CAFR Report - 1997-1998
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1 CITY OF TIGARD
1 OREGON
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City of Tigard, Oregon
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Comprehensive Annual
Financial Report
' For The Fiscal Year Ended June 30, 1998
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i CITY OF TIGARD, OREGON
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COMPREHENSIVE ANNUAL FINANCIAL REPORT
for the fiscal year ended June 30, 1998
Prepared by:
City of Tigard - Finance Department
City of Tigard, Oregon '
Table of Contents
Page
INTRODUCTORY SECTION: '
Letter of Transmittal i
Mayor and City Council Members x
Organizational Chart A
Certificate of Achievement for Excellence in Financial Reporting xii
FINANCIAL SECTION:
Report of Independent Accountants 1
GENERAL PURPOSE FINANCIAL STATEMENTS
("Liftable" Financial Statements):
Combined Balance Sheet - All Fund Types and Account Groups 2
Combined Statement of Revenues, Expenditures and Changes in
Fund Balances - All Governmental Fund Types .3
Combined Statement of Revenues, Expenditures and Changes in
Fund Balances - Budget and Actual - All Governmental Fund
Types 4 e
Combined Statement of Revenues, Expenses and Changes in
Retained Earnings - All Enterprise Funds 5 ,
Combined Statement of Cash Flows - All Enterprise Funds 6
Statement of Plan Net Assets - Pension Trust Funds 7
Statement of Changes in Plan Net Assets - Pension Trust Funds 8 '
Notes to General Purpose Financial Statements 9
SUPPLEMENTARY DATA (Combining and Individual Fund and
Account Group Statements and Other Financial Schedules):
General Fund:
Schedule of Revenues and Expenditures - Budget and Actual 30
Special Revenue Funds:
Combining Balance Sheet 31
Combining Statement of Revenues, Expenditures and Changes
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In Fund Balance 32
Schedule of Revenues and Expenditures - Budget and Actual:
'Forfeitures From Criminal Activity Fund 33
State Tax Street Fund 34
Parks SDC Fund 35
County Gas Tax Fund 36 ,
1 City of Tigard, Oregon
Table of Contents
Page
FINANCIAL SECTION, Continued:
SUPPLEMENTARY DATA (Combining and Individual Fund and
' Account Group Statements and Other Financial Schedules), Continued:
Special Revenue Funds, Continued:
r Schedule of Revenues and Expenditures - Budget and Actual,
Continued:
Traffic Impact Fund 37
Electrical Inspection Fund 38
Underground Utility Fund 39
Worker's Compensation Fund 40
t Building Fund 41
Urban Services - TIF Fund 42
Urban Services Fund 43
Tree Replacement Fund 44
Debt Service Funds:
Combining Balance Sheet 45
Combining Statement of Revenues, Expenditures and Changes
' In Fund Balance 46
Schedule of Revenues and Expenditures - Budget and Actual:
General Obligation Bond Debt Service Fund 47
Bancroft Bond Debt Service Fund 48
Capital Projects Funds:
Combining Balance Sheet 49
Combining Statement of Revenues, Expenditures and Changes
In Fund Balance 50
Schedule of Revenues and Expenditures - Budget and Actual:
Local Improvement Capital Projects Fund 51
Metro Greenspaces Fund 52
Park Levy Capital Improvement Fund 53
Facility Fund 54
1 Enterprise Funds:
Combining Balance Sheet 55
Combining Statement of Revenues, Expenditures and Changes
' In Retained Earnings 56
Combining Statement of Cash Flows 57
City of Tigard, Oregon
Table of Contents
Page '
FINANCIAL SECTION, Continued:
SUPPLEMENTARY DATA (Combining and Individual Fund and
Account Group Statements and Other Financial Schedules), Continued:
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Enterprise Funds, Continued:
Schedule of Revenues and Expenditures - Budget and Actual:
Sewer Fund 58
Storm Drainage Fund 59
Water Quality & Quantity Fund 60
Water General Fund 61
Water Systems Development Fund 62
Water Capital Projects Fund 63
Fiduciary Funds:
Pension Trust Funds:
Combining Statement of Plan Net Assets 64
Combining Statement of Changes in Plan Net Assets 65
General Fixed Assets Account Group: ,
Schedule of General Fixed Assets - By Sources 66
Schedule of General Fixed Assets - By Function and Activity 67
Schedule of Changes in General Fixed Assets - By Function
and Activity 68
Other Schedules:
Schedule of Property Tax Transactions and Outstanding
Balances 69
Schedule of Bond and Bond Interest Transactions 70
Schedule of Future Debt Service Requirements of Bancroft
Improvement Bonds 71
Schedule of Future Debt Service Requirements of General
Obligation Bonds 72
' City of Tigard, Oregon
Table of Contents
Page
STATISTICAL SECTION:
General Governmental Expenditures by Function - Budgetary Basis -
for the last ten fiscal years 73
General Governmental Revenues by Sources - Budgetary Basis -
for the last ten fiscal years 74
Property Tax Levies and Collections - for the last ten fiscal years 75
' Market Value and Assessed Value of Taxable Property -
for the last ten fiscal years 76
Special Assessment Collections - for the last ten fiscal years 77
Property Tax Rates - Direct and Overlapping Governments -
for the last ten fiscal years 78
Ratio of Net General Bonded Debt to Assessed Value and Net Bonded
' Debt Per Capita - for the last ten fiscal years 79
Computation of Legal Debt Margin - June 30, 1998 80
Computation of Overlapping General Obligation Debt - June 30, 1998 81
Ratio of Annual Debt Service Expenditures for Long-term Debt to
Total General Governmental Expenditures -
for the last ten fiscal years 82
Property Value and Construction - for the last ten fiscal years 83
Principal Taxpayers - June 30, 1998 84
Demographic Statistics - for the last ten fiscal years 85
Miscellaneous Statistical Data - June 30, 1998 86
AUDIT COMMENTS AND DISCLOSURES REQUIRED BY
STATE REGULATIONS:
Auditors' Comments and Disclosures 87
~ INTRODUCTORY
' SECTION
CITY OF TIGARD
December 2, 1998
CITY OF TIGARD
Honorable Mayor and Members of the City Council OREGON
City of Tigard, Oregon
Submitted herewith is the Comprehensive Annual Financial Report of the City of Tigard
(the City) for the fiscal year ended June 30, 1998. This report was prepared by the
City's Finance Department. Responsibility for both the accuracy of the presented data
and the completeness and fairness of presentation, including all disclosures, rests with
the City. We believe the data, as presented, are accurate in all material respects and
are presented in a manner designed to fairly set forth the financial position and results of
operations of the various funds and account groups of the City. All disclosures
necessary to enable the reader to gain the maximum understanding of the City's
financial activities have been included.
The Comprehensive Annual Financial Report is presented in four sections: introductory,
financial, statistical and audit comments and disclosures. The introductory section
includes this transmittal letter, the City's organization chart and a list of principal officials.
I The financial section includes the general purpose financial statements and the
combining and individual fund and account group financial statements and schedules.
The statistical section includes selected financial and demographic information,
generally presented on a multi-year basis. The audit comments and disclosures section
contains audit comments and disclosures required by State regulations.
' This report includes all funds and account groups of the City under the direction of the
City Council. The City provides a full range of services including police protection;
sewer, storm drainage, streets and parks repair and maintenance; community planning
and building inspection; and infrastructure improvements. Tigard/Tualatin School
District, Tualatin Valley Water District, and the Tualatin Valley Fire and Rescue District
1 operate within the City limits but do not meet the established criteria for inclusion in this
reporting entity and, accordingly, are excluded from this report.
Economic Condition and Outlook
t The City of Tigard is located in Eastern Washington County just 12 miles southwest of
downtown Portland, Oregon. Tigard has continued to be one of the fastest growing
' cities in Washington County and, with a population of approximately 37,400, is the
eleventh largest City in the State.
13125 SW Hall Blvd., Tigard, OR 97223 (503) 639-4171 TDD (503) 684-2772
Building activity in Tigard has been very strong for many years. Over the past four '
years, new construction values have averaged $118 million per year. The last fiscal
year, however, has seen a marked decrease in building activity in the City. Total value
added through new construction for 1997/98 was $76 million.
New residential single family units typically account for about 60% of new construction
values however due to a reduction in the number of single family units constructed in '
1997/98, the proportion has dropped to 40%. Single family units have averaged 337
over the past several years, however only 142 permits were issued in 1997/98. In
addition, nearly 1,200 units of multifamily housing have been built over the past four '
years, while none were built in 1997/98.
Commercial development has remained strong, with 1997/98 being one of the busiest
commercial construction years in recent history. Tigard has averaged $42.6 million in
commercial construction value over the past four years. 1997/98 commercial activity
reached $45.3 million.
Tigard's proximity to the Portland metropolitan area provides its citizens with many
diverse employment opportunities. Over 52,000 jobs are located within a five minute
drive from Tigard. The unemployment rate in the Portland metropolitan area averaged
just under 3.9% during the year. ,
Tigard's assessed value for 1996/97 was $3,111,388,324. Up until June 30, 1997,
assessed value was required to be market value. A new property tax limitation known
as Measure 50, which disconnected assessed value from market value for purposes of
distributing property tax levies, passed in May 1997. Measure 50 reduced assessed '
value for 1997/98 to the 1995/96 market value, less 10%, plus the value of new
construction. According to the 1997/98 Washington County summary of assessment
and tax roll, assessed values for most properties are now about 78% of market value. '
Tigard's real property market value for 1997/98 was $3,424,967,272, which represents a
10% increase over the previous year. Tigard's assessed value, however, was reduced ,
from the 1996/97 level to $2,711,669,298. This reduction resulted from the
implementation of Measure 50 and the addition of new construction value since
1995/96. Future growth in assessed value is limited by Measure 50 to 3% per year plus
new construction. Tigard's taxing authority is limited to it's permanent rate of $2.51 per
thousand dollars of assessed value. '
Due to the effects of Measure 50 on the property tax system in Oregon, Tigard's
increase in property tax revenue each year is limited to 3% plus the revenue generated ,
from the application of the permanent rate to new construction values. For the first time,
new construction produces additional property tax dollars.
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In spite of the decline in residential construction activity and the reductions in future tax
revenue brought on by Measure 50, the economic outlook for the City remains good.
The City has continued to experience growth in most areas including the local economy,
population, fair market value and commercial development activity.
Major Initiatives
The City has operated since 1980 using a five-year financial plan. Each plan sets forth
the activities and services that will be provided to citizens over the next five-year period.
Along with the services to be provided, the plan calls for a certain level of property
taxation to support those services. Before each five-year plan has been implemented,
voters have had the opportunity to decide whether to support the needed level of taxes.
Tigard voters have supported four such property tax increase requests since 1980. The
' most recent request was placed on the November 1994 ballot and was passed by Tigard
voters. The measure called for a $1,700,000 increase in the tax base. The new levy
authority was levied in 1996/97. The five-year plan, which covers the operation of the
City from 1996/97 through 2000/01 called for the addition of eighteen police positions
over the life of the plan.
1 City management and elected officials use the five-year plan to evaluate annual financial
decisions and their future impacts. Each budget presented to the budget committee
includes a comparison to the plan to ensure that the intent of the plan is continued from
year to year.
Measure 50 fundamentally altered the property tax system in Oregon in such a way that
the tax base system of dollar levy authority was converted to a rate system. No longer
can the City go to voters for increased taxing authority on a permanent basis. Local
option tax increases are available, but can only last for five years. Tigard will be
embarking on a financial analysis over the next several years to determine what it's long
term revenue strategy should be in light of these significant changes in the property tax
landscape.
■ The Pacific Corporate Center development continues to progress. This development is
the result of a Local Improvement District that was used to install streets and other
infrastructure. Since the completion of the improvements in 1990, over 300,000 square
feet of prime office space has been built. Recently added to the development is a
Marriot Hotel with 110 guest rooms. Other additions include restaurants, banks and
additional new office and retail space.
The Dartmouth Local Improvement District project was completed in the summer of
1994. The road improvement provided a connection between Highway 99W and
' Interstate 5 in an area referred to as the Tigard Triangle. This opened up hundreds of
acres of raw land for commercial development.
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Cub Foods and Costco have opened for business with over 220,000 square feet of retail
space. An additional 23,000 square feet of retail space was added with the opening of
an Office Max office supply discount store. A third large project known as the Tri County
center has been approved and will be under construction soon. This project will add
over 330,000 square feet of retail space.
In May 1998, the City Council passed the final ordinance to spread the final assessable
cost of the Dartmouth Local Improvement District of $4,576,837. Early in July 1998, '
payments were received in the amount of $1,063,584, contracts to pay in installments
were received in the amount of $1,565,576 and the remaining balance is included in a
lawsuit filed by the property owners in Washington County Circuit Court. Because '
construction financing matures on December 1, 1998, bonds will be sold to fund the
contracts and the proceeds together with the cash payments will be used to retire the '
interim financing. The balance will be rolled over into eighteen month notes in
anticipation of a settlement on the remaining assessments in the near future.
From a development perspective, both of these Local Improvement Districts have been
very successful in attracting high value commercial development. It is estimated that the
total value at build out from both areas will exceed $40,000,000. The costs of the
improvements which have been or will be assessed to the benefiting property owners is
just under $6,500,000.
During 1995/96, discussions began on the possible expansion of Cook Park, the City's '
major recreational facility, which includes ball fields, playgrounds, boating facilities, and
natural areas. The expansion of the park has involved the acquisition of additional land '
adjacent to the park, and the planned development of additional soccer, baseball and
football fields, gazebo, along with restroom facilities and parking. The project is
currently envisioned as a cooperative effort between the City and various sports
associations. A contract for design of the future park facilities has been awarded.
The City of Tigard finished 1997/98 in a strong financial position. Tigard faired better '
than most communities with the implementation of Measure 50 because voters had
passed an increased tax base in 1994 that was not levied until 1996/97. Because of the '
timing of this levy, it was recognized by Measure 50 and included in the permanent rate
calculation. Ending fund balances for most funds remain strong. Outstanding debt is '
decreasing. Assessed value continues to increase and commercial development activity
remains strong. All of these things taken together make Tigard one of the most
financially stable communities in the State and more able to deal with growth and ,
limitations on funding sources.
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Financial Information
1 Management of the City is responsible for establishing and maintaining an internal
control system designed to ensure that the assets of the City are protected from loss,
1 theft or misuse and to ensure that adequate accounting data is compiled to allow for the
preparation of financial statements in conformity with generally accepted accounting
principles. The internal control system is designed to provide reasonable, but not
r absolute, assurance that these objectives are met. The concept of reasonable
assurance recognizes that: (1) the cost of a control should not exceed the benefits likely
' to be derived; and (2) the valuation of costs and benefits requires estimates and
judgments by management.
Budgeting Controls
In addition, the City maintains budgetary controls, the objective of which is to ensure
compliance with legal provisions in the annual appropriated budget adopted by the
' Tigard 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 to meet its responsibility for sound financial management.
General Governmental Functions
The revenues for general governmental functions (all governmental funds) on a
generally accepted accounting principles basis totaled $19,196,019 in fiscal year 1998.
I The 3.78% decrease from fiscal year 1997 resulted primarily from a decrease in charges
for services and licenses and permits, of which both relate to the decrease in building
activity during the fiscal year. Revenues from various sources and changes from last
year are shown below:
Increase/
1 Percent (Decrease) Percent
of from Fiscal Increase/
Functions Amount Total Year 1997 (Decrease)
Taxes $ 8,255,173 43.00% $ 555,740 6.73%
Franchise fees 1,755,719 9.15% 18,786 1.07%
Special assessments 173,947 0.91% (180,030) -(103.50)%
Licenses and permits 2,823,031 14.71% (959,053) -(33.97)%
Intergovernmental revenues 4,085,789 21.28% 251,675 6.16%
Charges for services 375,890 1.96% (422,239) -(112.33)%
Fines and forfeitures 378,145 1.97% (19,492) -(5.15)%
Miscellaneous revenues 1,348,326 7.02% 29,255 2.17%
Total $ 19,196,020 100.00% $ (725,358) -3.78%
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Property tax revenue increased over last year due to an increased tax base in 1994 that
was first levied in 1996/97. Because of the timing of this levy, it was recognized by '
Measure 50 and included in the permanent rate calculation. Also, new construction
added to the tax base, under Measure 50, increased property tax revenue.
Intergovernmental revenues have also increased due to growth in population and growth ,
in library circulation. Licenses and permits revenues have decreased due to a reduction
in building permit activity. ,
The following schedule presents a summary of program expenditures for all
governmental funds including debt service for the fiscal year ended June 30, 1998, and. ,
the changes from last year:
Increase
Percent (Decrease) Percent '
of from Fiscal Increase
Functions Amount Total Year 1997 (Decrease)
Community services $ 6,973,417 37.26% $ 436,320 6.26%
Development services 4,072,109 21.76% 564,191 13.86% ,
Policy and administration 1,914,207 10.23% 214,394 11.20%
City-wide support function. 306,984 1.64% 61,327 19.98%
Capital improvements 3,277,207 17.51% (1,159,955) -(35.39%) '
Debt service 2,171,542 11.60% 53,585 2.47%
Total $ 18,715,466 100.00% $ 169,862 0.91%
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Total expenditures increased .91% from the previous year. The decrease in Capital '
improvements resulted from the Dolan settlement of $1.5 million dollars that was
recorded in fiscal year 1997 and paid in fiscal year 1998. Other capital projects vary
from year to year depending on weather and bid schedules. '
Fund Balances
Total governmental fund balances of the City were $12,187,497 at June 30, 1998,
consisting of $5,627,911 in the General Fund, $6,125,453 in the Special Revenue '
Funds, $206,711 in the Debt Service Funds, and $227,422 in the Capital Projects
Funds.
Enterprise Operations
The City's enterprise activities include sanitary sewer, storm sewer and water ,
operations. Although the Unified Sewerage Agency (USA) owns and operates sewage
treatment plants and sets the sewer rates, the City bills sewer accounts and maintains ,
all sewer lines within the City. The City also maintains the storm sewer system
throughout the City, and-charges a monthly surface water fee at a rate set by the
Regional Surface Water Management Agency, a regional entity affiliated with USA.
