Legislation Details

File #: HIST-10531    Version: 1 Subject:
Type: Historical Status: Joint Consent
In control: HISTORICAL - REDEVELOPMENT
On agenda: 2/9/2009 Final action: 2/9/2009
Title: JOINT ITEM - Fiscal 2007-08 Year-end Financial Monitoring Report for the City and Redevelopment Agency
Attachments: 1. JOINT ITEM - Fiscal 2007-08 Year-end Financial Mon - J-1__09_02_09 CFO Year-end 2007-08 for City_RDA - FINAL.doc, 2. JOINT ITEM - Fiscal 2007-08 Year-end Financial Mon - 09_02_09 CFO ATT Final Year-End Financial Monitoring Reports.pdf
City of Culver City, California Agenda Item Report RECOMMENDATION: Staff recommends the City Council and the Redevelopment Agency receive a presentation on the final Year-end Fiscal 2007-08 Financial Monitoring Report. BACKGROUND / DISCUSSION: The Finance Department prepares monthly, quarterly, mid-year, and year-end Financial Monitoring Reports for the City Council and the Redevelopment Agency once the accounting periods have been closed for the respective reporting cycle. City of Culver City General Fund Total General Fund expenditures for Fiscal Year 2007-08 were $83.96 million and total General Fund revenues were $86.3 million. The General Fund ended the year with an operating surplus of $2.34 million. The surplus was primarily due to lower than expected expenditures from personnel vacancies, higher than anticipated business tax revenue and one-time developer fees, and higher than expected investment and interest income from bond refunds. Meeting Date: 02/09/09 Item Number: J-1 AGENDA ITEM: JOINT ITEM - Fiscal 2007-08 Year-end Financial Monitoring Report for the City and Redevelopment Agency Contact Person/Dept.: Mary V. Noller, Budget Division Manager Nick Kimball, Sr. Management Analyst Phone Number: (310) 253-6012; (310) 253-6013 Fiscal Impact: Yes [] No [X] General Fund: Yes [] No [] Public Hearing: [] Action Item: [X] Attachments: [X] Public Notification: Master E-Mail Notification List (02/04/09); Culver City Observer and Culver City News 01/29/09 and 02/05/09; Culver City Employees Association, Culver City Management Group, Culver City Fire Management Group, Culver City Firefighters Local 1927, AFL- CIO, Culver City Police Officers Association, and Culver City Police Management Group on 02/04/09. Department Approval: Jeff Muir (02/04/09) City Attorney Approval: Carol Schwab (by H. Baker) (02/03/09) Chief Financial Officer Approval: Jeff Muir (02/04/09) City Manager Approval: Jerry B. Fulwood (02/04/09) City of Culver City, California Agenda Item Report The final 2007-08 year-end budget review reflects a General Fund unreserved fund balance of $34.2 million, or 43.1% of total General Fund operating expenditures of 2007-08. The unreserved fund balance includes the $9 million dollar loan to the Redevelopment Agency. Enterprise Funds The Refuse Fund revenues totaled $10.8 million and were 5.8% below budgeted projections, but exceeded operating expenditures by 5.5%. As a result, the fund showed an annual operating surplus of approximately $565,000. At the end of fiscal 2007-08, the Refuse Fund had a remaining loan amount of $1.149 million, which is allocated as follows: $613,424 – General Fund; $401,236 Equipment Replacement Fund; $61,396 – Innovation Fund. The Transit Fund finished the year with $16.1 million in operating revenue, 7% under the budgeted projections. Meanwhile, operating expenditures were 2.3% lower than expected and totaled $22.4 million. The disparity of the revenues and expenditures is due to the one-time purchase of capital assets. The Sewer Fund operating revenues ended the year 14.1% higher than expected, due in part to one-time receipts from large developments. Operating expenditures were 19% lower than expected, due primarily to lower than expected Los Angeles City Hyperion Wastewater Treatment Plant costs. Because of the anticipated operating surplus, sewer user fees remained at current levels for 2008-09. Self-Insurance Fund The Self-Insurance Fund ended fiscal year 2007-08 with revenues of $7.7 million and expenditures of $10.7 million. The operating deficit is attributed to a transfer of $3.6 million to the CIP fund to repair the Cranks Road hillside. The fund’s cash balance has decreased to $1.8 million, so during the upcoming budget process staff will develop a strategy to re-establish the fund reserve. Culver City Redevelopment Agency The beginning balance for unrestricted funds in Fiscal Year 2007-08 was approximately $13.7 million. The ending balance for FY 2007-08 (and beginning balance for 2008-09) was approximately $10.8 million. Tax increment receipts, which are the Agency’s primary source of revenue and account for approximately 90% of ongoing revenues, increased approximately 10% City of Culver City, California Agenda Item Report over FY 2006-07 receipts. However, Pacific Theater revenue decreased by 48% from the previous year due to a sluggish economy and a lack of quality film product, which impacted the entire industry. Additionally, parking receipts decreased by approximately 8% from the prior year. The Writers’ Guild strike in November, December, and part of January had a negative impact on film parking receipts, especially at the downtown parking structures. Overall, the RDA received about $11 million less in FY 2007-08 than it did in FY 2006-07. This is due primarily to one-time land sale proceeds of approximately $12.5 million that were received in FY 2006-07 for the Lindblade properties, 4043 Irving Place, and 9900 Culver Blvd. The Agency received no land sale proceeds in FY 2007-08. Excluding the one-time land sale proceeds, the Agency received approximately $1.5 million more in FY 2007-08 than FY 2006-07, which is a result of strong tax increment growth. Expenditures were approximately 91% of the adjusted budget. Expenditures in FY 2007-08 were well below expenditures in FY 2006-07 because there was significantly less land acquisition activity ($23 million land acquisition in FY 2006-07 vs. $6 million in FY 2007-08). Most of the budget savings in FY 2007-08 were due to a number of staff vacancies. In May 2007, the Agency approved a $9 million loan from the City’s General Fund to the Redevelopment Agency, which was used to substitute unrestricted funds for tax exempt bond funds for the Washington/Centinela project area. An interest payment of almost $500,000 was made in FY 2007-08, however, due to the land rich, cash poor financial position of the Agency, no principal payments were made in FY 2007- 08. A $2 million principal payment was made early in FY 2008-09. Tax Exempt Bond Funds The beginning balance for tax exempt funds in Fiscal Year 2007-08 was approximately $24.9 million. The ending balance for FY 2007-08 (and beginning balance for 2008-09) was approximately $21.9 million. Approximately $1.1 million in interest income was earned in FY 2007-08 and $4.4 million was spent on bond funded projects. The table below shows the major projects that had bond funds allocated in 2007-08, the amount that was spent on each project in 2007-08, and the amount of funds that were carried over to 2008-09. Since many of these projects are large capital expenditures that span fiscal years, it is common that the expenditures are spread among fiscal years. Therefore, any unspent funds are carried over to the following year to maintain the funding to complete the project. City of Culver City, California Agenda Item Report There were a number of bond funded projects that were completed in 2007-08, including the Washington Boulevard Realignment, demolition at Washington/National, and a rehab grant on West Washington. The remainder of the projects is still ongoing. During the fiscal year 2008-09 budget process, most of the remaining bond funds were allocated for various public improvement projects, including the General Plan update, parking improvements, and area improvement plans on Washington Blvd and Sepulveda Blvd. Low/Moderate Income Housing Fund The beginning balance for the Low/Moderate Income Housing Fund in Fiscal Year 2007-08 was approximately $15.1 million. The ending balance for FY 2007-08 (and beginning balance for 2008-09) was approximately $19 million. The Agency needs to begin to spend down this cash balance before the Housing fund gets into an excess surplus situation. The Housing Division is working with the Agency Board to develop a Comprehensive Housing Strategy to plan housing development activities over the next few years. FISCAL ANALYSIS: There is no fiscal impact from receiving this report. ATTACHMENTS: 1. City FY 2007-08 Final Year-end Financial Monitoring Report Program Description Adjusted 2007-08 Budget Actual 2007-08 Expense Carryover to 2008-09 Downtown Street Improvements Washington Blvd Realignment 2,050,000 2,184,306 Complete Town Plaza Expansion 2,500,000 123,373 2,376,627 Washington/National Demolition 352,926 271,323 Complete Public Works Street Improvements 362,789 0 362,789 W. Washington Revitalization 60,000 60,000 Complete Fire Station #3 2,641,843 1,748,829 893,014 Total Bond Fund $7,907,558 $4,387,831 $3,632,430 City of Culver City, California Agenda Item Report 2. Redevelopment Agency FY 2007-08 Final Year-end Financial Monitoring Report MOTION: That the City Council: Receive and file the presentation of the 2007-08 Fiscal Year-end Financial Monitoring Report from the Chief Financial Officer. That the Culver City Redevelopment Agency: Receive and file the presentation of the 2007-08 Fiscal Year-end Financial Monitoring Report from the Chief Financial Officer MEETING DATE: 02/09/09 AGENDA ITEM: Fiscal 2007-08 Year-end Financial Monitoring Report for the City and Redevelopment Agency ATTACHMENTS Pages 1. City FY 2007-08 Final Year-end Financial Monitoring Report 1 - 18 2. RDA FY 2007-08 Final Year-end Financial Monitoring Report 19 - 31 FINANCIAL FINANCIAL MONITORING MONITORING REPORT REPORT CURRENT MONTH YEAR TO DATE PAGE GENERAL FUND General Fund Combined Revenues & Expenditures Page 3 General Fund Expenditures NORMAL BELOW BUDGET Page 3 General Fund Department Analysis NORMAL NORMAL Page 4 General Fund Revenues POSITIVE POSITIVE Page 5 Other Revenues POSITIVE/NORMAL NORMAL Page 5 Sales Tax NEGATIVE NEGATIVE Page 6 Business License Tax POSITIVE POSITIVE Page 6 Utility Users Tax POSITIVE NORMAL Pages 7- 9 Property Tax Revenue NORMAL NORMAL Page 9 Charges for Services POSITIVE POSITIVE Page 10 Transient Occupancy Tax * POSITIVE POSITIVE Page 11 One-time Revenue Receipts and GF Reserve % Page 11 MAIN ENTERPRISE FUNDS EXPENDITURE / REVENUE EXPENDITURE / REVENUE Refuse Fund NORMAL/POSITIVE BELOW/NEGATIVE Page 12 Transit Operations Fund NORMAL/POSITIVE NORMAL/NEGATIVE Page 13 Sewer Operating Fund NORMAL/POSITIVE BELOW/POSITIVE Page 14 MAIN INTERNAL SERVICE FUNDS EXPENDITURE / REVENUE EXPENDITURE / REVENUE Equipment Maint. & Fleet Svcs. NORMAL/POSITIVE NORMAL/POSITIVE Page 15 Self-Insurance Fund NORMAL/POSITIVE NORMAL/POSITIVE Page 16 CAPITAL IMPROVEMENT FUNDS Page 17 OTHER FUNDS Page 18 PERFORMANCE AT A GLANCE FINAL YEAR END FY 2007-08 * Does not include one-time bankruptcy payment in fiscal 2006-07 for comparative purposes in this chart BELLOW BUDGET OR POSITIVE = > 4% compared with prior year for revenues, or below expenditure target NORMAL = Positive variance or negative variance < 2% compared prior year WARNING = Negative variance of 2— 4% compared with prior year (used on monthly reports). NEGATIVE = Negative variance of > 4% compared with prior year. FINANCIAL OVERVIEW Fiscal year 2007-08 was a challenging year for many cities throughout the state, but Culver City ended the year on solid financial ground due to a mixture of significant one-time funding from major development and higher than anticipated revenues in certain categories. For the fiscal year, final year-end General Fund revenues exceeded expenditures by approximately $2.3 million. Also, the City managed to control spending, expending only 97.6% of the ?appropriated budget?