Department of Finance and Risk Management

The Department of Finance & Risk Management (FAS) oversees the City of Reykjavík’s financial control. The Department makes contact with all aspects of Section A of the Reykjavík Municipal Treasury and provides managers with information, support, and control.

About the Department

The Department of Finance and Risk Management is divided into seven units, in addition to the Office of the Director.

These units are: Planning and Settlement Office, Accounting Office, Asset Office, Treasury and Collections Office, Purchasing Office, Payroll Office, and Risk Management Office.

Planning and Settlement Office

The main tasks of the Planning and Settlement Office are the following:

  • Preparation of the budget, five-year plan, including investment plan, and financial plan for Part A and the Reykjavík City group together with explanatory reports.
  • The City of Reykjavík's operational plan in accordance with the policy of specific councils and City Council.
  • Periodic accounts of Part A and the group and the Reykjavík City annual accounts together with explanatory reports.
  • Financial analyzes of operations and investments and providing information to the Mayor and City Council.
  • Coordination of financial information and development of key figures.
  • Review and administrative treatment of proposals with financial implications.
  • Preparation and submission of data to the tax authorities.

The Office Manager of the Planning and Settlement Office is Erik Tryggvi Striz Bjarnason.

Accounting Office

The main tasks of the Accounting Office are the following:

  • Receipt and recording of invoices.
  • Booking and reconciliation of supplier invoices.
  • Creation of procurement cards, booking, and reconciliation for procurement cards.
  • Posting of income registrations.
  • Booking invoices using procurement cards.
  • Reconciliation of bank accounts.
  • Issuance of sales invoices.
  • Management of travel authorizations, calculation of daily allowances, and travel invoices.
  • Completion and submission of contractor tickets.
  • Education and advice to managers and employees regarding accounting.

The Office Manager of the Accounting Office is Jónas Skúlason.

Property Office

The main tasks of the Property Office are the following:

  • Owner's representation through the Reykjavík City Real Estate Fund that manages the City's assets: lands, plots, and other property, transport infrastructure, and movable equipment.
  • Property registration.
  • Insurance.
  • Preparation of an investment plan.
  • Leasing and invoicing.
  • Supervision and cost control of construction and property operations.
  • Development of metrics for comparing investments and operations.
  • Buying and selling of assets.

Treasury and Collections Office

The main tasks of the Treasury and Collections Office are the following:

  • Liquidity management.
  • Public bond offerings.
  • Credit administration.
  • Issuance of green bonds.
  • Conclusion of contracts with financial undertakings for procurement cards.
  • Creation of rules on the use of credit cards and their supervision.
  • Developing and implementing consistent billing procedures.
  • Collection of service fee claims.
  • Communication with debt collection companies for intermediate and statutory debt collection.
  • Payment services/treasury function.
  • Property rates, assessment and collection.
  • Management of discounts for old-age and disability pensioners.
  • Education and advice concerning financial management and collection.

The Office Manager of the Treasury and Collections Office is Helga Benediktsdóttir.

Procurement Office

The main tasks of the Procurement Office are the following:

  • Services to the Procurement Council.
  • Making proposals for the most cost-effective ways of procurement concerning specific areas of responsibility for the Procurement Council.
  • Implementation of formal procurement processes.
  • Service and purchasing advice to managers and employees who handle the procurement of work, goods, and services on behalf of the City of Reykjavík.
  • Coordination and standardization of the general tender specifications and tender documents of the City of Reykjavík
  • Ensuring that data used for the City's procurement processes is organized in accordance with the requirements of the Procurement Office.
  • Conclusion and control of framework agreements.
  • Monitoring that purchases are in accordance with the City of Reykjavík's Procurement Rules and the Act on Public Procurement.

The Office Manager of the Purchasing Office is Jóhanna Eirný Hilmarsdóttir.

Payroll Office

The main tasks of the Payroll Office are the following:

  • Receiving salary data from institutions and departments.
  • Monitoring of payroll data.
  • Data logging; salary scales.
  • Payroll processing; salary payment.
  • Calculation and submission of salary-related fees to pension funds, etc.
  • Submission of withholding taxes on salaries.
  • Reykjavík City salary declaration.
  • Communication and advice to managers and human resources consultants.

The Office Manager of the Payroll Office is Jóhann Ólafur Kristinsson.

Risk Management Office

The main tasks of the Risk Management Office are the following:

  • Development and implementation of a risk strategy, including objectives, the delimitation of roles and responsibilities, the identification of the risk appetite, and the performance of risk management.
  • Mapping risks in Reykjavík City operations.
  • Supervision of risk management in line with the risk policy and risk appetite.
  • Proposing risk management methodologies, including the use of information systems.
  • Setting a policy for prioritizing risk management.
  • Creation of guidelines for the implementation and development of reporting and sharing of information on status and results.
  • Regular assessment of risk culture and risk maturity and creation of improvement plans.
  • Financial risk management and an overview of economic developments.
  • Issuing and developing a quarterly risk report for the City's Part A financial risks.
  • Risk analysis and scenario preparation. Risk assessment of budget assumptions.
  • Monitoring of economic indicators, analysis of economic situation and outlook, and review of economic forecasts.
  • Explanatory reports to the Mayor and City Council on risks in the City's operational environment.
  • Forecasting models for demographic development within Reykjavík, e.g. by neighborhoods and social criteria.
  • Quality control, coordination, education, and supervision of the Department.
  • Education and knowledge sharing concerning risk management.

The Office Manager of the Office of Risk Management is Stefanía Sch. Thorsteinsson.

Director's Office

The main tasks of the Office of the Director of FAS are the following:

  • Supervision and control of the activities of offices under the Department.
  • Providing information and communicating with relevant councils and committees.
  • Administrative matters, inquiries, and reviews regarding parliamentary matters, matters from the City Council, and other departments.
  • Policy development and coordination of the Department's activities. Implementation of the Department's strategy.
  • Representation relating to financial legislation; such as the Local Authorities Act, the Public Finance Act and regulations, and to the Municipal Finance Supervisory Committee.
  • Advice on accounting and representation towards ministries and regulators.
  • Development of key figures, statistics, and management information that affects more than one City entity at a time. Coordination of the presentation, use, and publication of the relevant data.
  • Management of "Reykjavík in Numbers" and the City's statistics website.
  • Development and presentation of data for operational analysis and regular reporting to specific councils and public disclosure.
  • Development and presentation of objectives, key metrics, and measurements for performance management and strategic budgeting.
  • Reykjavík City Green Accounting.
  • Services to users of financial and human resources information systems, regular processing, consulting and education.
  • Development of financial and human resources information systems.

The Office Manager of the Office of the Director is Hörður Hilmarsson.


The Director is Halldóra Káradóttir.

Organization Chart