Page 93 - Forest Hill FY20 Annual Budget

CITY OF FOREST HILL

Full Faith and Credit: A pledge of the general taxing power of a government to repay debt obligations
(typically used in reference to bonds).

Function: A group of related programs crossing organizational (departmental) boundaries and aimed at
accomplishing a broad goal or major service.

Fund: A fiscal and accounting entity with a self-balancing set of accounts that records all financial
transactions for specific activities of government functions. Seven major fund types and two account groups
are commonly used: general fund, special revenue funds, debt service funds, capital project funds,
enterprise funds, trust and agency funds, internal service funds, general fixed asset account group, and
general long-term debt account group.

Fund Balance: The difference between a fund's assets and its liabilities. Portions of the fund balance may
be reserved for various purposes, such as non-spendable, restricted, committed, assigned, and
unassigned.

General Fund: The largest fund within the City that accounts for all financial resources of the government
except for those required to be accounted for in another fund. General Fund revenues include property
taxes, licenses and permits, local taxes, service charges, and other types of revenue. This fund usually
includes most of the basic operating services, such as fire and police protection, finance, public health,
parks and community services, public works, and general administration.

General Ledger: A file that contains a listing of the various accounts necessary to reflect the financial
position and results of governmental operations.

General Obligation Bonds: Bonds that finance a variety of public projects such as streets, buildings, and
improvements. The repayment of these bonds is usually made from the debt service portion of the City’s
property tax, and these bonds are backed by the full faith and credit of the issuing government.

Goal: The result or achievement towards which an effort is directed and intended to accomplish.

Grant: A contribution by a government or other organization to support a particular function. Grants may
be classified as either categorical or block depending upon the amount of discretion allowed to the grantee.

Inter-fund Transfers: Amounts transferred from one fund to another.

Intergovernmental Revenue: Revenue received from another government entity for a specified purpose.
In Forest Hill, these are the funds from Tarrant County, the State of Texas, and through the recovery of
indirect costs from federal and state agencies.

Inventory: A detailed listing of property currently held by the government showing quantities, descriptions
and values of the property, units of measure, and unit prices.

Invoice: A bill requesting payment for goods or services by a vendor or other governmental unit.

Levy: To impose taxes, special assessments, or service charges for the support of City activities.

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