Local Financial Management Book

Foreword     xi
Preface     xiii
Acknowledgments     xv
Contributors     xvii
Abbreviations and Acronyms     xxi
Overview   Anwar Shah     1
Financial Accounting and Reporting   Rowan Jones     7
Traditional Functions of Financial Accounting and Reporting     9
Accounting Bases     13
Expanding Traditional Functions     19
Financial Reporting Standards     29
Summary     30
Notes     31
References and Other Resources     32
Local Government Cash Management   M. Corinne Larson     33
Collections     34
Funds Concentration     41
Disbursements     45
Banking Relationships     48
Cash Flow Forecasting     50
Investing     55
Conclusion     65
Notes     68
References and Other Resources     68
Local Government Procurement and Safeguards against Corruption   Clifford P. McCue   Eric W. Prier     69
Overview of Public Procurement     70
Government Systems and the Potential for Corruption at the LocalLevel     76
The Procurement Process as a Safeguard against Corruption     79
Ethics and Professionalism     97
Conclusion     101
Notes     103
References and Other Resources     103
Local Debt Management   Gerald J. Miller   W. Bartley Hildreth     109
How Do Local Governments Use Debt?     112
When Do Local Governments Use Debt?     116
How Do Local Governments Assess Debt Affordability?     121
What Forms of Debt Do Local Governments Use?     137
How Do Local Governments Issue Debt?     143
How Do Local Governments Manage Existing Debt?     149
Conclusion     151
References and Other Resources     152
Local Government Internal Controls to Ensure Efficiency and Integrity   Jesse Hughes     157
Corruption and Money Laundering     157
Objectives and Scope of Internal Controls     159
COSO Framework on Risk Management     165
International Federation of Accountants Standards Applicable to the Private and Public Sectors     171
Institute of Internal Auditors Standards Applicable to the Private and Public Sectors     173
International Organization of Supreme Audit Institutions Identification of Organization Need for Internal Controls in the Public Sector     175
INTOSAI Framework     178
Public Internal Financial Control     180
Best Practices in Control and Management Systems for European Union Membership (SIGMA Baselines)     181
Relevance and Feasibility of Internal Controls for Local Governments in Developing Countries     181
Organizing to Implement Internal Controls     187
Notes     190
References and Other Resources     190
Internal Control and Audit at Local Levels   Mustafa Baltaci   Serdar Yilmaz     193
The Need for Improving Accountability in Decentralization     195
Contemporary Internal Controls     198
Internal Audit: A Key Module in Control Systems     204
Conclusion     208
Internal Control and Audit in Local Governments across the World     209
Establishing Effective Internal Control in Local Governments     212
Starting from Scratch: Building an Audit Unit in Local Government     216
Basic Elements of Internal Audit     218
Importance of Risk Management     221
Notes     222
References and Other Resources     223
External Auditing and Performance Evaluation, with Special Emphasis on Detecting Corruption   Aad Bac     227
What Makes Auditing in the Government Area Special?     228
The Object of Audit     231
The Scope of the Audit     232
The Users of Audits     247
The Auditor     247
The Auditee     249
The Audit     250
The Auditor's Reporting     253
References and Other Resources     254
Index     255