HomeMy WebLinkAbout1998-09-15; City Council; 14851; Financial Results Fiscal Year Ended June 30, 1998AB# 1% 85/
MTG . 9/l 5/98
DEPT. FIN
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CITY OF CARLSBAD -AGENDA BILL I
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TITLE:
FINANCIAL RESULTS FOR THE IO--
FISCAL YEAR ENDED CITY ATTY.pLi
JUNE 30,1998 CITY MGm
RECOMMENDED ACTIONS:
1. Accept the Financial Status Report for the fiscal year ended June 30,1998.
2. Approve Resolution No. % ;? I D approving the appropriation of funds from the 1997-98
Fleet Maintenance fund balance, and approving adjustments to be made to the final Operating
Budget for 1998-99.
ITEM EXPLANATION:
The financial results for the General fund, the Carlsbad Municipal Water District, the Sewer
Enterprise fund, and the Redevelopment Agency are presented in the attached report for the fiscal
year ended June 30, 1998 (Exhibit 2).
The 1997-98 fiscal year books are closed and the audit is under way for the Comprehensive
Annual Financial Report (CAFR) statements. Although the financial statements are subject to
audit adjustments, they are not expected to vary materially from the numbers presented here.
The General fund ended the year with an available balance of $30.3 million, which is $1.9 million greater than expected. The increase was due to higher than anticipated revenues. Revenues
totaled $55.9 million which was $2.9 million higher than projected. The increase in revenue is
primarily attributable to the strong local economy, with the most noticeable improvement in
property, sales and transient occupancy taxes. The graph below shows the effect of the stronger
local economy on General fund revenues during the past two years.
Historical General Fund Revenue
60 T 1
,o .._~......-______--.____________________----~..~~----
0 ’
88- 89- go- 91- 92- 93- 94- 95- 96- 97-
89 90 91 92 93 94 95 96 97 98
Fiscal Year
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PAGE TWO OF AGENDA BILL NO. ‘7 8 51
Expenditures, on a budgetary basis, were $46.4 million which was $165,000 more than expected,
although they were $2.2 million below budget.
The Water Enterprise had an operating income of $1.7 million for the year, which was $182,000
higher than planned. Due to the unusually wet winter, the largest source of revenue and expense,
water sales and purchased water, were down from the previous fiscal year, as well as under
budget.
Sewer Operations had an annual operating income of $2.2 million for the fiscal year. The increase
in the Sewer fund income is attributable to an increase in revenue and a decrease in expenditures. During fiscal year 1997-98, the number of sewer connections increased resulting in an increase in
revenues. Expenses were lower than the previous fiscal year due to the Encina Wastewater
Authority’s decision to forego the third quarter billing based on the fact that actual expenses were
less than member balances.
Revenues to the Redevelopment Agency total $1.4 million for the year ended June 30, 1998,
which is $43,000 more than the prior year. The Agency’s primary source of revenues are property taxes which were $66,000 higher than the previous year. Expenditures for the Agency were below
budget by $163,000 due in large to a reduction in outside professional service expenses.
Additional information regarding the financial results for all of these funds is available in the
attached report (Exhibit 2).
Fleet Maintenance Adiustment
As of the end of June, the Fleet Maintenance fund incurred expenditures in excess of the budget.
The Fleet Maintenance fund spent $26,700 more than budgeted in fiscal year 1997-98, primarily in
vehicle maintenance and parts expenditures. The volume of repair and maintenance work
performed on City-owned vehicles was higher than the amount budgeted. Inter-department rates
are determined annually, and charged back to departments based on a per mile/hour charge by
class of vehicle. Actual maintenance and repair work completed during the year by Fleet
Maintenance exceeded the amount charged back to departments based upon this predetermined
rate. It is requested that Council authorize an appropriation of $26,700 from the 1997-98 Fleet
Maintenance fund balance, to cover this deficit.
Revisions to the 1998-99 Operatinq Budqet
The following changes are requested to correct the 1998-99 Operating Budget adopted by the City
Council under Resolution 98-l 91. The following items were mistakenly excluded from the list of
continuing appropriations: $1,257 for the Adult Learning Program multi-year scholarships, and
$16,754 for the remaining balance in the Art State Grant fund. In addition, due to an input error,
the Recreation Operations budget was understated by $88,147. Therefore, an $88,147 increase in appropriations is being requested for the Recreation Operation’s 1998-99 budget.
