Agenda Information Sheet
DEPARTMENT: Finance
CM/ ACM: Bryan Langley
Date: December 6, 2016
SUBJECT
Title
Consider adoption of an ordinance of the City of Denton, Texas amending the Fiscal Year 2016-17 Budget and Annual Program of Services of the City of Denton to allow for adjustments to the Tourist and Convention Fund of one hundred fifty six thousand seven hundred and twenty dollars ($156,720); declaring a municipal purpose; providing a severability clause; providing an open meetings clause; and providing for an effective date.
Body
BACKGROUND
The Tourist and Convention Fund reports the receipt and distribution of the City’s Hotel Occupancy Tax, which is levied at 7% of room rental rates. The Hotel Occupancy Tax Committee was created to monitor allocation and use of hotel occupancy tax funds, ensuring funds are being used to directly enhance and promote tourism and hotel/convention industry and to recommend organizations to receive funding to City Council. The Hotel Occupancy Tax Committee met on August 2, 2016 to review budget requests from various entities and develop a recommended budget for the Tourist and Convention Fund. The Committee’s recommended budget was presented to the City Council but not incorporated into the final adopted budget. The adopted budget was the same as the prior fiscal year $2,167,494 in error, and should have been the recommended budget of $2,324,214.
City staff is proposing to amend the City’s FY 2016-17 Budget to make this correction by increasing the Tourist and Convention Fund budget by $156,720 as recommended by the Hotel Occupancy Tax Committee. This would increase the expenditure budget for this fund from $2,167,494 to $2,324,214 for FY 2016-17.
RECOMMENDATION
Staff recommends adoption of the ordinance.
PRIOR ACTION/REVIEW (Council, Boards, Commissions)
On August 16, 2016 during the FY 2016-17 Budget and CIP work session, the City Council received and discussed the budget recommendation from the Hotel Occupancy Tax Committee. Council verbally recommended moving forward with the budget recommendation of the Hotel Occupancy Tax Committee.
FISCAL INFORMATION
This ordinance will amend the FY 2016-17 Budget and Annual Program of Services to allow for an increase to the Tourist and Convention Fund by $156,720, increasing appropriations from $2,167,494 to $2,324,214.
STRATEGIC PLAN RELATIONSHIP
The City of Denton’s Strategic Plan is an action-oriented road map that will help the City achieve its vision. The foundation for the plan is the five long-term Key Focus Areas (KFA): Organizational Excellence; Public Infrastructure; Economic Development; Safe, Livable, and Family-Friendly Community; and Sustainability and Environmental Stewardship. While individual items may support multiple KFAs, this specific City Council agenda item contributes most directly to the following KFA and goal:
Related Key Focus Area: Organizational Excellence
Related Goal: 1.1 Manage financial resources in a responsible manner
EXHIBITS
1. Ordinance
2. Tourist & Convention Fund Revenue and Expenditure Summary
Respectfully submitted:
Chuck Springer, 349-8260
Director of Finance
Prepared by:
Nancy Towle
Budget Manager