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HomeMy WebLinkAbout2001 03 26 Regular A Comprehensive Annual Financial Report COMMISSION AGENDA ITEM A CONSENT INFORMATIONAL PUBLIC HEARING REGULAR X March 26, 2001 Meeting MGR ~ /DEPT ot-""J-- A lIthori zl'ltinn REQUEST: The Finance Department is requesting City Commission acceptance of the Comprehensive Annual Financial Report (CAFR) for the fiscal year ended September 30, 2000. NOTE: CAFR WILL BE A V AILABLE ON FRIDAY, MARCH 23RD AT 5:00PM. PURPOSE: The presentation by the City Auditors of the Comprehensive Annual Financial Report for the fiscal year ended September 30,2000. CONSIDERA TIONS: The CAFR is prepared to give the City Commission and the citizens a greater understanding of the City's financial standing than can be obtained through the financial statements alone and to more accurately reflect Budget vs. Actual expenses in the Financial Statements. RECOMMENDATION: Acceptance of the CAFR for the fiscal year ended 9/30/00 by the City Commission. ATTACHMENTS: Comprehensive Annual Financial Report for the fiscal year ended 9/30/00 including the audited financial statements and the audit opinion. COMMISSION ACTION: 'J V V 'J '-J '-J V V V V 'J V '-J V V V V o v v V o o v v '-..,) '-..,) '-..,) '-..,) v v v v V o v V o v v v v \..-/ CITY OF ,WIN7ifJR .S/PRINGS COMRREflENSI'IE i4NNUAL FINAINClAL REPORT For 'tine Year :Ending .S~p:tember ,JO., 20{)() 'R In OtJir Geneiratjon y, Sketch of the Future Winter Sprlngs Town Center . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . City of Winter Springs, Florida COMPREHENSIVE ANNUAL FINANCIAL REPORT For the Year Ended September 30, 2000 Prepared by: Finance Department .- . .- ... .-. - .-. - .-. - .-. - .-. - .- - . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . This page intentionally left blank. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . INTRODUCTORY SECTION This section contains the following subsections: Table of Contents Letter of Transmittal List of Principal Officials Organizational Chart .-. . .-. ... - - .-. - - - - - - - - - - - - - - - - - - . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . This page intentionally left blank. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .-. . . .-. ... .-. - - ... - - - - - - - - - - - - CITY OF WINTER SPRINGS COMPREHENSIVE ANNUAL FINANCIAL REPORT TABLE OF CONTENTS Year Ended September 30, 2000 I. Introductory Section: Table of Contents Letter of Transmittal List of Principal Officials Organization Chart II. Financial Section: Independent Auditor's Report General Purpose Financial Statements (Combined Statements - Overview): Combined Balance Sheet - All Fund Types and Account Groups Combined Statement of Revenues, Expenditures and Changes in Fund Balances - All Governmental Fund Types Combined Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual - All Governmental Fund Types Combined Statement of Revenues, Expenses and Changes in Retained Earnings - All Proprietary Fund Types Combined Statement of Changes in Pension Fund Net Assets Combined Statement of Cash Flows - All Proprietary Fund Types Notes to Financial Statements . Combining and Individual Fund and Account Group Statements: General Fund: Statement of Revenue, Expenditures and Changes in Fund Balances - Budget and Actual Special Revenue Funds: Combining Balance Sheet Combining Statement of Revenue, Expenditures and Changes in Fund Balances Combining Statement of Revenue, Expenditures and Changes in Fund Balances- Budget and Actual Debt Service Fund: Combining Balance Sheet Combining Statement of Revenues, Expenditures and Changes in Fund Balances Combining Statement of Revenue, Expenditures and Changes In Fund Balances - Budget and Actual Capital Projects Funds: Combining Balance Sheet Combining Statement of Revenues, Expenditures and Changes in Fund Balances Combining Statement of Revenue, Expenditures, and Changes in Fund Balances- Budget and Actual eage i-ii iii-xii xiii xiv 1-2 3-6 7 8-11 12 13 14-15 16-39 40-41 42-45 46-49 50-61 62-63 64-65 66-69 70-71 72-73 74-77 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . This page intentionally left blank. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS COMPREHENSIVE ANNUAL FINANCIAL REPORT TABLE OF CONTENTS - CnntinllP-d Year Ended September 30, 2000 II. Financial Section - Continued: Combining and Individual Fund and Account Group Statements: Fiduciary Fund Types: Combining Statement of Pension Fund Net Assets Combining Statement of Changes in Pension Fund Net Assets General Fixed Assets: Schedule of Changes in Fixed Assets - By Function and Activity Supplementary Information: Schedule of Revenues and Expenses - Budget and Actual - Enterprise Fund - Water and Sewer Utility Operating Account lit. Statistical Section: General Governmental Expenditures by Function General Governmental Revenues by Source Property Tax Levies and Collections Assessed and Estimated Value of Taxable Property Net of Exemptions Property Tax Rates and Direct and Overlapping Governments Special Assessment Collections Legal Debt Margin Computation of Direct and Overlapping General Obligation Debt Revenue Bond Coverage Demographic Statistics Property Values and Construction Schedule of Ten Largest Taxpayers Miscellaneous Statistical Data IV. Internal Control and Compliance Section: Report on Compliance and on Internal Control over Financial Reporting Based on an Audit of Financial Statements Performed in Accordance With Government Auditing Standards Independent Auditor's Report on Examination of Management's Assertion about Compliance with Specified Requirements Schedule of State Financial Assistance Notes to Schedule of State Financial Assistance Management Comments ii Eage 78 79 80 81-82 83-84 85-86 87 88-89 90 91 92 93 94 95 96 97 98 99-1 00 101 102 103 104-109 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . This page intentionally left blank. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .-. - . . .- ... .-. - .-. - - - .-. - - - .-. - CITY OF WINTER SPRINGS, FLORIDA 1126 EAST STATE ROAD 434 WINTER SPRINGS, FLORIDA 32708-2799 Telephone (407) 327-1800 February 19, 2001 Honorable Mayor, Members of the City Commission, And the Citizens of the City of Winter Springs, Florida Submitted herein is the comprehensive annual financial report of the City of Winter Springs, Florida (City) for the fiscal year ended September 30, 2000. Responsibility for both the accuracy of the data, and the completeness and fairness of the presentation, including all disclosures, rests with the City. To the best of our knowledge and belief, the enclosed data are accurate in all material respects and are reported in a manner designed to present fairly the financial position and results of operations of the various funds and account groups of the City. All disclosures necessary to enable the reader to gain an understanding of the City's financial activities have been included. The comprehensive annual financial report has been prepared in accordance with guidelines established by the Governmental Accounting Standards Board (GASB) and the Government Finance Officers Association (GFOA). The report is presented in four sections as follows: 1. An Introductory Section, which is unaudited, including the table of contents, the City Manager's and Finance Director's letter of transmittal, an organizational chart and a list of the City's principal elected and appointed officials; 2. A Financial Section, including the general purpose financial statements and the combining and individual fund and account group financial statements and schedules of the City accompanied by our independent auditors' report; 3. A Statistical Section, which is unaudited, including a selection of data depicting the financial history of the City on a multi-year basis, information on overlapping governments, and demographic and miscellaneous information; 4. An Internal Control and Compliance Section, including the report on compliance and internal control over financial reporting and the independent auditors' management letter. This report includes all funds and account groups of the City. The City does not include any component units. The City provides a full range of services including police and fire protection; utility services; the construction and maintenance of highways, streets and infrastructures; recreational activities, planning and community development and inherent support activities. iii iv . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ECONOMIC CONDITION AND OUTLOOK The City, incorporated in 1959, is located in Seminole County, which is a part of the greater Orlando metropolitan area in East Central Florida. This area is one of the fastest growing areas in the country. The City is primarily a retail, office and residential area with a small amount of light industry and commercial business. The City currently has a land area of 14.6 square miles and a population of 31,080. The City operates according to a Council/Manager form of government, with an appointed City Manager, five elected City Commissioners and a separately elected Mayor. The City's total assessed valuation for real and personal property increased 4% from the prior year and 66% since 1991. This increase in valuations resulted in an increased tax levy of $237,632 over last year and $1,097,562 since 1991. The City's population has increased 36% from that of ten years ago. As indicated by these factors, the City currently enjoys a favorable economic environment and local indicators still point to a continued trend of increased growth. This increased growth helps the City to maintain a moderate property tax rate, which was at 3.5495 mills during fiscal year 2000 (tax year 1999). The City's millage rate has continued its decreasing trend since 1994. The City has developed a comprehensive plan, which incorporates many measures to attract new growth. The City is interested in attracting and nurturing new growth while at the same time preserving the physical amenities and quality of life. Since the City is linked to a multi- lane restricted access road system (the "Greene Way"), it offers its citizens the advantages of suburban lifestyles and easy access to centralized business areas and tourist attractions throughout the metropolitan Orlando area. The Greene Way stimulates the outflow of businesses to suburban areas, enhancing the City's economic development. MAJOR INITIATIVES The City staff has once again been involved in a variety of projects throughout the year, which indicates the City's desire to make Winter Springs a community in which its citizens desire to live, work and play. Significant projects include the following: During FY 2000, the City was in the last stages of negotiations for a new 230- acre "Town Center" along State Road 434 at Tuscawilla Road. The Town Center is expected to attract commercial, office, residential and public uses. Sites have been identified as possible locations for a new City Hall, library, and hotel and convention center. The Town Center will be a public/private partnership, with the public sector providing the infrastructure and the private sector constructing and marketing the project. Many developers are interested in working with the City on this project. The City Commission and the Wyman Fields Foundation entered into a partnership arrangement to acquire and rehabilitate 189 apartments/townhouses in and around Rhoden Lane, LoriAnn Lane and Cory Lane, also known as the "Moss Cove Redevelopment Project". Once rehabilitated inside and out, the units will be sold as condominiums. The partnership is utilizing grants and funds from the Community Development Block Grant program and the State Housing Initiative Program. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . MAJOR INITIATIVES - Continued The $2.2 million park improvement plan is almost completed. The City issued bonds in 1999, the funds from which are being used for the improvements. The plan includes improvements at Central Winds Park, Grizzly Field, Moss Park, Sam Smith Park, Sunshine Park, Torcaso Park, Trotwood Park, and Winding Hollow Park. Improvements include pavilions, tot and youth playground equipment, sidewalks with lighting, restrooms, concession stand, ballfield upgrades, landscaping, signage, handicap access, and parking improvements. Park Improvements are scheduled to be completed during FY 2001. Central Winds Park ballfields is recognized as one of the finest sports fields in the State. The Sports Program 2000 conducted over 376 adult softball games, 853 baseball games and 1,365 soccer games. These games involved approximately 74,820 participants and 88,377 spectators. Additionally, the Parks and Recreation Department experienced significant involvement from our City's senior population. Over 968 senior activities (bingo, classes, socials and trips) were conducted. The Parks and Recreation Department continue to expand its list of programs/ classes and special events to meet the needs of its citizens. The Department, with financial assistance from the youth sports organizations publishes a newspaper with events, results and stories of local programs and activities with approximately 2,000 copies distributed bi- weekly for residents of Winter Springs. The City's medical transport program, provided by the Fire Department can be characterized as a successful program that provides excellent medical care for the citizens. Since its inception on January 15, 1996 through the date of the financial statements, the Department has transported approximately 4,027 patients. The revenue collected for this service has paid for the incremental costs of providing this service and has allowed the Department to purchase state of the art vehicles and equipment. During FY 2000, the City's Fire Department acquired a medium duty transport vehicle at a cost of $135,000, funded entirely by the medical transport fee funds. The City's Fire Department was recognized by the Seminole County Public Schools Dividends program as one of the "Top Five" Community Resource Volunteers for the number of public education programs provided to our local schools. The Department offered 188 public education with 4,052 hours of citizen involvement. These included programs offered to schools, scouting groups and homeowner groups. Funds from the Transportation Impact Fee Fund were used to purchase a portable trailer, which the Police Department uses to measure traffic speeds and volumes. This device is being used to monitor the effectiveness of the traffic- calming program the City initiated last year. Funds from the Transportation Improvement Fund were used to perform over $100,000 in road resurfacing of existing streets as well as make improvements to both underdrains and sidewalks in our community, .-. ... .-. ... .- ... .-. - .- ... a. .. .-. - v vi . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . MAJOR INITIATIVES - Continued A number of transportation projects were completed during FY 2000, which improve the driving conditions for the citizens of Winter Springs. Specifically, the four laning of S.R. 434 from Tuscawilla Road to S.R. 417 by FDOT was completed in February of 2000. The completion of the second phase of this project culminates the spending of over $13M in state funds to widen S.R. 434. Additionally, the beautification of SR. 434 from S.R. 419 to Tuscawilla Road was completed. The City was reimbursed the landscape and irrigation materials cost of $108,000 from the FDOT as part of a "Florida Highway Beautiful" grant. The matching grant paid for all materials with the City providing in kind labor. The 18 month project was completed in February 2000. During the year, Seminole County began the four laning of Tuscawilla Road, completion on this $7.6M project is anticipated in September 2001. The Water and Sewer Utility completed numerous capital improvement projects during FY 2000 including: the extension of reclaimed water service to a number of area neighborhoods, the conversion of an overhead power supply at a local park to an underground power supply to improve the safety, reliability and aesthetics of the park and the construction of a decorative brick wall near Water Treatment Plant #1 so that the plant would be compatible with its surroundings. The Utility began the conversion from gas chlorine to liquid chlorine at Water Treatment Plant #2 to improve the safety of both its employees and surrounding residents. During FY 2000, the Water and Sewer Utility began a number of construction improvements as follows: construction began on a water main in conjunction with the Tuscawilla Road improvements which will provide a secondary interconnection between the East and West water distribution systems and a third East/West interconnection was begun on the southern water main between Oak Forest and Seville Chase. A rate study of water, sewer, reclaimed, and stormwater fees and charges is underway and will be finished in FY 2001. The study will determine if current rates are sufficient to meet projected operational and capital needs. The City generated a 20-year Capital Improvements Plan of all conceivable projects as an aid for projections. The City created a web site during FY 2000; in the future the site will contain agenda items for the citizens to review prior to Commission meetings as well as the City's Ordinance book, our annual financial report and budget. ONGOING AND FUTURE PROJECTS The City is constantly working on many projects whose ultimate goals are to provide our citizens with benefits. Listed below are some projects, which the City is either working on or are planned: The Town Center project will likely keep a number of City Hall departments busy for many years to come, namely the Community Development Department, the Utility Department and the Public Works Department. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ONGOING AND FUTURE PROJECTS - Continued The Community Development Department has been and will be involved in all aspects of the plans and design of the Town Center. Ground breaking for the 1st phase of the Town Center is expected in the summer of 2001. Of special note, the Department facilitated the Cross Seminole Trail land exchange, obtained a $2M grant to design/ build a paved section of the Trail within the Town Center, coordinated the acquisition of property easements needed for design of a pedestrian overpass over S.R. 434 in the Town Center and has scheduled a number of acquisitions during FY 2001 for such items as medians and rights of way associated with the implementation of the Town Center. The Utility Department plans to begin and complete the design, and begin the construction of the water and sewer infrastructure to serve the Town Center during FY 2001. The Public Works Department has begun the design of the Town Center roads and drainage including "Main Street", Spine Road and Hickory Grove Park Boulevard. Additionally, the Fire Department is evaluating potential fire stations sites to serve the central (Town Center) and northeast (SR 417 Greeneway) areas of the City. As development is planned, the Department will be prepared to minimize the impact on overall response times for emergency services. The Moss Cove Redevelopment Project, as discussed above, will continue throughout FY 2001 and FY 2002. Funds returned to the City after the renovations are complete can again be used for future redevelopment projects. During the year, a State of Florida grant through the Florida Recreation Development Assistance Program was awarded to the City in the amount of $150,000 for Trotwood Park. The Parks and Recreation Department has plans to apply for a number of grants for its parks including additional grants from the State of Florida's Florida Recreational Development Assistance Program as well as Seminole County CDBG grants. The Public Works Department is scheduled to complete the design and begin construction of Fisher Road. a collector road in the Ranchlands as well as complete the design for the reconstruction of Moss Road from S.R. 434 to S.R. 419. The Department also plans to continue the traffic-calming program and implement a comprehensive pavement management program during FY 2001. The Utility Department has a number of projects they plan to complete in the next fiscal year as well as a number of projects they anticipate will begin. A synopsis of the projects is as follows: Complete the Tuscawilla Road water main interconnection, west water main loop from Wildwood to Florida Avenue, construct Well #4 at Water Treatment Plant #1 fulfilling the water supply needs at this facility through 2020, purchase a vacuum truck to clean sanitary and stormwater piping systems and continue conversion of gas chlorine to liquid chlorine at the five facilities over the next five years. The City issued approximately $7M in Water and Sewer Refunding Revenue bonds during FY 2001 which will be used to fund the improvements discussed above along with the Town Center water and sewer infrastructure needs. The bond refunded the Water and Sewer Utilities outstanding 1997 Subordinate Revenue Bonds. It is the intention of the City to refund the Series 1991 and 1992 Water and Sewer Refunding Revenue Bonds during FY 2001 to take advantage of lower interest rates. vii viii . