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2019.07 Monthly Budget ReportMONTHLY BUDGET FINANCIAL STATUS UPDATE To: Mayor and Councilmembers From: Noah Crocker, Finance Director Period: July 2019 OVERVIEW: The Finance Department is committed to providing clear information to the Mayor, Council and staff regarding the budget status of the City. We have prepared the following reports to keep you up to date on the current budget status of the City. 1)Budget Report 2)Detail Fund Summary Report BUDGET REPORT: The Budget report will first provide Operational Funds and follow up with Capital Projects Funds. This report does not include beginning fund balance. This report is designed to provide a high-level view of each fund reviewing total revenues and expenses. The report does provide expense information by department. The goal of the City is to pay all current budget year expenses with current budget year revenues. We are not quite there yet, and this will show in the Surplus (Deficit) line at the end of each fund. We expect that future budget cycles will smooth out revenues and expenditures. The Budget Report provides information on current revenues and expenditures by fund including the following: •The original budgeted amount. •Current budget which would reflect any amendments that have been made. •Period activity which details the revenue and expense activity for the period in which the report was run. •Fiscal activity will provide the year to date expense and revenue amounts •Variance Shows the difference between budgeted and actual. •Percent remaining is the amount still needed to reach the budgeted amount. DETAIL CASH AND INVESTMENT FUND SUMMARY REPORT The Detail Cash and Investment Fund Summary Report provides information on current total cash & investment balances by Fund. 2 POINTS OF INTEREST: Current Expense Fund 001 – The Current Expense Fund is used for the general governmental functions of the City. The City has received about 63.6% of its estimated budgeted revenues as of July 31st. The following table provides a breakout of the different revenue sources received in July and Year to Date. Additionally, it provides the amounts budgeted in each category for 2019. Expenditures are at 47.3% of our 2019 budget. All departments are trending at 50% or just slightly under on their expenditures. Real Estate Excise Tax Fund 109 and Impact Mitigation Fee Fund 111 Real Estate Excise Tax receipts fluctuate greatly per month but are currently trending slightly higher (2%) than receipts received in the same time period for2018. The table below indicates current balances for the REET and Impact fees. These restricted funds are used as a local funding source for capital projects as documented in the City’s comprehensive plan. REET funds are also for debt payments. The table will illustrate beginning 2019 Fund Balances, revenue received year to date, expenses which are budgeted for the biennium and balances which are obligated for future projects but have not been officially budgeted yet. The intent of this table is to snapshot and illustrate available balances and what is projected for the end of the biennium. We do expect balances to adjust as projects are completed, new cost estimates are prepared and updated, and budget amendments are completed. Impact Fees REET Recreation Reserve MW Transport Impact Parks Impact Bayside Plat SEPA Transportation REET 1 REET 2 Recreation Reserve (001) Admissions 