Summary
The Third Quarter FY10 QCMR, submitted in May 2010, continues the trend of financial deterioration, with a projected deficit of $50.9 million. Wage Tax collections showed some recovery, but Sales Tax revenue dropped another $7.5 million, bringing the total decline to $15.5 million year-to-date. The Real Estate Transfer Tax increased by $4 million, helping offset some losses. On the expenditure side, employee benefits exceeded projections by $13 million, due to higher-than-expected healthcare costs and unemployment claims. The Streets Department incurred an additional $8.5 million in costs, largely due to snow removal expenses. Meanwhile, the Department of Human Services projected $27.4 million in savings from reduced foster care placements, offering some relief.