HomeMy WebLinkAbout2017-R-08 - Financial Policies RESOLUTION NO. 2017-R-08
A RESOLUTION APPROVING INVESTMENT POLICY,APPROVING BROKER/DEALERS,AND
INVESTMENT STRATEGIES
WHEREAS,The Public Funds Act of Texas(the "Act") as amended, requires the City Council of the
City of Stephenville to annually review the investment policy, broker/dealers list, and investment
strategies of the City and that the written instrument so adopted shall record any changes made to either
the investment policy, broker/dealers list, or investment strategies.
NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of Stephenville, after
reviewing the investment policy, broker/dealers list,and investment strategies of the City, hereby adopts
the revised/updated policy, broker/dealers list, and investment strategies of the City. The City Council
hereby directs that the adopted written document be made a part of these minutes.
APPROVED and ADOPTED by the City Council of the City of Stephenville held on this 7th day of
March, 2017.
Jerr K. e don II, Mayor
ATTEST:
A n r
Cindy L.St ord, City Sec ry
Reviewe y A n L. Barnes,
City Admini ator
----7 �z
Approved as to form and content by
Randy Thomas, City Attorney
CITY OF STEPHENVILLE
FINANCIAL POLICY STATEMENTS
AND FINANCIAL MANAGEMENT POLICY
I. STATEMENT OF PURPOSE
The intent of the following Financial Policy Statements and Financial Management Policies is to
enable the City to achieve a long-term stable and positive financial condition. The watchwords of
the city's financial management include integrity, prudent stewardship, planning, accountability,
and full disclosure.
Also, this policy provides guidelines to the Finance Director in planning and directing the city's
day-to-day financial affairs and in developing recommendations to the city administrator and city
council.
The scope of these policies generally spans, among other issues, accounting, auditing, financial
reporting, internal controls, operating and capital budgeting, revenue management, cash and
investment management, expenditure control, debt management, and planning concepts in
order to:
(a) present fairly and with full disclosure the financial position and results of financial
operations of the city in conformity with generally accepted accounting principles(GAAP),
and
(b) determine and demonstrate compliance with finance related legal and contractual issues
in accordance with provisions of the Texas Local Government Code and other pertinent
legal documents and mandates.
II. GENERAL IMPLEMENTATION GUIDELINES
A. Finance Committee.A committee designated as the Finance Committee will be appointed
by the Mayor (with the consent of the city council). It will consist of at least three (3)
members of the city council. The city administrator and the Finance Director will serve as
staff advisors to the committee and will attend all meetings. The function of the
committee will include:
1. Financial policy review.
2. Auditor selection recommendation.
3. Investment policy review and guidance.
4. Hotel/Motel Tax Revenue and Expenditure.
5. Child Safety Revenue and Expenditure.
B. Annual Review The Finance Committee will annually review the financial and investment
policies and make recommendations to the city council.
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III. ACCOUNTING,AUDITING,AND FINANCIAL REPORTING
A. Accounting The city council is solely responsible for the reporting of its financial affairs,
both internally and externally. The Finance Director is the City's Chief Financial Officer
and is responsible for establishing the chart of accounts and for the recording of financial
transactions.
B. Auditing
1. Qualifications of the Auditor. In conformance with the City's Charter (Article III,
Section 20) and according to the provisions of the Texas Local Government Code
(Title 4, Chapter 103), the City will be audited annually by outside independent
accountants (auditors). The auditor must be a CPA firm of national or regional
reputation and must be capable of demonstrating that it has the breadth and
depth of staff to enable it to conduct the City's audit in accordance with generally
accepted auditing standards,generally accepted government auditing standards,
and contractual requirements as is required by applicable state and federal laws.
The auditor must be registered as a partnership or corporation of certified public
accountants, holding a license under Article 41a-1, Section 9, of the Civil Statues
of Texas.
The auditor's report on the City's financial statements will be completed within
100 days of the City's fiscal year end,and the auditor will review the management
letter with the City Administrator and Finance Director before a presentation of
the report is made to the City Council. Within twenty (20) work days of the
management letter review,the Finance Director will respond in writing to the City
Administrator regarding the auditor's management letter, addressing the issues
contained therein. The formal acceptance by the City Council of the auditor's
report will be no later than the regular March Council meeting.
2. Responsibility of Auditor to City Council. The auditor is accountable to the City
Council and will have access to direct communication with the City Council if the
staff is unresponsive to auditor recommendations or if the auditor considers such
communication necessary to fulfill its legal and professional responsibilities.
