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Home My WebLink About09202005 Special . 05.110A 1-4 05.110B 5.12 . HOME OF PELICAN ISLAND SEBASTIAN CITY COUNCIL SPECIAL MEETING AGENDA FISCAL YEAR 2005/2006 BUDGET HEARING TUESDAY, SEPTEMBER 20,2005 - 6:00 P.M. CITY COUNCIL CHAMBERS 1225 MAIN STREET, SEBASTIAN, FLORIDA 1. CALL TO ORDER 2. PLEDGE OF ALLEGIANCE 3. ROLL CALL 4. FINAL ADOPTION HEARING - ADOPTING MILLAGE AND FY 2005/2006 BUDGET A. RESOLUTION NO. R-05-38 - Millaqe Rate for Calendar Year 2005 (Finance Transmittal. DR Certification of Taxable Value. R-OS-38) A RESOLUTION OF THE CITY OF SEBASTIAN, INDIAN RIVER COUNTY, FLORIDA, ADOPTING A MILLAGE RATE OF 3.9325 MILLS FOR THE CALENDAR YEAR 2005 AND ALLOCATING SAME TO THE FISCAL YEAR BEGINNING OCTOBER 1. 2005 AND ENDING SEPTEMBER 30, 2006; PROVIDING FOR CONFLICTS; AND PROVIDING FOR AN EFFECTIVE DATE. Announcement: The proposed millage rate of 3.9325 is 6.3% higher than the rolled-back rate of 3.6996. B. RESOLUTION NO. R-OS-39 Fiscal Year 2005/2006 Budqet (Finance Transmittal 9/12/05. R-05-39. Schedule A) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEBASTIAN, INDIAN RIVER COUNTY, FLORIDA, ADOPTING THE BUDGET FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2005 AND ENDING SEPTEMBER 30, 2006; MAKING APPROPRIATIONS FOR THE PAYMENT OF OPERATING EXPENSES, CAPITAL EXPENSES, AND FOR THE PRINCIPAL AND INTEREST PAYMENTS OF THE BOND AND OTHER INDEBTEDNESS OF THE CITY IN THE CITY'S GENERAL FUND, SPECIAL REVENUE FUNDS, DEBT SERVICE FUND, CAPITAL IMPROVEMENT FUNDS, GOLF COURSE FUND, AND AIRPORT FUND, AND BUILDING DEPARTMENT FUND AS PROVIDED FOR IN SCHEDULE "N ATTACHED HERETO, ESTABLISHING AUTHORITY OF THE CITY MANAGER TO IMPLEMENT THE BUDGET; PROVIDING FOR SEVERABILITY; PROVIDING FOR CONFLICTS; AND PROVIDING FOR AN EFFECTIVE DATE. 5. OTHER FISCAL MATTERS 05.189 13-23 A. RESOLUTION NO. R-05-34 - ReadoDtinq Financial Policies (Finance Transmittal 9/12/05. R-05-34. Attachment 1 - Policy) A RESOLUTION OF THE CITY OF SEBASTIAN, FLORIDA, READOPTING MODIFIED FINANCIAL POLICIES GOVERNING VARIOUS AREAS OF BUDGET AND FINANCE AS PROVIDED FOR IN ATTACHMENT 1; PROVIDING FOR CONFLICTS; AND PROVIDING FORAN EFFECTIVE DATE. 6. ADJOURNMENT HEARING ASSISTANCE HEADPHONES ARE AVAILABLE IN THE COUNCIL CHAMBERS FOR ALL GOVERNMENT MEETINGS. Regular City Council Meetings are Scheduled for Live Broadcast on Corneast Channel 25 ANY PERSON WHO DECIDES TO APPEAL ANY DECISION MADE WITH RESPECT TO ANY MA ITER CONSIDERED AT THIS MEETING WILL NEED A RECORD OF THE PROCEEDINGS AND MAY NEED TO ENSURE THAT A VERBATIM RECORD OF THE PROCEEDINGS IS MADE, WHICH RECORD INCLUDES THE TESTIMONY AND EVIDENCE UPON WHICH THE APPEAL IS TO BE HEARD. (286.0105 F.S.) IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT (ADA), ANYONE WHO NEEDS A SPECIAL ACCOMMODATION FOR THIS MEETING SHOULD CONTACT THE CITY'S ADA COORDINATOR AT 589-5330 ATLEAST 48 HOURS IN ADVANCE OF THIS MEETING. . 2 HOMII" OF PWCAN ISLAND Cit of Sebastian, Florida Subject: Resolution No. R-05-38 Adoption of Millage Rate for Calendar Year 2005. Agenda No. 0:>, I/O A ubmittal by: City Manager D~artment Origt Finance___~ r CIty Attorney: ~ City Clerk: " Date Submitted: September 12, 2005 For Agenda of: September 20, 2005 Exhibits: )> Resolution No. R-05-38 )> Copy of DR 420 Certification of Taxable Value EXPENDITURE AMOUNT BUDGETED: REQUIRED: N/A N/A APPROPRIATION REQUIRED: N/A SUMMARY In accordance with Florida Statute 200.065 (7)(a.)(I.), a proposed millage tax rate for calendar year 2005 and for the budget year beginning October I, 2005 and ending September 30, 2006, was adopted by City Council on September 8, 2005. The tentatively adopted millage tax rate of THREE POINT NINE THREE TWO FIVE (3.9325) MILLS is 6.3% greater than the "rolled-back" tax rate 00.6996 mills and will provide sufficient operating revenue for the proposed budget for fiscal year 2005/2006. There have been no changes from the tentatively adopted millage tax rate to the final millage rate presented to the COlmcil tonight for final adoption. RECOMMffiNDEDACTION Move to adopt Resolution R-05-38 establishing the millage tax rate of 3.9325 mills for calendar year 2005. (j) RESOLUTION NO. R-05-38 A RESOLUTION OF THE CITY OF SEBASTIAN, INDIAN RIVER COUNTY, FLORIDA, ADOPTING A MILLAGE RATE OF 3.9325 .MILLS FOR THE CALENDAR YEAR 2005 AND ALLOCATING SAME TO THE FISCAL YEAR BEGINNING OCTOBER 1, 2005 AND ENDING SEPTEMBER 30, 2006; PROVIDING FOR CONFLICTS; AND PROVIDING FOR AN EFFECTIVE DATE. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEBASTIAN, INDIAN RNER COUNTY, FLORIDA, that: Section 1. MILLAGE RATE LEVY. There is hereby Levied an Ad Valorem Tax of THREE POINT NINE THREE TWO FIVE (3.9325) MILLS against all real and tangible personal property for the calendar year (January I, 2005 through December 31, 2005) and the resulting tax revenue is hereby appropriated for the General Operating Fund of the City of Sebastian for the fiscal year beginning October, 1, 2005 and ending September 30, 2006. Section 2. ROLLED-BACK RATE. The tax rate established in Section 1. is 6.3% higher than the computed ''rolled-back'' tax rate of 3.6996 mills. Section 3. CONFLICT. All resolutions or parts of resolutions in conflict herewith are hereby repealed. Section 4. EFFECTIVE DATE. This resolution shall take effect immediately upon its adoption. @ The foregoing Resolution was moved for adoption by Councilmember The motion was seconded by Councilmember and, upon being put into a vote, the vote was as follows: Mayor Nathan McCollum Vice-Mayor Brian Burkeen Councilmember Lisanne Monier Councilmember Andrea Coy Councilmember Sal Neglia The Mayor thereupon declared this Resolution duly passed and adopted this 20th day of September 2005. ATTEST: Sally A. Maio, MMC City Clerk CITY OF SEBASTIAN, FLORIDA By: Nathan McCollum, Mayor Approved as to form and legality for the reliance by the City of Sebastian only: _1~,~;~~ @ CERTIFICATION OF TAXABLE VALUE SECTION I 2005 Year DR-420 R.01J95 Indian River County To: . CITY OF SEBASTIAN (Name of Taxing Aulho~ty) 1 Currenl Year Taxable Value of Real Pro e for 0 eratin Pu oses 2 Currenl Year Taxable Value of Personal Pr e for 0 eralin Pu oses 3 Currenl Year Taxable Value of Central ASsessed Pro e for 0 eratin Pu 4 CurrenlYearGross Taxabie Value for 0 eratin Pu oses.1 + 2 + 3 = 4 5 Currenl Year Net New Taxable Value (New Construction + Additions + Rehabilitative ."nprovemenls Increasing Assessed Value At Leasl100o/. + Annexations - Deletions) 6 Current Year Ad"usted Taxable Value 4 - 5 = 6 7 Prior Year FINAL Gross Taxable Value (From Prior Year Application Form DR403 Series) I do hereby certify Ihe values shown herein 10 be con-ectlo Ih~ besl of my knowledge and beiief. Wilness my hand and official signature al Vero B.each , Florida, This 281h day of (Mo"lh. and Year) Juna., 2005 . .