Desk Item - 2003/04 Second Quarter Budget Performance
DATE: TO: FROM: SUBJECT: MEETING DATE: 2/24/04 DESK ITEM COUNCIL AGENDA REPORT FEBRUARY 24, 2004 MAYOR AND TOWN COUNCIL J DEBRA J. FIGONE, TOWN 2003/04 SECOND QUARTER
BUDGET PERFORMANCE AND STATUS REPORT -SIX MONTHS ENDING DECEMBER 31,2003 The attached page replaces the Franchise Fee /RECOMMENDED BUDGET ADJUSTMENTS page in the 2nd Quarter Budget Perfonnance
and Status Report due to an excel fonnula error found in the recommendedbudget adjustment schedule under the FY 2003/04 Estimated Revenues section. PREPARED BY: Stephen D. Conway, Finance
and Administrative Services Director N:\FINANCE\Qtrly Financial Reports\FY 2004\FY04-2nd Qtr\2nd MID-YEAR BUDGET ADJUSTMENT ADDENDUM.wpd Reviewed by: .e:s:;iAssistant Town Manager __Town
Attorney __Clerk 6?'Finance __. _Community Development Revised: 2/24/04 9:26 am Refonnatted: 5/30/02
FINANCIAL OUTLOOK FY 2003/04• Description Franchise Fee Analysis • Franchise Fees are collected by the Town for the privilege of operating a utility service within Town limits, and in
lieu of a business license. Franchise Fees are currently received from Comcast for cable television services, PG&E for gas and electric service, and Green Valley for solid waste collection
services. FY2003/04 Franchise Fee revenues are trending at budget estimates. $1,000,000 $900,000 $800,000 $700,000 $600,000 $500,000 $400,000 $300,000 $200,000 $100,000 $-Quarterly and
Annual Revenues 5-Year History .2nd Quarter Actual Revenues CI Fiscal Year Total Actual Revenues • Fiscal Year Budgeted Revenues FY 2000 FY 2001 FY 2002 FY 2003 FY 2004 FY 2000 FY 2001
FY 2002 FY2003 FY 2004 2nd Quarter Actual Revenues $ 217,466 $ 245,116 $ 267,296 $ 200,819 $ 239,295 Fiscal Year Total Actual Revenues $ 836,489 $ 929,865 $ 990,861 $ 897,157 Fiscal
Year Budgeted Revenues $ 896,400 2nd Quarter Revenue Percent of Total 26.00% 26.36% 26.98% 22.38% 22.38% 26.70% Recommended Budget Revision No Change
RECOMMENDED BUDGET ADJUSTMENTS FY 2003/04 Estimated Revenues Budget adjustments are recommended for the following revenues: FY 2003/04 Recommended FY 2003/04 Revenue Adopted Adjustment
Revised Sales Tax $ 6,800,000 $ (150,000) $ 6,650,000 Occupancy Tax $ 900,000 $ (70,000) $ 830,000 Interest Income $ 1,290,100 $ (137,100) $ 1,153,000 The revenue reductions listed above
reflect declines in economically sensitive revenues in three major Town revenues, Sales Tax, Hotel Occupancy Tax, and Interest Income as discussed previously. FINANCIAL SUMMARIES, PROJECTIONS
AND RECOMMENDATIONS General Fund As stated earlier in this report, the attached Schedule ofFY 03104 General Fund Operating Revenues vs. Operating Expenditures presents budget to,actual
data for the second quarter and comparison information from the prior year. In the last column, the Finance Department projects final balances for the fiscal year based upon the trends
observed through the second quarter.