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Home My WebLink About2023-055 2nd Quarter Financial Report FY2023August 18, 2023 Report No. 2023-055 INFORMAL STAFF REPORT TO MAYOR AND CITY COUNCIL SUBJECT: Quarterly Financial Report for the period ending March 31, 2023. BACKGROUND: Attached, for your review is the Quarterly Financial Report for the period ending March 31, 2023. If you have any que stions or need additional information, please let me know. STAFF CONTACT: Aimee Kaslik, Interim Director of Finance (940) 349-7899 Aimee.Kaslik @cityofdenton.com About This Quarterly Financial Report This report has been prepared by the City of Denton’s Finance Department. The Quarterly Financial Report is intended to provide our users (internal and external) with information regarding the City’s financial position and economic activity. This report includes information for the quarter ending March 31, 2022. This report is presented in four sections. 1. The Executive Dashboard section contains a high-level summary of the major operating funds using graphic illustrations and key economic indicators. Narrative disclosures are also included to highlight any significant changes or fluctuations. 2. The Financial Summary section reports the performance of the major operating funds of the City. In addition, the report provides preliminary actuals and a comparison to the budget for major revenue sources and expenditure items. 3. The Revenue & Economic Analysis section provides additional analysis regarding key revenue sources and economic indicators. 4. The Quarterly Investment Report section provides a summary of the City’s investment portfolio, interest earnings and a brief market outlook. The Quarterly Financial Report is intended to provide our users with timely and relevant information. Please provide us with any comments or suggestions you may have. If you would like additional information, feel free to contact me. Aimee Kaslik Interim Director of Finance 215 East McKinney Street Denton, TX 76201 940-349-7899 Section 1 City of Denton Quarterly Financial Report March 2023 Executive Dashboards Note: All figures presented are in millions of dollars.FY 2022-23 FY 2022-23ANNUAL YTDDESCRIPTIONBUDGET 1ACTUALS ANNUAL VARIANCEBeginning Fund Balance as of 09/30/2140.81$ 45.46$ 40.81$ RESOURCES: Ad Valorem Taxes57.78 56.80 57.86 0% Sales Tax54.72 27.16 55.31 1% Franchise Fees2.72 1.80 2.99 10% Other Taxes0.46 0.15 0.47 2% Service Fees8.37 3.80 8.67 4% Fines and Fees2.40 0.87 1.78 -26% Licenses and Permits8.86 3.52 6.56 -26% Miscellaneous Revenue5.04 3.64 7.64 52% Transfers In42.51 14.45 32.50 -24%Total Revenues182.86 112.19 173.78 -5%Total Re sou rce s223.67 157.65 214.59 EXPENDITURES: Personal Service114.87 57.53 110.99 -3% Material and Supplies3.76 1.59 3.08 -18% Maintenance and Repairs2.06 0.72 1.54 -25% Insurance3.25 1.66 3.32 2% Miscellaneous2.66 0.94 1.74 -35% Operations34.86 7.41 29.14 -16% Transfers Out21.96 11.79 22.15 1% Fixed Assets0.54 0.22 0.47 -13%Total Expenditures183.96 81.86 172.43 -6%Net Income (Loss)(1.10) 30.33 1.35 Ending Fund Balance39.71$ 75.79$ 42.16$ FY 2022-23PROJECTIONSCity of Denton, Texas General Fund Executive Dashboard $‐ $20 $40 $60 $80 $100 $120Revenue & Expenses (in Millions)YTD RevenueYTD ExpensesKey TrendsInvestment revenues are higher than budget due to increased interestrates.Data Center revenues are not as high as budgeted.Revenue from permits are projected lower than budgeted. Operation expenditures are lower than budgeted but expected to increase in the third quarter. This includes decreased Data Center expenditures to fund the Sustainability, Catalyst, and Street funds due to lower revenues. $‐ $1.0 $2.0 $3.0 $4.0 $5.0 $6.0Sales Tax Monthly Average by Quarter1Annual adopted budget as amended or modified. Beginning Fund Balance represents the amount which was estimated in the FY 2021‐22 budget process. Note: All figures presented are in millions of dollars.City of Denton, Texas Electric Fund Executive DashboardFY 2022-23ANNUAL YTDPROJECTIONSDESCRIPTION BUDGET 1ACTUALS ANNUAL VARIANCEBeginning Working Capital and Reserves as of 9/30/22 136.99$ 140.78$ 140.78$ RESOURCES: Rate Revenues 296.23 86.12 202.09 -32% Transmission Revenue 45.77 25.40 55.04 20% Other Revenues 5.36 3.44 5.36 0% DEC Revenues 52.55 13.93 41.02 -22%Total Revenues399.91 128.89 303.51 -24%Total Resources536.90 269.67 444.29 EXPENDITURES: Purchased Power197.75 51.81 90.17 -54% DEC Fuel37.05 5.95 22.38 -40% Transmission of Power22.10 9.48 22.09 0% P e rs o nne l S e rvic e24.89 11.19 22.38 -10% Operation and Maintenance 54.16 18.64 47.35 -13% Debt Service62.45 43.97 62.45 0% Transfers Out15.21 7.59 15.45 2% Capital Outlay1.81 0.16 6.30 248%Total Expenditures415.42 148.79 288.57 -31%Net Income (Loss)(15.51) (19.90) 14.94 Ending Working Capital a nd R e s e rv e s12 1.4 8$ 120.88$ 155.72$ FY 2022-23$0$20$40$60$80$100$120$140$160Oct‐22 Nov‐22 Dec‐22 Jan‐23 Feb‐23 Mar‐23Revenue & Expenses (in Millions)YTD RevenueYTD ExpenseKey TrendsDEC Fuel expenses are projected lower than budget due to a decrease in fuel costs.01002003004005006001Q17 3Q17 1Q18 3Q18 1Q19 3Q19 1Q20 3Q20 1Q21 3Q21 1Q22 3Q22 1Q232017 – 2023 Historical Quarterly GWH Sales1 Annual adopted budget as amended or modified. Beginning Fund Balance represents the amount which was estimated in the FY 2022‐23 budget process. Note: All figures presented are in millions of dollars. FY 2022-23 ANNUAL YTD DES CRIP TION BUDGET 1 ACTUALS ANNUAL VARIANCE Beg inning Working Capital and Res erves as of 09/30/22 2 24.71$ 29.59$ 29.59$ RES OURCES : Water S ales 43.83 19.26 43.81 0% Other Water Revenues 8.14 1.11 1.79 -78% Trans fers In 3.57 1.45 3.57 0% Impact Fee Revenue 6.61 3.30 6.61 0% Total Revenues 62.15 25.12 55.78 -10% Total Res ources 86.86 54.71 85.37 EXP ENDITURES : Pers onnel S ervice 10.02 4.49 8.80 -12% Operations , S ervices 13.57 6.08 13.74 1% Capital Outlay 21.18 7.22 14.36 -32% Debt S ervice 10.24 8.87 10.24 0% Trans fers Out 8.05 4.15 8.05 0% Total Expenditures 63.06 30.81 55.19 -12% Net Income (Los s )(0.91) (5.69) 0.59 Ending Working Capital and Res erves 23.80$ 23.90$ 30.18$ FY 2022-23 P ROJECTIONS City of Denton, Texas Water Fund Executive Dashboard $- $5 $10 $15 $20 $25 $30 $35 Oct-22 Nov-22 Dec-22 Jan-23 Feb-23 Mar-23 Revenue & Expenses (in Millions) YTD Revenue YTD Expenses Key Trends Other Water Revenues and Capital Outlay both decreased from budget due to cost participation payments now expected to be received in future fiscal years. Personnel Services are projected to come in under budget by $1.2M due to vacancies. 1Annual adopted budget as amended or modified. Beginning Fund Balance represents the amount which was estimated in the FY 2022-23 budget process. 2The Beginning Working Capital balance excludes $32.8 million of Impact Fee Reserves and $2.4 million in additional reserves related to future payments to the Army Corps of Engineers for Lake Lewisville dam repairs. 