quarterly financial report...fy 2013 financial analysis city of sunny isles beach 13,614,431 general...

QUARTERLY FINANCIAL REPORT

December 31, 2011

Quarterly Financial Report March 31, 2013

FY 2013 FINANCIAL ANALYSIS City of Sunny Isles Beach

2nd Fiscal Quarter Report assumptions pertaining throughout the document:

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•

•

•

Revenues

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a.

b.

c.

d.

•

Expenditures

•

•

•

•

•

•

•

QUARTERLY FINANCIAL REPORT - ASSUMPTIONS

March 31, 2013

Variances between actual and expected in excess of 25% for operating revenues and expenses are explained on the

major variance pages, where applicable.

Expectations for capital projects are not included due to many facets involved with a capital project (i.e.. Scope

development, RFP process and review, design and engineering, etc.). Overall, projects are expected to be 100% upon

completion. All projects are projected to be expensed by the end of the fiscal year with the exception of Gateway Park

where $10 million is expected to rollover to the following fiscal year.

Year to Date represents the period from October 1, 2012 to March 31, 2013.

Operating Funds include the General Fund, Building Fund, and Streets Construction and Maintenance Fund

General Fund revenue expectation percentages are valued at 50% for the 6 months with the following exceptions

based on timing of revenues received:

The majority of property tax revenues are collected in November and December

One month lag in collections

Two month lag in collections

Seasonal trend in collections

2nd Quarter represents the period from January 1, 2013 to March 31, 2013.

The expenditures for Risk Management is adjusted based on the payment structure of the various insurance policies

which are renewable every October. Payment structure for the policies require large initial payments followed by the

remaining amount due in installments.

Local Business License billing occurs in August of each year. Approximately 70% is collected in the year of billing and

approximately 30% is collected in the 1st fiscal quarter of the year directly following the date of the billing. Residual

fees come in during the year as a result of new business which are not budgeted.

Personnel services expectations for the quarter were developed based on number of pay periods actually paid to date.

A total of 12 pay periods out of 26 pay periods in a year or 46.2% have occurred up to March 31, 2013.

Operating expectations for the quarter are based on a 1 month lag in invoicing and remittance to vendors. As a result

41.7% or 5 months out of 12 months have elapsed through March 31, 2013.

The expenditures for the Cultural and Community Services Department (572) are incurred on demand. As a result,

50% of budget is expected for the period.

Significant costs for the Summer Camp program are not expected to be incurred until the 3rd and 4th quarter of each

fiscal year. As a result, operating expectations for the Pelican Community Park Department (573) are adjusted for the

period to 30.6%.

Operating expectations for the City Commission Department (511) reflect Commissioners' stipend payments paid

prior to the following quarter where 75% of the $30,000 budgeted on account is expected through March 31, 2013.

The remaining cost expectations reflect a 1 month lag in invoicing or 41.7%.

ASSUMPTIONS1


9/30/2013

Amended Jan 1, 2013 - Year Projected Projected /

Budget Mar 31, 2013 to Date* Amount Budget

OPERATING FUNDS (pages 5-16)

FUND BALANCE, BEGINNING - October 1, 2012 4,441,969 4,441,969 4,441,969

TOTAL REVENUES 32,862,940 10,236,603 21,242,448 33,537,500 102.1%

TOTAL EXPENDITURES (27,824,948) (5,381,515) (10,853,204) (26,772,501) 96.2%

OTHER FINANCING SOURCES (USES) (7,867,170) (1,000,000) (4,214,770) (7,867,170) 100.0%

NET CHANGE IN FUND BALANCE (2,829,178) 3,855,088 6,174,473 (1,102,171)

FUND BALANCE, ENDING 1,612,791 10,616,443 3,339,798

CAPITAL PROJECTS FUNDS (page 17-19)

FUND BALANCE, BEGINNING - October 1, 2012 18,666,216 18,666,216 18,666,216

TOTAL REVENUES 10,512,600 8,981,567 9,501,493 13,862,700 131.9%

TOTAL EXPENDITURES (30,236,695) (1,187,963) (5,455,150) (16,236,700) 53.7%

OTHER FINANCING SOURCES (USES) 4,000,000 1,000,000 2,000,000 4,000,000 100.0%

NET CHANGE IN FUND BALANCE (15,724,095) 8,793,604 6,046,342 1,626,000

FUND BALANCE, ENDING 2,942,121 24,712,558 20,292,216

LAW ENFORCEMENT TRUST FUND

FUND BALANCE, BEGINNING - October 1, 2012 7,916,025 7,916,025

TOTAL REVENUES - 52,890 63,777

TOTAL EXPENDITURES - (121,397) (193,763)

NET CHANGE IN FUND BALANCE - (68,507) (129,986)

FUND BALANCE, ENDING 7,916,025 7,786,039

STORMWATER FUND (page 20-21)

NET CURRENT ASSETS, BEGINNING - October 1, 2012 488,107 488,107 488,107

TOTAL REVENUES 1,037,800 266,225 443,472 1,064,300 102.6%

TOTAL EXPENSES (743,257) (58,536) (91,877) (702,361) 94.5%

NET CHANGE IN FUND BALANCE (230,457) 129,813 126,310 (163,061)

NET CURRENT ASSETS, ENDING 257,650 614,417 325,046

TOTAL FUNDS

FUND BALANCE, BEGINNING - October 1, 2012 31,512,316 31,512,316

TOTAL REVENUES 44,413,340 19,537,286 31,251,190

TOTAL EXPENDITURES (58,804,899) (6,749,412) (16,593,995)

OTHER FINANCING SOURCES (USES) (4,392,170) (77,876) (2,440,055)

