20204I ORDINANCE NO. 20,204
2
3 AN ORDINANCE TO PROVIDE FOR AND TO ADOPT THE 2010 BUDGET FOR THE
4 CITY OF LITTLE ROCK, ARKANSAS, FOR THE PERIOD BEGINNING JANUARY
5 1, 2010, AND ENDING DECEMBER 31,2010; TO APPROPRIATE RESOURCES AND
6 USES FOR EVERY EXPENDITURE ITEM AND FUND; TO DECLARE AN EMER-
7 GENCY; AND FOR OTHER PURPOSES.
8
9 WHEREAS, Little Rock, Ark., Rev. Code § 2 -214 (1988), as amended by mandates that the Board of
10 Directors adopts a budget for the ensuing fiscal year by not later than December 30, and
11 WHEREAS, the Mayor and the City Manager have fulfilled the requirements of Little Rock, Ark.,
12 Rev. Code § 2 -212 (1988), and Little Rock, Ark., Ordinance No. 19,761 (June 12, 2007), and submitted
13 for consideration of the Board of Directors a proposed budget and such other explanatory information as
14 requested by the Board, and
15 WHEREAS, the Board of Directors has reviewed the proposed Fiscal Year 2010 budget as presented
16 by the Mayor and the City Manager, made certain modifications, and is now of the opinion that based
17 upon the financial information presented to the Board, the following constitutes an appropriate determina-
18 tion of anticipated revenues, expenditures and expenses for fiscal year, 2010, and should be adopted as
19 the 2010 Budget for the City of Little Rock, Arkansas,
20 NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF DIRECTORS OF THE CITY
21 OF LITTLE ROCK, ARKANSAS:
22 Section 1. This Ordinance shall be known as the FY2010 Budget Ordinance of the City of Little
23 Rock, Arkansas for the twelve -month period beginning January 1, 2010 and ending December 31, 2010,
24 reflecting estimated resources and uses as set forth below.
25 Section 2. All resources identified within this ordinance herein are estimated and subject to change,
26 and all appropriation uses identified within this ordinance are calculated upon available resources, and are
27 also subject to change.
28 Section 3. Definitions. For purposes of this ordinance, the following terms shall have the follow -
29 ing meanings:
30 (A) Board of Directors means the Mayor and members of the Board of Directors of the City of
31 Little Rock, Arkansas.
32 (B) City Clerk means the City Clerk, or designated representative, of the City, or if no one is offi-
33 cially serving in the position, the Acting City Clerk, or designated representative.
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FY2010 Budget Ordinance of the City of Little Rock, Arkansas
I (C) City Manager, means the City Manager, or designated representative, of the City, or if no one
2 is officially serving in the position, the Acting City Manager, or designated representative,
3 which may include an Acting Assistant City Manager.
4 (D) Director of Finance means the Director of Finance and Treasurer, or designated representa-
5 tive, for the City, or if no one is serving in the position, the Acting Director of Finance and
6 Treasurer.
7 (E) Expenditures means decreases in net financial resources under the current financial resources
8 measurement focus, and pertains to payment of normal operating payments and encum-
9 brances.
10 (F) Expenses mean the cost of doing business in a proprietary organization, and can be either out -
11 flows or the using up of assets — cost expiration — such as the depreciation of fixed assets.
12 Within the context of this budget ordinance, "proprietary organization," or "proprietary fund"
13 refers only to a method of accounting and is not used as any reference to whether the enter -
14 prise is conducted in a governmental or proprietary manner, as that term is understood in Ar-
15 kansas law. All enterprises referred to in this ordinance shall be operated by the City in its
16 governmental capacity.
17 (G) Fund Balance means the difference between assets and liabilities reported in the governmen-
18 tal fund and represents the excess of revenues or expenditures that has accumulated since the
19 inception of the fund.
20 (H) Revenue(s) means:
21 (i) Increases in the net current assets of a Governmental Fund Type from other than ex-
22 penditure refunds and residual equity transfers, but does not include any general long -
23 term debt proceeds and operating transfers in — which are classified as "other financing
24 sources," unless these constitute a reservation of fund balances for encumbrances carried
25 forward from a prior year and the expenditure for which the fund balance was created has
26 also been carried forward; or,
27 (ii) Increases in the net total assets of a Proprietary Fund Type from other than expense
28 refunds, capital contributions and residual equity transfers, but does not include operating
29 transfer in which are classified separately from revenues, unless these constitute a reserva-
30 tion of fund balances for encumbrances carried forward from a prior year and the expense
31 for which the fund balance was created has also been carried forward.
