Quarterly Financial Report

Transcription

1 FY 2013 FINANCIAL ANALYSIS QUARTERLY FINANCIAL REPORT December 31, 2011 Quarterly Financial Report June 30, 2013

2 3rd Fiscal Quarter Report assumptions pertaining throughout the document: 3rd Quarter represents the period from April 1, 2013 to June 30, Year to Date represents the period from October 1, 2012 to June 30, Operating Funds include the General Fund, Building Fund, and Streets Construction and Maintenance Fund. The Building Fund and Streets Construction and Maintenance Fund are Special Revenue Funds. Variances between actual and expected in excess of 25% for operating revenues and expenses are explained on the major variance pages, where applicable. Revenues General Fund revenue expectation percentages are valued at 75% for the 9 months with the following exceptions based on timing of revenues received: a. The majority of property tax revenues are collected in November and December b. One month lag in collections c. Two month lag in collections d. Seasonal trend in collections Local Business License billing occurs in August of each year. Approximately 70% is collected in the year of billing and approximately 30% is collected in the 1st fiscal quarter of the year directly following the date of the billing. Residual fees come in during the year as a result of new business which are not budgeted. Expenditures QUARTERLY FINANCIAL REPORT - ASSUMPTIONS June 30, 2013 Personnel services expectations for the quarter were developed based on number of pay periods actually paid to date. A total of 19 pay periods out of 26 pay periods in a year or 73.1% have occurred up to June 30, Operating expectations for the quarter are based on a 1 month lag in invoicing and remittance to vendors. As a result 66.7% or 8 months out of 12 months have elapsed through June 30, Expectations for capital projects are not included due to many facets involved with a capital projects (i.e. Scope development, RFP process and review, design and engineering, timing delays due to permitting, etc.). A project status report is produced monthly by the City Manager's office which includes the detailed status on each project. Operating expectations for the City Commission Department (511) include the Commissioners' stipend payments which are paid prior to the start of each quarter. The final stipend payments for this fiscal year were paid in June and the expense is reflected at 100% as of June 30, The remaining cost expectations reflect a 1 month lag in invoicing or 66.7%. The expenditures for Risk Management is adjusted based on the payment structure of the various insurance policies which are renewable every October. Payment structure for the policies require large initial payments followed by the remaining amount due in installments. Significant costs for the Summer Camp program are not expected to be incurred until the 3rd and 4th quarter of each fiscal year. As a result, operating expectations for the Pelican Community Park Department (573) are adjusted for the period to 50%. Page 2

3 OPERATING FUNDS (pages 5-16) QUARTERLY FINANCIAL REPORT June 30, 2013 Actual 9/30/2013 Amended Apr 1, Fiscal Year Projected Projected / Budget Jun 30, 2013 to Date Amount Budget FUND BALANCE, BEGINNING - October 1, ,744,656-14,744,656 14,744,656 TOTAL REVENUES 32,862,940 5,313,037 26,555,485 33,970, % TOTAL EXPENDITURES (27,997,358) (5,998,987) (16,852,191) (27,540,279) 98.4% OTHER FINANCING SOURCES (USES) (7,867,170) (927,281) (5,142,051) (7,867,170) 100.0% NET CHANGE IN FUND BALANCE (3,001,588) (1,613,230) 4,561,243 (1,437,150) FUND BALANCE, ENDING 11,743,068 19,305,899 13,307,506 Projected CAPITAL PROJECTS FUNDS (page 17-19) FUND BALANCE, BEGINNING - October 1, ,553,686 19,553,686 19,553,686 TOTAL REVENUES 10,512,600 4,312,865 13,814,358 14,178, % TOTAL EXPENDITURES (30,236,695) (2,301,272) (7,756,423) (22,400,000) 74.1% OTHER FINANCING SOURCES (USES) 4,000,000-2,000,000 4,000, % NET CHANGE IN FUND BALANCE (15,724,095) 2,011,592 8,057,935 (4,221,300) FUND BALANCE, ENDING 3,829,591 27,611,621 15,332,386 LAW ENFORCEMENT TRUST FUND FUND BALANCE, BEGINNING - October 1, ,916,025 7,916,025 TOTAL REVENUES - 22,541 86,318 TOTAL EXPENDITURES - (28,007) (221,769) NET CHANGE IN FUND BALANCE - (5,466) (135,451) FUND BALANCE, ENDING 7,916,025 7,780,574 STORMWATER FUND (page 20-21) NET CURRENT ASSETS, BEGINNING - October 1, ,063,609 13,063,609 13,063,609 TOTAL REVENUES 1,037, , ,105 1,061, % TOTAL EXPENSES (743,257) (91,869) (218,244) (383,580) 51.6% OTHER FINANCING SOURCES (USES) (525,000) 815 (224,470) (525,000) 100.0% NET CHANGE IN FUND BALANCE (230,457) 187, , ,920 NET CURRENT ASSETS, ENDING 12,833,152 13,343,000 13,216,529 TOTAL FUNDS FUND BALANCE, BEGINNING - October 1, ,277,976 55,277,976 TOTAL REVENUES 44,413,340 9,927,076 41,178,265 TOTAL EXPENDITURES (58,977,309) (8,420,135) (25,048,628) OTHER FINANCING SOURCES (USES) (4,392,170) (926,465) (3,366,521) NET CHANGE IN FUND BALANCE (18,956,139) 580,475 12,763,117 FUND BALANCE, ENDING 36,321,837 68,041,093 Page 3

4 GENERAL FUND Year to Date Revenues by Source 23,431,187 Fines and Forfeitures, 1.2% Franchise Fees, 1.1% Miscellaneous, 1.2% Utility Taxes, 11.5% Property Taxes, 67.4% Licenses/Permits, 0.7% Intergovernmental, 6.1% Charges for Services, 10.3% Property Taxes Fines and Forfeitures Franchise Fees Interest & Other Earnings, 0.4% Miscellaneous Utility Taxes Licenses/Permits Intergovernmental Charges for Services Interest & Other Earnings Year to Date Expenditures by Category 19,807,900 Debt Service 15.9% Capital Outlay 1.7% Operating Transfers 11.1% Personnel Services 51.9% Operating Expenses 19.4% Personnel Services Operating Expenses Operating Transfers Debt Service Other Disbursements Contingency & Reserves Capital Outlay Page 4

