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[Utah Code Table of Contents]
[TITLE 10. Table of Contents]
10-6-101 Short title.
This chapter shall be known and may be cited as the "Uniform
Fiscal Procedures Act for Utah Cities."
1979
10-6-102 Legislative intent - Purpose of chapter.
This chapter is intended to provide uniform accounting,
budgeting, and financial reporting procedures for cities.
It is the purpose of this chapter to enable cities to make
financial plans for both current and capital expenditures,
to insure that their executive staffs administer their respective
functions in accordance with adopted budgets, to provide
the public and investors with information about the financial
policies and administration of cities, to provide for the
optional use of performance budgeting and related accounting
and reporting procedures, and to enable larger cities to
evaluate and measure operating performance and provide data
comparable with other cities.
1979
10-6-103 Applicability to all cities.
This chapter shall apply to all cities, including charter
cities.
1979
10-6-104 Withholding of state money from cities not filing budget or complying with reporting or auditing requirements.
(1) The state auditor may withhold state money allocated to a city for its failure to file a copy of a formally adopted budget when required or its failure to comply substantially with the annual financial reporting or independent auditing requirements required under this chapter.
(2) Upon the city's compliance with the requirement, the
state auditor shall distribute the money to the city.
1999
10-6-105 Fiscal period - Annual or biennial.
(1) Except as provided in Subsection (2), the fiscal period for each city shall be an annual period beginning July 1 of each year and ending June 30 of the following year.
(2) (a) Notwithstanding Subsection (1), the legislative body of a city may, by ordinance, adopt for the city a fiscal period that is a biennial period beginning July 1 and ending June 30 of the second following calendar year.
(b) Each city adopting an ordinance under Subsection (2)(a) shall separately specify in its budget the amount of ad valorem property tax it intends to levy and collect during both the first half and the second half of the budget period.
(c) Each city that adopts a fiscal period that is a biennial period under Subsection (2)(a) shall:
(i) comply with Sections 59-2-912 through 59-2-926 as if it had adopted a fiscal period that is an annual period; and
(ii) allocate budgeted revenues and expenditures to each of the two annual periods in the biennial budget.
(d) The legislative body of each city that adopts a fiscal
period that is a biennial period under Subsection (2)(a)
shall, within ten days after the adoption of the ordinance
adopting the biennial period, deliver a copy of the ordinance
to the state auditor.
1999
10-6-106 Definitions.
As used in this chapter:
(1) "Account group" is defined by generally accepted accounting principles as reflected in the Uniform Accounting Manual for Utah Cities.
(2) "Appropriation" means an allocation of money by the governing body for a specific purpose.
(3) (a) "Budget" means a plan of financial operations for a fiscal period which embodies estimates of proposed expenditures for given purposes and the proposed means of financing them.
(b) "Budget" may refer to the budget of a particular fund for which a budget is required by law or it may refer collectively to the budgets for all such funds.
(4) "Budgetary fund" means a fund for which a budget is required.
(5) "Budget officer" means the city auditor in a city of the first and second class, the mayor or some person appointed by the mayor with the approval of the city council in a city of the third, fourth, or fifth class, the mayor in the council-mayor optional form of government, or the person designated by the charter in a charter city.
(6) "Budget period" means the fiscal period for which a budget is prepared.
(7) "Check" means an order in a specific amount drawn upon a depository by an authorized officer of a city.
(8) "Current period" means the fiscal period in which a budget is prepared and adopted, i.e., the fiscal period next preceding the budget period.
(9) "Department" means any functional unit within a fund that carries on a specific activity, such as a fire or police department within a General Fund.
(10) "Encumbrance system" means a method of budgetary control in which part of an appropriation is reserved to cover a specific expenditure by charging obligations, such as purchase orders, contracts, or salary commitments to an appropriation account at their time of origin. Such obligations cease to be encumbrances when paid or when the actual liability is entered on the city's books of account.
(11) "Estimated revenue" means the amount of revenue estimated to be received from all sources during the budget period in each fund for which a budget is being prepared.
(12) "Financial officer" means the mayor in the council-mayor optional form of government or the city official as authorized by Section 10-6-158 .
(13) "Fiscal period" means the annual or biennial period for accounting for fiscal operations in each city.
(14) "Fund" is as defined by generally accepted accounting principles as reflected in the Uniform Accounting Manual for Utah Cities.
(15) "Fund balance," "retained earnings," and "deficit" have the meanings commonly accorded such terms under generally accepted accounting principles as reflected in the Uniform Accounting Manual for Utah Cities.
(16) "Governing body" means a city council, or city commission, as the case may be, but the authority to make any appointment to any position created by this chapter is vested in the mayor in the council-mayor optional form of government.
(17) "Interfund loan" means a loan of cash from one fund to another, subject to future repayment and does not constitute an expenditure or a use of retained earnings or fund balance of the lending fund or revenue to the borrowing fund.
(18) "Last completed fiscal period" means the fiscal period next preceding the current period.
