2023 Annual Comprehensive Report

The local option sales tax collection amounted to $82,246,041 as compared to the previous year's collection of $79,446,418, an increase of $2.8 million or 3.5% from last year, however, we note a 103.0% gain in the ten year trend for this revenue source. Guilford County uses the “ad valorem” (property tax) method to distribute its allocated sales tax receipts to municipalities within the County and as a result, sales tax receipts for Greensboro may fluctuate from year to year, depending on the proportion of property tax levies of each of the municipalities within the County, compared to the total collected. Local option sales taxes represent approximately 18.9% of overall general fund revenues in FY 2023. The total sales tax rate in Guilford County is 6.75% with 4.75% charged for the general state rate and 2.00% charged for the local option. The local option sales tax currently in effect is distributed by the State to the County as follows, with subsequent distribution to Greensboro and the other municipalities in the County, based on the “ad valorem” method: Article 39 (1%) Point of Origin Article 40 (1/2%) Per Capita Article 42 (1/2%) Point of Origin Greensboro’s occupancy tax collection of $5,867,088 has increased 68.8% over the ten-year period ending June 30, 2023 and 21.6% increase from the prior year. The increases in both periods resulted from increased travel after the peak of the pandemic in FY 2021. Intergovernmental Revenues amounted to $120,802,811 as compared to previous year revenues of $92,759,183. State-shared and grant revenues are a major source of funding for municipal operations and services, with intergovernmental revenues comprising 25.2% of total governmental revenues, as compared to 23.1% in the previous year. Licenses and permits amounted to $4,924,461 compared to previous year revenues of $5,091,713 a decrease of 3.3%. The decrease is primarily due to a decrease in the number of construction permits during FY 2023. Fines and forfeitures amounted to $1,376,495 as compared to the previous year's collection of $1,035,774, an increase of 32.9% over last year. The increase was primarily due to an increase in false burglar alarm fines and parking violations in FY 2023. Charges for current services amounted to $31,217,323 as compared to the previous year's revenue of $29,473,019 an increase of 5.9%. Cash Management The City's investment policy is to minimize credit and market risks while maintaining a competitive yield on its portfolio. Accordingly, deposits were either insured by federal depository insurance or collateralized. All collateral on deposits was held either by the City or its agent. All investments held by the City during the year and at June 30, 2023 are classified in various levels of fair value hierarchy as defined by the Governmental Accounting Standards Board. The City's cash management program provided the City with interest earnings excluding fair market value adjustments totaling $12,348,440 for the fiscal year ended June 30, 2023 as compared to $2,991,574 in the prior year. Cash balances are analyzed daily to forecast the amount of funds required and amounts available for investment. The average amount of funds invested per month totaled $509,248,188 during the year. The City's average yield on investments for the year was

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