Chapter 12: Financial Management and Taxation

A city’s strength and breadth of services depends on its active management of its finances. Financial management includes the following: (1) budgeting and forecasting; (2) accounting and financial reporting, including internal controls and audits; (3) capital planning and asset management, (4) compensation and benefits; and (5) treasury and investment management.

In addition to these topics, this chapter will discuss taxation. Taxation is the primary resource to allow cities to fund essential city services including police, fire, roads, water, parks and more.