DATE:
January 23, 2024
CATEGORY:
Consent
DEPT.:
Finance and Administrative Services
TITLE: Modifications to Council Policy A-11,
Financial and Budgetary Policy
RECOMMENDATION
Adopt a Resolution of the City Council of the City of Mountain View Amending City Council Policy A-11, Financial and Budgetary Policy, to be read in title only, further reading waived (Attachment 1 to the Council report).
BACKGROUND
The City Council Financial and Budgetary Policy A -11 (Policy A -11) was originally adopted on December 13, 1976 and was last modified on June 12, 2018. Policy A-11 establishes City policies related to budget revenues, expenditures, reserves, capital improvements, c ash management and investments, accounting, debt management, and risk management.
On December 6, 2023, staff presented the recommended modifications to the Council Finance Committee (CFC). The CFC recommended approval of the modifications.
ANALYSIS
Staff reviewed the existing Policy A-11 and recommends updates as follows:
1. Incorporate the Budget and Accounting procedures from the Adopted Budget documents into this policy.
2. Update the General Fund Earned Lease Revenue Reserve to include what can be funded by the reserve.
3. Update the Workers’ Compensation Self -Insurance Reserve and Liability Self -Insurance Reserve to provide specific guidance on the reserve level.
Modifications to Council Policy A-11, Financial and Budgetary Policy January 23, 2024
4. Add the Parental Leave Reserve and the Employee Loan Reserve descriptions, per programs approved by the City Council.
5. Updated the Sea Leave Rise Reserve and Landfill Reserve based on the latest studies.
Other clean-up and minor modifications are identified by underline and strikeout in the attached copy of Policy A-11 (Exhibit A to Attachment 1).
FISCAL IMPACT
The only fiscal impact is the modification/clarification of the reserve levels. These updates could require the City to contribute additional funding to meet the reserve requirements, which could reduce available funding for other programs.
ALTERNATIVES
1. Decline to accept the proposed changes.
2. Propose other revisions to the policy.
PUBLIC NOTICING—Agenda posting.
Prepared by:
Grace Zheng
Assistant Finance and Administrative
Services Director
Approved by:
Derek Rampone
Finance and Administrative
Services Director
Arn Andrews
Assistant City Manager
GZ/6/CAM
541-01-23-24CR
203638
Attachments: 1. Resolution
2. CFC Memo, December 6, 2023
3. Council Policy A-11 (redline)