(19) "Public funds" means any money or payment collected or received by an officer or employee of the city acting in an official capacity and includes money or payment to the officer or employee for services or goods provided by the city, or the officer or employee while acting within the scope of employment or duty. Public funds do not include money or payments collected or received by an officer or employee of a city for charitable purposes if the mayor or city council has consented to the officer's or employee's participation in soliciting contributions for a charity.
(20) "Special fund" means any fund other than the General Fund.
(21) "Warrant" means an order drawn upon the city treasurer,
in the absence of sufficient money in the city's depository,
by an authorized officer of a city for the purpose of paying
a specified amount out of the city treasury to the person
named or to the bearer as money becomes available.
2003
10-6-107 Uniform accounting system.
The accounting records of cities shall be established
and maintained, and financial statements prepared from those
records in conformance with generally accepted accounting
principles promulgated from time to time by authoritative
bodies in the United States. The state auditor shall prescribe
in the Uniform Accounting Manual for Utah Cities a uniform
system of accounting that conforms to generally accepted
accounting principles. The state auditor shall maintain the
manual so that it reflects current generally accepted accounting
principles.
1981
10-6-108 Funds and account groups maintained.
Each city shall maintain, according to its own accounting
needs, some or all of the funds and account groups in its
system of accounts, as prescribed in the Uniform Accounting
Manual for Utah Cities.
1979
10-6-109 Budget required for certain funds - Capital projects fund budget.
(1) The budget officer shall prepare for each budget period a budget for each of the following funds:
(a) the general fund, including the class "C" and collector road funds;
(b) special revenue funds;
(c) debt service funds; and
(d) capital improvement funds.
(2) Major capital improvements financed by general obligation
bonds, capital grants, or interfund transfers, shall use
a capital projects fund budget. The term of the budget shall
coincide with the term of the individual project or projects.
To the extent appropriate, the requirements for preparation,
adoption, and execution of the budgets of the funds enumerated
in Subsection (1) above, as set forth in this chapter, shall
apply to budgets of capital projects funds.
1999
10-6-110 Budget - Contents - Total of revenues to equal expenditures.
(1) The budget for each fund set forth in Subsection 10-6-109 (1) shall provide a complete financial plan for the budget period. Each budget shall specify in tabular form:
(a) estimates of all anticipated revenues, classified by the account titles prescribed in the Uniform Accounting Manual for Utah Cities; and
(b) all appropriations for expenditures, classified by the account titles prescribed in the Uniform Accounting Manual for Utah Cities.
(2) The total of the anticipated revenues shall equal
the total of appropriated expenditures.
1999
10-6-111 Tentative budget to be prepared - Contents - Estimate of expenditures - Budget message - Review by governing body.
(1) On or before the first regularly scheduled meeting of the governing body in the last May of the current period, the budget officer shall prepare for the ensuing fiscal period, on forms provided by the state auditor, and file with the governing body, a tentative budget for each fund for which a budget is required. The tentative budget of each fund shall set forth in tabular form the following:
(a) Actual revenues and expenditures in the last completed fiscal period.
(b) Budget estimates for the current fiscal period.
(c) Actual revenues and expenditures for a period of 6 to 21 months, as appropriate, of the current fiscal period.
(d) Estimated total revenues and expenditures for the current fiscal period.
(e) The budget officer's estimates of revenues and expenditures for the budget period, computed in the following manner:
(i) The budget officer shall estimate, on the basis of demonstrated need, the expenditures for the budget period after a review of the budget requests and estimates of the department heads. Each department head shall be heard by the budget officer prior to making of the final estimates, but the officer may revise any department's estimate as the officer considers advisable for the purpose of presenting the budget to the governing body.
(ii) The budget officer shall estimate the amount of revenue available to serve the needs of each fund, estimate the portion to be derived from all sources other than general property taxes, and estimate the portion that must be derived from general property taxes. From the latter estimate the officer shall compute and disclose in the budget the lowest rate of property tax levy that will raise the required amount of revenue, calculating the levy upon the latest taxable value.
(f) If the governing body elects, actual performance experience to the extent established by Section 10-6-154 and available in work units, unit costs, man hours, or man years for each budgeted fund on an actual basis for the last completed fiscal period, and estimated for the current fiscal period and for the ensuing budget period.
(2) (a) Each tentative budget, when filed by the budget officer with the governing body, shall contain the estimates of expenditures submitted by department heads, together with specific work programs and such other supporting data as this chapter requires or the governing body may request. Each city of the first or second class shall, and a city of the third, fourth, or fifth class may, submit a supplementary estimate of all capital projects which each department head believes should be undertaken within the next three succeeding years.
(b) Each tentative budget submitted by the budget officer to the governing body shall be accompanied by a budget message, which shall explain the budget, contain an outline of the proposed financial policies of the city for the budget period, and shall describe the important features of the budgetary plan. It shall set forth the reasons for salient changes from the previous fiscal period in appropriation and revenue items and shall explain any major changes in financial policy.
(3) Each tentative budget shall be reviewed, considered, and tentatively adopted by the governing body in any regular meeting or special meeting called for the purpose and may be amended or revised in such manner as is considered advisable prior to public hearings, except that no appropriation required for debt retirement and interest or reduction of any existing deficits pursuant to Section 10-6-117 , or otherwise required by law or ordinance, may be reduced below the minimums so required.
(4) If the municipality is acting pursuant to Section
10-2-120
, the tentative budget shall be submitted to
the governing body 60 days prior to the intended filing of
the articles of incorporation and shall cover each fund for
which a budget is required from the date of incorporation
to the end of the fiscal year. The governing body shall substantially
comply with all other provisions of this act, and the budget
shall be passed upon incorporation.
2003
10-6-112 Tentative budget and data - Availability for public inspection.
Each tentative budget adopted by the governing body and
all supporting schedules and data shall be a public record
in the office of the city auditor or the city recorder, available
for public inspection for a period of at least 10 days prior
to the adoption of a final budget, as hereinafter provided.
1979
10-6-113 Budget - Notice of hearing to consider adoption.
At the meeting at which each tentative budget is adopted,
the governing body shall establish the time and place of
a public hearing to consider its adoption and shall order
that notice thereof be published at least seven days prior
to the hearing in at least one issue of a newspaper of general
circulation published in the county in which the city is
located. If no such newspaper is published, the notice required
by this section may be posted in three public places within
the city.
1979
10-6-114 Budget - Public hearing on tentatively adopted budget.
At the time and place advertised, or at any time and place
to which the public hearing may be adjourned, the governing
body shall hold a public hearing on the budgets tentatively
adopted. All interested persons in attendance shall be given
an opportunity to be heard, for or against, the estimates
of revenue and expenditures or any item thereof in the tentative
budget of any fund.
1979
10-6-115 Budget - Continuing authority of governing body.
After the conclusion of the public hearing, the governing
body may continue to review any tentative budget and may
insert such new items or may increase or decrease items of
expenditure that were the proper subject of consideration
at the public hearing, except there shall be no decrease
in the amount appropriated for debt retirement and interest
or reduction of any existing deficits, as provided by Section
10-6-117
. It shall also increase or decrease the total
anticipated revenue to equal the net change in proposed expenditures
in the budget of each fund.
1979
10-6-116 Accumulated fund balances - Limitations - Excess balances - Unanticipated excess of revenues - Reserves for capital improvements.
(1) Cities are permitted to accumulate retained earnings or fund balances, as appropriate, in any fund. With respect to the General Fund only, any accumulated fund balance is restricted to the following purposes:
(a) to provide working capital to finance expenditures from the beginning of the budget period until general property taxes, sales taxes, or other applicable revenues are collected, thereby reducing the amount which the city must borrow during the period, but this Subsection (1)(a) does not permit the appropriation of any fund balance for budgeting purposes except as provided in Subsection (4);
(b) to provide a resource to meet emergency expenditures under Section 10-6-129 ; and
(c) to cover a pending year-end excess of expenditures over revenues from an unavoidable shortfall in revenues. This provision does not permit the appropriation of any fund balance to avoid an operating deficit during any budget period except as provided under Subsection (4), or for emergency purposes under Section 10-6-129 .
(2) The accumulation of a fund balance in the General Fund shall not exceed 18% of the total estimated revenue of the General Fund.
(3) If the fund balance at the close of any fiscal period exceeds the amount permitted under Subsection (2), the excess shall be appropriated in the manner provided in Section 10-6-117 .
(4) Any fund balance in excess of 5% of the total revenues of the General Fund may be utilized for budget purposes.
(5) (a) Within a capital improvements fund the governing body may, in any budget period, appropriate from estimated revenue or fund balance to a reserve for capital improvements for the purpose of financing future specific capital improvements, under a formal long-range capital plan adopted by the governing body.
(b) The reserves may accumulate from fiscal period to fiscal period until the accumulated total is sufficient to permit economical expenditure for the specified purposes.
(c) Disbursements from these reserves shall be made only by transfer to a revenue or transfer account within the capital improvements fund, under a budget appropriation in a budget for the fund adopted in the manner provided by this chapter.
(d) Expenditures from the above appropriation budget accounts
shall conform to all requirements of this chapter relating
to execution and control of budgets.
1999
10-6-117 Appropriations not to exceed estimated expendable revenue - Determination of revenue - Appropriations for existing deficits.
(1) The governing body of any city may not make any appropriation in the final budget of any fund in excess of the estimated expendable revenue for the budget period of the fund.
(2) In determining the estimated expendable revenue of the general fund for the budget period, there shall be included therein as an appropriation from the fund balance that portion of the fund balance at the close of the last completed fiscal period, not previously included in the budget of the current period, that exceeds the amount permitted in Section 10-6-116 .
(3) There shall be included as an item of appropriation
in each fund for any budget period any existing deficit as
of the close of the last completed fiscal period, not previously
included in the budget of the current period, to the extent
of at least 5% of the total revenue of the fund in its last
completed fiscal period. If the total amount of the deficit
is less than 5% of the total revenue in the last completed
fiscal period, the entire amount of the deficit shall be
included.
1999
10-6-118 Adoption of final budget - Certification and filing.
Before the last June 22 of each fiscal period, or, in
the case of a property tax increase under Sections
59-2-919
through
59-2-923
, before August 17 of the year for which a property
tax increase is proposed, the governing body shall by resolution
or ordinance adopt a budget for the ensuing fiscal period
for each fund for which a budget is required under this chapter.
A copy of the final budget for each fund shall be certified
by the budget officer and filed with the state auditor within
30 days after adoption.
2001
10-6-119 Budgets in effect for budget period - Amendment - Filing for public inspection.
Upon final adoption, the budgets shall be in effect for
the budget period, subject to later amendment. A certified
copy of the adopted budgets shall be filed in the office
of the city auditor or city recorder and shall be available
to the public during regular business hours.
1999
10-6-120 Property tax levy - Amount in budget as basis for determining.
From the effective date of the budget or of any amendment
enacted prior to the date on which property taxes are levied,
the amount stated therein as the amount of estimated revenue
from property taxes shall constitute the basis for determining
the property tax levy to be set by the governing body for
the corresponding tax year, subject to the applicable limitations
imposed by law.
1979
10-6-121 Departmental expenditures - Encumbrances - Purchase order.
(1) The budget officer shall require all expenditures by any department to conform with the departmental budget.
(2) No appropriation may be encumbered and no expenditure may be made against any departmental appropriation unless there is sufficient unencumbered balance in the department's appropriation, except in cases of emergency as provided by this chapter.
(3) All encumbrances reported as outstanding as of the
fiscal period end shall be supported by a purchase order
issued on or before the last day of the fiscal period and
approved by the mayor in the council-mayor optional form
of government or the governing body or its delegate in other
cities, as provided under this chapter.
1999
10-6-122 Purchasing procedures and file of bids received and proof of advertisement - Time for keeping.
(1) All purchases or encumbrances thereof by a city shall be made or incurred according to the purchasing procedures established by each city by ordinance or resolution and only on an order or approval of the person duly authorized to act as a purchasing agent for the city.
(2) Whenever any city is required by law to receive bids for purchases, construction, repairs, or any other purpose requiring the expenditure of funds, that city shall keep on file all bids received, together with proof of advertisement by publication or otherwise, for:
(a) at least three years following the letting of any contract pursuant to those bids; or
(b) three years following the first advertisement for
the bids, if all bids pursuant to that advertisement are
rejected.
2004
10-6-123 Expenditures or encumbrances in excess of appropriations prohibited - Processing claims.
City officers shall not make or incur expenditures or
encumbrances in excess of total appropriations for any department
in the budget as adopted or as subsequently amended. Any
obligation contracted by any such officer shall not be or
become valid or enforceable against the city. No check or
warrant to cover any claim against any appropriation shall
be drawn until the claim has been processed as provided by
this chapter.
1979
10-6-124 Transfer of appropriation balance between accounts - Excess expenditure within departments.
With the consent of the budget officer, or the approval
in charter cities as required by charter, the head of any
department may transfer any unencumbered or unexpended appropriation
balance or any portion thereof from one expenditure account
to another within the department during the budget period,
or an excess expenditure of one or more line items may be
permitted by any department head with the consent of the
budget officer, or his equivalent in charter cities, provided
the total of all excess expenditures or encumbrances do not
exceed total unused appropriations within the department
at the close of the budget period.
1999
10-6-125 Transfer of appropriation balance between departments in same fund.
At the request of the budget officer or upon its own initiative,
the governing body by resolution may transfer any unencumbered
or unexpended appropriation balance or portion thereof from
one department in a fund to another within the same fund,
provided that no appropriation for debt retirement and interest,
reduction of deficit, or other appropriation required by
law or ordinance shall be reduced below the minimums required.
1979
10-6-126 Reduction of total budget appropriation of department by resolution - Notice to governing body.
The total budget appropriation of any department may be
reduced for purposes other than transfer to another department
by resolution of the governing body at any regular meeting,
or special meeting, called for that purpose, if notice of
the proposed action is given to all members of the governing
body at least five days before such action. The notice may
be waived in writing or orally during attendance at the meeting
by any member of the governing body.
1979
10-6-127 Review of individual fund budgets - Hearing.
(1) (a) Upon the written request of one of the members of the governing body, or upon its own motion setting forth the reason therefor, the governing body may, at any time during the budget period, review the individual budgets of the funds set forth in Section 10-6-109 , for the purpose of determining if the total of any of them should be increased.
(b) If the governing body decides that the budget total of one or more of these funds should be increased, it shall follow the procedures set forth in Sections 10-6-113 and 10-6-114 for holding a public hearing.
(2) (a) In a city that has adopted a fiscal period that is a biennial period under Subsection 10-6-105( 2), the governing body shall, in a public hearing before June 30 of the first year of the biennial period, review the individual budgets of the funds set forth in Sections 10-6-109 and 10-6-135 for the second year of the biennial period.
(b) In each review under Subsection (2)(a), the governing
body shall follow the procedures of Sections
10-6-113
and
10-6-114
for holding a public hearing.
1999
10-6-128 Amendment and increase of individual fund budgets.
After the conclusion of the hearing, the governing body,
by resolution or ordinance, may amend the budgets of the
funds proposed to be increased, so as to make all or part
of the increases therein, both estimated revenues and appropriations,
which were the proper subject of consideration at the hearing.
Final amendments in the current period to the budgets of
any of the funds set forth in Section
10-6-109
shall be adopted by the governing body on or
before the last day of the fiscal period.
1999
10-6-129 Emergency expenditures.
In the event the governing body of a city determines that
an emergency exists, such as widespread damage from fire,
flood or earthquake, and that the emergency necessitates
the expenditure of money in excess of the budget of the general
fund, the governing body may by resolution amend the budget
and authorize such expenditures and incur such deficits in
the fund balance of the general fund as may be reasonably
necessary to meet the emergency.
1981
10-6-130 Lapse of appropriations - Exceptions.
All unexpended or unencumbered appropriations except capital
projects fund appropriations shall lapse at the end of the
budget period.
1999
10-6-131 Transfer of balances in special funds.
Whenever the necessity for maintaining any special fund of a city has ceased to exist and a balance remains in the fund, the governing body shall authorize the transfer of the balance to the fund balance account in the general fund of the city, except that:
(1) Any balance remaining in a special assessment fund and any unrequired balance in its special improvements guaranty fund shall be treated in the manner provided in Sections 17A-3-332 and 17A-3-334 ;
(2) Any balance remaining in a capital improvements or capital projects fund shall be transferred to the appropriate debt service fund or other fund as the bond ordinance may require and otherwise to the fund balance account in the general fund;
(3) Whenever any balance held in a trust fund for a specific purpose, other than a cemetery perpetual care trust fund, is to be transferred because its original purpose or restriction has ceased to exist, a public hearing shall be held in the manner provided in Sections 10-6-113 and 10-6-114 . The published notice shall invite those persons who contributed to the fund to appear at the hearing. If the governing body determines the fund balance amounts are refundable to the original contributors, a 30 day period following the hearing shall be allowed for persons having an interest in the fund to file with the governing body a verified claim only for the amount of each claimant's contributions. Any claim not so filed shall be forever barred. Any balance remaining, after refunds to eligible contributors, shall be transferred to the fund balance account in the general fund of the city; and
(4) Whenever the governing body decides, in conformity
with applicable laws and ordinances, that the need for continued
maintenance of its cemetery perpetual care trust fund no
longer exists, it may transfer the balance in such fund to
the capital improvements fund for expenditure for land, buildings
and major improvements to be used exclusively for cemetery
purposes.
1979
10-6-132 Loans by one fund to another - Acquiring bonds for investment.
Subject to restrictions imposed by bond ordinance, statute
or other controlling regulations, the governing body of a
city may (1) authorize interfund loans from one fund to another
at such interest rates and upon such repayment terms and
conditions as it may prescribe, and (2) with available cash
in any fund, purchase or otherwise acquire for investment
unmatured bonds of the city or of any fund of the city.
1979
10-6-133 Property tax levy - Time for setting - Computation of total levy - Apportionment of proceeds - Maximum levy.
(1) Before June 22 of each year, or August 17 in the case of a property tax rate increase under Sections 59-2-919 through 59-2-923 , the governing body of each city, including charter cities, at a regular meeting or special meeting called for that purpose, shall by ordinance or resolution set the real and personal property tax levy for various municipal purposes, but the levy may be set at an appropriate later date with the approval of the State Tax Commission.
(2) In its computation of the total levy, the governing body shall determine the requirements of each fund for which property taxes are to be levied and shall specify in its ordinance or resolution adopting the levy the amount apportioned to each fund.
(3) The proceeds of the levy apportioned for General Fund purposes shall be credited as revenue in the General Fund.
(4) The proceeds of the levy apportioned for special fund purposes shall be credited to the appropriate accounts in the applicable special funds.
(5) The combined levies for each city, including charter
cities, for all purposes in any year, excluding the retirement
of general obligation bonds and the payment of any interest,
and taxes expressly authorized by law to be levied in addition,
may not exceed .007 per dollar of taxable value of taxable
property.
1989
10-6-134 Certification of ordinance or resolution setting levy.
The city recorder shall certify the ordinance or resolution
setting the levy to the county auditor, or auditors if the
municipality is located in more than one county, before the
fifteenth day of June of each year.
1982
10-6-135 Operating and capital budgets.
(1) On or before the time the governing body adopts budgets for the funds set forth in Section 10-6-109 , it shall adopt for the ensuing fiscal period an "operating and capital budget" for each enterprise fund and shall adopt the type of budget for other special funds as required by the Uniform Accounting Manual for Utah Cities.
(2) An "operating and capital budget," for purposes of this section, means a plan of financial operation for an enterprise or other required special fund, embodying estimates of operating resources and expenses and other outlays for a fiscal period. Except as otherwise expressly provided, the reference to "budget" or "budgets" and the procedures and controls relating to them in other sections of this chapter do not apply or refer to the "operating and capital budgets" provided for in this section.
(3) "Operating and capital budgets" shall be adopted and administered in the following manner:
(a) On or before the first regularly scheduled meeting of the governing body in the last May of the current period, the budget officer shall prepare for the ensuing fiscal period and file with the governing body a tentative operating and capital budget for each enterprise fund and for other required special funds, together with specific work programs as submitted by the department head and any other supporting data required by the governing body.
(b) Each city of the first or second class shall, and a city of the third, fourth, or fifth class may, submit a supplementary estimate of all capital projects which the department head believes should be undertaken within the three next succeeding fiscal periods.
(c) The budget officer shall prepare estimates in cooperation with the appropriate department heads. Each department head shall be heard by the budget officer prior to making final estimates, but thereafter the officer may revise any department's estimate for the purpose of presenting the budget to the governing body.
(d) If within any enterprise fund, allocations or transfers which cannot be defined as a reasonable allocation of costs between funds are included in a tentative budget, a written notice as to date, time, place, and purpose of the hearing is to be mailed to utility fund customers at least seven days prior to the hearing.
(4) The tentative budget or budgets shall be reviewed and considered by the governing body at any regular meeting or special meeting called for that purpose. The governing body may make changes in the tentative budgets.
(5) Budgets for enterprise or other required special funds shall comply with the public hearing requirements established in Sections 10-6-113 and 10-6-114 .
(6) Before the last June 30 of each fiscal period, or, in the case of a property tax increase under Sections 59-2-919 through 59-2-923 , before August 31 of the year for which a property tax increase is proposed, the governing body shall adopt an operating and capital budget for each applicable fund for the ensuing fiscal period. A copy of the budget as finally adopted for each fund shall be:
(a) certified by the budget officer;
(b) filed by the officer in the office of the city auditor or city recorder;
(c) available to the public during regular business hours; and
(d) filed with the state auditor within 30 days after adoption.
(7) Upon final adoption, the operating and capital budget shall be in effect for the budget period, subject to later amendment. During the budget period the governing body may, in any regular meeting or special meeting called for that purpose, review any one or more of the operating and capital budgets for the purpose of determining if the total of any of them should be increased. If the governing body decides that the budget total of one or more of these funds should be increased, the procedures set forth in Section 10-6-136 shall be followed.
(8) Expenditures from operating and capital budgets shall
conform to the requirements relating to budgets specified
in Sections
10-6-121
through
10-6-126
.
2003
10-6-136 Increase in appropriations for operating and capital budget funds - Notice.
The total budget appropriation of any fund described in
Section
10-6-135
may be increased by resolution of the governing
body at any regular meeting, or special meeting called for
that purpose, provided that written notice of the time, place
and purpose of the meeting shall have been mailed or delivered
to all members of the governing body at least five days prior
to the meeting. The notice may be waived in writing or orally
during attendance at the meeting by any member of the governing
body.
1979
10-6-137 City recorder - Office - Meetings and records - Certified records as evidence.
The office of the city recorder shall be located at the
place of the governing body or at some other place convenient
thereto as the governing body may direct. The city recorder
or deputy city recorder shall attend the meetings and keep
the record of the proceedings of the governing body. Copies
of all papers filed in the recorder's office and transcripts
from all records of the governing body, if certified by the
recorder under the corporate seal, are admissible in all
courts as originals.
1979
10-6-138 City recorder to countersign contracts - Indexed record of contracts.
The city recorder shall countersign all contracts made
on behalf of the city and shall maintain a properly indexed
record of all such contracts.
1979
10-6-139 City auditor or recorder - Bookkeeping duties - Duties with respect to payment of claims.
(1) The city auditor in each city of the first and second class, and the city recorder in each city of the third, fourth, or fifth class shall maintain the general books for each fund of the city and all subsidiary records relating thereto, including a list of the outstanding bonds, their purpose, amount, terms, date, and place payable.
(2) (a) The city auditor or city recorder, as appropriate, shall keep accounts with all receiving and disbursing officers of the city, shall preaudit all claims and demands against the city before they are allowed, and shall prepare the necessary checks in payment.
(b) Those checks shall include an appropriate certification pursuant to Section 11-1-1 , examples of which shall be presented in the Uniform Accounting Manual for Utah Cities.
(c) The city auditor or city recorder shall also certify on the voucher or check copy, as appropriate, that:
(i) the claim has been preaudited and documented;
(ii) the claim has been approved in one of the following ways:
(A) purchase order directly approved by the mayor in the council-mayor optional form of government, or the governing body or its delegate in other cities;
(B) claim directly approved by the governing body; or
(C) claim approved by the financial officer;
(iii) the claim is within the lawful debt limit of the city; and
(iv) the claim does not overexpend the appropriate departmental
budget established by the governing body.
2003
10-6-140 Warrants for payment of claims.
In the event the city is without funds on deposit in one
of its appropriate bank accounts with which to pay any lawfully
approved claim, the city auditor or recorder shall draw and
sign a warrant upon the treasurer of the city for payment
of the claim, the warrant to be tendered to the payee named
thereon.
1979
10-6-141 City treasurer - Duties generally.
(1) The city treasurer is custodian of all money, bonds, or other securities of the city.
