Finance covers local government revenue sources such as fees and charges and property taxes to fund services; it covers expenditures and financing such as long-term capital borrowing. Required reporting, an arms-length body assessing properties and collective borrowing ensure transparency and financial security for local governments and taxpayers.
Local governments are responsible for ensuring that they receive sufficient revenue in order to pay for their expenditures. Planning for revenues and expenditures is accomplished by various means such as the development of a five year financial plan, an annual budget and an annual municipal report. Among other items, the annual report must include a progress report on the performance of the municipality with respect to its stated objectives and measures.