Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Budget topic
No spam. Unsubscribe anytime.
PT Board reports $155,000 reversion, projects shrinking reserves over next two years
Summary
Executive staff reported year-end numbers showing $7.67 million in revenues, $7.02 million in expenditures, a $155,000 reversion to the fund and projected months in reserve falling from 9.2 to about 6.6 over the next two fiscal years under conservative assumptions.
The Physical Therapy Board’s administrative services report for fiscal year 2024–25 showed revenues exceeding expenditures and a small reversion to the fund, but staff warned reserves are projected to decline under conservative budgeting.
Executive Officer Kaiser reported the board reverted $155,000 into its fund at fiscal year close after total expenditures of about $7,023,000 and revenues of $7,674,000. "We were able to revert a $155,000 back to the fund," Kaiser said. He noted the board historically budgets to statewide trend data and typically sees 3–5% annual increases in overhead costs.
Fund condition and projections
- Current months in reserve (end of FY24–25): 9.2 months. Kaiser said he prefers a double-digit reserve for contingency. - Projections (conservative, straight-line revenue): projected to decline to 8.6 months, then 7.x and to 6.6 months by fiscal year 2026–27 under conservative assumptions.
Staff emphasized the projection methodology is intentionally conservative because revenue was straight-lined and increases were not assumed. Equipment line-item variance: staff explained an over-expenditure in equipment was a carryover purchase (laptops) delayed by supply-chain issues from the prior fiscal year.
Why this matters: The board is at statutory fee caps, limiting its ability to increase revenues by regulation. Kaiser and staff said the statutory cap issue will be addressed in the sunset report as a protective measure in case of unanticipated costs.
Next actions: Staff will continue to monitor fund condition and note that any consideration of fee-cap changes would be legislative and not an immediate fee increase.
Ending: Board members asked clarifying questions about reconciliation timing and equipment life cycles; staff said laptop lifecycles are typically four to five years and that the reversion and surplus provide some cushion but do not eliminate concern about long-term projections.
