Chapter 3.09CITY FUNDS

Sections:

3.09.010
General Fund.
3.09.015
Investment Control Fund.
3.09.020
Street Operations & Maintenance.
3.09.030
Real Estate Excise Tax.
3.09.035
Transportation Benefit District.
3.09.040
Hotel/Motel Lodging Tax.
3.09.050
Property Abatement.
3.09.060
Public Art.
3.09.070
Narcotics Seizure.
3.09.080
Felony Seizure.
3.09.090
Federal Seizure.
3.09.100
Community Development Block Grant.
3.09.110
Neighborhood Stabilization Program.
3.09.120
Office of Economic Adjustment.
3.09.130
Police ARRA Grant.
3.09.140
Public Safety Grants.
3.09.150
General Obligation (GO) Bond Debt Service.
3.09.160
LID Debt Service.
3.09.170
Police Facility Debt Service.
3.09.180
Sewer Project Debt Service.
3.09.190
LID Guaranty Debt Service.
3.09.200
Parks Capital Project.
3.09.201
Transportation Capital Project.
3.09.210
Sewer Capital Project.
3.09.220
Sanitary Sewer Connection Capital Project.
3.09.230
LID Capital Project.
3.09.240
Surface Water Management.
3.09.250
Fleet & Equipment Fund.
3.09.260
Property Management.
3.09.264
Risk Management Fund.
3.09.270
Information Technology Fund.
3.09.280
Municipal Court Trust Account.
3.09.290
Section 125.
3.09.300
Grant Administration.
3.09.310
Inferfund-loan Authorization.
3.09.320
Inferfund loan- Procedures.
3.09.330
Interfund loan- Additional Authority.
3.09.010General Fund.

There is hereby established a fund known as the General Fund (Fund 001) as follows:

A. Purpose. This fund is used to account for all receipts and disbursements associated with ordinary City operations that are not required to be accounted for in another fund. This fund is both tax and general revenue supported.

B. Revenue sources. Tax and general revenue supported. Examples include property taxes, local sales taxes, franchise fees, gambling taxes, liquor taxes, utility taxes, fines and forfeitures, license fees, permits, recreation fees and other revenues that support general government operations. (Ord. 589 § 2, 2014.)

3.09.015Investment Control Fund.

A. Purpose. The purpose of this fund is account for investment transactions. It is used to record the amount of pooled monies invested from all city funds. (Ord. 613 § 1, 2015.)

3.09.020Street Operations & Maintenance.

There is hereby established a fund known as the Street Operations & Maintenance (Fund 101) as follows:

A. Purpose. This fund is used to account for the receipts and disbursements associated with City planning, establishing, repairing and maintaining City streets sidewalks, and appurtenances, including pedestrian and bicycle paths, lanes and routes.

B. Revenue sources. Specific revenue sources shall include, but not be limited to, unrestricted motor vehicle fuel taxes, transportation-related fees and permits, interest earnings and such other sources as may be authorized by the City Council. (Ord. 589 § 3, 2014.)

3.09.030Real Estate Excise Tax.

There is hereby established a fund known as the Real Estate Excise Tax (Fund 102) as follows:

A. Purpose. – The purpose of this fund shall be to account for certain funds as follows:

1. First 0.25 percent real estate excise tax authorized by RCW 82.46.010, and dedicated for the capital purposes defined in RCW 35.43.040.

2. Second 0.25 percent real estate excise tax authorized by the Growth Management Act RCW 82.46.035. These revenues are restricted to financing capital project specified in a capital facilities plan.

B. Revenue sources.The revenue sources of this fund shall be as follows:

Revenue Sources. The first one-quarter of one percent shall be from real estate excise tax authorized by RCW 82.46.010, and other revenue sources that may be authorized by the City Council.

Revenue Sources. The second 0.25 percent shall be from real estate excise tax authorized by RCW 82.46.035 and other revenues sources that may be authorized by the City Council. (Ord. 599 § 1, 2014; Ord. 589 § 4, 2014.)

3.09.035Transportation Benefit District.

