Michelle Frankerson presented the July 2025 monthly financial report to the Kent City Council Committee of the Whole, saying the city now uses estimated actuals at midyear to project year-end results. "Sales tax is estimated to come in over budget by about 750 to a million dollars," Frankerson said, adding August receipts were also higher than in 2024.
The report notes other revenues—intergovernmental revenue, charges for services and miscellaneous revenues—are higher in 2025 than the same point in 2024, while licenses and permits and fines and forfeitures remain below last year. Frankerson said estimated actuals place licenses and permits about $400,000 under budget and fines and forfeitures about $500,000 under budget, partly because a 2024 fine that increased revenues was reversed in 2025 as an accounting entry.
Overall, Frankerson said total general fund revenues are projected to finish roughly $3,000,000 over budget while expenditures are expected to come in about $2,000,000 under budget, with interest income a major positive contributor. She noted several other fund-level changes: retiree benefits spending (LEOFF 1 retiree benefits) running about $170,000 below budget due to underspending of long-term care; Capital Resources Fund expenditures about $600,000 under budget, driven largely by parks underspending; and the Sewer Utility Fund, budgeted to use about $1,700,000 of fund balance, currently projected not to need that drawdown, a change attributed in part to King County pass-through charge timing.
Frankerson also reported downward trends so far this year in workers' compensation judgments and damages and a lower-than-budgeted renewal for property insurance, which she said could allow roughly $300,000 to be returned to that fund's balance. She cautioned that estimated actuals will continue to change as the year progresses and the city gets closer to actuals.
Council members asked clarifying questions during the presentation; Frankerson invited follow-up and said staff would continue to refine estimates as new monthly data arrive.