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ONGOING AND FUTURE PROJECTS - Continued Also on the agenda for FY 2001, the Utility Department hopes to identify potential sites for a new utility/ public works operations facility with construction to begin at a later point in time. Activity within the City's Special Assessment Districts will be ongoing in FY 2001 with the planned completion of the construction of the wall and entryway enhancements for Oak Forest and the construction of improvements for the Tuscawilla Lighting and Beautification District. It is anticipated that the City will issue bonds to fund the improvements in the Tuscawilla Special Assessment District. Capital Improvement Notes were issued during FY 2000 to fund both the building of a brick wall at the Oak Forest Subdivision and the purchase of financial software. During FY 2001, the City Hall plans to install new financial software requiring the concentrated efforts of both the Information Services Department and the Finance Department. FINANCIAL INFORMATION Management of the City is responsible for establishing and maintaining an internal control structure designed to ensure that the assets of the government are protected from loss, theft or misuse and to ensure that adequate accounting data are compiled to allow for the preparation of financial statements in conformity with generally accepted accounting principles. The internal control structure is designed to provide reasonable, but not absolute, assurance that these objectives are met. The concept of reasonable assurance recognizes that the cost of a control should not exceed the benefits likely to be derived, and that the valuation of costs and benefits requires estimates and judgments by management. As a recipient of federal, state and local financial assistance, the City is also responsible for ensuring that an adequate internal control structure is in place to ensure and document compliance with applicable laws and regulations related to these programs. This internal control structure is subject to periodic evaluation by management. In addition, the City maintains extensive budgetary controls. The objective of these controls is to ensure compliance with legal provisions embodied in the annual appropriated budget approved by the City Commission. Activities of the general fund, special revenue funds, debt service funds, capital project funds, and the enterprise fund are included in the annual appropriated budget. Budgets for governmental fund types are prepared on a basis that are consistent with generally accepted accounting principles. The legal level of budgetary control (that is, the level at which expenditures cannot legally exceed the appropriated amount) is established at the fund level. The government also maintains an encumbrance accounting system as one method of maintaining budgetary control. As demonstrated by the statements and schedules included in the financial section of this report, the City continues to meet its responsibility for sound financial management. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . FINANCIAL INFORMATION. Continued General Government Functions and General Fund Balance The following schedule presents a summary of general fund, special revenue funds, capital project funds, and debt service funds revenues for the years September 30, 2000 and 1999. Revenues and Amount of Percent of Other Financing 2000 Percent 1999 Increase Increase Sources Amount of Total Amount (Decrease) (Decrease) Taxes $ 7,322,542 35.1% $ 6,298,975 $1,023,567 16.2% Licenses and permits 931 ,588 4.4 1,762,848 (831,260) (47.1) Intergovernmental 3,261,472 15.6 2,918,244 343,228 11.8 Charges for services 1,073,902 5.1 914,748 159,154 17.4 Fines 298,357 1.4 249,206 49,151 19.7 Investment Income 597,515 2.9 383,955 213,560 55.6 Miscellaneous 13,676 0.1 927,367 (913,691 ) (98.5) Operating transfers in 5,752,346 27.6 5,082,709 669,637 13.2 Proceeds from debt issuance 1,619,500 La 7,999,608 (6,380,108) (79.7) Total $?O R70 R~R 1 00 OOfn $?R ~~7 RRO $~~ RRR 7R?~ The largest dollar value increase in recurring revenues came from "Taxes," Revenues from taxes increased 35.1 %, this is due to the addition of the Tuscawilla and Lighting Beautification Special Assessments and the property tax effects related to our City's growth. In addition, revenues generated from the Public Service Tax were generally higher than the prior year due to growth of the City's population. The City also implemented a new telecommunication tax during FY 2000 and realized additional revenue form this new source. The increase in "Intergovernmental" revenues can be attributed to an increase in monies received form the State Tax and grants. The largest dollar value decrease in reoccurring revenues came from "Licenses and Permits." An increased level of building permits and impact fee revenue to increase in FY 1999. The largest dollar value increase in non-recurring revenues came from the "Operating transfers in". The financial statements reflect a reclassification of the Enterprise Funds payment to the General Fund for administrative services recorded in the "Miscellaneous" line item in the prior year to the "Operating transfer in" line item in the current year. The largest dollar-value decrease in non-recurring revenues came from the line item "Proceeds from debt issuance". During FY 1999, the City issued bonds to finance various improvement related projects. Financing activities during FY 2000 consisted of Capital Improvement Notes as discussed in the section entitled "Ongoing and Future Projects." .- . .- ... The following schedule presents a summary of general fund, special revenue fund, debt service fund, and capital projects fund expenditures for the fiscal years ended September 30, 2000 and 1999: . .-. . ix FINANCIAL INFORMATION - Continued Amount of Percent of Expenditures and 2000 Percent 1999 Increase Increase Other Financing LJ~e~ Amount of Total Amou nt (Decrea~e) (Decrea~e) General Government $ 3,039,087 13.7% $ 2,726,281 $312,806 11.5% Public Safety 5,807,995 26.2 5,355,195 452,800 8.5 Physical Environment 1,762,780 8.0 1,119,185 643,595 57.5 Culture & Recreation 1,200,702 5.4 1,042,556 158,146 15.2 Capital outlay 4,347,463 19.7 1,792,208 2,555,255 142.6 Debt Service 978,819 4.4 2,057,757 (1,078,938) (52.4 ) Operating transfers out 4,999,335 22.6 5,107,709 (108,374) (2.1 ) Payments to escrow agent 2,328,288 (2,328,288) (100.0) Total ~?? 1~n 1R1 100 00;" ~?1 S?~ 17~ ~ n07 OO? The largest dollar value increase in non-recurring expenditures was due to the line item entitled "Physical Environment" Physical Environment expenditures increased $643,595 or 57.5% over the prior year mainly due to planned transportation related improvements paid for by impact fees and the Local Option Gas Tax. The largest dollar value increase in non-recurring expenditures was due to "Capital Outlay". During FY 1999 bonds were issued to finance various improvement projects in the City. During FY 2000 the City incurred expenditures related to this purpose. See the section entitled "Major Initiatives. " The largest dollar value decrease in non-recurring expenditures was related to the financing activities that took place in FY 1999. Both "Debt Service" and "Payments to escrow agent" are significantly reduced in FY 2000. Debt Service is temporarily reduced in FY 2000 due to timing associated with payments for the new 1999 bond. General Fund Balance The fund balance of the general fund at September 30, 2000 is $3,323,229, which represents an increase of $493,453 or 17.4% over 1999. One of the goals of the City over the next few fiscal years is to continue to increase the fund balance to provide enhanced stability for its citizens. Enterprise Operations The City's enterprise operations are comprised of the City's water and sewer utility. Water and sewer revenues increased 1.3% to $5,726,141, while the number of customers increased by 6% to 11,921. As in prior years, the water/sewer utility made payments to the general fund (included in operating transfers in) for those staff salaries and related benefits that are budgeted and expended in the general fund for services either directly or indirectly provided on behalf of the utility. x . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . - ... FINANCIAL INFORMATION - Continued Cash Management During the year, the City primarily invested its temporarily idle cash in U.S. Government securities, commercial paper, Federal Home Loan Bank bonds and through a master repurchase agreement with the City's bank, Bank of America. As of September 30,2000, the City had investments with a market value totaling over $10.9 million. Total investment income on all funds except the pension trust funds was $949,667 and the pension trust funds earned investment income of $900,919. Debt Administration At year end, the City had a number of debt issues outstanding. These issues, net of applicable unamortized discounts, included $16,738,970 of improvement revenue bonds and $1,619,500 of capital improvement revenue notes included in the General Long- Term Debt Group of Accounts, and $22,635,528 of water and sewer revenue bonds. During the fiscal year the City acquired a Capita/Improvement Note in the amount of $1,619,500. The funds from which will be used to finance the new financial software, finance the purchase of a new medical transport vehicle and finance the construction of a buffer wall. Both the medical transport and the buffer wall will be repaid through service fees and special assessments, respectively. A capital/ease incurred during fiscal year 1999 for a medical transport vehicle has an outstanding balance of $97,038 at September 30,2000. Pension Trust Funds The City maintains a single employer defined benefit pension plan and a single employer defined contribution plan, which cover virtually all full time employees of the City. . Further details concerning pension expense, vested benefits and actuarial assumptions are included in the notes to financial statements. At September 30, 1999, the pension funds had net assets of $5,140,310. .-. ... .- ... - ... - - - - - - - - - - Risk Management During the ordinary course of its operations, the City is exposed to various risks of losses. The City employs a risk manager who has established various control techniques to reasonably ensure that all employees are aware of their responsibilities to minimize accident- related losses by using caution in their jobs. Third- party coverage is currently maintained for individual workers' compensation claims. OTHER INFORMATION - Independent Audit - - - - - - - State Statutes require an annual audit of the books of account, financial records and transactions of all administrative departments of the City by independent certified public accountants selected by the City Commission. The City's auditors, McDirmit, Davis, Puckett & Company, P.A., have conducted the audit and issued their report, which can be found in the financial section of this report. - - - - - xi - FINANCIAL INFORMATION - Continued Certificate of Achievement The Certificate of Achievement is a prestigious national award-recognizing conformance with the highest standards for preparation of state and local government financial reports awarded by the Government Finance Officers Association of the United States and Canada (GFOA). In order to be awarded a Certificate of Achievement, the City must publish an easily readable and efficiently organized comprehensive annual financial report whose contents conform to program standards. The CAFR must satisfy both generally accepted accounting principles and applicable legal requirements. We believe our current comprehensive annual financial report meets the Certificate of Achievement for Excellence in Financial Reporting program's requirements, and we are submitting it to the Government Finance Officers Association to determine eligibility for a ce rtifi cate. Acknowledgements The preparation of this report could not have been accomplished without the efficient and dedicated efforts of the entire staff of the Finance Department. We would like to express our appreciation to all members of the department who assisted and contributed to the preparation of this report. Other City departments also contributed significantly by helping to ensure the accuracy and integrity of accounting information compiled throughout the year. In closing, we would also like to thank the Mayor and Members of the City Commission for their interest and support in planning and conducting the operations of the City in a responsible and progressive manner. Respectfully submitted, /~h~<?//. Ronald W. McLemore City Manager c1 ~. . ~ - C. --::\-~~ LOIJise C. Frangoul ' Finance Director xii . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . () . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA LIST OF PRINCIPAL OFFICIALS ELECTED OFFICIALS MAYOR VICE-MAYOR/COMMISSIONER COMMISSIONER COMMISSIONER COMMISSIONER COMMISSIONER APPOINTED OFFICIALS CITY MANAGER CITY CLERK FINANCE DIRECTOR INFORMATION SERVICES GENERAL SERVICES POLICE CHIEF FIRE CHIEF UTILITY/PUBLIC WORKS DIRECTOR COMMUNITY DEVELOPMENT DIRECTOR PARKS AND RECREATION DIRECTOR LEGAL COUNSEL Anthony Garganese Brown, Ward, Salzman & Weiss, P.A. FINANCIAL ADVISOR David Moore Public Financial Management AUDITORS McDirmit, Davis, Puckett & Company, P.A. xiii Paul P. Partyka Cindy Gennell Robert S. Miller Michael S. Blake Edward Martinez, Jr. David McLeod Ronald McLemore Andrea Lorenzo-Luaces Louise Frangoul Joanne Dalka Gene DeMarie Daniel Kerr Timothy Lallathin Kipton Lockcuff Charles C. Carrington Chuck Pula City of Winter S · . prlngs Or anlzational Chart o Administration o Accounting oDebt Management oTreasury Mgmt oBudgeting o Administration oComp Planning oLand Management oCode Enforcement oBuilding Permits Inspections o Administration o FirefRescue oFire Prevention oEMS o Administration oRecords oCommunications opatrol o Investigations oYouth Services -Administration oStormwater -Transportation -Engineering -Water Resource Mgmt Water Wastewater o Administration -Civic/Senior oparkslField Maint o Athletics o Rec Programs -Concession Services * The City Manager is a . . Th~ City Cle<k i, app:.:::;ted hy the Commission. ratification of the C. by the Mayor with Ity Comm. . the direction of the C't MIssion and works under 1 y anager. *The C' and ~~~ttorney is appointed by the Ma or' . . Adv' undedhe di,,,,lion ofthe C y . w!th ,"toti"liun ofthe Cll C .. . .so..,. Bna,d, a.. appointed b nmmos"nn. y ommos,..n direction of the City C .' y the Mayor and Comm' . ommlSSlOn ISSlon and work d . un er the ............. ........ ........ .....~... ...... . . . . . () . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . A ... ..' 1. .. , FINANCIAL SECTION This section contains the following subsections: . Independent Auditor's Report . General Purpose Financial Statements . Combining Statements . Supplementary Information . . . . . ~) . . . . \ . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . This page intentionally left blank. . . . . . o . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . MCDIRMIT, DAVIS, PUCKETT & COMPANY, P.A. CERTIFIED PUBLIC ACCOUNTANTS AND CONSULTANTS 605 E. Robinson Street, Suite 635 Post Office Box 1185 Orlando, Florida 32802-1185 Telephone: (407) 843-5406 Fax: (407) 649-9339 E-Mail: info@mdpcpa.com INDEPENDENT AUDITOR'S REPORT Honorable Mayor and City Commissioners City of Winter Springs, Florida We have audited the accompanying general purpose financial statements of the City of Winter Springs, Florida, as of and for the year ended September 30, 2000, as listed in the table of contents. These general purpose financial statements are the responsibility of the City's management. Our responsibility is to express an opinion on these general purpose financial statements based on our audit. .. We conducted our audit in accordance with generally accepted auditing standards and the' standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the general purpose financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall general purpose financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion the general purpose financial statements referred to above present fairly, in all material respects, the financial position of the City of Winter Springs, Florida, as of September 30, 2000, and the results of its operations and the cash flows of its proprietary fund types and the changes in pension fund net assets for the year then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated February 19, 2000 on our consideration of the City of Winter Springs, Florida's internal control over financial reporting and our tests of its compliance with certain provisions of laws, regulations, contracts and grants. That report is an integral part of an audit performed in accordance with Government Auditing Standards and should be read in conjunction with this report in considering the results of our audit. .- ... .- . .-. ... .-. ... .-. - - - .. Members: Private Companies Practice Section' American Institute of Certified Public Accountants. Florida Institute of Certified Public Accountants 1 Our audit was made for the purpose of forming an opinion on the general purpose financial statements taken as a whole. The combining and individual fund and account group financial statements, and supplementary information listed in the accompanying table of contents are presented for purposes of additional analysis and are not a required part of the general purpose financial statements of the City of Winter Springs, Florida. The accompanying schedule of state financial assistance is presented for purposes of additional analysis as required by Section 216.349, Florida Statutes, and is not a required part of the general purpose financial statements of the City of Winter Springs, Florida. Such information has been subjected to the auditing procedures applied in the audit of the general purpose financial statements and, in our opinion, is fairly presented in all material respects in relation to the general purpose financial statements taken as a whole. The information listed in the Statistical Section is presented for purposes of additional analysis and is not a required part of the general purpose financial statements. Such information has not been subjected to the auditing procedures applied in the audit of the general purpose financial statements and, accordingly, we express no opinion on it. ~~~~/.~,f#, McDIRMIT, DAVIS, PUCKETT & COMPANY, P.A. February 19, 2001 2 . . . . . l.) . . . , . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . GENERAL PURPOSE FINANCIAL STATEMENTS (COMBINED STATEMENTS - OVERVIEW) These basic financial statements provide a summary overview of the financial position of all funds and account groups as well as the operating results of all funds. They also serve as an introduction to the detailed statements that follow in subsequent sections. . . . . . . . . e- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA COMBINED BALANCE SHEET ALL FUND TYPES AND ACCOUNT GROUPS September 30,2000 Governmental Fund Types Special Debt General Revenue Service Assets: Cash and cash equivalents $ 589,243 $ 2,292,370 $ 702,459 Investments 2,055,398 1,053,359 Receivables, net 31,981 261,653 Inventories - at cost 7,993 Due from other governments 320,324 17,401 Due from other funds 2,196,169 1,969,026 Prepaid costs 56,617 Restricted assets: Cash and cash equivalents 102,588 Investments Property, plant and equipment Less: accumulated depreciation Construction in progress Unamortized bond issuance costs Amount available in debt service funds Amount to be provided for retirement of general long-term debt Total assets $ 5,360,313 $ 5,593,809 $ 702,459 The accompanying Notes to Financial Statements are an integral part of these statements. 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Governmental Proprietary Fiduciary Fund Types Fund Type Fund Type Account Groups General General Totals Capital Fixed Long-Term (Memorandum Projects Enterprise Trust Assets Debt Only) $ 4,084,400 $ 3,305,579 $ 35,434 $ $ $ 11,009,485 5,102,233 8,210,990 14, 194 668,734 2,643 979,205 2,039 10,032 337,725 636,851 609,635 5,411,681 74,017 130,634 4,191,929 4,294,517 1,091,382 1,091,382 41,131,683 24,370,718 65,502,401 (11,406,250) (11,406,250) 105,272 2,695,097 2,800,369 388,957 388,957 702,355 702,355 18,589,370 18,589,370 $ 4,809,462 $ 40,088,960 $ 5,140,310 $ 27,065,815 $ 19,291,725 $ 108,052,853 (Continued) .. . .- .. .. ... .- ... .-. ... 4 . . CITY OF WINTER SPRINGS, FLORIDA . COMBINED BALANCE SHEET . ALL FUND TYPES AND ACCOUNT GROUPS . September 30, 2000 . . . Governmental Fund Types . Special Debt Capital . General Revenue Service Projects . Liabilities and Fund Equity: . Liabilities . Accounts payable $ 317,394 108,355 $ $ 701,748 Retainage payable 231,770 . Accrued liabilities 351,237 1,260 . Due to other funds 1,265,865 1,691,701 104 523,891 . Current liabilities (payable from restricted assets): . Customer deposits 102,588 . Accrued interest Revenue bonds payable . Obligation under utility agreement . Accrued compensated absences Bonds payable . Obligations under capital leases . Notes payable Obligation under utilty agreement, less . portion payable from restricted assets . Total liabilities 2,037,084 1,801,316 104 1,457,409 Fund equity: . Contributed capital . Investment in general fixed assets Retained earnings: . Reserved for renewal and replacement . Reserved for capital improvements . Unreserved Fund balances: . Reserved: . Inventories 7,993 Prepaid costs 56,617 . Encumbrances 16,377 1,045 38,701 . Debt service 702,355 Employee's pension benefits . Capital projects 3,313,352 . Unreserved 3,242,242 3,791,448 Total Fund Equity and Other Credits 3,323,229 3,792,493 702,355 3,352,053 . Total Liabilities, Fund Equity and Other Credits $ 5,360,313 $ 5,593,809 $ 702,459 $ 4,809,462 . . . The accompanying Notes to Financial Statements are an integral part of these statements. . . . 5 . . . . . . . . . Proprietary Fiduciary . Fund Type Fund Type Account Groups General General Totals . Fixed Long-Term (Memorandum . Enterprise Trust Assets Debt Only) . . $ 146,688 $ $ $ $ 1,274,185 . 231,770 . 19,582 372,079 . 1,930,120 5,411,681 . 620,223 722,811 . 693,721 693,721 . 790,000 790,000 . 188,000 188,000 138,113 836,217 974,330 . 21,845,528 16,738,970 38,584,498 . 97,038 97,038 1,619,500 1,619,500 . . 158,000 158,000 26,529,975 19,291,725 51,117,613 . . 9,185,403 9,185,403 27,065,815 27,065,815 . . 202,615 202,615 . 582,230 582,230 3,588,737 3,588,737 . . 7,993 . 56,617 . 56,123 702,355 .- 5,140,310 5,140,310 . .- 3,313,352 ... 7,033,690 - 13,558,985 5,140,310 27,065,815 56,935,240 ... .-. - $ 40,088,960 $ 5,140,310 $ 27,065,815 $ 19,291,725 $ 108,052,853 .-. - .-. ... .-. ... .-. ... - - 6 - - . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . This page intentionally left blank. . . CITY OF WINTER SPRINGS, FLORIDA . . COMBINED STATEMENT OF REVENUE, EXPENDITURES AND . CHANGES IN FUND BALANCES - ALL GOVERNMENTAL FUND TYPES . For the Year Ended September 30,2000 . . . Governmental Fund Types Totals . Special Debt Capital (Memorandum . General Revenue Service Projects Only) Revenues: . Taxes and special assessments $ 3,603,105 $ 3,476,730 $ - $ 242,707 $ 7,322,542 . Licenses and permits 581,658 349,930 931,588 Intergovernmental revenues 3,031,604 229,868 3,261,472 . Charges for services 208,657 865,245 1,073,902 . Fines and forfeitures 266,214 32,143 298,357 Investment Income 132,194 160,405 11,774 293,142 597,515 . Miscellaneous revenues 13,639 37 13,676 . Total revenues 7,837,071 5,114,358 11,774 535,849 13,499,052 . Expenditures: . Current: . General government 2,733,978 305,109 3,039,087 Public safety 5,587,013 220,982 5,807,995 . Physical environment 1,277,623 485,157 1 ,762,780 . Culture and recreation 1,200,702 1,200,702 Capital outlay 4,347,463 4,347,463 . Debt service: . Principal retirement 25,274 320,000 345,274 Interest and fiscal charges 4,782 620,764 625,546 . Issuance costs 1,658 6,341 7,999 . Total expenditures 10,799,316 1,042,962 940,764 4,353,804 17,136,846 . Excess (Deficiency) of Revenues . Over Expenditures (2,962,245) 4,071,396 (928,990) (3,817,955) (3,637,794) . Other Financing Sources (Uses) . Operating transfers in 3,455,698 1,123,082 1,019,777 153,789 5,752,346 . Operating transfers out (4,748,589) (250,746) (4,999,335) Note proceeds 137,571 1,481,929 1,619,500 . Net other financing sources (uses) 3,455,698 (3,487,936) 1,019,777 1,384,972 2,372,511 . Excess (Deficiency) of Revenues . and Other Sources Over . Expenditures and Other Uses 493,453 583,460 90,787 (2,432,983) (1,265,283) . Fund Balances - Beginning of Year 2,829,776 3,209,033 611,568 5,785,036 12,435,413 . Fund Balances - End of Year $ 3,323,229 $ 3,792,493 $ 702,355 $ 3,352,053 $ 11 ,170,130 . . . .