HomeMy WebLinkAbout#3 6 21 16 May Financials
MAYOR & COUNCIL COMMUNICATION
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DATE: June 21, 2016
CONSENT
ITEM #3
MOTION
AGENDA ITEM: May 2016 Financial Reporting
SUBMITTED BY: Cathy Bendel, Finance Director
THROUGH: Cathy Bendel, Finance Director
REVIEWED BY: Kristina Handt, City Administrator
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 May 2016 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
May 2016 reflecting the monthly and year to date detail, comparing the actual results to the 2016
Budget.
City Council Meeting [Consent Agenda Item #3]
June 21, 2016
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GENERAL FUND:
Revenues:
Total revenue for the month was 9.7% above budget for the month bringing the year to date to
57.4% better than budget. The most significant budget to actual revenue variances are as
follows:
• Building Permit revenue was 34.8% above budget for the month bringing the year to date
revenue at 73.1% better budget. This is primarily due to the nice weather allowing for
building activity beginning months earlier than anticipated in the 2016 budget. There
were 19 new homes permitted in May bringing the year to date number of new homes to
98.
• Heating permits far exceeded budget by $23.1k for the month and $59.3k year to date.
This is primarily due to revenue generated on the ISD 916 project which the City was
able to retain due to the new Building Official having the required certifications.
• Plan check fee revenue was 56.3% above budget for the month bringing the year to date
revenue to 73.3% better than budget for the same reasons mentioned related to building
permit revenue.
Expenses:
Total expenses for the month were 25.9% above budget for May bringing the year to date
expenses to 1.9% lower than budget.
The following summarizes variances of note:
General:
• General Government expenses were 49.9% higher than budget for the month bringing the
year to date expenses to 27.5% higher than budget. This was primarily due legal
expenses far exceeding budget and the 3M litigation costs were the cause. In addition,
the second half billing for the annual audit was invoiced and paid in May rather than
April as budgeted.
• Total Public Safety expenses were 26.0% lower than budget for the month bringing the
year to date expenses to 16.6% lower than budget. This was primarily due to the Fire
Department not incurring building repair expenses as budgeted as well as the Building
Official functions being covered by a contract inspector at a lower cost as mentioned
last month.
• Public Works – The total Public Works expenses were 77.3% higher than budget for the
month bringing year to date expenses to 4.3% better than budget. This is primarily due
City Council Meeting [Consent Agenda Item #3]
June 21, 2016
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to the Seal Coating and Cracking filling to have started earlier in the season due to mild
weather. This expense was budgeted later in the year.
In summary, the May revenues were 9.7% better than budget and the expenses were 25.9%
higher than budget resulting in a net income of 68.5% less than budget. On a year to date basis,
the revenues are 57.4% above budget and the expenses were 1.9% less than budget resulting in a
net income of 45.0% better than budget year to date.
LIBRARY FUND:
The net income for the Library Fund for the month was $3.6k over budget (20.7%) bringing the
year to date to $56.5 better than budget. The ending cash balance as of the end of May is
$167.5k.
RECOMMENDATION: Based on the aforementioned, the staff recommends the City Council
accept the attached May Financial Report.
ATTACHMENT:
1. May Financial Reports