09272011 FINANCIAL PRESENTATIONPreliminary StatusPreliminary Status
Unaudited Financial Results for
Fiscal Year Ended
June 30, 2011
1
Preliminary Status Preliminary Status ––Unaudited ResultsUnaudited Results
For Fiscal Year Ended June 30, 2011
Status of Three Major Funds
?
General Fund
–
School Operating Fund
–
Water and Sewer
–
2
General Fund Budget to Actual at June 30, 2011
(in millions)
% of
BUDGET ACTUALVARIANCEBudget
REVENUES$ 996.7$ 994.9$ (1.8) -0.2%
EXPENDITURES (1,040.1) (1,010.3) 29.82.9%
REVENUES OVER (UNDER)$ (43.4)$ (15.4)$ 28.0
FUND BALANCE - JULY 1 179.0
FUND BALANCE - JUNE 30 163.2
LESS: RESERVATIONS (50.6)
UNASSIGNED FUND BALANCE - JUNE 30$ 112.6
Fund Balance as a percent of FY 2012 Revenues is 11.85%
3
FY2011 General Fund Revenues
Compared to Historic Trend at June 30, 2011
100.0%
100%
99.8%
YTD ACTUAL = $994.9M
80%
72.8%
ANNUALBUDGET = $996.7M
71.6%
Percent of Total Revenues
57.8%
60%
55.0%
58.3%
49.1%
54.4%
45.3%
48.9%
42.0%
45.0%
40%
42.1%
26.1%
23.1%
20%
13.8%
9.5%
12.7%
3.7%
1.4%
8.3%
4.1%
2.3%
JulAugSepOctNovDecFebMarAprMayJun
Rev Trend% of FY11 Rev Budget
4
General Fund Revenues
Budget to Actual at June 30, 2011
(in millions)
BudgetActualVariance
Local$ 831.1$ 832.4$ 1.3
State143.0140.1 (2.9)
Federal22.622.4 (0.2)
Total$ 996.7$ 994.9$ (1.8)
Percent Under Budget-0.2%
5
General Fund FY2011 Local Revenue Variances
(in millions)
Variance
Real Estate $ 1.3
Personal Property 0.8
General Sales 1.1
Utility Taxes 0.2
Business Licenses 0.5
Hotel Taxes 0.4
Restaurant Meals 1.6
Telecommunications Taxes (2.3)
Cigarette Taxes (0.6)
Fines and Forfeitures (0.6)
Virginia Aquarium (0.3)
Interest (0.5)
Other Local Revenue (0.3)
Total Local Revenue Variance$ 1.3
6
General Fund FY2011 State Revenue Variances
(in millions)
Variance
Constitutional Officers Reimbursements$ (0.2)
State Aid Law Enforcement$ (1.1)
Recordation Fee 1.5
State Reductions 0.1 0.5
Maintenance of Roads 0.2
Public Assistance Grants (2.5)
*
MH/MR and Substance Abuse 0.2
Other (1.1)
Total Variance$ (2.9)
* Offset with ARRA funding.
