Title
Resolution to Amend the Fiscal Year 2021 Council Approved Budget to Appropriate a total of $1,340,000.00 from the General Fund's Committed Fund Balance (Departmental Savings) Account to Fund a Bonus for City Employees
Purpose
PURPOSE/BACKGROUND:
Hampton's city employees have a long standing tradition of excellence and give of their time and creative talents regularly and generously. The proposed bonus, to be funded from the General Fund's Committed Fund Balance (departmental savings) account, is being provided to recognize their efforts and because we were not able to provide a pay increase in the first half of the fiscal year due to the COVID-19 global pandemic. In addition to their normal level of excellence, employees have further risen to the challenges of the pandemic by not only maintaining outstanding service delivery but also performing many additional duties outside of their typical jobs.
The cost of this bonus is well below the $8 million we are projecting to add to Unassigned Fund Balance, over $2 million of which would be added to the Committed Fund Balance (departmental savings) account for Fiscal Year 2020. This level of savings is due to the extraordinary efforts by City employees.
Staff intends to bring updated revenue information for both FY 2021 and projected FY 2022 real estate assessments to Council in early February for a decision on salary increases for the second half of the fiscal year.
Impact:
The funding source to be used for the bonus is the General Fund's Committed Fund Balance (departmental savings) account in the amount of $1,340,000.00.
Recommendation:
Approve.
Body
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Hampton, Virginia that the Fiscal Year 2021 Council Approved Budget be amended and an appropriation of $1,340,000.00 be made from the General Fund's Committed Fund Balance (departmental savings) account to fund a bonus for City employees.
BE IT FURTHER RESOLVED that the City Council authorizes the City Manager, or her designee, to take any and all actions necessary for implementation.