HomeMy WebLinkAboutRESOLUTIONS - 01012005 - 2005-371 BOARD OF DIRECTORS
OF THE
CONTRA COSTA COUNTY FIRE PROTECTION DISTRICT
RES LtIT O Nth, 2I1fl5l3 i
ESTABLISHING A RESERVE POLICY FOR
FINANCIAL STABILITY OF THE CONTRA COSTA
COUNTY FIRE PROTECTION DISTRICT
WHEREAS, the Contra Costa County Fire Protection District has an interest in
maintaining long-term financial stability and establishing a reserve policy for the purpose
of providing contingency funding in emergency situations; and
WHEREAS,the establishment and maintenance of a reserve is a key element in
maintaining the District's credit quality and enhancing the management of the District's
finances;and
WHEREAS,the best reserve,policies incorporate three main criteria: establishing
a target level of reserves; specifying the appropriate circumstances for drawing down
reserves; and directing the replenishment of reserves; and
WHEREAS, the Contra Costa County Fire Protection District desires to balance
the maintenance of a reserve for severe circumstances with the need for ongoing
flexibility in addressing revenue shortfalls,unanticipated expenditures and emergency
situations;
NOW, THEREFORE, THE CONTRA COSTA COUNTY BOARD OF
SUPERVISORS,ACTING IN ITS CAPACITY AS THE CONTRA COSTA COUNTY
FIRE PROTECTION DISTRICT BOARD OF DIRECTORS,RESOLVES THAT:
1. The Contra Costa County Fire Protection District shall maintain a minimum
reserve (available'fund balance) of 10 percent of the General Fund budgeted'
expenditures.
2. °Reserve funds shall only be used for emergencies,non-recurring expenditures
or capital acquisitions,as determined by the Board of Directors in accordance with this
policy.
3. `Should the reserve fall below the 10 percent minimum, the request to utilize
reserve funds must be approved by the Board of Directors and accompanied by
restoration recommendations.
4. The District strives to have a balanced operating budget where annual realized
revenues are equal to,or exceed, operating expenditures. Any surpluses(realized
revenues greater than operating expenditures)will be utilized for maintenance of reserve
funds or capital acquisition.
5. Each year at the time the budget is considered for adoption,the Board of
Directors shall conduct a review of the proposed General Fund budget for compliance
with this reserve policy to ensure sound financial decision-making and fiscal stability.
6. This Resolution shall take effect from and after its date of adoption.
PASSED AND ADOPTED this 21stday of JUNE , 2005.
Ch of the Board of Directors
Secretary Kf the Board of Directors
I hereby certify that this is a true and correct,copy
of an action taken and entered on the minutes of
the Board of Supervisors on the date shown:
ATTESTED. (date) JUNE 21r 2005
JOHN SWEETEN,Clerk of the Board of Supervisors
and County Administrator
By_" '���W - ---'Deputy
CERTIFICATEOF THE SECRETARY OF THE
CONTRA COSTA COUNTY FIRE PROTECTION DISTRICT BOARD OF DIRECTORS
I, 24Y L. SHARP, Secretary of the Contra Costa County' Fire Protection
District Board of Directors (the "District"), hereby certify that the foregoing is a full, true
and correct copy of a resolution duly adopted at a'meeting of the Board of Directors of said
District duly and regularly held in Martinez, California; on JUNE '21 2005 of which
meeting all of the members of said District had due notice. -
I mer certify that I have carefully compared the foregoing copy with the
original minutes of said meeting on file and of record in my office; that said copy is a full,
true'and correct copy of the original resolution adopted:at said meeting and entered in said
minutes; and that said resolution has not been amended, modified, rescinded or revoked' in
any manner since the date of its adoption,and the same is now in full force and effect.
I further certify that an agenda of said meeting was posted at least 72 hours
before said meeting at a location in Martinez, California, freely accessible to the public and
a brief general description of the resolution to be-adopted at said meeting appeared on said
agenda.
IN WITNESS WHEREOF, I have executed this certificate hereto as of this
21rsgay of JUNE 2005
By /AJ�A�-�
Secretary