Transmittal - 11/3/2022
MARY BETH THOMPSON
Chief Financial Officer
ERIN MENDENHALL
Mayor
DEPARTMENT OF FINANCE
POLICY AND BUDGET DIVISION
451 SOUTH STATE STREET, ROOM 238
PO BOX 145467, SALT LAKE CITY, UTAH 84114-5455 TEL 801-535-6394
CITY COUNCIL TRANSMITTAL
___________________________________ Date Received: ________________
Lisa Shaffer, Chief Administrative Officer Date sent to Council: ___________
______________________________________________________________________________
TO: Salt Lake City Council DATE: November 2, 2022
Dan Dugan, Chair
FROM: Mary Beth Thompson, Chief Financial Officer
SUBJECT: Salt Lake City Library Budget Amendment #1
SPONSOR: NA
STAFF CONTACT: John Vuyk, Budget Director (801) 535-6394 or
Mary Beth Thompson (801) 535-6403
DOCUMENT TYPE: Budget Amendment Ordinance
RECOMMENDATION: The Administration recommends that, subsequent to a public hearing,
the City Council adopt the following amendments to the FY 2022-23 Library Fund adopted
budget.
BUDGET IMPACT:
REVENUE EXPENSE
LIBRARY FUND $ 0.00 $ 0.00
LIBRARY CAPITAL PROJECTS FUND 0.00 1,300,000.00
TOTAL $ 0.00 $ 1,300,000.00
11/02/2022
11/02/2022
Lisa Shaffer (Nov 2, 2022 17:57 MDT)
BACKGROUND/DISCUSSION:
Library Administration is requesting a $1,300,000 increase to the FY23 capital projects fund
budget. This increase is required to purchase property. Funding for the purchase is proposed to
come from the fund balance of the Library’s General Fund. At the end of FY22, this fund
balance was $9,041,857, which is 31.6 percent of the FY23 general fund budget. The FY23
budget already includes using $1,157,350 of this fund balance, leaving an available balance of
$7,884,507, or 27.6 percent of the FY23 general fund budget. Using an additional $1,300,000
would result in the remaining available fund balance being $6,584,507 (22 percent) of the FY23
general fund budget.
Detail of the property and process is included in the attached memo.
PUBLIC PROCESS: Public Hearing
Alejandro Sanchez (Nov 2, 2022 17:55 MDT)
Alejandro Sanchez
MEMO | November 2, 2022
To: Salt Lake City Administration and City Council
From: Deborah Ehrman, Interim Executive Director
Re: Budget Amendment 1 for FY2022-23
At the encouragement of Mayor Mendenhall and with City Council approval, a budget for operating costs
for a Ball Park presence was included in the Library’s FY23 budget. For a number of months, Library
Administration has been searching for suitable space to rent from which to provide limited library
services to the Ball Park neighborhood. The couple of leasable properties that we looked at were either
unworkable for our needs or the lease terms were not agreeable.
In mid-October, a property came on the market for purchase in the Ball Park neighborhood. The property
is a renovated old home that currently serves as a triplex. After viewing the property, Administration felt
like the space would work for the services we currently want to provide and is a potential location for a
future branch library. The Library entered into a contract to purchase the property. Purchasing property
was not included as part of the FY23 budget because the intent was to lease space.
In anticipation of purchasing the property under contract, Library Administration requested the Library
Board consider a budget amendment for $1.3 million to the FY23 budget, which they approved at a
special meeting held on October 26, 2022. However, City Administration and Council staff raised
legitimate concerns with the process and lack of existing budget appropriation. As a result, the Library
will terminate the contract if a funding contingency clause and closing date extension cannot be
negotiated.
Given challenges in finding suitable space to lease, the Library desires to proceed with the budget
amendment request despite the potential termination of the contract. This amendment would mitigate
some of the timing issues the Library encountered with the existing contract by properly appropriating the
funds should a suitable property come on the market. The Library Board motion approving the budget
amendment requires unidentified parcels of property go back to the Board for approval before purchase.
Funding for the purchase is proposed to come from the fund balance of the Library’s General Fund. At
the end of FY22, this fund balance was $9,041,857, which is 31.6 percent of the FY23 general fund
budget. The FY23 budget already includes using $1,157,350 of this fund balance, leaving an available
balance of $7,884,507, or 27.6 percent of the FY23 general fund budget. Using an additional $1,300,000
would result in the remaining available fund balance being $6,584,507 (22 percent) of the FY23 general
fund budget.
General Fund – Proposed increase of $1,300,000
Account Name Current
Budget
Amount
Requested
Amount
Amended
Budget
Amount
Funding Source
Fund Balance-Appropriated $1,157,350 $1,300,000 $2,457,350
Totals $1,157,350 $1,300,000 $2,457,350
Expenditures
Capital Outlay-Land $0 $1,300,000 $1,300,000
Totals $0 $1,300,000 $1,300,000
SALT LAKE CITY ORDINANCE
No. ______ of 2022
(Amending the Final Budget for the Library Budget of
Salt Lake City, Utah for Fiscal Year 2022-23)
An ordinance amending Salt Lake City Ordinance No. 33 of 2022 which adopted the
final budget for the Library fund of Salt Lake City, Utah, for the fiscal year beginning July 1,
2022 and ending June 30, 2023.
PREAMBLE
On June 14, 2022, the Salt Lake City Council adopted the final budget for the Library
fund of Salt Lake City, Utah for the fiscal year beginning July 1, 2022 and ending June 30, 2023,
in accordance with the requirements of Section 10-6-118 of the Utah Code.
The City’s Budget Director, acting as the City’s Budget Officer, prepared and filed with
the City Recorder proposed amendments to said duly adopted budget, copies of which are
attached hereto, for consideration by the City Council and inspection by the public.
All conditions precedent to amend said budget have been accomplished.
Be it ordained by the City Council of Salt Lake City, Utah:
SECTION 1. Purpose. The purpose of this Ordinance is to amend the final budget for
the Library fund of Salt Lake City as approved, ratified and finalized by Salt Lake City
Ordinance No. 33 of 2022.
SECTION 2. Adoption of Amendments. The budget amendments, attached hereto and
made a part of this Ordinance shall be, and the same hereby are adopted and incorporated into
the budget for the Library fund of Salt Lake City, Utah for the fiscal year beginning July 1, 2022
and ending June 30, 2023, in accordance with the requirements of Section 10-6-128, of the Utah
Code.
Approved As To Form
_______________
Jaysen Oldroyd
Date: November 2, 2022
SECTION 3. Certification to Utah State Auditor. The City’s Policy and Budget
Director, acting as the City’s Budget Officer, is authorized and directed to certify and file a copy
of said budget amendments with the Utah State Auditor.
SECTION 4. Filing of copies of the Budget Amendments. The said Budget Officer is
authorized and directed to certify and file a copy of said budget amendments in the office of said
Budget Officer and in the office of the City Recorder which amendments shall be available for
public inspection.
SECTION 5. Effective Date. This Ordinance shall take effect on its first publication.
Passed by the City Council of Salt Lake City, Utah, this _____ day of __________, 2022.
________________________
CHAIRPERSON
ATTEST:
______________________________
CITY RECORDER
Transmitted to the Mayor on __________________
Mayor’s Action: ____ Approved ____ Vetoed
_________________________
MAYOR
ATTEST:
_______________________________
CITY RECORDER
(SEAL)
Bill No. _________ of 2022.
Published: ___________________.