Page 534 - FortWorthFY23AdoptedBudget

u. Internal Service Fund- Proprietary fund type used to report any activity that
provides goods or services to other funds, departments, or agencies of the
primary government and its component units, or to other governments, on a
cost-reimbursement basis.

v. Long-Term Financial plan (LTFP) - A Long-Term Financial Plan includes an
analysis of the financial and economic environment, long-term forecasts, debt
analysis, and financial strategies.

w. Modified Accrual Basis of Accounting – The accrual basis of accounting adapted
to the governmental fund type spending measurement focus. Under this basis of
accounting, revenues are recognized when they become both “measurable” and
“available” to finance expenditures in the current period. For example, revenue
that is earned and measurable on April 1, is billed on April 30 , and paid on May
th
1 would not be recorded as revenue until payment is received on May 1 .
st
st

x. Net Position – Net Position is the difference between (a) assets and deferred
outflows of resources and (b) liabilities and deferred inflows of resources in a
proprietary fund.

y. Non-Recurring Item – An expenditure that has not occurred in the previous two
years and is not expected to occur in the following year.

z. Operating Expenditures (Governmental Funds) - An expenditure incurred in
carrying out the City’s day-to-day activities. Operating Expenditures include such
things as payroll, employee benefits and pension contributions, transportation
and travel.

aa. Operating Expenses (Proprietary Funds) - An expense incurred in carrying out
the City’s day-to-day activities. Operating Expenses include such things as
payroll, employee benefits and pension contributions, transportation and travel,
amortization and depreciation. Notwithstanding the foregoing, with respect to a
City Enterprise for which obligations, secured in whole or in part by the revenues
of such Enterprise (such as the City’s Water and Sewer System), have been issued
or incurred, Operating Expenses shall be determined in accordance with State law
and terms of the ordinances pursuant to which such obligations were issued or
incurred.

bb. Pay As You Go Financing - The use of currently available cash resources to pay
for capital investment. It is an alternative to debt financing.

Page 534 of 623