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Resolution 2020-31496 RESOLUTION NO 2020-31496 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ADOPTING THE SIXTH AMENDMENT TO THE GENERAL FUND, ENTERPRISE FUNDS, INTERNAL SERVICE FUNDS, AND SPECIAL REVENUE FUNDS BUDGETS FOR FISCAL YEAR 2020 AS SET FORTH IN THIS RESOLUTION AND IN THE ATTACHED EXHIBIT "A." WHEREAS, on September 25, 2019, the Mayor and City Commission adopted the budgets for the General Fund, Enterprise Funds, Internal Service Funds, and Special Revenue Funds for Fiscal Year 2020 via Resolution No. 2019-31004; and WHEREAS, on November 25, 2019, the First Amendment to the General Fund, Enterprise Funds, Internal Service Funds, and Special Revenue Funds budgets for Fiscal Year 2020 was adopted via Resolution No. 2019-31081; and WHEREAS, on January 15, 2020, the Second Amendment to the General Fund, Enterprise Funds, Internal Service Funds, and Special Revenue Funds budgets for Fiscal Year 2020 was adopted via Resolution No. 2020-31138; and WHEREAS, on February 12, 2020, the Third Amendment to the General Fund, Enterprise Funds, Internal Service Funds, and Special Revenue Funds budgets for Fiscal Year 2020 was adopted via Resolution No. 2020-31178; and WHEREAS, on May 13, 2020, the Fourth Amendment to the General Fund, Enterprise Funds, Internal Service Funds, and Special Revenue Funds budgets for Fiscal Year 2020 was adopted via Resolution No. 2020-31268; and WHEREAS, on June 24, 2020, the Fifth Amendment to the General Fund, Enterprise Funds, Internal Service Funds, and Special Revenue Funds budgets for Fiscal Year 2020 was adopted via Resolution No. 2020-31306; and WHEREAS, Section 166.241(4), Florida Statutes, mandates that the City has 60 days following the end of the fiscal year to amend a budget for that year and Section 166.241(4)(c), Florida Statutes, requires that a municipality's budget amendment must be adopted in the same manner as its original budget; and WHEREAS, this proposed amendment appropriates approximately $4.9 million of accumulated fund balance from Building Department operations restricted for activities related to enforcement of the Florida Building Code in the General Fund, which is the remaining balance of the overall $18.5 million previously restricted in the General Fund, to be transferred to the new separate Building Fund to improve greater fiscal transparency of the Building Department's operations; and WHEREAS, as a result of the transfer of the Building Department's prior year accumulated fund balance of $18.5 million and current operations in the General Fund to the new stand-alone fund effective FY 2020, this proposed amendment also transfers the Building Department's current FY 2020 amended budget of$14.2 million that was originally appropriated in the General Fund in FY 2020 to this new stand-alone fund; and WHEREAS, on January 15, 2020, the Mayor and Commission adopted Ordinance 2020- 4325 which created a framework for a dedicated and exclusive City funding source to solely fund the activities and operations of the Office of the Inspector General (OIG); and WHEREAS, this dedicated framework provided a measure of independence and predictability with regard to funding for the OIG and provided for an allocation to a new OIG Fund. WHEREAS, as a result of the new OIG Fund established during FY 2020, this proposed amendment transfers the OIG's current FY 2020 amended budget of $2.0 million that was originally appropriated in the General Fund in FY 2020 to this new stand-alone fund; and WHEREAS, the preliminary year-end analysis for FY 2020 reveals that the General Fund has an operating surplus of $3.5 million based on the City's operations, which increases by $3.7 million to $7.2 million with the adjustment to reflect the savings from deferred capital projects in the Pay-As-You-Go (PayGo) and Capital Renewal & Replacement (CRR) funds paid for from the General Fund as recommended by the Administration and included in the General Fund balancing plan presented to the FERC on April 17 and April 24, 2020; and WHEREAS, the Administration recommends that the preliminary General Fund operating surplus for FY 2020 be allocated as set forth in this Resolution; and WHEREAS, $1.2 million should be set aside from the preliminary FY 2020 General Fund surplus for encumbrances from FY 2020 for goods and/or services which had been procured, but not received and expended at year end, and the Administration is recommending that the foregoing amounts be carried forward to the respective FY 2021 operating budgets; and