Resolution - 6563ie
RESOLUTION NO• 6563
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
WEST COVINA, CALIFORNIA, ESTABLISHING A RESERVE
FUND PURSUANT TO SECTION 5 OF ARTICLE XIIIB OF
THE CALIFORNIA CONSTITUTION.
WHEREAS, Section 5 of Article XIIIB of the California Constitution
states that, "Each entity of government may establish such contingency, emer-
gency, unemployment, reserve, retirement, sinking fund, trust, or similar
funds as it shall deem reasonable and proper. Contributions to any such fund,
to the extent that such contributions are derived from the proceeds of taxes,
shall for purposes of this Article constitute appropriations subject to limita-
tion in the year of contribution. Neither withdrawals from any such fund,
nor expenditures of (or authorizations to expend) such withdrawals, nor trans-
fers between or among such funds, shall for purposes of this Article consti-
tute appropriations subject to limitation."
NOW, THEREFORE, the City Council of the City of West Covina does
resolve as follows:
SECTION 1. There is created and established the Tax Proceeds
Reserve Fund. Such fund is established pursuant to Section 5 of Article XIIIB
of the Constitution of the State of California for the purpose of providing
for the separate accounting of proceeds of taxes received in a fiscal year
prior to the fiscal year in which they "are expended, and thereby to distinguish
between proceeds of taxes which are subject to the appropriations limit of
the City applying to the fiscal year in which they are expended and proceeds
of taxes which are not subject to the appropriations limit of the City in
the fiscal year in which they are expended.
SECTION 2. In each fiscal year, the amount, if any, by which
those revenues which constitute proceeds of taxes exceed expenditures thereof,
as of the close of the last day of such fiscal.year, is appropriated to the
Tax Proceeds Reserve Fund, and shall constitute an appropriation subject to
limitation in such fiscal year.
SECTION 3. Any moneys which have been contributed to any contin-
gency, emergency, unemployment, reserve, retirement, sinking, trust, or similar
funds during the course of a fiscal year and which are appropriated to the
Tax Proceeds Reserve Fund by operation of Section 2, shall remain in such
other fund and subject to the limitations placed upon expenditures therefrom
as well as being within the Tax Proceeds Reserve Fund for purposes of this
Resolution.
SECTION 4. Moneys in the Tax Proceeds Reserve Fund may be expended
or authorized for expenditure in the same manner as moneys not in such fund.
Such expenditures or authorizations to expend from such fund shall not con-
stitute appropriations subject to limitation.
SECTION 5. The Finance Department is authorized and directed to
establish accounting procedures which distinguish between expenditures of,
or authorizations to expend, moneys in the Tax Proceeds Reserve Fund and
expenditures of, or authorizations to expend, moneys not in such fund.
• SECTION 6. As used herein, the terms "proceeds of taxes," "ap-
propriations limit," and "appropriations subject tb limitation" shall have
the same meaning as they have in Article XIIIB of the California Constitution.
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SECTION 7. That the City Clerk shall certify to the adoption
of this resolution and the same shall be in full force in effect immediately
upon adoption.
ATTEST:
APPROVED and ADOPTED this 28th day of. June , 1982•
City Clerk
Mayor
I HEREBY CERTIFY that the foregoing Resolution No. 6563 was
duly adopted by the City Council of the City of West Covina at a regular meet-
ing thereof held on the 28th day of June 1982, by the following
vote of the Council
AYES: COUNCILMEMBERS: Bacon, Shearer, Tice
NOES: COUNCILMEMBERS: None
ABSENT: COUNCILMEMBERS: Tennant, Chappell
APPROVED AS TO FORM:
City Attorney
City clerk