5 OPERATING FUNDS MAJOR REVENUE FIVE YEAR TREND (in thousands) Oct 1, Projected OPERATING REVENUES Jun 30, 2013 FY 2013 General Fund PROPERTY TAXES 13,533 14,358 15,022 15,085 15,315 15,960 15,797 16,933 CITIZENS INDEPENDENT TRANSPORTATION TRUST FRANCHISE - ELECTRIC 1,529 1,627 1,426 1,565 1,099 1,285-1,188 FRANCHISE - REFUSE UTILITY TAX - ELECTRIC 1,513 1,721 1,864 2,063 2,108 2,147 1,446 2,300 UTILITY TAX - WATER COMMUNICATIONS TAX 886 1,076 1,088 1,125 1,143 1, ,200 BUILDING PERMITS & FEES 3,042 1,887 1,843 1,865 2, STATE REVENUE SHARING LOCAL GOVT 1/2 CENT SALES 1,114 1,154 1,073 1,103 1,208 1, ,400 FINES & FORFEITURES PARKING AGREEMENTS RENTAL PROPERTY AFTERSCHOOL PROGRAM Building Fund BUILDING PERMITS & FEES ,793 2,452 3,236 Streets Construction & Maint. Fund FY 2007 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 CITIZENS INDEPENDENT TRANSPORTATION TRUST STATE REVENUE SHARING TOTAL MAJOR REVENUES 24,438 24,805 25,745 26,723 27,820 28,057 24,462 30,724 TOTAL OPERATING REVENUES 26,726 27,419 27,982 28,412 29,321 30,696 26,555 33,970 OPERATING FUNDS REVENUE FIVE YEAR TREND (in millions) $40 $35 $30 $25 $20 $15 $10 $5 $ FY 2007 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 Projected FY 2013 Major Revenues Total Operating Revenues Page 5

6 Revenues GENERAL FUND Actual Projected 9/30/2013 Amended Apr 1, Year Actual / Expected * Diff Projected Projected / Budget Jun 30, 2013 to Date* Budget % % Amount Budget a Property Taxes 16,682,030 1,681,012 15,797, % 100.0% -5.3% 16,933, % d Franchise - Electric 1,350, % 0.0% 0.0% 1,188, % c Franchise- Gas 24,000 6,156 12, % 58.3% -11.9% 30, % b Franchise - Refuse 360,000 79, , % 66.7% 3.0% 400, % b Utility Tax - Electric 2,200, ,182 1,445, % 66.7% -1.4% 2,300, % b Communications Service Tax 1,100, , , % 66.7% -0.7% 1,200, % b Utility Tax - Water 700, , , % 66.7% 7.4% 800, % b Utility Tax - Gas 18,000 8,217 20, % 66.7% 74.0% [1] 24, % d Local Business Licenses 190,000 4,415 88, % 45.0% 3.6% 220, % Zoning Hearing/Plans Review 60,000 (4,801) 71, % 75.0% 58.9% [2] 86, % Code Enforcement 197,950 69, , % 75.0% 50.0% [3] 295, % State Revenue Sharing 284,080 69, , % 75.0% -1.9% 300, % d Alcoholic Beverage License 18,000 12,361 13, % 75.0% 0.3% 21, % b Local Govt 1/2 Cent Sales 1,357, , , % 66.7% 7.4% 1,400, % c Gas Tax Rebate 10,000 4,431 7, % 58.3% 31.5% [4] 10, % Grants 90,020 4,782 4, % 0.0% 0.0% 84, % Administrative Fees 894, , % 75.0% -33.3% [5] 894, % b Special Duty Officer 62,500 8, , % 66.7% 285.0% [6] 200, % c Fines and Forfeitures 401, , , % 58.3% 24.4% 383, % Interest & Other Earnings 200,000 33,199 93, % 75.0% -38.0% [7] 197, % Sale of Property 5,000 22,586 33, % 100.0% 561.1% [8] 25, % Other Miscellaneous Revenue 190,900 83, , % 75.0% 95.9% [9] 319, % Visitor's Center 2,960 1,294 2, % 75.0% 32.1% [10] 2, % Parking Meters/Agreements 834, , , % 75.0% 17.2% 902, % Rental Property 415,400 76, , % 75.0% -17.7% 436, % d Cultural/Special Events 23,000 7,860 27, % 75.0% 57.4% [11] 32, % Concession and Rentals 8,300 2,484 7, % 75.0% 15.9% 10, % d Afterschool Program 450,000 52, , % 75.0% -11.5% 450, % d Summer Program Fees 270, , , % 75.0% 17.8% 260, % d Athletics/Leagues Programs 130,000 36,212 83, % 75.0% -14.5% 107, % PCP Programs/Activities 60,000 17,704 63, % 75.0% 41.6% [12] 70, % Fitness Program 20,000 7,150 26, % 75.0% 73.9% [13] 33, % Other CHS/PCP Revenues 101, , % 75.0% -39.5% [14] 122, % Total Revenues 28,710,780 4,320,802 23,431,187 29,739,249 Note: Expectation percentages are valued at 75% for the 6 months with the following exceptions based on timing of revenues received: a. The majority of property tax revenues are collected in November and December c. Two month lag in collections b. One month lag in collections d. Seasonal trend in collections Page 6