7
Real Estate Tax Revenues
June 30, 2007 –2011
($2.0M Over Budget)
$500
$493.0
$483.7
$481.8
$479.1
$477.1
$473.7
$475
Revenues $ Million
$454.5
$452.5
$450
$445.1
$443.1
$425
$400
FY 2007FY 2008FY 2009FY 2010FY 2011
BudgetActual
8
Personal Property Taxes –Local
(excludes PPTRA)
June 30, 2007 –2011
($830K Over Budget)
$81.7
$79.8
$80
$73.1
$70.0
$68.1
$67.5
$64.2
$63.9
$63.1
$57.8
$60
Revenues $ Million
$40
$20
$0
FY 2007FY 2008FY 2009FY 2010FY 2011
BudgetActual
9
General Sales Taxes
June 30, 2007 –2011
($1.1M Over Budget)
$60
$56.0
$55.7
$54.1
$54.0
$53.4
$51.4
$51.6
$51.1
$50.3
$50.6
$50
Revenues $ Million
$40
$30
$20
$10
$0
FY 2007FY 2008FY 2009FY 2010FY 2011
BudgetActual
10
General Sales Taxes
FY2011 Monthly Change from PY
10.4%
10.0%
7.4%
8.0%
5.9%
6.0%
4.1%
4.0%
1.5%
2.0%
1.2%
2.3%
1.8%
1.2%
1.5%
1.0%
0.0%
-1.2%
-2.0%
Monthly % Change from PY
11
Business License
June 30, 2007 –2011
($500K Over Budget)
$50
$45.0
$43.2
$41.8
$41.3
$40.8
$40.8
$41.0
$40.6
$39.9
$40
$38.1
Revenues $ Million
$30
$20
$10
$0
FY 2007FY 2008FY 2009FY 2010FY 2011
BudgetActual
12
Hotel Room Taxes –General Fund
June 30, 2007 –2011
($400K Over Budget)
$6
$5.5
$5.5
$5.4
$5.4
$5.2
$5.2
$5.2
$5.1
$5.1
$4.9
$5
$4
Revenues $ Million
$3
$2
$1
$0
FY 2007FY 2008FY 2009FY 2010FY 2011
BudgetActual
13
Hotel Room Taxes –Total City
June 30, 2007 –2011
($1.5M Over Budget)
$24.1
$25
$24.2
$23.6
$23.9
$23.0
$23.0
$22.6 $22.8
$22.7
$21.7
$20
Revenues $ Million
$15
$10
$5
$0
FY 2007FY 2008FY 2009FY 2010FY 2011
BudgetActual
14
Restaurant Meal Taxes –General Fund
June 30, 2007 –2011
($1.6M Over Budget)
$35
$32.3
$31.7
$31.3
$30.9
$30.8
$31.0
$30.7
$30.6
$30.1
$29.8
$30
$25
Revenues $ Million
$20
$15
$10
$5
$0
FY 2007FY 2008FY 2009FY 2010FY 2011
BudgetActual
15
Restaurant Meal Taxes –Total City
June 30, 2007 –2011
($2.4M Over Budget)
$50.6
$49.8
$49.1 $48.7
$50
$48.4
$48.1
$48.3
$48.2
$47.3
$46.7
$40
Revenues $ Million
$30
$20
$10
$0
FY 2007FY 2008FY 2009FY 2010FY 2011
BudgetActual
16
Hotel & Restaurant Tax FY12 Budget Allocation
Hotel Room TaxRestaurant Meal Tax
SB $1
OS
$0.1
0.44%
$4.1
GF 2%
$5.5
TIP
1.06%
$10.0
CBD
TIF
$0.5
TIP 5%
GF 3.5%
$14.1
TAP
$32.9
TAP
0.5%
1%/$1
$4.7
$5.0
GF 3.5%TAP 0.5%TIP 1.06%OS 0.44%
GF 2%CBD TIFTAP 1%/$1TIP 5%SB $1
17
Telecommunications Tax
June 30, 2009 –2011
($2.3M Under Budget)
$25
$23.6
$23.7
$22.0
$21.6
$20.8
$19.7
$20
Revenues $ Million
$15
$10
$5
$0
FY 2009FY 2010FY 2011
BudgetActual
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FY2011 General Fund Expenditures
Compared to Historic Trend at June 30, 2011
100.0%
100%
94.9%
97.1%
YTD ACTUAL = $1,010.3M
86.1%
89.8%
78.1%
80%
ANNUALBUDGET = $1,040.1M
82.2%
69.0%
73.8%
Percent of Total Expenditures
61.9%
66.3%
60%
52.8%
59.0%
45.5%
51.0%
38.3%
43.9%
40%
36.5%
29.4%
17.4%
24.5%
20%
17.2%
9.4%
10.5%
0%
JulAugSepOctNovDecJanFebMarAprMayJun
Expenditure Trend% of FY11 Exp Budget
19
General Fund Expenditures
For Fiscal Year Ended June 30, 2011
(in millions)
BudgetActualVariance% Savings
City Expenses:
$ 563.3$ 544.3$ 19.0
Departments
46.4 45.7 0.7
Debt Service
45.6 45.6 -
Capital Projects
655.3 635.6 19.73.0%
Total