There is hereby established a fund known as the Transportation Benefit District (Fund 103) as follows:

A. Purpose. To account for receipts and disbursements related of the Lakewood Transportation Benefit District.

B. Revenue Sources. Revenues supporting this fund’s activities include a $20 annual vehicle licensing fee used to fund specific transportation projects and other revenue sources that may be authorized by Board of the Lakewood Transportation Benefit District. (Ord. 599 § 2, 2014.)

3.09.040Hotel/Motel Lodging Tax.

There is hereby established a fund known as the Hotel/Motel Lodging Tax (Fund 104) as follows:

A. Purpose. This fund is used to account for all lodging tax receipts and disbursements related to tourism promotion and the acquisition or operation of tourism-related facilities.

B. Revenue sources. The primary source of revenues are special hotel/motel lodging tax and transient rental income tax. (Ord. 589 § 5, 2014.)

3.09.050Property Abatement.

There is hereby established a fund known as the Property Abatement (Fund 105) as follows:

A. Purpose. The purpose of this fund is to account for projects that the City has identified and processed through the abatement process.

B. Revenue sources. All revenues from the rightful recovery of those project expenses, along with all revenues from fees, fines, and interest, and other rightful recoveries from those projects are deposited into the fund for the purpose of funding additional abatement projects. (Ord. 589 § 6, 2014.)

3.09.060Public Art.

There is hereby established a fund known as the Public Art (Fund 106) as follows:

A. Purpose. The sole purpose of this fund is to fund approved public art activities.

B. Revenue sources. All revenues associated with the fees charged for the rental of the McGavick center. (Ord. 589 § 7, 2014.)

3.09.070Narcotics Seizure.

There is hereby established a fund known as the Narcotics Seizure (Fund 180) as follows:

A. Purpose. The purpose of this fund, together with the imprest accounts, for the purposes of expenditures and revenues related to Police Department activities where the expenditures are governed by RCW 69.50.505

B. Revenue sources. The primary revenues from this fund will be the proceeds of asset forfeitures conducted under the provisions of chapter 69.50 RCW (Ord. 589 § 8, 2014.)

3.09.080Felony Seizure.

There is hereby established a fund known as the Felony Seizure (Fund 181) as follows:

A. Purpose. The purpose of this fund is to account for expenditures associated with the Police Department activities where the expenditures are governed by RCW 10.105.101.

B. Revenue sources. The primary revenues of this fund will be the proceeds of seizure activities pursuant to chapter 10.105 RCW. (Ord. 589 § 9, 2014.)

3.09.090Federal Seizure.

There is hereby established a fund known as the Federal Seizure (Fund 182) as follows:

A. Purpose. The purpose of this fund is to account for the revenues and expenditures associated with the Police Department activities where the revenues are derived from federal law enforcement activities.

B. Revenue sources. The primary revenues shall be derived from federal law enforcement activities. (Ord. 589 § 10, 2014.)

3.09.100Community Development Block Grant.

There is hereby established a fund known as the CDBG (Fund 190) as follows:

A. Purpose. A project fund established in which to place monies from designated federal grants received through the Department of Housing and Urban Development's community development block grant program or other agency, approved, accepted and assigned to this fund by the City Council. Any city monies required for any such grant shall also be placed in this fund. Such monies shall be used for the purposes specified by the terms of each grant agreement.

B. Revenue sources. Grant revenues received through community development block grant program, city contributions or other revenue sources as may be authorized by the City Council. (Ord. 589 § 11, 2014.)

3.09.110Neighborhood Stabilization Program.

There is hereby established a fund known as the Neighborhood Stabilization Program (Fund 191) as follows:

A. Purpose. The purpose of this fund is to account for the revenues and expenditures associated with the Federal Neighborhood Stabilization Program. The NSP was established for the purpose of stabilizing communities that have suffered from foreclosures and abandonment.

B. Revenues. Grants and abatement liens. (Ord. 589 § 12, 2014.)

3.09.120Office of Economic Adjustment.