~~ Signature. of Property Appraiser, . TAXING AUTHORITY: " If this portion ofthefonn-Is not completed In FULL your ~uth~rity.wm be ~enled TRIM certificatlqn' arui possibly .lose its mIllage levy privilege for the tax year~ If any line is hiapplIc;able, enter N1A or -0-. SECTION II. . $ $ $ $ $ 1,071,763,151 46,874,290 926,798 j,125,564,239 69,6~.Ml " 1 2 .3 4. 5 . ,$ $ 1,055,908,398 850,999,257 6 7 " SPriorYearOoeratino Millaoe Lew ". . 9 Prior Year Ad Valorem Proceeds(7) X (8) 10 C~rrenl,YearRolJed-Back kale (911 (6) 11 Currenl Year Proposed Operating Millage Rale 12 Check TYPE of Taxing AuU,ority: -'- County MuniCipality Independenl SpeclalDistricl . '-'__'.' ,. 0", . $ $ . $ $, 4.5904 ., !pei${600B 3,~Ub,.4Z:t. 9 3 :6996 I P~r$1:ooo 10 "'.. 4.,59.04".,. per$l;OQO 11 Mu'nTcipal Service TaxinQ Unit ... . 12 Water Managemenl District.. '"'" .... ",.,...".. . , Dependent District Multi-c6unty 13 IFliEPENDENT SPECIAl. DISTRICT OR MSTUIS MARKED, ?LEASESEE REVERSE SIDE. " , .' 14 Cu",mtYearMillaaeLeWfor... ..VOTEDDEBTSERVICE ..$ , '0 15 Currenl Year Millaoe Lew for. .... '.. OTHER ifOTEtfNfIU,AGE ' .$ . . 0 . ... ....,:" 13 I per $1",000 14 . ,I iiJii1,riori 15 ."", 16 Enter Total. Prior Year Ad V~lor~l11!,ro~ds,ofALL D~gEtlDENTSp~cialpistricts. $ . 16 & MSTU's levyirig a millage. (The ~um 9f ,Line- (9) (rom ea<;h District's Form DR;420) '. Q ,. , .. .. '. 17 Tatal PriorY""r P;"ceeds:19h'(16),:. ,; ': . , .,:'""" ,'. , '$ 3;906,427 " ... 17 16 The CUITent Year Acoreoale Rolled~ack Rate'(17l1 (6\. . $ ,. 3.6996 per $1',060 ~6 19 Cu':"'nt Year Agoreoale Rolled-back Taxes: (4) x (18) .$ 4,164,137. , 19 20 Enter Total of all no~,vote,jAd v~IQii;,ri'Taxeis prtipo.~~~ i~ be levied bY!lwPiincipal $ 5,166,790: 20 Taxing Authority, all Dependenl DrstriCts, 8. MSTU's ifarly. Llna(11)x Line (4\ ' ,. .. 21 Cu'rren! Year Proposed Aooreo"te MillaoeRate: .(20) I (4). $ 4,.5904 . rper $1,000 21 22 Current Yeal Proposed Rate as aPERCE;NT CHANGE of Rolled-back Rate:. .:24..08 22 (Line 21/ Line 18) -1.00] X 100. ., " ~":', "~..-', " % .. '. . i-" Date, Time and Place of the' First Public Budgel Hearing:: 'I'hursdRV. ~em1i,r '8,. Chambers, Seoostian' City RaU, 1225.J.I:Iqjn Street, Seoosticln, " . -~. I. do hereby certify Ihe millages and rales shown herein 10 be correct 10 the besl of my knowledge and belief, FURTHER, I c Ify Ih~1I ~iIIages comply with the proviSions of Section 200.071 or 200.081, F.S. WITNESS my hand and official si aturl l'it-y nr !=lp~~ri;:m Florlda,thlsthe ?7rl1fayof. (Month,andYear)Jll1v. 2005 h /':, I I ,.~ ".:;-... . 1225 Mni-n St. Ser",~ian. FL 32958 TiUe of Chief AdministratiVe Officer Address of Physical.Locallon 42sr&in St, Shai Francis, CPA .Mailinll: ",ddrl'ss Name of Contact Person _ . Se1:ast:iaii~ ,FL. 32958 772-388-8205 C.I.ty.. /17). li, Slale Zip ...Phon~#:~. lY' SeelnstruCtions on Reverse" Side ..ij{ ~;~.".." 2005. 6:00 P;M:. Florida. 32958 Citvf-..f11"';;-;n 772-388-8249 Fa~# HOME Of PEUCAN ISlAND Ci of Sebastian, Florida Subject: Resolution R-05-39 Adoption of a Budget for Fiscal Year 200512006 Agenda No. OS-lID B . Department Origin: Finance ~ h-- City Attorney: -=--.1\ ~ ' City Clerk: ubmittal by: City Manager Date Submitted: September 12, 2005 For Agenda of: September 20, 2005 Exhibits: · Resolution R-OS-39 · Schedule "A" EXPENDInJRE REQUIRED: N/A AMOUNT BUDGETED: N/A APPROPRIATION REQUIRED: N/A SUMMARY In accordance with Florida Statute 200.065; a tentative budget for fiscal year 2005/2006, beginning October 1, 2005 and ending September 30, 2006, was approved by City Council on September 8, 2005. There have been no changes from the tentatively approved budget to the final budget presented to the Council tonight for final adoption. RECOMMENDED ACTION Move to adopt Resolution R-05-39 establishing the budget for fiscal year 2005/2006. @ RESOLUfION NO. R-05-39 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEBASTIAN, INDIAN RIVER COUNTY, FLORIDA ADOPTING THE BUDGET FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2005 AND ENDING SEPTEMBER 30, 2006; MAKING APPROPRIATIONS FOR THE PAYMENT OF OPERATING EXPENSES, CAPITAL EXPENSES, AND FOR THE PRINCIPAL AND INTEREST PAYMENTS ON THE BOND AND OTHER INDEBTEDNESS OF THE CITY IN THE CITY'S GENERAL FUND, SPECIAL REVENUE FUNDS, DEBT SERVICE FUND, CAPITAL IMPROVEMENT FUNDS, GOLF COURSE FUND, AIRPORT FUND, AND BUILDING DEPARTMENT FUND AS PROVIDED FOR IN SCHEDULE "A", ATTACHED HERETO, ESTABLISIllNG AUfHORITY OF THE CITY MANAGER TO IMPLEMENT THE BUDGET; PROVIDING FOR SEVERABILITY; PROVIDING FOR CONFLICTS; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City Manager has submitted a Proposed Budget for the City of Sebastian for the fiscal year beginning October 1, 2005, and ending September 30, 2006; and WHEREAS, on September 8, and September 20, 2005, the City Council conducted Public Hearings on the Proposed Budget. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEBASTIAN, INDIAN RIVER COUNTY, FLORIDA, that: Section 1. The City Manager's Proposed Budget is hereby adopted for the Fiscal Year beginning October 1, 2005 and ending September 30, 2006. Section 2. The amounts shown on the attached Schedule "A" are hereby appropriated out of the Treasury of the City, including any revenues accruing to the City available for purposes of the City's budgetary accounts. Section 3. The City Manager is hereby authorized and directed to proceed with the implementation of the service programs and projects provided for in the budget. Such implementation is to be consistent with the provisions of the City Code of Ordinances and policies established by the City Council. Section 4. The City Manager is authorized to make budget adjustments within budgetary accounts, as he deems appropriate. He is further authorized to make budget adjustments between budgetary accounts when necessary to implement programs, (j) Section 5. If any clause, section, or other parts of this Resolution shall be held by any Court of competent jurisdiction to be unconstitutional or invalid, such unconstitutional or invalid part shall be considered as eliminated and shall in no way affect the validity of the other provisions of this Resolution. Section 6. All Resolutions or parts of Resolutions in conflict herewith are hereby repealed to the extent of such conflict. Section 7. Tbis Resolution shall become effective October I, 2005. The foregoing Resolution was moved for adoption by Councilmember The motion was seconded by Councilmember and, upon being put into a vote, the vote was as follows: Mayor Nathan McCollum Vice-Mayor Brian Burkeen Councilmember Lisanne Monier Councilmember Andrea Coy Councilmember Sal Neglia The Mayor thereupon declared this Resolution duIy passed and adopted this 20th day of September, 2005 CITY OF SEBASTIAN, FLORIDA By: Nathan McCollum, Mayor ATTEST: Sally A. Maio, MMC City Clerk Approved as to form and legality for the relianc y the City of Sebastian only: .