Agenda Packets - 1988/08/01 - Laserfiche WebLink

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UM TO FTE&KWJJA=M DECE jBBR al. = bla—Li.OP�—Wtll.flrsnt Accoy ntiri Po licit, The North Suburban Cable Commission was established by a joint powers agreement between the Cities of Arden Hills, Falcon Heights, Lauderdale, Little Canada, Hounds View, New Brighton, North Oaks, St. Anthony, Shoreview and Roseville. The general purpose of the commission is Lo administer and enforce a cable communications franchise in member municipalities. The Commission, being established by the joint powers agreement, is considered a gevernrental entity and as such is exempt from State and Federal income taxes. The accounting policies of the Commission conform to generally accepted accounting principles applicable to governmental units. The following is a summary of the more significant policies: A. Fund Accounting The accounts of tl;e Commission are organized on the basis of funds and account groups, each of which is considered a separate accounting entity. The operations of each fund at- accounted for with a separate set of self — balancing accounts that comprise its assets, liabilities, fund equity, revenues, and eXpenditures, an appropriate. Resources are allocated to and accounted for in ;ndividual funds based upTn the purposes for which V they are to be spent and the means by which spending activities are controlled. T_hc Commisil a iun has one fund, the Operating Fund, used to account for revenues and expenditures in connection with general operations. B. Measurement Focus The accounting and reporting trearment applied to the fixed assets associated with a fund are determined by the fund's measurement foes. The operating fund is accounted for or. a spending or "financial flow" measurement focus. T::is means that only current assets and current liabilities are generally included. in the balacce sheet. The reported fund balance is considered a measure of "available snendable resources." Operating statements present increases and decreases in net current assets. Accordingly, they are said to present a summary of sources and uses of "available spendable resources" during a period. Fixed assets used in operations (general fixed assets) are accounted for in the general fixed assets account group, rather than in the fund. No depreciation has been provided on general fixed assets. The account group is not a "fund". It is concerned only with the measurement of financial position. It is not involved with measurement of results of operations. J m