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11/28/06
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11/28/06
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Meetings
Meeting Document Type
Minutes
Document Title
Finance Committee
Document Date
11/28/2006
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<br />ParkslUtilities Supervisor Riverblood replied the park would not interfere with what he has seen <br />on the transportation map. <br /> <br />Motion by Councilmember Jeffrey, seconded by Mayor Gamec, to recommend that the City <br />Council adopt the resolution Authorizing the Replacement of Titterud Park's Play Equipment, <br />and to adopt the resolution Declaring the Titterud Park Play Equipment that is to be replaced as <br />surplus property. <br /> <br />Motion carried. Voting Yes: Chairperson Strommen, Councilmember Jeffrey and Mayor <br />Gamec. Voting No: None. Absent: Councilmember Elvig. <br /> <br />Case #3: <br /> <br />Authorize Funding for Architectural Renderings <br /> <br />Chairperson Strommen indicated this case is actually a discussion of a policy for authorizing <br />expenses over and above not-to-exceed amounts. <br /> <br />Finance Officer Lund indicated the current Purchase Policy includes a $500 administration <br />authorization amount. <br /> <br />Chairperson Strommen stated this topic has come up several times where the Council authorized <br />a not-to-exceed amount on a project, and at some point in the future a request for authorization <br />for additional funds came to the Council after the additional funds had been expended. If the <br />$500 administration authorization amount in the current policy is not working, or there is some <br />issue, there needs to be a discussion of how to deal with that. She suggested consideration of <br />increasing the administration authorization amount or allowing an increase in funding to be <br />authorized under certain conditions based on a percentage of the original contract. <br /> <br />City Administrator Norman indicated Council approval could likely have been obtained for the <br />architectural renderings expenditure if it had been brought before the Council sooner. <br /> <br />Mayor Gamec commented features of the architectural renderings were excellent. The problem <br />with obtaining the authorization seemed to be in putting things together, which does not happen <br />often. He suggested the policy designate responsibility for notification of an expenditure over <br />the authorized amount. <br /> <br />Finance Officer Lund indicated funds have already been expended by the time a bill comes to the <br />~inance Department. <br /> <br />Chairperson Strommen stated her issue is that a budget is set for a project with a not-to-exceed <br />amount; if the Council continues to approve these expenditures they are sending a message that it <br />is not necessary to stay within the budget. In the case of the architectural renderings the over- <br />expenditure was $5,000 over a not-to-exceed amount of $1 0,000, which is a significant amount. <br /> <br />Mayor Gamec noted a special City Council meeting could be scheduled for expenditures that <br />require additional authorization. <br /> <br />Finance Committee I November 28,2006 <br />Page 3 of 5 <br />
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