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LTC 033-2011 Analysis of Budget Preliminary Actual Revenues r ; ............... M MIAMI BEACH RFCFIVFD . -- c , OFFICE OF THE CITY MANAGER 2011 :F ,,,, NO. 033 -2011 LTC # LETTER TO: COMMIS c ITY CLERK'S OFFI TO: Mayor Matti H. Bower and Members of the City Co • - ission FROM: Jorge M. Gonzalez, City Manager DATE: February 4, 2011 4110 SUBJECT: ANALYSIS OF BUDGET TO PRELIMINARY ACTUAL REVENUES AND EXPENSES FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 2010, FOR GENERAL, ENTERPRISE, AND INTERNAL SERVICE FUNDS The Purpose of this LTC is to provide the preliminary actual revenue and expenses for the Fiscal Year ending September 30, 2010. Overall General Fund expenditures are $3,157,793 below budget and there is an operating budget surplus of $1,600,570 (0.7 %) in the General Fund. A summary of preliminary g rY p rY General Fund Revenues and Expenditures as of September 30, 2010 is as follows: Preliminary Budget FY Actual FY Budget/ Actual General Fund 2009/10 2009/10 Over/ (Under) Revenues* $ 226,336,026 $ 224,778,803 $ (1,557,223) Expenditures 226,336,026 223,178,233 (3,157,793) Surplus/ (Deficit) $ 0 $ 1,600,570 $ 1,600,570 Note: * Excludes $1.95 million in Unrealized Losses on Investments This surplus reflects the impact of on -going pro- active initiatives by the City to reduce expenses and is despite the fact that the City did not achieve much of the $3.5 million in employee give backs budgeted for FY 2009/10, as the timing of negotiations will yield much � g g Y of these savings in FY 2010/11 and future years. Had the full $3.5 million been achieved the year -end surplus would have been closer to $3.8 million. However, the City's financials also reflect approximately $1.95 million in "Unrealized Losses on Investments ". Although this is a non -cash impact for FY 2009/10, it will reflect on the financials as a loss for FY 2009/10, if not addressed, potentially creating concerns with credit � p Y g rating agencies, etc. Therefore, I am recommending the transfer of an additional $1.95 million from the 2% Resort Tax Fund which has revenues in excess of budget. The City's financial policies require that one time revenues (such as the year -end surplus) must be used for non- recurring expenses, and that at least half of the annual year -end surplus must be allocated to the City's Capital. Reserve Fund. However, the City's Ca Reserve was established at a time when ro'ect bids were often coming in p J g significantly higher than budgeted. I am recommending that the Capital Reserve transfer p requirement be waived for the FY 2009/10 year -end surplus, and that the General Fund budget be amended to reflect a $1.6 million set aside reserve for possible use to address potential shortfalls in the FY 2011/12 budget. Since the "Unrealized Losses on Investments" 1 ANALYSIS OF BUDGET TO PRELIMINARY ACTUAL REVENUES AND EXPENSES FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 2010, FOR GENERAL, ENTERPRISE, AND INTERNAL SERVICE FUNDS Page 2 is a non -cash impact, and covering the losses will result in additional cash in the General Fund I a m also recommending amending the FY 201 /11 g g 0 budget to set aside the $1.95 million as a reserve for possible use to address potential shortfalls in the FY 2011/12 budget. Amendments are needed for the Water, Sewer and Stormwater enterprise funds to allow the transfer of surplus revenues to rate stabilizations funds so that they can be available for future years as anticipated in the FY 2010/11 adopted budget, avoiding the need for fee . increases The Internal Service Fund Budgets of the Central Service and Information � Technology Funds require an amendment of $19,254 and $589,901, respectively, offset by charges to departments, use of retained earnings for certain capital expenses and other revenues. "Attachment A" provides additional detail of General Fund Revenues and Expenditures by revenue category and department expenditure, For a detail of Enterprise Fund Revenues and Expenses by department, see "Attachment B ". For a detail of Internal Service Funds Revenues and Expenses by department, see "Attachment C ". - The resolutions to adopt the first amendment to the General, Enterprise and Internal Service Funds Bud ets for FY 2009/10 and the first amendment to the General Fund budget for FY g 2010/11 will be presented at the February 9th, 2011 City Commission meeting. JMG /KGB Attachments A -C 1 :14 AAIAM/BEACH City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miomibeachfl.gov COMMISSION MEMORANDUM TO: Mayor Matti Herrera Bower and Members of the City Co s.• ion FROM: J orge M. Gonzalez, City Manager DATE: February 9, 2011 SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ADOPTING THE FIRST AMENDMENT TO THE GENERAL, ENTERPRISE, INTERNAL SERVICE AND RESORT TAX FUNDS BUDGETS FOR FISCAL YEAR (FY) 2009/10 TO APPROPRIATE PRIOR YEAR ENCUMBRANCES AND AMEND CERTAIN BUDGETS A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ADOPTING THE FIRST AMENDMENT TO THE GENERAL FUND BUDGET FOR FISCAL YEAR (FY) 2010/11 TO SET ASIDE A RESERVE FOR THE FY 2011/12 BUDGET ADMINISTRATION RECOMMENDATION Adopt the resolution amending the FY 2009/10 General Fund, Enterprise Funds, Internal Service Funds and Resort Tax Fund Budgets, appropriating funds to cover prior year encumbrances, and amend certain department budgets. Adopt the resolution amending the FY 2010/11 General Fund Budget, setting aside a reserve for the FY 2011/12 budget. GENERAL FUND ANALYSIS The year =end budget to preliminary actual comparisons are presented in the following pages. These comparisons show that, overall, there is an operating budget surplus of $1,600,570 (0.7 %) in the General Fund. A summary of the preliminary General Fund Revenues and Expenditures as of September 30, 2010 is as follows: Preliminary Budget FY Actual FY Budget/ Actual General Fund 2009/10 2009/10 Over/ (Under) Revenues* $ 226, 336, 026 $ 224, 778, 803 $ (1,557,223) Expenditures 226,336,026 223,178,233 (3,157,793) Surplus/ (Deficit) $ 0 $ 1,600,570 $ 1,600,570 Note: * Excludes $1.95 million in. Unrealized Losses on Investments First Amen y ment to the FY 2009/10 General Fund, Enterprise, Internal Service and Resort Tax Budgets First Amendment to the. FY 2010/11 General Fund Budget Page 2 This sur / lus reflects the impact of on-going pro-active initiatives by the City to reduce p p g g p Y