Title
Support amending the Fiscal Year 2024-25 Adopted Budget for the County Administrative Office Contracts & Purchasing (001-1050-CAO002-8047), to increase appropriations by $28,140, financed by an increase in estimated revenues by $8,040, and a decrease in appropriations of $20,100 in the County Administrative Office Administration & Finance (001-1050-CAO001-8045).
Report
RECOMMENDATION:
It is recommended that the Budget Committee support amending the Fiscal Year 2024-25 Adopted Budget for the County Administrative Office Contracts & Purchasing (001-1050-CAO002-8047), to increase appropriations by $28,140, financed by an increase in estimated revenues by $8,040, and a decrease in appropriations of $20,100 in the County Administrative Office Administration & Finance (001-1050-CAO001-8045).
SUMMARY:
In preparation for the Fiscal Year (FY) 2024-25 fiscal year-end close, the County Administrative Office (CAO) has prepared an analysis of the budget to actuals by appropriation unit. The CAO forecasts one unit will exceed appropriations primarily due to unbudgeted emergency pay in response to the Vistra Moss Landing Fire, retirement/ leave accrual payouts, and an overage in property insurance. To address the deficit, the CAO is requesting a transfer of appropriations within the department and an increase in budgeted revenues attributed to County Surplus Program sales.
DISCUSSION:
The FY 2024-25 Adopted Budget for the CAO Contracts & Purchasing is forecasted to exceed its budget by $28,140. The overage is primarily attributed to two retirement/ leave accrual payouts totaling $5,646, an overage in property insurance costs totaling $5,637, and emergency pay in response to the Vistra Moss Landing Fire totaling $5,476.
To address the deficit, the CAO is requesting a transfer of appropriations within the department totaling $20,100, and an increase in budgeted revenues totaling $8,040 to account for sales revenue from the County Surplus Program.
During FY 2024-25, Contracts & Purchasing provided support for the Vistra Moss Landing Fire. Contracts & Purchasing serves as the Logistics Section for the Emergency Operations Center (EOC) and continues to provide ongoing support for disasters. The Logistics Section leads the effort to secure services and products for emergency local assistance efforts. During this event, Logistics was activated and in operation to establish critical components of an initial response team to mitigate community risks, respond to Mission Resource Requests, secure minimum wrap-around services, a small food program, and respond to other matters as necessary.
Under Monterey County Code 2.32.100, the Contracts & Purchasing Office manages the County Surplus Program. Items no longer needed by the County are offered to the public through online auctions and in-person live public sales. The typical surplus property includes a variety of items such as vehicles, desks, chairs, bookcases, file cabinets, and other equipment.
OTHER AGENCY INVOLVEMENT:
None.
FINANCING:
The recommended actions will transfer appropriations between the CAO appropriation units and increase estimated revenues. The recommended actions will increase the appropriations for Contracts & Purchasing (CAO002) by $28,140, offset by a reduction in appropriations in Administration & Finance (CAO001) by $20,100, and increase estimated revenues in Contracts & Purchasing (CAO002) by $8,040. The flexibility in Administration & Finance is primarily attributed to salary savings.
Prepared by: Debra Wilson, Contracts & Purchasing Officer, ext. 4995
Approved by: Nick Chiulos, Chief Assistant County Administrative Officer, ext. 5145
Attachment: FY 2024-25 Year-End Forecast