Management Report and Recommendations 12/31/1983

Home Search

City of Lino Lakes Management Report, Page 39 current economic environment and the State budget crisis increases the need for timely financial data in the management of Minnesota Cities. We feel that full implementation of the financial accounting system should be made a priority of the City. Full implementation should include: • Obtaining capability (in -house computer system or service bureau system) which will provide electronic data processing for accounting records on the accrual /modified accrual basis in accordance with Minimum Reporting Standards for Minnesota Cities. • Obtaining word processing capabilities for improved efficiency in completing resolutions, minutes, correspondence, scheduling and many other applications. • Full general ledger accounting controls over all assets, liabilities and equity accounts in addition to revenue and expenditures. • Gradual conversion from the cash mode to the accrual /modified accrual mode with complete conversion projected. • Greater utilization of City personnel (rather than outside consultants) to perform the annual year -end closing process. • Periodic cash flow projections of all debt service funds to the final maturity of each bond issue and annual cash flow projections on all City funds to assist in investment strategies. • Implementation of internal audit techniques and procedures to timely assure the accuracy and propriety of recorded transactions and, there - fore, internal financial reporting. • Implementation of internal periodic review procedures (along with internal audit procedures) to assure that the City's internal financial accounting system responds to changing situations on a timely basis and continues to be a viable tool by which to manage the financial opera - tions of the City. • Review of Special Assessment - Construction and Debt Files to assure that the City's financial management system over construction and debt financing is adequate and to give the City the ability to properly and timely monitor and analyze the current status of its construction pro- jects.