CAFR Report FY 2015-201613125 SW Hall Boulevard | Tigard, OR 97223 | www.tigard-or.gov
FISCAL YEAR ENDED JUNE 30, 2016
Comprehensive Annual
Financial Report
City of Tigard, Oregon
ON THE COVER The cover picture was taken by Meghan Verhey. It depicts the
completed Main Street Green Street project in downtown Tigard.
The updates include improved sidewalks, pedestrian safety, green
street features and updated artwork. Also pictured is one of the
glass baskets funded by the Downtown Alliance.
City of Tigard, Oregon
Comprehensive Annual Financial Report
For the fiscal year ended, June 30, 2016
Prepared by:
City of Tigard – Finance and Information Services Department
City of Tigard, Oregon
Table of Contents
Introductory Section
Letter of Transmittal ---------------------------------------------------------------------------------------------------------------------- 1
Certificate of Achievement for Excellence in Financial Reporting ----------------------------------------------------------- 10
Organization Chart ----------------------------------------------------------------------------------------------------------------------- 11
Principal Officials ------------------------------------------------------------------------------------------------------------------------- 12
Financial Section
Independent Auditor’s Report -------------------------------------------------------------------------------------------------------- 13
Management’s Discussion and Analysis -------------------------------------------------------------------------------------------- 16
Basic Financial Statements:
Government-Wide Financial Statements
Statement of Net Position ---------------------------------------------------------------------------------------------------- 31
Statement of Activities --------------------------------------------------------------------------------------------------------- 32
Fund Financial Statements
Major Governmental Funds:
Balance Sheet ----------------------------------------------------------------------------------------------------------------- 34
Reconciliation of the Balance Sheet to the Statement of
Net Position ------------------------------------------------------------------------------------------------------------------- 35
Statement of Revenues, Expenditures, and Changes in Fund Balance ----------------------------------------- 36
Reconciliation of the Statement of Revenues, Expenditures, and
Changes in Fund Balance to the Statement of Activities -------------------------------------------------------- 37
Proprietary Funds:
Statement of Net Position ------------------------------------------------------------------------------------------------- 38
Statement of Revenues, Expenses, and Changes in Fund Net Position ---------------------------------------- 39
Statement of Cash Flows --------------------------------------------------------------------------------------------------- 40
Pension Trust Fund:
Statement of Fiduciary Net Position ------------------------------------------------------------------------------------ 41
Statement of Changes in Fiduciary Net Position --------------------------------------------------------------------- 42
Notes to Basic Financial Statements ------------------------------------------------------------------------------------------------ 43
Required Supplementary Information:
Schedules of Revenues and Expenditures – Budget and Actual:
General Fund ------------------------------------------------------------------------------------------------------------------ 83
Gas Tax Fund ------------------------------------------------------------------------------------------------------------------- 84
Notes to Required Supplemental Information:
Budget to GAAP Reconciliation ------------------------------------------------------------------------------------------- 85
Schedule of the City’s Proportionate Share of the Net Pension Liability (Asset) ----------------------------------- 86
Schedule of Plan Contributions -------------------------------------------------------------------------------------------------- 87
Other Supplementary Information:
Nonmajor Governmental Funds Combining Statements:
Combining Balance Sheet -------------------------------------------------------------------------------------------------- 88
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances ------------------------ 89
Special Revenue Funds:
Combining Balance Sheet – Nonmajor Special Revenue Funds -------------------------------------------------- 90
Combining Statement of Revenues, Expenditures, and Changes in Fund Balance ------------------------- 92
Schedules of Revenues and Expenditures – Budget and Actual:
City Gas Tax Fund ------------------------------------------------------------------------------------------------------------- 94
Electrical Inspection Fund -------------------------------------------------------------------------------------------------- 95
City of Tigard, Oregon
Table of Contents, continued
Financial Section, Continued
Other Supplementary Information, Continued:
Building Fund ------------------------------------------------------------------------------------------------------------------ 96
Criminal Forfeiture Fund --------------------------------------------------------------------------------------------------- 97
Urban Forestry Fund --------------------------------------------------------------------------------------------------------- 98
Parks Utility Fund ------------------------------------------------------------------------------------------------------------- 99
Library Fund ------------------------------------------------------------------------------------------------------------------- 100
Debt Service Funds:
Combining Balance Sheet – Nonmajor Debt Service Funds ------------------------------------------------------ 101
Combining Statement of Revenues, Expenditures, and Changes in Fund Balance ------------------------ 102
Schedules of Revenues and Expenditures – Budget and Actual:
Bancroft Bond Debt Service Fund --------------------------------------------------------------------------------------- 103
General Obligation Debt Service Fund --------------------------------------------------------------------------------- 104
Urban Renewal Agency Debt Service Fund --------------------------------------------------------------------------- 105
Capital Projects Funds:
Combining Balance Sheet – Nonmajor Capital Projects Funds -------------------------------------------------- 106
Combining Statement of Revenues, Expenditures and
Changes in Fund Balance – Nonmajor Capital Projects Funds ----------------------------------------------- 108
Schedule of Revenues and Expenditures – Budget and Actual:
Facility Fund------------------------------------------------------------------------------------------------------------------- 110
Transportation Development Tax Fund ------------------------------------------------------------------------------- 111
Underground Utility Fund ------------------------------------------------------------------------------------------------- 112
Street Maintenance Fee Fund ------------------------------------------------------------------------------------------- 113
Transportation SDC Fund -------------------------------------------------------------------------------------------------- 114
Parks Capital Fund ----------------------------------------------------------------------------------------------------------- 115
Parks Bond Fund ------------------------------------------------------------------------------------------------------------- 116
Parks SDC Fund --------------------------------------------------------------------------------------------------------------- 117
Transportation CIP Fund --------------------------------------------------------------------------------------------------- 118
Urban Renewal Agency Capital Projects Fund ----------------------------------------------------------------------- 119
Proprietary Funds:
Enterprise Funds:
Schedules of Revenues and Expenditures – Budget and Actual:
Sanitary Sewer Fund -------------------------------------------------------------------------------------------------------- 120
Reconciliation of Budgetary Revenues and Expenditures to Proprietary
Revenues and Expenses – Sanitary Sewer Fund ----------------------------------------------------------------- 121
Stormwater Fund ------------------------------------------------------------------------------------------------------------ 122
Water Quality and Quantity Fund--------------------------------------------------------------------------------------- 123
Reconciliation of Budgetary Revenues and Expenditures to Proprietary
Revenues and Expenses – Stormwater Funds ------------------------------------------------------------------- 124
Water Fund ------------------------------------------------------------------------------------------------------------------- 125
Water SDC Fund ------------------------------------------------------------------------------------------------------------- 126
Water CIP Fund -------------------------------------------------------------------------------------------------------------- 127
Water Debt Service Fund -------------------------------------------------------------------------------------------------- 128
Reconciliation of Budgetary Revenues and Expenditures to Proprietary
Revenues and Expenses – Water Funds --------------------------------------------------------------------------- 129
Reconciliation of Budgetary Fund Balance to Generally Accepted
Accounting Principles Basis Net Position -------------------------------------------------------------------------- 130
Internal Service Funds:
Combining Statement of Net Position --------------------------------------------------------------------------------- 131
Combining Statement of Revenues, Expenses, and Changes in Fund Net Position ----------------------- 132
Combining Statement of Cash Flows ----------------------------------------------------------------------------------- 133
City of Tigard, Oregon
Table of Contents, continued
Financial Section, Continued
Other Supplementary Information, Continued:
Internal Service Funds, Continued:
Schedules of Revenues and Expenditures – Budget and Actual:
Central Service Fund -------------------------------------------------------------------------------------------------------- 134
Fleet/Property Management Fund ------------------------------------------------------------------------------------- 135
Insurance Fund --------------------------------------------------------------------------------------------------------------- 136
Other Schedules:
Schedule of Bond and Bond Interest Transactions -------------------------------------------------------------------- 137
Schedule of Future Debt Service Requirements of:
Local Improvement District Bonds ------------------------------------------------------------------------------------ 138
General Obligation Bonds ----------------------------------------------------------------------------------------------- 139
Bank Loan Payable --------------------------------------------------------------------------------------------------------- 140
Water Revenue Bonds ---------------------------------------------------------------------------------------------------- 141
Safe Drinking Water Revolving Loan Funds ------------------------------------------------------------------------- 142
Statistical Section
Net Position by Component ------------------------------------------------------------------------------------------------- 143
Changes in Net Position ------------------------------------------------------------------------------------------------------ 145
Fund Balances of Governmental Funds ---------------------------------------------------------------------------------- 149
Changes in Fund Balances of Governmental Funds ------------------------------------------------------------------- 151
Governmental and Business-Type Revenues --------------------------------------------------------------------------- 153
Governmental and Business-Type Expenses by Function ----------------------------------------------------------- 155
General Governmental Revenues by Sources -------------------------------------------------------------------------- 157
General Governmental Expenditures by Function -------------------------------------------------------------------- 159
Market Value and Assessed Value of Taxable Property -------------------------------------------------------------- 160
Property Tax Rates – Direct and Overlapping Governments ------------------------------------------------------- 161
Principal Property Taxpayers ------------------------------------------------------------------------------------------------ 163
Property Tax Levies and Collections --------------------------------------------------------------------------------------- 164
Special Assessment Collections --------------------------------------------------------------------------------------------- 165
Ratio of Annual Debt Service Expenditures for Long-Term Debt to
Total Governmental Expenditures --------------------------------------------------------------------------------------- 166
Ratio of Net General Bonded Debt to Assessed Value and
Net Bonded Debt per Capita ---------------------------------------------------------------------------------------------- 167
Computation of Direct and Overlapping Debt -------------------------------------------------------------------------- 168
Computation of Legal Debt Margin ---------------------------------------------------------------------------------------- 169
Ratio of Debt by Type --------------------------------------------------------------------------------------------------------- 171
Computation of Water Revenue Bonds Debt Coverage ------------------------------------------------------------- 173
Demographics Statistics ------------------------------------------------------------------------------------------------------ 174
Principal Employers ------------------------------------------------------------------------------------------------------------ 175
Property Value and Construction ------------------------------------------------------------------------------------------ 176
Full-time Equivalent City Government Employees by Function ---------------------------------------------------- 177
Operating Indicators by Function/Program ----------------------------------------------------------------------------- 178
Capital Assets Statistics by Function -------------------------------------------------------------------------------------- 180
Miscellaneous Statistical Data ---------------------------------------------------------------------------------------------- 181
Audit Comments and Disclosure Requirements
Independent Auditor’s Report Required by Oregon State Regulations ------------------------------------------ 182
Introductory Section
City of Tigard
December 20, 2016
Citizens of Tigard
Honorable Mayor
Members of the City Council
We are pleased to submit the Comprehensive Annual Financial Report of the City of Tigard, Oregon, for the
fiscal year ended June 30, 2016, together with the opinion thereon of our independent certified public
accountants, Moss Adams, LLP. This report is required by Oregon Revised Statutes 297.425 and is prepared
by the Department of Finance and Information Services.
This report presents fairly the financial position of the various funds of the city at June 30, 2016, and the
results of operations of such funds and the cash flows of the proprietary fund types for the year then ended
in conformity with accounting principles generally accepted in the United States of America (GAAP). It is
prepared in conformance with the guidelines for financial reporting developed by the Government Finance
Officers Association of the United States and Canada and the principles established by the Governmental
Accounting Standards Board (GASB), including all effective GASB pronouncements. This report consists of
management’s representations concerning the finances of the city. Consequently, management assumes full
responsibility for the completeness and reliability of all of the information presented in this report. To provide
a reasonable basis for making these representations, management of the city has established a
comprehensive internal control framework that is designed both to protect the city’s assets from loss, theft,
or misuse and to compile sufficient reliable information for the preparation of the city's financial statements
in conformity with GAAP. Because the cost of internal controls should not outweigh their benefits, the city's
comprehensive framework of internal controls has been designed to provide reasonable rather than absolute
assurance that the financial statements will be free from material misstatements. As management, we assert
that, to the best of our knowledge and belief, this financial report is complete and reliable in all material
respects.
The city's financial statements were audited by Moss Adams, LLP, a firm of licensed certified public
accountants. The goal of the independent audit was to provide reasonable assurance that the financial
statements of the city for the fiscal year ended June 30, 2016, are free of material misstatement. The
independent audit involved examining, on a test basis, evidence supporting the amounts and disclosures in
the financial statements; assessing the accounting principles used and significant estimates made by the
management; and evaluating the overall financial statement presentation. The independent auditors
concluded, based upon the audit, that there was a reasonable basis for rendering an unmodified opinion that
the city's basic financial statements for the fiscal year ended June 30, 2016, are fairly presented, in all material
respects, in conformity with GAAP. The independent auditor's report is included in the financial section of
this report.
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GAAP require that management provide a narrative introduction, overview, and analysis to accompany the
basic financial statements in the form of Management's Discussion and Analysis (MD&A). This letter of
transmittal is designed to complement the MD&A and should be read in conjunction with it. The city's MD&A
can be found immediately following the report of the independent auditors.
Profile of the City of Tigard, Oregon
The City of Tigard is located in southeast Washington County, 9 miles from
downtown Portland, Oregon. The city is included in the Metro urban growth
boundary and Tigard’s neighboring cities include Beaverton, Lake Oswego,
Tualatin, Durham, Portland, and King City. State Highway 99W, runs north
and south through the eastern portion of the city as a major commuter
corridor to the City of Portland. Interstate 5 and Highway 217 connect
Tigard’s residents and workforce to the regional economy of 2.5 million
residents. Tigard’s major greenway called Fanno Creek connects
neighborhoods to the natural environment and several of the city's parks. The incorporated area of the city
represents 12.2 square miles and has a population just over 50,000.
The city can extend its corporate limits by annexation which is permitted by state statute. Since 2012, the city
has annexed over 500 acres of land west of the city that was largely farmland. Planning for development in
that area, known as River Terrace, began in earnest during fiscal year 2014 and continued in fiscal year 2015
with the adoption of the River Terrace Community Plan, a
long‐range plan to guide public and private investment
and development to aid with transition from farmland to
residential land over the next several decades.
Throughout fiscal year 2016, permitting and construction
phase of development of River Terrace was in full swing.
Full build out is expected to take roughly 20 years. Upon
completion, River Terrace is expected to be home to
around 6,500 new residents. More information about
Tigard’s newest neighborhood is on the city’s website at:
http://riverterracetigard.com/
The city is governed by an elected mayor and four council
members who comprise the City Council. The city's
charter established the Mayor/Council form of
government. Each member of the City Council is elected
at‐large to serve a four‐year term. The mayor presides at
council meetings and is elected at‐large for a four‐year
term. The mayor and council provide community
leadership, develop policies to guide the city in delivering
services and achieving community goals, and encourage
citizen awareness and involvement.
The city council appoints a city manager, who is the chief administrative officer of the city. The city manager
is responsible for ensuring council policies are implemented using resources appropriated by the council to
achieve desired service results in the community.
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The city provides a full range of municipal services. These services include police, municipal court, community
planning and development, parks, library, capital improvement planning, administration and central services,
street maintenance, water, and other general public works activities. The city owns and maintains the
wastewater and storm drainage system within the city limits under an agreement with Clean Water Services.
Fire protection is provided by Tualatin Valley Fire and Rescue.
The legally separate City Center Development Agency (CCDA) is also included in the city’s financial statements
as a component unit. CCDA is the city’s urban renewal and redevelopment agency with a primary purpose to
revitalize the downtown area.
The city maintains budgetary controls to ensure compliance with legal provisions in the annual appropriated
budget adopted by the City Council. Activities of all funds are included in the annual adopted budget. The
level of budgetary control (that is, the level at which expenditures cannot legally exceed the appropriated
amount) is established by program within each individual fund.
Factors Affecting Financial Condition
The information presented in the financial statements is perhaps best understood when it is considered from
the broader perspective of the specific environment within which the City of Tigard operates.
Local Economy
The city's location in the Portland metropolitan region provides residents with many diverse employment
opportunities. The majority of Tigard’s residents in the workforce commute to a job somewhere else in the
region. Every day more than 43,000 residents from somewhere else in the region commute into Tigard for
work and more than 30,000 Tigard residents are employed in Tigard or commute to employment somewhere
else in the Portland metro region. Locally, the unemployment rate is 4.4% as of June 2016. Employment data
from the Oregon Employment Department shows that 95.4% of Tigard’s 30,000 residents in the labor force
are gainfully employed.
Tigard has a balanced and diverse economy employing more than 43,000 people from around the region.
Wholesale trade, retail trade, and professional services all play a role in Tigard's economy. Of the 6,524 new
jobs created between 2004 and 2014, 68% were with firms in the professional and administrative services
sector.
2010 2011 2012 2013 2014 2015 2016
State of Oregon 10.5% 9.4% 8.5% 8.1% 6.8% 5.5% 4.8%
United States 9.6% 9.2% 8.2% 7.8% 6.1% 5.3% 4.9%
Portland Metro 9.7% 9.5% 8.0% 7.6% 6.1% 5.4% 4.9%
Washington County 9.0% 8.1% 8.2% 6.6% 5.6% 5.0% 4.7%
City of Tigard 8.4% 8.1% 8.2% 6.6% 5.4% 4.5% 4.4%
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
12.0%
14.0%
Un
e
m
p
l
o
y
m
e
n
t
Ra
t
e
s
Fiscal year
Unemployment trends
3
In Tigard, the business, management and professional, and the traded sector and supply chain industries
experienced the largest growth in average wages between 2004 and 2014, increasing by 23% and 25%,
respectively.
2016 Summary of Local Statistics
Number of businesses ............................................................................................. 2,852
Median household income (2014) ...................................................................... $62,576
General fund permanent tax rate ................................ $2.5131 per $1,000 of assessed value
Total assessed value (est. 2015/2016) ...................................................... 5,896,119,033
Long‐term Financial Planning
The city prepares a comprehensive long‐term financial forecast annually. By forecasting and anticipating
financial trends, the city can develop strategies to respond to emerging financial trends. The city forecasts
operating fund revenues and expenditures over a six‐year period. The forecast is adjusted as each year's final
results are known and as budgets are prepared for the following year. In addition, the city also prepares a six‐
year Capital Improvement Plan (CIP) that is also updated every year. The CIP is developed through a process
separate from, but parallel to the budget process. The impact on future operating and maintenance costs are
projected from the CIP and then incorporated in the long‐term financial forecast. The city’s adopted fiscal year
2017 – 2022 CIP can be found on line at http://www.tigard‐or.gov/city_hall/cip.php
4
Financial Policies
The City of Tigard has established financial policies to account for public funds, manage municipal finances
wisely and plan adequate funding of services and facilities desired and needed by the public. The financial
policies are adopted annually by the city council in connection with the budget process. Consistent application
of these financial policies has helped ensure the city has appropriately recorded and accounted for
transactions in our financial statements. The adopted fiscal year 2016 budget document includes the city’s
financial policies noted in the appendix starting on page 407. The policies can be found on line at:
http://www.tigard‐or.gov/document_center/City_Budget/appendix.pdf
The goals of Tigard’s fiscal policies are:
To enhance the City Council’s policy‐making ability by providing accurate information on program and
operating costs.
To assist sound management of the city government by providing accurate and timely information on
current and anticipated financial conditions.
To provide sound principles to guide important decisions of the council and management which have
significant fiscal impact.
To set forth operational principles, which minimize the cost and financial risk of the city’s government
consistent with services, desired by the public.
To employ revenue policies which prevent undue or unbalanced reliance on any one source, distribute
the cost of municipal services fairly, and provide adequate funds to operate desired programs.
To provide and maintain essential public facilities, utilities, infrastructure and capital equipment.
To protect and enhance the city’s credit rating.
To insure that all surplus cash is prudently invested in accordance with the investment policy adopted
by the council to protect city funds and realize a reasonable rate of return.
Major initiatives
The Tigard City Council meets annually in connection with the budget process to establish goals. Council goals
comprise high‐priority tasks or programs that the City Council intends to complete or initiate during the year,
though attainment of these goals may take several years. The goals are based on departmental needs, bi‐
annual community survey results and City Council priorities. In the goal setting meeting, the City Council
reviews information and develops its annual and long‐term goals. Council goals set the priorities for city
government and are incorporated into departmental work plans. For 2015‐2017 Council established goals for
the city as follows:
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1. Provide Recreation Opportunities for the People of Tigard
Objectives Estimated Timeline
Establish city recreation program in 2015‐16 adopted budget
Recreation clearinghouse and program guide
Grants & scholarships
Recreation coordinator – staff position
Programs and classes (beginning Year 2)
Outdoor events (Year 2)
Indoor events (Year 3)
Completed July 2015
Spring 2016
Spring 2016
2017
Explore feasibility of partnership opportunities, including THPRD, YMCA,
TTAD, TTSD, other city, or non‐profit opportunities; establish facility
partnership if feasible.
December 2016
Consider a voter‐approved measure to fund recreation. November 2016
Complete the city’s facilities strategic plan to identify future facility
needs for a recreation/community center. September 2016
2. Make Downtown Tigard a Place Where People Want to Be
Objectives Estimated Timeline
Support residential and mixed use development in walkable and transit‐
supported areas by completing the Ash Ave/Burnham Redevelopment
project.
Completed in 2015
Increase walkable access to open space by advancing plans for new
downtown open space, including the Tigard Street Trail plaza, the Fanno
Creek Overlook, and a Main Street plaza, including programming.
December 2016
Strengthen downtown’s identity by completing gateway improvements
and install art at both Main Street entrances.
Completed in 2015
Support walkability by completing two Strolling Street projects. Completed in 2015
Secure brownfields cleanup grant (if eligible) to facilitate infill or open
space development enabling a more walkable and interconnected
downtown.
Spring 2016
Promote downtown as a place to shop, dine and recreate through
communications and support of Tigard Downtown Alliance activities.
Summer 2016
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3. Adopt and Begin Implementation of Tigard Triangle Strategic Plan
Objectives Estimated Timeline
Tigard Triangle Strategic Plan
Plan Development
Council consideration and adoption (code and plan amendments)
Completed Spring 2015
September 2016
Consider Lean Code and Plan Amendments
Zoning
Community Development Code
Transportation System Plan
Parks and Trails Master Plans
September 2016
Infrastructure Planning
Citywide Stormwater Master Plan
‐ Triangle Stormwater Implementation Plan
Streetscape Design Plan
72nd Avenue Study (pending CIP approval)
June 2017
FY 2017‐18
August 2016
June 2017
Development of Funding Tools
Urban Renewal
‐ Plan Development
‐ Plan Adoption
‐ Public Vote
LID – consider continuance of existing
Vertical Housing Development Zone
Tigard Enterprise Zone
October 2016
December 2016
May 2017
April 2016
Completed 2014
Completed 2014
4. Enable Groundbreaking in River Terrace by Summer 2015
Objectives Estimated Timeline
Infrastructure Financing Project (River Terrace SDCs) Completed
River Terrace Community Plan Implementation Completed
Permitting
Early assistance for land use applications (ongoing)
Land use applications
Building and site permits
Completed Winter 2015
and ongoing into
2016
Public Facilities
Clean Water Services pump station
City of Tigard downstream stormwater conveyance analysis
River Terrace Stormwater Master Plan Amendments (updates,
direction, and Council adoption)
Transportation Utility Fee adopted
Stormwater Utility Fee adopted
City of Tigard 550‐Zone Water Improvements
Winter 2016
Completed
Spring 2016
Spring 2016
Summer 2016
Summer 2016
Strategic Plan Implementation
Achieve walkability aims of Strategic Plan in River Terrace by
following through on pedestrian planning efforts
Summer 2016
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5. Expand Opportunities to Engage People in the Community
Objectives Estimated Timeline
Citywide Communications Plan (will include suggested engagement
improvements)
Completed Spring 2015
Continue Council outreach meetings Quarterly throughout
each year
Seek input on and outreach about the sidewalk connection program Prepare for May 2016
Community education; identify timing and content of measures for
voter approval June 2016
Organize community engagement through increased work with
Neighborhood Networks, in‐person and online forums June 2016
6. Define and Establish the City’s Role in Addressing Homelessness
Issues for Further Council Discussion
SW Corridor – Mayor will brief Council during Council Liaison reports
Pacific Highway/congestion and aesthetics (May 2016)
Annexation (Incentives Resolution in February, discussion June 2016)
Charter review (July 2016)
Future possible ballot measures (April 2016)
Strategic Plan Updates
Sustainability (August 2016)
Aligning with the goal of making downtown Tigard a place where people want to be (goal #2 above), in
May 2006, the voters passed Tigard’s Urban Renewal ballot measure to establish a funding base to
implement the Tigard Downtown Improvement Plan. The formation of the City Center Development
Agency (CCDA, an urban renewal district) sends a clear message that the city is now financially committed
to carrying out its Downtown Plan and will be in a position to support investments there.
Although it will take time for tax revenues to accumulate under the tax increment financing process, it is
anticipated that enough funding will be available for $22 million in public improvements for downtown.
The implementation of all of the projects such as streets, parks, plazas, a public market and performing
arts center will take up to 20 years to accomplish but citizens are already seeing improvements. As noted
above, the City Council has added downtown redevelopment to their current goals. In fiscal year 2016,
CCDA sold three contiguous properties to a private developer for residential development in the
downtown area. Also, in fiscal year 2016, CCDA purchased downtown properties and the US EPA awarded
CCDA with two brownfields grants to help clean up the properties. For more information on CCDA’s
brownfields program, visit: www.tigard‐or.gov/brownfields
In connection with goal #3 above, Adopt and Begin Implementation of Tigard Triangle Strategic Plan, the
city has drafted a Tigard Triangle Urban Renewal Plan and has been working towards phases of the
strategic plan. In May of 2017 the city intends to place the Urban Renewal plan on the citywide ballot for
approval. More information on the Tigard Triangle can be found at:
www.tigard‐or.gov/tigard_triangle.php
8
A major initiative that is nearing completion and meets multiple goals above is the City of Tigard and City
of Lake Oswego water partnership project to upgrade and expand existing water facilities to serve
customers in both communities. In 2008 the cities of Lake Oswego and Tigard formally endorsed a
partnership agreement for sharing drinking water resources and costs. The agreement creates a reliable
water system that delivers high‐quality drinking water from the Clackamas River to the communities of
Lake Oswego and Tigard. The new water supply system replaces aging, vulnerable, at‐capacity
infrastructure with a cutting‐edge system designed to the highest seismic resiliency standards. The new
system also enhances emergency water supply reliability regionally by providing access to Lake Oswego’s
and Tigard’s combined storage as well as other supply sources. In June of 2016 the city switched over to
its new water source and treatment plant.
More information about the city’s water system is on the city’s website at www.tigard‐or.gov/water.
Additional information on the partnership can be found at www.lotigardwater.org and the city’s
partnership web page at www.tigard‐or.gov/water_partnership.php. A twitter account @LOTWater
allows citizens to stay connected and informed on progress on the partnership.
Awards and Acknowledgements
The Government Finance Officers Association (GFOA) awarded a Certificate of Achievement for Excellence
in Financial Reporting to the City of Tigard for its Comprehensive Annual Financial Report (CAFR) for the
fiscal year ended June 30, 2015. This was the 30th consecutive year that the city has received this
esteemed award. In order to be awarded a Certificate of Achievement, the government published an
easily readable and efficiently organized CAFR. This report satisfied both GAAP and applicable legal
requirements.
A Certificate of Achievement is valid for a period of one year only. We believe that our current CAFR
continues to meet the Certificate of Achievement Program's requirements and we are submitting it to the
GFOA to determine its eligibility for another certificate.
In addition, the city also received the GFOA's Distinguished Budget Presentation Award for its annual
budget for fiscal year 2016. This was the 28th consecutive year that the city has received this prestigious
award. In order to qualify for the Distinguished Budget Presentation Award, the city's budget document
was judged to be proficient in several categories, including as a policy document, a financial plan, an
operations guide, and a communications device. The city has submitted its fiscal year 2016 budget
document and believes that it meets the Distinguished Budget Presentation Award’s requirements.
The preparation of this report was made possible by the dedicated service of the staff of the Financial and
Information Services department. Each member of the department has our sincere appreciation for the
contributions made in the preparation of this report. Special recognition should be given to the financial
operations staff for their work in preparing this document. Credit also must be given to the Mayor and
City Council for their unfailing support for maintaining the highest standards of professionalism in the
management of the City of Tigard's finances.
Respectfully submitted,
Marty Wine Toby LaFrance
City Manager Director of Finance and Information Services
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City of Tigard, Oregon
Citywide Organizational Chart as of July 1, 2016
Mayor & City
Council
City Attorney
CITY OF TIGARD
Human Resources CD Planning
Building
Economic Development Information Services
Administration
Circulation
Administration
Support Services
Police Operations
Public Works Engineering
Reader Services
Technical Services
Parks & Grounds
Storm Water
Water
Sanitary Sewer
Street Maintenance
City Management Community
Development
Finance &
Information Services Library Public WorksPolice
City Manager
Financial Operations
Administration Administration
Risk Management
City Manager’s Office
Administrative
Services
Design &
Communications
City Recorder/
Records
Municipal Court
Street Lights &
Signals
Utility Billing
Contracts & Purchasing
CITIZENS OF TIGARD
Fleet Maintenance
Property
Management
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City of Tigard, Oregon
Principal Officials as of July 1, 2016
Elected Officials
Name Term Expires
Mayor John Cook December 31, 2018
Councilor Jason Snider December 31, 2016
Councilor John Goodhouse December 31, 2018
Councilor Marland Henderson December 31, 2016
Councilor Marc Woodard December 31, 2018
Appointed Officials
Name Title
Marty Wine City Manager
Toby LaFrance Director of Finance and Information
Services
All may be reached at:
13125 SW Hall Boulevard
Tigard, OR 97223
Legal Counsel
Jordan Ramis PC
Two Centerpointe Drive, 6th Floor
Lake Oswego, OR 97035
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Financial Section
REPORT OF INDEPENDENT AUDITORS
City Council
City of Tigard, Oregon
Tigard, Oregon
Report on the Financial Statements
We have audited the accompanying financial statements of the governmental activities, the business‐
type activities, each major fund and the aggregate remaining fund information of the City of Tigard,
Oregon (the City), as of June 30, 2016, and the related notes to the financial statements, which
collectively comprise the City’s basic financial statements as listed in the table of contents.
Management’s Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in
accordance with accounting principles generally accepted in the United States of America; this includes
the design, implementation, and maintenance of internal control relevant to the preparation and fair
presentation of financial statements that are free from material misstatement, whether due to fraud or
error.
Auditor’s Responsibility
Our responsibility is to express opinions on these financial statements based on our audit. We conducted
our audit in accordance with auditing standards generally accepted in the United States of America.
Those standards require that we plan and perform the audit to obtain reasonable assurance about
whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in
the financial statements. The procedures selected depend on the auditor’s judgment, including the
assessment of the risks of material misstatement of the financial statements, whether due to fraud or
error. In making those risk assessments, the auditor considers internal control relevant to the entity’s
preparation and fair presentation of the financial statements in order to design audit procedures that
are appropriate in the circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also
includes evaluating the appropriateness of accounting policies used and the reasonableness of
significant accounting estimates made by management, as well as evaluating the overall presentation of
the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for
our audit opinions.
Opinions
In our opinion, the financial statements referred to above present fairly, in all material respects, the
respective financial position of the governmental activities, the business‐type activities, each major fund
and the aggregate remaining fund information of the City as of June 30, 2016, and the respective changes
in financial position and, where applicable, cash flows thereof for the year then ended in accordance
with accounting principles generally accepted in the United States of America.
13
Other Matters
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that management’s
discussion and analysis, budgetary comparison schedules for the General Fund and Gas Tax Fund, the
schedule of proportionate share of the net pension liability and the schedule of plan contributions
(collectively, the required supplementary information) on pages 16 through 30 and 83 through 87, be
presented to supplement the basic financial statements. Such information, although not a part of the
basic financial statements, is required by the Governmental Accounting Standards Board who considers
it to be an essential part of financial reporting for placing the basic financial statements in an
appropriate operational, economic, or historical context.
We have applied certain limited procedures to the management’s discussion and analysis, the schedule
of proportionate share of the net pension liability and the schedule of plan contributions on pages 16
through 30, and pages 86 through 87 in accordance with auditing standards generally accepted in the
United States of America, which consisted of inquiries of management about the methods of preparing
the information and comparing the information for consistency with management's responses to our
inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic
financial statements. We do not express an opinion or provide any assurance on this information
because the limited procedures do not provide us with sufficient evidence to express an opinion or
provide any assurance.
Our audit was conducted for the purpose of forming opinions on the financial statements that
collectively comprise the City's basic financial statements. The budgetary schedules for the General Fund
and Gas Tax Fund described above on pages 83 through 85 are the responsibility of management and
were derived from and relate directly to the underlying accounting and other records used to prepare
the basic financial statements. The budgetary schedules for the General Fund and Gas Tax Fund have
been subjected to the auditing procedures applied in the audit of the basic financial statements and
certain additional procedures, including comparing and reconciling such information directly to the
underlying accounting and other records used to prepare the basic financial statements or to the basic
financial statements themselves, and other additional procedures in accordance with auditing standards
generally accepted in the United States of America. In our opinion, the budgetary schedules for the
General Fund and Gas Tax Fund are fairly stated, in all material respects, in relation to the basic financial
statements as a whole.
Supplementary Information
Our audit was conducted for the purpose of forming opinions on the financial statements that
collectively comprise the City’s basic financial statements. The combining and individual nonmajor fund
financial statements, budgetary schedules, and other financial schedules on pages 88 to 142 are
presented for purposes of additional analysis and are not a required part of the basic financial
statements.
14
This supplementary information is the responsibility of management and was derived from and relates
directly to the underlying accounting and other records used to prepare the basic financial statements.
This information has been subjected to the auditing procedures applied in the audit of the basic financial
statements and certain additional procedures, including comparing and reconciling such information
directly to the underlying accounting and other records used to prepare the basic financial statements
or to the financial statements themselves, and other additional procedures in accordance with auditing
standards generally accepted in the United States of America. In our opinion, the budgetary schedules,
combining and individual nonmajor fund financial statements, and other financial schedules are fairly
stated, in all material respects, in relation to the basic financial statements as a whole.
Other Information
Our audit was conducted for the purpose of forming opinions on the financial statements that
collectively comprise the City’s basic financial statements. The introductory and statistical sections are
presented for purposes of additional analysis and are not a required part of the basic financial
statements.
The introductory section and statistical information have not been subjected to the auditing procedures
applied in the audit of the basic financial statements and, accordingly, we do not express an opinion or
provide any assurance on it.
Report on Other Legal and Regulatory Requirements
In accordance with the Minimum Standards of Audits of Oregon Municipal Corporations, we have issued
our report dated December 20, 2016 on our consideration of the City’s compliance with certain
provisions of laws and regulations, including the provisions of Oregon Revised Statutes as specified in
Oregon Administrative Rules. The purpose of that report is to describe the scope of our testing of
compliance and the results of that testing and not to provide an opinion on compliance.
For Moss Adams LLP
Portland, Oregon
December 20, 2016
15
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City of Tigard, Oregon
Management’s Discussion and Analysis
As management of the City of Tigard, we offer readers this narrative overview and analysis of the financial
activities of the City of Tigard for the fiscal year ended June 30, 2016. It focuses on significant financial issues,
major financial activities, and resulting changes in financial positions, as well as economic factors affecting the
city. This Management’s Discussion and Analysis (MD&A) is based on currently known facts, decisions, and
conditions that existed as of the date of the independent auditor’s report.
We encourage readers to consider the information presented here in conjunction with the transmittal letter
at the front of this report and the city’s financial statements which follow this discussion and analysis.
Financial Highlights
Assets and deferred outflows of resources of the city exceeded its liabilities and deferred inflows of
resources at the close at June 30, 2016 by $355,934,103 (net position). Of this amount, $9,074,010 is
restricted for transportation construction, maintenance and utility undergrounding, $5,443,698 is
restricted for park development and improvements, $5,517,329 is restricted for water system
construction and improvements, $8,744,672 is restricted for debt service, $3,030,649 is restricted for
building development plan review and inspection, $476,893 is restricted for library capital
improvements and $385,375 is restricted for law enforcement equipment. $32,871,367 is
unrestricted net position may be used to meet the city’s ongoing obligations to citizens and creditors
and $290,390,110 is for net investment in capital assets.
The city’s total net position had a net increase of $23,404,224 or 7.0% from the June 30, 2015 net
position. Governmental activities net position increased by $11,403,568, or 5.3%. The business‐type
activities net position increased by $12,000,656 or 10.2%. The reasons for the increase are noted in
the financial analysis section of the MD&A.
The city’s governmental funds reported combined ending fund balances of $36,126,538, an increase
of 8,059,768 or 28.7% from fiscal year 2015. Of the combined ending governmental fund balances,
$12,353,341 or approximately 34.2% is available for spending at the city’s discretion subject to council
approved policies and actions.
At the end of the fiscal year, unassigned fund balance for the General Fund was $12,970,670, up
$855,234 over the prior year.
The city’s total debt decreased by $(3,087,456) or 1.8% from fiscal year 2015.
Overview of the Financial Statements
In addition to this discussion and analysis, the financial section of this annual report contains the basic financial
statements, required supplementary information, and the combining statements of the non‐major funds and
schedules demonstrating legal compliance.
The basic financial statements also include notes that explain the information in the financial statements and
provide more details. The statements are followed by the required supplementary information section that
supports the information in the financial statements.
Government‐wide financial statements
The government‐wide financial statements are designed to provide readers with a broad overview of the city's
finances, in a manner similar to a private‐sector business.
16
City of Tigard, Oregon
Management’s Discussion and Analysis
The Statement of Net Position presents information on all of the city’s assets and deferred outflows of
resources and liabilities and deferred inflows of resources, with the difference reported as net position. Over
time, increases or decreases in net position may serve as a useful indicator of whether the financial position
of the city is improving or deteriorating.
The Statement of Activities presents information showing how the city's net position changed during the most
recent fiscal year. All changes in net position are reported as soon as the underlying event giving rise to the
change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are reported in
this statement for some items that will result in cash flows in a future fiscal period. Examples of such items
include earned, but uncollected property taxes, and earned, but unused compensated absences.
Both of the government‐wide financial statements distinguish functions of the city that are principally
supported by taxes and intergovernmental revenues (governmental activities) from other functions that are
intended to recover all or a significant portion of their costs through user fees and charges (business‐type
activities).
The governmental activities of the city include the following:
Community services, police, library, and social services
Public works, including parks and recreation
Community development, current and long‐range planning
Policy and administration
The business‐type activities of the city include the following:
Sanitary sewer
Stormwater
Water
The government‐wide financial statements can be found on pages 31‐33 of this report.
Fund Financial Statements are designed to display compliance with finance‐related legal requirements
demonstrated by the use of fund accounting. A fund is a grouping of related accounts that is used to maintain
control over resources that have been segregated for specific activities and objectives. The funds of the city
can be divided into the following categories: governmental funds, proprietary funds, and a fiduciary fund.
Governmental Funds are used to account for essentially the same functions reported as governmental
activities in the government‐wide financial statements. However, unlike the government‐wide financial
statements, governmental fund financial statements focus on near‐term inflows and outflows of available
resources, as well as on balances of available resources at the end of the fiscal year. Such information may
be useful in evaluating a government's near‐term financial capability.
Because the focus of governmental funds is narrower than that of the government‐wide financial statements,
it is useful to compare the information presented for governmental funds with similar information presented
for governmental activities in the government‐wide financial statements. By doing so, readers may better
understand the long‐term impact of the city's near‐term financing decisions. Both the governmental fund
Balance Sheet and the governmental fund Statement of Revenues, Expenditures, and Changes in Fund Balance
provide a reconciliation to facilitate this comparison between governmental funds and governmental
activities.
17
City of Tigard, Oregon
Management’s Discussion and Analysis
The city maintains 22 individual governmental funds. Information is presented separately in the governmental
fund Balance Sheet and the Statement of Revenues, Expenditures, and Changes in Fund Balances for those
funds that are considered significant (major) to the city taken as a whole. These financial statements report
two major funds: General Fund and Gas Tax Fund. Data from the other 20 governmental funds are combined
into a single, aggregated presentation. Individual fund data for each of these non‐major governmental funds
is provided in the form of combining statements elsewhere in this report.
The city adopts an annual appropriated budget for all of its governmental funds. A budgetary comparison
statement has been provided for each fund individually to demonstrate compliance with their budgets.
The basic governmental fund financial statements can be found on pages 34‐37 of this report.
