AG 1998 07 13 - Laserfiche WebLink

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623 the project needs, timing, tax or rate payer equity and lowest interest cost. The County will continue to strive for th~ highest possible bond rating to minimize the County's interest expenses. The County's debt policy will be comprehensive and the County will not knowingly enter into any contracts creating significant unfunded liabilities. A. The County will establish and maintain its accounting systems according to the North Carolina Local Budget and Fiscal Control Act. Financial systems will be maintained to monitor expenditures and revenues. B. All records and reporting will be in accordance with Generally Accepted Accounting Principles. The basis of accounting within governmental funds types is modified accrual. Under this method of accounting, revenue is recorded when measurable and available. All Enterprise Funds follow the accrual basis of accounting. Under this method of accounting, revenues are recognized when earned and expenditures are recorded when incurred. C. The County will place emphasis on maintenance of an accounting system which provides strong internal budgetary and accounting controls designed to provide reasonable, but not absolute, assurance regarding both the safeguarding of assets against loss from unauthorized use or disposition and the reliability of financial records for preparing financial statements and reports, such as the budget and the Comprehensive Annual Financial Report (CAFR), as well as maintenance of accountability of assets. D. An annual audit will be performed by an independent public accounting firm which will issue an opinion on the annual financial statements, with a management letter detailing areas that need improvement if required. E. Full disclosure will be provided in all regulatory reports, financial statements, and bond representations. F. The County will establish and maintain an inventory of fixed assets to account for the County's property. Reports of these inventories and depreciation of all fixed assets will be made in accordance with current governmental accounting standards. G. The County's annual financial report will be prepared according to the standards necessary to obtain the Certificate of Achievement for Excellence in Financial Reporting from GFOA, and will be submitted each year for recognition. [ V. CASH ~ POLIO/' The purpose of the County's Cash Management Policy is to provide guidelines to maximize the use of public moneys in the best interest of the public. A. Receipts 1. Cash receipts will be collected as expediently as reasonably possible to provide secure handling of incoming cash and to move these moneys into interest earning accounts and investments. 2. All incoming funds will be deposited daily as required by law. Deposits will be made in such a manner as to receive credit for that day's interest. 3. The County will develop and maintain cash flow proJe6tions that allow the County to invest moneys for longer periods of time at higher rates of interest since yields usually increase for longer maturities. B. Cash Disbursements 1. The County's objective is to retain moneys for investment for the longest appropriate period of time. 2. Disbursements will be made timely in advance of or on the agreed- upon contractual date of payment unless earlier payment provides a greater economic benefit to the County. 3. Inventories and supplies will be maintained at minimally appropriate levels for operations to increase cash availability for investment purposes. 4. For County checks dual signatures will be required. Facsimile signatures will be safely stored and used when approp~lgte. C. Investment Policy 1. It is the policy of the County to preserve capital and invest public funds in a manner which provide the highest investment return with the maximum security while meeting the dally cash flow DRgF¥