FY24 Adopted Budget

7. Transfers Out - This category is budgeted at $8.87 million in fiscal year 2024. One of the largest transfers out is from the transit property tax levy of $4.2 million that is being transferred into the Transit Fund. Other major transfers out include approximately $3.1 million to the Capital Projects Fund and $1.0 million to the Affordable Housing Fund. The General Fund borrowed $2.1 million from the Landfill Cell Replacement Reserve during fiscal year 2019 to help construct portions of the new Public Works Facility. Principal payments are reflected as a transfer out. The following is a summary of that loan:

Principal Outstanding as of 6/30/23

Total Payment FY24

Final Payment

FY24 Principal

FY24 Interest

Loan

Date

Loan Amount

2019 Public Works Facility Loan

6/30/2019

$ 2,100,000

2036

$ 1,686,629

$139,759

$ 115,178

$ 24,581

C. Fund Balance It is part of the City’s Financial & Fiscal Policies that the General Fund’s unassigned fund balance shall not fall below twenty-five percent (25%) of total revenues and transfers in and not grow greater than thirty-five percent (35%). This policy also states that fund balance in excess of thirty percent (35%) of revenues and transfers in will be transferred to the City’s Emergency Fund, used to retire outstanding debt, used to provide property tax relief, or be used for facility replacement. General Fund unassigned fund balance was transferred into the Emergency Fund starting in fiscal year 2014. Transfers into the Emergency Fund have totaled $6.15 million from fiscal year 2014 through fiscal year 2020. A transfer of $258,000 is being proposed in fiscal year 2023. Emergency Fund’s estimated balance is $5.4 million at the end of fiscal year 2023. General Fund unassigned fund balance was also transferred into the Facility Master Plan Reserve, within the General Fund, in the fiscal year 2019 and fiscal year 2020 at $2 million each year. In fiscal year 2021 and 2022, $4 million and $5 million was transferred, respectively. A transfer of $4.7 million is expected for fiscal year 2023. This fund is assigned for implementation of the 2012 Facilities Space Needs Study and Master Plan. General Fund’s unassigned fund balance is relied upon to provide cash flow during the first quarter of the fiscal year as the majority of property taxes are not received until October/November. The following chart demonstrates how expenditures have exceeded receipts in the first three months over the past ten years.

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