Definition & Meaning
The "AND CHANGES IN FUND BALANCE - rochestermn" refers to a financial document used by the City of Rochester, Minnesota. It is part of the city's comprehensive annual financial report, detailing changes in the fund balance of the General Fund over a specific period. This document captures the inflow and outflow of resources, highlighting how funds are allocated and spent, and provides a snapshot of the fiscal health of the municipality.
How to Use the AND CHANGES IN FUND BALANCE - rochestermn
Using this document involves analyzing the comparative statement to understand the financial position and performance of the City of Rochester's General Fund. It includes evaluating the revenue streams and expenditure categories to assess financial management strategies and identify any significant changes in fund balance year-over-year. This analysis helps policymakers, auditors, and the public gauge the city's financial stability and budget efficiency.
Detailed Analysis
- Revenues: Examine where funds come from, such as taxes, grants, or service fees.
- Expenditures: Look at categories where funds are spent, like public safety or infrastructure.
- Year-on-Year Changes: Compare current and previous years to spot trends or anomalies.
- Fund Balance: Assess overall fiscal health and reserves.
Steps to Complete the AND CHANGES IN FUND BALANCE - rochestermn
- Data Collection: Compile financial data from the previous fiscal year, including revenue and expenditure reports.
- Categorize Transactions: Sort the financial data into relevant categories, such as different types of income or expenses.
- Calculate Changes: Determine the increase or decrease in each category compared to the previous year.
- Compile the Report: Aggregate the data to present a clear overall picture of the changes in fund balance.
- Review & Edit: Ensure accuracy and clarity by reviewing the compiled document for errors or misinterpretations.
- Final Approval: Submit the document for official review and approval before publication.
Key Elements of the AND CHANGES IN FUND BALANCE - rochestermn
The form includes several critical elements that must be accurately captured for a comprehensive understanding:
- Total Revenues: Summarizes all sources of income, highlighting significant contributors.
- Total Expenditures: Outlines where and how funds were allocated, emphasizing operational and capital expenses.
- Fund Balance at Year-End: Displays the financial reserves remaining, signifying fiscal health.
- Subcategories: Breaks down revenues and expenditures further for detailed insight.
Important Terms Related to AND CHANGES IN FUND BALANCE - rochestermn
Understanding key financial terminology is essential for interpreting the document accurately:
- General Fund: The primary operating fund for the city, used to finance administrative and operational expenses.
- Fiscal Year: A year as reckoned for taxing or accounting purposes, distinct from a calendar year.
- Expenditures: Money spent on goods, services, or obligations.
- Revenues: Income generated from normal business operations and non-operating activities.
Examples of Using the AND CHANGES IN FUND BALANCE - rochestermn
To illustrate the utility of this document, here are some practical examples:
- Budget Planning: City officials use it to adjust future budgets based on revenue trends and spending efficiencies.
- Financial Auditing: Auditors review the document to ensure financial accountability and integrity.
- Public Transparency: Residents and stakeholders examine the document to understand how their tax dollars are spent.
Legal Use of the AND CHANGES IN FUND BALANCE - rochestermn
The document serves several legal functions within local government finance:
- Compliance: Ensures the city complies with state requirements for financial disclosures.
- Auditing Standards: Fulfills the need for standardized reporting in accordance with governmental accounting principles.
- Public Record: Offers a transparent financial account for citizens, fulfilling legal requirements for public records.
Who Typically Uses the AND CHANGES IN FUND BALANCE - rochestermn
This financial document is essential for a variety of stakeholders:
- City Officials: Used for strategic planning and policy development.
- Auditors: Essential for conducting thorough financial reviews and assessments.
- Residents: Provides insight into municipal financial management and accountability.
- Investors and Creditors: Offers a snapshot of financial stability, influencing investment decisions and loan agreements.
State-Specific Rules for the AND CHANGES IN FUND BALANCE - rochestermn
Minnesota has specific statutes and guidelines governing municipal finance that impact this document's preparation:
- State Mandates: Ensure compliance with Minnesota's reporting standards for municipal financial statements.
- Specific Deadlines: Adheres to the fiscal reporting calendar mandated by Minnesota state law.
- Disclosure Requirements: Fulfills the state's transparency obligations regarding public finances.
By adhering to these guidelines and contextual insights, the document serves as a robust tool for managing and reporting the financial activities of the City of Rochester, Minnesota.