- The accompanying Notes to Financial Statements are an integral part of these statements. . .- . 7 .-. ... . . CITY OF WINTER SPRINGS, FLORIDA . COMBINED STATEMENT OF REVENUE, EXPENDITURES AND . CHANGES IN FUND BALANCES - BUDGET AND ACTUAL . ALL GOVERNMENTAL FUND TYPES . For the Year Ended September 30,2000 . . General Fund . Variance Favorable . Budget Actual (Unfavorable) . Revenues: . Taxes and special assessments $ 3,652.469 $ 3,603,105 $ (49,364) . Licenses and permits 564,000 581,658 17,658 . Intergovernmental revenues 3,085,699 3,031,604 (54,095) Charges for services 152,700 208,657 55,957 . Fines and forfeitures 260,000 266,214 6,214 . Investment Income 190,000 132,194 (57,806) Miscellaneous 75,000 13,639 (61,361) . Total revenue 7,979,868 7,837,071 (142,797) . Expenditures: . Current: . General government 3,261,568 2,733,978 527,590 . Public safety 5,706,976 5,587,013 119,963 Physical environment 1,323,063 1,277,623 45.440 . Culture and recreation 1,209,052 1,200,702 8,350 . Capital outlay Debt service: . Principal retirement . Interest and fiscal charges Issuance costs . Total expenditures 11,500,659 10,799,316 701,343 . Excess (Deficiency) of Revenues . Over Expenditures (3,520,791) (2,962,245) 558,546 . Other Financing Sources (Uses) . Operating transfers in 3,036,825 3.455,698 418,873 . Operating transfers out . Note proceeds Net other financing sources(uses) 3,036,825 3.455,698 418,873 . Excess (Deficiency) of Revenues . and Other Sources Over . Expenditures and Other Uses (483,966) 493.453 977.419 . Fund Balances. Beginning of Year 2,829,776 2,829,776 . Fund Balances. End of Year $ 2,345,810 $ 3,323,229 $ 977.419 . . . The accompanying Notes to Financial Statements are an integral part of these statements. . . 8 . . . . . . . . . . Special Revenue Funds Debt Service Funds Variance Variance . Favorable Favorable . Budget Actual (Unfavorable) Budget Actual (Unfavorable) . . $ 3,147,000 $ 3,476,730 $ 329,730 $ $ $ 365,285 349,930 (15,355) . 240,000 229,868 (10,132) . 1,807,000 2,027,551 220,551 32,000 32,143 143 . 81,700 160,405 78,705 11,774 11,774 . 37 37 . 5,672,985 6,276,664 603,679 11,774 11 ,774 . . 1,546,843 1,467,415 79,428 . 309,547 220,982 88,565 . 837,177 485,157 352,020 . . 25,274 (25,274) 315,000 320,000 (5,000) . 4,782 (4,782) 526,022 620,764 (94,742) . 1,658 (1,658) 2,693,567 2,205,268 488,299 841 ,022 940,764 (99,742) . . 2,979,418 4,071,396 1,091,978 (841,022) (928,990) (87,968) . . 1,080,000 1,123,082 43,082 840,684 1,019,777 179,093 . (3,968,660) (4,748,589) (779,929) . 137,571 137,571 . (2,751,089) (3,487,936) (736,847) 840,684 1,019,777 179,093 .- ... . 228,329 583,460 355,131 (338) 90,787 91,125 .-. WI' - 3,209,033 3,209,033 611,568 611,568 WI' .-. $ 3,437,362 $ 3,792,493 $ 355,131 $ 611,230 $ 702,355 $ 91,125 ... .-. ... (Continued) .-. WI' a ... - - 9 - - . . CITY OF WINTER SPRINGS, FLORIDA . COMBINED STATEMENT OF REVENUE. EXPENDITURES AND . CHANGES IN FUND BALANCES - BUDGET AND ACTUAL . ALL GOVERNMENTAL FUND TYPES . For the Year Ended September 30, 2000 . . Capital Projects Funds . Variance Favorable . Budget Actual (Unfavorable) . Revenues: . Taxes and special assessments $ 199,720 $ 242,707 $ 42,987 . Licenses and permits . Intergovernmental revenues Charges for services . Fines and forfeitures . Investment Income 218,000 293,142 75,142 Miscellaneous . Total revenue 417,720 535,849 118,129 . Expenditures: . Current: . General government Public safety . Physical environment . Culture and recreation Capital outlay 4,990,934 4,347,463 643,471 . Debt service: . Principal retirement Interest and fiscal charges . Issuance costs 8,262 6,341 1,921 . Total expenditures 4,999,196 4,353,804 645,392 . Excess (Deficiency) of Revenues . Over Expenditures (4,581,476) (3,817,955) 763,521 . Other Financing Sources (Uses) . Operating transfers in 153,789 153,789 . Operating transfers out (197,908) (250,746) (52,838) Note proceeds 1,481,929 1,481,929 . Net other financing sources(uses) 1,284,021 1,384,972 100,951 . Excess (Deficiency) of Revenues . and Other Sources Over . Expenditures and Other Uses (3,297,455) (2,432,983) 864,472 . Fund Balances - Beginning of Year 5,785,036 5,785,036 . $ 2,487,581 $ 3,352,053 $ 864,472 . . . The accompanying Notes to Financial Statements are an integral part of these statements. . . 10 . . . . . . . . . Totals . (Memorandum Only) Variance . Favorable . Budget Actual (Unfavorable) . . $ 6,999,189 $ 7,322,542 $ 323,353 929,285 931,588 2,303 . 3,325,699 3,261,472 (64,227) . 1,959,700 2,236,208 276,508 292,000 298,357 6,357 . 489,700 597,515 107,815 . 75,000 13,676 (61,324) . 14,070,573 14,661,358 590,785 . . 4,808,411 4,201,393 607,018 . 6,016,523 5,807,995 208,528 . 2,160,240 1,762,780 397,460 1,209,052 1,200,702 8,350 . 4,990,934 4,347,463 . 643,471 . 315,000 345,274 (30,274) . 526,022 625,546 (99,524) . 8,262 7,999 263 20,034,444 18,299,152 1,735,292 . . (5,963,871 ) (3,637,794) 2,326,077 . . 4,957,509 5,752,346 794,837 . (4,166,568) (4,999,335) (832,767) . 1,619,500 1,619,500 . 2,410,441 2,372,511 (37,930) . . (3,553,430) (1,265,283) 2,288,147 . .-. 12,435,413 12,435,413 ... .- $ 8,881,983 $ 11,170,130 $ 2,288,147 ... .-. ... .-. ... .- ... .-. - 11 - - . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 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CITY OF WINTER SPRINGS, FLORIDA COMBINED STATEMENT OF REVENUE, EXPENSES AND CHANGES IN RETAINED EARNINGS ALL PROPRIETARY FUND TYPES For the Year Ended September 30,2000 Proprietary Fund Types Enterprise Operating Revenues: User charges $ 5,726,142 Operating Expenses: Salaries and benefits 1,197,817 Materials and supplies 504,812 Depreciation and amorization 1,332,235 Other operating expenses 729,928 Total operating expenses 3,764,792 Operating income (loss) 1,961,350 Nonoperating Revenue (Expenses): Investment Income 352,152 Interest expense (1,409,468) Connection fees 432,808 Gain (loss) on disposal of property and equipment (39,507) Total nonoperating revenue (expense) (664,015) Income (loss) before operating transfers 1,297,335 Operating Transfers: Operating transfers in 5,660 Operating transfers out (758,671 ) Net operating transfers (753,011 ) Net income (loss) 544,324 Retained Earnings - Beginning of Year 3,829,258 Retained Earnings - End of Year $ 4,373,582 .-. ... .. ... .-. ... .- - .-. ... .-. - The accompanying Notes to Financial Statements are an itegral part of these statements. 12 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . This page intentionally left blank. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA COMBINED STATEMENT OF CHANGES IN PENSION FUND NET ASSETS For the Year Ended September 30,2000 Additions: Contributions: Employer $ Plan members Total contributions 482,069 124,745 606,814 Investment income: Net appreciation in fair value of investments Interest Net investment income 848,782 52,137 900,919 Total additions 1,507,733 Deductions: Benefits Administrative expenses Total deductions Net Assets Held in Trust for Pension Benefits: Beginning of Year 283,661 36,832 320,493 1,187,240 3,953,070 $ 5,140,310 Net Increase End of Year .- ... A ... . A . .-. ... ... ... .-. ... .-. - .-. - .-. - The accompanying Notes to Financial Statements are an integral part of these statements. 13 Cash Flows from Non-Capital Financing Activities: Net operating transfers in Net operating transfers out Decrease in due from other funds Increase in due to other funds Net cash provided by non-capital financing activities 5,660 (758,671 ) 867,435 210,281 324,705 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA COMBINED STATEMENT OF CASH FLOWS ALL PROPRIETARY FUND TYPES For the Year Ended September 30,2000 Proprietary Fund Type Enterprise Cash Flows from Operating Activities: Receipts from customers Payments to suppliers Payments to employees Net cash provided by operating activities $ 5,974,633 (2,025,808) (1,146,816) 2,802,009 Cash Flows from Capital and Related Financing Activities: Acquisition of property and equipment Additions to construction in progress Principal paid on revenue bonds Interest paid on revenue bonds Connection fees Net cash provided (used) by capital and related financing activities (450,840) (78,272) (750,000) (1,417 ,266) 432,808 (2,263,570) Cash Flows from Investing Activities: Investment income Net cash provided by investing activities 385,503 385,503 1,248,647 6,248,861 $ 7,497,508 $ 3,305,579 4,191,929 $ 7,497,508 Net Increase in Cash and Cash Equivalents Cash and Cash Equivalents at Beginning of Year Cash and Cash Equivalents at End of Year Classified As: Current assets Restricted assets Total The accompanying Notes to Financial Statements are an integral part of these statements. 14 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Proprietary Fund Type Enterprise Reconciliation of Operating Income to Net Cash Provided by Operating Activities: Operating income $ 1,961,349 Adjustments Not Affecting Cash: Depreciation Amortization Increase in allowance for doubtful accounts 1,312,751 19,484 36,377 Change in Assets and Liabilities: Decrease in accounts receivable Increase in inventories Increase in accounts payable Increase in accrued liabilities Increase in customer deposits Decrease in utility agreement obligation Increase in accrued compensated absences Total adjustments 184,481 (1,536) 23,859 15,951 64,011 (849,768) 35,050 840,660 Net Cash Provided by Operating Activities $ 2,802,009 Noncash Investing, Capital and Financing Activities: Contributed property, plant and equipment Decrease in the fair value of investments $ 1,287,747 (33,351 ) 15 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . This page intentionally left blank. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . NOTES TO FINANCIAL STATEMENTS 16 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA NOTES TO FINANCIAL STATEMENTS September 30, 2000 Note 1 - Summary of Significant Accounting Policies: The City of Winter Springs, Florida (the City") was established by a special act of the Florida Legislature and incorporated in 1959. The City is located in the central Florida county of Seminole. The legislative branch of the City is composed of a five-member elected Commission, which is governed by the City Charter and by state and local laws and regulations. The City Commission is responsible for the establishment and adoption of policy; the execution of such policy is the responsibility of the City Manager appointed by the Commission. The accounting policies of the City conform to accounting principles generally accepted in the United States of America as applicable to units of local governments. The following is a summary of the more significant policies: Reporting Entity - In evaluating how to define the government, for financial reporting purposes, the City has considered all potential component units. The definition of the reporting entity is based primarily on the notion of financial accountability. A primary government is financially accountable for the organizations that make up its legal entity. It is also financially accountable for legally separate organizations if its officials appoint a voting majority of an organization's governing body, and either it is able to impose its will on that organization or there is a potential for the organization to provide specific financial benefits to, or to impose specific financial burdens on, the primary government. A primary government may also be financially accountable for governmental organizations that are fiscally dependent on it. A primary government has the ability to impose its will on an organization if it can significantly influence the programs, projects or activities of, or the level of services performed or provided by, the organization. A financial benefit or burden relationship exists it the primary government (a) is entitled to the organizations' resources; (b) is legally obligated or has otherwise assumed the obligation to finance the deficits of, or provide financial support to, the organization; or (c) is obligated in some manner for the debt of the organization. In applying the above criteria, management has determined that there are no components units to be included within the reporting entity. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA NOTES TO FINANCIAL STATEMENTS September 30, 2000 Note 1 . Summary of Significant Accounting Policies: Fund Accounting - The accounts of the City are organized on the basis of funds or account groups, each of which is considered a separate accounting entity. The operations of each fund are accounted for with a separate set of self-balancing accounts. The various funds are grouped by type in the financial statements. The following fund types and account groups are used by the City. Governmental Fund Types General Fund - To account for all financial resources except those required to be accounted for in another fund. The General Fund is the general operating fund of the City. Special Revenue Funds - To account for the proceeds of specific revenue sources (other than major capital projects) that are legally restricted to expenditures for specific purposes. Debt Service Funds - To account for the accumulation of resources for, and the payment of general long-term debt principal, interest and related costs. Capital Projects Funds - To account for financial resources to be used for the acquisition or construction of major capital facilities (other than those financed by proprietary funds). Proprietary Fund Types Enterprise Funds - To account for operations that are financed and operated in a manner similar to private business enterprises, where the intent of the governing body is that costs of providing goods or services to the general public on a continuing basis be financed or recovered primarily through user charges. The City's enterprise fund consists of a water and sewer utility. Fiduciary Fund Types Trust Funds - To account for assets held by the City in a trustee capacity or as an agent on behalf of others. Trust funds account for assets held by the City under the terms of a formal trust agreement Account Groups General Fixed Assets Account Group - To account for all fixed assets of the City, other than those accounted for in the enterprise funds. .- . .- ... .- ... .-. ... .-. - - - General Long-Term Debt - To account for the outstanding principal balances on any general obligation debt of the City. 17 18 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA NOTES TO FINANCIAL STATFMENTS - Continued September 30, 2000 Note 1 - Summary of Significant Accounting Policies (Continued): Basis of Accounting and Measurement Focus - Governmental fund types include the general, special revenue, debt service, and capital projects funds. Governmental fund types use the flow of current financial resources measurement focus and the modified accrual basis of accounting. Under this method of accounting, revenues are recognized when they become measurable and available as net current assets, or when susceptible to accrual; Le., both measurable and available. "Measurable" means that the amount of the transaction can be determined and "available" means collectible within the current period or soon enough thereafter to be used to pay liabilities of the current period. The City considers all revenues available if they are collected within 60 days after year end. Expenditures are recorded when the liability is incurred, except for principal and interest on general long-term debt, which is recognized when due and certain compensated absences which are recognized when the obligations are expected to be liquidated with expendable available financial resources. Property taxes, certain intergovernmental revenues, interest and special assessments are susceptible to accrual. Expenditure-driven grants are recognized as revenue when the qualifying expenditures have been incurred and all other grant requirements have been met. The enterprise fund is accounted for on the flow of economic resources measurement focus and uses the accrual basis of accounting. Under this method, revenues are recorded when earned and expenses are recorded at the time liabilities are incurred. The City adopted GASB Statement No. 20 and chose not to apply all FASB pronouncements issued after November 30, 1989. The basis of accounting and measurement focus of the pension trust funds is the same as proprietary fund types and therefore is maintained on the accrual basis of accounting. The General Long-Term Debt and General Fixed Assets Account Groups are concerned only with the measurement of financial position. They are not involved with the measurement of results of operations. Long-term debt which is not intended to be financed through the Proprietary Fund is accounted for in the General Long-Term Debt Account Group. Fixed assets which are not used in Proprietary Fund operations are accounted for in the General Fixed Assets Account Group. Encumbrances - Encumbrance accounting, under which purchase orders, contracts, and other commitments for the expenditure of funds are recorded in order to reserve that portion of the applicable appropriation, is utilized in the governmental funds. Encumbrances are reported as reservations of fund balances and do not constitute expenditures or liabilities because the commitments will be honored during the subsequent year. Cash and Cash Equivalents - Cash and cash equivalents include cash on hand, demand deposits, repurchase agreement and all highly liquid investments (including restricted assets) with a maturity of ninety days or less when purchased. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA NOTES TO FINANCIAL STATEMENTS. Continued September 30, 2000 Note 1 . Summary of Significant Accounting Policies (Continued): Investments - Investments in all fund types are stated at fair value, which is the amount at which an investment could be exchanged in a current transaction between willing parties, other than in a forced liquidation sale. Fair value is based on quoted market prices. Income from investments held by the individual funds is recorded in the respective fund as it is earned. Changes in the fair value of investments is recognized as revenue and included in investment income. Inventories - Inventories are stated at cost, using the FIFO method. The cost of governmental fund-type inventories are accounted for by the consumption method, under which such inventory is recorded as an expenditure when used. Unamortized Bond Costs - In the governmental fund types, bond issuance costs are charged as current expenditures when the bonds are issued. For the enterprise fund, bond costs are amortized on a straight-line basis, which approximates the interest method, over the life of the bonds. Restricted Assets - The use of certain assets of enterprise funds is restricted by specific provisions of bond resolutions and agreements with various parties. Assets so designated are identified as restricted assets on the balance sheet. Property, Plant and Equipment - Property, plant, and equipment owned by the enterprise funds is stated at historical cost or estimated historical cost. Additions, improvements, and other capital outlays that significantly extend the useful life of an asset are capitalized. Other costs incurred for repairs and maintenance are expensed as incurred. Contributions of property, plant, and equipment received from federal, state, or local sources are recorded as contributions to equity when received. Major outlays for improvements are capitalized as projects are constructed. Interest incurred during the construction phase is reflected in the capitalized value of the asset constructed net of interest earned on the invested proceeds over the same period. Depreciation of property, plant and equipment is provided on the straight line basis over the following estimated useful lives: Buildings Improvements Equipment 10 - 30 years 20 - 40 years 5 - 10 years 19 20 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA NOTFS TO FINANCIAL STATEMENTS - Continued September 30, 2000 Note 1 - Summary of Significant Accounting Policies (Continued): General Fixed Assets - General fixed assets have been acquired for general governmental purposes. Assets purchased are recorded as expenditures in the governmental funds and capitalized at cost in the general fixed assets account group. In the case of gifts or contributions, such assets are recorded at fair market value at the time received. Certain improvements, such as roads, bridges, curbs, gutters, streets, sidewalks, drainage systems, and lighting systems have not been capitalized. Such assets normally are immovable and of value only to the City. No depreciation has been provided on general fixed assets. The City used to have an enterprise fund for their stormwater system and stormwater system improvements were capitalized. In 1997, the City converted this to a special revenue fund and transferred the stormwater system improvements to General Fixed Assets. Since 1997, the policy has been to not capitalize stormwater improvements. Compensated Absences - The City records compensated absences in the governmental fund types as expenditures of the amount that would normally be liquidated with expendable available financial resources. The remainder of the liability is reported in the General Long- Term Debt Account Group. The proprietary fund type accrues compensated absences in the period they are earned. Long- Term Obligations - Long-term debt is recognized as a liability of a governmental fund when due, or when resources have been accumulated in the debt service fund for payment early in the following year. For other long-term obligations, only that portion expected to be financed from expendable available financial resources is reported as a fund liability of a governmental fund. The remaining portion of such obligations is reported in the general long-term debt account group. Long-term liabilities expected to be financed from proprietary fund operations are accounted for in those funds. Fund Equity Proprietary Funds - Contributed capital consists of property and equipment from developers and federal and state (capital) grants. Grants received for operating assistance are recorded as non-operating revenue. Reservations of retained earnings are created by increases in assets restricted for debt service, renewal and replacement, and other contractual obligations. These increases result from earnings on restricted assets and other intrafund transfers to (from) restricted accounts. Earnings on restricted assets are included in net income of the Proprietary Funds. Reserves are not established for bond proceeds deposited into construction accounts. . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA NOTF;S TO FINANCIAL STATEMENTS - Contimu~d September 30, 2000 Note 1 - Summary of Significant Accounting Policies (Continued): Fund Equity (Continued) Governmental Funds - Reserves of the governmental funds are limited to the portions of fund balance which are either not subsequently appropriated for expenditures or legally segregated for a specific use. Interfund Transactions - Transactions which constitute reimbursements to a fund for expenditures (expenses) initially made are recorded as expenditures or expenses (as appropriate) in the reimbursing fund and as reductions of the expenditures (expenses) in the reimbursed fund. All interfund transactions except advances and reimbursements are accounted for as transfers. Nonrecurring or non-routine transfers of equity between funds are considered residual equity transfers. All other interfund transactions are treated as operating transfers. Total Columns on Combined Statements - Overview - Total columns on the combined statements are captioned Memorandum Only to indicate that they are presented only to facilitate financial analysis. Data in these columns do not present financial position, results of operations or its cash flows in conformity with generally accepted accounting principles. Neither is such data comparable to a consolidation. Interfund eliminations have not been made in the aggregation of this data. Note 2 - Stewardship, Compliance and Accountability: .-. . .-. - .-. ... - ... .-. - Budget and Budgetary Accounting - Budgets are legally adopted for all the City's Funds and are prepared in accordance with generally accepted accounting principles, with the exception of the Solid Waste Special Revenue Fund (see (7) below) which is adopted on a budgetary basis. The City follows these procedures set forth below in establishing the budgetary data reflected in the financial statements: 1. On or before July 1st of each year, the City Manager submits a Proposed Budget to the City Commission for the fiscal year beginning the following October 1 st. The Budget includes proposed revenues and expenditures, and a description of capital activities for the ensuing fiscal year. - - - - - - 2. The City Commission then holds informal workshops. Each item in the budget is thoroughly discussed, and the public is invited to participate. 3. On or before September 30th of each year, the public hearings are completed and the Commission adopts the final budget and establishes the ad valorem tax millage. - - - - - - - - - - - - 21 1 r 162,306 !hR ?7R RR4 1,162,306 S;? ?n~ ?RR . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA NOTES TO FINANCIAL STATEMENTS - Continued September 30, 2000 Note 2 - Stewardship, Compliance and Accountability (Continued): Budget and Budgetary Accounting 4. The budget may be formally amended by the City Commission at any time. Budgeted amounts presented in the accompanying financial statements have been adjusted for legally authorized revisions of the annual budgets during the year. 5. The City Manager is authorized to transfer budgeted amounts between accounts within a department. At any time during the fiscal year, the City Manager may transfer part or all of any unencumbered appropriations among programs within one department. The legal level of budgetary control is the department level. Budget and actual comparisons by department for the individual funds are in the Combining and Individual Fund section. 6. Appropriations lapse at the end of the fiscal year. 7. The following schedule reconciles the amounts on the Combined Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual - All Governmental Funds to amounts on the Combined Statement of Revenue, Expenditures and Changes in Fund Balances - All Governmental Funds (GAAP basis ): Special Revenue Fund Type Revenlle~ FxpenditlJre~ GAAP basis Pass-through costs collected and remitted as agent in Solid Waste Fund Non-GAAP budgetary basis $5,114,358 $1,042,962 Deficit Fund Equity - The following funds had fund balance deficits at September 30, 2000: Oak Forest Maintenance Special Revenue Fund $(104), Oak Forest Debt Service Fund $(104), and the TLBD Improvement Capital Project Fund $(28,573). Excess of Expenditures over Appropriations - Actual expenditures exceeded budgeted appropriations in the following Special Revenue Funds: Fire Impact Fee Fund, the Solid Waste Fund, the TLB Maintenance Fund and the Oak Forest Maintenance Fund. Actual expenditures exceeded budgeted appropriations in the following Debt Service Funds: the 1999 Debt Service Fund and the Oak Forest Debt Service Fund and the following Capital Projects Funds: the 1997 Construction Fund and the TLBD Improvements Fund. 22 . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA NOTES TO FINANCIAL STATEMFNTS . ContinlU~d September 30, 2000 Note 3 . Cash and Investments: Following are the components of the City's cash and investments at September 30, 2000: Unrestricted Restricted Iatal Cash and cash equivalents Investments $11,009,485 8,210,990 9\1~ ??O 47S $4,294,517 1,091,382 9\S ~RS R~~ $15,304,002 9,302,372 9\?4 nOn ~7 4 Deposits - At September 30, 2000, the carrying amount of the City's deposits was $10,545,827 and the bank balance was $10,487,710. The bank balance was covered by federal depository insurance and by deposits held in banks that are members of the State of Florida Collateral Pool. The Florida Collateral Pool is a multiple institution pool with the authority to assess member institutions in the event of any collateral shortfall. For this reason, the City considers its deposits insured or collateralized. Investments - Investment in all fund types are stated at fair value, which is the amount for which an investment could be exchanged in a current transaction between willing parties, other than in a forced liquidation sale. Fair value is based on quoted market prices. Changes in the fair value of investments are recognized as revenue and included in investment income. .-. ... .-. ... - - - ... The City Charter and bond resolutions authorize the City to invest in direct obligations of or obligations guaranteed by the Department of Treasury of the United States of America, obligations of specific federal agencies of the United State of America, bonds, notes, or other evidence of indebtedness issued by the Federal National Mortgage Association or Federal Home Loan Mortgage Corporation, secured repurchase agreements, bankers' acceptance, money market, commercial paper, certificates of deposit, and the Local Government Surplus Funds Trust Fund. - - - -- - - The City's investments are categorized to give an indication of the level of risk assumed by the City at September 30, 2000: -- - Category 1 includes investments that are insured or registered for which the securities are held by the City or its agent in the City's name. Category,2 includes uninsured and unregistered investments for which the securities are held by a counterparty's trust department or agent in the City's name. Category 3 includes uninsured and unregistered investments for which the securities are held by a counterparty, its trust department or agent, but not in the City's name. 23 CITY OF WINTER SPRINGS, FLORIDA NOTES TO FINANCIAL STATEMENTS - Continued September 30, 2000 Note 3 - Cash and Investments (Continued): Investments (Continued) - Following is a summary of risk levels assumed by the City at September 30, 2000: Cateaorv 1 2 3 Carrying Amount Repurchase agreements U.S. Government securities Corporate bonds $ - $ 3,146,780 1 053 359 ~4 ?OO 11~ ~ - $4,758,175 $ 4,758,175 3,146,780 1,053,359 - ~4 7~R 17~ Pension funds investing in commingled bond and stock funds 5102233 ~14 ORO S47 Note 4 - Accounts Receivable: The following is an analysis of Accounts Receivable: Governmental Fund Tvpes Special Capital General Revenue Projects Proprietary Fiduciary Fund Fund Types ~ Pension Enterprise Funds Accounts receivable $31,981 $345,578 $14,194 $1,074,175 $2,643 Less: allowance for uncollectible accounts (83,925) (405,441 ) !l;~1 ~R1 $?R 1 RS~ !l;14 1~4 !l; RRR 7~4 !l;? R4~ Note 5 - Property Taxes: All property is reassessed according to its fair value on the lien date, or January 1 of each year. Taxes are levied on October 1 of each year. Discounts are allowed for early payment at the rate of 4% in the month of November, 3% in the month of December, 2% in the month of January, and 1 % in the month of February. The taxes paid in March are without discount. All unpaid taxes become delinquent on April 1 following the year in which they are assessed. On or around May 31 following the tax year, certificates are sold for all delinquent taxes on real property. 24 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA NOTES TO FINANCIAL STATEMENTS - Continued Note 5 - Property Taxes (Continued): September 30, 2000 The County bills and collects property taxes and remits them to the City. City property tax revenues are recognized when levied to the extent that they result in current receivables. The City is permitted by the Municipal Finance Law of the State to levy taxes up to $10.00 per $1,000 of assessed valuation. The combined tax rate to finance general governmental services for the year ended September 30, 2000, was $3.5495 per 1,000 which means that the City has a tax margin of 6.4505 per 1,000 and could raise up to $6,276,214 additional property tax revenue a year from the present assessed valuation of $972,981,000 before the limit is reached. Note 6 - Property, Plant and Equipment: During the fiscal year ended September 30, 2000, the following changes in general fixed assets occurred: Land Buildings Furniture and Equipment Vehicles Stormwater system Park and recreation Facilities Construction in Progress .- . .- ... - ... .-. - - - - - .-. ... - - - - - Balance 10-1.99 Deletions Balance 9-30.00 Additions $ 5,796,396 5,316,987 $ $ $ 5,796,396 5,316,987 2,641 ,420 2,217,036 5,640,702 2,240,132 1,889,000 5,640,702 450,717 333,861 49,429 5,825 2,758,177 2,758,177 3,869 g;?~ R4~ ?R~ 2,691,228 g;~ 47~ ROn 2,695,097 g;?7 OR~ R1~ g;~~ ?~4 Construction in progress for general fixed assets as of September 30, 2000 consisted primarily of parks and recreational facilities. The sources of investment in general fixed assets are as follows: General fund Special revenue funds Capital projects funds Prior year sources not available - - - - - - - $ 508,872 220,452 2,691,228 23 645,263 g;?7 OR~ R1 ~ 25 CITY OF WINTER SPRINGS, FLORIDA NOTES TO FINANCIAL STATEMENTS - Continued September 30, 2000 Note 6 - Property, Plant and Equipment (Continued): The components of property, plant and equipment for the Proprietary Fund Types at September 30, 2000, are as follows: Proprietary Fund Types Fnterprise Utility system Office building Office furniture and equipment Vehicles Land Construction in progress $34,603,164 637,546 793,769 688,142 4,409,062 105,272 41,236,955 (11,406,250) $?q R:10 705 Less: accumulated depreciation Note 7 - Pension Plans: Effective October 1, 1997, the City adopted a defined benefit plan and amended and restated its Money Purchase Pension and Trust, integrating the two plans for purposes of providing minimum projected retirement benefits (referred to as a "floor-offset") that cover substantially all full time employees of the City. These plans are maintained as pension trust funds and included as part of the City's reporting entity. Neither plan issues a stand-alone financial report. Under a floor-offset, the projected monthly benefit being provided to the participant under the Money Purchase Pension Plan and Trust is compared to the anticipated projected monthly benefit using the defined benefit formula's minimum benefit, or 2% per year of service up to a maximum of 30 years, subject to certain dollar limitations depending on age at time of retirement. If there are insufficient funds in the Money Purchase Pension Plan and Trust to provide the minimum benefit, then the defined benefit plan will provide the difference between the minimum benefit and the projected monthly benefit provided by the Money Purchase Pension Plan and Trust. Summary of Significant Accounting Policies: Basis of Accounting - The Plans' financial statements are prepared using the accrual basis of accounting. Plan member contributions are recognized in the period in which the contributions are due. Employer contributions to each Plan are recognized when due and the employer has made a formal commitment to provide the contributions. Benefits and refunds are recognized when due and payable in accordance with the terms of each plan. 26 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA NOTES TO FINANCIAL STATEMENTS - ContinllP-d September 30, 2000 Note 7 - Pension Plans (Continued): Summary of Significant Accounting Policies (Continued): Method Used to Value Investments - Investments are reported at fair value. Short-term investments are reported at cost, which approximates fair value. Securities traded on a national or international exchange are valued at the last reported sales price at current exchange rates. Investments that do not have an established market are reported at estimated fair value. Employee 401(a) Pension Plan- Plan Description - The City maintains a single employer, defined contribution plan (Money Purchase Pension Plan and Trust), which was adopted in August 1993, and amended and restated on October 1, 1997. This is a tax-qualified plan pursuant to Section 401 (a) if the Internal Revenue Code and is administered by an outside party acting as agent for the City. Benefits are established by the Board of Trustees of the Money Purchase Pension Plan and Trust and may be amended by resolution of the City Commission. The Board of Trustees of this plan are appointed by the City Commission. Employees are eligible to participate in the plan on the first day of the month immediately following the date six months after commencement of employment. After three continuous years of employment with the City, the amount credited to the contribution account of an employee shall vest according to the completed number of employment years preceding the date of termination. After three years of continuous employment, a member is 20% vested, increasing by 20% each year thereafter to a maximum of 100%. The plan permits withdrawals for retirement, termination and disability but does not allow participants to borrow against their accounts. .- ... .-. ... .-. ., Funding Policy - The City is obligated by the plan document to make a contribution equal to at least 4% of the annual compensation of each member of the plan. Additionally, it is the policy of the City to fund pension costs in installments equally divided among the employee pay periods. - - .-. - Employees contributed 2% of their gross pay to the plan. -. - - - - - - - For the year ended September 30, 2000, the City's contribution was $227,423 and employee'contributions were $124,745. -. - - - -. - 27 -. CITY OF WINTER SPRINGS, FLORIDA NOTES TO FINANCIAL STATEMENTS - Continllp.d September 30, 2000 Note 7 - Pension Plans (Continued): Defined Benefit Plan - Plan Description - Effective October 1, 1997, employees of the City participate in a defined benefit, single-employer retirement plan (the "Defined Benefit Plan"), formed by agreement between the City and Board of Trustees of the City of Winter Springs ("Board of Trustees"). The Board of Trustees of this plan are appointed by the City Commission. All City employees are eligible to participate in the plan on the first day of the month immediately following the date six months after commencement of employment. Employees who have reached the age of 65, or have reached the age of 55 and have completed at least 10 years of service are, entitled to a retirement benefit payable monthly for life, equal to 2% of their average compensation multiplied by their years of service at age 65 up to a maximum of 30 years, subject to certain dollar limitations depending on age at time of retirement. Average compensation is the average of the three highest consecutive paid compensation periods, which is the 12-month period ending on the last day of the plan year. Employees who have at least 25 years of credited service may also elect to retire prior to reaching age 55 and receive reduced retirement benefits. Benefits are established by the Board of Trustees of the Defined Benefit Plan, and may be amended by resolution of the City Commission. The Defined Benefit Plan is administered by an outside third party acting as agent for the City. Participants are credited with units of benefit credit for hours of service worked in a plan year. Benefits fully vest upon reaching normal retirement age of 65, or upon separation of service resulting from death, disability or eligibility for an early retirement pension. Funding Policy - The City is obligated to contribute to the Defined Benefit Plan in accordance with actuarially determined contributions; there is no requirement for employees to contribute to the Defined Benefit Plan. The City's actual contributions to the Defined Benefit Plan for the year ended September 30, 2000 were $254,646 which was in accordance with the required contribution for the fiscal year as determined by the October 1, 1998 actuarial valuation; no pension asset or liability exists at September 30, 2000. Plan forfeitures are used to reduce the City's contributions for future plan years. Membership in the Defined Benefit Plan consisted of the following at October 1, 1998, the date of the only actuarial valuation performed since inception of the plan on October 1, 1997: Retirees and beneficiaries receiving benefits 4 Terminated plan members entitled to but not receiving benefits 9 Active plan members: Vested 202 Non-vested ----3 21B 28 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA NOTES TO FINANCIAl STATEMENTS - Continued September 30, 2000 Note 7 - Pension Plans (Continued): Annual Pension Cost and Net Pension Obligation - The City has contributed the Annual Required Contribution (ARC) since inception of the plan on October 1, 1997, and thus has not had or had need to report, a Net Pension Obligation (NPO). Required supplementary information is as follows: Schedule of Contributions from the Employer Fiscal year Annual Required Percentage of e.nd.ed Contribution (ARC) ARC Contribution 9/30/00 9/30/99 9/30/98 $254,646 298,000 349,289 100% 100% 100% Schedule of Funding Progress Actuarial value of plan assets Actuarial accrued liability Unfunded actuarial liability Actuarial value of assets as a percentage of the actuarial accrued liability Annual covered payroll Ratio of the unfunded actuarial liability to covered payroll Valuation Date October 1, 1998 $ 354,453 1,772,673 1,418,220 20.0% 4,936,762 28.7% Notes to Required Supplementary Information - The information presented in the required supplementary schedules was determined as part of the actuarial valuation at the date indicated. Additional information as of the latest (October 1, 1998) actuarial valuation follows: Assumptions: Investment Earnings Salary Increases - Inflation Postretirement Benefit Increases Mortality Table 8% 3% 0% 1983 Group Annuity Mortality Table .-. ... .-. - .-. - - ... - - - - - - Actuarial Valuation: Frequency Cost Method Amortization Method Amortization Period Asset Valuation Method Biennial Frozen Entry Age Level Percentage 40 Years Open Market Value 29 September 30, 2000 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA NOTES TO FINANCIAL STATEMENTS - Continued Note 8 - Deferred Compensation Plan: All employees of the City may voluntarily elect to participate in one of two available deferred compensation plans created in accordance with Internal Revenue Code Section 457. The plans are administered by Public Employees Benefits Service Corporation (PEBSCO) and ICMA Retirement Corporation. The plans permit participants to defer a portion of their salary until future years. The deferred compensation is not available to employees until termination, retirement, death, or unforeseeable emergency. Effective December 1, 1998, all assets in the deferred compensation plan were transferred to a separate trust in accordance with section 1448 of the Small Business Jobs Protection Act of 1996. As a result, such amounts are not presented on the balance sheet at September 30, 2000. Note 9 - Bonds and Notes Payable: Changes in General Long-Term Debt - Following is a summary of changes in general long- term debt for the year ended September 30, 2000: Improvement Refunding Revenue Bonds: Series 1993 Series 1999 Improvement Revenue Bonds: Series 1997 Capital Improvement Revenue Notes Accrued Compensated Absences Capital Lease Payable Total Balances October 1, .1S99. Balances September Deletions 30, 2000 Additions $ 8,590,000 7,998,970 $ $ 45,000 165,000 $ 8,545,000 7,833,970 470,000 110,000 360,000 1,619,500 1,619,500 680,994 122,312 $17 RR? ?7R 155,223 836,217 97,038 $1 q ?q1 7?~ 25,274 $~4~ ?74 $1 774 7?~ 30 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA NOTES TO FINANCIAL STATEMENTS - Continued September 30, 2000 Note 9 - Bonds and Notes Payable (Continued): Improvement Refunding Revenue Bonds and Improvement Revenue Bonds - The major provisions of the resolutions authorizing Improvement Refunding Revenue Bonds and Improvement Revenue Bonds are as follows: 1. Establishment and maintenance of various funds. The Debt Service Fund records all the debt service requirements of the issue, and includes the sinking fund and reserve accounts. 2. Restriction on the use of cash in order of priority. a. Payment of current debt service requirements. b. Payment of reserve requirements up to the maximum of $888,121 for the Series 1993 bonds. c. Any remaining revenue can be used for any lawful purpose. 3. Early redemption. The bond resolutions provide for the City's optional early redemption of outstanding bonds at call rates varying from 100% to 102% of the instrument's face value plus accrued interest, depending on the call date. The redemption period began October 1, 1998 for the Series 1997 bonds, and will begin October 1, 2004 for the Series 1993 bonds and October 1, 2009 for the Series 1999 bonds. 