Requested Agenda Date:
3/29/2022
Requested Agenda Title:
Title
Budget Adjustment: Health Department’s Request for Technical 2021 Appropriation Unit Shift of $339,308 for the Capitalization of Lease in Accordance with GASB 87
Body
Requested Agenda Item Description: This is a technical adjustment to capitalize the lease expenses in 2021. The new rule, GASB 87, requires that all leases with a term over one year must be capitalized.
The Health Department has leased vehicles for COVID Response (Contract#HLTCOVBANC) in 2021. With this new rule, Health Department needs to capitalize the full-term expenses of $339,308 in 2021. Health 2021 budget did not have enough appropriation in Capital Unit 300 for the journal entry to capitalize the expenses. As a result, this technical adjustment is necessary, and it will move the needed budget from the account #639025 in Operations for this purpose.
This entry will not cause any additional cash impact and is an accounting standard compliance issue only.
Requested Action: Discussion - Vote Needed
Presenter(s) (with titles): Brad Kendrick Budget and Policy Analyst
Time Needed: Less than 5 MINS
Is this Item Time-Sensitive and/or Requesting a Time-Certain? No
Requesting Staff Member: Karen Crompton, Dept. Director, Human Services
Are Supporting Documents Needed for this Agenda Item Request? Yes
Please attach supporting documentation, including presentations, to the Legistar file.
Agenda item requests must be complete and submitted via Legistar Approval Sequence to the Council Administrative & Communications Coordinator by the Wednesday before the upcoming Tuesday meeting at 3:00 PM. Please note that some offices have earlier, internal Approval Sequence deadlines.
Items without necessary supporting documentation may be withheld from consideration for the desired meeting date.