Board backs draft ordinance to change fund-balance rules, create contingency account

County staff presented a draft ordinance to the board proposing two main changes to the CDPB fund: creation of a contingency committed fund with a maximum allowance of roughly $300,000, and a revised method for calculating minimum fund balance at 15–20% of expenditures (up from the current, lower percentage under existing rules). Staff said spending from the contingency account would require finance committee and full-board approval and that implementing the change will likely draw on capital improvement reserves.

"A new contingency account will be added to the CDPB fund, and its purpose [is] to cover unexpected emergency operational needs, with a maximum allowance of about $300,000," staff said during the presentation. They also said the new minimum-balance rule would raise the fund’s target to an amount that could be roughly $1.9–$2.5 million under current expenditure levels.

Board members raised concerns about the effect on the county’s 10-year capital improvement plan and whether the proposed reclassification of at least $1,000,000 of capital reserves would hinder long-term projects. Staff suggested revenue improvements from proposed programs such as a CLTS summer camp could help offset pressures but cautioned the program is still exploratory.

The committee voted to move forward with the ordinance change (voice vote: ayes recorded; one nay was voiced). Staff said a formal resolution could be prepared for finance committee review in September or October and then go to the full county board.