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As previously described, this adjustment of prior year payables results in savings in the current year and contributes to the Citys higher-than-typical prior year payable amount included as of the May Plan ($816 million compared to $400 million typically budgeted at this point in the fiscal year)

Adjusting for these costs (adding back the impact of prepayments and prior payables, as well as taking out unallocated reserves) provides a more accurate measure of spending in the current year