HomeMy WebLinkAbout12 - Changes to the Finance Committee - PowerPoint (Staff)January 13, 2015
Agenda Item No. 12
Changes to the
Finance Committee
January 13, 2015
Membership Path A
Path A. The Finance Committee would have seven (7)
members as follows:
1 . Each Council Member must appoint one Committee
member.
2. At most, three Council Members can appoint
themselves. If there are more than three Council
Members who want to be on the Committee, the
Mayor chooses which three.
3. All Members have equal voting status.
4. The Committee selects the Committee chair.
Membership Path B
Path B.
follows:
The Finance Committee would have seven (7) members as
1 . Three Council Members would be appointed by the Mayor,
subject to approval by the full City Council.
2. Four "Citizen Advisors" would be recommended by the four
Council members not on the Committee, and these four citizen
advisors would be subject to approval by the full City Council.
3. Citizen Advisors have equal voting status.
4. The Mayor appoints the Committee chair, subject to
confirmation of the full City Council.
Under Either Path:
■Council Members' terms would be indefinite, pending specific
City Council action to replace them.
• Citizen members' terms would last one year, but reappointments
could be made annually.
■Appointed members must be:
• Registered voters of the city,
• Residents of the City,
• Appointed by a Council Member, and
• It is recommended but not required that they be a CPA, CFA
(Certified Financial Advisor), Business/ Finance major or other such
designation as may be appropriate.
Under Either Path, cont:
■Meetings to be monthly or semi - monthly in the City Council
Chambers, as required, on weeknight (M -Th) evenings no earlier
than 6:00 PM to encourage public participation.
■Committee would do a more detailed review of the budget prior
to the City Manager's presentation of the budget to the City
Council, and that the Committee's recommendations would be
made public and forwarded to the full City Council.
Summary Comparison of Newport Beach Finance
Committee to Selected Cities with Citizen Financial
Advisory Committees
Population:
86,874
242,651
90,179
Number of City
7
5
5
Council Members:
Number of Members:
3 Council Members
5 citizens
7 citizens, with 1 alternate
Title:
Finance Committee
Finance Commission
Budget Review Committee
Current Status:
Active
Active
Active
Appointment:
Appointed by the Mayor and
City Council Members each appoint
Appointed by City Council as a
confirmed by the full City Council.
one member of the Board to serve.
whole.
Term:
Indefinite term pending City Council
4 years
3 years
action
Meeting Frequency:
Average every other month
Twice Monthly
Monthly
Purpose:
Review budget; make financial policy
Give advice to the City Council
Review and discuss the status of
recommendations; set goals to
regarding the funding of activities
each department's budget; consider
maximize revenues, minimize costs,
and programs; and review actual vs.
cost saving measures to reduce or
and identify or review best methods
planned revenue and expenditure
eliminate any possible deficit in
to fund the City's major capital
levels to help ensure efficiency. Also
annual budget proposals; conduct a
needs; conduct audit conference
provide advice in financial planning
thorough and analytical review of
meetings with auditors; review
and funding; review financial
the annual Capital Improvement
annually the timing, means of
documents and proposals;' review
Budget and recommend to the
financing, and fiscal impacts
fiscal impact on contracts; review
Finance Director and City Council
associated with funding Facilities
legislation that impacts City
recommendations for a balanced
Financing Plan projects.
finances; and review service
budget and changes in capital project
delivery.
priorities as deemed appropriate.
Audit Committee:
3 Council Members
None
None
Summary
Comparison of
Newport Beach
Finance
Committee
to Selected Cities
with Citizen
Financial
Advisory
Evaluative Factors
Committees, continued
Newport Beach
Redondo Beach
Huntington Beach
Population:
86,874
67,717
195,199
Number of City
7
7
7
Council Members:
Number of Members:
3 Council Members
7 citizens
7 citizens
Title:
Finance Committee
Budget and Finance Commission
Investment Advisory Board
Current Status:
Active
Active
Defunct- Disbanded in 2011
Appointment:
Appointed by the Mayor and
Appointed by the Mayor, subject to
City Council Members each appoint
confirmed by the full City Council.
ratification by the City Council.
one member of the Board to serve
the same term as the City Council
Member.
Term:
Indefinite term pending City Council
4 years
4 years
action
Meeting Frequency:
Average every other month
Monthly
Quarterly
Purpose:
Review budget; make financial policy
Maintain a continuous study of
Act in an advisory capacity to the
recommendations; set goals to
sources of municipal revenue and
City Treasurer and the City Council in
maximize revenues, minimize costs,
methods of proper spending; assist
matters pertaining to the financial
and identify or review best methods
the City Manager and City Council in
planning and the City's investments
to fund the City's major capital
financial planning; recommend
as per the Municipal Code.
needs; conduct audit conference
methods of obtaining and financing
meetings with auditors; review
permanent public improvements;
annually the timing, means of
and perform such other duties as
financing, and fiscal impacts
directed by the City Manager or the
associated with funding Facilities
City Council.
Financing Plan projects.
Audit Committee:
3 Council Members
City Manager and 2 Council
None
Members