Page 290 - CityofMansfieldFY24Budget

Encumbrance The commitment of appropriated funds to purchase an item or
service. To encumber funds means to set aside or commit funds
for future expenditures.

Enterprise Fund A governmental accounting fund in which the services provided
are financed and operated similarly to those of a private
business. The rate schedules for these services are established to
insure that revenues are adequate to meet all necessary
expenditures. An enterprise fund in Mansfield is established for
water and sewer services.

Estimated Revenue The amount of projected revenue to be collected during the
fiscal year. The amount of revenue appropriated is the amount
approved by City Council.

Exempt Personnel who are not eligible to receive overtime pay and are
expected to put in whatever hours are necessary to do the job.

Expenditure This term refers to the outflow of funds paid for an asset
obtained or goods and services obtained regardless of when the
expense is actually paid. This term applies to all funds.
Note: An encumbrance is not expenditure. An encumbrance
reserves funds to be expended.

Expense Object Class A basis for distinguishing types of expenditures. The five major
expense object classes used by the City of Mansfield are: 80000
series-salaries, 81000 series-benefits, 82000 series-other payroll,
83000 series-supplies, 84000 series-maintenance, 85000 series-
services, 86000 series-other operating costs, 87000 series-
utilities, 88000 series-miscellaneous, and 89000 series-capital
outlay.

Expenses Charges incurred (whether paid immediately or unpaid) for
operation, maintenance, interest and other charges.

Fiscal Year The twelve-month time period designated by the City, signifying
the beginning and ending period for recording financial
transactions. The City of Mansfield has specified October 1 to
st
September 30 as its fiscal year.
th

Fixed Assets Assets of long-term character which are intended to continue to
be held or used, such as land, buildings, machinery, furniture
and other equipment.

Franchise A special privilege granted by a government permitting the
continued use of public property, such as city streets, and
usually involving the elements of monopoly and regulation.

Franchise Fee A fee paid by public service utilities for the use of public
property in providing their services.

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