Regular Meeting (Budget Report)

**Executive Summary of Financial Report for Apr – Jun 2024**

**Income Overview:**
The income generated in the second quarter of 2024 amounted to $46,048.33 against a total budget of $535,919.00, resulting in a variance of -$489,870.67, equating to only 8.6% of the budget. Significant shortfalls were observed in multiple revenue streams, with taxes contributing minimally and deferred revenue accounting for a complete absence. Among the revenue sources, the State Shared Revenue and Metro Act Fund showed partial achievement at 15.4% and 79.5%, respectively, while most other segments fell far below expectations.

**Expense Analysis:**
Total expenses for the period reached $74,560.93, compared to a budget of $494,744.00, which indicates a variance of -$420,183.07 or 15.1% of the budgeted amount. The Township Board comprised the largest allocation of funds at approximately 7.6% of its budget, notably with significant over-expenditures on insurance and capital outlays. Despite exceeding specific budget items, overall expenses were lower than anticipated, providing some mitigation against the income shortfalls yet still contributing to a negative financial position.

**Net Income Statement:**
The net ordinary income for the period was a deficit of -$28,512.60, highlighting a challenging financial situation, magnified further by the other income/expenses section that reflected a substantial loss. Coupled with a significant net other income deficit of -$149,457.33, the total net income resulted in a staggering loss of -$177,969.93. This represents a 100% deviation from the projected break-even scenario, warranting urgent financial review and corrective measures to address revenue generation and expenditure management.