City of Fayetteville
File #: 24-4327    Version: 1 Name:
Type: Staff Reports Status: Agenda Ready
File created: 11/13/2024 In control: City Council Regular Meeting
On agenda: 11/18/2024 Final action:
Title: Receive FY 2025 First Quarter Financial Update
Attachments: 1. FY 2025.First Quarter FInancial Report.Final.11182024 Updated
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TO: Mayor and Members of City Council

THRU: Douglas J. Hewett, ICMA-CM, City Manager

FROM: Jeffery Yates, Assistant City Manager

DATE: November 18, 2024

RE:
Title
Receive FY 2025 First Quarter Financial Update
end

COUNCIL DISTRICT(S):
Council District(s)
All


b
Relationship To Strategic Plan:
Goal V : Financially Sound City Providing Exemplary City Services.

Executive Summary:
The presentation and discussion focus on the City's FY 2025 financial performance through September 30, 2024.

Background:
On November 4, 2024, the City Council received the annual audit report for the year ended June 30, 2024. The information included in this report represents the activity from July 1 to September 30, 2024


Issues/Analysis:
Several key takeaways emerge when the various reports are analyzed as a landscape. No single piece of information provides a complete picture, but when taken together, we can get a high-level picture of the City's financial condition and health.

The reports are attached for a detailed review, and we welcome any follow-up questions for clarity or explanation. The included reports offer three key takeaways:

1. The City's financial health is strong. As of June 30, 2024, the fund balance analysis indicates that the City maintains a fund balance slightly below its 10% policy level at 9.3% or $20.3 million. The policy goal is an unassigned fund balance of $26.2 million, when adjusted for interfund loans and current year appropriations, the estimated unassigned fund balance is $35 million or 16%.

2. The General Fund is performing as anticipated. Through the first quarter, the revenues and expenditures are in alignment with historical trends. The three expenditure types that most reflect operations-personnel services, operating expenditures, and contract services-are aligned with historical trends.

3. Vacancies continue to be both a positive and a risk. The positive trend is that, given our experience through September (6 pay...

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