7 GENERAL FUND Actual Projected 9/30/2013 Amended Apr 1, Year Actual / Expected * Diff Projected Projected / Budget Jun 30, 2013 to Date* Budget % % Amount Budget Expenditures General Government: City Commission (511) Personnel Services 153,680 41, , % 73.1% -3.2% 155, % Operating Expenses 82,800 22,727 73, % 66.7% 33.7% [15] 99, % Other Disbursements 39,000-8, % 50.0% -56.4% [15] 22, % 275,480 64, , ,458 City Manager (512) Personnel Services 449, , , % 73.1% -26.9% [16] 500, % Operating Expenses 69,217 5,601 18, % 66.7% -59.9% [16] 52, % 518, , , ,460 Finance (513) Personnel Services 543, , , % 73.1% -1.1% 513, % Operating Expenses 232,857 37, , % 66.7% -20.8% 223, % 776, , , ,579 City Attorney (514) Personnel Services 523, , , % 73.1% -0.6% 534, % Operating Expenses 103,660 16,003 34, % 66.7% -49.6% [17] 107, % 627, , , ,186 City Clerk (516) Personnel Services 222,900 60, , % 73.1% -0.7% 231, % Operating Expenses 161,080 6,638 19, % 66.7% -81.8% [18] 62, % 383,980 67, , ,264 Human Resources (518) Personnel Services 610,080 94, , % 73.1% -16.3% 691, % Operating Expenses 150,630 26,772 99, % 66.7% -1.3% 156, % Other Disbursements % 100.0% 0.0% - 0.0% 761, , , ,677 Planning and Zoning (523) Personnel Services 134,790 37,372 98, % 73.1% -0.5% 120, % Operating Expenses 19,520 4,227 8, % 66.7% -35.6% [19] 15, % 154,310 41, , ,063 Risk Management (533) Operating Expenses 788,000 30, , % 75.0% 2.8% 694, % 788,000 30, , ,382 Page 7

8 GENERAL FUND Actual Projected 9/30/2013 Amended Apr 1, Year Actual / Expected * Diff Projected Projected / Budget Jun 30, 2013 to Date* Budget % % Amount Budget Information Technology (559) Personnel Services 417, , , % 73.1% -5.7% 400, % Operating Expenses 610, , , % 66.7% -18.4% 546, % Capital Outlay 941, , , % 0.0% 0.0% 810, % 1,969, , ,945 1,757,183 Total General Government 6,254,779 1,192,356 3,542,481 5,940,252 Public Safety: Police (521) Personnel Services 6,149,230 1,798,312 4,908, % 73.1% 9.2% 7,039, % Operating Expenses 443, , , % 66.7% -5.6% 494, % Capital Outlay 86,810 6,582 11, % 0.0% 0.0% 17, % 6,679,870 1,909,164 5,199,353 7,550,521 Code Enforcement (524) Personnel Services 373, , , % 73.1% 1.3% 417, % Operating Expenses 32,860 8,306 20, % 66.7% -6.9% 39, % 406, , , ,705 Ocean Rescue (575) Personnel Services 1,589, ,771 1,031, % 73.1% -11.2% 1,598, % Operating Expenses 60,350 8,903 20, % 66.7% -47.9% [20] 76, % Capital Outlay 60,000 7,309 38, % 0.0% 0.0% 57, % 1,709, ,983 1,090,843 1,732,401 Total Public Safety 8,795,750 2,430,999 6,587,060 9,739,627 Physical Environment: Facilities Maintenance (534) Personnel Services 152,790 31,587 97, % 73.1% -12.5% 146, % Operating Expenses 758, , , % 66.7% -0.4% 800, % Capital Outlay 166,260-35, % 0.0% 0.0% 52, % 1,077, , , ,981 Fleet Maintenance (535) Personnel Services 57,580 15,699 41, % 73.1% -0.9% 78, % Operating Expenses 324,280 87, , % 66.7% 7.4% 401, % Capital Outlay 453,460 4,395 21, % 0.0% 0.0% 232, % 835, , , ,774 Construction (537) Personnel Services 164,860 49, , % 73.1% 2.6% 178, % Operating Expenses 106,569 5,360 12, % 66.7% -82.1% [21] 76, % Capital Outlay 50,000 26,040 46, % 0.0% 0.0% 69, % 321,429 80, , ,830 Page 8

9 GENERAL FUND Actual Projected 9/30/2013 Amended Apr 1, Year Actual / Expected * Diff Projected Projected / Budget Jun 30, 2013 to Date* Budget % % Amount Budget Public Works Administration (539) Personnel Services 526, , , % 73.1% -5.6% 553, % Operating Expenses 37,570 4,578 8, % 66.7% -67.0% [22] 45, % 564, , , ,754 Total Physical Environment 2,798, ,691 1,485,839 2,635,338 Culture & Recreation: Cultural & Community Services (572) Personnel Services 585, , , % 73.1% 0.2% 625, % Operating Expenses 875, , , % 66.7% -6.9% 810, % Capital Outlay 126, % 0.0% 0.0% 115, % 1,586, , ,722 1,551,160 Pelican Community Park (573) Personnel Services 914, , , % 73.1% -16.0% 833, % Operating Expenses 701, , , % 50.0% -6.4% 682, % Capital Outlay 58,750 3,887 3, % 0.0% 0.0% 55, % 1,674, , ,351 1,572,285 Athletics (576) Personnel Services 210,680 40, , % 73.1% -34.5% [23] 204, % Operating Expenses 59,450 12,531 39, % 66.7% 0.3% 56, % 270,130 53, , ,900 Parks Maintenance (577) Personnel Services 333,480 75, , % 73.1% -19.5% 329, % Operating Expenses 883, , , % 66.7% -29.1% [24] 652, % Capital Outlay 58,380 2,689 3, % 0.0% 0.0% 5, % 1,275, , , ,093 Total Culture & Recreation 4,806, ,283 2,624,135 4,372,438 Transportation: Parking (525) Personnel Services 138,220 37, , % 73.1% 0.5% 148, % Operating Expenses 457,230 38, , % 66.7% -58.0% [25] 430, % Capital Outlay 2, % 0.0% 0.0% - 0.0% 597,450 75, , ,820 Total Transportation 597,450 75, , ,820 Page 9

