This policy is intended to set forth guidelines, which if adhered to, will ensure that the City’s fiduciary responsibilities will be met.

- Resolution 4342; 16 Sept. 02

OVERVIEW

The City of Sherman uses fund accounting in accordance with generally accepted accounting principles as applied to local governments. A fund is a fiscal and accounting entity with a self-balancing set of accounts, or more simply a separate set of books. The City of Sherman maintains over 20 funds. However, most of the operations are accounted for in only three funds and capital improvements are largely accounted for in two other funds.

The major operating funds are the General Fund, Utility Fund, and the Solid Waste Fund. The General Fund is supported primarily through taxes and provides for police and fire protection, streets, parks, social services, building and development regulation, and staff support. The Utility Fund accounts for the water and sewer utility and is supported by fees for those services. The Solid Waste Fund accounts for the collection and disposal of solid waste and is supported by fees for that service.

The capital improvement needs of the General Fund are addressed through the General Improvement Fund. Transfers from the General Fund, and if needed bonds, are used to fund these projects. The heavy capital needs of the Utility Fund are accounted for in the Utility Improvement Fund. Transfers from the Utility Fund and bonds issued through the Greater Texoma Utility Fund provide the financing for these projects.

RESPONSIBILITIES

Operating and Capital Budgeting
Financial Management
Accounting and Internal Controls
Investing and Treasury Services
Debt Management

PRIMARY GOALS

• To achieve and maintain long-term financial viability for the City

• Strive to maintain a professional and ethical approach to the management of the City’s financial affairs

• The recognition and acceptance of the fiduciary responsibility of protecting City assets by all City employees to the citizenry of Sherman.

• Make every attempt to regularly, accurately, and adequately disclose meaningful information to those parties who have a financial interest in the City’s affairs

ACHIEVED BY

• The continued pursuit of relevant expertise by finance officials

• Adherence to a high standard of accountability to elected officials and to the public at large

• Adherence to all applicable laws, the City Charter, and the policies outlined below.