Loading...
HomeMy WebLinkAboutItem 06.jDate May 16, 2011 Item RESOLUTION ESTABLISHING A FINANCE COMMITTEE Proposed Action Staff recommends adoption of the following motion: Move to approve the Resolution Establishing a Finance Committee Approval of the Resolution will create the framework for the Finance Committee. Overview The City Council, at its January work session, indicated their desire to consider forming a task force or committee to assist and advise the Council and staff on issues relating to City finances. At its work sessions in subsequent months, the City Council discussed various issues and options relating to establishment of a Finance Committee. The attached Resolution Establishing the Finance Committee is based on the comments and direction provided by a consensus of the City Council at the April 25 work session. If the Resolution is approved on May 16, the recruitment will commence. The applications will be considered by the City Council at its June 27 work session. Interviews will be scheduled in the weeks thereafter. Primary Issues to Consider • What is the purpose, composition, selection, meeting schedule and duties of the Committee? Refer to response attached hereto. Supporting Information • None Steve Mielke, City Administrator Financial Impact: budgeted: Yes Source: Related Documents (CIP, ERP, etc.): Notes: Primary Issues to Consider Purpose: The Finance Policy Committee purpose is to function as a resource to the City Council and staff in an advisory capacity regarding fiscal matters relating to short and long term financial planning; financial policies and practices; local, state and national trends in finance and economic; analysis of legislative issues; review of quarterly financial reports and Comprehensive Annual Financial Report; and provide recommendations regarding public communications and education programs related to budget and City finances, Committee Composition: The Committee shall be composed of seven (7) members, all of whom shall be Lakeville residents who, upon normal application process, are appointed by the City Council. The staff liaisons to the Committee shall be the City Administrator and Finance Director. Committee Selection: The Committee Members shall be appointed by the City Council for a term of three (3) years. Members shall serve three -year staggered terms with two or three appointments made annually. Committee vacancies, organization and procedures: shall be the same as those for other City committees and commissions. Meetings: Monthly. Task: Examples of Finance Policy Committee duties are as follows: ➢ Short and long term financial planning o Fees for services — structure and /or policy ➢ Financial policies and practices o Fund balance o Debt o Investments ➢ Local, state and national trends in finance and economic o Bond markets o Dept of Commerce statistics o Federal Reserve ➢ Analysis of legislative issues o Levy limits o State property tax relief programs Review of quarterly financial reports and Comprehensive Annual Financial Report ➢ Provide recommendations regarding public communications and education programs related to budget and City finances o Budget format o Public presentations of budget. CITY OF LAKEVILLE Resolution No. RESOLUTION ESTABLISHING A FINANCE COMMITTEE BE IT RESOLVED by the City Council of Lakeville, Minnesota, as follows: Section 1: ESTABLISHMENT OF THE FINANCE COMMITTEE The Finance Committee of the City shall act as the advisory body to the City Council and City staff regarding short and long term financial planning; financial policies and practices; local, state and national trends in finance and economy; legislative issues; quarterly financial reports and comprehensive annual financial report; public communications and education programs relative to City of Lakeville budget and finances. Section 2: COMPOSITION, TERMS OF OFFICE A. Composition: The Finance Committee shall consist of seven (7) members appointed by the City Council. B. Terms: The Committee shall be composed of seven (7) members, all of whom shall be Lakeville residents. The Committee Members shall be appointed by the City Council for a term of three (3) years. Members shall serve three -year staggered terms with two or three appointments made annually. C. Removal From Office: Any member of the Committee may be removed from office with or without cause by a four - fifths ( vote of the entire City Council. D. Any member of the Committee who misses three (3) consecutive Committee meetings in a calendar year, calculated at the end of each calendar year, due to unexcused absences, shall automatically be removed from office without City Council action and the City Administrator shall notify the member of his or her removal. Excused absences include: a serious personal or family medical condition, death in immediate family or unanticipated work - related commitment. E. The staff liaisons to the Committee shall be the City Administrator and Finance Director. 1 Section 3: ORGANIZATION AND PROCEDURES A. Organize; Election of Officers: 1. At the first meeting of the year, the Committee shall elect a chairperson and vice chair. No Committee member shall serve more than two (2) consecutive years as chairperson. 2. Terms of all elected offices shall be for one year, with eligibility for reelection. B. Members of the Committee shall receive no salaries or fees for their services. The Committee may, with the consent of the City Council, incur expense that is deemed necessary. C. Meetings of the Committee: 1. A meeting, to be official, must have a quorum present. Four (4) regular members shall constitute a quorum. 2. All motions must have the majority of votes of those members present to be deemed approved. 3. Meetings to be scheduled monthly unless deemed unnecessary by staff or chairperson. Section 4: DUTIES The duties of the Committee shall be to provide advice and recommendations to the City Council and staff, for the following: a) Short and long term financial planning to include fees for services (structure and policy) and alternative finance methodology. Not to include spending or taxation levels. b) Financial policies and practices, to include but not limited to fund balance policy, debt management policy and investments policy. c) Local, state and national trends in finance and economy to include but not limited to bond markets, Federal Reserve and Department of Commerce. d) Legislative issues to include but not limited to levy limits and property tax relief programs. e) Review of quarterly financial reports and Comprehensive Annual Financial Report. f) Public communications and education programs related to budget and City finances to include but not limited to budget format and public presentations of the budget. 2 ADOPTED by the City Council of Lakeville, Minnesota this day of May 2011. CITY OF LAKEVILLE BY: Mark Bellows, Mayor ATTEST: Charlene Friedges, City Clerk 3