Proprietary Funds are used to account for a government's business‐type activities. The city maintains two
different types of proprietary funds ‐ enterprise funds and internal service funds. Enterprise funds are used
to report the same functions presented as business‐type activities in the governmental‐wide financial
statements. The city uses enterprise funds to account for its sanitary sewer, stormwater, and water
operations. Internal service funds are an accounting device used to accumulate and allocate costs internally
among the city's various functions. The city uses internal service funds to account for fleet and property
maintenance, risk management, design and communication, finance and accounting, and other management
services.
The city reports all three of the enterprise funds as major funds. These funds are the Sanitary Sewer Fund,
the Stormwater Fund, (which consists of the budgetary Stormwater and the Water Quality/Quantity Funds),
and the Water Fund, (which includes the budgetary Water, Water SDC, Water CIP and Water Debt Service
Funds). However, for budgetary and legal purposes these funds are accounted for separately. Conversely, all
internal service funds are combined into a single, aggregated presentation in the proprietary fund financial
statements. Individual fund data for the internal service funds is provided as other supplementary
information.
The city also adopts an annual appropriated budget for all proprietary funds. To demonstrate compliance
with the budget, budgetary comparison statements have been provided for the enterprise funds as other
supplementary information on pages 120‐129 of this report. Budgetary comparisons for the internal service
funds are provided on pages 131‐136 of this report.
The proprietary fund financial statements can be found on pages 38‐40 in the basic financial statements.
Fiduciary Funds are used to account for assets held in a trustee or agency capacity for others and therefore
cannot be used to support the government's own programs. The city has a pension trust fund that accounts
for employee defined contribution plans. The accounting used for the fiduciary fund is much like that used
for the proprietary funds. No budget is adopted for the fiduciary fund in accordance with Oregon Local Budget
Law. The fiduciary fund financial statements can be found on page 41‐42 in the basic financial statements.
Notes to the Basic Financial Statements provide additional information that is essential to a full
understanding of the data provided in the government‐wide and fund financial statements. The notes to the
financial statements can be found on pages 43‐82 of this report.
Required Supplementary Information includes Schedule of Revenues and Expenditures – Budget and Actual
for the General Fund and the Gas Tax fund. The Budget to GAAP reconciliation for the General Fund is also
18
City of Tigard, Oregon
Management’s Discussion and Analysis
included. This section also presents the schedule of the city’s proportionate share of the net pension liability
(asset) and the schedule of contributions. Required supplementary information can be found beginning on
page 83 of this report.
The combining statements referred to earlier in connection with non‐major governmental funds and business‐
type funds are presented immediately following the required supplementary information. Combining and
individual fund statements and schedules can be found on pages 88‐136 of this report.
Government‐wide Financial Analysis – Statement of Net Position
Net position: As noted earlier, net position may serve over time as a useful indicator of the city's financial
position. In the case of the city, assets and deferred outflows of resources exceeded liabilities and deferred
inflows of resources by $355,934,103 at June 30, 2016.
The largest portion of the city's net position, approximately 82%, is its investment in capital assets (e.g., land,
construction in progress, buildings, roads, sewers, stormwater facilities, etc.), net of accumulated depreciation
and any related debt used to acquire those assets that is still outstanding. The city uses these capital assets
to provide services to citizens; consequently, these assets are not available for future spending. Although the
city's investment in capital assets is reported net of related debt, it should be noted that the resources needed
to repay this debt must be provided from other sources, since capital assets themselves cannot be used to
liquidate these liabilities.
The city’s restricted net position in the amount of $32,672,626 or approximately 9.2% represents resources
that are subject to external restrictions on how they may be used. By definition, the city cannot remove these
restrictions as they are imposed by parties outside of the city. The remaining balance is unrestricted net
position in the amount of $32,871,367 or approximately 9.2% of total net position. At the end of the current
year, the city is able to report positive balances in all categories of net position for governmental and business‐
type activities.
Total net position increased by $23,404,224 or 7% during the current fiscal year. Total assets for governmental
activities increased by $9,436,269, or approximately 4%. Noteworthy changes included reporting changes
from a net pension asset to a net pension liability and significant changes in the deferred inflows and outflows
of resources related to pensions. The net pension asset/liability decreased by $6,356,471 due to the accrual
recorded pursuant to GASB Statement No. 68, Accounting and Financial Reporting for Pensions. An increase
of $350,924 or 43% in deferred outflows related to pensions as fiscal year 2016 represented the second year
of GASB Statement No. 68. Capital assets, land and construction in progress noted a decrease of $3,724,689
as significant multi‐year transportation projects were completed and put into service in fiscal year 2016.
Governmental activities liabilities increased by $543,641 or approximately 1%. Noteworthy changes include
a decrease in accounts payable and accrued liabilities of $2,162,667 or 38% due to fewer outstanding invoices
at fiscal year‐end 2016 related to significant transportation infrastructure improvements, specifically
improvements to the intersection of 72nd Avenue and Dartmouth Street. Also, as described above, the city
reported a net pension liability in fiscal year 2016 of $4,678,602 as compared to a net pension asset of
$1,677,869 reported in fiscal year 2015.
Governmental activities reported a decrease of $2,160,016 or 67% for deferred inflows of resources related
to pensions. As previously discussed, fiscal year 2016 represented the second year of implementation of GASB
19
City of Tigard, Oregon
Management’s Discussion and Analysis
Statement No. 68. The net pension asset / liability may fluctuate and effect the related deferrals given the
various factors impacting the actuarial valuation.
Business‐type activities total assets increased by $4,565,469 or approximately 1.7% over the prior year. Land
and construction in progress increased by $27 million or 20% over the prior year for the ongoing Tigard Water
Supply Partnership Project with Lake Oswego. The Lake Oswego‐Tigard Water Partnership was formed in
2009 to acquire a permanent source of raw water and treatment facilities for potable water as well as making
capital improvements for storage and transmission facilities. Additionally, cash and investments decreased
by $29 million from fiscal year 2015 directly related to the spending on the Lake Oswego‐Tigard Water
Partnership.
Total long‐term debt for business‐type activities decreased by $737,850 or approximately 0.5% which
primarily represents amortization of the bond premium on the water revenue bond issues. The water revenue
bonds were issued in fiscal years 2012 and 2015 for the Lake Oswego‐Tigard Water Partnership.
City of Tigard – Summary of Net Position
Governmental
Activities Business‐Type
Activities Total
2016 2015 2016 2015 2016 2015
Current and other assets $ 45,652,598 $ 40,544,342 $ 50,280,345 $ 74,546,860 $ 95,932,943 $ 115,091,202
Capital assets 218,225,516 213,897,503 228,453,349 199,621,365 446,678,865 413,518,868
Total assets 263,878,114 254,441,845 278,733,694 274,168,225 542,611,808 528,610,070
Deferred outflows of resources
related to pension 1,170,397 819,473 ‐ ‐1,170,397 819,473
Current and other liabilities 9,147,544 11,001,251 10,863,362 15,616,996 20,010,906 26,618,247
Long‐term liabilities outstanding 28,264,022 25,866,674 138,495,582 141,177,135 166,759,604 167,043,809
Total liabilities 37,411,566 36,867,925 149,358,944 156,794,131 186,770,510 193,662,056
Deferred inflows of resources
related to pension 1,077,592 3,237,608 ‐ ‐ 1,077,592 3,237,608
Net position:
Net investment in capital assets 195,142,143 189,748,234 95,247,967 84,867,665 290,390,110 274,615,899
Restricted 20,392,998 12,376,136 12,279,628 11,250,300 32,672,626 23,626,436
Unrestricted 11,024,212 13,031,415 21,847,155 21,256,129 32,871,367 34,287,544
Total net position $ 226,559,353 $ 215,155,785 $ 129,374,750 $ 117,374,094 $ 355,934,103 $ 332,529,879
20
City of Tigard, Oregon
Management’s Discussion and Analysis
City of Tigard – Summary of Changes in Net Position
Governmental
Activities Business‐Type
Activities Total
Revenues 2016 2015 2016 2015 2016 2015
Program revenues:
Charges for services $ 9,544,047 $ 7,153,848 $ 25,768,181 $ 23,477,213 $ 35,312,228 $ 30,631,061
Operating grants and contributions 7,756,718 6,508,556 ‐ ‐7,756,718 6,508,556
Capital grants and contributions 11,785,524 2,021,422 5,806,590 2,066,696 17,592,114 4,088,118
General revenues:
Property taxes 17,177,591 16,523,361 ‐ ‐17,177,591 16,523,361
Franchise fees 5,734,540 5,687,456 ‐ ‐5,734,540 5,687,456
Unrestricted intergovernmental revenues 2,840,903 3,004,341 127,148 ‐2,968,051 3,004,341
Interest 688,087 434,401 302,890 131,485 990,977 565,886
Loss on disposition of capital assets ‐(25,998)‐ ‐‐ (25,998)
Miscellaneous 228,779 273,152 193,645 177,903 422,424 451,055
Total revenues 55,756,189 41,580,539 32,198,454 25,853,297 87,954,643 67,433,836
Expenses
Community services 25,089,790 18,542,379 ‐ ‐25,089,790 18,542,379
Public works 10,865,800 10,408,399 ‐ ‐10,865,800 10,408,399
Community development 7,030,142 4,688,686 ‐ ‐7,030,142 4,688,686
Policy and administration 1,226,166 1,323,435 ‐ ‐1,226,166 1,323,435
Interest on long‐term debt 958,204 1,185,507 ‐ ‐958,204 1,185,507
Sewer ‐‐2,536,988 2,518,708 2,536,988 2,518,708
Storm water ‐‐2,123,162 2,077,589 2,123,162 2,077,589
Water ‐‐14,720,167 10,839,483 14,720,167 10,839,483
Total expenses 45,170,102 36,148,406 19,380,317 15,435,780 64,550,419 51,584,186
Revenues over (under) expenses 10,586,087 5,432,133 12,818,137 10,417,517 23,404,224 15,849,650
Transfers in (out) 817,481 (56,368) (817,481) 56,368 ‐ ‐
Change in net position 11,403,568 5,375,765 12,000,656 10,473,885 23,404,224 15,849,650
Beginning net position 215,155,785 209,780,020 117,374,094 106,900,209 332,529,879 316,680,229
Ending net position $ 226,559,353 $ 215,155,785 129,374,750 $ 117,374,094 $ 355,934,103 $ 332,529,879
Expenses and Program Revenues – Governmental activities – June 30, 2016
$0
$5,000,000
$10,000,000
$15,000,000
$20,000,000
$25,000,000
Community
services
Public works Community
development
Policy and
administration
Interest on long‐
term debt
Revenues
Expenses
21
City of Tigard, Oregon
Management’s Discussion and Analysis
Governmental Activities
Governmental activities increased the city’s net position by $11,403,568. Noteworthy reasons for the change
from the prior year are as follows:
Charges for services for Community Development increased by $1,644,232 or 54% from 2015. The
increase is primarily due to significant increases in permitting fees related to various development
going on around the city including the River Terrace neighborhood.
Total operating grants and contributions constitutes a significant amount of funding for the city in the
amount of $7,756,718. There was an increase of $1,248,162 or 19.2% over fiscal year 2015. Public
Works category for gas tax revenues increased from 2015. As the price per gallon of gas dropped
throughout the state during fiscal year 2016, consumption and the related revenues increased. Also,
the Community Services category includes the city’s share of the Washington County Cooperative
Library Services (WCCLS) tax levy which was up slightly over the prior year. In addition, a sidewalk
improvement project funded by a Community Development Block Grant which was awarded in fiscal
year 2015, did not ramp up until fiscal year 2016.
Total capital grants and contributions increased by $9,764,102 over the prior year primarily due to
private development contributions for improvements to city infrastructure assets such as streets and
right‐of‐way.
Franchise fee revenue totaled $5,734,540 in fiscal year 2016, which was a slight increase of $47,084
or approximately 1% from fiscal year 2015. Franchise fees are charged to public utilities for the use
of the public right‐of‐way. Franchised activities paying the fee include electricity, natural gas,
telecommunications, cable television, water, sewer and solid waste haulers.
Property taxes constitute approximately 30% of total governmental revenues and continues to be a
major source of revenue for the funding of city programs. Property tax revenues are up by $654,230
or approximately 4% over 2015 primarily due to an increase in collections on prior year property tax
revenues. Oregon has a “rate‐based” system in which property taxes are expressed in a dollar amount
per thousand dollars of assessed value. The City of Tigard’s permanent tax rate is $2.5131 per
thousand dollars of assessed value. The money raised by this levy is available for general purposes.
The permanent rate is multiplied by the assessed value each year to arrive at the tax authority for that
year. Assessed value growth is limited to a maximum 3 percent per year, plus a pro‐rated share of
new construction and annexations. Assessed value cannot exceed real market value.
General Obligation (GO) debt service levies are calculated to produce enough tax revenues that (when
combined with other resources such as interest earnings and fund balance) will be enough to pay debt
service due on these voter‐approved bonds. On November 2, 2010, voters approved a bond measure
in the amount of $17.0 million for acquisition and development of park land. These bonds were sold
on February 3, 2011 to Wells Fargo Bank, National Association. Also on that date, the city refunded
$9.0 million of outstanding general obligation bonds that were approved on May 21, 2002, by voters
to build a new library. Taxes collected through the tax levy repay the bonded debt.
Expenses for Community Services increased by $6,547,411 or 35% over fiscal year 2015. The increase
is directly related to the change from reporting a net pension asset in fiscal year 2015 to a net pension
liability in fiscal year 2016. Pension expense for the city’s sworn officers was almost $4 million in 2016,
a significant change from the reported $2 million in pension income in fiscal year 2015.
22
City of Tigard, Oregon
Management’s Discussion and Analysis
Expenses for Community Development increased by $2,341,456 or 50% over the prior fiscal year. This
increase is primarily due to a disposition and development agreement entered into by the city’s urban
renewal agency and a private developer, whereby the urban renewal agency paid $1.65 million in
system development charges due to the city in order to attract the developer to the city’s urban
renewal district.
Revenues by Source – Governmental Activities ‐ June 30, 2016
Business‐type Activities
Business‐type activities increased the city’s net position by $12,000,656. The primary reasons for the current
year’s increases are:
Charges for services represent approximately 80% of total business‐type revenues and are composed
of fees that are charged to all users for services provided such as water, sanitary sewer, and
stormwater. The sanitary and stormwater fees are established by Clean Water Services (CWS) and
are set by the agency each year. The city council, through an intergovernmental agreement with other
water system participants, sets the water rates. Total charges for services increased by $2,290,968 or
10% over fiscal year 2015, with the largest increase in water revenues.
Water charges for services increased by $2,113,852 or 11% over the prior fiscal year primarily due to
an increase in water rates that went into effect on January 1, 2016. In August 2008 the city entered
into an intergovernmental agreement with the City of Lake Oswego in which the City of Tigard will
share the cost of upgrading and expanding Lake Oswego’s water treatment plant in return for a long‐
term water contract. Tigard City Council adopted a 5‐year water rate package, with increases of 3.25%
beginning in January 2016 through January 2019. These scheduled increases will fund smaller projects
without the need to borrow additional funds.
Sanitary sewer rates have been traditionally adjusted by CWS annually with the increase in revenues
being dedicated to debt service requirements for treatment plant expansions made by the agency.
Capital grants and contributions increased by $3,739,894 over fiscal year 2015. The increase is directly
attributable to capital contributions for stormwater and sanitary sewer lines related to various private
developments completed in fiscal year 2016.
Charges for
services
17%
Operating
grants and
contributions
14%
Capital grants
and
contributions
5%
Taxes
31%
Interest
1%
Franchise fees
10%
Misc
6%
23
City of Tigard, Oregon
Management’s Discussion and Analysis
Total expenses of $19,380,317 was up by $3,944,537 or approximately 26% from the prior fiscal year.
The increase is primarily due to an additional of $2.3 million in interest expense related to the water
revenue bonds. In fiscal year 2015, the city issued $30.8 million in water revenue bonds and interest
on the debt did not come due until fiscal year 2016. In addition, contracted water purchases from the
City of Portland increased by 18% or approximately $900,000 from the prior year.
Expenses and Program Revenues – Business‐type Activities – June 30, 2016
Financial Analysis of the City's Funds
As noted earlier, the city uses fund accounting to ensure and demonstrate compliance with finance‐related
legal requirements.
Governmental Funds
The focus of the city's governmental funds is to provide information on near‐term inflows, outflows, and
balances of spendable resources. Such information is useful in assessing the city's financing requirements. In
particular, unassigned fund balance may serve as a useful measure of the city's net resources available for
spending at the end of the fiscal year.
As of the end of the fiscal year 2016, the city's governmental funds reported combined ending fund balances
of $36,126,538 an increase of $8,059,768 over the prior year. Approximately 39% or $13,951,114 of this total
amount constitutes assigned and unassigned fund balances, which is available for spending at the
government’s discretion. The restricted fund balance is $18,250,934 or 51% of the total fund balance. Most
of the restricted fund balance is dedicated for park acquisition and development or for street maintenance
and improvements. Other restricted resources include building inspection, library improvements, Police
services and future debt service. The remainder of fund balance is either committed for resources constrained
on use by the city council via a city ordinance or a council resolution or is nonspendable to indicate that it is
not available for discretionary spending, such as advances to other funds and prepaids.
General Fund
The General Fund is the chief operating fund of the city. At the end of the fiscal year 2016, the unassigned
fund balance was $12,970,670 or approximately 95% of the total fund balance of $13,634,924. As a measure
of the General Fund’s liquidity, it may be useful to compare fund balance to total fund expenditures.
Unassigned fund balance represents 45% of total General Fund expenditures.
The fund balance of the General Fund increased by $976,945 or 7.7%. The increase is primarily attributable
to an increase in licenses and permits for land use application fees and public improvements related to the
city’s economic development program and specifically the River Terrace area, the city’s newest residential
neighborhood. In addition, transfers out of the General Fund increased over fiscal year 2015. Transfers out
$0
$5,000,000
$10,000,000
$15,000,000
$20,000,000
Sanitary sewer Stormwater Water
Revenues
Expenses
24
City of Tigard, Oregon
Management’s Discussion and Analysis
of the General Fund were primarily for the Facilities capital project fund for an exterior building insulation
finishing system project for City Hall, the Permit Center and the Police Department. Other transfers out of the
General Fund were for the Park Utility special revenue fund to help support the park and operations in this
fund as this was a new fund in fiscal year 2016.
Gas Tax Fund
This fund records shared revenues from state and county taxes on the sale and use of motor vehicle fuel. The
majority of the revenue comes from a flat per‐gallon tax on gasoline. Funds are restricted for construction,
reconstruction, improvement, repair, maintenance, operation, and use of public highways, roads, streets, and
roadside rest areas. This revenue source can also be used for street lighting and cleaning, storm drainage,
traffic control devices, and cost of administration.
At the end of fiscal year 2016, the fund balance was $2,349,779, an increase of $784,667 from the prior year.
Total revenues of $3,356,316 were used to fund street maintenance, street lighting and debt service on
transportation bonds. The increase in fund balance is primarily due to a decrease in transfers out from fiscal
year 2015 to the Transportation CIP fund for various transportation system projects. In addition, in fiscal year
2016 utility expenses in Public Works decreased as street lights and signals are being switched over to LED
(light‐emitting diode) lights to save energy and brighten streets and parks.
Proprietary Funds
The city's proprietary funds include the Sanitary Sewer, Stormwater, Water, and Internal Services Funds.
The unrestricted net position of the business‐type activities at year‐end amounted to $21,847,155 with
individual fund unrestricted net position at:
Sanitary Sewer, $4,514,492
Stormwater, $7,209,621
Water Funds, $10,123,042
The factors concerning the finances of these funds have already been addressed in the discussion of the city’s
business‐type activities.
General Fund Budgetary Highlights
The city council approved four supplementary budget amendments to the adopted General Fund budget.
Total final adopted budgeted revenues had an increase of $1,085,012 and the total final adopted budgeted
expenditures increased by $496,947 from the original budgeted numbers. Budgeted transfers out of the
General Fund was increased by $108,275, General Fund contingency was decreased by $179,407 or 16% and
reserve for future expenditures increased by $796,840 or 13%. Following are noteworthy changes from the
original budget to the final adopted budget in the General Fund:
Public Works – $100,000 to increase staffing requirements in Engineering division to meet demands
on citywide development including River Terrace subdivision.
Transfers Out ‐ $35,000 to the Gas Tax fund for a project to help fund the Tigard Street Trail and
$35,000 to support central services in the Park Utility Fee fund.
Transfers Out ‐ $37,000 to Central Service fund for election materials.
Transfers In ‐ $57,750 transfer in from the Gas Tax fund and $8,000 transfer in from the Sewer Fund
for wetland mitigation.
25
City of Tigard, Oregon
Management’s Discussion and Analysis
Public Works ‐ $80,000 allocated to an intergovernmental agreement with Clean Water Services to
fund erosion control inspections.
Community Services ‐ $41,132 allocated to replace tasers in the Police Department.
Policy and Administration ‐ $14,000 to increase staffing requirements in municipal court operations.
Community Services ‐ $32,500 from TriMet to add a transit officer in the Police Department.
The contingency transactions account for increase in budgeted expenditures not related to increased
revenues. There was no effect on ending General Fund budgetary fund balance as a result of these budget
amendments. Noteworthy variances from the final adopted budget to actual revenues and expenditures in
the General Fund are as follows:
Licenses and permits – variance with budget in the amount of $869,505 due to an increase in land use
application fees and engineering public improvements directly related to development in the new
subdivision of River Terrace.
Charges for services – variance with budget for $752,527 due to a reduction in project management
for capital programs, such as park development and transportation construction projects.
Public Works – variance with the budget in the amount of $581,951. The variance was due to vacant
positions within the Engineering division during the fiscal year and unspent funds on a contract with
a consultant to align engineering construction contracts with the Oregon standard specifications.
Community Development – variance with budget in the amount of $628,821. The reasons for the
budget variance include unspent funds for an environmental assessment related to the downtown
redevelopment project, remaining funds on a strategic plan contract to transform an area of the city
into a mixed‐use district and unspent funds to provide public outreach and landscape design services
for a local elementary school. In each of these instances the unspent funds were re‐appropriated in
fiscal year 2017.
Capital Asset and Debt Administration
Capital Assets
Governmental Activities
The city's investment in capital assets for its governmental activities as of June 30, 2016, amounts to
$218,225,516 (net of accumulated depreciation). This investment in capital assets primarily includes land,
right‐of‐ways, buildings and improvements, machinery and equipment, office equipment and infrastructure.
The infrastructure includes roads, curbs and sidewalks, signage, streetlights and right‐of‐ways. The total
increase in the city's investment in governmental activities capital assets was $4,328,013 or approximately 2%
over the prior year. The city recorded approximately $4 million in developer contributions for street and
transportation infrastructure due to the growing subdivisions within the city. Other governmental asset
additions include street and transportation projects and park development as resources from the parks bonds
issued in fiscal year 2011 continues to be spent. Expenditures on capital assets were higher than overall
depreciation expense, leading to the increase in net capital assets.
Business‐type Activities
The city's investment in capital assets for its business‐type activities as of June 30, 2016, amounts to
$228,453,349 (net of accumulated depreciation). In addition to machinery, equipment and vehicles, the
capital assets include the sanitary sewer collection system, stormwater, and water systems. Total increase in
26
City of Tigard, Oregon
Management’s Discussion and Analysis
the city's investment in business‐type activities capital assets was $28,831,984 or 14%. This increase is
primarily noted in the Water fund for the construction in progress on the water partnership with the City of
Lake Oswego to manage the expansion and upgrade of the city’s water supply system. In addition, contributed
capital for water, sanitary sewer and stormwater were significantly higher than in the prior year as a result of
the increased development throughout the city.
Capital Assets, net of depreciation
Governmental
Activities Business‐Type
Activities Total
2016 2015 2016 2015 2016 2015
Land $ 25,889,224 $ 25,917,639 $ 5,237,285 $ 5,237,285 $ 31,126,509 $ 31,154,924
Construction in progress 3,451,257 7,147,531 158,706,084 131,543,902 162,157,341 138,691,433
Buildings and building improvements 14,975,332 15,608,325 733,614 813,264 15,708,946 16,421,589
Land improvements 2,445,839 2,567,098 ‐‐2,445,839 2,567,098
Sewer system ‐‐ 16,913,483 16,879,029 16,913,483 16,879,029
Stormwater system ‐‐10,855,787 9,667,679 10,855,787 9,667,679
Water system ‐‐35,578,202 35,009,113 35,578,202 35,009,113
Machinery and equipment 320,672 489,836 243,764 235,977 564,436 725,813
Autos and trucks 771,050 705,888 185,130 235,116 956,180 941,004
Office equipment 962,754 1,045,832 ‐‐962,754 1,045,832
Infrastructure 169,409,388 160,415,354 ‐‐169,409,388 160,415,354
Total Capital Assets $ 218,225,516 $ 213,897,503 $ 228,453,349 $ 199,621,365 $ 446,678,865 $ 413,518,868
The following chart indicates the city’s capital assets as of June 30, 2016. Additional information on the city's
capital assets can be found in the notes on pages 62‐63 of this report.
Total Capital Assets
Land
7.0%
Construction in
progress
36.3%
Buildings and
building
improvements
3.5%Land
improvements
0.5%
Sewer
system
3.8%
Stormwater
system
2.4%
Water system
8.0%
Machinery and
equipment
0.1%
Autos and trucks
0.2%
Office
equipment
0.3%
Infrastructure
37.9%
27
City of Tigard, Oregon
Management’s Discussion and Analysis
Debt Outstanding
As of year‐end, the city had total debt outstanding of $165,369,953. Of this amount $22,862,084 is general
obligation and full faith and credit bonds; $139,003,308 represents water revenue bonds; $2,007,952
represents a note payable; $296,319 represents special assessment bonded debt or local improvement district
bonds; $1,170,000 for urban renewal bank loan payable; and the remainder of the city’s debt represents
capitalized leases. Both general obligation bonds and full faith credit bonds are direct obligations pledging
the full faith and credit of the city.
Total debt decreased by $3,087,456 or approximately 2% during the current fiscal year. In fiscal year 2015
the city issued $1,300,000 for the city center development agency for urban renewal in governmental
activities. The balance on this loan is $1,170,000 at year‐end. For the business‐type activity, in fiscal year
2015 the city issued water revenue bonds with a par value of $30,810,000. Proceeds from these bonds are
used to fund water capital projects, primarily the costs associated with the Tigard/Lake Oswego Water
Partnership. The city is making interest‐only payments on these bonds until fiscal year 2017. The city also has
an outstanding note payable that is part of a grant and low interest loan package provided to the city to make
improvements to one of the city’s water reservoirs. These funds were part of the American Recovery and
Reinvestment Act (ARRA). The outstanding balance on this debt is $2,007,952 at year‐end.
During fiscal year 2015, in anticipation of issuing water revenue bonds, the city received a revenue bond rating
of A1 from Moody’s Investors Service and AA‐ from Standard & Poor’s Ratings Services.
The State of Oregon statutes limit the amount of general obligation debt that cities can issue to 3 percent of
the real market value of all taxable property within the city limits. The current debt limitation for the city for
general obligation debt is $242 million, which is significantly in excess of the city’s outstanding general
obligation debt.
The following chart indicates the city’s long‐term liabilities as of June 30, 2016. Additional information on the
city's debt can be found on pages 64‐68 of this report.
Governmental
Activities Business‐Type
Activities Total
2016 2015 2016 2015 2016 2015
General obligation $ 22,862,084 $ 24,990,106 ‐‐$ 22,862,084 $ 24,990,106
Local improvement 296,319 373,711 ‐‐296,319 373,711
Bank loan payable 1,170,000 1,300,000 ‐‐1,170,000 1,300,000
Capital lease 30,290 44,482 ‐‐30,290 44,482
Note payable ‐‐$ 2,007,952 $ 2,105,957 2,007,952 2,105,957
Revenue bonds ‐‐139,003,308 139,643,153 139,003,308 139,643,153
Total Outstanding Debt $ 24,358,693 $ 26,708,299 $ 141,011,260 $ 141,749,110 $ 165,369,953 $ 168,457,409
28
City of Tigard, Oregon
Management’s Discussion and Analysis
Total Outstanding Long‐Term Debt
Economic Factors and Budget Information for Next Year
The following economic factors currently affect the city and were considered in developing the city’s budget
for fiscal year 2017:
The unemployment rate for the Portland metropolitan area was 4.9% at the end of the fiscal year,
June 30, 2016. This is almost in line with the State of Oregon rate of 4.8% and the national average,
which is also at 4.9% for June 2016. Economic conditions have finally reached levels commensurate
with a typical economic recovery.
Property tax revenues are the single largest sources of revenue in the General Fund and it accounts
for 45% of ongoing revenues. Tigard’s low permanent property tax levy rate ($2.51/1,000 AV), which
is the second lowest of any city within Washington County with a population over 5,000, is limited
and therefore, General Fund growth is particularly sensitive to taxable growth. Property tax revenues
are forecasted to increase by 3.5% based on prior year’s modest growth in assessed values and
anticipated development.
There is room to increase Tigard’s very low permanent property tax rate. One approach to address
this would be through a local option levy. For example, a local option levy of $1.00/$1,000 of assessed
value would still keep Tigard’s rate below average in Washington County and would raise
approximately $6,000,000 annually for more city services.
The River Terrace subdivision will provide an increase in revenue for the city, at an estimated 0.5% in
annual revenue growth. This subdivision will add approximately 200 homes a year for the next six
years. In turn creating additional demands on city services.
The City of Tigard issues licenses for businesses operating within the city limits. As of June 30, 2016,
there were 2,976 businesses licensed in the city as compared to 2,710 a year ago. Business license
revenues are highly sensitive to economic conditions. With the planned economic development in
urban renewal, the city projects a continued increase in business licenses, but any increase will be
gradual over time. The fiscal year 2016 budget includes an increase to the business license fee in
order to fund an additional officer in the Commercial Crimes Unit in the Police Department.
General
obligation
13.8%
Local
improvement
0.2%
Bank loan
payable
0.8%
Capital
Lease
0.02%
Note
payable
1.3%
Revenue bonds
84.1%
29
City of Tigard, Oregon
Management’s Discussion and Analysis
Fiscal year 2017 budget includes a plan to fund maintenance and development on park and
recreational areas. Park land has been purchased each year since the issuance of the 2011 Parks
General Obligation Bonds. Parks are currently funded through a park and recreation fee that is
anticipated to generate approximately $1 million annually. Additional transfers from the General
Fund to the Park Utility special revenue fund are also necessary for maintenance and upkeep on the
city’s expanding park system.
Business‐type activities are funded through water, sewer and stormwater management rates and
system development charges. The city has the ability to increase rates to keep pace with growing
costs as well as increasing demands on the system infrastructure. Tigard’s water customer charge
and water usage charge will increase by 3.25% in fiscal year 2016 and each year thereafter through
2019. Clean Water Services sets rates for sanitary sewer and storm water management (SWM). Fiscal
year 2017 budget includes a 3.0% increase for sanitary sewer rates, 6.9% increase for stormwater
management rates and a 3.56% combined sewer and SWM rate increase for the average residential
customer. The rate increases were necessary to expand, replace and upgrade aging infrastructure
and to meet state and federal pollution control requirements.
All of these factors were considered in preparing the city’s budget for fiscal year 2016‐2017. The current
forecast shows that in the short‐term the city’s financial condition is stable in most funds. The fiscal year 2017
budget continued addressing a projected General Fund deficit that had been forecasted to occur earlier than
what is now projected. City budgets are developed to address the continuing challenge of flat revenues and
increasing expenditure rates.
Requests for Information
This financial report is designed to provide a general overview of the City of Tigard's finances for all those with
an interest in the city's finances. Questions concerning any of the information provided in the report or
requests for additional financial information should be addressed to:
City of Tigard
Financial and Information Services Director
13125 SW Hall Blvd.
Tigard, Oregon 97223
30
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Basic Financial Section
ASSETS
Cash and cash equivalents 18,525,783$ 21,146,963$ 39,672,746$
Investments 3,260,559 3,788,098 7,048,657
Accounts receivable 3,359,226 4,606,369 7,965,595
Property taxes receivable 792,545 ‐ 792,545
Assessment liens receivable 425,488 ‐ 425,488
Prepaids 42,345 2,723 45,068
Inventory 31,921 206,568 238,489
Property held for resale ‐ 445,042 445,042
Restricted cash and cash equivalents 17,312,524 19,238,229 36,550,753
Restricted investments 1,902,207 846,353 2,748,560
Capital assets:
Land and construction in process 29,340,481 163,943,369 193,283,850
Other capital assets (net of accumulated depreciation)188,885,035 64,509,980 253,395,015
Total assets 263,878,114 278,733,694 542,611,808
DEFERRED OUTFLOWS OF RESOURCES
Deferred outflows related to pension 1,170,397 ‐ 1,170,397
Total deferred outflows 1,170,397 ‐ 1,170,397
LIABILITIES
Accounts payable and accrued liabilities 3,463,068 5,492,880 8,955,948
Deposits 1,144,365 38,608 1,182,973
Due to others 601,283 ‐ 601,283
Internal balances 102,495 (102,495) ‐
Unearned revenue 75,374 ‐ 75,374
Accrued interest payable 96,469 2,614,328 2,710,797
Due within one year:
Notes payable ‐ 100,945 100,945
Bonds payable 2,186,497 2,583,027 4,769,524
Accrued compensated absences 1,250,075 136,069 1,386,144
Bank loan payable 130,000 ‐ 130,000
Special assessment bonded debt with government commitment 83,100 ‐ 83,100
Capital lease 14,818 ‐ 14,818
Due in more than one year:
Notes payable ‐ 1,907,007 1,907,007
Bonds payable 20,675,587 136,420,281 157,095,868
Accrued compensated absences 49,405 4,615 54,020
Bank loan payable 1,040,000 ‐ 1,040,000
Special assessment bonded debt with government commitment 213,219 ‐ 213,219
Capital lease 15,472 ‐ 15,472
Net other post employment benefit obligation 1,591,737 163,679 1,755,416
Net pension liability 4,678,602 ‐ 4,678,602
Total liabilities 37,411,566 149,358,944 186,770,510
DEFERRED INFLOWS OF RESOURCES
Deferred inflows related to pension 1,077,592 ‐ 1,077,592
Total deferred inflows 1,077,592 ‐ 1,077,592
NET POSITION
Net investment in capital assets 195,142,143 95,247,967 290,390,110
Restricted for:
Transportation construction, maintenance and utility undergrounding 9,074,010 ‐ 9,074,010
Park development and improvements 5,443,698 ‐ 5,443,698
Water system construction and improvements ‐ 5,517,329 5,517,329
Debt service 1,982,373 6,762,299 8,744,672
Building development plan review and inspection 3,030,649 ‐ 3,030,649
Library capital improvements 476,893 ‐ 476,893
Law enforcement equipment 385,375 ‐ 385,375
Unrestricted 11,024,212 21,847,155 32,871,367
Total net position 226,559,353$ 129,374,750$ 355,934,103$
The accompanying notes are an integral part of the basic financial statements.
CITY OF TIGARD, OREGON
STATEMENT OF NET POSITION
June 30, 2016
Governmental
Activities
Business‐Type
Activities Total
31
Charges Operating
for Grants and
Functions/Programs Expenses Services Contributions
Governmental activities:
Community services 25,089,790$ 1,879,576$ 3,908,500$
Public works 10,865,800 2,860,543 3,808,026
Community development 7,030,142 4,684,733 40,192
Policy and administration 1,226,166 119,195 ‐
Interest on long‐term debt 958,204 ‐ ‐
Total governmental activities 45,170,102 9,544,047 7,756,718
Business‐type activities:
Sewer 2,536,988 1,791,302 ‐
Stormwater 2,123,162 3,058,382 ‐
Water 14,720,167 20,918,497 ‐
Total business‐type activities 19,380,317 25,768,181 ‐
Total 64,550,419$ 35,312,228$ 7,756,718$
The accompanying notes are an integral part of the basic financial statements.
Program Revenues
CITY OF TIGARD, OREGON
STATEMENT OF ACTIVITIES
for the year ended June 30, 2016
32
Capital
Grants and Governmental Business‐type
Contributions Activities Activities Total
‐$ (19,301,714)$ ‐$ (19,301,714)$
7,769,579 3,572,348 ‐ 3,572,348
4,015,945 1,710,728 ‐ 1,710,728
‐ (1,106,971) ‐ (1,106,971)
‐ (958,204) ‐ (958,204)
11,785,524 (16,083,813) ‐ (16,083,813)
664,721 ‐ (80,965) (80,965)
1,459,717 ‐ 2,394,937 2,394,937
3,682,152 ‐ 9,880,482 9,880,482
5,806,590 ‐ 12,194,454 12,194,454
17,592,114$ (16,083,813) 12,194,454 (3,889,359)
General Revenues:
Property taxes, levied for general
purposes 14,751,398 ‐ 14,751,398
Property taxes, levied for debt service 2,426,193 ‐ 2,426,193
Franchise fees 5,734,540 ‐ 5,734,540
Unrestricted intergovernmental
revenues 2,840,903 127,148 2,968,051
Interest earnings 688,087 302,890 990,977
Miscellaneous 228,779 193,645 422,424
Total general revenues 26,669,900 623,683 27,293,583
Transfers between Governmental
and Business‐type Activites 817,481 (817,481) ‐
Change in net position 11,403,568 12,000,656 23,404,224
Net position, beginning 215,155,785 117,374,094 332,529,879
Net position, ending 226,559,353$ 129,374,750$ 355,934,103$
Net (Expense) Revenue and Changes in Net Position ‐
Primary Government
33
Other Total
General Gas Tax Governmental Governmental
Fund Fund Funds Funds
ASSETS
Cash and cash equivalents 10,630,587$ 2,021,667$ 3,312,759$ 15,965,013$
Investments 2,260,621 366,387 495,814 3,122,822
Accounts receivable 2,539,642 277,011 520,052 3,336,705
Property taxes receivable 667,815 ‐ 124,730 792,545
Assessment liens receivable ‐ ‐ 425,488 425,488
Advances to other funds 655,183 ‐ ‐ 655,183
Prepaids 9,071 ‐ ‐ 9,071
Restricted cash and cash equivalents ‐ ‐ 17,312,524 17,312,524
Restricted Investments ‐ ‐ 1,902,207 1,902,207
Total assets 16,762,919$ 2,665,065$ 24,093,574$ 43,521,558$
LIABILITIES
Accounts payable and accrued liabilities 884,220$ 48,327$ 2,104,950$ 3,037,497$
Deposits 423,596 266,959 453,810 1,144,365
Due to others 565,373 ‐ 35,910 601,283
Advances from other funds ‐ ‐ 757,678 757,678
Unearned revenue ‐ ‐ 59,660 59,660
Total liabilities 1,873,189 315,286 3,412,008 5,600,483
DEFERRED INFLOWS OF RESOURCES
Resources not yet available:
Property taxes 614,502 ‐ 114,243 728,745
Municipal court receivable 490,456 ‐ ‐ 490,456
Grant receivable 15,654 15,654
Special assessment liens ‐ ‐ 425,488 425,488
Franchise fees 134,194 ‐ ‐ 134,194
Total deferred inflows of resources 1,254,806 ‐ 539,731 1,794,537
FUND BALANCES
Nonspendable:
Advances to other funds 655,183 ‐ ‐ 655,183
Prepaids 9,071 ‐ ‐ 9,071
Restricted for:
Street maintenance and improvements ‐ 2,349,779 4,667,564 7,017,343
Debt service ‐ ‐ 1,446,055 1,446,055
Park development and improvements ‐ ‐ 5,443,698 5,443,698
Underground utilities ‐ ‐ 450,921 450,921
Building inspection ‐ ‐ 3,030,649 3,030,649
Police services ‐ ‐ 385,375 385,375
Library improvements ‐ ‐ 476,893 476,893
Committed for:
Street maintenance and improvements ‐ ‐ 1,960,696 1,960,696
Urban forestry ‐ ‐ 1,299,540 1,299,540
Assigned to:
City facilities ‐ ‐ 1,129,618 1,129,618
Park and recreation ‐ ‐ 468,155 468,155
Unassigned 12,970,670 ‐ (617,329) 12,353,341
Total fund balances 13,634,924 2,349,779 20,141,835 36,126,538
Total liabilities, deferred inflows of resources and
fund balances 16,762,919$ 2,665,065$ 24,093,574$ 43,521,558$
The accompanying notes are an integral part of the basic financial statements.
CITY OF TIGARD, OREGON
GOVERNMENTAL FUNDS ‐ BALANCE SHEET
June 30, 2016
34
Fund Balances ‐ Governmental Funds 36,126,538$
Amounts reported for governmental activities in the Statement of Net Position are different because:
Capital assets used in governmental activities are not financial resources and therefore
are not reported in the funds.
