Item Description:
title
Supplemental appropriations, contingency transfers, and interfund revenue transfers to fund 2025 general salary adjustments, market rate adjustments, and health insurance costs
end
Resolution:
body
BE IT RESOLVED, that the Hennepin County Board of Commissioners authorizes a 2025 contingency transfer of $11,860,251 to various departments within the General Fund, as identified in Schedule 1, which is on file with the Clerk to the Board; and
BE IT FURTHER RESOLVED, that a 2025 supplemental appropriation for the Human Services and Public Health department be authorized for $6,368,844, for the purpose of additional personnel services expenditures, using $2,229,095 of federal grant revenues and authorizing a contingency transfer from the General Fund of $4,139,749; and
BET IT FURTHER RESOLVED, that 2025 supplemental appropriations for various departments in the amount of $1,446,123 be authorized, through increased use of fund balance, as identified on Schedule 2, which is on file with the Clerk to the Board; and
BE IT FURTHER RESOLVED, that the Controller is authorized to transfer funds as directed to carry out the intent of this resolution.
end
Background:
Since December 2024, the Hennepin County Board of Commissioners has ratified labor agreements with multiple bargaining units for the period 1/1/2025 - 12/31/2027. These agreements include several key provisions related to wage and benefit increases, including general salary adjustment rates, merit progression, and health insurance.
The County’s 2025 operating budget was approved on December 12, 2024, prior to ratification of these agreements. This resolution provides additional budget authority of $19,675,218 to various departments for increased personnel services costs. The additional budget authority is funded through a combination of sources. Departments within the general fund are receiving contingency transfers. Enterprise funds and internal service funds are using unrestricted fund balance. The Human Services Special Revenue Fund is using increased administrative revenues, in addition to receiving a property tax interfund revenue transfer from the General Fund. If this resolution is approved, the county’s 2025 contingency budget will be reduced by $16,000,000, from $19,604,377 to $3,604,377.
recommendation
Recommendation from County Administrator: Recommend Approval