HomeMy WebLinkAbout2004-12-13 Ordinance 4857ORDINANCE NO. 4857
ORDINANCE OF THE COUNCIL OF THE CITY OF PALO ALTO
AMENDING THE BUDGET FOR THE FISCAL YEAR 2004-05 TO
TRANSFER THE INFRASTRUCTURE RESERVE IN THE AMOUNT OF
$35,881,000 FROM THE GENERAL FUND TO THE CAPITAL FUND
The Council of the City of Palo Alto does ordain as
follows:
SECTION 1. The Council of the City of Palo Alto finds and
determines as follows:
A. Pursuant to the provisions of Section 12 of Article III of
the Charter of the City of Palo Alto, the Council on June 28, 2004
did adopt a budget for fiscal year 2004-05; and
B. On December 3, 2002, the City Auditor issued an audit report
on the Long Range Financial Plan containing audit recommendations to
move the Infrastructure Reserve from the General Fund to the Capital
Projects Fund and retain unspent project funds in the Capital
Projects Fund; and
C. On June 28, 2004, the City Council adopted a Capital Fund
Reserve policy in accordance with the City Auditor's
recommendations; and
D. In order to implement the City Auditor's recommendations
and the Capital Fund Reserve policy, the Infrastructure Reserve must
be transferred from the General Fund to the Capital Fund. As a
result of this transfer unspent monies from the Infrastructure
Management Plan (CityWorks) projects will be returned to the
Infrastructure Reserve and be retained within the Capital Fund.
Investment Income from this reserve will also be retained within the
Infrastructure Reserve to fund future capital p"roject needs; and
E. City Council authorization is needed to amend the 2004-05
budget to implement the audit recommendations and policy as
hereinafter set forth.
SECTION 2. The General Fund Infrastructure Reserve in its
entirety in the amount of $35,881,000 is hereby transferred from the
General Fund to the Capital Fund.
SECTION 3. As specified in Section 2.28.080(c) of the Palo Alto
Municipal Code, a majority vote of the City Council is required to
adopt this ordinance.
SECTION 4. As provided in Section 2.04.330 of the Palo Alto
Municipal Code, this ordinance shall become effective upon adoption.
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INTRODUCED AND PASSED: December 12, 2004
AYES: BEECHAM, BURCH, CORDELL, FREEMAN, KISHIMOTO, KLEINBERG,
MOSSAR, MORTON, OJAKIAN
NOES:
ABSTENTIONS:
ABSENT:
ATTEST:
~~.~ City Clerk
APPROVED AS TO FORM:
Senior Asst. City Attorney
APPROVED:
Mayor
~
Director
Services
Administrative