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Home My WebLink About140 - 11/21/2023 - ADOPTING THE 2024 BUDGET AND APPROPRIATING THE FORT COLLINS SHARE OF THE 2024 FISCAL YEAR OPERATINGORDINANCE NO.140,2023 OF THE COUNCIL OF THE CITY OF FORT COLLINS ADOPTING THE 2024 BUDGET AND APPROPRIATING THE FORT COLLINS SHARE OF THE 2024 FISCAL YEAR OPERATING AND CAPITAL IMPROVEMENT FUNDS FOR THE NORTHERN COLORADO REGIONAL AIRPORT WHEREAS,in 1963,the City of Fort Collins and the City of Loveland (the “Cities’)agreed to establish a regional general aviation facility and became owners and operators of the Fort Collins-Loveland Municipal Airpor,now known as the Northern Colorado Regional Airport (the “Airpor”);and WHEREAS,the Airport is operated as a joint venture betwccn the Cities,with each city retaining a 50%ownership interest,sharing equally in policy-making and management,and each assuming responsibility for 50~of the Airpor’s capital and operating costs;and WHEREAS,pursuant to the Amended and Restated Intergovernmental Agreement for the Joint Operation of the Fort Collins-Loveland Municipal Airport dated January 22,2015,and the First Amendment to the Amended and Restated Intergovernmental Agreement for the Joint Operation of the Fort Collins-Loveland Municipal Airport,now known as the Northern Colorado Regional Airport dated June 7,2016,(collectively,the “IGA”),the Airport Manager is responsible for preparing the Airpor’s annual operating budget and submittina it to the Cities for their approval;and WHEREAS,under the IGA,the City’s share of existing and unanticipated Airport revenue is to be held and disbursed by the City of Loveland as an agent on behalf of the Cities,since the City of Loveland provides finance and accounting services for the Airport;and WHEREAS,the Airport Manager has submitted for City Council consideration a 2024 Airport budget totaling $24,988,986 of which the City’s 50%share is $12,494,493 ($1,515,493 for operations and $10,979,000 for capital);and WHEREAS,the City Council is in the process of considering the City’s 2024 budget and Ordinance No.145,2023,which appropriates $189,170 in City funds to be transferred to the Airport operating fund in payment of the City’s 50%share of rent due under the approved lease of a portion of the Airport property operation of the Northern Colorado Regional Law Enforcement Training Center,which amount is included in the Land Lease revenues set forth in the 2024 Airport Budget;and WHEREAS,pursuant to the IGA,the City of Loveland holds on behalf of both Cities the revenues of,and other financial contributions to,the Airport in a fund,which includes unappropriated and unencumbered reserves (the “Airport Fund”);and WHEREAS,funding for the Airport’s 2024 operating and capital improvement budgets has been identified as follows: FAA Grants $15,620,000 State Grants $522,000 USDOT $750,000 Airport Revenues $1,966,908 Airport Reserves $2.000.000 Total $20,858,908 and WHEREAS,the City’s 50%share of the 2024 Airport operating costs,to be held in the Airport Fund,is $1,515,493;and WHEREAS,the City’s 50%share of the 2024 Airport capital improvement costs,to be held in the Airport fund,is $10,979,000;and WHEREAS,the Airport Reserves item is an appropriation for use by the Northern Colorado Regional Airport Commission for discretionary Airport projects;and WHEREAS,City Finance staff has reviewed the financial statements for the Airport and determined that the requested appropriation of Airport Reserves in the 2024 Airport Budget meets the required limits set forth in the IGA;and WHEREAS,in accordance with Article V,Section 8(b),of the City Charter,any expense or liability entered into by an agent of the City on behalf of the City,shall not be made unless an appropriation for the same has been made by the City Council;and