TITLE
Recommendation to receive and file the Second Budget Performance Report for Fiscal Year 2016. (Citywide)
DISCUSSION
This report includes information on the City’s Fiscal Year 2016 (FY 16) budget performance through May 31, 2016, for all funds.
Summary
As of May 31, 2016, no significant concerns have been identified with any City fund, and any funds that are showing year-end estimates that exceed budgeted appropriations will be resolved with planned budget adjustments that will be presented to the City Council later in FY 16. The General Fund is also on track to end the year with a surplus of $1.1 million, 5 percent of which will be set aside per City Council policy for unfunded liabilities. The balance of the report summarizes the General Fund performance and provides additional details on the status of other funds.
General Fund and Uplands Oil Fund Overview
Based on current estimates as of May 31, 2016, it is anticipated that the General Fund and Uplands Oil Fund will end FY 16 with an ending funds available of approximately $1.1 million and $0.1 million, respectively. The year-end funds available are more than estimated in the March 8, 2016 Financial Outlook as there has been positive growth in select revenues and a mid-year savings target implemented by the City Manager to reduce expenditures. The FY 17 Proposed Budget does not include using this $1.1 million surplus. It is recommended that at least $500,000 be set aside for the unfunded liabilities at year-end and to provide minimum funds available going into FY 17. In addition, the City Manager proposes using the first $500,000 of additional General Fund year-end surplus from FY 16 (above the $1.1 million) for the Belmont Beach and Aquatics Center (BBAC) as a contingent appropriation. This will be determined and calculated at year end FY 16. The estimated FY 16 sources and uses are summarized in the table below and described in further detail in the subsequent sections.
General Fund...
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