 match is required which will be satisfied by the payment of salary and benefits of the victim advocate program coordinator. These funds are budgeted for within the Police Departments general fund budget. A Resolution was previously passed authorizing the Mayor to sign and accept the funds and any additional grants or agreements that stem from the original grant. A Resolution was previously passed authorizing the Mayor to sign and accept the funds and any additional grants or agreements that stem from the original grant.

Section E: Council Added Items Sugar House Park 4th of July Fireworks GF $15,000 The City Council Chair asked that this request be included in Budget Amendment #6. 2011 - Working with KUTV2, Simmons Radio Group and Media One, Sugar House Fireworks committed to attempt to raise the money to continue this wonderful community tradition. Sometime in May it became apparent that the funds committed at that point were not enough to have a fireworks event. With the help of Sandy Reisgraf of Fox 13 the word got

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out. The Salt Lake City Council learned of our distress and had a special meeting to vote to raise their sponsorship level from $5,000 to $15,000. RC Willey then called and committed to a $25,000 sponsorship. These 2 major sponsors, along with other sponsors and 26 food and specialty vendors, help Sugar House Fireworks raise enough money to save the 4th of July event for 2011. 2012 - The goal of Sugar House Fireworks and Scott Workman is to preserve this long-standing, patriotic tradition for the community. We are trying to work towards a more solid mechanism of multi-year commitments to sustain this tradition on-going, Jamba Juice has committed for the 3rd year to be a sponsor. We hope to find a Title Sponsor who will desire a multi-year commitment. This year we are committed to try to raise enough money through the selling of sponsorships and to try to keep this tradition alive for 2012. This event gets people together as a community, interacting socially. It also helps build patriotism and keeps the celebration of the founding of this great country alive. This event makes it possible to generate sales tax revenue for Salt Lake City through vendor sales. It helps sponsors gain customers through the promotion and through the media. The media coverage also brings great recognition to Sugar House and brings many people into the city, the day of the event and to patronize business in Sugar House which indirectly brings revenue to Salt Lake City and helps maintain a healthy business environment. This wonderful American tradition that is so woven into the fabric of the Salt Lake community is a cause that we believe is worthy of continued and on-going support. We would like to ask the Council for an allocation of $15,000 for the July 4, 2012 fireworks event.

FY11-12 VarianceAnnual Revised Favorable

Revenue Budget Forecast (Unfavorable)

Total General Fund 195,270,061 197,237,794 1,967,733Selected Discussion Items

Total Property Taxes 63,175,537 62,265,782 (909,755) Discussion:Property Taxes for FY 2012 is down due to B of E and collection smaller than the average 5 years

Total Sales and Use Tax 45,622,655 48,926,014 3,303,359 Discussion:Sales Tax is coming in about 6% above budget and Questar is coming in $800,000 above budget.

Total Franchise Tax 28,434,888 28,701,930 267,042 Discussion:Questar is coming in above budget.

License and Permits: 18,452,058 18,345,849 (106,209) Discussion:

Licensing is coming in below budget due to more landlords participating in Landlord Tenant initiative than was anticipated in the budget.

Total Intergovernmental 5,426,994 5,314,150 (112,844)Discussion:

Intergovernmental is below budget due to the Library reimbursements coming in lower for UtilitiesInterest income 935,208 876,406 (58,802) Discussion:

Total Fines & Forfeiture 10,988,815 10,466,263 (522,552) Discussion: Justic Courts fines are seeing a decrease in revenue, as well as a decline in traffic school.

Parking Meters 1,651,000 1,666,000 15,000 Discussion:

Charges and Services 4,118,852 4,421,029 302,177 Discussion:Total Rental and Concessions are up due to a slight increase in facility rental and admission sales.

Miscellaneous Revenue 3,020,641 3,157,283 136,642 Discussion:Other reimbursements have resulted in an increase in revenue.

Total Interfund 9,907,993 9,657,993 (250,000) Discussion:

Transfers 3,535,420 3,439,095 (96,325) Discussion: