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HomeMy WebLinkAbout1989 ~ ~~~~ eitV 01 Wheat Ridge eolorado ~ 1 9 B 9 e omprehen~i've ~ ltnnual financial Report fiiScal Year ~nding December 31 ~~--1~ ~ CITY OF WHEAT RIDGE WHEAT RIDGE, COLORADO COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED DECEMBER 31, 1989 AND AUDITORS' REPORTS PREPARED BY: James o. Malone City Treasurer Bernadette J. Kimmey Budget/Finance Officer Sybil Noss Chief Accountant Gruenler & Associates, P.C. Certified Public Accountants CITY OF WHEAT RIDGE WHEAT RIDGE, COLORADO COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED DECEMBER 31, 1989 TABLE OF CONTENTS INTRODUCTORY SECTION Letters of Transmittal: City Administrator City Treasurer Organizational Chart List of Principal Officials FINANCIAL SECTION Independent Auditors' Report General Purpose Financial Statements: Combined balance account groups sheet - all fund types and Combined statement of revenues, expenditures and changes in fund balances - all governmental fund types and expendable trust fund Combined statement of revenues, expenditures and changes in fund balances budget (non-gaap basis) and actual - general, special revenue, debt service and capital project funds 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 11-12 13 14-17 18-19 20-23 24 25-44 CITY OF WHEAT RIDGE WHEAT RIDGE, COLORADO COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED DECEMBER 31, 1989 TABLE OF CONTENTS (Continued) Supplemental information combining, individual fund and account group statements and schedules General fund: Comparative balance sheets Comparative statements of revenues, expenditures and changes in fund balances Comparative schedules of revenues, expenditures and changes in fund balance - budget (non-gaap basis) and actual Special revenue funds: Combining balance sheets Combining statements of revenues, expenditures and changes in fund balance ... Combining schedules and changes in fund basis) and actual of revenues, expenditures balance - budget (non-gaap Debt service fund: Comparative balance sheet Comparative statement of revenues, expenditures and changes in fund balance - budget and actual Capital projects fund: Comparative balance sheet Comparative statement of revenues, expenditures and changes in fund balances Comparative schedules and changes in fund basis) and actual of revenues, expenditures balance - budget (non-gaap Page No. 45 46 47 48 49 51 52-53 54-55 56-59 60 61 62 63 64 65 66 CITY OF WHEAT RIDGE WHEAT RIDGE, COLORADO COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED DECEMBER 31, 1989 TABLE OF CONTENTS (Continued) Supplemental information fund and account group - (Continued) combining, individual statements and schedules Fiduciary funds: Combining balance sheets Agency funds: Statement of changes in assets and liabilities General fixed assets account group: Comparative schedule of general fixed assets - by source Schedule of changes in general fixed assets by function and activity Schedule of 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 Assessed and estimated actual value of property Property tax rates - direct and overlapping governments Principal taxpayers Special assessment billings and collections Computation of legal debt margin Page No. 67 68-69 70-71 - I 72 73 74 75 77 78-79 80-81 82-83 84-85 86 87 88 89 CITY OF WHEAT RIDGE WHEAT RIDGE, COLORADO COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED DECEMBER 31, 1989 TABLE OF CONTENTS (Continued) STATISTICAL SECTION - (Continued) Computation of direct and overlapping debt Ratio of annual debt service for general bonded debt to total general fund expenditures Ratio of net bonded debt to assessed value and net bonded debt per capita Revenue bond coverage - sales tax revenue bonds Demographic statistics Property value, construction and bank deposits Miscellaneous statistics ... SINGLE AUDIT SECTION AND STATEMENT REQUIRED REPORT SECTION SINGLE AUDIT Auditors' report on the internal control structure in accordance with Governmental Auditing Standards 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 or basic financial statements and the additional tests required by the single audit act Auditors' report on compliance based on an audit of general purpose or basic financial statements performed in accordance with Government Auditing Standards Auditors' single audit requirements applicable program transactions report on compliance with to non major federal financial Schedule of federal financial assistance Page No. 90 91 92-93 94 95 96 97 99-100 101-103 104 105 106-107 Auditors' report on supplemental information - schedule of federal financial assistance 108 CITY OF WHEAT RIDGE WHEAT RIDGE, COLORADO COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED DECEMBER 31, 1989 TABLE OF CONTENTS (Continued) Page No. STATE REQUIRED REPORT 109 Independent Auditors' Report on statements prepared for the Colorado Department Highways 110 Counties, cities, and towns annual statement of receipts and expenditures for roads, bridges and streets for the calendar year 1989 111-112 Capital outlay expenditures for HPMS calendar year 1989 113 ... I ;' ,JUL' .."_ ~heat <Ridge April 17, 1990 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 transmit the annual financial report of the City of Wheat Ridge as of December 31, 1989, 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. accordance with the guidelines Officers Association of the United these guidelines, the accompanying THE REPORTING ENTITY AND ITS SERVICES This report includes all of the funds and account groups of the City in conformance with Governmental Accounting and Financial Reporting Standards. 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. Ih, ./1 '/U!!,!'I ('II\''' 1 The R-l School District provides all educational services to the students within Jefferson COunty, Colorado. The R-l School District is the reporting entity and is not a part of the City of Wheat Ridge. Likewise, the Economic Development and Revitalization Commission was founded in 1987 to redevelop certain commercial areas 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 ~8fferson County lies to the west. As there is little room for outward qrowth, redevelopment of existing areas comprises the new construction in Wheat Ridge. During the past year, commercial construction included two convenience stores, a recreational vehicle park, and a large addi tion to a nursing home. 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, and the Rocky Mountains. Vlheat Ridge is known for its business stability. The major property tax payers include a brewery container plant, two shopping centers, a psychiatric center 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 utili ties, a liquor store, and a discount general merchandise store. Lutheran Medical Center employs an estimated 2,000 people, Adolph Coors Co. glass division follows with 455 employees, and Jolly Rancher candies has 275 employees. Sales tax revenues for 1989 were $652,563 greater than 1988 revenues. ~'his increase was due mainly from the supermarkets generating an average of 8% more sales tax; and, the electric/gas and telephone utili ties an increased .5% 5.7%. The discount general merchandise store was in business the full year of 1989, whereas the 1988 tax comprised only eight months of sales. From the additional sales tax received in 1989, the City Council allocated up to $125,000 to be paid to City employees as a one-time only Contingent Compensation Program payment for meritorious performance. The final amount issued to employees was $103,200. By using conservative revenue estimates and monthly monitoring of expenditures throughout 1989, the City was able to add an additional $320,000 to the General Fund carryover fund balance from 1988. With the addition of a $.02 per gallon gasoline tax increase effective August 1, 1989 the amount of State Highway Users tax revenue was greater than projected, and the State Traffic Enforcement Program increased municipal court fine revenue 46% over 1988. The 1990 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. 2 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 of 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 $135,900. A joint project with the City of Lakewood to reconstruct 32nd Avenue between Youngfield and Simms was completed in 1989. Federal grant funds have been approved to continue the reconstruction between Simms and Kipling Streets. The City will contribute one-half to the $2.5 million dollar project. Revitalization of 38th Avenue began in 1989 and will continue through 1994. The segment between Wadsworth and Sheridan Boulevards will be completed first, as it includes a major portion of the businesses in Wheat Ridge. Improving streets, sidewalks and landscaping in this vital area of Wheat Ridge will hopefully attract and retain businesses 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 $1.2 million as of January 1, 1989. 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 1989 included the acquisition of the Bowser property for additional greenbelt land, and the reconstruction of Paramount Park. 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 has started recycling all paper products. This document, except for the transmittal and auditors' letters, has been printed on recycled paper. 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'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, //;~~/'/ /./:/4- MiQhael J./~mith, City Administrator 3 c3 The i._! ).' cd ~._,/F~_- ,'--: l..~ II \ ~, . !i..}"';,_) ~heat GRidge April 17, 1990 The Honorable Mayor Wilde, Wheat Ridge City Council, and City Administrator City of Wheat Ridge Wheat Ridge, Colorado Ladies and Gentlemen: The Comprehensive Annual Financial Report of the City of Wheat Ridge, for the fiscal year ended December 31, 1989, 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 activities. 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 12 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 "',f '/1 (' ( I "1'//(1,/(11) 4 ( 'it \''' 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 $8,544,652 in 1989, a decrease of 18.37% from 1988. 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 1989 AMOUNT OF TOTAL FROM 1988 (DECREASE) Taxes $5,171,318 60.52% $(2,305,886) (30.80)% Licenses & Permits 225,961 2.64 (44,181) (16.36) Intergovernmental 1,998,907 23.39 254,761 14.61 Charges for Services 504,767 5.91 34,794 7.40 Fines & Forfeitures 389,600 4.56 123,349 46.33 Interest Income 169,700 1. 99 ( 11,242 ) (6.21) Other Revenue 84.399 .99 25.667 J~ TOTAL $8,544,652 100.00% $(1,922,738) (18.37)% The major source of revenue for the City of Wheat Ridge is retail sales and use tax. This comprises thirty-three percent (33%) of total current General Fund revenue. The one percent ( 1%) General Fund sales tax revenues for 1989 were $2,754,972, an increase of 8.14% or $207,422 over 1988 collections. General Fund use tax (auto, building and professional) revenues for 1989 were $658,830, a decrease of .2% or $1,322. 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 were 96.6% of the tax levy; the lowest percentage collected in the last ten years. Due to revaluation of Jefferson County property in 1987, some property tax payers were given adjustments and abatements for prior years taxes which has resulted in fewer collected dollars. 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. Municipal Court revenue increased 46.33% over 1988 due to the State Traffic Enforcement Program (STEP) which started 6/01/88 and will end in 1990. The City shared in the cost of the program 25% the first year, 50% the second year, and will share 75% the third and final year of the program. Expenditures for general governmental functions totaled $8,841,628 in 1989, a decrease of 14.71% from 1988. 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 ACTIVITY BY FUNCTION Current: General Government Planning & Develop. Police Public Works Parks & Recreation Other Debt Service TOTAL 1989 Al-10UNT $1,052,162 446,664 3,194,131 2,060,663 1,078,052 798,781 211. 175 $8,841,628 PERCENTAGE OF TOTAL 11 . 