Page 4 - Report

Execu�ve Summary

Introduc�on

Atached is the FY 2023-2024 Adopted Budget. This budget includes an adopted property tax rate of
$0.681745, which is the De Minimis rate. The No New Revenue tax rate is $0.321151. The City adopted this
tax rate to ensure all expenses can be paid for and there are funds remaining for capital projects such as
street repair/maintenance, vehicle replacements, and increased personnel costs.

This document explains funds and provides an es�mated fund balance for all funds. It provides a summary of

the revenue and expenditures for all funds as well, which are detailed in the actual budget document. Also
included is a 2-year history of staffing posi�ons with the budgeted posi�ons for FY 2023-2024.
Funds

The Generally Accepted Accoun�ng Principles (GAAP) set the guidelines for recording, reconciling, and repor�ng all

transac�ons in the accoun�ng system. These principles have been accepted by the Governmental Accoun�ng Standards
Board (GASB) for governments. GAAP ensures a consistent way for governments to report transac�ons and enable the
public to interpret financial statements more easily. The difference in how businesses and governments report transac�ons
is fund accoun�ng.
Fund accoun�ng is important because “the use of public resources typically is constrained by legal restric�ons and similar
limita�ons” (Gauthier, 2009). The use of separate funds ensures compliance with those constraints. Accountants use funds
to group resources for specific purposes. For example, the general fund is used to collect revenue from taxes (sales and
property), grants, and similar resources, to pay for general opera�ons.
There are three categories of funds classified into different fund types:
• Governmental Funds
o General Fund
o Special Revenue Fund
o Debt Service Fund
o Capital Project Fund
o Permanent Funds

• Proprietary Funds
o Enterprise Funds
o Internal Service Funds

• Fiduciary Funds

o Private Purpose Trust Funds
o Pension Funds
o Investment Trust Funds
o Agency Funds

The table below shows the City of Blue Mound funds with fund numbers.

City of Blue Mound Funds
General Fund (general municipal opera�ons) 100
Crime Control Preven�on 200
9/18 FY 2024 Adopted Budget