CAFR Report - 1995-1996
' CITY OF TIGARD
OREGON
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~ CITY OF TIGARD, OREGON
1 COMPREHENSIVE ANNUAL
~ FINANCIAL REPORT
' FOR THE FISCAL YEAR ENDED
JUNE 30, 1996
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CITY OF TIGARD, OREGON
COMPREHENSIVE ANNUAL FINANCIAL REPORT
for the fiscal year ended June 30, 1996
prepared by the City of Tigard - Finance Department
City of Tigard, Oregon
Table of Contents
Page
INTRODUCTORY SECTION:
Letter of Transmittal i-ix
Mayor and City Council Members x
Organizational Chart xi
Certificate of Achievement for Excellence in Financial Reporting xii
FINANCIAL SECTION:
Report of Independent Accountants 1
GENERAL PURPOSE FINANCIAL STATEMENTS
("Liftable" Financial Statements):
Combined Balance Sheet - All Fund Types and Account Groups 3
Combined Statement of Revenues, Expenditures and Changes
in Fund Balances - All Governmental Fund Types 4
Combined Statement of Revenues, Expenditures and Changes
in Fund Balances - Budget and Actual - All Governmental
Fund Types 5
Combined Statement of Revenues, Expenses and Changes in
Retained Earnings/Fund Balances - All Proprietary Fund Types
and Similar Trust Funds 6
Combined Statement of Cash Flows - All Proprietary Fund Types -
Enterprise Funds 7
Notes to General Purpose Financial Statements 8-28
SUPPLEMENTARY DATA (Combining and Individual Fund and
Account Group Statements and Other Financial Schedules):
General Fund:
Schedule of Revenues and Expenditures - Budget and Actual 29
Special Revenue Funds:
Combining Balance Sheet 30
Combining Statement of Revenues, Expenditures and Changes in
Fund Balances 31
Schedules of Revenues and Expenditures - Budget and Actual:
Forfeitures From Criminal Activity Fund 32
State Tax Street Fund 33
Parks SDC Fund 34
County Gas Tax Fund 35
Traffic Impact Fund 36
Electrical Inspection Fund 37
Underground Utility Fund 38
' City of Tigard, Oregon
Table of Contents
1 Page
FINANCIAL SECTION, Continued:
SUPPLEMENTARY DATA (Combining and Individual Fund and Account
Group Statements and Other Financial Schedules), Continued:
Special Revenue Funds, Continued
Schedules of Revenues and Expenditures - Budget and Actual, Continued:
FEMA Disaster Fund 39
Workers' Compensation Fund 40
Building Fund 41
Debt Service Funds:
Combining Balance Sheet 42
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances 43
Schedule of Revenues and Expenditures - Budget and Actual:
General Obligation Bond Debt Service Fund 44
Certificate of Participation Debt Service Fund 45
Bancroft Bond Debt Service Fund 46
Capital Projects Funds:
Combining Balance Sheet 47
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances 48
Schedule of Revenues and Expenditures - Budget and Actual:
Local Improvement Capital Projects Fund 49
Park Levy Capital Improvement Fund 50
Bull Mountain Road Improvement Fund 51
Facility Fund 52
Metro Greenspaces Fund 53
Enterprise Funds:
Combining Balance Sheet 54
Combining Statement of Revenues, Expenses and Changes
in Retained Earnings 55
Combining Statement of Cash Flows 56
Schedule of Revenues and Expenditures - Budget and Actual:
Sewer Fund 57
Storm Drainage Fund 58
Water Quality & Quantity Fund 59
City of Tigard, Oregon '
Table of Contents
Page
FINANCIAL SECTION Continued:
SUPPLEMENTARY DATA (Combining and Individual Fund and Account
Group Statements and Other Financial Schedules), Continued:
Enterprise Funds, Continued:
Schedule of Revenues and Expenditures - Budget and Actual, Continued:
Water General Fund 60
Water Systems Development Fund 61
Water Capital Projects Fund 62
Fiduciary Funds:
Combining Balance Sheet 63
Pension Trust Funds:
Combining Balance Sheet 64
Combining Statement of Revenues, Expenses and Changes
in Fund Balance 65
Statement of Changes in Assets and Liabilities - Agency Fund -
Deferred Compensation Fund 66
General Fixed Assets Account Group:
Schedule of General Fixed Assets - By Sources 67
Schedule of General Fixed Assets - By Function and Activity 68
Schedule of Changes in General Fixed Assets - By Function and Activity 69
Other Schedules:
Schedule of Property Tax Transactions and Outstanding Balances 70
Schedule of Bond and Bond Interest Transactions 71
Schedule of Future Debt Service Requirements of
Bancroft Improvement Bonds 72
Schedule of Future Debt Service Requirements of
General Obligation Bonds 73
STATISTICAL SECTION:
General Governmental Expenditures by Function - Budgetary Basis -
for the last ten fiscal years 74
General Governmental Revenues by Sources - Budgetary Basis -
for the last ten fiscal years 75
Property Tax Levies and Collections - for the last ten fiscal years 76
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' City of Tigard, Oregon
Table of Contents
Page
STATISTICAL SECTION, Continued:
Assessed Value of Taxable Property - for the last ten fiscal years 77
Property Tax Rates - Direct and Overlapping Governments -
for the last ten fiscal years 78
Special Assessment Collections - for the last ten fiscal years 79
Ratio of Net General Bonded Debt to Assessed Value and
Net Bonded Debt Per Capita - for the last ten fiscal years 80
Computation of Legal Debt Margin - June 30, 1996 81
Computation of Overlapping General Obligation Debt -
June 30, 1996 82
Ratio of Annual Debt Service Expenditures for Long-Term
Debt to Total General Governmental Expenditures -
for the last ten fiscal years 83
r Property Value, Construction and Bank Deposits -
for the last ten fiscal years 84
Principal Taxpayers - June 30, 1996 85
Demographic Statistics - for the last ten fiscal years 86
Miscellaneous Statistical Data - June 30, 1996 87
AUDIT COMMENTS AND DISCLOSURES REQUIRED BY
STATE REGULATIONS:
Introductory Comments 88
Internal Control Structure 89
Other Comments and Disclosures 90
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CITY of ncnRO OREGON
INTROD SEC ON
CITY OF TIGARD
November 6, 1996 OREGON
Honorable Mayor and Members of the City Council
City of Tigard, Oregon
Submitted herewith is the Comprehensive Annual Financial Report of the City of Tigard (the City)
for the fiscal year ended June 30, 1996. This report was prepared by the City's Finance Department.
Responsibility for both the accuracy of the presented data and the completeness and fairness of
presentation, including all disclosures, rests with the City. We believe the data, as presented, is
accurate in all material respects and is presented in a manner designed to fairly set forth the financial
position and results of operations of the various funds and account groups of the City. All
disclosures necessary to enable the reader to gain the maximum understanding of the City's financial
' activities have been included.
The Comprehensive Annual Financial Report is presented in four sections: introductory, financial,
statistical and audit comments and disclosures. The introductory section includes this transmittal
r letter, the City's organizational chart and a list of principal officials. The financial section includes
the general purpose financial statements and the combining and individual fund and account group
' financial statements and schedules. The statistical section includes selected financial and
demographic information, generally presented on a multi-year basis. The audit comments and
disclosures section contains audit comments and disclosures required by State regulations.
This report includes all funds and account groups of the City under the direction of the City Council.
The City provides a full range of services including police protection; sewer, storm drainage, streets
and parks repair and maintenance; community planning and building inspection; and infrastructure
improvements. Tigard/Tualatin School District, Tualatin Valley Water District, and the Tualatin
Valley Fire and Rescue District have not met the established criteria for inclusion in this reporting
entity and, accordingly, are excluded from this report.
Economic Condition and Outlook
The City of Tigard is located in Eastern Washington County just 12 miles southwest of downtown
Portland, Oregon. Tigard has continued to be one of the fastest growing cities in Washington
County and, with a population of approximately 36,000, is the eleventh largest City in the State.
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13125 SW Hall Blvd., P.O. Box 23397, Tigard, Oregon 97223 (503) 639-4171
Over the past several years, new construction activity has remained strong. The average addition to
assessed value from new construction from 1988 through 1993 was $55,148,000. New construction
value since 1993 has averaged $108,863,000 per year. Projections for the next several years
indicates continued strength in new development. ,
The residential share of new value has averaged over $30,858,000 over the past several years but has
exceeded $52,674,000 since 1992/93. Residential construction value added in 1995/96 was
$60,957,416. This included permits for 334 new homes with an average value per home of
$182,507. There were permits for 162 multi-family units issued in 1995/96 with a value of
$4,977,966. '
Commercial activity continued strong with $34,644,201 of new construction value added in 1995/96;
1996/97 promises to be another strong year for new construction value and development in Tigard.
Tigard's proximity to the Portland Metropolitan area provides its citizens with many diverse
employment opportunities. Over 74,000 jobs are located within a ten minute drive from Tigard. The
unemployment rate in the Portland Metropolitan area averaged just under 4.20% during the year.
Tigard's assessed value for 1995/96 was $2,735,213,090, which represents an 11% increase over the
previous year. The projected assessed value for 1996/97 is $3,111,300,000, which represents a
13.7% increase. This continued growth in assessed value, together with prudent fiscal management,
has allowed the City to provide quality services at a very low tax rate. The total property tax rate
resulting from City levies in 1995/96 was $2.18 per thousand of assessed value.
The economic outlook for the City remains good. The City has continued to experience growth in
most areas including the local economy, population, assessed value and development activity. '
Major Initiatives '
The City has operated since 1980 using a five-year financial plan. Each plan sets forth the activities
and services that will be provided to citizens over the next five-year period. Along with the services
to be provided, the plan calls for a certain level of property taxation to support those services.
Before each five-year plan has been implemented, voters have had the opportunity to decide whether
to support the needed level of taxes. Tigard voters have supported the last four such property tax
increase requests since 1980.
The most recent request was placed on the November 1994 ballot and was passed by Tigard voters.
The measure called for a $1,700,000 increase in the tax base. The new levy authority will be levied
in 1996/97. The five-year plan, which covers the operation of the City from 1996/97 through
2000/01 calls for the addition of eighteen police positions over the life of the plan. Several of the
new police positions were hired in 1995/96 in anticipation of the beginning of the new plan in
1996/97.
City management and elected officials use the five-year plan to evaluate annual financial decisions
and their future impacts. Each budget presented to the budget committee includes a comparison to
the plan to ensure that the intent of the plan is continued from year to year.
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' The Pacific Corporate Center development continues to progress. This development is the result of a
Local Improvement District that was used to install streets and other infrastructure. Since the
completion of the improvements in 1990, over 300,000 square feet of prime office space has been
built. Recently added to the development is a Marriot Hotel with 110 guest rooms. Other additions
include restaurants, banks and additional new office and retail space.
The Dartmouth Local Improvement District project was completed in the summer of 1994. The road
improvement provided a connection between Highway 99W and Interstate 5 in an area referred to as
the Tigard Triangle. This opened up hundreds of acres of raw land for commercial development.
Cub Foods and Costco have opened for business with over 220,000 square feet of retail space. An
additional 23,000 square feet of retail space was added with the opening of an Office Max office
supply discount store.
Although the improvements are complete, the City has not acquired a portion of the street
right-of-way due to a dispute with a property owner. As a result, the final costs of the project have
not yet been determined. Construction financing matures on June 1, 1997 at which time the
obligations will be rolled over or converted to long-term bonds.
From a development perspective, both of these Local Improvement Districts have been very
successful in attracting high value commercial development. It is estimated that the total value at
build out from both areas will exceed $40,000,000. The costs of the improvements which have been
or will be assessed to the benefiting property owners is just under $6,500,000.
During 1995/96, discussions began on the possible expansion of Cook Park, the City's major
recreational facility which includes ball fields, playgrounds, boating facilities, and natural areas. The
expansion of the park will involve the acquisition of additional land adjacent to the park and the
development of additional soccer, baseball and football fields along with restroom facilities and
parking. The project is currently envisioned as a cooperative effort between the City and various
sports associations. A study is currently underway to determine the scope of the project and
improvements which will be funded with Park System Development Charges and will be maintained
' by General Fund dollars.
The Washington County Cooperative Library System (WCCLS) is discussing a ballot measure for
the spring of 1997 to fund over $30,000,000 in County-wide library facilities expansion and
improvements. Tigard's share of the five year serial levy is estimated at $3,800,000. If the levy
proposal moves forward and is approved by voters, Tigard's share of the funds will be used to
expand the current library facility or acquire land and build a new library to meet the growing
demand.
' The Portland Metropolitan Area was hit hard by a wind storm in December 1995 and by flood and
heavy rains in February 1996. The City activated it's Emergency Operations Center for both
disasters and both events were declared disasters for Federal Emergency Management Agency
' (FEMA) reimbursement purposes. City crews and contractors worked through the spring to restore
Cook park to its prestorm condition by the summer season. The park was completely submerged for
several weeks by the waters of the swollen Tualatin River. Total estimated costs eligible for FEMA
' reimbursement were just over $200,000. The City expects to receive FEMA funds in 1996/97.
III
The City commissioned a water rate study during the 1995/96 fiscal year. The purpose of the study
was to review the adequacy of the water rate structure, update water system development charges
and meter installation fees. The CH2M Hill study found that the current water rate structure was
adequate but recommended that system development charges and installation fees be increased and
the water rate structure be changed to eliminate the minimum charge and to charge for water usage
by customer class on a cost of service basis. The City Council approved the changes to become
effective January 1, 1997.
The City of Tigard's motion for summary judgment in the Dolan/A-Boy case was denied and the
motion of the plaintiff was granted. This case stems from a development application in the early ,
1990's for the expansion of the A-Boy store on Main street. The City required the applicant to
dedicate a strip of land in the flood plain for a bike path as a condition of approval. The applicant
refused to donate the property. The taking claim was judged in the City's favor until it reach the U.S.
Supreme court which ruled five to four in favor of the applicant. The applicant has sued the City on
several issues for a substantial amount of money citing lost profits and other damages. The granting
of the applicant's motion for summary judgment indicates that the court found a taking had occurred.
A jury trail is scheduled for March 1997 which will decide the City's obligation to the applicant
which currently cannot be estimated.
At the November 1996 election, a citizen initiative to reduce property taxes known as measure 47
was approved by voters. Most properties in the state have experienced dramatic increases in
assessed values over the past several years which have resulted in rapidly increasing property taxes
to schools. The measure rolls back the property tax on individual properties for 1997/98 to the
1995/96 level less 10%. Future increases are then limited to 3% per year. The impact of this
measure on the City has been estimated at a loss of $2,000,000 per year in general fund tax revenues.
Although many questions have arisen as to how the measure will be implemented which will impact
the magnitude of the revenue loss, the projected loss to the City will have serious affects on the
City's ability to fund General Fund programs at current levels. Taxes to pay debt service on
outstanding bonds are generally uneffected by the measure.
The City of Tigard finished 1995/96 in a strong financial position. Ending fund balances for most ,
funds were greater than estimated. Outstanding debt is decreasing as are property tax rates.
Assessed value continues to increase and development activity remains strong. All of these things
taken together make Tigard one of the most financially viable communities in the State and well
situated to deal with the significant loss of tax revenue projected as a result of measure 47.
Financial Information
Management of the City is responsible for establishing and maintaining an internal control system
designed to ensure that the assets of the City are protected from loss, theft or misuse and to ensure
that adequate accounting data is compiled to allow for the preparation of financial statements in
conformity with generally accepted accounting principles. The internal control system is designed to
provide reasonable, but not absolute, assurance that these objectives are met. The concept of ,
reasonable assurance recognizes that: (1) the cost of a control should not exceed the benefits likely to
be derived; and (2) the valuation of costs and benefits requires estimates and judgments by
management.
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' Budgeting Controls
In addition, the City maintains budgetary controls, the objective of which is to ensure compliance
with legal provisions in the annual appropriated budget adopted by the Tigard City Council.
Activities of all funds are included in the annual adopted budget. The level of budgetary control
(that is, the level at which expenditures cannot legally exceed the appropriated amount) is
' established by program within each individual fund.
As demonstrated by the statements and schedules included in the financial section of this report, the
City continues to meet its responsibility for sound financial management.
General Governmental Functions
Revenues for general governmental functions (all governmental funds) on a generally accepted
' accounting principles basis totaled $16,171,143 in fiscal year 1996. The 7.87% increase from fiscal
year 1995 resulted primarily from increases in intergovernmental revenues, franchise fees and an
increase in licenses and permits. Revenues from various sources and changes from last year are
shown below:
Increase/
Precent (Decrease) Percent
of from Fiscal Increase/
Functions Amount Total Year 1995 (Decrease)
Taxes $ 5,860,948 36.24 % $ (246,168) (4.03)%
Franchise fees 1,669,784 10.33 223,625 15.46
Special assessments 218,667 1.35 72,119 49.21
Licenses and permits 2,655,271 16.42 310,885 13.26
Intergovernmental revenues 3,717,655 22.99 367,041 10.95
Charges for services 357,571 2.21 (61,394) (14.65)
Fines and forfeitures 304,246 1.88 (21,724) (6.66)
Miscellaneous revenues 1,387,001 8.58 535,557 62.90
Total $ 16,171,143 100.00 % $ 1,179, 941 7.87 %
Property tax revenue decreased over last year due to the expiration of the Parks Serial Levy.
Franchise fees from public utilities and licenses and permits have increased due to growth in
development activity. Intergovernmental revenues have also increased due to growth in population
and growth in library circulation. The increase in miscellaneous revenue is primarily related to
donations, a workers' compensation refund, proceeds from sale of a building and an increase in
interest revenue.
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The following schedule presents a summary of Program Expenditures for all governmental funds ,
including debt service for the fiscal year ended June 30, 1996, and the changes from last year:
Increase/ '
Percent (Decrease)
of from Fiscal Percent
Functions Amount Total Year 1996 Increase
Community services $ 6,073,218 32.25 % $ 417,090 7.37 %
Development services 3,230,316 17.15 485,080 17.67
Policy and administration 1,482,194 7.87 149,564 11.22
Nondepartmental 286,618 1.52 10,423 3.77
Capital improvements 2,608,934 13.85 736,343 39.32 '
Debt service 5,152,515 27.36 2,764,454 115.76
$ 18,833,795 100.00 % $ 4,562,954 31.97 %
Total expenditures increased 31.97% from the previous year. The increase is mostly attributable to
debt service and capital project expenditures. Debt service expenditures included the refinancing of
the Dartmouth Bond Anticipation notes. Increase in operating programs are due to the addition of
staff called for in the five-year plan and the filling of vacant positions from the previous year.
