04-25-22-R - Laserfiche WebLink

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Page 1 of 2 CONSENT ITEM – 7B MEMORANDUM DATE: April 25, 2022 TO: Honorable Mayor and City Councilmembers Dave Perrault, City Administrator FROM: Gayle Bauman, Finance Director SUBJECT: 2022 1st Quarter Financials Budgeted Amount: Actual Amount: Funding Source: N/A N/A N/A Council Should Consider Motion to approve, table or deny the following: • Quarterly budget to actual fund statements and investment portfolio detail for the City. All items need a simple majority for action unless otherwise noted. Background Investments - per the Investment Policy, our Benchmark Rate is the 4M plus Rate. At March 31, 2022 – this rate was 0.073% and our portfolio is averaging 1.77%. All of our investments are in government secured or government backed deposits. Utility billing cycles and CIP projects are taken into account when determining how much to invest and for how long. Basis of accounting – during the year, City books are kept on a cash basis which means that only items that are received are booked as revenue and items paid are booked as expenses. Adjustments for accruals, deferrals and other accounting requirements are made at year end. General Fund – The main source of revenue for the City is property taxes and these come in twice a year. Expenditures are at 23.0% of budget through the first quarter, compared to 22.4% last year. Other governmental funds, enterprise funds and internal service funds – Utility revenue for first quarter will be booked in April 2022 and annual transfers between funds will be booked later in the year. The allocation for insurance (Risk Management Fund) will be completed in June. Market value adjustments for investments total -$379,665.41 through the end of the quarter. It is important to note that the City holds its investments to maturity and no principal is ever lost on an investment.