HomeMy Public PortalAbout06-12-2012 transfer Victory Field TOWN OF
163o WATERTOWN
• Office of the Town Manager
Administration Building
�f
_ 149 Main Street
t ' Watertown,MA 02472
Phone:617-972-6465
Fax:617-972-6404
Michael J. Driscoll www.watertown-ma.gov
Town Manager rownmer@waterrown-ma.eov
To: Honorable Town Council
From: Michael J. Driscoll,Town Manager`may
Date: June 7, 2012
Re: Agenda Item—Transfer of Funds Request
Enclosed please find correspondence from Thomas J. Tracy, Town Auditor
recommending a transfer of funds from the Fiscal Year 2012 Short Tenn Interest account to the
Fiscal Year 2012 Transfer to Town Capital Projects account in order to be in compliance with
Bond Counsel requirements related to the borrowing for the Victory Field Renovation Project.
As indicated in Mr. Tracy's correspondence, the Town is preparing to go to Bond Market
this month to borrow funds and Bond Counsel has advised that all monies from the Victory Field
Fundraising activities must be used to reduce the overall amount borrowed.
Therefore, I respectfully request the attached transfer be placed on the June 12, 2012
Town Council Agenda.
Thank you for your consideration in this matter.
cc: Thomas J. Tracy,Town Auditor
Phyllis L. Marshall,Town Treasurer/Collector
Peter Centola, Recreation Department Director
Steven Magoon,Director, Community Development and Planning
TRANSFER AMOUNT $60,000
FROM: FY 12 SHORT TERM INTEREST $ 60,000
0171000-590925
TO: FY 12 TRANSFER TO CAPITAL PROJECTS . $ 60,000
0193059-596500
1 hereby certify to the availability, authority of funding source, mathematical accuracy
and appropriate fiscal year.
DATE - 1
TOWN AUDITO f
TOWN OF WATERTOWN
1630 Auditor
• ,, Administration Building
149 Main Street
Watertown,MA 02472
Phone: 617-972-6460
Fax: 617-972.6563
www.watertown-ma.gov
Thomas J.Tracy
Town Auditor
TO: Michael J. Driscoll,Town Manager
FROM: Thomas J. Tracy, Town Audito
DATE: June 5, 2012
RE: FY 2012 Transfer of Funds Request
As you are aware, the FY 2012 Budget included a General Fund Revenue Source entitled
Transfer from Victory Field Revolving Fund in the amount of$60,000. Additionally,the
FY 12 General Fund Short Term Interest expenditure account included $60,000 for debt
service (principal and interest)related to the Victory Field Renovation. The $60,000
amount included in the Short Term Interest expenditure account will not be needed in FY
2012.
As you are also are aware,the Town is preparing to go to the bond market this month to
borrow funds related to a number of recent loan authorizations approved by the
Honorable Town Council, including the Victory Field Renovation project.
Bond Counsel has advised that the wording of the Victory Field Loan Order requires that
the monies from the Victory Field fundraising activities must be used to reduce the
overall amount borrowed (principal only)for the renovation project.
Therefore, I am recommending that you request the Honorable Town Council to approve
a transfer from the FY 2012 Short Term Interest Account to the FY 2012 Transfer to
Town Capital Project Funds in the amount of$60,000 at the June 12, 2012 Town Council
meeting. Upon the Town Council approving this transfer,the $60,000 will be placed in
the Victory Field Renovation Capital Project Fund.
Additionally, I am recommending that the FY 2013 General Fund Proposed Budget
(revenue and expenditure)be reduced by $45,000. The FY 2013 Proposed Revenue
account entitled Transfer from Victory Field Revolving Fund can be reduced by $45,000.
Additionally, the FY 2013 General Fund Proposed Expenditure account entitled Short
Term Interest can be reduced by $45,000. This recommendation is also based upon Bond
Counsel advice in preparation for the upcoming Bond Sale.
The Town will permanently borrow$1,500,000 and temporarily borrow$1,250,000 for
the Victory Field Renovation Project. The remaining$250,000 of the overall $3,000,000
project will come from fundraising activities to date and $60,000 of those monies are
related to the transfer request. Please see the attached transfer.
Please contact me if you have any question or concerns.
cc: Honorable Town Council
Phyllis L. Marshall, Treasurer Collector