Governmental capital assets 311,616,199$
Less accumulated depreciation (93,390,683) 218,225,516
Pension assets or liabilities, with related deferred outflows of resources and deferred inflows
of resources, are not reported in governmental funds, but are reported on the statement of
net position. The amounts included in governmental activities on the statement of net position:
Net pension liability (4,678,602)
Deferred outflows of resources related to pensions 1,170,397
Deferred inflows of resources related to pensions (1,077,592) (4,585,797)
Other long‐term assets are not available to pay for current‐period expenditures and therefore are
deferred in the governmental funds and recognized as revenue in the Statement of Activities.
Property taxes earned but not available 728,745
Franchise fees earned but not available 134,194
Municipal court receivable 490,456
Grant receivable 15,654
Assessment liens 425,488 1,794,537
Internal service funds are used by management to charge the cost of administrative functions as well as
fleet and property management to individual funds. The assets and liabilities of the internal service
funds are included in governmental activities in the statement of activities. 1,742,751
Accrued compensated absences are not due and payable in the current period and therefore are not (1,000,400)
reported in the funds.
Long‐term liabilities, including bonds payable are not due and payable in the current period and
therefore are not reported in the governmental funds.
Bonds payable (22,862,084)
Loans payable (1,170,000)
Special assessment debt bonded with government commitment (296,319)
Capital leases payable (30,290)
Accrued interest payable, not due and payable in the current period (96,469)
Net other post employment benefit (OPEB) obligation (1,288,630)
Net Position of Governmental Activities 226,559,353$
The accompanying notes are an integral part of the basic financial statements.
CITY OF TIGARD, OREGON
RECONCILIATION OF THE BALANCE SHEET TO THE STATEMENT OF NET POSITION
June 30, 2016
GOVERNMENTAL FUNDS
35
Other Total
General Gas Tax Governmental Governmental
Fund Fund Funds Funds
REVENUES
Taxes 14,300,168$ 3,095,618$ 3,508,549$ 20,904,335$
Franchise fees 5,732,448 ‐ ‐ 5,732,448
Special assessments ‐ ‐ 65,243 65,243
Licenses and permits 3,114,265 29,722 2,607,485 5,751,472
Intergovernmental revenues 6,319,350 ‐ 365,317 6,684,667
Charges for services 2,289,321 ‐ 8,685,079 10,974,400
Fines and forfeitures 761,781 ‐ 210,779 972,560
Interest earnings 292,387 152,759 208,733 653,879
Miscellaneous revenues 92,734 78,217 49,943 220,894
Total revenues 32,902,454 3,356,316 15,701,128 51,959,898
EXPENDITURES
Current operating:
Community services 20,743,054 ‐ 41,132 20,784,186
Public works 3,785,911 1,822,997 1,997,220 7,606,128
Community development 3,450,608 ‐ 3,531,295 6,981,903
Policy and administration 831,876 ‐ ‐ 831,876
Debt service:
Principal ‐ 481,425 1,880,467 2,361,892
Interest ‐ 111,000 948,733 1,059,733
Capital outlay ‐ ‐ 6,200,291 6,200,291
Total expenditures 28,811,449 2,415,422 14,599,138 45,826,009
Excess of revenues
over expenditures 4,091,005 940,894 1,101,990 6,133,889
OTHER FINANCING SOURCES (USES)
Proceeds from sale of capital assets ‐ ‐ 1,650,000 1,650,000
Transfers in ‐ 115,987 6,212,831 6,328,818
Transfers out (3,114,060) (272,214) (2,716,165) (6,102,439)
Resources provided by other funds ‐ ‐ 49,500 49,500
Total other financing sources (uses) (3,114,060) (156,227) 5,196,166 1,925,879
Net change in fund balances 976,945 784,667 6,298,156 8,059,768
Fund balances ‐ beginning of the year 12,657,979 1,565,112 13,843,679 28,066,770
Fund balances ‐ end of year 13,634,924$ 2,349,779$ 20,141,835$ 36,126,538$
The accompanying notes are an integral part of the basic financial statements.
CITY OF TIGARD, OREGON
GOVERNMENTAL FUNDS ‐
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE
for the year ended June 30, 2016
36
Net change in fund balances ‐ Governmental Funds 8,059,768$
Amounts reported for governmental activities in the Statement of Activities are different because:
Governmental funds report capital outlays as expenditures. However in the Statement of Activities
the cost of those assets is depreciated over their estimated useful lives
Expenditures for capital assets 5,792,886
Current year depreciation expense (5,303,120)
Contributed capital 4,015,945
Loss on disposal of capital assets (177,698) 4,328,013
Revenues in the Statement of Activities that do not provide current financial resources
are not reported as revenues in the funds
Decrease in deferred inflows of resources ‐ property taxes 81,282
Decrease in franchise fees 2,092
Increase in municipal court receivable 5,015
Increase in grants receivable 15,654
Decrease in assessment liens (65,284) 38,759
Long‐term debt proceeds provide current financial resources to governmental funds,
but issuing debt increases long‐term liabilities in the Statement of Net Position.
Repayment of long‐term debt is reported as an expenditure in the governmental
funds, but a reduction of long‐term liabilities in the Statement of Net Position.
Principal payments 2,361,892
Reimbursement on internal loans (49,500)
Amortization of premium on long‐term debt 37,214 2,349,606
Some expenses reported in the Statement of Activities do not require the use of current
financial resources and therefore are not reported as expenditures in governmental funds:
Increase in accrued interest payable 80,473
Increase in compensated absences (28,405)
Pension expense (3,845,531)
Increase in accrued other post employment benefits (OPEB) liability (104,868) (3,898,331)
Internal service funds are used by management to charge the cost of administrative functions
as well as fleet and property management to individual funds. The net revenue of internal
service funds is reported with governmental activities.
Change in Net Position ‐ Internal Service Funds 525,753
Change in Net Position of Governmental Activities 11,403,568$
The accompanying notes are an integral part of the basic financial statements.
CITY OF TIGARD, OREGON
RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND
BALANCES OF GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES
for the year ended June 30, 2016
GOVERNMENTAL FUNDS
37
Governmental
Activities ‐
Sanitary Internal
Sewer Stormwater Water Totals Service Funds
ASSETS
Current assets:
Cash and cash equivalents 3,485,925$ 5,691,891$ 11,969,147$ 21,146,963$ 2,560,770$
Investments 587,389 1,031,541 2,169,168 3,788,098 137,737
Accounts receivable 1,482,250 415,184 2,708,935 4,606,369 22,521
Advances to other funds ‐ Interfund loan 102,495 ‐ ‐ 102,495 ‐
Prepaids ‐ 1,473 1,250 2,723 33,274
Property held for resale 185,021 260,021 ‐ 445,042 ‐
Inventory 25,147 25,147 156,274 206,568 31,921
Total current assets 5,868,227 7,425,257 17,004,774 30,298,258 2,786,223
Noncurrent assets:
Restricted cash and cash equivalents ‐ ‐ 19,238,229 19,238,229 ‐
Restricted investments ‐ ‐ 846,353 846,353 ‐
Capital assets:
Land and construction in process 608,127 162,602 163,172,640 163,943,369 ‐
Other capital assets (net of
accumulated depreciation)17,087,881 11,330,181 36,091,918 64,509,980 ‐
Total noncurrent assets 17,696,008 11,492,783 219,349,140 248,537,931 ‐
Total assets 23,564,235 18,918,040 236,353,914 278,836,189 2,786,223
LIABILITIES
Current liabilities:
Accounts payable and accrued liabilities 1,291,616 136,868 4,064,396 5,492,880 425,571
Unearned revenue ‐ ‐ ‐ ‐ 15,714
Deposits ‐ 8,833 29,775 38,608 ‐
Accrued interest payable ‐ ‐ 2,614,328 2,614,328 ‐
Accrued compensated absences 23,221 25,869 86,979 136,069 287,715
Current portion of bonds payable ‐ ‐ 2,583,027 2,583,027 ‐
Current portion of note payable ‐ ‐ 100,945 100,945 ‐
Total current liabilities 1,314,837 171,570 9,479,450 10,965,857 729,000
Noncurrent liabilities:
Accrued compensated absences 788 877 2,950 4,615 11,365
Note payable ‐ long‐term portion ‐ ‐ 1,907,007 1,907,007 ‐
Bonds payable ‐ long‐term portion ‐ ‐ 136,420,281 136,420,281 ‐
Net OPEB obligation 38,110 43,189 82,380 163,679 303,107
Total noncurrent liabilities 38,898 44,066 138,412,618 138,495,582 314,472
Total liabilities 1,353,735 215,636 147,892,068 149,461,439 1,043,472
NET POSITION
Net investment in capital assets 17,696,008 11,492,783 66,059,176 95,247,967 ‐
Restricted for capital projects ‐ ‐ 5,517,329 5,517,329 ‐
Restricted for debt service ‐ ‐ 6,762,299 6,762,299 ‐
Unrestricted 4,514,492 7,209,621 10,123,042 21,847,155 1,742,751
Total net position 22,210,500$ 18,702,404$ 88,461,846$ 129,374,750$ 1,742,751$
CITY OF TIGARD, OREGON
PROPRIETARY FUNDS
STATEMENT OF NET POSITION
June 30, 2016
The accompanying notes are an integral part of the basic financial statements.
Business‐type Activities ‐
Enterprise Funds
38
Governmental
Activities ‐
Sanitary Internal
Sewer Stormwater Water Totals Service Funds
OPERATING REVENUES
Charges for services 1,791,302$ 3,058,382$ 20,918,497$ 25,768,181$ 8,842,796$
Miscellaneous revenues 35,795 18,543 139,307 193,645 33,756
Total operating revenues 1,827,097 3,076,925 21,057,804 25,961,826 8,876,552
OPERATING EXPENSES
Salaries and wages 528,658 524,866 1,117,286 2,170,810 5,053,836
Contracted services 5,686 421,346 4,565,752 4,992,784 1,063,972
General, administrative and other 1,304,139 672,632 3,111,194 5,087,965 2,858,284
Depreciation 695,290 478,075 1,394,697 2,568,062 ‐
Total operating expenses 2,533,773 2,096,919 10,188,929 14,819,621 8,976,092
Operating income (loss) (706,676) 980,006 10,868,875 11,142,205 (99,540)
NON‐OPERATING REVENUES (EXPENSES)
Interest earnings 10,344 39,035 253,511 302,890 34,191
Interest expense ‐ ‐ (4,528,306) (4,528,306) ‐
Intergovernmental revenue 127,148 ‐ ‐ 127,148 ‐
Loss on disposal of capital assets (3,215) (26,243) (2,932) (32,390) ‐
Total non‐operating revenue 134,277 12,792 (4,277,727) (4,130,658) 34,191
Net income (loss) before
contributions and transfers (572,399) 992,798 6,591,148 7,011,547 (65,349)
System development revenue 69,543 550 2,811,942 2,882,035 ‐
Capital contributions 595,178 1,459,167 870,210 2,924,555 ‐
Transfers in 104 ‐ 58,751 58,855 592,085
Transfers out (30,560) (99,044) (746,732) (876,336) (983)
Change in net position 61,866 2,353,471 9,585,319 12,000,656 525,753
Net position‐‐beginning of year 22,148,634 16,348,933 78,876,527 117,374,094 1,216,998
Net position‐‐end of year 22,210,500$ 18,702,404$ 88,461,846$ 129,374,750$ 1,742,751$
Business‐type Activities ‐
Enterprise Funds
The accompanying notes are an integral part of the basic financial statements.
CITY OF TIGARD, OREGON
STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN FUND NET POSITION
PROPRIETARY FUNDS
for the year ended June 30, 2016
39
Governmental
Activities ‐
Sanitary Internal
Sewer Stormwater Water Totals Service Funds
CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers 13,220,790$ 3,031,322$ 20,898,641$ 37,150,753$ 8,856,810$
Payments to suppliers (13,607,350) (1,077,742) (13,892,965) (28,578,057) (3,939,391)
Payments to employees (525,304) (520,636) (1,135,365) (2,181,305) (5,020,897)
Other receipts 35,796 18,543 139,307 193,646 30,159
Net cash provided by operating activities (876,068) 1,451,487 6,009,618 6,585,037 (73,319)
CASH FLOWS FROM NONCAPITAL
FINANCING ACTIVITIES
Principal collected on interfund loan 35,152 ‐ ‐ 35,152 ‐
Transfers to other funds (30,560) (99,044) (746,732) (876,336) (983)
Transfers from other funds 104 ‐ 58,751 58,855 592,085
Net cash (used) by noncapital financing activities 4,696 (99,044) (687,981) (782,329) 591,102
CASH FLOWS FROM CAPITAL AND RELATED
FINANCING ACTIVITIES
System development revenue 69,543 550 2,811,942 2,882,035 ‐
Intergovernmental revenue 127,148 ‐ ‐ 127,148 ‐
Principal payments ‐ ‐ (98,005) (98,005) ‐
Interest payments ‐ ‐ (4,966,608) (4,966,608) ‐
Acquisition of capital assets (236,126) (267,458) (28,004,301) (28,507,885) ‐
Net cash (used) by capital and related
financing activities (39,435) (266,908) (30,256,972) (30,563,315) ‐
CASH FLOWS FROM INVESTING ACTIVITIES
Interest earnings 10,344 39,035 253,511 302,890 34,191
Net increase (decrease) in cash
and investments (900,463) 1,124,570 (24,681,824) (24,457,717) 551,974
Cash and investments‐‐beginning of the year 4,973,777 5,598,862 58,904,721 69,477,360 2,146,533
Cash and investments‐‐end of the year 4,073,314$ 6,723,432$ 34,222,897$ 45,019,643$ 2,698,507$
RECONCILIATION OF OPERATING INCOME (LOSS) TO
NET CASH PROVIDED BY OPERATING ACTIVITIES
Operating income (loss) (706,676)$ 980,006$ 10,868,875$ 11,142,205$ (99,540)$
Adjustments to reconcile operating income (loss)
to net cash provided by operating activities:
Cash flows reported in other categories:
Depreciation expense 695,290 478,075 1,394,697 2,568,062 ‐
Change in assets and liabilities:
Receivables (136,839) (27,060) (10,923) (174,822) 4,154
Prepaid expenses (640) (583) (1,223) 56,362
Inventory (13,131) (13,131) 11,105 (15,157) 12,010
Accounts payable and accrued liabilities (718,067) 30,007 (6,226,541) (6,914,601) (78,507)
Unearned revenue ‐ ‐ ‐ ‐ (737)
Accrued compensated absences 143 483 (25,037) (24,411) 9,182
Deposits (8,933) (8,933) ‐
OPEB obligation 3,212 3,747 6,958 13,917 23,757
Net cash provided by operating activities (876,068)$ 1,451,487$ 6,009,618$ 6,585,037$ (73,319)$
Non‐cash capital and related financing activities:
Developer contributed sewer, stormwater and
water lines 595,178$ 1,459,167$ 870,210$ 2,924,555$ ‐
The accompanying notes are an integral part of the basic financial statements.
Enterprise Funds
CITY OF TIGARD, OREGON
PROPRIETARY FUNDS
STATEMENT OF CASH FLOWS
for the year ended June 30, 2016
Business‐type Activities ‐
40
Fiduciary Funds
This funds account for resources received and held by the city in a fiduciary capacity. Disbursements from
these funds are made in accordance with the plan document agreement or the applicable Internal
Revenue Code Section. The accrual basis of accounting is used to record transactions in the pension trust
funds.
Pension Trust Fund – this fund accounts for the city’s retirement plan for employees. The retirement plan
is a defined contribution plan 401(a).
ASSETS
Investments:
Restricted stable value fund 5,580,761$
Restricted corporate bonds 859,294
Restricted corporate stocks 17,528,340
Total assets 23,968,395
NET POSITION
Restricted for pension benefits 23,968,395$
The accompanying notes are an integral part of the basic financial statements.
CITY OF TIGARD, OREGON
STATEMENT OF FIDUCIARY NET POSITION
PENSION TRUST
June 30, 2016
41
ADDITIONS
Contributions ‐ employer 1,355,676$
Contributions ‐ plan members 140,846
Investment loss (246,138)
Total additions 1,250,384
DEDUCTIONS
Benefit payments and withdrawals 1,412,482
Administrative expenses 3,751
Total deductions 1,416,233
Change in net position (165,849)
Net position of assets held in trust for pension benefits:
Beginning of year 24,134,244
End of year 23,968,395$
The accompanying notes are an integral part of the basic financial statements.
for the year ended June 30, 2016
STATEMENT OF CHANGES IN FIDUCIARY NET POSITION
PENSION TRUST
CITY OF TIGARD, OREGON
42
Notes to Basic
Financial Statements
City of Tigard, Oregon
Notes to Basic Financial Statements
1. Summary of Significant Accounting Policies
Financial Reporting Entity
The City of Tigard, Oregon under its Charter of 1961, is governed by an elected mayor and four council
members who comprise the City Council. The City Council appoints a City Manager, who acts as the
administrative head of government for the city.
The accompanying financial statements present the city (primary government) and its component unit
(the city’s urban renewal agency), an entity for which the city is financially accountable. Financial
accountability is defined as the appointment of a voting majority of the organization’s governing board
and where (1) the city is able to significantly influence the programs or services performed or provided
by the organization or (2) the city is legally entitled to or can otherwise access the organization’s
resources. Blended component units, although legally separate entities, are, in substance, part of the
city’s operations. Component units may include organizations which are fiscally dependent on the city
in that the city approves the budget, issues debt or levys taxes. The city has one blended component
unit included in this financial report.
Blended Component Units
The Tigard City Center Development Agency (CCDA) was created in 2006 when the voters approved the
creation of an urban renewal area for 20 years with maximum principal indebtedness of $22 million.
CCDA was created under the provisions of the Oregon Revised Statutes, Chapter 457 (ORS 457). The
City of Tigard Council members serve as the CCDA’s governing body, known as the Tigard City Center
Development Agency.
The activities of the Tigard City Center Development Agency are included in the city’s financial
statements as a blended component unit. CCDA is a legally separate entity, which is governed by a
board comprised of the City Council, as stipulated in the bylaws. The Council has the ability to impose
its will on the CCDA as determined on the basis of budget adoption, taxing authority, and funding.
The purpose of the City Center Development Agency is to undertake urban renewal projects and
activities pursuant to the city’s downtown redevelopment plan. The financial results of the CCDA are
reported herein as a debt service fund and a capital projects fund. CCDA prepares a separate
component unit financial report published on the city’s website www.CityofTigardOregon.gov or from
the city’s administrative offices at 13125 SW Hall Blvd, Tigard, Oregon 97223.
The city administers a single employer defined contribution plan (the Pension Plan) covering only city
employees who are not eligible to participate in OPERS. Named fiduciaries on the Pension Plan are
certain city management employees and the plan is fiscally dependent upon the city’s contributions. As
a result, the Pension Plan is reported as a fiduciary fund in the city’s financial statements.
Basic Financial Statements
Basic financial statements are presented at both the government‐wide and fund financial level. Both
levels of statements categorize activities as either governmental or business‐type. Governmental
activities, which are normally supported by taxes and intergovernmental revenues, are reported
separately from business‐type activities, which rely to a significant extent on fees and charges for
support.
43
City of Tigard, Oregon
Notes to Basic Financial Statements
Government-wide financial statements display information about the city as a whole. For the most part,
the effect of interfund activity has been removed from these statements. These statements focus on
the sustainability of the city as an entity and the change in aggregate financial position resulting from
the activities of the fiscal year. These aggregated statements consist of the Statement of Net Position
and the Statement of Activities.
The Statement of Activities demonstrates the degree to which the direct expenses of a given function or
segment is offset by program revenues. Direct expenses are those that are clearly identifiable with a
specific function or segment. Program revenues include 1) charges to customers or applicants who
purchase, use, or directly benefit from goods, services or privileges provided by a given function or
segment, and 2) grants and contributions that are restricted to meeting the operational or capital
requirements of a particular function or segment.
Indirect expenses are recovered through internal service fund charges. These indirect expenses are
allocated based on a full-cost approach, thereby allocating indirect expenses among functions with the
objective of allocating all expenses. Taxes and other items not included among program revenues are
reported instead as general revenues.
Separate financial statements are provided for governmental funds, proprietary funds, and the pension
trust fund, even though the pension trust fund is excluded from the government-wide financial
statements. Major individual governmental funds and major individual enterprise funds are reported as
separate columns in the fund financial statements.
Fund financial statements display information at the individual fund level. Each fund is considered to be
a separate accounting entity. Funds are classified and summarized as governmental, proprietary, or
fiduciary.
Currently, the city has governmental, proprietary, and fiduciary fund types. Non-major funds are
combined into a single column in the basic financial statements and are detailed in the supplementary
information.
Basis of Presentation
The financial transactions of the city are recorded in individual funds. Each fund is accounted for by
providing a separate set of self-balancing accounts that comprises its assets, deferred outflows of
resources, liabilities, deferred inflows of resources, fund equity, revenues and expenditures/expenses.
Professional standards set forth minimum criteria (percentage of the assets, deferred outflows of
resources, liabilities, deferred inflows of resources, revenues or expenditures/expenses or either fund
category or the governmental and enterprise combined) for the determination of major funds. The city
may also elect to add major funds that city officials believe are particularly useful to financial statement
users. The city has elected to report the enterprise funds as major as well as include the Gas Tax Fund
as a major fund in the current financial statements for consistency. Non-major funds are combined in a
column in the fund financial statements and detailed as supplementary information in the financial
report.
44
City of Tigard, Oregon
Notes to Basic Financial Statements
Measurement Focus and Basis of Accounting
Measurement focus is a term used to describe which transactions are recorded within the various
financial statements. Basis of accounting refers to when transactions are recorded.
The financial statements of the city have been prepared in accordance with accounting principles
generally accepted in the United States of America (GAAP). GAAP statements include all relevant GASB
pronouncements. The city applies the provisions of all applicable GASB statements that define
requirements and the reporting model for the annual financial reports of state and local governments.
The city has recorded capital and certain other long-term assets and liabilities in the Statement of Net
Position, reported all revenues and the cost of providing services under the accrual basis of accounting
in the Statement of Activities, and uses the direct method of reporting cash flows.
The government-wide, proprietary fund and fiduciary fund financial statements are presented on a full
accrual basis of accounting with an economic resource measurement focus. An economic resource
focus concentrates on an entity or fund’s net position. All transactions and events that affect the total
economic resources (net position) during the period are reported. An economic resources
measurement focus is inextricably connected with full-accrual accounting. Under the full accrual basis
of accounting, revenues are recorded when earned and expenses are recorded at the time liabilities are
incurred, regardless of the timing of related cash inflows and outflows.
Governmental funds financial statements are presented on a modified accrual basis of accounting with a
current financial resource measurement focus. This measurement focus concentrates on the fund’s
resources available for spending currently or in the near future. Only transactions and events affecting
the fund’s current financial resources during the period are reported.
Similar to the connection between an economic resource measurement focus and full accrual
accounting, a current financial resource measurement focus is inseparable from a modified accrual basis
of accounting. Under modified accrual accounting, revenues are recognized as soon as they are both
measurable and available. Revenues are considered to be available when they are collectible within the
current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the
city considers revenues to be available if they are collected within 60 days of the end of the current
fiscal year.
Property taxes, intergovernmental and interest associated with the current fiscal period are all
considered to be susceptible to accrual and so have been recognized as revenues of the current fiscal
period. Only the portion of special assessments receivable due within the current fiscal period is
considered susceptible to accrual as revenue of the current period. All other revenues are considered to
be measurable and available only when cash is received by the city.
A deferred inflow of resources, shown as unavailable revenue, arises in the governmental funds balance
sheet when potential revenue does not meet both the measurable and available criteria for recognition
in the current year.
This unavailable revenue consists primarily of uncollected property taxes and assessments not deemed
available to finance operation of the current period. In the government-wide Statement of Activities,
45
City of Tigard, Oregon
Notes to Basic Financial Statements
with a full accrual basis of accounting, revenue must be recognized as soon as it is earned regardless of
its availability. Thus, the liability created on the governmental fund balance sheet for unavailable
revenue is eliminated.
Similar to the way revenues are recorded, governmental funds only record those expenditures that
affect current financial resources. Principal and interest on general long-term debt is recorded as a fund
liability only when due, or to the extent that it is expected to be liquidated with expendable financial
resources. However, in the government-wide financial statements with full accrual basis of accounting,
all expenditures affecting the economic resource status of the government must be recognized. Thus,
the expense and related accrued liability for long-term portions of debt, interest, other postemployment
benefits and compensated absences must be included.
Since the governmental fund statements are presented on a different measurement focus and basis of
accounting than the government-wide statements’ governmental column, a reconciliation is necessary
to explain the adjustments needed to transform the fund-based financial statements into the
governmental column of the government-wide presentation. This reconciliation is part of the basic
financial statements.
Interfund activity consists of transfers, service provided and/or used, reimbursements, advances and
loans. As a general rule, the effect of interfund activity has been eliminated from the government-wide
financial statements. Exceptions to this general rule are charges between enterprise and various other
city functions. Elimination of these charges would distort the direct costs and program revenues
reported for the various functions concerned.
Amounts reported as program revenues include 1) charges to customers or applicants for goods,
services, or privileges provided, 2) operating grants and contributions and 3) capital grants and
contributions. Internally dedicated resources are reported as general revenues rather than as program
revenues. Likewise, general revenues include all taxes.
Proprietary funds distinguish operating revenues and expenses from non-operating items. Operating
revenues and expenses generally result from providing services, and producing and delivering goods in
connection with a proprietary fund’s principal ongoing operations. The principal operating revenues of
the city’s Sanitary Sewer, Stormwater and Water Funds are charges to customers for sales and services.
The Sanitary Sewer, Stormwater and Water Funds recognize fees intended to recover the cost of
connecting new customers to the city’s utility systems as non-operating revenues. Operating expenses
for enterprise funds include the cost of sales and services, administrative expenses and overheads, and
depreciation on capital assets. All revenues and expenses not meeting this definition are reported as
non-operating revenues and expenses.
The fiduciary fund accounts for the resources held by the city in a custodial capacity, on behalf of the
employees of the city.
When both restricted and unrestricted resources are available for use, it is the city’s policy to use
restricted resources first, then unrestricted resources as they are needed.
46
City of Tigard, Oregon
Notes to Basic Financial Statements
New Accounting Pronouncements and Accounting Standards
During the fiscal year ended June 30, 2016, the city implemented the following GASB pronouncements:
GASB Statement No. 72, Fair Value Measurement and Application
This statement establishes a framework for measuring fair value and establishes a reporting hierarchy to
maximize the use of observable inputs and minimize the use of unobservable input when measuring fair
value. The city implemented this standard for fiscal year ending June 30, 2016. See Note 3 for
additional information.
GASB Statement No. 76, The Hierarchy of Generally Accepted Accounting Principles for State
and Local Governments.
This statement reduces the GAAP hierarchy to two categories of authoritative GAAP and addresses the
use of authoritative and nonauthoritative literature in the event that the accounting treatment for a
transaction or other event is not specified within a source of authoritative GAAP. This statement
supersedes Statement No. 55, The Hierarchy of Generally Accepted Accounting Principles for State and
Local Governments. The city implemented this statement for fiscal year ending June 30, 2016 and
implementation is applied retroactively. This statement did not have a significant impact on the city’s
financial statements.
GASB Statement No. 79, Certain External Investment Pools and Pool Participants
This statement establishes criteria for an external investment pool to qualify for making the election to
measure all of its investments at amortized cost for financial reporting purposes. The city implemented
this standard for fiscal year ending June 30, 2016. See Note 3 for additional information.
The following pronouncements have been issued by the Governmental Accounting Standards Board
(GASB) but not yet implement by the city:
GASB Statement No. 73, Accounting and Financial Reporting for Pensions and Related Assets
that Are Not within the Scope of GASB Statement 68 and Amendments to Certain Provisions
of GASB Statements 67 and 68.
This statement establishes accounting and financial reporting standards for pensions that don’t
meet the requirements set out in GASB Statements No. 67 and 68, and makes some modifications to
GASB Statements No. 67 and 68. GASB Statement No. 73 will be effective for the city, fiscal year
ending June 30, 2016 for the provisions that amend GASB Statements No. 67 and 68. The provisions
that effect pensions not within the scope of GASB Statement No. 67 and 68 will be effective for the
city, fiscal year ending June 30, 2017.
GASB Statement No. 74, Financial Reporting for Postemployment Benefit Plans Other Than
Pension Plans
This statement this statement replaces Statements No. 43, Financial Reporting for Postemployment
47
City of Tigard, Oregon
Notes to Basic Financial Statements
Benefit Plans Other Than Pension Plans, as amended, and Statement No. 57, OPEB Measurements by
Agent Employers and Agent Multiple-Employer Plans. It also includes requirements for defined
contribution OPEB plans that replace the requirements for those OPEB plans in Statement No. 25,
Financial Reporting for Defined Benefit Pension Plans and Note Disclosures for Defined Contribution
Plans, as amended, Statement No. 43, and Statement No. 50, Pension Disclosures. GASB Statement No.
74 will be effective for the city, fiscal year ending June 30, 2017.
GASB Statement No. 75, Accounting and Financial Reporting for Postemployment Benefits
Other Than Pension
This statement replaces the requirements of Statements No. 45, Accounting and Financial Reporting by
Employers for Postemployment Benefits Other Than Pensions, as amended, and Statement No. 57, OPEB
Measurements by Agent Employers and Agent Multiple-Employer Plans, for OPEB. Statement No. 74,
Financial Reporting for Postemployment Benefit Plans Other Than Pension Plans , establishes new
accounting and financial reporting requirements for OPEB plans. GASB Statement No. 75 will be
effective for the city, fiscal year ending June 30, 2018.
GASB Statement No. 77, Tax Abatements
This statement defines a tax abatement and contains required disclosures about a reporting
government’s own tax abatement agreements and those that are entered into by other governments
and that reduce the reporting government’s tax revenues. This statement is effective for the fiscal year
ending June 30, 2017. The city is in the process of assessing the impact of this standard on the financial
statements.
GASB Statement No. 78, Pensions Provided Through Certain Multiple-Employer Defined
Benefits Pension Plans
This statement amends Statement No. 68, Accounting and Financial Reporting for Pensions, to exclude
pensions provided to employees of state or local governmental employers through a cost-sharing
multiple-employer defined benefit pension plan that (1) is not a state or local governmental pension
plan, (2) is used to provide defined benefit pensions both to employees of state or local governmental
employers and to employees of employers that are not state or local governmental employers and (3)
has no predominant state or local governmental employers. This statement establishes requirements
for recognition and measurement of pension expense, expenditures, and liabilities and note disclosures;
and requirement supplementary information for pensions that have the characteristics described above.
This statement is effective for the city for June 30, 2017.
GASB Statement No. 80, Blending Requirements for Certain Component Units – an
amendment of GASB Statement No. 14
This statement improves financial reporting by clarifying financial statement presentation requirements
for certain component units. This statement amends the blending requirements for the financial
statement presentation of component units of all state and local governments. This statement is
48
City of Tigard, Oregon
Notes to Basic Financial Statements
effective for June 30, 2017. The city does not anticipate this standard will have a significant impact on
the financial statement presentation.
GASB Statement No. 81, Irrevocable Split-Interest Agreements
This statement improves accounting and reporting for irrevocable split-interest agreements by providing
recognition and measurement guidance for situations in which a government is a beneficiary of the
agreement. Examples of these types of agreements include charitable lead trusts, charitable remainder
trusts and life-interests in real estate. This statement is effective for fiscal year ending June 30, 2018.
The city has not yet evaluated the impact of this standard to the financial statements.
GASB Statement No. 82, Pension Issues – an amendment of GASB Statements No. 67, 68 and
73.
This statement addresses certain issues that have been raised with respect to Statements No. 67,
Financial Reporting for Pension Plans, Statement No. 68, Accounting and Financial Reporting for
Pensions, and Statement No. 73, Accounting and Financial Reporting for Pensions and Related Assets
That Are Not within the Scope of GASB Statement 68, and Amendments to Certain Provisions of GASB
Statements 67 and 68. Specifically, this Statement addresses issues regarding (1) the presentation of
payroll-related measures in the required supplementary information, (2) the selection of assumptions
and the treatment of deviations from the guidance in an Actuarial Standard of Practice for financial
reporting purposes, and (3) the classification of payments made by employers to satisfy employee (plan
member) contributions requirements.
This Statement is effective for June 30, 2017, except for the requirements of this Statement for the
selection of assumptions in a circumstance in which an employer’s pension liability is measured as of a
date of other than the employer’s most recent fiscal year-end. The city is in the process of evaluating
the impact of this standard on the financial statements.
Assets, Deferred Outflows/Inflows of Resources, Liabilities, and Net Position/Fund Balance
Cash and Investments
Cash and cash equivalents are generally considered short-term, highly liquid investments with a
maturity of three months or less from the purchase date. The city’s cash and cash equivalents consists
of cash on hand, demand deposits and cash deposits that are held in an investment pool, Local
Government Investment Pool, that has the general characteristic of a demand deposit account (deposits
of additional cash may be made at any time and cash may be withdrawn at any time without prior
notice or penalty). Interest earned on cash and cash equivalents is allocated monthly based on each
fund’s average cash balance as a proportion of the city’s total.
For purposes of the statement of cash flows, the city considers the proprietary funds’ cash and cash
equivalents to be cash on hand, demand deposits and cash deposits that are held in an investment pool
with original maturities of three months or less.
49
City of Tigard, Oregon
Notes to Basic Financial Statements
Investments are recorded at fair value in accordance with GASB Statement No. 72, Fair Value
Measurement and Application. Accordingly, the change in fair value of investments is recognized as an
increase or decrease to investment assets and investment income. Interest earned on investments is
allocated monthly based on each fund’s average cash balance as a proportion of the city’s total cash and
investments.
The city reports cash with fiscal agent and certain cash and investments as restricted because their use
is limited by parties external to the city. Restrictions may be from bond proceeds, imposed by creditors,
other governments, laws and/or enabling legislation.
Receivables and Payables
Activity between funds that are representative of lending/borrowing arrangements outstanding at the
end of the fiscal year are referred to as “Advances to/Advances from other funds”. Any residual
balances outstanding between the governmental activities and business-type activities are reported in
the government-wide financial statements as “internal balances.”
Property taxes are levied and become a lien on July 1. Collection dates are November 15, February 15,
and May 15 following the lien date. Discounts are allowed if the amount due is received by November
15 or February 15. Taxes unpaid and outstanding on May 16 are considered delinquent.
The city also has receivables outstanding for assessments on private property. These assessments
include street and sidewalk improvements, sewer line installations and deferral of certain impact fees
(system development charges).
Proprietary fund receivables are recorded as revenue when earned, including services earned but not
billed. The receivables of proprietary funds include billing for residential and commercial customers
utilizing the city’s water, sanitary sewer and stormwater management services.
The city’s receivables, including property taxes, assessments and proprietary fund receivables are
deemed to be substantially collectible. Tax and assessments receivable can be recovered through
foreclosure on the subject property. Services can be disconnected if proprietary fund receivables
remain unpaid. Accordingly, no allowance for doubtful accounts is deemed necessary for these
receivables. The city records a receivable and related allowance for municipal court accounts
receivable.
Accounts payable to vendors and contractors include general accounts payable, retainage payable,
deposits payable and other accrued liabilities not included in short-term or long-term liabilities.
Inventories and Prepaids
Inventories of parts, materials and supplies are stated at cost on the first-in, first-out basis, in the
proprietary funds. The consumption method is used in accounting for inventory for all funds on the
budgetary basis. The consumption method is used for the government-wide presentation as well as the
proprietary funds and business-type activities.
50
City of Tigard, Oregon
Notes to Basic Financial Statements
Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as
prepaids in both government‐wide and fund financial statements. Payments classified as prepaid are
primarily items that are being amortized such as prepaid insurance.
Property Held for Resale
Property held for resale is recorded as an asset and includes land and building inventory stated at the
lower of cost or market. At year‐end no reductions in value were necessary, therefore recorded
amounts were equal to original cost.
Capital Assets
Capital assets, which include property, plant, equipment, and infrastructure assets (e.g. roads,
pathways, street lights, etc.) are reported in the applicable governmental or business‐type activities
columns in the government‐wide financial statements, and in the proprietary fund statements.
Capital assets are charged to expenditures as purchased or constructed in the governmental fund
statements, and capitalized in the proprietary fund statements. Capital assets are recorded at historical
cost or estimated historical cost. Donated assets are recorded at estimated fair market value as of the
date of the donation.
Capital assets are defined by the city as assets with an initial, individual cost of $5,000 or more, and an
estimated useful life of greater than one year. Additions or improvements and other capital outlays that
significantly extend the useful life of an asset, or that significantly increase the capacity of an asset are
capitalized. Other costs for repairs and maintenance are expensed as incurred.
Depreciation on exhaustible assets is recorded as an allocated expense in the Statement of Activities
with accumulated depreciation reflected in the Statement of Net Position and is provided on the
straight‐line basis over the following estimated useful lives:
Asset Years
Buildings and improvements 25‐40
Improvements other than buildings 10‐20
Machinery and equipment 5‐10
Autos and trucks 5‐10
Infrastructure 20‐40
Deposits
In general deposits represent developer funds collected by the city, primarily when issuing permits for
new construction and infrastructure development. Various funds report deposits, including the General
Fund, Gas Tax Fund, Electrical Inspection Fund, Building Fund and Urban Forestry Fund. Deposits are
held by the city until the obligations for the projects have been completed or forfeited for non‐
compliance with development requirements as determined by city inspection staff.
51
City of Tigard, Oregon
Notes to Basic Financial Statements
Unearned Revenues
Unearned revenues will be recognized as revenue in the fiscal year they are earned in accordance with
the accrual basis of accounting. Revenue is considered earned when all eligibility criteria are met, and
the amount is measurable.
Deferred Outflows/Inflows of Resources
Deferred outflows of resources, represents a consumption of net position that applies to a future
period(s) and so will not be recognized as an outflow of resources (expense/expenditure) until then.
Deferred outflows of resources follows assets on the Statement of Net Position.
Deferred inflows of resources, represents an acquisition of net position that applies to a future period(s)
and therefore will not be recognized as an inflow of resources (revenue) until that time. In the
Statement of Net Position, this includes resources that are received before the city has met eligibility
requirements related to time. In the governmental fund financial statements, deferred inflows of
resources include revenues that are measureable but not available.
For purposes of measuring the net pension (asset) liability, deferred outflows of resources and deferred
inflows of resources related to pensions, and pension expense, information about the fiduciary net
position of the Oregon Public Employees Retirement System (OPERS) and additions to/deductions from
OPERS’s fiduciary net position have been determined on the same basis as they are reported by OPERS.
For this purpose, benefit payments (including refunds of employee contributions) are recognized when
due and payable in accordance with the benefit terms. Investments are reported at fair value.
Accrued Compensated Absences
It is the city’s policy to permit employees to accumulate earned but unused vacation and sick pay
benefits. There is no liability for unpaid accumulated sick leave, since the city does not have a policy to
pay any amounts when employees separate from the city. Vacation pay is accrued when incurred in the
government-wide and proprietary fund financial statements. A liability for these amounts is reported in
the governmental funds only when it has matured, for example, as result of employee resignations or
retirements.
Long-term Debt
In the government-wide financial statements, and proprietary fund types in the fund financial
statements, long-term debt and other long-term obligations are reported as liabilities in the applicable
governmental activities, business-type activities, or proprietary fund type in the Statement of Net
Position. Bond premiums and discounts are deferred and amortized over the life of the bonds. Bonds
payable are reported net of the applicable bond premium or discount. Bond issuance costs are treated
as period costs in the year of issue.
In the fund financial statements, governmental fund types recognize bond premiums and discounts, as
well as bond issuance costs, during the current period. The face amount of debt issued is reported as
52
City of Tigard, Oregon
Notes to Basic Financial Statements
other financing sources while premiums and discounts on debt issuances are reported as other financing
sources and uses, respectively. Issuance costs, whether or not withheld from the actual debt proceeds
received, are reported as debt service expenditures.
Other Post-Employment Benefits (OPEB)
The city’s net OPEB obligation is recognized as a long-term liability in the government-wide financial
statements, the amount of which is actuarially determined.
Net Pension Liability
The city reports its proportionate share of the Net Pension Liability of the Oregon Public Employees
Retirement System (OPERS). A negative Net Pension Liability is reported as a Net Pension Asset. The
net pension asset/liability is measured as the portion of the present value of projected benefits payment
to be provided through the pension plan to current active and inactive qualifying employees that is
attributed to those employees past periods of service less the amount of the pension plan’s fiduciary net
position.
Contributions
Capital contributions from developers are credited to contribution revenue and the related capital
assets are recorded in the government-wide financial statements.
