The City Finance Committee approved the August financial statements and discussed the city’s recent audit and short-term borrowing during a public meeting.

Committee Chair (speaking as Chair) opened the meeting and the committee approved the minutes from June 13 and, later, a motion to approve the August financials as presented. Michelle Reeder, a city staff member, reviewed the August revenue and expense report and the city’s cash and staffing levels.

Reeder told the committee that general fund revenue through August is slightly below the same period in 2024, citing a $528,000 reduction in income-tax receipts tied to net-profit return filing extensions. She said admissions tax receipts were up by just over $200,000 and that lodging-tax receipts were similar to last year. Total general fund revenue was reported as approximately $23.4 million in 2025 versus $23.6 million in 2024.

On expenditures, Reeder said the city’s 2025 expenditures to date were about $22.1 million, up from $21.2 million the previous year, and that wages and fringe benefits have increased slightly. She noted the ratification in August of the AFSCME contract, which the city expects will keep labor costs stable through 2027. Reeder reported a cash balance in the general fund of about $6.2 million and 250 full-time city positions on the payroll.

Committee members asked for clarifications about a 2024 repayment of an advance tied to the Perkins Avenue project. Reeder said the city received approximately $900,000 in 2024 that repaid an earlier advance and that when that repayment is factored in the city’s year-over-year position would be stronger.

Reeder updated the group on other finance matters: the city issued $11.8 million in various-purpose notes between meetings with a net interest cost of 2.67% and received a MIG-1 rating from Moody’s on those notes. She said the note sale yielded a favorable rate and that Moody’s review and the city’s cash metrics affect borrowing costs. Reeder also said the audit for 2024 was released by the state with no findings and no management letter and that the city submitted the audit to the Government Finance Officers Association (GFOA) for possible recognition.

The committee discussed the city’s payroll stabilization and reserve balances. Reeder said transfers into the stabilization account occur at year end; the committee recorded a stabilization-balance figure of $1,061,729. Members asked that future financial presentations include a visual overlay showing cash as a percentage of annual expenditures to make reserves easier to interpret across the fiscal year.

A motion to approve the August financials passed on roll call with all voting members present recorded as yes.