Capital projects vary from year to year depending on weather and bid schedules.
Fund Balances
Total unreserved fund balances of the City were $5,403,320 at June 30, 1996, consisting of
$4,007,233 in the General Fund, $3,301,112 in the Special Revenue Funds, $(2,865,898) in the
Debt Service Funds, and $960,873 in the Capital Projects Funds.
The deficit in the Debt Service Fund is a result of bond anticipation notes, sold during the year, ,
which are due on June 1, 1997 and therefore recorded as a liability in the fund as opposed to the
General Long-Term Debt Account Group. The deficit will be eliminated by the issuance of
long-term debt.
The total reserved and unreserved fund balance in the General Fund at June 30, 1996 is $4,197,570
which is $592,871 greater than last year.
Enterprise Operations
The City's enterprise activities include sanitary sewer, storm sewer and water operations. Although
the Unified Sewerage Agency (USA) owns and operates sewage treatment plants and sets the sewer
rates, the City bills sewer accounts and maintains all sewer lines within the City. The City also
maintains the storm sewer system throughout the City and charges a monthly surface water fee at a ,
rate set by the Regional Surface Water Management Agency, a regional entity affiliated with USA.
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Sewer operating revenues derived from service charges amounted to $1,418,588. Operating
expenses totaled $1,192,331 resulting in net income of $413,930 after nonoperating interest
revenues totaling $187,673.
Storm drainage operating revenues amounted to $1,043,571. Storm drainage operating expenses
totalled $873,337 resulting in a net income of $261,255 after nonoperating interest revenues totaling
' $91,021.
Water operating revenues derived from user charges amounted to $3,988,982. Operating expenses
totaled $3,467,860 resulting in net income of $972,054 after nonoperating interest revenues totaling
$450,932.
' Pension Trust Funds
' The City provides a retirement plan for each employee group. Non-police personnel, including both
management and non-management, are covered by ICMA money purchase plans. Effective July 1,
1989, police personnel were included in the State of Oregon Public Employes Retirement System.
In addition, all employees have the option to contribute to an ICMA deferred compensation
program. The money purchase plans are accounted for in a pension trust fund. The deferred
compensation plan is accounted for in an agency fund.
Cash Management
Temporarily idle cash during the year was invested in accordance with the investment policy in
certificates of deposit, banker's acceptances, commercial paper, U.S. Treasury Notes and Agencies,
and the State of Oregon Local Government Investment Pool as approved by the Council. Pension
trust funds are invested by the agents with which investment funds have been deposited and are
therefore not included in the City's investment activities.
Results of investment activity for the fiscal year are shown below in comparison with the previous
year:
Investment Income 1996 1995
' General Fund $ 256,052 $ 186,552
Special Revenue Funds 193,710 155,571
Capital Projects Funds 85,410 49,280
1 Debt Service Funds 67,878 53,247
Enterprise Funds 729,626 481,766
Pension Trust Fund 448,540 331,506
$ 1,781,216 $ 1,257,922
' The objective of the City's investment policy is to provide for the preservation of City assets, to
ensure such assets are available to meet obligations and to provide for a reasonable rate of return on
' those assets.
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Risk Management '
The City has initiated a Risk Management Program to include regular risk categories such as
property and liability as well as workers' compensation. Such risks are currently being insured by
third party insurance companies, however, participation in insurance pools and/or self insurance is
being discussed.
Debt Management ,
At June 30, 1996, the City has the following debt issues outstanding:
General obligation bonds $ 5,350,000 '
Bancroft improvement bonds 1,445,000
Bond anticipation notes 4,085,000
$ 10,880,000
The State of Oregon mandates a general obligation debt limit of 3 percent of true cash value of ,
taxable property within the City boundaries. The limit totaled $82,056,393 at June 30, 1996. The
City's net debt subject to this limit was $5,350,000. Bancroft Bonds are not subject to the limitation.
Therefore, $76,706,393 is available for future indebtedness.
The City has an Al bond rating from Moody's Investment Services on its general obligation bonds.
Independent Audit
Oregon State Law requires every municipal corporation to submit an annual financial report to the
Secretary of State; to have its combined financial statements audited by an independent certified ,
public accountant in accordance with generally accepted auditing standards and Minimum Standards
for Audits of Oregon Municipal Corporations as prescribed by the Secretary of State in cooperation
with the Oregon State Board of Accountancy; and to have an independent auditor express an opinion ,
upon the financial position, results of operations and cash flows as reported by the municipal
corporation for the period under audit. The City is in full compliance with the aforementioned ,
requirements, and the auditor's opinion has been included in this report.
Awards ,
For the last thirteen consecutive years, the City has received the Certificate of Achievement for
Excellence in Financial Reporting from the Government Finance Officers Association of the United
States and Canada. In order to be awarded a Certificate of Achievement for Excellence, a
governmental unit must publish an easily readable and efficiently organized comprehensive annual
financial report, which conforms to program standards. Such reports must satisfy both generally
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accepted accounting principles and applicable legal requirements. In our opinion, this report
conforms to these standards.
A Certificate of Achievement is valid for a period of one year only. We believe that our current
comprehensive annual financial report continues to meet the Certificate of Achievement Program's
requirements and we are submitting to the GFOA to determine its eligibility for another certificate.
t In addition, the City also received the GFOA's Award for Distinguished Budget Presentation for its
last seven adopted budgets. In order to qualify for the Distinguished Budget Presentation Award, the
government's budget document was judged to be proficient in several categories including policy
document, financial plan, operations guide and communications device.
Acknowledgements
' The preparation of the comprehensive annual financial report was made possible by the dedicated
service of the entire staff of the Finance Department. Each member of the Department has our
sincere appreciation for the contributions made in the preparation of this report.
In closing, without the leadership and support of the City Council of the City of Tigard, preparation
of this report would not have been possible.
Sincerely,
William A. Monahan Wayne Lowry
City Administrator Director of Finance
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CITY OF TIGARD
OREGON '
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' City of Tigard, Oregon
MAYOR AND COUNCIL MEMBERS AS OF JUNE 30,1996
Name Term Expires
Mayor James Nicoli December 31, 1998
10594 S.W. Windsor Ct.
' Tigard, Oregon 97223
Councilor Paul Hunt December 31, 1996
10320 S. W. Century Oak Drive
' Tigard, Oregon 97224
Councilor Bob Rohlf December 31, 1998
' 12430 S.W. North Dakota
Tigard, Oregon 97223
Councilor Brian Moore December 31, 1996
9835 S.W. Kimberly Drive
Tigard, Oregon 97224
Councilor Ken Scheckla December 31, 1998
10890 S.W. Fairhaven Way
' Tigard, Oregon 97223
William A. Monahan, City Administrator
Wayne Lowry, Director of Finance
' Cyndi A. Turner, Financial Operations Manager
' LEGAL COUNSEL
O'Donnell, Ramis, Crew, Corrigan, & Bachrach
' 1727 N.W. Hoyt
Portland, Oregon 97209
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City of Tigard, Oregon ,
Organization Chart
Mayor
b City Council
City '
Administrator
Firtanee
Police L J Library Maintenance Community Engineering City
Services Development Administration
Administration Administration Administration Administration Egineering City Analyst '
Recorder
Operations Readers Sanitary Building Stir Community
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Services Sewer Inspection Lights/Signals Involvement Accounting
Investigations Technical Storm Current Human Office '
Services Sewer Planning Resources Services
Advance Risk
Support Circulation Water Records
Svcs Planning Managment
Street Municipal
'
Traffic Maintenance Court
Shops ,
8 Services
Property
Management )(i
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1 Certificate of
Achievement
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for Excellence
in Financial
1 Reporting
' Presented to
City of Tigard,
Oregon
' For its Comprehensive Annual
Financial Report
for the Fiscal Year Ended
June 30, 1995
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.
NCE OffjCc~
~ NREO STATES ~ ~
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CANADA w
Preside
CORPORATION
CAICA6~
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Executive Director
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CITY of ncaRO ~
OREGON '
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VIN ANCIAL
SECTION
' coo ers Coopers & Lybrand L.L.P.
& Ly rand a professional services firm
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Report of Independent Accountants
Honorable Mayor and Council Members
City of Tigard
1 Tigard, Oregon
We have audited the general purpose financial statements of the City of Tigard, Oregon as of and for
the year ended June 30, 1996, as listed in the table of contents. These general purpose financial
statements are the responsibility of the City's management. Our responsibility is to express an
opinion on these general purpose financial statements based on our audit.
1 We conducted our audit in accordance with generally accepted auditing standards and Government
Auditing Standards, issued by the Comptroller General of the United States. Those standards require
that we plan and perform the audit to obtain reasonable assurance about whether the general purpose
' financial statements are free of material misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the general purpose financial statements. An
1 audit also includes assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall general purpose financial statement presentation. We
believe that our audit provides a reasonable basis for our opinion.
' In our opinion, the general purpose financial statements referred to above present fairly, in all
material respects, the financial position of the City of Tigard, Oregon as of June 30, 1996, and the
1 results of its operations and cash flows of its Enterprise Funds for the year then ended in conformity
with generally accepted accounting principles.
In accordance with Government Auditing Standards, we have also issued reports dated October 4,
1996 on our consideration of the City of Tigard, Oregon's internal control structure and on its
compliance with laws and regulations.
' Our audit was made for the purpose of forming an opinion on the general purpose financial
statements taken as a whole. The combining and individual fund and account group statements and
other financial schedules listed as supplementary data in the table of contents are presented for
' purposes of additional analysis and are not a required part of the general purpose financial statements
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' Coopers & Lybrand L.L.P. is a member of Coopers & Lybrand International, a Swiss limited liability association.
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of the City of Tigard, Oregon. Such information has been subjected to the auditing procedures ,
applied in the audit of the general purpose financial statements and, in our opinion, is fairly
presented in all material respects in relation to the general purpose financial statements taken as a
whole. '
The other data included in this report, designated as the statistical section in the table of contents, has
not been audited by us and, accordingly, we express no opinion on such data.
COOPERS & LYBRAND L.L.P. ,
By 9U4-L 0'
Brent A. Macey, a partner
Portland, Oregon
October 4, 1996, except for Note 12 as to
which the date is November 5, 1996 ,
2 '
1
General Purpose Financial Statements
City of Tigard
Combined Balance Sheet
All Fund Types and Account Groups
June 30, 1996
Governmental
Special
ASSETS AND OTHER DEBITS General Revenue
Assets:
Cash and investments $ 4,472,547 $ 3,606,585
Restricted cash and investments
Accounts receivable 26,400
Property taxes receivable 179,771
Assessment liens receivable 200,418
Due from other funds 212,872
Accrued interest on delinquent assessments
Prepaid insurance 133,520
Inventories 56,817
Fixed assets, net
Amount to be provided for retirement of general
long-term debt
Total assets and other debits $ 5,081,927 $ 3
LIABILITIES, FUND EQUITY
AND OTHER CREDITS
Liabilities:
Accounts payable and accrued liabilities $ 610,397 $ 62,916
Customer deposits 141,973
Deferred revenues:
Property taxes 131,987
Assessment liens receivable 188,869
Accrued interest on delinquent assessments
Due to other funds 215,906
Contractor deposit 38,200
Bond anticipation notes payable
Accrued vacation payable
Deferred compensation payable
General obligation bonds payable
Special assessment bonded debt with
government commitment
Total liabilities 884,357 505,891
Fund equity and other credits:
Contributed capital
Investment in general fixed assets
Retained earnings
Fund balances:
Reserved for prepaid insurance 133,520
Reserved for inventory 56,817
Reserved for employee retirement benefits
Unreserved and designated for debt service
Unreserved and undesignated 4,007,233 3,301,112
Total fund equity and other credits 4,197,570 3,301,112
Total liabilities, fund equity and other credits $ 5,081,927 $ 3,807,003
The accompanying notes are in integral part of the general purpose financial statements.
3
Fiduciary Account Groups
Fund Types Proprietary Fund Type General Total
' Debt Capital Fund Type Trust General Long-Term (Memorandum
Service Projects Enterprise and Agency Fixed Assets Debt Only)
$ 371,696 $ 2,010,581 $ 8,468,154 $ 6,731,980 $ 25,661,543
5,372,384 5,372,384
1,503,579 1,529,979
69,949 5,667 245,387
1,642,653 3,839 1,846,910
4,810 217,682
59,276 59,276
133,520
106,300 163,117
31,364,153 $ 10,940,396 42,304,549
$ 7,165,722 7,165,722
$ 2,133,574 $ 2,016,248 $ 46,823,219 $ 6,731,980 $ 10,940,396 $ 7,165,722 $ 84,700,069
$ 216,971 $ 1,162,397 $ 2,052,681
137,670 279,643
$ 45,554 4,628 182,169
1,641,642 3,839 1,834,350
59,276 59,276
1,776 217,682
38,200
3,253,000 832,000 4,085,000
94,774 $ 370,722 465,496
$ 2,030,140 2,030,140
5,350,000 5,350,000
1,445,000 1,445,000
4,999,472 1,055,375 1,398,680 2,030,140 7,165,722 18,039,637
39,292,945 39,292,945
$ 10,940,396 10,940,396
1 6,131,594 6,131,594
133,520
56,817
4,701,840 4,701,840
(2,865,898) (2,865,898)
960,873 8,269,218
(2,865,898) 960,873 45,424,539 4,701,840 10,940,396 66,660,432
$ 2,133,574 $ 2,016,248 $ 46,823,219 $ 6,731,980 $ 10,940,396 $ 7,165,722 $ 84,700,069
CITY OF TIGARD
OREGON
i
1
1
1
City of Tigard, Oregon
' Combined Statement of Revenues, Expenditures and Changes
in Fund Balances -All Governmental Fund Types
for the fiscal year ended June 30, 1996
Total
1 Special Debt Capital (Memorandum
General Revenue Service Protects Only)
Revenues:
Taxes $ 4,436,503 $ 1,416,070 $ 8,375 $ 5,860,948
Franchise fees 1,669,784 1,669,784
Special assessments 216,667 218,667
Licenses and.permits 1,347,668 $ 1,307,603 2,655,271
Intergovernmental revenues 1,861,254 1,727,864 128,537 3,717,655
Charges for services 131,201 226,370 357,571
Fines and forfeitures 304,246 304,246
Private donations 100,000 100,000
Miscellaneous revenues 403,566 361,064 239,816 282,555 1,287,001
Total revenues 10,154,222 3,622,901 1,874,553 519,467 1.6,171,143
Expenditures:
' Current
Community services 6,053,257 19,961 6,073,218
Development services 1,849,371 1,380,945 3,230,316
Policy and administration 1,276,064 206,130 1,482,194
Nondepartmental 248,952 37,666 286,618
Capital improvements 133,707 1,967,099 508,128 2,608,934
Debt service 5,152,515 5,152,515
Total expenditures 9,561,351 _ 3,611,801 5,152,515 508,128 18,833,795
' Revenues over (under) expenditures 592,871 11,100 (3,277,962) 11,339 (2,662,652)
Other financing sources (use):
Operating transfer out (10,043) (10,043)
Operating transfer in 10,043 10,043
Total other financing sources (10,043) 10,043
Revenues and other sources over (under)
expenditures 592,871 11,100 (3,288,005) 21,382 (2,662,652)
Fund balances - beginning of year (Note 13) 3,604,699 3,290,012 422,107 939,491_ 8,256,309
Fund balances - end of year $ 4,197,570 $ 3,301,112 $ 2,865 898 960,873 $ 5,593,657
The accompanying notes are an integral part of the general purpose financial statements.
4
City of Tigard, Oregon
Combined Statement of Revenues, Expenditures and Changes '
in Fund Balances - Budget and Actual - All Governmental Fund Types
for the fiscal year ended June 30, 1996
General Fund Special Revenue Funds
Variance Variance
Favorable Favorable
Revised (Unfavor- Revised (Unfavor-
Budget Actual able) Budget Actual able)
Revenues:
Taxes $ 4,390,200 $ 4,436,503 $ 46,303 ,
Franchise fees 1,561,200 1,669,784 108,584
Special assessments
Licenses and permits 1,099,730 1,347,668 247,938 $ 1,218,250 $ 1,207,603 $ (10,647)
Intergovernmental revenues 1,788,770 1,861,254 72,484 1,700,000 1,727,864 27,864
Charges for services 121,350 131,201 9,851 222,000 226,370 4,370
Fines and forfeitures 315,600 304,246 (11,354)
Private donations
Miscellaneous revenues 198,406 403,566 205,160 438,450 289,601 (148,849) '
Total revenues 9,475,256 10,154,222 678,966 3,578,700 3,451,438 (127,262)
Expenditures:
Current:
Community services 6,426,461 6,053,257 373,204 37,000 19,961 17,039
Development services 2,060,277 1,849,371 210,906 1,496,176 1,380,945 115,231
Policy and administration 1,394,486 1,276,064 118,422 205,600 206,130 (530)
Nondepartmental 304,680 248,952 55,728 46,098 37,666 8,432
Contingency 231,897 231,897 257,734 257,734
Capital improvements 291,300 133,707 157,593 4,183,810 1,967,099 2,216,711
Debt service
Total expenditures 10,709,101 9,561,351 1,147,750 6,226,418 3,611,801 2,614,617
Revenues over (under) expenditures (1,233,845) 592,871 1,826,716 (2,647,718) (160,363) 2,487,355
Other financing sources: '
Proceeds from issuance of bond
anticipation notes
Operating transfer in
Total other financing sources
Revenues and other financing sources
over (under) expenditures (1,233,845) 592,871 1,826,716 (2,647,718) (160,363) 2,487,355
Fund balances - budgetary basis,
beginning of year (Note 13) 3,300,000 3,604,699 304,699 2,689,250 3,290,012 600,762
Fund balances - budgetary basis,
end of year $ 2,066,155 4,197,570 $ 2,131,415 $ 41,532 3,129,649 $ 3,088,117
Adjustments to generally accepted accounting
principles basis:
Revenues in nonbudgeted funds 171,463
Operating transfer out of nonbudgeted fund
Proceeds from sale of bond anticipation
notes recorded as debt on a generally
accepted accounting principles basis
Fund balances - generally accepted accounting
principles basis, end of year $ 4,197,570 $ 3,301,112
The accompanying notes are an integral part of the general purpose financial statements.
