Summary
The Fourth Quarter FY15 QCMR provides a final assessment of the City’s financial performance, noting significant revenue shortfalls due to the failed sale of Philadelphia Gas Works. Despite this, expenditures were lower than planned, helping to mitigate the fiscal impact. The operating deficit was reduced to $73.4 million, down from the initial estimate of $98.8 million, as spending constraints helped offset revenue losses. The year-end fund balance of $144.8 million exceeded the original Plan estimate by $76.5 million, reflecting prior-year adjustments and cost controls. The report also highlights key financial risks, including increased pension costs and potential revenue fluctuations. While FY15 ended with a stronger-than-expected fund balance, the City faces continued fiscal challenges moving forward.