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HomeMy WebLinkAboutMinutes Corpus Christi Regional Transportation Authority - 08/27/2008 - Workshop REGIONAL TRANSPORTATION AUTHORITYu,\ BOARD BOARD OF DIRECTORS' BUDGET WORKSHOP MEETING MI 'UTE§C1 2dQ$ ';`, WEDNESDAY, AUGUST 27, 2008 __�.,;T c•a 1...k b- :L__ SUMMARY OF ACTIONS 1. Heard Update on Budget Process The Regional Transportation Authority Board of Directors met at 8:30 a.m. in the Regional Transportation Authority Facility located at 5658 Bear Lane, Corpus Christi, Texas. Board Members Present: Crystal Lyons (Board Chair), Anna Flores (Board Vice- Chair), Vangie Chapa, John Longoria, David Martinez, Ricardo Ramon, Mike Rendon, Mary Saenz, Sara Salvide, Judy Telge Board Members Absent: John Valls Staff Present: Eduardo Carrion (Interim General Manager), Ruth Willey, Lamont Taylor, Susan Vinson, Oscar Vargas Public Present: Eloy Soza; Rosie Aguiar; Abel Alonzo; Elias Sissamis, Financial Consultant Call to Order Ms. Lyons called the meeting to order at 8:37 a.m. Update on Budget Process Using a PowerPoint presentation, Mr. Sissamis reported that employee outreach forums had been held on the proposed 2009 budget. He noted that the proposed budget_reflected-aA.3 perce.ntincrease compared to a 7 percent increase in previous years and that no major service changes were being considered. Comparing estimated 2008 revenues to the 2008 budgeted revenues, Mr. Sissamis highlighted a projected positive variance of$1,112,172 in sales tax and $784 in transit operations. He projected a negative variance of$24,037 in investment income. He stated that $489,000 in 5307 capital grants funding would not be used in 2008; thereby, making the funds available for use in 2009. In summary, revenues were being projected to be higher than budget by about $599,919. There was a brief discussion regarding cash and investments. Mr. Longoria inquired about the RTA portfolio with the approximate value of$20M. Mr. Sissamis explained that the funds were co-mingled funds and approximately $13M was reserved, in SCANNED r 4 Regional Transportation Authority Board of Directors Budget Workshop Meeting.Minutes August 27, 2008 Page 2 accordance with the Reserve Policy. He agreed to explain the flow of funds at the Budget Workshop where the Capital Budget is discussed. Mr. Sissamis explained that sales tax as of June 2008 was 11 percent higher than the same time last year. He expressed the opinion that sales tax revenue may not experience the same rate of increase in 2009 and that when the Legislature changed the sales tax calculation to "point of sale" effective September 1, 2007, this may have attributed to the sharp rise in sales tax revenue in 2008. Responding to Mr. Longoria, Mr. Sissamis stated that the Agency's 2008 budget was $21.8M and the 2009 proposed budget was $22.4M. This reflected an increase of approximately 5 percent. Mr. Sissamis explained that the preliminary 2008 budget estimates showed a net balance of$987,787 at the end of year which could be carried over into the 2009 budget. This was based on projected sales tax revenues and expenditure levels submitted by the departments. Mr. Longoria inquired if there was a variance between the 2008 budgeted yearly expense total and the projected 2009 yearly expense total. Mr. Sissamis replied that there was an approximate 4.3 percent increase. A brief discussion ensued on securing additional funding sources. Mr. Carrion stated that staff was looking into the feasibility of using JARC funds to pay for fuel. There being no further business, the meeting was adjourned at 9:02 a.m. thteU iiUtitOL __ -_- -Sara Salvide; Board Secretary-' - f ,s (-9..0oe Date I