|The City Council adopted the FY 07 utility budget on June 23, 2006. The utility budget has revenue projections equal to expenditures.
Financial reports are submitted monthly by the Treasurer to the City Council. Reports include a handwritten balance sheet and profit and loss (P and L) statement which is compared to the annual budget. Additionally, the Treasurer provides a customer balance summary produced using customer data from QuickBooks Pro 2004. QuickBooks has been configured so general accounting, grants, and utilities are accounted in three separate QuickBooks files. By reconfiguring the QuickBooks system to merge the three files and by entering the annual budget into QuickBooks, the labor-intensive handwritten reports could be replaced by QuickBooks-generated reports. This would greatly increase reporting efficiency.
The utility is current in paying its electricity bill. The City purchases its fuel from One Stop Fuel. The community has no bulk storage facilities; however, due to its location on Prince of Wales Island, supplies can also be obtained from Craig if local fuel supply runs short. The utility budget shows adequate funds reserved for fuel and electricity.
YTD expenditures are slightly higher than budgeted due to recent, unforeseen expenses; however, are still within 2% of the budgeted amount and are likely to fall within the budgeted amount by the end of the fiscal year. User fees are currently budgeted to cover 88% of operating expenses, with the remainder covered by other sources. User fees were recently increased from $60 for water, sewer, and septic to $65. This represents an 8% increase in user fees. Additionally, the City maintains a utility savings account with a current balance of over $190,000. Budget amendments are not normally completed and adopted.