Interim financial reports show expected early fiscal‑year shortfall; September posts a small month surplus

Finance staff presented the town’s interim financial statements for August and September at the Oct. 20, 2025 work session and explained why early‑year figures show a deficit that will resolve as property tax revenues arrive later in the year.

Kim, presenting the report, said the fiscal year is 17% complete at the end of August and about 25% complete at the end of September. She noted fewer Avalon property‑tax receipts arrived in August and that vehicle taxes and permit fees provide recurring monthly revenue; she also reported an August transfer from the park reserve fund to the general fund to cover a planned park debt payment.

For August the consolidated year‑to‑date net was approximately negative $280,000, which staff said was expected because major property‑tax receipts typically arrive in November and December. In September, Kim reported that Avalor property taxes of about $91,000 were received and that the month ended with revenues exceeding expenditures by roughly $14,800.

Kim also explained that higher salary figures for the period reflected vacation payouts for two departing employees (one with about 240 hours), which increased payroll and related expenses. Staff summarized fund balances: the capital reserve and park reserve are shown with modest balances (each reported under $80,000 in the documents presented) and public safety reserve was reported at roughly $531,000. Staff reported grant figures: a SKIFF grant running balance reported as about $231,568 and a reader grant reported as about $2,216,000; staff noted those totals do not reflect encumbered amounts.

Council had no substantive questions and the meeting moved to adjournment.