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Description
San Bruno City Council November 27, 2012
10f. First Quarter Financial Update Report
B
It's
time
to
talk
numbers
and
purchase
orders,
so
hopefully
everyone's
had
their
caffeine.
This
evening,
honorable
mayor
members
of
the
City
Council,
the
purpose
of
my
presentation
tonight
is
twofold.
The
first
is
to
provide
the
first
quarter
financial
update
report
for
the
2012-13
fiscal
year,
and
the
second
is
to
describe
the
action
that
is
being
requested
at
the
council
this
evening,
as
presented
in
the
resolution
before
you.
B
I
will
begin
by
going
into
the
first
quarter
financial
update
report,
starting
with
the
general
fund
due
to
the
timing
of
the
receipt
of
many
of
the
city's
revenues.
The
first
quarter
revenues
are
expected
and
have
historically
proven
to
be
around
the
fourteen
percent
benchmark
in
total
at
the
end
of
the
first
quarter.
This
is
primarily
due
to
the
receipt
of
many
of
the
major
city
revenues,
including
property
tax
and
vehicle
license
fees
coming
in
installments,
beginning
with
the
December
installment
and
then
later
in
April.
B
In
addition,
many
of
the
major
tax
and
such
as
sales
tax
and
transient
occupancy
tax
tend
to
lag
a
month,
and
so
we
have
only
received,
as
of
jun,
are
as
of
September
30th,
two
months
rather
than
three
months
of
some
of
those
revenues.
So
therefore
we're
not
near
the
twenty-five
percent
mark
and
actually
the
sixteen
percent
mark
that
we
see
at
the
bottom
line
is
slightly
above
the
historical
fourteen
percent.
That
I
mentioned
some
notable
items
in
the
general
fund
revenues
that
we've
noticed.
As
of
the
first
quarter.
B
One
thing
you
might
notice
the
sales
tax
dollar
wise
compared
to
last
year's
first
quarter
results
is
actually
down.
That
is
not
a
result.
It's
not
an
indicator
that
sales
tax
in
general
is
down.
It's
really
just
the
result
of
a
timing
difference
in
the
receipt
of
payment,
so
we
received
one
extra
payment
last
year
that
we
did
not
receive
this
year.
B
All
indications
are
that
sales
tax
is
where
we
targeted
and
where
we
budgeted
out
so
there's
nothing
to
be
concerned
about,
with
that
number
you'll
see
that
the
charges
for
services
and
use
of
money
and
property,
the
dollar
amounts
year-to-date
are
less
than
what
we
received
last
year.
This
is
prime.
These
two
categories
were
affected
by
the
loss
of
redevelopment.
B
Charges
for
services
was
the
category
where
we
used
to
have
money
coming
in
from
the
Redevelopment
Agency
to
recover
costs
of
general
administration
costs
spent
working
on
redevelopment,
so
the
budgets
were
reduced
accordingly
and
same
with
use
of
money
and
property.
We
historically
received
an
interest
payment
on
the
outstanding
City
advances
in
this
category,
which
has
been
put
on
hold
or
reduced
at
this
point
in
time.
So
that's
the
explanation
for
the
decline
in
those
two
categories.
B
Finally,
a
positive
note:
the
hotel
motel
occupancy
tax,
the
t
0
t
if
you'll
look.
This
number
only
reflects
two
months
of
the
fiscal
year,
the
455,
and
it
is
actually
twenty
percent
above
the
number
for
the
first
two
months
of
last
year.
So
last
year
totd
was
performed
very
well
and
it
appears
that
it's
not
only
just
continuing
to
perform
well,
but
actually
increasing
this
year.
B
Moving
on
to
the
expenditures,
as
you
would
anticipate
at
the
first
quarter,
expenditures
tend
to
run
around
the
twenty-five
percent
mark
at
the
bottom
line.