10 GENERAL FUND Actual Projected 9/30/2013 Amended Apr 1, Year Actual / Expected * Diff Projected Projected / Budget Jun 30, 2013 to Date* Budget % % Amount Budget Non Departmental: Contingency (900) Non Departmental 385, % 0.0% 0.0% - 0.0% 385, Total Non Departmenta 385, Expenditures 23,637,884 5,266,189 14,469,215 23,267,474 Excess (Deficiency) of Revenues over Expenditures 5,072,896 (945,386) 8,961,972 6,471,775 Other Financing Sources (Uses): Transfers & Debt Service (800) Debt Services (3,867,170) (927,281) (3,142,051) 81.2% 75.0% 8.3% (3,867,170) 100.0% Transfers Out (4,393,270) - (2,196,635) 50.0% 75.0% -33.3% [26] (4,393,270) 100.0% (8,260,440) (927,281) (5,338,686) (8,260,440) Total Other Financing Sources (Uses) (8,260,440) (927,281) (5,338,686) (8,260,440) Net Change in Fund Balance (3,187,544) (1,872,667) 3,623,287 (1,788,665) Fund Balance, 10/1/12 14,299,230 14,299,230 14,299,230 Fund Balance, Ending 11,111,686 17,922,517 12,510,565 FUND BALANCE October 1, Revenues $ 38,013, Expenditures (37,951,726) Net Increase (Decrease) $ 61,527 Fund Balance: Nonspendable $ 300,970 Committed - Hurricane/Emergency and Disaster Recovery 10,000,000 Assigned - Subsequent Year's Budget 1,025,344 $ 14,237,703 Unassigned 2,972,916 $ 14,299,230 FUND BALANCE October 1, Revenues* $ 29,739, Expenditures* (31,527,914) Net Increase (Decrease)* $ (1,788,665) Fund Balance: Nonspendable $ 300,000 Committed - Hurricane/Emergency and Disaster Recovery GENERAL FUND STATEMENT OF PROJECTED FUND BALANCE 10,000,000 Unassigned - Contingency/Fiscal Stability 2,000,000 $ 14,299,230 Unassigned 210,565 $ 12,510,565 FUND BALANCE September 30, 2013 $ 12,510,565 *Estimated at the time of the final budget document preparation. Page 10

11 GENERAL FUND MAJOR VARIANCES - REVENUES Note: Significant variances between actual and expected are explained herein. Favorable Variance - indicates revenues are greater than expected or expenses are lower than expected. Unfavorable Variance - indicates revenues are lower than expected or expenses are greater than expected. [1] Utility Taxes- Gas The favorable variance is a result of a new natural gas provider. Utility taxes are based on consumption multiplied by a base rate established in New providers who have not been in business in 1973 must pay on current rates. As such, overall consumption can go down, but utility tax revenue can increase. For reference, the 1973 rate is $.0702 per Therm compared to a current rate of approximately $.91 per Therm. [2] Zoning Hearing/Plans Review Revenue is based on staff time charged to zoning review/hearings on new construction projects. Revenues reflect staff's time billed for Chateau Beach, St Tropez, 400 Sunny Isles Beach Marina, the Jewish Community Center, Jade Signature and Beachwalk Development. To note, Beachwalk Development projected revenues were $11,800; however, actual revenues were $13,102 in billable staff time for the year. [3] Code Enforcement The favorable variance is a result of the increase in lien searches and extended hours applications. Budgeted amounts were exceeded as a result of a greater number of lien searches performed (1,158 compared to 869 budgeted for the nine months of the year) and an increase in extended hours by Regalia ($20,225), The Mansions at Acqualina ($15,900), Porsche Design Towers ($1,525), Chateau Beach ($1,350) and Bank of America ($1,075). As more high rise development construction begins, we anticipate more extended hours fee collections. [4] Gas Tax Rebate The favorable variance is a result of higher fuel usage; thereby increasing the tax paid and subsequent rebate. On average, the monthly rebates have been approximately $1,200 instead of the $800 that was budgeted. [5] Administrative Fees The 3rd quarter administrative fees allocation to charge Building and Stormwater funds for administrative support provided was not done in June An entry will be done in July 2013 to catch up the quarterly allocation. [6] Special Duty Officer The favorable variance is due to off-duty presence for new construction projects. The increase is a result of off-duty presence for new construction by Regalia ($84,672), Chateau Beach ($19,368), and The Mansions at Acqualina ($8,080) and sidewalk improvements by Tenex ($8,472). This amount will continue to increase as additional projects come on board. [7] Interest & Other Earnings Interest earnings is driven by cash balances, interest rates, and timing of interest payments (since this is cash basis reporting). Currently, the average rate of return is.85%, which is lower than the anticipated 1.5%. Based on current investments, interest will project out for the year to $190,000 which is within the budget expectations. [8] Sale of Property The favorable variance is related to the sale of surplus vehicles in November 2012 and June A total of 7 Crown Victorias and 3 Ford trucks previously utilized by the Police Department were sold for a total of $33,054 net of online auction fees. [9] Other Miscellaneous Revenue The City received $20,638 in refunded Red Light Camera litigation costs. In addition, the favorable variance is related to a total refund of $62,149 from Miami-Dade County for 2011 property taxes paid by the City for property at Collins Avenue and 2010 and 2011 property taxes paid for 215 Sunny Isles Boulevard. The City has also received donations in the amount of $25,000 from Sunny Isles Beach Associates, LLC and $15,000 from LPLA Partners and approximately $15,900 in insurance recoveries. [10] Visitor's Center The Visitor's Center favorable variance is due to recent functions, activities, and outreach promotions accompanied by the increased sales for the City's new architectural book. [11] Cultural/Special Events The Cultural and Special Events accounts reflect a greater amount of revenues than anticipated due to an increased turnout at events. The Cultural Events favorable variance is due to the advance sales for the July dinner cruise, 50% of the tickets were purchased in June totaling approximately $2,500. The Special Events favorable variance is due to higher than anticipated turnout to Boogie by the Beach, Egg Scramble and the City Anniversary events. Page 11

