Consent Item 4d
STAFF REPORT
City Council Consent Item
DATE: June 20, 2023
TO: Honorable Mayor and Council Members
FROM: Aaron Felmlee, Finance Director
THROUGH: Merritt Perry, City Manager
SUBJECT: Finance Department Monthly Report
STAFF RECOMMENDATION:
Receive report as an informational item.
EXECUTIVE SUMMARY:
Sales Tax Update:
Finance staff continue to closely monitor the City’s sales tax revenue streams. Sales tax revenue is the largest General Fund revenue source for the City and as such fluctuations in sales tax have the largest effect on the City’s fiscal health.
For sales tax receipts between October and December 2022 the City of Fortuna actual receipts, excluding reporting aberrations, were down 8.2% as compared to October to December 2021. For comparison the County realized a 5.7% decrease and the State of California realized a 4.7% increase. The reason the state far outpaced the City was because the state had much larger decreases at the onset of the pandemic as compared to the City and the County which did not realize significant decreases during 2020-2021. Restaurants and Hotels were the only segments which realized increases quarter over quarter for the City. Additional information about how the City’s sales tax performed during the month of October to December 2022 can be found in attachment ‘B’.
New Fiscal Year:
With the close of fiscal year 2022-23 at the end of the month Finance staff are working diligently on both closing out fiscal year 2022-23 and preparing to open up next fiscal year 2023-24. The year-end process entails running numerous reports, making audit adjustment entries, reconciling accounts, and ensuring all invoices for the 2022-23 year are paid timely. The new fiscal year entails uploading the new budget, issuing open purchase orders, and updating payroll numbers to reflect the fiscal year 2023-24 rates for wages, Cal-PERS pension plans, and other benefits.
Measure E Update:
The Measure E committee’s next regularly scheduled meeting is set for September 19, 2023 at 5:30pm. The primary purpose of this meeting will be for Staff to review with the Committee the list of Measure E funded projects that were included in the Council Adopted Budget for fiscal year 2023-24.
Consent Item 4d
List of Measure E items funded this month:
(2) Police Detective Positions
Police Community Services Officer Position
Police Records Clerk Position
Parks and Recreation Director Position
Recreation Program Supervisor Position
Transit Trips to Eureka for Seniors
PT Code Compliance Officer Position
K-9 Program
Storm Drain Infrastructure Vulnerability Assessment Project Prop 1 LID 12th St Project
Rohner Park Basketball Expansion Project
Monday Club Sponsorship for the Senior Jam
An activity log displaying important Finance data is attached for informational purposes.
RECOMMENDED COUNCIL ACTION:
Receive Finance Department Monthly Report. Consent agenda vote.
ATTACHMENTS:
Finance Staff Activity Log for May 2023
Q4 2022 City of Fortuna Sales Tax Newsletter