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2025-11-18 CC Agenda Packet - ITEM C5 - FY 2025-26 First Quarter Financial ReportCITY OF ELSEGUNDO FY 2025=26 First Quarter Financial Report November 18, 2025 City of El Segundo 1 350 Main St El Segundo, CA 90245 1. FY 2025-26 First Quarter (Q1) -Financial Report 2. Update to Tyler EERP implementation 3. Staff Recommendations Pj • General Fund has realized $7.31VI or 7% current year revenues versus $8.21VI or 9% prior year • The big 5 revenues sources are anticipated to meet budget • Future Financial Reports will provide better financial picture • Significant variances can be addressed during the Mid -Year process in early 2026 3 $1,400, 000 $1, 2 00, 000 $1,000,000 $800,000 $600,000 $400,000 $200,000 $0 I Q1 General Fund Revenues Actuals: $7 309,304 I 1 1 � OC d�Jr y� w+ ry�r h�i N� Ni 7/ N`rP r O 9N�i N% �N $1,800,000 $1,600,000 $1,400, 000 $1,200,000 $1,000,000 $800,000 $600,000 $4 00, 000 $200,000 $0 Top 5 Revenue Q1 FY26 & Q1 FY25 SALES & USE TAX BUSINESS LICENSE TRANSIENT OCCUPANCY PROPERTY TAX UTILITY USER TAX (UUT) TAX ❑ Ql FY26 Q1 FY25 5 Fiscal Year 2025-26 DollarActual Variance in Source Revised Full Revenues % BudgetRevenue Year -. Budget to Actuals Received Through e 1 Sales & Use Tax $1,123,800 ($15,680,378) 7%2 icense 0$16,8040,178 183,6433 Transient Occupancy Tax 4,80 1,315,177 (13,484,823) 9% 4 Pr ,Ei irt.,' i =a,: 14.C137 t84 2G,•Fiifj (14,011,415) 5 Chevron Tax Reso Agreement 6,100,000 0 (6,100,000) 0% 6 Utility 1.1:1-i-i l..ix (UU r) I I.0J:3,7� '_� 1.:}0f1,45a (9,793,310) 129/o 7 Charges for Services 5,900,748 1,010,715 (4,890,032) 17% 8 Transt i.-.In 4.754,E-)'aa �=��� (4.729.994) 10 9 Franchise Tax 5,200,000 0 (5,200,000) 0% 10 011-lor -s 2.875,178 ; 1? 660 (2,160,518) 11 Intergovernmental 355,000 31,397 (323,603) 9% 12 License : Pei mil-� �',329,000 765,6367 (1.563,333) lim 13 Interest & Rental Income 5,886,646 747,500 (5,139,146) 13% 14 (279,862) Total General Fund Revenues 0- 0• 04 0 Fiscal Year 2025-26 Actual Fund Name Revised Full Year Revenuesto Variance in Dollar Budget 1 General Fund $104,573,049 $7,309,304 ($97,263 745) 7% Water Fund 154 21% 3 Transportation Funds 2,646,436 1,106,175 (1,540,261) 42% 4 Debt Service ,505,304 0 0% Wastewater Fund 6,214,470 1,1080,255 6 Gene', _ _ = 1 7 9,887 00% 7 Equip. Replacement Fund 2,027,142 638,648 (1,388,494) 32% 8 xs Comp. Fund 3,597.350 23) 9 General Liability Fund 3,687,030 920,507 (2,766,523) 25% 10 Dell. d es TrMt 250.000 58,788 11 Public Safety Special Rev 3,084,987 193,502 (2,891.486) 6% 12 Other Special Rev. 1,1'263 30,337 (1,093,926) 13 Rec & Econ Dev Trust Fund 5,144,400 89,902 (5.054,498) 2% 14 Cultural Dev. T 257.500 55,117 (202.383) 15 Debt Service Fund 36,050 36,556 506 101%° 16 Solid Waste Fund 211.000 211,000 - 6 - 17 Senior Housing Fund 287,414 211,909 (75,505) 74% 19 R -hle Project Deposit 7 • General Fund has expended $24.51VI or 23% current year versus $24.31VI or 25% prior year • Significant departmental budget variances are due to the timing of expenditures related to projects and programs and are trending in line with anticipated contract timelines • Future Quarterly Financial Reports will provide final picture • Significant variances can be addressed during the Mid -Year process in early 2026 93 Q1 General Fund Expenditures Actuals: $24.,546,238 $6,500,000 $6,000,000 $5,500,000 $S,000,000 $4,500,000 $4,000,000 $3,500,000 $3,000,000 $2,500,000 $2,000,000 $1,500,000 $1,000,000 $500,000 $o 011, ........... .... . ................ .... .. ........................................................ ............. ......... ............. ......... ............................................................... ..... .... ............ ........................................................... ... ........ ......... .... 9 Fiscal Year 2025-26 Expenditure Source Revised Full Year Appropriations Actual Variance in Dollar - Percentage Budget Expended Through Revised Budget Expended* Q Actuals 1 Police $24,867,038 $6,534,098 ($18,332,940) 26% 2 Fn-- 18.363,290 4.046.412 (14.316,877) 22% 3 Transfers Out 15,138,648 5,641,000 (9,497,648) 37% 4 Public Works 9.962,675 (8,510,256) 15:,., 5 Non -departmental 7,508,339 1,652,211 (5.856,128) 22% 6 n, Perks « Library 1 1,� �4 2255,E+04 (9,038,744, 20` 7 Community Development 3,957,955 730,350 (3,227,605) 18% 8 Intorn-�a_iti in T,2f_I'�rr-,luny 4.11J7 3~ j 769.914 (3.337.436) 1<+' 9 City Manager 3,140,747 549,261 (2,591,486) 17% 10 f=1ria11cc. 2,807,702 5-19,652 (2,288,050) 1'a" 11 Human Resources 2,059,083 195,271 (1 863,812) 12 41IMMmey 825,00U 2 (729,068) 12,% 13 City Clerk 596,780 84,083 (512,697) 14% 14 City Council AL �, 15 Covid-19 Reimbursements 0 (29,795) (29,795) 0% Total General Fund .- *Does not include encumbrances 11 1 Fund Name General Fund (a) Fiscal Year 2025-26 RevisedActual Full Year ExpendituresDollar* ..- $104,856,353 .. $24,546,238 ($80,310,115) % .-. 23% 2 Water Fund Transportation Funds (c) 40.51 �1.41 r, 2,041,806 7 C175,029 (33,444,387) 17% 3 178,972 (1,862,833) 4 Debt Service PCBs i4,4.U7,r-,4�', 8,057,387 (1,440.262) 5 Wastewater Fund (d) 8,053,698 660,548 (7,393,149) 6 General -, - ?:'.�-7ri 210 1.398.389 (21,371,821) _ 8% 7 Equip. Replacement Fund 8,146,058 154,248 (7,991,810) 3 'Nork�rs Ct tiip. Fur -,,_I ;I) 3,498,108 1,750,799 (, (1,536,202) 59% 9 General Liability Fund (g) 3,777,967 2,241,765 10 Dev. Services 1-rust (11) 0 (975,000) 00/:, 11 Public Safety Special Rev. (i) 3,130,849 166,931 (2,963,918) 5% 12 04162mial f'tv (j) 2,6= `, jt ^ 45.786 (2,590,101) 2% 13 Rec & Econ Dev Trust Fund (k) 4,948,394 (14 088) (4,962,482) 0% 14 Cultural Dev. trust Fund (h .117 28,509 (349.607) _8%c 15 Debt Service Fund (m) 541,606 458,433 (83,172) 85% 16 Soli t �:'J:3ste r �rnt1 (n) 0 (346,000) 0% 17 Senior Housing Fund Total *Does not include encumbrances 53,621 i 4,595 (49,026) 9% 12 General Fund Reserve: 25% ($23.5M) General Fund Balance: $43.5M (as of 6/30/25) Economic Uncertainty Reserve: 2M OPEB Reserve: $40.IM Pension Trust Reserve: $6.7M General Fund CIP Reserve: 400k ..................... 12 Description Estimated Beginning Unassigned Fund Balance on July 1, 2024 $40,701,761 Estimated FY 2024-25 Revenues $96,690,772 Estimated FY 2024-25 Expenditures $(93,886,298) Estimated Ending Fund Balance (June 30, 2025) $43,506,235 25% Reserve Requirement $2314711575 Estimated Available Unassigned Reserve * C0,03496612 0001 * City Council appropriated $5,230,000 towards FY 2025-26 General Fund CIP's 13 0 1 Implementation of Acct/AP/AR/GB/ PO/Budget Financial Module End -User First Check Run Implementation Training in Tyler EERP Human Resources Mgt/Payroll Implementation a Utility Billing Module (Go -Live) 14 1. Receive and File the First Quarter Fiscal Year 2025-26 Financial Report 15