Agenda Packets - 2020/02/10 - Laserfiche WebLink

Home Browse Search

Item No. 8.B. Meeting Date: February 10, 2020 Type of Business: Council Business Administrator Review: _______ City of Mounds View Staff Report To: Honorable Mayor and City Council From: Mark Beer, Finance Director Item Title/Subject: Resolution 9233 Approving Transfers between Funds for 2019 Background: The City Council included a number of transfers between funds as part of the 2019 budget. They are listed in the attached resolution in the Budget column. Resolution 9233 formally authorizes the listed transfers between funds in the Actual column for 2019. Some of the budgeted transfers can be adjusted. The Council can direct staff to make additional changes if it desires. Discussion: The General Fund has a small surplus due to higher franchise fee revenue, LGA was received at the promised amount, building permits were higher than anticipated and interest revenue was higher due to marking to market. There is a budgeted transfer of $75,000 to the Special Projects Fund, due to the favorable revenue collections staff recommends that the transfer be increased to $125,000 also staff recommends that the transfer from the General Fund to the Vehicle and Equipment fund be increased to $325,000. An underfunded balance of approximately one million dollars had developed as a result of the 2008 economic downturn. The General fund transfer was underfunded to balance the budget for several years while the economy improved. With each successive budget the amount has been increased and we began to reduce the underfunded condition in 2018 which is now approximately $810,000. By increasing the transfer for 2019 and eliminating $23,000 to be transferred to the General Fund for computer equipment we will continue to reduce the underfunded amount in the Vehicle and Equipment fund. Recommendation: Staff is recommending approval of resolution 9233 approving transfers between funds. Respectfully Submitted, ____________________ Mark Beer, Finance Director