Laserfiche WebLink
Financial Management for Elected Officials January 2013 <br /> <br />Institute for Local Government www.ca-ilg.org 2 <br /> <br /> <br /> <br />Introduction <br /> <br />One of an elected official’s most important responsibilities is oversight of agency finances. <br />Local agency finance can be complex. In addition, local agencies face significant financial <br />constraints in California; this includes revenue instability due to state budget decisions and <br />economic factors, state-mandated activities and procedural restrictions on raising new revenues. <br /> <br />What can elected officials do to exercise the kind of careful fiscal stewardship over taxpayer <br />resources that the community expects? <br /> <br />This guide provides a series of tips and questions to assist elected officials in performing this <br />important function. In reviewing these ideas, it is important to keep in mind that local agencies <br />vary by size, complexity of operation, and scope of activities. As a result, some of the questions <br />and practices described may not make sense for every local agency. For example, as a budget <br />and accounting matter, some agencies perform one function and may therefore have one “fund.” <br />Others may have multiple funds. <br /> <br />This guide is a starting point for conversations between local elected officials and staff. The <br />ultimate goal is to help make sure that everyone is playing their necessary and proper roles as <br />informed and responsible stewards of scarce public agency resources. <br /> <br />Where to Find What <br />Introduction ..................................................................................................................... 2 <br />Local Agency Financial Policies and Practices ............................................................... 3 <br />Budget Creation and Monitoring ...................................................................................... 7 <br />Financial Reporting and Accounting ...............................................................................12 <br />Looking Ahead: Long-Term Financial Planning ..............................................................14 <br />Cash Management and Investments ..............................................................................15 <br />Capital Financing and Debt Management ......................................................................17 <br />Purchasing and Contracting Practices ...........................................................................19 <br />Brief Glossary of Financial Management Terms ............................................................21 <br />References and Resources ............................................................................................29 <br /> <br />Page 52 of 109