Fund Balances and Net Position
In the fund financial statements, the fund balance for governmental funds is reported in a hierarchy of
classifications based primarily on the extent to which the government is bound to honor constraints on
the specific purposes for which amounts in those funds can be spent. The city reports fund balances into
the following categories:
Nonspendable for resources cannot be spent because they are either in a nonspendable form or legally
or contractually required to be maintained intact. Resources in nonspendable form include inventories,
prepaids, deposits, advances from internal loans and property assets held for resale.
Restricted for amounts with constraints placed on the use of resources are either (a) externally imposed
by creditors (such as through debt covenants), grantors, contributors, laws or regulations of other
governments; or (b) imposed by law through constitutional provisions or enabling legislation.
Committed for amounts that City Council passes an ordinance or council resolution, a formal action
made by the entity’s highest level of decision making authority, which places specific constraints on how
the resources may be used. Resolutions and ordinances are considered equally binding in that the City
Council can modify or rescind the ordinance or resolution at any time through passage of an additional
ordinance or resolution.
Assigned for resources that are constrained by the government’s intent to use them for a specific
purpose, but are neither restricted nor committed, are reported as assigned fund balance. The City
Council expresses their intent to use a resource for a specific purpose by including that resource in the
53
City of Tigard, Oregon
Notes to Basic Financial Statements
adopted annual budget for funds outside of the General Fund. Assigned fund balances are not reported
in the General Fund as the city has not established a policy regarding the assignment of funds.
Unassigned fund balance is the residual classification for the General Fund. This classification
represents fund balance that is not assigned, committed, restricted or nonspendable within the General
Fund. This classification is also used to report any deficit fund balance amounts in other governmental
funds.
When an expenditure is incurred for purposes for which both restricted and unrestricted fund balance is
available, the city considers restricted amounts to have been spent. Likewise, when an expenditure is
incurred for purposes for which either committed or assigned fund balance is available, the city
considers committed or assigned amounts to have been spent.
On the government-wide Statement of Net Position, the proprietary funds’ Statement of Net Position,
and the fiduciary funds’ Statement of Fiduciary Net Position, net position is segregated into restricted
and unrestricted balances. Restrictions are limitations on how the net position may be used.
Restrictions may be placed on net position by an external party that provided the resources, by enabling
legislation or by the nature of the asset.
The net investment in capital assets component of net position represents total capital assets less
accumulated depreciation less debt directly related to capital assets. This amount is reported on the
Statement of Net Position and in the financial statements for Proprietary Fund types.
Use of Estimates
In preparing the city’s financial statements, management is required to make estimates and
assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent
assets and liabilities at the date of the financial statements, and the reported amounts of revenues and
expenses/expenditures during the reporting period. Actual results could differ from those estimates.
Fund Types:
The city's financial operations are accounted for in the following funds:
Governmental funds
Governmental funds finance most governmental functions of the city. The acquisition, use and
balances of the city’s expendable financial resources and the related liabilities, excluding those
accounted for in proprietary funds, are accounted for through governmental funds. The measurement
focus is upon determination of changes in current financial resources, rather than upon net position
determination. The following are the city’s major governmental funds:
General Fund - This fund accounts for the city's general operations. It is used to account for all
transactions not specifically required to be accounted for in the city's other funds.
Gas Tax Fund – This special revenue fund records shared revenues from the state and county taxes on
the sale and use of motor vehicle fuel. Funds are used for construction, reconstruction, improvement,
54
City of Tigard, Oregon
Notes to Basic Financial Statements
repair, maintenance, operation and use of public highways, roads, streets, and roadside rest areas.
Monies may also be used for street lighting and cleaning, storm drainage, traffic control devices and
administration costs.
Proprietary funds
Proprietary funds are used to account for the acquisition, operation and maintenance of sewer, storm
drainage, and water systems in the city. These funds are entirely or predominantly self-supported
through user charges to customers. The measurement focus is upon net income determination, rather
than upon determination of changes in current financial resources. The following enterprise funds are
the city’s major proprietary funds:
Enterprise funds:
Sanitary Sewer Fund - This fund accounts for the city's sewer utility operations.
Stormwater Fund – This fund accounts for the city’s storm drainage operations which consists of
the following two budgetary funds: Stormwater Fund and Water Quality/Quantity Fund.
Water Fund - This fund accounts for the city’s water operations which consists of the following
four budgetary funds: Water Fund, Water SDC Fund, Water CIP Fund and Water Debt Service
Fund.
Additionally, the city reports the following fund types:
Nonmajor governmental funds:
Special Revenue funds account for restricted or committed revenues for specific purposes.
Debt Service funds account for the accumulation of resources to pay principal and interest on the
city’s long-term obligations.
Capital Projects funds account for the accumulation of resources for construction or acquisition of
facilities and equipment.
Internal service funds
Internal service funds account for goods and services provided by one city department to another on a
cost reimbursement basis. The internal service funds account for the activities of health insurance for
employees, liability insurance, workers’ compensation insurance, facilities and fleet and support and
administrative services.
Fiduciary Fund
Fiduciary funds focus on net position and changes in net position. The city’s fiduciary fund is the
defined contribution pension plan for the benefit of employees.
55
City of Tigard, Oregon
Notes to Basic Financial Statements
2. Stewardship, Compliance and Accountability
Budgetary information
A budget is prepared for each fund, except for the Pension Trust Fund, under the modified accrual basis
of accounting used by governmental funds, which is in accordance with the legal requirements of
Oregon Local Budget Law.
The resolution authorizing appropriations sets the maximum level of expenditures for each fund and
may not legally be over expended. Appropriations lapse at the end of each fiscal year. Appropriations
are made at the major program level for each fund, for example, Community Services, Public Works,
Community Development, Policy and Administration, Debt Service, Capital Improvements and
Contingency. The detail budget document is required to contain more detailed information for the
above-mentioned expenditure categories.
After budget approval, the City Council may approve supplemental budgeted appropriations if an
occurrence, condition, or need exists which had not been ascertained at the time the budget was
adopted. A supplemental budget may require hearings before the public, publications in newspapers
and approval by the City Council. Original and supplemental budgets may be modified by the use of
appropriations transfers between the levels of control. Such transfers require approval by the City
Council. Management may not amend the budget without council approval. The City Council approved
four supplemental budgets throughout the fiscal year.
For GAAP presentation, the transfers from non-operating funds for services provided by the internal
service funds and the General Fund are considered revenues and expenses/expenditures, as
appropriate, but may be considered to be interfund transfers for budgetary purposes.
Expenditures in Excess of Appropriations and Deficit Fund Balance
Oregon state law requires disclosure of fund expenditures in excess of budgeted appropriations. For
the year-ended June 30, 2016, expenditures exceeded appropriations in the Urban Forestry special
revenue fund by $4,296. This over-expenditure was due to timing of an unplanned refund to a
developer. The over expenditure was covered by available fund balance.
The Urban Renewal Agency Capital Projects reported a deficit fund balance $617,329 on a GAAP basis
as June 30, 2016. This deficit is due to internal loans from the General Fund and the Sewer Fund that
have been spent on activities in the downtown urban renewal district. The loans or advances are
repaid over time with future revenues from tax increment collections. For additional details on
advances and interfund transactions see Note 7.
3. Cash and Investments
The city maintains a cash and investment pool that is available for use by all funds except the Pension
Trust Fund. Each fund type's portion of this pool is displayed on the combined balance sheet as "cash
and investments". Unrestricted and restricted cash and investments for the primary government are
reported in governmental and business-type activities. Restricted balances reported in cash and
56
City of Tigard, Oregon
Notes to Basic Financial Statements
investments are restricted by legal or contractual requirements. Restricted investments reported in
fiduciary activities represent the Pension Trust Fund. These investments are for the city’s defined
contribution plan and held separately from city funds and managed by a third party.
Cash and investments, restricted and unrestricted, at June 30, 2016:
Type
Primary
Government
Fiduciary
Activities Total
State Investment Pool (LGIP) $ 64,285,715
$ -
$ 64,285,715
Money markets 5,887,879
-
5,887,879
Deposits with financial institutions 5,995,779 - 5,995,779
Cash with fiscal agent 47,759 47,759
Petty cash/cash on hand 6,367 - 6,367
Total cash and cash equivalents 76,223,499 - 76,223,499
U.S. Agencies 7,019,464
-
7,019,464
Collective trust/stable value fund - 5,580,761 5,580,761
Corporate bonds 2,777,753
859,294
3,637,047
Corporate stocks -
17,528,340
17,528,340
Total investments 9,797,217 23,968,395 33,756,612
Total cash, cash equivalents & investments $ 86,020,716
$ 23,968,395
$109,989,111
Governmental Business Type Fiduciary
Activities
Activities
Activities Total
Cash and cash equivalents $ 18,525,783
$ 21,146,963
$ - $ 39,672,746
Restricted cash and cash equivalents 17,312,524
19,238,229
- 36,550,753
Total cash and cash equivalents 35,838,307 40,385,192 - 76,223,499
Investments 3,260,559 3,788,098 - 7,048,657
Restricted investments 1,902,207
846,353
23,968,395 26,716,955
Total investments 5,162,766 4,634,451 23,968,395 33,765,612
Total cash, cash equivalents and investments $ 41,001,073
$ 45,019,643
$ 23,968,395 $ 109,989,111
Unrestricted
Restricted
Total
Government activities $ 21,786,342
$ 19,214,731
$ 41,001,073
Business-type activities 24,935,061
20,084,582
45,019,643
Total primary government 46,721,403 39,299,313 86,020,716
Fiduciary funds -
23,968,395
23,968,395
Total cash and investments $ 46,721,403
$ 63,267,708
$ 109,989,111
57
City of Tigard, Oregon
Notes to Basic Financial Statements
Deposits
Custodial Credit Risk. There is a risk that, in the event of a bank failure, the city’s deposits may not be
returned. Cash with financial institutions include bank demand deposits and bank money market
accounts. The combined total book balance at June 30, 2016 was $11,883,658 and the total bank
balance is $12,097,091. Of these deposits, $500,000 was covered by federal depository insurance and
$11,597,091 was collateralized in accordance with Oregon Revised Statutes (ORS) 295. The Federal
Depository Insurance Corporation (FDIC) provides deposit insurance up to $250,000 for each
institution.
Institutions with deposits in excess of FDIC coverage participate in the Oregon Public Funds
Collateralization Program (PFCP) as defined in Oregon Revised Statutes (ORS) 295. This provides
additional protection for public funds in the event of a bank failure, although it does not guarantee
100% protection. The Office of the State Treasurer categorizes the financial institutions in Oregon.
Based on that categorization, banks must pledge collateral valued at between 10% and 110% of their
public fund deposits. In the event of a bank failure, the entire pool of collateral pledged by all
qualified Oregon public funds bank depositories is available to repay deposits of public funds of
government entities. The Office of the State Treasurer maintains a list of qualified financial
institutions for the deposit of public funds in excess of FDIC insurance. The financial institutions
holding city deposits are noted on the State Treasurer’s qualified list. The city’s investment policy
states bank deposits with any one qualified institution shall not exceed 20% of the portfolio. In
addition, the policy states bank deposits of any one qualified financial institution shall not exceed 1%
of the institution’s total assets. The city is in compliance with this policy at year-end.
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 corporate bonds and the State of Oregon Local
Government Investment Pool. Annually, the city adopts an investment policy in connection with the
budget process.
The Local Government Investment Pool (LGIP) is administered by the Oregon State Treasury. The LGIP is
an open-ended no-load diversified portfolio offered to any agency, political subdivision or public
corporation of the State who by law is made the custodian of, or has control of, any fund. The LGIP is
commingled with the State's short-term funds. In seeking to best serve local governments of Oregon,
the Oregon Legislature established the Oregon Short-Term Fund Board, which is not registered with the
U.S. Securities and Exchange Commission as an investment company. The purpose of the Board is to
advise the Oregon State Treasury in the management and investment of the LGIP. The Oregon Audits
Division of the Secretary of State’s Office audits the LGIP annually.
For fiscal year ending June 30, 2016, the city implemented GASB Statement No. 79, Certain External
Investment Pools and Pool Participants. This statement required the city to value its proportionate
share in the LGIP at fair value. At June 30, 2016, the city’s fair value in the LGIP was $64,285,715.
Financial statement for the Oregon Short-Term Fund can be found on line at:
http://www.oregon.gov/treasury/Divisions/Investment/Pages/Oregon-Short-Term-Fund-(OSTF).aspx
58
City of Tigard, Oregon
Notes to Basic Financial Statements
In accordance with the implementation of GASB Statement No. 72, Fair Value Measurement and
Application, the city categorizes its fair value measurements within the fair value hierarchy established
by generally accepted accounting principles. The hierarchy is based on the valuation inputs used to
measure the fair value of the asset. Level 1 inputs are quoted prices in active markets; Level 2 inputs
are significant other observable inputs; Level 3 are significant unobservable inputs. The city has the
following investments and recurring fair value measurements as of June 30, 2016:
U.S. Agencies at $7,019,464 are valued using a matrix pricing model (Level 2).
Corporate Bonds at $2,777,753 are valued using a matrix pricing model (Level 2).
The LGIP includes investments in external investment pools and does not meet the requirements for
“leveling” disclosures as established in GASB Statement No. 72. Therefore, fair value of the LGIP is
determined by the pool’s underlying portfolio.
The city’s Pension Trust Fund accounts for the defined contribution pension plan for eligible
employees. The employees direct the investment options within the plan. Funds invested in the plan
are for the sole benefit of the employee and therefore restricted. At June 30, 2016 the total restricted
investments in the pension plan were $23,968,395. The value of the pension plan’s investments at
year-end are measured at fair value by a third party custodian based on the net asset value of the
individual mutual funds, and therefore, are not classified within the fair value hierarchy noted above.
Interest rate risk. In accordance with its investment policy, the city manages its exposure to declines in
fair value by limiting the individual maturities in its investment portfolio to eighteen months or less.
The city’s investment policy states that at least 30% of the portfolio can have maturities less than
ninety days and up to 20% of the portfolio can have maturities from eighteen months to thirty-six
months. Per the policy, no investments will be made for a period to exceed thirty-six months. The city
does not actively trade investments, usually holding them to maturity. The city was in compliance with
its policy at year-end.
At June 30, 2016, the city had the following investments and maturities at fair value:
Investment Type
Fair Value
Risk
Concentration
Weighted
Average
Maturity
(in months)
Local Government Investment Pool (LGIP) * $ 64,285,715 87% < 1
U.S. Agencies 7,019,464 9% 1.75
Corporate Bonds 2,777,753 4% < 1
Total investments
$ 74,082,932
100.00%
Portfolio weighted average maturity 1.98
* LGIP is considered an investment per the city’s investment policy. For financial reporting, LGIP is
considered cash and cash equivalents due to the liquid nature of the accounts.
59
City of Tigard, Oregon
Notes to Basic Financial Statements
Concentration of credit risk: Concentration of credit risk is the risk of loss attributed to the magnitude
of a government’s investment in a single issuer. The city’s policy for investing in individual issuers
varies depending on the type of investments. Following are maximum instrument diversification per
city policy. At year-end the city was in compliance with this policy.
U.S. Agency securities are restricted to no more than 90%
Certificates of deposit are restricted to no more than 25%
Corporate bonds are restricted to no more than 35%. In addition, investments in corporate
bonds of any one issuer may not exceed 5% of the investment portfolio.
Credit risk: For an investment, this is the risk that, in the event of failure of the counterparty, the city
will not be able to recover the value of its investments or collateral securities that are in the possession
of an outside party. All of the city’s investments, except for the Local Government Investment Pool, are
held in safekeeping by the financial institution in the city’s name. The city’s policy, which adheres to
State of Oregon law, is to limit its Corporate and Municipal investments to the following: Issuers within
Oregon must be rated “A” (bonds) or A-2 / P-2 (commercial paper) or better by Standard and Poor’s,
Moody’s Investors Service or any other nationally recognized statistical rating organization. Issuers not
in Oregon must be rated AA / Aa (bonds) or A-1 / P-1 (commercial paper) or better.
At June 30, 2016, the city’s investments were rated as follows:
Investment Type Moody's S & P Fitch Fair Value
% of Fair
Value
State Investment Pool (LGIP) N/R N/R N/R $ 64,285,715 86.78%
Corporate Bonds * Aa3 AA- A 501,215 0.68%
Corporate Bonds A3 A- A+ 759,472 1.03%
Corporate Bonds A1 AA+ N/R 506,570 0.68%
Corporate Bonds A1 AA+ N/R 505,505 0.68%
Corporate Bonds A1 AA+ AA- 504,990 0.68%
US Agency N/R N/R N/R 1,000,340 1.35%
US Agency AAA AA+ AAA 1,004,520 1.36%
US Agency AAA AA+ N/R 1,000,770 1.35%
US Agency AAA AA+ N/R 503,255 0.68%
US Agency N/R N/R N/R 504,075 0.68%
US Agency N/R N/R N/R 1,003,560 1.35%
US Agency N/A AA+ N/R 500,100 0.68%
US Agency N/A AA+ N/R 500,455 0.68%
US Agency AAA N/A N/R 1,002,390 1.35%
Total investments
$ 74,082,932 100.00%
* Investment in corporate bond was out of compliance for credit risk with the city’s investment policy at
June 30, 2016, however this investment was in compliance with the city’s policy at the initial purchase
date.
60
City of Tigard, Oregon
Notes to Basic Financial Statements
At year-end the city held the following restricted and unrestricted cash and investments:
June 30, 2016
Investments $ 9,797,217
Local Government Investment Pool 64,285,715
Deposits with financial institutions 11,883,658
Petty cash 6,367
Cash with fiscal agent 47,759
Total primary government cash and investments 86,020,716
Statement of Fiduciary Net Position - Pension Trust Fund 23,968,395
Total cash and investments $ 109,989,111
4. Accounts Receivable
Accounts receivable as of June 30, 2016 for the city’s individual major funds, nonmajor and internal
service funds in the aggregate, including the applicable allowances for uncollectible accounts are
noted below:
General
Fund
Gas Tax
Fund
Non-major
Funds
Internal
Service
Funds
Total
Governmental
Activities
Business-
type
Activities
Total
Receivables:
Property taxes $ 667,815 $ - $ 124,730 $ -
$ 792,545
$ - $ 792,545
Accounts 1,215,998 3,107 379,778 22,231
1,621,114
4,599,488 6,220,602
Court 2,699,406 - - - 2,699,406 - 2,699,406
Intergovernmental 641,705 273,412 138,042 - 1,053,159 - 1,053,159
Interest 7,089 492 2,232 290 10,103 6,881 16,984
Assessment liens - - 425,488 - 425,488 - 425,488
Gross receivables 5,232,013 277,011 1,070,270 22,521 6,601,815 4,606,369 11,208,184
Less: allowance for
discounts and
uncollectible amounts (2,024,556) - -
-
(2,024,556)
-
(2,024,556)
Net total receivables $ 3,207,457 $ 277,011 $ 1,070,270
$ 22,521
$ 4,577,259
$ 4,606,369 $ 9,183,628
Under State of Oregon statutes, municipal court receivables are valid for ten years and are then
renewable for another ten years. According to city policy, these receivables are turned over to an
external collection agency after approximately 180 days. Historical collection percentages average
about 25%. Accordingly, at June 30, 2016, $2,699,406 was outstanding for municipal court receivables
with a related allowance for doubtful accounts of $2,024,556.
Assessment liens receivable represent the uncollected amounts levied against benefited property for
the cost of local capital improvements. Because the assessments are liens against the benefited
property, an allowance for uncollectible amounts is not deemed necessary. Substantially all
assessments are payable over a period of 10 to 20 years. Assessments bear interest from 5.2 to 9.4
percent. At June 30, 2016, the portion of the assessments receivable balance that represents
delinquent accounts is insignificant.
61
City of Tigard, Oregon
Notes to Basic Financial Statements
5. Capital Assets
Capital asset activity for governmental activities for the year ended June 30, 2016 was as follows:
Balances Balances
Governmental activities
June 30,
2015
Additions
Deletions
Transfers
June 30,
2016
Non-depreciable:
Land $ 25,917,639
$ -
$ (28,415)
$ -
$ 25,889,224
Construction in progress 7,147,531
5,197,957
-
(8,894,231)
3,451,257
Total non-depreciable 33,065,170
5,197,957
(28,415)
(8,894,231)
29,340,481
Depreciable:
Building and improvements 23,609,707
154,213
(437,932)
18,075
23,344,063
Land improvements 8,498,397
-
(105,604)
368,149
8,760,942
Machinery and equipment 2,644,801
30,665
(42,120)
-
2,633,346
Autos and trucks 2,593,859
293,931
(197,904)
-
2,689,886
Office equipment 2,556,217
116,120
(176,700)
-
2,495,637
Infrastructure 229,827,892
4,015,945
-
8,508,007
242,351,844
Total depreciable 269,730,873
4,610,874
(960,260)
8,894,231
282,275,718
Accumulated depreciation:
Building and improvements (8,001,382)
(656,000)
288,651
-
(8,368,731)
Land improvements (5,931,299)
(489,405)
105,601
-
(6,315,103)
Machinery and equipment (2,154,965)
(199,829)
42,120
-
(2,312,674)
Autos and trucks (1,887,971)
(228,770)
197,905
-
(1,918,836)
Office equipment (1,510,385)
(199,198)
176,700
-
(1,532,883)
Infrastructure (69,412,538)
(3,529,918)
-
-
(72,942,456)
Total accumulated
depreciation (88,898,540)
(5,303,120)
810,977
-
(93,390,683)
Governmental activities
capital assets, net $213,897,503
$ 4,505,711
$ (177,698)
$ -
$218,225,516
Depreciation expense for governmental activities is charged to functions as follows:
Community services $ 382,466
Public works 4,714,089
Community development 7,305
Policy and administration 199,260
Total depreciation for governmental activities $5,303,120
62
City of Tigard, Oregon
Notes to Basic Financial Statements
Capital assets activity for business-type activities for the year ended June 30, 2016, was as follows:
Balances Balances
Business-type activities
June 30,
2015
Additions
Deletions
Transfers
June 30,
2016
Non-depreciable:
Land $ 5,237,285
$ -
$ -
$ -
$ 5,237,285
Construction in progress 131,543,902
28,427,795
(65)
(1,265,548)
158,706,084
Total non-depreciable 136,781,187
28,427,795
(65)
(1,265,548)
163,943,369
Depreciable:
Building and improvements 2,010,974
-
(131,241)
-
1,879,733
Sewer system 27,422,488
595,178
-
78,143
28,095,809
Stormwater system 17,440,686
1,459,167
-
187,273
19,087,126
Water system 63,472,079
870,210
-
1,000,132
65,342,421
Equipment 1,849,819
80,150
(131,690)
-
1,798,279
Auto and trucks 1,796,998
-
-
-
1,796,998
Total depreciable 113,993,044
3,004,705
(262,931)
1,265,548
118,000,366
Accumulated depreciation:
Building and improvements (1,197,710)
(47,261)
98,852
-
(1,146,119)
Sewer system (10,543,459)
(638,867)
-
-
(11,182,326)
Stormwater system (7,773,007)
(458,332)
-
-
(8,231,339)
Water system (28,462,966)
(1,301,253)
-
-
(29,764,219)
Equipment (1,613,842)
(72,363)
131,690
-
(1,554,515)
Auto and trucks (1,561,882)
(49,986)
-
-
(1,611,868)
Total accumulated
depreciation (51,152,866)
(2,568,062)
230,542
-
(53,490,386)
Business-type activities
capital assets, net $199,621,365
$ 28,864,438
$ (32,454)
$ -
$228,453,349
Total interest costs incurred in business-type activities in fiscal year ended June 30, 2016 was
$5,722,965, of which $1,194,658 was capitalized to construction in progress for the Lake Oswego-
Tigard water partnership project, for a net interest expense of $4,528,306.
Depreciation expense for business-type activities is charged to activities as follows:
Sanitary sewer $ 695,290
Stormwater 478,075
Water 1,394,697
Total depreciation for business-type activities $ 2,568,062
63
City of Tigard, Oregon
Notes to Basic Financial Statements
6. Long-term Debt and Other Debt
Governmental Activities
General Obligation Bonds and Full Faith and Credit Bonds
Library Bonds: In fiscal year 2010-2011 the city issued $8,655,000 of general obligation bonds, series
2011B, for a current refunding of bonds originally issued in 2002 to build a new library. Interest rates
on the new bonds range from 3.0% to 4.0% on specific maturities. At June 30, 2016 the outstanding
balance on the 2011B bonds was $5,525,000.
Parks Bonds: In fiscal year 2010-2011 the city issued $17,000,000 of general obligation bonds, series
2011A at a premium of $297,213. The proceeds of the bonds were issued to acquire open spaces,
protect and improve parklands. At least 80% of the bond proceeds went towards land acquisition for
open spaces, parks or trail corridors with up to 20% towards improvements and development of park
land. Interest rates range from 3.0% to 4.75% on specific maturities. At June 30, 2016, the outstanding
balance on the bonds was $13,985,000 and the balance of the unamortized premium was $192,084.
Transportation Bonds: In fiscal year 2009-2010 the city issued $7,250,000 of full faith and credit Build
America Bonds. The bonds were issued to fund specific street and highway improvements. Interest
rate on the bonds is set at 4.35%. At June 30, 2016 the outstanding balance on the bonds was
$3,160,000.
Future maturities of bond principal and interest on general obligation bonds and full faith and credit
bonds are as follows:
Year Ending
June 30,
Principal
Interest
Total
2017
$ 2,165,000
$ 920,560
$ 3,085,560
2018
2,235,000
845,043
3,080,043
2019
2,305,000
763,313
3,068,313
2020
2,390,000
667,713
3,057,713
2021
1,625,000
568,625
2,193,625
2022-2026
6,305,000
1,969,350
8,274,350
2027-2031
5,645,000
820,926
6,465,926
22,670,000
$ 6,555,530
$ 29,225,530
Premium
192,084
Total
$ 22,862,084
64
City of Tigard, Oregon
Notes to Basic Financial Statements
Local Improvement District Bonds
In fiscal year 2001-2002 the city issued Local Improvement District (LID) bonds in the amount of
$1,307,969 for improvement on 69th Avenue. Interest rate on the LID bonds is 7.25%; payable first
from assessments to benefited properties and second, from the general credit of the city. The balance
of the LID bonds at June 30, 2016 was $296,319 with principal and interest payments as follows:
Year Ending
June 30,
Principal
Interest
Total
2017
$ 83,100
$ 20,000
$ 103,100
2018
89,200
13,866
103,066
2019
95,800
7,279
103,079
2020
28,219
1,021
29,240
$ 296,319
$ 42,166
$ 338,485
Bank Loan Payable
In fiscal year 2014-2015 the city entered into a financing agreement with a bank in the amount of
$1,300,000 at an interest rate of 3.00%. The loan is for urban renewal projects within the City Center
Urban Renewal Area (CCDA). In connection with the financing agreement, CCDA and the city executed
an intergovernmental agreement (IGA) for CCDA to be obligated for the financing payments on the
loan. The IGA constitutes indebtedness of the agency in the amount of the financing or $1,300,000.
Pursuant to ORS 287A.310, the agency pledges the tax increment revenues to pay the financing
payments or debt service. As of June 30, 2016, the balance outstanding on the bank loan was
$1,170,000. Future principal and interest payments on the loan are as follows:
Year Ending
June 30,
Principal
Interest
Total
2017
$ 130,000
$ 32,842
$ 162,842
2018
130,000
28,980
158,980
2019
130,000
25,118
155,118
2020
780,000
11,681
791,681
$ 1,170,000
$ 98,621
$ 1,268,621
Capital Lease
The city entered into a lease/purchase agreement in fiscal year 2012-2013 to purchase a piece of street
equipment. This lease agreement qualifies as a capital lease and has been capitalized in accordance
with accounting principles generally accepted in the United States of America (GAAP). The asset was
acquired at the purchase price of $71,091. At June 30, 2016 the net book value of the equipment is
$28,397 ($71,091 less $42,694 of accumulated depreciation). The outstanding balance on the capital
lease at June 30, 2016 is $30,290 and has an effective interest rate of 4.4%.
65
City of Tigard, Oregon
Notes to Basic Financial Statements
Future minimum lease payments on the capital lease are as follows:
Year Ending
June 30,
Principal
Interest
Total
2017
$ 14,818
$ 1,337
$ 16,155
2018
15,472
683
16,155
$ 30,290
$ 2,020
$ 32,310
Business-type Activities
Note Payable
In fiscal year 2009-2010 the city was awarded $4,796,000 in federal funds under the American
Recovery and Reinvestment Act (ARRA). These funds were distributed to the city as a loan, with 50%
constituting an ARRA Forgivable Loan and 50% a low-interest loan under the Safe Drinking Water
Revolving Loan Fund program. These ARRA funds were used to develop a city water reservoir. In fiscal
year 2011-2012 the city drew down the funds that are considered the loan portion. The interest rate
on the note payable is 3.0%. At June 30, 2016, the balance on the note payable was $2,007,952.
Future debt service requirements are as follows:
Year Ending
June 30,
Principal
Interest
Total
2017
$ 100,945
$ 60,239
$ 161,184
2018
103,973
57,210
161,183
2019
107,092
54,091
161,183
2020
110,305
50,878
161,183
2021
113,614
47,569
161,183
2022-2026
621,288
184,628
805,916
2027-2031
720,244
85,672
805,916
2032
130,491
3,915
134,406
$ 2,007,952
$ 544,202
$ 2,552,154
Water Project Financing
In fiscal year 2010-2011 the City of Tigard’s City Council authorized up to $160 million in bonds to help
finance a joint water supply project with the City of Lake Oswego to provide Tigard a share of a local
water source. The arrangement with Lake Oswego to share a water system is referred to as the Lake
Oswego/Tigard Water Partnership project.
In fiscal year 2011-2012 the city issued $97,720,000 of water revenue bonds to be used to fund capital
projects for the water system in connection with the Lake Oswego/Tigard Water Partnership project.
The bonds were issued at a premium of $8,196,325 with interest rates from 3.0% to 5.0%. At June 30,
2016, the entire balance of the 2012 water revenue bonds was outstanding and the balance of the
unamortized premium was $6,235,482.
66
City of Tigard, Oregon
Notes to Basic Financial Statements
In fiscal year 2014-2015 the city issued $30,810,000 of water revenue bonds with interest rates from
3.0% to 5.0%. The bonds were issued at a premium of $4,449,380. These bonds are the second of two
borrowings by Tigard to help finance the joint water supply project with the City of Lake Oswego (Lake
Oswego/Tigard Water Partnership project). At June 30, 2016, the entire balance of the 2015 water
revenue bonds was outstanding and the balance of the unamortized premium was $4,237,826.
Net water system revenues and system development charges for the Water System are pledged to the
payment of principal of and interest on the revenue bonds. Revenues from the water system are
pledged for repayment of these bonds. Net system revenues for fiscal year 2016 were $12,124,264 as
compared to the total debt service of $6,098,088. The computation of water revenue bonds debt
coverage is noted in the statistical section of this document on page 173. Interest rates on the bonds
range from 3% to 5% on specific maturities.
Future maturities of bond principal and premium and interest on the revenue bonds are as follows:
Year Ending
June 30,
Principal
Interest
Total
2017
$ 2,030,000
$ 6,202,100
$ 8,232,100
2018
2,100,000
6,129,650
8,229,650
2019
2,185,000
6,043,950
8,228,950
2020
2,275,000
5,954,750
8,229,750
2021
2,370,000
5,861,850
8,231,850
2022-2026
13,495,000
27,657,925
41,152,925
2027-2031
17,220,000
23,928,525
41,148,525
2032-2036
22,080,000
19,064,250
41,144,250
2037-2041
28,360,000
12,790,250
41,150,250
2042-2046
36,415,000
4,733,625
41,148,625
$128,530,000
$118,366,875
$246,896,875
Unamortized
premium
10,473,308
Total
$139,003,308
67
City of Tigard, Oregon
Notes to Basic Financial Statements
Long-term liability activity including compensated absences for the year ended June 30, 2016 was as
follows:
Balances Balances Due in
June 30, 2015
Additions
Retirements
June 30, 2016
one year
Governmental activities
Bonds payable $ 24,990,106
$ -
$ 2,128,022
$ 22,862,084
$ 2,186,497
Special assessment debt 373,711
-
77,392
296,319
83,100
Bank loan payable 1,300,000
-
130,000
1,170,000
130,000
Capital lease 44,482
-
14,192
30,290
14,818
Long-term debt before other
long-term liabilities 26,708,299
-
2,349,606
24,358,693
2,414,415
Compensated absences 1,261,892
1,683,760
1,646,172
1,299,480
1,250,075
Governmental activities
total long-term liabilities $ 27,970,191
$ 1,683,760
$ 3,995,778
$ 25,658,173
$ 3,664,490
Business-type activities
Note payable $ 2,105,957
$ -
$ 98,005
$ 2,007,952
$ 100,945
Bonds payable 139,643,153
-
639,845
139,003,308
2,583,027
Long-term debt before other
long-term liabilities
141,749,110
-
737,850
141,011,260
2,683,972
Compensated absences 165,096
146,066
170,478
140,684
136,069
Business-type activities
total long-term liabilities $141,914,206
$ 146,066
$ 908,328
$141,151,944
$ 2,820,041
Expenditures for liquidating compensated absences liabilities are recorded in the General, Special
Revenue, Enterprise and Internal Service funds.
7. Interfund Receivables, Payables and Transfers
Interfund loan transactions between funds are recorded as “advances to” and “advances from” other
funds. Interfund loans represent interim financing from the General Fund and the Sanitary Sewer fund
to a capital project fund for various downtown development projects. Repayment of these
transactions occurs in years subsequent to year-end.
68
City of Tigard, Oregon
Notes to Basic Financial Statements
The net effect of interfund loans is reported on the Statement of Net Position as Internal Balances. The
composition of interfund loans and the related elimination as of June 30, 2016 are as follows:
Receivable Fund Payable Fund Amount Elimination Net Balance
General Fund Nonmajor governmental fund $ 655,183 $ (655,183) $ ‐
Sanitary Sewer Fund Nonmajor governmental fund 102,495 ‐ 102,495
$ 757,678 $ (655,183) $ 102,495
Future maturities on the interfund loans are as follows:
Year Ending Interfund Loans Elimination Net Balance
June 30, Principal Interest Principal Interest Principal Interest
2017 $ ‐ $ 3,933 $ ‐ $ (3,420) $ ‐ $ 513
2018 ‐ 3,933 ‐ (3,420) ‐ 513
2019 ‐ 3,933 ‐ (3,420) ‐ 513
2020 ‐ 3,933 ‐ (3,420) ‐ 513
2021 ‐ 3,933 ‐ (3,420) ‐ 513
2022‐2026 63,201 19,594 (43,109) (17,082) 20,092 2,512
2027‐2031 375,604 14,134 (324,488) (12,583) 51,116 1,551
2032‐2036 318,873 4,357 (287,586) (4,044) 31,287 313
$ 757,678 $ 57,750 $ (655,183)$ (50,809) $ 102,495 $ 6,941
Interfund transfers are used to provide funds for debt service, contribute toward the cost of capital
projects and provide operational resources. Transfers for fiscal year ended June 30, 2016 are as
follows:
Fund
Gas Tax
Nonmajor
Governmental
Funds
Internal
Service
Sanitary
Sewer Water
Total
Transfers
Out
General $ 15,987 $ 3,063,973 $ 6,640 $ ‐$ 27,460 $ 3,114,060
Gas Tax ‐ 272,214 ‐ ‐ ‐ 272,214
Nonmajor funds 100,000 2,356,175 259,969 21 ‐ 2,716,165
Internal Service ‐ ‐ 983 ‐ ‐ 983
Sanitary Sewer ‐ 4,394 12,753 ‐ 13,413 30,560
Stormwater ‐ 55,509 25,574 83 17,878 99,044
Water ‐ 460,566 286,166 ‐ ‐ 746,732
Total transfers in $ 115,987 $ 6,212,831 $ 592,085 $ 104 $ 58,751 $ 6,979,758
69
City of Tigard, Oregon
Notes to Basic Financial Statements
Reconciliation:
Transferred to governmental funds from:
Sewer Fund
$ 17,147
Stormwater Fund
81,083
Water Fund
746,732
Transferred from governmental funds to enterprise funds:
From General Fund to Water Fund
(27,460)
From Non-major funds to Sewer Fund (21)
Total transfers per Statement of Activities
$ 817,481
These transfers have been eliminated in the government-wide statement of activities other than the net
effect between governmental activities and business-type activities.
8. Post-Employment Benefits Other than Pensions (OPEB)
Plan Description
The city is required by Oregon Revised Statute 243.303 to provide retirees (if they elect) with group
health and dental insurance coverage from the date of retirement age to age 65 at the same premium
rates as offered to active city employees. The retiree is responsible for the premiums. Benefit
provisions are established through negotiations between the city and representatives of collective
bargaining units. The Governmental Accounting Standards Board Statement No. 45, Accounting and
Financial Reporting by Employers for Post-employment Benefits Other Than Pensions, is applicable to
the city due to the resulting implicit rate subsidy. This single-employer “plan” is not a stand-alone plan
and there are no separately issued financial statements. The city does not provide any explicit
employee benefits related to this plan.
Funding Policy
Retirees make premium payments to fund the plan to the extent of current-year insurance premium
requirements on a pay-as-you-go basis. The city has not established an irrevocable trust to accumulate
assets to fund the cost of the net OPEB obligation that arises from the implicit subsidy. The premium
rates are set annually by the city’s insurance carrier. As of the actuarial report date August 1, 2014, six
retirees and two spouses were participating in the plan.
Annual OPEB Cost and Net OPEB Obligation
The city’s annual OPEB cost is calculated based on the Annual Required Contribution (ARC) of the city,
an amount actuarially determined in accordance with the parameters of GASB Statement No. 45. The
ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover the normal cost
each year and amortize any unfunded actuarial liabilities over a period of 15 years. The following
schedule shows the components of the city’s annual OPEB cost for the year ending June 30, 2016, the
amount actually contributed to the plan and the changes in the city’s OPEB obligation to the plan:
70
City of Tigard, Oregon
Notes to Basic Financial Statements
Annual Required Contribution (ARC) $ 362,848
Interest on prior year net OPEB contribution 56,451
Adjustment to ARC (193,934)
Annual OPEB cost 225,365
Implicit benefit payments (82,822)
Increase in net OPEB obligation 142,543
Net OPEB obligation - beginning of the year 1,612,873
Net OPEB obligation - end of the year $ 1,755,416
The city’s annual OPEB cost, the percentage of annual OPEB cost contributed to the plan and the net
OPEB obligation for the current fiscal year and two prior were as follows:
Funding Status and Funding Progress
As of August 1, 2014, the most recent actuarial valuation, the plan was zero percent funded as the plan
is funded on a pay-as-you-go basis. The actuarial liability for benefits was $1,808,960 and also equaled
the unfunded actuarial liability (UAAL).
Schedule of Funding Progress:
Actuarial
Valuation
Date
Actuarial
Value of
Plan Assets
Actuarial
Accrued
Liability
Unfunded
Liability
(UAAL)
Funded
Ratio
Covered
Payroll
UAAL as a
% of
Payroll
08/01/08 $ - $ 1,725,443 $ 1,725,443 0% $ 16,248,354 10.6%
08/01/10 - 1,824,386 1,824,386 0% 17,783,627 10.3%
08/01/12 - 1,844,990 1,844,990 0% 18,629,041 9.9%
08/01/14 - 1,808,960 1,808,960 0% 20,753,905 8.7%
The plan’s actuarial valuation involves estimates of amounts and assumptions about the probability of
events far into the future, such as, future employment, mortality and healthcare cost trends. Amounts
determined about the funding status of the plan and the annual required contributions are subject to
% of Annual
Year Ended Annual OPEB OPEB Cost Net OPEB
June 30, Cost Contributions Obligation
2014 $ 295,164 26% $ 1,389,562
2015 305,940 27% 1,612,873
2016 224,365 37% 1,755,416
71
City of Tigard, Oregon
Notes to Basic Financial Statements
periodic revision as actual results for each period are compared with past expectations and new
assumptions are made about the future.
Actuarial Methods and Assumptions
Projections of benefits for financial reporting purposes are based on the substantive plan and include
the health benefits provided at the time of each valuation and the historical pattern of sharing of
benefit costs between the city and plan members. The actuarial methods and assumptions include
techniques that are designed to reduce the effects of short-term volatility in actuarial results consistent
with the long term perspective of the calculations.
