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Town of Mashpee Board of Selectmen <br /> Policy Number 073 <br /> Unappropriated Cash Available(f=ormerly"Free Cash") Policy <br /> I. POLICY <br /> The Town of Mashpee will strive to maintain its annual certified "Unappropriated Cash Available" in the <br /> range of five to ten percent (5-10%) of the annual operating budget. It will avoid fully depleting those <br /> funds in any fiscal year to ensure the succeeding year's calculation.begins with a positive balance. The <br /> Town will make an effort to prioritize its use of "Unappropriated Cash Available" for one-time <br /> expenditures and.limit its use to fund general, annual operating expenses. <br /> 11, PURPOSE <br /> A conservative"Unappropriated Cash Available"policy may positively impact the Town's credit rating and, <br /> consequently, its long term costs to fund major projects. "Unappropriated Cash Available" balances are <br /> a widely accepted measure of good financial standing and may be used as an indicator that the Town is <br /> controlling spending on an annual basis. it also provides financial means against a sudden loss of a <br /> revenue source. This policy serves to ensure resources are available to stabilize finances and sustain <br /> operations during difficult economic periods. This resource maybe used to finance emergencies or other <br /> unforeseen needs. <br /> Ill. PROCEDURE <br /> The Financial Team will provide the Town Manager with conservative revenue projections at the start of <br /> the annual budget cycle. Department Heads will be encouraged to carefully manage their appropriations <br /> and produce budget turnbacks whenever possible. <br /> Proposed: September 11,2017 <br /> Pages: 1 <br /> 073-1 <br />