0 500 1,000 1,500 2,000 2,500 3,000 2016-2023 Historical Quarterly Gallons Sold (in Millions) FY 2022-23ANNUALYTDDESCRIPTIONBUDGET 1 ACTUALS ANNUAL VARIANCEBeginning Working Capital and Reserves as of 09/30/22224.81$ 28.12$ 28.12$ RESOURCES: Wastewater Fees29.32 13.62 27.29 -7% Other Wastewater Revenue2.52 1.19 2.55 1% Drainage Fees5.84 2.17 4.60 -21% Cost Participation 13.65 - - -100% Transfer In0.61 0.31 0.57 -7% Impact Fee Revenue4.27 2.13 4.27 0%Total Revenues56.21 19.42 39.28 -30%Total Resources81.02 47.54 67.40 EXPENDITURES: Pers onnel S ervice8.78 4.11 8.10 -8% Operations, Services10.84 5.00 10.50 -3% Capital Outlay29.76 13.86 16.43 -45% Debt Service8.63 7.13 8.63 0% Transfer Out8.47 4.73 8.47 0%Total Expenditures66.48 34.83 52.13 -22%Net Income (Loss)(10.27) (15.41) (12.85) Ending Working Capital and Reserves 14.54$ 12.71$ 15.27$ FY 2022-23PROJECTIONSNote: All figures presented are in millions of dollars.City of Denton, Texas Wastewater Fund Executive Dashboard $‐ $5 $10 $15 $20 $25 $30 $35 $40Oct‐22 Nov‐22 Dec‐22 Jan‐23 Feb‐23 Mar‐23Revenue & Expenses (in Millions)YTD RevenueYTD ExpensesKey TrendsCost participation and capital outlay both decreased from budget due to cost participation reimbursements now being expected.1Annual adopted budget as amended or modified. Beginning Fund Balance represents the amount which was estimated in the FY 2022‐23 budget process.2The Beginning Working Capital balance excludes $20.4 million of Impact Fee Reserves, $1.0 million for Drainage Reserves.02004006008001,0001,2001,4002016‐2023 Historical Quarterly Gallons Billed (in Millions) FY 2022-23 ANNUAL YTD DES CRIP TION BUDGET ACTUALS ANNUAL VARIANCE REVENUES : Res idential Drainag e Fees 2.18$ 1.06$ 2.00$ -8% Nonres idential Drainag e Fees 3.65 1.10 2.60 -29% Inves tment Income - - - 0% Was tewater Res ources 0.07 - 0.05 -29% General Fund Trans fer 0.38 0.19 0.38 0% Total Revenues 6.28 2.35 5.03 -20% EXP ENDITURES : P ers onnel S ervice 2.24 0.88 1.70 -24% Operations , S ervices 1.07 0.34 0.91 -15% Capital Outlay 2.23 0.62 1.68 -25% Debt S ervice - - - 0% Trans fer Out 0.74 0.29 0.74 0% Total Expenditures 6.28 2.13 5.03 -20% Net Income (Los s )-$ 0.22$ -$ FY 2022-23 P ROJECTIONS Note: All figures presented are in millions of dollars. City of Denton, Texas Drainage Operations Executive Dashboard $- $0.5 $1.0 $1.5 $2.0 $2.5 Oct-22 Nov-22 Dec-22 Jan-23 Feb-23 Mar-23 Revenue & Expenses (in Millions) YTD Revenue YTD Expenses Key Trends Nonresidential drainage fees are expected to come in under budget due to crediting DISD accounts for drainage services. 0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 9,000 Q2 2022 Q3 2022 Q4 2023 Q1 2023 Q2 Recycling and ReuseTonnage Residential Curbside Collection Tonnage Note: All figures presented are in millions of dollars. City of Denton, Texas Solid Waste Fund Executive Dashboard Key Trends Personnel plus Material and Supplies expenses are trending below budget.0 5,000 10,000 15,000 20,000 25,000 30,000 2021 Q3 2021 Q4 2022 Q1 2022 Q2 2022 Q3 2022 Q4 2023 Q1 2023 Q2 Commercial Refuse & Recycling (Front & Side Load) Cubic Yards Serviced per Week Commercial Refuse Commercial Recycling1Annual adopted budget as amended or modified. Beginning Working Capital and Reserves represents the amount which was estimated in the FY 2022-23 budget process. 2The Beginning Working Capital and Reserves excludes $12.68 million of Landfill Closure/Post Closure reserves. FY 2022-23 FY 2022-23 ANNUAL YTD PROJECTIONS DESCRIPTION BUDGET 1 ACTUALS ANNUAL VARIANCE Beginning Working Capital and Reserves as of 09/30/22 2 10.27$ 12.14$ 12.14$ RESOURCES: Collection & Disposal 31.01 15.28 30.34 -2% Recycling 7.31 3.66 7.23 -1% Other Revenue 1.03 0.72 0.83 -19% Total Revenues 39.35 19.66 38.40 -2% Total Resources 49.62 31.80 50.54 EXPENDITURES: Personnel Service 12.32 5.97 11.10 -10% Operations, Services 10.54 5.18 10.00 -5% Capital Outlay 8.25 7.63 8.04 -3% Debt Service 3.90 3.44 3.90 0% Landfill Closure 0.74 0.37 0.74 0% Transfer Out 5.96 2.42 5.96 0% Total Expenditures 41.71 25.01 39.74 -5% Net Income (Loss)(2.36) (5.35) (1.34) Ending Working Capital and Reserves 7.91$ 6.79$ 10.80$ City of Denton, Texas Airport Fund Executive Dashboard Key Trends Interest earned on investments is well above original budget expectations. A focus on controlling costs has kept most expense groups well under budget expectations. $0.0 $1.0 $2.0 2017 2018 2019 2020 2021 2022 2023 GAS WELL REVENUE (in millions of dollars by fiscal year) 20,000 30,000 40,000 50,000 60,000 AIRPORT OPERATIONS BY QUARTER (takeoff or landing by fiscal year) Note: All financial amounts presented are in millions of dollars. FY 2022-23 FY 2022-23 ANNUAL YTD DES CRIP TION BUDGET 1 ACTUALS ANNUAL VARIANCE Beg inning Working Capital and Res erves as of 09/30/22 2.38$ 3.14$ 3.14$ RES OURCES : Airport Ground Leas es 0.84 0.45 0.84 0% FBO Commis s ions 0.24 0.12 0.31 29% Fuel Flowag e Fees 0.14 0.07 0.24 71% Total Operating Revenues 1.22 0.64 1.39 14% EXP ENDITURES : P ers onnel S ervices 0.56 0.36 0.72 29% Operations , S ervices 0.44 0.10 0.35 -20% Trans fer Out 0.46 0.27 0.54 17% Total Operating Expenditures 1.46 0.72 1.61 10% Net Operating Income (Los s )(0.24) (0.08) (0.22) NON-OP ERATING REVENUES : Inves tment Income 0.01 0.10 0.16 1500% Gas Well Royalties 0.32 0.15 0.40 25% Mis cellaneos Income 0.00 (0.07)0.15 0% Total Non-Operating Revenues 0.33 0.18 0.71 115% NON-OP ERATING EXP ENDITURES : Debt S ervice 0.74 0.63 0.74 0% Trans fer Out - Capital - - - 0% Total Non-Operating Expenditures 0.74 0.63 0.74 0% Net Non-Operating Income (Los s )(0.41) (0.45) (0.03) Net Income (Los s )(0.65) (0.53) (0.25) Ending Working Capital and Res erves 1.73$ 2.61$ 2.89$ P ROJECTIONS 1Annual adopted budget as amended or modified. Beginning Working Capital and Reserves represents the amount which was estimated in the FY 2022-23 budget process. City of Denton, Texas Street Improvement Fund Executive DashboardKey TrendsRevenues and expenditures are projected to meet budgeted level.Interest earned on investments is well above original budget expectations.1Annual adopted budget as amended or modified. Beginning Fund Balance represents the amount which was estimated in the FY 2022‐23 budget process.Note: All figures presented are in millions of dollars.FY 2022-23ANNUAL YTDDESCRIPTION BUDGET 1ACTUALS ANNUAL VARIANCEBeginning Working Capital and Reserves as of 09/30/22 3.60$ 4.50$ 4.50$ 4.50$ RESOURCES: Franchise Fees15.10 7.25 14.48 15.10 0% Investment Income0.04 0.12 0.06 0.16 300% Transfers In1.31 0.66 1.31 1.30 -1%Total Revenues16.45 8.03 15.85 16.56 1%Total Resources20.05 12.53 20.35 21.06 EXPENDITURES: Personnel Services3.97 1.62 3.30 3.96 0% Materials & Supplies0.10 0.05 0.11 0.10 0% Maintenance & Repairs4.69 3.00 5.60 4.69 0% Operations, Services1.35 0.73 0.88 1.36 1% Transfer Out7.23 1.82 5.96 7.23 0%Total Expenditures17.34 7.22 15.85 17.34 0%Net Income (Loss)(0.89)$ 0.81$ -$ (0.78)$ FY 2022-23PRO JEC TIO NS$0.0$2.0$4.0$6.0$8.0Oct Nov Dec Jan Feb MarRevenues & Expenditures (in Millions)YTD RevenuesYTD Expenditures024Qtr1Qtr2Tons of Asphalt Laid (in Thousands)FY 21‐22FY 22‐230.010.020.030.040.0Qtr1 Qtr2Lane Miles Surface TreatmentFY 21‐22FY 22‐23* Note: There was no activity for 2ndQuarter. FY 2022-23FY 2022-23GRANT YTDDESCRIPTIONAMOUNTACTUALS2022-23 Budget Comm Development 5.65$ 0.80$ Public Safety5.99 0.53 Transportation52.61 1.25 Other20.57 1.55 Total Budget84.82 4.13 New Awards Public Safety0.05 0.05 Transportation0.40 0.40 Total New Awards0.45 0.45 Totals 85.27$ 4.58$ COMM DEV6.62%PUBLIC SAFETY7.10%TRANS62.16%OTHER24.12%FY 2022‐23 Grants Awarded $‐ $20.0 $40.0 $60.0COMMDEVPUBLICSAFETYTRANSOTHERAwardsExpensesFY 2022‐23 Awards & Expenses (in Millions)City of Denton, Texas Grants DashboardNote: All figures presented are in millions of dollars.Key TrendsThe following grants have been received in FY 2022-23: Chapter 59 Asset Forfeitures: $24,074FY2021 Improving Criminal Justice Responses: $17,627TDEM-Winter Storm: $1,7532022 SHSP-Hazmat Dry Decon Kit:$13,291DWI Phlebotomy Program:$707TxDot-Bonnie Brae-Windsor Drive to US 77: $396,631Rural Texas Women at Work:$128 Section 2 City of Denton Quarterly Financial Report March 2023 This report is designed for internal use and does