REPORT TO COUNCIL
SUBJECT
Title
Action on FY 2017/18 Budget Year-End Report and Related Budget Amendments and the Monthly Investment Report for June 2018
Report
EXECUTIVE SUMMARY
This report provides the year-end financial condition of the City of Santa Clara on a budgetary basis for the fiscal year ended June 30, 2018 and recommends approval of the related budget amendments. Consistent with the Council pillar to enhance transparency, this report was substantially restructured to provide the Council and the public with the status of, and recommended increases to, reserves in key funds; detailed descriptions of recommended budget actions (Attachment 1 and 2); summary of year-end performance for the General Fund as described in the body of this report and for all other funds (Attachment 3); and a summary of a reconciliation of carryover capital projects, grant, and donation funds (Attachment 4). Previously, expenditures related to grants and donations were not consistently budgeted; therefore causing an understatement of funds available for department operations. This report also submits to City Council the Monthly Investment Report as of June 30, 2018 (Attachment 5).
The General Fund is a major operating fund for the City and includes multiple programs, services, and activities for the residents of the City. Overall, the General Fund ended the year above the final budget by $17.7 million after accounting for encumbrances that carryover into FY 2018/19 for ongoing contracts and purchase orders. The City received $243.6 million in revenue, which is $7.7 million, or 3.3% higher than the final budget. Additionally, actual expenditures came in $10.0 million, or 4.2%, lower than the final budget with a net $3.4 million savings in salaries and benefits categories primarily due to vacancies.
As part of assigning the $17.7 million in General Fund surplus, this report recommends allocating $15.3 million to reserves and $2.4 million to several budget amendments to c...
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