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HomeMy WebLinkAbout1990 lC /Ilr~ l()/f l\V 1111~A\lr 1(21111) ll7l~ lC l() IL l() 112 A\ II) l() II g_ g_ lU lCl()~\ IVIl2I~ 1111~ N ~ II V I~ A\NNIUA\IL IfIINA\NlCIIA\IL 1l21~ IV l() ll2lr Ifll\lCA\IL ~1~A\Il2 I~NII)I~II) II) I~ lC I~~\ 1131~1l2 3~ II CITY OF WHEAT RIDGE WHEAT RIDGE, COLORADO COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED DECEMBER 31, 1990 PREPARED BY: James O. Malone City Treasurer Bernadette J. Kimmey Finance Assistant Gruen1er & Associates, P.C. Certified Public Accountants CITY OF WHEAT RIDGE WHEAT RIDGE, COLORADO COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED DECEMBER 31, 1990 TABLE OF CONTENTS INTRODUCTORY SECTION Letters of Transmittal: City Administrator City Treasurer Organizational Chart List of Principal Officials Government Finance Officers Association Certificate of Achievement for Excellence in Financial Reporting FINANCIAL SECTION Independent Auditors' Report General Purpose Financial Statements: sheet - all fund types and Combined balance account groups Combined statement and changes in fund fund types of revenues, expenditures balances - all governmental Combined statement of revenues, expenditures and changes in and changes in fund balances - budget (non-gaap basis) and actual all governmental fund types Comparative statement of revenues, expenses and changes in fund balances - pension trust fund Notes to the financial statements Page No. 1 - 3 4 - 8 9 10 11 13 - 14 15 16 - 19 20 - 21 22 - 25 26 27 - 43 CITY OF WHEAT RIDGE WHEAT RIDGE, COLORADO COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED DECEMBER 31, 1990 TABLE OF CONTENTS (Continued) Supplemental information combininq, individual fund and account qroup statements and schedules General fund: Page No. Comparative balance sheets Comparative statements of revenues, expenditures and changes in fund balances Schedules of revenues, expenditures and changes in fund balance - budget (non-gaap basis) and actual 44 45 46 47 Special revenue funds: Combining balance sheets Combining statement of revenues, expenditures and changes in fund balance 48 49 50 - 51 52 - 53 Combining schedules and changes in fund basis) and actual Debt service fund: of revenues, expenditures balance - budget (non-gaap 54 - 59 60 61 ... Comparative balance sheet Statement of revenues, expenditures and changes in fund balance - budget (gaap basis) and actual Capital projects fund: Comparative balance sheet 62 63 64 Comparative statement of revenues, expenditures and changes in fund balances 65 Schedules of revenues, expenditures and changes in fund balance budget (non-gaap basis) and actual 66 CITY OF WHEAT RIDGE WHEAT RIDGE, COLORADO COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED DECEMBER 31, 1990 TABLE OF CONTENTS (Continued) Supplemental information combininq, individual fund and account qroup statements and schedules (continued) Fiduciary funds: Combining balance sheets Combinin9 statement of changes in assets and liab~lities - all agency funds General fixed assets account group: Comparative schedule of general fixed assets - by source Schedule of general fixed assets by function and activity Schedule of changes in general fixed assets by function and activity STATISTICAL SECTION Property tax levies and collections General governmental expenditures by function General governmental revenues by source General governmental tax revenues by source Property tax rates - direct and overlapping governments Assessed and estimated actual value of property Principal taxpayers Special assessment billings and collections Computation of legal debt margin Computation of direct and overlapping bonded debt Page No. 67 68 - 69 70 - 71 72 73 74 75 77 78 - 79 80 - 81 82 - 83 84 - 85 86 87 88 89 90 CITY OF WHEAT RIDGE WHEAT RIDGE, COLORADO COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED DECEMBER 31, 1990 TABLE OF CONTENTS (Continued) STATISTICAL SECTION - (Continued) Ratio of annual debt service for general bonded debt to total general governmental expenditures Ratio of net bonded debt to assessed value and net bonded debt per capita Revenue bond coverage - sales tax revenue bonds Demographic statistics Construction, property value, and bank deposits Miscellaneous statistics SINGLE AUDIT SECTION Independent auditors' report on internal controls (accounting and administrative)--based on a study and evaluation made as a part of an audit of the general purpose financial statements and the additional tests required by the single audit act Independent auditors' report structure related matters statement audit conducted "government auditing standards" internal control in a financial accordance with on noted in Independent auditors' report on compliance with laws and regulations based on an audit of financial statements performed in accordance with "government auditing standards" Inde~endent auditors' report on requ~rements applicable to nonmajor assistance program transactions Schedule of federal financial assistance compliance with federal financial Independent auditors' report on schedule of federal financial assistance Page No. 91 92 - 93 94 95 96 97 99 - 101 102 - 103 104 105 106 - 107 108 Introductory Section p (1 EJ( I,~ h,o T f::: L i ~ H -\~Jr- f.-i.;" T!~'e ('{ty )l 7S()rl\jl/rST,-'9TH/\.\/[NIIE.\/.HE/~rr:i[!J[ i \lL(IF';':'l-'l'>--<,lli ,~ ~heat GRidge April 21, 1991 The Honorable Mayor Wilde, and Members of the City Council City of Wheat Ridge Wheat Ridge, Colorado Dear Mayor and Members of City Council: In accordance with state statutes and local charter provisions, I hereby transmi t the annual financial report of the City of Wheat Ridge as of December 31, 1990, and for the fiscal year then ended. Responsibility for both the accuracy of the presented data and the completeness and fairness of the presentation, including all disclosures, rests with the City. Management believes that the data, as presented, are accurate in all material aspects; are presented in a manner designed to fairly set forth the financial activity of its various funds; and that all disclosures necessary to enable the reader to gain the maximum understanding of the City's financial affairs have been included. Internal accounting controls are discussed by the City Treasurer in his accompanying letter of transmittal, and within that framework, I believe that the City's internal accounting controls adequately safeguard assets and provide reasonable assurance of proper recording of financial transactions. This report has been prepared in recommended by the Government Finance States and Canada. In accordance with report consists of four parts: (1) Introductory Section, including the City Treasurer's letter of transmittal; (2) Financial Section, including the financial statements, supplemental data on government, and our independent auditor's opinion; (3) Statistical Section, including a number of tables of unaudited data depicting the financial history of the government for the past ten years, information on overlapping governments, and demographic and other miscellaneous information; and the (4) Single Audit Section, in compliance with the Single Audit Act of 1984, for all federal grants. accordance with the guidelines Officers Association of the United these guidelines, the accompanying This report conformance Standards. THE REPORTING ENTITY AND ITS SERVICES includes all of the funds and account groups of the City in with Governmental Accounting and Financial Reporting Services provided by the City include public safety(police only), public works (streets, traffic, public improvements), parks and recreation, planning and zoning, and general administrative services. "The ('arnutIPI1 ('11\" - 1 The R-1 School District provides all educational services to the students within Jefferson County, Colorado. The R-1 School District is the reporting entity and is not a part of the City of Wheat Ridge. Additionally, numerous special districts provide water, sanitation, and fire protection services, all of which are their own reporting entities. ECONOMIC CONDITION AND OUTLOOK Wheat Ridge is primarily a residential suburban community bound on three sides by the cities of Denver, Lakewood, and Arvada. Unincorporated Jefferson County lies to the west. Interstate 70, which is Colorado's maj or east-west highway, passes through Wheat Ridge on the north and west. This highway is a major link between Stapleton International Airport, downtown Denver, receational areas in the Rocky Mountains. As there is little room for outward growth, redevelopment of existing areas comprises the new construction in Wheat Ridge. During the past year, commercial construction included the start of a large medical office building on the Lutheran Medical Center campus, a convenience store/gas station/car wash, an appliance service store, and a camper sales and service building. Wheat Ridge is known for its business stability. The major property tax payers include a brewery glass container plant, three shopping centers, a psychiatric hospital and a medical office building, and a candy manufacturing plant. Sales tax, our largest source of revenue, is derived mainly from four supermarkets, electricity/gas and telephone utilities, a liquor store, and a discount general merchandise store. By using conservative revenue estimates and monthly monitoring of expenditures throughout 1990, the City was able to add an additional $792,242 to the General Fund carryover fund balance from 1989. The 1991 budget maintains the current level of services while keeping expenditures to a minimum. It is a balanced budget, and the staff remains committed to that goal. Wheat Ridge still boasts one of the lowest sales and property tax rates in the metro area. MAJOR INITIATIVES In March, 1989 the City Council approved the first participant in the Enhanced Sales Tax Incentive Program (ESTIP). Applewood Village Shopping Center has agreed to perform certain public related improvements at the shopping center to encourage expansion o~ retail sales tax businesses in Wheat Ridge. In return, the City will share in the sales tax collected from the shopping center over an established base amount for the next ten years. Payouts to date total $375,800. A joint project with the City of Lakewood to reconstruct 32nd Avenue between Youngfield and Simms was completed in 1990. Federal grant funds have been approved to continue the reconstruction between Simms and Kipling Streets through 1991. The City will contribute one-half to the $2.5 million dollar project. Revitalization of 38th Avenue began with community meetings in 1989 and construction will continue through 1994. The segment between Wadsworth Boulevard and Pierce Street was completed in 1990, except for a final layer of asphalt to be applied in the spring of 1991. The segment 2 between Pierce street and Sheridan Boulevard will be completed next, as it includes a major portion of the businesses in Wheat Ridge. Improving streets, sidewalks and landscaping in this vi tal area of Wheat Ridge will provide an attractive and viable business district while adding to our sales tax base. Wadsworth to Kipling will be the next phase of the construction, then Kipling to Parfet will finish the scheduled 38th Avenue project in 1994. Through the Jefferson County Open Space Program, Wheat Ridge's attributable share of available funds was $1.05 million as of January 1, 1990. The money, which is derived from a $.005 sales tax levied by Jefferson County especially for this program can be used for land development and related park maintenance expenditures. The major use of funds during 1990 included the reconstruction of Paramount Park and the construction of new facilities in Prospect Park. Additional land was acquired adjacent to Wheat Ridge Park. City Council approved the funding for a Drug Abuse Resistance Education (D.A.R.E.) program starting in June of 1990. One sworn police officer has been assigned to this program which emphasizes sixteen weeks of education to 6th grade students in three of the Wheat Ridge elementary schools. The Wheat Ridge Coalition received an additional $16,400 in grant money from the Colorado Department of Health for alcohol and drug prevention, intervention, and high risk youth prevention services for the 1990-91 school year. This is the third year for the awarding of grant monies for the Drug Coalition. During 1989, the City Council passed a resolution banning the purchase of non-biodegradable products, such as styrofoam cups, by the City. In 1990, as a measure to continue this effort, the City started recycling all paper products. Even though only $64.11 has been received from the recycling program, a total of 2,200 pounds of paper have been recycled that would otherwise have been destroyed. CONCLUSION state law requires that the financial statements of the City of Wheat Ridge be audited by an independent certified public accountant selected by the City Council. This requirement has been complied with, and our auditor's opinions are included in the financial and single audit sections of this report. The preparation of this annual financial report could not have been accomplished without the dedication of the City Treasurer I s office. I express my appreciation to all involved for their continued efforts in the management of the City's accounting and financial programs. Respectfully submitted, ~~~ -M~ael . Smith, City A lnistrator 3 F' (l f=)( IX f),~(, ! F! F-I="Hi~ir',It-_ i- q,~ 7~17f~ eft}/ u f 7'iO(1 VVEc,1 '91H A'JE~jIIEc . \"'HE'^T C;li'l,i' 'jl '[I '''''I-Ii ;Iii : ~heat <Ridge April 22, 1991 The Honorable Mayor Wilde, Wheat Ridge City Council, and City Administrator City of Wheat Ridge Wheat Ridge, Colorado Dear Mayor and Members of City Council: The Comprehensive Annual Financial Report of the City of Wheat Ridge, for the fiscal year ended December 31, 1990, is submitted herewith. This report was prepared by the City Treasurer's office. ACCOUNTING SYSTEM AND BUDGETARY CONTROL In developing and evaluating the City's accounting system, consideration is given to the adequacy of internal controls. Internal accounting controls are designed to provide reasonable, but not absolute, assurance regarding the safeguarding of assets against loss from unauthorized use or disposition and the reliability of financial records for preparing financial statements and maintaining accountability for assets. The concept of reasonable assurance recognizes that the cost of a control should not exceed the benefits likely to be derived and the evaluation of costs and benefits requires estimates and judgements by management. The City of Wheat Ridge uses funds and account groups to report on its financial position and the results of its operations. Fund accounting is designed to demonstrate legal compliance and to aid financial management by segregating transactions related to certain government functions or acti vi ties. The City has a general fund where all the current operations of the City are recorded; a capital projects fund where all major drainage, street, traffic, and building projects are recorded; and 13 other smaller funds established for a particular purpose. The two account groups - fixed assets and general long-term debt - are concerned only with the measurement of financial position and thus do not record results of operations. The budget process begins in April and ends with the adoption by City Council prior to December 15 of each year. The budget document is prepared on a generally accepted accounting principles (gaap) basis, excepting the General, Capital Project, Open Space and Capital Improvement funds which are adopted on a non-gaap basis. The level of budgetary control (the level at which expenditures cannot legally exceed the appropriated amount) is established at the department/division level within an individual fund. The budget is then integrated into the formal accounting system January 1 of each year. Supplementary budgets and appropriations must be adopted by resolution at a City Council meeting and publication of the proposed resolution must appear in a local newspaper in conformity with local budget law and Colorado Revised Statutes. Additional budgetary control is maintained by the encumbrance of purchase amounts prior to the release '"The Carnatwn ('11'." 