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3 <br />Long-Term /Reserve Fund Recommendations <br />AsofDecember1,1999,the School/Parks Reserve Fund balance is $2,38million, with $2.24 million in revenue <br />to the fund and $0.14million in accrued interest. The fund hasreceivedone-cent on the tax base each year in <br />revenue, which translates into an estimated $682,000 in FY 99-00. In June, the Board changed the future <br />funding allocation from one cent to 7/3 cent on the tax base per year, with Z/3 cent going to county capital <br />facilities needs. <br />A. It is recommended that the School/Parks Reserve not be used for the current needs, and instead be designated <br />for longer-term land acquisition needs, with the following parameters: <br />1. The creation of the Parks Council is currently deferred pending discussion of the Joint Master <br />Recreation and Parks Work Group report <br />2. The interest accumulated in the Reserve Fund should be available for possible use to address facility <br />development needs not addressed through bonds or other means. There is currently an estimated <br />$147,000 in interest accrued to this fund. However, County funding assistance for facility development <br />should be contingent the Board of Commissioners having a say in the development of the site and that <br />value engineering is pursued for the project. <br />3. The existing $2.24 million in the fund (minus the interest above) should be retained for future land <br />acquisition. Bond funds and other sources should be used for facility development. <br />4. In the interest of maintaining maximum flexibility for the Board of Commissioners, the <br />school/recreation nexus need not always be readily apparent at the time of acquisition. <br />5. The Committee recommended that future one-cent allocations to this fund be split and re-allocated as <br />follows: <br />a. 50% to County capital facility needs (this will amount to approximately $341,000 in FY 99-00) <br />b. 50% retained for land acquisition in the reserve fund (also $341,000 in FY 99-00) <br />In June, the board changed the future funding allocation from one cent to 7/3 cent on the tax <br />base per year, with 2/3 cent going to county capital facilities needs. <br />