2019-2020 Beginning Balance 536,160 44,127 316,109 541,822 585,759 1,217,673 54,930 2019-2020 Revenue Received 100,843 69,212 - 128,021 292,921 293,159 30,014 2019-2020 Expenses Budgeted (172,000) - (313,285) - (159,932) (1,474,781) - 2019-2020 Obligated Expenses (465,000) - - (500,000) (458,000) - (10,000) 2019-2020 Ending Balance 2 113,340 2,824 169,844 260,748 36,051 74,944 Revenue Source July 2019 2019 YTD 2019 Budget Property Tax 1,012 934,310 1,841,000 Sales Tax 475,469 2,977,524 5,060,000 Other Taxes 284,597 1,386,096 2,088,300 Total Taxes 761,078 5,297,931 8,989,300 Licenses & Permits 54,378 374,782 403,400 Intergovernmental Revenue 25,464 175,900 223,100 Charges for Goods & Services 53,388 387,554 438,700 Fines and Forfeits 21,516 162,226 176,300 Misc Revenues 30,418 207,153 172,500 Non Rev 514 7,636 - Capital Contributions 12,294 12,294 - Revenue Totals 959,050 6,625,476 10,403,300 Current Expense Fund Revenues 3 Capital Construction Fund 302 - The City is in the final stages of McCormick Woods Park and Rockwell Park construction completion. Street Capital Construction Fund 304 - Construction on Tremont Widening and Bay Street Pedestrian Path Segment 3, are winding down and should be complete soon. The Bay Street Pedestrian Path Right of Way efforts are ongoing. Enterprise/Utility Funds: Water operation revenues received through July are at 66 % of the total budgeted for 2019, slightly above what was budgeted. However, this is likely to taper off as summer wanes and lawn watering and irrigation slows down. Expenditures for water utility operations are at normal levels. Sewer operation revenues are trending higher than budgeted due to new homes being connected to our system. We expect this trend to slow for the remainder of the biennium. Sewer expenses are trending lower at this point in the year. Storm Drainage operations revenues received are also slightly higher than projected and expense for this fund Is as anticipated for this time period. 4 SALES TAX REVENUES SUMMARY Total 2019 Budget: $5,060,000 Total 2019 YTD Actuals: $2,977,524 Year-to-Date Actual revenue collected is 4.60% higher when compared to Year-to Date Budgeted Year-to-Date Actual revenue collected is 3.22% higher when compared to Prior Year-to Date Actuals The tables below provide additional information. Sales tax table 1 provides data on current sales tax revenue collected Year-to-date. Table 2 shows revenue received by month over a three-year period. Table 1: Table 2 0100,000 200,000 300,000 400,000500,000600,000 Monthly Sales Tax 3yr Comparison 2017 Actual 2018 Actual 2019 Actuals YTD 8/23/2019 12:02:44 PM Budget Report City of Port Orchard Group Summary For Fiscal: 2019 Period Ending: 07/31/2019 Fiscal Activity Variance Favorable (Unfavorable) Period Activity Current Total Budget Original Total Budget Percent RemainingDepartment Fund: 001 - Current Expense Revenue 00 - Revenues 6,625,475.94959,050.1710,403,300.00 10,403,300.00 -3,777,824.06 36.31 % 6,625,475.94959,050.1710,403,300.00 10,403,300.00 -3,777,824.06Revenue Total:36.31 % Expense 01 - Finance 385,802.5644,338.34853,400.00 853,400.00 467,597.44 54.79 % 02 - Court 296,329.9141,161.04625,500.00 625,500.00 329,170.09 52.63 % 03 - Law Enforcement 2,734,423.87350,261.165,823,008.00 5,823,008.00 3,088,584.13 53.04 % 04 - Community Development 707,401.4096,287.581,378,200.00 1,378,200.00 670,798.60 48.67 % 05 - Public Works 648,787.6769,974.161,262,351.00 