5
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r
r _
Debt Service Funds Capital Projects Funds Total (Memorandum Only)
Variance Variance Variance
Favorable Favorable Favorable
(Unfavor- Revised (Unfavor- Revised (Unfavor-
Budget Actual able) Budget Actual able) Budget Actual able)
$ 1,505,163 $ 1,416,070 $ (89,093) $ 8,375 $ 8,375 $ 5,895,363 $ 5,860,948 $ (34,415)
1,561,200 1,669,784 108,584
206,721 218,667 11,946 206,721 218,667 11,946
2,317,980 2,555,271 237,291
$ 758,000 128,537 (629,463) 4,246,770 3,717,655 (529,115)
343,350 357,571 14,221
315,600 304,246 (11,354)
100,000 100,000 100,000 100,000
186,783 239,816 53,033 109,80_0_ 282,555 172,755 933,439 1,215,538 282,099
1,898,667 1,874,553 (24,114) 867,800 519,467 (348,333) 15,820,423 15,999,680 179,257
6,463,461 6,073,218 390,243
3,556,453 3,230,316 326,137
1,600,086 1,482,194 117,892
350,778 286,618 64,160
489,631 489,631
1,674,800 508,128 1,166,672 6,149,910 2,608,934 3,540,976
5,323,203 5,152,515 170,688 5,323,203 5,152,515 170,688
5,323,203 5,152,515 170,688 1,674,800 508,128 1,166,672 23,933,522 18,833,795 5,099,727
(3,424,536) (3,277,962) 146,574 (807,000) 11,339 818,339 (8,113,099) (2,834,115) 5,278,984
3,080,000 3,253,000 173,000 832,000 832,000 3,080,000 4,085,000 1,005,000
10,043 10,043 10,043 10,043
3,080,000 3,253,000 173,000 842,043 842,043 3,080,000 4,095,043 1,015,043
(344,536) (24,962) 319,574 (807,000) 853,382 1,660,382 (5,033,099) 1,260,928 6,294,027
380,000 422,107 42,107 807,000 939,491 132,491 7,176,250 8,256,309 1,080,059
5354_64 397,145 $ 361.681 $ mss- 1,792,873 1.792.873_ 2.143.151 9,517,237 7.3
171,463
(10,043) (10,043)
(3,253,000) (832,000) (4,085,000)
$ 2,865,898 9160,873 $ 5,593,657
1
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City of Tigard, Oregon
Combined Statement of Revenues, Expenses and
Changes in Retained Earnings/Fund Balances i
All Proprietary Fund Types and Similar Trust Funds
for the fiscal year ended June 30, 1996
Total
Pension (Memorandum
Enterprise Trust Only)
Operating revenues:
Service charges $ 6,289,875 $ 6,289,875
Contributions $ 610,141 610,141
Interest 448,540 448,540
Miscellaneous 161,266 161,266
Total operating revenues 6,451,141 1,058,681 7,509,822
Operating expenses:
Salaries and wages 2,541,315 2,541,315
Contracted services 40,803 40,803
General and administrative and other 1,572,177 1,572,177
Depreciation 1,379,233 1,379,233
Benefit payments and withdrawals 204,156 204,156
Total operating expenses 6,533,528 204,156 5,737,684
Operating income 917,613 854,525 1,772,138
Nonoperating revenues - interest 729,626 729,626
Net income 1,647,239 854,525 2,501,764 '
Add depreciation on fixed assets donated or
acquired from capital contributions that
reduces contributed capital 460,642 460,642
Increase in retained earnings 2,107,881 854,525 2,962,406
Retained earnings - beginning of year (Note 13) 4,254,251 3,847,315 8,101,566
Restatement (Note 6) (230,538) (230,538)
Retained earnings - end of year $ 6.131.594 $ 4.701.840 $ 10.833.434
The accompanying notes are an integral part of the general purpose financial statements.
6
City of Tigard, Oregon
Combined Statement of Cash Flows
All Proprietary Fund Types - Enterprise Funds
for the fiscal year ended June 30, 1996
Cash flows from operating activities:
Operating income $ 917,613
Adjustments to reconcile operating income to net cash provided by operating activities:
Depreciation 1,379,233
Increase in accounts receivable (117,004)
' Decrease in assessments receivable 1,122
Decrease in inventory 21,516
Increase in customer deposits 86,664
Increase in accounts payable and accrued liabilities 34,262
Increase in accrued vacation payable 3,609
Decrease in deferred revenue (1,050)
Increase in due from other fund (4,810)
Net cash provided by operating activities 2,321,155
' Cash flows from capital and related financing activities:
Capital contributions 918,559
Acquisition of fixed assets (946,158)
Net cash used in capital and related financing activities (27,599)
Cash flows from investing activities:
Interest earnings 729,626
Net increase in cash and cash equivalents 3,023,182
Cash and cash equivalents - beginning of year 10,817,356
Cash and cash equivalents - end of year $ 13,840,538
Supplemental schedule of noncash investing, capital and related financing activities:
Contributed sewer, storm and water lines $ 2,197,716
Restatement of fixed assets, net (Note 6) $ 230,538
Cash and cash equivalents are displayed on the balance sheet as follows:
Cash and investments $ 8,468,154
Restricted cash and investments 5,372,384
' $ 13,840,538
r The accompanying notes are an integral part of the general purpose financial statements.
' 7
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Vol
'I1
OF GARD
Cdr 1
OREGON
Notes to General Purpose Financial Statements
1
City of Tigard, Oregon
Notes to General Purpose Financial Statements
'
1. Summary of Significant Accounting Policies:
The City of Tigard, under its Charter of 1962, is governed by an elected mayor and four council
members who comprise the City Council. The City has no component units.
Measurement Focus '
The financial statements of the Governmental Fund Types are accounted for using a current
financial resources measurement focus. With this measurement focus, only current assets and
current liabilities generally are included on the combined balance sheet. Operating statements
of governmental funds present increases (revenues and other financing sources) and decreases
(expenditures and other financing uses) in net current assets. Agency funds do not present
operating results.
The Proprietary Fund Type (Enterprise Funds) and Pension Trust Fund are accounted for using
a flow of economic resources measurement focus. With this measurement focus, all assets and
all liabilities associated with the operation of these funds are included on the combined balance
sheet. '
Bases of Accounting
The Governmental Fund Types and Agency Fund are maintained on the modified accrual basis
of accounting. Under the modified accrual basis of accounting, revenues are recorded in the
accounting period in which they become measurable and available and expenditures are
recorded in the time liabilities are incurred.
Revenues which were measurable and available at June 30, 1996 under the modified accrual
basis of accounting were as follows: ,
• State, county, and local shared revenues for cigarette tax, liquor tax and other.
• Property tax revenues and assessment liens principal installments which are collected within
sixty days following year end.
The accrual basis of accounting is utilized by the Proprietary Fund Type and Pension Trust
Fund. Under this method, revenues are recorded when earned and expenses are recorded at the
time liabilities are incurred. The proprietary funds have applied all Financial Accounting
Standards Board (FASB) Statements and Interpretations, Accounting Principles Board
Opinions and Accounting Research Bulletins of the Committee and Accounting Procedure
issued on or before November 30, 1989, unless those pronouncements conflict with or
contradict Governmental Accounting Standards Board (GASB) pronouncements.
The bases of accounting described above are in accordance with generally accepted accounting
principles.
8
1
r City of Tigard, Oregon
Notes to General Purpose Financial Statements, Continued
r
1. Summary of Significant Accounting Policies, Continued:
Receivables
' Receivables for state, county and local shared revenues are recorded as revenue in the
Governmental Funds when they are determined to be measureable and available.
Receivables of the Enterprise Funds are recorded as revenue when earned.
Substantially all accounts receivable for sewer and water service are either current or less than
30 days delinquent and are considered collectible. Therefore, an allowance for uncollectible
' accounts has not been provided. All accounts receivable balances are due from customers
within the City's boundaries.
Property taxes receivable for the Governmental Fund Types which have been collected within
sixty days subsequent to year end are considered measurable and available and are recognized
as revenues. All other property taxes are offset by deferred property tax revenues and,
accordingly, have not been recorded as revenue. Property taxes become a lien and are levied on
July 1. Collection dates are November 15, February 15, and May 15 following the lien date.
Discounts are allowed if the amount due is received by November 15. Taxes unpaid and
outstanding on May 16 are considered delinquent. All property taxes received are due from
property owners within the City.
Assessments in the governmental funds are recognized as receivables at the time property
owners are assessed for property improvements. Assessments receivable collected within sixty
days after year end are considered measurable and available and are recognized as revenue. All
other assessments receivable are recorded as deferred revenue and, accordingly, have not been
recorded as revenue.
Accrued interest on delinquent assessments which has been collected within sixty days
subsequent to year end is considered measurable and available is recognized as revenue. The
remaining accrued interest on delinquent accounts is offset by a deferred revenue account and,
' accordingly, has not been recorded as revenue.
Inventories
Inventories of parts, materials and supplies are stated at the lower of cost or market on the
first-in, first-out basis and are charged to expenditures as used.
' Restricted Cash and Investments
Cash and investments which may only be used for construction of fixed assets in accordance
with applicable laws and regulations have been reported as restricted cash and investments on
the combined balance sheet.
r
9
City of Tigard, Oregon
Notes to General Purpose Financial Statements, Continued
1. Summary of Significant Accounting Policies, Continued:
Investments
Investments included in cash and investments are stated at amortized cost (cost plus
amortization of premium or discounts). Investments in the deferred compensation plans are
stated at market.
For purposes of the statement of cash flows, the City considers the Enterprise Funds' cash and
investments with remaining maturities of three months or less and the Oregon State Treasurer's
Investment Pool to be cash.
Enterprise Fund Fixed Assets ,
Purchased fixed assets are stated at historical cost or estimated historical cost when historical
cost is not available. Donated assets are recorded at fair market value on the date of donation.
Estimated fair market value of donated assets is determined based on the engineering estimates
of current cost or price indexed cost. Depreciation is computed on assets in service, using the
straight-line method over their estimated useful lives:
Buildings 40 years
Sewer System 40 years
Storm Drainage System 40 years
Water System 50 years '
Equipment 5 to 10 years
Autos and Trucks 6 years
Depreciation expense on fixed assets donated or acquired from capital contributions is '
recognized as a reduction of contributed capital. Such reduction is recorded by a transfer from
retained earnings.
Normal maintenance and repairs are charged to operations as incurred. Major additions,
improvements and replacements are capitalized. Gains or losses from sales or retirements of
fixed assets are included in operations.
General Fixed Assets
General fixed assets are stated at historical cost or estimated cost when historical cost is not ,
available. Fixed assets are charged to expenditures in the Governmental Fund Types as
purchased and capitalized in the General Fixed Assets Account Group. Maintenance and
repairs of fixed assets are charged to expenditures in the Governmental Fund Types as incurred
and are not capitalized. As fixed assets are disposed of, the historical cost or estimated
historical cost is removed from this account group; proceeds from sales of general fixed assets ,
are recorded as General Fund revenue. Depreciation is not computed on general fixed assets.
10
City of Tigard, Oregon
Notes to General Purpose Financial Statements, Continued
1. Summary of Significant Accounting Policies, Continued:
General Fixed Assets, Continued
Expenditures for public domain fixed assets (streets, sidewalks, curbs and gutters, lighting
systems and similar assets) that are immovable and of value only to the City as a governmental
unit are reported as expenditures as incurred and are not capitalized in the General Fixed Assets
' Account Group.
Long-Term Debt
' All unmatured long-term debt is recorded in the General Long-Term Debt Account Group.
Periodic principal and interest repayments on bonded debt are made from special assessments
and property tax levies and are recorded in the Debt Service Funds. Bond anticipation notes are
expected to be repaid by rolling over the bonds to new bond anticipation notes or by issuing
long-term Bancroft Bonds. The accrued vacation liability will be paid from the various
governmental funds. The City has no long-term debt in its Enterprise Funds.
Accrued Vacation Payable
Accumulated vested vacation pay is accrued in the Enterprise Funds as it is earned by
' employees. In Governmental Fund Types the amounts, if any, expected to be liquidated with
expendable available resources are accrued as liabilities of the funds and the amount payable
' from future resources is recorded in the General Long-Term Debt Account Group. Sick pay,
which does not vest, is recorded in all funds when leave is taken.
Contributed Capital
Contributed capital in the Enterprise Funds represents the accumulation of contributions in the
form of cash or other assets which generally do not have to be returned to the contributor. Such
contributions are recorded directly to contributed capital and, accordingly, are not recognized as
revenue. The following transactions are recorded in contributed capital in the Enterprise Funds:
' Receipts of federal and state grants for acquisition of fixed assets.
• Fixed assets contributed from other funds or the General Fixed Assets Account Group.
• Contributions from others for the acquisition or construction of fixed assets.
• Transfers from retained earnings for depreciation on fixed assets donated or acquired by
' contributed capital resources.
Meter installation and waterline hookup fees from customers and pipe installations by
developers.
11
City of Tigard, Oregon ,
Notes to General Purpose Financial Statements, Continued
1. Summary of Significant Accounting Policies, Continued:
Budget '
A budget is prepared for each governmental fund except for the Fiduciary Fund Types, in
accordance with the modified accrual basis of accounting for governmental funds, and on
the accrual basis of accounting for the Enterprise Funds, and in accordance with the legal
requirements set forth in Oregon Local Budget Law. Differences between revenues and
operating transfers on a budgetary basis and on a generally accepted accounting principles basis
consist of nonbudgeted revenues and operating transfers as reflected in the Combined
Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual - All '
Governmental Fund types.
The resolution authorizing appropriations sets the maximum level of expenditures for each
fund. Expenditure appropriations may not be legally overexpended. Appropriations lapse at
the end of each fiscal year. Appropriations are made at the major program level for each fund,
for example, Community Services, Public Works, Development Services, Policy and
Administration, Nondepartmental, Debt Service, Capital Improvements and Contingency. The
detail budget document, however, is required to contain more detailed information for the
above-mentioned expenditure categories. Budget amounts include original approved amounts '
and all subsequent appropriations transfers approved by the City Council. After budget
approval, the City Council may approve supplemental budgeted appropriations if an
occurrence, condition, or need exists which had not been ascertained at the time the budget was ,
adopted. A supplemental budget requires hearings before the public, publications in
newspapers and approval by the City Council. Original and supplemental budgets may be
modified by the use of appropriations transfers between the levels of control. Such transfers '
require approval by the City Council. Management may not amend the budget without Council
approval. During the fiscal year ended June 30, 1996, there were two supplemental budgets
and several appropriation transfers were made.
The budgets for each of the governmental funds include capital outlay expenditures in each
program for capital outlays applicable to that program. Capital outlay expenditures benefiting ,
the City generally, and not an identifiable program, are reported separately. Debt service is also
budgeted separately.
Total (Memorandum Only) Column on Combined Financial Statements
The total (memorandum only) column on the combined financial statements represents an
aggregate of the columnar statements by fund type and account group; it does not represent
consolidated financial information. Interfund eliminations have not been made in the
aggregation of this data. ,
12
' City of Tigard, Oregon
Notes to General Purpose Financial Statements, Continued
2. Fund Types and Account Groups:
' The City's financial operations are accounted for in the following funds and account groups:
Governmental Fund Types
General Fund: This fund accounts for the City's general operations. It is used to account
for all transactions not specifically related to the City's other funds.
Special Revenue Funds:
Forfeitures From Criminal Activity Fund - This fund accounts for funds and
' property seized from criminals in connection with crimes committed.
State Tax Street Fund - This fund accounts for revenues received from state
gasoline taxes which are to be expended as specified in the Constitution of the State
of Oregon, Article IX, Section 3.
Parks SDC Fund - This fund accounts for system development charges for major
improvements to recreational facilities within the City.
County Gas Tax Fund - This fund accounts for road tax monies received from
Washington County for the maintenance and operation of roads.
Traffic Impact Fund - This fund accounts for traffic impact fees charged for new
' development. This voter approved county-wide fee takes the place of the City's Street
SDC Fund. Funds will be used for highway and transit capital improvements
approved by the County that provide additional capacity to the major transportation
system.
Electrical Inspection Fund - This fund accounts for fees charged for permits and
inspection of electrical improvements.
Underground Utility Fund - This fund accounts for monies received from
1 developers for future underground utility improvements.
FEMA Disaster Fund This fund accounts for the flood disaster and wind storm
clean up and recovery activities. Activities are anticipated to be funded by Federal
Disaster Relief Funds.
Worker's Compensation Fund - This fund accounts for payments made for the
' Worker's Compensation insurance plan.
Building Fund - This fund accounts for fees charged for building inspection and plan
review activities.
13
r
City of Tigard, Oregon ,
Notes to General Purpose Financial Statements, Continued
2. Fund Types and Account Groups, Continued:
Governmental Fund Types, Continued ,
Debt Service Funds:
General Obligation Bond Debt Service Fund - This fund accounts for payment of
general obligation bond principal and interest. The principal source of revenue is
from property taxes.
Certificate of Participation Debt Service Fund - This fund accounts for payment of
certificate of participation principal and interest. The principal source of revenue is ,
property taxes.
Bancroft Bond Debt Service Fund - This fund accounts for payment of Bancroft '
improvement bond principal and interest. The principal source of revenue is the
collection of assessments against benefited property, interest and contributions from
other funds for their share of costs. ,
Capital Projects Funds:
Local Improvement Capital Projects Fund - This fund accounts for construction of ,
Local Improvement District projects from the sale of bond anticipation notes and
certain other debt.
Park Levy Capital Improvement Fund - This fund accounts for proceeds from the ,
sale of certificates of participation and improvements to Tigard's park system.
Bull Mountain Road Improvement Fund - This fund accounts for monies received
from Washington County to be used to make improvements to Bull Mountain Road.
Facility Fund - This fund accounts for monies set aside for future City facility '
improvements.
Metro Greenspaces Fund - This fund accounts for monies received from '
Washington County to be used for Greenspace property acquisition and
improvements.
Proprietary Fund Types
Enterprise Funds:
Sewer Fund - This fund accounts for the City's sewer utility operations.
Storm Drainage Fund - This fund accounts for the City's storm drainage operations.
Storm Drainage Fund (budgetary basis financial statements only) ,
Water Quality and Quantity Fund (budgetary basis financial statements only)
14
' City of Tigard, Oregon
Notes to General Purpose Financial Statements, Continued
2. Fund Types and Accounts Groups, Continued:
Proprietary Fund Types, Continued
Enterprise Funds, Continued:
Water Fund This fund accounts for the City's water operations.
' Water General Fund (budgetary basis financial statements only)
Water Systems Development Fund (budgetary basis financial statements only)
Water Capital Projects Fund (budgetary basis financial statements only)
' Fiduciary Fund Types:
Deferred Compensation Fund - This agency fund accounts for monies withheld
I from employees under deferred compensation plans and earnings on investment of
those funds.
' Pension Trust Funds - These funds account for the City's General and Water Fund
employee defined contribution plans.
