CITY OF PACIFICA
COUNCIL AGENDA SUMMARY REPORT
11/12/2024
1 SUBJECT:
Quarterly Financial Report for the Quarter ending June 30, 2024 RECOMMENDED ACTION:
Review and accept the Quarterly Financial Report for the Quarter ending June 30, 2024 STAFF CONTACT:
Yulia Carter, Assistant City Manager
(650) 738-7402
[email protected]
Lucy Xie, Deputy Finance Director
(650) 501-6014
[email protected]
BACKGROUND/DISCUSSION:
Organizational and Fiscal Stability remains one of the City Council’s Strategic Goals. This goal includes planning for and implementing long-term financial health and stability. A key component of this goal is preparing quarterly financial reports that would provide readers with an executive summary of the City’s current economic conditions related to the annual operating budget.
On June 26, 2023, the City Council adopted the structurally balanced FY 2023-24 Budget.
Finance staff has preliminarily completed the Fourth Quarter of the Fiscal Year 2023-24, and this report reflects the financial results for the Quarter.
The Fourth Quarter Financial Report summarizes the City’s General Fund and is not meant to be inclusive of all finance and accounting transactions. It intends to provide the Council and the public with a broad overview of the City’s operations and fiscal condition. This report provides an update on the financial status of the City’s General Fund by outlining the revenues and expenditures for the Quarter ending June 30, 2024.
The General Fund is the City’s primary operating fund and is used to account for day-to-day activities. It receives unrestricted revenues and provides the City’s general administrative services, law enforcement, fire, public works, parks, beaches and recreation, and community development-related activities such as planning, building, and engineering. Revenue sources include but are not limited to property tax, sales tax, transient occupancy tax (TOT), business registration, and current fees for services such as parking charges, engineering, planning, building permit fees, and recreation services.
The Fourth Quarter Financial Report for the City of Pacifica provides the financial status update Pacifica City Council 2
November 12, 2024
of the City’s General Fund by outlining the revenues and expenditures as of June 30, 2024, but is not meant to be inclusive of all finance and accounting transactions as we will still be going through the final year-end closing and audit process.
With the completion of the Fourth Quarter, General Fund Revenues are $47,396,738 (102% of budget), and Expenditures are $45,776,510 (94% of budget). Compared to the same quarter, last year’s revenues were almost $2.5 million more as a result of the one-time $4.6 million ARPA funding received in July 2022 for FY2022-23. Compared with the same quarter last year, expenditures were just about $50K higher. This favorable result reflects a strong budget control mechanism and staff vigilance in managing expenditures.
Overall, staff is pleased to report that the FY 2023-24 Budget performed better than expected as of the end of the last quarter. Favorable variances in revenues and expenditures have resulted in a projected positive net revenue over expenditures of $1.6 million. However, it is important to note that these are only preliminary numbers, as additional booking entries may occur during the fiscal year-end closing and audit process, which may modify some of the fourth-quarter figures.
ALTERNATIVE ACTION:
There is no reasonable alternative to this informational item, as not accepting the Fourth Quarter Financial Report will not change the City’s financial condition as of the end of the Quarter ending June 30, 2024.
RELATION TO CITY COUNCIL GOALS AND WORK PLAN:
This item furthers the City’s efforts toward Organizational and Fiscal Stability.
FISCAL IMPACT:
There is no fiscal impact associated with the Council’s acceptance of this report.
ORIGINATED BY:
Finance Department
ATTACHMENT LIST:
Attachment 1- Q4 FY 2023-2024 Quarterly Financial Report (PDF)