New Rules for City Budget Balancing

Original title: ORD-MC Pertaining to the Annual Budget Proposal; Amend Sec 106.106 (Balanced Budget & Budget Stabilization Reserve), Pt 1 (General Provisions), Ch 106 (Budget & Accounting Code), Ord Code, to Prov that the Annual Budget Proposal shall not be Considered a Bal Budget if it Fails to Contain a Non-Debt Funded Approp for Each Unfunded Completion Grant or Similar Financial Incentive Expected to Become Payable During the FY of the Proposed Budget; Prov for Codification Instructions (Staffopoulos) (Introduced by CM Miller) (Co-Sponsors CMs Clark-Murray, Gay, Boylan, Amaro, J. Carlucci, Howland, Salem, Arias, Lahnen, Diamond & Pittman) 2/10/26 CO Introduced: NCSPHS, F 2/17/26 NCSPHS Read 2nd & Rerefer 2/18/26 F Read 2nd & Rerefer 2/24/26 CO PH Read 2nd & Rerefer 3/2/26 NCSPHS Amend/Approve 7-0 3/3/26 F Amend/Approve 7-0 3/10/26 CO Amend/Approve 18-0 Public Hearing Pursuant to Ch 166, F.S. & C.R. 3.601 - 2/24/26

Record date · March 10, 2026

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What This Bill Does

This ordinance changes how the city defines a 'balanced budget' to ensure that money for promised grants and financial incentives is set aside before the budget is approved. It prevents the city from counting a budget as balanced if it relies on debt to pay for these specific obligations.

Why it matters

This change requires the city to prioritize cash funding for existing grant commitments in the annual budget, ensuring that financial incentives expected to be paid out during the fiscal year are fully accounted for without borrowing.

Who It Affects

Groups the bill's text affects, as described in the record. Being affected is not a position for or against it.

Directly affected

City Budget Office

Must now verify that all expected grant payouts are covered by non-debt appropriations before presenting a balanced budget.

Directly affected

Grant Recipients

The city is now required to prioritize the funding of their expected payments within the annual budget cycle.

Key Facts

The ordinance amends Section 106.106 of the City Budget and Accounting Code.
A budget proposal is now officially disqualified from being considered 'balanced' if it lacks non-debt funded appropriations for expected completion grants.
The rule applies to any financial incentive or completion grant expected to become payable during the fiscal year of the proposed budget.
The ordinance was enacted following an 18-0 vote by the City Council on March 10, 2026.

Show all 7 facts

The ordinance received unanimous approval (7-0) from both the NCSPHS and Finance committees prior to the final council vote.
A public hearing regarding this ordinance was held on February 24, 2026.
The file number for this legislation is 2026-0102-E.

Frequently Asked Questions

What does this change mean for the city budget?

It means the city can no longer claim a budget is balanced if it hasn't set aside actual cash (non-debt funds) to pay for grants and incentives that are due during that year.

Does this affect existing grants?

Yes, it ensures that if a grant or incentive is expected to be paid out in the upcoming fiscal year, the money must be appropriated in the budget without using debt.

What else do you want to know?