Quarterly Financial Report

First Quarter of FY 2021-2022

Motel Tax Fund Current Financial Condition

Motel Tax Fund accounts for proceeds collected from all lodging properties that are legally restricted to expenditures for specific purpose, per Texas Tax Code Chapter 351 and City Ordinance.


The Motel Tax Fund first quarter financial report reflects an ending undesignated fund balance of $1.5 million, which represents approximately 9 months of the Motel Tax Fund 2022 budgeted operating expenditures ($1.3 million in excess reserve – above the 12-month minimum fund balance reserve policy). The projected undesignated ending fund balance is 9 percent or $126K higher than the amended year-end undesignated fund balance of $1.4 million.


At the end of the first quarter, expenditures exceed revenues by $475K, mainly due to construction transfers occuring at the beginning of the fiscal year. Revenues are projected to exceed expenditures later in the fiscal year as more hotel tax receipts are collected.

Riverside Stadium

Revenues vs Expenditures

  • Motel Tax Receipts are coming in over budget due to removal of COVID-related travel restrictions which increased hotel stays in the City.
  • Interest Income is coming in under budget due to historically low interest rates.
  • Personnel Costs are coming in under budget due to
  • Contractual Services are coming in under budget due to no Bootfest transfer in the current year since the event was cancelled.

  • Motel Tax Receipts are coming in over budget through the first quarter of FY 2022.
  • Interest income is coming in under budget due to historically low interest rates. Rates have since rebounded in the second quarter of FY 2022.

  • Personnel Costs are coming in under budget due to one vacant position in the Main Street Department for half of the first quarter of FY 2022.
  • Supplies are coming in under budget due to small tools and uniforms line items.
  • Maintenance is coming in over budget due to other structures maintenance for work done at Riverside Stadium.
  • Contractual Services are coming in over budget due to the net effect of professional services and events/programs line items increasing and the CVB contract line decreasing due to cancellation of the Bootfest 2021 event.
  • Transfers are coming in over budget due to the Riverside Stadium and Soccer Field parking lot project which was awarded in October 2021. This line item will level out as the fiscal year goes on.
  • Motel Tax Fund Grants are coming in under budget as no reimbursement requests had been submitted for events in the first quarter.
  • Capital Outlay is coming in under budget due to the timing of expenditures. These purchases are made irregularly throughout the fiscal year.

Christmas tree

Budget Amendments

As of the first quarter of FY 2021-22, the Motel Tax Fund Budget has been amended once in the amount of $60K for the Fiscal Year 2020-21 carryover encumbrances (these encumbrances were not included in this financial report since the funding for the FY 2020-21 encumbrances came from prior year reserved fund balance of $60K).