Monthly Financials – July 2026

At the end of July 2026, the City’s financial position continues to track generally in line with budget expectations.

General Fund

Income tax revenue totaled approximately $7.4 million, or 64% of budget, and continues to trend on target as the City’s most significant revenue source. Property tax revenue remains at approximately $1.6 million, or 51% of budgeted revenue; the second-half property tax settlement is typically received in September. Total General Fund revenues are approximately $9.6 million, or 61% of the annual budget.

General Fund expenditures are approximately $9.6 million, or 53% of the annual budget. Salaries and benefits account for approximately 52% of General Fund expenditures, while transfers account for approximately 36%. Current General Fund encumbrances total approximately $1.5 million, bringing expenditures plus encumbrances to approximately 61% of the 2026 budget.

Refuse Fund

Refuse revenues are approximately $1.2 million, or 60% of budget. In January, $220,000 was transferred from the General Fund to the Refuse Operating Fund to maintain the desired fund balance. Excluding transfers, operating revenues are approximately 61% of budget. The largest source of refuse revenue is disposal fees charged to City residents.

Refuse expenditures total approximately $1.1 million, including a $200,000 transfer to the Refuse Capital Expenditure Fund. Encumbrances total approximately $221,000, bringing expenditures plus encumbrances to approximately 62% of budget. Health insurance and landfill/tipping fees account for approximately 77% of refuse encumbrances.

The Montgomery County Solid Waste Management District has informed the City that generation fees increased from $3.00 to $3.65 per ton in 2026, with an additional 6% annual increase thereafter. These increased operating costs are being incorporated into the City’s revenue and cost model to ensure that future operating and capital needs remain sustainable. Based on this analysis, a $5 monthly refuse rate increase is being built into revenue projections for 2027.

Water Fund

Water revenues are approximately $1.5 million, or 61% of projected annual revenue. Expenses total approximately $1.2 million, or 55% of budget, with approximately $351,000 in encumbrances. Total expenditures plus encumbrances represent approximately 71% of the annual expenditure plan. The largest encumbered budget categories are chemicals/softening supplies, consultants, and utilities, which together account for approximately 53% of total water fund encumbrances.