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Revenue Status Report General Fund As of October 31, 2011

(Unaudited - Internal Use Only)

CITY OF GRIFFIN DEPARTMENT OF ADMINISTRATIVE SERVICES - FINANCE

100 South Hill Street Griffin, Georgia 30223 Phone: 770.229.6401 Fax: 678.692.0402

Markus Schwab, CPA.CITP Chief Financial Officer Chuck Olmsted Accounting Manager

Page 1 of 19

CITY OF GRIFFIN Revenue Status Report - General Fund

As of October 31, 2011 (Unaudited - Internal Use Only)

Table of Contents

I. II. III. IV. V.

Current Economics Unemployment Numbers

General Fund Revenue Sources Revenues by Category

3 7 8 9 10 10 11, 12 13 14 15 16 17, 18

Revenues Taxes Property Taxes Licenses and Permits Intergovernmental Charges for Services Fines and Forfeitures Other Revenues

Page 2 of 19

CITY OF GRIFFIN Revenue Status Report - General Fund

As of October 31, 2011 (Unaudited - Internal Use Only)

I. Current Economics

THE WALL STREET JOURNAL

Unemployment Rates Drop in Most States

Posted Tuesday, November 22, 2011 By Phil Izzo | ECONOMICS

Unemployment rates dropped in almost three quarters of the U.S. states last month, the Labor Department reported, as a slow improvement in the jobs picture spreads across the country. Thirty-six states and Washington, D.C. posted declines in their unemployment rates in October. Nine had no change and five showed increases. Nationally, the unemployment rate declined to 9% from 9.1% last month. Fifteen states and Washington have rates higher than the national rate. Nevada still far and away has the highest unemployment rate at 13.4%, followed by California at 11.7% and Washington, D.C. at 11%. With a 3.5% jobless rate North Dakota has the lowest in the U.S. Compared to September 12 states registered statistically significant unemployment rate drops. The largest of these were in Alabama, Michigan, and Minnesota (down 0.5 percentage point each), followed by South Carolina and Utah (down 0.4 point each).

THE WALL STREET JOURNAL

Economists and others weigh in onthe downward revision to third-quarter gross domestic product.

Posted Tuesday, November 22, 2011 By Phil Izzo | ECONOMICS

Economists React: What do GPD Revisions Mean for Future?

The weakness comes primarily from the stronger decline in inventories The key here is that although the headline is weaker and many of the components are shaded off, the decline in inventories shows in our opinion that firms are using their heads and planning ahead. The run down in inventories now means there is less chance of a steep inventory cut back later and also means if (in the unlikely scenario) there is an upside surprise the pick up will be exaggerated. David Semmens, Standard Chartered Bank The downward revision to inventories was not nearly as much as some had anticipated. Along with a meaningful drop in private investment residential construction was revised meaningfully lower while virtually every other major component was revised down as well the GDP report was lessgood than we thought it might have been. Dan Greenhaus, BTIG LLC The downward revision to inventories has positive (albeit temporary) implications for future growth, since leaner inventory stocks point to the need for more production growth. IHS Global Insight now expects fourth quarter growth to be in the 2.5% to 3.0% range. However, growth is likely to grind down again in the first half of 2012 to less than 2%. Bottom line: despite the downward revision to third quarter GDP, the recent U.S. data seem to indicate that the glass is still half full. Nariman Behravesh, IHS Global Insight We continue to believe that the medium-term trend of real GDP growth will be modest at best as the economy continues to struggle with the aftermath of the credit/asset price bubble. That economic growth has been as soft as currently reported in spite of unprecedented monetary and fiscal stimulus speaks volumes about the severity of the post-bubble adjustment process. Indeed, it would be wise to remember that in 2011 the economy has benefited from a 2 percentage point cut in the payroll tax, a large boost in tax incentives for business to invest in capital equipment, and countless efforts by the Federal Reserve and the federal government to boost growth. In large part due to all of this policy stimulus Joshua Shapiro, MFR Inc. The failure of the Super Committee suggests that an extension of the payroll tax cut and unemployment benefits are going to be more difficult to get through Congress. This would mean that in 2012 the underpinnings of the US economic recovery managing only 2% real growth and built on the real goods sector selling more stuff overseas will include less Federal stimulus and contractionary policies in Europe. This adds up to another year of minimal growth with no real progress towards reducing long-term unemployment. Steven Blitz, ITG Investment Research This mornings GDP data are much worse than the headlines suggest. The more reliable GDI [gross domestic income] rose only 0.4% in Page 3 of 19 the third quarter after 0.2% in the second Worse: second-quarter estimate of GDI revised down from 1.3% to 0.2% In case you are feeling optimistic, remember: The optimistic GDP data tend to be revised toward the pessimistic GDI data. Not the reverse. Justin Wolfers, The Wharton School

