067 of 2003 - amending the Solid Waste Management Facility Budget 0 03-1
• B 02-4
SALT LAKE CITY ORDINANCE
No. 67 of 2003
(Amending the Solid Waste Management Facility Budget which was
prepared and submitted by the Salt Lake Valley Solid Waste
Management Council, for calendar year 2003
subject to specific policy directives.)
AN ORDINANCE AMENDING SALT LAKE CITY ORDINANCE
NO. 75 OF 2002 WHICH ADOPTED THE SOLID WASTE MANAGEMENT
FACILITY BUDGET, AS PREPARED AND SUBMITTED BY THE SALT
LAKE VALLEY SOLID WASTE MANAGEMENT COUNCIL, FOR
CALENDAR YEAR 2003, SUBJECT TO SPECIFIC POLICY DIRECTIVES.
PREAMBLE
The City and Salt Lake County(the "County") entered into an interlocal
cooperation agreement regarding the joint management and operation of the
landfill. The agreement established the Salt Lake Valley Solid Waste
Management Council and provided it with authority and responsibility relating to
the operation and management of the landfill. Pursuant to the agreement, all
actions by the Salt Lake Valley Solid Waste Management Council constitute
recommendations to the City and the County and that the City and the County
have the power to review, ratify, modify or veto any action of the Salt Lake Valley
Solid Waste Management Council.
On December 10, 2002, the City Council adopted the Solid Waste
Management Facility Budget, as prepared and submitted by the Salt Lake Valley
Solid Waste Management Council, for calendar year 2003, subject to specific
policy directive. The County also approved the budget as prepared and submitted
by the Salt Lake Valley Solid Waste Management Council.
Proposed amendments to said duly adopted Solid Waste Management
Facility Budget prepared and submitted by the Salt Lake Valley Solid Waste
Management Council, copies of which are attached hereto, have been prepared
and filed with the City Recorder for consideration by the City Council and
inspection by the public. The City Council fixed the time and place for a public
hearing to be held to consider adoption of the attached amendments and ordered
notice thereof be published at least seven days prior to the hearing. Notice of said
public hearing, to consider adoption of said amendment, was duly published as
required herein. A public hearing to consider adoption of the attached
amendments was held in accordance with said notice, at which hearing all
interested persons were heard for and against the attached amendments.
The amendments to said budget have been duly considered by the City
Council. All conditions precedent the City must satisfy to amend said Solid Waste
Management Facility 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
Solid Waste Management Facility Budget, which was prepared and submitted by
the Salt Lake Valley Solid Waste Management Council, for calendar year 2003,
subject to the specific policy directives, as approved and ratified by Salt Lake City
Ordinance No. 75 of 2002.
2
SECTION 2. ADOPTION OF AMENDMENTS. Subject to similar
approval by the County, the budget amendments, attached hereto and made a part
of this ordinance be, and the same hereby, are adopted and incorporated into the
Solid Waste Management Facility Budget for calendar year 2003.
SECTION 3. PUBLIC INSPECTION. Copies of the attached
amendments to the Solid Waste Management Facility Budget shall be available for
public inspection during regular business hours in the Office of the City Recorder.
SECTION 4. RESERVE THE RIGHT TO AMEND. The City reserves
the right to amend the Solid Waste Management Facility Budget, including the
attached budget amendments, at any time.
SECTION 5. EFFECTIVE DATE. This ordinance shall take effect on its
first publication.
Passed by the City Council of Salt Lake City, Utah this kpTfday of
3rile44/6/1_, 2003.
CHAIRPERSO
ATTEST:
Cidtakt C .e.tb,
CHIEF DEPUTY CIT A CORDER
3
Transmitted to Mayor on 9-16-03
Mayor's Action: Approved. Vetoed.
AYO
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CHIEF DEPUT CI Y CORDER +,
(SEAL)
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APC tlOVf t7 r.s To i",J,2;;41
Salt Lake City Attomt y',; Office
Bill No. 67 of 2003. Date P- Z s= 03 _
Published: 10-1-03 6y. Adi'd —/' An.".
G:\0rdina03\Amending landfill budget doc
4
FY 2004 Initiatives in Landfill Budget Amendment #1 —September
FY 2004 FY 2005
Initiative Gen.Fund Gen.
