2015_0914_CCpacket - Laserfiche WebLink

Home

Operating Budget Policy Purpose The purpose of the City's Operating Budget Policy is to ensure that the City's annual operating expenditures are based on a stable stream of revenues. The policies are designed to encourage a long-term perspective to avoid pursuing short-term benefits at the expense of future impacts. The intent of this policy is to enable a sustainable level of services, expenditures, � property tax levies, and other revenue sources includin� fee revenue. � SCopO r� This policy applies most critically to those programs funded through the property tax, as fluctuations in � this revenue source can have substantial impacts. , � � �� Policy ,� � ❖ The City will pay for all current expenditures with current revenues. The City will avoid � budgetary procedures that balance current expenditures at the expense of ineeting future years' �� expenses. Specifically, accruing future year's revenues shall be prohibited. Practices to be � avoided include postponing expenditures, rolling over short-term debt, and drawing down reserves beyond tar�eted levels to balance the operating budget. •3 The operating budget will provide for adequate maintenance and periodic replacement of capital � equipment, �r�' � r *'��r ^ra�r'�� r�r'�^��r*. ❖ A proportionate share of the administrative and general government costs incurred by the general operating fund of the City shall be borne by all funds as is practicable. Such administrative charges shall be predetermined and budgeted annually ❖ New programs or proposals shall be reviewed in detail by City staff and both a policy and fiscal analysis shall be prepared prior to budgetary inclusion, and provided to the City Council for review ❖ A request for a program or service expansion ar reduction must be supported by an analysis of public policy implications of the change ❖ A request for new personnel must be supported by an analysis demonstrating the need for the position based on workload measures, comparative staffing levels, and City and department priorities ❖ A request for purchase of new (additional) capital equipment must be supported by an analysis demonstrating that the value of the benefits of the equipment is greater than the cost of the equipment over its expected life ❖ As specified under City Code section 103.05 all general purchases and/or contracts in excess of $5,000 must be separately approved by the Council In recognition of industry-recommended budgeting practices, the City has established the following budget controls: ❖ The City will maintain a budgetary control system to ensure adherence to the budget Page 5 of 19