Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Budget topic
No spam. Unsubscribe anytime.
Commission hears that parks contingency must stay near $1 million as revenues tighten
Summary
City finance staff told the Greenwood Parks Commission on Oct. 21 that the parks accounts face projected shortfalls and recommended maintaining a citywide contingency near $1 million, plus shifting eligible maintenance costs to sales-and-use-tax-funded accounts to reduce the deficit.
At its Oct. 21 meeting, Greenwood Parks Commission members were presented with a detailed budget update showing year-to-date shortfalls and a recommended contingency target of about $1 million for the city’s general fund. Staff said certain parks accounts are virtual subaccounts within the general fund and that $2,690 is currently held as restricted funds for a Michael City Lake Trail sign.
City finance staff told commissioners the parks department’s unrestricted balance has declined amid reduced event revenue and that projected nine-month revenues of about $241,000 contrasted with expenditures of roughly $258,000, producing a shortfall in the parks cost center. The presenter warned the commission that state rules prohibit deficit spending and that the practice of covering shortfalls from unrestricted reserves has reduced the city’s contingency over time.
To address the gap without cutting essential services, staff recommended reviewing eligible expenditures that could be funded by the city sales-and-use tax (referenced in the meeting as “section five” of the sales-and-use tax) — for example, repairs, signage, drainage, trails and other capital or maintenance costs the tax is designed to support. Staff said shifting roughly $28,000–$30,000 of eligible costs into the sales-and-use-tax-funded bucket could move the parks cost center closer to balance and generate a small surplus, while larger reclassifications across departments would be necessary to restore the broader contingency to the recommended level.
Commissioners asked for follow-up materials and clarification on which line items could be reclassified and whether any moves would require council approval. Staff emphasized the need to protect the contingency and to avoid ad-hoc deficit budgeting that counts on uncertain future tax growth.
The commission did not take a final vote on budget reclassifications at the meeting; staff said they would return with a budget scenario and documentation for the next sessions and to present to city council as needed.