growth. In large part due to all of this policy stimulus Joshua Shapiro, MFR Inc. The failure of the Super Committee suggests that an extension ofGRIFFIN tax cut and unemployment benefits are going to be CITY OF the payroll more difficult to get through Congress. ThisRevenue Status 2012 the underpinningsFund US economic recovery managing only 2% would mean that in Report - General of the real growth and built on the real goods sector selling more stuff overseas will include less Federal stimulus and contractionary policies in As of October 31, 2011 Europe. This adds up to another year of minimal growth with no - Internal Usetowards reducing long-term unemployment. Steven Blitz, (Unaudited real progress Only) ITG Investment Research This mornings GDP data are much worse than the headlines suggest. The more reliable GDI [gross domestic income] rose only 0.4% in the third quarter after 0.2% in the second Worse: second-quarter estimate of GDI revised down from 1.3% to 0.2% In case you are feeling optimistic, remember: The optimistic GDP data tend to be revised toward the pessimistic GDI data. Not the reverse. Justin Wolfers, The Wharton School The revision tweaks the third quarter profile, but does nothing to alter the stronger momentum going into the fourth quarter. That is all that matters. GDP in fourth quarter is still set to be 3.0% or higher, and in some ways the downward revisions providers a marginally better set-up for fourth quarter given the mix of revisions. Eric Green, TD Securities The benchmark data on payrolls for the second quarter were incorporated into the personal income figures, yielding a sizable downward revision to wage and salary income (roughly $40 billion). I find this troubling, as we had already seen a disturbing slide in the savings rate in the third quarter. For the record, real disposable income has now fallen in both the second and third quarter. This makes the resilience in consumer outlays in the summer all the more puzzling (and impressive). Thankfully, a modest uptick in job growth coupled with some relief in energy prices should result in an improved situation for households in the fourth quarter (and presumably a rebound in the savings rate). In any case, the labor income situation bears close watching, as spending is holding up well for the moment but will have little staying power if real disposable income fails to post commensurate gains. Stephen Stanley, Pierpoint Securities [The downward revision to personal income growth] provides a very weak backdrop for the household sector and will likely bring uncertainty concerning the extension of the payroll tax cut and extended unemployment benefits into sharper focus for policymakers. Peter Newland, Barclays Capital Corporate profits continue to grow at a solid pace as margins expand further (particularly for nonfinancial domestic companies). We are suspicious of the income estimate of GDP, which grew by only 0.2% in the third quarter, because of the sharp slowing in wage and salary incomes (in turn this suspicion casts doubt on the extent of the decline in the savings rate in the third quarter). RDQ Economics Dig into an interactive summary of economists forecasts for the coming year from the latest WSJ.com survey.

October 19, 2011

Federal Reserve Districts

Sixth District--Atlanta
Business contacts in the Sixth District indicated that economic activity continued to expand at a modest pace in September and early October. Merchants noted that retail sales decelerated slightly compared with the previous month, although auto sales continued to advance at a solid pace. Tourism activity remained robust throughout most of the District. Homebuilders and Real Estate brokers reported that new and existing home sales remained weak and home prices continued to decline. Commercial developers indicated that construction activity increased moderately compared with weak year-ago levels, and brokers noted an increase in relocation activity. Manufacturers reported a modest decline in production and new orders. Weakness in loan demand persisted, according to banking contacts as both consumers and businesses refrained from borrowing. Hiring for permanent positions remained very subdued across most sectors. Pricing pressures moderated somewhat as input costs declined or leveled off. Consumer Spending and Tourism District retailers reported that sales decelerated slightly in September compared with the August results. Reports were mixed among contacts with half noting that sales were below plan and the remainder was evenly split between those reporting sales at or above expectations. On a year-over-over basis, sales were generally higher although traffic was lower. Most contacts anticipated that holiday sales would be similar to Page 4 of 19 2010 results. Auto dealers reported that sales continued to increase. Many retail contacts planned to raise prices, expecting to retract the increases if customers pushed back. Merchants

