Fiscal Year 2013-2015 Special Budget Meeting

ATTACHMENT FY 2013-2015 BUDGET HIGHLIGHTS Page 7 Revised Revenue Estimates Based on Actual Trend Data through the 2nd Quarter of FY 2012-13 Since the development of the baseline budget, new information is available that has been factored into the proposed policy budget. Table 4 below provides a reconciliation of the projected GPF revenues based on new trend data and actual results of revenue the City has been experiencing through December 2012 (2nd qtr. FY 2012- 13 Revenue and Expense Report) information available since the Five Year Forecast was developed that has better informed and updated our previous baseline revenue projections. The FY 2013-15 Proposed Policy Budget assumes to use a net of $10.81 million in General Purpose Fund balance as a balancing proposal to fund on-going operating costs, representing 1.2% of the total two year policy budget. It also assumes $13.33 million new revenue (above the baseline) in FY 2013-14, of which $0.5 million or .12% is one-time revenue. For FY 2014-15, $15.37 million in new revenue is assumed (above the baseline). In addition for FY 2014-15, the budget assumes $6 million or 1.31% from one-time revenue and the use of $11.97 million of undesignated general fund balance; both of which are proposed to be used to balance the budget for on-going operations. Table 4: Summary of Revised GPF Revenue Projections Reconciliation of Projected GPF Revenue Reconciliation FY 2013-14 FY 2014-15 Baseline GPF Revenues $417.99M $430.07M Additional Revenue – Revised Estimates * 11.51M 8.05M One-time Balancing Revenue (see Table 5) .50M 6.00M New Fees and Revenues (see below) 1.32M 1.32M Use of Undesignated General Fund Balance (1.16M) 11.97M Total Revenue Estimates: $430.16M $457.41M *The projected GPF baseline revenue in October 2012 was revised in March 2013 based on latest data available in property tax, sales tax, business license tax, etc. FY 2013-14 projected GPF revenue increased by $11.51 million and $8.05 million increased for FY 2014-15. Table 5: One-Time New Revenues Summary One-Time Revenue Description FY 2013-14 FY 2014-15 Billboard $ 500,000 $ - Property Sale $ 4,000,000 Parking Ticket Backlog $ 2,000,000 Total One-Time New Revenue $ 500,000 $ 6,000,000 Total Revenue $ 430,155,612 $ 457,401,684 Percentage of One-Time Revenue .12% 1.31%