FY24 Adopted Budget

1. Personnel - Personnel costs account for approximately 74.5% of budgeted expenditures (excluding transfers out) within the General Fund in fiscal year 2024. Employee benefit costs are discussed in greater detail in the City Manager Address.

2. Services - Expenditures for services are budgeted at $12.6 million in fiscal year 2024. Initial projections were based on fiscal year 2023 original budgets.

Many of the operating costs within the services category have more specific inflationary guidelines and methods of projection. This includes funding for liability, fire & casualty insurance premiums; professional and consultant services; internal service fund charges (Equipment, Information Technology Services, Risk Management, and Central Services); training & education; building and equipment repair and maintenance services; vehicle and equipment rentals. These costs are adjusted individually each year, based on specific operating plans and projects, claims/loss history, trend analysis, and operations-specific needs, each year. The Services category also includes funding for initiatives such as Aid to Human Service Agencies, Community Event Funding, support to the Iowa City Coralville Convention & Visitors Bureau, and Community and Economic Development Assistance, as follows:

$696,500 Aid to Human Service Agencies $372,000 Community Event / Program Funding $362,300 ICCVB – Community / Economic Development Assistance $105,000 Economic Development Assistance

3. Supplies - Supplies consist primarily of commodities that are consumed or depleted, such as office and cleaning supplies, vehicle fuel and materials for repair and maintenance of buildings, streets, and equipment. Expenditures for supplies are budgeted at $2.1 million in fiscal year 2024. Individual items costing under $5,000 are considered supplies. This limit is consistent with the threshold utilized to capitalize assets for the annual report. 4. Capital Outlay – The general fund capital outlay is budgeted at $1.5 million in fiscal year 2024 and includes police vehicle replacements, library materials, operating equipment, South District Properties, and building maintenance and improvements of $5,000 or greater. 5. Contingency - A General Fund contingency amount is established each fiscal year for those unforeseen expenditures that arise following formal adoption of the annual budget. This amount is available for appropriation by formal amendment, subject to recommendation from the Finance Director and City Manager, and approval by City Council. Contingency is budgeted at one percent (1%) of General Fund expenditures (excluding transfers) - approximately $672,000 in fiscal year 2024. In fiscal year 2023, a new contingency was added within the Fire Department to begin preparing for the eventual addition of another fire station and amounts to $400,000 in fiscal year 2024.

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