Schools (City Funding):
$ 336.3$ 326.6$ 9.7
Operating Transfers
43.8 43.4 0.4
Debt Service
4.7 4.7 -
Capital Projects
384.8 374.7 10.11.4%
Total
Total Expenditures $ 1,040.1 $ 1,010.3 *$ 29.82.9%
*Reflects encumbrances of $11.7 million
20
General Fund FY2011 Expenditures Under Budget
(in millions)
Variance
School Reversion$ 9.7
City:
Human Services 4.4
Public Works 3.3
Police 2.3
Emergency Comm 1.2
Fire 1.2
ComIT 0.4
Debt Service 1.1
Transfers 0.3
Other Depts 5.9 20.1
Total Variance$ 29.8
*Reflects encumbrances and carryforwards
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Unassigned General Fund Balance
$200
12.8%
11.8%
$150
11.1%
11.0%
% of Budgeted GF Revenue
10.1%
10.1%
9.3%
8.9%
$123.4
8.8%
Dollars (Millions)
$103.4
$112.6
$100
$103.4
$96.6
$102.1
$92.7
UNAUDITED
$73.0
$63.1
$50
$0
200320042005200620072008200920102011
Unassigned GF Balance% of Budgeted GF Revenue
Policy = 8-12% of Revenues
22
General Fund Unassigned Fund Balance
June 30, 2011
(in millions)
Total Fund Balance June 30, 2011$ 163.2
Less: Reservations & Designations
Loans$ 8.8
Inventories0.2
City CIP -201223.9
FY2012 Operating Budget6.2
Net School Reversion11.550.6
Unassigned Fund Balance$ 112.6
Percent of Budgeted FY 2012 Revenues11.85%
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School Operating Fund –Revenues & Expenditures
For the Fiscal Year Ended June 30, 2011
(in millions)
BudgetActualVariance
REVENUES:
City
$ 325.0 $ 325.0 $ -
Local
3.1 3.5 0.4
School's Reserve & Other Funds
13.7 13.6 (0.1)
Commonwealth
299.6 301.1 1.5
Federal Government*
24.2 23.2 (1.0)
Total Revenues$ 665.6 $ 666.4 $ 0.8
EXPENDITURES
$ (682.8)$ (674.4)$ 8.4
**
Excess Expenditure Savings
Over Revenue Variance
9.2
Prepaid Items
0.5
Total Reversion to City$ 9.7
* Includes $7.5 million in ARRA Funding for Basic School Aid
** Reflects encumbrances of $15.3 million
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Water & Sewer Enterprise Fund
Budget to Actual at June 30, 2011
(in millions)
BudgetActual
Total Revenues$ 103.1 105.7
Total Expenses$ (125.7) (104.1)
Net Change$ (22.6)$ 1.6
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Summary
Fund Balance within Policy, higher than 2010
?
(11.85% FY11 vs10.05% FY10)
?
Departments continue to manage their budgets
?
Reductions in personnel have operating impacts
?
Actual revenues were 0.2% under budget
?
Recommend entire fund balance be maintained as
?
reserve for FY2013
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Next Steps
Letter to Council on Sept. FY12 InterimOct 25, 2011
?
5 Year ForecastNov 15, 2011
?
October InterimNov 29, 2011
?
FY11 Audited Financial StatementsDec 13, 2011
?
November InterimDec 13, 2011
?
FY13 Budget ProposalMarch 27, 2012
?
FY13 Budget AdoptionMay 8, 2012
?
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Schools Revenue Sharing Policy
June 30, 2011
(in millions)
Appropriations –FY2011$ 336.3
Less: Amount Expended and Encumbered(326.6)
9.7
Total Reversion
FY2011 Revenue Sharing1.4
0.4
FY2011 Debt Service True-up
Total Excess Revenues to be Appropriated$ 11.5
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