HomeMy WebLinkAboutGeneral Fund Status Report.FY 2014 2nd Q y�N S I�G
,,, . Chris Swope
Lansing City Clerk
jcHIG
February 7, 2014
President Boles and Councilmembers
10th Floor City Hall
Lansing, MI 48933
Dear President Boles and Councilmembers:
My office has received and placed on file:
FY 2014 2nd Quarter General Fund Status Report
This document is available for review at the office of the City Clerk and on the City Clerk's
website (www.lansingmi.gov/clerk).
Sincerely,
Chris Swope, CIVIC
Lansing City Clerk
Lansing City Clerk's Office
Ninth Floor, City Hall, 124 W. Michigan Ave., Lansing, MI 48933-1695
517-483-4131 • TDD 517-483-4479. 517-377-0068 FAX
www,lansingmi.gov/clerk • clerk@lansingmi.gov
` 1
RECEIVED
1 rJ' OFFICE OF THE MAYOR 2014 JAN 31
9th Floor, City Hall
124 w. Michigan Avenue LANSING CITY CLERK
Lansing, Michigan 48933-1694,
(517)483-4141 (voice)
( 483-4479
517))483 6066(Fax))
Virg Bernero, Mayor
TO: City Clerk Chris Swope
FROM: Mayor Virg Bernero
DATE: January 31, 2014
RE: FY 2014 2"d Quarter General Fund Status Report
Pursuant to Section 7-110 of the City Charter, attached please find the General Fund Status Report for the second
quarter of Fiscal Year 2014.
"Equal Opportunity Employer"
General Fund Status Report—FY 2014 2nd Quarter
Please see accompanying summary detail(page 3)
Revenues
In total, General Fund revenues collected through the second quarter of Fiscal Year 2014 (July—
December)were on par with the average of the past three years' second quarter collection rates, as a
percentage of year-end amounts, at 50%compared to 49.7%as adjusted (see footnote.2 on the
accompanying summary).
• The vast majority of Property Taxes are collected in the first month of the fiscal year. At
the end of the first half of this year,they were higher, as a percentage of budget, compared
to the average of the past three year's second quarter collection rates, at 100.8%compared to
97.9%. Property taxes comprise 32% of General Fund revenues.
• As a percentage of budget, Income Tax collections were higher than the average collection
rate for the past three years, at 35.3% of budget, compared to 32.7%. It should be noted that
income tax revenues fluctuate from previous trends due to timing differences in remittances;
however,they have shown sustained strength this fiscal year. Income taxes make up 25%of
General Fund revenues.
• State Revenue Sharing and Fire Protection/Bad Driver Fees are on target. The City has
complied with the October 1 Economic Vitality.Program (EVIP) deadline for the
Accountability and Transparency submission and the February I deadline for consolidation
of services. State revenue accounts for 13% of General Fund revenues.
• Charges for Services were lower as a percentage of year-end totals for the average of the
same period for the last three years, at 39.3%of budget compared to 44.6% in prior years,
but improved from last year. Charges for service comprise about 8%of General Fund
revenues.
• In total, Licenses and Permits revenues were slightly lower than the average collection rate
of the same period for the last three years as a percentage of year-end totals, at 24.6% of
budget, compared to 26.3%. Licenses and permits make up only l.5%of General Fund
revenues.
• Collection rates for Fines and Forfeiture were higher as a percentage of year-end totals for
the average of the last three years, at 40.3% of the budget compared to 34.4%. Fines and
Forfeiture revenue makes up 2%of General Fund revenues
• The City's Return on Equity payment from the Board of Water and Light(BWL), was
higher as a percentage of year-end totals for the average of the last three years (49.7%
compared to 2.2%), due to a change in the new contract payment schedule. Payments are
now received semi-annually, where they were previously received annually at the end of the
fiscal year. Return on equity payments account for 18% of General Fund.
• Interest revenue is posted as investments mature,the timing of which varies from year-to-
year.
1/31/2014 Page 1 of
Expenditures
In total, taking into account the vacancy factor, expenditures for General Fund operating
departments (excluding debt service and transfers to other finds) were under the budget target--at
44.9%as of December 31, compared to a budgetary target of 45.3%.
Summary
For the first half of the year, total General Fund revenues and expenditures, in total, are on track.
1/31/2014 Page 2 of 3
General Fund Status Report-FY 2014 December 31, 2013
Avg. Percent
of Year-End
Actuals as of
Revenues Annual Actual Percent September 30
Budget as of 12/31/13 of Budget FY 2011 -2013
Property Taxes $ 37,519,000 $ 37,820,534 100.8% 97.9%
Income Taxes 29,130,000 10,271,016 35.3% 32.7%
Revenue Sharing 14,568,300 3,714,425 25.5% 18.9%
Licenses& Permits 1,563,700 384,221 24.6% 26.3%
Charges for Services 9,002,000 3,533,948 39.3% 44.6%
Fines& Forfeitures 2,595,400 1,045,740 40.3% 38.4%
Interest& Rent 60,000 41,724 69.5% 74.1%
Return on Equity 21,000,000 10,445,735 49.7% (2) 2.2%
.Other Revenue 276,144 180,595 65.4% 13.1%
Total Revenues $115,714,544 $ 67,437,939 ��� 58.3% (2) 49.7%
Expenditures Annual Actual Percent Target, Including
Budget as of 12/31/13 of Budget Vacancy Factor
Council $ 628,900 $ 263,604 41.9%
Internal Audit 184,460 78,753 42.7%
Courts 5,608,490 2,532,341 45.2%
Mayor's Office 792,470 391,562 49.4%
Media Center 334,250 160,132 47.9%
Clerk's Office 880,4.00 424,101 48.2%
Planning& Neighborhood Development 845,050 433,357 51.3%
Finance 4,895,100 2,069,067 42.3%
Human Resources 1,612,670 685,073 42.5%
Attorney's Office 1,452,640 673,891 46.4%
Vacancy Factor (600,000) - 0.0%
Police 35,498,150 15,955,707 44.9%
Fire 31,704,800 13,892,303 43.8%
Public Service 9,442,090 4,381,356 46.4%
Human Relations& Community Service 869,910 474,870 54.6%
Parks& Recreation 7,048,750 2,928,420 41.5%
Human Services& City Supported Agencies 1,740,944 906,649 52.1%
$102,939,074 $ 46,251,185 44.9% 45.3%
Library Lease $ 155,000 $ 84,928 54.8%
Debt Service 1,106,620 157,711 14.3%
Transfers 11,513,850 9,325,621 81.0%
$115,714,544 $ 55,819,445
Please see Pages 1 and 2 for an explanation of revenues and expenditures.
Note:Year-to-date revenue is always greater than expenditures at this time of year,as property taxes,
accounting for 32%of General Fund revenues, are collected at the beginning of the year. Property taxes
include delinquent amouts that will be reimbursement by the counties upon settlement.
(2)Variance from budget target is due to a change in payment timing for the Board of Water and Light return on
equity payment. Previously, the payment was made annually at the end of the year. Starting this year, payments
will be received semi-annually. Excluding this payment,total General Fund revenues in line with budgetary
expectations, at 50%as of December 31, 2013.
Page 3 of 3