Page 33 - Fort Worth City Budget 2019
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Processes and Policies



               Financial Policies


               Note: This section addresses the City of Fort Worth’s major financial policies governing the budget process and
               budget implementation. For more detailed information on city financial policies, please contact the city Finance
               Department or see the Financial Management Policy Statements in the Supplemental Information section.

               The City of Fort Worth’s financial policies establish a foundation for the fiscal strength of city government. These
               policies guide the City Council and the city manager as they make decisions regarding resource allocations.

               The financial condition of the city must be maintained at the highest level to ensure that resources are available
               to meet the city’s ever- changing priorities. The following policies are related to the adoption and implementation
               of the annual budget. They are designed to assure that the city maintains the highest credit rating possible from
               all three rating agencies.


               Operating Budget
               Per city charter, the city shall operate under an annual balanced budget whereby the sum of net revenues and
               appropriated fund balance equals the expenditure appropriations. Revenue projections shall be set at realistic
               and attainable levels, sufficiently conservative to avoid shortfalls, yet accurate enough to avoid a regular pattern
               of setting tax rates that produce more revenue than is necessary. The city shall not develop budgets that include
               operating deficits that require the use of one-time resources to cover recurring expenses. The city’s annual budget
               shall be adopted by September 15th and shall be effective for a fiscal period beginning October 1 and ending
               September 30th.


               Fund Balances

               The city shall maintain a fund balance position that rating agencies deem adequate to meet the city’s needs and
               challenges.  Therefore,  the  city  has  adopted  a  policy  that  requires  management  to  maintain  fund
               balances/working capital at  the following levels:



               General Fund: (Fund Balance)
                          General Fund                      10.00%


               Special Revenue Funds: (Fund Balance)
                          Crime District                      16.67%
                          Culture/Tourism                 16.67%
                          Environmental                     16.67%
                          Municipal Golf                    16.67%
                          Red Light Enforcement     16.67%
                          Botanic Garden                  16.67%

               Enterprise Funds: (Working Capital)
                         Municipal Airport               25.00%
                         Municipal Parking              25.00%
                         Solid Waste                         25.00%
                         Stormwater               25.00%
                         Water and Sewer               25.00%







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