Summary
The First Quarter FY12 QCMR provides an early assessment of the City’s financial performance, showing General Fund revenues of $3.5 billion, a $3.1 million increase over the Five-Year Plan. However, spending is also projected to exceed the plan by $9.5 million, largely due to higher personnel and pension costs. Wage and earnings tax collections are below expectations, contributing to concerns about long-term revenue stability. Federal funding adjustments have improved the City’s financial outlook slightly, but increased spending in public safety and infrastructure projects offset these gains. The projected year-end fund balance of $50.8 million remains below Plan expectations, highlighting ongoing financial risks. The report recommends continued expenditure control to maintain fiscal stability.