Commercial developers indicated that construction activity increased moderately compared with weak year-ago levels, and brokers noted an increase in relocation activity. Manufacturers reported a modest decline in production and new orders. Weakness in loan demand persisted, according to banking contacts as both consumers and businesses refrained from borrowing. Hiring for permanent positions remained very subdued across most sectors. Pricing pressures moderated CITY OF GRIFFIN somewhat as input costs declined or leveled off. Status Report - General Fund Revenue As of October 31, 2011 Consumer Spending and Tourism (Unaudited - Internal Use Only) District retailers reported that sales decelerated slightly in September compared with the August results. Reports were mixed among contacts with half noting that sales were below plan and the remainder was evenly split between those reporting sales at or above expectations. On a year-over-over basis, sales were generally higher although traffic was lower. Most contacts anticipated that holiday sales would be similar to 2010 results. Auto dealers reported that sales continued to increase. Many retail contacts planned to raise prices, expecting to retract the increases if customers pushed back. Merchants continued to aggressively discount products to draw in traffic and have found it difficult to end such practices because of concern over losing customers. Leisure and business travel remained strong in the District. Occupancy rates continued to improve, and both airport and cruise traffic were up. International visitors bolstered activity, mainly in Florida. Group bookings and theme park attendance were up in most areas. Overall, hospitality contacts expect a vibrant holiday season. Real Estate and Construction Residential brokers indicated that sales softened somewhat in September compared with the previous month and were flat to slightly up compared with very weak levels from last year. Florida brokers reported that home sales growth slowed. Outside of Florida, Southeast brokers noted a modest pickup in sales growth. Cash purchases by investors, second home buyers, international buyers, and retirees accounted for much of the sales activity across most of the Southeast, according to contacts. Existing home prices remained below year earlier levels. District brokers anticipate only modest sales growth over the next several months. Reports from District builders indicated that new home sales and construction activity were largely unchanged in September and were slightly ahead of weak levels from a year ago. Home builders continued to report that new home prices were largely flat compared with the previous month and a year ago. Overall, construction and new home sales growth are expected to be similar to weak year-ago levels over the next several months. Half of District commercial contractors polled reported that construction activity in September exceeded the first half of the year, while just under one-third signaled that activity was weaker. Backlogs reportedly increased modestly as well. The outlook among contractors remained weak as most anticipated commercial development to be flat or down on a year-overyear basis for the remainder of 2011 and into 2012. Commercial brokers remarked that market dynamics continued to largely favor tenants in the District, particularly in the retail sector. However, some reports indicated that available office space had declined, and with little new office development underway, this could result in an increase in rental rates. An opposing view shared by some contacts was that smaller blocks of office space remained abundant on a sub-lease basis from tenants that have downsized, but are still paying for unused space. Corporate expansion and relocation interest has picked up in some markets, which could have a positive impact on inventory and construction. Manufacturing and Transportation Overall, manufacturers indicated a modest decline in new orders and production levels in September. In addition, fewer contacts noted plans to raise production in the near term. Energy exploration and extraction firms cited investing more in capital goods, which is expected to help equipment producers and suppliers. Auto manufacturers reported that the impact from the disaster in Japan had waned and that production is back to normal. Firms stated that they were increasing investment in technology-based equipment as a means to increase efficiency. Contacts reported that volumes of shipments were above last year's levels, and that chemical and agricultural goods shipments, in particular, were strong. Rail contacts noted that shipments of energy and food-related products were driving increases in activity. Banking and Finance Banking contacts indicated continued weak loan demand. Loan growth remains a concern for banks in the Sixth District. Lending levels continued to fall as new opportunities remained highly elusive and very competitive. Deposits increased as people and businesses added to their savings. The majority of large firms continued to have ready access to cash and lines of credit, while some small firms and many new firms that sought credit continued to experience difficulty. There were reports of non-bank entities, like private equity firms and groups of wealthy individuals, becoming increasingly interested in small business lending. Employment and Prices Employers continued to manage their labor supply very tightly. Most contacts indicated that the outlook for hiring remained restrained by modest expectations regarding future sales. Several reports suggested that permanent employees were primarily being used to maintain a firm's core business, while specific projects were being assigned to contractors and temporary hires. Firms continued to seek efficiency gains through19 Page 5 of investment in technology and other cost-saving applications. Hiring contacts highlighted having difficulties finding qualified candidates for specialized positions, in some cases, because of a lack of geographic mobility for potential hires. For lower wage positions, agencies reported numerous employment opportunities; however, the positions were contingent on passing skills tests and/or background checks, which

Lending levels continued to fall as new opportunities remained highly elusive and very competitive. Deposits increased as people and businesses added to their savings. The majority of large firms continued to have ready access to cash and lines of credit, while some small firms and many new firms that sought credit continued to experience difficulty. There were reports of non-bank entities, like private equity firms and groups of OF GRIFFIN CITY wealthy individuals, becoming increasingly interested in small business lending. Revenue Status Report - General Fund As of October 31, 2011 Employment and Prices (Unaudited - Internal Use Only) Employers continued to manage their labor supply very tightly. Most contacts indicated that the outlook for hiring remained restrained by modest expectations regarding future sales. Several reports suggested that permanent employees were primarily being used to maintain a firm's core business, while specific projects were being assigned to contractors and temporary hires. Firms continued to seek efficiency gains through investment in technology and other cost-saving applications. Hiring contacts highlighted having difficulties finding qualified candidates for specialized positions, in some cases, because of a lack of geographic mobility for potential hires. For lower wage positions, agencies reported numerous employment opportunities; however, the positions were contingent on passing skills tests and/or background checks, which many applicants failed. On balance, contacts reported that input prices had receded or leveled off from earlier this year. Retailers continued to heavily discount products. Businesses mentioned pursuing various cost-cutting measures in order to support positive margins. Manufacturers noted general success passing on earlier increases in commodity prices. Any plans to increase wages were generally limited to employees with a high degree of technical skills. Natural Resources and Agriculture District oil and gas production declined in early September as energy producers reduced offshore operations and vacated staff in the path of Tropical Storm Lee in the Gulf of Mexico. Industry contacts indicated that plans to invest in increased production capacity were proceeding. In particular, contacts reported that new drilling technology had reduced costs and increased extraction capabilities for both oil and gas. Drought conditions persisted in much of Georgia and parts of Alabama. High livestock feed costs were pressuring poultry producers but were being successfully passed on by cattle producers. Corn prices remained elevated and cotton prices paid to farmers increased modestly since the last report, although cotton futures prices have declined somewhat further in recent weeks. Agriculture contacts continued to report concerns over labor shortages and production issues that they tied to recently passed immigration laws in some states.

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CITY OF GRIFFIN Revenue Status Report - General Fund

As of October 31, 2011 (Unaudited - Internal Use Only)

II. Unemployment Numbers

21.00 14.00 7.00 0.00 Griffin, July 2009, 19.6
Griffin, 7.10 Spalding, 5.90

19.10 15.20
14.00

Griffin, 15.70

13.30
10.20

Spalding, 12.50
Georgia, 10.30

10.30

Georgia, 4.70

Sep-2008

Sep-2009

Sep-2010

Sep-2011

Latest Unemployment Figures

Georgia Sep-2008 Sep-2009 Sep-2010 Sep-2011 Labor Force 4,819,886 4,740,912 4,680,786 4,732,219 Employment 4,489,013 4,253,865 4,201,082 4,244,748 Unemployment 330,873 487,047 479,704 487,471 Unemployment Rate 6.90 10.30 10.20 10.30 Unemployment Rate 9.10 15.20 13.30 13.60 Unemployment Rate 10.50 19.10 14.00 15.70 # Change in Unemployment 156,174 (7,343) 7,767 # Change in Unemployment 1,788 (671) 143 # Change in Unemployment 902 (611) 172 % Change in Unemployment 47.20% -1.51% 1.62% % Change in Unemployment 69.11% -15.34% 3.86% % Change in Unemployment 88.78% -31.86% 13.16%