90% 5.05 36.13 23.31 12.19 9.03 2.39 100.00% INCREASE (DECREASE) FROM 1988 $ 60,800 (13,275) 153,483 (1,997,234) (104,108) 260,886 115.087 $(1,524,361) PERCENTAGE INCREASE (DECREASE) 6.13% (2.89) 5.05 (49.22) (8.81) 48.50 119.77 (14.71)% The significant change in expenditures between 1988 and 1989 in the Public Works department was the closing of the Capital Projects Fund December 31, 1988. As this was a special revenue fund, it was included in this table in past years. With the issuance of bonded debt in 1988, a Capital Projects Fund was created and all projects are now accounted for in this fund. Debt Service expenditures doubled with the payment of two bond interest amounts in 1989 as opposed to one in 1988. Other expenditures include the one-time payment to City employees from the salary reserve, and an increase in uninsured losses payments because the City raised its deductible amount on insurance. 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%). Two 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, 1989, Wheat Ridge has a $88 per capita debt ratio. This bond issuance makes up 9.3% of the legal debt limited by City Charter and a maximum of $29.5 million remains available for future bond issuances. This bond issuance is accounted for in the Debt Service Fund. 6 The City has entered into several lease agreements for financing the acquisition of equipment including a street sweeper 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. 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 3mall 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. Certificates of deposit are placed in bid amounts of $100,000, the maximum amount insured by the F.D.I.C. At the end of 1989, the City's investment in certificates of deposit and government securities varied in interest rates from 8.1% to 10.64%, and 5.0% to 6.65% in savings and money market accounts, respectively. The Ci ty' s investment portfolio indicates investments were 78% in U. S. Government securities, 5% in certificates of deposit, and 17% in money market or savings accounts, as of December 31, 1989. 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 coverag3, 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. 7 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 1987 fund balance being at thirteen-percent (13%); 1988 at nineteen-percent (19%); and 1989 at eighteen-percent (18%). The City Administrator plans for a fifteen-percent reserve balance each year. This represents the amount reserved for such items as emergency expenditures, compensated absences, and salaries budgeted but not allocated. 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 1989 report contains a Single \udit Section which is required when participating in a non-major Federal financial assistance program. AWARDS Also, GFOA awards a Certificate of Achievement for Excellence in Financial Reporting to local governmental enti ties for thel.r Comprehensive Annual Financial Report. This report, for fiscal year 1989, has been prepared in the format desired by GFOA and will be submitted for their review. 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, Budget/Finance Assistant, to 3ybil Noss, Chief Accountant, and to members of the accounting staff who prepared this report. Special thanks are extended to members of the independe:1t Certified Public Accounting firm of Gruenler and Associates, P. C., for the manner in which they accomplished the 1989 audit. Respectfully submitted, ---, (, /)1 I" \ J;J, " I-' '~M:~_ .Jarnes o. Malone City Treasurer 8 CITY OF WHEAT RIDGE, COLORADO ORGANIZATIONAL CHART I CITIZENS OF WHEAT RIDGE I MAYOR - -\ I ~----------~ I I I CITY 'I ADMINISTRATOR CITY ! COUNCIL r - - - - - f- MUNICIPAL! JUDGE n I; LuniciPal CITY - ATTORNEY ... ... - Building In.pection [Building Maintenance Civil Diaa.ter Code Eftforce.ent Planning . Zoning \ Court... lAccounting ~Audit [Budget Oata Proce..ing Purcha.ing Sale. Tax LSwitchboard ~ I I ~ CITY i I TREASURER, CITY CLERK Per.onnel PARKS & RECREATION POLICE [Park. Maintenance . Fore.try Recreation Ani.al/Park. Enforcement Engineering ~Fleet Maintenance tstreet Maintenance Traffic Maintenance Co_unicat1on. Inveatigation Patrol , Traffic Recorda Support Service. 9 OFFICIALS CITY OF WHEAT RIDGE MAYOR DAN WILDE LARRY MERKL KENT DAVIS ELISE BROUGHAM PHILLIP EDWARDS CITY COUNCIL DISTRICT I DISTRICT II DISTICT III DISTRICT IV RONALD SELSTAD ANTHONY FLASCO DONALD EAFANTI WILLIAM SHANLEY CITY CLERK WANDA SANG CITY TREASURER JAMES O. MALONE - I CITY ATTORNEY JOHN E. HAYES MUNICIPAL JUDGE RANDALL J. DAVIS CITY ADMINISTRATOR MICHAEL J. SMITH DIRECTOR OF PLANNING & DEVELOPMENT....................GLEN GIDLEY DIRECTOR OF PARKS & RECREATION...................RICHARD H. BREDT CHIEF OF POLICE.................................... . JACK A. HURST DIRECTOR OF PUBLIC WORKS............................ROBERT GOEBEL BUDGET/FINANCE ASSISTANT.....................BERNADETTE J. KIMMEY PERSONNEL ASSISTANT..............................PATRICIA A. CREW 10 = GRUENLER & = ASSOCIATES 3201 E. Third Avenue Denver, Colorado 80206 (303) 388-4181 INDEPENDENT AUDITORS' REPORT The Honorable Mayor Members of City Council City Administrator Wheat Ridge, Colorado We have audited the accompanying general purpose financial statements of City of Wheat Ridge, Wheat Ridge, Colorado, as of December 31, 1989 and for the year ended, as listed in the table of contents. These general purpose financial statements are the responsibility of the City of Wheat Ridge, 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. 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 the 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 City of Wheat Ridge, Wheat Ridge, Colorado, as of December 31, 1989, and the results of its operations of its trust fund for the year then ended in conformity with generally accepted accounting principles. Our audit was made for the purpose of forming an opinion on the general purpose financial statements taken as a whole. The combining, individual fund, and account group financial statements and schedules listed in the table of contents are presented for purposes of additional analysis and are not a required part of the general purpose financial statements of City of Wheat Ridge, Wheat Ridge, Colorado. Such information has been subjected to the auditing procedures applied in the audit of the general purpose financial statements and, in our opinion, is fairly stated in all material respects in relation to the gene~al purpose financial statements taken as a whole. Certified Public Accountants Members of American Institute of Certified Public Accountants Colorado Society of Gloillified Public Accountants Governmental Finance OJflcers Association Our audit was made for the purpose of forming an opinion on the general purpose financial statements taken as a whole. The accompanying introductory, statistical, and single audit and state required reports sections listed in the table of contents is presented for purposes of additional analysis and is not a required part of the general purpose financial statements of City of Wheat Ridge, Wheat Ridge, Colorado. Such information has not been subjected to the auditing procedures applied in the audit of the general purpose financial statements of City of Wheat Ridge, Wheat Ridge, Colorado, and accordingly, we express no opinion on it. ~~\~~.~( . March 16, 1990 - 12 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, 1989. 13 CITY OF WHEAT RIDGE, COLORADO COMBINED BALANCE SHEET ALL FUND TYPES AND ACCOUNT GROUPS DECEMBER 31, 1989 (With comparative totals for December 31, 1988) ASSETS AND OTHER DEBITS ASSETS Cash and equivalents Investments Accounts receivable: state government 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 $ 1,167,207 300,000 30,298 642,628 31,426 67,690 42,404 69,826 100,000 $ 2,451,479 Governmental Fund Special Revenue $ 280,037 91,204 58,760 $ 430,001 Types Debt Service $ 44,157 299,000 $ 343,157 The accompanying notes are an integral part of this statement. 14 Capital Pro4ect $ 300,000 4,288,012 94,945 9,l82 $ 4,692,140 Fiduciary Account Groups Totals Fund Type General General (Memorandum Only) Trust and Fixed Long-term (Restated) Aqency Assets Debt 1989 1988 $ 147,034 $ $ $ 1,938,435 $ 3,248,296 532,393 5 , 211 , 609 3,304,964 30,298 701,388 640,894 3,201 129,572 120,506 819,208 819,208 1,012,429 76,872 922,797 5,248,063 5,248,063 4,006,342 42,404 43,773 69,826 112,636 399,000 18,059,496 18,059,496 17 ,954,977 343,157 343,157 682,715 2,989,854 2,989,854 2,631,127 $ 6,749,899 $ 18,059,496 $ 3,333,011 $ 36,059.183 $ 34.681.456 15 (Continued on next page) CITY OF WHEAT RIDGE, COLORADO COMBINED BALANCE SHEET ALL FUND TYPES AND ACCOUNT GROUPS DECEMBER 31, 1989 (Continued) (With comparative totals for December 31, 1988) 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 tax Capital leases Bonds payable Total liabilities FUND EQUITY AND OTHER CREDITS Investment in general fixed assets Fund balances: Reserved for: Encumbrances Capital projects Debt service Inventory Retirement plans Unreserved: Designated for subsequent years' expenditures Undesignated Total equity and other credits TOTAL LIABILlTES, FUND EQUITY AND OTHER CREDITS General $ 8,055 31,359 35,644 110,966 14,296 Governmental Fund Special Revenue $ 5,581 62,044 67,625 44,050 41,288 277,038 362,376 $ 430 ,001 Type s Debt Service $ 343,157 343,157 $ 343,157 10 The accompanying notes are an ~ntegral part of this statement. 9,182 574,538 784,040 17 ,042 42,404 1,443,144 164,849 1,667 ,439 $ 2,451,479 Capital Prolect $ 169,703 2,108,223 1,619,028 795,186 4,692,140 $ 4,692,140 Fiduciary Account Groups Totals Fund Type General General (Memorandum Only) Trust and Fixed Long-term (Restated) Aqency Assets Debt 1989 1988 $ 25 $ $ $ 13,661 $ 53,413 31,359 12,636 35,644 12,669 548,779 659,745 460,436 262,608 276,904 362,056 11,293 11,293 87,607 87,607 44,767 5,646 76,872 922,797 1,250,000 1,250,000 1,355,395 574,538 562,472 80,403 80,403 62,506 2,990,000 2,990,000 2.990.000 ... 1, 903 , 350 3,333,011 3,098.026 6.839,147 18,059,496 18,059,496 4,687,966 230,795 2,108,223 343,157 42,404 4,687,966 lOl,144 57,439 3,204,604 1,294,512 4,846,549 18,059,496 29,971,157 $ 6,749,899 $ 18,059,496 $ 3,333.011 $ 33,069.183 I" 17 ,954,977 1,639,209 339,749 43,773 4,006,342 3,663,388 194,871 27,842.309 $ 34,681,456 CITY OF WHEAT RIDGE, COLORADO COMBINED STATEMENT OF REVENUES,EXPENDITURES AND CHANGES IN FUND BALANCES ALL GOVERNMENTAL FUND TYPES AND EXPENDABLE TRUST FUND FOR THE FISCAL YEAR ENDED DECEMBER 31, 1989 (With comparative totals for December 31, 1988) 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 Bond interest Total expenditures EXCESS (DEFICIENCY) OF REVENUES OVER EXPENDITURES OTHER FINANCING SOURCES (USES) Transfers In (out) - net Bond proceeds Total other financing source (uses) 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 $ 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) 720,001 720.001 262,332 1,405,107 $ 1.667 .439 Governmental Special Revenue $ 606,328 2,879 5,096 614,303 263,333 9,685 273,018 341,285 (1,296,649) (1.296,649) (955,364) 1. 317 ,740 $ 362,376 Fund Types Debt Service Capital Pro-ject $ $ 2,754,972 123,464 30,583 210,702 24,316 30,583 3,113,454 1,541,125 250 210,925 211,175 1 ,541.125 (180,592) 1,572,329 184,000 392,648 184,000 392,648 3,408 1,964,977 339,749 2,727,161 $ 343.157 $ 4.692.138 The accompanying notes are an integral part of this statement. 18 Fiduciary Fund Type Expendable Trust $ 97,033 8,070 105,103 Totals (Memorandum Only) (Restated) 1989 1988 $ 7,926,290 $ 7,393,814 225,%1 270,142 2,219,404 2,147,725 504,767 469,973 389,600 266,251 388,472 270,124 108.715 58,732 11,763,209 10,876,761 1,052,162 991,362 446,664 459,939 3,194,131 3,040,648 - 3,601,788 5,197,991 37,753 1,115,805 1,440,562 799,031 702,830 210,925 96,088 37,753 10,420,506 11,929,420 67,350 1,342,703 (1,052,659) (421,919) 4,240,000 3,818,081 67,350 91,233 $ 158,583 1,342,703 2,765,422 5,880,990 3,126,073 $ 7,223,693 $ 5,891,495 19 2ITY OF WHEAT RIDGE, COLORADO COMBINED STATEMENT OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCES BUDGET (NON-GAAP BASIS) AND A2TUAL ALL GOVERNMENTAL FUND TYPES FOR THE FISCAL YEAR ENDED DECEMBER 31, 1989 Total revenue General Fund Variance Favorable Budqet Actual (Unfavorable) $ 5,252,522 $ 5,171,318 $ (81,204) 260,000 225,961 (34,039) 1,291,500 1,392,579 101,079 504,300 504,767 467 303,000 389,600 86,600 74,157 136,238 62,081 35,488 79,303 43,815 7 ,720,967 7,899,766 178,799 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 1,036,698 1,047,676 (10,978) 484,723 446,664 38,059 3,144,625 3,177,122 (32,497) 2,028,289 1,791,459 236,830 1,103,313 1,075,995 27,318 1.818.947 796.457 1. 