Agenda - Council - 03/28/1995 - Laserfiche WebLink

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I I I I I I I I I I I I I I' I Couneilmember ~eterson introduced the following resolution and moved for its adoption: RESOLUTION ~4-02-045 RESOLUTIOI$ ESTABLISHING A FINANCIAL POLICY FOR PURPOSE OF ALLOCATIO~ OF EXCESS/DEFICIENT GENERAL FUND REVENUES WHEREAS, the City of Ramsey utilizes zero balance budgeting for the General Fund where budgeted ~venues are equal to budgeted expenditures; and WHEREAS, actual revenues can be over or under actual expenditures at the end of the fiscal year;, and ' WHEREAS, the City of Ramscy currently has a fund balance policy in place for the undcsignated-res,i~'ved portion of the General Fund fund balance; and WHEREAS, there exists a need for additional funding sources for certain revolving and replacement fun,.~: ' NOW THEREI~ORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF RAMSEY, IANOKA COUNTY, STATE OF' MINNESOTA, as follows: 1) That the t~,,mance Officer is hereby directed to implement the following Financial Policy for the Pm'po~e of Allocation of Excess/Deficient General Fund Revenues: When actual revenues exceed actual expenditures in a given year, the excess shall be allocated as follows: a) A0. y excess shall be first allocated to "unreserved-designated" fund balance to bring that portion of fund balance to an amount equal, to fifty.percent (50%) of the next yeErs adopted operating budget per policy adopted in Resolution ~93-04-061. ' b) Any excess after complying with step one shall be allocated to "unreserved- un~iesignated" fund balance to bring that porti6n of fund balance to an amount equal to ten percent (10%) of the next years adopted operating budget. c) ,A~y excess after complying with fund balance requirements in steps a) and b) shall be !allocated to revolving and replaCement funds, in the following manner: ' Teh percent (10%)'to Fund #810 - Equipment Replacement Fund · F ~o~'ty percent (40%) to Fund #412 - Capital Building Fund F'ffb/percent (50%) to Fund ~ - Permanent Improvement Revolving Fund When actttal expenditures exceed actual revenues in a given year, the deficit shall be treated as follows: a) b) "unreserved-designated" fund balance shall first be adjusted to an amount equal to I fifty percent (50%) of the next years adopted operating budget per policy adopted in Re~olution ~93-04-061 by utilizing amounts in the "unreserved-undesignated" po~on of fund balance. "U ~nreserved-undesignated" fund balance shall be brought to an amount equal to ten peWent (10%) of the next years adopted operating budget by transferring in monies equal to the deficit from revolving and replacement funds in the following manner:. FTc%,., percent (I 0%) from Fund #810 - Equipment Replacement Fund percent (40%) from Fund t~412 - Capital Building Fund F'fft~ percent (50%) from Fund #400 - Permanent Improvement Revolving Fund