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Home My WebLink About20100517 - VI-15CITY OF HASTINGS QUARTERLY REPORT OF BUDGETED FUNDS This report is a preliminary summary of the governmental and enterprise st funds for 1 quarter 2010. I have also included the debt management ratios for the end of January 2010. Summary of Governmental Funds-Revenues City of Hastings Comparison of 1st Qtr Financial Report for Years 2009 and 2010 Governmental Funds (Admin, Parks & Recreation, Public Safety, Public Works) Actual Actual Amended Percentage Percentage Year to Date Year to Date Budget of 2010 Change as of 3/31/2009 as of 3/31/2010 2010 Budget from 09-10 Total Revenues $ 721,551 $ 404,944 $19,184,002 2.111% 56.12% Salaries and Benefits 1,898,244 1,925,457 9,352,008 20.589% 101.43% Charges for Services 787,120 756,284 3,539,006 21.370% 96.08% Supplies 182,752 121,199 749,318 16.175% 66.32% Capital 138,286 242,577 779,585 31.116% 175.42% Debt Service Principal 4,150,000 8,135,000 8,140,000 99.939% 196.02% Interest and Fees 558,154 540,044 989,091 54.600% 96.76% Total Expenditures $ 7,714,556 $11,720,562 $23,549,008 49.771% The revenues for first quarter are typically down. Taxes are not received by the city until June and July which is 50% of the total revenues for the governmental funds. The point to note is the continued decline of revenues st such as interest, permits, and charges for services for 1 quarter 2010. The 2010 budget was adjusted for this continuing decline. Summary of Governmental Funds-Expenditures: The above chart compares the expenditures and budget for the first Quarter ending March 31, 2009 and 2010. Expenditures are below the average 25% for Salaries, charges for service and supplies. Debt service is at 100% for principal payments as the annual principal payments are due February 1. Interest is slightly above 50%. st Second half interest payments are due August 1. st Below is a summary of the Enterprise funds for 1 quarter 2010. Enterprise Funds (Hydro, TRAC, Water, Sewer, Storm Water) Actual Actual Amended Percentage Percentage Year to Date Year to Date Budget of 2010 Change as of as of 2010 Budget from 09-10 3/31/2009 3/31/2010 Total Revenues $ 348,635 $ 357,013 $ 5,893,892 6.057% 102.40% Salaries and Benefits 277,055 302,299 1,504,267 20.096% 109.11% Charges for Services 573,406 865,039 2,352,689 36.768% 150.86% Supplies 20,867 20,205 215,115 9.392% 96.83% Capital 388 1,382 60,000 2.304% 356.26% Debt Service Principal - - 205,000 0.000% 0.00% Interest and Fees 90,925 87,587 169,731 51.604% 96.33% Transfers Out - 2,800 548,033 0.511% Total Expenditures $ 962,641 $ 1,279,312 $ 5,054,835 25.309% Summary of Enterprise Revenues Revenues are down as the first quarter months of January-March the billing is actually for the service period of October through December which is allocated back to the 2009 revenues. 2nd quarter will give us a better picture st of the revenues for 2010. If you compared the revenues to 1 quarter 2009 st to 1 quarter 2010 the funds are right on target. Summary of Enterprise Expenses st Expenses for 1 quarter are below the expected 25% for salaries, supplies and capital. Charges for service are above due to the dewatering project at the hydro plant. Salaries when compared to 2009 for the same time period show an increase this too is a result of the dewatering project at the hydro plant. Anticipated and budgeted overtime is the major factor in this difference. Investments st 1 quarter is the lowest point in cash and investments held for the City. Tax receipts are received in four installments. The first being in June as an advance and the remainder in July for the first half tax payment received at Dakota and Washington County. The second half tax payment is received in December with the remaining balance received in January of the following tax year. The dollars received in December and January covers the principal st and interest payment due on the City’s debt on February 1. From February through June the City relies on short term investments and other cash flows received. Currently the city’s investment portfolio has a market value of $16,715,505. CITY OF HASTINGS INVESTMENTS as of 03/31/2010 9,000,000.00 8,000,000.00 MM 7,000,000.00 1 Yr and Under 6,000,000.00 5,000,000.001yr-3 yr Value 4,000,000.00 3-5 yr 3,000,000.00 5-10 yr 2,000,000.00 10-15 yr 1,000,000.00 0.00 Length of Maturity Debt Management Ratios: City of Hastings Key Financial, Economic, and Debt Ratios 2/1/2010 As of After Limit 12/31/2009 Feb Payments Total annual debt service for G.O. will not exceed 35% of total budgeted expenditures. 2009 9,254,231 8,805,172 Annual GO 2010 Debt Service Payment 3,807,933 Percentage Rate 15.136% 0.000% Net Bonded debt outstanding will not exceed (3.5%) of Assessor's Market Value of taxable property Maximum debt outstanding limit 64,548,876.0 Assessor's Market Value (08/pay 09)-Final 1,844,253,600 Percentage 3.500% 1.541% 1.379% Maximum debt outstanding limit 60,859,351 Assessor's Market Value (09/pay 10) 1,738,838,600 Percentage 3.500% 1.634% 1.462% Gross bonded debt will not exceed $1,800 per capita. Outstanding debt (G.O.) 28,415,000 25,425,000 Population 2007/08 estimated 22,500 22,500 $ Value 1,262.89 1,130.00 General Fund The general fund balance at the end of 2008 resulted in a working capital fund balance of less then 27%. In 2009 expenditures were cut and departments spent conservatively throughout the year. As a result the general fund working capital fund balance increased to 33%. While this is not at the policy expectation of 40% the fund balance has improved and with conservative budgeting in 2010 the goal is to be at the 40% by 2011. In the second quarter report I will show a projected fund balance for 2010.