WHEREAS, Sections 5705.09 and 5705.12 of the Ohio Revised Code require that cities establish certain specified funds within their fiscal records, and permit, but do not require, the creation of additional special funds; and
WHEREAS, the City Manager has recommended the creation of a new fund in the City’s financial records to be known as the Payroll Clearing Fund, which will allow for the separate accounting of entries relating to the City’s payroll processing; and
WHEREAS, pursuant to Section 5705.12 of the Ohio Revised Code, the State Auditor’s approval is required in order to establish this fund; and
WHEREAS, Council desires to accept the recommendation of the City Manager;
Through this ordinance a new fund entitled the Payroll Clearing Fund is created, subject to and requiring the approval of the State Auditor as provided in Section 5705.12 of the Ohio Revised Code.
The Director of Finance is hereby authorized to seek the State Auditor’s approval of the fund created in Section I, and to take such related actions as may be necessary to secure state approval. If such approval is granted, the Payroll Clearing Fund shall be promptly entered upon the fiscal records of this City and may be utilized immediately. If such approval is declined, and such declination is final, this ordinance shall thereupon become null and void, and shall be repealed automatically by operation of law.
The Payroll Clearing Fund shall be utilized as a clearinghouse for entries relating to the City’s payroll. It is intended to simplify bank reconciliation due to the timing of withholdings and remittances. No cash balance shall accrue or remain after all payments and remittances have been made.
This ordinance shall be and remain in force from and after the earliest date permitted by law.
PASSED BY COUNCIL OF THE CITY OF OAKWOOD, this day of , 2019.