6. Financial Statements May 2009 Memo
ACCOUNTING DIVISION MEMORANDUM
June 15, 2009
TO: City Council
FROM: Patty Lynch, Comptroller
SUBJECT: Financial Statement for the Month of May 2009
The City prepares its Financial Statements in accordance with generally accepted
accounting principals using the modified accrual method of accounting and is audited
annually by Baker Tilly Virchow Krause, LLP. We prepare interim financial statements for
the Council’s review on a monthly basis. Division and Department Heads are responsible
for monetary expenditures to ensure budget compliance. Revenues and expenditures are
projected to year-end in June and September.
Key operating funds include the General Fund, Water and Wastewater Utilities, and
Sanitation. A summary of their performance to budget, as compared a three-year average,
is presented in the following graphs.
EXPENDITURE SUMMARY
The graph below indicates expenditures are being made according to budget. Sanitation is
underbudget trends due to the reduced volume of refuse at the landfill.
Year-To-Date April ExpendituresCompared to Three-Year Average
Current YTD3 Yr. Avg.
45%
40%
Percent of Total Budget
35%
30%
25%
20%
15%
10%
5%
0%
General FundWater -Wastewater -
OperatingOperatingSanitation
April 2009 Financial Statement
May 15, 2009 Page 2
REVENUE SUMMARY
The graph below indicates General Fund, Water, and Wastewater revenue has been
earned as anticipated. Sanitation fund is below trend due to decreased tonnage of waste
collected at the landfill.
Year-To-Date April RevenuesCompared to Three-Year Average
Current YTD3 Yr. Avg.
50%
45%
Percent of Total Budget
40%
35%
30%
25%
20%
15%
10%
5%
0%
General FundWaterWastewaterSanitation
Other items of interest in the Financial Statement are as follows:
Proprietary Funds (pages 4)
?
Stormwater Utility—The Stormwater Utility has a deficit operating cash balance of
$444,403 at May 31, 2009. This is because revenue is billed on a quarterly basis
(Approximately $483,450) after expenditures have been made.
?
Transit System—Transit reports a negative cash balance of $614,517 due to the timing
of grant reimbursements.
Special Revenue Fund Balance (page 5)
?
The Golf Courses fund has a negative fund balance of $70,477. This is due to the
January transfer of its debt service payment ($96,764) to the debt service fund.
?
TIF 3 has a positive balance of $283,908. The positive balance will be used to repay
the general fund advance (plus accrued interest.)
?
At May 31, 2009, the TIF districts have a combined deficit fund balance of $1,127,796.
However, TIF projections indicate the districts will reach a positive fund balance before
April 2009 Financial Statement
May 15, 2009 Page 3
they expire.
?
Landfill long-term care of site #3023 ($115,622) will be reimbursed by an insurance
policy we have in place for post closure care.
Capital Projects Fund (page 6)
?
The Riverfront Property Acquisition account has a deficit balance of $198,628 primarily
due to the purchase of the Westphal and Energetics properties. Funding will be
provided via a Janesville Foundation Riverfront Reclamation Grant.
?
The Reuther Way Project has a deficit balance of $50,193 at 5/31/09. It is anticipated
funding will be provided with 2009 General Obligation note issue.
?
The City incurred expenditures in conjunction with road projects on Highway 11 from
Wright Road to Highway 14 ($185,685). These costs will be funded with future special
assessments or General Obligation note issue.
?
Landfill Construction- Phase 2 has a negative balance of $290,319. This project will be
funded with the 2009 General Obligation note issue.
?
Funding for Borrowed Street Maintenance account will be provided with the Randall
Avenue State LRIP funding ($156,261).
General Fund Unreserved Balance (pages 7-8)
?
Snow removal has a balance of $143,977 at May 31, 2009.
A representative of the Administrative Services Division will be available at the Council
th
Meeting on June 22 to respond to any questions Council may have relative to these
reports. Once Council is satisfied, acceptance of the Financial Statement by consent and
placing them on file would be in order.
/Attachments
Cc: Jacob J, Winzenz, Director of Administrative Services
Eric J. Levitt, City Manager