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Sewer operating revenues derived primarily from service charges amounted to
' $1,392,163. Operating expenses totaled $943,561 resulting in net income of $732,781
after nonoperating interest revenues totaling $284,179.
Storm drainage operating revenues amounted to $1,347,382. Storm drainage operating
expenses totaled $867,236 resulting in net income of $572,098 after nonoperating
' interest revenues totaling $91,952.
Water operating revenues derived from user charges amounted to $3,907,683.
' Operating expenses totaled $4,407,605 resulting in net income of $96,091 after
nonoperating interest revenues totaling $596,012.
' Pension Trust Funds
The City provides a retirement plan for each employee group. Non-police personnel,
including both management and non-management, are covered by ICMA money
purchase plans. Effective July 1, 1989, police personnel were included in the State of
Oregon Public Employes Retirement System. In addition, all employees have the option
to contribute to an ICMA deferred compensation program. The money purchase plans
are accounted for in a pension trust fund. The deferred compensation plan is accounted
for in an agency fund.
Cash Management
Temporarily idle cash during the year was invested in accordance with the investment
policy in certificates of deposit, banker's acceptances, commercial paper, U.S. Treasury
Agencies and Notes, and the State of Oregon Local Government Investment Pool, as
approved by the City Council. Pension trust funds are invested by the agents with which
investment funds have been deposited and are therefore not included in the City's
investment activities.
Results of investment activity for the fiscal year are shown below in comparison with the
previous year:
' Investment Income 1998 1997
General Fund $ 335,682 $ 266,232
Special Revenue Funds 315,489 228,601
Capital Projects Funds 51,745 102,329
Debt Service Funds 58,179 52,642
Enterprise Funds 972,143 838,512
Pension Trust Fund 855,370 592,200
$ 2,588,608 $ 2,080,516
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The objective of the City's investment policy is to provide for the preservation of City ,
assets, to ensure such assets are available to meet obligations and to provide for a
reasonable rate of return on those assets.
Risk Management
The City has initiated a Risk Management Program to include regular risk categories '
such as property and liability as well as workers' compensation. Such risks are currently
being insured by third party insurance companies, however; participation in insurance
pools and/or self insurance is being discussed. ,
Debt Management i
At June 30, 1998, the City has the following debt issues outstanding:
General obligation bonds $ 2,475,000
Bancroft improvement bonds 885,000 ,
Bond anticipation notes 4,625,000
$ 7,985,000 ,
The State of Oregon mandates a general obligation debt limit of 3 percent of true cash ,
value of taxable property within the City boundaries. The limit totaled $102,749,018 at
June 30, 1998. The City's debt subject to this limit was $2,475,000. Bancroft Bonds and
bond anticipation notes are not subject to the limitation. Therefore, $100,274,018 is '
available for future indebtedness.
The City has an Al bond rating from Moody's Investment Services on its general
obligation bonds.
Independent Audit
Oregon State Law requires every municipal corporation to submit an annual financial ,
report to the Secretary of State and to have its combined financial statements audited by
an independent certified public accountant in accordance with generally accepted '
auditing standards and Minimum Standards for Audits of Oregon Municipal Corporations
as prescribed by the Secretary of State in cooperation with the Oregon State Board of
Accountancy. The City is in full compliance with the aforementioned requirements, and
the independent auditor's opinion has been included in this report.
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Awards
For the last fifteen consecutive years, the City has received the Certificate of
Achievement for Excellence in Financial Reporting from the Government Finance
Officers Association of the United States and Canada (GFOA). In order to be awarded a
Certificate of Achievement for Excellence, a governmental unit must publish an easily
' readable and efficiently organized comprehensive annual financial report, which
conforms to program standards. Such reports must satisfy both generally accepted
accounting principles and applicable legal requirements. In our opinion, this report
conforms to these standards.
A Certificate of Achievement is valid for a period of one year only. We believe that our
current comprehensive annual financial report continues to meet the Certificate of
Achievement Program's requirements, and we are submitting to the GFOA to determine
its eligibility for another certificate.
In addition, the City also received the GFOA's Award for Distinguished Budget
1 Presentation for its last nine adopted budgets. In order to qualify for the Distinguished
Budget Presentation Award, the City's budget document was judged to be proficient in
several categories including policy document, financial plan, operations guide and
' communications device.
Acknowledgements
The preparation of the comprehensive annual financial report was made possible by the
dedicated service of the entire staff of the Finance Department. Each member of the
Department has our sincere appreciation for the contributions made in the preparation of
this report.
In closing, without the leadership and support of the City Council of the City of Tigard,
preparation of this report would not have been possible.
1 Sincerely,
William A. Monahan Wayne Lowry
City Manager Director of Finance
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CITY OF TIGARD '
' City of Tigard, Oregon
MAYOR AND COUNCIL MEMBERS AS OF JUNE 30, 1998
' Name Term Expires
Mayor James Nicoli December 31, 1998
10594 SW Windsor Ct.
Tigard, OR 97223
' Councilor Paul Hunt December 31, 2000
10320 SW Century Oak Drive
' Tigard, OR 97224
Councilor Bob Rohlf December 31, 1998
12430 SW North Dakota
Tigard, OR 97223
Councilor Brian Moore December 31, 2000
9835 SW Kimberly Drive
Tigard, OR 97224
Councilor Ken Scheckla December 31, 1998
10890 SW Fairhaven Way
Tigard, OR 97223
William A. Monahan, City Manager
Wayne Lowry, Director of Finance
Cyndi A. Turner, Financial Operations Manager
' LEGAL COUNSEL
O'Donnell, Ramis, Crew, Corrigan & Bachrach
1727 NW Hoyt Street
Portland, OR 97209
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City of Tigard, Oregon ,
Organization Chart
Citizens ,
Mayor & City ,
City CounCli Attorney
City Manager
Finance
Pogee LWr:ry Public Works Development Englneering Administration
Administration Administration Administration Administration Engineering City Recorder Finance '
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Operations Readers
Serv I ices Sanitary Sewer Building Street Lights/ Community Accounting
Inspection Signals Involvement
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Support Technical Storm Sewer Current Human Office Services
Services Serv ices Planning Resources '
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Risk
Circulation Water Advance Management Records
Planning
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Street
Maintenance Municipal Court
Shops &
Services
Property Mgmt.
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Parks ,
Maintenance
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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, 1997
A Certificate of Achievement for Excellence in Financial
Reporting is presented by the Government Finance Officers
Association of the United States and Canada to
Q government units and public employee retirement
systems whose comprehensive annual financial
reports (CAFRs) achieve the highest
standards in government accounting
and financial reporting.
_ NgE OF,
t~ OF
GUAM President
CORPS TM s
SEAT. ~dY
CHICAGO Y~r7 465
Executive Director
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CITY OF TIGARD '
FINANCIAL
' SECTION
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CITY OF TIGARD
' PAULY, ROGERS AND CO., RC.
® CERTIFIED PUBLIC ACCOUNTANTS
' 12700 SW 72ND AVENUE • TIGARD, OREGON 97223
• (503) 620-2632 • FAX (503) 684-7523 August 28, 1998
' To the Honorable Mayor and
Members of the City Council
' Tigard, Oregon
INDEPENDENT AUDITORS' REPORT
' We have audited the general purpose financial statements of the City of Tigard, Oregon, as of and for
the year ended June 30, 1998 as listed in the table of contents. The general purpose financial
statements are the responsibility of the City's management. Our responsibility is to express an opinion
' on these financial statements based on our audit. The general purpose financial statements of the City
of Newberg as of June 30, 1997, were audited by other auditors whose report dated September 17,
1997, except for Note 16 as to which the date is November 18, 1997, expressed a unqualified opinion
' on those statements.
We conducted our audit in accordance with generally accepted auditing standards. Those standards
require that we plan and perform the audit to obtain reasonable assurance about whether the general
purpose financial statements are free of material misstatement. An audit includes examining, on a test
basis, evidence supporting the amounts and disclosures in the general purpose financial statements. An
' audit also includes assessing the accounting principles used and significant estimates made by
management, as well as evaluating the general purpose financial statement presentation. We believe
that our audit provides a reasonable basis for our opinion.
' In our opinion, the general purpose financial statements referred to above present fairly, in all material
respects, the financial position of the City of Tigard, Oregon, as of June 30, 1998, and the results of
its operations, and the cash flows of its enterprise fund type for the year then ended, in conformity
' with generally accepted accounting principles. .
Our audit was conducted for the purpose of forming an opinion on the general purpose financial
' statements taken as a whole. The supplementary data of combining and individual fund and account
group statements and other financial schedules, as listed in the table of contents is presented for
purposes of additional analysis and is not a required part of the general purpose financial statements.
Such information has been subjected to the auditing procedures applied in the audit of the general
purpose financial statements and, in our opinion, is fairly stated in all material respects in relation to
the general purpose financial statements taken as a whole.
The other data included in this report, designated as the statistical section in the table of contents, has
not been audited by us,, and accordingly, we express no opinion on such data.
' PAULY, ROGERS AND CO., P.C.
BY:
L. Parry Anke en, CPA
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C►'~`( Of T►GAR~ '
' General Purpose Financial Statements
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CITY OF TIGARD a
COMBINED BALANCE SHEET
ALL FUND TYPES AND ACCOUNT GROUPS
June 30, 1998 O
Governmental
Special D
ASSETS AND OTHER DEBITS General Revenue
Assets:
Cash and investments $ 6,238,496 $ 6,372,407
Restricted cash and investments
Accounts receivable 1,780
Due from other Funds
Property taxes receivable 255,209
Assessment liens receivable 197,709
Accrued interest on delinquent assessments
Prepaid insurance 23,248 D
Inventory 23,002
Fixed Assets, net
Amount to be provided for retirement of
general long-term debt
Total Assets and Other Debts $ 6,541,735 $ 6,570,116
LIABILITIES, FUND EQUITY AND OTHER CREDITS
Liabilities:
Accounts payable and accrued liabilities $ 621,849 $ 65,248
Due to other Funds 109,060
Customer deposits 106,198
Deferred revenues:
Property taxes 185,777
Assessment liens receivable 191,744
Accrued interest on delinquent assessments
Contractor Deposits 78,611
Accrued vacation payable
Deferred compensation payable
Bond anticipation notes payable
Bonds payable
Special assessment bonded debt
with government commitment 0
Total Liabilities 913,824 444,663
Fund Equity and Other Credits:
Contributed capital
Investment in general fixed assets
Retained earnings
Fund balances:
Reserved for prepaid insurance 23,248
Reserved for inventory 23,002
Reserved for employee retirement benefits
Unreserved and designated for debt services
Unreserved and undesignated 5,581,661 6,125,453
Total Fund Equity and Other Credits 5,627,911 6,125,453
Total Liablilities, Fund Equity and Other Credits $ 6,541,735 $ 6,570,116
The accompanying notes are an integral part of the general purpose financial statements.
2
' Proprietary Fiduciary
Fund Types Fund Type Fund Types Account Groups
' General Totals
Debt Capital Trust General Long-term (Memorandum
Service Projects Enterprise and Agency Fixed Assets Debt Only)
t $ 216,103 $ 241,413 $ 12,178,790 $ 9,312,222 $ - $ - $ 34,559,431
4,937,901 4,937,901 /
52,362 1,370,591 1,424,733V
109,060 109,060
62,279 585 517 318,590
5,848,881 6,046,590
37,586 37,586
23,248
168,395 191,397
38,090,600 12,465,780 50,556,380
' 8,451,766 8,451,766
$ 6,164,849 $ 403,420 $ 56,746,795 $ 9,312,222 $ 12,465,780 $ 8,451,766 $ 106,656,682
' $ 26,489 $ 175,572 $ 2,054,404 $ - $ - $ - $ 2,943,562
109,060
38,459 144,657
1 45,331 426 231,534
5,848,731 636 6,041,111
37,586 37,586
78,611
77,959 466,766 544,725
2,811,036 2,811,036
4,625,000 4,625,000
2,475,000 2,475,000
' 885,000 885,000
5,958,137 175,998 2,171,458 2,811,036 8,451,766 20,926,881
43,744,434 43,744,434
12,465,780 12,465,780
10,830,902 10,830,902
23,248
23,002
6,501,186 6,501,186
206,712 227,422 12,141,248
206,712 227,422 54,575,336 6,501,186 12,465,780 85,729,801
$ 6,164,849 $ 403,420 $ 56,746,794 $ 9,312,222 $ 12,465,780 $ 8,451,766 $ 106,656,682
t
CITY OF TIGARD '
1
1
O
' CITY OF TIGARD, OREGON
COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES
' IN FUND BALANCES - ALL GOVERNMENTAL FUND TYPES
for the fiscal year ended June 30, 1998
Totals
Special Debt Capital (Memorandum
' General Revenue Service Projects Only)
Revenues:
Taxes $ 6,656,066 $ $ 1,597,880 $ 1,227 $ 8,255,173
Franchise fees 1,755,719 1,755,719
' Special assessments 173,947 173,947
Licenses and permits 607,136 2,215,895 2,823,031
Intergovernmental revenues 2,226,300 1,814,934 44,555 4,085,789
Charges for services 106,001 269,889 375,890
Fines and forfeitures 378,145 378,145
Miscellaneous 423,006 532,956 177,374 214,990 1,348,326
Total Revenues 12,152,373 4,833,674 1,949,201 260,772 19,196,020
' Expenditures:
Current:
Community services 6,972,217 1,200 6,973,417
Public Works 240,073 644,360 884,433
' Community development 1,417,942 1,769,734 3,187,676
Policy and administration 1,575,226 338,981 1,914,207
City-wide support function 237,885 69,098 306,983
Capital projects 298,430 929,841 2,048,936 3,277,207
' Debt service 2,171,542 2,171,542
Total expenditures 10,741,773 3,753,214 2,171,542 2,048,936 18,715,465
1 Excess of revenues over
(under) expenditures 1,410,600 1,080,460 (222,341) (1,788,164) 480,555
Undesignated, Unreserved - Fund Balance
Beginning of year - as previously stated 4,217,311 5,044,993 1,261,053 1,183,586 11,706,943
Prior period adjustment (Note 18) (832,000) 832,000
Undesignated,.Unreserved - Fund Balance
End of year - as restated $ 5,627,911 $ 6,125,453 $ 206,712 $ 227,422 $ 12,187,498
The accompanying notes are an integral part of the general purpose financial statements.
3
CITY OF TIGARD, OREGON ,
COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES
IN FUND BALANCES - BUDGET AND ACTUAL- ALL GOVERNMENTAL FUND TYPES
for the fiscal year ended June 30, 1998 '
General Fund Special Revenue Funds ,
Variance Variance
Revised Favorable! Revised Favorable/
Budget Actual (Unfavorable) Budget Actual (Unfavorable) ,
Revenues:
Taxes $ 5,388,265 $ 6,656,066 $ 1,267,801 $ - $ - $ -
Franchise fees 1,742,000 1,755,719 13,719
Special assessments '
Licenses and permits 612,000 607,136 (4,864) 2,309,368 2,215,895 (93,473)
Intergovernmental revenues 2,243,192 2,226,300 (16,892) 2,150,536 1,814,934 (335,602)
Charges for services 77,000 106,001 29,001 1,685,188 269,889 (1,415,299)
Fines and forfeitures 323,500 378,145 54,645
Miscellaneous 256,152 423,006 166,854 245,500 532,956 287,456
Total Revenues 10,642,109 12,152,373 1,510,264 6,390,592 4,833,674 (1,556,918)
Expenditures: '
Current:
Community services 6,984,377 6,972,217 12,160 13,269 1,200 12,069
Community development 1,703,764 1,658,015 45,749 2,989,771 2,414,094 575,677
Policy and administration 1,650,890 1,575,226 75,664 353,935 338,981 14,954 ,
City-wide support function 250,766 237,885 12,881 72,840 69,098 3,742
Contingency 412,764 412,764 380,330 380,330
Capital projects 1,979,146 1,798,430 180,716 6,573,644 929,841 5,643,803
Debt service
Total expenditures 12,981,707 12,241,773 739,934 10,383,789 3,753,214 6,630,575 ,
Excess of revenues
over (under) expenditures (2,339,598) (89,400) 2,250,198 (3,993,197) 1,080,460 5,073,657 '
Undesignated, Unreserved - Fund Balance
Beginning of year- as previously stated 5,565,838 5,717,311 151,473 4,219,150 5,044,993 825,843
Prior period adjustment (Note 18)
Undesignated, Unreserved - Fund Balance
End of year - as restated $ 3,226,240 $ 5,627,911 $ 2,401,671 $ 225,953 $ 6,125,453 $ 5,899,500
The accompanying notes are an integral part of the general purpose financial statements.
