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FY 2024/25 Quarterly Budget Update
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Requested Action(s)
recommendation
Review and approve the revised FY 2024/2025 budget, as presented.
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Financial Impact:
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Background Information:
Attached is a spreadsheet providing a summary of first quarter revenues and expenditures as of March 24, 2025.
Income
The FY 2024/2025 budget utilizes the following revenue sources and is expected to result in a contingency of $48,310.32 (5.21%):
- Interest (440300) income is relative to federal interest rates. Pursuant to the guidance provided by the Tehama County Auditor-Controller for the purposes of budgeting interest income, interest revenue is predicted to yield approximately 2% for FY 2024/2025. The third quarter interest apportionment has not yet been posted.
- Gate Fees (461001), which are budgeted based on a flat monthly fee of $70,000 per month for FY 2024/2025, represent eight months of gate fee revenues.
- Hazardous Waste Fees (461005) represents HHW business fees, donations made to the used oil collection facility (ABOPS) and Ag Oil Facility. The second quarter PaintCare reimbursement for our REAP paint reuse program was received in February.
- Miscellaneous Revenue (471120) includes grazing lease fees, and other small amounts of revenue. A new grazing lease began January 6, 2025, resulting in slightly lower revenue for the first year of the lease.
- Interfund Revenue (461070) is reimbursed labor costs for grant-related work.
- Fund Balance Available (301900) income utilizes available funds from previous fiscal years as a funding source.
Expenses
Expenses are projected as described below.
- Salary/Wages (510100), PERS (510200), OASDI (510210), Group Insurance (510300), and Unemployment Insurance (510310) take into consideration normal step increases at anniversary dates, the resignation of Recycling Program Analyst II, untimely passing of the Agency Manager, and recruitment of replacement employees.
- Pay in Lieu/Misc Payouts (51015) includes payment for accrued vacation or Personal Time Off.
- PERS Unfunded Liability and ADP Misc PERS Unfunded are the Agency’s portion of the PERS unfunded liability, currently at $49,197.40 for FY 2024/25, and an additional discretionary payment to pay down the unfunded PERS loan balance faster.
- Workers Compensation (510400) rates are expected to decrease slightly.
- Property, Crime, Liability, and Pollution Insurance (531500) includes payment of crime, liability and pollution coverage.
- Maintenance of Equipment (53170) includes typical maintenance of equipment, setting up new computers, as well as repairs to the Agency’s forklift at the Corning HHW Facility.
- Maintenance Structures-Improvement of Grounds (53180) takes into consideration the cost of maintaining the fire suppression systems at the Agency’s two Household Hazardous Waste facilities, as well as anticipated upgrades to the Corning HHW Facility.
- Membership and Dues (53200) includes membership to the Rural Counties’ Environmental Services Joint Powers Authority and Solid Waste Association of North America.
- Misc Expense (53210) is budgeted at $16,000. This expense account is utilized for Board per diem compensation for meeting attendance.
- Office Expense includes typical office supplies and a monthly lease payment for a multifunction copier.
- Professional/Special Services (53230) is budgeted for $83,528.40. Expenses to be funded through current year gate fees include attorney fees, independent audit costs, use of personnel at the Tehama County Auditor-Controller’s office for various accounting services, an administrative fee pursuant to the agreement between the Agency and the County, Lawrence and Associates assistance with upgrades to the Corning HHW Facility, and janitorial services. Below is an itemized breakout of budgeted expenses:
|
|
FY 24/25 |
As of 3/24/25 |
|
Attorney Fees |
$15,000 |
$7,215.90 |
|
Accounting Services Agreement |
$10,000 |
$4,158.06 |
|
Administration Fees |
$23,013 |
$17,259.75 |
|
Audit |
$15,000 |
$0.00 |
|
Lawrence & Associates |
$9,000 |
$0.00 |
|
Miscellaneous |
$2,000 |
$311.89 |
|
CEQA/Permitting |
$0.00 |
$0.00 |
|
Janitorial Services |
$6,000 |
$3,800.00 |
|
Express Employment Services |
3,515.40 |
$2,312.13 |
|
Total |
$83,528.40 |
$35,057.73 |
- Employee Travel/Training (53290) and Transportation (53291) includes typical travel, training, and fuel costs.
- Utilities (53300) reflects anticipated costs for PG&E, Hue & Cry, and fire alarm maintenance, monitoring and testing.
- Hazardous Waste Disposal (558007) is budgeted at $150,000. Total disposal costs increased January 1, 2025 as part of the new agreement with ACTenviro. Staff have increase this budget category by $10,000 to reflect the cost increase.
- Litter Abatement/Illegal Dumping funds illegal dumping on public roads outside of Baker and Plymire and also supports AB 109 illegal dumping clean-up costs in the community.
As of March 24, 2025, revenues exceed expenditures by $160,493.21. Income is 76.42% of projected revenue for the year. Expenditures are 62.36% of projected expenditures for the year. The retained earnings balance will be reported once received from the Tehama County Auditor-Controller.
Respectfully submitted,
Paul Freund