HomeMy WebLinkAboutRes 1950 - Financial Planning Model and Other General Financial Policies (Repealed by Res 2014)City of Tukwil5i
Washington
Cover page to Resolution 1950
The full text of the resolution follows this cover page.
A RESOLUT[ ONSI OF THE CITY COUNCIL OF THE CI'TY
OF TUKWL,,A. WASHINGTON, ADOPTING UPDATED
P0,11LICIES RELATED T'THE FINANCIAL PLANNING
MODEL AND OTHER GENERAL FINANCIAL
POLICIES, AND REPEAUNG RESOLUTION NO 1897.
Resolution 1950 was amended or repealed by the
following resolutions.
REPEALED
Settion(s) Repealed Repealed by Res
2014
City of Tukwila
Washington
Resolution No. ) (160
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF TUKWILA, WASHINGTON, ADOPTING UPDATED
POLICIES RELATED TO THE FINANCIAL PLANNING
MODEL AND OTHER GENERAL FINANCIAL
POLICIES; AND REPEALING RESOLUTION NO. 1897.
WHEREAS, the City Council and Mayor are committed to high standards of
financial management; and
WHEREAS, adopting and periodically updating and revising financial policies are
important steps toward ensuring consistent and rational financial management; and
WHEREAS, policies related to the Financial Planning Model and other general
financial policies are essential components of an overall financial management policy;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA,
WASHINGTON, HEREBY RESOLVES AS FOLLOWS:
Section 1. Financial policies related to the Financial Planning Model and policies
of a general nature, as evidenced in Exhibit A, are adopted.
Section 2. The financial policies related to the Financial Planning Model and other
general financial policies shall be reviewed on a regular basis and updated as
necessary.
Section 3. Repealer. Resolution No. 1897 is hereby repealed.
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PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at
T1-
a Regular Meeting thereof this O flay of �(/ ,,ti.%D] r 2018.
ATTEST/AUTHENTICATED:
fF)9-111P,`)\,.
Christy O'Flah y, MMC, City C rk V a Seal, Council President
APPROVED AS TO FORM BY:
Rachel B. Turpin, City Attorney
Filed with the City Clerk: ) I -
Passed by the City Council:
Resolution Number: 19_ jD
Attachment:
Exhibit A — Financial Planning Model Policies and Other General Financial Policies
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EXHIBIT A
City of Tukwila
Financial Planning Model Policies
The six -year "Financial Planning Model and Capital Improvement Program" is the primary
financial policy document. It represents the culmination of all financial policies.
Revenues
Policy FP-1: Revenues will be estimated on a conservative basis. Increases
greater than inflation in the schedule known as the 6-Year Financial Plan — General
Fund Revenues and Expenditures will require additional documentation.
Policy FP-2: Major revenue sources will require explanation in the document known
as Notes to 6-Year Financial Plan - Revenues, Expenditures and Fund Balance.
Operating Expenditures
Policy FP-3: Expenditures for the General Fund operations (schedule known as
General Fund Maintenance and Operations Detail will only include basic inflationary
increases at the beginning of the budget preparation process. Proposed increases
in programs or personnel will require an issues and options paper and Council
approval before being added to the operating expenditures estimate.
Capital Expenditures
Policy FP-4: Project capital grants with local matching requirements can only be
applied for with approval by the appropriate City Council Committee. Grant
applications should generally be made only for projects listed in the six -year Capital
Improvement Program, although exceptions can be made with approval by the
appropriate City Council Committee.
Policy FP-5: If the proposed grants or mitigation are either not funded or are
reduced, the respective project will be reevaluated on the basis of its value and
priority level placement in the Capital Improvement Program.
Policy FP-6: The financing of limited benefit capital improvements (i.e. private
development) should be borne by the primary beneficiaries of the improvement.
The principle underlying limited benefit is that the property is peculiarly benefited
and therefore the owners do not in fact pay anything in excess of what they receive
by reason of such improvement.
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Policy FP-7: For the purpose of compliance with Tukwila Municipal Code Section
3.32.040, "Unbudgeted Equipment or Fixed Assets," "unbudgeted" shall mean when
a department's capital asset line item has insufficient budget for the desired
purchase. Capital equipment or fixed asset purchases between $5,000 - $39,999
are not subject to TMC 3.32.040 and do not require Council Committee approval if
there is sufficient budget, unless there is a policy implication.
Enterprise Funds
Policy FP-8: Each Enterprise Fund shall be reviewed annually and it must have a
rate structure adequate to meet its operations and maintenance and long-term
capital requirements.
Policy FP-9: Enterprise Fund rate increases shall be small, applied frequently, and
staggered to avoid an overly burdensome increase and undue impact in any given
year.
Policy FP-10: Enterprise Fund rate increases of external agencies (i.e. King County
secondary wastewater treatment fees) will be passed through to the users of the
utility.
Other General Financial Policies
Policy GF-1: The City's various user charges and fees shall be reviewed at least every
three years for proposed adjustments based on services provided and comparisons with
other jurisdictions.
Policy GF-2: The Finance Director shall provide a financial status update at least
quarterly.
Policy GF-3: Budget amendments during the year may be approved by budget motion
until the end of the budget year, at which time a formal comprehensive budget
amendment is submitted.
Policy GF-4: The City shall, whenever practical and advantageous, take advantage of
grants, loans, or other external financial sources. With the exception of capital
improvement program grants requiring a local match, staff shall report to and seek the
approval of the appropriate Council Committee before finalizing the grant.
Policy GF-5: Funds exceeding the Mayor's allocated signature authority shall not be
moved between City departments without prior approval of the City Council.
Policy GF-6: The City Council shall receive an updated list of all contracts every quarter,
including the amount, responsible department, scope of work, and expiration date.
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