Common use of Management of Funds Clause in Contracts

Management of Funds. 5.1 The Chamber, on an annual basis, shall provide to the City, its budget for the upcoming year, said budget to be approved by the City Council in writing in advance of the release of any local hotel occupancy tax funds. It is understood and agreed by and between the parties that, upon budget approval by the municipality, a fiduciary duty is created in the Chamber with respect to the expenditure of occupancy tax revenue provided. 5.2 Thereafter, the Chamber shall provide to the City Council periodic reports, on the activities that are conducted to benefit the City of Aransas Pass, listing the expenditures made from revenue from the local hotel occupancy tax. In addition the Chamber shall provide City with an annual financial statement. 5.3 It is further agreed that the Chamber shall maintain a separate financial account of the hotel occupancy tax funds received from the City and may not commingle the funds with any other account. It is understood and agreed by and between the parties that, upon budget approval by the City, a fiduciary duty is created in the Chamber with respect to expenditure of the revenue provided. 5.4 The Chamber shall maintain complete and accurate financial records of each receipt and expenditure of the hotel occupancy funds and, upon request of the City, shall make the records available for inspection and review during normal business hours i n accordance with the provisions of the Texas Public Information Act (Texas Government Code, Chapter 552) 5.5 Hotel occupancy funds may be spent by the Chamber for day-to-day operations including supplies, salaries, office rental , travel expenses and other administrative costs only, if such expenditures have been previously budgeted and approved by the City and if directly related to the promotion of tourism. The allocation of day-to-day operational costs is limited to 35% of hotel occupancy receipts funded by the City. 5.6 Hotel occupancy funds may be spent on Special Events only if the activity promotes overnight tourism or for the promotion of the Arts. Promotion for the Arts is limited to the allocation maximum of 15% of the hotel occupancy tax receipts funded by the City. 5.7 The Chamber shall submit an annual report of activities that will include itemized personnel costs by singular job descriptions. Such report and budget shall be provided not later than July 1st of each year for the next fiscal year. The budget shall provide a financial plan and shall contain the following: (1) A budget message, explanatory of the tourism/promotional activity contracted, which message shall contain an outline of the plan of the activity. and, in the following years, set forth the reasons for the salient changes from the previous year and any major budgetary revisions. Any subsequent budgetary revision exceeding 25% of any line item regarding tourism/promotional activity or l 0% of the entire budget will require City Council approval. All items of expenses shall contain detailed narratives as to the basis of the expenditure.

Management of Funds. 5.1 The Chamber, on an annual basis, shall provide to the City, its budget for the upcoming year, said budget to be approved by the City Council in writing in advance of the release of any local hotel occupancy tax funds. It is understood and agreed by and between the parties that, upon budget approval by the municipality, a fiduciary duty is created in the Chamber with respect to the expenditure of occupancy tax revenue provided. 5.2 Thereafter, the Chamber shall provide to the City Council periodic reports, on the activities that are conducted to benefit the City of Aransas Pass, listing the expenditures made from revenue from the local hotel occupancy tax. In addition the Chamber shall provide City with an annual financial statement. 5.3 It is further agreed that the Chamber shall maintain a separate financial account of the hotel occupancy tax funds received from the City Town and may not commingle the funds with any other account. It is understood and agreed by and between the parties that, upon budget approval by the CityTown, a fiduciary duty is created in the Chamber with respect to expenditure of the revenue provided. 