WHEREAS, there are $4.9 million in projects in the General Fund that were budgeted in FY 2020 that have not yet been expended or encumbered, and the Administration is recommending that the foregoing amounts be carried forward and spent in the respective FY 2021 operating budgets; and WHEREAS, the preliminary year-end analysis for FY 2020 reveals that the Resort Tax Fund has an operating shortfall of $4.8 million based on the City's operations; and WHEREAS, the Administration recommends that $28,000 should be set aside for encumbrances from FY 2020 for goods and/or services which had been procured, but not received and expended at year end, and the Administration is recommending that the foregoing amounts be carried forward to the respective FY 2021 operating budgets; and WHEREAS, there are also $175,000 in projects that were budgeted in FY 2020 that have not yet been expended or encumbered that the Administration is recommending be carried forward and spent in the respective FY 2021 operating budgets; and WHEREAS, there are a total of $1.6 million in Enterprise Fund encumbrances, $620,000 in Internal Service Fund encumbrances, and $1.4 million in Special Revenue Fund encumbrances (not including Resort Tax)from FY 2020 for goods or services that were procured in FY 2020, but not yet received and expended, which the Administration recommends be carried over to the respective FY 2021 operating budgets; and WHEREAS, there are also a total of $4.7 million in projects in the Enterprise Funds, $3.3 million in projects in the Internal Service Funds, and $3.3 million in projects in the Special Revenue Funds (not including Resort Tax) budgeted in FY 2020 that have not yet been expended or encumbered, which the Administration recommends be carried forward and spent in the respective FY 2021 operating budgets; and WHEREAS, this budget amendment also appropriates $9,000 in the E-911 Special Revenue Fund for FY 2020 based on additional revenues collected that are proposed to be utilized to fund additional allowable costs associated with the operations of the Fire Department's E-911 call center. NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that following a duly noticed public hearing on November 18, 2020, the Mayor and City Commission hereby adopt the Sixth Amendment to the Fiscal Year 2020 General Fund, Enterprise Fund, Internal Service Fund, and Special Revenue Funds budgets as set forth in this Resolution and in the attached Exhibit "A." PASSED and ADOPTED this gday of MI/tM6Pr , 2020. Dan Gelber, Mayor ATTEST: 1`B t, itotA Rafael E. Gr nado, City Clerk IN(ORP HATED/ � *�= hj'26 APPROVED AS TO FORM & LANGUAGE &FOR ECUTION le-� ft - 10- 2- C' City Attorney Date Resolutions - R7 A MIAMI BEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Jimmy L. Morales, City Manager DATE: November 18, 2020 2:05 p.m. Public Hearing SUBJECT:A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ADOPTING THE SIXTH AMENDMENT TO THE GENERAL FUND, ENTERPRISE FUNDS, INTERNAL SERVICE FUNDS, AND SPECIAL REVENUE FUNDS BUDGETS FOR FISCAL YEAR 2020 AS SET FORTH IN THIS RESOLUTION AND IN THE ATTACHED EXHIBIT"A." Applicable Area Citywide Is this a "Residents Right Does this item utilize G.O. to Know" item.pursuant to Bond Funds? City Code Section 2-14? Yes No Strategic Connection Organizational Innovation - Ensure strong fiscal stewardship. Legislative Tracking Office of Management and Budget ATTACHMENTS: Description D Memo-FY 2020 Operating Amendment ❑ Resolution Page 950 of 1430 Af\/' 1 BEACH City of Miami Beach, 1700 Convention Center Drive,Miami Beach,Florida 33139,www.miamibeachfl.gov COMMISSION MEMORANDUM TO: Mayor Dan Gelber and Members of the City Commission FROM: Jimmy L. Morales, City Manager DATE: November 18, 2020 SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ADOPTING THE SIXTH AMENDMENT TO THE GENERAL FUND, ENTERPRISE FUNDS, INTERNAL SERVICE FUNDS, AND SPECIAL REVENUE FUNDS BUDGETS FOR FISCAL YEAR 2020 AS SET FORTH IN THIS RESOLUTION AND IN THE ATTACHED EXHIBIT "A." ADMINISTRATION RECOMMENDATION Adopt the Resolution. STRATEGIC PLAN SUPPORTED Organizational Innovation — Ensure strong fiscal stewardship SUMMARY The budget balancing plans for the General Fund, Resort Tax Fund, and Parking Fund presented at the Finance and Economic Resiliency Committee (FERC) meeting on April 17, 2020 projected revenue losses through the end of the fiscal year and balanced the FY 2020 budget by emphasizing cost reductions as much as possible and judiciously using reserves to make up the difference. The table below shows the difference