FISCAL IMPACT:
A budget appropriation of $27,600 from the 1997-98 Fleet Maintenance fund balance will be required for expenditures in excess of the budget for fiscal year 1997-98.
.
PAGE THREE OF AGENDA BILL NO.
The 1998-99 Operating Budget for the General Fund will increase by $88,147 due to an increase
in appropriations required for Recreation Operations. In addition, appropriations in the amount of
$1,257 for the Adult Learning Program multi-year scholarships, and $16,754 for the remaining
balance in the Art State Grant fund, will be carried forward into the 1998-99 fiscal year.
EXHIBITS:
1. Resolution No. 9 8 -3 / 0 approving the appropriation of funds from the 1997-98 Fleet
Maintenance fund balance, and approving adjustments to be made to the final Operating
Budget for 1998-99.
2. Financial Status Report for the Fiscal Year Ended June 30, 1998.
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RESOLUTION NO. 98-310
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF CARLSBAD, CALIFORNIA, APPROPRIATING
FUNDS FROM THE 1997-98 FLEET MAINTENANCE
FUND BALANCE, AND APPROVING ADJUSTMENTS
TO BE MADE TO THE FINAL OPERATING BUDGET
FOR 1998-99
WHEREAS, the financial results for the year ended June 30, 1998 indicate
expenditures in excess of budget for the Fleet Maintenance fund; and
WHEREAS, the Fleet Replacement fund has a sufficient budget surplus to
appropriate funds to Fleet Maintenance; and
WHEREAS, the 1998-99 budget resolution number 98-191 adopted continuing
appropriations in the approximate amount of $1,350,476; and
WHEREAS, grant fund expenditures are restricted by law for specific purposes;
and
WHEREAS, the 1998-99 budget resolution number 98-l 91 adopted a Recreation
Operations budget for expenditures of $528,321; and
WHEREAS, an error occurred during the input of the Recreation Operations
budget for fiscal year 1998-99.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
Carlsbad, California, as follows:
1. That the above recitations are true and correct.
2. That a budget appropriation in the amount of $26,700 is authorized from the
1997-98 Fleet Maintenance fund balance to pay for expenditures in excess of
the budget for fiscal year 1997-98.
3. That appropriations totaling $1,257 for the Adult Learning Program multi-year
scholarships and $16,754 for the remaining balance in the Art State Grant
fund will be continued into the 1998-99 fiscal year.
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ATTEST:
4. That additional appropriations in the amount of $87,147 are authorized
from the Council contingency account to correct the Recreation
Operations 1998-99 expenditure budget.
PASSED, APPROVED AND ADOPTED at a regular meeting of the
Carlsbad City Council held on the 15th day of September , 1998 by the
following vote, to wit:
AYES. * Council Members Finnila, Nygaard, Kulchin & Hall
NOES: None
ABSENT: Council Member Lewis
NZ, City Clerk KAREN R. KUNDTZ, Assistant City Clerk
‘CL&DE A. LEWIS, Mayor
RAMONA FINNILA, Mayor Pro Tern
(SEAL)
EXHIBIT 2
’ .Financial Status Reports
Prepared by the Finance Depaffmenf
June 30.1998
The City of Carlsbad’s fiscal year 1997-98 books are closed and the audit is under way for the
Comprehensive Annual Financial Report (CAFR) statements. Although the financial statements
are subject to audit adjustments, they are not expected to vary materially from the numbers
presented in this report.
OVERVIEW
Carlsbad’s General fund
revenues were projected to
increase by $3 million over
the actual 1996-97 results.
Actual revenues for the
General fund exceeded
expectations by $2.9 million.
At $55.9 million, the General
fund revenues were $5.9
million, or 11.8%, higher than
the previous year.
The “Signs of the Times”
summary highlights some
specific revenue sources and
their variance compared to
the previous fiscal year. The
trend found in these
indicators is representative of
the State as a whole. As
reported in California
Economic Indicators:
cllYaxARLsBAD
R-opertyT-
Sales Tax BLildrw Dept. Fees
‘In 1997, California’s economy turned in its best performance since the early 1980s. The State’s jobless rate fell a full
percentage point last year. Personal income increased 7.3 percent in 1997, a 13-year high. With inflation of scarcely
2 percent, real purchasing power jumped more than 5 percent last year.
