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BACKGROUND
<br /> Annually staff presents the year-end financial report (Report)to Council for approval. The
<br /> Report summarizes the actual results of the financial activities for the fiscal year and
<br /> details changes in reserves and recommended budget amendments or adjustments. The
<br /> City's Comprehensive Annual Financial Report (CAFR) is still in progress; therefore, the
<br /> financial information included in this Report is based on unaudited figures. The audited
<br /> information will be presented to City Council in the CAFR once the City's independent
<br /> auditor has issued its opinion and the CAFR has been reviewed by the Audit Committee.
<br /> All of this is expected to occur in January 2016. Any changes to the information presented
<br /> in this Report as a result of the audit will be brought to Council's attention at the time the
<br /> audit is presented to Council for acceptance in January.
<br /> DISCUSSION
<br /> General Fund
<br /> As shown in Table 1, in FY 2014/15 actual revenues received were greater than the
<br /> Amended Budget by $3,740,190 or 3.7%. The Amended Budget is the original budget
<br /> plus all budget amendments approved by Council through June 30, 2015. Transfers
<br /> In/Out (net transfers) were less than the Amended Budget by $18,532 and Expenditures
<br /> were $1,949,707 or 2% less than the Amended Budget. Overall, inflows of cash
<br /> exceeded outflows of cash by $5,708,429. A detailed explanation of these variances is
<br /> included in Tables 2, 3, 4 and 5 in this Report.
<br /> Table 1. General Fund Amended Budget to Actual Revenues, Expenditures &Transfers
<br /> Amended
<br /> General Fund Budget Actual $Variance Variance
<br /> Beginning Fund Balance $15,041,582 $15,041,582 $0 0.0%
<br /> Plus Revenues 100,377,294 104,117,484 3,740,190 3.7%
<br /> Transfers In/(Out) (3,985,330) (3,966,798) 18,532 -0.5%
<br /> Less Expenditures (96,565,965) (94,616,258) 1,949,707 -2.0%
<br /> Ending Fund Balance $14,867,581 $20,576,010 $5,708,429
<br /> Of the $5,708,429 surplus, the FY 2015/16 budget allocated $1.2 million to future CIP
<br /> reserves. Since these funds have already been allocated, staff is recommending that they
<br /> be classified as Committed within the General Fund reserves. Of the remaining
<br /> $4,508,429 in uncommitted General Fund surplusl, staff is recommending the following
<br /> allocations:
<br /> 10% Reserve for Economic Uncertainties $374,000
<br /> Unassigned Fund Balance 2,426,211
<br /> Repair & Replacement Fund Reserves 500,000
<br /> CIP Reserves 1,208,218
<br /> Total FY 2014/15 Uncommitted Surplus $4,508,429
<br /> ' The$500,000 and$1,208,218 proposed allocations to Repair and Replacement and CIP Reserves will,if approved,
<br /> be part of the Committed Fund Balance Reserve Designation described on Table 5 and in the attached Resolution.
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