Okaloosa County BOCC — May 5, 2015 — I. b. Financial Update

Financial Update April 2015 FY 2014-15 AMENDED BUDGET: $41,401,299 Financial data as of 04/15/15 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, and prior year cash carryforward. REVENUE ANALYSIS 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. Tourist development taxes comprise the largest part of actual annual revenue collections. Each percentage is anticipated to generate $2.68M, for a total of $13.4M in bed taxes. Lodging establishments th remit bed tax collections to the Tax Collector by the 20 of each month for the preceding month. The Tax th Collector reconciles and remits the revenues to the County by the 10 of the following month. Due to the timing of this process, $2.3M in actual revenue represents collections through February. April 16, 2015 Tourist Development Department, Okaloosa County, FL Financial Update – April 2015 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) April 16, 2015 Tourist Development Department, Okaloosa County, FL 2 of 8 Financial Update – April 2015 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 th from 5 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. April 16, 2015 Tourist Development Department, Okaloosa County, FL 3 of 8 Financial Update – April 2015 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, enh