Spalding County Sep-2008 Sep-2009 Sep-2010 Sep-2011

Labor Force 28,519 28,768 27,874 28,271

Employment 25,932 24,393 24,170 24,424

Unemployment 2,587 4,375 3,704 3,847

Griffin Jun-2008 Jun-2009 Jun-2010 Jun-2011

Georgia

Labor Force 9,704 10,037 9,313 9,436

Employment 8,688 8,119 8,006 7,957

Unemployment 1,016 1,918 1,307 1,479

Spalding County

Georgia

Spalding County

Data comes from the U.S. Department of Labor, Bureau of Labor Statistics Page 7 of 19

CITY OF GRIFFIN Revenue Status Report - General Fund

As of October 31, 2011 (Unaudited - Internal Use Only)

III. General Fund Revenue Sources

How do employment economics relate to the City of Griffin and its revenue sources? The City's general fund revenue sources include (by category) Taxes, Intergovernmental, Fines and Forfeitures, Licenses and Permits, Charges for Services, Rents and Royalties, etc These types of revenue sources, such as taxes, are subject to economic ebbs and flows, are directly and indirectly connected through changes in the unemployment figures.

Taxes

Taxes account for approximately 61 percent of the City's general operating revenue coming from property taxes, local option sales taxes, insurance premium taxes, alcohol taxes, business occupation taxes, and motor vehicle taxes, etc Property taxes alone represent approximately 24 percent of general fund revenue followed by local option sales tax of approximately 19 percent of general fund revenue. This category accounts for revenue sources (predominantly grants) from other governmental agencies.

Intergovernmental

Fines and Forfeitures

Near 7 percent of total general fund revenue, traffic fines make up 66 percent of this category or $762000 with the balance (34 percent or $393000,) from traffic cameras (running red lights), parking tickets, seatbelt fines, and ordinance fines. Licenses and permit make up less than 2 percent of the general fund revenue source. Licenses make up approximately 72 percent or $194000 of this category. The balance of 28 percent or $74700 comes from permits and 0 percent or $0 from regulatory fees and interest from delinquent payments. Service fees include business occupation tax administration fees, police service charges for copies, documents, etc., plan review and zoning document fees, and pavilion rentals. This category also includes a large portion ($4.4M) in administrative cost allocations coming from enterprise and internal services funds. Cost allocations, depending on their nature, can be non-cash book entries in order to comply with Generally Accepted Accounting Principles (GAAP). Allocations are designed to shift and allocate costs to the business units in order to show the true operating costs.) These are revenues from leased office and parking lot spaces. This category represents interest and dividend earnings from investments. This category includes insurance settlements, claims, recoveries, and miscellaneous reimbursements.

Licenses and Permits

Charges for Services

Rents and Royalties Investment Income Miscellaneous Revenues

Page 8 of 19

CITY OF GRIFFIN Revenue Status Report - General Fund

As of October 31, 2011 (Unaudited - Internal Use Only)

IV. Revenues by Category

General Fund Total General Fund Revenues

Rolling Twelve Month Actual

Budget Total Revenues By Category Operating Revenue Taxes Licenses and Permits Charges for Services Fines and Forfeitures Rents and Royalties Total Operating Revenue Non-operating Income Intergovernmental Interest/Investment Income Contributions and Donations Gain (Loss) on Sale of Capital Assets Total Non-operating Income Transfers in from Other Funds Total Revenues

Projected

Projected Over (Under) Budget 311,110

% Variance % Weighted 1.82% 100.00%

$ 17,075,970 $ 25,280,720 $ 17,387,080 $ 2 194 202

10,426,000 268,700 4,654,420 1,155,000 177,780 16,681,900

11,058,640 332,200 4,831,500 971,800 201,930 17,396,070

10,480,240 366,700 4,728,600 1,130,600 211,800 16,917,940

54,240 98,000 74,180 (24,400) 34,020 236,040

0.52% 36.47% 1.59% -2.11% 19.14% 1.41%

17.43% 31.50% 23.84% 7.84% 10.94% 75.87%

207,800 10,500 0 80,770 299,070 95,000

230,800 12,400 790 (1,720) 242,270 7,642,380

216,700 16,800 340 92,000 325,840 143,300

8,900 6,300 340 11,230 26,770 48,300 311,110

4.28% 60.00% 100.00% 13.90% 8.95% 50.84% 1.82%

2.86% 2.03% 0.11% 3.61% 8.60% 15.53% 100.00%

$ 17,075,970 $ 25,280,720 $ 17,387,080 $ 0 0 0

Adjustments: Gain (Loss) on Sale of Capital Assets: $ 80,770 $ (1,720) $ 92,000 $ 11,230 0 92,000 0 11,230 0 311,110 1.82%

***No adjustments as of the report date.*** Gain (Loss) on Sale of Capital Assets after Adjustments: 80,770 (1,720) Total Adjustments: 0 0 Total Revenues after Adjustments

$ 17,075,970 $ 25,280,720 $ 17,387,080 $

ANALYSIS: Total General Fund Revenues as of the date of this report are forecast at $17.4 million after adjustments (up $311 thousand or 1.82 percent of Budget). As of October 31, 2011 the revenue forecast model projects Local Option Sales Tax (LOST) revenues at $3.4 million (up $140 thousand dollars or 4.2 percent of Budget).

