A reserve withdrawal is the removal of funds from a municipal reserve for an authorized purpose. Withdrawals must typically align with the specific reserve's designated purpose—equipment replacement reserves fund equipment purchases, capital reserves fund capital projects, and so on. Council authorization through budgets or specific resolutions is usually required. Unplanned withdrawals may address emergencies or opportunities not anticipated in the budget. After withdrawals, municipalities should plan to replenish reserves to maintain target levels. Tracking withdrawals ensures reserves are used appropriately and balances remain sufficient. Large or frequent withdrawals may signal financial stress or inadequate ongoing revenue.