HomeMy Public PortalAbout113-1993 -SPECIAL ORDINANCE TO FUND THE TRANSFER FROM THE ELECTORDINANCE NO. 113-1993
A SPECIAL ORDINANCE TO FUND THE TRANSFER FROM THE ELECTRIC
UTILITY TO THE GENERAL FUND IN THE 1994 CITY BUDGET
WHEREAS the Common Council of Richmond, Indiana, serves as the Board of
Directors of the city owned electric utility, commonly referred to as
Richmond Power and Light, and
WHEREAS Indiana Code 8-1.5-3-11(a) provides "the municipal legislative body, with
the approval of the board, may transfer surplus earnings of the utility to the
general fund", and
WHEREAS Common Council adopted the 1994 city general fund budget on September
20, 1993, which includes "transfer from electric utility - $2,066,677", and
WHEREAS the Indiana Utility Regulatory Commission in cause no. 39465 by order
entered December 30, 1992, fixed the annual payment in lieu of taxes from
the utility to the city at $545,816, which payment is authorized by Indiana
Code 8-1.5-3-11(d), and
WHEREAS an emergency exists because the June 30, 1993, cash balance in the utility's
cash reserve fund was $1,881,860.34 which is sufficient to fund the annual
payment in lieu of taxes but is not sufficient to fund the total transfer
mandated by Common Council by the amount of $184,816.66, and
WHEREAS surplus earnings of the utility as defined in Indiana Code 8-1.5-3-11(c) exist
in excess of $184,816.66 in the cash operating fund of the utility, and
WHEREAS the City Controller has consulted the Indiana State Board of Accounts
concerning this matter and received attached Exhibit A in response,
NOW, THEREFORE, be it ordained by the Common Council of the City of Richmond, Indiana,
that the Finance Manager of Richmond Power_ and Light.transfer ari additional $184,816.66 from
the utility's cash operating fund to the utility's cash reserve fund during calendar year 1993 in
order to fund the transfer from the electric utility to the city general fund of $2,066,677 on or after
January 1, 1994.
Passed and adopted this 20th day of December, 1993, by the Common Council of the City of
Richmond, Indiana.
Xv�,President
(Etta J undy)
ATTEST: ,CityClerk
rma Carnes)
PRESENTED to the Mayor of the City of Richmond, Indiana, this 21st day of December, 1993, at
9:00 a.m.
,City Clerk
(Norma Carnes)
APPROVED by me, Roger Cornett, May of ty of Richmond, Indiana, this 21 st day of
December, 1993, at 9:05 a.m.
,Mayor
oger C
ATTES City Clerk
Norma Carnes)
12/20/93 0 7 : 4 7 BOARD OF ACCOUNTS (317) 232-4711 p.001
STATE OF INDIANA
ANitl:AL OPPORTUNITY EMPLOYER STATEBOARD OF ACCOUNTS
302 West WAsNsrrcTov SrneFY
4T[[ Fi-Aoa, Room F418
INDIANAMLI , iEG[AI'A 46264-2738
(317) 232.251 x
Mr. nennis W. Grimes
City Controller
City of Richmond
50 North 5th street
Richmond, IN 47374
Dear Kr. Grimes:
December 17, 1993
File: Wayne - Civil
Re: Cash Reserve Fund
This is in respongw to your facsimile transmission to this office
on December 17, 1993, concerning the electric utility cash reserve fund.
We have reviewed the propouwd ordinance No. 113-1993 concerning an
emergency transfer of funds from the cash reserve fund to the general fund.
Based on the info=stion you provided, am long as such ordinance is in
compliance with IC 8-1.5-3-11(ej we would not take audit oxception to the
emergency tranafP.r of funds.
This should not be construed as a legal opinion. This merely
represents the pnaftton we would take in an audit of the City•s records.
Very truly yours,
Donald L. Euratt.e, C.P.A.
State Examiner
CWp/ tgm
cc: Data File
DISPOSITION OF ORDINANCE NO. lL- -199
RESOLUTION NO. — 199—
by Common Council
Ordinance No./2—,3
Resolution, No. _ Elstro Lundy 113rookbank Donat McBride Parker Dickman Allen Hutton
Susp. rules Ist read
Title only
Proof of Publicaton
Seconded
Move to Znd read
Seconded I I I I I
Engrossment
r� •-
-
Seconded
Susp rules 3rd read
Seconded
Passage ✓ ✓ ✓ ----------
Rejection
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Rejection c/
Date Passed
COMMITTEE ASSIG S:
Committee Data
Commitee Hearing Date
Reassigned to Council Agenda
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