not include all the funds and accounts included in the City of Denton’s operations. The information provided is unaudited; for a complete audited report, please refer to the City of Denton Comprehensive Annual Financial Report, available through the City’s Finance Department, City Secretary’s Office, or Denton Public Libraries. FINANCIAL SUMMARY City of Denton General Fund Schedule of Revenues - Budget vs Projection (Unaudited) For the Period Ended March 31, 2023 PRIOR BUDGET CURRENT ANNUAL PRELIMINARY BUDGET VS REVENUE DESCRIPTION Y-T-D Y-T-D Y-T-D BUDGET PROJECTION PROJECTION Current Year - Ad Valorem 47,812,458$ 28,563,752$ 56,514,480$ 57,104,662$ 57,228,162$ 0% Delinquent - Ad Valorem 84,863 67,500 63,041 135,000 76,751 -43% Miscellaneous Penalties & Fees 205,665 292,060 218,214 538,000 555,217 3% Ad Valorem Taxes 48,102,986 28,923,312 56,795,735 57,777,662 57,860,130 0% Sales Tax 25,652,304 27,908,231 27,164,908 54,722,022 55,307,705 1% Franchise - Gas Utilities 9,843 47,604 131,570 225,478 248,100 10% Franchise - Private Electric Utilities - 4,571 19,982 50,522 55,591 10% Franchise - Cable 4,498 52,802 48,732 174,998 192,555 10% Franchise - Telecom 4,272 5,357 6,509 35,522 39,086 10% Franchise - Denton Municipal Utilities 854,361 654,602 1,594,248 2,229,597 2,453,291 10% Franchise Fees 872,974 764,936 1,801,041 2,716,117 2,988,623 10% Other Taxes 113,458 114,501 148,869 458,003 468,379 2% Ambulance Service Fees 1,687,146 1,015,006 1,606,706 3,305,828 3,340,656 1% Fire Department Fees 96,096 5,829 117,132 161,657 158,766 -2% Building Inspections Fees 336,958 245,476 386,347 615,843 725,912 18% Park Department Fees 294,740 114,034 353,843 1,760,272 1,674,634 -5% Planning Department Fees 1,208,912 1,145,423 1,290,808 2,379,380 2,691,735 13% Miscellaneous Service Fees 57,979 73,818 46,831 147,616 74,317 -50% Service Fees 3,681,831 2,599,586 3,801,667 8,370,596 8,666,020 4% Denton Municipal Fines 329,244 423,017 294,191 846,000 628,700 -26% Parking Fines 53,050 69,500 54,428 139,000 121,270 -13% Miscellaneous Fines and Fees 205,804 244,988 206,125 545,619 414,657 -24% Court Administrative and Service Fees 282,418 411,211 310,648 866,137 614,206 -29% Fines and Fees 870,516 1,148,716 865,392 2,396,756 1,778,833 -26% Demolition Permits 4,813 6,078 5,429 12,156 15,297 26% Building Permits 4,099,630 4,010,480 3,449,790 8,777,904 6,457,539 -26% Certificate of Occupancy 23,925 27,612 46,833 55,222 83,294 51% Miscellaneous Licenses and Permits 6,117 6,751 18,921 13,502 7,867 -42% Licenses and Permits 4,134,485 4,050,921 3,520,973 8,858,784 6,563,997 -26% Investment Income 53,566 75,030 982,650 150,000 2,336,505 1458% Miscellaneous Revenues 1,164,126 2,121,902 2,661,175 4,891,862 5,302,315 8% Miscellaneous Resources 1,217,692 2,196,932 3,643,825 5,041,862 7,638,820 52% ROI - Denton Municipal Utilities 7,449,068 7,207,217 7,636,262 14,943,924 18,902,787 26% Transfers 6,645,679 13,792,343 6,809,458 27,573,659 13,599,951 -51% Transfers 14,094,747 20,999,560 14,445,720 42,517,583 32,502,738 -24% Total General Fund Revenues 98,740,993$ 88,706,695$ 112,188,130$ 182,859,385$ 173,775,245$ -5% City of Denton General Fund Schedule of Expenditures - Budget vs Projection (Unaudited) For the Period Ended March 31, 2023 PRIOR BUDGET CURRENT ANNUAL ANNUAL BUDGET VS Y-T-D Y-T-D Y-T-D BUDGET PROJECTION PROJECTION NEIGHBORHOOD SERVICES Building Inspections 1,602,311$ 1,975,476$ 1,831,745$ 3,949,385$ 3,484,366$ -12% Community Improvement Services 2,127 - - - - 0% Libraries 3,016,896 3,110,410 3,179,236 6,218,347 6,076,740 -2% Parks and Recreation 6,936,223 8,344,124 6,385,221 16,681,570 12,635,894 -24% Planning 1,039,873 1,640,467 1,295,974 3,093,774 2,467,474 -20% Development Services Admin 549,307 718,742 846,205 1,436,912 1,578,049 10% Gas Well Review 62,654 190,177 55,135 380,218 187,674 -51% Social Services 1,086,690 1,661,256 1,321,847 3,321,188 2,595,511 -22% 14,296,081 17,640,652 14,915,363 35,081,394 29,025,708 -17% PUBLIC SAFETY Animal Services 1,129,730 1,400,053 1,409,709 2,798,999 2,709,656 -3% Fire 17,667,562 19,680,221 20,048,603 39,344,725 38,578,030 -2% Municipal Judge 250,880 328,447 324,306 656,630 632,934 -4% Police 21,201,664 25,382,363 25,746,655 49,793,655 49,506,557 -1% 40,249,836 46,791,084 47,529,273 92,594,009 91,427,177 -1% TRANSPORTATION Traffic Operations 1,220,376 1,405,949 1,265,436 2,810,774 2,378,632 -15% Street Lighting 476,500 450,180 478,699 900,000 871,144 -3% 1,696,876 1,856,129 1,744,135 3,710,774 3,249,776 -12% ADMINISTRATIVE & COMMUNITY SERVICES City Manager's Office 956,297 1,473,186 1,811,687 2,981,451 3,377,745 13% Economic Development 876,820 2,583,320 1,009,105 5,164,576 2,603,020 -50% Finance 2,620,260 3,160,302 2,869,420 6,318,106 5,635,629 -11% Human Resources 1,409,461 1,889,150 1,702,482 3,746,820 3,302,326 -12% Internal Audit 271,052 292,288 328,588 584,337 612,654 5% Legal Administration 1,367,548 1,626,582 1,444,882 3,251,866 2,793,696 -14% Public Affairs 943,979 1,234,988 1,201,004 2,469,006 2,270,780 -8% Non-Departmental 6,307,052 13,905,192 7,305,328 28,058,063 28,134,461 0% 14,752,469 26,165,008 17,672,496 52,574,225 48,730,311 -7% TOTAL EXPENDITURES 70,995,262$ 92,452,873$ 81,861,267$ 183,960,402$ 172,432,972$ -6% City of Denton Electric Fund Schedule of Revenues and Expenditures - Budget vs Projection (Unaudited) For the Period Ended March 31, 2023 PRIOR BUDGET CURRENT ANNUAL ANNUAL BUDGET VS DESCRIPTION Y-T-D Y-T-D Y-T-D BUDGET1 PROJECTION PROJECTION Beginning Working Capital and Reserves as of 9/30/22 136,994,639$ 140,776,983$ REVENUES: Rate Revenues 68,582,864$ 146,095,372$ 86,120,450$ 296,233,119 202,090,119 -32% Transmission Revenues 24,503,474 15,528,429 25,394,869 45,766,756 55,040,615 20% Other Revenues 17,583,993 2,409,558 3,442,224 5,361,857 5,361,857 0%0% DEC Revenues 13,989,604 23,057,855 13,931,521 52,550,029 41,020,789 -22% Total Revenues 124,659,935 187,091,214 128,889,064 399,911,761 303,513,380 -24% EXPENDITURES: Purchased Power 32,705,324 87,423,756 51,808,547 197,752,530 90,173,010 -54% DEC Fuel 5,712,222 16,377,223 5,954,941 37,052,865 22,377,153 -40% Transmission of Power 8,120,225 7,047,005 9,483,983 22,102,442 22,102,442 0% Personnel Services 9,606,870 12,161,556 11,189,808 24,893,467 22,379,617 -10% Materials and Supplies 580,660 1,051,108 885,417 2,682,683 2,742,443 2% Maintenance and Repair 443,840 576,343 1,345,983 1,365,117 1,395,527 2% Insurance 1,338,965 1,636,775 1,020,675 3,273,550 3,346,472 2% Return on Investment Return on Investment6,361,056 8,485,797 6,470,346 19,381,951 15,355,607 -21% Franchise Fee Franchise Fee5,296,224 7,004,402 5,387,184 15,997,986 12,796,340 -20% Miscellaneous 349,493 533,723 328,143 749,538 766,235 2% Operations 2,450,875 5,217,445 3,189,863 10,697,924 10,936,233 2% Debt Service 43,378,964 43,974,531 43,974,531 62,445,059 62,445,059 0% Interfund Transfers 8,944,321 7,596,140 7,586,502 15,192,278 15,454,928 2% Capital Outlay 133,494 159,275 159,275 1,830,750 6,300,000 244% Total Expenditures 125,422,533 199,245,079 148,785,198 415,418,140 288,571,066 -31% Net Income (Loss)(762,598)$ (12,153,865)$ (19,896,134)$ (15,506,379) 14,942,314 Ending Working Capital and Reserves 121,488,260$ 155,719,297$ 1Annual adopted budget as amended or modified. Beginning Working Capital and Reserves represents the amount which was estimated in the FY 2022-23 budget process. City of Denton Water Fund Schedule of Revenues and Expenditures - Budget vs Projection (Unaudited) For the Period Ended March 31, 2023 PRIOR BUDGET CURRENT ANNUAL ANNUAL BUDGET VS DESCRIPTION Y-T-D Y-T-D Y-T-D BUDGET2 PROJECTION