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07/10/2006 SECTION 3. Transfers, Additional Appropriations, Cancellations. From time to time during the Fiscal Year, the Council may transfer sums from any appropriated item to any other appropriated item by resolution. Additional appropriations may be made and authorized in accordance with the procedure referenced in Section 51.5 of the Charter of the City of Redwood City. No appropriation set forth in the Budget, or in any subsequent resolution, shall be cancelled in whole or in part except by resolution adopted by the affirmative vote of 5/7ths of all members of the Council; provided, however, that transfers of sums from one appropriated item to any other appropriated item may be accomplished by resolution. SECTION 4. Expenditures. The City Manager and Director of Finance are hereby authorized to expend all sums set forth in the Budget for the purposes and objects specified therein. Expenditures made, liabilities incurred, or warrants issued in excess of any of the budget appropriations as originally approved or as thereafter increased or decreased shall not constitute an obligation or liability of the City. Any official making or incurring such expenditures in an amount known to him or her to be in excess of the available balance of the appropriation against which it is drawn, shall be liable therefore upon his or her official bond. The City Manager and the City Council shall approve no claims and the Director of Finance shall issue no warrant or check for any expenditure in excess of existing appropriations except on an order of a Court of competent jurisdiction or for an emergency as herein provided. SECTION 5. Emergency Expenditures. Upon the happening of any emergency caused by fire, flood, explosion, storm, earthquake, epidemic, riot or Atty/Reso/Reso.1632 062806 14721 Muff # 501 3