In the August 1, 2014 valuation, the projected unit credit cost method was used. This method attempts
to track the actual economic pattern of benefit accrual over an employee’s working lifetime. The
investment return for the city was assumed to be 3.5% to reflect the long-term annual investment
returns for the Oregon Local Government Investment Pool and comparable investment vehicles. The
actuarial report incorporates the projected effect of the healthcare reform law, The Patient Protection
and Affordable Care Act (PPACA), passed into law in March 2010. A significant item in the law begins in
2018 when the city’s plan may be subject to a 40% excise tax on the value of benefits provided above a
certain dollar level. Because of some uncertainties in the excise tax component, the calculation of a
precise obligation for this tax is impossible at this time. The report assumes medical and vision
premium increases to be 5.75% in the first year. In future years, the medical and vision cost trend
varies between 6.50% and 5.00% due to the timing of the excise tax scheduled to affect health care
benefits beginning in 2018. The health care trend then settles to an ultimate rate of 4.75%. Dental
premium increases were assumed to increase 4.5% in all future years. The city’s unfunded actuarial
accrued liability (UAAL) is recalculated at each valuation date and amortized over a 10 year open period
as a level percentage of payroll. A general inflation rate of 2.75% per year was used to develop other
economic assumptions.
9. PERS Retirement Health Insurance Account
Plan Description
As a member of Oregon Public Employees Retirement System (OPERS) the city contributes to the
Retirement Health Insurance Account (RHIA) for each of its eligible employees. RHIA is a cost-sharing
multiple-employer defined benefit other postemployment benefit plan administered by OPERS. RHIA
pays a monthly contribution toward the cost of Medicare companion health insurance premiums of
eligible retirees. Oregon Revised Statute (ORS) 238.420 established this trust fund. Authority to
establish and amend the benefit provisions of RHIA reside with the Oregon Legislature. The plan is
closed to new entrants after January 1, 2004. OPERS issues a publicly available financial report that
includes financial statements and required supplementary information. OPERS produces an
independently audited CAFR which can be found at:
http://www.oregon.gov/pers/Pages/section/financial_reports/financials.aspx
72
City of Tigard, Oregon
Notes to Basic Financial Statements
Funding Policy
Because RHIA was created by enabling legislation (ORS 238.420), contribution requirements of the plan
members and the participating employers were established and may be amended only by the Oregon
Legislature. ORS require that an amount equal to $60 or the total monthly cost of Medicare companion
health insurance premiums coverage, whichever is less, shall be paid from the Retirement Health
Insurance Account established by the employer, and any monthly cost in excess of $60 shall be paid by
the eligible retired member in the manner provided in ORS 238.410. To be eligible to receive this
monthly payment toward the premium cost the member must: (1) have eight years or more of
qualifying service in OPERS at the time of retirement or receive a disability allowance as if the member
had eight years or more of creditable service in OPERS, (2) receive both Medicare Parts A and B
coverage, and (3) enroll in a OPERS-sponsored health plan. An eligible surviving spouse or dependent
of a deceased PERS retiree may receive the subsidy if he or she (1) is receiving a retirement benefit or
allowance from PERS or (2) was insured at the time the member died and the member retired before
May 1, 1991.
Participating cities are contractually required to contribute to RHIA at a rate assessed each year by
OPERS, currently 0.59 percent of annual covered payroll for Tier One/Tier Two, and 0.49 percent for
OPSRP. The OPERS Board of Trustees sets the employer contribution rate based on the annual required
contribution (ARC) of the employers, an amount actuarially determined in accordance with the
parameters of GASB Statement No. 45, Accounting and Financial Reporting by Employers for Post-
employment Benefits Other Than Pensions. The ARC represents a level of funding that, if paid on an
ongoing basis, is projected to cover normal cost each year and amortize any unfunded actuarial
liabilities (or funding excess) of the plan over a period not to exceed thirty years. The City’s
contributions to RHIA equaled the required contributions each year and were:
Fiscal
Year
RHIA
Contributions
2014
$ 32,602
2015
32,789
2016
32,500
10. Pension Plan
Oregon Public Employees Retirement Systems (OPERS)
Plan Description
City of Tigard Police Officers are provided with pensions through Oregon Public Employees Retirement
System (OPERS); a cost-sharing multiple-employer defined benefit pension plan that acts as a common
investment and administrative agent for government units in the State of Oregon. Police Officers hired
before August 29, 2003 belong to the Tier One/Tier Two Retirement Benefit Program (established
pursuant to ORS Chapter 238), while Officers hired on or after August 29, 2003 belong to the OPSRP
Pension Program (established pursuant to ORS Chapter 238A). OPERS produces an independently
audited CAFR which can be found at:
http://www.oregon.gov/pers/Pages/section/financial_reports/financials.aspx
73
City of Tigard, Oregon
Notes to Basic Financial Statements
Benefits Provided
Tier One/Tier Two Retirement Benefit
Pension Benefits. The PERS retirement allowance is payable monthly for life. It may be selected from
13 retirement benefit options. These options include survivorship benefits and lump-sum refunds. The
basic benefit is based on years of service and final average salary. For city sworn officers, 2.0% is
multiplied by the number of years of service and the final average salary. Benefits may also be
calculated under either a formula plus annuity (for members who were contributing before August 21,
1981) or a money match computation if a greater benefit results.
A member is considered vested and will be eligible at a minimum retirement age for a service
retirement allowance if he or she has had contribution in each of five calendar years or has reached at
least 45 years of age before ceasing employment with a participating employer. Police members are
eligible after reaching age 50. Tier One police member benefits are reduced if retirement occurs prior
to age 55 with fewer than 25 years of service. Tier Two members are eligible for full benefits at age 60.
The ORS Chapter 238 Defined Benefit Pension Plan is closed to new members hired on or after August
29, 2003.
Death Benefits. Upon the death of a non-retired member, the beneficiary receives a lump-sum refund
of the member’s account balance (accumulated contributions and interest). In addition, the
beneficiary will receive a lump-sum payment from employer funds equal to the account balance,
provided one or more of the following conditions are met:
the member was employed by a PERS employer at the time of death,
the member died within 120 days after termination of OPERS-covered employment,
the member died as a result of injury sustained while employed in a OPERS-covered job, or
the member was on an official leave of absence from a OPERS-covered job at the time of death.
Disability Benefits. A member with 10 or more years of creditable service who becomes disabled from
other than duty-connected causes may receive a non-duty disability benefit. A disability resulting from
a job-incurred injury or illness qualifies a member for disability benefit regardless of the length of
OPERS-covered service. Upon qualifying for either a non-duty or duty disability, service time is
computed to age 55 for police members when determining the monthly benefit.
Benefit Changes After Retirement. Members may choose to continue participation in a variable
equities investment account after retiring and may experience annual benefit fluctuations due to
changes in the market value of equity investments. Under ORS 238.360 monthly benefits are adjusted
annually through cost-of-living changes. Under current law, the cap on the COLA in fiscal year 2015 and
beyond will vary based on 1.25% on the first $60,000 of annual benefit and 0.15% on annual benefits
above $60,000.
OPSRP Pension Program
Pension Benefits. The OPSRP Pension Program (ORS Chapter 238A) provides benefits to members hired
on or after August 29, 2003. This portion of OPSRP provides a life pension funded by employer
contributions. Benefits are calculated by formula for members who attain normal retirement age. For
police members, 1.8% is multiplied by the number of years of service and the final average salary.
74
City of Tigard, Oregon
Notes to Basic Financial Statements
Normal retirement age for police members is age 60 or age 53 with 25 years of retirement credit. To
be classified as a police member, the individual must have been employed continuously as a police
member for at least five years immediately preceding retirement.
A member of the OPSRP Pension Program becomes vested on the earliest of the following dates: the
date the member completes 600 hours of service in each of five calendar years, the date the member
reaches normal retirement age, and if the pension program is terminated, the date on which
termination becomes effective.
Death Benefits. Upon the death of a non-retired member, the spouse or other person who is
constitutionally required to be treated in the same manner as the spouse, receives for life 50 percent of
the pension that would otherwise have been paid to the deceased member.
Disability Benefits. A member who has accrued 10 or more years of retirement credits before the
member becomes disabled or a member who becomes disabled due to job-related injury shall receive a
disability benefit of 45 percent of the member’s salary determined as of the last full month of
employment before the disability occurred.
Benefit Changes After Retirement. Under ORS 238A.210 monthly benefits are adjusted annually
through cost-of-living changes. Under current law, the cap on the COLA in fiscal year 2015 and beyond
will vary based on 1.25% on the first $60,000 of annual benefit and 0.15% on annual benefits above
$60,000.
OPSRP Individual Account Program (IAP)
Pension Benefits. The IAP member becomes vested on the date the employee account is established or
on the date the rollover account was established. If the employer makes optional employer
contributions for a member, the member becomes vested on the earliest of the following dates: the
date the member completes 600 hours of service in each of five calendar years, the date the member
reaches normal retirement age, the date the IAP is terminated, the date the active member becomes
disabled, or the date the active member dies.
Upon retirement, a member of the OPSRP IAP may receive the amounts in his or her employee
account, rollover account, and vested employer account as a lump-sum payment or in equal
installments over a 5-, 10-, 15-, 20-year period or an anticipated life span option. Each distribution
option has a $200 minimum distribution limit.
Death Benefits. Upon the death of a non-retired member, the beneficiary receives in a lump sum the
member’s account balance, rollover account balance, and vested employer optional contribution
account balance. If a retired member dies before the installment payments are completed, the
beneficiary may receive the remaining installment payments or choose a lump-sum payment.
Recordkeeping. OPERS contracts with VOYA Financial to maintain IAP participant records.
Contributions. OPERS funding policy provides for monthly employer contributions at actuarially
determined rates. These contributions, expressed as a percentage of covered payroll, are intended to
accumulate sufficient assets to pay benefits when due. Employer contribution rates for the period
were based on the December 31, 2013 actuarial valuation. The rates based on a percentage of payroll,
first became effective July 1, 2015. The rates in effect for the period were 15.07% for Tier One/Tier
75
City of Tigard, Oregon
Notes to Basic Financial Statements
Two police members and 9.99% for OPSRP Pension Program Police member. The city’s total
contributions exclusive of the 6% “pick‐up” was $761,228.
Covered employees are required to contribute 6% of their salary to the Plan, but the employer is
allowed to pay any or all of the employees’ contribution in addition to the required employers’
contribution. The city has elected to contribute the 6% “pick‐up” or $383,738 of the employees’
contribution.
Pension Assets, Liabilities, Pension Expense, and Deferred Outflows of Resources and
Deferred Inflows of Resources Related to Pensions
At June 30, 2016, the city reported a liability of $4,678,602 for its proportionate share of the OPERS net
pension liability. The net pension liability was measured as of June 30, 2015, and the total pension
liability used to calculate the net pension liability was determined by an actuarial valuation as of
December 31, 2013 rolled forward to June 30, 2015. The city’s proportion of the net pension liability
was based on a projection of the city’s long‐term share of contributions to the pension plan relative to
the projected contributions of all participating employers, actuarially determined. At June 30, 2015,
the city’s proportion was 0.0812% which is an increase from its proportion of 0.0740% measured as of
June 30, 2014.
The Oregon Supreme Court (Court) ruled on April 30, 2015 that certain provisions of Senate Bill (SB)
861, signed into law in October 2013, were unconstitutional. SB 861 included provisions that limited
post‐retirement COLA on benefits accrued prior to the signing of the law. The Court ruled that benefits
could be modified prospectively, but not retrospectively. As a result, those who retired before the bills
were passed will continue to receive a COLA tied to the Consumer Price Index that normally results in a
2% increase annually. OPERS members who have accrued benefits before and after the effective dates
of the 2013 legislation will have a blended COLA rate when they retire.
Annual Pension Cost
For the year ended June 30, 2016, the city recognized pension expense of $3,845,531. At June 30,
2016, the city reported deferred outflows or resources and deferred inflows of resources related to
pensions from the following sources:
Description
Deferred
Outflows of
Resources
Deferred
Inflows of
Resources
Net difference between projected and actual earnings on
pension plan investment $ 252,294 $ ‐
Net difference between projected and actual earnings
on investments ‐ 980,741
Changes in proportion and differences between city
contributions and proportionate share of contributions 128,184 ‐
Differences between city contributions and proportionate
Share of system contributions 28,691 96,851
City contributions subsequent to the measurement date 761,228 ‐
Total $ 1,170,397 $ 1,077,592
76
City of Tigard, Oregon
Notes to Basic Financial Statements
Deferred outflows of resources related to pensions of $761,228 resulting from the city’s contributions
subsequent to the measurement date will be recognized as either a reduction of the net pension
liability or an increase in the net pension liability in the year ended June 30, 2017. Other amounts
reported as deferred inflows of resources related to pensions will be recognized in pension expense as
follows:
Year ending
June 30
Deferred
Inflows and
Outflows of
Resources
2017 $ (395,513)
2018 (395,513)
2019 (395,513)
2020 492,336
2021 25,781
Total $ (668,422)
Actuarial Methods and Assumptions
The total pension liability in the December 31, 2013 actuarial valuation was determined using the
following actuarial methods and assumptions:
Valuation Date December 31, 2013 rolled forward to June 30, 2015
Experience Study Report 2014, published September 23, 2015
Actuarial Cost Method Entry Age Normal
Amortization Method
Amortized as a level percentage of payroll as layered amortization
bases over a closed period; Tier One/Tier Two UAL is amortized over
20 years and OPSRP pension UAL is amortized over 16 years
Asset Valuation Method Market value of assets
Actuarial Assumptions:
Inflation Rate 2.75%
Investment Rate of Return 7.75%
Projected Salary Increases
3.75% overall payroll growth; salaries for individuals are assumed to
grow at 3.75% plus assumed rates of merit/longevity increases based
on service
Mortality
Healthy retirees and beneficiaries:
RP‐2000 Sex‐distinct, generational per Scale AA, with collar
adjustments and set‐backs as described in the valuation.
Active members:
Mortality rates are a percentage of healthy retiree rates that vary
by group, as described in the valuation.
Disabled retirees:
Mortality rates are a percentage (65% for males, 90% for females)
of the RP‐2000 static combined disabled mortality sex‐distinct table.
77
City of Tigard, Oregon
Notes to Basic Financial Statements
Actuarial valuations of an ongoing plan involve estimates of the value of projected benefits and
assumptions about the probability of events far into the future. Actuarially determined amounts are
subject to continual revision as actual results are compared to past expectations and new estimates are
made about the future. Experience studies are performed as of December 31 of even numbered years.
The methods and assumptions shown above are based on the 2014 experience study which reviewed
experience for the four-year period ending on December 31, 2014.
Long-Term Expected Rate of Return
To develop an analytical basis for the selection of the long-term expected rate of return assumption, in
July 2013 the OPERS Board reviewed long-term assumptions developed by both Milliman’s capital
market assumptions team and the Oregon Investment Council’s (OIC) investment advisors. The table
below shows Milliman’s assumptions for each of the asset classes in which the plan was invested at
that time based on the OIC long-term target asset allocation. The OIC’s description of each asset class
was used to map the target allocation to the asset classes shown below. Each asset class assumption
was based on a consistent set of underlying assumptions, and includes adjustment for the inflation
assumption. These assumptions are not based on historical returns, but instead are based on a
forward-looking capital market economic model.
Asset Class
Target
Allocation
Compound
Annual Return
(Geometric)
Core Fixed Income 7.20% 4.50%
Short-Term Bonds 8.00 3.70
Intermediate-Term Bonds 3.00 4.10
High Yield Bonds 1.80 6.66
Large Cap US Equities 11.65 7.20
Mid Cap US Equities 3.88 7.30
Small Cap US Equities 2.27 7.45
Developed Foreign Equities 14.21 6.90
Emerging Foreign Equities 5.49 7.40
Private Equity 20.00 8.26
Opportunity Funds/Absolute Return 5.00 6.01
Real Estate (Property) 13.75 6.51
Real Estate (REITS) 2.50 6.76
Commodities 1.25 6.07
Assumed Inflation – Mean 2.75
Discount Rate
The discount rate used to measure the total pension liability was 7.75% for the Defined Benefit Pension
Plan. The projection of cash flows used to determine the discount rate assumed that contributions
from plan members and those contributing employers are made at the contractually required rates, as
actuarially determined. Based on those assumptions, the pension plan’s fiduciary net position was
78
City of Tigard, Oregon
Notes to Basic Financial Statements
projected to be available to make all projected future benefit payments of current plan members.
Therefore, the long-term expected rate of return on pension plan investments for the Defined Benefit
Pension Plan was applied to all periods of projected benefit payments to determine the total pension
liability.
Sensitivity of the City’s proportionate share of net pension liability (asset) to changes in the discount
rate
The following presents the city’s proportionate share of the net pension liability (asset) calculated using
the discount rate of 7.75%, as well as what the city’s proportionate share of the net pension liability
(asset) would be if it were calculated using a discount rate that is 1-percentage-point lower (6.75%) or
1-percentage-point higher (8.75%) than the current rate:
1% Decrease
(6.75%)
Current
Discount Rate
(7.75%)
1% Increase
(8.75%)
City's proportionate share of the
net pension liability (asset) $11,291,632
$4,678,602
$(894,445)
Pension Plan Fiduciary Net Position
Detailed information about the pension plan’s fiduciary net position is available in the separately issued
OPERS financial report at https:www.oregon.gov/pers/Pages/section/financial_reports/financials.aspx.
11. Retirement Plans – Defined Contribution Plan
The city contributes to a retirement plan on behalf of all eligible employees. Contributions are to
International City Managers Association Retirement Corp. (ICMARC), a defined contribution single
employer retirement plan (The Plan) for those employees not eligible for the defined benefit plan
(OPERS). The Plan is a defined contribution plan created in accordance with Internal Revenue Code
Section 401(a). Employees become eligible to participate in the plans after six months of service and
vest immediately. Employees may withdraw funds upon retirement or termination of employment.
Employees enrolled in The Plan at June 30, 2016:
Classification of eligible employees Enrollment
Represented (SEIU) employees 93
Management employees 80
Police (non-sworn) employees 11
Total enrolled employees 184
Contributions to The Plan range from 10 to 11 percent of gross salary depending on the employment
group for all eligible employees participating in the plans.
The city is required to make contributions to these plans under authority of City Council resolution and
the plan documents. Employees may also make contributions to these plans. Required and actual
contributions to the plan were $1,355,676 for the year ended June 30, 2016.
79
City of Tigard, Oregon
Notes to Basic Financial Statements
Contributions to the plans are made to a fiduciary. All assets and income of the Plan are held in trust
for the exclusive benefit of the participants and their beneficiaries. Since the plans are administered by
the city, the assets, equity and operations of the plans are accounted for in the General Employees
Pension Plan Fund, a pension trust fund. The plans invest in various money market and equity mutual
funds. At June 30, 2016, the total net position of the pension plan was $23,968,395, which
approximates fair value.
Deferred Compensation Plans
The city offers employees a voluntary deferred compensation plan created in accordance with Internal
Revenue Code Section 457 and administered by the city. The Plan is a defined contribution plan.
Amendments to the plan require City Council approval. The Plan is available to any individual who is an
elected official of the city or who is employed by the city after completing 30 days of service.
Participation in the plan is voluntary. Contributions to fiduciaries that hold the funds in trust for the
plans’ participants are made through salary withholdings from participating employees up to the
amounts specified in the code. No contributions are required by the city.
Amounts deferred are not available to employees until termination, retirement, death, or
unforeseeable emergency. All assets and income of the plan are held in trust for the exclusive benefit
of the participants and their beneficiaries. The amounts accumulated under the 457 plan including
investments earnings are excluded from the financial statements of the city.
12. Related Party Transactions
The city, a developer, and the city’s urban renewal agency, city center development agency (CCDA),
entered into a Development and Disposition Agreement. Under the terms of this agreement, CCDA
agreed to pay the city a portion of the developer’s system development charges equal to the
appraised value of the property sold by CCDA to the developer. The property was sold for
$1,650,000 to the developer in September of 2015. In December of 2015, CCDA paid to the city
$1,650,000 in system development charges which were recognized as revenues in the city’s
respective system development funds and as a community development program expense in the
CCDA capital project fund, Urban Renewal Capital Improvement fund.
13. Transactions with Clean Water Services of Washington County
The city collects charges for treatment of city sewage and stormwater on behalf of the Clean Water
Services of Washington County and remits all collections to Clean Water Services, except for 16.43% of
sewer service charges collected, 3.98% of sewer connection charges collected and 75% of stormwater
service charges collected, in accordance with an agreement between the city and Clean Water Services.
During fiscal year 2016 the city paid $12,245,390 to Clean Water Services under this agreement.
The net amount retained by the city is reported as revenue in the enterprise funds in the proprietary
funds Statement of Revenues, Expenses and Changes in Fund Net Position. Revenues are reported net
because the city acts in a fiduciary capacity on behalf of Clean Water Services.
80
City of Tigard, Oregon
Notes to Basic Financial Statements
14. Risk Management
The city is exposed to various risks of loss related to torts; employment liability; theft of, damage to,
and destruction of assets; errors and omissions; injuries to employees and others; and natural
disasters. The city is insured through a member trust consisting of cities and counties in Oregon and
purchases public entity insurance through the trust to deal with these risks with nominal deductibles.
Settled claims resulting from these risks have not exceeded public entity insurance coverage in any of
the past three fiscal years and there has not been any material change to insurance coverages from the
previous year.
15. Commitments
The city has entered into an intergovernmental agreement (IGA) with the City of Lake Oswego for the
Lake Oswego/Tigard Water Partnership. The Water Partnership will create a reliable water system to
deliver high‐quality drinking water to the City of Tigard and the City of Lake Oswego. The new water
system replaces aging, vulnerable, at‐capacity infrastructure with a cutting‐edge system designed to
the highest seismic resiliency standards. The city’s share of the project is estimated at approximately
$132 million. As stated in Note 6, the city issued $97.7 million in revenue bonds during fiscal year 2012
to partially fund the project. The city issued an additional $30.8 million in revenue bonds in fiscal year
2015 for the continuing water infrastructure needs. This is a multi‐year project with most of the work
completed in fiscal year 2016. In June of 2016, the city switched over to the new water source and
treatment plant. As of June 30, 2016, the city had approximately $5,800,000 outstanding for
construction costs on the intergovernmental agreement with Lake Oswego. This amount is expected to
be paid in fiscal year 2017 with unspent bond proceeds.
The City of Tigard has entered into one contract for pavement rehabilitation for total of $1,341,591.
This contract will be completed during the first half of fiscal year 2017. The city’s street maintenance
fee is the resource for the pavement rehabilitation project.
In addition the city has entered into a contract of sale with a private property owner to purchase
approximately 28 acres of undeveloped land. The total consideration for property transaction is
$1,400,000. The property will be acquired using a combination of Park Bonds resources and system
development charges for parks. Interest on the outstanding balance accrues at 2% per annum. The
property owner resides on the property until the last payment under the contract of sale is made, at
which time title to the property will pass to the city. Therefore the city has not recorded an asset or
debt related to this transaction. As of June 30, 2016 the city has paid $650,000 under the contract
with the following remaining payment terms:
Year ending
June 30
Payment
Amount Due
2017 $ 150,000
2018 600,000
Total $ 750,000
81
City of Tigard, Oregon
Notes to Basic Financial Statements
16. Contingent Liabilities
The city is a defendant in various lawsuits. Most of these lawsuits are covered by the city’s
insurance policies. Although the outcome of these lawsuits is not presently determinable, it is the
opinion of management that resolution of these matters will not have a material adverse effect on
the financial condition of the city.
Claims not covered by the city’s insurer are recognized when it appears probable that the loss has
been incurred and the amount can be reasonably estimated.
17. Subsequent Events
In September 2016 the city was notified of a $2,080,000 grant from the US Department of Commerce
Economic Development Administration grant. This Federal grant will be used as matching funds to help
the city with a public infrastructure project intended to construct a road to provide public access to an
undeveloped and underused industrial area. The city’s name for the commercial and industrial area is
the Hunziker Industrial Core.
In November 2016 City of Tigard voters approved a ballot measure allowing the city to impose a
marijuana tax of 3% on the sale of marijuana items by a licensed retailer in the city. The tax would be
paid by customers purchasing marijuana items from licensed retailers, which would be collected and
distributed to the city quarterly. The revenues generated from the tax would be added to the city’s
general fund to be expended through the annual budget review and approval process.
In November 2016 City of Tigard voters approved a ballot measure allowing the city to become an
active partner in the on-going process to extend light rail service to Tigard. The committee planning
the transportation project includes all jurisdictions in the Southwest Corridor: Tigard, Tualatin,
Portland, Durham, King City, Sherwood, Beaverton and Washington County as well as TriMet, ODOT
and Metro. The Southwest Corridor Plan would connect downtown Portland, southwest Portland, the
Tigard Triangle, downtown Tigard and Bridgeport Village in Tualatin with an estimated completion date
of 2025. Estimated costs for the entire project are between $2.4-2.8 billion and will only be built if
federal grants and regional funding are secured. The measure is not an authorization to use city funds
for the project and no new fees or taxes have been imposed. The measure does allow amendments to
land use regulations for future light rail route selection.
82
Required Supplementary
Information
Variance
Actual with final
Original Final Amounts budget
REVENUES
Taxes 14,330,765$ 14,330,765$ 14,300,168$ (30,597)$
Licenses and permits 1,352,420 2,244,760 3,114,265 869,505
Intergovernmental revenues 5,422,785 5,591,144 6,319,350 728,206
Charges for services 3,038,015 3,041,848 2,289,321 (752,527)
Fines and forfeitures 873,006 873,006 761,781 (111,225)
Franchise fees 5,909,165 5,909,165 5,732,448 (176,717)
Interest earnings 103,722 103,722 292,387 188,665
Miscellaneous revenues 56,432 76,912 92,734 15,822
Total revenues 31,086,310 32,171,322 32,902,454 731,132
EXPENDITURES
Community services 22,231,014 22,429,011 20,743,054 1,685,957
Public works 4,118,322 4,367,862 3,785,911 581,951
Community development 4,037,179 4,079,429 3,450,608 628,821
Policy and administration 899,502 906,662 831,876 74,786
Total expenditures 31,286,017 31,782,964 28,811,449 2,971,515
Change in fund balance before
other financing sources (uses)(199,707) 388,358 4,091,005 3,702,647
OTHER FINANCING SOURCES (USES)
Transfer in ‐ 65,750 ‐ (65,750)
Repayment of interfund loan ‐ ‐ 14,348 14,348
Transfers out (3,434,936) (3,543,211) (3,114,060) 429,151
Total other financing (uses)(3,434,936) (3,477,461) (3,099,712) 377,749
Contingency (1,120,000) (940,593) ‐ 940,593
Reserve for future expenditures (5,954,950) (6,751,790) ‐ 6,751,790
Change in fund balance (10,709,593) (10,781,486) 991,293 11,772,779
Fund balance ‐ beginning of the year 10,709,593 10,781,486 11,988,448 1,206,962
Fund balance ‐ end of the year ‐$ ‐$ 12,979,741 12,979,741$
Interfund loans are treated as reimbursements on a budgetary
basis and as receivables on a GAAP basis 655,183
Fund balance ‐ GAAP basis 13,634,924$
CITY OF TIGARD, OREGON
GENERAL FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
83
Variance
Actual with final
Original Final Amounts budget
REVENUES
State gas tax 2,880,519$ 2,880,519$ 2,911,763$ 31,244$
County gas tax 189,598 189,598 183,855 (5,743)
Licenses and permits 5,872 5,872 29,722 23,850
Interest earnings 55,732 55,732 152,759 97,027
Grant revenues ‐ 30,000 ‐ (30,000)
Miscellaneous revenues 62,818 62,818 78,217 15,399
Total revenues 3,194,539 3,224,539 3,356,316 131,777
EXPENDITURES
Public works 2,166,046 2,202,321 1,822,997 379,324
Debt service:
Principal 481,425 481,425 481,425 ‐
Interest 111,000 111,000 111,000 ‐
Total expenditures 2,758,471 2,794,746 2,415,422 379,324
Change in fund balance before
other financing sources (uses)436,068 429,793 940,894 511,101
OTHER FINANCING SOURCES (USES)
Transfers in 100,000 136,275 115,987 (20,288)
Transfers out (229,389) (612,639) (272,214) 340,425
Total other financing (uses)(129,389) (476,364) (156,227) 320,137
Contingency (200,000) (170,000) ‐ 170,000
Reserve for future expenditures (811,551) (811,551) ‐ 811,551
Change in fund balance (704,872) (1,028,122) 784,667 1,812,789
Fund balance ‐ Beginning of the year 704,872 1,028,122 1,565,112 536,990
Fund balance ‐End of the year ‐$ ‐$ 2,349,779$ 2,349,779$
CITY OF TIGARD, OREGON
for the year ended June 30, 2016
Budgeted Amounts
GAS TAX FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
84
General
Fund
Net change in fund balance ‐ budget basis 991,293$
Budgeted expenditures not qualifying as expenditures or other financing sources under GAAP:
Interfund loans are treated as transfers on a budgetary basis. Such expenditures are
reclassified as receivables on a GAAP basis.
Repayment on internal loans (14,348)
976,945$
CITY OF TIGARD, OREGON
NOTES TO REQUIRED SUPPLEMENTARY INFORMATION
BUDGET TO GAAP RECONCILIATION
for the year ended June 30, 2016
Net change in fund balance ‐ GAAP basis
Sections of Oregon Revised Statutes (Oregon Budget Law) require most transactions be budgeted on the modified accrual basis
of accounting. However, there are certain transactions where statutory budget requirements conflict with generally accepted
accounting principles (GAAP).
The following discusses the differences between the budget basis and GAAP basis of accounting for the General Fund:
85
CITY OF TIGARD, OREGON
SCHEDULE OF THE CITY’S PROPORTIONATE SHARE OF THE NET PENSION LIABILITY (ASSET) –
Oregon Public Employees Retirement System
Last Three Fiscal Years
Year Ended
June 30,
(a)
City’s proportion
of the net
pension liability
(asset)
(b)
City’s
proportionate
share of the net
pension liability
(asset)
(c)
City’s covered
payroll
(b/c)
City’s propionate
share of the net
pension liability
(asset) as a
percentage of its
covered payroll
Plan fiduciary net
position as a
percentage of the
total pension
liability
2016 0.08148800% $ 4,678,602 $ 6,610,002 70.78% 91.88%
2015 0.07402207% $(1,677,869) $ 6,187,208 ‐27.12% 103.59%
2014 0.07402207% $ 3,777,455 $ 6,025,900 62.69% 91.97%
Certain amounts presented for each fiscal year were actuarially determined at December 31 and rolled
forward to the measurement date.
This schedule is presented to illustrate the requirements to show information for 10 years. However, until
a full 10‐year trend has been compiled, information is presented only for the years for which the required
supplementary information is available.
NOTES TO SCHEDULE
Changes in Benefit Terms
Senate Bill 822 was enacted during the 2013 Oregon regular legislative session to lower the cap on
the cost‐of‐living adjustment (COLA) from 2 percent to 1.5 percent for 2013, and eliminated the tax
remedy benefit for recipients who do not pay Oregon state income taxes because they do not
reside in Oregon. Senate Bill 861 was enacted during the 2013 Oregon special legislative session,
further lowering the post‐retirement COLA for years beyond 2013 to 1.25% on the first $60,000 of
annual benefit and 0.15% on annual benefits above $60,000. The combined impact of these Senate
Bills are reflected in the June 30, 2014 total pension liability, resulting in a net pension asset
reported by the City for fiscal year 2015.
The Oregon Supreme Court (Court) ruled in Moro v. State of Oregon on April 30, 2015 that certain
provisions of Senate Bill 822 and Senate Bill 861 were unconstitutional. The Court ruled that
benefits could be modified prospectively, but not retrospectively. As a result, those who retired
before the bills were passed will continue to receive a COLA tied to the Consumer Price Index that
normally results in a 2% increase annually. OPERS members who have accrued benefits before and
after the effective dates of the 2013 legislation will have a blended COLA rate when they retire.
The impact of the Court’s decision is reflected in the June 30, 2015 total pension liability, which
contributes to the net pension liability reported by the City for fiscal year 2016.
86
CITY OF TIGARD, OREGON
SCHEDULE OF PLAN CONTRIBUTIONS –
Oregon Public Employees Retirement System
Last Three Fiscal Years
Year Ended June
30,
(a)
Statutorily
required
contribution
(b)
Contributions in
relation to the
statutorily
required
contribution
(a‐b)
Contribution
deficiency
(excess)
(c)
City’s covered
payroll
(b/c) Contributions
as a percent of
covered payroll
2016 $761,228 $761,228 $ ‐ $ 6,610,002 11.52%
2015 $782,812 $782,812 $ ‐ $ 6,187,208 12.65%
2014 $722,108 $722,108 $ ‐ $ 6,025,900 11.98%
The required contribution amount presented for each fiscal year were actuarial determined at December
31 and rolled forward to the measurement date.
This schedule is presented to illustrate the requirements to show information for 10 years. However, until
a full 10‐year trend has been compiled, information is presented only for the years for which the required
supplementary information is available.
NOTES TO SCHEDULE
Actuarial Assumptions and Methods Used to Actuarially Determine Contributions:
Actuarial Valuation December 31, 2013 December 31, 2011
Effective July 2015 ‐ June 2017 July 2013 ‐ June 2015
Actuarial cost method: Entry Age Normal Projected Unit Credit
Actuarial valuation method: Market Value Market Value
Actuarial assumption: Inflation rate 2.75 percent 2.75 percent
Projected salary increases 3.75 percent 3.75 percent
Investment rate of return 7.75 percent 8.00 percent
87
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Other Supplementary
Information
Special Debt Service Capital Project
Revenue Funds Funds Funds Total
ASSETS
Cash and cash equivalents 609,578$ ‐$ 2,703,181$ 3,312,759$
Investments 33,640 ‐ 462,174 495,814
Accounts receivable 247,022 ‐ 273,030 520,052
Property taxes receivable ‐ 124,730 ‐ 124,730
Assessment liens receivable ‐ 422,075 3,413 425,488
Restricted cash and cash equivalents 5,404,806 1,435,568 10,472,150 17,312,524
Restricted investments 829,694 ‐ 1,072,513 1,902,207
Total assets 7,124,740$ 1,982,373$ 14,986,461$ 24,093,574$
LIABILITIES
Accounts payable and accrued liabilities 561,198$ ‐$ 1,543,752$ 2,104,950$
Deposits 452,410 ‐ 1,400 453,810
Due to others 35,910 ‐ ‐ 35,910
Advances from other funds ‐ ‐ 757,678 757,678
Unearned revenue 59,660 ‐ ‐ 59,660
Total liabilities 1,109,178 ‐ 2,302,830 3,412,008
DEFERRED INFLOWS OF RESOURCES
Resources not yet available:
Property taxes ‐ 114,243 ‐ 114,243
Special assessment liens ‐ 422,075 3,413 425,488
Total deferred inflows of resources ‐ 536,318 3,413 539,731
FUND BALANCES
Restricted for:
Street maintenance and improvements ‐ ‐ 4,667,564 4,667,564
Debt service ‐ 1,446,055 ‐ 1,446,055
Park development and improvements ‐ ‐ 5,443,698 5,443,698
Underground utilities ‐ ‐ 450,921 450,921
Building inspection 3,030,649 ‐ ‐ 3,030,649
Police services 385,375 ‐ ‐ 385,375
Library improvements 476,893 ‐ ‐ 476,893
Committed for:
Street maintenance and improvements 354,950 ‐ 1,605,746 1,960,696
Urban forestry 1,299,540 ‐ ‐ 1,299,540
Assigned to:
City facilities ‐ ‐ 1,129,618 1,129,618
Park and recreation 468,155 ‐ ‐ 468,155
Unassigned ‐ ‐ (617,329) (617,329)
Total fund balances 6,015,562 1,446,055 12,680,218 20,141,835
Total liabilities, deferred inflows of
resources and fund balances 7,124,740$ 1,982,373$ 14,986,461$ 24,093,574$
CITY OF TIGARD, OREGON
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
June 30, 2016
88
Special Debt Service Capital Project
Revenue Funds Funds Funds Total
REVENUES
Taxes 712,408$ 2,796,141$ ‐$ 3,508,549$
Special assessments ‐ 65,243 ‐ 65,243
Licenses and permits 2,607,485 ‐ ‐ 2,607,485
Intergovernmental revenues 40,132 ‐ 325,185 365,317
Charges for services 268,515 ‐ 8,416,564 8,685,079
Fines and forfeitures 210,779 ‐ ‐ 210,779
Interest earnings 56,564 45,456 106,713 208,733
Miscellaneous revenues 48,207 ‐ 1,736 49,943
Total revenues 3,944,090 2,906,840 8,850,198 15,701,128
EXPENDITURES
Community services 41,132 ‐ ‐ 41,132
Public works 1,997,220 ‐ ‐ 1,997,220
Community development 1,881,295 ‐ 1,650,000 3,531,295
Debt service:
Principal 253,575 1,626,892 ‐ 1,880,467
Interest 58,433 890,300 ‐ 948,733
Capital outlay ‐ ‐ 6,200,291 6,200,291
Total expenditures 4,231,655 2,517,192 7,850,291 14,599,138
Changes in fund balance before
other financing sources (uses)(287,565) 389,648 999,907 1,101,990
OTHER FINANCING SOURCES (USES)
Proceeds from sale of capital assets ‐ ‐ 1,650,000 1,650,000
Transfers in 2,380,000 ‐ 3,832,831 6,212,831
Transfers out (403,240) (190,799) (2,122,126) (2,716,165)
Resources provided by other funds ‐ ‐ 49,500 49,500
Total other financing sources (uses) 1,976,760 (190,799) 3,410,205 5,196,166
Changes in fund balance 1,689,195 198,849 4,410,112 6,298,156
Fund Balance ‐ Beginning of the year 4,326,367 1,247,206 8,270,106 13,843,679
Fund Balance ‐ End of the year 6,015,562$ 1,446,055$ 12,680,218$ 20,141,835$
CITY OF TIGARD, OREGON
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
for the year ended June 30, 2016
89
Special Revenue Funds
The balance sheet and statement of revenues, expenditures and changes in fund balance of the
non-major special revenue funds are reported in the combining governmental fund statements.
Fund statements for the major special revenue funds are reported in the basic financial
statements.
Schedules of revenues, expenditures and changes in fund balance — budget and actual — are
also presented here for each special revenue fund.
Major Special Revenue Fund:
Gas Tax Fund – This fund records shared revenues from the State of Oregon and Washington
County taxes on sale of motor vehicle fuel. The city uses these revenues to fund various
construction, reconstruction, improvements, repairs, maintenance and operation of public
highways, roads and streets.
Non-major Special Revenue Funds:
City Gas Tax Fund – This fund accounts for revenues generated from Tigard’s local gas tax and
funds projects for transportation improvements.
Electrical Inspection Fund – This fund accounts for fees charged for permits, plan check fees
and inspection of electrical improvements.
Building Fund – This fund accounts for fees charged for building inspection and plan review
activities.
Criminal Forfeiture Fund – This fund accounts for funds and property seized from criminals.
Urban Forestry Fund – This fund accounts for funds collected from developers in lieu of
preserving trees, which the city can use to plant trees in public right-of-way and other public
properties.
Parks Utility Fund – This fund accounts for fees charged for the maintenance and operation of
city parks, trails, and green spaces.
Library Fund – This fund accounts for the amounts received from several donations and
bequests for various special projects and artwork.