California construction activity during the first quarter of 1998 rose 13 percent above the first quarter of 1997. This
growth may have been even greater were it not for the heavy winter rains.“’
Much of the increase in General fund revenues was due to the strong local economy. San Diego’s
economic indicators have been on the upswing during the entire fiscal year, although they have
begun to slow down during the past couple of months. The San Diego Union-Tnibune stated:
“San Diego’s economic indicators inched forward just 0.1 percent in June.......June marked the fourth month in a
row that the growth in the indicators was 0.1 percent, but USD economist Alan Gin warned that June’s performance
’ “Review of Recent Economic Developments”, Cal$knia Economic Indicators (May/June 1998), pp. 4, 9.
&ancial Status Report Page Two
was particularly weak. The sluggishness contrasts with strong growth over much of the preceding year. From June
1997 to February 1998, the indicators grew between 0.4 and 1.2 percent each month.“’
Further detail about Carlsbad’s General fund revenues can be found in this report as well as an
overview of the General fund expenditures for the fiscal year ended June 30, 1998. In addition, the
financial status of the Water and Sanitation Enterprises and the Redevelopment Agency will be
addressed.
GENERAL FUND
The General fund ended 1997-98 with an available balance of $30.3 million, which is $1.9 million
greater than expected. The increase was due to higher than anticipated revenues and lower than
expected expenditures. Revenues totaled $55.9 million which was $2.9 million higher than
expected. Expenditures, on a budgetary basis, were $46.4 million which was $165,000 more than
expected.
GENERAL FUND
FISCAL YEAR 1997-98
UNRESERVED - UNDESIGNATED FUND BALANCE
Unresen/ed - Undesignated Fund Balance 7/l/97 (Per CAFR’)
Revenues
Expenditures
u Expected Different
19,753,ooo
55,910,000 53,016,OOO 2,894,O
(46,424,OOO) (46,259,OOO) (165,O
Other Changes in Reserves and Designations 1,104,000
Unreserved - Undesignated Fund Balance 6/30/98 30343,000
* CAFR stands for the Comprehensive Annual Financial Report
=I
Taxes
The City’s largest source of tax
revenue is sales tax, followed by
warty tax, and transient
occupancy (or hotel) tax.
Tax Revenue
! Jp 19%
I
!
Sales tax receipts of $14.8 million
increased $2.3 million or 19%
higher than last year. The
Carlsbad Company Stores, which
opened in October 1997, are part
of the reason for the significant
increase over the prior year.
Through the first quarter of 1998,
this new shopping center
contributed over $300,000 of new
sales tax revenues to the City.
9
0.0 2.0 4.0 6.0 8.0 10.0 12.0 14.0 16.0
in millions
q Actuals 96-97 n Actuals 97-98
Comprised mainly of apparel stores, the Carlsbad Company Stores are an asset to the City’s
number one source of revenue. The State Board of Equalization released their 1998 First Quarter
Taxable Sales figures and for the nine months ended March 1998, new auto sales, light industry
’ “County’s Economy Up Slightly”, San Diego Union-Tribune, August 7, 1998, p. C-2.
-7
Financial Status Report Pane Three
and apparel stores showed the largest increases from the prior year. The three largest sales tax
generating segments in the City continue to be new auto sales, department stores, and
restaurants; together they generated over 50% of the City’s sales tax revenue for the year.
Property taxes are ad valorem taxes which are based on the property value as assessed by the
County. The tax is based on the annual assessed value. Property taxes are up 10% or $1.2
million over fiscal year 1996-97. Growth in property tax revenues is the result of increases in the
assessed values on real property and development in the City. The County Assessor announced
in their June 1998 newsletter that Carlsbad assessed values have increased 15% during the past
year, which is one of the largest increases in the County.
Transient occupancy taxes (TOT) or hotel taxes totaled $6 million, which is an increase of 65% or
$2.4 million over the previous fiscal year. The increase is mainly due to the opening of the Four
Seasons Resort at Aviara as well as overall increases in room and occupancy rates.
Engineering fees, which are fees
received for the improvement and Development Fee Revenue
grading plan check services and Fiscal Year Comparison
engineering inspections, have Down23% decreased by $686,000 or 23%
compared to fiscal year 1996-97.
