3.6. SR 04-03-2006
City of Elk River
REQUEST FOR COUNCIL ACTION
Agenda Section Meeting Date
Consent A ril 3, 2006
Item Description
Resolution Allocatin 200S General Fund Balance
Item Number
3.6.
Prepared by
Lori ohnson, Ci Administrator
Reviewed by
Introduction
The City's fInancial management plan requires that the fund balance in the General Fund in excess of
40 percent be allocated to other purposes at the discretion of the City Council.
Discussion
In previous years the City Council has set the fund balance at 41.S percent and allocated the amount over
that for capital equipment, pay adjustments, or other one-time expenditures. The attached resolution
allocates the balance over 41.S percent to capital equipment.
Further, the Community Development department requested $9,000 in the 2006 budget to purchase a
plotter. This item was deleted from the 2006 budget with the intent that it be purchased in 200S. Because
of staff changes in the department, that did not happen. I am recommending that $9,000 of the 200S
allocation be used to purchase this equipment.
Financial Impact
Attachments
Resolution allocating the 200S General Fund balance.
Action Requested
Consider attached resolution and authorize purchase of a $9,000 plotter from the allocation.
Council Action
Motion by _
Second by _
Vote
Follow Up
S:\Council\Lori\2006\Gen Fund Alloca.doc
RESOLUTION 06-_
A RESOLUTION FOR THE CITY OF ELK RIVER
A RESOLUTION ALLOCATING THE 2005 GENERAL FUND BALANCE
WHEREAS The City's Financial Management Plan includes a General Fund Balance
policy that states that any unreserved fund balance in excess of forty percent
shall be allocated to other purposes at the discretion of the City Council; and,
WHEREAS The City Council has requested that the minimum unreserved balance in the
General Fund for 2005 be 41.50 percent; and,
WHEREAS The City Council has considered the various uses of the balance in excess of
41.50 percent;
NOW THEREFORE BE IT RESOLVED that the City Council of the City of Elk River
makes the following reservations of the 2005 General Fund Balance:
Amount
$203,813 Capital Equipment
$203,813 Total
Allocation
Passed and adopted by the City Council this 3rd day of April 2006.
Stephanie A. Klinzing, Mayor
ATTEST:
Joan M. Schmidt, City Clerk