There is hereby established a fund known as the Office of Economic Adjustment (Fund 192) as follows:

A. Purpose. The purpose of this fund is to account for the revenues and expenditures associated with the Federal Office of Economic Adjustment Grant Program, which provides grants to assist communities with the alleviation of socioeconomic effects that may result from military base closures and realignments, including the South Sound Military Community Partnership program.

B. Revenues. Primary revenues sources are grants, and partnership funding. (Ord. 589 § 13, 2014.)

3.09.130Police ARRA Grant.

There is hereby established a fund known as the Police ARRA Grant (Fund 193) as follows:

A. Purpose. The purpose of this fund is to account for the revenues and expenditures related to police department grants received from the Federal Government's American Recovery and Reinvestment Act of 2009.

B. Revenue. Grants received via the American Recovery and Reinvestment Act of 2009. (Ord. 589 § 14, 2014.)

3.09.140Public Safety Grants.

There is hereby established a fund known as the Public Safety Grants (Fund 195) as follows:

A. Purpose. The purpose of this fund is to account for the revenues and expenditures related to police department grants and local revenues received from sources not related to the Federal Government’s American Recovery and Reinvestment Act of 2009.

B. Revenue. Grants received from sources other than the American Recovery and Reinvestment Act of 2009. (Ord. 589 § 15, 2014.)

3.09.150General Obligation (GO) Bond Debt Service.

There is hereby established a fund known as the General Obligation (GO) Bond Debt Service (Fund 201) as follows:

A. Purpose. The purpose of this fund is to account for General Obligation Bond debt.

B. Revenue. A 2005 interfund transfer. (Ord. 589 § 16, 2014.)

3.09.160LID Debt Service.

There is hereby established a fund known as the LID Debt Service (Fund 202) as follows:

A. Purpose. The purpose of this fund is to account for the debt service for the City’s Combined Local Improvement District (CLID 1103) and the Local Improvement District (LID 1108). The fund was created as part of the process in establishing the permanent financing for LIDs 1101, 1102, and 1103. When the City secured permanent financing for the three LIDs, it combined them into one bond offer, entitled CLID 1101-1103. The CLID bonds were a public offering. This fund also accounts for LID 1108, which is a one-property-owner LID. This bond was a private placement with Cashmere Valley Bank. This fund was established via Ordinance 352 adopted by City Council in April 2004, which established the LIDS 1101, 1102, and 1103 and created the fund.

B. Revenue.

(Ord. 589 § 17, 2014.)

3.09.170Police Facility Debt Service.

There is hereby established a fund known as the Police Facility Debt Service (Fund 203) as follows:

A. Purpose. The purpose of this fund was to account for the revenues (transfer in from the General Fund) and the debt service for the police facility. In 2010 this debt was transferred to the General Fund. This fund is currently inactive.

B. Revenues. This fund is currently inactive. (Ord. 589 § 18, 2014.)

3.09.180Sewer Project Debt Service.

There is hereby established a fund known as the Sewer Project Debt Service (Fund 204) as follows:

A. Purpose. The purpose of this fund is to account for the Public Works Trust Fund Loans that the City secured to fund both the sewer main construction (the finished asset has been donated to Pierce County) and the side sewer construction loan program, through which the City made loans to private property owners whose property abutted the new sewer main, making possible their connection to it.

B. Revenues. This fund is paid through property owner loan repayments. (Ord. 589 § 19, 2014.)

3.09.190LID Guaranty Debt Service.

There is hereby established a fund known as the LID Guaranty Debt Service (Fund 251) as follows:

A. Purpose. This fund was created in conjunction with establishing the permanent financing of CLID 1101-1103. The money needed to establish and deposit into the fund was part of the costs of the LID and borne by the property owners included in the District.

B. Revenues. The source of funding was the LID bonds and underlying that, the assessment payments from property owners (Ord. 589 § 20, 2014.)

3.09.200Parks Capital Project.

There is hereby established a fund known as the Parks Capital Project (Fund 301) as follows:

A. Purpose. To account for receipts and disbursements related to the acquisition, design, construction of major park capital facilities with the exception of those facilities financed by proprietary and trust funds.