I
4 '
' Debt Service Funds Capital Projects Funds Totals (Memorandum Only)
Variance Variance Variance
Revised Favorable/ Revised Favorable/ Revised Favorable/
Budget Actual (Unfavorable) Budget Actual (Unfavorable) Budget Actual (Unfavorable)
$ 1,599,675 $ 1,597,880 $ (1,795) $ $ 1,227 $ 1,227 $ 6,987,940 $ 8,255,173 $ 1,267,233
1,742,000 1,755,719 13,719
163,449 173,947 10,498 163,449 173,947 10,498
1 2,921,368 2,823,031 (98,337)
633,000 44,555 (588,445) 5,026,728 4,085,789 (940,939)
1,762,188 375,890 (1,386,298)
323,500 378,145 54,645
1 149,284 177,374 28,090 250,000 214,990 (35,010) 900,936 1,348,326 447,390
1,912,408 1,949,201 36,793 883,000 260,772 (622,228) 19,828,109 19,196,020 (632,089)
6,997,646 6,973,417 24,229
4,693,535 4,072,109 621,426
2,004,825 1,914,207 90,618
' 323,606 306,983 16,623
793,094 793,094
2,896,423 2,048,936 847,487 11,449,213 4,777,207 6,672,006
2,165,550 21171,542 (5,992) 2,165,550 2,171,542 (5,992)
2,165,550 2,171,542 (5,992) 2,896,423 2,048,936 847,487 28 427,469 20,215,465 8,212,004
(253,142) (222,341) 30,801 (2,013,423) (1,788,164) 225,259 (8,599,360) (1,019,445) 7,579,915
565,109 1,261,053 695,944 2,013,423 1,183,586 (829,837) 12,363,520 13,206,943 843,423
(832,000) (832,000) 832,000 832,000
1 $ 311,967 $ 206,712 $ (105,255) $ - $ 227,422 $ 227,422 $ 3,764,160 $ 12,187,498 $ 8,423,338
1
1
1
1
i
:1
CITY OF TIGARD, OREGON ,
COMBINED STATEMENT OF REVENUES, EXPENSES AND
CHANGES IN RETAINED EARNINGS '
ALL ENTERPRISE FUNDS
for the fiscal year ended June 30, 1998 '
Operating revenues:
Service charge $ 6,485,122
Miscellaneous 162,106
Total operating revenues 6,647,228
Operating expenses:
Salaries, wages and benefits 3,304,903
Contracted services 66,706
General, administrative and other 1,666,685
Depreciation 1,180,107
Total operating expenses 6,218,401
Operating income 428,827
Nonoperating revenues - Interest 972,143 '
Net Income 1,400,970
Add depreciation on fixed assets donated or acquired from capital '
contributions that reduce contributed capital 983,829
Increase in retained earnings 2,384,799
Retained earnings - beginning of year 8,446,103
Retained earnings - end of year $ 10,830,902
The accompanying notes are an integral part of the general purpose financial statements.
5
CITY OF TIGARD, OREGON
COMBINED STATEMENT OF CASH FLOWS
ALL ENTERPRISE FUNDS
for the fiscal year ended June 30, 1998
' Cash flows from operating activities:
Operating income $ 428,827
Adjustments to reconcile operating income
to net cash provided by operating activities:
Depreciation 1,180,107
Increase in accounts receivable 217,133
Decrease in inventory (18,571)
Increase in customer deposits (40,240)
' Increase in accounts payable and accrued liabilities 414,672
Increase in accrued vacation payable 4,311
Decrease in deferred revenue (514)
Loss on disposal of fixed assets 691
Decrease in due to/from other funds (107,787)
1 Net cash provided by operating activities 2,078,629
Cash flows from capital and related financing activities:
Capital contributions 1,030,986
Acquisition of fixed assets (3,614,138)
Net cash used by capital and related financing activities (2,583,152)
I'.
Cash flows from investing activities -
Interest earnings 972,143
Net increase in cash and cash equivalents 467,620
I Cash and cash equivalents - beginning of year 16,649,071
Cash and cash equivalents - end of year $ 17,116,691
' Supplemental schedule of noncash investing, capital and related financing activities:
Contributed sewer, storm and water lines $ 2,174,818
Cash and cash equivalents are displayed on the balance sheet as follows:
Cash and investments $ 12,178,790
Restricted cash and investments 4,937,901
$ 17,116,691
' The accompanying notes are an integral part of the general purpose financial statements.
6
CITY OF TIGARD, OREGON
PENSION TRUST FUNDS
STATEMENT OF PLAN NET ASSETS 1
June 30, 1998
Cash and investments $ 6,501,186
Net assets held in trust for pension benefits $ 6,501,186
1
1
1
1
i
i
1
1
The accompanying notes are an integral part of the general purpose financial statements. ,
7 ,
' CITY OF TIGARD, OREGON
PENSION TRUST FUNDS
1 STATEMENT OF CHANGES IN PLAN NET ASSETS
for the fiscal year ended June 30, 1998
' Additions:
Contributions $ 549,949
Interest 855,370
Total additions 1,405,319
Deductions:
Benefit payments and withdrawls, 321,484
Increase in net assets 1,083,835
Net assets held in trust for pension benefits:
Beginning of year 5,417,351
End of year $ 6,501,186
i
1
1
1
1
' The accompanying notes are an integral part of the general purpose financial statements.
8
CITY OF TIGARD ,
1
Notes to General Purpose Financial Statements
City of Tigard, Oregon '
Notes to General Purpose Financial Statements
1. Summary of Significant Accounting Policies: '
The City of Tigard, Oregon, under its Charter of 1962; is governed by an elected mayor
and four council members who comprise the City Council. The City has no component '
units.
Measurement Focus
The financial statements of the Governmental Fund Types are accounted for using a
current financial resources measurement focus. With this measurement focus, only ,
current assets and current liabilities generally are included on the combined balance
sheet.
Operating statements of governmental funds present increases (revenues and other ,
financing sources) and decreases (expenditures and other financing uses) in net current
assets. Agency funds do not present operating results. ,
The Proprietary Fund Type (Enterprise Funds) and Pension Trust Fund are accounted
for using a flow of economic resources measurement focus. With this measurement
focus, all assets and all liabilities associated with the operation of these funds are
included on the combined balance sheet.
Bases of Accounting ,
The Governmental Fund Types and Agency Fund are maintained on the modified
accrual basis of accounting. Under the modified accrual basis of accounting, revenues t
are recorded in the accounting period in which they become measurable and available
and expenditures are recorded in the time liabilities are incurred.
Revenues which were measurable and available at June 30, 1998 under the modified
accrual basis of accounting were as follows:
* State, county, and local shared revenues for cigarette tax, liquor tax and other.
* Property tax revenues and assessment liens principal installments which are i
collected within sixty days following year-end.
The accrual basis of accounting is utilized by the Enterprise Funds and Pension Trust '
Fund. Under this method, revenues are recorded when earned, and expenses are
recorded at the time liabilities are incurred. These funds have applied all Financial
Accounting Standards Board (FASB) Statements and Interpretations, Accounting
Principles Board Opinions and Accounting Research Bulletins of the Committee and
Accounting Procedure issued on or before November 30, 1989, unless those
pronouncements conflict with or contradict Governmental Accounting Standards Board
(GASB) pronouncements.
The bases of accounting described above are in accordance with generally accepted ,
accounting principles.
9 ,
' City of Tigard, Oregon
Notes to General Purpose Financial Statements
1. Summary of Significant Accounting Policies, Continued:
Receivables
Receivables for state, county and local shared revenues are recorded as revenue in the
Governmental Funds when they are determined to be measurable and available.
0 Receivables of the Enterprise Funds are recorded as revenue when earned.
Substantially all accounts receivable for sewer and water service are either current or
less than 30 days delinquent and are considered collectible. Therefore, an allowance for
uncollectible accounts has not been provided. All accounts receivable are due from
customers within the City's boundaries.
Property taxes receivable for the Governmental Fund Types which have been collected
within sixty days subsequent to year-end are considered measurable and available and
are recognized as revenues. All other property taxes are offset by deferred property tax
revenues and, accordingly, have not been recorded as revenue. Property taxes become
a lien and are levied 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. Taxes unpaid and outstanding on May 16 are considered delinquent. All
property taxes received are due from property owners within the City.
Assessments in the governmental funds are recognized as receivables at the time
property owners are assessed for property improvements. Assessments receivable
collected within sixty days after year-end are considered measurable and available and
are recognized as revenue. All other assessments receivable are recorded as deferred
revenue and, accordingly, have not been recorded as revenue.
Accrued interest on delinquent assessments which has been collected within sixty days
' subsequent to year-end is considered measurable and available is recognized as
revenue. The remaining accrued interest on delinquent accounts is offset by a deferred
revenue account and, accordingly, has not been recorded as revenue.
' Inventories
' Inventories of parts, materials and supplies are stated at cost (which approximates
market value) on the first-in, first-out basis and are charged to expenditures as used.
t Restricted Cash and Investments
' Cash and investments which may only be used for construction of fixed assets in
accordance with applicable laws and regulations have been reported as restricted cash
and investments on the combined balance sheet.
' 10
City of Tigard, Oregon '
Notes to General Purpose Financial Statements
1. Summary of Significant Accounting Policies, Continued:
Investments
Investments included in cash and investments are stated at market value, which '
approximates amortized cost
For purposes of the statement of cash flows, the City considers the Enterprise Funds' '
cash and investments purchased with remaining maturities of three months or less, and
the Oregon State Treasurer's Investment Pool, to be cash equivalents. ,
Enterprise Fund Fixed Assets
Purchased fixed assets are stated at historical cost or estimated historical cost when '
historical cost is not available. Donated assets are recorded at fair market value on the
date of donation. Estimated fair market value of donated assets is determined based on '
the engineering estimates of current cost or price indexed cost. Depreciation is
computed on assets in service, using the straight-line method over their estimated useful
lives:
Buildings 40 years
Sewer Systems - 40 years
Storm Drainage System 40 years
Water System 50 years
Equipment 5 to 10 years '
Autos and Trucks 6 years
Depreciation expense on fixed assets donated or acquired from capital contributions is
recognized as a reduction of contributed capital. Such reduction is recorded by a
transfer from retained earnings.
Normal maintenance and repairs are charged to operations as incurred. Major additions,
improvements and replacements are capitalized. Gains or losses from sales or
retirements of fixed assets are included in operations.
General Fixed Assets
General fixed assets are stated at historical cost or estimated cost when historical cost is
not available. Fixed assets are charged to expenditures in the Governmental Fund
Types as purchased and capitalized in the General Fixed Assets Account Group. ,
Maintenance and repairs of fixed assets are charged to expenditures in the
Governmental Fund Types as incurred and are not capitalized. As fixed assets are
disposed of, the historical cost or estimated historical cost is removed from this account ,
group; proceeds from sales of general fixed assets are recorded as General Fund
revenue. Depreciation is not computed on general fixed assets. ,
11 ,
' City of Tigard, Oregon
Notes to General Purpose Financial Statements
1. Summary of Significant Accounting Policies, Continued:
General Fixed Assets, Continued
' Expenditures for public domain fixed assets (streets, sidewalks, curbs and gutters,
lighting systems and similar assets) that are immovable and of value only to the City as a
governmental unit are reported as expenditures as incurred and are not capitalized in
the General Fixed Assets Account Group.
' Long-term Debt
All unmatured long-term debt is recorded in the General Long-term Debt Account Group.
Periodic principal and interest repayments on bonded debt are made from special
assessments and property tax levies and are recorded in the Debt Service Funds. Bond
anticipation notes are expected to be repaid by rolling over the bonds to new bond
anticipation notes or by issuing long-term Special Assessment (Bancroft) Bonds. The
accrued vacation liability will be paid from the various governmental funds. The City has
no long-term debt in its Enterprise Funds.
Accrued Vacation Payable
Accumulated vested vacation pay is accrued in the Enterprise Funds as it is earned by
employees. In Governmental Fund Types the amounts, if any, expected to be liquidated
with expendable available resources are accrued as liabilities of the funds and the
amount payable from future resources is recorded in the General Long-term Debt
Account Group. Sick pay, which does not vest, is recorded in all funds when leave is
taken.
' Contributed Capital
1 Contributed capital in the Enterprise Funds represents the accumulation of contributions
in the form of cash or other assets which generally do not have to be returned to the
contributor. Such contributions are recorded directly to contributed capital and,
i accordingly, are not recognized as revenue. The following transactions are recorded in
contributed capital in the Enterprise Funds:
I~ • Receipts of federal and state grants for acquisition of fixed assets.
• Fixed assets contributed from other funds or the General Fixed Assets Account
Group.
• Contributions from others for the acquisition or construction of fixed assets.
' • Transfers from retained earnings for depreciation on fixed assets donated or
acquired by contributed capital resources.
• Meter installation and waterline hookup fees from customers and pipe installations by
developers.
12
City of Tigard, Oregon ,
Notes to General Purpose Financial Statements
1. Summary of Significant Accounting Policies, Continued:
Budget
A budget is prepared for each governmental fund except for the Fiduciary Fund Types, '
essentially in accordance with the modified accrual basis of accounting for all funds,
which is in . accordance with the legal requirements set forth in Oregon Local Budget
Law. However, as set forth in Note 3, certain budgetary accounting practices are not in
accordance with generally accepted accounting principles, but are acceptable budgetary
practices. under Oregon Local Budget Law. Accordingly, the Combined Statement of ,
Revenues, Expenditures and Changes in Fund Balances - Budget (Non-GAAP) and
Actual - All Governmental Fund Types is presented as a comparison to budget and is
reconciled to the Combined Statement of Revenues, Expenditures and Changes in Fund ,
Balances - All Governmental Fund Types (Note 3).
The resolution authorizing appropriations sets the maximum level of expenditures for I
each fund. Expenditure appropriations may not be legally overexpended.
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, Non-departmental, Debt Service,
Capital Improvements and Contingency. The detail budget document, however, is
required to contain more detailed information for the above-mentioned expenditure
categories. Budget amounts include original approved amounts and all subsequent
appropriations transfers approved by the City Council. After budget approval, the City
Council may approve supplemental budgeted appropriations if an occurrence, condition, t
or need exists which had not been ascertained at the time the budget was adopted. A
supplemental budget requires 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. During the fiscal year ended June 30, 1998, several appropriation '
transfers were made.
The budgets for each of the governmental funds include capital outlay expenditures in i
each program for capital outlays applicable to that program. Capital outlay expenditures
benefiting the City generally, and not an identifiable program, are reported separately.
Debt service is also budgeted separately.
Totals (Memorandum Only) Column on Combined Financial Statements i
The totals (memorandum only) column on the combined financial statements represents ,
an aggregate of the columnar statements by fund type and account group; it does not
represent consolidated financial information. Interfund eliminations have not been made
in the aggregation of this data. ,
13
' City of Tigard, Oregon
Notes to General Purpose Financial Statements
' 2. Fund Types and Account Groups:
The City's financial operations are accounted for in the following funds and account
' groups:
Governmental Fund Types
' General Fund - This fund accounts for the City's general operations. It is used to
account for all transactions not specifically related to the City's other funds.
Special Revenue Funds:
' Forfeitures From Criminal Activity Fund - This fund accounts for funds and
property seized from criminals in connection with crimes committed.
' State Tax Street Fund - This fund accounts for revenues received from state
gasoline taxes which are to be expended as specified in the Constitution of the
' State of Oregon, Article IX, Section 3.
Parks SDC Fund - This fund accounts for system development charges for major
improvements to recreational facilities within the City.
County Gas Tax Fund - This fund accounts for road tax monies received from
' Washington County for the maintenance and operation of roads.
Traffic Impact Fund - This fund accounts for traffic impact fees charged for new
development. This voter-approved county-wide fee takes the place of the City's
Street SDC Fund. Funds are used for highway and transit capital improvements
approved by the County that provide additional capacity to the major
1 transportation system.
Electrical Inspection Fund - This fund accounts for fees charged for permits and
' inspection of electrical improvements.
Underground Utility Fund - This fund accounts for monies received from
' developers for future underground utility improvements.
FEMA Disaster Fund - This fund accounts for the flood disaster and wind storm
clean up and recovery activities. Activities are anticipated to be funded by
Federal Disaster Relief Funds.
' Worker's Compensation Fund - This fund accounts for payments made for the
Worker's Compensation insurance plan.
Building Fund - This fund accounts for fees charged for building inspection and
plan review activities.
14
City of Tigard, Oregon ,
Notes to General Purpose Financial Statements
2. Fund Types and Account Groups, Continued: ,
Governmental Fund Types, Continued: '
Special Revenue Funds, Continued:
Urban Services Fund - This fund accounts for all revenues and expenditures ,
related to services provided in the unincorporated Bull Mountain area. The City of
Tigard began providing services to this area after signing an intergovernmental ,
agreement with Washington County.
Urban Services TIF Fund - This fund accounts for traffic impact fees collected in '
the unincorporated Bull Mountain area. Funds will be used for highway and
transit capital improvements approved by the Washington County that provide
additional capacity to the major transportation system. '
Tree Replacement Fund - This fund accounts for fees charged to developers in
lieu of saving existing trees. ,
Debt Service Funds:
General Obligation Bond Debt Service Fund - This fund accounts for payment
of general obligation bond principal and interest. The principal source of revenue
is from property taxes. ,
Bancroft Bond Debt Service Fund - This fund accounts for payment of Bancroft
improvement bond principal and interest. The principal source of revenue is the
collection of assessments against benefited property, interest and contributions
from other funds for their share of costs.
Capital Projects Funds:
Local Improvement Capital Projects Fund - This fund accounts for construction ,
of Local Improvement District projects from the sale of bond anticipation notes
and certain other debt.
Park Levy Capital Improvement Fund - This fund accounts for proceeds from
the sale of certificates of participation and improvements to the City's park
system. ,
Facility Fund - This fund accounts for monies set aside for future City facility
improvements.
Metro Greenspaces Fund - This fund accounts for monies received from
Washington County to be used for greenspace property acquisition and
improvements.
15
City of Tigard, Oregon
Notes to General Purpose Financial Statements
2. Fund Types and Account Groups, Continued:
Enterprise Funds:
Sewer Fund - This fund accounts for the City's sewer utility operations.
Storm Drainage Fund - This fund accounts for the City's storm drainage
operations.
Budgetary funds:
Storm Drainage Fund
' Water Quality and Quantity Fun
Water Fund - This fund accounts for the City's water operations.
Budgetary funds:
Water General Fund
' Water Systems Development Fund
Water Capital Projects Fund
1 Fiduciary Fund Types:
Deferred Compensation Fund - This agency fund accounts for monies withheld
from employees under deferred compensation plans and earnings on investment
of those funds.
Pension Trust Funds - These funds account for the City's General and Water
Fund employee defined contribution plans.
I Account Groups
General Fixed Assets - This account group accounts for the City's investment in fixed
assets, with the exception of those assets recorded in the Enterprise Funds.
General Long-term Debt - This account group accounts for general long-term
1 indebtedness of the City.
16
City of Tigard, Oregon
Notes to General Purpose Financial Statements
3. Reconciliation of Budgetary Basis to Generally Accepted Accounting ,
Principles Basis:
The budget of the City's governmental funds are prepared differently from generally '
accepted accounting principles (Note 1). Therefore, the Combined Statement of
Revenues, Expenditures and Changes in Fund Balances - Budget (Non-GAAP Basis)
and Actual - All Governmental Fund Types is presented on the budgetary basis and the ,
Combined Statement of Revenues, Expenditures and Changes in Fund Balances - All
Governmental Fund Types is presented on a generally accepted accounting principles ,
basis.
