Press Conference Summary: State of Finances
In reviewing the financial state of the City of McComb, Mayor Lockley has announced that the City must “tighten its purse strings.” The audit report for fiscal year ending September 30, 2017, showed the reserve total fund balance at $2,865,921 and the cash/cash equivalents at $2,290,877.
Recent month to month financial data as it relates to revenue and expense is projected to be between 1.2 to 1.5 million for the fiscal year ending September 30, 2018. If this holds to be true, this will be the lowest end fund balance since the recession.
What does this mean for the City? The City must caution its spending habits. Since the City operates from its reserve fund October through December and on average the City spends $800,000 to $1,000,000 per month.Mayor Lockley said, the city administrator, within his scope of authority, will put in place corrective actions that will be presented to the Board of Mayor and Selectmen in coming weeks. “Having been here before, the City will take every corrective action necessary to solidify its finances.”