Aberdeen financial update: building permits surge, sales tax collections lag eight-month pace

Finance Director Butch Watson presented the Town of Aberdeen's fiscal-year-to-date financial report through April 30, 2025, telling the board that overall revenue performance remains strong while some revenue lines and timing factors warrant attention.

Watson said General Fund revenues were at about 94.1% of the current budget and expenditures at about 80.8% through April. He highlighted several line items: building-permits revenue was well above budget at 158.64% ($515,577 collected vs. $325,000 budgeted), reflecting increased development activity; ABC net revenue and Powell Bill receipts also exceeded budgeted expectations. Conversely, sales tax receipts (eight months) were at 70.0% of budget ($2,572,696.50 vs. $3,675,450), and utilities franchise tax trailed projections at about 82.7%.

For the Water & Sewer Fund, Watson reported year-to-date revenues at about 81.1% of budget and called out system development fees at 234.08% of budget ($718,629.42 vs. $307,000), which the town is tracking as a one-time boost driven by higher connection activity. Water and sewer tap revenue and other capital project funds were also detailed in the packet.

Watson's presentation included project-specific ordinance funds: Old Aberdeen Elementary School project, downtown improvement and new library project balances, and the Sportsplex Park Development grant. Several capital funds show activity but are in various stages of expenditure and reimbursement.

The board did not take separate action on the report; Finance Director Watson's figures will feed into the FY 2025–26 budget discussions and the capital-planning schedule. The board asked staff to continue monitoring sales-tax and utility-franchise trends and to report material variances.