4. Investment restrictions. Debt Service Fund and Excise Tax Fund monies may be invested in authorized investment securities which mature not later than the dates on which the monies on deposit will be needed for the purpose of such fund. Reserve Account monies may be invested in securities maturing not later than five years from the date of their deposit into the Reserve Account. 5. Pledge of revenues. The bonds and related interest are payable solely from and collateralized by a lien on the Public Service Tax that the City is entitled to levy on certain utility sales and Franchise Fees levied by the City for a 30-year electric franchise granted by the City in 1984. .- . . .- ... .-. ... 31 CITY OF WINTER SPRINGS, FLORIDA NOTES TO FINANCIAl STATEMENTS - Continued September 30, 2000 Note 9 - Bonds and Notes Payable (Continued): Improvement Refunding Revenue Bonds and Improvement Revenue Bonds - The Improvement Refunding and Improvement Revenue Bonds consisted of the following at September 30,2000. Interest Rates and .Dates Maturity Principal Balance Outstanding at September 30,2000 Original Amount Improvement Refunding Revenue Bonds - Series 1993 3.90%-5.5% (4/1 & 10/1) 10/1/99 - 10/1/18 $q ~0!1 000 $ R fi4!1 000 Subordinate Improvement Revenue Bonds - Series 1997 4.89% (4/1 & 10/1) 10/1/99 - 10/1/02 $ fi7fi 000 $ ~00 000 Improvement Refunding 3.25%-5.25% 10/1/10- Revenue Bonds - Series 1999 (4/1 & 10/1) 10/1/29 $7 qqR q70 $ 7 R~~ Q70 Capital Improvement Revenue Notes, Series 2000A and 2000B - In June 2000, the City issued these notes to finance the acquisition of a data processing system, a medical transport vehicle and the construction of the Oak Forest subdivision wall. Capital Improvement Revenue Note, Series 2000A - payable in five annual principal and interest payments of $204,742 through June 2005. Interest is at 4.67% $ 896,238 Capital Improvement Revenue Note, Series 2000B - payable interest only at 4.67% through June 2004 and balloon principal payment with interest due June 2005. 723,262 $1 01 Q fiQO 32 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA NOTES TO FINANCIAL STATFMENTS - Continued September 30, 2000 Note 9 - Bonds and Notes Payable (Continued): Water and Sewer Refunding Revenue Bonds and Water and Sewer Revenue Bonds - The major provisions of the resolutions authorizing the Water and Sewer Refunding Revenue Bonds and Water and Sewer Revenue Bonds are as follows: 1. Establishment and maintenance of various funds. a. The Revenue Fund records all gross revenues derived from operation of the utility. b. The Debt Service Fund (including principal, interest and redemption accounts) records all monies to meet current debt service and reserve requirements. c. The Utility Renewal and Replacement Fund records monies for paying the cost of extensions, enlargements, additions or replacement of capital assets of the utility. 2. Restrictions on the use of cash from operating revenue on order of priority. a. Transfer of developer agreement payments into a Developer Agreement Payments Account. b. Payment of current operating and maintenance expenses. c. Payment of current debt service and reserve requirements. d. Payments to Renewal and Replacement Funds at one-twelfth of 5% of gross revenues received in the preceding fiscal year, until the amount on deposit equals or exceeds: Five percent of gross revenues of the preceding fiscal year attributable to the west utility plant. 3. Early redemption. .- ... Early redemption is provided for at a call rate varying from 100% to 102% of the face amount of the bonds. . . .-. ... .-. - - - .-. - - - - - - - 33 34 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA NOTFS TO FINANCIAl STATEMENTS - ContinllAd September 30, 2000 Note 9 - Bonds and Notes Payable (Continued): 4. Investment restrictions. Water and Sewer Refunding Revenue Bonds, Series 1991: a. The Revenue Fund and the Debt Service Fund may invest in investment securities, which mature not later than the dates on which the monies on deposits therein will be needed for the purpose of such fund. b. The Renewal and Replacement Fund may invest in investment securities with no more than five years maturity. c. The Reserve Account of the Debt Service Fund may invest in investment securities, which mature no later than the last maturity date of the bonds. Water and Sewer Refunding Revenue Bonds, Series 1992 and Water and Sewer Subordinate Revenue Bonds, Series 1997: Monies in any fund or account may be invested in investment securities, which mature no later than dates on which the monies will be needed for the purpose of such fund or account 5. Pledge of revenues. The bonds are payable solely from all collateralized by the next revenues of the system. Net revenues include all rates and charges received from customers, connection reservation fees and interest or investment income, less costs for operation and maintenance of the systems. In addition, for the Water and Sewer Revenue Bonds, new revenues include amounts received under a certain 10-year developer agreement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA NOTES TO FINANCIAL STATEMENTS - Continup.d September 30, 2000 Note 9 - Bonds and Notes Payable (Continued): The Water and Sewer bonds consisted of the following at September 30, 2000: Principal Balance Interest Outstanding Rates and Original at September Dp.~r.ription Dates Maturity Amount ~O,2000 Water and Sewer Refunding 5.75%-6.75% 10/1/98 - Revenue Bonds - Series 1991 (4/1&10/1) 10/1/21 $ 6,915,000 $ 6,055,000 Less original issue discount - net of amortization (125,261 ) 6,915,000 5,929,739 Water and Sewer Refunding 4.55%- Revenue Bonds - Series 1992 6.125% 10/1/98 - (4/1 & 10/1) 4/1/20 16,015,000 14,290,000 Less original issue discount - net of amortization (124,211) 16,015,000 14,165,789 Subordinate Water and Sewer 5.81% 10/1/98 - Revenue Bonds - Series 1997 (4/1 & 10/1) 10/1/07 3,025,000 2,540,000 Total ~?~ ~~~ 000 22,635,528 Less current portion (790,000) Long-term portion ~?1 R4~ ~?R Obligation Under Utility Agreement - In connection with City's acquisition of the assets of Seminole Utility Company during fiscal year ended September 30, 1990, the City entered into an agreement with the seller whereby the City is obligated to pay the seller for future connections to the east utility plant, up to a maximum of $4,967,020 over a period of 15 years. The City has paid $2,064,574 for these connections through September 30,2000. At September 30, 2000, outstanding balances were as follows: .- ... . Estimated accrual for remainder of obligation Less current portion $346,000 (188,000) .- ... - ... .-. - .-. - Long-term portion at September 30,2000 ~1~R 000 35 Year Ended Sept 30 2001 2002 2003 2004 2005 $ 164,632 170,576 178,542 186,880 918,870 $1 RH~ SOO . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA NOTES TO FINANCIAL STATEMENTS - Continued September 30, 2000 Note 9 - Bonds and Notes Payable (Continued): Annual Requirements to Maturity - The annual debt service requirements to amortize all bonded debt of the City as of September 30, 2000 are as follows: Year Ended General Long-Term Debt Enterprise Fund Total Sept 30 Principal Interest Principal Interest Debt Service 2001 $ 360,000 $ 654,635 $ 795,000 $ 1,354,751 $ 3,164,386 2002 385,000 638,010 840,000 1,309,761 3,172,771 2003 415,000 619,868 880,000 1,262,069 3,176,937 2004 445,000 597,560 925,000 1,211,683 3,179,243 2005 470,000 576,703 985,000 1,157,167 3,188,870 2006-2010 2,840,000 2,525,757 5,000,000 4,894,119 15,259,876 2011-2015 4,035,000 1,657,581 5,290,000 3,409,710 14,392,291 2016-2020 4,707,880 2,166,111 7,200,000 1,486,097 15,560,088 2021-2025 1,759,998 4,677,344 970,000 33,750 7,441,092 2026-2030 1,321,092 4,074364 5,395,456 $1R 7~R Q70 $1R 1R7 Q~~ $?? RRS 000 $18 11Q 107 $7~ Q~1 010 Following is the maturity schedule of principal payments due on the Capital Improvement Revenue Notes payable: 36 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA NOTES TO FINANCIAl STATEMFNTS - ContinlU~d September 30, 2000 Note 10 - Lease Obligations: Capital Leases - The City has entered into a lease agreement as lessee for financing the acquisition of a medical transport vehicle. This lease agreement qualifies as a capital lease for accounting purposes and, therefore, has been recorded at the present value of the future minimum lease payments as of the date of their inception in the General Fixed Asset Account Group. Equipment under capital leases recorded in the General Fixed Asset Account Group at September 30, 2000 consists of the following: Medical Transport Vehicle $134,568 Debt service payments on equipment capitalized in the General Fixed Asset Group are recorded as expenditures in the Medical Transport Special Revenue Fund. The following is a schedule by years of future minimum lease payments under the capital lease, together with the present value of the net minimum lease payments as of September 30: Year Ending September ~O. 2001 2002 2003 2004 Total Minimum Lease Payments Less, Amount Representing Interest Present Value of Net Minimum Lease Payments $30,056 30,056 30,056 15,028 105,196 (7,158) ~~7 O~8 .- . . .-. ... .-. ... .-. ... .-. ... .-. ... .-. - - - .-. - - - - - 37 CITY OF WINTER SPRINGS, FLORIDA NOTES TO FINANCIAL STATEMENTS - Continued September 30, 2000 Note 11 - Interfund Receivables and Payables: Interfund Payables . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . The following schedule as of September 30, 2000, represents interfund receivables and payables: Fund Type I nterfund Receivables General Fund Special Revenue Funds: Police Education Fund Streetlighting Fund Solid Waste Fund Stormwater Utility Fund Public Service Tax Fund Excise Tax Fund Electric Franchise Fund Medical Transport Fund TLSD Maintenance Fund Oak Forest Maintenance Fund Debt Service Funds: Oak Forest Debt Service Fund Capital Project Funds: 1997 Construction Fund 1999 Construction Fund Information System Project Fund TLSD Improvement Fund Oak Forest Capital Fund Enterprise Fund $2,196,169 17,152 2,436 632,989 403,567 893,564 19,317 636,643 208 609,635 $f) 411 flR 1 Note 12 - Risk Management: $1,265,865 1 1 09,180 301,896 1,053,596 1 58 226,866 104 104 77 36,689 376,062 111,063 1,930,120 $f) 411 flR 1 The City is exposed to various risks of loss related to torts; theft of, damage to and destruction of assets; errors and omissions; job-related illnesses or injuries to employees; and natural disasters. Risk of loss from the above is transferred by the City to various commercial insurers through the purchase of insurance. There has been no significant reduction in insurance coverage from the previous year. There have been no settlements in excess of insurance coverage in any of the prior three fiscal years. 38 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA NOTES TO FINANCIAL STATEMENTS - Continllp.d September 30, 200 Note 13 - Contributed Capital: Contributed capital recorded in the Enterprise Fund at September 30, 2000 includes Contributions in Aid of Construction (CIAC) and utility system equipment donated by customers and developers. CIAC represents advances made to the west utility plant by its customers and developers prior to its acquisition by the City on October 6, 1984. The City records as contributed capital equipment donated by developers upon physical connection to the water and sewer system. Changes to contributed capital during the year ended September 30,2000 were as follows: Balance at September 30,1999 Equipment donated by developers for Water and Sewer connections $7,897,656 1,287,747 Balance at September 30,2000 S;~ 1 Rfi 40~ Note 14 - Summary Disclosure of Significant Contingencies: Grants - Amounts received or receivable from grantor agencies are subject to audit and adjustment by grantor agencies. If any expenditures are disallowed as a result of these audits, the claims for reimbursement to the grantor agency would become a liability of the City. In the opinion of management, any such adjustments would not be significant. Litigation - During the ordinary course of its operations, the City is a party to various claims, legal actions, and complaints. In the opinion of the City's management and legal counsel, these matters are not anticipated to have a material financial impact on the City. Note 15 - Commitments: At September 30, 2000, the City had entered into contracts for construction in the amount of $134,786. Note 16 - Subsequent Events: .- . In October of, 2000, the City issued $6,969,191 of Water and Sewer Refunding Revenue Bonds. The City issued bonds to provide funds for various construction and improvements to the City's water and sewer system and to realize interest savings from refunding approximately 2.2 million in Subordinate Water and Sewer Revenue Bonds, Series 1997. The bonds mature in 2030. The bonds are comprised of Current Interest Bonds and Capital Appreciation Bonds with interest rates that range from 5.50% - 5.98%. The bonds were structured to achieve a level debt service. Combined debt service for the Water and Sewer Series 1991, 1992 and 2000 is approximately $1,975,000 a year through 2030. . . . . .- . .-. ... .-. ... Effective October 1, 2000, the City's 401 (a) plan discussed in Note 7 was terminated and used to buy additional benefits in the City's Defined Benefit Plan. 39 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . This page intentionally left blank. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . COMBINING AND INDIVIDUAL FUND AND ACCOUNT GROUP STATEMENTS These financial statements provide a more detailed view of the "General Purpose Financial Statements" presented in the preceding subsection. Combining statements are presented when there are more than one fund of a given fund type. ... ... .-. ... .-. - . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . This page intentionally left blank. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . GENERAL FUND The General Fund is used to account for resources traditionally associated with government which are not required legally or by sound financial management to be accounted for in another fund. .- . . .-. ... a .. . - ... - - .-. - - - - - - - .- - . . CITY OF WINTER SPRINGS, FLORIDA . STATEMENT OF REVENUE. EXPENDITURES AND . CHANGES IN FUND BALANCES - BUDGET AND ACTUAL . GENERAL FUND . For the Year Ended September 30,2000 . . Variance . Favorable Budget Actual (Unfavorable) . . Revenues: . Taxes: Property taxes $ 3,358,469 $ 3,324,427 $ (34,042) . Franchise taxes 294,000 278,678 (15,322) . 3,652,469 3,603,105 (49,364) Licenses and permits: . Building permits 459,000 465,049 6,049 . Occupational licenses 105,000 116,609 11,609 564,000 581,658 17,658 . Intergovernmental revenues: . Sales tax 1,848,637 1,908,108 59,471 State revenue sharing 629,130 647,332 18,202 . Other state shared revenue 350,175 238,355 (111,820) . Other county shared revenue 36,525 36,525 . Federal grants 221,232 201,284 (19,948) 3,085,699 3,031,604 (54,095) . Charges for services: . Concession stand receipts 75,000 86,800 11 ,800 Program activity fees 48,000 54,738 6,738 . Rental and other 29,700 67,119 37,419 . 152,700 208,657 55,957 Fines and forfeitures: . Fines and forfeitures 235,000 235,793 793 . Tree bank 25,000 30,421 5,421 260,000 266,214 6,214 . Investment Income 190,000 132,194 (57,806) . . Miscellaneous revenues 75,000 13,639 (61,361 ) . Total revenue $ 7,979,868 $ 7,837,071 $ (142,797) . . . . . . . . . . . 40 . . . . . . . . . Variance . Favorable Budget Actual (Unfavorable) A - . Expenditures: . Current: General government- . Commission 120,100 105,663 14,437 . Various boards 10,675 5,847 4,828 City manager 308,114 223,256 84,858 . City clerk 152,459 125,224 27,235 . Finance 403,341 436,256 (32,915) Personnel 65,894 65,332 562 . Information services 465,698 341 ,889 123,809 . Purchasing 279,939 257,373 22,566 Utility billing 465,547 458,186 7,361 . Engineering 103,106 82,269 20,837 . Community development 424,926 232,884 192,042 Land management 91,269 74,792 16,477 . General government 370,500 325,007 45,493 . 3,261,568 2,733,978 527,590 . Public safety- Police 3,189,479 3,172,656 16,823 . Fire 2,080,415 1,993,115 87,300 . Building 291,907 289,869 2,038 Code enforcement 145,175 131,373 13,802 . 5,706,976 5,587,013 119,963 . Physical environment- Public works 1,323,063 1,277,623 45,440 . . Culture and recreation- Recreation 1,209,052 1,200,702 8,350 . Total expenditures 11,500,659 10,799,316 701,343 . Excess (Deficiency) of Revenues . Over Expenditures (3,520,791) (2,962,245) 558,546 . Other Financing Sources (Uses) . Operating transfers in 3,036,825 3,455,698 418,873 . Net other financing sources(uses) 3,036,825 3,455,698 418,873 . Excess (Deficiency) of Revenues .- and Other Sources Over ... .-. Expenditures and Other Uses (483,966) 493,453 977,419 ... . Fund Balances - Beginning of Year 2,829,776 2,829,776 .- ... Fund Balances - End of Year $ 2,345,810 $ 3,323,229 $ 977,419 A ... .-. - 41 .-. - SPECIAL REVENUE FUNDS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Special Revenue Funds are used to account for revenues from specific taxes or other earmarked revenue sources, which are legally restricted to expenditures for particular purposes. The City has the following special revenue funds: Police Education Fund Special Law Enforcement Trust Fund Transportation Improvement Fund Recreation Acquisition Fund Streetlighting Fund Solid Waste Fund Stormwater Utility Fund Public Service Tax Fund Excise Tax Fund - This fund is used to account for the costs of educational expenses for police officers. It is funded by a portion of the collections from fines and forfeitures. This fund was established to receive revenues derived from confiscated property obtained during the enforcement of illegal operations. Proceeds are utilized strictly for law enforcement purposes, exclusive of salaries and vehicles. Such purposes may include drug education programs such as DARE. - Revenues in this fund are derived from Local Option Gasoline Tax distribution. Proceeds are to be used for road, right of way, and drainage maintenance and equipment necessary to build or maintain roads, right of ways, and drainage. - This fund was established to record funds received from new developers for the acquisition of land for recreational purposes in lieu of land donated by these developers for recreational purposes. - This fund was established to record proceeds of special streetlighting maintenance districts made up of various subdivisions of Country Club Village. Proceeds are used to pay for lighting and administrative costs. - This fund is used to account for proceeds from billed solid waste and recycling performed by contract vendors. Proceeds are used to pay monthly vendor charges for providing solid waste and recycling services. - This fund was established due to a comprehensive development plan to charge for the establishment and maintenance of stormwater utility systems. Proceeds are used to pay for the maintenance of the City's stormwater system. - The Public Service Tax fund is used to account for collections of utility taxes charged on electric, water, phone, and gas services. Proceeds are used to pay annual debt service and monies not required to pay debt service are transferred to the General Fund. - This fund is a pass- through fund that receives electric franchise fees submitted to the City in conjunction with the City's electric franchise agreements. Proceeds are transferred to the Electric Franchise Fee Fund. . . . . Electric Franchise . Fee Fund . . Transportation . Impact Fee Fund . . Police Impact Fee . Fund . . Fire Impact Fee . Fund . . Medical Transport Fund . . TLBD . Maintenance . Fund . Oak Forest . Maintenance . Fund . .-. . a. - .-. ... - - - - - - - - - - - - - - - - -- SPECIAL REVENUE FUNDS - This fund is used to account for proceeds of the excise tax fund. These proceeds are used to pay annual debt service. Any excess monies not used to pay debt service are transferred to the General Fund. - This fund is used to account for collected impact fees on new development to defray the cost of future road construction as a result of growth. This fund is used to account for collected impact fees on new development to defray the cost of capital investment needed to maintain level of police service due to future growth. - This fund is used to account for collected impact fees on new development to defray the cost of capital investment needed to maintain level of fire service due to future growth. - This fund is used to receive revenues generated from fees charged for paramedic services. The proceeds from this fund are used to pay for the incremental costs related to providing these services. - This fund is used to account for collected special assessments for maintenance related to the Tuscawilla Lighting and Beautification District. - This fund is used to account for collected special assessments for maintenance related to the Oak Forest subdivision wall. . . CITY OF WINTER SPRINGS, FLORIDA . COMBINING BALANCE SHEET . ALL SPECIAL REVENUE FUNDS . . September 30,2000 . . . Police Special Law Transportation Recreation . Education Enforcement Improvement Acquisition Fund Trust Fund Fund Fund . Assets: . Cash and cash equivalents $ 11 ,565 $ 4,894 $ 66,767 $ 27,956 . Investments . Receivables . Due from other governments 17,401 Due from other funds 1 7,1 52 . Total assets $ 28,717 $ 4,894 $ 84,168 $ 27,956 . . . Liabilities and Fund Balances: . Liabilities: Accounts payable $ 295 $ $ 5,133 $ . Accrued liabilities . Due to other funds Total liabilities 295 5,133 . Fund Balances: . Reserved: . Encumbrances . Unreserved 28,422 4,894 79,035 27,956 . Total fund balances 28,422 4,894 79,035 27,956 . Total liabilities and fund balances $ 28,717 $ 4,894 $ 84,168 $ 27,956 . . . . . . . . . . . . . . 42 . . . . . . . . . . Stormwater Public Electric . Streetlighting Solid Waste Utility Service Excise Franchise . Fund Fund Fund Tax Fund Tax Fund Fee Fund . . $ $ $ 164,075 $ $ $ 768 . 161,926 . . 2,436 632,989 403,567 893,564 . $ 2,436 $ 632,989 $ 567,642 $ 1,055,490 $ $ 769 . . . . $ $ $ 25,269 $ $ $ 710 1,260 . 109,180 301,896 1,053,596 58 . 109,180 328,425 1,053,596 768 . . . 1,045 2,436 523,809 238,172 1,894 . . 2,436 523,809 239,217 1,894 . $ 2,436 $ 632,989 $ 567,642 $ 1,055,490 $ $ 769 . .-. ... .-. - .