|1010| of the General Fund. These expenditure savings were due mainly to a number of personnel vacancies. Total General Fund revenues came in 4.3% higher than anticipated, due in large part to higher than expected Business Tax revenue and one-time developer fees. Sales Tax, the City’s largest revenue, was 2.1% percent lower than the adjusted pro- jection, or 4.7% lower than the original projection, and due to the current economic conditions a decline is expected to continue. |1010| The “appropriated budget” includes an assumed savings figure of 3.5%, which was $2.8 million in fiscal 2007-08. An overall expenditure percentage of less than 100% of the “appropriated budget” means savings in addition to the as- sumed 3.5%. It sounds extraordinary, but it’s a fact that balance sheets can make fascinating reading. Author: Mary Archer 2 MAJOR FUND OVERVIEW General Fund 2007-08 Revenues: $86.3M 2007-08 Expenditures: $84.0M Refuse Fund 2007-08 Revenues: $10.80M 2007-08 Expenditures: $10.20M Transit Fund 2007-08 Revenues: $16.1M 2007-08 Expenditures: $22.4M Sewer Operating Fund 2007-08 Revenues: $10.4M 2007-08 Expenditures: $6.1M Equip Maintenance & Fleet Services Fund 2007-08 Revenues: $6.9M 2007-08 Expenditures: $6.9M Self Insurance Fund 2007-08 Revenues: $7.7M 2007-08 Expenditures: $10.7M $0 $10 $20 $30 $40 $50 $60 $70 $80 $90 $100 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Dollars in Millions 2006-07 2007-08 2007-08 Budget GENERAL FUND 3 GENERAL FUND ANALYSIS: GENERAL FUND EXPENDITURES—FINAL 2007-08 YEAR-END (Comparison 06-07 vs 07-08) [Cumulative] GENERAL FUND EXPENDITURES—Overall Expenditures were 97.6% of the ?appropriated budget.? Final year-end General Fund personnel related expenditures came in below budget projections for fiscal 2007-08 at 95.6% of budget due to several vacancies, both safety and non-safety, within the City. Several of these vacancies are currently in various stages of recruitment. With the cur- rent modified hiring freeze put in place by the City Manager, non-public safety vacancies are currently on a case-by-case basis of approval for recruitment. O&M came in at approximately 90.6% of budget, although approximately $600,000 in encumbrances have been carried over to fiscal 2008-09. All transfers have been recorded, and the larger than average jump in June is due to a ?true-up? in a transfer account for the I & A Fund for a few CIP projects, including new Fire Station #3 and the Public Safety RMS System. REVENUES & EXPENDITURES—FINAL 2007-08 YEAR-END [Cumulative]: General Fund revenues are often accrued (see bot- tom of Page 5) back to a prior fiscal year for several of the larger categories such as Sales Tax, TOT, and UUT. This causes the monthly amount shown for July, and sometimes August, to look ?low? when compared to future months. One-time categorized revenues received from development activity along with audit recovered revenue receipts has helped fill the gap for under-performing revenues. The ?catch- up? amounts for RDA Billings are reflected in No- vember (06-07) and December (07-08). In-lieu pay- ments for Sales Tax and Motor Vehicle License Fees are received in January and May of each year. 2007-08 2007-08 Revenue Expenditures July $ 341,121 $ 4,177,856 August 5,062,285 6,110,635 September 4,334,446 8,739,298 October 4,165,591 6,614,130 November 4,559,561 5,739,487 December 9,017,272 7,463,020 January 10,436,417 6,833,180 February 9,466,608 6,081,761 March 10,417,263 8,423,258 April 8,838,122 6,605,769 May 8,946,942 5,836,127 June 10,713,892 11,334,820 TOTAL $ 86,299,520 $ 83,959,341 -$10 $0 $10 $20 $30 $40 $50 $60 $70 $80 $90 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Dollars in Millions 2006-07 Revenue 2006-07 Expenditure 2006-07 2007-08 Expenditures Expenditures July $4,013,513 $4,177,856 August 5,475,164 6,110,635 September 5,527,245 8,739,298 October 7,836,012 6,614,130 November 8,137,743 5,739,487 December 5,332,189 7,463,020 January 6,182,729 6,833,180 February 6,032,417 6,081,761 March 6,006,334 8,423,258 April 8,238,175 6,605,769 May 5,958,495 5,836,127 June 8,195,517 11,334,820 TOTAL EXPENDED $76,935,533 $83,959,341 Adjusted Budget $77,920,361 $86,018,123 $0 $10 $20 $30 $40 $50 $60 $70 $80 $90 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Dollars in Millions 2007-08 Revenue 2007-08 Expenditure 4 GENERAL FUND COMPARISON OF ADJUSTED BUDGET TO ACTUAL: Target = 96.5% through June 2008 GENERAL FUND DEPARTMENT ANALYSIS: Departments significantly under Target (more than 10%): City Council — The City Council budget’s primary operating expenses include the contract for video and broadcasting services for Council meetings and audit services for items such as the City’s Comprehensive Annual Financial Report (CAFR). In 2007-08, the City selected a new auditor in compliance with its financial policy requiring a new audit firm at least every 5-years. The funding earmarked for these services was encumbered but not expended in fiscal 2007-08, and thus was carried-over to fiscal 2008-09 when the expenditure will occur. Additionally, funds were budgeted in the amount of $40,000 for use at the discretion of the new CFO for various audit purposes. A portion of this amount was also encumbered but not expended in fiscal 2007-08, and also carried-over to fiscal 2008-09. Community Development — Due to turnover and multiple recruitments in the Enforcement Services division, there were a number of positions that remained vacant for a prolonged period of time, creating one-time personnel savings in the Department. Departments over Target: City Manager’s Office — The increase is partly attributable to inflated regular salaries in first two months of fiscal year. During the 2007-08 budget process, three positions were eliminated from the City Manager’s Division. One posi- tion was filled, and the employee was paid from the Division for the first two months of the fiscal year during the transi- tion, although no budget amount was appropriated. The other was a contract employee, Interim Chief Financial Offi- cer, who also was paid from regular salaries for the first two months, with no corresponding budget amount. If these salary payments were not included, expenditures would be close to the expenditure target of 96.5%. Human Resources — Higher than anticipated personnel increases, including unanticipated bi-weekly payoffs not fully budgeted for, contributed to the department surpassing the target for fiscal 2007-08. Fire Department — Culver City sends strike teams to neighboring jurisdictions, including county and state incidents, when requested. The number of fires throughout California were higher than normal this year, and thus, increased Constant Staffing costs. Culver City IS reimbursed for most personnel expenses related to strike team deploy- ments greater than 24 hours, and reimbursements are filed in a timely manner but may not be received for several months after the incident. NOTABLE EXPENDITURE VARIANCES—FINAL 2007-08 YEAR-END: ACTUAL ADOPTED ADJUSTED EXPENDED PERCENT GENERAL FUND DEPARTMENTS BUDGET BUDGET AS OF 6/30/08 EXPENDED* TARGET 2007-08 2007-08 2007-08 2007-08 AMOUNT CITY COUNCIL $ 278,329 $ 336,948 $ 203,559 60.4% $ 325,155 CITY MANAGER 1,009,485 1,087,059 1,120,971 103.1% 1,049,012 CITY CLERK 509,033 524,033 496,564 94.8% 505,692 CITY TREASURY 3,123,867 3,362,545 3,088,014 91.8% 3,244,856 CITY ATTORNEY 1,723,067 1,776,747 1,715,885 96.6% 1,714,561 ADMIN/BUDGET & FINANCE 1,346,237 1,361,263 1,281,525 94.1% 1,313,619 HUMAN RESOURCES 1,112,075 1,170,374 1,163,527 99.4% 1,129,411 INFORMATION TECH. 3,034,211 3,153,623 2,883,852 91.4% 3,043,246 TOTAL GENERAL GOVERNMENT $ 12,136,304 $ 12,772,592 $ 11,953,897 93.6% $ 12,325,551 PARKS, REC. & COMMUNITY SVCS 6,864,988 7,235,218 6,541,146 90.4% 6,981,985 POLICE DEPARTMENT 28,385,399 29,071,661 27,670,102 95.2% 28,054,153 FIRE DEPARTMENT 14,540,504 14,685,789 14,843,668 101.1% 14,171,786 COMMUNITY DEVELOPMENT 7,131,365 8,034,485 6,928,538 86.2% 7,753,278 PUBLIC WORKS 9,317,108 9,411,870 8,971,065 95.3% 9,082,455 NON-DEPARTMENTAL 3,987,650 3,116,368 2,542,210 81.6% 3,007,295 Transfers 1,338,504 4,520,888 4,508,711 99.7% 4,362,657 Projected excess appropriations (3.5%) (2,805,835) (2,805,835) 0 0.0% - TOTAL GENERAL FUND $ 80,895,987 $ 86,043,036 $ 83,959,337 97.6% - GENERAL FUND 5 GENERAL FUND REVENUE ANALYSIS: TOTAL GENERAL FUND REVENUES—FINAL 2007-08 YEAR-END: Fiscal 2006-07 vs Fiscal 2007-08 [Cumulative] FINAL YEAR-END TOTAL GENERAL FUND REVENUES are 104.3% of budgeted projections. Many General Fund revenues met or exceeded budgeted projections, in part due to major development occurring within the city such as the renovation of the Westfield Shopping Mall and construction of the new parking structure and other buildings at Sony. Sales Tax receipts, the City’s largest single source of recurring revenue, came in below projections for the year. Below is further discussion on other General Fund revenues not charted on subsequent pages. Commercial Industrial Development Tax — Final year-end receipts in this category are 216.6% of budgeted projections, and are due specifically to a major one-time development occurring within the City which was not antici- pated to be fully received until early fiscal 2008-09. This revenue receipt is categorized to be one-time, and has been earmarked to be used for one-time expenditures, such as special equipment and capital outlay items. Fines & Forfeitures — Fines & Forfeitures through the end of 2008 are $4,613,435, which is 104.5% of budgeted projections. This category has performed slightly higher than budgeted projections the last several years, and includes Parking Tickets, Moving Violations, and Red-light Camera Violations. Franchise Fee — Through June 2008, final year-end receipts in this category exceed budgeted projections, and are currently $1,338,872, or 109.4%. This category also exceeded budgeted projections at this time last year due to receipts from audit findings from prior years. A higher franchise fee payment from a company than originally assumed accounts for the additional amount received this fiscal year. Intergovernmental — The main revenue in this category is the Motor Vehicle License Fee (VLF), and receipts for the category through June 2008 are 6.5% over budgeted projections. OVERALL GENERAL FUND REVENUES — The city still experienced healthy development early in fiscal 2007-08, which helped keep the General Fund reserves well above the 30% mark with one-time receipts and higher than aver- age revenues. Given the present economic climate, though, it will not be sustainable to keep this trend going for long periods of time. The City will be experiencing drops in certain revenue categories that are directly related to economic conditions. Due to reserve funds from one-time receipts and fiscally responsible decisions from City Council and City staff, we are in a better position than most cities to weather through this period. However, our long-term projections show recurring expenditure growth outpacing recurring revenue growth, and future actions will be required. NOTE: Subsequent pages include more in-depth discussion of some of the larger revenue sources received by the City. Some of the City’s primary revenue sources, such as property tax, sales tax, utility user’s tax, transient occu- pancy tax, and business tax, are subject to accrual, and revenues are recognized when earned. Thus, revenues re- ceived in July and partially in August were ?earned? in the prior year, and are ?accrued? back to the prior year. This is why July in many cases shows a minimal or zero amount in the accompanying charts, and August may also be low. June shows the ?accrued? amount from the future year and ?trues-up? the year-end total revenue amount received. -$10 $0 $10 $20 $30 $40 $50 $60 $70 $80 $90 $100 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Dollars in Millions 2006-07 2007-08 2007-08 Budget 2006-07 2007-08 Revenues Revenues July ($473,116) $341,121 August 4,930,120 5,062,285 September 4,430,318 4,334,446 October 4,876,302 4,165,591 November 7,303,390 4,559,561 December 7,074,612 9,017,272 January 9,666,904 10,436,417 February 9,576,836 9,466,608 March 7,596,047 10,417,263 April 6,648,374 8,838,122 May 8,764,221 8,946,942 June 9,744,167 10,713,892 Totals $80,138,175 $86,299,520 Adjusted Budget $75,054,576 $82,774,909 