FY25 GFOA Budget - Flipbook - Page 14
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FINANCIAL POLICY OVERVIEW
Accounting & Budgeting Policies
Below, are the District’s most relevant fiscal policies. For additional information on fiscal
policies, please see the appendix beginning on page 160.
The financial statements of Bartlett Fire Protection District (the “District”) have been
prepared in conformity with Generally Accepted Accounting Principles (GAAP) as applied
to local governments. The Governmental Accounting Standards Board (GASB) is the
accepted standard-setting body for establishing governmental accounting and financial
reporting principles. The District ensures, both during the budgeting and auditing process,
that the District is in compliance with all relevant financial policies and GASB Statements
annually. The more significant of the District’s accounting policies are described below:
Basis of Budgeting:
The District’s governmental fund financial statements are reported monthly using the
current financial resources measurement focus and the modified accrual basis of
budgeting. This allows the District to maintain consistency with its budgeting throughout
the year, especially because it allows for a combination of cash basis and full accrual.
However, during the actual budgeting process, the District utilizes an accrual basis of
budgeting. This aligns with the District’s basis of accounting and promotes greater
accountability of the District’s finances.
Basis of Accounting:
The District’s government-wide financial statements and proprietary fund financial
statements (when applicable) are reported using the economic resources measurement
focus and the accrual basis of accounting. Like with the District’s basis of budgeting, this
method promotes financial accountability.
Balanced Budget:
The District’s budget is considered balanced when revenues are equal to or exceeding
expenditures.
Budget Procedure:
The Board of Trustees follows a strict set of procedures when establishing the annual
budget. This includes a timeline, rules about expenditures and appropriations, and legal
powers of the Board. More information about this procedure is included in the appendix of
this document.
Fund Balance Policies:
In the fund financial statements, governmental funds report aggregate amounts for five
classifications of fund balances based on the constraints imposed on the use of these
resources. These five classifications are as follows: 1) non-spendable fund balance, 2)
P a g e 14 |BARTLETT FIRE PROTECTION DISTRICT | BUDGET OVERVIEW