1,262,351.00 613,563.33 48.60 % 06 - Miscellaneous 201,500.00500.00650,000.00 650,000.00 448,500.00 69.00 % 07 - Administration 600,812.8073,543.011,202,835.00 1,202,835.00 602,022.20 50.05 % 5,575,058.21676,065.2911,795,294.00 11,795,294.00 6,220,235.79Expense Total:52.73 % 1,050,417.73282,984.88-1,391,994.00 -1,391,994.00 2,442,411.73Fund: 001 - Current Expense Surplus (Deficit):175.46 % Fund: 002 - City Street Fund Revenue 00 - Revenues 960,846.5354,472.291,934,000.00 1,934,000.00 -973,153.47 50.32 % 960,846.5354,472.291,934,000.00 1,934,000.00 -973,153.47Revenue Total:50.32 % Expense 05 - Public Works 1,066,663.9394,327.842,309,591.00 2,309,591.00 1,242,927.07 53.82 % 1,066,663.9394,327.842,309,591.00 2,309,591.00 1,242,927.07Expense Total:53.82 % -105,817.40-39,855.55-375,591.00 -375,591.00 269,773.60Fund: 002 - City Street Fund Surplus (Deficit):71.83 % Fund: 003 - Stabilization Fund Revenue 00 - Revenues 215,969.352,362.13200,000.00 200,000.00 15,969.35 7.98 % 215,969.352,362.13200,000.00 200,000.00 15,969.35Revenue Total:7.98 % 215,969.352,362.13200,000.00 200,000.00 15,969.35Fund: 003 - Stabilization Fund Total:7.98 % Fund: 103 - Criminal Justice Revenue 00 - Revenues 195,990.4037,377.54244,600.00 244,600.00 -48,609.60 19.87 % 195,990.4037,377.54244,600.00 244,600.00 -48,609.60Revenue Total:19.87 % Expense 03 - Law Enforcement 251,588.4610,074.84591,400.00 591,400.00 339,811.54 57.46 % 251,588.4610,074.84591,400.00 591,400.00 339,811.54Expense Total:57.46 % -55,598.0627,302.70-346,800.00 -346,800.00 291,201.94Fund: 103 - Criminal Justice Surplus (Deficit):83.97 % Fund: 104 - Special Investigative Unit Revenue 00 - Revenues 4,262.06304.554,000.00 4,000.00 262.06 6.55 % 4,262.06304.554,000.00 4,000.00 262.06Revenue Total:6.55 % Expense 03 - Law Enforcement 110.8916.462,080.00 2,080.00 1,969.11 94.67 % 110.8916.462,080.00 2,080.00 1,969.11Expense Total:94.67 % 4,151.17288.091,920.00 1,920.00 2,231.17Fund: 104 - Special Investigative Unit Surplus (Deficit):-116.21 % Fund: 107 - Community Events Revenue 00 - Revenues 61,299.0511,572.65100,000.00 100,000.00 -38,700.95 38.70 % 61,299.0511,572.65100,000.00 100,000.00 -38,700.95Revenue Total:38.70 % OPERATIONAL FUNDS ______________________________________________________________________________________________________________________________________________________ Budget Report For Fiscal: 2019 Period Ending: 07/31/2019 8/23/2019 12:02:44 PM Fiscal Activity Variance Favorable (Unfavorable) Period ActivityDepartment Current Total Budget Original Total Budget Percent Remaining Expense 01 - Finance 0.000.002,500.00 2,500.00 2,500.00 100.00 % 06 - Miscellaneous 12,722.705,673.55100,000.00 100,000.00 87,277.30 87.28 % 07 - Administration 3,190.770.009,700.00 9,700.00 6,509.23 67.11 % 15,913.475,673.55112,200.00 112,200.00 96,286.53Expense Total:85.82 % 45,385.585,899.10-12,200.00 -12,200.00 57,585.58Fund: 107 - Community Events Surplus (Deficit):472.01 % Fund: 108 - Paths & Trails Revenue 00 - Revenues 819.08128.511,000.00 1,000.00 -180.92 18.09 % 819.08128.511,000.00 1,000.00 -180.92Revenue Total:18.09 % 819.08128.511,000.00 1,000.00 -180.92Fund: 108 - Paths & Trails Total:18.09 % Fund: 109 - Real Estate Excise Tax Revenue 00 - Revenues 586,079.7096,643.20700,000.00 700,000.00 -113,920.30 16.27 % 586,079.7096,643.20700,000.00 700,000.00 -113,920.30Revenue Total:16.27 % Expense 06 - Miscellaneous 46,144.670.001,634,713.00 1,634,713.00 1,588,568.33 