NET CHANGE IN FUND BALANCE (18,783,729) 12,709,998 12,217,140

FUND BALANCE, ENDING 12,728,587 43,729,457

Projected

March 31, 2013

QUARTERLY FINANCIAL REPORT

Actual

s Refer to assumptions detailed on Page 1 for quarterly assumptions established

throughout the report. SUMMARY2


13,614,431

GENERAL FUND

Year to Date Revenues by Source

19,110,385

Year to Date Expenditures by Category

Property Taxes, 73.9%

Fines and Forfeitures, 0.7% Franchise Fees, 0.9%

Miscellaneous, 1.0%

Utility Taxes, 8.9%

Licenses/Permits, 0.8%

Intergovernmental, 4.7%

Charges for Services, 8.8%

Interest & Other Earnings, 0.3%

Property Taxes Fines and Forfeitures Franchise Fees

Miscellaneous Utility Taxes Licenses/Permits

Intergovernmental Charges for Services Interest & Other Earnings

Personnel Services 43.4%

Operating Expenses 19.2%

Operating Transfers 12.7%

Debt Service 23.5%

Capital Outlay 1.1%

Personnel Services Operating Expenses Operating Transfers Debt Service

Other Disbursements Contingency & Reserves Capital Outlay


throughout the report. GENERAL FUND ANALYSIS3


Oct 1, 2012 - Projected

OPERATING REVENUES Mar 31, 2013 FY 2013

General Fund

PROPERTY TAXES 13,533 14,358 15,022 15,085 15,315 15,960 14,116 16,700

CITIZENS INDEPENDENT TRANSPORTATION

TRUST 557 577 551 625 614 - - -

FRANCHISE - ELECTRIC 1,529 1,627 1,426 1,565 1,099 1,285 - 1,360

FRANCHISE - REFUSE 180 203 446 444 392 379 168 384

UTILITY TAX - ELECTRIC 1,513 1,721 1,864 2,063 2,108 2,147 908 2,250

UTILITY TAX - WATER 443 563 692 666 763 767 316 752

COMMUNICATIONS TAX 886 1,076 1,088 1,125 1,143 1,041 456 1,110

BUILDING PERMITS & FEES 3,042 1,887 1,843 1,865 2,673 - - -

STATE REVENUE SHARING 357 349 305 299 342 270 139 285

LOCAL GOVT 1/2 CENT SALES 1,114 1,154 1,073 1,103 1,208 1,353 599 1,360

FINES & FORFEITURES 422 376 322 419 395 419 134 402

PARKING AGREEMENTS 488 528 582 587 760 902 461 835

RENTAL PROPERTY 375 384 457 474 572 483 181 425

AFTERSCHOOL PROGRAM - - 73 404 437 457 246 455

Building Fund

BUILDING PERMITS & FEES - - - - - 1,793 1,736 3,204

Streets Construction & Maint. Fund

CITIZENS INDEPENDENT TRANSPORTATION

TRUST - - - - - 699 258 695

STATE REVENUE SHARING - - - - - 103 51 120

TOTAL MAJOR REVENUES 24,438 24,805 25,745 26,723 27,820 28,057 19,768 30,337

TOTAL OPERATING

REVENUES 26,726 27,419 27,982 28,412 29,321 30,696 21,242 33,538 FY 2007 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 Projected

Major Revenues 24.44 24.80 25.75 26.72 27.82 28.06 19.77 30.34 Total Operating Revenues 2.29 2.61 2.24 1.69 1.50 2.64 1.47 3.20

FY 2011

OPERATING FUNDS MAJOR REVENUE FIVE YEAR TREND(in thousands)

OPERATING FUNDS REVENUE FIVE YEAR TREND(in millions)

FY 2007 FY 2008 FY 2009 FY 2010 FY 2012

24.44 24.80 25.75 26.72 27.82 28.06 30.34 26.73 27.42 27.98 28.41 29.32

30.70 33.54

$-

$5

$10

$15

$20

$25

$30

$35

$40

FY 2007 FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 Projected FY 2013

Major Revenues Total Operating Revenues

OPERATING FUNDS TREND ANALYSIS4


9/30/2013

Amended Jan 1, 2013 - Year Actual / Projected Projected /

Budget Mar 31, 2013 to Date* Budget Amount Budget

Revenues

a Property Taxes 16,682,030 6,265,012 14,116,168 84.6% 80.0% 5.8% 16,700,000 100.1%

d Franchise - Electric 1,350,000 - - 0.0% 0.0% 0.0% 1,360,000 100.7%

c Franchise- Gas 24,000 3,539 6,181 25.8% 33.3% -22.7% 12,000 50.0%

b Franchise - Refuse 360,000 104,166 167,972 46.7% 41.7% 12.0% 384,000 106.7%

b Utility Tax - Electric 2,200,000 518,618 907,519 41.3% 41.7% -1.0% 2,250,000 102.3%

b Communications Service Tax 1,100,000 275,372 455,532 41.4% 41.7% -0.6% 1,110,000 100.9%

b Utility Tax - Water 700,000 184,958 316,384 45.2% 41.7% 8.5% 752,000 107.4%

b Utility Tax - Gas 18,000 9,772 12,665 70.4% 41.7% 68.9% [1] 24,000 133.3%

d Local Business Licenses 190,000 22,459 84,148 44.3% 45.0% -1.6% 220,000 115.8%

Zoning Hearing/Plans Review 60,000 41,748 76,324 127.2% 50.0% 154.4% [2] 95,000 158.3%

Code Enforcement 197,950 76,503 153,673 77.6% 50.0% 55.3% [3] 250,000 126.3%

State Revenue Sharing 284,080 69,675 139,349 49.1% 50.0% -1.9% 285,000 100.3%

d Alcoholic Beverage License 18,000 1,083 1,183 6.6% 0.0% 0.0% 19,000 105.6%

b Local Govt 1/2 Cent Sales 1,357,760 383,038 598,663 44.1% 41.7% 5.8% 1,360,000 100.2%

c Gas Tax Rebate 10,000 3,241 3,241 32.4% 33.3% -2.8% - 0.0%

Grants 90,020 - - 0.0% 0.0% 0.0% 90,000 100.0%

Administrative Fees 894,000 223,500 447,000 50.0% 50.0% 0.0% 894,000 100.0%

b Special Duty Officer 62,500 80,872 151,972 243.2% 41.7% 483.6% [4] 310,000 496.0%

c Fines and Forfeitures 401,450 91,646 134,237 33.4% 33.3% 0.3% 402,000 100.1%

Interest & Other Earnings 200,000 38,396 59,816 29.9% 50.0% -40.2% [5] 190,000 95.0%

