Mid-year Budget Review Indicates City Finances Are Healthy
The La Mirada City Council reviewed the mid-year financial report at Tuesday’s City Council Study Session meeting. The report included current City revenues and expenditures, and projected estimates though the end of the fiscal year.
Overall, General Fund operating revenues for Fiscal Year 2017-18 are expected to reach $43.3 million. General Fund operating expenditures are projected at $32.8 million. These figures do not include fund transfers, yet reflect ongoing efforts to manage costs even with conservative budgeting.
At mid-year, property tax revenue is projected to be $6.4 million or 3.2 percent above the budgeted amount and slightly above the prior year actual. With housing values at a steady rise year over year, property tax revenue remains one of the City’s most stable revenue sources.
Sales tax revenues were reported to be $3.58 million or 35.82 percent of the budgeted revenue. Sales tax is conservatively projected to reach $10 million.
At mid-year, Measure I revenues were $2.35 million. The one percent, voter-approved sales tax ends on March 31, 2018. Since April 2013, Measure I has generated approximately $28.72 million, exceeding the expectation of $20 million over the five year period. This funding source has been used for neighborhood infrastructure improvements over the past several years. The City has completed three phases of neighborhood street improvements. The fourth phase is currently in construction, and fifth phase is under design.
“The City’s finances remain sound,” says City Manager Jeff Boynton. “We expect to finish the year with a modest surplus and health level of savings.”
The mid-year report emphasized the City’s continued commitment to maintaining public safety as a top priority and its ongoing investment in improving local infrastructure. The City will look to other funding sources and use new transportation funds for future infrastructure projects to minimize the impact on the City’s General Fund.
To view the mid-year budget report, visit cityoflamirada.org.