Y expenses below the operating budget given the impact of the economy on the City's budget in recent years and given the continuing challenges anticipated, at least in the g short -ter i . These initiatives included the continuation of a modified hiring freeze, delayed hiring of other positions, re- bidding of contracts where appropriate to take advantage of the more competitive economic environment, close scrutiny of major purchases, and continuous evaluation of opportunities to reduce costs in all departments. It is important to note that this surplus is despite the fact that the City did not realize much of the $315 million in employee give backs anticipated for FY 2009/10 in the General Fund based on an assumption of a freeze in merit or steps ($1.4 million), an additional 2% pension contribution for all employees for the entire year ($2.055 million). In employee givebacks, it is estimated that the freezes in merits for non - bargaining employees and those in the Government Supervisors Association (GSA) Unions which was implemented October 11, 2009 and for the American Federation of State, County and Municipal Service Employees, =implemented. mid ,-fiscal year, _resulted- in savings of approximately 800,000. Although assumed, no step savings were achieved for the Fraternal Order of Police (FOP) or for the International Association of Fire Fighters (IAFF). However, the City did achieve approximately $430,000 in savings from these two unions during FY 2009/10 through additional employee contributions to health insurance which became effective July, 2010. Savings from the additional pension contributions by non - bargaining, GSA and AFSCME employes, while generating approximately $500,000, will accrue to future pension payments, rather than to FY 2009/10 as previously assumed. No savings were achieved during FY 2009/10 for the Communications Workers of America (CWA) employees. Had the full $3.5 million in savings been achieved as assumed rather than only the $800,000 in merit savings from non - bargaining, GSA and AFSCME employees and the $430,000 in health insurance savings from FOP and IAFF employees, the year-end surplus would g Y p have been closer to $3.8 million. However the City's financials will also reflect approximately $1.95 million in "Unrealized Losses on Investments" which have a non -cash impact for FY 2009/10. Governmental Accountin pg p Standards Board Statement #31 (GASB 31), requires the City to report its investmepts at fair market value as if they were immediately liquidated on September 30 each year, and to recognize these as "unrealized gains or losses in investments", although the actual! cash impact is not felt until future years. By comparison, in the prior fiscal year, y the City ad a gain of $2.3 million. Although this is a non -cash impact, it will still reflect on the financials as a loss for FY 2009/10, if not addressed, potentially creating concerns with credit rating agencies, etc. Therefore, I am recommending the transfer of an additional $1.95 million from the 2% Resort Tax Fund which has revenues in excess of budget by approximlately $3.8 million, as explained further in the resort tax section below. A component of the projected year -end revenues is, once again, due to Building permit revenues in excess of budget (Licenses and Permits) by $1.76 million, in part due to the ongoing review of permits at closeout ($1 million). As stated in prior quarterly reports, these additional revenues are partially offset by additional expenses in the Building Department as a result of increased elevator inspections to eliminate past due inspections, p as well as the continuation of process improvement initiatives being implemented. First Amen ment to the FY 2009/10 General Fund, Enterprise, Internal Service and Resort Tax Budgets First Amendment to the FY 2010/11 General Fund Budget Page 3 The City has performed its annual analysis of building permit fee revenues and Building � Department expenses. Pursuant to Florida Statutes, it is required that unexpended buildin g fee revenue be carried forward to future years to fund allowable activities in enforcing the Florida Building Code. The analysis as of September 30, 2009 showed a carryforward balance of approximately $12.5 million, of which $6.2 million had been set - aside in a Building Operations Reserve, and the balance intended to be paid down over future Y ears. The FY 2009/10 budget assumed $7.7 million in Building revenues and $10.1 million in expenses (included indirect costs related to support provided by administrative departments and the Building Department's share of the City's liability for "Other Post Employment Benefits "). This resulted in a budgeted subsidy of $2.4 million from other General Fund revenues to the Building Department. This subsidy would have reduced the analysis as of Department in future years. The anal amount to be paid to the Building p y y Se p temb I r 30, 2010 reflects $9.4 million in Building revenues and $10.8 million in : million. expenses, reducing the subsidy to $1.4 4 Preliminary Budget FY Actual FY Budget/ Actual Building. Department 2009/10 2009/10 Over/ (Under) i 7 687 750 9 443 040 $ 1 755 290 Revenues $ $ > Department Expenditures 8,601 507 9,273 $ 672,112 Other Expenditures 1,493 1,578 85,196 Skur p lust ( Deficit) $ (2,407,369) $ (1,409,387) $ 997,982 klotcyKscomp, ' -1 ;l j �fi . ;iL' Interest on Funds "Owed" $ 339 120 $ 291 534 , i.nnu�:a Change from Prior Year in 0 /AP " "Owed" (1117853)tieritiOn-, ; I Amount Owed , .. - $ • "'.ikr,O.' :b r � f...: i:Y.F:r"..�t�E ?ir1:•f.