Audit Confirms $1.46 Million City Surplus

SOURCE: City of St. Charles

The City of St. Charles continued its strong financial performance in 2013, reporting a surplus of $1.46 million in the General Fund, as recorded in the fiscal year 2012-2013 audit performed by Sikich, LLC. FY13 revenues totaled $39.5 million and expenditures $38 million.

Apart from a small deficit in FY2011 at the height of the Great Recession, the City has posted a surplus in the General Fund from 2008 through 2013. This was achieved through:

• Reductions:        Expenditures were cut 11.7% from FY2008 to FY2010

• Revenue:        The City instituted a 2% tax on alcohol sales. Also fees for services were adjusted to better match costs incurred for building permits, special events, towing, impounding of vehicles and administrative charges related to arrest bookings.

Finance Director Chris Minick notes that the same principles of responsible financial stewardship enacted during the Great Recession continue today at the City: “The expenditure reductions we established in fiscal years 2009 and 2010 during the economic downturn continue to benefit St. Charles citizens. FY2013 expenditures remain $4.7 million lower than FY2008 levels and the City’s tax levy has been held steady for five consecutive years.”   

Moody’s Investor Service acknowledged the City’s strong financial performance by reaffirming the City’s Aa1 bond rating in October of 2013. Moody’s noted several positive financial performance factors in its report stating: ‘The City’s financial operations remain sound following prudent and proactive management practices during the economic downturn.  The City continues to be supported by solid operating reserves, a demonstrated history of reacting quickly to budgetary challenges…’

The City also achieved the prestigious Certificate of Achievement for Excellence in Financial Reporting as awarded by the Government Finance Officers Association. The 2012 audit marked the 27th consecutive year that the City has won this award.