HomeMy WebLinkAbout94-198 - ADMIN Resolution - City Council - 1994/12/19RESOLUTION NO. 94-198
RESOLUTION APPROVING POLICY FOR THE DESIGNATION OF FUND BALANCE IN
THE GENERAL FUND
WHEREAS establishing a General Fund fund balance designation policy is sound fiscal
management; and
WHEREAS a significant portion of the City's General Fund fund balance at the close of
each fiscal year must be retained for cash flow for operations into the following fiscal year, and it
is important that such designations be reflected in the financial statements of the City;
BE IT RESOLVED by the City Council of the City of St. Louis Park that fifty percent of
the subsequent year's Local Government Aid allotment along with fifty percent of the General
Fund's property tax levy and HACA to be received in the following year be designated in the
General Fund's financial statements as "Designated for Cash Flow"; and
BE IT FURTHER RESOLVED that designations for encumbrances, committed contracts
and for subsequent year's budget receive priority over the cash flow designation; and
BE IT FURTHER RESOLVED that should all designations, including the designation for
cash flow, be fully covered by the amount of fund balance that any remaining fund balance be
designated as contingency.
Attest:
14441,‘")
City Cler
Reviewed for administration:
City Manager
Adopted by the City Council December 19, 1994
bV12.4,
Approved as to form and execution:
12/0.401- e 7 _
City Attorney