Harrisville council approves budget amendment allowing up to $2 million transfer to capital projects

Harrisville — The Harrisville City Council on June 24 adopted Resolution 25-06 amending the fiscal 2024–25 budget and authorized the budget officer to transfer up to $2,000,000 in excess revenue to capital projects, public-safety construction or debt service.

Council staff described the amendment as a year-end balancing measure that consolidates some line items and gives the city flexibility to close out capital work and cover anticipated project costs. “We’re only able to open it twice a year,” said Helen, council staff, explaining the timing and limits on budget adjustments.

The nut graf: The change provides the city one of two annual opportunities to adjust the adopted budget to reflect actual revenues and expenses. Staff said the move is intended to ensure compliance with state budget rules, let the city finish payments on current capital projects and set aside funds for planned construction such as a public-safety building. Staff removed a prior request to transfer money for a storm-sewer project after determining the transfer notice wording required by state rules was not met.

City staff told the council the amendment collapses some revenues into broader categories at the auditor’s direction and moves money within the capital fund to pay outstanding invoices. Staff said restricted revenue streams, such as impact fees and other restricted taxes, cannot be transferred and must be spent for their designated purposes.

During discussion, staff said the proposed $2,000,000 cap on transfers reflects auditor guidance and is intended to be a not-to-exceed amount for flexibility at year end. Staff also said the council typically reviews financials monthly and that this authority would be used only to correct variances and finish identified capital projects. Council members asked for figures on outstanding payments for the public works building and Pelham Works construction; staff said specific remaining invoice amounts were not available at the meeting and would be provided at a future meeting.

A motion to adopt Resolution 25-06 and allow the budget officer to transfer up to $2,000,000 of excess revenue to capital projects, construction costs (including a public-safety building) or debt service passed on a roll-call vote. Council member Christensen, Council member Faucette, Council member Jackson, Council member Williamson and Mayor Weiss voted yes; the motion carried.

Staff will proceed under the newly adopted resolution and return with itemized figures on outstanding project invoices at a subsequent meeting.