� / %rh As a result, the carryforward balance is approximately $11.4 million, of which the City has already f l nded $6.2 million in prior years, leaving a remaining balance of $5.2 million to be repaid in future years, a decrease of $1.1 million from the prior year. The City's financial policies adopted pursuant to Resolution 2006 -26341 and Resolution 2002 -24764 require that one time revenues (such as the year -end surplus) must be used for non- recurring expenses, and that at least half of the annual year -end surplus must be allocated to the City's Capital Reserve Fund. However, the City's Capital Reserve was established in FY 2005/06 at a time when the industry was at a peak, and J roject bids were often coming in significantly higher than budgeted. The market for p the last couple of years, however, has been very different, with construction bids being received significantly under projects budgets, and at the same time, the Capital Reserve has accumulated approximately $12 million in funding. Therefore, I am recommending that the papitaI Reserve transfer requirement again be waived for the FY 2009/10 year- end surplus similar to what was done last year. Further, as in FY 2008/09, no use of the General Fund is recommended to address the City's FY 2009/10 accrued liability for post employment benefits (primarily health insuranc) pursuant to recently enacted reporting requirements of Governmental Accounting Standards Board #44 (GASB 45). First Amendment to the FY 2009/10 General Fund, Enterprise, Internal Service and Resort Tax Budgets First Amendment to the FY 2010/11 General Fund Budget Page 4 The FY 9010/11 Adopted Budget was the most challenging in recent years, with a budget gap of approximately $30 million, and following 3 prior years of reduced revenues and cuts. Overall the City's budget has absorbed reductions of approximately $48 million and 260 p osit!ions over 4 years. The employee "give- backs" totaled approximately $12 million in savings in FY 2010/11 and almost $15 million between FY 2009/10 and FY 2010/11, representing more than $60 million in combined "givebacks" and reductions over 4 years. However, in order to address such a significant gap, the FY 2010/11 budget also included the use of $3.7 million in FY 2008/09 surplus previously set aside to address the significant shortfall anticipated for FY 2010/11. Since the FY 2008/09 revenue is a one - time revenue, it will not be available for FY 2011/12, thereby, immediately creating a gap that will need to be addressed in FY 2011/12. Other potential impacts to the FY 2011/12 budget i� nclude the possibility ossibilit of further declines in property taxes (for example, a 5% g decline represents $7.5 million); and potential pension - increases as : poor investment experiene from FY 2007/08 and FY 2008/09 continue to be recognized (although these may be somewhat mitigated by recent changes to the pension plans and investment gains in FY 2009/10). For this reason, I am once again recommending that the General Fund budget be amended to set aside the $1.6 million in a reserve for possible use to address potential 'shortfalls in the FY 2011/12 budget. Also, accompanying this agenda item is a separate resolution amending the FY 2010/11 budget to set aside the $1.95 million. As explained above, the $1.95 million in additional g � 2% Resort Tax transfers to address "Unrealized Losses on Investments" is required so as not to show a loss on the financials for FY 2009/10. However, since the "Unrealized Losses on Investments" is a non -cash impact, it will result in additional cash in the General Fund. Ads a result, I am also recommending an amendment to the FY 2010/11 budget setting aside the $1.95 million as a reserve for possible use to address potential shortfalls in the FY 2011/12 budget. GENERAL FUND OPERATING REVENUE AND EXPENDITURE VARIANCES For a detail of General Fund Revenues by category and Expenditures by Department, see attached schedule. Detailed comments on those revenue and expenditure categories with significant variances over $300,000 are shown in the following section. Revenues 1. Ad Valorem Property Taxes — Year -end collections of $102,163,437 are 1.6% under budget, creating a net shortfall of $1,645,846. This is primarily due to higher than anticipated property value appeals approved by Miami -Dade County as well as delays in processing those appeals. 2. Othr Taxes - This category includes franchise and utility taxes on services. Based on aictual collections of $24,761,159, an excess of $0.720 million or 3% resulted at year- end. This is primarily due to an increase in revenues from electric and telephone utilit y Y taxes. 3. Licenses and Permits - This category is comprised of licenses and building and First Amendment to the FY 2009/10 General Fund, Enterprise, Internal Service and Resort Tax Budgets First Amendment to the FY 2010/11 General Fund Budget Page 5 special use permits. In total, the actual collections for Licenses and Permits excee budget by ded bud et b $1,411,438, or 9.7 %. Of this amount, over $400,000 was due to � increased collections from Business Tax Receipts, primarily due to increased enforcement of businesses who had not paid their tax. An additional $1.3 million is due to Buildin g Department revenues in excess of budget of which $1.0 million is due i . to the ongoing review of permits at closeout. However, the General Fund budget had also assumed an increase of $1.5 million in revenues outside of the Building Department due to the implementation of the new fee structure for Building Development Process Fees. The fee restructure was approved in January 2010 and beca effective on February 1, 2010, thereby reflecting 8 months under the new fee structure instead of the 12 months budgeted, and projects that were initiated under the old process will continue to be in effect for some time. In addition, building permit demand has decreased from prior years. While improved from projections during the year) the actual revenues reflect a slight decrease from budget in the revenues from General Fund fees related to the Building Development Process. 4. Charges for Services — Non Golf Course Revenues - Year -end collections are above budget by 17.5% or $0.7 million. This is due to recently implemented increases in rescue transport fees. 5. Charges for Services — Golf Course Revenues Year -end collections are below budget by 9% or $0.54 million. This is mainly due to lower than expected revenues which reflect the decline in visitor and group business for the Miami Beach and Normandy Shores Golf Clubs as well as an unusually cold and rainy winter. However, this amount is offset by similar savings in golf course expenditures. 6. Fines and Forfeits - Year -end collections are below budget by 14% or $0.4 million. This is mainly due to lower than budgeted fines from red light cameras. 7. Interest - Year -end collections are below budget by 31% or $1.66 million. This is M mainly due to reduced investment returns from long term investment vehicles that matured in the current fiscal year and are reinvested at prevailing interest rates which are much lower in this investment climate. 