These fees totaled $2.3 million and
were below expectations by
$172,000. This downward trend
may continue in the engineering fee
revenues due to decreased activity
for processing master plans. The
largest development projects 0 500 10001500 2000 2500 3000 3500
having an impact on engineering in Thousands
fee revenue during the year / q Actuals 96-97 n Actuals 97-98 1
included Carrillo Ranch, Aviara,
The Meadowlands, Ranch0 Verde,
Poinsettia Hill, Poinsettia Shores, Carlsbad by the Sea, Ocean Bluff, Carlsbad Spectrum,
Legoland, Palmer Way Industrial Park and Laurel Tree Apartments.
Development Fee Revenues
Building permits have increased 66% or $832,000 from fiscal year 1996-97. Building permits are
issued to cover the cost of regulating construction activities. This allows the City the means to
protect overall community interests. Total revenues from building permits is $2.1 million which is
16% or $295,000 more than budgeted. 1,402 residential permits were issued in fiscal year 1997-
98 compared to 873 issued last fiscal year. Total commercial/industrial building permits issued this
year comprised 934,000 commercial, and 1,651,OOO industrial square feet. This increase in
building is to keep up with the demand in the region. As reported in California Economic
Indicators:
-
Financial Status Report Page Four
“California’s economic growth is continuing at a brisk pace. One emerging problem, though, is the imbalance
between employment growth and housing construction in certain regions, including the San Francisco Bay and San
Diego areas.“3
Koll Research Center and other Koll properties, the Grand Pacific Resort and timeshares, Del Dios
Inc., Callaway Golf, and new home builders in the La Costa Valley are major contributors to this
increase in permit activity.
Building department fees total $1.4 million for the year. This is an increase of 48% or $450,000
more than in fiscal year 1997. Compared to projections, building department fees finished the
year above expectations by 10% or $124,000.
Planning fees for the City of Carlsbad were down from the prior year by $500,000 or 30%.
Planning fees of $1.2 million were behind projections by 4% or $50,000. Like engineering fees,
this may continue to decline as previously anticipated.
1 Other Revenues
Vehicle license fees (VLF) total
$3.0 million which is an increase Other Revenue
of 11% over 1997. Vehicle Fiscal Year Comparison
license fees exceeded projections
by 6% or $170,000. Existing law up 11%
requires a vehicle license fee for
the privilege of operating a vehicle
on California’s public highways.
The VLF is equal to 2% of a
vehicle’s market value. The RECREATION
California Constitution requires FEES
that VLF’ revenues be allocated to
cities and counties. About 75% of AMBULANCE FEES the revenues can be used for any
purpose, with the remaining funds
used to pay for “realignment” FINES &
health and FORFEITURES social services -
In an effort to “give I f programs. 0 500 1000 1500 2000 2500 3000 back” some of the State budget in Thousands
surplus for fiscal year 1998, the
State had threatened to abolish I 0 Actuals 96-97 HActuals 97-98
the VLF over a 5 year period
beginning in 1999. However,
after much debate, the State decided to give taxpayers a 25% credit in fiscal year 1999, and
replenish the revenue loss to the VLF fund from the tax reduction, with a continuous appropriation
from the State General fund. A continuous appropriation does not require the annual reenactment
by the Legislature. To terminate a continuous appropriation, the Legislature would have to take
affirmative action to terminate the appropriation. In essence, the City will suffer no immediate
revenue loss under this tax credit approach.
3 “Review of Recent Economic Developments”, CaIijbnia Economic Indicators (May/June 1998), p. 5.
Financial Status Report Page Five
Business license revenues total $1.6 million, an increase of 6% or $93,000 from fiscal year 1996-
97. New licenses issued for the year totaled 1,585 and renewed licenses for the year totaled
4,015. These figures compare to 1,319 new licenses and 3,760 renewed licenses last year.
Recreation fees total $986,000 and are 7% or $61,000 higher than in fiscal year 1996-97.
Recreational classes for crafts, aquatics programs, special events, and sports programs make up
the majority of the recreation fees. Property rentals of $221,000 were 20% higher than the
previous year.
Ambulance fees were ahead of last year by 30% or $173,000. The increase is due to improved
collection efforts and an increase in rates. Total ambulance fees are $747,000.
