TO: Mayor and City Council
THROUGH: Krishna Namburi, Interim City Manager
FROM: Josh Eggleston, Chief Financial Officer
SUBJECT:
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City of Salem Fiscal Year 2025 Quarter 4 Financial Report - Preliminary
Ward(s): All Wards
Councilor(s): All Councilors
Neighborhood(s): All Neighborhoods
Result Area(s): Good Governance
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SUMMARY:
summary
The Fiscal Year (FY) 2025 Quarter 4 (Q4) Preliminary Financial Report for the City of Salem reflects activity posted year to date through June 30, 2025.
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ISSUE:
Information only.
RECOMMENDATION:
recommendation
Information only.
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FACTS AND FINDINGS:
The preliminary City of Salem quarterly report compares budget to actuals as well as year over year changes for the General Fund and all other City funds. The final quarterly report will come before City Council in January after the fiscal year is closed and audit is completed.
The preliminary Q4 report for the City reflects financial activity posted year to date from July 1, 2024, through June 30, 2025, all four quarters of fiscal year 2025. While most transactions have been recorded, certain revenues and some expenditures are still expected. At the end of Q4, citywide resources totaled $906,184,485 and expenditures were $538,939,488.
On the first page of the City’s preliminary Q4 report, the General Fund activity is shown by resource categories and expenditures by department.
General Fund Resources totaled $203,355,119. Property taxes account for 51.2% of revenues, the largest source in the General Fund. Overall, resources received are 97.0% of total budgeted amounts. Beginning working capital is lower by 4.2% compared with last fiscal year as a portion of fund balance was spent to pay for services in FY 2024.
The largest expenditure category in the General Fund is personal services totaling $141,720,945 or 79.6% of total expenditures, and all pay periods have been completed. The second largest expenditure category is materials and services totaling $33,878,708 or 19.0% of total expenditures. Overall, fund expenditures are 93.2% of total budgeted amounts. At the end of Q4, Police and Fire comprise the majority of expenditures by department, Police at $62,059,336 or 34.8% of total expenditures and Fire at $50,701,666 or 28.5% of total expenditures.
The second page shows all other City funds and their related activity posted year to date for FY 2025. The Utility Fund had the largest expenses at $136,151,286 or 37.7% of total other fund expenditures.
BACKGROUND:
The Budget Office has provided quarterly reports to the Budget Committee and published them online for the public for over a decade. These reports are typically provided to the Budget Committee at their winter and spring meetings when they review the forecast and budget. During adoption of the FY 2025 budget, City Council requested that these reports be provided directly to the City Council within 45 days of the end of each quarter.
Emese Bihari
Management Analyst II
Attachments:
1. City FY 2025 Quarter 4 Financial Report - Preliminary