City Gas Electrical Criminal
Tax Inspection Building Forfeiture
Fund Fund Fund Fund
ASSETS
Cash and cash equivalents 185,620$ ‐$ ‐$ ‐$
Investments 33,640 ‐ ‐ ‐
Accounts receivable 135,690 1,300 612 ‐
Restricted cash and equivalents ‐ 251,879 2,849,071 410,388
Restricted investments ‐ 42,140 444,401 ‐
Total assets 354,950$ 295,319$ 3,294,084$ 410,388$
LIABILITIES
Accounts payable ‐$ 544$ 497,233$ ‐$
Due to others ‐ 603 8,981 25,013
Deposits ‐ 24,702 26,691 ‐
Unearned revenue ‐ ‐ ‐ ‐
Total liabilities ‐ 25,849 532,905 25,013
FUND BALANCE
Restricted for:
Building inspection ‐ 269,470 2,761,179 ‐
Police services ‐ ‐ ‐ 385,375
Library improvements ‐ ‐ ‐ ‐
Committed for:
Street maintenance and improvements 354,950 ‐ ‐ ‐
Urban forestry ‐ ‐ ‐ ‐
Assigned for:
Park and recreation ‐ ‐ ‐ ‐
Total fund balances 354,950 269,470 2,761,179 385,375
Total liabilities and fund
balances 354,950$ 295,319$ 3,294,084$ 410,388$
CITY OF TIGARD, OREGON
NONMAJOR SPECIAL REVENUE FUNDS
COMBINING BALANCE SHEET
June 30, 2016
90
Urban Parks
Forestry Utility Library
Fund Fund Fund Total
‐$ 423,958$ ‐$ 609,578$
‐ ‐ ‐ 33,640
409 108,931 80 247,022
1,439,303 ‐ 454,165 5,404,806
260,845 ‐ 82,308 829,694
1,700,557$ 532,889$ 536,553$ 7,124,740$
‐$ 63,421$ ‐$ 561,198$
‐ 1,313 ‐ 35,910
401,017 ‐ ‐ 452,410
‐ ‐ 59,660 59,660
401,017 64,734 59,660 1,109,178
‐ ‐ ‐ 3,030,649
‐ ‐ ‐ 385,375
‐ ‐ 476,893 476,893
‐ ‐ ‐ 354,950
1,299,540 ‐ ‐ 1,299,540
‐ 468,155 ‐ 468,155
1,299,540 468,155 476,893 6,015,562
1,700,557$ 532,889$ 536,553$ 7,124,740$
91
City Gas Electrical Criminal
Tax Inspection Building Forfeiture
Fund Fund Fund Fund
REVENUES
City gas tax 712,408$ ‐$ ‐$ ‐$
Licenses and permits ‐ 287,641 2,319,844 ‐
Charges for services ‐ ‐ ‐ ‐
Intergovernmental revenues ‐ ‐ 40,132 ‐
Fines and forfeitures ‐ ‐ ‐ 210,779
Tree replacement revenue ‐ ‐ ‐ ‐
Interest earnings 31,116 421 16,040 13
Miscellaneous revenues 30,337 ‐ 17,585 ‐
Total revenues 773,861 288,062 2,393,601 210,792
EXPENDITURES
Community services ‐ ‐ ‐ 41,132
Public works ‐ ‐ ‐ ‐
Community development ‐ ‐ 1,876,999 ‐
Debt service:
Principal 253,575 ‐ ‐ ‐
Interest 58,433 ‐ ‐ ‐
Total expenditures 312,008 ‐ 1,876,999 41,132
Changes in fund balance
before other financing
sources (uses)461,853 288,062 516,602 169,660
OTHER FINANCING SOURCES (USES)
Transfers in ‐ ‐ 180,000 ‐
Transfers out (145,359) (181,993) ‐ (560)
Total other financing
sources (uses)(145,359) (181,993) 180,000 (560)
Changes in fund balance 316,494 106,069 696,602 169,100
Fund balance ‐ Beginning of the year 38,456 163,401 2,064,577 216,275
Fund balance ‐ End of the year 354,950$ 269,470$ 2,761,179$ 385,375$
CITY OF TIGARD, OREGON
NONMAJOR SPECIAL REVENUE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
for the year ended June 30, 2016
92
Urban Parks
Forestry Utility Library
Fund Fund Fund Total
‐$ ‐$ ‐$ 712,408$
‐ ‐ ‐ 2,607,485
‐ 265,090 ‐ 265,090
‐ ‐ ‐ 40,132
‐ ‐ ‐ 210,779
3,425 ‐ ‐ 3,425
6,729 ‐ 2,245 56,564
‐ 285 ‐ 48,207
10,154 265,375 2,245 3,944,090
‐ ‐ ‐ 41,132
‐ 1,997,220 ‐ 1,997,220
4,296 ‐ ‐ 1,881,295
‐ ‐ ‐ 253,575
‐ ‐ ‐ 58,433
4,296 1,997,220 ‐ 4,231,655
5,858 (1,731,845) 2,245 (287,565)
‐ 2,200,000 ‐ 2,380,000
(75,328) ‐ ‐ (403,240)
(75,328) 2,200,000 ‐ 1,976,760
(69,470) 468,155 2,245 1,689,195
1,369,010 ‐ 474,648 4,326,367
1,299,540$ 468,155$ 476,893$ 6,015,562$
93
Variance
Actual with final
Original Final Amounts budget
REVENUES
City gas tax 612,771$ 612,771$ 712,408$ 99,637$
State grants 31 31 ‐ (31)
Interest earnings 34,584 34,584 31,116 (3,468)
Miscellaneous revenues 32,052 32,052 30,337 (1,715)
Total revenues 679,438 679,438 773,861 94,423
EXPENDITURES
Debt service:
Principal 257,250 257,250 253,575 3,675
Interest 59,310 59,310 58,433 877
Total expenditures 316,560 316,560 312,008 4,552
Changes in fund balance before
other financing sources (uses) 362,878 362,878 461,853 98,975
OTHER FINANCING SOURCES (USES)
Transfers out (3,208) (203,208) (145,359) 57,849
Contingency (300,000) (100,000) ‐ 100,000
Reserve for future expenditures (186,149) (186,149) ‐ 186,149
Total other financing sources (uses)(489,357) (489,357) (145,359) 343,998
Change in fund balance (126,479) (126,479) 316,494 442,973
Fund balance ‐ Beginning of the year 126,479 126,479 38,456 (88,023)
Fund balance ‐ End of the year ‐$ ‐$ 354,950$ 354,950$
CITY OF TIGARD, OREGON
CITY GAS TAX FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
94
Variance
Actual with final
Original Final Amounts budget
REVENUES
Licenses and permits 186,779$ 186,779$ 287,641$ 100,862$
Interest earnings 1,207 1,207 421 (786)
Total revenues 187,986 187,986 288,062 100,076
OTHER FINANCING (USES)
Transfers out (181,993) (181,993) (181,993) ‐
Contingency (50,000) (50,000) ‐ 50,000
Reserve for future expenditures (79,222) (79,222) ‐ 79,222
Total other financing (uses)(311,215) (311,215) (181,993) 129,222
Change in fund balance (123,229) (123,229) 106,069 229,298
Fund balance ‐ Beginning of the year 123,229 123,229 163,401 40,172
Fund balance ‐ End of the year ‐$ ‐$ 269,470$ 269,470$
CITY OF TIGARD, OREGON
ELECTRICAL INSPECTION FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
95
Variance
Actual with final
Original Final Amounts budget
REVENUES
Licenses and permits 1,791,239$ 1,791,239$ 2,319,844$ 528,605$
Intergovernmental revenues 8,281 8,281 40,132 31,851
Interest earnings 19,782 19,782 16,040 (3,742)
Miscellaneous revenues 7,967 7,967 17,585 9,618
Total revenues 1,827,269 1,827,269 2,393,601 566,332
EXPENDITURES
Community development 1,949,847 1,989,847 1,876,999 112,848
Change in fund balance before
other financing sources (uses)(122,578) (162,578) 516,602 679,180
OTHER FINANCING SOURCES (USES)
Transfers in 180,000 180,000 180,000 ‐
Contingency (250,000) (210,000) ‐ 210,000
Reserve for future expenditures (2,021,099) (2,021,099) ‐ 2,021,099
Total other financing sources (uses) (2,091,099) (2,051,099) 180,000 2,231,099
Change in fund balance (2,213,677) (2,213,677) 696,602 2,910,279
Fund balance ‐ Beginning of the year 2,213,677 2,213,677 2,064,577 (149,100)
Fund balance ‐ End of the year ‐$ ‐$ 2,761,179$ 2,761,179$
CITY OF TIGARD, OREGON
BUILDING FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
96
Variance
Actual with final
Original Final Amounts budget
REVENUES
Interest earnings 1,892$ 1,892$ 13$ (1,879)$
Forfeitures 43,000 43,000 210,779 167,779
Total revenues 44,892 44,892 210,792 165,900
EXPENDITURES
Community services 70,000 70,000 41,132 28,868
Change in fund balance before
other financing sources (uses)(25,108) (25,108) 169,660 194,768
OTHER FINANCING SOURCES (USES)
Transfers out (560) (560) (560) ‐
Reserve for future expenditures (146,174) (146,174) ‐ 146,174
Total other financing sources (uses)(146,734) (146,734) (560) 146,174
Change in fund balance (171,842) (171,842) 169,100 340,942
Fund balance ‐ Beginning of the year 171,842 171,842 216,275 44,433
Fund balance ‐ End of the year ‐$ ‐$ 385,375$ 385,375$
CITY OF TIGARD, OREGON
CRIMINAL FORFEITURE FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
97
Variance
Actual with final
Original Final Amounts budget
REVENUES
Tree replacement revenue 32,813$ 32,813$ 3,425$ (29,388)$
Interest earnings 4,060 4,060 6,729 2,669
Total revenues 36,873 36,873 10,154 (26,719)
EXPENDITURES:
Community services ‐ ‐ 4,296 (4,296)
Change in fund balance
before other financing sources (uses)36,873 36,873 5,858 (31,015)
OTHER FINANCING SOURCES (USES)
Transfers out (251,850) (251,850) (75,328) 176,522
Contingency (50,000) (50,000) ‐ 50,000
Reserve for future expenditures (865,019) (865,019) ‐ 865,019
Total other financing sources (uses) (1,166,869) (1,166,869) (75,328) 1,091,541
Change in fund balance (1,129,996) (1,129,996) (69,470) 1,060,526
Fund balance ‐ Beginning of the year 1,129,996 1,129,996 1,369,010 239,014
Fund balance ‐ End of the year ‐$ ‐$ 1,299,540$ 1,299,540$
CITY OF TIGARD, OREGON
URBAN FORESTRY FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
98
Variance
Actual with final
Original Final Amounts budget
REVENUES
Charges for services ‐$ ‐$ 265,090$ 265,090$
Miscellaneous revenues 285 285
Total revenues ‐ ‐ 265,375 265,375
EXPENDITURES
Public works 2,203,414 2,208,639 1,997,220 211,419
Change in fund balance before
other financing sources (uses)(2,203,414) (2,208,639) (1,731,845) 476,794
OTHER FINANCING SOURCES (USES)
Transfers in 2,250,000 2,250,000 2,200,000 (50,000)
Contingency (40,000) (34,775) ‐ 34,775
Reserve for future expenditures (6,586) (6,586) ‐ 6,586
Total other financing sources (uses)2,203,414 2,208,639 2,200,000 (8,639)
Change in fund balance ‐ ‐ 468,155 468,155
Fund balance ‐ Beginning of the year ‐ ‐ ‐ ‐
Fund balance ‐ End of the year ‐$ ‐$ 468,155$ 468,155$
CITY OF TIGARD, OREGON
PARKS UTILITY FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
99
Variance
Actual with final
Original Final Amounts budget
REVENUES:
Interest earnings ‐$ ‐$ 2,245$ 2,245$
OTHER FINANCING SOURCES (USES)
Transfers out (100,000) (100,000) ‐ 100,000
Reserve for future expenditures (274,648) (274,648) ‐ 274,648
Total other financing sources (uses)(374,648) (374,648) ‐ 374,648
Change in fund balance (374,648) (374,648) 2,245 376,893
Fund balance ‐ Beginning of the year 374,648 374,648 474,648 100,000
Fund balance ‐ End of the year ‐$ ‐$ 476,893$ 476,893$
CITY OF TIGARD, OREGON
LIBRARY FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
100
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Debt Service Funds
The balance sheet and statement of revenues, expenditures and changes in fund balance of the non-
major debt service funds are reported in the combining non-major governmental fund statements.
Schedules of revenues, expenditures and changes in fund balance — budget and actual — are also
presented for each debt service fund.
Non-major Debt Service Funds:
Bancroft Bond Debt Service Fund – This fund accounts for payment of Bancroft improvement bond
principal and interest. Revenues are derived from the collection of assessments against benefitted
property and interest earnings.
General Obligation Debt Service Fund – This fund accounts for payment of general obligation bond
principal and interest. Revenues are derived from property taxes and interest earnings.
Urban Renewal Agency Debt Service Fund – This fund accounts for principal and interest payments on
debt for the Tigard Urban Renewal Agency and transfers to the Urban Renewal Agency Capital
Improvement Fund. Revenues are from property taxes and interest earnings.
Bancroft Bond General Urban Renewal
Debt Service Obligation Debt Agency Debt
Fund Service Fund Service Fund Total
ASSETS
Property taxes receivable ‐$ 107,946$ 16,784$ 124,730$
Assessment liens receivable 422,075 ‐ ‐ 422,075
Restricted cash and cash equivalents 112,269 962,451 360,848 1,435,568
Total assets 534,344$ 1,070,397$ 377,632$ 1,982,373$
DEFERRED INFLOWS OF RESOURCES
Resources not yet available:
Special assessments/liens 422,075$ ‐$ ‐$ 422,075$
Property taxes ‐ 98,818 15,425 114,243
Total deferred inflows of resources 422,075 98,818 15,425 536,318
FUND BALANCES
Restricted for debt service 112,269 971,579 362,207 1,446,055
Total deferred inflows of
resources and fund balances 534,344$ 1,070,397$ 377,632$ 1,982,373$
CITY OF TIGARD, OREGON
NONMAJOR DEBT SERVICE FUNDS
COMBINING BALANCE SHEET
June 30, 2016
101
Bancroft Bond General Urban Renewal
Debt Service Obligation Debt Agency Debt
Fund Service Fund Service Fund Total
REVENUES
Taxes ‐$ 2,426,193$ 369,948$ 2,796,141$
Collection of bonded assessments 65,243 ‐ ‐ 65,243
Interest earnings 23,800 17,346 4,310 45,456
Total revenues 89,043 2,443,539 374,258 2,906,840
EXPENDITURES
Debt service:
Principal 77,392 1,370,000 179,500 1,626,892
Interest 26,112 824,500 39,688 890,300
Total expenditures 103,504 2,194,500 219,188 2,517,192
Change in fund balance before
other financing sources (uses)(14,461) 249,039 155,070 389,648
OTHER FINANCING SOURCES (USES)
Transfers out (499) ‐ (190,300) (190,799)
Change in fund balance (14,960) 249,039 (35,230) 198,849
Fund balance ‐ Beginning of the year 127,229 722,540 397,437 1,247,206
Fund balance ‐ End of the year 112,269$ 971,579$ 362,207$ 1,446,055$
CITY OF TIGARD, OREGON
NONMAJOR DEBT SERVICE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
for the year ended June 30, 2016
102
Variance
Actual with final
Original Final Amounts budget
REVENUES
Collection of bonded assessments 120,000$ 120,000$ 65,243$ (54,757)$
Interest earnings ‐ ‐ 23,800 23,800
Total revenues 120,000 120,000 89,043 (30,957)
EXPENDITURES
Debt service:
Principal 74,700 77,400 77,392 8
Interest 28,500 28,500 26,112 2,388
Total expenditures 103,200 105,900 103,504 2,396
Change in fund balance before
other financing sources (uses)16,800 14,100 (14,461) (28,561)
OTHER FINANCING SOURCES (USES)
Transfers out (499) (499) (499) ‐
Reserve for future expenditures (580,019) (577,319) ‐ 577,319
Total other financing sources (uses)(580,518) (577,818) (499) 577,319
Change in fund balance (563,718) (563,718) (14,960) 548,758
Fund balance ‐ Beginning of the year 563,718 563,718 127,229 (436,489)
Fund balance ‐ End of the year ‐$ ‐$ 112,269$ 112,269$
CITY OF TIGARD, OREGON
BANCROFT BOND DEBT SERVICE FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
103
Variance
Actual with final
Original Final Amounts budget
REVENUES
Taxes 2,475,757$ 2,475,757$ 2,426,193$ (49,564)$
Interest earnings 4,417 4,417 17,346 12,929
Total revenues 2,480,174 2,480,174 2,443,539 (36,635)
EXPENDITURES
Debt service:
Principal 1,370,000 1,370,000 1,370,000 ‐
Interest 824,525 824,525 824,500 25
Reserve for future expenditures 1,120,697 1,120,697 ‐ 1,120,697
Total expenditures 3,315,222 3,315,222 2,194,500 1,120,722
Change in fund balance before
other financing sources (uses)(835,048) (835,048) 249,039 1,084,087
OTHER FINANCING SOURCES (USES)
Transfers out (1,893) (1,893) ‐ 1,893
Change in fund balance (836,941) (836,941) 249,039 1,085,980
Fund balance ‐ Beginning of the year 836,941 836,941 722,540 (114,401)
Fund balance ‐ End of the year ‐$ ‐$ 971,579$ 971,579$
CITY OF TIGARD, OREGON
GENERAL OBLIGATION DEBT SERVICE FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
104
Variance
Actual with final
Original Final Amounts budget
REVENUES
Property taxes 397,792$ 397,792$ 369,948$ (27,844)$
Interest earnings 1,000 1,000 4,310 3,310
Total revenues 398,792 398,792 374,258 (24,534)
EXPENDITURES
*Debt service:
Principal 179,500 179,500 179,500 ‐
Interest 39,698 39,698 39,688 10
Reserve for future expenditure 174,991 174,991 ‐ 174,991
Total expenditures 394,189 394,189 219,188 175,001
Change in fund balance before
other financing sources (uses)4,603 4,603 155,070 150,467
OTHER FINANCING SOURCES (USES)
Transfers out (175,300) (190,300) (190,300) ‐
Change in fund balance (170,697) (185,697) (35,230) 150,467
Fund balance ‐ Beginning of the year 170,697 185,697 397,437 211,740
Fund balance ‐ End of the year ‐$ ‐$ 362,207$ 362,207$
* Budget appropriation for the City's Urban Renewal Agency is made at the debt service program level.
CITY OF TIGARD, OREGON
URBAN RENEWAL AGENCY DEBT SERVICE FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
105
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Capital Project Funds
Combining statements for all individual non-major capital projects funds are reported here. The
combined totals are reported in the combining non-major governmental fund statements.
Schedules of revenues, expenditures and changes in fund balance— budget and actual — are also
presented here for each capital projects fund.
Non-major Capital Projects Funds:
Facility Fund – Accounts for major city owned facility improvements. Resources are primarily transfers
in from the General Fund.
Transportation Development Tax Fund – Accounts for traffic impact fees collected on roads within the
city’s urban service areas. This fund replaced theTraffic Impact Fee Fund starting July 1, 2009. Funds will
be used for highways and transit capital improvements in the city’s Capital Improvement Plan.
Transportation System Development Charges (SDC) Fund – this fund was established to track the
revenues and expenditures associated with the collection of transportation system development
charges. The fee is collected on the issue of building permits for any new residential multi-family, or
commercial construction to assist with infrastructure capacity needs.
Underground Utility Fund – Accounts for resources received from developers for future underground
utility improvements.
Street Maintenance Fee Fund – Accounts for revenues and expenditures for the Street Maintenance
Fee. This fee provides revenue designated for use in the maintenance of existing city streets.
Parks Capital Fund – Accounts for revenues earmarked for improvements to park and recreational
facilities within the city. Resources are primarily transfers in of system development charges and other
funds and grants and donations. Expenditures consist of various park, trail development and open space
acquisition projects.
Parks Bond Fund – Accounts for the voter approved a $17 million parks bond debt issued for purchase
of land and green spaces to develop city parks.
Parks System Development Charges (SDC) Fund – Accounts for revenues associated with the collection
of Parks System Development Charges. Resources are used to fund the acquisition, development and
expansion of additional recreation spaces and facilities that are included in the city’s Park Master Plan.
Transportation Capital Improvement Project Fund– Accounts for capital improvement projects funded
with transportation revenues; including Gas Tax, Traffic Impact Fees and Transportation Development
Tax.
Urban Renewal Agency Capital Improvement Fund – This fund was established in FY 2007–08 for the
creation of a new urban renewal agency to improve downtown Tigard. Expenses are for capital
improvements within the urban renewal plan. Resources are from financing proceeds or transfers in
from the Urban Renewal Debt Service Fund.
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Transportation Underground Street
Facility Development Utility Maintenance
Fund Tax Fund Fund Fee Fund
ASSETS
Cash and cash equivalents 1,004,090$ ‐$ ‐$ 1,546,121$
Investments 181,971 ‐ ‐ 280,203
Accounts receivable 282 409 116 244,557
Assessments liens receivable ‐ 3,413 ‐ ‐
Restricted cash and cash equivalents ‐ 2,937,986 381,640 ‐
Restricted investments ‐ 453,912 69,165 ‐
Total assets 1,186,343$ 3,395,720$ 450,921$ 2,070,881$
LIABILITIES
Accounts payable and accrued liabilities 56,725$ ‐$ ‐$ 465,135$
Deposits ‐ ‐ ‐ ‐
Advances from other funds‐interfund loans ‐ ‐ ‐ ‐
Total liabilities 56,725 ‐ ‐ 465,135
DEFERRED INFLOWS OF RESOURCES
Special assessments/liens ‐ 3,413 ‐ ‐
FUND BALANCES (DEFICIT)
Restricted for:
Street maintenance and improvements ‐ 3,392,307 ‐ ‐
Park development and improvements ‐ ‐ ‐ ‐
Underground utilities ‐ ‐ 450,921 ‐
Committed for:
Street maintenance and improvements ‐ ‐ ‐ 1,605,746
Assigned to:
City facilities 1,129,618 ‐ ‐ ‐
Unassigned ‐ ‐ ‐ ‐
Total fund balances (deficit)1,129,618 3,392,307 450,921 1,605,746
Total liabilities, deferred inflows of
resources and fund balance 1,186,343$ 3,395,720$ 450,921$ 2,070,881$
CITY OF TIGARD, OREGON
CAPITAL PROJECTS FUNDS
COMBINING BALANCE SHEET
June 30, 2016
106
Transportation
Transportation Parks Parks Parks Capital Urban Renewal
SDC Capital Bond SDC Improvement Agency Capital
Fund Fund Fund Fund Fund Projects Fund Total
‐$ ‐$ ‐$ ‐$ ‐$ 152,970$ 2,703,181$
‐ ‐ ‐ ‐ ‐ ‐ 462,174
‐ 460 ‐ 447 26,759 ‐ 273,030
‐ ‐ ‐ ‐ ‐ ‐ 3,413
988,629 430,944 1,122,349 3,379,349 1,231,253 ‐ 10,472,150
‐ ‐ 549,436 ‐ ‐ 1,072,513
988,629$ 431,404$ 1,122,349$ 3,929,232$ 1,258,012$ 152,970$ 14,986,461$
‐$ 39,287$ ‐$ ‐$ 971,384$ 11,221$ 1,543,752$
‐ ‐ ‐ ‐ ‐ 1,400 1,400
‐ ‐ ‐ ‐ ‐ 757,678 757,678
‐ 39,287 ‐ ‐ 971,384 770,299 2,302,830
‐ ‐ ‐ ‐ ‐ ‐ 3,413
988,629 ‐ ‐ ‐ 286,628 ‐ 4,667,564
‐ 392,117 1,122,349 3,929,232 ‐ ‐ 5,443,698
‐ ‐ ‐ ‐ ‐ ‐ 450,921
‐
‐ ‐ ‐ ‐ ‐ ‐ 1,605,746
‐
‐ ‐ ‐ ‐ ‐ ‐ 1,129,618
‐ ‐ ‐ ‐ ‐ (617,329) (617,329)
988,629 392,117 1,122,349 3,929,232 286,628 (617,329) 12,680,218
988,629$ 431,404$ 1,122,349$ 3,929,232$ 1,258,012$ 152,970$ 14,986,461$
107
Transportation Underground Street
Facility Development Utility Maintenance
Fund Tax Fund Fund Fee Fund
REVENUES
Charges for services ‐$ 2,642,669$ 78,621$ 2,233,364$
Intergovernmental revenues ‐ ‐ ‐ ‐
Interest earnings 6,847 20,382 1,993 12,008
Miscellaneous revenues 3 ‐ ‐ 57
Total revenues 6,850 2,663,051 80,614 2,245,429
EXPENDITURES
Community development ‐ ‐ ‐ ‐
Capital projects 864,427 15,994 ‐ 1,805,339
Total expenditures 864,427 15,994 ‐ 1,805,339
Change in fund balance before
other financing sources (uses)(857,577) 2,647,057 80,614 440,090
OTHER FINANCING SOURCES (USES)
Proceeds from sale of capital assets ‐ ‐ ‐ ‐
Transfers in 859,732 ‐ ‐ ‐
Transfers out (29,325) (402,949) (128,359) (228,735)
Resources provided by other funds ‐ ‐ ‐ ‐
Total other financing sources (uses) 830,407 (402,949) (128,359) (228,735)
Change in fund balance (27,170) 2,244,108 (47,745) 211,355
Fund balance ‐ Beginning of the year 1,156,788 1,148,199 498,666 1,394,391
Fund balance ‐ End of the year 1,129,618$ 3,392,307$ 450,921$ 1,605,746$
CITY OF TIGARD, OREGON
CAPITAL PROJECTS FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
for the year ended June 30, 2016
108
Transportation
Transportation Parks Parks Parks Capital Urban Renewal
SDC Capital Bond SDC Improvement Agency Capital
Fund Fund Fund Fund Fund Projects Fund Total
988,140$ ‐$ ‐$ 2,473,770$ ‐$ ‐$ 8,416,564$
‐ ‐ ‐ ‐ 194,669 130,516 325,185
1,489 33,240 16,470 14,284 ‐ ‐ 106,713
‐ 180 ‐ ‐ 1,418 78 1,736
989,629 33,420 16,470 2,488,054 196,087 130,594 8,850,198
‐ ‐ ‐ ‐ ‐ 1,650,000 1,650,000
‐ 1,425,833 ‐ 15,994 1,437,665 635,039 6,200,291
‐ 1,425,833 ‐ 15,994 1,437,665 2,285,039 7,850,291
989,629 (1,392,413) 16,470 2,472,060 (1,241,578) (2,154,445) 999,907
‐ ‐ ‐ ‐ ‐ 1,650,000 1,650,000
‐ 1,416,152 ‐ ‐ 1,366,647 190,300 3,832,831
(1,000) ‐ (1,057,111) (274,647) ‐ ‐ (2,122,126)
‐ ‐ ‐ ‐ ‐ 49,500 49,500
(1,000) 1,416,152 (1,057,111) (274,647) 1,366,647 1,889,800 3,410,205
988,629 23,739 (1,040,641) 2,197,413 125,069 (264,645) 4,410,112
‐ 368,378 2,162,990 1,731,819 161,559 (352,684) 8,270,106
988,629$ 392,117$ 1,122,349$ 3,929,232$ 286,628$ (617,329)$ 12,680,218$
109
Variance
Actual with final
Original Final Amounts budget
REVENUES
Interest earnings 3,212$ 3,212$ 6,847$ 3,635$
Miscellaneous revenues ‐ ‐ 3 3
Total revenues 3,212 3,212 6,850 3,638
EXPENDITURES
Capital projects 1,456,100 1,456,100 864,427 591,673
Change in fund balance before
other financing sources (uses)(1,452,888) (1,452,888) (857,577) 595,311
OTHER FINANCING SOURCES (USES)
Transfers in 1,370,266 1,370,266 859,732 (510,534)
Transfers out (29,325) (29,325) (29,325) ‐
Contingency (50,000) (50,000) ‐ 50,000
Reserve for future expenditures (513,234) (513,234) ‐ 513,234
Total other financing sources (uses)777,707 777,707 830,407 52,700
Change in fund balance (675,181) (675,181) (27,170) 648,011
Fund balance ‐ Beginning of the year 675,181 675,181 1,156,788 481,607
Fund balance ‐ End of the year ‐$ ‐$ 1,129,618$ 1,129,618$
CITY OF TIGARD, OREGON
FACILITY FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
110
Variance
Actual with final
Original Final Amounts budget
REVENUES
Charges for services 700,000$ 700,000$ 2,642,669$ 1,942,669$
Interest earnings 11,279 11,279 20,382 9,103
Total revenues 711,279 711,279 2,663,051 1,951,772
EXPENDITURES
Capital projects 6,800 16,000 15,994 6
Change in fund balance before
other financing sources (uses)704,479 695,279 2,647,057 1,951,778
OTHER FINANCING SOURCES (USES)
Transfers out (526,690) (536,690) (402,949) 133,741
Contingency (250,000) (240,800) ‐ 240,800
Reserve for future expenditures (1,040,422) (1,040,422) ‐ 1,040,422
Total other financing sources (uses)(1,817,112) (1,817,912) (402,949) 1,414,963
Change in fund balance (1,112,633) (1,122,633) 2,244,108 3,366,741
Fund balance ‐ Beginning of the year 1,112,633 1,122,633 1,148,199 25,566
Fund balance ‐ End of the year ‐$ ‐$ 3,392,307$ 3,392,307$
CITY OF TIGARD, OREGON
TRANSPORTATION DEVELOPMENT TAX FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
111
Variance
Actual with final
Original Final Amounts budget
REVENUES
Charges for services 48,948$ 48,948$ 78,621$ 29,673$
Interest earnings 7,160 7,160 1,993 (5,167)
Total revenues 56,108 56,108 80,614 24,506
OTHER FINANCING SOURCES (USES)
Transfer out (320,477) (371,477) (128,359) 243,118
Contingency (50,000) (50,000) ‐ 50,000
Reserve for future expenditures (110,931) (110,931) ‐ 110,931
Total other financing uses (481,408) (532,408) (128,359) 404,049
Change in fund balance (425,300) (476,300) (47,745) 428,555
Fund balance ‐ Beginning of the year 425,300 476,300 498,666 22,366
Fund balance ‐ End of the year ‐$ ‐$ 450,921$ 450,921$
Budgeted Amounts
CITY OF TIGARD, OREGON
UNDERGROUND UTILITY FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
112
Variance
Actual with final
Original Final Amounts budget
REVENUES
Charges for services 2,079,810$ 2,079,810$ 2,233,364$ 153,554$
Interest earnings 2,043 2,043 12,008 9,965
Miscellaneous revenues 1,299 1,299 57 (1,242)
Total revenues 2,083,152 2,083,152 2,245,429 162,277
EXPENDITURES
Capital projects 1,830,000 1,830,000 1,805,339 24,661
Change in fund balance before
other financing sources (uses)253,152 253,152 440,090 186,938
OTHER FINANCING SOURCES (USES)
Transfers out (228,735) (228,735) (228,735) ‐
Contingency (200,000) (200,000) ‐ 200,000
Reserve for future expenditures (1,185,002) (1,185,002) ‐ 1,185,002
Total other financing sources (uses) (1,613,737) (1,613,737) (228,735) 1,385,002
Change in fund balance (1,360,585) (1,360,585) 211,355 1,571,940
Fund balance ‐ Beginning of the year 1,360,585 1,360,585 1,394,391 33,806
Fund balance ‐ End of the year ‐$ ‐$ 1,605,746$ 1,605,746$
CITY OF TIGARD, OREGON
STREET MAINTENANCE FEE FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
113
Variance
Actual with final
Original Final Amounts budget
REVENUES
Intergovernmental revenues 65,000$ 65,000$ 988,140$ 923,140$
Interest earnings ‐ ‐ 1,489 1,489
Total revenues 65,000 65,000 989,629 924,629
OTHER FINANCING SOURCES (USES)
Transfers out (11,000) (11,000) (1,000) 10,000
Contingency (50,000) (50,000) ‐ 50,000
Reserve for future expenditures (4,000) (4,000) ‐ 4,000
Total other financing sources (uses)(65,000) (65,000) (1,000) 64,000
Change in fund balance ‐ ‐ 988,629 988,629
Fund balance ‐ Beginning of the year ‐ ‐ ‐ ‐
Fund balance ‐ End of the year ‐$ ‐$ 988,629$ 988,629$
CITY OF TIGARD, OREGON
TRANSPORTATION SDC FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
114
Variance
Actual with final
Original Final Amounts budget
REVENUES
Intergovernmental revenues ‐$ 10,000$ ‐$ (10,000)$
Interest earnings 3,015 3,015 33,240 30,225
Miscellaneous revenues ‐ ‐ 180 180
Total revenues 3,015 13,015 33,420 20,405
EXPENDITURES
Capital projects 3,151,561 3,696,561 1,425,833 2,270,728
Change in fund balance before
other financing sources (uses)(3,148,546) (3,683,546) (1,392,413) 2,291,133
OTHER FINANCING SOURCES (USES)
Transfers in 3,151,561 3,686,561 1,416,152 (2,270,409)
Transfers out (123,932) (123,932) ‐ 123,932
Reserve for future expenditures (177,823) (177,823) ‐ 177,823
Total other financing sources (uses)2,849,806 3,384,806 1,416,152 (1,968,654)
Change in fund balance (298,740) (298,740) 23,739 322,479
Fund balance ‐ Beginning of the year 298,740 298,740 368,378 69,638
Fund balance ‐ End of the year ‐$ ‐$ 392,117$ 392,117$
CITY OF TIGARD, OREGON
PARKS CAPITAL FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
115
Variance
Actual with final
Original Final Amounts budget
REVENUES
Interest earnings 4,020$ 4,020$ 16,470$ 12,450$
OTHER FINANCING SOURCES (USES)
Transfers out (1,382,013) (1,897,013) (1,057,111) 839,902
Reserve for future expenditures (322,007) (322,007) ‐ 322,007
Total other financing uses (1,704,020) (2,219,020) (1,057,111) 1,161,909
Change in fund balance (1,700,000) (2,215,000) (1,040,641) 1,174,359
Fund balance ‐ Beginning of the year 1,700,000 2,215,000 2,162,990 (52,010)
Fund balance ‐ End of the year ‐$ ‐$ 1,122,349$ 1,122,349$
CITY OF TIGARD, OREGON
PARKS BOND FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
116
Variance
Actual with final
Original Final Amounts budget
REVENUES
Charges for services 478,027$ 478,027$ 2,473,770$ 1,995,743$
Interest earnings 19,782 19,782 14,284 (5,498)
Total revenues 497,809 497,809 2,488,054 1,990,245
EXPENDITURES
Capital projects 6,800 16,000 15,994 6
Change in fund balance
before other financing sources (uses) 491,009 481,809 2,472,060 1,990,251
OTHER FINANCING SOURCES (USES)
Transfers out (1,180,414) (1,200,414) (274,647) 925,767
Contingency (100,000) (70,800) ‐ 70,800
Reserve for future expenditures (210,649) (210,649) ‐ 210,649
Total other financing sources (uses) (1,491,063) (1,481,863) (274,647) 1,207,216
Change in fund balance (1,000,054) (1,000,054) 2,197,413 3,197,467
Fund balance ‐ Beginning of the year 1,000,054 1,000,054 1,731,819 731,765
Fund balance ‐ End of the year ‐$ ‐$ 3,929,232$ 3,929,232$
Budgeted Amounts
CITY OF TIGARD, OREGON
PARKS SDC FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
117
Variance
Actual with final
Original Final Amounts budget
REVENUES
Intergovernmental revenues ‐$ ‐$ 194,669$ 194,669$
Miscellaneous revenues ‐ ‐ 1,418 1,418
Total revenues ‐ ‐ 196,087 196,087
EXPENDITURES
Capital projects 1,073,448 1,685,448 1,437,665 247,783
Change in fund balance before
other financing sources (uses)(1,073,448) (1,685,448) (1,241,578) 443,870
OTHER FINANCING SOURCES (USES)
Transfers in 1,083,448 1,695,448 1,366,647 (328,801)
Transfers out (57,410) (57,410) ‐ 57,410
Reserve for future expenditures (332,209) (332,209) ‐ 332,209
Total other financing sources 693,829 1,305,829 1,366,647 60,818
Change in fund balance (379,619) (379,619) 125,069 504,688
Fund balance ‐ Beginning of the year 379,619 379,619 161,559 (218,060)
Fund balance ‐ End of the year ‐$ ‐$ 286,628$ 286,628$
CITY OF TIGARD, OREGON
TRANSPORTATION CIP FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
118
Variance
Actual with final
Original Final Amounts budget
REVENUES
Rental revenues 84,000$ 84,000$ 130,516$ 46,516$
Miscellaneous revenues ‐ ‐ 78 78
Total revenues 84,000 84,000 130,594 46,594
EXPENDITURES
* Capital projects 705,000 2,370,000 2,285,039 84,961
Change in fund balance before
other financing sources (uses)(621,000) (2,286,000) (2,154,445) 131,555
OTHER FINANCING SOURCES (USES)
Proceeds from sale of capital assets ‐ 1,650,000 1,650,000 ‐
Transfers in 175,300 190,300 190,300 ‐
Total other financing sources 175,300 1,840,300 1,840,300 ‐
Change in fund balance (445,700) (445,700) (314,145) 131,555
Fund balance ‐ Beginning of the year 445,700 445,700 454,494 8,794
Fund balance ‐ End of the year ‐$ ‐$ 140,349 140,349$
Reconciliation of budgetary fund balance
to GAAP basis fund balance:
Budgeted resources not qualifying as revenues or other
financing sources under GAAP:
Interfund loans are treated as revenue on a
budgetary basis. Transfers in are reclassified
as payables on a GAAP basis.(757,678)
Fund balance ‐ GAAP basis (617,329)$
* For budgetary puposes expenditures are appropriated as capital projects, however on the GAAP statements
non‐capital transactions are recorded as program expenditures
CITY OF TIGARD, OREGON
URBAN RENEWAL AGENCY CAPITAL PROJECT FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
119
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Enterprise Funds
For GAAP reporting purposes, the city reports three proprietary funds as major funds. These
funds are the Sanitary Sewer Fund, the Stormwater Fund (which consists of the Stormwater
Fund and the Water Quality/Quantity Fund) and the Water Fund (which includes the Water
Fund, Water SDC Fund, Water CIP Fund and Water Debt Service Fund). For budgetary and legal
purposes, these funds are accounted for separately as listed below.
The city’s enterprise funds meet the criteria for major fund reporting and are reported in the
basic financial statements.
Schedules or revenues and changes in fund net position — budget and actual are presented
here for each individual enterprise fund as required by Oregon regulations.
Sanitary Sewer Fund – Accounts for the city’s sewer utility operations.
Stormwater Fund – Accounts for the city’s storm drainage operations and includes the
following fund:
•Water Quality/Quantity Fund – Accounts for the fees charged to new
development for the additional impact on the stormwater system.
Water Fund – Accounts for the city’s water utility operations and includes the following funds:
•Water SDC Fund – Accounts for the water impact fees charged to new
development.
•Water CIP Fund – Accounts for capital projects to expand or improve the city’s
water system infrastructure.
•Water Debt Service Fund – Accounts for debt service on the water revenue
bonds and long-term note.