The following is a reconciliation of the differences between the budgetary basis and ,
generally accepted accounting principles basis for expenditures:
General '
Fund
Expenditures, budgetary basis $ 12,241,773 ,
Litigation settlement (Note 17) (1,500,000
Expenditures, generally accepted '
accounting principles basis 10,741,773
4. Cash and Investments:
The City maintains a cash and investment pool that is available for use by ail funds,
except the Deferred Compensation Fund and 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 Deferred Compensation Fund and Pension Trust
Fund are held separately from those of other City funds.
Cash and investments are comprised of the following at June 30, 1998: ,
Cash on hand $ 3,600
Cash held by Department of Finance, Washington County 46,897
Deposits with financial institutions 1,569,997
Investments 36,272,101
$ 39,497,332
Cash and investments are displayed on the balance sheet as follows: ,
Cash and investments $ 34,559,431
Restricted cash and investments 4,937,901
$ 39,497.332
17
' City of Tigard, Oregon
Notes to General Purpose Financial Statements
4. Cash and Investments, Continued:
Deposits
' Deposits with financial institutions include bank demand deposits and time deposit
accounts. The total bank balance is $1,391,811 (book balance is $1,569,997). Of these
deposits, $100,000 was covered by federal depository insurance and $1,291,811 was
fully collateralized with securities held by financial institutions acting as custodians for
the City in the City's name. Oregon Revised Statutes require the depository institution to
maintain on deposit, with a collateral pool manager, securities having a value not less
than 25 percent of the outstanding certificates of participation issued by the pool
manager.
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
I Treasurer's Investment Pool, among others.
The City's investments are categorized below to give an indication of the level of credit
risk assumed by the City at June 30, 1998. Category 1 includes investments that are
insured or for which the securities are held by the City in the City's name. Category 2
includes uninsured investments for which the securities are held in the City's name by
the trust department of the financial institution selling the security to the City. Category 3
includes uninsured investments for which the securities are held by the financial
institution selling the security to the City or by its trust department, but not in the City's
name. The City does not use brokers or dealers for its investments.
Category
1 2 3 Amount
U.S. Government
t Securities $14,417,279 $14,417,279
Held by custodians under
' deferred
compensation
and pension plans -
' mutual fund
investments 7,668,734
State Treasurer's
Investment Pool 14,186,088
Total Investments $36,272.101
i 18
City of Tigard, Oregon ,
Notes to General Purpose Financial Statements
5. 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 to 7 to 13 percent. At June 30, 1998, the portion of the assessments ,
receivable balance that represents delinquent accounts is approximately $64,600.
6. Due To/Due From Other Funds: ,
Amounts are comprised of the following:
Interfund Interfund
Fund Receivables Payables
Capital Projects Fund: ,
Facility Fund $109,000
Special Revenue Fund: '
Urban Services Fund $109,000
7. Fixed Assets: ,
Fixed assets and accumulated depreciation by major classes in the Enterprise Funds at
June 30, 1998 are as follows:
Balances Balances r
June 30, June 30,
1997 Additions Retirements 1998
Land $ 1,252,018 $ 24,093 $ - $ 1 ,276,111
Building 1,040,115 12,140 1,052,255 '
Sewer system 8,923,597 650,897 9,574,494
Storm drainage sys. 8,299,000 602,727 (928) 8,900,799
Water system 28,465,999 4,399,512 32,865,511
Equipment 1,023,395 58,714 (49,734) 1,032,375 ,
Autos and trucks 747,908 28,579 (12,892) 763,595
49,752,032 5.776.662 (63.5541 55,465,140
Less accumulated
depreciation (16,268,662) (1.167.813) $ 61.935 (17,3741540) '
33.483.370 $ 38,090.600
19 '
' City of Tigard, Oregon
Notes to General Purpose Financial Statements
' 7. Fixed Assets, Continued:
' Changes in fixed assets in the General Fixed Asset Account Group for the year ended
June 30, 1998 are as follows:
Balances Balances
June 30, June 30,
1997 Additions Retirements 1998
Land $ 3,523,227 $ 144,677 $ - $ 3,667,904
Buildings 4,535,485 445,698 4,981,183
Equipment 929,057 84,715 (22,551) 991,221
Autos and trucks 1,140,701 121,496 (60,549) 1,201,648
Office equipment 1,510,372 247,752 (134,300) 1,623,824
$ 11,638.842 $ 1,044.338 $ (217.400) $ 12.465.780
8. Long-term Debt:
Bonds Payable
i Bonds payable transactions for the year ended June 30, 1998, and future maturities of
bond principal and interest, are as follows:
General Obligation bond issues - Interest rates from 3.4% to 4.75%:
Outstanding Outstanding
Fiscal year June 30, Paid June 30,
due: 1997 During Year 1998 Interest
1999 $ 1,490,000 $ 1,490,000 $ $ 52,307
' 2000 1,570,000 1,570,000 72,822
2001 210,000 210,000 36,515
2002 225,000 225,000 26,994
' 2003 470,000 470,000 22,632
$ 3.965.000 _$__1,_4_90.000 $ 2.475.000 $ 211,270
20
i
City of Tigard, Oregon
Notes to General Purpose Financial Statements
8. Long-term Debt, Continued:
Bancroft Improvement Bonds:
Bancroft improvement bond issues - Interest rates from 4.1% to 11.75%; payable first
from assessments to benefited properties and second, from the general credit of the
City. '
Paid and
Outstanding Paid Called Outstanding
Fiscal year June 30, During During June 30,
due: 1997 Year Year 1998 Interest
1997 $ 10,000 $ - $ - $ 10,000 $ - '
1998 135,000 (135,000)
1999 285,000 285,000 38,569 '
2000 160,000 (100,000) 60,000 29,170
2001 26,710
2002 105,000 (40,000) 65,000 24,760
2003 -2006 465,000 465,000 64,655
$ 1,160,000 $ (135,000) $ (140,000) $ 885,000 $ 183,864
During fiscal year 1997, the City issued $4,625,000 in bond anticipation notes dated
June 2, 1997, due on December 1, 1998, with an interest rate of 4.05% payable on June
1 and December 1 of each year. Interest paid on bond anticipation notes in fiscal year
1998 were $186,792. The notes are collateralized by, and payable from, the
assessment bonds to be sold upon completion of the improvements. The net proceeds '
were used to retire $4,085,000 in bond anticipation notes dated December 1, 1995.
Other Long-term Debt ,
Other long-term debt recorded in the General Long-term Debt Account Group, and the
changes thereto, during the year ended June 30, 1998, are as follows:
Balance Balance
June 30, June 30, ,
1997 Additions Retirements 1998
Accrued vacation '
payable $ 406,534 $ 466,766 $ 406,534 $ 466,766
Bond anticipation
notes due December
December 1, 1998;
interest rate 4.05% $ 4,625,000 $ - $ - $ 4,625,000 1
21 '
City of Tigard, Oregon
Notes to General Purpose Financial Statements
' 9. Contributed Capital:
The changes in contributed capital were as follows:
' Balance - Beginning of year $ 41,523,387
Contributions from customers 3,204,875
Transfer of depreciation on certain contributed
fixed assets from retained earnings (983,829)
Balance - End of year $ 43,744,433
10. Year 2000 Compliance:
' The City depends heavily on its accounting software to record, process, summarize and
report accurate financial data. Therefore, the year 2000 issue (whether the hardware
1 and accounting software used by the City will continue to function after the year 1999)
needs to be addressed.
The Governmental Accounting Standards Board has identified the following stages as
necessary to implement a year 2000-compliant system:
Awareness Stage - Encompasses establishing a budget and project plan for dealing
with the year 2000 issue.
Assessment Stage - When the organization begins the actual process of identifying
all of its systems and individual components of the systems. An organization may
decide to review all system components for year 2000 compliance or, through risk
analysis, identify only mission-critical systems to check for compliance.
Remediation Stage - When the organization actually makes changes to systems.
This stage deals primarily with the technical issues of converting existing systems, or
switching to compliant systems. During this stage, decisions are made on how to
make the systems or processes year 2000-compliant, and the required system
changes are made.
Validation/Testing Stage - When the organization determines that no errors were
' introduced during the conversion process. The development of test data and test
scripts, the running of test scripts, and the review of test results are crucial for this
stage of the conversion process to be successful. If the testing results show
anomalies, the tested area needs to be corrected and retested.
' Implementation Stage - When a tested year 2000-compliant system is ready for
use.
' 22
City of Tigard, Oregon '
Notes to General Purpose Financial Statements
10. Year 2000 Compliance, Continued:
The City uses Springbrook Software for general accounting software and Municipal
Software Library software for utility billing. The City is in the remediation stage for ,
implementing new utility and finance software. The City estimates the cost of replacing
both software systems to be $81,300.
The City anticipates completion of the implementation stage by June 30, 1999.
11. Retirement Plans: ,
The City contributes to retirement plans on behalf of all eligible employees. At June 30, '
1998, the following employee groups were covered by the following retirement plans:
Group Retirement Plan ,
Management/Professional Staff International City Managers Association
(nonunion) Retirement Corp. (ICMARC) Money '
Purchase Plan
Oregon Public Employees Union ICMARC Money Purchase Plan
Employees
Tigard Water Fund Employees Ameritus
Tigard Police Officers State of Oregon Public Employees '
Retirement System (PERS)
Oregon Public Employes Retirement System (OPERS)
Plan Description
The City is a participating employer in the Oregon Public Employees Retirement System
(OPERS), an agent multiple-employer public employee retirement system, established ,
under Oregon Revised Statutes 238.600, that 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. ,
23 ,
' City of Tigard, Oregon
Notes to General Purpose Financial Statements
11. -Retirement Plans, Continued:
' Oregon Public Employes Retirement System (OPERS), Continued
Funding Policy
The City's required contribution rate is currently 9.89% of covered payroll. The next
scheduled valuation date is December 31, 1997, which is not yet available.
The City is required by State Statute to contribute its current employer rate of 9.89% of
covered payroll, plus employee contributions of 6% of covered payroll.
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, 1998, 1997 and 1996, the City's annual pension cost
was approximately $299,000, $404,000 and $359,000, respectively.
The City's pension liability and the annual required contribution rate were determined as
part of the December 31, 1995 actuarial valuation using the entry age actuarial cost
' method. The unfunded actuarial accrued liability in amortized as a level percentage of
covered payroll over a 30-year period. The actuarial assumptions include a rate of
return on investment of present and future assets of 8% per year, projected salary
increase of 5% per year, and cost of. living adjustments of 26/6 per year for post-
retirement benefits.
The following table presents a schedule of funding progress for the City's multiple-
employer pension plan:
Unfunded
Actuarial
Unfunded Liability as a
' Actuarial Actuarial Actuarial Percent of
Actuarial Value of Accrued Accrued Funded Covered Covered
Valuation Date Assets Liability Liability Ratio Payroll Payroll
' December 31, 1993 $ 5,846,165 $ 5,738,843 $ (107,322) 102% $ 1,918,181 -5.6%
December 31, 1995 $ 7,946,463 $ 7,616,463 $ (330,001) 104% $ 2,353,479 -14.0%
24
City of Tigard, Oregon '
Notes to General Purpose Financial Statements
11. Retirement Plans, Continued:
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 invests in various
money market and equity mutual funds. ,
Required and actual contributions to the plan were $590,640 for the year ended June 30, '
1998. Current year covered payroll amounted to $6,279,618. Contributions as a
percentage of covered payroll was 10.6 percent.
Ameritus Plan
Beginning January 1, 1994 the City assumed the operations of the Southeast '
Washington County Joint Agency (the Agency). In addition, the City assumed
responsibility of the Agency's defined contribution retirement plan (Ameritus Plan). The
Ameritus Plan participants were transferred to the ICMARC Plan on January 1, 1994 and '
no further contributions to the Ameritus Plan will be made. Ameritus Plan assets
accumulated through January 1, 1994 will remain in the plan. Employees may withdraw
funds upon retirement or termination of employment.
The fiduciary holds the funds in trust and makes distributions as provided by the plan.
Since the plan is administered by the City, the assets, equity and operations of the plan
are accounted for in the Water Fund Employees Pension Plan Fund, a pension trust
fund.
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 solely for the plans' participants. The Deferred Compensation '
Plans are not considered City funds and are excluded from the Combined Balance
Sheets as of June 30, 1998. In previous years this plan was considered to be an agency
fund of the City, but due to a change in the Internal Revenue Code, the City no longer '
considers the assets and liabilities of the fund to be its responsibility. At June 30, 1997,
the City reported $2,251,383 of assets and liabilities of the plan.
25 '
' City of Tigard, Oregon
Notes to General Purpose Financial Statements
12. Transactions with Unified Sewerage Agency of Washington County:
' The City collects charges for treatment of City sewage on behalf of the Unified Sewerage
Agency of Washington County (USA) and remits all collections to . USA except for 21.4
percent of sewer service charges collected and 20 percent of connection charges
collected, in accordance with an agreement between the City and USA dated June 25,
1991. Payments of $5,012,645 were made to USA during 1998 under this agreement.
' The City has a similar agreement with the Regional Surface Water Management Agency,
which is an affiliate of USA for storm water systems. Payments made to the Agency
' during 1998 under the agreement were $274,039.
The net amount retained by the City is reported as revenue in the Enterprise Funds in
the Combined Statement of Revenues, Expenses and Changes in Retained Earnings -
all Enterprise Funds. Revenues are reported net because the City acts in a fiduciary
' capacity on behalf of USA.
' 13. Urban Services Fund:
The City of Tigard entered into an intergovernmental agreement with Washington County
in June 1997. The agreement provided that the City would take over most development
' services in certain unincorporated areas adjacent to the City of Tigard boundaries. The
County agreed to pay the City $220,000 on May 14, 1997 to cover permits in process
and to provide the City with funds for startup costs of this new program. Under the
agreement, the City provides permitting, building inspection, planning and engineering
services. In addition, the City assumed code enforcement responsibilities for the area.
t The City is entitled to all development revenues generated from development activity in
the area.
The Urban Services Fund is used to record revenues and expenses related to urban
services activities. In addition, the Urban Services Traffic Impact Fee Fund records
revenues collected from the Urban Services area. These funds are to be used for road
' improvements in the area.
' 26
City of Tigard, Oregon
Notes to General Purpose Financial Statements
14. Segment Information for Enterprise Funds:
The City's Sewer Fund and Storm Drainage Fund account for the acquisition, operation,
and maintenance of sewer and storm drainage systems which are supported by user t
charges. The City's Water Fund accounts for the operation and maintenance of the
City's water system and is supported through user charges. Segment information as of
and for the year ended June 30, 1998 is as follows: '
Storm
Sewer Drainage Water '
Fund Fund Fund Total
Operating revenue $ 1,392,163 $ 1,347,382 $ 3,907,683 $ 6,647,228 t
Depreciation 267,106 234,973 678,028 1,180,107
Operating income (loss) 448,603 480,146 (499,922) 428,827
Net income 732,782 572,098 96,090 1,400,970
Current capital 632,138 293,697 1,248,983 2,174,818
Fixed asset additions 31,532 316,823 3,276,871 3,625,226 ,
Net working capital 2,374,019 805,633 8,367,183 11,546,835
Total assets 12,961,844 9,097,133 34,687,817 56,746,794 ,
Total equity 11,927,177 9,013,638 33,634,521 54,575,336
15. Constitutional Property Tax Limitations: '
The Oregon constitution limits property taxes for schools and non-school 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 $10.00 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. '
27
' City of Tigard, Oregon
Notes to General Purpose Financial Statements
' 15. Constitutional Property Tax Limitations, Continued:
During May 1997, Oregon voters approved Measure 50 which further limits taxes on
each property by reducing the 1997-98 assessed value of each property to 90% of its
1995-96 value. Measure 50 also limits future growth of taxable value to 3% 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
16. Implementation of GASB Statements:
' The City has implemented GASB No. 25, Financial Reporting for Defined Benefit
Pension Plans and Note Disclosures for Defined Contribution Plan. The City has also
elected to early implement GASB No. 27, Accounting for Pensions by State and Local
Governmental Employers. Although GASB No. 25 requires restatement when prior
periods are presented, the affect of the pronouncement was not material to the City's
i prior year financial statements. As such, no restatement of the prior year financial
statements have been made.
' 17. Litigation Settlement
The City was a defendant in a lawsuit wherein the plaintiffs sought damages for taking of
their property as a result of the City's decision to impose certain requirements upon the
plaintiffs for easements as a condition of allowing the plaintiffs to erect improvements on
' property owned by the plaintiffs within the City. The plaintiffs claimed damages of
inverse condemnation and violation of the Federal Civil Rights Act of approximately
$2,400,000.
On November 18, 1997, the City and plaintiff completed a court-approved settlement
agreement whereby the City paid the plaintiffs $1.5 million. In addition, the City will issue
' necessary building permits to allow the plaintiffs to expand their retail business. The City
will receive an easement from the plaintiffs which will allow the City to build a pedestrian
and bicycle trail.
As a result of the settlement, a GAAP liability in the amount of $1.5 million was accrued
in the General Fund in the year ended June 30, 1997. The settlement was paid on
December 10, 1997. This settlement was considered a payment for budgetary purposes
' in 1998. (See Note 3).
28
City of Tigard, Oregon '
Notes to General Purpose Financial Statements
18. Restatement of Fund Balance '
During the year ended June 30, 1998, management determined that in previous years
an interfund payable of $832,000 in the Bancroft Bond Debt Service Fund, and an
identical amount of interfund receivable in the Local Improvement Capital Projects Fund,
Debt Service and Capital Projects fund types, respectively, were recorded in error. To
correct the error the beginning fund balances of each of these funds were adjusted to '
reflect the elimination of the erroneous liability and receivable, respectively. This
adjustment was made both on the generally accepted accounting principles basis and on
the City's budgetary basis of accounting. ,
19. Deficit Fund Balance
At June 30, 1998, the General Obligation Bond Debt Service Fund, one of the funds in
the Debt Service fund type, had a deficit fund balance of $9,541. This deficit was
caused primarily by the adjustment discussed in Note 18. Management has budgeted
activities for this fund for the year ending June 30, 1999, which are intended to bring the
fund balance into a positive position by June 30, 1999.
