TO: Urban Renewal Agency Board
THROUGH: Keith Stahley, Executive Director
FROM: Josh Eggleston, Chief Financial Officer
SUBJECT:
title
Supplemental Budget 1 for unanticipated Urban Renewal Agency expenses related to the operation of the Salem Convention Center.
Ward(s): Ward 2
Councilor(s): Nishioka
Neighborhood(s): CANDO
Result Area(s): Strong and Diverse Economy
end
SUMMARY:
summary
The Salem Convention Center is experiencing more events and activities than projected during the development of the FY 2024 budget resulting in an increase in both revenues and expenditures. Approval of this resolution will increase budget authority for revenues and expenditures for the Salem Convention Center to accommodate this unanticipated increase in activity.
end
ISSUE:
Shall the Urban Renewal Agency adopt Resolution No. 24-09 URA, Fiscal Year 2024 Supplemental Budget 1, increasing the Convention Center Fund budget for unanticipated revenue and expenses related to operation of the Convention Center?
RECOMMENDATION:
recommendation
Adopt Resolution No. 24-09 URA, Fiscal Year 2024 Supplemental Budget 1, increasing the Convention Center Fund budget for unanticipated revenue and expenses related to operation of the Convention Center.
body
FACTS AND FINDINGS:
Convention Center Fund
Resources
Add: Food Sales, 345-68200000-32051, $1,340,000
Add: Equipment Rent, 345-68200000-34115, $100,000
Expenditures
Add: Other Professional Services, 345-68200000-52670, $900,000
Add: Transfers to Other Funds (Gain / Loss Reserve Fund), 345-68200000-62110, $540,000
The Convention Center is experiencing greater food sales and equipment rental revenue than previously anticipated during the creation of the FY 2024 budget. Expenditures necessary to support this increased program activity exceed existing budget appropriation authority. Expenditure appropriation authority is also needed to transfer net operating income to the Convention Center Gain / Loss Reserve Fund. The Gain / Loss Reserve Fund was established to cover the cost of operations in the event the convention center incurred an operating shortfall. The reserve is intended to be used for capital improvements and repairs to the facility and other approved expenditures associated with operations.
BACKGROUND:
ORS 294.471(1)(a) authorizes a supplemental budget when an occurrence or condition that is not ascertained when preparing the original budget or a previous supplemental budget for the current year or current budget period and that requires a change in financial planning.
Kelli Blechschmidt
Management Analyst II
Attachments:
1. Resolution No. 24-09 URA
2. Resolution No. 24-09 URA, Exhibit A
3. Resolution No. 24-09 URA, Exhibit B