Minutes - 2002/07/22 - Laserfiche WebLink

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Mounds View City Council July 22, 2002 Regular Meeting Page 12 • Finance Director Hansen indicated the general fund franchise taxes are down slightly from last year and that represents taxes collected by the utility for January through May of last year. He then explained the difference can be explained due to the fact that there was an energy crunch last year and the prices were quite a bit higher. He further commented that last year was the exception and this years' collection is closer to normal. Finance Director Hansen called attention to Pages 3 and 13 for total revenues and total expenditures for the general fund. He then said it is somewhat dangerous to make projections based on the first six months but it appears that the figures are running a pattern fairly similar to last year in terms of revenues and expenditures. He further stated that last year there was a surplus in the general fund before a transfer was made to the special projects fund and, given the uncertainty concerning next years budget he feels it is a good benefit to have a surplus to allow for flexibility next year. Finance Director Hansen then called attention to Page 21, a summary of the Community Center operations and indicated some scrutiny would be required for the 2003 budget because it is struggling again this year. He then noted there had been some talk of moving the management fee to the general fund but even beyond that there is a struggle to make it self-sustaining. Finance Director Hansen indicated the other thing that is a little different this month was on Pages 40 and 41, a slightly different presentation of revenues for the golf course. He then • indicated that the costs for the club house were split out this time as in the past they were buried in a supply account. He further commented that without figures for the prior year it is difficult to compare. Finance Director Hansen explained that the cost of sales figure is higher than the sales themselves so he had looked into it and that is because there is a full year's worth of purchases on the books and not a full years worth of revenue at this time. Council Member Stigney asked if Staff was doing anything to correct the deficit at the Community Center. City Administrator Miller indicated that, in the past, the City had not isolated all the costs for the Community Center and an effort was made in the last year to do so in order to provide a better understanding of the costs at the Community Center. Mayor Sonterre asked if anybody went back and took the same approach to previous financial figures to see if this is a new problem or whether it has been happening in the past. Finance Director Hansen indicated he had not attempted to do that as it would be very time consuming and his department is behind schedule on budgets and other projects. Council Member Stigney asked if there would be some attempts to make corrections prior to the next report.