~ (j) GENERAL FUND REVENUES: 001501 001501 001501 001501 001501 001501 001501 001501 EXPENDITURES: 010001 010005 010009 010010 010020 010021 010035 010040 010041 010042 010043 010044 010045 010046 010047 010048 010049 010051 010053 010052 010054 010056 010057 010059 010080 01 0099 @ ATTACHMENT TO RESOLUTION R-05-39 SCHEDULE" A" BUDGET SUMMARY FISCAL YEAR 2005/2006 Taxes and franchise fees Licenses and permits Intergovernmental Charges for services Fines and forfeits . Miscellaneous Transfers in Restricted cash balance canyforward Total Revenues City Council City Manager City Clerk City Attorney Finance Management lnformation System Human Resources Police Special Operations Police Administration Police School Resource Police Patrol Division Community Policing Unit Code Enforcement Division Professional Standards Police Detective Division Police Support Services Police Dispatch Unit Engineering Stormwater Utility Roads and Maintenance Garage Building Maintenance Parks and Recreation Cemetery Growth Management Non-departmental Total Expenditures 1 $ 7,131,374 243,280 2,288,405 481,669 71,625 167,720 643,362 947,706 $ 11,975,141 $ 41,244 238,145 333,135 189,906 426,647 193,918 217,526 345,957 198,772 175,525 1,839,690 139,592 157,102 112,096 494,510 292,968 409,027 480,215 1,276,957 874,062 196,463 219,003 964,323 147,226 279,896 1,731,236 $ 11,975,141 ATTACHMENT TO RESOLUTION R-05-39 SCHEDULE "A" BUDGET SUMMARY FISCAL YEAR 2005/2006 SPECIAL REVENUE FUNDS 120010 120051 130010 130051 160010 160051 163010 163051 LOCAL OPTION GAS TAX FUND REVENUES Taxes Miscellaneous Cash balance carryforward Total Revenues EXPENDITURES Operating Debt service Transfers out Total Expenditures DISCRETIONARY SALES TAX FUND REVENUES Taxes Miscellaneous Total Revenues EXPENDITURES Transfers out Non-operating Total Expenditures RECREATION IMPACT FEE FUND REVENUES Impact fee Miscellaneous Total Revenues EXPENDITURES Transfers out Non-operating Total Expenditures STORMWATER UTILITY FUND REVENUES Stormwater utility fee Miscellaneous . Total Revenues EXPENDITURES Operating Transfers out Total Expenditures 2 $ 760,000 12,000 37,129 $ 809,129 $ 209,129 300,000 300,000 $ 809,129 $ 2,500,000 25,000 $ 2,525,000 $ 1,727,787 797,213 $ 2,525,000 $ 360,000 12,000 $ 372,000 $ 245,000 127,000 $ 372,000 $ 804,980 30,200 835,180 $ 3,500 831,680 835,180 $ (!) ATTACHMENT TO RESOLUTION R-05-39 SCHEDULE "A" BUDGET SUMMARY FISCAL YEAR 2005/2006 SPECIAL REVENUE FUNDS - CONTINUED LAW ENFORCEMENT FORFEITURE FUND 190010 REVENUES Fines and forfeits Miscellaneous Total Revenues 5,000 5,000 10,000 $ 190051 EXPENDITURES Operating Total Expenditures $ $ 10,000 10,000 G.R.E.A.T. PROGRAM FUND 191010 REVENUES Intergovernmentsl Revenue Total Revenues $ 9,894 9,894 191051 EXPENDITURES Operating Totsl Expenditures $ $ 9,894 9,894 DEBT SERVICE FUNDS DISCRETIONARY SALES.sURTAX REVENUE BONDS 230010 REVENUES Miscellaneous 7,700 Transfers in 1,032,844 Total Revenues $ 1,040,544 230051 EXPENDITURES Operating $ 300 Debt service $ 1,035,544 Reserve $ 4,700 Total Expenditures $ 1,040,544 STORMWATER UTILITY REVENUE BONDS 263010 REVENUES Miscellaneous 280 Transfers in 437,568 Total Revenues $ 437,848 263051 EXPENDITURES Debt service $ 437,848 Total Expenditures $ 437,848 rJi;i 3 ATTACHMENT TO RESOLUTION R-05-39 SCHEDULE II A" BUDGET SUMMARY FISCAL YEAR 2005/2006 CAPITAL PROJECTS FUNDS REVENUES Transfer from Local Option Gas Tax Fund Transfer from Discretionary Sales Tax fund Transfer from Recreation Impact Fee Fund Total Revenues 300,000 454,693 245,000 999,693 $ EXPENDITURES Roads projects Recreation facilities projects Poblic facilities Debt service Total Expenditures 300,000 245,000 300,000 154,693 999,693 $ $ GOLF COURSE FUND 410010 REVENUES: Charges for services Miscellaneous revenues Total Revenues $ 1,588,584 20,000 1,608,584 $ EXPENSES: GOLF COURSE ADMINISTRATION 410110 Personal services Operating expenses Debt service Contingency!Reserve Total Administration Total Golf Course Expenses $ 306,214 320,011 307,190 16,574 $ 949,989 545,571 $ 545,571 56,374 54,450 2,200 $ 113,024 $ 1,608,584 GOLF COURSE GREEN DIVISION 410120 Operating expenses Total Golf Course Green Division GOLF COURSE CARTS DIVISION 410 130 Personal services Operating expenses Capital outlay Total Golf Course Carts Division 4 @ ATTACHMENT TO RESOLUTION R-05-39 SCHEDULE "A" BUDGET SUMMARY FISCAL YEAR 2005/2006 AIRPORT FUND 450010 llEV1WNlJES Charges for services Miscellaneous revenues Total Revenues 450110 EXPENSES: Personal services Operating expenses ContingencylReserve Total Expenses BUILDING DEPARTMENT 480010 llEV1WNlJES Charges for services Transfer from General Fund Miscellaneous revenues Total Revenues 480110 EXPENSES: Personal services Operating expenses Capital outlay ContingencylReserve Total Expenses TOTAL BUDGET SUMMARY GENERAL FUND SPECIAL llEVENUE FUNDS DEBT SERVICE FUNDS CAPITAL PROJECT FUNDS ENTERPRISE FUNDS TOTAL BUDGET FOR ALL FUNDS @ 5 $ 390,551 16,250 $ 406,801 $ 205,854 157,284 43,663 $ 406,801 $ 1,178,600 $ 802,490 24,000 $ 2,005,090 $ 623,235 275,971 39,900 1,065,984 $ 2,005,090 $ 11,975,141 4,561,203 1,478,392 999,693 4,020,475 $ 23,034,904 HOMI;, Of.1'I!tJC.'