Background:
The Finance Department submits reports to Council on a quarterly basis to
provide assurance of budget compliance and for informational and comparative
purposes throughout the year. Information can be provided in differing formats
and timetables at Council's request.
Unaudited, detailed balance sheets, revenues and expenditure reports are
available for your review in the Finance Department office should you require
any additional information.
The reports are intended to present information in formats consistent with
the department, fund and business activity presentations included in the
adopted FY 2004-05 budget document and the manner in which it will be shown
in the end of year report.
Financial numbers for the first quarter are always difficult to present and
subject to change as the Finance Department is busy completing the prior
year audit and report. Additionally, with only 3 months to report on, it
becomes difficult to evaluate our current financial position as compared
to budget or to project our position at year end. The first quarter numbers
can be confusing due to the receipt or payment of annualized amounts and
seasonal activities like construction or utility consumption. Staff cannot
adjust these reports for all such deviations.
A pervasive issue is the health care premium for FY 2003-04 coming in at
a 24% increase rather than 20% as budgeted. This will result in total Personal
Services costing an additional 0.5% this year. We will watch this closely,
looking for savings in vacant positions or other line items coming in under
budget as an offset. |