022.490 9,616,595 8,335,373 1.281,222 (1,895,628) (435,607) 1,460,021 869,788 720,001 (149,787) Total expenditures EXCESS (DEFICIENCY) OF REVENUES OVER EXPENDITURES OTHER FINANCING SOURCES Transfers in (out) EXCESS (DEFICIENCY) OF REVENUES AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER AND OTHER FINANCING USES (BUDGETARY BASIS) ADJUSTMENTS TO GAAP BASIS Encwnbrances: Prior year paid in current year Current year outstanding $ (1,025,840) 284,394 S 1,310,234 Total adjustments (29,719) 7,657 (22,062) EXCESS (DEFICIENCY) OF REVENUES AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES (GAAP BASIS) Fund balances, beginning of year 262,332 1,405,107 FUND BALANCES, END OF YEAR $ 1,667,439 'n The accompanying notes are an integral part of this statement - Special Revenue Variance Favorable Budqet Actual (Unfavorable) $ $ $ 1,285,000 606,328 (678,672) 700 (700) 1,700 2,879 1,179 6,850 5.096 (1,754) 1,294,250 614,303 (679,947) 1,081,161 398,431 682,730 35,458 9,685 25,773 1,116,619 408 , 116 708,503 177,631 206,187 28,556 - (220,000) ( 1,296,649) ( 1,076,649) ... $ (42,369) (1,090,462) $ (1,048,093) ( 111,085) 246,183 135,098 (955,364) 1,317,740 $ 362,376 (Continued on next page) 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, 1989 (Continued) Debt Service Fund Budqet Actual Variance Favorable (Unfavorable) REVENUES Taxes Licenses and permits Intergovernmental Charges for services Fines and forfeitures Interest Other $ $ $ 30,583 30,583 Total revenue 30.583 30,583 EXPENDITURES Current: General government Planning and development Police Public works Parks and recreation Other Total expenditures 210,925 210,925 211. 175 211,175 (250) (250) EXCESS (DEFICIENCY) OF REVENUES OVER EXPENDITURES (210,925) (180,592) 30,333 OTHER FINANCING SOURCES Transfers in (out) 210.925 184.000 (26,925) EXCESS (DEFICIENCY) OF REVENUES AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER AND OTHER FINANCING USES (BUDGETARY BASIS) ADJUSTMENTS TO GAAP BASIS Encumbrances: Prior year paid in current year Current year outstanding $ 3,408 $ 3.408 Total adjustments EXCESS (DEFICIENCY) OF REVENUES AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES (GAAP BASIS) 3,408 FUND BALANCES, END OF YEAR $ 339,749 343.157 Fund balances, beginning of year 7 7 Capital Proiect Variance Favorable Budqet Actual (Unfavorable) $ 2,600,000 $ 2,754,972 $ 154,972 240,830 123,464 (117,366) 75,000 210,702 135,702 25,000 24,316 (684) 2,940,830 3,113,454 172,624 3,266,276 1,710,827 1,555,449 - 3,266,276 1. 710 ,827 1,555,449 - (325,446) 1,402,627 1,728,073 - (500,000) 392,649 892,649 $ (825,446) 1,795,276 $ 2,620,722 169,703 169,703 1,964,979 2,727,161 $ 4,692,140 ~ ~ _.'l 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, 1989 1989 OPERATING REVENUES: Contributions: Employer Employee - mandatory Employee - voluntary $ 165,656 165,656 16 ,117 Total operating revenues 347,429 OPERATING EXPENSES: Benefit payments Administrative charges 99,046 37,562 Total operating expenses 136 I 608 OPERATING INCOME (LOSS) 210,821 NONOPERATING INCOME: Interest Captial gain 428,886 53,235 Total nonoperating income 482,121 NET INCOME (LOSS) 692,942 Fund balance, beginning of year 4,006,342 FUND BALANCE, END OF YEAR $ 4,699,284 1988 $ 161,879 161,879 14,689 338.447 625,590 20,510 646,100 (307,653) 281,172 15,618 296,790 (10,863) 4,017,205 $ 4,006,342 The accompanying notes are an integral part of this statement. 2~ CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS DECEMBER 31, 1989 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The accounting policies of the City of Wheat Ridge, Colorado, (the City), conform to generally accepted accounting principles (GAAP) as applicable to government units. The governmental Accounting Standards Board (GASB) is the accepted standard setting body for establishing governmental accounting and financial reporting principles. 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 of Wheat Ridge 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 account groups included in this report were included in last year's report. The Open Space Fund is now reported as a separate Special Revenue Fund; it was formerly included in the Capital Improvement Fund (which is in the process of being closed out). In addition, the Special Assessment fund was reclassified as an Agency fund. The foregoing criteria is used to determine whether an entity is a component unit of another governmental entity or whether the agency or organization should be included in reports of this reporting entity. ~s CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS Excluded from the reporting entity: 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, or fails to meet other appropriate criteria for inclusion in the reporting entity (the Wheat Ridge Economic Development and Revitalization Commission is excluded based upon a legal opinion): Jefferson County Wheat Ridge School District R - 1 Valley Water District Westridge Sanitation Wheat Ridge Economic Development and Revitalization Commission Bellaire Sanitation District Fruitdale Sanitation District North West Lakewood Sanitation District Urban Drainage & Flood Control District Wheat Ridge Fire Protection Wheat Ridge Sanitation District B. Fund accounting The City uses funds and account groups to report on its financial I 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 activities. A fund is a separate accounting entity with a self-balancing set of accounts. An account group, on the other hand, is a financial reporting device designed to provide accountability for certain assets and liabilities that are not recorded in the funds because they do not directly affect net expendable available financial resources. Funds are fiduciary. types". classified into two Each category, in turn, categories: governmental and is divided into separate "fund 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. The activities of the Police Department Bond Trust, a statewide program for collection of cash bail bonds, are currently included in the General fund due to the limited materiality of the fund. 2b CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS Special revenue funds - account for the proceeds of specific revenue sources that are legally restricted to expenditures for specific purposes. The City has five special revenue funds. Debt service funds - account for funds used in the servicing of general long-term debt. The City has one such fund. Capital project funds - account used for the acquisition or facilities (other than those trust funds). for financial resources to be construction of major capital financed by proprietary funds and Pension trust and agency funds Pension trust 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. Funds are received from participants and the City. The funds are held in trust for disbursement to participants upon their leaving the plan or upon qualified retirement. Agency funds are generally used to account for assets that the government 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 decreases (i.e., expenditures and other financing uses) in net current assets. Pension trust funds are accounted for resources measurement focus. With this assets and all liabilities associated with funds are included on the balance sheet. on a flow of economic measurement focus, all the operation of these The modified accrual basis of accounting is used by all governmental fund types, expendable trust funds and agency funds. Under the modified accrual basis of accounting, revenues are recognized when susceptible to accrual (i.e., when they become both measurable and available). "Measurable" means the amount of the CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS 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. Principal and interest on general long-term debt are recorded as fund liabilities when due or when amounts have been accumulated in the debt service fund for payments to be made in the following year. Those revenues susceptible to accrual are property taxes, franchise fees, 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 accrual basis of accounting is utilized by pension trust funds. Under this method, revenues are recorded when earned and expenses are recorded at the time liabilities are incurred. 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. Deferred revenues also arise when resources are received by the government before it has a legal claim to them. 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 are adopted on a basis consistent with generally accepted accounting principles, excepting the General, Capital Project, Open Space and Capital Improvement funds which are adopted on a non-gaap basis. Annual appropriated budgets are adopted for all funds, excepting the Police Pension Fund, Agency Funds, and Capital Improvement Funds. The Capital Improvement fund is in the process of being closed. All annual appropriations lapse at fiscal year end. Encumbrances present commitments related to unperformed contracts for goods or services. Encumbrance accounting under which purchase orders, contracts 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. 23 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS E. Cash, cash equivalents and investments Cash and well as maturity cash equivalents include all highly liquid debt of three months or less. cash on hand, demand deposits as instruments purchased with a Investments are stated at Investments of the I.R.C. cost, which approximates market value. Section 457 Plan are stated at market. 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 15 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 interfund receivables/payables During the course of operations, numerous between individual funds. These receivables classified as "due from other funds" or "due to balance sheet. transactions occur and payables are other funds" on the 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. Due from plan trustee The amounts are composed of cash and securities, at market value, held by the trustees for the pension plan and the IRC Code Section 457 deferred compensation plan. J. Restricted assets - cash and investments 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 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. In addition certain other funds are restricted as further explained in the following notes to the financial statements. =9 CITY OF WHEAT RIDGE, COLORAOO NOTES TO THE FINANCIAL STATEMENTS K. 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 streets (after 1977), roads, bridges, curbs and gutters, sidewalks, drainage systems and lighting systems are not capitalized, as these assets are immovable and of value only to the government. Land improvements transferred from 1969 to 1977 had been Subsequently the City elected to all land improvements. to the City from Jefferson County recorded at the County's cost. discontinue recording the cost of The Jefferson County Open Space Program acquires enjoyment (e.g. parks, playgrounds, lakes, etc.) the property to the City for use as public land. recorded at the cost recorded by the Open Space expenditures for this program are reimbursed by the land for public and then donates The property is Program. City County. Assets in the depreciated. general fixed assets account group are not L. Compensated absences Accumulated sick leave that is expected to be liquidated with expendable available financial resources are reported in the general fund. In accordance with the provisions of the " Statement of Financial Accounting Standards No. 43, Accounting for Compensated Absences", 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. 30 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS M. Accrued salaries and wages The accrued salaries and benefits result from a timing difference between 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 next year. The entire liability will be liquidated with expendable available resources and is reported in the General fund. N. Long-term obligations Long-term debt of a governmental fund is reported in the general long-term debt account group. O. Fund equity Reservations of fund equity 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. Encumbrances outstanding and as reservations of fund expenditures or liabilities. inventory, at year balances, they do end, are reported not constitute The Police Pension (Trust) Fund legally restricted to provide Police upon retirement. is reserved because the balance is future benefit payments for the The Debt Service fund balance is reserved because the balance is legally restricted to provide for the retirement of debt principal, interest, and related costs. - The City designates unreserved fund balances in an amount equal to the budgeted individual carryover fund balance based upon the 1990 City budget. P. Interfund transactions Quasi-external transactions are accounted for as revenues or expenditures. Transactions that constitute reimbursements to a fund for expenditures initially made from it that are properly applicable to another fund, are recorded as expenditures in the reimbursing fund and as reductions of expenditures in the fund that is reimbursed. All other transactions Nonrecurring reported as transfers are interfund transactions, except and reimbursements, are reported or nonroutine permanent transfers residual equity transfers. All reported as operating transfers. quasi '-external as transfers. to equity are other interfund 31 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS Q. 