HomeMy WebLinkAbout02/25/1999, 2 - MID-YEAR BUDGET REVIEW FOR 1998-99 Council Agenda Report--Mid-Year Budget Review
Page 2
In short, we will enter the 1999-01 Financial Plan period in a relatively strong fiscal condition.
This will help in offsetting the projected "budget gap" in the five year fiscal forecast if we want to
achieve more than a very minimal,"maintenance"capital improvement plan.
Where to From Here? At this point,we have only proposed mid-year budget requests that need to
be approved now in order to meet timing requirements, or adequately fund current programs and
projects through the end of the fiscal year. Given the challenges facing us in preparing a balanced
budget for 1999-01, we believe any program or project enhancements should be considered in the
context of the 1999-01 Financial Plan process.
Background—Purpose of the Mid-Year Budget Review
The City's two-year Financial Plan provides for the submittal of a report on our financial status to
the Council every six months. For fiscal monitoring purposes, on-line access to up-to-date
information is available to all departments, financial reports are issued monthly to key staff
members, and comprehensive quarterly financial reports are distributed to the Council and
Department Heads on an ongoing basis. However, the formal submittal of a review at the mid-
point of the fiscal year provides an opportunity to take a broader look at the City's financial picture,
including-
0
ncluding■ Comparing revised revenue and expenditure projections with those originally made in the
1998-99 Financial Plan Supplement.
■ Identifying and presenting any fiscal problem areas to the Council, and recommending
corrective action or additional funding if required.
Report Organization
Introducing the accompanying mid-year budget review is an Executive Summary that highlights key
mid-year budget issues and trends, and summarizes the General Fund's projected financial
condition at the end of 1998-99 compared with original projections in the 1998-99 Financial Plan
Supplement. This Executive Summary is followed by the transmittal memorandum providing a
comprehensive review and analysis of the City's financial position, and summarizing the need for
the requested mid-year budget adjustments. The report also includes:
■ Comprehensive presentations of projected revenues, expenditures and changes in fund
balance/working capital for each of the City's funds for 1998-99 compared with original
budget estimates and actual results from 1997-98.
■ Detailed supporting documentation for the requested mid-year budget adjustments.
ENCLOSURE
Mid-Year Budget Review for 1998-99
(A copy is available for public review in the City Clerk's office)
G:Budget Folders/Mid-Year 98/Council Agenda Report 2-2