BUSINESS TAX—FINAL 2007-08 YEAR-END: Fiscal 2006-07 vs Fiscal 2007-08 [Cumulative] GENERAL FUND 6 GENERAL FUND REVENUE ANALYSIS (continued): SALES TAX—FINAL 2007-08 YEAR-END: Fiscal 2006-07 vs Fiscal 2007-08 [Cumulative] SALES TAX— Budget Projections for fiscal 2008-09 were reduced at mid-year by $500,000 from $18,800,000 to $18,300,000 given the current economic conditions, loss of some large sales tax contribu- tors, such as Albertson Oldsmobile Chevrolet, and reduction of on-going construction occurring within the city. Even with the reduc- tion, Sales Tax did not reach the projected $18,300,000 target and was under projections by a little over 2%. It also fell short of last year’s actual receipts of $18,198,893. Sales Tax receipts are anticipated to remain sluggish through the next fiscal year, and poten- tially into fiscal 2009-10. The construction of the Westfield Shopping Center should be completed in fiscal 2009-10, and the new Target at that location is set to open in October 2009. It is hoped that with the completion of the Mall and the new Target, receipts may pick up slightly even if the economy is still in a recessed state. NEGATIVE BUSINESS TAX — Through June, final year-end Business Tax receipts exceeded the adjusted budget projections by 11.2%. The year-to-date total includes receipts from Business Tax, Application/Renewal Fees, and Penalties. The increase in Business Tax is extremely good news for the City, and helps offset some of the underperform- ing recurring revenues such as Sales Tax . The City continues to be aggressive in collecting Business Tax and License Fees. Staff has done an extraordinary job in identifying many non-compliant businesses and following up with businesses who are late in paying. The strict oversight of ensuring all vendors the City issues contracts with have business licenses has enabled the City to also collect further receipts due it in a timely manner. In fiscal 2008-09 the City will be conducting a more in-depth Business Tax audit, and is confident a further significant amount of un- collected revenue from non-compliant businesses will be captured from this endeavor. POSITIVE BY MONTH 2006-07 2007-08 July $ 926,400 $ 912,800 August 1,235,300 1,217,000 September 1,190,361 1,169,765 October 908,000 938,300 November 1,210,800 1,251,100 December 1,374,295 1,156,535 January 3,368,412 3,471,855 February 1,349,700 1,444,200 March 1,113,116 1,021,326 April 861,400 876,200 May 3,459,612 3,557,052 June 1,233,397 975,468 Prior Yr Accrual (2,161,700) (2,129,800) Current Yr Accrual 2,129,800 2,060,300 TOTAL RECEIPTS $18,198,893 $17,922,101 Adjusted Budget $17,650,000 $18,300,000 $0 $2 $4 $6 $8 $10 $12 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Dollars in Millions 2006-07 2007-08 2007-08 Budget 2006-07 2007-08 July $ 104,213 $ 166,407 August 69,256 90,161 September 74,751 40,187 October 34,100 48,583 November 47,673 44,065 December 172,959 132,250 January 810,450 753,918 February 4,782,453 3,428,559 March 2,588,412 4,953,144 April 181,125 298,323 May 184,909 73,308 June 133,532 142,573 TOTAL RECEIPTS $ 9,183,833 $ 10,171,478 Adjusted Budget $ 8,804,100 $ 9,144,000 $0 $2 $4 $6 $8 $10 $12 $14 $16 $18 $20 Dollars in Millions 2006-07 2007-08 2007-08 Budget GENERAL FUND 7 GENERAL FUND REVENUE ANALYSIS (continued): UTILITY USER’S TAX—FINAL 2007-08 YEAR-END: Fiscal 2006-07 vs Fiscal 2007-08 [Cumulative] Electricity UUT 2006-07 2007-08 July $ 434,336 $ 417,420 August 564,075 500,334 September 764,134 669,748 October 624,333 556,764 November 647,433 621,597 December 458,805 513,303 January 461,345 454,472 February 503,612 485,773 March 431,502 426,921 April 444,525 441,445 May 392,786 425,935 June 418,835 432,822 Prior Yr Accrual (434,336) (417,420) Current Yr Accrual 417,420 433,414 TOTAL RECEIPTS $ 6,128,805 $ 5,962,528 Adjusted Budget $ 5,900,000 $ 5,800,000 Natural Gas UUT 2006-07 2007-08 July $ 9,820 $ 98,599 August 158,535 88,810 September 63,196 76,452 October 61,384 66,079 November 62,396 62,463 December 65,435 68,182 January 82,772 88,358 February 122,155 132,893 March 158,192 171,072 April 151,472 180,198 May 125,441 168,955 June 108,347 155,111 Prior Yr Accrual (9,820) (98,599) Current Yr Accrual 98,599 121,983 TOTAL RECEIPTS $ 1,257,924 $ 1,380,558 Adjusted Budget $ 1,300,000 $ 1,346,000 Water UUT 2006-07 2007-08 July $ 85,439 $ 89,981 August 72,286 74,166 September 94,063 95,276 October 76,471 75,300 November 98,875 90,181 December 68,052 70,436 January 79,388 86,457 February 66,546 66,376 March 86,040 82,704 April 60,647 69,891 May 83,561 87,329 June 66,406 77,785 Prior Yr Accrual (85,439) (89,981) Current Yr Accrual 89,981 100,185 TOTAL RECEIPTS $ 942,316 $ 976,088 Adjusted Budget $ 876,000 $ 902,000 Electricity UUT $0 $1 $2 $3 $4 $5 $6 $7 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Dollars in Millions 2006-07 2007-08 2007-08 Budget Natural Gas UUT $0.0 $0.2 $0.4 $0.6 $0.8 $1.0 $1.2 $1.4 $1.6 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Dollars in Millions 2006-07 2007-08 2007-08 Budget Water UUT $0.0 $0.2 $0.4 $0.6 $0.8 $1.0 $1.2 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Dollars in Millions 2006-07 2007-08 2007-08 Budget GENERAL FUND 8 GENERAL FUND REVENUE ANALYSIS (continued): UTILITY USER’S TAX—FINAL 2007-08 YEAR-END: Fiscal 2006-07 vs Fiscal 2007-08 [Cumulative] Telecomm UUT 2006-07 2007-08 July $ 451,558 $ 372,380 August 483,359 416,124 September 421,157 442,406 October 441,639 380,131 November 415,509 430,844 December 412,589 453,656 January 400,283 443,788 February 405,701 416,961 March 397,333 375,482 April 434,755 456,352 May 406,901 440,672 June 423,198 440,576 Prior Yr Accrual (530,432) (372,380) Current Yr Accrual 372,380 452,908 TOTAL RECEIPTS $ 4,935,930 $ 5,149,900 Adjusted Budget $ 5,200,000 $ 5,000,000 Telecomm UUT $0 $1 $2 $3 $4 $5 $6 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Dollars in Millions 2006-07 2007-08 2007-08 Budget Cable TV UUT 2006-07 2007-08 July $ 50,737 $ 54,986 August 52,121 55,554 September 50,222 58,837 October 50,395 55,463 November 49,885 52,377 December 50,782 52,320 January 64,240 52,274 February 52,444 173,354 March 51,900 52,976 April 52,880 55,901 May 53,052 55,521 June 54,848 55,343 Prior Yr Accrual (50,737) (54,986) Current Yr Accrual 54,986 56,845 TOTAL RECEIPTS $ 637,755 $ 776,765 Adjusted Budget $ 596,000 $ 608,000 Cable TV UUT $0.0 $0.1 $0.2 $0.3 $0.4 $0.5 $0.6 $0.7 $0.8 $0.9 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Dollars in Millions 2006-07 2007-08 2007-08 Budget Total All UUT 2006-07 2007-08 July $ 1,031,890 $ 1,033,366 August 1,330,376 1,134,988 September 1,392,772 1,342,719 October 1,254,222 1,133,737 November 1,274,098 1,257,462 December 1,055,663 1,157,897 January 1,088,028 1,125,349 February 1,150,458 1,275,357 March 1,124,967 1,109,155 April 1,144,279 1,203,787 May 1,061,741 1,178,412 June 1,071,634 1,161,637 Prior Yr Accrual (1,110,764) (1,033,366) Current Yr Accrual 1,033,366 1,165,335 TOTAL RECEIPTS $13,902,730 $14,245,839 Adjusted Budget $13,872,000 $13,656,000 Total All UUT $0 $2 $4 $6 $8 $10 $12 $14 $16 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Dollars in Millions 2006-07 2007-08 2007-08 Budget GENERAL FUND 9 GENERAL FUND REVENUE ANALYSIS (continued): UTILITY USER’S TAX—FINAL 2007-08 YEAR-END: Fiscal 2006-07 vs Fiscal 2007-08 ELECTRICITY UUT — Final year-end receipts have this category exceeding budget projections by 2.8%. Receipts for the year were less than previous year’s receipts by approximately $166,000, or 2.7%. NATURAL GAS UUT — Exceeded budgeted projections by approximately $34,000, or 2.6%. Receipts for this category are historically much lower the first six months of the fiscal year, and then increase during the second part of the fiscal year. WATER UUT— Water usage was higher than anticipated this year, even with reports asking for water con- servation in light of potential drought conditions. Final year-end receipts for Water UUT exceeded budg- eted projections by 8.2%. TELECOMMUNICATIONS UUT— Final year-end receipts show this category exceeding budgeted projec- tions by 3%. The fiscal 2007-08 budget projection for this category was reduced from the previous year, and in doing so was able to slightly exceed the new target. The trend the last few years had shown this revenue category dropping. CABLE TELEVISION UUT — Exceeds projected budget target for fiscal 2008-09. Receipts in February included one-time prior year audit monies in the amount of $106,788 and net penalties of $14,290. If the one-time receipts are deducted from the final year-end amount, this category still exceeds budgeted projections by 7.8%. Increases in cable rates are the main cause of the increase in this revenue category. MEASURE W PASSES OVERWHELMINGLY - In the April 2008 election, the community voted overwhelmingly (77% yes) in sup- port of a modernized UUT ordinance at the existing rate of 11%. This was a very important action as the modernized ordinance includes updated language and definitions that protect the City from potential lawsuits to repeal portions of the tax. NORMAL NORMAL POSITIVE NORMAL POSITIVE PROPERTY TAX — Final year-end receipts for Property Tax secured receipts did not meet budgeted projections and fell short by approximately 3%, but overall receipts in this category exceeded projections by just slightly over 2%. Tax increment pass-through payments came in much higher than antici- pated, which increased receipts in this category and pushed it above projections. Property Tax makes up between 3.5% and 4.5% of the General Fund revenues. Home prices on the Westside, including Culver City, have held up somewhat well within the current real estate climate. Sales, though, have remained rather stagnant the last six to ten months, which has caused receipts to stay relatively flat. Compared to other areas of the state suffering high rates of foreclosures, the Westside, which includes Culver City, has been able to maintain a relatively low foreclosure rate. Only time will tell if this trend can continue. NORMAL PROPERTY TAX—FINAL 2007-08 YEAR-END: Fiscal 2006-07 vs Fiscal 2007-08 [Cumulative] 2006-07 2007-08 July $ 239,386 $ 105,671 August - - September - - October - - November 55,364 33,620 December 1,111,820 1,153,913 January 375,171 393,974 February 113,968 222,451 March 29,369 15,527 April 952,182 981,287 May 299,226 145,646 June (16,161) 23,924 Prior Yr Accrual (239,386) (105,671) Current Yr Accrual 105,671 82,892 TOTAL RECEIPTS $ 3,026,610 $ 3,053,233 Adjusted Budget $ 2,988,000 $ 3,147,000 $0.0 $0.5 $1.0 $1.5 $2.0 $2.5 $3.0 $3.5 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Dollars in Millions 2006-07 2007-08 2007-08 Budget GENERAL FUND 10 GENERAL FUND REVENUE ANALYSIS (continued): CHARGES FOR SERVICES—FINAL 2007-08 YEAR-END: Fiscal 2006-07 vs Fiscal 2007-08 [Cumulative] CHARGES FOR SERVICES — Individual Category Notables—FINAL 2007-08 Year-End * Does not include Billings to RDA CHARGES FOR SERVICES — Through the end of the fiscal year, Charges for Services are signifi- cantly higher than last year, approximately 12%, due to a few factors. First, the City Council ap- proved fee increases to many categories beginning July 1, 2007, based on an in-depth fee study performed during fiscal 2006-07. The study showed many categories far below what the City’s recoverable costs were, and increases were ap- proved based on these findings. Also included in receipts during fiscal 2007-08 are ?one-time? payments from large new development activity within the City. These include developments such as the Westfield Shopping Mall remodel, Sony Pic- tures Entertainment parking lot construction, and Parcel B. (Some receipts received in fiscal 2007-08 from these develop- ments were not anticipated until fiscal 2008-09.) These receipts are classified as ?one-time? due to the size and nature of the development. The City cannot count on this kind of a revenue on an on-going basis as large developments do not occur regularly. The City has been very fortunate over the past few years to have large developments, which has kept the Gen- eral Fund fiscally healthy and has helped us weather the