BASIS OF PRESENTATION, BUDGETING AND ACCOUNTING (cont)

Three funds were closed as of 2022: the Parks and Recreation Impact Fee Fund, the Transportation Impact Fee Fund and the Parkglenn Construction Fund. The monies in these funds were allocated toward eligible projects and the funds were closed.

The 10-year capital improvements plan lists approved and anticipated capital projects of the Town, and is located in the capital section of the budget document.

Debt Service Funds

Debt Service Funds are used to account for resources that will be used to pay the interest and principal of long-term debts. The Town has two Debt Service Funds: General Debt and Recreation Debt.

Proprietary Funds

Enterprise Funds

Enterprise Funds account for operations that are financed and operated in a manner similar to private business, where the intent of the Town is that the fund will be self supporting. This requires that the ongoing expense of providing goods and services to the general public be financed or recovered primarily through user charges. If these user charges are insufficient to cover the operations of the Enterprise fund, transfers can be made from other fund types to provide additional support. The Town’s Enterprise fund is the Stormwater Utility Fund.

Internal Service Funds

Internal Service Funds account for the financing of goods and services provided primarily by one Town department to other Town departments or agencies, or to other governments, on a cost-reimbursement basis. The Town’s Internal Service Funds consist of the Fleet Services Fund, Technology Management Fund, Facility Services Fund and Medical Benefits Fund.

FIDUCIARY FUNDS (CUSTODIAL FUNDS)

Trust Funds

Fiduciary Funds account for resources that the Town does not have the authority to spend on its own because the Town is holding assets of these funds in a trustee capacity or as an agent for another organizational unit. The Town has one Fiduciary Fund which is not budgeted, the Security Escrow Fund.