Agenda Item Name:
title
Increase Interfund Loan for Fleet Management
body
Presenter:
Ramon Gavarrete, 352-548-1214
Description:
Increase interfund Loan for Fleet Management of $300,000 to $750,000 to have cash available between the time parts, labor, and commercial expenses are made and billings are completed charging internal and external customers for work done.
body
Recommended Action:
recommended action
Approve an increase in annual interfund loan from Vehicle Replacement Fund to Fleet Management Fund from $300,000 to $750,000 which will be paid back at the end of each fiscal year.
body
Prior Board Motions:
recommended action
01/11/2022, the Board of County Commissioners (BoCC) approved an interfund loan for Fleet Management from Vehicle Replacement Fund in the amount of $300,000
body
Fiscal Consideration:
fiscal consideration
Approve increase of interfund loan from Vehicle Replacement Fund account 506.131.0000 to Fleet Management Fund account 503.207.0000 from $300,000 to $750,000.
body
Strategic Guide: strategic guide
Infrastructure
body
Background:
On 1/11/2022, the Board of County Commissioners (BoCC) approved an interfund loan in the amount of $300,000. This loan at times has not been enough which is why the increase is being requested to $750,000.
The Fleet Management works on the BoCC department’s vehicles and equipment as well as some other local government’s vehicles and equipment. There is a lag between the purchase of parts, labor, and commercial expenses and the time that the revenues are received back to the fund from monthly billings. Due to this lag, there are times that the cash gets low in the fund. In January of 2022, to keep enough cash in the fund Public Works requested an inter-fund loan from the Vehicle Replacement Fund in the amount of $300,000 at the beginning of each fiscal year with the payback of the end of the fiscal year. This amount is being requested to be increased to $750,000.