29
' Supplementary Data
hie,
CITY OF TIGARD
i
1
1
1
1
1
1
1
1 General Fund
This fund accounts for the financial operations of the City which are not accounted
' for in any other fund. Principal resources are property taxes, franchise fees,
intergovernmental revenues, and licenses and permits. Expenditures in the
1 General Fund are made primarily for police protection, community development and
administration.
1
1
1
1
1
1
1
1 -
1
CITY OF TIGARD, OREGON ,
GENERAL FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL ,
for the fiscal year ended June 30, 1998
Variance ,
Revised Favorable/
Budget Actual (Unfavorable) '
REVENUES:
Taxes $ 5,388,265 $ 6,656,066 $ 1,267,801
Franchise fees 1,742,000 1,755,719 13,719
Licenses and permits 612,000 607,136 (4,864)
Intergovernmental revenues 2,243,192 2,226,300 (16,892)
Charges for services 77,000 106,001 29,001 '
Fines and forfeitures 323,500 378,145 54,645
Miscellaneous 256,152 423,006 166,854
Total Revenues 10,642,109 12,152,373 1,510,264 '
EXPENDITURES: '
Community services 6,984,377 6,972,217 12,160
Public works $241,818 240,073 1,745
Community development 1,461,946 1,417,942 44,004 ,
Policy and administration 1,650,890 1,575,226 75,664
City-wide support function 250,766 237,885 12,881
Contingency 412,764 0 412,764
Capital projects 1,979,146 1,798,430 180,716
Total expenditures 12,981,707 12,241,773 739,934
EXCESS OF REVENUES OVER (UNDER)
EXPENDITURES (2,339,598) (89,400) 770,330
UNDESIGNATED, UNRESERVED - FUND BALANCE '
BEGINNING OF YEAR 5,565,838 5,717,311 151,473
UNDESIGNATED, UNRESERVED - FUND BALANCE '
END OF YEAR $ 3,226,240 $ 5,627,911 $ 2,401,671
30
1
Special Revenue Funds
' The Special Revenue Funds account for revenue derived from specific taxes or
other earmarked revenue sources which are legally restricted to finance particular
functions or activities. Funds included in the fund type are:
' Forfeitures From Criminal Activity Fund
State Tax Street Fund
' Parks SDC Fund
County Gas Tax Fund
Traffic Impact Fund
Electrical Inspection Fund
' Underground Utility Fund
' Workers' Compensation Fund
Building Fund
1 Urban Services - TIF Fund
' Urban Services
Tree Replacement Fund
CITY OF TIGARD, OREGON
SPECIAL REVENUE FUNDS
COMBINING BALANCE SHEET
June 30, 1998
Forfeitures
From State County
Criminal Street Parks Gas Traffic Electrical Underground Worker's Urban Urban Tree
Activity Tax SDC Tax Impact Inspection Utility Comp Building Services Services Replace.
Fund Fund Fund Fund Fund Fund Fund Fund Fund TIF Fund Fund Fund Total
ASSETS:
Cash and investments $ 26,974 $ 368,978 $ 1,083,258 $ 29,454 $ 3,497,024 $ 163,365 $ 229,502 $ 168,607 $ 100,899 $ 280,808 $ 223,304 $ 200,436 $ 6,372,407
Accounts receivable
Assessment liens receivable 197.709 197'709
Total assets $ 26,974 $ 368,978 $ 1,083,258 $ 29,454 $ 3,694,733 $ 163,365 $ 229,502 $ 168,607 $ 100,899 $ 280,606 $ 223,304 $ 200,436 $ 6,5_0,116
LIABILITIES AND FUND BALANCES:
LIABILITIES:
Accounts payable $ $ 539 $ 20,047 $ $ 6,584 $ $ $ $ $ $ 11,797 $ 26,281 $ 65,248
Due to other funds 109,060 109,060
w Customer Deposits 21,884 38,200 6,076 12,451 78,811
"i Deferred revenues 191,744 191'744
Total liabilities 22,423 20,047 236,528 6,076 133,308 26,281 444,663
FUND BALANCE UNRESERVED 26,974 346,555 1,063,211 29,454 3,458,205 157,289 229,502 168,607 100,899 280,606 89,996 174,155 6,125,453
Total liabilities and fund
balances $ 26,974 $ 368,978 $ 1,083,258 $ 29,454 $ 3,694,733 $ 163,365 $ 229,502 $ 168,607 $ 100,899 $ 280,606 $ 223,304 $ 200,436 $ 6,570,116
CITY OF TIGARD, OREGON
SPECIAL REVENUE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
for the fiscal year ended June 30, 1998
Forfeitures
From State County
Criminal Street Parks Gas Traffic Electrical Underground Worker's Urban Urban Tree
Activity Tax SDC Tax Impact Inspection Utility Comp Building Services Services Replace.
Fund Fund Fund Fund Fund Fund Fund Fund Fund TIF Fund Fund Fund Total
REVENUES:
Licenses and permits $ $ E E $ 821,987 b 160,920 E - E E 612,970 y 261,330 $ 358,688 E E 2,215,895
Intergovernmental revenues 1,559,909 157,489 97,536 1,814,934
Charges for services 9,401 180,497 66,633 7,075 6,283 269,889
Miscellaneous revenues 26,014 16,600 87,917 2,121 243,477 9,834 9,909 56,760 14,243 8,456 14,397 43,228 532,956
Total revenues 26,014 1,585,910 268,414 159,610 1,065,464 170,754 76,542 56,760 634,288 269,786 476,904 43,228 4,833,674
W EXPENDITURES:
N Community Services 1,200 1,200
Public Works 376,449 154,547 658 10,426 102,280 644,360
Development Services 395,559 55,898 166,603 726,701 24,660 400,313 1,769,734
Policy and administration 124,324 18,713 128,809 67,135 338,981
City-wide support functions 31,588 5,922 23,691 7,897 69,098
Capital projects 450,928 231,456 205,418 42,039 929,841
Total expenditures 1,200 1,378,848 231,456 154,547 261,316 191,896 889,627 24,660 577,625 42,039 3,753,214
Excess of revenues over
(under) expenditures 24,814 207,062 36,958 5,063 804,148 (21,142) 76,542 56,760 (255,339) 245,126 (100,721) 1,189 1,080,460
FUND BALANCES-beginning of year 2,160 139,493 1,026,253 24,391 2,654,057 _ 178,431 152,960 111,847 356,238 35,480 190,717 172,966 5,044,993
FUND BALANCES-end of year E 26,974 $ 346,555 $ 1,063,211 E 29,454 $ 3,458,205 E 157,289 $ 229,502 $ 168,607 $ 100,899 $ 280,606 $ 89,996 $ 174,155 E 6,125,453
CITY OF TIGARD, OREGON
FORFEITURES FROM CRIMINAL ACTIVITY FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
for the fiscal year ended June 30, 1998 ,
Variance
Favorable/
Budget Actual (Unfavorable)
REVENUES: ,
Interest $ 300 $ 504 $ 204
Miscellaneous, 5,000 25,510 20,510 '
Total Revenues 5,300 26,014 20,714
EXPENDITURES: ,
Community services 13,269 1,200 12,069
EXCESS OF REVENUES OVER (UNDER)
EXPENDITURES (7,969) 24,814 32,783
UNDESIGNATED, UNRESERVED - FUND BALANCE ,
BEGINNING OF YEAR 7,969 2,160 (5,809)
UNDESIGNATED, UNRESERVED - FUND BALANCE ,
END OF YEAR $ - $ 26,974 $ 26,974
33 '
1
CITY OF TIGARD, OREGON
' STATE TAX STREET FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
for the fiscal year ended June 30, 1998
' Variance
Favorable/
Budget Actual (Unfavorable)
REVENUES:
' State gas tax $ 1,907,000 $ 1,559,909 $ (347,091)
Lighting subdivisions 17,000 9,401 (7,599)
Interest 23,000 14,178 (8,822)
' Miscellaneous 2,422 2,422
Total Revenues 1,947,000 1,585,910 (361,090)
' EXPENDITURES:
Public Works 448,027 376,449 71,578
' Development Services 545,552 395,559 149,993
Policy and administration 129,354 124,324 5,030
City-wide support functions 33,298 31,588 1,710
Contingency 50,000 50,000
1 Capital projects 822,991 450,928 372,063
Total expenditures 2,029,222 1,378,848 650,374
' EXCESS OF REVENUES OVER (UNDER)
EXPENDITURES (82,222) 207,062 289,284
UNDESIGNATED, UNRESERVED - FUND BALANCE
BEGINNING OF YEAR 82,222 139,493 57,271
' UNDESIGNATED, UNRESERVED - FUND BALANCE
END OF YEAR $ - $ 346,555 $ 346,555
' 34
CITY OF TIGARD, OREGON
PARKS SDC FUND ,
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
for the fiscal year ended June 30, 1998
Variance ,
Favorable/
Budget Actual (Unfavorable) '
REVENUES:
System development charges $ 509,200 $ 180,497 $ (328,703) '
Interest 44,000 57,917 13,917
Miscellaneous 30,000 30,000
Total Revenues 553,200 268,414 (284,786) '
EXPENDITURES:
Capital projects 1,430,000 231,456 1,198,544 ,
Contingency 75,000 75,000
Total expenditures 1,505,000 231,456 1,273,544 ,
EXCESS OF REVENUES OVER (UNDER)
EXPENDITURES (951,800) 36,958 988,758 ,
UNDESIGNATED, UNRESERVED - FUND BALANCE
BEGINNING OF YEAR 958,642 1,026,253 67,611 ,
UNDESIGNATED, UNRESERVED - FUND BALANCE
END OF YEAR $ 6,842 $ 1,063,211 $ 1,056,369
35 ,
CITY OF TIGARD, OREGON
' COUNTY GAS TAX FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
for the fiscal year ended June 30, 1998
Variance
Favorable/
Budget Actual (Unfavorable)
REVENUES:
County gas taxes $ 146,000 $ 157,489 $ 11,489
Interest 1,700 2,121 421
Total Revenues 147,700 159,610 11,910
EXPENDITURES:
Public Works 184,255 154,547 29,708
' EXCESS OF REVENUES OVER (UNDER)
EXPENDITURES (36,555) 5,063 41,618
UNDESIGNATED, UNRESERVED - FUND BALANCE
BEGINNING OF YEAR 36,555 24,391 (12,164)
UNDESIGNATED, UNRESERVED - FUND BALANCE
' END OF YEAR $ - $ 29,454 $ 29,454
' 36
CITY OF TIGARD, OREGON
TRAFFIC IMPACT FUND '
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
for the fiscal year ended June 30, 1998
Variance
Favorable/ '
Budget Actual (Unfavorable)
REVENUES: ,
System development charges $ 1;147,000 $ 821,987 $ (325,013)
Interest 120,000 166,644 46,644
Miscellaneous 76,833 76,833 '
Total Revenues 1,267,000 1,065,464 (201,536)
EXPENDITURES: ,
Development Services 56,321 55,898 423
Capital projects 3,500,000 205,418 3,294,582 '
Contingency 150,000 150,000
Total expenditures 3,706,321 261,316 3,445,005
EXCESS OF REVENUES OVER (UNDER) '
EXPENDITURES (2,439,321) 804,148 3,243,469
UNDESIGNATED, UNRESERVED - FUND BALANCE
BEGINNING OF YEAR 2,501,635 2,654,057 152,422
UNDESIGNATED, UNRESERVED - FUND BALANCE ,
END OF YEAR $ 62,314 $ 3,458,205 $ 3,395,891
37 '
1
CITY OF TIGARD, OREGON
' ELECTRICAL INSPECTION FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
for the fiscal year ended June 30, 1998
Variance
Revised Favorable/
Budget Actual (Unfavorable)
REVENUES:
Electrical permit fees $ 212,325 $ 151,548 $ (60,777)
Electrical plan check fees 15,230 9,372 (5,858)
' Interest 7,500 9,834 2,334
Total Revenues 235,055 170,754 (64,301)
' EXPENDITURES:
Public Works 675 658 17
' Development Services 203,161 166,603 36,558
Policy & Administration 19,545 18,713 832
City-wide support functions 6,243 5,922 321
Contingency 18,578 - 18,578
Total expenditures 248,202 191,896 56,306
EXCESS OF REVENUES OVER (UNDER)
EXPENDITURES (13,147) (21,142) (7,995)
UNDESIGNATED, UNRESERVED - FUND BALANCE
BEGINNING OF YEAR 199,710 178,431 (21,279)
UNDESIGNATED, UNRESERVED - FUND BALANCE
' END OF YEAR $ 186,563 $ 157,289 $ (29,274)
38
CITY OF TIGARD, OREGON
UNDERGROUND UTILITY FUND '
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
for the fiscal year ended June 30, 1998
Variance
Budget Actual Favorable
REVENUES:
Interest $ 6,000 $ 9,909 $ 3,909
Charges for services 10,000 66,633 56,633
Total Revenues 16,000 76,542 60,542 ,
EXPENDITURES:
Capital projects 130,000 - 130,000 ,
EXCESS OF REVENUES OVER (UNDER)
EXPENDITURES (114,000) 76,542 190,542 ,
UNDESIGNATED, UNRESERVED - FUND BALANCE
BEGINNING OF YEAR 116,396 152,960 36,564
UNDESIGNATED, UNRESERVED - FUND BALANCE r
END OF YEAR $ 2,396 $ 229,502 $ 227,106
39 '
CITY OF TIGARD, OREGON
' WORKER'S COMPENSATION FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
for the fiscal year ended June 30, 1998
t Variance
Budget Actual Favorable
REVENUES:
Miscellaneous $ - $ 48,676 $ 48,676
' Interest earnings 3,800 8,084 4,284
Total Revenues 3,800 56,760 52,960
' UNDESIGNATED, UNRESERVED - FUND BALANCE
BEGINNING OF YEAR 102,053 111,847 9,794
' UNDESIGNATED, UNRESERVED - FUND BALANCE
END OF YEAR $ 105,853 $ 168,607 $ 62,754
r
s
t
' 40
i
CITY OF TIGARD, OREGON
BUILDING FUND ,
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
for the fiscal year ended June 30, 1998
Variance
Revised Favorable/
Budget Actual (Unfavorable)
REVENUES: '
Licenses and Permits $ 895,824 $ 612,970 $ (282,854)
Charges for services 7,075 7,075
Miscellaneous 556 556 ,
Interest 13,000 13,687 687
Total Revenues 908,824 634,288 (274,536) '
EXPENDITURES:
Public Works 10,595 10,426 169 '
Development Services 914,157 726,701 187,456
Policy & Administration 134,793 128,809 5,984
City-wide support functions 24,974 23,691 1,283 ,
Contingency 46,752 46,752
Total expenditures 1,131,271 889,627 241,644
EXCESS OF REVENUES OVER (UNDER) r
EXPENDITURES (222,447) (255,339) (32,892)
UNDESIGNATED, UNRESERVED - FUND BALANCE ,
BEGINNING OF YEAR 398,243 356,238 (42,005)
UNDESIGNATED, UNRESERVED - FUND BALANCE
END OF YEAR $ 175,796 $ 100,899 $ (74,897)
41 ,
CITY OF TIGARD, OREGON
' URBAN SERVICES - TIF FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
for the fiscal year ended June 30, 1998
! Variance
Favorable/
Budget Actual (Unfavorable)
' REVENUES:
Licenses and Permits $ 434,300 $ 261,330 $ (172,970)
Interest 8,456 8,456
Total Revenues 434,300 269,786 (164,514)
EXPENDITURES:
' Development services 24,847 24,660 187
Capital projects 444,453 - 444,453
' Total expenditures 469,300 24,660 444,640
EXCESS OF REVENUES OVER (UNDER)
' EXPENDITURES (35,000) 245,126 280,126
UNDESIGNATED, UNRESERVED - FUND BALANCE
BEGINNING OF YEAR 35,000 35,480 480
! UNDESIGNATED, UNRESERVED - FUND BALANCE
END OF YEAR $ - $ 280,606 $ 280,606
!
1
' 42
CITY OF TIGARD, OREGON
URBAN SERVICES FUND ,
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
for the fiscal year ended June 30, 1998
Variance
Revised Favorable/ '
Budget Actual (Unfavorable)
REVENUES:
Intergovernmental revenues $ 97,536 $ 97,536 $ - ,
Licenses and Permits 701,689 358,688 (343,001)
Charges for services 11,988 6,283 (5,705)
Interest 14,397 14,397 ,
Total Revenues 811,213 476,904 (334,309)
EXPENDITURES: '
Public Works 109,485 102,280 7,205
Development Services 492,696 400,313 92,383 '
Policy and Administration 70,243 67,135 3,108
City-wide support functions 8,325 7,897 428
Contingency 40,000 - 40,000
Total expenditures 720,749 577,625 143,124 '
EXCESS OF REVENUES OVER (UNDER)
EXPENDITURES 90,464 (100,721) _ (191,185)
UNDESIGNATED, UNRESERVED - FUND BALANCE
BEGINNING OF YEAR 190,000 190,717 717
UNDESIGNATED, UNRESERVED - FUND BALANCE
END OF YEAR $ 280,464 $ 89,996 $ (190,468)
43 ,
CITY OF TIGARD, OREGON
' TREE REPLACEMENT FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
for the fiscal year ended June 30, 1998
i
Variance
' Budget Actual (Unfavorable)
REVENUES:
Tree replacement revenue $ 50,000 $ 33,469 $ (16,531)
Interest 11,200 9,759 (1,441)
' Total Revenues 61,200 43,228 (17,972)
EXPENDITURES:
Capital Projects 246,200 42,039 204,161
EXCESS OF REVENUES OVER (UNDER)
' EXPENDITURES (185,000) 1,189 186,189
UNDESIGNATED, UNRESERVED - FUND BALANCE
' BEGINNING OF YEAR 185,000 172,966 (12,034)
UNDESIGNATED, UNRESERVED - FUND BALANCE
END OF YEAR $ - $ 174,155 $ 174,155
1
1
1
1
CITY OF TIGARD ,
Debt Service Funds
The Debt Service Funds account for the payment of debt principal and interest. The
City's debt service funds consist of:
i
' General Obligation Bond Debt Service Fund
Bancroft Bond Debt Service Fund
i
Principal sources of revenues are property taxes for the General Obligation Bond
' Debt Service Fund and special assessment collections and interest earnings for the
Bancroft Bond Debt Service Fund.