\N ISLAND Ci of Sebastian, Florida Subject: Resolution No. R-05-34 Readopting Financial Policies Agenda No. 05;/8Q . Department Ori~Finance d~ ~--- City Attorney: \- ~ City Clerk: . "ttal by: City Manager Date Submitted: September 12, 2005 For Agenda of: September 20, 2005 Exhibits : . Resolution R-05-34 Readopting Financial Policies Governing Various Areas of Budget and Finance. . Attachment "I" - Financial Policies EXPENDITURE REQUIRED: N/A AMOUNT BUDGETED: N/A APPROPRIATION REQUIRED: N/A SUMMARY Pursuant to City of Sebastian Resolution 04-36, the financial policy shall be readopted annually. This revised financial policy (Attachment "1'') reflects necessary changes to be in line with current operation. RECOMMENDED ACTION Move to adopt Resolution R-05-34. @ RESOLUTION NO. R-05-34 A RESOLUTION OF THE CITY OF SEBASTIAN, FLORIDA, READOPTING FINANCIAL POLICIES GOVERNING VARIOUS AREAS OF BUDGET AND FINANCE AS PROVIDED FOR IN ATTACHMENT "I"; PROVIDING FOR CONFLICTS; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the Government Finance Officers Association of the United States and Canada recommends best practices in various areas for Finance and Budget; and WHEREAS, the City Council deems it to be necessary to adopt and readopt such financial policies on an annual basis, NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEBASTIAN, FLORIDA, as follows: SECTION 1. READOPTING FINANCIAL POLICIES: The City Council of the City of Sebastian hereby readopts Financial Policies governing the Operating Budget, Financial Reserves, Use of Surplus, Performance Measurement, Capital Improvement Program, Debt Management, Revenue, and Investment. SECTION 2. All resolutions or parts of resolutions in conflict herewith are hereby repealed. SECTION 3. This Resolution shall take effect upon adoption. The foregoing Resolution was moved for adoption by Council Member Motion was seconded by Council Member and, upon being put to a vote, the vote was as follows: Mayor Nathan McCollum Vice-Mayor Brian Burkeen Councihnember Lisanne Monier Councihnember Andrea Coy Councihnember Sal Neglia The Mayor thereupon declared this Resolution duly passed and adopted this 20th day of September, 2005. @ ATTEST: Sally A. Maio, MMC City Clerk CITY OF SEBASTIAN, FLORIDA By: Nathan B. McCollum, Mayor Approved as to Form and Legality for Reliance by the City of Sebastian Only: By: omey @ Attachment "I" City of Sebastian, Florida Financial Policies City of Sebastian's fInancial policies set forth the basic framework for overall fIscal planning and management and set forth guidelines for both current activities and long-range planning. These policies are reviewed annually to assure the highest standards of fiscal management. The City Manager and the Management Team has the primary role ofreviewing fmancial actions and providing guidance on financial issues to the City Council. Overall goals The overall financial goals underlying these policies are: 1. Fiscal Conservatism: To ensure that the city is in a solid financial condition at all times. This can be defined as: A. Cash Solvency - the ability to pay bills B. Budgetary Solvency - the ability to balance the budget C. Long Term Solvency - the ability to pay future costs D. Service Level Solvency - the ability to provide needed and desired services 2. Flexibility: To ensure that the city is in a position to respond to changes in the economy or new service challenges without an undue amount of financial stress. 3. Comply with All Statutory Requirements: As set forth by the State of Florida and the City ordinances. 4. Adherence to the highest Accounting and Management Practices: As set by the Government Finance Officers' Association standards for financial reporting and budgeting, the Government Accounting Standards Board and other professional standards. Operating Budget Policies The Finance Department, with support and direction from the Office of the City Manager, coordinates the budget process. The formal budgeting process, which begins in February and ends in September, provides the primary mechanism by which key decisions are .& .) mad~ regarcJ!ng the levels. ~d types of services to be ~ prOVIded, given the anticipated level of available resources. Revenues and expenditures are projected on the basis of information provided by city departments, outside agencies, current rate structures, historical data and statistical trends. Budget Process The development of the budget is guided by the following budget policies: 1. The budget must be balanced for all funds. Total anticipated revenues must equal total estimated expenditures for each fund (Section 166.241 of Florida Statutes requires that all budgets be balanced). 2. All operating funds are subject to the annual budget process and reflected in the budget document 3. The enterprise operations of the city are to be self- supporting; i.e., current revenues will cover current expenditures, including debt service. 4. An administrative service fee will be assessed by the General Fund against all enterprise funds of the city. This assessment will be calculated based upon a percentage (number of full-time equivalent employees of the enterprise fundltotal number of full-time equivalent employees of the city) of total ~eneral Fund administration expenditures budget (mcludes City Council, City Manager, City Attorney, City Clerk, Finance, Growth Management, and Human Resources) and will be used to reintburse the General Fund for the administrative and support services provided to these funds. 5. A 2.5 percent administrative service fee will be assessed by the General Fund against the Community Redevelopment Agency (CRA) Fund of the city. This assessment will be based on the total tax increment revenue estimate of the CRA Fund and will be used to reintburse the General Fund for the ailmini<trative support services provided to the CRA fund. 6 \n nA_;,,;.....n+'.. . ~ ill L . . . n_' e SllrVlGe ,ee w ~e ass_ed by Ihe ~eml Fund aglliR"+ Stetmwater Utility R.e\'~ue Fund. The a6seslllBllBt willlle GalmHated baaed en Ihe mwtimum allowable peromtage set ferth by the sUy's Stamtwater Or~;Rn-Ge. Attachment "I" City of Sebastian, Florida Financial Policies ParSHtmt te the City OrElimmea Ne. 0 (}1 15, Be mere thBR 2(}~(' ef the ElIlffiIsI Bet stemwr-ater fea rs-y_s is 16 be usaa far the 013eratiOB BRa mamterumee oftB.e stslmwater JlIegram. Pursuant to Ordinance 05-16. stormwater utility fees can be utilized to fund the General Fund stormwater operation. The amount being utilized should be approved bv the city council through the budget process. 7. In no event will the City of Sebastian levy ad valorem taxes against real property and tangible personal property in excess of 10 mills, except for voted levies (Section 200.081 of Florida Statutes places this millage limitation on all Florida municipalities.) 