CAFR Report - 2004-2005
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Comprehensive Annual Financial Report Cover Description/Narrative 1
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On the Front Cover: 1
The featured architectural drawings are of the site map and the front view 1
of Tigard's new Library. On May 21, 2002, Tigard citizens approved a $13 1
million general obligation bond to construct a new library facility. The 1
bond proceeds were used to purchase a 14.7 acre parcel and construct a 1
two-story, 47,500 square foot library. Construction of the new Library is 1
complete and the Library opened in August of 2004. The new Library
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includes a large children's area, a local history room, computer training 1
room, the Grace Tigard Houghton reading room, and a community 1
meeting room. 1
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Cover architectural drawings courtesy of SRG Partnership, Architects for the new library.
Cover design courtesy of Nancy Lof, City of Tigard, Office Services.
CITY OF TIGARD, OREGON
COMPREHENSIVE ANNUAL FINANCIAL REPORT
For the fiscal year ended June 30, 2005
Prepared by:
City of Tigard - Finance Department
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City of Tigard, Oregon
Table of Contents
Page
INTRODUCTORY SECTION:
Letter of Transmittal 1-6
• Certificate of Achievement for Excellence in Financial Reporting 7
Organization Chart ..............................................................................8
Mayor and City Council Members ...................................................................9
• FINANCIAL SECTION:
• Independent Auditors' Report .....................................................................10
Management's Discussion and Analysis 11-23
Basic Financial Statements
Government-Wide Financial Statements
Statement of Net Assets 24
. Statement of Activities 25
Fund Financial Statements
Major Governmental Funds:
Balance Sheet 26
Statement of Revenues, Expenditures, and Changes in Fund Balances 27
Reconciliation of the Statement of Revenues, Expenditures, and
Changes in Fund Balances to the Statement of Activities 28
Proprietary Funds:
Statement of Net Assets 29
Statement of Revenues, Expenses, and Changes in Fund Net Assets 30
Statement of Cash Flows ...................................................................31
Pension Trust Fund:
Statement of Net Assets 32
Statement of Changes in Net Assets 32
Notes to Basic Financial Statements 33-49
Required Supplementary Information:
Statement of Revenues and Expenditures - Budget and Actual:
General Fund ............................................................................50
Other Supplementary Information:
Nonmajor Governmental Funds Combining Statements:
Combining Balance Sheet 51
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances 52
Special Revenue Funds:
Combining Balance Sheet - Nonmajor Special Revenue Funds 53
Combining Statement of Revenues, Expenditures, and
Changes in Fund Balances - Nonmajor Special Revenue Funds 54
Schedules of Revenues and Expenditures - Budget and Actual:
• Criminal Forfeiture Fund ....................................................................55
Gas Tax Fund 56
Parks Capital Fund ........................................................................57
City of Tigard, Oregon
Table of Contents, Continued
Page
FINANCIAL SECTION, Continued:
Other Supplementary Information, Continued: •
Special Revenue Funds, Continued: •
Schedules of Revenues and Expenditures - Budget and Actual, Continued:
Traffic Impact Fund ........................................................................58
Electrical Inspection Fund ...................................................................59
Underground Utility Fund ....................................................................60 •
Insurance Fund 61
Building Fund 62
Urban Services Traffic Impact Fee Fund 63
Urban Services Fund 64 •
Street Maintenance Fee Fund ................................................................65 •
Debt Service Funds:
Schedules of Revenues and Expenditures - Budget and Actual:
Bancroft Debt Service Fund .................................................................66 •
General Obligation Bond Debt Service Fund 67
Capital Projects Funds:
Combining Balance Sheet - Nonmajor Capital Projects Funds 68
Combining Statement of Revenues, Expenditures and •
Changes in Fund Balances - Nonmajor Capital Projects Funds 69
Schedules of Revenues and Expenditures - Budget and Actual:
Facility Fund .............................................................................70
Dartmouth Local Improvement District /Capital Improvement Project Fund 71 •
Wall Street Local Improvement District Fund 72
Proprietary Funds: •
Enterprise Funds: •
Schedules of Revenues and Expenditures - Budget and Actual:
Sanitary Sewer Fund .......................................................................73
Reconciliation of Budgetary Revenues and Expenditures to Proprietary
Revenues and Expenses - Sanitary Sewer Fund 74 •
Storm Drainage Fund 75
Water Quality and Quantity Fund 76
Reconciliation of Budgetary Revenues and Expenditures to Proprietary
•
Revenues and Expenses - Storm Sewer Funds 77 •
Water General Fund 78
Water Systems Development Fund ............................................................79
Water Capital Projects Fund 80 •
Reconciliation of Budgetary Revenues and Expenditures to Proprietary
•
Revenues and Expenses - Water Funds 81
Reconciliation of Budgetary Fund Balances to Generally Accepted
Accounting Principles Basis Net Assets 82 •
Internal Service Funds:
Combining Statement of Net Assets 83
Combining Statement of Revenues, Expenses, and Changes in Fund Net Assets 84 •
Combining Statement of Cash Flows 85
Schedules of Revenues and Expenditures - Budget and Actual:
Central Service Fund .......................................................................86
Fleet/Property Management Fund .............................................................87 •
City of Tigard, Oregon
Table of Contents, Continued
Page
FINANCIAL SECTION, Continued:
Other Supplementary Information, Continued:
• Capital Assets Used in the Operation of Governmental Funds:
Comparative Schedules by Source 88
Schedule by Function and Activity ................................................................89
Schedule of Changes by Function and Activity 90
• Other Schedules:
Schedule of Property Tax Transactions and Outstanding Balances .......................................91
Schedule of Bond and Bond Interest Transactions 92
Schedule of Future Debt Service Requirements of
Long-term Notes Payable 93
Schedule of Future Debt Service Requirements of
0 Bancroft Improvement Bonds 94
0 Schedule of Future Debt Service Requirements of
. General Obligation Bonds ....................................................................95
STATISTICAL SECTION:
0 Government-wide Expenses by Function ............................................................96
• Government-wide Revenues.... .............97
General Governmental Expenditures By Function - Budgetary Basis -
for the last ten fiscal years 98
t General Governmental Revenues By Sources - Budgetary Basis -
. for the last ten fiscal years 99
Property Tax Levies and Collections - for the last ten fiscal years 100
0 Market Value and Assessed Value of Taxable Property -
. for the last ten years ..........................................................................101
• Special Assessment Collections - for the last ten fiscal years 102
Property Tax Rates - Direct and Overlapping Governments -
for the last ten fiscal years 103
0 Ratio of Net General Bonded Debt to Assessed Value and
• Net Bonded Debt Per Capita - for the last ten fiscal years 104
Computation of Legal Debt Margin - June 30, 2002 105
0 Computation of Overlapping General Obligation Debt - June 30, 2003 106
• Ratio of Annual Debt Service Expenditures for Long-Term Debt to
• Total General Governmental Expenditures
for the last ten years 107
0 Property Value, Construction - for the last ten fiscal years 108
. Principal Taxpayers - June 30, 2003 109
• Demographic Statistics - for the last ten fiscal years 110
Miscellaneous Statistical Data - June 30, 2003 111
. AUDIT COMMENTS AND DISCLOSURES REQUIRED BY
• STATE REGULATIONS:
0 Auditors' Comments and Disclosures 112-114
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INTRODUCTORY SECTION
October 26, 2005
Citizens of Tigard CITY OF TIGARD
Honorable Mayor OREGON
Members of the City Council
It is our pleasure to submit to you the Comprehensive Annual Financial Report of
the City of Tigard, Oregon, for the fiscal year ended June 30, 2005.
Oregon Revised Statutes (ORS) 297.425 requires that every municipal
corporation publish within six months of the close of each fiscal year a complete
set of financial statements presented in conformity with generally accepted
accounting principles (GAAP) and audited in accordance with .generally accepted
auditing standards by a firm of licensed certified public accountants.
This report consists of management's representations concerning the finances of
the City. Consequently, management assumes full responsibility for the
completeness and reliability of all of the information presented in this report. To
provide a reasonable basis for making these representations, management of the
• City has established a comprehensive internal control framework that is designed
both to protect the government's assets from loss, theft, or misuse and to compile
sufficient reliable information for the preparation of the City's financial statements
in conformity with GAAP. Because the cost of internal controls should not
outweigh their benefits, the City's comprehensive framework of internal controls
. has been designed to provide reasonable rather than absolute assurance that
the financial statements will be free from material misstatements. As
• management, we assert that, to the best of our knowledge and belief, this
. financial report is complete and reliable in all material respects.
The City's financial statements were audited by Pauly, Rogers, and Co., P.C., a
firm of licensed certified public accountants. The goal of the independent audit
was to provide reasonable assurance that the financial statements of the City for
• the fiscal year ended June 30, 2005, are free of material misstatement. The
• independent audit involved examining, on a test basis, evidence supporting the
• amounts and disclosures in the financial statements; assessing the accounting
• principles used and significant estimates made by the management; and
• evaluating the overall financial statement presentation. The independent
• auditors concluded, based upon the audit, that there was a reasonable basis,for
• rendering an unqualified opinion that the City's basic financial statements for the
• fiscal year ended June 30, 2005, are fairly presented, in all material respects, in
• conformity with GAAP. The independent auditor's report is included in the
Financial Section of this report.
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• 13125 SW Hall Blvd., Tigard, OR 97223 (503) 639-4171 TDD (503) 684-2772
•
GAAP requires that management provide a narrative introduction, overview, and
analysis to accompany the basic financial statements in the form of
Management's Discussion and Analysis (MD&A). This letter of transmittal is
• designed to complement MD&A and should be read in conjunction with it. The
City's MD&A can be found immediately following the report of the independent
• auditors.
•
Profile of the Government
•
The City of Tigard is located in eastern Washington County just 10 miles'
• southwest of downtown Portland, Oregon along major highways; Interstate 5 and
Highway 217. A state highway, 99W, runs north and south through the eastern
• portion of the City and is a major transportation corridor leading to the City of
• Portland. There is also a major greenway called Fanno Creek that connects
• neighborhoods to the natural environment and several of the City's parks. The
• incorporated area of the City represents 11.4 square miles and has a population
• of 45,543. From 1990 to 2000, the City's population grew 39%. The City is the
eleventh largest city in the State of Oregon. It is projected that the City will have
a population of over 47,000 by 2007. The City can extend its corporate limits by
annexation which is permitted by state statute.
•
Incorporated in 1961, the City is governed by an elected Mayor and four council
members who comprise the City Council. The City's Charter established the
Mayor/Council form of government. Each member of the City Council is elected
• at-large to serve a four-year term. The Mayor presides at Council meetings and
• is elected at-large for a four-year term. The Major and Council provide
• community leadership, develop policies to guide the City in delivering services
• and achieving community goals, and encourage citizen awareness and
involvement.
•
The City Council appoints a City Manager, who is the chief administrative officer
of the City. The City Manager is responsible for ensuring Council policies are
implemented using resources appropriated by the Council to achieve desired
service results in the community.
The City provides a full range of municipal services. These services include
• police, municipal court, community planning and development, parks, library,
capital improvement planning, administration and central services, street
• maintenance, water, and other general public works activities. The City owns
and maintains the wastewater and storm drainage system within the City limits
under an agreement with Clean Water Services. Fire protection is provided by
• Tualatin Valley Fire and Rescue.
•
• The City maintains budgetary controls to ensure compliance with legal provisions
in the annual appropriated budget adopted by the City Council. Activities of all
funds are included in the annual adopted budget. The level of budgetary control
(that is, the level at which expenditures cannot legally exceed the appropriated
amount) is established by program within each individual fund.
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As demonstrated by the statements and schedules included in the financial
section of this report, the City continues meeting its responsibility for sound
financial management.
Factors Affecting Financial Condition
The information presented in the financial statements is perhaps best understood
when it is considered from the broader perspective of the specific environment
within which the City of Tigard operates.
Local economy
The City's location in the Portland metropolitan area provides citizens with many
diverse employment opportunities. The unemployment rate in the Portland
metropolitan area averaged 7.20% during the year 2004, down from 8.06% in the
previous year. The Portland metropolitan area's June 2005 unemployment rate
of 6.30% continues to show a decline, but the Portland metropolitan area still has
unemployment rates greater than the national average, which was 5.00% at the
end of June 2005.
Wholesale trade, retail trade, and the service industry all play a large role in
Tigard's economy. Retail trade has the most establishments; and the retail and
service industries employ the most people. The City has within its boundaries
one of the largest shopping malls in the region, Washington Square. The mall
has five major department stores and more than 140 specialty shops. In 2005,
Washington Square just completed an 80,000 sq. ft. expansion that added an
additional 28 specialty stores and restaurants. This expansion increased the size
of the mall to over 1.3 million sq. ft.
Summary of Economic Data
Number of Businesses, 2004 2,764
Jobs (1997 Economic Census estimate) 28,233
Median Household Income (2000) $51,581
Primary Economic Sector (receipts/sales) Wholesale Trade
Tax Rate $2.51310 per $1000
of assessed value
Total Assessed Value (2005) $3,908,208,975
Long-term financial planning
The City has developed a comprehensive long-term financial forecast every year
since the 1980's. By forecasting and anticipating financial trends, the City can
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develop strategies to respond to emerging financial trends. The City forecasts
operating fund revenues and expenditures over a five-year period. The forecast
is adjusted as each year's final results are known and as budgets are prepared
for the following year. In addition, the City also prepares a five-year Capital
Improvement Program (CIP) that is also updated every year. The CIP is
• developed through a process separate from, but parallel to the budget process.
• The impact on future operating and maintenance costs are projected from the
• CIP and then incorporated in the long-term financial forecast.
Relevant financial policies
The City of Tigard has an important responsibility to its citizens to carefully
account for public funds, manage municipal finances wisely, and plan adequate
• funding of services and facilities desired and needed by the public.
•
• In support of this effort, the City has established a set of fiscal policies to ensure
• that the public's trust is upheld. With such fiscal policies, the City has
• established the framework under which it will conduct its fiscal affairs, ensuring
• that it is and will continue to be capable of funding and providing outstanding
• local government services.
•
• The goals of Tigard's fiscal policies are:
•
• To enhance the City Council's policy-making ability by providing accurate
• information on program and operating costs.
•
• • To assist sound management of the City government by providing
• accurate and timely information on current and anticipated financial
• conditions.
•
• • To provide sound principles to guide important decisions of the Council
and management which have significant fiscal impact.
• To set forth operational principles, which minimize the cost and financial
• risk of our City's government consistent with services, desired by the
public.
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• To employ revenue policies, which prevent undue or unbalanced reliance
r on any one source, distribute the cost of municipal services fairly and
• provide adequate funds to operate desired programs.
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• To provide and maintain essential public facilities, utilities, infrastructure,
and capital equipment.
• To protect and enhance the City's credit rating.
• To insure that all surplus cash is prudently invested in accordance with the
investment policy adopted by the Council to protect City funds and realize
a reasonable rate of return.
Major initiatives
The Tigard City Council meets at the beginning of each calendar year to
establish goals. Council goals comprise high-priority tasks or programs that the
• City Council intends to complete or initiate during the year, though attainment of
these goals may take several years. The goals are based on the City's Vision
Task Force goals, departmental needs, and City Council priorities. In the goal
• setting meeting, the City Council reviews information and develops its annual and
• long-term goals. Council goals set the priorities for City government and are
incorporated into departmental work plans.
•
• The City Council's focus for 2005 is to address three key areas. Overlaying
• specific actions taken in each of these areas is a commitment to:
• » Seek more community involvement
» Tie actions to the Vision Task Force goals and strategies
• » Enhance the appearance of the City
• » Measure results
•
• Goal 1: Revitalize Downtown
• • Complete and implement the Downtown Plan
• Urban renewal implementation
• - Public relations plan and vote
- Identify and begin projects
Goal 2: Improve Highway 99W
• Identify specific projects to alleviate congestion on 99W
• • Prioritize projects/funding
• Leverage additional funding
•
Goal 3: Address Growth
! • Revise Comp Plan for Tigard, and, if funded, for Bull Mountain
• • Metro - seek changes
• Identify and acquire parks and open space
• • Review growth of expenditures and revenue
• • Graphic Identity (branding)
- Signage, new City logo and stationary
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Awards and Acknowledgements
The Government Finance Officers Association (GFOA) awarded a Certificate of
Achievement for Excellence in Financial Reporting to the City of Tigard for its
Comprehensive Annual Financial Report (CAFR) for the fiscal year ended June
30, 2004. This was the twentieth consecutive year that the City has received this
esteemed award. In order to be awarded a Certificate of Achievement, the
government published an easily readable and efficiently organized CAFR. This
report satisfied both GAAP and applicable legal requirements.
A Certificate of Achievement is valid for a period of one year only. We believe
that our current CAFR continues to meet the Certificate of Achievement
Program's requirements and we are submitting it to the GFOA to determine its
eligibility for another certificate.
In addition, the City also received the GFOA's Distinguished Budget Presentation
• Award for its annual budget for fiscal year 2005-2006. This was the eighteenth
• consecutive year that the City has received this prestigious award. In order to
qualify for the Distinguished Budget Presentation Award, the City's budget
• document was judged to be proficient in several categories, including as a policy
• document, a financial plan, an operations guide, and a communications device.
* As a management note, the previous City Manager left the City in January 2005.
• The Finance Director, Craig Prosser, was asked by the City Council to serve as
• the Interim City Manager while a recruitment process was initiated. A national
• search was conducted and in September 2005, Craig Prosser was appointed the
• new City Manager. The recruitment for a new Finance Director is currently
• underway.
•
• The preparation of this report was made possible by the dedicated service of the
• entire staff of the Finance Department and our auditors. Each member of the
• Department has our sincere appreciation for the contributions made in the
• preparation of this report. Special recognition should be given to Roger Dawes,
• Senior Accountant, Amanda Bewersdorff, Accountant, and Maureen Denny,
• Senior Administrative Specialist for their work in preparing this document. Credit
• also must be given to the Mayor and City Council for their unfailing support for
• maintaining the highest standards of professionalism in the management of the
• City of Tigard's finances.
•
• Respecfi Ity submitted,
Craig Prosser Tom Imdieke
• City Manager Interim Finance Director
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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, 2004
A Certificate of Achievement for Excellence in Financial
Reporting is presented by the Government Finance Officers
Association of the United States and Canada to
• government units and public employee retirement
systems whose comprehensive annual financial
reports (CAFRs) achieve the highest
standards in government accounting
and financial reporting.
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CANAOa
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• Executive Director
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ORGANIZATION CHART •
City of Tigard, Oregon •
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Citizens •
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Mayor S City •
City Council Attorney •
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City Manager •
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Community city
Police Libr a ry Public Works ' Development Engineering Administration Finance
Administration Administration Administration Administration Engineering City Finance •
Department Management Department
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Operations Readers Senices Sanitary Sewer Building Inspection Street Lights/Signals Mayor & Financial •
Council Operations
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Support Technical Services Storm Sewer Current Human Resources Office Services •
Services I Planning •
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Circulation Water Long Range Risk Management Records •
Planning I •
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Street Network Senices Municipal Court
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Maintenance
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Fleet Maintenance •
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Property Mgmt. •
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Parks and •
Grounds •
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City of Tigard, Oregon
PRINCIPAL OFFICIALS AS OF JUNE 30, 2005
ELECTED OFFICIALS:
Name Term Expires
Mayor Craig Dirksen December 31, 2006
Councilor Nick Wilson December 31, 2006
Councilor Sydney Sherwood December 31, 2006
Councilor Sally Harding December 31, 2008
Councilor Tom Woodruff December 31, 2008
APPOINTED OFFICIALS:
•
*William A. Monahan, City Manager
• *Craig Prosser, Finance Director
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• All may be reached at:
• 13125 SW Hall Boulevard
• Tigard, OR 97223
•
• LEGAL COUNSEL
•
• Ramis, Crew, Corrigan & Bachrach
1727 NW Hoyt Street
• Portland, OR 97209
•
• * William A. Monahan, City Manager, resigned January 2005 and Craig Prosser,
• Finance Director, served as Interim City Manager. In September 2005, the City
• Council appointed Craig Prosser the new City Manager.
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City of Tigard, Oregon
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FINANCIAL SECTION
PAULY, ROGERS AND CO., RC.
Impri. CERTIFIED PUBLIC ACCOUNTANTS
. • 12700 SW 72ND AVENUE • TIGARD, OREGON 97223 October 26, 2005
• 0 (503) 620-2632 • FAX (503) 684-7523
To the City Council and Citizens
City of Tigard, Oregon
Tigard, Oregon
INDEPENDENT AUDITORS' REPORT
We have audited the accompanying financial statements of the governmental activities, the business-type
activities, each major fund, and the aggregate remaining fund information of the City of Tigard, Oregon, as of
and for the year ended June 30, 2005, which collectively comprise the City's basic financial statements, as
listed in the table of contents. The basic 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.
We conducted our audit in accordance with auditing standards generally accepted in the United States of
America. Those standards require that we plan and perform the audit to obtain reasonable assurance about
0 whether the basic financial statements are free of material misstatement. An audit includes examining, on a
0 test basis, evidence supporting the amounts and disclosures in the basic financial statements. An audit also
0 includes assessing the accounting principles used and significant estimates made by management, as well
0 as evaluating the basic financial statement presentation. We believe that our audit provides a reasonable
• basis for our opinion.
0 In our opinion, the financial statements referred to above present fairly, in all material respects, the
0 respective financial position of the governmental activities, the business-type activities, each major fund, and
0 the aggregate remaining fund information of the City of Tigard, Oregon, as of June 30, 2005, and the
0 respective changes in financial position and cash flows, where applicable, thereof for the year then ended, in
. conformity with accounting principles generally accepted in the United States of America.
Management's discussion and analysis commencing on page 10 is not a required part of the basic financial
statements but is supplementary information required by accounting principles generally accepted in the
United States of America. We have applied certain limited procedures, which consisted principally of
inquiries of management regarding the methods of measurement and presentation of this required
supplementary information. However, we did not audit the information and express no opinion on it.
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively
comprise the City's basic financial statements. The accompanying other supplementary information
including the budgetary comparison information for the General Fund (which is required supplementary
information), and the combining and individual nonmajor fund financial statements, as listed in the table of
contents, are presented for purposes of additional analysis and are not a required part of the basic financial
statements. Such required supplementary information and supplementary information has been subjected
to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, are fairly
• stated in all material respects in relation to the basic financial statements taken as a whole. Other
• supplementary information, such as the introductory section and the statistical section have not been
subjected to the auditing procedures applied in the audit of the basic financial statements and, accordingly,
we express no opinion on them.
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Management's Discussion and Analysis
As management of the City of Tigard, we offer readers this narrative overview and
analysis of the financial activities of the City of Tigard for the fiscal year ended June 30,
2005. This Management's Discussion and Analysis (MD&A) is based on currently
known facts, decisions, and conditions that existed as of the date of the independent
auditors' report.
We encourage readers to consider the information presented here in conjunction with
the transmittal letter at the front of this report and the City's financial statements which
follow this discussion and analysis.
Financial Highlights
• The assets of the City exceeded its liabilities at the close of the most recent fiscal
year by $268.1 million (net assets). Of this amount, $41.5 million (unrestricted net
assets) may be used to meet the City's ongoing obligations to citizens and creditors.
•
• The City's net assets increased $2.2 million over the course of this year's operations.
Within this total the net assets of our business-type activities increased by $0.4
million or .5%, and net assets of our governmental activities increased by $1.8 million
or.9%.
• During the fiscal year, the City generated $25.4 million in taxes, charges for services,
and other revenues for governmental programs while incurring expenses from
• governmental activities totaling $23.6 million, for an increase in net assets of $1.8
million.
•
• • In the City's business-type activities, operating revenues increased by $.7 million or
6.6%, while operating expenses increased by $3.3 million or 43.4%. This increase is
due to higher depreciation because of the completion of an Aquifer Storage
Recovery (drinking water supply storage) project and the purchase of heavy
• equipment during the previous fiscal year.
• As of the close of fiscal year 2005, the City's governmental funds reported combined
ending fund balances of $22.3 million, a decrease of $.6 million. This decrease is
directly associated with the overall increase in cost of operations.
•
• • At the end of the fiscal year, unreserved fund balance for the General Fund was $8.2
• million, a decrease of over $.2 million or 2.3% decrease from the previous year.
•
• The City's total debt decreased by $1.2 million during fiscal year 2005. This is totally
due to the normal, annual debt service payments on the general obligation bonds,
the Bancroft Improvement Bonds and long-term notes.
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Overview of the Financial Statements •
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In addition to this discussion and analysis, the financial section of this annual report
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contains the basic financial statements, required supplementary information, and the
combining statements of the non-major finds and schedules demonstrating legal
compliance. •
The basic financial statements also include notes that explain the information in the
financial statements and provide more details. The statements are followed by the •
required supplementary information section, that supports the information in the financial •
statements.
•
The following chart illustrates how the various sections of this annual report are arranged
relative to another.
Required Elements of the
Comprehensive Annual Financial Report
MANAGEMENT'S DISCUSSION AND ANALYSIS
•
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FINANCIAL STATEMENTS •
•
•
Government-wide (full accrual) Fund •
Governmental Activities Governmental (modified accrual) •
Business-type Activities Proprietary (full accrual)
Fiduciary (full accrual) •
•
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Notes to Basic Financial Statements •
•
REQUIRED SUPPLEMENTAL INFORMATION .
(other than MD&A)
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OTHER SUPPLEMENTARY INFORMATION •
•
Government-wide Financial Statements.
•
The government-wide financial statements are designed to provide readers with a broad
overview of the City's finances, in a manner similar to a private-sector business. •
•
The Statement of Net Assets presents information on all of the City's assets and
liabilities, with the difference between the two reported as net assets. Over time,
increases or decreases in net assets may serve as a useful indicator of whether the
financial position of the City is improving or deteriorating.
The Statement of Activities presents information showing how the City's net assets
changed during the most recent fiscal year. All changes in net assets are reported as
soon as the underlying event giving rise to the change occurs, regardless of the timing of •
related cash flows. Thus, revenues and expenses are reported in this statement for
some items that will result in cash flows in a future fiscal period. Examples of such items
include earned, but uncollected property taxes, and earned, but unused compensated
absences.
12
•
•
Both of the government-wide financial statements distinguish functions of the City that
• are principally supported by taxes and intergovernmental revenues (governmental
activities) from other functions that are intended to recover all or a significant portion of
their costs through user fees and charges (business-type activities).
The governmental activities of the City include the following:
•
• • Community services, police, library, and social services
• • Public works, including parks and recreation
• • Development services, planning and engineering
• Policy and administration
•
The business-type activities of the City include the following:
• Sanitary sewer
• Storm water
• • Water
•
The government-wide financial statements can be found on pages 24-25 of this report.
•
• Fund Financial Statements are designed to display compliance with finance-related
• legal requirements demonstrated by the use of fund accounting. A fund is a grouping of
• related accounts that is used to maintain control over resources that have been
segregated for specific activities and objectives. The funds of the City can be divided
into the following categories: governmental funds, proprietary funds and a fiduciary
• fund.
Governmental funds are used to account for essentially the same functions reported as
governmental activities in the government-wide financial statements. However, unlike
• the government-wide financial statements, governmental fund financial statements focus
• on near-term inflows and outflows of available resources, as well as on balances of
available resources at the end of the fiscal year. Such information may be useful in
evaluating a government's near-term financial capability.
• Because the focus of governmental funds is narrower than that of the government-wide
financial statements, it is useful to compare the information presented for governmental
funds with similar information presented for governmental activities in the government-
wide financial statements. By doing so, readers may better understand the long-term
• impact of the City's near-term financing decisions. Both the governmental fund balance
• sheet and the governmental fund statement of revenues, expenditures, and changes in
• fund balance provide a reconciliation to facilitate this comparison between governmental
funds and governmental activities.
• The City maintains 19 individual governmental funds. Information is presented
• separately in the governmental fund balance sheet and the statement of revenues,
• expenditures, and changes in fund balances for those funds that are considered
• significant (major) to the City taken as a whole. These financial statements report three
• major funds: General Fund, Facility Fund, and Bancroft Debt Service Fund. Data from
• the other 16 governmental funds are combined into a single, aggregated presentation.
• Individual fund data for each of these non-major governmental funds is provided in the
0 form of combining statements elsewhere in this report.
•
•
•
• 13
•
•
•
•
The Street Maintenance Fee Fund was created mid-year in fiscal year 2004. This fund
was created to track the revenues and expenses for the Street Maintenance Fee that the
City Council approved through Ordinance No. 03-10 in November, 2003. The $900,000
collected actually exceeded the projected amount by $100,000. The revenue from this
fee is used for the repair of roads throughout the City and individual projects are targeted •
to address the $4.0 million backlog of street repairs that need to be completed. •
The City adopts an annual appropriated budget for all of its governmental funds. A
budgetary comparison statement has been provided for each fund individually to •
demonstrate compliance with their budgets. •
•
The basic governmental fund financial statements can be found on pages 26-28 of this
report.
Proprietary funds are used to account for a government's business-type activities. The
City maintains two different types of proprietary funds - enterprise funds and internal
service funds. Enterprise funds are used to report the same functions presented as
business-type activities in the governmental-wide financial statements. The City uses
enterprise funds to account for its sanitary sewer, storm water, and water operations. •
Internal service funds are an accounting device used to accumulate and allocate costs
internally among the City's various functions. The City uses internal service funds to
account for fleet maintenance, risk management, office services, finance and
accounting, and other management services.
The City reports all three of the enterprise funds as major funds. These funds are the
Sanitary Sewer Fund; the Storm Sewer Fund, (which consists of the budgetary Storm
Sewer and the Water Quality/Quantity Funds;) and the Water Fund, (which includes the
budgetary Water, Water SDC, and Water CIP Funds.) However, for budgetary and legal •
purposes these funds are accounted for separately. Conversely, all internal service
funds are combined into a single, aggregated presentation in the proprietary fund
financial statements. Individual fund data for the internal service funds is provided as
other supplementary information.
The City also adopts an annual appropriated budget for all proprietary funds. To
demonstrate compliance with the budget, budgetary comparison statements have been
provided for the enterprise funds as other supplementary information on pages 73-82 of
this report. Budgetary comparisons for the internal service funds are provided on pages
83-87 of this report. •
The proprietary fund financial statements can be found on pages 29-31 in the basic
financial statements.
Fiduciary funds are used to report assets held in a trustee or agency capacity for
others and therefore cannot be used to support the government's own programs. The
City has a pension trust fund that accounts for employee defined contribution plans. The
accounting used for the fiduciary fund is much like that used for the proprietary funds. •
s
No budget is adopted for the fiduciary fund in accordance with Oregon Local Budget
Law.
The fiduciary fund financial statements can be found on page 32 in the basic financial
statements.
14
•
I
Notes to the Basic Financial Statements provide additional information that is
essential to a full understanding of the data provided in the government-wide and fund
financial statements. The notes to the financial statements can be found on pages 33-
49 of this report.
The combining statements referred to earlier in connection with non-major governmental
funds and business-type funds are presented immediately following the notes to the
financial statements. Combining and individual fund statements and schedules can be
found on pages 53-65 of this report.
Government-wide Financial Analysis
Net assets. As noted earlier, net assets may serve over time as a useful indicator of the
City's financial position. In the case of the City, assets exceeded liabilities by $268.1
million at June 30, 2005.
The largest portion of the City's net assets (82.6%) reflects its investment in capital
• assets (e.g., land, buildings, roads, sewers, storm water facilities, etc.); less any related
debt used to acquire those assets that is still outstanding. The majority of these capital
assets including the City infrastructure, are not available for future spending. Although
the City's investment in capital assets is reported net of related debt, it should be noted
that the resources needed to repay this debt must be provided from other sources, since
• capital assets themselves cannot be used to liquidate these liabilities.
City of Tigard, Oregon
Net Assets as of Fiscal Year-end
• (in millions)
•
• Governmental Business-type
• Activities Activities Total
Assets 2005 2004 2005 2004 2005 2004
• Current and other assets $ 29.8 $ 32.0 $ 26.2 $ 27.1 $ 56.0 $ 59.1
• Net capital assets 183.3 181.8 51.9 50.2 235.2 232.0
Total assets 213.1 213.8 78.1 77.3 291.2 291.1
• Liabilities
Other liabilities 5.2 6.4 2.1 1.7 7.3 8.1
Long-term debt outstanding 15.8 17.1 - - 15.8 17.1
• Total liabilities 21.0 23.5 2.1 1.7 23.1 25.2
• Net Assets
. Invested in captial assets,
• net of related debt 169.5 167.3 51.9 50.2 221.4 217.5
Restricted 1.4 1.8 3.8 5.5 5.2 7.3
Unrestricted 21.2 21.2 20.3 19.9 41.5 41.1
Total net assets $192.1 $190.3 $ 76.0 $ 75.6 $ 268.1 $ 265.9
•
The City's net assets increased by $2.2 million during the fiscal year. The largest portion
• of this increase is related to the increase in charges for services. The substantial
• increase in charges for services from Governmental Activities is a direct result of the
Street Maintenance Fee having been collected for a full fiscal year and an increase in
. the Parks System Development Charge went into effect in January 2005.
• The remainder of the growth can be directly related to increases in service charges from
• the water utility operations and other fees that are adjusted annually based on certain
• price indexes.
• 15
•
•
•
•
•
The majority of the increase in the expenses for community services was the purchase
and installation of mobile data computers and video cameras in police vehicles;
replacement of a portion of the police vehicle fleet; and a minor increase in the library for •
the acquisition of additional collection materials.
The increase in expenses for water is directly attributable to the increased depreciation
due to the completion of a major drinking water storage project and acquisition of some
major rolling stock.
The revenues and expenses shown on the next table explain changes in net assets for
fiscal year 2005.
•
City of Tigard, Oregon •
Changes in Net Assets
(in millions)
•
Governmental Business-type
Activities Activities Total •
FY 04-05 FY 03-04 FY 04-05 FY 03-04 FY 04-05 FY 03-04 0
Revenues •
Program revenues •
Charges for services $ 6.1 $ 4.5 $ 10.5 $ 10.2 $ 16.6 $ 14.7
Operating grants and contributions 0.3 0.3 - - 0.3 0.3 •
Total Program Revenues 6.4 4.8 10.5 10.2 16.9 15.0 •
Taxes 10.3 9.8 - - 10.3 9.8 •
Interest 0.9 0.9 0.6 0.4 1.5 1.3
Other 7.8 8.0 0.2 0.0 8.0 8.0 0
Total General Revenues 19.0 18.7 0.8 0.4 19.8 19.1 •
Total revenues 25.4 23.5 113 10.6 36.7 34.1 .
Expenses
Community services 10.3 8.7 - - 10.3 8.7 •
Public works 2.2 2.7 - - 2.2 2.7 .
Development services 4.2 3.8 - - 4.2 3.8
Policy and administration 6.2 6.2 - - 6.2 6.2 •
Interest on long-term debt 0.7 1.0 - - 0.7 1.0 •
Sewer - - 1.3 0.9 1.3 0.9 •
Storm water - 1.4 1.1 1.4 1.1
Water - - 8.2 5.6 8.2 5.6 •
Total expenses 23.6 22.4 10.9 7.6 34.5 30.0 •
Changes in net assets 1.8 1.1 0.4 3.0 2.2 4.1 •
0
Beginning net assets 190.3 189.2 75.6 72.6 265.9 261.8 •
Ending net assets $ 192.1 $190.3 $ 76.0 $ 75.6 $268.1 $265.9 .
Revenues
Governmental Activities •
Property taxes continue to be a major source of revenue for the funding of City
programs. Oregon voters passed Measure 50, a State Constitutional Amendment,
which fundamentally changed property tax calculation and administration in Oregon in
May 1997. Measure 50 converted operating property tax authority from a "levy-based" .
system to a "rate-based" system, and it became effective in FY 1997-98. The City's tax .
base, which was $6,891,856 in FY 1997-98, was converted to a permanent tax rate of
$2.5131 by the measure. The measure established FY 1997-98 assessed value at FY
1995-96 values less 10%.
16
The permanent rate is multiplied by the assessed value each year to arrive at the tax
authority for that year. Assessed value growth is limited to 3% per year, plus a pro-rated
share of new construction and annexations. The City has seen significant growth in
construction since then and the annexation of the Walnut Island area which occurred in
FY 1999-00.
Measure 50 did not change the basis for calculating General Obligation (GO) debt
service levies. GO debt service levies are calculated to produce enough tax revenues
that (when combined with other resources such as interest earnings and fund balance)
will be enough to pay debt service due on these voter approved bonds. On May 21,
2002, voters approved a bond measure in the amount of $13.0 million for a new library.
The City sold the bonds to the Oregon Economic and Community Development
Department. Taxes collected through the tax levy will repay this bonded debt.
Both other revenues and charges for services combined constitute 55% of total
revenues and the primary sources include the following:
• Franchise fees are charged to public utilities for the use of the public right-of-way.
Franchised activities paying the fee include electricity, natural gas,
telecommunications, cable television, and solid waste haulers - $2,670,050.
• Licenses and permit revenues include fees charged primarily relating to
development activities in the City - $293,954.
• Intergovernmental revenue is the other significant revenue category in other
revenues and totals $2,265,819. These revenue sources include state shared
revenues such as gas tax, cigarette tax, liquor tax, and revenue sharing. In
addition, this category also includes the City's portion of the Washington County
Cooperative Library System (WCCLS) levy and the countywide Hotel/Motel Tax.
• Charges for service includes a variety of land use planning and permit fees,
library fines, and other miscellaneous types of fees and charges - $1,590,725
• New fee collected for street maintenance - $902,539.
r
• Governmental Activities Fiscal Year 2005
Revenues by Source
$25,354,405
Taxes,
• $10,273,332- Interest, $859,057
• 41% r 3%
• / Other, $7,831,690
• ; " 31%
• Operating g Grants
I
and
Contributions,
• $285,888 Charges for
• 1% I Service,
• $6,104,438
24%
17
Business-type Activities 40
S
Charges for services represent 93% of total revenues and are composed of fees that are
charged to all users for services provided such as water, sanitary sewer, and storm
water. The sanitary and storm water fees are established by Clean Water Services and .
are set by the agency each year. The City Council, through an intergovernmental •
agreement with other water system participants, sets the water rates.
•
Expenses
•
Governmental Activities
Expenses related to governmental activities are shown in the chart below and are
expressed as a percent of total expenses for all governmental activities.
The majority of the expenses (44%) relate to the City Library and Police Department
within the Community services activity.
Overall, expenses in Governmental activities increased by $1.2 million over the previous
fiscal year. The majority of this increase was in community services due to the
acquisition and installation of the mobile data computers, police vehicle replacement,
and, an increase in library circulation materials.
•
Expenses by Service Type Fiscal Year 2005 •
Governmental Activites
$23,534,810 •
•
I •
Policy and Interest on long- •
administration, term debt, $716,899
3% Community
$6,16 - services,
26N% .
$10,253,764 .
44•/. •
Development •
services, $4,224,696-'
18% ~ Public works, •
$2,172,874
9%
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•
Business-type Activities
The majority of the expenses (75%) relate to the drinking water service provider activity.
Sewer and storm water expenses were at a slightly higher level as the previous fiscal
year. The increase of $2.6 million in water is mostly related to higher depreciation
expenses.
Expenses by Service Type Fiscal Year 2005
Business-type Activites
$10,872,969
Sewer Storm water,
$1,297,582-1, i $1,374,45913%
Water
Aiii
$8,200,928 75%
•
•
Financial Analysis of the City's Funds
As noted earlier, the City uses fund accounting to ensure and demonstrate compliance
• with finance-related legal requirements.
0
Governmental Funds
•
• The focus of the City's governmental funds is to provide information on near-term
• inflows, outflows, and balances of spendable resources. Such information is useful in
• assessing the City's financing requirements. In particular, unreserved fund balance may
• serve as a useful measure of the City's net resources available for spending at the end
• of the fiscal year.
As of the end of the fiscal year 2005, the City's governmental funds reported combined
ending fund balances of $22.3 million. Of this amount, $4.9 million is reserved for capital
• projects, debt service, and prepaid insurance.
0
General Fund
The General Fund is the chief operating fund of the City. At the end of the fiscal year
• 2005, the unreserved fund balance was $8.2 million that can be used for funding of City
0 programs. This was a decrease of approximately $.2 million over the previous fiscal
0 year. This decrease can be directly attributed to overall operating expense increases.
•
Facility Fund
•
0 This fund is used for future renewal, replacement, and expansion of City facilities. The
decrease of $2.6 million in reserved fund balance was due to the completion of a new
• library. The voters had approved a bond measure for the construction of a new library
• and the City also received bequests from two estates for support of children's art and
. enhancement of the new facility.
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•
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Bancroft Debt Service Fund •
Revenue in this fund is derived from assessments on properties that participate in local
improvement districts and from proceeds of Bancroft bonds to retire short-term debt
issued to fund the local improvements. At the end of the FY 2005, the fund balance was
$.9 million, a decrease of slightly over $.1 million.
•
Proprietary Funds
•
The City's proprietary funds include the Sanitary Sewer, Storm Sewer, Water, and •
Internal Services Funds.
•
The unrestricted net assets of the business-type activities which include the Sanitary
Sewer, Storm Sewer, and Water Funds at the end of the year amounted to $20.3 million.
The total growth in net assets for these funds was slightly over $.4 million. •
The factors concerning the finances of the funds have already been addressed in the •
discussion of the City's business-type activities.
•
General Fund Budgetary Highlights •
The City Council approved eight budget amendments to the adopted General Fund
budget. Total increase in appropriations was $894,416. The changes are summarized
as follows:
•
• $186,475 increase throughout the General Fund programs to implement cost of •
living and benefit cost increases.
• Increase of $23,467 in the Police Department for a grant to support the D.A.R.E. •
program. •
• Increase of $481,019 in two amendments that funded the purchase and
installation of mobile data computers and video cameras in police vehicles.
• $5,105 for support of the residential services emergency fund.
• Increase of $20,700 in the Police Department for the funding of a regional transit
law enforcement position.
• $26,000 to increase the open hours at the library. •
• Increase of $151,650 to fund the cost of living adjustments for the Tigard Police •
Officer Association labor contract agreement.
•
Capital Asset and Debt Administration •
•
Capital Assets
Governmental Activities
•
The City's investment in capital assets for its governmental activities as of June 30, •
2005, amounts to $183.3 million (net of accumulated depreciation). This investment in
capital assets primarily includes land, buildings, machinery and equipment, office •
equipment, and infrastructure. The infrastructure includes roads, curbs and sidewalks,
signage, streetlights; and right-of-ways. Construction in Progress decreased
substantially from the previous fiscal year due to the completion of the new library. The
total increase in the City's investment in governmental activities capital assets was less
than 1.0%.
20
•
Business-type Activities
The City's investment in capital assets for its business-type activities as of June 30,
2005, amounts to $51.9 million (net of accumulated depreciation). In addition to
machinery and equipment and vehicles, the capital assets include the sanitary sewer
collection system, storm drainage, and water systems. Total increase in the City's
investment in business-type activities capital assets was 3.6%.
City of Tigard, Oregon
Capital Assets at Year-end
(Net of Depreciation)
(in millions)
Governmental Business-type
Activities Activities Total
2005 2004 2005 2004 2005 2004
Land $ 5.8 $ 5.8 $ 1.0 $ 1.0 $ 6.8 $ 6.8
Construction in Progress 0.5 16.1 1.6 0.9 2.1 17.0
Buildings and building improvements 16.4 5.7 0.6 0.7 17.0 6.4
Land improvements 1.6 2.4 0.0 0.0 1.6 2.4
Sewer System - - 13.2 11.8 13.2 11.8
Storm drainage system - - 10.0 9.8 10.0 9.8
Water system - - 25.1 25.4- 25.1 25.4
Machinery and equipment 0.6 0.2 - - 0.6 0.2
Autos and trucks 0.5 0.3 0.4 0.5 0.9 0.8
Office equipment 0.0 0.0 - - 0.0 0.0
Infrastructure 157.9 151.2 - - 157.9 151.2
Total capital assets $183.3 $181.7 $ 51.9 $ 50.1 $ 235.3 $ 231.8
Additional information on the City's capital assets can be found in the notes on pages
42-43 of this report.
Debt Outstanding
As of year-end, the City had three types of debt currently outstanding, which are all
governmental. They include general obligation bonds ($12.1 million) secured by the
City's authority to levy property taxes, and assessment bonds ($3.1 million) secured by
installment payment contracts with property owners. The third is a loan ($1.7 million)
through the Oregon Economic and Community Development Department (OECDD).
This loan was secured by current and future park system development charges collected
by the City.
The most recent bond rating occurred in 1993 and the rating given by Moody's was Al.
Existing debt levels have no direct impact on current or future City operations.
The State of Oregon limits the amount of general obligation debt that cities can issue to
3 percent of the real market value of all taxable property within city limits. The City's
• total outstanding general obligation debt is significantly below the 3 percent limit of
• $162.2 million.
Additional information on the City's debt can be found on pages 44-45 of this report.
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• 21
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City of Tigard, Oregon
Outstanding Debt at Fiscal Year-end
(in millions)
•
Total
Totals Percentage
2005 2004 Change
Governmental: •
General obligation $ 12.1 $ 12.5 -3.2%
Local improvement 3.1 3.7 -16.2%
Long-term note 1.7 1.9 -10.5% •
Total outstanding debt $ 16.9 $ 18.1 -6.6% •
•
Economic Factors
•
Tigard's location in the Portland metropolitan area provides its citizens with many
diverse employment opportunities. However, the unemployment rate in the Portland •
metropolitan area averaged 7.20% during the year 2004, representing a decrease of
10.9% from the previous year. June 2005 unemployment rates did show a slight decline •
in the rate, but the Portland metropolitan area continues to have unemployment rates
greater than the national average.
•
Value added through new construction continues to increase assessed value. Due to
the state of the economy, the increase is not as large as in previous years. The results r
of the first half of FY 04-05 showed building activity about the same or slightly higher
than the same period in FY 03-04.
•
The City of Tigard has developed a comprehensive long-term financial forecast every
year since the 1980s. This forecast allows the City to project expected revenues and
expenditures for each of its funds to help anticipate financial requirements.
The Comprehensive Long-term Financial Forecast continues to be central to Tigard's
financial management strategy. By forecasting and anticipating financial trends, Tigard •
can develop strategies to respond to emerging financial trends.
r
The City forecasts operating fund revenues and expenditures over a five-year period.
The forecast is adjusted as each year's final results are known and as new years are
budgeted. ,
The City's current Five Year Financial Forecast shows that, overall, the City's current
financial condition is still fairly good. The FY 2005-06 Budget continues to actively •
manage the expenditures of the General Fund. The financial forecast suggests,
however, that strong financial management alone may not be sufficient to avoid future
deficits. The demand for City services is greater than the resources available to pay for
them. The financial forecast suggests the need to go to voters in the forecast period to
request additional General Fund resources. The City continues to monitor its revenues
and expenditures and will continue to develop plans and options to manage its
resources to continue to provide quality services to its citizens.
•
Funding for roads in the City continues to be an area of major concern, as it does for
most other cities in Oregon. Traditional funding sources such as the gas tax are simply •
not adequate to meet projected needs and to build and maintain roads that can handle
current and expected traffic loads. Maintenance of roads is being deferred, which
22
•
•
creates larger capital needs in the future as deferred maintenance leads to break-down
of the infrastructure. In response, the City Council adopted a new Street Maintenance
Fee that went into effect in the spring of 2004. The City collected over $900,000 in fiscal
year 05 that is being used to address the deferred maintenance needs.
The City Council also adopted a three year plan to adjust water rates. This is in
anticipation of the final decision as to what the City's long=term water supply will be.
Once identified, there will be a need for the City to issue revenue bonds to support any
construction program that will be instituted as part of the supply source selected.
As a result of the budget process in the spring of 2005, the City Council has established
a Financial Strategy Task Force. Membership of the Task Force includes the five citizen
members of the Budget Committee and members from other City boards and
commissions. The Task Force is being asked to look at developing specific
recommendations that the City Council could consider adopting to address the City's
financial future.
Also, the City Council recently adopted a plan for the revitalization of the downtown area.
The plan is the result of a three year planning effort by the Downtown Task Force. One
of the most likely options for implementing the Downtown Plan is through urban renewal.
The Tigard City Charter requires a citywide vote to create an urban renewal district. The
City Council is currently considering a ballot title and plan to refer the question to the
voters in May of 2006.
Requests for Information
This financial report is designed to provide a general overview of the City of Tigard's
finances for all those with an interest in the City's finances. Questions concerning any of
the information provided in the report or requests for additional financial information
should be addressed to the Finance Director, City of Tigard, 13125 SW Hall Blvd.,
Tigard, Oregon 97223.
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BASIC FINANCIAL STATEMENTS
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CITY OF TIGARD, OREGON
STATEMENT OF NET ASSETS
June 30, 2005
Governmental Business-Type
Activities Activities Total
ASSETS
Cash and investments $ 25,534,908 $ 23,776,274 $ 49,311,182
Accounts receivable 814,844 2,321,068 3,135,912
Property taxes receivable 330,290 65 330,355
Assessment liens receivable 3,074,032 - 3,074,032
Prepaid expenses 54,632 - 54,632
Inventory 34,818 136,741 171,559
Capital assets:
Land and construction in process 6,250,029 2,566,641 8,816,670
Other capital assets (net of accumulated depreciation) 177,035,672 49,295,322 226,330,994
Total Assets 213,129,225 78,096,111 291,225,336
LIABILITIES
Accounts payable and accrued liabilities 1,690,790 2,097,123 3,787,913
Customer deposits 1,156,494 145,298 1,301,792
Due to (from) other activities 257,426 (257,426) -
Accrued interest payable 403,887 - 403,887
Accrued compensated absences 685,335 112,194 797,529
Noncurrent liabilities:
Due within one year:
Notes payable 216,630 - 216,630
Bonds payable 488,335 - 488,335
Special assessment bonded debt
with government commitment 366,523 - 366,523
Due in more than one year:
• Notes payable 1,465,007 - 1,465,007
Bonds payable 11,572,205 - 11,572,205
• Special assessment bonded debt
with government commitment 2,737,744 - 2,737,744
• Total Liabilities 21,040,376 2,097,189 23,137,565
•
• NET ASSETS
Invested in capital assets, net of related debt 169,543,524 51,861,963 221,405,487
• Restricted for:
• Capital projects - 3,761,976 3,761,976
Debt service 1,312,547 - 1,312,547
• Other purposes 54,632 - 54,632
• Unrestricted 21,178,146 20,374,983 41,553,129
• Total Net Assets $ 192,088,849 $ 75,998,922 $ 268,087,771
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• The accompanying notes are an integral part of the basic financial statements.
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24
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CITY OF TIGARD, OREGON S
STATEMENT OF ACTIVITIES
For the fiscal year ended June 30, 2005
Program Revenues
Charges Operating •
for Grants and •
Functions/Programs Expenses Services Contributions
Governmental activities:
Community services $ 10,253,764 $ 119,513 $ 204,865
•
Public works 2,172,874 1,741,747 9,065
Development services 4,224,696 3,335,125 71,958
Policy and administration 6,166,577 908,053 -
Interest on long-term debt 716,899 - -
Total governmental activities 23,534,810 6,104,438 285,888
Business-type activities:
Sewer 1,297,582 1,601,113 -
Storm Water 1,374,459 1,156,220
Water 8,200,928 7,762,153
Total business-type activities 10,872,969 10,519,486 -
Total $ 34,407,779 $ 16,623,924 $ 285,888
General Revenues:
Property taxes, levied for general purposes
Property taxes, levied for debt service •
Franchise taxes
Restricted intergovernmental revenues (excluding grants)
Unrestricted intergovernmental revenues
Interest earnings •
Miscellaneous •
Total general revenues, special items, and transfers
Change in net assets •
Net assets-beginning
Net assets-ending
The accompanying notes are an integral part of the basic financial statements.
!
!
25
Net (Expense) Revenue and
Changes in Net Assets
Primary Government
Governmental Business-type
Activities Activities Total
$ (9,929,386) $ - $ (9,929,386)
(422,062) - (422,062)
(817,613) - (817,613)
(5,258,524) - (5,258,524)
(716,899) - (716,899)
(17,144,484) - (17,144,484)
- 303,531 303,531
- (218,239) (218,239)
- (438,775) (438,775)
- (353,483) (353,483)
(17,144,484) (353,483) (17,497,967)
9,553,977 9,553,977
719,355 719,355
2,670,050 2,670,050
3,447,895 - 3,447,895
1,430,206 - 1,430,206
859,057 604,977 1,464,034
283,539 135,092 418,631
18,964,079 740,069 19,704,148
1,819,595 386,586 2,206,181
190,269,254 75,612,336 265,881,590
$ 192,088,849 $ 75,998,922 $ 268,087,771
CITY OF TIGARD, OREGON
GOVERNMENTAL FUNDS 40
BALANCE SHEET
June 30, 2005 e
Bancroft Other Total •
General Facility Debt Service Governmental Governmental
Fund Fund Fund Funds Funds •
ASSETS
Cash and investments $ 8,897,159 $ 1,552,483 $ 906,958 $ 12,873,293 $ 24,229,893
Accounts receivable 317,004 - - 494,386 811,390 !
Property taxes receivable 306,365 - - 23,925 330,290
Assessment liens receivable - - 2,971,294 102,737 3,074,031
Prepaid insurance 54,632 - - - 54,632
Total assets $ 9,575,160 $ 1,552,483 $ 3,878,252 $ 13,494,341 $ 28,500,236 •
LIABILITIES
Accounts payable and accrued liabilities $ 790,047 $ 23,019 $ - $ 698,199 $ 1,511,265 .
Customer deposits 390,638 - - 765,856 1,156,494
Deferred revenues:
Property taxes 208,731 - - 16,887 225,618
Assessment liens - - 2,971,294 372,519 3,343,813
Accrued interest on delinquent assessments - - 2,661 - 2,661
Total liabilities 1,389,416 23,019 2,973,955 1,853,461 6,239,851
FUND BALANCES
Reserved for: •
Capital projects - 1,529,464 - 1,979,162 3,508,626
Debt service - - 904,297 408,251 1,312,547 0
Prepaid insurance 54,632 - - - 54,632 .
Unreserved, reported in:
General Fund 8,131,112 - - - 8,131,112
Special revenue funds - - - 9,253,467 9,253,467 .
Total fund balances 8,185,744 1,529,464 904,297 11,640,880 22,260,385 •
Total liabilities and fund balances $ 9,575,160 $ 1,552,483 $ 3,878,252 $ 13,494,341 •
Amounts reported for governmental activities in the Statement 0
of Net Assets are different because: 0
Capital assets used in governmental activities are not financial •
resources and therefore are not reported in the funds, net .
of accumulated depreciation of $48,230,371 183,285,701 •
Other long-term assets are not available to pay for current-period •
expenditures and, therefore are deferred in the funds:
Assessment Liens (includes interest on delinquent liens) 3,346,474 0
Property taxes earned but not available 225,618 •
Internal service funds are used by management to charge the 41
cost of administrative functions as well as fleet and property .
management to individual funds. A portion of the assets and •
liabilities of the internal service funds are included in
governmental activities in the statement of activities. 772,282
Accrued compensated absences are not due and payable in the
current period and therefore are not reported in the funds. (551,280) ,
Long-term liabilities - not reported in the funds:
Bonds, notes payable and other liabilities, not due and .
payable in current period (16,846,444) .
Accrued interest payable, not due and payable in the current period (403,887)
Net Assets of Governmental Activities $ 192,088,849 .
The accompanying notes are an integral part of the basic financial statements. •
26
CITY OF TIGARD, OREGON
GOVERNMENTALFUNDS
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE
For the fiscal year ended June 30, 2005
Bancroft Other Total
General Facility Debt Service Governmental Governmental
. Fund Fund Fund Funds Funds
REVENUES
Taxes $ 9,625,718 $ - $ - $ 708,577 $ 10,334,295
Franchise fees 2,670,050 - - - 2,670,050
Special assessments - - 373,141 - 373,141
Licenses and permits 285,068 - - 4,157,154 4,442,222
Intergovernmental revenues 2,693,570 - 2,441,421 5,134,991
Charges for service 1,381,542 - 972,830 2,354,372
Fines and forfeitures 646,406 - - - 646,406
• Interest earnings 240,602 58,169 247,346 290,242 836,359
Miscellaneous 49,889 59,022 171,500 280,411
• Total revenues 17,592,845 117,191 620,487 8,741,724 27,072,247
EXPENDITURES
Current operating:
• Community services 10,750,344 - - 10,750,344
Public works 2,172,875 - - 2,172,875
Development services 2,300,202 - - 2,016,315 4,316,517
• Policy and administration 3,644,141 - - 690,006 4,334,147
Debt service:
Principal - - 598,804 686,471 1,285,275
. Interest - 177,349 571,068 748,417
Capital outlay - 2,432,597 - 1,674,402 4,106,999
• Total expenditures 18,867,562 2,432,597 776,153 5,638,262 27,714,574
Excess (deficiency) of revenues
• over (under) expenditures (1,274,717) (2,315,406) (155,666) 3,103,462 (642,327)
• OTHER FINANCING SOURCES (USES)
Transfers in 1,331,453 264,350 8,971 1,288,661 2,893,435
• Transfers out (283,823) (592,002) - (2,017,610) (2,893,435)
Total other financing sources (uses) 1,047,630 (327,652) 8,971 (728,949) -
Net change in fund balances (227,087) (2,643,058) (146,695) 2,374,513 (642,327)
• Fund balances - beginning 8,412,831 4,172,522 1,050,992 9,266,367 22,902,712
• Fund balances - ending $ 8,185,744 $ 1,529,464 $ 904,297 $ 11,640,880 $ 22,260,385
The accompanying notes are an integral part of the basic financial statements.
27
CITY OF TIGARD, OREGON
RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
OF GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES
For the fiscal year ended June 30, 2005
Net change in fund balances--total governmental funds $ , (642,327)
Amounts reported for governmental activities in the •
Statement of Activities are different because:
Governmental funds report capital outlays as expenditures
while governmental activities report depreciation expense to
allocate those expenditures over the life of the assets. This is •
the amount by which capital outlay exceeded depreciation
in the current period.
Expenditures for capital assets - less donated $ 5,324,807
Less current year depreciation (3,790,691) 1,534,116
Revenues in the Statement of Activities that do not
provide current financial resources are not reported
as revenues in the funds.
Property taxes (60,963)
Assessment Liens (427,470) (488,433) •
Repayment of bond principal is an expenditure in the
governmental funds, but the repayment reduces long-term •
liabilities in the Statement of Net Assets. '
Principal payments 1,285,274
49
Some expenses reported in the Statement of Activities .
do not require the use of current financial resources .
and therefore are not reported as expenditures in
governmental funds.
Compensated absences 48,348
Accrued interest on debt (31,518) 16,830 .
Internal service funds are used by management to charge the
cost of administrative functions as well as fleet and property
management to individual funds. The net revenue of a portion
of internal service funds is reported with governmental activities.
Change in Net Assets - Internal Service Funds 152,180 .
Less amount attributable to Business-Type Activities (38,045) 114,135
Change in Net Assets of Governmental Activities $ 1,819,595
The accompanying notes are an integral part of the basic financial statements.
28
CITY OF TIGARD, OREGON
PROPRIETARY FUNDS
STATEMENT OF NET ASSETS
June 30, 2005
•
•
• Business-type Activities Governmental
. Enterprise Funds Activities
•
• Internal
• Sanitary Storm Service
Sewer Sewer Water Totals Funds
• ASSETS
• Current assets:
Cash and investments $ 8,361,381 A $ 2,846,506 $ 12,568,387 $ 23,776,274 $ 1,305,015
• Accounts receivable 1,063,0546 227,343 1,030,730 2,321,127 3,454
Property taxes receivable - - 6 6 -
• Inventory - - 136,741 136,741 34,818
• Total current assets 9,424,435 3,073,849 13,735,864 26,234,148 1,343,287
• Capital assets:
• Land and construction in process 168,8740. 5,025 2,392,742 2,566,641 -
Other capital assets (net of accumulated depreciation) 13,314,805 D 9,999,104 25,981,413 49,295,322
• Total noncurrent assets 13,483,679 10,004,129 28,374,155 51,861,963 -
• Total assets 22,908,114 13,077,978 42,110,019 78,096,111 1,343,287
•
• LIABILITIES
• Current liabilities:
Accounts payable and accrued liabilities 1,213,246 F 66,076 817,802 2,097,124 179,524
Customer deposits 2,118 143,180 145,298
• Accrued compensated absences 19,932 rL 27,768 64,494 112,194 134,055
• Total current liabilities 1,233,178 95,962 1,025,476 2,354,616 313,579
• NET ASSETS
• Invested in capital assets, net of related debt 13,483,679 10,004,129 28,374,155 51,861,963 -
• Restricted for capital projects 3,550,776 - 211,200 3,761,976 -
Unrestricted 4,640,481 2,977,887 12,499,188 20,117,556 1,029,708
•
• Total net assets $ 21,674,936 $ 12,982,016 $ 41,084,543 75,741,495 $ 1,029,708
• Adjustment to reflect the consolidation of internal service fund activities related to enterprise funds. 257,427
Net assets of business-type activities $ 75,998,922
•
•
•
• The accompanying notes are an integral part of the basic financial statements.
•
•
•
•
•
•
•
•
•
•
•
•
• 29
•
•
•
CITY OF TIGARD, OREGON
PROPRIETARY FUNDS
STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN FUND NET ASSETS
For the fiscal year ended June 30, 2005
Business-type Activities Governmental
Enterprise Funds Activities
Internal
Sanitary Storm Service •
Sewer Sewer Water Totals Funds
OPERATING REVENUES •
Service charges $ 1,294,804 $ 1,156,220 $ 6,092,848 $ 8,543,872 $ 5,346,233
Miscellaneous 72,553" 847 61,692 135,092 4,172
Total operating revenues 1,367,357 1,157,067 6,154,540 8,678,964 5,350,405 •
OPERATING EXPENSES •
Salaries and wages 401,144 329,877 945,592 1,676,613 2,977,530 •
Contracted services 6,748 218,392 130,107 355,247 740,064
General, administrative and other 64,466 133,626 3,812,131 4,010,223 1,510,896
Depreciation 503,508 364,452 2,112,218 2,980,178 -
Services performed by other funds 321,716 328,112 1,200,880 1,850,708 -
Total operating expenses 1,297,582 1,374,459 8,200,928 10,872,969 5,228,490
Operating income (loss) 69,775 (217,392) (2,046,388) (2,194,005) 121,915
NONOPERATING REVENUES
Investment revenue 212,513` 71,335 321,129 604,977 30,265
System development revenue 227,479 309,556 1,400,534 1,937,569 - .
Total nonoperating revenue 439,992 380,891 1,721,663 2,542,546 30,265
Change in net assets 509,767 163,499 (324,725) 348,541 152,180 •
Net assets-beginning 21,165,169 12,818,517 41,409,268 75,392,954 877,528 .
Net assets-ending $ 21,674,936 $ 12,982,016 $ 41,084,543 75,741,495 $ 1,029,708
Adjustment to reflect the consolidation of internal service fund activities related to enterprise funds. 257,427 .
Net assets of business-type activities $ 75,998,922 .
The accompanying notes are an integral part of the basic financial statements. .
30
CITY OF TIGARD, OREGON
PROPRIETARY FUNDS
STATEMENT OF CASH FLOWS
For the fiscal year ended June 30, 2005
Increase (decrease) in cash and cash equivalents
Governmental
Business-type Activities - Enterprise Funds Activities
Sanitary Storm Internal
Sewer Sewer Water Totals Service Funds
CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers $ 1,835,515 $ 1,223,378 $ 5,937,363 $ 8,996,256 $ 5,346,233
Payments to suppliers (71,214) (353,391) (3,259,370) (3,683,975) (2,293,893)
Payments to employees (402,629) (322,339) (946,557) (1,671,525) (2,972,227)
Other receipts 72,553 847 61,689 135,089 4,172
Internal activity-payments to other funds (321,716) (328,112) (1,200,880) (1,850,708)
• Net cash provided by operating activities 1,112,510 220,383 592,245 1,925,137 84,285
CASH FLOWS FROM CAPITAL AND RELATED
FINANCING ACTIVITIES
Capital contributions 227,479 309,556 1,400,534 1,937,569 -
Acquisition of capital assets (2,034,801) (553,840) (2,066,906) (4,655,547)
• Net cash (used) by capital and related
financing activities (1,807,322) (244,284) (666,372) (2,717,978) -
• CASH FLOWS FROM INVESTING ACTIVITIES
• Interest earnings 212,513 71,335 321,129 604,977 30,265
• Net increase (decrease) in cash and cash equivalents (482,299) 47,434 247,002 (187,864) 114,550
•
• Balances-beginning of the year 8,843,680 2,799,072 12,321,385 23,964,137 1,190,465
• Balances-end of the year $ 8,361,381 $ 2,846,506 $ 12,568,387 $ 23,776,274 $ 1,305,015
•
• RECONCILIATION OF OPERATING INCOME (LOSS) TO
• NET CASH PROVIDED BY OPERATING ACTIVITIES
Operating income (loss) $ 69,775 $ (217,392) $ (2,046,388) $ (2,194,006) $ 121,915
• Adjustments to reconcile operating income to net cash
provided by operating activities:
• Cash flows reported in other categories:
• Depreciation expense 503,508 364,452 2,112,218 2,980,178
• Change in assets and liabilities:
Receivables, net 150,543 67,158 53,632 271,333 (3,410)
Prepaid expenses - - 448,664 448,664
• Inventory - (32,872) (32,872) (12,892)
• Accounts payable and accrued liabilities 390,169 (1,373) 267,083 655,879 (41,995)
• Accrued compensated absences (1,485) 7,538 (965) 5,088 20,667
• Deferred revenue - (10) (10) -
Customer deposits - - (209,117) (209,117) -
Net cash provided by operating activities $ 1,112,510 $ 220,383 $ 592,245 $ 1,925,137 $ 84,285
•
Supplemental Schedule of Noncash
• Capital and Related Financing Activities:
• Contributed sewer, storm and water lines $ 172,243 $ 318,424 $ 867,783 $ 1,358,450
•
• The accompanying notes are an integral part of the basic financial statements.
• 31
•
•
•
•
•
•
CITY OF TIGARD, OREGON •
•
STATEMENT OF PLAN NET ASSETS •
PENSION TRUST FUND •
June 30, 2005 •
•
•
•
Cash and investments $ 11,300,416 •
•
•
Net assets held in trust for pension benefits (see note No. 8) $ 11,300,416 •
•
•
•
STATEMENT OF CHANGES IN PLAN NET ASSETS •
PENSION TRUST FUND •
For the fiscal year ended June 30, 2005 •
•
•
•
Additions: •
Contributions $ 972,996 •
Investment income 493,704 •
•
Total additions 1,466,700
Deductions: •
Benefit payments and withdrawals (359,205) •
•
Increase in net assets 1,107,495
i
Net assets held in trust for pension benefits (see note # 8):
Beginning of year 10,192,921 .
End of year $ 11,300,416
The accompanying notes are an integral part of the basic financial statements.
32
Dotes to Basic Financial Statements
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
City of Tigard, Oregon
• Notes to Basic Financial Statements
• 1. Summary of Significant Accounting Policies:
•
0 The City of Tigard, under its Charter of 1961, is governed by an elected mayor and four
• council members who comprise the City Council. The City Council appoints a City Manager,
who acts as the administrative head of government for the City. The City has no component
units.
The financial statements of the City have been prepared in accordance with generally
accepted accounting principles (GAAP). GAAP statements include all relevant Governmental
Accounting Standards Board (GASB) pronouncements. The financial statements have
• incorporated all applicable GASB pronouncements as well as Financial Accounting
Standards Board (FASB) Statements and Interpretations, Accounting Principles Board
Opinions and Accounting Research Bulletins of the Committee on Accounting Procedures
issued on or before November 30, 1989, unless those pronouncements conflict with or
contradicts GASB pronouncements.
The City applies the provisions of all applicable Governmental Accounting Standards Board
(GASB) Statements that define requirements and the reporting model for the annual financial
reports of state and local governments. In accordance with GASB Statement No. 34, as
amended, the City has recorded capital and certain other long-term assets and liabilities in
the statement of net assets, reported all revenues and the cost of providing services under
the accrual basis of accounting in the statement of activities, and uses the direct method of
reporting cash flows.
Basic Financial Statements
Basic financial statements are presented at both the government-wide and fund financial
level. Both levels of statements categorize activities as either governmental or business-
type. Governmental activities, which are normally supported by taxes and intergovernmental
revenues, are reported separately from business-type activities, which rely to a significant
extent on fees and charges for support.
Government-wide financial statements display information about the City as a whole. For the
most part, the effect of interfund activity has been removed from these statements. These
statements focus on the sustainability of the City as an entity and the change in aggregate
financial position resulting from the activities of the fiscal year. These aggregated statements
consist of the Statement of Net Assets and the Statement of Activities.
The Statement of Activities demonstrates the degree to which the direct expenses of a given
function or segment is offset by program revenues. Direct expenses are those that are
clearly identifiable with a specific function or segment. Program revenues include 1) charges
to customers or applicants who purchase, use, or directly benefit from goods, services or
privileges provided by a given function or segment, and 2) grants and contributions that are
restricted to meeting the operational or capital requirements of a particular function or
segment. Taxes and other items not properly included among program revenues are
reported instead as general revenues.
Separate financial statements are provided for governmental funds, proprietary funds, and
the pension trust fund, even though the pension trust fund is excluded from the government-
wide financial statements. Major individual governmental funds and major individual
enterprise funds are reported as separate columns in the fund financial statements.
•
Fund financial statements display information at the individual fund level. Each fund is
• considered to be a separate accounting entity. Funds are classified and summarized as
• governmental, proprietary, or fiduciary.
•
33
•
•
•
•
•
City of Tigard, Oregon •
Notes to Basic Financial Statements •
0
1. Summary of Significant Accounting Policies, Continued: •
Currently, the City has governmental, proprietary, and fiduciary fund types. Non-major funds •
are combined into a single column in the basic financial statements and are detailed in the 41
supplemental information. •
All material interfund activity has been eliminated from the government-wide financial •
statements. These charges are included in direct program expense. •
•
Basis of Presentation •
The financial transactions of the City are recorded in individual funds. Each fund is •
accounted for by providing a separate set of self-balancing accounts that comprises its •
assets, liabilities, fund equity, revenues and expenditures/expenses. •
•
Professional standards set forth minimum criteria (percentage of the assets liabilities, •
revenues or expenditures/expenses or either fund category or the governmental and
enterprise combined) for the determination of major funds. The City electively added funds
as major funds, which either had debt outstanding or specific community focus. Non-major
funds are`combined in a column in the fund financial statements and detailed elsewhere in •
the financial report. •
Measurement Focus and Basis of Accounting •
•
Measurement focus is a term used to describe which transactions are recorded within the •
various financial statements. Basis of accounting refers to when transactions are recorded •
regardless of the measurement focus. •
The government-wide, proprietary fund, and fiduciary fund financial statements are presented •
on a full accrual basis of accounting with an economic resource measurement focus. An •
economic resource focus concentrates on an entity or fund's net assets. All transactions and •
events that affect the total economic resources (net assets) during the period are reported. •
An economic resources measurement focus is inextricably connected with full accrual •
accounting. Under the full accrual basis of accounting, revenues are recorded when earned •
and expenses are recorded at the time liabilities are incurred, regardless of the timing of
related cash inflows and outflows. •
•
Governmental funds financial statements are presented on a modified accrual basis of •
accounting with a current financial resource measurement focus. This measurement focus •
concentrates on the fund's resources available for spending currently or in the near future.
Only transactions and events affecting the fund's current financial resources during the period •
are reported. Similar to the connection between an economic resource measurement focus •
and full accrual accounting, a current financial resource measurement focus is inseparable
from a modified accrual basis of accounting. Under modified accrual accounting, revenues •
are recognized as soon as they are both measurable and available. Revenues are •
considered to be available when they are collectible with then current period or soon enough
thereafter to pay liabilities of the current period. For this purpose, the City considers •
revenues to be available if they are collected within 60 days of the end of the current fiscal
year. Expenditures generally are recorded when a liability is incurred, as under accrual •
accounting.
•
A deferred revenue liability arises in the governmental funds balance sheet when potential •
revenue does not meet both the measurable and available criteria for recognition in the •
current year. This unavailable deferred revenue consists primarily of uncollected property
taxes and assessments not deemed available to finance operation of the current period. In •
the government-wide Statement of Activities, with a full accrual basis of accounting, revenue
must be recognized as soon as it is earned regardless of its availability. •
34
•
•
City of Tigard, Oregon
Notes to Basic Financial Statements
1. Summary of Significant Accounting Policies, Continued:
Thus, the liability created on the governmental fund balance sheet for unavailable deferred
revenue is eliminated. Note that deferred revenues also arise outside the scope of
measurement focus and basis of accounting, such as when the City receives resources
before it has a legal claim to them. For instance, when grant monies are received prior to the
incurrence of qualifying expenditures.
Similar to the way its revenues are recorded, governmental funds only record those
expenditures that affect current financial resources. Principal and interest on general long-
term debt are recorded as fund liabilities only when due, or when amounts have been
accumulated in the debt service fund expenditures only to the extent that they are expected
to be liquidated with expendable financial resources. In the government-wide financial
statements, however, with a full accrual basis of accounting, all expenditures affecting the
economic resource status of the government must be recognized. Thus, the expense and
related accrued liability for long-term portions of debt and compensated absences must be
. included.
Since the governmental fund statements are presented on a different measurement focus
and basis of accounting than the government-wide statements' governmental column, a
reconciliation is necessary to explain the adjustments needed to transform the fund based
• financial statements into the governmental column of the government-wide presentation.
. This reconciliation is part of the basic financial statements.
• Amounts reported as program revenues include 1) charges to customers or applicants for
goods, services, or privileges provided, 2) operating grants and contributions, and 3) capital
grants and contributions. Internally dedicated resources are reported as general revenues
• rather than as program revenues. Likewise, general revenues include all taxes.
• Proprietary funds distinguish operating revenues and expenses from non-operating items.
Operating revenues and expenses generally result from providing services, and producing
and delivering goods in connection with a proprietary fund's principal ongoing operations.
• The principal operating revenues of the City's Sanitary Sewer, Storm Sewer and Water
• Funds are charges to customers for sales and services. The Sanitary Sewer, Storm Sewer
and Water Funds also recognize fees intended to recover the cost of connecting new
customers to the City's utility systems as operating revenues. Operating expenses for
• enterprise funds include the cost of sales and services, administrative expenses and
• overheads, and depreciation on capital assets. All revenues and expenses not meeting this
• definition are reported as non-operating revenues and expenses.
• The fiduciary fund accounts for the resources held by the City in a custodial capacity, on
behalf of the employees of the City.
Assets, Liabilities, and Equity
•
• Receivables and Payables
•
Property taxes are levied and become a lien on July 1. Collection dates are November15,
• February 15, and May 15 following the lien date. Discounts are allowed if the amount due is
• received by November 15 or February 15. Taxes unpaid and outstanding on May 16 are
considered delinquent.
•
•
•
•
•
35
•
•
•
City of Tigard, Oregon
Notes to Basic Financial Statements 0
•
1. Summary of Significant Accounting Policies, Continued:
Inventories •
Inventories of parts, materials and supplies are stated at cost on the first-in, first-out basis in
the proprietary funds. The purchases method is used in accounting for inventory for all funds
on the budgetary basis and for the government-wide presentation, while the consumption
method is used for proprietary funds and business-type activities.
Capital Assets •
Capital assets, which include property, plant, equipment, and infrastructure assets (e.g.
roads, pathways, street lights, etc.) are reported in the applicable governmental or business •
type activities columns in the government-wide financial statements. Capital assets are
charged to expenditures as purchased or constructed in the governmental fund statements,
and capitalized in the proprietary fund statements. Capital assets are recorded at historical
cost or estimated
historical cost. Donated assets are recorded at estimated fair market value as of the date of •
the donation.
Capital assets are defined by the City as assets with an initial, individual cost of $5,000 or
more, and an estimated useful life of greater than five years. Additions or improvements and
other capital outlays that significantly extend the useful life of an asset, or that significantly
increase the capacity of an asset are capitalized. Other costs for repairs and maintenance •
are expensed as incurred.
Depreciation on exhaustible assets is recorded as an allocated expense in the Statement of
Activities with accumulated depreciation reflected in the Statement of Net Assets and is
provided on the straight-line basis over the following estimated useful lives: •
Asset Years
Buildings and improvements 25-40
Improvements other than buildings 10-20
Machinery and equipment 5-10 •
Vehicles 5-10
Utility systems 25-40
Infrastructure 20-40
Accrued Compensated Absences and Sick Pay
It is the City's policy to permit employees to accumulate earned but unused vacation and sick
pay benefits. There is no liability for unpaid accumulated sick leave, since the City does not
have a policy to pay any amounts when employees separate from the City. All vacation pay •
is accrued when incurred in the government-wide and proprietary fund financial statements. •
A liability for these amounts is reported in the governmental funds only when it has matured,
for example, as result of employee resignations or retirements.
Long-term Debt 41
In the government-wide financial statements, and proprietary fund types in the fund financial 49
statements, long-term debt and other long-term obligations are reported as liabilities in the 0
applicable governmental activities, business-type activities, or proprietary fund type in the 49
Statement of Net Assets. Bond premiums and discounts are deferred and amortized over the
life of the bonds. Bonds payable are reported net of the applicable bond premium or .
discount. Bond issuance costs, which are immaterial, are treated as period costs in the year .
of issue and are shown as other financing uses.
36
City of Tigard, Oregon
Notes to Basic Financial Statements
1. Summary of Significant Accounting Policies, Continued:
In the fund financial statements, governmental fund types recognize bond premiums and
discounts, as well as bond issuance costs, during the current period. The face amount of
debt issued is reported as other financing sources while discounts on debt issuances are
reported as other financing uses. Issuance costs, whether or not withheld from the actual
debt proceeds received, are reported as debt service expenditures.
Fund Equity
In the fund financial statements, governmental funds report reservations of fund balance for
amounts that are not available for appropriation or are legally restricted by outside parties for
use for a specific purpose. Designations of fund balance represent tentative management
plans that are subject to change. The City currently has no designations of fund balance.
Use of Estimates
In preparing the City's financial statements, management is required to make estimates and
assumptions that affect the reported amounts of assets and liabilities, the disclosure of
contingent assets and liabilities: at the date of the financial statements, and the reported
amounts of revenues and expenses/expenditures during the reporting period. Actual results
could differ from those estimates.
Investments
Investments included in cash and investments are stated at fair value. Investments in the
pension trust fund are stated at fair value.
For purposes of the statement of cash flows, the City considers the proprietary funds' cash
and investments with initial maturities to the City of three months or less, and the amounts in
the Oregon State Treasurer's Investment Pool, to be cash equivalents.
Budget
A budget is prepared for each fund, except for the Pension Trust Fund, essentially in
accordance with the modified accrual basis of accounting used by governmental funds,
which is in accordance with the legal requirements of Oregon Local Budget Law.
The resolution authorizing appropriations sets the maximum level of expenditures for each
fund. Appropriations may not be legally 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 is required to contain more detailed information for the above-
mentioned expenditure categories. Budget amounts include original approved amounts and
all subsequent appropriation transfers approved by the City Council. After budget approval,
the City Council may approve supplemental budgeted appropriations if an occurrence,
condition, or need exists which had not been ascertained at the time the budget was
adopted. A supplemental budget may require hearings before the public, publications in
newspapers and approval by the City Council. Original and supplemental budgets may be
modified by the use of appropriations transfers between the levels of control. Such transfers
require approval by the City Council. Management may not amend the budget without
Council approval During the fiscal year ended June 30, 2005, thirteen appropriation
transfers were made to the budget.
37
•
City of Tigard, Oregon
Notes to Basic Financial Statements 0
1. Summary of Significant Accounting Policies, Continued:
Budget, Continued:
•
The budgets for each of the funds include capital outlay appropriations. •
Debt service is also budgeted separately. For GAAP presentation, the transfers from •
operating funds for services provided by the internal service funds and the General Fund are 0
considered revenues and expenses/expenditures, as appropriate, but are considered to be
interfund transfers for budgetary purposes. 0
•
2. Fund Types:
The City's financial operations are accounted for in the following funds: •
Governmental Funds
Governmental funds finance most governmental functions of the City. The acquisition, use
and balances of the City's expendable financial resources and the related liabilities,
excluding those accounted for in proprietary funds, are accounted for through governmental •
funds. The measurement focus is .upon determination of changes in current financial •
resources, rather than upon net income determination. The following are the City's major •
governmental funds: •
General Fund - This fund accounts for the City's general operations. It is used to •
account for all transactions not specifically required to be accounted for in the City's 0
other funds. •
Bancroft Debt Service Fund - This fund accounts for :payment of special •
assessment 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.
Facility Fund - This capital projects fund accounts for monies set aside for future •
major City facility improvements.
•
Proprietary Funds
•
Proprietary funds are used to account for the acquisition, operation and maintenance of •
sewer, storm drainage, and water systems in the City. These funds are entirely or •
predominantly self-supported through user charges to customers. The measurement focus
is upon net income determination, rather than upon determination of changes in current •
financial resources. The following are the City's major proprietary funds: 0
Enterprise Funds: •
0
Sanitary Sewer Fund - This fund accounts for the City's sewer utility operations. •
•
Storm Sewer Fund - This fund accounts for the City's storm drainage operations
which consists of the following two budgetary funds: Storm Sewer Fund and Water •
Quality/Quantity Fund.
•
Water Fund - This fund accounts for the City's water operations which consists of •
the following three budgetary funds: Water Fund, Water SDC Fund and Water CIP •
Fund. •
•
•
38
•
•
•
City of Tigard, Oregon
Notes to Basic Financial Statements
2. Fund Types, Continued:
Proprietary Funds, Continued
Additionally, the City reports the following fund type. Neither of these funds are a major
fund:
Internal Service Funds:
Central Services Fund - This fund accounts for the central administrative
functions within the City which are generally allocated to other funds.
Fleet/Property Management Fund - This fund accounts for all activity related to
the Fleet Maintenance and Property Management divisions in the City.
Fiduciary Fund:
Pension Trust Fund - This fund accounts for the City's employee defined contribution
pension plan.
Nonmajor Governmental Funds
Other governmental funds include nonmajor special revenue, debt service, and capital
projects funds of the City. The following lists all other governmental funds by governmental
fund type:
Special Revenue Funds:
Criminal Forfeiture Fund
Gas Tax Fund
Parks Capital Fund
Traffic Impact Fee Fund
Electrical Inspection Fund
Underground Utility Fund
Insurance Fund
Building Fund
Urban Services Traffic Impact Fee Fund
Urban Services Fund
Tree Replacement Fund
Street Maintenance Fee Fund
0
39
•
City of Tigard, Oregon
•
Notes to Basic Financial Statements
2. Fund Types, Continued: •
•
Nonmajor Governmental Funds, Continued:
•
Debt Service Fund:
General Obligation Debt Service
•
Capital Projects Funds:
SW Dartmouth Local Improvement District Fund (Closed during the year •
ended June 30, 2005)
•
Wall Street Local Improvement District Fund
•
3. Cash and Investments:
•
The City maintains a cash and investment pool that is available for use by all funds, except •
the Pension Trust Fund. Each fund type's portion of this pool is displayed on the combined
balance sheet as "cash and investments". The investments of the Pension Trust Fund are •
held separately from those of other City funds. •
Cash and investments are comprised of the following at June 30, 2005: •
Cash on hand $ 6,732
Cash held by Department of Finance, Washington County 38,931
Deposits with financial institutions 1,918,714 •
Investments 47,346,805 •
Total cash and investments $ 49,311,182 •
•
Deposits
Deposits with financial institutions include bank demand deposits and time deposit accounts. •
The total bank balance is $2,470,553 (book balance is $1,918,714). Of these deposits,
$100,000 was covered by federal depository insurance and $2,370,553 was collateralized
with securities held by collateral pool managers. •
•
Investments •
State statutes authorize the City to invest primarily in general obligations of the U.S. •
government and its agencies, certain bonded obligations of Oregon municipalities, bank •
repurchase agreements, bankers' acceptances, certain commercial paper and the State of •
Oregon Local Government Investment Pool. •
•
•
•
•
•
•
•
•
40
•
•
•
City of Tigard, Oregon
Notes to Basic Financial Statements
3. Cash and Investments, Continued:
As of June 30, 2005, the City had the following investments:
Percentage of
Investment Type Fair Value Portfolio
U.S. Government Securities $ 29,647,420 62.62%
Municipal bonds 739,732 1.56%
Corporate bonds 10,729,293 22.66%
State Treasurer's Local Government Investment Pool 6,230,360 13.16%
Total Investments $ 47,346,805 100.00%
Interest rate risk. In accordance with its investment policy, the City manages its exposure
to declines in fair value by limiting the individual maturities in its investment portfolio to
eighteen months or less. The City does have a provision in its investment policy that up to
twenty percent of the portfolio can have maturities from eighteen months to thirty-six
months.
Credit risk. State law limits investments in commercial paper and corporate bonds to the
top two rating issued by nationally recognized statistical rating organizations under ORS
294.035.
Concentration of credit risk. The City's investment policy does not allow for an investment
in any one issuer that is in excess of five percent of the City's total investments (ORS
294.035).
Custodial credit risk - deposits. In the case of deposits, this is the risk that in the event of
bank failure, the City's deposits may not be returned to it. 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 collateral issued by
the pool manager. The City's deposits are fully collateralized in accordance with state law.
Custodial credit risk - investments. For an investment, this is the risk that, in the event of
failure of the counterparty, the City will not be able to recover the value of its investments or
collateral securities that are in the possession of an outside party.
0 The City participates in the Oregon State Treasurer's Local Government Investment Pool
(LGIP), an open-ended; no-load diversified portfolio created under ORS 294.805 to 294.895
. that is not registered with the U.S, Securities and Exchange Commission as an investment
company. The LGIP is administered by the State Treasurer and the Oregon Investment
0 Council with the advice of the Oregon Short-Term Fund Board. These funds must be
0 invested and managed, as a prudent investor would, exercising reasonable care, skill and
• caution. The Oregon Audits Division of the Secretary of State's Office audits the LGIP
annually.
The City's employees participate in a defined contribution pension plan. These funds are
0 held by custodians under pension plans - mutual fund investments and recorded in the
0 City's Pension Trust Fund. The balance at June 30, 2005 is $11,300,416. This balance is
. not included in the government-wide or fund financial statements, but is shown separately.
0
•
0 41
0
0
City of Tigard, Oregon
Notes to Basic Financial Statements
4. Assessment Liens Receivable:
•
Assessment liens receivable represent the uncollected amounts levied against benefited
property for the cost of local improvements. Because the assessments are liens against the
benefited property, an allowance for uncollectible amounts is not deemed necessary.
Substantially all assessments are payable over a period of 10 to 20 years. Assessments
bear interest from 5.2 to 9.4 percent. At June 30, 2005, the portion of the assessments
receivable balance that represents delinquent accounts is approximately $77,676.
•
5. Capital Assets: •
Capital asset activity for governmental activities for the year ended June 30, 2005 was as •
follows: •
•
June, 30 Reclassifications June, 30 •
2004 Additions Adjustments Retirements 2005 0
Non-depreciable
Land $ 5,786,010 $ - $ - $ - $ 5,786,010 0
Construction in progress 16,073,455 174,232 (15,783,668 - 464,019
Total non-depreciable 21,859,465 174,232 (15,783,668) - 6,250,029 !
Depreciable •
Building and building improvements 7,754,416 - 10,971,819 - 18,726,235
Land improvements 4,928,689 37,394 - - 4,966,083 •
Machinery and equipment 1,192,490 434,413 (7,156) (58,207) 1,561,540
Autos and trucks 1,653,341 258,190 7,156 (115,401) 1,803,286
Office equipment 426,137 23,049 - - 449,186
Infrastructure 188,559,755 7,469,438 1,730,520 - 197,759,713
Total depreciable 204,514,828 8,222,484 12,702,339 (173,608) 225,266,043
Accumulated depreciation
Building and building improvements (2,052,380) (234,734) - - (2,287,114)
Land improvements (2,538,306) (804,150) - - (3,342,456)
Machinery and equipment (943,710) (115,622) 5,115 58,207 (996.010)9
Autos and trucks (1,383,025) (134,910) 37,964 115,401 (1,364,570) 40
Office equipment (398,463) (12,633) - - (411,096)$
Infrastructure (37,340,483) (2,488,642) - - (39,829,125)
Total accumulated depreciation (44,656,367) (3,790,691) 43,079 173,608 (48,230,371) •
Governmental activities
capital assets, net $181,717,926 $ 4,606,025 $ (3,038,250) $ - $ 183,285,701
•
"Adjustments column include reclassifications and construction in progress in pervious years that were ~
completed within the current fiscal year.
Depreciation expense for governmental activities is charged to functions as follows:
General government $ 1,038,885 •
Community services 126,085 •
Public works 2,603,207
Developmental services 12,998
Policy and administration 9,516 •
Total depreciation for governmental activities $ 3,790,691
•
•
•
42
i
•
•
City of Tigard, Oregon
0 1 Notes to Basic Financial Statements
5. Capital Assets, Continued:
Capital assets activity for business-type activities for the year ended June 30, 2005, was as
follows:
• Balances Reclassifications Balances
0 June 30, 2004 Additions Adjustments Retirements June 30, 2005
Non-depreciable
Land $ 997,734 $ - $ - $ - 997,734
Construction in progress 891,660 957,156 (279,909) - 1,568,907
Total - non-depreciable 1,889,394 957,156 (279,909) - 2,566,641
Depreciable
Land imrpovements 360,669 - - - 360,669
Buildings and building improvements 1,072,019 - - - 1,072,019
Sewer system 16,564,763 1,848,495 - - 18,413,258
Storm drainage system 13,146,974 522,995 - - 13,669,969
Water system 40,727,682 1,192,831 (937) - 41,919,576
Equipment 841,609 15,047 - (10,600) 846,056
Auto and trucks 1,228,129 80,523 - (78,223) 1,230,429 .
Total depreciable 73,941,845 3,659,891 (937) (88,823) 77,511,976
Accumulated depreciation
Land imrpovements (318,341) (36,832) (2,483) - (357,656)
Buildings and building improvements (407,983) (38,704) (224) - (446,911)
Sewer system (4,801,921) (402,057) - - (5,203,978)
Storm drainage system (3,388,970) (328,551) - (3,717,521)
Water system (15,357,350) (1,802,107) 335,482 - (16,823,995)
Equipment (625,455) (186,579) - 10,600 (801,434)
Auto and trucks (744,625) (185,348) (13,409) 78,223 (865,159)
Total accumulated depreciation (25,644,645) (2,980,178) 319,346 88,823 (28,216,654)
Business-type activities
capital assets, net $ 50,186,594 $ 1,636,869 $ 38,500 $ - $ 51,861,963
..Adjustments column include reclassifications from previous years recording of capital assets.
