Agenda Packets - 2011/08/08 - Laserfiche WebLink

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Item No. 11.B.1 Meeting Date: August 22, 2011 Type of Business: Reports Administrator Review: _____ City of Mounds View Staff Report To: Honorable Mayor and City Council From: Mark Beer, Finance Director Item Title/Subject: Financial Report for the Quarter Ended June 30, 2011 Attached is the June 30, 2011 Revenue and Expense Report. I have also attached our current investment statements, and cash balances by fund. DETAIL FINANCIAL REPORTS General Fund: Most General Fund revenues are slightly higher than 2010. We receive an advance on the July property tax settlement in late June. However, the majority of tax revenue and related state paid credits are received in the 2nd half of the year. Interest revenue and transfers in and out are recorded at the end of the year. Franchise taxes, investment earnings, building permits and fines and forfeitures are trailing the budget due to the continued economic slowdown. A larger percentage of the City’s revenues are received in the second half of the year. Most operating department expenditures are at or below budget expectations and represent department efforts to continue to spend wisely. Higher fuel and energy costs have had a slight negative effect on operations as will the vacancy of several positions. Other Funds: Banquet operations, which is a component of the Community Center shows a year-to-date deficit of $18,073. Banquet center revenues are higher by $7,007 over this period last year. Expenditures are higher by $10,942 due to higher maintenance and professional services charges. Other revenues should pick-up in the second half of the year as we get into the heart of wedding season with a slight increase over 2010. A transfer of $170,000 is budgeted for 2011 and the need to transfer the entire amount will depend on the 2nd half of the year. Community Center operations have experienced growing maintenance costs and this will only accelerate as the equipment continues to age. The Council should be prepared for significant costs in the near future. The Street Improvement Fund has experienced significant cost savings over the last three projects due to the very competitive construction environment. This should continue for at least one maybe two more projects. Also, the lack of economic development projects means that additional unobligated tax increment is available to use for future street projects. The combination of these two items should allow us to accelerate the last three projects ahead of schedule. The Water, Sanitary Sewer, Storm Water and Street Light Utility fund expenses are tracking within or under budget. Water revenues are slightly under budget but tend to increase after the summer quarter. Most funds are on target with their respective budgets. The third quarter will provide a more accurate picture on how the year is going but we are on track, with no significant surprises.