32 Section 4. Compliance with Existing Laws, Statutes and Ordinances. This ordinance has been
33 prepared in accordance with various Arkansas statutes that deal with municipal fiscal reporting require-
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FY2010 Budget Ordinance of the City of Little Rock, Arkansas
I ments, the Financial Reporting Standards for the City of Little Rock, Arkansas, as approved in Little
2 Rock, Ark., Rev. Code §§ 2 -245 to 260.8 (1988), and the standards of the Government Finance Officer's
3 Association.
4
Section 5. Fiscal Year 2010 Budget. The following respective amount for every resource and ap-
5
propriate use is herein set forth as follows:
6
(A) APPROPRIATE OPERATING RESOURCES:
7
General Fund
$131,149,375
8
Street
14,773,542
9
Waste Disposal
16,644,928
10
River Market
250,000
11
Zoo
4,497,054
12
Golf
2,783,083
13
Jim Dailey Fitness and Aquatic Center
1,137,411
14
Parking Garages
1,913,121
15
Fleet Services
9,239,395
16
Vehicle Storage Facility
1.334.800
17
TOTAL RESOURCES
$183,722,7M
18
(B) APPROPRIATE OPERATING USES:
19
General Fund Departments
20
General Administration
$20,560,582
21
Board of Directors
232,367
22
Community Programs
332,128
23
City Attorney
1,486,505
24
Municipal Court — Criminal
1,264,557
25
Municipal Court — Environmental
505,975
26
Municipal Court —Traffic
1,105,225
27
Finance
2,467,415
28
Human Resources
1,298,980
29
Office of Information Technology
3,155,241
30
Planning & Development
2,201,914
31
Housing & Neighborhood Programs
4,233,312
32
Public Works
1,169,769
33
Parks
7,022,067
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FY2010 Budget Ordinance of the City of Little Rock, Arkansas
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Fire
32,596,237
Police
48,808,531
Parks /Zoo /River Market /Concessions
3,258,092
Transfer to Street Fund
194,071
Future Little Rock, Special Projects, PIT, Grant Match
3,587,400
Vacancy Reductions
(4,330,993)
TOTAL GENERAL FUND
$131,149,375
Street Fund
15,098,542
Solid Waste
16,644,928
Rivermarket
96,741
Zoo
4,955,928
Golf
2,783,083
Jim Dailey Fitness and Aquatic Center
1,137,411
Parking Garages
1,913,121
Fleet Services
9,239,395
Vehicle Storage Facility
1,334 800
TOTAL USES
S184,353.324
Section 6. Outside Agency Contributions. The appropriation for General
Administration operat-
ing uses in Section 4 above includes the following amounts for various entities
with which the City con-
tracts for public services, or in which the City has an ownership interest:
Central Arkansas Transit Authority
$5,915,270
Pulaski County Regional Detention Center
1,463,000
Arkansas Arts Center
200,000
Museum of Discovery
200,000
Chamber of Commerce
200,000
Metroplan
157,694
Downtown Partnership
125,000
PAGIS
129,500
Pulaski County Health Unit
56,100
Saint Vincent's
25,381
Citv Beautiful
2.500
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FY2010 Budget Ordinance of the City of Little Rock, Arkansas
1 TOTAL OUTSIDE AGENCY CONTRIBUTION S8,474,445
2 Section 7. PILOT Payments to Area Schools. In accordance with Act 497 of 1981, Act 713 of
3 1991, and Act 1629 of 2001, of the Arkansas General Assembly, the Director of Finance shall make ap-
4 propriate payments to the Little Rock School District, the Pulaski County Special School District, and
5 Pulaski County from any affected payment -in -lieu of taxes (PILOT) made to the City by a company for
6 which an Act 9 Industrial Development Bonds was issued; it is estimated that the amount of these re-
7 sources for FY2010 is two hundred eighty -nine thousand nine hundred twenty -five dollars ($289,925).
8 Section 8. Appropriation for the Compensation of Elected Officials. This budget contains a person -
9 nel appropriation for the Mayor and the Members of the Board of Directors as follows:
10 (A) Annual compensation of the Mayor is $160,000, and such other amounts as may from time to
11 time be approved during the time this ordinance is effective;
12 (B) Annual compensation for each member of the Board of Directors is $12,000;
13 (C) In addition to these amounts, there are expenditures noted within this ordinance which document
14 the amounts paid for Mayor and Board member expenses and benefits.
15 Section 9. Definition of Significant Variance.
16 (A) In order to prepare this budget it has been necessary to estimate the amount of revenue or other
17 resources that the City will have available to it in fiscal year 2010, and the cost of the various expendi-
1s tures and expenses that the City will incur during this period.
19 (B) To assure the efficient and responsible operation of the City, and the maintenance of its various
20 programs and facilities, it is important for the Board of Directors to be timely advised of a significant
21 variance in revenues, or expenditures, during the course of the fiscal year. Further, it is important for the
22 Board of Directors, the City Manager and the Director of Finance, to agree as to what constitutes a "sig-
23 nificant variance" of these items.