current adverse economic conditions. POSITIVE Veterans Memorial Auditorium Fees — Overall, final year-end fee receipts for the Veterans Auditorium Com- plex, which includes the Senior Center and Teen Center, were 106.5% of budgeted projections for fiscal 2007-08. Auditorium Rentals exceeded budgeted projections along with Teen Center Rental by approximately 25%, and the Sr. Center and Meeting Room Rentals came in below projections, although not too significantly. Plan Check Fees — Plan Check Fees slightly exceed budgeted projections for fiscal 2007-08, due primarily to larger development activity occurring within the city. These fees include both normal, every day plan check and those fees categorized as one-time that are related to the large development activity. These one-time fees are mostly asso- ciated with Westfield and Sony for fiscal 2007-08. Various Recreation Fees — Overall Recreation Fees met projections for fiscal 2007-08, specifically in the Day Camp and Aquatic areas. The Culver City After School Program has exceeded projections, and continues to be a successful program. Recreation and Enrichment Programs have also continued to be successful with the community, and enrollment remains strong. The Aquatic programs came in very strong for fiscal 2007-08. Fire Hazardous Materials Fees — Fees in this category are significantly above projections due to hazardous ma- terial incidents within the city in which the City was reimbursed. Final year-end receipts are $206,006, which is 171.7% of projections. This is not a fee that can be easily forecast due to the unknown number of incidents that may occur in a given fiscal year. Ambulance Billings — Ambulance Billings through May 2008 were only 74.6% of adjusted budget. Final year-end receipts show this revenue at 102.1% of adjusted budget, which is the first time since 2001-02 this revenue has met or exceeded projections. A large accrual from receipts received in July and August helped push this cate- gory above projections. Transport fees are set by LA County, and the City is not able to increase these fees. Charges for Services* 2006-07 2007-08 July $ 295,481 $ 492,823 August 529,049 650,999 September 327,679 362,493 October 365,798 325,319 November 485,015 363,370 December 373,346 620,668 January 379,950 542,276 February 337,817 637,743 March 636,623 481,697 April 945,225 808,509 May 455,632 659,808 June 870,831 764,395 TOTAL RECEIPTS $ 6,002,446 $6,710,100 Adopted Budget $ 5,297,857 $5,813,450 $0 $1 $2 $3 $4 $5 $6 $7 $8 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Dollars in Millions 2006-07 2007-08 2007-08 Budget GENERAL FUND ONE-TIME REVENUE AND GENERAL FUND RESERVE PERCENTAGE: 11 GENERAL FUND REVENUES & EXPENDITURES: The City has recorded a large amount of one-time revenue in the General Fund during fiscal 2007-08, both from audit activity on various revenues and from significant development activities occurring within the City. Below is a list of one-time revenue receipts previously received and recorded, fiscal 2007-08 receipts, and anticipated one-time receipts for fiscal 2008-09 and 2009-10. The chart shows the percentage of the General Fund Reserve comprised of these one-time revenues. The GF Unreserved Fund Bal- ance amount does include the $9 million loan amount to the RDA per the City’s Financial Policies. It is the policy of the City not to use revenues identified as one-time funds to pay for recurring expenditures. TRANSIENT OCCUPANCY TAX—FINAL 2007-08 YEAR-END: Fiscal 2006-07 vs Fiscal 2007- 08 [Cumulative] TRANSIENT OCCUPANCY TAX — Receipts for TOT exceeded the projected budget target for fiscal 2007-08 by approximately 12.6%. Receipts are behind prior year due to a one-time receipt from a bank- ruptcy payment received by the City in December 2006. Without this one-time payment, recurring revenue receipts would still have exceeded prior year. Early predictions showed receipts lagging behind, which was mostly attributable to the Courtyard by Marriott being closed for renovation for a portion of the fiscal year, and the Four Seasons being closed in stages as it went through renova- tion. Both are now fully operational and contributed to the TOT receipts picking up through the end of the fiscal year. Airport activity did show a drop in airline passengers over the time period May—June from a year ago. The difficult economy and high fuel costs, among other increasing costs to fly, have reduced the number of air travelers and negatively impacted all travel related services, such as hotels. With the renovated hotels and summer season, Culver City was able to finish the year strong in this category. POSITIVE Major One-time Revenue Receipts and Estimated One-Time Revenues 1st payment to Warner Lot (05-06) $ 2,620,000 Documentary Tax Audit Receipts (05-06) $ 313,086 Receipts from TOT audit/other (06/07) $ 650,000 Loan Receivable from RDA (06-07) $ 505,818 Int. income from refunding Bonds (06-07) $ 500,000 Documentary Tax Audit Receipts (06-07) $ 762,400 Receipts from Cable UUT Audit (07-08) $ 106,788 Receipts in Com/Ind Dev Tax from sig- nificant development activity (07-08) $ 1,757,275 Payment of Interest for Warner Parking Lot Sale (07-08) $ 436,608 Building Permit Fee from significant de- velopment activity (07-08) $ 533,000 Estimated One-time (08-09) [includes final payment from Warner Parking Lot of $2,947,104] $ 4,497,000 Estimated One-time (09-10) $ 1,850,000 TOTAL since Fiscal 2005-06 $ 14,531,975 By Month 2006-07 2007-08 July $ 257,368 $ 264,908 August 259,448 317,587 September 106,140 119,733 October 385,400 322,622 November 250,198 231,849 December 656,644 219,428 January 215,529 98,739 February 199,451 227,660 March 91,531 216,039 April 245,619 183,689 May 271,454 272,733 June 122,733 242,762 Prior Yr Accrual (264,910) (267,833) Current Yr Accrual 267,833 364,537 TOTAL RECEIPTS $ 3,064,438 $ 2,814,453 Adjusted Budget $ 2,250,000 $ 2,500,000 $0.0 $0.5 $1.0 $1.5 $2.0 $2.5 $3.0 $3.5 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Dollars in Millions 2006-07 2007-08 2007-08 Budget 38.7% 42.1% 43.1% 41.4% 38.1% 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 2005-06 2006-07 2007-08 2008-09 est 2009-10 est % of Unreserved Fund Balance to Actual and Estimated Expenditures One-time Revenues per Fiscal Year ENTERPRISE FUND 12 REFUSE FUND ANALYSIS: REFUSE FUND—FINAL 2007-08 YEAR-END (Revenues vs. Expenditures—Cumulative) REFUSE FUND REVENUES — Final year-end revenues through June 2008 are below budget projections for fiscal 2007-08 by almost 6%. This is due to a few factors: the contract with LA City was canceled in August 2007, and budgeted receipts from this source will not be realized; construction at Westfield Shopping Mall was pushed off later than expected, and revenues anticipated during fiscal 2007-08 will only partly be recouped, with the majority being realized in fiscal 2008-09 and later; and given the soft economy, other smaller construction projects are not as abun- dant, which reduces the demand of bin service. Revenues, though, are slightly ahead of expenditures, which will as- sist the Refuse Fund in finishing the year operationally in the positive. This additional funding is necessary to build the fund balance to cover anticipated and unanticipated operating cost increases in future years, which include un- known fuel increases and the probable closure of the Puente Hills Landfill in 2013, as well as paying off the aforemen- tioned loans from the General Fund, Equipment Replacement Fund, and Innovation Fund. REFUSE FUND EXPENDITURES — Year-end expenditures through June 2008 are 88.9% of the adjusted budget. The Refuse Fund also continued loan payments to the General Fund ($97,739), Equipment Replacement Fund ($57,148), and the Innovation Fund ($8,741) for fiscal 2007-08. The outstanding balance of the total loan due as of the end of fiscal 2007-08 was $1,149,263. Significant upcoming projects in the next fiscal year include continuation of the GPS tracking project and automat- ing recycling collection at small condominium complexes; Capital projects include much needed improvements to the tipping floor, locker room, and stairwell and the Transfer Station (currently underway); and replacement of the Trans- fer Station’s truck axle scales. REFUSE REVENUES 2006-07 2007-08 July $ 583,604 $ 696,899 August 686,798 725,514 September 658,508 640,217 October 661,889 662,709 November 698,332 644,041 December 1,732,943 1,864,241 January 945,365 944,572 February 916,032 953,969 March 648,396 650,377 April 1,377,850 1,382,243 May 990,370 947,732 June 632,388 701,157 TOTAL RECEIPTS $ 10,532,475 $ 10,813,671 Adjusted Budget $ 10,410,618 $ 11,483,841 $0 $2 $4 $6 $8 $10 $12 Dollars in Millions Refuse Revenues vs. Expenditures Fiscal 2006-07 2006-07-Revenues 2006-07-Expenditures $0 $2 $4 $6 $8 $10 $12 Dollars in Millions Refuse Revenues vs. Expenditures Fiscal 2007-08 2007-08-Revenues 2007-08-Expenditures REFUSE EXPENDITURES 2006-07 2007-08 July $ 478,129 $ 556,391 August 648,021 634,977 September 847,222 797,010 October 749,271 1,023,511 November 1,080,583 902,352 December 557,613 753,808 January 904,934 907,299 February 644,729 741,930 March 912,829 1,126,061 April 756,733 983,184 May 633,647 602,328 June 1,303,758 1,219,347 TOTAL EXP $ 9,517,464 $ 10,248,197 Adjusted Budget $ 10,888,948 $ 11,524,493 Note: Depreciation amounts not included. ENTERPRISE FUND 13 TRANSIT FUND ANALYSIS: TRANSIT FUND—FINAL 2007-08 YEAR-END (Revenues vs. Expenditures—Cumulative) TRANSPORTATION FUND EXPENDITURES – Final year-end expenditures through June 2008 are 97.7% of the ad- justed budget for fiscal 2007-08. The Transportation Department continued to implement and refine some significant pro- jects during this fiscal year, which include the Automatic Vehicle Locator (AVL) program, and installation of new Universal Fare System fareboxes in all CityBuses. Culver CityBus is the first agency to be able to use the AVL system remotely in (unattended) mode where the supervisors can track the buses while in the field. Significant upcoming projects for the coming fiscal year include beginning implementation of Bus Rapid Transit program along Sepulveda Boulevard and the expansion of Line 7; providing input in the construction of the Culver City Exposition Light Rail Station; and providing input into the planning of the reconfiguration of I-10 Robertson Boulevard and National Boulevard on and off ramps. TRANSPORTATION FUND REVENUES – The lion’s share of Transportation Revenues are made up of federal, state and county funding, with various grants, farebox receipts, and other miscellaneous revenue sources making up the balance. Final year-end receipts are 7% less than budgeted projections, mainly due to the receipt of FTA funds received at the begin- ning of the year being accrued to fiscal 2006-07. This left a gap in the budgeted amount for fiscal 2007-08. Less this ac- crual, overall receipts were on target. Every year is a waiting game to see if the State will take funding from Transportation-related projects and sources. In fiscal 2007-08, the State did not divert any funds to help balance the State’s budget. It is now known the state will be taking at least $1 million in State Transportation Assistance (STA) funding from Culver City in fiscal 2008-09, with the likelihood of adding additional takeaways as fiscal 2008-09 progresses. TRANSIT REVENUE 2006-07 2007-08 July $ (104,779) $ (2,648,573) August 451,274 2,791,003 September 469,059 684,306 October 321,688 2,541,066 November 1,568,083 224,560 December 3,103,121 2,209,509 January 1,203,113 583,705 February 1,668,132 791,200 March 1,492,049 3,965,543 April 974,720 1,336,502 May 915,711 1,186,439 June 6,448,454 2,429,742 TOTAL RECEIPTS $ 18,510,625 $ 16,095,002 Adjusted Budget $ 16,025,724 $ 17,279,756 TRANSIT EXPENDITURES 2006-07 2007-08 July $ 1,006,149 $ 1,091,374 August 1,121,526 1,317,488 September 978,263 2,080,034 October 1,468,394 2,363,603 November 1,352,794 1,357,701 December 1,748,130 2,070,860 January 1,307,425 1,499,769 February 1,241,397 1,092,555 March 1,157,427 1,849,352 April 1,472,299 1,391,409 May 1,696,891 1,728,972 June 1,943,836 