At the end of June 2026, income tax revenue totaled $6.7 million, representing 58% of budgeted revenues collected. While this is approximately $152K less than the same period last year, income tax revenue continues to trend in line with expectations and remains the City's most significant revenue source. Property tax revenues total $1.6 million, or approximately 51% of the annual budget. The second-half property tax settlement is typically received in September. Overall, General Fund revenues total approximately $8.9 million, or 56% of budget.

Year-to-date investment income is approximately $502K, compared to $453K at this time last year. This increase is attributable to shifting compensating balances from the City's general checking account to STAR Ohio, resulting in improved year-over-year investment returns.

General Fund expenditures total approximately $8.5 million, or 46% of the annual budget. Salaries and benefits account for 49% of General Fund expenditures, while transfers represent approximately 39%. Current General Fund encumbrances total $1.8 million, bringing combined expenditures and encumbrances to 56% of the 2026 budget.

Refuse revenues total just over $1.0 million, or 53% of budget. In January, $220K was transferred from the General Fund to the Refuse Operating Fund to maintain the desired fund balance. Excluding this transfer, operating revenues are at approximately 52% of budget. The largest portion of refuse revenue continues to come from disposal fees charged to City residents. Year-to-date refuse expenditures total $973K, including a $200,000 transfer to the Refuse Capital Fund. Current encumbrances total $263K, bringing combined expenditures and encumbrances to 57% of budget. Health insurance and landfill/tipping fees account for 77% of all refuse encumbrances. The Montgomery County Solid Waste Management District has informed the City that generation fees will increase from $3.00 per ton to $3.65 per ton in 2026, followed by annual increases of 6% thereafter. Staff is evaluating the impact of these higher operating costs and incorporating them into the City's long-term revenue and cost model to ensure both operating and capital needs remain sustainable. Based on current projections, a $5 monthly refuse rate increase is expected to be recommended for 2027.

Water revenues total approximately $1.2 million, or 51% of the year's projected revenue. With expenditures of $937K (43% of budget) and encumbrances totaling $412K, year-to-date expenditures plus encumbrances represent 61% of the annual budget. The largest encumbered budget categories are chemicals and softening supplies, consulting services, and utilities, which together account for 55% of total encumbrances.

Sewer revenues total approximately $1.2 million, or 50% of the annual revenue budget. Sewer expenditures currently total $1.3 million, or 41% of the $3.0 million budget. Service contracts and health insurance account for 82% of the $88,000 currently encumbered. Combined expenditures and encumbrances represent 44% of the 2026 expenditure budget. Montgomery County has informed the City that consumption rates will increase by 45% in 2027. The City of Dayton historically announces its rate increases during the December–January timeframe. These anticipated increases will be incorporated into the City's revenue