97.18 % 46,144.670.001,634,713.00 1,634,713.00 1,588,568.33Expense Total:97.18 % 539,935.0396,643.20-934,713.00 -934,713.00 1,474,648.03Fund: 109 - Real Estate Excise Tax Surplus (Deficit):157.76 % Fund: 111 - Impact Mitigation Fee Revenue 00 - Revenues 298,076.2650,719.97140,000.00 140,000.00 158,076.26 112.91 % 298,076.2650,719.97140,000.00 140,000.00 158,076.26Revenue Total:112.91 % Expense 05 - Public Works 0.000.00335,285.00 335,285.00 335,285.00 100.00 % 0.000.00335,285.00 335,285.00 335,285.00Expense Total:100.00 % 298,076.2650,719.97-195,285.00 -195,285.00 493,361.26Fund: 111 - Impact Mitigation Fee Surplus (Deficit):252.64 % Fund: 206 - Bond Redemption Fund Revenue 00 - Revenues 40,578.490.00757,383.00 757,383.00 -716,804.51 94.64 % 40,578.490.00757,383.00 757,383.00 -716,804.51Revenue Total:94.64 % Expense 06 - Miscellaneous 40,578.492,982.00459,376.00 459,376.00 418,797.51 91.17 % 40,578.492,982.00459,376.00 459,376.00 418,797.51Expense Total:91.17 % 0.00-2,982.00298,007.00 298,007.00 -298,007.00Fund: 206 - Bond Redemption Fund Surplus (Deficit):100.00 % Fund: 401 - Water-Sewer Utilities Revenue 00 - Revenues 19,904.722,858.730.00 0.00 19,904.72 0.00 % 19,904.722,858.730.00 0.00 19,904.72Revenue Total:0.00 % Expense 05 - Public Works 2,000,000.000.002,000,000.00 2,000,000.00 0.00 0.00 % 2,000,000.000.002,000,000.00 2,000,000.00 0.00Expense Total:0.00 % -1,980,095.282,858.73-2,000,000.00 -2,000,000.00 19,904.72Fund: 401 - Water-Sewer Utilities Surplus (Deficit):1.00 % Fund: 411 - Water Operating Revenue 00 - Revenues 2,702,919.06289,769.104,074,100.00 4,074,100.00 -1,371,180.94 33.66 % 2,702,919.06289,769.104,074,100.00 4,074,100.00 -1,371,180.94Revenue Total:33.66 % Expense 05 - Public Works 1,603,826.40183,681.243,563,478.00 3,563,478.00 1,959,651.60 54.99 % 1,603,826.40183,681.243,563,478.00 3,563,478.00 1,959,651.60Expense Total:54.99 % 1,099,092.66106,087.86510,622.00 510,622.00 588,470.66Fund: 411 - Water Operating Surplus (Deficit):-115.25 % Budget Report For Fiscal: 2019 Period Ending: 07/31/2019 8/23/2019 12:02:44 PM Fiscal Activity Variance Favorable (Unfavorable) Period Activity Current Total Budget Original Total Budget Percent RemainingDepartment Fund: 412 - Water Stabilization Revenue 00 - Revenues 100,417.46211.11100,000.00 100,000.00 417.46 0.42 % 100,417.46211.11100,000.00 100,000.00 417.46Revenue Total:0.42 % 100,417.46211.11100,000.00 100,000.00 417.46Fund: 412 - Water Stabilization Total:0.42 % Fund: 414 - Water Debt Service Revenue 00 - Revenues 7,551.500.0080,128.00 80,128.00 -72,576.50 90.58 % 7,551.500.0080,128.00 80,128.00 -72,576.50Revenue Total:90.58 % Expense 05 - Public Works 7,551.50551.5080,128.00 80,128.00 72,576.50 90.58 % 7,551.50551.5080,128.00 80,128.00 72,576.50Expense Total:90.58 % 0.00-551.500.00 0.00 0.00Fund: 414 - Water Debt Service Surplus (Deficit):0.00 % Fund: 421 - Storm Drainage Utility Revenue 00 - Revenues 1,092,088.04169,968.361,614,500.00 1,614,500.00 -522,411.96 32.36 % 1,092,088.04169,968.361,614,500.00 1,614,500.00 -522,411.96Revenue Total:32.36 % Expense 05 - Public Works 927,609.6679,228.351,989,521.00 1,989,521.00 1,061,911.34 53.38 % 927,609.6679,228.351,989,521.00 1,989,521.00 1,061,911.34Expense Total:53.38 % 164,478.3890,740.01-375,021.00 -375,021.00 539,499.38Fund: 421 - Storm Drainage Utility Surplus (Deficit):143.86 % Fund: 422 - Storm Drainage Stabilization Revenue 00 - Revenues 166,387.76349.80165,000.00 165,000.00 