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HomeMy WebLinkAboutItem #08 Approval of Budget Adjustment for Vehicle Parts and RepairsOcoee "orida AGENDA ITEM COVER SHEET Meeting Date: September 16, 2014 Item # 0 Reviewed By Contact Name: Stephen C. Krug Department Director: Contact Number: 6002 City Manager: Subject: Approval of Budget Adjustment for Vehicle Parts and Repairs. Background Summary: Public Work's Fleet Division has experienced an excessive amount of general fund vehicle repairs in the current fiscal year which has strained the parts account line. The City entered into a contract with NAPA to operate the Fleet parts department which has allowed the City to enjoy considerable savings on parts ranging from 25% to 50% as the Fleet Team performs many of the major repairs in- house. However, during this fiscal year, several early model vehicles covered under the General Fund have required major engine and transmission rebuilding. The budget anticipates five (5) major engine or transmission rebuilds annually, however we have experienced major failures requiring either engine or transmission rebuilding in twenty one (21) vehicles. Nine (9) of the transmission repairs required outside vendor services. The excessive costs can be attributed in part to the twenty one (21) marked Police units that are over ten (10) years old and with more than 100,000 miles on the odometer and the increasing age of the Fire apparatus. Due to the extensive failures of multiple vehicles this year across all Departments, the Fleet Division parts account line requires a budget adjustment to complete the fiscal year. The adjustments will be transferred from the Police Department, Fire Department and Divisions within the Public Works Department. Issue: Request the City Commission approve the budget adjustment for the Fleet Division's vehicle parts and repair line. Recommendations: Recommend approval of transferring the following funds to the 001 - 541 -40 -4605 account line: $5,000.00 from 001 - 517 -00 -4100, $16,000.00 from 001 - 541 -10 -5303, $15,000.00 from 001- 541 -10- 5313, $20,000.00 from 001 - 521 -00 -1200 and $24,000.00 from 001 - 522 -00 -6401. Attachments: None. Financial Impact: The recommended transfer of available funds will maintain a balanced budget. Type of Item: (please mark with an "x') Public Hearing For Clerk's Dept Use Ordinance First Reading Consent Agenda Ordinance Second Reading Public Hearing Resolution Regular Agenda X Commission Approval Discussion & Direction Original Document/Contract Attached for Execution by City Clerk X Original Document/Contract Held by Department for Execution Reviewed by City Attorney 0 N/A Reviewed by Finance Dept. N/A Reviewed by ( ) N/A