Fines and forfeitures, at $331,000, was $13,000 or 4% higher than the previous year. Most of this
revenue comes from State vehicle code violation fines.
Interest income year-to-date totaled $1.5 million and is $344,000, or 30% higher than in 1996-97.
The City maintained higher cash balances which contributed to an increased earnings in interest.
“Other revenue sources” total $808,000 and include contributions from outside entities, reimbursed
expenditures and other miscellaneous revenue. The 61% decrease is due to the one-time
reimbursements in 1996-97 from Northwestern National Life and PERS credits.
GENERAL FUND REVENUE COMPARISON
FISCAL YEAR FISCAL YEAR DOLLAR PERCENT
1996-97 1997-96 CHANGE CHANGE
Taxes $29,367,313 $36,622,300 $6,434,987 22%
Licenses and Permits 4,234,662 4,883,257 648,605 15%
State Subventions 2,885,540 3,204,512 318,972 11%
Charges for Services 7,897,402 7,421,590 (475,812) -6%
Fines and Forfeitures 317,892 331,318 13,426 4%
Interest 1,157,912 1,502,306 344,394 30%
Interdepartmental Charges 2,042,503 I,91 9,341 (123,162) -6%
Other Revenue Sources 2,078,982 808,121 (1,270,861) -61%
TOTALREVENUES $50,002,196 $55,892,745 $5,890,549 12%
.Financial Status Report Page Six
REVENUE COMPARISON
FISCAL YEAR 1997-98
ACTUAL REVENUE ACTUAL
REVENUE ESTIMATE REVENUE
REVENUE SOURCE 1996-97 1997-96 1997-96
TAXES
PROPERTY TAX
SALES TAX
TRANSIENT TAX
FRANCHISE TAX
$11,236,207 $12,300,000
12,495,143 14,120,000
3,675,472 5,500,000
1,512,623 1,560,000
i12,410,095 $110,095 0.90% $1,171,666 10.43%
14,617,057 697,057 494% 2,321.914 16.56%
6,046,092 546,092 9.93% 2,370,620 64.50%
1,713,526 133,526 6.45% 200,703 13.27%
635,530 265,530 46.56% 369,662 79.43%
35,622,300 1,752,300 5.14% 6,434,967 21.90?4
TRANSFER TAX 465,666 570,000
TOTAL TAXES 29,367,313 34,070,000
LICENSES AND PERMITS
BUILDING PERMITS 1,262,177 1.600,000
BUSINESS LICENSES 1,510,462 1,700,000
LICENSE TAX-CONSTRUCTION 396,529 0
OTHER LICENSES & PERMITS 1,065,4&l 1,012,000
TOTAL LICENSES & PERMITS 4,234,652 4,512,OOO
STATE SUBVENTIONS
VEHICLE IN-LIEU 2,666,452 2,600,000
OTHER 219,066 205,000
TOTAL STATE SUBVENTIONS 2,665,540 3,005,000
CHARGES FOR SERVICES
PLANNING FEES 1.649.606 1.200,000
BUILDING DEPT. FEES 943,739 1,270,OOO
ENGINEERING FEES 3,013,313 2.500,oOO
AMBULANCE FEES 574,692 700,000
RECREATION FEES 924,640 1,040,000
PROPERTY RENTALS 163,695 170,000
OTHER CHARGES OR FEES 607,117 511,000
TOTAL CHARGES FOR SERVICES 7,697,402 7,391,ooo
FINES AND FORFEITURES 317,692 434,000
INTEREST 1,157,912 1,425,OOO
INTERDEPARTMENTAL CHARGES 2,042,503 1,650,OOO
OTHERREVENUESOURCES 2,076,962 529,000
TOTAL GENERAL FUND 50,002,196 53,016,OOO
ACTUAL COMPARED ACTUAL COMPARED
TO ESTIMATE TO ACTUAL
DIFFERENCE AS % DIFFERENCE AS %
2,094,523 294,523 16.36% 632,346 65.95%
1,603,744 (96,256) -5.66% 93,262 6.16%
0 0 0.00% (396,529) 0.00%
1,164,990 172,990 17.09% 119,506 11.22%
4,663,257 371,257 6.23% 646,605 15.32%
2,970,169 170,169 6.06% 303,737 11.39%
234,323 29,323 14.30% 15,235 6.95%
3,204,512 199,512 6.64% 316,972 11.05%
1,150,216 (49,762) 4.15% (499,566) -30.26%
1,393,660 123,660 9.75% 450,121 47.70%
29327,574 (172,426) -6.90% (665,739) -22.76%
747,425 47,425 6.76% 172,733 30.06%
965,942 (54,056) -5.20% 61,102 6.61%
220,723 50,723 29.84% 36,626 20.03%
595,646 64,646 16.60% (11,269) -1.66%
7,421,590 30,590 0.41% (475,612) -6.02%
331.316 [102.662) -23.66% 13.426 4.22%
1,502,306
1,919,341
606.121
55,692,745 2,676,745 5.43% 5,690,549 11.76%
77,306 5.42% 344,394 29.7491
269,341 16.32% (123,162) -6.03%
279,121 52.76% /1.270.661) -61.13%
Exoenditures
Total General fund expenditures for fiscal year 1997-98 equaled $44.4 million. This was $2.2
million less than the budget of $46.6 million. Expenditures are shown on a budgetary basis which
means that they include all amounts actually spent during the year plus any amounts to be spent
which would be coming out of the 1997-98 appropriations (such as money encumbered at the end
of the year and appropriations which are going to be continued into the next year).
