| | | | | | | | DATE:
| 6/17/2021
| MEMO:
|
| TO:
| Mayor Julie Moore Wolfe & Decatur City Council Members
| FROM:
| Scot Wrighton, City Manager
Gregg Zientara, CFO and City Treasurer
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| | | | | | | | | SUBJECT: Monthly Financial Report for May 2021 |
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| | | | | | | | | BACKGROUND: The condition of the General Fund has improved, but it is likely temporary. The improvement has been created by one-time revenues from COVID relief funding (chiefly CURE reimbursements to the General Fund), and from anomalous increases in PPRT which will likely not be sustained for the rest of the year. Fire and Police pensions are expected to be up again this year, and the council will have to fund a greater portion of this expense, again, from the General Fund if it wants to again keep property taxes level for another year--which will impact negatively on the General Fund, but not until later in the year. The temporary improvement in the General Fund's condition also reflects a decrease in staffing. Some of the staffing decrease was an intentional and deliberate strategy to reduce costs as a way of managing through the pandemic; but at least half of the city's vacancies reflect an inability to hire qualified workers--and not an unwillingness to hire--as the local job market has tightened and all area employers (including the city) struggle to find a sufficient number of persons to fill job vacancies. |
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