AG 1998 07 13 - Laserfiche WebLink

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I. OB3~CITVES 621 CABARRUS COUNTY FINANCIAL AND BUDGETARY POLICIES DRAFT A. To link long-term financial planning with short-term daily operations B. To maintain the County's stable financial position To ensure that Commissioner's adopted policies are implemented in an efficient and effective manner D. To secure the hi~hest possible credit and bond ratings by meeting or exceeding the requirements of bond rating agencies through sound, conservative financial decision making E. To comply with North Carolina Budget and Fiscal Control Policies iii. OPBP,~ICHNG B~X~T ] The County's Annual Budget Ordinance will be balanced in accordance with the Local Government Budget and Fiscal Control Act (N.C.G.S. 159-8 The County's Annual Budget Ordinance will be adopted by July 1 (N.C.G.S. 159- 13 (a)). A. Revenue Policy The County seeks to implement a diversified taxing policy that will ensure reasonable stability for operation at continuous service levels, but that will provide elasticity necessary for responding quickly to increased service demands due to new development. Revenue management includes within its focus, an ongoing process for reviewing and analyzing each revenue source to ensure that proceeds from each source are at an optimum level. Projected revenues will be estimated conservatively and will be based on historical trends, growth patterns, and the economy. To meet these objectives the County observes the following guidelines: 1. Ad Valorem Tax As provided by the North Carolina Local Budget and Fiscal Control Act, estimated revenue from the Ad Valorem Tax le~y will be budgeted as follows: a. Assessed valuation will be estimated based on historical trends and growth patterns in a conservative manner. b. The estimated percentage of collection will not exceed the percentage of the levy actually realized in cash as of June 30 during the preceding fiscal year, in accordance with state law. c. The tax rate will be set each year based on the cost of providing general governmental services and paying debt service. 2. User Fees The County sets fees that will maximize user charges in lieu of Ad Valorem Taxes for services that can be individually identified and where the costs are directly related to the level of service. This objective is in keeping with the Commissioners' goal that growth should pay for itself, and not place a burden on current residents who do not use the service. Emphasis of user charges over Ad Valorem Taxes results in the following benefits: a. User charges are paid-by all users, including those exempt from property taxes. b. User charges avoid subsidization in instances where the service is not being provided to the general public. c. User charges are a means of rationing the provision of certain services. d. User charges for certain services can be Justified on the basis of equity and efficiency, by producing information on the demand level for services and by helping to make the connection between the amount paid and the service received. 3. Grant Funding Staff will pursue opportunities for grant funding. Application will be made after a grant is evaluated for consistency with Commissers (sic) goals and compatibility with County pro§rams and objectives. Any awarded funds will he accepted only after Commissioners review and action. 4. Other Revenue All other revenue will be programmed through the ah~ual budget process to meet County Commissioners' goals and objectives. B. Expenditure Policy 1. Expenditure budgets are reviewed by staff, the Budget Officer, the County Manager and County Commissioners prior to adoption and are