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Agenda 12/16/2008 Item #16F 4 Agenda Item No, 16F4 December 16, 2008 Page 1 of 2 EXECUTIVE SUMMARY Recommendation to authorize Budget Amendments for the Conservation Collier Land Maintenance Fund (174) and Debt Service Fund (272) to insure adequate cash balance for the January 1, 2009 debt service payment. OBJECTIVE: Board of County Commissioners authorization of budget amendments to insure an adequate cash balance is available for the CDnservation Collier bonds principal and interest payment due on January 1, 2009. CONSIDERATIONS: The CDnservatiDn Collier Debt Service Fund (272) was established In FY 2007 to separate bond debt service payments from the Conservation Collier Land Acquisition Fund (172), There is a separate ad valorem levy for this Debt Service Fund (272) that provides the money required each fiscal year to fund debt service payments, Debt service payments for interest are made semiannually on January 1 and on July 1 each year. Principal payments are made once a year on January 1. AlthDugh December is the largest month for ad valorem receipts, cash available for the January 1, 2009 payment, which includes both principle and interest, will not be sufficient. Due to the timing of ad valorem tax receipts, staff estimates there will be a cash shortfall of approximately $750,000 on January 1, 2009, This shortfall will correct itself with ad valorem collections received during the month of January, 2009, However, in order to insure an adequate cash balance for the January 1, 2009 payment, staff is recommending a transfer of cash from the Conservation Collier Land Maintenance Fund (174) Reserves. This shortfall, which occurs every January 1, will be corrected in future years through the budget process. FISCAL IMPACT: In late December, 2008 the amount needed to complete the Conservation Collier Debt Service Fund (272) payment will be transferred from the Conservation Collier Land Maintenance Fund (174) Reserves, As soon as ad valorem receipts for debt service become available in January, 2009, an equal amount will be transferred from the Debt Service Fund (272) back into the Land Maintenance Fund (174) Reserves. This amount will not exceed $750,000 and is currently available in the Land Maintenance Fund (174) Reserves. GROWTH MANAGEMENT IMPACT: There is no growth management impact associated with this item, RECOMMENDATION: That the Board authorizes the necessary budget amendments in order to insure an adequate cash balance at the lime of the debt service payment on January 1, 2009, PREPARED BY: Laura Davisson, Analyst, Office of Management and Budget "''''-'-'1" .... Page I of 1 Agenda Item No. 16F4 December 16, 2008 Page 2 of2 COLLIER COUNTY BOARD OF COUNTY COMMISSIONERS Item Number: Item Summary: 16F4 Meeting Date: Recommendation to authorize Budget Amendments for the Conservation Collier Land Maintenance Fund (174) and Debt Service Fund (272) to insure adequate cash balance for the January 1, 2009 debt service payment 12116/20089:0000 AM Approved By Skip Camp, C.F.M. Facilities Management Director Date Administrative Services Facilities Management 1213/20085:00 PM Approved By Melissa Hennig Administrative Services Environmental Specialist Facilities Management Date 1214120089:21 AM Approved By Len Golden Price Administrative Services Administrator Date Administrative Services Administrative Services Admin. 1214/20083:21 PM Approved By Jennifer A. Belpedio County Attorney Assistant County Attorney County Attorney Office Date 1215120084:07 PM Approwd By OMB Coordinator Applications Analyst Information Technology Date Administrative Services 12/5/20084:15 PM Approved By Laura Davisson Management & Budget Analyst Office of Management & Budget Date County Manager's Office 12/5120084:17 PM Approved By James V. Mudd County Manager Date Board of County Commissioners County Manager's Office 12/5/20087:44 PM file://C:\AgendaTest\ExDort\ 118-December%20 16,%202008\ 16.%20CONSENT%20AGE.., 12/1 0/2008