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CITY OF GRIFFIN Revenue Status Report - General Fund

As of October 31, 2011 (Unaudited - Internal Use Only)

V. Revenues

General Fund Tax Revenues

Rolling Twelve Month Actual

Budget Total Tax Revenues By Category Property Taxes Real Property Tax Public Utility Tax Motor Vehicle Tax Intangible Tax Railroad Equipment Tax Real Estate Transfer Tax Timber Tax Real Property Tax - Prior Year Heavy Equipment Tax Property not on Tax Digest Sub-total Property Taxes Franchise Taxes Franchise Fees - Electric Franchise Fees - Natural Gas Franchise Fees - Cable Television Franchise Fees - Telephone Sub-total Franchise Fee Taxes Food and Beverage Taxes Wine Tax Beer Excise Tax Liquor Excise Tax Sub-total Beer, Wine, Liquor & Mixed Drink Tax Payment in Lieu of Taxes Local Option Sales Tax (LOST) Hotel Motel Tax Business Occupation Tax Insurance Premium Tax Financial Institution Tax Penalty and Interest on Delinquent Taxes Penalty and Interest on Delinquent Business Licenses and Permits Homeowner's Tax Relief Grant Total Tax Revenues

Projected

Projected Over (Under) Budget 54,240

% Variance 0.52%

% Weighted on Category 100.00%

$ 10,426,000 $ 11,058,640 $ 10,480,240 $

3,800,000 45,000 275,000 14,000 4,000 6,000 0 0 0 0 4,144,000 75,000 160,000 230,000 141,000 606,000 0 500,000 71,000 571,000 5,000 3,300,000 0 400,000 1,300,000 80,000 20,000 0 0

4,174,600 300 283,770 14,600 4,900 5,200 0 215,810 0 3,000 4,702,180 56,460 160,600 165,300 123,000 505,360 0 577,100 46,800 623,900 0 3,426,000 0 405,600 1,263,000 84,100 47,500 1,000 0

3,712,500 38,000 282,840 15,600 4,700 5,100 0 0 0 0 4,058,740 72,600 160,600 222,900 134,500 590,600 0 527,200 71,500 598,700 4,000 3,440,000 0 400,500 1,267,000 75,600 44,300 800 0

(87,500) (7,000) 7,840 1,600 700 (900) 0 0 0 0 (85,260) (2,400) 600 (7,100) (6,500) (15,400) 0 27,200 500 27,700 (1,000) 140,000 0 500 (33,000) (4,400) 24,300 800 0 54,240

-2.30% -15.56% 2.85% 11.43% 17.50% -15.00%

161.32% 12.91% 14.45% 2.95% 1.29% 1.66%

-2.06% -3.20% 0.38% -3.09% -4.61% -2.54%

157.19% 4.42% 1.11% 13.09% 11.98% 28.39%

5.44% 0.70% 4.85% -20.00% 4.24% 0.13% -2.54% -5.50% 121.50% 100.00%

50.15% 0.92% 51.07% 1.84% 258.11% 0.92% 60.84% 8.11% 44.80% 1.47%

$ 10,426,000 $ 11,058,640 $ 10,480,240 $

0.52%

100.00%

Notes: - Franchise Fees are paid in quarterly installments

Cable fees average $50k to $51k per quarter. Phone fees average $36k to $38k per quarter.

Page 10 of 19

CITY OF GRIFFIN Revenue Status Report - General Fund

As of October 31, 2011 (Unaudited - Internal Use Only)

Taxes: Property Taxes

1. The 2011 property tax gross digest decreased to just under $580.1M (down $-15.7M from $595.7M in the prior year). 2. Maintenance and operations (M&O) exemptions decreased to $37M (up $2.1M from $34.9M in the prior year). 3. Changes in the gross digest and M&O exemptions reduced the net M&O digest to $543.1M (down $-17.7M from $560.8M in the prior year). In Summary The net levy decreased to $4689990 (down $153060 from $4843050 in the prior year).

Homeowners Tax Relief Grant (HTRG)

Fiscal year 2009 was the last year for the Homeowners Tax Relief Grant program.

Sales Tax Distribution

As of October 31, 2011 the revenue forecast model projects Local Option Sales Tax (LOST) revenues at $3.4 million (up $140 thousand dollars or 4.2 percent of Budget). Below is a chart of sales tax distributions for the City of Griffin, Spalding County and Griffin Board of Education. The chart shows distributions for the month, total distributions for the last twelve consecutive months, and year to date for the current fiscal year. Data comes from the Georgia Department of Revenue.

Sales Tax Distribution

Sales Tax Distribution As of October 31, 2011 Jurisdiction

Spalding - CITY OF GRIFFIN (LOST) Spalding - SPALDING COUNTY BOARD OF COMMISSIONERS (LOST) Spalding - SPALDING COUNTY BOARD OF COMMISSIONERS (SPLOST) Spalding - SPALDING COUNTY - GRIFFIN BOARD OF EDUCATION (ELOST)

Tax Type
LOST LOST SPLOST ELOST $ $ $ $

Amount of Distribution Last For the Twelve Current Month Months Fiscal Year
296,196 $ 444,294 $ 740,190 $ 740,499 $ 3,420,413 $ 5,103,463 $ 8,523,751 $ 8,603,543 $ 1,174,556 1,761,831 2,935,241 2,936,472

IT builds the tools and architecture, but it can't tell the business how the data should look. The business must own the data.