8. Miscellaneous This category includes concessions, planning fees, and other reimbursements. Year -end revenues are 1% below budget or by $0.5 million. This is due primarily to lower than anticipated revenues as a result of savings in the CIP Department and therefore lower cost allocations to capital improvement projects. First Amendment to the FY 2009/10 General Fund, Enterprise, Internal Service and Resort Tax Budgets First Amendment to the FY 20 General Fund Budget Page 6 Operating Expenditures 1. Building Budget Prelim. Actual Budget /Prelim. Actual FY 2009/10 Sept. 30, 2010 Over /(Under) $8,601,507 $9,273,619 $672,112 As outlined in prior quarterly projections, in addition to the impacts from un� budgeted FY 2009/10 merits and steps for the entire fiscal year for CWA o employees, and approximately $115,000 from the 2% pension contribution impact, the Building Department exceeded its budget primarily in professional fees, legal fees, and operating capital. Professional services charges increased primarily due td increased elevator inspections, legal fees were related to building closures, and c ital costs were related to the ongoing space reconfiguration uration initiative as �p g g p g recommendations by Watson Rice as part of their performance and organizational ._ .. it - in Department artment between 2008 and 2 The _space review of the Bu d g p p configuration project included reconfiguration for electronic plan review on the second floor, records management, and reconfiguration of the lobby to be more c `stomer- friendly. Building Department revenues (permits and code violations) in excess of budget ($1.76 million) are more than sufficient to offset these additional e P p enditures. 2. Parks & Recreation — Golf Courses Budget Prelim. Actual Budget /Prelim. Actual FY 2009/10 Sept. 30, 2010 Over /(Under) 1 $6,295,105 $5,818,869 ($ 476, 236) Approximately $476,236 (8% of budget) in expenditures savings at the City's golf curses occurred as a result of several cost savings measures introduced in response to reduced demand and corresponding reduced revenues at the golf courses. 3. Parks & Recreation - Other Budget Prelim. Actual Budget /Prelim. Actual FY 2009/10 Sept. 30, 2010 Over /(Under) $22,764,119 $21,431,567 ($1 332, 552) Despite the impacts from unbudgeted FY 2009/10 merits and steps projected through year -end, and approximately $205,000 from the 2% pension contribution impact, approximately $1.3 million in savings (6% of budget) was achieved in the Parks and Recreation Department from the rebidding and continued management of contracted landscaping cycles, as well as salary savings and savings across multiple operating accounts in the Recreation division. First Amendment to the FY 2009/10 General Fund, Enterprise, Internal Service and Resort Tax Budgets First Amendment to the FY 2010/1 .General Fund Budget Page 7 4. Fire Budget Prelim. Actual Budget/Prelim. Actual FY 2009/10 Sept. 30, 2010 Over /(Under) $50,900,788 $51,888,672 $ 987,884 The Fire Department overspent its budget by almost $1 million (2% of budget), of which $530,000 is estimated to be from the unrealized 2% pension contribution impact, $520,000 from overtime above budgeted levels, and step increases throughout the year that were not budgeted. These increases were offset by a roximatel $200,000 in increased employee health insurance contributions, p y thereby decreasing the City's required contribution. 5. Police Budget Prelim. Actual Budget/Prelim. Actual FY 2009/10 Sept. 30, 2010 Over /(Under) $81,127,849 849 -$81,686,854 _ - - $ 559,005 The Police Department overspent its budget by approximately $0.6 million (0.7% of b dget), less than the $740,000 estimated impact from the unrealized 2% pension contribution and the impact of step increases throughout the year that were not b L dgeted. These were offset by approximately $230,000 in increased employee health insurance contributions, thereby decreasing the City's required contribution. 6. Citywide Accounts Budget Prelim. Actual Budget /Prelim. Actual FY 2009/10 Sept. 30, 2010 Over /(Under) $15,033,176 $12,469,598 ($2,563,578) Approximately $2.5 million in savings (17% of budget) was achieved in Citywide accounts, primarily due to lower than anticipated overtime usage during the Super Bowl and Pro Bowl resulting in savings of $370,000, and unspent contingency of $1.3 million. Accumulated leave payouts are also lower than budget by $200,000 and property management charges for bus bench maintenance were reduced by almost $185,000. First Amendment to the FY 2009/10 General Fund, Enterprise, Internal Service and Resort Tax Budgets First Amendment to the FY 2010/11 General Fund Budget Page 8 . GENERAL FUND BUDGET AMENDMENT Although the total General Fund expenditure is below budget, Florida Statues require that the actual expenditures not exceed budget at the level at which the budget is adopted, which in Miami Beach is at the Department level. Therefore a budget amendment is required for departments that overspent their appropriation and to allow the transfer to the Set Aside Reserve for FY 2011/12. A summary of the resulting increases and decreases to revenues and expenditures and the resulting proposed amended budget for FY 2009/10 I is provided below and on the following pages. Changes in FY 2009/10 Rev /Exp Rec. Additional FY 2009/10 GENERAL FUND Adopted Budget Appropriation Appropriation Amended Budget REVENUES . OPERATING REVENUES Property Tax (5.5472) $ 103,809,283 $ (1,645,846) $ 0 $ 102,163,437 Property Tax (5.5472) -So Pt Costs 9,896,609 0 0 9,896,609 Property Tax (0.1083) - Capital R & R 2,026,707 0 0 2,026,707 Property Tax Norm Shores (0.8567) 95,795 0 0 95,795 Other Taxes 24,040,704 720,455 0 24,761,159 Licenses and Permits 14,526,875 1,411,438 0 15,938,313 Intergovernmental 9,172,470 180,447 0 9,352,917 Charges for S 9 Services incl. Golf Courses 9,693,288 151,312 0 9,844,600 Fines and Fofeits 3,182,000 (436,806) 0 2,745,194 Interest 5,336,000 (1,658,418) 0 3,677,582 Unrealized Gains /(Loss) - Investments 0 (1,950,550) 0 (1,950,550) Rents and Leases 4,578,161 234,845 0 4,813,006 Miscellaneous 8,590,050 (514,650) 0 8,075,400 Other - Resort Tax 22,465,440 .0 1,950,550 24,415,990 Reserves - Bu ildig Department Revenues 1,546,709 0 0 1,546,709 Other - Non - Operating 7,375,935 0 0 7,375,935 Total Gener Fund $ 226,336,026 $ (3,507,773) $ 1,950,550 $ 224,778,803 Total Net of Unrealized Gains /(Loss) $ 226, 336, 026 $ (1,557,223) $ 1,950,550 $ 226, 729, 353 • First Amene ment to the FY 2009/10 "General Fund, Enterprise, Internal Service and Resort Tax Budgets First Amen o merit to the FY 2010/11 General Fund Budget Page 9 FY 2009/10 Changes in FY 2009/10 Adopted Rev /Exp Rec. Additional Amended GENERAL FUND Budget Appropriation Appropriation Budget APPROPRIATIONS Department MAYOR & COMMISSION 1,478,523 (38,701) $ 0 . $ 1,439,822 CITY MANAGER 2,293,523 (28,928) 0 2,264,595 Communi I ations 914,249 (49,264) 0 864,985 BUDGET & PERFORMANCE IMPROVE 1,993,560 (12,063) 0 1,981,497 FINANCE 4,416,396 25,516 0 4,441,912 Procurement 901,633 6,038 0 907,671 HUMAN RESOURCES /LABOR RELATIONS 1,764,137 (65,818) 0 1,698,319 CITY. CLERK 1,567,479 (75,382) 0 1,492,097 CITY ATTORNEY 4,227,546 (115,244) 0 4,112,302 REAL ESTATE, HOUSING & COMM DEVEL 860,446 1,997 0 862,443 Community Services 410,332 (1,005). 