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2022-36 RESOLUTION NO. 2022-36 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GRAND TERRACE, CALIFORNIA, COMMITTING FUND BALANCE FOR FISCAL YEAR 2021-22 IN ACCORDANCE WITH GOVERNMENTAL ACCOUNTING STANDARDS BOARD STATEMENT 54 AND CITY RESERVES POLICY NO. 3.06 Recitals WHEREAS, the Governmental Accounting Standards Board (GASB) issued Statement No. 54, Fund Balance Reporting and Governmental Fund Type Definitions, establishing a hierarchy clarifying the constraints that govern how a-government entity can use amounts reported as fund balance; and WHEREAS, GASB 54 allows the governing body to formalize the commitment of unassigned fund balance to a specified purpose; and WHEREAS, the City Council of the City of Grand Terrace is the highest level of decision-making authority for the City of Grand Terrace, and has the authority to commit, assign, or evaluate existing fund balance classifications and identify the intended uses of committed or assigned funds; and WHEREAS, the committed fund balance classification reflects amounts subject to internal restraints self-imposed by the City Council; and WHEREAS, once the committed fund balance restraints are imposed, it requires the constraint to be removed by the City Council prior to redirecting the funds for other purposes; and WHEREAS, the City Council has determined it will commit its General Fund reserves for Fiscal Years 2021-22 as shown in the table below. NOW, THEREFORE,THE CITY COUNCIL OF THE CITY OF GRAND TERRACE, CALIFORNIA, DOES HEREBY RESOLVE AS FOLLOWS: 1. The City Council finds that the above recitations are true and correct and, accordingly, are incorporated as a material part of this Resolution. 2. The City Council hereby commits the following fund balance as shown in the table below for fiscal year 2021-2022 in accordance with Governmental Accounting Standards Board Statement 54 and City Reserves Policy No. 3.06: CC Reso No. 2022-36 Page 1 of 3 June 28, 2022 City of Grand Terrace Fund Balance Designation: FY2021-22 Nonspendable: Prepaid Costs $0 Land Held for Resale $665,000 Restricted for: Community Development Projects $0 (e.g. Parks Fund, Facilities Fund) Public Safety(e.g. SLESF Fund) $0 Public Works (e.g. Street Fund, facilities projects) $0 Infrastructure Projects $1,092,979 Committed to: Committed to Contingencies $1,046,078 Committed to Community Services Community Benefits Fund: #61 $1,680 Light Up Grand Terrace Fund: #62 $920 Assigned Assigned for continuing appropriations (commitments, projects approved in current and $50,000 prior years that must be carried forward into the new fiscal year) Assigned for future debt obligations $94,000 Unassigned 753 867 Total Fund Balance, GENERAL FUND $3,704, 224 3. If any section, subsection, sentence, clause, phrase, or portion of this Resolution is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Resolution. The City Council of the City of Grand Terrace hereby declares that it would have adopted this Resolution and each section, subsection, sentence, clause, phrase, or portion thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses, phrases, or portions be declared invalid or unconstitutional. CC Reso No. 2022-36 Page 2 of 3 June 28, 2022 4. The City Clerk shall certify to the adoption of this Resolution. 5. This Resolution shall take effect immediately upon its adoption. PASSED, APPROVED AND ADOPTED by the City Council of the City of Grand Terrace at a regular meeting held on the 28th day of June, 2022. Dar Mcke e Mayor ATTEST: Debra Thomas City Clerk_ APPROVED AS TO FORM: Adrian R. Guerra City Attorney CC Reso No. 2022-36 Page 3 of 3 June 28, 2022 I i STATE OF CALIFORNIA ) COUNTY OF SAN BERNARDINO ) CITY OF GRAND TERRACE ) I Debra L. Thomas, City Clerk of the CITY OF GRAND TERRACE, CALIFORNIA, DO HEREBY CERTIFY that the foregoing Resolution, being Resolution No. 2022-36 was duly passed, approved and adopted by the City Council, approved and signed by the Mayor, and attested by the City Clerk, at the regular meeting of said City Council held on the 28th day of June 2022, and that the same was passed;and adopted by the following vote: AYES: Council Members Allen, Robles; Mayor Pro Tern Hussey; Mayor McNaboe NOES: None. ABSENT: Council Member Wilson ABSTAIN: None. Executed this 29th day of June 2022, at Grand Terrace, California. ke ib�r-a L. Thomas City Clerk i