Cannon County Budget Policy
Goal: To develop principles and policies to guide the budget process.
The Cannon County budget policy will ensure fiscal responsibility when developing a compliant budget for each fiscal year. The County Commission will follow the budget policy in order to comply with the Comptroller’s Office of State and Local Finance requirements. Developing a budget should optimally align available resources with the need for services in the county.
The County Commission understands:
• There are limited options for recurring revenue:
• The property levy is the only source of local revenue over which it has full discretion.
• An increase in the property tax levy may be required in order to achieve a balanced budget.
• The need to take the necessary steps in order to meet the County’s adopted fund balance policy including reducing expenditures, increasing revenues, or a combination of both.
The budget calendar is to be adhered to by all elected officials to ensure the county is capable of adopting a balanced, responsible budget for the operation of required county services.
January 21-31, 2019 Department Heads turn in their budget requests for
February l-28, 2019 County Executive’s office compiles budgets for the Budget Committee.
March l4, 2019 Budget Committee begins meeting with department heads.
May l6, 2019 Deadline for the County’s Board
May 2-31, 2019 Budget Committee completes final draft of
June 1-30, 2019 County Commission reviews draft budget but does not vote for approval until
August 1, 2019 County Commission votes on annual appropriations resolution, tax levy resolution and non-profit resolution.
August 9, 20I9 Deadline for County Executive’s office to forward the approved resolutions and budget lo the State Comptroller Office of Local Finance for review to determine if budget meets minimum legal requirements.
August 1-31, 2017 If the
of violation or state statute (budget does not balance, expenditure line items not in line with historical spending and no reason provided by the county), then the County Commission will meet in August to correct the proposed budget or tax levy in order to bring the county into compliance with statutory requirements pursuant to the Tennessee Code Annotated.
The formal budgetary process begins with a goal-setting, workshop for senior administrative management.
County Executive’s office by the date specified. The County Executive’s office will compile all budget requests into a budget document for review by the Budget Committee during the months of March and April. At the first meeting of the Budget Committee, the members will decide which departments they will meet with based upon their requests.
The Budget Committee conducts public review meetings and recommends revisions to the consolidated budget. The Budget Committee will draft a revised and final budget by May 31st. The County Commission is responsible for final approval and appropriation of the consolidated budgets and sets the property tax rate. The County Commission will deliberate and approve a final budget by August l1st·subject to adjustment for
All budget workshops, Budget Committee meetings, and County Commission meetings will be advertised and open to the public according to the Open Meetings Law (Sunshine Law) TCA 8-44-103. State law requires the county to publish the annual proposed operating budget in a newspaper of general circulation. The budget must be published no later than five (5) days after it is presented to the County Commission. The budget cannot be adopted until at least ten (10} days after it is published.
Adopting the Budget
The financial plans or Cannon County are included in the annual operating budgets to project all receipts and
The County Executive’s office will submit a budget document
I) Table of Contents
2) The budget document divided into multiple sections according to funds
3) Pages are numbered consecutively throughout the book with tabs.
4) The Appendix will include the budget calendar,
The County Commission is authorized to approve budget amendments throughout the fiscal year pursuant to TCA. 5-9-407. Budget amendments can be approved in two ways. The County Executive is authorized
Fund Balance Policy
The Cannon County Commission has approved a fund balance policy
Correction of any unassigned fund balance deficiencies noted in Fiscal Year 2019
The Budget Committee will review the prior fiscal year annual financial audit in the first Budget Committee meeting of the fiscal year 20I8 for its annual budget preparation. If the prior year audit noted that an unassigned fund balance deficit existed in any governmental fund at June 30th of the prior fiscal year, the Budget Committee will ascertain whether that unassigned fund balance deficit still exists. As an unassigned fund balance deficit denotes that legally restricted funds have been used for purposes other then what they were legally restricted for, the Budget Committee will take immediate steps to correct this unassigned fund balance deficit. The Budget Committee will recommend increasing revenue or decreasing expenditures for the next fiscal year’s budget to completely eliminate the unassigned fund balance deficit that was identified by the audit and bring the County back into compliance with State Statutes.
Correction of cash flow/liquidity issues noted in Fiscal Year 2019
As cash 11ow is so low in the current fiscal year that TRAN’s will have to be issued for payroll and vendor payments in the first two months of the next fiscal year, the County Commission will not pass an annual budget until the last week of July to allow the County Executive’s office to close the books for the prior fiscal year and accrue the actual
The County Executive’s office will notify the County Budget Committee at the end of May and June 2019 if any accounts payables to date have been held by the office due to lack of available cash and what is the current balance of those unpaid accounts payable, as well as any late fees and penalties being incurred by these late payments, so the Budget Committee can take these amounts into consideration for the FY 2020 budget.
The County Executive’s office will report to the County Budget Committee the balance on June 30 accounts payable alter the books are closed, as well as the reconciled cash balance for each fund at June 30th as soon as the closing process is completed in July. The balance of the accounts payables at June 30th that have to be paid by Tax and Revenue Anticipation Notes (TRANs) proceeds instead of
Approved this 6th day of
Brent D. Bush, County Executive
Lana Jones, County Clerk
Approved this 6th day of
Brent D. Bush, County Executive Lana Jones, County Clerk