[HISTORY: Adopted by the Borough Council of the Borough of Carlisle 5-8-1986 by Ord. No. 1505, approved 5-8-1986. Amendments noted where applicable.]
The purpose of this chapter, to be known as the "Fiscal Control Ordinance of the Borough of Carlisle," is to provide for a system of financial administration, accounting, fiscal and budgetary control which conforms to generally accepted accounting practices.
The fiscal year shall begin on January 1 and shall end on December 31.
An annual budget will be adopted by the Borough Council prior to the first day of the fiscal year. The proposed budget shall be prepared by the Borough Manager and transmitted to members of the Council for their review a minimum of 45 days before the required date of adoption. The budget as adopted shall be a balanced budget, with anticipated revenues (including appropriated unencumbered surplus) equal to appropriated expenditures for all funds.
[Amended 1-10-1991 by Ord. No. 1701, approved 1-10-1991]
No expenditure of any funds shall be legal or proper unless appropriations adequate to meet that expenditure have been made in the budget. All purchases shall be made in full compliance with applicable law.
At the time the proposed budget is reviewed by Council at a public meeting, a copy of the proposed budget shall be made available for public inspection during regular office hours in the Borough offices.
No earlier than 10 days after the proposed budget is reviewed by Council at a public meeting and no later than the time that the budget is adopted by the Council, a public hearing shall be held to give the public the opportunity to comment upon the proposed budget. Notice of such public hearing shall be given in a newspaper of general circulation in the municipality no more than 20 days and no less than 10 days in advance of the hearing.
The adoption of the budget shall be accomplished by the approval of a budget resolution which specifies the anticipated revenues by appropriate categories and the appropriated expenditures for the several categories and purposes set forth for each fund. Amendments to the budget shall be approved by resolution.
Any increase in fund budget appropriations shall require the approval of the Council in the form of an amendment to the budget resolution.
The transfer of appropriations among the various line items within any Borough budget shall only require the approval of the Borough Manager, except that any transfer of appropriations within any budget account so as to increase the salary appropriation for the purpose of employing additional personnel shall require an amendment of the budget resolution by the Council.
The Borough Manager shall present as part of the annual proposed budget a statement of anticipated revenues on the basis of the ordinary and reasonable revenues which can be expected for the fiscal year. Property tax revenue estimates shall be based upon the anticipated tax rolls, less a stated discount for early payments, plus a stated amount of delinquent taxes, including penalties and interest, to be collected in the fiscal year based on consideration of the actual experience in the collection of delinquent taxes in the three prior fiscal years.
Borough Council may establish a fund, to be known as the "Capital Reserve Fund," for the purpose of reserving moneys for capital improvements and other lawful expenditures as directed by the annual budget. Revenues to the Capital Reserve Fund shall consist of transfers from the Borough's operating funds of moneys earmarked for capital improvement projects.
All appropriations which are not obligated, encumbered or expended at the end of the fiscal year shall lapse and shall become a part of the unencumbered fund balance which may be appropriated for the next fiscal year.
The following funds may be established and shall be used as necessary to provide for the proper accounting of all financial activities of the Borough:
The general fund, to account for the general governmental operations and all financial transactions not properly accounted for in another fund.
Special revenue funds, to account for the proceeds of special revenue sources, other than special assessments, or to finance specified activities as required by law or administrative regulation.
Debt service funds, to account for the payment of interest and principal on long-term debt other than special assessment and revenue bonds.
Capital projects funds, to account for the receipt and disbursement of moneys, including bond funds, used for the acquisition of capital facilities other than those financed by special assessment and enterprise funds.
Enterprise (utility) funds, to account for the financing of services to the general public where all or most of the costs involved are paid in the form of charges to users of such services.
Trust and agency funds, to account for assets held by a governmental unit as trustee or agent for individuals, private organizations and other governmental units.
Internal service funds, to account for the financing of special activities and services performed by a designated organization unit within a governmental jurisdiction for other organization units within the same governmental jurisdiction.
Special assessment funds, to account for special assessments levied to finance public improvements or services deemed to benefit the properties against which the assessments are levied.
A complete self-balancing group of accounts shall be established and maintained for each fund used. This group of accounts shall include all general ledger accounts and subsidiary records necessary to reflect compliance with legal provisions and to set forth the financial position and the results of financial operations of the fund.
Additional accounts, as follows, shall be maintained:
A fixed asset account for the purpose of accounting for those assets which are of a tangible nature, have a life longer than one fiscal year and have a value greater than $5,000. General fixed assets shall be recorded at original cost and shall be maintained pursuant to the rules and guidelines issued by the Government Accounting Standards Board (GASB).
To the extent possible, the government-wide, proprietary, and fiduciary fund financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. The governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. All receipts and disbursements shall be posted promptly and at least on a monthly basis. To the extent possible, all interfund transfers shall be cleared by the end of the fiscal year.
Financial statements and reports showing the current conditions of budgetary and proprietary accounts shall be prepared and presented to the governing authority at least every three months. Not later than six months after the close of the fiscal year, a comprehensive annual financial report covering all funds and financial operations shall be prepared and published. A summary of this report, containing at least a statement of revenues and expenditures as of the close of the preceding fiscal year and the combined balance sheet for all funds and account groups, shall be published in a newspaper of general circulation in the municipality.
All the funds, accounts and financial transactions of the Borough shall be subjected to an annual audit by an independent certified public accountant who is to be selected by the Borough Council. The audit shall be conducted in accordance with Governmental Auditing Standards, issued by the Comptroller General of the United States. The auditor shall also have the powers and duties set forth by law. See Section 1196 of the Borough Code (53 P.S. § 46196).
The responsibility for the proper execution of the provisions of this chapter shall be with the Borough Manager, who may delegate certain duties to the Director of Finance, except where the responsibility is explicitly given to the Council.
Where any section of this chapter is found to be in conflict with any of the provisions of the Borough Code, the provisions of the Borough Code shall control.