4 of purchase orders to vendors. Encumbrances present commitments related to unperformed contracts for goods or services. Open encumbrances are reported as reservations of fund balance at year end. GENERAL GOVERNMENTAL FUNCTIONS Revenues for general governmental functions (General, Special Revenue and Debt Service funds) totaled $8,799,185 in 1990, an increase of 2.89% over 1989. The amount of revenues from various sources and the increase (decrease) over last year are shown in the following table: INCREASE PERCENTAGE REVENUES PERCENTAGE (DECREASE) INCREASE BY SOURCE 1990 AMOUNT OF TOTAL FROM 1989 (DECREASE) Taxes $5,736,579 65.19% $ 565,262 9.85 % Licenses & Permits 332,499 3.78 106,538 32.04 Intergovernmental 1,810,246 20.57 (188,661) (10.42) Charges for Services 236,700 2.69 (268,067) ( 53. 11 ) Fines & Forfeitures 396,718 4.51 7,118 1. 79 Interest Income 188,835 2.15 19,135 10.13 Other Revenue 97.608 loll 13.209 13.53 TOTAL $8,799,185 $ 254,534 The major source of revenue for the City of Wheat Ridge is retail sales and use tax. This comprises forty-three percent (43%) of total current General Fund revenue. The one percent (1%) General Fund sales tax revenues for 1990 were $2,730,931, a decrease of 0.87% or $24,041 from 1989 collections. General Fund use tax (auto, building, professional and retail) revenues for 1990 were $1,185,551, an increase of 79.95% or $526,721. Prior to 1989, one-half or 1% of the total sales tax collected was accounted for in the Capital Improvement Fund (a special revenue fund). This fund was closed December 31, 1988. The Capital Projects Fund now accounts for this sales tax and is not included in this table. Current property tax collections for 1990 were 98.8% of the tax levy. The mill levy was set at 2.082 mills for 1988; increased to 2.2665 mills in 1989; and raised to 2.418 mills in 1990 to stay within the property tax limitation set by state statute. The hailstorm on July 11, 1990 resulted in many roofs needing to be replaced and bringing in unexpected revenue in contractor's licenses and building permits. Fleet maintenance expenses were charged to the Fleet Maintenance/Shops Division in 1990. Prior to that time, fleet maintenance expenses were being reimbursed under charges for services by each division. Expenditures for general governmental functions totaled $8,966,635 in 1990, an increase of 1.4% over 1989. Increases or (decreases) in levels of expenditures for major functions of the City over the past year are shown in the following table: 5 EXPENDITURE INCREASE PERCENTAGE ACTIVITY PERCENTAGE (DECREASE) INCREASE BY FUNCTION 1990 AMOUNT OF TOTAL FROM 1989 (DECREASE) Current: General Government $1,073,469 11.97% $ 21,307 1.99 % Planning & Develop. 466,862 5.21 20,198 4.33 Public Safety 3,161,272 35.26 (32,859) ( 1. 04 ) Public Works 1,883,838 21. 01 (176,825) (9.39) Parks & Recreation 1,537,240 17.14 459,188 29.87 Other 632,529 7.05 (166,252) (26.28) Debt Service 211. 425 2.36 250 0.12 TOTAL $8,966,635 $ 125,007 The large increase in Parks and Recreation expenditures for 1990 is due to the Conservation Trust fund being restated as a special revenue rather than an expendable trust fund. Otherwise, there were no major changes in expenditures for 1990. PENSION FUNDING POLICIES The City participates in three mandatory and voluntary pension plans. All full-time, sworn police officers participate in a single employer defined contribution money purchase plan. The employee contributes ten percent (10%) of annual salary, and the City contributes ten percent ( 10%). Three department heads and the City Administrator contribute four-percent (4%) and five-percent (5%) respectively, to the International City Managers Association (ICMA), I.R.C. Section 457 retirement plan. The City matches these amounts. The remainder of the full-time permanent employees are required to join the Colorado County Officials and Employees Retirement Association plan after one year of service with the City. These employees contribute four-percent (4%) of their annual salary to the plan, which the City also matches. DEBT ADMINISTRATION The City may use debt financing when either long-term capital projects are desired, or when it can be determined that future citizens will receive a benefit from the improvement. Sales Tax Revenue bonds were issued August 12, 1988, for $2.99 million. These bonds, rated "A" by Moody's, were sold to finance capital projects budgeted in the Capital Projects Fund. These bonds will be repaid over the next ten years through a one-percent (1%) share of the sales tax collections. Projects include 32nd Avenue and 38th Avenue reconstruction. As of December 31, 1990, Wheat Ridge has a $90 per capita debt ratio. This bond issuance makes up 9.29% of the legal debt limited by City Charter and a maximum of $28.75 million remains available for future bond issuances. This bond issuance is accounted for in the Debt Service Fund. The City has entered into several lease agreements for financing the acquisition of equipment including a street sweeper, a telephone system and several copiers. The lease agreements specifically state that the leases can be cancelled at any time if the City Council does not appropriate funds for that purpose. Funds are budgeted and encumbered for that years payments only. 6 Wheat Ridge entered into its first long-term bonded indebtedness in 1988. On June 24, 1988, $1.25 million in Special Assessment bonds were issued for the payment of part of the construction costs of local improvements in the newly created Special Improvement District No. 1987-1. By passage of Ordinance 751, Series of 1988, the City Council caused assessments to be imposed against the real property included in the District specially benefitted by the improvements. The assessments are to be paid in ten amortized annual installments of principal and interest, and are certified to the County Treasurer annually for payment with the property tax assessments. The City has no obligation for payment of the debt on these bonds and thus is recorded in an agency fund. CASH MANAGEMENT It is the responsibility of the City Treasurer to invest all idle funds and cash within each fund. The City of Wheat Ridge has formally adopted the prudent investor rule as a guide to the Treasurer's Office in making municipal investments to maximize yield while minimizing risk. City funds may be invested in insured savings and money market accounts, certificates of deposit, securities of the U. S. Government and its agencies, repurchase agreements, and three local government investment pools, in conformance with the Colorado Public Deposit Protection Act requirements. The City Treasurer monitors the interest rates on a daily basis. Relatively small amounts of idle cash are maintained in checking accounts to cover checks written. Savings and money market accounts must be insured by the F .D. I. C. At the end of 1990, the City's investment in certificates of deposit and government securities varied in interest rates from 7.32% to 9.0%, and 5.0% to 6.65% in savings and money market accounts, respectively. The City's investment portfolio indicates investments were 94% in U.S. Government securities and 6% in money market or savings accounts, as of December 31, 1990. RISK MANAGEMENT The City of Wheat Ridge takes seriously the need for a strong risk management program. The City's program includes periodic review of all policies, procedures and activities. Legal review of all contracts, an active employee safety committee, employee training, review of insurance coverage, and other ongoing loss control activities are also employed. Working closely with our insurers and attorneys, the City acts quickly to resolve any known risk management problems. The City participates in a joint venture with other Colorado municipalities for liability and property insurance, and workers' compensation. The Colorado Intergovernmental Risk Sharing Agency (CIRSA) is a separate and independent governmental and legal entity. RESERVE POLICY The City of Wheat Ridge maintains at least an eight percent ( 8%) contingency reserve in the General Fund with the 1988 fund balance being at nineteen percent (19%); 1989 at eighteen percent (18%); and 1990 at twenty-nine percent (29%). The City Administrator plans for a fifteen percent reserve balance each year. This represents the amount 7 reserved for such items as emergency expenditures, absences, and salaries budgeted but not allocated. compensated INDEPENDENT AUDIT Colorado state statutes and the Wheat Ridge city charter require an annual audit of the books of account, financial records, and transactions of all administrative departments of the City. An independent certified public accountant selected by the City Council has performed this requirement and the auditor's opinion has been included in this report. In addition, the 1990 report contains a Single Audit Section which is required when participating in a non-major Federal financial assistance program. AWARDS The Government Finance Officers Association of the United States and Canada awards a Certificate of Achievement for Excellence in Financial Reporting to local governmental entities for their Comprehensive Annual Financial Report. The City of Wheat Ridge received this award for fiscal year 1989. In order to be awarded a Certificate of Achievement, a city must publish an easily readable and efficiently organized comprehensive annual financial report, which contents conform to program standards. Such reports must satisfy both Generally Accepted Accounting Principles (GAAP), and applicable legal requirements. A Certificate of Achievement is valid for one year only. ACKNOWLEDGEMENTS I would like to express my appreciation to Bernadette Kimmey, Finance Assistant and to members of the accounting staff who assisted the audi tors in preparing this report. Special thanks are extended to members of the independent Certified Public Accounting firm of Gruen1er and Associates, P.C., for the manner in which they accomplished the 1990 audit. Respectfully submitted, ~.~~ City Treasurer 8 CITIZENS OF WHEAT RIDGE CITY [COUNCIL I I L______ MUNICIPAL: JUDGE ~ . ~uniciPal CITY I ATTORNEY I CITY i ADMINISTRATOR I I Court-' PLANNING & DEVELOPMENT Building In.pection Building Maintenance 'tCiVil Di.a.ter Code Enforcement Planning , Zoning i ~ Accounting tAUdit t-Budget [Data Proce..ing Purcha.ing Sale. Tax Switchboard Per.onnel PARKS & RECREATION , [Park. Maintenance , Fore.try Recreation 9 I I II CITY CLERK ~ CITY TREASURER POLICE Ani.al/Park. Enforceaent Co_unication. lnve.tigation Patrol , Traffic Record. Support Service. PUBLIC WORKS Engineering l Fleet Maintenance Street Maintenance Traffic Maintenance OFFICIALS CITY OF WHEAT RIDGE MAYOR Dan Wilde CITY COUNCIL Larry Merkl Kent Davis Elise Brougham Phillip Edwards District I District II District III District IV CITY CLERK Wanda Sang CITY A ITORNEY John E. Hayes Ronald Selstad Anthony Flasco Donald Eafanti William Shanley CITY TREASURER James O. Malone MUNICIPAL JUDGE Randall J. Davis CITY ADMINISTRATOR Michael J. Smith DIRECTOR OF PLANNING AND DEVELOPMENT DIRECTOR OF PARKS AND RECREATION CHIEF OF POLICE DIRECTOR OF PUBLIC WORKS FINANCE ASSISTANT 10 Glen Gidley Gary Wardle Jack A. Hurst Robert Goebel Bernadette J. Kimmey Certificate of Achievement for Excellence in Financial Reporting Presented to City of Wheat Ridge, Colorado For its Comprehensive Annual Financial Report for the Fiscal Year Ended December 31, 1989 A Certificate of Achievement for Excellence in Financial Reporting is presented by the Government Finance Officers Association of the United States and Canada to government units and public employee retirement systems whose comprehensive annual financial reports (CAFR's) achieve the highest standards in government accounting and financial reporting. ~IC.~ President jJff;r/~ Executive Director 11 12 Financial Section 3201 E. Third Avenue Denver Colorado 80206 (303) 388.4181 FJ\X(303) 388.4182 = GRUENLER & = ASSOCIATES 118 Sixth Street, 25C Glenwood Springs, Colorado 81601 (303) 945.2695 INDEPENDENT AUDITORS' REPORT To the City Council City of Wheat Ridge, Colorado We have audited the accompanying general purpose financial statements of the City of Wheat Ridge, Colorado, as of December 31, 1990, and for the year then ended, as listed in the table of contents. These general purpose financial statements are the responsibility of th~ City of Wheat Ridge, Colorado, management. Our responsibility 1S 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. 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 Wheat Ridge, Colorado, as of December 31, 1990, and the results of the operations of its pension trust fund for the year then ended in conformity with generally accepted accounting principles. Our audit was conducted for the purpose of forming an opinion on the general purpose financial statements taken as a whole. The comb1ning and individual fund and account group financial statements and schedules listed in the table of contents are presented for purposes of additional analrsis and are not a required part of the general purpose financ1al statements of the Cit~ of Wheat Ridge, Colorado. Such information has been subJected to the aud1ting procedures applied in the audit of the general purpose financial statements and, in our o~inion, is fairly presented in all material respects in relat10n to the general purpose financial statements taken as a whole. Certified Public Accountants Members of American Institute of Certified Public Accountants DIVISiOn for CPA Firms Colorado Society of Certified Public Accountants Governmental FlnancdBlfficers Association Our audit was made for the purpose of forming an opinion on the general ~urpose financial statements taken as a whole. The accompany~ng introductory section and statistical information listed ~n the table of contents is ~resented for purposes of additional analysis and is not a requ~red part of the general purpose financ~al statements of the City of Wheat Ridge, Colorado. Such information has not been subjected to the auditing procedures applied in the audit of the general purpose financial statements of the City of Wheat Ridge, Colorado, and accordingly, we express no opinion on it. April 8, 1991 ~~~ ~C\~, ~. c.. 14 GENERAL PURPOSE FINANCIAL STATEMENTS The general purpose financial statements provide a financial overview of the City's operations. These financial statements present the financial position and operating results of all funds and account groups as of December 31, 1990. 15 CITY OF WHEAT RIDGE, COLORADO COMBINED BALANCE SHEET ALL FUND TYPES AND ACCOUNT GROUPS DECEMBER 31, 1990 (With comparative totals for December 31, 1989) ASSETS AND OTHER DEBITS ASSETS Cash and equivalents Investments Accounts receivable: State County government Other Special assessments Due from: Other funds Plan trustee Inventory Restricted: Cash Investments Fixed assets OTHER DEBITS Amount available in debt service fund Amount to be provided for: retirement of general long-term debt TOTAL ASSETS General $ 314,638 1,870,190 18,128 631,006 41,845 174,558 138,293 23,487 100,000 $ 3,312,145 Governmental Special Revenue $ 233,041 135,634 66,539 $ 435,214 Fund Types Debt Service $ 47,175 299,000 $ 346,175 The accompanying notes are an integral part of this statement. 16 Capital Project $ 4,088,111 14,111 $ 4,102,222 Fiduciary Account Groups Fund Type General General Totals Trust and Fixed Long-Term (Memorandum Only) Agency Assets Debt 1990 1989 $ 140,388 $ $ $ 735,242 $ 1.938,435 118,814 6,212,749 5,211,609 18,128 30,298 697,545 701,388 692 56,648 129,572 819,208 10,396 184,954 76,872 5,458,227 5,458,227 5,248,063 138,293 42,404 23,487 69,826 399,000 399,000 18,321,370 18,321,370 18,059,496 346,175 346,175 343,157 3,038,673 3,038,673 2,989,854 $ 5,728,517 $ 18,321,370 $ 3,384,848 $ 35,630,491 $ 36,059,183 (Continued on next page) 17 CITY OF WHEAT RIDGE, COLORADO COMBINED BALANCE SHEET ALL FUND TYPES AND ACCOUNT GROUPS DECEMBER 31, 1990 (Con tinued) (With comparative totals for December 31, 1989) General Governmental Fund Special Revenue Types Debt Service Capital Project LIABILITIES, FUND EQUITY AND OTHER CREDITS: LIABILITIES Accounts payable: Trade Restricted assets Refundable escrow Employees Accrued payroll benefits Advance contributions Refundable escrow deposits Due to: Other funds Special District Deferred revenue: Property taxes Capital leases Bonds payable $ 11,298 16,623 21. 