For
the
general
fund,
expenditures
are
at
the
twenty-three
percent
of
budget
mark,
which
is
the
same
as
where
they
were
last
year
and,
as
you
look
at
all
the
departments,
they
all
tend
to
be
in
the
twenty-five
percent
range,
with
the
exception
of
recreation,
and
that's
the
result
of
the
fact
that
much
of
recreations,
part-time
budgeted
salaries
are
spent
at
the
beginning
of
the
year
during
the
busy
summer
season.
B
B
Moving
on
to
the
enterprise
funds,
the
starting
with
the
revenue,
the
water
revenue
is
that
twenty
nine
percent
of
budget
and
I
just
like
to
point
out
that
this
number
includes
one
month
of
the
rate
increase
that
was
approved
by
City
Council
for
2012,
so
that
rate
increase
went
into
effect
in
September.
So
this
does
reflect
one
month
same
with
wastewater
as
well.
That
does
reflect
the
one
month
going
back
to
water.
For
just
a
moment.
The
revenues
tend
to
be
slightly
higher
than
twenty
five
percent
during
the
first
quarter.
B
Given
that
the
a
cover
summer
months
where
water
use
tends
to
be
higher,
and
then
it
drops
off
during
the
winter
months
in
sort
of
catches
up
to
normal
on
the
cable
side,
cable
revenues
are
at
twenty
four
percent
of
budgets,
so
trending
well
for
the
year.
However,
total
revenues
and
cable
are
six
percent
below
the
number
that
we
had
received
as
of
the
first
quarter
last
year
and
finally,
on
storm
water
not
much
to
discuss
in
the
revenue
side.
Those
are
stormwater.
B
B
Moving
on
to
internal
service
funds,
these
are
the
funds.
These
are
the
departments
that
exists
to
serve
other
City
departments,
and
they
are
funded
entirely
through
allocations
from
other
city
funds.
So
that's
why
it
looks
very
nice
and
consistent
that
twenty
five
percent
of
the
revenues
have
been
achieved
in
all
these
departments,
because
they
are
simply
transfers
from
other
funds.
In
accordance
with
the
budget.
On
the
expenditure
side,
we
have
seen
that
most
departments
are
within
the
twenty
five
percent
range.
B
C
We
look
at
those
things
fairly
carefully
and
almost
all
of
that
increase
was
a
result
of
the
claims
that
we
sustained
as
a
result
of
water
and
waste
water
overflows
as
a
result
of
our
aging
infrastructure.
That
was
the
bulk
of
it.
We
did
just
confirm
earlier
today
that
none
of
the
increase
was
due
to
any
activities
arising
out
of
the
glenview
incident,
so
none
of
those
things
affected
any
of
our
insurance
premiums.
Okay,.
A
C
B
So,
moving
on
to
the
second
portion
of
tonight's
presentation
is
a
purchase
orders.
The
city
uses
purchase,
orders
to
earmark
or
encumber
budgeted
funds
for
the
purchase
of
major
equipment
or
a
significant
dollar
amount.
Contractual
agreements
of
significant
dollar
amounts
in
the
budget.
Oftentimes
these
major
purchases
or
agreements
will
spanned
the
course
of
more
than
one
fiscal
year
and
given
since
the
operating
budgets
do
not
carry
forward
the
funds
don't
carry
forward
from
one
year
to
the
next
on
their
own.
B
A
total
of
nine
hundred
and
forty-two
thousand
dollars
of
outstanding
purchase
orders
remained
in
the
operating
budget
with
nearly
fifty
percent
of
this
amount
as
a
result
of
one
single
purchase
order,
which
is
the
outstanding
purchase
of
the
factor
that
at
the
end
of
the
fiscal
year,
the
individual
purchase
orders
were
listed
and
described
in
the
attachment
to
the
resolution
in
and
are
summarized
by
fund
and
dollar
amount.
In
this
slide,
and
with
that
I'd
be
happy
to
answer
any
questions
about
the
purchase.
Orders.