Chapter 3.23
EQUIPMENT RESERVE AND REPLACEMENT FUND

Sections:

3.23.010    Fund established.

3.23.020    Funding sources.

3.23.030    Fund expenditures.

3.23.040    Procedural guidelines.

3.23.010 Fund established.

There is hereby created a equipment reserve and replacement fund (Fund Number 150) which shall be used for the purpose of establishing reserves and funding for major capital equipment purchases, upgrades and replacements that have been appropriated in the annual operating budget. (Ord. 619 § 1, 1995).

3.23.020 Funding sources.

The equipment reserve and replacement fund shall initially be established through an operating transfer from the general fund. Thereafter, annual operating transfers shall be made from the general fund and the street fund. These operating transfers shall be based on a straight line depreciation calculation method for existing equipment increased by an estimated annual inflation factor. Revenues from the sale of equipment assets shall also be accounted for in this fund. (Ord. 638 § 1, 1997; Ord. 619 § 2, 1995).

3.23.030 Fund expenditures.

Expenditures from the equipment replacement fund shall be made as appropriated and authorized in the city’s annual operating budget. (Ord. 619 § 3, 1995).

3.23.040 Procedural guidelines.

Specific policy and procedure guidelines shall be established in the city’s Finance Policies and Procedures Handbook as Policy and Procedure Number 9–2 (Category: Fixed assets; Section: Equipment Reserve and Replacement Fund). (Ord. 619 § 4, 1995).