--Tom Willman, financial advisory principal at Hackett Group, as qoute by CFO.com

Page 11 of 19

CITY OF GRIFFIN Revenue Status Report - General Fund

As of October 31, 2011 (Unaudited - Internal Use Only)

General Fund Property Taxes(1)

2012 (Projected) 2011 4,662,904 $ 4,058,740 -2.83% -12.96% 29,000 $ -33.32% 44,300 52.76%

Property Tax Revenue (percentage change over prior years) Penalty and Interest on Delinquent Taxes (percentage change over prior years)

2008 4,798,148 $

2009 4,682,938 $ -2.40% 28,953 $ 39.14%

2010 4,798,935 $ 2.48% 43,489 $ 50.21%

20,808 $

(1) Property taxes as presented in the Comprehensive Annual Financial Report Statement of Revenues, Expenditures and Changes in Fund Balances Governmental Funds. Includes Real Property Tax, Public Utility Tax, Timber Tax, Real Property Tax - Prior Year, Motor Vehicle Tax, Railroad Equipment Tax, Intangible Tax, Heavy Equipment Tax, Property-Not-on-Digest, Real estate Transfer Tax, Homeowner's Tax Relief Grant (HTRG).

Tax Digest and 5 Year History

Real & Personal Motor Vehicle Mobile Homes Public Utility Timber Heavy Duty Equipment Gross Digest (dollar change over prior years) (percentage change over prior years) Less: Maintenance and Operations (M&O) Exemptions: (dollar change over prior years) (percentage change over prior years) NET: M&O Digest (dollar change over prior years) (percentage change over prior years) Millage (rate per thousand dollars) Net Levy (dollar change over prior years) (percentage change over prior years) 2007 2008 2009 2010 2011 $593,772,680 $595,986,256 $570,215,369 $564,247,211 $545,778,551 35,377,370 35,403,020 36,624,500 31,458,590 34,277,550 10,494 14,575 28,760 631,432,611 2,272,067 0.36% 45,000 6,017 606,890,886 (24,541,725) -3.89% 5,220 595,711,021 (11,179,865) -1.84% 580,056,101 (15,654,920) -2.63%

629,160,544

45,219,895

50,826,550 5,606,655 12.40% 580,606,061 (3,334,588) -0.57% 8.638 $5,015,280 (6,610) -0.13%

40,876,237 (9,950,313) -19.58% 566,014,649 (14,591,412) -2.51% 8.636 $4,888,100 (127,180) -2.54%

34,913,558 (5,962,679) -14.59% 560,797,463 (5,217,186) -0.92% 8.636 $4,843,050 (45,050) -0.92%

36,982,207 2,068,649 5.93% 543,073,894 (17,723,569) -3.16% 8.636 $4,689,990 (153,060) -3.16%

583,940,649

8.600 $5,021,890

Page 12 of 19

CITY OF GRIFFIN Revenue Status Report - General Fund

As of October 31, 2011 (Unaudited - Internal Use Only)

General Fund Licenses and Permits

Rolling Twelve Month Actual 332,200 $

Budget Total Licenses and Permits Revenues By Category Licenses Beer License Wine License Liquor License Sub-total Licenses Permits House Moving Permits Burn Permits Zoning & Land Use Permits Sign Permits Catering Permits Building Permits Plumbing Permits Electrical Permits Gas Permits Mechanical Permits Sub-total Licenses and Permits Insurance Regulatory Fees Interest on Business Licenses Sub-total Licenses and Permits Total Licenses and Permits Revenues $ $

Projected 366,700 $

Projected Over (Under) Budget 98,000

% Variance 36.47%

% Weighted on Category 100.00%

268,700 $

40,000 40,000 114,000 194,000 0 0 7,000 15,000 400 38,000 5,000 6,000 200 3,100 74,700 0 0 0 268,700 $

38,300 36,700 113,200 188,200 0 0 6,300 19,400 600 48,300 7,200 10,100 500 5,300 97,700 46,300 0 46,300 332,200 $

38,900 37,600 119,200 195,700 0 100 8,900 15,100 700 59,200 10,500 14,100 1,300 7,700 117,600 53,300 100 53,400 366,700 $

(1,100) (2,400) 5,200 1,700 0 100 1,900 100 300 21,200 5,500 8,100 1,100 4,600 42,900 53,300 100 53,400 98,000

-2.75% -6.00% 4.56% 0.88%

1.12% 2.45% 5.31% 1.73%

100.00% 27.14% 0.67% 75.00% 55.79% 110.00% 135.00% 550.00% 148.39% 57.43% 100.00% 100.00% 100.00% 36.47%

0.10% 1.94% 0.10% 0.31% 21.63% 5.61% 8.27% 1.12% 4.69% 43.78% 54.39% 0.10% 54.49% 100.00%

