CITY OF HALLANDALE BEACH

MEMORANDUM

DATE: July 20, 2007

TO:                  Honorable Mayor and City Commission

FROM:            D. Mike Good, City Manager

SUBJECT: An Ordinance of the City of Hallandale Beach, Florida, Amending the City Code of Ordinances, Chapter 10, Budget and Taxation, Article II, "Budget Transfers", Section 10-31, "Authority for Budget Transfers"; Providing for Greater Flexibility and Utilization of Budgeted Funds; Providing for Conflicts; Providing for Severability; and Providing for an Effective Date (Second Reading).  CAD#030/07

Section 10-31 of the City’s Code of Ordinances grants the City Manager authority to transfer budgeted funds with certain restrictions.   The current ordinance does not allow for the City Manager to utilize lapsed salary funds to hire outside services while the position is vacant.  The City is competing with other companies and government agencies that offer higher salaries.  The proposed ordinance change grants the City Manager authority to utilize lapsed salary funds to hire outside services on a temporary basis while the position is vacant. 

Additionally, the proposed ordinance change removes the City Manager’s restriction on transferring from or to personnel services and capital improvement accounts, as well as, transferring funds into new accounts.  However, any transfer in excess of the City Manager’s purchasing authority requires City Commission notification.  These changes provide greater flexibility between City accounts to ensure the City funds are put to the best use.

The ordinance was passed on first reading on June 20, 2007 with the following amendment: the Ordinance was amended on line 48 whereby the City Manager would notify the Commission of the budget transfer exceeding the City Manager’s purchasing authority level at the time the transfer is initiated.  The notification would include the amount of the transfer and the cumulative amount spent.

It is recommended that this ordinance be adopted on Second Reading, as amended.

_____________________________              ________________

D. Mike Good, City Manager                                       Date

DMG/jf

CM07-235