Sale of Property 5,000 - 10,468 209.4% 25.0% 737.5% [6] 30,000 600.0%

Other Miscellaneous Revenue 190,900 78,743 196,770 103.1% 50.0% 106.1% [7] 220,000 115.2%

Visitor's Center 2,960 848 1,640 55.4% 50.0% 10.8% 3,000 101.4%

Parking Meters/Agreements 834,300 262,613 460,813 55.2% 50.0% 10.5% 835,000 100.1%

Rental Property 415,400 106,301 180,551 43.5% 50.0% -13.1% 425,000 102.3%

d Cultural/Special Events 23,000 5,810 19,285 83.8% 63.0% 33.1% [8] 30,000 130.4%

Concession and Rentals 8,300 3,056 4,729 57.0% 50.0% 14.0% 9,500 114.5%

d Afterschool Program 450,000 151,893 246,468 54.8% 60.0% -8.7% 455,000 101.1%

d Summer Program Fees 270,000 - 10 0.0% 0.0% 0.0% 270,000 100.0%

d Athletics/Leagues Programs 130,000 36,323 47,107 36.2% 50.0% -27.5% [9] 107,000 82.3%

PCP Programs/Activities 60,000 33,777 46,031 76.7% 50.0% 53.4% [10] 70,000 116.7%

Fitness Program 20,000 10,897 18,929 94.6% 50.0% 89.3% [11] 30,000 150.0%

Other CHS/PCP Revenues 101,130 15,200 45,556 45.0% 50.0% -9.9% 106,000 104.8%

Total Revenues 28,710,780 9,099,059 19,110,385 29,297,500

Note: Expectation percentages are valued at 50% for the 6 months with the following exceptions based on timing of revenues received:

a. The majority of property tax revenues are collected in November and December c. Two month lag in collections

b. One month lag in collections d. Seasonal trend in collections

GENERAL FUND

Projected

Expected*

%

Diff

%

Actual




9/30/2013



GENERAL FUND

Projected

Expected*

%

Diff

%

Actual

Expenditures

General Government:

City Commission (511)

Personnel Services 153,680 33,094 67,444 43.9% 46.2% -4.9% 153,680 100.0%

Operating Expenses 82,800 32,255 51,067 61.7% 54.0% 14.2% 82,600 99.8%

Other Disbursements 24,000 1,500 8,500 35.4% 40.0% -11.5% 24,000 100.0%

260,480 66,849 127,011 260,280

City Manager (512)

Personnel Services 449,180 72,157 133,138 29.6% 46.2% -35.8% [12] 357,800 79.7%

Operating Expenses 69,217 1,532 12,926 18.7% 41.7% -55.2% [12] 65,000 93.9%

518,397 73,689 146,064 422,800

Finance (513)


Operating Expenses 232,857 55,625 85,044 36.5% 41.7% -12.3% 220,000 94.5%

776,237 164,299 306,593 743,960

City Attorney (514)



627,620 130,258 257,303 620,960

City Clerk (516)



383,980 55,415 114,119 372,900

Human Resources (518)



Other Disbursements 500 400 500 100.0% 100.0% 0.0% 500 100.0%

761,210 117,478 351,629 755,100

Planning and Zoning (523)



154,310 36,555 64,815 153,790

Risk Management (533)


788,000 148,352 576,481 630,000




9/30/2013



GENERAL FUND

Projected

Expected*

%

Diff

%

Actual

Information Technology (559)



Capital Outlay 941,355 9,163 18,057 1.9% 0.0% 0.0% 940,000 99.9%

1,969,545 187,043 406,111 1,927,690

Total General

Government 6,239,779 979,939 2,350,126 5,887,480

Public Safety:

Police (521)

Personnel Services 6,149,230 1,492,321 3,110,496 50.6% 46.2% 9.6% 6,400,000 104.1%


Capital Outlay 86,810 - 4,782 5.5% 0.0% 0.0% 86,810 100.0%

6,679,870 1,596,181 3,290,190 6,866,810

Code Enforcement (524)

Personnel Services 373,430 84,572 173,919 46.6% 46.2% 0.9% 373,430 100.0%


406,290 90,425 186,011 403,430

Ocean Rescue (575)

Personnel Services 1,589,240 319,115 637,017 40.1% 46.2% -13.2% 1,573,570 99.0%


Capital Outlay 60,000 30,797 30,797 51.3% 0.0% 0.0% 60,000 100.0%

1,709,590 359,222 679,860 1,693,570

Total Public Safety 8,795,750 2,045,827 4,156,061 8,963,810

Physical Environment:

Facilities Maintenance (534)



Capital Outlay 166,260 35,070 35,070 21.1% 0.0% 0.0% 166,260 100.0%

1,077,050 295,659 423,254 1,074,050

Fleet Maintenance (535)



Capital Outlay 453,460 17,189 17,189 3.8% 0.0% 0.0% 453,460 100.0%

835,320 117,057 187,571 831,040

Construction (537)



Capital Outlay 50,000 - 20,172 40.3% 0.0% 0.0% 50,000 100.0%

321,429 39,075 101,874 294,860




9/30/2013



GENERAL FUND

Projected

Expected*

%

Diff

%

Actual

Public Works Administration (539)



564,360 111,692 204,450 562,730

Total Physical

Environment 2,798,159 563,482 917,148 2,762,680

Culture & Recreation:

Cultural & Community Services (572)



Capital Outlay 126,300 - 539 0.4% 0.0% 0.0% 126,300 100.0%

1,586,985 275,014 604,444 1,561,580

Pelican Community Park (573)



Capital Outlay 58,750 - - 0.0% 0.0% 0.0% 58,750 100.0%

1,674,346 276,720 536,107 1,572,440

Athletics (576)