12 GENERAL FUND MAJOR VARIANCES - REVENUES Note: Significant variances between actual and expected are explained herein. Favorable Variance - indicates revenues are greater than expected or expenses are lower than expected. Unfavorable Variance - indicates revenues are lower than expected or expenses are greater than expected. [12] PCP Programs/Activities The budgeted amount for fiscal year 2013 represents a decrease from the prior year as a result of the projected declining interest of City sponsored community center activities; however, several new classes were added this Spring such as Piano, Video Game Design and Youth Choir. These activities experienced higher enrollment than expected thus resulting in 27% higher revenues for the quarter and 7% higher revenues year to date when compared to last year. In addition, major activities such as Karate, Gymnastics, English and Fine Art enrollments were higher and also contributed to the favorable variance. [13] Fitness Program Although the fiscal year 2013 budget was reduced compared to prior year as a result of concerns in declining membership, the City has actually experienced an increase of 107 memberships from last year. New memberships and membership renewals for the nine months ending June 30, 2013 total 408 versus 301 for the same period in [14] Other CHS/PCP Revenues The unfavorable variance is related to revenues of $75,000 for naming rights of the Pelican Community Park gymnasium. This revenue is reflected in September since payment is due by September 30, Page 12

13 GENERAL FUND MAJOR VARIANCES - EXPENDITURES Note: Significant variances between actual and expected are explained herein. Favorable Variance - indicates revenues are greater than expected or expenses are lower than expected. Unfavorable Variance - indicates revenues are lower than expected or expenses are greater than expected. City-wide Capital Outlay - [15] City Commission (511) - Operating Expenses and Other Disbursements [16] City Manager (512)- Personnel and Operating Expenses [17] City Attorney (514) - Operating Expenses [18] City Clerk (516) - Operating Expenses [19] Planning & Zoning (523) - Operating Expenses [20] Ocean Rescue (575) - Operating Expenses [21] Construction (537) - Operating Expenses [22] Public Works Administration (539) - Operating Expenses [23] Athletics (576) - Personnel Services [24] Parks Maintenance (577) - Operating Expenses Expectations for capital outlay items are not included; however, most items are expected to be ordered by the end of fiscal year 2013 with the exception of the Government Center improvements budgeted for $162,000 and the purchase of the Finance ERP system upgrade for $600,000. The Government Center improvements will be deferred and budgeted in fiscal year 2014 and the ERP system upgrade is on hold until further assessment. A project status report is produced monthly by the City Manager's office which includes the detailed status on the capital outlay items. The unfavorable variance is primarily related to the costs incurred for hosting the Sister City event in June 2013, registration and travel to the International Pow Wow conference in Las Vegas and the quarterly commission stipend payments. The 4th quarter commission stipend was paid on 6/28/13 and is reflected in the 3rd quarter. The Other Disbursements are for donations to various organizations and is expected to occur during the 4th quarter of the year. The favorable personnel variance is related to the vacancies in the City Manager's Department during the beginning of the fiscal year. The two administrative support staff were hired late into the 2nd quarter of fiscal year The majority of the decrease in expense is reflected in the minimal use of outside council / legal services. To date, only $16,359 of $80,000 budgeted has been expensed. The majority of the favorable variance is a result of budgeted costs for digitizing City records and web based services for public access to City documents (ordinances, resolutions, etc.). These projects began late into the 3rd quarter with minimal expenses to date. Additionally, all invoices from Miami-Dade County for costs related to the Presidential/Commission elections that were held in November have not been received. Lastly, costs for training, supplies, and other related expenses are minimal and depend on the timing of conferences, trainings, and the needs of the department. The favorable variance is primarily related to the costs for special supplies, travel, and education as a result of timing. These costs are expected to be incurred during 4th quarter of the fiscal year. The favorable variance in operating expenses relates to the timing of purchases for special supplies and repairs and maintenance costs for Ocean Rescue vehicles and lifeguard stands. Repairs and maintenance (R&M) costs continue to be lower than expected which is primarily attributed to the addition of new ATVs and lifeguard stations. Special supply purchases typically occur during the final quarter of the fiscal year whereas R&M costs are incurred as needed due to the breakdown or servicing of equipment. The favorable variance is due to lower than anticipated repairs and maintenance costs for public areas and accesses which are incurred as needed and do not historically occur on a consistent basis. As of June 30, 2013, the City has completed the installation of the Samson Park showers, construction of the two lifeguard towers and the renovation of the Pier Park restrooms. Sidewalk repairs for Town Center Park and curb repairs at Pier Park are scheduled to begin and be completed during the 4th quarter of the fiscal year. The favorable variance in operating expenditures is primarily related to costs for professional services, hurricane preparedness, travel and trainings. Professional services and hurricane preparedness are incurred on an as needed basis. The remaining costs for travel and trainings are expected to occur during the 4th quarter of the fiscal year. The favorable variance is a result of less temporary staff hours required to effectively operate programs and events during the Fall, Winter, and Spring seasons. The favorable variance is related to the timing of costs for uniforms, travel, and training which are expected to occur during the 4th quarter of the fiscal year. Repairs and maintenance costs which are expensed as incurred, also contribute to the favorable variance in operating expenses. In addition, landscaping and electricity are also lower than expected. Page 13

14 GENERAL FUND MAJOR VARIANCES - EXPENDITURES Note: Significant variances between actual and expected are explained herein. Favorable Variance - indicates revenues are greater than expected or expenses are lower than expected. Unfavorable Variance - indicates revenues are lower than expected or expenses are greater than expected. [25] Parking (525) - Operating Expenses [26] Transfers and Debt Services (800) - Transfers Out The significant favorable variance is related to the timing of insurance billing and property taxes on the parking lots which will be recognized at the end of the fiscal year. In addition, repairs and maintenance costs are low due to the recent addition of the new Heritage Park Garage and parking meters. The quarterly transfer out to the Streets Construction and Maintenance Fund was not done during the 3rd quarter. If necessary, a sufficient amount will be transferred out during the 4th quarter. Page 14

