City Manager Diane Hunter has recommended that Council look at the idea of a budget stabilization policy.
The policy would allow the city to set aside money to allow for unanticipated expenditures, revenue shortfalls, future capital projects or to stabilize tax rates from significant changes in expenditures.
The proposed policy would see roughly $6.7 million dollars put into 10 separate accounts designated for certain situations. The $6.7 million dollars would come from an unallocated surplus account. This account includes monies from several years of budget surplus that haven’t been used.
Some of the accounts that will be set up include an Emergency account for events that Council deems of “urgent economic necessity”. Other accounts include a Heavy Snowfall/Ice account, Election account, Human Resources account or a Tax Rate Stabilization account. For a full list of accounts and descriptions download the attached document from Fort St. John City Council.
It’s planned that council will make a decision regarding this proposed policy at next Monday’s meeting.