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PUBLIC FACILITIES, RECREATION &
SPECIAL EVENTS DEPARTMENT
POLICY NUMBER 2.2
MONITORING DIVISION BUDGETS
3/17/2009
1/31/2014; 2/5/2021
Section 2 – Financial & Accounting
I. PURPOSE
The purpose of this procedure is to document responsibilities and procedures for monitoring
department budgets. The Director has overall responsibility for the division’s budgets across all
funds (General Fund, Self-Sustaining, Sinking Funds, and Capital Improvement Program funds).
II. RESPONSIBILITIES AND PROCEDURES
A. Budget Office: The Budget Office manages the city’s budget components at the group, and
in some cases, department level. It provides quarterly summary reports to all directors, city
management, and city council that show the budget vs. actual spending for the various funds’
year to date with specific attention paid to the General Fund. The Budget Office may require
directors to provide explanations for any spending that exceeds tolerance. For example, if
Parks and Recreation has a non-salary budget of $5,000,000 and has spent 60% of that at
the six-month point, the director may be required to explain why spending is higher than
projected.
B. Program Manager: The Manager in charge of Administrative Services oversees and reviews
fiscal activities for the Department and is the liaison with the Budget Office. The Program
Manager produces expense reports that are shared with the leadership and supervisory staff
at regular quarterly meetings. These reports show the current expenses, encumbrances, and
fund balances of each division budget and the overall balance of the department’s budget.
C. Division Administrators: Division Administrators are responsible for balancing the budgets
of all divisions under their control, i.e. overspending in one division must be offset by savings
in another division. The quarterly reports provided by the Program Manager may be used as
a monitoring tool.
D. Budget Owners: The individual budget owner has the responsibility for the daily monitoring
of expenses and revenues and for ensuring the budget is not overspent for the year. Al l
Requests for Payments and Procurement Card purchases should be approved by the budget
owner. The departmental budgets are monitored via the city’s automated accounting
system, Munis. Munis allows all city employees to view General Ledger Reports which show
the current budget and expenditures to date in both summary and detail formats. In
addition, employees can view all revenue postings. All budget owners have the responsibility
to monitor expenses and revenues to ensure all budget projections are met.
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The following Munis reports are available to assist in budget monitoring:
a. Account Inquiry Report Detail – This report lists all revenues and expenses charged to each
budget.
b. Account Central Report Summary – This report is a summary of what was budgeted, w hat
has been charged against each account, and what has been encumbered to each account
(set aside for known expenses). This report gives a percentage the amount remaining in
each budget line.
c. Purchase Order Central Report – This report lists all Purchase Orders (POs) issued to each
department and the payments made against each PO. When a PO is issued, the funds are
encumbered to the account being charged. As payments are made, the encumbrance is
reduced, and the amount is listed as an expense. When a ll invoices have been paid, any
remaining encumbrance needs cleared so that the funds are freed up in that department’s
budget to use for other expenses.
Budget owners are also responsible for monitoring revenue and should use the Munis-generated
reports to assist in meeting revenue targets.