8H Consent Calendar 2017 0717 - Laserfiche WebLink

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File Number: 17-392 estimates. The current year's estimate for Franchise Fees revenue is $44,000 greater than budgeted in 2015-16. Franchise Fees increased by $82,000 or approximately 4% from the same period last year. Franchise Fees are expected to meet estimates and be slightly greater than 2015-16, but will be closely watched and reported on. The following details General Fund year over year revenue variances that are equal to or greater than + or - 10% and are presented in the order they are shown on the 3rd Quarter financial report: Property Transfer Tax (130% of adopted budget compared to 90% in 2015-16) - Property Transfer tax increased by over $1 million or 45% largely due to the sale of three industrial sites that resulted in over $989,000 in Property Transfer Tax revenue. However, because Property Transfer tax is tied directly to the sale of real property, it is difficult to predict and can vary from year to year. As such, it should not be relied on as a stable source of revenue for ongoing operations. Interest & Property Income (79% of adopted budget compared to 71% in 2015-16) - Interest and Property Income reflects an increase of $103,000 or 12%. This is primarily due to more detailed cash flow analysis prepared by City staff, which allowed for liquid assets not needed for immediate operations to be placed into accounts which bear greater return than the City’s general checking account. Nevertheless, while bearing higher returns, the investment vehicles used still conform to the City’s investment policy of safety, liquidity, and return; in that order. Thus, the City still has sufficient liquid assets to meet its ongoing operational needs. Interest and Property Income also rose due to an improved Fixed Income investment market the past 9 months as well as higher returns generated by the Local Agency Investment Fund (LAIF). Licenses & Permits (71% of adopted budget compared to 90% in 2015-16) -Licenses & Permits decreased in the third quarter of the fiscal year by $379,000 or 21%. This could be indicative of a softening construction sector, but it must also be weighed in light of tremendous growth in FY 2015-16. City staff still expects budget estimates to be met by year-end and will watch this area closely. Other/Transfer (55% of adopted budget compared to 35% in 2015-16) - Other revenue increased by $121,000 or 58% primarily due to an increase in donations received by the City, greater Police Abandoned Vehicle fees, and greater Sidewalk Repair fees. As reported in the attached 3rd Quarter Financial Report, all other taxes and revenue receipts are relatively in line with budgeted revenues. The fourth quarter report will show a closer estimate to what the year-end results will reflect. General Fund Expenditures The following details General Fund year over year expenditure variances that are equal to or greater than + or - 10% and are presented in the order they are shown on the 3rd Quarter financial report: Engineering and Transportation (76% of adopted budget compared to 77% in 2015-16) Page 3 City of San Leandro Printed on 7/11/2017 361