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HomeMy WebLinkAbout20-041 Approving Fund Transfers as Part of the 2019 Year-End Closing Process 4646 Dakota Street SE Prior Lake, MN 55372 RESOLUTION 20-041 ADOPT A RESOLUTION APPROVING AMENDMENT TO THE 2020 BUDGETS Motion By: Thompson Second By: Braid WHEREAS, During the process of closing the financial records for 2019, transfers may be necessary to account for project balances in the construction fund that can be transferred to a debt service fund or another project in accordance with the applicable bond resolution. Transfers may also be necessary to close debt service funds after final debt service payment has been made. WHEREAS, Excess Project Funds: Several street reconstruction/improvement projects have bond proceeds in excess of project costs. The applicable bond resolution indicates that, if upon completion of the street project there shall remain any unexpended balance in the Construction Fund, the balance may be transferred by the Council to the Debt Service Fund or to another project, as defined in the specific bond resolution. WHEREAS, Final Utility Fund Transfers: Street project preliminary utility fund transfers are done based on the feasibility study. The final transfers are completed at the end of the project and brought to the Council for approval. This is the case for the final transfers for the 2018 street reconstruction project. WHEREAS, Close Debt Service Fund 556: The final debt service payment was made in December 2019 for F556 (Debt Service Fund for 2009 Street Project Bond Issue). The debt service fund can now be closed. Staff is recommending that that these balances be transferred to Fund 563 which is the debt service fund that was established to pay the G.O. Bonds, Series 2015A and matures on 12/15/2031 WHEREAS, Transfers of excess funds to debt service funds help keep the debt service component of the City’s tax levy flat. Transfer of excess funds within the construction fund will minimize future tax levy impact. NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA as follows: 1. The recitals set forth above are incorporated herein. 2. The transfer of funds is hereby authorized to as outlined in the tables below and is effective as of December 31, 2019. M:\City Clerk\CITY COUNCIL\Resolutions\2020\20-41 Approving Fund Transfers as Part of the 2019 Year-End Closing Process.docx 2 Project Transfers: Final Utility Fund Allocations: Project Transfer From Fund Amount Transfer To Fund 2019 Fish Pt Rd Reclamation Project (TRN19- 000003) F501 - Construction Fund 79,934.56 F572 - 2019A Debt Service Fund 2018 County Wide Flashing Yellow Arrow Project (TRN18- 000002) F501 - Construction Fund 38,055.81 F501 - Construction Fund 2019 County Rd 21/TH13 Street Project (TRN19-000001) 2017 Frankin Trail/Huron Area Streets Project (TRN17-000003) F501 - Construction Fund 23,213.68 F568 - 2017A Debt Service Fund 2017 Frankin Trail/Huron Area Streets Project (TRN17-000005) F501 - Construction Fund 78,773.94 F568 - 2017A Debt Service Fund 2015 Credit River Rd Street Project (TRN15-000006) F501 - Construction Fund 10,000.00 F563 - 2015A Debt Service Fund 2014 Mushtown/Maple/ Panama Street Project (TRN14-000001) F501 - Construction Fund 8,595.26 F563 - 2014A Debt Service Fund Project Transfer From Fund Amount Transfer To Fund 2018 Street Reconstruction Project (TRN18- 000001) F501 - Construction Fund 87,968.14 F601 - Water Fund 2018 Street Reconstruction Project (TRN18- 000001) F501 - Construction Fund 215,331.56 F604 - Sewer Fund 2018 Street Reconstruction Project (TRN18- 000001) F501 - Construction Fund 142,809.33 F602 - Water Quality Fund M:\City Clerk\CITY COUNCIL\Resolutions\2020\20-41 Approving Fund Transfers as Part of the 2019 Year-End Closing Process.docx 3 Close Debt Service Fund: Passed and adopted by the Prior Lake City Council this 16th day of March 2020. VOTE Briggs Thompson Burkart Braid Erickson Aye ☒ ☒ ☒ ☒ ☒ Nay ☐ ☐ ☐ ☐ ☐ Abstain ☐ ☐ ☐ ☐ ☐ Absent ☐ ☐ ☐ ☐ ☐ ______________________________ Jason Wedel, City Manager Transfer From Fund Transfer To Fund Description F556 - Debt Service Fund for 2009 Street Project Bonding F563 - Debt Service Fund for 2015 Street Project Bonding Transfer cash of $19,367.51 and all residual balances/Assist in fund stability