finance department christopher m. quinn, macc, cpa, cfe, cgfo, cgm dawna parent phillips, mba

Finance DepartmentChristopher M. Quinn, MACC, CPA, CFE, CGFO, CGMDawna Parent Phillips, MBA

Introduction

A Debt Policy Establishes the Parameters for Issuing and Managing Debt•Provides Guidance from City Council•Facilitates the Debt Issuance Process•Promotes Objectivity in Decision-making•Provides Evidence to Rating Agencies of City’s Commitment to Sound Financial Management

Characteristics of a Debt Policy

Promotes Attainment of Strategic Action Plan Objectives

•Comprehensive Approach to Affordability•Reflects City Council Guidance and Philosophy•Establishes Limits while Preserving Flexibility

GFOA Debt Policy Recommendations

• Legal Debt Limitations or Limitations Established by Policy

• Types of Debt Permitted and Issuance Criteria• Credit Objectives• Authorized Methods of Sale• External Finance Professional Selection Process• Integration of Capital Planning & Debt Financing

Activities

Best Practices

• City Currently Follows GFOA and Industry Guidelines– Example: Recent Bond Rating Increase

• Written Policy Proposal is Consistent with Current Practices & Guidelines– One of the Most Important Financial Policies– Adoption Provides the City with a Procedural

Framework– Demonstrates City’s Commitment to Complete &

Full Public Disclosure

Next Steps

• Council Consideration for Approval on 11/5/2013

• Submit to Association of Public Treasurers (APT) for Certification