CAFR Report FY 2008-2009
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On the Front Cover:
Jim Griffith Memorial Skate Park, named after Jim Griffith, Mayor of Tigard
from 2000 to 2003, was officially opened November 8, 2007. In 2001,
members of Mayor Jim Griffith's Youth Forum proposed the construction of a
skate park in Tigard, and the Skate Park Task Force was formed. The front
cover is of the open skate park at the grand opening of this 15,000 square foot
skate park located at the Tigard Civic Center. Skate boarders and bikers of all
ages, along with Tigard Mayor Craig Dirksen and Skate Park Chairperson Rich
Carlson, were present to open this Dreamland constructed park. Portable lights
were brought in for the opening night and the skaters and bikers were allowed
to skate into the evening.
This picture is courtesy of Doug Vorwaller and Greg Stout.
CITY OF TIGARD, OREGON
COMPREHENSIVE ANNUAL FINANCIAL REPORT
For the fiscal year ended June 30, 2009
Prepared by:
City of Tigard - Financial and Information Services Department
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City of Tigard, Oregon
Table of Contents
Page
INTRODUCTORY SECTION:
Letter of Transmittal 3
Certificate of Achievement for Excellence in Financial Reporting 11
Organization Chart 12
Mayor and City Council Members 13
FINANCIAL SECTION:
Independent Auditors' Report 17
Management's Discussion and Analysis 19
Basic Financial Statements:
Government-Wide Financial Statements
Statement of Net Assets 35
Statement of Activities 36
Fund Financial Statements
Major Governmental Funds:
Balance Sheet 38
Statement of Revenues, Expenditures, and Changes in Fund Balance 39
Reconciliation of the Statement of Revenues, Expenditures, and
Changes in Fund Balance to the Statement of Activities 40
Proprietary Funds:
Statement of Net Assets 41
Statement of Revenues, Expenses, and Changes in Fund Net Assets 42
Statement of Cash Flows 43
Pension Trust Fund:
Statement of Plan Net Assets 44
Statement of Changes in Plan Net Assets 44
Notes to Basic Financial Statements 45
Required Supplementary Information:
Schedules of Revenues and Expenditures - Budget and Actual:
General Fund 71
Gas Tax Fund 72
Notes to Required Supplemental Information - Budget to GAAP Reconciliation 73
Other Supplementary Information:
Nonmajor Governmental Funds Combining Statements:
Combining Balance Sheet 77
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances 77
Special Revenue Funds:
Combining Balance Sheet - Nonmajor Special Revenue Funds 81
Combining Statement of Revenues, Expenditures, and Changes in Fund Balance 82
Schedules of Revenues and Expenditures - Budget and Actual:
Traffic Impact Fee Fund 83
Electrical Inspection Fund 84
Underground Utility Fund 85
Criminal Forfeiture Fund 86
City of Tigard, Oregon
Table of Contents, Continued
Page
FINANCIAL SECTION, Continued:
Other Supplementary Information, Continued:
Special Revenue Funds:
Schedules of Revenues and Expenditures - Budget and Actual, Continued:
Insurance Fund 87
Building Fund 88
Traffic Impact Fee Urban Services Fund 89
Urban Services Fund 90
Street Maintenance Fee Fund 91
Parks SDC Fund 92
City Gas Tax Fund 93
Library Fund 94
Tree Replacement Fund 95
Debt Service Funds:
Combining Balance Sheet - Nonmajor Debt Service Funds 99
Combining Statement of Revenues, Expenditures, and Changes in Fund Balance ................................IN
Schedules of Revenues and Expenditures - Budget and Actual:
Bancroft Debt Service Fund ......................................................................................................................101
General Obligation Bond Debt Service Fund ..........................................................................................102
Urban Renewal Agency Debt Service Fund .............................................................................................103
Capital Projects Funds:
Combining Balance Sheet - Nonmajor Capital Projects Funds ..............................................................107
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances - Nonmajor Capital Projects Funds .............................................................108
Schedule of Revenues and Expenditures - Budget and Actual:
Parks Capital Fund ....................................................................................................................................109
Facility Fund ..............................................................................................................................................110
Urban Renewal Agency Capital Projects Fund ........................................................................................111
Proprietary Funds:
Enterprise Funds:
Schedules of Revenues and Expenditures - Budget and Actual:
Sanitary Sewer Fund ..................................................................................................................................115
Reconciliation of Budgetary Revenues and Expenditures to Proprietary
Revenues and Expenses - Sanitary Sewer Fund ..................................................................................116
Storm Drainage Fund ................................................................................................................................117
Water Quality and Quantity Fund ...........................................................................................................118
Reconciliation of Budgetary Revenues and Expenditures to Proprietary
Revenues and Expenses - Storm Sewer Funds ....................................................................................119
Water General Fund ..................................................................................................................................120
Water System Development Fund ............................................................................................................121
Water Capital Projects Fund .....................................................................................................................122
Reconciliation of Budgetary Revenues and Expenditures to Proprietary
Revenues and Expenses - Water Funds ...............................................................................................123
Reconciliation of Budgetary Fund Balances to Generally Accepted
Accounting Principle Basis Net Assets ................................................................................................124
Internal Service Funds:
Combining Statement of Net Assets ................................................................................................................127
Combining Statement of Revenues, Expenses, and Changes in Fund Net Assets .........................................128
Combining Statement of Cash Flows ..............................................................................................................129
Schedules of Revenues and Expenditures - Budget and Actual:
Central Service Fund .................................................................................................................................130
Fleet/Property Management Fund ...........................................................................................................131
City of Tigard, Oregon
Table of Contents, Continued
Page
FINANCIAL SECTION, Continued:
Other Supplementary Information, Continued:
Other Schedules:
Schedule of Property Tax Transactions and Outstanding Balances ............................................................135
Schedule of Bond and Bond Interest Transactions .......................................................................................136
Schedule of Future Debt Service Requirements of
Long-term Notes Payable ..........................................................................................................................137
Schedule of Future Debt Service Requirements of
Bancroft Improvement Bonds ...................................................................................................................138
Schedule of Future Debt Service Requirements of
General Obligation Bonds .........................................................................................................................139
STATISTICAL SECTION:
Net Assets by Component ...............................................................................................................................144
Changes in Net Assets ......................................................................................................................................146
Changes in Fund Balances of Governmental Funds ........................................................................................150
Fund Balances of Governmental Funds ...........................................................................................................152
Government - Wide Revenues .........................................................................................................................153
Government - Wide Expenses by Function ....................................................................................................154
General Governmental Revenues by Sources ..................................................................................................155
General Governmental Expenses by Function ................................................................................................156
Market Value and Assessed Value of Taxable Property ..................................................................................157
Property Tax Rates - Direct and Overlapping Governments ........................................................................158
Principal Property Taxpayers ..........................................................................................................................159
Property Tax Levies and Collections ...............................................................................................................160
Special Assessment Collection ..........................................................................................................................161
Ratio of Annual Debt Service Expenditures for Long-Term Debt to
Total Governmental Expenditures ...............................................................................................................162
Ratio of Net General Bonded Debt to Assessed Value and
Net Bonded Debt per Capita ........................................................................................................................163
Computation of Direct and Overlapping General Obligation Debt ..............................................................164
Computation of Legal Debt Margin ................................................................................................................165
Ratio Debt by Type ..........................................................................................................................................166
Demographics Statistics ....................................................................................................................................167
Principal Employers .........................................................................................................................................168
Property Value and Construction ....................................................................................................................169
Full-time Equivalent City Government Employees by Function ..................................................................170
Operating Indicators by Function/Program ...................................................................................................171
Capital Assets Statistics by Function ...............................................................................................................172
AUDIT COMMENTS AND DISCLOSURES REQUIRED BY
STATE REGULATIONS:
Auditors' Comments and Disclosures .............................................................................................................176
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INTRODUCTORY SECTION
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January 29, 2010
Citizens of Tigard
Honorable Mayor
Members of the City Council
It is our pleasure to submit to you the Comprehensive Annual Financial Report of the City of
Tigard, Oregon, for the fiscal year ended June 30, 2009.
Oregon Revised Statutes (ORS) 297.425 requires that every municipal corporation publish
within six months of the close of each fiscal year a complete set of financial statements
presented in conformity with accounting principles generally accepted in the United States of
America (GAAP) and audited in accordance with auditing standards generally accepted in the
United States of America by a firm of licensed certified public accountants.
This report consists of management's representations concerning the finances of the City.
Consequently, management assumes full responsibility for the completeness and reliability of
all of the information presented in this report. To provide a reasonable basis for making these
representations, management of the City has established a comprehensive internal control
framework that is designed both to protect the City's assets from loss, theft, or misuse and to
compile sufficient reliable information for the preparation of the City's financial statements in
conformity with GAAP. Because the cost of internal controls should not outweigh their
benefits, the City's comprehensive framework of internal controls has been designed to
provide reasonable rather than absolute assurance that the financial statements will be free
from material misstatements. As management, we assert that, to the best of our knowledge
and belief, this financial report is complete and reliable in all material respects.
The City's financial statements were audited by Grove, Mueller & Swank, P.C., a firm of
licensed certified public accountants. The goal of the independent audit was to provide
reasonable assurance that the financial statements of the City for the fiscal year ended June 30,
2009, are free of material misstatement. The independent audit involved examining, on a test
basis, evidence supporting the amounts and disclosures in the financial statements; assessing
the accounting principles used and significant estimates made by the management; and
evaluating the overall financial statement presentation. The independent auditors concluded,
based upon the audit, that there was a reasonable basis for rendering an unqualified opinion
that the City's basic financial statements for the fiscal year ended June 30, 2009, are fairly
3
presented, in all material respects, in conformity with GAAP. The independent auditor's
report is included in the Financial Section of this report.
GAAP requires that management provide a narrative introduction, overview, and analysis to
accompany the basic financial statements in the form of Management's Discussion and.
Analysis (MD&A). This letter of transmittal is designed to complement the MD&A and
should be read in conjunction with it. The City's MD&A can be found immediately
following the report of the independent auditors.
Profile of the Government
The City of Tigard is located in southeast Washington County, 15 minutes from downtown
Portland, Oregon and along major highways, Interstate 5 and Highway 217. The City is
included in the Metro urban growth boundary and Tigard's closest neighboring cities include
Beaverton, Lake Oswego, Tualatin, Durham, Portland, and King City. A state highway,
99W, runs north and south through the eastern portion of the City and is a major
transportation corridor leading to the City of Portland. There is also a major greenway called
Fanno Creek that connects neighborhoods to the natural environment and several of the
City's parks. The incorporated area of the City represents 11.81 square miles and has a
population of 47,460. The City has experienced a steady growth since its incorporation in
1961. Population increases have varied from a yearly change of less than 1% to almost 50%
since incorporation. It is projected that the City will have a population of close to 48,000 by
2010. The City can extend its corporate limits by annexation which is permitted by state
statute.
The City is governed by an elected Mayor and four council members who comprise the City
Council. The City's Charter established the Mayor/Council form of government. Each
member of the City Council is elected at-large to serve a four-year term. The Mayor presides
at Council meetings and is elected at-large for a four-year term. The Mayor and Council
provide community leadership, develop policies to guide the City in delivering services and
achieving community goals, and encourage citizen awareness and involvement.
The City Council appoints a City Manager, who is the chief administrative officer of the
City. The City Manager is responsible for ensuring Council policies are implemented using
resources appropriated by the Council to achieve desired service results in the community.
The City provides a full range of municipal services. These services include police, municipal
court, community planning and development, parks, library, capital improvement planning,
administration and central services, street maintenance, water, and other general public works
activities. The City owns and maintains the wastewater and storm drainage system within the
City limits under an agreement with Clean Water Services. Fire protection is provided by
Tualatin Valley Fire and Rescue.
4
The City maintains budgetary controls to ensure compliance with legal provisions in the
annual appropriated budget adopted by the City Council. Activities of all funds are included
in the annual adopted budget. The level of budgetary control (that is, the level at which
expenditures cannot legally exceed the appropriated amount) is established by program within
each individual fund.
As demonstrated by the statements and schedules included in the financial section of this
report, the City continues meeting its responsibility for sound financial management.
Factors Affecting Financial Condition
The information presented in the financial statements is perhaps best understood when it is
considered from the broader perspective of the specific environment within which the City of
Tigard operates.
Local economy
The City's location in the Portland metropolitan area provides citizens with many diverse
employment opportunities. Unemployment data is reported specifically for Tigard as well as
Washington County and the Portland Metro area.
The chart below shows a six year comparison of unemployment rates for the state and local
areas as well as the US. The City of Tigard has the lowest rates over the six year time period
and the Portland Metro area and the State of Oregon have the highest rates. Although in the
past year the rate for every category, except the US, more than doubled the rate from the
previous year due to the economic downturn in 2009.---
14,00%
12.00%
i
10.00% - -
R Oregon
5.00% - 11 us
6.00% Pt1d Metro
Wash Co.
4.00% N ■ Tigard
2.010%
1 - - -
2004 2005 2006 2007 2008 2009
Wholesale trade, retail trade, and the service industry all play a large role in Tigard's
economy. Retail trade has the most establishments; and the retail and service industries
5
employ the most people. The City has within its boundaries one of the largest shopping malls
in the region, Washington Square. The mall has five major department stores and more than
140 specialty shops. In 2005, Washington Square completed an 80,000 sq. ft. expansion that
added an additional 28 specialty stores and restaurants. This expansion increased the size of
the mall to over 1.3 million square feet.
Summary of Economic Data
Number of Businesses, as of October 2009 3,355
Median Household Income (estimated 2008) $64,944
Primary Economic Sector (receipts/sales) Wholesale'rrade
General Fund Permanent Tax Rate $2.51310 per $1000
of assessed value
Total Assessed Value (2009) $4,741,943,700
Ten Largest Employers
(as of March 2069)
Employer Product or service Employrnen-t
HSBC Card Services Financial Services 948
Tigard - Tualatin School District Local school district 779
Macy's Retail department store 704
Nordstrom Retail department store 579
Oregon Public Employees Retirement Public retirement system 396
Providence Health System I lealth care provider 377
Costco Wholesale Corporation Box store 300
City of Tigard Local government 266
The Cheesecake Factory Food service 250
Home Depot Home improvement store 241
Long-term financial planning
The City has developed a comprehensive long-term financial forecast every year since the
1980's. By forecasting and anticipating financial trends, the City can develop strategies to
respond to emerging financial trends. The City forecasts operating fund revenues and
expenditures over a five-year period. The forecast is adjusted as each year's final results are
known and as budgets are prepared for the following year. In addition, the City also prepares
a five-year Capital Improvement Program (CIP) that is also updated every year. The CIP is
developed through a process separate from, but parallel to the budget process. The impact on
future operating and maintenance costs are projected from the CIP and then. incorporated in
the long-term financial forecast.
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Relevant financial policies
The City of Tigard has an important responsibility to its citizens to carefully account for
public funds, manage municipal finances wisely, and plan adequate funding of services and
facilities desired and needed by the public.
In support of this effort, the City has established a set of fiscal policies to ensure that the
public's trust is upheld. With such fiscal policies, the City has established the framework
under which it -will conduct its fiscal affairs, ensuring that it is and will continue to be capable
of funding and providing outstanding local government services.
The goals of Tigard's fiscal policies are:
• To enhance the City Council's policy-making ability by providing accurate
information on program and operating costs.
• To assist sound management of the City government by providing accurate and timely
information on current and anticipated financial conditions.
• To provide sound principles to guide important decisions of the Council and
management which have significant fiscal impact.
• To set forth operational principles, which minimize the cost and financial risk of the
City's government consistent with services, desired by the public.
• To employ revenue policies which prevent undue or unbalanced reliance on any one
source, distribute the cost of municipal services fairly, and provide adequate funds to
operate desired programs.
• To provide and maintain essential public facilities, utilities, infrastructure, and capital
equipment.
• To protect and enhance the City's credit rating.
• To insure that all surplus cash is prudently invested in accordance with the investment
policy adopted by the Council to protect City funds and realize a reasonable rate of
return.
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Major initiatives
The Tigard City Council meets at the beginning of each calendar year to establish goals.
Council goals comprise high-priority tasks or programs that the City Council intends to
complete or initiate during the year, though attainment of these goals may take several years.
The goals are based on the City's Vision Task Force goals, departmental needs, and City
Council priorities. In the goal setting meeting, the City Council reviews information and
develops its annual and long-term goals. Council goals set the priorities for City government
and are incorporated into departmental work plans. For 2009 Council established four goals
for the City as follows;
1. Implement Comprehensive Plan
a. Update Tigard zoning maps based on Comprehensive Plan Update
b. Update "free Code to meet Comprehensive Plan
c. Continue to lobby for light rail in 99W Corridor
d. Develop a 50-year aspirational goal in support of Urban/Rural Reserves Program
2. Implement Downtown Urban Renewal
a. Move forward with Burnham Street Project
b. Complete land use regulations and design standards for the downtown
3. Prepare for 2010 Bond Measure for Parks, Open Spaces and Trails
a. Complete Parks Master Plan
b. Pursue Fanno Park and downtown plaza property acquisition
4. Continue to support the legislature in addressing the financial needs of state and
local governments in Oregon
With the passage of Tigard's Urban Renewal ballot measure, the City established a permanent
funding base to implement the Tigard Downtown Improvement Plan. The formation of the
Urban Renewal District sends a clear message that the City is now financially committed to
carrying out its Downtown Plan and will be in a position to support investments there.
Although it will take time for tax revenues to accumulate under the tax increment financing
process, it is anticipated that enough funding will be available for $22 million in public
improvements for downtown. The implementation of all of the projects such as streets,
parks, plazas, a public market, and performing arts center will take up to 20 years to
accomplish but that doesn't mean citizens won't see improvements in the near future. Design
is continuing on street improvements, a downtown streetscape design, and other
improvements. Construction on a redesigned Burnham Street began shortly after the end of
fiscal year 2009..
8
Awards and Acknowledgements
The Government Finance Officers Association (GFOA) awarded a Certificate of
Achievement for Excellence in Financial Reporting to the City of Tigard for its
Comprehensive Annual Financial Report (CAFR) for the fiscal year ended June 30, 2008.
This was the 24th consecutive year that the City has received this esteemed award. In order
to be awarded a Certificate of Achievement, the government published an easily readable and
efficiently organized CAFR. This report satisfied both GAAP and applicable legal
requirements.
A Certificate of Achievement is valid for a period of one year only. We believe that our
current CAFR continues to meet the Certificate of Achievement Program's requirements and
we are submitting it to the GFOA to determine its eligibility for another certificate.
In addition, the City also received the GFOA's Distinguished Budget Presentation Award for
its annual budget for fiscal year 2009-2010. This was the 22nd consecutive year that the City
has received this prestigious award. In order to qualify for the Distinguished Budget
Presentation Award, the City's budget document was judged to be proficient in several
categories, including as a policy document, a financial plan, an operations guide, and a
communications device.
The preparation of this report was made possible by the dedicated service of the staff of the
Financial and Information Services and our auditors. Each member of the Department has
our sincere appreciation for the contributions made in the preparation of this report. Special
recognition should be given to the Financial Operations staff for their work in preparing this
document. Credit also must be given to the Mayor and City Council for their unfailing
support for maintaining the highest standards of professionalism in the management of the
City of Tigard's finances.
Respectf bmitted,
Craig Prosser Toby France
City Manager Director of Financial and
Information Services
9
■r
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
City of Tigard
Oregon
For its Comprehensive Annual
Financial Report
for the Fiscal Year Ended
June 30, 2008
A Certificate of Achievement for Excellence in Financial
Reporting is presented by the Government Finance Officers
Association of the United States and Canada to
govenunent units and public employee retirement
systems whose comprehensive annual financial
reports (CAFRs) achieve the highest
standards in government accounting
and financial reporting.
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a~ COA?OiFidM/
r President
Executive Director
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CITIZENS OF TIGARD
F-Mayor& City Council
-7- 1
City Attim
F Community Public Development Policy and
Services Works Services Administration
Police Library Public Community Engineering City Finance
Works Development Administration
Administration Adrrinistration Adrrinistration Adrrinistration Engineering oty Finance
Department Management Adrrinistration
Operations Readers' Parks Building Street Lights Hunan Financial
Services & Grounds Inspection & Signals Resources Operations
Support Technical Sanitary Current Rsk Adrrinstrative
Services Services Sewer Planning Management Services
Qrculation Storm Long Range Information
Sewer Planning Technology
Street
Maintenance
Fleet
Maintenance
Property
Management
Water
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CITY OF TIGARD, OREGON
PRINCIPAL OFFICIALS AS OF JUNE 30, 2009
ELECTED OFFICIALS:
Name Term Expires
Mayor Craig Dirksen December 31, 2010
Councilor Nick Wilson December 31, 2012
Councilor Gretchen Buehner December 31, 2010
Councilor Marland Henderson December 31, 2012
Councilor Sydney Webb December 31, 2010
APPOINTED OFFICIALS:
Craig Prosser, City Manager
Toby LaFrance, Director of Finance and Information Services
All may be reached at:
13125 SW Hall Boulevard
Tigard, OR 97223
LEGAL COUNSEL
Ramis, Crew, Corrigan & Bachrach
1727 NW Hoyt Street
Portland, OR 97209
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TIGARD
14
FINANCIAL SECTION
15
TIGARD
16
GROVE, MUELLER & SWANK, P.C.
0FKI II IED I'LIBLI AC 000NFAWS ANLD CONSUI IAN IS
475 Cottage Street NE, Suite 200, Salem, Oregon 97301
(503) 581-7788
INDEPENDENT A UDITOR'S REPORT
Honorable Mayor and Members of the City Council
City of Tigard
Tigard, Oregon
We have audited the accompanying financial statements of the governmental activities, the business-type
activities, each major fund, and the aggregate remaining fund information of the City of Tigard, Oregon as
of and for the year ended June 30, 2009, which collectively comprise the City's basic financial statements
as listed in the table of contents. These financial statements are the responsibility of the City's
management. Our responsibility is to express opinions on these financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally accepted in the United States of
America. Those standards require that we plan and perform the audit to obtain reasonable assurance about
whether the financial statements are free of material misstatement. An audit includes examining, on a test
basis, evidence supporting the amounts and disclosures in the 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 opinions.
In our opinion, the financial statements referred to above present fairly, in all material respects, the
respective financial position of the governmental activities, the business-type activities, each major fund,
and the aggregate remaining fund information of the City of Tigard, Oregon as of June 30, 2009, and the
respective changes in financial position and its cash flows, where applicable, thereof for the year then
ended in conformity with accounting principles generally accepted in the United States of America.
Management's Discussion and Analysis is not a required part of the basic financial statements, but is
supplementary information required by accounting principles generally accepted in the United States of
America. We have applied certain limited procedures that consisted principally of inquiries of management
regarding the methods of measurement and presentation of the supplementary information. However, we
did not audit the information and do not express an opinion on it.
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively
comprise the City of Tigard, Oregon's basic financial statements. The introductory section, the schedules
of revenues, expenditures - budget and actual for the General and the Gas Tax Funds, the other
supplementary information, and the statistical section listed in the table of contents are presented for
purposes of additional analysis and are not required parts of the basic financial statements. The schedule of
revenues, expenditures and changes in fund balance - budget and actual for the General and the Gas Tax
17
Funds, and other supplementary information have been subjected to the auditing procedures applied by us
in the audit of the basic financial statements and, in our opinion, are fairly stated in all material respects in
relation to the basic financial statements taken as a whole. The introductory and statistical sections have
not been subjected to the auditing procedures applied in the audit of the basic financial statements and,
accordingly, we express no opinion on them.
GROVE, MUELLER & SWANK, P. C.
CERTIFIED PUBLIC ACCO UNTANTS
By:
Charles A. Swank, A Shareholder
January 29, 2010
is
Management's Discussion and Analysis
As management of the City of Tigard, we offer readers this narrative overview and analysis of the
financial activities of the City of Tigard for the fiscal year ended June 30, 2009. It focuses on
significant financial issues, major financial activities, and resulting changes in financial positions, as
well as economic factors affecting the City. This Management's Discussion and Analysis (MD&A)
is based on currently known facts, decisions, and conditions that existed as of the date of the
independent auditors' report.
We encourage readers to consider the information presented here in conjunction with the
transmittal letter at the front of this report and the City's financial statements which follow this
discussion and analysis.
Financial Highlights
• The assets of the City exceeded its liabilities at the close of the most recent fiscal year by $287.9
million (net assets). Of this amount, $34.3 million (unrestricted net assets) may be used to meet
the City's ongoing obligations to citizens and creditors.
• The City's net assets decreased $2.8 million over the course of this year's operations. Within
this total the net assets of our business-type activities increased by $0.6 million or 0.5 percent,
and net assets of our governmental activities decreased by $3.5 million or 1.7 percent.
• During the fiscal year, the City generated $31.1 million in taxes, charges for services, and other
revenues for governmental programs while incurring expenses from governmental activities
totaling $34.7 million, for a decrease in net assets of $3.5 million.
• In the City's business-type activities, revenues decreased by $0.4 million, while expenses
increased by $0.8 million. The decrease in revenues is due primarily to the slowdown of
building activity in the City and the corresponding capital contributions which the building
activity brings to the City as revenue, along with a decrease in water consumption.
• As of the close of fiscal year 2009, the City's governmental funds reported combined ending
fund balances of $20.4 million, a decrease of $4.8 million. This decrease reflects a decrease in
many governmental revenues, most notably building permits and interest income. Property tax
revenue, the City's largest single source of revenue, was flat for the year.
• At the end of the fiscal year, unreserved fund balance for the General Fund was $7.8 million, a
decrease of $3.0 million or a 27 percent decrease from the previous year. In anticipation of this
decrease, the City has implemented cost-cutting measures, the most notable of which is that
management employees did not receive cost of living raises for fiscal year 2010 and union
employees have either delayed cost of living increases or are taking furlough days to reduce
costs.
• The City's long-term debt increased by $2.1 million during fiscal year 2009. This is due to a
drawdown of $2.9 million against a line of credit to begin paying for water system upgrades,
offset by $0.8 million of normal annual debt service payments on the general obligation bonds,
long-term notes, and Bancroft improvement bonds.
19
Overview of the Financial Statements
In addition to this discussion and analysis, the financial section of this annual report contains the
basic financial statements, required supplementary information, and the combining statements of
the non-major funds and schedules demonstrating legal compliance.
The basic financial statements also include notes that explain the information in the financial
statements and provide more details. The statements are followed by the required supplementary
information section that supports the information in the financial statements.
