The budget is a plan. It is a financial proposal that annually directs the provision of public services and facilities. This plan represents the Town Manager and Board’s commitment to provide for the most important citizen needs within the boundaries of available funds.
The money collected by the Town from taxes, grants, fees and many other sources to pay for this plan is called revenue. The money spent on salaries, materials and equipment to provide planned services and facilities is called expenditures. Fund Balance is the difference between assets and liabilities in governmental funds. In the State of Colorado, budgeted expenditures cannot exceed the amount of funds that the Town has available in revenues and fund balance per CRS § 29-1-103.