0 409,327 Homeless : ervices 673,763 (123,456) 0 550,307 BUILDING 8,601,507 672,112 0 9,273,619 Code Compliance 4,094,956 116,166 0 4,211,122 PLANNING 2,983,728 (95,645) 0 2,888,083 TOURISM & CULTURAL DEVELOPMENT 2,644,076 (1,204) 0 2,642,872 PARKS & RECREATION incl Golf Courses 29,059,224 (1,808,788) 0 27,250,436 PUBLIC WORKS 6,545,304 (292,665) 0 6,252,639 CAPITAL IMPROVEMENT PROJECTS 3,843,831 (254,770) 0 3,589,061 POLICE 81,127,849 559,005 0 81,686,854 FIRE 50,900,788 987,884 0 51,888,672 Citywide Acca unts -Other 11,677,092 (2,390,809) 0 9,286,283 Citywide Accounts-Normandy u Shores 147,377 0 0 147,377 Sub Total General Fund $ 223,127,319 $ (2,985,024) $ 0 $ 220,142,295 FY 2009/10 Changes in Adopted Rev /Exp Rec. Additional FY 2008/10 GENERAL FUND Budget - Appropriation Appropriation Amended Budget Transfers Capital Reserve Fund $ - $ 0 $ 0 $ 0 Pay -As -Y lu -Go Capital Fund 0 _ 0 Capital Investment Upkeep Account 382,000 (172,769) 209,231 Info & Comm Technology Fund 800,000 800,000 Reserve Future Building Dept Needs 0 0 Reserve - Future Budget Shortfalls 0 1,600,570 1,600,570 GASB 45 1eserve-OPEB 0 0 CAPITAL RENEWAL & REPLACEMENT 2,026,707 0 2,026,707 Sub Total Transfers $ 3,208,707 $ (172,769) $ 1,600,570 $ 4,636,508 Total General Fund $ 226,336,026 $ (3,157,793) $ 1,600,570 $ 224,778,803 , First Amendment to the FY 2009/10 General Fund, Enterprise, Internal Service and Resort Tax Budgets First Amendment to the FY 2010/11 General Fund Budget Page 10 ENTERPRISE FUNDS The City accounts for proprietary operations in Enterprise Funds. Convention Center, Parking, Sanitation, Sewer, Stormwater, and Water are included in this grouping. No amendments are anticipated for the Sanitation and Parking Funds. Amendments are needed far the Water, Sewer and Stormwater funds simply to allow the transfer of surplus revenues to rate stabilizations funds so that they can be available for future years. The FY 2010/11 adopted budget anticipated the transfer of these funds so that the net revenues at FY 2010/11 year -end will be sufficient to exceed the bond coverage requirements. Were these funds not available from the FY 2009/10 surplus, sewer, stormwater and water rate increases would have been needed in FY 2010/11 to meet debt coverage requirements. ENr ERPRISE FUNDS Sewer Stormwater Water Revenue = Appropriation Charges for Service $ 1,796,420 $ 73,334 $ 3,155,973 Prior r Year Rate Stabilization Fund - 3,558,172 - Otl l 2,272,202 (88,558) (1,327,904) otal Revenue increase $ 4,068,622 $ 3,542,948 $ 1,828,069 IT Exptienditure Appropriation Payroll and Fringes $ (10,855) $ (147,465) $ 218,463 Ope rating Costs (1,232,616) (318,608) (993,971) Seir er Treatment (1,789,758) - - Waiter Purchase 435,664 DERM Fee (17,113) - 47,742 483 144 78 516 520 Depreciation ( ) 520,945 Deb t Service (210,588) (1,470,433) (286,905) Rae Stabilization 6,764,332 5,312,986 1,890,766 Ca 1 ital 82,076 244,984 (4,635) 6 Total Expenditure Increase $ 4,068,622 $ 3,542,948 $ 1,828,069 As in prior years, we do not have preliminary numbers for the Convention Center Fund at this time. First Amendment to the FY 2009/10 General Fund, Enterprise, Internal Service and Resort Tax Budgets First Amendment to the FY 20 General Fund Budget Page 11 INTERNAL SERVICE FUNDS The City accounts for those goods and services provided by one department to other departments citywide on a cost reimbursement basis. Central Services, Fleet Mana g ern� ent, Information Technology, Property Management, and Risk Management (Self Insurance) are included in this grouping. Despite absorbing unbudgeted merit increases and not realizing the additional 2% pension contribution for CWA employees, the Risk Management, Property Management and Fleet Management Funds are anticipated to be under budget. Further, it is important to note that the Risk Management Fund reflects a surplus of FY 2009/10 revenues over expenditures of over $3 million as a result of revised actuarial liability estimates, thereby helping to reduce the prior year deficit in the fund for Incurred But Not Reported claims. However it is necessary to amend the appropriations for the Central Services and Information Technology Funds which our preliminary year -end expenditures indicate will exceed - tl budget_ .appropriation. The Central Services Fund exceeded its budget by $19,254 or 2.3% primarily due to higher than anticipated postage usage and a higher contribution to the OPEB Trust than the prior year. However, the increased operating expenditures are offset by increased interdepartmental charges. The Information Technology Fund exceeded its budget by $589,901 or 4.2% primarily due a higher contribution to the OPEB Trust than the prior year and prior year- encumbrances for capita However, the increased operating expenditures are offset by retained earning p g p Y g set aside from FY 2008/09 for those prior year encumbrances for capital as well as other revenues. INTERNAL SERVICE FUNDS CENTRAL INFORMATION SERVICES TECHNOLOGY Revenue Appropriation Int Jrde P artmental Revenues - $ 19,254 $ (28,117) Othper 164,848 Retained Earnings -Capital 453,170 Total Revenue Increase $ 19,254 $ 589,901 Expenditure Appropriation Pa and Fringes $ 11,447 218,295 Operating r Costs 5,820 (81,564) Depreciation 1,987 - Capital - 453,170 T otal Expenditure Increase $ 19,254 $ 589,901 r . First Amendment to the FY 2009/10 General Fund, Enterprise, Internal Service and Resort Tax Budgets First Amendment to the FY 2010/11 General Fund Budget Page 12 RESORT TAX FUND The City's Resort tax Fund is primarily supported by resort