The Marana Town council were briefed on the town’s financials for the first quarter of the fiscal year their first meeting of 2017.
Town Finance Manager Erik Montague presented the council with the first quarter, July through September 2016, results for the Town’s general fund and other selected major funds for the 2016-17 fiscal year. Overall both revenues and expenditures were in line with projections.
Montague began with the general fund and its top three revenues. Sales taxes, state shared revenues and licenses, permits and fees make up 95 percent of budgeted revenues.
“We are close to projections for this quarter,” Montague said, explaining the numbers are not seasonally adjusted and some of the revenues are expected to increase the second quarter, which encompasses the holiday season.
The town collected $6.07 million in sales tax, roughly 25 percent of the yearly budgeted projection of $24.1 million and almost $300,000 more than was collected in the first quarter of the 2016 fiscal year.
Intergovernmental revenues were $2.3 million and were less than $1,000 behind last year’s numbers, and were at 22 percent of the total budgeted amount.
“There is some fluctuation in the vehicle registration tax staff will continue to monitor to see if there is some timing attached to the distribution,” said Montague.
Licenses, fees and permits were off slightly, with just over $813,000 collected, just 20 percent of the $4 million budgeted and almost $300,000 behind the first quarter last year. Montague said those numbers are off slightly “due to timing and some variation in commercial permits for existing structures.”
The town had hoped to issue 138 single family permits but issued just 120 for the first quarter.
Expenditures for personnel and benefits were where they expected it to be as were contracted services.
Revenues from the half-cent sales tax fund for the police station were budgeted at $6 million and they collected $1.2 million, about 20 percent. Montague said that was to be expected due to seasonality. The budget will likely be met with increased spending during the holidays and into the new year with winter visitors.
Expenditures for the project were “modest”, but will begin to increase in costs as the project moves forward through the design phase and into construction.
Council Member Roxanne Ziegler asked if they had figures on revenue collected from the outlet mall since it opened available. Montague said the town collected about $1.2 million the last fiscal year, but he did not have the figure for this fiscal quarter with him, but that “year over year numbers for October and November are trending strongly.”
Revenues for the Highway User Revenue Fund (HURF) and the Water Operating Fund revenues were within expectations.