Dana Point Financial Review Committee approves minutes, elects officers and hears quarterly report showing nearly $2 million revenue gain

The Dana Point Financial Review Committee opened its meeting with roll call and organizational votes, retaining its chair and electing Member Mitchell as vice chair. The committee approved minutes of the Oct. 25, 2022 meeting, with the chair recorded as abstaining and Member Pagano absent.

Accounting supervisor Robin Harnish presented the quarterly financial report for the period ending Dec. 31, 2022. "We're doing pretty well here," Harnish said, reporting that "revenues were up almost $2,000,000 compared to last year," driven primarily by increases in transient occupancy tax (TOT) after pandemic restrictions eased, higher sales and property taxes, and some building-permit activity. Harnish said some expenditure increases reflected timing of payments and transfers to the capital improvement program (CIP) rather than ongoing operating growth.

On mark-to-market accounting, Harnish described the year-end valuation as an unrealized investment loss that offsets reported investment income for the fiscal year; "that is not real money," she said of the mark-to-market adjustment. Committee members asked for details on transfers to CIP, the timing of invoices that produced higher year-end expenditures and whether short-term rental permit processing was driving costs; staff said next week's council agenda includes a fee update to allow recouping certain legal costs from applicants.

The committee voted to "receive a file" for referral to the City Council; the motion passed on a recorded roll call (4-0-1 with Member Pagano absent). The committee also heard staff briefings on midyear work and the city's new budget software rollout.

The meeting closed after brief scheduling remarks; no public commentators addressed the committee during the public comment period.