PROJECTION Beginning Working Capital and Reserves as of 09/30/221 24,705,221$ 29,588,453$ REVENUES: Water Sales Residential 8,879,723$ 11,404,122$ 9,083,845$ 22,799,125 22,781,972 0% Water Sales Commercial 8,598,374 9,468,864 9,143,385 18,930,153 18,838,938 0% Water for Resale 2,103,194 1,052,733 1,039,103 2,104,625 2,190,574 4% Other Water 781,230 3,994,542 761,573 7,985,895 1,637,061 -80% Transfers In 1,016,638 1,787,056 1,446,378 3,572,683 3,572,683 0% Investment Income 21,507 75,030 335,974 150,000 150,000 0% Impact Fee Revenue 3,302,502 3,303,821 3,302,502 6,605,000 6,605,000 0% Total Revenues 24,703,168 31,086,168 25,112,760 62,147,481 55,776,228 -10% EXPENDITURES: Personnel Service 3,617,484 5,013,921 4,486,526 10,023,865 8,800,000 -12% Purchased Power 718,287 740,961 845,967 1,481,328 1,481,328 0% Materials and Supplies 692,997 1,028,781 1,111,213 2,001,717 2,001,717 0% Maintenance and Repairs 751,768 1,023,715 1,129,809 2,057,541 2,057,541 0% Insurance 112,853 238,588 243,709 476,989 482,455 1% Miscellaneous 81,121 228,303 92,585 455,036 455,036 0% Operations, Services 831,670 1,642,658 1,032,708 3,368,660 3,533,923 5% Capital Outlay 3,749,168 10,611,760 7,220,721 21,175,883 14,358,703 -32% Return on Investment 640,962 767,400 670,029 1,534,187 1,534,187 0% Franchise Fee 915,660 1,096,284 957,184 2,191,695 2,191,695 0% Debt Service 9,805,801 5,121,958 8,872,490 10,239,818 10,239,818 0% Transfers Out 2,882,779 4,024,761 4,148,959 8,046,304 8,046,304 0% Total Expenditures 24,801,265 31,540,590 30,812,149 63,056,023 55,185,707 -12% Net Income (Loss)(98,097)$ (454,422)$ (5,699,389)$ (908,542) 590,521 Ending Working Capital and Reserves 23,796,679$ 30,178,974$ budget process. 2 Annual adopted budget as amended or modified. Beginning Fund Balance represents the amount which was estimated in the FY 2022-23 1 The Beginning Working Capital balance excludes $32.8 million of Impact Fee Reserves and $2.4 million in additional reserves related to future payments to the Army Corps of Engineers for Lake Lewisville dam repairs. City of Denton Wastewater Fund Schedule of Revenues and Expenditures - Budget vs Projections (Unaudited) For the Period Ended March 31, 2023 PRIOR BUDGET CURRENT ANNUAL ANNUAL BUDGET VS DESCRIPTION Y-T-D Y-T-D Y-T-D BUDGET2 PROJECTION PROJECTION Beginning Working Capital and Reserves as of 09/30/221 24,812,689$ 28,123,711$ REVENUES: Residential Fees 5,776,373$ 6,814,951$ 6,553,791$ 12,882,706 11,992,151 -7% Commercial Fees 6,184,633 7,755,569 6,631,939 15,730,706 14,643,275 -7% Effluent Irrigation Fees 53,287 57,564 48,547 115,077 107,122 -7% Wholesale Fees 329,065 296,679 394,100 593,123 552,122 -7% Other Wastewater Fees 885,480 1,210,419 909,274 2,419,863 2,252,583 -7% Drainage Fees 2,684,326 2,945,994 2,165,082 5,836,813 4,598,292 -21% Cost Participation - 6,826,729 - 13,648,000 - -100% Transfer In 305,823 306,705 306,793 613,166 570,779 -7% Investment Income 14,394 50,020 280,473 100,000 300,000 200% Impact Fee Reserves 2,134,998 2,135,854 2,134,998 4,270,000 4,270,000 0% Total Revenues 18,368,379 28,400,484 19,424,997 56,209,454 39,286,324 -30% EXPENDITURES: Personnel Service 3,858,125 4,392,527 4,111,383 8,781,551 8,100,000 -8% Purchased Power 497,124 610,743 580,119 1,221,000 1,221,000 0% Materials and Supplies 572,620 682,035 713,459 1,357,476 1,357,476 0% Maintenance and Repairs 575,003 1,444,615 1,121,936 2,772,066 2,772,066 0% Insurance 127,167 223,589 228,390 447,005 447,005 0% Miscellaneous 8,547 13,875 2,406 27,740 27,740 0% Operations, Services 1,015,203 1,269,361 1,153,343 2,529,868 2,374,036 -6% Capital Outlay 826,517 14,821,859 13,864,386 29,761,759 16,433,297 -45% Return on Investment 447,050 510,510 495,887 1,020,615 947,059 -7% Franchise Fee 638,643 729,302 708,410 1,458,022 1,352,941 -7% Debt Service 6,080,201 6,252,409 7,127,276 8,628,692 8,628,692 0% Transfers Out 2,828,237 4,238,660 4,727,783 8,473,931 8,473,931 0% Total Expenditures 17,474,437 35,189,485 34,834,778 66,479,725 52,135,243 -22% Net Income (Loss) 893,942$ (6,789,001)$ (15,409,781)$ (10,270,271) (12,848,919) Ending Working Capital and Reserves 14,542,418$ 15,274,792$ 2 Annual adopted budget as amended or modified. Beginning Fund Balance represents the amount which was estimated in the FY 2022-23 budget process. 1 The Beginning Working Capital balance excludes $20.4 million of Impact Fee Reserves and $1.0 million for Drainage Reserves. City of Denton Drainage Operations Schedule of Revenues and Expenditures - Budget vs Projections (Unaudited) For the Period Ended March 31, 2023 PRIOR BUDGET CURRENT ANNUAL ANNUAL BUDGET VS DESCRIPTION Y-T-D Y-T-D Y-T-D BUDGET PROJECTION PROJECTION REVENUES: Residential Drainage Fees 1,037,962$ 1,072,212$ 1,062,485$ 2,183,731$ 2,000,000$ -8% Nonresidential Drainage Fees 1,646,364 1,873,782 1,102,597 3,653,082 2,598,292 -29% Wastewater Resources - 36,071 - 72,112 50,000 -31% General Fund Transfer 183,576 189,158 189,083 378,166 378,166 0% Total Revenues 2,867,902 3,171,223 2,354,165 6,287,091 5,026,458 -20% Total Resources 2,867,902 3,171,223 2,354,165 6,287,091 5,026,458 -20 EXPENDITURES: Personnel Service 828,437 1,122,841 882,699 2,244,792 1,700,000 -24% Materials and Supplies 27,816 49,760 33,502 99,478 83,892 -16% Maintenance and Repairs 41,697 148,581 80,025 297,047 250,507 -16% Insurance 18,568 35,284 36,041 70,540 59,488 -16% Miscellaneous 6,880 9,177 981 18,350 15,475 -16% Operations, Services 228,005 294,764 186,219 589,287 496,960 -16% Capital Outlay 1,063,184 1,116,055 617,524 2,231,216 1,683,754 -25% Transfer Out 279,805 368,341 292,658 736,381 736,381 0% Total Expenditures 2,494,392 3,144,803 2,129,649 6,287,091 5,026,458 -20% Net Income (Loss)373,510$ 26,420$ 224,516$ -$ -$ City of Denton Solid Waste Fund Schedule of Revenues and Expenditures - Budget vs Projection (Unaudited) For the Period Ended March 31, 2023 PRIOR BUDGET CURRENT ANNUAL ANNUAL DESCRIPTION Y-T-D Y-T-D Y-T-D BUDGET2 PROJECTION Beginning Working Capital and Reserves as of 09/30/221 10,265,395$ 12,140,478$ REVENUES: Refuse Fees - Residential 2,371,554$ 2,487,502$ 2,443,932$ 5,055,018 4,854,961 Refuse Fees - Commercial 7,221,044 7,310,649 7,375,482 15,029,503 14,744,379 Residential Recycling 2,886,152 2,920,402 2,939,110 5,838,473 5,830,000 Commercial Recycling 678,185 735,420 716,884 1,470,252 1,400,000 Landfill Gate and Material Sales 6,292,309 5,213,481 5,458,783 10,926,374 10,738,142 Recycled Material Sales 33,672 36,190 31,427 72,354 62,000 Asset Sales and Interest Income 401,230 237,595 458,320 475,000 500,000 Other Revenue 185,787 236,019 226,533 487,515 268,892 Total Revenues 20,069,933 19,177,258 19,650,471 39,354,489 38,398,374 EXPENDITURES: Personnel Service 5,231,203 6,161,167 5,970,008 12,317,395 11,100,000 Materials and Supplies 223,771 342,014 155,073 673,767 330,000 Maintenance and Repairs 117,002 131,288 132,621 242,501 250,000 Insurance 131,398 344,514 351,905 688,750 703,810 Miscellaneous 13,724 33,171 12,535 66,320 30,000 Operations, Services 2,643,701 3,613,681 3,576,336 7,204,476 7,000,000 Capital Outlay 1,849,281 4,102,613 7,626,454 8,251,887 8,035,000 Debt Service 5,308,416 3,435,318 3,435,318 3,897,501 3,897,501 Franchise Fee 977,397 835,634 956,323 1,670,597 1,700,000 Transfers for Landfill Closure 359,502 368,002 368,148 735,710 735,710 Admin Transfers Out 2,897,509 2,980,096 2,422,883 5,957,807 5,957,801 Total Expenditures 19,752,904 22,347,498 25,007,604 41,706,711 39,739,822 Net Income (Loss)317,029$ (3,170,240)$ (5,357,133)$ (2,352,222) (1,341,448) Ending Working Capital and Reserves 7,913,173$ 10,799,030$ 1 The Beginning Working Capital Reserve excludes $12,684,710 Landfill Closure/Post Closure Reserves. 