4,514,773 TOTAL EXP $ 16,494,533 $ 22,357,892 Adjusted Budget 21,977,438 22,892,622 -$5 $0 $5 $10 $15 $20 $25 Dollars in Millions Transit Revenues vs. Expenditures Fiscal 2007-08 2007-08-Revenues 2007-08-Expenditures -$1 $3 $7 $11 $15 $19 Dollars in Millions Transit Revenues vs. Expenditures Fiscal 2006-07 2006-07-Revenues 2006-07-Expenditures Note: Depreciation amounts not included. ENTERPRISE FUND 14 SEWER FUND REVENUE ANALYSIS: SEWER OPERATING FUND—FINAL 2007-08 YEAR-END (Revenues vs. Expenditures—Cumulative) SEWER OPERATING EXPENDITURES – Final year-end expenditures through June 2008 are approximately 80.8% of the adjusted budget for Sewer Operations. This does not include any Sewer Capital Improvement Project funding (see page 17 for further Sewer CIP information). Sewer Operating expenditures include Hyperion Debt Service of $1,701,569 for fiscal 2007-08, and payment to-date of $2,313,116 to the City of LA for the use of the Hyperion treat- ment plant facility, which was approximately $500,000 less than budgeted and, thus, contributes to the lower overall total operating expenditures. Some major accomplishments of the Sewer Division during fiscal 2007-08 were the in- stallation of nine (9) SMART covers throughout the City sewer drain system to monitor wastewater levels inside sewer lines before it becomes critical or overflows from the manholes, upgraded all the valves in the Braddock Lift Station, and maintained the emergency generators at all of the lift stations per AQMD requirements so their operating time stays within the recommended 20 hours per year. SEWER OPERATING REVENUES – Final year-end revenues through June 2008 exceeded budget projections by approximately 14.2%. This is primarily due to one-time receipts in sewer facility charges from large development oc- curring in the city, and increases to interest income higher than budgeted for in this Fund due to a higher than pro- jected fund balance. The additional funding realized is necessary to help build the fund balance for additional and unknown costs placed upon the City to comply with new Waste Discharge Requirements set by the State Water Re- sources Control Board. These costs are anticipated to escalate in coming years, and are experienced by most cities in California. SEWER OP REVENUES 2006-07 2007-08 July $ (137,711) $ (143,668) August 433,205 191,068 September 76,075 194,194 October 89,552 125,966 November 105,509 163,135 December 3,090,237 3,478,540 January 815,473 1,075,632 February 916,067 1,248,540 March 201,449 270,581 April 1,980,074 2,191,521 May 924,327 1,027,938 June 398,008 590,758 TOTAL RECEIPTS $ 8,892,265 $10,414,205 Adjusted Budget $ 8,598,900 $ 9,121,750 SEWER EXPENDITURES 2006-07 2007-08 July $ 106,920 $ 62,020 August 150,815 135,999 September 1,692,987 1,667,451 October 230,750 196,867 November 618,758 505,602 December 167,035 217,876 January 588,777 575,351 February 179,922 259,361 March 1,242,065 1,293,387 April 207,059 206,841 May 1,041,978 579,381 June 289,258 384,863 TOTAL EXP $ 6,516,328 $ 6,084,996 Adjusted Budget $ 7,823,626 $ 7,534,793 Note: Depreciation amounts not included. -$1 $1 $3 $5 $7 $9 Dollars in Millions Sewer Operating Rev vs. Exp Fiscal 2006-07 2006-07-Revenues 2006-07-Expenditure -$2 $0 $2 $4 $6 $8 $10 $12 Dollars in Millions Sewer Operating Rev vs. Exp Fiscal 2007-08 2007-08-Revenues 2007-08-Expenditure INTERNAL SVCS FUNDS 15 INTERNAL SERVICE FUND ANALYSIS: EQUIPMENT MAINTENANCE & FLEET SERVICES FUND—FINAL 2007-08 YEAR-END (Revenues vs. Expenditures—Cumulative) EQUIPMENT MAINTENANCE FUND EXPENDITURES — Significant increases in fuel costs during the year have contrib- uted to higher than expected expenditures in the Equipment Maintenance & Fleet Services division. These costs are charged out to user departments, such as public safety (police cars and fire trucks) in the General Fund, the Trans- portation Department (buses), Refuse Operations (sanitation vehicles), and Sewer Operations. The final year-end expenditures for the EM&FS Division came in slightly higher than budgeted projections by just under 0.5%. The goal of an Internal Service Fund is to break even at the end of a fiscal year. The Division has continued to maintain its high standards, and were again recognized as one of the very best fleets in North America during calendar year 2007. A major project installed, maintained, and monitored by the Division during fiscal 2007-08 is the Transit Department’s new Automatic Vehicle Locator (AVL) system, which has been installed on all City buses. EQUIPMENT MAINTENANCE FUND REVENUES — As mentioned above, the goal of an Internal Services Fund is to break even at the end of a reporting period. Current charge-outs for the Division are mostly in-line with expenditures, and year-end revenues are almost equal to year-end expenditures. Fuel costs and increases in tools and equipment have continued to go up the last few years. The Fund has run a deficit the last few fiscal years, and further analysis will be done during fiscal 2008-09 to ensure all charges are properly recorded and received. Charge-outs for fiscal 2007-08 were closely monitored to ensure receipts were received and recorded in a timely manner. EM&FS EXPENDITURES 2006-07 2007-08 July $ 300,132 $ 291,739 August 498,491 491,369 September 467,973 729,168 October 685,297 578,562 November 614,390 484,018 December 398,523 516,927 January 570,253 537,330 February 537,146 599,590 March 524,185 688,197 April 633,352 594,281 May 467,048 541,520 June 830,527 844,455 TOTAL EXP $ 6,527,317 $ 6,897,156 Adjusted Budget $ 6,369,462 $ 6,870,800 Equipment Maintenance & Fleet Services Revenue vs. Expenditure - Fiscal 2007-08 $0 $1 $2 $3 $4 $5 $6 $7 $8 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Dollars in Millions 2007-08-Rev 2007-08-Exp EM&FS REVENUES 2006-07 2007-08 July $ 487,742 $ 509,682 August 569,053 681,772 September 446,997 515,434 October 578,766 613,361 November 470,644 500,468 December 481,954 708,215 January 506,898 601,120 February 534,025 415,889 March 575,564 673,935 April 558,400 551,152 May 570,660 419,811 June 629,066 697,581 TOTAL RECEIPTS $ 6,409,769 $ 6,888,420 Adjusted Budget $ 6,212,059 $ 6,966,954 Equipment Maintenance & Fleet Services Revenue vs. Expenditure - Fiscal 2006-07 $0 $1 $2 $3 $4 $5 $6 $7 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Dollars in Millions 2006-07-Rev 2006-07-Exp Note: Depreciation amounts not included. SELF-INSURANCE FUND REVENUES — Internal service charges for the self-insurance fund are developed annually based on the projected expenses for the fiscal year and are allocated to each operating division based on a 5-year experience rating. The amount is charged monthly at relatively equal increments throughout the fiscal year. Final year-end revenues for fiscal 2007-08 are $7.67 million, which is approximately $0.5 million more than expenditures (less the transfer). This additional amount is necessary in order to build the fund balance to a sufficient level for the City to cover potentially large liability claims that may occur at any time. The fund has also been depleted because of the large transfer of funds mentioned above, of which the City is expecting not to be fully reimbursed from FEMA. The Self-Insurance Fund has struggled the last several years to maintain a healthy fund balance, and further analysis will be done in fiscal 2008-09 to ensure the fiscal stability of this extremely important fund. INTERNAL SVCS FUNDS 16 INTERNAL SERVICE FUND ANALYSIS: SELF-INSURANCE FUND—FINAL 2007-08 YEAR-END (Revenues vs. Expenditures— Cumulative) SELF-INSURANCE FUND EXPENDITURES — The primary function of the Self Insurance fund is to pay insurance and claims costs for the City’s General Liability, Workers’ Compensation, and Property programs. There are often anomalies in expenditures that result from a judgment or settlement of a particular claim. In 2007-08, a large transfer to the CIP fund ($3.6 million) was necessary to repair the Cranks Road hillside. This transfer is shown on the chart and in the table above in the month of June. The repair of the hillside was a result of a settlement with homeowners affected by a hill slide in 2005. After adjusting for that one-time expenditure, total workers’ compensation and general liability claims costs are actually less than the same point last year. Less the transfer of $3.6 million, final year-end expenditures came in at approximately $7.1 million. SIF Expenditures 2006-07 2007-08 July $ 153,900 $ 58,341 August 375,951 1,916,546 September 1,583,018 470,758 October 437,052 366,042 November 514,261 559,913 December 262,380 199,417 January 438,291 977,875 February 1,877,544 127,968 March 391,740 686,842 April 382,803 457,858 May 529,753 581,710 June 628,730 4,334,516 TOTAL EXP $ 7,575,423 $ 10,737,786 Adjusted Budget 7,442,927 11,072,650 SIF Revenues vs. Expenditures Fiscal 2007-08 $0 $2 $4 $6 $8 $10 $12 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Dollars in Millions 2007-08-Revenue 2007-08-Expenditure SIF Revenues 2006-07 2007-08 July $ 639,813 $ 582,737 August 643,878 623,861 September 690,930 622,582 October 735,469 626,233 November 633,941 624,557 December 635,328 648,313 January 632,191 630,713 February 640,449 616,418 March 682,001 655,223 April 655,314 589,086 May 659,847 613,407 June 627,433 840,446 TOTAL RECEIPTS $ 7,876,594 $ 7,673,576 Adjusted Budget 7,515,002 7,274,613 $0 $2 $4 $6 $8 $10 Dollars in Millions SIF Revenues vs. Expenditures Fiscal 2006-07 2006-07-Revenue 2006-07-ExpenditureSpecial Gas T ax 7% Grants C apital 20% Gen F und C apital 60% Other 5% A rt F und 4% A sset Seizure 4% Adjusted Budget Expended in 2007/08 Major Projects: Street & Alley Improvements $3,290,515 $2,046,296 Residential Paving, Carson St, Sepulveda Blvd Traffic Signal & Lighting Improvements $3,102,386 $720,085 Fox Hills ATSS Bridge Improvements $3,252 $2,240 Pedestrian Bridge Landscaping Parking Improvements $88,690 $160 Parking Meter Repair/Replacement Community Improvements $1,325,258 $374,769 Art Fund Projects Parks & Park Facility Improvements $1,608,308 $716,873 Skate park, Dog park, Culver West park Police & Fire Improvements $6,171,927 $1,237,696 Fire Station #3, CAD/RMS/MDT, Firing Range Sewer & Storm Drain Improvements $6,329,118 $3,422,573 Blackwelder/Smiley, Cranks Rd, Drakewood Ave Other Facility & Equipment Improvements $5,235,895 $3,177,596 Cranks Slope Repair, Other City Bldg Repairs Total Budget Funding Source Expended in 2007/08 Expected Completion 1. Fire Station #3 $6,527,000 54% - Gen Fund Capital 46% - RDA Bond $221,030 $2,109,400 Dec. 2008 2. Cranks/Tellefson Hill Slide Repair $3,695,580 100% - Self Insurance Fund ($$ trsfrd to Gen Fund Cap) $2,978,540 Aug. 2008 3. Fox Hills Area Traffic Signal Synch Project $2,033,500 73% - Grants Capital 11% - Special Gas Tax 9% - Developer Mitigation 7% - Gen Fund Capital $482,368 $50,367 $0 $0 June 2009 4. Public Safety CAD RMS MDT Project $1,642,098 100% - Gen Fund Capital $887,595 Nov. 2008 go-live 5. Residential Overlay (Street paving) $1,512,600 53% - Gen Fund Capital 20% - Grants Capital 18% - Sewer Fund 9% - Special Gas Tax $961,691 $299,221 $308,835 $143,390 Completed June 2008 CAPITAL PROJECTS 17 CAPITAL PROJECTS: TOP 5 CAPITAL PROJECTS (by total budget) CAPITAL IMPROVEMENT EXPENDITURES BY CATEGORY NOTABLE ACTIVITY: Many significant capital projects are continuing to move forward, including Fire Station #3, the Public Safety CAD/RMS/MDT pro- ject, and the Residential Overlay Program. Work on Phase I of the Residential Overlay Program was completed by May 2008 and Public Works/Engineering is moving forward with additional street paving projects using the first round of Prop 1B bond funds from the state (Phase II). The City anticipates another allocation of Prop 1B funds in FY 2008/09, which will continue to help catch up on some of the street paving backlog and address some deferred maintenance issues. MAJOR CIP FUNDING SOURCES Total = $27,155,349 OTHER FUNDS 18 OTHER FUND ANALYSIS: FUND ANALYSIS FOR OTHER FUNDS—FINAL 2007-08 YEAR-END: PARKING MAINTENANCE FUND — Final year-end revenue receipts through June 2008 are 103.8% of