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. Interfund eliminations have not been made in the aggregation of this data. R. 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. See also Note 9 to the Financial Statements. 2. LEGAL COMPLIANCE - BUDGETS A. General budget policies The City conforms to the following procedures, in Colorado Revised Statutes, in establishing the reflected in the financial statements: compliance with budgetary data 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 budget is prepared by fund, function and activity, and includes information on the past year, current year estimates and requested appropriations for the next fiscal year. No budgets are prepared for the pension and agency funds which are all custodial in nature. State Statutes do not require budgets for such funds. 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 resolution approving the annual budget and appropriating funds for expenditures. Council must approve revisions that change total expenditures or transfers as to any fund. The City Administrator is authorized to make function or activity transfers within an individual fund. In addition Improvement adopted by expenditures to the operating budget, a five year Capital Program is proposed by the City Administrator and City Council. This program identifies projected and anticipated revenues by fund. The Program is - 0 .)~ CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS revised and extended annually. program as a planning document multi-year expenditures. Annual projects are appropriated in the supplemental appropriations. The City Council adopts the but does not appropriate the installments to the identified annual operating budgets or by Appropriations are controlled by encumbrance accounting and the budget is only amended in conformity with Colorado Revised Statutes, which requires 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 non-gaap basis, except as previously noted. Budget amounts, included in the financial statements, are as originally adopted or as amended by City Council. ... C. Excess of expenditures over appropriations ... The Debt Service fund incurred an immaterial unbudgeted expenditure for trustee administration fees. The expenditure was budgeted in another fund, but paid by the Debt Service Fund. ... 3 . ASSETS A. Deposits and investments ... Deposits and cash 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, 1989, the City deposits are categorized as follows: 3:; CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS Bank Balance Carrying Balance Cash on hand $ 1,505 $ 1,505 Categorized deposits: Deposits covered by federal insurance - Category 1 Deposits collateralized in a single institution pool(s) - Category 2 318,663 317,261 Total 1,718,421 $ 2,038,589 1,689,495 $ 2,008,261 Investments Colorado statutes specify investment instruments, meeting defined rating and risk criteria, in which local government entities may invest: obligations of the United States and certain U.S. government agency's securities, certain international agency securities, general obligation and revenue bonds of U.s. local government entities, bankers acceptances of certain banks, commercial paper, local government investment pools, written repurchase agreements authorized securities, collateralized by certain 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 at year end. Category 2 - investments that are insured or registered or for which the securities are held by the entity or its agent in the City's name. 34 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS The City participates in three investment pools, The Colorado Government Liquid Asset Trust (COLOTRUST), The Jefferson County Surplus Funds Trust (JEFFTRUST) and The Colorado Surplus Asset Fund Trust (CSAFE). Investments in investment pools are not categorized because the investments are not evidenced by securities that exist in physical or book entry form (see also Note 8, Joint Ventures). At December 31, 1989, the city's investments are categorized as follows: Trust Balance Carrying Balance Category 2 - obligations of the U.S. government $ 2,555,975 $ 2,555,975 Investment pools: COLOTRUST JEFFTRUST CSAFE 1,636,433 800,000 618,250 $ 5,610.658 1,636,433 800,000 618,250 $ 5,610,658 - B. Restricted cash and investments ... Restricted cash and investments at December 31, 1989 are composed of the following: - Total restricted cash and investments $ 100,000 35,143 17,261 14,098 3,324 169,826 299,000 $ 468,826 ... Restricted for emergency situations Sales tax revenue set aside "ESTIP" Court bond account Police seizure account Drug Coalition account - Total general fund Debt service general obligation bond reserve Debt Service fund cash of $ 299,000, 10% of the general obligation revenue bond issue of $ 2,990,000, is legally restricted by the terms of the bond issue. The amount is restricted for payment of bond principal and interest until the bond issue is repaid. J~ CITY OF WHEAT RIDGE, COLORAOO NOTES TO THE FINANCIAL STATEMENTS C. Receivables Receivables at December 31, 1989 consist of the following: Special Other General Revenue Funds Deferred taxes $ 568,301 $ $ State of Colorado 30,298 Jefferson County 74,327 58,760 City of Lakewood 84,181 Franchise fees 24,641 Other 6,785 13 ,965 Total $ 704,352 $ 58,760 $ 98,146 Amounts due from Jefferson County include taxes collected and amounts due from the Jefferson County Open Space Program. City Open Space expenditures in the amount of $ 58,760 had not been reimbursed by the County as of December 31, 1989. The above amounts are deemed fully collectable, 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, 1989 are as follows: Balance Balance January 1, December 31, 1989 Additions Deletions 1989 Land $ 2,448,290 $ $ $ 2,448,290 Buildings 3,011,262 3,011,262 Improvements 1,011,003 1,011,003 Streets 8,106,466 8,106,466 Equipment 3,377,956 235,337 130,818 3,482,475 Total $ 17 ,954,977 $ 235,337 $ 130.818 $ 18,059.496 36 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS 4. LIABILITIES A. General government long-term debt. Compensated absences As of December 31, 1989, accrued sick pay in the amount of $ 14,296 was recorded in the General Fund, which will ultimately liquidate the liability. As of December 31, 1989, accrued holiday and vacation pay in the amount of $ 262,608 were recorded in the long-term debt account group, the liability is not expected to be liquidated with expendable available financial resources. General obligation revenue bonds General obligation revenue bonds are direct obligations and pledge the full faith and credit of the City. General obligation bonds outstanding are as follows: Interest Rate Amount General obligation revenue bonds 7.06 % $ 2,990,000 ... Annual debt service requirements to maturity for the bonds including interest of $ 1,909,480 are as follows: Fiscal Year Ending December 31, Total 1990 1991 1992 1993 Thereafter $ 210,925 210,925 210,925 210,925 4,055,780 $ 4,899,480 3- CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS Capital leases The City has entered into several lease agreements for financing the acquisition of equipment including a street sweeper and several copiers . 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 of 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, 1989, as recorded in General Long-Term Debt: Fiscal year ending December 31, 1990 1991 1992 1993 Thereafter Total minimum lease payments Less: amount representing interest Present value of future minimum lease payments Changes in general long-term liabilities $ 42,324 26,042 14,047 12,148 10,899 105,460 25,057 $ 80,403 During the year ended December occurred in liabilities reported account group: 31, 1989, the following changes in the general long-term debt Balance January 1 Compen. absence $ 261,336 G.O. bonds 2,990,000 Capital lease 62,506 $ 3,313,842 Reductions Additions $ 337,142 $ 335,870 43,994 381,136 $ 26,097 361,967 $ 38 Balance December 31 $ 262,608 2,990,000 80,403 $ 3,333,011 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS B. Special Assessment bonds The following is a schedule bonds for which the City is constitutional or statutory of principal due on Special Assessment not obligated within the meaning of any limitation or provision. Special Assessment bonds, issued June 1, 1988 interest at 7.50 % $ 1,250,000 5. INTER FUND ASSETS/LIABILITIES A summary of interfund receivables and payables follows: Fund Receivable Payable General $ 67,690 $ 9,182 - Special Revenue Senior Center 470 Open Space 61,574 Capital Project 9,182 Agency Conservation Trust 5,626 Public Works Escrow 20 $ 76,872 $ 76,872 6. CONTINGENT LIABILITIES - Amounts received or receivable from grantor agencies are subject to audit and adjustment by grantor agencies, principally the federal government. Any disallowed claims, including amounts already collected, may constitute a liability of the applicable funds. The amount, if any, of expenditures which may be disallowed by the grantor cannot be determined at this time although the government expects such amounts, if any, to be immaterial. 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 a material adverse effect on the financial condition of the government. 39 CITY OF WHEAT RIDGE, COLORAOO 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, 1989 was $ 1,656,563 the City's total payroll was $ 4,869,412. There are 63 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, 1989, contributions totaling $ 165,656 City and $ 181,773 employees - were made in accordance with the provisions of the Plan. Current membership in the Plan is comprised of the following: Group December 31, 1989 Retirees and beneficiaries currently receiving benefits o Vested terminated employees o Active employees: Fully vested Nonvested 21 42 Eligibility for benefits may commence at age 55, or upon completion of 25 years of service. 40 CITY OF WHEAT RIDGE, COLORAOO NOTES TO THE FINANCIAL STATEMENTS Colorado County Officials and Employees Retirement Association Plan description and provisions: Employees and officers of the City are required to ]Oln 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, 1989 was $ 1,950,870. The City's total payroll was $ 4,869,412. There are 89 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 lncome 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, 1989, contributions totaling $ 78,035 City and $ 78,035 employees - were made in accordance with the provisions of the Plan. Current membership in the CCOERA us comprised of the following: - Group December 31, 1989 Retirees and beneficiaries currently receiving benefits o Vested terminated employees o - Active employee: Fully vested Nonvested 14 75 Benefit payments are determined as of the date of retirement, termination, death or disability. H CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS Retirement Plan, Internal Revenue Code Section 457 (IRC-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, 1989 was $ 1147,917. The City's total payroll was $ 4,869,412. There are 3 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 _ I City. 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. 