Finance Highlights 2010 0921 - Laserfiche WebLink

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• As shown in Column 3, staff estimated that the General Fund would end the year (2009 -10) with approximately 53.8 million in the Ending Designated Fund Balance. This balance was then used in the budget process for 2010 -11. A concern, of course, has been that revenues would deteriorate further and the General Fund would not meet this critical target. Referring to Column 4, shows that staff is now estimating that the Ending Designated Fund Balance will be approximately 54.5 million. This represents a positive variance over staff's. previous estimate and provides some financial cushion for 2010-11. Several revenue categories contribute to this positive variance. The single largest positive variance is in Sales Tax revenue. It is staff's hope that this key revenue has "hit bottom" and that — 2010: 1 - I - will norsee further - deterioration -as the - over thrIssrt«a years. Other revenues show more modest positive variances, but nonetheless staff believes that a floor has been reached for General Fund revenues overall. A final and important observation to be made concerns the revenue budget for 2010 -11 compared with actuals for 2009 -2010. A look at Column 4 shows that total revenues for 2009- 10 total approximately 568.1 million. Total revenues for 2010-11, as shown in Column 5, total about $66.5 million, a decrease of 51.6 million. The single largest variance is in Property Tax, which is estimated to be down by $800,000. Several other revenue categories are budgeted at or under actuals for 2009 -2010. The result, staff believes, is a revenue budget that is conservatively estimated and should not require significant adjustments during the year. Staff will be available to answer any additional questions the Finance Committee may have regarding Schedule A.