0 ,-T
Financial Status Report Page Seven
GENERAL FUND
EXPENDITURES BY DEPARTMENT
FOR THE YEAR ENDED JUNE 30,1998
ACTUAL ON A OVER/ % OVERI
BUDGET BUDGETARY (UNDER) (UNDER)
lEPT DESCRIPTION FY 199798 BASIS BUDGET BUDGET
OLICY AND LEADERSHIP GROUP
CITY COUNCIL
CITY MANAGER
CITY CLERK
CITY ATTORNEY
CITY TREASURER
TOTAL POLICY AND LEADERSHIP GROUP
192,863 187,825 (5,058) -2.6%
881,413 869,238 (12,175) -1.4%
361,520 351,364 (10,136) -2.8%
611,553 605,237 (6,316) -1.0%
126,027 100,827 (25,200) -20.0%
2,173,398 2,114,511 (58,685) -2.7%
,DMINISTRATIVE SERVICES
FINANCE 1,147,626 I ,098,651 (48,975) 4.3%
PURCHASING 461,546 446,035 (15,511) -3.4%
HUMAN RESOURCES 1,353,424 1,324,255 (29,169) -2.2%
TOTAL ADMINISTRATIVE SERVICES 2,982,598 2,888,941 (93,655) -3.2%
‘UBLIC SAFETY
POLICE 10,379,621 10,212,662 (166,959) -1.6%
FIRE 7,748,433 7,739,548 (8,785) -0.1%
TOTAL PUBLIC SAFETY 18,128,064 17,952,310 (175,744) -1.0%
:OMMUNITY DEVELOPMENT
COMMUNITY DEVELOPMENT ADMIN 575,705 537,553 (36,152) -6.6%
GEOGRAPHIC INFORMATION SYSTEMS 224,951 183,320 (41,631) -18.5%
ECONOMIC DEVELOPMENT 124,230 98,542 (25,688) -20.7%
PLANNING 2,415,595 2,117,207 (296,388) -12.4%
BUILDING INSPECTION 1,294,034 1,246,160 (47,874) -3.7%
TOTAL COMMUNITY DEVELOPMENT 4,634,516 4,182,782 (481,733) -9.7%
:OMMUNITY SERVICES
LIBRARY 2,867,347 2,X4,831 (102,516) -3.6%
CULTURAL ARTS 304,890 293,391 (1 I ,499) -3.8%
SISTER Cl-l-Y PROGRAM 6,800 6,181 (619) -9.1%
PARK PLANNING/RECREATION 2,722,839 2,672,102 (50,737) -1.9%
SENIOR PROGRAMS 306,395 268,401 (39,994) -13.0%
TOTAL COMMUNITY SERVICES 6,210,271 6,004,906 (205,366) -3.3%
‘UBLIC WORKS
PUBLIC WORKS ADMINISTRATION 87,843 61,915 (5,928) -6.7%
ENGINEERING 4,373,272 4,372,844 (428) 0.0%
PARK MAINTENANCE 1,976,212 1,855,177 (121,035) -6.1%
STREET MAINTENANCE 1,733,457 I ,708,678 (24,779) -1.4%
FACILITIES MAINTENANCE 1,645,981 1,646,444 463 0.0%
TRAFFIC SIGNAL MAINTENANCE 505,843 485,618 (20,225) 4.0%
TOTAL PUBLIC WORKS 10,322,608 10,150,676 (171,932) -1.7%
ION-DEPARTMENTAL
COMMUNITY PROMOTION (CCVB) 375,667 366,167 (9,500) -2.5%
PROPERTY TAX ADMIN FEE 185,000 177,909 (7,091) -3.6%
OTHER (a) 18653,424 626,169 (1,027,255) 62.1%
TOTAL NON-DEPARTMENTAL 2,214,091 1,170,245 (1,043,848) -47.1%
‘OTAL GENERAL FUND 46,645,531 44,444,371 (2,201,160) -4.7%
(a) Other nondepartmental expenses include Community Assistance, the Hiring Center, and the Council contingency. !3.
