HomeMy WebLinkAbout08311ORDINANCE NO. 8311
AN ORDINANCE AMENDING THE CITY OF PUEBLO 2011 BUDGET
FOR THE HONOR FARM PROPERTIES ENTERPRISE FUND BY
BUDGETING AND APPROPRIATING OPERATING FUNDS FOR THE
OPERATION OF THE DRAG RACING OPERATION
WHEREAS, for years the drag racing events at Pueblo Motorsports Park have been
organized, managed, and operated by a private contractor; and
WHEREAS, on December 31, 2010, the private contractor has indicated to the City that
they no longer want to be binding to their contract, leaving drag racing events to be organized,
managed, and operated by the City Parks and Recreation staff; and
WHEREAS, City Council, on February 14, 2011, directed the Director of Parks and
Recreation to prepare operation, revenue and capital outlay budgets for the Pueblo Motorsports
Park’s Drag Racing Operation; and
WHEREAS, for the Honor Farm Properties Enterprise Fund to operate the Drag Racing
Operation, appropriation for the operating budget as well as the estimated revenues to be
generated will require an amendment to the 2011 Honor Farm Properties Enterprise Fund; now
therefore,
BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that:
SECTION 1
The estimated revenues of the Honor Farm Properties Enterprise Fund, is hereby
increased by $300,000 for fees and charges associated with the drag strip operation.
SECTION 2
In addition to the amounts already appropriated in the 2011 operating budget of the
Honor Farm Properties Enterprise Fund, the amount of $250,000 is hereby budgeted and
appropriated thereto.
SECTION 3
This ordinance shall become effective immediately upon final passage and approval.
INTRODUCED: February 14, 2011
BY: Judy Weaver
COUNCILPERSON
PASSED AND APROVED: February 28, 2011
Background Paper for Proposed
ORDINANCE
February 14, 2011
DATE: AGENDA ITEM # R-12
DEPARTMENT: PARKS AND RECREATION, CREIGHTON WRIGHT, DIRECTOR
FINANCE DEPARTMENT, SAM AZAD, DIRECTOR
TITLE
AN ORDINANCE AMENDING THE CITY OF PUEBLO 2011 BUDGET FOR THE HONOR
FARM PROPERTIES ENTERPRISE FUND BY BUDGETING AND APPROPRIATING
OPERATING FUNDS FOR THE OPERATION OF THE DRAG RACING OPERATION
ISSUE
Should City Council increase the 2011 operating and revenue budgets for the Honor Farm
Properties Enterprise Fund to cover expenses in the operation and management of the Drag
Strip at Pueblo Motorsports Park?
RECOMMENDATION
Approval of the Ordinance.
BACKGROUND
Approval of this item is contingent upon passage of the Agreement to Terminate Solutions
Management LLC Drag Racing agreement.
The contractor responsible for the operation and management of the drag strip at PMP
requested termination of the contract effective December 31, 2010. The reason for the
requested termination of the contract was due to the City’s wish to manage drag racing in the
future.
In order to fund the additional operating expenses to operate the drag strip at PMP, the 2011
adopted Honor Farm Properties Enterprise Fund budget will have to be amended. Revenue
from fees and charges associated with drag strip events is expected to cover all operating
expenses associated with drag racing.
FINANCIAL IMPACT
The total cost of operating the Drag Strip at Pueblo Motorsports Park for the balance of the
2011 season is estimated to be $250,000. Estimated revenue from fees and charges
associated with events at the drag strip is expected to be $300,000.