Depreciation expense for business-type activities is charged to activities as follows:
. Sanitary sewer $ 503,508
. Storm sewer 364,452
e Water 2,112,218
r Total depreciation for business-type activities $ 2,980,178
0
•
0
0
43
•
•
0
City of Tigard, Oregon
Notes to Basic Financial Statements
6. Long-term Debt and Other Debt:
General Obligation Bonds payable
Bond transactions for the year ended June 30, 2005, and future maturities of bond principal '
and interest, are as follows:
General Obligation bond issues - Interest rates from 3.0% to 4.75%
Fiscal Year Outstanding Paid Outstanding Future 0
Due June 30, 2004 During Year June 30, 2005 Interest
2005 $ 475,908 $ (475,908) $ - $ -
2006 488,335 - 488,335 484,228 0
2007 505,836 - 505,836 469,578 0
2008 518,411 - 518,411 454,403 0
2009 536,063 - 536,063 438,850 41
2010 553,795 - 553,795 422,768
2011 571,890 - 571,890 404,493 '
2012 590,281 - 590,281 384,477 0
2013 613,891 - 613,891 363,227 •
2014 632,787 - 632,787 340,206
2015 656,991 - 656,991 315,527 0
2016-2022 6,392,260 - 6,392,260 1,399,481
$ 12,536,448 $ (475,908) $ 12,060,540 $5,477,238 0
i
Bancroft Improvement Bonds: 0
Bancroft improvement bond issues - Interest rates from 3.9% to 7.25%; payable first from 0
assessments to benefited properties and second, from the general credit of the City. 0
0
Paid and 0
Fiscal Year Outstanding Called Outstanding Future •
Due June 30, 2004 During Year June 30, 2005 Interest .
2005 $ 343,569 $ (343,569) $ - $ - 0
2006 366,523 - 366,523 138,937 0
2007 385,260 - 385,260 166,207 0
2008 227,378 - 227,378 138,127 0
2009 234,533 - 234,533 127,026 0
2010 247,815 - 247,815 115,627 r
2011 275,004 - 275,004 103,666 '
2012-2022 1,622,989 (255,235) 1,367,754 470,044 0
$ 3,703,071 $ (598,804) $ 3,104,267 $ 1,259,634 0
0
0
0
44
0
•
41
City of Tigard, Oregon
Notes to Basic Financial Statements
6. Long-term Debt and Other Debt, Continued:
Notes Payable:
Note payable issued January 23, 2003 - Interest rates from 3.00% to 4.35%; payable from
Parks SDC Fund_
Fiscal
Year Outstanding Paid Outstanding Future
Due June 30, 2004 During Year June 30, 2005 Interest
2005 $ 210,563 $ (210,563) $ - $ -
2006 216,630 - 216,630 66,246
2007 222,820 - 222,820 59,205
2008 229,201 - 229,201 51,072
2009 235,690 - 235,690 42,363
2010 247,318 - 247,318 32,935
2011 259,053 - 259,053 22,795
2012 270,925 - 270,925 11,785
Totals $ 1,892,200 $ (210,563) $ 1,681,637 $ 286,401
Other debt recorded in the Bancroft Bond Debt Service Fund (and payable from that fund)
and the changes thereto during the year ended June 30, 2005, are as follows:
Other Debt:
Other long-term obligations for accrued compensated absences and changes thereto during
the year ended June 30, 2005 are as follows:
Balance Balance Due
June 30, June 30, within
2004 Additions Retirements 2005 one year
• Governmental activities:
Compensated absences $ 616,320 $685,335 $ (616,320) $ 685,335 $ 685,335
• Business -type activities:
Compensated absences $ 107,106 $112,194 $ (107,106) $ 112,194 $ 112,194
•
Compensated absences for governmental activities are generally liquidated by the fund
expensing the respective payroll.
•
•
•
•
•
•
•
•
45
•
•
•
City of Tigard, Oregon
~
Notes to Basic Financial Statements •
7. Transfers: •
The City utilizes three types of interfund transfers. The first type is transfers received for
services provided. These transfers are based on a cost allocation plan and are reflected as
expenses of the appropriate activity in the government - wide statements. The second type •
of transfer is a transfer of resources. Typically, this transfer is made to close out funds that
are no longer needed for financial reporting. The third type of transfer is a transfer for direct •
costs that can be specifically identified and billed directly to the benefiting fund. These types
of transfers are reflected as expenses of the appropriate activity in the government - wide
statements. •
8. Retirement Plans: •
The City contributes to retirement plans on behalf of all eligible employees. At June 30, •
2005, the following employee groups were covered by the following retirement plans: 0
Group Retirement Plan •
Management/Professional Staff (Nonunion) International City Managers Association
Retirement Corp. (ICMARC) Money •
Purchase Plan
Oregon Public Employees Union Employees ICMARC Money Purchase Plan
•
Tigard Police Officers State of Oregon Public Employees •
Retirement System (PERS)
Oregon Public Employees Retirement Systems (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, Section 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.
•
Funding Policy
The City's annual required contribution rate, as of the most recent actuarial valuation of July
1, 2003, is 8.61 % of covered payroll for Tier I & II employees and 11.65% of covered payroll
for Tier III employees. At June 30, 2005, the City had five employees in the Tier III category.
The City is required by State Statute to contribute its current employer rate of 8.61% and
11.65% of covered wages, and has contractually committed to pay the employee
contributions of 6%. •
The City's annual required contribution rate to PERS increased, as of July 1, 2005, to
13.21 % of covered payroll for Tier I / Tier II employees. •
•
46
•
City of Tigard, Oregon
Notes to Basic Financial Statements
8. Retirement Plans, Continued:
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, 2005, 2004 and 2003, the City's annual pension cost was approximately
$571,920, $505,230 and $435,000, respectively.
The City's pension liability and the annual required contribution rate were determined as part
of the December 31, 2003 actuarial valuation using the entry age actuarial cost method.
The unfunded actuarial accrued liability is amortized as a level percentage of covered
payroll over a 30-year open period. Currently, the City is in an overfunded position and has
been for several years. The actuarial assumptions include a rate of return on investment of
present and future assets of 8% per year, projected salary increase of 3.5% per year, and
cost of living adjustments of 2% per year for post-retirement benefits.
The following table presents a schedule of funding progress for the City's multiple-employer
pension plan:
Overfunded
Overfunded 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, 1995 $ 7,946,463 $ 7,616,462 $ 330,001 104% $ 2,353,479 14%
December 31, 1997 9,664,661 7,952,478 1,712,183 122% 2,360,045 73%
December 31, 1999 17,817,986 14,743,905 3,074,081 121% 2,838,373 108%
December 31, 2001 19,351,861 14,361,706 4,990,154 135% 3,072,422 162%
December 31, 2003 21,361,627 20,355,961 1,005,666 105% 3,616,568 28%
ICMARC Plans
The City contributes to defined contribution, single employer retirement plans at a specified
percent of gross salary depending on the employment group, for all employees who are not
covered under the Police Pension Plan. Employees do not make contributions to these
plans. The City is required to make contributions to these plans under authority of City
Council resolution and the plan documents.
Employees become eligible to participate in the plans after six months of service and vest
immediately. Employees may withdraw funds upon retirement or termination of
employment.
Contributions to the plans are made to a fiduciary. Since the plans are administered by the
City, the assets, equity and operations of the plans are accounted for in the General
Employees Pension Plan Fund, a pension trust fund. The Plans invest in various money
market and equity mutual funds.
Required and actual contributions to the plan were $1,022,141 for the year ended June 30,
2005. Covered payroll was $9,734,681, for the year ended June 30, 2005. Contributions
as a percentage of payroll range from 10 to 11 percent for all eligible employees
participating in the plans.
47
•
City of Tigard, Oregon
Notes to Basic Financial Statements •
•
8. Retirement Plans, Continued:
•
Deferred Compensation Plans •
The City offers certain employees deferred compensation plans created in accordance with
Internal Revenue Code Section 457. The plans permit employees to defer a portion of their
salary until future years. Contributions for the plans are made to fiduciaries who hold the
funds in trust for the plans' participants. The Deferred Compensation Plans are not •
considered City funds and are excluded from the City's financial statements.
9. Transactions with Clean Water Services of Washington County:
•
The City collects charges for treatment of City sewage on behalf of the Clean Water
Services of Washington County and remits all collections to Clean Water Services except for •
18.57 percent of sewer service charges collected and 20 percent of connection charges
collected, in accordance with an agreement between the City and Clean Water Services.
Payments of $6,615,087 were made to Clean Water Services during fiscal year 2005 under •
this agreement.
•
The City has a similar agreement with the Regional Surface Water Management Agency,
which is an affiliate of Clean Water Services, for storm water systems. Payments made to
the Agency during fiscal year 2005 under the agreement were $374,136. •
The net amount retained by the City is reported as revenue in the Enterprise Funds in the •
Proprietary Funds Statement of Revenues, Expenses and Changes in Fund Net Assets.
Revenues are reported net because the City acts in a fiduciary capacity on behalf of Clean
Water Services.
10. Constitutional Property Tax Limitations:
In November 1990, the Oregon voters approved a State constitutional limit on property taxes
for schools and nonschool government operations. Under the provisions of the limitation, •
tax revenues are separated into those for the public school system and those for local •
government operations other than the public school system. The limitation specifies $10.00
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 lease 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. •
•
•
•
•
•
•
48
•
•
•
City of Tigard, Oregon
Notes to Basic Financial Statements
10. Constitutional Property Tax Limitations, Continued:
During May 1997, Oregon voters approved Measure 50 which limits taxes on each property
by reducing the 1997-98 assessed value of each property to 90% of its 1995-96 value.
Measure 50 also limits future growth of the taxable value of each property 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. Tigard's
taxing authority is limited to its permanent rate of $2.51 per thousand dollars of assessed
value.
At the beginning of each fiscal year, the Washington County Assessor determines assessed
values of properties in the City. Washington County is responsible for the levying and
collecting the property taxes as well as distributing the tax revenue to all taxing jurisdictions
in the County.
11. Risk Management:
The City is exposed to various risks of loss related to torts; theft of, damage to, and
destruction of assets; errors and omissions; injuries to employees and others; and natural
disasters. The City purchases commercial insurance to•deal with substantially all these risks
with nominal deductibles. Settled claims resulting from these risks have not exceeded
commercial insurance coverage in any of the past three fiscal years.
12. Subsequent event:
On November 22, 2005, the City Council adopted the City Center Urban Renewal Plan and
directed that the Plan be referred to the voters. A ballot title resolution will be considered for
adoption at a future council meeting with the intention of going to a vote of the citizens for
establishing an Urban Renewal District on the May 2006 election.
49
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CITY OF TIGARD, OREGON
GENERAL FUND
STATEMENT OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
for the fiscal year ended June 30, 2005
Variance
Budgeted Amounts Actual Over
REVENUES: Original Final Amounts (Under)
Taxes $ 9,398,805 $ 9,398,805 $ 9,625,718 $ 226,913
Franchise fees 2,693,727 2,693,727 2,670,050 (23,677)
Licenses and permits 297,177 297,177 285,068 (12,109)
Intergovernmental revenues 2,484,669 2,673,094 2,693,570 20,476
Charges for services 509,592 509,592 770,663 261,071
Fines and forfeitures 592,840 592,840 646,406 53,566
Interest earnings 172,500 172,500 240,602 68,102
Miscellaneous 68,200 68,200 49,889 (18,311)
Total revenues 16,217,510 16,405,935 16,981,966 576,032
EXPENDITURES:
Community services 10,269,845 11,130,171 10,750,344 379,827
Public works 2,407,459 2,446,197 2,172,875 273,322
Development services 2,499,824 2,554,196 2,300,202 253,994
Policy and administration 341,135 344,706 327,758 16,948
Contingency 950,000 181,418 - 181,418
Total expenditures 16,468,263 16,656,688 15,551,179 1,105,509
Change in fund balance
before other financing sources (uses) (250,753) (250,753) 1,430,787 1,681,541
Other financing sources (uses):
Operating transfer in 2,145,314 2,145,314 1,942,332 (202,982)
Operating transfer out (3,758,055) (3,758,055) (3,600,206) 157,849
Total other financing sources (uses) (1,612,741) (1,612,741) (1,657,874) (45,133)
Change in fund balance (1,863,494) (1,863,494) (227,087) 1,636,408
UNDESIGNATED, UNRESERVED -
FUND BALANCE BEGINNING OF YEAR 7,751,279 7,751,279 8,412,831 661,552
UNDESIGNATED, UNRESERVED -
FUND BALANCE END OF YEAR $ 5,887,785 $ 5,887,785 $ 8,185,744 $ 2,297,960
50
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Other Supplementary information
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CITY OF TIGARD, OREGON
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
June 30, 2005
General
Obligation
Special Capital Bond Debt
Revenue Projects Service
Funds Funds Fund Total
ASSETS:
Cash and investments $ 12,469,996 $ 2,084 $ 401,213 $ 12,873,293
Accounts receivable 494,386 - - 494,386
Taxes receivable - - 23,925 23,925
Assessment liens receivable 102,737 - - 102,737
Total assets $ 13,067,119 $ 2,084 $ 425,138 $ 13,494,341
LIABILITIES:
Accounts payable $ 696,115 $ 2,084 $ - $ 698,199
Customer deposits 765,856 - - 765,856
Deferred revenues - Property taxes - - 16,887 16,887
Deferred revenues - Assessment Liens 372,519 - - 372,519
Total Liabilities 1,834,490 2,084 16,887 1,853,461
FUND BALANCES -
Reserved - for capital projects 1,979,162 - - 1,979,162
Reserved - for debt service - - 408,251 408,251
Unreserved 9,253,467 - - 9,253,467
Total fund balances 11,232,629 - 408,251 11,640,880
Total liabilities and fund balances $ 13,067,119 $ 2,084 $ 425,138 $ 13,494,341
51
•
CITY OF TIGARD, OREGON •
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
For the fiscal year ended June 30, 2005 •
•
•
•
General
Obligation •
Special Capital Bond Debt
Revenue Projects Service •
Funds Funds Fund Total
REVENUES:
•
Property taxes $ - $ - $ 708,577 $ 708,577 •
Licenses and permits 4,157,154 - - 4,157,154
Intergovernmental revenues 2,441,421 - - 2,441,421 •
Charges for services 972,830 - - 972,830
Interest earnings 278,476 - 11,766 290,242 •
Miscellaneous revenues 171,500 - - 171,500 •
Total revenues 8,021,381 - 720,343 8,741,724
•
EXPENDITURES:
Development services 2,016,314 - - 2,016,314 •
Policy and administration 690,006 - - 690,006
Debt Service 283,126 - 974,413 1,257,539 •
Capital projects 1,657,635 16,768 - 1,674,403
Total expenditures 4,647,081 16,768 974,413 5,638,262 •
•
Changes in fund balance
before other financing sources (uses) 3,374,300 (16,768) (254,070) 3,103,462 •
Other financing sources (uses):
Operating transfer in 1,271,893 16,768 - 1,288,661 •
Operating transfer out (2,008,639) (8,971) - (2,017,610) •
Total other financing sources (uses) (736,746) 7,797 - (728,949) •
Changes in fund balance 2,637,554 (8,971) (254,070) 2,374,513 •
•
FUND BALANCE - beginning of year 8,595,075 8,971 662,321 9,266,367 •
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FUND BALANCE - end of year $ 11,232,629 $ - $ 408,251 $ 11,640,880 •
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Special Revenue Funds
None of the City's special revenue funds meet the criteria for major fund reporting.
Therefore, the combining statements for all individual special revenue funds are reported
here. The combined totals are reported in the combining nonmajor governmental fund
statements.
Schedules of revenues, expenditures, and changes in fund balance - budget and actual are
also presented here for each individual special revenue fund.
Nonmalor Special Revenue Funds:
Criminal Forfeiture Fund - This fund accounts for funds and property seized from criminals
in connection with crimes committed prior to passage of Ballot Measure 3
Gas Tax Fund - This fund accounts for revenues received from state and county gasoline
taxes which are to be expended as specified in the Constitution of the State of Oregon,
Article IX, Section 3.
Parks Capital Fund - This fund accounts for system development charges for major
improvements to recreational facilities within the City.
Traffic Impact Fee Fund - This fund accounts for traffic impact fees charged for new
development. Funds will be used for highway and transit capital improvements approved in
the City's Capital Improvement Plan (CIP).
Electrical Inspection Fund - This fund accounts for fees charged for permits, plan check
fees and inspection of electrical improvements.
Underground Utility Fund - This fund accounts for monies received from developers for
future underground utility improvements.
Insurance Fund - Records refunds of prior years workers' compensation premiums and
other insurance related revenues.
Building Fund - This fund accounts for fees charged for building inspection and plan review
activities.
Urban Services Traffic Impact Fee Fund - This fund accounts for traffic impact fees
collected on roads within the City's urban services area. Funds will be used for highway and
transit capital improvements approved in the City's Capital Improvement Plan (CIP).
Urban Services Fund - This fund accounts for all revenues and expenditures related to
services provided to the urban service areas of Washington County. The City of Tigard
provides services to this area pursuant to an intergovernmental agreement with Washington
County.
Street Maintenance Fee Fund - This fund was established in FY 2003-04 to track the
revenues and expenditures for the Street Maintenance Fee. This fee provides revenue
designated for use in the maintenance of existing streets.
