Title
Consider/Discuss/Act on an Ordinance Amending the Fiscal Year 2020-2021 Annual Budget to Appropriate a Transfer of Federal Grant Funds Received in the General Fund to the Public Safety Improvement Fund
Summary
COUNCIL GOAL: Financially Sound Government
MEETING DATE: January 4th, 2022
DEPARTMENT: Financial Services
CONTACT: Mark Holloway, Chief Financial Officer
RECOMMENDED CITY COUNCIL ACTION:
• Approve ordinance
ITEM SUMMARY:
• This ordinance amends the Fiscal Year 2021 General Fund Budget to transfer $6,088,842 of federal funds received from the Collin County CARES Direct Public Safety Costs Program to the Public Safety Improvement Fund.
BACKGROUND INFORMATION:
• On December 15, 2020 City Council approved a resolution for an interlocal agreement with Collin County to receive $6,088,842 of "CARES Act" federal funding as reimbursement for public safety salary expenses the City had already incurred in its regular operating budget.
• The agenda item outlined that the funds would be deposited in the Public Safety Improvement Fund to fund future public safety needs
• Under Generally Accepted Accounting Principles, an adjustment needs to be made to recognize the revenue in the General Fund where the salary expenses were incurred, and then the City can transfer those funds to the intended Public Safety Improvement Fund.
FINANCIAL SUMMARY:
• This Ordinance amends the budget by appropriating $6,088,842 in the General Fund from fund balance and transferring it to the Public Safety Improvement Fund.
BOARD OR COMMISSION RECOMMENDATION:
• N/A