ADOPTED - APRIL 27, 2004

Agenda Item No. 8



Introduced by the County Services and Finance Committees of the:



RESOLUTION APPROVING A DEFICIT ELIMINATION PLAN



RESOLUTION #04-123



WHEREAS, an accounting deficit will exist in the Drain GIS Study Fund at the end of 2003, and



WHEREAS, a deficit elimination plan must be approved by the County Board of Commissioners and filed with the State of Michigan Local Audit Division.

THEREFORE BE IT RESOLVED, that the Ingham County Board of Commissioners approves the attached deficit elimination plan.



COUNTY SERVICES: Yeas: Swope, Thomas, De Leon, Hertel, Severino

Nays: None Absent: Nevin Approved 4/20/04



FINANCE: Yeas: Lynch, Grebner, Dedden, De Leon, Thomas, Minter

Nays: None Absent: None Approved 4/21/04

MEMORANDUM





TO: County Services Committee

Finance Committee



FROM: Gerald Ambrose



DATE: April 8, 2004



SUBJECT: Deficit Elimination Plan



Resolution #03-72 authorized obtaining digital orthophotographs of Ingham County. The resolution specified that the cost of the project would be reimbursed by municipalities within the County.



The project is accounted for in the Drain GIS Study Fund. At December 31, 2003, the project had incurred expenditures of $85,000. Collections and commitments from municipalities exceed $200,000. However, generally accepted accounting principles only permit recognition of currently available revenues. Consequently, the Drain GIS Study Fund shows a $38,636 accounting deficit at December 31, 2003. Additional expenditures are anticipated in 2004 and perhaps in 2005. Collections from municipalities and federal matching funds will be adequate to eliminate any deficit by the end of 2005.



The State of Michigan requires the County Board of Commissioners to approve a Deficit Elimination Plan for any fund that will report a deficit. This memo indicating elimination of the Drain GIS Study Fund deficit by 2005 should satisfy that requirement.