in the use of reserves between the original budget balancing plans presented to the FERC on April 17, 2020, the second quarter projections detailed in a Letter to Commission (LTC) dated May 15, 2020 (LTC# 178-2020), the third quarter projections detailed in a Letter to Commission dated August 20, 2020 (LTC#288-2020), and year- end projections which reflect the latest updated financial information. Projected Use of FERC April 17th Second Quarter Third Quarter Projections Year-End Projections Fund Balance Projections $2.4 million $2.8 million $272,000 (net of$3.0 Trillion of covto-io (net of$4.3 Trillion of COVID-19 General Fund $8.6 million reimbursable expenses and (net of adjustments for reimbursable expenses and adjustments for PayGo and adjustments for PayGo and CRR) PayGo and CRR) CRR) General Fund $272,000 (without adjustment for COVID-19 $8.6 million $5.4 million $7.1 million ($6.8avian better reimbursable than Q3 projection) expenses) Resort Tax $5.0 million $5.1 million $5.1 million $5.0 million Page 951 of 1430 Sixth Amendment to the Fiscal Year 2020 General Fund,Enterprise, Internal Service,and Special Revenue Funds Budgets Page 2 The General Fund use of reserves decreased from $7.1 million (or $2.8 million net of$4.3 million of COVID-19 reimbursable expenses) as presented in the third quarter analysis to $272,000 projected as of year-end of FY 2020 due to higher than anticipated savings from various cost- saving measures such as reducing all non-essential expenditures and reducing contractual services as much as possible. This is good news as it represents $6.8 million ($7.1 million less $272,000) of additional savings than projected in the third quarter. Please note that the second and third quarter projections projected use of General Fund and Resort Tax reserves reflected anticipated reimbursable expenses. It is important to note that the year-end projection includes approximately$34,000 of General Fund reimbursements from CARES Act funding received as of November 6, 2020 and this analysis does not assume receipt of any additional funding since it is prospective, and the actual amounts of reimbursement are unknown at this time. Additional detail regarding potential reimbursements can be found in the section below called "Corona Virus Relief Fund". This means that only $272,000 was needed from General Fund reserves to successfully balance the FY 2020 Budget, which is a testament to the quality of the budget balancing plans that were swiftly implemented following the impact of COVID-19. However, this additional savings and potential CARES Act reimbursement will likely be needed in FY 2021 to offset higher than anticipated Resort Tax revenue losses and impact to property tax revenues from much higher than normal property value appeals to the Value Adjustment Board. The potential rebalancing of the FY 2021 Budget will be discussed in more detail in January or February as part of the first quarter analysis. Based on a detailed analysis comparing preliminary year-end actual revenues and expenditures to budget, all department expenditures are within the FY 2020 amended budgets per their appropriated authority, except Citywide Accounts in the General Fund and the E-911 special revenue fund. These two items require a budget amendment per Florida Statutes and are further detailed in the analysis. It should be noted that actual year-to-date expenditures are preliminary in nature since reporting of the City's financials is not finalized until completion of the annual financial audit performed by outside external auditors. This has historically occurred in April with completion of the City's Comprehensive Annual Financial Report(CAFR)that is usually published in May and the External Auditor's Report generally made available in July. As a result, this analysis has considered all known year-end adjustments to date, as well as other pending adjustments where appropriate. CORONA VIRUS RELIEF FUND Miami-Dade County has received an allocation from the Coronavirus Relief Fund (CRF) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act. $100 million of that funding is being allocated for an award program for local municipalities. Of the $100 million, $75 million is for operational costs and $25 million for new municipal programs. Funds from this program may only be used to (1) cover costs that are necessary expenditures incurred due to the public health emergency with respect to COVID-19, (2) were not accounted for in the budget most recently approved as of March 27, 2020, and (3)were incurred during