2009 Annual Operating and Capital Budget - Village of Huntley

Village of Huntley
BUDGET PROCESS
Initial Process
All departments of the Village submit requests for appropriation to the Village Manager.
The budget is prepared by fund, function and activity and includes historical information,
current year estimates, requested appropriations for the next fiscal year and final Board
approved budget figures.
A proposed budget is presented to the Village Board of Trustees for review. The Board
of Trustees holds public hearings and may add to, subtract from or change
appropriations.
Budget Amendments
The Budget Officer (Village Manager) must approve transfers of budgeted amounts
between departments within any fund as well as any revisions that alter the total
expenditures of any fund. Expenditures may not legally exceed budgeted appropriations
at the fund level.
Budgetary Basis
The expenditure budgets of Village funds are prepared on a cash basis meaning goods
and services must be received or completed by year end to be recorded as
expenditures. Revenues are recognized when they are obligated to the Village.
Preparation
As mentioned previously, all departments of the Village submit requests for
appropriation to the Village Manager. During informal meetings with individual
departments, the Village Manager and Finance Director recommend cuts and/or
additions to the budget requests. A proposed budget is then printed and presented to
the Board of Trustees for review during the formal budget hearing. Presentations focus
on capital purchases and projects since operational line items are reviewed and
approved in detail by the Budget Officer (or designee) on a regular basis. During these
hearings, the Board may add to, subtract from or change any requested appropriations.
After formal adoption of the budget, the budget is then printed and is used as an
operational tool during the fiscal year.
Budget preparation serves as an evaluation period for departments. It provides
department heads an opportunity to review their programs and operations. It is
incumbent upon department heads to critically review existing methods, procedures and
overall effectiveness of the various activities under their jurisdiction. By doing this, they
can determine improvements that are needed to bring about a more efficient and
economical operation. Innovative ideas should be recommended to the Village Manager
for consideration.
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