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10/19/2021 - MinutesCity of Port Orchard Council Finance Committee A meeting of the Council Finance Committee was held via Zoom link October 19, 2021 at 5:00 p.m. PRESENT: Council members John Clauson, Beck Ashby, Shawn Cucciardi, Mayor Rob Putaansuu, Director of Finance Noah Crocker, Nick Bond DCD director. The meeting was recorded. Finance Report The Finance Director discussed the Sales Tax and REET Revenue report. The sales tax revenue collected September 2021 is at 32% over its 2021 budget and 22% over the 202o actual sales tax revenue collected. Real Estate Excise Tax collected thru September 2021 is at $1,766,454• This represents approximately 126% of the biennial budget and approximately 266% of what was budgeted for collections for 2021 YTD. The Finance Director reviewed all the fund balances including the monthly budget report and the committee had no questions. The Finance Director reported on Capital Facility Charge revenue. The Water Capital Facility Charge has exceeded its fiscal year budget by 160% and Sewer Capital Facility Charges have exceeded its fiscal year budget by 13.5%. Next the committee reviewed the Impact Fees report which shows sufficient revenue sources to meet the current 2021-2022 Budget, the 2021-2022 budget adjustments and 2021-2022 obligations not budgeted. Additionally, the finance committee discussed looking into a sales tax for transportation and the potential revenue impact. Revenue Sources/Propertx The Finance Committee reviewed the revenue sources and property tax presentation to be presented at the Oct. 26th Public Hearing. The property tax levy is estimated to be $3.182 million excluding utilities for 2022. Budget Mid -Biennial Schedule The finance director reviewed the packet and materials for the public hearing for the mid -biennial review discussion with the full council. The finance committee asked to walk through all the material but keep it clear, concise, and simply to understand. Good of the Order The meeting adjourned at 5:55 pm. Role of the Finance Committee The finance committee provides oversight of city budgeting, financial planning, and financial reporting. The committee recommends long-range financial goals along with funding strategies for the operating and capital budgets. Human resource issues requiring policy direction are brought before the committee. The committee serves as the advisory forum for transportation and street maintenance funding, and funding relating to the transportation benefit district.