taxes collected pursuant to Chapter 67 -930 (Section 6) of the Laws of Florida, as amended, and Section 5.03 of the City of Miami Beach Charter, as amended. This legislation authorizes the use of resort taxes for the promotion of the tourist industry, which includes, but is not restricted to the following: Publicity, advertising, news bureau, promotional events, convention bureau activities, capital improvements and the maintenance of all physical assets in connection therewith; and for the payment of the reasonable and necessary expenses of collecting, handling and processing of said tax. Typically, the Cit has considered the following services as "Services related to the City promotion of tourism ": •. Police officers serving entertainment areas • A of Fire rescue = services Fire Stations -1 • Ocean rescue Services • Si lid pressure ewalk ressure cleaning in south, middle and north beach visitor areas • South Beach sanitation • Enhanced code compliance provided to respond to evening entertainment area violations and staffing of special events • Other. code compliance activities in tourism and visitor related facilities /areas • Tourism and Culture Department and the Cultural Arts Council • Museums and Theatres (Garden Center, Bass Museum, Colony and Byron Carlyle Theatres) • Golf courses -(net of revenues) • Memorial Day and other special event costs • Homeless services • Jdily 4 , Visitor Center funding, Holiday Lights, Festival of the Arts, Jewish Mluseum, MDPL, Orange Bowl, Monuments, etc. These allowable uses have led to increased tourist activities, such as special events, Art Basel, and various concerts. The 2% Resort Tax Fund operating revenues are in excess of budget by approximately $3.8 million and, as a result certain expenditures which are based on a percent of revenues are projected to exceed budget. Further, as outlined to the Commission in LTC #231 -2010 dated August, 2010, the City was recitliired to make a mandatory payment of the remaining principal balance of the Sunshine State Loan in the amount of $2.93 million in September, 2010. This repayment was aid from the Resort Tax Fund. In addition to current year budgeted payments, an was p aid,' additional $2.29 million in retained earnings was used for the repayment and a budget amendment is required to reflect this additional amount. In addition, as part of the ongoing clean -up of accounts in the City, the following Service and Special Improvement Districts, previously funded by Resort Tax Funds, have deficits of $735,53 going back many years which were never funded and research shows that they should have been funded by Resort Taxes at that time. First Amendment to the FY 2009/10 General Fund, Enterprise, Internal Service and Resort Tax Budgets First Amendment to the FY 2010/11 General Fund Budget Page 13 • Lincoln Road Management District • Washington Avenue Special Improvement District • South Beach Hotel Management District • Ocean Drive Special Improvement District • 41 Street Business District I am therefore recommending that Resort Tax retained earnings be used to fund those amounts at this time, along with the additional $1.95 million transfer to the General Fund discussed earlier in this memorandum funded from the 2% Resort Tax revenues in excess of budget. In addition to the uses listed above, the proceeds of the additional one percent (1%) tax are used as follows. Fifty percent of the amount earned is committed to the payment of a portion of the debt service on the Miami Beach Redevelopment Agency City Center/ Bonds. The remaining fifty percent is allocated equally among North Beach, Middle Beach, and South Beach =for capital projects that enhance Miami Beach's tourist - related areas and various arts and cultural programs. Revenues from the additional one percent that exceed budget are automatically allocated to these categories, although unspent. g Y g � g p The resulting recommended changes are summarized below. RESORT TAX FUND Additional Revenue Appropriation 2% Resort Tax $ 2,138,287 Retained Earnings 3,034,963 Total Revenue Increase $ 5,173,250 Additional Expenditure Appropriation General Fund Contribution $ 1,950,550 Other Operating /Other Uses 187,737 Transfer to Service and Special Improvemetn Districts Funds 735,553 Debt Service 2,299,410 Total Expenditure Increase $ 5,173,250 CONCLUSION It should be noted that this actual is preliminary in nature due to the fact that the City's financial records will not be closed until after the external auditors complete their review. Historically, this occurs in April, with the City's Comprehensive Annual Financial Report (CAFR) For the Year Ended September 30, 2010, usually available in May. However, this analysis has considered all year -end entries to date and, typically, any additional changes are minor in nature. The attached resolution will allow the first amendment to the departmental appropriations within the General Fund, Enterprise Funds, Internal. Service Funds and Resort Tax Fund budgets to be enacted. This action is necessary to comply with Florida Statutes which stipulate that we may not expend more than our appropriations provide. JMG /KGB /JC 6 s , ' ATTACHMENT A FY 2009/1 General Fund Operating Summary Adopted FY 2009/10 Prelim Actual Prelim -Adptd FY 2009/10 3rd Qtr Projection 09/10 (as of 1/28/11) Over /(Under) REVENUES Ad Valorem Taxes $ 103,809,283 $ 102,298,560 $ 102,163,437 $ (1,645,846) Ad Valorem Taxes -S Pte Costs 9,896,609 9,896,609 9,896,609 0 Ad Valorem Cap.Renewal & Replace. 