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CITY OF SEWARD, ALASKA
RESOLUTION 2008-059
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, CLARIFYING MONTHLY AND QUARTERLY FINANCIAL
REPORTING REQUIREMENTS
WHEREAS, the Seward City Charter requires that "the city manager shall submit
periodically to the council information comparing estimated and actual revenues and expenditures to
the end of the preceding month" (Section 6.4b), and the Seward City Code requires that "the finance
department shall prepare... annual and quarterly reports reflecting revenues and expenditures of the
individual departments, current monthly statements reflecting unencumbered balances for all city
accounts;" and
WHEREAS, the Seward City Council met in a work session on May 28, 2008, and provided
clarification to the administration as to the type and frequency of financial reports to be provided,
and have requested a financial summary each month limited to one page, with said page listing the
budget versus actual expenditures for each department within the General Fund, as well as the total
revenues and expenses for enterprise funds, compared against the annual budget; and
WHEREAS, in place of the single-page monthly summary report, the Council would like a
~.. quarterly report for March, June, September, and December, providing a greater level of detail,
showing individual revenues and expenditures for the General Fund compared with the annual
budget, and eliminating the written narrative for monthly reports, but retain narrative for quarterly
reports and eliminating the graphical explanations currently being provided; and
WHEREAS, the Council requests that reports be provided two months following month-end
(at the second Council meeting of each month); for example, May financial reports will be presented
at the second meeting in July, to provide sufficient time for month-end close, and to ensure the
usefulness of financial information.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD, ALASKA that:
Section 1. The City Manager is directed to provide monthly and quarterly financial reports as
defined herein (two months following month-end, at the second Council meeting of each month).
Section 2. This resolution shall take affect immediately upon its adoption.
PASSED AND APPROVED by the City Council of the city of Seward, Alaska, this 14th day of
July, 2008.
CITY OF SEWARD, ALASKA
RESOLUTION 2008-059
THE CITY OF SEWARD, ALASKA
Clark Corbridge, Mayor
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
Dunham, Valdatta, Bardarson, Amberg, Smith, Corbridge
None
Kellar
None
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Ci Clerk
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Council Agenda Statement
Meeting Date: July 14, 2008
From: Phillip Oates, City Manager~'~
RE: Monthly and Quarterly Financial Report Requirements
BACKGROUND & JUSTIFICATION:
At the Seward City Council meeting of May 28, 2008, the City Council clarified the type and frequency of
financial information they would like to see from the administration. The purpose of this resolution is to
document the direction Council provided, to ensure that financial information is consistent and timely.
The City Charter provides that "the city manager shall submit periodically to the council information comparing
estimated and actual revenues and expenditures to the end of the preceding month." (6.4b). The City Code
provides that "the finance department shall prepare ....annual and quarterly reports reflecting revenues and
expenditures of the individual departments, current monthly statements reflecting unencumbered balances for
all city accounts." The direction given by the Council at its meeting of May 28 is consistent with this guidance.
The City Council requested that the administration provide a financial summary each month, limited to one
page, listing the budget versus actual expenditures for each department within the General Fund and listing the
total revenues and expenses for the enterprise funds, compared against the annual budget. It was agreed that
monthly reports should be presented to the Council at the second Council meeting of the second month
following month-end (for example, May financial reports will be presented at the second meeting in July), to
provide sufficient time for month-end close, and to ensure the usefulness of information.
Instead of the regular monthly report listed above, a quarterly report will be provided for March, June,
September, and December, with said report providing a greater level of detail showing individual revenues and
expenditures compared with the annual budget, to provide Council with a more complete picture of the City's
current budgetary status. The Council express their desire to eliminate the written narrative explanation of the
budget status and the accompanying graphical representation of the budget status, which was provided in the
past.
Since the City Council has received financial reports for April, this new format will be effective with May's
report, which will be presented at the second meeting in July.
CONSISTENCY CHECK: Where applicable, this agenda statement is consistent with the Seward City
Code, Charter, Comprehensive Plans, Land Use Plans, Strategic Plan and City Council Rules of
Procedures. Other:
FISCAL NOTE: ~~~~
There is no cost associated with this change. However, the reduction in financial reporting requirements will
save preparation. time by the finance department.
RECOMMENDATION:
City Council approve the format of required monthly and quarterly financial reports.
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