8. The city will budget 95 percent of anticipated gross ad valorem proceeds to provide an allowance for discounts for early payment of taxes (Section 200.065 of Florida Statutes states that each taxing authority shall utilize not less than 95 percent of the taxable value.) 9. The city will coordinate development of the capital improvement budget with the development of the annual operating budget. Each capital improvement budget is reviewed for its impact on the operating budget in terms of revenue generation, additional personnel required and additional operating experISes. 10. A budget calendar will be designed each year to provide a framework within which the interactions necessary to formulate a sound budget could occur. At the same time, it will ensure that the city will . comply with all applicable State legal mandates. Basis of Budgeting The basis of budgeting for General, Special Revenue, and Debt Service Funds shall be prepared on a modified accrual basis of accounting. Under the modified accrual basis of accounting, revenues are recognized only when they become measurable and available to [mance expenditures of the fiscal period. Expenditures are recognized when the fund liability is incurred except for unmatured interest on general long-term debt which is recognized when due, and the non-current portion of accrued fringe benefits (vacation and sick leave) which is recorded as a long- term liability in the Statement of Net Assets in the Comprehensive Annual Financial Report. The budgets for the Proprietary funds - Golf Course, Airport and Building Department - are prepared using the accrual basis of accounting. Under the accrual basis of accounting, expenditures are recognized when the liability is incurred. Revenues are recognized when they are obligated to the City (e.g., Allport leases). The differences between the budget basis and the accrual basis of accounting include: (I) budgeting the full amount of capital expenditures as expense rather than depreciating them and (2) presenting debt service, including principal as an expense. Guidelines The Comprehensive Annual Financial Report (CAFR) presents the status of the City's finances on a basis consistent with Generally Accepted Accounting Principles (GAAP) (i.e., a statement of net assets and statement of activities are presented on an accrual basis of accounting, including governmental funds, major governmental and proprietary funds are identified, governmental funds use the modified accrual basis of accounting, while the proprietary and trust funds use the accrual basis of accounting.) In order to provide a meaningful comparison of actual results to the fmal budget, the CAFR presents the City's operations on a GAAP basis and also shows fund revenue and expenditures on a budget basis for the General, Special Revenue, and Debt Service funds. Current revenues shall be sufficient to support cmrent expenditures. The finance department will monitor each budgeted fund and maketimelv budgetary recommendations and adiustments to make sure no budgetary expenditures are in excess of appropriations at fiscal vear end. which is not permitted under Florida State Statutes. The budget process and format shall be performance- based and focused on goals, objectives, programs, and performance indicators. The budget will provide adequate funding for maintenance and replacement of capital plant and equipment. Budget Amendment 1. Total fund appropriations changes must b~. /7 approved by the City Council. LV Attachment "I" City of Sebastian, Florida Financial Policies 2. Uses of contingency appropriations must be specifically approved by the City Council. 3. Shifts in appropriations within fund totals may be done administratively on the authority of the City manager. In most cases the City Manager will request City Council's approval since the item prompting the change will usually go to the City Council (e.g., award of contract, addition of staff, contract change order). Procedures for appropriation transfers and delegation of budget responsibility will be set by the City manager. 4. A Budgetary Control System will be maintained to ensure compliance with the budget. Monthlv ooerating statements are orovided to all Deoartment heads and Quarterly b~dget status reports will be provided to the City Council comparing actual versus budgeted revenue and expense activity for all budgeted funds. Planning The City will annually prepare and distribute to departments . and the City Council a Five-Year Forecast. The forecast will include estimated operating costs and revenues for future. capital improvements, such as new parks and public works facilities, included in the capital budget. Fund Balance Policies On an annual basis, after the year-end audit has been completed, but no later than April I, the City Finance Director shall produce a schedule of all fund surpluses and deficits, with projections of reserve requirements and a plan for the use of any excess surplus for the current year in accordance with the Financial Balance Policies and Use of Surplus Policies. This document will be used not only to ensure compliance with stated and adopted policies, but also to analyze the ~~ reserve and surplus picture to ensure that the poliCies as adopted do not inadvertently create adverse effects. The Director of Finance shall provide recommended changes to the City Council for any changes to the Fil1--sial Fund Balance Policies and Use of Surplus Policies based on needs identified in this analysis. Working Capital The General Fund unappropriated fund balance will be maintained in an amount greater than or equal to /IQ;~een percent (15%) of the annual General Fund (8 Expenditures budget. This amount approximates two months or 60 days of working capital. The City shall include in the General Fund operating budget annually, an Operating Contingency Account equal to 1.5% of the General Fund total expenditures, less debt service, interfund transfers and capital expenditures. This contingency will be used for unforeseen and emergency events that occur during the course of the operating year and will expire at the end of each fiscal year and balances will not be brought forward. In order to provide the resources necessary to ensure continued operations of the City's programs should a natura1 disaster or significant changes in the weather