-. . - - - - - - - - - - - (Continued) - - - - -- - -- 43 - -- . . CITY OF WINTER SPRINGS, FLORIDA . COMBINING BALANCE SHEET . ALL SPECIAL REVENUE FUNDS . . September 30, 2000 . . . Transportation Police Fire Medical . Impact Impact Impact Transport Fee Fund Fee Fund Fee Fund Fund . Assets: . Cash and cash equivalents $ 768,539 $ 215,163 $ 304,118 $ 459,199 . Investments 1,053,359 . Receivables 99,727 . Due from other governments Due from other funds . Total assets $ 1,821,898 $ 215,163 $ 304,118 $ 558,926 . . . Liabilities and Fund Balances: . Liabilities: Accounts payable $ 73,745 $ $ $ 3,143 . Accrued liabilities . Due to other funds 226,866 Total liabilities 73,745 230,009 . Fund Balances: . Reserved: . Encumbrances . Unreserved 1,748,153 215,163 304,118 328,917 . Total fund balances 1,748,153 215,163 304,118 328,917 . Total liabilities and fund balances $ 1,821,898 $ 215,163 $ 304,118 $ 558,926 . . . . . . . . . . . . . . 44 . . . . . . . . . . TLBD Oak Forest . Maintenance Maintenance . Fund Fund Total . . $ 269,325 $ - $ 2,292,370 . 1,053,359 261,653 . 17,401 . 19,317 1,969,026 . $ 288,642 $ - $ 5,593,809 . . . . $ 60 $ - $ 108,355 1,260 . 104 1,691,701 . 60 104 1,801,316 . . . 1,045 288,582 (104) 3,791,448 . . 288,582 (104) 3,792,493 . $ 288,642 $ - $ 5,593,809 . . . . . . . . . . . . .-. ... 45 .- - . . CITY OF WINTER SPRINGS, FLORIDA . COMBINING STATEMENT OF REVENUES, . EXPENDITURES AND CHANGES IN FUND BALANCES . ALL SPECIAL REVENUE FUNDS . For the Year Ended September 30, 2000 . . Police Special Law Transportation Recreation . Education Enforcement Improvement Acquisition . Fund Trust Fund Fund Fund . Revenues: . Taxes and special assessments $ $ $ $ . Licenses, permits, and fees Intergovernmental revenues 219,118 . Charges for services Fines and forfeitures 30,243 1,900 . Investment income 39 41 495 855 . Miscellaneous revenues Total revenues 30,282 1,941 219,613 855 . . Expenditures: . Current: . General government Public safety 15,750 1,000 . Physical environment 251,485 . Debt Service: Principal retirement . Interest and fiscal charges . Issuance costs Total expenditures 15,750 1,000 251,485 . Excess (Deficiency) of Revenues . over Expenditures 14,532 941 (31,872) 855 . . Other Financing Sources (Uses): . Operating transfers in Operating transfers out . Note proceeds . Net other financing sources (uses) . Excess (Deficiency) of Revenues and . Other Financing Sources over Expenditures and Other Financing Uses 14,532 941 (31,872) 855 . Fund Balance - Beginning of Year 13,890 3,953 110,907 27,101 . Fund Balance - End of Year $ 28,422 $ 4,894 $ 79,035 $ 27,956 . . . . . . . 46 . . . . . . . . . . Stormwater Public Electric . Streetlighting Solid Waste Utility Service Excise Franchise Fund Fund Fund Tax Fund Tax Fund Fee Fund . . $ $ $ $ 2,074,285 $ 1,123,082 $ . . 10,750 7,095 340,200 335,866 . . 6,919 14,432 8,816 . 7,095 340,200 353,535 2,088,717 1,123,082 8,816 . . . 6,176 7,180 288,822 1,424 . . . . . 6,176 7,180 288,822 1,424 . . 919 333,020 64,713 2,088,717 1,123,082 7,392 . . 1,123,082 . (102,000) (9,160) (2,215,299) (1,123,082) (1,145,259) . (102,000) (9,160) (2,215,299) (1,123,082) (22,177) . . . 919 231 ,020 55,553 (126,582) (14,785) . 1,517 292,789 183,664 128,476 14,786 . $ 2,436 $, 523,809 $ 239,217 $ 1,894 $ $ . . . (Continued) . . .- . 47 . . . CITY OF WINTER SPRINGS, FLORIDA . COMBINING STATEMENT OF REVENUES, . EXPENDITURES AND CHANGES IN FUND BALANCES . ALL SPECIAL REVENUE FUNDS . For the Year Ended September 30, 2000 . . Transportation Police Fire Medical . Impact Impact Impact Transport . Fee Fund Fee Fund Fee Fund Fund . Revenues: . Taxes and special assessments $ $ $ $ Licenses, permits, and fees 247,041 62,656 40,233 . Intergovernmental revenues . Charges for services 182,084 Fines and forfeitures . Investment income 95,817 3,717 5,816 12,836 . Miscellaneous revenues 37 Total revenues 342,858 66,373 46,049 194,957 . . Expenditures: . Current: . General government Public safety 6,102 198,130 . Physical environment 233,672 . Debt Service: Principal retirement 25,274 . Interest and fiscal charges 4,782 Issuance costs 1,658 . Total expenditures 233,672 6,102 229,844 . Excess (Deficiency) of Revenues . over Expenditures 109,186 66,373 39,947 (34,887) . . Other Financing Sources (Uses): . Operating transfers in Operating transfers out . Note proceeds 137,571 . Net other financing sources (uses) 137,571 Excess (Deficiency) of Revenues and . Other Financing Sources over . Expenditures and Other Financing Uses 109,186 66,373 39,947 102,684 . Fund Balance - Beginning of Year 1,638,967 148,790 264,171 226,233 . Fund Balance - End of Year $ 1,748,153 $ 215,163 $ 304,118 $ 328,917 . . . . . . . 48 . . . . . . . . . . TLBD TLBD Oak Forest . Improvement Maintenance Maintenance Fund Fund Fund Total . . $ $ 279,363 $ $ 3,476,730 . 349,930 . 229,868 865,245 . 32,143 . 10,622 160,405 37 . 289,985 5,114,358 . . . 1,403 104 305,109 . 220,982 485,157 . . 25,274 4,782 . 1,658 . 1 ,403 104 1,042,962 . 288,582 (104 ) 4,071,396 . . . 1,123,082 . (153,789) (4,748,589) 137,571 . (153,789) (3,487,936) .- ... . (153,789) .- 288,582 (104) 583,460 ... - 153,789 3,209,033 ... .- $ $ ,288,582 $ (104) $ 3,792,493 ... .-. ... - - .-. - - ... - - - - 49 - - . . CITY OF WINTER SPRINGS, FLORIDA . COMBINING STATEMENT OF REVENUE, EXPENDITURES AND . CHANGES IN FUND BALANCES - BUDGET AND ACTUAL . SPECIAL REVENUE FUNDS . For the Year Ended September 30,2000 . . Police Education Fund . Variance Favorable . Budget Actual (Unfavorable) . Revenues: . Taxes and special assessments $ $ $ . Licenses, permits, and fees Intergovernmental revenues . Charges for services . Fines and forfeitures 30,000 30,243 243 Investment Income 50 39 (11 ) . Miscellaneous . Total revenue 30,050 30,282 232 . Expenditures: . Current: General government . Public safety 35,000 15,750 19,250 . Physical environment Debt service: . Principal retirement Interest and fiscal charges . Issuance costs . Total expenditures 35,000 15,750 19,250 . Excess (Deficiency) of Revenues . Over Expenditures (4,950) 14,532 19,482 . Other Financing Sources (Uses) . Operating transfers in Operating transfers out . Note proceeds . Net other financing sources (uses) . Excess (Deficiency) of Revenues . and Other Sources Over . Expenditures and Other Uses (4,950) 14,532 19,482 . Fund Balances. Beginning of Year 13,890 13,890 . Fund Balances - End of Year $ 8,940 $ 28,422 $ 19,482 . . . . . . . 50 . . . . . . . . . . Special Law Enforcement Trust Fund Transportation Improvement Fund Variance Variance . Favorable Favorable . Budget Actual (Unfavorable) Budget Actual (Unfavorable) . $ $ $ $ $ $ . . 225,000 219,118 (5,882) . 2,000 1,900 (100) . 400 41 (359) 250 495 245 . 2,400 1,941 (459) 225,250 219,613 (5,637) . . . 1,000 1,000 . 268,098 251 ,485 16,613 . . . 1,000 1,000 268,098 251,485 16,613 . . 1 ,400 941 (459) (42,848) (31,872) 10,976 . . . . . .-. . . 1 ,400 941 (459) (42,848) (31,872) 10,976 .- ... 3,953 3,953 110,907 110,907 ... . .-. $ 5,353 $ 4,894 $ (459) $ 68,059 $ 79,035 $ 10,976 ... .-. - .-. ... (Continued) .-. - .-. ... - - - - 51 .- - Excess (Deficiency) of Revenues Over Expenditures 700 855 155 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA COMBINING STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL SPECIAL REVENUE FUNDS For the Year Ended September 30, 2000 Recreation Acquisition Fund Budget Actual Variance Favorable (Unfavorable) Revenues: Taxes and special assessments Licenses, permits, and fees Intergovernmental revenues Charges for services Fines and forfeitures Investment Income Miscellaneous Total revenue $ $ $ 700 855 155 700 855 155 Expen d itu res: Current: General government Public safety Physical environment Debt service: Principal retirement Interest and fiscal charges Issuance costs Total expenditures Other Financing Sources (Uses) Operating transfers in Operating transfers out Note proceeds Net other financing sources (uses) Excess (Deficiency) of Revenues and Other Sources Over Expenditures and Other Uses 700 855 155 Fund Balances - Beginning of Year 27,101 27,101 Fund Balances - End of Year $ 27,801 $ 27,956 $ 155 52 . . . . . . . . . Streetlighting Fund Solid Waste Fund Variance Variance . Favorable Favorable . Budget Actual (Unfavorable) Budget Actual (Unfavorable) . $ $ $ $ $ $ . . 7,000 7,095 95 1,370,000 1,502,506 132,506 . . . 7,000 7,095 95 1,370,000 1,502,506 132,506 . . . 7,000 6,176 824 1,163,000 1,169,486 (6,486) . . . . 7,000 6,176 824 1,163,000 1,169,486 (6,486) . . 919 919 207,000 333,020 126,020 . . . (102,000) (102,000) . - (102,000) (102,000) . .-. ... .- ... 919 919 105,000 231,020 126,020 .-. - 1,517 1,517 292,789 292,789 .-. ... - $ 1,517 $ 2,436 $ 919 $ 397,789 $ 523,809 $ 126,020 - - - - - (Continued) - - - - - - - - 53 - - . . CITY OF WINTER SPRINGS, FLORIDA . COMBINING STATEMENT OF REVENUE, EXPENDITURES AND . CHANGES IN FUND BALANCES. BUDGET AND ACTUAL . SPECIAL REVENUE FUNDS . For the Year Ended September 30,2000 . . Stormwater Utility Fund . Variance Favorable . Budget Actual (Unfavorable) . Revenues: . Taxes and special assessments $ $ $ . Licenses, permits, and fees I ntergovernmental revenues 15,000 10,750 (4,250) . Charges for services 330,000 335,866 5,866 . Fines and forfeitures Investment Income 5,000 6,919 1,919 . Miscellaneous Total revenue 350,000 353,535 3,535 . Expenditures: . Current: . General government 366,501 288,822 77,679 . Public safety Physical environment . Debt service: . Principal retirement Interest and fiscal charges . Issuance costs . Total expenditures 366,501 288,822 77,679 Excess (Deficiency) of Revenues . Over Expenditures (16,501 ) 64,713 81,214 . Other Financing Sources (Uses) . Operating transfers in . Operating transfers out (9,160) (9,160) . Note proceeds Net other financing sources . (uses) (9,160) (9,160) . Excess (Deficiency) of Revenues . and Other Sources Over . Expenditures and Other Uses (25,661 ) 55,553 81,214 . Fund Balances - Beginning of Year 183,664 183,664 . Fund Balances - End of Year $ 158,003 $ 239,217 $ 81,214 . . . . . . . 54 . . . . . . . . . . Public Service Tax Fund Excise Tax Fund Variance Variance . Favorable Favorable . Budget Actual (Unfavorable) Budget Actual (Unfavorable) . $ 1,792,000 $ 2,074,285 $ 282,285 $ 1,080,000 $ 1,123,082 $ 43,082 . . . . 5,000 14,432 9,432 . 1,797,000 2,088,717 291,717 1,080,000 1,123,082 43,082 . . . . . . . . . 1,797,000 2,088,717 291,717 1,080,000 1,123,082 43,082 .- . .-. ... .-. (1,704,000) (2,215,299) (511,299) (1,080,000) (1,123,082) (43,082) . - - (1,080,000) (1,123,082) (43,082) - (1,704,000) (2,215,299) (511,299) - - - - - 93,000 (126,582) (219,582) - - 128,476 128,476 - - - $ 221,476 $ 1,894 $ (219,582) $ $ $ - - - - - (Continued) - - - - - 55 For the Year Ended September 30,2000 Electric Franchise Fee Fund Variance Favorable Budget Actual (Unfavorable) Revenues: Taxes and special assessments $ $ $ Licenses, permits, and fees Intergovernmental revenues Charges for services Fines and forfeitures Investment Income 2,500 8,816 6,316 Miscellaneous Total revenue 2,500 8,816 6,316 Expenditures: Current: General government 9,000 1 ,424 7,576 Public safety Physical environment Debt service: Principal retirement Interest and fiscal charges Issuance costs Total expenditures 9,000 1 ,424 7,576 Excess (Deficiency) of Revenues Over Expenditures (6,500) 7,392 13,892 Other Financing Sources (Uses) Operating transfers in 1,080,000 1,123,082 43,082 Operating transfers out (1,073,500) (1,145,259) (71,759) Note proceeds Net other financing sources (uses) 6,500 (22,177) (28,677) Excess (Deficiency) of Revenues and Other Sources Over Expenditures and Other Uses (14,785) (14,785) Fund Balances - Beginning of Year 14,786 14,786 Fund Balances - End of Year $ 14,786 $ $ (14,785) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA COMBINING STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL SPECIAL REVENUE FUNDS 56 . . . . . . . . . Transportation Impact Fee Fund Police Impact Fee Fund Variance Variance . Favorable Favorable . Budget Actual (Unfavorable) Budget Actual (Unfavorable) . $ $ $ $ $ $ . 267,285 247,041 (20,244) 58,000 62,656 4,656 . . . 50,000 95,817 45,817 2,800 3,717 917 . 317,285 342,858 25,573 60,800 66,373 5,573 . . . . 569,079 233,672 335,407 . . . 569,079 233,672 335,407 . . (251,794 ) 109,186 360,980 60,800 66,373 5,573 . .- ... .- . .-. ... - - - - .-. - (251,794) 1 09,186 360,980 60,800 66,373 5,573 - - 1,638,967 1,638,967 148,790 148,790 - - - $ 1,387,173 $ 1,748,153 $ 360,980 $ 209,590 $ 215,163 $ 5,573 - - - - - (Continued) - - - - - 57 . . CITY OF WINTER SPRINGS, FLORIDA . COMBINING STATEMENT OF REVENUE, EXPENDITURES AND . CHANGES IN FUND BALANCES - BUDGET AND ACTUAL . SPECIAL REVENUE FUNDS . For the Year Ended September 30,2000 . . Fire Impact Fee Fund . Variance . Favorable Budget Actual (Unfavorable) . Revenues: . Taxes and special assessments $ $ $ . Licenses, permits, and fees 40,000 40,233 233 Intergovernmental revenues . Charges for services . Fines and forfeitures Investment Income 5,000 5,816 816 . Miscellaneous . Total revenue 45,000 46,049 1,049 . Expenditures: . Current: General government . Public safety 6,069 6,102 (33) . Physical environment Debt service: . Principal retirement Interest and fiscal charges . Issuance costs . Total expenditures 6,069 6,102 (33) . Excess (Deficiency) of Revenues . Over Expenditures 38,931 39,947 1,016 . Other Financing Sources (Uses) . Operating transfers in Operating transfers out . Note proceeds . Net other financing sources (uses) . Excess (Deficiency) of Revenues . and Other Sources Over . Expenditures and Other Uses 38,931 39,947 1,016 . Fund Balances - Beginning of Year 264,171 264,171 . Fund Balances - End of Year $ 303,102 $ 304,118 $ 1,016 . . . . . . . 58 . . . . . . . . . . Medical Transport Fund TLBD Improvement Fund Variance Variance . Favorable Favorable . Budget Actual (Unfavorable) Budget Actual (Unfavorable) . $ $ $ $ $ $ . . 100,000 182,084 82,084 . . 5,000 12,836 7,836 37 37 . 105,000 194,957 89,957 . . . 267,478 198,130 69,348 . . 25,274 (25,274) . 4,782 (4,782) 1,658 (1,658) . 267,478 229,844 37,634 . . (162,478) (34,887) 127,591 . .-. ... .-. (153,789) (153,789) . 137,571 137,571 .-. - - 137,571 137,571 (153,789) (153,789) - - - .-. (24,907) - 102,684 127,591 (153,789) (153,789) - - 226,233 226,233 153,789 153,789 - - - $ 201,326 $ 328,917 $ 127,591 $ 153,789 $ $ (153,789) - - - - - (Continued) -. - - - - - 59 CITY OF WINTER SPRINGS, FLORIDA Variance Favorable (Unfavorable) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . COMBINING STATEMENT OF REVENUE. EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL SPECIAL REVENUE FUNDS For the Year Ended September 30,2000 Revenues: Taxes and special assessments Licenses, permits, and fees Intergovernmental revenues Charges for services Fines and forfeitures Investment Income Miscellaneous Total revenue Expenditures: Current: General government Public safety Physical environment Debt service: Principal retirement Interest and fiscal charges Issuance costs Total expenditures Excess (Deficiency) of Revenues Over Expenditures Other Financing Sources (Uses) Operating transfers in Operating transfers out Note proceeds Net other financing sources (uses) Excess (Deficiency) of Revenues and Other Sources Over Expenditures and Other Uses Fund Balances - Beginning of Year Fund Balances - End of Year TLBD Maintenance Fund Budget $ 275,000 5,000 280,000 1,342 1,342 278,658 278,658 $ 278,658 60 Actual $ 279,363 10,622 289,985 1,403 1 ,403 288,582 288,582 $ 288,582 $ 4,363 5,622 9,985 (61 ) (61 ) 9,924 9,924 $ 9,924 . . . . . . . . . Oak Forest Maintenance Fund Totals Variance Variance . Favorable Favorable . Budget Actual (Unfavorable) Budget Actual (Unfavorable) . $ $ 3,147,000 $ 3,476,730 $ 329,730 . 365,285 349,930 (15,355) . 240,000 229,868 (10,132) 1,807,000 2,027,551 220,551 . 32,000 32,143 143 . 81,700 160,405 78,705 37 37 . 5,672,985 6,276,664 603,679 . . . 104 (104) 1,546,843 1,467,415 79,428 309,547 220,982 88,565 . 837,177 485,157 352,020 . 25,274 (25,274) . 4,782 (4,782) 1,658 (1,658) . 104 (104) 2,693,567 2,205,268 488,299 . . (104) (104 ) 2,979,418 4,071,396 1,091,978 . . 1,080,000 1,123,082 43,082 . (3,968,660) (4,748,589) (779,929) 137,571 137,571 . . (2,751,089) (3,487,936) (736,847) . . (104) (104) 228,329 583,460 355,131 .-. - 3,209,033 3,209,033 .-. ... .-. $ $ (104) $ (104) $ 3,437,362 $ 3,792,493 $ 355,131 . .-. - .- - .- . .- ... .-. - - - 61 - - . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . This page intentionally left blank. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . DEBT SERVICE FUNDS Debt service funds are used to account for the accumulation of resources and payment of the bond issues of the City. 1993 Debt Service Fund 1997 Debt Service Fund 1999 Debt Service Fund Oak Forest Debt Service Fund - .. - ... - - - This fund is used to account for the accumulation of resources and payment of principal and interest for the 1993 bond issue. - This fund is used to account for the accumulation of resources and payment of principal and interest for the 1997 bond issue. - This fund is used to account for the accumulation of resources and payment of principal and interest for the 1999 bond issue. - This fund is used to account for the accumulation of resources and payment of principal and interest for the 2000 note payable. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA COMBINING BALANCE SHEET ALL DEBT SERVICE FUNDS September 30, 2000 1993 Debt 1997 Debt 1999 Debt Service Fund Service Fund Service Fund Assets: Cash and cash equivalents $ 271,473 $ 123,150 $ 307,836 Total assets $ 271,473 $ 123,150 $ 307,836 Liabilities and Fund Balances: Liabilities: Due to other funds $ $ $ Total liabilities Fund Balances: Reserved for debt service 271,473 123,150 307,836 Total liabilities and fund balances $ 271,473 $ 123,150 $ 307,836 62 . . . . . . . . . Oak Forest . Debt Service . Fund Total . . $ $ 702,459 . $ $ 702,459 . . . . $ 104 $ 104 104 104 . . (104 ) 702,355 . . $ $ 702,459 . ... .. ... ... - ... - - -. - -. - -. - - - - - -. - 63 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES ALL DEBT SERVICE FUNDS For the Year Ended September 30,2000 1993 Debt 1997 Debt 1999 Debt Service Fund Service Fund Service Fund Revenues: Investment income $ 5,328 $ $ 6,446 Total revenues 5,328 6,446 Expenditures Debt Service: Principal retirement 45,000 110,000 165,000 Interest and fiscal charges 447,915 20,632 152,113 Total expenditures 492,915 130,632 317,113 Excess (Deficiency) of Revenues over Expenditures (487,587) (130,632) (310,667) Other Financing Sources (Uses) Operating transfers in 489,606 129,656 400,515 Operating transfers out Net other financing sources (uses) 489,606 129,656 400,515 Excess (Deficiency) of Revenues and Other Financing Sources over Expenditures and Other Financing Uses 2,019 (976) 89,848 Fund Balance - Beginning of Year 269,454 124,126 217,988 Fund Balance - End of Year $ 271,473 $ 123,150 $ 307,836 64 . . . . . . . . . . Oak Forest . Debt Service Fund Total . . $ $ 11,774 . 11,774 . . . . 320,000 104 620,764 . 104 940,764 . . (104 ) (928,990) . . . 1,019,777 . 1,019,777 . . . (104) 90,787 . 611,568 . . $ (104) $ 702,355 . . . . ... ... - .. ... .. - ... ... .. .... - - - 65 -. - . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA COMBINING STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL DEBT SERVICE FUNDS For the Year Ended September 30,2000 1993 Debt Service Fund Variance Favorable Budget Actual (Unfavorable) Revenues: Investment Income $ $ 5,328 $ 5,328 Total revenue 5,328 5,328 Expenditures: Debt service: Principal retirement 45,000 45,000 Interest and fiscal charges 448,908 447,915 993 Total expenditures 493,908 492,915 993 Excess (Deficiency) of Revenues Over Expenditures (493,908) (487,587) 6,321 Other Financing Sources (Uses) Operating transfers in 493,908 489,606 (4,302) Net other financing sources (uses) 493,908 489,606 (4,302) Excess (Deficiency) of Revenues and Other Sources Over Expenditures and Other Uses 2,019 2,019 Fund Balances - Beginning of Year 269,454 269,454 Fund Balances - End of Year $ 269,454 $ 271,473 $ 2,019 66 . . . . . . . . . . 1997 Debt Service Fund 1999 Debt Service Fund . Variance Variance . Favorable Favorable Budget Actual (Unfavorable ) Budget Actual (Unfavorable ) . . $ $ $ $ $ 6,446 $ 6,446 . 6,446 6,446 . . . 110,000 110,000 160,000 165,000 (5,000) . 20,632 20,632 56,482 152,113 (95,631 ) 130,632 130,632 216,482 317,113 (100,631) . . (130,632) (130,632) (216,482) (310,667) (94,185) . . 130,294 129,656 (638) 216,482 400,515 184,033 . . 130,294 129,656 (638) 216,482 400,515 184,033 . . (338) (976) (638) 89,848 89,848 . ... 124,126 124,126 217,988 217,988 .. .... $ 123,788 $ 123,150 $ (638) $ 217,988 $ 307,836 $ 89,848 .. - ... -. - -. - - - -. - -. - -. - - - (Continued) -. - - - - 67 68 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA COMBINING STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL DEBT SERVICE FUNDS For the Year Ended September 30, 2000 . . . . . . . . . . Totals . Variance . Favorable Budget Actual (Unfavorable ) . . $ $ 11,774 $ 11,774 . 11,774 11,774 . . . 315,000 320,000 (5,000) . 526,022 620,764 (94,742) 841,022 940,764 (99,742) . . (841,022) (928,990) (87,968) . . 840,684 1,019,777 179,093 ... .. .... 840,684 1,019,777 179,093 .. .... - - - (338) 90,787 91,125 -. - -. 611,568 611,568 - - - $ 611,230 $ 702,355 $ 91,125 - - 69 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . a .. - - -. - This page intentionally left blank. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CAPITAL PROJECTS FUNDS Capital projects funds are used to account for the acquisition and construction of major capital facilities than those financed by proprietary funds. 1997 Construction Fund - This fund was established for the acquisition and construction of City- owned Capital Improvements. 1999 Construction Fund - This fund was established for the acquisition and construction of City- owned Capital Improvements. Information System Project Fund - This fund was established for the acquisition of a new computer system. TLBD Improvement Fund - This fund was established to account for construction of improvements to the Tuscawilla Lighting and Beautification District. Oak Forest Capital Fund - This fund was established to account for construction of the Oak Forest subdivision wall. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA COMBINING BALANCE SHEET ALL CAPITAL PROJECT FUNDS September 30,2000 Information 1997 1999 System Construction Construction Project Fund Fund Fund Assets: Cash and cash equivalents $ 108,723 $ 2,879,496 $ Accrued interest receivable 537 13,657 Due from other funds 636,643 Prepaid expenses 74,017 Total assets $ 109,260 $ 2,893,153 $ 710,660 Liabilities and Fund Balances: Liabilities: Accounts payable $ $ 406,119 $ 142,520 Retainage payable 231,770 Due to other funds 77 36,689 Total liabilities 77 674,578 142,520 Fund Balances: Reserved for encumbrances 38,701 Reserved for capital projects 109,183 2,179,874 568,140 Total fund balances 109,183 2,218,575 568,140 Total liabilities and fund balances $ 109,260 $ 2,893,153 $ 710,660 70 . . . . . . . . . . TLBD Oak Forest . Improvement Capital Fund Fund Total . . $ 347,489 $ 748,692 $ 4,084,400 . 