Agenda - Council - 04/22/1997 - Laserfiche WebLink

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I I I I ARTICLE VII. FUNDING Sect;ion 1: Inil;iel Funding. It is understood by the parties that the activities and duties of the Authority are to be funded primarily by grant monies from the United States Government, the State of Minnesota or any other association or agency. Nevertheless, the member counties and regional railroad authorities agree to contribute funding, if necessary, for the start-up administrative expenses of the Board (to the extent not covered by grant funds). The member counties and regional railroad authorities will establish an initial budget and agree to the allocation of any necessary initial contributions. Each member county and regional railroad authority shall pay its appropriate initial contribution to the county acting as fiscal agent of the Authority within 30 days of execution of this Agreement. Section 2: On-Going Administrative Expenses. A. By July 1 of' each year, the Authority shall adopt an annual administrative budget for the following calendar year, and shall determine the amount of contribution, if any, by each member. The budget and the resulting assessments shall be approved by a two-thirds majority of the Authority. Any excess funds in the administrative budget remaining at the end of the fiscal year shall be carried forward in such. manner as to reduce proportionately each member's contribution for the following fiscal year. B. If the Authority incurs any expenses as a result of a claim for damages, the expenses and any damages paid shall be assessed against each member in. the same proportion as the assessments described in paragraph A above, as applicable.