3. Rotation of Auditor.The City Council will not require an auditor rotation, but will
circulate requests for proposal for audit services periodically,normally at five year
intervals. Engagement of the audit firm will be made by July 1 of each year.
C. Financial Reporting
1. External Reporting. Upon the compliance of the annual audit by the City's
auditors, a combination of the audit staff and the City Staff will be responsible for
preparing a written Comprehensive Annual Financial Report (CAFR) which shall
be presented to the City Council within 150 days after the end of the fiscal year.
The CAFR will be prepared in accordance with generally accepted accounting
principles (GAAP) and shall be presented annually to the Government Finance
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Officer's Associates (GFOA)for evaluation and consideration for the Certification
of Achievement for Excellence in Financial Reporting.
2. Internal Reporting. The Finance Division will prepare internal financial reports
sufficient to plan, monitor, and control the City's financial affairs. These reports
will reflect the City's current cash position, revenue and expenditure/expense
performance as well as any additional information that reflects the City's financial
position. Reports for Division Directors will be as needed and the City
Administrator and City Council will receive monthly reports. Internal financial
reporting objectives are addressed throughout these policies.
IV. OPERATING BUDGET
A. Preparation. Budgeting is an essential element of the financial planning, control, and
evaluation process of municipal government. The City's "operating budget" is the City's
annual financial operating plan and program of services. It comprises governmental and
proprietary funds, including the debt service funds, but excluding capital projects funds.
The budget is prepared by the Finance Division with the cooperation of all City
Departments, and is submitted to the City Administrator who makes any necessary
changes and transmits the document to the City Council. The proposed budget should be
presented to the City Council no later than sixty (60) days prior to fiscal year end (City
Charter Article VIII, Section 2), and should be enacted by the City Council no later than
thirty (30) days prior to the beginning of the new fiscal year (City Charter Article VIII
Section 6). The operating budget may be submitted to the GFOA annually for evaluation
and considered for the Award for Distinguished Budget Presentation.
1. Proposed Budget. A proposed budget will be prepared by the City Administrator
and the Director of Finance with the participation of all of the City's Directors,
within the provisions of the City Charter.
The proposed budget will include five basic segments for review and evaluation.
These segments are: (1)an introductory section including revenue to expenditure
comparison, other budget summaries, and an organizational chart, (2) baseline
revenue and expenditure/expense by department, (3) Capital Replacements in
baseline, (4) New Programs and (5)five-year capital planning.
The Budget process will span sufficient time to address policy and financial issues
by the City Council. A copy of the proposed budget will be filed with the City
Secretary not less than thirty(30) days prior to the beginning of the fiscal year in
accordance with City Charter provisions.
2. Adoption. Upon the presentation of a proposed budget document acceptable to
the City Council,the Council will call and publicize a public hearing and adopt by
Ordinance such budget as the City's Official Budget, effective for the fiscal year
beginning October 1.
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B. Balanced Budget The operating budget will be balanced with current revenues, exclusive
of beginning resources, greater than or equal to current expenditures/expenses. Excess
balances will be transferred to capital fund or non-recurring expenditures.
C. Planning.The budget process will be coordinated so as to identify major policy issues for
City Council consideration several months prior to the budget approval date so that
proper decision analysis can be made.
D. Reporting. Periodic financial reports will be prepared to enable the Division Directors to
manage their budgets and to enable the Finance Director to monitor and control the
budget as authorized by the City Administrator. Summary financial reports will be
presented to the City Council monthly within 30 days after the end of each month. Such
reports will be in a format appropriate to enable the City Council to understand the "big
picture" budget status.
E. Control.The Operating Expenditure Control is addressed in Section VI. C of these policies.
F. Performance Measures and Productivity Indicators. Where appropriate, performance
measures and productivity indicators will be used as guidelines and reviewed for
efficiency and effectiveness.
G. Operating Position. The guidelines that the City Council should be following to assure
financial stability are those Ratios (IX.A through E).
H. Amending the Official Budget. Amendments to the Official Budget will be made at
scheduled City Council meetings with a notice of the proposed amendment posted at
least three (3) days prior to the meeting.
V. REVENUE MANAGEMENT.
A. The City will strive for the following optimum characteristics in the revenue system:
1. Simplicity. The City, where possible and without sacrificing accuracy, will strive
to keep the revenue system simple in order to reduce compliance costs for the
taxpayer or service recipient. A corresponding decrease in the City costs of
collection and reduction in avoidance to pay will thus result.