B. Revenues. Revenues supporting this fund’s activities include grant proceeds, contributions/donations and other revenue sources as may be authorized by the city council.

C. Other general/financial information. Fund appropriations shall not lapse at the end of any calendar year but shall remain in effect until the project is completed. (Ord. 599 § 3, 2014; Ord. 589 § 21, 2014.)

3.09.201Transportation Capital Project.

There is hereby established a fund known as the Transportation Capital Project (Fund 302) as follows:

A. Purpose. To account for receipts and disbursements related to acquisition, design, construction and any other related street capital project expenditures.

B. Revenue sources. Revenues supporting this fund’s activities include grant proceeds, mitigation fees, interfund transfers and other revenue sources as may be authorized by the city council.

C. Other general/financial information. Fund appropriations shall not lapse at the end of any calendar year but shall remain in effect until the project is completed. (Ord. 599 § 4, 2014.)

3.09.210Sewer Capital Project.

There is hereby established a fund known as the Sewer Capital Project (Fund 311) as follows:

Purpose. The purpose of this fund is to account for the construction of a sewer system that was donated to Pierce County.

Revenues. Primary revenue sources are grants, contributions, public works trust fund loans. (Ord. 589 § 22, 2014.)

3.09.220Sanitary Sewer Connection Capital Project.

There is hereby established a fund known as the Sanitary Sewer Connection Capital Project (Fund 312) as follows:

A. Purpose. The purpose of this fund is to account for the revenues generated from the sewer availability charges, expenditures and transfers that are legally allowable for sewer availability charge fees and for administrative expenses to maintain and operate the fund.

B. Revenues. Sewer availability charges imposed under chapter 12A.15 LMC. (Ord. 589 § 23, 2014.)

3.09.230LID Capital Project.

There is hereby established a fund known as the LID Capital Project (Fund 351) as follows:

A. Purpose. The purpose of this fund is to account for the local improvement district (LID) capital related projects of streets and sidewalks.

B. Revenues. The projects are funded by assessments on the benefiting properties. This fund is currently inactive. (Ord. 589 § 24, 2014.)

3.09.240Surface Water Management.

There is hereby established a fund known as the Surface Water Management (Fund 401) as follows:

A. Purpose. The purpose of this fund is to administer and account for all receipts and disbursements related to the City's surface and storm management system.

B. Revenues. All service charges are deposited into this fund for the purpose of paying the expense of maintaining and operating surface and storm water management facilities. (Ord. 589 § 25, 2014.)

3.09.250Fleet & Equipment Fund.

There is hereby established a fund known as the Fleet & Equipment Fund (Fund 501) as follows:

A. Purpose. The purpose of this fund is to account for all costs associated with operating, maintaining and replacing the City's vehicles and other motorized equipment.

B. Revenue. Revenue source is replacement reserves and interfund charge to the benefiting or user fund. Other revenues may include interest earnings, proceeds from the sale of assets, interfund transfers, and other revenue sources designated by City Council. (Ord. 589 § 26, 2014.)

3.09.260Property Management.

There is hereby established a fund known as the Property Management (Fund 502) as follows:

A. Purpose. The purpose of this fund is to account for all costs associated with the maintenance and operation of city, owned, leased and maintained buildings specified by the City Manager.

B. Revenue. Revenue source is replacement reserves and interfund charge to the benefiting or user fund. Other revenues may include interest earnings, proceeds from the sale of assets, interfund transfers, and other revenue sources designated by City Council. (Ord. 599 § 5, 2014; Ord. 589 § 27, 2014.)

3.09.264Risk Management Fund.

There is hereby established a fund known as the Risk Management Fund (Fund 504) as follows:

A. Purpose. To account for the financial administration of the City’s comprehensive risk management program. This fund assures that the revenues and assets of the City are protected through an established risk control and risk finance program including risk management goals and objectives, a formalized risk assessment process and methodology for reviewing and monitoring the effectiveness of the risk management program.

B. Revenue sources. Revenues supporting this fund’s activities include interfund charge to the benefiting or user fund. Other revenues may include interest earnings and other revenue sources designated by the City Council. (Ord. 599 § 6, 2014.)