2 Annual adopted budget as amended or modified. Beginning Fund Balance represents the amount which was estimated in the FY 2022-23 budget process. City of Denton Airport Fund Schedule of Revenues and Expenditures - Budget vs Projection (Unaudited) For the Period Ended March 31, 2023 PRIOR BUDGET CURRENT ANNUAL ANNUAL BUDGET VS DESCRIPTION Y-T-D Y-T-D Y-T-D BUDGET1 PROJECTION PROJECTION Beginning Working Capital and Reserves as of 09/30/221 2,380,921$ 3,144,635$ OPERATING REVENUES: Airport Ground Leases 422,956$ 422,029$ 452,723$ 843,719 843,719 0% FBO Commissions 117,446 117,547 122,096 235,000 310,000 32% Miscellaneous 48,761 71,029 68,399 142,000 235,828 66% Total Operating Revenues 589,163 610,605 643,218 1,220,719 1,389,547 14% OPERATING EXPENDITURES: Personnel Service 182,721 280,311 356,898 560,395 717,850 28% Materials and Supplies 7,215 23,900 2,141 47,290 23,645 -50% Maintenance and Repairs 2,709 34,213 16,708 68,400 55,150 -19% Insurance 14,266 20,321 20,758 40,628 41,516 2% Miscellaneous - 49 - 100 100 0% Operations 65,342 142,190 57,296 284,767 234,900 -18% Transfers Out - Operating 234,263 230,028 268,043 459,873 536,086 17% Total Operating Expenses 506,516 731,012 721,844 1,461,453 1,609,247 10% Operating (Loss)82,647 (120,407) (78,626) (240,734) (219,700) NON-OPERATING REVENUES: Investment Income 5,791 4,751 98,188 9,500 160,000 1584% Gas Well Royalties 179,942 157,682 150,645 315,239 400,000 27% Recovery of Prior Year Expenses - - - - 148,000 - Gain/Loss on Sale of Fixed Assets - - (69,300) - - - Total Non-Operating Revenues 185,733 162,433 179,533 324,739 708,000 118% NON-OPERATING EXPENDITURES: Debt Service 618,323 635,214 635,214 736,758 736,758 0% Total Non-Operating Expenses 618,323 635,214 635,214 736,758 736,758 0% Non-Operating Income (Loss)(432,590)(472,781)(455,681)(412,019)(28,758) Net Income (Loss)(349,943)$ (593,188)$ (534,307)$ (652,753)(248,458) Ending Working Capital 1,728,168$ 2,896,177$ 1 Annual adopted budget as amended or modified. Beginning Working Capital and Reserves represents the amount which was estimated in the FY 2022-23 budget process. City of Denton Street Improvement Fund Schedule of Expenditures - Budget vs Actuals (Unaudited) For the Period Ended March 31, 2023 PRIOR BUDGET CURRENT ANNUAL ANNUAL BUDGET VS DESCRIPTION Y-T-D Y-T-D Y-T-D BUDGET1 PROJECTION ACTUALS Beginning Fund Balance as of 9/30/2023 3,604,008$ 4,503,637$ RESOURCES: Franchise Fees 7,005,507$ 7,553,020$ 7,246,929$ 15,100,000 15,100,000 0% Investment Income 5,925 20,008 118,611 40,000 162,000 305% Transfers In 709,156 653,263 662,146 1,306,000 1,306,000 0% Total Resources 7,720,588 8,226,291 8,027,686 16,446,000 16,568,000 1% EXPENDITURES: Personnel Services 1,336,986 1,987,805 1,620,716 3,974,021 3,963,920 0% Materials and Supplies 48,181 51,370 47,729 102,700 102,700 0% Maintenance and Repairs 1,506,737 1,839,641 3,003,039 4,688,500 4,688,500 0% Insurance 63,231 125,893 128,595 251,686 257,189 2% Miscellaneous 615 2,302 230 4,600 4,600 0% Operations, Services 304,376 547,691 604,082 1,094,947 1,094,947 0% Transfer Out 589,747 4,121,583 1,822,637 7,229,175 7,233,773 0% Total Expenditures 3,849,873 8,676,285 7,227,026 17,345,629 17,345,629 0% Net Income (Loss)3,870,715$ (449,994)$ 800,660$ (899,629)$ (777,629)$ Ending Fund Balance 2,704,379 3,726,008 1Annual adopted budget as amended or modified. Beginning Fund Balance represents the amount which was estimated in the FY 2022-23 budget process. City of Denton Grants Schedule of Expenditures (Unaudited) For the Period Ended March 31, 2023 GRANT DESCRIPTION EXPENDITURES AS OF 9/30/20221 CURRENT Y-T-D ANNUAL BUDGET FY 2022-23 Budget US Dept of HUD - Community Development Block Grant(CDBG)7,596,208$ 395,423$ 2,213,541$ US Dept of HUD - Community Development Block Grant(CDBG)- CARES ACT 1,149,400 105,490 518,604 US Dept of HUD - HOME Investment Partnership Program 6,106,583 297,241 1,152,349 US Dept of HUD - HOME Investment Partnership Program ARP ACT - 2,500 1,763,622 Community Development1 14,852,191 800,654 5,648,116 National Sexual Assault Kit Initiative Grant 172,308 180,928 363,189 Edward Byrne Memorial Justice Assistance Grant 52,618 - 52,620 2021 UASI-Specialized Regional Response Teams Sustainment 60,823 30,109 50,470 2021 UASI-Regional Warning Siren Cyber Security 42,975 - 43,693 2019 Staffing for Adequate Fire & Emergency Response (SAFER) Grant 449,336 102,469 661,337 2020 Staffing for Adequate Fire & Emergency Response (SAFER) Grant 188,854 100,103 889,826 2021 Staffing for Adequate Fire & Emergency Response (SAFER) Grant - - 3,731,676 Urban Search & Rescue Response System (TEEX)- 115,441 150,000 Texas Intrastate Fire Mutual Aid System-Emergency Response - - 50,000 Public Safety1 966,914 529,050 5,992,811 Airport Maintenance (RAMP) Grant - 3,743 50,000 TxDot-RTR-Mayhill Rd-IH35 E to US 380 53,325,009 329,867 11,835,375 IH35 East - 117,317 4,000,000 TxDot-RTR-Bonnie Brae Rd-IH35 E to US 377 31,223,854 107,398 18,593,648 TxDot-IH35E at Loop 288/Lillian Miller Pkwy - - 53,865 TxDot-RTR-McKinney (Formerly FM426) 16,685,450 102,295 1,666,138 TxDot-RTR-Hickory Creek FM2181-FM2499 2,047,547 - 352,453 Drive - - 10,000,000 TxDot-RTR-North Texas Boulevard Roundabout 394,465 587,106 1,632,707 Sycamore-Welch Bike & Pedestrian 126,560 - 689,991 CMAQ-School Connection Sidewalks 75,520 - 329,246 Schools 108,400 - 707,940 Denton County Transportation Authority (DCTA) Transportation Reinvestment Program (TRiP) - - 2,517,997 Airport Coronavirus Relief Grant Program - 34,162 American Rescue Plan (ARP) Act of 2021 - Airport Rescue Grants - - 148,000 Transportation1 103,986,805 1,247,726 52,611,522 City of Denton Grants Schedule of Expenditures (Unaudited) For the Period Ended March 31, 2023 GRANT DESCRIPTION EXPENDITURES AS OF 9/30/20221 CURRENT Y-T-D ANNUAL BUDGET Interlibrary Loan Program (ILL) - - 35,000 Texas Reads Grant - 156 7,252 Green Ribbon Grant 571,281 38,774 313,110 NCTCOG-Solid Waste Implementation Grant-Parks & Recreation 199,447 - 199,836 NCTCOG-Solid Waste Implementation Grant-Solid Waste 13,223 - 60,723 Governor's Community Achievement Award - - 290,000 American Rescue Plan (ARP) Act of 2021 7,941,394 1,510,337 18,259,252 Miscellaneous New Grants - - 1,400,000 Other 8,725,345 1,549,267 20,565,173 Total FY 2022-23 Budget 128,531,255 4,126,697 84,817,622 New Awards Chapter 59 Asset Forfeitures - 24,074 24,074 FY2021 Improving Criminal Justice Responses 35,254 17,627 17,627 Texas Department of Public Safety's Texas Division of Emergency Management (TDEM)-Winter Storm - 1,753 1,753 2022 SHSP-Hazmat Dry Decon Kit - 13,291 13,291 DWI Phlebotomy Program - 707 707 Public Safety 35,254 57,452 57,452 TxDot-Bonnie Brae-Windsor Drive to US 77 - 396,631 396,631 Transportation - 396,631 396,631 Rural Texas Women at Work - 128 128 Other - 128 128 Total New Awards 35,254 454,211 454,211 TOTALS 128,566,509$ 4,580,908$ 85,271,833$ 1 A portion of the grants presented cover multiple years. Section 3 City of Denton Quarterly Financial Report March 2023 REVENUE & ECONOMIC ANALYSIS 1 National Economic Trends Period Ending March 31, 2023 Gross Domestic Product (GDP) The U.S. economy grew by +1.1% in the first quarter of 2023, following a +2.6% advance in the prior period. Personal consumption, the biggest driver of the U.S. economy, rose by an annualized +3.7%, adding 2.5 percentage points to the overall number, the most in nearly two years. The counterbalance to strong consumer spending during the quarter was a big drop in inventory