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HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 08/03/1999 - SECOND READING OF ORDINANCE NO. 116, 1999, AUTHORI 7W777, R' ITEM NUMBER: 9 AGENDA ITEM SUMMARY DATE: August 3, 1999 10 FORT COLLINS CITY COUNCIL STAFF: Alan Krcmarik SUBJECT: Second Reading of Ordinance No. 116, 1999,Authorizing the Transfer of Appropriations from the General Fund to the Debt Service-Certificates of Participation Fund for the Purpose of Making the Payments on the 1998 Lease Purchase Certificates of Participation(Civic Center Facilities Project). i I RECOMMENDATION: I Staff recommends adoption of the Ordinance on Second Reading. I E I EXECUTIVE SUMMARY: g Ordinance No. 116, 1999, which was unanimously adopted on First Reading on July 20, 1999, I provides for the internal transfer of the General Fund and Downtown Development Authority Debt s Service Fund appropriations to the new Debt Service - Certificates of Participation Fund. I 'r i i r i f i i i Z AGENDA ITEM SUMMARY ITEM NUMBER: 14 FORT COLLINS CITY COUNCIL DATE: July 20, 1999 STAFF: Alan Krcmarik SUBJECT: First Reading of Ordinance No. 116, 1999, Authorizing the Transfer of Appropriations from the General Fund to the Debt Service-Certificates of Participation Fund for the Purpose of Making the Payments on the 1998 Lease Purchase Certificates of Participation(Civic Center Facilities Project). RECOMMENDATION: Staff recommends adoption ofthe Ordinance ofi-first Reading , FINANCIAL IMPACT: This Ordinance does not have a financial impact on the City or the Downtown Development Authority. For 1999. the General Fund's share of the payment for the Lease Purchase Certificates of Participation is $918,895. Of this amount$660,015 is for the office building and$258,880 is=forthe'p tin structure. The DDA share of the 1999 payments for the parking structure is S258,8W Both t`tie City'-% and,tl#e DDA's share of the 1999 payments are appropriated in the City's General Fiord. The'ODA'�,estimated share at the time the budget was adopted was $300,000. The Ordinance merely re-routes the flow ofpayments on the Lease Purchase Certificates of Participation that were issued for the Parking Structure and the New Office Building. According to the Ordinance both the General Fund portion and the DDA's portion of the annual payments will be transferred from the General Fund to the Debt Service - Certificates of Participation Fund (Fund 252). EXECUTIVE SUMMARY: In 1998,the City executed and delivered $17,210,000 of lease purchase certificates of participation to provide funding for the parkingstucture and'officebu ldialg(*h Civic Center Facilities Project). To cover the annual paymen n the ce' ficah(ias,the 1J99pr`opriation ordinance provided for appropriations and payments be mad ectl, from the Geikral Fund. During the audit of the 1998 fiscal year transactions,Finance'Department staff discuss6d-the accounting treatment of these appropriations with the external auditor, BONDI& Co. Based on these discussions, staff decided it would be more appropriate and provide a better audit trail to route the payments through a new fund set up specifically for this purpose. The fund is the Debt Service-Certificates of Participation Fund (Fund 252). The Ordinance provides for the internal transfer of the General Fund and Downtown Development Authority Debt Service Fund appropriations to the new Debt Service - Certificates of Participation Fund.