Page 545 - Bedford-FY24-25 Budget

CITY OF BEDFORD
FISCAL AND BUDGETARY POLICY STATEMENTS

I. STATEMENT OF PURPOSE

The intent of the following Fiscal and Budgetary Policy Statements is to enable the City to achieve
and maintain a long-term stable and positive financial condition. The watchwords of the City’s
financial management include integrity, prudent stewardship, planning, accountability, and full
disclosure.

The more specific purpose is to provide guidelines for 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 includes:

• accounting, auditing and financial reporting;
• internal controls;
• operating budget management;
• capital budget and improvement programs;
• asset management;
• revenue management;
• expenditure control;
• financial conditions, reserves and stability ratios;
• debt management; and
• grant management.

These policies are designed to benefit the City by:

• Ensuring the fair and full disclosure of the financial position and the results of financial
operations in conformity with Generally Accepting Accounting Principles (GAAP), and
• Adhering to compliance with finance related legal and contractual issues in accordance
with the provisions of the Texas Local Government Code, the City Charter, and other
applicable legal mandates.

The City Council will annually review and approve the Fiscal and Budgetary Policy Statements as
part of the budget process.

II. ACCOUNTING, AUDITING AND FINANCIAL REPORTING

ACCOUNTING. The city is solely responsible for the reporting of its financial affairs, both
internally and externally. The Director of Finance is responsible for establishing the Chart of
Accounts and for properly recording financial transactions.

AUDITING. In conformance with the City’s Charter and according to the provisions of the Texas
Local Government Code, Title 4, Chapter 103, the City will be audited annually by outside
independent accountants (auditor). The auditor must be a CPA firm of regional reputation
and must demonstrate that it has the breadth and depth of staff to conduct the City’s audit in
accordance with generally accepted auditing standards and contractual requirements. The auditor