Required Elements of the
Comprehensive Annual Financial Report
S DISCUSSION ANDANALYSIS
RNA PLSTATBVEMS
Gmemrnent-wide (full accrual) Fund
Governrrental AcWfies Governrrental (modified aocrual)
Business-typeActi\des Proprietary (fulI accrual)
Fiduciary (full aocrual)
Notes to Basic Financial Statements
REQUI RED SUPPLENENrAL I NFOfm-nON
(other than N)&A)
OTHERSUPPLENENTARY INFORMATION
Government-wide Financial Statements
The government-wide financial statements are designed to provide readers with a broad overview of
the City's finances, in a manner similar to a private-sector business.
The Statement of Net Assets presents information on all of the City's assets and liabilities, with the
difference between the two reported as net assets. Over time, increases or decreases in net assets
may serve as a useful indicator of whether the financial position of the City is improving or
deteriorating.
The Statement of Activities presents information showing how the City's net assets changed during
the most recent fiscal year. All changes in net assets are reported as soon as the underlying event
giving rise to the change occurs, regardless of the timing of related cash flows. Thus, revenues and
expenses are reported in this statement for some items that will result in cash flows in a future fiscal
period. Examples of such items include earned, but uncollected property taxes, and earned, but
unused compensated absences.
20
Both of the government-wide financial statements distinguish functions of the City that are
principally supported by taxes and intergovernmental revenues (governmental activities) from other
functions that are intended to recover all or a significant portion of their costs through user fees and
charges (business-type activities).
The governmental activities of the City include the following:
• Community services, police, library, and social services
• Public works, including parks and recreation
• Development services, planning and engineering
• Policy and administration
The business-type activities of the City include the following:
• Sanitary sewer
• Storm water
• Water
The government-wide financial statements can be found on pages 19-21 of this report.
Fund Financial Statements are designed to display compliance with finance-related legal
requirements demonstrated by the use of fund accounting. A fund is a grouping of related accounts
that is used to maintain control over resources that have been segregated for specific activities and
objectives. The funds of the City can be divided into the following categories: governmental funds,
proprietary funds, and a fiduciary fund.
Governmental funds are used to account for essentially the same functions reported as
governmental activities in the government-wide financial statements. However, unlike the
government-wide financial statements, governmental fund financial statements focus on near-term
inflows and outflows of available resources, as well as on balances of available resources at the end
of the fiscal year. Such information may be useful in evaluating a government's near-term financial
capability.
Because the focus of governmental funds is narrower than that of the government-wide financial
statements, it is useful to compare the information presented for governmental funds with similar
information presented for governmental activities in the government-wide financial statements. By
doing so, readers may better understand the long-term impact of the City's near-term financing
decisions. Both the governmental fund balance sheet and the governmental fund statement of
revenues, expenditures, and changes in fund balance provide a reconciliation to facilitate this
comparison between governmental funds and governmental activities.
The City maintains 21 individual governmental funds. Information is presented separately in the
governmental fund balance sheet and the statement of revenues, expenditures, and changes in fund
balances for those funds that are considered significant (major) to the City taken as a whole. These
financial statements report four major funds: General Fund, Gas Tax Fund, the Bancroft Debt
Service Fund and the Parks Capital Fund. Data from the other U governmental funds are
combined into a single, aggregated presentation. Individual fund data for each of these non-major
governmental funds is provided in the form of combining statements elsewhere in this report. The
City closed two funds during fiscal year 2009 - the Urban Services Traffic Impact Fee Fund and the
21
Urban Services Fund. These funds had been used to account for revenues dedicated to services
provided outside of City boundaries. Under an agreement with Washington County, those services
are no longer being performed by the City and the residual money in those funds was transferred to
the County.
The City adopts an annual appropriated budget for all of its governmental funds. A budgetary
comparison statement has been provided for each fund individually to demonstrate compliance
with their budgets.
The basic governmental fund financial statements can be found on pages 22-24 of this report.
Proprietary funds are used to account for a government's business-type activities. The City
maintains two different types of proprietary funds - enterprise funds and internal service funds.
Enterprise funds are used to report the same functions presented as business-type activities in the
governmental-wide financial statements. The City uses enterprise funds to account for its sanitary
sewer, storm water, and water operations. Internal service funds are an accounting device used to
accumulate and allocate costs internally among the City's various functions. The City uses internal
service funds to account for fleet maintenance, risk management, office services, finance and
accounting, and other management services.
The City reports all three of the enterprise funds as major funds. These funds are the Sanitary
Sewer Fund, the Storm Sewer Fund, (which consists of the budgetary Storm Sewer and the Water
Quality/Quantity Funds), and the Water Fund, (which includes the budgetary Water, Water SDC,
and Water CIP Funds). However, for budgetary and legal purposes these funds are accounted for
separately. Conversely, all internal service funds are combined into a single, aggregated
presentation in the proprietary fund financial statements. Individual fund data for the internal
service funds is provided as other supplementary information.
The City also adopts an annual appropriated budget for all proprietary funds. To demonstrate
compliance with the budget, budgetary comparison statements have been provided for the
enterprise funds as other supplementary information on pages 97-106 of this report. Budgetary
comparisons for the internal service funds are provided on pages 112-113 of this report.
The proprietary fund financial statements can be found on pages 25-27 in the basic financial
statements.
Fiduciary funds are used to report assets held in a trustee or agency capacity for others and
therefore cannot be used to support the government's own programs. The City has a pension trust
fund that accounts for employee defined contribution plans. The accounting used for the fiduciary
fund is much like that used for the proprietary funds.
No budget is adopted for the fiduciary fund in accordance with Oregon Local Budget Law.
The fiduciary fund financial statements can be found on page 28 in the basic financial statements.
Notes to the Basic Financial Statements provide additional information that is essential to a full
understanding of the data provided in the government-wide and fund financial statements. The
notes to the financial statements can be found on pages 31-51 of this report.
22
The combining statements referred to earlier in connection with non-major governmental funds
and business-type funds are presented immediately following the required supplementary
information. Combining and individual fund statements and schedules can be found on pages 61-
113 of this report.
Government-wide Financial Analysis
Net assets: As noted earlier, net assets may serve over time as a useful indicator of the City's
financial position. In the case of the City, assets exceeded liabilities by $287.9 million at June 30,
2009.
The largest portion of the City's net assets (86 percent) reflects its investment in capital assets (e.g.,
land, buildings, roads, sewers, storm water facilities, etc.) less any related debt used to acquire those
assets that is still outstanding. None of these capital assets, including the City infrastructure, are
available for future spending. Although the City's investment in capital assets is reported net of
related debt, it should be noted that the resources needed to repay this debt must be provided from
other sources, since capital assets themselves cannot be used to liquidate these liabilities.
City of Tigard, Oregon
Net Assets as of Fiscal Year-end
(in millions)
Governmental Business-type
Activities Activities Total
FY 08-09 FY 07-08 FY 08-09 FY 07-08 FY 08-09 FY 07-08
Assets
Current and other assets $ 26.7 $ 32.6 $ 21.8 $ 21.6 $ 48.5 $ 54.2
Net capital assets 190.3 189.2 71.6 68.4 261.9 257.6
Total assets 217.0 221.8 93.4 90.0 310.4 311.8
Liabilities
Other liabilities 4.4 6.3 1.8 2.0 6.2 8.3
Outstanding debt 13.4 12.9 2.9 - 16.3 12.9
Total liabilities 17.8 19.1 4.7 2.0 22.5 21.2
Net assets
Invested in capital assets,
net of related debt 179.6 177.7 68.7 68.4 248.3 246.1
Restricted 1.5 2.0 3.8 3.8 5.3 5.8
Unrestricted 18.1 23.0 16.2 15.8 34.3 38.8
Total net assets $ 199.2 $ 202.7 $ 88.7 $ 88.0 $ 287.9 $ 290.7
The City's net assets decreased by $2.8 million during the fiscal year. This decrease is due to
revenues increasing by $2.5 million while expenses increased by $9.8 million. This was an
intentional decrease that was budgeted to keep staffing levels stable and provide for additional
capital improvement projects despite a slowdown in the economy.
The revenues and expenses shown on the next table explain changes in net assets for fiscal year
2009.
23
Governmental Business-type
Activities Activities Total
FY 08-09 FY 07-08 FY 08-09 FY 07-08 FY 08-09 FY 07-08
Revenues
Program Revenues
Charges for services $ 4.0 $ 5.4 $ 10.3 $ 10.9 $ 14.3 $ 16.3
Capital grants and contribut - 0.7 - - $ - 0.7
Operating grants and contril 0.2 - 0.8 0.1 $ 1.0 0.1
Total Program revenues 4.2 6.1 11.1 11.0 15.3 17.1
Taxes 12.4 9.1 - - 12.4 9.1
Interest 0.9 1.5 0.6 1.0 1.5 2.5
Other 13.6 11.5 0.1 0.2 13.7 11.7
Total General revenues 26.9 22.1 0.7 1.2 27.6 23.3
Total revenues 31.1 28.2 11.8 12.2 42.9 40.4
Expenses
Community services 18.4 13.7 - - 18.4 13.7
Public works 2.5 2.5 - - 2.5 2.5
Development services 7.2 5.2 - - 7.2 5.2
Policy and administration 6.0 3.8 - - 6.0 3.8
Interest on long-term debt 0.5 0.4 - - 0.5 0.4
Sewer - - 1.6 1.9 1.6 1.9
Storm water - - 1.9 1.6 1.9 1.6
Water - - 7.6 6.8 7.6 6.8
Total expenses 34.6 25.6 11.1 10.3 45.7 35.9
Changes in net assets (3.5) 2.6 0.7 1.9 (2.8) 4.5
Beginning net assets 202.7 200.1 88.0 86.1 290.7 286.2
Ending net assets $ 199.2 $ 202.7 $ 88.7 $ 88.0 $ 287.9 $ 290.7
Revenues
Governmental Activities
Property taxes continue to be a major source of revenue for the funding of City programs. Oregon
voters passed Measure 50, a State constitutional amendment, which fundamentally changed
property tax calculation and administration in Oregon in May 1997. Measure 50 converted
operating property tax authority from a "levy-based" system to a "rate-based" system, and it became
effective in FY 1997-98. The City's tax base, which was $6,891,856 in FY 1997-98, was converted to
a permanent tax rate of $2.5131 by the measure. The measure established FY 1997-98 assessed value
at FY 1995-96 values less 10 percent.
24
The permanent rate is multiplied by the assessed value each year to arrive at the tax authority for
that year. Assessed value growth is limited to 3 percent per year, plus a pro-rated share of new
construction and annexations. The City has seen significant growth in construction since then and
the annexation of the Walnut Island area which occurred in FY 1999-00.
Measure 50 did not change the basis for calculating General Obligation (GO) debt service levies.
GO debt service levies are calculated to produce enough tax revenues that (when combined with
other resources such as interest earnings and fund balance) will be enough to pay debt service due
on these voter approved bonds. On May 21, 2002, voters approved a bond measure in the amount
of $13.0 million for a new library. The City sold the bonds to the Oregon Economic and
Community Development Department. Taxes collected through the tax levy will repay this
bonded debt.
Both other revenues and charges for services combined constitute 60 percent of total governmental
revenues. The primary sources include the following:
• Franchise fees are charged to public utilities for the use of the public right-of-way.
Franchised activities paying the fee include electricity, natural gas, telecommunications,
cable television, and solid waste haulers - $3,887,078.
• Intergovernmental revenue is the other significant revenue category in other revenues and
totals $7,560,542. These revenue sources include state shared revenues such as cigarette tax,
liquor tax, and revenue sharing. In addition, this category also includes the City's portion of
the county-wide Hotel/Motel Tax and the WCCLS.
• Charges for service includes a variety of land use planning and permit fees, library fines, and
other miscellaneous types of fees and charges - $4,045,920.
Governmental Activities Fiscal Year 2009
Revenues by Source
$31,111,829
Interest,
$947,218
Taxes, 3%
$12,526,541 Other,
40% $13,438,673
43%
Operating
Grants and Charges for
contribution Service,
$153,447 $4,045,920
<1% 13%
25
Business-type Activities
Charges for services represent 90 percent of total revenues and are composed of fees that are charged
to all users for services provided such as water, sanitary sewer, and storm water. The sanitary and
storm water fees are established by Clean Water Services (CWS) and are set by the agency each year.
The City Council, through an intergovernmental agreement with other water system participants,
sets the water rates.
The City is continuing to pursue efforts to secure a long-term water source to meet future demands
over the next 50 years. In August 2009 the City entered into an intergovernmental agreement with
the City of Lake Oswego in which the City of Tigard will share the cost of upgrading and
expanding Lake Oswego's water treatment plant in return for a long-term water contract. Over the
past seven years, the City Council has approved a yearly 6 percent water rate adjustment in
anticipation of having to issue revenue bonds to finance capital projects associated with these
potential water sources. The City will be conducting a water rate study during fiscal year 2010.
Sanitary rates have been traditionally adjusted by CWS annually with the increase in revenues being
dedicated to debt service requirements for treatment plant expansions made by agency.
Storm water rates have not been adjusted for several years.
Expenses
Governmental Activities
Expenses related to governmental activities are shown in the chart below and are expressed as a
percent of total expenses for all governmental activities.
The majority of the expenses (53 percent) relate to the City Library and Police Department within
the Community services activity.
Overall, expenses in Governmental activities increased by $9.0 million over the previous fiscal year.
The majority of this increase can be attributed to increases in salaries and benefits.
Expenses by Service Type Fiscal Year 2009
Governmental Activites
$34,598,286
Policy and Interest on
administration, long-term debt,
$5,997,644 $526,825
17% 2%
Community
services,
$18,365,997
53%
Development
services,
$7,238,839
21% Public works,
$2,468,981
7%
26
Business-type Activities
The majority of the expenses (66 percent) relate to the drinking water service provider activity.
The City does not have its own water source, so it has to purchase water from other agencies. This
water purchase expense is a major portion of the total water expenses. The water expense decreased
slightly over last year due to a decrease in wages and benefits and material costs.
Both the sanitary and storm water expenses increased only slightly from the previous fiscal year.
Neither of these activities has experienced major growth or expansion of their respective systems, so
expenses continue to increase only moderately due to increases in personal costs and material costs
such as fuel.
Expenses by Service Type Fiscal Year 2009
Business-type Activites
$11,142,531
Sewer
Storm water
$1,597,413 $1,920,640
14% 17%
Water
$7,624,478
68%
Financial Analysis of the City's Funds
As noted earlier, the City uses fund accounting to ensure and demonstrate compliance with finance-
related legal requirements.
Governmental Funds
The focus of the City's governmental funds is to provide information on near-term inflows,
outflows, and balances of spendable resources. Such information is useful in assessing the City's
financing requirements. In particular, unreserved fund balance may serve as a useful measure of the
City's net resources available for spending at the end of the fiscal year.
As of the end of the fiscal year 2009, the City's governmental funds reported combined ending fund
balances of $20.4 million, a decrease of $4.8 million in comparison with the prior year. Of the
ending fund balance, $450,349 is reserved for prepaid expenses. The remainder of governmental
fund balance, about $20.0 million, is reported as unreserved and undesignated. As noted above, the
City purposely budgeted a decrease in fund balance to keep staffing levels stable and to provide for
capital improvement projects.
27
General Fund
The General Fund is the chief operating fund of the City. At the end of the fiscal year 2009, the
unreserved fund balance was $7.8 million that can be used for funding of City programs. This was a
decrease of $3.0 million. This decrease can be primarily attributed to the combined decrease in
revenues from franchise fees, charges for service, and interest income combined with increases in
expenditures for personnel expense.
Gas Tax Fund
This fund records shared revenues from State and County taxes on sale and use of motor vehicle
fuel. Funds are used for construction, reconstruction, improvement, repair, maintenance,
operation, and use of public highways, roads, streets, and roadside rest areas. This revenue source
can also be used for street lighting and cleaning, storm drainage, traffic control devices, and cost of
administration. At the end of fiscal year 2009, the fund balance was $2.5 million, a decrease of $0.3
million. This fund balance will eventually be used to complete street improvements.
Bancroft Debt Service Fund
The Bancroft Debt Service Fund accounts for the payment of Bancroft improvement bond
principal and interest. The sources of revenue are the collection of assessments against benefited
property, interest, and contributions from other funds for their share of costs. Revenues may only
be used for the retirement of debt. At the end of fiscal year 2009, the fund balance was $1.1 million,
an increase of $0.1 million.
Parks Capital Fund
The Parks Capital Fund accounts for the purchase and major development of recreational facilities
within the City. Resources for this fund are primarily transfers in from other funds and
intergovernmental revenues. At the end of fiscal year 2009, the fund balance was $91,994, a
decrease of $133,184.
Proprietary Funds
The City's proprietary funds include the Sanitary Sewer, Storm Sewer, Water, and Internal Services
Funds.
The unrestricted net assets of the business-type activities which include the Sanitary Sewer, Storm
Sewer, and Water Funds at the end of the year amounted to $16.2 million. The total increase in net
assets for these funds was $0.7 million.
The factors concerning the finances of the funds have already been addressed in the discussion of the
City's business-type activities.
28
General Fund Budgetary Highlights
The City Council approved eleven budget amendments to the adopted General Fund budget. Total
increase in appropriations was $740,227. The changes are summarized as follows:
• Increase of $136,700 in interfund transfers to pay for tree projects and purchase of property.
• Increase of $265,426 in the Finance Department to pay for outside services while the City
was recruiting key Finance Department staff.
• Increase of $233,686 in the Police Department to recognize various grants.
• $93,500 increase in the Police Department budget to pay for a TriMet transit patrol position.
• $10,915 increase in the budget for Community Services to pay for various community
activities.
The overall change to the budget in the General Fund after these eleven amendments was less than
one percent and had no significant affect on future services or liquidity.
The City budgeted the General Fund with the anticipation that ending fund balance would decrease
by approximately $6.5 million. Actual results decreased fund balance by about $3.0 million. This
difference was caused by lower revenues of $1 million offset by expenditures that were $4.5 million
lower than budget.
For revenues, franchise fees and charges for services came in approximately $964,000 lower than
budget.
For expenditures, the variance was primarily due to a conservative approach to the budget and
about $500 thousand of contingency that was budgeted but not needed.
Capital Asset and Debt Administration
Capital Assets
Governmental Activities
The City's investment in capital assets for its governmental activities as of June 30, 2009, amounts
to $190.3 million (net of accumulated depreciation). This investment in capital assets primarily
includes land, buildings, machinery and equipment, office equipment, and infrastructure. The
infrastructure includes roads, curbs and sidewalks, signage, streetlights and right-of-ways. The total
increase in the City's investment in governmental activities capital assets was $1.1 million, less than
one percent. This was primarily due to additions to infrastructure throughout the City.
Business-type Activities
The City's investment in capital assets for its business-type activities as of June 30, 2009, amounts to
$71.6 million (net of accumulated depreciation). In addition to machinery, equipment, and vehicles,
the capital assets include the sanitary sewer collection system, storm drainage, and water systems.
29
Total increase in the City's investment in business-type activities capital assets was $3.2 million or
4.7 percent. This is primarily due to further expansion of the City's water reservoir system.
City of Tigard, Oregon
Capital Assets at Year-end
(Net of Depreciation)
(in millions)
Governmental Business-type
Activities Activities Total
FY 08-09 FY 07-08 FY 07-08 FY 06-07 FY 07-08 FY 06-07
Land $ 7.6 $ 7.6 $ 4.4 $ 4.4 $ 12.0 $ 12.0
Construction in progress 4.9 2.6 10.6 6.2 15.5 8.8
Buildings and building improv. 17.0 17.2 1.4 1.2 18.4 18.4
Land improvements 1.5 1.7 - - 1.5 1.7
Sewer system - 15.6 16.0 15.6 16.0
Storm drainage system 11.1 10.9 11.1 10.9
Water system - - 27.6 28.6 27.6 28.6
Machinery and equipment 1.4 0.7 0.6 0.7 2.0 1.4
Autos and trucks 0.8 0.8 0.3 0.4 1.1 1.2
Infrastructure 157.1 158.6 - - 157.1 158.6
Total capital assets $ 190.3 $189.2 $ 71.6 $ 68.4 $ 261.9 $ 257.6
Additional information on the City's capital assets can be found in the notes on pages 43-45 of this
report.
Debt Outstanding
As of year-end, the City had four types of debt currently outstanding, three of which are
governmental and one is business-type. The governmental debt includes general obligation bonds
($10.0 million) secured by the City's authority to levy property taxes and assessment bonds ($1.3
million) secured by installment payment contracts with property owners. The third is a loan
($777,296) through the Oregon Economic and Community Development Department (OECDD).
This loan was secured by current and future park system development charges collected by the
City. The business-type activity debt is a draw against a line of credit for water system
improvements. The amount outstanding is $2.9 million. The total available is $6.0 million.
Principal payments are not required under the credit agreement until 2012. The City intends to
issue revenue bonds to pay off the line of credit.
The most recent bond rating occurred in 1993 and the rating given by Moody's was Al. Existing
debt levels have no direct impact on current or future City operations.
30
The State of Oregon limits the amount of general obligation debt that cities can issue to 3 percent of
the real market value of all taxable property within the City limits. The City's total outstanding
general obligation debt is significantly below the 3 percent limit of $244.9 million.
Additional information on the City's debt can be found on pages 45-47 of this report.
City of Tigard, Oregon
Outstanding Debt at Fiscal Year-end
(in millions)
Total
Totals Percentage
FY 08-09 FY 07-08 Change
Governmental:
General obligation $ 10.0 $ 10.5 -4.8%
Local improvement 1.3 1.3 0.0%
Long-term note 0.8 1.0 -20.0%
Total outstanding debt $ 12.1 $ 12.8 -5.5%
Business-type:
Line of credit $ 2.9 $ - 100%
Economic Factors
The unemployment rate for the Portland metro area was 11.2 percent at the end of the fiscal year,
June 30, 2009. This is a significant increase from the same period last year, when the rate was 5.2
percent. In the past the Portland metro area has usually had a lower unemployment rate than the
national average, but it is now above the national rate of 10.9 percent.
The City of Tigard issues licenses for businesses operating within the City limits. As of June 30,
2009, there were 3,355 businesses licensed in the City. The U.S. Economic Census, which takes
place every five years, provides data on industry sales within the City. Wholesale trade is
generating the most dollars in shipments, sales, and receipts. Retail trade employed the most
people, and also ranks second in the amount of dollars generated.
Almost 70 percent of land within the City is planned to accommodate residential use, ranging from
low density single family homes to high density multi-family dwellings. The City tracks buildable
lands through a yearly inventory process. At the end of 2007, less than 10 percent of land within
the City was considered buildable. Residential home construction, which includes free standing and
attached, hit a high of 576 units in 2001 and dipped to a low of 42 in 2009, reflecting the fact that all
construction declined significantly in 2009. Residential construction valuation dropped from about
$67.8 million in 2007-08 to $31.8 million in 2008-09. Total housing units added in the City during
2008-09 totaled 42, down from 93 in 2007-08 and 231 in 2006-07.
31
The City of Tigard has developed a comprehensive long-term financial forecast every year since the
1980's. This forecast allows the City to project expected revenues and expenditures for each of its
funds to help anticipate financial requirements.
The comprehensive long-term financial forecast continues to be central to Tigard's financial
management strategy. By forecasting and anticipating financial trends, Tigard can develop strategies
to respond to these emerging financial trends.
The current forecast shows that in the short-term the City's financial condition is stable in most
funds. The FY 2008-09 budget continued addressing a projected General Fund deficit that had been
forecasted to occur earlier than what is now projected. By including a utility franchise fee, the City
can delay the deficit by one year. This revenue source would continue to create a more stable
financial condition over time, although more substantive options might need to be considered in
the future.
More adjustments were made to the forecast model during with the FY 2009-10 budget taking into
account the City never spends 100% of its appropriations. Also there are forecasted positions
(FTE's) which may not be needed to maintain the level of service proposed in the forecast. The
City will carefully weigh the long-term effect these options may have before approving them.
The City will also need to establish sound financing for the capital improvement program that is
needed in order to maintain and improve the City's infrastructure. A Downtown Revitalization
Plan was adopted by the City Council and recommended the creation of an Urban Renewal
District. The creation of the district and use of tax increment financing was approved by the voters
in May 2006. The City will still need to fund some catalyst projects that are identified in the Plan
and financing of these projects will need to come from other sources. The voters in Washington
County and the City of Tigard just recently approved an operational tax levy throughout the
County that will help in sustaining the operation of the City's library.
Requests for Information
This financial report is designed to provide a general overview of the City of Tigard's finances for
all those with an interest in the City's finances. Questions concerning any of the information
provided in the report or requests for additional financial information should be addressed to the
Financial and Information Services Director, City of Tigard, 13125 SW Hall Blvd., Tigard, Oregon
97223.
32
BASIC FINANCIAL STATEMENTS
33
1~
~ ~
CITY OF TIGARD, OREGON
STATEMENT OF NET ASSETS
June 30, 2009
Governmental Business-Type
Activities Activities Total
ASSETS
Cash and investments $ 23,156,499 $ 18,872,776 $ 42,029,275
Accounts receivable 973,584 2,952,905 3,926,489
Property taxes receivable 568,275 - 568,275
Assessment liens receivable 1,394,953 1,394,953
Prepaid expenses 546,674 - 546,674
Inventory 14,134 6,079 20,213
Capital assets:
Land and construction in process 12,542,925 15,131,542 27,674,467
Other capital assets (net of accumulated depreciation) 177,830,488 56,460,888 234,291,376
Total Assets 217,027,532 93,424,190 310,451,722
LIABILITIES
Accounts payable and accrued liabilities 2,205,092 1,714,315 3,919,407
Customer deposits 2,014,483 44,355 2,058,838
Due to (from) other activities (15,022) 15,022 -
Accrued interest payable 269,180 - 269,180
Unearned revenue - 1,058 1,058
Noncurrent liabilities:
Due within one year:
Notes payable 247,318, - 247,318
Bonds payable 553,795 - 553,795
Accrued compensated absences 993,730 70,041 1,063,771
Special assessment bonded debt
with government commitment 126,885 - 126,885
Due in more than one year:
Notes payable 529,978 - 529,978
Line of credit - 2,853,868 2,853,868
Bonds payable 9,458,100 - 9,458,100
Accrued compensated absences 276,531 19,001 295,532
Special assessment bonded debt
with government commitment 1,151,245 1,151,245
Total Liabilities 17,811,316 4,717,660 22,528,975
NET ASSETS
Invested in capital assets, net of related debt 179,584,222 68,738,562 248,322,784
Restricted for:
Capital projects 167,169 3,783,324 3,950,493
Debt service 1,373,469 - 1,373,469
Unrestricted 18,091,356 16,184,644 34,276,000
Total Net Assets $ 199,216,216 $ 88,706,530 $ 287,922,746
The accompanying notes are an integral part of the basic financial statements.
