The SWCD's total revenues increased by 17 percent. The total cost of all projects and services

decreased significantly by $9,201, or 9%. Even with this low growth in the sale of trees for

conservation the SWCD was able to cover this year's costs. Our analysis below separately

considers the operations of governmental activities.

Governmental Activities

Table 3 presents the cost of the SWCD's largest program, Annual Conservation Tree & Shrub

Sale, as well as the program's net cost (total cost less revenues generated by the activities).

TABLE 3 - Governmental Activities

Total cost of services

2006 2005

Net cost of services

2006 2005

District Tree Sale

Totals

$31,220.80

$31,220.80

$26,851.00

$26,851.00

($10,754.20)

($10,754.20)

($11,173.00)

($11,173.00)

THE SWCD's FUNDS

As the SWCD completed the year, its general fund as presented in the balance sheet reported a

combined fund balance of $57,334 which is higher than last year's total of $37,187. Included in

this year's total change in fund balance is a surplus of $20,147 in the SWCD's General Fund.

The primary reasons for the General Fund's surplus mirror the governmental activities analysis.

General Fund Budgetary Highlights

The budget amendments fall into three major categories. Changes from the preliminary budget

include adjustments to charges for services, project expenditures and adjustments to staffing

levels.

The actual charges to appropriations (expenditures) were $38,675 above the final budget

amounts. The most significant positive variance of $10,692 occurred in the SWCD's personnel

services appropriation account where the staff rehiring resulted in a reduction of the anticipated

expenses.

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