Page 18 - Grapevine FY19 Operating Budget

THE BUDGET PROCESS

The City of Grapevine’s Home Rule Charter provides for the submission of the budget to the City
Council by the City Manager. The City’s fiscal year runs from October 1 through September 30.

At least sixty days and no more than ninety days before the beginning of the fiscal year, the City
Manager must submit a proposed budget that includes:

♦ A budget message
♦ A consolidated statement of anticipated receipts and proposed expenditures for all funds
♦ An analysis of the tax rate
♦ Indicators showing the tax levies and tax collections by year for at least five years
♦ General fund resources in detail
♦ Special revenue fund resources in detail
♦ A summary of proposed expenditures by function, department, and activity
♦ Detailed estimates of expenditures shown separately for each activity to support the proposed
expenditure
♦ A revenue and expense statement for all bonds
♦ A description of all bond issues outstanding
♦ A schedule of the principal and interest payments of each bond issue
♦ The appropriation ordinance and the tax levying ordinance

The proposed revenues and expenditures must be compared to prior year revenues and
expenditures.

The budget preparation process begins early in the calendar year with the establishment of overall
city goals and the analysis of current year operations compared to expenditures. Budget policies
and procedures are reviewed at that time to reduce errors and omissions. In March, the Budget
Manager prepares a comprehensive Budget Preparation Manual for use by all departments. The
Budget Preparation Manual includes such items as budget forms, instructions for estimating
revenues and expenditures, price planning factors, the official budget calendar, performance
measure guidelines, a chart of accounts, and a comprehensive list of all object codes (budget
expense categories).

The Budget Preparation Manual, along with all necessary budget materials, is distributed at a
budget kickoff meeting in April. The budget kickoff meeting is the venue to announce new
procedures and ensure that City staff receives the same interpretation of the instructions.

In May, departmental objectives and performance indicators are submitted to the City Manager.
Following the review and approval of the objectives and indicators, department heads submit
proposed baseline expenditures for current service levels. Proposals for program enhancements or
Increased Service Levels are also submitted at this time. Meetings are then held with the Budget
Team (City Manager, Assistant City Manager, Chief Financial Officer, and Management Services
Director) and each department.

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