Page 16 - 2019 Budget Detail.xlsx

complete minor additions and improvements on the building and surrounding space
areas.

The TIF fund used to account for the Tax Increment Reinvestment Zone, Baker Blvd,
was established in 2009 for the purpose of catalyzing development of property in and
around the Zone that would not occur otherwise in the foreseeable future. As funds are
set aside into the Baker Blvd TIF fund each year, they are used according to an adopted
project plan that aims to enhance the corridor thus attracting higher quality
development.

BASIS OF BUDGETING AND ACCOUNTING

The budgetary and accounting policies in this document conform to Generally Accepted
Accounting Principles (GAAP). The General Fund, Debt Service Fund, Special Revenue
and Capital Projects Funds along with the blended component unit budgets are
prepared on the modified accrual basis of accounting. Under this basis of accounting,
revenues are recognized when they become both measurable and available to finance
expenditures of the current period. Expenditures are recognized when the related fund
liability is incurred. Governmental funds recognize changes only at the point they affect
near-term liquidity.

Proprietary funds which include the Water-Wastewater fund and the Drainage Utility
fund, are prepared using the full accrual basis of accounting. In full accrual basis of
accounting, revenues are recognized when earned regardless of when cash is received.
Likewise, expenses are also recognized when incurred, not considering the actual cash
flow. Proprietary funds, like their private-sector business counterparts, report all assets,
liabilities and net position related to a given activity, as well as transactions, events, or
interfund activity of the period that affect net position.

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