3.3. SR 11-15-2010 - Laserfiche WebLink

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and that the revenue source should constitute a substantial portion of the resources reported in the fund. The attached resolution formalizes the commitment of the specific revenue sources to the specified purposes so that the funds may continue to be reported as special revenue funds. Committing General Fund Balance For OPEB Obligation GASB 54 definition of committed fund balance describes that portion of fund balance that represents resources whose use is constrained by limitations that the government imposes upon itself at its highest level of decision-making. Under the new general fund balance policy, the City Council may commit fund balance for specific purposes by resolution designating the specific use of fund balance and will remain binding unless removed in the same manner. The attached resolution formalizes the commitment of general fund balance to fund the City's other postemployment(OPEB) obligation liability which was previously designated in the severance pay fund and now must be reported in the general fund. Authorizing The Transfer Of Funds In preparation for implementation of GASB 54, all the City funds and fund classifications have been reviewed. A basic principle of governmental accounting says that a government should use the least number of individual funds possible, consistent with its particular circumstances. Upon review of the capital projects funds, Fund 401 Capital Projects and Fund 405 NE Area Trunk Utilities are no longer being utilized to account for resources or expenditures for capital related project activity and can be transferred to another fund with a similar activity. The attached resolution authorizes the transfer of Fund 401 Capital Projects to Fund 403 Street Improvement and Fund 405 NE Area Trunk Utilities to Fund 406 Trunk Utilities. FINANCIAL IMPACT None ATTACHMENTS ^ General Fund Balance Policy ^ A Resolution Committing Specific Revenue Sources in Special Revenue Funds ^ A Resolution Committing General Fund Balance For OPEB Obligation ^ A Resolution Authorizing The Transfer of Funds Action Motion by Second by Vote Follow Up N:\Public Bodies\Ciry Council\Council RCA\Agenda Packet\11-15-2010\GASB%2054%20Items%20Action%20Requested[1].docx