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Budget Resolution for Reimbursement of Various Administrative Charges From Capital Municipal Service Benefit Unit Funds to Transportation Trust and Constitutional Gas Tax Funds and Close-Out of Sixteen Municipal Service Benefit Unit Funds
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BRIEF OVERVIEW
The Department of Public Works currently has 16 Municipal Service Benefit Unit's (MSBU')s that have completed their non-ad valorem assessment collection period and debt service payments, and now require the MSBU Fund be closed-out. County Policy 16-1, IV, H provides that:
"In the case when an individual MSBU is closed-out, residual monies remaining in the Fund totaling 10% or more of the original up-front budget will all be refunded back to the property's current owner of record as originally assessed, i.e., per lot, front footage, parcel, etc., unless the refund amount is less than $500.00. Any residual monies remaining in the fund totaling less than 10% of the original up-front budget will be transferred to the affected department, i.e., Transportation, Utilities, Fire, etc. Any shortages of monies within an individual MSBU Fund at close-out shall be transferred from the affected department into the MSBU Fund."
However, because of an arbitrage review in 2016 stating only debt service charges are allowable expenditures under capital-type MSBUs, Financial Services recommended that all operating account budgets be realigned into a transfer account to reimburse either the Transportation Trust or Constitutional Gas Tax Fund that is now being directly charged for these annual recurring operating expenditures. These operating charges have since been estimated and included within the debt service loan of new MSBU Funds. However, the transfer of funds to reimburse the Transportation and Gas Tax Funds directly charged for the various operating cost has not been processed since the arbitrage issue arose. This reimbursement will be remedied with approval of the attached budget resolution realigning ...
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