CITY OF TIGARD, OREGON '
DEBT SERVICE FUNDS
COMBINING BALANCE SHEET ,
June 30, 1998
General
Obligation Bancroft '
Bond Debt Bond Debt
Service Fund Service Fund Total
ASSETS: '
Cash and investments $ - $ 216,103 $ 216,103
Property taxes receivable 62,279 62,279
Assessment liens receivable 5,848,881 5,848,881
Accrued interest on delinq. assess. 37,586 37,586
Total assets $ 62,279 $ 6,102,570 $ 6,164,849 '
i
LIABILITIES AND FUND BALANCES:
LIABILITIES: ,
Accounts payable and accrued
liabilities $ 26,489 $ - $ 26,489
Deferred revenues: '
Property taxes 45,331 45,331
Assessment liens receivable 5,848,731 5,848,731
Accrued interest on delinquent '
assessments 37,586 37,586
Total liabilities 71,820 5,886,317 5,958,137
FUND BALANCES (DEFICIT)- UNRESERVED
AND DESIGNATED FOR DEBT SERVICE (9,541) 216,253 206,712
Total liabilities and
fund balances $ 62,279 $ 6,102,570 $ 6,164,849 '
45
' CITY OF TIGARD, OREGON
DEBT SERVICE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCES
for the fiscal year ended June 30, 1998
General
' Obligation Bancroft
Bond Debt Bond Debt
Service Fund Service Fund Total
' REVENUES:
Taxes $ 1,597,880 $ - $ 1,597,880
' Special assessments 173,947 173,947
Miscellaneous Earnings 119,194 119,194
Interest Earnings 39,564 18,616 58,180
Total revenues 1,637,444 311,757 1,949,201
' EXPENDITURES:
Debt service 1,651,235 520,307 2,171,542
Revenues under expenditures (13,791) (208,550) (222,341)
' UNDESIGNATED, UNRESERVED - FUND BALANCE
BEGINNING OF YEAR-AS PREVIOUSLY STATED 4,250 1,256,803 1,261,053
' PRIOR PERIOD ADJUSTMENT (NOTE 18) (832,000) (832,000)
UNDESIGNATED, UNRESERVED, (DEFICIT) - FUND
' BALANCE - END OF YEAR - AS RESTATED $ (9,541) $ 216,253 $ 206,712
' 46
1
CITY OF TIGARD OREGON '
GENERAL OBLIGATION BOND DEBT SERVICE FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL '
for the fiscal year ended June 30, 1998
Variance
Favorable/ ,
Budget Actual (Unfavorable)
REVENUES: '
Taxes $ 1,599,675 $ 1,597,880 $ (1,795)
Interest 20,000 39,564 19,564 ,
Total revenues 1,619,675 1,637,444 17,769
EXPENDITURES:
Debt service 1,651,235 1,651,235 -
EXCESS OF REVENUES OVER (UNDER) '
EXPENDITURES (31,560) (13,791) 17,769
UNDESIGNATED, UNRESERVED - FUND BALANCE '
BEGINNING OF YEAR 31,560 4,250 (27,310)
UNDESIGNATED, UNRESERVED, (DEFICIT) - FUND '
BALANCE END OF YEAR $ - $ (9,541) $ (9,541)
t
47 '
' CITY OF TIGARD, OREGON
BANCROFT BOND DEBT SERVICE FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
' for the fiscal year ended June 30, 1998
1 Variance
Budget Actual Favorable
' REVENUES:
Collection of bonded assessments $ 163,449 $ 173,947 $ 10,498
Miscellaneous revenues 116,284 119,194 2,910
' Interest 13,000 18,616 5,616
Total revenues 292,733 311,757 19,024
' EXPENDITURES:
Debt service 514,315 520,307 (5,992)
EXCESS OF REVENUES OVER (UNDER)
EXPENDITURES (221,582) (208,550) 13,032
UNDESIGNATED, UNRESERVED - FUND BALANCE
BEGINNING OF YEAR-AS PREVIOUSLY STATED 533,549 1,256,803 723,254
' PRIOR PERIOD ADJUSTMENT (NOTE 18) (832,000) (832,000)
UNDESIGNATED, UNRESERVED - FUND BALANCE
' END OF YEAR-AS RESTATED $ 311,967 $ 216,253 $ (95,714)
1
' 48
CITY OF TIGARD '
Capital Projects Funds
The Capital Projects Funds are used to account for the construction of major capital
projects and include:
' Local Improvement Capital Projects Fund - funded by proceeds from
the sale of bond anticipation notes and other short-term debt.
Metro Greenspaces Fund - accounts for monies received from
Washington County to be used for greenspace property acquisition
' and improvements.
Park Levy Capital Improvement Fund - Revenue from Certificates
of Participation may only be, used to fund specific park system
improvements. The Park Levy ended in 1994/95. Continuing
delinquent collections provide limited funds for ongoing
improvements.
Facility Fund - accounts for monies set aside for future City facility
improvements.
1
CITY OF TIGARD, OREGON
CAPITAL PROJECTS FUNDS
COMBINING BALANCE SHEET ,
June 30, 1998
Local
Improvement Park levy ,
Capital Metro Capital
Projects Greenspaces Improvement Facility
Fund Fund Fund Fund Total ,
ASSETS:
Cash and investments $ 46,603 $ - $ 194,810 $ - $ 241,413
Accounts receivable 52,362 52,362 ,
Due from other funds 109,060 109,060
Property taxes receivable 585 585
Total assets $ 46,603 $ 52,362 $ 195,395 $ 109,060 $ 403,420 '
LIABILITIES AND FUND BALANCES: '
LIABILITIES:
Accounts payable and accrued liabilities $ 15,413 $ 52,362 $ 2,500 $ 105,297 $ 175,572 '
Deferred revenues 426 426
Total Liabilities 15,413 52,362 2,926 105,297 175,998 '
Fund balances - unreserved 31,190 192,469 3,763 227,422
Total liabilities and
fund balances $ 46,603 $ 52,362 $ 195,395 $ 109,060 $ 403,420
t
49 '
' CITY OF TIGARD OREGON
' CAPITAL PROJECTS FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCES
for the fiscal year ended June 30, 1998
' Local
Improvement Park levy
Capital Metro Capital
' Projects Greenspaces Improvement Facility
Fund Fund Fund Fund Total
REVENUES:
' Property taxes $ - $ - $ 1,227 $ - $ 1,227
Intergovernmental revenues 44,555 44,555
Miscellaneous 296 161,000 161,296
' Interest 31,823 1,950 10,350 9,571 53,694
Total revenues 32,119 46,505 11,577 170,571 260,772
' EXPENDITURES:
Capital Projects 1,629,128 46,505 2,763 370,540 2,048,936
' EXCESS OF REVENUES (UNDER) EXPENDITURES (1,597,009) 8,814 (199,969) (1,788,164)
UNDESIGNATED, UNRESERVED - FUND BALANCE
BEGINNING OF YEAR - AS PREVIOUSLY STATED 796,199 183,655 203,732 1,183,586
PRIOR PERIOD ADJUSTMENT (NOTE 18) 832,000 832,000
' UNDESIGNATED, UNRESERVED - FUND BALANCE
END OF YEAR - AS RESTATED $ 31,190 $ $ 192,469 $ 3,763 $ 227,422
I
' 50
CITY OF TIGARD, OREGON ,
LOCAL IMPROVEMENT CAPITAL PROJECTS FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
for the fiscal year ended June 30, 1998 '
Variance
Revised Favorable/ '
Budget Actual (Unfavorable)
REVENUES: ,
Interest Earnings $ 76,000 $ 31,823 $ (44,177)
Miscellaneous 296 296 '
Total Revenues 76,000 32,119 (43,881)
EXPENDITURES:
Capital projects 1,670,358 1,629,128 41,230 ,
EXCESS OF REVENUES (UNDER) EXPENDITURES (1,594,358) (1,597,009) (2,651)
UNDESIGNATED, UNRESERVED - FUND BALANCE ,
BEGINNING OF YEAR - AS PREVIOUSLY STATED 1,594,358 796,199 (798,159)
PRIOR PERIOD ADJUSTMENT (NOTE 18) 832,000 832,000 '
UNDESIGNATED, UNRESERVED - FUND BALANCE
END OF YEAR- AS RESTATED $ - $ 31,190 $ 31,190 '
51 '
' CITY OF TIGARD OREGON
METRO GREENSPACES FUND
' SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
for the fiscal year ended June 30, 1998
' Variance
Favorable/
Budget Actual (Unfavorable)
' REVENUES:
Intergovernmental revenues $ 633,000 $ 44,555 $ (588,445)
Interest earnings 1,950 $1,950
Total revenues 633,000 46,505 (586,495)
' EXPENDITURES:
Capital projects 631,224 46,505 584,719
EXCESS OF REVENUES OVER EXPENDITURES 1,776 (1,776)
' UNDESIGNATED, UNRESERVED, (DEFICIT) - FUND
BALANCE BEGINNING OF YEAR (1,776) 1,776
' UNDESIGNATED, UNRESERVED - FUND BALANCE - -
END OF YEAR $ $ $ -
1
' 52
CITY OF TIGARD, OREGON
PARK LEVY CAPITAL IMPROVEMENT FUND '
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
for the fiscal year ended June 30, 1998 `
Variance '
Budget Actual Favorable
REVENUES: ,
Property taxes $ - $ 1,227 $ 1,227 ,
Interest 9,000 10,350 1,350
Total revenues 9,000 11,577 2,577
EXPENDITURES: '
Capital projects 191,137 2,763 188,374 '
EXCESS OF REVENUES OVER (UNDER)
EXPENDITURES (182,137) 8,814 190,951 '
UNDESIGNATED, UNRESERVED - FUND BALANCE
BEGINNING OF YEAR 182,137 183,655 1,518
UNDESIGNATED, UNRESERVED - FUND BALANCE
END OF YEAR $ - $ 192,469 $ 192,469
53
CITY OF TIGARD, OREGON
FACILITY FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
' for the fiscal year ended June 30, 1998
' Variance
Favorable/
Budget Actual (Unfavorable)
REVENUES:
' Miscellaneous $ 150,000 $ 161,000 $ 11,000
Interest 15,000 9,571 (5,429)
Total revenues 165,000 170,571 5,571
' EXPENDITURES:
Capital projects 403,704 370,540 33,164
EXCESS OF REVENUES OVER (UNDER)
' EXPENDITURES (238,704) (199,969) 38,735
UNDESIGNATED, UNRESERVED - FUND BALANCE
BEGINNING OF YEAR 238,704 203,732 (34,972)
' UNDESIGNATED, UNRESERVED - FUND BALANCE
END OF YEAR $ - $ 3,763 $ 3,763
1
54
CITY OF TIGARD
Enterprise Funds
The Sewer and Storm Drainage Funds are used to account for the acquisition and
maintenance of sewer and storm drainage facilities which are supported by user
' charges. The Water Fund is used to account for the operations and maintenance of the
water system and is supported through user charges. For financial reporting and
operating purposes, management considers the activities of the Storm Drainage Fund
' and the Water Fund as unitary enterprises. However, for budgetary and legal purposes
these activities are accounted for in the funds listed below. Budget to actual schedules
' for these funds, prepared on the accrual basis of accounting, are included in this
subsection.
Funds included in this fund category are:
Sewer Fund
Storm Drainage Fund
' * * Storm Drainage Fund
* * Water Quality and Quantity Fund
Water Fund
* * Water General Fund
* * Water Systems Development Fund
* * Water Capital Projects Fund
CITY OF TIGARD, OREGON
ENTERPRISE FUNDS
COMBINING BALANCE SHEET '
June 30, 1998
Storm
Sewer Drainage Water
Fund Fund Fund Total
ASSETS:
Current assets: '
Cash and investments $ 2,735,996 $ 720,990 $ 8,721,804 $ 12,178,790
Accounts receivable 672,690 168,138 529,763 1,370,591 ,
Property taxes receivable 517 517
Inventory 168,395 168,395
Total current assets 3,408,686 889,128 9,420,479 13,718,293 '
Noncurrent assets: '
Restricted cash and investments 2,863,248 994,559 1,080,094 4,937,901
Fixed assets, net 6,689,910 7,213,446 24,187,244 38,090,600
Total noncurrent assets 9,553,158 8,208,005 25,267,338 43,028,501 '
Total assets $ 12,961,844 $ 9,097,133 $ 34,687,817 $ 56,746,794
LIABILITIES AND FUND EQUITY: '
LIABILITIES:
Accounts payable and accrued '
liabilities $ 1,013,863 $ 66,579 $ 973,962 $ 2,054,404
Customer deposits 38,459 38,459 ,
Deferred Revenue 636 636
Accrued vacation payable 20,804 16,916 40,239 77,959
Total liabilities 1,034,667 83,495 1,053,296 2,171,458 i
FUND EQUITY:
Contributed capital 6,643,234 7,595,867 29,505,333 43,744,434
Retained earnings 5,283,943 1,417,771 4,129,188 10,830,902
Total fund equity 11,927,177 9,013,638 33,634,521 54,575,336
Total liabilities and fund equity $ 12,961,844 $ 9,097,133 $ 34,687,817 $ 56,746,794
55 ,
' CITY OF TIGARD, OREGON
ENTERPRISE FUNDS
' COMBINING STATEMENT OF REVENUES, EXPENSES AND
CHANGES IN RETAINED EARNINGS
for the fiscal year ended June 30, 1998
Storm
Sewer Drainage Water
' Fund Fund Fund Total
OPERATING REVENUES:
Service charges $ 1,355,407 $ 1,269,781 $ 3,859,934 $ 6,485,122
' Miscellaneous 36,756 77,601 47,749 162,106
Total operating revenues 1,392,163 1,347,382 3,907,683 6,647,228
' OPERATING EXPENSES:
Salaries and wages 449,679 420,302 2,434,922 3,304,903
' Contracted services 66,706 66,706
General, administrative and other 226,775 211,961 1,227,949 1,666,685
Depreciation 267,106 234,973 678,028 1,180,107
' Total operating expenses 943,560 867,236 4,407,605 6,218,401
Operating income (loss) 448,603 480,146 (499,922) 428,827
' NONOPERATING REVENUE:
1 Interest revenue 284,179 91,952 596,012 972,143
Net Income 732,782 572,098 96,090 1,400,970
' RECLASSIFICATION:
Add depreciation on fixed assets donated or
acquired from capital contributions that
' reduces contributed capital 206,720 178,187 598,922 983,829
Increase in retained earnings 939,502 750,285 695,012 2,384,799
' RETAINED EARNINGS - beginning of year 4,344,441 667,486 3,434,176 8,446,103
RETAINED EARNINGS - end of year $ 5,283,943 $ 1,417,771 $ 4,129,188 $ 10,830,902
' 56
CITY OF TIGARD, OREGON '
ENTERPRISE FUNDS
COMBINING STATEMENT OF CASH FLOWS '
for the fiscal year ended June 30, 1998
Storm ,
Sewer Drainage Water
Fund Fund Fund Total
Cash flows from operating activities:
Operating income (loss) $ 448,603 $ 480,146 $ (499,922) $ 428,827
Adjustments to reconcile operating
income (loss) to net cash provided '
by operating activities:
Depreciation Expense 267,106 234,973 678,028 1,180,107
Decrease (increase) in accounts '
receivable 108,132 (25,922) 134,923 217,133
Decrease (increase) in inventory (18,571) (18,571)
Increase (decrease) in accounts payable and
accrued liabilities 51,053 (359,839) 723,458 414,672 '
Increase (decrease) in customer deposits (40,240) (40,240)
Increase (decrease) in accrued vacation
payable 1,498 (2,399) 5,212 4,311
Decrease in deferred revenues (514) (514) ,
Loss on disposal of fixed assets 539 152 691
Decrease in due to other funds (112,512) 4,725 (107,787)
Net cash provided by ,
operating activities 876,931 214,447 987,252 2,078,630
Cash flows from capital and related '
financing activities:
Capital contributions 1,030,986 1,030,986
Acquisition of fixed assets (31,532) (317,752) (3,264,854) (3,614,138)
Net cash (used in) capital '
and related financing activities (31,532) (317,752) (2,233,868) (2,583,152)
Cash flows from investing activities - '
Interest earnings 284,179 91,952 596,012 972,143
Net increase (decrease) in cash '
and cash equivalents 1,129,578 (11,353) (650,604) 467,621
Cash and cash equivalents - beginning of year 4,469,667 1,726,902 10,452,502 16,649,071
Cash and cash equivalents - end of year $ 5,599,245 $ 1,715,549 $ 9,801,898 $ 17,116,692 '
Supplemental Schedule of Noncash '
Capital and Related Financing Activities:
Contributed sewer, storm and water lines $ 632,138 $ 293,697 $ 1,248,983 $ 2,174,818
57 ,
' CITY OF TIGARD, OREGON
SEWER FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
' for the fiscal year ended June 30, 1998
Variance
' Favorable/
Budget Actual (Unfavorable)
' REVENUES:
Service charge $ 1,390,075 $ 1,355,407 $ (34,668)
Interest 203,000 284,179 81,179
' Miscellaneous 75,000 36,756 (38,244)
Total revenues 1,668,075 1,676,342 8,267
EXPENDITURES:
Public Works 421,430 413,973 7,457
Development Services 59,364 58,018 1,346
Policy and administration 182,599 176,253 6,346
City-wide support function 41,623 39,485 2,138
' Contingency 200,000 200,000
Capital projects 2,000,000 18,759 1,981,241
Total expenditures 2,905,016 706,488 2,198,528
r EXCESS OF REVENUES OVER (UNDER) (1,236,941) 969,854 2,206,795
EXPENDITURES
UNDESIGNATED, UNRESERVED - FUND BALANCE
BEGINNING OF YEAR 4,582,276 4,274,168 (308,108)
UNDESIGNATED, UNRESERVED - FUND BALANCE
END OF YEAR $ 3,345,335 $ 5,244,022 $ 1,898,687
t
58
CITY OF TIGARD, OREGON
STORM DRAINAGE FUND ,
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
for the fiscal year ended June 30, 1998
Variance '
Favorable/
Budget Actual (Unfavorable)
REVENUES: '
Service charge $ 695,000 $ 1,114,369 $ 419,369
Interest 54,000 28,422 (25,578)
Total revenues 749,000 1,142,791 393,791
EXPENDITURES: ,
Public Works 430,788 365,007 65,781
Development services 59,364 58,018 1,346 '
Policy and administration 166,015 160,365 5,650
City-wide support function 41,623 39,485 2,138
Contingency 75,000 75,000
Capital projects 700,000 139,749 560,251 '
Total expenditures 1,472,790 762,624 710,166
EXCESS OF REVENUES OVER (UNDER) '
EXPENDITURES (723,790) 380,167 1,103,957
UNDESIGNATED, UNRESERVED - FUND BALANCE
BEGINNING OF YEAR 763,543 791,488 27,945
UNDESIGNATED, UNRESERVED - FUND BALANCE
END OF YEAR $ 39,753 $ 1,171,655 $ 1,131,902 '
59
CITY OF TIGARD, OREGON
WATER QUALITY & QUANTITY FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
for the fiscal year ended June 30, 1998
' Variance
Favorable/
Budget Actual (Unfavorable)
REVENUES:
' Service charge $ 177,180 $ 155,412 $ (21,768)
Interest 33,000 63,530 30,530
' Miscellaneous 77,601 77,601
Total revenues 210,180 296,543 86,363
EXPENDITURES:
Contingency 50,000 - 50,000
' Capital projects 702,980 189,790 513,190
Total expenditures 752,980 189,790 563,190
EXCESS OF REVENUES OVER (UNDER)
EXPENDITURES (542,800) 106,753 649,553
' UNDESIGNATED, UNRESERVED - FUND BALANCE
BEGINNING OF YEAR 589,342 515,836 (73,506)
UNDESIGNATED, UNRESERVED - FUND BALANCE
' END OF YEAR $ 46,542 $ 622,589 $ 576,047
S
' 60
CITY OF TIGARD, OREGON
WATER GENERAL FUND ,
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
for the fiscal year ended June 30, 1998
Variance
Favorable/ '
Budget Actual (Unfavorable)
REVENUES:
Service charge $ 3,906,800 $ 3,859,934 $ (46,866)
System Development Charges 732,490 693,327 (39,163)
Interest 350,000 448,886 98,886 ,
Miscellaneous 37,400 47,749 10,349
Total revenues 5,026,690 5,049,897 23,207
EXPENDITURES:
Public Works 3,478,652 3,319,878 158,774 ,
Policy and administration 252,727 243,421 9,306
City-wide support function 41,623 39,485 2,138
Contingency 300,000 300,000 ,
Capital projects 1,602,096 361,440 1,240,656
Total operating expenditures 5,675,098 3,964,224 1,710,874
EXCESS OF REVENUES OVER (UNDER) '
EXPENDITURES (648,408) 1,085,673 1,734,081
UNDESIGNATED, UNRESERVED - FUND BALANCE ,
BEGINNING OF YEAR 6,845,481 7,011,200 165,719
UNDESIGNATED, UNRESERVED - FUND BALANCE ,
END OF YEAR $ 6,197,073 $ 8,096,873 $ 1,899,800
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61 '
CITY OF TIGARD, OREGON
WATER SYSTEMS DEVELOPMENT FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
for the fiscal year ended June 30, 1998
Variance
Favorable/
Budget Actual (Unfavorable)
REVENUES:
System development charges $ 239,760 $ 337,658 $ 97,898
' Interest 125,000 114,822 (10,178)
Total revenues 364,760 452,480 87,720
' EXPENDITURES:
Contingency 100,000 - 100,000
Capital projects 3,000,000 2,296,754 703,246
Total expenditures 3,100,000 2,296,754 803,246
EXCESS OF REVENUES (UNDER) EXPENDITURES (2,735,240) (1,844,274) 890,966
UNDESIGNATED, UNRESERVED - FUND BALANCE
BEGINNING OF YEAR 2,817,118 2,758,107 (59,011)
UNDESIGNATED, UNRESERVED - FUND BALANCE
END OF YEAR $ 81,878 $ 913,833 $ 831,955
' 62
CITY OF TIGARD, OREGON
WATER CAPITAL PROJECTS FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
for the fiscal year ended June 30, 1998
1
Variance 1
Favorable/
Budget Actual (Unfavorable)
REVENUES:
Interest $ 36,000 $ 32,304 $ (3,697)
EXPENDITURES: !
