Summary
The Fourth Quarter FY16 QCMR provides a final assessment of FY16 finances, showing strong tax revenue growth that helped offset rising costs in public safety and pension obligations. Despite higher-than-expected spending, particularly in overtime and staffing, the City’s operating deficit decreased to $64.9 million, an improvement over prior projections. Homicide clearance rates declined significantly, while uninsured patient visits at District Health Centers decreased, indicating improvements in healthcare accessibility. The City also saw declines in homeownership counseling participation, largely due to reductions in federal funding. Overtime spending across all departments exceeded initial estimates by $43.9 million, contributing to the budget gap. The report underscores the need for continued cost controls, particularly in workforce expenses, to maintain fiscal stability.