HomeMy WebLinkAboutItem 6 - cc 5.19.15 April Financials
MAYOR & COUNCIL COMMUNICATION
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DATE: May 19, 2015 CONSENT ITEM# 6 AGENDA ITEM: April 2015 Financial Reporting
SUBMITTED BY: Cathy Bendel, Finance Director
THROUGH: Cathy Bendel, Finance Director
REVIEWED BY: Finance Committee
SUGGESTED ORDER OF BUSINESS:
- Introduction of Item .............................................................. City Administrator
- Report/Presentation…………………………………………City Administrator
- Questions from Council to Staff ............................................. Mayor Facilitates
- Call for Motion ............................................................... Mayor & City Council
- Discussion ....................................................................... Mayor & City Council
- Action on Motion .................................................................... Mayor Facilitates POLICY RECOMMENDER: Finance
FISCAL IMPACT: NA SUMMARY AND ACTION REQUESTED: As part of its Consent Agenda, the City Council is asked to accept the April 2015 Financial Reporting Packet. No specific motion is needed as
this is recommended to be part of the overall approval of the Consent Agenda. BACKGROUND INFORMATION: The City of Lake Elmo has fiduciary authority and responsibility to conduct normal business operations and report the financial (unaudited) statement to the City Council. City guidelines suggest the Council be updated on a regular basis.
STAFF REPORT: Attached please find the comparative financial statements for the month of April 2015 reflecting the monthly and year to date detail, comparing the actual results to the 2015 Budget.
City Council Meeting [Consent Agenda Item #6]
May 19, 2015
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GENERAL FUND: Revenues:
Total revenue for the month was 6% below the budget for the month bringing the year to date
total revenue to 19.5% below budget. The most significant budget to actual revenue variances are as follows:
• Building Permit revenue was 32% below budget for the month and 49% below budget on
a year to date basis. The budget was compiled for the full year only and the amount
shown for the month of April is 1/12th of the total budgeted for the year. This represents
8 new home starts in April compared to the budgeted 11 new home starts per month. The
year to date new home starts is at 20, of which 3 were open space new homes. The 2015
budget did not include any open space new homes.
• Sewer Permit revenue for the month was 100% below budget due to there being no new
sewer permits in the month of April.
• Utility Permit revenue for the month was significantly above budget due to the new
development activity generating more permit revenue than budgeted.
• Zoning and permit revenue was 100% above budget due to the budget for April being
zero.
• Fine revenue for the month was 21% better than budget. This is primarily due to the fine
activity ramping up in the spring as mentioned last month.
Expenses:
Total expenses for the month were 12.8% more than budgeted bringing the year to date expenses
to 6.6% less than budget. All departments continue to manage to the bottom line.
The following summarizes variances of note:
General: 1. YTD - The Liability and Auto insurance budgeted in February was paid in April as mentioned last month.
• Mayor and Council – As mentioned previously, the year to date amount in Dues and Subscriptions represents the 2015 portion of the League of MN Cities annual dues as well as the annual contribution of $5,000 made to the Youth Services Bureau in January for 2015. These amounts were spread out in the budget so the expense will catch up
during the year.
• Prosecution legal expenses are 12% higher than budget for the month and the majority of the cost increase is covered by the increase in fine revenue mentioned earlier.
City Council Meeting [Consent Agenda Item #6]
May 19, 2015
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• Building Inspection – The building inspection expenses are 41.6% below budget for the month due to the building permit volume being below the level anticipated in the plan. As a result, the contracted inspector continues to be utilized until the permit volume ramp up to a level justifying a staff addition.
• Sand & Salt – Due to better weather in March, there was no salt expense for the month of
March. It appears the harsh weather is over and it appears the remaining budgeted amounts will suffice for the fall demands. In summary, as discussed during the 2015 budget process, expenses are being closely monitored
until the development ramps up to cover growth driven expenses. Although the net income for
the month was 20.4% below budget, this is primarily a result of timing issues. Even with this, year to date actual expenses are within 1% of budget due to everyone managing to the bottom line. LIBRARY FUND:
Revenues: Revenues for the month and year to date are right at budget. Expenses: Expenses for the month of April were 20.9% less than budget primarily due to not
spending as much on library collection maintenance as budgeted. On a year to date basis, expenses were 19.7% less than budget. The ending April cash balance in the library fund is $146.4k. RECOMMENDATION: Based on the aforementioned, the staff recommends the City Council accept the attached April Financial Report. ATTACHMENT: 1. April Financial Reports