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Wheat Ridge [Change Location]

Lower spending limit approved by Council

Article Contributed on: 6/12/2009 9:44:27 AM











Please see the following memo and Mile High News link:

www.milehighnews.com/Articles-i-2009-06-11-210990.114125_Council_adjusts_spending_approval_limit.html

Memorandum

TO: City Council

THROUGH: Randy Young, City Manager

FROM: Jerry DiTullio, Mayor
Wanda Sang, Mayor pro tem
Mike Stites, Council
Terry Womble, Council
Dean Gokey, Council

DATE: June 8, 2009

SUBJECT: Purchasing Policy - Lower Spending Limit for City Manager's Office

EXECUTIVE SUMMARY

The current spending limit of the City Manager's Office without Council approval is $25,000 or less. Any expenditure over $25,000 must be approved by a vote of City Council.Council Members Sang, Stites, Womble, and Gokey are supportive of bringing the spending limit of the City Manager's Office to a regular business meeting for discussion and possibly lowering the dollar amount the City Manager's Office may expend without Council approval. Due to the recent economic downturn, and in the spirit of fiscal responsibility, it would behoove Council to review additional expenditures, especially for consulting services over $15,000.

BACKGROUND

History

In 2002 Council approved Resolution 27-2002 which set the spending limit of the City Manager's Office to be $25,000 or less. Up until 2002, the spending limit for the City Manager's Office was lower and at one time the limit was set at $3000 in the late 1990s.

Analysis

Below is a Strengths, Weaknesses, Opportunities and Threats (S.W.O.T.)analysis on lowering the spending limit of the City Manager's Office.

Strengths

  • Increased fiscal accountability.
  • Increased Council review of consulting services.
  • Increased Council review of all general expenditures.

Weaknesses

  • Less flexibility of staff to spend without Council approval.
  • Expenditures over the new spending limit would be on hold until a regular Council Business Meeting.

Opportunities

  • Increased potential citizen input and review of City expenditures.
  • Increased Council input on City expenditures.

Threats

  • Elected Officials may be accused of micro-management.

RECOMMENDATIONS

Included below are two options for Council's consideration:

1. Council lowers the spending limit of the City Manager's Office without Council approval to $15,000 or any other lower dollar amount that Council is comfortable with.

2. No changes to policy.

Please feel free to call me with questions or concerns. Thank you.

JD/js

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