the period of March 1, 2020 through December 30, 2020. The County will consider reimbursement for COVID-19 related and incurred operating expenses, as well as certain new programs proposed by municipalities. Page 952 of 1430 Sixth Amendment to the Fiscal Year 2020 General Fund, Enterprise,internal Service, and Special Revenue Funds Budgets Page 3 The following are not eligible under the program: (1)equipment and capital expenses; (2) loss of revenue; (3) utility payment forgiveness. Examples of eligible costs for the $75 million program include: • Costs to enable remote work • FEMA cost share (the 12.5% local cost component of FEMA PA) • Personnel costs for hours dedicated to mitigating or responding to COVID-19 • Contact tracing • Public health • Expenses to facilitate compliance with public health precautions Examples of eligible costs for the $25 million program include: • Rental and mortgage assistance programs • Job training • Childcare • Small business grants for business interruption As of November 6, 2020, the City of Miami Beach has submitted approximately $51.5 million of year-to-date expenditures for potential reimbursement. Between now and December, additional COVID-19 related costs are estimated to be incurred that may also be eligible for reimbursement. The City will be submitting requests for reimbursement and hopefully receiving funding over the next few months. To date, approximately $34,000 of General Fund reimbursements have been received. Periodic updates will be provided to the City Commission as to the status of these funds. Any funds received from the program would be one-time in nature and the Administration's recommendation would be to restore all reserve amounts in the General Fund and Resort Tax Fund that have been or will be used to balance the FY 2020 and FY 2021 budgets. Please note that the majority of all the COVID-19 related expenses have been incurred in the General Fund and reserves in both funds have been used to cover budget shortfalls from the economic impact of COVID-19. Any funds over and above that amount are recommended to be put towards the General Fund reserve goal of 3 months, or 25.0% of total revenue, and/or the Resort Tax reserve goal of 6 months, or 50.0%. BACKGROUND The budgets for the General Fund, Enterprise Funds, Internal Service Funds, and Special Revenue Funds for Fiscal Year 2020 were adopted by the Mayor and City Commission on September 25, 2019, through Resolution No. 2019-31004. The First Amendment to the General Fund, Enterprise Funds, Internal Service Funds, and Special Revenue Funds budgets for Fiscal Year 2020 was adopted by the Mayor and City Commission on November 25, 2019, through Resolution No. 2019-31081. The Second Amendment to the General Fund, Enterprise Funds, Internal Service Funds, and Special Revenue Funds budgets for Fiscal Year 2020 was adopted by the Mayor and City Commission on January 15, 2020, through Resolution No. 2020-31138. Page 953 of 1430 Sixth Amendment to the Fiscal Year 2020 General Fund, Enterprise, Internal Service,and Special Revenue Funds Budgets Page 4 The Third Amendment to the General Fund, Enterprise Funds, Internal Service Funds, and Special Revenue Funds budgets for Fiscal Year 2020 was adopted by the Mayor and City Commission on February 12, 2020, through Resolution No. 2020-31178. The Fourth Amendment to the General Fund, Enterprise Funds, Internal Service Funds, and Special Revenue Funds budgets for Fiscal Year 2020 was adopted by the Mayor and City Commission on May 13, 2020, through Resolution No. 2020-31268. The Fifth Amendment to the General Fund, Enterprise Funds, Internal Service Funds, and Special Revenue Funds budgets for Fiscal Year 2020 was adopted by the Mayor and City Commission on June 24, 2020, through Resolution No. 2020-31306. Section 166.241(4), Florida Statutes, requires that the City has 60 days following the end of the fiscal year to amend a budget for that year. Proposed budget amendments represent the budget amendments required by State law for funds, departments, or accounts that exceed their appropriated authority. Furthermore, Section 166.241(4)(c), Florida Statutes, requires that a municipality's budget amendment must be adopted in the same manner as its original budget. GENERAL FUND ANALYSIS The year-end analysis for FY 2020 reveals that the General Fund has a preliminary operating surplus of $3.5 million, or 0.9%, over the current amended FY 2020 General Fund operating budget and does not include any adjustments for Capital Pay-As-You-Go (PayGo) and Renewal and Replacement (CRR) projects that were deferred in FY 2020 or reimbursement for reimbursable COVID-19 expenditures incurred during FY 2020. It is important to note that the projected FY 2020 General Fund surplus is attributed to the actions taken by the City Administration that were outlined in the Letter to Commission (LTC)dated March 26, 2020 (LTC# 143-2020), as well as the recommended cost reductions that were presented by the City Administration to the FERC on April 17 and April 24, 2020. The preliminary $3.5 million year-end General Fund surplus increases by $3.7 million to $7.2 million with the adjustment to reflect the savings from deferred capital projects in the Pay-As-You- Go (PayGo) and Capital Renewal & Replacement (CRR) funds paid for from the General Fund as recommended by the Administration and included in the General Fund balancing plan presented to the FERC on April 17 and April 24, 2020. Of the adjusted preliminary $7.2 million surplus, the Administration is recommending that $1.2 million be carried forward into FY 2021 to fund goods and/or services that were procured in FY 2020, but not received and/or rendered due to timing issues between fiscal years. Similarly, the Administration is recommending that $4.9 million be carried forward into FY 2021 for General Fund projects that were originally budgeted in FY 2020, but not completed. As shown in the subsequent chart, after accounting for the recommended General Fund carryforward encumbrances and appropriations from FY 2020 to FY 2021, the General Fund budget will result in a total shortfall of approximately $272,000, which only includes $34,000 of CARES Act reimbursements for COVID-19 expenditures in FY 2020,although more is anticipated in FY 2021. Page 954 of 1430 Sixth Amendment to the Fiscal Year 2020 General Fund, Enterprise,Internal Service, and Special Revenue Funds Budgets Page 5 FY 2020 Estimated General Fund Year-End Surplus/(Shortfalf): $ 3,451,000 Adjustment for Pay-As-You-Go capital project deferrals 2,939,000 Adjustment for Capital Renewal and Replacement capital project deferrals 769,000 Sub-Total $ 7,159,000 Transfer of Building Operations to New Fund (Revenues &Expenditures) 0 Transfer of Inspector General Operations to New Fund (1,307,000) Recommended Encumbered Carryforwards (1,233,000) Recommended Unencumbered Carryforwards (4,891,000) Total $ (272,000) PROPOSED AMENDMENTS TO THE GENERAL FUND Preliminary FY 2020 year-end expenditures reveal that the following General Fund department is projected to exceed its FY 2020 amended budget Citywide Accounts—The Citywide Accounts budget is projected to be 4.4%, or $1.4 million, above the current amended budget due to the transfer of the remaining balance of the Building Department's $18.5 million in prior year accumulated fund balance to a new stand-alone fund. Historically, the City's Building Department was categorized as part of the overall General Fund operations although annual revenues and expenditures associated with the Department's operations were tracked separately and restricted for activities related to enforcement of the Florida Building Code. To improve greater fiscal transparency of the Department's operations, the Administration previously recommended the creation of a separate new Building Fund during Fiscal Year 2020 and transferred a portion (approximately $13.6 million) of the funds restricted for Building operations in the General Fund to this new stand-alone fund as part of the Third Amendment to the FY 2020 Operating Budget adopted through Resolution 2020-31178 on February 12, 2020 with the remaining balance proposed to be transferred at fiscal year-end to minimize disruption to operations during the fiscal year. As such,this proposed amendment appropriates the remaining balance of approximately$4.9 million in the General Fund restricted for Building operations to be transferred to the new stand-along Building Fund for FY 2020 so that the City's FY 2020 financial statements will reflect the new fund and all associated revenues and expenses. Citywide Accounts FY 2020 FY 2020 Projected vs Amended %Over I(Under) Amended Budget i Projected Budget Variance ;Expenditures $ 30,853,000 $ 32,225,000 , $ 1,372,000 4.4% j Further, as a result of the recommended transfer of the Building Department's prior year accumulated fund balance of $18.5 million and current operations in the General Fund to a new stand-alone fund effective FY 2020, this proposed amendment also transfers the Building Department's current FY 2020 amended budget of$14.2 million that was originally