35
Program Revenues
Charges Operating Capital
for Grants and Grants and
Functions /Programs Expenses Services Contributions Contributions
Governmental activities:
Community services $ 18,365,997 $ 180,425' $ 2,761 $
Public works 2,468,981 952,652' 15,403' 199,112
Development services 7,238,839 t,249,995q t35,283' -
Policy and administration 5,997,644 1,463,736'
Interest on long-term debt 526,825 - - -
Total governmental activities 34,598,285 3,846,808 153,447 199,112
Business-type activities:
Sewer 1,597,413 1,348,750 - 63,682
Storm water 1,920,640 1,484,627 574,860
Water 7,624,478 7,417,827 196,118
Total business-type activities 11,142,531 10,251,204 834,660
Total $ 45,740,816 $ 14,098,012 $ 153,447 $ 1,033,772
General Revenues:
Property taxes, levied for general purposes
Property taxes, levied for debt service
Franchise taxes
Unrestricted intergovernmental revenues
Interest earnings
Miscellaneous
Total general revenues
Change in net assets
Net assets--beginning
Net assets--ending
The accompanying notes are an integral part of the basic financial statements.
36
Net (Expense) Revenue and
Changes in Net Assets
Primary Government
Governmental Business-type
Activities Activities Total
$ (18,182,811) $ $ (18,182,811)
(1,301, 814) (1,301, 814)
(5,853,561) (5,853,561)
(4,533,908) (4,533,908)
(526, 825) (526, 825)
(30,398,918) (30,398,918)
(184,981) (184,981)
138,847 138,847
(10,533) (10,533)
(56,667) (56,667)
(30,398,918) (56,667) (30,455,585)
11,411,276' 11,411,276
1,115,265 1,115,265
3,887,078 3,887,078
8,925,520 - 8,925,520
947,247 649,231 1,596,479
626,075 105,567 731,642
26,912,461 754,798 27,667,259
(3,486,457) 698,131 (2,788,326)
202,702,673 88,008,399 290,711,072
$ 199,216,216 $ 88,706,530 $ 287,922,746
37
CITY OF TIGARD, OREGON
GOVERNMENTALFUNDS
BALANCE SHEET
June 30, 2009
Bancroft Parks Other Total
General Gas Tax Debt Service Capital Governmental Governmental
Fund Fund Fund Fund Funds Funds
ASSETS
Cash and investments $ 8,200,469 $3,070,560 $ 1,114,700 $ 121,001 $ 10,177,475 $ 22,684,205
Accounts receivable 535,800 173,511 - - 248,111 957,422
Property taxes receivable 510,981 - - - 57,294 568,275
Assessment liens receivable - 1,178,744 175,088 41,121 1,394,953
Prepaid expense 419,488 - 30,861 - 450,349
Total assets $ 9,666,738 $3,244,071 $ 2,293,444 $ 326,950 $ 10,524,001 $ 26,055,204
LIABILITIES
Accounts payable and accrued liabilities $ 1,360,093 $ 142,835 $ - $ 10,368 $ 280,888 $ 1,794,182
Customer deposits 156,130 593,259 49,500 1,215,594 2,014,483
Deferred revenues:
Property taxes 392,199 - - 31,832 424,031
Assessment liens - 1,178,744 175,088 41,121 1,394,953
Total liabilities 1,908,422 736,094 1,178,744 234,956 1,569,435 5,627,649
FUND BALANCES
Reserved for:
Prepaid expense 419,488 - - 30,861 - 450,349
Unreserved, undesignated, reported in:
General Fund 7,338,828 - - - 7,338,828
Special revenue funds - 2,507,978 - 8,589,761 11,097,739
Capital projects fund - - 61,133 106,036 167,169
Debt service funds - 1,114,700 - 258,769 1,373,469
Total fund balances 7,758,316 2,507,978 1,114,700 91,994 8,954,566 20,427,553
Total liabilities and fund balances $ 9,666,738 $3,244,072 $ 2,293,444 $ 326,950 $ 10,524,001
Amounts reported for governmental activities in the Statement
of Net Assets are different because:
Capital assets used in governmental activities are not financial
resources and therefore are not reported in the funds, net
of accumulated depreciation of $56,089,769 190,373,414
Other long-term assets are not available to pay for current-period
expenditures and, therefore are deferred in the funds:
Assessment liens 1,394,953
Property taxes earned but not available 424,031
Internal service funds are used by management to charge the
cost of administrative functions as well as fleet and property
management to individual funds. A portion of the assets and
liabilities of the internal service funds are included in
governmental activities in the statement of activities. (45,065)
Accrued compensated absences are not due and payable in the
current period and therefore are not reported in the funds. (1,022,170)
Long-term liabilities - not reported in the funds:
Bonds, notes payable and other liabilities, not due and
payable in current period (12,067,321)
Accrued interest payable, not due and payable in the current period (269,180)
Net Assets of Governmental Activities $ 199,216,216
The accompanying notes are an integral part of the basic financial statements.
38
CITY OF TIGARD, OREGON
GOVERNMENTAL FUNDS
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE
For the fiscal year ended June 30, 2009
Bancroft Parks Other Total
General Gas Tax Debt Service Capital Governmental Governmental
Fund Fund Fund Fund Funds Funds
REVENUES
Taxes $ 11,476,355 $ $ $ $ 929,525 $ 12,405,880
Franchise fees 3,887,078 - 3,887,078
Special assessments - 87,208 - 87,208
Licenses and permits 647,461 - 634,977 1,282,438
Intergovernmental revenues 5,568,542 1,992,000 - 7,560,542
Charges for services 534,163 2,186 2,000,241 2,536,590
Fines and forfeitures 804,128 - - - 804,128
Interest earnings 323,492 126,837 86,813 44,099 349,141 930,382
Miscellaneous 46,021 111,168 237,611 118,592 513,392
Total revenues 23,287,240 2,232,191 174,022 281,710 4,032,477 30,007,640
EXPENDITURES
Current operating:
Community services 18,214,907 - - - - 18,214,907
Public works 3,463,390 - - 3,463,390
Development services 4,566,264 740,204 1,877,887 7,184,355
Policy and administration 907,661 - - - - 907,661
General government 796,995 796,995
Debt service: -
Principal - 23,100 235,690 536,063 794,853
Interest - - 49,191 42,363 438,849 530,403
Capital outlay 44,083 884,032 - 136,841 2,875,825 3,940,781
Total expenditures 27,196,305 1,624,236 72,291 414,894 6,525,619 35,833,344
Excess (deficiency) of revenues
over (under) expenditures (3,909,065) 607,955 101,731 (133,184) (2,493,142) (5,825,705)
OTHER FINANCING SOURCES (USES)
Transfers in 1,706,781 - - 1,635,547 3,342,328
Loans to CCDA (323,616) (323,616)
Transfers out (509,841) (905,662) (618,148) (2,033,651)
Total other financing sources (uses 873,324 (905,662) 1,017,399 985,061
Net change in fund balances (3,035,741) (297,707) 101,731 (133,184) (1,475,743) (4,840,644)
Fund balances - beginning 10,794,057 2,805,685 1,012,969 225,178 10,430,310 25,268,198
Fund balances - ending $ 7,758,316 $ 2,507,978 $ 1,114,700 $ 91,994 $ 8,954,567 $ 20,427,554
The accompanying notes are an integral part of the basic financial statements.
39
CITY OF TIGARD, OREGON
RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND
BALANCES OF GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES
For the fiscal year ended June 30, 2009
Net change in fund balances-total governmental funds $ (4,840,644)
Amounts reported for governmental activities in the
Statement of Activities are different because:
Governmental funds report capital outlays as expenditures
while governmental activities report depreciation expense to
allocate those expenditures over the life of the assets. This is
the amount by which capital outlay exceeded depreciation
in the current period.
Expenditures for capital assets 4,972,702
Less current year depreciation (4,064,786) 907,916
Revenues in the Statement of Activities that do not
provide current financial resources are not reported
as revenues in the funds.
Property taxes 120,661
Assessment liens (131,083) (10,422)
Repayment of bond principal is an expenditure in the
governmental funds, but the repayment reduces long-term
liabilities in the Statement of Net Assets.
by which proceeds exceeded repayments.
Principal payments 794,853
Some expenses reported in the Statement of Activities
do not require the use of current financial resources
and therefore are not reported as expenditures in
governmental funds.
Compensated absences 187,667
Accrued interest on debt 3,578 191,245
Internal service funds are used by management to charge the
cost of administrative functions as well as fleet and property
management to individual funds. The net revenue of a portion
of internal service funds is reported with governmental activities.
Change in Net Assets - Internal Service Funds (705,873)
Less amount attributable to Business-Type Activities 176,468 (529,405)
Change in Net Assets of Governmental Activities $ (3,486,458)
The accompanying notes are an integral part of the basic financial statements.
40
CITY OF TIGARD, OREGON
PROPRIETARY FUNDS
STATEMENT OF NET ASSETS
June 30, 2009
Business-type Activities Governmental
Enterprise Funds Activities
Internal
Sanitary Storm Service
Sewer Sewer Water Totals Funds
ASSETS
Current assets:
Cash and investments $ 9,372,553 $ 2,394,472 $ 7,105,751 $ 18,872,776 $ 472,294
Accounts receivable 1,267,799 317,569 1,367,536 2,952,904 16,162
Prepaid expenses - - - - 96,325
Inventory 6,079 6,079 14,134
Total current assets 10,640,352 2,712,041 8,479,366 21,831,759 598,915
Noncurrent assets:
Capital assets:
Land and construction in process 77,396 415,174 14,999,641 15,492,211 -
Other capital assets (net of accumulated depreciation) 15,996,140 11,460,637 28,643,442 56,100,219 -
Total noncurrent assets 16,073,536 11,875,811 43,643,083 71,592,430 -
Total assets 26,713,888 14,587,852 52,122,449 93,424,189 598,915
LIABILITIES
Current liabilities:
Accounts payable and accrued liabilities 1,047,431 129,548 537,336 1,714,315 410,910
Customer deposits - 4,754 39,601 44,355 -
Unearned revenue 1,058 - - 1,058 -
Accrued compensated absences 8,725 12,836 45,221 66,782 186,068
Total current liabilities 1,057,214 147,138 622,158 1,826,510 596,978
Noncurrent liabilities:
Accrued compensated absences 2,908 4,279 15,074 22,261 62,023
Long-term debt - - 2,853,868 2,853,868 -
Total noncurrent liabilities 2,908 4,279 2,868,942 2,876,129 62,023
Total liabilities 1,060,122 151,416 3,491,100 4,702,638 659,001
NET ASSETS
Invested in capital assets, net of related debt 16,073,536 11,875,811 40,789,215 68,738,562 -
Restricted for capital projects 3,783,324 - - 3,783,324 -
Unrestricted 5,796,906 2,560,625 7,842,134 16,199,665 (60,086)
Total net assets $ 25,653,766 $ 14,436,436 $ 48,631,349 88,721,551 $ (60,086)
Adjustment to reflect the consolidation of internal service fund activities related to enterprise funds. (15,022)
Net assets of business-type activities $ 88,706,530
The accompanying notes are an integral part of the basic financial statements.
41
CITY OF TIGARD, OREGON
PROPRIETARY FUNDS
STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN FUND NET ASSETS
For the fiscal year ended June 30, 2009
Business-type Activities Governmental
Enterprise Funds Activities
Internal
Sanitary Storm Service
Sewer Sewer Water Totals Funds
OPERATING REVENUES
Service charges $ 1,348,750 $ 1,484,627 $ 7,417,827 $ 10,251,204 $ 5,803,364
Miscellaneous 10,052 162,142 172,194 112,683
Total operating revenues 1,348,750 1,494,679 7,579,969 10,423,398 5,916,047
OPERATING EXPENSES
Salaries and wages 356,335 527,690 1,279,022 2,163,047 3,966,317
Contracted services 5,177 296,712 2,917,647 3,219,536 1,185,383
General, administrative and other 296,104 276,799 834,615 1,407,518 1,487,085
Depreciation 668,583 419,498 1,365,391 2,453,472
Services performed by other funds 271,214 399,941 1,227,803 1,898,958 -
Total operating expenses 1,597,413 1,920,640 7,624,478 11,142,531 6,638,785
Operating income (loss) (248,663) (425,961) (44,509) (719,133) (722,738)
NONOPERATING REVENUES
Investment revenue 314,924 90,080 244,227 649,231 16,865
System development revenue 63,682 - 196,118 259,800 -
Total non-operating revenue 378,606 90,080 440,345 909,031 16,865
Net income before contributions (loss) 129,943 (335,881) 395,836 189,898 (705,873)
Capital contributions - 574,860 - 574,860
Transfers in - - 109,841 109,841
Change in net assets 129,943 238,979 505,677 874,599 (705,873)
Net assets--beginning 25,523,823 14,197,457 48,125,672 645,787
Net assets--ending $ 25,653,766 $ 14,436,436 $ 48,631,349 $ (60,086)
Adjustment to reflect the consolidation of internal service fund activities related to enterprise funds. (176,468)
Change in net assets of business-type activities $ 698,131
The accompanying notes are an integral part of the basic financial statements.
42
CITY OF TIGARD, OREGON
PROPRIETARY FUNDS
STATEMENT OF CASH FLOWS
For the fiscal year ended June 30, 2009
Governmental
Business-type Activities - Enterprise Funds Activities
Sanitary Storm Internal
Sewer Sewer Water Totals Service Funds
CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers $ 1,289,235' $ 1,447,523' $ 7,242,723' $ 9,979,481 $ 5,792,606
Payments to suppliers (147,549) (517,361) (4,207,877) (4,872,787) (2,884,489)
Payments to employees (389,748) (541,376) (1,333,114) (2,264,238) (3,870,485)
Other receipts 10,052 162,142 172,194 112,682
Internal activity-payments to other funds (271,214) (399,941) (1,227,803) (1,898,958) -
Net cash provided (used) by operating activities 480,724 (1,103) 636,071 1,115,692 (849,686)
CASH FLOWS FROM CAPITAL AND RELATED
FINANCING ACTIVITIES
System development revenue 63,682 196,118 259,800
Note proceeds - 2,853,868 2,853,868
Capital asset proceeds from other funds 109,841 109,841
Acquisition of capital assets (282,070) (459,251) (4,331,511) (5,072,832)
Net cash (used) by capital and related
financing activities (218,388) (459,251) (1,171,684) (1,849,323) -
CASH FLOWS FROM INVESTING ACTIVITIES
Interest earnings 314,924 90,080 244,227 649,231 16,865
Net increase (decrease) in cash and cash equivalents 577,260 (370,274) (291,386) (84,400) (832,821)
Cash and investments--beginning of the year 8,795,293 2,764,746 7,397,137 18,957,176 1,305,115
Cash and investments--end of the year $ 9,372,553 $ 2,394,472 $ 7,105,751 $ 18,872,776 $ 472,294
RECONCILIATION OF OPERATING INCOME (LOSS) TO
NET CASH PROVIDED BY OPERATING ACTIVITIES
Operating income (loss) $ (248,663) $ (425,961) $ (44,509) $ (719,133) $ (722,738)
Adjustments to reconcile operating income to net cash
provided by operating activities:
Cash flows reported in other categories:
Depreciation expense 668,583 419,498 1,365,391 2,453,472
Change in assets and liabilities:
Receivables (59,515) (37,104) (176,793) (273,412) (10,758)
Prepaid expenses (62,179)
Inventory - - 9,728
Accounts payable and accrued liabilities 153,732 56,150 (455,615) (245,733) (159,571)
Accrued compensated absences (26,805) (11,568) (54,092) (92,465) 95,832
Unearned revenue (6,608) - (6,608) -
Customer deposits - (2,118) 1,689 (429) -
Net cash provided (used) by operating activities $ 480,724 $ (1,103) $ 636,071 $ 1,115,692 $ (849,686)
The accompanying notes are an integral part of the basic financial statements.
43
CITY OF TIGARD, OREGON
STATEMENT OF PLAN NET ASSETS
PENSION TRUST FUND
June 30, 2009
Assets
Cash and cash equivalents $ 4,696,569
Corporate bonds 1,690,384
Corporate stocks 6,275,918
Total assets 12,662,871
Net assets held in trust for pension benefits $ 12,662,871
STATEMENT OF CHANGES IN PLAN NET ASSETS
PENSION TRUST FUND
For the fiscal year ended June 30, 2009
Additions:
Contributions - employer $ 1,393,091
Contributions - employee 10,356
Investment income (2,142,593)
Total additions (739,146)
Deductions:
Benefit payments and withdrawals (604,986)
Decrease in net assets (1,344,132)
Net assets held in trust for pension benefits
Beginning of year 14,007,003
End of year $ 12,662,871
The accompanying notes are an integral part of the basic financial statements.
44
Notes to Basic Financial Statements
45
TIGARD
46
City of Tigard, Oregon
Notes to Basic Financial Statements
1. Summary of Significant Accounting Policies:
The City of Tigard, under its Charter of 1961, is governed by an elected mayor and
four council members who comprise the City Council. The City Council appoints a
City Manager, who acts as the administrative head of government for the City.
In accordance with GASB Statement No. 14, The Financial Reporting Entity, the
activities of the Tigard Urban Renewal Agency (the Agency) are included in the City's
financial statements as a blended component unit. The Agency is a legally separate
entity, which is governed by a board comprised of the City Council, as stipulated in
the bylaws. The Council has the ability to impose its will on the Agency as
determined on the basis of budget adoption, taxing authority, and funding. The
purpose of the Agency is to undertake urban renewal projects and activities pursuant
to the City's downtown redevelopment plan. The financial results of the Agency are
reported herein as a debt service fund and a capital projects fund. The Agency also
prepares a separate component unit financial report that may be obtained from the
Agency's administrative offices at 13125 SW Hall Blvd., Tigard, Oregon 97223.
The financial statements of the City have been prepared in accordance with accounting
principles generally accepted in the United States of America (GAAP). GAAP
statements include all relevant GASB pronouncements. For purposes of the
government-wide and proprietary fund financial statements, the City has elected not to
apply private-sector standards of accounting and financial reporting issued after
November 30, 1989, unless specifically adopted by GASB pronouncements. The City
applies the provisions of all applicable GASB Statements that define requirements and
the reporting model for the annual financial reports of state and local governments.
The City has recorded capital and certain other long-term assets and liabilities in the
statement of net assets, reported all revenues and the cost of providing services under
the accrual basis of accounting in the statement of activities, and uses the direct method
of reporting cash flows.
Basic Financial Statements
Basic financial statements are presented at both the government-wide and fund
financial level. Both levels of statements categorize activities as either governmental or
business-type. Governmental activities, which are normally supported by taxes and
intergovernmental revenues, are reported separately from business-type activities,
which rely to a significant extent on fees and charges for support.
Government-wide financial statements display information about the City as a whole.
For the most part, the effect of interfund activity has been removed from these
statements. These statements focus on the sustainability of the City as an entity and
the change in aggregate financial position resulting from the activities of the fiscal year.
47
City of Tigard, Oregon
Notes to Basic Financial Statements
1. Summary of Significant Accounting Policies, Continued:
These aggregated statements consist of the Statement of Net Assets and the Statement
of Activities.
The Statement of Activities demonstrates the degree to which the direct expenses of a
given function or segment are offset by program revenues. Direct expenses are those
that are clearly identifiable with a specific function or segment. Program revenues
include 1) charges to customers or applicants who purchase, use, or directly benefit
from goods, services or privileges provided by a given function or segment, and 2)
grants and contributions that are restricted to meeting the operational or capital
requirements of a particular function or segment. Indirect expenses are recovered
through internal service fund charges. These indirect expenses are allocated based on a
full-cost approach, thereby allocating indirect expenses among functions with the
objective of allocating all expenses. Taxes and other items not properly included
among program revenues are reported instead as general revenues.
Separate financial statements are provided for governmental funds, proprietary funds,
and the pension trust fund, even though the pension trust fund is excluded from the
government-wide financial statements. Major individual governmental funds and
major individual enterprise funds are reported as separate columns in the fund financial
statements.
Fund financial statements display information at the individual fund level. Each fund
is considered to be a separate accounting entity. Funds are classified and summarized
as governmental, proprietary, or fiduciary.
Currently, the City has governmental, proprietary, and fiduciary fund types. Non-
major funds are combined into a single column in the basic financial statements and
are detailed in the supplemental information.
Basis of Presentation
The financial transactions of the City are recorded in individual funds. Each fund is
accounted for by providing a separate set of self-balancing accounts that comprises its
assets, liabilities, fund equity, revenues and expenditures/expenses.
Professional standards set forth minimum criteria (percentage of the assets, liabilities,
revenues or expenditures/expenses or either fund category or the governmental and
enterprise combined) for the determination of major funds. The City electively added
funds as major funds, which either had debt outstanding or specific community focus.
Non-major funds are combined in a column in the fund financial statements and
detailed elsewhere in the financial report.
48
City of Tigard, Oregon
Notes to Basic Financial Statements
1. Summary of Significant Accounting Policies, Continued:
Measurement Focus and Basis of Accounting
Measurement focus is a term used to describe which transactions are recorded within
the various financial statements. Basis of accounting refers to when transactions are
recorded regardless of the measurement focus.
The government-wide, proprietary fund, and fiduciary fund financial statements are
presented on a full accrual basis of accounting with an economic resource
measurement focus. An economic resource focus concentrates on an entity or fund's
net assets. All transactions and events that affect the total economic resources (net
assets) during the period are reported. An economic resources measurement focus is
inextricably connected with full accrual accounting. Under the full accrual basis of
accounting, revenues are recorded when earned and expenses are recorded at the time
liabilities are incurred, regardless of the timing of related cash inflows and outflows.
Governmental funds financial statements are presented on a modified accrual basis of
accounting with a current financial resource measurement focus. This measurement
focus concentrates on the fund's resources available for spending currently or in the
near future. Only transactions and events affecting the fund's current financial
resources during the period are reported.
Similar to the connection between an economic resource measurement focus and full
accrual accounting, a current financial resource measurement focus is inseparable from
a modified accrual basis of accounting. Under modified accrual accounting, revenues
are recognized as soon as they are both measurable and available. Revenues are
considered to be available when they are collectible within the current period or soon
enough thereafter to pay liabilities of the current period. For this purpose, the City
considers revenues to be available if they are collected within 60 days of the end of the
current fiscal year. Expenditures generally are recorded when a liability is incurred, as
under accrual accounting. Property taxes, intergovernmental and interest associated
with the current fiscal period are all considered to be susceptible to accrual and so have
been recognized as revenues of the current fiscal period. Only the portion of special
assessments receivable due within the current fiscal period is considered susceptible to
accrual as revenue of the current period. All other revenues are considered to be
measurable and available only when cash is received by the City.
A deferred revenue liability arises in the governmental funds balance sheet when
potential revenue does not meet both the measurable and available criteria for
recognition in the current year. This unavailable deferred revenue consists primarily
of uncollected property taxes and assessments not deemed available to finance
operation of the current period. In the government-wide Statement of Activities, with
49
City of Tigard, Oregon
Notes to Basic Financial Statements
1. Summary of Significant Accounting Policies, Continued:
a full accrual basis of accounting, revenue must be recognized as soon as it is earned
regardless of its availability.
Thus, the liability created on the governmental fund balance sheet for unavailable
deferred revenue is eliminated. Note that deferred revenues also arise outside the scope
of measurement focus and basis of accounting, such as when the City receives
resources before it has a legal claim to them. For instance, when grant monies are
received prior to the incurrence of qualifying expenditures.
Similar to the way revenues are recorded, governmental funds only record those
expenditures that affect current financial resources. Principal and interest on general
long-term debt is recorded as a fund liability only when due, or to the extent that it is
expected to be liquidated with expendable financial resources. However in the
government-wide financial statements with full accrual basis of accounting, all
expenditures affecting the economic resource status of the government must be
recognized. Thus, the expense and related accrued liability for long-term portions of
debt and compensated absences must be included.
Since the governmental fund statements are presented on a different measurement
focus and basis of accounting than the government-wide statements' governmental
column, a reconciliation is necessary to explain the adjustments needed to transform
the fund based financial statements into the governmental column of the government-
wide presentation. This reconciliation is part of the basic financial statements.
Amounts reported as program revenues include 1) charges to customers or applicants
for goods, services, or privileges provided, 2) operating grants and contributions and 3)
capital grants and contributions. Internally dedicated resources are reported as general
revenues rather than as program revenues. Likewise, general revenues include all taxes.
Proprietary funds distinguish operating revenues and expenses from non-operating
items. Operating revenues and expenses generally result from providing services, and
producing and delivering goods in connection with a proprietary fund's principal
ongoing operations. The principal operating revenues of the City's Sanitary Sewer,
Storm Sewer and Water Funds are charges to customers for sales and services. The
Sanitary Sewer, Storm Sewer and Water Funds also recognize fees intended to recover
the cost of connecting new customers to the City's utility systems as operating
revenues. Operating expenses for enterprise funds include the cost of sales and
services, administrative expenses and overheads, and depreciation on capital assets. All
revenues and expenses not meeting this definition are reported as non-operating
revenues and expenses.
50
City of Tigard, Oregon
Notes to Basic Financial Statements
1. Summary of Significant Accounting Policies, Continued:
The fiduciary fund accounts for the resources held by the City in a custodial capacity,
on behalf of the employees of the City.
When both restricted and unrestricted resources are available for use, it is the City's
policy to use restricted resources first, then unrestricted resources as they are needed.
Assets, Liabilities, and Equity
Receivables and Payables
Property taxes are levied and become a lien on July 1. Collection dates are November
15, February 15, and May 15 following the lien date. Discounts are allowed if the
amount due is received by November 15 or February 15. Taxes unpaid and
outstanding on May 16 are considered delinquent.
Inventories
Inventories of parts, materials and supplies are stated at cost on the first-in, first-out
basis in the proprietary funds. The purchases method is used in accounting for
inventory for all funds on the budgetary basis. The consumption method is used for
the government-wide presentation as well as the proprietary funds and business-type
activities.
Capital Assets
Capital assets, which include property, plant, equipment, and infrastructure assets (e.g.
roads, pathways, street lights, etc.) are reported in the applicable governmental or
business type activities columns in the government-wide financial statements.
