To: Board of Supervisors
From: Sheriff
Agenda Section: Consent
SUBJECT:
title
Appropriation Transfer Request of Sheriff Grant Budget Units to Sheriff Operations Budget Unit 1100-221
end
RECOMMENDATION(S):
Recommendation
That the Board of Supervisors:
1. Approve an Appropriation Transfer request in Fiscal Year (FY) 2019-20 to move Sheriff Grant Budget Units appropriations to the Sheriff Operations budget unit 1100-221 effective July 1, 2019 as detailed in the discussion and Attachment 1-4.
Body
SOURCE OF FUNDING:
General Fund
Sheriff Grant Funding from multiple sources
DISCUSSION:
The Humboldt County Sheriff’s Office (HCSO) recommended a budget reorganization for fiscal year 2019-20 to improve transparency and accounting of HCSO grants. At the time of budget submission, the accounting option to achieve this transparency was to create separate budget units for each grant. However, due to recent discussions between the Auditor-Controller’s Office and County Administrative Office (CAO) regarding restructuring the county’s chart of accounts, staff believes there is a better option to record the financial activity of these grants.
In order to ensure departments continue to have the tools necessary for grant claiming and expense tracking, an expanded 10-digit “organization key” has been developed. This 10-digit organization key provides for the ability, when needed, to track expenditures as they relate to specific funding sources. The organization key structure is an acceptable accounting practice according to state standards, and is a practice being used by other jurisdictions in California. Below is a chart illustrating the organization key structure:
In the illustration above, the fund “1100” refers to the General Fund; Budget Unit “221” refers to the Sheriff’s Office; and the Organization Key refers to the funding source, which is described in the budget unit name. This method of categorization will allow for greater transparency because readers can simply follow the budget unit number to see which department is in control of the funding.
The Auditor-Controller, CAO, and HCSO have met and recommend that the HCSO grant budgets be moved into the 10-digit organization key structure for fiscal year 2019-20. After evaluating the mechanism to achieve this objective, while maintaining the integrity of historical data, staff recommends that the below six budget units be appropriated to the Sheriff’s Operations budget unit (1100-221), with the specific funding source to be designated through a 10-digit organization key. The six budget units are brand new budget units and have no historical data that would be impacted by this appropriation transfer.
The below four budget units have historically been segregated into distinct budget units to allow for tracking of expenses for specific funding sources. Given the 10-digit organization key structure provides for this capability, staff recommends that the fiscal year 2019-20 budgets be appropriated to Sheriff’s Operations (budget unit 1100-221) and arranged by a the 10-digit organization key. See attachments 1 through 4 detailing the aforementioned appropriation transfer requests.
FINANCIAL IMPACT:
The Sheriff’s Operations budget (1100-221) for FY 2019-20 will increase by $1,218,563 or 6.7% due to changes in local accounting practices. Ten budget units (detailed above and within Attachments 1-4) are proposed to be appropriated in to 1100-221 and categorized within this budget unit by organization key. The overall budget for the Sheriff’s Office remains unchanged. There is no impact to the county’s General Fund.
STRATEGIC FRAMEWORK:
This action supports your Board’s Strategic Framework by providing for and maintaining infrastructure .
OTHER AGENCY INVOLVEMENT:
Humboldt County Auditor-Controller’s Office
Humboldt County Chief Administrator’s Office
ALTERNATIVES TO STAFF RECOMMENDATIONS:
The Board may decide to deny this request, however that is not recommended as it prohibits advancement towards more efficient and transparent government.
ATTACHMENTS:
Attachment 1 - Budget Transfer for EMPG Grant, BU 274 to 221850
Attachment 2 - Budget Transfer for HSGP 1 Grant, BU 213 to 221810
Attachment 3 - Budget Transfer for Boating Safety Grant, BU 229 to 221900
Attachment 4 - Budget Transfer for DCESP Grant, BU 228 to 221930
PREVIOUS ACTION/REFERRAL:
Board Order No.: N/A
Meeting of: N/A
File No.: N/A