budgeted projections and exceeded budgeted projections by almost $36,000. Ap- proximately $780,000 of Parking Maintenance revenues are transferred to the General Fund each year to pay for street related general maintenance work. This fund has continued to meet or exceed budgeted projections for the last sev- eral years. On-going filming on City streets has also contributed to the continued viability of this fund. Expenditures (other than transfers) can be found in the CIP section on Page 17. OPERATING GRANTS FUND — Grants operating revenue receipts are comparable to Grant operating expenditures through June 2008. The Accounting Division has done an outstanding job working with departments/divisions who oversee grant funded projects, to ensure the City properly follows grant policies and requirements, meets reporting deadlines, and ensures the City is reimbursed in a timely manner. CAPITAL GRANTS FUND — Several years ago the City’s Capital Grants Fund had several million dollars in outstanding grants reimbursements. Through diligent oversight from Account- ing and staff in various departments who oversee these grants, this balance has been cleaned up, and is now regularly reviewed to ensure the City stays in compliance with all grant spending requirements and is reimbursed on a regular basis. It is also the policy of the City not to appropriate any Capital Grant funds unless a signed letter authorizing the receipt of the grant funds from the authorizing agency has been received. This has helped keep this fund in good shape, and ensures the City is reimbursed in a timely manner. EQUIPMENT REPLACEMENT FUND (ERF) — The ERF Fund continues to maintain a healthy balance, and is able to fund emergency replacements when needed. During fiscal 2007-08, approximately $2.8 million was budgeted for replacement vehicles, including six (6) Refuse side-loaders and fifteen (15) Public Safety vehicles. Funding is reimbursed to the Fund by Departments through an ?amortization? schedule that ensures replacement funding for vehicles at the end of their useful lives. Funding is collected and recorded on a monthly basis. SPECIAL GAS TAX (HIGHWAY USERS TAX) — The state deferred payment of cities Gas Tax payments beginning in April 2008, and kept its promise of paying back cities the withheld funds in September, not including interest. Because of the timing of receipt of this refunded money, it has been re- corded in fiscal 2008-09 instead of fiscal 2007-08. Culver City’s portion of the deferred Gas Tax for fiscal 2007-08 is approximately $253,568. Final year-end receipts for fiscal 2007-08 are $525,213, or 69.5% of adjusted budget. This fund would have met the budget projection if the monies were received in a timely manner. Fiscal 2008-09 will show an increase due to the pay-back amount. Gas Tax is received from the 18¢ paid on each gallon of gasoline. When the price of gasoline goes up, this amount stays constant and can only be changed per legislative action. It has remained this amount since 1994. Page 17 identifies some CIP projects currently funded with Gas Tax funds. ARTS IN PUBLIC PLACES — Receipts for Arts in Public Places did not meet projections due to anticipated receipts for this year being received at the tail-end of the prior fiscal year. This fund continues to maintain a strong fund balance, and new development activity in the City has helped maintain it. If a developer elects not to place artwork on a new site or have the building architecture considered art for fulfilling the purposes of the City’s public art requirement, they can pay up to 1% of the total building cost into the Art Fund. This funding is a special revenue source and can only be used for Public Art purposes. No funding is ever appropriated above the amount available. PARKS FACILITY FUND (QUIMBY FEES) — Park Facility Funds came in much higher than anticipated, and final year-end figures are $112,011, or 280% of current budget projections. This is a special revenue that can only be used for parks related projects. Parks Facility Fees are received on new residential development of four or more units. With some of the mixed use developments occurring in the city, there is potential for further receipts coming in under this category. The current economic slowdown, though, may place a damper on this much needed capital funding source just when it was beginning to come back to life. The last few years have only seen this category in the $40,000 range, and previous to this, anywhere from $4,200 to $19,000 annu- ally since 2000. NORMAL NORMAL NORMAL NORMAL NEGATIVE NEGATIVE POSITIVE FINANCIAL FINANCIAL MONITORING MONITORING REPORT REPORT CURRENT MONTH YEAR TO DATE PAGE Notable News and Activity Page 2 Fund Balances Available for Projects and Programs Page 3 Unrestricted Funds Revenues and Expenditures Summary NEGATIVE BELOW BUDGET NEGATIVE BELOW BUDGET Page 3 Expenditure Overview NORMAL NORMAL Page 4 Expenditures by Category NORMAL NORMAL BELOW BUDGET Page 4-6 Revenue Overview NORMAL NEGATIVE Page 7 Assessed Valuations NORMAL POSITIVE Page 8 Tax Increment Revenue Overview NORMAL NORMAL Page 8 Tax Increment by Project Area NORMAL NORMAL Pages 8-9 Other Revenues MIXED MIXED Page 10-11 Housing Funds Housing Fund (Expenditures/Revenues) NORMAL NORMAL Page 12 Tax Exempt Bond Fund Tax Exempt Bond Fund (Expenditures/Revenues) NORMAL NORMAL Page 13 PERFORMANCE AT A GLANCE FINAL YEAR-END FY 2007-08 POSITIVE or BELOW BUDGET = Revenues greater than 5% ABOVE Adjusted Budget; or Expenditures greater than 5% BELOW Adjusted Budget NORMAL = Actual within 5% of Adjusted Budget NEGATIVE or EXCEED BUDGET = Revenues greater than 5% BELOW Adjusted Budget; or Expenditures greater than 5% ABOVE Adjusted Budget MIXED or WARNING = Category contains both positive and negative financial results; or Financial activity currently normal; however, there are potential factor(s) that may impact future financial activity REDEVELOPMENT AGENCY FINAL YEAR-END SUMMARY RDA Finishes 2007-08 Much Like They Began The Year The Redevelopment Agency finished fiscal year 2007-08 in a similar financial position in which it ended fiscal year 2006-07, land rich — cash poor. Despite opening escrow on the sale of a number of parcels, in all cases, the pur- chaser has had difficulty securing project financing due to the current state of the economy. As a result, proceeds from those land sale deals will be delayed into FY 2008-09 and possibly into FY 2009-10. In addition, a few out- standing eminent domain cases were finalized in FY 2007- 08. Consequently, despite strong tax increment revenues (approx. 10% better than the FY 2006-07), the RDA spent about $3.2 million more than it took in during FY 2007-08 and made an interest only payment on the $9 million loan from the City. Entering the 2009-10 budget process, the RDA will be re- viewing all projects and programs that were approved dur- ing the 2008-09 budget process and make any necessary adjustments to ensure that the fiscal health of the RDA is maintained through the current economic downturn. 2 RDA Final Year End Unrestricted Funds Beginning Cash Balance (6.30.07): $13,700,000 2007-08 Revenues: $36,000,000 2007-08 Expenditures: $39,200,000 Ending Cash Balance (6.30.08): $10,770,000* Tax Exempt Bonds Beginning Cash Balance (6.30.07): $24,900,000 2007-08 Revenues: $1,050,000 2007-08 Expenditures: $4,100,000 Ending Cash Balance (6.30.08): $21,850,000* Housing Set Aside Fund Beginning Cash Balance (6.30.07): $15,141,000 2007-08 Revenues: $6,900,000 2007-08 Expenditures: $3,600,000 Ending Cash Balance (6.30.08): $19,000,000* *Note: Due to some balance sheet adjustments (e.g. depreciation, capitalized assets, long term debt, etc.), Beginning Balance + Revenues - Expenditures may not exactly equal the Ending Balance. RDA BUDGET REPORT 3 CASH AVAILABLE for CAPITAL INVESTMENT FUND BALANCE AVAILABLE FOR PROJECTS/PROGRAMS: TOTAL UNRESTRICTED REVENUES and EXPENDITURES: (cumulative) In FY 2007-08, expenditures exceeded revenues by approximately $3.2 million. This is due primarily to one-time costs related to settlement of a few eminent domain cases. As a result, the estimated available cash balance has been reduced to approximately $10.7 million. Total expenditures in FY 2007-08 were approximately $16 million LESS THAN total expenditures in FY 2006-07. The reduction in ex- penditures is a result of significantly less land acquisition activity; about $23 million was expended on land acquisition in FY 2006-07 vs. less than $6 million in FY 2007-08. Total revenues in FY 2007-08 were also approximately $12 million less than FY 2006-07 revenues. Again, this was due primarily to $12 million in land sale proceeds being received in FY 2006-07 while no land was sold in FY 2007-08 (although a number of properties are currently in escrow). More detail on revenues and expenditures can be found in the following sections of this report. Actual Actual Estimated Estimated Ending Ending Ending Ending 2006-07 2007-08 2008-09* 2009-10* Unrestricted Funds $13,700,000 10,770,000 2,040,000 7,900,000 Housing Set Aside $15,141,000 19,000,000 14,000,000 12,500,000 Tax Exempt Bonds $24,900,000 21,850,000 8,750,000 3,400,000 The ending balance for each fund represents the approximate amount of cash capital available for investment in new projects or pro- grams. The estimated balance for unrestricted funds as of June 30, 2008 (i.e. tax increment, parking revenues, theatre revenues, etc.) is approximately $11.3 million. The ending balances above include an interest only payment on the $9 million loan from the City made in FY 2007-08, and assumes the $9 million principal and $500,000 interest payment is made in FY 2008-09. The estimated ending balance for FY 2008-09 and FY 2009-10 assumes that 100% of the adjusted budget is expended and includes the $2.25 mil- lion ERAF obligation. The ending balance in FY 2009-10 rebounds as an infusion of land sale proceeds is expected as the Agency sells off some land position. The Agency Board is currently reviewing a Comprehensive Housing Strategy to identify viable projects to begin using the Housing funds significant cash balance. During the FY 2008-09 and 2009-10 budget process, the RDA pro- grammed most of its remaining tax exempt bond funds on various public improvement projects throughout the City. NEGATIVE Revenues & Expenditures FY 2006-07 $(10) $- $10 $20 $30 $40 $50 $60 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Millions Revenues Expenditures ($5) $0 $5 $10 $15 $20 $25 $30 $35 $40 $45 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Dollars in Millions 2007-08 Revenue 2007-08 Expenditure 2007-08 Revenue 2007-08 Expenditure Jul $ (395,530) $ (49,291) Aug 656,599 (22,670) Sep 368,304 4,950,808 Oct 415,202 282,921 Nov 3,676,946 13,615,577 Dec 9,651,356 5,526,037 Jan 1,965,506 1,602,987 Feb 3,912,079 1,441,268 Mar 1,378,423 1,279,876 Apr 6,434,458 2,277,211 May 4,831,876 4,804,443 Jun 3,042,264 3,488,150 TOT Y-T-D 35,937,483 39,197,317 Adj Budget 33,006,077 42,969,759 RDA BUDGET REPORT 4 UNRESTRICTED FUND EXPENDITURES: TOTAL UNRESTRICTED FUNDS EXPENDITURES: (cumulative) ADMINISTRATIVE EXPENSES: (cumulative) EXPENDITURE ANALYSIS BY CATEGORY: Final Unrestricted Funds expenditures were 91% of the adjusted budget for FY 2007-08. Expenditures in FY 2007-08 were well below FY 2006-07 because there was significantly more land acquisition activity in FY 2006-07 (about $23 million) than in FY 2007-08 (about $6 million). Redevelopment expenditures are relatively sporadic on a monthly basis as there are often spikes in expenditures due to land acquisition costs or other one-time development related costs. Generally, the month of November has the most cash going out the door as that is when the annual debt service payments for RDA bonds are due (i.e. principal and interest payments to bond holders). The following sections will provide more detail on RDA expenditures by category. The Redevelopment Agency reimburses the City for all City staff whose position is impacted by RDA activities. This includes all Redevelopment, Economic Development, and Cultural Affairs division staff as well as partial