WHEREAS,this appropriation benefits the public health,safety and welfare of the residents of Fort Collins and serves the public purpose of enhancing transportation and economic welfare of the City and its residents;and WHEREAS,this appropriation will not require additional funding from the Cities and is consistent with the IGA. NOW,THEREFORE,BE Ii’ORDAINED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1.That the City Council hereby makes and adopts the determinations and findings contained in the recitals set forth above. Section 2.That the City Council hereby approves and adopts the 2024 Airport operating and capital budget totaling $12,494,493 ($1,515,493 for operations and $10,979,000 for capital),a copy of which is attached hereto as Exhibit “A”and incorporated herein by reference. Section 3.That the City Council hereby appropriates in the Airport Fund $1,515,493 to be expended to defray the City’s soq share of the 2024 operating costs of the Airport. Section 4.That the City Council hereby appropriates in the Airport Fund $10,979,000 to be expended to defray the City’s 509’share of the 2024 capital costs of the Airport. Introduced,considered favorably on first reading and ordered published this 17th day of October,2023,and to be presented~fort final passage on t 21st day of No ber,2•3. -4’~FORT ,:~ C)\\47 /I ~SEALfl - ATTEST:t :fi —~‘/~-~ City C1er Passed and adopted on final reading this 21st day of November,20 / ATTEST: City Clerk EXHIBITATO ORDINANCE 140 2023 The Northern Colorado Regional Airport is a separate entity established by the cities of Fort Collins and Loveland.The City of Loveland does not have absolute authority over this fund.However,per the Intergovernmental Agreement between the cities,it is Loveland’s responsibility to legally appropriate the budaet for the Airport as part of its administrative responsibilities. Northern Colorado Regional Airport Fund 600 2022 2023 2023 2024 2024 Draft!2024 Draft/2023 Adopted 2023 AdoptedActualsAdoptedRevisedProposed$Change %Change Beginning Fund Balance $5,778,763 $4,549,433 $6,027,301 $7,477,868 $2,928,436 64.4% Revenues by Department Airport 4,364,645 33,053,534 5,5 9751 508 (13 302 026)402% Total Revenues $4,364,645 $33,053,534 $35,053,534 $19,751,508 $(13,302,026)-40.2% Revenue By Class Gain/Loss on Asset 12,150 ----0.0% Interest Income (112,373)51000 51,000 49,000 (2,000) Intergovern 2,482,368 48000 31,248,000 16,890,000 (14,358000)-45.9% Lease Revenue 381601 391,600 2,391600 815,600 424,000 108.3% Miscellaneous 105,724 144,900 144,900 52,600 (92,300)-63.7% Operat ng Revenues 1,495,175 1,218,034 1,218,034 1,944,308 726,274 59.6% Total Revenues 4,364,645 33,053,534 35,053,534 19,751,508 (13.302,026)-40.2% Expenditures by Department A rport 4,116,107 33,602,967 33,502,967 24,988,896 (8,614,1 255 Total Expenditures &Capital $4,116,107 $33,602,967 $33,602,967 $24,988,896 $(8,614,071)-25.6% Expenditures by Class Pe na services 771,444 1,089,540 1,089,540 1147,418 57,878 Supplies 99,694 115,400 124,900 123,550 150 7,1% Purchased Services 596,694 1,482,910 1,473,410 1,736,478 568 17,1% Depreciation 1,494.987 .-0.0% cost Allocations-Expense 23,450 23,450 23,450 23450 0.0% capital Outlay 1,129,838 30,891,667 30,891,667 21,958.000 (8,933,289% Total Expenditures $4,116,107 $33,602,967 $33,602,967 $24,988,896 $(8,614,071)-25.6% Expenditures by Operating vs.Capital Operating &Maintenance 1,491,282 2,711,300 2,711,300 3,03 89 319,596 11.8% Depreciation 1,494,987 ---0.0% capital Outlay 1,129,838 30,891,667 30,891,667 21,958,000 (8,933,28.9% Total Expenditures $4.116,107 $33,602,967 $33,602,967 $24,988,896 $(8,614,071)-25.6% Net Income 248,538 (549,433)1,450,567 (5,237,388)(4,687,955 853.2% Airport Reserve (2 000,000)-(2,000,000)0.0% Ending Fund Balance $6,027,301 $2,000,000 $7,477,868 $240,480 $(1,759,519)-88.0%