14,194 . 208 636,851 . 74,017 $ 347,489 $ 748,900 $ 4,809,462 . . . . $ $ 153,109 $ 701,748 231,770 . 376,062 111,063 523,891 . 376,062 264,172 $ 1 ,457,409 . . 38,701 . (28,573) 484,728 3,313,352 (28,573) 484,728 3,352,053 . . $ 347,489 $ 748,900 $ 4,809,462 . ... .. . .... ... .... - - ... -. ... - ... - ... -. - - - - - - - - 71 . . CITY OF WINTER SPRINGS, FLORIDA . COMBINING STATEMENT OF REVENUES, . EXPENDITURES AND CHANGES IN FUND BALANCES . ALL CAPITAL PROJECT FUNDS . For the Year Ended September 30,2000 . . . Information . 1997 1999 System . Construction Construction Project . Fund Fund Fund . Revenues: . Taxes and special assessments $ $ $ . Investment income 5,956 275,209 Total revenues 5,956 275,209 . . Expenditures . Capital outlay: . General government 5,196 3,733,247 190,527 Debt service: . Issuance costs . Total expenditures 5,196 3,733,247 190,527 . Excess (Deficiency) of Revenues . over Expenditures 760 (3,458,038) (190,527) . . Other Financing Sources (Uses). . Operating transfers in Operating transfers out . Note proceeds 758,667 . Net other financing sources (uses) 758,667 . Excess (Deficiency) of Revenues and . Other Financing Sources over . Expenditures and Other Financing Uses 760 (3,458,038) 568,140 Fund Balances - Beginning of Year . 108,423 5,676,613 . Fund Balances - End of Year $ 109,183 $ 2,218,575 $ 568,140 . . . . . . . . . 72 . . . . . . . . . . . . TLBD Oak Forest . Improvements Capital Fund Fund Total . . $ 163,221 $ 79,486 $ 242,707 . 11,977 293,142 . 175,198 79,486 535,849 . . . 112,556 305,937 4,347,463 . 6,341 . 6,341 112,556 312,278 4,353,804 . ... .. 62,642 (232,792) (3,817,955) ... .. .... ... - 153,789 153,789 - -. (245,004) (5,742) (250,746) - 723,262 1,481,929 - - (91,215) 717,520 1,384,972 -. - -. - (28,573) 484,728 (2,432,983) 5,785,036 $ (28,573) $ 484,728 $ 3,352,053 73 1997 Construction Fund Variance Favorable Budget Actual (Unfavorable ) Revenues: Taxes and special assessments $ $ $ Investment Income 5,956 5,956 Total revenue 5,956 5,956 Expenditures: Capital outlay: General government 3,585 5,196 (1,611) Debt service Issuance costs Total expenditures 3,585 5,196 (1,611) Excess (Deficiency) of Revenues Over Expenditures (3,585) 760 4,345 Other Financing Sources (Uses) Operating transfers in Operating transfers out Note proceeds Net other financing sources(uses) Excess (Deficiency) of Revenues and Other Sources Over Expenditures and Other Uses (3,585) 760 4,345 Fund Balances-Beginning of Year 108,423 108,423 Fund Balances - End of Year $ 104,838 $ 109,183 $ 4,345 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ... .. ... .. CITY OF WINTER SPRINGS, FLORIDA COMBINING STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL CAPITAL PROJECTS FUNDS For the year ended September 30, 2000 74 . .. .. .... ... 76 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA COMBINING STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL CAPITAL PROJECTS FUNDS For the Year Ended September 30,2000 TLBD Improvements Fund Variance Favorable Budget Actual (Unfavorable ) Revenues: Taxes and special assessments $ 171,065 $ 163,221 $ (7,844 ) Investment Income 18,000 11,977 (6,023) Total revenue 189,065 175,198 (13,867) Expenditures: Capital outlay: General government 1,100 112,556 (111,456) Debt service Issuance costs Total expenditures 1,100 112,556 (111,456) Excess (Deficiency) of Revenues Over Expenditures 187,965 62,642 (125,323) Other Financing Sources (Uses) Operating transfers in 153,789 153,789 Operating transfers out (97,908) (245,004) (147,096) Note proceeds Net other financing sources(uses) (97,908) (91,215) 6,693 Excess (Deficiency) of Revenues and Other Sources Over Expenditures and Other Uses 90,057 (28,573) (118,630) Fund Balances-Beginning of Year Fund Balances - End of Year 90,057 $ (28,573) $ (118,630) . . . . . . . . . . Oak Forest Capital Fund Totals . Variance Variance . Favorable Favorable Budget Actual (Unfavorable ) Budget Actual (Unfavorable ) . . $ 28,655 $ 79,486 $ 50,831 $ 199,720 $ 242,707 $ 42,987 . 218,000 293,142 75,142 . 28,655 79,486 50,831 417,720 535,849 118,129 . . 361 ,896 305,937 55,959 4,990,934 4,347,463 643,471 . . 8,262 6,341 1,921 8,262 6,341 1,921 . 370,158 312,278 57,880 4,999,196 4,353,804 645,392 ,. .. (341,503) (232,792) 108,711 (4,581,476) (3,817,955) 763,521 ... .. - - - 153,789 153,789 - (100,000) (5,742) 94,258 (197,908) (250,746) (52,838) -. 723,262 723,262 1,481,929 1,481,929 - - 623,262 717,520 94,258 1,284,021 1 ,384,972 100,951 - -. - -. - 281,759 484,728 202,969 (3,297,455) (2,432,983) 864,472 5,785,036 5,785,036 $ 281,759 $484,728 $ 202,969 $ 2,487,581 $ 3,352,053 $ 864,472 77 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ... .. .... .. ... ... This page intentionally left blank. -. - -. - -. - . . . . . . . . . . . . . . . . . . . . . . . . . .... ... ... .. - ... - ... - - -. - - - - - -. - -. - -. - - - - - - - - - -. FIDUCIARY FUND TYPES Pension Trust Funds are used to account for assets held by the City in a fiduciary capacity for individuals, governmental entities and others. Such trust funds are operated by carrying out specific terms of trust indentures, statutes, ordinances, grant requirements, or other governing regulations. Description of Funds Pension Trust Funds: Money Purchase Pension Plan - Accounts for the accumulation of resources to be used for payment of retirement benefits to employees of the City. Defined Benefit Plan - Accounts for the accumulation of resources to be used for payment of retirement benefits to employees of the City based upon an actuarial study. Pension Trust Funds Money Defined Purchase Benefit Pension Plan Plan Totals Assets: Cash and short-term investments $ 14,120 $ 21,314 $ 35,434 Receivables: Employee contribution 2,128 2,128 Accrued interest 515 515 Total receivables 2,643 2,643 Investments, at fair value: Commingled bank bond fund 1,186,113 333,254 1,519,367 Commingled bank stock fund 2,710,745 872,121 3,582,866 Total investments 3,896,858 1,205,375 5,102,233 Total assets 3,913,621 1,226,689 5,140,310 Net Assets Held in Trust for Pension Benefits (A schedule of funding progress for the Defined Benefit Plan is presented on page 28) $ 3,913,621 $ 1,226,689 $ 5,140,310 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA COMBINING STATEMENT OF PENSION FUND NET ASSETS September 30,2000 78 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA COMBINING STATEMENT OF CHANGES IN PENSION FUND NET ASSETS For the Year Ended September 30,2000 Pension Trust Funds Money Defined Purchase Benefit Pension Plan Plan Totals Additions: Contributions: Employer $ 227,423 $ 254,646 $ 482,069 Plan Members 124,745 124,745 Total contributions 352,168 254,646 606,814 Investment income: Net appreciation in fair value 680,908 167,874 848,782 Interest 48,952 3,185 52,137 Net investment income 729,860 171,059 900,919 Transfers to defined benefit plan (215,845) 215,845 Total additions 866,183 641,550 1,507,733 Deductions: Benefit payments 230,185 53,476 283,661 Administrative expenses 29,642 7,190 36,832 Total deductions 259,827 60,666 320,493 Net Increase 606,356 580,884 1,187,240 Net Assets Held in Trust for Pension Benfits: Beginning of year 3,307,265 645,805 3,953,070 End of year $ 3,913,621 $ 1,226,689 $ 5,140,310 ... ... ... .. ... .. - .. ... .. ... .. ... .. .... - .... - - - 79 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . This page intentionally left blank. . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . General Fixed Assets Account Group .... .. ... ... . .... ... .... - - - ACCOUNT GROUPS - To account for all fixed assets of the City, other than those accounted for in the Enterprises Funds. . . . . . . . . . .-- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . This page intentionally left blank. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ... .. ... ... ... ... CITY OF WINTER SPRINGS, FLORIDA SCHEDULE OF GENERAL FIXED ASSETS - BY FUNCTION AND ACTIVITY For the Year Ended September 30,2000 General Government Culture Physical And Environment Recreation Prior Year Function Not Available Total Public Safety Land $ $ $ $ $ 5,796,396 $ 5,796,396 Buildings 1,927,398 2,883,080 110,685 395,824 5,316,987 Furniture and equipment 817,656 740,067 723,734 359,963 2,641,420 Vehicles 106,981 1,549,508 446,394 114,153 2,217,036 Stormwater system 5,640,702 5,640,702 Park & recreational facilities 2,758,177 2,758,177 Construction in Progress 2,695,097 2,695,097 Total $ 2,852,035 $ 5,172,655 $ 6,921,515 $ 6,323,214 $ 5,796,396 $ 27,065,815 Deletions Balance and Balance 10-01-99 Additions Transfers 09-30-00 General Government $ 2,660,319 $ 225,872 $ 34,156 $ 2,852,035 Public Safety 4,878,822 308,637 14,804 5,172,655 Physical Environment 6,727,434 200,375 6,294 6,921,515 Culture & Recreation 3,582,292 2,740,922 6,323,214 Prior year function not available 5,796,396 5,796,396 Total $ 23,645,263 $ 3,475,806 $ 55,254 $ 27,065,815 80 . . . . . . . . . -- -- . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . This page intentionally left blank. . . . . . . . . . . . . . . . . . . . . . SUPPLEMENTARY INFORMATION Supplementary information is presented to provide greater detailed information deemed useful for clarity. It is not necessary for presentation in conformity with generally accepting accounting principles. ... ... ... .. .... ... .... - - - -. - - - -. - -. - -. - . . CITY OF WINTER SPRINGS, FLORIDA . SCHEDULE OF REVENUES AND EXPENSES-BUDGET AND ACTUAL . ENTERPRISE FUND . WATER AND SEWER UTILITY OPERATING ACCOUNT . For the Year Ended September 30, 2000 . . Variance . Favorable .- Budget Actual (Unfavorable) Revenues: . Water revenues $2,227,309 $2,276,938 $ 49,629 . Sewer revenues 3,067,586 3,240,215 172,629 Water connection fees 75,000 67,046 (7,954 ) . Sewer connection fees 265,000 365,761 100,761 . Guarenteed revenues 15,000 1,664 ( 13,336) Reuse water fees 40,000 80,850 40,850 . Turn off/on fees 1,000 880 (120) . Meter charges 60,000 34,590 (25,410) Application fees 20,000 29,815 9,815 . Tampering fees 100 1,000 900 . Inspection fees 7,000 4,530 (2,470) NSF check fees 2,500 2,090 (410) . Interest earned 150,000 276,595 126,595 . Miscellaneous charges 30,000 39,570 9,570 . Reservation charges 25,000 14,000 (11,000) Stormwater administration fee 5,660 5,660 . Total revenues 5,991,155 6,441,204 450,049 . Expenses: . Salaries 946,168 972,694 (26,526) . Payroll taxes and benefits 247,909 225123 22,786 Other leagal services 10,000 10,000 . Trustee fees and service charges 16,277 (16,277) . Physical exams 1,700 1,222 478 Consulting engineer 15,000 110,383 (95,383) . Consulting-rate study 31,825 31,825 . Administrative services 758,671 758,671 Travel and per diem 1,500 1,306 194 . Telephone 7,500 7,164 336 . Postage 1,200 392 808 . Utility services 400,000 394,113 5,887 Sludge disposal 88,000 85,873 2,127 . Equipment rental 5,000 4,402 598 . Repairs and maintenance 263,600 286,132 (22,532) Office supplies and printing 9,992 8,256 1,736 . Fuel and oil 23,000 32,842 (9,842) . Tires and filters. 5,000 4,914 86 . . . . . . 81 . . . . . . . . . . ~ . . . . . . . . . . . . . . . . . . . . . . . Variance Favorable Budget Actual (Unfavorable ) Operating supplies 52,500 50,315 2,185 Testing and samples 14,600 10,504 4,096 Purchased meters 5,000 2,476 2,524 Chlorine 50,000 32,807 17,193 Backflow devices 5,000 667 4,333 Uniforms 7,500 5,993 1,507 Janitorial supplies 1,300 1,151 149 Small tools and equipment 8,000 7,659 341 Protective clothing 4,100 2,768 1,332 Dues and registrations 7,600 6,240 1,360 Employee development 11,000 10,348 652 Capital improvements 366,900 458,898 (91,998) Vehicles 75,000 57,746 17,254 Other equipment 91,200 92,499 (1,299) Debt service-principal 750,000 750,000 Debt service-interest 1,396,932 1,409,468 (12,536) Renewal and replacement 140,310 140,310 Revenue generation 51,006 51,006 Developer agreement payments 265,752 (92,248) 358,000 Total expenses 6,119,765 5,950,196 169,569 Net income(loss) (128,610) 491,008 619,618 Appropriation from retained earnings 128,610 (128,610) $ $ 491,008 $ 491,008 ... ., ... .. . .... .. ... .. ... .. . ... ... .... - - - 82 . . . . . . . . . ~ . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . This page intentionally left blank. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . STATISTICAL SECTION The statistical schedules differ from other financial statement presentations because they generally disclose more than one fiscal year and may present non-accounting data, such as social and economic data and financial trends of the City. .... - - - - - - - -. - - - - - -. - - - - - . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . This page intentionally left blank. . . . . . . . . . . . . . . . . . . . . . . . . . . . . ... .. ... .. .... ... - - .... - - - - - .... - -. - - - - - - - -. - -. - - STATISTICAL SECTION LIST OF SCHEDULES General Governmental Expenditures by Function General Governmental Revenues by Source Property Tax Levies and Collections Assessed and Estimated Value of Taxable Property Net of Exemptions Property Tax Rates Direct and Overlapping Governments Special Assess'ment Collections Legal Debt Margin Computation of Direct and Overlapping General Obligation Debt Revenue Bond Coverage Demographic Statistics Property Value and Construction Schedule of Principal Taxpayers Miscellaneous Statistical Data 83 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA GENERAL GOVERNMENTAL EXPENDITURES BY FUNCTION Last Ten Fiscal Years Fiscal General Public Physical Year Government Safety Environment 1991 $ 938,055 $ 2,954,026 $ 765,017 1992 964,622 3,020,447 795,276 1993 1,176,983 3,122,557 923,250 1994 1,265,435 3,299,148 820,962 1995 1,524,584 3,556,352 1.011,424 1996 1,522,378 3,684,567 1,153,694 1997 1,950,449 4,108,319 1,084,121 1998 2,591,811 4,725,544 1,159,944 1999 2,726,281 5,355,195 1,119,185 2000 3,039,087 5,807,995 1,762,780 (1) This schedule includes expenditures of the General Fund, Special Revenue Funds, Debt Service Funds, and Capital Project Funds. . . . . . . . . Culture and Capital Debt . Recreation Outlay Service Total (1) . . $ 182,444 $ 1,196,428 $ 791,345 $ 6,827,315 . 344,054 2,356,816 791,145 8,272,360 . . 556,109 1,125,814 597,969 7,502,682 . 634,147 668,910 934,731 7,623,333 . 706,716 1,114,097 1,078,491 8,991,664 . . 753,557 1,516,789 1,012,325 9,643,310 . 814,125 2,454,088 963,044 11,374,146 . . 843,115 2,705,800 967,605 12,993,819 . 1,042,556 1,792,208 2,057,757 14,093,182 . 1,200,702 4,347,463 978,819 17,136,846 . . . . - ... .... ... - - - - -. - - - -. - -. - -. - -. - - -. 84 Fiscal Year Taxes Licenses And Permits Inter- Governmental Revenues Charges For Services Fines and Forfeitures . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA GENERAL GOVERNMENTAL REVENUES BY SOURCE Last Ten Fiscal Years 1991 $ 3,720,415 $ 456,631 $ 1,764,106 $ 35,369 $ 221,686 1992 4,011,756 664,848 1,731,717 45,365 274,510 1993 4,308,605 1,023,098 1,843,049 97,393 258,626 1994 4,970,690 1,222,808 1,863,892 104,724 169,940 1995 4,874,118 857,024 2,020,651 132,191 154,556 1996 5,234,145 949,701 2,183,187 206,210 178,234 1997 5,406,995 990,477 2,290,120 687,152 208,667 1998 5,967,375 943,220 2,583,849 742,766 183,714 1999 6,298,975 1,762,848 2,918,244 914,748 249,206 2000 7,322,542 931,588 3,261,472 1,073,902 298,357 (1) This schedule includes revenues of the General Fund, Special Revenue Funds, Debt Service Funds, and Capital Projects Funds. 85 . . . . . . . . . Investment Misc. . Income Income Total (1) . . $ 370,682 $ 48,150 $ 6,617,039 . 65,802 6,793,998 . . 184,541 66,655 7,781,967 . 342,169 305,127 8,979,350 . . 462,256 610,659 9,111,455 . . 429,517 595,403 9,776,397 . 454,922 641,202 10,679,535 ... .. -" 447,343 737,539 11,605,806 ... - ... 383,955 927,367 13,455,343 - - - 597,515 13,676 13,499,052 - - - - - 86 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . This page intentionally left blank. - ... - ... - - - - -. - . . . . . . . . . . . . . . . . . . . . . ... ... - ... - ... - - -. - -. - CITY OF WINTER SPRINGS, FLORIDA PROPERTY TAX LEVIES AND COLLECTIONS Last Ten Fiscal Years -. Delinquent Percentage of Total Current Tax Tax Total Tax Total Collections Fiscal Year Tax Levy (1) Collections (2) Collections Collections To Tax Levy 1991 $ 2,070,546 $ $ $ 1992 2,299,468 1993 2,333,990 2,232,344 810 2,233,154 95.68% 1994 2,610,826 2,507,783 4,161 2,511,944 96.21 % 1995 2,665,426 2,559,179 16,817 2,575,996 96.64% 1996 2,769,752 2,670,643 9,896 2,680,539 96.78% 1997 2,882,773 2,786,845 4,636 2,791,481 96.83% 1998 3,074,799 2,960,328 7,678 2,968,006 96.53% 1999 3,215,932 3,097,939 25,225 3,123,164 97.12% 2000 3,453,596 3,333,199 2,817 3,336,016 96.60% (1) Gross taxes before discount of 1 % - 4%, depending on month paid (2) Collection information is not available before 1993 Source: Seminole County Tax Collector's Office - -. - - 87 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA ASSESSED AND ESTIMATED VALUE OF TAXABLE PROPERTY NET OF EXEMPTIONS Last Ten Fiscal Years (Amounts Expressed in Thousands) Centrally Assessed and Real Property Personal Property Fiscal Tax Assessed Estimated Assessed Estimated Year Year Value Actual Value Value Actual Value 1991 1990 $ 705,919 $ 729,046 $ 20,659 $ 21,342 1992 1991 785,825 785,623 21,264 21,264 1993 1992 802,113 801,890 20,920 20,920 1994 1993 830,212 829,973 21,876 21,876 1995 1994 882,544 882,258 22,455 22,455 1996 1995 935,813 959,556 24,141 24,760 1997 1996 992,796 1,001,788 26,362 26,601 1998 1997 1,061,983 1,061,983 27,701 27,701 1999 1998 1,127,761 1,149,603 31,494 32,104 2000 1999 1,178,806 1,216,629 29,756 33,069 Source: Seminole County Property Appraiser's Office 88 ... .. ... . ... ... - - . . . . . . . . . Ratio of Total . Assessed . Exemptions Totals to Total Real and Personal Assessed Estimated Estimated . Property Value Actual Value Actual Value . . $ 153,861 $ 572,717 $ 750,388 76.32% . 171,051 636,038 806,887 78.83% . . 177 ,446 645,587 822,810 78.46% . 186,417 665,671 851,849 78.14% . 196,599 708,400 904,713 78.30% . . 211,837 748,117 984,316 76.00% . 220,230 798,928 1,028,389 77.69% . . 235,565 854,119 1,089,684 78.38% . 253,253 906,002 1,181,707 76.67% . 238,990 972,981 1,249,699 77 .86% . . . .. .. ... .. - .. ... .. -. - - ... - - -. - -. ... - - - - - - -. - 89 -. - CITY OF WINTER SPRINGS, FLORIDA PROPERTY TAX RATES DIRECT AND OVERLAPPING GOVERNMENTS Last Ten Fiscal Years Seminole St. John's City of County River Water Fiscal Winter Seminole School Management Year Springs County Board District Total 1991 3.6153 5.534 7.990 0.358 17 .4973 1992 3.6153 5.697 10.169 0.358 19.8393 1993 3.6153 5.420 10.089 0.358 19.4823 1994 3.9221 5.362 10.071 0.482 19.8371 1995 3.7626 5.164 10.093 0.482 19.5016 1996 3.7023 5.164 10.291 0.482 19.6393 1997 3.6083 5.164 10.258 0.482 19.5123 1998 3.6000 5.164 10.036 0.482 19.2820 1999 3.5495 5.158 9.918 0.482 19.1075 2000 3.5495 4.999 9.541 0.482 18.5715 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Source: Seminole County Tax Collector's Office 90 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA SPECIAL ASSESSMENT COLLECTIONS Last Ten Fiscal Years The City of Winter Springs, Florida did not have any special assessment collections for any debt for which the government is obligated in some manner in the last ten fiscal years. ... ... ... ... ... .. -. ... ... ... ... ... - ... - - -. - - - 91 92 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA LEGAL DEBT MARGIN September 30, 2000 Neither the City of Winter Springs Charter or Code nor the Florida State Statutes limits the amount of debt the City of Winter Springs can issue. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ... .. ... .. . - ... ... .. ... ... ... .. ... - - - - - CITY OF WINTER SPRINGS, FLORIDA COMPUTATION OF DIRECT AND OVERLAPPING GENERAL OBLIGATION DEBT September 30, 2000 Juri~diction Net General Obligation Debt Ollt~tanding Applicable To City Of Winter Spring~ Percent (1) Amqunt Seminole County $15,635,000 6.85% $1,070,998 Seminole County School Board 44,575,000 6.85% 3,053,388 Total Overlapping Debt 60,210,000 4,124,386 Total Direct Debt (1) Total Direct and Overlapping Debt !hfiO ? 