Page 16 - Bedford-FY25-26 Budget

Fund Structure
The nancial structure is de ned by the City’s fund types. Funds are established for speci c revenues and
expenditures related to certain activities of the City. They are further organized into various groups to identify
their purpose.

Funds- used to account for all governmental-type activities. These activities consist of all
Governmental
nancial resources that cannot be categorized in other funds.
Funds- account for business activities where the cost of providing services is nanced
Proprietary
primarily through user charges. These funds operate similarly to a private business.
Enterprise - a separate accounting and nancial reporting mechanism for municipal services for
which a fee is charged in exchange for goods or services. It allows a community to demonstrate to
the public the portion of total costs of a service that is recovered through user charges and the
portion that is subsidized by the tax levy, if any.
Service - a separate accounting and nancial reporting mechanism for municipal services
Internal
provided by one department to other departments on a cost-reimbursement basis.

Special Revenue Funds-
committed to a speci c purpose other than capital projects or debt service. This restriction often
originates in state or federal law, such as the revenue from Hotel Occupancy Taxes in the Tourism Fund,
which must be used for tourism-related facilities and special events.

The following chart identi es the City’s budgeted funds, organized by their fund type. The City has additional
funds that are audited, but not included in the budget. For example, the Grant Funds are not budgeted as the
revenue and expenditures are considered outside everyday operations and are not an ongoing, consistent
revenue source. Fiduciary funds are excluded because assets are held by the City in a trustee capacity for other
entities.

City of Bedford, TX | Proposed Budget FY 2025-2026 Page 16