HomeMy WebLinkAbout5 Ammendment 2003-37 Agenda Item #
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Memorandum
To: Board of Directors
From: Peter Holzmeister
Date: January 10, 2003
Subject: Amendment to Resolution 2002-37
1. Why this item is before the board
This item asks the board to consider amending a resolution that was adopted in
December. Only the board can amend a resolution.
2. History
The board adopted Resolution 2002-37 at the December 18, 2002 board meeting. That
resolution adopted the budget for 2003 and its associated accounting overheads.
3. New Information
When I drafted the labor overhead rate and entered it into the resolution I picked up the
wrong number from the budget appendix, and Mary Chapman found the error. The
resolution you adopted had a labor overhead rate of 46.00%. It should have been
83.61%.
4. Recommendation
I recommend that the board amend resolution 2002-37 to reflect the labor overhead rate
of 83.61%
■
RP4' n No . 2003-
RESCINDING RESOLUTION 2002-37 AND ADOPTING A
THE BUDGET AND REVISED OVERHEAD RATES FOR 2003
WHEREAS, on December 18, 2002 the Board of Directors adopted Resolution 2002-37 authorizing
the District to adopt the budget and overhead rates for 2003; and
WHEREAS, District staff found the Labor Overhead to be stated incorrectly; and
WHEREAS the Board of Directors and staff of the District participated in a strategic plan workshop
in August of 2002 to identify priority issues to be addressed by the District during 2002 and to
initiate budget preparation; and
WHEREAS District staff has prepared a draft budget for District operations and capital spending
for the year 2003 taking into account the strategic plan issues; and
WHEREAS the Board of Directors of the District has participated in a budget workshop and has
conducted a public hearing on the draft budget; and
NOW THEREFORE BE IT RESOLVED bythe Board of Directors of Truckee Donner Public Utility
District as follows:
1. The draft budget for 2003 is hereby adopted
2. The following budget overhead rates are adopted
Overhead Item Overhead Rate
Labor Overhead 83.61%
Transportation Overhead 28.70%
Inventory Overhead 77.67%
Administrative Overhead 1.87%
Construction Overhead 48.50%
Non-inventory Material Overhead 25.00%
PASSED AND ADOPTED by the Board of Directors at a meeting duly called and held within the District
on the 15th day of January, 2003 by the following roll call vote:
AYES:
ABSTAIN:
NOES:
ABSENT:
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
By
J. Ronald Hemig, President
ATTEST:
Peter L. Holzmeister, Clerk of the Board
__ _ _ ... .__. ._ ...... . . .. ...._ . ... ................
IWN�I I
Resolution No . 2002 -37
ADOPTING THE BUDGET AND OVERHEAD RATES FOR 2003
WHEREAS the Board of Directors and staff of the District participated in a strategic plan
workshop in August of 2002 to identify priority issues to be addressed by the District during
2002 and to initiate budget preparation; and
WHEREAS District staff has prepared a draft budget for District operations and capital
spending for the year 2003 taking into account the strategic plan issues; and
WHEREAS the Board of Directors of the District has participated in a budget workshop and has
conducted a public hearing on the draft budget; and
NOW THEREFORE BE IT RESOLVED by the Board of Directors of Truckee Donner Public
Utility District as follows:
1. The draft budget for 2003 is hereby adopted
2. The following budget overhead rates are adopted
Overhead Item Overhead Rate
Labor Overhead 46.00%
Transportation Overhead 28,70%
Inventory Overhead 77.67%
Administrative Overhead 1.87%
Construction Overhead 48.50%
Non-inventory Material Overhead 25.00%
PASSED AND ADOPTED by the Board of Directors at a meeting duly called and held within the
District on the 18th day of December, 2002 by the following roll call vote:
AYES: Directors Aguera, Hemig, Maass and Van Gundy
ABSTAIN: Director Sutton
NOES: None
ABSENT: None
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
By
J. Ronald Hemig, President
ATTEST:
Peter L. Holzmeister, Clerk of the Board
APPENDIX W
LABOR OVERHEAD
VALUE OF BENEFITS
Medical insurance $816,948
Dental insurance 76,266
Vision insurance 6,000
Prescription reimbursement 3,000
Hospital deductible 3,000
Well baby care 3,000
Retiree insurance-FAS 106 accrual 100,000
Long term disability 26,047
Life insurance 38,857
Longevity 13,150
FICA 214,845
Fed Mad 51,167
State compensation 283,053
401a plan 235,097
Pension 200,000
Value of non-productive labor 479,196
(vacation, sick leave, holiday)
TOTAL VALUE OF BENEFITS $2,549,624
PRODUCTIVE LABOR
Recommended labor(Appendix II) $3,528,704
Less value of non-productive labor (479,196)
TOTAL PRODUCTIVE LABOR $3,049,508
PAYROLL OVERHEAD 83.61%
(Value of benefits/productive labor)
BENEFITS AS A PERCENT OF TOTAL LABOR AND BENEFITS 46%
46