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At the Cou~ <br />initiating put <br />recommend.' <br />Council. <br /> <br /> Case # 5 <br /> A~PR~VAL AUTHORITY FOR PURCHASE OF CAPITAL OUTLAY ITEMS <br /> <br /> , By: Sandra Ashley Helling, Finance Officer <br /> <br />Background: ~_ <br /> ~cil !moeting of danuary 14, 1992, Staff was directed to place all requests for <br /> ChaSe of budgeted capital outlay items on the Budget Committee Agenda. Upon <br /> riehl for purclnase by the Budget Committee, the requests would be forwarded to <br /> <br />As past pra~ <br /> <br />Year <br /> <br />1987 <br /> <br />1990 <br />1989 <br />1988 <br /> <br />bc~ is somewhat unclear, I did a little research' <br /> <br />Total No. of <br />Budget Meetings <br /> <br />All meetings devoted to next year's budget <br />All meetings devoted to next year's budget <br />All meetings devoted to next year's budget <br />All meetings devoted to next year's budget <br /> <br />There are ne, minutes to support meetings by the Budget Committee prior to 1987; therefore, <br />procedure m~ay I~ave~ been different. <br />During 1991,1 151 Budget Committee meetings were held. These meetings covered many topics <br />in addition-tip tlie 1992 budget. Early in 1991, in response to a projected revenue shortfall, <br />the Budget ~Con~mittee directed that no capital outlay items be purchased without specific <br />approval of ~he !Budget Committee and cautioned that only items deemed essential would be <br />considered !or iapproval. Specific requests for capital outlay were made to the Budget <br />Committee t~rou~lhout the year of 1991. <br /> ~ <br />This is probably:a long way of saying it appears that only during 1991 were budgeted capital <br />outlay item§ be, ought to the Budget Committee for reaffirmation before proceeding to <br />Council. <br /> F <br />From what lil,ha~e been able to determine of past practice (pre-1991), notification to Council <br />of intent tot. purchase was made via a request to advertise for bids. This request was <br />generally on !th~ consent agenda. While the City is not required to advertise for bids unless <br />the purchase e~ceeds $15,000, our City has followed this practice quite consistently for <br />purchases of~ $1~,000 or more. When advertisement for bid was not required (due to statute <br />or suitability; of i the item), at times the request for purchase was approved by the City <br />Administrate( an,d at times brought to council for reaffirmation. There does not appear to <br />have been a~ cohsistent policy followed. <br /> <br /> r <br />Observations: <br />Resolution ~89~12-331 Establishing Purchasing Authority, states that specific Council <br />approval sha~.ll b~ required for all capital outlay purchases which total Five Hundred Dollars <br />($500.00) or moCe. <br /> <br />II <br /> <br /> <br />