Piedmont Audited Financial Statements: FY 2018-19
ECONOMIC FACTORS AND NEXT BUDGET
General Fund
Over 60 percent of the City’s general revenue sources are property related. One of the critical sources of General Fund revenue is the voter approved parcel tax which represents approximately 7% of the General Fund revenues and provides discretionary funding to maintain essential services.
In November 2016, Piedmont voters approved a four year extension and increase of the parcel tax, which will run from July 1, 2017 through June 30, 2021. The additional funds will assist with facilities maintenance and the modernization of information technology systems.
Another critical source of General Fund revenue is the real property transfer tax, which is realized when homes are sold. During this fiscal year, real property transfer tax represents approximately 12% of General Fund revenues, the same as compared to last fiscal year. Real property transfer tax is an area to be monitored as tax receipts will fluctuate as they are dependent on the strength of the real estate market in Piedmont.
In FY 2017-18, revenues in excess of the budgeted amount was transferred to the Facilities Maintenance and the Pension Rate Stabilization Funds.
The City’s salary and benefit costs represent approximately 69% of the General Fund and the employee agreements from 2017 provided for salary increases, but required employees to continue contribution to pension and medical costs.
Sewer Fund
On August 4, 2014, the United States Environmental Protection Agency (EPA) issuing a negotiated Consent Decree (CD). The CD is intended to provide an expanded period of time (21 years) to allow the City to rehabilitate the sewer systems in order to substantially reduce the amount of infiltration and inflow (I&I) in the EBMUD system.
The City restarted Phase V preliminary work and has completed the 100% design documents and has submitted State Water Resources Control Board (SWRCB) loan documents since the State provides funding with low interest rates. The SWRCB granted the loan and construction began in the summer of 2017 and was completed in the fall of 2018.
READ the entire Audit by clicking below:
05/20/19 – Receipt of the FY 2017-2018 Audited Financial Statements
READ the May 20, 2019 agenda by clicking below:
http://www.ci.piedmont.ca.us/html/govern/agendas/2019-05-20.pdf
