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Attachment B Commissioner Murray stated he read through the Standard and Poor’s report on the ratings and it appears Standard and Poor’s look at all of the cash the City has, not just one fund. He did not think that is an issue. Vice-Chair McRoberts asked if the Finance Commission would need a policy to sweep the funds. Mr. Miller thought at this point what the Council is looking for is a recommendation from the Finance Commission. Some of the mechanics can get worked out. What the City Council is looking for and what the Finance Commission should get settled is does the Commission want to recommend the creation of this fund and to be able to show the Council a report explaining the process of sweeping the funds to the General Fund for future initiatives, future purposes, future tax relief, whatever the Council may want to decide later on down the road. Vice-Chair McRoberts stated the excess money would be stored in the General Fund and if the General Fund was over there would never be a sweep from the General Fund. Mr. Miller stated what staff would do is the excess funds would be earmarked for some future initiative and does not need to be specific. He noted if a fund is lower than what the target amount is designated at the funds can be swept from the General Fund back into the specific fund needing money. Vice-Chair McRoberts wondered if a written example should be created to show the City Council. Mr. Miller stated an example could be created. Staff could create a decision tree in the staff report given to Council. He thought the chart in the Finance Commission packet would be adequate to explain to the City Council how money would be swept out of the funds. Vice-Chair McRoberts liked the idea of a decision tree to provide clarity. Commissioner Reif asked what is currently done if one of the funds is short. Mr. Miller stated the City Council would make a decision to move money from one fund to another if that happened. The Council has always had that discretion. Commissioner Reif thought the Finance Commission would be formalizing the action in more definitive guidelines as to when funds are considered to be excess. Mr. Miller stated the Finance Commission is trying to make the process more formula driven. Commissioner Hodder moved, seconded by Commissioner Murray to recommend the City Council Consider Establishing a Cash Reserve Fund held within the General Fund using the mechanism defined in the September 11, 2018, Attachment A based on the revised levels defined in the Excess Cash Reserve Calculation table. The motion carried unanimously.