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Memo - Third Quarter 2011 Financial and Investment Report. MEMORANDUM I FINANCE DEPARTMENT Date: October 18, 2011 To: Mayor & City Council From: Christine Harkess, Finance Director Subject: Third Quarter 2011 Financial and Investment Report Attached is the third quarter financial and investment report power point presentation. If you have any questions in advance please contact me. A full presentation will be given at the council meeting. • 0 L.J • 2011 3rd QUARTER FINANCIAL & INVESTMENT REPORT CITY OF HOPKINS General Fund Revenues o Taxes support 84% of general fund activities. c Intergovernmental revenues support 4% o Licenses, Permits & Fines support 5% o Charges for Services support 2% c Miscellaneous revenues including Franchise fees support 3% c Interest income supports less than 1% c Use of budgeted reserves - 1% GENERAL FUND REVENUES General Fund - Overview o Revenues are at 76.13% of total budget o Expenditures are at 71.56% of budget General Fund Revenue Comparison 3rd Quarter (.,,—ands) $7,000 •2u11 $6,000 1$010 $5,000— °E009 $4,000 $3,000 $2,000 $1,000 $010 Teaex Ivrergvv'1 IJc/Per/i'Ivea C�vrges 1-0 0— General Fund Expenditures o Salaries and benefits make up 79% of GF expenditures o Materials, supplies and services make up 21% o Transfers and Contingency make up 0% o Capital is 0% I % age of Budget Actual Budget Taxes $ 8,630,564 $ 6,550,724 75.90% Intergovernmental $ 442,070 $ 388,640 87.91% Licenses, Permits & Fines $ 515,290 $ 424,515 82.38% Charges for Services $ 185,700 $ 199,221 107.28% Miscellaneous $ 319,900 $ 170,434 53.28% Interest Income $ 75,000 $ 7,445 9.93% Use of Reserves $ 130,803 $ - 0.00% Total Revenues $10,299,327 $ 7,740,979 75.16% General Fund - Overview o Revenues are at 76.13% of total budget o Expenditures are at 71.56% of budget General Fund Revenue Comparison 3rd Quarter (.,,—ands) $7,000 •2u11 $6,000 1$010 $5,000— °E009 $4,000 $3,000 $2,000 $1,000 $010 Teaex Ivrergvv'1 IJc/Per/i'Ivea C�vrges 1-0 0— General Fund Expenditures o Salaries and benefits make up 79% of GF expenditures o Materials, supplies and services make up 21% o Transfers and Contingency make up 0% o Capital is 0% I • CJ Total General Fund Expenditures 3rd Quarter - (in thousands) $6,000 ■2010 $5,000 02009 ■2008 $4,000 $3,000 ' $2,000 $1,000 Salaries MatitSpls Capital General Fund Expenditures 2011 Budget Challenges o State Budget Deficit Impact on city's budget o Loss of MVHC o Unallotment of LGA o Health insurance costs o Investment income opportunities continue to present challenges o Decline in property values General Fund Expenditure Comparison 3rd Quarter - (In thousands) $8,000 $7,000 $6,000 _ e $5,000 $4,000 $3,000 $2,000 $1,000 $0 2011 2010 2009 2008 City's Response o Revenues Eliminated Capital Levy o Expenditures Delayed hiring of vacant positions Eliminated non-critical capital items Use of budget reserves from 2009 2 % age of Budget Actual Budget General Government $ 1,200,450 $ 758,137 63.15% Community Services $ 1,008,440 $ 714,128 70.82% Public Safety $ 5,322,645 $ 3,766,850 70.77% Public Works $ 2,174,400 $ 1,640,049 75.43% Recreation $ 533,192 $ 435,082 81.60% Other $ 60,200 $ 57,245 95.09% Total Expenditures $10,299,327 $ 7,371,491 