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Home My WebLink About2025- General Fund Status Report – FY 2026 1st Quarter GENERAL FUND STATUS REPORT qndyscno, , Mayor FISCAL YEAR 2026 1ST QUARTER City of Lansing - Finance Department GENERAL FUND SUMMARY For FY26, the City adopted a General Fund budget of $173.3 million. Council amendments utilized $67,000 from available reserves in the adopted budget, later authorizing carryforwards of unspent basic human needs funding, for an amended budget of $173.9 million. The General Fund was projected to end FY 2025 with an unassigned fund balance of $22.5 million. Unspent basic human needs funding will be reserved in committed fund balance pursuant to Council's adopted budget policies to ensure a stable presentation of fund balance. The administration continues to monitor expenditures and seek necessary savings to maintain vital services while also making strategic investments to grow the City's economy and strengthen the quality of life for residents, workers, business owners, and visitors. The general fund budget report is presented in several formats for informational value as follows. After a separate revenue summary, the City's general fund is presented as formally adopted in appropriation detail showing personnel vs. operating expenditures. 1 REVENUE SUMMARY Revenue YTD 30.0°l 25.0% 20.090 15.0% 10.000 5.0% ■ ■ 0.0% Income Taxes Licenses & Charges-for Fines & Interest & Other Permits Services Forfeitures Rent Revenue General Fund revenue collected through the first quarter of fiscal year 2025-2026 was $69.1M, 39.7% of the budget. • Property Taxes (32.8% of GF revenue budget) are largely collected at the beginning of the fiscal year.They were initially estimated to be $57M. Property tax billings show the City is on track with projections, accounting for preliminary estimates of LBRA and TIFA tax captures. • Income Tax (25.3% of GF revenue budget) collections were $8.1M (18.5% of its budgeted $44M). Income taxes receipts are currently benefiting from conservative estimates, but the City is carefully monitoring potential economic risks including changes in State and Federal spending. • Licenses and Permits (1% of GF revenue budget) are estimated to be $1.8M. Current receipts are at 6.5% of the budgeted amount comparable to previous years. • State Grants (15% of GF revenue budget) are budgeted to be $26.1M in revenue. Activity for the first quarter includes the City's 55% share of returnable license fees from April to June of 2025. Changes adopted with the State's FY 2026 budget to constitutional revenue sharing related to sales taxes will have an impact beginning with the February 2026 payment and have only a partial year impact. The City anticipates an amendment as final estimates become fully understood and quantifiable, expected to coincide with the audited financial statements for the past fiscal year being available to present. 2 REVENUE SUMMARY CO • Return on Equity (ROE) (17.1% of GF revenue budget) represents payment to the City from the Board of Water & Light (BWL). The contract is 6% of operating revenues from BWL and with the City receiving payment in allotments based on the timing of budgeted BWL revenues. Any excess revenue will be included in the final quarter payment. • Charges for Services (6.6% of GF revenue budget) are trending higher than the three-year average for the first quarter. This can be partially attributed to accounting changes for payment processing fees being accounted