•
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0
CITY OF TIGARD, OREGON
NONMAJOR SPECIAL REVENUE FUNDS
COMBINING BALANCE SHEET
JUNE 30, 2005
Traffic Street
Criminal Gas Parks Traffic Electrical Underground Impact Fee Urban Maintenance
Forfeiture Tax Capital Impact Fee Inspection Utility Insurance Building Urban Services Services Fee
Fund Fund Fund Fund Fund Fund Fund Fund Fund Fund Fund Total
ASSETS:
Cash and investments $ 63,031 $ 2,369,079 $ 2,808,503 $ 2,277,953 $ 273,528 $ 361,155 $ 596,575 $ 1,843,349 $ 664,673 $ 624,661 $ 587,489 $ 12,469,996
Accounts receivable - 295,277 5,038 194,071 494,386
Assessment liens receivable 102,737 - 102,737
Total assets $ 63,031 $ 2,369,079 $ 3,103,780 $ 2,380,690 $ 273,528 $ 361,155 $ 596,575 $ 1,843,349 $ 664,673 $ 629,699 $ 781,560 $ 13,067,119
LIABILITIES AND FUND BALANCES:
LIABILITIES:
Accounts payable $ $ 70,491 $ 105,687 $ 15,919 $ - $ 125,155 $ $ 32,633 $ 150 $ 1,716 $ 344,364 $ 696,115
Customer deposits 319,426 202,419 7,484 549 - 235,978 765,856
Deferred revenues 295,277 77,242 - 372,519
Total liabilities 389,917 603,383 93,161 7,484 125,155 33,182 150 237,694 344,364 1,834,490
CJl
W FUND BALANCE UNRESERVED 63,031 1,979,162 2,500,397 2,287,529 266,044 236,000 596,575 1,810,167 664,523 392,005 437,196 11,232,629
Total liabilities and fund
balances $ 63,031 $ 2,369,079 $ 3,103,780 $ 2,380,690 $ 273,528 $ 361,155 $ 596,575 $ 1,843,349 $ 664,673 $ 629,699 $ 781,560 $ 13,067,119
CITY OF TIGARD, OREGON
NONMAJOR SPECIAL REVENUE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
For the fiscal year ended June 30, 2005
Traffic Street
Criminal Gas Parks Traffic Electrical Underground Workers' Impact Fee Urban Maintenance
Forfeiture Tax Capital Impact Fee Inspection Utility Compensation Building Urban Services Services Fee
Fund Fund Fund Fund Fund Fund Fund Fund Fund Fund Fund Total
REVENUES:
Licenses and permits $ $ $ 704,520 $ 1,161,363 $ 259,912 $ $ $ 1,590,725 $ 42,880 $ 397,754 $ $ 4,157,154
Intergovernmental revenues 2,440,476 943 - - - - - - - - 2,441,421
Charges for services 21,843 35,463 12,460 525 902,539 972,830
Interest earnings 861 47,531 56,979 53,225 6,357 9,474 14,905 39,582 18,469 23,165 7,929 278,476
Miscellaneous revenues 41,904 1,592 31,556 5,136 6,671 14,858 69,781 171,500
Total revenues 42,765 2,511,443 793,998 1,219,725 266,269 44,937 21,576 1,657,625 61,349 421,444 980,250 8,021,381
EXPENDITURES:
Development services 400,416 - 1,615,898 - - 2,016,314
Policy and administration - 186,584 - 16,922 38,768 - - 216,452 7,288 140,547 83,445 690,006
Debt Service 283,126 - 283,126
Capital projects 285,397 89,823 424,296 176,451 - 116,558 565,110 1,657,635
Total expenditures 872,397 372,948 441,218 38,768 176,451 1,832,350 123,846 140,547 648,555 4,647,081
CJl
A Changes in fund balance
before other financing sources (uses) 42,765 1,639,046 421,050 778,507 227,501 (131,514) 21,576 (174,725) (62,497) 280,897 331,695 3,374,300
Other financing sources (uses):
Transfer in - 568,000 - 703,893 1,271,893
Transfer out (3,201) (972,568) (90,631) (184,113) (69,647) (31,815) (638,029) (18,635) (2,008,639)
Total other financing sources (uses) (3,201) (972,568) 477,369 (184,113) 634,246 (31,815) (638,029) (18,635) (736,746)
Changes in fund balance 39,564 666,478 421,050 1,255.875 43,388 (131,514) 21,576 459,521 (94,312) (357,132) 313,060 2,637,554
FUND BALANCE - beginning of year 23,467 1,312,684 2,079,347 1,031,654 222,656 367,514 574,999 1,350,646 758,835 749,137 124,136 8,595,075
FUND BALANCE - end of year $ 63,031 $ 1,979,162 $ 2,500,397 $ 2,287,529 $ 266,044 $ 236,000 $ 596,575 $ 1,810,167 $ 664,523 $ 392,005 $ 437,196 $ 11,232,629
••••••••10 0 0••00 0 ••••00•••00000
CITY OF TIGARD, OREGON
CRIMINAL FORFEITURE FUND
SCHEDULE OF REVENUES AND EXPENDITURES- BUDGET AND ACTUAL
For the fiscal year ended June 30, 2005
Variance
Budgeted Amounts Actual Over
Original Final Amounts (Under)
REVENUES:
Interest earnings $ 138 $ 138 $ 861 $ 723
Miscellaneous 50,000 50,000 41,904 (8,096)
Total revenues 50,138 50,138 42,765 (7,373)
Change in fund balance
before other financing (uses) 50,138 50,138 42,765 (7,373)
Other financing (uses):
Transfer out (50,000) (50,000) (3,201) 46,799
Change in fund balance 138 138 39,564 39,426
UNDESIGNATED, UNRESERVED
FUND BALANCE, BEGINNING OF YEAR 6,875 6,875 23,467 16,592
UNDESIGNATED, UNRESERVED
FUND BALANCE, END OF YEAR $ 7,013 $ 7,013 $ 63,031 $ 56,018
55
CITY OF TIGARD, OREGON
•
GAS TAX FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL •
For the fiscal year ended June 30, 2005
•
•
•
Variance
Budgeted Amounts Actual Over
Original Final Amounts (Under)
REVENUES:
Federal grants $ 173,961 $ 173,961 $ 71,958 $ (102,003)
State gas tax 1,770,000 1,770,000 2,179,647 409,647
County gas tax 165,000 165,000 188,871 23,871
Street lighting fees 4,423 4,423 21,843 17,420
Interest earnings 15,500 15,500 47,531 32,031
Miscellaneous - - 1,592 1,592 •
Total revenues 2,128,884 2,128,884 2,511,443 382,559
EXPENDITURES:
Development services 420,000 420,000 400,416 19,584 •
Contingency 250,000 190,000 - 190,000 •
Capital projects 761,300 821,300 285,397 535,903 •
Total expenditures 1,431,300 1,431,300 685,813 745,487
Change in fund balance •
before other financing (uses) 697,584 697,584 1,825,630 1,128,046
Other financing (uses): •
Transfer out (1,301,814) (1,301,814) (1,159,152) 142,662 •
Change in fund balance (604,230) (604,230) 666,478 1,270,708
UNDESIGNATED, UNRESERVED
FUND BALANCE, BEGINNING OF YEAR 837,478 837,478 1,312,684 475,206
UNDESIGNATED, UNRESERVED
FUND BALANCE, END OF YEAR $ 233,248 $ 233,248 $ 1,979,162 $ 1,745,914
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CITY OF TIGARD, OREGON
PARKS CAPITAL FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2005
Variance
Budgeted Amounts Actual Over
Original Final Amounts (Under)
REVENUES:
System development charges $ 500,080 $ 500,080 $ 704,520 $ 204,440
Intergovernmental revenues 146,093 146,093 943 (145,150)
Tree replacement revenue 10,000 10,000 1,700 (8,301)
Interest earnings 42,600 42,600 56,979 14,379
Miscellaneous 405,000 405,000 29,857 (375,143)
Total revenues 1,103,773 1,103,773 793,998 (309,775)
EXPENDITURES:
Debt Service 283,126 283,126 283,126 -
Contingency 167,571 167,571 - 167,571
Capital projects 844,016 844,016 89,823 754,194
Total expenditures 1,294,713 1,294,713 372,948 921,765
Change in fund balance
before other financing sources (190,940) (190,940) 421,050 611,989
Other financing sources:
Transfer in 25,000 25,000 - (25,000)
Change in fund balance (165,940) (165,940) 421,050 586,989
UNDESIGNATED, UNRESERVED
FUND BALANCE, BEGINNING OF YEAR 2,134,000 2,134,000 2,079,347 (54,653)
UNDESIGNATED, UNRESERVED
FUND BALANCE, END OF YEAR $ 1,968,060 $ 1,968,060 $ 2,500,397 $ 532,336
57
CITY OF TIGARD, OREGON
TRAFFIC IMPACT FEE FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2005
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Variance •
Budgeted Amounts Actual Over
Original Final Amounts (Under)
REVENUES: •
Federal grants $ 660,000 $ 660,000 $ - $ (660,000)
System development charges 731,328 731,328 1,161,363 430,035
Interest earnings 26,705 26,705 53,225 26,520
Miscellaneous - - 5,136 5,136 •
Total revenues 1,418,033 1,418,033 1,219,725 (198,307)
EXPENDITURES:
•
Contingency 315,000 315,000 - 315,000
Capital projects 2,500,000 2,500,000 424,296 2,075,704
Total expenditures 2,815,000 2,815,000 424,296 2,390,704
Change in fund balance •
before other financing sources (uses) (1,396,967) (1,396,967) 795,429 2,192,397 •
•
Other financing sources (uses):
Transfer in 568,000 568,000 568,000 - •
Transfer out (150,752) (150,752) (107,553) 43,199 •
•
Total other financing sources (uses) 417,248 417,248 460,447 43,199
Change in fund balance (979,719) (979,719) 1,255,875 2,235,595
UNDESIGNATED, UNRESERVED
FUND BALANCE, BEGINNING OF YEAR 981,273 981,273 1,031,654 50,381 •
UNDESIGNATED, UNRESERVED
FUND BALANCE, END OF YEAR $ 1,554 $ 1,554 $2,287,529 $ 2,285,976
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CITY OF TIGARD, OREGON
ELECTRICAL INSPECTION FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2005
Variance
Budgeted Amounts Actual Over
Original Final Amounts (Under)
REVENUES:
Electrical permit fees $ 232,290 $ 232,290 $ 250,901 $ 18,611
Electrical plan check fees 81102 8,102 9,012 910
Interest earnings 4,500 4,500 6,357 1,857
Total revenues 244,892 244,892 266,269 21,377
EXPENDITURES:
Contingency 38,000 38,000 - 38,000
Change in fund balance
before other financing (uses) 206,892 206,892 266,269 59,377
Other financing (uses):
Transfer out (234,639) (234,639) (222,881) 11,758
Change in fund balance (27,747) (27,747) 43,388 71,135
UNDESIGNATED, UNRESERVED
FUND BALANCE, BEGINNING OF YEAR 226,000 226,000 222,656 (3,344)
UNDESIGNATED, UNRESERVED
FUND BALANCE, END OF YEAR $ 198,253 $ 198,253 $ 266,044 $ 67,791
59
•
CITY OF TIGARD, OREGON
UNDERGROUND UTILITY FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL •
For the fiscal year ended June 30, 2005
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Variance
Budgeted Amounts Actual Over •
Original Final Amounts (Under)
REVENUES:
•
Charges for services $ 32,400 $ 32,400 $ 35,463 $ 3,063 •
Interest earnings 6,260 6,260 9,474 3,214
•
Total revenues 38,660 38,660 44,937 6,277
EXPENDITURES:
•
Contingency 37,500 37,500 - 37,500 •
Capital projects 250,000 250,000 176,451 73,549 •
•
Total expenditures 287,500 287,500 176,451 111,049
Change in fund balance (248,840) (248,840) (131,514) 117,326
•
UNDESIGNATED, UNRESERVED
FUND BALANCE, BEGINNING OF YEAR 303,000 303,000 367,514 64,514 •
•
UNDESIGNATED, UNRESERVED 0
FUND BALANCE, END OF YEAR $ 54,160 $ 54,160 $ 236,000 $ 181,840
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CITY OF TIGARD, OREGON
INSURANCEFUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2005
Variance
Budgeted Amounts Actual Over
Original Final Amounts (Under)
REVENUES:
Interest earnings $ 11,600 $ 11,600 $ 14,905 $ 3,305
Miscellaneous 30,000 30,000 6,671 (23,329)
Total revenues - change in fund balance 41,600 41,600 21,576 (20,023)
UNDESIGNATED, UNRESERVED
FUND BALANCE, BEGINNING OF YEAR 581,100 581,100 574,999 (6,101)
UNDESIGNATED, UNRESERVED
FUND BALANCE, END OF YEAR $ 622,700 $ 622,700 $ 596,575 $ (26,124)
61
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CITY OF TIGARD, OREGON
BUILDING FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2005
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•
•
Variance
Budgeted Amounts Actual Over
Original
Final Amounts (Under)
REVENUES:
> •
•
Licenses and permits $1,274,808 $1,274,808 $1,590,725 $ 315,917 •
Charges for services 9,568 9,568 12,460 2,892
Interest earnings 21,800 21,800 39,582 17,782
Miscellaneous - - 14,858 14,858
Total revenues 1,306,176 1,306,176 1,657,625 351,449 •
EXPENDITURES:
Development services 1,671,735 1,695,230 1,615,898 79,332 •
Contingency 272,500 249,005 - 249,005 •
Total expenditures 1,944,235 1,944,235 1,615,898 328,337 •
Change in fund balance •
before other financing sources (uses) (638,059) (638,059) 41,727 679,786
Other financing sources (uses): •
Transfer in 746,075 746,075 703,893 (42,182) •
Transfer out (291,224) (291,224) (286,099) 5,125
Total other financing sources (uses) 454,851 454,851 417,794 (37,057) •
Change in fund balance (183,208) (183,208) 459,521 642,729 •
UNDESIGNATED, UNRESERVED
FUND BALANCE, BEGINNING OF YEAR 1,090,000 1,090,000 1,350,646 260,646
UNDESIGNATED, UNRESERVED •
FUND BALANCE, END OF YEAR $ 906,792 $ 906,792 $1,810,167 $ 903,375
o
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CITY OF TIGARD, OREGON
TRAFFIC IMPACT FEE URBAN SERVICES FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2005
Variance
Budgeted Amounts Actual Over
Original Final Amounts (Under)
REVENUES:
System development charges $ 254,100 $ 254,100 $ 42,880 $ (211,220)
Interest earnings 10,300 10,300 18,469 8,169
Miscellaneous 50,000 50,000 - (50,000)
Total revenues 314,400 314,400 61,349 (253,051)
EXPENDITURES:
Contingency 75,500 75,500 - 75,500
Capital projects 460,000 460,000 116,558 343,442
Total expenditures 535,500 535,500 116,558 418,942
Change in fund balance
before other financing (uses) (221,100) (221,100) (55,209) 165,891
Other financing (uses):
Transfer out (43,396) (43,396) (39,103) 4,293
Change in fund balance (264,496) (264,496) (94,312) 170,184
UNDESIGNATED, UNRESERVED
FUND BALANCE, BEGINNING OF YEAR 579,000 579,000 758,835 179,835
UNDESIGNATED, UNRESERVED
FUND BALANCE, END OF YEAR $ 314,504 $ 314,504 $ 664,523 $ 350,019
63
CITY OF TIGARD, OREGON
URBAN SERVICES FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2005
•
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O
•
•
Variance
Budgeted Amounts Actual Over •
Original Final Amounts (Under)
REVENUES: ~
Licenses and permits $ 613,897 $ 613,897 $ 397,754 $ (216,143) •
Charges for services 5,500 5,500 525 4,975
Interest earnings 17,000 17,000 23,165 6,165
Total revenues 636,397 636,397 421,444 (214,953) •
EXPENDITURES:
Contingency 115,500 115,500 - 115,500 O
Change in fund balance
before other financing (uses) 520,897 520,897 421,444 (99,453) •
Other financing (uses): •
Transfer out (822,412) (824,412) (778,576) 45,836 •
O
Change in fund balance (301,515) (303,515) (357,132) (53,617)
UNDESIGNATED, UNRESERVED
FUND BALANCE, BEGINNING OF YEAR 848,900 848,900 749,137 (99,763)
UNDESIGNATED, UNRESERVED
FUND BALANCE, END OF YEAR $ 547,385 $ 545,385 $ 392,005 $ (153,380)
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CITY OF TIGARD, OREGON
STREET MAINTENANCE FEE FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
for the fiscal year ended June 30, 2005
Variance
Budgeted Amounts Actual Over
Original Final Amounts (Under)
REVENUES:
Fees and charges $ 800,000 $ 800,000 $ 902,539 $ 102,539
Interest earnings 4,000 4,000 7,929 3,929
Miscellaneous - - 69,781 69,781
Total revenues 804,000 804,000 980,250 176,250
EXPENDITURES:
Contingency 104,280 104,280 - 104,280
Capital projects 695,200 695,200 565,110 130,090
Total expenditures 799,480 799,480 565,110 234,370
Change in fund balance
before other financing (uses) 4,520 4,520 415,140 410,620
Other financing (uses):
Operating transfer out (104,800) (104,800) (102,080) 2,720
Change in fund balance (100,280) (100,280) 313,060 413,340
UNDESIGNATED, UNRESERVED
FUND BALANCE, BEGINNING OF YEAR 200,000 200,000 124,136 (75,864)
UNDESIGNATED, UNRESERVED
FUND BALANCE, END OF YEAR $ 99,720 $ 99,720 $ 437,196 $ 337,476
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Debt Service Funds
The balance sheet and statement of revenues, expenditures, and changes in fund balance
of the nonmajor debt service fund is reported in the combining nonmajor governmental fund
statements. Fund statements for the major debt service fund are reported in the basic
financial statements.
Schedules of revenues, expenditures, and changes in fund balance - budget and actual are
also presented here for each debt service fund.
Major Debt Service Fund:
Bancroft Debt Service Fund - This fund accounts for payment of Bancroft improvement
bond principal and interest. The sources of revenue is the collection of assessments
against benefited property, interest and contributions from other funds for their share of
costs.
Nonmaior Debt Service Fund:
General Obligation Debt Service Fund - This fund accounts for payment of general
obligation bond principal and interest. The sources of revenue is from property taxes and
interest earnings.
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CITY OF TIGARD, OREGON
BANCROFT BOND DEBT SERVICE FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2005
Variance
Budgeted Amounts Actual Over
Original Final Amounts (Under)
REVENUES:
Collection of bonded assessments $ 449,917 $ 449,917 $ 373,141 $ (76,776)
Interest earnings 251,487 251,487 247,346 (4,141)
Total revenues 701,404 701,404 620,487 (80,917)
EXPENDITURES:
Debt service 1,074,237 1,074,237 776,153 298,084
Change in fund balance
before other financing sources (372,833) (372,833) (155,666) 217,167
Other financing sources:
Transfer in 9,500 9,500 8,971 (529)
Change in fund balance (363,333) (363,333) (146,695) 216,638
DESIGNATED - FUND BALANCE,
BEGINNING OF YEAR 838,818 838,818 1,050,992 212,174
DESIGNATED FUND BALANCE,
END OF YEAR $ 475,485 $ 475,485 $ 904,297 $ 428,812
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CITY OF TIGARD, OREGON •
GENERAL OBLIGATION DEBT SERVICE FUND •
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL •
For the fiscal year ended June 30, 2005 •
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Variance •
Budgeted Amounts Actual Over •
Original Final Amounts (Under) •
REVENUES:
•
Taxes $ 682,089 $ 682,089 $ 708,577 $ 26,488
Interest earnings 13,100 13,100 11,766 (1,334) •
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Total revenues 695,189 695,189 720,343 25,154
EXPENDITURES:
•
Debt service 974,413 974,413 974,413 - •
•
Change in fund balance (279,224) (279,224) (254,070) 25,154
!
DESIGNATED FUND BALANCE, •
BEGINNING OF YEAR 657,000 657,000 662,321 5,321
DESIGNATED FUND BALANCE,
END OF YEAR $ 377,776 $ 377,776 $ 408,251 $ 30,475
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Capital Projects Funds
Combining statements for all individual nonmajor capital projects funds are reported here.
The combined totals are reported in the combining nonmajor governmental fund statements.
Fund statements for the major capital projects fund are reported in the basic financial
statements.
Schedules of revenues, expenditures, and changes in fund balance - budget and actual are
also presented here for each capital projects fund.
Major Capital Projects Fund:
Facility Fund - This fund accounts for monies set aside for future major City facility
improvements.
Nonmaior Capital Projects Fund:
Dartmouth Local Improvement District/Capital Improvement Project Fund - This fund
accounts for construction of Local Improvement District projects from the sale of bond
anticipation notes and certain other debt. This fund was closed in the year ended June 30,
2005.
Wall Street Local Improvement District Fund - This fund accounts for construction of a
local improvement district project from the sale of bond anticipation notes. The City's portion
of the project is funded by a transfer of resources from the Traffic Impact Fee Fund.
CITY OF TIGARD, OREGON
NONMAJOR CAPITAL PROJECTS FUNDS
COMBINING BALANCE SHEET
June 30, 2005
Dartmouth Wall Street
Local Local
Improvement Improvement
District District
Fund Fund Total
ASSETS:
Cash and investments $ - $ 2,084 $ 2,084
LIABILITIES AND FUND BALANCES:
LIABILITIES:
Accounts payable and accrued liabilities $ - $ 2,084 $ 2,084
FUND BALANCES -
UNRESERVED - - -
Total liabilities and fund balances $ - $ 2,084 $ 2,084
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CITY OF TIGARD, OREGON
NONMAJOR CAPITAL PROJECTS FUNDS •
COMBINING STATEMENT OF REVENUES, EXPENDITURES •
AND CHANGES IN FUND BALANCE •
For the fiscal year ended June 30, 2005 •
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Dartmouth Wall Street •
Local Local
Improvement Improvement
District District •
Fund Fund Total •
EXPENDITURES: •
•
Capital projects $ - $ 16,768 $ 16,768 0
•
Change in fund balance •
before other financing sources - (16,768) (16,768) •
Other financing sources (uses): •
Transfers in 16,768 16,768 •
Transfers out (8,971) - (8,971) •
0
Total other financing sources (uses) (8,971) 16,768 7,797 •
Change in fund balance (8,971) - (8,971) •
0
UNDESIGNATED, UNRESERVED FUND BALANCE, •
BEGINNING OF YEAR 8,971 - 8,971 0
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UNDESIGNATED, UNRESERVED FUND BALANCE, •
END OF YEAR $ - $ - $ -
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CITY OF TIGARD, OREGON
FACILITY FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2005'
Variance
Budgeted Amounts Actual Over
Original Final Amounts (Under)
REVENUES:
Interest earnings $ 82,300 $ 82,300 $ 58,169 $ (24,131)
Miscellaneous - - 59,022 59,022
Total revenues 82,300 82,300 117,191 34,891
EXPENDITURES:
Contingency 545,500 440,500 - 440,500
Capital projects 2,772,500 2,877,500 2,432,596 444,904
Total expenditures 3,318,000 3,318,000 2,432,596 885,404
Change in fund balance
before other financing sources (uses) (3,235,700) (3,235,700) (2,315,406) 920,294
Other financing sources (uses):
Transfers in 419,350 419,350 264,350 (155,000)
Transfers out (592,002) (592,002) (592,002) -
Total other financing sources (uses) (172,652) (172,652) (327,652) (155,000)
Change in fund balance (3,408,352) (3,408,352) (2,643,058) 765,294
UNDESIGNATED, UNRESERVED
FUND BALANCE, BEGINNING OF YEAR 4,160,600 4,160,600 4,172,522 11,922
UNDESIGNATED, UNRESERVED
FUND BALANCE, END OF YEAR $ 752,248 $ 752,248 $ 1,529,464 $ 777,216
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CITY OF TIGARD, OREGON
DARTMOUTH LOCAL IMPROVEMENT DISTRICT FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2005
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Variance
Budgeted Amounts Actual Over
Original Final Amounts (Under) •
Other financing (uses)
and change in fund balance: •
Transfer out $ (9,500) $ (9,500) $ (8,971) $ 529 •
Change in fund balance (9,500) (9,500) (8,971) 529
•
UNDESIGNATED, UNRESERVED
FUND BALANCE, BEGINNING OF YEAR 9,500 9,500 8,971 (529)
UNDESIGNATED, UNRESERVED
FUND BALANCE, END OF YEAR $ - $ - $ - $ -
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CITY OF TIGARD, OREGON
WALL STREET LOCAL IMPROVEMENT DISTRICT FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2005
Variance
Budgeted Amounts Actual Over
Original Final Amounts (Under)
EXPENDITURES:
Capital projects $ 2,050,000 $ 2,050,000 $ 16,768 $ 2,033,232
Total expenditures and change in fund
balance before other financing sources 2,050,000 2,050,000 16,768 2,033,232
Other financing sources:
Proceeds from Bond Anticipation Note 2,000,000 2,000,000 - (2,000,000)
Transfer in 50,000 50,000 16,768 (33,232)
Total other financing sources 2,050,000 2,050,000 16,768 (2,033,232)
Change in fund balance - - -
UNDESIGNATED, UNRESERVED
FUND BALANCE, BEGINNING OF YEAR - - -
UNDESIGNATED, UNRESERVED
FUND BALANCE, END OF YEAR $ - $ - $ - $
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City of Tigard, Oregon
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Enterprise Funds
For GAAP reporting purposes, the City reports three proprietary funds as major funds.
These funds are the Sanitary Sewer Fund; the Storm Sewer Fund; which consists of the
Storm Sewer Fund and the Water Quality/Quantity Fund; and the Water Fund, which
includes the Water Fund, Water SDC Fund and Water CIP Fund. However, for budgetary
and legal purposes these funds are accounted for separately as listed below.
All of the City's enterprise funds meet the criteria for major fund reporting and are reported
in the basic financial statements.
Schedules or revenues and changes in fund net assets - budget and actual are presented
here for each individual enterprise fund as required by Oregon regulations.
Major Enterprise Funds:
Sanitary Sewer Fund - This fund accounts for the City's sewer utility operations.
Storm Sewer Fund - This fund accounts for the City's storm drainage operations.
Storm Sewer Fund (budgetary basis financial statements only)
Water Quality/Quantity Fund (budgetary basis financial statements only) .
Water Fund - This fund accounts for the City's water operations.
Water Fund (budgetary basis financial statements only)
Water SDC Fund (budgetary basis financial statements only)
Water CIP Fund (budgetary basis financial statements only)
CITY OF TIGARD, OREGON
SANITARY SEWER FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2005
Variance
Budgeted Amounts Actual Over
Original Final Amounts (Under)
REVENUES:
Intergovernmental revenue $ 10,000 $ 10,000 $ - $ (10,000)
Service charge 2,407,125 2,407,125 1,601,113 (806,012)
Miscellaneous - - 72,553 72,553
Interest earnings 177,700 177,700 212,513 34,813
Total revenues 2,594,825 2,594,825 1,886,180 (708,645)
EXPENDITURES:
Public works 975,066 983,258 494,059 489,199
Contingency 599,900 491,708 - 491,708
Capital projects 2,690,000 2,690,000 2,093,414 596,586
Total expenditures 4,264,966 4,164,966 2,587,473 1,577,493
Change in fund balance
before other financing (uses) (1,670,141) (1,570,141) (701,293) 868,848
Other financing (uses):
Transfer out (353,466) (353,466) (321,716) 31,750
Change in fund balance (2,023,607) (1,923,607) (1,023,009) 900,598
UNDESIGNATED, UNRESERVED
FUND BALANCE, BEGINNING OF YEAR 8,655,000 8,655,000 9,234,198 579,198
UNDESIGNATED, UNRESERVED
FUND BALANCE, END OF YEAR $ 6,631,393 $6,731,393 $8,211,189 $ 1,479,796
73
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CITY OF TIGARD, OREGON
SANITARY SEWER FUND
RECONCILIATION OF BUDGETARY REVENUES AND EXPENDITURES
•
TO PROPRIETARY REVENUES AND EXPENSES
For the fiscal year ended June 30, 2005
•
Operating and •
Non Operating Expenditures /
Revenues Expenses
•
$ 1,886,180 $ 2,587,473 •
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System development revenue (78,831) - •
Change in accrued compensated absences. - (1,485) •
Expenditures capitalized - (2,113,630) •
Services performed by other funds - 321,716 •
Depreciation expense - 503,508
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Revenue and expenses - page 30 $ 1,807,349 $ 1,297,582
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CITY OF TIGARD, OREGON
STORM SEWER FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2005
Variance
Budgeted Amounts Actual Over
Original Final Amounts (Under)
REVENUES:
Intergovernmental revenue $ 10,000 $ 10,000 $ - $ (10,000)
Service charge 1,561,956 1,561,956 1,079,945 (482,011)
Miscellaneous - - 847 847
Interest earnings 15,200 15,200 21,733 6,533
Total revenues 1,587,156 1,587,156 1,102,525 (484,631)
EXPENDITURES:
Public works 1,183,088 1,192,984 700,401 492,583
Contingency 264,500 254,604 - 254,604
Capital projects 284,500 284,500 165,682 118,818
Total expenditures 1,732,088 1,732,088 866,082 866,006
Change in fund balance
before other financing (uses) (144,932) (144,932) 236,443 381,375
Other financing (uses):
Transfer out (350,665) (350,665) (327,047) 23,618
Change in fund balance (495,597) (495,597) (90,604) 404,993
UNDESIGNATED, UNRESERVED
FUND BALANCE, BEGINNING OF YEAR 804,195 804,195 1,072,627 268,432
UNDESIGNATED, UNRESERVED
FUND BALANCE, END OF YEAR $ 308,598 $ 308,598 $ 982,023 $ 673,425
75
CITY OF TIGARD, OREGON
WATER QUALITY/QUANTITY FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL •
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For the fiscal year ended June 30, 2005
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Variance
Budgeted Amounts Actual Over
Original Final Amounts (Under) •
REVENUES:
•
Service charge $ 26,500 $ 26,500 $ 76,275 $ 49,775 •
Interest earnings 39,000 39,000 49,602 10,602
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Total revenues 65,500 65,500 125,877 60,377 •
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EXPENDITURES: •
Contingency 42,000 42,000 - 42,000
Capital projects 280,000 280,000 52,556 227,444
•
Total expenditures 322,000 322,000 52,556 269,444 •
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Change in fund balance •
before other financing (uses) (256,500) (256,500) 73,321 329,821
Other financing (uses):
Transfer out (1,065) (1,065) (1,065) -
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Change in fund balance (257,565) (257,565) 72,256 329,821 •
•
UNDESIGNATED, UNRESERVED .
