CHAPTER 2. ADMINISTRATIONCHAPTER 2. ADMINISTRATION\Article IV. Municipal Accounting; Finance

The system of fiscal procedure, accounting and reporting for Cities of the Second Class in the State of Kansas as established by law and as authorized and directed hereafter shall govern the handling, safekeeping and disbursement of funds of the City of Ottawa.

(Code 1982)

A.    Each year, sufficiently prior to August 1st, the City Manager or his/her designee shall prepare or cause to be prepared the annual City Budget for the fiscal year beginning the following January 1st.  S/He shall receive estimates from the several City Departments of their requirements for the coming year and details in such form as may be prepared for the purpose.  The budget shall be prepared in accordance with Kansas Statutes Annotated, as amended, and the City Manager or his/her designee may prepare or cause to be prepared such additional details as will reflect the fiscal needs of the City and make recommendations pertaining thereto.  The budget shall be submitted to the Commission for its approval and notice of the budget hearing and the budget published in such form as shall be required by law.

B.    The budget, as originally prepared or as may be amended, shall be adopted by the Commission.  The budget together with an ordinance levying the required taxes for the ensuing year shall be certified to the County Clerk as provided by law.

(Code 1982; K.S.A. 12-1014; K.S.A. 79-2925 et seq.)

Expenditures of City funds for the payment of any claim against the City shall be lawfully made on the basis of the amount provided therefore in the annual City Budget, which shall be appropriated in total by ordinance prior to January 1, of each year.

(Code 1982; K.S.A. 79-2927 et seq.)

The Director of Finance shall issue all warrants and combined warrant-checks and perform such other accounting duties and keep such fiscal records as may be required of him by the City Manager.

(Code 1982; K.S.A. 10-801 et seq.; see also 2-501)

A.    All claims, bills and accounts against the City shall be filed with the Director of Finance, who shall examine them in detail and prepare the allowance and payment. S/He shall keep books and accounts of all receipts and disbursements of money and put under proper headings each source of receipts and the cause of its disbursement, and shall keep such other accounts as may be necessary to show a complete financial statement of the City.

B.    The Director of Finance shall be prepared at every meeting of the Commission to give such information concerning the finances as may be required.

C.    At the end of each month, the Director of Finance shall strike a trial balance of all books, showing a complete and accurate statement of the financial condition of the City.  At the close of the fiscal year, the Director of Finance shall make a complete and accurate statement showing in detail the receipts of the City from all sources and the expenditures of the City for all purposes.

(Code 1982; K.S.A. 75-1120 et seq.; K.S.A. 75-1122; K.S.A. 79-2927)

The Director of Finance shall open and keep an account of each fund of the annual budget, showing the total amount budgeted for the fund, the date and the amounts paid out of the fund.

(Code 1982; K.S.A. 79-2934)

The City Clerk shall by virtue of his office be the collector of all monies and accounts due the City by reason of any ordinance requiring the payment of license, user, connection, contract fees or taxes, permits and other charges for the sale of water, electricity or other services offered by the City.  S/He shall keep the accounts of the Utility Department and any other Departments, rendering bills therefore, and shall collect and account for all monies received by his office from all such sources.  Such monies shall be paid over to the City Treasurer in a timely manner.

(Code 1982; K.S.A. 76-1120 et seq.; K.S.A. 75-1122)

There is hereby established a petty cash fund in the Director of Finance Office and Auditorium Authority Office.  Such funds shall be used to pay postage, freight, temporary labor and other authorized expenses.

(Code 2015)

Such petty cash funds shall not exceed at any one time the sum of $2,500.00, and shall be paid out on order of the Finance Director or designee by voucher which shall clearly state its purpose.

(Code 2015)

Whenever the petty cash fund becomes low or depleted, the City Clerk shall prepare vouchers covering such expenses as have been paid from the petty cash fund and shall process the vouchers in the same manner as are all other items of indebtedness against the City.  Warrants issued therefore shall be payable to the petty cash fund and shall be deposited therein to restore such petty cash fund to its original amount for use as provided in this division.

(Code 1982)

The Police Department’s petty cash fund shall be funded by receipts from fees for the distribution of accident reports and driver’s license records.

(Code 2015)

The Auditorium Department’s petty cash fund shall be funded by ticket receipts.