5.4 5.2 The Chamber shall maintain complete and accurate financial records of each receipt and expenditure of the hotel occupancy funds and, and upon request of the CityTown Council or other person, shall make the records available for inspection and review during normal business hours i n in accordance with the provisions of the Texas Public Information Act (Texas Government Code, Chapter 552). 5.5 5.3 Hotel occupancy funds may be spent by the Chamber for day-to-day operations including supplies, salaries, office rental rental, travel expenses expenses, and other administrative costs onlycosts, only if such expenditures have been previously budgeted and approved by the City Town in advance and if shown to be directly related to the promotion of tourism. The allocation of day-to-day operational costs is limited to 35% of hotel occupancy receipts funded by the City. 5.6 Hotel occupancy funds may be spent on Special Events only if the activity promotes overnight tourism or for the promotion of the Arts. Promotion for the Arts is limited to the allocation maximum of 15% of and the hotel occupancy tax receipts funded by the Cityindustry. (See Exhibit “A”.) 5.7 5.4 The Chamber shall submit an annual report of activities and provide therein a projected line-item budget to the Town Council for approval that will include itemized personnel costs by singular job descriptionsdescriptions and capital outlay expenses if any. Such report and budget shall be provided not no later than July June 1st of each year for the next fiscal year. The budget shall provide a financial plan and shall contain the following:. (1) A budget message, message explanatory of the tourism/promotional activity contracted, which message shall contain an outline of the plan of the activity. activity and, in the following years, set forth the reasons for the salient changes from the previous year (as applicable) and any major budgetary revisions. Any subsequent budgetary revision exceeding 25% of any line item regarding tourism/promotional activity item, or l 010% of the entire budget budget, or $10,000.00 will require City Town Council approval. All items of expenses shall contain detailed narratives as to the basis of the expenditure. (2) A consolidated statement of anticipated receipts and expenditures for all funds. (3) Anticipated revenues shall be placed in parallel columns and display therein the: a) Actual amount for the last completed year; b) Estimated amount for the current fiscal year; c) Proposed amount for the ensuing fiscal year. (4) Planned expenditures shall be placed in parallel columns opposite the various items of expenditures and display the: a) Actual amount of such items of expenditures for the last completed fiscal year; b) Estimated amount for the current fiscal year; and c) Proposed amount for the ensuing fiscal year. 5.5 Fiscal quarterly financial reports, on a form prescribed by the Town (See Exhibit "B"), are required to be submitted to the Town Secretary no later than sixty (60) days after the end of each fiscal quarter. These reports shall identify a budget comparison of the hotel occupancy funds received by agreement and the uses thereof as defined in the overall budget. It shall show the amount budgeted for the fiscal year by category item and the actual expenditures of such within the fiscal year quarter being reported. In addition, all administrative expenses shall be reported in detail comparing the current fiscal year expenses projection, the current fiscal year actual expenses and the percent of the fiscal year projection. 5.6 The Chamber shall upon request submit an audited financial report to the Town, showing in detail the disbursement and use of hotel occupancy funds paid to the Chamber pursuant to this Agreement, no later than sixty (60) days after the end of each fiscal year of this Agreement. In addition, the Town reserves the right to request an annual audited financial statement reflecting the financial position of the entire Chamber for the duration of this Agreement. The Chamber agrees to provide a current audit (current defined as no later than the last fiscal year), such copy to be delivered within twenty (20) days upon receiving a request from the Town Secretary or Mayor.

