Title
Consider/Discuss/Act on a Resolution Adopting the Fiscal Year 2020-2021 Financial Policies
Summary
COUNCIL GOAL: Financially Sound Government
4A: Provide funding and organizational framework to ensure continual economic improvements
MEETING DATE: September 15, 2020
DEPARTMENT: Financial Services
CONTACT: Mark Holloway, Chief Financial Officer
Trudy Mathis, Finance Director
RECOMMENDED CITY COUNCIL ACTION:
• Adopt the Fiscal Year 2020-2021 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 document, is used by the external auditor to ensure that prudent financial management is being practiced.
• Changes to Fiscal Year 2020-2021 policy include:
o Senate Bill 2 language replacing “effective” tax rate with “no-new-revenue” rate
o Adding reference to the City’s Debt Management Policy
o Other housekeeping updates for title and department name changes
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