Capital assets are charged to expenditures as purchased or constructed in the
governmental fund statements, and capitalized in the proprietary fund statements.
Capital assets are recorded at historical cost or estimated historical cost. Donated
assets are recorded at estimated fair market value as of the date of the donation.
Capital assets are defined by the City as assets with an initial, individual cost of $5,000
or more, and an estimated useful life of greater than one year. Additions or
improvements and other capital outlays that significantly extend the useful life of an
asset, or that significantly increase the capacity of an asset are capitalized. Other costs
for repairs and maintenance are expensed as incurred.
51
City of Tigard, Oregon
Notes to Basic Financial Statements
1. Summary of Significant Accounting Policies, Continued:
Depreciation on exhaustible assets is recorded as an allocated expense in the Statement
of Activities with accumulated depreciation reflected in the Statement of Net Assets
and is provided on the straight-line basis over the following estimated useful lives:
Asset Years
Buildings and improvements 25-40
Improvements other than buildings 10-20
Machinery and equipment 540
Vehicles 540
Utility systems 25-40
Infrastructure 20-40
Accrued Compensated Absences and Sick Pay
It is the City's policy to permit employees to accumulate earned but unused vacation
and sick pay benefits. There is no liability for unpaid accumulated sick leave, since the
City does not have a policy to pay any amounts when employees separate from the
City. All vacation pay is accrued when incurred in the government-wide and
proprietary fund financial statements. A liability for these amounts is reported in the
governmental funds only when it has matured, for example, as result of employee
resignations or retirements. At June 30, 2009 there were no governmental fund
liabilities for accrued compensated absences.
Interfund Transfers
Interfund transfers are used to pay administrative services on behalf of funds that do
not have administration in the fund, provide funds for debt service, contribute toward
the cost of capital projects, and comply with Oregon Budget Law. Transfers for fiscal
year ended June 30, 2009 are as follows:
Transfers
From Other Transfers to
Funds Other Funds
General Fund $ 1,706,781 $ 4,735,657
Gas Tax Fund - 1,050,103
Internal Service Funds 3,904,407 -
Nonmajor Governmental Funds 1,341,766 1,167,194
$ 6,952,954 $ 6,952,954
52
City of Tigard, Oregon
Notes to Basic Financial Statements
1. Summary of Significant Accounting Policies, Continued:
Long-term Debt
In the government-wide financial statements, and proprietary fund types in the fund
financial statements, long-term debt and other long-term obligations are reported as
liabilities in the applicable governmental activities, business-type activities, or
proprietary fund type in the Statement of Net Assets. Bond premiums and discounts
are deferred and amortized over the life of the bonds. Bonds payable are reported net
of the applicable bond premium or discount. Bond issuance costs, which are
immaterial, are treated as period costs in the year of issue and are shown as other
financing uses.
In the fund financial statements, governmental fund types recognize bond premiums
and discounts, as well as bond issuance costs, during the current period. The face
amount of debt issued is reported as other financing sources while discounts on debt
issuances are reported as other financing uses. Issuance costs, whether or not withheld
from the actual debt proceeds received, are reported as debt service expenditures.
Fund Equity
In the fund financial statements, governmental funds report reservations of fund
balance for amounts that are not available for appropriation or are legally restricted by
outside parties for use for a specific purpose. Designations of fund balance represent
tentative management plans that are subject to change. The City currently has no
designations of fund balance.
Use of Estimates
In preparing the City's financial statements, management is required to make estimates
and assumptions that affect the reported amounts of assets and liabilities, the disclosure
of contingent assets and liabilities at the date of the financial statements, and the
reported amounts of revenues and expenses/expenditures during the reporting period.
Actual results could differ from those estimates.
Cash and Investments
Investments included in cash and investments are stated at cost, which is approximate
to the fair value. Investments in the pension trust fund are stated at fair value.
For purposes of the statement of cash flows, the City considers the proprietary funds'
cash and investments with initial maturities to the City of three months or less, and
the amounts in the Oregon State Treasurer's Investment Pool, to be cash equivalents.
53
City of Tigard, Oregon
Notes to Basic Financial Statements
1. Summary of Significant Accounting Policies, Continued:
Budget
A budget is prepared for each fund, except for the Pension Trust Fund, essentially in
accordance with the modified accrual basis of accounting used by governmental funds,
which is in accordance with the legal requirements of Oregon Local Budget Law.
The resolution authorizing appropriations sets the maximum level of expenditures for
each fund. Appropriations may not be legally over expended. Appropriations lapse
at the end of each fiscal year. Appropriations are made at the major program level for
each fund, for example, Community Services, Public Works, Development Services,
Policy and Administration, General Government, Debt Service, Capital
Improvements and Contingency. The detail budget document is required to contain
more detailed information for the above-mentioned expenditure categories. Budget
amounts include original approved amounts and all subsequent appropriation
transfers approved by the City Council. After budget approval, the City Council
may approve supplemental budgeted appropriations if an occurrence, condition, or
need exists which had not been ascertained at the time the budget was adopted. A
supplemental budget may require hearings before the public, publications in
newspapers and approval by the City Council. Original and supplemental budgets
may be modified by the use of appropriations transfers between the levels of control.
Such transfers require approval by the City Council. Management may not amend
the budget without Council approval.
The budgets for each of the funds include capital outlay appropriations.
Debt service is also budgeted separately. For GAAP presentation, the transfers from
operating funds for services provided by the internal service funds and the General
Fund are considered revenues and expenses/expenditures, as appropriate, but are
considered to be interfund transfers for budgetary purposes.
Excess of Expenditures over Appropriations
The Gas Tax Fund had expenditures in excess of related appropriations. The over
expenditures in the amount of $23,499 were in development services and were all
funded through the available fund balance.
54
City of Tigard, Oregon
Notes to Basic Financial Statements
2. Fund Types:
The City's financial operations are accounted for in the following funds:
Governmental Funds
Governmental funds finance most governmental functions of the City. The
acquisition, use and balances of the City's expendable financial resources and the
related liabilities, excluding those accounted for in proprietary funds, are accounted
for through governmental funds. The measurement focus is upon determination of
changes in current financial resources, rather than upon net income determination.
The following are the City's major governmental funds:
General Fund - This fund accounts for the City's general operations. It is used
to account for all transactions not specifically required to be accounted for in
the City's other funds.
Gas Tax Fund - This fund records shared revenues from the State and County
taxes on the sale and use of motor vehicle fuel. Funds are used for
construction, reconstruction, improvement, repair, maintenance, operation and
use of public highways, roads, streets, and roadside rest areas. Monies may also
be used for street lighting and cleaning, storm drainage, traffic control devices
and administration costs.
Bancroft Debt Service Fund - This fund accounts for the payment of
Bancroft improvement bond principal and interest. The sources of revenue are
the collection of assessments against benefited property, interest and
contributions from other funds for their share of costs.
Parks Capital Fund- This fund accounts for the expenditure of system
development charge monies for major improvements to recreational facilities
within the City.
Proprietary Funds
Proprietary funds are used to account for the acquisition, operation and maintenance
of sewer, storm drainage, and water systems in the City. These funds are entirely or
predominantly self-supported through user charges to customers. The measurement
focus is upon net income determination, rather than upon determination of changes
in current financial resources. The following are the City's major proprietary funds:
55
City of Tigard, Oregon
Notes to Basic Financial Statements
2. Fund Types, Continued:
Proprietary Funds, Continued:
Enterprise Funds:
Sanitary Sewer Fund - This fund accounts for the City's sewer utility
operations.
Storm Sewer Fund - This fund accounts for the City's storm drainage
operations which consists of the following two budgetary funds: Storm Sewer
Fund and Water Quality/Quantity Fund.
Water Fund - This fund accounts for the City's water operations which
consists of the following three budgetary funds: Water Fund, Water SDC
Fund and Water CIP Fund.
Additionally, the City reports the following fund type. Neither of these funds are
major funds:
Internal Service Funds:
Central Services Fund - This fund accounts for the central administrative
functions within the City which are generally allocated to other funds.
Fleet/Property Management Fund - This fund accounts for all activity
related to the Fleet Maintenance and Property Management divisions in the
City.
Fiduciary Fund:
Pension Trust Fund - This fund accounts for the City's employee defined
contribution pension plan.
Nonmajor Governmental Funds
Other governmental funds include nonmajor special revenue, debt service, and
capital projects funds of the City. The following lists all other governmental funds
by governmental fund type:
Special Revenue Funds:
Traffic Impact Fee Fund
Electrical Inspection Fund
Underground Utility Fund
Criminal Forfeiture Fund
Insurance Fund
56
City of Tigard, Oregon
Notes to Basic Financial Statements
2. Fund Types, Continued:
Building Fund
Urban Services Traffic Impact Fee Fund
Urban Services Fund
Street Maintenance Fee Fund
Parks System Development Charge Fund
City Gas Tax Fund
Library Fund
Tree Replacement Fund
Debt Service Funds:
General Obligation Debt Service Fund
Urban Renewal Debt Service Fund
Capital Projects Funds:
Facility Fund
Urban Renewal Capital Projects Fund
3. Cash and Investments:
The City maintains a cash and investment pool that is available for use by all funds,
except the Pension Trust Fund. Each fund type's portion of this pool is displayed on
the combined balance sheet as "cash and investments". The investments of the
Pension Trust Fund are held separately from those of other City funds.
Cash and investments are comprised of the following at June 30, 2009:
Cash on hand $ 9,306
Cash held by Department of Finance, Washington County 55,981
Deposits with financial institutions 4,603,674
Investments 37,360,314
Total cash and investments $ 42,029,275
Deposits
Deposits with financial institutions include bank demand deposits and time deposit
accounts. The total bank balance is $5,313,073 (book balance is $4,603,674). Of these
deposits, $500,000 was covered by federal depository insurance and $4,813,073 was
collateralized in accordance with Oregon statutes.
57
City of Tigard, Oregon
Notes to Basic Financial Statements
3. Cash and Investments, Continued:
Investments
State statutes authorize the City to invest primarily in general obligations of the U.S.
government and its agencies, certain bonded obligations of Oregon municipalities,
bank repurchase agreements, bankers' acceptances, certain commercial paper and the
State of Oregon Local Government Investment Pool.
Interest rate risk. In accordance with its investment policy, the City manages its
exposure to declines in fair value by limiting the individual maturities in its
investment portfolio to eighteen months or less. The City does have a provision in
its investment policy that up to twenty percent of the portfolio can have maturities
from eighteen months to thirty-six months.
Custodial credit risk - investments. For an investment, this is the risk that, in the
event of failure of the counterparty, the City will not be able to recover the value of
its investments or collateral securities that are in the possession of an outside party.
All of the City's investments, except for the investment in the Local Government
Investment Pool, which is not evidenced by securities, are held in safekeeping by the
financial institution counterparty in the financial institution's general customer
account name.
The City participates in the Oregon State Treasurer's Local Government Investment
Pool (LGIP), an open-ended; no-load diversified portfolio created under ORS 294.805
to 294.895 that is not registered with the U.S, Securities and Exchange Commission as
an investment company. The LGIP is administered by the State Treasurer and the
Oregon Investment Council with the advice of the Oregon Short-Term Fund Board.
These funds must be invested and managed, as a prudent investor would, exercising
reasonable care, skill and caution. The Oregon Audits Division of the Secretary of
State's Office audits the LGIP annually. The City's fair value of its position in the
LGIP is the same as the value of the pool shares.
The City employees participate in a defined contribution pension plan. These funds
are recorded in the City's Pension Trust Fund. The balance at June 30, 2009 is
$12,662,871. This balance is not included in the government-wide or fund financial
statements, but is shown separately on page 28.
58
City of Tigard, Oregon
Notes to Basic Financial Statements
3. Cash and Investments, Continued:
As of June 30, 2009, the City had the following investments:
Percentage of
Investment Tyne Fair Value Cost Portfolio
State Treasurer's Local
Government Investment Pool $ 15,353,875 $ 15,353,875 41.10%
Money markets 5,717,110 5,717,110 15.30%
U.S. Government Securities 4,831,113 4,831,113 12.93%
Municipal bonds - - 0.00%
Corporate bonds 11,458,216 11,458,216 30.67%
Total Investments $ 37,360,314 $ 37,360,314 100.00%
Concentration of credit risk: The City's policy for investing in individual issuers
varies depending on the type of investments. Agency securities are restricted to no
more than 90 percent of the total portfolio. Municipal bonds are restricted to no
more than 25 percent of the total portfolio. No more the 35 percent of the total
portfolio of investments may be invested in corporate bonds. Investments in
corporate bonds of any one issuer may not exceed 5 percent of the investment
portfolio.
Credit risk: The City's policy, which adheres to State of Oregon law, is to limit its
Corporate and Municipal investments to the following: Issuers within Oregon must
be rated "A" (bonds) or A-2 / P-2 (commercial paper) or better by Standard and
Poor's, Moody's Investors Service or any other nationally recognized statistical rating
organization. Issuers not in Oregon must be rated AA / Aa (bonds) or A-1 / P-1
(commercial paper) or better.
At June 30, 2009, the City's investments were rated as follows:
Highest Rating from
Moody's Investors Service or Standard & Poor's Corporation
Investment Type Total Aaa / AAA Aa / AA Not Rated
LGIP $ 15,353,875 $ $ $ 15,353,875
Money markets 5,717,110 5,717,110
US Govn't securities 4,831,113 4,831,113 -
Corporate bonds 11,458,216 11,458,216 -
Total $ 37,360,314 $ 16,289,329 $ $ 21,070,985
59
City of Tigard, Oregon
Notes to Basic Financial Statements
3. Cash and Investments, Continued:
The City has a formal investment policy that explicitly limits investment maturities as a
means of managing its exposure to fair value loss arising from increasing interest rates. At
June 30, 2009, the concentration of those maturities included the Local Government
Investment Pool, Money Markets, and investments with average maturities of twelve
months or less at 58.60% of the total portfolio. Investments with maturities between
twelve and eighteen months made up 21.30% of the portfolio and investments with
maturities between eighteen and thirty-six months were 20.10% of the total portfolio.
4. Assessment Liens Receivable:
Assessment liens receivable represent the uncollected amounts levied against benefited
property for the cost of local improvements. Because the assessments are liens against the
benefited property, an allowance for uncollectible amounts is not deemed necessary.
Substantially all assessments are payable over a period of 10 to 20 years. Assessments bear
interest from 5.2 to 9.4 percent. At June 30, 2009, the portion of the assessments
receivable balance that represents delinquent accounts is $2,987.
5. Capital Assets:
Capital asset activity for governmental activities for the year ended June 30, 2009 was
as follows:
60
City of Tigard, Oregon
Notes to Basic Financial Statements
5. Capital Assets, Continued:
Balances Balances
June, 30 Reclassifications June, 30
2008 Additions Adjustments Retirements 2009
Non-depreciable
Land $ 7,604,017 $ - $ - $ - $ 7,604,017
Construction in progress 2,616,977 3,071,543 (741,467) (8,145) 4,938,908
Total non-depreciable 10,220,994 3,071,543 (741,467) (8,145) 12,542,925
Depreciable
Building and improvements 20,930,588 279,525 21,210,113
Land improvements 6,670,333 72,042 6,742,375
Machinery and equipment 1,826,500 198,820 2,025,320
Autos and trucks 2,364,139 288,434 - 2,652,573
Office equipment 633,416 146,485 741,467 1,521,368
Infrastructure 206,630,370 1,172,086 - 207,802,456
Total depreciable 239,055,346 2,157,392 741,467 241,954,205
Accumulated depreciation
Building and improvements (3,697,850) (500,062) - (4,197,912)
Land improvements (5,019,298) (172,212) (5,191,510)
Machinery and equipment (1,430,260) (153,912) (1,584,172)
Autos and trucks (1,546,697) (311,702) (1,858,399)
Office equipment (446,161) (64,016) (510,177)
Infrastructure (47,918,665) (2,862,882) (50,781,547)
Total accumulated depreciation (60,058,931) (4,064,786) (64,123,717)
Governmental activities
capital assets, net $ 189,217,409 $ 1,164,149 $ $ (8,145) $ 190,373,413
-"'Adjustments column include reclassifications and construction in progress in previous years that were completed
within the current fiscal year.
Depreciation expense for governmental activities is charged to functions as follows:
Community services $ 191,045
Public works 81,296
Developmental services 44,713
Policy and administration 3,747,732
Total depreciation for governmental activities $ 4,064,786
Capital assets activity for business-type activities for the year ended June 30, 2009, was
as follows:
61
City of Tigard, Oregon
Notes to Basic Financial Statements
5. Capital Assets, Continued:
Balances Reclassifications Balances
June 30, 2008 Additions Adjustments June 30, 2009
Non-depreciable
Land $ 4,422,170 $ $ $ 4,422,170
Construction in progress 6,175,130 4,542,268 (8,025) 10,709,373
Total - non-depreciable 10,597,300 4,542,268 (8,025) 15,131,543
Depreciable
Land improvements 360,669 360,669
Buildings and improvements 1,721,032 289,942 2,010,974
Sewer system 22,598,054 183,120 22,781,174
Storm drainage system 15,730,003 522,752 16,252,755
Water system 48,426,191 109,806 48,535,997
Equipment 1,457,985 13,760 (16,385) 1,455,360
Auto and trucks 1,303,984 10,455 1,314,439
Total depreciable 91,597,918 1,129,835 (16,385) 92,711,368
Accumulated depreciation
Land improvements (360,669) (360,669)
Buildings and improvements (535,644) (43,467) (579,111)
Sewer system (6,679,413) (542,098) (7,221,511)
Storm drainage system (4,833,624) (396,088) (5,229,712)
Water system (19,684,930) (1,159,469) (20,844,399)
Equipment (772,733) (172,365) (945,098)
Auto and trucks (929,996) (139,985) (1,069,981)
Total accumulated depreciation (33,797,009) (2,453,472) - (36,250,481)
Business-type activities
capital assets, net $ 68,398,209 $ 3,218,631 $ (24,410) $ 71,592,430
Adjustments column include reclassifications from previous years recording of capital assets.
Depreciation expense for business-type activities is charged to activities as follows:
Sanitary sewer $ 668,583
Storm sewer 419,498
Water 1,365,391
Total depreciation for business-type activities $ 2,453,472
6. Long-term Debt and Other Debt:
General Obligation Bonds payable
Bond transactions for the year ended June 30, 2009, and future maturities of bond
principal and interest, are as follows:
General Obligation bond issues - Original amount was $13,000,000. Funds were used
to build new library. Interest rates from 3 percent to 4.75 percent.
62
City of Tigard, Oregon
Notes to Basic Financial Statements
6. Long-term Debt and Other Debt, Continued:
Fiscal Year Outstanding Paid Outstanding Future
Due June 30, 2008 During Year June 30, 2009 Interest
2009 $ 536,063 $ (536,063) $ - $ -
2010 553,795 553,795 422,768
2011 571,890 - 571,890 404,493
2012 590,281 - 590,281 384,477
2013 613,891 - 613,891 363,227
2014 632,787 - 632,787 340,206
2015-2019 3,573,036 - 3,573,036 1,295,189
2020-2023 3,476,215 - 3,476,215 419,819
$ 10,547,958 $ (536,063) $ 10,011,895 $ 3,630,179
Bancroft Improvement Bonds:
Bancroft improvement bond issues - Interest rates from 3.9 percent to 7.25 percent;
payable first from assessments to benefited properties and second, from the general
credit of the City.
Paid and
Fiscal Year Outstanding Called Outstanding Future
Due June 30, 2008 During Year June 30, 2009 Interest
2009 $ 120,491 $ (23,100) $ 97,391 $ -
2010 126,885 126,885 66,524
2011 133,593 133,593 59,789
2012 140,720 140,720 52,661
2013 148,271 148,271 45,115
2014 67,100 67,100 37,123
2015-2020 564,170 564,170 100,433
$ 1,301,230 $ (23,100) $ 1,278,130 $ 361,645
Bancroft improvement bonds - original amount of $1,307,969 for 69`h Avenue Local
Improvement District and original amount of $1,947,678 for Dartmouth Street Local
Improvement District.
Notes Payable:
Note payable issued January 23, 2003 - Original amount of $2,290,248. Funds were
used for expansion and updating for Cook Park. Interest rates from 3 percent to 4.35
percent; payable from Parks SDC Fund.
63
City of Tigard, Oregon
Notes to Basic Financial Statements
6. Long-term Debt and Other Debt, Continued:
Fiscal Year Outstanding Paid Outstanding Future
Due June 30, 2008 During Year June 30, 2009 Interest
2009 $ 235,690 $ (235,690) $ - $ -
2010 247,318 247,318 32,935
2011 259,053 259,053 22,795
2012 270,925 270,925 11,785
$ 1,012,986 $ (235,690) $ 777,296 $ 67,515
Water line of credit opened June 17, 2009 - Maximum amount is $6,000,000; maturity
date June 30, 2012; interest is a variable rate using either the LIBOR Fixed Rate or the
BBA LIBOR Daily Floating Rate Option. In addition, the City pays a commitment
fee of 0.50% per annum of the unused portion of the line of credit. Water revenues
are pledged for repayment, but the City intends to issue revenue bonds and repay the
line of credit from the bond proceeds in future years. The proceeds from the line of
credit were used to begin funding an intergovernmental agreement with the City of
Lake Oswego for long-term water supply. The amount drawn during the year and
outstanding at June 30, 2009 is $2,853,868.
Other long-term obligations for accrued compensated absences and changes thereto
during the year ended June 30, 2009 are as follows:
Balance Balance Due
June 30, June 30, in current
2008 Additions Retirements 2009 year
Governmental activities:
Compensated absences $ 1,114,006 $ 1,827,554 $ (1,662,629) $ 1,278,931 $ 993,730
Business -type activities:
Compensated absences $ 181,508 $ 96,265 $ (188,731) $ 89,042 $ 70,041
Expenditures for liquidating compensated absences liabilities are recorded in the General, Special
Revenue, Capital Projects, Enterprise, and Internal Service Funds.
7. Transfers:
The City utilizes three types of interfund transfers. The first type is transfers received
for services provided. These transfers are based on a cost allocation plan and are
reflected as expenses of the appropriate activity in the government-wide statements.
The second type of transfer is a transfer of resources. Typically, this transfer is made
to close out funds that are no longer needed for financial reporting. The third type of
transfer is a transfer for direct costs that can be specifically identified and billed
directly to the benefiting fund. These types of transfers are reflected as expenses of
the appropriate activity in the government-wide statements.
64
City of Tigard, Oregon
Notes to Basic Financial Statements
8. Retirement Plans:
The City contributes to retirement plans on behalf of all eligible employees. At June
30, 2009, the following employee groups were covered by the following retirement
plans:
Group Retirement Plan
Management/Professional Staff (Non-union) International City Managers
Association
Retirement Corp. (ICMARC)
Money Purchase Plan
Oregon Public Employees Union Employees ICMARC Money Purchase Plan
Tigard Police Officers State of Oregon Public Employees
Retirement System (OPERS)
Oregon Public Employees Retirement Systems (OPERS)
Plan Description
The City is a participating employer in the Oregon Public Employees Retirement
System (OPERS), a cost sharing multiple-employer public employee retirement
system, established under Oregon Revised Statutes, Section 238.600, which acts as a
common investment and administrative agent for public employers in the State of
Oregon. Substantially all full-time police employees are participants in PERS. The
plan provides retirement, death and disability benefits to participants or their
beneficiaries. Benefits are established by State Statute, and employer contributions
are made at an actuarially determined rate as adopted by the OPERS Retirement
Board. OPERS, a component unit of the State of Oregon, issues a comprehensive
annual financial report, which may be obtained by writing to Oregon Public
Employees Retirement System, P.O. Box 23700, Tigard, Oregon 97281-3700.
Funding Policy
The City's annual required contribution rate, as of the most recent actuarial valuation
of July 1, 2007, is 10.66 percent of covered payroll for Tier I & II employees and 6.03
percent of covered payroll for Oregon Public Service Retirement Plan (OPSRP)
employees. At June 30, 2009 the City had 30 employees in OPSRP.
65
City of Tigard, Oregon
Notes to Basic Financial Statements
8. Retirement Plans, Continued:
The City is required by State Statute to contribute its current employer rate of 10.66
percent and 6.03 percent of covered wages, and has contractually committed to pay
the employee contributions of 6 percent.
Annual Pension Cost
Because all OPERS participating employers are required by law to submit the
contributions as adopted by the OPERS Retirement Board, there is no net pension
obligation to report and the annual contributions are equal to the annual pension
cost. For the fiscal years ended June 30, 2009, 2008 and 2007, the City's annual
pension cost was $604,135, $625,233, and $741,277, respectively.
ICMARC Plans
The City contributes to defined contribution, single employer retirement plans at a
specified percent of gross salary depending on the employment group, for all
employees who are not covered under the Police Pension Plan. Employees do not
make contributions to these plans. The City is required to make contributions to
these plans under authority of City Council resolution and the plan documents.
Employees become eligible to participate in the plans after six months of service and
vest immediately. Employees may withdraw funds upon retirement or termination
of employment.
Contributions to the plans are made to a fiduciary. Since the plans are administered
by the City, the assets, equity and operations of the plans are accounted for in the
General Employees Pension Plan Fund, a pension trust fund. The plans invest in
various money market and equity mutual funds.
Required and actual contributions to the plan were $1,393,091 for the year ended June
30, 2009. Contributions are calculated as a percentage of gross payroll. The
contributions range from 10 to 11 percent for all eligible employees participating in
the plans.
Deferred Compensation Plans
The City offers certain employees deferred compensation plans created in accordance
with Internal Revenue Code Section 457. The plans permit employees to defer a
portion of their salary until future years. Contributions for the plans are made to
fiduciaries who hold the funds in trust for the plans' participants. The deferred
compensation plans are not considered City funds and are excluded from the City's
financial statements.
66
City of Tigard, Oregon
Notes to Basic Financial Statements
9. Transactions with Clean Water Services of Washington County:
The City collects charges for treatment of City sewage on behalf of the Clean Water
Services of Washington County and remits all collections to Clean Water Services,
except for 17.53 percent of sewer service charges collected and 20 percent of
connection charges collected, in accordance with an agreement between the City and
Clean Water Services. Payments of $7,640,117 were made to Clean Water Services
during fiscal year 2009 under this agreement.
The net amount retained by the City is reported as revenue in the enterprise funds in
the proprietary funds statement of revenues, expenses and changes in fund net assets.
Revenues are reported net because the City acts in a fiduciary capacity on behalf of
Clean Water Services.
