FY 2025 BUDGET BOOK - Flipbook - Page 81
City Financial Performance Analysis
Figure 16
The financial performance analysis of the City covers a span of five years, w i t h the
estimated and projected data for FY 2024/25. The analysis reveals that the City of Eustis has
experienced consistent growth in revenue and total net position since FY 2020/21. However,
there is a projected decrease in expenses in FY 2024/25 and a nominal increase in revenues.
The majority of the decrease in expenditures is in the Water & Sewer R&R Fund. The City’s
Bates Avenue WWTP major expansion project was completed in FY 2023/34
Looking ahead, the estimated actuals for FY 2023/24 indicate a decline in the City’s revenue
and expenditures, both in governmental and business activities. This can be attributed to
economic stagnation and high inflation during that period. However, the budget for FY
2024/25 project a slight decrease in revenue and expenditures, with hopes that the economy
will recover. These performance measures are City-wide and align with Goal #3 of the City’s
strategic plan, which aims to provide quality, competent, and cost-effective governmental
public services.
More specifically, the revenue growth between FY 2021/22 and FY 2022/23 experienced a
positive change of 23.6%. Most of this growth is from ARPA funds received in FY 2022/23 and
spent in FY 2023/24 on the Bates Avenue WWTP. Revenue growth between FY2022/23 and
FY2023/24 of 15.1% indicates a healthy growth trend. On the other hand, expenses saw
higher growth rate of 34.7%, between FY 2022/23 and FY2023/24 due to several one-time
capital projects. The fund balance has consistently trended upwards indicating a healthy
financial position for the City. This growth in can be primarily attributed to City development
and the construction of new subdivisions, which boosted governmental activities revenue.
The positive revenue growth signifies a healthier and more prosperous economy, leading to
various benefits such as increased job opportunities, higher wages, and additional funding
for government projects and services. The City’s business activities typically generate higher
revenue due to charges for water and sewer services which, in turn, is used for continued
maintenance and expansion of the City’s utility infrastructure.
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