CC MEETING: March 2, 2021
DATE: February 9, 2021
TO: Erin Rinehart, City Manager
FROM: Diana Vaughn, Finance Director
Bob Scott, Assistant City Manager/CFO
Title
Consider An Ordinance Authorizing The City Manager To Amend The Operating And Capital Budget For The Fiscal Year October 1, 2020 Through September 30, 2021.
Body
BACKGROUND:
The City Council approved the Operating and Capital Budget for Fiscal Year 2021 on September 1, 2020. The City maintains two Public Improvement Districts (PID), Castle Hills PID 1 and Castle Hills PID 2. Each year, a set installment cost is paid in which the city serves as a pass-through agent between the landowner and the developer’s assignee. The payments are expected to last 20 years, however, at times, landowners exercise their right to pay the entire amount of their assessment early. The current owners of a multi-family complex in Castle Hills PID 2 have pre-paid their balance in the amount of $2,180,621 million dollars. Additionally, the owners are due a refund of $6,791.51 for interest that they overpaid. This budget amendment would increase the PID Fund budget to allow the city to remit this PID assessment payment to the developer’s assignee and refund the excess interest payment.
FINANCIAL IMPLICATIONS:
Amend the Fiscal Year 2021 Operating and Capital Budget as follows:
1. In the Public Improvement District Fund, by increasing the non-recurring sources of revenue by $2,187,935.
2. In the Public Improvement District Fund, by increasing the non-recurring uses of funds by $2,187,935.
STAFF RECOMMENDATION/ACTION DESIRED:
Staff desires the City Council to pass the attached ordinance authorizing an amendment to the Fiscal Year 2021 Operating and Capital Budget.