City of Albuquerque - File #: EC-23-258

• File #: EC-23-258
• Type: Executive Communication
• Status: Filed
• File created: 3/6/2023
• In control: City Council
• Final action: 5/1/2023
• Title: Submission Of The Five-Year Forecast FY2023 To FY2027

Date	Action By	Action	Result
5/1/2023	City Council	Receipt Be Noted	Pass
4/17/2023	City Council	Accepted with a recommendation Receipt Be Noted
4/10/2023	Finance & Government Operations Committee	Sent to Council with a recommendation of Receipt Be Noted	Pass
3/6/2023	City Council	Received and Referred
3/6/2023	President	Referred

Mayor Timothy M. Keller


INTER-OFFICE MEMORANDUM February 27, 2023

TO: Pat Davis, President, City Council

FROM: Timothy M. Keller, Mayor

SUBJECT: title
Submission Of The Five-Year Forecast FY2023 To FY2027
body

Attached please find the City of Albuquerque Five-Year Forecast. The Five-Year Forecast estimates future revenues and expenditures for the General Fund and subsidized funds for the current fiscal year, and for fiscal years 2024 through 2027. The purpose of the report is to provide a planning analysis that identifies key trends in revenues and expenditures and information about the financial challenges and opportunities anticipated over the next few years.

As with previous Five-Year Forecasts, the forecast broadly includes potential expenditures but does not reflect expenditure levels that will be presented in the upcoming budget. Similar to previous years, this does forecast unmet deficits for the out-years of the City. This trend continues as result of expanding City needs, historical increases in wages, especially for public safety and more importantly going forward, inflation. This year's forecasted expenditures are particularly impacted by across the board cost inflation, medical and retirement increases. Lastly, expenditures going forward include recurring cost increases made this year pursuant to our requirements with respect to gender pay equity.

With respect to revenues and city income, this forecast shows a leveling off of expected recurring tax revenues. Compared to the last two years, this revenue forecast represents our expectations for the baseline scenario, which excludes any significant one time and supplementary funds, that have been included in the previous two years' revenues. Accordingly, FY23 and FY22 revenues were enhanced by significant non-recurring funding from a variety of sources, such as settlements and COVID related funds, outlined in this report.

My Administration is committed to presenting ...