Laserfiche WebLink
<br />NOTE 10 - NET ASSETS AND FuND BALANCES (CONTINUED) <br /> <br />Prepaid Expenditures - Expenditures that are paid in the current fiscal year for services or products <br />to be provided in the following fiscal year. <br /> <br />Debt Service - Funds which legally may only be used for debt service are reserved within the <br />appropriate fund. <br /> <br />Advances to Other Funds - Long-term amounts to be repaid by other funds are reserved. <br /> <br />General Reserve - Under Section 61 of the City Charter, a general reserve of $250,000 is to be <br />maintained in the general fund titled for emergency cash flow needs. <br /> <br />Designations: <br /> <br />Subsequent Year's Expenditures - In accordance with Article xm B of the California Constitution, <br />any unspent funds at the year-end should either be returned to the taxpayers or designated for <br />expenditures in the subsequent year. It is the Council's desire to appropriate this money in the <br />following year. <br /> <br />Street Projects - The City maintains a reserve for unexpended appropriations for capital outlay <br />projects within the general fund. Since these projects are funded by transfers from the general fund, <br />the City desires to ensure that sufficient resources will be available to transfer to the special gas tax <br />fund when capital outlay expenditures are incurred. <br /> <br />Capital Projects - The City maintains reserves for unexpended appropriations for capital outlay <br />projects within the fund in which these projects have been appropriated. <br /> <br />Sandpiper Park - Funds received from the sale of land to the Belmont/Redwood Shores School <br />District are held in reserve and will be expended over a IS-year period to supplement funding for the <br />maintenance of Sandpiper Park. <br /> <br />Library Bequest - Funds received by the library to be used for specific library-related programs. <br /> <br />PAL Loan Guarantee - Public Financing Authority refunding bond proceeds designated for <br />construction loans to the Police Athletic League (PAL). <br /> <br />Unrealized Gain - This description represents the income recorded to mark the City's investments to <br />fair value. As the City intends to hold all investments to maturity, the unrealized gain will not <br />materialize, and therefore, it is reflected as designated fund balance. <br /> <br />53 <br />