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Minutes of the Regular Meeting of Council <br />Monday, May 16, 2022 <br />Pg #7 <br />Mr. Wynne stated, I'd like to comment on the financial report, just to update Council on the income <br />tax front. If you remember when we did the budget process planning, we assumed possibly <br />monthly collections of about $650,000 - $700,000 before the impact of any type of refunds. So for <br />the first four months of the year we've been averaging $990,000 in collections. That's really the <br />result of the year-end bonuses that were paid by the corporations in December, but we didn't <br />actually receive those payroll dollars until Jan & Feb. For the first four months we started pretty <br />strong, but we are starting to settle into that $650,000 - $700,000 a month range right now going <br />forward in May. <br />From a refund standpoint as of this morning, looking at our fourteen largest taxpayers which <br />account for about 85% of our total tax money, total refunds either processed or in process, as of <br />this morning they're $330,000, so it's significantly less than what we had thought might happen, <br />not knowing at all where it was going to be. So far, I'm happy to see how that's coming in. <br />For the first four months of the year, the financial report through April only reflects about $30,000 <br />in refunds. There will be another $30,000 reflected in the May numbers and then refunds right now <br />are hitting pretty hard and fast just because the tax filing deadline has passed and RITA just started <br />processing those through, so we'll see more of a big chunk hit when we put out our June reporting. <br />Last item. If you read in the financial report, I recorded a $378,000 loss in April to right down <br />investments to market value. We're required to record our investments at market. Generally, it's <br />not a big difference because we invest in CD's and Federal Securities, there's generally not a big <br />difference between market value and what we have them on the books at. But recently with the <br />Fed increasing the interest rates to combat inflation, as the interest rates go up it has a negative <br />impact on the market value of the investments. Because it was so significant for the first four <br />months of the year, I wanted to start recording it now versus waiting until the end of the year. This <br />is not money we will lose. It's a loss on paper that we will recoup as the investments reach maturity. <br />So it's not money we lose, but on paper, it is a loss and I'd rather recognize it on the financials <br />now instead of waiting until the end of the year. <br />Mr. Wynne asked, does anybody have any questions of any of those items? <br />There was none. <br />Council President Schutt asked, any other comments or discussion? <br />There was none. <br />ROLL CALL: AYES: All Motion Carried <br />NAYS: None Financial Reports for <br />April 2022 Acknowledged <br />And Approved as Submitted <br />