The City’s total revenues amounted to $144,513,625 for the year ended June 30, 2010. This is an increase of $23,557,097, or 19.5%. There were increases in operating grants and contributions, capital grants and contributions, local accommodations taxes, franchise taxes, hospitality fee taxes, and local option tourism taxes. The largest increase was in the new local option tourism taxes, which increased by $14,195,983, or 100.0%. The next largest increase was in capital grants and contributions, which increased by $13,163,783, or 147.6%, primarily due to a capital contribution of $6,257,020 from the Myrtle Beach Air Force Base Redevelopment Authority and $4,607,988 in roadway capital contributions. The largest decrease was in property taxes, which decreased by $1,565,413, or 5.4%, primarily due to the expiration of the center city redevelopment area tax increment district established in fiscal year 1995. Property taxes collected above the total initial equalized assessed value of the redevelopment area were pledged to bonds and were collected by the City for a period of fifteen years. Another large decrease was in business license taxes, which decreased by $867,358, or 4.8%, primarily due to decreases in the insurance and construction business classifications.
The total cost of all programs and services was $134,984,281 (increasing by $16,162,305, or 13.6%). The largest increase was experienced in the community and economic development category in the amount of $12,405,269, or 133.4%. The largest contributing factor to this increase was expenditures related to the new local option tourism taxes. All of the taxes received were contributed to the Myrtle Beach Area Chamber of Commerce to be used to promote tourism. The next largest increase was in public safety with an increase of $2,357,428, or 7.6%. Increases in personnel costs in both the police and fire departments and depreciation contributed to this increase. Transportation was the third largest increase totaling $998,670, or 14.2%. The largest contributing factor to this increase was amounts paid to Santee Cooper for street lighting.
The City’s net assets from governmental activities increased $9,892,809. Unrestricted net assets, the part of net assets that can be used to finance day-to-day operations without constraints established by debt covenants, enabling legislation or other legal requirements, decreased from $(10,704,869) at June 30, 2009 to $(11,955,064) at the end of this year.
The City’s programs for governmental activities include general government, public safety, transportation, community and economic development, culture and recreation and public works. Revenues for the City’s governmental activities increased by 26.4% ($23,646,401) and total expenses increased 19.1% ($16,572,946).
The cost of all governmental activities this year was $103,433,602. However, as shown in the statement of activities beginning on page 14, the amount that our taxpayers ultimately financed for these activities was only $70,752,876 because some of the cost was paid by those who directly benefited from the programs ($13,808,024) or by other governments and organizations that subsidized certain programs with grants and contributions ($18,872,702). Overall, the City’s governmental program revenues were $32,680,726. The City paid for the remaining “public benefit” portion of governmental activities with general revenues, some of which could only be used for certain programs, totaling $80,697,385.
The City’s net assets from business-type activities decreased $363,465, or 0.3%.
The City’s programs for business-type activities include water and sewer, baseball stadium, municipal golf course and solid waste management activities. Revenues of the City’s business-type activities decreased by 0.3% ($89,304) and expenses decreased by 1.3% ($410,641).
The cost of all business-type activities this year was $31,550,679. As shown in the statement of activities that starts on page 14, the amounts paid by users of the activities were $26,171,502 and grants and contributions totaled $4,786,961. Investment earnings were $177,051.
The City’s Funds
The focus of the City’s governmental funds is to provide information on near-term inflows, outflows and balances of spendable resources. Such information is useful in assessing the City’s financing requirements. In particular, unreserved fund balance may serve as a useful measure of a government’s net resources available for spending at the end of the fiscal year.