Request By:
Mr. J. Bruce Miller
Jefferson County Attorney
Twenty Seventh Floor
Citizens Plaza
Louisville, Kentucky 40202
Opinion
Opinion By: Steven L. Beshear, Attorney General; By: Charles W. Runyan, Assistant Deputy Attorney General
The current budget of Jefferson County was adopted by fiscal court through formal ordinance enactment. See KRS 68.260 and KRS 67.075 et seq.
At the last meeting of fiscal court, a motion was made for a resolution to change certain line items in the new budget.
The question arises as to whether the budget should be altered in its "line items" by an ordinance or by a resolution.
We understand that on the occasion you mentioned it was desired to transfer some $75,000 in monies budgeted from the Louisville Public Library book fund to the library's operations fund. Had not the fiscal court taken that action, we understand that the library board would have closed three major branches. That emergency was, we have been told, outlined in the resolution.
It appears that what the fiscal court was really seeking to do was to effect a transfer of funds, pursuant to KRS 68.290. That statute reads:
"The fiscal court may transfer money from one (1) budget fund to another to provide for emergencies. The order of the fiscal court making the transfer shall show the nature of the emergency and the reason for making the transfer. The fiscal court shall not have any power to transfer money from any sinking fund or special fund raised for a specific purpose until the obligation or purpose for which the fund was raised has been satisfied."
Since the statute literally uses the term "order of fiscal court", it is our opinion that a fiscal court resolution or order, a resolution being equivalent to an order, would suffice.
The appellate court has held that the court has a duty to construe statutes literally if it is reasonably possible to do so.
Barrett v. Stephany, Ky., 510 S.W.2d 524 (1974). Here it is reasonably possible to do so. Under the statute it is imperative, however, that the resolution or order show the nature of the emergency and the reason for making such transfer or transfers.
It is true that KRS 67.076(5) provides that county ordinances shall be amended by ordinance and only by setting out in full each amended section.
The definition of "county ordinance" is stated in KRS 67.075(1):
"For the purposes of this chapter, the following words shall have the following meanings:
"County ordinance" means (a) an official written act of a fiscal court, the effect of which is general and lasting in nature, which is enforceable within the jurisdiction of the county; or (b) a lawful appropriation of money."
The transfer of funds action does not fit under the "county ordinance" definition, since no "appropriation" of money is involved. This process is merely a transferring or shuffling of money between budget funds. The appropriation is made when the budget was adopted. A final appropriation is made when a specific order or resolution of fiscal court provides for final disbursement. Thus under KRS 67.076(1), other official actions [other than those requiring an ordinance] , may be taken by resolution, order or motion.
Under the facts given, it is our opinion that the resolution device was appropriate and legal.