Text: HF02170 Text: HF02172 Text: HF02100 - HF02199 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN
1 1 Section 1. NEW SECTION. 384.20A CONTINUING
1 2 APPROPRIATION.
1 3 1. As used in this section:
1 4 a. "Continuing appropriation" means an authorized
1 5 expenditure of financial resources for a capital project, a
1 6 special assessment public improvement, or a purchase of major
1 7 capital equipment for general, street, enterprise, or utility
1 8 purposes, which is not properly a current expense. A
1 9 continuing appropriation is not an annual budget appropriation
1 10 and does not expire at the end of the city's or utility's
1 11 fiscal year. A continuing appropriation continues until the
1 12 project, improvement, or equipment purchase is completed as
1 13 described in the detail accompanying the appropriation whether
1 14 completed within a fiscal year or not.
1 15 b. "Major capital equipment" means equipment or machinery
1 16 with an expected life of more than six years.
1 17 2. A city council or a governing body of a utility which
1 18 is not a city council may create a continuing appropriation by
1 19 establishing one or more project funds, special assessment
1 20 public improvement funds, or major capital equipment funds
1 21 under a capital program or a single project in which the
1 22 resources for paying for the program or project and the
1 23 proposed expenditure appropriation have been subject to notice
1 24 and hearing under this chapter for the specific financing
1 25 provided for in this chapter or in section 364.4, if
1 26 applicable. The revenues and expenditures and the status of
1 27 funds created by a continuing appropriation shall be reported
1 28 to the applicable governing body which supervises the
1 29 appropriation and shall be included in the annual report
1 30 required in section 384.22. Expenditures under a continuing
1 31 appropriation shall not exceed resources for paying for the
1 32 project. A city or utility shall account for a continuing
1 33 appropriation in accordance with generally accepted accounting
1 34 principles. If expenditures are intended to be reimbursed
1 35 from the later issuance of a tax-exempt obligation, a
2 1 continuing appropriation shall include or be accompanied by an
2 2 appropriate declaration of intent or other official action
2 3 required by the Internal Revenue Code and regulations issued
2 4 under the Internal Revenue Code.
2 5 EXPLANATION
2 6 This bill provides that a city appropriation for a capital
2 7 project, special assessment public improvement, or a purchase
2 8 of major capital equipment which has an expected life of six
2 9 years or more shall be based on the time needed to complete
2 10 the project, improvement, or equipment purchase and not on the
2 11 fiscal year even though the reporting of their financial
2 12 status shall be made in the same time frame as all other city
2 13 accounting. A continuing appropriation is made or amended in
2 14 the manner required for establishing the type of financing
2 15 proposed as set out in chapter 384 or section 364.4. Also,
2 16 the accounting shall be according to generally accepted
2 17 accounting principles.
2 18 LSB 3868HH 76
2 19 tj/jj/8
Text: HF02170 Text: HF02172 Text: HF02100 - HF02199 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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