C150062 Financials 2008

• Contract/PO #: C150062
• Contractor Name: Monument, Town of
• Contract Type: Loan
• Loan Projects - Doc Type: Report

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• TOWN OF MONUMENT, COLORADO
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NOTES TO FINANCIAL STATEMENTS
• December 31, 2008
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• NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
• The accounting policies of the Town of Monument,Colorado (the"Town") conform to
• generally accepted accounting principles as applicable to governments. The
• Governmental Accounting Standards Board (GASB) is the accepted standard setting
• body for establishing governmental accounting and financial reporting principles.
• Following is a summary of the more significant policies.
• Reporting Entity
•• In accordance with governmental accounting standards, the Town has considered the
possibility of inclusion of additional entities in its basic financial statements.
• The definition of the reporting entity is based primarily on financial accountability.
• The Town is financially accountable for organizations that make up its legal entity. It is
• also financially accountable for legally separate organizations if Town officials appoint a
voting majority of the organization's governing body and either it is able to impose its
• will on that organization or there is a potential for the organization to provide specific
• financial benefits to, or to impose specific financial burdens on, the Town. The Town
• may also be financially accountable for governmental organizations that are fiscally
dependent upon it.
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• Based on the application of these criteria, the Town does not include additional
• organizations in its reporting entity.
• Government-Wide and Fund Financial Statements
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• The government-wide financial statements (i.e., the statement of net assets and the
• statement of activities) report information on all of the nonfiduciary activities of the
• Town. For the most part, the effect of interfund activity has been removed from these
statements. Governmental activities, which normally are supported by taxes and
• intergovernmental revenues, are reported separately from business-type activities,which
• rely to a significant extent on fees and charges for support.
The statement of activities demonstrates the degree to which the direct expenses of the
• given function or segments are offset by program revenues. Direct expenses are those
• that are clearly identifiable with a specific function or segment. Program revenues
• include 1) charges to customers or applicants who purchase,use,or directly benefit from
• goods,services, or privileges provided by a given function or segment and 2)grants and
g the operational or capital requirements a
particular contributions function that are or segment.restricted to Taxes and meetin other items not properly included amonof g
• program revenues are reported instead as general revenues.
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