City of Everett
2010 Operating Budget
Page 15 - 5
GAAP: Stands for Generally Accepted Accounting Principles, which are accounting and reporting
standards used for both private industry and government.
GASB: Government Accounting Standards Board regulates the rules and standards for all governmental
General Fund: The City's principal operating fund, which is supported by taxes, fees, and other
revenues that may be used for any lawful purpose. The fund of the City that accounts for all
activity not specifically accounted for in other funds. Includes such operations as police, fire,
engineering, planning, finance and administration.
General Obligation Bonds: Bonds for which the full faith and credit of the issuing government are
pledged for payment.
GFOA: The purpose of the Government Finance Officers Association is to enhance and promote the
professional management of governments for the public benefit by identifying and developing financial
policies and practices and promoting them through education, training and leadership.
Governmental Funds: Funds generally used to account for tax-supported activities. The general fund,
special revenue funds, debt service funds and capital projects funds are all governmental funds.
Grants: A contribution of assets (usually cash) by one governmental unit or other organization to be
used or spent for a specified purpose, activity, or facility. Typically, these contributions are made
to local governments from the State and Federal governments.
IAC: Inter-agency Committee for Outdoor Recreation
Interfund Services/Revenue: The term "interfund" refers to transactions between individual Funds
of the City rather than transactions between the City and private companies, other governments
or vendors. From a budgeting and accounting perspective, the service provider (e.g.,
Purchasing) will budget for both the cost of providing service and the revenue received from the
service receiver (e.g., Utilities) for the service. In other words, one fund would be the customer
of another and both budgets must reflect this provider-customer relationship. As can be seen
from this description, interfund activities inflate both expenditures and revenues; this causes
what we refer to as "double budgeting."
Interfund Transfers: Amounts transferred from one City fund to another.
Intergovernmental Revenue: Grants, entitlements, shared revenues and payment for goods and
services by one government to another.