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 totaling $ accordance year ended December 31, 1989, 6,467 City and $ 6,467 employees with the provisions of the Plan. contributions - were made in 8. JOINT VENTURES Insurance pools Pursuant to an interlocal 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 east 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, 1988 (latest available information) is as follows: % Pool A - general liability Loss fund Federal Acts/Out-of-State Reserve fund .0336078 .0314937 .0329723 42 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS Pool B - worker's compensation Operating Loss fund Mandatory surplus .1068885 .1025054 .1025023 Summary financial information is as follows: Excess of revenue over expenses Pool A Pool B $ 13,674,393 $ 1,029,268 702,888 109,733 $ 14,377,281 $ 1,139,001 $ 7,576,172 $ 843,278 6,801,109 295,723 $ 14,377,281 $ 1,139,001 $ 7,363,411 $ 1,455,397 3,098,393 1,278,073 $ 4,265,018 $ 177,324 Cash and investments Other assets Liabilities Members fund balance Total revenue Total expenses - 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: - - 43 CITY OF WHEAT RIDGE, COLORADO NOTES TO THE FINANCIAL STATEMENTS Fiscal year ended Statement of net assets Cash and investments Other assets Less: liabilities Net assets Outstanding shares Net asset value City's share of net assets Investment income Total expenses Net investment income COLOTRUST 12-31-88 $ 222,488,292 952,500 223,440,792 1,571,993 $ 221,868,799 221,788,574 $ 1. 00 .0074 % JEFFTRUST 12-31-89 $ 69,323,957 576,798 69,900,755 209,487 $ 69,691,268 69,691,268 $ 1. 00 .0115 % CSAFE 12-31-89 $ 53,540,834 507,292 54,048,126 37,270 $ 54,010,856 54,010,856 $ 1. 00 .0114 % 1,126,319 $ 16,268,374 $ 5,885,341 $ 4,402,065 843,740 164,948 $ 15,142,055 $ 5,041,601 $ 4,237,117 9. RESTATEMENT OF COMPARATIVE 1988 FINANCIAL STATEMENTS The 1988 financial statements Special Improvement District Service Fund, and to report Special Revenue Fund. have been restated so as to report the as an agency fund instead of as a Debt the Open Space fund separately as a 44 - I SUPPLEMENTAL INFORMATION - COMBINING, INDIVIDUAL 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. ... ... ~5 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. 4b CITY OF WHEAT RIDGE, COLORADO GENERAL FUND COMPARATIVE BALANCE SHEETS DECEMBER 31, 1989 AND 1988 ASSETS Cash and equivalents Investments Accounts receivable: State government 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 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 4- 1988 $ 1,122,335 562,472 118,506 465,212 43,773 112,636 $ 2,424,934 $ 41,039 12,636 12,669 87,934 12,786 290,291 562,472 1, 019,827 10,849 43,773 964,961 385,524 1, 405,107 $ 2.424.934 CITY OF WHEAT RIDGE, COLORADO GENERAL FUND COMPARATIVE STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE FISCAL YEARS ENDED DECEMBER 31, 1989 AND 1988 1989 1988 REVENUES Taxes Licenses and permits Intergovernmental Charges for services Fines and forfeitures Interest Other $ 5,171,318 225,961 1,392,579 504,767 389,600 136,238 79,303 $ 4,852,194 270,142 1,457,896 469,973 266,251 69,819 33.686 Total revenue 7.899.766 7,419,961 EXPENDITURES Current: General government Planning and development Police Public works Parks and recreation Other 1,052,162 446,664 3,194,131 1,797,330 1,068,367 798,781 991,362 459,939 3,040,648 1,795,134 1,106,340 537,895 Total expenditures 8,357,435 7,931.318 EXCESS (DEFICIENCY) OF REVENUES OVER EXPENDITURES (457,669) (511,357) OTHER FINANCING SOURCES Transfers in 720,001 673,994 EXCESS (DEFICIENCY) OF REVENUES AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES 262,332 162,637 Fund balances, beginning of year Residual equity transfer from other fund 1,405,107 1,218,179 FUND BALANCES, END OF YEAR $ 1.667 .439 24.291 $ 1.405,107 48 CITY OF WHEAT RIDGE, COLORADO GENERAL FUND SCHEDULES OF REVENUE, EXPENDITURES AND CHANGES IN FUND BALANCES BUDGET (NON GAAP) AND ACTUAL FOR THE FISCAL YEAR ENDED DECEMBER 31, 1989 (Wich comparative actuals for December 31, 1988) REVENUES Budqet $ 5,252,522 260,000 1,291,500 504,300 303,000 74,157 35,488 7.720,967 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 Total expenditures EXCESS (DEFICIENCY) OF REVENUES OVER EXPENDITURES OTHER FINANCING SOURCES Transfers in 869 , 788 1,036,698 484,723 3,144,625 2,028,289 1,103,313 1,818,947 9,616,595 (1,895,628) - EXCESS (DEFICIENCY) OF REVENUES - AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES (BUDGETARY BASIS $(1,025,840) 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 Residual equity transfer from other fund FUND BALANCES, END OF YEAR Actual $ 5,171,318 225,961 1,392,579 504,767 389,600 136,238 79,303 7,899,766 1,047,676 446,664 3,177,122 1.791,459 1,075,995 796,457 8.335,373 (435,607) 720,001 284,394 (29,719) 7,657 (22,062) 262,332 1,405,107 $ 1,667 ,439 .+9 Varience Favorable (Unfavorable) $ (81,204) (34,039) 101,079 467 86,600 62,081 43,815 178,799 (10,978) 38,059 (32,497) 236,830 27,318 1,022,490 1, 281, 222 1,460,021 (149,787) $ 1,310,234 1988 $ 4,852,194 270,142 1,457,896 469,973 266,251 69,819 33,686 7,419,961 994,672 456,989 3,031,367 1,714,887 1,100,390 538,833 7 ,837 ,138 (417 ,177) 673,994 256,817 (105,029) 10,849 (94,180) 162,637 1,218,179 24,291 $ 1,405,107 ----------/ - - - - SO SPECIAL REVENUE FUNDS Special Revenue funds account for the proceeds of specific sources that are legally restricted to expenditures for purposes. The City has five special revenue funds: revenue specific Capital Improvement fund received as a result of tax. The fund was closed to fund the completion of 1988. - was established to account for the funds a one percent increase in the City's sales in 1988, a residual fund balance is carried certain projects began before December 31, Open Space fund - the City Colorado cities have agreed City is reimbursed, by the in this regard. along with Jefferson County and to jointly develop "open space". County, for certain expenditures adjacent The incurred 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. ... - :;1 CITY OF WHEAT RIDGE, COLORADO SPECIAL REVENUE FUNDS COMBINING BALANCE SHEETS DECEMBER 31, 1989 (With comparative totals for December 31, 1988) 5:: Totals Park Building 1988 Acquisition Demolition 1989 (Restated) $ 21,600 $ 16,318 280,037 $ 47,802 91,204 1,830,458 58,760 78,422 5,930 $ 21, 600 $ 16,318 $ 430.001 $ 1,962,612 $ $ $ 5,581 62,044 $ 12,374 632,498 67,625 644,872 - 44,050 1,461,066 21,600 16,188 41,288 47,327 130 277 , 038 (190,653) 21,600 16,318 362,376 1,317,740 $ 21,600 $ 16,318 $ 430,001 $ 1,962,612 S3 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, 1989 (With comparative totals for December 31, 1988) Capital Improvement Open Space REVENUES Taxes Intergovernmental Interest Miscellaneous $ $ 606,328 Total revenues 606,328 EXPENDITURES Parks and recreation Capital outlay 92,055 92,055 171,278 171,278 Total expenditures EXCESS (DEFICIENCY) OF REVENUE OVER EXPENDITURES (92,055) 435,050 OTHER FINANCING (USES) Operating transfers (out) (1,076,649) (220,000) EXCESS (DEFICIENCY) OF REVENUE AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES (1,168,704) 215,050 Fund balance, beginning of year 1,259,908 10,505 Residual equity transfer (to) other fund FUND BALANCE, END OF YEAR $ 91, 204 $ 225,555 54 Senior Center $ 328 5,096 5,424 4,224 4,224 _I 1,200 -I 1,200 6,499 $ 7 ,699 Totals Park Building 1988 Acquisition Demolition 1989 (Restated) $ $ $ $ 2,541,620 606,328 572,500 1,571 980 2,879 87,443 5,096 25,046 1,571 980 614 , 303 3,226,609 5,461 9,685 75,820 263,333 2,325,119 - 5,461 273,018 2,400.939 (3,890) 980 341,285 825,670 (1,296,649) (1,161,874) (3,890) 980 (955,364) (336,204) 25,490 15,338 1,317,740 1,688,740 $ 21,600 $ 16.318 $ 362,376 (24,291) $ 1.328.245 ss 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, 1989 Capital Improvement Budqet Actual Variance Favorable (Unfavorable) REVENUES Taxes Intergovernmental Charges for services Interest Miscellaneous $ $ $ Total revenues EXPENDITURES Public works Parks and recreation Capital outlay Total expenditures EXCESS (DEFICIENCY) OF REVENUE OVER EXPENDITURES OTHER FINANCING SOURCES (USES) Operating transfers in (out) ( 1,076,649) ( 1,076,649) EXCESS (DEFICIENCY) OF REVENUE AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES (BUDGETARY BASIS) $ (1,076,649) $ (1,076.649) ADJUSTMENTS TO GAAP BASIS Encumbrances: Prior year paid in current year Current year outstanding (92,055) Total adjustments (92,055) EXCESS (DEFICIENCY) OF REVENUE AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES (GAAP BASIS) (1,168,704) Fund balance, beginning of year 1,259,908 Residual equity transfer (to) other fund FUND BALANCE, END OF YEAR $ 5b 91.204 - - $ (12,103) (19,030) 246,183 227,153 215,050 10,505 $ 225,555 $ (12 , 103) 5- $ (1,600 ) 1,200 1,200 6,499 $ 7 ,699 (continued on next page) $ 2,800 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, 1989 (continued) Park Acquisition Total revenues Budqet $ $ 700 1,500 2,200 Actual Variance Favorable (Unfavorable) REVENUES Taxes Intergovernmental Charges for services Interest Miscellaneous $ 1,571 (700) 71 1,571 (629) EXPENDITURES Public works Parks and recreation Capital outlay 27 ,658 5,461 22,197 - Total expenditures 27 .658 5.461 22.197 EXCESS (DEFICIENCY) OF REVENUE OVER EXPENDITURES (25,458) (3,890) 21,568 OTHER FINANCING SOURCES (USES) Operating transfers in (out) EXCESS (DEFICIENCY) OF REVENUE AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES (BUDGETARY BASIS) ADJUSTMENTS TO GAAP BASIS Encwnbrances: Prior year paid in current year Current year outstanding $ (25,458) (3,890) $ 21,568 Total adjustments EXCESS (DEFICIENCY) OF REVENUE AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER FINANCING USES (GAAP BASIS) (3,890) Fund balance, beginning of year 25,490 Residual equity transfers (to) other fund FUND BALANCE, END OF YEAR $ 58 21, 600 Buildinq Demolition Totals Variance Variance Favorable Favorable Budqet Actual (Unfavorable) Budqet Actual (Unfavorable) $ $ $ $ $ $ 1,285,000 606,328 (678,672) 700 (700) 850 980 130 2,550 2,879 329 6,000 5,096 (904) 850 980 130 1.294,250 614,303 (679,947) 16,161 16,161 16,161 16,161 35,458 9,685 25,773 1,065,000 398,431 666,569 - 16,161 16.161 1,116,619 408,116 708,503 - ( 15,311) 980 16.291 177,631 206,187 28,556 - (220,000) (1,296,649) (1,076,649 ) - ... $ (15,311) 980 $ 16,291 $ (42,369) (1,090,462) $ (1,048,093) (111,085) 246,183 135,098 980 (955,364) 15,338 1,317,740 59 $ 362,376 $ 16,318 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 lssue. bO CITY OF WHEAT RIDGE, COLORADO DEBT SERVICE FUND INCREMENTAL SALES TAX BOND FUND COMPARATIVE BALANCE SHEETS DECEMBER 31, 1989 AND 1988 1989 1988 ASSETS Cash $ 44,157 $ 40,749 Restricted assets: Investments 299,000 299,000 Total assets $ 343,157 $ 339,749 FUND EQUITY Fund balance: Reserved for: Debt service $ 343,157 Total fund equity $ 343,157 $ 339,749 $ 339,749 ... 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, 1989 (With comparative totals for December 31, 1988) Budqet Actual REVENUES Interest $ $ 30,583 Total revenues 30,583 EXPENDITURES Bond interest Other 210,925 210,925 250 Total expenditures 211,175 210,925 EXCESS (DEFICIENCY) OF REVENUE OVER EXPENDITUES (210,925) (180,592) OTHER FINANCING SOURCES Operating transfers in 210,925 184,000 EXCESS (DEFICIENCY) OF REVENUE AND OTHER SOURCES OVER EXPENDlTUES 3,408 Fund balance, beginning of year 339,749 FUND BALANCE, END OF YEAR $ $ 343.157 02 Variance Favorable (Unfavorable) $ 30,583 30,583 (250) (250) 30,833 (26,925) 3,408 339,749 $ 343,157 1988 Actual $ 13,918 13,918 96,088 96,088 (82,170) 421,919 339,749 $ 339,749 capital projects funds are used for the construction (other than those financed one capital project fund. ... CAPITAL PROJECTS 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, 1989 AND 1988 ASSETS Cash Investments Accounts receivable: Other Due from other funds Total assets FUND EQUITY Fund balance: Reserved for: Encumbrances Capital projects Unreserved: Designated for subsequent years' expenditures Undesignated Total fund equity 1989 $ 300,000 4,288,012 94,945 9,182 $ 4,692,140 $ 169,703 2,108,223 1,619,028 795,186 $ 4,692,140 64 1988 $ 1,100,000 1,175,506 451,655 $ 2,727,161 $ 167,294 2,559,867 $ 2,727,161 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, 1989 AND 1988 1989 - REVENUES Taxes Intergovernmental Interest Miscellaneous $ 2,754,972 123,464 210,702 24,316 Total revenues 3,113,454 - ... EXPENDITURES Public works Bond issue cost 1,541,124 Total expenditures 1, 541 , 124 - EXCESS (DEFICIENCY) OF REVENUES OVER EXPENDITUES 1,572,330 - ... OTHER FINANCING SOURCES (USES) General obligation bond proceeds Specific assessment bond proceeds Operating transfer in Operating transfers (out) 1,076,649 (684,000) - Total other financing sources (uses) 392,649 EXCESS (DEFICIENCY) OF REVENUES AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER USES 1,964,979 Fund balance, beginning of year 2,727,161 FUND BALANCE, END OF YEAR $ 4,692,140 ll:o 1988 $ 85,792 85,792 1,029,843 164,935 1, 194,778 (1,108,986) 2,990,000 1,250,000 267,880 (671,733) 3,836,147 2,727,161 $ 2,727 ,161 CITY OF WHEAT RIDGE, COLORADO CAPITAL PROJECT FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES BUDGET (NON-GAAP BASIS) AND ACTUAL FOR THE FISCAL YEAR ENDED DECEMBER 31, 1989 (With comparative totals for December 31, 1988) Variance Favorable 1988 Budqet Actual (Unfavorable) Actual REVENUES Taxes $ 2,600,000 $ 2,754,972 $ 154,972 $ Intergovernmental 240,830 123,464 (117,366) Interest 75,000 210,702 135,702 85,792 Miscellaneous 25,000 24,316 (684) Total revenues 2,940,830 3,113,454 172,624 85,792 EXPENDITURES Public works 3,266,276 1,710,827 1,555,449 1,197,137 Bond issue cost 164,935 Total expenditures 3,266,276 1. 