The Finance Department is responsible for administering the Town’s financial policies and procedures, maintaining the Town’s financial condition, and representing the Town on financial matters with internal and external parties. Responsibilities within this department include accounting, cash management, budgets and procurement.
The accounting function of the Finance Department includes monthly and annual financial statement preparation. The Finance Department works closely with the Town’s auditor to prepare accurate, timely financial data.
According to North Carolina General Statutes, one of the primary annual duties of the Town Manager is to recommend an annual balanced budget to the Town Board of Commissioners. The annual budget is a funding plan; it outlines where revenues will come from and how tax dollars will be spent. We are required to adopt a new budget every year that details sources of revenue and spending authority. The Town Manager has limited access to change Board adopted budget ordinances without Board notification, and cannot increase funding without Board approval.
The Board annually adopts a budget calendar, but in general the budget process begins in January and concludes around June. The budget must be adopted by June 30. Prior to Board adoption, numerous budget workshops are held as well as a public hearing so that Board members may assess public sentiment regarding the annual budget.
Budgets and Financial Statements for the current as well as previous years can be found in the Document Center.
Operating and Capital Budget
North Carolina General Statutes require that local governments adopt a balanced annual budget. The Finance Department oversees the adoption of the budget, which includes both operating and capital budgets. The budget season typically begins when the Board of Commissioners communicates priorities to each department in the form of mutually agreed upon goals and objectives for the year. Departments submit their requests to the Town Manager and Finance Director. Revenue projections are prepared and the budget is balanced. The budget is then submitted by the Manager to the Town Board. A budget hearing is set for public comment. The budget is adopted in June for the following year beginning on July 1.
The cash management function of the Town includes investment of idle funds and maintaining appropriate cash flow levels during the cyclical revenue phases of the fiscal year.
Operation of the Town requires the purchase of many goods and services. The Finance Department ensures that the Town complies with North Carolina General Statues regarding the purchase of those goods and services. Depending upon the dollar amount of purchases, either formal or informal bids are received and purchase orders are issued. Goods and services are paid for by the accounts payable function of the Finance Department.