Initiative Name Amount Impact FTE Fund FTE
Impact
New Items
1. Landfill mid-year $732,396 -0- -0-
adjustments
• Salt Lake City Corporation
Management and Fiscal Note Worksheet
for
Budget Development and Budget Amendment
Public Services Department FY2003(Fiscal year is calendar year)
Department For Fiscal Year
Landfill Budget mid year adjustment Landfil Amendment#1,Initiative#1
Initiative Name Initiative Number
Greg Davis 535-6397
Prepared By Phone Number
New N/A
Type of Initiative CFDA Number
Fiscal Impact of Proposed Change
A. Revenue Impacted by Fund and Source: 1st Year 2nd Year 3rd Year
FY 2003-04 FY 2004-05 FY 2005-06
1. General Fund
Total $0 $0 $0
2. Internal Service Fund
Total $0 $0 $0
3. Enterprise Fund
Total $0 $0 $0
4. Other Fund
Landfill(SL Valley Solid Waste) 32,291
Landfill(SL Valley Solid Waste)Fund Balance 700,10
Total $732,39 $0 $0
B. Expenditures Impacted by Fund and Source:
1. General Fund
Total $0 $0 $0
2. Internal Service Fund
Total $0 $0 $0
3. Enterprise Fund
Total $0 $0 $0
4. Other Fund
Landfill(SL Valley Solid Waste) 732,396
Total $732,396 $0 $0
C. Expenditure Impact Detail
1. Salaries and Wages
2. Employee Benefits 25,056
3. Operating and Maintenance Supply
4. Charges and Services (32,363)
5. Capital Outlay 739,703
6. Other(Specify)
Total $732,396 $0 $0
FY04 landfill amendment Initiative#1.x1s9/24/20033:40 PM
Salt Lake City Corporation
Management and Fiscal Note Worksheet
for
Budget Development and Budget Amendment
D. Personnel Service Detail: FTE Grade/Step Amount
No Impact
Detail
Revenues
Revenue budget before amendments 15,751,417
Amendments:
Decrease Interest income (195,000)
Fixed asset auction sales proceeds 227,291
Total of revenue amendments 32,291
Revenue budget after amendments 15,783,708
Expenses
Expense budget before amendments(see below) 15,751,417
Amendments:
Decrease amount billed to Landfill for indirect overhead (32,363)
Increase pmts to Employee Service/Retirement(ESR) Fund 25,056
Capital outlay(delayed project payments) 512,412
Capital outlay(higher equipment purchase prices) 227,291
Total of expense amendments 732,396
Expense budget after amendments 16,483,813
Fund Balance
Original Amount dropped to(used from)fund balance 873,583
Impact from amendments:
Revenue amendments 32,291
Expense amendments (732,396)
Net impact from revenue and expense amendments (700,105)
Amended amount dropping to(used from) Fund Balance 173,478
Impact on cash
Decrease Interest income (195,000)
Decrease amount billed to Landfill for indirect overhead 32,363
Increase pmts to Employee Service/Retirement(ESR) Fund (25,056)
Capital outlay(delayed project payments) (512,412)
Fixed asset auction sales proceeds 227,291
Capital outlay(higher equipment purchase prices) (227,291)
Net impact on cash (700,105)
Reconciliation of county and city expense numbers(original budget)
Original expense budget per County 15,319,517
remove depreciation (non-cash) (2,025,000)
remove loss on sale of assets(non-cash) (10,000)
add in capital outlay(cash purchases) 2,466,900
Original Expense budget per City 15,751,417
FY04 landfill amendment Initiative#1.x1s9/24/20033:40 PM
Salt Lake City Corporation
Management and Fiscal Note Worksheet
for
Budget Development and Budget Amendment
E. Measured or measurable Impact on functions,structure and organization, or plans.
No impact to FY04 Balanced Scorecard Business Plan.
F. Issue Discussion: A complete justification will contain a discussion of each of the elements mentioned below; criteria,
condition, effect, cause and recommendation.
Criteria is a definition of what is expected or what can be expected. It provides a basis for comparison without which
analysis cannot be effective. The criteria varies from issue to issue. In straightforward cases, it can be an ordinance or
policy. In other cases, it may be an industry standard or comparable data from another city.
Condition is a description of current practices. It is the information to which the criteria is compared.
Effect is the difference, if any, between the condition and criteria. It is best described in terms of a dollar impact or a
service level impact. If an effect cannot be identified, there is no finding.
cause is sometimes a p►tricuit e►ement to identity but is essential to a nncing. it is simply►aent►tying wny the conaition
varies from the criteria. Sometimes the answer is as simple as a change in policy or budget but often goes deeper into
mananamant
Recommendation is made in a way that addresses the cause. By doing so, it is most likely to result in improving the
condition to be in line with the criteria.
Issue Discussion:
GENERAL BACKGROUND - It is the standard practice of the Landfill and the County to make certain adjustments at mid
year. The common adjustments are as follows:
- Decrease in overhead charges from County administrative departments
- Increase in payments to Employee Service/Retirement(ESR) Fund
-Carry forward the budget for commitments on capital outlay projects and equipment
- Establish budgets to reflect fixed asset auction sales proceeds and capital outlay price adjustments
In addition to these common adjustments regularly made through the mid-year adjustment, a change is also required to the
interest income line item.
DETAILED EXPLANATIONS
Overhead charges, expense decrease of $32,363 - At budgeting time the Landfill is directed to place in their original
budget an estimated amount for overhead allocated from Government Center programs (Mayor, Council, Auditor, District
Attorney, Purchasing, Personnel, Information Systems, and Insurance). After the fiscal year has begun, the Landfill and other
programs are informed as to what amount will actually be billed. The Landfill consequently adjusts their budget to match the
actual charges. For this fiscal year the actual charges will be$32,363 less than originally budgeted.