as expenditures rather than a deduction of revenues as part of the FY 2026 budget. • Fines and Forfeitures (1% of GF revenue budget) are budgeted to be about $1.8M.Ouarter-to-date, receipts are comparable to previous years. • Interest and Rents (0.5% of GF revenue budget) are budgeted to be $800,000 in FY26. Quarter to date amounts are subject to variability as final amounts are posted. • Other Revenues (0.2% of GF revenue budget) amount to a small percentage of the budget with significant variability due to the timing of generally one-time miscellaneous revenues. 3 EXPENDITURE SUMMARY Expenditure YTD 60.0% 50.0°l 40.0°l 30.00/ 20.0% 10.0% I 0.0 l L 60 4a L V V ° 61 6n u� art +� U n t Oro- LL 4] rL V cn Q 4D O L 0 W 47 C Q � Q] Q SF7 U Qj 2 Q a4-'-1 _ a z = 3 fL = d The city has spent almost $43.1M of its FY26 budget, which amounts to 24.8% YTD. City Supported Agencies • Higher expenditures are due to timing of individual initiatives including the charter commission, Advance Peace, and Arts & Culture Grants. 4 General Fund Revenues FY2026 Q1 YTD July 1, 125 - September 31 2025 FY 2026 FY 2026 FY26 01 3 Year 01 Adopted Amended FY 2026 Percent Percent Budget Budget Q1 YTD YTD Average Property Taxes Non-Dedicated 42,885,000 42,885,000 42,909,000 Dedicated - Police 4,237,500 4,237,500 4,237,500 Dedicated - Fire 4,237,500 4,237,500 4,237,500 Dedicated - Roads 2,825,000 2,825,000 2,825,000 Dedicated - Parks 2,825,000 2,825,000 2,825,000 Total 57,010,000 57,010,000 57,034,000 100.0% 104.6% Income Taxes City Income Tax 43,990,000 43,990,000 8,137,458 Total 43,990,000 43,990,000 8,137,458 18.5% 16.2% Licenses & Permits Business Licenses 112,880 112,880 22,136 Cable Franchise Fees 800,000 800,000 - Medical Marijuana Licenses 824,000 824,000 80,000 Non-Business Licenses 34,620 34,620 13,748 Buildings Licenses & Permits 31,000 31,000 1,855 Total 1,802,500 1,802,500 117,739 6.5% 8.6% State Grants Public Safety 2,560,000 2,560,000 - Other State Grants 1,520,000 1,520,000 59,646 Reimbursements 1,800,000 1,800,000 - Revenue Sharing 19,200,000 19,200,000 - Capital City Allocation 1,000,000 1,000,000 - Total 26,080,000 26,080,000 59,646 0.2% 0.3 Return on Equity Board of Water and Light 29,500,000 29,500,000 - Sewage Disposal System 300,000 300,000 - Total 29,800,000 29,800,000 - 0.0% 0.0% General Fund Revenues FY2026 Q1 YTD July 1, 125 - September 31 2025 FY 2026 FY 2026 FY26 01 3 Year 01 Adopted Amended FY 2026 Percent Percent Budget Budget Q1 YTD YTD Average Charges for Services Fees 89,700 89,700 42,318 Services Rendered 2,255,700 2,255,700 765,235 Building Inspection Fees 2,178,500 2,178,500 512,553 Services To Others 64,400 64,400 25,609 Central Stores/Notary 2,000 2,000 65 Public Safety Services 184,900 184,900 38,398 Ambulance Transport Fees 5,980,000 5,980,000 1,617,487 Sales 2,200 2,200 50 Use & Admission Fees 678,600 678,600 223,199 Total 11,436,000 11,436,000 3,224,913 28.2% 21.1 Fines & Forfeitures Fines & Forfeitures 1,768,000 1,768,000 390,442 Total 1,768,000 1,768,000 390,442 22.1% 24.4% Interest & Rent Interest Income 585,000 585,000 19,823 Rentallncome 215,000 215,000 3,000 Total 800,000 800,000 22,823 2.9% 8.5% Other Revenue Donations & Contributions 136,000 136,000 5,607 Miscellaneous 157,500 157,500 9,273 Sale of Capital Assets 120,000 120,000 - Total 413,500 413,500 14,880 3.6% 12.2% Interfund Transfers In Interfund Transfers In 100,000 100,000 100,000 Total 100,000 100,000 100,000 100.0% 0.0% Use of Fund Balance Unassigned 67,000 67,000 Committed - 645,486 Total 67,000 712,486 Total General Fund Revenues 173,267,000 173,912,486 69,101,901 39.7% 41.8% General . Revenues FY2026 01 YTD • September • 2025 FY 2026 FY 2026 FY26 01 3 Year Adopted Amended FY 2026 Percent 01 Percent Appropriations Budget Budget 01 YTD YTD Average Council Personnel 697,481 697,481 123,123 Operating 214,919 214,919 36,585 Total 912,400 912,400 159,707 17.5% 18.4% Internal Auditor Personnel 238,452 238,452 29,007 Operating 10,176 10,176 1,976 Total 248,628 248,628 30,982 12.5% 12.5% Courts Personnel 5,005,773 5,005,773 1,059,404 Operating 1,651,227 1,651,227 230,923 Total 6,657,000 6,657,000 1,290,327 19.4% 20.0% Mayor's Office Personnel 1,073,330 1,073,330 220,915 Operating 297,828 297,828 42,354 Total 1,371,158 1,371,158 263,269 19.2% 20.7% Media Center Personnel 664,016 664,016 149,941 Operating 107,511 107,511 22,822 Total 771,527 771,527 172,763 22.4% 20.3% Clerk's Office Personnel 1,122,559 1,122,559 246,248 Operating 691,832 691,832 140,955 Total 1,814,391 1,814,391 387,203 21.3% 23.0% Neighborhood & Citizen Engagement Personnel 530,319 530,319 118,286 Operating 210,722 210,722 21,252 Total 741,041 741,041 139,538 18.8% 17.9% Economic Development & Planning Personnel 4,837,516 4,837,516 1,022,114 Operating 3,580,033 3,580,033 890,780 Total 8,417,549 8,417,549 1,912,895 22.7% 29.1% Finance Personnel 1,908,500 1,908,500 408,172 Operating 566,648 566,648 98,515 Total 2,475,148 2,475,148 506,687 20.5% 20.3% Assessing Personnel 1,604,176 1,604,176 316,366 Operating 251,268 251,268 32,311 Total 1,855,444 1,855,444 348,678 18.8% 16.1% Treasury Personnel 2,079,026 2,079,026 475,099 Operating 1,008,574 1,008,574 218,722 Total 3,087,600 3,087,600 693,821 22.5% 21.2% General . Revenues FY2026 01 YTD • September • 2025 FY 2026 FY 2026 FY26 01 3 Year Adopted Amended FY 2026 Percent 01 Percent Appropriations Budget Budget 01 YTD YTD Average Human Resources Personnel 2,063,930 2,063,930 486,226 Operating 648,348 648,348 81,730 Total 2,712,278 2,712,278 567,956 20.9% 17.1% Attorney's Office Personnel 2,707,215 2,707,215 518,510 Operating 331,037 331,037 83,842 Total 3,038,252 3,038,252 602,351 19.8% 19.2% Police Personnel 49,644,398 49,644,398 11,313,336 Operating 9,200,925 9,200,925 1,496,474 Total 58,845,323 58,845,323 12,809,811 21.8% 21.8% Fire Personnel 38,540,084 38,540,084 9,925,840 Operating 6,722,028 6,722,028 1,159,824 Total 45,262,112 45,262,112 11,085,664 24.5% 22.4% Public Service Personnel 3,151,767 3,151,767 703,398 Operating 10,613,390 10,613,390 1,632,173 Total 13,765,157 13,765,157 2,335,571 17.0% 20.7% Human Relations & Community Service Personnel 2,270,323 2,270,323 395,149 Operating 320,665 320,665 60,494 Total 2,590,988 2,590,988 455,644 17.6% 18.0% Parks & Recreation Personnel 6,045,037 6,045,037 1,371,479 Operating 3,844,296 3,844,296 836,281 Total 9,889,333 9,889,333 2,207,760 22.3% 17.6% Human Services Operating 2,307,000 2,952,486 475,112 Total 2,307,000 2,952,486 475,112 16.1% 4.0% City Supported Agencies Operating 537,500 537,500 273,193 Total 537,500 537,500 273,193 50.8% 25.2% City Recognitions Operating 10,000 10,000 3,101 Total 10,000 10,000 3,101 31.0% 0.0% Non-Departmental Vacancy Factor (1,500,000) (1,500,000) - 0.0% 0.0% South Lansing Distric Library 150,000 150,000 51,730 34.5% 26.0% Debt Service 987,171 987,171 - 0.0% 0.0% Net Transfers 6,320,000 6,320,000 6,320,000 100.0% 66.7% Total 5,957,171 5,957,171 6,371,730 General Fund TotaL Expenditures 173,267,000 173,912,486 43,093,761 24.8% 23.4%