Okaloosa County BOCC — December 10, 2015 — III. l. FY15 Yr End Financial Update — reading text

Financial Update FY 2015 Year End FY 2014-15 AMENDED BUDGET: $44,978,359 Financial data as of 11/30/15 The adopted budget of $34,917,500 has been amended to record an FDOT Urban Corridor grant for seasonal bus service to Okaloosa Island and Destin, Aramark’s annual investment contribution, an FDEP grant for dune walkover construction on Okaloosa Island, a FWC grant for artificial reef construction, tourism summit partnerships, prior year cash carryforward, and the transfer of 2nd & 3rd penny reserves to the 1st penny for beach restoration. REVENUE ANALYSIS (1) TDT collections = $16.7M; $125K transferred from current year TDT collections to BP account. Reserves are the largest component of budgeted revenues because the budget reflects anticipated revenues as well as current cash on hand. Reserves/cash on hand represents the accumulation of unspent prior year bed tax dollars; it’s not an actual source of incoming revenues for the year. December 2, 2015 Tourist Development Department, Okaloosa County, FL Financial Update – FY 2015 Year End RevPAR Revenue per available room (RevPAR) is a widely used performance metric in the lodging industry. RevPAR is a measurement for a point in time, so it is most appropriately used when comparing equivalent time periods (e.g. October 2014 to October 2013). RevPar = gross monthly receipts divided by days in month divided by number of units (data taken from Tax Collector’s monthly reports) December 2, 2015 Tourist Development Department, Okaloosa County, FL 2 of 8 Financial Update – FY 2015 Year End EXPENSE ANALYSIS Amended Budget: (1)$15K transferred from convention center operations to personnel to cover overtime; (2)$25K added to convention center operations for Aramark annual investment contribution; (3)$15K transferred from special events to capital for interactive trade show booth purchase; (4)$74K transferred from 5th penny promotional reserve for Destin to Fish production; (5)$109K transferred from living shorelines for dune walkovers grant match; (6)$125K transferred from SMP to BP; (7)$100K transferred from artificial reefs for grant match; (8)$376K cash carryforward for ECCC operations & equipment; (9)$4K for tourism summit partnerships; (10)$125K transferred from reserves to replenish SMP; (11)$25K cash carryforward for 35% O&M; (12)$4M cash carryforward for beach restoration; (13)$43K cash carryforward adjustment; (14)$1.6M cash carryforward for future ECCC improvements; (15)$22K transferred from contractual services to personnel for Film Commission Liaison; (16)$3.6M transfer of 2nd & 3rd reserves to 1st reserves. December 2, 2015 Tourist Development Department, Okaloosa County, FL 3 of 8 Financial Update – FY 2015 Year End REVENUES & EXPENSES BY LEVEL OF TOURIST DEVELOPMENT TAX RESTRICTION FIRST PERCENTAGE (These permissible uses are intended to be representative, not all-inclusive)  beach park facilities or beach improvements  beach & waterway maintenance, renourishment, restoration, enhancement, access  tourist destination facilities Amended Budget: (5)$109K transferred from living shorelines for dune walkovers grant match; (7)$100K transferred from artificial reefs for grant match; (12)$2.4M cash carryforward for beach restoration; (16)$3.6M transfer of 2nd & 3rd reserves to 1st reserves. Note: (A)Engineering work is capped at $5,000 under the grant; therefore, a budget transfer within the first penny will be needed to cover expenses in excess of that amount. December 2, 2015 Tourist Development Department, Okaloosa County, FL 4 of 8 Financial Update – FY 2015 Year End SECOND PERCENTAGE (These permissible uses are intended to be representative, not all-inclusive)  visitor services, brochure distribution, communication and research  tourist bureau administration  lifeguard services and protection Amended Budget: (11)$11K cash carryforward for 35% O&M; (12)$258K cash carryforward transfer to 1st penny for beach restoration. December 2, 2015 Tourist Development Department, Okaloosa County, FL 5 of 8 Financial Update – FY 2015 Year End THIRD PERCENTAGE (These permissible uses are intended to be representative, not all-inclusive)  operations, maintenance, improvement of Visitor Welcome or Information Centers, Convention Center, and Tourist Destination Facilities, including museums  promotion of the Convention Center and Tourist Destination Facilities Amended Budget: (1)$15K transferred from convention center operations to personnel to cover overtime; (2)$25K added to convention center operations for Aramark annual investment contribution; (8)$376K cash carryforward for ECCC operations & equipment; (11)$15K cash carryforward for 35% O&M; (12)$1.3M cash carryforward transfer to 1st penny for beach restoration. December 2, 2015 Tourist Development Department, Okaloosa County, FL 6 of 8 Financial Update – FY 2015 Year End FOURTH PERCENTAGE (These permissible uses are intended to be representative, not all-inclusive)  expansion, renovation, reconstruction of the convention center and outdoor venues Amended Budget: (14)$1.6M cash carryforward for future ECCC improvements. December 2, 2015 Tourist Development Department, Okaloosa County, FL 7 of 8 Financial Update – FY 2015 Year End FIFTH PERCENTAGE (These permissible uses are intended to be representative, not all-inclusive)  tourism promotion Amended Budget: (3)$15K transferred from special events to capital for interactive trade show booth purchase; (4)$74K transferred from 5th penny promotional reserve for Destin to Fish production; (6)$125K transferred from SMP to BP; (9)$4K for tourism summit partnerships; (10)$125K transferred from reserves to replenish SMP; (13)$43K cash carryforward adjustment. PROMOTIONAL ACTIVITIES (-548xxx accounts) Amended Budget: (3)$15K transferred to capital for interactive trade show booth purchase; (4)$74K transferred from 5th penny promotional reserve for Destin to Fish production; (6)$125K transferred from SMP to BP; (9)$4K for tourism summit partnerships; (10)$125K transferred from reserves to replenish SMP. Recommendation to BCC: N/A; for informational purposes only. The County’s Comprehensive Annual Financial Report (CAFR) available in March/April 2016 provides final audited financial information. December 2, 2015 Tourist Development Department, Okaloosa County, FL 8 of 8