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Recreation Commission Meeting May 5, 2003 the Po's. The checks weren’t actually cut with this figure, but it’s very rare when a PO is taken back, so the PO is a fairly good indicator of what was spent in that month. The amount appropriated in the first column relates to the amount that is appropriated that month based on the approved budget, and then the percentage variance of appropriation is the percentage of the budget which was spent in that particular area. As example, for March the total administration was over and the total wages were under but, overall, really 76% was spent of what was thought the Rec Department would have spent for that time, so it is ahead of schedule on the expense side. That’s not necessarily a good thing. One requirement is to make sure that the City uses the funds budgeted for the benefit of the citizens. It’s important that those needs be met by getting as close to 100% as possible by month and by quarters so that the City is actually doing what has been planned to do. Mr. Baxter said that the expense report as written is not true, however. It’s pretty clear from the revenue side, but he could not understand the expense side because the th expense amount is really 1/12 of an annual number. Not to account for variables that are going to happen when summer programs are going to bring in a lot more expenses or revenue and just th compare it to 1/12 makes it look peculiar. Mr. Baxter suggested, although acknowledging the amount of work that went into the improvement of the reports, that monthly variations be accounted for so that the comparisons look more valid. Mr. DiSalvo continued that thought by saying that this time next year the Recreation Department should have the equation right; that notes and history are being taken. Mr. Baxter said that this is a step in the right direction; as it is, year to date isn’t year to date, it’s annual budget. There’s a difference. Year to date would be a three-month budget. Mr. Jesse said that it could be renamed to reflect this. What he is suggesting is that as the expense report is now, the Recreation Department is 25% spent through March, targeted. The attempt was being made to give Ted DiSalvo some tools to say, “Where are we?” on a timely basis, rather than, “I’m still with the January figures, and we’re in April…” As the computerization goes into place, the figures will tighten up better. On the other side, what the Recreation Department would like to do is combine the incomes on top and the expenses below and show a surplus for the month. On the income/revenue report side, the percentages were changed a little to show that the Rec should be 25%, and it's actually a little ahead right now, at 30.24% for the year. Again, it helps to know the Rec Center is improving. Mr. Baxter noted that the tax revenue looks off but, again, it’s actually trying to budget things by when they’re going to be received. Once there’s a history, next year’s statements will look a lot different. The comparisons will be much more valid. There could be another column as actual from last year to this month’s actual, so that there can be a comparison made between the years and really see the direction the figures are taking. Mr. Jesse said that one of the problems in public accounting is that there are carryovers and shifts at year end, so that sometimes there will be a situation where the figures aren’t showing up yet on a financial statement, but they’re still out in Limbo somewhere. Carrie [Copfer, Finance Director] knows all this, so all of a sudden there will be a blast of money that comes in as a legitimate number. These nuances in a public system vs. a private system must be considered. Page 5