Laserfiche WebLink
3. Committed <br />• Fund balance that can only be used for specific purposes pursuant to constraints <br />imposed by formal action of the government's highest level of decision -making <br />authority. The committed amounts cannot be used for any other purpose unless <br />the government removes or changes the specified use by taking the same type <br />of action it employed to commit those amounts. <br />• The City's highest level of decision making authority (City Council) will <br />annually or as deemed necessary commit specific revenue sources for specified <br />purposes by resolution. This formal action must occur prior to the end of the <br />reporting period, however, the amount to be subject to the constraint, may be <br />determined in the subsequent period. <br />• To remove the constraint on specified use of committed resources the City <br />Council shall pass a resolution <br />4. Assigned <br />• Amounts that are constrained by the government's intent to use for specified <br />purposes, but are neither restricted nor committed. Assigned fund balance in <br />the General fund includes amounts that are intended to be used for specific <br />purposes. <br />• The City Council has delegated the authority to assign and remove assignments <br />of fund balance amounts for specified purposes to the Finance Director or <br />designee. <br />5. Unassigned <br />• Unassigned fund balance represents the residual classification for the General <br />fund. This includes amounts that have not been assigned to other funds and that <br />have not been restricted, committed, or assigned to specific purposes within the <br />General fund. The General fund should be the only fund that reports a positive <br />unassigned fund balance amount. <br />The City will target an unassigned fund balance in the General fund of <br />40% to 50% of the next year's budgeted expenditures and anticipated <br />transfers out of the General fund. This will assist in maintaining an <br />adequate level of fund balance to provide for cash floe requirements <br />and contingency needs because major revenues, including property <br />taxes and other government aids are received in the second half of the <br />City's fiscal year and are subject to change by the state legislature <br />