Page 153 - Haltom City FY19 Annual Budget

Cash and Investment Management Concepts

Objectives. The City shall manage and invest its cash with three objectives, listed in order of
priority: safety, liquidity, and yield. The safety of the principal invested always remains the
primary objective. All investments shall be designed and managed in a manner responsive to
the public trust and consistent with state and local law.

Management. The City shall maintain a comprehensive cash management program, which
includes collection of accounts receivable, vendor payment in accordance with invoice terms,
and prudent investment of available cash. Cash management is defined as the process of
managing monies in order to ensure maximum cash availability and maximum yield on short-
term investment of idle cash.

Review. Periodic review of cash flow position shall be performed to determine performance of
cash management and investment policies. Detail policy structures (City Investment Policy and
Depository Agreement) shall be followed with respect to Cash/Treasury management.

Interest earned from investment of available funds, whether pooled or not, shall be distributed
to the funds from which monies were provided to be invested.

In accordance with the Texas Public Funds Investment Act the written Investment Policy is
submitted annually to the City Council for review and formal approval.

Performance Measurement

Every year, the City Council evaluates the strategic priorities established the previous year.
Priorities are added and dropped as appropriate to develop a new set of strategic priorities for
the coming budget year.

From the strategic priorities, each department develops goals that outline measures to
accomplish the strategic priorities. The goals are supported by performance measures.
Performance measurements should objectively monitor and project the degree of success in
accomplishing the goals as outlined.

Conformity

The City has received the GFOA Certificate of Achievement for the fiscal year years ending 1987
through 2018. The budgets prepared for submission has been recognized with the GFOA
Distinguished Budget Award annually since 1989 with exception of one year. The City intends
to continue to participate successfully in the award program.

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