710,827 1,555,449 1. 362,072 EXCESS (DEFICIENCY) OF REVENUE OVER EXPENDlTUES (325,446) 1,402,627 1,728,073 (1,276,280) OTHER FINANCING SOURCES (USES) Bond proceeds: General obligation 2,990,000 Special assessment 1,250,000 Operating transfer in 1,076,649 (1,076,649) 267,880 Operating transfers (out) (500,000) (684,000) (671,733) Total other financing sources (uses) (500,000) 392,649 892,649 3,836,147 C ... EXCESS (DEFICIENCY) OF REVENUES AND OTHER FINANCING SOURCES OVER EXPENDITURES OTHER USES (BUDGETARY BASIS) $ (825,446) 1,795,276 $ 2,620,722 2,559,867 ADJUSTMENTS TO GAAP BASIS Encumbrances: Current year outstanding 169,703 167,294 EXCESS (DEFICIENCY) OF REVENUES AND OTHER FINANCING SOURCES OVER EXPENDITURES AND OTHER USES (GAAP BASIS) 1,964,979 2,727,161 Fund balance beginning of year 2,727,161 FUND BALANCE, END OF YEAR $ 4,692,140 $ 2,727,161 bb FIDUCIARY FUNDS Trust and agency funds are used in a trustee capacity or as an fund, one expendable trust fund, to account for assets held by the City agent. The City has one pension trust and four agency funds. Pension trust fund 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 Expendable trust fund Conservation Trust - accounts to use in the acquisition, conservation sites pursuant to for funds received and restricted as development and maintenance of new Colorado Revised Statutes. Agency 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 be' CITY OF WHEAT RIDGE, COLORADO FIDUCIARY - TRUST AND AGENCY FUNDS COMBINING BALANCE SHEET DECEMBER 31, 1989 (With comparative totals for December 31, 1988) ASSETS Cash Investments Accounts receivable: Other Accrued interest Due from: Plan trustee TOTAL LIABILITIES AND FUND EQUITY LIABILITIES Accounts payable Advance contributions Refundable escrow deposits Due to: Employees Other funds Special District Total liabilities FUND EQUITY Fund balances: Reserved for: Retirement plans Unreserved: Designated for subsequent years expenditures Undesignated Total fund equity TOTAL LIABILlTES AND FUND EQUITY Pension Trust Police Pension $ 4,699,284 $ 4,699,284 $ 25 11, 293 11,318 4,687,966 4,687,966 $ 4,699,284 (1 S Expendable Trust Conservation Trust $ 15,456 148,753 $ 164,209 $ 5,626 5,626 101,144 57,439 158,583 $ 164,209 Aqency Public Special CATV Totals Works Deferred Improvement Property 1988 Escrow Compensation District Damaqe 1989 (Restated) $ 85,127 $ $ 43,951 $ 2,500 $ 147,034 $ 937,410 383,640 532,393 819,208 819,208 1,012,429 3,201 3,201 2,000 548 , 779 5,248,063 4,006,342 $ 85,127 $ 548.779 $ 1,250,000 $ 2,500 $ 6,749.899 $ 5,958,181 $ $ $ $ $ 25 $ 11,293 85,107 2,500 87,607 44,767 548,779 548,779 460,436 20 5,646 8 1,250,000 1,250,000 1,355,395 85,127 548 , 779 1,250,000 2,500 1,903,350 1,860,606 4,687,966 4,006,342 101,144 57,439 91,233 4,846,549 4,097,575 $ 85,127 $ 548,779 $ 1.250,000 $ 2 . 500 $ 6,749 ,899 $ 5,958.181 h9 CITY OF WHEAT RIDGE, COLORADO FIDUCIARY FUNDS - ALL AGENCY COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES ALL AGENCY FUNDS DECEMBER 31, 1989 Cash And Investments PUBLIC WORKS ESCROW FUND Balance January 1, 1989 $ 40,275 Additions (reductions) 44,852 Balance December 31, 1989 $ 85,127 DEFERRED COMPENSATION Balance January 1, 1989 $ 460,436 Additions (reductions) 88,343 548,779 Balance December 31, 1989 $ SPECIAL IMPROVEMENT DISTRICT Balance January 1, 1989 (Restated) $ 342,966 Additions (reductions) 84,625 Balance December 31, 1989 $ 427,591 CATV PROPERTY DAMAGE FUND Balance January 1, 1989 $ 2,500 Additions (reductions) Balance December 31, 1989 $ 2,500 TOTALS Balance January 1, 1989 (Restated) $ 846,177 Additions (reductions) 217,820 Balance December 31, 1989 $ 1,063,997 ~o Assets Accounts Receivable $ 2,000 (2,000) $ $ $ $1,012,429 (190,020) $ 822,409 $ $ $1,014,429 (192,020) $ 822,409 $ $ $ $ Total Assets 42,275 42,852 85,127 460,436 88,343 548,779 $ 1,355,395 (105,395) $ 1,250,000 $ $ 2,500 2,500 $ 1,860,606 25,800 $ 1,886,406 Liabili ties Refundable Due to Due to Escrow Due To Other Special Total Deposits Employees Fund District Liabilities $ 42,267 $ $ 8 $ $ 42,275 42,840 12 42,852 $ 85,107 $ $ 20 $ $ 85,127 $ $ 460,436 $ $ - 88,343 $ $ 548,779 $ $ - $ $ $ $ 1,355,395 (105,395) $ 1,250,000 - $ $ $ $ 2,500 $ $ $ $ 2,500 $ $ $ $ 44,767 $ 460,436 $ 8 $ 1,355,395 (105,395 ) $ 1,250,000 42.840 $ 87,607 88,343 $ 548,779 12 $ 20 ~l $ 460,436 88,343 $ 548,779 $ 1,355,395 (105,395) $ 1,250,000 $ 2,500 $ 2,500 $ 1,860,606 25,800 $ 1,886,406 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 and other equipment the lives of which are greater than one year and whose cost exceeds $ 200. ... I ~I CITY OF WHEAT RIDGE, COLORADO COMPARATIVE SCHEDULE OF GENERAL FIXED ASSETS BY SOURCE DECEMBER 31, 1989 AND 1988 1989 1988 GENERAL FIXED ASSETS Land $ Buildings Streets and improvements Equipment 2,448,290 3,011,262 9,117,469 3,482,475 $ 2,448,290 3,011,262 9,117,469 3,377,956 Total $ 18,059,496 $ 17,954,977 INVESTMENT IN GENERAL FIXED ASSETS FROM: Assets contributed to the City Acquired by various funds $ 10,157,465 $ 10,157,465 7,902,031 7,797,512 ... Total $ 18,059,496 $ 17,954,977 - " CITY OF WHEAT RIDGE, COLORADO SCHEDULE OF CHANGES IN GENERAL FIXED ASSETS - BY FUNCTION AND ACTIVITY FOR THE YEAR ENDED DECEMBER 31, 1989 General General Fixed Additions Deletions Fixed Assets And And Assets January 1, Transfers Transfers December 31, Function and Activity 1389 In Out 1989 General Government City council $ 1,178 $ $ $ 1,178 Treasurer 173,782 29,567 6,707 196,642 Mayor 1,680 650 1,030 City administrator 8,628 674 527 8,775 Attorney 211 211 City clerk 20,699 20,699 Municipal court 21,775 7,570 29,345 Total 227,953 37 ,8ll 7.884 257,880 Planning and development 83,704 4.767 88 .4 71 Public Safety Police administration 462,236 649 10,058 452,827 Support services 53,290 1l,596 64,886 Operations 303,342 88,403 69,724 322,021 Step/traffic 5,624 5,624 Civil disaster 4,544 895 5,439 Total 823,412 107,167 79.782 850,797 Pub lic Works Administration 8,729,472 200 8,721 8,720,951 Engineering 193,568 1l,1l0 9,648 195,030 Street maintenance 864,678 15,432 105 880,005 Traffic maintenence 126,868 22,030 6,077 142,821 Shops 228,523 8,863 2,059 235,327 Total 10,143.109 57.635 26.610 10,174.134 Parks and Recreation Administration 3,041,470 13,662 13,746 3,041,386 Recreation 991,835 5,583 969 996,449 Parks maintenance 5ll,471 6,030 517 ,501 Total 4.544,776 25 , 27 5 14,715 4,555.336 Other Building 2,132,023 2,682 1.827 2.132.878 Total General Fixed Assets $ 17.954,977 $ 235.337 $ 130,818 $ 18,059.496 ;~ CrT! OF WHEAT RIDGE, COLORADO SCHEDULE OF GENERAL FIXED ASSETS BY FUNCTION AND ACTIVITY DECEMBER 31, 1989 Streets And Function and Activity Land Building Improvements Equipment Total General Government City council $ $ $ $ 1,178 $ 1,178 Treasurer 196,642 196,642 Mayor 1,030 1,030 City administrator 8,775 8,775 Attorney 211 211 City clerk 20,699 20,699 Minicipal clerk 29,345 29,345 Total 257,880 257,880 Planning and development 88 ,471 88 ,471 Public Safety Police administration 2,761 384 449,682 452,827 Support services 2,060 62,826 64,886 Operations 322,021 322,021 Step/traffic 5,624 5,624 Ci viI disaster 5,439 5,439 Total 2,761 2,444 845,592 850 ,797 Public Works Administration 530,350 8,140,389 50,212 8,720,951 Engineering 69,807 125,223 195,030 Street maintenance 880,005 880,005 Traffic maintenence 142,821 142,821 Shops 60,000 175,327 235,327 Total 660,157 8,140,389 1,373,588 10,174,134 Parks and Recreation Administration 1,701,166 223,004 762,738 354,478 3,041,386 Recreation 39,617 888,904 12,588 55,340 996,449 Parks maintenance 47,350 56.366 115 .898 297,887 517,501 Total 1,788,133 1,168,274 891,224 707,705 4,555,336 other Building 1,840,227 83,412 209,239 2,132,878 Total General Fixed Assets $ 2,448,290 $ 3,011 ,262 $ 9,117 ,469 $ 3,482,475 $ 18,059,496 ~S - 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 1980 $ 423,671 $ 416,965 98.4 % $ 2,408 $ 419,373 99.0 % 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 (882) A 542,580 96.5 - 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 statments, 1979-1988. CITY OF WHEAT RIDGE, COLORADO GENERAL GOVERNMENTAL EXPENDITURES BY FUNCTION (1 ) LAST TEN FISCAL YEARS (UNAUDITED) Fiscal General Planning & Public Year Government Development Police Works 1980 $ 976,053 $ ( 2 ) $ 1,598,132 $ 3,021,827 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, -,3 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 (3 ) NOTES: (1). Includes the general, special revenue, and debt service funds. (2). Planning and Development included in general government in 1980. (3). The Capital Improvement Fund (a special revenue fund was closed out during 1989. Source: City of Wheat Ridge audited financial statements, 1980-1989. ~8 Parks & Debt Recreation Service Other Total $ 654,024 $ $ 179,240 $ 6,429,276 722,164 208,096 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 ... ... -9 CITY OF WHEAT RIDGE, COLORADO GENERAL GOVERNMENTAL REVENUES BY SOURCE (1) LAST TEN FISCAL YEARS (UNAUDITED) Charges Fiscal Licenses Intergov- for Year Taxes & Permits ernmental Services 1980 $ 5,004,496 $ 79,865 $ 1,599,413 $ 110,685 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 7,477,204 270,142 1,744,146 469,973 1989 5,171,318 (2 ) 225,961 1,998,907 504,767 Notes: (1). Includes general, special revenue, and debt service funds. (2). One half of 1 % of sales tax revenues are accounted for in the Capital Project Fund starting in in 1989. Source: City of Wheat Ridge audited financial statements, 1980-1989. 80 Fines & Forfeitures Interest Other Total $ 78,434 $ 403,125 $ 55,543 $ 7,331,561 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 1l0,212 604,458 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 8,544,652 ... ... 81 CITY OF WHEAT RIDGE, COLORADO GENERAL GOVERNMENTAL TAX REVENUES ( 1 ) LAST TEN FISCAL YEARS (UNAUDITED) Liquor & Fiscal Property Telephone Auto Sales Year Taxes Occupation OWnership Tax 1980 $ 419,373 $ 138,240 $ 40,814 $ 3,390,017 1981 443,284 132,981 42,460 3,864,923 1982 442,347 139,730 39,077 4,584,320 - I 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 ( 2 ) NOTES: (1). Includes general, special revenue, and debt service funds. (2). One-half of 1% sales tax earmarked for capital projects fund (created in 1989). Source: City of Wheat Ridge audited financial statements, 1980-1989. 82 Lodgers & Use Franchise Admissions Tax Tax Excise Total $ 487,044 $ 529,008 $ $ 5,004,496 733,882 572,361 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 ... - 83 CITY OF WHEAT RIDGE, COLORADO PROPERTY TAX RATES - DIRECT & OVERLAPPING GOVERNMENTS LAST TEN FISCAL YEARS (UNAUDITED) City of School Belaire Fruitdale Fiscal Wheat Jefferson District Sanitation Sanitation Year Ridqe County R-1 District District 1980 3.500 16.710 54.570 13.620 6.540 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 Note: All numbers shown are Mill Levys (amounts assessed per $1,000) Source: Jefferson County Assessors' Office 84 Lodgers & Use Franchise Admissions Tax Tax Excise Total $ 487,044 $ 529,008 $ $ 5,004,496 733,882 572,361 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 - 83 CITY OF WHEAT RIDGE, COLORADO PROPERTY TAX RATES - DIRECT & OVERLAPPING GOVERNMENTS LAST TEN FISCAL YEARS (UNAUDITED) City of School Belaire Fruitdale Fiscal Wheat Jefferson District Sanitation Sanitation Year Ridqe County R-1 District District 1980 3.500 16.710 54.570 13.620 6.540 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 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 4.980 0.880 4.320 6.970 2.800 2.500 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 ... 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 1980 $ 126,819,040 $ 422,730,133 30.0 0 '0 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 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 1989 the property was assesed at 22.0% of the estimated actual value based on the entire year of 1987 and the first half of 1988. Source: Jefferson County Assessors' office. 86 CITY OF WHEAT RIDGE, COLORADO PRINCIPAL TAXPAYERS DECEMBER 31, 1989 (UNAUDITED) Percentage Assessed of Total Taxpayer Valuation Valuation Adolph Coors Company $ 7,951,132 3.37 0 -0 Applewood Village 4,525,507 1. 