FUND BALANCE & NET POSITION
GOVERNMENTAL FUNDS
The county presents two kinds of financial statements: the government-wide statements discussed previously and the fund financial statements. The governmental fund financial statements provide information on a current resource basis only and focus in greater detail on the county’s funds, and not the county as a whole. Most of the county’s basic services are included in governmental funds, which focus on (1) how cash and other financial assets can readily be converted to cash flow in and out and, (2) the balances left at year end that are available for spending. Consequently, the governmental funds’ statements provide a detailed short-term view that helps the reader determine whether there are more or fewer financial resources that can be spent in the near future to finance the county’s programs. Loudoun’s general fund balance has been increasing over time and is both positive and available. This indicates a healthy trend and strong fiscal condition which serves to support the county’s AAA bond ratings and provides sufficient carry-over funds for cash flow purposes. Carryover funds eliminate the need for short-term borrowing between the start of the fiscal year and the receipt of revenue from taxes. The general fund balance increased by $60.5 million in FY 2025 compared to the previous year. County tax revenue increased primarily from stronger than-expected performance in the real estate portfolio,
particularly among commercial properties and growth in business personal property equipment revenues. An increase in interest earned on investments, due to high interest rates, contributed to a stronger than expected performance in revenue. The increase in assessment values for property and growth in local tax revenue exceeded the growth in expenditures related to personnel and operating and maintenance costs, as well as higher transportation and infrastructure costs, contributing to the increase in fund balance. The total general fund balance is $777.6 million, of which $194.4 million was unassigned and available to meet the county’s current and future needs. In addition to the General Fund, the county has 29 special revenue funds reported in the ACFR as Non- Major Governmental Funds. A special revenue fund is a fund established to collect revenue for a specific project or purpose. The non-major governmental fund balance increased by $61.9 million compared to the previous year. This increase is attributable to a rise in proffer contributions, increases in tax revenue allocated to affordable housing, and increased funding of transportation projects from the Northern Virginia Transportation Authority and gasoline tax. Please refer to the ACFR, Other Supplementary Information for details on these Special Revenue Funds.
GENERAL FUND BALANCE
$900,000,000
$800,000,000
$500,000,000 $600,000,000 $700,000,000
$400,000,000
$100,000,000 $200,000,000 $300,000,000
2021
2022
2023
2024
2025
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