Summary
The Second Quarter FY12 QCMR reports stronger revenue performance, with total collections reaching $3.52 billion, an increase of $14.5 million over the Five-Year Plan. However, spending also increased, with obligations projected to be $4.0 million higher, driven by pension and personnel costs. Wage and Business Privilege Tax collections continue to perform well, while Real Estate Transfer Tax revenue has declined slightly. The City’s operating surplus is now projected at $43.2 million, reflecting modest fiscal improvements. The projected year-end fund balance has increased to $59.7 million, an improvement from the prior quarter but still reflecting expenditure pressures. The report emphasizes the need for continued budget oversight to maintain fiscal balance.