Personnel Services 210,680 29,890 60,243 28.6% 46.2% -38.0% [19] 180,000 85.4%


270,130 42,791 87,462 227,000

Parks Maintenance (577)



Capital Outlay 58,380 103 1,123 1.9% 0.0% 0.0% 58,380 100.0%

1,275,285 233,233 397,839 1,173,480

Total Culture &

Recreation 4,806,746 827,758 1,625,852 4,534,500

Transportation:

Parking (525)



Capital Outlay 2,000 - - 0.0% 0.0% 0.0% 2,000 100.0%

597,450 76,263 153,839 595,220

Total Transportation 597,450 76,263 153,839 595,220




9/30/2013



GENERAL FUND

Projected

Expected*

%

Diff

%

Actual

Non Departmental:

Contingency (900)

Non Departmental 400,000 - - 0.0% 0.0% 0.0% - 0.0%

400,000 - - -

Total Non Departmental 400,000 - - -

Expenditures 23,637,884 4,493,270 9,203,026 22,743,690

Excess (Deficiency) of

Revenues over Expenditures 5,072,896 4,605,789 9,907,359 6,553,810

Other Financing Sources (Uses):

Transfers & Debt Service (800)

Debt Services (3,867,170) - (2,214,770) 57.3% 50.0% 14.5% (3,867,170) 100.0%

Transfers Out (4,393,270) (1,098,318) (2,196,635) 50.0% 50.0% 0.0% (4,393,270) 100.0%

(8,260,440) (1,098,318) (4,411,405) (8,260,440)

Total Other Financing

Sources (Uses) (8,260,440) (1,098,318) (4,411,405) (8,260,440)

Net Change in

Fund Balance (3,187,544) 3,507,471 5,495,954 (1,706,630)

Fund Balance, 10/1/12 3,998,260 3,998,260 3,998,260

Fund Balance, Ending 810,716 9,494,214 2,291,630




[1]

[2]

[3]

[4]

[5]

[6]

[7]

Note: Significant variances between actual and expected are explained herein.

• Positive Variance (overage) - a positive variance or overage indicates the actual balance is greater than expected.

• Negative Variance - a negative variance indicates the actual balance is less than expected.

GENERAL FUNDMAJOR VARIANCES - REVENUES

The overage is a result of the increase in lien searches and extended hours

applications. Budgeted amounts were exceeded as a result of a greater number of

lien searches performed (703 compared to 314 budgeted for the 6 months) and an

increase in extended hours by Regalia ($20,225), The Mansions at Acqualina

($11,700) and Bank of America ($1,075). As more high rise development

construction begins, we anticipate more extended hours fee collections.

Zoning Hearing/Plans Review Revenue is based on staff time charged to zoning review/hearings on new

construction projects. Revenues reflect staff's time billed for Chateau Beach, St

Tropez, 400 Sunny Isles Beach Marina, the Jewish Community Center, and Jade

Signature. Staff is currently working on the Beachwalk Development hearing

zoning requirement. This will equate to approximately $11,800 in billable staff time

for the year.

Utility Taxes- Gas The overage is a result of a new natural gas provider. Utility taxes are based on

consumption multiplied by a base rate established in 1973. New providers who

have not been in business in 1973 must pay on current rates. As such, overall

consumption can go down, but utility tax revenue can increase. For reference, the

1973 rate is $.0702 per Therm compared to a current rate of approximately $.91 per

Therm.

Interest & Other Earnings Interest earnings is driven by cash balances, interest rates, and timing of interest

payments (since this is cash basis reporting). Currently, the average rate of return is

.85%, which is lower than the anticipated 1.5%. Based on current investments,

interest will project out for the year to $190,000 which is within the budget

expectations.

Sale of Property The overage is related to the sale of surplus vehicles in November 2012. A total of

5 Crown Victorias previously utilized by the Police Department were sold for a total

of $10,468 net of online auction fees.

Code Enforcement

The City received $20,638 in refunded Red Light Camera litigation costs. In

addition, the overage is related to a total refund of $62,149 from Miami-Dade

County for 2011 property taxes paid by the City for property at 16200 Collins

Avenue and 2010 and 2011 property taxes paid for 215 Sunny Isles Boulevard.

Finally, in addition to permit search fees recorded for the period, the City has

collected $25,000 from Sunny Isles Beach Associates, LLC in funds donated to the

City and approximately $5,300 in insurance recoveries.

Special Duty Officer The positive variance is primarily related to off-duty presence for new construction

projects. The increase is a result of off-duty presence for new construction by

Regalia ($84,672), Chateau Beach ($19,368), The Mansions at Acqualina ($8,080),

and sidewalk improvements by Tenex ($8,472). This amount will continue to

increase as additional projects come on board.

Other Miscellaneous Revenue

GENERAL FUND ANALYSIS10





GENERAL FUNDMAJOR VARIANCES - REVENUES

Utility Taxes- Gas The overage is a result of a new natural gas provider. Utility taxes are based on

consumption multiplied by a base rate established in 1973. New providers who

have not been in business in 1973 must pay on current rates. As such, overall

consumption can go down, but utility tax revenue can increase. For reference, the

1973 rate is $.0702 per Therm compared to a current rate of approximately $.91 per

Therm.

[8]

[9]

[10]

[11]

Although the category consists of 2 separate accounts, the Special Events account

with $8,000 budgeted for the fiscal year has already experienced a greater amount of

revenues than anticipated. The $10,454 collected to date consists primarily of

Booogie by the Beach wristband sales to non-residents totaling $6,950. The

remaining amount reflects receipts for non-resident sales for the Spring Fling and

Holiday Ball events. The City anticipates the remaining fiscal year collections for

the Four Seasons Cultural Series, Golden Era Movies, and City Anniversary

wristband sales to be nominal based on last year's activity.

