Leon Valley presents unaudited FY25 year-end report: revenues close near budget, expenditures underspend

Carol Gehring, Finance Director, presented the monthly financial report for the period ending Sept. 30, 2025, noting it represents the final month of fiscal year 2025 and that figures remain unaudited.

Key points from the presentation included: ad valorem (property) tax revenue about 2% lower year-to-date than the prior year (attributable in part to appeals); sales-tax timing differences (collections two months in arrears); interest income slightly above budget; and licenses/permits and EMS fees contributing substantially to fee revenues. The general fund closed the year with about 93% of budgeted revenues collected and approximately 75–76% of budgeted expenditures spent.

Gehring walked the council through department-level variances: planning and zoning underspent due to staff transitions and a delayed comprehensive master plan (budgeted at $250,000 and to be rolled over); police and public works variances tied to vacancies and project timing; and economic development project monies that were encumbered but not yet paid. She cautioned that numbers are unaudited and that final adjustments and rollover requests will be presented later.

Councilors asked questions about specific items, including use of impact fees to purchase water rights and whether any general-fund replenishment would be required; staff said impact fees were used and that general-fund replenishment was not necessary in that instance.

Why it matters: the report frames the city’s near-term fiscal health, informs rollover and budget planning for FY26, and highlights where council directives or timing changes will affect available resources.

Next steps: staff will present audit adjustments as they are finalized and bring rollover requests and budget amendments as needed.