RES 92218 - Laserfiche WebLink

Also to be addressed in the current year is ongoing replacement funding in the Sewer Fund, similar to the Water Fund. Staff will be recommending that replacement funding be gradually phased into the sewer rates over the next few years, and that reserves be used during the transition. The City has major challenges facing it in the coming two years resulting from the recession and continued changes to local government financing. We have established a temporary reserve of $2.1 million to help us transition through the difficult times ahead. However, this reserve alone will not be enough to meet the looming shortfalls. Therefore, much attention must be given to evaluating current service levels, and finding alternative ways to providing service at lower Costs. FISCAL IMPACT The fiscal impact of Council adopting staff recommendations has been described in detail in this report. The result of Council taking theses actions will be to establish reserves for the purpose of funding future obligations and providing a cushion for economic uncertainty. Respectfully submitted, Susan Rossi Director of Finance City Manager SR/sy (a:\sr92432) Appendices: A B D E F G H I J Balances by Fund Types as of June 30, 1992 Allowable and/or Planned Uses of Reserves as of June 30, 1992 1991-92 Operating Budget vs. Actual Operating Fund Balances and Effect of 1991-92 Carryovers on 1992-93 Budget 1991-92 Operating Budget Comparison of Projected vs. Actual Revenues and Transfers by Funds 1991-92 Operating Budget Expenditures and Expenditure Analysis by Department Operating Budget Carryovers from 1991-92 to 1992-93 CIP Budget vs. Actual for 1991-92 and Carryovers from 1991-92 to 1992-93 Major Capital Improvement Revenues, Projected vs. Actual for 1991-92 Recommended 1991-92 Budget Amendments and Ledger Entries Financial Trend Charts SR 92:432 10