PROVIDENCE — The capital city hasn’t always been known for its fiscal forthrightness or its clean financial books. City officials are hoping that an award earned last week can help to change that perception.

Providence has received an award from the Government Finance Officers Association of the United States and Canada, recognizing the city for open and honest government accounting.

It is the first time that Providence has received the Certificate of Achievement for Excellence in Financial Reporting, which has been given to other Rhode Island communities many times — including close to 20 awards for Narragansett.

It isn’t an endorsement of the health of a city’s finances, but rather of its procedures for crafting and presenting its annual budget.

Mayor David N. Cicilline called the award prestigious, and said that it validates Providence’s efforts to strengthen its fiscal outlook.

“My administration has worked hard to create a more efficient, streamlined city government focused on the delivery of high-quality city services,” Cicilline said.

The award may be prestigious, but it isn’t particularly selective. Most communities that apply for it receive it.

For the most recent year that full data was available, 2005-2006, nationwide 1,786 city and town governments applied for the certificate. Of those, 1,747 were awarded.

Finance Director Bruce Miller said the city applied for the award in 2005 but was among the few rejected, coming away with a list of the areas it needed to improve. He added that the applicants are a self-selecting group: Most cities that apply for the award are already conscious that they will meet its many requirements.

Cities are judged on hundreds of criteria ranging from the mundane to the complex. Points such as “Does each page have a page number?” are alongside strict disclosure requirements for listing items such as collateralized debt or non-major special revenue funds.

The GFOA awards are given to communities that demonstrate a “spirit of full disclosure to clearly communicate its financial story.”

Miller acknowledged that he is conscious of Providence’s reputation as a city that doesn’t have the clearest, most accessible fiscal books. This award, he said, proves that the reality is now far different.

“This specifically says that’s not the case, no question, no doubt,” Miller said. “Our financial statements are as transparent as they can be.”

Asking the nonprofit GFOA to review a city’s records also costs money. It cost Providence $1,045 to apply for the award.

When a community is awarded the certificate, the top budget architects are automatically given individual financial reporting awards. In this case, Providence named Miller and Controller Joseph L. Chiodo as the principal crafters of the financial statements.

Miller said that above all, this award reinforces that the city’s finance staff understands the technical aspects of fiscal statements.

Providence also received good financial news last month, when Fitch Ratings affirmed the city’s “A” bond rating. Rating agencies Standard & Poor’s and Moody’s Investors Service have also given Providence an A rating. The Fitch scale peaks at AAA as the best possible rating, then drops to AA, then to A, while BBB is the lowest of the investment grade ratings.

Miller said that in this economy, with foreclosures mounting and municipal property tax revenue slowing down, it is an accomplishment to even maintain a good rating.

dbarbari@projo.com