15 STREETS CONSTRUCTION AND MAINTENANCE FUND Projected ACTUAL 9/30/2013 Amended Apr 1, Year Actual / Expected * Diff Projected Projected / Budget Jun 30, 2013 to Date* Budget % % Amount Budget Revenues Local Option Gas Tax 216,330 52, , % 66.7% -4.5% 200, % CITT 680, , , % 58.3% 14.5% 690, % State Revenue Sharing 116,930 25,276 75, % 75.0% -13.5% 105, % Interest & Other Earnings % 75.0% 29.8% [1] % Total Revenues 1,013, , , ,500 Expenditures Streets Maintenance (541) Personnel Services 231,190 69, , % 73.1% 6.2% 245, % Operating Expenses 586,000 93, , % 66.7% -12.5% 518, % 817, , , ,320 Transportation Trust (574) Personnel Services 369, , , % 73.1% -0.9% 407, % Operating Expenses 205,930 47, , % 66.7% -4.2% 215, % Capital Outlay 156,453-11, % 0.0% 0.0% 137, % 731, , , ,665 Capital Improvements (600) 182 & 183 Collins Ave 60,864 48,570 54, % 100.0% -10.6% 0.0% 60,864 48,570 54,390 - Total Expenditures 1,609, , ,027 1,523,985 Excess (Deficiency) of Revenues over Expenditures (596,177) (85,055) (317,702) (528,485) Other Financing Sources (Uses) Transfers and Debt Service (800) Transfer In-General Fund 393, , % 75.0% -33.3% [2] 393, % Total Other Financing Sources (Uses) 393, , ,270 Net Change in Fund Balance (202,907) (85,055) (121,067) (135,215) Fund Balance, 10/1/12 204, , ,624 Fund Balance, Ending 1,717 83,557 69,409 FUND BALANCE October 1, Revenues $ 1,341, Expenditures (1,137,195) Net Increase (Decrease) $ 204,624 Fund Balance: Nonspendable $ 1,717 Restricted 202,907 $ 204, Revenues* $ 1,388, Expenditures* (1,523,985) Net Increase (Decrease)* $ (135,215) Fund Balance: STREETS CONSTRUCTION AND MAINTENANCE FUND STATEMENT OF PROJECTED FUND BALANCE FUND BALANCE October 1, 2012 Nonspendable $ - $ $ - 204,624 Restricted 69,409 $ 69,409 FUND BALANCE September 30, 2013 $ 69,409 *Estimated at the time of the final budget document preparation. Page 15

16 STREETS CONSTRUCTION AND MAINTENANCE FUND MAJOR VARIANCES Note: Significant variances between actual and expected are explained herein. Favorable Variance - indicates revenues are greater than expected or expenses are lower than expected. Unfavorable Variance - indicates revenues are lower than expected or expenses are greater than expected. [1] Revenues Interest & Other Earnings As a result of timing between revenue receipts and costs incurred, in addition to the quarterly transfers of residual equity, the Streets Construction and Maintenance Fund has been able to maintain a greater cash balance for the period resulting in higher interest earnings allocable to the Fund. Expenditures [2] Transfers and Debt Services (800) - Transfer In-General Fund The quarterly transfer in from the General Fund was not done during the 3rd quarter. If necessary, a sufficient amount to cover expenses will be transferred in during the 4th quarter. Page 16

17 BUILDING FUND Revenues Projected Actual 9/30/2013 Amended Apr 1, Year Actual / Expected * Diff Projected Projected / Budget Jun 30, 2013 to Date* Budget % % Amount Budget Building Permits & Fees 3,136, ,786 2,451, % 75.0% 4.2% 3,234, % Interest & Other Earnings 1,500 2,233 4, % 75.0% 275.4% [1] 1, % Total Revenues 3,138, ,019 2,455,973 3,235,550 Expenditures Personnel Services 1,432, , , % 73.1% -12.1% 1,432, % Operating Expenses 330,780 19,913 50, % 66.7% -77.2% [2] 340, % Administrative Chargeback 836, , % 75.0% -33.3% [3] 836, % Capital Outlay 150,067 8,390 8, % 0.0% 0.0% 139, % Total Expenditures 2,749, ,527 1,396,950 2,748,820 Excess (Deficiency) of Revenues over Expenditures 388, ,492 1,059, ,730 Fund Balance, 10/1/12 240, , ,802 Fund Balance, Ending 629,665 1,299, ,532 FUND BALANCE October 1, Revenues $ 1,796, Expenditures (1,555,803) Net Increase (Decrease) $ 240,802 Fund Balance: Nonspendable $ - Restricted 240,802 $ 240,802 FUND BALANCE October 1, Revenues* $ 3,235, Expenditures* (2,748,820) Net Increase (Decrease)* $ 486,730 Fund Balance: Nonspendable $ - $ $ - 240,802 Restricted 727,532 $ 727,532 FUND BALANCE September 30, 2013 $ 727,532 *Estimated at the time of the final budget document preparation. BUILDING FUND STATEMENT OF PROJECTED FUND BALANCE Page 17

18 BUILDING FUND - MAJOR VARIANCES Note: Significant variances between actual and expected are explained herein. Favorable Variance - indicates revenues are greater than expected or expenses are lower than expected. Unfavorable Variance - indicates revenues are lower than expected or expenses are greater than expected. Revenues [1] Interest & Other Earnings The favorable variance is a result of a greater cash balance maintained for the nine months ending June 30, 2013 due to the timing between revenues and expenses incurred. Expenditures [2] Building (515) - Operating [3] Building (515) - Administrative Chargeback The favorable variance is primarily related to the timing of the implementation for digitizing all historic building records/plans. The digitization work commenced during the 3rd quarter. The remaining favorable variance is a result of timing of other operating expenses such as fuel, special supplies, printing and training. This timing is based on the needs of the department and is not typically incurred consistently throughout the year. The 3rd quarter administrative fees allocation from the General fund to the Building fund for administrative support provided was not done in June An entry will be done in July 2013 to catch up the quarterly allocation. Page 18