FUND BALANCE, BEGINNING OF YEAR 1,950,300 1,950,300 1,951,376 1,076 .
UNDESIGNATED, UNRESERVED
FUND BALANCE, END OF YEAR $1,692,735 $ 1,692,735 $ 2,023,632 $ 330,897
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CITY OF TIGARD, OREGON
STORM SEWER FUNDS
RECONCILIATION OF BUDGETARY REVENUES AND EXPENDITURES
TO PROPRIETARY REVENUES AND EXPENSES
For the fiscal year ended June 30, 2005
Operating and
Non Operating Expenditures /
Revenues Expenses
Storm Sewer $ 1,102,525 $ 866,082
Water Quality / Quantity 125,877 52,556
Total 1,228,402 918,638
System development revenue 309,556 -
Change in accrued compensated absences - 7,538
Expenditures capitalized - (244,281)
Services performed by other funds - 328,112
Depreciation expense - 364,452
Revenue and expenses - page 30 $ 1,537,958 $ 1,374,459
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CITY OF TIGARD, OREGON
WATER FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
•
For the fiscal year ended June 30, 2005
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Variance
Budgeted Amounts Actual Over
Original Final Amounts (Under) •
REVENUES:
•
Service charge $ 6,167,200 $ 6,167,200 $ 6,306,134 $ 138,934 •
System development charges 217,804 217,804 224,704 6,900
Interest earnings 122,580 122,580 177,585 55,005
Miscellaneous 72,000 72,000 61,692 (10,308)
Total revenues 6,579,584 6,579,584 6,770,115 190,531 •
•
EXPENDITURES:
Public works 5,241,831 5,259,589 4,929,006 330,583
Contingency 1,300,000 1,282,242 - 1,282,242 •
Capital projects 1,206,750 1,206,750 611,329 595,421
Total expenditures 7,748,581 7,748,581 5,540,335 2,208,246
Change in fund balance
before other financing (uses) (1,168,997) (1,168,997) 1,229,780 (2,017,715)
Other financing (uses):
Transfer out (1,634,617) (1,634,617) (1,129,680) 504,937
Change in fund balance (2,803,614) (2,803,614) 100,100 (1,512,778) •
UNDESIGNATED, UNRESERVED
FUND BALANCE, BEGINNING OF YEAR 6,374,500 6,374,500 7,370,981 996,481 •
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UNDESIGNATED, UNRESERVED
FUND BALANCE, END OF YEAR $ 3,570,886 $ 3,570,886 $ 7,471,081 $ 3,900,195
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CITY OF TIGARD, OREGON
WATER SDC FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2005
Variance
Budgeted Amounts Actual Over
Original Final Amounts (Under)
REVENUES:
System development charges $ 700,000 $ 700,000 $ 330,911 $ (369,089)
Interest earnings 39,400 39,400 53,696 14,296
Total revenues 739,400 739,400 384,607 (354,793)
EXPENDITURES:
Contingency 175,750 175,750 - 175,750
Capital projects 1,130,000 1,130,000 444,247 685,753
Total expenditures 1,305,750 1,305,750 444,247 861,503
Change in fund balance
before other financing (uses) (566,350) (566,350) (59,640) 506,710
Other financing (uses):
Transfer out (71,200) (71,200) - 71,200
Change in fund balance (637,550) (637,550) (59,640) 577,910
UNDESIGNATED, UNRESERVED
FUND BALANCE, BEGINNING OF YEAR 2,020,000 2,020,000 2,009,608 (10,392)
UNDESIGNATED, UNRESERVED
FUND BALANCE, END OF YEAR $1,382,450 $1,382,450 $ 1,949,968 $ 567,518
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CITY OF TIGARD, OREGON
WATER CIP FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2005
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Variance
Budgeted Amounts Actual Over •
Original Final Amounts (Under)
REVENUES:
•
System development charges $ 341,616 $ 341,616 $ 398,721 $ 57,105 •
Interest earnings 57,950 57,950 89,848 31,898
Total revenues 399,566 399,566 488,569 89,003 •
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EXPENDITURES:
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Contingency 1,755,359 1,755,359 - 1,755,359 •
Capital projects 11,616,390 11,616,390 809,411 10,806,979
Debt Service 356,000 356,000 - 356,000
Total expenditures 13,727,749 13,727,749 809,411 12,918,338 •
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Change in fund balance •
before other financing sources (uses) (13,328,183) (13,328,183) (320,842) - 13,007,341 •
•
Other financing sources (uses):
Bond proceeds 16,000,000 16,000,000 - (16,000,000) •
Transfers in 356,000 356,000 - (356,000) •
Total other financing sources (uses) 16,356,000 16,356,000 - (16,356,000)
Change in fund balance 3,027,817 3,027,817 (320,842) (3,348,659)
UNDESIGNATED, UNRESERVED
FUND BALANCE, BEGINNING OF YEAR 3,168,000 3,168,000 3,555,117 387,117
UNDESIGNATED, UNRESERVED
FUND BALANCE, END OF YEAR $ 6,195,817 $ 6,195,817 $ 3,234,275 $ (2,961,542) •
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CITY OF TIGARD, OREGON
WATER FUNDS
RECONCILIATION OF BUDGETARY REVENUES AND EXPENDITURES
TO PROPRIETARY REVENUES AND EXPENSES
For the fiscal year ended June 30, 2005
Operating and
Non Operating Expenditures /
Revenues Expenses
Water $ 6,770,115 $ 5,540,335
Water SDC 384,607 444,247
Water CIP 488,569 809,411
Total 7,643,291 6,793,993
System development revenue 232,912 -
Change in inventory - (32,872)
Change in accrued compensated absences - (965)
Expenditures capitalized - (1,872,326)
Services performed by other funds - 1,200,880
Depreciation expense - 2,112,218
Revenue and expenses - page 30 $ 7,876,203 $ 8,200,928
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CITY OF TIGARD, OREGON
ENTERPRISE FUNDS
RECONCILIATION OF BUDGETARY FUND BALANCE TO
GENERALLY ACCEPTED ACCOUNTING PRINCIPLES BASIS NET ASSETS
For the fiscal year ended June 30, 2005
Total Total
Sanitary Storm Total
Sewer Sewer Water
•
Sanitary Sewer Fund $ 8,211,189 $ - $ - •
Storm Sewer Fund - 982,023 - •
Water Quality /Quanity Fund - 2,023,632 -
Water Fund - - 7,471,081
Water SDC Fund - - 1,949,968
Water CIP Fund - - 3,234,275
Fund balance - budget basis 8,211,189 3,005,655 12,655,323
Adjustments from budgetary basis to •
generally accepted accounting principles basis: •
Change in inventory - - (17,182) •
Inventory - - 136,741
Capital assets, net 13,483,679 10,004,129 28,374,155
Accrued vacation payable (19,932) (27,768) (64,494) •
Total Net Assets -
generally accepted accounting
principles basis - pages 29 and 30 $ 21,674,936 $ 12,982,016 $ 41,084,543
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Internal Service Funds
Combining statements for internal service funds are reported here. The combined totals are
reported alongside the enterprise funds in the basic financial statements.
Schedules of revenues, expenses, and changes in fund net assets - budget and actual are
also presented here for each internal service fund as required by Oregon regulations.
Central Services Fund - This fund accounts for the central administrative functions within
the City
Fleet/Property Management Fund - This fund accounts for all activity related to the Fleet
Maintenance and Property Management divisions in the City
CITY OF TIGARD, OREGON
INTERNAL SERVICE FUNDS
COMBINING STATEMENT OF NET ASSETS
JUNE 30, 2005
Central Fleet/Property
Services Management
Fund Fund Total
ASSETS
Current assets:
Cash and investments $ 1,179,368 $ 125,647 $ 1,305,015
Accounts Receivable 3,454 - 3,454
Inventory 23,190 11,628 34,818
Total assets 1,206,012 137,275 1,343,287
LIABILITIES
Current liabilities:
Accounts payable and accrued
liabilities 100,839 78,685 179,524
Accrued compensated absences 121,308 12,747 134,055
Total liabilities 222,147 91,432 313,579
NET ASSETS
Net assets $ 983,865 $ 45,843 $ 1,029,708
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CITY OF TIGARD, OREGON
INTERNAL SERVICE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENSES •
AND CHANGES IN FUND NET ASSETS
For the fiscal year ended June 30, 2005 •
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•
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Central Fleet/Property •
Services Management •
Fund Fund Total
OPERATING REVENUES:
Service charges $ 4,274,190 $ 1,072,043 $ 5,346,233 •
Miscellaneous 4,029 143 4,172 •
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Total operating revenues 4,278,219 1,072,185 5,350,405 •
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OPERATING EXPENSES: •
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Salaries and wages . 2,628,418 349,112 2,977,530
Contracted services 470,927 269,137 740,064 •
General, administrative and other 1,051,258 459,638 1,510,896 •
Total operating expenses 4,150,603 1,077,887 5,228,490 •
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Operating income (loss) 127,616 (5,702) 121,915 •
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NONOPERATING REVENUE:
Interest revenue 28,973 1,293 30,265 •
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Net income (loss) 156,589 (4,409) 152,180 •
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NET ASSETS - beginning of year 827,276 50,252 877,528 •
NET ASSETS - end of year $ 983,865 $ 45,843 $ 1,029,708 •
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CITY OF TIGARD, OREGON
INTERNAL SERVICE FUNDS
COMBINING STATEMENT OF CASH FLOWS
For the fiscal year ended June 30, 2005
Increase (decrease) in cash and cash equivalents
Central Fleet/Property
Services Management
Fund Fund Totals
CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers $ 4,274,190 $ 1,072,043 $ 5,346,233
Payments to suppliers (1,612,057) (681,836) (2,293,893)
Payments to employees (2,628,418) (343,809) (2,972,227)
Other receipts 4,029 143 4,172
Net cash provided by operating activities 37,744 46,540 84,285
CASH FLOWS FROM INVESTING ACTIVITIES
Interest earnings 28,973 1,293 30,265
Net increase in cash and cash equivalents 66,717 47,833 114,550
Balances--beginning of the year 1,112,651 77,814 1,190,465
Balances--end of the year $ 1,179,368 $ 125,647 $ 1,305,015
RECONCILIATION OF OPERATING INCOME (LOSS) TO
NET CASH PROVIDED BY OPERATING ACTIVITIES
Operating income (loss) 127,616 (5,702) 121,915
Adjustments to reconcile operating income (loss) to net cash
provided by operating activities:
Change in assets and liabilities:
Receivables, net (3,410) - (3,410)
Inventories (7,776) (5,116) (12,892)
Accounts payable (94,050) 52,055 (41,995)
Accrued compensated absences 15,364 5,303 20,667
Net cash provided by operating activities $ 37,744 $ 46,540 $ 84,285
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CITY OF TIGARD, OREGON
CENTRAL SERVICES FUND •
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL •
For the fiscal year ended June 30, 2005
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Variance •
Budgeted Amounts Actual Over •
Original Final Amounts (Under) •
REVENUES:
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Interest earnings $ 18,100 $ 18,100 $ 28,973 $ 10,873
Miscellaneous - - 4,029 4,029 •
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Total revenues 18,100 18,100 33,002 14,902 •
EXPENDITURES:
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Policy and administration 3,710,840 3,852,153 3,713,910 138,243
Contingency 691,768 550,455 - 550,455
General government 365,120 365,120 328,305 36,815
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Total expenditures 4,767,728 4,767,728 4,042,215 725,513
Change in fund balance
before other financing sources (uses) (4,749,628) (4,749,628) (4,009,213) 740,415 •
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Other financing sources (uses): •
Transfer in 4,488,355 4,488,355 4,274,189 (214,166) •
Transfer out (96,946) (96,946) (93,024) 3,922 •
Total other financing sources (uses) 4,391,409 4,391,409 4,181,165 (210,244) •
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Change in fund balance (358,219) (358,219) 171,952 530,171 •
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UNDESIGNATED, UNRESERVED
FUND BALANCE, BEGINNING OF YEAR 905,500 905,500 933,221 27,721 •
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UNDESIGNATED, UNRESERVED
FUND BALANCE, END OF YEAR $ 547,281 $ 547,281 $1,105,173 $ 557,892
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CITY OF TIGARD, OREGON
FLEET/PROPERTY MANAGEMENT FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
For the fiscal year ended June 30, 2005
Variance
Budgeted Amounts Actual Over
Original Final Amounts (Under)
REVENUES:
Interest earnings $ 1,200 $ 1,200 $ 1,293 $ 93
Miscellaneous - - 143 143
Total revenues 1,200 1,200 1,435 235
EXPENDITURES:
Public works 1,042,203 1,049,556 994,394 55,162
Contingency 70,000 62,647 - 62,647
Total expenditures 1,112,203 1,112,203 994,394 117,809
Change in fund balance
before other financing sources (uses) (1,111,003) (1,111,003) (992,959) (117,573)
Other financing sources (uses):
Transfer in 1,139,148 1,139,148 1,072,042 (67,106)
Transfer out (78,189) (78,189) (78,189) (0)
Total other financing sources (uses) 1,060,959 1,060,959 993,853 (67,106)
Change in fund balance (50,044) (50,044) 894 (184,679)
UNDESIGNATED, UNRESERVED
FUND BALANCE, BEGINNING OF YEAR 60,800 60,800 57,693 (3,107)
UNDESIGNATED, UNRESERVED
FUND BALANCE, END OF YEAR $ 10,756 $ 10,756 $ 58,587 $ 47,831
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CAPITAL ASSETS
USED IN THE OPERATION
OF GOVERNMENTAL FUNDS
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CITY OF TIGARD,
CAPITAL ASSETS USED IN THE OPERATION OF GOVERNMENTAL FUNDS
COMPARATIVE SCHEDULES BY SOURCE
June 30, 2005 and 2004
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2005 2004
Governmental funds capital assets:
• Land $ 5,786,010 $ 5,786,010
• Improvements other than buildings 4,966,083 4,928,689
• Buildings and building improvements 18,726,235 7,754,415
Office equipment 449,186 426,137
• Equipment 1,561,540 1,192,490
Autos and trucks 1,803,286 1,653,341
• Infrastructure assets 197,759,713 188,559,755
Construction in progress 464,019 16,073,456
Total governmental funds capital assets $ 231,516,072 $ 226,374,293
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Investment in governmental funds capital assets by source
General Fund $ 220,212,197 $ 216,220,454
• Special revenue funds 4,916,407 4,768,879
Capital projects funds 6,387,468 5,384,960
Total governmental funds capital assets $ 231,516,072 $ 226,374,293
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CITY OF TIGARD, OREGON
CAPITAL ASSETS USED IN THE OPERATION OF GOVERNMENTAL FUNDS
SCHEDULE BY FUNCTION AND ACTIVITY
JUNE 30, 2005
Machinery, Construction
Equipment, in
Function and Activity Total Land Buildings and Other Infrastructure progress
Community services:
Police $ 1,768,148 $ $ $ 1,768,148 $ $
Library 199,075 199,075
Parks 583,590 583,590
Total community services 2,550,813 - 2,550,813
Community development:
Administration 24,451 - - 24,451 -
Building 198,899 - - 198,899 -
00 Planning 6,751 - - 6,751 - -
~p Engineering 110,169 - - 110,169 -
Operations/admin. 35,254 - - 35,254 -
Operations/shops 74,382 74,382 - -
Streets 200,010,364 1,843,987 197,759,713 406,664
Operations/management 629 - - 629 - -
Total community development 200,460,899 2,294,522 197,759,713 406,664
Policy and administration:
Mayor and City Council 5,696 - 5,696 -
City administration - - -
Finance 10,842 - 10,842 -
Computer services 98,071 - - 98,071 -
Accounting 7,981 - - 7,981 -
Office services 12,104 - 12,104 -
Records 20,688 - - 20,688 -
Court - - -
Total policy and administration 155,382 - - 155,382 -
General government 28,348,978 5,786,010 18,726,237 3,779,376 - 57,355
Total governmental funds capital assets $ 231,516,072 $ 5,786,010 $ 18,726,237 $ 8,780,093 $ 197,759,713 $ 464,019
..AaaaaA•s••a••••••••••••s•••••••~••••••i•••••~••/~••••~
CITY OF TIGARD, OREGON
CAPITAL ASSETS USED IN THE OPERATION OF GOVERNMENTAL FUNDS
SCHEDULE OF CHANGES BY FUNCTION AND ACTIVITY
For the fiscal year ended June 30, 2005
Governmental Governmental
Funds Funds
Capital Assets Reclassifications Capital Assets
Function and Activity June 30, 2004 Additions Adjustments Deductions June 30, 2005
Community services:
Police $ 1,314,714 $ 512,617 $ (59,183) $ 1,768,148
Library 199,075 - - 199,075
Parks 621,882 19,915 (58,207) 583,590
Total community services 2,135,671 532,532 - (117,390) 2,550,813
Community development:
Administration 24,451 - - 24,451
Building 117,339 98,073 (16,513) 198,899
Planning 6,751 - - 6,751
Engineering 118,220 - (8,051) 110,169
Operations/admin. 45,728 - - (10,474) 35,254
Operations/shops 54,210 20,172 - 74,382
Streets 196,449,743 7,469,438 (4,032,943) (21,180) 199,865,058
Operations/management (13,704) 14,333 - 629
Total community development 196,802,738 7,602,016 (4,032,943) (56,218) 200,315,593
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• Policy and administration:
Mayor and City Council 5,696 5,696
• City administration - - -
• Finance 10,842 - - 10,842
Computer services 98,071 - - 989071
Accounting 7,981 - 7,981
• Office services 12,104 - - 12,104
Records 20,688 - - 20,688
• Court - - - -
• Total policy and administration 155,382 - - - 155,382
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• General government 27,280,502 145,306 1,068,476 - 28,494,284
• Total governmental funds capital $ 226,374,293 $ 8,279,854 $ (2,964,467) $ (173,608) $ 231,516,072
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City of Tigard, Oregon
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Other Supplementary Schedules
Schedules included in this section are:
• Property Tax Transactions and Outstanding
Balances
• Bond and Bond Interest Transactions
• f=uture Debt Service Requirements of Long
Term Notes Payable
• 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, 2005
Property Add Property
Taxes Levy as Taxes
Receivable Extended Deduct Add Receivable
June 30, by Discounts (Deduct) Add Deduct June 30,
2004 Assessor Allowed Adjustments Interest Collections 2005
2004 - 2005 $ - $ 10,568,724 $ (263,530) $ (47,892) $ 4,187 $(10,032,595) $ 228,894
2003-2004 245,342 - - (1,681) 10,089 (195,460) 58,290
2002 - 2003 86,355 - - (6,638) 7,631 (58,604) 28,744
2001-2002 36,101 - - (6,133) 5,127 (26,528) 8,567
2000-2001 13,284 - - (3,397) 3,104 (11,334) 1,657
1999-2000 3,099 - (403) 508 (1,667) 1,537
1998 - 1999 & Prior 4,202 - - (1,700) 240 (135) 2,607
$ 388,383 $ 10,568,724 $ (263,530) $ (67,844) $ 30,886 $(10,326,323) $ 330,296
Property Taxes
Cash Receivable
Distributed as follows: Collections June 30, 2005
General Fund:
Current $ 9,345,503 $ 213,218
Prior years' levies 272,803 93,147
Total General Fund 9,618,306 306,365
Enterprise Funds:
Prior Years' levies - 6
Debt Service Funds:
Current 687,092 15,676
Prior years' levies 20,925 8,249
Total Debt Service Funds 708,017 23,925
Total $ 10,326,323 $ 330,296
NOTE: Taxes, other than property taxes, are included in Taxes revenue on the
Governmental Funds Statement of Revenues, Expenditures,
and Changes in Fund Balance (page 27).
