The General Fund is showing a favorable trend in expenditures; however, the property tax revenues are still coming in at a 2.5% slower pace than last year.  The "Fourth FEFP Calculation" should be released by the Department of Education within the next three weeks and that will be the last adjustment for this fiscal year on the FEFP and State Categorical grants.  Through February; however, the General Fund will be within the Budget as amended, and it is not anticipated that there will be any negative trends for the remainder of this fiscal year.  Salaries and Fringe Benefits will come in below the budget at the end of the fiscal year.  County Sales Tax Revenues are coming in at half a percent less than last year after the first eight months of the fiscal year.  It is interesting that the State of Florida shows that the overall Sales Tax Revenues for the entire State are coming in at two percent more than last year, so it appears that Sarasota is experiencing a trend in sales tax that is slightly worse than the state trend.  The County Sales Tax Revenues only affect the Capital Fund.  The Capital Fund is also affected by the slowness of the property tax revenues indicated for the General Fund.  The other funds are coming in as projected in the Budget.

#40-That the Superintendent's Financial Statement for the period ending February 28, 2007, be accepted as presented.

LEMPE & MONSON