' Account Groups
General Fixed Assets - This account group accounts for the City's investment in fixed assets,
with the exception of those assets recorded in the Enterprise Funds.
' General Long-Term Debt - This account group accounts for general long-term indebtedness
of the City.
3. Cash and Investments:
' The City maintains a cash and investment pool that is available for use by all funds, except the
Deferred Compensation Fund and Pension Trust Fund. Each fund type's portion of this pool is
' displayed on the combined balance sheet as "cash and investments". The investments of the
Deferred Compensation Fund and Pension Trust Fund are held separately from those of other
City funds.
Cash and investments are comprised of the following at June 30, 1996:
Cash on hand $ 3,600
' Cash held by Department of Finance, Washington County 37,077
Deposits with financial institutions 694,242
Investments 30,299,008
' $ 31,033,927
15
City of Tigard, Oregon ,
Notes to General Purpose Financial Statements, Continued
3. Cash and Investments, Continued:
Cash and investments are displayed on the balance sheet as follows:
Cash and investments $ 25,661,543
Restricted cash and investments 5,372,384
$ 31,033,927
Deposits
Deposits with financial institutions include bank demand deposits and time deposit accounts. '
The total bank balance is $773,441 (book balance is $694,242). Of these deposits, $100,000
was covered by federal depository insurance and $673,441 was fully collateralized with ,
securities held by financial institutions acting as custodians for the City in the City's name.
Oregon Revised Statutes require the depository institution to maintain on deposit, with a
collateral pool manager, securities having a value not less than 25 percent of the outstanding
certificates of participation issued by the pool manager.
Investments '
State statutes authorize the City to invest primarily in general obligations of the U.S.
Government and its agencies, certain bonded obligations of Oregon municipalities, bank
repurchase agreements, bankers' acceptances, certain commercial paper and the State ,
Treasurer's Investment Pool, among others.
The City's investments are categorized below to give an indication of the level of risk assumed '
by the City at June 30, 1996. Category 1 includes investments that are insured or for which the
securities are held by the City in the City's name. Category 2 includes uninsured investments
for which the securities are held in the City's name by the trust department of the financial ,
institution selling the security to the City. Category 3 includes uninsured investments for
which the securities are held by the financial institution selling the security to the City or by its
trust department, but not in the City's name. The City does not use brokers or dealers for its '
investments.
16
' City of Tigard, Oregon
Notes to General Purpose Financial Statements, Continued
3. Cash and Investments, Continued:
' Investments, Continued
' Category Carrying Market
1 2 3 Amount Value
U.S. Government Securities $ 6,822,836 $ 6,822,836 $ 6,822,836
Held by custodians under
deferred compensation
and pension plans -
mutual fund
investments 6,731,980 6,731,980
' State Treasurer's Invest-
ment Pool 16,744,192 16,744,192
Total investments $ 30,299,008 $ 30,299,008
Market value of investments approximates carrying amount due to the short-term nature of
maturities of the investments.
' 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 to 7 to 13 percent. At June 30, 1996, the portion of the assessments receivable balance
that represents delinquent accounts is $59,276.
17
City of Tigard, Oregon ,
Notes to General Purpose Financial Statements, Continued
5. Due To/Due From Other Funds:
Amounts are comprised of the following:
Interfund Interfund '
Fund Receivables Payables
General Fund $ 212,872
Enterprise Fund: '
Water Fund 4,810
Special Revenue Funds:
FEMA Disaster Fund $ 215,906 ,
Capital Projects Funds:
Metro Greenspaces Fund 1,776
$ 217,682 $ 217,682 ,
6. Fixed Assets: '
Fixed assets and accumulated depreciation by major classes in the Enterprise Funds at June 30,
1996 are as follows:
Balances
June 30, Balances ,
1995, June 30,
As restated Additions Retirements 1996
Land $ 900,256 $ 1,490 $ 901,746 ,
Building 1,040,115 $ (1,490) 1,038,625
Sewer system 7,511,327 1,093,637 8,604,964
Storm drainage system 6,865,263 1,112,525 7,977,788 '
Water system 25,776,094 810,535 26,586,629
Equipment 866,680 128,723 (95,652) 899,751
Autos and trucks 782,470 (1,000) 781,470 ,
43,742,205 $ 3,146,910 $ (98,142) 46,790,973
Less accumulated '
depreciation (14,142,694) $ (1,379,233) $ 95,107 (15,426,820)
$ 29,599,511 $ 31,364,153
18
' City of Tigard, Oregon
Notes to General Purpose Financial Statements, Continued
6. Fixed Assets, Continued:
' Prior year fixed assets, as previously reported in the City's Enterprise Funds, have been reduced
by $230,538 to reflect the results of a prior year independent appraisal of the City's Water Fund
' fixed assets.
Changes in fixed assets in the General Fixed Asset Account Group for the year ended June 30,
' 1996 are as follows:
Balances Balances
June 30, June 30,
1995 Additions Retirements 1996
Land $ 2,259,616 $ 1,021,088 $ 3,280,704
Buildings 4,288,892 746 4,289,638
Equipment 763,866 146,316 $ (46,985) 863,197
Autos and trucks 964,491 195,608 (25,519) 1,134,580
Office equipment 1,197,307 343,242 (168,272) 1,372,277
$ 9,474,172 $ 1,707,000 $ (240,776) $ 10,940,396
7. Long-Term Debt:
' Bonds Payable
Bonds payable transactions for the year ended June 30, 1996 and future maturities of bond
principal and interest are as follows:
Outstanding Outstanding
June 30, Paid June 30,
' 1995 During Year 1996 Interest
General Obligation Bonds:
' General obligation bond issues;
interest rates 3.40% to
5.50%:
Fiscal year:
1996 $ 155,000 $ 155,000
1997 1,150, 000 1,150, 000 $ 4,262
1998 1,385,000 $ 1,385,000 186,165
' 1999 1,490,000 1,490,000 132,925
2000-2004 2,475,000 2,475,000 158,963
$ 6,655,000 $ 1,305,000 $ 5,350,000 $ 482,315
19
City of Tigard, Oregon ,
Notes to General Purpose Financial Statements, Continued
7. Long-Term Debt, Continued:
Bond Payable, Continued
Outstanding Paid Called Outstanding ,
June 30, During During June 30,
1995 Year Year 1996 Interest
Bancroft Improvement Bonds:
General obligation improvement bond '
issues; interest rates from 4.1 %
to 11.75%; payable first from
assessments to benefited
properties and second, from the
general credit of the City:
Fiscal year:
1996 $ 155,000 $ (145,000) $ 10,000
1997 145,000 145,000 $ 82,027 '
1998 135,000 135,000 73,498
1999 145,000 145,000 64,885
2000 210,000 210,000 54,472
2001-2006 940,000 $ (140,000) 800,000 150,515 ,
$ 1,730,000 $ (145,000) $ (140,000) $ 1,445,000 $ 425,397
In fiscal year 1993, the City issued $6,935,000 in General Obligation Bonds to advance refund
$6,280,000 of outstanding 1987 and 1989 Series bonds. The net proceeds were deposited in an
irrevocable trust with an escrow agent to provide for future debt service payments on the 1987 '
and 1989 Series bonds which were paid in full in fiscal year 1996.
During fiscal year 1996, the City issued $4,085,000 in bond anticipation notes dated ,
December 1, 1995, due on June 1, 1997, with an interest rate of 3.85% payable on June 1 and
December 1 of each year. The notes are collateralized by and payable from the assessment
bonds to be sold upon completion of the improvements. The net proceeds were used to retire ,
$3,080,000 in bond anticipation notes dated January 1, 1994.
These bond anticipation notes are due on June 1, 1997. Since the City has currently not entered ,
into an agreement to refinance these bonds, they are recorded as short-term liabilities in the
Debt Service and Capital Projects Funds as opposed to being recorded in the General
Long-Term Debt Account Group. '
1
20
' City of Tigard, Oregon
Notes to General Purpose Financial Statements, Continued
7. Long-Term Debt, Continued:
' Other Long-Term Debt
Other long-term debt recorded in the General Long-Term Debt Account Group and the changes
thereto during the year ended June 30, 1996 are as follows:
Balance Balance
' June 30, June 30,
1995 Additions Deletions 1996
Accrued vacation payable $ 337,977 $ 370,722 $ 337,977 $ 370,722
8. Contributed Capital:
' The changes in contributed capital were as follows:
Balance - beginning of year $ 36,637,312
Transfer of depreciation on certain contributed fixed
assets from retained earnings (460,642)
' Contributions from customers 3,116,275
Balance - end of year $ 39,292,945
9. Retirement Plans:
' The City contributes to retirement plans on behalf of all eligible employees. At June 30, 1996,
the following employee groups were covered by the following retirement plans:
' Group Retirement Plan
Management/Professional Staff International City Managers
(Nonunion) Association Retirement Corporation
(ICMARC) Money Purchase Plan
' Oregon Public Employees Union Employees (ICMARC) Money Purchase Plan
Tigard Water Fund Employees Ameritus
' Tigard Police Officers State of Oregon Public Employes
Retirement System (PERS)
21
City of Tigard, Oregon ,
Notes to General Purpose Financial Statements, Continued
9. Retirement Plans, Continued: '
ICMARC Plans
The City contributes to defined contribution, single employer retirement plans at a specified ,
percent of gross salary depending on the employment group, for all employees who are not
covered under the police pension plan. Employees do not make contributions to these plans.
The City is required to make contributions to these plans under authority of City Council '
resolution and the plan documents. Employees become eligible to participate in the plan after
six months of service and vest immediately. Employees may withdraw funds upon retirement
or termination of employment. ,
Contributions to the plan 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.
Required and actual contributions to the plan were $610,141 for the year ended June 30, 1996.
Current year covered payroll amounted to $4,830,672. Contributions as a percentage of ,
covered payroll was 12.6 percent.
Ameritus Plan ,
Beginning January 1, 1994 the City assumed the operations of the Southeast Washington
County Joint Agency (the Agency). In addition, the City assumed responsibility of the '
Agency's defined contribution retirement plan (Ameritus Plan). The Ameritus Plan participants
were transferred to the ICMARC Plan on January 1, 1994 and no further contributions to the
Ameritus Plan will be made. Ameritus Plan assets accumulated through January 1, 1994 will ,
remain in the plan. Employees may withdraw funds upon retirement or termination of
employment.
The fiduciary holds the funds in trust and makes distributions as provided by the plan. Since '
the plan is administered by the City, the assets, equity and operations of the plan are accounted
for in the Water Fund Employees Pension Plan Fund, a pension trust fund. ,
Police Plan
Substantially all full-time Police employees are participants in the State of Oregon Public '
Employes Retirement System (PERS), a state-wide, multiple-employer defined benefit pension
plan. The City's payroll for employees covered by PERS for the year ended June 30, 1996 was
$2,272,962; the City's total payroll was $7,103,634. '
22
' City of Tigard, Oregon
Notes to General Purpose Financial Statements, Continued
9. Retirement Plans, Continued:
Police Plan, Continued
PERS benefits vest after five years of continuous service. Retirement is allowed at age 55, but
' retirement is generally available after age 50 with reduced benefits. Retirement benefits are
based on salary and length of service, are calculated using a formula and are payable in a lump
sum or monthly using several payment options. PERS also provides death and disability
benefits. These benefit provisions and other requirements are established by state statutes.
The rate of employer contributions to PERS is determined periodically by PERS based on
' actuarial valuations. It is the City's policy to recognize pension expenditures or expenses as
currently funded. The City's required employer contribution rate is 9.80% of covered
employees' salaries. The required employee contribution of 6% of covered compensation is
' paid by the City in conformance with its labor contract.
The amount shown below as the "pension benefit obligation" is a standardized disclosure
' measure of the present value of pension benefits, adjusted for the effects of projected salary
increases estimated to be payable in the future as a result of employee service to date. The
measure is intended to help users assess the funding status of PERS on a going-concern basis,
1 assess progress made in accumulating sufficient assets to pay benefits when due, and make
comparisons among employers. The measure is the actuarial present value of credited
' projected benefits, and is independent of the funding method used to determine contributions to
PERS.
The pension benefit obligation was computed as part of the most recent actuarial valuation
' performed as of December 31, 1995. Significant actuarial assumptions used in the valuation
include (a) a rate of return on the investment of present and future assets of 8% per year, (b)
projected salary increases of 5.0% per year attributable to general wage adjustments, with
' additional increases for promotion and longevity that vary by age and service, (c) projected
automatic cost-of-living benefit increases of 2% per year, and (d) demographic assumptions
' that have been chosen to reflect the best estimate of emerging experience of the members in
PERS. No obligation for retirees is attributed to the City as PERS pools the risk related to
retired employees among all employers. PERS assumes the obligation for benefits from the
' individual entity when benefits become payable. Accordingly, the "pension benefit obligation"
covers only current employees.
Actuarial valuations are made by PERS for all employers every two years. Police employees
became subject to the PERS plan in 1989. No valuation for the City was made as of
December 31, 1989 because as of that date PERS did not have the City's information available;
' December 31, 1990 was the first year a valuation was performed. Accordingly, certain
historical trend information relating to progress made in accumulating assets to pay benefits
when due is available only for the calendar years 1990-1995 as follows (in thousands):
23
City of Tigard, Oregon '
Notes to General Purpose Financial Statements, Continued
9. Retirement Plan, Continued:
Police Plan, Continued
Unfunded '
(Assets
in Excess
of)
Unfunded Pension
(Assets Benefit Employer '
Net in Excess Obliga- Contribu-
Assets of) tion as a tions as a
Avail- Pension Pension Percent- Percent-
able Benefit Per- Benefit Annual age of Employer age of ,
for Obli- centage Obli- Covered Covered Contri- Covered
Year Benefits(2) gation(2) Funded(2) gation(2) Payroll Payroll butions Payroll
1991 (1) (1) (1) (1) $ 1,721 (1) $ 327 19.00 % '
1992 (1) (1) (1) (1) 1,661 (1) 375 22.58
1993 (1) (1) (1) (1) 1,817 (1) 409 22.51
1994 $ 6,011 $ 5,079 118.35 % $ 932 1,928 48.34 % 304 15.77
1995 5,446 5,340 101.99 106 2,016 5.26 318 15.77
1996 7,946 6,901 115.14 1,045 2,273 45.97 359 15.79
(1) As a result of the December 31, 1993 PERS actuarial valuation it was determined that net assets available for benefits
and the pension benefit obligation amounts previously presented for December 31, 1990 through 1992 were not accurate. ,
It is not currently practical to obtain updated information concerning these balances.
(2) December 31 information.
The amounts intended to cover normal costs and to amortize any unfunded actuarial accrued
liability are not available from the actuary. All contributions were made in accordance with
actuarially determined requirements.
Analysis of the dollar amounts of net assets available for benefits, pension benefit obligation,
and assets in excess of pension benefit obligation in isolation can be misleading. Expressing ,
the net assets available for benefits as a percentage of the pension benefit obligation provides
one indication of the District's funding status on a going-concern basis. Analysis of this ,
percentage over time indicates whether the program is becoming financially stronger or weaker.
Generally, the greater this percentage, the stronger the program. Trends in unfunded pension
benefit obligation and annual covered payroll are both affected by inflation. Expressing the '
assets in excess of pension benefit obligation as a percentage of annual covered payroll
approximately adjusts for the effects of inflation and aids analysis of the program's progress
made in accumulating sufficient assets to pay benefits when due. Generally, the greater this '
percentage, the stronger the program.
PERS policy provides for actuarially determined periodic contributions that are sufficient to ,
pay benefits when due. The contribution rate for normal cost is determined using the "entry age
actuarial cost method". A thirty year amortization is used to amortize the costs of the unfunded
actuarial liabilities. Any benefit increases are funded over 30 years. '
24
' City of Tigard, Oregon
Notes to General Purpose Financial Statements, Continued
9. Retirement Plan, Continued:
' Police Plan, Continued
The significant actuarial assumptions used to compute the actuarially determined contribution
requirement are the same as those used to compute the pension benefit obligation described
above.
' Ten-year historical trend information showing the system's progress in accumulating assets to
pay benefits when due may be found in the June 30, 1996 Oregon Public Employes Retirement
System annual financial report.
' Deferred Compensation Plans
The City offers certain employees deferred compensation plans created in accordance with
Internal Revenue Code Section 457. The plans, available to City employees, permits them 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 is
not available to employees until termination, retirement, death or unforeseeable emergency.
All amounts of compensation deferred under the plans, all property and rights purchased with
those amounts, and all income attributable to those amounts, property, or rights are (until paid
or made available to the employee or other beneficiary) solely the property and rights of the
' City (without being restricted to the provisions of benefits under the plans), subject only to the
claims to the City's general creditors. Participants' rights under the plans, are equal to those of
general creditors of the City in an amount equal to the fair market value of the deferred account
' for each participant. The City believes that it is unlikely that it will use the assets to satisfy the
claims of general creditors in the future. The City has no liability for losses under the plans but
does have the duty of due care that would be required of an ordinary prudent investor.
10. Transactions with Unified Sewerage Agency of Washington County:
' The City collects charges for treatment of City sewage on behalf of the Unified Sewerage
Agency of Washington County (USA) and remits all collections to USA except for 30 percent
' of sewer service charges collected, 20 percent of connection charges collected and a certain
amount for revenue bond debt service, in accordance with an agreement between the City and
USA dated June 25, 1991. Payments of $4,901,974 were made to USA during 1996 under this
agreement.
25
City of Tigard, Oregon '
Notes to General Purpose Financial Statements, Continued
1
10. Transactions with Unified Sewerage Agency of Washington County, Continued: '
The City has a similar agreement with the Regional Surface Water Management Agency,
which is an affiliate of USA for storm water systems. Payments made to the Agency during '
1996 under the agreement were $239,273.
The net amount retained by the City is reported as revenue in the Enterprise Funds in the
Combined Statement of Revenues, Expenses and Changes in Retained Eamings/Fund Balance ,
- All Proprietary Fund Types - Enterprise Funds. Revenues are reported net because the City
acts in a fiduciary capacity on behalf of USA.
