Laserfiche WebLink
B. Capital Formation <br /> <br />Co <br /> <br /> 1. Fund balances in excess of aforementioned Local Government Commission (LGC) <br /> guidelines may be used as a capital source for pay-as-you-go financing. <br /> <br />Debt Management. <br /> <br /> 1. Capital projects hnanced through the issuance of bonds or lease financing agreements <br /> will be financed for a period not to exceed the expected useful life of the project. <br /> <br />2. The County will strive to maintain a high reliance on pay-as-you-go financing for its <br /> capital improvements. <br /> <br />3. The general obligation debt of the County will not exceed the legal limit of 8% of the <br /> assessed valuation of the taxable property of the County. <br /> <br />4. Total general fund debt service will not exceed the limits imposed and recommended <br /> by the Local Government Commission. As a guide, formulas established by the LGC <br /> and rating agencies will be closely monitored and appropriately applied. <br /> <br />5. The County will seek the best financing type for each financing need based on the <br /> following considerations: Flexibility to meet the project needs, timing,, tax or rate . <br /> payer equity and lowest interest cost. <br /> <br />6. The County will continue to strive for the highest possible bond rating to minimize the <br /> County's interest expenses. <br /> <br />7. The County's debt policy will be comprehensive and the County will not knowingly <br /> enter into any contracts creating significant unfunded liabilities. <br /> <br />IV. ACCOUNTING/FINANCIAL REPORTING POLICY ] <br /> <br />A. The County will establish and maintain its accounting systems according to the North <br /> Carolina Local Budget and Fiscal Control Act. Financial systems will be maintained to <br /> monitor expenditures and revenues. <br /> <br />Bo <br /> <br />All records and reporting will be in accordance with Generally Accepted Accounting <br />Principles. The basis of accounting within governmental funds types is modified accrual. <br />Under this method of accounting, revenue is recorded when measurable and available. All <br />Enterprise Funds follow the accrual basis of accounting. Under this method of accounting, <br />revenues are recognized when earned and expenditures are recorded when incurred. <br /> <br />C. The County will place emphasis on maintenance of an accounting system which provides <br /> strong internal budgetary and accounting controls designed to provide reasonable, but not <br /> <br /> <br />