pattern occur, the City sha11 maintain a reserve of $350,000 for emergency services. The City shall maintain a reserve of $100,000 for Property and Casualty claims representing four Glaims en a $2S,llOO dllllaetible claim deductibles. All retirement programs, Police Pension, CW AIlTU and 401a programs will be funded at 100% of the obligations calculated anmIally. The defined benefit pension plan will be funded in accordance with an independent actuarial analysis performed at a minimum of every two years, or as needed. Capital Reserves The City shall include in the General Fund operating budget annually a Capital Contingency Account equal to 0.5% of the General Fund total expenditures, less debt service, interfund transfers and capital expenditures. This contingency will be used for unanticipated expenditures for the maintenance of buildings and replacement of related equipment and will expire at the end of each fiscal year and ba1ances will not be brought forward. Annually the City shall transfer fifty percent (50%) of the current year's operating surplus (revenues in excess of expenditures) into a capital equipment replacement reserve for the purpose of creating a perpetua1 funding method for replacing City capital equipment. Prior to any funds being spent, the budget amendment procedure must be followed. The City shall maintain a reserve of $1,000,000 for the purpose of providing advances to the airport for capital improvements pursuant to a resolution establishing this loan reserve. The line of credit reserve sha11 have a term not to exceed five (5) vears. The tetm exPires Seotember 30.2007. Attachment "1" City of Sebastian, Florida Financial Policies The table listed blow is a summary of all reserve and contingency requirements for the General Fund. Reserve Description Requirement Working Capital Reserve 15% of annual General Fund Expenditures budoet Emen!encv Reserve $350,000 Property and Casualty claims $100,000 Reserve Capital Equipment Replacement 50% of the current years Reserve operating smplus (revenues in excess of expenditures) General Fund Advance to $1,000,000, expire September Airnort Canital Proiects Reserve 12,2007 General Fund Operating 1.5% of lbe General Fund Contingency (for budget purpose total expenditures budget, less only) debt service, interfimd transfers and capital expenditures Capital Contingency (for budget 0.5% oflbe General Fund pwpose only) total expenditures budget, less . debt service, interfimd transfers and capital expenditures All retirement programs 100% Funded per indapendent actuarial analysis performed at a minimum of every two vears, or as needed Use of Surplus Policies Use of Surpluses It is the intent of the City to use all surpluses generated to accomplish three goals: meeting reserve policies, avoidance of future debt, and rednction of outstanding debt. The City will not use existing fund balances or year-end surpluses to fund ongoing operating expenses. Any surpluses realized in the General Fund at year- end sha1l be used first to meet reserve policies as set forth in the Fund Balance Policies. Excess surplus will then be used for the following purposes, listed in order of priority: ~ Capital Replacement Programs. After General Fund reserves have been met, up to 50% of excess reserves may be set aside to provide the cash necessary to implement capital replacement programs (e.g., vehicle and equipment replacement and facility maiotenance programs). Any excess surplus remaioiog after reser-fe polioies have beeR met may be GOea te pay ae'!.", debt eJHstiBg ill the geReral food er any ether CBj3ital loano. should be carried forward to the next fiscal vear. ~ Cash Payments for Capital Improvement Program Proj ects. Using cash to purchase capital items that are budgeted to be purchased with the proceeds from any debt will reduce the future debt burden of the City. This strategy may be combined with retirement to reduce future debt service after performiog a financial analysis to determine the greatest net present value saviogs. ~ Cemetery Permanent Trust Fund. After all other needs have been satisfied, excess surpluses may be transferred to the Cemetery Permanent Trust Fund that has been established to care for the Cemetery. The amounts transferred shall be deemed corpus to the Cemetery Trust fund for future earnings growth to fund Cemetery care and maiotenance. ~ Riverfront Redevelopment Agency. After all other needs have been satisfied; excess surpluses may be transferred to the Riverfront Redevelopment Agency that has been established to provide infrastructure and public facility needs. Special Revenue Fund Surpluses Local Option Gas Tax Revenue Fund - A reserve will be maiotaioed in an amount greater than or equal to fifteen percent (15%) of the annual Local Option Gas Tax Fund Expenditures budget. Excess surpluses shall first be used for the purpose of reducing debt for the Road Paviog Note Payable. Discretionary Sales Surtax Revenue Fund - A reserve will be maiotaioed io an amount greater than or equal to ten percent (10%) of the total annual Discretionary Sales Tax Fund Expenditures budget for the purpose of providiog sufficient funds for unanticipated major repairs or replacements for eligible capital improvements or equipment. Discretionary Sales Tax revenues will be used in accordance with the followiog: I. fund annual debt service payments for which this revenue source is pledged, then; 2. fund emergency vehicles, then; 3. fund pay-as-you go eligible capital improvements, then; 4. fund equipment for the maiotenance of Discretionary Sales Tax funded improvements. Stormwater Utility Revenue Fund - A reserve will be maiotaioed io an amount greater than or equal to fifteen percent (15%) of the total annual Stormwat~ ~ Utility Revenue Fund Expenditures budget for th~ Attachment "1" City of Sebastian, Florida Financial Policies purpose of providing sufficient funds for unauticipated major capital improvement program. (Pursuant to City of Sebastian Ordinance No. 0-04- 15, capital improvement program of the Comprehensive Growth Management Plan on furtherance of the Stormwater Master Plan adopted by the City Council.) Performance Measurement Policies Establishing Performance Requirements Every two years, the City shall update the existing Strategic Plan that identifies Strategic Priorities for the following two years. Each Strategic Priority should provide three to five Key