11. Segment Information for Enterprise Funds: '
The City's Sewer Fund and Storm Drainage Fund account for the acquisition, operation, and
maintenance of sewer and storm drainage systems which are supported by user charges. The
City's Water Fund accounts for the operation and maintenance of the City's water system and is ,
supported through user charges. Segment information as of and for the year ended June 30,
1996 is as follows: ,
Storm
Sewer Drainage Water
Fund Fund Fund Total '
Operating revenue $ 1,418,588 $ 1,043,571 $ 3,988,982 $ 6,451,141
Depreciation 340,991 284,518 753,724 1,379,233 '
Operating income 226,257 170,234 521,122 917,613
Net income 413,930 261,255 972,054 1,647,239
Current capital contributions 1,045,140 715,734 1,355,401 3,116,275
Fixed asset additions 77,225 421,324 447,609 946,158 '
Net working capital 1,113,227 639,674 6,931,262 8,684,163
Total assets 9,864,165 6,315;419 30,643,635 46,823,219
Total equity 8,969,348 6,229,868 30,225,323 45,424,539 '
12. Passage of Constitutional Property Tax Limitation:
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. t
26 '
City of Tigard, Oregon
Notes to General Purpose Financial Statements, Continued
12. Passage of Constitutional Property Tax Limitation, Continued:
The limitation applies to all state and local taxes and charges on property except for the
following:
' 1. incurred charges for goods or services received at the owner's option;
2. assessments for capital construction that provide a special benefit to the property and
' that can be paid off over at least ten years;
3. taxes to repay bonded debt authorized by the state constitution;
4. taxes to repay existing bonded debt for capital construction, and
5. taxes to repay new bonded debt for capital construction if approved by voters.
At the November 1996 election, a citizen initiative to reduce property taxes known as measure
47 was approved by voters. Most properties in the state have experienced dramatic increases in
assessed values over the past several years which have resulted in rapidly increasing property
taxes to schools. The measure rolls back the property tax on individual properties for 1997/98
to the 1995/96 level less 10%. Future increases are then limited to 3% per year. The impact of
' this measure on the City has been estimated at a loss of $2,000,000 per year in general fund tax
revenues. Although many questions have arisen as to how the measure will be implemented
which will impact the magnitude of the revenue loss, the projected loss to the City will have
serious affects on the City's ability to fund General Fund programs at current levels. Taxes to
pay debt service on outstanding bonds are generally uneffected by the measure.
' 13. Reclassification of Water Quality & Quantity Fund:
' Effective July 1, 1995 the City is accounting for the Water Quality & Quantity Fund (formerly
a Special Revenue Fund) as an Enterprise Fund. As such, beginning fund balance/retained
earnings in the Special Revenue Funds and Enterprise Funds has been restated by $184,418 to
' reflect this change.
' 14. Contingencies:
The City is a defendant in a lawsuit that is currently pending in the Circuit Court for
' Washington County, Oregon. The plaintiffs are seeking damages for an alleged taking of their
property as a result of the City's decision to impose certain requirements upon the plaintiffs for
easements as a condition of allowing the plaintiffs to erect improvements on property owned by
the plaintiffs within the City. The plaintiffs are claiming damages of inverse condemnation and
violation of the Federal Civil Rights Act and are seeking various damages of approximately
' $2,500,000.
27
City of Tigard, Oregon '
Notes to General Purpose Financial Statements, Continued
14. Contingencies, Continued: ,
A summary judgment for the plaintiff was granted in October 1996. The case is scheduled to
go to trial in March 1997 to determine the extent of damages. According to the City's legal ,
counsel, at that time, it is likely a judgment will be entered against the City. If a judgment is
awarded, the City intends to vigorously pursue all of its appeal options. It has been the City's
position, and at the current time it remains the City's position, that it will not enter into a '
settlement agreement with the plaintiffs for any material amount. Although the ultimate
outcome of the appeal of the expected judgment is subject to the inherent uncertainties of any
'
legal proceeding, based upon the City's analysis of the factual and legal issues associated with
the proceedings and based on the opinions of outside counsel, as of the date hereof, it is
management's belief that the City should ultimately prevail in this matter, although there can
be no assurance in this regard. Accordingly, the City has not accrued any liability associated '
with this litigation.
15. Deficit Fund Balance and OverexPenditures of Appropriations: ,
At June 30, 1996, the FEMA Disaster Fund had a deficit fund balance totalling $221,816. The
City plans to eliminate, the deficit with reimbursements of costs from FEMA during fiscal
1997.
At June 30, 1996, the Bancroft Bond Debt Service Fund had a deficit fund balance totalling ,
$3,034,553. The City plans to eliminate the deficit with proceeds from the issuance of bond
anticipation notes or long-term Bancroft Bonds in June 1997.
The City made expenditures in excess of appropriations in the following funds and categories:
Special Revenue Fund: '
FEMA Disaster Fund:
Community services $ 3,643
Development services 11,737 '
Policy and administration 14,215
Capital improvements 22,036
Capital Projects Fund:
Bull Mountain Road Improvement Fund: '
Capital improvements 23,131
28
' Supplementary Data
1
1
1
1
1
1
1
1
CITY OF TIGARD
OREGON
1
1
1 General Fund
1 This fund accounts for the financial operations of the City which are not accounted for in any other
fund. Principal resources are property taxes, franchise fees, intergovernmental revenues, and
licenses and permits. Primary expenditures in the General Fund are made for police protection,
1 community development and administration.
1
1
1
1
1
i
i
1
City of Tigard, Oregon '
General Fund
Schedule of Revenues and Expenditures - Budget and Actual '
for the fiscal year ended June 30, 1996
Variance ,
Revised Favorable
Budget Actual (Unfavorable) '
Revenues:
Taxes $ 4,390,200 $ 4,436,503 $ 46,303 ,
Franchise fees 1,561,200 1,669,784 108,584
Licenses and permits 1,099,730 1,347,668 247,938
Intergovernmental revenues 1,788,770 1,861,254 72,484
Charges for services 121,350 131,201 9,851 '
Fines and forfeitures 315,600 304,246 (11,354)
Miscellaneous revenues 198,406 403,566 205,160
Total revenues 9,475,256 10,154,222 678,966
BEGINNING FUND BALANCE AVAILABLE '
FOR APPROPRIATION 3,300,000 3,604,699 304,699
$ 12,775,256 $ 13,758,921 $ 983,665
Revised
Budgeted Variance
Appropriations Actual Favorable
Expenditures: '
Community services $ 6,426,461 $ 6,053,257 $ 373,204
Development services 2,060,277 1,849,371 210,906
Policy and administration 1,394,486 1,276,064 118,422
Nondepartmental 304,680 248,952 55,728 ,
Contingency 231,897 231,897
Capital improvements 291,300 133,707 157,593
Total expenditures 10,709,101 $ 9,561,351 $ 1,147,750
UNAPPROPRIATED ENDING FUND BALANCE 2,066,155 '
$ 12,775,256
t
29 '
i
1
1
r
Special Revenue Funds
r
The Special Revenue Funds account for revenue derived from specific taxes or other earmarked
1 revenue sources which are legally restricted to finance particular functions or activities. Funds
included in this fund category are:
• Forfeitures From Criminal Activity Fund
i State Tax Street Fund
Parks SDC Fund
County Gas Tax Fund
Traffic Impact Fund
Electrical Inspection Fund
• Underground Utility Fund
• FEMA Disaster Fund
• Workers' Compensation Fund
• Building Fund
1
1
City of Tigard, Oregon
Special Revenue Funds
Combining Balance Sheet
June 30, 1996
Forfeitures
From State County
Criminal Tax Parks Gas Traffic Electrical Underground FEMA Workers'
Activity Street SDC Tax Impact Inspection Utility Disaster Compensation Building
Fund Fund Fund Fund Fund Fund Fund Fund Fund Fund Total
ASSETS
Cash and investments $ 1,000 $ 430,574 $ 676,561 $ 27,937 $2,118,026 $ 75,617 $ 105,407 $ 71,463 $ 100,000 $ 3,606,585
Assessment liens receivable 200,418 200,418
W
Total assets 1,000 $ 430,574 $ 676,561 $2,318,444 $ 75,617 $ 105,407 $ - $ 71,463 $ 1001000 $ 3,807,003
LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable $ 20,834 $ 32,627 $ 3,545 $ 5,910 $ 62,916
Deferred revenues 188,869 188,869
Due to other funds 215,906 215,906
Contractor deposit 38,200 38,200
Total liabilities 20,834 259,696 3,545 221,816 505,891
Fund balances, unreserved $ 1,000 409,740 $ 676,561 $ 27,937 2,058,748 72,072 $ 105,407 (221,816) $ 71,463 $ 100,000 3,301,112
Total liabilities and fund balances $ 1,000 $ 430,574 $ 676,561 $ 27,937 $2,318,444 $ 75,617 $ 105,407 $ - $ 71,463 $ 1001000 $ 3,807,003
r: ~ r~s r rr r ~ ~ ri~r r r~ r ~ r~ ~r r~
City of Tigard, Oregon
Special Revenue Funds
Combining Statement of Revenues, Expenditures and Changes in Fund Balances
for the fiscal year ended June 30, 1996
Forfeitures
From State County
Criminal Tax Parks Gas Traffic Electrical Underground FEMA Workers'
Activity Street SDC Tax Impact Inspection Utility Disaster Compensation Building
Fund Fund Fund Fund Fund Fund Fund Fund Fund Fund Total
Revenues:
Licenses and permits $ 972,773 $ 234,830 $ 100,000 $ 1,307,603
Intergovemmental revenues $1,574,905 $ 152,959 1,727,864
Charges for services 21,720 $ 204,650 226,370
Miscellaneous revenues $ 928 121,663 31,615 2,011 118,194 3,159 $ 11,966 $ 65 $ 71,463 361,064
S
Total revenues 928 1,718,268 236,265 154,970 1,090,967 237,989 11,966 65 71,463 100,000 3,622,901
Expenditures:
Community services 16,318 3,643 19,961
Development services 861,211 111,439 64,572 161,736 181,987 1,380,945
Policy and administration 133,961 39,583 18,351 14,215 206,130
Nondepartmentai 28,562 7,319 1,785 37,666
Capital improvements 1,034,787 18,825 891,451 22,036 1,967,099
Total expenditures 16,318 2,058,541 18,825 158,341 956,023 181,872 221,881 3,611,801
Revenues over (under) expenditures (15,390) (340,253) 217,440 (3,371) 134,944 56,117 11,966 (221,816) 71,463 100,000 11,100
FUND BALANCES, beginning of year 16,390 749,993 459,121 31,308 1,923,804 15,955 93,441 3,290,012
FUND BALANCES, end of year $ 1,000 $ 409,740 6561 $ 27,937 $2,058,748 $ 72,072 $ 105,407 $ 221,816 $ 71,463 $ 100,000 $ 3,301,112
City of Tigard, Oregon,
Forfeitures From Criminal Activity Fund
Schedule of Revenues and Expenditures - Budget and Actual
for the fiscal year ended June 30, 1996
Variance
Favorable
Budget Actual (Unfavorable)
Revenues:
Miscellaneous $ 20,000 $ (20,000)
Interest 1,000 $ 928 (72)
Total revenues 21,000 928 (20,072)
BEGINNING FUND BALANCE AVAILABLE
FOR APPROPRIATION 16,000 16,390 390
$ 37,000 $ 17,318 $ (19,682)
Budgeted Variance
Appropriations Actual Favorable
Expenditures:
Community services $ 37,000 $ 16,318 $ 20,682
32
City of Tigard, Oregon
State Tax Street Fund
Schedule of Revenues and Expenditures - Budget and Actual
for the fiscal year ended June 30, 1996
' Variance
Revised Favorable
Budget Actual (Unfavorable)
Revenues:
State gas tax $ 1,546,000 $ 1,574,905 $ 28,905
Lighting subdivisions 17,000 21,720 4,720
Interest 24,200 31,854 7,654
Miscellaneous 119,000 89,809 (29,191)
Total revenues 1,706,200 1,718,288 12,088
BEGINNING FUND BALANCE AVAILABLE
FOR APPROPRIATION 750,000 749,993 (7)
$ 2,456,200 $ 2,468,281 $ 12,081
Revised
Budgeted Variance
Appropriations Actual Favorable
Expenditures:
Development services $ 966,952 $ 861,211 $ 105,741
Policy and administration 143,224 133,981 9,243
Nondepartmental 34,956 28,562 6,394
Capital improvements 1,264,289 1,034,787 229,502
Contingency 46,247 46,247
Total expenditures 2,455,668 $ 2,058,541 $ 397,127
UNAPPROPRIATED ENDING FUND BALANCE 532
$ 2,456,200
33
City of Tigard, Oregon
Parks SDC Fund
Schedule of Revenues and Expenditures - Budget and Actual
for the fiscal year ended June 30, 1996
Variance
Favorable
Budget Actual (Unfavorable)
Revenues:
System development charges $ 225,000 $ 204,650 $ (20,350)
Interest 18,000 31,615 13,615
Total revenues 243,000 236,265 (6,735)
BEGINNING OF BALANCE AVAILABLE
FOR APPROPRIATION 450,000 459,121 9,121
$ 693,000 $ 695,386 $ 2,386
Budgeted Variance
Appropriations Actual Favorable
Expenditures:
Capital improvements $ 633,000 $ 18,825 $ 614,175
Contingency 60,000 60,000
Total expenditures $ 693,000 $ 18,825 $ 674,175
34
City of Tigard, Oregon
County Gas Tax Fund
Schedule of Revenues and Expenditures - Budget and Actual
for the fiscal year ended June 30, 1996
' Variance
Favorable
Budget Actual (Unfavorable)
Revenues:
County gas taxes $ 154,000 $ 152,959 $ (1,041)
Interest 1,000 2,011 1,011
Total revenues 155,000 154,970 (30)
BEGINNING FUND BALANCE AVAILABLE
FOR APPROPRIATIONS 20,000 31,308 11,308
$ 175,000 $ 186,278 $ 11,278
Revised
Budgeted Variance
Appropriations Actual Favorable
Expenditures:
Development services $ 121,361 $ 111,439 $ 9,922
Policy and administration 42,709 39,583 3,126
Nondepartmental 8,957 7,319 1,638
Contingency 1,795 1,795
Total expenditures 174,822 $ 158,341 $ 16,481
UNAPPROPRIATED ENDING FUND BALANCE 178
$ 175,000
35
City of Tigard, Oregon
Traffic Impact Fund
Schedule of Revenues and Expenditures - Budget and Actual
for the fiscal year ended June 30, 1996
Variance
Budget Actual Favorable
Revenues:
Traffic impact fees $ 944,000 $ 972,773 $ 28,773
Interest 70,000 118,194 48,194
Total revenues 1,014,000 1,090,967 76,967
BEGINNING FUND BALANCE AVAILABLE
FOR APPROPRIATION 1,400,000 1,923,804 523,804
$ 2,414,000 $ 3,014,771 $ 600,771
Revised
Budgeted Variance
Appropriations Actual Favorable
Expenditures:
Development services $ 72,287 $ 64,572 $ 7,715
Capital improvements 2,192,021 891,451 1,300,570
Contingency 149,692 149,692
Total expenditures $ 2,414,000 $ 956,023 $ 1,457,977
36
City of Tigard, Oregon
Electrical Inspection Fund
Schedule of Revenues and Expenditures - Budget and Actual
for the fiscal year ended June 30, 1996
Variance
Revised Favorable
Budget Actual (Unfavorable)
Revenues:
Electrical permit fees $ 230,820 $ 225,788 $ (5,032)
Electrical plan check fees 23,430 9,042 (14,388)
Interest 3,000 3,159 159
Total revenues 257,250 237,989 (19,261)
BEGINNING FUND BALANCE AVAILABLE
FOR APPROPRIATION (29,250) 15,955 45,205
$ 228,000 $ 253,944 $ 25,944
Revised
Budgeted Variance
Appropriations Actual Favorable
Expenditures:
Development services $ 165,326 $ 161,736 $ 3,590
Policy and administration 19,667 18,351 1,316
Nondepartmental 2,185 1,785 400
Total expenditures 187,178 $ 181,872 $ 5,306
UNAPPROPRIATED ENDING FUND BALANCE 40,822
$ 228,000
37
City of Tigard, Oregon
Underground Utility Fund
Schedule of Revenues and Expenditures - Budget and Actual
for the fiscal year ended June 30, 1996
Variance
Favorable
Budget Actual (Unfavorable)
Revenues:
Interest $ 2,000 $ 5,949 $ 3,949
Other 10,000 6,017 (3,983)
Total revenues 12,000 11,966 (34) '
BEGINNING FUND BALANCE AVAILABLE
FOR APPROPRIATION 82,500 93,441 10,941
$ 94,500 $ 105,407 $ 10,907
Budgeted Variance
Appropriations Actual Favorable
Expenditures:
Capital improvements $ 94,500 $ - $ 94,500
38
City of Tigard, Oregon
FEMA Disaster Fund
Schedule of Revenues and Expenditures - Budget and Actual
for the fiscal year ended June 30, 1996
Revised Variance
Budget Actual (Unfavorable)
Revenues:
' Miscellaneous $ 170,250 $ 65 $ (170,185)
Revised
Budgeted Variance
Appropriations Actual (Unfavorable)
Expenditures:
Community services $ 3,643 $ (3,643)
Development services $ 170,250 181,987 (11,737)
Policy and administration 14,215 (14,215)
Capital improvements 22,036 (22,036)
Total expenditures $ 170,250 $ 221,881 $ (51,631)
39
City of Tigard, Oregon
Workers' Compensation Fund
Schedule of Revenues and Expenditures - Budget and Actual.
for the fiscal year ended June 30, 1996
Variance
Budget Actual Favorable
Revenues:
Miscellaneous revenues $ - $ 71,463 $ 71,463
Budgeted Variance
Appropriations Actual Favorable
Expenditures $ - $ - $ -
40
City of Tigard, Oregon
Building Fund
Schedule of Revenues and Expenditures - Budget and Actual
for the fiscal year ended June 30, 1996
Variance
Budget Actual Favorable
Revenues: -
Licenses and permits $ $ 100,000 $ 100,000
' Budgeted Variance
Appropriations Actual Favorable
Expenditures $ - $ - $ -
i
i
1
41
1
r
CITY of nGaiD i
OREGON
I
1
1
Debt Service Funds
' The Debt Service Funds account for the payment of debt principal and interest. The City's debt
service funds consist o£
• General Obligation Bond Debt Service Fund
• Certificate of Participation Debt Service Fund
' Bancroft Bond Debt Service Fund
Principal sources of revenues are property taxes for the General Obligation Bond Debt Service Fund
and the Certificate of Participation Debt Service Fund, and special assessment collections and
interest earnings for the Bancroft Bond Debt Service Fund.