Athletics/Leagues Programs

Cultural/Special Events

The negative variance to Athletics Program revenues is related to a decline in

revenues from the travelling soccer program and the drop in prices for programs to

draw interest during the Fall and Winter schedules. The youth soccer programs

held by the City and the facilitation of the Northeast Miami Soccer League

tournament continue to draw the greatest interest during the 1st and 2nd fiscal

quarters. Revenues are expected to increase in the 3rd and 4th quarters with

summer camp activities.

PCP Programs/Activities The budgeted amount for fiscal year 2013 represents a decrease from the prior year

as a result of projected declining interest of City sponsored community center

activities due to the removal of ballroom dancing which historically generated the

greatest amount of revenue for the category (the contracted instructor opened their

own studio nearby and the students followed, minimizing the demand for the class

at the Community Center). The gymnastics class which was selected to replace

Youth Ballroom Dancing has experienced a greater reception than anticipated with

101 enrollments for the 6 months. The major activities (Karate, Gymnastics, Yoga,

and Theatre) leading to the overage represent 64.8% of total revenues for the

period.

Fitness Program Although the fiscal year 2013 budget was reduced compared to prior year as a result

of concerns in declining membership, the City has actually experienced an increase

in total membership renewals and new sales of 305 for the 6 months ending March

31, 2013 from 248 recorded in the first 6 months of fiscal year 2012. Additionally,

the City has a total of 245 memberships expiring in the 3rd and 4th quarters of

fiscal year 2013, of which only 30% or 74 memberships are projected to be renewed

and adding to the overage currently observed in the revenue category.



City-wide Capital Outlay -

[12]

[13]

[14]

[15]

[16]

[17]




GENERAL FUNDMAJOR VARIANCES - EXPENDITURES

City Manager (512)-

Personnel and Operating Expenses

The negative personnel variance is related to the vacancies in the City Manager's

Department in the beginning of the fiscal year. The two administrative support

staff members began late into the 2nd quarter of fiscal year 2013.

City Clerk (516) -

Operating Expenses

The majority of the negative variance is a result of budgeted costs for digitizing City

records and web based services for public access to City documents (ordinances,

resolutions, etc.). These projects are expected to begin late into the 3rd quarter.

Additionally, invoices from Miami-Dade County for costs related to the

Presidential/Commission elections that were held in November have not been

received. Finally, costs for training, supplies, and other related expenses are

sensitive to the timing of conferences, trainings, and the needs of the department.

Planning & Zoning (523) -

Operating Expenses

The negative variance experienced in the Planning and Zoning department

operating budget is primarily related to the costs for professional services

contracted. The City utilizes the professional services of City consultants

contracted for plans review and support to the City Planner. The City expects up to

6 reviews in the fiscal year for landscaping plans for developments already reviewed

and approved by the City Commission and at least 2 more zoning related items

requiring the use of the City's consultant. The remaining variance includes special

supplies, travel, and education as a result of timing. These costs are generally

incurred in the 3rd and 4th quarter of the fiscal year.

Construction (537) -

Operating Expenses

The negative variance is related to budgeted costs of materials for projects

scheduled to be completed later in the fiscal year. As of March 31, 2013, the City

has completed the installation of showers at Samson Park and begun the

construction of two lifeguard towers and the Pier Park restroom. Sidewalk repairs

for Town Center Park are scheduled to begin in May 2013. Additional repairs and

maintenance costs for public areas and accesses are incurred on an as needed basis

and do not historically occur on a consistent basis.

Ocean Rescue (575) -

Operating Expenses

The negative variance in operating expenses relates to the timing of purchases of

special supplies and repairs and maintenance costs for Ocean Rescue vehicles and

lifeguard stands. Repairs and maintenance costs continue to be minimal which is

primarily attributed to the addition of new ATVs and lifeguard stations. Special

supply purchases typically occur during the final quarter of the fiscal year whereas

R&M costs are incurred as needed from breakdown or servicing as required.

City Attorney (514) -

Operating Expenses

The majority of the decrease in expense is reflected in the need/use of outside

council. To date, only $6,938 of $80,000 budgeted has been expensed. Not

considering outside legal services, budget to actual is 50.1%, which is within the

expected range.

All capital outlay items are expected to be ordered by the end of May 2013 with the

exception of the Government Center waterproofing project budgeted for $136,000

and the purchase and installation of audio and visual equipment for $110,000. The

two outstanding capital outlay items are expected to go out for bid in May 2013.






GENERAL FUNDMAJOR VARIANCES - EXPENDITURES

All capital outlay items are expected to be ordered by the end of May 2013 with the

exception of the Government Center waterproofing project budgeted for $136,000

and the purchase and installation of audio and visual equipment for $110,000. The

two outstanding capital outlay items are expected to go out for bid in May 2013.

[18]

[19]

[20]

[21] Parking (525) -

Operating Expenses

The significant negative variance is related to the timing of insurance billing and

property taxes on the parking lots which will be recognized at the end of the fiscal

year. In addition, repairs and maintenance costs are low due to recent addition of

the Heritage Park Garage and parking meters.

Parks Maintenance (577) -

Operating Expenses

The negative variance is a result of less staff hours required to effectively operate

programs and events during the Fall, Winter, and Spring seasons. Personnel costs

are expected to increase in the 3rd and 4th quarter as a result of an increase in staff

hours required for Summer Athletic programs.

The negative variance is related to the timing of costs for uniforms, travel, and

training which are generally incurred during the 3rd and 4th quarter of the fiscal

year. Equipment rental and repairs and maintenance costs which are expensed as

incurred, also contribute to the negative variance in operating expenses.

Athletics (576) -

Personnel Services

Public Works Administration (539) -

Operating Expenses

The negative variance in operating expenditures is primarily related to costs for

professional services, hurricane preparedness, and mileage. A new Assistant City

Manager for Capital Projects/Public Works was hired in the second quarter

resulting in the negative variance for mileage or 18% of total mileage budgeted for

fiscal year 2013. The former 2 expenditures are incurred on an as needed basis.

The remaining costs for uniforms, dues, travel, and trainings are typically realized

during the 3rd and 4th quarter of the fiscal year.