Intended Outcomes (KIOs) that measure appropriate results for each priority. Annually, each deparbnent shall develop deparbnental performance measures that correspond with the department programs and me them with the City Manger's Office. Goals should be related to core services of the department and should reflect stakeholder needs. The measures should be of a mix of different types, including effectiveness, efficiency, demand and workload. Measures should have sufficiently aggressive "stretch" goals to ensure continuous improvement ~ Workload - Measures the quantity of activity for a deparbnent (e.g., number of calls responded to). ~ Demand - Measures the amount of service opportunities (e.g.. total number of calls). ~ Efficiency - Measures the relationship between output and service cost (e.g., average cost of the response to a service call). ~ Effectiveness - Measures the impact of an activity (e.g., percent of people who feel safe). Deparbnent Directors shall establish performance measures for each program within their deparbnent to monitor and project program performance. These objectives must be linked to the deparbnental measures they support. Supervisors shall insure that fair, objective and aggressive performance measures for each employee that directly supports program objectives and deparbnental measures are part of their annual review. Reporting Performance @ Quarterly summaries of progress on goals and objectives and deparbnental performance measures will be provided to the City Manager for publishing in the Council's Quarterly Budget to Actual Report. Decision Making and Analysis The City's Strategic Planning and budgeting decisions are based on a number of processes currently in place. The specific tools used are: .:. Citizen Advisory Boards - (e.g., Budget Review Committee) are teams made up of Residents and City staff to address specific concerns and provide direction and feedback. Several such advisory boards currently exist; .:. Master Planning - Specific functions and processes are included in written plans, such as the Comprehensive Plan, Stormwater Master Plan, and the Airport Master Plan; .:. Fiscal Impact Model - Allocation methodology that quantifies average and marginal revenues and the costs of new development by land use type; .:. Revenue Forecasting Model - Statistical time series analysis and tracking model of major revenue sources; .:. Performance Measurement System - Quarterly performance evaluations and reports; .:. Capital Budgeting Tools - Present Value Payback, Net Present Value Analysis, OwnlLease Analysis, and Return on Investment (ROn Analysis; .:. Five-Year Financial Plan - Multi-year forecasting of revenues and expenditures; .:. Ten-Year Fleet Replacement Program Equipment replacement covering the useful life of all vehicle classes; .:. Ten-Year Equipment and Maintenance Program - maintenance and replacement schedule covering the useful life of all equipment, other than vehicles; .:. Financial Trend Monitoring System - Systematic analysis of major financial indicators; Attachment "1" City of Sebastian, Florida Financial Policies Capital Improvement Program Policies Definition Capital improvements include streets. buildinl!s. buildinl! . improvements. new parks. park expansions/improvements. airport runwayS. infrastructure improvements. and maior. one-time acquisitions of emll1lIllent. Proiects in the Capital Improvement Proeram l!enera1lv cost more than $50.000 and last at least five years. Aligpment The City shall coordinate the development of the Capital Improvement Program budget with the development of the Strategic Plan and Operating Budget, as well as ensuring compliance with the Comprehensive Plan Capital Improvement Element. Future operating expenditures and revenues associated with new capital improvements will be projected and included in the efl-tiBg lmdget Capital Improvement Proeram Five-Year Forecasts. Project Selection All capital projects submitted for approval must be justified in terms of how the project supports the achievement of the City's Strategic Priorities. Projects are prioritized and approved based on the relevancy of the project to the City's Strategic Plan and the impact on the end stakeholder(s). Capital Improvement Budget The City shall adopt an annual Capital Budget based on the Capitsl Improvement Program. Futore capital improvement expenditures necessitated by changes in population, real estate development, or in economic base will be calculated and included in the capital improvement budget projections. The originating department of the capital improvement project will identify the estimated costs and funding sources for each capital project proposal before it is submitted to the City Council for approval. The City shall make all capital improvements in accordance with an adopted Capital Improvement Program budget. The City will determine and use the most prodent financial methods for acquisition of capital improvement projects based upon market conditions at the time of acquisition. Capital Equipment Outlay Definition Capital eQuipment outlav is defined as capital assets purchased and/or constructed with a cost eoual to or !!Teater than $750 (with the exception of computer software cost which is equal to or !!Teater than $5.000) with a use:fullife of one or more vears The City will determine and use the most prudent financial methods for acquisition of new or replacement capital equipment, based upon market conditions at the time of acquisition. Capital Replacement Programs - The City shall establish equipment replacement and maintenance needs for at least a tea year five-vear period and will upda~ this projection each year. From this projection, a mamtenance and rep1acement schedule shall be developed and implemented. Funding fer these progmms will be made through ""M"ed depresiatien aharges te using deflmtmeats An" held in sinking funds ereated for the pmpeso ef payffig fer replaoements. .'