Consultant walks committee through 2024 budget amendments and 2025 capital rollovers

Ben Hart, a consultant with Banker Tilly, presented the committee with the city's 2024 year-end budget amendments and the proposed rollovers of unspent capital projects into the 2025 budget.

Hart told the committee that Missouri law requires budgets to be passed annually for each fund and that year-end amendments commonly capture revenue and payments that are reported after fiscal year close, particularly sales-tax receipts that are two months in arrears. "Sales tax is two months in arrears," Hart explained, describing why January and February receipts affect year-end accounting. He said the largest adjustments were related to economic-development debt service and surplus (one-time) payments on bond issues tied to projects such as the aquarium at the Boardwalk, IDA Branson Hills and Branson Landing.

Hart said the amendments also transfer operating fund appropriations to capital funds so that capital assets are recorded in capital funds (easier for auditors) and so previously approved projects remain fully funded as work continues into 2025. "If a project's approved, the cash goes there to spend on the project," he said. The packet presented to the committee showed roughly $13.7 million in capital projects rolling forward and other fund transfers to clean up ARPA balances and move project funding into dedicated capital funds.

ARPA and fund cleanups: Hart explained that ARPA (federal American Rescue Plan Act) allocations that were not fully obligated in 2024 were being closed out and transferred to public safety and other accounts where appropriate. He described those amounts as small relative to other amendments but noted the transfers were needed to reconcile 2024 accounts.

Questions and context: Committee members asked whether a planned fund for building demolition (earlier discussed during budget planning) was included; Hart and staff said that item was already included in the 2025 budget and that the city is obtaining legal guidance on whether the city has the authority to implement it as a fourth-class city. On parks funding, a committee member asked about a $70,000 ARPA allocation that Hart said was additional ARPA funding reallocated to a parks project.

What the committee did not do: The meeting record does not show a formal vote on adopting the budget amendments or rollovers during this session; the presentation and Q&A focused on explanation and staff intent to continue cleaning up fund accounting and to reduce the frequency and size of future amendments.

Staff said they aim to simplify the amendment process in future years and to limit amendments to critical economic-development items so the public packet is clearer. Hart and Allison said they plan to reduce the number of line items that require amendment and to provide clearer reporting for public consumption.

Closing: Hart answered committee questions and said staff would continue presenting budget details at the upcoming April meeting.