Minutes 11/28/2017 - Laserfiche WebLink

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November 28, 2017 Motion by Ms. Lucas-Burke, and seconded by Ms. Psimas, to adopt the following ordinance, and was adopted by the following vote: “ORDINANCE AUTHORIZING THE ISSUANCE AND SALE OF CITY OF PORTSMOUTH, VIRGINIA GENERAL OBLIGATION REFUNDING BONDS.” Ayes: Cherry, Clark, Lucas-Burke, Moody, Psimas, Whitaker, Rowe Nays: None 17 - 511 - Adoption of an ordinance authorizing the transfer of $331,500 from the Non-Departmental, Salary – Employee Bonus line item in the FY 2018 General Fund budget to the Non-Departmental, Benefits – Retiree Supplement line item in the FY 2018 General Fund budget for the purpose of funding a one-time supplement in the gross amount of $500 to certain retirees under the Portsmouth Supplemental Retirement System and the Fire and Police Retirement System. Background:  Per City Code, City Council is required to approve all budget transfers over $100,000.  On November 13, 2017, there was a consensus of City Council to provide a $500 supplement to certain retirees in the city’s closed retirement plans, the Portsmouth Supplemental Retirement System (PSRS) and the Fire and Police Retirement System (FPRS). The agreed upon criteria for the supplement was that it would apply only to (1) retirees with 20 years of service in the city and (2) all retirees that retired on disability.  The total number of retirees receiving the supplement is approximately 663, which equates to $331,500.  Anticipated non-departmental salary bonus savings will be utilized to fund the retiree supplement. Although still early in the fiscal year, there appears to be some savings available attributable to staffing and attrition variances. Discussion:  The annual budget is a plan that may require adjustments as circumstances change. Sound financial policy is to cover increase in operational expenses with savings from other expenditure accounts or with increases from additional current year revenue.  The proposed ordinance confirms the transfer of savings from the FY 2018 Non- Departmental, Salary - Employee Bonus line to the Non-Departmental Benefits - Retiree Supplement line.  It is anticipated that the supplemental payment to eligible retirees will be made in January 2018. Financial Impact:  This budget transfer will allow the city to provide a supplement to eligible PSRS and FPRS retirees. There is no impact to fund balance as current year expenditures savings will cover the transfers. Recommended Action:  Adoption of the ordinance. Next Steps Following Council Action:  The Finance Department will complete the necessary budget adjustments. 1. Mark Geduldig-Yatrofsky, P. O. Box 50141, spoke in opposition to this item. Motion by Ms. Psimas, and seconded by Mr. Moody, to adopt the following ordinance, and was adopted by the following vote: