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HomeMy WebLinkAboutOrdinances - O-78-144 - 12/04/1978 - TRANSFER OF FUNDS FROM W/S FUND TO GENERAL FUNDO R D I N A ;I C E 0-78-144 WHEREAS, for many years prior hereto, various and sundry items of expenditure, in an amount estimated to be in excess of $80,000.00, have been charged to the General Corporate Fund and paid for by the revenues of said fund when in fact they should have been charged as an expenditure to the Waterworks and Sewer- age Fund and paid for out of its revenues, and as a result of such inadvertent or erroneous allocations, the assets of the General Corporate Fund have been understated by the foregoing amount and the assets of the Waterworks and Sewerage Fund were overstated by said amount; and WHEREAS, because of the foregoing accounting procedures it incorrectly appeared that the general corporate funds were insufficient to meet certain past obligations thereof; and WHEREAS, therefore, the sum of $82,448.00 were "borrowed" from the overstated Waterworks and Sewerage Fund by the General Fund to meet the latter's accumulated overstated obligations, thereby creating an apparent, but incorrect account receivable in the amount of $82,448.00 in the Waterworks and Sewerage Fund from the General Fund; and WHEREAS, in the interest of accounting accuracy the books and accounts of the City should be adjusted to correctly and accurately reflect the net assets and equities of the afore- said funds of the City; NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of McHenry, Illinois that the aforesaid Waterworks and Sewerage Fund account receivable in the amount of $82,448.00 and the same amount shown in the General Corporate Fund as a liability Due to Other Funds be and the same are hereby extin- guished, and that appropriate adjusting entries be made in the books and accounts of the City to reflect the foregoing action. PASSED this 4th day of December, 1978. AYES: Bolger, Harker, Nolan, Datz, Smith, Adams, Rogers, Schoole NAYS: None ABSENT: None APPROVED this 4th day of December, 1978. ATTEST: Mayor rite rlark