Employee Service/Retirement (ESR) fund charges, expense increase of $25,056 - Calculations and adjustments are
made twice each year. The increase of$25,056 reflects the new rates.
Carry-over for capital projects and purchases, expense increase of $512,412 - Similar to the practice at the City, the
Landfill requires a rollover of budget to accommodate delayed payments on prior-made commitments (encumbrances) for
certain capital projects and purchases. (The term used by the Landfill and the County for a rollover is "technical
adjustments") The specific items are: $188,801 for relocation of power lines; $120,000 for real property purchase; $89,535
for landscape/weed control project; $114,076 for equipment purchases (leachate pumps, etc.).
Budget for planned current year equipment purchases increased by $227,291 and corresponding revenue increase
of $227,291 from the asset sale proceeds - As is the standard practice at the County and Landfill, the original capital
budget was set at a net purchase amount for a couple of large dollar pieces of equipment, estimated purchase prices net of
trade-in value. After the fiscal year began the amounts that these units could likely receive at auction were determined and
the budgets could then be "grossed up" according to updated information. Rather than having a capital budget that is net of
proceeds, the full purchase price of new units will be established for the capital budget and the full amount of the old
equipment's auction proceeds will be reflected in the revenue budget.
Interest income, revenue decrease of $195,000 - This budget needs to be adjusted to reflect the impact of lower-than-
expected interest rates. Low interest rates lasted longer than had been anticipated at the time of budget preparation.
Salt Lake City Corporation
Management and Fiscal Note Worksheet
for
Budget Development and Budget Amendment
Public Services Department FY2003(Fiscal year is calendar year)
Department For Fiscal Year
Landfill Budget mid year adiustment Landfil Amendment#1, Initiative#1
Initiative Name Initiative Number
Greg Davis 535-6397
Prepared By Phone Number
New N/A
Type of Initiative CFDA Number
Fiscal Impact of Proposed Change
A. Revenue Impacted by Fund and Source: 1st Year 2nd Year 3rd Year
FY 2003-04 FY 2004-05 FY 2005-06
1. General Fund
Total $0 $0 $0
2. Internal Service Fund
Total $0 $0 $0
3. Enterprise Fund
Total $0 $0 $0
4. Other Fund
Landfill(SL Valley Solid Waste) 32,291
Landfill(SL Valley Solid Waste)Fund Balance 700,10
Total $732,39 $0 $0
B. Expenditures Impacted by Fund and Source:
1. General Fund
Total $0 $0 $0
2. Internal Service Fund
Total $0 $0 $0
3. Enterprise Fund
Total $0 $0 $0
4. Other Fund
Landfill(SL Valley Solid Waste) 732,396
Total $732,396 $0 $0
C. Expenditure Impact Detail
1. Salaries and Wages
2. Employee Benefits 25,056
3. Operating and Maintenance Supply
4. Charges and Services (32,363)
5. Capital Outlay 739,703
6. Other(Specify)
Total $732,396 $0 $0
FY04 landfill amendment Initiative#1.x1s9/24/20033:17 PM
Salt Lake City Corporation
Management and Fiscal Note Worksheet
for
Budget Development and Budget Amendment
D. Personnel Service Detail: FTE Grade/Step Amount
No Impact
Detail
Revenues
Revenue budget before amendments 15,751,417
Amendments:
Decrease Interest income (195,000)
Fixed asset auction sales proceeds 227,291
Total of revenue amendments 32,291
Revenue budget after amendments 15,783,708
Expenses
Expense budget before amendments (see below) 15,751,417
Amendments:
Decrease amount billed to Landfill for indirect overhead (32,363)
Increase pmts to Employee Service/Retirement(ESR) Fund 25,056
Capital outlay(delayed project payments) 512,412
Capital outlay(higher equipment purchase prices) 227,291
Total of expense amendments 732,396
Expense budget after amendments 16,483,813
Fund Balance
Original Amount dropped to(used from)fund balance 873,583
Impact from amendments:
Revenue amendments 32,291
Expense amendments (732,396)
Net impact from revenue and expense amendments (700,105)
Amended amount dropping to(used from) Fund Balance 173,478
Impact on cash
Decrease Interest income (195,000)
Decrease amount billed to Landfill for indirect overhead 32,363
Increase pmts to Employee Service/Retirement(ESR) Fund (25,056)
Capital outlay(delayed project payments) (512,412)
Fixed asset auction sales proceeds 227,291
Capital outlay(higher equipment purchase prices) (227,291)
Net impact on cash (700,105)
Reconciliation of county and city expense numbers(original budget)
Original expense budget per County 15,319,517
remove depreciation (non-cash) (2,025,000)
remove loss on sale of assets(non-cash) (10,000)
add in capital outlay(cash purchases) 2,466,900
Original Expense budget per City 15,751,417
FY04 landfill amendment Initiative#1.x1s9/24/20033:17 PM