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HomeMy WebLinkAboutResolutions - 2001.09.20 - 26653MISCELLANEOUS RESOLUTION #01249 BY: Finance Committee, Sue Ann Douglas, Chairperson IN RE: BOARD OF COMMISSIONERS / LIBRARY BOARD - CONSOLIDATION OF LIBRARY FUND WITH GENERAL FUND AND TRANSFER OF FUND BALANCE To the Oakland County Board of Commissioners Chairperson, Ladies and Gentlemen: WHEREAS implementation of Governmental Accounting Standards Board (GASB) Statement #34 will be effective FY2002, beginning October 1, 2001; and WHEREAS due to the new and revised fund types to be reported in the fund financial statements and requirements to report on an activity basis in the government-wide financial statements, the Fiscal Services Division has reviewed current fund and activity reporting to determine potential reclassifications and consolidations; and WHEREAS a determination has been made that the Library Fund (Fund #268), currently designated a Special Revenue Fund originally established to account for gifts and donations to the Library Board, accounts for activities which are truly governmental in nature and, therefore, should be consolidated with the County's General Fund (Fund #101); and WHEREAS the current fund balance of the Library Fund is over $300,000 and generates approximately $20,000 annual Interest income, that is credited to the Library Fund for the exclusive use of the Library Board; and WHEREAS one (1) Library Division General Fund/General Purpose Clerk III position (#07860), created by Misc. Resolution #96131 dated June 27, 1996, is currently reimbursed from the Special Revenue proceeds of the Library Fund; and WHEREAS the intent of this resolution is to simplify the accounting and financial reporting of Library Board activities without jeopardizing current and future resources derived from gifts and donations, including interest earned on these assets, which shall be for the exclusive use of the Library. NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Commissioners authorizes the consolidation of accounting and financial reporting of the Library Fund (Fund #268) with the General Fund (Fund #101) and transfer of fund balance as of FY2001 Year End Closing, September 30, 2001. BE IT FURTHER RESOLVED that a General Fund Designated Fund Balance be established equivalent to the aforementioned transfer, for the exclusive use of Library Board activities as authorized by the Board of Commissioners. BE IT FURTHER RESOLVED that the Library Division Clerk III position (#07860) currently reimbursed from the Library Fund continue to be funded from the newly established General Fund Designated Fund Balance, supplemented with imputed General Fund interest earnings on that designated fund balance. BE IT FURTHER RESOLVED that all donations made to the County Libraries be placed in a special account and that any interest earned on the donated monies shall be placed in the special account. Chairperson, on behalf of the Finance Committee, I move the adoption of the foregoing resolution. FINANCE COMMITTEE FINANCE COMMITTEE COMMITTEE Motion carried unanimously on a roll call vote with Friedman Appel absent. Resolution #01249 September 20, 2001 Moved by Douglas supported by Patterson the resolution be adopted. AYES: Garfield, Gregory, Law, McPherson, Melton, Millard, Moffitt, Moss, Obrecht, Palmer, Patterson, Sever, Suarez, Taub, Webster, Amos, Appel, Brian, Buckley, Causey-Mitchell, Coleman, Crawford, Dingeldey, Douglas, Galloway. (25) NAYS: None. (0) A sufficient majority having voted therefore, the resolution was adopted. HE FOREGOING RES0 1 lT STATE OF MICHIGAN) COUNTY OF OAKLAND) I, G. William Caddell, Clerk of the County of Oakland, do hereby certify that the foregoing resolution is a true and accurate copy of a resolution adopted by the Oakland County Board of Commissioners on September 20, 2001 with the original record thereof now remaining in my office. In Testimony Whereof, I have hereunto set my hand and affixed the seal of the County of Oakland at Pontiac, Michigan this 201p. daydef September, 2001. T. William Caddell, County Clerk