19 CAPITAL PROJECTS FUNDS Amended Apr 1, Year Jul 1, Year Actual / Budget Jun 30, 2013 to Date* Sep 30, 2012 to Date* Budget Revenues Federal Grants FDEP - LWCF Grant 200, % [1] Donations 1,400, ,000 1,400, % [2] Interest & Other Earnings 524, , , % [3] Impact Fees 560, ,549 1,030, % [4] Transfer Development Rights/Bonus 7,828,000 3,350,912 11,121, % [5] Total Revenues 10,512,600 4,312,865 13,814, Actual Actual Expenditures Capital Improvements Public Works Compound 224,995 13, , % [6] PCP Improvements 960, , , % [7] Senator Gwen Margolis Park Upgrades 1,065,000 6,374 6, % [7] Collins Ave Street Improvements 253,799 2, , % [8] Golden Shores Park 31,493 (0) (0) % Sunny Isles Blvd Street Improvements 16, % Emergency Bridge 1,276,747 69, , % [9] FP&L Undergrounding 417,483 16,155 35, % [10] Bella Vista Bay Park 443,825 (10,344) 12, % [11] Heritage Park and Garage 757,628 (7,092) 1, % [12] Newport Pier 2,878,220 1,305,201 2,351, % [13] Town Center Park 348, % [14] Beach Access Widening 270, % [15] Intracoastal Park ,549 14,760 84, % [16] Intracoastal Park ,613 2,260 72, % [16] Intracoastal Park ,453 8,623 23, % [16] Intracoastal Park ,291 2,260 2, % [16] Intracoastal Park - Arlen House 500,000 28,856 28, % [17] Gateway Park 16,164,600 59, , % [18] School Expansion 3,600, ,000 3,600, % [19] Total Expenditures 30,236,695 2,301,272 7,756, Excess (Deficiency) of Revenues over Expenditu (19,724,095) 2,011,592 6,057, Other Financing Sources (Uses) Transfers & Debt Service (800) Transfer In from General Fund 4,000,000-2,000, % [20] Total Other Financing Sources (Uses) 4,000,000-2,000, Net Change in Fund Balance (15,724,095) 2,011,592 8,057, Fund Balance, 10/1/12 19,553,686 19,553,686 Fund Balance, Ending 3,829,591 27,611,621 Page 19

20 CAPITAL PROJECTS FUNDS MAJOR VARIANCES Note: Variances between budget and actual are explained herein. Favorable Variance - indicates revenues are greater than budget or expenses are lower than budget. Unfavorable Variance - indicates revenues are lower than budget or expenses are greater than budget. [1] Revenues Federal Grants The budgeted federal grants total of $200,000 is specific to the Bella Vista Bay Park project. See Bella Vista Bay Park expenditure variance explanation for a status update. Grant funds are eligible for reimbursement upon completion of project. [2] Donations [3] Interest & Other Earnings [4] Impact fees [5] Transfer Development Rights/Bonus The $1 million contribution, which was contingent on expenditures incurred for the project, was received and recorded in January The remaining $400,000 due from Chateau Beach was received and recorded in April The unfavorable variance is a result of the early payoff of the TDR bonus payment by The Mansions of Acqualina in February This was originally budgeted to produce $335,000 annually in interest revenues, but only $88,000 was collected. However, since additional cash has been collected, the funds have been invested and earning interest. Fees are collected based on the timing of when new construction developers pull the associated permits. Collection is based on conditions set forth in the zoning resolutions for each development project. To date, 10% deposits have been collected for the development of St. Tropez, Unique, and Jade Signature. Approximately $6.7 million received during the 2nd quarter represents TDR bonuses received for the development of The Mansions of Acqualina and $3.3 million received during the 3rd quarter represents TDR bonuses for the development of Chateau Beach. Expenditures [6] Public Works Compound [7] Pelican Community Park and Senator Gwen Margolis Park Upgrades [8] Collins Avenue Street Improvements [9] Emergency Bridge [10] FP&L Undergrounding [11] Bella Vista Bay Park [12] Heritage Park and Garage [13] Newport Pier [14] Town Center Park The facility became operational and housing staff in early March 2013, but is awaiting C. O. for final completion. Due to timing of when invoices are received, minimal expenses will be reflected in the 4th quarter of fiscal year Installation of the artificial turf at Senator Gwen Margolis Park and Pelican Community Park has been completed. Permits for additional area lighting have been submitted and the project is expected to be completed in October The streetscape project is complete. The Emergency Bridge design and permitting is expected to be completed in late 2013 closely followed by the advertisement for construction bids. Design and engineering services are currently underway including a review of the persistent street lighting problems experienced corridor-wide. This project will be implemented in advance of the upcoming project for resurfacing of Collins Avenue. The City is also requesting decorative street lights. The project is currently under evaluation and consideration of future improvements for water based activities. The contract with the original design consultant and project contractor has been terminated by the City. Design is nearly complete for the concrete wall project between the Lehman property and the Oceanview/Ocean Reserve property. Advertisement for bids for the project is expected to occur in September The construction of the Pier and the shell of the restaurant building is complete. A temporary C.O. has been received and the processing for the final completion is underway. The play surface at Town Center Park is proposed to be replaced with artificial turf. The City is currently negotiating a Change Order for implementing this work with the contractor who installed the artificial turf at other City parks. Page 20

21 CAPITAL PROJECTS FUNDS MAJOR VARIANCES Note: Variances between budget and actual are explained herein. Favorable Variance - indicates revenues are greater than budget or expenses are lower than budget. Unfavorable Variance - indicates revenues are lower than budget or expenses are greater than budget. [15] Beach Access Widening [16] Intracoastal Park [17] Intracoastal Park - Arlen House [18] Gateway Park [19] School Expansion [20] Transfers and Debt Services (800) - Transfer In-General Fund The City's staff has identified and prioritized beach access sites in need of improvement for emergency access. The existing access at 158th Street was identified as the highest priority project. The remaining points of entry in need of improvement are being evaluated to determine if the work can be performed by the City. Construction drawing services have been contracted with 30% drawings of park plans due in early-may The construction of the project is expected to be advertised by Fall Construction drawing services have been contracted with 60% drawings of project plans due in April The construction of the project is expected to be advertised by Fall Currently, the City incurred approximately $1.4 million in planning and design costs for the project. As a result of scope changes, the City negotiated a contract price with 4M Investors, LLC to not-to-exceed $18.7 million for design and construction. The City is currently processing an RFQ (request for qualifications) for the design build contract for a pedestrian bridge or surface crossing. The City entered into an Interlocal Agreement with the School Board of Miami-Dade County to contribute $2 million and finance $2 million towards the Norman S. Edelcup Sunny Isles Beach K-8 school expansion. Per the payment agreement, the City has funded the full $4 million, $400,000 during fiscal year 2012 and $3.6 million during fiscal year The quarterly transfer in from the General Fund was not done during the 3rd quarter. If necessary, a sufficient amount to cover expenses will be transferred during the 4th quarter. Page 21