Variance
Actual with final
Original Final Amounts budget
REVENUES
Charges for services 1,590,932$ 1,590,932$ 1,791,302$ 200,370$
Connection fees 16,549 16,549 89,235 72,686
Intergovernmental revenue 221,770 221,770 127,148 (94,622)
Interest earnings 100,333 100,333 10,344 (89,989)
Miscellaneous revenues 143,091 143,091 35,795 (107,296)
Total revenues 2,072,675 2,072,675 2,053,824 (18,851)
EXPENDITURES
Public works 1,960,087 1,960,087 1,817,475 142,612
Capital projects 984,693 984,693 253,778 730,915
Total expenditures 2,944,780 2,944,780 2,071,253 873,527
Change in fund balance before
other financing sources (uses)(872,105) (872,105) (17,429) 854,676
OTHER FINANCING SOURCES (USES)
Transfers in ‐ ‐ 104 104
Transfers out (76,934) (114,434) (30,560) 83,874
Repayment on interfund loan ‐ ‐ 35,152 35,152
Contingency (400,000) (371,000) ‐ 371,000
Reserve for future expenditures (2,237,837) (2,237,837) ‐ 2,237,837
Total other financing sources (uses) (2,714,771) (2,723,271) 4,696 2,727,967
Change in fund balance (3,586,876) (3,595,376) (12,733) 3,582,643
Fund balance ‐ Beginning of the year 3,586,876 3,595,376 4,242,650 647,274
Fund balance ‐ End of the year ‐$ ‐$ 4,229,917$ 4,229,917$
CITY OF TIGARD, OREGON
SANITARY SEWER FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
120
Operating and
Non‐Operating
Revenues
Expenditures /
Expenses
Budgetary basis 2,089,080$ 2,101,813$
Unavailable revenue (19,693) ‐
Contributed capital 595,178 ‐
Interfund loan payments (35,152) ‐
Loss on disposal of capital assets (3,215) ‐
Compensated absences ‐ 142
Expenditures capitalized ‐ (236,125)
Depreciation expense ‐ 695,290
Net OPEB obligation ‐ 3,212
Operating and non‐operating revenue
and expenses ‐ GAAP basis 2,626,198$ 2,564,332$
CITY OF TIGARD, OREGON
SANITARY SEWER FUND
RECONCILIATION OF BUDGETARY REVENUES AND EXPENDITURES
TO PROPRIETARY REVENUES AND EXPENSES
for the year ended June 30, 2016
121
Variance
Actual with final
Original Final Amounts budget
REVENUES
Charges for services 2,595,949$ 2,595,949$ 3,058,382$ 462,433$
Interest earnings 7,936 7,936 34,614 26,678
Miscellaneous revenues 3,100 3,100 18,543 15,443
Total revenues 2,606,985 2,606,985 3,111,539 504,554
EXPENDITURES
Public works 1,738,126 1,738,126 1,596,821 141,305
Capital projects 1,265,096 1,327,096 285,251 1,041,845
Total expenditures 3,003,222 3,065,222 1,882,072 1,183,150
Change in fund balance before
other financing sources (uses)(396,237) (458,237) 1,229,467 1,687,704
OTHER FINANCING USES
Transfers out (433,356) (453,406) (82,468) 370,938
Contingency (200,000) (178,450) ‐ 178,450
Reserve for future expenditures (2,744,561) (2,744,561) ‐ 2,744,561
Total other financing uses (3,377,917) (3,376,417) (82,468) 3,293,949
Change in fund balance (3,774,154) (3,834,654) 1,146,999 4,981,653
Fund balance ‐ Beginning of the year 3,774,154 3,834,654 4,623,172 788,518
Fund balance ‐ End of the year ‐$ ‐$ 5,770,171$ 5,770,171$
CITY OF TIGARD, OREGON
STORMWATER FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
122
Variance
Actual with final
Original Final Amounts budget
REVENUES
Connection fees (253)$ ‐$ 550$ 550$
Interest earnings 15,102 14,849 4,421 (10,428)
Total revenues 14,849 14,849 4,971 (9,878)
OTHER FINANCING SOURCES (USES)
Transfers out (16,576) (16,576) (16,576) ‐
Contingency (50,000) (50,000) ‐ 50,000
Reserve for future expenditures (776,978) (776,978) ‐ 776,978
Total other financing sources (uses)(843,554) (843,554) (16,576) 826,978
Change in fund balance (828,705) (828,705) (11,605) 817,100
Fund balance ‐ Beginning of the year 828,705 828,705 1,260,969 432,264
Fund balance ‐ End of the year ‐$ ‐$ 1,249,364$ 1,249,364$
CITY OF TIGARD, OREGON
WATER QUALITY/QUANTITY FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
123
Operating and
Non‐operating Expenditures/
Revenues Expenses
Stormwater 3,111,539$ 1,981,116$
Water Quality / Quantity 4,971 ‐
Total, budgetary basis 3,116,510 1,981,116
Contributed capital 1,459,167 ‐
Loss on disposal of capital assets (26,243) ‐
Compensated absences ‐ 483
Expenditures capitalized ‐ (267,458)
Depreciation expense ‐ 478,075
Net OPEB obligation ‐ 3,747
Operating and non‐operating
revenue and expenses ‐ GAAP basis 4,549,434$ 2,195,963$
CITY OF TIGARD, OREGON
STORMWATER FUNDS
RECONCILIATION OF BUDGETARY REVENUES AND EXPENDITURES
TO PROPRIETARY REVENUES AND EXPENSES
for the year ended June 30, 2016
124
Variance
Actual with final
Original Final Amounts budget
REVENUES
Charges for services 18,858,513$ 18,858,513$ 20,918,497$ 2,059,984$
Interest earnings 30,644 30,644 98,111 67,467
Miscellaneous revenues 10,933 10,933 62,806 51,873
Total revenues 18,900,090 18,900,090 21,079,414 2,179,324
EXPENDITURES
Public works 8,682,558 8,682,558 8,621,970 60,588
Change in fund balance before
other financing sources (uses)10,217,532 10,217,532 12,457,444 2,239,912
OTHER FINANCING SOURCES (USES)
Transfers in 58,751 58,751 58,751 ‐
Transfers out (24,882,226) (24,963,176) (19,171,344) 5,791,832
Contingency (500,000) (427,550) ‐ 427,550
Reserve for future expenditures (5,139,072) (5,139,072) ‐ 5,139,072
Total other financing sources (uses) (30,462,547) (30,471,047) (19,112,593) 11,358,454
Change in fund balance (20,245,015) (20,253,515) (6,655,149) 13,598,366
Fund balance ‐ Beginning of the year 20,245,015 20,253,515 22,967,613 2,714,098
Fund balance ‐ End of the year ‐$ ‐$ 16,312,464$ 16,312,464$
CITY OF TIGARD, OREGON
WATER FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
125
Variance
Actual with final
Original Final Amounts budget
REVENUES
System development charges 873,715$ 873,715$ 2,811,942$ 1,938,227$
Interest earnings 233 233 35,173 34,940
Total revenues 873,948 873,948 2,847,115 1,973,167
OTHER FINANCING SOURCES (USES)
Transfers out (299,130) (3,699,130) (1,901,382) 1,797,748
Contingency (100,000) (100,000) ‐ 100,000
Reserve for future expenditures (4,871,899) (1,471,899) ‐ 1,471,899
Total other financing sources (uses) (5,271,029) (5,271,029) (1,901,382) 3,369,647
Change in fund balance (4,397,081) (4,397,081) 945,733 5,342,814
Fund balance ‐ Beginning of the year 4,397,081 4,397,081 4,571,596 174,515
Fund balance ‐ End of the year ‐$ ‐$ 5,517,329$ 5,517,329$
CITY OF TIGARD, OREGON
WATER SDC FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
126
Variance
Actual with final
Original Final Amounts budget
REVENUES
Interest earnings 13,096$ 13,096$ 36,632$ 23,536$
Miscellaneous revenues 5,318 5,318 76,501 71,183
Total revenues 18,414 18,414 113,133 94,719
EXPENDITURES
Capital projects 29,168,682 35,828,682 26,999,981 8,828,701
Change in fund balance before
other financing sources (uses)(29,150,268) (35,810,268) (26,886,848) 8,923,420
OTHER FINANCING SOURCES (USES)
Transfers in 18,840,921 22,240,921 14,297,978 (7,942,943)
Transfers out (231,256) (231,256) (231,256) ‐
Reserve for future expenditures (7,479,397) (4,219,397) ‐ 4,219,397
Total other financing sources (uses) 11,130,268 17,790,268 14,066,722 (3,723,546)
Change in fund balance (18,020,000) (18,020,000) (12,820,126) 5,199,874
Fund balance ‐ Beginning of the year 18,020,000 18,020,000 17,223,215 (796,785)
Fund balance ‐ End of the year ‐$ ‐$ 4,403,089$ 4,403,089$
CITY OF TIGARD, OREGON
WATER CIP FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
127
Variance
Actual with final
Original Final Amounts budget
REVENUES
Interest earnings ‐$ ‐$ 83,595$ 83,595$
EXPENDITURES
Debt service:
Principal 98,005 98,005 98,005 ‐
Interest 6,161,270 6,161,270 6,161,266 4
Total expenditures 6,259,275 6,259,275 6,259,271 4
Change in fund balance before
other financing sources (uses)(6,259,275) (6,259,275) (6,175,676) 83,599
OTHER FINANCING SOURCES (USES)
Transfers in 6,259,273 6,259,273 6,259,271 (2)
Transfers out (7,906) (7,906) ‐ 7,906
Reserve for future expenditures (7,041,099) (7,041,099) ‐ 7,041,099
Total other financing sources (uses)(789,732) (789,732) 6,259,271 7,049,003
Change in fund balance (7,049,007) (7,049,007) 83,595 7,132,602
Fund balance ‐ Beginning of the year 7,049,007 7,049,007 6,678,704 (370,303)
Fund balance ‐ End of the year ‐$ ‐$ 6,762,299$ 6,762,299$
CITY OF TIGARD, OREGON
WATER DEBT SERVICE FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
128
Operating and
Non‐operating Expenditures /
Revenues Expenses
Water 21,138,165$ 27,793,314$
Water SDC 2,847,115 1,901,382
Water CIP 14,411,111 27,231,237
Water Debt Service 6,342,866 6,259,271
Total, budgetary basis 44,739,257 63,185,204
Contributed capital 870,210 ‐
Loss on disposal of capital assets (2,932) ‐
Elimination of water interfund transfers (20,557,249) (20,557,249)
Compensated absences ‐ (25,038)
Expenditures capitalized ‐ (26,809,640)
Principal payments ‐ (98,005)
Accrued interest ‐ 201,542
Amortization of bond premium ‐ (639,844)
Interest capitalized ‐ (1,194,658)
Depreciation expense ‐ 1,394,697
Net OPEB obligation ‐ 6,958
Operating and non‐operating
revenue and expenses ‐ GAAP basis 25,049,286$ 15,463,967$
CITY OF TIGARD, OREGON
WATER FUNDS
RECONCILIATION OF BUDGETARY REVENUES AND EXPENDITURES
TO PROPRIETARY REVENUES AND EXPENSES
for the year ended June 30, 2016
129
Total Total Total
Sanitary Sewer Stormwater Water
Sanitary Sewer Fund 4,229,917$ ‐$ ‐$
Stormwater Fund ‐ 5,770,171 ‐
Water Quality /Quantity Fund ‐ 1,249,364 ‐
Water Fund ‐ ‐ 16,312,464
Water SDC Fund ‐ ‐ 5,517,329
Water CIP Fund ‐ ‐ 4,403,089
Water Debt Service Fund ‐ ‐ 6,762,299
Fund balance ‐ budget basis 4,229,917 7,019,535 32,995,181
Adjustments from budgetary basis to
generally accepted accounting principles basis:
Capital assets, net 17,696,008 11,492,783 199,264,558
Sewer funds payable (21,780) ‐ ‐
Assets held for resale 185,021 260,021 ‐
Unavailable revenue 80,958 ‐ ‐
Compensated absences (24,009) (26,746) (89,923)
Long‐term debt ‐ ‐ (141,011,261)
Accrued interest payable ‐ ‐ (2,614,328)
Interfund loans 102,495 ‐ ‐
OPEB obligation (38,110) (43,189) (82,380)
Total Net Position ‐ GAAP basis 22,210,500$ 18,702,404$ 88,461,847$
CITY OF TIGARD, OREGON
ENTERPRISE FUNDS
RECONCILIATION OF BUDGETARY FUND BALANCE TO
GENERALLY ACCEPTED ACCOUNTING PRINCIPLES BASIS NET POSITION
June 30, 2016
130
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Internal Service Funds
Combining statements for internal service funds are reported here. The combined totals are
reported alongside the enterprise funds in the basic financial statements.
Schedules of revenues, expenses and changes in fund net position — budget and actual — are
presented here for each internal service fund as required by Oregon regulations.
Internal Service Funds:
Central Services Fund – Accounts for the central administrative functions within the city.
Expenditures are primarily payroll and related expenses for city policy and administration
functions. Resources are charges for services to city departments and internal customers.
Fleet/Property Management Fund – Accounts for activity related to the fleet maintenance and
property management divisions in the city. Resources are charges for services to city
departments and internal customers.
Insurance Fund – Accounts for the city’s risk management program and insurance coverage
premiums and related costs to help reduce the overall insurance cost to the city. Resources are
primarily refunds of prior years’ premiums.
Central Fleet/Property
Services Management Insurance
Fund Fund Fund Total
ASSETS
Cash and cash equivalents 1,416,272$ 384,486$ 760,012$ 2,560,770$
Investments ‐ ‐ 137,737 137,737
Accounts receivable 19,661 ‐ 2,860 22,521
Prepaids 33,274 ‐ ‐ 33,274
Inventory ‐ 31,921 ‐ 31,921
Total assets 1,469,207 416,407 900,609 2,786,223
LIABILITIES
Accounts payable and accrued liabilities 165,388 260,141 42 425,571
Unearned revenue 15,714 ‐ ‐ 15,714
Accrued compensated absences 269,716 29,364 ‐ 299,080
Net OPEB obligation 279,179 23,928 ‐ 303,107
Total liabilities 729,997 313,433 42 1,043,472
NET POSITION
Net position, unrestricted 739,210$ 102,974$ 900,567$ 1,742,751$
CITY OF TIGARD, OREGON
INTERNAL SERVICE FUNDS
COMBINING STATEMENT OF NET POSITION
June 30, 2016
131
Central Fleet/Property
Services Management Insurance
Fund Fund Fund Total
OPERATING REVENUES
Charges for services 7,059,772$ 1,783,024$ ‐$ 8,842,796$
Miscellaneous revenues 14,425 2,230 17,101 33,756
Total operating revenues 7,074,197 1,785,254 17,101 8,876,552
OPERATING EXPENSES
Salaries and wages 4,433,069 620,767 ‐ 5,053,836
Contracted services 745,153 316,656 2,163 1,063,972
General, administrative and other 2,005,631 847,384 5,269 2,858,284
Total operating expenses 7,183,853 1,784,807 7,432 8,976,092
Operating income (loss) (109,656) 447 9,669 (99,540)
NONOPERATING REVENUE
Interest revenue 29,919 1,200 3,072 34,191
Operating income (loss)(79,737) 1,647 12,741 (65,349)
INCOME (LOSS) BEFORE CONTRIBUTIONS
AND TRANSFERS
Transfers in 572,438 19,647 ‐ 592,085
Transfers out ‐ ‐ (983) (983)
Change in net position 492,701 21,294 11,758 525,753
Net position ‐ Beginning of year 246,509 81,680 888,809 1,216,998
Net position ‐ End of year 739,210$ 102,974$ 900,567$ 1,742,751$
CITY OF TIGARD, OREGON
INTERNAL SERVICE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENSES
AND CHANGES IN FUND NET POSITION
for the year ended June 30, 2016
132
Fleet/Property
Central Services Management Insurance
Fund Fund Fund Total
CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers 7,066,786$ 1,790,024$ ‐$ 8,856,810$
Payments to suppliers (2,904,013) (1,027,988) (7,390) (3,939,391)
Payments to employees (4,393,148) (627,749) ‐ (5,020,897)
Other receipts 13,688 2,230 14,241 30,159
Net cash provided (used) by operating activities (216,687) 136,517 6,851 (73,319)
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES
Transfers from other funds 572,438 19,647 ‐ 592,085
Transfers to other funds ‐ ‐ (983) (983)
Net cash flows from noncapital financing activities 572,438 19,647 (983) 591,102
Net increase in cash and investments 355,751 156,164 5,868 517,783
CASH FLOWS FROM INVESTING ACTIVITIES
Interest earnings 29,919 1,200 3,072 34,191
Cash and investments‐‐beginning of the year 1,030,602 227,122 888,809 2,146,533
Cash and investments‐‐end of the year 1,416,272$ 384,486$ 897,749$ 2,698,507$
RECONCILIATION OF OPERATING INCOME (LOSS) TO
NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES
Operating income (loss)(109,656)$ 447$ 9,669$ (99,540)$
Adjustments to reconcile operating income (loss) to
net cash provided (used) by operating activities
CHANGE IN ASSETS AND LIABILITIES
Receivables 7,014 ‐ (2,860) 4,154
Prepaids 49,362 7,000 ‐ 56,362
Inventory ‐ 12,010 ‐ 12,010
Accounts Payable (202,591) 124,042 42 (78,507)
Unearned revenue (737) ‐ ‐ (737)
Accrued compensated absences 19,286 (10,104) ‐ 9,182
Net OPEB Obligation 20,635 3,122 ‐ 23,757
Net cash provided (used) by operating activities (216,687)$ 136,517$ 6,851$ (73,319)$
CITY OF TIGARD, OREGON
INTERNAL SERVICE FUNDS
for the year ended June 30, 2016
COMBINING STATEMENT OF CASH FLOWS
133
Variance
Actual with final
Original Final Amounts budget
REVENUES
Charges for services 7,020,353$ 7,020,353$ 7,059,772$ 39,419$
Interest earnings 22,593 22,593 29,919 7,326
Miscellaneous revenues 19,900 19,900 14,425 (5,475)
Total revenues 7,062,846 7,062,846 7,104,116 41,270
EXPENDITURES
Policy and administration 7,591,137 8,109,297 7,163,218 946,079
Change in fund balance before
other financing sources (uses)(528,291) (1,046,451) (59,102) 987,349
OTHER FINANCING SOURCES (USES)
Transfers in 698,824 875,824 572,438 (303,386)
Contingency (150,000) (57,000) ‐ 57,000
Reserve for future expenditures (202,905) (159,745) ‐ 159,745
Total other financing sources (uses)345,919 659,079 572,438 (86,641)
Change in fund balance (182,372) (387,372) 513,336 900,708
Fund balance ‐ Beginning of the year 182,372 387,372 505,053 117,681
Fund balance ‐ End of the year ‐$ ‐$ 1,018,389 1,018,389$
Reconciliation of budgetary fund balance
to GAAP basis net position:
Net OPEB obligation (279,179)
Total net position, GAAP basis 739,210$
CITY OF TIGARD, OREGON
CENTRAL SERVICES FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
134
Variance
Actual with final
Original Final Amounts budget
REVENUES
Charges for services 1,783,024$ 1,783,024$ 1,783,024$ ‐$
Interest earnings ‐ ‐ 1,200 1,200
Miscellaneous revenues 29,686 29,686 2,230 (27,456)
Total revenues 1,812,710 1,812,710 1,786,454 (26,256)
EXPENDITURES
Public works 1,852,362 1,896,042 1,781,685 114,357
Change in fund balance before
other financing sources (uses)(39,652) (83,332) 4,769 88,101
OTHER FINANCING SOURCES (USES)
Transfers in 19,647 19,647 19,647 ‐
Contingency (75,000) (31,320) ‐ 31,320
Reserve for future expenditures (18,133) (18,133) ‐ 18,133
Total other financing sources (uses)(73,486) (29,806) 19,647 49,453
Change in fund balance (113,138) (113,138) 24,416 137,554
Fund balance ‐ Beginning of the year 113,138 113,138 102,486 (10,652)
Fund balance ‐ End of the year ‐$ ‐$ 126,902 126,902$
Reconciliation of budgetary fund balance
to GAAP basis net position:
Net OPEB obligation (23,928)
Total net position, GAAP basis 102,974$
CITY OF TIGARD, OREGON
FLEET/PROPERTY MANAGEMENT FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
135
Variance
Actual with final
Original Final Amounts budget
REVENUES
Interest earnings 7,810$ 7,810$ 3,072$ (4,738)$
Miscellaneous revenues 34,140 34,140 17,101 (17,039)
Total revenues 41,950 41,950 20,173 (21,777)
EXPENDITURES
Policy and administration 50,000 50,000 7,432 42,568
Change in fund balance
before other financing sources (uses)(8,050) (8,050) 12,741 20,791
OTHER FINANCING SOURCES (USES)
Transfers out (983) (983) (983) ‐
Contingency (25,000) (25,000) ‐ 25,000
Reserve for future expenditures (798,151) (798,151) ‐ 798,151
Total other financing sources (uses)(824,134) (824,134) (983) 823,151
Change in fund balance (832,184) (832,184) 11,758 843,942
Fund balance ‐ Beginning of the year 832,184 832,184 888,809 56,625
Fund balance ‐ End of the year ‐$ ‐$ 900,567$ 900,567$
CITY OF TIGARD, OREGON
INSURANCE FUND
SCHEDULE OF REVENUES AND EXPENDITURES ‐ BUDGET AND ACTUAL
for the year ended June 30, 2016
Budgeted Amounts
136
Other Schedules
Bancroft Bonds
Issued June 27, 2002 1,307,969$ 373,711$ ‐$ 77,392$ (77,392)$ 296,319$ 26,112$ (26,112)$
General Obligation Bonds
Issued February 3, 2011 8,655,000$ 6,210,000$ ‐$ 685,000$ (685,000)$ 5,525,000$ 216,925$ (216,925)$
Issued June 21, 2010 7,250,000 3,895,000 ‐ 735,000 (735,000) 3,160,000 169,432 (169,432)
Issued February 3, 2011 17,000,000 14,670,000 ‐ 685,000 (685,000) 13,985,000 607,575 (607,575)
24,775,000$ ‐$ 2,105,000$ (2,105,000)$ 22,670,000$ 993,932$ (993,932)$
Bank Loan
Issued September 1, 2014 1,300,000$ 1,300,000$ ‐$ 130,000$ (130,000)$ 1,170,000$ 36,778$ (36,778)$
Revenue Bonds
Issued May 1, 2012 97,720,000$ 97,720,000$ ‐$ ‐$ ‐$ 97,720,000$ 4,719,850$ (4,719,850)$
Issued May 1, 2015 30,810,000 30,810,000 ‐ ‐ ‐ 30,810,000 1,378,238 (1,378,238)
128,530,000$ ‐$ ‐$ ‐$ 128,530,000$ 6,098,088$ (6,098,088)$
Long‐term Note
Issued December 1, 2011 2,398,000$ 2,105,957$ ‐$ 98,005$ (98,005)$ 2,007,952$ 63,179$ (63,179)$
Outstanding
June 30, 2016 Matured Paid
CITY OF TIGARD, OREGON
SCHEDULE OF BOND AND BOND INTEREST TRANSACTIONS
For the fiscal year ended June 30, 2016
Outstanding
June 30, 2015 Additions Matured/
Called Paid
Interest Transactions
Original
Issue
137
Fiscal Year Total Total
of Maturity Principal Interest Principal Interest
2017 83,100$ 20,000$ 83,100$ 20,000$
2018 89,200 13,866 89,200 13,866
2019 95,800 7,279 95,800 7,279
2020 28,219 1,021 28,219 1,021
296,319$ 42,166$ 296,319$ 42,166$
7.25%
CITY OF TIGARD, OREGON
SCHEDULE OF FUTURE DEBT SERVICE REQUIREMENTS
OF LOCAL IMPROVEMENT DISTRICT BONDS
For the fiscal year ended June 30, 2016
Issued June 27, 2002Total Debt Service Requirement
138
Fiscal Year Total Total
of Maturity Principal Interest Principal Interest Principal Interest Principal Interest
2017 2,165,000$ 920,560$ 705,000$ 196,075$ 755,000$ 137,460$ 705,000$ 587,025$
2018 2,235,000 845,043 730,000 174,550 780,000 104,618 725,000 565,875
2019 2,305,000 763,313 755,000 148,500 800,000 70,688 750,000 544,125
2020 2,390,000 667,713 785,000 117,700 825,000 35,888 780,000 514,125
2021 1,625,000 568,625 815,000 85,700 ‐ ‐ 810,000 482,925
2022 1,695,000 502,925 850,000 52,400 ‐ ‐ 845,000 450,525
2023 1,760,000 434,425 885,000 17,700 ‐ ‐ 875,000 416,725
2024 910,000 381,725 ‐ ‐ ‐ ‐ 910,000 381,725
2025 950,000 345,325 ‐ ‐ ‐ ‐ 950,000 345,325
2026 990,000 304,950 ‐ ‐ ‐ ‐ 990,000 304,950
2027 1,030,000 262,875 ‐ ‐ ‐ ‐ 1,030,000 262,875
2028 1,075,000 216,525 ‐ ‐ ‐ ‐ 1,075,000 216,525
2029 1,125,000 168,150 ‐ ‐ ‐ ‐ 1,125,000 168,150
2030 1,180,000 114,713 ‐ ‐ ‐ ‐ 1,180,000 114,713
2031 1,235,000 58,663 ‐ ‐ ‐ ‐ 1,235,000 58,663
22,670,000$ 6,555,530$ 5,525,000$ 792,625$ 3,160,000$ 348,654$ 13,985,000$ 5,414,251$
CITY OF TIGARD, OREGON
SCHEDULE OF FUTURE DEBT SERVICE REQUIREMENTS
OF GENERAL OBLIGATION BONDS
For the fiscal year ended June 30, 2016
3.00% to 4.75%
Series 2011ASeries 2011B
3.00% to 4.00%
Transportation Bonds
4.35%
Issued: February 3, 2011 Issued: June 21, 2010 Issued: February 3, 2011Service Requirement
Total Debt
139
Fiscal Year Total Total
of Maturity Principal Interest Principal Interest
2017 130,000$ 32,842$ 130,000$ 32,842$
2018 130,000 28,980 130,000 28,980
2019 130,000 25,118 130,000 25,118
2020 780,000 11,681 780,000 11,681
1,170,000$ 98,621$ 1,170,000$ 98,621$
3.00%
CITY OF TIGARD, OREGON
SCHEDULE OF FUTURE DEBT SERVICE REQUIREMENTS
OF BANK LOAN PAYABLE
For the fiscal year ended June 30, 2016
Total Debt Service Requirement Issued: September 1, 2014
140
Fiscal Year Total Total
of Maturity Principal Interest Principal Interest Principal Interest
2017 2,030,000$ 6,202,100$ 1,870,000$ 4,691,800$ 160,000$ 1,510,300$
2018 2,100,000 6,129,650 1,935,000 4,625,050 165,000 1,504,600
2019 2,185,000 6,043,950 2,015,000 4,546,050 170,000 1,497,900
2020 2,275,000 5,954,750 2,100,000 4,463,750 175,000 1,491,000
2021 2,370,000 5,861,850 2,185,000 4,378,050 185,000 1,483,800
2022 2,465,000 5,765,150 2,275,000 4,288,850 190,000 1,476,300
2023 2,565,000 5,664,550 2,365,000 4,196,050 200,000 1,468,500
2024 2,685,000 5,547,175 2,475,000 4,086,875 210,000 1,460,300
2025 2,820,000 5,411,675 2,605,000 3,959,875 215,000 1,451,800
2026 2,960,000 5,269,375 2,735,000 3,826,375 225,000 1,443,000
2027 3,110,000 5,119,925 2,875,000 3,686,125 235,000 1,433,800
2028 3,270,000 4,961,600 3,025,000 3,538,625 245,000 1,422,975
2029 3,435,000 4,793,975 3,180,000 3,383,500 255,000 1,410,475
2030 3,610,000 4,617,850 3,340,000 3,220,500 270,000 1,397,350
2031 3,795,000 4,435,175 3,515,000 3,049,125 280,000 1,386,050
2032 3,985,000 4,243,125 3,695,000 2,868,875 290,000 1,374,250
2033 4,190,000 4,038,750 3,885,000 2,679,375 305,000 1,359,375
2034 4,405,000 3,823,875 4,080,000 2,480,250 325,000 1,343,625
2035 4,630,000 3,598,000 4,290,000 2,271,000 340,000 1,327,000
2036 4,870,000 3,360,500 4,510,000 2,051,000 360,000 1,309,500
2037 5,120,000 3,110,750 4,745,000 1,819,625 375,000 1,291,125
2038 5,380,000 2,848,250 4,985,000 1,576,375 395,000 1,271,875
2039 5,660,000 2,572,250 5,240,000 1,320,750 420,000 1,251,500
2040 5,950,000 2,282,000 5,510,000 1,052,000 440,000 1,230,000
2041 6,250,000 1,977,000 5,795,000 769,375 455,000 1,207,625
2042 6,575,000 1,656,375 6,090,000 472,250 485,000 1,184,125
2043 6,910,000 1,319,250 6,400,000 160,000 510,000 1,159,250
2044 7,265,000 964,875 ‐ ‐ 7,265,000 964,875
2044 7,635,000 592,375 ‐ ‐ 7,635,000 592,375
2046 8,030,000 200,750 ‐ ‐ 8,030,000 200,750
128,530,000$ 118,366,875$ 97,720,000$ 79,461,475$ 30,810,000$ 38,905,400$
CITY OF TIGARD, OREGON
SCHEDULE OF FUTURE DEBT SERVICE REQUIREMENTS
OF WATER REVENUE BONDS
For the fiscal year ended June 30, 2016
Issued: May 3, 2015Issued: May 1, 2012Total Debt Service Requirement
3.00% to 5.00%3.00% to 5.00%
141
Fiscal Year Total Total
of Maturity Principal Interest Principal Interest
2017 100,945$ 60,239$ 100,945$ 60,239$
2018 103,973 57,210 103,973 57,210
2019 107,092 54,091 107,092 54,091
2020 110,305 50,878 110,305 50,878
2021 113,614 47,569 113,614 47,569
2022 117,022 44,161 117,022 44,161
2023 120,533 40,650 120,533 40,650
2024 124,149 37,034 124,149 37,034
2025 127,874 33,310 127,874 33,310
2026 131,710 29,473 131,710 29,473
2027 135,661 25,522 135,661 25,522
2028 139,731 21,452 139,731 21,452
2029 143,923 17,260 143,923 17,260
2030 148,241 12,943 148,241 12,943
2031 152,688 8,495 152,688 8,495
2032 130,491 3,915 130,491 3,915
2,007,952$ 544,202$ 2,007,952$ 544,202$
3.00% to 5.00%
CITY OF TIGARD, OREGON
SCHEDULE OF FUTURE DEBT SERVICE REQUIREMENTS
OF SAFE DRINKING WATER REVOLVING LOAN FUNDS
For the fiscal year ended June 30, 2016
Issued: December 1, 2011Total Debt Service Requirement
142
Statistical Section
This part of the City of Tigard’s comprehensive annual financial report presents detailed
information as a context for understanding what the information in the financial statements,
note disclosures, required supplementary information and other supplementary information
says about the city’s overall financial health.
Contents Page
Financial Trends – These schedules contain trend information to
help the reader understand how financial performance has changed over time. 143-159
Revenue Capacity – These schedules contain information to help the
reader assess the city’s most significant local revenue source, property taxes. 158-164
Debt Capacity – These schedules contain information to help the reader
assess the affordability of the city’s current levels of outstanding debt and the
city’s ability to issue additional debt in the future. 165-173
Demographic and Economic Information – These schedules offer demographic
and economic indicators to help the reader understand the environment within
the city’s financial activities take place. 174-176
Operating Information – These schedules contain service and infrastructure data
to help the reader understand how the information in the city’s financial report
relates to the services the city provides and the activities it performs. 177-181
This page intentionally left blank.
Fiscal Year Fiscal Year Fiscal Year
2007 2008 2009
GOVERNMENTAL ACTIVITIES
Net investment in capital assets 173,401,138$ 177,656,465$ 179,584,222$
Restricted 1,490,484 1,992,734 1,540,638
Unrestricted 25,234,231 23,053,474 18,091,356
Total governmental activities net position 200,125,853 202,702,673 199,216,216
BUSINESS‐TYPE ACTIVITIES
Net investment in capital assets 64,000,824 68,398,209 68,738,562
Restricted 3,783,324 3,783,324 3,783,324
Unrestricted 18,463,817 15,826,866 16,184,644
Total business‐type activities net position 86,247,965 88,008,399 88,706,530
PRIMARY GOVERNMENT
Net investment in capital assets 237,401,962 246,054,674 248,322,784
Restricted 5,273,808 5,776,058 5,323,962
Unrestricted 43,698,048 38,880,340 34,275,999
Total primary government net position 286,373,818$ 290,711,072$ 287,922,745$
Source: Comprehensive Annual Financial Report of the City.
CITY OF TIGARD, OREGON
NET POSITION BY COMPONENT
for the last ten fiscal years
(accrual basis of accounting)
143
Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year
2010 2011 2012 2013 2014 (Restated) 2015 2016
165,775,262$ 181,343,650$ 179,626,050$ 181,196,030$ 185,242,899$ 189,748,234$ 195,142,143$
6,872,512 5,880,755 13,180,057 12,041,725 10,941,117 12,376,136 20,392,998
24,927,888 11,880,945 8,431,166 14,311,478 13,596,004 13,031,415 11,024,212
197,575,662 199,105,350 201,237,273 207,549,233 209,780,020 215,155,785 226,559,353
70,942,446 78,920,831 65,218,645 74,044,470 79,627,259 84,867,665 95,247,967
‐ 6,005,540 13,184,382 9,683,852 10,551,442 11,250,300 12,279,628
17,371,241 8,675,865 19,429,375 18,523,616 16,721,508 21,256,129 21,847,155
88,313,687 93,602,236 97,832,402 102,251,938 106,900,209 117,374,094 129,374,750
236,717,708 260,264,481 244,844,695 255,240,500 264,870,158 274,615,899 290,390,110
6,872,512 11,886,295 26,364,439 21,725,577 21,492,559 23,626,436 32,672,626
42,299,129 20,556,810 27,860,541 32,835,094 30,317,512 34,287,544 32,871,367
285,889,349$ 292,707,586$ 299,069,675$ 309,801,171$ 316,680,229$ 332,529,879$ 355,934,103$
144
Fiscal Year Fiscal Year Fiscal Year
2007 2008 2009
EXPENSES
Governmental activities
Community services 11,656,248$ 13,678,913$ 18,365,997$
Public works 2,383,009 2,373,710 2,468,981
Community development 4,714,636 5,186,834 7,238,839
Policy and administration 4,398,213 3,992,478 5,997,644
Interest on long‐term debt 153,319 354,664 526,825
Total governmental activities expenses 23,305,425 25,586,599 34,598,286
Business‐type activities
Sewer 1,461,458 1,963,223 1,597,413
Stormwater 1,533,391 1,585,105 1,920,640
Water 7,452,480 6,792,833 7,624,478
Total business‐type activities program expenses 10,447,329 10,341,161 11,142,531
Total primary government expenses 33,752,754$ 35,927,760$ 45,740,817$
PROGRAM REVENUES
Governmental activities
Charges for services:
Community services 151,448$ 168,232$ 180,425$
Public works 1,866,123 1,377,855 952,652
Community development 3,982,018 2,331,834 1,249,995
Policy and administration 1,146,301 1,524,653 1,463,736
Operating grants and contributions 1,537,714 739,171 153,447
Capital grants and contributions 2,596,223 3,103,521 199,112
Total governmental activities program revenues 11,279,827 9,245,266 4,199,367
Business‐type activities
Charges for services:
Sewer 1,641,740 2,322,462 1,348,750
Stormwater 1,190,521 1,593,097 1,484,627
Water 6,336,186 7,002,872 7,417,827
Capital grants and contributions 3,886,120 136,331 834,660
Total business‐type activities program revenues 13,054,567 11,054,762 11,085,864
Total primary government program revenues 24,334,394$ 20,300,028$ 15,285,231$
Source: Comprehensive Annual Financial Report of the City.
CITY OF TIGARD, OREGON
CHANGES IN NET POSITION
for the last ten fiscal years
(accrual basis of accounting)
145
Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year
2010 2011 2012 2013 2014 (Restated) 2015 2016
19,832,642$ 19,987,961$ 20,025,191$ 19,085,777$ 23,078,512$ 18,542,379$ 25,089,790$
8,563,893 10,911,875 12,489,448 8,585,063 8,399,436 10,408,399 10,865,800
4,846,494 4,159,289 4,709,751 3,988,011 4,267,328 4,688,686 7,030,142
1,511,956 1,825,398 2,117,198 1,339,254 1,732,016 1,323,435 1,226,166
548,987 1,214,420 1,125,259 1,226,774 1,147,024 1,185,507 958,204
35,303,972 38,098,943 40,466,847 34,224,879 38,624,316 36,148,406 45,170,102
1,379,105 1,386,597 1,743,929 2,114,054 2,617,625 2,518,708 2,536,988
2,061,622 1,667,699 1,649,715 2,045,399 1,958,551 2,077,589 2,123,162
7,880,598 6,996,463 7,807,706 11,989,337 11,730,347 10,839,483 14,720,167
11,321,325 10,050,759 11,201,350 16,148,790 16,306,523 15,435,780 19,380,317
46,625,297$ 48,149,702$ 51,668,197$ 50,373,669$ 54,930,839$ 51,584,186$ 64,550,419$
232,384$ 1,008,691$ 1,191,417$ 2,252,945$ 1,872,350$ 1,731,639$ 1,879,576$
1,751,341 2,096,677 1,915,631 2,120,366 2,519,515 2,239,431 2,860,543
1,490,701 1,747,617 1,684,287 2,579,329 1,765,005 3,040,501 4,684,733
108,940 84,065 105,755 65,233 142,277 119,195
199,506 6,516,004 6,952,717 6,924,053 6,318,382 6,508,556 7,756,718
305,398 230,500 1,049,774 2,173,900 1,804,398 2,021,422 11,785,524
4,088,270 11,599,489 12,877,891 16,156,348 14,344,883 15,683,826 29,086,289
1,117,987 1,021,840 1,025,732 1,203,187 1,727,206 1,773,388 1,791,302
1,872,545 2,178,298 2,402,189 2,629,694 2,733,346 2,899,180 3,058,382
7,834,978 9,065,554 11,895,044 14,907,664 15,985,607 18,804,645 20,918,497
1,022,045 4,583,764 2,871,726 1,675,987 1,111,346 2,066,696 5,806,590
11,847,555 16,849,456 18,194,691 20,416,532 21,557,505 25,543,909 31,574,771
15,935,825$ 28,448,945$ 31,072,582$ 36,572,880$ 35,902,388$ 41,227,735$ 60,661,060$
146
Fiscal Year Fiscal Year Fiscal Year
2007 2008 2009
NET (EXPENSE) REVENUE
Governmental activities (12,025,598)$ (16,341,333)$ (30,398,918)$
Business‐type activities 2,607,238 713,601 (56,667)
Total primary government net expenses (9,418,360) (15,627,731) (30,455,585)
GENERAL REVENUES AND OTHER
CHANGES IN NET POSITION
Governmental activities:
Property taxes 11,552,817 9,133,664 12,526,541
Franchise fees 3,835,007 4,551,169 3,887,078
Unrestricted intergovernmental revenues 1,836,291 2,912,647 8,925,520
Interest earnings 1,548,735 1,503,619 947,247
Miscellaneous 302,269 817,054 626,075
Transfers between Governmental and Business‐type ‐ ‐ ‐
Total governmental activities 19,075,119 18,918,153 26,912,461
Business‐type activities:
Interest earnings 1,050,352 1,039,593 649,231
Miscellaneous 147,310 150,015 105,567
Unrestricted intergovernmental revenues ‐ ‐ ‐
Transfers between Governmental and Business‐type ‐ ‐ ‐
Total business‐type activities 1,197,662 1,189,608 754,798
Total primary government 20,272,781 20,107,761 27,667,259
CHANGES IN NET POSITION
Governmental activities (restated)7,049,521 2,576,820 (3,486,457)
Business‐type activities 3,804,900 1,903,209 698,131
Total primary government 10,854,421$ 4,480,029$ (2,788,325)$
Source: Comprehensive Annual Financial Report of the City.
CITY OF TIGARD, OREGON
CHANGES IN NET POSITION (CONTINUED)
for the last ten fiscal years
(accrual basis of accounting)
147
Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year
2010 2011 2012 2013 2014 (Restated) 2015 2016
(31,215,702)$ (26,499,454)$ (27,588,956)$ (18,068,531)$ (24,279,433)$ (20,464,580)$ (16,083,813)$
526,230 6,798,697 6,993,341 4,267,742 5,250,982 10,108,129 12,194,454
(30,689,471) (19,700,757) (20,595,615) (13,800,789) (19,028,451) (10,356,451) (3,889,359)
16,070,846 13,604,285 15,182,467 15,338,744 15,796,663 16,523,361 17,177,591
4,548,520 4,375,420 4,880,635 5,855,956 5,542,647 5,687,456 5,734,540
6,993,245 2,838,802 4,798,949 2,500,240 2,955,652 3,004,341 2,840,903
308,853 296,964 283,273 248,812 421,211 434,401 688,087
376,884 5,284,426 1,583,989 316,512 776,154 247,154 228,779
1,276,800 1,629,245 2,991,566 120,227 1,017,893 (56,368) 817,481
29,575,148 28,029,142 29,720,879 24,380,491 26,510,220 25,840,345 27,487,381
153,300 115,828 73,228 114,661 270,415 131,485 302,890
204,427 3,269 155,164 157,360 144,767 177,903 193,645
‐ ‐ ‐ ‐ ‐ ‐ 127,148
(1,276,800) (1,629,245) (2,991,566) (120,227) (1,017,893) 56,368 (817,481)
(919,073) (1,510,148) (2,763,174) 151,794 (602,711) 365,756 (193,798)
28,656,075 26,518,994 26,957,705 24,532,285 25,907,509 26,206,101 27,293,583
(1,640,554) 1,529,688 2,131,923 6,311,960 2,230,787 5,375,765 11,403,568
(392,843) 5,288,549 4,230,167 4,419,536 4,648,271 10,473,885 12,000,656
(2,033,396)$ 6,818,237$ 6,362,090$ 10,731,496$ 6,879,058$ 15,849,650$ 23,404,224$
148
Fiscal Year Fiscal Year Fiscal Year
2007 2008 2009
GENERAL FUND
Reserved 209,378$ ‐$ 419,488$
Unreserved 9,716,643 10,794,057 7,338,828
Nonspendable ‐ ‐ ‐
Unassigned ‐ ‐ ‐
Total General Fund 9,926,021$ 10,794,057$ 7,758,316$
ALL OTHER GOVERNMENTAL FUNDS
Reserved ‐$ ‐$ ‐$
Unreserved, reported in:
Special revenue funds 13,445,092 12,481,406 11,097,739
Debt service funds 2,027,633 682,960 167,169
Capital projects funds 1,087,826 1,309,774 1,373,469
Nonspendable ‐ ‐ ‐
Restricted ‐ ‐ ‐
Committed ‐ ‐ ‐
Assigned ‐ ‐ ‐
Unassigned ‐ ‐ ‐
Total all other governmental funds 16,560,551$ 14,474,140$ 12,638,377$
* This schedule was modified with the implementation of GASB 54, effective fiscal year 2011, which affected the
categories used to report fund balances.