1
City of Tigard, Oregon
Debt Service Funds
Combining Balance Sheet ,
June 30, 1996
General
Obligation Bancroft
Bond Debt Bond Debt
Service Fund Service Fund Total
ASSETS
Cash and investments $ 154,260 $ 217,436 $ 371,696
Property taxes receivable 59,949 59,949
Assessment liens receivable 1,642,653 1,642,653
Accrued interest on the delinquent
assessments 59,276 59,276
Total assets $ 214,209 $ 1,919,365 $ 2,133,574
LIABILITIES AND FUND BALANCES
Liabilities:
Deferred revenues:
Property taxes $ 45,554 $ 45,554
Assessment liens receivable $ 1,641,642 1,641,642
Accrued interest on delinquent
assessments 59,276 59,276
Bond anticipation notes payable 3,253,000 3,253,000
Total liabilities 45,554 4,953,918 4,999,472
Fund balances - unreserved and
designated for debt service 168,655 (3,034,553) (2,865,898)
Total liabilities and fund balances $ 214,209 $ 1,919,365 $ 2,133,574
42
City of Tigard, Oregon
Debt Service Funds
Combining Statement of Revenues, Expenditures
and Changes in Fund Balances
for the fiscal year ended June 30, 1996
General Certificate of
Obligation Participation Bancroft
Bond Debt Debt Service Bond Debt
Service Fund Fund Service Fund Total
' Revenues:
Taxes $ 1,416,070 $ 1,416,070
Special assessments $ 218,667 218,667
Miscellaneous revenues 56,136 183,680 239,816
Total revenues 1,472,206 402,347 1,874,553
Expenditures:
Debt service 1,563,519 3,588,996 5,152,515
Revenues under expenditures (91,313) (3,186,649) (3,277,962)
Other financing uses:
Operating transfer to Park Levy
Capital Improvement Fund $ (10,043) (10,043)
Revenues under expenditures
and other financing uses (91,313) (10,043) (3,186,649) (3,288,005)
FUND BALANCES - beginning of year 259,968 10,043 152,096 422,107
FUND BALANCES - end of year $ 168,655 $ - $ (3,034,553) $ (2,865,898)
43
City of Tigard, Oregon
General Obligation Bond Debt Service Fund
Schedule of Revenues and Expenditures - Budget and Actual
for the fiscal year ended June 30, 1996
Variance
Favorable
Budget Actual (Unfavorable)
Revenues:
Taxes $ 1,505,163 $ 1,416,070 $ (89,093)
Interest 30,200 56,136 25,936
Total revenues 1,535,363 1,472,206 (63,157) '
BEGINNING FUND BALANCE AVAILABLE
FOR APPROPRIATION 150,000 259,968 109,968
$ 1,685,363 $ 1,732,174 $ 46,811
i
Budgeted Variance
Appropriations Actual Favorable
Expenditures:
Debt service $ 1,685,363 $ 1,563,519 $ 121,844
r
44
r City of Tigard, Oregon
Certificate of Participation Debt Service Fund
Schedule of Revenues and Expenditures - Budget and Actual
for the fiscal year ended June 30, 1996
Variance
Budget Actual Favorable
BEGINNING FUND BALANCE AVAILABLE
FOR APPROPRIATION $ - $ 10,043 $ 10,043
Budgeted Variance
Appropriations Actual (Unfavorable)
Other financing uses:
Operating transfer to Park Levy Capital
Improvement Fund $ - $ 10,043 $ (10,043)
45
City of Tigard, Oregon
Bancroft Bond Debt Service Fund
Schedule of Revenues and Expenditures - Budget and Actual
for the fiscal year ended June 30, 1996
Variance
Favorable
Budget Actual (Unfavorable)
Revenues:
Collection of bonded assessments $ 206,721 $ 218,667 $ 11,946
Interest 156,583 183,680 27,097
Total revenues 363,304 402,347 39,043
Other financing source:
Proceeds from issuance of bond
anticipation notes 3,080,000 3,253,000 173,000
Total revenues and other financing source 3,443,304 3,655,347 212,043
BEGINNING FUND BALANCE AVAILABLE
FOR APPROPRIATION 230,000 152,096 (77,904)
$ 3,673,304 $ 3,807,443 $ 134,139
Budgeted Variance
Appropriations Actual Favorable
Expenditures:
Debt service $ 3,637,840 $ 3,588,996 $ 48,844
UNAPPROPRIATED ENDING FUND BALANCE 35,464
$ 3,673,304
46
' Capital Projects Funds
' The Capital Projects Funds are used to account for the construction of major capital projects and
include:
• Local Improvement Capital Projects Fund - funded by proceeds from the sale of bond
anticipation notes and other short-term debt.
• Park Levy Capital Improvement Fund - funded by proceeds from the sale of certificates of
participation. Such improvements are expected to be completed within a three year period.
• Bull Mountain Road Improvement Fund - accounts for monies received from Washington
County to be used to make improvements to Bull Mountain Road. This fund was closed during
fiscal 1996.
• Facility Fund - accounts for monies set aside for future city facility improvements.
• Metro Greenspaces Fund - accounts for monies received from Washington County to be used for
Greenspace property acquisition and improvements.
City of Tigard, Oregon ,
Capital Projects Funds
Combining Balance Sheet
June 30, 1996
Local
Improvement Park Levy
Capital Capital Metro
Projects Improvement Facility Greenspaces
Fund Fund Fund Fund Total
ASSETS
Cash and investments $ 1,632,403 $ 172,366 $ 205,812 $ 2,010,581
Property taxes receivable 5,667 5,667
Total assets $ 1,632,403 $ 178,033 $ 205,812 $ - $ 2,016,248
LIABILITIES AND
FUND BALANCES
Liabilities:
Accounts payable and
accrued liabilities $ 216,521 $ 450 $ 216,971
Deferred revenues $ 4,628 4,628
Due to other funds $ 1,776 1,776
Bond anticipation notes
payable 832,000 832,000
Total liabilities 1,048,521 4,628 450 1,776 1,055,375
Fund balances -
unreserved 583,882 173,405 205,362 (1,776) 960,873
Total liabilities and
fund balances $ 1,632,403 $ 178,033 $ 205,812 $ - $ 2,016,248
47
r
City of Tigard, Oregon
' Capital Projects Funds
Combining Statement of Revenues, Expenditures
and Changes in Fund Balances
for the fiscal year ended June 30, 1996
r
Local Bull
Improvement Park Levy Mountain
Capital Capital Road Metro
Projects Improvement Improvement Facility Greenspaces
Fund Fund Fund Fund Fund Total
Revenues:
Property taxes $ 8,375 $ 8,375
Intergovernmental revenues 3,537 $ 125,000 128,537
Miscellaneous $ 197,145 197,145
Interest $ 69,410 7,333 8,667 85,410
Private donations 100,000 100,000
Total revenues 69,410 119,245 205,812 125,000 519,467
Expenditures:
Capital improvements 253,019 22,752 $ 105,131 450 126,776 508,128
Revenues over (under) expenditures (183,609) 96,493 (105,131) 205,362 (1,776) 11,339
Other financing sources:
Operating transfer from Certificate of
Participation Debt Service Fund 10,043 10,043
I Revenues and other financing sources
over (under) expenditures (183,609) 106,536 (105,131) 205,362 (1,776) 21,382
FUND BALANCES - beginning of year 767,491 66,869 105,131 939,491
FUND BALANCES - end of year $ 583,882 $ 173,405 $ - $ 205,362 $ (1,776) $ 960,873
1
r
1
r
48
1
City of Tigard, Oregon
Local Improvement Capital Projects Fund
Schedule of Revenues and Expenditures - Budget and Actual
for the fiscal year ended June 30, 1996
Variance
Budget Actual Favorable
Revenues:
Interest $ 69,410 69,410
Other financing source:
Proceeds from issuance of bond
anticipation notes 832,000 832,000
Total revenue and other financing source 901,410 901,410
BEGINNING FUND BALANCE AVAILABLE
FOR APPROPRIATION $ 670,000 767,491 97,491
$ 670,000 $ 1,668,901 $ 998,901
Budgeted Variance
Appropriations Actual Favorable
Expenditures: ,
Capital improvements $ 670,000 $ 253,019 $ 416,981
49
i
City of Tigard, Oregon
Park Levy Capital Improvement Fund
Schedule of Revenues and Expenses - Budget and Actual
for the fiscal year ended June 30, 1996
Variance
Budget Actual Favorable
Revenues:
Property taxes $ 8,375 $ 8,375
Interest $ 1,800 7,333 5,533
' Intergovernmental revenues 3,537 3,537
Private donations 100,000 100,000
Total revenues 1,800 119,245 117,445
Other financing sources:
Operating transfer from Certificate of
Participation Debt Service Fund 10,043 10,043
Total revenues and other sources 1,800 129,288 127,488
BEGINNING FUND BALANCE AVAILABLE
FOR APPROPRIATION 57,000 66,869 9,869
' $ 58,800 $ 196,157 $ 137,357
Budgeted Variance
Appropriations Actual Favorable
Expenditures:
Capital improvements $ 58,800 $ 22,752 $ 36,048
50
1
City of Tigard, Oregon
Bull Mountain Road Improvement Fund
Schedule of Revenues and Expenses - Budget and Actual
for the fiscal year ended June 30, 1996
i
1
Variance ,
Favorable
Budget Actual (Unfavorable)
Revenues: ,
Interest $ 2,000 $ (2,000)
BEGINNING FUND BALANCE AVAILABLE
FOR APPROPRIATION 80,000 $ 105,131 25,131
$ 82,000 $ 105,131 $ 23,131
Budgeted Variance ,
Appropriations Actual (Unfavorable)
Expenditures: ,
Capital improvements $ 82,000 $ 105,131 $ (23,131)
r
s
51 ,
City of Tigard, Oregon
Facility Fund
Schedule of Revenues and Expenditures - Budget and Actual
for the fiscal year ended June 30, 1996
Variance
Budget Actual Favorable
' Revenues:
Interest $ 6,000 $ 8,667 $ 2,667
Miscellaneous 100,000 197,145 97,145
Total revenues $ 106,000 $ 205,812 $ 99,812
' Budgeted Variance
Appropriations Actual Favorable
Expenditures:
Capital improvements $ 106,000 $ 450 $ 105,550
52
City of Tigard, Oregon
Metro Greenspaces Fund
Schedule of Revenues and Expenditures - Budget and Actual
for the fiscal year ended June 30, 1996
Revised Variance
Budget Actual (unfavorable)
Revenues:
Intergovernmental revenue $ 758,000 $ 125,000 $ (633,000)
Revised
Budgeted Variance
Appropriations Actual Favorable
Expenditures:
Capital improvements $ 758,000 $ 126,776 $ 631,224
53 ,
Enterprise Funds
The sewer and storm drainage funds are used to account for the acquisition and maintenance of
sewer and storm drainage facilities which are supported by user charges. The water fund is used to
account for the operations and maintenance of the water system and is supported through user
charges. For financial reporting and operating purposes, management considers the activities of the
water fund as a unitary enterprise. However, for budgetary and legal purposes these activities are
accounted for in the funds listed below. Budget to actual schedules for these funds, prepared on the
modified accrual basis of accounting are included in this subsection.
Funds included in this fund category are:
Sewer Fund
• Storm Drainage Fund
• • Storm Drainage Fund
• • Water Quality and Quantity Fund
• Water Fund
• • Water General Fund
• - Water Systems Development Fund
• • Water Capital Projects Fund
i
1
1
1
1
City of Tigard, Oregon
Enterprise Funds
Combining Balance Sheet '
June 30, 1996
i
Storm
Sewer Drainage Water '
Fund Fund Fund Total
ASSETS
Current assets:
Cash and investments $ 1,280,823 $ 579,707 $ 6,607,624 $ 8,468,154
Accounts receivable 727,221 145,518 630,840 1,503,579 ,
Inventory 106,300 106,300
Due from other funds 4,810 4,810
Total current assets 2,008,044 725,225 7,349,574 10,082,843
Noncurrent assets:
Restricted cash and investments 2,128,336 994,559 2,249,489 5,372,384
Assessments receivable 3,839 3,839
Fixed assets, net 5,723,946 4,595,635 21,044,572 31,364,153
Total noncurrent assets 7,856,121 5,590,194 23,294,061 36,740,376
Total assets $ 9,864,165 $ 6,315,419 $ 30,643,635 $ 46,823,219 ,
LIABILITIES AND FUND EQUITY
Current liabilities: ,
Accounts payable and accrued
liabilities $ 853,189 $ 67,671 $ 241,537 $ 1,162,397
Customer deposits 12,490 125,180 137,670
Deferred revenues 3,839 3,839
Accrued vacation payable 25,299 17,880 51,595 94,774
Total current liabilities 894,817 85,551 418,312 1,398,680 '
Fund equity: ,
Contributed capital 5,783,492 5,539,024 27,970,429 39,292,945
Retained earnings 3,185,856 690,844 2,254,894 6,131,594
Total fund equity 8,969,348 6,229,868 30,225,323 45,424,539 ,
Total liabilities and fund equity $ 9,864,165 $ 6,315,419 $ 30,643,635 $ 46,823,219
54 ,
City of Tigard, Oregon
Enterprise Funds
Combining Statement of Revenues, Expenses and
Changes in Retained Earnings
for the fiscal year ended June 30, 1996
Storm
Sewer Drainage Water
Fund Fund Fund Total
Operating revenues:
Service charges $ 1,410,132 $ 916,537 $ 3,963,206 $ 6,289,875
Miscellaneous 8,456 127,034 25,776 161,266
Total operating revenues 1,418,588 1,043,571 3,988,982 6,451,141
Operating expenses:
Salaries and wages 525,958 363,772 1,651,585 2,541,315
Contracted services 40,803 40,803
General, administrative and other 325,382 225,047 1,021,748 1,578,177
Depreciation 340,991 284,518 753,724 1,379,233
Total operating expenses 1,192,331 873,337 3,467,860 5,533,528
Operating income 226,257 170,234 521,122 917,613
' Nonoperating revenue:
Interest revenue 187,673 91,021 450,932 729,626
' Net income 413,930 261,255 972,054 1,647,239
Add depreciation on fixed assets
donated or acquired from capital
contributions that reduces
contributed capital 121,496 123,674 215,472 460,642
Increase in retained earnings 535,426 384,929 1,187,526 2,107,881
Retained earnings - beginning of year 2,650,430 305,915 1,297,906 4,254,251
Restatement (230,538) (230,538)
Retained earnings - end of year $ 3,185,856 $ 690,844 $ 2,254,894 $ 6,131,594
1 55
City of Tigard, Oregon
Enterprise Funds
Combining Statement of Cash Flows
for the fiscal year ended June 30, 1996 '
Storm
Sewer Drainage Water
Fund Fund Fund Total
Cash flows from operating activities:
Operating income $ 226,257 $ 170,234 $ 521,122 $ 917,613
Adjustments to reconcile operating
income to net cash provided
by operating activities:
Depreciation 340,991 284,518 753,724 1,379,233
Increase in accounts receivable (92,828) (14,734) (9,442) (117,004) '
Decrease in assessments receivables 1,122 1,122
Increase in accounts payable and
accrued liabilities 30,741 623 2,898 34,262
Increase (decrease) in customer
deposits (333) 86,997 86,664
Increase (decrease) in accrued
vacation payable 942 (3,755) 6,422 3,609 '
Decrease in inventory 21,516 21,516
Decrease in deferred revenues (1,050) (1,050)
Increase in due from other fund (4,810) (4,810)
Net cash provided by operating
activities 505,842 436,886 1,378,427 2,321,155
Cash flows from capital and related.
financing activities:
Capital contributions 918,559 918,559
Acquisition of fixed assets (77,225) (421,324) (447,609) (946,158)
Net cash provided by (used in) capital
and related financing activities (77,225) (421,324) 470,950 (27,599)
Cash flows from investing activities:
Interest earnings 187,673 91,021 450,932 729,626
Net increase in cash and cash
equivalents 616,290 106,583 2,300,309 3,023,182
Cash and cash equivalents -
beginning of year 2,792,869 1,467,683 6,556,804 10,817,356 ,
Cash and cash equivalents - end of year $ 3,409,159 $ 1,574,266 $ 8,857,113 $ 13,840,538
Supplemental Schedule of Noncash Capital '
and Related Financing Activities:
Contributed sewer, storm and
waterlines $ 1,045,140 $ 715,734 $ 436,842 $ 2,197,716
Restatement of fixed assets, net $ 230,538 $ 230,538
56 ,
' City of Tigard, Oregon
Sewer Fund
Schedule of Revenues and Expenditures - Budget and Actual
for the fiscal year ended June 30, 1996
Variance
Budget Actual Favorable
' Revenues:
Service charges $ 1,293,360 $ 1,410,132 $ 116,772
Interest 100,000 187,673 87,673
Miscellaneous 8,456 8,456
Total revenues 1,393,360 1,606,261 212,901
BEGINNING FUND BALANCE AVAILABLE
FOR APPROPRIATION 2,300,000 2,591,925 291,925
$ 3,693,360 $ 4,198,186 $ 504,826
Revised
Budgeted Variance
Appropriations Actual Favorable
Expenditures:
Development services $ 532,101 $ 434,575 $ 97,526
Policy and administration 389,885 359,807 30,078
Nondepartmental 56,760 46,378 10,382
Contingency 166,383 166,383
Capital improvements 2,546,210 86,863 2,459,347
Total expenditures 3,691,339 $ 927,623 $ 2,763,716
UNAPPROPRIATED ENDING FUND BALANCE 2,021
3,693,360
57
City of Tigard, Oregon
Storm Drainage Fund
Schedule of Revenues and Expenditures - Budget and Actual
for the fiscal year ended June 30, 1996
i
Variance ,
Favorable
Budget Actual (Unfavorable)
Revenues:
Service charges $ 673,200 $ 720,570 $ 47,370
System development charges 153,160 (153,160)
Interest 50,000 75,184 25,184
Miscellaneous 127,034 127,034 '
Total revenues 876,360 922,788 46,428
BEGINNING FUND BALANCE AVAILABLE
FOR APPROPRIATION 1,000,000 1,336,638 336,638
$ 1,876,360 $ 2,259,426 $ 383,066
Revised Variance
Budgeted Favorable
Appropriations Actual (Unfavorable)
Expenditures:
Development services $ 545,193 $ 426,592 $ 118,601
Policy and administration 176,414 163,638 12,776
Nondepartmental 21,848 17,852 3,996
Contingency 68,839 68,839
Capital improvements 1,063,000 405,816 657,184
Total expenditures 1,875,294 $ 1,013,898 $ 861,396 '
UNAPPROPRIATED ENDING FUND BALANCE 1,066
$ 1,876,360
58 ,
t City of Tigard, Oregon
Water Quality & Quantity Fund
Schedule of Revenues and Expenditures - Budget and Actual
for the fiscal year ended June 30, 1996
' Variance
Budget Actual Favorable
Revenues:
Service charges $ 20,000 $ 195,967 $ 175,967
Interest 3,000 15,837 12,837
' Total revenues 23,000 211,804 188,804
' BEGINNING FUND BALANCE AVAILABLE
FOR APPROPRIATION 133,000 184,418 51,418
$ 156,000 $ 396,222 $ 240,222
' Budgeted Variance
Appropriations Actual Favorable
Expenditures:
Capital improvements $ - $ - $
' 59
City of Tigard, Oregon
Water General Fund
Schedule of Revenues and Expenditures - Budget and Actual '
for the fiscal year ended June 30, 1996
Variance
Budget Actual Favorable
Revenues:
Service charges $ 3,676,000 $ 3,963,206 $ 287,206
System development charges 275,380 431,509 156,129
Interest 90,000 298,949 208,949
Miscellaneous 18,490 25,776 7,286
Total revenues 4,059,870 4,719,440 659,570 '
BEGINNING FUND BALANCE AVAILABLE
FOR APPROPRIATION 3,300,000 4,208,819 908,819 ,
$ 7,359,870 $ 8,928,259 $ 1,568,389
Revised
Budgeted Variance
Appropriations Actual Favorable
Expenditures:
Development services $ 3,367,787 $ 2,873,871 $ 493,916 '
Policy and administration 231,653 212,748 18,905
Nondepartmental 48,065 39,274 8,191
Contingency 299,069 299,069
Capital improvements 639,962 278,904 361,058
Total expenditures 4,586,536 $ 3,404,797 $ 1,181,739
UNAPPROPRIATED ENDING FUND BALANCE 2,773,334
$ 7,359,870
,
s0
City of Tigard, Oregon
Water Systems Development Fund
Schedule of Revenues and Expenditures - Budget and Actual
for the fiscal year ended June 30, 1996
Variance
Budget Actual Favorable
Revenues:
System development charges $ 324,485 $ 487,050 $ 162,565
Interest 50,000 111,890 61,890
Total revenues 374,485 598,940 224,455
BEGINNING FUND BALANCE AVAILABLE
FOR APPROPRIATION 1,900,000 1,988,455 88,455
$ 2,274,485 $ 2,587,395 $ 312,910
Budgeted Variance
Appropriations Actual Favorable
Expenditures:
Capital improvements $ 2,074,485 $ 4,398 $ 2,070,087
Contingency 200,000 200,000
$ 2,274,485 $ 4,398 $ 2,270,087
61
City of Tigard, Oregon
Water Capital Projects Fund
Schedule of Revenues and Expenditures - Budget and Actual ■
for the fiscal year ended June 30, 1996 ■
Variance
Budget Actual Favorable
Revenues:
Interest $ 35,000 $ 40,093 $ 5,093
BEGINNING FUND BALANCE AVAILABLE
FOR APPROPRIATION 650,000 664,761 14,761
$ 685,000 $ 704,854 $ 19,854
Budgeted Variance
Appropriations Actual Favorable
Expenditures:
Capital improvements $ 685,000 $ - $ 685,000
62
Fiduciary Funds
' These funds account for resources received and held by the City in a fiduciary capacity.
