HomeMy WebLinkAbout02/24/2009, B1 - 2008-09 MID-YEAR BUDGET REVIEW counat M°�°q°
2-24-09
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CITY OF SAN LUIS OBISPO
FROM: Ken Hampian, City Administrative Officer
Bill Statler, Director of Finance & Information Technology
Debbie Malicoat,Finance Manager
SUBJECT: 2008-09 MID-YEAR BUDGET REVIEW
CAO RECOMMENDATION
1. Review and discuss the City's financial condition and status of City goals at the mid-point of
2008-09.
2. Approve revenue and expenditure changes presented in the accompanying Mid-Year Budget
Review document.
DISCUSSION
The accompanying Mid-Year Budget Review for 2008-09 provides a comprehensive overview of
the City's fiscal condition at the mid-point of the fiscal year. The Transmittal Memorandum
(starting on page A-1) sets forth a concise summary of key General Fund revenue and expenditure
trends since adoption of the 2008-09 Financial Plan Supplement in June 2008. The report also
includes supporting documentation for the recommended mid-year budget appropriations and
provides a comprehensive report on the status of major City goals, capital improvement plan (CIP)
projects and other important objectives.
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 quarterly financial reports are distributed to the Council and staff on an ongoing
basis. Additionally, we issue focused reports to the Council and staff on key revenues such as sales
tax, transient occupancy tax and investments,as well as ad hoc reports as needed.
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:
1. Updating beginning fund balance projections based on actual results for the prior fiscal year.
2. Analyzing revenue trends since adoption of the Financial Plan, and revising revenues and
ending fund balance projections accordingly.
3. Identifying and presenting any fiscal problem areas to the Council, and recommending
corrective action or additional funding if required.
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2008-09 Mid-Year Budget Review Page 2
4. Presenting the status of major City goals, CIP projects and other important objectives.
Report Organization
The accompanying Mid-Year Budget Review is organized into five main sections:
Section A: Transmittal Memorandum, which provides a concise review and analysis of the
City's financial position and summarizes requested mid-year budget adjustments.
Section B: Comprehensive presentations of projected revenues, expenditures and changes in
fund balance/working capital for each of the City's funds for 2008-09 compared
with original budget estimates and actual results from 2007-08..
Section C. Detailed supporting documentation for the requested mid-year budget adjustments.
Section D: Recent financial and revenue reports: Quarterly Financial Newsletter, Sales Tax
Newsletter and Monthly TOT Report.
Section E: Status reports on major City goals, other important objectives and major CIP
projects. This includes recommended "Action Plan" revisions as discussed in the
report.
ENCLOSURE
Mid-Year Budget Review for 2008-09
G:Budget Folders/Mid-Year Budget Reviews/Mid-Year Budget Review,2008-09/Council Agenda Report
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