Budget Message / Highlights - Metropolitan Water Reclamation ...

METROPOLITAN WATER RECLAMATION DISTRICT OF GREATER CHICAGO
2009 BUDGET
FINANCE
2009 BUDGET NARRATIVE
The mission of the Finance Department is to provide accurate, economical, and efficient financial payment, collection,
accounting and reporting services on the transactions of the District in compliance with relevant statutes, professional
standards, and District policy as determined by the Board of Commissioners for the benefit of the taxpayers and the District as
a whole.
The primary objectives of the Finance Department are to account and report financial transactions, pursue revenue collections
and pay obligations. Financial reporting requirements include ensuring and demonstrating, to a diverse user community, the
District’s compliance with all applicable statutory and regulatory requirements, as well as professional standards and District
policies and procedures. Financial information is furnished in District annual reports to enable these user groups to readily
assess the District’s financial position and the results of operations. The department reports all District generated revenues as
well as billing and reporting user charges. Central to the department’s activities are the prompt payment of all obligations and
the communication of accurate, relevant, and timely information to the District’s Board of Commissioners and management,
oversight agencies, investors, and the general public. AAA bond ratings, external auditors’ unqualified opinions and the
GFOA’s Certificate of Achievement in Financial Reporting demonstrate the effectiveness of the District’s fiscal management
and financial reporting.
The 2009 appropriation request for the Finance Department is $3,762,800, an increase of $107,600 or 2.9 percent from 2008.
The increase is primarily due to merit and cost of living increases. Staffing requirements for the Department decreased to 31
positions from 33 as a result of one dropped Accounting Clerk II position and one Senior Support Specialist.
Accomplishments during 2008 are as follows:
• The District was presented with the Government Finance Officers Association’s (GFOA) Certificate of Achievement for
Excellence in Financial Reporting for the 2006 Comprehensive Annual Financial Report for the thirty-second consecutive
year;
• The District received an unqualified opinion on the fair presentation, in all material aspects, of the District’s fiscal year
2007 financial statements from external auditors;
• Implemented GASB Statement No. 49 on Accounting and Financial Reporting for Pollution Remediation Obligations;
• Implemented GASB Statement No. 50 on Pension Disclosures-an amendment to GASB Statements No. 25 and No. 27;
• Expanded payment methods to include on-line credit card payments for miscellaneous revenues;
• Implemented an Agenda Management System that automated the Board Agenda process, provided for legislation search
capabilities and enhanced transparency with public access to legislative matters;
• Completed fifteen planned and two unplanned internal audit projects;
• Expanded automation of accounts payable invoice processing through implementation of OCR Technology;
• In the fourth quarter of 2008, investigated feasibility of automating time entry process.
The Department’s goals and initiatives for 2009 include the following:
1. To pay District obligations accurately and in accordance with the Prompt Payment Act.
The District is subject to the Local Government Prompt Payment Act. There were no violations of the Act in 2008. Prompt
payment of District obligations is a top priority for the department. Accounts Payable paid 93 percent of vendor invoices in
fewer than 60 days, with 78 percent paid in fewer than 30 days. Untimely entries of goods receipts and lack of prompt invoice
approvals are the primary causes for noncompliance. The department plans to achieve 95 percent compliance within 60 days
and 85 percent compliance within 30 days in 2009 through aggressive follow-up with District requisitioners, improving the
aging report, and expanding invoiceless A/P processing and electronic payments.
2. To record and report all financial transactions in accordance with generally accepted accounting principles as
promulgated by the Governmental Accounting Standards Board (GASB), as well as any other applicable financerelated
statutory, regulatory, and/or management requirements.
The Finance Department strives to obtain an unqualified audit opinion on the District’s financial statements and seeks to earn
the Certificate of Excellence in Financial Reporting from the GFOA. The accounting system has been designed to ensure and
demonstrate that the data presented in all financial reports is relevant, accurate, reliable, complete, and fairly presented in all
material aspects.
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