Disbursements from these funds are made in accordance with the trust agreement or conditions of the
' trust for the particular fund. Funds included in this category are:
Agency Fund - Deferred Compensation Fund
• Pension Trust Funds - General and Water Fund Employees Pension Plans
City of Tigard, Oregon ,
Fiduciary Funds
Combining Balance Sheet ,
June 30, 1996
Agency Fund -
Deferred '
Compensation Pension
Fund Trust Funds Total
ASSETS
Cash and investments $ 2,030,140 $ 4,701,840 $ 6,731,980
LIABILITIES AND FUND BALANCE
Liabilities: '
Deferred compensation payable $ 2,030,140 $ 2,030,140
Fund balance:
Reserved for employee retirement benefits $ 4,701,840 4,701,840
$ 2,030,140 $ 4,701,840 $ 6,731,980
63
' City of Tigard, Oregon
Pension Trust Funds
Combining Balance Sheet
June 30, 1996
General Water Fund
Employees Employees
' Pension Pension
Plan Plan Total
ASSETS
Cash and investments $ 3,999,898 $ 701,942 $ 4,701,840
' FUND BALANCE
Reserved for employee retirement benefits $ 3,999,898 $ 701,942 $ 4,701,840
64
City of Tigard, Oregon '
Pension Trust Funds
Combining Statement of Revenues, Expenses ■
and Changes in Fund Balance ■
for the fiscal year ended June 30, 1996
General Water Fund i
Employees Employees
Pension Pension
Plan Plan Total
Operating revenues:
Contributions $ 610,141 $ 610,141
Interest 396,320 $ 52,220 448,540
Total operating revenues 1,006,461 52,220 1,058,681
Operating expenses:
Benefit payments and withdrawals 169,370 34,786 204,156
Operating income 837,091 17,434 854,525
Retained earnings - beginning of year 3,162,807 684,508 3,847,315
Retained earnings - end of year $ 3,999,898 $ 701,942 $ 4,701,840
i
65
i City of Tigard, Oregon
Agency Fund - Deferred Compensation Fund
' Statement of Changes in Assets and Liabilities
for the fiscal year ended June 30, 1996
i
1
1
Balance Balance
1 June 30, June 30,
1995 Additions Deletions 1996
ASSETS
Cash and investments $1,703,091 $ 444,747 $ 117,698 $2,030,140
LIABILITIES
Deferred compensation payable $1,703,091 $ 444,747 $ 117,698 $ 2,030,140
1
1
66
CITY OF TIGARD
OREGON
1
1
' General Fixed Assets Account Group
' This account group accounts for the City's investment in fixed assets, with the exception of those
assets in the Enterprise Funds.
City of Tigard, Oregon '
Schedule of General Fixed Assets - By Sources
June 30, 1996 ,
GENERAL FIXED ASSETS
Land $ 3,280,704
Buildings 4,289,638 '
Equipment 863,197
Autos and trucks 1,134,580
Office equipment 1,372,277
Total investment in general fixed assets $ 10,940,396 ,
INVESTMENT IN GENERAL FIXED ASSETS '
Investment in general fixed assets from:
Investment in property acquired prior to June 30, 1994 $ 8,664,534
Net investment in property acquired after June 30, 1994 from:
General Fund 2,275,862 '
Total investment in general fixed assets $ 10,940,396
67
' City of Tigard, Oregon
Schedule of General Fixed Assets -
' By Function and Activity
June 30, 1996
' Machinery,
Equipment,
Function and Activity Total Land Buildings and Other
Community services:
' Police $ 1,129,894 $ 1,129,894
Library 385,355 385,355
Parks 276,125 276,125
' Total community services 1,791,374 1,791,374
Community development:
Administration 55,735 55,735
Building 114,192 114,192
Planning 28,965 28,965
Engineering 164,374 164,374
' Operations/admin. 58,905 58,905
Operations/shops 51,251 51,251
Streets 503,798 503,798
Operations/management 22,498 22,498
Total community development 999,718 999,718
' Policy and administration:
Mayor and City Council 12,424 12,424
City administration 46,997 46,997
' Finance 60,868 60,868
Computer services 136,592 136,592
Accounting 52,507 52,507
Office services 75,070 75,070
' Records 40,688 40,688
Court 7,994 7,994
Total policy and administration 433,140 433,140
General government 7,716,164 $ 3,280,704 $ 4,289,638 145,822
' Total investment in general
fixed assets $ 10,940,396 $ 3,280,704 $ 4,289,638 $ 3,370,054
i
~ 68
City of Tigard, Oregon ,
Schedule of Changes in General Fixed Assets -
By Function and Activity ,
for the fiscal year ended June 30, 1996
General General '
Fixed Assets Transfers/ Fixed Assets
Function and Activity June 30, 1995 Additions Retirements June 30, 1996 '
Community services:
Police $ 922,299 $ 262,674 $ (55,079) $ 1,129,894 '
Library 344,624 55,004 (14,273) 385,355
Parks 265,601 16,986 (6,462) 276,125
Total community services 1,532,524 334,664 (75,814) 1,791,374 '
Community development:
Administration 52,785 6,818 (3,868) 55,735 '
Building 97,083 19,566 (2,457) 114,192
Planning 26,416 9,297 (6,748) 28,965
Engineering 159,673 43,783 (39,082) 164,374
Operationsladmin. 45,435 27,202 (13,732) 58,905
Operations/shops 51,645 849 (1,243) 51,251
Streets 398,549 108,420 (3,171) 503,798
Operations/management 26,521 (4,023) 22,498
Total community development 858,107 215,935 (74,324) 999,718
Policy and administration: ,
Mayor and City Council 12,047 649 (272) 12,424
City administration 35,579 21,945 (10,527) 46,997
Finance 28,822 35,934 (3,888) 60,868
Computer services 139,211 32,073 (34,692) 136,592
Accounting 40,848 19,069 (7,410) 52,507
Office services 76,865 18,862 (20,657) 75,070
Records 37,847 2,841 40,688
Court 8,241 2,810 (3,057) 7,994
Total policy and administration 379,460 134,183 (80,503) 433,140 ,
General government 6,704,081 1,022,218 (10,135) 7,716,164
Total investment in general '
fixed assets $ 9,474,172 $ 1,707,000 $ (240,776) $ 10,940,396
69 ,
1
1
1
Other Schedules
1 Schedules included in this section are:
1 Property Tax Transactions and Outstanding Balances
Bond and Bond Interest Transactions
Future Debt Service Requirements of Bancroft Improvement Bonds
Future Debt Service Requirements of General Obligation Bonds
1
1
i
1
City of Tigard, Oregon
Schedule of Property Tax Transactions '
and Outstanding Balances
for the fiscal year ended June 30, 1996
Property Add Property
Taxes Levy as Taxes '
Receivable Extended Deduct Receivable
June 30, By Discounts Deduct Add, Deduct June 30,
1995 Assessor Allowed Adjustments Interest Collections 1996
1995-96 $ 5,982,372 $ (145,037) $ (24,498) $ 7,702 $ (5,671,785) $ 148,754 '
1994-95 $ 171,663 (3,142) 7,613 (122,668) 53,468
1993-94 62,435 (5,810) 7,337 (35,890) 28,072 '
1992-93 32,420 (5,830) 7,653 (25,501) 8,742
1991-92 11,316 (1,838) 3,404 (10,353) 2,529 '
1990-91 and prior 7,817 (1,995) 1,644 (3,644) 3,822
$ 285,651 $ 5,982,372 $ (145,037) $ (43,113) $ 35,353 $ (5,869,839) $ 245,387
Property
Taxes ,
Receivable
Cash June 30,
Collections 1996
Distributed as follows:
General Fund:
Current $ 4,303,201 $ 110,851
Prior years' levies 134,978 68,920
Total General Fund 4,438,179 179,771 ,
Debt Service Funds:
Current 1,368,584 37,903 ,
Prior years' levies 51,216 22,046
Total Debt Service Funds 1,419,800 59,949
Capital Projects Funds: ,
Prior years' levies 11,860 5,667
Total $ 5,869,839 $ 245,387
70
1
City of Tigard, Oregon
' Schedule of Bond and Bond Interest Transactions
for the fiscal year ended June 30, 1996
' Bond Transactions Interest Transactions
Outstanding Outstanding
Original June 30, June 30,
Bancroft Bonds Issue 1995 Called Matured Paid 1996 Matured Paid
Issued September 1, 1982 $ 184,664 $ 20,000 $ (10,000) $ 10,000 $ (2,350) $ (1,665)
Issued December 1, 1989 340,000 40,000 $ 20,000 (20,000) 20,000 1,800 1,800
' Issued August 1, 1990 2,244,000 835,000 $ (100,000) 115,000 (115,000) 620,000 48,070 48,070
Issued August 1, 1991 405,000 225,000 (40,000) 185,000 13,500 13,500
Issued May 1, 1993 660,000 610,000 610,000 29,520 29,520
$ 1,730,000 $ (140,000) $ 135,000 $ (145,000) $ 1,445,000 $ 90,540 $ 91,225
General Obiination Bonds
Issued February 24, 1987 2,215,000 $ 155,000 $ 155,000 $ (155,000) $ 8,525 $ 8,525
' Issued May 1, 1993 6,935,000 6,500,000 1,150,000 (1,150,000) $ 5,350,000 252,370 249,994
$ 6,655,000 $ - $1,305,000 $ (1,305,000) $ 5,350,000 $ 260,895 $ 258,519
71
City of Tigard, Oregon
Schedule of Future Debt Service Requirements
of Bancroft Improvement Bonds
as of June 30, 1996
Issued Issued Issued Issued Issued
September 1, 1982 December 1, 1989 August 1, 1990 August 1, 1991 May 1, 1993
Year of Total Requirements 11.75% 6.0% 6.0% to 6.3% 6.0% 4.10% to 5.0%
Maturity Principal Interest Principal Interest Principal Interest Principal Interest Principal Interest Principal Interest
1996-97 $ 155,000 $ 82,027 $ 10,000 ` $ 20,000 $ 600 $ 125,000 $ 40,807 $ 11,100 $ 29,520
1997-98 135,000 73,498 135,000 32,878 11,100 29,520
1998-99 145,000 64,885 145,000 24,265 11,100 29,520
1999-2000 210,000 54,472 150,000 15,082 11,100 $ 60,000 28,290
~ 2000-01 65,000 40,208 65,000 2,048 11,100 27,060
N
2001-02 185,000 32,610 $ 185,000 5,550 27,060
2002-03 110,000 24,530 110,000 24,530
22,000 22,000
2003-04
2004-05 22,000 22,000
2005-06 440,000 9,167 440,000 9,167
Totals $1,445,000 $ 425,397 $ 10,000 $ - $ 20,000 $ 600 $ 620,000 $ 115,080 $ 185,000 $ 61,050 $ 610,000 $ 248,667
'Issue was called on 6/1/93. Amounts outstanding are bearer bonds which have not been presented for payment.
1
City of Tigard, Oregon
' Schedule of Future Debt Service Requirements
of General Obligation Bonds
' as of June 30, 1996
Issued Issued
t February 24, 1987 May 1, 1993
Year of Total 5.5% 3.40/6 to 4.75%
Maturity Principal Interest Principal Interest Principal Interest
' 1996-97 $ 4,262 $ 4,262
1997-98 $ 1,385,000 186,165 $ 1,385,000 $ 186,165
' 1998-99 1,490,000 132,925 1,490,000 132,925
1999-2000 1,570,000 72,822 1,570,000 72,822
2000-01 210,000 36,515 210,000 36,515
' 2001-02 225,000 26,994 225,000 26,994
2002-03 225,000 16,813 225,000 16,813
2003-04 245,000 5,819 245,000 5,819
$ 5,350,000 $ 482,315 $ - $ 4,262 $ 5,350,000 $ 478,053
1
1
73
CITY OF TIGARD
OREGON 1
1
STATISTICAL
SECTION
City of Tigard, Oregon
' General Governmental Expenditures by Function -
Budgetary Basis
for the last ten fiscal years
City Wide
Support
Functions,
Fiscal Capital
Year Ended Community Community Policy and Projects Debt
June 30, Services Development Administration and Other Service Total
1987 $ 2,450,459 $ 1,462,456 $ 111,909 $ 1,183,467 $ 808,888 $ 6,017,179
' 1988 3,042,321 1,764,513 121,016 1,452,149 785,234 7,165,233
1989 3,357,664 1,980,927 112,966 3,177,147 772,739 9,401,443
' 1990 3,539,680 2,096,431 253,593 4,977,930 3,481,870 14,349,504
1991 4,347,338 2,558,534 281,180 7,216,338 4,157,959 18,561,349
1992 4,520,483 2,466,774 1,157,205 4,001,522 2,643,174 14,789,158
1993 4,755,049 2,459,618 1,223,269 2,449,617 2,652,428 13,539,981
1994 5,088,712 2,641,694 1,317,972 3,604,930 5,647,732 18,301,040
1995 5,656,128 2,745,236 1,332,630 2,148,786 2,388,061 14,270,841
1996 6,073,218 3,230,316 1,482,194 2,895,552 5,152,515 18,833,795
Information derived from Comprehensive Annual Financial Reports for all Governmental Fund Types.
1
i
1
74
City of Tigard, Oregon
General Governmental Revenues by Sources - '
Budgetary Basis
for the last ten fiscal years '
Fiscal
Year Licenses Inter- Charges '
Ended Franchise and governmental for Fines and Miscellaneous
June 30, Taxes Fees Permits Revenues Services Forfeitures Revenues' Total
1987 $ 1,807,800 $ 745,520 $ 650,961 $ 1,246,840 $ 382,384 $ 144,559 $ 1,127,693 $ 6,105,757 '
1988 2,152,792 849,844 1,031,018 1,220,779 514,048 254,154 1,160,391 7,183,026
1989 2,408,597 1,031,791 1,059,725 1,517,777 599,002 240,849 1,113,184 7,970,925
1990 3,746,834 1,100,181 1,445,011 2,040,711 39,818 232,332 2,183,206 10,788,093
1991 4,160,790 1,179,833 1,206,920 2,379,431 79,370 259,497 1,627,675 10,893,516
1992 4,963,329 1,287,794 1,659,542 3,050,675 102,081 322,618 1,464,811 12,850,850
1993 5,493,516 1,320,686 1,682,341 3,073,728 301,569 316,947 1,599,480 13,788,267
1994 5,894,241 1,447,668 2,554,752 3,105,356 393,349 307,982 1,576,679 15,280,027 '
1995 6,107,116 1,592,707 2,344,386 3,350,614 418,965 325,970 851,444 14,991,202
1996 5,860,948 1,669,784 2,555,271 3,717,655 357,571 304,246 1,534,205 15,999,680 '
'Includes special assessments collections and private donations.
Information deriv@d from Comprehensive Annual Financial Reports for all Governmental Fund Types.
75
City of Tigard, Oregon
' Property Tax Levies and Collections
for the last ten fiscal years
Fiscal Percent Percent
Year Percent Delinquent Total Total Tax Outstanding Delinquent
Ended Total Current Tax of Levy Tax Tax Collections Delinquent Taxes to
June 30, Tax Levy Collections Collections Collections Collections to Tax Levy Taxes Tax Levy
1987 $ 1,946,727 $ 1,773,229 91.09 % $ 114,319 $ 1,887,548 96.98% $ 216,864 11.14%
1988 2,229,786 2,023,790 90.76 124,659 2,148,449 96.35 254,595 11.42
1989 2,455,914 2,240,508 91.23 150,511 2,391,019 97.36 289,212 11.78
1990 3,812,090 3,520,898 92.36 193,334 3,714,232 97.43 332,144 8.71
' 1991 4,266,155 3,918,774 91.86 224,988 4,143,762 97.13 372,918 8.74
1992 5,148,022 4,717,610 91.64 228,047 4,945,657 96.07 408,691 7.94
' 1993 5,548,159 5,213,266 93.96 260,368 5,473,634 98.66 391,447 7.06
1994 5,984,204 5,622,050 93.95 272,191 5,894,241 98.50 333,198 5.57
1995 6,212,684 5,884,893 94.40 242,923 8,107,816 98.30 285,651 4.60
' 1996 5,982,372 5,671,785 94.81 198,054 5,869,839 98.12 245,387 4.10
i Taxes are levied as of July 1 each year and are payable in three installments, without interest, on November 15, February 15, and May 15. Interest is
charged at the rate of 1% per month on delinquent taxes. Tax liens are foreclosed after three year's delinquencies. Taxpayers receive a discount of
3% for payment in full by November 15 and 2% for payment of two-thirds of the total taxes due.