(Code 1982)

The City Treasurer shall receive from the County Treasurer all monies and evidences of indebtedness collected for and payable to the City and shall give to the County Treasurer duplicate receipts, one of which shall be filed with the City Clerk.  The City Treasurer shall keep accounts of all monies and evidences of indebtedness received and disbursed on behalf of the City, specifying the time of receipt and disbursement and from what sources received and to whom disbursed on account.  The Treasurer shall publish or cause to be published a quarterly financial statement of the City in the manner and style provided by Kansas Statutes Annotated.

(Code 1982; K.S.A. 12-1608; K.S.A. 12-1678a)

All public monies that are received and are the responsibility of the City Treasurer shall be deposited in a bank or banks within the City, but only after such bank or banks have been designated by the Commission as a depository bank as qualified to receive deposits of public monies in accordance with the provisions of law.  The Treasurer shall make all such deposits in his name as Treasurer of the City of Ottawa.

(Code 1982; K.S.A. 9-1401(b); K.S.A. 9-1401 et seq.; K.S.A. 10-801 et seq.)

The City Treasurer shall pay out the funds of the City upon warrants or warrant-checks drawn by the Director of Finance and countersigned by the City Manager.  The Treasurer shall not knowingly pay any order, warrant, check or other evidence of indebtedness out of the treasury in excess of the funds actually on hand in the treasury at the time for such purpose unless such payment is authorized in the manner authorized by law as an exception to the “cash basis act.” The Treasurer shall keep a record of the amount of money on hand in the treasury, which record shall show at all times the amount in each particular fund and each order, warrant, warrant-check or other evidence of indebtedness drawn on the treasury and paid.

(Code 1982; K.S.A. 10-801 et seq.)

The City Treasurer shall keep a correct record of all warrants and all warrant-checks issued, showing the number, date and amount thereof, on what fund drawn, and the name of the person or party to whom such warrants or warrant-checks are made payable.

(Code 1982; K.S.A. 10-804)

The City Manager shall, subject to Section 2-401, make suitable rules and regulations for the purchase and procurement of all supplies, equipment and replacements required by the several City Departments.  S/He may appoint a City Purchasing Agent and channel all procurements authorized in this article through such office, subject however, to such exceptions for purchase of items of immediate necessity as may be required by the several City Departments.

(Code 1982; K.S.A. 75-3740a; see also 2-201)

All monies of the City of Ottawa, not currently needed for the normal operating functions of said City, are hereby designated as inactive funds.

(Code 1982)

The inactive funds of the City in accordance with the procedure hereinafter prescribed may be invested in:

A.    Direct obligations of the United States Government which are guaranteed as to principal.

B.    Temporary notes of the City issued pursuant to K.S.A. 10-123 as amended.

C.    Bank time certificates of deposit which are protected by the Federal Deposit Insurance Corporation.

D.    No-fund warrants of the City.

E.    Savings and loan certificates of deposit which are protected by the Federal Savings and Loan Insurance Corporation.

F.    Municipal Investment Pool of the State of Kansas.

(Code 1982)

The term “bank time deposit, open account”, as used in Section 2-418 of this Article, means a city bank account which is a bank deposit, other than a time certificate of deposit, with respect to which there is in force a written contract between the City and the designated bank which provides that neither the whole nor any part of such deposit may be withdrawn, by check or otherwise, prior to:

A.    The date of maturity which shall be not less than one (1) day after the date of deposit, or;

B.    The expiration of the period of notice which must be given by the City in writing not less than thirty (30) days in advance of withdrawal.

The bank in which the deposit is made shall have given adequate security as provided by law for such bank time deposit, open account.

(Code 1982)

Investments purchased shall be under the joint care and control of the Director of Finance and the City Treasurer.

(Code 1982)

All interest earned by the investment of said inactive funds shall be credited pro-rata to the fund or funds from which the investment was made.

(Code 1982)

The City Treasurer shall at all times maintain a complete and detailed record of all investments.

(Code 1982)

A.    The City hereby establishes an employee benefits contribution as part of the General Fund the purpose of employee benefits prescribed by Subsection (B).

B.    The employer’s share of the cost of employee benefits authorized for payment after January 1, 1993, from the fund created by Subsection (A) shall include the following:

1.    Social Security.

2.    Kansas Public Employees Retirement System.

3.    Kansas Police and Firemen’s Retirement System.

4.    Worker’s Compensation Benefits.

5.    Employment security, unemployment compensation benefits.

6.    Health, disability, dental and life insurance benefits.

(Code 2015)