JACKSONVILLE, Fla. -

The city of Jacksonville is finding itself in a financial mess.

The latest audit report by the city show it's $1.3 million in the hole. The reason is that less money from property taxes and fees are coming in.

Auditors said the city is short $5 million in revenue, but that might be made up by the end of the year.

The latest report blasts the city for not calculating expenses correctly. It also says the city has not been able to determine savings from new police contracts.

"We have not yet determined the level of savings from the recent settlement of the (Jacksonville Sheriff's Office) union contracts," the report reads. "We are working on an analysis and hope to reach a consensus with the city and JSO budget offices, but this analysis will not be complete prior to the required publication date of this report."

To read the full report, click here.