(2) The city treasurer shall:
(a) determine the cash requirements of the city and provide for the investment of all monies by following the procedures and requirements of Title 51, Chapter 7, State Money Management Act;
(b) receive all public funds and monies payable to the city, within three business days after collection, including all taxes, licenses, fines, and intergovernmental revenue;
(c) keep an accurate detailed account of all monies received under Subsection (2)(b) in the manner provided in this chapter and as directed by the legislative body of the city by ordinance or resolution; and
(d) collect all special taxes and assessments as provided
by law and ordinance.
1992
10-6-142 City treasurer - Receipts for payment.
The city treasurer shall give or cause to be given to
every person paying money to the city treasury, a receipt
or other evidence of payment therefor, specifying, as appropriate,
the date of payment and upon which account paid and shall
file the duplicate of the receipt, a summary report, or other
evidence of payment in the office of the auditor or recorder.
1979
10-6-143 City treasurer or deputy - Duties with respect to issuance of checks.
The treasurer, or in his absence a deputy treasurer appointed
by the governing body, shall sign all checks prepared by
the auditor or recorder. Prior to affixing the signature,
the treasurer or deputy treasurer shall determine that a
sufficient amount is on deposit in the appropriate bank account
of the city to honor the check. The governing body may also
designate a person, other than the city auditor or the city
recorder, to countersign checks.
1979
10-6-144 City treasurer - Warrants - Order of payment.
In the absence of appropriate monies, as set forth in
Section
10-6-140
, the treasurer shall pay all warrants in the
order in which presented and as money becomes available for
payment thereof in the appropriate funds of the city. The
treasurer shall note upon the back of each warrant presented
the date of presentation and the date of payment.
1979
10-6-145 City treasurer - Special assessments - Application of proceeds.
All money received by the treasurer on any special assessment
shall be applied to the payment of the improvement for which
the assessment was made. The money shall be used for the
payment of interest and principal on bonds or other indebtedness
issued in settlement thereof, and shall be used for no other
purpose whatever, except as otherwise provided in Section
10-6-131
.
1979
10-6-146 City treasurer - Deposit of city funds - Commingling with personal funds unlawful - Suspension from office.
The treasurer shall promptly deposit all city funds in
the appropriate bank accounts of the city. It shall be unlawful
for any person to commingle city funds with his or her own
money. Whenever it shall appear that the treasurer or any
other officer is making profit out of public money, or is
using the same for any purpose not authorized by law, such
treasurer or officer shall be suspended from office.
1979
10-6-147 Quarterly financial reports - First and second class cities.
The city auditor in cities of the first and second class
shall prepare and present to the governing body appropriate
quarterly financial reports, prepared in the manner prescribed
in the Uniform Accounting Manual for Utah Cities.
1981
10-6-148 Monthly and quarterly financial reports - Cities of the third, fourth, and fifth class.
The city recorder or other delegated person in each city
of the third, fourth, or fifth class shall prepare and present
to the governing body monthly summary financial reports and
quarterly detail financial reports, prepared in the manner
prescribed in the Uniform Accounting Manual for Utah Cities.
2003
10-6-150 Annual financial reports - Independent audit reports.
Within 180 days after the close of each fiscal period
or, for a city that has adopted a fiscal period that is a
biennial period, within 180 days after both the mid-point
and the close of the fiscal period, the city recorder or
other delegated person shall present to the governing body
an annual financial report prepared in conformity with generally
accepted accounting principles, as prescribed in the Uniform
Accounting Manual for Utah Cities. This requirement may be
satisfied by presentation of the audit report furnished by
the independent auditor, if the financial statements included
are appropriately prepared and reviewed with the governing
body. Notwithstanding the acceptability of the audit report
furnished by the independent auditor in substitution for
financial statements prepared by an officer of the city,
the governing body has the responsibility for those financial
statements. The independent auditor has the responsibility
of reporting whether the governing body's financial statements
are prepared in conformity with generally accepted accounting
principles. Copies of the annual financial report or the
audit report furnished by the independent auditor shall be
filed with the state auditor and shall be filed as a public
document in the office of the city recorder.
1999
10-6-151 Independent audits required.
Independent audits of all cities are required, to be performed
in conformity with Title 51, Chapter 2, Audits of Political
Subdivisions, Interlocal Organizations and Other Local Entities.
In the case of a city organized under Title 10, Chapter 3,
Part 12, Optional Forms of Municipal Government Act, the
council shall appoint an independent auditor for the purpose
of complying with the requirements of this section and of
Title 51, Chapter 2, Audits of Political Subdivisions, Interlocal
Organizations and Other Local Entities.
2004
10-6-152 Notice that audit completed and available for inspection.
Within ten days following the receipt of the audit report
furnished by the independent auditor, the city auditor in
cities having an auditor and the city recorder in all other
cities shall prepare and publish at least twice in a newspaper
of general circulation published within the county, a notice
to the public that the audit of the city has been completed
and a copy thereof may be inspected at the office of the
city auditor or recorder. If a newspaper of general circulation
is not published within the county, the notice required by
this section may be posted in three public places.
