Finance Committee Agenda and Packet 2019 12 16

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City Council Finance Committee Meeting Minutes 11/22/19 Page 2 of 5 SALES TAX REPORTS FOR THE QUARTER ENDED SEPTEMBER 30, 2019 Tax Manager Penney Bolte presented the third quarter tax reports through September 30, 2019 to the Finance Committee. Manager Bolte stated that overall sales tax revenue, less any audit revenue, is trending up 4.8%, with in -City sales tax still holding at last year's level, and out -of -City sales tax up 17%. Finance Committee Member's stated that, while the latest numbers were promising, they feel continuing with a more conservative approach is prudent for the time being. The Committee and staff discussed how analysis of the various trends should fit with any discussions of future business incentives. The reports and corresponding narrative can be located in the packet of the November 22, 2019 Finance Committee Meeting. REPROGRAMMING RECREATION SALES & USE TAX REFUND Director Watson stated that at the November 5, 2019 election, voters approved the City retaining the full $845,800 collected in Recreation Sales & Use Tax and the continuation of the tax. Director Watson stated that the full $845,800 amount collected has already been used to fund the Recreation Center and Memory Square Pool operations, but an additional $845,800 of General Fund reserves was set aside pending the results of the election. Since voters approved the City's retention of the revenue, these funds may now be reprogrammed or re - appropriated on an unrestricted basis. Finance Committee Chairperson Maloney stated that he is interested in determining how to use the delta of the $845K collected and the $575K that was originally anticipated. Chairperson Maloney stated that it should be invested in a manner that supports the intent of the tax, and perhaps transferred to the Recreation Fund and used for projects that were value engineered out. Finance Director Watson and City Manager Balser stated that the General Fund appropriated and spent $1.5M for the Recreation/Senior Center and Memory Square construction, and that the $845K that was set aside could be left in the General Fund Reserves. The Finance Committee requested staff bring forward a recommendation to the full City Council to include an accounting of what the funds were spent for. The reports and corresponding narrative can be located in the packet of the November 22, 2019 Finance Committee Meeting. REVIEW OF NON-PROFIT GRANT PROGRAM