Page 352 - FY 2026-2027 Adopted Budget Book

Program: A combination of activities to accomplish an end.

Property Taxes: Used to describe all revenues received in a period from current taxes, delinquent taxes,
penalties and interest on delinquent taxes. Property taxes are levied on both real and personal property
according to the property's valuation and tax rate.

Proprietary Fund: A class of fund types that account for a local government’s businesslike activities.
Proprietary funds are of two types: enterprise funds and internal service funds. Both use the accrual basis of
accounting and receive their revenues from charges to users.

Public Hearing: The portion of open meetings held to present evidence and provide information on both sides
of an issue.

Purchased Services: The cost of services that are provided by a vendor.

Refunding of Debt: Transaction where one bond issue is redeemed and replaced by a new bond issue under
conditions generally more favorable to the issuer.

Reserve: An account used to indicate that a portion of fund resources is restricted for a specific purpose or is
not available for appropriation and subsequent spending.

Reserve Fund: An amount set aside annually within the budget of a town to provide a funding source for
extraordinary or unforeseen expenditures.

Retained Earnings: The accumulated earnings of an enterprise fund which have been retained in the fund
and which are not reserved for any specific purpose. The internal service funds (Facilities Maintenance Fund,
Equipment Replacement Fund, and Computer Replacement Fund) are presented using the retained earnings
calculation.

Revaluation: The assessors of each community are responsible for developing a reasonable and realistic
program to achieve the fair cash valuation of property in accordance with constitutional and statutory
requirements. The nature and extent of that program will depend on the assessors’ analysis and consideration
of many factors, including, but not limited to, the status of the existing valuation system, the results of an in-
depth sales ratio study, and the accuracy of existing property record information.

Revenue: Funds that the government receives as income.

Revenue Anticipation Note (RAN): A short-term loan issued to be paid off by revenues, such as tax
collections and state aid. RANs are full faith and credit obligations.

Revenue Bond: A bond payable from and secured solely by specific revenues and thereby not a full faith and
credit obligation.

Revolving Fund: Allows a community to raise revenues from a specific service and use those revenues
without appropriation to support the service.

Special Revenue Fund: A fund whose revenue source(s) is restricted or committed to a specific purpose
other than capital projects or debt service. Usually has one or more revenue resources that is not a transfer
from another fund. For example, the Tourism Fund is a special revenue fund that is primarily financed by hotel
occupancy taxes. Revenue from this fund is used to finance the ongoing operations of several tourism-related
facilities and special events.

Surplus Revenue: The amount by which cash, accounts receivable, and other assets exceed liabilities and
reserves.

FY 2026-2027 Adopted Budget Book · September 15, 2026 348