1 0 000 !h4 1?4 ~Rfi (1) The City of Winter Springs does not currently have any general obligation debt that is being repaid through general property taxes. Source: Seminole County Finance Department Seminole County Public School Board 93 CITY OF WINTER SPRINGS, FLORIDA REVENUE BOND COVERAGE WATER AND SEWER BONDS Last Ten Fiscal Years Net Direct Available Fiscal Operating For Debt Year Revenues (1) Expenses (2) Service Principal Interest Total Coverage 1991 $ 4,046,714 $ 1,956,782 $2,089,932 $35,000 $ 1,325,075 $ 1,360,075 1.54 1992 4,376,764 2,075,965 2,300,799 35,000 1,092,724 1,127,724 2.04 1993 4,483,245 2,204,512 2,278,733 85,000 1,295,491 1,380,491 1.65 1994 4,996,647 2,069,377 2,927,270 90,000 1,378,282 1,468,282 1.99 1995 5,458,540 2,641,274 2,817,266 95,000 1,373,597 1,468,597 1.92 1996 5,269,291 2,336,777 2,932,514 415,000 1,358,416 1,773,416 1.65 1997 5,613,413 2,517,191 3,096,222 435,000 1,346,020 1,781,020 1.74 1998 5,924,112 2,696,506 3,227,606 455,000 1,405,724 1,860,724 1.73 1999 6,999,692 3,312,000 3,687,692 710,000 1,436,131 2,146,131 1.72 2000 6,511,101 3,191,228 3,319,873 750,000 1,397,292 2,147,292 1.55 (1) Revenues include investment income, connection fees, and other income (2) Direct operating expenses excludes depreciation and interest expense but includes operating transfers out 94 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ... .. ... .. - ... - - - - - - - - - - - - - - -. - -. - -. - CITY OF WINTER SPRINGS, FLORIDA DEMOGRAPHIC STATISTICS (2) (3) (1) School Unemployment Fi~cal YAar Population EnrollmAnt &ale 1991 22,790 1947 6.5% 1992 23,352 1961 7.0% 1993 24,008 3020 5.8% 1994 24,772 3268 5.4% 1995 25,673 3297 4.2% 1996 26,474 3390 3.3% 1997 27,466 3988 3.2% 1998 28,404 5967 2.6% 1999 29,220 5711 2.8% 2000* 31,088 5776 2.6% (1) Source: East Central Florida Regional Planning Council (2) Source: Seminole County Public School Board (3) Source: U.S. Department of Labor * Unofficial 2000 Census population 95 CITY OF WINTER SPRINGS, FLORIDA PROPERTY VALUES AND CONSTRUCTION LAST TEN FISCAL YEARS (VALUES ARE IN THOUSANDS) Commercial Additions/ Residential Construction (1) Construction ( 1 ) Alterations (1 ) Number of Units Single Multi Total Year Family Family Value Value Value Value 1991 145 0 $ 23,492 $ 2,703 $ 2,673 $ 28,868 1992 228 0 24,512 983 1,801 27,296 1993 301 0 38,410 1,260 3,818 43,488 1994 411 0 48,965 2,000 4,200 55,165 1995 333 44,425 1,200 3,555 49,180 1996 335 2 43,550 655 5,445 49,650 1997 327 0 50,428 449 3,603 54,480 1998 337 1 56,760 1,331 4,410 62,501 1999 418 42 123,290 4,898 6,580 134,768 2000 285 45,773 6,967 1,189 53,929 (1) Source: City of Winter Springs Building Department 96 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA SCHEDLJL E OF TEN LARGEST TAXPAYERS T::nl:paYElr 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. Golf Terrace, Ltd. Courtney Springs LP Florida Power Corp. United Dominion Realty Trust Hacienda Village Co-Op ZP No 56 LP Time Warner Entertainment Centex Homes Bell South Communication Winter Springs Golf LLC September 30, 2000 Type of RII!;inEl!;!; Taxable Assessed Valuation as of 1999 Tax Rnll (1) PElrCElntagEl nf Tntal TaxahlEl VahlEl 1.6% 1.2% 1.0% 0.7% 0.5% 0.4% 0.4% 0.4% 0.3% Q.3% 6.8% 9.3...2?fn 100 00% Source: Seminole County Property Appraiser's Office (1) The tax levy for this fiscal year ended September 30, 2000 is based on the 1999 assessed values. ... . ... .. - .. - .... - - - - -. - - - - - - - - - -. - - - -. - - - Property Management Property Management Electric Utility Property Management Property Management Developer Utilities Builder Utilities Developer $ 15,646,904 11,714,622 9,713,387 7,103,310 4,928,585 4,354,573 3,818,557 3,682,359 2,859,843 2 655 202 Total taxable assessed valuation of 10 largest Taxpayers 66,477,342 Total taxable assessed valuation of other Taxpayers 906 503 658 Total taxable assessed valuation of all Taxpayers ~q7? qR1 000 97 CITY OF WINTER SPRINGS MISCELLANEOUS STATISTICAL DATA September 30,2000 Date of Incorporation City Charter Adopted Form of Government Commission Composed of Areas of City Miles of Streets Police Protection: Fire Protection: Stations Firefighters and Officers Police Protection: Stations Sworn Officers Recreation and Culture: Number of Community Parks Number of Neighborhood Parks City Water System: Number of customers Daily Average Consumption Miles of Water Mains Plant Capacity-All Plants Deep wells Number of fire hydrants City Sewer System: Treatment Facility Charge Current Average Flow Miles of Sanitary Sewer Lines Building Permits Issued-Fiscal year 2000 City Employees: Classified Service Exempt 98 . . . . . . . 1959 . . 1972 . Commission-City Manager . . 5 Members . 14.6 Square miles . 98.5 miles . . 2 . 41 . . 1 . 54 . 1 . 7 . 11921 . 4.07 MGD 143 . 6.0 MGD . 7 . 880 . 4.212 MGD . 1.813 MGD 116 . 651 . . 197 . 43 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . REPORTS ON INTERNAL CONTROL AND COMPLIANCE ... ... - - - - - - -. - - -. - -. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . This page intentionally left blank. - .. - ., - - - - . . . . . . . . . . . . . . . . . . . . . . . . . ... ., MCDIRMIT, DAVIS, PUCKETT & COMPANY, P.A. CERTIFIED PUBLIC ACCOUNTANTS AND CONSULTANTS 605 E. Robinson Street, Suite 635 Post Office Box 1185 Orlando, Florida 32802-1185 Telephone: (407) 843-5406 Fax: (407) 649-9339 E-Mail: info@mdpcpa.com REPORT ON COMPLIANCE AND ON INTERNAL CONTROL OVER FINANCIAL REPORTING BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS The Honorable Mayor and City Commissioners City of Winter Springs, Florida We have audited the general purpose financial statements of the City of Winter Springs, Florida as of and for the year ended September 30, 2000, and have issued our report thereon dated February 19, 2001. We conducted our audit in accordance with generally accepted auditing standards and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. . Compliance - As part of obtaining reasonable assurance about whether the City of Winter Springs, Florida's general purpose financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts and grants, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit and, accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance that are required to be reported under Government Auditing Standards. However, we noted certain immaterial instances of noncompliance that we have reported to management of City of Winter Springs, Florida, in a separate letter dated February 19, 2001. ... .. - .. - - - - -. - - - -. - - - - - Internal Control Over Financial Reporting - In planning and performing our audit, we considered the City of Winter Springs, Florida's internal control over financial reporting in order to determine our auditing procedures for the purpose of expressing our opinion on the general purpose financial statements and not to provide assurance on the internal control over financial reporting. Our consideration of the internal control over financial reporting would not necessarily disclose all matters in the internal control over financial reporting that might be material weaknesses. A material weakness is a condition in which the design or operation of one or more of the internal control components does not reduce to a relatively low level the risk that misstatements in amounts that would be material in relation to the general purpose financial statements being audited may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions. We noted no matters involving the internal control over financial reporting and its operation that we consider to be material weaknesses. However, we noted other matters involving the internal control over financial reporting that we have reported to the management of City of Winter Springs, Florida, in a separate letter dated February 19, 2001. -. - -. - . ~ ~ Members: Private Companies Practice Section. American Institute of Certified Public Accountants. Florida Institute of Certified Public Accountants 99 100 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . This report is intended solely for the information and use of management, the City Commission, and the Auditor General of the State of Florida and is not intended to be, and should not be used by anyone other than these specified parties. 1t~~~~/~/!#. McDIRMIT, DAVIS, PUCKETT & COMPANY, P.A. February 19, 2001 . . . . . . . . . . . . . . . . . . . . . . . . MCDIRMIT, DAVIS, PUCKETT & COMPANY, P.A. CERTIFIED PUBLIC ACCOUNTANTS AND CONSULTANTS 605 E. Robinson Street, Suite 635 Post Office Box 1185 Orlando, Florida 32802-1185 Telephone: (407) 843-5406 Fax: (407) 649-9339 E-Mail: info@mdpcpa.com INDEPENDENT AUDITOR'S REPORT ON EXAMINATION OF MANAGEMENT'S ASSERTION ABOUT COMPLIANCE WITH SPECIFIED REQUIREMENTS The Honorable Mayor and City Commission City of Winter Springs, Florida We have examined management's assertion, included in its representation letter dated January 9, 2001, that the City of Winter Springs, Florida complied with allowable cost and activity requirements established in the grant agreements applicable to the State grants and aids appropriations identified on Schedule of State Financial Assistance for the year ended September 30, 2000. As discussed in that representation letter, management is responsible for the City of Winter Springs, Florida's compliance with those requirements. Our responsibility is to express an opinion on management's assertion about the City's compliance based on our examination. ... .. ... .. ... .. - - - ... - - - - -. - Our examination was made in accordance with attestation standards established by the American Institute of Certified Public Accountants and, accordingly, included examining, on a test basis, evidence about the City of Winter Springs, Florida's compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our examination provides a reasonable basis for our opinion. Our examination does not provide a legal determination on the City of Winter Springs, Florida's compliance with specified requirements. In our opinion, management's assertion that the City of Winter Springs, Florida complied with the aforementioned requirements during the year ended September 30, 2000, is fairly stated, in all material respects. - This report is intended solely for the information and use of, management, the City Commission, the Auditor General, and the awarding agencies and pass-through entities and is not intended to be, and should not be used by anyone other than these specified parties. - -. - -. - ~~~~/~/!~ - - -- McDIRMIT, DAVIS, PUCKETT & COMPANY, P.A. -. February 19, 2001 ~ Members: Private Companies Practice Section. American Institute of Certified Public Accountants. Florida Inslitute of Certified Public Accountants 101 CITY OF WINTER SPRINGS, FLORIDA SCHFOLJLE OF STATE FINANCIAL ASSISTANCE Year Ended September 30, 2000 Federal State Federal Through Grant CFDA State State Total State Agency/Program Title Number Number Receipts Receipts Receipts State of Florida department Of Transportation: Highway Beautification Grant AE-963 N/A $108,562 $108,562 !h10R f)f)? !h !h 1 OR f)f)? 102 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CITY OF WINTER SPRINGS, FLORIDA NOTES TO SCHEDULE OF STATE FINANCIAL ASSISTANCE Year Ended September 30, 2000 Note 1 - Basis of Presentation: The accompanying Schedule of State Financial Assistance is presented on the cash basis of accounting. The information presented in this schedule is presented in accordance with the requirements of Section 216.349. Florida Statutes. - ... - ... ... - - - - - - - - - -. - - - -. -. - - - - 103 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . This page intentionally left blank. . . . . . . . . . . . . . . . . . . . . . . . . . . . . ... .. ... ... - - - - - - -. - - - -. - - - -. - - - -. -. MCDIRMIT, DAVIS, PUCKETT & COMPANY, P.A. CERTIFIED PUBLIC ACCOYNTANTS AND CONSULl'ANTS 605 E. Robinson Street, Suite 635 Post Office Box 1185 Orlando, Florida 32802-1185 Telephone: (407) 843-5406 Fax: (407) 649-9339 E-Mail: info@mdpcpa.com MANAGEMENT COMMENTS Honorable Mayor and City Commission Gfty of Winter Springs, Florida In connection with our audit of the general purpose financial statements of the City of Winter Springs, Florida, for the year ended September 30, 2000, we are submitting for your consideration the accompanying recommendations designed to help you improve the internal control structure and achieve operational efficiencies. Our comments deal exclusively with weaknesses noted in operational, accounting, and record keeping systems and procedures, and should not be regarded as reflecting on the integrity or capabilities of anyone in your organization. Our comments reflect our desire to be of continuing assistance to management. Since the comments and observations contained in this letter are a by-product of the audit of financial statements, the cost justification and other aspects of our suggestions have not been fully evaluated; these evaluations should be made by management. Therefore, we recognize that, after consideration, certain suggestions and recommendations may not be practical to implement. We have also provided comments as required by the Rules of the Auditor General of the State of Florida. We appreciate the cooperation we have received from the City's personnel in connection with developing these recommendations. We appreciate the opportunity to have been of service to you. Should you have any questions about our recommendations, this letter, or other matters, please contact us at your convenience. h~~~~/~/!#. McDIRMIT, DAVIS, PUCKETT & COMPANY, P.A. February 19, 2001 .. Members: Private Companies Practice Section. American Institute of Certified Public Accountants. Florida Institute of Certified Public Accountants 104 Management Comments City of Winter Springs, Florida February 19, 2000 Page Two A. Status of Prior Year Comments 1. Finance Department The Finance Department experienced considerable employee turnover in key positions during 1999 and 2000. As a result, considerable delay occurred in the closing of fiscal 1999 books and records. Also as a result, fiscal 2000 month- end closings, posting of journal entries, account reconciliations, and record filing have tended to be delinquent. The City has recently hired a new Finance Director and is continuing its efforts to hire additional qualified personnel to remedy the difficulties experienced. Recommendation Steps should be taken to identify all tasks, which remain delinquent in performance. A final plan should then be implemented, considering time necessary to address ongoing requirements and personnel availability, to ensure all delinquent tasks have been remedied. Corrective Action Improvement was made in bringing the books of record up to date. 2. Finance Department Policies ::md Procedures Due to the extent of Finance Department personnel turnover, considerable revision is likely to transpire in tasks and procedures designated among department personnel. Recommendation We recommend formalized policies and procedures be reevaluated and updated to ensure all necessary tasks are performed and to facilitate the process of transition for new personnel. Care should be taken to ensure appropriate controls, including segregation of duties, safeguarding of assets, and access to critical information, are in place. Corrective Action During the current year, policies and procedures were reviewed and revised where necessary. No further recommendation is needed. 3. Budget Monitoring Actual expenditures were in excess of budgeted expenditures for three Special Revenue Funds during fiscal 1999. 105 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. .. - .. ... ... .... .. - ... - - - - - - - - -. - - - - Management Comments City of Winter Springs, Florida February 19, 2001 Page Three Recommendation It is our understanding that the City has implemented procedures to monitor budget versus actual expenditures, including line code transfers, the authorization of supplemental appropriations, and re- budgeting as appropriate. The City should continue to evaluate this process. Corrective Action There were several funds that had actual expenditures in excess of budgeted expenditures in the current year and we continue to recommend that the City monitor this process. 4. Accounts Receivahle- Utilities The accounts receivable aging report currently generated from Pentamation software reflects "current" and "delinquent" categories; however, the number of days delinquent is not available from the system. As a result, accounting personnel must spend significant time manually reviewing individual customer account balances to determine those balances to be turned over to collection agencies. In addition, if inadequate information is available regarding the aging and collectibility of accounts receivable, management's estimate of the allowance for doubtful accounts may differ significantly from actual results. Recommendation It is out understanding that the City intends to convert to a new financial software package in the next year. Consideration should be given to the adequacy of the accounts receivable aging aspect of the software. When converting, adequate history should be loaded into the new billing module to enable the full utilization of the accounts receivable aging function. Corrective Action The new software will be in use starting May 2001 and the accounts receivable aging features of this software will provide much improved information. No further recommendation is considered necessary. - - - - - 106 Management Comments Winter Springs, Florida February 19,2001 Page Four 5. Monitoring of Service Provider Documentation was not available to support the City's monitoring procedures of its billing and collection service provider. Recommendation It is our understanding that the Finance Department reconciles the number of emergency transports recorded by the Fire Department to the number of emergency medical transports billed by their service provider on a monthly basis. The City should ensure documentation is retained supporting the reconciliations to evidence that monitoring of the billing and collection function is performed. Corrective Action Improvement was made in documentation and reconciliation of monitoring the City's service providers. B. Current Year Comments 1 . Bank Reconciliations Sank reconciliations for the General Fund operating and payroll accounts were not prepared on a timely basis. Recommendation It is important to prepare timely bank reconciliations in order to maintain adequate cash controls. 2. Pooled Cash Accounts The City maintains approximately 50 bank accounts which requires many hours of staff time on a monthly basis. Recommendation We recommend that the City convert to pooled cash accounts which will reduce the staff time in bank reconciliations and bank account transfers. 107 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Management Comments Winter Springs, Florida February 19,2001 Page Five 3. Investment Policy Florida Statutes Section 218.415 revisions are effective October 1, 2000 and require the certified public accountants conducting audits shall report, as part of the audit, whether or not the unit of local government has complied with the statute. The revisions in Section 218.415 also require that the local government official responsible for making investment decisions must complete 8 hours of continuing education courses of study related to investments. Recommendation We recommend that the City review its existing investment policy and revise it so that it includes everything required by Florida Statutes Section 218.415. 4. Budget Monitoring ... ... - ... - ... - - -. - -. - -. There is no statutory requirement that municipalities budget for all funds; however, in an effort to achieve an enhanced level of budgetary control, the City has elected to budget for all of its funds. Because the City Charter does say that budgets will be prepared for all funds, we must report actual expenditures in excess of budgeted expenditures, even if they are not material to the financial statements. The following funds had actual expenditures in excess of budgeted expenditures for fiscal year ending September 30, 2000: SpeCial Revenue Funds- Solid Waste Fund, Fire Impact Fee Fund, TLBD Maintenance Fund, and Oak Forest Maintenance Fund. - Debt Service Funds- 1999 Debt Service Fund and Oak Forest Debt Service Fund. - Capital Project Funds- 1997 Construction Fund and the TLBD Improvements Fund. Recommendation While the city maintains a high level of appropriate budgetary control through the use of the encumbrance system, we recommend that the City ensure that the budget is amended for allocations of all expenses including such things as bank service charges and those charges resulting from year- end close. 108 Management Comments Winter Springs, Florida February 19,2001 Page Six 5. Customer Utility Deposits The cash account maintained for customer utility deposits has a balance which is approximately $400,000 higher than the customer deposit liability account. This difference results because customer deposits are refunded from the operating cash account and not the customer utility deposits account. Recommendation If the City is going to maintain a separate cash account for customer deposits, then the balance should be reconciled to the liability account. However, we recommend that the City get rid of the separate account since it is not required. 6. Payroll Cut- off Payroll cut- off is Wednesday, the day before payday. This means that department heads must guess on the hours worked on Wednesday. Recommendation We recommend moving the cut- off period back to eliminate potential problems noted above plus allow more time for the payroll department to process the payroll. C. Comments Required by the Rules of the Auditor General 1. The financial report filed with the Department of Banking and Finance pursuant to Section 218.32(1)(b), Florida Statutes, is in agreement in all material respects with the annual financial audit report for the same period. 2. The City is not, or during the fiscal was not, in a state of financial emergency as a consequence of conditions described in Section 218.503(1) Florida Statutes. 3. The City of Winter Springs, Florida was created under State of Florida law in 1923. There were no component units identified by the City. 109 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . - .. - .. ... .. ... .. ... - -. - - . . . . . . . . . . . . . . . . . . . . . . . . . . . ... .. ... .. ... ... - - -. - - - - - - - - - - - - - -. - -. - -. - -. CITY OF WINTER SPRINGS, FLORIDA 1126 EAST STATE ROAD 434 WINTER SPRINGS, FLORIDA 32708-2799 Telephone (407) 327-1800 February 19,2001 McDirmit, Davis, Puckett & Company, P.A. 605 East Robinson Street, Suite 635 Orlando, Florida 32801 Dear Sir or Madam: Your management comments related to fiscal year ended September 30, 2000 were well received by both the City Manager and the Finance Department. The comments represent opportunities for improvement, most of which we will pursue in fiscal years 2001 and 2002 as noted. Below are the responses to your management comments as required by the Rules of the Auditor General of the State of Florida. Bank Reconciliation's We concur with the recommendation. The Finance Department is committed to the timely preparation of all of its bank reconciliation's and will immediately ensure that they are prepared on a monthly basis going forward. Pooled Cash Accounts We concur with the recommendation. The Finance Department intends on converting to pooled cash as soon as possible, ifnot in 2001, then 2002. Investment Policy We concur with the recommendation. The Finance Department is aware of the new rules regarding local government investing and intends on revising its existing investment policy during fiscal year 200 I. Budget Monitoring We concur with the recommendation. Continued evaluation and refmement of processes including the budget process is a goal of the Finance Department. Customer Utility Deposits We concur with the recommendation. While we are not required to maintain a separate customer deposit account, as an added safeguard to our citizens, we will continue to do so. However, we will immediately begin to reconcile the cash account to the liability account on a monthly basis and perform the appropriate transfers. PayrolI Cut-Off We concur with the recommendation. The Finance Department intends on moving the payroll cut-off period back over a period of time in fiscal year 2001. Once adjusted, the departments will no longer need to estimate the last day of payrolI and the payroll department will have sufficient time to perform a review of data entered prior to the issuance of checks. Sincerely, /~~ ?'J1H Ronald W. McLemore City Manager ~~~~ Louise C. Frangoul Finance Director . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . This page intentionally left blank. - ... - ... - ... - - - - - - - - - - - - -. - - - -. -