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3.8. SR 05-02-2011REQUEST FOR ACTION ver TO ITEM NUMBER Ci Council 3.8• AGENDA SECTION MEETING DATE PREPARED BY Consent Ma 2, 2011 Lori Ziemer, Asst. Finance Director ITEM DESCRIPTION REVIEWED B)/ Resolution Authorizing The Transfer Of Equipment Certificates Tim Simon, Finance Director Debt Service Funds REVIEWED BY Lori ohnson, Ci Administrator ACTION REQUESTED Adopt the attached Resolution Authorizing the Transfer of Equipment Certificates Debt Service Funds. BACKGROUND/DISCUSSION The Equipment Certificates debt service fund was established to account for the accumulation of resources to provide for the payment of principal and interest on equipment certificates issued to finance the purchase of equipment. On February 1, 2011 the 2006B Equipment Certificates, the final equipment certificate maturity, were repaid in full. The Equipment Certificates debt service fund is no longer needed and the excess funds can be transferred to another fund. It is recommended that the excess debt service funds be transferred to Fund 410 Equipment Replacement capital projects fund for the acquisition of future capital equipment. FINANCIAL IMPACT The transfer amount is $3,117.29. ATTACHMENTS ^ A Resolution Authorizing The Transfer of Equipment Certificates Debt Service Funds Action Motion by Second by Vote Follow Up N:\Public Bodies\City Council\Coundl RCA\Agenda Packet\05-02-2011\Transfer Equip Cert.docx RESOLUTION 1I- A RESOLUTION OF THE CITY OF ELK RIVER A RESOLUTION AUTHORIZING THE TRANSFER OF EQUIPMENT CERTIFICATES DEBT SERVICE FUNDS WHEREAS, on February 1, 2011 the 2006B Equipment Certificates have been repaid in full; and, WHEREAS, Fund 340 Equipment Certificates debt service fund is no longer utilized to account for resources that are restricted for repayment of the debt the excess funds can be transferred to another fund; and, WHEREAS, The Ciry Council has reviewed the request to transfer the funds for the acquisition of capital equipment and determined it to be a sound financial practice. NOW, THEREFORE, BE IT RESOLVED that the Ciry Council of the City of Elk River makes the following transfer of funds: Fund 340 Equipment Certificates to Fund 410 Equipment Replacement Passed and adopted this 2°d day of May 2011. John J. Dietz, Mayor ATTEST: Tina Allard, Ciry Clerk