2,026,707 2,026,707 2,026,707 0 Ad Valorem Taxes -Norm Shores 95,795 95,795 95,795 0 Other Taxes 24,040,704 24,936,810 24,761,159 720,455 Licenses and Permits 14,526,875 16,315,806 15,938,313 1,411,438 Intergovernmental 9,172,470 9,428,100 9,352,917 180,447 Charges for Services 3,961,750 4,624,513 4,657,540 695,790 Golf Courses 5,731,538 5,201,538 5,187,060 (544,478) Fines and Forfeits 3,182,000 2,511,209 2,745,194 (436,806) Interest 5,336,000 4,554,000 3,677,582 (1,658,418) Unrealized Gains /(Loss) - Investment 0 0 (1,950,550) (1,950,550) Rents and Leases 4,578,161 4,869,915 4,813,006 234,845 Miscellaneous 8,590,050 8,281,504 8,075,400 (514,650) Other - Resort Tax contribution 22,465,440 22,465,440 22,465,440 0 Other - Non Operating revenues 7,375,935 7,375,935 7,375,935 0 Reserve- Building Department Ops. 1,546,709 1,546,709 1,546,709 0 Fund Balance 0 0 0 . ) 0 SublTotal $ 226,336,026 $ 226,429,150 $ 222,828,253 $ (3,507,773) 1 I Total Net of Unre" lized Gains /(Loss) I 1 $ 226,336,026 1 $ 226,429,150 $ 224,778,803 I I $ (1,557,223)1 EXPEN ITURES Mayor and Commis ion $ 1,478,523 $ 1,452,615 $ 1,439,822 $ (38,701) City Manager 2,293,523 2,288,383 2,264,595 (28,928) Communications 914,249 880,954 864,985 (49,264) City Clerk 1,567,479 1,531,045 1,492,097 (75,382) Finance 4,416,396 4,440,929 4,441,912 25,516 Office of Budget & erf Improvement 1,993,560 1,973,703 1,981,497 (12,063) Human Resources / L abor Relations 1,764,137 1,732,414 1,698,319 (65,818) Procurement 901,633 917,349 907,671 6,038 City Attorney 4,227,546 4,123,789 ` 4,112,302 (115,244) Real Estate, Housing & Comm Dev, 860,446 824,226 862,443 1,997 Community Services 410,332 417,971 409,327 (1,005) Homeless Service 673,763 692,748 550,307 (123,456) Building 8,601,507 9,453,586 9,273,619 672,112 Planning 2,983,728 2,939,765 1 2,888,083 (95,645) Tourism & Cultural Development 2,644,076 2,602,392 2,642,872 (1,204) Code Compliance 4,094,956 4,157,106 4,211,122 ' 116,166 Parks and Recreation 22,764,119 21,775,232 21,431,567 (1,332,552) Golf Courses 6,295,105 5,723,731 5,818,869 (476,236) Public Works 6,545,304 6,443,313 6,252,639 (292,665) Capital Improvement Program 3,843,831 3,584,626 3,589,061 (254,770) Fire 50,900,788 52,441,908 51,888,672 987,884 Police 81,127,849 82,424,797 81,686,854 559,005 Citywide Accounts 10,601,432 9,923,750 9,286,283 (1,315,149) Citywide Acc- Operating Contingency . 1,075,660 1,075,660 0 (1,075,660) Citywide Accounts- Normandy Shore 147,377 147,377 147,377 0 Citywide Accounts - ransfers 1,182,000 1,182,000 1,009,231 (172,769) Capital Renewal & Replacement 2,026,707 2,026,707 2,026,707 0 CWA/FOP /IAFF /AFSCME Steps /Merits 0 0 0 0 TOTAL EXPENDITURES $ 226,336,026 $ 227,178,076 $ 223,178,233 $ (3,157,793) 6 EXCESS OF REVENUES OVER/ , (UNDER) EXPENDITURES $ 0 $ (748,926) $ 1,600,570 $ 1,600,570 1 ATTACHMENT B FY 2009/10 Enterprise Funds Summary Adopted FY 2009/10 Prelim Actual Prelim - Adptd PA , KING FY 2009/10 3rd Qtr Projection 09/10 (as of 1/28/11) Over /(Under) REVENUES CHARGES FOR SERVICES Meters , $ 16,650,924 $ 18,908,802 $ 18,800,837 $ 2,149,913 Parking Citations 3,030,000 3,500,000 3,534,813 .504,813 Attended Parking 831,000 169,384 169,268 (661,732) Permits 758,000 990,466 847,754 / , 89,754 Preferred Lot 1,500,000 1,367,005. 1,338,492 (161,508) Garages 6,489,754 6,164,923 5,981,334 (508,420) Space Rental 250,000 172,739 173,495 (76,505) Valet 503,000 829,881 818,225 315,225 Towing Fees 217,000 240,157 356,500 139,500 Subtotal $ 30,229,678 $ 32,343,357 $ 32,020,718 $ 1,791,040 OTHER Interest Earnings $ 1,040,000 $ 489,065 $ 691,551 ($348,449) Retained Earnings 0 0 0 0 Miscellaneous 68,100 69,961 298,257 230,157 Subtotal $ 1,108,100 $ 559,026 $ 989,808 ($118,292) TOTAL REVENUES $ 31,337,778 $ 32,902,383 $ 33,010,526 $ 1,672,748 EXPENSES Payroll & Fringes $ 9,459,971 $ 9,033,829 $ 9,409,071 $ (50,900) Operating 13,683,660 10,012,950 11,034,371 (2,649,289) Management/ROW Fees to GF 2,758,620 2,758,620 2,758,620 0 Depreciation 1,202,970 1,202,970 1,569,702 366,732 Debt Service 2,185,681 2,185,681 2,161,935 (23,746) Reserve Future Cap /Debt Srvc 1,922,876 1,922,876 1,922,876 0 Capital! 124,000 124,000 77,130 (46,870) TOTAL EXPENSES $ 31,337,778 $ 27,240,926 $ 28,933,705 $ (2,404,073) EXCESS OF REV' NUES OVER/ (UNDER) EXP , NSES $ 0 $ 5,66.1,457 $ 4,076,821 $ 4,076,821 FY 2009/10 Enterprise Funds Summary Adopted FY 2009/10 Prelim Actual Prelim - Adptd SANI ATION FY 2009/10 3rd Qtr Projection 09/10 (as of 1/28/11) _ Over /(Under) REVENUES CHARGES FOR SERVICES Sanitation Fees $ 3,513,454 $ 3,359,311 $ 3,430,047 $ (83,407) Franchise Tax -Waste Contractors 3,294,703 3,180,691 3,248,028 (46,675) Franchise Tax -Right of Way 372,579 415,151 371,375 (1,204) Trash Removal 150,000 102,926 84,950 (65,050) Roll Off 975,000 452,389 465,945 (509,055) Impact Fee-Constriuction 1,115,500 590,207 574,842 (540,658) Impact Fee- Comm 725,000 662,976 670,350 (54,650) City Center RDA-fIeimbursement 1,958,899 2,416,908 2,039,221 80,322 Amended CDT Int rlocal Agreement 2,619,643 2,496,658 2,619,643 0 Violations /Fines 1 100,000 72,253 70,814 (29,186) Subtotal $ 14,824,778 $ 13,749,470 $ 13,575,215 $ (1,249,563) OTHER Interest Earnings /Other $ 182,455 $ 240,613 $ 314,607 $ 132,152 Retained Earnings/ Capital 394,900 284,032 326,862 (68,038) Parking Fund Contribution 365,170 365,1.70 365,170 0 Stormwater Fund Contribution 584,000 584,000 584,000 0 Subtotal $ 1,526,525 $ 1,473,815 $ 1,590,639 $ 64,114 TOTAL REVENUES $ 16,351,303 $ 15,223,285 $ 15,165,854 $ (1,185,449) EXPENSES Payroll & Fringes $ 9,113,849 $ 7,731,443 $ 8,095,773 $ (1,018,076) Operating r 2,804,276 3,386,477 3,667,556 863,280 Garbage Contracts 2,589,393 2,405,652 2,557,071 (32,322) Management Fee to GF 877,461 877,461 877,461 0 Depreciation 335,000 335,000 304,213 (30,787) Debt Service - Equip. Loan Program '236,424 236,424 236,424 0 Capital 394,900 284,032 326,862 (68,038) TOTAL EXPENES $ 16,351,303 $ 15,256,489 $ 16,065,360 $ (285,943) EXCESS OF REVNUES OVER/ (UNDER) EXPENSES $ 0 $ (33,204) $ (899,506) $ (899,506) J FY 2009/10 Enterprise Funds Summary Adopted FY 2009/10 Prelim Actual , Prelim - Adptd SEWER OPERATIONS FY 2009/10 3rd Qtr Projection 09/10 (as of 1/28/11) Over /(Under) REVENUES CHARGES FOR SERVICES Sewer User Fees $ 31,268,607 $ 31,724,784 $ 32,658,806 $ 1,390,199 Sewer Connection Fees 35,000 35,000 43,254 8,254 Sewer Fees - Cities 2,246,935 2,519,101 2,644,902 397,967 Subtotal $ 33,550,542 $ 34,278,885 35,346,962.00 $ 1,796,420 OTHER Interest Earnings $ 337,500 $ 441,257 $ 440,532 $ 103,032 Miscellaneous 587,500 1,701,544 759,876 172,376 Rate Stabilization and 1,035,857 2,950,575 2,950,575 1,914,718 Retained Earnings 189,200 206,700 271,276 82,076 Subtotal $ 2,150,057 $ 5,300,076 $ 4,422,259 $ 2,272,202 TOTAL REVENUES $ 35,700,599 $ 39,578,961 $ 39,769,221 $ 4,068,622 EXPENSES Payroll & Fringes $ 2,617,347 $ 2,613,736 $ 2,606,492 $ (10,855) Operating 4,324,697 4,516,794 3,092,081 (1,232,616) Sewer Treatment 16,799,686 16,132,123 15,009,928 (1,789,758) Management Fees to GF 1,214,316 1,214,316 1,214,316 0 DERM Fee 2,304,326 2,287,213 2,287,213 (17,113) Depreciation 1,500,000 1,500,000 1,983,144 483,144 Debt Service 5,527,493 4,963,004 5,316,905 (210,588) Reserve Cap /Deb Rate Stabilization 1,223,534 6,034,555 7,987,866 6,764,332 Capital 189,200 317,220 271,276 