§ 2-552. Surplus.

In the event the emergency sinking account balance exceeds the amounts set forth within the upper limit the surplus may be utilized for any lawful purpose. The following priorities are recommended:

(1) Reduction or avoidance of debt. If there is short-term debt within the fund the surplus may be applied to reduce or eliminate the debt if financial analysis proves this to be advantageous for the city.

(2) One-time capital needs. Since a surplus does not represent a recurring source of revenue it should not be used to fund a recurring expense; however, if a one-time capital expenditure has been identified, but is not already funded through an appropriation, the surplus may be appropriated for this use.

(3) Tax, fee, or rate stabilization. Surplus funds may be designed for stabilization in order to avoid raising taxes, fees, or rates related to a fund in subsequent years.

(Ord. No. 2011-11, § 1, 7-19-11)