1,387.76 0.84 % 166,387.76349.80165,000.00 165,000.00 1,387.76Revenue Total:0.84 % 166,387.76349.80165,000.00 165,000.00 1,387.76Fund: 422 - Storm Drainage Stabilization Total:0.84 % Fund: 424 - Storm Drainage Debt Service Revenue 00 - Revenues 36,769.580.00177,764.00 177,764.00 -140,994.42 79.32 % 36,769.580.00177,764.00 177,764.00 -140,994.42Revenue Total:79.32 % Expense 05 - Public Works 36,769.580.00177,764.00 177,764.00 140,994.42 79.32 % 36,769.580.00177,764.00 177,764.00 140,994.42Expense Total:79.32 % 0.000.000.00 0.00 0.00Fund: 424 - Storm Drainage Debt Service Surplus (Deficit):0.00 % Fund: 431 - Sewer Operating Revenue 00 - Revenues 3,990,889.96432,785.045,998,200.00 5,998,200.00 -2,007,310.04 33.47 % 3,990,889.96432,785.045,998,200.00 5,998,200.00 -2,007,310.04Revenue Total:33.47 % Expense 05 - Public Works 2,500,343.58244,825.426,413,629.00 6,413,629.00 3,913,285.42 61.02 % 2,500,343.58244,825.426,413,629.00 6,413,629.00 3,913,285.42Expense Total:61.02 % 1,490,546.38187,959.62-415,429.00 -415,429.00 1,905,975.38Fund: 431 - Sewer Operating Surplus (Deficit):458.80 % Fund: 432 - Sewer Stabilization Revenue 00 - Revenues 295,073.84620.35588,300.00 588,300.00 -293,226.16 49.84 % 295,073.84620.35588,300.00 588,300.00 -293,226.16Revenue Total:49.84 % 295,073.84620.35588,300.00 588,300.00 -293,226.16Fund: 432 - Sewer Stabilization Total:49.84 % Fund: 434 - Sewer Debt Service Revenue 00 - Revenues 551.500.0030,128.00 30,128.00 -29,576.50 98.17 % 551.500.0030,128.00 30,128.00 -29,576.50Revenue Total:98.17 % Budget Report For Fiscal: 2019 Period Ending: 07/31/2019 8/23/2019 12:02:44 PM Fiscal Activity Variance Favorable (Unfavorable) Period ActivityDepartment Current Total Budget Original Total Budget Percent Remaining Expense 05 - Public Works 551.50551.5030,128.00 30,128.00 29,576.50 98.17 % 551.50551.5030,128.00 30,128.00 29,576.50Expense Total:98.17 % 0.00-551.500.00 0.00 0.00Fund: 434 - Sewer Debt Service Surplus (Deficit):0.00 % Fund: 500 - Equipment Rental and Revolving Revenue 00 - Revenues 1,813,302.6431,628.223,479,632.00 3,479,632.00 -1,666,329.36 47.89 % 1,813,302.6431,628.223,479,632.00 3,479,632.00 -1,666,329.36Revenue Total:47.89 % Expense 10 - ER&R 215,492.9321,553.031,481,822.00 1,481,822.00 1,266,329.07 85.46 % 215,492.9321,553.031,481,822.00 1,481,822.00 1,266,329.07Expense Total:85.46 % 1,597,809.7110,075.191,997,810.00 1,997,810.00 -400,000.29Fund: 500 - Equipment Rental and Revolving Surplus (Deficit):20.02 % Report Surplus (Deficit):821,290.70 4,927,049.65-2,184,374.00 -2,184,374.00 7,111,423.65 325.56 % 8/23/2019 12:17:38 PM Budget Report City of Port Orchard Group Summary For Fiscal: 2019 Period Ending: 07/31/2019 Fiscal Activity Variance Favorable (Unfavorable) Period Activity Current Total Budget Original Total Budget Percent RemainingAccount Type Fund: 302 - Capital Construction Revenue 296,419.94204,642.87818,000.00 818,000.00 -521,580.06 63.76 % Expense 506,615.3767,018.95500,000.00 500,000.00 -6,615.37 -1.32 % -210,195.43137,623.92318,000.00 318,000.00 -528,195.43Fund: 302 - Capital Construction Surplus (Deficit):166.10 % Fund: 304 - Street Capital Projects Revenue 3,035,409.626,023.275,325,094.00 5,325,094.00 -2,289,684.38 43.00 % Expense 2,348,760.09744,679.064,882,500.00 4,882,500.00 2,533,739.91 51.89 % 686,649.53-738,655.79442,594.00 442,594.00 244,055.53Fund: 304 - Street Capital Projects Surplus (Deficit):-55.14 % Fund: 403 - Water-Sewer Cumulative