Title
Resolution to approve the General Capital Reserve Fund policy.
Summary
The General Capital Reserve Fund policy was developed early in the budget process. This policy was included in all drafts of the 2012 proposed budget and discussed in the July 12, 2011 budget presentation. The Finance and Budget Committee reviewed the policy at its August 4, 2011 meeting and recommended the policy as written.
To clearly outline the intent of Council regarding this policy, the City’s auditor has recommended the City Council take specific action on this policy. This recommendation is in response to recent changes in accounting standards, specifically Governmental Accounting Standards Board (GASB) 54. This new standard requires formal action by the governing body to classify fund balance resources as committed at the end of the fiscal year.
Prior City Council Action
This policy was included in the 2012 proposed budget approved on September 13, 2011.
Deadline for City Council Action
September 27, 2011
Fiscal Impact
Outlined in policy.
Staff Recommendation
Approve the resolution.
Drafter
Beth C. Davis, Finance Director