FY25 GFOA Budget - Flipbook - Page 170
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GLOSSARY
Accrual Basis of Accounting—An accounting method where revenue or expenses are
recorded when a transaction occurs vs. when payment is received or made. The method
follows the matching principle, which says that revenues and expenses should be
recognized in the same period.
Appropriation—The act of setting aside money for a specific purpose in order to delegate
cash for the necessities of the government’s operations.
Assessed Valuation—The value placed on real estate or other property by the County
Assessor and the State for the purpose of levying taxes.
Audit—An official inspection of an individual's or organization's accounts, typically by an
independent body.
Balanced Budget—A balanced budget is a budget in which revenues are equal to
expenditures.
Budget—An estimate of income and expenditure for a set period of time.
Budget Message—A formal presentation by the District’s Administration to the Board of
Trustees and the public that explains the budget in terms of goals to be accomplished and
how the budget relates to a comprehensive plan.
Buy-Back Fund—A non-major capital fund that includes the budget for the Sick Time Sell
Back and the Post Employment Health Plan (PEHP). These policies are included in the
District’s employee handbook.
(Sick Time Sell Back) In January of each year, any bargaining unit member may transfer
any sick time at 75% of the employee’s regular hourly pay rate to an account of the
employee’s choosing, subject to applicable withholdings. Upon retirement, any
accumulated sick time still on record is paid out in a lump sum at 75% of the employee’s
regular hourly pay rate, subject to applicable withholdings, to an account(s) of the
employee’s choosing
(PEHP Plan) In January of each year, any bargaining unit member may transfer into PEHP
any sick time at 75% of the employee’s regular hourly pay rate. Upon retirement, any
accumulated sick time still on record is paid out in a lump sum at 75% of the employee’s
regular hourly pay rate, subject to applicable withholdings, to an account(s) of the
employee’s choosing.
Capital Expenditure—Items over $5,000 that have a useful life of more than 1 year.
Capital Project—A project to construct either new facilities, make significant, long-term
renewal improvements to existing facilities, or to make large purchases of equipment.
P a g e 170 | BARTLETT FIRE PROTECTION DISTRICT | GLOSSARY