Capital projects 778,604 728,241 50,363
EXCESS OF REVENUES (UNDER) EXPENDITURES (742,604) (695,938) 46,666 ,
UNDESIGNATED, UNRESERVED - FUND BALANCE
BEGINNING OF YEAR 742,604 742,841 237 1
UNDESIGNATED, UNRESERVED - FUND BALANCE
END OF YEAR $ - $ 46,903 $ 46,903 !
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Fiduciary Funds
These funds account for resources received and held by the City in a fiduciary capacity.
Disbursements from these funds are made in accordance with the trust agreement or
conditions of the trust for the particular fund. Funds included in this category are:
Pension Trust Funds - General Employees Pension Plans
Pension Trust Funds - Water Fund Employees Pension Plans
1
1
CITY OF TIGARD, OREGON
PENSION TRUST FUNDS
COMBINING STATEMENT OF PLAN NET ASSETS
June 30, 1998
1
General Water Fund 1
Employees Employees
Pension Pension
Plan Plan Total 1
Cash and investments $ 505,607 $ 5,995,579 $ 6,501,186
Net assets held in trust for pension benefits $ 505,607 $ 5,995,579 $ 6,501,186
1
i
1
1
1
1
1
1
1
1
1
64 ,
1
CITY OF TIGARD, OREGON
t PENSION TRUST FUNDS
COMBINING STATEMENT OF CHANGES IN PLAN NET ASSETS
for the fiscal year ended June 30, 1998
' General Water Fund
Employees Employees
Pension Pension
' Plan Plan Total
Additions:
' Contributions $ 549,949 $ - $ 549,949
Interest 809,232 46,138 855,370
' Total additions 1,359,181 46,138 1,405,319
Deductions:
' Benefit payments and withdrawals 177,897 143,587 321,484
Increase (decrease) in net assets 1,181,284 (97,449) 1,083,835
Net assets held in trust for pension benefits:
Beginning of year 4,814,295 603,056 5,417,351
' End of year $ 5,995,579 $ 505,607 $ 6,501,186
' 65
CITY OF/TIGARD 1
1
1
1 General Fixed Assets Account Group
' This account group accounts for the City's investment in fixed assets, with the exception
of those assets in the Enterprise Funds.
1
1
1
1
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1
1
1
1
CITY OF TIGARD, OREGON
SCHEDULE OF GENERAL FIXED ASSETS 1
BY SOURCE
June 30, 1998
1
1998 ,
GENERAL FIXED ASSETS
Land $ 3,667,904 1
Buildings 4,981,183
Office equipment 1,623,824
Equipment 991,221
Autos and trucks 1,201,648
Total general fixed assets $ 12,465,780 1
INVESTMENT IN GENERAL FIXED ASSETS BY SOURCE: 1
General fund $ 10,362,151
Special revenue funds 383,063
Capital projects funds 702,007
Donations 1,018,559
Total investment in general fixed assets $ 12,465,780 1
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1
1
1
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66
CITY OF TIGARD OREGON
' SCHEDULE OF GENERAL FIXED ASSETS
BY FUNCTION AND ACTIVITY
June 30, 1998
1 Machinery,
Equipment,
Function and Activity Total Land Buildings and Other
Community services:
Police $ 1,357,493 $ - $ - $ 1,357,493
Library 462,609 462,609
Parks 323,309 323,309
Total community services 2,143,411 2,143,411
Community development:
Administration 93,999 93,999
Building 166,757 166,757
Planning 35,842 35,842
Engineering 207,123 207,123
Operations/admin. 48,652 48,652
Operations/shops 48,342 48,342
Streets 454,480 454,480
Operations/management 25,556 25,556
1 Total community development 1,080,751 1,080,751
Policy and administration:
Mayor and city council 20,110 20,110
' City administration 54,259 54,259
Finance 74,474 74,474
Computer services 164,227 164,227
Accounting 46,962 46,962
Office services 67,036 67,036
Records 38,829 38,829
Court 9,774 9,774
' Total policy and administration 475,671 475,671
General government 8,765,947 3,667,904 4,981,183 116,860
Total investment in general fixed assets $ 12,465,780 $ 3,667,904 $ 4,981,183 $ 3,816,693
' 67
CITY OF TIGARD OREGON
SCHEDULE OF CHANGES IN GENERALFIXED ASSETS
BY FUNCTION AND ACTIVITY ,
for the fiscal year ended June 30, 1998
General General
Fixed Assets Transfers/ Fixed Assets
Function and Activity June 30, 1997 Additions Retirements June 30, 1998
Community services:
Police $ 1,207,900 $ 245,101 $ (95,508) $ 1,357,493
Library 445,837 32,327 (15,555) 462,609
Parks 298,404 25,172 (267) 323,309
Total community services 1,952,141 302,600 (111,330) 2,143,411 ,
Community development:
Administration 79,455 20,610 (6,066) 93,999
Building 154,404 18,232 (5,879) 166,757
Planning 29,575 13,017 (6,750) 35,842
Engineering 194,364 24,244 (11,485) 207,123
Operations/admin. 48,266 2,648 (2,262) 48,652
Operations/shops 48,080 572 (310) 48,342
Streets 445,155 10,098 (773) 454,480
Operations/management 25,556 - 25,556
Total community development 1,024,855 89,421 (33,525) 1,080,751
Policy and administration: '
Mayor and city council 11,895 8,215 - 20,110
City administration 54,865 6,129 (6,735) 54,259
Finance 75,663 - (1,189) 74,474
Computer services 163,064 44,115 (42,952) 164,227
Accounting 51,015 6,283 (10,336) 46,962
Office services 65,903 3,291 (2,158) 67,036
Records 43,004 - (4,175) 38,829
Court 7,499 3,680 (1,405) 9,774
Total policy and administration 472,908 71,713 (68,950) 475,671
General government 8,188,938 580,604 (3,595) 8,765,947
Total investment in general fixed assets $ 11,638,842 $ 1,044,338 $ (217,400) $ 12,465,780
68 '
' Other Schedules
' Schedules included in this section are:
' Property Tax Transactions and Outstanding Balances
Bond and Bond Interest Transactions
Future Debt Service Requirements of Bancroft Improvement Bonds
Future Debt Service Requirements of General Obligation Bonds
CITY OF TIGARD, OREGON '
SCHEDULE OF PROPERTY TAX TRANSACTIONS
AND OUTSTANDING BALANCES '
for the fiscal year ended June 30, 1998
'
Property Add Property
Taxes Levy as Taxes
Receivable Extended Deduct Add Receivable
June 30, by Discounts (Deduct) Add Deduct June 30,
1997 Assessor Allowed Adjustments Interest Collections 1998
1997-1998 $ - $ 8,470,116 $ (210,031) $ 6,715 $ 4,719 $ (8,046,361) $ 225,158
1996-1997 199,396 (9,007) 9,590 (139,044) 60,935 '
1995-1996 48,434 (3,163) 4,680 (27,473) 22,478
1994-1995 24,221 (3,161) 4,936 (19,403) 6,593 '
1993-1994 8,058 (29) 2,447 (9,081) 1,395
1992-1993 1,685 (296) 439 (1,280) 548
1991-1992 & Prior 2,382 (532) 815 (1,182) 1,483
$ 284,176 $ 8,470,116 $ (210,031) $ (9,473) $ 27,626 $ (8,243,824) $ 318,590
Property Taxes
Cash Receivable
Distributed as follows: Collections June 30, 1998
General Fund:
Current $ 6,549,169 5 181,616
Prior years' levies 106,897 73,593
Total General Fund 6,656,066 255,209
Enterprise Funds:
Current 3,074 517
Total Enterprise Funds 3,074 517
Debt service Funds:
Current 1,570,679 43,542
Prior years' levies 27,201 18,737 Z'
Total Debt Service Funds 1,597,880 62;279
i
Capital Projects Funds: ,
Prior years' levies 1,227 585
Total Capital Projects Funds 1,227 585
Total $ 8,258,247 $ 318,590
69
' CITY OF TIGARD, OREGON
SCHEDULE OF BOND AND BOND INTEREST TRANSACTIONS
' for the fiscal year ended June 30, 1998
Bond Transactions Interest Transactions
Out- Out-
standing standing
Original June 30, June 30,
Bancroft Bonds Issue 1997 Matured Paid 1998 Matured Paid
Issued September 1, 1982 $ 184,664 $ 10,000 $ - $ - $ 10,000 $ - $ -
Issued August 1, 1990 2,244,000 395,000 235,000 (235,000) 160,000 20.295 20.295
Issued August 1, 1991 405,000 145,000 40,000 (40,000) 105,000 8,700 8,700
' Issued May 1, 1983 660,000 610,000 610,000 29.520 29.520
$ 1,160,000 $ 275,000 $ (275,000) $ 885,000 $ 58,515 $ 58,515
General Obligation Bonds
Issued May 1, 1993 $ 6,935,000 $ 3,965,000 $ 1,490,000 $ (1,490,000) $ 2,475,000 $ 161,235 $ 161,235
70
CITY OF TIGARD, OREGON
SCHEDULE OF FUTURE DEBT SERVICE REQUIREMENTS
OF BANCROFT IMPROVEMENT BONDS
As of June 30, 1998
Issued Issued Issued Issued
September 1, 1982 August 1, 1990 August 1, 1991 May 1, 1993
Year of Total Requirements 11.75% 6.00% to 6.30% 6.00% 4.10% to 5.00%
Maturity Principal Interest Principal Interest Principal -Interest Principal Interest Principal Interest
1998-1999 $ 295,000 $ 38,569 $ 10,000 $ 160,000 $ 4,964 $ 40,000 $ 6,300 $ 85,000 $ 27,305
1999-2000 60,000 29,170 3,900 60,000 25,270
2000-2001 - 26,710 3,900 22,810
2001-2002 65,000 24,760 65,000 1,950 22,810
2002-2003 110,000 20,280 110,000 20,280
2003-2004 - 17,750 17,750
2004-2005 - 17,750 17,750
2005-2006 355,000 8,875 355,000 8,875
Totals $ 885,000 $ 183,864 $ 10,000 $ - $ 160,000 $ 4,964 $ 105,000 $ 16,050 $ 610,000 $ 162,850
'Issue was called on 06/01/93. Amounts outstanding are bearer bonds which have not been presented for payment.
CITY OF TIGARD, OREGON
SCHEDULE OF FUTURE DEBT SERVICE REQUIREMENTS
OF GENERAL OBLIGATION BONDS
as of June 30, 1998
( Issued
May 3, 1993
' Year of 3.00% to 4.75%
Maturity Principal Interest
1998-1999 $ - $ 52,307
1999-2000 1,570,000 72,822
2000-2001 210,000 36,515
2001-2002 225,000 26,994
2002-2003 225,000 16,813
2003-2004 245,000 5,819
$ 2,475,000 $ 211,270
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72
CITY OF TIGARD ,
~ STATISTICAL
SECTION
CITY OF TIGARD
' 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
1989 $ 3,357,664 $ 1,980,927 $ 112,966 $ 3,177,147 $ 772,739 $ 9,401,443
1990 3,539,680 2,096,431 253,593 4,977,930 3,481,870 14,349,504
1991 4,347,338 2,558,534 281,180 7,216,338 J 4,157,959 18,561,349
1992 4,520,483 2,466,774 1,157,205 4,001,522 2,643,174 14,789,158
1993 4,755,049 2,459,618 1,223,269 2,449,617 2,652,428 13,539,981
1994 5,088,712 2,641,694 1,317,972 3,604,930 5,647,732 18,301,040
' 1995 5,656,128 2,745,236 1,332,630 2,148,786 2,388,061 14,270,841
1996 6,073,218 3,230,316 1,482,194 2,895,552 5,152,515 18,833,795
1997 6,537,097 3,507,919 1,699,813 3,182,818 2,117,957 17,045,603
1998 6,973,417 4,072,109 1,914,207 5,084,190 2,171,542 20,215,465
Information derived from Comprehensive Annual Financial Reports for all Governmental Fund Types
' 73
r
CITY OF TIGARD, OREGON r
GENERAL GOVERNMENTAL REVENUES BY SOURCES -
BUDGETARY BASIS
for the last ten fiscal years
i
Fiscal Licenses Inter- Charges
Year Ended Franchise and governmental For Fines and Miscellaneous
June 30, Taxes Fees Permits Revenues Services Forfeitures Revenues' Total
1989 $ 2,408,597. $ 1,031,791 $ 1,059,725 $ 1,517,777 $ 599,002 $ 240,849 $ 1,113,184 $ 7,970,925
1990 3,746,834 1,100,181 1,445,011 2,040,711 39,818 232,332 2,183,206 10,788,093 ,
1991 4,160,790 1,179,833 1,206,920 2,379,431 79,370 259,497 1,627,675 10,893,516
1992 4,963,329 1,287,794 1,659,542 3,050,675 102,081 322,618 1,464,811 12,850,850
1993 5,493,516 1,320,686 1,682,341 3,073,728 301,569 316,947 1,599,480 13,788,267
c1994 5,894,241 1,447,668 2,554,752 3,105,356 393,349 307,982 1,576,679 15,280,027
1995 6,107,116 1,592,707 2,344,386 3,350,614 418,965 325,970 851,444 14,991,202
1996 5,860,948 1,669,784 2,555,271 3,717,655 357,571 304,246 1,534,205 15,999,680
1997 7,699,435 1,736,933 3,746,604 3,834,114 798,129 397,637 1,632,664 19,845,515
1998 8,255,173 1,755,719 2,823,031 4,085,789 375,890 378,145 1,522,273 19,196,020
'Includes special assessments collections and private donations.