2. Certainty. A knowledge and understanding of revenue sources increases the
reliability of the revenue sources and enact consistent collection policies to
provide assurances that the revenue base will materialize according to budgets
and plans.
3. Equity. The City Council will make every effort to maintain equity in its revenue
system structure; i.e., the Council will seek to minimize or eliminate all forms of
subsidization between entities, funds, services, utilities, and customers.
However, it is recognized that public policy decisions may lead to subsidies in
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certain circumstances, i.e. senior citizen property tax exemptions, youth
recreational programs, or partial property abatement.
4. Revenue Adequacy. The City Council will require that there be a balance in the
revenue system, i.e.,the revenue base will have the characteristic of fairness and
neutrality as it applies to the cost of service,willingness to pay, and ability to pay.
S. Administration. The benefits of a revenue will exceed the cost of producing the
revenue. Where appropriate, the City will use the administrative processes of
collection agencies in order to reduce administrative costs.
6. Diversification and stability. In order to protect from fluctuations in a revenue
source due to fluctuations in the economy and variations in weather,a diversified
revenue system should be maintained which has a stable source of income.
7. Responsibility.The City Council will exercise due caution in the analysis of any tax
incentives or expenditures that are used to encourage economic development.
B. The following considerations and issues will guide the City Council in its revenue policies
concerning specific sources of funds:
1. Cost/Benefit of Abatement. The City Council will exercise due caution in the
analysis of any tax or fee incentives that are used to encourage development.
Ideally, a cost/benefit (fiscal impact) analysis will be performed as a part of such
caution.
2. Non-Recurring Revenues. One-time or non-recurring revenues will not be used
to finance current ongoing operations. Non-recurring revenues should be used
only for one-time expenditures such as long-lived capital needs. They will not be
used for budget balancing purposes.
3. Property Tax Revenues. All real and business personal property located within
the City will be valued at 100%of the fair market value for any given year based
on the current appraisal supplied to the City by the Erath County Central Appraisal
District. A 98%collection rate will serve each year as the goal for tax collection.
The 98% rate is calculated by dividing total current year collections for a fiscal
year by the by the total tax levy for the fiscal year.
All delinquent taxes will be aggressively pursued each year. Delinquent tax
accounts will be submitted in July of each year for collection by an attorney
selected by the City Council. A penalty and interest are added at the time taxes
go delinquent and in July a 20%attorney fee is added as well as any court costs.
4. Interest Income. Interest earned from investment of available monies, will be
distributed to the funds from which the monies are originally derived.
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S. User-based Fees and Service Charges. For services associated with a user fee or
charge, the direct and indirect costs of that service will be offset by a fee where
possible. There will be an annual review of fees and charges by the City Council
to ensure that fees provide adequate coverage of costs of services. User charges
may be classified, as "full cost recovery" or "partial cost recovery" based upon
City Council policy.
6. Utility Rates. The City Council will review and adopt utility rates annually that will
generate revenues required to fully cover operating expenses, meet the legal
restrictions of all applicable bond covenants, and provide for an adequate level of
working capital needs.
Components for Utility Rates will include transfers to the General Fund as follows:
(a) General and Administrative Charge.An administrative fee will be charged
to the Enterprise Funds for services of general overhead, such as
administration, finance, personnel, data processing, and legal counsel.
This fee will be documented through a cost allocation procedure based
on a reasonable portion of the salaries of the employees providing
function for multiple funds.
(b) Franchise Payment. A percentage of gross sales will be charged to the
Water and Wastewater Fund,consistent with the rates charged to private
utilities operating within the City.
7. Intergovernmental Revenues. The reliance placed on intergovernmental revenues
will be eliminated from the operating budget. Any potential grants will be examined
for matching requirements with priority given for capital improvements that are
consistent with the Capital Improvement Plan.
8. Revenue Monitoring. Revenues actually received will be compared to budgeted
revenues and variances will be brought to the attention of the City Administrator.
The City Administrator will monitor and advise the Finance Committee of any action
that needs to be taken.
VI. EXPENDITURE CONTROL
A. Appropriations. The level of staff budgetary control is the Division level budget in the
General Fund, and the fund level in all other funds. When budget adjustments between
Divisions and/or funds are necessary,these must be approved by the City Council. Budget
appropriation amendments at lower levels of control will be made in accordance with the
applicable administrative procedures.
B. Amendments to the Budget. In accordance with the City Charter, budget amendments
shall be approved by the City Council.