22 STORMWATER FUND STORMWATER FUNDS Actual 9/30/2013 Amended Apr 1, Year Actual / Expected * Diff Projected Projected / Budget Jun 30, 2013 to Date* Budget % % Amount Budget Revenues Charges for Services 950, , , % 66.7% 3.7% 980, % New Local Option Gas Tax 79,300 20,278 53, % 66.7% 0.7% 75, % Interest & Other Earnings 8,500 10,043 12, % 75.0% 89.2% [1] 6, % Total Revenues 1,037, , ,105 1,061,500 Expenses Personnel 133,740 35,328 90, % 73.1% -7.3% 138, % Operating 194,340 53,124 89, % 66.7% -30.7% [2] 177, % Administrative Chargeback 58,000-29, % 75.0% -33.3% [3] 58, % Capital Outlay Bella Vista Bay Park 161,280-3, % 0.0% 0.0% [4] 3, % North Bay Drainage 3, % 0.0% 0.0% 0.0% 174th Street Drainage 192,376 3,417 5, % 0.0% 0.0% [5] 5, % Total Expenses 743,257 91, , ,580 Excess (Deficiency) of Revenues over Expenses 294, , , ,920 Other Financing Sources (Uses) Transfers & Debt Service (800) Debt Services (525,000) 815 (224,470) 42.8% 75.0% -43.0% [6] (525,000) 100.0% Total Other Financing Sources (Uses) (525,000) 815 (224,470) (525,000) Net Change in Fund Balance (230,457) 187, , ,920 Net Current Assets, 10/1/12 13,063,609 13,063,609 13,063,609 Net Current Assets, Ending 12,833,152 13,343,000 13,216,529 Projected NET ASSETS October 1, Revenues $ 970, Expenditures (427,084) Net Increase (Decrease) $ 543,497 Net Assets: Investment in capital assets, net of related debt $ 12,440,789 $ 12,795,607 Unrestricted 622,820 $ 13,063,609 NET ASSETS October 1, Revenues* $ 1,061, Expenditures* (908,580) Net Increase (Decrease)* $ 152,920 Net Assets: Investment in capital assets, net of related debt $ 12,449,709 $ 13,063,609 Unrestricted 766,820 $ 13,216,529 NET ASSETS September 30, 2013 $ 13,216,529 *Estimated at the time of the final budget document preparation. STORMWATER FUNDS STATEMENT OF PROJECTED FUND BALANCE Page 22

23 STORMWATER FUNDS Note: Significant variances between actual and expected are explained herein. Favorable Variance - indicates revenues are greater than expected or expenses are lower than expected. Unfavorable Variance - indicates revenues are lower than expected or expenses are greater than expected. Revenues [1] Interest and Other Earnings The favorable variance is due to a $9,679 refund from the City of N. Miami Beach after conducting a meter audit on the meters for the street sweepers. Previous amounts were based upon estimated meter readings. This amount should be reflected in the Stormwater expense account for water instead of miscellaneous revenue which is where the previous amounts were charged. This will be reclassed in July Expenses [2] Stormwater (538) - Operating Expenses [3] Administrative chargeback [4] Bella Vista Bay Park [5] 174th Street Drainage [6] Transfers and Debt Services (800) - Debt Services The favorable variance is primarily attributable to the minimal costs incurred to date for administrative consulting and stormwater compliance. The remaining favorable variance is attributed to unspent costs for printing, office supplies, special supplies, travel and training which generally occur in the final quarter of the fiscal year. The 3rd quarter administrative fees allocation from the General fund to the Stormwater fund for administrative support provided was not done in June An entry will be done in July 2013 to catch up the quarterly allocation. The project is currently under evaluation and consideration of future improvements for water based activities. The contract with the original design consultant and project contractor has been terminated by the City. The City has completed a field investigation by the Engineer of Record. As a result of the severe drainage issues and deterioration of the road, the staff has recommended additional funding and total will be budgeted in FY 13/14 to include both drainage and street reconstruction components. The new outfall is going to be at North Bay Road. The favorable variance is a result of the timing of when principal and interest payments are due. Page 23

24 GRANT PROGRAMS Grantor Description Status Period Covered Grant Amount Amount Awarded Received to Date Prior Years Expenditures Current Expenditures Total Expenditures FDEP - Land and Water Conservation Fund Intracoastal Park Awarded FY 2012/ FY 2013/ , , FDEP - Land and Water Conservation Fund Bella Vista Bay Park Awarded March 18, March 16, , , ,290 12, ,276 FDEP Florida Recreation Development Assistance Program FDEP Florida Recreation Development Assistance Program Florida House Subcommittee on Agriculture and Natural Resources Gateway Park Gwen Margolis Park FL Legislature changed funding parameters; projects no longer qualify FY 2013/ , FL Legislature changed funding parameters; projects no longer qualify FY 2013/ , th Street Drainage Improvements Not Funded FY 2013/ , Florida House Subcommittee on Agriculture and Natural Resources Gateway Park Development Drainage Improvements Not Funded FY 2013/ , Florida Division of Cultural Affairs - Cultural Facilities Grant Gateway Park - Performance Stage Application Submitted FY 2013/ , FDOT Transportation Alternatives Program Gateway Park - Pedestrian Bridge Application Submitted FY 2013/2014 1,000, US Department of Justice - Office of Community Oriented Policing Services (COPS) COPS Technology Grant Awarded December 16, December 15, 2012 (extended through December 15, 2013) 200, , , , ,191 Totals 2,914, , , ,481 12, ,467 Note: FDEP Land and Water Conservation grant for Bella Vista Bay Park is a 50/50 matching grant. As a result, total expenses incurred must be $400,000 in order to claim the $200,000 of the awarded grant monies. Page 24