How city agencies can spend money and move positions

Upon the enactment of the executive operating budget ordinance and the executive capital budget ordinance, each executive agency may make expenditures pursuant to the charter, subject, however, to the following. (a) Authorized positions. Only those positions authorized within the specified permanent position count and temporary position count for each activity under the executive operating budget ordinance may be established, filled, and have funds allotted to them; provided if because of an unforeseen or emergency circumstance a temporary position is required for an activity for which a temporary position count has not been authorized, the mayor, after notifying the council, may establish, fill and allot funds for that temporary position. The notification shall identify: (1) The type of temporary position required; (2) The anticipated duration of the employment of the temporary position; (3) The cost of the temporary position; (4) The source of budgetary savings that will accrue to finance the temporary position; and (5) The unforeseen or emergency circumstance justifying the need for the temporary position. (b) (1) Temporary transfers of positions. Temporary transfers of positions by the mayor shall be permitted pursuant to Charter § 5-103 within the fiscal year. A quarterly status report of all transfers shall be filed with the office of the city clerk. Such report shall include but need not be limited to the following information for each position transferred: (A) The position title and position number of the position transferred; (B) The originating activity from which the position is transferred; (C) The activity to which the position is transferred; (D) The title and function of the position in its temporary assignment; (E) The purpose for the transfer; and (F) The effective date and the anticipated duration of the temporary transfer. (2) Temporary transfer of position actions shall not be used as a means to circumvent the annual budget policies and process. (c) Transfer of funds. (1) Transfers between activities. Transfer of funds from an activity may not be executed without council approval by resolution when the cumulative amount of transfers from that activity exceeds $100,000 or 10 percent of the amount appropriated for that activity in the executive operating budget ordinance, as may be amended, whichever is less. Transfer of funds to an activity may not be executed without council approval by resolution when the cumulative amount of transfers to that activity exceeds $100,000 or 10 percent of the amount appropriated for that activity in the executive operating budget ordinance, as may be amended, whichever is less. A report of all individual transfers of funds between activities occurring within each month must be filed with the office of the city clerk within 15 days after the end of the month. The report must include but need not be limited to the following information: (A) The amount of funds transferred; (B) The source of funding of the transferred funds; (C) The originating activity and character of expenditure thereof from which the funds are transferred; (D) The activity and character of expenditure thereof to which the funds are transferred; (E) The purpose for the transfer; and (F) The impact of the loss of funds on the originating activity. (2) Transfers between characters of expenditure. Except as otherwise provided in subdivision (4), transfer of funds between characters of expenditure within the same activity may not be executed without council approval by resolution when the cumulative amount of the transfers exceeds the lesser of: (A) $100,000; or (B) The greater of: (i) Ten percent of the appropriation for either the originating or receiving character of expenditure; or (ii) $10,000. A report of all individual transfers of funds between characters of expenditure must be filed with the office of the city clerk within 15 days after the end of the month. The report must include but need not be limited to the following information: (i) The amount of funds transferred; (ii) The source of funding of the transferred funds; (iii) The originating character of expenditure from which the funds are transferred; (iv) The character of expenditure to which the funds are transferred; (v) The purpose of the transfer; and (vi) The impact of the loss of funds on the originating character of expenditure. (3) Definitions. For the purposes of this subsection, “character of expenditure” and “function” have the same meaning as defined in § 2-18.1 . (4) Transit management services contractor appropriation transfers. Notwithstanding subdivision (2), council approval is not required for transfers of funds between characters of expenditure within the same activity when the funds transferred are from and will remain a part of the appropriations to the transit management services contractor as defined in § 15B-1.1 . A report of all individual transfers of funds as provided herein must include the same information prescribed in subdivision (2). The report must be filed with the office of the city clerk within 15 days after the end of the month and a copy of the report must be transmitted to the council. (5) Consolidated quarterly report. Beginning December 31, 2025, and every three months thereafter, except for funds appropriated to the transit management services contractor as defined in § 15B-1.1 , the director of budget and fiscal services shall compile and transmit to the council, a consolidated quarterly report listing all individual transfers of funds between activities and all individual transfers of funds between characters of expenditure within the same activity occurring within the quarter just ended. The report must be provided within 30 days after the end of each quarter. The report must: (A) Include but need not be limited to the following information: (i) The amount of funds transferred; (ii) The source of funding of the transferred funds; (iii) The originating function, program, activity, and character of expenditure thereof from which the funds are transferred; provided that if multiple transfers are made from the same originating activity, the cumulative total amount of the individual transfers must also be provided; (iv) The function, program, activity, and character of expenditure thereof to which the funds are transferred; provided that if multiple transfers are made to the same receiving activity, the cumulative total amount of the individual transfers must also be provided; (v) The purpose of the transfer and whether the funds were needed for new or continuing expenses; and (vi) The reduction or increase, clearly identified, in expenditures by the impacted department or departments; (B) Organize and present the individual transfers by source of funding, function, program, activity, and character of expenditure; (C) Separately include, for the purpose of comparison, the information required by this subdivision for each of the preceding 11 quarterly periods; and (D) Be provided in both a portable document format ("PDF") and a data-rich format as defined in § 2-19.1 . (6) Consolidated annual report. Beginning July 1, 2026, and every year thereafter, except for funds appropriated to the transit management services contractor as defined in § 15B-1.1 , the director of budget and fiscal services shall compile and transmit to the council, a consolidated annual report listing the fiscal year-end cumulative total amount of funds transferred between activities and the fiscal year-end cumulative total amount of funds transferred between characters of expenditure within the same activity occurring within the fiscal year just ended. The report must be provided within 30 days after the end of each fiscal year. The report must: (A) Include but need not be limited to the following information: (i) The fiscal year-end total cumulative amount of funds transferred; (ii) The fiscal year-end total cumulative reduction or increase, clearly identified, in expenditures by the impacted department or departments; (B) Organize and present fiscal year-end total cumulative amounts of funds transferred for each source of funding, function, program, activity, and character of expenditure; and (C) Be provided in both a portable document format ("PDF") and a data-rich format as defined in § 2-19.1 . (d) Force and effect of the executive program. The temporary position count for each activity as may be provided for in the executive program, as attached to the executive operating budget ordinance, shall have the same force and effect as provided by this article, to limit funding only to duly authorized temporary positions. )