9/30/2013



Revenues

Local Option Gas Tax 216,330 51,377 84,943 39.3% 41.7% -5.8% 220,000 101.7%

CITT 680,000 193,588 258,229 38.0% 33.3% 13.9% 695,000 102.2%

State Revenue Sharing 116,930 25,276 50,551 43.2% 50.0% -13.5% 120,000 102.6%

Interest & Other Earnings 500 257 386 77.1% 50.0% 54.3% [1] 1,000 200.0%

Total Revenues 1,013,760 270,498 394,109 1,036,000

Expenditures

Streets Maintenance (541)



817,190 242,144 358,454 806,140

Transportation Trust (574)



Capital Outlay 156,453 11,343 11,343 7.3% 0.0% 0.0% 156,000 99.7%

731,883 137,765 262,481 725,460

Capital Improvements (600)

182 & 183 Collins Ave 60,864 5,820 5,820 9.6% [2] 60,864 100.0%

60,864 5,820 5,820 60,864

Total Expenditures 1,609,937 385,729 626,756 1,592,464


Revenues over Expenditures (596,177) (115,231) (232,647) (556,464)

Other Financing Sources (Uses)

Transfers and Debt Service (800)

Transfer In-General Fund 393,270 98,318 196,635 50.0% 50.0% 0.0% 393,270 100.0%

Total Other Financing

Sources (Uses) 393,270 98,318 196,635 393,270

Net Change in

Fund Balance (202,907) (16,913) (36,012) (163,194)

Fund Balance, 10/1/12 202,907 202,907 202,907

Fund Balance, Ending - 166,895 39,713

Expected*

%

Diff

%

Projected

STREETS CONSTRUCTION AND MAINTENANCE FUND

ACTUAL


throughout the report..

STREETS CONSTRUCTION AND MAINTENANCE FUND ANALYSIS

14


Revenues

[1]

Expenditures

[2]

STREETS CONSTRUCTION AND MAINTENANCE FUNDMAJOR VARIANCES




Interest & Other Earnings As a result of timing between revenue receipts and costs incurred, in addition to the

quarterly transfers of residual equity, the Streets Construction and Maintenance

Fund has been able to maintain a greater cash balance for the period resulting in

higher interest earnings allocable to the Fund.

Capital Improvements (600)-

182 and 183 Collins Ave

The driveway cut at 18256 Collins Avenue is currently underway with a projected

completion date by the end of April 2013.

STREETS CONSTRUCTION AND MAINTENANCE FUND ANALYSIS

15


9/30/2013



Revenues

Building Permits & Fees 3,136,900 865,821 1,735,963 55.3% 50.0% 10.7% 3,200,000 102.0%

Interest & Other Earnings 1,500 1,225 1,991 132.7% 50.0% 165.5% [1] 4,000 0.0%

Total Revenues 3,138,400 867,046 1,737,954 3,204,000

Expenditures

Personnel Services 1,260,280 270,184 575,154 45.6% 46.2% -1.1% 1,250,280 99.2%


Administrative Chargeback 836,000 209,000 418,000 50.0% 50.0% 0.0% 836,000 100.0%

Capital Outlay 150,067 - - 0.0% 0.0% 0.0% 150,067 100.0%

Total Expenditures 2,577,127 502,516 1,023,423 2,436,347


Revenues over Expenditures 561,273 364,530 714,531 767,653

Fund Balance, 10/1/12 240,802 240,802 240,802

Fund Balance, Ending 802,075 955,333 1,008,455

Revenues

[1]

Expenditures

[2] Building (515) -

Operating

The negative variance in the operating accounts is primarily related to the timing of

the implementation of digitization of historic building records/plans. The work is

expected to commence in the 3rd quarter with approximately $80,000 of the $223,000

budgeted to be completed by fiscal year end. The remaining balance is expected to be

completed in the following fiscal year. The remaining negative variance is a result of

timing of other operating expenses occurring. Timing is driven based on the needs of

the department and is not typically incurred consistently throughout the year.

Examples of these costs include fuel, special supplies, printing, travel, and training.

Projected

BUILDING FUND

The overage is a result of a greater cash balance maintained for the 6 months ending

March 31, 2013 due to the timing between revenues and expenses incurred.

BUILDING FUND - MAJOR VARIANCES




Expected*

%

Diff

%

Interest & Other Earnings

Actual


throughout the report. BUILDING FUND ANALYSIS16


Amended Jan 1, 2012 - Year Actual /

Budget Mar 31, 2012 to Date* Budget

Revenues

Federal Grants

FDEP - LWCF Grant 200,000 - - 0.0% [1]

Donations 1,400,000 1,000,000 1,000,000 71.4% [2]

Interest & Other Earnings 524,600 119,785 131,368 25.0% [3]

Impact Fees 560,000 513,052 599,475 107.0% [4]

Transfer Development Rights/Bonus 7,828,000 7,348,730 7,770,650 99.3% [5]

Total Revenues 10,512,600 8,981,567 9,501,493

Expenditures

Capital Improvements

Public Works Compound 224,995 171,289 184,315 81.9% [6]

PCP Improvements 960,000 - - 0.0% [7]

Senator Gwen Margolis Park Upgrades 1,065,000 - - 0.0% [7]

Collins Ave Street Improvements 253,799 1,870 152,471 60.1% [8]

Golden Shores Park 31,493 - - 0.0%

Sunny Isles Blvd Street Improvements 16,000 - - 0.0%

Emergency Bridge 1,276,747 45,351 138,984 10.9% [9]

FP&L Undergrounding 417,483 19,363 19,363 4.6% [10]

Bella Vista Bay Park 443,825 11,932 23,329 5.3% [11]

Heritage Park and Garage 757,628 133,468 8,968 1.2% [12]

Newport Pier 2,878,220 716,494 1,045,968 36.3% [13]

Town Center Park 348,000 - - 0.0% [14]

Beach Access Widening 270,000 - - 0.0% [15]

Intracoastal Park - 16200 224,549 2,086 70,098 31.2% [16]