92 Lutheran Medical Center 2,471,589 1. 05 Leaf Inc 1,509,751 0.64 Lutheran Brotherhood 1,489,316 0.63 Motel 6 Operating L.P. 1,128,235 0.48 E.E. LaMeres Revocable Trust 1,106,056 0.47 Tri KB Investment Inc. 1,075,288 0.46 Kipling Ventures Ltd. 1,069,243 0.45 Lincoln Newgate Assoc. Ltd. 1,055,538 0.45 ... $ 23.381, 655 9.92 - Source: Jefferson County Assessors' Office. 8-:' 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 1980 $ $ % 1981 1982 1983 1984 1985 1986 1987 _I 1988 221,388 n/a (1) 1989 164,538 176,479 7.26 NOTE: (1). In 1988 the City issued $ 1,250,000 in special assessment debt. The property owners were offered the option to to pay their prorata share of the assessment over the next ten years or the entire balance in 1988 less a 5% discount. Source: City of Wheat Ridge audited financial statements, 1980-1989, and bond document. 88 CITY OF WHEAT RIDGE, COLORADO COMPUTATION OF LEGAL DEBT MARGIN DECEMBER 31, 1989 ( UNAUDITED) Computaion of maximum debt allowed: 1989 estimated actual valuation Legal debt limit percentage $ 1,072,452,409 3 % Legal debt limit $ 32 .173.572 Amount of Debt outstanding: Total bonded debt $ 2,990,000 Less: Funds available in debt service fund (343,157) Net bonded debt outstanding 2,646,843 Legal debt limit 32,173.572 ... Legal debt margin $ 29,526,729 - - Source: City of Wheat Ridge charter and Jefferson County Assessors' Office. S~ CITY OF WHEAT RIDGE, COLORADO COMPUTATION OF DIRECT AND OVERLAPPING DEBT DECEMBER 31, 1989 (UNAUDITED) Overlapping Gross Percentage Debt Debt Applicable Applicable Taxinq Authority Outstandinq to City to City school District R-1 $ 136,135,000 6.9 g. $ 9,393,315 0 Valley Water District 310,000 80.0 248,000 Westridge Sanatation 720,000 9.1 65,520 Total overlapping debt 9,706,835 City of Wheat Ridge 2,990,000 100 2,990,000 Total direct and overlapping debt $ 12,696,835 - I - I 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 (1 ) TO TOTAL GENERAL GOVERNMENTAL EXPENDITURES LAST TEN FISCAL YEARS (UNAUDITED) Ratio of (3 ) Debt Service (2 ) Total to Total Total General General Fiscal Debt Government Government Year Principal Interest Service Expenditures Expenditures 1980 $ $ 6,429,276 % 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 - NOTES: (1) . Excludes special assessment debt. (2) . Excludes bond issuance and other costs. (3) . Includes general, special revenues, and debt service funds. Source: City of Wheat Ridge audited financial statements, 1980-1989. 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 ( 1) 1980 30,207 $ 126,819,040 $ 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 NOTES: (1) . Amount does not include special assessment bonds. Source: City of Wheat Ridge audited financial statements 1980-1989. 92 Debt Service Funds Available $ - - 339,749 343,157 - Net Bonded Debt $ 2,650,251 2,646,843 Ratio of Net Bonded Debt to Assessed Value 1. 05 1.12 93 % Net Bonded Debt Per Capita $ 89 88 CITY OF WHEAT RIDGE, COLORADO REVENUE BOND COVERAGE SALES TAX REVENUE BONDS LAST TEN FISCAL YEARS (UNAUDITED) Total Sales Fiscal Tax Debt Service Requirements Year Revenues Principal Interest Total Coveraqe 1980 $ 3,390,017 $ $ $ - I 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 NOTES: Total Sales tax revenues are included since debt service is paid with sales tax proceeds. Source: City of Wheat Ridge audited financial statements, 1980-1989. 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 Aqe Schoolinq Enrollment Rate 1980 30,207 $ 10,102 34 12.8 5,140 4.3 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 - Source: The 1980 Census Bureau statistics, the Colorado Division of Employment and Training, and the Jefferson County School District R-1 95 CITY OF WHEAT RIDGE, COLORADO PROPERTY VALUE, CONSTRUCTION, 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 1980 13 $ 1,973,771 20 $ 1,216,517 $ 422,730,091 $ 56,588,000 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 1986 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 Source: The City of Wheat Ridge Building Department, Jefferson County Assessors' Office, and local bank financial statements. 96 CITY OF WHEAT RIDGE, COLORADO MISCELLANEOUS STATISTICS DECEMBER 31, 1989 (UNAUDITED) Date of incorporation Form of Government Area Population (Est.) 1969 Mayor - Council 9.1 Sq. Miles 30,013 Employees: Elected Appointed 11 161. 5 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 1 57 - Education: (1) Private and Parochial Public Elementary Schools Public Junior High Schools Public High School 4 (595 students) 6 (2,026 students) 2 (1,021 students) 1 (1,406 students) - Sewers: Storm sewers 29 Miles - Local Streets: Miles of streets Number of street lights 129 1,492 Building permits issued 89 Recreation and culture: Community Centers Outdoor Swimming Pool Tennis Courts Parks (developed and undeveloped) Greenbelt trail system Libraries(l) Number of Volumes 4 1 9 16 w/124.5 Acres 5 miles (Approx. 300 Acres) 1 35,000 (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 = GRUENLER & = ASSOCIATES 3201 E. Third Avenue Denver, Colorado 80206 (303) 388-4181 INDEPENDENT AUDITOR'S REPORT ON THE INTERNAL CONTROL STRUCTURE IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS The Honorable Mayor Members of City Council City Administrator City of Wheat Ridge, Colorado We have audited the general purpose financial statements of City of Wheat Ridge, Wheat Ridge, Colorado as of and for the year ended December 31, 1989 and have issued our report thereon dated March 16, 1990. We conducted our audit in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement. In planning and performing our audit of the general purpose financial statements of the City of Wheat Ridge, Wheat Ridge, Colorado, for the year ended December 31, 1989, we considered its internal control structure in order to determine our auditing procedures for the purpose of expressing our opinion on the general purpose financial statements and not to provide assurance on the internal control structure. The management of City of Wheat Ridge, Wheat Ridge, Colorado, is responsible for establishing and maintaining a system of internal control structure. In fulfilling this responsibility, estimates and judgments by management are required to assess the expected benefits and related costs of control procedures. The Objectives of a system 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 accepted accounting principles. Because of inherent limitations in any system of internal accounting control, errors or irregularities may nevertheless occur and not be detected. Also, projection of any Certified Public Accountants Members ot American Institute 0\ Certilied PubliC Accountants - Division 0\ CPA Firms Colorado Society of Certified PubliC Accountants Governmental Finance Officers ASSOCiation 99 evaluation to the system 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. For the purpose of this report, we have classified the significant internal control structure policies and procedures in the following categories: o Cash and cash equivalents o Investments o Revenue, receivables, and - governmental funds o Expenditures for goods, services and accounts payable o Grants and similar programs o Payroll and liabi li ties receipts 0 Inventory o Property, equipment and capital expenditures o Debt and debt service expenditures related For all of the internal control structure 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 have assessed control risk. Our study and evaluation made for the limited purpose described in the first paragraph would not necessarily disclose all material weaknesses in the system. Accordingly, we do not express an opinion on the system of internal accounting control of City of Wheat Ridge, Wheat Ridge Colorado, taken as a whole or on any of the categories of controls identified in the first paragraph. However, our study and evaluation disclosed no condition that we believe to be a material weakness. This report is intended solely for the use of management, the State Department of Highways, and the Colorado State Auditors Office, and should not be used for any other purpose. This restriction is not intended to limit the distribution of this report, which, upon acceptance by City of Wheat Ridge, Wheat Ridge, Colorado, is a matter of public record. March 16, 1990 ~f\..W~ ~~, ~L. - I 100 = GRUENLER & = ASSOCIATES 3201 E. Third Avenue Denver, Colorado 80206 (303) 388-4181 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 The Honorable Mayor Members of City Council City Administrator City of Wheat Ridge, Colorado We have audited the general purpose financial statements of City of Wheat Ridge, Wheat Ridge, Colorado as of and for the year ended December 31, 1989 and have issued our report thereon dated March 16, 1990. As part of our audit, we made a study and evaluation of the internal control systems, including applicable internal administrative controls, used in administering 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 Office of Management and Budget 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 administering federal financial assistance programs in the following categories: Accounting controls Revenue, receipts Receivables Property and equipment Debt and debt service Billings Expenditures for goods and services Cash and cash equivalents Inventory Payables and accrued liabilities Fund balance Payroll Grant and similar programs General Requirements Political activity Cash management Civil rights Federal financial reports Specific Requirements Types of services Reporting Eligibility Certified Public Accountants Members of American Ins\itute 01 Certified Public Accountants - DiVISion 01 CPA Firms Colorado Society of Certified Public Accountants Governmental Flnanc1 S)~iCerS Association The management of City of Wheat Ridge, 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 objective 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 programs, resource use is consistent with laws, regulations, and policies; resources are safeguarded against waste, loss, and misuse; and reliable and are obtained, maintained, and fairly disclosed in reports. Because of inherent limitations in any system of internal accounting and administrative controls used in administering federal financial 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 procedures may deteriorate. Our study included all of the applicable control categories listed above. During the year ended December 31, 1989, City of Wheat Ridge, Wheat Ridge, Colorado, had no major federal financial assistance programs and expended 91 % of its total federal financial assistance under the following nonmajor federal assistance programs, State and Community Highway Safety grant. With respect to internal control systems used in administering these non-major federal financial 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 evaluation any weaknesses. With respect to the internal control systems used solely in administering the other nonmajor federal assistance programs of City of Wheat Ridge, 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 these nonmajor federal financial assistance programs of City of Wheat Ridge, Wheat Ridge, Colorado, did not, did not extend beyond this preliminary review phase. Our study and evaluation was more limited than would be necessary to express an opinion on the internal controls systems used in administering the federal financial assistance programs of City of Wheat Ridge, Wheat Ridge, Colorado. Accordingly, we do not express an opinion on the internal control systems used in administering the federal financial assistance programs of City of Wheat Ridge, Wheat Ridge, Colorado. Further, we do not express an opinion on the control systems used in administering the major federal assistance programs of City of Wheat Ridge, Wheat Ridge, Colorado. 