HomeMy WebLinkAboutRes 2005-50 RESOLUTION NO. 2005-50
(kw A RESOLUTION OF THE MAYOR AND COUNCIL OF THE TOWN OF
FOUNTAIN HILLS, ARIZONA, CREATING AN CAPITAL IMPROVEMENT
SPECIAL REVENUE FUND, CREATING A POLICY REGARDING THE
FUNDING AND USE OF THE CAPITAL IMPROVEMENT SPECIAL
REVENUE FUND AND AMENDING THE TOWN FINANCIAL POLICIES
TO INCORPORATE SUCH CAPITAL IMPROVEMENT SPECIAL REVENUE
FUND POLICY.
WHEREAS, the Mayor and Council of the Town of Fountain Hills (the "Town
Council") adopted written financial policies for the Town of Fountain Hills (the "Town") on
May 1, 2003 (the "Financial Policies"); and
WHEREAS, the Town Council has identified the need for long-term accumulation of
Town revenues to meet the significant future capital improvement needs of the Town; and
WHEREAS, the Town Council wishes to (i) establish Capital Improvement Special
Revenue Fund, (ii) adopt a policy regarding the use of the Capital Improvement Special Revenue
fund and (iii) incorporate the policy into the Town's Financial Policies.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF
THE TOWN OF FOUNTAIN HILLS AS FOLLOWS:
err SECTION 1. That the Capital Improvement Special Revenue Fund is established to
allow the Town to accumulate monies for:
1. Purchase of land or buildings.
2. Improvements to Town-owned properties.
3. Grant matches associated with capital improvements.
4. Public safety projects and equipment purchases.
5. Economic development projects.
6. Such other capital projects as determined by the Town Council.
SECTION 2. That the Capital Improvement Special Revenue Fund will be funded by:
1. Sales of real and personal property belonging to the Town.
2. General fund transfer of any excess revenues collected over budgeted and
unexpended appropriations not needed to meet fund balance requirements or re-
appropriation.
3. Interest earnings on the balance of the fund invested per the Town's investment
policy.
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SECTION 3. That the Town Council may approve the uses of the Capital Improvement
Special Revenue Fund as a part of its annual budget or by motion and affirmative vote at a time
the expenditures are awarded.
SECTION 4. That the Town shall first be entitled to recoup the cost of any capital
improvements, infrastructure, marketing or sales related cost associated with the disposition of
property before crediting the Capital Improvement Special Revenue Fund.
SECTION 5. That the Town Manager, the Town Clerk and the Town Attorney are
hereby authorized and directed to take any and all steps necessary to implement the purpose and
intent of this Resolution.
SECTION 6. That the Town's Financial Policies are hereby amended as follows:
Capital Project Funds
The Capital Project Funds includes accumulated Development Fees that are assessed on new
construction for the purpose of funding growth. These funds are restricted to growth-related
capital expenditures. The Undesignated Unreserved, Designated Unreserved and Reserved Fund
Balance will be established each fiscal year during the budget process depending on planned
expenditures but cannot exceed accumulated revenues. The Development Fees must be
expended within six years of collection or refunded to the taxpayer.
A CAPITAL IMPROVEMENT SPECIAL REVENUE FUND HAS BEEN ESTABLISHED TO
ALLOW THE TOWN TO ACCUMULATE MONIES FOR: (I) PURCHASE OF LAND OR
BUILDINGS; (II) IMPROVEMENTS TO TOWN-OWNED PROPERTIES; (III) GRANT
MATCHES ASSOCIATED WITH CAPITAL IMPROVEMENTS; (IV) PUBLIC SAFETY
PROJECTS AND EQUIPMENT PURCHASES; (V) ECONOMIC DEVELOPMENT
PROJECTS; AND (VI) SUCH OTHER CAPITAL PROJECTS AS DETERMINED BY THE
TOWN COUNCIL. THE CAPITAL IMPROVEMENT SPECIAL REVENUE FUND WILL BE
FUNDED BY: (I) SALES OF REAL AND PERSONAL PROPERTY BELONGING TO THE
TOWN; (II) GENERAL FUND TRANSFER OF ANY EXCESS REVENUES COLLECTED
OVER BUDGETED AND UNEXPENDED APPROPRIATIONS NOT NEEDED TO MEET
FUND BALANCE REQUIREMENTS OR RE-APPROPRIATION; AND (III) INTEREST
EARNINGS ON THE BALANCE OF THE FUND INVESTED PER THE TOWN'S
INVESTMENT POLICY. THE TOWN SHALL FIRST BE ENTITLED TO RECOUP THE
COST OF ANY CAPITAL IMPROVEMENTS, INFRASTRUCTURE, MARKETING OR
SALES RELATED COST ASSOCIATED WITH THE DISPOSITION OF PROPERTY
BEFORE CREDITING THE CAPITAL IMPROVEMENT SPECIAL REVENUE FUND. THE
TOWN COUNCIL MAY APPROVE THE USES OF THE CAPITAL IMPROVEMENT
SPECIAL REVENUE FUND AS A PART OF ITS ANNUAL BUDGET OR BY MOTION
AND AFFIRMATIVE VOTE AT A TIME THE EXPENDITURES ARE AWARDED.
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PASSED AND ADOPTED BY the Mayor and Council of the Town of Fountain Hills,
September 15, 2005.
FOR THE TOWN OF FOUNTAIN HILLS: ATTESTED TO:
ilex Aye, • / .� A� l
r
W. . ichols, Mayor / Bevelyn J. Beaer, T!.wn Clerk
REVIEW Y: APPROVED AS TO FORM:
Timothy G. Pickering, Town Man er Andrew J. McGuire, Town Attorney
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601117.1