What must CMFOs retain to demonstrate financial transparency?

To demonstrate financial transparency, Certified Municipal Finance Officers (CMFOs) must retain documentation of financial transactions and audits. This requirement is critical because such documentation provides a clear and comprehensive account of how municipal funds are managed, allocated, and spent. Maintaining detailed records of financial transactions ensures accountability and offers evidence that the municipality is adhering to financial regulations and standards. Additionally, audits serve to verify the accuracy and integrity of financial statements and processes, reinforcing public trust in the municipality’s financial practices.

The emphasis on maintaining thorough documentation stands as a key principle of transparency, allowing for informed oversight by governing bodies and the community at large. In contrast, the other options do not fully encompass the breadth of records needed for transparent financial management. For instance, retaining only financial reports from the last year would overlook the need for historical context and the auditing of longer-term practices, while records of public complaints and emails may not provide the necessary insight into the financial dealings of the municipality.