accumulation. Business inventories, which can be extremely volatile from quarter- to-quarter and extremely difficult to predict, shaved almost 2.3 percentage points from the headline number. This suggests that U.S. companies are bracing for softer sales in the coming months. Domestic final sales (which exclude inventories) grew by +3.2% in Q1 following a +0.7% advance in Q4 2022. Inventory weakness usually reverses itself within a quarter or two, especially when spending is solid. Employment U.S. businesses added +236k jobs to company payrolls in March, essentially matching forecasts. This follows revised gains of +326k and +472k in the previous two months. The private sector contributed +196k jobs to the total, the fewest in three years, while governments chipped in +47k, mostly on the state and local side. A majority of the gains were once again found in the service sector, while the goods-producing side actually contracted a bit. The headline unemployment rate unexpectedly declined from 3.6% to 3.5% as those finding work outnumbered those entering the labor force. However, Fed officials have made it clear they’re focused more on wage growth and the labor force participation rate. Both of these measures moved in the right direction during the quarter with wage growth easing and the participation rate rising to within 0.8 of the pre- pandemic level. 2 Inflation The overall consumer price index (CPI) climbed by a smaller-than-expected +0.1% in March after gains of +0.4% and +0.5% in the previous two months. On a year-over- year basis the pace of headline consumer inflation dropped from +6.5% to +5.0% during the quarter. Much of the decline was attributed to energy prices which fell -3.5%. Core CPI, which excludes food and energy prices, rose +0.4% in March, matching forecasts, while the annual pace of core consumer inflation actually inched up from +5.5% to +5.6%. The Fed is more concerned with the core rate of consumer inflation, and the fact that it moved higher will keep Fed officials on track to hike another 25 bps at the May FOMC meeting. Higher oil prices in April will further complicate Fed policy, and likely push any potential rate cuts into early 2024. Retail Sales Headline retail sales fell -1.0% in March, below the -0.5% median forecast, and the second straight monthly decline. The U.S. Commerce Department reported weakness was broad-based with 8 of 13 spending categories moving lower. Similar to the March CPI and PPI reports, falling gasoline prices had an oversized impact. Sales of vehicles and vehicle parts fell -1.6% in March after a -1.3% decline in February. The retail sales “control group,” which excludes autos, gasoline, food services and building materials and is used to calculate GDP, fell by -0.3% after a revised -0.1% February decline. Consumer demand seems to be softening, but lower gas prices distorted the picture. With pump prices moving higher, upward pressure is likely in April. 3 Texas and Denton County Home Sales There is increasingly clear evidence that home sales are slowing beyond the seasonal trend, and prices are moderating in both the State and Denton County. Texas home sales fell -2.4% in the first quarter of 2023 and -17.4% over the same three-month period a year ago. The average sales price in March was $403.0k, a sharp decline from the record $443k from May of last year. The available home inventory has now averaged 2.7 months since September 2022, well above the record low of 1.0 month inventory from February 2022. Total home listings at quarter end were 79.7k, compared to 37.4k a year ago. In Denton County, unit home sales rose +4.8% in the first quarter but were -21.3% lower on a year-over-year basis. The available supply contracted from 2.1 months in December to 1.8 months at the end of March, still well above the record low of 0.5 months in January 2022. Total listings continue to fall from a post-pandemic high of 3.1k in October 2022 to 2.15k at the end of March. The average Denton County sales price in March was $525.9k, up slightly from December, but significantly below the all-time high of $587.5k from last May. The paper was prepared by Hilltop Securities Asset Management, is intended for educational and informational purposes only and does not constitute legal or investment advice, nor is it an offer or a solicitation of an offer to buy or sell any investment or other specific product. Information provided in this paper was obtained from sources that are believed to be reliable; however, it is not guaranteed to be correct, complete, or current, and is not intended to imply or establish standards of care applicable to any attorney or advisor in any particular Fuel Prices Outlook Positive Description: Quarterly fuel trends for the United States and Texas. Analysis:Fuel prices are a major commodity source in the economy. Studies have shown a positive effect on disposable income levels when fuel prices decrease.It is estimated that for every penny decrease in the price of fuel,$1.3 billion is available to the consumer for disposable income. Therefore, the price of fuel is likely to be a key predictor of sales tax collections. Fuel prices showed a 5.2%decrease from the prior quarter at the national level and a 1.7% increase at the state level. Staff has rated this outlook as positive. Source: U.S. Department of Energy $0 $2 $4 $6 $8 $10 $12 $14 $16 $0.00 $0.50 $1.00 $1.50 $2.00 $2.50 $3.00 $3.50 $4.00 $4.50 $5.00 2Q '18 3Q '18 4Q '18 1Q '19 2Q '19 3Q '19 4Q '19 1Q '20 2Q '20 3Q '20 4Q '20 1Q '21 2Q '21 3Q '21 4Q '21 1Q '22 2Q '22 3Q '22 4Q '22 1Q '23 2Q '23 MillionsDollarsFuel Prices Sales Tax Texas Fuel Prices US Fuel Prices Municipal Cost Index Outlook Negative Description:The Municipal Cost Index was developed to show the rate of inflation for the cost of goods purchased frequently by local governments. The MCI draws on the monthly statistical data collected by the U.S. Departments of Commerce and Labor as well as independently compiled data to project a composite cost picture for the municipal budget officer or operating department manager. Costs of labor, materials and contract services are all factored into the composite MCI. Major indicators of these items used for the MCI include the Consumer Price Index, the Wholesale Price Index for Industrial Commodities (now known as the Producer Price Index) and the construction cost indexes published by the U.S. Department of Commerce, respectively. Analysis:The Municipal Cost Index (MCI) pulls a variety of prices for frequently purchased commodities for local governments. The cost for labor, materials and contract services are factored for the MCI.An increase in MCI means the overall price mix for these types of commodities will cost local governments more to do routine business. The 2nd Quarter of 2022-23 shows a increase of 0.1 for a 0.03% increase over the prior quarter and an increase of 13.7 for a 4.64% increase over the 2nd Quarter of 2021-22. Staff has rated this indicator as Positive. Source: American City and County Magazine Note: The Municipal Cost Index is designed to show the effects of inflation on the cost of providing municipal services. State and local government officials rely on American City & County's Municipal Cost Index to stay on top of price trends, help control price increases for commodities, make informed government contract decisions and intelligent budget planning. Since 1978,readers have loyally referred to the Municipal Cost Index to determine the cost of inflation and, hence, the rising cost of doing business as a local government. 