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HomeMy WebLinkAbout5/18/2005 - STAFF REPORTS (19) CITY COUNCIL MAY 18, 2005 CONSENT CALENDAR SUBJECT: ESTABLISHMENT OF A NEW SPECIAL REVENUE FUND TO BE NAMED THE NEIGHBORHOOD INVOLVEMENT FUND FROM: David H. Ready, City Manager BY: Department of Finance SUMMARY: The new fund will allow the City to track the revenue and expenses related to neighborhood organizations. RECOMMENDATION: Adopt Resolution No. "A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA AUTHORIZING THE ESTABLISHMENT OF A NEW SPECIAL REVENUE FUND TO BE CALLED THE NEIGHBORHOOD INVOLVEMENT FUND AND AUTHORIZING THE DIRECTOR OF FINANCE TO CREATE THE APPROPRIATE ACTIVITIES (COST CENTERS) AND ACCOUNT NUMBERS." Adopt Resolution No. , A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA AMENDING THE BUDGET FOR THE 2004-05 FISCAL YEAR" (TO TRANSFER $12,597.70 FROM GENERAL FUND TO NEW FUND). STAFF ANALYSIS: The City Council recently enacted the Office of Neighborhood Involvement Ordinance to help coordinate the involvement of citizens belonging to organized neighborhood groups. One of the provisions of the Ordinance (Section 2.55.130B) directs the City Manager to establish a Neighborhood Non-Profit Foundation for the purpose of receiving tax-exempt contributions and tracking revenue and expenses for each specific neighborhood. The City, as a municipal government, is already a tax exempt organization under Section 501 c (3) of the Internal Revenue Code. The City can receive tax deductible contributions. An accounting, reporting and internal control system is already in place. The establishment of a Special Fund for Neighborhood Involvement would seem to meet the criteria set forth in the Ordinance, and Item No. 3 . A . would avoid the costs and administrative duties of creating a foundation. If, in the future, the volume of transactions and/or the amount of money involved make creating a foundation a better alternative, the Neighborhood Involvement Special Revenue Fund could easily be rolled into it. Participation by individual neighborhoods in the proposed Special Revenue Fund is voluntary. FISCAL IMPACT: The City had budgeted for Office of Neighborhood Involvement Programs in previous fiscal years. The balance in that account, approximately $12,500, will be transferred to the proposed new fund to help cover the costs of supporting the program. No additional funds are included in the proposed budget for Fiscal Year 2005-06. Future City contributions would be at Council's discretion. Thomas M. Kanarr, Director of Finance David H. Ready, City ger RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS AUTHORIZING THE ESTABLISHMENT OF A NEW SPECIAL REVENUE FUND TO BE CALLED THE NEIGHBORHOOD INVOLVEMENT FUND AND AUTHORIZING THE DIRECTOR OF FINANCE TO CREATE THE APPROPRIATE ACTIVITIES (COST CENTERS) AND ACCOUNT NUMBERS WHEREAS, the City has adopted the Office of Neighborhood Involvement Ordinance; and WHEREAS, one of the provisions of the Ordinance is the establishment of a Fund to accept tax deductible contributions and to account for the expenditures; and WHEREAS, the most efficient method of segregating the revenue and expenditures is to record the transactions in a separate fund. THE CITY COUNCIL OF THE CITY OF PALM SPRINGS DOES HEREBY RESOLVE AS FOLLOWS: SECTION 1. To create a new special revenue fund to be called the Neighborhood Involvement Fund. SECTION 2. To direct the Director of Finance & Treasurer to record the appropriate receipts and expenditures in this fund. SECTION 3. To authorize the Director of Finance & Treasurer to create the appropriate activities (cost centers) and account numbers, as necessary. ADOPTED THIS 18" day of May, 2005. David H. Ready, City Manager ATTEST: James Thompson, City Clerk Kesolution No. Page 2 CERTIFICATION STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss. CITY OF PALM SPRINGS ) I, JAMES THOMPSON, City Clerk of the City of Palm Springs, hereby certify that Resolution No. is a full, true and correct copy, and was duly adopted at a regular meeting of the City Council of the City of Palm Springs on by the following vote: AYES: NOES: ABSENT: ABSTAIN: James Thompson, City Clerk City of Palm Springs, California RESOLUTION NO. OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, AMENDING THE BUDGET FOR THE 2004-05 FISCAL YEAR. WHEREAS Resolution 20973 approving the budget for the fiscal year 2004-05 was adopted on June 9, 2004; and WHEREAS the City Manager has recommended, and the City Council desires to approve, certain amendments to said budget; NOW THEREFORE BE IT RESOLVED that the Director of Finance is authorized to record inter-fund cash transfers as required in accordance with this Resolution, and that Resolution 20973, adopting the budget for the 2004-05 fiscal year is hereby amended as follows: SECTION 1. ADDITIONS Fund Activity Account Amount 123 43244 Neighborhood To be assigned ONIP Support $12,597.70 Involvement Purpose To transfer money from the General Fund to a new Special Revenue Fund called the Neighborhood Involvement Fund via the appropriate interfund budget transfers. SECTION 2. SOURCE Fund Activity Account Amount 001 4151 43244 General Fund Planning ONIP Support $12,597.70 ADOPTED THIS 18th day of May, 2005. David H. Ready, City Manager ATTEST: James Thompson, City Clerk CERTIFICATION STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss. CITY OF PALM SPRINGS ) I, JAMES THOMPSON, City Clerk of the City of Palm Springs, hereby certify that Resolution No. is a full, true and correct copy, and was duly adopted at a regular meeting of the City Council of the City of Palm Springs on by the following vote: AYES: NOES: ABSENT: ABSTAIN: James Thompson, City Clerk City of Palm Springs, California