10. Constitutional Property Tax Limitations:
In November 1990, the Oregon voters approved a State constitutional limit on
property taxes for schools and nonschool government operations. Under the
provisions of the limitation, tax revenues are separated into those for the public
school system and those for local government operations other than the public school
system. The limitation specifies $10 is the maximum allowable tax for each $1,000 of
property real market value imposed by local governments other than the public
school system.
The limitation applies to all state and local taxes and charges on property except for
the following:
1. Incurred charges for goods or services received at the owner's option;
2. Assessments for capital construction that provide a special benefit to the
property and that can be paid off over at least ten years;
3. Taxes to repay bonded debt authorized by the state constitution;
4. Taxes to repay existing bonded debt for capital construction, and
5. Taxes to repay new bonded debt for capital construction if approved by
voters.
During May 1997, Oregon voters approved Measure 50 which limits taxes on each
property by reducing the 1997-98 assessed value of each property to 90 percent of its
1995-96 value. Measure 50 also limits future growth of the taxable value of each
property to 3 percent per year with certain exceptions. Measure 50 also establishes
permanent tax rates for Oregon's local taxing districts, which replace the former tax
base amounts of the districts. Tigard's taxing authority is limited to its permanent
rate of $2.51 per thousand dollars of assessed value.
67
City of Tigard, Oregon
Notes to Basic Financial Statements
10. Constitutional Property Tax Limitations, Continued:
At the beginning of each fiscal year, the Washington County Assessor determines
assessed values of properties in the City. Washington County is responsible for the
levying and collecting the property taxes as well as distributing the tax revenue to all
taxing jurisdictions in the County.
11. Risk Management:
The City is exposed to various risks of loss related to torts; theft of, damage to, and
destruction of assets; errors and omissions; injuries to employees and others; and
natural disasters. The City purchases commercial insurance to deal with substantially
all these risks with nominal deductibles. Settled claims resulting from these risks have
not exceeded commercial insurance coverage in any of the past three fiscal years.
68
Required Supplementary Information
69
70
CITY OF TIGARD, OREGON
GENERAL FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts (Under)
Taxes $ 11,626,766 $ 11,626,766 $ 11,476,355 $ (150,411)
Franchise fees 4,286,183 4,286,183 3,887,078 (399,105)
Licenses and permits 618,150' 618,150 647,461 29,311
Intergovernmental revenues 5,191,972 5,519,158 5,568,542 49,384
Charges for services 1,099,040 1,099,040 534,163 (564,877)
Fines and forfeitures 938,030 938,030 804,128 (133,902)
Interest earnings 268,435 268,435 323,492 55,057
Miscellaneous 57,715 57,715 46,021 (11,694)
Total revenues 24,086,291 24,413,477 23,287,240 (1,126,237)
EXPENDITURES:
Community services 15,774,124 16,102,310 15,584,782 517,528
Public works 3,749,717 3,749,717 2,903,333 846,384
Development services 4,291,631 4,376,546 3,869,713 506,833
Policy and administration 645,599 911,025 782,354 128,671
Contingency 1,000,000 538,818 - 538,818
Capital projects 910,845 910,845 44,083 866,762
Total expenditures 26,371,916 26,589,261 23,184,265 3,404,996
Change in fund balance
before other financing sources (uses) (2,285,625) (2,175,784) 102,975 2,278,759
Other financing sources (uses):
Operating transfer in 2,083,788 2,083,788 1,706,781 (377,007)
Indirect charges (4,979,639) (4,979,639) (4,012,040) 967,599
Loans to CCDA (380,000) (380,000) (323,616) 56,384
Operating transfer out (975,000) (1,084,841) (509,841) 575,000
Total other financing sources (uses) (4,250,851) (4,360,692) (3,138,716) 1,221,976
Change in fund balance (6,536,476) (6,536,476) (3,035,741) 3,500,735
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 10,308,127 10,308,127 10,794,057 485,930
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 3,771,651 $ 3,771,651 $ 7,758,316 $ 3,986,665
71
CITY OF TIGARD, OREGON
GAS TAX FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts (Under)
Federal & State grants $ 526,296 $ 526,296 $ - $ (526,296)
State gas tax 2,213,500 2,213,500 1,807,631 (405,869)
County gas tax - - 184,369 184,369
Street lighting fees 13,000 13,000 2,186 (10,814)
Interest earnings 36,000 36,000 126,837 90,837
Other 1,130,000 1,130,000 110,014 (1,019,986)
Miscellaneous 10,000 10,000 1,154 (8,846)
Total revenues 3,928,796 3,928,796 2,232,191 (1,696,605)
EXPENDITURES:
Development services 532,265 572,265 595,764 (23,499)
Contingency 640,000 600,000 - 600,000
Capital projects 3,357,296 3,357,296 884,032 2,473,264
Total expenditures 4,529,561 4,529,561 1,479,797 3,049,764
Change in fund balance
before other financing sources (uses) 600,765 (600,765) 752,394 1,353,159
Other financing sources (uses):
Operating transfer in 155,500 155,500 - (155,500)
Indirect charges (180,445) (180,445) (144,441) 36,004
Operating transfer out 1,235,685 (1,235,685) 905,662 330,023
Total other financing sources (uses) 1,260,630 (1,260,630) 1,050,103 210,527
Change in fund balance (1,861,395) (1,861,395) (297,708) 1,563,687
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 1,884,139 1,884,139 2,805,685 921,546
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 22,744 $ 22,744 $ 2,507,977 $ 2,485,233
72
CITY OF TIGARD, OREGON
NOTES TO REQUIRED SUPPLEMENTAL INFORMATION
BUDGET TO GAAP RECONCILIATION
For the fiscal year ended June 30, 2009
Sections of Oregon Revised Statutes (Oregon Budget Law) require most transactions the budgeted on
the modified accrual basis of accounting. However, there are certain transactions where statutory
budget requirements conflict with generally accepted accounting principles (GAAP).
The following disucusses the differences between the budget basiss and GAAP basis of accounting for
the General Fund and the Gas Tax Fund:
General Gas Tax
Fund Fund
Net change in fund balance - budget basis
Budgeted resources not qualifying as revenues or other
financing sources under GAAP:
Indirect and other cost reimbursements received are reported
as revenues or other financing sources on a budget basis.
Such receipts are reclassified as a reduction of expenditures
on a GAAP basis. $ (4,012,040) $ (144,440)
Budgeted expenditures not qualifying as expenditures or other
financing sources under GAAP:
Indirect and other costs reimbursed are reported as
expenditures on a budget basis. Such disbursements are
reclassified as a reduction of revenues and other financing
sources on a GAAP basis. 4,012,040 144,440
Net change in fund balance - GAAP basis $ - $ -
73
74
Other Supplementary Information
75
i
76
CITY OF TIGARD, OREGON
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
June 30, 2009
Special Capital Debt
Revenue Projects Service
Funds Funds Funds Total
ASSETS:
Cash and investments $ 9,814,042 $ 109,935 $ 253,498 $ 10,177,475
Accounts receivable 248,111 - - 248,111
Assessment liens receivable 41,121 - 41,121
Taxes receivable 20,191 37,103 57,294
Total assets $ 10,123,465 $ 109,935 $ 290,601 $ 10,524,001
LIABILITIES:
Accounts payable $ 276,989 $ 3,899 $ $ 280,888
Customer deposits 1,215,594 - 1,215,594
Deferred revenues - Property taxes - 31,832 31,832
Deferred revenues - Assessment liens 41,121 - - 41,121
Total liabilities 1,533,704 3,899 31,832 1,569,435
FUND BALANCES -
Unreserved 8,589,761 106,036 258,769 8,954,566
Total liabilities and fund balances $ 10,123,465 $ 109,935 $ 290,601 $ 10,524,001
77
CITY OF TIGARD, OREGON
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
For the fiscal year ended June 30, 2009
Special Capital Debt
Revenue Projects Service
Funds Funds Funds Total
REVENUES:
Property taxes $ - $ $ 929,525 $ 929,525
Licenses and permits 634,977 - 634,977
Intergovernmental revenues - -
Charges for services 2,000,241 - 2,000,241
Interest earnings 331,722 10,067 7,352 349,141
Miscellaneous revenues 118,592 - 118,592
Total revenues 3,085,532 10,067 936,877 4,032,477
EXPENDITURES:
Development services 1,328,842 - 1,328,842
General government 796,995 - 796,995
Debt service - - 974,913 974,913
Capital outlay 2,235,001 640,824 - 2,875,825
Total expenditures 4,360,838 640,824 974,913 5,976,575
Changes in fund balance
before other financing sources (uses; (1,275,305) (630,757) (38,036) (1,944,098)
Other financing sources (uses):
Operating transfer in 911,931 723,616 1,635,547
Indirect charges (549,044) - (549,044)
Operating transfer out (173,543) (444,605) (618,148)
Total other financing sources (uses) 189,344 279,011 468,355
Changes in fund balance (1,085,961) (351,746) (38,036) (1,475,743)
FUND BALANCE - beginning of year 9,675,723 457,782 296,805 10,430,310
FUND BALANCE - end of year $ 8,589,761 $ 106,036 $ 258,769 $ 8,954,567
78
Special Revenue Funds
The balance sheet and statement of revenues, expenditures, and changes in fund balance of the
nonmajor special revenue funds are reported in the combining governmental fund statements. Fund
statements for the major special revenue funds are reported in the basic financial statements.
Schedules of revenues, expenditures, and changes in fund balance - budget and actual are also
presented here for each individual special revenue fund.
Nonmajor Special Revenue Funds:
Electrical Inspection Fund - This fund accounts for fees charged for permits, plan check fees and
inspection of electrical improvements.
Underground Utility Fund - This fund accounts for monies received from developers for future
underground utility improvements.
Criminal Forfeiture Fund - This fund accounts for funds and property seized from criminals in
connection with crimes committed prior to passage of Ballot Measure 3
Insurance Fund - Records refunds of prior years workers' compensation premiums and other
insurance related revenues.
Building Fund - This fund accounts for fees charged for building inspection and plan review
activities.
Traffic Impact Fee Urban Services Fund - This fund accounts for traffic impact fees collected on
roads within the City's urban services area. Funds will be used for highway and transit capital
improvements approved in the City's Capital Improvement Plan (CIP). This fund was closed this
year as the services were transferred back to Washington County.
Urban Services Fund - This fund accounts for all revenues and expenditures related to services
provided to the urban service areas of Washington County. The City of Tigard provides services to
this area pursuant to an intergovernmental agreement with Washington County. This fund was
closed this year as the services were transferred back to Washington County.
Street Maintenance Fee Fund - This fund was established in FY 2003-04 to track the revenues and
expenditures for the Street Maintenance Fee. This fee provides revenue designated for use in the
maintenance of existing streets.
Parks SDC Fund - This fund was established in FY 2005-06 to track the revenues associated with the
collection of Parks System Development Charges. These funds are used to fund the acquisition,
development, and expansion of additional recreation spaces and facilities that are included in the
City's Park Master Plan.
Parks SDC Fund - This fund was established in FY 2005-06 to track the revenues associated with the
collection of Parks System Development Charges. These funds are used to fund the acquisition,
development, and expansion of additional recreation spaces and facilities that are included in the
City's Park Master Plan.
79
Special Revenue Funds (continued)
City Gas Tax Fund - This fund was established in FY 2007-08 to track the revenues and
expenditures for the City's gas tax fee. This fee provides revenue designated for use in the
construction and maintenance of streets.
Library Fund - This fund was established in FY 2008-09 to track the revenues and expenditures that
are restricted for library facilities and services.
Tree Replacement Fund - This fund was established in FY 2008-09 to track the revenues and
expenditures that are restricted for funds received from property developers and are restricted for
planting trees in the City.
80
CITY OF TIGARD, OREGON
NONMAJOR SPECIAL REVENUE FUNDS
COMBINING BALANCE SHEET
June 30, 2009
Traffic Street
Traffic Electrical Underground Criminal Impact Fee Urban Maintenance City Tree
Impact Fee Inspection Utility Forfeiture Insurance Building Urban Services Services Fee Parks SDC Gas Tax Library Replacement
Fund Fund Fund Fund Fund Fund Fund Fund Fund Fund Fund Fund Fund Total
ASSETS:
Cash and investments $ 2,061,384 $ 66,358 $ 589,110 $ 131,404 $ 877,495 $ 54,780 $ $ $ 155,729 $ 2,868,227 $ 1,052,978 $ 465,912 $ 1,490,665 $ 9,814,042
Accounts receivable - - - - 895 4,851 131,140 - 111,225 - - 248,111
Assessment liens receivable 41,121 41,121
Prepaid expense 20,191 20,191
Total assets $ 2,102,505 $ 66,358 $ 589,110 $ 131,404 $ 878,390 $ 79,822 $ $ $ 286,869 $ 2,868,227 $ 1,164,203 $ 465,912 $ 1,490,665 $ 10,123,465
LIABILITIES AND FUND BALANCES:
LIABILITIES:
Accounts payable $ 428 $ $ $ 74,601 $ $ 61,762 $ $ $ 2,945 $ 49,568 $ 87,685 $ $ $ 276,989
Customer deposits - 679 - 18,031 - - 1,196,884 1,215,594
Deferred revenues 41,121 41,121
Total liabilities 41,549 679 74,601 79,793 2,945 49,568 87,685 1,196,884 1,533,704
FUND BALANCE UNRESERVE 2,060,956 65,679 589,110 56,803 878,390 29 283,924 2,818,659 1,076,518 465,912 293,781 8,589,761
Total liabilities and fund
balances $ 2,102,505 $ 66,358 $ 589,110 $ 131,404 $ 878,390 $ 79,822 $ $ $ 286,869 $ 2,868,227 $ 1,164,203 $ 465,912 $ 1,490,665 $ 10,123,465
CITY OF TIGARD, OREGON
NONMAJOR SPECIAL REVENUE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
For the fiscal year ended June 30, 2009
Traffic Street
Traffic Electrical Underground Criminal Impact Fee Urban Maintenance City Tree
Impact Fee Inspection Utility Forfeiture Insurance Building Urban Services Services Fee Parks SDC Gas Tax Library Replacement
Fund Fund Fund Fund Fund Fund Fund Fund Fund Fund Fund Fund Fund Total
REVENUES:
Licenses and permits $ - $121,513 $ $ $ $ 513,464 $ $ $ - $ - $ $ $ 634,977
Charges for services 168,517 - 43,416 4,048 14,177 875,578 199,112 695,392 2,000,241
Interest earnings 82,440 4,352 18,931 1,826 27,552 19,105 22,262 3,166 - 108,418 28,212 15,457 331,722
Miscellaneous revenues 500 3,068 93,524 15,650 5,850 118,592
Total revenues 251,457 125,866 62,348 4,894 121,077 552,267 22,262 17,343 875,578 307,530 723,604 21,307 3,085,532
EXPENDITURES:
Development services - - 1,328,842 1,328,842
N General government - - 697,765 99,230 796,995
Capital projects 611,167 - 762,254 575,807 285,772 2,235,001
Total expenditures 611,167 - 1,328,842 697,765 99,230 762,254 575,807 285,772 4,360,838
Changes in fund balance
before other financing sources (uses) 359,711 125,866 62,348 4,894 121,077 776,575 (675,503) 81,887 113,324 268,277 437,832 21,307 1,275,305
Other financing sources (uses):
Operating transfer in - - - 173,545 - 444,605 293,781 911,931
Indirect charges (73,371) (445,225) (30,448) (549,044)
Operating transfer out 173,543 173,543
Total other financing sources (uses) (73,371 073,543 - (271,680 (30,448 444,605 293,781 189,344
Changes in fund balance (433,082) (47,678) 62,348 4,894 121,077 (1,048,255) (675,503) (81,887) 82,876 (268,277) 437,832 465,912 293,781 (1,085,961)
FUND BALANCE - beginning of year 2,494,037 113,357 526,762 51,909 757,313 1,048,284 675,503 81,887 201,048 3,086,936 638,686 - - 9,675,723
FUND BALANCE- end of year $2,060,955 $ 65,679 $ 589,110 $ 56,803 $878,390 $ 29 $ - $ - $ 283,924 $ 2,818,659 $ 1,076,518 $ 465,912 $ 293,781 $ 8,589,761
CITY OF TIGARD, OREGON
TRAFFIC IMPACT FEE FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts (Under)
System development charges $ 620,000 $ 620,000 $ 168,518 $ (451,482)
Interest earnings 125,000 125,000 82,440 (42,560)
Miscellaneous - 500 500
Total revenues 745,000 745,000 251,457 (493,543)
EXPENDITURES:
Capital outlay 2,365,000 2,365,000 611,167 1,753,833
Total expenditures 2,365,000 2,365,000 611,167 1,753,833
Change in fund balance
before other financing sources (uses) 1,620,000 1,620,000 359,710 1,260,290
Other financing sources (uses):
Indirect charges 96,309 96,309 73,371 22,938
Total other financing sources (uses) (96,309) (96,309) (73,371) 22,938
Change in fund balance (1,716,309) (1,716,309) (433,081) 1,283,228
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 1,955,970 1,955,970 2,494,037 538,067
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 239,661 $ 239,661 $ 2,060,956 $ 1,821,295
83
CITY OF TIGARD, OREGON
ELECTRICAL INSPECTION FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts Under
Electrical permit fees $ 201,055 $ 201,055 $ 118,954 $ (82,101)
Electrical plan check fees 6,218 6,218 2,560 (3,658)
Interest earnings 3,750 3,750 4,352 602
Total revenues 211,023 211,023 125,866 85,157
EXPENDITURES:
Contingency 26,900 26,900 - 26,900
Change in fund balance
before other financing sources (uses) 184,123 184,123 125,866 (58,257)
Other financing sources (uses):
Operating transfer out (179,526) (179,526) (173,543) 5,983
Change in fund balance 4,597 4,597 (47,678) (52,275)
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 88,187 88,187 113,357 25,170
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 92,784 $ 92,784 $ 65,679 $ 27,105
84
CITY OF TIGARD, OREGON
UNDERGROUND UTILITY FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts Under
Charges for services $ 70,000 $ 70,000 $ 43,416 $ (26,584)
Interest earnings 14,580 14,580 18,931 4,351
Total revenues - change in fund balance 84,580 84,580 62,348 (22,232)
EXPENDITURES:
Capital outlay 300,000 300,000 - 300,000
Contingency 45,000 45,000 45,000
Total expenditures 345,000 345,000 345,000
Change in fund balance (260,420) (260,420) 62,348 322,768
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 488,848 488,848 526,762 37,914
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 228,428 $ 228,428 $ 589,110 $ 360,682
85
CITY OF TIGARD, OREGON
CRIMINAL FORFEITURE FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts Under
Interest earnings $ 1,517 $ 1,517 $ 1,826 $ 309
Miscellaneous 5,000 5,000 3,068 1,932
Total revenues 6,517 6,517 4,894 (1,623)
Change in fund balance
before other financing sources (uses) 6,517 6,517 4,894 1,623
Other financing (uses):
Operating transfer out (10,000) (10,000) - 10,000
Change in fund balance (3,483) (3,483) 4,894 8,377
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 8,435 8,435 51,909 43,474
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 4,952 $ 4,952 $ 56,803 $ 51,851
86
CITY OF TIGARD, OREGON
INSURANCE FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts (Under)
Interest earnings $ 23,350 $ 23,350 $ 27,552 $ 4,202
Miscellaneous 30,000 30,000 93,524 63,524
Total revenues - change in fund balance 53,350 53,350 121,077 67,727
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 749,997 749,997 757,313 7,316
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 803,347 $ 803,347 $ 878,390 $ 75,043
87
CITY OF TIGARD, OREGON
BUILDING FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts (Under)
Licenses and permits $1,432,584 $1,432,584 $ 513,464 $ (919,120)
Charges for services 8,485 8,485 4,048 (4,437)
Interest earnings 40,000 40,000 19,105 (20,895)
Miscellaneous 2,900 2,900 15,650 12,750
Total revenues 1,483,969 1,483,969 552,267 (931,702)
EXPENDITURES:
Development services 1,984,027 1,984,027 1,328,842 655,185
Contingency 390,000 390,000 - 390,000
Total expenditures 2,374,027 2,374,027 1,328,842 1,045,185
Change in fund balance
before other financing sources (uses) 890,058 (890,058 (776,575 113,483
Other financing sources (uses):
Operating transfer in 173,542 173,542 173,545 3
Indirect charges 636,907 636,907 445,225 191,682
Total other financing sources (uses) (463,365 (463,365 (271,680 191,685
Change in fund balance (1,353,423) (1,353,423) (1,048,255) 305,168
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 1,499,751 1,499,751 1,048,284 (451,467)
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 146,329 $ 146,329 $ 29 $ (146,299)
88
CITY OF TIGARD, OREGON
TRAFFIC IMPACT FEE URBAN SERVICES FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts Under
Interest earnings $ 82,595 $ 82,595 22,262 $ (60,333)
EXPENDITURES:
General Government 750,000 750,000 697,765 52,235
Change in fund balance (667,405) (667,405) (675,503) (8,098)
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 667,405 667,405 675,503 8,098
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ - $ - $ - $ -
89
CITY OF TIGARD, OREGON
URBAN SERVICES FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts (Under)
Charges for services $ - $ - $ 14,177 $ 14,177
Interest earnings 16,000 16,000 3,166 (12,834)
Total revenues 16,000 16,000 17,343 1,343
EXPENDITURES:
General Government 94,870 101,870 99,230 2,640
Change in fund balance (78,870) (85,870) (81,887) 3,983
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 78,870 85,870 81,887 (3,983)
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ - $ - $ - $
90
CITY OF TIGARD, OREGON
STREET MAINTENANCE FEE FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts Under
Fees and charges $ 798,000 $ 798,000 $ 875,578 $ 77,578
EXPENDITURES:
Contingency 127,000 127,000 - 127,000
Capital projects 810,511 810,511 762,254 48,257
Total expenditures 937,511 937,511 762,254 175,257
Change in fund balance
before other financing sources (uses) (139,511) (139,511) 113,324 252,835
Other financing sources (uses):
Indirect charges (39,799) (39,799) (30,448) 9,351
Change in fund balance (179,310) (179,310) 82,876 262,186
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 179,394 179,394 201,048 21,654
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 84 $ 84 $ 283,924 $ 283,840
91
CITY OF TIGARD, OREGON
PARKS SDC FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts (Under)
System development charges $ 800,000 $ 800,000 $ 199,112 $ (600,888)
Interest earnings 57,586 57,586 108,418 50,832
Total revenues 857,586 857,586 307,530 (550,056)
EXPENDITURES:
Capital projects 1,704,885 1,704,885 575,807 1,129,078
Change in fund balance (847,299) (847,299) (268,277) 579,022
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 1,802,715 1,802,715 3,086,936 1,284,221
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 955,416 $ 955,416 $ 2,818,659 $ 1,863,243
92
CITY OF TIGARD, OREGON
CITY GAS TAX FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts (Under)
State Gas Tax $ 710,000 $ 710,000 $ 695,392 $ (14,608)
Interest earnings 58,750 58,750 28,212 (30,538)
Total revenues 768,750 768,750 723,604 (45,146)
EXPENDITURES:
Capital projects 1,150,000 1,150,000 285,772 864,228
Total expenditures 1,150,000 1,150,000 285,772 864,228
Change in fund balance (381,250) (381,250) 437,832 819,082
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 381,250 381,250 638,686 257,436
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ - $ - $ 1,076,518 $ 1,076,518
93
CITY OF TIGARD, OREGON
LIBRARY FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts (Under)
Interest earnings $ $ $ 15,457 $ 15,457
Miscellaneous 5,850 5,850
Total revenues 21,307 21,307
Other financing sources (uses):
Operating transfer in 448,500 448,500 444,605 (3,895)
Change in fund balance 448,500 448,500 465,912 17,412
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR - -
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 448,500 $ 448,500 $ 465,912 $ 17,412
94
CITY OF TIGARD, OREGON
TREE REPLACEMENT FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
Original Final Amounts (Under)
EXPENDITURES:
Capital projects $ 45,000 $ 45,000 $ - $ 45,000
Other financing sources (uses):
Operating transfer in 575,000 575,000 293,781 (281,219)
Change in fund balance 530,000 530,000 293,781 (236,219)
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR - - -
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 530,000 $ 530,000 $ 293,781 $ (236,219)
95
96
Debt Service Funds
The balance sheet and statement of revenues, expenditures, and changes in fund balance of the
nonmajor debt service fund is reported in the combining nonmajor governmental fund statements.
Fund statements for the major debt service fund are reported in the basic financial statements.
Schedules of revenues, expenditures, and changes in fund balance - budget and actual are also
presented here for each debt service fund.
Major Debt Service Funds:
Bancroft Debt Service Fund - This fund accounts for payment of Bancroft improvement bond
principal and interest. The source of revenue is the collection of assessments against benefited
property, interest and contributions from other funds for their share of costs.
Nonmajor Debt Service Fund:
General Obligation Debt Service Fund - This fund accounts for payment of general obligation
bond principal and interest. The source of revenue is from property taxes and interest earnings.
Urban Renewal Agency Debt Service Fund - This fund accounts for payment of the Tigard
Urban Renewal Agency bond principal and interest. The source of revenue is from property taxes
and interest earnings.
