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HomeMy Public PortalAboutAB 15-65 FY14 Excess Fund BalanceMcCALL CITY COUNCIL 216 East Park Street AGENDA BILL McCall, Idaho 83638 Number AB 15-65 Meeting Date April 23, 2015 AGENDA ITEM INFORMATION  SUBJECT: FY14 Surplus Fund Balances Department Approvals Initials Originator or Supporter   Mayor / Council     City Manager     Clerk     Treasurer / Originator   Community Development     Police Department     Public Works     Golf Course    COST IMPACT: N/A Parks and Recreation    FUNDING SOURCE: N/A Airport      Library    TIMELINE: N/A Information Systems      Grant Coordinator    SUMMARY STATEMENT: Since the receipt of the FY14 Audited Financial Statements, staff has calculated the required minimum fund balances for each of the City’s funds per the Fund Balance Policy adopted by Resolution 11-19. The adopted Fund Balance Policy established set classifications of fund balances in the govermental funds in accordance with GASB Statement No. 54. The policy also redefined and established a minimum fund balance policy for ‘cash flow’ and ‘budget stabilization’in the General Fund and Special Revenue funds. Cash Flow: General Fund – an amount equal to 25% of the current years’ operating budget Special Revenue Funds – 20% of the current year’s operating budget Budget Stabilization: General Fund – an amount equal to 15% of the three most recent years’ average operation budget Special Revenue Funds – an amount equal to 10% of the three most recent years’ average operation budget The policy adopted also redefined and established a minimum cash reserve policy for the enterprise funds (water, wastewater, and golf) Enterprise Funds – in addition to any sums required under loan or bond agreements, an amount equal to 30% of the three most recent year’s average operating budget The attached spreadsheets show the calculation and classification of the City’s fund balances and cash reserves in each fund. Surplus fund balance in the general fund is generally derived from property taxes. Remaining cash balance in the Special Revenue Funds is derived in part from property taxes and in part from fees and other charges for services. Remaining cash balance in the Enterprise Funds is derived entirely from fees for services. Staff will provide a recommendation of potential uses of excess fund balances to the Council during FY16 budget development and FY15 budget amendment.  RECOMMENDED ACTION: No action necessary - Information Only  RECORD OF COUNCIL ACTION  MEETING DATE ACTION  February 26, 2015 AB 15-31 Council Received the FY14 Audit Report