HomeMy WebLinkAboutR-2349 - Establishing a Revenue shortfall policyCITY OF MARYSVILLE
Marysville, Washington
RESOLUTION NO. cd. Sl!7
A RESOLUTION OF THE CITY OF MARYSVILLE ESTABLISHING A
REVENUE SHORTFALL POLICY
WHEREAS, it is the desire of the city to maintain service levels necessary to
meet the basic needs of the citizens of Marysville,
WHEREAS, fluctuations in the economy at times can be unpredictable resulting
in reduction of revenue and challenging the City in maintaining service levels,
WHEREAS, it is in the public interest for the City of Marysville to establish a
tiered system of actions for di fferent levels of revenue shortfalls where reserves are
anticipated to be used, NOW, THEREFORE
IT IS HEREBY RESOLVED BY THE CITY COUNCIL OF THE CITY OF
MARYSVILLE, WASHINGTON AS FOLLOWS:
1. The Mayor, and/or hislher designee, may deem the following actions to be
taken to address revenue shortfalls:
Level I -Reserve reduction I% but less than 10%
• Delay expenditures where possible
• Departments monitor budget for to ensure essential expenditures
• Council may consider delaying/post-pone capital improvement projects (CIP)
Level II -Reserve reduction in excess of 10% but less than 25%
• Implement a status quo budget (same level as prior year)
• Intensify the review process for large expenditures such as contract and
consulting services, capital expenditures and CIP
• Review vacant positions for possible delay or use of temporary hire
Level III -Reserve reduction in excess of25% but less than 50%
• Require justification for large expenditures
• Defer capital expenditures
• Reduce CIP where appropriate
• Hire vacant positions only with special justification and authorization
• Close monitoring of expenditures and reduction of travel,
seminars/conferences/training.
Revenue Shortfall Policy lof2 7/11/2013
Level IV -Reserve reduction in excess of 50% but less than 100%
• Implement hiring freeze
• Reduce temporary work force
• Defer wage increases
• Further reduction of capital expenditures
• Prepare a strategy for reduction in work force
Level V -Reserve reduction at 100% and potential for a deficit is present
• Implement reduction in work force strategy
• Eliminate programs
• Eliminate capital improvements and expenditures
PASSED by the City Council and APPROVED by the Mayor thi~1-day of~~,
2013. V
CITY OF MARYSVILLE
ATTEST:
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APPROVED AS TO FO
City Attorney
Revenue Shonfall Policy 2of2 7/11/2013