Title
Consider/Discuss/Act on a Resolution Adopting the Fiscal Year 2014-2015 Financial Policies
Summary
MEETING DATE: September 16, 2014
DEPARTMENT: Financial Services
CONTACT: Rodney Rhoades, Chief Financial Officer
RECOMMENDED CITY COUNCIL ACTION:
· Adopt the Fiscal Year 2014-2015 Financial Policies
ITEM SUMMARY:
· The City of McKinney shall take action to annually adopt the financial policy.
· This policy, which is included in the annual budget, is used by the external auditor to ensure that prudent financial management is being practiced.
· Revisions to the Financial Policies include:
o Language updates from the 2014 voter approved Charter Amendments.
o Removal of depreciation from proprietary funds' annual budgets.
§ This is a common practice among other cities.
§ Depreciation expense is still recognized in CAFR reporting.
BACKGROUND INFORMATION:
· The City adopts financial policies to provide a stable financial base at all times. The policy establishes that sufficient funds be retained to provide cash flows as needed for the financial operations of the City.
FINANCIAL SUMMARY: N/A
BOARD OR COMMISSION RECOMMENDATION: N/A