reimbursement for positions in Planning, Building Safety, Code Enforcement, City Attor- ney, Police, Fire, PRCS, Public Works, etc. Administrative expenditures also include operating expenses and contract costs for RDA activities. Reimbursement expenses for staff positions are prorated and transferred from the Agency to the City on a monthly basis. Due to salary savings from vacant positions and savings in operating expenses, Adminis- trative Expenses were 87% of the adjusted budget for FY 2007-08. BELOW BUDGET BELOW BUDGET 2006-07 2007-08 Jul $ (500,262) $ (49,291) Aug 5,714,833 (71,962) Sep 6,156,537 4,878,846 Oct 13,292,841 5,161,767 Nov 30,259,301 18,210,871 Dec 36,811,212 23,736,907 Jan 38,336,172 25,339,894 Feb 39,887,799 26,781,162 Mar 42,569,594 28,061,038 Apr 44,693,289 30,338,249 May 50,244,075 35,651,649 Jun 55,909,687 39,197,317 TOT Y-T-D 55,909,687 39,197,317 Adj Budget 47,108,917 42,726,758 Total RDA Expenditures $(10) $- $10 $20 $30 $40 $50 $60 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Millions 2006-07 2007-08 2007-08 Budget 2006-07 2007-08 Jul $ (329,591) $ (118,918) Aug (193,330) (95,447) Sep (174,226) (8,262) Oct (51,090) 145,569 Nov (19,424) 159,887 Dec 1,853,377 2,408,226 Jan 1,934,748 3,004,974 Feb 2,008,641 3,466,404 Mar 2,129,162 3,922,847 Apr 2,170,580 4,360,913 May 2,328,065 4,800,838 Jun 4,891,866 5,354,653 TOT Y-T-D 4,891,866 5,354,653 Adj Budget 5,993,953 6,126,231 Administrative Expenses $(1) $- $1 $2 $3 $4 $5 $6 $7 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Millions 2006-07 2007-08 07-08 Budget RDA BUDGET REPORT GENERAL OBLIGATION EXPENSES: (cumulative) UNRESTRICTED FUNDS EXPENDITURE ANALYSIS: Ongoing programs and projects expenses at year end came in at approximately 54% of the ad- justed budget for FY 2007-08. Ongoing programs include expenses for economic development projects, real property management (i.e. management of the parking structures and parking lots), and cultural affairs pro- grams such as the Culver City Music Festival, Farmers’ Market, Music in the Chambers, and the Art of… Speaker Series. Due to the vacancy in the Economic Development Manager position for most of FY 2007-08, economic development was unable to complete much of their work program and therefore did not expend a significant portion of the program budget. The Economic Development Manager position has since been filled and getting back on track with implementation of the work program. Also, management costs for the three downtown parking structures (Cardiff, Ince, and Watseka) were signifi- cantly under budget (a combined $700,000 under budget). This is because the full cost of the contract is budgeted, however, the revenues from transient parking that is collected by Modern Parking each month is deducted from their monthly fee and the RDA pays any difference. This system is being reviewed and a change will be proposed by staff when the current con- tract with Modern Parking expires in June 2009. ONGOING PROGRAMS/PROJECTS: (cumulative) 5 General Obligation (GO) expenses were approximately 98% of the adjusted budget for FY 2007-08. GO expenses are payments that the Agency is legally required to make. The largest GO expense is debt service on RDA bond issues (i.e. principal and interest payments to bond holders), which is paid each year in November. Other GO expenditures include statutory pass through payments, transfers to the Housing fund for the 20% statutory housing set aside, loan repayment to the City, and ERAF payments (not applicable in FY 2007-08). The RDA paid approximately $500,000 in interest to the City in FY 2007-08. A $2 million principal payment was made in July 2008 (fiscal 2008-09). The remaining principal balance on the original $9 million loan from the City is $7 million. NORMAL BELOW BUDGET 2006-07 2007-08 Jul $ (177,364) $ 81,994 Aug - - Sep 625 1,334,270 Oct 1,219,096 1,334,270 Nov 11,613,389 11,982,956 Dec 13,893,776 14,920,376 Jan 14,295,281 15,313,428 Feb 15,207,512 16,187,369 Mar 15,452,088 16,925,915 Apr 16,612,960 18,537,553 May 21,820,981 23,249,932 Jun 22,684,654 24,530,550 TOT Y-T-D 22,684,654 24,530,550 Adj Budget 21,278,143 25,131,668 General Obligation Expenses $(5) $- $5 $10 $15 $20 $25 $30 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Millions 2006-07 2007-08 2007-08 Budget 2006-07 2007-08 Jul $ 44,193 $ (12,367) Aug 127,178 18,214 Sep 359,119 126,080 Oct 444,875 237,704 Nov 480,468 311,940 Dec 951,317 608,611 Jan 1,059,659 780,220 Feb 1,138,820 862,875 Mar 1,223,121 941,360 Apr 1,256,206 1,061,808 May 1,407,058 1,196,300 Jun 2,222,889 1,693,106 TOT Y-T-D 2,222,889 1,693,106 Adj Budget 3,048,870 3,118,088 Ongoing Programs/Projects $(1) $- $1 $2 $3 $4 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Millions 2006-07 2007-08 2007-08 Budget RDA BUDGET REPORT CURRENT PROJECTS: (cumulative) UNRESTRICTED FUNDS EXPENDITURE ANALYSIS: Expenditures on Potential Projects at year end were approximately 95% of the adjusted budget for FY 2007-08. Potential Projects include expenses for opportunity sites as they arise in various parts of the City, such as potential sites on Mid-Washington, Selmaraine/Sepulveda, Jefferson Blvd and the Hayden Tract. A majority of the expenses are on appraisals, exploratory studies, and other expenses related to evaluating a potential redevelopment site. The primary expenditure in FY 2007-08 was exercising an option ($1.1 million) to purchase the remainder of the Pleasantview site on Washington Blvd as a possible future redevelop- ment site. POTENTIAL PROJECTS: (cumulative) 6 Expenditures on Current Projects at year end were approximately 91% of the adjusted budget for FY 2007-08. Current Projects are projects that are currently underway, such as Washington/Centinela, Washington/National, and the Baldwin Motel. Property acquisition costs are also included in the Current Projects category and makes up the primary expenditure. Approximately $6 million was spent on property ac- quisition in 2007-08, primarily to settle the Agency’s existing eminent domain cases. There was a significant reduction in property acquisition from the FY 2006-07 with almost $23 million in property acquisition costs. This expenditure category had the most significant drop from last fiscal year. 2006-07 2007-08 Jul $ (37,500) $ - Aug 5,818,485 4,846 Sep 189,964 3,421,487 Oct 5,708,941 16,296 Nov 6,504,908 2,311,864 Dec 1,919,324 37,880 Jan 929,874 376,231 Feb 481,692 23,242 Mar 2,231,702 6,402 Apr 880,326 107,059 May 28,978 26,604 Jun 1,411,892 83,325 TOT Y-T-D 26,068,586 6,415,236 Adj Budget 16,547,177 7,086,497 Current Programs/Projects $(5) $- $5 $10 $15 $20 $25 $30 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Millions 2006-07 2007-08 2007-08 Budget BELOW BUDGET BELOW BUDGET 2006-07 2007-08 Jul $ - $ - Aug - 425 Sep 70 425 Oct 70 1,595 Nov 70 1,595 Dec 8,620 7,321 Jan 12,488 72,668 Feb 17,138 72,668 Mar 17,833 72,668 Apr 25,827 72,668 May 31,277 72,668 Jun 41,692 1,203,772 TOT Y-T-D 41,692 1,203,772 Adj Budget 240,774 1,264,274 Potential Projects $- $200 $400 $600 $800 $1,000 $1,200 $1,400 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Thousands 2006-07 2007-08 2007-08 Budget RDA BUDGET REPORT 7 UNRESTRICTED FUNDS REVENUE ANALYSIS TOTAL UNRESTRICTED FUNDS REVENUE THROUGH YEAR-END: Fiscal 2006-07 vs Fiscal 2007-08 (cumulative) UNRESTRICTED REVENUES — Revenues for FY 2007-08 were approximately $36 million as compared to $48 million in revenues last year. The reduction in revenue is primarily due to about $12.5 million in one-time land sale proceeds that were realized in FY 2006-07 (i.e. Lindblade properties, 4043 Irving Pl, and 9900 Culver Blvd) as well as some revenue sources that declined in FY 2007-08 (i.e. Pacific Theaters and Parking revenue). After adjusting out the one-time land sale proceeds and other one-time adjustments*, FY 2007-08 revenues were about $1.5 million more than FY 2006-07 revenues. This is mainly a result of continued strong tax increment growth ($2.8 million in- crease in TI receipts). However, poor receipts from Pacific Theaters, parking revenues (resulting from Writers’ strike and decreased studio production), and interest income offset some of the growth in TI for a total net in- crease of $1.5 million. Land Sale Proceeds — Despite opening escrow on two properties, the RDA did not sell any land in FY 2007- 08. However, three pieces of property are currently slated to be sold to developers, including Parcel B and the Baldwin Motel site and Washington/Centinela. Due to the current state of the credit markets, it is unclear at this time when the developers will be able to secure financing for their project and when the Agency will receive the proceeds for these land sales. Staff will continue to update the Agency Board on the status of these projects. City Loan to the Agency — In FY 2006-07, the Redevelopment Agency found itself in a land rich, cash poor situation. Some of the Agency owned land was purchased with tax exempt bond proceeds, which restricted the use of that land to public improvements (e.g. parkland, parking lots, or infrastructure improvements). In order to allow more flexibility for the use and disposition of that land, the RDA needed to replace the tax exempt bond funds with unrestricted tax increment funds. Since the RDA did not have that amount of cash on hand, the City loaned the Redevelopment Agency $9 million to replace the tax exempt bond funds with unrestricted funds. This loan was made at a 6.5% interest rate, compounded annually. In FY 2007-08, a $500,000 interest payment was made and a $2 million principal payment was made in July 2008. The current outstanding balance is $7 million, plus all applicable interest. SUMMARY — The RDA experienced approximately 10% growth in gross tax increment receipts in 2007-08. However, due to a number of underperforming revenue sources (such as Pacific Theaters and parking revenues) and no land sale proceeds, FY 2007-08 revenues were well below FY 2006-07 revenues. Despite the sluggish economy, healthy tax increment growth is expected to continue over the next few years as current development projects such as the Westfield Shopping Mall renovation and improvements at Sony studios are completed and hit the tax rolls. Addition- ally, expected land sale proceeds in 2008-09 and 2009-10 should give the Redevelopment Agency an infusion of cash to pay back the loan to the City or initiate new projects. *One-time adjustments = recording of $1.5 million Akselrod note and $500,000 adjustment for FY 2005-06 TI receipts. 2007-08 2006-07 Jul $ (395,530) $ 7,104 Aug 656,599 612,417 Sep 368,304 386,765 Oct 415,202 2,755,046 Nov 3,676,946 9,158,540 Dec 9,651,356 8,717,465 Jan 1,965,506 2,007,880 Feb 3,912,079 7,308,540 Mar 1,378,423 1,460,304 Apr 6,434,458 5,198,605 May 4,831,876 5,185,795 Jun 3,042,264 5,536,717 TOT Y-T-D 35,937,483 48,335,178 Adj Budget 33,006,077 28,192,644 RDA Total Revenues $(10) $- $10 $20 $30 $40 $50 $60 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Millions 2006-07 2007-08 Budget RDA BUDGET REPORT 8 UNRESTRICTED FUNDS REVENUE ANALYSIS (continued): TAX INCREMENT: Fiscal 2006-07 vs Fiscal 2007-08 (cumulative) ASSESSED VALUATIONS: Fiscal 2005-06, 2006-07, and 2007-08 The Budget projection for fiscal 2007-08 was increased at mid-year by $2.9 million from $26.8 million to $29.6 million based on the updated Assessed Valuation report from the County Asses- sor’s office received annually in August. The increase in the Redevelopment Project Areas per the County Assessor’s report was a little more than 12% (actual receipts only increased by approx. 