97
TIGARD
98
CITY OF TIGARD, OREGON
NONMAJOR DEBT SERVICE FUNDS
COMBINING BALANCE SHEET
June 30, 2009
General Urban Renewal
Obligation Agency
Debt Debt
Service Fund Service Fund Total
ASSETS:
Cash and investments $ 96,889 $ 156,609 $ 253,498
Property taxes receivable 33,408 3,695 37,103
Total assets $ 130,297 $ 160,304 $ 290,601
LIABILITIES AND FUND BALANCES:
LIABILITIES:
Deferred revenues:
Property taxes $ 29,107 $ 2,725 $ 31,832
FUND BALANCES -
DESIGNATED FOR DEBT SERVICE 101,190 157,579 258,769
Total liabilities and
fund balances $ 130,297 $ 160,304 $ 290,601
99
CITY OF TIGARD, OREGON
NONMAJOR DEBT SERVICE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES
June 30, 2009
General Urban Renewal
Obligation Agency
Debt Debt
Service Fund Service Fund Total
REVENUES:
Taxes $ 814,506 $ 115,019 $ 929,525
Interest earnings 4,454 2,898 7,352
Total revenues 818,960 117,917 936,877
EXPENDITURES:
Debt service 974,913 - 974,913
Change in fund balance (155,953) 117,917 (38,036)
DESIGNATED - FUND BALANCE,
BEGINNING OF YEAR 257,143 39,662 296,805
DESIGNATED FUND BALANCE,
END OF YEAR $ 101,190 $ 157,579 $ 258,769
100
CITY OF TIGARD, OREGON
BANCROFT BOND DEBT SERVICE FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts (Under)
Collection of bonded assessments $ 123,618 $ 123,618 $ 87,208 $ (36,410)
Interest earnings 95,689 95,689 86,813 8,876
Total revenues 219,307 219,307 174,022 (45,285)
EXPENDITURES:
Contingency 29,000 29,000 - 29,000
Debt service 193,378 193,378 72,291 121,087
Total expenditures 222,378 222,378 72,291 150,087
Change in fund balance (3,071) (3,071) 101,731 104,802
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 675,211 675,211 1,012,969 337,758
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 672,140 $ 672,140 $1,114,700 $ 442,560
101
CITY OF TIGARD, OREGON
GENERAL OBLIGATION DEBT SERVICE FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts Under
Taxes $ 989,563 $ 989,563 $ 814,506 $ (175,057)
Interest earnings 6,250 6,250 4,454 (1,796)
Total revenues 995,813 995,813 818,960 (176,853)
EXPENDITURES:
Contingency 146,000 146,000 - 146,000
Debt service 974,913 974,913 974,913 (0)
Total expenditures 1,120,913 1,120,913 974,913 146,000
Change in fund balance (125,100) (125,100) (155,953) (30,853)
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 317,889 317,889 257,143 60,746
UNDESIGNATED, UNRESERVED -
)
FUND BALANCE END OF YEAR $ 192,789 $ 192,789 $ 101,190 -1--(21,599
102
CITY OF TIGARD, OREGON
URBAN RENEWAL AGENCY DEBT SERVICE FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts (Under)
Property taxes $ 41,000 $ 41,000 $ 115,019 $ 74,019
Interest earnings 3,000 3,000 2,898 (102)
Total revenues 44,000 44,000 117,917 73,917
EXPENDITURES:
Debt service 80,000 80,000 80,000
Change in fund balance (36,000) (36,000) 117,917 153,917
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 40,750 40,750 39,662 (1,088)
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 4,750 $ 4,750 $ 157,579 $ 152,829
103
1t
,n4
Capital Projects Funds
Combining statements for all individual nonmajor capital projects funds are reported here. The
combined totals are reported in the combining nonmajor governmental fund statements. Fund
statements for the major capital projects fund are reported in the basic financial statements.
Schedules of revenues, expenditures, and changes in fund balance - budget and actual are also
presented here for each capital projects fund.
Major Capital Projects Fund:
Parks Capital Fund - This fund accounts for system development charges for major improvements
to recreational facilities within the City
Non-major Capital Projects Funds:
Facility Fund - This fund accounts for monies set aside for future major City facility
improvements.
Urban Renewal Agency Capital Projects Fund - This fund was established in FY 2007-08 for the
creation of a new urban renewal agency improve downtown Tigard. Although expenditures were
budgeted in this fund for FY 2007-08, there were no actual expenditures from the fund for this
fiscal year.
105
11
i
1
CITY OF TIGARD, OREGON
CAPITAL PROJECTS FUNDS
COMBINING BALANCE SHEET
June 30, 2009
Urban Renewal
Agency
Facility Capital
Fund Projects Fund Total
ASSETS:
Cash and investments $ 78,991 $ 30,944 $ 109,935
Total assets $ 78,991 $ 30,944 $ 109,935
LIABILITIES AND FUND BALANCES:
LIABILITIES:
Accounts payable and accrued liabilities $ 922 $ 2,977 $ 3,899
Total liabilities 922 2,977 3,900
FUND BALANCES -
UNRESERVED 78,069 27,967 106,036
Total liabilities and fund balances $ 78,991 $ 30,944 $ 109,935
107
CITY OF TIGARD, OREGON
CAPITAL PROJECTS FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE
For the fiscal year ended June 30, 2009
Urban Renewal
Agency
Facility Capital
Fund Projects Fund Total
REVENUES:
Interest earnings $ 10,067 $ - $ 10,067
EXPENDITURES:
Capital projects 345,175 295,649 640,824
Change in fund balance
before other financing sources (335,108) (295,649) (630,757)
Other financing sources (uses):
Transfers in 400,000 323,616 723,616
Transfers out (444,605) - (444,605)
Total other financing sources (uses) (44,605) 323,616 279,011
Change in fund balance (379,713) 27,967 (351,746)
UNDESIGNATED, UNRESERVED FUND BALANCE,
BEGINNING OF YEAR 457,782 - 457,782
UNDESIGNATED, UNRESERVED FUND BALANCE,
END OF YEAR $ 78,069 $ 27,967 $ 106,036
108
CITY OF TIGARD, OREGON
PARKS CAPITAL FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts Under
Intergovernmental revenues $ 410,020 $ 410,020 $ - $ (410,020)
Interest earnings 20,000 20,000 44,099 24,099
Other income 843,518 843,518 237,611 605,907
Total revenues 1,273,538 1,273,538 281,710 991,828
EXPENDITURES:
Capital projects 1,493,956 1,493,956 136,841 1,357,115
Debt service 278,053 278,053 278,053 -
Total expenditures 1,772,009 1,772,009 414,894 1,357,115
Change in fund balance (498,471) (498,471) (133,184) 365,287
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 1,057,535 1,057,535 225,178 832,357
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 559,064 $ 559,064 $ 91,994 $ 467,070
109
CITY OF TIGARD, OREGON
FACILITY FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts (Under)
Interest earnings $ 9,000 $ 9,000 $ 10,067 $ 1,067
EXPENDITURES:
Contingency 50,000 50,000 - 50,000
Capital projects 569,321 569,321 345,175 224,146
Total expenditures 619,321 619,321 345,175 274,146
Change in fund balance
before other financing sources (uses) (610,321) (610,321) (335,108) 275,213
Other financing sources (uses):
Operating transfer in 400,000 400,000 400,000 -
Operating transfer out (448,500) (448,500) (444,605) 3,895
Total other financing sources (uses) (48,500) (48,500) 44,605 3,895
Change in fund balance (658,821) (658,821) (379,713) 279,108
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 667,424 667,424 457,782 209,642
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 8,603 $ 8,603 $ 78,069 $ 69,466
110
CITY OF TIGARD, OREGON
URBAN RENEWAL AGENCY CAPITAL PROJECT FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts (Under)
Intergovernmental revenues $380,000 $ 380,000 $ - $ 380,000
EXPENDITURES:
Capital projects 379,269 379,269 295,649 83,620
Change in fund balance
before other financing sources (uses) 731 731 295,649 296,380
Other financing sources (uses):
Operating transfer in - - 323,616 323,616
Change in fund balance 731 731 27,967 27,236
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR - - - -
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 731 $ 731 $ 27,967 $ 27,236
111
11
i
1
Enterprise Funds
For GAAP reporting purposes, the City reports three proprietary funds as major funds. These
funds are the Sanitary Sewer Fund, the Storm Sewer Fund which consists of the Storm Sewer Fund
and the Water Quality/Quantity Fund, and the Water Fund which includes the Water Fund,
Water SDC Fund and Water CIP Fund, however, for budgetary and legal purposes these funds are
accounted for separately as listed below.
All of the City's enterprise funds meet the criteria for major fund reporting and are reported in the
basic financial statements.
Schedules or revenues and changes in fund net assets - budget and actual are presented here for each
individual enterprise fund as required by Oregon regulations.
Major Enterprise Funds:
Sanitary Sewer Fund - This fund accounts for the City's sewer utility operations.
Storm Sewer Fund - This fund accounts for the City's storm drainage operations.
Storm Sewer Fund (budgetary basis financial statements only)
Water Quality /Quantity Fund (budgetary basis financial statements only)
Water Fund - This fund accounts for the City's water operations.
Water Fund (budgetary basis financial statements only)
Water SDC Fund (budgetary basis financial statements only)
Water CIP Fund (budgetary basis financial statements only)
113
lit
CITY OF TIGARD, OREGON
SANITARY SEWER FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts (Under)
Service charge $1,608,635 $1,608,635 $ 1,412,432 $ (196,203)
Interest earnings 219,178 219,178 314,924 95,746
Total revenues 1,827,813 1,827,813 1,727,356 (100,457)
EXPENDITURES:
Public works 763,969 763,969 562,587 201,382
Contingency 370,000 370,000 - 370,000
Capital projects 1,565,000 1,565,000 410,513 1,154,487
Total expenditures 2,698,969 2,698,969 973,100 1,725,869
Change in fund balance
before other financing sources (uses) (871,156) (871,156) 754,256 1,625,412
Other financing sources (uses):
Indirect charges (304,563 (304,563 (271,214) 33,349
Total other financing sources (uses) (304,563 (304,563 (271,214) 33,349
Change in fund balance (1,175,719) (1,175,719) 483,042 1,658,761
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 9,241,212 9,241,212 9,102,210 (139,002)
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 8,065,492 $ 8,065,492 $ 9,585,252 $ 1,519,759
115
CITY OF TIGARD, OREGON
SANITARY SEWER FUND
RECONCILIATION OF BUDGETARY REVENUES AND EXPENDITURES
TO PROPRIETARY REVENUES AND EXPENSES
For the fiscal year ended June 30, 2009
Operating and
Non-Operating Expenditures
Revenues / Expenses
Budgetary basis $ 1,727,356 $ 973,100
Change in accrued compensated absences - (26,805)
Expenditures capitalized (288,679)
Services performed by other funds 271,214
Depreciation expense - 668,583
Operating and non-operating
revenue and expenses - page 26 $ 1,727,356 $ 1,597,413
116
CITY OF TIGARD, OREGON
STORM SEWER FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts (Under)
Service charges $1,589,700 $ 1,589,700 $1,478,352 $ (111,348)
Interest earnings 15,500 15,500 24,159 8,659
Miscellaneous - - 10,052 10,052
Total revenues 1,605,200 1,605,200 1,512,563 (92,637)
EXPENDITURES:
Public works 1,188,639 1,188,639 976,770 211,869
Contingency 300,000 300,000 - 300,000
Capital projects 685,000 685,000 342,986 342,014
Total expenditures 2,173,639 2,173,639 1,319,756 853,883
Change in fund balance
before other financing sources (uses) (568,439) (568,439) 192,807 761,246
Other financing sources (uses):
Indirect charges (417,344) (417,344) (380,335) 37,009
Change in fund balance (985,783) (985,783) (187,528) 798,255
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 1,669,368 1,669,368 940,804 (728,564)
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 683,586 $ 683,585 $ 753,276 $ 69,691
117
CITY OF TIGARD, OREGON
WATER QUALITY/QUANTITY FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts (Under)
Service charges $ 32,500 $ 32,500 $ 6,275 $ (26,225)
Interest earnings 51,250 51,250 65,921 14,671
Total revenues 83,750 83,750 72,196 (11,554)
EXPENDITURES:
Contingency 100,000 100,000 - 100,000
Capital projects 640,000 640,000 252,268 387,732
Total expenditures 740,000 740,000 252,268 487,732
Change in fund balance
before other financing sources (uses) (656,250) (656,250) (180,072) 476,178
Other financing sources (uses):
Indirect charges (25,736) (25,736) 19,606 6,130
Change in fund balance (681,986) (681,986) (199,678) 482,308
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 1,972,842 1,972,842 2,024,137 51,295
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 1,290,856 $ 1,290,856 $1,824,459 $ 533,603
118
CITY OF TIGARD, OREGON
STORM SEWER FUNDS
RECONCILIATION OF BUDGETARY REVENUES AND EXPENDITURES
TO PROPRIETARY REVENUES AND EXPENSES
For the fiscal year ended June 30, 2009
Operating and
Non Expenditures
Operating / Expenses
Storm Sewer $ 1,512,563 $ 1,319,756
Water Quality / Quantity 72,196 252,268
Total, budgetary basis 1,584,759 1,572,024
Change in accrued compensated absences (11,569)
Expenditures capitalized (459,254)
Services performed by other funds 399,941
Depreciation expense 419,498
Operating and non-operating
revenue and expenses - page 26 $ 1,584,759 $ 1,920,640
119
CITY OF TIGARD, OREGON
WATER FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts (Under)
Service charges $ 8,050,244 $ 8,050,244 $ 7,417,827 $ (632,417)
System development charges 200,000 200,000 47,243 (152,757)
Interest earnings 41,100' 41,100' 175,508' 134,408
Miscellaneous 43,500 43,500' 113,114 69,614
Total revenues 8,334,844 8,334,844 7,753,692 (581,152)
EXPENDITURES:
Public works 6,119,263 6,119,263 4,902,517 1,216,746
Capital projects 476,700 476,700 268,436 208,264
Total expenditures 6,595,963 6,595,963 5,170,953 1,425,010
Change in fund balance
before other financing sources (uses) 1,738,881 1,738,881 2,582,739 843,858
Other financing sources (uses):
Indirect charges (1,419,653) (1,419,653) (1,227,803) 191,850
Change in fund balance 319,228 319,228 1,354,936 1,035,708
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 2,812,606 2,812,606 4,891,272 2,078,666
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 3,131,835 $ 3,131,835 $ 6,246,208 $ 3,114,374
120
CITY OF TIGARD, OREGON
WATER SDC FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts (Under)
System development charges $ 250,000 $ 250,000 $ 74,779 $ (175,221)
Interest earnings 4,000 4,000 12,282 8,282
Total revenues 254,000 254,000 87,061 (166,939)
EXPENDITURES:
Capital projects 165,000 165,000 12,843 152,157
Total expenditures 165,000 165,000 12,843 152,157
Change in fund balance
before other financing sources (uses) 89,000 89,000 74,218 (14,782)
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 1,618 1,618 46,248 44,630
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 90,618 $ 90,618 $ 120,466 $ 29,848
121
CITY OF TIGARD, OREGON
WATER CIP FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts (Under)
System development charges $ 250,000 $ 250,000 $ 74,096 $ (175,904)
Other income 18,000,000 18,000,000 49,028 (17,950,972)
Interest earnings 220,000 220,000 56,438 (163,562)
Total revenues 18,470,000 18,470,000 179,561 (18,290,439)
EXPENDITURES:
Contingency 1,581,150 1,581,150 - 1,581,150
Capital projects 10,541,579 10,541,579 4,239,970 6,301,609
Total expenditures 12,122,729 12,122,729 4,239,970 7,882,759
Change in fund balance
before other financing sources (uses) 6,347,271 6,347,271 (4,060,409) (10,407,680)
Other financing sources (uses):
Operating transfer in - 109,841 109,841
Loan proceeds 2,853,868
Total other financing sources (uses) - 109,841 2,963,709
Change in fund balance 6,347,271 6,457,112 (1,096,700) (10,407,680)
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 2,511,910 2,511,910 1,962,458 (549,452)
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 8,859,181 $ 8,969,022 $ 865,758 $ (10,957,132)
122
CITY OF TIGARD, OREGON
WATER FUNDS
RECONCILIATION OF BUDGETARY REVENUES AND EXPENDITURES
TO PROPRIETARY REVENUES AND EXPENSES
For the fiscal year ended June 30, 2009
Operating and
Non-Operating Expenditures /
Revenues Expenses
Water $ 7,753,692 $ 5,170,953
Water SDC 87,061 12,843
Water CIP 179,561 4,239,970
Total, budgetary basis 8,020,314 9,423,766
Change in inventory - -
Change in accrued compensated absences (54,092)
Expenditures capitalized (4,338,390)
Services performed by other funds 1,227,803
Depreciation expense - 1,365,391
Operating and non-operating
revenue and expenses - page 26 $ 8,020,314 $ 7,624,478
123
CITY OF TIGARD, OREGON
ENTERPRISE FUNDS
RECONCILIATION OF BUDGETARY FUND BALANCE TO
GENERALLY ACCEPTED ACCOUNTING PRINCIPLES BASIS NET ASSETS
For the fiscal year ended June 30, 2009
Total Total
Sanitary Storm Total
Sewer Sewer Water
Sanitary Sewer Fund $ 9,585,252 $ - $
Storm Sewer Fund - 753,276
Water Quality /Quantity Fund 1,824,459
Water Fund - 6,246,208
Water SDC Fund 120,466
Water CIP Fund - - 865,758
Fund balance - budget basis 9,585,252 2,577,735 7,232,432
Adjustments from budgetary basis to
generally accepted accounting principles basis:
Inventory 6,079
Capital assets, net 16,073,536 11,875,811 43,643,083
Capital outlay not capitalized - 663,918
Deferred revenue 6,611 - -
Accrued vacation payable (11,633) (17,110) (60,295)
Long-term debt - (2,853,868)
Total Net Assets -
generally accepted accounting -
principles basis - pages 25 and 26 $ 25,653,766 $ 14,436,436 $ 48,631,349
124
Internal Service Funds
Combining statements for internal service funds are reported here. The combined totals are
reported alongside the enterprise funds in the basic financial statements.
Schedules of revenues, expenses, and changes in fund net assets - budget and actual are also
presented here for each internal service fund as required by Oregon regulations.
Central Services Fund - This fund accounts for the central administrative functions within the
city
Fleet/Property Management Fund - This fund accounts for all activity related to the Fleet
Maintenance and Property Management divisions in the City
125
~ ~
CITY OF TIGARD, OREGON
INTERNAL SERVICE FUNDS
COMBINING STATEMENT OF NET ASSETS
June 30, 2009
Central Fleet/Property
Services Management
Fund Fund Total
ASSETS
Current assets:
Cash and investments $ 354,213 $ 118,081 $ 472,294
Accounts Receivable 8,088 8,074 16,162
Prepaid Expense 96,325 - 96,325
Inventory - 14,134 14,134
Total assets 458,626 140,289 598,915
LIABILITIES
Current liabilities:
Accounts payable and accrued
liabilities 339,625 71,285 410,910
Accrued compensated absences 233,871 14,220 248,091
Total liabilities 573,496 85,505 659,001
NET ASSETS
Net assets, unrestricted $ (114,870) $ 54,784 $ (60,086)
127
CITY OF TIGARD, OREGON
INTERNAL SERVICE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENSES
AND CHANGES IN FUND NET ASSETS
For the fiscal year ended June 30, 2009
Central Fleet/Property
Services Management
Fund Fund Total
OPERATING REVENUES:
Service charges $ 4,482,998 $ 1,320,366 $ 5,803,364
Miscellaneous 83,173 29,510 112,683
Total operating revenues 4,566,171 1,349,876 5,916,047
OPERATING EXPENSES:
Salaries and wages 3,489,748 476,569 3,966,317
Contracted services 882,214 303,169 1,185,383
General, administrative and other 855,896 631,189 1,487,085
Total operating expenses 5,227,858 1,410,927 6,638,785
Operating income (loss) (661,687) (61,051) (722,738)
NONOPERATING REVENUE:
Interest revenue 14,566 2,299 16,865
Net income (loss) (647,121) (58,752) (705,873)
NET ASSETS - beginning of year 532,251 113,536 645,787
NET ASSETS - end of year $ (114,870) $ 54,784 $ (60,086)
128
CITY OF TIGARD, OREGON
INTERNAL SERVICE FUNDS
COMBINING STATEMENT OF CASH FLOWS
For the fiscal year ended June 30, 2009
Central Fleet/Property
Services Management
Fund Fund Totals
CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers $ 4,479,964 $ 1,312,642 $ 5,792,606
Payments to suppliers (1,969,596) (9t4,893) (2,884,489)
Payments to employees (3,393,459) (477,026) (3,870,485)
Other receipts 83,172 29,510 112,682
Net cash provided (used) by operating activities (799,919) (49,767) (849,686)
CASH FLOWS FROM INVESTING ACTIVITIES
Interest earnings collected 14,566 2,299 16,865
Net increase in cash and cash equivalents (785,353) (47,468) (832,821)
Cash and investments--beginning of the year 1,139,566 165,549 1,305,115
Cash and investments--end of the year $ 354,213 $ 118,081 $ 472,294
RECONCILIATION OF OPERATING INCOME (LOSS) TO
NET CASH PROVIDED BY OPERATING ACTIVITIES
Operating income (loss) $ (661,687) $ (61,051) $ (722,738)
Adjustments to reconcile operating income (loss) to net cash
provided by operating activities:
Change in assets and liabilities:
Receivables (3,034) (7,724) (10,758)
Prepaids (96,325) 34,146 (62,179)
Inventories 9,728 - 9,728
Accounts payable (144,890) (14,681) (159,571)
Accrued compensated absences 96,289 (457) 95,832
Net cash provided (used) by operating activities $ (799,919) $ (49,767) $ (849,686)
129
CITY OF TIGARD, OREGON
CENTRAL SERVICES FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts (Under)
Interest earnings $ 35,000 $ 35,000 $ 14,566 $ (20,434)
Miscellaneous 10,000 t0,000 83,173 73,173
Total revenues 45,000 45,000 97,739 52,739
EXPENDITURES:
Policy and administration 6,104,413 6,104,413 5,227,858 876,555
Change in fund balance
before other financing sources (uses) (6,059,413) (6,059,413) (5,130,119) 929,294
Other financing sources (uses):
Indirect charges 5,814,973 5,814,973 4,482,998 (t,33t,975)
Change in fund balance (244,440) (244,440) (647,121) (402,681)
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 1,162,098 1,162,098 532,251 (629,847)
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 917,658 $ 917,658 $ 114,870 $ (1,032,528)
130
CITY OF TIGARD, OREGON
FLEET/PROPERTY MANAGEMENT FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2009
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts Under
Interest earnings $ 1,450 $ 1,450 $ 2,299 $ 849
Miscellaneous - - 29,510 29,510
Total revenues 1,450 1,450 31,809 30,359
EXPENDITURES:
Public works 1,453,571 1,453,571 1,410,927 42,644
Change in fund balance
before other financing sources (uses) (1,452,121 (1,452,121 (1,379,118 73,003
Other financing sources (uses:
Indirect Charges 1,453,571 1,453,571 1,320,366 133,205
Change in fund balance 1,450 1,450 (58,752 (60,202)
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 117,273 117,273 113,536 3,737
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 118,722 $ 118,722 $ 54,784 L_(6 ,939
131
lit
Other Supplementary Schedules
Schedules included in this section are:
• Property Tax Transactions and Outstanding Balances
• Bond and Bond Interest Transactions
• Future Debt Service Requirements of Long Term Notes Payable
• Future Debt Service Requirements of Bancroft Improvement
Bonds
• Future Debt Service Requirements of General Obligation Bonds
TIGARD
133
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CITY OF TIGARD, OREGON
SCHEDULE OF PROPERTY TAX TRANSACTIONS AND OUTSTANDING BALANCES
For the fiscal year ended June 30, 2009
Property Add Property
Taxes Levy as Taxes
Receivable Extended Deduct Add Receivable
June 30, by Discounts (Deduct) Add Deduct June 30,
2008 Assessor Allowed Adjustments Interest Collections 2009
2008 - 2009 $ - $ 12,732,804' $ (318,075) $ (24,237) $ 4,363 $ (12,005,730) $ 389,125
2007 - 2008 304,398 465 (31,334) 12,008 (192,761) 92,776
2006 - 2007 74,206 107 (8,563) 5,838 (38,595) 32,993
2005 - 2006 26,611 73 (6,561) 4,331 (18,565) 5,889
2004 - 2005 10,801 16 (1,075) 2,068 (7,858) 3,952
2003 - 2004 2,931 4 (294) 304 (734) 2,211
2002 - 2003 & Prior 6,599 1 (1,303) 871 (1,942) 4,226
$ 425,546 $ 12,732,804 $ (317,409) $ (73,367) $ 29,783 $ (12,266,185) $ 531,172
Property Taxes
Cash Receivable
Distributed as follows: Collections June 30, 2009
General Fund:
Current $ 10,919,263' $ 363,469
Prior years' levies 195,223 147,512
Total General Fund 11,114,486 510,981
Debt Service Funds:
C urre nt 994,130 14,362
Prior years' levies 16,416 5,829
Total Debt Service Funds 1,010,546 20,191
Total $ 12,125,032 $ 531,172
NOTE: Taxes revenue on the Governmental Funds Statement
of Revenues, Expenditures, and Changes in
Fund Balance (page 23), is reported on the modified accrual basis.
135
CITY OF TIGARD, OREGON
SCHEDULE OF BOND AND BOND INTEREST TRANSACTIONS
For the fiscal year ended June 30, 2009
Bond Transactions Interest Transactions
Original Outstanding Matured/ Outstanding
Bancroft Bonds Issue June 30, 2008 Additions Called Paid June 30, 2009 Matured Paid
Issued June 27, 2002 $ 1,307,969 $ 785,347 $ $ 23,100 $ (23,100) $ 762,247 $ 29,071 $ (29,071)
Issued December 3, 2003 1,947,678 515,883 - 515,883 20,119 20,119
$ 1,301,230 $ $ 23,100 $ (23,100) $ 1,278,130 $ 49,190 $ 49,190)
General Obligation Bonds
Issued December 4, 2002 $ 13,000,000 $ 10,547,958 $ $ 536,063 $ (536,063) $ 10,011,895 $ 438,850 $ 438,850
136
CITY OF TIGARD, OREGON
SCHEDULE OF FUTURE DEBT SERVICE REQUIREMENTS
OF LONG-TERM NOTES PAYABLE
June 30, 2009
Issued - January 23, 2002
3.00% to 4.35%
Original Issue - $ 2,290,248
Total
Payment Coupon Debt
Date Principal Interest Rate Service
January 1, 2010 $ 247,318 $ 32,935 4.10% $ 280,253
January 1, 2011 259,053 22,795 4.25% 281,848
January 1, 2012 270,925 11,785 4.35% 282,710
Totals $ 777,296 $ 67,515 $ 844,811
137
CITY OF TIGARD, OREGON
SCHEDULE OF FUTURE DEBT SERVICE REQUIREMENTS
OF BANCROFT IMPROVEMENT BONDS
June 30, 2009
Issued Issued
June 27, 2002 December 3, 2003
Year of Total Requirements 7.25% 3.90%
Maturity Principal Interest Principal Interest Principal Interest
2009-2010 224,276 $ 66,524 $ 50,500 $ 80,667 $ 173,776 $ 13,623
2010-2011 133,593 59,789 54,200 49,174 79,393 10,615
2011-2012 140,720 52,661 58,200 45,173 82,520 7,488
2012-2013 148,271 45,115 62,500 40,877 85,771 4,238
2013-2014 111,243 37,123 67,100 40,877 44,143 4,238
2014-2019 520,027 127,981 520,027 127,981 -
Totals $ 1,278,130 $ 389,193 $ 812,527 $ 384,749 $ 465,603 $ 40,202
138
CITY OF TIGARD, OREGON
SCHEDULE OF FUTURE DEBT SERVICE REQUIREMENTS
OF GENERAL OBLIGATION BONDS
June 30, 2009
Fiscal Issued: December 4, 2002
Year of Total Debt 3.00% to 4.75%
Maturity Requirement Principal Interest
2009-2010 $ 976,563 $ 553,795 $ 422,768
2010-2011 976,383 571,890 404,493
2011-2012 974,758 590,281 384,477
2012-2013 977,118 613,891 363,227
2013-2014 963,993 623,787 340,206
2014-2015 972,518 656,991 315,527
2015-2016 975,719 686,471 289,248
2016-2017 972,348 711,246 261,102
2017-2018 972,273 741,399 230,874
2018-2019 975,367 776,929 198,438
2019-2020 976,342 812,866 163,476
2020-2021 975,291 849,207 126,084
2021-2022 972,157 885,985 86,172
2022-2023 981,244 937,157 44,087
$ 13,642,074 $ 10,011,895 $ 3,630,179
139
~ ~
STATISTICAL SECTION
141
11
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This part of the City of Tigard's comprehensive annual financial report presents detailed
information as a context for understanding what the information in the financial statements,
note disclosures, required supplementary information, and supplementary information says
about the City's overall financial health.
