HomeMy WebLinkAboutCC RES 14-71RESOLUTION NO. 14 -71
' A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
TUSTIN, CALIFORNIA, REVISING THE CITY'S GENERAL
FUND RESERVE AND SPECIAL FUND ACCOUNTS
POLICIES
THE CITY COUNCIL OF THE CITY OF TUSTIN FINDS THAT:
WHEREAS, the City Council of the City of Tustin, California is charged with the
oversight of City funds; and
WHEREAS, the City Council established a General Fund Reserve Policy and
Special Fund Accounts in Resolution No.12 -106; and
WHEREAS, the City Council wishes to continue implementation of those policies
as modified herein to strengthen the City of Tustin's financial flexibility and sustainability
for the future.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF TUSTIN THAT:
1. General Fund Reserve Policv. The City will maintain a reserve of 20% of the annual
General Fund expenditures. Only if the City Council declares a financial emergency
may the reserves be allowed to fall to less than 15 %.
2. Three Special Fund Accounts. The Three Special Fund Accounts shall be
maintained and utilized in accordance with the following:
a. Emergency Fund — Minimum $1 million
For use in a City Council declared emergency such as earthquake, flood or fire.
This fund would augment funds for City operational costs during and while
recovering from such emergencies. The City will endeavor to obtain
reimbursement of such emergency funds from the state or federal government,
or both.
b. Land Proceeds Fund
These funds are derived from land sales primarily in the Tustin Legacy Project;
however, these funds could be from any City owned property.
Proceeds from land sales within the Tustin Legacy Project area will be accounted
for with separate funds: (1) those funds received as contributions to the
' Backbone Infrastructure program from each land sale will be deposited to Fund
187; and (2) the remaining funds and consideration received as purchase price
Resolution No. 14 -71
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will be deposited to Fund 189. Funds in Fund 187 will be dedicated for uses in '
the Legacy area consistent with the Backbone Infrastructure program, until such
time that the City has secured adequate funds necessary to develop the Tustin
Legacy backbone infrastructure and maintenance program. Fund 189 may be
used for any lawful City purposes.
Proceeds from land sales outside the Tustin Legacy Project area will be
deposited to Fund 189.
c. Special Capital Project Fund
The fund would provide for the financing of needed infrastructure where there is
currently no dedicated funding source, such as water funds or transportation
funds. These General Fund expenditures would include, but not be limited to:
technology upgrades, building construction /upgrades and park enhancements. It
is recommended that the Council allocate 25% of any fiscal year General Fund
surplus be dedicated to this fund.
3. Resolution No. 12 -106 is repealed in its entirety.
PASSED AND ADOPTED by the City Council of the City of Tustin at a regular
meeting on the 4th day of November, 2014. ,J
D "fTGCT
Resolution No. 14 -71
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' STATE OF CALIFORNIA )
COUNTY OF ORANGE ) SS
CITY OF TUSTIN )
I, Jeffrey C. Parker, City Clerk and ex- officio Clerk of the City Council of the City of
Tustin, California, do hereby certify that the whole number of the members of the City
Council of the City of Tustin is five; that the above and foregoing Resolution No. 14 -71
was duly passed and adopted at a regular meeting of the Tustin City Council, held on
the 4th day of November, 2014, by the following vote:
C
COUNCILPERSONS AYES: Murray, Puckett, Nielsen, Gomez, Bernstein (5)
COUNCILPERSONS NOES: None (0)
COUNCILPERSONS ABSTAINED: None (0)
COUNCILPERSONS ABSENT: None (0)
Resolution No. 14 -71
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