Reserve Revenue 10,287.561,417.034,867,000.00 4,867,000.00 -4,856,712.44 99.79 % Expense 4,867,000.000.004,867,000.00 4,867,000.00 0.00 0.00 % -4,856,712.441,417.030.00 0.00 -4,856,712.44Fund: 403 - Water-Sewer Cumulative Reserve Surplus (Deficit):0.00 % Fund: 413 - Water Capital Revenue 3,320,468.603,982.625,968,000.00 5,968,000.00 -2,647,531.40 44.36 % Expense 1,418,114.95172,547.244,050,000.00 4,050,000.00 2,631,885.05 64.98 % 1,902,353.65-168,564.621,918,000.00 1,918,000.00 -15,646.35Fund: 413 - Water Capital Surplus (Deficit):0.82 % Fund: 423 - Storm Drainage Capital Facil Revenue 13,359.521,696.08670,440.00 670,440.00 -657,080.48 98.01 % Expense 340,451.21299,647.46168,800.00 168,800.00 -171,651.21 -101.69 % -327,091.69-297,951.38501,640.00 501,640.00 -828,731.69Fund: 423 - Storm Drainage Capital Facil Surplus (Deficit):165.20 % Fund: 433 - Sewer Capital Revenue 3,070,708.445,366.307,314,000.00 7,314,000.00 -4,243,291.56 58.02 % Expense 540,079.73337,601.745,696,600.00 5,696,600.00 5,156,520.27 90.52 % 2,530,628.71-332,235.441,617,400.00 1,617,400.00 913,228.71Fund: 433 - Sewer Capital Surplus (Deficit):-56.46 % Report Surplus (Deficit):-1,398,366.28 -274,367.674,797,634.00 4,797,634.00 -5,072,001.67 105.72 % CAPITAL PROJECTS_______________________________________________________________________________________________________________________________________________________ Detail Report Date Range: 07/01/2019 - 07/31/2019 8/23/2019 10:05:06 AM Cash and Investment Fund Summary Ending BalanceBeginning BalanceFund Total Activity 001 - Current Expense 5,310,454.63 5,593,015.63282,561.00 002 - City Street Fund 598,500.34 558,644.79-39,855.55 003 - Stabilization Fund 1,146,753.87 1,149,116.002,362.13 103 - Criminal Justice 430,900.56 458,203.2627,302.70 104 - Special Investigative Unit 81,323.77 81,611.86288.09 107 - Community Events 174,732.87 180,631.975,899.10 108 - Paths & Trails 9,147.61 9,276.12128.51 109 - Real Estate Excise Tax 2,453,238.27 2,549,881.4796,643.20 111 - Impact Mitigation Fee 1,687,424.41 1,738,144.3850,719.97 206 - Bond Redemption Fund 2,982.00 0.00-2,982.00 302 - Capital Construction 895.65 138,519.57137,623.92 304 - Street Capital Projects 3,512,404.70 2,773,748.91-738,655.79 401 - Water-Sewer Utilities 1,412,604.22 1,415,462.952,858.73 403 - Water-Sewer Cumulative Reserve 711,297.64 712,714.671,417.03 411 - Water Operating 993,079.41 1,099,094.42106,015.01 412 - Water Stabilization 100,206.35 100,417.46211.11 413 - Water Capital 2,070,918.27 1,902,353.65-168,564.62 414 - Water Debt Service 551.50 0.00-551.50 421 - Storm Drainage Utility 1,665,749.71 1,756,889.7291,140.01 422 - Storm Drainage Stabilization 166,037.96 166,387.76349.80 423 - Storm Drainage Capital Facil 940,562.62 642,611.24-297,951.38 424 - Storm Drainage Debt Service 0.00 0.000.00 431 - Sewer Operating 1,302,973.72 1,490,548.14187,574.42 432 - Sewer Stabilization 294,453.49 295,073.84620.35 433 - Sewer Capital 2,862,864.15 2,530,628.71-332,235.44 434 - Sewer Debt Service 551.50 0.00-551.50 500 - Equipment Rental and Revolving 2,268,094.00 2,278,169.1910,075.19 631 - Trust and Agency 9,489.75 8,517.95-971.80 632 - Wastewater Treatment Facil Fee 2,563,000.67 2,568,268.585,267.91 Grand Total:32,771,193.64 32,197,932.24-573,261.40 _______________________________________________________________________________________________________________________________________________________________________________