3.09.270Information Technology Fund.

There is hereby established a fund known as the Information Technology Fund (Fund 503) as follows:

A. Purpose. The purpose of this fund is to account for all costs associated with date processing, telecommunications and geographical information systems for the City.

B. Revenue. Revenue source is interfund charge to the benefiting or user fund. Other revenues may include replacement reserves, interest earnings, proceeds from the sale of assets, interfund transfers and other revenue sources designated by City Council. (Ord. 589 § 28, 2014.)

3.09.280Municipal Court Trust Account.

Repealed. (Ord. 622 § 1, 2015; Ord. 589 §  29, 2014.)

3.09.290Section 125.

Repealed. (Ord. 622 §  2, 2015; Ord. 589 § 30, 2014.)

3.09.300Grant Administration.

As to any funds which are funding in whole or part by grants, the following provisions apply:

A. The City Manager or designee shall maintain a separate record of accounts showing the receipts and disbursements of each and every grant assigned to such fund. The department assigned, by the terms of the city's acceptance of such grant, to administer any program or activity financed wholly or in part by the grant financially controlled by this fund, shall approve all expenditures therefrom and shall maintain such records and documents, and prepare such reports as may be required by the grantor agency or the City Council.

B. Other general/financial information.

1. Projects established. Individual grant projects shall be established in this fund, based on council authorization or acceptance. Fund appropriations shall not lapse at the end of any calendar year but shall remain in effect until the grant project is completed. Administrative housekeeping-oriented projects may be established by the Assistant City Manager for Finance and Administrative Services.

2. Financing. The grant fund is hereby authorized to borrow monies from time to time from other city funds in amounts necessary to effectuate the purposes of such fund. Authorization for each such loan shall be made by the City Manager or designee. Such authorization shall be given only when the lending fund has sufficient resources to make the loan, which shall be determined by the finance director. Such loans shall be without interest unless interest is required by law, and shall be repaid when there no longer exists a financing need within such fund. Where interest is required by law, the Assistant City Manager for Finance and Administrative Services shall designate the appropriate rate. (Ord. 589 § 31, 2014.)

3.09.310Inferfund-loan Authorization.

The City Council does hereby authorize the City Manager, or designee, to make interfund loans of those municipal monies which are otherwise legally available for investment purposes, where such loans would be necessary to ensure compliance with the provisions of RCW 43.09.210. (Ord. 589 § 32, 2014.)

3.09.320Inferfund loan- Procedures.

The following procedures shall be used for the establishment and accounting of all interfund loans made pursuant to this chapter:

1. The City Manager or designee shall approve all interfund loans and provide in the written authorization a planned schedule of repayment of the loan principal and shall set a reasonable rate of interest, based upon the external rate available to the city, to be paid to the lending fund.

2. Interest shall be charged in all cases unless:

a. The borrowing fund has no independent source of revenue other than the lending fund;

b. The borrowing fund is normally funded by the lending fund; or

c. The lending fund is the general fund, which, being unrestricted can loan interest-free, except to a proprietary fund.

3. The borrowing fund must anticipate sufficient revenues to be in a position over the period of the loan to make the specified principal and interest payments as required in the authorizing ordinance.

4. The term of loan should whenever practicable be restricted to a period of one year, but in no case shall the term of loan exceed three years, except for those funds which are legally permitted to support one another through appropriations, transfers, advances, etc.

5. Only that portion of a given fund which, in the prudent management of municipal finances as determined by the mayor, is clearly inactive or in excess of current needs may be loaned to other municipal funds or invested.

6. Appropriate accounting records shall be maintained to reflect the balances of loans payable and receivable in every fund affected by such transactions. (Ord. 589 § 33, 2014.)

3.09.330Interfund loan- Additional Authority.

The City Council further hereby grants to the City Manager or designee, the authority to make interim, temporary loans from one fund to another during the course of the fiscal year. The term of such loan shall not exceed the end of the fiscal year in which loan was made. (Ord. 589 § 34, 2014.)