223 127,677 15,851 $ 16,694 $ $ 64,147 10,397 170,906 3,655 568,301 Total liabilities 771,370 187,600 67,802 FUND EQUITY AND OTHER CREDITS Investment in general fixed assets Fund balances: Reserved for: Encumbrances 97,877 35,577 1,206,330 Capital projects 743,695 Debt service 346,175 Inventory 138,293 Retirement plans Unreserved: Designated for subsequent years' expenditures 1,922,887 109,157 305,574 Undesignated 381,718 102,880 1,778,821 Total equity and other credits 2,540,775 247,614 346,175 4,034,420 TOTAL LIABILITES, FUND EQUITY AND OTHER CREDITS $ 3, ;312, 145 $ 435,214 $ 346,175 $ 4,102,222 The accompanying notes are an integral part of this statement. 18 Fiduciary Fund Type Trust and Agency Account General Fixed Assets Groups General Long-Term Debt Totals (Memorandum only) 1990 1989 $ $ $ $ 92,139 $ 13,661 16,623 31,359 21,223 35,644 574,651 702,328 659,745 260,442 276,293 276,904 11,293 11,293 11,293 95,521 95,521 87,607 184,958 76,872 174,769 174,769 1,250,000 568,301 574,538 134,406 134,406 80,403 2,990,000 2,990,000 2,990,000 856,234 3,384,848 5,267,854 6,088,026 ..... 18,321,370 18,321,370 4,872,283 1,339,784 743,695 346,175 138,293 4,872,283 2,337,618 2,263,419 4,872,283 18,321,370 30,362,637 $ 5,728,517 $ 18,321,370 $ 3,384,848 $ 35,630,491 19 18,059,496 230,795 2,108,223 343,157 42,404 4,687,966 3,204,604 1,294,512 29,971,157 $ 36,059,183 CITY OF WHEAT RIDGE, COLORADO COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES ALL GOVERNMENTAL FUND TYPES FOR THE FISCAL YEAR ENDED DECEMBER 31, 1990 (With comparative totals for December 31, 1989) REVENUES Taxes Licenses and permits Intergovernmental Charges for services Fines and forfeitures Interest Other Total revenue EXPENDITURES Curren t : General government Planning and development Police Public works Parks and recreation Other Capital outlay Debt service: Bond interest Total expenditures EXCESS (DEFICIENCY) OF REVENUES OVER EXPENDITURES OTHER FINANCING SOURCES (USES) Transfers in (out) - net Capital lease EXCESS (DEFICIENCY) OF REVENUES AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES Fund balances, beginning of year FUND BALANCES, END OF YEAR General Special Revenue $ 5,736,579 332,499 1,397,679 235,575 396,718 141,884 91, 426 $ 428,759 1,125 16,911 6,182 8,332,360 452,977 1,073,469 464,694 3,161,209 1,766,061 1,127,544 626,044 90,184 21,916 2,168 440,078 8,309,205 464,162 ... 23,155 (11,185) 759,997 90,184 (262,160) 873,336 (273,345) 1,667,439 520,959 $ 2,540,775 $ 247,614 The accompanying notes are an integral part of this statement 20 Totals Debt Capital (Memorandum Only) Service Project 1990 1989 $ $ 2,730,931 $ 8,467,510 $ 7,926,290 332,499 225,961 45,260 1,871,698 2,219,404 236,700 504,767 396,718 389,600 30,443 257,760 446,998 387,492 23,125 120,733 109,695 30,443 3,057,076 11,872,856 11,763,209 1,073,469 1,052,162 464,694 446,664 3,183,125 3,194,131 1,768,229 1,901,466 1,567,622 1,115,805 500 626,544 799,031 2,990,796 3,080,980 1,710,827 210,925 210,925 210,925 ~- 211,425 2,990,796 11,975,588 10,431,011 (180,982) 66,280 (102,732) 1,332,198 184,000 (724,000) (42,163) 90,184 3,018 (657,720) (54,711) 1,332,198 343,157 4,692,140 7,223,695 5,891,497 $ 346,175 $ 4,034,420 $ 7,168,984 $ 7,223,695 21 CITY OF WHEAT RIDGE, COLORADO COMBINED STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCES BUDGET (NON-GAAP BASIS) AND ACTUAL ALL GOVERNMENTAL FUND TYPES FOR THE FISCAL YEAR ENDED DECEMBER 31, 1990 General Fund Variance Favorable Budget Actual ( Unfavorable) $ 5,398,351 $ 5,736,579 $ 338,228 263,500 332,499 68,999 1,321,121 1,397,679 76,558 213,500 235,575 22,075 385,725 396,718 10,993 85,000 141,884 56,884 35,000 91,426 56,426 7,702,197 8,332,360 630,163 REVENUES Taxes Licenses and permits Intergovernmental Charges for services Fines and forfeitures Interest Other Total revenue EXPENDITURES Current: General government Planning and development Police Public works Parks and recreation Other Capital outlay Debt service: Bond interest 1,136,647 488,885 3,201,189 1,907,246 1,142,256 2,029,115 Total expenditures 9,905,338 EXCESS (DEFICIENCY) OF REVENUES OVER EXPENDITURES (2,203,141) OTHER FINANCING SOURCES Transfers in (out) Capital lease 760,000 EXCESS (DEFICIENCY) OF REVENUES AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER AND OTHER FINANCING USES (BUDGETARY BASIS) $ (1,443,141) ADJUSTMENTS TO GAAP BASIS Encumbrances: Prior year paid in current year Current year outstanding Total adjustments EXCESS (DEFICIENCY) OF REVENUES AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES (GAAP BASIS) Fund balances, beginning of year FUND BALANCES, END OF YEAR 1,073,469 464,694 3,152,055 1,861,043 1,119,915 628,939 90,184 8,390,299 (57,939) 759,997 90,184 792.242 (16,783) 97,877 81,094 873.336 1,667.439 $ 2,540,775 The accompanying notes are an integral part of this statement. 22 63,178 24,191 49,134 46,203 22,341 1,400,176 (90,184) 1.515,039 2.145,202 (3 ) 90,184 $ 2,235,383 Special Revenue Variance Favorable Budget Actual (Unfavorable) $ $ $ 1,315,000 428,759 (886,241) 700 1,125 425 10,675 16,911 6,236 7,000 6,182 ( 818) 1,333,375 452,977 (880,398) 25,600 17,062 1,213,772 21,916 2,168 194,797 3,684 14,894 1,018,975 1,256,434 218,881 1,037,553 76,941 234,096 157,155 (220,000) (262,160) (42,160) $ (143,059) (28,064) $ 114,995 (280,858) 35,577 (245,281) (273,345) 520,959 $ 247,614 (Continued on next page) 23 CITY OF WHEAT RIDGE, COLORADO COMBINED STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCES BUDGET (NON-GAAP BASIS) AND ACTUAL ALL GOVERNMENTAL FUND TYPES FOR THE FISCAL YEAR ENDED DECEMBER 31, 1990 ( Continued) Debt Service Fund BUdget Actual Variance Favorable (Unfavorable) REVENUES Taxes Licenses and permits Intergovernmental Charges for services Fines and forfeitures Interest Other $ $ $ 500 30,443 29,943 Total revenue 500 30,443 29,943 EXPENDITURES Curren t: General government Planning and development Police Public works Parks and recreation Other Capital outlay Debt service: Bond interest 500 500 210,925 210,925 Total expenditures 211,425 211,425 EXCESS (DEFICIENCY) OF REVENUES OVER EXPENDITURES (210,925) (180,982) 29,943 OTHER FINANCING SOURCES Transfers in (out) Capital lease 210,925 184,000 (26,925) EXCESS (DEFICIENCY) OF REVENUES AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES (BUDGETARY BASIS) $ 3,018 $ 3,018 ADJUSTMENTS TO GAAP BASIS Encumbrances: Prior year paid in current year Current year outstanding Total adjustments EXCESS (DEFICIENCY) OF REVENUES AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES (GAAP BASIS) 3,018 Fund balances, beginning of year 343,157 FUND BALANCES, END OF YEAR $ 346,175 The accompanying notes are an integral part of this statement. 24 Capital Project Variance Favorable Budget Actual ( Unfavorable) $ 2,900,000 $ 2,730,931 $ (169,069) 288,640 45,260 (243,380) 185,000 257,760 72,760 25,000 23,125 (1,875) 3,398,640 3,057,076 (341,564 ) 5,013,727 3,708,699 1,305,028 5,013,727 3,708,699 1,305,028 (1,615,087) (651,623) 963,464 (750,925) (724,000) 26,925 $ (2,366,012) (1,375,623) $ 990,389 (488,427) 1,206,330 717,903 ( 657,720) 4,692,140 $ 4,034,420 25 CITY OF WHEAT RIDGE, COLORADO COMPARATIVE STATEMENT OF REVENUES, EXPENSES AND CHANGES IN FUND BALANCES PENSION TRUST - POLICE PENSION FUND FOR THE FISCAL YEAR ENDED DECEMBER 31, 1990 1990 OPERATING REVENUES: Contributions: Employer Employee - mandatory Employee voluntary $ 170,932 170,932 14,803 Total operating revenues 356,667 OPERATING EXPENSES: Benefit payments Administrative charges 247,169 27,150 Total operating expenses 274,319 OPERATING INCOME (LOSS) 82,348 NONOPERATING INCOME (EXPENSE) Interest Securities gain (loss) 344,415 (242,471) Total nonoperating income (expense) 101,944 NET INCOME (LOSS) 184,292 Fund balance, beginning of year 4,699,284 FUND BALANCE, END OF YEAR $ 4,883,576 1989 $ 165,656 165,656 16,117 347,429 99,046 37,562 136,608 210,821 428,886 53,235 482,121 692,942 4,006,342 $ 4,699,284 The accompanying notes are an integral part of this statement. 26 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS DECEMBER 31, 1990 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The accounting policies of the City of Wheat Ridge, Colorado, (The City), conform to generally accepted accounting principles as applicable to governments. The following is a summary of the more significant policies consistently used in the preparation of the City's financial statements. A. Principles used in determining the scope of the reporting entity for financial purposes. In conformance with Governmental Accounting and Financial Reporting Standards, the City of Wheat Ridge, Colorado, is the reporting entity for financial reporting purposes. The City is a "Home Rule City" (a municipal corporation), as defined by Colorado Revised Statutes. The City is the lowest level of government having oversight responsibility and control over all activities within the geographical area organized as the City of Wheat Ridge, Colorado. The City is not included in any other governmental reporting entity because the City Council and certain officials are publicly elected, they are empowered to adopt a budget to expend City revenues, select management, significantly influence operations and are primarily accountable for fiscal matters. The financial statements of the City include all funds and account groups that are controlled by or dependent upon the elected officials. Control by or dependence on the elected officials is determined on the basis of budget adoption, taxing authority, outstanding debt which may be secured by general obligation of the City, and the responsibility of the City to finance debt or make subsidies to funds and account groups. All funds and the account groups included in this report were included in last year's report. The Police Investigation Fund, a special revenue fund, was created by action of City Council during 1990. The Conservation Trust Fund was formerly reported as an expendable trust fund is now reported as a special revenue fund. The following governmental units are excluded from the financial statements of the City because each has an independently elected board of directors with separate taxing authority and accountability for financial matters: 27 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS Jefferson County Wheat Ridge Water District Wheat Ridge School District R-l Valley Water District Westridge Sanitation Wheat Ridge Economic Development and Commission Bellaire Sanitation District Fruitdale Sanitation District North West Lakewood Sanitation District Urban Drainage and Flood Control District Wheat Ridge Fire Protection Wheat Ridge Sanitation District Valley Water District Revitalization B. Fund accounting The accounts of the City are organized on the basis of funds and account groups, each of which is consic' ~red a separate accounting entity. The operations of 'ach fund are accounted for with a separate set of self-ba ,ncing accounts that comprise its assets, liabilities, fund quity, revenue, and expenditures, or expenses, as accou'ted for in individual funds based upon the purposes for which they are to be spent and the means by which spendinc activities are controlled. The various funds are grouped .n the financial statements in this report, into five generic fund types and two broad fund categories as follows: Governmental funds General fund - is the general operating fund of the City. It is used to account for all financial resources except those required to be accounted for in another fund. Special revenue funds account for the proceeds of specific revenue sources that are legally restricted to expenditures for specific purposes. The City has seven special revenue funds. Debt Service fund accounts for the resources for, and payment of general principal, interest and related costs. accumulation of long-term debt Capital pro;ect used for the capital facilities proprietary funds). fund - accounts acquisition or (other than for financial resources construction of major those financed by 28 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS Fiduciarv funds Fiduciary funds account for assets held by the City in a trustee capacity. Pension funds are accounted for in essentially the same manner as a proprietary fund, that it's operations are financed and operated in a manner similar to private business enterprise, since capital maintenance is critical. Agency funds are generally used to account for assets that the City holds on behalf of others as their agent. C. Basis of accounting The accounting and financial reporting treatment applied to a fund is determined by its measurement focus. All governmental funds are accounted for using a current financial resources measurement focus. With this measurement focus, only current assets and current liabilities generally are included on the balance sheet. Operating statements of these funds present increases (i.e., revenues and other financing sources) and deceases (i.e., expenditures and other financing uses) in net current assets. The modified accrual basis of accounting is used by all governmental fund types. Under the modified accrual basis of accounting, revenues are recognized when susceptible to accrual (i. e., when they become measurable and available). "Measurable" means the amount of the transaction can be determined and "available" means collectible within the current period or soon enough thereafter to pay liabilities of the current period. A one year availability period is used for revenue recognition for all governmental fund revenue. Expenditures are recorded when the related fund liability is incurred. Those revenues susceptible to accrual are franchise fees, property, road and bridge, cigarette and highway users taxes. Fines, permits and sales tax revenues are not susceptible to accrual because generally they are not measurable until received in cash. The City reports deferred revenue on its combined balance sheet. Deferred revenues arise when a potential revenue does not meet both the "measurable" and "available" criteria for recognition in the current period. In subsequent periods, when both revenue recognition criteria are met, or when the government has a legal claim to the resources, the liability for deferred revenue is removed from the combined balance sheet and revenue is recognized. D. Budgets Budgets of the debt service and pension funds are adopted on a basis consistent with generally accepted accounting 29 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS principles, all other fund budgets are adopted on a Non-GAAP basis. Annual appropriated budgets are adopted for all funds, except the fudiciary, trust and agency funds. All annual appropriations lapse at fiscal year end. Encumbrances present commitments related to unperformed contracts for goods or service. Encumbrance accounting, under which purchase orders, contract and other commitments for the expenditure of resources are recorded to reserve that portion of the applicable appropriations, is utilized in the governmental funds. Encumbrances outstanding at year end are reported as reservations of fund balances and do not constitute expenditures or liabilities because the commitments will be honored during the subsequent year. E. Cash, and cash equivalents, restricted cash - investments Cash and cash equivalents include cash on hand and demand deposits with a maturity of three months or less. Investments include amounts on deposit with an investment pool or are held by trustees of the pension funds. Investment pool amounts are stated at cost, investments of the pension plan and the IRC Code Section 457 deferred compensation plan are stated at market. General fund cash has been restricted by City Council for emergency situations affecting the lives and property of the City's citizens. Expenditures must be approved in advance by the City Council, or in situations where members of Council cannot be contacted, the Mayor and the City Administrator can approve expenditures, subject to a report to City Council. Debt service fund cash is restricted for the repayment of bonded debt of the City. F. Property taxes Property taxes are levied on December 15, of each year and attach as an enforceable lien on property as of January 1. Taxes are due as of January 1 of the following year and are payable in full by July 31 if paid in installments or April 30 with a single payment. Taxes are delinquent as of August 1. If the taxes are not paid within subsequent statutory periods, the property will be sold at public auction. The County bills and collects the property taxes and remits collections to the City on a monthly basis. G. Short-term inter fund receivables/payables During the course of operations, numerous transactions occur between individual funds. These receivables and payables are classified as "due from" or "due to" other funds on the balance sheet. 