2010 04-20 CCP - Laserfiche WebLink

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MEMORANDUM Date: April 20, 2010 To: Gem Lake City Council From: Jessie Hart, Treasurer Re: 1st Quarter 2010 Financial Reports 2009 The 2009 audit is complete. The 2009 audit report was presented at tonight's meeting. Based on the audit, the General Fund ended the year with revenues and expenditures as follows: 2009 2009 2009 Budget Actual Variance Revenues $481,470 $481,043 ($ 427) Expenditures $481,470 $305,532 $175,938 Revenues were lower than the budget by approximately $427 in total and can be accounted for in several areas including the reduction in state aids to the City in 2009 (which had been budgeted) and building related permits. However, revenue exceeded projections in taxes due to collection of some delinquent taxes and charges for service (facility rental). Expenditures were under budget by $175,938 and was due primarily to not spending monies budgeted for legal related to annexation issues and other professional services for planning and included some street maintenance projects not undertaken in 2009. The revenue shortfall combined with spending less than budgeted in expenditures was $21,413 AFTER a budgeted transfer to the Heritage Hall Construction Fund of $27,098 and transferring $125,000 to pay the Sewer Fund back for the remaining balance of the inter -fund loan from 2006. The remaining $21,413 is a direct increase in the General Fund fund balance. The General Fund fund balance at the end of 2009 was $294,064 and represents over 70% of the next years operating budget. The standard amount deemed necessary to carry in fund balance is approximately 45% to 50% of the next year's operating budget so Gem Lake has now recouped a very healthy General Fund fund balance. 2010 The first quarter of the year is already completed. Through the 1 st quarter of the year the General Fund revenues are below anticipated levels, however so are expenditures. Revenues are below 2009 revenues as are expenditures for the 1st quarter.