Rev 2003.01 — Classification of Funds

(a) Governmental funds
are generally used to account for activities supported by taxes, grants, or
other similar revenue and shall consist of:
(1) A
general fund to account for all financial resources of the village district
except those required to be accounted for in another fund;
(2) Special
revenue fund(s) to account for the proceeds of specific revenues sources, other
than expendable trusts or major capital projects and exclusive of resources
held in trust for other individuals, private organizations, or other governments, that
are legally restricted to expenditure for specified purposes;
(3) Capital
project fund(s) to account for financial resources used to acquire or construct
capital facilities, other than those financed by proprietary funds and trust
funds;
(4) Permanent
fund(s) to account for and report resources restricted to the extent that only
earnings and not principal may be used for purposes to support the village's
programs;
(5) Capital
and non-capital reserve funds established pursuant to RSA 35 and held by the
municipality in a trustee capacity; and
(6) Expendable
trust funds established pursuant to RSA 31:19-a and held by the municipality in
a trustee capacity.
(b) Fiduciary funds
shall account for assets held in a trustee or agency capacity for others that
cannot be used for the village's own programs and are held by
the municipality for a village district in a trustee capacity such as but not
limited to:
(1) One
of the following:
a. Expendable
trust funds established under RSA 31;
b. Nonexpendable
trust funds established under RSA 31; or
c. Deferred
compensation plan and other employee benefit trust funds
established under RSA 31; and
(2) In
an agency relationship, such as agency fund(s) for:
a. Individuals;
b. Private
organizations;
c. Other
municipalities; or
d. Other
funds.
(c) Proprietary
funds shall consist of:
(1) Enterprise funds,
which may be used to account for operations:
a. That
are financed and operated similar to private business enterprises where the
intent of the governing body is that the expenses, including depreciation, of
providing goods or services to the general public on a continuing basis are
financed or recovered primarily through user charges; or
b. Where
the governing body has decided that periodic determination of revenues earned,
expenses incurred, and net income is appropriate for:
1. Capital
maintenance;
2. Public
policy;
3. Management
control;
4. Accountability;
or
5. Other
public purposes; and
(2) Internal
service fund(s), which may be used to account for the financing of goods or
services provided, on a cost-reimbursement basis, by one department or agency
of a village district to other:
a. Departments
or agencies of the village district; or
b. Other
governments.
Source. #5454, eff 8-28-92; ss by #6809, eff 7-21-98;
ss by #10675, eff 9-24-14 (from