71.57% 2011 Budget Challenges o State Budget Deficit Impact on city's budget o Loss of MVHC o Unallotment of LGA o Health insurance costs o Investment income opportunities continue to present challenges o Decline in property values General Fund Expenditure Comparison 3rd Quarter - (In thousands) $8,000 $7,000 $6,000 _ e $5,000 $4,000 $3,000 $2,000 $1,000 $0 2011 2010 2009 2008 City's Response o Revenues Eliminated Capital Levy o Expenditures Delayed hiring of vacant positions Eliminated non-critical capital items Use of budget reserves from 2009 2 C-] • Special Revenue Fund Revenues Enterprise Funds Change % age of Budaet Budget Actual Budget Chemical Assessment $ 45,000 $ 38,634 85.85% Economic Development $148,600 $ 92,010 61.92% Housing Rehab $ 3,500 $ 2,312 66.06% Parking $ 82,000 $ 79,749 97.25% Communications $204,000 $105,865 51.89% Depot Coffee House $112,900 $ 58,509 51.82% Art Center $795,212 $396,365 49.84% Special Revenue Funds Financial Position Special Revenue Fund Expenditures Enterprise Funds Change Budaet %age of In Fund Cash Budget Revenues Expenses Balance Balance Chemical Assessment $ 38,634 $ 78,984 $ (40,350) $ (94,039) Economic Development $ 92,010 $151,395 $ (59,385) $ 259,324 Housing Rehab $ 2,312 $ 68,592 $ (66,280) $ 518,455 Parking $ 79,749 $ 86,698 $ (6,949) $ 188,943 Communications $105,865 $124,283 $ (18,418) $ 383,142 Depot Coffee House $ 58,509 $ 67,116 $ (8,607) $ 9,419 Art Center $396,365 $576,090 $(179,725) $(873,744) Special Revenue Fund Expenditures Enterprise Funds Expenditures Budaet %age of Budget Budget Actual Budget Water $1,256,711 $ 941,278 74.90% Sewer $2,044,304 $1,346,686 65.88% Refuse $ 929,994 $ 556,118 59.80% Storm Sewer $ 425,727 $ 356,538 83.75% Pavilion $ 417,695 $ 288,840 69.15% Special Revenue Fund Expenditures Enterprise Funds Enterprise Funds % age of Budaet Actual Budget Chemical Assessment $ 45,000 $ 78,984 175.52% Economic Development $300,709 $151,395 50.35% Housing Rehab $ 94,834 $ 68,592 72.33% Parking $118,293 $ 86,698 73.29% Communications $226,074 $124,283 54.97% Depot Coffee House $122,867 $ 67,116 54.62% Art Center $794,943 $576,090 72.47% Enterprise Funds Enterprise Funds Revenues % age of Budget Actual Budget Water $1,511,464 $1,037,432 68.64% Sewer $2,072,000 $1,378,692 66.54% Refuse $ 952,370 $ 761,645 79.97% Storm Sewer $ 815,140 $ 603,606 74.05% Pavilion $ 371,850 $ 233,485 62.79% Enterprise Funds 3 Net Income Cash Revenues Expenses JLEEE1 Balance Water $1,037,432 $ 941,278 $ 96,154 $(329,672) Sewer $1,378,692 $1,346,686 $ 32,006 $ 41,057 Refuse $ 761,645 $ 556,118 $205,527 $ 519,811 Storm Sewer $ 603,606 $ 356,538 $247,068 $ 471,000 Pavilion $ 233,485 $ 288,840 $ (55,355) $(138,886) 3 • • 0 Cash & Investments September 30, 2011 o Bank Sweep Account $ 3,140,896 o Certificates of Deposit 3,953,000 o Government Securities 3,560,000 Tota 1 $10,653,896 Interest Earnings $500,000 $400,000 — -- $300,000 $200,000 $,00,000 $0 2011 2010 2009 2008 Cash & Investments Breakdown by Fund Ownership o General Fund $ 2,225,324 o Special Revenue Funds 1,555,159 o Debt Funds 1,262,972 o Capital Funds 2,983,328 o Internal Service Funds 2,063,803 o Enterprise Funds 563,310 Total $ 10,653,896 2011 3rd QUARTER FINANCIAL AND INVESTMENT REPORT Questions? 11