HomeMy WebLinkAboutREP FC 423 11/09/1987 1984-1988 V
`~= ' 'a111 REPORT OF THE
411 •
COMMITTEE ON FINANCE
Date: November 9 , 1987 Re: Comm. 1318
Place: Councilroom
Time: 10 :00 a .m.
Chairman and Members
Hawaii County Council
Hilo, Hawaii 96720
Your Committee on Finance , to which was referred Bill 434 , reports
as follows:
Bill 434 proposes to amend Ordinance 87-58 , the Operating Budget for
Fiscal Year 1987-88 , by increasing revenues in Highway Fund Account
No . 3609 .10 , Fund Balance from Previous Year , by $182 ,000 , and
appropriating same to the following accounts:
Account No . Function & Activity Amount
020-301-5301 .06-456 Highway Maintenance Admn. Equip. $ 96 ,000
(Construction & Repair Equip. )
020-301-5301 .06-480 Highway Maintenance Admn . Equip. 86 ,000
(Miscellaneous Equip. )
Total $182 ,000
Your Committee on Finance is aware that the Highway Fund ended the
1986-87 fiscal year with a fund balance of $732 ,776 .67 of which
$550 ,000 has already been appropriated in the current year 's budget ,
which leaves an unappropriated fund balance of $182 ,776 .67 .
Your committee has been made further aware that these funds will be
used to supplement similar equipment as follows:
Qty. Description Est . Unit Price Total Est . Cost
2 Extension Tractor Mowers $ 33 ,000 $ 66 ,000
1 Flail Tractor Mower 20 ,000 20 ,000
3 6-Passenger Dump Truck 21,000 63 ,000
1 6-Passenger Dump Truck 33 ,000 33 ,000
w/Tailgate
Total $ 107 ,000 $ 182 ,000
Your Committee on Finance heard testimony that the funds involved
are unappropriated and if the bill is not approved , the funds will
go unspent and it is important that the funds be spent to purchase
equipment as soon as possible .
FC REPORT NO . 423
ADOPTED : NOV 18 1997
111
FC- 423 Page 2 November 9 , 1987
Your committee also learned that the replacement of equipment is an
ongoing problem. While seven major pieces of equipment were
replaced last year , there is still an urgent need for more.
There was a general agreement that the Public Works Department be
allowed to purchase the new equipment that they had requested as
soon as possible . The Chief Engineer indicated that to wait for all
of the equipment needs of the various departments would be too
long . Also , the floating of bonds may delay the acquisition of the
much needed equipment by 8 to 12 months .
The Chief Engineer indicated that the reasons for the large fund
balance in the Highway Fund were: ( 1 ) the existence of a large
unanticipated revenue of about $200 ,000 ; ( 2 ) some monies were saved
by not filling some personnel vacancies; ( 3 ) there is always a
normal surplus in the closing of the operating budget .
Your Committee on Finance is in accord with the intent and purpose
of Bill 434 and recommends that it pass first reading .
4116A#1.6t4Ylian.....A
FRANK DE LUZ III , CHAIRMAN
LORRA R. IC HAKU-INOU E , V. . S L . K. DAHLBERG, MEMBER
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TAKASHI +OMINGO, MEMB F RUSSELL S. KOKUBUN,7MEMBER
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lugir SPENCER K. SCHUTTE, MEMBER
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