' Information derived from Comprehensive Annual Financial Reports.
' 76
City of Tigard, Oregon '
Assessed Value of Taxable Property
for the last ten fiscal years '
Assessed Value
Fiscal Public
Year Ended Real Personal utility
June 30, Property Property Property Total ,
1987 $ 867,279,500 $ 61,379,940 $ 28,457,428 $ 957,116,868
1988 1,057,515,500 86,733,050 32,526,302 1,176,774,852
1989 1,200,581,900 93,401,270 32,131,292 1,326,114,462
1990 1,278,128,284 106,268,976 38,738,512 1,423,135,772 ,
1991 1,435,394,724 115,983,044 36,707,073 1,588,084,841 ,
1992 1,755,342,623 114,457,543 40,526,271 1,910,326,437
1993 1,820,521,857 139,064,986 50,197,374 2,009,784,217 '
1994 1,972,696,888 142,496,210 60,467,981 2,175,661,079
1995 2,229,444,147 156,419,813 72,874,589 2,458,738,549
1996 2,499,277,057 164,967,611 70,968,422 2,735,213,090
All property is assessed as of January 1, preceding the fiscal year beginning July 1. '
Source: Washington County Department of Assessment and Taxation.
77 '
rr . r r r r r r r r r r r rr r r r r rr
City of Tigard, Oregon
Property Tax Rates - Direct and Overlapping Governments
(Per sl,ooo of Assessed Value)
for the last ten fiscal years
Tigard/ Washington Washington
Fiscal Metzger Tualatin Beaverton Tualatin County County
Year Metzger Water School School Tigard Unified Rural Fire Rural Fire Portland Education Other
Ended Water District City of Washington District District Water Metzger Sewerage Protection District Community Service Taxing
June 30, District Combined Tigard County No. 23J No.48 District Sanitary Agency District No.1 College District Agencies
1987 1.94 2.82 11.36 13.40 0.27 0.25 2.99 2.61 0.85 0.25 1.66
1988 0.03 0.53 2.03 2.81 12.10 13.13 0.19 0.24 0.36 2.70 2.65 0.89 0.26 0.63
1989 0.02 0.59 1.98 2.95 14.46 16.49 0.15 0.36 2.49 2.62 0.92 0.26 0.73
1990 0.02 0.61 2.79 2.02 14.54 16.67 0.13 0.27 2.52 0.94 0.26 1.69
1991 0.02 0.53 2.76 2.94 14.60 15.82 0.11 0.25 2.41 0.91 0.25 0.57
1992 0.02 0.48 2.76 1.41 16.73 13.44 0.09 0.19 1.99 0.81 0.21 0.49
V 1993 0.48 2.80 1.41 15.95 14.16 0.08 0.18 1.98 0.90 0.21 0.43
OD
1994 0.42 277 1.36 15.58 13.39 0.08 0.12 1.88 0.87 0.20 0.37
1995 0.25 2.51 1.27 13.88 12.41 0.07 0.07 1.76 0.82 0.19 0.38
1996 0.25 2.18 1.52 14.01 12.07 0.06 0.09 1.66 0.79 0.18 0.38
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. The operating levy may be increased annually to 106% of the highest
levy in the prior three years. Levy increases are permitted in the year following expansion of a district's boundaries. Special operating levies may be approved for periods not exceeding 10 years. 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.
Assessment and tax rolls are prepared and maintained by Washington County for all taxing districts with territory in the County. The County collects all taxes against property in the County (except assessments for improvements charged to benefited
property) and distributes taxes collected at least monthly. No charges are made to the taxing districts for these services.
NOTE: - Not all taxing districts rates 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 1994 ranged from $21.04/$1000 to $23.57/$1000.
Source: Washington County Department of Assessment and Taxation.
City of Tigard, Oregon '
Special Assessment Collections
for the last ten fiscal years '
Fiscal Current Ratio of Total '
Year Ended Assessments Assessments Collections Outstanding
June 30, Due (1) Collected (2) to Amount Due Assessments '
1987 $ 278,000 $ 547,106 196.8 % $ 1,565,038
1988 308,000 532,224 172.8 1,218,351 '
1989 328,000 372,584 113.6 828,575
1990 693,000 818,094 118.1 892,780
1991 343,000 279,468 81.5 3,181,495
1992 427,000 288,574 67.6 2,900,352
1993 408,000 688,664 168.8 2,380,059 '
1994 193,000 186,036 96.4 2,250,041
1995 208,000 146,548 70.5 2,088,745 '
1996 135,000 218,667 161.98 1,846,910 '
(1) This amount is equal to the matured principal on Bancroft improvement bonds. '
(2) Represents collections of current assessments for payment of Bancroft improvement bonds as well as '
assessment collections on projects for which such bonds have not been issued.
Source: City assessment records. ,
i
79
City of Tigard, Oregon
' Ratio of Net General Bonded Debt to Assessed Value and
Net Bonded Debt Per Capita
for the last ten fiscal years
' Gross
General Ratio of
Obligation Less Debt Net Bonded
Fiscal Bonded Service Net Debt to Net Bonded
Year Ended Assessed Debt Monies Bonded Assessed Debt Per
June 30, Population Value Outstanding Available Debt Value Capita
1987 22,000 $ 957,116,828 $ 2,665,000 $ 38,858 $ 2,626,142 0.27 % $ 119.37
1988 24,782 1,176,774,852 2,580,000 17,871 2,562,129 0.21 103.39
1989 25,602 1,326,114,462 10,990,000 45,028 10,944,972 0.83 427.50
1990 27,050 1,423,135,772 11,990,000 ' 165,664 11,824,336 0.83 437.13
1991 29,652 1,588,084,841 13,304,000 ' 345,050 12,958,950 0.82 437.03
' 1992 30,835 1,910,326,437 12,595,000 • 620,597 11,974,403 0.63 388.34
1993 31,271 2,009,784,217 11,671,000 ' 830,080 10,840,920 0.54 346.68
1994 33,802 2,175,661,079 9,878,000- 611,481 9,266,519 0.43 274.14
' 1995 33,744 2,458,738,549 8,385,000- 422,107 7,962,893 0.32 235.98
1996 36,083 2,735,213,090 6,795,000 ' 387,102 6,407,898 0.23 177.59
' 'Excludes bond anticipation notes payable.
Sources: City budget documents, Comprehensive Annual Financial Reports in the City and Washington County Department of Assessment and
Taxation.
' 80
City of Tigard, Oregon '
Computation of Legal Debt Margin
June 30, 1996
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 (1995-96) (1) $ 2,735,213,090 '
General obligation debt limit x3%
82,056,393 '
Gross bonded debt $ 6,795,000 ,
Excludable debt - Bancroft improvement bonds (1,445,000)
Debt subject to limitation 5,350,000 '
Legal debt margin - amount available for future indebtedness $ 76,706,393
(1) From Washington County Department of Assessment and Taxation. '
t
81
City of Tigard, Oregon
Computation of Overlapping General Obligation Debt
' June 30, 1996
Percent Amount
Applicable Applicable
Net Debt Inside City Inside City
Jurisdiction Outstanding of Tigard of Tigard
' Tigard/Tualatin School District #23-J $ 75,425,000 52.7800 % $ 39,809,315
' Tri-Met 140,885,000 3.9601 5,579,187
Port of Portland 50,654,003 3.5946 1,820,809
' Metro 195,254,923 3.9787 7,768,608
Beaverton School District #48 93,280,000 4.1305 3,852,930
' Portland Community College 54,823,585 5.1328 2,813,985
' Washington County 89,814,738 12.2760 11,026,286
Unified Sewerage Agency 6,275,000 13.2003 828,319
' Tualatin Rural Fire Protection District 1,065,000 17.3787 185,083
Tigard Water District (Metier Bond) 3,435,000 59.2071 2,033,764
' Tualatin Valley Water District 1,585,000 10.3528 164,092
$ 712,497,249 $ 75,882,378
Source: Oregon Municipal Debt Advisory Commission.
82
1
City of Tigard, Oregon
Ratio of Annual Debt Service Expenditures for Long-Term
Debt to Total General Governmental Expenditures '
for the last ten fiscal years
Fiscal Total Percent of Debt '
Year Total General Service to
Ended Debt Governmental Total General
June 30, Principal Interest Service Expenditures Expenditures '
1987 $ 348,000 $ 460,888 $ 808,888 $ 6,017,179 13.4 %
1988 393,000 390,369 783,369 7,165,233 10.9 '
1989 418,000 354,739 772,739 9,401,443 8.2
1990 2,383,000 1,098,870 3,481,870 14,349,504 24.3 '
1991 3,034,760 1,123,199 4,157, 959 18, 561, 349 22.4 ,
1992 1,664,000 979,174 2,643,174 14,789,158 '17.9
1993 1,939,000 713,428 2,652,428 13,539,981 19.6 ,
1994 4,742,523 (1) 905,209 (1) 5,647,732 18,301,040 30.1
1995 1,828,000 (2) 560,061 (2) 2,388,061 14,270,841 16.7 ,
1996 4,385,000 (1) 767,515 (1) 5,152,515 18,833,795 27.4 ,
Source: Comprehensive Annual Financial Reports of the City. '
(1) Includes bond anticipation notes principal and interest. ,
(2) Includes bond anticipation notes interest and certificates of participation principal and interest. ,
83 ,
' City of Tigard, Oregon
Property Value, Construction and Bank Deposits
' for the last ten fiscal years
' Commercial Residential
Fiscal Construction (1) Construction (1)
' Year Ended Number of Number of Bank Deposits
June 30, Permits Value Permits Value (in thousands) (2)
1987 169 $ 10,717,219 442 $ 44,412,105 $ 175,236
1988 228 34,991,735 633 32,524,988 165,107
1989 212 21,189,454 604 35,826,025 N/A
1990 320 27,495,457 749 40,729,414 N/A
' 1991 62 27,985,499 268 28,160,790 N/A
1992 37 31,498,832 218 24,259,243 N/A
1993 28 25,685,703 408 43,687,254 N/A
' 1994 40 63,946,411 683 62,765,587 N/A
1995 24 31,873,570 452 63,699,561 N/A
' 1996 37 34,644,201 496 65,935,382 N/A
' (1) From City of Tigard Building Department. Multi-family permits are included in the number of permits
issued for residential construction.
' (2) From State of Oregon Department of Commerce, Division of Finance and Corporate Securities.
' N/A - Information not available.
1
1
84
City of Tigard, Oregon 1
Principal Taxpayers
June 30, 1996 ,
Percentage ,
of Total
Assessed Assessed
Taxpayer Type of Business Valuation Valuation '
Pacific Realty Associates Oregon Business Park $ 116,000,000 4.24 %
Winmar Co. Washington Square Shopping Mall 103,000,000 3.77
SF Oregon Co. Ltd. Lincoln Center Office Park 59,154,040 2.16
Spieker Properties Park 217 retail office center and 20,531,000 0.75 '
Nelson Business Park
Nesbitt Partners Embassy Suites Hotel 20,380,820 0.75 '
Robinson Trust Scholls Business Center 14,827,080 0.54
Real Estate Equities Joint '
Venture Meadow Creek Apartments 11,753,570 0.43
Costco/Wholesale Price/Costco 10,370,410 0.38 '
Pacific Corp. Tigard Marketplace Shopping Plaza 9,338,280 0.34
FIG Holding Co. Farmers Insurance 9,314,350 0.34 ,
Total principal taxpayers 374,669,550 13.70
All other taxpayers 2,360,543,540 86.30 ,
Total $ 2,735,213,090 100.00 % '
Source: City of Tigard Planning Department. ,
85 '
' City of Tigard, Oregon
Demographic Statistics
' for the last ten fiscal years
Assessed (2)
' Value Unemployment
Fiscal of Taxable (3) Rate
Year Ended (1) Property School Portland
' June 30, Population Per Capita Enrollment Metro. Area
1987 23,335 $ 43,488 7,064 5.3 %
' 1988 24,782 47,485 7,050 4.8
1989 25,602 51,797 7,236 4.5
1990 27,050 52,611 7,940 4.1
' 1991 29,652 53,557 8,795 4.9
1992 30,835 61,953 8,965 6.2
1993 31,271 64,270 9,427 5.8
1994 33,802 64,365 9,644 4.8
1995 33,744 72,865 10,579 4.7
1996 36,083 75,803 10,829 4.2
Sources of information:
' (1) Portland State University, Population Research & Census Center.
' (2) U.S. Bureau of Labor Statistics.
' (3) Tigard/Tualatin School District #23-J.
86
City of Tigard, Oregon
Miscellaneous Statistical Data
June 30, 1996 ,
Date of incorporation 1961 t
Form of government Council - Mayor - Administrator
Area 10.44 square miles
Miles of streets 122.7 miles '
Number of street lights:
City owned 2,345
City maintained (PGE owned) 678
Police protection: ,
Number of stations 1
Number of policemen and officers 52 '
Education:
Attendance centers 14
Number of teachers 623 '
Number of students 10,829
Sanitary sewers 123.7 miles '
Storm lines 75.2 miles
Open ditches 11.3 miles '
Building permits issued (1995) 533 permits
Recreation and culture: ,
Number of parks 13
Number of libraries 1
Number of volumes (estimated) 107,863 volumes '
Employees:
Classified service (union) 143 '
Unclassified (non-union) 55
Information obtained from the various departments of the City of Tigard, Oregon and Tigard/Tualatin School ,
District #23-J.
1
87 '
~ AUDIT COMMENTS AND
~ DISCLOSURES REQUIRED BY
~ STATE REGULATIONS
1
1
1
1
1
1
1
1
1
1
1
1
1
Audit Comments and Disclosures
Required By State Regulations
Oregon Administrative Rules 162-10-050 through 162-10-320 incorporate the Minimum Standards
' for Audits of Oregon Municipal Corporations. These standards, prescribed by the Secretary of State
in cooperation with the Oregon State Board of Accountancy, enumerate the financial statements,
schedules, comments and disclosures required in audit reports. The required statements and
' schedules are set forth in the preceding sections of this report. Required comments and disclosures
related to our audit of such statements and schedules are set forth following.
88
Audit Comments and Disclosures
1. Internal Control Structure: '
We have audited the general purpose financial statements of City of Tigard, Oregon, as of and
for the year ended June 30, 1996 and have issued our report thereon dated October 4, 1996, '
except for Note 12 as to which the date is November 5, 1996.
We conducted our audit in accordance with generally accepted auditing standards and '
Government Auditing Standards, issued by the Comptroller General of the United States.
Those standards require that we plan and perform the audit to obtain reasonable assurance about
whether the general purpose financial statements are free of material misstatement. '
The management of 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 general purpose
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 general purpose financial statements of City of ,
Tigard, Oregon for the year ended June 30, 1996, we obtained an understanding of the internal
control structure. With respect to the internal control structure, we obtained an understanding
of the design of relevant policies and procedures and whether they have been placed m '
operation, and we assessed control risk in order to determine our auditing procedures for the
purpose of expressing our opinion on the general purpose financial statements and not to
provide an opinion on the internal control structure. Accordingly, we do not express such an
'
opinion.
Our consideration of the internal control structure would not necessarily disclose all matters mi
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 internal control structure elements does not '
reduce to a relatively low level the risk that errors and irregularities in amounts that would be
material in relation to the general purpose 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
operations that we consider to be material weaknesses as defined above.
89
1
' Audit Comments and Disclosures, Continued
1. Internal Control Structure, Continued:
' This report is intended for the use of the City Council, management, grantors and the State of
Oregon, Secretary of State, Division of Audits. However, this report is a matter of public
record and its distribution is not limited.
ll. Other Comments and Disclosures:
' We have audited the general purpose financial statements of the City of Tigard, Oregon as of
and for the year ended June 30, 1996, and our report thereon is included on Pages 1 and 2 of
' this report. Our audit was made in accordance with generally accepted auditing standards.
In connection with our audit, nothing came to our attention that caused us to believe the City
was not in compliance with:
' ORS 294.305 to 294.520 in the preparation and adoption of its budget and tax levies
for the fiscal years ending June 30, 1996 and June 30, 1997,
' the legal requirements relating to debt,
• the appropriate law, rules and regulations pertaining to programs funded wholly or
' partially by other governmental agencies,
• the cost accounting guidelines developed by the State of Oregon Executive
' Department with regard to the City's cost accounting system,
• ORS 294.035 in the investment of public monies,
' ORS Chapter 279 in the awarding of public contracts and the construction of public
improvements,
' the legal requirements, (as contained in Article IX, Section 3a of the Oregon
Constitution), pertaining to the use of revenue from taxes on motor vehicle use and
fuel,
except:
the City was not in compliance with the collateral requirements for public fund deposits
' specified in ORS Chapter 295 at certain times prior to December 14, 1995 at which time the
City increased its certificate of participation,
90
Audit Comments and Disclosures, Continued '
If. Other Comments and Disclosures Continued '
the City made expenditures in excess of appropriations in the following funds and categories:
Special Revenue Fund:
FEMA Disaster Fund: ,
Community services $ 3,643
Development services 11,737
Policy and administration 14,215
Capital improvements 22,036 '
Capital Projects Fund:
Bull Mountain Road Improvement Fund:
Capital improvements 23,131 '
However, it should be noted our audit was not directed primarily toward obtaining knowledge
of noncompliance with such requirements. ,
Additionally, we make the following other comments:
• We found the City's accounting records to be adequate for audit purposes. '
• We reviewed the City's insurance and fidelity bond coverage at June 30, 1996 and
ascertained such policies appeared to be in force. We are not competent by training '
to state whether the insurance policies covering City-owned property in force at
June 30, 1996, are adequate.
I
COOPERS & LYBRAND L.L.P. ,
By_ ems.
Brent A. Macey, a Partner
Portland, Oregon ,
October 4, 1996
91 ,