MDTA Finance and Administration Committee Meeting Materials

Cynthia D. Penny-Ardinger Jeffrey S. Rosen Samuel D. Snead, MCP, MA John F. von Paris

MEMORANDUM

TO:

Finance & Administration Committee Director of Budget Jeffrey Brown

FROM:

SUBJECT:

FY 2026 Operating Budget vs. Actual Spending Review

DATE:

November 13, 2025

PURPOSE The purpose of the memorandum is to report on first quarter FY 2026 spending compared to the FY 2026 Amended Operating Budget. KEY TAKEAWAY As of September 30, 2025, 19% of the budget was spent compared to a target of 25%. All Object Codes were at or below budget spending levels. The seasonality of the expenses, the timing of invoices, and the year-end accruals heavily impacted 1 st quarter performance. SUMMARY Budget analysis threshold: More than $500,000 budgeted with variances greater than +/- 5% of the targeted spending level. • Salaries & Wages/Technical & Special Fees ( Object 01 & 02 - $249.9M Budget ) is at targeted spending levels with a 24% spend rate. • Communications ( Object 03 - $4.2M Budget ) is below budget with an 8% spend rate primarily driven by the State Radio Invoice. o State Paid Telecomm ( State Radio Invoice - (Object 0305 - $2.0M Budget )) is below budget with a 0% spend rate because the invoice has not yet been issued. • Travel ( Object 4 - $571K Budget ) is below budget with a 12% spend rate. Seasonality (heavier spending in 3 rd and 4 th quarters) accounts for the underspend.

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