Nebraska City commissioners pondered how best to use a windfall in cash reserves at their meeting Monday, where City Administrator Lou Leone suggested the creation of a reserve fund for equipment.
Leone told commissioners that sales taxes are higher than expected and wages have been lower, pushing the city’s reserves about 50 percent of yearly expenditures. He said the city normally seeks reserves of 40 to 42 percent and the city could spend $700,000 to get to that level.
Finance Commissioner Gloria Glover moved to set the cash reserve level at 35 percent and establish a fund to set aside money for purchase of items like a mower, police car or fire truck.
Mayor Bryan Bequette said reserve funds can be suspect because future councils might raid them for other uses.