Minutes 11/08/1988 - Laserfiche WebLink

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TUESDAY, NOVEMBER 8, 1988 transactions during the period December of 1984 to October 1985 in (1) dissolving the Ridgeway Hydro Fund and the establishing of an Electric Capital Reserve Fund and (2) transferring surplus funds to the Sewer Bond Fund. Accordingly, during the interim, in his reports, Electric Fund surplus has been overstated by $683,999.00 and Sewer Fund surplus has been overstated by $259,798.00. Reporting on this in writing, City Manager Brown recommended that "To avoid any possibility of this recurring and to insure that the annual audit is properly interpreted .... "" .... the auditor develop fund balance sheets. This would insure that the fund balances completely track the audit figures and, further the responsibility for developing both the audit and fund balance sheets would rest with one person or firm, rather than having two persons or entities involved." Mr. St. Lawrence agreed to develop and prepare said fund balance sheets. Mr. Fitts then presented a tabulation entitled "SURPLUS ANALYSIS - Budget to Actual",comparing fund surplus balances at June 30, 1988, with amounts estimated in preparing the 1987-88 City Budget as well as in preparing the 1988-89 City Budget. City Manager Brown presented a Five-Year Financial Forecast of revenues and expenditures and the status of the various funds, beginning with the current 1988-89 budget year and assuming no increases in current revenue sources or rates, although Mr. Brown included in the report possible sources of additional revenue, as listed in his 1988-89 budget message. The forecast computation was based on historical financial data for the five years preceding the current 1988-89 fiscal year for expenditures, i.e., percentages of historical growth applied to determine projected expenditure needs. As to t.he General Fund, revenue was projected to be but 4.26% more in 1992-93 over 1988-89 (including an item of $268,638.00 new tax revenue), whereas 1992-93 expenditures were