Budget discussion reveals Jensen Olson Arboretum's $112K drawdown from trust fund

The Assembly Finance Committee of Juneau City and Borough convened on April 6, 2025, to discuss various budgetary matters, with a particular focus on the Jensen Olson Arboretum's funding and financial status.

The meeting began with inquiries regarding the arboretum's budget allocation of $112,000. Committee members sought clarification on whether any of this funding was sourced from the arboretum's trust. It was confirmed that the amount represents a drawdown from the trust's interest, rather than the principal amount set aside. This annual drawdown contributes to the parks and recreation budget, which is responsible for maintaining the arboretum.

Further discussions revealed concerns about the arboretum's fund balance, which was noted to be negative. Members referenced specific pages in the budget book to clarify the financial details. It was highlighted that while the arboretum has an available fund balance of $866,000, there is a significant reserve of $2,097,200 that cannot be accessed.

The committee also discussed the implications of the anticipated drawdown, which is projected to exceed the interest earned this year. Specifically, it was noted that the arboretum would draw down $112,000 while expecting to earn only $85,000 in interest, resulting in a net decrease of approximately $26,900 in available funds.

The meeting concluded with members agreeing to follow up on specific questions offline, ensuring that all concerns regarding the arboretum's financial health would be addressed thoroughly. Overall, the discussions underscored the importance of careful financial management for the Jensen Olson Arboretum as it navigates its funding challenges.