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C. Central Control. No recognized or significant salary or capital budgetary savings in any
Division shall be spent by the Division director without the prior authorization of the City
Administrator.
D. Purchasing. All purchases should be in accordance with the City Council's purchasing
policies as defined in the Purchasing Manual. Priority will be given to purchases from
local vendors when all policies and procedures are in compliance.
E. Prompt Payment. All invoices approved for payment by the proper city authorities shall
be paid by the Finance Division within thirty (30) calendar days of receipt in accordance
with the provisions of Article 601f, Section 2 of the State of Texas Civil Statutes.
The Finance Director shall establish and maintain proper procedures which will enable
the City to take advantage of purchase discounts, when possible, except in the instance
where payment can be reasonably and legally delayed in order to maximize the City's
investable cash.
F. Equipment Financing. Equipment may be leased/purchased or financed when the unit
purchase price is $20,000 or more and the useful life is at least five years.
G. Risk Management. The City will aggressively pursue every opportunity to provide for the
Public's and City employees safety and to manage its risks. The goal shall be to minimize
the risk of loss of resources through liability claims with an emphasis on safety programs.
All reasonable options will be investigated to lessen risk including safety training and
insurance coverage.
H. Reporting. Monthly reports will be prepared showing actual expenditures compared to
original budget. Any deficits within the year may be adjusted as they occur by budget
amendments.
VII. ASSET MANAGEMENT
A. Investments. The Finance Director shall promptly invest all City funds in accordance with
the City Councils' investment policies as defined in the City of Stephenville Investment
Policy. The City Council Finance Committee may recommend changes to the City Council
to this policy at any time, and revisions will be made to conform with State Law.
B. Cash Management. The City's cash flow will be managed to maximize the cash available
to invest. Such cash management will entail the centralization of cash collections,where
feasible, including utility bills, building and related permits and licenses, and other
collection offices as appropriate.
The Finance Director may transfer funds, via electronic transfer. This shall be done only
for bond payments and investments unless the consent of the City Administrator is given.
C. Fixed Assets and Inventory. The City's fixed assets shall be reasonably safeguarded and
properly accounted for and sufficiently insured. Responsibility for the safeguarding of
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fixed assets lies with the Division Director in whose division the fixed asset is assigned.
The Purchasing Agent will supervise the marking of fixed assets with City numbered
property tags and will maintain the permanent records of the City's fixed assets including
description, cost, division of responsibility, and date of acquisition.The Purchasing Agent
shall also perform an annual inventory of all mobile equipment in the presence of a
designated member of each department.
D. Computer System/Data Security. The City will provide security of its computer system
and data files. Backup of computer files is conducted daily and stored in the City vault.
No external access to the system via telephone will be installed, without prior approval
of the Finance Director and the City Administrator.
VIII. CAPITAL BUDGET AND PROGRAM
A. Preparation. The City's capital budget will include all capital projects.The budget will be
prepared annually on a fiscal year basis. The capital budget will be compiled by the
Finance Division with the input of all City Divisions.
B. Control. All capital replacement expenditures must be appropriated in the capital
replacement budget. The Finance Division must certify that each capital item is in the
capital budget and that funds are available to pay for the item before a capital
replacement item is presented to the City Council and/or purchased.
C. Program Planning. The capital budget will include"capital improvement plans"for future
years. The planning timeframe should normally be five years. The annual equipment
replacement and maintenance for capital items should also be financed out of current
revenue resources as well as projected for the next five years.
D. Capital Improvement Plan/Project.
1. Definition. "Capital Improvement Project" shall mean a new or expanded physical
facility, as opposed to equipment or services that prudent management defines as
routine maintenance or repair or operating budget items financed out of current
revenue resources. The term shall include new construction of physical facilities
intended for long-term usefulness and permanence; renovation, remodeling, major
repair, or major maintenance of an existing facility; a major landscape improvement;
land or one-time major equipment purchase; utility, street, or public park
modification that affects numerous residences, businesses, or citizens; or other
improvement that enhances the usefulness, productivity, or life expectancy of a new
or existing city facility.Any question regarding the identity of a particular project as a
Capital Improvement Project shall be decided by majority vote of the City Council.
