Page 33 - CityofGrapevineFY26AdoptedBudget

BUDGET PROCESS

The City of Grapevine’s Home Rule Charter provides for the submission of the budget to the City Council by the City Manager. The City’s fiscal year runs
from October 1 through September 30.

BUDGET CREATION
At least sixty days and no more than ninety days before the beginning of the fiscal year, the City Manager must submit a proposed budget that includes:

♦ A budget message
♦ A consolidated statement of anticipated receipts and proposed expenditures for all funds
♦ An analysis of the tax rate
♦ Indicators showing the tax levies and tax collections by year for at least five years
♦ General fund resources in detail
♦ Special revenue fund resources in detail
♦ A summary of proposed expenditures by function, department, and activity
♦ Detailed estimates of expenditures shown separately for each activity to support the proposed expenditure
♦ A revenue and expense statement for all bonds
♦ A description of all bond issues outstanding
♦ A schedule of the principal and interest payments of each bond issue
♦ The appropriation ordinance and the tax levying ordinance

The proposed revenues and expenditures must be compared to prior year revenues and expenditures.

The budget preparation process begins early in the calendar year with the establishment of overall city goals and the analysis of current year operations
compared to expenditures. Departments are responsible for developing strategic goals in alignment with the city's mission and vision. Budget policies
and procedures are reviewed at that time to reduce errors and omissions. In March, budget office staff prepare a comprehensive Budget Preparation
Manual for use by all departments. The Budget Preparation Manual includes such items as budget forms, instructions for estimating revenues and
expenditures, price planning factors, the official budget calendar, performance measure guidelines, a chart of accounts, and a comprehensive list of all
object codes (budget expense categories).

The Budget Preparation Manual, along with all necessary budget materials, is distributed at a budget kickoff meeting in mid-April. The budget kickoff
meeting is the venue to announce new procedures and ensure that City staff receives the same interpretation of the instructions.

After the budget kickoff, departments are given reasonable time to submit their budget requests, which consist of:

1. Revenue and expenditure projections by line item
2. Program enhancements and increased service level requests
3. Capital expenditure requests (including IT equipment)
4. Permanent capital and street maintenance requests
5. Fleet maintenance requests (vehicles and machinery)

Also in April, departmental objectives and performance indicators are submitted. After all submissions have been received, the Budget Office begins its
review, which takes approximately five weeks. Following the review and approval of the objectives and indicators, and the submittal of department
requests, meetings are then held with the Budget Team (City Manager, Assistant City Manager, Chief Financial Officer, Assistant Finance Director -
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Strategic Planning, Internal Audit Director, Budget Officer and Budget Assistant) and each department.