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  Consent   5.       
LAFCO
Meeting Date: 04/25/2024  

Information
SUBJECT
Review and file Fiscal Year 2023/24 Third Quarter Financial Update
RECOMMENDED ACTION
Review and file Fiscal Year 2023/24 Third Quarter Financial Update.
FISCAL IMPACT
None.
REASONS FOR RECOMMENDED ACTION
The intent of the quarterly financial report is to provide the Commission with an update on how LAFCo performed financially in the previous quarter as compared to the adopted budget and to discuss any issues as appropriate. The practice was recommended during a previous audit as an additional safeguard to ensure sound financial management, given the small size of the LAFCo staff. In accordance with LAFCo Administrative Policies and Procedures, the Commission adopts the final budget and is authorized to make adjustments as appropriate.
BACKGROUND
The LAFCo FY 2023/24 budget was adopted on May 25, 2023. During the third quarter, LAFCo remained on track with regard to both revenue and expenditures. 

REVENUES
By the end of the third quarter of FY 2023/24, LAFCo had received all of its expected revenues, with $510,555 (84.92%) from agency funding and most of the remainder using fund balance (10.70%) for our total budgeted revenue of $549,686. Revenue not anticipated in the budget and received during the third quarter included LAFCo fees of $7,617.02 (3.33%) which included processing fees for the following: a $4,900 deposit to process the Woodland Research & Technology Park (WRTP) Reorganization to the City of Woodland (LAFCo 23-07), and a final payment of $5,217.02 for processing the Northeast Industrial Area Reorganization to the City of Woodland (LAFCo 23-06), subtracting a payment of $2,500 to the Board of Equalization for annexation fees. Other minimal revenue received during the third quarter included investment earnings of $4,679.10 (1.06%). The use of fund balance does not show up as new net income in the financial reports because it's already in our fund.

EXPENDITURES
Overall, during the first half of FY 2023/24, LAFCo expended $333,333 (60.64%) of its annual budgeted costs of $549,686. LAFCo expended $302,664.57 (71.77%) of its Salary and Benefits appropriation of $421,718. LAFCo expended $27,804.31 (29.24%) of its Services and Supplies appropriations of $95,104. Some accounts under Salary and Benefits and Services and Supplies exceeded appropriations this fiscal year. Health Insurance (501130) exceeded its total appropriation by 574.28%. Staff have contacted the payroll division of Human Resources for an explanation of the charges but have not yet heard back. Staff did not assume an appropriation for Food (510030) during this fiscal year. However, with the unexpected scheduling of the Leadership and Priority Setting Session for the February 2024 meeting, the account was used in the amount of $291.91 to provide breakfast and lunch for the Commission and staff during this half-day event. Office Expense-Postage (510111) exceeded its total appropriation by 220.31% due to the large amount of mailing out hearing notices to landowners and voters for The Promenade Reorganization to Davis (LAFCo 23-05) and the WRTP Reorganization to Woodland (LAFCo 23-07).  

Attached Budget Reports
The Budget Status Summary (Attachment A) is a one-page summary of the budget. The General Ledger Report (Attachment B) shows a running balance of all transactions, including both revenue and expenditure amounts.



 
Attachments
ATT A-FY23-24 3rd QTR Budget Status Summary
ATT B-FY23-24 3rd QTR General Ledger

Form Review
Inbox Reviewed By Date
Christine Crawford Christine Crawford 04/17/2024 01:53 PM
Form Started By: Terri Tuck Started On: 04/16/2024 02:21 PM
Final Approval Date: 04/18/2024

    

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