Town of Blacksburg Adopted Operating Budget FY 2027

GLOSSARY OF TERMS ( continued )

Fund

A fiscal and accounting entity with a self-balancing set of accounts which is segregated for the purpose of carrying on specific activities or attaining certain objectives in accordance with special regulations, restrictions or limitations.

Fund Balance/ Retained Earnings

The excess or deficiency of the assets of a fund over its liabilities.

GAAP

Generally Accepted Accounting Principles. Uniform minimum standards for financial accounting and recording, encompassing the conventions, rules, and procedures that define accepted accounting principles. Governmental Accounting Standards Board. It is the source of GAAP used by state and local governments in the U.S. It is the independent organization that establishes and improves standards of accounting and financial reporting for U.S., State, and Local governments. Government Finance Officers Association. It represents public finance officials throughout the U.S. and Canada. It enhances and promotes the professional management of governmental financial resources by identifying, developing, and advancing fiscal strategies, policies, and practices for the public benefit. Fund type used to account for all revenues and expenditures of the Town which are not required to be accounted for in the other funds. Revenues are derived primarily from property taxes, local sales taxes, utility taxes, licenses and permit fees, and State shared taxes. General Fund expenditures include the costs of the Town’s general government activities and transfers to other funds, principally to fund capital construction and debt service requirements. A fund type used to account for acquisition and/or construction of major capital projects such as land, buildings, and infrastructure. Revenues are derived from bond proceeds, intergovernmental revenue, and private project funds.

GASB

GFOA

General Fund

General Capital Project Fund

Governmental Funds

Funds generally used to account for tax-supported activities.

Inflation

A general increase in prices and the resulting fall in the purchasing value of money.

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