Intracoastal Park - 16000 288,291 - - 0.0% [16]

Intracoastal Park - Arlen House 500,000 - - 0.0% [17]

Gateway Park 16,164,600 3,800 726,944 4.5% [18]

School Expansion 3,600,000 - 3,000,000 83.3% [19]

Total Expenditures 30,236,695 1,187,963 5,455,150

Excess (Deficiency) of Revenues over Expenditures (19,724,095) 7,793,604 4,046,342



Transfer In from General Fund 4,000,000 1,000,000 2,000,000 50.0%

Total Other Financing Sources (Uses) 4,000,000 1,000,000 2,000,000

Net Change in Fund Balance (15,724,095) 8,793,604 6,046,342

Fund Balance, 10/1/12 18,666,216 18,666,216

Fund Balance, Ending 2,942,121 24,712,558

CAPITAL PROJECTS FUNDS

Actual


throughout the report. CAPITAL PROJECTS FUNDS ANALYSIS17


Revenues

[1]

[2]

[3]

[4]

[5]

Expenditures

[6]

[7]

[8]

[9]

[10]

[11]

CAPITAL PROJECTS FUNDSMAJOR VARIANCES

Note: Variances between budget and actual are explained herein.



Impact fees Fees are collected based on the timing of when new construction developers pull

the associated permits.

Donations The $1 million contribution, which was contingent on expenditures incurred for the

project, was received and recorded in January 2013. The remaining $400,000 due

from Chateau Beach was received and recorded in April 2013.

Federal Grants

Transfer Development Rights/Bonus Collection is based on conditions set forth in the zoning resolutions for each

development project. To date, 10% deposits have been collected for the

development of St. Tropez, Unique, and Jade Signature. Approximately $6.7

million received during the 2nd quarter represents TDR bonuses received for the

development of The Mansions of Acqualina.

The budgeted federal grants for a total of $200,000 is specific to the Bella Vista Bay

Park project. See Bella Vista Bay Park expenditure variance explanation for details

on the status. Grant funds eligible for reimbursement upon completion of project.

Collins Avenue Street Improvements The streetscape project is substantially complete with minor items to be resolved by

May 2013.

Interest & Other Earnings The negative variance is a result of the early payoff of the TDR bonus payment by

The Mansions of Acqualina in February 2013. This was originally budgeted to

produce $335,000 annually in interest revenues, but only $88,000 was collected.

However, since additional cash has been collected, the funds have been invested

and earning interest.

Public Works Compound The facility became operational and housing staff in early March 2013. Expenses

incurred for the construction of the facility are expected to continue into the 3rd

quarter of fiscal year 2013.

Pelican Community Park and Senator Gwen

Margolis Park Upgrades

Plans for the installation of artificial turf have been received by the City for review

and approval. Installation at Senator Gwen Margolis Park is expected to be

completed in June 2013 and the installation of the surface at Pelican Community

Park is expected to be completed by August 16, 2013.

Emergency Bridge The Emergency Bridge design and permitting is expected to be completed in late

2013 closely followed by the advertisement for construction bids.

FP&L Undergrounding Design and engineering services are currently underway including a review of the

persistent street lighting problems experienced corridor-wide. In addition,

discussions with FDOT have been initiated to include the installation of the conduit

in the upcoming resurfacing project of Collins Avenue as part of a Joint

Participation Agreement.

Bella Vista Bay Park The project is currently under evaluation and consideration of future improvements

for water based activities. The contract with the original design consultant and

project contractor has been terminated by the City.

CAPITAL PROJECTS FUNDS ANALYSIS18


CAPITAL PROJECTS FUNDSMAJOR VARIANCES

Note: Variances between budget and actual are explained herein.



[12]

[13]

[14]

[15]

[16]

[17]

[18]

[19]

Intracoastal Park

The current construction completion date for the Pier and the shell of the

restaurant building is May 28, 2013.

Construction drawing services have been contracted with 30% drawings of park

plans due in early-May 2013. The construction of the project is expected to be

advertised by July 2013.

The play surface at Town Center Park will be replaced with artificial turf. The

anticipated completion date for the installation is September 2013.

School Expansion The City entered into an Interlocal Agreement with the School Board of Miami-

Dade County to contribute $2 million and finance $2 million towards the Norman

S. Edelcup Sunny Isles Beach K-8 school expansion. Per the payment agreement,

the City funded $3.4 million through November 2012 with a remaining $600,000

due on May 31, 2013.

Beach Access Widening The City's staff has identified and prioritized beach access sites in need of

improvement for emergency access. The existing access at 158th Street was

identified as the highest priority project. The remaining points of entry in need of

improvement are being evaluated to determine if the work can be performed by the

City.

Intracoastal Park - Arlen House Construction drawing services have been contracted with 30% drawings of project

plans due in April 2013. The construction of the project is expected to be

advertised by August 2013.

Town Center Park

Heritage Park and Garage The concrete wall project between the Lehman property and the Oceanview/Ocean

Reserve property is currently in the design stage with 60% of drawings for City

review and approval due in late May 2013. Advertisement for bids for the project

are expected to occur in the summer. Construction of bocce ball courts are

planned immediately after the completion of the concrete wall project.

Gateway Park Currently, the City incurred approximately $1.4 million in planning and design costs

for the project. As a result of scope changes, the City negotiated a contract price

with 4M Investors, LLC to a not-to-exceed $18.7 million contract for design and

construction. The overhead pedestrian crosswalk has been removed from the

contract and is currently planned to be taken on as a separate project by the City.

