Summary
Philadelphia ended FY26 with a preliminary General Fund balance of $982.3 million, or 15.4% of revenues, exceeding projections in both the FY26-30 and FY27-31 Five-Year Plans. Revenues were $59.0 million higher and spending was $163.8 million lower than anticipated in the FY27-31 Plan, although Wage and Earnings Tax collections fell slightly short of expectations. Despite the stronger-than-projected fund balance, a $251.6 million operating deficit reduced reserves below GFOA-recommended levels, highlighting the importance of maintaining unrestricted reserves as temporary federal relief ends and staffing levels improve.