Month: June 2024

It was confirmed to me off the record, by an informed MATA official, of how the $20M loan from the City is being accounted for by MATA. The $20M is accounted for under an entry in the new, just released, MATA Net position statement under an “MTM” entry. Had either a March Net Position statement been presented at the previous MATA May meeting, with more clear entry of what “MTM” stands for or a March cash flow statement been available, the mystery of the $20M would not have surfaced. In short, the missing $20M concern surfaced due to deficient incomplete but now improving MATA financial reporting.

And good news is MATA cash flow statements will be forthcoming based on the public testimony of MATA CFO Hamish Davidson at the 6/26/24 meeting. Additionally, the City Council failed to account for the $20M MATA loan repayment or renegotiated loan term in budget proceedings, adding further confusion.

Also mentioned in testimony was improving the Net Position financials to separate “cash and receivables” from a combined to individual entries.

 I still do not know what “MTM” stands for. MATA continues to struggle with financial reporting due to a challenged technology implementation. The off the record MATA official clarification was helpful. Good news is that $20M was found. See pdf page 51 of the MATA 6/26/24 Agenda Packet .

Discriminating between “accounted for debt/liabilities” and “unaccounted for missing money” is important for readers of this informational blog. As of March 31, 2024, MATA has not received significant promised funds from public sources. Based on MATA’s March 2024 current financials, proceeds from the City of Memphis FY25 proposed budget book, as documented in the FY24 City of Memphis forecast of $50,670,000 are not accounted for in the MATA March 31, 2024 current financials.

This amount accounts for the FY24 budgeted MATA appropriation of $30,670,000 plus $20M in loan proceeds approved by the Memphis City Council. The $20M in loan proceeds were approved on 11/21/23. See 01:03:50 in public record video. Where is the $20M for MATA is the question? Additionally, in FY24 per March 31, 2024 current financials, MATA has not received any Federal or State funds.

These are the source documents: MATA March 31, 2024 Current Financials (pg. 23 of 124) presented at the May 21, 2024 meeting. Next the FY25 Proposed City Budget (pg. 10 of 341.

At the same time, the heavily media reported approximate debt or liabilities of $60M can be accounted for in the MATA FY23 audited financials (pg. 7). $10m is current liabilities and the remainder is long term post-employment benefits and pension liability for total liabilities of $66,637,324.

There is both accounted for debt/liabilities and missing money documented in this informational blog. Please see excerpts from public documents and highlit areas below:

MATA MARCH 31, 2024, CURRENT UNAUDITED FINANCIALS

CITY OF MEMPHIS FY25 PROPOSED BUDGET BOOK (As of 6/6/24)

MATA FY23 AUDITED FINANCIALS