UN-AUDITED
FIRST QUARTER
BUDGET & ACTUALS REVIEW
First Quarter Fiscal
Year 2025/26
Period Ending
September 30, 2025
City of Cotati
FINANCIAL
REPORTING
• Citywide Overview
• General Fund
• Enterprise Funds
• Cash and Investments
Portfolio
CITYWIDE
CITYWIDE - REVENUES & EXPENSES
Fund Un-Audited
Actual
Annual
Budget
%
Budget
Un-Audited
Actual
Annual
Budget
%
Budget
General $ 989,615 $ 11,256,042 8.8% $ 3,230,605 $ 14,002,277 23.1% Wastewater 1,076,602 3,753,900 28.7% 987,313 3,889,909 25.4% Water 950,006 2,654,560 35.8% 750,164 2,538,615 29.6%
Other Special Revenues * 213,911 5,271,130 4.1% 602,620 5,824,257 10.3% Capital Projects 279,532 2,583,000 10.8% 644,681 2,583,000 25.0% Internal Service 134,171 559,398 24.0% 132,186 587,910 22.5% Total For All Funds $ 3,643,837 $ 26,078,030 14.0% $ 6,347,568 $ 29,425,968 21.6% Revenues Expenses
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
General
Wastewater
Water
Other Special Revenues *
Capital Projects
Internal Service
Expenses Revenues
Revenues and Expenses
On Target
•General Fund – Due to timing of
Receipts for major revenue sources.
•Other Special Revenues – Due to
Timing of Receipts for Revenues.
•Capital Projects funding transfers and
billing for grants are subject to timing
anticipated to be in line with budget.
Revenues are at 14.0% of
Budget
•Water & Wastewater – Expenditures
for water purchases and wastewater
treatment are increasing. Includes full
year of insurance and one-time
unanticipated emergency repairs.
•Capital Projects and Special Revenue
Funds– are subject to timing of the
projects in place and related activity
incurred during the fiscal year.
Expenses are at 21.6% of
Budget
*Other Special Revenues consists of the following funds: Grants, CDBG Grants, Gas Tax, MTC Streets, RMRA, Traffic Mitigation Fees, Park-In-Lieu, PEG, Public Safety, K-9 Program, Inclusionary Housing, Linkage Affordable Housing, Community Facilities Districts, Measure M Parks, PEG, Bed Tax, and all Local Landscaping and Maintenance Districts.
GENERAL FUND
COMPARATIVE
REVENUES & EXPENDITURES
PROPORTION OF
GENERAL FUND REVENUES
Sales Tax, $436,846
Other Taxes, $75,140
Licenses, Permits & Franchises,
$88,692
Rent, $41,489
Other Agencies,
$65,326
Community Development Charges,
$142,792
Public Works
Charges, $22,295
Public
Safety
Charg…
Other Revenues,
$73,349
Investment
Earnings,
$29,648
ENTERPRISE FUNDS
S U M M A R Y O F W A T E R & W A S T E W A T E R F U N D S
ENTERPRISE FUNDS ANALYSIS
Revenues and
Expenses On Target
• General Fund – Due to timing of
Receipts for major revenue
sources.
• Other Special Revenues – Due to
Timing of Receipts for Revenues.
• Capital Projects funding transfers
and billing for grants are subject
to timing anticipated to be in line
with budget.
Revenues are at 35.8% and 28.7%
of Annual Budget
• .
Expenses are at 29.6% and 25.4%
of Budget
CASH & INVESTMENTS
SUMMARY OF
CASH AND
INVESTMENTS AT
SEPTEMBER 30,
2025
• Total approximately $14.9M. • In line with the City updated adopted investment policy. • Investments for quarter
earned $165K in returns
• Overall cash is enough to
meet operational needs for
next 6 months in fiscal year
FISCAL RESILIENCE
General Fund
• Cash coverage temporarily reduced due to early-year expenditures for subscriptions and projects. • Rolling twelve-month revenues to budget decreased from target at -15% due to decreased sales, and other taxes. • Combined sales tax revenues (Bradley Burns & Measure S) down 18% from prior year and 11% from budget. • Revenues-to-expenditures ratio at 35% vs. 110% goal, and from 45% in the prior year. Primarily due to timing of receipts.
Water Fund
• Operating expenditures up 27% vs. budget, due to early-year spending on repairs and contract services. • Sonoma County Water Agency rate increase is 3% higher than budgeted (15% vs. 12%). • Note: Revenues stronger but will be watched in relation to cost escalation.
Sewer Fund
• Expenditures 20% below budget, indicating timing of project or operational costs. • Revenues increased 30% over prior year, aided by monthly billing transition. • Revenues-to-expenditures ratio slightly below the 110% target at 109%, but increased from prior years 85%
CONCLUSION
Fiscal Year was primarily on
track with Budget with a
need to monitor changes in
revenues and track expenses
in alignment with revenues to
maintain cashflows.
No Additional Budget
Requests for Adjustments.
City staff will continue to
update the Council with
quarterly financial reports as
well as the audited financial
reports for Fiscal Year
2024/25
City staff are committed to
exercising prudence and
integrity in the management
of public funds and provide
transparent accountability for
its use