2. Approved Capital Improvement Project List. The Capital Improvement Plan shall
include a list of all Capital Improvement Projects that have been approved by majority
vote of the council for construction, establishment, or accomplishment during the
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current fiscal year or in any one or more of the five fiscal years following the current
year.The City's Capital Improvement Plan shall include the following:
a. Prioritization of projects according to established goals;
b. Project cost estimates;
c. Project schedules;
d. Project financing;
e. Cost/Benefit analysis;
f. Analysis of future operating and maintenance costs (fiscal impact); and
g. A well-defined and consistent process.
3. Placement of Projects on a List. The CIP shall include an integrated list of priorities,
based on coordination between the City Administrator's staff and the City Council.
To differentiate between projects, the following basis for prioritization is
recommended:
a. Public health and safety
b. Available funding
c. Infrastructure
d. Economic development
e. Service and operational impact
f. Strategic alignment
g. Recreation and aesthetics
4. Scheduling The CIP shall include an integrated list of priorities, based on
coordination between the City Administrator's staff and Council Committee input.
The following schedule shall be used:
March CIP requests submitted to the City Administrator/CIP material sent
to Departments, include citizen's input
April CIP requests reviewed/ranked by Departments and Council
Committees
April/May Citizen input on CIP draft priorities
May Financial Assessment of CIP
June City Administrator recommends draft final CIP
July City Council approves final CIP
The final prioritized list of projects shall be approved by the City Council. There may
be numerous projects worthy of consideration that cannot be funded during the five-
year planning period. In addition, some projects may depend upon the actual pace of
future development. Others may escalate in priority with the advent of outside
funding sources. These projects will be included in the plan, as unfunded.
A sound financing plan also attempts to minimize the impact of infrastructure funding
on the ratepayer and/or taxpayer as well as minimize the Capital Improvement Plan's
overall cost.
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5. Identification and Funding. Identification and funding for an approved project
(including a project proposed by a board or committee) may be established or
changed only by majority vote of the city council.
The city council may revise the Capital Improvement Plan, including adding or
deleting projects at any time by majority vote.
6. Budgeting of Projects. Only Capital Improvement Projects approved by the city
council for construction, establishment, or accomplishment in a particular fiscal year
may be included in the budget or a budget amendment adopted by either the city or
the Stephenville Type IV Economic Development Authority for that fiscal year.
7. Annual Review.The Capital Improvement Plan shall be reviewed and may be revised
or updated no less than once each fiscal year during the period when the operating
budget for the subsequent fiscal year is being considered by the city council.
E. Financing Programs. Where applicable, assessments, impact fees, pro-rata charges or
other fees should be used to fund projects which have a primary benefit to specific,
identifiable property owners.
Recognizing that long-term debt is usually a more expensive financing method,
alternative financing source will be explored before debt is issued. When debt is issued,
it will be used to acquire major assets with expected lives which equal or exceed the
average life of the debt issue.
The exceptions to this requirement are the traditional costs of marketing and issuing the
debt, capitalized labor for design and construction of capital projects, and small
component parts which are attached to major equipment purchases.
Every three to five years the council will consider calling a bond election to issue mini-
bonds, less than $1 million,to finance capital improvement projects.
F. Infrastructure Maintenance. The city council recognizes that deferred maintenance
increases future capital costs;therefore, a portion of the General Fund budget will be set
aside each year to maintain the quality of the city's infrastructure. The amount will be
determined annually by the city council so that repairs will be made.
G. Capital Reserves. In addition to an ongoing maintenance program,the city will establish
a capital reserve funding the General Fund. The reserve will be built from operating
surpluses and will be used for major infrastructure replacement. The goal is to develop
an amount in the reserve equal to approximately three (3) months of general operating
expenditures.
H. Reporting. Periodic financial reports will be prepared to enable the division directors to
manage their capital budgets and to enable the Finance Division to monitor and control
the capital budget as authorized by the city council.
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IX. FINANCIAL CONDITIONS, RESERVES,AND STABILITY RATIOS
A. Operational Coverage. (NO OPERATING DEFICITS). The city council in the General Fund
will maintain as operational coverage of at least 1.00, such that current operating
revenues will meet or exceed current operating expenditures.
Deferrals, short-term loans, or one-time sources will be avoided as budget balancing
techniques. Reserves will be used only for emergencies or non-recurring expenditures,
except when balances can be reduced because their levels exceed guideline minimums as
stated in the following paragraph.
B. Operating Reserves/Fund Balances.
1. The General Fund cash and investment balance should be the equivalent of 90
days (25%) of the General Fund annual expenditures. An additional amount will
be determined annually by the city council for extraordinary items or
contingencies.