10% because statutory pass through pay- ments and administrative fees to Los Angeles County are deducted from the gross TI payment sent by the County). Tax Increment growth is expected to remain healthy in FY 2008-09 and FY 2009-10 due to development currently be- ing constructed (e.g. Westfield Shopping Mall renovation and Sony parking lot) as well as development currently in the pipeline, such as 9900 Culver Blvd, Parcel B, and Washington/Centinela. However, due to the current state of the credit markets, which is now beginning to have a significant impact on construction financing, TI receipts are expected to slow by late FY 2009-10 and FY 2010-11. Per Proposition 13 passed by California voters in 1978, a property’s value is assessed when it is purchased or sig- nificantly remodeled. Once the assessed value is established, it cannot increase by more than 2% per year until the property is sold or remodeled, at which time it is re-assessed. The property owners’ annual property tax is calcu- lated as 1% of the assessed value. The Redevelopment Agency receives tax increment based on the increase in assessed value over a base year (base year = the year that a particular project area was established). The table below shows the total assessed values and % change from the prior year for each project area for the three most recent years. 2005-06 % change prior year 2006-07 % change prior year 2007-08 % change prior year Project Area 1 $696,654,645 2.86% $741,987,037 6.51% $899,729,335 21.26% Project Area 2 $528,439,077 7.16% $576,349,621 9.07% $636,801,158 10.49% Project Area 3 $1,220,605,913 5.03% $1,284,738,339 5.25% $1,375,974,122 7.10% Project Area 4 $480,947,058 2.30% $513,029,124 6.67% $590,320,656 15.07% $2,926,646,693 4.42% $3,116,104,121 6.47% $3,502,825,271 12.41% NORMAL Total All Component Areas 2006-07 2007-08 July $ - $ - August - - September - - October - - November 2,471,416 3,084,339 December 10,886,956 12,665,357 January 12,417,929 14,215,606 February 16,035,595 17,853,213 March 17,003,194 18,975,948 April 22,029,031 25,022,879 May 26,927,057 29,707,362 June 28,460,085 31,387,713 TOTAL $ 28,460,085 $ 31,387,713 Adj Budget $ 24,220,000 $ 29,593,000 Tax Increment - All Project Areas $- $5 $10 $15 $20 $25 $30 $35 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Millions 2006-07 2007-08 2007-08 Budget RDA BUDGET REPORT 9 UNRESTRICTED FUNDS REVENUE ANALYSIS (continued): TAX INCREMENT by COMPONENT AREA: Fiscal 2006-07 vs Fiscal 2007-08 (cumulative) The above graphs illustrate the magnitude of tax increment gener- ated from each of the four project areas. Project Areas 1 and 3 gen- erate the most tax increment, with FY 2007-08 receipts of $9.1 million and $13 million, respectively. Pro- ject Area 1 is comprised primarily of the Fox Hills area (seen here in blue). Project Area 3 is com- prised primarily of the Hayden Tract and Downtown areas (seen in red). Project Area 2 is com- prised primarily of the Jeffer- son/Overland intersection (seen in yellow) and Project Area 4 is comprised primarily of West Washington Blvd and Sepulveda Blvd. Project Area 1 $- $2 $4 $6 $8 $10 $12 $14 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Millions 2006-07 2007-08 2007-08 Budget Project Area 2 $- $2 $4 $6 $8 $10 $12 $14 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Millions 2006-07 2007-08 2007-08 Budget Project Area 3 $- $2 $4 $6 $8 $10 $12 $14 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Millions 2006-07 2007-08 2007-08 Budget Project Area 4 $- $2 $4 $6 $8 $10 $12 $14 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Millions 2006-07 2007-08 2007-08 Budget RDA BUDGET REPORT 10 UNRESTRICTED FUNDS REVENUE ANALYSIS (continued): REVENUE SOURCES: Fiscal 2006-07 vs Fiscal 2007-08 (cumulative) Pacific Theatre 2006-07 2007-08 July 91,770 - August 128,562 - September 163,466 248,471 October 94,202 125,539 November 20,343 1,786 December 128,939 1,786 January 137,587 112,184 February 153,384 182,126 March 147,478 1,786 April 47,719 - May 66,962 3,572 June 506,545 196,961 TOTAL 1,686,957 874,211 Adj. Budget 800,000 1,200,000 Farmers' Market 2006-07 2007-08 July 7,896 11,234 August 13,160 14,155 September 10,087 10,426 October 9,773 10,461 November 10,806 11,378 December 3,918 4,522 January 7,713 5,118 February 7,894 10,472 March 8,694 9,330 April 9,755 12,579 May 13,139 10,919 June 11,573 11,100 TOTAL 114,408 121,694 Adj Budget 100,000 105,000 Pacific Theaters fell short of the $1.2 million budget projection by almost $325,000. There were a number of factors that impacted performance. A lack of quality film product throughout the entire industry and a sluggish economy caused there to be two months in which the Theater did not make enough revenues to fulfill all obligations (including operations, taxes, and debt service). In those months, the Agency did not receive any revenue and had to pay out to cover those obligations. Additionally, Oliver McMillan had to increase withholdings related to the annual property tax payment to the County of Los Angeles due to a higher than expected initial assessed value. OM is appealing this assessed value and is confident that the assessment will be re- evaluated. Any adjustments will be reflected in FY 2008-09. NEGATIVE The Farmers’ Market received almost $115,000 and exceeded the budget projection by almost 9% ($10,000). The Farmers’ Market continues to be a popular and successful downtown event. POSITIVE Pacific Theatre $0 $450 $900 $1,350 $1,800 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Thousands 2006-07 2007-08 2007-08 Budget $- $20 $40 $60 $80 $100 $120 $140 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Thousands 2006-07 2007-08 2007-08 Budget Farmers Market Income RDA BUDGET REPORT 11 Unrestricted Funds Revenue Analysis (continued): OTHER REVENUE SOURCES (cont.): Fiscal 2006-07 vs Fiscal 2007-08 (cumulative) LAND SALE PROCEEDS — The FY 2007-08 adopted budget included approximately $11.5 million in land sale proceeds in anticipation of the sale of Parcel B, Baldwin Motel, and Pleasantview sites. At mid-year, the budget was reduced to include only the sale of the Parcel B site for $5.9 million. Escrow for Parcel B was originally scheduled to close prior to June 30, 2008; however, with the tightening of the credit market, close of escrow has been delayed, but is expected to close prior to June 2009. The state finally adopted a budget 85 days into the new fiscal year. The state is honoring its constitutional requirement to not take revenues from cities to balance their own budget. How- ever, the state is diverting $350 million in redevelopment agency revenues in the form of an ERAF shift. Ba- sically, this requires redevelopment agencies to pay into an Education Augmentation Fund to fund public education, which lowers the amount that the state is required to fund. Culver City Redevelopment Agency’s ERAF pay- ment in FY 2008-09 will be approximately $2.25 million. At this point, this is only a one-year payment. How- ever, due to the severe budget shortfalls being experienced by the state in the current fiscal year, it is a very realis- tic possibility that the ERAF shift will be extended or even made permanent. Staff will keep the Agency Board ap- prised of new developments as information becomes available. Parking 2006-07 2007-08 July 75,728 101,177 August 78,021 121,649 September 127,398 76,377 October 101,623 92,723 November 101,395 116,765 December 124,093 67,513 January 90,620 108,650 February 93,334 46,103 March 127,719 129,622 April 82,842 43,353 May 104,235 80,256 June 77,747 106,047 TOTAL 1,184,755 1,090,235 Adj Budget 832,000 943,120 Parking exceeded budget projections by approx. $150,000 (16%), but fell about $100,000 short of last year’s year end receipts. The Writers’ Guild strike in November, December and part of January negatively impacted film parking receipts, which were more than $100,000 less than FY 2006-07 (Film Parking receipts = $172,000 in FY 06-07 vs. $66,000 in FY 07-08). POSITIVE OTHER NOTES: WARNING RDA Parking (Structures and Lots)|1010|200 400 600 800 1,000 1,200 1,400 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Thousands 2006-07 2007-08 2007-08 Budget RDA BUDGET REPORT 12 LOW/MODERATE INCOME HOUSING FUND ANALYSIS: HOUSING FUND: Revenues and Expenditures (cumulative) REVENUES — The low/moderate Income Housing funds primary revenue source is tax increment housing set aside funds. Per the state Health and Safety code, 20% of gross tax increment receipts must be set aside to sup- port low/moderate income housing programs and projects. Set aside revenues in FY 2007-08 were approxi- mately $6.3 million. EXPENDITURES — Low/moderate Income Housing expenditures were approximately 29% of the adjusted budget. Approximately $7.75 million was appropriated in 2007-08 in anticipation of initiating a few low/moderate income housing projects. However, due to the development of the Comprehensive Housing Strategy, the division was unable to begin work on any housing development projects. Of the $3.6 million expended in FY 2007-08, ap- proximately 50% was expended on housing programs (e.g. Mortgage Assistance, Shared Housing for the Elderly, and Home Security) and Debt Service. The remaining 50% was spent on administration and management activi- ties. OVERALL — For a number of years, the Housing fund has experience substantial surpluses. In FY 2007-08, the fund experienced a surplus of approxi- mately $3.3 million to increase the estimated avail- able cash balance to approx. $19 million. The Agency needs to begin to spend down this cash bal- ance before the Housing fund gets into an excess surplus situation. Currently, the Housing division is working with the Agency Board to develop a Compre- hensive Housing Strategy to plan housing develop- ment activities over the next few years. Once this strategy is finalized, the division will move forward on the identified projects. Revenues & Expenditures FY 2006-07 $- $1 $2 $3 $4 $5 $6 $7 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Millions Revenues Expenditures Revenues Expenditures 2007-08 2007-08 Jul $ 6,332 $ (52,060) Aug 33,466 114,800 Sep 21,952 87,763 Oct 87,573 82,561 Nov 705,449 52,196 Dec 1,939,384 1,114,943 Jan 422,836 234,455 Feb 747,414 290,272 Mar 338,554 238,400 Apr 1,194,032 284,597 May 960,582 280,090 Jun 478,963 915,689 TOT Y-T-D 6,936,537 3,643,706 Adj Budget 6,865,000 12,330,046 Revenues & Expenditures FY 2007-08 $(0) $1 $2 $3 $4 $5 $6 $7 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Millions Revenues Expenditures Total Budget Total Bond Funding Bond Funds Expended to Date Estimated Completion 1. Fire Station #3* (93700) $6,527,000 $3,000,000 $2,109,400 Dec. 2008 2. Washington Boulevard Realignment (93400) $2,500,000 $2,500,000 $2,500,000 Complete 3. Town Plaza (93400) $3,100,000 $3,100,000 $300,000 FY 2009-10 4. Washington/National (92620) $360,000 $360,000 $276,500 Complete RDA BUDGET REPORT 13 TAX EXEMPT BOND FUNDS FISCAL YEAR TO DATE: (cumulative) CURRENT BOND FUNDED PROJECTS REVENUES — Tax exempt bond fund revenue is primarily interest income earned on the fund balance. Just over $1 million was earned in interest in FY 2007-08. EXPENDITURES — Tax exempt bond funds are restricted and can only be used for public improvements and public infrastructure. Bond funded projects are often similar to Capital Improvement Projects as they are typically larger pro- jects that may take more than one fiscal year to complete. Typically, the entire project budget is allocated in the first year and any unspent bond funds are typically carried over to the following year. Current bond projects include Fire Sta- tion #3, Town Plaza, and the Washington Blvd realignment. All of the current bond funded projects have been completed or are scheduled for completion in FY 2008-09. During the most recent budget process, most of the remaining $20 million in bond funds was been allocated for various pub- lic improvement projects, including the General Plan update, parking improvements, area improvement plans on Washington Blvd and Sepulveda Blvd, and contributions toward the EXPO light rail project. *The total budget for Fire Station #3 includes $3 million in Agency Bond funding and $3.5 million in City funding. Revenues Expenditures 2007-08 2007-08 Jul $ 15,988 $ - Aug 36,608 - Sep 21,178 40,031 Oct 107,166 397,032 Nov 108,928 161,740 Dec 123,173 642,128 Jan 242,300 639,181 Feb 12,608 237,320 Mar 129,919 356,464 Apr 21,672 574,914 May 18,077 462,252 Jun 218,878 876,768 TOT Y-T-D 1,056,495 4,387,831 Adj Budget 400,000 8,019,086 Revenues & Expenditures FY 2007-08 $(0) $1 $2 $3 $4 $5 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Millions Revenues Expenditures