Agenda - Council - 04/27/1999 - Laserfiche WebLink

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Counc~lmember Peterson inu'oduced the following resolution and moved for its adoption: RESOLUTION g94-02-045 RESOLUTION ESTABLISHING A FINANCIAL POLICY FOR PURPOSE OF ALLOCATION OF EXCESS/DEFICIENT GENERAL FUND REVENUES WHE~AS, the City of Ramsey utilizes zero balance budgeting for the General Fund where budgeted revenues are equal to budgeted expeMi.'tures; and' WHEREAS, actual revenues can be over or under actual expenditur~ at the end of the fmcal year;, and WHEREAS, the .City of R,m~ey currently has a fund balance imticy in place for thc undesignated-reserved poraon of the General Fund fund balance; and WHEREAS, there exists a need for additional funding sources for certain revolving and replacement funds. NOW THEREFORE, BE IT RESOL~rED BY THE CITY COUNCIL OF THE CITY OF RAMSEY, ANOKA COUNTY, STATE OF MINNESOTA, as folIows: 1) Tha~ the Finance Officer is hereby.directed to implement the following Fmanaial Policy for thc Pta'pose of Allocation of Excess/Deficient OcncraI Fund Revenues: When actual revenues exceed actual expenditures in a given year, the excess shall be allocated as follows: b) Aay ex.eT, ss shall be first allocated to "~ed-designated" fund balance to bring · at portion of fund balance to aa am.o. unt equal to fifty percent (50%) of the next years adopted operating budget per policy adopted in Resolution g93-04-061. Any excess after complying with step one shall be allocated to "unreserved- undesiD~ted" fund balance to bring that porti6n of fund balance to an amount equal to ten percent (10%) of the n~:t ymu's adopted operating budget. A-Uy excess after complying with fund balance requirements.in steps a) and b) shall be allocated to revolving and replacement funds in the following manner:. ' ' Ten t~'eeat (10%)'to Fund #810 - Equipmeat R.e.p. Iae?ent Fuad Forty percent (40%) to Fund g412 - Capital Building Fund Fifty percent (50%) to Fund g400 - Pemaanent Improvement Revolving Fund When actual expenditures exceed actual revenues in a given year, the deficit shall be treated as follows: b) "Unreserved-designated" fund balance shall first be adjusted to an mount equal to fifty percent (50%) of the next years adopted operating budget p~ policy adopted in Resolution g93-04-061 by utilizing ~mounts in the "unreserved-undesignated" portion of fund balance: 'Tffa'eserved-undesignated" fund balance shall be brought to an amoun, t equal to ten percent (10%) of the next years adopted operating budget by transfcrcing in monies equal to the deficit from revolving and replacement funds in the following manner:. Ten percent (I0%) from Fund #810 - Equipment Replacement Fund Forty percent (40%) from Fund ~,412 - Capital Building Fund Fifty percent (50%) from Fund i~400 - Permanent Improvement Revolving Fund I I 1 I' I I I I I I I' I- l' I I I I I i