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Forest Park DDA reviews financial report; board discusses consolidating Main Street account into Georgia Fund 1
Summary
The DDA heard a detailed financial report showing operating cash and account balances and discussed whether to collapse a separate Main Street account into an investment fund (Georgia Fund 1) to earn higher interest.
The Forest Park Downtown Development Authority received a monthly financial report on Thursday showing operating cash balances across multiple accounts and a recommendation to review whether to consolidate accounts into Georgia Fund 1.
Finance presenter Mr. Wiggins told the board the DDA has three bank accounts with a beginning combined balance of $7,039,003.34 and an ending balance of $2,914,009.62 after deposits and withdrawals. He reported individual account balances, including one main operating account that moved to $656,008.96 after audit-related adjustments and a Georgia Fund 1 beginning balance of $2,060,003.76 with reinvested earnings of $77,006.51, bringing that fund to about $2,068,027.
Board members asked why there are three separate accounts and whether a Main Street account could be dissolved and moved into Georgia Fund 1 to capture higher interest rates. Mr. Wiggins said he would gather account history and work with the economic development department and Truist bank on interest-rate implications before recommending consolidation.
Why it matters: Consolidating smaller accounts into a pooled investment could increase returns for DDA-held funds, but the board flagged the need to confirm how such a change would affect DDA and URA interest rates and any program accounting requirements.
Details: Mr. Wiggins reviewed operating revenue and expense summaries and said year-to-date operating expenses were below budget for the month shown. He provided bank-account ending balances and noted that an audit-related adjustment contributed to the main account change. Board members requested a historical explanation of the Main Street account and directed staff to research the feasibility and implications of consolidation.
No formal vote was taken on consolidation at Thursday’s meeting.