30 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS H. Inventory Inventory is valued at cost, which approximates market, using the first-in/first-out (FIFO) method. The cost of the general fund inventories are recorded as expenditures when consumed rather than when purchased. I. General fixed assets General fixed assets are not capitalized in the funds used to acquire or construct them. Instead, capital acquisition and construction are reflected as expenditures in governmental funds, and related assets are in the general fixed assets account group. All purchased fixed assets are valued at cost where historical records are available and at an estimated historical cost where no historical records exist. Donated fixed assets are valued at their estimated fair value on the date received. Pubic domain ( "infrastructure" ) general fixed assets consisting of roads, bridges, curbs and gutters, streets and sidewalks, drainage systems and lighting systems are not capitalized, as these assets are immovable and of value only to the government. Assets in the general fixed assets account group are not depreciated. Land improvements transferred to the City from Jefferson County from 1969 to 1977 had been recorded at the County's cost. Subsequently the City elected to discontinue recording the cost of all land improvements. The Jefferson County, Colorado Open Space Program acquires land for public enjoyment (e.g. parks, playgrounds, lakes, etc.) and then donates the property to the City for use as public land. The property is recorded at the cost recorded by the Open Space Program. City expenditures for this program are reimbursed by Jefferson County. J. Compensated absences Vested or accumulated sick leave that is expected to be liquidated with expendable available financial resources, or whose current portion is not determinable, are reported in the general fund. No liability is recorded for nonvesting accumulating rights to receive sick pay benefits. Amounts of vested or accumulated holiday and vacation leave that are not expected to be liquidated with expendable available financial resources are reported in the general long-term debt account group. No expenditure is reported for these amounts. 31 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS K. Accrued salaries and wages The accrued salaries and benefits result from timing differences between the time when employees are paid and the end of the fiscal year. The total accrued salaries and benefits are paid during the first pay period in the following year. The entire liability will be liquidated with expendable available resources and is reported in the general fund. L. Long-term obligations Long-term debt of a governmental fund is reported in the general long-term debt account group. M. Fund equity Reserves represent those portions of fund equity not appropriated for expenditures or legally segregated for a specific future use. Designated fund balances represent tentative plans for future use of financial resources, based upon budgeted cash (fund balance) carryovers. The City designates a portion of unreserved fund balances in an amount equal to the budgeted individual carryover fund balance based upon the City's budget for the subsequent fiscal year. Encumbrances outstanding and inventory, at year end, are reserved, they do not constitute expenditures or liabilities. The fund balance of the debt service and pension fund are reserved because the balances are legally restricted to provide for the future payments (bonded debt and retirement benefits). N. Interfund transactions Quasi-external transactions are accounted for as revenues, expenditures or expenses. Transactions that constitute reimbursements to a fund for expenditures/expenses initially made from it that are properly applicable to another fund, are recorded as expenditures/expenses in the reimbursing fund and as reductions of expenditures/expenses in the fund that is reimbursed. All other interfund transactions, except quasi-external transactions and reimbursements, are reported as transfers. Nonrecurring or non-routine permanent transfers to equity are reported as residual equity transfers. All other interfund transfers are reported as operating transfers. 32 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS O. Memorandum only - total columns Total columns on the general purpose financial statements are captioned "memorandum only" to indicate that they are presented only to facilitate analysis. Data in these columns do not present financial position, results of operations or changes in financial position in conformity with generally accepted accounting principles. Neither are such data comparable to a consolidation. Inter fund eliminations have not been made in the aggregation of this data. P. Comparative data Comparative total data for the prior year have been presented in the accompanying financial statements in order to provide an understanding of changes in the City's financial position and operations. Comparative data in the supplemental information, special revenue and fiduciary funds, has been restated to reflect the reporting of the Conservation Trust Fund as a special revenue fund, it was formerly reported as an expendable trust fund. 2. LEGAL COMPLIANCE - BUDGETS A. General budget policies The City conforms to the following procedures, in compliance with Colorado Revised statutes, in establishing the budgetary data reflected in the financial statements: Prior to October 15, the City Administrator (an appointed official) submits a proposed operating budget for the fiscal year commencing the following January 1, to the City Council (elected officials). The operating budget, for all funds, includes proposed expenditures and the means of financing. No budgets are prepared for the fudiciary funds which are custodial in nature. Public hearings are held at the regular City council meetings to obtain taxpayer input. Prior to December 15, the budget is legally enacted through passage of a budget resolution. The City Council must approve revisions that change total expenditures or transfers as to any fund. The City Administrator is authorized to transfer amounts within an individual fund. In addition to the operating budget, a five year capital improvement program is proposed by the City Administrator and adopted by City Council. This program identifies projected expenditures and anticipated revenues by fund. 33 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS The program is revised and extended annually. The City Council adopts the program as a planning document but does not appropriate the multi-year expenditures. Annual installments to the identified projects are appropriated in the annual operating budgets or by supplemental appropriations. Appropriations are controlled by encumbrance accounting and the budget is only amended in conformity with Colorado Revised Statutes, which require a resolution approved by City Council amending the budget and a resolution appropriating funds for expenditure. The City Charter requires a balanced budget. B. Budget basis of accounting The Individual and Combined Statements of Revenues, Expenditures and Changes in Fund Balances for the governmental fund types include comparisons to budget. The budgets are adopted on a GAAP basis, eX,cept as previously noted. Budgetary amounts, included ~n the financial statements, are as originally adopted or as amended by City Council. 3. ASSETS A. Cash and cash equivalents, investments Cash and cash equivalents The Colorado Public Deposit Protection Act (PDPA), requires that all units of local government deposit cash in eligible public depositories, eligibility is determined by state regulators. Amounts on deposit in excess of federal insurance levels must be collateralized. The eligible collateral is determined by the PDPA. PDPA allows the institution to create a single collateral pool for all public funds. The pool is to be maintained by another institution, or held in trust for all the uninsured public deposits as a group. The market value of the collateral must be at least equal to the aggregate uninsured deposits. Deposits are categorized to give an indication of risk assumed by the government at the end of the year. Category 1 includes deposits that are insured, Category 2 includes collateralized deposits held by the pledging institution's department or agent in the City's name, Category 3 includes uncollateralized, uninsured deposits. At December 31, 1990, the City deposits are categorized as follows: 34 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS Bank Carrying Balance Balance Petty cash $ $ 1,505 Categorized deposits: Deposits covered by federal insurance - Category 1 116,386 116,386 Deposits collateralized in a single institution pool(s) Category 2 834,280 642,345 Total S 950,666 S 758,731 Investments Colorado defined entities statutes specify investment instruments, meeting rating and risk criteria, in which local government may invest. Obligations of the United States and certain agencies thereof, certain international agency securities, general obligation and revenue bonds of united States local government entities, bankers acceptances of certain banks, commercial paper, local government investment pools written repurchase agreements collateralized by certain authorized securities, certain money market funds, guaranteed investment contracts. The City's investments are categorized below to give an indication of the level of credit risk assumed by the City. All City investments, except amounts in investment pools, are Category 2 ( collateralized investments held by the pledging institution's trust department or agent in the City's name). The allowed categories include local government investment pools. The City invests in three such investment pools, The Colorado Local Government Liquid Asset Trust (COLOTRUST), Jefferson County Surplus Funds Trust (JEFFTRUST) and the 35 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS Colorado Surplus Asset Fund Trust (C-SAFE). Investments in the pools are not categorized because the investments are not evidenced by securities that exist in physical or book entry form. As of December 31, 1990 the City's investments are categorized as follows: Category 2 - obligations of the united States government Total $ 2,249,025 664,513 2,026,228 1,671,983 S 6,611,749 Investment pools: COLOTRUST JEFFTRUST C-SAFE B. Restricted cash and investments Included in equivalents investments the and which preceding categorization of cash, investments are restricted cash is composed of the following amounts: cash and Emergency restricted Debt service repayment Court bond account Richards/Hart estate Drug abuse Sales tax escrow for (ESTIP) program $ 100,000 299,000 16,386 4,127 2,427 547 Total S 422,487 The debt service repayment restriction represents 10% of the original principal balance due on the $ 2,990,000 as required by the terms of the bond issue. C. Receivables Receivables at December 31, 1990 consist of the following: Deferred taxes $ State of Colorado Jefferson County Franchise fees Other Special Capital General Revenue Proiect 568,301 $ $ 18,128 43,720 66,539 27,200 7,394 14,804 664,743 S 66,539 S 14 , 804 Total S 36 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS Amounts due from Jefferson County include taxes collected and amounts due from Jefferson County Open Space Program. City Open Space expenditures in the amount of $ 66,539 had not been reimbursed by the County as of December 31, 1990. The above amounts are deemed fully collectible, accordingly no provision has been made for bad debts. It is the policy of the City to record the property tax receivable in the year in which the taxes are levied and to recognize the property tax revenues in the year in which the lien attaches to the property. Property taxes are reported in the General Fund as a receivable and a deferred revenue in the amount of $ 568,301. D. Changes in general fixed assets The changes in general fixed assets for the year ended December 31, 1990 are as follows: Balance Additions Deletions Balance January 1, and Tran- and Tran- December 31, 1990 sfers in sfers out 1990 Land $ 2,448,290 $ $ $ 2,448,290 Buildings 3,011,262 3,011,262 Streets 9,117,469 9,117,469 Equipment 3,482,475 566,479 304,605 3,744,349 Total S 18,059,496 S 566,479 S 304,605 S 18,321,370 4. LIABILITIES A. General government long-term debt Compensated absences As of December 31, 1990, accrued sick pay in the amount of $ 15,851 was recorded in the general fund which will ultimately liquidate the liability. As of December 31, 1990, accrued holiday and vacation pay in the amount of $ 260,442 was recorded in the long-term debt account group, the liability is not expected to be liquidated with expendable available financial resources. General obliaation revenue bonds General obligation revenue bonds are direct obligations and pledge the full faith and credit of the City. General obligation bonds outstanding had a principal balance of $ 2,990,000, with an interest rate of 7.06%. Annual debt 37 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS service requirements to maturity for the bonds including interest of $ 1,698,555 are as follows: Fiscal year ending December 31, 1991 1992 1993 1994 Thereafter Total Total $ 210,925 210,925 210,925 210,925 3,844,855 S 4,688,555 Capital leases The City has entered into several lease agreements for financing the acquisition of equipment including a street sweeper, copiers and telecommunications equipment. These lease agreements qualify as capital leases for accounting purposes (titles transfer at the end of the lease terms) and, therefore, have been recorded at the present value of the future minimum lease payments as the date of their inception. The following is a schedule of the future minimum lease payments under these capital leases, and the net present value of the net minimum lease payments at December 31, 1990, as recorded in the general long-term account group: Fiscal year ending December 31, 1990 1991 1992 1993 1994 Thereafter $ 47,083 35,310 33,411 27,492 25,937 169,233 34,827 S 134,406 Total minimum lease payments Less: amount representing interest Present value of future minimum lease payments Chanaes in aeneral lona-term liabilities During the year ended December changes occurred in liabilities long-term debt account group: 31, 1990, reported the following in the general 38 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS Balance Balance January 1, Additions Reductions December 31, Compensated absence $ 262,608 $ $ 2,166 $ 260,442 Bonds payable 2,990,000 2,990,000 Capital Lease 80,403 90,184 36,181 134,406 TOTAL S 3,333,011 S 90,184 S 38,347 S 3,384,848 B. Special Assessment Bonds Special assessment bonds, issued June 7.50%, principal balance due December The City is not obligated within constitutional or statutory limitation 1, 1988, interest at 31, 1990, $ 895,000. the meaning of any or provision. 