HomeMy WebLinkAboutCOM 0121.000 2004-2006 ~iY 0• M
Harry Kim ~ William Takaba
Mnyor Diru(or
, Nancy E. Crawford
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County of Hawaii
Finance Department
25 Aupuni Street, Room 118 Hilo, Hawaii 96720
(808)961-8234 • Pax (808)961-8248
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February 16, 2005 l,me.U..,~s-Q-m By_-_tSC! -
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Gary Safarik, Chairman and c~~~*y coundl
Members of the Hawaii County Council
Hawaii County Council
25 Aupuni Street
Hilo, Hawaii 96720
Re: GENERAL FUND'S FUND BALANCE
On October 7, 2004, Mayor Harry Kim transmitted a letter to the County Council, certifying a balance
of $6,697,734.37 in the General Fund's fund balance as of June 30, 2004. Of that amount, the
Council has already approved an appropriation of $4,042,488 to various accounts to meet County
needs. During the past few weeks, the administration has met with members of the Council to inform
them of needed priorities and to gather their input on the remaining allotment of the fund balance.
There were no special requests for projects from Council and several members mentioned County
Building repairs as a priority, so it is proposed that some of the remaining funds be transferred to CIP
for support of those renovations.
Attached is a list of our fund balance proposals showing the breakdown of the appropriations and a
brief explanation on how the funds are to be used.
Also enclosed is a bill for an ordinance amending the Operating Budget increasing the General Fund's
Fund Balance of the Previous Year account by $1,704,750 and then appropriating it to various
departmental and miscellaneous accounts.
Should you have any further questions, please feel free to call me or the contact person noted on the
attached proposals list.
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William Takal a
Director of Finance
APPROVED:
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Harry Kim
Mayor Comm. No. I2'
Ref. To:
Enc. Ref. Core 1 t
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< (jLQ,Q ~d / Hawaii County is an Equal Opportunity Provider and Employer
FUND BALANCE PROPOSALS
(listed in the same order as shown on the appropriation bill)
Clerk-Council Services (Contact Person: Connie Kiriu):
$42,000 OCE (Miscellaneous Contractual Services):
Funding is requested for the County's contribution to cost of hosting annual NACO
conference in Honolulu.
Finance (Contact Person: Nancv Crawford):
$200,000 OCE (Miscellaneous Contractual Services):
Funding is requested for additional costs associated with the County's migration
from the Wang accounting systems to the new FRESH system. Software
modifications are required to accommodate the County's unique payroll system.
There have also been costs associated with the increase in time required to
implement the payroll system. Other modules require some customization to
achieve the maximum benefit for the County.
Finance (Contact Person: Nancv Crawford):
$18,000 Accounts Division - S&W (Overtime):
Accounts Division has a small staff and the additional work associated with the
Fresh conversion, while maintaining normal operations, has required overtime
which was not included in the original budget.
Finance (Contact Person: Mike Okumoto):
$10,000 Treasury - OCE (Misc Contract Services):
The County of Hawaii was randomly selected by the IRS for an audit of our 1993
general obligation bonds. Our bond counsel for this issuance recommended that
we be represented by legal experts in responding to the IRS. The audit was un-
anticipated at the time the current budget was established.
$36,750 Treasury - OCE (Misc Materials & Supplies):
Due to the increase in motor vehicle registrations the current inventory of license
plates is depleting faster than anticipated and must be supplemented to complete
the fiscal year.
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Planning (Contact Person: Chris Yuen):
$12,000 S&W (Planner V):
The Council previously provided funds for community development planning. The
department does not currently have staff available to oversee the implementation
of the community plans. Due to the high volume of permit activity additional staff is
needed for plan review. The funding requested represents three months of salary.
Civil Service (Contact Person: Mike Ben):
$32,000 S&W (Overtime):
Civil Service has limited staff and the additional work associated with the Fresh
Human Resources conversion has required overtime, which was not anticipated in
the original budget.
Public Works:
$40,000 Building Maintenance Division - OCE (Mist Contract Services) - (Contact Person:
Brian Kajikawa):
Central Fire Station roof is in need of repair. Funds will be used for architectural
consultant services to prepare the necessary construction specifications.
$300,000 Automotive Division - OCE (Fuels & Lubricants) - (Contact Person: Randy Riley):
Fuel costs for gasoline and diesel fuel have increased by 40% and 70%,
respectively since the current year budget was estimated. As a result the fuel
account does not have adequate funds to complete the year.
Parks & Recreation (Contact Person: Pam Mizuno):
$9,000 Administration - S&W (Architectural Drafting Technician II):
Historically and currently P&R has relied upon Department of Public Works
Building Division to provide drafting and design services for renovations and
improvements. The project workload at P&R exceeds what Building Division can
support in addition to the other facilities for which they are responsible. The result
is that the number of projects that can be completed is limited. Establishing this
position will shorten the time for completion of ADA and other renovations. The
funding requested represents three months of salary.
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$30,000 Maintenance -Equip (Motor Vehicle):
The current budget included the purchase of a refuse truck improve efficiency and
safety in collecting garbage at various parks. The low bid purchase price for the
truck exceeded the budget estimate. P&R was able to cover some of the excess
cost by purchasing surplus equipment and deferring other purchases, but
additional funds are still needed to meet the purchase cost.
Miscellaneous:
$675,000 Transfer to Capital Projects Fund:
This supplemental funding will be used to cover a portion of the cost of roofing
repair and renovation of the County Building.
$300,000 Employee Health Plans:
Health Fund costs will exceed the current year budget by approximately
$300,000 because actual increases for retirees were more than anticipated.
Additionally, the Health Fund budget was cut by about $134,000 from its
original submitted amount.
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