Contents Page
Financial Trends 125- 133
These schedules contain trend information to help the reader understand how financial
performance has changed over time.
Revenue Capacity 134- 141
These schedules contain information to help the reader assess the City's most significant
local revenue source, property taxes.
Debt Capacity 142- 147
These schedules present information to help the reader assess the affordability of the City's
current levels of outstanding debt and the City's ability to issue additional debt in the future.
Demographic and Economic Information 148- 150
These schedules offer demographic and economic indicators to help the reader understand
the environment within which the City's financial activities take place.
Operating Information 151- 153
These schedules contain service and infrastructure data to help the reader understand how
the information in the City's financial report relates to the services the City provides and the
activities it performs.
Sources: Unless otherwise noted, the information in these schedules is derived from the comprehensive annual
financial reports for the relevant year. The City implemented GASB Statement 34 in fiscal year 2003 and
implemented GASB Statement 44 in fiscal year 2006.
143
CITY OF TIGARD, OREGON
NET ASSETS BY COMPONENT
for the last seven fiscal years
(accrual basis of accounting)
Fiscal Year
2003 2004 2005
Governmental activities
Invested in capital assets, net of related debt $ 165,584,303 $ 167,289,278 $ 169,543,524
Restricted 2,529,038 1,782,382 1,367,179
Unrestricted 21,057,629 21,197,594 21,178,146
Total governmental activities net assets 189,170,970 190,269,254 192,088,849
Business-type activities
Invested in capital assets, net of related debt 48,011,698 51,186,594 51,861,963
Restricted 5,816,599 5,548,698 3,761,976
Unrestricted 18,755,869 19,877,044 20,374,983
Total business-type activities net assets 72,584,166 76,612,336 75,998,922
Primary government
Invested in capital assets, net of related debt 213,596,001 218,475,872 221,405,487
Restricted 8,345,637 7,331,080 5,129,155
Unrestricted 39,813,498 41,074,638 41,553,129
Total primary government net assets $ 261,755,136 $ 266,881,590 $ 268,087,771
"Fiscal year 2002-03 was the first year that the new reporting requirements of GASB 34 were implemented
at the City of Tigard.
Source: Comprehensive Annual Financial Report of the City.
144
Fiscal Year
2006 2007 2008 2009
$ 168,577,473 $ 173,401,138 $ 177,656,465 $ 179,584,222
2,812,994 1,490,484 1,992,734 1,540,638
21,685,865 25,234,231 23,053,474 18,091,356
193,076,332 200,125,853 202,702,673 199,216,216
58,058,208 64,000,824 68,398,209 68,738,562
3,761,976 3,783,324 3,783,324 3,783,324
20,480,106 18,463, 817 15, 826, 866 16,184,644
82,300,290 86,247,965 88,008,399 88,706,530
226,635,681 237,401,962 246,054,674 248,322,784
6,574,970 5,273,808 5,776,058 5,323,962
42,165,971 43,698,048 38,880,341 34,275,999
$ 275,376,622 $ 286,373,818 $ 290,711,073 $ 287,922,745
145
CITY OF TIGARD, OREGON
CHANGES IN NET ASSETS
for the last seven fiscal years
(accrual basis of accounting)
Fiscal Year
2003 2004 2005
Expenses
Governmental activities
Community services $ 8,058,670 $ 8,744,613 $ 10,253,764
Public works 1,890,644 2,735,212 2,172,874
Development services 3,311,058 3,791,317 4,224,696
Policy and administration 3,548,649 6,175,917 6,166,577
Interest on long-term debt 602,291 947,848 716,899
Total governmental activities expenses 17,411,312 22,394,907 23,534,810
Business-type activities
Sewer 901,779 945,102 1,297,582
Storm Water 1,056,795 1,090,550 1,374,459
Water 5,325,045 5,555,590 8,200,928
Total business-type activities program expenses 7,283,619 7,591,242 10,872,969
Total primary government expenses $ 24,694,931 $ 29,986,149 $ 34,407,779
Program Revenues
Governmental activities
Charges for services:
Community services - 114,454 119,513
Public works - 603,352 1,741,747
Development services 73,332 2,928,733 3,335,125
Policy and administration - 822,177 908,053
Operating grants and contributions 133,253 252,805 285,888
Capital grants and contributions - - -
Total governmental activities program revenues 206,585 4,721,521 6,390,326
Business-type activities
Charges for services:
Sewer 1,923,596 1,809,032 1,601,113
Storm Water 1,246,809 1,156,863 1,156,220
Water 6,877,765 7,202,910 7,762,153
Capital grants and contributions - - -
Total business-type activities program revenues 10,048,170 10,168,805 10,519,486
Total primary government program revenues $ 10,254,755 $ 14,890,326 $ 16,909,812
-'Fiscal year 2002-03 was the first year that the new reporting requirements of GASB 34 were implemented
at the City of Tigard.
Source: Comprehensive Annual Financial Report of the City.
146
Fiscal Year
2006 2007 2008 2009
$ 11,241,521 $ 11,656,248 $ 13,678,913 $ 18,365,997
3,078,772 2,383,009 2,373,710 2,468,981
4,669,452 4,714,636 5,186,834 7,238,839
7,447,828 4,398,213 3,992,478 5,997,644
935,359 153,319 354,664 526,825
27,372,932 23,305,425 25,586,599 34,598,286
1,454,150 1,461,458 1,963,223 1,597,413
1,391,158 1,533,391 1,585,105 1,920,640
7,291,602 7,452,480 6,792,833 7,624,478
10,13 6,910 10,447,3 29 10,3 41,161 11,142,531
$ 37,509,842 $ 33,752,754 $ 35,927,760 $ 45,740,817
146,798 151,448 180,425 180,425
2,165,451 1,866,123 952,652 952,652
4,463,283 3,982,018 1,249,995 1,249,995
1,015,976 1,146,301 1,463,736 1,463,736
133,509 1,537,714 153,447 153,447
- 2,596,223 199,112 199,112
7,925,017 11,279,827 4,199,367 4,199,367
1,555,358 1,641,740 2,322,462 1,348,750
1,176,816 1,190,521 1,593,097 1,484,627
6,953,809 6,336,186 7,002,872 7,417,827
6,077,864 3,886,120 136,331 834,660
15,763,847 13,054,567 11,054,762 11,085,864
$ 23,688,864 $ 24,334,394 $ 15,254,129 15,285,231
147
CITY OF TIGARD, OREGON
CHANGES IN NET ASSETS (CONTINUED)
for the last seven fiscal years
(accrual basis of accounting)
Fiscal Year
2003 2004 2005
Net (Expense) Revenue
Governmental activities $ (17,204,727) $ (17,613,386) $ (17,144,484)
Business-type activities 2,764,553 2,577,563 716,899
Total primary government net expenses $ (14,440,174) $ (15,035,823) $ (16,427,585)
General Revenues and Other Changes in Net Assets
Governmental activities:
Taxes
Property taxes $ 10,472,108 $ 9,763,281 $ 10,273,332
Franchise taxes 2,567,881 2,431,324 2,670,050
Restricted intergovernmental revenues (excluding grants) - - 3,447,895
Unrestricted intergovernmental revenues 8,778,951 5,204,135 1,430,206
Interest earnings 912,288 890,785 859,057
Miscellaneous (90,350) 422,145 283,539
Total governmental activities 22,640,878 18,711,670 18,964,079
Business-type activities:
Interest earnings 593,484 426,853 604,977
Miscellaneous 248,885 23,754 135,092
Total business-type activities 842,369 450,607 740,069
Total primary government $ 23,483,247 $ 19,162,277 $ 19,704,148
Change in Net Assets
Governmental activities $ 5,436,151 $ 1,098,284 $ 1,819,595
Business-type activities 3,606,922 3,028,170 386,586
Total primary government $ 9,043,073 $ 4,126,454 $ 2,206,181
*Fiscal year 2002-03 was the first year that the new reporting requirements of GASB 34 were implemented
at the City of Tigard.
Source: Comprehensive Annual Financial Report of the City.
148
Fiscal Year
2006 2007 2008 2009
$ (19,447,915) $ (12,025,598) $ (16,341,333) $ (30,398,918)
5,626,937 2,607,238 713,601 (56,667)
$ (13,820,978) $ (9,418,360) $ (15,627,731) $ (30,455,585)
$ 10,804,524 $ 11,552,817 $ 9,133,664 $ 12,526,541
3,042,187 3,835,007 4,551,169 3,887,078
3,288,530 - - -
1,863,706 1,836,291 2,912,647 8,925,520
922,508 1,548,735 1,503,619 947,247
513,943 302,269 817,054 626,075
20,435,398 19,075,119 18,918,153 26,912,462
580,004 1,050,352 1,039,593 649,231
94,427 147,310 150,015 105,567
674,431 1,197,662 1,189,608 754,798
$ 21,109,829 $ 20,272,781 $ 20,107,761 $ 27,667,260
$ 987,483 $ 7,049,521 $ 2,576,820 $ (3,486,457)
6,301,368 3,804,900 1,903,209 698,131
$ 7,288,851 $ 10,854,421 $ 4,480,029 7(2,788,325)
149
CITY OF TIGARD, OREGON
CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
for the last seven fiscal years
(modified accrual basis of accounting)
Fiscal Year
2003 2004 2005
REVENUES
Taxes $ 10,453,992 $ 9,775,325 $ 10,334,295
Franchise fees 2,567,881 2,431,324 2,670,050
Special assessments 542,816 568,971 373,141
Licenses and permits 3,505,499 3,668,335 4,442,222
Intergovernmental revenues 4,837,982 5,456,940 5,134,991
Charges for service 1,539,676 1,819,907 2,354,372
Fines and forfeitures 480,963 613,785 646,406
Interest earnings 902,312 880,070 836,359
Miscellaneous 424,525 420,390 280,411
Total revenues 25,255,646 25,635,047 27,072,247
EXPENDITURES
Current operating:
Community services 8,692,327 9,014,200 10,750,344
Public works 2,236,753 2,104,617 2,172,875
Development services 3,628,238 3,891,491 4,316,517
Policy and administration 3,884,883 4,051,476 4,334,147
Citywide support - - -
Debt service:
Principal 2,344,496 1,300,979 1,285,275
Interest 302,674 951,072 748,417
Capital outlay 6,613,827 13,210,578 4,106,999
Total expenditures 27,703,198 34,524,413 27,714,574
Excess (deficiency) of revenues
over (under) expenditures (2,447,552) (8,889,366) (642,327)
OTHER FINANCING SOURCES (USES)
Proceeds from bond / long-term note 14,509,175 1,947,678 -
Operating transfers in 3,747,649 2,581,668 2,893,435
Operating transfers out (3,747,649) (2,581,668) (2,893,435)
Total other financing sources (uses) 14,509,175 1,947,678
Net change in fund balances $ 12,061,623 $ (6,941,688) $ (642,327)
Debt service as a percentage of non-capital expenditure: 14.35% 11.81% 9.43%
'Fiscal year 2002-03 was the first year that the new reporting requirements of GASB 34 were implemented
at the City of Tigard.
Source: Comprehensive Annual Financial Report of the City.
150
Fiscal Year
2006 2007 2008 2009
$ 10,817,886 $ 11,553,044 $ 12,137,977 $ 12,405,880
3,042,187 3,835,007 4,551,169 3,887,078
1,421,765 163,379 120,678 87,208
4,852,719 3,011,348 1,871,841 1,282,438
5,285,744 5,970,228 7,807,667 7,560,542
2,689,485 3,989,491 3,469,358 2,536,590
702,469 850,335 847,069 804,128
903,637 1,507,065 1,475,808 930,382
502,951 283,712 747,532 513,392
30,218,843 31,163,609 33,029,099 30,007,640
11,377,118 11,918,362 13,801,110 18,214,907
2,273,569 2,383,009 2,757,289 3,463,390
4,709,433 4,772,780 5,191,797 7,184,355
4,564,400 4,717,967 397,510 907,661
- 23,000 - 796,995
1,526,286 166,571 922,907 794,853
697,305 630,916 454,403 530,403
2,352,123 3,543,422 6,319,092 3,940,781
27,500,234 28,156,027 29,844,108 35,833,344
2,718,609 3,007,582 3,184,991 (5,825,705)
4,046,802 2,667,149 4,896,127 3,342,328
(4,046,802) (2,667,149) (9,299,491) (2,357,267)
- - (4,403,364) 985,061
$ 2,718,609 $ 3,007,582 $ (1,218,373) _L _j4,840,644)
9.70% 3.35% 6.22% 4.34%
151
CITY OF TIGARD, OREGON
FUND BALANCES OF GOVERNMENTAL FUNDS
for the last seven fiscal years
(modified accrual basis of accounting)
Fiscal Year
2003 2004 2005 2006 2007 2008
General Fund
Reserved $ 58,523 $ 69,069 $ 54,632 $ 20,291 $ 209,378 $ -
Unreserved 7,878,589 8,343,762 8,131,112 8,368,793 9,716,643 10,794,057
Total general fund $ 7,937,112 $ 8,412,831 $ 8,185,744 $ 8,389,084 $ 9,926,021 $ 10,794,057
All other governmental funds
Reserved $ 15,612,154 $ 7,198,519 $ 4,821,174 $ 2,719,998 $ - $ -
Unreserved, reported in:
Special revenue funds 8,355,147 7,282,391 9,253,467 10,208,277 13,445,092 12,481,406
Debt service funds - - - 1,811,861 2,027,633 682,960
Capital projects funds 9,050 8,971 - 1,589,018 1,087,826 1,309,774
Total all other governmental funds 7 23,976,351 $ 14,489,881 $ 14,074,641 $716,329,t54 $ 16,560,551 $ 14,474,140
"Fiscal year 2002-03 was the first year that the new reporting requirements of GASB 34 were implemented
at the City of Tigard.
Source: Comprehensive Annual Financial Report of the City.
152
CITY OF TIGARD, OREGON
GOVERNMENT-WIDE REVENUES
For the last seven fiscal years'
Program Revenues General Revenues
Gain (Loss)
Fiscal Charges Operating Capital on Disposition
Year Ended for Grants and Grants and Intergovernmental Interest Donated of Capital
June 30 Services Contributions Contributions Taxes Franchise Taxes Revenues Earnings Assets Assets Miscellaneous Total
w
2003 14,107,966 133,253 87,760 10,472,108 2,567,881 4,704,729 1,505,772 (27,850) (491,023) 677,408 33,738,004
2004 16,561,227 252,805 6,077,864 9,763,281 2,431,324 5,204,135 1,317,638 445,899 42,054,173
2005 16,623,924 285,888 - 10,273,332 2,670,050 4,878,101 1,464,034 418,631 36,613,960
2006 17,477,491 133,509 6,077,864 10,804,524 3,042,187 5,152,236 1,502,512 - - 608,370 44,798,693
2007 7,145,890 1,537,714 2,596,223 11,552,817 3,835,007 1,836,291 2,599,087 449,579 31,552,608
2008 5,402,574 739,171 3,103,521 12,237,185 4,551,169 2,912,647 1,503,619 (2,286,467) 28,163,419
2009 3,846,808 153,447 199,112 12,526,541 3,887,078 8,925,520 947,247 626,075 31,111,828
Fiscal year 2002-03 was the first year that the new requirements of GASB 34 were implemented at the City of Tigard.
Source: Comprehensive Annual Financial Report of the City.
CITY OF TIGARD, OREGON
GOVERNMENT-WIDE EXPENSES BY FUNCTION
For the last seven fiscal years-'
Fiscal Interest on
Year Ended Community Development Policy and Long-Term Storm
June 30 Services Public Works Services Administration Debt Sewer Water Water Total
2003 8,058,670 1,890,644 3,311,058 3,548,649 602,291 901,779 1,056,795 5,325,045 24,694,931
2004 8,744,613 2,735,212 3,791,317 6,175,917 947,848 945,102 1,080,550 5,555,590 29,976,149
2005 10,253,764 2,172,874 4,224,696 6,166,577 716,899 1,297,582 1,374,459 8,200,928 34,407,779
2006 11,241,521 3,078,772 4,669,452 7,447,828 935,359 1,454,150 1,391,158 7,291,602 37,509,842
2007 11,656,248 2,383,009 4,714,636 4,398,213 153,319 1,461,458 1,533,391 7,452,480 33,752,754
2008 13,678,913 2,373,710 2,373,710 3,992,478 526,825 1,963,223 1,585,105 6,792,833 33,286,797
2009 18,365,997 2,468,981 7,238,839 5,997,644 526,825 1,597,413 1,920,640 7,624,478 45,740,817
'Fiscal year 2002-03 was the first year that the new requirements of GASB 34 were implemented at the City of Tigard.
Source: Comprehensive Annual Financial Report of the City.
CITY OF TIGARD, OREGON
GENERAL GOVERNMENTAL REVENUES BY SOURCES -
BUDGETARY BASIS
For the last ten fiscal years
Fiscal Licenses Inter- Charges
Year Ended Franchise and governmental For Fines and Miscellaneous
June 30 Taxes Fees Permits Revenues Services Forfeitures Revenues Total
2000 7,876,219 1,960,768 2,271,148 4,658,795 675,323 371,594 3,404,178 21,218,025
2001 8,504,271 2,063,978 4,057,117 4,760,711 732,797 367,732 1,730,569 22,217,175
2002 9,018,360 2,674,388 3,147,960 4,778,451 443,418 415,760 1,359,360 21,837,697
2003 10,453,992 2,567,881 3,505,499 4,837,982 865,242 480,963 1,869,653 24,581,212
2004 9,775,325 2,431,324 3,668,335 5,456,940 1,148,271 613,785 1,858,371 24,952,351
2005 10,334,295 2,670,050 4,442,222 5,134,991 1,743,493 646,406 1,489,909 26,461,366
2006 10,817,886 3,042,187 4,852,719 5,285,744 2,689,485 702,469 2,828,353 30,218,843
2007 11,553,044 3,835,007 3,011,348 5,970,228 3,989,491 850,335 1,954,156 31,163,609
2008 12,137,977 4,551,169 1,871,841 847,069 1,475,808 847,069 2,344,018 24,074,951
2009 12,405,880 3,887,078 1,282,438 7,560,542 2,536,590 804,128 1,530,983 30,007,640
Includes special assessments collections and private donations.
Information derived from Comprehensive Annual Financial Reports for all Governmental Fund Types
155
CITY OF TIGARD, OREGON
GENERAL GOVERNMENTAL EXPENDITURES BY FUNCTION -
BUDGETARY BASIS
For the last ten fiscal years
City-Wide
Support
Public Works Functions,
Fiscal and Capital
Year Ended Community Community Policy and Projects Debt
June 30 Services Development Administration and Other Service Total
2000 8,322,224 4,738,142 2,287,819 3,902,719 2,699,338 21,950,242
2001 8,696,210 4,832,637 2,593,816 3,894,954 672,656 20,690,273
2002 8,372,801 5,927,523 309,559 2,700,075 2,785,404 20,095,362
2003 8,692,327 5,864,991 279,753 2,971,446 2,647,170 20,455,687
2004 9,014,200 5,996,108 821,553 13,210,578 4,310,054 33,352,493
2005 10,750,344 6,489,391 1,017,764 4,106,999 2,033,691 24,398,189
2006 11,377,118 3,983,002 4,564,400 2,352,123 2,223,591 24,500,234
2007 11,918,362 7,155,789 4,717,967 3,566,422 2,297,487 29,656,027
2008 13,801,110 7,949,086 397,510 6,319,092 1,377,310 29,844,108
2009 18,214,907 10,647,745 1,704,656 3,940,781 1,325,256 35,833,344
Information derived from Comprehensive Annual Financial Reports for all Governmental Fund Types
156
CITY OF TIGARD, OREGON
MARKET VALUE AND ASSESSED VALUE OF TAXABLE PROPERTY
For the last ten fiscal years
Fiscal Assessed Value Assessed to
Year Public Total Estimated Value as a
Ended Real Personal Utility Total Direct Real Market Percentage
June 30 Property Property Property Assessed Value Tax Rate Value (RMV) of RMV
2000 2,694,978,680 224,934,987 113,115,415 3,033,029,082 2.59 3,938,205,819 77.02%
2001 2,903,403,430 229,530,723 121,662,548 3,254,596,701 2.60 4,354,132,334 74.75%
2002 3,085,457,460 221,564,523 163,556,880 3,470,578,863 2.58 4,624,009,037 75.06%
2003 3,227,082,340 215,829,652 178,798,982 3,621,710,974 2.90 4,804,794,161 75.38%
2004 3,376,409,604 206,038,692 171,911,103 3,754,359,399 2.68 5,151,890,520 72.87%
2005 3,543,033,334 204,589,409 160,586,232 3,908,208,975 2.70 5,402,433,125 72.34%
2006 3,717,827,074 210,841,242 159,236,470 4,087,904,786 2.72 5,913,857,305 69.12%
2007 3,932,173,130 229,401,995 183,090,030 4,344,665,155 2.73 7,152,421,012 60.74%
2008 4,104,676,710 234,099,260 233,581,850 4,572,357,820 2.74 7,449,594,674 61.38%
2009 4,306,936,640 247,691,980 187,315,080 4,741,943,700 2.69 8,161,684,333 58.10%
Assessed Value by Type
for the fiscal year ended 2009
Real Property
91%
Personal Property
5%
Public Utility Property
4%
Source: Washington County Assessment and Taxation
157
CITY OF TIGARD, OREGON
PROPERTY TAX RATES - DIRECT AND OVERLAPPING GOVERNMENTS
(Dollars per $1,000 of Assessed Value rounded to the nearest cent)
For the last ten fiscal years
Tigard/ Washington
Fiscal Metzger City of Tigard Tualatin Beaverton Tualatin County
Year Water Direct Rates School School Valley Rural Fire Portland Other
Ended District Perm Debt Washington District District Fire & Rescue District Community Taxing
June 30 Combined Rate Svc County No.23 J No. 48 District No. 2 College Agencies
2000 0.21 2.51 0.08 2.54 6.31 6.19 1.56 1.29 0.36 0.70
2001 0.25 2.51 0.09 2.53 7.24 6.12 1.59 1.30 0.37 0.70
2002 0.23 2.51 0.07 2.96 7.04 6.37 1.83 1.31 0.55 0.69
2003 0.23 2.51 0.39 2.91 7.90 6.56 1.82 1.12 0.49 0.63
2004 0.22 2.51 0.17 2.90 7.88 8.01 1.83 1.12 0.51 0.62
2005 0.13 2.51 0.19 2.87 7.79 6.60 1.83 1.12 0.51 0.62
2006 - 2.51 0.21 2.84 7.85 7.98 1.82 1.12 0.50 0.63
2007 2.51 0.22 2.45 7.67 6.29 1.82 1.12 0.49 0.60
2008 2.51 0.23 2.44 7.59 6.74 1.56 1.12 0.28 0.61
2009 2.51 0.18 2.39 7.52 6.56 1.54 1.12 0.50 0.70
Taxes levied may be composed of three types of levies: (1) a base operating levy, (2) a special operating levy approved by the voters in the district and (3) a debt service levy. Eac
district with outstanding General Obligation bonded debt is required to levy taxes sufficient with other available funds, to meet principal and interest payments when due.
All operating levies were convened to a permanent rate by the passage of measure 50 in 1997. Permanent rates can not be changed. Prior to Measure 50, rates were dependent o
both the levy and assessed value.
Assessment and tax rolls are prepared and maintained by Washington County for all taxing districts with territory in the County. The County collects all taxes against proper}
County (except assessments for improvements charged to benefited property) and distributes taxes collected at least monthly. No charges are made to the taxing districts for the
services.
NOTE: - Not all taxing districts are charged on each parcel of property, actual rates on tax bills are a combination of the above depending upon the location of the parcel and th
school district and sewer and water district boundaries. Total overlapping tax rates for property in Tigard in 2009 ranged from $13.44/$1,000 to $16.43/$1,000.
Source: Washington County Department of Assessment and Taxation.
158
CITY OF TIGARD, OREGON
PRINCIPAL PROPERTY TAXPAYERS
For current and nine years ago
2009 2000
Percentage Percentage
Taxable of Total City Taxable of Total City
Assessed Assessed Assessed Assessed
Taxpag er Value Rank Value Value Rank Value
Pacific Realty Associates 173,040,340 1 3.65% 113,111,340 1 3.73%
Washington Square LLC 109,554,577 2 2.31% 83,555,010 2 2.75%
Lincoln Center LLC 78,952,670 3 1.66% 60,712,100 3 2.00%
Verizon Northwest Inc. 58,571,887 4 1.24%
Sprint Nextel Corp. 53,698,400 5 1.13% 16,200,080 10 0.53%
Park 217 & Nelson Business Park 36,010,260 6 0.76%
Portland General Electric 29,641,000 7 0.63% 19,505,400 6 0.64%
Northwest Natural Gas 27,123,200 8 0.57%
Macy's Department Stores 21,258,900 9 0.45%
Holland Holdings 1 Arbor Heights 19,706,850 10 0.42%
Constance Robinson (Trust) - - 17,473,240 8 0.58%
The May Department Stores 16,293,210 9 0.54%
GTE Northwest 46,030,230 4 1.52%
Spieker Properties 26,977,160 5 0.89%
Portland Hotel Associates - - 19,459,810 7 0.64%
$ 607,558,084 12.81% $ 419,317,580 13.82%
Source: Washington County Assessment & Taxation records.
