SEC. 113.2. GENERAL FUND COMMITMENTS AND ASSIGNMENTS OF FUND BALANCE.

   From time to time, fund balance may be committed by the Board of Supervisors and/or assigned by the CAO for specific purposes. A commitment requires formal board action to establish, change or cancel while an assignment may be established, changed or cancelled by the CAO. Changing or cancelling a commitment or assignment of fund balance shall not be approved if such action would result in increased and/or unfunded costs or liabilities such as those required to fulfill existing contractual obligations or to identify alternative funding sources for the original Commitment or Assignment purpose or if such action would jeopardize the long term fiscal sustainability of the County. With the exception of fund balance commitments established because of restrictions on certain revenues, such commitments and/or assignments shall not be approved if they would result in the amount of the General Fund Reserve falling below the minimum required balance.

(Added by Ord. No. 10400 (N.S.), effective 1-14-16; amended by Ord. No. 10509 (N.S.), effective 1-4-18; amended by Ord. No. 10635 (N.S.), effective 12-19-19)

SEC. 113.3. RESTORATION OF GENERAL FUND RESERVE MINIMUM BALANCE.

   In the event that the General Fund Reserve falls below the minimum required balance, the CAO shall present a plan to the Board of Supervisors for restoration of the targeted levels. The plan should restore balances to targeted levels within one (1) to three (3) years, depending on the use, reasons for use, and severity of the event. In the event that the General Fund Reserve is used to serve as a short-term financing bridge, the plan shall include mitigation of long-term structural budgetary imbalances by aligning ongoing expenditures to ongoing revenues.

(Added by Ord. No. 10509 (N.S.), effective 1-4-18; amended by Ord. No. 10635 (N.S.), effective 12-19-19)

SEC. 113.4. FUND BALANCES AND USE OF ONE TIME REVENUES.

   All fund balances, including the General Fund Reserve, shall be recognized as a one-time funding source, and all appropriations supported by fund balances should be appropriated for one-time uses or in conjunction with a long-term financial plan to cover short-term expenditure increases or revenue shortfalls to prevent budgetary imbalances.

   In general, fund balance is established when assets are greater than liabilities at the end of a year. In practice, fund balance can be generated when temporary one-time revenues exceed expenditures in any year. One-time resources may include grants, revenue from the sale of assets, one-time expenditure savings, and revenue sources which may be available for more than one year but are either non-recurring or will be required to address future expenditure growth that is anticipated to exceed future revenue growth. One-time expenditures may include the following: program startup costs, short-term expenditure increases or revenue shortfalls to prevent budgetary imbalances, early debt retirement, capital costs, or other one-time expenditures as recommended by the CAO.

(Added by Ord. No. 10509 (N.S.), effective 1-4-18; amended by Ord. No. 10635 (N.S.), effective 12-19-19)

SEC. 113.5. MANAGEMENT PRACTICES.

   (a)   The County shall invest one-time over-realized general purpose revenue generated by greater-than-anticipated assessed value growth to restore the General Fund Reserve to the minimum required balance. If the General Fund Reserve minimum required balance is satisfied, the County shall invest one-time over-realized general purpose revenue generated by greater-than-anticipated assessed value growth to accelerate payment of pension unfunded actuarial accrued liability.

   (b)   The Debt Advisory Committee, as established by the Chief Administrative Officer, shall provide direct oversight on long-term financings and the portfolio of the County's long-term obligations excluding un-securitized leases and/or loans for permanent road divisions as authorized by Board of Supervisors policy. The Debt Advisory Committee shall assess the ability of the County to repay the obligation, identify the funding source of repayment, evaluate the impact of the ongoing obligation on the current budget and future budgets, assess the maintenance and operational requirements of the project to be financed, and consider the impact on the County's credit rating.

   (c)   Long-Term Obligations shall not be used to finance current operations or for recurring needs.

   (d)   Annual principal and interest payments on Long-Term Obligations of the General Fund shall not exceed 5% of General Fund revenue.

(Added by Ord. No. 10523 (N.S.), effective 4-12-18; amended by Ord. No. 10635 (N.S.), effective 12-19-19; amended by Ord. No. 10922 (N.S.), effective 11-21-24)

SEC. 114. CHIEF FINANCIAL OFFICER TO FILE BUDGET ESTIMATES WITH CHIEF ADMINISTRATIVE OFFICER.

   On or about the fourth week of May of each year the Chief Financial Officer shall file with the Chief Administrative Officer who in turn shall file with the Board, a copy of the tabulation of the budget estimates of proposed expenditures and anticipated revenue for each office, department, institution, district, board and commission for the next ensuing fiscal year, as required by the provisions of Section 29062 of the Government Code.

(Amended by Ord. No. 2672 (N.S.), adopted 3-3-64; amended by Ord. No. 6272 (N.S.), effective 5-20-82; amended by Ord. No. 9629 (N.S.), effective 4-15-04; amended by Ord. No. 10185 (N.S.), effective 1-5-12; amended by Ord. No. 10315 (N.S.), effective 2-6-14; amended by Ord. No. 10635 (N.S.), effective 12-19-19; amended by Ord. 10916 (N.S.), effective 10-10-24; amended by Ord. No. 10922 (N.S.), effective 11-21-24)

   State law reference(s)--Filing required, Gov. Code, § 29062.

SEC. 115. CHIEF ADMINISTRATIVE OFFICER TO EXAMINE BUDGET ESTIMATES, HOLD HEARINGS AND SUBMIT RECOMMENDATIONS TO BOARD.

   The Chief Administrative Officer, upon receipt of budget estimates filed as provided in Section 113, shall, as required by Section 29061 of the Government Code, immediately proceed to examine the same and make such investigations and studies in regard thereto as they may deem necessary, and to hold hearings on said budget estimates and to examine such estimates, which said hearings and examinations shall be concluded by said Chief Administrative Officer and their recommendations with respect to said estimates submitted to the Board in May of each year.

(Amended by Ord. No. 2672 (N.S.), adopted 3-3-64; amended by Ord. No. 6272 (N.S.), effective 5-20-82; amended by Ord. No. 10185 (N.S.), effective 1-5-12; amended by Ord. No. 10635 (N.S.), effective 12-19-19; amended by Ord. No. 10922 (N.S.), effective 11-21-24)

   State law reference(s) -- Examination of budget estimates, Gov. Code, § 29061.

SEC. 116. BOARD TO EXAMINE BUDGET ESTIMATES AND APPROVE BUDGET RECOMMENDATIONS OF CHIEF ADMINISTRATIVE OFFICER.

   Upon submission to the Board of Supervisors of the Chief Financial Officer’s tabulation of budget estimates and the recommendations of the Chief Administrative Officer with respect thereto, said Board shall consider them and make such revisions, reductions or additions as it deems advisable. Unless the Board finds it impractical to do so, not later than the fourth week of June of each year, the Board shall approve by resolution the tabulation with the revisions, additions and changes in conformity with its judgement and conclusions as to a proper financial program for the next succeeding fiscal year in accordance with Section 29064 of the Government Code.

(Amended by Ord. No. 2672 (N.S.), adopted 3-3-64; amended by Ord. No. 6272 (N.S.), effective 5-20-82; amended by Ord. No. 10185 (N.S.), effective 1-5-12; amended by Ord. No. 10635 (N.S.), effective 12-19-19; amended by Ord. 10916 (N.S.), effective 10-10-24; amended by Ord. No. 10922 (N.S.), effective 11-21-24)

State law reference(s) -- Notice requirements, Gov. Code, § 29064.