1993
10-6-153 Municipal government fiscal committee created - Members - Terms - Vacancies - Recommendations.
(1) There is hereby created a municipal government fiscal committee, the members of which shall be:
(a) all auditors of cities of the first class and two auditors from cities of the second class appointed by the state auditor;
(b) four elected or appointed municipal officials, two of whom shall be from larger cities of the third class, one of whom shall be from cities of the fourth class, and one of whom shall be from cities of the fifth class, appointed by the state auditor from a list recommended by the Utah League of Cities and Towns; and
(c) two additional members who are knowledgeable in the area of municipal fiscal affairs appointed by the state auditor.
(2) (a) Members shall be appointed to four-year terms on the committee, provided that the term of an elected or appointed official shall terminate upon ceasing to be an elected official or an employee of the city for which such person worked when appointed.
(b) Notwithstanding the requirements of Subsection (2)(a), the auditor shall, at the time of appointment or reappointment, adjust the length of terms to ensure that the terms of committee members are staggered so that approximately half of the committee is appointed every two years.
(3) Any vacancy shall be filled by the state auditor from the same class as the original appointment as described in Subsection (1). Members may be reappointed.
(4) The advisory committee shall assist, advise, and make recommendations to the state auditor in the preparation of uniform accounting and reporting procedures and program and performance accounting, budgeting, and reporting for cities.
(5) (a) Members shall receive no compensation or benefits for their services, but may receive per diem and expenses incurred in the performance of the member's official duties at the rates established by the Division of Finance under Sections 63A-3-106 and 63A-3-107 .
(b) Members may decline to receive per diem and expenses for their service.
(c) Local government members who do not receive salary, per diem, or expenses from the entity that they represent for their service may receive per diem and expenses incurred in the performance of their official duties at the rates established by the Division of Finance under Sections 63A-3-106 and 63A-3-107 .
(d) Local government members may decline to receive per
diem and expenses for their service.
2003
10-6-154 Duties of state auditor and committee - Adoption and expansion of uniform system.
(1) The state auditor with the assistance, advice, and recommendations of the municipal government fiscal committee shall:
(a) prescribe uniform accounting and reporting procedures for cities, in conformity with generally accepted accounting principles;
(b) conduct a continuing review and modification of such procedures to improve them;
(c) prepare and supply each city with suitable budget and reporting forms; and
(d) prepare instructional materials, conduct training programs and render other services deemed necessary to assist cities in implementing the uniform accounting, budgeting and reporting procedures.
(2) The Uniform Accounting Manual for Utah Cities shall prescribe reasonable exceptions and modifications for fourth and fifth class cities to the uniform system of accounting, budgeting, and reporting.
(3) The advisory committee shall establish and conduct a continuing review of suggested measurements and procedures for program and performance budgeting and reporting which may be evaluated on a statewide basis.
(4) Cities may expand the uniform accounting and reporting
procedures to better serve their needs; however, no deviations
from or alterations to the basic prescribed classification
systems for the identity of funds and accounts shall be made.
2003
10-6-156 State auditor to evaluate fiscal practices.
The state auditor shall continually analyze and evaluate
the accounting, budgeting and reporting practices and experiences
of specific cities selected by the state auditor and shall
make such information available to all cities.
1979
10-6-157 Director of finance in certain cities.
The governing body of a city of the third, fourth, or
fifth class may, and the cities under an optional form of
city government shall, by resolution or ordinance, create
a director of finance position to perform the financial duties
and responsibilities of the city recorder in third, fourth,
and fifth class cities or the city auditor in first and second
class cities, as established by this chapter. The director
of finance shall be a qualified person appointed and removed
with the advice and consent of the governing body, and may
not assume the duties of the city treasurer. The governing
body may also adopt the financial administrative duties of
the director of finance prescribed in the Uniform Accounting
Manual for Utah Cities.
2003
10-6-158 Financial administration ordinance - Adoption - Purpose.
The governing body under the council-mayor optional form of government shall, and the governing body of any other city may, adopt a financial administration ordinance, which would, with appropriate budgetary controls, authorize the mayor, director of finance, or other official approved by the council, to act as the financial officer for the purpose of approving:
(1) payroll checks, if the checks are prepared in accordance with a salary schedule established in a personnel ordinance or resolution; or
(2) routine expenditures, such as utility bills, payroll-related
expenses, supplies, materials, and payments on city-approved
contracts and capital expenditures which were referenced
in the budget document and approved by an appropriation resolution
adopted for the current fiscal year.
1985
10-6-159 Financial administration ordinance - Provisions.
The financial administration ordinances adopted pursuant to Section 10-6-158 shall provide for the following:
(1) a maximum sum over which all purchases may not be made without the approval of the mayor in the council-mayor optional form of government or the governing body in other cities; however, this section shall not prevent the mayor in the council-mayor optional form of government or the governing body in other cities from approving all or part of a list of verified claims, including a specific claim in an amount in excess of the stated maximum, where certified by the appropriate financial officer or officers of the city;
(2) that the financial officer be bonded for a reasonable amount; and
(3) such other provisions as the governing body may deem
advisable.
1993
