Prospect reports $4.6 million on hand; tree-maintenance budget flagged for review

Prospect — At the Oct. 20 City Council meeting, finance staff provided a monthly financial summary showing the city held approximately $4.6 million in combined investments and checking at the end of September and reported a net unrestricted balance near $2.6 million after reserves for pensions, restricted projects and the road fund.

John Carter, who summarized the September financials, said investments totaled roughly $3.1 million while checking balances were close to $1.3 million–$1.4 million, producing the stated combined total of about $4.6 million. Carter also said the city had earned nearly $44,000 in interest year-to-date and has collected about 50% of expected income for the year.

Carter told the council the restricted road fund stood just under $165,000. He also said the capital projects fund total was reported in the meeting packet but was unclear in the verbal record; the council packet should be consulted for the exact figure. Carter noted one budget line — tree maintenance — had "blown out" and will be revisited, likely at the beginning of the next calendar year.

Separately, the investment committee reported it met Oct. 14 and determined the city is in compliance with its investment policy and applicable Kentucky statute. The committee reported holdings (as of Sept. 30) in the Kentucky League of Cities money market fund (~$980,000), an S&P equity index fund (~$131,002.12) and an enhanced income fund (amount as read in the meeting was unclear and should be confirmed in the committee report). Yields cited in the meeting included a money-market yield at about 3.77% and an enhanced-income yield around 3.92%.

Council members were told the committee is maintaining a conservative allocation and is investing a fixed monthly amount into equities. No budget amendments were adopted at the meeting; staff and councilors said they will revisit tree-maintenance and other pressure points in future budget discussions.