5. INTER FUND ASSETS/LIABILITIES A summary of inter fund receivables and payables is as follows: Fund Receivable Payable General $ 174,529 $ 10,397 Special Revenue: Park Acquisition 1,379 Open Space 168,401 Senior Center 1,123 Capital Projects 3,655 Fiduciary Public Works Escrow 60 Special Improvement 10,366 Total S 184,955 S 184,955 6. CONTINGENT LIABILITIES The City is a defendant in various lawsuits. Although the outcome of these lawsuits is not presently determinable, in the opinion of the City attorney the resolution of these matters will not have an material adverse effect on the financial condition of the City. 39 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS 7. EMPLOYEE RETIREMENT SYSTEMS Police Pension Plan Plan description and provisions: All full time sworn City police officers are covered by the plan (Police Pension Plan), a single employer defined contribution money purchase plan. The payroll for employees, covered by this Plan, for the year ended December 31, 1990 was $ 1,911,526 the City'S total payroll was $ 4,912,238. There are 59 employees participating in this plan. Employee contributions are fully vested when paid. Employees and the City each contribute 10 % of the employees annual salary, employees may increase their contribution to 15%. City contributions and Plan income vest at 40%, 45%, and 50% during the fourth through sixth years respectively and thence at the rate of 10% per year. Contributions required and contributions made: During the year ended December 31, 1990, contributions totaling $ 170,932 City and $ 185,735 employees - were made in accordance with the provisions of the Plan. Current membership in the Plan is comprised of the following: Group December 31, 1990 Retirees and beneficiaries currently receiving benefits o Vested terminated employees o Active employees: Fully vested Nonvested 20 39 Eligibility for benefits may commence at age 55, or upon completion of 25 years of service. Colorado Count v Officials and EmDlovees Retirement Association Plan description and provisions: Employees and officers of the City are required to Jo~n the plan (CCOERA), a state wide local government multi-employer defined contribution plan. The plan covers all City employees, excepting those that have chosen to join the IRC Code Section 457 Plan. The payroll for employees, covered by this Plan, for the year ended December 31, 1990 was $ 2,318,517 the City's 40 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS total payroll was $ 4,912,238. There are 98 employees participating in this plan. Employee contributions are fully vested when paid. Employees and the City each contribute 4 % of the employees' annual salary. City contributions and Plan income vest at 10 % per year. In the event of City withdrawal from CCOERA all participants would vest at 100 % of all contributions and income. Contributions required and contributions made: During the year ended December 31, 1990, contributions totaling $ 83,086 City and $ 90194 employees - were made in accordance with the provisions of the Plan. Current membership in the CCOERA is comprised of the following: Group December 31, 1990 Retirees and beneficiaries currently receiving benefits o Vested terminated employees o Active employee: Fully vested Nonvested 11 87 Benefit payments are determined as of the date of retirement, termination, death or disability. Retirement Plan, Internal Revenue Code Section 457 Plan description and provisions: Employees not joining CCOERA, may as an alternative participate in an IRC Section - 457 Plan. The payroll for employees, covered by this Plan, for the year ended December 31, 1990 was $ 400,957 the City's total payroll was $ 4,912,238. There are 4 employees participating in this plan on a mandatory basis. Employee and City contributions are fully vested upon termination, retirement, death or disability. Employees and the City are required to contribute 4% or 5% of the employees annual salary. Other City employees are contributing on a voluntary basis, these contributions are not matched by the City. 41 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS IRC-457 requires that the assets of the plan remain the property of the City until paid or made available to the participants, subject only to the claims of the City's general creditors, until paid or made available to the participating employees. In addition the City has fiduciary responsibility for the assets of the plan which are managed by an independent trustee. Contributions required and contributions made: During the year ended December 31, 1990, totaling $ 8,052 City and $ 8,052 employees accordance with the provisions of the Plan. contributions - were made in 8. JOINT VENTURES Insurance pools Pursuant to an inter local agreement authorized by state statute, the City joined the Colorado Intergovernmental Risk Sharing Agency (CIRSA) to provide insurance coverage. Members of the board of directors are nominated and elected by members to two year, staggered terms and meet at least monthly to direct operations. CIRSA budgets are funded by contributions from member governments. The City's share of assets, liabilities and fund equity as of December 31, 1989 (latest available information) is as follows: % Pool A - general liability Loss fund Federal Acts/Out-of-State Reserve fund Operating Pool B - worker's compensation Operating Loss fund Mandatory surplus .0316423 .0367798 .0316795 .0219728 .0493054 .0398635 .0419891 Summary financial information is as follows: Pool A Pool B $ 3,270,664 91,271 $ 3,361,935 $ 3,259,181 102,754 $ 3,361,935 Cash and investments Other assets $ 17,546,488 769,898 $ 18,316,386 $ 10,933,602 7,382,784 $ 18,316,386 Liabilities Members fund balance 42 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS Total revenue Total expenses Change in accounting for reserves $ 7,362,292 6,252,464 $ 3,565,670 3,876,639 118,000 Excess of revenue over expenses S 1,109,828 S (192,969) Investment pools The City participates in three investment pools. The pools are an investment vehicle established for local government entities in Colorado to pool surplus funds for investment purposes under the provisions of the Colorado Revised Statutes. Summary financial information and the City's share of net assets as of and for the fiscal year ended (for which information is available) are as follows: COLOTRUST JEFFTRUST C-SAFE Fiscal year ended 12-31-90 12-31-90 12-31-90 Statement of net assets Cash and investments Other assets $ 577,709,204 $ 156,559,370 $ 102,528,614 1,025,513 142,424 1,793,990 Less: liabilities 578,734,717 3,647,598 156,701,794 326,262 104,322,604 40,947 Net assets S 575,087,119 S 156,375,532 S 104,281,657 Outstanding shares 573,951,839 156,375,532 104,281,657 Net asset value $ 1. 00 $ 1. 00 $ 1. 00 City's share of net assets .0012 % .0130 % .0160 % Investment income $ 46,390,975 $ 12,037,987 $ 7,066,864 Total expenses 2,331,839 1,250,890 320,029 6,746,835 Net investment income S 44,059,136 S 10,787,097 S 43 SUPPLEMENTAL INFORMATION - COMBINING, INDMDUAL FUND, AND ACCOUNT GROUP FINANCIAL STATEMENTS AND SCHEDULES The following combining, individual fund, and account group financial statements and schedules are presented for purposes of additional analysis and are not a required part of the general purpose financial statements of the City. 44 GENERAL FUND The General Fund accounts for all transactions of the City not required to be accounted for in other funds. This fund represents an accounting for the City's ordinary operations financed primarily from property and sales taxes. It is the most significant fund in relation to the City's overall operations. 45 CITY OF WHEAT RIDGE, COLORADO GENERAL FUND COMPARATIVE BALANCE SHEETS DECEMBER 31, 1990 AND 1989 ASSETS Cash and equivalents Investments Accounts receivable: State County government Other Due from other funds Inventory Restricted assets: Cash Investments TOTAL ASSETS LIABILITIES AND FUND BALANCES LIABILITIES Accounts payable: Trade Restricted assets Refundable escrow Employees Accrued payroll benefits Due to: Other funds Deferred revenue: Property tax Total liabilities FUND BALANCES Reserved for: Encumbrances Inventory Unreserved Designated for subsequent years' expenditures Undesignated Total fund balances TOTAL LIABILITIES AND FUND BALANCES 1990 $ 314,638 1,870,190 18,128 631,006 41,845 174,558 138,293 23,487 100,000 $ 3,312,145 $ 11,298 16,623 21,223 127,677 15,851 10,397 568,301 771,370 97,877 138,293 1,922,887 381,718 2,540,775 $ 3,312,145 46 1989 $ 1,167,207 300,000 30,298 642,628 31,425 67,691 42,404 69,826 100,000 $ 2,451,479 $ 8,055 31,359 35,644 110,966 14,296 9,182 574,538 784,040 17,042 42,404 1,443,144 164,849 1,667,439 $ 2,451,479 CITY OF WHEAT RIDGE, COLORADO GENERAL FUND COMPARATIVE STATEMENTS OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE FISCAL YEARS ENDED DECEMBER 31, 1990 AND 1989 REVENUES Taxes Licenses and permits Intergovernmental Charges for services Fines and forfeitures Interest Other Total revenue EXPENDITURES Curren t : General government Planning and development Police Public works Parks and recreation Other Capital outlay Total expenditures EXCESS (DEFICIENCY) OF REVENUES OVER EXPENDITURES OTHER FINANCING SOURCES Transfers in Capital lease ,,1 EXCESS (DEFICIENCY) OF REVENUES AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES Fund balances, beginning of year FUND BALANCES, END OF YEAR 1990 1989 $ 5,736,579 332,499 1,397,679 235,575 396,718 141,884 91,426 8,332,360 1,073,469 464,694 3,161,209 1,766,061 1,127,544 626,044 90,184 8,309,205 23,155 759,997 90,184 873,336 1,667,439 $ 2,540,775 47 $ 5,171,318 225,961 1,392,579 504,767 389,600 136,238 79,303 7,899,766 1,052,162 446,664 3,194,131 1,797,330 1,068,367 798,781 8,357,435 (457,669) 720,001 262,332 1,405,107 $ 1,667,439 CITY OF WHEAT RIDGE, COLORADO GENERAL FUND SCHEDULE OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCES BUDGET (NON GAAP) AND ACTUAL FOR THE FISCAL YEAR ENDED DECEMBER 31, 1990 (With comparative actua1s for December 31, 1989) Total revenue Variance Favorable Budget Actual ( Unfavorable) 1989 S 5,398,351 $ 5,736,579 S 338,228 S 5,171,318 263,500 332,499 68,999 225,961 1,321,121 1,397,679 76,558 1,392,579 213,500 235,575 22,075 504,767 385,725 396,718 10,993 389,600 85,000 141,884 56,884 136,238 35,000 91,426 56,426 79,303 7,702.197 8,332,360 630,163 7,899,766 REVENUES Taxes Licenses and permits Intergovernmental Charges for services Fines and forfeitures Interest Other EXPENDITURES Current: General government Planning and development Police Public works Parks and recreation Other Capital outlay 1,136,647 1,073,469 63,178 1,047,676 488,885 464,694 24,191 446,664 3,201,189 3,152,055 49,134 3,177,122 1,907,246 1,861,043 46,203 1,791,459 1,142,256 1,119,915 22,341 1,075,995 2,029,115 628,939 1,400,176 796,457 90,184 (90,184) 9,905,338 8,390,299 1,515,039 8,335,373 (2,203,141) (57,939) 2,145,202 (435,607) 760,000 759,997 ( 3 ) 720,001 90,184 90,184 Total expenditures EXCESS (DEFICIENCY) OF REVENUES OVER EXPENDITURES OTHER FINANCING SOURCES Transfers 1n Capital lease EXCESS (DEFICIENCY) OF REVENUES AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES (BUDGETARY BASIS) $ (1,443,141) 792,242 $ 2,235,389 284,394 ADJUSTMENTS TO GAAP BASIS Encumbrances: Prior year paid in current year Current year outstanding (16,783) 97,877 (39,104) 17, 042 Total adjustments 81,094 (22,062) EXCESS (DEFICIENCY) OF REVENUES AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES (GAAP BASIS) 873,336 262,332 Fund balances, beginning of year 1,667,439 1,405,107 FUND BALANCES, END OF YEAR $ 2,540,775 $ 1,667,439 48 SPECIAL REVENUE FUNDS Special Revenue funds account for the proceeds of specific sources that are legally restricted to expenditures for purposes. The City has seven special revenue funds: revenue specific Capital Improvement fund - was established to account for the funds received as a result of a one percent increase in the City's sales tax. The fund was closed in 1988, a residual fund balance is carried to fund the completion of certain projects began before December 31, 1988. Open Space fund - the City along with Jefferson County and adjacent Colorado cities have agreed to jointly develop "open space". The City is reimbursed, by the County, for certain expenditures incurred in this regard. Senior Center fund accounts for contributions, and related expenditures, made to the Wheat Ridge Community Center. Park Acquisition fund - accounts for use in the acquisition improvements. for revenues received and designated of additional parks and related Building Demolition fund is a revolving fund that charges property owners for City expenses incurred in the demolition of buildings. Conservation Trust as to use in the conservation sites fund - accounts for funds received and restricted acquisition, development and maintenance of new pursuant to Colorado Revised Statutes. Police Investigation fund - accounts for all proceeds from seizures and forfeitures of property pursuant to C.R.S. 16-13-302 and 501 to be used solely by the police department for purposes other than meeting normal operating needs. 49 CITY OF WHEAT RIDGE, COLORADO SPECIAL REVENUE FUNDS COMBINING BALANCE SHEETS DECEMBER 31, 1990 (With comparative totals for December 31, 1989) Open Space ASSETS Cash and equivalents Investments Accounts receivable: County government $ 175,803 66,539 Total assets $ 242,342 LIABILITIES AND FUND EQUITY LIABILITIES Interest payable Due to other fund $ 16,694 168,402 Total liabilities 185,096 FUND EQUITY Fund balances: Reserved for encumbrances Unreserved: Designated for subsequent years' expenditures Undesignated (deficit) 26,402 30,844 Total fund equity TOTAL LIABILITES AND FUND EQUITY 57,246 $ 242,342 50 Conservation Trust $ 20,559 123,163 $ 143,722 $ 9,175 84,391 50,156 143,722 $ 143,722 Police Investigation $ 8,456 $ 8,456 $ 8,456 8,456 $ 8,456 Total Park Building Senior Capital 1989 ACquisition Demolition Center Improvement 1990 (Restated) $ 1,383 $ 15,167 $ 11,673 $ $ 233,041 $ 295,493 12,471 135,634 239,957 66,539 58,760 $ 1,383 $ 15,167 $ 11,673 $ 12,471 $ 435,214 $ 594,210 1,380 1.124 $ 16,694 170,906 $ 5,581 67,670 $ $ $ $ 1,124 187,600 73,251 1,380 35,577 44,050 15,167 9,599 109,157 142,432 3 950 12,471 102,880 334,477 '" 3 15,167 10,549 12,471 247,614 520,959 $ 1,383 $ 15,167 $ 11,673 $ 12,471 $ 435,214 $ 594,210 51 CITY OF WHEAT RIDGE, COLORADO SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE FISCAL YEAR ENDED DECEMBER 31, 1990 (With comparative totals for December 31, 1989) Open Space Conservation Trust REVENUES Intergovernmental Charges for services Interest Other $ 118,547 $ 294,020 13,849 Total revenues 294,020 132,396 EXPENDITURES Police Public works Parks and recreation 242,331 147,258 Total expenditures 242,331 147,258 EXCESS (DEFICIENCY) OF REVENUE OVER EXPENDITURES 51,689 (14,862) OTHER FINANCING (USES) Operating transfers (out) (219,997) EXCESS (DEFICIENCY) OF REVENUE AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES (168,308) (14,862) Fund balance, beginning of year 225,554 158,584 FUND BALANCE, END OF YEAR $ 57,246 $ 143,722 52 Police Investigation $ 16,192 404 16,596 21,916 21,916 (5,320) 13,776 .., 8,456 $ 8,456 Total Park Building Senior Capital 1989 Acquisition Demolition Center Improvement 1990 (Restated) $ $ $ $ $ 428,759 $ 606,328 1,125 1,125 98,604 1,195 1,018 445 16,911 10,949 6,182 6,182 3,525 2,320 1,018 6,627 452,977 719,406 21,916 2,168 22,795 24,963 23,917 3,777 417,283 310,771 23,917 2,168 3,777 22,795 464,162 310,771 (21,597) (1,150) 2,850 (22,795) (11,185) 408,635 (55,939) (262,160) (1,296,649) (21,597) (1,150) 2,850 (78,734) (273,345) (888,014) 21,600 16,317 7,699 91,205 520,959 1,408,973 $ 3 $ 15,167 $ 10,549 $ 12,471 $ 247,614 $ 520,959 53 CITY OF WHEAT RIDGE, COLORADO SPECIAL REVENUE FUNDS COMBINING SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES BUDGET (NON-GAAP) AND ACTUAL FOR THE FISCAL YEAR ENDED DECEMBER 31, 1990 Open Space Budget Actual Variance Favorable (Unfavorable) REVENUES Intergovernmental Charges for services Interest Other $ 1,190,000 $ 294,020 $ (895,980) Total revenues 1,190,000 294,020 (895,980) EXPENDITURES Police Public works Parks and recreation 970,000 67,925 902,075 Total expenditures 970,000 67,925 902,075 EXCESS (DEFICIENCY) OF REVENUE OVER EXPENDITURES 220,000 226,095 6,095 OTHER FINANCING SOURCES (USES) Operating transfers in (out) (220,000) (219,997) 3 EXCESS (DEFICIENCY) OF REVENUE AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES (BUDGETARY BASIS) $ 6,098 $ 6,098 ADJUSTMENTS TO GAAP BASIS Encumbrances: Prior year paid in current year Current year outstanding (200,808) 26,402 Total adjustments (174,406) EXCESS (DEFICIENCY) OF REVENUE AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES (GAAP BASIS) (168,308) Fund balance, beginning of year 225,554 Residual equity transfer (to) other fund FUND BALANCE, END OF YEAR $ 57,246 54 Conservation Trust Police Investigation Variance Variance Favorable Favorable Budget Actual (Unfavorable) Budget Actual (Unfavorable) $ 100,000 $ 118,547 $ 18,547 $ 25,000 $ 16,192 $ (8,808) 7,500 13,849 6,349 600 404 (196) 107,500 132,396 24,896 25,600 16,596 (9,004) 25,600 21,916 3,684 208,644 99,178 109,466 208,644 99,178 109,466 25,600 21,916 3,684 (101,144) 33,218 134,362 (5,320) (5,320) 13,776 13,776 $ (101,144) 33,218 $ 134,362 $ 8,456 $ 8,456 (57,255) 9,175 (48,080) (14,862) 8,456 158,584 $ 143,722 $ 8,456 (continued on next page) 55 CITY OF WHEAT RIDGE, COLORADO SPECIAL REVENUE FUNDS COMBINING SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES BUDGET (NON-GAAP) AND ACTUAL FOR THE FISCAL YEAR ENDED DECEMBER 31, 1990 (continued) Park Acquisition Total revenues Variance Favorable Budget Actual (Unfavorable) $ $ $ 700 1,125 425 1,500 1,195 DOS} 2,200 2,32Q 120 REVENUES Intergovernmental Charges for services Interest Other EXPENDITURES Police Public works Parks and recreation 24,428 23,917 511 Total expenditures 24,428 23,917 511 EXCESS (DEFICIENCY) OF REVENUE OVER EXPENDITURES (22,228) (21,597) 631 OTHER FINANCING SOURCES (USES) Operating transfers in (out) EXCESS (DEFICIENCY) OF REVENUE AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES (BUDGETARY BASIS) $ (22,228) (21,597) $ 631 ADJUSTMENTS TO GAAP BASIS Encumbrances: Prior year paid in current year Current year outstanding Total adjustments EXCESS (DEFICIENCY) OF REVENUE AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES (GAAP BASIS) (21,597) Fund balance, beginning of year 21,600 Residual equity transfers (to) other fund FUND BALANCE, END OF YEAR $ 3 56 Building Demolition Senior Center Variance Variance Favorable Favorable Budget Actual (Unfavorable) Budget Actual (Unfavorable) $ $ $ $ $ $ 875 1,018 143 200 445 245 7,000 6,182 ( 818) 875 1,018 143 7,200 6,627 (573) 17,062 2,168 14,894 10,700 3,777 6,923 17,062 2,168 14,894 10,700 3,777 6,923 (16,187) (1,150) 15.037 (3,500) 2,850 6,350 $ (16,187) (1,150) $ 15,037 $ (3,500) 2,850 $ 6,350 (1,150) 2,850 16,317 7,699 $ 1-,167 $ 10,549 57 (continued on next page) CITY OF WHEAT RIDGE, COLORADO SPECIAL REVENUE FUNDS COMBINING SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES BUDGET (NON-GAAP) AND ACTUAL FOR THE FISCAL YEAR ENDED DECEMBER 31, 1990 (continued) Capital Improvement Budget Actual Variance Favorable (Unfavorable) REVENUES Intergovernmental Charges for services Interest Other $ $ $ Total revenues EXPENDITURES Police Public works Parks and recreation Total expenditures EXCESS (DEFICIENCY) OF REVENUE OVER EXPENDITURES OTHER FINANCING SOURCES (USES) Operating transfers (out) (55,939) (55,939) EXCESS (DEFICIENCY) OF REVENUE AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES (BUDGETARY BASIS) $ (55,939) $ (55,939) ADJUSTMENTS TO GAAP BASIS Encumbrances: Prior year paid in current year Current year outstanding (22,795) Total adjustments (22,795) EXCESS (DEFICIENCY) OF REVENUE AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES (GAAP BASIS) (78,734) Fund balance, beginning of year 91,205 Residual equity transfers (to) other fund FUND BALANCE, END OF YEAR $ 12,471 58 Total Variance Favorable Budget Actual (Unfavorable) $ 1,315,000 $ 428,759 $ (886,241) 700 1,125 425 10,675 16,911 6,236 7,000 6,182 ( 818) 1,333,375 452,977 (880,398) 25,600 21,916 3,684 17,062 2,168 14,894 1,213,772 194,797 1,018,975 1,256,434 218,881 1,037,553 76,941 234,096 157,155 (220,000) (262,160) (42,160) $ (143,059) (28,064) $ 114,995 (280,858) 35,577 (245,281) (273,345) 520,959 $ 247,614 59 DEBT SERVICE FUND Debt Service funds are used to account for financial resources to be used for the accumulation of resources for, and payment of general long-term debt principal, interest and related costs. The City has one Debt Service fund. Incremental Sales Tax Bond fund - accounts percent of the City's sales tax receipts. retire the general obligation revenue bond for funds received from one The funds will be used to issue. 60 CITY OF WHEAT RIDGE, COLORADO DEBT SERVICE FUND INCREMENTAL SALES TAX BOND FUND COMPARATIVE BALANCE SHEETS DECEMBER 31, 1990 AND 1989 1990 1989 ASSETS Cash and Equivalents $ 47,175 $ 44,157 Restricted assets: Investments 299,000 299,000 Total assets $ 346,175 $ 343,157 FUND EQUITY Fund balance: Reserved for: Debt service $ 346,175 $ 343,157 Total fund equity $ 346,175 $ 343,157 61 CITY OF WHEAT RIDGE, COLORADO DEBT SERVICE FUND INCREMENTAL SALES TAX BOND FUND STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE BUDGET (GAAP BASIS) AND ACTUAL FOR THE FISCAL YEAR ENDED DECEMBER 31, 1990 (With comparative totals for December 31, 1989) Budget REVENUES Interest $ 500 Total revenues 500 EXPENDITURES Other Bond interest 500 210,925 Total expenditures 211,425 EXCESS (DEFICIENCY) OF REVENUE OVER EXPENDITUES (210,925) OTHER FINANCING SOURCES Operating transfers in 210,925 EXCESS (DEFICIENCY) OF REVENUE AND OTHER SOURCES OVER EXPENDITUES Fund balance, beginning of year FUND BALANCE, END OF YEAR $ Actual $ 30,443 30,443 500 210,925 211,425 (180,982) 184,000 3,018 343,157 $ 346,175 62 Variance Favorable (Unfavorable) $ 29,943 29,943 29,943 (26,925) 3,018 343,157 $ 346,175 1989 Actual $ 30,583 30,583 250 210,925 211,175 (180,592) 184,000 3,408 339,749 $ 343,157 CAPITAL PROJECTS FUND Capital projects funds are used for the construction (other than those financed one capital project fund. - used to account for financial resources to be or acquisition of major capital facilities by proprietary or trust funds). The City has 63 CITY OF WHEAT RIDGE, COLORADO CAPITAL PROJECTS FUND COMPARATIVE BALANCE SHEETS DECEMBER 31, 1990 AND 1989 ASSETS Cash and Equivalents Investments Accounts receivable: Other Due from other funds Total assets LIABILITIES AND FUND EQUITY LIABILITIES Accounts payable Due to other funds Total liabilities FUND EQUITY Fund balance: Reserved for: Encumbrances Capital projects Unreserved: Designated for subsequent years' expenditures Undesignated Total fund equity Total liabilities and fund equity 1990 $ 4,088,111 14,111 $ 4,102,222 $ 64,147 3,655 67,802 1,206,330 743,695 305,574 1,778,821 4,034,420 $ 4,102,222 64 1989 $ 300,000 4,288,012 94,946 9,182 $ 4,692,140 $ 169,703 2,108,223 1,619,028 795,186 4,692,140 $ 4,692,140 CITY OF WHEAT RIDGE, COLORADO CAPITAL PROJECT FUND COMPARATIVE STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE FISCAL YEARS ENDED DECEMBER 31, 1990 AND 1989 REVENUES Taxes Intergovernmental Interest Other Total revenues EXPENDITURES Capital outlay EXCESS (DEFICIENCY) OF REVENUES OVER EXPENDITUES OTHER FINANCING SOURCES (USES) Operating transfer in Operating transfers (out) Total other financing sources (uses) EXCESS (DEFICIENCY) OF REVENUES AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER USES Fund balance beginning of year FUND BALANCE, END OF YEAR 1990 $ 2,730,931 45,260 257,760 23,125 3,057,076 2,990,796 66,280 (724,000) (724,000) (657,720) 4,692,140 $ 4,034,420 65 1989 $ 2,754,972 123,464 210,702 24,316 3,113,454 1,541,124 1,572,330 1,076,649 (684,000) 392,649 1,964,979 2,727,161 $ 4,692,140 CITY OF WHEAT RIDGE, COLORADO CAPITAL PROJECT FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES BUDGET (NON-GAAP BASIS) AND ACTUAL FOR THE FISCAL YEAR ENDED DECEMBER 31, 1990 (With comparative totals for December 31, 1989) Budget REVENUES Taxes Intergovernmental Interest other $ 2,900,000 288,640 185,000 25,000 Total revenues 3,396,640 EXPENDITURES Capital outlay 5,013,727 EXCESS (DEFICIENCY) OF REVENUE OVER EXPENDITUES (1, 615, 087) OTHER FINANCING SOURCES (USES) operating transfer in operating transfers (out) (750,925) Total other financing sources (uses) (750,925) EXCESS (DEFICIENCY) OF REVENUES AND OTHER FINANCING SOURCES OVER EXPENDITURES OTHER USES (BUDGETARY BASIS) $ (2,366,012) ADJUSTMENTS TO GMP BASIS Encumbrances: Current year outstanding Prior year paid in current year EXCESS (DEFICIENCY) OF REVENUES AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER USES (GMP BASIS) Fund balance beginning of year FUND BALANCE, END OF YEAR Actual $ 2,730,931 45,260 257,760 23,125 3,057,076 3,708,699 (651,623) (724,000) (724,000) (1,375,623) (488,427) 1,206,330 (657,720) 4,692,140 $ 4,034,420 66 Variance Favorable (Unfavorable) $ (169,069) (243,380) 72,760 (1,875 ) (341,564) 1, 305, 028 963,464 26,925 26,925 $ 990,389 1989 Actual $ 2,754,972 123,464 210,702 24,316 3,113,454 1.710,827 1,402,627 1,076,649 (684,000) 392,649 1,795,276 169,703 1,964,979 2,727,161 $ 4,692,140 FIDUCIARY FUNDS Trust and agency funds are used to account for assets in a trustee capacity or as an agent. The City has fund, and four agency funds. held by the City one pension trust Pension trust funds Police Pension - accounts for monies received from Plan and City contributions. The funds are held in disbursement to qualified participants upon leaving the qualified retirement. participants trust for plan or upon Aqency funds Public Works Escrow - accounts for funds received prior to the issuance of certain construction permits, to guarantee the work required by the permit. Upon completion the funds are returned. Deferred Compensation - accounts for employee and matching contributions for a deferred compensation plan established Section 457 of the Internal Revenue Code. City under Special property issue of Improvement District taxes received for 1988. - accounts for special assessment a special improvement district bond CATV (Cable Television) Property Damage received from the cable television permittee for unresolved claims against the permittee for property. accounts for funds settlement of minor damage to private 67 CITY OF WHEAT RIDGE, COLORADO FIDUCIARY - TRUST AND AGENCY FUNDS COMBINING BALANCE SHEET DECEMBER 31, 1990 (With comparative totals for December 3l, 1989) Pension Trust Police Pension ASSETS Cash and Equivalents Investments Accounts receivable: Other Accrued interest Due from: Other funds Plan trustee $ 4,883,576 TOTAL $ 4,883,576 LIABILITIES AND FUND EQUITY LIABILITIES Accounts payable Advance contributions Refundable escrow deposits Due to: Other funds Special District Employees $ 11,293 Total liabilities 11,293 FUND EQUITY Fund balances: Reserved for: Retirement plans 4,872,283 Total fund equity TOTAL LIABILITES AND FUND EQUITY 4,872,283 $ 4,883,576 68 Agency Public Special CATV Totals Works Deferred Improvement Property 1989 Escrow Compensation District Damage 1990 (Restated) $ 92,961 $ $ 44,927 $ 2,500 $ 140,388 $ 131,578 118,814 118,814 383,640 819,208 692 692 3,201 60 10,336 10,396 574,651 5,458,227 5,248,063 $ 93,021 $ 574,651 $ 174,769 $ 2,500 $ 5,728,517 $ 6,585,690 69 CITY OF WHEAT RIDGE, COLORADO FIDUCIARY FUNDS COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES ALL AGENCY FUNDS FOR THE YEAR ENDED DECEMBER 31, 1990 Cash And Investments PUBLIC WORKS ESCROW FUND Balance January 1, 1990 $ 85,127 Additions (reductions) 7,834 Balance December 31, 1990 $ 92,961 DEFERRED COMPENSATION Balance January 1, 1990 $ 548,779 Additions (reductions) 25,872 Balance December 31, 1990 $ 574,651 SPECIAL IMPROVEMENT DISTRICT Balance January 1, 1990 (Restated) $ 427,591 Additions (reductions) (263,158) Balance December 31, 1990 $ 164,433 CATV PROPERTY DAMAGE FUND Balance January 1, 1990 $ 2,500 Additions (reductions) Balance December 31, 1990 $ 2,500 TOTALS Balance January 1, 1990 (Res ta ted) $ 1,063,997 Additions (reductions) (229,452) Balance December 31, 1990 $ 834,545 70 Assets Due From Other Funds $ 60 $ 60 $ $ $ 10,336 $ 10,336 $ $ $ 10,396 $ 10,396 Total Assets $ 85,127 7,894 $ 93,021 $ 548,779 25,872 $ 574,651 $ 427,591 (252,822) $ 174,769 $ 2,500 $ 2,500 $ 1,063,997 (219,056) $ 844,941 Liabili ties Refundable Due to Due to Escrow Due To Other Special Total Deposits Employees Fund District Liabilities $ 85,107 $ $ 20 $ $ 85,127 7,914 (20) 7,894 $ 93,021 $ $ $ $ 93,021 $ $ 548,779 $ $ $ 548,779 25,872 25,872 $ $ 574,651 $ $ $ 574,651 $ $ $ $ 427,591 $ 427,591 (252,822) (252,822) $ $ $ $ 174,769 $ 174,769 $ 2,500 $ $ $ $ 2,500 $ 2,500 $ $ $ $ 2,500 $ 87,607 $ 548,779 $ 20 $ 427,591 $ 1,063,997 7,914 25,872 (20) (252,822) (219,056) $ 95,521 $ 574,651 $ $ 174,769 $ 844,941 71 GENERAL FIXED ASSETS ACCOUNT GROUP The general fixed assets account group records changes in the City's ownership of and investment in capital assets including land, buildings, improvements to land and buildings, streets, bridges, curbs and gutters, drainage systems, lighting systems, and other equipment the lives of which are greater than one year and whose cost exceeds $ 200. 72 CITY OF WHEAT RIDGE, COLORADO COMPARATIVE SCHEDULE OF GENERAL FIXED ASSETS BY SOURCE DECEMBER 31, 1990 AND 1989 1990 1989 GENERAL FIXED ASSETS Land $ 2,448,290 $ 2,448,290 Buildings 3,011,262 3,011,262 Streets and improvements 9,117,469 9,117,469 Equipment 3,744,349 3,482,475 Total $ 18,321,370 $ 18,059,496 INVESTMENT IN GENERAL FIXED ASSETS FROM: Assets contributed to the City $ 10,157,465 $ 10,157,465 Acquired by various funds 8,163,905 7,902,031 Total $ 18,321,370 $ 18,059,496 - 73 CITY OF WHEAT RIDGB, COLORADO SCHEDULE of' GENERAL FIXED ASSE1.'S BY FUNCTION AND ACTIVITY DECEMBER 31, 1990 streets And Land Building Improvements Equipment Total Function and Activity General Government city Council $ 1,179 1,179 Treasurer 199,531 199,531 Mayor 1,030 1,030 city Administrator 7,775 7,775 Attorney 211 211 city Clerk. 19,925 19,925 Municipal Clerk 19,721 19,721 Building 1,840,227 83,412 203,182 2,126,821 Planning/Development 79,062 19,062 civil disAster 5,440 5,440 Total 1,940,227 93,412 537,055 2,460,694 Public Safety Police administration 2,761 384 345,675 348,820 support services 2,060 139,641 141,701 operations 414,777 414,777 step/traffic 7,945 7,945 D.A.R.E 1,046 1,046 Total 2,761 2,444 909,084 914,289 Public Works Administration 530,350 8,140,389 49,944 8,720,683 Engineering 69,807 143,781 213,588 street maintenance 1,024,794 1,024,794 Traffic maintenance 194,542 194,542 Shops 60,000 122,715 182,715 Total 660,157 8,140,389 1,535,716 10,336,322 ParKS and Recreation Administration 1,701,166 223,004 762,738 336,414 3,023,322 Recreation 39,617 888,904 12,588 60,954 1,002,063 Parke maintenance 47,350 56,366 115,898 365,066 584,680 Total 1,188,133 1,168,274 891,224 762,434 4,610,065 Total General rheel beet. $ 2,448,290 $ 3,011,262 $ 9,117,469 $ 3,744,349 $ 18,321,310 74 CITY OF WHEAT RIDGE, COLORADO SCHEDULE OF CHANGES IN GENERAL FIXED ASSETS - BY FUNCTION AND ACTIVITY FOR THE YEAR ENDED DECEMBER 31, 1990 Function and Activity General Government City Council Treasurer Mayor City Administrator Attorney City Clerk Municipal Clerk Building Planning/Development Civil disaster Total Public Safety Police administration Support services Operations Step/Traffic D.A.R.E. Total - Public Works Administration Engineering Street maintenance Traffic maintenance Shops Total Parks and Recreation Administration Recreation Parks maintenance Total General Fixed Assets January 1, 1990 $ 1,178 196,642 1,030 8,774 211 20,699 29,345 2,132,881 88,470 5,439 2,484,669 452,827 64,886 322,021 5,624 845,358 8,720,951 195,030 880,005 142,821 235,326 10,174,133 3,041,386 996,449 517,501 4,555,336 Total General Fixed Assets $ 18,059,496 Additions And Transfers In $ 16,368 409 1,237 2,968 20,982 15,159 78,188 96,609 2,321 1,046 193,323 9,825 33,723 152,587 65,074 17,924 279,133 250 5,614 67,177 73,041 $ 566,479 75 Deletions And Transfers Out $ 13,478 1.407 774 10,861 6,060 12,377 44,957 119,165 1,372 3,854 124,391 10,094 15,165 7,798 13,353 70,534 116,944 18,313 18,313 $ 304,605 General Fixed Assets December 31, 1990 $ 1,178 199,532 (377) 9,183 211 19,925 19,721 2,126,821 79,061 5,439 2,460,694 348,821 141,702 414,776 7,945 1,046 914,290 8,720,682 213,588 1,024,794 194,542 182,716 10,336,322 3,023,323 1,002,063 584,678 4,610,064 $ 18,321.370 -----~ 76 Statistical Section CITY OF WHEAT RIDGE, COLORADO PROPERTY TAX LEVIES AND COLLECTIONS - GENERAL FUND LAST TEN FISCAL YEARS (UNAUDITED) Percent of Total Current Percentage Delinquent Total Total Tax Fiscal Tax Tax of Levy Tax Tax Collections Year Levy Collections Collected Collections Collections to Levy 1981 $ 444,397 $ 442,011 99.5 % $ 1,273 $ 443,284 99.7 % 1982 446,001 441,997 99.1 350 442,347 99.2 1983 459,300 453,033 98.6 1,982 455,015 99.1 1984 485,824 477,500 98.3 172 477,672 98.3 1985 485,921 478,253 98.4 193 478,446 98.5 1986 499,738 494,608 99.0 238 494,846 99.0 1987 505,630 501,449 99.2 820 502,269 99.3 1988 545,454 544,869 99.9 1,095 545,964 100.1 1989 562,472 543,462 96.6 (822) A 542,580 96.5 1990 568,301 561,551 98.8 6,205 A 567,756 99.9 A. Net prior year tax abatements and adjustments due to revaluation of property in Jefferson County. Source: Jefferson County Assessors' office and the City of Wheat Ridge audited financial statements, 1981-1990. 