0.00 50.00 100.00 150.00 200.00 250.00 300.00 350.00 2Q '20 3Q '20 4Q '20 1Q '21 2Q '21 3Q '21 4Q '21 1Q '22 2Q '22 3Q '22 4Q '22 1Q '23 2Q '23 Municipal Cost Index Hotel Occupancy Tax Analysis Outlook Positive 2nd Quarter FY 2022-23 Actual Y-T-D Occupancy Tax Revenue:919,208$ 1,835,782$ FY 2022-23 Budget 821,093$ 1,633,901$ Over (Under) Budget 98,115$ 201,881$ Hotel Occupancy Tax Budget:3,470,152$ 3,875,000$ Variance:404,848$ Description:Tax imposed on a person who, under a lease, concession, permit, right of access, license, contract,or agreement, pays for the use of a room that is in a hotel. A hotel includes: any building in which the public may obtain sleeping accommodations; motels; a tourist home, house or court; lodging house; inn; rooming house;or bed and breakfast. The tax rate levied by the City is 7%of the price paid for a room. The State also levies a tax equal to 6%. Analysis:While the use of this revenue source is restricted by state law,it is an essential revenue source for various tourist related activities within the community and an important indicator of local economic activity. Hotel Occupancy tax revenue through the 2nd Quarter of FY 2023 was 11.95% more than budget and 7.48% more than the prior year's actual. Hotel receipts continue to increase to higher than pre COIVD-19 pandemic levels. Staff has rated the outlook for this economic indicator as Positive. FISCAL YEAR FORECAST End of Year Projection: $0 $100,000 $200,000 $300,000 $400,000 $500,000 $600,000 $700,000 $800,000 $900,000 1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Hotel Occupancy Tax Collections FY 2019-20 FY 2020-21 FY 2021-22 FY 2022-23 Sales and Use Tax Analysis Outlook Negative 2nd Quarter FY 2022-23 Actuals Y-T-D Revenue: Gross Sales Tax Municipal Operations 462,580$ 925,641$ General Retail & Others 12,826,341 27,299,713 Comptroller Fees (251,393) (535,577) Amount Retained (246,366) (524,867) Total Revenue 12,791,162$ $27,164,910 Expenses: Economic Incentives* Economic Incentives1 751,736$ 1,638,958$ Net Total 12,039,426 25,525,952 FY 2022-23 Budget 12,521,976 25,255,958 Over(Under) Budget (482,550)$ 269,994$ Sales Tax Budget:54,722,022$ Year End Projection:54,722,022 Variance to Original Budget:(0)$ Economic Development Expenditure Budget:3,607,336$ Year End Projection:3,488,957 Variance to Original Budget:(118,379)$ * Economic Incentive actuals are December 2022 1. Includes Unicorn Lake, Rayzor Ranch, Golden Triangle Mall, O'Reilly Hospitality, and Buc-ee's. Description:Tax imposed on all retail sales, leases, and rentals of most goods,as well as taxable services. The total tax rate levied within the City is 8.25% (State, 6.25%; City, 1.5%; DCTA, 0.5%). Analysis:As the second largest revenue source to the City's General Fund, sales and use taxes are essential to the delivery of services to the community. Sales tax revenues through the 2nd quarter of FY 2023 compared to revenues from the prior year 2nd quarter shows a 1.34% decrease; and compared to the budget, it is 3.85% below. Staff has rated this indicator as Negative. $0.0 $2,000,000.0 $4,000,000.0 $6,000,000.0 $8,000,000.0 $10,000,000.0 $12,000,000.0 1 2 3 4 Gross Sales Tax Collections (Millions) FY 2018-19 Actual FY 2019-20 Actual FY 2020-21 Actual FY 2021-22 Actual FY 2022-23 Actual Certificates of Occupancy Outlook Positive Source: City of Denton's Development Services Department. Description:Certificates of Occupancy (CO) are permits issued in compliance with the 2012 International Building Code (IBC)and applicable City ordinances. The IBC states, "that no building shall be used or occupied,and no change in the existing occupancy classification of a building or structure or portion thereof shall be made, until the building official has issued a certificate of occupancy." Certificates of Occupancy ensure that applicable building, zoning, fire and consumer health codes are met. Analysis:Certificates of Occupancy are an economic indicator that provides a framework for the overall condition of the local economy. Certificates of Occupancy decreased 29.6%from the prior quarter and increased 37.5%from the second quarter of 2022. Staff has rated the outlook for this revenue indicator as Positive. 0.0 20.0 40.0 60.0 80.0 100.0 120.0 140.0 160.0 2Q '18 3Q '18 4Q '18 1Q '19 2Q '19 3Q '19 4Q '19 1Q '20 2Q '20 3Q '20 4Q '20 1Q '21 2Q '21 3Q '21 4Q '21 1Q '22 2Q '22 3Q '22 4Q '22 1Q '23 2Q '23 Certificates of Occupancy Residential Permits Outlook Positive Source: City of Denton's Development Services Department. Description:Residential Permits are issued in compliance with the 2009 International Residential Code (IRC)and applicable City ordinances. The data presented in this analysis only include new permits issued and not remodels/alterations. Analysis:Residential Permits are an economic indicator that provides a framework for the overall condition of the local economy.In particular, residential permits have a direct correlation with building inspection fees and appraised values. Residential permits increased from the prior quarter by 11.21%and decreased 44.52%from the 2nd Quarter of 2022. Staff has rated the outlook for this revenue indicator as Negative. 0.0 50.0 100.0 150.0 200.0 250.0 300.0 350.0 400.0 450.0 1Q '18 2Q '18 3Q '18 4Q '18 1Q '19 2Q '19 3Q '19 4Q '19 1Q '20 2Q '20 3Q '20 4Q '20 1Q '21 2Q '21 3Q '21 4Q '21 1Q '22 2Q '22 3Q '22 4Q '22 1Q '23 2Q '23 3Q '23 Residential Permits Texas Leading Indicators Index Outlook Positive Source: Federal Reserve Bank of Dallas Description:The Texas Leading Indicators Index is a single weighted summary statistic that sheds light on the future of the state's economy. The index is designed to signal movements and changes in the state's rate of growth. The index includes the following leading indicators: Texas Value of the Dollar, U.S. Leading Index, Real Oil Prices, Well Permits, Initial Claims for Unemployment Insurance, Texas Stock Index, Help-Wanted Advertising,and Average Weekly Hours Worked in Manufacturing. Analysis:Texas Leading Indicators provide a framework for the overall condition of the local economy. Data for this quarter shows a increase in the state's rate of growth. The index increased by 0.19%from the prior quarter and decreased by 5.52% from the fourth Quarter of 2021. Staff has rated this indicator as negative. 0.0 20.0 40.0 60.0 80.0 100.0 120.0 140.0 Texas Leading Indicators Index Section 4 City of Denton Quarterly Financial Report March 2023 INVESTMENT REPORT 2nd Fiscal Quarter Ending March 31, 2023 Page 1 ,19(670(17322/ 3ROLF\ 3DU 0DUNHW %RRN 8QUHDOL]HG 0D[ %HQFKPDUN 3RUWIROLR 9DOXH 9DOXH 9DOXH *DLQ/RVV:$0 :$0 <70 <LHOG ,QYHVWPHQW3RRO%HJLQ4 ,QYHVWPHQW3RRO(QG4 *Market yield on U.S. Treasury securities at 1-year constant maturity, quoted on investment basis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nd Fiscal Quarter Ending March 31, 2023 Page 6 ECONOMIC SUMMARY Interest Rate History 'HF 0DU -XQ 6HS 'HF 0DU -XQ 6HS 'HF 0DU -XQ 6HS 0DUNHW6HFWRU $YJ $YJ $YJ $YJ $YJ $YJ $YJ $YJ $YJ $YJ $YJ $YJ )HG)XQGVHIIHFWLYH 0RQWK867%LOO <HDU8671RWH 3RUWIROLR%HQFKPDUN)5% 3RUWIROLR<LHOG 'HF 0DU -XQ 6HS 'HF 0DU -XQ 6HS 0DUNHW6HFWRU $YJ $YJ $YJ $YJ $YJ $YJ $YJ $YJ )HG)XQGVHIIHFWLYH 0RQWK867%LOO <HDU8671RWH 3RUWIROLR%HQFKPDUN)5% 3RUWIROLR<LHOG *Source: Hilltop Securities \UFRQVWPW\ )LVFDO<HDU QUARTERLY COMMENTARY Staff Analysis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ays to Maturity Page 1 Par Value Book Value Maturity Date Stated RateMarket Value March 31, 2023 Portfolio Details - Investments Average BalanceIssuer Portfolio Management Monthly Reports YTM 365CUSIPInvestment # Purchase Date Treasury Securities - Coupon 14U.S. TREASURY4139 20,000,000.00 19,989,401.65 04/15/20230.25003/24/2022 19,971,240.00 1.649912828ZH6 75U.S. TREASURY4144 10,000,000.00 9,958,003.00 06/15/20230.25005/05/2022 9,910,770.00 2.332912828ZU7 105U.S. TREASURY4146 10,000,000.00 9,940,085.02 07/15/20230.12506/02/2022 9,867,580.00 2.244912828ZY9 426U.S. TREASURY4148 10,000,000.00 9,918,073.36 05/31/20242.50006/14/2022 9,772,270.00 3.23191282CER8 136U.S. TREASURY4151 20,000,000.00 19,963,991.65 08/15/20232.50006/22/2022 19,826,560.00 2.993912828VS6 320U.S. TREASURY4153 10,000,000.00 9,965,588.72 02/15/20242.75006/22/2022 9,830,860.00 3.155912828B66 213U.S. TREASURY4154 10,000,000.00 9,991,509.89 10/31/20232.87506/28/2022 9,896,090.00 3.0239128285K2 243U.S. TREASURY4155 10,000,000.00 9,989,960.19 11/30/20232.87506/28/2022 9,878,520.00 3.0299128285P1 320U.S. TREASURY4156 20,000,000.00 19,946,817.42 02/15/20242.75006/28/2022 19,661,720.00 3.063912828B66 395U.S. TREASURY4157 10,000,000.00 9,935,709.64 04/30/20242.50006/28/2022 9,777,730.00 3.11591282CEK3 334U.S. TREASURY4159 10,000,000.00 9,941,367.39 02/29/20242.37507/26/2022 9,791,800.00 3.0359128286G0 502U.S. TREASURY4160 10,000,000.00 9,914,355.86 08/15/20242.37507/26/2022 9,730,470.00 3.022912828D56 487U.S. TREASURY4165 10,000,000.00 9,856,202.87 07/31/20242.12508/10/2022 9,702,730.00 3.2489128282N9 502U.S. TREASURY4166 10,000,000.00 9,884,635.07 08/15/20242.37508/10/2022 9,730,470.00 3.249912828D56 320U.S. TREASURY4168 20,000,000.00 19,902,930.40 02/15/20242.75008/18/2022 19,661,720.00 3.323912828B66 487U.S. TREASURY4169 5,000,000.00 4,977,988.31 07/31/20243.00008/18/2022 4,907,225.00 3.34391282CFA4 320U.S. TREASURY4175 10,000,000.00 9,856,199.19 02/15/20242.75010/11/2022 9,830,860.00 4.459912828B66 320U.S. TREASURY4177 10,000,000.00 9,856,377.55 02/15/20242.75010/13/2022 9,830,860.00 4.457912828B66 594U.S. TREASURY4180 10,000,000.00 9,644,302.03 11/15/20242.25011/03/2022 9,682,420.00 4.567912828G38 487U.S. TREASURY4182 10,000,000.00 9,808,544.22 07/31/20243.00011/16/2022 9,814,450.00 4.50591282CFA4 410U.S. TREASURY4188 10,000,000.00 9,729,780.42 05/15/20242.50002/16/2023 9,779,300.00 5.010912828WJ5 167U.S. TREASURY4189 10,000,000.00 9,785,037.20 09/15/20230.12502/17/2023 9,796,480.00 4.97891282CAK7 136U.S. TREASURY4190 10,000,000.00 9,823,411.32 08/15/20230.12502/17/2023 9,828,520.00 4.94091282CAF8 262,580,272.37 3.364260,480,645.00265,000,000.00266,958,178.72Subtotal and Average 296 Federal Agency Disc. - Amortizing 16FHLB418410,000,000.00 9,980,222.22 04/17/20234.45012/14/2022 9,982,484.80 4.646313384EL9 9,980,222.22 4.6469,982,484.8010,000,000.009,961,680.55Subtotal and Average 16 Federal Agency Issues - Coupon 142FFCB401310,000,000.00 9,999,922.22 08/21/20232.57002/21/2019 9,915,765.10 2.5723133EKAU0 68FFCB41457,300,000.00 7,275,271.10 06/08/20230.30005/23/2022 7,239,819.02 2.1503133ELG81 436FFCB414910,000,000.00 9,927,082.56 06/10/20242.62506/16/2022 9,776,142.60 3.2623133ENYH7 340FFCB417215,000,000.00 14,991,903.52 03/06/20243.62509/06/2022 14,841,458.10 3.6853133ENK33 565FFCB41784,575,000.00 4,559,358.96 10/17/20244.37510/25/2022 4,562,454.76 4.6093133ENS43 391FFCB418710,000,000.00 9,996,577.78 04/26/20244.75001/26/2023 10,007,351.60 4.7893133EN7D6 Portfolio CITY APData Updated: SET_MO: 04/10/2023 10:09 Run Date: 04/10/2023 - 10:11 PM (PRF_PM2) 7.3.0 Report Ver. 7.3.6.1 Days to Maturity Page 2 Par Value Book Value Maturity Date Stated RateMarket Value March 31, 2023 Portfolio Details - Investments Average BalanceIssuer Portfolio Management Monthly Reports YTM 365CUSIPInvestment # Purchase Date Federal Agency Issues - Coupon 709FFCB419315,000,000.00 14,979,860.06 03/10/20255.00003/10/2023 15,188,198.70 5.0743133EPCW3 160FHLB415220,000,000.00 19,938,784.40 09/08/20232.37506/22/2022 19,798,592.00 3.0943130A3DL5 251FHLB415810,000,000.00 10,016,641.51 12/08/20233.37506/30/2022 9,899,848.50 3.1243130A0F70 342FHLB416110,000,000.00 10,017,834.36 03/08/20243.25007/26/2022 9,863,935.70 3.0523130A0XE5 125FHLB416410,000,000.00 9,992,005.00 08/04/20233.00008/04/2022 9,940,412.00 3.2403130ASV55 251FHLB416720,000,000.00 20,008,686.86 12/08/20233.37508/16/2022 19,799,697.00 3.3073130A0F70 531FHLB417010,000,000.00 9,968,850.68 09/13/20243.25008/29/2022 9,828,566.80 3.4743130AFBC0 440FHLB417110,000,000.00 9,956,959.13 06/14/20243.12508/29/2022 9,830,058.50 3.4963130ASHK8 167FHLB417410,000,000.00 9,988,107.35 09/15/20233.87509/16/2022 9,959,451.70 4.1443130ATDJ3 279FHLB418510,000,000.00 9,992,129.88 01/05/20244.75001/05/2023 10,004,055.70 4.8573130AUFY5 310FHLB418610,000,000.00 9,998,363.08 02/05/20244.85001/05/2023 10,021,249.50 4.8743130AUFF6 100FNMA41475,000,000.00 4,971,465.81 07/10/20230.25006/08/2022 4,942,305.55 2.3643135G05G4 196,579,804.26 3.641195,419,362.83196,875,000.00192,210,212.19Subtotal and Average 313 Federal Agency Issue-Step-Up 54FHLB414310,000,000.00 10,000,000.00 05/25/20233.00005/27/2022 9,974,011.80 2.5003130ARYL9 10,000,000.00 2.5009,974,011.8010,000,000.0010,000,000.00Subtotal and Average 54 Commercial Paper Disc. - Amortizing 75COLUMBIA UNIVERSITY4194 20,000,000.00 19,789,583.33 06/15/20235.05003/17/2023 19,784,080.00 5.18619865XTF8 65JP MORGAN SECURITIES LLC4173 20,000,000.00 19,859,166.67 06/05/20233.90009/09/2022 19,819,520.00 4.09846640QT50 132JP MORGAN SECURITIES LLC4181 5,000,000.00 4,907,416.67 08/11/20235.05011/16/2022 4,906,290.00 5.34546640QVB4 93RBC417610,000,000.00 9,879,875.00 07/03/20234.65010/11/2022 9,868,420.00 4.91778009BU34 55RBC417910,000,000.00 9,923,611.11 05/26/20235.00010/26/2022 9,923,930.00 5.27478009BSS2 143RBC41837,500,000.00 7,343,593.75 08/22/20235.25011/25/2022 7,347,420.00 5.56578009BVN9 207TOYOTA MOTOR CREDIT4191 20,000,000.00 19,402,000.00 10/25/20235.20002/22/2023 19,405,220.00 5.49489233HXR0 235TOYOTA MOTOR CREDIT4192 10,000,000.00 9,657,291.66 11/22/20235.25003/01/2023 9,662,780.00 5.60789233HYN8 100,762,538.19 5.089100,717,660.00102,500,000.0090,374,213.26Subtotal and Average 121 Local Govt Investment Pools 1LOCAL GOVT INV POOL - TEXPOOL3996 130,000,000.00 130,000,000.00 4.792130,000,000.00 4.792SYS3996 1LOCAL GOVT INV POOL - TEXSTAR3641 10,000,000.00 10,000,000.00 4.82110,000,000.00 4.821SYS3641 140,000,000.00 4.794140,000,000.00140,000,000.00155,806,451.61Subtotal and Average 1 Portfolio CITY APData Updated: SET_MO: 04/10/2023 10:09 Run Date: 04/10/2023 - 10:11 PM (PRF_PM2) 7.3.0 Days to Maturity Page 3 Par Value Book Value Maturity Date Stated RateMarket Value March 31, 2023 Portfolio Details - Investments Average BalanceIssuer Portfolio Management Monthly Reports YTM 365CUSIPInvestment # Purchase Date Demand Deposits 1DEMAND DEPOSITS - WELLS FARGO3706 12,999,594.01 12,999,594.01 1.65012,999,594.01 1.650SYS3706 1DEMAND DEPOSITS - WELLS FARGO4082 0.00 0.0010/01/2022 0.00 0.000SYS4082 1DEMAND DEPOSITS - WELLS FARGO4104 15,440,168.62 15,440,168.62 1.65015,440,168.62 1.650SYS4104 28,439,762.63 1.65028,439,762.6328,439,762.6340,866,802.67Subtotal and Average 1 3.877766,177,539.01 752,814,762.63 204745,013,927.06 748,342,599.67Total and Average Portfolio CITY APData Updated: SET_MO: 04/10/2023 10:09 Run Date: 04/10/2023 - 10:11 PM (PRF_PM2) 7.3.0 Days to Maturity Page 4 Par Value Book Value Stated RateMarket Value March 31, 2023 Portfolio Details - Cash Average BalanceIssuer Portfolio Management Monthly Reports YTM 365CUSIPInvestment # Purchase Date 0.00 3.877766,177,539.01 752,814,762.63 204 0Average Balance 745,013,927.06 748,342,599.67Total Cash and Investments Portfolio CITY APData Updated: SET_MO: 04/10/2023 10:09 Run Date: 04/10/2023 - 10:11 PM (PRF_PM2) 7.3.0