TO: Honorable Board of Directors
FROM: Andrew Damron, General Manager
REPORT BY: Cyndi Bolden, Administrative Services Director
SUBJECT: Discuss and Provide Direction on a Budget Amendment for the FY 2024/25 Operating Budget
RECOMMENDATION
title
Discuss and provide direction to staff on a budget amendment to increase the FY 2024/25 Operating Budget by $700,000 to address unanticipated increases in electricity and chemical expenses.
body
EXECUTIVE SUMMARY
NapaSan has experienced unforeseen operational challenges during the current fiscal year that have resulted in higher-than-budgeted expenses in electricity and chemicals. These challenges have impacted process efficiency and increased overall consumption in these areas.
Staff is implementing strategies to reduce usage and improve budget forecasting going forward. However, to continue processing payments for necessary expenses through the end of the fiscal year, a modification or increase to the current appropriations is required.
Staff seeks input and direction from the Long Term Committee on how to proceed with this proposed budget adjustment.
FISCAL IMPACT
|
Is there a Fiscal Impact? |
Yes |
|
Is it currently budgeted? |
No |
|
Is it Mandatory or Discretionary? |
Discretionary |
|
Is the general fund affected? |
Yes |
|
Future fiscal impact: |
None |
|
Consequences if not approved: |
If the amendment is not approved, budget will need to be taken from other projects to pay for the increase to these expenses. |
ENVIRONMENTAL IMPACT
ENVIRONMENTAL DETERMINATION: None.
BACKGROUND AND DISCUSSION
None.