CLEAR LAKE — Clear Lake’s City Council Wednesday night approved the city’s financial report for Fiscal Year 2023 which ended on July 30th. The report shows the unaudited financial activities for the city for the fiscal year had revenues of $17,990,508, slightly less than the $18 million projected. Expenditures were just under $18 million, less than the $20.6 million projected.
City finance director Jacob Widman says being that far under with expenditures is a positive thing for the city. “That’s always a good thing to look at, seeing if we’re keeping our expenses in line with what we had projected. It’s always hard with a budget because it’s not a guess, it’s an educated guess, and so it’s good to see at the end of the year coming in under that educated guess, because if you are coming over, you have to have the revenue source more to cover that.”
Widman says another positive of the report is that the city’s general obligation debt. A general rule of thumb in municipal finance is not to exceed 70-to-75% of the city’s legal debt limit capacity. The city’s is at 5.3%, which is a reduction from the previous fiscal year of 7%. “GO debt, we have $3,304,500, which is significantly lower than our total borrowing capacity. Total borrowing capacity is $61 million, so we’re at about 5.3% of that. So for a city, we have very little debt.”
The city’s annual financial report to the State Auditor’s office is due by December 1st of each year.