ORDINANCE NO. 3360
AN ORDINANCE OF THE CITY OF MCPHERSON, KANSAS CREATING TWO SPECIAL FUNDS WITHIN THE TREASURY OF THE CITY FOR FUNDS TO BE RECEIVED AND EXPENDED FOR REVENUES AND EXPENSES RELATED TO VARIOUS CITY GRANTS
WHEREAS, the City of McPherson, Kansas (the "City") will annually budget money to pay for various grants received by both private entities as well as State and Federal Agencies;
WHEREAS, the City sees it is in its best interest to establish funds to both receive and expend dollars for various grant funded items that may be received through the various departments in the City. Establishment of such funds allows the City to better segregate grant fund and limit the impact on individual department budgets;
WHEREAS, KSA 12-16, 111 allows for establishment by local governments of a State Loans and Grants Fund to receive and expend received grant funds made available through state loans and grants in a manner prescribed by respective guidelines of each grant or loan; and
WHEREAS, KSA 12-1663 allows for establishment by local government of a Federal Grant Fund to receive and expend received grant funds made available through federal sources in a manner prescribed by respective federal grant guidelines.
NOW, THEREFORE, BE IT ORDAINED BY THE GOVERNING BODY OF THE CITY OF MCPHERSON, KANSAS:
Section 1. There is hereby created within the treasury of the City two (2) special funds to be called the "Federal Grant Fund" and “State and Local Grant Funds” into which shall be deposited moneys intended to be used to pay for projects or acquisitions where outside grant funding are received by private, state, or federal sources. The “Federal Grant Fund” will be exclusively used for receiving and expending federal grant proceeds either received directly by the federal government or indirectly through a state agency. The “State and Local Grant Fund” will be used for receiving and expending other loan and grant funds from state, private, or other local sources. The fund would be used for receipting various funding sources associated with grant revenue including but not limited to outside funding sources and other city treasury funded contributions which might be required to match outside funds. Expended funds for purchase of grant funded and approved expenses will be paid directly from this fund. The “Federal Grant Fund’ and “State and Local Grant Fund” shall be considered non-budgeted funds of the city treasury. Expenses for various grant funded projects shall not exceed revenues for each respective grant funded projects. Grant project numbers will be assigned by the city finance department as needed. The governing body will have ultimate authority over what projects will be included into the respective grant funds and to grant authority to expend such funds. Both the “Federal Grant Fund” and the “State and Local Grant Fund” shall be authorized for transfers both into and out of other funds in the city treasury when deemed appropriate and prescribed by Kansas Statute.
Section 2. The city treasurer is hereby instructed to invest all funds deposited in such special fund in investments authorized by law, and to add investment earnings to such fund pending expenditure.
Section 3. This ordinance shall take effect from and after its passage by a majority of the governing body, signature by the mayor and publication once in the official city newspaper, as provided by law.
PASSED by the city commission and signed by the Mayor this 6th day of July, 2021.