77 CITY OF WHEAT RIDGE, COLORADO GENERAL GOVERNMENTAL EXPENDITUP~S BY FUNCTION LAST TEN FISCAL YEA2S (UNAUDITED) Fiscal General Planning & Public Public Year Government Development Safety Works 1981 $ 734,335 $ 293,261 $ 1,762,605 $ 3,559,565 1982 807,314 311,314 2,005,761 3,873,695 1983 960,936 363,633 2,203,666 4,924,061 1984 1,216,737 479,165 2,336,067 5,612,992 1985 979,111 704,111 2,443,412 5,515,839 1986 1,031,810 621,583 2,871.557 5,558,628 1987 1,015,245 857,971 2,848,032 4,022,861 1988 991,362 459,939 3,040,648 4,057,897 1989 1,052,162 446,664 3.194,131 2,060,663 A 1990 1,073,469 464,694 3,183,125 1,768,229 NOTES: Includes the general. special revenue, and debt ser- vice funds. A. The Capital Improvements Fund (a special revenue fund was closed during 1988). B. The Conservation Trust Fund was changed from an expendable trust to a special revenue fund for 1990. Source: City of Wheat Ridge audited financial statements, 1981-1990. 78 Parks & Debt Recreation Service Other Total $ 722,164 $ $ 208,096 $ 7,280,026 804,408 244,651 8,047,143 920,197 343,878 9,716,371 996,174 323,433 10,964,568 1.079,096 592,996 11,314,565 1.185,245 582,198 11,851,021 1.099,137 698,392 10,541, 638 1,182,160 96,088 537,895 10,365,989 1,078,052 211,175 798,781 8,841,628 1,567,622 B 210,925 716,728 8,984,792 7Q CITY OF WHEAT RIDGE, C'')LORADO GENERAL GOVERNMENTAL REVENUES BY SOURCE LAST TEN FISCAL YEARS (UNAUDITED) Charges Fiscal Licenses Intergov- for Year Taxes & Permi ts ernmental Services 1981 $ 5,789,891 $ 155,234 ::, 1,422,121 $ 164,709 1982 6,514,760 125,112 1,094,860 174,938 1983 6,768,083 185,267 1,194,589 206,243 1984 7,358,947 238,948 1,560,986 194,095 1985 7,440,861 215,851 1,154,850 192,463 1986 7,531,653 223,959 1,304,977 495,051 1987 7,320,112 246,513 1,655,083 504,482 1988 7,477,204 I 270,142 1,744,146 469,973 1989 5,171,317 A 225,961 1.998,907 504,767 1990 5,736,579 332,499 1. 826, 438 236,700 Notes: Includes general, special revenue, and debt service funds. A. One half of 1% of sales tax revenues are accounted for in the Capital Project Fund starting in 1989. Source: City of Wheat Ridge audited financial statements, 1981-1990. so Fines & Forfeitures Interest Other Total $ 69,752 $ 897,163 $ 2,862 $ 8,501,732 90,151 816,995 41, 797 8,858,613 120,657 553,205 140,870 9,168,914 110,212 604,458 80,281 10,147,927 115,653 455,488 57,737 9,632,903 132,573 260,042 724,920 10,673,175 130,311 191,331 382,877 10,430,709 266,251 180,942 58,732 10,467,390 389,600 169,700 84,399 8,544,651 396,718 189,238 97,608 8,815,780 81 CITY OF WHEAT RIDGE, COLORADO GENERAL GOVERNMENTAL TAX REVENUES LAST TEN FISCAL YEARS (UNAUDITED) Liquor & Fiscal Property Telephone Auto Sales Year Taxes Occupation Ownership Tax 1981 ~ 443,284 ~ 132,981 $ 42,460 $ 3,864,923 ~ ~ 1982 442,347 139,730 39,077 4,584,320 1983 455,015 137,505 44,499 4,693,198 1984 494,092 143,907 43,411 5,203,793 1985 478,447 152,977 48,061 5,061,288 1986 494,847 161, 693 47,165 5,050,875 1987 502,269 177,486 44,926 4,902,053 1988 545,964 183,773 44,895 5,083,240 1989 542,580 172,901 46,986 2,754,972 A 1990 567,756 178,929 47,208 2,730,931 Notes: Includes general, special revenue, and debt service funds. A. One-half of l% sales tax earmarked for capital projects fund created in 1989. Source: City of Wheat Ridge audited financial statements, 1981-1990. i1? Lodgers & Use Franchise Admissions Tax Tax Excise Total $ 733,882 $ 572,361 $ $ 5,789,891 631,103 678,183 6,514,760 736,933 700,933 6,768,083 849,723 624,021 7,358,947 758,177 941,911 7,440,861 743,125 778,004 255,944 7,531,653 674,346 735,196 283,836 7,320,112 660,152 622,393 253,397 7,393,814 658,830 745,403 249,645 5,171,317 1,185,551 724,078 302,126 5,736,579 - - - 83 CITY OF WHEAT RIDGE, COLORADO PROPERTY TAX RATES - DIRECT AND OVERLAPPING GOVERNMENTS LAST TEN FISCAL YEARS (UNAUDITED) City of School Belaire Fruitdale Fiscal Wheat Jefferson District Sanitation Sanitation Year Ridge County R-1 District District 1981 3.500 18.810 52.270 27.240 6.550 1982 3.500 20.810 54.110 29.100 6.020 1983 3.500 24.150 59.760 30.720 5.020 1984 3.500 24.090 58.690 32.870 5.100 1985 3.500 25.040 61.550 35.920 4.720 1986 3.500 28.790 63.730 38.410 4.720 1987 2.020 17.140 36.630 18.172 2.683 1988 2.265 18.890 40.312 24.332 3.210 1989 2.418 22.021 44.147 25.824 3.600 1990 2.458 23.602 42.207 28.000 3.925 Note: All numbers shown are Mill Levys (amounts assessed per $1,000) Source: Jefferson County Assessors' Office 84 Urban North West Drainage wheat Wheat Lakewood & Flood Valley Westridge Ridge Ridge Sanitation Control Water Sanitation Fire Sanitation District District District District Protection District 5.390 0.900 4.980 6.970 2.990 2.500 5.770 0.900 4.560 6.970 3.160 2.940 5.950 0.900 3.780 8.810 3.180 2.930 6.890 0.900 4.110 9.490 3.520 3.260 7.360 0.900 4.070 9.490 3.690 3.450 8.060 1.000 4.180 9.490 3.910 3.690 4.570 0.518 2.408 5.463 2.240 1. 943 5.157 0.577 2.643 6.405 2.597 2.488 5.157 0.668 2.204 6.853 3.060 2.790 6.791 0.699 1.710 7.361 3.178 3.004 85 CITY OF WHEAT RIDGE, COLORADO ASSESSED AND ESTIMATED ACTUAL VALUE OF TAXABLE PROPERTY LAST TEN FISCAL YEARS (UNAUDITED) Ratio of Total Assessed to Fiscal Assessed Estimated Total Estimated Year Valuation Actual Value Actual Value 1981 $ 127,448,920 $ 424,829,691 30.0 % 1982 131,113.740 437,045,756 30.0 1983 145,391, 770 484,634,387 30.0 1984 138,806,980 555,227,920 25.0 1985 142,459,340 569,837,360 25.0 1986 145,389,150 581,556,600 25.0 1987 261,992,340 1,114,861,021 23.5 1988 253,324,240 1,125,885,511 22.5 1989 235,939,530 1,072,452,409 22.0 1990 232,394,250 1,056,337,500 22.0 NOTES: A. Jefferson County is the collection agent for the City of Wheat Ridge, and as such could not separate real property, personal property, and exempt property. The amounts shown above represent all types of property. B. properties within the City are assessed by the Jefferson County Assessor on January 1, of each year. For 1990 the property was assesed at 22.0% of the estimated actual value based on the period from July 1988 to June 1989. Source: Jefferson County Assessors' office. 86 CITY OF WHEAT RIDGE, COLORADO PRINCIPAL TAXPAYERS DECEMBER 31, 1990 (UNAUDITED) Percentage Assessed of Total Taxpayer Type of Business valuation Valuation Adolph Coors Company Glass Container Mfg. $ 2,675,728 1. 15 % Applewood Village Shopping Center 1,034,172 0.45 Lutheran Medical Center Medical Office Bldg. 647,576 0.28 Psychiatric Hospital Leaf Inc. Candy Mfg. 404,845 0.17 Kipling Ventures Ltd. Commercial Bldgs. 283,800 0.12 Great American Bank Apartment Complex 280,297 0.12 Commonwealth Life Insurance Shopping Center 277,545 0.12 Lutheran Brotherhood Shopping Center 277,441 0.12 American Lodging Motels 270,579 0.12 Andrew Leslie Metzger Motel 254,134 0.11 Total $ 6,406,117 2.76 % Source: Jefferson County Assessors' Office. 87 CITY OF WHEAT RIDGE, COLORADO SPECIAL ASSESSMENT BILLINGS AND COLLECTIONS LAST TEN FISCAL YEARS (UNAUDITED) Current Current Ratio of Fiscal Assessments Assessments Collections Year Due Collected to Amount Due 1981 $ $ % 1982 1983 1984 1985 1986 1987 1988 1,250,000 221,388 .18 1989 164,538 176,479 107.26 1990 164,538 164,538 100.00 Note: In 1988 the City issued $1,250,000 in special assessment debt. The property owners were offered the option to pay their prorata share of the assessment over the next ten years of the entire balance in 1988 less a 5% discount. The City collected $83,390 from the assessed district and an additional $137,998 from the bond proceeds applied against the debt in a negotiated settlement with two of the affected property owners. Source: City of Wheat Ridge audited financial statements, 1981-1990. 88 CITY OF WHEAT RIDGE, COLORADO COMPUTATION OF LEGAL DEBT MARGIN DECEMBER 31, 1990 (UNAUDITED) Computaion of maximum debt allowed: 1990 estimated actual valuation Legal debt limit percentage $ 1,056,337,500 3 % Legal debt limit $ 31,690,125 Amount of Debt outstanding: Total bonded debt $ 2,990,000 Less: Funds available in debt service fund (47,175) Net bonded debt outstanding 2,942,825 Legal debt limit 31,690,125 Legal debt margin $ 28,747,300 - Source: City of Wheat Ridge Charter and Jefferson County Assessors' Office - 89 CITY OF WHEAT RIDGE, COLORADO COMPUTATION OF DIRECT AND OVERLAPPING BONDED DEBT DECEMBER 31, 1990 (UNAUDITED) Gross Debt Taxing Authority Outstanding Percentage Applicable to City Overlapping Debt Applicable to City $ 9,163,890 84,000 62,335 9,310,225 2,990,000 $ 12,300,225 School District R-l $ 132,810,000 6.9 % Valley Water District 105,000 80.0 Westridge Sanitation 685,000 9.1 Total overlapping debt City of Wheat Ridge 2,990,000 100 Total direct and overlapping debt Source: The taxing authorities listed above and the Jefferson County Assessors' Office. 90 CITY OF WHEAT RIDGE, COLORADO RATIO OF ANNUAL DEBT SERVICE FOR GENERAL BONDED DEBT TO TOTAL GENERAL GOVERNMENTAL EXPENDITURES LAST TEN FISCAL YEARS (UNAUDITED) Ratio of (Bj Debt Service (A) Total to Total Total General General Fiscal Debt Governmental Governmental Year Principal Interest Service Expenditures Expenditures 1981 $ $ 7,280,026 % 1982 8,047,143 1983 9,716,371 1984 10,964,568 1985 11,314,565 1986 11,851,021 1987 10,541,638 1988 96,088 96,088 10,365,989 0.93 1989 210,925 210,925 8,841,628 2.39 1990 210,925 210,925 8,966,635 2.35 - NOTES: This table excludes special assessment debt A. Excludes bond issuance and other costs B. Includes general, special revenue, and debt service funds. Source: City of Wheat Ridge audited financial statements, 1981-1990. 91 CITY OF WHEAT RIDGE, COLORADO RATIO OF NET BONDED DEBT TO ASSESSED VALUE AND NET BONDED DEBT PER CAPITA LAST TEN FISCAL YEARS (UNAUDITED) Gross Fiscal Assessed Bonded Year population value Debt 1981 30,250 127,448,920 $ 1982 30,293 131,113,740 1983 30,336 145,391,770 1984 30,280 138,806,980 1985 30,280 142,459,340 1986 30,480 145,389,150 1987 29,506 261,992,340 1988 29,864 253,324,240 2,990,000 1989 30,013 235.939,530 2.990,000 1990 29,419 232,394,250 2,990,000 NOTES: Gross bonded debt does not include special assessment bonds. Source: City of Wheat Ridge audited financial statements, 1981-1990 92 Debt Service Funds Available $ 339,749 343,157 346,175 Net Bonded Debt $ 2,650,251 2,646,843 2,643,825 Ratio of Net Bonded Debt to Assessed Value 1. 05 1.12 1.13 93 Net Bonded Debt Per Capita % $ 89 88 90 CITY OF WHEAT RIDGE, COLORADO REVENUE BOND COVERAGE SALES TAX REVENUE BONDS LAST TEN FISCAL YEARS (UNAUDITED) Sales Fiscal Tax Debt Service Requirements Year Revenues Principal Interest Total Coverage 1981 $ 3,864,923 $ $ $ 1982 4,584,320 1983 4,693,198 1984 5,203,793 1985 5,061,288 1986 5,050,875 1987 4,902,053 1988 5,083,240 96,088 96,088 52.90 1989 5,509,944 210,925 210,925 26.12 1990 5,461,862 210,925 210,925 25.89 Note: Sales tax revenues are included since debt service is paid with sales tax proceeds. Source: City of Wheat Ridge audited financial statements, 1981-1990. 94 CITY OF WHEAT RIDGE, COLORADO DEMOGRAPHIC STATISTICS LAST TEN FISCAL YEARS (UNAUDITED) Average Number of Per Years of Fiscal Capita Median Formal School Unemployment Year Population Income Age Schooling Enrollment Rate 1981 30,250 $ 10,940 34 12.8 4,808 4.5 % 1982 30,293 11,850 34 12.8 4,791 5.4 1983 30,336 12,440 34 12.8 4,653 5.3 1984 30,280 12,335 34 12.8 4,669 4.7 1985 30,280 12,828 34 12.8 4,663 4.8 1986 30,480 12,828 34 12.8 4,337 6.4 1987 29,506 12,977 35 12.8 4,562 5.6 1988 29,864 13,000 35 13.0 4,658 5.8 1989 30,013 13,664 35 13.0 5,048 4.5 1990 29,419 16,392 32 13.2 4,454 3.9 Source: The 1990 Census Bureau statistics, the Center for Business and Economic Forecasting, Jefferson County Planning Dep- artment, and the Jefferson County School District R-1. 95 CITY OF WHEAT RIDGE, COLORADO CONSTRUCTION, PROPERTY VALUE, AND BANK DEPOSITS LAST TEN FISCAL YEARS ( UNAUDITED) commercial Residential Construction Construction Number Number Estimated Total Fiscal of Estimated of Estimated Actual Wheat Ridge Year Units Value Units Value Property Value Bank Deposits 1981 22 $13,562,824 151 $ 5,703,199 $ 424,829,691 $ 64,562,000 1982 5 3,339,102 197 5,795,927 437,045,756 82,479,000 1983 12 5,964,496 357 9,765,110 484,634,387 98,124,000 1984 12 3,720,831 224 9,282,037 462,689,934 115,456,000 1985 9 6,210,435 186 6,848,498 474,866,841 124,733,000 1985 12 7,382,110 56 2,770,741 484,630,500 145,302,000 1987 4 3,272,180 63 4,828,885 1,114,861,021 756,995,487 1988 11 1,996,272 14 1,838,209 1,125,885,511 132,468,920 1989 11 2,629,566 14 1,700,028 1,072,452,409 131,969,885 1990 13 4,238,919 11 1,598,372 1,056,337,500 138,171,196 Source: The City of Wheat Ridge Building Department, Jefferson County Assessors' Office, and local bank statements of condition. 96 CITY OF WHEAT RIDGE, COLORADO MISCELLANEOUS STATISTICS DECEMBER 31, 1990 (UNAUDITED) Date of Incorporation Form of Government Area Population (1990 Census) Employees: Elected Appointed Fire Protection: (1) Number of stations 2 Number of fire fighters and officers 1 (exclusive of volunteer fire fighters) Police Protection: Number of stations Number of police officers Education: (1) Private and Parochial Public Elementary Schools Public Junior High Schools Public High School Local Streets: Miles of streets Number of street lights Number of traffic controlled locations Building Permits Issued Recreation and Culture: Community Centers Outdoor Swimming Pool Tennis Courts Parks (developed and undeveloped) Greenbelt trail system Libraries (1) Number of Volumes Jefferson County Library System 1969 Mayor - Council 9.1 Sq. Miles 29,419 11 164.75 1 58 4 (592 students) 6 (2,094 students) 2 (1,034 students) 1 (1,326 students) 129 1,492 49 80 2 1 9 16 w/124.5 Acres 5 miles (Approx. 