§ 40-63. Budget.

(a)

Generally. The board shall submit a proposed budget to the council for adoption in accordance with article V, sections 506 and 509 of the Charter. The annual budget shall be a complete financial plan for the ensuing fiscal year, consisting of an operating and a capital budget conforming to article V, section 509 of the Charter, and the items listed in subsection (c) of this section. Should the council fail to adopt the department's proposed budget on or before the start of the ensuing fiscal year, the latest approved budget of the department shall be the budget of the department until the council adopts a new budget for the ensuing fiscal year. Budget changes shall be recommended by the board to the council for consideration for approval.

(b)

Financial review. Prior to the end of the fiscal year, the board shall review the actual revenues and expenditures as submitted to it by the director and determine and recommend to the council the amounts to be classified as operating profit pursuant to article V, section 509 of the Charter. The amount recommended by the board to be classified as operating profits and any interest thereon shall be transferred, unencumbered at the end of the fiscal year, to the general fund. For revenue in excess of that budgeted as operating profits, the board may recommend such excess revenue for utility use. Excess revenue shall be deposited, with interest, in a separate account. No expenditures or transfers shall be made from this account until the recommendations of the board are acted upon by the council at a regular meeting. Final determination of the excess revenue shall be based upon the reconciliation of the department accounts according to the annual audit conducted by the independent certified public accountant. Any adjustment of the operating profit shall carry with it accrued interest thereon and must be acted upon by the council within 30 days of the audit completion and after consideration of the audit and board recommendations.

(c)

Budget items. The budget shall include, but not be limited to:

(1)

A projection of revenues from commodity sales of each utility system by customer type, interest income, service fees and other sources;

(2)

Reserve accounts required by the Charter, bond ordinances and bond indentures;

(3)

A projection of normal expense for each utility system;

(4)

A projection of funds required for each replacement and addition and improvement project and a statement of objectives and schedule for their completion;

(5)

A projection of funds needed for contingencies;

(6)

A schedule of funds in accordance with section 40-65;

(7)

A capital-asset budget indicating new equipment associated with department projects;

(8)

A projection of bond payments, redemptions and other transactions under the bond ordinance or indentures;

(9)

A staffing schedule of the department showing the number of persons assigned to department projects and programs and changes therein for the fiscal year;

(10)

A five-year plan update showing the status of the replacement and addition and improvement projects of the department;

(11)

An amount for planning purposes for each fiscal year of at least five percent of the electric and gas utilities gross retail revenue and exclusive of that from the county and schools for commodities for their sole use, and an additional amount representing a percentage of the revenue from the Department of Energy, generated as a result of the Department of Energy/County Joint Power Pool Coordination Agreement, for transfer to the general fund as operating profits;

(12)

The disposition of net county revenues, if any, generated as a result of economy energy sales, bulk power sales, or brokered power sales shall be governed by subsection (b) of this section.

(d)

Capital project program plan. In addition to items listed in subsection (c) of this section, the utilities board shall submit a capital project program plan which includes the following information concerning any planned capital project: program justification, funding sources, a proposed schedule and completion date, breakdown of elements into projected contracts with estimated costs; and other necessary financial information.

(e)

Plan approval. A capital project program plan approved by the council shall require no further council action aside from the normal consent calendar process except any contract costs or commitments which exceed, or are anticipated to exceed, the total original budget estimates.

(f)

Written notice. The utilities board shall provide notice, in writing, for its approval of any deviation from the capital project program plan to the council.

(Ord. No. 85-20, § 1, 1985; Ord. No. 85-39, § 1, 1986; Ord. No. 85-76, §§ 2—4, 1987; Code 1985, § 13.03.030)