Adopted Annual Budget
A very important aspect of financial management is the budget process. It is essential that the budget documents provide a clear picture of the City's financial position, the City's goals and objectives, and the cash required to provide services to the citizens of Ankeny. This information, which is presented in the Adopted Annual Budget book, is necessary for management and elected officials to make well informed decisions regarding the allocation of the City's financial resources while maintaining a stable financial position. For the past thirteen years, the City has received the Distinguished Budget Presentation Award presented by the Government Finance Officers Association.
Capital Improvement Program
The capital improvement program (CIP) provides an organized five-year timeline for scheduling capital projects and planning long-term debt. The annual program calendar starts shortly after the City Council’s goal setting session each August and culminates in March to allow for planned capital expenditures and debt issues to be finalized and included in the City’s final budget for the upcoming year.
The CIP process is intended to provide a format for departments to submit capital project requests to the City Manager and to the City Council for review and evaluation. Approved capital projects are scheduled into the CIP time line. The first year of the capital improvement program is included as part of the City's budget and also determines the amount of bond anticipation notes and other debt instruments to be issued over the upcoming year.
The following are the definitions for what qualifies as a capital project and what qualifies for long-term bond financing.
- Capital Expenditure – The purchase of equipment or the improvement of land or buildings that is greater than $5,000, is not an ordinary repair or maintenance expenditure, and has a useful life of three years or more. A capital improvement is budgeted in the Capital Project funds if it is greater than $50,000 and has a useful life of ten years or more and especially if funded through general obligation bonds.
- Long-term borrowing shall be limited to capital improvements projects that cannot be financed from current revenues and to capital equipment with a useful life of 20 years or greater and a purchase cost of $250,000 or greater. Long-term debt shall not be used for current operations.
For purposes of determining dollar limitations, groups of projects or items may be considered cumulatively.
Last updated: 3/12/2013 10:24:25 AM