General Fund Licenses and Permits

Licenses and Permits Revenue (percentage change over prior years) Licenses (percentage change over prior years) Permits (percentage change over prior years) $ $ $ 2008 396,528 $ 176,475 $ 220,053 $ 2009 300,540 $ -24.21% 208,271 $ 18.02% 92,269 $ -58.07% 2010 284,588 $ -5.31% 185,438 $ -10.96% 99,150 $ 7.46% 2012 (Projected) 2011 285,302 $ 313,300 0.25% 9.81% 192,000 $ 3.54% 93,302 $ -5.90% 195,700 1.93% 117,600 26.04%

$396,528
$300,540

$284,588 2010
Licenses and Permits Revenue

$285,302 2011

$313,300

2008

2009

2012 (Projected)

Page 13 of 19

CITY OF GRIFFIN Revenue Status Report - General Fund

As of October 31, 2011 (Unaudited - Internal Use Only)

General Fund Intergovernmental Revenues

Rolling Twelve Month Actual 230,800 $

Budget Total Intergovernmental Revenues By Category DNR Funding Federal DEA Overtime Reimbursement City of Atlanta HIDTA GMA Mutual Aid Reimbursements School Resource Officers Prism Training Revenue Spalding County Board of Education Reimbursement Spalding County Grants LCI Grant ARC LLEBG - Vest Grant Byrne Grant GMA Safety Grant FEMA Grants Sub-total Grants Total Intergovernmental Revenues $ $

Projected 216,700 $

Projected Over (Under) Budget 8,900

% Variance 4.28%

% Weighted on Category 100.00%

207,800 $

0 20,000 7,000 0 127,800 16,000 0 0

42,700 24,000 1,400 0 125,400 7,200 0 11,500

0 21,100 7,000 0 136,800 9,800 0 0

0 1,100 0 0 9,000 (6,200) 0 0 0 0 0 0 0 5,000 0 5,000 8,900 5.50% 0.00% 7.04% -38.75% 12.36%

101.12% 69.66%

0 15,000 22,000 0 0 37,000 207,800 $

0 2,600 0 0 16,000 18,600 230,800 $

0 15,000 22,000 5,000 0 42,000 216,700 $

0.00% 0.00% 100.00% 13.51% 4.28%

56.18% 56.18% 100.00%

General Fund Intergovernmental

Total Intergovernmental Revenue (percentage change over prior years) Intergovernmental Reimbursements (percentage change over prior years) Grants (percentage change over prior years) $ 2008 397,385 $ 2009 406,382 $ 2.26% 383,429 $ 13.35% 22,953 $ -61.17% 2010 678,255 $ 66.90% 394,755 $ 2.95% 283,500 $ 1135.13% 2012 (Projected) 2011 275,160 $ 216,700 -59.43% -21.25% 207,160 $ -47.52% 68,000 $ -76.01% 174,700 -15.67% 42,000 -38.24%

338,271 $

59,114 $

Total Intergovernmental Revenue

$800,000 $600,000 $397,385 $400,000 $200,000 $406,382 $275,160 $216,700 $678,255

2008

2009

2010

2011

2012 (Projected)

Page 14 of 19

CITY OF GRIFFIN Revenue Status Report - General Fund

As of October 31, 2011 (Unaudited - Internal Use Only)

General Fund Charges for Services

Rolling Twelve Month Actual 4,831,500 $

Budget Total Charges for Services Revenues By Category Indirect Cost Allocations IT Equipment Cost Allocation Returned Check Fees Election Qualifying Fees Business Occupation Tax Administration Fee Business List Reports Data Processing Fees Credit Card Fees Fire Inspections Cemetery Fees Pool Service Fees Sale of Recycled Materials Pavilion Rental Plan Review Fees Demolition Recovery Fees Customer Service Fee Zoning Application Fees Total Charges for Services Revenues $ $

Projected 4,728,600 $

Projected Over (Under) Budget 74,180

% Variance 1.59%

% Weighted on Category 100.00%

4,654,420 $

4,437,870 0 0 1,600 30,000 0 36,000 0 0 130,000 4,650 0 7,000 4,000 3,000 0 300 4,654,420 $

4,546,900 47,700 100 2,800 27,300 900 16,300 3,600 200 156,400 1,600 0 13,100 10,900 3,000 0 700 4,831,500 $

4,437,900 8,000 8,500 2,800 38,000 1,000 27,600 3,500 200 164,400 2,100 0 14,300 11,300 6,400 0 2,600 4,728,600 $

30 8,000 8,500 1,200 8,000 1,000 (8,400) 3,500 200 34,400 (2,550) 0 7,300 7,300 3,400 0 2,300 74,180

0.00% 100.00% 100.00% 75.00% 26.67% 100.00% -23.33% 100.00% 100.00% 26.46% -54.84% 104.29% 182.50% 113.33% 766.67% 1.59%

0.04% 10.78% 11.46% 1.62% 10.78% 1.35% 11.32% 4.72% 0.27% 46.37% 3.44% 9.84% 9.84% 4.58% 3.10% 100.00%

General Fund Charges for Services

Charges for Services Revenue (percentage change over prior years) Indirect Cost Allocations (percentage change over prior years) Charges for Services (percentage change over prior years) $ 2008 5,174,480 $ 2009 5,043,464 $ -2.53% 4,743,332 $ -3.53% 300,132 $ 16.44% 2010 4,454,639 $ -11.68% 4,178,087 $ -11.92% 276,552 $ -7.86% 2011 4,913,673 $ 10.30% 4,673,000 $ 11.85% 240,673 $ -12.97% 2012 (Projected) 4,728,600 -3.77% 4,445,900 -4.86% 282,700 17.46%