2. As soon as economically possible,the Enterprise Fund working capital should be
maintained at the equivalent of 90 days (25%) of the annual expenses.
C. Liabilities and Receivables. Procedures will be taken so as to maximize any discounts
offered by creditors. Current liabilities will be paid within 30 days of receiving the invoice
unless circumstances warrant otherwise. Accounts receivable procedures will target for
a maximum of 30 days from service or billing. The Finance Director is authorized to write-
off uncollectible accounts that are delinquent for more than 180 days with the
authorization of the City Administrator.
D. Capital and Debt Service Funds.
1. Revenue obligations will maintain debt coverage ratios as specified by the bond
covenants. (The city is currently required to have net earnings equal to at least
1.40 times the average annual debt service for all bonds outstanding and 1.10
times the maximum annual debt service payment to be paid in one year in order
to issue additional bonds).
2. General Obligation Debt Service Funds will maintain balances as specified by the
bond covenants.
E. Compensated Absences. The city will establish a liability to pay for accrued reimbursable
vacation and sick leave.
X. TREASURY AND DEBT MANAGEMENT
A. Cash Management. The City of Stephenville Investment Policy should be adhered to;the
underlining theme being that idle cash will be invested with the intent to (1) safeguard
assets, (2) maintain liquidity, and (3) maximize return.
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B. Types of Debt.
1. Short-Term Debt. Issuance of short-term debt will be avoided; but when necessary
for tax or bond anticipation,the debt should be retired within six months.
2. Long-Term Debt. Long-term debt will not be used for operating purposes, and the life
of a bond issuance will not exceed the useful life of a project financed by that bond
issue.
C. Debt Issuance.
1. Method of Sale. The city will use a competitive bidding process in the sale of bonds
unless the nature of the issue warrants a negotiated bid. In situations where a
competitive bidding process is not elected, the city will publicly present the reasons
why, and the city will participate with the financial advisor in the selection of the
underwriter or direct purchaser.
2. Bidding Parameters. The notice of sale will be carefully constructed so as to ensure
the best possible bid for the city, in light of the existing market conditions and other
prevailing factors.
3. Bond Issuance Costs. The city council will be involved in the selection of all financial
advisors, underwriters, paying agents, and bond counsel. The council will evaluate
the merits of rotating professional advisors and consultants, the service and fee
structures, and banking firms. The council will carefully scrutinize all costs associated
with the issuance of bonds.
XI. INTERNAL CONTROLS
A. Written Procedures. Wherever possible, written procedures will be established and
maintained by the Finance Director for all functions involving cash handling and/or
accounting throughout the City. These procedures will embrace the general concepts of
fiscal responsibility set forth in this policy statement.
B. Division Directors Responsible. Each division director is responsible to ensure that good
internal controls are followed throughout his/her division, that all Finance Division
directives or internal controls are implemented,and that all independent auditor internal
control recommendations are addressed.
XI. STAFFING AND TRAINING
A. Adequate Staffing. Staffing levels will be adequate for the fiscal functions of the city to
operate effectively. Overtime will be used only to address temporary or seasonal demand
that require excessive hours.
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B. Training. The city council will support the continuing education efforts of all staff in an
attempt to maintain a current perspective concerning financial issues. Staff will be held
accountable for communication and sharing with other staff members all information and
training materials acquired which would pertain to their position.
C. Awards,Credentials, Recognition. The city council will support efforts and involvements
which result in meeting standards and receiving exemplary recitations on behalf of any of
the city's fiscal policies, practices, processes, products, or personnel. Staff certifications
may include Certified Public Accountant, Certified Governmental Finance Officer,
Certified Treasurer and other professional certifications.
The Finance Division will strive to maintain a high level of excellence in its accounting
policies and practices as it assists external auditors in the preparation of the CAFR. The
CAFR may be presented to the Government Finance Officers Association for review of
qualifications necessary to obtain the Certificate of Achievement for Excellence in
Financial Reporting. Additionally,the Finance Division may submit the annual budget to
GFOA for consideration for the Distinguished Budget Award.
XIII. GRANTS FINANCIAL MANAGEMENT
A. Grant Solicitation. The city will stay informed about available grants and will apply for
any which would be cost beneficial and meet the city's objectives.
B. Responsibility. The departments will oversee the day-to-day operations of grant
programs, will monitor performance and compliance, and will also keep Finance
Department contacts informed of significant grant related plans and activities. Finance
department staff members will serve as liaisons with grantor financial management
personnel, will prepare invoices, and will keep files of accounts for all grants.
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