Okaloosa County BOCC — June 26, 2014 — III.b. Financial Update — reading text

Financial Update June 2014 FY 2013-14 AMENDED BUDGET: $36,713,969 Financial data as of 05/21/14 The adopted budget of $33,967,750 has been amended during the year to record BP grant funds for marketing, FDEP grant funds for Okaloosa Island dune walkovers, FDOT grant funds for seasonal transit service on Okaloosa Island and Destin, and reserve carryforwards. 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 is a budget “placeholder” and 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 $2.4M, for a total of $12M in bed taxes. Lodging establishments remit bed tax collections to the tax collector by the 20th of each month for the preceding month. The tax collector reconciles and remits the revenues to the County by the 10th of the following month. Due to the timing of this process, $4.1M in actual revenue only represents collections through April. Based on these receipts, tourist development tax revenues are on track to generate $13.4M this year, which is $1.4M or 11.6% more than budgeted but $125K or 0.9% less than prior year collections. June 20, 2014 Tourist Development Department, Okaloosa County, FL Financial Update – June 2014 EXPENSE ANALYSIS Reserves are the largest component of budgeted expenses because budgeted expenses must equal budgeted revenues. The budgeted use/drawdown of reserves is reflected in the amount by which budgeted reserves expenses are less than budgeted reserves revenues: $21M reserve revenue – $15M reserve expenses = $6M budgeted use/drawdown for capital projects. Each percentage of the bed tax is required to be spent in a certain way per County Ordinance. June 20, 2014 Tourist Development Department, Okaloosa County, FL 2 of 6 Financial Update – June 2014 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 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 June 20, 2014 Tourist Development Department, Okaloosa County, FL 3 of 6 Financial Update – June 2014 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  promotion of the Convention Center and Tourist Destination Facilities FOURTH PERCENTAGE (These permissible uses are intended to be representative, not all-inclusive)  expansion, renovation, reconstruction of the convention center and outdoor venues June 20, 2014 Tourist Development Department, Okaloosa County, FL 4 of 6 Financial Update – June 2014 FIFTH PERCENTAGE (These permissible uses are intended to be representative, not all-inclusive)  tourism promotion STRATEGIC MARKETING PLAN 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. February 2014 to February 2013). However, since year-to-year comparison is not possible until twelve months of data are obtained, it is being presented here to establish benchmarks. RevPar = gross monthly receipts divided by days in month divided by number of units (data taken from Tax Collector’s monthly reports) June 20, 2014 Tourist Development Department, Okaloosa County, FL 5 of 6 Financial Update – June 2014 EXPENDITURE TRANSACTION ANALYSIS Pursuant to Florida Statutes 125.0104(4)(e), “The council shall continuously review expenditures… Expenditures which the council believes to be unauthorized shall be reported to the county governing board and the Department of Revenue”. One of the most comprehensive reports from the County’s accounting system is the Expenditure Transaction Analysis, which lists the fiscal period, date, transaction type, check number, vendor number, vendor