4.5. SR 06-19-2017 EOty1� ,.,�� Request for Action
River
To Item Number
Mayor and City Council 4.5
Agenda Section Meeting Date Prepared by
ConsentJune 19, 2017 Lori Ziemer, Finance Director
Item Description Reviewed by
Resolution Authorizing Transfer from Flexible Tina Allard, City Clerk
Spending Account Fund to General Fund Reviewed by
T.John Cunningham, Fire Chief
Action Requested
Adopt,by motion, a resolution authorizing transfer from the Flexible Spending Account (FSA) Fund to
the General Fund.
Background/Discussion
As part of the employee benefits plan, the city offers flexible spending accounts that allow employees to
set aside a portion of their earnings pre-tax to pay for qualified medical and dependent care expenses.
Any money left unspent in the account at the end of the coverage period,in accordance with plan
provisions,is forfeited and can be applied to future plan administrative costs.
Since the inception of the FSA Fund, forfeited amounts of$12,332.45 have accumulated in the fund that
can be transferred to the General Fund to cover plan administrative costs. Any future forfeited FSA
amounts will be transferred to the General Fund as part of the year-end review process.
Financial Impact
Transfer $12,332.45 of forfeited amounts from the Flexible Spending Account Fund to the General
Fund.
Attachments
■ Resolution authorizing a transfer from the Flexible Spending Account Fund to the General
Fund.
POWERED 6T
Template Updoted 4/14 INAWRE1
City of
Elk City of Elk River
Wver City Council
Resolution 17-
A Resolution of the City Council of the City of Elk River Authorizing a
Transfer from the Flexible Spending Account Fund to the General Fund
WHEREAS, the Flexible Spending Account Fund was established to account for flexible
spending arrangements offered to employees through the city's employee benefits plan.
WHEREAS, any money left unspent in the Flexible Spending Account Fund, according to
the plan provisions,is forfeited and can be applied to future plan administrative costs.
WHEREAS, it has been determined that any forfeited FSA amounts be transferred out of
the Flexible Spending Account Fund to the General Fund to cover plan administrative costs.
WHEREAS, the City Council has reviewed the request and determined it to be a sound
financial practice.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk
River,Minnesota, as follows: The transfer of$12,332.45 from the Flexible Spending
Account Fund to the General Fund.
Passed and adopted this 191h day of June 2017.
John J. Dietz,Mayor
ATTEST:
Tina Allard, City NATUREJ