~ Ilditieaal iimding may Fundinl! should be obtained through year-end surpluses as identified in the Use of Surplus Policies. Maintenance programs shall be paid for on a pay-as-you-go pregmm basis. Maintenance The City shall maintain all capital assets at a level adequate to protect the City's capital investment to minimi7,C future maintenance and replacement costs. Physical Inventory An annual physical inventory (see Fixed Asset Policies) will be conducted to ensure that the replaoement, mn'Mt-nMse, and Caflital Jmpre-vement Progmm prejeeti8BS lIl'tl aGGUI'ate, all capital assets listed in the City's financial sYstem are accounted for. and that sufficient internal control over capital items is exercised. See Fixed Asset Policies for further information on capital purcbases. Debt Management Policies Market Review The City, in conjunction with its financial Consultant, shall review its outstanding debt annually for the purpose of determining if. the financial marketplace will afford the City the opportunity to refund an issu~. ... l!!). Attachment "I" City of Sebastian, Florida Financial Policies and incur less debt service costs. In order to consider the possible refunding of an issue, a Present Value savings of three percent (3%) over the life of the respective issue, at a minimum, must be attainable. Capital Improvements. equipment and facility proiects shall be classified into "pav-as-vou-gO" and "debt fmancing" classifications. Pav-as-vou-gO capital items will be $150.000 or less with lives of ten vears or less. Debt financing will only be used for maior. non-recurring items with a minimum of ten (] 0) vears usefnllife. Debt Financinl!: for Capital Assets 1. Short-term Borrowinl!: Short-tenn borrowing or lease/purchase contracts should be considered for financing maior operating capital equipment when the Finance Director, along with the City's financial advisor, determines that this is the City's best financial interest. Lease/purchase decisions should have the concurrence of the appropriate department/division head. 2. Debt Issuance of Debt When the City finances capital projects by issuing bonds, it shall amortize the debt over a term not to exceed the average useful life of the project(s) fmanced. If General Obligation Bonds are issued, the City's goal will be to limit the maturity to fifteen (15) years. Capital Improvements, equipmest afIa facility projeGts shall be e18flsitiea inte ''pay as YOIl go" &ea "aeat fm&eeing" elaasmeatioRs. Pay as YOIl go ea]'lital items willee $15Q,00Q or less with liyes efteR years or leos or replaeement of eristing eqllijlmem where aepreeiati8ll has eeeR ]'laia to a siBlOOg ftma. gebt finaneing will oHly be usea far majer, ROB reeurring items with a minimum oftea (W) years useful life. The City shall confme long-term borrowing to capital improvements and projects that have useful lives in excess of twenty (20) years. When possible, the City shall use a special assessment or self-supporting fmancing instead of general obligation bonds, so those benefiting from the ~. improvements will bear all or part of the cost of the ~ project fmanced. Debt Service Levels Annual General Fund debt service expense, if any, will be limited to eight percent (8%) of the General Fund expenditures budget. The City will limit its total outstanding General Obligation debt, if any, to five percent (5%) of the assessed valuation of taxable property. The City will limit the amount of Variable Rate debt to fifteen percent (15%) of the total debt outstanding. Bond Ratings The City, along with its Financial Advisor, shall periodically review possible actions to maintain or improve its bond ratings by various rating agencies. The City shall maintain good communications with bond rating agencies and its bond insurers about its financial condition. The City shall follow a policy of "full disclosure" in its Comprehensive Annual Financial Report and bond prospectuses. Revenue Policies Revenue Projections The City sha1l estimate its annual revenues by objective and analytical processes. The City sha1l maintain a diversified and stable revenue system to the extent provided by law to insnlate it from short-term fluctnations in anyone- revenue source. User Fees The City sha1l recalculate on a bi-annual basis the full cost of selected activities currently supported by user fees and charges to identify the impact of inflation and other cost increases. The City sha1l set fees and user charges for the Golf Course fund at a level that fully supports the total direct and indirect costs of operation, including depreciation. Reporting and Analysis To ensure compliance with Revenue Policies, Fund Balance Policies, and Budget Policies, the City Finance Department sha1l prepare reports and analyses annually to monitor, project, and estimate revenue and expenditures, to wit: Attachment "I" City of Sebastian, Florida Financial Policies ~ Five-Year Forecast of Revenues and Expenditures - A planning tool prepared and used by the Finance Department to forecast and project various funds (General, Local Option Gas Tax, Discretionary Sales Tax, Golf Course and Airport); ~ Situational Analysis - Every two years, as part of the Strategic Planning Process, an analysis of the demographic, legislative, and customer . requirements shall be made. Part of the project includes a "SWOT" (Strengths, Weaknesses, Opportunities, Threat) analysis. ~ Financial Trend Monitoring System - A set of financial trends and ratios used as leading indicators and as a measurement of relative performance. The Finance Department shall produce this report annually. ~ Revenue Manual- A guide to the major revenue sources that indicates the source, calculation, legal requirements, and accounting guidelines. Updated annually, as necessary, by the Finance Department. ~ Reserve Analysis - The City Finance Director will annually review the reserve levels and produce a report that indicates up-to-date reserve levels as compared to policy goals. ~ Investment Portfolio Reports - A quarterly report designed to track and analyze the performance of our investment portfolio. Investment Policies Investment Management The City Finance Department shall perform a cash flow analysis of all funds on a regular basis. Disbursement, collection, and deposit of all funds will be scheduled to insure optimum cash availability. (See Investment Policy.) When permitted by law, the City shall pool cash from each respective fund for investment purposes. Investments shall be managed by a third-party .clmini.trator to achieve optimal return on the City's investments. Investment Analysis The City shall review its investment policies established for investing surplus funds to account for changes in legislation and market conditions on an annual basis. The City shall prepare quarterly investment portfolio reports containing the overall performance of the fund. @