300 Acres) 1 27,707 537,537 (1) Facilities and services not included in the reporting entity Source: City of Wheat Ridge, Jefferson County School District R-1, Wheat Ridge Fire Protection District and Jefferson County Public Library 97 --- - - 98 /--- Single Aud\t section -m - - - ~o == - ~ -- = ---'- -- - -^> - - - - 3201 E. Third Avenue Denver, Colorado 80206 (303) 388-4181 FAX (303) 388-4182 = GRUENLER & = ASSOCIATES 118 Sixth Street, 25C Glenwood Springs, Colorado 81601 (303) 945-2695 INDEPENDENT AUDITORS' REPORT ON INTERNAL CONTROLS (ACCOUNTING AND ADMINISTRATIVE)--BASED ON A STUDY AND EVALUATION MADE AS A PART OF AN AUDIT OF THE GENERAL PURPOSE FINANCIAL STATEMENTS AND THE ADDITIONAL TESTS REQUIRED BY THE SINGLE AUDIT ACT To the City Council City of Wheat Ridge, Colorado We have audited the general purpose financial statements of the City of Wheat Ridge, Colorado, for the year ended December 31, 1990, and have issued our report thereon dated April 8, 1991. As part of our audit, we made a study and evaluation of the internal control systems, including ap~l~cable internal administrative controls, used in administer~ng federal financial assistance programs to the extent we considered necessary to evaluate the systems as required by generally accepted auditing standards, "Government Auditing Standards," issued by the Comptroller General of the united States, the Single Audit Act of 1984, and the provisions of OMB Circular A-128, "Audits of State and Local Governments." For the purpose of this report, we have classified the significant internal accounting and administrative controls used in administerin9 federal financial assistance programs in the following categor~es: Accounting controls: Revenue, receipts Receivables Property and equipment Debt and debt service Billin9s Expend~tures for goods and services Cash and cash equivalents Inventory Payables and accrued liabilities Fund balance Payroll Grants and similar programs General Requirements: Political activity Cash management Specific Requirements: Types of service Reporting Drug free workplace Civil rights Drug free workplace Eligibility Allowable cost Certified PubliC Accountants Members of American Institute of Certified PubliC Accountants ~ DIVision for CPA Firms Colorado Society of C"rtifled Public Accountants Governmental FinancE99!flcers Association The management of the City of Wheat Ridge, Colorado, is responsible for establishing and maintaining internal control systems used in administering federal financial assistance programs. In fulfilling that responsibility, estimates and judgments by management are required to assess the expected benefits and related costs of control procedures. The objectives of internal control systems used in administering federal financial assistance programs are to provide management with reasonable, but not absolute, assurance that, with respect to federal financial assistance pr09rams, resource use is consistent with laws, regulations, and po11cies; resources are safeguarded against waste, loss, and misuse; and reliable data are obtained, maintained, and fairly disclosed in reports. Because of inherent limitations in any system of internal accountin9 and administrative controls used in administering federal f1nancial assistance programs, errors or irregularities may nevertheless occur and not be detected. Also, projection of any evaluation of the systems to future periods is subject to the risk that procedures may become inadequate because of changes in conditions or that the degree of compliance with the procedures may deteriorate. Our study included all of the ap~licable control categories listed in the first paragraph. Dur1ng the year ended December 31, 1990, the City of Wheat Ridge, Colorado, had no major federal financial assistance programs and expended 62 percent of its total federal financial assistance under the, State and Community Highway Safety Program, a nonmajor federal financial assistance pr09ram. with respect to internal control srstems used in adm1nistering this nonmajor federal financ1al assistance programs, our study and evaluation included considering the types of errors and irregularities that could occur, determining the internal control procedures that should prevent or detect such errors and irregularities, determining whether the necessary procedures are prescribed and are being followed satisfactorily, and evaluating any weaknesses. with respect to the internal control systems used solely in administering the other nonmajor federal financial assistance programs of the City of Wheat Ridge, Colorado, our study and evaluation was limited to a preliminary review of the systems to obtain an understanding of the control environment and the flow of transactions through the accounting system. Our study and evaluation of the internal control systems used solely in administering the nonmajor federal financial assistance programs of the City of Wheat Ridge, Colorado, did not extend beyond this preliminary review phase. Our study and evaluation was more limited than would be necessary to ex~ress an opinion on the internal control systems used in admin1stering the federal financial assistance programs of the City of Wheat Ridge, Colorado. Accordingly, we do not express an 100 opinion on the internal control systems used in adrninisterin9 the federal financial assistance programs of the City of Wheat Rldge, Colorado. Also, our audit, made in accordance with the standards mentioned in the first paragraph, would not necessarily disclose material weaknesses in the internal control systems, for which our study and evaluation was limited to a preliminary review of the systems, as discussed in the fifth paragraph of this report. This report does not financial statements Colorado, compliance 1991. affect our reports on the general purpose and on the the Citr of Wheat Ridge, with laws and regulatlons dated April 8, This report is intended solely for the use of management, the u.s. Department of Transportation and the Colorado State Auditors Office. This restriction is not intended to limit the distribution of this report, which, upon acceptance by the City of Wheat Ridge, Colorado, is a matter of public record. April 8, 1991 ~~",-~f~~,~, ~L. 101 3201 E. Third Avenue Denver, Colorado 80206 (303) 388-4181 FJ\X(303) 388-4182 = GRUENLER & = ASSOCIATES 118 Sixth Street, 25C Glenwood Springs, Colorado 81601 (303) 945-2695 INDEPENDENT AUDITORS' REPORT ON INTERNAL CONTROL STRUCTURE RELATED MATTERS NOTED IN A FINANCIAL STATEMENT AUDIT CONDUCTED IN ACCORDANCE WITH "GOVERNMENT AUDITING STANDARDS" To the City Council City of Wheat Ridge, Colorado We have audited the general purpose financial statements of the City of Wheat Ridge, Colorado, for the year ended December 31, 1990, and have issued our report thereon dated April 8, 1991. We conducted our audit in accordance with generally accepted auditing standards, "Government Auditing Standards," issued by the Comptroller General of the United States, and the provisions of Office of Management and Budget Circular A-128, "Audits of State and Local Governments." Those standards and OMB Circular A-128 require that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement. In planning and performing our audit of the general purpose financial statements of the City of Wheat Ridge, Colorado, for the year ended December 31, 1990, we considered its internal control structure in order to determine our auditing procedures for the purpose of expressing our o~inion on the general purpose financial statements and not to provlde assurance on the internal control structure. The management of the City of Wheat Ridge, Colorado, is responsible for establishing and maintaining an internal control structure. In fulfilling this responsibility, estimates and judgments by management are required to assess the expected benefits and related costs of internal control structure policies and procedures. The objectives of an internal control structure are to provide management with reasonable, but not absolute, assurance that assets are safeguarded against loss from unauthorized use or disposition, and that transactions are executed in accordance with management's authorization and recorded properly to permit the preparation of financial statements in accordance with generally acce~ted accounting principles. Because of inherent limitations In any internal control structure, errors or irregularities may nevertheless occur and not be detected. Also, projection of any evaluation of the structure to future periods is subject to the risk that procedures may become inadequate because of changes in conditions or that the effectiveness of the design and operation of policies and procedures may deteriorate. Certified PubliC Accountants Mpmbers of American Institute of Certified Public Accountants - DivIsion for CPA Firms Colorado Society of Certified PubliC Accountants Governmental FinancaOll,cers Association For the purpose of this significant internal control the following categories. report, we have classified the structure policies and procedures in Revenue, receipts Receivables Property and equipment Debt and debt service BillinC}s Expendltures for goods and services Cash and cash equivalents Inventory Payables and accrued liabilities Fund balance Payroll Grant and similar programs For all of the control categories listed above, we obtained an understanding of the design of relevant policies and procedures and whether they have been placed in operation, and we assessed control risk. Our consideration of the internal control structure would not necessarily disclose all matters ln the internal control structure that might be material weaknesses under standards established by the American Institute of Certified Public Accountants. A material weakness is a re~ortable condition in which the design or operation of the speclfic internal control structure elements does not reduce to a relatively low level the risk that errors or irregularities 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 performinC} their assigned functions. We noted no matters involving the lnternal control structure and its operation that we consider to be material weaknesses as defined above. This report is intended for the information of management, the u.s. Department of Transportation and the Colorado State Auditors Office. This restriction is not intended to limit the distribution of this report, which, upon acceptance by the City of Wheat Ridge, Colorado, is a matter of public record. April 8, 1991 bULQ",-0 ~I~~' ~.L . 103 3201 E. Third Avenue Denver, Colorado 80206 (303) 388-4181 FAX 13031 388-4182 = GRUENLER & = ASSOCIATES 118 Sixth Street, 25C Glenwood Springs, Colorado 81601 13031945-2695 INDEPENDENT AUDITORS' REPORT ON COMPLIANCE WITH LAWS AND REGULATIONS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH "GOVERNMENT AUDITING STANDARDS" To the City Council City of Wheat Ridge, Colorado We have audited the general purpose financial statements of the City of Wheat Ridge, Colorado, as of and for the year ended December 31, 1990, and have issued our report thereon dated April 8, 1991. We conducted our audit in accordance with generally accepted auditing standards, "Government Auditing Standards," issued by the Comptroller General of the United States, and the provisions of Office of Management and Budget Circular A-128, "Audits of state and Local Governments." Those standards and OMB Circular A-128 require that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement. Compliance with laws, regulations, contracts, and grants applicable to the City of Wheat Ridge, Colorado, is the responsibility of the City of Wheat Ridge, Colorado, management. As part of our audit, we assessed the risk that noncompliance with certain provisions of laws, regulations, contracts, and grants could cause the financial statements to be materially misstated. We concluded that the risk of such material misstatement was sufficiently low that it was not necessary to perform tests of the the City'S compliance with such provis~ons of laws, regulations, contracts, and grants. However, in connection with our audit, nothing came to our attention that caused us to believe that the City of Wheat Ridge, Colorado, had not complied, in all material respects, with the laws, regulations, contracts, and grants referred to in the preceding paragraph. This report is intended for the information of management, the U.s. Department of Transportation and the Colorado State Auditors Office. This restriction is not intended to limit the distribution of this report, which, upon acceptance by the City of Wheat Ridge, Colorado, is a matter of public record. April 8, 1991 ~W\'\.~f, ~Dt:J~, ~c:. Certltled Public Accountants Members of American Institute of Certified Public Accountants - DiVISion for CPA Firms Colorado Society of Certified Public Accountants Governmental Finance liUkers Association 3201 E. Third Avenue Denver, Colorado 80206 (303) 388-4181 FAX (303) 388-4182 = GRUENLER & = ASSOCIATES 118 Sixth St reet. 25C Glenwood Springs, Colorado 81601 (303) 9452695 INDEPENDENT AUDITORS' REPORT ON COMPLIANCE WITH REQUIREMENTS APPLICABLE TO NONMAJOR FEDERAL FINANCIAL ASSISTANCE PROGRAM TRANSACTIONS To the City Council City of Wheat Ridge, Colorado In connection with our audit of the 1990 general purpose financial statements of the City of Wheat Ridge, Colorado, and with our study and evaluation of the City of Wheat Ridge, Colorado, internal control systems used to administer federal financial assistance programs, as required by Office of Management and Budget Circular A-128, "Audits of State and Local Governments," we selected certain transactions applicable to certain nonmajor federal financial assistance programs for the year ended December 31, 1990. As required by OMB Circular A-128, we have performed auditing procedures to test compliance with the requirements governing types of services allowed or unallowed and eligibility that are applicable to those transactions. Our procedures were substantially less in scope than an audit, the objective of which is the expression of an opinion on the City of Wheat Ridge, Colorado, compliance with these requirements. Accordingly, we do not express such an opinion. With respect to the items tested, the results of those procedures disclosed no material instances of noncompliance with the requirements listed in the preceding paragraph. With respect to items not tested, nothing carne to our attention that caused us to believe that the City of Wheat Ridge, Colorado, had not complied, in all material respects, with those requirements. This report is intended for the information of management, the u.s. Department of Transportation, and Colorado State Auditors Office. This restriction is not intended to limit the distribution of this report, which, upon acceptance by the City of Wheat Ridge, Colorado, is a matter of public record. April 9, 1991 ~\\lll~~~o",k. ~L Certltied Public Accountants Members of American Institute of Certltied Public Accountants - DiVISion for CPA Firms Colorado Society of Certified PubliC Accountants Governmental Flnanc<3. OOicers Association CITY OF WHEAT RIDGE, COLORADO SECHEDULE OF FEDERAL FINANCIAL ASSISTANCE FOR THE YEAR ENDED DECEMBER 31, 1990 U.S. Department of Health and Human Services Alcohol and Drug Abuse and Mental Health Services Block Grant U.S. Department of Education Drug Free Schools U.S. Department of Transportation Passed through State Department of Highways State and Community Highway Safety Federal CFDA Number 13.992 13.992 84.186 20.600 106 Pass- Through Grantor's Number DOH 88-195 Grant Year FY 1989-90 FY 1990-91 FY 1989-90 1988/91 Grant Amount $ 12,375 16,400 14,060 268,109 (Accrued) Deferred Revenue 1-1-90 $ (1,050) (765) $ (1,815) Revenue $ 12,036 11,865 34,783 $ 58.684 107 Expenditures $ 10,986 1,870 11,100 38,699 $ 62,655 (Accrued) Deferred Revenue 12-31-90 $ (1,870) (3,916 ) $ (5,786) 3201 E. Third Avenue Denver, Colorado 80206 (3031 388-4181 FAX (3031 388-4182 = GRUENLER & = ASSOCIATES 118 Sixth Street, 25C Glenwood Springs, Colorado 81601 (303) 945-2695 INDEPENDENT AUDITORS' REPORT ON SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE To the City Council City of Wheat Ridge, Colorado We have audited the general purpose financial statements of the City of Wheat Ridge, Colorado, for the year ended December 31, 1990, and have issued our report thereon dated April 8, 1991. These general purpose financial statements are the responsibility of the City of Wheat Ridge, Colorado, 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, "Government Auditing Standards," issued by the Comptroller General of the United States, and the provisions of Office of Management and Budget Circular A-128, "Audits of State and Local Governments." Those standards and OMB Circular A-128 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 su~porting the amounts and disclosures in the general purpose flnancial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. Our audit was conducted for the purpose of forming an opinion on the general purpose financial statements of the City of Wheat Ridge, Colorado, taken as a whole. The accompanying schedule of federal financial assistance is presented for purposes of additional analysis and is not a required part of the general purpose financial statements. The information in that schedule has been subjected to the auditing procedures applied in the audit of the general purpose financial statements and, in our opinion, is falrly presented in all material respects in relation to the general purpose financial statements taken as a whole. April 8, 1991 ~fl-W"~ F~Da~. ~.C Certified PubliC Accountants ---- Members ot American Institute ot Certified Public Accountants DiviSion for CPA Firms Colorado Society of Certjfif.oPubllc Accountants Governmental Financ4~,cers Association