Agenda Text
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Requesting approval of an Ordinance establishing and authorizing Departmental Revolving Funds.
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Official Text
To the Honorable Board:
I respectfully request your approval of an Ordinance to establish and authorize Departmental Revolving Funds.
The Municipal Modernization Act, Chapter 218 of the Acts of 2016, went into effect on November 7, 2016. The new law reformed many municipal finance procedures.
Last year, M.G.L. Chapter 44, Section 531/2, (Departmental Revolving Funds Statute), was amended by the Municipal Modernization Act to provide for cities and towns to establish the funds by ordinance instead of an annual legislative body vote.
The attached proposed Ordinance and Table of Revolving Funds meets the legal requirements and conforms to guidance issued by the Massachusetts Department of Revenue (DOR).
The requirement of a Legislative Body vote for annual expenditure limitations for each Revolving Fund has not changed. The Expenditure Limitations will be submitted annually to your Honorable Board at budget time.
I would appreciate your timely approval so that the requirements can be met in time for FY2018.
My staff will be available to answer any questions you may have. Thank you for your consideration of this matter.
Respectfully,
Joseph A. Curtatone, Mayor