| | | | | | | | Spotsylvania County
Board of Supervisors Agenda
Executive Summary |
| | | | | | | | Meeting Date:
| September 10, 2019 |
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| | | | | | | | Title:
| Budget and Appropriation Adjustment Between FYs to School Capital Projects Fund for Timing of Payments for Courtland High School Renovation & Expansion |
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| | | | | | | | Type:
| Action, Appropriation |
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| | | | | | | | Agenda Title:
| Budget and Appropriation Adjustment Between FYs to School Capital Projects Fund for Timing of Payments for Courtland High School Renovation & Expansion |
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| | | | | | | | Recommendation:
| Staff recommends that the Board approve the School Board’s request for an increasing budget adjustment and appropriation in FY 2019 and an equivalent decreasing budget adjustment and appropriation in FY 2020 to correct the current deficit in the FY 2019 School Capital Projects Fund resulting from the acceleration of the Courtland High School Renovation & Expansion project. |
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| | | | | | | | Summary:
| The Courtland High School renovation and expansion project was budgeted over the course of FY 2018, FY 2019 and FY 2020. The project was accelerated towards the end of FY 2019 to ensure that all instruction areas would be completed and ready for occupancy at the start of the 2019-2020 school year. Acceleration of the work resulted in payments due to the vendor being accelerated in comparison to the original plan, as well. While the Courtland renovation and expansion project remains within the total budget originally planned over the three years in the CIP, funding anticipated to be paid in FY 2020 was actually paid out/accounted for in FY 2019 creating a timing issue with the availability of funds for the project. The result of the early completion and payment caused a deficit in the School Capital Projects Fund in FY 2019.
To resolve the current FY 2019 deficit, the School Board requests a budget adjustment and appropriation from the Board of Supervisors. This adjustment will increase the FY 2019 appropriation to the School Capital Projects Fund by $572,400 and will decrease the FY 2020 appropriation to the School Capital Projects Fund by the same $572,400. The increase in FY 2019 appropriations will be funded by $418,101 in interest earned on bond proceeds in FY 2019 along with $154,299 in School Capital Projects Fund balance from prior years’ interest earnings on bond proceeds. |
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| | | | | | | | Financial Impact:
| Please see the attached budget adjustments and appropriations. Note that the increasing budget adjustment and appropriation in FY 2019 is offset by an equivalent decreasing budget adjustment and appropriation in FY 2020. |
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| | | | | | | | Staff Contacts:
| Mary Sorrell, Director of Finance
Beckie Forry, Deputy Director of Finance for Accounting
Bonnie Jewell, Deputy Director of Finance for Budget |
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| | | | | | | | Additional Background/Other Considerations:
| The request for budget adjustment and appropriation is pending approval of the School Board at its September 9, 2019 meeting. |
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| | | | | | | | Consequence of Denial/Inaction:
| If denied, the School Capital Projects Fund will end FY 2019 with a budget deficit and appropriations will have been exceeded. |
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