102 Also our audit, made in accordance with standards mention above, would not necessarily disclose material weaknesses in the internal control systems for which our study an devaluation was limited to a preliminary review of the systems as discussed in the fifth paragraph of this report. However, that we financial Colorado. our study and evaluation and our audit disclosed no condition believe to be a material weakness in relation to a federal assistance program of City of Wheat Ridge, Wheat Ridge, This report is intended solely for the use of management, the Colorado Department of Highways, and the Colorado State Auditors Office, and should not be used for any other purpose. This restriction is not intended to limit the distribution of this report, which, upon acceptance by City of Wheat Ridge, Wheat Ridge, Colorado, is a matter of public record. March 16, 1990 .1J~~ ~ ~u:\o..k. ~ l 103 = GRUENLER & = ASSOCIATES 3201 E. Third Avenue Denver, Colorado 80206 (303) 388-4181 INDEPENDENT AUDITORS' REPORT ON COMPLIANCE BASED ON AN AUDIT OF GENERAL PURPOSE OR BASIC FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS The Honorable Mayor Members of City Council City Administrator City of Wheat Ridge, Colorado We have audited the general purpose financial City of Wheat Ridge, Wheat Ridge, Colorado, year ended December 31, 1989, and have issued dated March 16, 1990. statements of the as of and for the our report thereon We conducted our audit was made in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement. Compliance with laws, regulations, contracts, and grants applicable to City of Wheat Ridge, Wheat Ridge, Colorado, is the responsibility of City of Wheat Ridge, Wheat Ridge, Colorado, management. As part of obtaining reasonable assurance about whether the general purpose financial statements are free of material misstatement, we performed tests of the City's compliance with certain provisions of laws, regulations, contracts, and grants. However, our objective was not to provide an opinion on overall compliance with such provisions. This report is intended for the information of management, the State Department of Highways, and the Colorado State Auditors Office and should not be used for any other purpose. This restriction is not intended to limit the distribution of this report, which is a matter of public record. .b~",\...... \' ~iJcuJv~J ~.( . March 16, 1990 Certified Public Accountants Members of American Institute 01 Certilied Public Accountants - DIVISion 01 CPA Firms Colorado Society of Certilied Public Accountants Governmental Finance Officers Assocla\ion 104 = GRUENLER & = ASSOCIAmmEPENDENT AUDITORS' REPORT ON THE SINGLE AUDIT REPORT ON COMPLIANCE WITH GENERAL REQUIREMENTS APPLICABLE TO NONMAJOR FEDERAL FINANCIAL ASSISTANCE PROGRAM TRANSACTIONS 3201 E. Third Avenue Denver, Colorado 80206 (303) 388-4181 The Honorable Mayor Members of City Council City Administrator City of Wheat Ridge, Colorado In connection with our audit of the 1989 general purpose financial statements of the City of Wheat Ridge, Wheat Ridge, Colorado, and with our study and evaluation of the City of Wheat Ridge, 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, 1989. 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, Wheat Ridge, Colorado, compliance with those 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 came to our attention that caused us to believe that the City of Wheat Ridge, Wheat Ridge, Colorado, had not complied, in all material respects, with those requirements. However, the results of our procedures disclosed no instances of noncompliance with those requirements. This report is intended for the information of management, the State Department of Highways, and the Colorado State Auditors Office, and should no be used for any other purpose. This restriction is not intended to limit the distribution of this report, which is a matter of public record. March 16, 1990 n \ (\ \ t\ ~'f'-~ ': VJYo0~, ~L. Certified Public Accountants Members 01 American Institute 01 Cerlltied Public Accountants - Division of CPA Firms Colorado Society of Certified Public Accountants Governmental Finance Olticers Association I()S CITY OF WHEAT RIDGE, COLORADO SECHEDULE OF FEDERAL FINANCIAL ASSISTANCE FOR THE YEAR ENDED DECEMBER 31, 1989 Federal CFDA Number Pass- Through Grantor's Number Grant Year U.S. Department of Health and Human Services Alcohol and Drug Abuse and Mental Health Services Block Grant 13.992 13.992 FY 1988-89 FY 1989-90 U.S. Department of Education Drug Free Schools 84.186 FY 1989-90 U.S. Department of Transportation Passed through State Department of Highways State and Community Highway Safety 20.600 DOH 88-195 1988 10b Grant Amount $ 8,600 8,250 6,460 268,109 (Accrued) Deferred Revenue 1-1-89 $ $ 3,797 3,797 Revenue $ 8,600 99,622 $ 108,222 10~ Expenditures $ 8,600 1,050 765 103,419 $ 113,834 (Accrued) Deferred Revenue 12-31-89 $ (1,050) (765) $ (1,815) = GRUENLER & = ASSOCIATES 3201 E. Third Avenue Denver, Colorado 80206 (303) 388-4181 INDEPENDENT AUDITORS' REPORT ON SUPPLEMENTARY INFORMATION - SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE The Honorable Mayor Members of City Council City Administrator City of Wheat Ridge, Colorado We have audited the general purpose financial statements of City of Wheat Ridge, Wheat Ridge, Colorado, for the year ended December 31, 1989, and have issued our report thereon dated March 16, 1990. These general purpose financial statements are the responsibility of the City of Wheat Ridge, Wheat Ridge, Colorado, management. Our responsibility is to express an opinion on these general purpose financial statements based on our audit. - I We conducted our audit in accordance with generally accepted auditing standards and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the general purpose financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. _I Our audit was made for the purpose of forming an opinion on the general purpose financial statements of the City of Wheat Ridge, 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 fairly stated in all material respects in relation to the general purpose financial statements taken as a whole. b~~~~",u~.PL March 16, 1990 Cerllfied PubliC Accountants Members oj American Institute 0\ Certi\led PubliC Accountants -.- Division 01 CPA Firms Colorado Society of Certified Public Accountants Governmental Finance Otficers Association lU8 STATE REQUIRED REPORT 109 = GRUENLER& = ASSOCIATES 3201 E. Third Avenue Denver, Colorado 80206 (303) 388-4181 ON INDEPENDENT AUDITORS' REPORT STATEMENTS PREPARED FOR THE COLORAOO DEPARTMENT OF HIGHWAYS The Honorable Mayor Members of City Council City Administrator Wheat Ridge, Colorado We were engaged to audit the general purpose financial statements of the City of Wheat Ridge, Colorado as of and for the year ended December 31, 1989, as listed in the table of contents. These financial statements are the responsibility of the City's management. Our responsibility is to express an opinion on these financial statements based on our audit. The accompanying statements were prepared reporting practices prescribed or permitted Highway Department, which is a basis of generally accepted accounting principles. in conformity with the by the Colorado State reporting other than We were not able to ourselves as to the scope of our work was we do not express, an apply other auditing procedures to satisfy amounts included in these statements, the not sufficient to enable us to express, and opinion on these statements. This report is intended management of the City with the Colorado State for any other purpose. solely for the information and use of the of Wheat Ridge, Colorado and for filing Highway Department and should not be used March 16, 1990 ~~(~CI~'~C Certllied PubliC Accountants Members ot American Institute of Certl\ied PubliC Accountants - DIVision 0\ CPA Firms Colorado Society of Certified PubliC Accountants Governmental Finance Officers Association 110 APPENDIX A COUNTIES, CITIES, AND TOWNS ANNUAL STATEMENT OF RECEIPTS AND EXPENDITURES FOR ROADS, BRIDGES AND STREETS This statement reflects receipts and expenditures for Road. Bridge and Street purposes as required by Sections 43-2-120. 43.2.132, and 42.2-232(6) Colorado Revised Statutes. It is not intended to comply with generally accepted accounting principles. COUNTY/CITY rrOWN: CTTY OF WHEAT RTIX;F. rm nRATY\ , ACCOUNTING METHOD: Cash_ Accrual_ Modified Accrual~ CALENDAR YEAR OF REPORT: 1 qRq IWlINJ) AU. AI\IOUNTS TO NEAIUSI' J)()U.,\It I. SCHEDULE OF RECEIPTS FOR ROAD, BRIDGE AND STREET PURPOSES A. LOCAL SOURCES B. STATE SOURCES l.Propeny Tax/Special Assessments $ 5,917 l.Highway Users Tax 2.General Fund Appropriations -0- 2.Motor Vehicle Registration Fees 3.0ther (specify) Street Cut 19,810 3.0ther (specify) Pemi ts 4. Traffic Fines 312.022 5.Sales Tax 1,476,446 TOTAL STATE SOURCES 6a.From Countyf~ci&~~t6 ~~~d~ ~H: ~~~ C. FEDERAL SOURCES - b.Cityrrown(specify) -0- l.Forest Service 7. Bond Proceeds (net value) -0- 2.Mineral Leasing 8. Note Proceeds (net value) -0- 3.Payments in Lieu of Taxes .. 9. Specific Ownership Taxes 46,986 4.0ther(specify) (Used for roads and streets) - TOTAL LOCAL SOURCES ?r7?F. r.::;7Ll TOTAL FEDERAL SOURCES TOTAL RECEIPTS (Local + State + Federal) BALANCES BEGINNING OF YEAR (MUST EQUAL ENDING BALANCE OF PREVIOUS YEAR) TOTAL RECEIPTS AND BALANCES (Total Receipts + Beginning Balance) TOTAl:'; RECEIPTS MUST EQUAL TOTAL EXPENDlTUlmS PLEASE GIVE THE NAME AND PHONE NUMBER OF THE PERSON TO CONT ACf IN CASE WE HA VE ANY QUESTIONS REGARDING THIS REPORT. NAME Svbi1 Noss PHONE 237-6944 111 580,147 101,703 -0- 681,850 -0- -0- -0- -0- -0- 3,408.Q4 1,041,072 4,449,496 II. SCHEDULE OF EXPENDITURES FOR ROAD, BRIDGE AND STREET PURPOSES COUNTY ROADS & BRIDGE FUNDS HUT FUNDS OTHER FUNDS TOT AL A. DIRECT ffiGHWAY EXPENDITURE -0- 1. Right-of-Way -0- 2,137 2,137 2. Preliminary and Consuuction Engineering -0- -0- 177 '171 177 ,971 3. Consuuction -0- -0- 1 '71 ';~'1 "1 7' .5e9 4. Maintenance of Condition 210.680 210.fi80 -0- 421.3fiO 5. Snow and Ice Removal 32,007 32,007 -0- fi4.014 6. Traffic Services 74 ?;R 7<1 ?r;;R 1/4 74'1 r'd ?f 7. Administration _96..8.9.9- ?!;l ?O? -0- 3~ . _ 1 8. Traffic Enforcement 727,062 727.0fi2 TOTAL DIRECT HIGHWAY EXPENDITURES 413.844 'i80.14'7 ') ?Ol 'in~ 3,197.499 B. DEBT PAYMENTS ON BONDS AND NOTES 210,925 210,925 I. Interest on Bonds -0- -0- 2. Interest on Notes -0- -0- -0- -0- 3. Redemption on Bonds (net value) -0- -n- -0- -0- 4. Redemption on Notes (net value) -0- -0- -0- -0- TOTAL DEBT PAYMENTS -n- -0- -0- ')10 '1?; C. PAYMENTS TO OTHER GOVERNMENTS II. To County(specify) -0- -0- -0- -n- b. To Cityrrown(spccify) -0- -0- -0- -0- 2. To Department of Highways -0- -0- -0- -0- TOTAL PAYMENTS TO OTHER GOVERNMENTS -0- -0- -0- -0- D. OTHER HIGHWAY PURPOSES (SPECIFY) -0- -0- -0- -0- E. TOTAL EXPENDITURES (A+B+C+D) 413,844 580.147 2.414.411 3.408.424 - I F. BALANCES END OF YEAR -0- -0- 1,041,072 1,041,072 .,. G. TOTAL EXPENDITURES AND BALANCES 413,844 (Total Expenditures + Ending Balance) 580,147 3,455,505 4,449,496 III. SCHEDULE OF CHANGE IN DEBT STATUS OF ROAD, BRIDGE, AND STREET OBLIGATIONS (SHOW All ENTRIES AT PAR VALUE; THAT IS. AT THE FACE AMOUNT OF ISSUE) BONDS NOTES 1,041,072 -0- -0- -0- -0- -0- -0- -0- -()- -(\- 1 . ('\,-1 , .07') Q- A. BONDS AND NOTES OUTSTANDING BEGINNING OF YEAR B. AMOUNT ISSUED DURING YEAR (pAR VALUE) 1. Original issues this year 2. Refunding issues C. AMOUNT REDEEMED DURING YEAR (pAR VALUE) 1. From current receipts or reserves 2. From refunding issues D. BONDS AND NOTES OUTSTANDING END OF YEAR 112 APPENDIX B CAPITAL OUTLAY EXPENDITURES FOR HPMS CALENDAR YEAR 1989 COUNTY. CITY. TOWN OF CITY OF WHEAT RIIX;E, COLORADO ROUND ALL AMOUNTS TO NEAREST DOLLAR CAPITAL Ol'11..A Y: - CONSTRUCTION ROAD OR STREET 0 ROAD OR STREET Q ROAD OR STREET e PROJECT NAME AND NUMBER NMIE AND NUMBER NAME AND NUMBER West 32nd Avenue 1989 OVerlay ~~oject 1989 Curb & V~". ..c, ,1,'1 t-" rTn;"n ;,,'" b;;:;t- r"t-t-~~ TOTAL COST $ 729,284 $ 201,575 $ 97,686 CONSTRUcrrON ROAD OR STREET 0 ROAD OR STREET " ROAD OR STREET 0 PROJECT NAME AND NUMBER NAME AND NUMBER NAME AND NUMBER 48th Avenue special ~~~er 1988 32nd l;:v~~ue & lmnrovement Dlstrict I"" ' v"" . 1,'1 TOTAL COST $ 146,373 $ 40,583 $ 1,161 CONSTRUCTION ROAD OR STREET 0 ROAD OR STREET 0 ROAD OR STREET 0 PROJECT NAME AND NUMBER NAME AND NUMBER NAME AND NUMBER 38th Avenue 44th Avenue 32nd Avenue Wadcwortil to Pierce YounQfie1d to Tabor rTn;~n t-" U;~l;n('T TOTAL COST $ 2,137 $ 5,287 $ 57,558 CONSTRUCTION ROAD OR STREET 4l\) ROAD OR STREET 6) ROAD OR STREET ~ PROJECT NAME AND NUMBER NAME AND NUMBER NAME AND NUMBER 1988 Monumentation 1989 Monumentation 1989 ~gf1 Str~t rovernen s ~ TOTAL COST $ 5,851 $ 62,451 $ 1,751 CONSTRUCTION ROAD OR STREET ID ROAD OR STREET (0 ROAD OR STREET 6> PROJECT NAME AND NUMBER NAME AND NUMBER NAME AND NUMBER TOTAL COST $ $ $ CONSTRUCTION ROAD OR STREET (I!) ROAD OR STREET <<I ROAD OR STREET <<\) PROJECT NAME AND NUMBER NAME AND NUMBER NAME AND NUMBER TOTAL COST $ $ $ - TOT AL CONSTRUCTUION PROJECTS $ 1,351,697 TOTAL CONSTRUCTION PROJECTS MUST EQUAL THE CONSTRUCTION EXPENDITURES (ROW, PRELIMINARY AND CONSTRUCTION ENGINEERING, AND CONSTRUCTION) ON THE RECIEPTS AND EXPENDITURES REPORT 113