Title
Budget Amendment Policy (B)
Explanation
The City adopts an annual budget in September for the upcoming fiscal year. The budget is a forecast of future expenditures and must be carefully monitored and adjusted as the fiscal year progresses. This Policy is intended to provide a process for budget amendments needed to achieve the policy direction given by the City Commission.
The City Commission last reviewed and approved the Budget Transfers and Modifications Policy on September 24, 2020. Standard best practice recommends an annual review of this policy to ensure the policy reflects up to date budget administration procedures and guidelines.
The proposed Budget Transfers and Modifications Policy has been renamed to the Budget Amendment Policy and updated to:
1) Require City Commission approval for appropriation amendments between departments and/or offices and prohibit expenditures until such action has been taken
2) Remove ability for minor reallocation of funds for capital projects and between departments unless otherwise approved by the City Commission
Strategic Connection:
Goal 5: “Best in Class” Neighbor Services
Fiscal Note
Clearly defined guidelines and procedures for budget amendments increases financial transparency as operational decisions are made throughout the fiscal year.
Recommendation
The City Commission review and approve the Budget Amendment Policy.