Fund Balance
The Village board has approved fund balance policies for its funds. These fund balance policies are key factors in determining funds available for operating and capital expenditures. Reserve policies are set to provide adequate protection for the future.
Capital Assets Policies
The Village’s capital assets policies are meant to ensure compliance with various accounting and financial reporting standards including generally accepted accounting principles (GAAP), Governmental Accounting, Auditing and Financial Reporting (GAAFR) and the Governmental Accounting Standards Board (GASB), as well as to meet any applicable state or federal regulatory and reporting requirements related to property. In addition, these policies are meant to reflect the requirements set forth in Statement No. 34 of the Governmental Accounting Standard Board, Basic Financial Statements – and Management’s Discussion and Analysis – for State and Local Governments.
Revenue & Expenditure Policies
The Village strives to maintain a diversified and stable revenue base to reduce the impacts of fluctuations of any one revenue source. The Village’s revenue mix combines elastic and inelastic revenue sources to minimize the effects of an economic downturn.
Budgeting, Accounting, Auditing & Reporting Policies
The Village’s accounting records for general government operations are maintained on the modified accrual basis of accounting, with revenues recorded when measurable and available and expenditures recorded when the services of goods are received and liabilities incurred. The Village will establish and maintain a high standard of accounting practices in conformance with Generally Accepted Accounting Principles (GAAP) for governmental entities as promulgated by the Governmental Accounting Standards Board (GASB). The Village will promote full disclosure in its CAFR and its bond presentations. The Village will comply with all financial reporting requirements, including all annual reports to be filed with the State of Illinois and all annual debt disclosures filed with respective agencies.
Capital Budget Policies
The Village will develop a multi-year plan for enterprise fund capital improvements as well as general infrastructure improvements updated annually through the budget process and will attempt to budget all capital improvements in accordance with the plan. The Village will utilize its existing revenue sources to fund these capital improvements. Long-term debt borrowing for specific projects will be considered only if existing revenue sources are not available.
Debt Management
The Debt Management Policy sets forth comprehensive guidelines for the financing of capital projects and infrastructure.
Post Issuance Compliance Policy For Tax Exempt Governmental Bonds
The Village issues tax-exempt governmental bonds to finance capital improvements. This policy has been approved and adopted by the Village to ensure that the Village complies with its post-issuance compliance obligations under applicable provisions of the Code and Treasury Regulations.
Investment Policy
The policy applies to the investment of all funds of the Village, with the exception of restricted or special funds or investments held by the Orland Park Police Pension Fund and the Village Library Fund as these funds are subject to the order of the Board of Trustees of each respective fund.
It is the policy of the Village to invest public funds in a manner which will provide the highest investment return with the maximum security while meeting the daily cash flow demands of the Village and conforming to all state and local statutes governing the investment of public funds.