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Financial Status Report Page Eight
WATER ENTERPRISE
Revenues
Revenues for the Water District’s operating fund totaled $15.2 million for fiscal year 1997-98, which
is $463,000 lower than the previous year. Water sales receipts are below last year by $881,000
due to the higher than average rainfall during the year. Charges for current services have
increased due to the increased customer base and the increase in delivery charges that went into
effect during the January/February 1997 billing period.
Exnenses
Expenses total $13.6 million, an increase of $486,000 compared to the previous year’s expenses.
Although the largest expense category for the department, purchased water, shows a $225,000
decrease from the wet winter, higher staffing costs, outside services for our new billing system,
capital outlay expenses resulting from our new remittance processing system, and higher
materials and supplies from the replacement of damaged or outdated fire hydrants, caused the
increase in expenditures. Operating income for the Water Enterprise amounts to approximately
$1.7 million for fiscal year 1997-98.
I
CARLSBAD MUNICIPAL WATER DISTRICT
WATER OPERATIONS FUND
JUNE 30, 1998
FY 1997-98 Y-T-D Y-T-D %
BUDGET
10,800,OOO
CHARGES FOR CURRENT SERVICES 3,167,300
FINES, FORFEITURES & PENALTIES 204,500
698,000
OTHERREVENUES 558,000
TOTAL OPERATING REVENUE 15,427,800
EXPENSES:
STAFFING
INTERDEPARTMENTAL SERVICES
PURCHASED WATER
MWD/CWA READY-TO-SERVE
UTILITIES
OUTSIDE SERVICES/MAINTENANCE
GENERAL OFFICE EXPENSE
MATERIALS AND SUPPLIES
DEPRECIATION
CAPITAL OUTLAY
MISCELLANEOUS EXPENSES
TOTAL OPERATING EXPENSES
2,151,731 1,888,129 2,146,198 258,069 13.7
876,084 983,077 869,336 (113,741) (11.6
7,996,178 8,141,706 7,917,090 (224,616) (2.8
307,000 297,425 356,907 59,482 20.0
100,700 100,993 89,898 (11,095) (11.0
324,408 195,824 303,458 107,634 55.0
199,507 152,500 169,744 17,244 11.3
441,839 239,856 427,205 187,349 78.1
1,300,000 992,351 1,157,021 164,670 16.6
197,358 25,847 116,745 90,898 351.7
47,100 83,149 33,269 (49,880) (60.0
13,941,905 13,100,857 13,586,871 486,014 3.7
II OPERATING INCOME/LOSS 1,485,895
6/30/97 6/30/98 DIFFERENCE DIFFERENCE
11,397,OlO 10,515,916 (881,094) (7.7
3,101,919 3,362,884 260,965 196,961 183,752 (13,209) (Z f:
589,577 748,514 158,937 27.0
432,400 443,522 11,122
15,717,867 15,254,588 (463,279)
2,617,OlO 1,667,717 (949,293) (36.3
‘Financial Status Report
h
Page Nine
SANITATION ENTERPRISE
Revenues
Income to the Sanitation Enterprise totaled $5.9 million for the 1997-98 fiscal year, which is
$372,000 or 7% higher than the previous year. Charges for current services, the largest revenue
source in the enterprise, totaled $5.4 million and exceeded last year by $263,000. Charges for
current services went up due to the increased customer base. Interest income is 30% or $97,000
higher than last year due to a higher cash balance during the fiscal year.
