Meeting Date: October 6, 2021Agenda No. Item 3.4Agenda Item Title: FY 2020-21 Year End Actuals

Summary

Attached for the Commission’s review is a spreadsheet showing the Commission’s actual expenditures and revenues for the fiscal year beginning July 1, 2020 through June 30, 2021.

Summary:

The Expenditures for FY 2020-21 totaled $742,284, 88% of the Adopted Budget of $845,510. Revenues totaled $769,810, 105% of the Adopted Budget of $730,275. This amount includes $43,625 in fees for services that is accounted for but not included in the budget.

In adopting the FY 2020-21 budget, the Commission limited the increase in agency apportionments to 3% over the 2019-20 budget by using Fund Balance monies to balance the level of projected expenditures. The final figures show that the increase in the apportionments together with the lower than projected actual expenditures and the amount of funds from the fees for services eliminated the need to use monies from the Fund Balance.

Salaries and Benefits

In June 2020, the former Assistant Executive Officer (AEO) retired and the Commission was obligated to pay for accrued vacation and compensated time off as well as the cost to the retirement system for accrued sick leave converted to time served. These payoff amounts are reflected in the 2021-21 Salaries and Benefits as a onetime cost of $45,462.

The AEO position, allocated as an Administrative Analyst III (0.8 FTE) was included in the 2020-21 budget but not filled. The budgeted salaries and benefits for this position were greater than the onetime retirement costs.  

The County Administrator’s staff had suggested that we include a onetime Unfunded Actuarial Accrued Liability (UAAL) for pensions in the amount of $7,935 as a result of determinations by the County that it expects full cost recovery of full future retirement costs of County employees who act as employees for outside entities, such as LAFCO. For reasons unexplained, the onetime charge was not expended. Instead, there was a charge for the annual liability that will be determined and collected each year moving forward.

Expenditures:

The decrease in the use of travel funds is reflective of the emergence of the Covid Virus in March 2020 resulting in the cancellation of all the 2020-21 CALAFCO events.

The cost for services provided by the County was lower than estimated at the time of the budget preparation and the costs for website support was lower due to the use of staff to maintain the Commission’s website.

The bi-annual audit covering the years July 1, 2018 – June 30, 2020 of the Commission’s financial records was budgeted for FY 2020-21 and was to be initiated in early 2021. Due to the disruption of services from Covid and the decrease in the Commission staffing levels, the audit was postponed to later in FY 2021-22.

All the above account in large part for the difference of $103,226 between the budgeted and actual expenses.

Revenues:

The apportionments were slightly less than budgeted due to a payment from a special district submitted after the close of the FY 2020-21 books. The payment will be reflected in the FY 2021-22 year.

The interest on pooled funds was lower than projected due to the decrease of investment returns from the economy slowdown from Covid.

Overall, the revenues were sufficient to cover the costs of the expenditures without the use of the Commission’s fund balance.

Fund Balance:

The balance as of July 1, 2021 is $536,569 of which $181,954 is committed to balance the FY 2021-22 Budget 

Attachments 

1. FY 2020-21 Year End Actuals