OPERATIONAL OVERVIEW
FY 2026
For budgetary purposes, grant revenue is recognized when the grant-related reimbursable expenditures are made. Under GAAP, these revenues are recognized when measurable and available. For budgetary purposes, depreciation expense is not appropriated, but capital outlays are. Under GAAP, in the proprietary funds, capital outlay transactions are recorded as an increase in capital assets, and depreciation expense is recognized on an annual basis regardless of when a capital asset is actually replaced. For budgetary purposes, accrued interest for debt service is not appropriated. Under GAAP, accrual for interest payable is recorded if meets certain criteria.
In recognition of these differences, companion financial statements are presented according to the budgetary basis of accounting.
Balanced Budget:
Under County Code the County Commissioners’ annual budget shall have a figure for the total of all appropriations and a figure for the total of all revenues available to pay the appropriations. The figure for total appropriations shall not exceed the figure for total estimated revenues.
Costing of Services:
In addition to accrual basis budgeting, several enterprise funds utilize a cost-of-service approach. Cost of service is a method of accounting which identifies both the cost of the program and the portion of the cost that will be recovered through fees and charges. By using this financial technique, the County can assess the true cost of providing a service. Currently water, sewer, and solid waste services use this approach to determine cost and rates.
Amendment to the Budget
The County’s Operating Budgets are adopted at the program/service level and the Capital Improvement Budgets are adopted at the project level. Transfers between programs or projects greater than $25,000 require County Commissioner approval. Any transfer out of contingency requires the approval of the County Commissioners. The Chief Financial Officer reviews the project status and revenues before any issuance of debt. Any modifications to a project and or the total debt to be issued based upon this review is required to be approved by the County Commissioners either for an increase or decrease in total borrowing amount or for a change in the borrowing source.
2026 Budget Document
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