4,916,713 $

257,767 $

$5,174,480

$5,043,464 $4,454,639

$4,913,673 $4,728,600

2008

2009

2010

2011

2012 (Projected)

Page 15 of 19

CITY OF GRIFFIN Revenue Status Report - General Fund

As of October 31, 2011 (Unaudited - Internal Use Only)

General Fund Fines and Forfeitures

Rolling Twelve Month Actual 971,800 $

Budget Total Fines and Forfeitures Revenue By Category Police Revenue Traffic Fines Camera Traffic Light Fines Parking Tickets Seat Belt Fines Ordinance Fines Total Fines and Forfeitures Revenue* $ $

Projected 1,130,600 $

Projected Over (Under) Budget (24,400)

% Variance -2.11%

% Weighted on Category 100.00%

1,155,000 $

19,000 762,000 350,000 0 0 24,000 1,155,000 $

17,200 616,200 319,300 100 8,600 10,400 971,800 $

18,200 711,400 383,800 0 500 16,700 1,130,600 $

(800) (50,600) 33,800 0 500 (7,300) (24,400)

-4.21% -6.64% 9.66% 100.00% -30.42% -2.11%

3.28% 207.38% 138.52% 2.05% 29.92% 100.00%

*** Seat Belt Fines --- beginning July 1, 2011 seat belt fines are combined with traffic fines.

$863,445

$758,948

$728,000
$644,537

$711,400

$403,596 $391,308

$176,631

$383,800 $327,000

30-Jun-08

30-Jun-09
Traffic Fines

30-Jun-10

30-Jun-11

30-Jun-12

Camera Traffic Light Fines

Page 16 of 19

CITY OF GRIFFIN Revenue Status Report - General Fund

As of October 31, 2011 (Unaudited - Internal Use Only)

General Fund Other Revenues

Rolling Twelve Month Actual

Budget Other Revenues Investment Income Rents, Royalties and Other Rents Insurance Claims Miscellaneous Revenue Contributions and Donations Sub-total Rents, Royalties and Other Proceeds and Other Financing Sources Proceeds of GMA Leases Proceeds of Sales of Fixed Assets Sub-total Proceeds and Other Financing Sources Transfers: Transfer from Hotel Motel Tax Fund Transfer from Police Technology Fund Transfer from Court Technology Fund Transfer from Water/Wastewater Transfer from Electric Fund Transfer from Welcome Center Fund Transfer from Solid Waste Fund Transfer from Airport Fund Transfer from Storm Water Fund Transfer from Golf Course Transfer from Motor Pool Transfer from GBTA 18,000 51,000 26,000

Projected

Projected Over (Under) Budget

% Variance

% Weighted on Category

10,500 $

12,400 $

16,800 $

6,300

60.00%

6.29%

174,780 3,000 0 0 177,780

169,090 1,460 31,380 790 202,720

211,200 500 100 340 212,140

36,420 (2,500) 100 340 34,360

20.84% -83.33% 100.00% 100.00% 19.33%

36.35% 2.50% 0.10% 0.34% 34.29%

80,770 0 80,770

0 (1,720) (1,720)

80,800 11,200 92,000

30 11,200 11,230

0.04% 100.00% 13.90%

0.03% 11.18% 11.21%

24,190 65,510 34,620 3,531,260 3,630,320 (2,000)

28,600 68,000 34,700

10,600 17,000 8,700

58.89% 33.33% 33.46%

10.58% 16.97% 8.68%

6,000

6,000

100.00%

5.99%

379,940

(21,460)

6,000

6,000

100.00%

5.99%

Sub-total Transfers from Other Funds Total Other Revenues $

95,000 364,050 $

7,642,380 7,855,780 $

143,300 464,240 $

48,300 100,190

50.84% 27.52%

48.21% 100.00%

Page 17 of 19

CITY OF GRIFFIN Revenue Status Report - General Fund

As of October 31, 2011 (Unaudited - Internal Use Only)

General Fund Other Revenues

2008 71,454 $ 2009 15,966 $ -77.66% 191,521 $ -11.09% 883 -92.82% 14,884 $ -83.55% 2010 6,847 $ -57.12% 195,969 $ 2.32% 0 $ -100.00% 28,680 $ 92.69% 2012 (Projected) 2011 8,829 $ 16,800 28.95% 90.28% 196,689 $ 0.37% 454 $ 0.00% 4,957 $ -82.72% 211,200 7.38% 340 -25.11% 92,600 1768.07%

Interest Income (percentage change over prior years) Rental Income (percentage change over prior years) Donations and Contributions (percentage change over prior years) Other Revenues (percentage change over prior years)

215,418 $

12,296 $

90,462 $

$100,000
$75,000 $71,454

$50,000
$25,000 $12,296

$15,966
$6,847

$16,800

$8,829 $454 2011 $340 2012 (Projected)

0 2008

$883 2009
Interest Income

0 2010

Donations and Contributions

Any idiot can face a crisis - - it's the day-to-day living that wears you out."

--Anton Chekhov, Russian author and playwright

Page 18 of 19

CITY OF GRIFFIN Revenue Status Report - General Fund

As of October 31, 2011 (Unaudited - Internal Use Only)

THIS PAGE INTENTIONALLY LEFT BLANK

City of Griffin Department of Administrative Services Finance and Accounting Division 100 South Hill Street Griffin, Georgia 30223 www.cityofgriffin.com

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