Management of Funds. 5.1 The Chamber, on an annual basis, shall provide to the City, its budget for the upcoming year, said budget to be approved by the City Council in writing in advance of the release of any local hotel occupancy tax funds. It is understood and agreed by and between the parties that, upon budget approval by the municipality, a fiduciary duty is created in the Chamber with respect to the expenditure of occupancy tax revenue provided. 5.2 Thereafter, the Chamber shall provide to the City Council periodic reports, at least quarterly, on the activities that are conducted to benefit the City of Aransas Pass, listing the expenditures made from revenue from the local hotel occupancy tax. In addition addition, the Chamber shall provide City with an annual financial statement. 5.3 It is further agreed that the Chamber shall maintain a separate financial account of the hotel occupancy tax funds received from the City and may not commingle the funds with any other account. It is understood and agreed by and between the parties that, upon budget approval by the City, a fiduciary duty is created in the Chamber with respect to expenditure of the revenue provided. 5.4 The Chamber shall maintain complete and accurate financial records of each receipt and expenditure of the hotel occupancy funds and, upon request of the City, shall make the records available for inspection and review during normal business hours i n accordance with the provisions of the Texas Public Information Act (Texas Government Code, Chapter 552) 5.5 Hotel occupancy funds may be spent by the Chamber for day-to-day operations including supplies, salaries, office rental rental, travel expenses and other administrative costs only, if such expenditures have been previously budgeted and approved by the City and if directly related to the promotion of tourism. The allocation of day-to-day operational costs is limited to 35% of hotel occupancy receipts funded by the City. 5.6 Hotel occupancy funds may be spent on Special Events only if the activity promotes overnight tourism or for the promotion of the Arts. Promotion for the Arts is limited to the allocation maximum of 15% of the hotel occupancy tax receipts funded by the City. 5.7 The Chamber shall submit an annual report of activities that will include itemized personnel costs by singular job descriptions. Such report and budget shall be provided not later than July 1st of each year for the next fiscal year. The budget shall provide a financial plan and shall contain the following: (1) A budget message, explanatory of the tourism/promotional activity contracted, which message shall contain an outline of the plan of the activity. activity and, in the following years, set forth the reasons for the salient changes from the previous year and any major budgetary revisions. Any subsequent budgetary revision exceeding 25% of any line item regarding tourism/promotional activity or l 0% of the entire budget will require City Council approval. All items of expenses shall contain detailed narratives as to the basis of the expenditure.

Management of Funds. 5.1 The Chamber, on an annual basis, shall provide to the City, its budget for the upcoming year, said budget to be approved by the City Council in writing in advance of the release of any local hotel occupancy tax funds. It is understood and agreed by and between the parties that, upon budget approval by the municipality, a fiduciary duty is created in the Chamber with respect to the expenditure of occupancy tax revenue provided. 5.2 Thereafter, the Chamber shall provide to the City Council periodic reports, at least quarterly, on the activities that are conducted to benefit the City of Aransas Pass, listing the expenditures made from revenue from the local hotel occupancy tax. In addition the Chamber shall provide City with an annual financial statement. 5.3 It is further agreed that the Chamber shall maintain a separate financial account of the hotel occupancy tax funds received from the City and may not commingle the funds with any other account. It is understood and agreed by and between the parties that, upon budget approval by the City, a fiduciary duty is created in the Chamber with respect to expenditure of the revenue provided. 5.4 The Chamber shall maintain complete and accurate financial records of each receipt and expenditure of the hotel occupancy funds and, upon request of the City, shall make the records available for inspection and review during normal business hours i n accordance with the provisions of the Texas Public Information Act (Texas Government Code, Chapter 552) 5.5 Hotel occupancy funds may be spent by the Chamber for day-to-day operations including supplies, salaries, office rental , travel expenses and other administrative costs only, if such expenditures have been previously budgeted and approved by the City and if directly related to the promotion of tourism. The allocation of day-to-day operational costs is limited to 35% of hotel occupancy receipts funded by the City. 5.6 Hotel occupancy funds may be spent on Special Events only if the activity promotes overnight tourism or for the promotion of the Arts. Promotion for the Arts is limited to the allocation maximum of 15% of the hotel occupancy tax receipts funded by the City. 5.7 The Chamber shall submit an annual report of activities that will include itemized personnel costs by singular job descriptions. Such report and budget shall be provided not later than July 1st of each year for the next fiscal year. The budget shall provide a financial plan and shall contain the following: (1) A budget message, explanatory of the tourism/promotional activity contracted, which message shall contain an outline of the plan of the activity. and, in the following years, set forth the reasons for the salient changes from the previous year and any major budgetary revisions. Any subsequent budgetary revision exceeding 25% of any line item regarding tourism/promotional activity or l 0% of the entire budget will require City Council approval. All items of expenses shall contain detailed narratives as to the basis of the expenditure.