HomeMy WebLinkAbout2025.06.02 RESO 2025-23 Close Covid Relief Fund and Transfer income to Street CIP Fund CITY OF HUGO
RESOLUTION 2025—23
RESOLUTION TO CLOSE THE CORONAVIRUS RELIEF FUND AND
TRANSFER INVESTMENT INCOME TO THE STREET CIP FUND
WHEREAS,the City of Hugo maintains a fund accounting system that segregates cash
according to the source and intended use; and
WHEREAS, it is necessary to create fund accounts as needs arise, and to close fund accounts
when those needs no longer exist; and
WHEREAS,the Coronavirus Relief Fund was established in 2020 to track the$1,148,713.00
received in CARES Act Funding, and was used again in 2021 and 2022 to track the
$1,668,411.91 received in ARPA Funding; and
WHEREAS, as of December 31, 2024, all Coronavirus Relief Funding has been expended and
properly reported; and
WHEREAS,the Governmental Accounting Standards Board (GASB), along with the City's
auditors, recommend closing fund accounts when the intended use of those accounts no longer
exist.
WHEREAS, investment income in the amount of$86,380.48 remained in the Fund; and
WHEREAS,per United States Treasury guidance, interest earned does not need to be remitted
to the Treasury nor used for specific program-related expenditures; and
WHEREAS,the investment income is not restricted for any specific purpose and therefore can
be transferred to any fund designated by the City Council.
NOW THEREFORE, BE IT RESOLVED that the City Council of the City of Hugo authorizes
the closure of the Coronavirus Relief Fund and the transfer of all remaining investment income
to the Street CIP Fund.
Adopted by the City Council of the City of Hugo, Minnesota this 2nd day of , 2025.
Tom Weidt, Mayor
Attested.-
Michele Lindau, City Clerk