Finance committee approves quarterly budget report and authorizes transfers for FY25

O'Fallon — The Finance Committee approved the quarterly budget actual report through March 31, 2025, and passed a resolution authorizing transfers from reserves and budget amendments for major funds with expenditures exceeding budgeted amounts for fiscal year 2025.

Sandy presented the quarterly report and explained that variances can result from timing of journal entries and project start/stop dates; she said revenues often cover the overages but the auditor's review for required supplemental information examines expenditures only. "This does not take into account any excess revenues we have to cover those. For the audit, it's strictly looking at only the expenditures," Sandy said.

The committee approved the quarterly budget actual report and then voted on a resolution that auditors require to note major funds that spent more than their budget. A roll call recorded votes of approval by Nathan Parchment, Jim Campbell, Todd Roach, Jessica Lott and Jim Blackburn for the resolution. The committee also approved the quarterly report earlier in the meeting by unanimous roll call.

A member of the public, Ron Zillms (Ward 6), asked whether a roughly $1.1 million Social Security line reflected an actual need to shift funds for salaries or simply an underbudget. Sandy said the number was an underestimate in budgeting rather than additional payroll beyond the budgeted salary base. "It's strictly an underestimate on the social security," Sandy said.

Committee members noted that the process of reviewing funds and preparing amendments is an annual routine intended to avoid audit comments. The motions to approve the quarterly report and to authorize transfers and amendments both passed; staff will forward the approved documents to the full council and incorporate the amendments into the audit-required supplemental information.