HomeMy WebLinkAbout10-007 Short Term Interfund LoansResolution 10-007, Short Term (nterfund Loans
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RESOLUTION NO. 10-007
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PORT
TOWNSEND, WASHINGTON, AUTHORIZING SHORT TERM INTERFUND LOANS
TO THE GENERAL FUND FROM THE OGWS TRANSMISSION PIPELINE TRUST
FUND (FUND #417) AND/OR THE EQUIPMENT RENTAL AND REVOLVING FUND
(FUND #500) IN AN AMOUNT NOT TO EXCEED $150,000 AS NEEDED FOR
CURRENT OPERATIONS
WHEREAS, the General Fund cash reserves have been reduced in supporting new
Library Fund and Community Service Fund initiatives; and
WHEREAS, the majority of General Fund tax receipts will not be collected until the
months of April/May and October/November each year; and
WHEREAS, the General Fund will continue to incur obligations for payment before tax
payments are collected requiring sufficient cash flow to honor obligations.
WHEREAS, the OGWS Transmission Pipeline Trust Fund (Fund #417), and the
Equipment Rental and Revolving Fund (Fund #500) contain sufficient cash reserves to provide
interfund loans to the General Fund for short term cash flow needs.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Port
Townsend as follows:
SECTION 1. The City of Port Townsend Finance Director is hereby authorized and
directed to make short term interfund loans in an amount not to exceed $150,000 from the
OGWS Transmission Pipeline Trust Fund (Fund #417), or the Equipment Rental and Revolving
Fund (Fund #500) to the General Fund. This loan shall bear interest at a rate of 0.25% per
annum and shall be repaid to the OGWS Transmission Pipeline Trust Fund on or before
December 31, 2010.
SECTION 2. Severability. If any provision of this Resolution or its application to any
person or circumstance is held invalid, the remainder of the Resolution, or the application of the
provision to other persons or circumstances is not affected.
SECTION 3. Effective Date. This Resolution shall take effect and be in force
immediately upon its passage.
ADOPTED by the City Council of the City of Port Townsend at a regular meeting
thereof, held this tifteenth day of March, 2010.
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Michelle Sandoval, Mayor
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Pamela Kolacy, MMC, City C k
Ap~pr~oved as to form:
John Watts, City Attorney