1490RECITALS:
RESOLUTION NO.1490
A RESOLUTION ESTABLISHING A PUBUC WORKS TRUST FUND
CONSTRUCTION ACCOUNT,CHANGING FUND NUMBERS AND
CHANGING FUND NAMES
1.The city received a loan from the Public Works Trust Fund to improve Stratford Road. The
construction of this project is to be done withinthe 309 Street Improvement Fund and the loan is
to be repaid with revenues which accrue to the 309 Street Improvement Fund.The terms of this
loan require that the monies received from the loan be kept segregated and that any interest
earnings be used forthe Stratford Road construction project or be used for loan repayment
purposes.An account within the 309 Fund is needed to record the proceeds of the loan and to
be used for the expenditure of said loan proceeds.PWTFConstruction Account 312 within the
309 Street Improvement Fund is needed forthis purpose.
2.The BARS Accounting System has changed the classification of deferred compensation funds
from expendable trust funds with number ranges (621-630)to agency fund with number ranges
(631-699)effective 1/1/89.Pursuant to the above change in BARS accounting procedures the
Deferred Compensation Fund number will need to be changed from Fund Number 622 to Fund
Number 635.
3.The City Council established the Accident Insurance Fund 503 as an internal services fund for
the purpose of paying all insurance premiums,deductible claims payments,and any other
insurance,risk, or risk management costs as determined by the City Manager.The fund was
also intended to be used as a vehicle to partially self-insure the city and wean the city from
insurance premiums.
The SAO Examiner has taken exception to this fund since RCW 35A.31.060 allows the city to
establish a special revenue fund named Accident Fund for which the city can issue registered
warrants in $500 increments and pay the same over a period of years from a special levy for
judgments which are awarded against the city.
To satisfy the SAO Examiner, it is recommended that the name be changed from Accident
Insurance Fund to Self-Insurance Fund.
RESOLVED:
1.That an account named PWTF Construction and numbered 312 be established within the 309
Street Improvement Fund.
2. That the fund number of the Deferred Compensation Fund be changed from 622 to 635.
3. That the name of the Accident Insurance Fund be changed to Self-Insurance Fund.
Adopted by the City Council on August 8,1989.
ATTEST:
Finance Director