Page 96 - CityofWataugaAdoptedBudgetFY24

BUDGET SUMMARY

Improvement Plan lists approved and anticipated capital projects of the City and is
located in the Capital Improvement section of this budget document.

Debt Service Fund

The Debt Service Fund is used to account for the accumulation of resources for,
and the payment of, general and contractual obligation bonds, interest, and related
costs.

Proprietary Fund Type

Proprietary funds are used to account for activities that are similar to those often found in
the private sector. The Water and sewer fund is the City’s main proprietary fund. The
City's proprietary fund type consists of:

Enterprise Funds

The Water and Sewer Utility Enterprise Fund is a proprietary fund used to account
for revenues and expenses related to the operations and maintenance of the City’s
water and sewer utility system including, but not limited to, administration,
operations, maintenance, billing, and collections.

The Storm Drainage Utility Enterprise Fund is a proprietary fund used to account
for revenues and expenses related to the operations and maintenance of the City's
drainage utility system. Costs of the system are recovered through drainage utility
fees, which are levied against all developed property within the City.

Balanced Budget

It is the policy of the City to prepare a balanced budget. A balanced budget is one where
expenses are less than or equal to estimated revenues. A balanced budget may also
include situations where the Council approves the use of reserves or fund balance to
offset revenue shortfalls. If, during the year, the revenues received or expected to be
received are less than estimated, the City Manager will recommend a revised or amended
expense appropriation for Council approval that will again balance the budget.

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