Summary
The Fourth Quarter FY18 QCMR, covering the period ending June 30, 2018, provides a comprehensive review of the City’s fiscal year performance, noting strong tax revenue collections, particularly in Wage, Business Income, and Real Estate Transfer Taxes. However, obligations have also risen, driven by higher staffing costs, pension contributions, and increased overtime expenses. The final year-end fund balance stands at $228.5 million, $151.3 million higher than originally estimated, providing a significant financial cushion for the City. Despite this, the report warns that overtime costs reached an all-time high of $177.9 million, due to staffing shortages and an increased number of special events and protests. The City also saw higher-than-expected spending in Prisons and Fire Departments, raising concerns about sustained budgetary pressures in future years. The report recommends continued efforts to manage labor costs and reduce reliance on overtime spending to maintain fiscal stability.