City Financial Health Good, Council Is Told
The city’s finances are generally in good shape at midyear, City Manager Daniel E. Keen said in a report to the City Council.
“General fund revenues for the current year are approximately $175,000 higher” than predicted, Keen said, because of “increases in sales taxes, the hotel in-lieu tax and the settlement with Copley/Colony Cablevision.”
Keen said that the only glitch was a downturn in money from the city Redevelopment Agency. City Council members serve simultaneously as members of the agency.
Keen said the agency is not getting as much money this fiscal year as expected because recent reassessments have lowered property taxes.
“Revenues from this fund source, projected at $1.5 million at the beginning of the fiscal year, are now projected to be $1.3 million,” Keen said. The agency would have a $246,500 “negative balance situation” by the end of the fiscal year if the city required full payment of the amount budgeted for the agency, he said.
At Keen’s recommendation, the council voted to allow the agency to defer payment of $300,000 to the city this year.
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