ITEM 3.6 Approving closure of Fund 441Ot�egTYOFo
MINNESOTA 4 7
DEPARTMENT INFORMATION
Request for
City Council Action
ORIGINATING DEPARTMENT:
REQUEST OR:
MEETING DATE:
Administration
Adam Flaherty, Finance Director
March 13, 2017
PRESENTER(s):
REVIEWED BY:
ITEM #:
Consent Agenda
issuance of bonds.
3.6
AGENDA ITEM DETAILS
RECOMMENDATION:
It is recommended by staff that the City Council approve the closure of Fund #441— Municipal Buildings
by transferring the remaining funds to the projects respective debt service fund.
ARE YOU SEEKING APPROVAL OF A CONTRACT?
IS A PUBLIC HEARING REQUIRED?
No
No
BACKGROUN DMUSTI FICATION:
Fund #441— Municipal Buildings Fund was initially established for the accounting of revenues and
expenditures related to the construction of the Public Works Facility, which was mostly financed by the
issuance of bonds.
Given that construction of the facility has been completed, there is no ongoing purpose for this fund.
The Finance Director is recommending closure of this fund, with all remaining funds to be transferred to
another fund of the City. The current cash balance of the fund is $1,120.05.
The Finance Director recommends a transfer to Fund #385, which is responsible for repayment of the
G.O. Improvement Refunding Bond, Series 2010. The City currently levies tax dollars each year for such
repayment. This transfer will help offset the future tax levies needed for repayment.
This transfer will be retroactively made to be included within the December 31, 2016 financial
statements.
SUPPORTING DOCUMENTS: ATTACHED NONE
• Resolution 2017-18: Approving Transfer of Funds
POSSIBLE MOTION
mm -- - -
Pleaseword motion—as-- you ---- would like ---- it to- appear- in the minute--- -s.
-Motion to approve Resolution 2017-18, approving transfer of funds.
BUDGET INFORMATION
FUNDING: BUDGETED:
N/A No
CITY OF OTSEGO
COUNTY OF WRIGHT
STATE OF NIINMSOTA
RESOLUTION NO 2017-18
APPROVING TRANSFER OF FUNDS
WHEREAS, governmental accounting requires that monies dedicated to specific projects or activities are
accounted for within a separate fund of the City; and
WHEREAS, the City of Otsego established the Municipal Buildings fund to account for the revenues and
expenditures during the construction of the Public Works Facility; and
WHEREAS, the construction of the Public Works Facility has been completed so there is no ongoing
purpose; and
WHEREAS, the Otsego City Council has the responsibility to review such transfers of funds as part of their
financial oversight of the City's resources.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF OTSEGO,
MINNESOTA:
That effective as of December 31, 2016, the closure of the Municipal Buildings fund is authorized
with remaining fund balances to be transferred to the Debt Service fund for the G.O. Improvement
Refunding Bonds, Series 2010.
ADOPTED by the Otsego City Council this 13th day of March, 2017.
MOTION made by Council Member and SECONDED by Council Member
IN FAVOR:
OPPOSED:
ATTEST:
CITY OF OTSEGO
Jessica Stockamp, Mayor
Tami Loff, City Clerk