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#5 Financial Statement for the Month of November ACCOUNTING DIVISION MEMORANDUM December 18, 2009 TO: City Council FROM: Patty Lynch, Comptroller SUBJECT: Financial Statement for the Month of November 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 Fund. 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 under budget trends due to the reduced volume of refuse at the landfill. Year-To-Date November ExpendituresCompared to Three-Year Average Current YTD3 Yr. Avg. 100% 90% Percent of Total Budget 80% 70% 60% 50% 40% 30% 20% 10% 0% General FundWater -Wastewater - OperatingOperatingSanitation November 2009 Financial Statement December 18, 2009 Page 2 REVENUE SUMMARY The graph below indicates General Fund and Wastewater revenue has been earned as anticipated. Water is under trend due to the delayed implementation of the rate increase. Sanitation fund is below trend due to decreased tonnage of waste collected at the landfill. Year-To-Date November RevenuesCompared to Three-Year Average Current YTD3 Yr. Avg. 140% 120% Percent of Total Budget 100% 80% 60% 40% 20% 0% General FundWaterWastewaterSanitation Other items of interest in the Financial Statement are as follows: Proprietary Funds (page 4) ? The Stormwater Utility has a deficit operating cash balance of $424,284 at November 30, 2009. This is because revenue is billed on a quarterly basis (approximately $483,450) after expenditures have been made. ? Transit reports a negative cash balance of $266,616 due to the timing of grant reimbursements. Special Revenue Fund Balance (page 5) ? TIF 3 has a positive balance of $285,955. The positive balance will be used to repay the general fund advance plus accrued interest. ? At October 31, 2009, the TIF districts have a combined deficit fund balance of $1,300,762. However, TIF projections indicate the districts will reach a positive fund balance before they expire. ? Landfill long-term care of site #3023 ($195,994) will be reimbursed by an insurance policy we have in place for post closure care. November 2009 Financial Statement December 18, 2009 Page 3 Capital Projects Fund (page 6) ? The Riverfront Property Acquisition account has a deficit balance of $214,919 primarily due to the purchase of the Westphal and Energetics properties. Funding will be provided by a Janesville Foundation Riverfront Reclamation Grant. ? The City incurred expenditures in conjunction with road projects on Highway 11 from Wright Road to Highway 14 ($186,799). These costs will be funded with future special assessments or General Obligation note issue. ? Note proceeds of $10,825,000 have been recorded in November in the Capital Projects fund. A representative of the Administrative Services Department will be available at the Council Meeting on December 28 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