Newport Pier

CAPITAL PROJECTS FUNDS ANALYSIS19


9/30/2013



STORMWATER FUND

Revenues

Charges for Services 950,000 244,821 408,484 43.0% 41.7% 3.2% 974,000 102.5%

New Local Option Gas Tax 79,300 20,103 32,971 41.6% 41.7% -0.2% 82,000 103.4%

Interest & Other Earnings 8,500 1,301 2,018 23.7% 50.0% -52.5% [1] 8,300 97.6%

Total Revenues 1,037,800 266,225 443,472 1,064,300

Expenses

Personnel 133,740 26,407 55,252 41.3% 46.2% -10.5% 133,700 100.0%

Operating 194,340 32,129 36,625 18.8% 41.7% -54.8% [2] 157,000 80.8%

Administrative Chargeback 58,000 14,500 29,000 50.0% 50.0% 0.0% 58,000 100.0%

Capital Outlay

Bella Vista Bay Park 161,280 3,790 3,790 2.3% [3] 161,280 100.0%

North Bay Drainage 3,521 - - 0.0% - 0.0%

174th Street Drainage 192,376 1,709 1,709 0.9% [4] 192,376 100.0%

Total Expenses 743,257 58,536 91,877 702,361


Revenues over Expenses 294,543 207,689 351,596 361,939



Debt Services (525,000) (77,876) (225,285) 42.9% 50.0% -14.2% (525,000) 100.0%

Total Other Financing Sources

(Uses) (525,000) (77,876) (225,285) (525,000)

Net Change in Fund Balance (230,457) 129,813 126,310 (163,061)

Net Current Assets, 10/1/12 488,107 488,107 488,107

Net Current Assets, Ending 257,650 614,417 325,046

STORMWATER FUNDS

Actual

Projected

Expected*

%

Diff

%

STORMWATER FUNDS ANALYSIS20


Revenues

[1]

Expenses

[2]

[3]

[4]

Stormwater (538) -

Operating Expenses

The negative variance is primarily attributable to the timing of the start of the work on

the stormwater drain lines which will begin in April 2013 and is expected to be

completed by the end of June 2013 (weather permitting). The remaining negative

variance is attributed to unspent costs including office supplies, special supplies, and

tools and equipment which generally occur in the final quarter of the fiscal year.

Interest earnings is driven by cash balances, interest rates, and timing of interest

payments (since this is cash basis reporting). Currently, the average rate of return is

.85%, which is lower than the anticipated 1.5%. Based on current investments,

interest will project out for the year to $8,300 which is within the budget expectations.




STORMWATER FUNDS

174th Street Drainage

The project is currently under evaluation and consideration of future improvements

for water based activities. The contract with the original design consultant and project

contractor has been terminated by the City.

The City has completed a field investigation by the Engineer of Record. As a result,

staff is preparing a recommendation to alleviate the drainage issues that are affecting

residents on 174th Street in front of Winston Towers 600.

Bella Vista Bay Park

Interest and Other Earnings

STORMWATER FUNDS ANALYSIS21


CUSTOMER NAME

Current

(< 30 days) 30 - 60 days 60 - 90 days Over 90 days

Other Receivables

RK Associates [1] - - - 7,340.47

Newport Hospitality LLC. [2] 1,500.00 - - -

Police Detail

Regalia [3] 23,406.00 4,512.00 17,874.00 7,296.00

Beach Bar [4] 456.00 - - -

Chateau Beach [5] 10,512.00 8,712.00 - -

Coastal Construction - The Mansions of

Acqualina [5] 384.00 1,272.00 - -

CCU-Comcast [6] 1,080.00 3,264.00 - -

Seashore Club [7] 144.00 - - -

Turnberry [7] 168.00 - - 144.00

AT&T [7] - 312.00 - -

Coastal Towers [7] - - 336.00 -

Cable Wiring [7] - - - 144.00

37,650.00 18,072.00 18,210.00 14,924.47

Total Receivables 88,856.47

Note:[1]

[2]

[3]

[4]

[5]

[6]

[7]

Chateau Beach and Coastal Construction fees are considered collectible. The developer is considered

responsive. In addition, the developer will continue to need off-duty services throughout the build-out phase of

the development and payment may be enforced in continuation of providing the services.

CCU-Comcast has paid the balance due. Payment was received in April 2013.

Remaining receivable balances are considered collectible.

STATUS OF RECEIVABLES

Charges to RK Associates represent half of the traffic study costs per Resolution 2011-1694. Payment is

expected upon completion of the 182nd and 183rd Collins Avenue capital project.

Receivable balance represents parking fees for March 2013 per the agreement with the City for use of the

parking lot at 287 Sunny Isles Boulevard.

Regalia fees are considered collectible. The developer has made payments subsequent to March 2013 and is

considered responsive. In addition, the developer will continue to need off-duty services throughout the build-

out phase of the development and payment may be enforced in continuation of providing the services.

Beach Bar has paid the balance due. Payment was received in April 2013.

STATUS OF RECEIVABLES22


Grantor Description Status Period Covered

Grant

Amount

Amount

Awarded

Received

to Date

Prior Years

Expenditures

Current

Expenditures

Total

Expenditures

FDEP - Land Water Conservation Fund Intracoastal ParkAwarded FY 2012/2013 - FY 2013/2014 200,000 200,000 - - - -

FDEP - Land Water Conservation Fund Bella Vista Bay ParkAwarded March 18, 2011 - March 16, 2014 200,000 200,000 - 126,663 23,329 149,992

Florida Recreation Development Assistance Program Gateway Park DevelopmentApp. Submitted FY 2013/2014 200,000 - - - - -

Florida Recreation Development Assistance Program Gwen Margolis Park - artificial turfApp. Submitted FY 2013/2014 200,000 - - - - -

Florida House Subcommittee on Agriculture and Natural

Resources

174th Street Drainage ImprovementsNot Funded FY 2013/2014 164,000 - - - - -

Florida House Subcommittee on Agriculture and Natural

Resources

Gateway Park Development Drainage

ImprovementsNot Funded FY 2013/2014 250,000 - - - - -

Florida Department of Cultural Affairs Gateway Park Development StagePreparing App. FY 2013/2014 500,000 - - - - -

Totals 1,714,000 400,000 0 126,663 23,329 149,992

GRANT PROGRAMS

State

GRANTS23

quarterly financial report...fy 2013 financial analysis city of sunny isles beach 13,614,431 general...

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