MANAGEMENT’S DISCUSSION AND ANALYSIS

General Fund Budgeting Highlights

• The City’s budget is prepared according to Georgia law. The most significant budget fund is the General Fund.

• For the General Fund, the actual revenues of $13,466,734 were less than the final budgeted amount of $14,469,660 by $1,002,926.

• The actual expenditures of $15,152,520 were less than the final budgeted amount of $15,704,678 by $552,158. This difference was primarily due to less capital outlay than expected during the current year.

• The original budget had to be increased by $1,024,620 due to the change in revenues. Sales taxes were originally budgeted as $3,310,951 with actual revenues of $3,799,392 for a total increase of $488,441; other taxes were originally budgeted as $4,450,900 with actual revenues of $4,528,300 for a total increase of $77,400; intergovernmental revenues were originally budgeted as $136,372 with actual revenues of $378,631 for an increase of $242,259; and fines and forfeitures were originally budgeted as $1,050,000 with actual revenues of $901,655 for a decrease of $148,345.

Capital Assets and Debt Administration

At the end of fiscal year 2018, the City had $107,631,965 invested in capital assets, which is an increase over fiscal year 2017 of $4,416,113. Table 5 shows fiscal years 2018 and 2017 balances of the Capital Assets, Net of Accumulated Depreciation as presented in Note 7.