HomeMy WebLinkAbout022828 RES - 01/21/1997RESOLUTION
Adopting financial policies to rebuild General Fund ending balances to prior year
levels and ensure that acceptable levels are maintained in future years:
Whereas, the City of Corpus Christi has a commitment to citizens as expressed in
its Mission Statement:
"Our Mission is to provide the citizens of Corpus Christi, collectively,
excellent quality products and highly responsive services in the areas of:
Infrastructure Needs (including water, wastewater, gas distribution, solid
waste, aviation and streets); Protective Services (including law enforcement,
fire and health); Quality of Life Enrichment (including housing and community
development, libraries, cultural and leisure activities); Economic
Development (including support of existing economic bases and
encouragement of growth); and Development Services (including
engineering, planning and inspection...)"; and
Whereas, financial resources are budgeted to fulfill this commitment ; and
Whereas, the financial condition of the General Fund has weakened in recent years,
and rating agencies have expressed concern about the City government's ability to meet
future needs; and
Whereas, the City desires to maintain and strengthen its bond rating; and
Whereas, with a rebounding economy, General Fund revenues are beginning an
upward trend, as reflected by the increase from the 1995 Net Taxable Value of
$6,464,727,958 to $6,745,559,944 in 1996; and
Whereas, it is prudent to adopt financial policies which will direct financial planning
and actions to rebuild General Fund ending balances to prior year levels;
Now, therefore, be it resolved by the City Council of the City of Corpus Christi that
the following financial policies are hereby approved and made part of the City
Comprehensive Policy Manual:
SECTION 1. To ensure that current and future operations are protected from
severe impact of any economic slowdowns or unforeseen expenditures, adequate financial
resources will be set aside in the General Fund ending balances.
SECTION 2. The goal for the General Fund ending balance will be at least four
percent of total annual General Fund appropriations. The beginning balance for FY 1997-
98 is projected at $1,613,134. Analysis of current trends and opportunities in revenue and
expenditures indicates that this goal can be accomplished in six years through incremental
increases in the General Fund ending balance of approximately 25 percent per
year.
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SECTION 3. Consistent with these policies and to provide additional security, the
G.O. Debt Bond Fund will continue to maintain an acceptable level of fund balance to
cover a substantial portion of the subsequent year principal and interest debt obligation.
SECTION 4. The City Council and City Staff will pursue new and enhanced revenue
sources at both the local and state levels. Some of the areas to be pursued in the first two
years include:
A. Utility franchise agreement renewals at higher revenue levels;
B. Effective operation of the Regional Landfill to the benefit of the
citizens of Corpus Christi;
C. Seeking the authority for the administration of the Emergency
Telephone System (911 program);
D. Audit and study of all outside revenue sources and areas such
as fines, fees, and contributions to determine that they are
appropriate.
SECTION 5. For the General Fund operating budget, current budgeted revenues
will exceed current budgeted expenditures.
SECTION 6. Recognizing that expenditure controls are a major factor in achieving
these goals, the City Manager will review and make expenditure recommendations.
SECTION 7. The City Council is prepared to make expenditure reductions that may
be necessary to meet these goals.
SECTION 8. This budget policy will be reaffirmed each May, prior to consideration
of the budget, and the City Manager is instructed to prepare the budget in accordance with
these policies.
Attest:
Armando Chapa, ity Secretary Mayor
The City of Corpus Christi
Ap'pioved• L Day of Sa»Va •- 1997
James R. Bray, Jr. City Attorney
02928
Corpus Christi, Texas
I Dayo
, 19 9%
The above resolution was passed by the following vote:
Mary Rhodes
Dr. Jack Best /��,'I^ /'
Betty Black l.(�L �( �l�i
Melody Cooper 11.-bYl?P
Tony Heldenfels
Betty Jean Longoria
John Longoria
Edward A. Martin
Dr. David McNichols
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