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1d. Approve 2008 Transfers of Excess Funds CITY OF CHANHASSEN 7700 Market Boulevard PO Box 147 Chanhassen, MN 55317 Administration Phone: 952.227.1100 Fax: 952.227.1110 Building Inspections Phone: 952.227.1180 Fax: 952.227.1190 Engineering Phone: 952.227.1160 Fax: 952.227.1170 Finance Phone: 952.227.1140 Fax: 952.227.1110 Park & Recreation Phone: 952.227.1120 Fax: 952.227.1110 Recreation Center 2310 Coulter Boulevard Phone: 952.227.1400 Fax: 952.227.1404 Planning & Natural Resources Phone: 952.227.1130 Fax: 952.227.1110 Public Works 1591 Park Road Phone: 952.227.1300 Fax: 952.227.1310 Senior Center Phone: 952.227.1125 Fax: 952.227.1110 Web Site 'INIW.ci .chanhassen .mn. us MEMORANDUM TO: Mayor & City Council Members SUBJ: Approve 2008 Transfer of Excess Fund Balance in General Fund PROPOSED MOTION "Staff recommends that the City Council approve the attached resolution authorizing the transfer of $796,836 from the General Fund to Fund 601." I Approval of this resolution requires a simple majority vote of those City Council members present. i The financial audit is complete and the general fund had reven'ues exceeding expenditures by $944,736, excluding transfers. This surplus was the result of a few revenue items exceeding budget in 2007, including receiving our Market Value Homestead Credit from the state ($162,000) which was not budgeted, building permits ($130,000), and investment income ($70,000). We also had a one-time revenue generation from taking some SAC credits related to the demolition of the Lakeview Hills Apartment complex ($100,000). In addition, various city departments under- spent their budgets by $267,000. The remaining increase was from a number of smaller revenue items that exceeded budget in 2007. Therefore, the fund balance at the end of 2007 was $5.49 million. Listed below is a breakdown of the general fund balance at the end of 2007, and the amount that would be available to be transferred to the "Revolving Special Assessment Street Construction Fund" in 2008. $5,491,286 (3,394,450) 0.300.000) i $796,836 I The City of Chanhassen · A growing community with clean lakes, quality schools, a charming downtown, thriving businesses, winding trails, and beautiful parks. A great place to live, work, and play. FROM: (gv11- bfd/ Greg Sticha, Finance Director DA TE: June 23, 2008 BACKGROUND General Fund Balance at 12-31-07 Required Reserve per City Policy Catastrophic Reserve Excess Fund Balance Available to Transfer F:\GregS\Council\2008\2008 fund Isf memo gen fund excess.docx Mr. Todd Gerhardt June 23, 2008 Page 2 RECOMMENDA TION Staff is recommending that the City Council adopt the attached resolution transferring $796,836 to the Revolving Special Assessment Street Construction Fund. ATTACHMENT 1. Resolution CITY OF CHANHASSEN CARVER AND HENNEPIN COUNTIES, MINNESOTA DATE: .June 23. 2008 RESOLUTION NO: 2008- MOTION BY: SECONDED BY: RESOLUTION AUTHORIZING 2008 FUND TRANSFER WHEREAS, the city's auditors have completed the 2007 financial audit and made recommendations for fund transfers. NOW, THEREFORE, BE IT RESOLVED by the City Council ofChanhassen, Minnesota, as follows: 1. Authorization; Findings. The City Council hereby authorizes the Finance Director to transfer the following amounts as shown. I i Transfer from: Transfer to: Amount: 101 General Fund 601 $796,836.00 Passed and adopted by the Chanhassen City Council this 23rd day of June, 2008. ATTEST: Todd Gerhardt, City Manager Thomas A. Furlong, Mayor YES NO ABSENT