Information derived from Comprehensive Annual Financial Reports for all Governmental Fund Types
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74
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
1989 $ 2,455,914 $ 2,240,508 91.23% $ 150,511 $ 2,391,019 97.36% $ 289,212 11.78%
' 1990 3,812,090 3,520,898 92.36% 193,334 3,714,232 97.43% 332,144 8.71%
1991 4,266,155 3,918,774 91.86% 224,988 4,143,762 97.13% 372,918 8.74%
' 1992 5,148,022 4,717,610 91.64% 228,047 4,945,657 96.07% 408,691 7.94%
1993 5,548,159 5,213,266 93.96% 260,368 5,473,634 98.66% 391,447 7.06%
1994 5,984,204 5,622,050 93.95% 272,191 5,894,241 98.50% 333,198 5.57%
1995 6,212,684 5,864,693 94.40% 242,923 6,107,616 98.31% 285,651 4.60%
1996 5,982,372 5,671,785 94.81% 198,054 5,869,839 98.12% 245,387 4.10%
' 1997 7,924,163 7,511,237 94.75% 167,262 7,678,499 96.90% 284,176 3.59%
1998 8,470,116 8,119,848 95.86% 135,325 8,255,173 97.46% 318,590 3.76%
' 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.
Information derived from Comprehensive Annual Financial Reports.
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' 75
CITY OF TIGARD OREGON
MARKET VALUE AND ASSESSED VALUE OF TAXABLE PROPERTY
for the last ten fiscal years
Market Value Assessed Value
Fiscal
Year Public
Ended Real Personal Utility Total Total
June 30 Property Property Property Market Value Assessed Value ,
1989 $ 1,200,581,900 $ 93,401,270 $ 32,131,292 $ 1,326,114,462 $ 1,326,114,462
1990 1,278,128,284 106,268,976 38,738,512 1,423,135,772 1,423,135,772
1991 1,435,394,724 115,983,044 36,707,073 1,588,084,841 1,588,084,841
1992 1,755,342,623 114,457,543 40,526,271 1,910,326,437 1,910,326,437
1993 1,820,521,857 139,064,986 50,197,374 2,009,784,217 2,009,784,217
1994 1,972,696,888 142,496,210 60,467,981 2,175,661,079 2,175,661,079 '
1995 2,229,444,147 156,419,813 72,874,589 2,458,738,549 2,458,738,549
1996 2,499,277,057 164,967,611 70,968,422 2,735,213,090 2,735,213,090 ,
1997 2,870,072,277 165,084,982 76,231,065 3,111,388,324 3,111,388,324
1998 3,122,530,514 205,073,620 97,363,138 3,424,967,272 2,711,669,298
All property is assessed as of July 1.
Assessed value, up until June 30, 1997, was defined as market value according to Measure 5 which passed in 1990. A new
property tax limitation known as Measure 50 passed in May 1997 which disconnected assessed value from market value for
purposes of distributing property tax levies. Measure 50 reduced assessed value for 1997/98 to the 1995/96 market value less
10% plus new construction. According to the 1997/98 Washington County summary of assessment and tax roll, assessed
values for most properties are now about 78% of market value.
Source: Washington County Department of Assessment and Taxation. ,
76 '
CITY OF TIGARD, OREGON r_
' SPECIAL ASSESSMENT COLLECTIONS
for the last ten fiscal years
Fiscal Year Current Ration of Total
Ended Assessments Assessments Collections Outstanding
1 June 30 Due (1) Collected (2) to Amount Due Assessments
1989 $ 328,000 $ 372,584 113.59% $ 828,575
1990 693,000 818,094 118.05% 892,780
' 1991 343,000 279,468 81.48% 3,181,495
1 1992 427,000 288,574 67.58% 2,900,352
1993 408,000 688,664 168.79% 2,380,059
1994 193,000 186,036 96.39% 2,250,041
1 1995 208,000 146,548 70.46% 2,088,745
1996 135,000 218,667 161.98% 1,846,910
1997 145,000 353,977 244.12% 1,608,224
' 1998 275,000 173,947 63.25% 6,046,590
' (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
77
CITY OF TIGARD, OREGON
PROPERTY TAX RATES - DIRECT AND OVERLAPPING GOVERNMENTS
(Per $1,000 of Assessed Value)
for the last ten fiscal years
Tigard/ Washington Washington
Fiscal Metzger Tualatin Beaverton Tualatin County County
Year Metzger Water School School Tigard Unified Rural Fire Rural Fire Portland Education Other
Ended Water District City of Washington District District Water Sewerage Protection District Community Service Taxing
June 30 District Combined Tigard County No. 23-J No. 48 District Agency District No. 1 College District Agencies
1989 0.02 0.59 1.98 2.95 14.46 16.49 0.15 0.36 2.49 2.62 0.92 0.26 0.73
1990 0.02 0.61 2.79 2.02 14.54 16.67 0.13 0.27 2.52 0.94 0.26 1.69
1991 0.02 0.53 2.76 2.94 14.60 15.82 0.11 0.25 2.41 0.91 0.25 0.57
1992 0.02 0.48 2.76 1.41 16.73 13.44 0.09 0.19 1.99 0.81 0.21 0.49
1993 0.48 2.80 1.42 15.95 14.16 0.08 0.18 1.98 0.90 0.21 0.43
1994 0.42 2.77 1.36 15.58 13.39 0.08 0.12 1.88 0.87 0.20 0.37
CIO 1995 0.25 2.51 1.27 13.88 12.41 0.07 0.07 1.76 0.82 0.19 0.38
1996 0.25 2.18 1.52 14.01 12.07 0.06 0.09 1.66 0.79 0.18 0.38
1997 0.23 2.54 1.35 12.85 11.41 0.05 1.52 0.73 0.30 0.83
1998 0.27 3.12 2.60 6.60 6.16 1.54 0.37 0.78
Tax rates, expressed in dollars and cents per $1,000 of assessed value of taxable property in each taxing district, are required by the State Constitution to be uniform throughout the district.
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. Each 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 converted 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 on 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 property in the 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 these 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 the school district and sewer and water
district boundaries. Total overlappinq tax rates for property in Tiqard in 1998 ranqed from $13.02/1000 to $15.27/1000.
Source: Washington County Department of Assessment and Taxation.
r wr wr ~w w~ w w~ ~w ~r w~ rr ~w w~ w r ~ w r
CITY OF TIGARD, OREGON
RATIO OF NET GENERAL BONDED DEBT TO ASSESSED VALUE AND
NET BONDED 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
1989 25,602 $ 1,326,114,462 $ 10,990,000 $ 45,028 $ 10,944,972 0.83% $ 427.50
1990 27,050 1,423,135,772 11,990,000 165,664 11,824,336 0.83% 437.13
1991 29,652 1,588,084,841 13,304,000 " 345,050 12,958,950 0.82% 437.03
1992 30,835 1,910,326,437 12,595,000 620,597 11,974,403 0.63% 388.34
' 1993 31,271 2,009,784,217 11,671,000 " 830,080 10,840,920 0.54% 346.68
1994 33,802 2,175,661,079 9,878,000 611,481 9,266,519 0.43% 274.14
1995 33,744 2,458,738,549 8,385,000 422,107 7,962,893 0.32% 235.98
1996 35,021 2,735,213,090 6,795,000 387,102 6,407,898 0.23% 182.97
1 1997 35,925 3,111,388,324 5,125,000 4,514,054 610,946 0.02% 17.01
1998 36,680 2,711,669,298 3,360,000 206,712 3,153,288 0.12% 85.97
Excludes bond anticipation notes payable.
Sources: City budget documents, Comprehensive Annual Financial Reports of the City and Washington County Department of
1 Assessment and Taxation.
' 79
CITY OF TIGARD, OREGON
COMPUTATION OF LEGAL DEBT MARGIN
June 30, 1998
ORS 287.004 provides a debt limit of 3% of the true cash value of all taxable property
within the city boundaries:
True cash value 1997-1998 1 $ 3,424,967,272
General obligation debt limit X 3% ,
102,749,018
,
Gross bonded debt $ 3,360,000
Excludable debt - Bancroft improvement bonds (885,000) i
Debt subject to limitation 2,475,000 '
Legal debt margin - amount available for future indebtedness $ 100,274,018
Source: Washington County Department of Assessment and Taxation
80 '
4
CITY OF TIGARD, OREGON
1 COMPUTATION OF OVERLAPPING GENERAL OBLIGATION DEBT
June 30, 1998
Percent Amount
Applicable Applicable
Net Debt Inside City Inside City
Jurisdiction Outstanding of Tigard of Tigard
Tigard/Tualatin School District #23-J $ 36,403,463 52.9659% $ 19,281,422
Tri-Metropolitan Transport District 4,551,817 3.4752% 158,185
1 Port of Portland 725,094 3.1493% 22,835
Metro Service District 7,370,933 3.4933% 257,489
' Beaverton School District #48 2,247,213 1.1544% 25,942
Portland Community College 2,343,231 4.5705% 107,097
Washington County 8,859,029 10.5647% 935,930
Unified Sewerage Agency 185,585 11.3856% 21,130
' Tualatin Rural fire Protection District 34,249 11.8100% 4,045
Tualatin Valley Water (Metzer Bond) 1,695,950 59.5070% 1,009,209
' City of Tigard 3,360,000 100.0000% 3,360,000
$ 67,776,564 $ 25,183,284
Source: Oregon State Treasury Debt Management Division
81
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
1989 $ 418,000 $ 354,739 $ 772,739 $ 9,401,443 8.2% ,
1990 2,383,000 1,098,870 3,481,870 14,349,504 24.3%
1991 3,034,760 1,123,199 4,157,959 18,561,349 22.4%
1992 1,664,000 979,174 2,643,174 14,789,158 17.9%
1993 1,939,000 713,428 2,652,428 13,539,981 19.6% i
1994 4,742,523 1 905,209 1 5,647,732 18,301,040 30.9%
1995 1,828,000 2 560,061 2 2,388,061 14,270,841 16.7%
1996 4,385,000 1 767,516 1 5,152,516 18,833,795 27.4% '
1997 5,755,000 1 447,957 1 6,202,957 21,130,604 29.4%
1998 6,390,000 1 406,542 1 6,796,542 20,215,465 33.6%
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 '
82
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
1989 212 $ 21,189,454 604 $ 35,826,025
' 1990 320 27,495,457 749 40,729,414
' 1991 62 27,985,499 268 28,160,790
1992 37 31,498,832 218 24,259,243
1993 28 25,685,703 408 43,687,254
1994 40 63,946,411 683 62,765,587
' 1995 24 31,873,570 452 63,699,561
1996 37 34,644,201 496 65,935,382
1997 22 44,227,644 355 59,581,425
1998 28 45,381,833 147 30,720,243
' (1) From City of Tigard Building Department. Multi-family permits are included in the
number of permits issued for residential construction.
83
CITY OF TIGARD, OREGON
PRINCIPAL TAXPAYERS
June 30, 1998 '
Percentage '
of Total
Assessed Assessed
Taxpayer Type of Business Valuation Valuation
Pacific Realty Associates Oregon Business Park $ 131,887,503 4.86%
Winmar Co. Washington Square Shopping Mall 117,107,007 4.32%
SF Oregon Co Ltd. Lincoln Center Office Park 67,255,850 2.48% '
Spieker Properties Park 217 retail office center and
Nelson Business Park 23,342,951 0.86%
Portland Hotel Associates Embassy Suites Hotel 23,172,202 0.85% '
Robinson Trust Scholls Business Center 16,857,815 0.62%
Real Estate Equities Joint Venture Meadow Creek Apartments 13,363,353 0.49% '
Costco/Wholesale Price/Costco 11,790,754 0.43%
Pacific Corp. Tigard Marketplace Shopping Plaza 10,617,263 0.39%
FIG Holding Co. Farmers Insurance 10,590,055 0.39% '
Total Principal Taxpayers 425,984,753 15.71%
All Other Taxpayers 2,285,684,545 84.29% ,
Total $ 2,711,669,298 100.00%
Source: City of Tigard Planning Department, estimated from Washington County Assessment & Taxation records.
84 ,
CITY OF TIGARD, OREGON
DEMOGRAPHICS STATISTICS
for the last ten years
Assessed (2)
Value Unemployment
' of Taxable (3) Rate
(1) Property School Portland
Fiscal year Population Per Capita Enrollment Metro Area
1989 25,602 $ 51,797 6,639 4.50%
' 1990 27,050 52,611 7,236 4.10%
1991 29,652 53,557 7,940 4.90%
1992 30,835 61,953 8,795 6.20%
' 1993 31,271 64,270 8,965 5.80%
1994 33,802 64,365 9,427 4.80%
1995 33,744 72,864 9,644 4.70%
1 1996 35,021 78,102 10,579 4.20%
1997 35,925 86,608 10,829 3.90%
' 1998 36,680 73,928 11,071 4.30%
' 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
r
85
CITY OF TIGARD, OREGON
MISCELLANEOUS STATISTICAL DATA
June 30, 1998
Date of Incorporation 1961 '
Form of government Council - Mayor - Manager
Area 10.44 square miles '
Miles of streets 126.2
Number of street lights
City owned 2,529 ,
City maintained (PGE owned) 691
Police protection:
Number of stations 1
Number of policemen and officers 54
Education: '
Attendance Centers 14
Number of teachers 610
Number of students 11,071
Sanitary sewers 123 mi
Storm lines 77 mi
Open ditches 10.4 mi ,
Building Permits issued (1997-98) 175
Recreation and culture: ,
Number of parks 13
Number of libraries 1 '
Number of volumes (estimated) 115,069
Employees:
Classified service (union) 174
Unclassified (non-union) 63
Information obtained from the various departments of the City of Tigard, r
Oregon, and Tigard/Tualatin School District #23-J
86
1
~ AUDIT COMMENTS AND
e DISCLOSURES REQUIRED BY
STATE REGULATIONS
1
1
1
' CITY OF TIGARD
1
t PAULY, ROGERS AND CO., RC.
® CERTIFIED PUBLIC ACCOUNTANTS
t
• 12700 SW 72ND AVENUE TIGARD, OREGON 97223 August 28, 1998
• (503) 620-2632 • FAX (503) 684-7523
' AUDITORS' COMMENTS AND DISCLOSURES
Oregon Administrative Rules 162-10-000 through 162-16-000, 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. Certain required disclosures, statements and schedules are set forth in
' preceding pages of this report. Additional required comments and disclosures related to our audit of
such statements and schedules are set forth as follows:
' REPORT ON INTERNAL ACCOUNTING CONTROL
We have audited the general purpose financial statements of the City of Tigard, Oregon, as of and for
' the year ended June 30, 1998, and have issued our report thereon dated August 28, 1998.
In planning and performing our audit of the general purpose financial statements of the City of Tigard,
Oregon, for the year ended June 30, 1998, we considered its internal control structure in order to
determine our auditing procedures for the purpose of expressing our opinion on the financial
statements and not to provide assurance on the internal control structure. Our consideration of the
internal control structure would not necessarily disclose all matters in the internal control structure that
' might be material weaknesses under standards established by the American Institute of Certified Public
Accountants. A material weakness is a condition in which the design or operation of one or more of
the specific internal control structure elements does not reduce to a relatively low level the risk that
' errors and irregularities in amounts that would be material in relation to the financial statements being
audited may occur and not be detected within a timely period by employees in the normal course of
performing their assigned functions. We noted no matters involving the internal control structure and
' its operation that we consider to be material weaknesses as defined above.
This report is intended for the information of management, the Mayor, City Council, and the State of
' Oregon, Secretary of State, Division of Audits. However, this report is a matter of public record and
its distribution is not limited.
' ACCOUNTING RECORDS
The City's accounting records were adequate for audit.
' BUDGET TRANSACTIONS
Expenditures were within the authorized appropriation levels for the year ended June 30, 1998.
t 1997-98 and 1998-99 BUDGETS
t The budgets adopted by the City for the current and ensuing fiscal year were reviewed during the
audit. Budget preparation and adoption procedures followed by the City appeared to be in compliance
with the Oregon Local Budget Law.
87
AUDITORS' COMMENTS AND DISCLOSURES (CONTINUED) '
STATE HIGHWAY FUNDS t
The City's compliance with requirements of Article IX, Section 3a of the Oregon Constitution and
ORS 294 and 373 was reviewed and the City appears to have complied with the restrictions on the use '
of revenue from taxes on motor vehicle use and fuel.
COLLATERAL SECURING BANK DEPOSITS '
Collateral pledged by the depositories appears to have been adequate to meet requirements of Oregon
Law at all times during the year. Each depository is required by ORS Chapter 295 to maintain '
securities having a value of not less than 25% of the face amount of the collateral certificate issued by
the pool manager, for funds deposited in the depository in excess of the amounts insured by the
Federal Deposit Insurance Corporation. Deposits in the State Local Government Investment Pool are
not required to be collateralized. '
INVESTMENTS
The City's investments for the year ending June 30, 1998 were reviewed and appeared to have been in '
compliance with the legal requirements pertaining to the investment of public funds contained in ORS
294.035. ,
PUBLIC CONTRACTS AND PURCHASING
The City's procedures for awarding public contracts were reviewed and appeared to have been in '
compliance with ORS Chapter 279.
INSURANCE AND FIDELITY BONDS '
Details concerning insurance and fidelity bond coverage were reviewed during the audit. The
coverage provided appears to have met legal requirements. We do not have the professional expertise '
to state whether the insurance coverage is adequate.
STATUTORY BONDED DEBT LIMITATION '
The City's bonded debt outstanding was well within the limitation established by Oregon Law.
OUTSTANDING WARRANTS '
The City did not have any outstanding'endorsed warrants at June 30, 1998. '
PROGRAMS FUNDED FROM OUTSIDE SOURCES
We reviewed and tested, to the extent we considered necessary in the circumstances, transactions and '
reports relative to federal and state grant programs. The City appeared to have appropriate
procedures for making expenditures on behalf of, and reporting for, such programs.
PAULY, ROGERS AND CO., P.C.
X
BY: Z i-1- I
L. Parry A rsen, CPA
88 '