HomeMy WebLinkAbout13 - Contract ClassesCITY OF NEWPORT BEACH
CITY COUNCIL STAFF REPORT
Agenda Item No. 13
December 12, 2006
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Wes Morgan, Director
Recreation & Senior Services Department — 644 - 3157 - wmorgan(a),citv.newport- beach.ca.us
SUBJECT: Budget Amendment — Contract Classes
RECOMMENDATION
Approve a budget amendment to increase Revenue by $378,000 and Expenditures by $332,968.
BACKGROUND
The PB &R Ad Hoc Budget Committee followed by the full PB &R Commission have each reviewed
and approved the staff recommendation to City Council for this Budget Amendment.
DISCUSSION
Contract classes are expected to grow by 38% in FY 2006 /07 with increased enrollment in surf camps,
specialty camps, sailing and pre - school programs. Staff could not have predicted such growth, and past
years increases had been based on a 5% annual growth. The continued growth stems from the popularity
of City summer program offerings, the great summer weather, as well as offering residents the opportunity
to register in mid - February instead of May. Staff has also worked with local hotels, the Newport Beach
Visitor & Conference Bureau, and stores to place the Summer Class and Camp Information in stores to
give tourists an opportunity to participate.
The majority of expenditures ($272,160) will cover the additional payments to contract instructors who
provide the classes /camps. As programs increase in size, additional funding is needed to help off -set
costs for additional facility maintenance and repair, mailing, office supplies, printing, and additional
pages in the Newport Navigator.
With the additional increase in customer service and supervision of the program, staff requests
additional funding for part-time staffing which will include a part-time Recreation Clerk (providing
customer service, registration, answering phones, and assisting customers with questions, etc.); part-
time Senior Recreation Leader II to help with the "auditing of increased classes /camps and the
assistance with the preparation of the summer and seasonal programs.
A one -time expense of $5,000 (4330 -8250) will be used to purchase office equipment, computer and
supplies for the start-up of the part-time employees and will be used in FY 2006/07.
Revenue projections reflect an additional increase of $378,000 in FY 2006/07 budget.
The revenue and expenditures will be ongoing for future budget years (expect 4330 -8250 funds)
REQUESTED FUNDING BREAKDOWN
Revenue
• Increase Revenue acct. 4330 -5150 — Fee -Based Classes' 275,000
• Increase Revenue acct. 4330 -5158 — Surfing Classes 80,000
• Increase Revenue acct. 4330 -5160 — Sailing Classes 23.000
$378,000
Increase in revenue originates from the number of participants and camps offered in
summer 2006, which included the 19th Street Wave Crashers, Ocean Adventures
Science Camps, Destination Science Camps, and from classes offered through the
Newport Navigator (Polynesian dance, digital photography, computer, violin, Baby Boot
Camp Exercise Class, guitar, body sculpting, etc.).
Budget Amendment — Contract Classes
December 12, 2006
Page 2
Expenditures
•
Increase Expenditure acct.
4330 -8080 —
Prof. & Tech. Services
272,160
•
Increase Expenditure acct.
4330 -70xx—
Salaries & Benefits
33,808
(Includes .60 FTE - PT Sr. Recreation Leader II &.50 FTE — PT Recreation Clerk)
•
Increase Expenditure acct.
4330-8100—
Travel & Meetings
1000
•
Increase Expenditure acct.
4330-8105—
Training
750
•
Increase Expenditure acct.
4330-8200—
Special Department Supplies
3250
•
Increase Expenditure acct.
4330-8250—
Special Department (one -time cost)
5000
•
Increase Expenditure acct.
4310-8050—
Postage, Freight
2000
•
Increase Expenditure acct.
4310-8030—
Maintenance & Repair of Equipment
2000
•
Increase Expenditure acct.
4310-8140—
Office Supplies
7000
•
Increase Expenditure acct.
4510-8250—
Newport Navigator Printing
6000
Submitted by:
Matthew Lohr, Recreation Manager
Approved by:
r)m /'�
Wes Morgan, Director
$332,968
City of Newport Beach NO. BA- 07BA -031
BUDGET AMENDMENT
2006 -07 AMOUNT: $33z,ge6.00
EFFECT ON BUDGETARY FUND BALANCE:
X Increase Revenue Estimates Increase in Budgetary Fund Balance
X Increase Expenditure Appropriations AND Decrease in Budgetary Fund Balance
Transfer Budget Appropriations X No effect on Budgetary Fund Balance
SOURCE:
from existing budget appropriations
from additional estimated revenues
NX from unappropriated fund balance
EXPLANATION:
This budget amendment is requested to provide for the following:
To inc rev & exp to cover additional costs associated with increased enrollment in contract classes and recognize
the additional revenue collected from the increased enrollment.
ACCOUNTING ENTRY:
BUDGETARY FUND BALANCE
Fund Account
010 3605
REVENUE ESTIMATES (3609)
Fund/Division Account
4330 5150
4330 5158
4330 5160
EXPENDITURE APPROPRIATIONS (3603)
vision
Account
4330
8080
4330
7030
4330
7425
4330
7460
4330
8100
4330
81.05
4330
8200
4330
8250
4310
8050
4310
8030
4310
8140
4510
8250
Signed:
Description
General Fund - Fund Balance
Description
Fee Based Classes - Fee Based Classes
Fee Based Classes - Surfing Classes
Fee Based Classes - Sailing Classes
Amount
Debit Credit
$45,032.00
$275,000.00
$80,000.00
$23,000.00
Description
Fee Based Classes - Services: Prof & Tech
$272,160.00
Fee Based Classes - Salaries: Temporary
$32,137.00
Fee Based Classes - Medicare Fringes
$465.86
Fee Based Classes - Retirement Part Time .
$1,205.14
Fee Based Classes - Travel & Meetings
$1,000.00
Fee Based Classes - Training
$750.00
Fee Based Classes'- Special Dept Supplies
$3,250.00
Fee. Based Classes - Special Dept Expense
5,000.00
Support Services - Postage, Freight
$2,000.00
Support Services - Maint & Repair. Equip
2,000.00
Support Services - Supplies: Office
$7,000.00
Rec & Sr Svcs Admin - Special Dept Exp
$6,000.00
/-2
nisTrative�'dl;rvices Director Date
City Manager Date
Signed:
City Council Approval:. City Clerk
Date