appropriated in the General Fund in FY 2020 to this new stand-alone fund. The Building Department's FY 2021 budget has been appropriated in this new stand-alone fund. Page 955 of 1430 Sixth Amendment to the Fiscal Year 2020 General Fund,Enterprise, Internal Service,and Special Revenue Funds Budgets Page 6 In addition, on January 15, 2020, the Mayor and Commission adopted Ordinance 2020-4325 which created a framework for a dedicated and exclusive City funding source to solely fund the activities and operations of the Office of the Inspector General (OIG). This dedicated framework provided a measure of independence and predictability with regard to funding for the OIG and provided for an allocation to a new OIG Fund. As a result of the new OIG Fund established during FY 2020, this proposed amendment transfers the OIG's current FY 2020 amended budget of$2.0 million that was originally appropriated in the General Fund in FY 2020 to this new stand-alone fund. The OIG's FY 2021 budget has been appropriated in this new stand-alone fund. ENTERPRISE, INTERNAL SERVICE, AND SPECIAL REVENUE ANALYSIS The City accounts for those goods and services provided by a department to external users for which a fee is charged as Enterprise Funds. The City's Sanitation, Sewer, Storm Water, Water, Parking, and Convention Center operations comprise this category of Proprietary Funds. Similarly, the City accounts for goods and services provided by one department to other departments citywide on a cost reimbursement basis as Internal Service Funds. Central Services, Fleet Management, Information Technology, Property Management, Risk Management (Self Insurance), and Medical and Dental comprise this category of Proprietary Funds. Special Revenue Funds consist of revenues and expenditures which are legally restricted or committed for specific purposes other than debt service and/or capital projects. Special Revenue Funds include Resort Tax, as well as 7th Street Garage Operations, 5th & Alton Garage Operations, Normandy Shores and Biscayne Point Taxing Districts, Tourism and Hospitality Scholarship Program, Tree Preservation and Commemorative Tree Trust Fund, Beachfront Concession Initiatives Program, Beach Renourishment Fund, Waste Haulers and Sustainability Contributions, Education Compact Fund, Red Light Camera Program, Emergency 911 Fund, Residential Housing Program, Information and Communications Technology Fund, Transportation and People's Transportation Plan (PTP) Fund, Miami Beach Cultural Arts Council and Art in Public Places Operations, Miami City Ballet, Police Unclaimed Property and Crash Report Sales Funds, Police Confiscation Trust Funds (Federal and State), Police Training and School Resources Fund, and the Adopt-a-Bench Program. The preliminary year-end analysis for FY 2020 shows that there are $1.6 million of encumbrances in the Enterprise Funds, $620,000 in Internal Service Funds encumbrances, and $1.4 million in Special Revenue Funds encumbrances (not including Resort Tax) for FY 2020 goods and/or services that were procured, but not received, that are recommended to be carried forward into the respective FY 2021 operating budgets. Similarly, it is recommended that appropriations of $4.7 million in the Enterprise Funds, $3.3 million in the Internal Service Funds, and $3.3 million in the Special Revenue Funds (not including Resort Tax) be carried forward into FY 2021 for projects originally budgeted in FY 2020 that have not been completed. Page 956 of 1430 Sixth Amendment to the Fiscal Year 2020 General Fund, Enterprise,Internal Service, and Special Revenue Funds Budgets Page 7 PROPOSED AMENDMENTS TO OTHER FUNDS Preliminary year-end expenditures indicate that the following Special Revenue Funds are projected to exceed their FY 2020 amended budgets. E-911 Fund - The City's allocation of E-911 tax revenues from Miami-Dade County are primarily based on call volume. As a result of an increase in call volume and the resulting additional revenues collected by Miami-Dade County that are disbursed to local municipalities based on the determined allocation, the City's projected FY 2020 E-911 revenues for wireless, non-wireless, and wireless prepaid services are projected to exceed the current FY 2020 amended budget. As a result of the increased revenues for FY 2020, this proposed amendment would appropriate an additional $9,000 in E-911 revenues received during FY 2020, which in-turn, are proposed to be utilized to fund additional allowable costs associated with the operations of the Fire Department's E-911 call center. E-911 FY 2020 FY 2020 Projected vs Amended Budget Projected Amended % Oyer/(Under) Budget Variance Expenditures $ 603,000 $ 612,000 $ 9,000 1.5% RESORT TAX FUND Preliminary FY 2020 Resort Tax revenues are projected to be $35.9 million, or 38.0%, below the current amended budget, while Resort Tax expenditures are projected to be $31.1 million, or 32.9%, below the current amended budget, resulting in a preliminary shortfall of$4.8 million prior to any recommended FY 2020 to FY 2021 carryforward encumbrances and/or appropriations. RESORT TAX FUND FY 2020 FY 2020FV 2020 �eis�� % �� ---= AEopeed Amended Year End ;=_-. - Budget Budget 13N30120 Amended Budget PTOIK110115 -' Revenues 2%Resort Tax 81,298,000 61,298,000 34,192,393 55.8%, 35,818,000' (25480,000) .41.6% Miscellaneous Revenues 937,000 937,000 789,573 82.1%I 770,000 1 (167,000) -17.8% Transfer In from Find Balance 1,942,000', 2,889,000 0 0.0% 2,889,000 0 00% 1%Resort Tax(00L) 14.725.000 14,725,000 9,259,455 62.9%I 9,577,000 (5.148,000) -35.0% Additional 1%for Convention Center 14,725.0001 14.725,0001 9,259,455 -35,0% 66.6% 6,610 694.09 Total Revenues 93,627,000 94,674,000 63,460,076 38.0% Eependitures General FW Contribution 36,757,000 36,757,000 38,757,000 100.0% 23,882,000' (12,895,000) -35,1% Sanrtabon Fund Corrtnbution 2,539,000 2,539,000 2,539,000' 100.0% 1,270.000 (1,269,000)1 -50.0% ContnbrAon to GMCVB 7,127,000 7,127,000 5,160,129. 72.4% 5,161,000 (1,968,000), -27.8% Contribution to VCA 2,940,000 2,940,000 1,700.669) 57.8% 1,741,000 (1,199.000)' 40.8% Contribution to Mt.Sinai 1,000,000 1,000,000 0 I 0.0% 0 (1,000,000) -100.0% Other Operating/Other Uses 13,814,000' 14,497.0001 10531,967 726% 12,207,000 (2,290,000) -15.8% Marketing 200.000 1 264.000 39,881 150% 40,000 1 (224,000) 84.8% Transfer to NB.MB,SB Capital,Transp,and Arts(OOL) 14,725,000 14,725 000 9.259,455 62.9% 9,577,000 I (5,148,000) -35.0% Addfl 1%Cony.Center Debt Service&Cap.Ren&Rep, 14,725,000 14,725.000 9.258 455 62.9% 9.577,000 (5,148,000) -35.0% Total Expenditures 93,627,000 94,574,000 76,247,136.` 79.6% 63,436,000 (31,139,000) -32.9% Emma a swam=oveaunait Ilmandouna R1, 1� Recommended Encu-nbered Carryfo wards (28000) Recommended Unencumbered Carryforwards "75,000)1 Bosse 9FR999mtw00011nasf Evandiumal I R1,714,440)l I (5417AMIA i The Administration is recommending that $28,000 be carried forward into FY 2021 to fund goods and/or services that were procured, but not received in FY 2020, due to timing issues between fiscal years. Similarly, it is recommended that$175,000 be carried forward into FY 2021 for Resort Tax projects that were originally budgeted in FY 2020 that have not been completed. Page 957 of 1430 Sixth Amendment to the Fiscal Year 2020 General Fund, Enterprise, Internal Service,and Special Revenue Funds Budgets Page 8 After accounting for the recommended Resort Tax carryforward encumbrances and appropriations from FY 2020 to FY 2021, the Resort Tax budget will result in a total shortfall of $5.0 million, which is consistent with the projections originally included in the budget balancing plans presented on April 17, 2020 to the FERC. FY 2020 Estimated Resort Tax Year-End Surplusl(Shortfall): $ (4,804,000) ;Carryforward of FY 2020 to FY 2021 Encumbrances (28,000) Carryforward of FY 2020 to FY 2021 Appropriations (175,000) Total $ (5,007,000) CONCLUSION The Administration recommends that the Mayor and City Commission adopt the Sixth Amendment to the General Fund, Enterprise Fund, Internal Services Fund, and Special Revenue Fund budgets for FY 2020 as previously detailed and reflected in the attached Exhibit "A," which is necessary to comply with Florida Statute, Section 166.241, that mandates that the City has 60 days following the end of the fiscal year to amend a budget for that year, and authorize the allocation of excess funds to the operating budget as set forth herein. JLM/JW/TOS Page 958 of 1430 Sixth Amendment to the Fiscal Year 2020 General Fund,Enterprise, Internal Service,and Special Revenue Funds Budgets Page 9 Exhibit "A" GENERAL FUND FY 2020 6th Budget FY 2020 Amended Budget Amendment Revised Budget REVENUES Operating Revenues Ad Valorem Taxes $ 184,150,000 $ 184,150,000 Ad Valorem-Capital Renewal&Replacement $ 769,000 $ 769,E Ad Valorem-Pay-As-You-Go Capital $ 2,470,000 $ 2,470,000 Ad Valorem-Normandy Shores $ 174,000 $ 174,000 Other Taxes $ 23,995,000 $ 23,995,000 Licenses and Permits $ 30,525,000 (12,314,000) $ 18,211,000 Intergovernmental $ 12,081,000 $ 12,081,000 Charges for Services $ 13,227,000 (31,000) $ 13,196,000 Fines&Forfeits $ 1,756,000 (324,000) $ 1,432,000 Interest Earnings $ 3,461,000 $ 3,461,000 Rents&Leases $ 5,959,000 $ 5,959,000 Miscellaneous $ 14,780,000 (4,000) $ 14,776,000 Resort Tax Contribution $ 36,757,000 $ 36,757,000 Other Non-Operating Revenue $ 28,308,000 (1,983,000) $ 26,325,000 Building Fund Balance $ 13,596,000 3,352,000 $ 16,948,000 Total General Fund $ 372,008,000 $ (11,304,000) $ 360,704,000 FY 2020 6th Budget FY 2020 Amended Budget Amendment Revised Budget APPROPRIATIONS Department Mayor and Commission $ 2,500,000 $ 2,500,000 City Manager $ 4,314,000 $ 4,314,000 Marketing and Communications $ 2,460,000 $ 2,460,000 Office of Management and Budget $ 2,013,000 $ 2,013,000 Office of Inspector General $ 1,983,000 (1,983,000) $ 0 Org Dev&Performance Initiative $ 1,194,000 $ 1,194,000 Finance $ 6,645,000 $ 6,645,000 Procurement $ 2,735,000 $ 2,735,000 Human Resources/Labor Relations $ 2,791,000 $ 2,791,000 City Clerk $ 1,851,000 $ 1,851,000 City Attorney $ 6,333,000 $ 6,333,000 Housing&Comm.Services $ 4,433,000 $ 4,433,000 Building $ 14,215,000 (14,215,000) $ 0 Planning $ 5,768,000 $ 5,768,000 Environment&Sustainability $ 1,761,000 $ 1,761,000 Tourism and Cultural Development $ 3,572,000 $ 3,572,000 Economic Development $ 2,591,000 $ 2,591,000 Code Compliance $ 6,533,000 $ 6,533,000 Parks and Recreation 5 38,942,000 $ 38,942,000 Public Works $ 15,633,000 $ 15,633,000 Capital Improvement Projects $ 5,327,000 $ 5,327,000 Police $ 116,314,000 $ 116,314,000 Fire $ 91,247,000 $ 91,247,000 Citywide Accounts(incl.Operating Contingency) $ 12,982,000 $ 12,982,000 Subtotal General Fund $ 354,137,000 $ (16,198,000) $ 337,939,000 TRANSFERS Normandy Shores $ 267,000 $ 267,000 Capital Renewal&Replacement $ 769,000 $ 769,000 Info&Comm Technology Fund $ 300,000 $ 300.E Pay-As-You-Go Capital Fund $ 2,939,000 $ 2,939,000 Building Fund $ 13,596,000 4,894,000 $ 18,490,000 Subtotal Transfers $ 17,871,000 $ 4,894,000 $ 22,765,000 Total General Fund $ 372,008,000 $ (11,304,000) $ 360,704,000 Page 959 of 1430 Sixth Amendment to the Fiscal Year 2020 General Fund,Enterprise,Internal Service,and Special Revenue Funds Budgets Page 10 Exhibit "A" ENTERPRISE FUNDS FY 2020 6th Budget FY 2020 Amended Budget Amendment Revised Budget REVENUE/APPROPRIATIONS Convention Center $ 31,527,000 $ 31,527,000 Water $ 39,078,000 $ 39,078,000 Sewer $ 53,241,000 $ 53,241,000 Storm Water $ 33,229,000 $ 33,229,000 Sanitation $ 23,054,000 $ 23,054,000 Parking $ 55,661,000 $ 55,661,000 Total Enterprise Funds $ 235,790,000 $ 0 $ 235,790,000 INTERNAL SERVICE FUNDS FY 2020 6th Budget FY 2020 Amended Budget Amendment Revised Budget REVENUE/APPROPRIATIONS Information Technology $ 17,378,000 $ 17,378,000 Office of Inspector General $ 0 1,983,000 $ 1,983,000 Risk Management $ 19,777,000 $ 19,777,000 Central Services $ 1,119,000 $ 1,119,000 Property Management $ 11,492,000 $ 11,492,000 Fleet Management $ 13,399,000 $ 13,399,000 Medical and Dental Insurance $ 37,367,000 $ 37,367,000 Total Internal Service Funds $ 100,532,000 $ 1,983,000 $ 102,515,000 SPECIAL REVENUE FUNDS FY 2020 6th Budget FY 2020 Amended Budget Amendment Revised Budget REVENUE/APPROPRIATIONS Education Compact $ 761,000 $ 761,000 IT Technology Fund $ 1,301,000 $ 1,301,000 Residential Housing $ 1,043,000 $ 1,043,000 Sustainability $ 727,000 $ 727,000 Tree Preservation Fund $ 176,000 $ 176,000 Commemorative Tree Trust Fund $ 5,000 $ 5,000 Resort Tax $ 94,574,000 $ 94,574,000 Tourism&Hospitality Scholarships $ 174,000 $ 174,000 Cultural Arts Council $ 3,580,000 $ 3,580,000 Waste Haulers $ 130,000 $ 130,000 Normandy Shores Fund $ 341,000 5 341,000 Biscayne Point Special Taxing District $ 248,000 $ 248,000 5th&Alton Garage $ 650,000 $ 650,000 7th Street Garage $ 2,891,000 $ 2,891,000 Transportation Fund $ 14,230,000 $ 14,230,000 People's Transportation Plan $ 4,158,000 $ 4,158,000 Police Confiscation Fund-Federal $ 280,000 $ 280,000 Police Confiscation Fund-State $ 106,000 $ 106,000 Police Unclaimed Property $ 29,000 $ 29.000 Police Crash Report Sales $ 25,000 $ 25,000 Police Training Fund $ 25,000 $ 25,000 Red Light Camera Fund $ 1,313,000 $ 1,313,000 E-911 Fund $ 603,000 9,000 $ 612,000 Domestic Violence $ 250,000 $ 250,000 Art in Public Places(AIPP) $ 21,000 $ 21,000 Beachfront Concession Initiatives $ 65,000 $ 65,000 Miami City Ballet $ 22,000 $ 22,000 Beach Renourishment $ 1,500,000 $ 1,500,000 • Farewell Symphony Event $ 50,000 $ 50,000 Adopt-A-Bench Program $ 20,000 $ 20,000 Building Fund $ 13,596,000 19,109,000 $ 32,705,000 Total Special Revenue Funds $ 142,894,000 $ 19,118,000 $ 162,012,000 Page 960 of 1430