Laserfiche WebLink
6.G. - Page 46 of 187 <br />City of Redwood City <br />Management's Discussion and Analysis <br />For the fiscal year ended June 30, 2018 <br />final sales tax receipts that were received after the 60 -day requirement will be recorded in FY 2018-19. If <br />the City were to accrue the late sales tax payments for FY 2017-18, actual sales tax revenue for all funds <br />of the City would be 1.6 percent higher than the prior fiscal year. Additionally, the City Council placed a <br />half -cent sales tax increase on the November 2018 ballot, which was passed by the voters and will be <br />implemented in April 2019. This additional sales tax revenue will contribute towards the long-term fiscal <br />sustainability of the City, along with other measured steps the City has implemented to address escalating <br />pension costs and other funding commitments. <br />The adopted FY 2018-19 general fund budget projects a surplus of $300 thousand, and relies on ongoing <br />revenue to fund ongoing expenses, uses one-time revenue for one-time expenses, and maintains a <br />prudent general fund reserve of 15%. For the foreseeable future, the City's pension contributions are <br />estimated to increase annually due to changes in actuarial assumptions and investment methodologies <br />made by the California Public Employees Retirement System. Moreover, it is unknown when another <br />recession will occur, but certain factors point to a slowing of the economy over the next few years. These <br />factors will be taken into consideration when developing the FY 2019-20 budget and the 10 -Year General <br />Fund Forecast. <br />CONTACTING THE CITY's FINANCIAL MANAGEMENT <br />This Comprehensive Annual Financial Report is intended to provide citizens, taxpayers, investors, and <br />creditors with a general overview of the City's finances. Questions about this report should be directed <br />to the Finance Division, at 1017 Middlefield Road, Redwood City, CA 94063. <br />19 225 <br />