HomeMy WebLinkAbout2020-26 Confirming the indtended sources and uses of funds accumulated for and in the Reserve Fund1
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
RESOLUTION NO.2020-26
A RESOLUTION CONFIRMING THE INTENDED SOURCES AND USES OF FUNDS
ACCUMULATED FOR AND IN THE RESERVE FUND
RECITALS:
The City of Ashland established a reserve fund in Fiscal Year 2009-2010 and identified intended
sources and uses through adoption of Resolution 2010-18. Through change in the economic
conditions and accounting standards affecting the City, it has become apparent that the intended
sources and uses of the Reserve Fund need to be clarified.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ASHLAND, OREGON,
RESOLVES AS FOLLOWS:
SECTION 1.
A. Contributions to the Reserve Fund are made via four mechanisms:
a. Transfer from operating funds through the budget adoption process as approved by City
Council;
b. Transfer from operating funds through the budget amendment process as approved by
City Council;
c. Proceeds from windfall opportunities as directed and approved by City Council at the
time the opportunity is recognized, i.e. outside the budget processes; or
d. Pursuant to the Fund Balance policy as adopted by City Council by which a portion of an
individual fund's fund balance over the policy maximum is transferred automatically to
the Reserve Fund.
B. Uses of the Reserve Fund resources can be authorized via three mechanisms
a. Declaration of a public health, safety, and welfare emergency by the City Manager and
confirmed by the City Council electronically for which additional resources are needed to
address immediate needs. Funds are limited to the City Manager's spending limit as
identified and approved in policy by the City Council. This action including identification
of the specific uses for the funds must be ratified by the City Council in open session no
later than the first meeting after the declaration of emergency;
b. Appropriation of funds during the budget process to address unplanned, urgent capital
project for which other funding has not been secured. This action must be adopted by
resolution of the City Council in open session separately from adoption of the budget in
RESOLUTION NO.2020-26
Page 1 of 2
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
total and include identification of the specific project to be funded, the public purpose
served, and other sources of funding identified as untenable or unavailable; or
c. Appropriation of funds during the budget process to address unplanned, urgent operating
needs resulting from a sudden loss of revenues or catastrophic event impacting the City's
ability to raise funds from usually budgeted sources. This action must be adopted by
resolution of the City Council in open session separately from adoption of the budget in
total and include identification of the specific operations to be funded, the public purpose
served, and other sources of funding identified as untenable or unavailable.
C. The unappropriated ending fund balance of the Reserve Fund identified in the budget process
or audit results is restricted from use. This amount cannot be transferred by resolution or used
through a supplemental budget, unless necessitated by a qualifying emergency (ORS 294.371)
and as noted above in Ba.
SECTION 2. All prior references to an annual budget process and all concurrent references to
the budget process for identifying resources and requirements or uses will refer to the two-year
cycle utilized for the City's biennial budget.
SECTION 3. This resolution is effective upon adoption.
ADOPTED by the City Council this _� day of DA U-t,,, 2020.
ATTEST:
Melissa Huhtala, City Recorder
SIGNED and APPROVED this 1 S� day of _, 2020.
Reviewed as to form:
David H. Lohman, City Attorney
RESOLUTION NO.2020-26
Page 2 of 2