RESOLUTION NO. 2025-005
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON
AUTHORIZING AND APPROVING MID-YEAR BUDGET
APPROPRIATIONS AND AMENDING THE ANNUAL OPERATING AND
CAPITAL BUDGET FOR FISCAL YEAR 2024-25
SECTION 1. Recitals.
A. On June 4, 2024, the City Council of the City of Vernon adopted Resolution No. 2024-08, approving the annual operating and capital budget for Fiscal Year 2024-25.
B. Changes in anticipated expenditures of the City require a revision of the appropriations for Fiscal Year 2024-25 and amendment of the budget by the affirmative vote of a majority of the members of the City Council, pursuant to Vernon Charter Chapter
8.5. C. There are sufficient funds in anticipated revenues and City-wide fund balance to cover the proposed budget adjustments.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF VERNON AS FOLLOWS:
SECTION 2. The City Council of the City of Vernon finds and determines that the above recitals are true and correct.
SECTION 3. Pursuant to Chapter 8.5 of the Charter of the City of Vernon, a majority of the members of the City Council hereby approves the mid-year budget appropriations in the table below.
Fund Department/
Division
Revenue/
Expense GL Account Description Adjustment Amount
011
General
Fund
Balance
011-000-000-301005
Economic
Uncertainties
Reserve
Allocation to committed
reserves from Unassigned
Fund Balance
7,300,000
Committed Reserves
$7,300,000
011
General
415 -
Facilities
Maintenance
Expense 011-040-415-660000
Capital Outlay
Repair cooling problem in
City Hall data/Fiber rooms
450,000
General Fund Subtotal
$7,750,000
Resolution No. 2025-005
_______________________
Fund Department/
Division
Revenue/
Expense GL Account Description Adjustment
Amount
055
Electric
575 -
Customer
Service
Revenue 055-450-575-450010
Sale of Electricity
Decrease due to lower
electric load
9,990,000
055
Electric
590 -
Resource
Management
Revenue
055-450-590-450011
Sale of Electricity
Wholesale
Increase due to increased
RA Capacity sales
(5,892,500)
055
Electric
555 -
System
Dispatch
Expense 055-050-555-526000
Utilities
Dark Fiber interfund
charges
51,000
055
Electric
570 -
Building
Maintenance
Expense
055-050-570-529000
Repairs &
Maintenance
Budget transfer for
janitorial services
134,000
055
Electric
570 -
Building
Maintenance
Expense
055-050-570-529215
Professional Services
- Other
Budget transfer for
janitorial services
(134,000)
055
Electric
586 -
Malburg
Generation
Station
Expense
055-050-586-529000
Repairs &
Maintenance
Unforeseen plant
maintenance expenditures
1,000,000
055
Electric
586 -
Malburg
Generation
Station
Expense
055-050-586-529001
Long-Term Plant
Maintenance
Siemens LTSA taxes and
escalation
259,000
055
Electric
586 -
Malburg
Generation
Station
Expense 055-050-586-529005
Gas Turbine
Siemens blanket change
order
65,000
055
Electric
590 -
Resource
Management
Expense 055-050-590-520150
Energy Other
Lower than expected
energy market prices
(7,000,000)
055
Electric
590 -
Resource
Management
Expense
055-050-590-520154
Renewable Energy
Credit
Higher than budgeted
Renewable Energy Credit
charges
5,000,000
055
Electric
590 -
Resource
Management
Expense 055-050-590-520160
Natural Gas Expense
Lower natural gas market
prices
(3,000,000)
055
Electric
590 -
Resource
Management
Expense 055-050-590-520240
FERC Filing Charges
Increased FERC filing
charges
120,000
Electric Fund Subtotal
$592,500
Resolution No. 2025-005
_______________________
Fund Department/
Division
Revenue/
Expense GL Account Description Adjustment
Amount
058
Water 700 - Water Expense
058-070-700-529225
Professional Services
- Technical
Water Seismic
Assessment Study
150,000
058
Water 700 - Water Expense 058-070-700-660000
Capital Outlay
Fire/Emergency
Preparedness: Generator
for Well 21 and Well 21
Assessment/Repair
500,000
058
Water 700 - Water Expense
058-070-700-660010
Capital Equipment -
Auto
Replace Water Vehicle
W112
85,000
Water Fund Subtotal
$735,000
059
Fiber
Optics
800 - Fiber
Optics Expense
059-080-800-529000
Repairs &
Maintenance
Increased repair and
maintenance expenses
82,000
Fiber Optic Fund
Subtotal
$82,000
Grand Total
$9,159,500
SECTION 4. The Annual Operating and Capital Budget for Fiscal Year 2024-25, adopted by Resolution No. 2024-08, is hereby amended to include the mid-year budget appropriations.
SECTION 5. The City Clerk or Deputy City Clerk shall certify the passage and adoption of this resolution and enter it into the book of original resolutions.
APPROVED AND ADOPTED March 4, 2025.
________________________
JUDITH MERLO, Mayor
ATTEST:
YONNIE PARKER, Deputy City Clerk
(seal)
APPROVED AS TO FORM:
ZAYNAH N. MOUSSA, City Attorney