82,076 TOTAL EXPENSES $ 35,700,599 $ 39,578,961 $ 39,769,221 $ 4,068,622 EXCESS OF REVNUES OVER/ (UNDER) EXPNSES $ 0 $ (0) $ (0) $ (0) k V FY 2009/10 Enterprise Funds Summary Adopted FY 2009/10 Prelim Actual Prelim - Adptd STORMWATER FY 2009/10 3rd Qtr Projection 09/10 (as of 1/28/11) Over /(Under) REVENUES Stormwater Fees $ 11,139,438 $ 11,395,707 $ 11,212,772 $ 73,334 Interest Earnings 300,000 266,302 218,784 (81,216) Rate Stabilization Fund 0 3,558,172 3,558,172 3,558,172 Other ; 0 2,965 (7,342) (7,342) TOTAL REVENUES $ 11 ,439,438 $ 15,223,146 $ 14,982,386 $ 3,542,948 EXPENSES Payroll & Fringes $ 1,768,215 $ 1,679,084 $ 1,620,750 $ (147,465) Operating 1,485,456 1,401,535 1,166,848 (318,608) Contribution to Sanitation 584,000 ' 584,000 584,000 0 Management Fee to GF 601,906 601,906 601,906 0 Depreciation 320,000 320,000 241,484 (78,516) Debt Service 4,958,000 2,988,145 3,487,567 (1,470,433) Reserve Cap /Debt/Rate Stabilization 1,717,261 7,534,640 7,030,247 5,312,986 Capital 1 4,600 113,836 249,584 244,984 TOTAL EXPENSES $ 11,439,438 $ 15,223,146 $ 14,982,386 $ 3,542,948 EXCESS OF REVENUES OVER/ (UNDER) EXPENSES $ 0 $ 0 $ 0 $ 0 r J FY 2009/10 Enterprise Funds Summary Adopted FY 2009/10 Prelim Actual Prelim - Adptd WATER OPERATIONS FY 2009/10 3rd Qtr Projection 09/10 (as of 1/28/11) Over /(Under) REVENUES CHARGES FOR SERVICES Water Sales $ 29,093,344 . $ 30,284,378 $ 32,245,921 $ 3,152,577 Firelines 65,000 65,000 63,495 (1,505) Water Tapping 210,000 210,000 214,901 4,901 Subtotal $ 29,368,344 $ 30,559,378 $ 32,524,317 $ 3,155,973 OTHER Interest Earnings $ 112,500 $ 147,086 $ 146,844 $ 34,344 Miscellaneous 557,500 1,681,224 300,652 (256,849) Rate Stabilization Fund 1,100,765 0 0 (1,100,765) Retained Earnings - Capital 554,300 361,073 549,665 (4,635) Subtotal $ 2,325,065 $ 2,189,383 $ 997,161 $ (1,327,905) TOTAL REVENUES $ 31,693,409 $ 32,748,761 $ 33,521 478 $ 1,828,069 EXPENSES Payroll & Fringes $ 4,102,872 $ 4,246,033 $ 4,321,335 $ 218,463 Operating 3,767,811 3,790,849 2,773,839 (993,972) Water Purchase 13,043,667 12,670,300 13,479,331 435,664 Management Fees to GF 1,352,724 1,352,724 1,352,724 0 DERM Fee 2,143,345 2,191,087 2,191,087 47,742 Depreciation 1,240,000 1,240,000 1,760,945 520,945 Debt Service 4,230,872 3,480,014 3,943,967 (286,905) Reserve Cap/Del/Rate Stabilization 1,257,818 3,416,681 3,148,584 1,890,766 Ca • ital 554,300 361,073 549,665 (4,635) TOTAL EXPENSES $ 31,693,409 $ 32, 748, 761 $ 33,521,478 $ 1,828,069 EXCESS OF REVNUES OVER/ (UNDER) EXP L NSES $ 0 $ 0 $ (0) $ (0) j _ 4 ATTACHMENT C FY 2009/10 Internal Service Funds Summary Adopted FY 2009/10 Prelim Actual Prelim - Adptd CENTRAL SERVICES FY 2009/10 3rd Qtr Projection 09/10 (as of 1/28/11) Over /(Under) REVENUES Inter- departmental Charges - $825,568 $1,013,780 $1,007,858 $182,290 Interest/Other 0 1,046 1,535 1,535 Retained Earnings 0 0 0 0 TOTAL REVENUES $825,568 $1,014,826 $1,009,393 $183,825 EXPENSES Payroll & Fringes $345,936 $344,304 $357,383 $11,447 Operating 475,264 508,012 481,084 5,820 Depreciation 4,368 4,766 6,355 1,987 Capital. 0 0 0 0 TOTAL EXPENSES $825,568 $857,082 $844,822 $19,254 EXCESS OF REVENUES OVER/ (UNDER) EXPENSES $0 $157,744 $164,571 $164,571 i i C i FY 2009/10 Internal Service Funds Summary Adopted FY 2009/10 Prelim Actual Prelim - Adptd FLEET MANAGEMENT FY 2009/10 3rd Qtr Projection 09/10 (as of 1/28/11) Over /(Under) REVENUES , Inter-departmental Charges $7,534,821 $7,534,821 $7,310,340 ($224,481) Sale of City Property r 160,000 - 160,000 115,215 (44,785) Interest/Other 202,500 143,814 209,459 6,959 Motor Fuel Tax Refund 92,000 113,600 116,493 24,493 Retained Earning4 824,675 95,000 '191,074 (633,601) TOTAL REVENUES . $8,813,996 $8,047,235 $7,942,581 , ($871,415) EXPENSES Payroll & Fringes $1,745,308 $1,731,208 $1,753,463 $8,155 Operating 1,887,465 2,056,479 1,828,978 (58,487) Fuel 2,670,000 2,478,000 ' 2,339,072 (330,928) Debt Service 1,686,548 1,686,548 1,672,841 (13,707) Capital 824,675 95,000 191,074 (633,601) TOTAL EXPENSES $8,813,996 $8,047,235 $7,785,428 ($1,028,568) EXCESS OF REVENUES OVER/ (UNDER) EXPENSES $0 $0 $157,153 $157,153 . FY 2009/10 Internal Service Funds Summary Adopted FY 2009/10 Prelim Actual Prelim - Adptd INFORMATION ECHNOLOGY FY 2009/10 3rd Qtr Projection 09/10 (as of 1/28/11) Over /(Under) REVENUES % Inter- departmenta Charges $12,843,320 $12,843,320 $12,815,203 ($28,117) Other /Interest . 125,000 185,000 415,542 290,542 Retained Earning 1,085,000 ` 440,994 1,538,170 453,170 TOTAL REVENUES $14,053,320 $13,469,314 $14,768,915 $715,595 EXPENSES Payroll & Fringes $4,565,719 $4,568,928 $4,784,014 $218,295 Operating 6,143,592 5,990,139 6,062,028 (81,564) Depreciation 1,569,854 1,569,854 1,569,854 0 Debt Service 689,155 689,155 689,155 0 Capital 1,085,000 440,994 1,538,170 453,170 TOTAL EXPENSES $14,053,320 $13,259,070 $14,643,221 $589,901 EXCESS OF REV NUES OVER/ (UNDER) EXPENSES $0 $210,244 $125,694 $125,694 , \ / o FY 2009/10 Internal Service. Funds Summary Adopted FY 2009/10 Prelim Actual Prelim - Adptd PROPERTY MANAGEMENT FY 2009/10 3rd Qtr Projection 09/10 (as of 1/28/11) Over /(Under) REVENUES Inter- departmental Charges $8,270,336 $8,115,084 $7,964,628 ($305,708) Other /Interest 60,411 44,869 19,038 (41,373) Construction Projects 50,000 146,949 148,255 98,255 Retained Earning , 33,412 109,311 49,547 16,135.. TOTAL REVE!NU ES $8,414,159 , $8,416,213 $8,181,468 ($232,691) EXPENSES Payroll & Fringes $3,938,899 $3,958,007 $4,084,180 $145,281 Operating 4,151,148 3,958,515 3,792,265 (358,883) Depreciation 275,000 275,000 255,476 (19,524) Capital 49,112 179,822 49,547 435 TOTAL EXPENSES $8,414,159 $8,371,344 $8,181,468 ($232,691) EXCESS OF REVENUES OVER/ (UNDER) EXPENSES $0 $44,869 ; $0 $0 . r FY 2009/10, Internal Service Funds Summary Adopted FY 2009/10 Prelim Actual Prelim - Adptd RISK MANAGEMENT FY 2009/10 3rd Qtr Projection 09/10. (as of 1/28/11) Over /(Under) REVENUES Inter - departmenta Charges 16,749,708 16,803,386 16,829,953 $80,245 Other /Interest 400,000 972,741 1,044,014 644,014 Retained Earnings i" 546,000 0 0 (546,000) TOTAL REVENUES $17,695,708 $17,776,127 $17,873,967 $178,259 EXPENSES Operating $ 903,879 $ 870,254 $ 866,124 ($37,755) Administrative Fees 567,231 567,231 567,231 0 Non-Operating p g 16,224,598 16,144,090 13,340,704 (2,883,894) TOTAL EXPENSES $17,695,708 $17,581,575 $14,774,059 ($2,921,649) EXCESS OF REVENUES OVER/ (UNDER) EXPENSES ($0) $194,552 $3,099,908 $3,099,908