TO: Mayor and Commissioners
FROM: Hugh B. Dunkley, Chief Financial Officer
THROUGH: Terrence R. Moore, ICMA-CM
DATE: February 6, 2024
Title
QUARTERLY FINANCIAL REVIEW THROUGH DECEMBER 31, 2023
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Recommended Action:
Recommendation
N/A - Presentation item.
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Background:
Attached are the financial reports for the quarter ending December 31, 2023. The staff summary below gives a brief overview of the budgetary performance for the City’s major revenue sources as well as an analysis of the year-to-date (YTD) performance of each fund and department.
General Fund Revenue Summary (54% of Budget Collected):
Total Revenue Budget: $186,454,481
Total Actual Revenue YTD: $101,079,854
§ Taxes {76% collected}
Year-to-date the City has collected $86.1 million in tax revenue (property taxes, utility service taxes, general business tax receipts, etc.). Of this total, $81.9 million represents property tax revenues; $2.4 million is for electric utility taxes; $831 thousand is for communications services taxes and $721 thousand collected represents business tax receipts. This reflects an almost $8 million increase from the amount of property taxes that were collected at this same time last fiscal year. Electric utility tax collections YTD increased by almost $400 thousand from the previous year’s collection.
§ Permit Fees and Special Assessments {31% collected}
$3.0 million collected year-to-date represents 31% of budgeted revenue for this category. Total YTD collections for this revenue source is in line with the total collections from the previous year. Electric franchise fees makes up the largest revenue source within this category with $1.9 million collected YTD; $1.7 million was collected at this same time last fiscal year.
§ Intergovernmental Revenue {26% collected}
This revenue category represents funds received by the City for federal, state, and local grants as well as state revenue sharing funds (half-cent sales tax, state-shared revenue, alcoholic beverage license tax receipts). The City has received $3.5 million or 26% of the total budgeted revenues within this category.
§ Charges for Services {26% collected}
Total charges for City services reflect approximately $4.7 million or 26% collection year to date as compared to total FY2023/24 budgeted amount of $18.0 million. This revenue category represents user fees and charges for services that are rendered for general government, public safety, culture and recreation and other City services.
§ Judgments, Fines & Forfeitures {17% collected}
Collections for judgments, fines and forfeitures represent collections of $265k of total budgeted collections of $1.6 million. The lower collections YTD reflects a decrease in the amount fees for parking violations.
§ Miscellaneous Revenue {13% collected}
This revenue source is comprised of investment earnings, rents and royalties, contributions from the CRA and administrative fees to enterprise funds. The lower percentage collected YTD reflects the fact that contributions from the CRA for the Clean & Safe Program are billed and collected after the end of each fiscal quarter.
§ Other Sources {11% collected}
This revenue source is comprised of administrative fees that are paid to the General Fund by the City’s enterprise funds; budgeted cash carryover and prior year’s encumbrances brought forward into the new fiscal year.
General Fund Expenditures Summary (31% of Budget Spent):
Total Expenditure Budget: $186,454,481
Total Actual Expenditures YTD: $57,959,585
General Fund Expenditures through three months of the fiscal year are approximately 31% of budget. Personnel service expenditures, which represent about 57% of total General Fund expenditures are at 23% of budget year-to-date. Operating expenditures are at 18% of budget, whereas Capital Outlay expenditures reflect only 1% of budget year-to-date. This is largely so because Capital Outlay purchases are not distributed evenly throughout the year.
The Grants and Aid category is at 93% of budget primarily because of payment of tax incremental revenue to the CRA, approximately $22 million, occurred during the first quarter of the fiscal year. The Non-operating expenditure category (which is currently at 25% of budget) is comprised primarily of interfund transfers to other funds for bond debt service, capital projects, and general construction funds.
Revenues (Prior Year Comparison) - All Funds:
Total revenues received to date of $136.6 million for all of the City’s budgeted funds increased by $16.6 million from the previous year, due primarily to increases in ad valorem tax revenue; increased user charges for water & sewer, stormwater utility and sanitation charges due to rate adjustments for the various enterprise funds; increased user charges to participating departments by the internal service funds (Insurance and Central Garage) also attributed to increased revenues for the City’s funds.
Expenditures (Prior Year Comparison) - All Funds:
Total expenditures to date of $84.7 million for all of the City’s budgeted funds increased by $9.7 million from the previous year, due primarily to increases in personnel services expenditures as a result of increased salaries and benefits; increases in operating expenditures in the City’s enterprise funds and increase in tax incremental payments to the CRA.
City Attorney Review:
N/A
Funding Source/Financial Impact:
N/A
Time Sensitive:
N/A