Supplemental budgets reflect adjustments made each year to show changes in revenues and expenditures that occur after the biennium budget is adopted
VANCOUVER — Members of the Vancouver City Council were presented with a preview of the city’s first supplemental budget of the year at a June 7 workshop. A first reading of the supplemental budget will take place at the June 14 regular council meeting, followed by a public hearing June 21.
Supplemental budgets reflect adjustments made each year to show changes in revenues and expenditures that occur after the biennium budget is adopted. The city council adopted the 2021-22 $1.3 billion budget in November 2020.
The expenditure increases for the city’s operating and capital funds proposed in the supplemental budget total $107.9 million. An increase of $50.7 million is aligned with recommended changes in the operating budget, with the remaining increase of $57.2 million representing changes in capital projects and supporting funding transfers.
The first supplemental budget of 2021 primarily includes administrative items, such as bond refinancing, carryforwards of project funding from 2020, grants related to stimulus support, and one-time investments that are now possible from an increase in revenues that were initially unexpected due to the coronavirus pandemic.
“The city’s financial position is strong, and we are pleased to have a positive outlook with better than expected revenues,” said Vancouver Chief Financial Officer Natasha Ramras. “The city acted conservatively when the pandemic hit to ensure stability when we were unsure how revenues would come in as businesses and residents were impacted by the economic downturn. We can now make the appropriate adjustments to ensure that capital projects, hiring needs and other administrative priorities move forward.”
Some of the key updates to the budget include adjustments to the general fund as well as one-time expenditures.
Revenue projections were updated to include an additional $8.9 million due to improved economic indicators, which allows for reinstatement of 20 full-time positions across the organization who were either furloughed or unfilled when the pandemic began.
Coupled with the use of $3.5 million in reserves, other highlights to the supplemental general fund, street and fire budget include:
- Adding four full-time employees to increase administrative support capacity
- One-time proposed investments, including:
- Turning the city’s Chkalov building into a police training facility
- Infrastructure and utilities design and construction drawings for the Heights District
- Updating critical areas code
- Complete Streets evaluation
- Building new streets for Section 30
COVID relief funds from the 2021 American Rescue Plan Act are not included in the supplemental budget.
The presentation on the proposed supplemental budget is available here: https://vancouvercity.novusagenda.com/agendapublic/AttachmentViewer.ashx?AttachmentID=4623&ItemID=1961
Information provided by city of Vancouver.