159
CITY OF TIGARD, OREGON
PROPERTY TAX LEVIES AND COLLECTIONS
For the last ten fiscal years
Percent Percent
Total Tax Delinquent
Fiscal Total Percent Delinquent Total Collections Outstanding Taxes
Year Ended Tax Current Tax of Levy Tax Tax To Tax Delinquent To Tax
June 30 Levy Collections Collections Collections Collections Levy Taxes Levy
2000 7,881,754 7,385,015 93.70% 270,169 7,655,184 97.13% 395,287 5.02%
2001 8,479,977 8,017,056 94.54% 241,309 8,258,365 97.39% 365,837 4.31%
2002 8,984,987 8,498,029 94.58% 241,336 8,739,365 97.27% 373,584 4.16%
2003 10,521,836 9,942,473 94.49% 252,892 10,195,365 96.90% 394,897 3.75%
2004 10,072,155 9,519,258 94.51% 249,358 9,768,616 96.99% 388,113 3.85%
2005 10,568,724 10,032,595 94.93% 293,729 10,326,324 97.71% 330,296 3.13%
2006 11,115,136 10,571,115 95.11% 252,844 10,823,959 97.38% 310,629 2.79%
2007 11,871,043 11,514,034 96.99% 210,217 11,724,251 98.76% 346,648 2.92%
2008 12,515,279 11,895,526 95.05% 121,148 12,016,674 96.02% 425,546 3.40%
2009 12,732,804 12,005,730 94.29% 142,047 12,147,777 95.41% 531,172 4.17%
Taxes are levied as of July 1 each year and are payable in three installments, without interest, on November 15, February 15, and May
15. Interest is charged at the rate of 1% per month on delinquent taxes. Tax liens are foreclosed after three year's delinquencies.
Taxpayers receive a discount of 3% for payment in full by November 15 and 2% for payment of two thirds of the total taxes due.
City Property Taxes Levied
14,000,000
12,000,000
10,000,000
8,000,000 -
6,000,000 -
4,000,000
2,000,000 - -
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
160
CITY OF TIGARD, OREGON
SPECIAL ASSESSMENT COLLECTIONS
For the last ten fiscal years
Fiscal Year Current Ratio of Total
Ended Assessments Assessments Collections Outstanding
June 30 Due (1) Collected (2) to Amount Due Assessments
2000 329,174 971,414 295.11% 3,761,444
2001 234,907 290,268 123.57% 3,494,465
2002 240,894 343,642 142.65% 4,621,388
2003 185,975 542,816 291.88% 4,150,052
2004 637,900 557,911 87.46% 3,471,643
2005 598,804 373,141 62.31% 3,074,031
2006 821,321 1,421,765 173.11% 1,639,875
2007 937,916 163,379 17.42% 1,461,838
2008 116,194 120,678 103.86% 1,264,746
2009 23,100 87,208 377.53% 1,353,832
(1) This amount is equal to the matured principal on Bancroft improvement bonds.
(2) Represents collections of current assessments for payment of Bancroft improvement bonds as well
as assessment collections on projects for which such bonds have not been issued.
Source: City assessment records
161
CITY OF TIGARD, OREGON
RATIO OF ANNUAL DEBT SERVICE EXPENDITURES FOR LONG-TERM DEBT TO
TOTAL GENERAL GOVERNMENTAL EXPENDITURES
For the last ten fiscal years
Total Percent of Debt
Fiscal Year Total General Service to
Ended Debt Governmental Total General
June 30 Principal Interest Service Expenditures Expenditures
2000 2,487,352 211,986 2,699,338 21,950,242 12.30%
2001 2,408,085 207,914 2,615,999 22,638,451 11.56%
2002 4,195,966 325,036 4,521,002 20,095,362 22.50%
2003 2,351,917 254,833 2,606,750 20,455,687 12.74%
2004 3,358,982 929,462 4,288,444 34,524,413 12.42%
2005 1,285,275 748,817 2,034,092 27,714,574 7.34%
2006 1,526,286 697,305 2,223,591 27,500,234 8.09%
2007 1,666,571 630,916 2,297,487 29,656,027 7.75%
2008 922,907 454,403 1,377,310 29,844,108 4.62%
2009 794,853 530,403 1,325,256 35,833,344 3.70%
Source: Comprehensive Annual Financial Reports of the City.
(1) Includes bond anticipation notes principal and interest.
(2) Includes bond anticipation notes interest and certificates of participation principal and interest
162
CITY OF TIGARD, OREGON
RATIO OF NET GENERAL BONDED DEBT TO ASSESSED VALUE AND
NET BOUNDED DEBT PER CAPITA
For the last ten fiscal years
Gross
General Ratio of
Obligation Less Debt Net Bonded
Fiscal Year Bonded Service Net Debt to Net Bonded
Ended Assessed Debt Out- Monies Bonded Assessed Debt Per
June 30 Population Value Standing ' ^ Available Debt Value Capita
2000 39,672 3,033,029,082 2,442,075 1,492,889 949,186 0.03% 23.93
2001 42,260 4,354,132,334 1,982,168 1,609,030 373,138 0.01% 8.83
2002 43,040 3,470,578,863 2,824,243 2,154,758 669,485 0.02% 15.55
2003 44,070 4,804,794,161 15,393,293 2,270,985 13,122,308 0.27% 297.76
2004 44,650 3,754,359,399 16,239,519 1,713,313 14,526,206 0.39% 325.33
2005 45,500 3,908,208,975 15,164,807 1,312,547 13,852,260 0.35% 304.45
2006 46,300 4,087,904,786 11,572,205 1,849,770 9,722,435 0.24% 209.99
2007 46,400 4,344,665,155 11,066,369 1,849,770 9,216,599 0.21% 198.63
2008 46,715 4,572,357,820 10,547,958 296,805 10,251,153 0.22% 219.44
2009 47,460 4,741,943,700 10,011,895 258,769 9,753,126 0.21% 205.50
Excludes bond anticipation notes payable.
Sources: City budget documents, Comprehensive Annual Financial Reports of the City and Washington County Department of
Assessment and Taxation.
163
CITY OF TIGARD, OREGON
COMPUTATION OF DIRECT AND OVERLAPPING GENERAL OBLIGATION DEBT
June 30, 2009
Percent Amount
Applicable Applicable
Net Debt Inside City Inside City
Jurisdiction Outstanding of Tigard of Tigard
Tigard/Tualatin School District #23-j $ 138,870,000 50.0312% $ 69,478,327
Ti-Met 44,395,000 3.8455% 1,707,210
Metro 205,626,671 3.8230% 7,861,108
Beaverton School District #48 377,140,000 3.7495% 14,140,864
Portland Community College 44,405,000 4.8553% 2,155,996
Washington County 36,780,000 11.1846% 4,113,696
Tualatin Valley Fire & Rescue District 1,475,000 12.4000% 182,900
Sub-Total of Overlapping Debt 848,691,671 99,640,101
City of Tigard 10,011,895 100.0000% 10,011,895
Total for Overlapping Debt $ 858,703,566 $ 109,651,996
Source: Oregon State Treasury Debt Management Division
164
CITY OF TIGARD, OREGON
COMPUTATION OF LEGAL DEBT MARGIN
For the last ten fiscal years
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
Debt limit $ 118,146,175 $ 130,623,970 $ 138,720,271 $ 144,143,825 $ 154,556,716 $ 162,072,994 $ 122,637,144 $ 130,339,955 $ 137,170,735 $ 142,258,311
Total net debt applicable to limit 695,000 245,000 245,0W 19,526,586 14,428,648 12,060,540 9,289,259 9,724,836 10,547,958 10,011,895
Legal debt margin $ 117,451,175 $ 130,378,970 $ 138,475,271 $ 124,617,239 $ 140,128,068 $ 150,012,454 $113,347,885 $120,615,119 $ 126,622,777 $ 132,246,416
Total net debt applicable to the limit
as a percentage of debt limit 059% 0.19% 0.18% 1355% 9.34% 7.44% 7.57% 7.46% 7.69% 7.04%
Legal Debt Margin Calculation at June 30, 2009
True cash value (2008-2009) $ 4,741,943,700
3%
Debt Limit (3% of total property real market value) 142,258,311
Debt applicable to limit:
Gross bonded debt $ 11,290,025
Excludable debt- Bancroft improvement bonds (1,278,130)
Debt subject to limitation 10,011,895
Legal debt margin- amount available for future indebtedness S 132,246,416
Total net debt applicable to the limit
as a pert enrage of debt limit 7.04%
Note: Pursuant to Oregon Revised Statutes 287.C04, outstanding general obligation debt is limited to
3 percent of real market value
Source: Washington County Department of Assessment and Ta.ration
165
CITY OF TIGARD, OREGON
RATIO OF DEBT BY TYPE
For the last ten fiscal years
(1)
Fiscal Year General Long-Term Percentage (2)
Ended Obligation Bancroft Note Payable Total of Personal Per
June 30 Population Bonded Debt Bonded Debt Debt Government Income Capita
2000 39,672 2,442,075 1,747,075 4,189,150 0.40% 105.59
2001 42,260 1,982,168 1,512,168 3,494,336 0.34% 82.69
2002 43,040 2,824,243 2,579,243 2,290,248 7,693,734 0.74% 178.76
2003 44,070 15,393,293 2,393,293 2,091,727 19,878,313 1.91% 451.06
2004 44,650 16,239,519 3,703,071 1,892,200 21,834,790 2.09% 483.82
2005 45,500 15,164,807 3,104,267 1,681,637 19,950,711 N/A 446.82
2006 46,300 11,572,205 2,282,946 1,465,007 15,320,158 N/A 330.10
2007 46,400 11,066,369 1,345,030 1,242,187 13,653,586 N/A 294.26
2008 46,715 10,547,958 1,301,230 1,012,986 12,862,174 N/A 275.33
2009 47,460 10,011,895 1,278,130 777,296 12,067,321 N/A 254.26
(1) See page 154 for personal income data
(2) Per capita data is using Tigard's population
N/A = Not available
Sources: City budget documents, Comprehensive Annual Financial Reports of the City and Washington County
Department of Assessment and Taxation.
166
CITY OF TIGARD, OREGON
DEMOGRAPHICS STATISTICS
For the last ten fiscal years
(4)
Assessed Total (2)
Value Personal Unemployment
of Taxable (3) (4) Income Rate
Fiscal Year (1) Property School Per Capita (thousands Portland
Ended June 30 Population Per Capita Enrollment Income of dollars) Metro Area
2000 39,672 76,453 11,145 27,974 1,109,793 4.10%
2001 42,260 77,014 11,500 27,128 1,146,445 4.50%
2002 43,040 80,636 11,785 26,584 1,144,177 7.50%
2003 44,070 82,181 11,686 26,145 1,152,206 8.80%
2004 44,650 83,190 11,831 25,734 1,161,384 6.80%
2005 45,500 87,530 11,653 N/A N/A 6.30%
2006 46,300 88,081 12,134 N/A N/A 6.30%
2007 46,400 93,635 12,100 N/A N/A 4.80%
2008 46,715 97,878 12,451 N/A N/A 5.30%
2009 47,460 99,915 12,685 N/A N/A 9.70%
Sources of Information:
(1) State of Oregon, Department of Administrative Services
(2) U.S. Bureau of Labor Statistics
(3) Tigard/Tualatin School District #{23-J - City student totals not available
(4) Washington State University - Northwest Income Indicators Project
- Personal income data for Tigard was not available so data was calculated using the ratio of Tigard's population
to Washington County's total population. The ratio was then applied to total personal income for Washington County
to arrive at an estimated personal income for the City of Tigard.
Population and School Enrollment Trends
50,000 -
45,000 a
40,000
35,000 i
30,000
25,000
20,000
15,000
10,000
5,000
0
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
-M-Population School Enrollment
167
CITY OF TIGARD, OREGON
PRINCIPAL EMPLOYERS
For current year and nine years ago
2009 2000
Percentage Percentage
of total City of total City
Employer Employees Rank employment Employees Rank employment
HSBC Card Services 948 1 3.36%
Tigard - Tualatin School District 779 2 2.76%
Macy's 704 3 2.49% 502 2 2.18%
Nordstrom 579 4 2.05% 476 3 2.07%
Oregon Public Employees Retirement 396 5 1.40%
Providence Health System 377 6 1.34%
Costco Wholesale Corporation 300 7 1.06%
City of Tigard 266 8 0.94%
The Cheesecake Factory 250 9 0.89%
Home Depot 241 10 0.85%
Renaissance Credit Services - - 1,167 1 5.08%
Servicemaster Building Maintenance 250 4 1.09%
Rockwell Collins Flight Dynamics - 249 5 1.08%
4,840 17.14% 2,644 11.51%
Source: City of Tigard Adopted Budget and Tigard Chamber of Commerce.
168
CITY OF TIGARD, OREGON
PROPERTY VALUE AND CONSTRUCTION
For the last ten fiscal years
Commercial Residential
Fiscal Year Construction (1) Construction (1)
Ended Number of Number of
June 30 Permits Value Permits Value
2000 22 55,244,410 198 (2) 37,202,497
2001 23 47,262,611 576 (2) 114,188,480
2002 12 21,583,399 387 (2) 96,339,584
2003 10 22,289,054 375 (2) 104,951,598
2004 17 59,523,557 375 (2) 99,056,117
2005 11 49,645,891 325 (2) 96,002,190
2006 8 50,744,300 299 (2) 100,965,847
2007 9 50,512,736 231 (2) 67,798,361
2008 6 73,614,404 93 (2) 31,810,734
2009 4 1,944,775 42 (2) 9,324,154
(1) From City of Tigard Building Department. Multi-family permits are included in the
number of permits issued for residential construction.
(2) Residential totals for permits and value include amounts from
Urban/Washington County as well as City of Tigard.
169
CITY OF TIGARD, OREGON
FULL-TIME EQUIVALENT CITY GOVERNMENT EMPLOYEES BY FUNCTION
For the last ten fiscal years
Full-time Equivalent Employees as of June 30
2000 2001 2002 2003 2004 2005 2006 # 2007 2008 2009
Function / Program
Community services
Police 72.00 76.33 75.50 75.00 76.00 77.00 78.00 80.00 93.00 93.00
Library 29.70 31.00 30.70 30.65 28.90 33.20 33.20 34.20 41.90 41.90
Parks maintenance (a) - - - - - - - - -
Public works
Administration 6.00 6.00 6.50 7.00 7.00 7.85 7.60 7.60 8.85 8.85
Parks maintenance (a) 9.50 9.50 9.75 10.25 11.00 10.75 10.75 10.75 9.75 9.75
Street maintenance 11.50 11.50 9.35 9.20 8.50 8.00 7.00 7.00 7.00 7.00
Fleet maintenance 3.00 3.00 3.22 3.10 3.25 3.00 2.50 2.50 2.50 2.50
Property management 3.00 3.00 3.38 3.25 3.25 3.25 3.25 3.25 4.25 4.25
Development services
Administration 9.00 3.00 3.00 3.00 3.00 3.00 3.00 2.00 3.00 3.00
Building inspection 15.00 12.50 13.50 13.50 16.30 18.30 18.80 19.80 17.80 6.20
Current planning 6.50 9.00 9.00 9.00 8.20 8.20 8.20 8.20 10.20 10.20
Long range planning 4.00 4.00 5.00 5.00 5.00 5.00 7.00 8.00 7.00 7.00
Engineering 15.50 15.50 16.00 16.00 15.50 15.50 15.50 10.50 10.50 10.50
Development Engineering (b) 5.00 5.00 4.00
Downtown Redevelopment (c) 1.00 1.00
Policy and Administration
City management 5.50 5.80 5.80 5.80 4.00 3.80 3.80 3.80 5.30 5.30
Human resources 3.50 3.50 4.00 4.00 4.00 4.00 4.00 4.00 5.00 5.00
Information technology 4.50 4.50 8.00 8.00 6.00 6.00 7.00 8.00 7.00 7.00
Risk management 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.50 2.50
Finance admnistration 1.00 2.00 3.00 3.00 3.00 3.00 3.00 3.00 3.00 3.00
Financial operations 10.00 10.75 10.80 10.80 10.80 10.80 10.80 10.80 5.50 5.50
Utility Billing (d) 6.50 6.50
Office services 7.00 7.00 7.00 7.00 7.30 7.30 7.30 7.30 4.50 4.50
City Recorder/Records (e) 3.00 3.00
Municipal court 3.00 4.00 4.00 3.00 3.00 3.00 3.00 3.00 3.25 3.25
Sanitary Sewer 7.00 7.00 6.93 6.95 7.25 7.75 7.25 7.35 5.35 5.35
Storm Sewer 7.00 7.00 6.92 6.95 7.75 8.25 7.25 6.35 7.10 7.10
Water 17.00 17.00 17.95 18.00 17.00 16.25 16.50 17.30 16.30 16.30
Total 252.20 254.88 261.30 260.45 258.00 265.20 266.70 271.70 296.05 283.45
Source: City of Tigard Finance Department
(a) Parks maintenance was budgeted in Community Services until FY 2001-02 at which time it was moved to the Public Works division.
(b) Development Engineering was budgeted with Capital Construction & Transportation as Engineering until FY 2006-07.
(c) Downtown Redevelopment was budgeted with Long Range Planning until FY 2008-09.
(d) Utility Billing was budgeted with Financial Operations until FY 2007-08.
(e) City Recorder/Records was budgeted with Office Services until FY 2008-09.
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CITY OF TIGARD, OREGON
OPERATING INDICATORS BY FUNCTION/PROGRAM
For the last seven fiscal years
Fiscal Year
Functions /Programs 2003 2004 2005 2006 2007 2008 2009
Governmental activities:
Community services
Police-number of traffic citations issued 6,993 6,815 6,006 6,800 6,979 6,383 6,925
Police-number of calls for service 50,403 49,333 53,754 51,062 51,000 51,377 50,115
Library-number of items in collection 114,094 115,618 125,570 143,500 156,500 176,210 193,710
Library-materials checked out each year 684,475 685,000 728,250 850,000 918,540 1,131,093 1,249,462
Public works
Acres of park land maintained 1,465 170 176 176 180 184 189
Crack sealing completed annually (linear feet) 150,000 98,000 150,000 151,000 160,000 160,000 160,000
Vehicles maintained to industry standard 140 140 144 148 150 153 158
Development services
Number of inspections (Tigard) 13,000 14,200 21,000 19,550 23,000 23,500 7,778
Number of permits (all types) in Tigard 2,760 3,300 3,600 3,351 4,500 4,850 2,278
Number of development applications 330 400 430 374 507 450 508
Policy and administration
Number of job applications 1,000 1,800 1,900 2,000 2,000 2,300 2,215
Laptops and computers to maintain 275 325 445 500 540 435 451
Insured value of City's real property (in millions) $ 25.2 $ 27.9 $ 38.8 $ 40.8 $ 46.2 $ 73.5
Number of utility bills sent 104,014 106,055 109,854 112,775 113,502 115,574 114,500
Average fine amount collected $ 53 $ 68 $ 78 $ 97 $ 90 $ 94 $ 90
Business-type activities:
Sewer
Miles of sewer lines cleaned (annual goal) 47.3 53.2 48.5 50.8 51.6 53.4 46.6
Miles of sewer lines video inspected (annual goal) 20.3 20.7 26.1 21.8 22.1 23.0 23.2
Storm Water
Miles of storm sewer lines cleaned 27.8 30.2 13.7 28.5 29.6 43.6 30.2
Number of Water Quality facilities 45 60 62 70 73 75 88
Total number of catch basins cleaned 3,760 3,867 3,915 4,045 4,150 4,915 4,437
Water
Number of accounts 16,364 16,712 17,022 17,300 17,400 17,870 17,900
Number of main breaks repaired 12 15 10 10 10 20 10
'Fiscal year 2002-03 was the first year that the new reporting requirements of GASB 34 were implemented
at the City of Tigard.
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CITY OF TIGARD, OREGON
CAPITAL ASSETS STATISTICS BY FUNCTION
For the last seven fiscal years
Fiscal Year
Functions /Programs 2003 2004 2005 2006 2007 2008 2009
Governmental activities:
Community services
Police stations 1 1 1 1 1 1 1
Library buildings 1 1 1 1 1 1 1
Public works
Number of parks 11 13 13 13 13 13 14
Acres of park and greenspaces 293.5 347.0 347.0 347.0 348.0 348.0 396.0
Miles of streets 142.5 150.0 150.0 150.0 150.0 150.0 150.0
Development services
See Note
Policy and administration
City-owned building facilities 4 5 5 5 5 5 5
Business-type activities:
Sewer
Total miles of sanitary sewer lines 142.0 146.6 148.0 152.8 160.4 160.4 161.0
Storm Water
Total miles of storm sewer lines 111.0 110.6 113.0 116.6 130.9 131.0 131.0
Number of Water Quality facilities 45 60 62 62 77 77 79
Water
Water mains in miles 210 210 220 224 225.1 225.1 225.1
Number of reservoirs 13 13 13 13 13 13 13
Source: City of Tigard Finance Department
Note: No capital assets indicators are available for development services functions.
'Fiscal year 2002-03 was the first year that the new reporting requirements of GASB 34 were
implemented at the City of Tigard.
172
AUDIT COMMENTS AND
DISCLOSURE REQUIRED BY
STATE REGULATIONS
173
1,
174
CITY OF TIGARD, OREGON
A UDIT COMMENTS AND DISCLOSURES REQUIRED BY STATE REGULATIONS
YEAR ENDED JUNE 30, 2009
Oregon Administrative Rules 162-10-050 through 162-10-320 incorporated in the Minimum
Standards for Audits of Oregon Municipal Corporations, prescribed by the Secretary of State in
cooperation with the Oregon State Board of Accountancy, enumerate the financial statements,
schedules, comments and disclosures required in audit reports. The required statements and
schedules are set forth in the preceding sections of this report. Required comments and disclosures
related to our audit of such statements and schedules are as follows.
We have audited the financial statements of the governmental activities, the business-type activities,
each major fund and the aggregate remaining fund information of City of Tigard, Oregon (the City),
as of and for the year ended June 30, 2009, which collectively comprise the City's basic financial
statements and have issued our report thereon dated January 29, 2010. We conducted our audit in
accordance with auditing standards generally accepted in the United States of America.
Significant Accounting Policies
The significant accounting policies followed in preparing the City's financial statements are
summarized in the notes to the basic financial statements.
Organization and Fund Structure
The organization and fund structure of the City are documented on the title page and in the notes to
the basic financial statements.
Internal Accounting Control and Accounting Records
In planning and performing our audit, we considered the City's internal control over financial
reporting as a basis for designing our auditing procedures for the purpose of expressing our
opinions on the financial statements, but not for the purpose of expressing an opinion on the
effectiveness of the City's internal control over financial reporting. Accordingly, we do not express
an opinion on the effectiveness of the City's internal control over financial reporting.
A control deficiency exists when the design or operation of a control does not allow management or
employees, in the normal course of performing their assigned functions, to prevent or detect
misstatements on a timely basis. A significant deficiency is a control deficiency, or combination of
control deficiencies, that adversely affects the entity's ability to initiate, authorize, record, process,
or report financial data reliably in accordance with accounting principles generally accepted in the
United States of America such that there is more than a remote likelihood that a misstatement will
not be prevented or detected by the entity's internal control.
A material weakness is a significant deficiency, or combination of significant deficiencies, that
results in more than a remote likelihood that a material misstatement of the financial statements will
not be prevented or detected by the entity's internal control.
Our consideration of internal control over financial reporting was for the limited purpose described
in the first paragraph of this section and would not necessarily identify all deficiencies in internal
control that might be significant deficiencies or material weaknesses. Our comments on internal
controls over financial reporting are contained in a separate letter on significant deficiencies dated
January 29, 2010.
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CITY OF TIGARD, OREGON
AUDIT COMMENTS AND DISCLOSURES REQUIRED BY STATE REGULATIONS (Continued)
YEAR ENDED JUNE 30, 2009
Adequacy of Accounting Records
The City's accounting records were reasonably maintained and adequate to support our audit of the
basic financial statements.
Indebtedness
The general obligation bonded debt of the City is in compliance with the limitation imposed by
ORS 264.250 (3). We noted no defaults in principal, interest, sinking fund, or redemption
provisions with respect to any of the City's liabilities, and no breach of the bond agreements, at
June 30, 2009.
Adequacy of Collateral Securing Depository Balances
The City has complied with Oregon Revised Statutes Chapter 295 in relation to deposit accounts.
Investments
Our review of deposit and investment balances indicated that the City was in compliance with ORS
295, as it pertains to investment of public funds, during the year ended June 30, 2009.
Budget Compliance
The City appears to have complied in all material respects with Local Budget Law (ORS 294.305 to
294.520) in the preparation, adoption and execution of its budget and tax levy for the year ended
June 30, 2009, and the preparation and adoption of its budget for the year ending June 30, 2010,
except as noted in the notes to the basic financial statements.
A description of the budgeting process is included in the notes to the basic financial statements.
Insurance Policies and Fidelity Bonds
We have reviewed the City's insurance and fidelity bond coverage at June 30, 2009. We
ascertained that such policies appeared to be in force and in compliance with legal requirements
relating to insurance and fidelity bond coverage.
Public Contracting and Purchasing
Our review of the City's public contracting, purchasing procedures and construction of public
improvement requirements (ORS 279) indicated that the City was in compliance.
Programs Funded From Outside Sources
We have reviewed the City's compliance with appropriate laws, rules, and regulations pertaining to
material programs funded wholly or partially by other governmental agencies. The City is in
compliance with the guidelines in all material aspects.
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CITY OF TIGARD, OREGON
AUDIT COMMENTSAND DISCLOSURES REQUIRED BY STATE REGULATIONS (Continued)
YEAR ENDED JUNE 30, 2009
Financial Reporting Requirements
We have reviewed financial reports and other data relating to material programs funded wholly or
partially by other governmental agencies. This data, filed with other governmental agencies, is in
agreement with and supported by the accounting records.
Highway Funds
The City complied with the legal requirements, Article IX, Section 3a of the Oregon Constitution
pertaining to the use of revenue from taxes on motor vehicle fuel.
This report is intended solely for the information and use of the City Council and management of the
City of Tigard, Oregon, the Oregon Secretary of State Audits Division, and is not intended to be and
should not be used by anyone other than these specified parties.
GROVE, MUELLER & SWANK, P. C.
CERTIFIED PUBLIC ACCOUNTANTS
By:
Charles A. Swank, A Shareholder
January 29, 2010
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Inside Back Cover is Blank
TIGARD