name, dollar amount, and description for each tourist development tax expenditure transaction. This report is being provided to assist the TDC in identifying possibly unauthorized expenditures. The following pages provide transaction detail for the month of May 2014. REQUESTED MOTION: Motion to recommend approval of the Financial Update as provided. June 20, 2014 Tourist Development Department, Okaloosa County, FL 6 of 6 SUNGARD PENTAMATION, INC. PAGE NUMBER: 1 DATE: 06/19/2014 OKALOOSA COUNTY BOCC AUDIT11 TIME: 17:07:25 EXPENDITURE TRANSACTION ANALYSIS SELECTION CRITERIA: transact.yr=’14’ and transact.period=’8’ and transact.fund=’104’ ACCOUNTING PERIOD: 9/14 FUND − 104 − TOURIST DEVELOPMENT FUND DEPARTMENT − 1151 − 5TH TDT−TOURISM PROMOTION ACCOUNT DATE T/C ENCUMBR REFERENCE VENDOR BUDGET EXPENDITURES ENCUMBRANCES DESCRIPTION 534003 CS−CONSULTING 8 /14 05/08/14 21 V1405505 21200456 GAIL MORGAN 3,166.67 .00 FILM COMMISSION SVCS TOTAL CS−CONSULTING .00 3,166.67 .00 534018 CS−CHAMBER OF COMMERCE 8 /14 05/01/14 21 1405085 002981 FWB CHAMBER OF C 5,000.00 .00 JAN−MAR2014 8 /14 05/01/14 21 1405085 002981 FWB CHAMBER OF C 5,000.00 .00 OCT−DEC2013 TOTAL CS−CHAMBER OF COMMERCE .00 10,000.00 .00 534500 CS−PERSONNEL 8 /14 05/08/14 21 1405498 21101150 LANDRUM STAFFING 345.60 .00 HALSEY 4/19/14 8 /14 05/08/14 21 V1405497 009350 KELLY SERVICES,I 406.80 .00 THATCHER 4/13/14 8 /14 05/08/14 21 V1405497 009350 KELLY SERVICES,I 692.80 .00 WARDLOW 4/13/13 8 /14 05/08/14 21 1405498 21101150 LANDRUM STAFFING 904.40 .00 NIXON 4/19/14 8 /14 05/08/14 21 V1405497 009350 KELLY SERVICES,I 121.24 .00 LATIMER 4/20/14 8 /14 05/08/14 21 V1405497 009350 KELLY SERVICES,I 692.80 .00 WARDLOW 4/20/14 8 /14 05/15/14 21 1405660 21101150 LANDRUM STAFFING 32.40 .00 HALSEY 4/26/14 8 /14 05/15/14 21 V1405659 009350 KELLY SERVICES,I 207.84 .00 LISHEFSKI 4/27/14 8 /14 05/15/14 21 V1405659 009350 KELLY SERVICES,I 406.80 .00 THATCHER 4/27/14 8 /14 05/15/14 21 V1405659 009350 KELLY SERVICES,I 649.50 .00 WARDLOW 4/27/14 8 /14 05/22/14 21 18270608 009350 KELLY SERVICES,I −147.22 .00 LATIMER 5/04/14 8 /14 05/22/14 21 V1405801 009350 KELLY SERVICES,I 147.22 .00 LATIMER 5/04/14 8 /14 05/22/14 21 V1405801 009350 KELLY SERVICES,I 138.56 .00 LISHEFSKI 5/4/14 8 /14 05/22/14 21 18270608 009350 KELLY SERVICES,I 147.22 .00 LATIMER 5/04/14 8 /14 05/22/14 21 V1405801 009350 KELLY SERVICES,I 554.24 .00 WARDLOW 5/4/14 8 /14 05/22/14 21 1405805 21101150 LANDRUM STAFFING 230.40 .00 HALSEY 5/3/14 8 /14 05/22/14 21 1405805 21101150 LANDRUM STAFFING 361.76 .00 NIXON 5/3/14 8 /14 06/05/14 21 1406101 21101150 LANDRUM STAFFING 938.32 .00 NIXON 5/10/14 TOTAL CS−PERSONNEL .00 6,830.68 .00 540002 TRAVEL OUT−OF−COUNTY 8 /14 05/01/14 21 V1405118 21200456 GAIL MORGAN 347.18 .00 TALLAHASSEE FL 8 /14 05/15/14 21 V1405671 21200456 GAIL MORGAN 1,059.59 .00 TRIBECA FILM FESTIVAL TOTAL TRAVEL OUT−OF−COUNTY .00 1,406.77 .00 540005 TRAVEL LODGING EXPENSES 8 /14 05/01/14 21 V1405118 21200456 GAIL MORGAN 225.00 .00 TALLAHASSEE FL 8 /14 05/15/14 21 V1405671 21200456 GAIL MORGAN 3,007.10 .00 TRIBECA FILM FESTIVAL TOTAL TRAVEL LODGING EXPENSES .00 3,232.10 .00 542001 POSTAGE/FREIGHT CHARGES 8 /14 05/29/14 21 1406002 008511 U S POSTMASTER 10,000.00 .00 PERMIT 252 BULK MAIL TOTAL POSTAGE/FREIGHT CHARGES .00 10,000.00 .00 545990 INSURANCE−OTHER 8 /14 05/01/14 19 BUDGET−5 62.00 GENERAL LIABILITY TOTAL INSURANCE−OTHER .00 62.00 .00 RUN DATE 06/19/2014 TIME 17:07:26 SUNGARD PENTAMATION, INC. − FINANCIAL ACCOUNTING SUNGARD PENTAMATION, INC.