24 (C) It is further necessary to have a definition of "significant variance" that can be reviewed on an
25 annual basis as a part of the City budget process, and which can best reflect the point at which the Board
26 of Directors believes it should be notified that such a change of circumstances has occurred in relation to
27 any expenditure, expense, fund balance, revenue, or resource.
28 (D) For Fiscal Year 2010, a "significant variance" shall be deemed to have occurred if, during any
29 reporting period, there has been an increase or decrease from the budgeted amount for the period covered
30 by a Monthly Financial Report, or a Quarterly Fund Balance Report that is:
31 (i) Greater than five percent (5 %) of the amount anticipated for that item for the period of time
32 covered; and,
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FY2010 Budget Ordinance of the City of Little Rock, Arkansas
I (ii) More than fifty thousand dollars ($50,000) from the amount anticipated for that item for the
2 period of time covered.
3 Section 10. Timeline for Department of Finance. The timeline for events related to the timely
4 preparation of reports and statements to the Board of Directors for fiscal year 2010 is attached as Exhibit
5 A to this ordinance.
6 Section 11. Severahility. In the event any title, subtitle, section, subsection, subdivision, paragraph,
7 subparagraph, item, sentence, clause, phrase, or work of this ordinance is declared or adjudged to be inva-
8 lid or unconstitutional, such declaration or adjudication shall not affect the remaining portions of the ordi-
9 nance which shall remain in full force and effect as if the portion so declared or adjudged invalid or un-
10 constitutional was not originally a part of this ordinance.
11 Section 12. Repealer. All ordinances and resolutions, including but not limited to Little Rock, Ark.,
12 Ordinance No. 20,078 (December 22, 2009) ( "the 2009 Budget Ordinance "), and any other ordinances or
13 resolutions that relate to financial reporting within the City, are hereby repealed to the extent of such in-
14 consistency.
15 Section 13. Emergency Clause. It is imperative that a budget ordinance for the ensuing fiscal year
16 and calendar year be passed prior to the end of the current calendar year in order to assure the contin-
17 ued provision of City services, operations, and facilities; such continuation is essential to the public
18 health, safety and welfare, an emergency is, therefore, declared to exist and this ordinance, with the ex-
19 ception of Section 8 which deals with the compensation of the Mayor and Members of the Board of Direc-
20 tors, shall be in full force and effect on January 1, 2010, and the various City departments shall operate
21 immediately upon its passage, and for purposes of record keeping and otherwise, as if it were in full force
22 and effect f om and after the date of its passage.
23 PASSED: December 15, 2009 j
24 ATTEST: APPROVED-1 f
1
25
26 l '
27 Susan L �ycting Cit y Clerk Mark Stodola,
28 APPROVED AS TO LEGAL FORM:
29
31 Thomas M. Carpenter, City Att ne
32 //
33
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FY2010 Budget Ordinance of the City of Little Rock, Arkansas
1 EXHIBIT A: FY 2010 BUDGET ORDINANCE FOR THE CITY OF LITTLE ROCK, ARKANSA
2
3 [NOTE: The Board of Directors enacted financial reporting standards for the City. Little Rock,
4 Ark., Rev. Code §§ 2 -245 to 260.8 (1988) Section 2 -260 this ordinance requires that as a part of the
5 annual budget process the Board of Directors set a timeline for action by the Department of Fi-
b nance to assure the timely preparation of financial reports. This timeline is to be adopted upon
7 recommendation of the City Manager after consultation with the Director of Finance and the vari-
8 ous financial institutions the City uses. This timeline is to be reviewed each year to assure that it
9 sets reasonable expectations for City staff, but at the same time, assures the preparation and publi-
10 cation of reports to the Board of Directors as quickly as possible. Reports to the Board of Directors
11 are based upon certain events after the month -end close. The month -end close is defined as the fif-
12 teenth (15th) business day after the end of the previous calendar month. For FY 2010 the calendar
13 of events is as follows:
14
15 CALENDAR OF EVENTS RELATED TO TIMELY PREPARATION OF CITY FINANCIAL
16 REPORTS
17
18 EVENT WORKING DAY
19 (after the end of the calendar month)
20
21 Department notification of deposits submitted to accounting 3
22 City obtains monthly bank statement
23 Department processes bank files to produce combined and payroll outstanding check lists 5
24
City obtains monthly investment statement
7
25
Department reconciles book balance and bank statements for all bank accounts
9
26
Department reconciles book balance and investment balances
11
27
Department finalizes and enters all remaining journal entries
14
28
Department reviews and corrects work to date
15
29
Department conducts final review of information for reports
16
30
Department processes computer system reports (month -end close)
17
31
Department completes preparation of monthly reports
22
32
City Manager and Finance Director present monthly report to Board of Directors
33
City Manager has monthly report posted in City website following Board presentation
34
35
36
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38
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FY2010 Budget Ordinance of the City of Little Rock, Arkansas