Expenses
Expenses for the Sanitation Enterprise total $3.7 million, which is $243,000 less than the previous
year. The single largest expense item, Encina plant services, was $186,000 lower than last year
due to the Encina Wastewater Authority’s decision to forego the third quarter billing based on the
fact that actual expenses were less than member balances. Operating income for the Sanitation
Enterprise totaled $2.2 million for the fiscal year ended June 30, 1998.
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CARLSBAD MUNICIPAL WATER DISTRICT
SEWER OPERATIONS FUND
JUNE 30,1998
FY 1997-9t
BUDGE1
Y-T-D Y-T-D %
6/30&7 6/30/98 DIFFERENCE DIFFERENCI
REVENUES:
:HARGES FOR CURRENT SERVICES 5,087,600 5,146,048 5,408,804 262,756 5.1
rlTEREST 420,800 317,927 414,850 96,923 30.5
ITHER REVENUES 26,000 15,578 27,685 12,107 77.7
TOTAL OPERATING REVENUE 5,534,400 5,479,553 5,851,339 371,786 6.8
EXPENSES:
;TAFFING 655,593 611,639 614,824
VTERDEPARTMENTAL SERVICES 193,868 267,736 200,314
IUTSIDE SERVICES 8, OTHER 406,354 130,443 136,502
flATERlALS AND SUPPLIES 89,690 45,068 65,644
IEPRECIATION 1,200,000 1,257,722 1,269,577
iNClNA PLANT SERVICES 1,725,OOO 1,487,334 1,300,920
:APITAL OUTLAY 72,045 62,908 40,766
!llSCELLANEOUS EXPENSES 45,890 36,813 28,160
TOTAL OPERATING EXPENSES 4,388,440 3,899,663 3,656,707
3,185
(67,422)
6,059
20,576
11,855
(186,414)
(22,142)
WW
(242,956)
4.6
45.7
(120:;
(35.2
(23.5
(6.2
IPERATING INCOME/LOSS 1,145,960 1,579,890 2,194,632
.
Financial Status Report Page Ten
REDEVELOPMENT AGENCY
Revenues
Revenues for the Redevelopment Agency total $1.4 million for the year ended June 30, 1998,
which is essentially on target with projected figures, and $43,000 higher than the previous year.
Property tax revenue was projected to increase by $57,000 over the previous year. The actual
results show a $66,000 increase from the previous year. Property tax revenue for the
Redevelopment Agency is based on the growth in property values in the Redevelopment area.
Expenses
Total expenditures and encumbrances for the fiscal year were below the budget of $1.6 million,
with debt payments making up the majority of the Redevelopment Agency expenditures. Actual
expenses for the year were less than budget by $163,000 due in large to a reduction in outside
professional service expenses. Expenditures for fiscal year 1997-98 exceeded the Agency’s
revenues by $72,000. This shortfall in revenue was covered by the existing fund balances in the
operating and debt service funds.
CARLSBAD REDEVELOPMENT AGENCY
OPERATIONS AND DEBT SERVICE FUNDS
JUNE 30, 1998
FY 1997-98
REVENUE BUDGET Y-T-D Y-T-D
REVENUES 6130197 6/30/98 DIFFERENCE
‘ROPERTY TAXES 1,200,000 1,142,537 1,208,387 65,850
\ITEREST 77,000 80,465 65,101 (15,364)
IISCELLANEOUS REVENUES 118,100 128,467 121,261 (7,206;
1,395,100 1,351,469 1,394,749 43,280
TOTAL AVAILABLE %
EXPENDITURES FY 1997-98 COMMITTED BALANCE AVAILABLE
BUDGET 6130198 (1) 6130198 613019f
;TAFFING 137,664 146,553 (8,889) (6.5;
qTERDEPARTMENTAL SERVICES 93,452 91,131 2,321 2.5
!ENTALS & LEASES 116,685 112,403 4,282 3.7
IEBT EXPENSE 1,077,800 1,047,659 30,141 2.8
jUTSIDE SERV/MAINT./MISC. 204,028 68,543 135,485 66.4
TOTAL EXPENDITURES 1,629,629 1,466,289 163,340 10.0
iXCESS OF REVENUES OVER
EXPENDITURES (234,529)
1) Total committed includes expenditures and encumbrances.