Page 58 - Burleson FY22 City Budget

City of Burleson, Texas

FINANCIAL POLICY STATEMENTS
Proposed Revisions 6/21/2021

I. STATEMENT OF PURPOSE

The intent of the following Financial Policy and Financial Management Policy is to enable the City to achieve a long-term stable
and positive financial condition. The guiding principles of the City's financial management include integrity, prudent stewardship,
planning, accountability, and full disclosure.

The more specific purpose is to provide guidelines to the Finance Director in planning and directing the City's day-to-day financial
affairs and in developing recommendations to the City Manager and City Council.

The scope of these policies generally spans, among other issues, accounting, auditing, financial reporting, internal controls,
operating and capital budgeting, revenue management, cash and investment management, expenditure control, debt
management, and planning concepts, in order to:

a. present fairly and with full disclosure the financial position and results of financial operations of the City in conformity to
generally accepted accounting principles (GAAP) as set forth by the governmental accounting standards board (GASB),
and

b. determine and demonstrate compliance with finance related legal and contractual issues in accordance with provisions
of the Texas Local Government Code and other pertinent legal documents and mandates.

II. GENERAL IMPLEMENTATION AND COMPLIANCE GUIDELINES

A. FINANCE COMMITTEE. The Finance and Internal Services City Council Committee, the City Manager, and the Finance
Director shall be designated as the Finance Committee. The committee may meet quarterly, or as needed. The
committee will report to the City Council within 10-14 days after each meeting. The function of the committee will be:

1) Fiscal policy review.
2) Auditor selection recommendation.
3) Investment policy review and guidance.
4) Long-range planning.

B. ANNUAL REVIEW. Based upon the results and recommendations of the Finance Committee review, the Council will
annually approve the fiscal policies.
C. IMPLEMENTATION, COMPLIANCE, ACCOUNTABILITY AND REVIEW. The Finance Director will be accountable for
implementing these policies and will, to the best of his or her knowledge, make the City Manager, Finance Committee
and the City Council aware of any variances in practice from these policies or any other deviation from prudent financial
practices in accordance with GAAP, the city charter, state laws and/or ethics of the profession. Any variances will be
presented at quarterly meetings of the Finance Committee, unless there is a need for a special meeting.

III. ACCOUNTING, AUDITING, AND FINANCIAL REPORTING

A. ACCOUNTING. The City is solely responsible for the reporting of its financial affairs, both internally and externally. The
City Manager is the City's Chief Fiscal Officer and the head of the administrative branch of the City government. The
Director of Finance is appointed by the City Manager to have full charge of the administration of the financial affairs of
the City, as specified in the City’s Charter Article VII, Section 68.

B. AUDITING. An independent certified public accounting (CPA) firm will perform annual financial audits.

1) Qualifications of the Auditor. In conformance with the City's Charter and according to the provisions of Texas Local
Government Code, Title 4, Chapter 103, the City will be audited annually by outside independent accountants.
("auditor").

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