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CITY OF TIGARD, OREGON
SCHEDULE OF BOND AND BOND INTEREST TRANSACTIONS
For the fiscal year ended June 30, 2005 •
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Bond Transactions Interest Transactions •
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Outstanding Matured/ Outstanding
Bancroft Bonds Original Issue June 30, 2004 Additions Called Paid June 30, 2005 Matured Paid
Issued November 30, 1998 $ 1,565,576 $ 508,524 $ $160,498 $(160,498) $ 348,026 $ 22,324 $ (22,324)
Issued June 27, 2002 1,307,969 1,246,869 339,046 (339,046) 907,823 79,631 (79,631)
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Issued December 3, 2003 1,947,678 1,947,678 99,260 (99,260) 1,848,418 75,394 (75,394) •
$ 3,703,071 $ $598,804 $(598,804) $ 3,104,267 $177,349 $(177,349) •
General Obligation Bonds
Issued December 4, 2002 $ 13,000,000 $ 12,536,448 $ $475,908 $(475,908) $12,060,540 $498,505 $(498,505)
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CITY OF TIGARD, OREGON
SCHEDULE OF FUTURE DEBT SERVICE REQUIREMENTS
OF LONG-TERM NOTES PAYABLE
JUNE 30, 2005
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• Issued - January 23, 2002
• 3.00% to 4.35%
• Original Issue - $ 2,290,248
• Total
• Payment Coupon Debt
• Date Principal Interest Rate Service
• January 1, 2006 $ 216,630 $ 66,246 3.25% $ 282,876
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• January 1, 2007 222,820 59,205 3.65% 282,025
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• January 1, 2008 229,201 51,072 3.80% 280,273
January 1, 2009 235,690 42,363 4.00% 278,053
January 1, 2010 247,318 32,935 4.10% 280,253
January 1, 2011 259,053 22,795 4.25% 281,848
January 1, 2012 270,925 11,785 4.35% 282,710
Totals $ 1,681,637 $ 286,401 $ 1,968,038
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CITY OF TIGARD, OREGON
SCHEDULE OF FUTURE DEBT SERVICE REQUIREMENTS •
OF BANCROFT IMPROVEMENT BONDS
June 30, 2005
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Issued Issued Issued •
December 1, 1998 June 27, 2002 December 3, 2003
Year of Total Requirements 4.39% 7.25% 3.90% •
Maturity Principal Interest Principal Interest Principal Interest Principal Interest
2005-2006 $ 368,150 $ 138,937 $ 167,623 $ 25,395 $ 18,500 $ 43,919 $ 182,027 $ 69,623
2006-2007 403,656 166,207 175,061 17,957 39,400 85,795 189,195 62,455 •
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2007-2008 244,287 138,127 5,342 235 42,300 82,888 196,645 55,004 •
2008-2009 249,790 127,026 - - 45,400 79,766 204,390 47,260 •
2009-2010 261,139 115,627 - - 48,700 76,416 212,439 39,211 •
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2010-2011 273,104 103,666 - - 52,300 72,820 220,804 30,846
2011-2022 1,304,141 470,044 - 661,223 431,726 642,918 38,318 •
Totals $ 3,104,267 $1,259,634 $ 348,026 $ 43,587 $ 907,823 $ 873,330 $1,848,418 $342,717 •
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• CITY OF TIGARD, OREGON
SCHEDULE OF FUTURE DEBT SERVICE REQUIREMENTS
OF GENERAL OBLIGATION BONDS
• June 30, 2005
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Fiscal Issued: December 4, 2002
Year of Total Debt 3.00% to 4.75%
Maturity Requirement Principal Interest
2005-2006 $ 972,563 $ 488,335 $ 484,228
2006-2007 975,414 505,836 469,578
2007-2008 972,814 518,411 454,403
2008-2009 974,913 536,063 438,850
2009-2010 976,563 553,795 422,768
2010-2011 976,383 571,890 404,493
2011-2012 974,758 590,281 384,477
2012-2013 977,118 613,891 363,227
2013-2014 972,993 632,787 340,206
2014-2015 972,518 656,991 315,527
2015-2022 7,791,741 6,392,260 1,399,481
$ 17,537,778 $ 12,060,540 $ 5,477,238
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0000 00000 00000 0000 0000
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• STATISTICAL. SECTION*
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CITY OF TIGARD, OREGON
GOVERNMENT-WIDE EXPENSES BY FUNCTION
For the last ten fiscal years
Fiscal Interest on
Year Ended Community Development Policy and Long-Term Storm
June 30 Services Public Works Services Administration Debt Sewer Water Water Total
2003 $ 8,058,670 $ 1,890,644 $ 3,311,058 $ 3,548,649 $ 602,291 $ 901,779 $ 1,056,795 $ 5,325,045 $ 24,694,931
2004 8,744,613 2,735,212 3,791,317 6,175,917 947,848 945,102 1,080,550 5,555,590 29,986,149
2005 10,253,764 2,172,874 4,224,696 6,166,577 716,899 1,297,582 1,374,459 8,200,928 34,407,779
'This schedule has been added with the implementation of GASB 34 effective fiscal year 2003.
Source: Comprehensive Annual Financial Report of the City.
o~
CITY OF TIGARD, OREGON
GOVERNMENT-WIDE REVENUES
For the last ten fiscal years
Program Revenues General Revenues
Gain (Loss)
Fiscal Charges Operating Capital on Disposition
Year Ended for Grants and Grants and Intergovernmental Interest Donated of Capital
June 30 Services Contributions Contributions Taxes Franchise Taxes Revenues Earnings Assets Assets Miscellaneous Total
2003 $ 14,107,966 $ 133,253 $ 87,760 $ 10,472,108 $ 2,567,881 $ 4,704,729 $ 1,505,772 $ (27,850) $ (491,023) $ 677,408 33,738,004
2004 14,697,521 252,805 - 9,763,281 2,431,324 5,204,135 1,317,638 445,899 34,112,603
2005 16,623,924 285,888 10,273,332 2,670,050 4,878,101 1,464,034 418,631 36,613,960
'This schedule has been added with the implementation of GASB 34 effective fiscal year 2003.
Source: Comprehensive Annual Financial Report of the City.
tD
4
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
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 17,045,604
1998 6,973,417 4,072,109 1,914,207 5,084,190 2,171,542 20,215,465
1999 7,778,333 4,476,564 2,100,829 4,349,185 6,850,522 25,555,433
2000 8,322,224 4,738,142 2,287,819 3,902,719 2,699,338 21,950,242
2001 8,696,210 4,832,637 2,593,816 3,894,954 672,656 20,690,273
2002 8,372,801 5,927,523 309,559 2,700,075 2,785,404 20,095,362
2003 8,692,327 5,864,991 279,753 2,971,446 2,647,170 20,455,687
2004 9,014,200 5,996,108 821,553 13,210,578 4,310,054 33,352,493
2005 10,750,344 6,489,391 1,017,764 4,106,999 2,033,691 24,398,189
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CITY OF TIGARD, OREGON
GENERAL GOVERNMENTAL REVENUES BY SOURCES -
BUDGETARY BASIS
For the last ten fiscal years
Fiscal Licenses Inter- Charges •
Year Ended Franchise and governmental For Fines and Miscellaneous •
June 30 Taxes Fees Permits Revenues Services Forfeitures Revenues' Total
1996 $ 5,860,948 $ 1,669,784 $ 2,555,271 $ 3,717,655 $ 357,571 $ 304,246 $ 1,534,205 $ 15,999,680 •
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1997 7,699,435 1,736,933 3,746,604 3,834,114 798,129 397,637 1,632,664 19,845,516 •
1998 8,255,173 1,755,719 2,823,031 4,085,789 375,890 378,145 1,522,273 19,196,020 •
1999 8,617,809 1,970,740 2,780,779 4,715,386 449,997 390,967 4,082,654 23,008,332 •
2000 7,876,219 1,960,768 2,271,148 4,658,795 675,323 371,594 3,404,178 21,218,025 .
2001 8,504,271 2,063,978 4,057,117 4,760,711 732,797 367,732 1,730,569 22,217,175
2002 9,018,360 2,674,388 3,147,960 4,778,451 443,418 415,760 1,359,360 21,837,697 •
2003 10,453,992 2,567,881 3,505,499 4,837,982 865,242 480,963 1,869,653 24,581,212 •
2004 9,775,325 2,431,324 3,668,335 5,456,940 1,148,271 613,785 1,858,371 24,952,351 •
2005 10,334,295 2,670,050 4,442,222 5,134,991 1,743,493 646,406 1,489,909 26,461,367
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Includes special assessments collections and private donations. •
Information derived from Comprehensive Annual Financial Reports for all Govemmental Fund Types •
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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
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 94.79% 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%
1999 8,915,821 8,400,875 94.22% 227,801 8,628,676 96.78% 418,484 4.69%
2000 7,881,754 7,385,015 93.70% 270,169 7,655,184 97.13% 395,297 5.02%
2001 8,479,977 8,017,056 94.54% 241,309 8,258,365 97.39% 365,837 4.31%
2002 8,984,987 8,498,029 94.58% 241,336 8,739,365 97.27% 373,584 4.16%
2003 10,521,836 9,942,473 94.49% 252,892 10,195,365 96.90% 394,897 3.75%
2004 10,072,155 9,519,258 94.51% 249,358 9,768,616 96.99% 388,113 3.85%
2005 10,568,724 10,032,595 94.93% 293,729 10,326,323 97.71% 330,296 3.13%
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.
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CITY OF TIGARD, OREGON
MARKET VALUE AND ASSESSED VALUE OF TAXABLE PROPERTY
For the last ten fiscal years
Fiscal Market Value
Year Public
Ended Real Personal Utility Total
June 30 Property Property Property Total Assessed Value
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 3,424,967,272 •
1999 3,277,118,168 214,501,804 109,989,369 3,601,609,341 2,711,669,298
2000 3,592,171,408 225,516,583 120,517,828 3,938,205,819 2,869,660,834 •
2001 3,972,873,890 229,782,176 151,476,268 4,354,132,334 3,033,029,082
2002 4,238,288,273 221,640,972 164,079,792 4,624,009,037 3,254,596,701 •
2003 4,410,039,009 215,829,652 178,925,500 4,624,009,037 3,470,578,863
2004 4,773,922,756. 206,044,262 171,923,502 5,151,890,520 3,621,710,974 `
2005 5,037,233,082 204,589,409 160,610,634 5,402,433,125 3,908,208,975
All property is assessed as of July 1. •
Assessed value, up until June 30, 1997, was defined as market value. 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 1998/99 Washington County summary of assessment and tax roll, assessed values •
for most properties are now about 80% of market value.
Source: Washington County Department of Assessment and Taxation. •
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CITY OF TIGARD, OREGON
SPECIAL ASSESSMENT COLLECTIONS
For the last ten fiscal years
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Fiscal Year Current Ratio of Total
Ended Assessments Assessments Collections Outstanding
• June 30 Due (1) Collected (2) to Amount Due Assessments
• 1996 $ 135,000 $ 218,667 161.98% $ 2,088,745
1997 145,000 353,977 244.12% 1,846,910
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• 1998 275,000 173,947 63.25% 6,046,590
1999 1,565,576 2,056,305 131.34% 4,613,840
w 2000 329,174 971,414 295.11% 3,761,444
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2001 234,907 290,268 123.57% 3,494,465
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2002 240,894 343,642 142.65% 4,621,388
2003 185,975 542,816 291.88% 4,150,052
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• 2004 637,900 557,911 87.46% 3,471,643
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• 2005 598,804 373,141 62.31% 3,074,031
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• (1) This amount is equal to the matured principal on Bancroft improvement bonds.
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• (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.
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Source: City assessment records
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CITY OF TIGARD, OREGON
PROPERTY TAX RATES - DIRECT AND OVERLAPPING GOVERNMENTS
(Dollars per $1,000 of Assessed Value rounded to the nearest cent)
For the last ten fiscal years
Tigard/ Washington Washington
Fiscal Metzger Tualatin Beaverton Tualatin County County
Year Water School School Tigard Unified Valley Rural Fire Portland Education Other
Ended District City of Washington District District Water Sewerage Fire & Rescue District Community Service Taxing
June 30 Combined Tigard County No. 23-J No. 48 District Agency District No. 2 College District Agencies Total
1996 $ 0.25 $ 2.18 $ 1.52 $14.01 $ 12.07 $ 0.06 $ 0.09 $ 1.66 $ 0.79 $ 0.18 $ 0.38 $ 33.19
1997 0.23 2.54 1.35 12.85 11.41 0.05 1.52 0.73 0.30 0.83 31.81
1998 0.27 3.12 2.60 6.60 6.16 1.54 0.37 0.78 21.44
1999 0.28 3.10 2.57 6.65 6.17 1.53 1.15 0.35 0.81 22.61
2000 0.21 2.59 2.54 6.31 6.19 1.56 1.29 0.36 0.70 21.75
O 2001 0.25 2.60 2.53 7.24 6.12 1.59 1.30 0.37 0.70 22.70
W
2002 0.23 2.58 2.96 7.04 6.37 1.83 1.31 0.55 0.69 23.56
2003 0.23 2.90 2.91 7.90 6.56 1.82 1.12 0.49 0.63 24.56
2004 0.22 2.68 2.90 7.88 8.01 1.83 1.12 0.51 0.62 25.77
2005 0.13 2.70 2.87 7.79 6.60 1.83 1.12 0.51 0.62 24.16
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 both the levy and assessed
value.
Assessment and tax rolls are prepared and maintained by Washington County for all taxing districts with territory in the County. The County collects ail 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 overlapping tax rates for property in Tigard in 2004 ranged from $12.11/$1,000 to $16.64/$1,000.
Source: Washington County Department of Assessment and Taxation.
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
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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
1996 35,021 $ 2,735,213,090 $ 6,795,000 $ 387,102 $ 6,407,898 0.23% $ 182.97
• 1997 35,925 3,111,388,324 5,125,000 4,514,054 6,407,898 0.21% 178.37
• 1998 36,680 3,424,967,272 3,360,000 206,712 3,153,288 0.09% 85.97
• 1999 37,200 2,711,669,298 2,991,249 " 792,529 2,198,720 0.08% 59.11
• 2000 39,672 3,033,029,082 2,442,075 " 1,492,889 949,186 0.03% 23.93
• 2001 42,260 3,033,029,082 1,982,168 1,609,030 373,138 0.01% 8.83
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2002 43,040 3,470,578,863 2,824,243 2,154,758 669,485 0.02% 15.55
• 2003 44,070 3,470,578,863 15,393,293 2,270,985 13,122,308 0.38% 297.76
• 2004 45,130 3,754,359,399 16,239,519 1,713,313 14,526,206 0.39% 321.87
• 2005 44,650 3,908,208,975 15,164,807 1,312,547 13,852,260 0.35% 310.24
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• Excludes bond anticipation notes payable.
•
Sources: City budget documents, Comprehensive Annual Financial Reports of the City and Washington County Department of
• Assessment and Taxation.
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CITY OF TIGARD, OREGON
COMPUTATION OF LEGAL DEBT MARGIN
June 30, 2005
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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 (2004-2005) $ 5,402,433,125 •
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General obligation debt limit X 3%
162,072,994
Gross bonded debt $ 15,164,807
Excludable debt - Bancroft improvement bonds (3,104,267)
Debt subject to limitation 12,060,540
Legal debt margin - amount available for future indebtedness $ 150,012,454
Source: Washington County Department of Assessment and Taxation
105
CITY OF TIGARD, OREGON
COMPUTATION OF DIRECT AND OVERLAPPING GENERAL OBLIGATION DEBT
June 30, 2005
Percent Amount
Applicable Applicable
Net Debt Inside City Inside City
Jurisdiction Outstanding of Tigard of Tigard
Tigard/Tualatin School District #23-J $ 62,172,691 50.9174% $ 31,656,718
Tri-Metropolitan Transportation District 3,169,328 3.7053% 117,433
Metro 4,607,249 3.6883% 169,929
Beaverton School District #48 11,045,458 3.8773% 428,266
Portland Community College 3,791,028 4.6551% 176,476
Washington County 6,212,946 10.2617% 637,554
Tualatin Valley Fire & Rescue District 669,426 12.5832% 84,235
Tualatin Valley Water (Metzger Bond) 248,774 61.4258% 152,811
Sub-Total of Overlapping Debt 91,916,900 33,423,422
City of Tigard 15,164,807 100.0000% 15,164,807
Total for Overlapping Debt $ 107,081,707 $ 48,588,229
Source: Oregon State Treasury Debt Management Division
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CITY OF TIGARD, OREGON
RATIO OF ANNUAL DEBT SERVICE EXPENDITURES FOR LONG-TERM DEBT TO TOTAL
GENERAL GOVERNMENTAL EXPENDITURES
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For the last ten fiscal years
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Total Percent of Debt •
Fiscal Year Total General Service to •
Ended Debt Governmental Total General
June 30 Principal Interest Service Expenditures Expenditures
1996 $ 4,385,000 $ 767,516 $ 5,152,516 $ 14,270,841 36.11% •
•
1997 5,755,000 447,957 6,202,957 21,130,604 29.36%
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1998 6,390,000 406,542 6,796,542 20,215,465 33.62%
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1999 6,1:90,576 659,946 6,850,522 25,555,433 26.81% •
2000 2,487,352 211,986 2,699,338 21,950,242 12.30% •
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2001 2,408,085 207,914 2,615,999 22,638,451 11.56%
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2002 4,195,966 325,036 4,521,002 20,095,362 22.50%
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2003 2,351,917 254,833 2,606,750 20,455,687 12.74%
2004 3,358,982 929,462 4,288,444 34,524,413 12.42% •
2005 1,285,275 748,417 2,033,692 27,714,575 7.34%
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Source: Comprehensive Annual Financial Reports of the City.
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(1) Includes bond anticipation notes principal and interest. •
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(2) Includes bond anticipation notes interest and certificates of participation principal and interest
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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
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
. 1999 18 26,772,534 229 37,876,657
2000 22 55,244,410 198 (2) 37,202,497
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• 2001 23 47,262,611 576 (2) 114,188,480
2002 12 21,583,399 387 (2) 96,339,584
• 2003 10 22,289,054 375 (2) 104,951,598-,
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2004 17 59,523,557 375 (2) 99,056,117
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2005 11 49,645,891 325 (2) 96,002,190
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• (1) From City of Tigard Building Department. Multi-family permits are included in the
• number of permits issued for residential construction.
(2) Residential totals for permits and value include amounts from
Urban/Washington County as well as City of Tigard
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CITY OF TIGARD, OREGON
PRINCIPAL TAXPAYERS
June 30, 2005
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Percentage
of Total
Assessed Assessed
Taxpayer Type of Business Valuation Valuation
Pacific Realty Associates Oregon Business Park $ 149,069,426 3.81%
PPR Washington Square, LLC Washington Square Shopping Mail 81,987,770 2.10%
EOP-Lincoln, LLC Lincoln Center Complex 70,459,982 1.80% •
Verizon Northwest Inc Utility - Communications 50,038,200 1.28%
Calwest Industrial Holdings, LLC Property Management 31,848,060 0.81%
.
Portland General Electric Utility - Power Operations 27,993,097 0.72%
Northwest Natural Gas Utility - Power Operations 22,926,300 0.59%
Nesbitt Portland Property LLC Property Management 21,297,560 0.54%
Robinson, Constance Property Management 20,747,710 0.53%
May Department Stores Company Meier & Frank Department Store 18,888,280 0.48% •
Total Principal Taxpayers 495,256,385 12.67% .
All Other Taxpayers 3,412,952,590 87.33%
Total $ 3,908,208,975 100.00%
Source: Washington County Assessment & Taxation records.
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CITY OF TIGARD, OREGON
DEMOGRAPHICS STATISTICS
For the last ten fiscal years
Assessed (2)
Value Unemployment
of Taxable (3) Rate
Fiscal Year (1) Property School Portland
Ended June 30 Population Per Capita Enrollment Metro Area
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%
1999 37,200 74,537 11,080 4.50%
2000 39,672 76,453 11,145 4.10%
2001 42,260 77,014 11,500 4.50%
2002 43,040 80,636 11,785 7.50%
2003 44,070 82,181 11,686 8.80%
2004 45,130 83,190 11,831 6.80%
2005 44,650 87,530 11,653 6.30%
. Sources of Information:
• (1) State of Oregon, Department of Administrative Services
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(2) U.S. Bureau of Labor Statistics
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• (3) Tigard/Tualatin School District #23-J - City student totals not available
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CITY OF TIGARD, OREGON
MISCELLANEOUS STATISTICAL DATA
June 30, 2005
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Date of Incorporation 1961 •
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Form of government Mayor / Council with a City
Manager as the administrative
head of the government of the City •
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Area (Square Miles - incorporated area) 11 •
Miles of streets 150.00 •
Population 44,650 •
Drinking Water: •
Water mains 220 miles •
Reservoirs 13 •
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Police protection: •
Number of stations 1 •
Number of sworn police officers 58
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Education:
Attendance centers 15
Number of teachers 663 •
Number of students 11,653 •
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Sanitary sewers 150 miles •
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Storm sewer lines 114 miles •
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Building Permits issued (2004-2005) 336
Recreation and culture: •
Number of parks 13, totaling 176 acres
Greenways 171 acres •
Number of libraries 1 •
Number of volumes (estimated) 125,570
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Employees:
Classified service (union) 185
Unclassified (non-union) 90 •
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Information obtained from the various departments of the City of Tigard, Oregon
and Tigard/Tualatin School District #23-J - City student totals not available
111 ~
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AUDIT COMMENTS AND
DISCLOSURE REQUIRED BY
STATE REGULATIONS
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PAULY, ROGERS AND CO., P.C.
[Frie) CERTIFIED PUBLIC ACCOUNTANTS
• 12700 SW 72ND AVENUE • TIGARD, OREGON 97223
• (503) 620-2632 • FAX (503) 684-7523
October 26, 2005
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 basic financial statements of the City of Tigard, Oregon, as of
and for the year ended June 30, 2005, and have issued our report thereon dated
October 26, 2005.
The management of the City of Tigard, Oregon, is responsible for establishing and
maintaining an internal control structure. In fulfilling this responsibility, estimates and
judgments by management are required to assess the expected benefits and related
costs of internal control structure policies and procedures. The objectives of an
internal control structure are to provide management with reasonable, but not
absolute, assurance that assets are safeguarded against loss from unauthorized use
or disposition and that transactions are executed in accordance with management's
authorization and recorded properly to permit the preparation of basic financial
statements in accordance with generally accepted accounting principles. Because of
inherent limitations in any internal control structure, errors or irregularities may
nevertheless occur and not be detected. Also, projection of any evaluation of the
structure to future periods is subject to the risk that procedures may become
inadequate because of changes in conditions or that the effectiveness of the design
and operation of policies and procedures may deteriorate.
In planning and performing our audit of the basic financial statements of the City of
Tigard, Oregon, for the year ended June 30, 2005, 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
112
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AUDITORS' COMMENTS AND DISCLOSURES (CONTINUED)
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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, Audits Division. However, this report is a •
matter of public record and its distribution is not limited. •
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ACCOUNTING RECORDS •
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The City's accounting records were adequate for audit. •
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BUDGET TRANSACTIONS •
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Expenditures were within the authorized appropriation levels for the year ended June •
30, 2005. •
2004-2005 and 2005-2006 BUDGETS •
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The budgets adopted by the City for the current year and ensuing fiscal year were •
reviewed during the audit. Except that one notice of the initial budget committee •
meeting for the 2005-06 budget was published four days prior to the meeting when •
Oregon Local Budget Law requires this publication to be no less than five days prior to •
the meeting, budget preparation and adoption procedures followed by. the City
appeared to be in compliance with the Oregon Local Budget Law. •
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STATE HIGHWAY FUNDS
•
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
•
Based on our selective testing, collateral pledged by depositories appeared to be in
conformity with the requirements of Oregon Law 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. •
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113 •
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AUDITORS' COMMENTS AND DISCLOSURES (CONTINUED)
INVESTMENTS
The City's investments for the year ending June 30, 2005 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, 2005.
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.
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CITY OF TIGARD •
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SETTING THE STANDARD FOR SERVICE •
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EXCELLENCE •
We are committed to: •
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PARTICIPATION •
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Citizens and employees working together
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INNOVATION •
Consider and respect ideas •
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RESPONSIVENESS •
Accurate and timely •
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COMMUNICATION. •
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Open and clear •
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COURTESY •
To all
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