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HomeMy WebLinkAbout05-14-18 City Commission Packet Materials - SP1. Quarterly Financial Report 1 | Page City of Bozeman Quarterly Budget Report Fiscal Year 2018 Ending 3rd Quarter, 03/31/2018 Issued: 05/14/18 By: Kristin Donald, Finance Director and Anna Rosenberry, Assistant City Manager Information is unaudited All City Funds Expenditures: After the third quarter, the City is in line to stay on budget for the Fiscal Year 2018. For all City funds, there remains adequate budget allocations for this point in time for all categories. Personnel, the most predictable element of the budget, ended the quarter at 72% of the yearly budget. We will see an increase in personnel costs related to the hiring of part-time summer employees in the coming months. We have expended 63% of the operating budget. Capital spending is at 35% of the adjusted budgeted amounts with the construction season to begin in the early fourth quarter. Revenues: Revenue recorded through the third quarter of the fiscal year totaled $74.2M. This represents 89% of the total revenue budgeted. Our revenues include an unexpected $1 million settlement of a legal dispute and the short-term rental fees, which is a new license started in the beginning of the third quarter. Charges for Services are currently exceeding budget estimates. The Building Inspection Fund is seeing strong permit revenue thus far. Charges for Services include impact fees, which are exceeding estimates due to large building projects throughout the City. 72%63% 35%42%51% 28%37% 65%58%49% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Personnel Operations Capital Debt Service Transfers City as a Whole ‐ Expenditures Through 3rd Qtr FY18 Budget Allocation Used Remaining 179 2 | Page General Fund The General Fund is used to account for all financial resources of the City, except for those required to be accounted for in another fund. As of the third quarter, spending is on track to stay within budget. As of the end of the third quarter the General fund has received $18.8M of the estimated $30.2M or 62% of budgeted revenues. The largest single source of revenue for the general fund is tax dollars which are assessed/collected twice during the fiscal year. The first collection was in November and the second collection will occurin May. Many of these sources have a seasonal component that effects collections at this point in the year. The General Fund has spent $20.8 million of its $31.7 million budget as of the end of March. This amounts to 59% of the budget spent by the end of the 3rd quarter. There are numerous capital expenditures slated for spring project starts such as the irrigation project at the cemetery and the Story Mill Community Center upgrade. Revenues Budget Estimate Revenues Unfunded %Received Charges for Services 46,220,501$                   42,118,950                     4,101,551                       91% Taxes 23,215,664$                   13,672,561                     9,543,103                       59% Intergovernmental Revenue 8,885,279$                     4,505,565                       4,379,714                       51% Other Financing Sources 8,543,787$                     4,386,959                       4,156,828                       51% Other Revenues 1,945,992$                     2,947,292                       (1,001,300)                      151% Fines & Forfeitures 1,504,450$                     1,175,381                       329,069                          78% Licenses & Permits 2,492,637$                     2,559,067                       (66,430)                           103% Special Assessments 2,344,656$                     2,151,627                       193,029                          92% Interest Income & Loan Repayments 563,756$                        702,093                          (138,337)                         125% TOTAL 95,716,722$                   74,219,495$                   21,497,227$                   89% Expenditures  Budget Allocation   Expenditures    Unused Allocation  Allocation  Used Personnel 33,035,112$                   23,792,340                     9,242,772                       72% Operations 34,051,256$                   21,340,407                     12,710,849                     63% Capital 39,234,245$                   13,545,187                     25,689,058                     35% Debt Service 5,696,985$                     2,388,411                       3,308,574                       42% Transfers 6,873,461$                     3,516,611                       3,356,850                       51% TOTAL 118,891,059$                64,582,956                     54,308,103                     52% All City Fund Combined 3QTR FY2018 Budget  Actual Remaining Revenues 30,298,623       18,802,823      11,495,800                Expenditures 31,771,619       20,817,589      10,954,030                72% 54% 34% 75% 28% 46% 66% 25% 0% 20% 40% 60% 80% 100% 120% Personnel Operations Capital Transfers General Fund‐ Expenditures Through 3rd  Qtr  FY18 Budget Allocation Used Remaining 180 3 | Page Other Governmental Funds- Special Revenue Funds Special Revenue Funds are used to account for the proceeds of a specific revenue source, usually required to be restricted by statute or ordinance. While we have dozens of special revenue funds, of note are the Building Inspection fund and the Community Development fund. The Building Inspection Fund is supported entirely by the revenue from building fees and permits. Revenues and expenditures are statutorily restricted to amounts that support the division. At this time, the fund has collected $1.4M or 85% of budgeted revenues. Fund expenditures amounted to $1.48M through the 3rd quarter, or 71% of the budgeted $2M for the fiscal year. The Community Development Fund is a separate fund that accounts for revenues and expenditures related to planning and zoning operations. Total revenues amounted to $1M through the 3rd quarter, or 85% of budgeted revenues for the year. Community Development Fund expenditures amounted to $911K through the 3rd quarter, or 61% of the budgeted $1.5M for the fiscal year. Enterprise Funds Enterprise Funds are used to account for operations that are financed and operated in a manner similar to private business enterprises. Enterprise Funds account for the City's water, wastewater, solid waste, stormwater and parking services. All funds are in line to stay on budget and revenue estimates are on course. Estimated Revenue Received %    Received Budget Expenditures %  Remaining Water 12,099,248               8,887,145                 73% 11,967,455               4,389,334                 63% Wastewater 8,806,698                 6,733,294                 76% 9,214,281                 4,347,111                 53% Solidwaste 3,818,402                 2,940,508                 77% 3,742,257                 2,753,553                 26% Stormwater 1,437,753                 1,096,334                 76% 1,488,630                 573,357                    61% Parking 982,590                    1,122,675                114%968,230                    654,900                   32% 181 4 | Page Impact Fee Funds Total revenue from Impact Fees was $7.9 Million through the 3rd quarter of FY18 or 120% of the budgeted revenues for Street, Fire, Water & Wastewater Impact Fees combined. The nature of impact fees make the revenue a difficult number to estimate accurately because it depends on the size and attributes of various building permits that are issued. Spending on projects within these funds are part of the Capital Improvement Plan. Several FY17 projects have carried over for these funds to be completed in FY18. **Budget Actual % Collected/  Expended **Budget Actual % Collected/  Expended Revenues 1,798,400$   1,959,236$  109% Revenues 3,224,710$    4,411,275$   137% Expenditures 5,616,548$   263,924$     5% Expenditures 12,572,489$  5,507,106$   44% **Budget Actual % Collected/  Expended Budget Actual % Collected/  Expended Revenues 1,221,150$   1,224,830$  100% Revenues 372,250$        366,926$       99% Expenditures 3,303,746$   39,313$        1% Expenditures 50,000$          28,812$         58% Water Impact Fees Waste Water Impact Fees Street Impact Fees Fire Impact Fees ** Expenditure budget includes 2017 carry forward project budgets 182