July 30th City of Lakewood Balanced Budget Update
Posted: Wed Jul 30, 2008 4:40 pm
2008 Mid Year Appropriations Ordinance Exhibit
http://media.lakewoodobserver.com/media ... 453732.pdf
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06-30-08 Report 52 w PRIOR YEAR ENCUMB.xls (Including Trfr & Ind Cost)
http://media.lakewoodobserver.com/media ... 453648.pdf
_________
2008 Permanent Appropriation Decisions as of July 21, 2008
http://media.lakewoodobserver.com/media ... 453618.pdf
These e-mails are updates of the City of Lakewood, Ohio's concurrent initiatives to create a structurally sound budget for 2008, and to create financial strength and flexibility for 2009 and beyond as prescribed by Joint Resolution #8167-07.
_____________________________________________________________
Citywide Report 52 as of 06/30/08. This report displays revenues, expenditures and ending fund balances as of the end of June 2008.
Revenues appear to be on target as budgeted. However, General Fund revenues as of June 30th are $968,468 below this point last year.
Expenditures have been significantly reduced to balance with projected revenues. General Fund expenditures as of June 30th are $1.072 million below the expenditure level of this point last year.
The Mid-Year General Fund Unencumbered Fund Balance is very low. The mid-year General Fund ending fund balance is $19,211, as compared to $230,021 at this point in 2007, and $789,182 at this point in 2006. This does not leave the City any cushion for unexpected, unbudgeted expenditures that may occur.
_____________________________________________________________
Attached is Exhibit A & B of the Revised Appropriations Ordinance 69-08 passed on July 21st by Council that reflects all known personnel and operational changes to date, and additional reductions made in order to address the projected mid-year General Fund deficit. It is essentially a completely revised appropriations ordinance to the one that was passed on March 31st.
This revised budget removes the 2% across the board budget decrease of all salary and benefit line items that was included in the March 31st budget, which will have a significant impact on funds currently showing a mid-year deficit.
Another completely revised 2008 appropriations ordinance will be presented at the October 6th Council Meeting. This will reflect the impact of the mid-year personnel and operational changes, as well as projected health insurance cost changes and the establishment of reserve balance accounts. The July 21st budget maintains estimated health insurance costs at the March 31st projected level.
The 2009 Permanent Appropriations Ordinance will be introduced at the November 17th Council Meeting, along with the Nov. 15th Estimate of Expenditures that will be submitted in the form of the 2009 Comprehensive Budget Book.
Therefore, budget hearings will need to take place during November and December so that the 2009 budget can be passed by December 31st. Since no Temporary Appropriations will be introduced, the City's 2009 calendar year budget will begin January 1 instead of April 1 as has been historically done.
_____________________________________________________________
Also attached are the 2008 Budget Decisions Made as of July 21st and an Update of Outstanding Issues
_____________________________________________________________
Finally, I would like to welcome the City of Lakewood's newest Assistant Finance Director, Keith Schuster, CPA. Keith brings a wealth of knowledge to the City with his 20 plus years of work in Municipal Finance as an Executive Director in Finance & Business Services at Tri-C, the Finance Director of Maple Heights, and Controller of the City of Cleveland.
.
http://media.lakewoodobserver.com/media ... 453732.pdf
-------
06-30-08 Report 52 w PRIOR YEAR ENCUMB.xls (Including Trfr & Ind Cost)
http://media.lakewoodobserver.com/media ... 453648.pdf
_________
2008 Permanent Appropriation Decisions as of July 21, 2008
http://media.lakewoodobserver.com/media ... 453618.pdf
These e-mails are updates of the City of Lakewood, Ohio's concurrent initiatives to create a structurally sound budget for 2008, and to create financial strength and flexibility for 2009 and beyond as prescribed by Joint Resolution #8167-07.
_____________________________________________________________
Citywide Report 52 as of 06/30/08. This report displays revenues, expenditures and ending fund balances as of the end of June 2008.
Revenues appear to be on target as budgeted. However, General Fund revenues as of June 30th are $968,468 below this point last year.
Expenditures have been significantly reduced to balance with projected revenues. General Fund expenditures as of June 30th are $1.072 million below the expenditure level of this point last year.
The Mid-Year General Fund Unencumbered Fund Balance is very low. The mid-year General Fund ending fund balance is $19,211, as compared to $230,021 at this point in 2007, and $789,182 at this point in 2006. This does not leave the City any cushion for unexpected, unbudgeted expenditures that may occur.
_____________________________________________________________
Attached is Exhibit A & B of the Revised Appropriations Ordinance 69-08 passed on July 21st by Council that reflects all known personnel and operational changes to date, and additional reductions made in order to address the projected mid-year General Fund deficit. It is essentially a completely revised appropriations ordinance to the one that was passed on March 31st.
This revised budget removes the 2% across the board budget decrease of all salary and benefit line items that was included in the March 31st budget, which will have a significant impact on funds currently showing a mid-year deficit.
Another completely revised 2008 appropriations ordinance will be presented at the October 6th Council Meeting. This will reflect the impact of the mid-year personnel and operational changes, as well as projected health insurance cost changes and the establishment of reserve balance accounts. The July 21st budget maintains estimated health insurance costs at the March 31st projected level.
The 2009 Permanent Appropriations Ordinance will be introduced at the November 17th Council Meeting, along with the Nov. 15th Estimate of Expenditures that will be submitted in the form of the 2009 Comprehensive Budget Book.
Therefore, budget hearings will need to take place during November and December so that the 2009 budget can be passed by December 31st. Since no Temporary Appropriations will be introduced, the City's 2009 calendar year budget will begin January 1 instead of April 1 as has been historically done.
_____________________________________________________________
Also attached are the 2008 Budget Decisions Made as of July 21st and an Update of Outstanding Issues
_____________________________________________________________
Finally, I would like to welcome the City of Lakewood's newest Assistant Finance Director, Keith Schuster, CPA. Keith brings a wealth of knowledge to the City with his 20 plus years of work in Municipal Finance as an Executive Director in Finance & Business Services at Tri-C, the Finance Director of Maple Heights, and Controller of the City of Cleveland.
.