Agenda Packets - 2024/05/13 - Laserfiche WebLink

Home Browse Search

NOTE 2 — STEWARDSHIP, COMPLIANCE, AND ACCOUNTABILITY A. Budgetary Information Annual budgets are adopted on a basis consistent with accounting principles generally accepted in the United States of America for the General Fund and special revenue funds. Debt service funds do not have annual budgets but follow the requirements set at the time of bond issuance. Capital projects funds adopt project -length budgets. All annual appropriations lapse at fiscal year-end. The City follows these procedures in establishing the budgetary data reflected in the financial statements: • Prior to September 15, the city administrator submits to the City Council a proposed operating budget for the fiscal year commencing the following January 1. The operating budget includes proposed expenditures and the means of financing them. • Informational meetings are held on the preliminary budget during the budget process with formal public hearings being conducted between November 29 and December 30 to obtain taxpayer comments. • The budget is legally enacted through passage of a resolution prior to December 31. • The City Council may authorize transfers of budgeted amounts between departments within any fund. • Budgetary control is maintained at the department level within each fund. Also inherent in this controlling function is the management philosophy that the existence of a particular item or appropriation in the approved budget does not automatically mean that it will be spent. The budget process has flexibility in that, where need has been properly demonstrated, an adjustment can be made within the department budget by the city administrator, or between departments by the City Council. Therefore, there is a constant review process and expenditures are not approved until it has been determined that: (1) adequate funds were appropriated, (2) the expenditure is still necessary, and (3) funds are available. B. Excess of Expenditures Over Appropriations For the year ended December 31, 2023, expenditures exceeded appropriations in the following departments (the legal level of budgetary control) of the City's funds with budgets approved by the City Council. These deficiencies were funded by greater than anticipated revenues or fund balance. General Fund Advisory commissions $ 31,252 Administration $ 13,255 Elections $ 4,056 Finance $ 37,408 Central services $ 80,874 Government buildings $ 16,000 Vehicle maintenance $ 14,653 Parks $ 23,139 Forestry $ 26,919 Convention and visitors bureau $ 4,995 Interest and fiscal charges $ 690 Major special revenue funds Community Center $ 39,804 TIF District No. 5 $ 731,864 Nonmajor special revenue funds Police Forfeiture $ 2,873 Recycling $ 3,020 TIF District No. 6 $ 16,530 -42-