Source: Comprehensive Annual Financial Report of the City.
CITY OF TIGARD, OREGON
FUND BALANCES OF GOVERNMENTAL FUNDS
for the last ten fiscal years
(modified accrual basis of accounting)
149
Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year
2010 2011 2012 2013 2014 2015 2016
273,726$ ‐$ ‐$ ‐$ ‐$ ‐$ ‐$
7,067,526 ‐ ‐ ‐ ‐ ‐ ‐
‐ 305,164 471,975 472,941 508,374 542,543 664,254
‐ 7,247,383 7,378,411 9,687,736 11,474,700 12,115,436 12,970,670
7,341,252$ 7,552,547$ 7,850,386$ 10,160,677$ 11,983,074$ 12,657,979$ 13,634,924$
‐$ ‐$ ‐$ ‐$ ‐$ ‐$ ‐$
8,094,802 ‐ ‐ ‐ ‐ ‐ ‐
1,927,247 ‐ ‐ ‐ ‐ ‐ ‐
4,945,265 ‐ ‐ ‐ ‐ ‐ ‐
‐ ‐ ‐ 14,986 16,055 11,225 ‐
‐ 16,855,664 15,568,787 14,859,784 12,504,001 11,791,605 18,250,934
‐ 2,263,088 3,217,309 4,020,435 4,457,233 2,801,857 3,260,236
‐ 417,479 428,823 670,223 905,166 1,156,788 1,597,773
‐ (382,937) (498,110) (601,324) (752,925) (352,684) (617,329)
14,967,314$ 19,153,294$ 18,716,809$ 18,964,104$ 17,129,530$ 15,408,791$ 22,491,614$
150
Fiscal Year Fiscal Year Fiscal Year
2007 2008 2009
REVENUES
Taxes 11,553,044$ 12,137,977$ 12,405,880$
City gas tax *‐ ‐ ‐
Franchise fees 3,835,007 4,551,169 3,887,078
Special assessments 163,379 120,678 87,208
Licenses and permits 3,011,348 1,871,841 1,282,438
Intergovernmental revenues 5,970,228 7,807,667 7,560,542
Charges for service 3,989,491 3,469,358 2,536,590
Fines and forfeitures 850,335 847,069 804,128
Interest earnings 1,507,065 1,475,808 930,382
Miscellaneous 283,712 747,532 513,392
Total revenues 31,163,609 33,029,099 30,007,640
EXPENDITURES
Current operating:
Community services 11,918,362 13,801,110 18,214,907
Public works 2,383,009 2,757,289 3,463,390
Community development 4,772,780 5,191,797 7,184,355
Policy and administration 4,717,967 397,510 907,661
Debt service:
Principal 166,571 922,907 794,853
Interest 630,916 454,403 530,403
Refunded bonds ‐ ‐ ‐
Refunding bond issuance cost ‐ ‐ ‐
Capital outlay 3,543,422 6,319,092 3,940,781
Total expenditures 28,156,027 29,844,108 35,833,344
Excess (deficiency) of revenues
over (under) expenditures 3,007,582 3,184,991 (5,825,705)
OTHER FINANCING SOURCES (USES)
Proceeds from bond / long‐term note ‐ ‐ ‐
Operating transfers in 2,667,149 4,896,127 3,342,328
Operating transfers out (2,667,149) (9,299,491) (2,357,267)
Resources provided by other funds ‐ ‐ ‐
Total other financing sources (uses)‐ (4,403,364) 985,061
Net change in fund balances 3,007,582$ (1,218,373)$ (4,840,644)$
Debt services as a percentage of non‐capital
3.35%6.22%4.34%
Source: Comprehensive Annual Financial Report of the City.
CITY OF TIGARD, OREGON
CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
for the last ten fiscal years
(modified accrual basis of accounting)
* City gas tax was broken out of intergovernmental revenues beginning in fiscal year 2013.
expenditures
151
Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year Fiscal Year
2010 2011 2012 2013 2014 2015 2016
16,078,788$ 16,753,457$ 17,767,128$ 18,208,253$ 18,822,449$ 19,575,665$ 20,191,927$
‐ ‐ ‐ 830,031 638,852 558,740 712,408
4,548,520 4,375,420 4,880,635 5,724,192 5,542,647 5,691,960 5,732,448
284,202 40,164 38,776 43,170 258,831 35,359 65,243
1,229,880 2,590,516 2,444,551 3,175,118 3,098,875 4,030,120 5,751,472
6,358,393 9,834,646 6,586,757 6,040,986 6,386,961 6,370,732 6,684,667
3,083,087 3,127,307 3,059,653 6,632,779 5,937,889 5,303,984 10,974,400
915,524 907,216 1,092,296 1,038,948 929,293 924,266 972,560
300,126 287,284 262,080 254,237 424,221 434,401 653,879
249,180 47,489 633,575 206,443 312,815 413,736 220,894
33,047,700 37,963,499 36,765,451 42,154,157 42,352,833 43,338,963 51,959,898
19,418,498 19,182,018 19,638,469 18,636,382 19,420,335 20,325,635 20,784,186
5,129,767 6,059,692 6,354,390 6,551,980 6,914,185 7,512,446 7,606,128
4,674,008 3,975,257 3,902,223 3,937,089 4,219,481 4,640,737 6,981,903
787,209 711,743 819,034 711,385 701,172 778,840 831,876
875,513 2,590,456 1,894,125 1,992,500 2,445,993 2,117,045 2,361,892
557,061 67,294 1,652,691 1,264,795 1,178,637 1,118,238 1,059,733
‐ 8,836,046 ‐ ‐ ‐ ‐ ‐
‐ 81,236 ‐ ‐ ‐ ‐ ‐
7,373,043 19,247,942 4,037,766 6,357,256 7,657,993 8,924,317 6,200,291
38,815,099 60,751,684 38,298,698 39,451,387 42,537,796 45,417,258 45,826,009
(5,767,399) (22,788,185) (1,533,247) 2,702,770 (184,963) (2,078,295) 6,133,889
7,250,000 26,214,495 ‐ ‐ ‐ 1,300,000 1,650,000
4,965,010 16,977,142 6,969,663 4,735,619 6,420,053 6,178,215 6,328,818
(3,688,210) (16,006,177) (5,575,062) (4,880,803) (6,247,267) (6,445,754) (6,102,439)
‐ ‐ ‐ ‐ ‐ ‐ 49,500
8,526,800 27,185,460 1,394,601 (145,184) 172,786 1,032,461 1,925,879
2,759,401$ 4,397,275$ (138,646)$ 2,557,586$ (12,177)$ (1,045,834)$ 8,059,768$
4.71%8.88% 11.55% 10.84% 10.44%8.77%8.55%
152
Fiscal
Year Ended
June 30
Charges
for
Services
Operating
Grants and
Contributions
Capital
Grants and
Contributions Taxes
Franchise
Fees
2007 7,145,890$ 1,537,714$ 2,596,223$ 11,552,817$ 3,835,007$
2008 5,402,574 739,171 3,103,521 12,237,185 4,551,169
2009 3,846,808 153,447 199,112 12,526,541 3,887,078
2010 3,583,366 199,506 305,398 16,070,846 4,548,520
2011 4,852,985 6,516,004 230,500 13,604,285 4,375,420
2012 4,875,400 6,952,717 1,049,774 15,182,467 4,880,635
2013 7,058,395 6,924,053 2,173,900 15,338,744 5,855,956
2014 6,222,103 6,318,382 1,804,398 15,796,663 5,542,647
2015 7,153,848 6,508,556 2,021,422 16,523,361 5,687,456
2016 9,544,047 7,756,718 11,785,524 17,177,591 5,734,540
Fiscal
Year Ended
June 30
Charges
for
Services
Operating
Grants and
Contributions
Capital
Grants and
Contributions Taxes
Franchise
Fees
2007 9,168,447$ ‐$ 3,886,120$ ‐$ ‐$
2008 10,918,431 ‐ 136,331 ‐ ‐
2009 10,251,204 ‐ 834,660 ‐ ‐
2010 10,825,510 ‐ 1,022,045 ‐ ‐
2011 12,265,692 ‐ 4,583,764 ‐ ‐
2012 15,322,964 ‐ 2,871,726 ‐ ‐
2013 18,740,545 ‐ 1,675,987 ‐ ‐
2014 20,446,159 ‐ 1,111,346 ‐ ‐
2015 23,477,213 ‐ 2,066,696 ‐ ‐
2016 25,768,181 ‐ 5,806,590 ‐ ‐
Source: Comprehensive Annual Financial Report of the City ‐ Statement of Activities.
Program Revenues
CITY OF TIGARD, OREGON
GOVERNMENTAL REVENUES
For the last ten fiscal years
CITY OF TIGARD, OREGON
BUSINESS‐TYPE REVENUES
For the last ten fiscal years
Program Revenues
153
Intergovernmental
Revenues
Interest
Earnings
Donated
Assets
Gain (Loss) on
Disposition of
Capital Assets Miscellaneous Total
1,836,291$ 2,599,087$ ‐$ ‐$ 449,579$ 31,552,608$
2,912,647 1,503,619 ‐ ‐ (2,286,467) 28,163,419
8,925,520 947,247 ‐ ‐ 626,075 31,111,828
6,993,245 308,853 ‐ ‐ 376,884 32,386,618
2,838,802 296,964 ‐ ‐ 5,284,426 37,999,386
4,798,949 283,273 ‐ ‐ 1,583,989 39,607,204
2,500,240 248,812 ‐ ‐ 316,508 40,416,608
2,955,652 421,211 ‐ ‐ 776,154 39,837,210
3,004,341 434,401 ‐ (25,998) 273,152 41,580,539
2,840,903 688,087 ‐ ‐ 228,779 55,756,189
Intergovernmental
Revenues
Interest
Earnings
Donated
Assets
Gain (Loss) on
Disposition of
Capital Assets Miscellaneous Total
‐$ 1,050,352$ ‐$ ‐$ 147,310$ 14,252,229$
‐ 1,039,593 ‐ ‐ 150,015 12,244,370
‐ 649,231 ‐ ‐ 105,567 11,840,662
‐ 153,300 ‐ ‐ 204,427 12,205,282
‐ 115,828 ‐ ‐ 3,269 16,968,553
‐ 73,228 ‐ ‐ 155,164 18,423,082
‐ 114,661 ‐ ‐ 157,360 20,688,553
‐ 270,415 ‐ ‐ 144,767 21,972,687
‐ 131,485 ‐ ‐ 177,903 25,853,297
127,148 302,890 ‐ ‐ 193,645 32,198,454
General Revenues
General Revenues
154
Fiscal
Year Ended Community Community Policy and
June 30 Services Public Works Development Administration
2007 11,656,248$ 2,383,009$ 4,714,636$ 4,398,213$
2008 13,678,913 2,373,710 2,373,710 3,992,478
2009 18,365,997 2,468,981 7,238,839 5,997,644
2010 19,832,642 8,563,893 4,846,494 1,511,956
2011 19,987,961 10,911,875 4,159,289 1,825,398
2012 20,025,189 12,489,448 4,709,750 2,117,198
2013 19,085,777 8,585,063 3,988,011 1,339,254
2014 (Restated)23,078,512 8,399,436 4,267,328 1,732,016
2015 18,542,379 10,408,399 4,688,686 1,323,435
2016 25,089,790 10,865,800 7,030,142 1,226,166
Fiscal
Year Ended
June 30 Sewer Stormwater Water Total
2007 1,461,458$ 1,533,391$ 7,452,480$ 10,447,329$
2008 1,963,223 1,585,105 6,792,833 10,341,161
2009 1,597,413 1,920,640 7,624,478 11,142,531
2010 1,379,105 2,061,622 7,880,598 11,321,325
2011 1,386,597 1,667,699 6,996,463 10,050,759
2012 1,743,929 1,649,718 7,807,706 11,201,353
2013 2,114,054 2,045,399 11,989,337 16,148,790
2014 2,617,625 1,958,551 11,730,347 16,306,523
2015 2,518,708 2,077,589 10,839,483 15,435,780
2016 2,536,988 2,123,162 14,720,167 19,380,317
Source: Comprehensive Annual Financial Report of the City.
For the last ten fiscal years
CITY OF TIGARD, OREGON
GOVERNMENTAL EXPENSES BY FUNCTION
For the last ten fiscal years
CITY OF TIGARD, OREGON
BUSINESS‐TYPE EXPENSES BY FUNCTION
155
Interest on
Long‐Term
Debt Total
153,319$ 23,305,425$
526,825 22,945,636
526,825 34,598,286
548,987 35,303,972
1,214,420 38,098,943
1,125,259 40,466,844
1,226,774 34,224,879
1,147,024 38,624,316
1,185,507 36,148,406
958,204 45,170,102
156
Fiscal Licenses Inter‐
Year Ended Franchise and governmental
June 30 Taxes Fees Permits Revenues
2007 11,553,044$ 3,835,007$ 3,011,348$ 5,970,228$
2008 12,137,977 4,551,169 1,871,841 847,069
2009 12,405,880 3,887,078 1,282,438 7,560,542
2010 16,078,788 4,548,520 1,229,880 6,358,393
2011 16,753,457 4,375,420 2,590,516 9,834,646
2012 17,767,128 4,880,635 2,444,551 6,586,757
2013 18,208,253 5,724,192 3,175,118 6,871,017
2014 19,720,132 5,542,647 3,098,875 6,386,961
2015 19,575,665 5,691,960 4,030,120 6,929,472
2016 20,904,335 5,732,448 5,751,472 6,684,667
* Includes special assessments collections, interest earnings, and other revenues.
Information derived from Comprehensive Annual Financial Reports for all Governmental Fund Types
CITY OF TIGARD, OREGON
GENERAL GOVERNMENTAL REVENUES BY SOURCES ‐
BUDGETARY BASIS
For the last ten fiscal years
157
Charges
For Fines and Miscellaneous
Services Forfeitures Revenues *Total
3,989,491$ 850,335$ 1,954,156$ 31,163,609$
1,475,808 847,069 2,344,018 24,074,951
2,536,590 804,128 1,530,983 30,007,640
3,083,087 915,524 833,508 33,047,700
3,127,307 907,216 374,937 37,963,499
3,059,653 1,092,296 934,431 36,765,451
6,632,779 1,038,948 503,850 42,154,157
5,937,889 929,293 737,036 42,352,833
5,303,984 924,266 883,496 43,338,963
10,974,400 972,560 940,016 51,959,898
158
City‐Wide
Support
Fiscal Public Works Functions,
Year Ended Community and Community Policy and Capital Projects Debt
June 30 Services Development Administration and Other Service Total
2007 11,918,362$ 7,155,789$ 4,717,967$ 3,566,422$ 2,297,487$ 29,656,027$
2008 13,801,110 7,949,086 397,510 6,319,092 1,377,310 29,844,108
2009 18,214,907 10,647,745 1,704,656 3,940,781 1,325,256 35,833,344
2010 19,418,498 9,803,775 787,209 7,373,043 1,432,574 38,815,099
2011 19,182,018 10,034,949 711,743 19,247,942 11,575,032 60,751,684
2012 19,638,468 10,256,613 819,034 4,037,766 3,546,816 38,298,697
2013 18,636,382 10,489,069 711,385 6,357,256 3,257,295 39,451,387
2014 19,420,335 11,133,666 701,172 7,657,993 3,624,630 42,537,796
2015 20,325,635 12,153,183 778,840 8,924,317 3,235,283 45,417,258
2016 20,784,186 14,588,031 831,876 6,200,291 3,421,625 45,826,009
Information derived from Comprehensive Annual Financial Reports for all Governmental Fund Types
CITY OF TIGARD, OREGON
GENERAL GOVERNMENTAL EXPENDITURES BY FUNCTION ‐
BUDGETARY BASIS
For the last ten fiscal years
159
Fiscal Assessed
Year Total Estimated Real to Value
Ended Personal Public Utility Total Assessed Direct Market Value as a %
June 30 Real Property Property Property Value Tax Rate* (RMV) of RMV
2007 3,932,173,130$ 229,401,995$ 183,090,030$ 4,344,665,155$ 2.73$ 7,152,421,012$ 60.74%
2008 4,104,676,710 234,099,260 233,581,850 4,572,357,820 2.75 7,449,594,674 61.38%
2009 4,306,936,640 247,691,980 187,315,080 4,741,943,700 2.70 8,161,684,333 58.10%
2010 4,476,784,320 249,636,920 187,721,070 4,914,142,310 2.78 7,738,192,442 63.51%
2011 4,605,287,760 236,758,507 186,625,460 5,028,671,727 2.79 7,260,251,256 69.26%
2012 4,740,820,190 233,150,042 185,094,100 5,159,064,332 3.86 6,916,823,794 74.59%
2013 4,879,417,110 234,122,196 168,258,100 5,281,797,406 4.28 6,727,550,189 78.51%
2014 5,066,140,190 235,966,170 165,074,260 5,467,180,620 3.44 7,032,753,815 77.74%
2015 5,269,294,630 252,215,379 188,500,300 5,710,010,309 4.24 7,699,660,882 74.16%
2016 5,468,508,420 257,861,916 181,220,400 5,907,590,736 4.69 8,082,751,732 73.09%
* per $1,000 of assessed value/including phase in rates
Source: Washington County Assessment and Taxation
Assessed Value
CITY OF TIGARD, OREGON
MARKET VALUE AND ASSESSED VALUE OF TAXABLE PROPERTY
For the last ten fiscal years
160
Fiscal Total Metzger
Year Ended Perm Debt Urban City of Water District Washington
June 30 Rate Svc Renewal Phase In Tigard Combined County
2007 2.51$ 0.22$ ‐$ ‐$ 2.73$ ‐$ 2.45$
2008 2.51 0.23 0.01 ‐ 2.75 ‐ 2.44
2009 2.51 0.18 0.01 ‐ 2.70 ‐ 2.39
2010 2.51 0.21 0.06 ‐ 2.78 ‐ 2.98
2011 2.51 0.21 0.07 ‐ 2.79 ‐ 2.98
2012 2.51 0.45 0.06 0.83 3.85 ‐ 2.97
2013 2.51 0.44 0.06 1.27 4.28 ‐ 2.96
2014 2.51 0.44 0.06 0.43 3.44 ‐ 2.96
2015 2.51 0.42 0.07 1.24 4.24 ‐ 2.83
2016 2.51 0.42 0.07 1.68 4.69 ‐ 2.83
Direct Rates
City of Tigard
CITY OF TIGARD, OREGON
PROPERTY TAX RATES ‐ DIRECT AND OVERLAPPING GOVERNMENTS
(Dollars per $1,000 of Assessed Value rounded to the nearest cent)
For the last ten fiscal years
Taxes levied may be composed of three types of levies: (1) a base operating levy, (2) a special operating levy approved by the
voters in the district and (3) a debt service levy. Each district with outstanding General Obligation bonded debt is required to
levy taxes sufficient with other available funds, to meet principal and interest payments when due.
Assessment and tax rolls are prepared and maintained by Washington County for all taxing districts with territory in the
County. The County collects all taxes against property in the County (except assessments for improvements charged to
benefited property) and distributes taxes collected at least monthly. No charges are made to the taxing districts for these
services.
NOTE: ‐Not all taxing districts are charged on each parcel of property, actual rates on tax bills are a combination of the
above depending upon the location of the parcel and the school district and sewer and water district boundaries. Total
overlapping tax rates for property in Tigard in 2015 ranged from $13.31/$1,000 to $16.60/$1,000.
Source: Washington County Department of Assessment and Taxation.
161
Tigard/Washington
Tualatin Beaverton Tualatin County Hillsboro Total Direct
School School Valley Rural Fire Portland School Other &
District District Fire & Rescue District Community District Taxing Overlapping
No. 23‐J No. 48‐J District No. 2 College No. 1‐J Agencies Rates
7.67$ 6.29$ 1.82$ 1.12$ 0.49$ ‐$ 0.60$ 23.17$
7.59 6.74 1.56 1.12 0.28 ‐ 0.61 23.09
7.52 6.56 1.54 1.12 0.50 ‐ 0.70 23.03
7.65 6.88 1.89 1.69 0.63 ‐ 0.75 25.25
7.37 6.78 1.88 1.69 0.64 ‐ 0.81 24.94
7.44 6.86 1.92 1.69 0.60 7.47 1.88 34.68
7.38 6.77 1.91 1.69 0.66 7.50 0.72 33.87
7.41 8.05 1.91 1.69 0.73 7.41 0.78 34.38
7.43 8.04 1.88 ‐ 0.72 ‐ 0.77 25.91
7.43 7.96 2.10 ‐ 0.58 ‐ 0.70 26.28
Overlapping Rates
162
Percentage Percentage
Taxable of Total City Taxable of Total City
Taxpayer Assessed Value Rank Assessed Value Assessed Value Rank Assessed Value
Pacific Realty Associates 213,083,534$ 1 4.03% 162,020,499$ 1 3.73%
PPR Washington Square LLC 142,625,935 2 2.70% 104,186,195 2 2.76%
Lincoln Center LLC 88,793,049 3 1.68% 74,446,002 3 1.71%
ICON Owner Pool 1 West LLC 41,543,950 4 0.79%
Sprint Communications 42,900,000 5 0.81% 40,494,200 5 0.93%
Comcast Corporation 36,462,500 6 0.69%
Portland General Electric 35,640,000 7 0.67% 27,368,574 7 0.63%
ROIC Oregon LLC 31,827,300 8 0.60%
Walmart Real Estate Business Trust 22,471,900 9 0.43%
Macy's Department Stores 26,145,720 10 0.50%
Robinson, Constance (Trust)24,570,740 8 0.57%
Verizon Northwest Inc 52,992,508 4 1.22%
Northwest Natural Gas 24,180,600 9 0.56%
Calwest Industrial Holdings, LLC 33,943,230 6 0.78%
Nesbitt Portland Property LLC 22,689,320 10 0.52%
Total 681,493,888$ 12.90% 566,891,868$ 13.41%
Source: Washington County Assessment & Taxation records.
2016 2007
CITY OF TIGARD, OREGON
PRINCIPAL PROPERTY TAXPAYERS
For current and nine years ago
163
Fiscal Percent Percent
Year Percent Delinquent Total Tax Outstanding Delinquent
Ended Total Tax Current Tax of Levy Tax Total Tax Collections Delinquent Taxes To
June 30 Levy Collections Collections Collections Collections To Tax Levy Taxes Tax Levy
2007 11,871,043$ 11,514,034$ 96.99% 210,217$ 11,724,251$ 98.76% 346,648$ 2.92%
2008 12,528,573 11,895,526 94.95% 229,506 12,125,032 96.78% 425,546 3.40%
2009* 12,853,710 12,119,732 94.29% 260,455 12,380,187 96.32% 549,855 4.28%
2010 13,638,935 12,877,595 94.42% 331,616 13,209,211 96.85% 597,164 4.38%
2011 13,995,535 13,249,558 94.67% 385,213 13,634,771 97.42% 567,082 4.05%
2012 15,594,066 14,835,580 95.14% 240,430 15,076,010 96.68% 737,903 4.73%
2013 15,878,914 15,161,562 95.48% 232,090 15,393,652 96.94% 704,610 4.44%
2014 16,326,904 15,532,675 95.14% 318,264 15,850,939 97.08% 740,392 4.53%
2015 16,999,999 16,251,269 95.60% 302,878 16,554,147 97.38% 713,889 4.20%
2016 17,261,106 16,496,169 95.57% 236,347 16,732,516 96.94% 775,731 4.49%
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.
*Taxes were levied and collected for the City Center Development Agency, the City of Tigard's Urban Renewal District,
beginning in fiscal year 2008‐2009.
Source: Washington County Property Tax Schedule.
CITY OF TIGARD, OREGON
PROPERTY TAX LEVIES AND COLLECTIONS
For the last ten fiscal years
164
Fiscal Current Ratio of Total
Year Ended Assessments Assessments Collections Assessments Outstanding
June 30 Due (1)Collected (2)to Amount Due Added Assessments
2007 937,916$ 163,379$ 17.42%‐$ 1,461,838$
2008 116,194 120,678 103.86%‐ 1,266,871
2009 23,100 87,208 377.52%‐ 1,178,745
2010 74,400 284,202 381.99%‐ 968,943
2011 179,200 40,164 22.41%‐ 854,377
2012 38,776 28,365 73.15%‐ 826,012
2013 62,500 118,888 190.22% 196,615 903,739
2014 457,983 457,983 100.00%‐ 445,756
2015 72,045 72,045 100.00%‐ 373,711
2016 77,392 77,392 100.00%‐ 296,319
(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.
CITY OF TIGARD, OREGON
SPECIAL ASSESSMENT COLLECTIONS
For the last ten fiscal years
165
Percent of
Fiscal Total General Debt Service to
Year Ended Total Debt Governmental Total General
June 30 Principal Interest Service Expenditures Expenditures
2007 1,666,571$ 630,916$ 2,297,487$ 29,656,027$ 7.75%
2008 922,907 454,403 1,377,310 29,844,108 4.62%
2009 794,853 530,403 1,325,256 35,833,344 3.70%
2010 875,513 557,061 1,432,574 38,815,099 3.69%
2011 2,590,456 67,294 2,657,750 60,751,684 4.37%
2012 1,894,126 1,652,691 3,546,817 38,298,698 9.26%
2013 1,992,500 1,264,795 3,257,295 39,451,387 8.26%
2014 2,445,993 1,178,637 3,624,630 42,537,796 8.52%
2015 2,117,045 1,118,238 3,235,283 45,417,258 7.12%
2016 2,361,892 1,059,733 3,421,625 45,829,009 7.47%
Source: Comprehensive Annual Financial Report of the City.
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
166
Gross General Less Debt Ratio of Net
Fiscal Obligation Service Net Bonded Debt Net Bonded
Year Ended Assessed Bonded Debt Monies Bonded to Assessed Debt Per
June 30 Population Value Outstanding Available Debt Value Capita
2007 46,400 4,344,665,155$ 11,066,369$ 1,849,770$ 9,216,599$ 0.21% 198.63$
2008 46,715 4,572,357,820 10,547,958 296,805 10,251,153 0.22% 219.44
2009 47,460 4,741,943,700 10,011,895 258,769 9,753,126 0.21% 205.50
2010 47,595 4,914,142,310 16,708,100 101,190 16,606,910 0.34% 348.92
2011 48,035 5,028,671,727 25,655,000 175,458 25,479,542 0.51% 530.44
2012 48,415 5,159,064,332 30,735,000 263,629 30,471,371 0.59% 629.38
2013 48,695 5,281,797,406 29,397,612 592,612 28,805,000 0.55% 591.54
2014 50,444 5,467,180,620 27,504,927 532,328 26,972,599 0.49% 534.70
2015 50,787 5,710,010,309 24,990,106 722,540 24,267,566 0.43% 477.83
2016 51,253 5,907,590,736 22,862,084 971,579 21,890,505 0.37% 427.11
Source: City budget documents, Comprehensive Annual Financial Reports of the city and Washington Department of
Assessment and Taxation.
CITY OF TIGARD, OREGON
RATIO OF NET GENERAL BONDED DEBT TO ASSESSED VALUE AND
NET BONDED DEBT PER CAPITA
For the last ten fiscal years
167
Percent Amount
Applicable Applicable
Net Debt Inside City of Inside City of
Jurisdiction Outstanding Tigard *Tigard
Tigard/Tualatin School District #23‐J 86,394,152$ 46.33%40,030,644$
Metro 199,855,000 3.36%6,712,330
Beaverton School District #48 808,153,784 3.66%29,595,400
Portland Community College 335,095,000 4.23%14,186,582
Washington County 53,679,570 10.30%5,529,425
Tualatin Valley Fire & Rescue District 52,000,000 11.77% 6,119,308
Sub‐Total of Overlapping Debt 1,535,177,506 102,173,689
City of Tigard 24,358,693 100.00%24,358,693
Total for Overlapping Debt 1,559,536,199$ 126,532,382$
* The City of Tigard does not calculate this percentage; it is provided by the State of Oregon.
Source: Oregon State Treasury Debt Management Division.
CITY OF TIGARD, OREGON
COMPUTATION OF DIRECT AND OVERLAPPING DEBT
June 30, 2016
168
2007 2008 2009
Debt limit 214,572,630$ 238,791,040$ 244,850,530$
Total net debt applicable to limit 9,724,836 10,547,958 10,011,895
Legal debt margin 204,847,794$ 228,243,082$ 234,838,635$
Total net debt applicable to the limit
as a percentage of debt limit 4.53%4.42% 4.09%
Note: Pursuant to Oregon Revised Statutes 223.295 outstanding general obligation debt is
limited to 3% real market value.
Source: Washington County Department of Assessment and Taxation.
CITY OF TIGARD, OREGON
COMPUTATION OF LEGAL DEBT MARGIN
For the last ten fiscal years
169
2010 2011 2012 2013 2014 2015 2016
232,145,773$ 217,807,538$ 207,504,714$ 201,826,506$ 210,982,614$ 230,989,826$ 242,482,552$
16,708,100 32,300,000 30,735,000 28,800,576 26,820,000 24,775,000 22,670,000
215,437,673$ 185,507,538$ 176,769,714$ 173,025,930$ 137,195,419$ 206,214,826$ 219,812,552$
7.20% 14.83% 14.81% 14.27%12.71% 10.73% 9.35%
Legal Debt Margin Calculation at June 30, 2016
True cash value (2015‐2016) 8,082,751,732$
Limit as a percent 3%
Debt Limit (as a percent of real market value)242,482,552
Debt applicable to limit:
Gross bonded debt 24,358,693$
Excludable debt ‐ Bancroft improvement bonds, bond premium,
capital lease and commercial bank loan (1,688,693)
Debt subject to limitation 22,670,000
Legal debt margin ‐ amount available for future indebtedness 219,812,552
Total net debt applicable to the limit as a percent of debt limit 9.35%
170
Fiscal General Bank
Year Ended Obligation Bancroft Loan Capital
June 30 Population Bonded Debt Bonded Debt Payable Lease
2007 46,400 11,066,369$ 1,345,030$ ‐$ ‐$
2008 46,715 10,547,958 1,301,230 ‐ ‐
2009 47,460 10,011,895 1,278,130 ‐ ‐
2010 47,595 16,708,100 1,203,730 ‐ ‐
2011 48,035 32,597,213 1,024,530 ‐ ‐
2012 48,415 30,735,000 966,239 ‐ ‐
2013 48,695 28,805,000 903,739 ‐ 58,074
2014 50,444 27,059,171 445,756 ‐ 58,074
2015 50,787 24,990,106 373,711 1,300,000 44,482
2016 51,253 22,862,084 296,319 1,170,000 30,290
Governmental Activities
CITY OF TIGARD, OREGON
RATIO OF DEBT BY TYPE
For the last ten fiscal years
* Revenue bonds issued for improvements to the Tigard Water Service Area (TWSA) are liabilities of the City of Tigard, but were not
issued as full faith and credit obligations. Debt service on these bonds will be paid by customers of TWSA, which includes residents in
the cities of Tigard, Durham and King City, and an unincorporated area of Washington County.
** Personal income is not available for the City of Tigard, so per capita income for Washington County is used.
Sources: City budget documents, Comprehensive Annual Financial Reports of the city and Washington County Deaprtment of
Assessment and Taxation.
171
Long‐Term Percentage
Note Payable Notes Payable Revenue Total Primary of Personal Per
Debt Debt Bonds * Government Income **Capita
1,242,187$ ‐$ ‐$ 13,653,586$ 0.96%294$
1,012,986 ‐ ‐ 12,862,174 0.90%275
777,296 2,853,868 ‐ 14,921,189 1.03%314
529,978 2,853,868 ‐ 21,295,676 1.47%447
270,925 5,953,868 ‐ 39,846,536 2.72%830
‐ 2,398,000 105,367,290 139,466,529 9.44%2,881
‐ 2,293,486 104,896,687 136,956,986 9.21%2,813
‐ 2,201,107 104,896,686 134,660,794 8.75%2,670
‐ 2,105,957 139,643,153 168,457,409 10.87%3,317
‐ 2,007,952 139,003,308 165,369,953 10.57%3,227
Business‐type Activities
172
2014 2015 2016
Gross revenues 16,079,753$ 18,944,301$ 20,918,497$
System Development Charges (SDC) related:
SDC Fund interest earnings ‐ 9,294 35,173
Reimbursement fee receipts (2)389,460 308,896 1,242,297
Improvement fee receipts (3)442,651 503,853 1,569,645
Total SDC‐related 832,111 822,043 2,847,115
Operating expense:
Salaries and wages 1,225,170 1,462,677 1,117,286
Contracted services 400,972 336,178 353,396
Water purchases 3,199,292 2,644,491 4,212,357
General, admin and other 2,548,678 2,781,892 3,111,194
Total operating expenses 7,374,112 7,225,238 8,794,233
Net revenues (including SDCs)9,537,752 12,541,106 14,971,379
Net revenues (excluding SDCs)8,705,641$ 11,719,063$ 12,124,264$
Debt service ‐ first lien bonds:
2012 bonds 4,719,850$ 4,719,850$ 4,719,850$
2015 bonds ‐ ‐ 1,378,238
Total debt service 4,719,850$ 4,719,850$ 6,098,088$
Debt service coverage ‐ first lien bonds
(excluding system development charges)1.84 2.48 1.99
(1) Revenue bonds were issued in May 2012 and February 2015. One of the debt covenants requires debt service
coverage (Net revenues divided by debt service) to be a minimum of 1.1x.
(2) Reimbursement fees may not be available to pay debt service on the 2012 Bonds until City Council takes action
to authorize that use of those fees for the projects.
(3) Improvement fees have been approved for the projects related to the Lake Oswego‐Tigard Water Partnership.
Tigard anticipated approximately 85% of the bond proceeds to be used to finance projects related to the
Partnership and approximately 15% of the bond proceeds to be used to finance projects that are not directly
related to the partnership.
CITY OF TIGARD, OREGON
COMPUTATION OF WATER REVENUE BONDS
DEBT COVERAGE
For the last three fiscal years (1)
173
Assessed Total Unemployment
Value Personal Rate
Fiscal of Taxable Income (Portland)
Year Ended Property School Per Capita (thousands Metropolitan
June 30 Population
(1)Per Capita Enrollment (2)Income (3)of dollars) (3)Area (4)
2007 46,400 93,635$ 12,100 N/A N/A 4.8%
2008 46,715 97,878 12,451 N/A N/A 5.3%
2009 47,460 99,915 12,685 N/A N/A 9.7%
2010 47,595 103,249 12,913 N/A N/A 8.4%
2011 48,035 104,688 12,688 N/A N/A 9.5%
2012 48,415 106,559 12,691 30,522 1,477,723 8.2%
2013 48,695 108,467 12,688 32,527 1,583,902 7.5%
2014 50,444 108,381 12,718 33,709 1,700,417 6.4%
2015 50,787 112,431 12,676 34,878 1,771,349 5.4%
2016 51,253 115,263 12,718 35,837 1,836,754 5.0%
Sources of Information:
(1) United States Census Bureau
(2) Tigard/Tualatin School District #23‐J ‐ City student totals not available
(3) Washington State University ‐ Northwest Income Indicators Project
(4) US Department of Labor, Bureau of Labor Statistics
CITY OF TIGARD, OREGON
DEMOGRAPHICS STATISTICS
For the last ten fiscal years
174
Percentage Percentage
of Total City of Total City
Employer Employees Rank Employment Employees Rank Employment
Tigard ‐ Tualatin School District #23‐J 779 1 2.76%779 2 2.49%
Nordstrom 422 2 1.49%461 4 1.47%
Capital One 413 3 1.46%
Macy's Department Stores 372 4 1.32%704 3 2.25%
Oregon Public Employees Retirement 364 5 1.29%347 5 1.11%
Costco Wholesale Corporation 273 6 0.97%341 6 1.09%
City of Tigard 270 7 0.96%250 9 0.80%
Gerber Legendary Blades 232 8 0.82%
Comcast 228 9 0.81%
Servicemaster Building Maintenance 220 10 0.78%
Ikon Office Solutions 272 8 0.87%
Home Depot 241 10 0.80%
Renaissance Credit Services 1,116 1 3.57%
Providence Health System 303 7 0.97%
Total 2,372 8.40%4,814 15.42%
2016 2007
CITY OF TIGARD, OREGON
PRINCIPAL EMPLOYERS
For current year and nine years ago
Source: City of Tigard Adopted Budget and Tigard Chamber of Commerce.
175
Fiscal
Year Ended Number of Number of
June 30 Permits Value Permits Value
2007 9 50,512,736$ 231 67,798,361$
2008 6 73,614,404 93 31,810,734
2009 4 1,944,775 42 9,324,154
2010 4 2,003,118 123 27,972,462
2011 5 837,655 113 28,150,102
2012 5 2,589,566 104 27,794,839
2013 8 20,053,155 174 41,954,242
2014 9 24,964,563 72 21,410,225
2015 10 31,518,023 280 45,546,665
2016 5 18,381,597 242 81,847,774
(1) From City of Tigard Building Department. Multi‐family permits are included in the number of permits issued for
residential construction.
Commercial Construction (1)Residential Construction (1)
CITY OF TIGARD, OREGON
PROPERTY VALUE AND CONSTRUCTION
For the last ten fiscal years
176
Function / Program 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
GOVERNMENTAL ACTIVITIES
Community services
Police 80.00 93.00 93.00 90.10 90.10 91.10 84.50 84.50 82.50 83.50
Library 34.20 41.90 41.90 38.80 38.80 38.80 34.80 34.80 34.80 38.30
Public works
Administration 7.60 8.85 8.85 9.35 9.75 8.75 9.00 9.20 9.20 9.00
Parks maintenance 10.75 9.75 9.75 9.75 9.75 9.75 9.75 9.75 10.75 11.67
Street maintenance 7.00 7.00 7.00 7.00 7.00 7.00 7.00 7.25 7.25 6.33
Healthy Streams ‐ ‐ ‐ ‐ ‐ ‐ 1.00 ‐ ‐ ‐
Engineering (a)10.50 10.50 10.50 11.80 11.80 11.80 12.00 13.00 14.00 14.00
Community development
Administration 2.00 3.00 3.00 2.00 2.00 3.00 2.00 2.00 2.00 3.00
Building inspection 19.80 17.80 6.20 6.24 7.20 8.10 7.80 8.80 9.00 9.00
Development Services 8.20 10.20 10.20 7.56 7.80 5.90 4.80 3.80 3.80 3.80
Community Planning 8.00 7.00 7.00 7.00 7.00 9.00 9.00 9.00 9.00 9.00
Development Engineering (b)5.00 5.00 4.00 1.60 ‐ ‐ ‐ ‐ ‐ ‐
Economic Development (c)‐ 1.00 1.00 1.00 1.00 1.50 1.00 2.00 2.00 2.00
Policy and Administration
City management 3.80 5.30 5.30 4.50 4.50 4.20 4.00 4.00 5.00 5.50
Human resources 4.00 5.00 5.00 5.00 5.00 5.00 4.80 4.80 4.50 4.80
Information technology 8.00 7.00 7.00 7.00 7.00 7.00 6.30 5.80 7.00 7.00
Risk management 2.00 2.50 2.50 2.30 2.30 2.30 2.10 2.10 2.10 2.30
Finance administration 3.00 3.00 3.00 5.30 3.00 3.00 3.00 3.00 3.00 3.00
Financial operations 10.80 5.50 5.50 4.50 4.50 4.50 4.60 4.60 4.60 4.60
Utility Billing (d) ‐ 6.50 6.50 5.50 5.50 6.30 6.50 6.80 6.80 6.80
Design & Communication 7.30 4.50 4.50 3.05 3.05 3.25 3.05 3.05 3.05 3.05
Contracts & Purchasing (e)‐ ‐ ‐ ‐ 2.30 2.30 1.80 2.00 2.00 2.00
City Recorder/Records (f)‐ 3.00 3.00 3.25 3.25 3.35 4.15 4.15 4.15 3.35
Municipal court 3.00 3.25 3.25 3.50 3.75 3.75 3.65 3.65 3.65 3.65
Fleet maintenance (g)2.50 2.50 2.50 2.00 2.60 2.60 1.50 0.95 1.95 1.80
Property management (g)3.25 4.25 4.25 4.25 4.25 4.25 3.75 3.85 4.85 5.20
BUSINESS‐TYPE ACTIVITIES
Public works
Sanitary sewer 7.35 5.35 5.35 5.25 5.25 6.25 6.25 6.50 5.50 6.00
Stormwater 6.35 7.10 7.10 7.00 7.00 6.25 5.25 5.50 6.50 7.00
Water 17.30 16.30 16.30 13.00 12.00 12.75 12.50 12.00 13.00 13.00
Total 271.70 296.05 283.45 267.60 267.45 271.75 255.85 256.85 261.95 268.65
Source: City of Tigard Finance Department
(a)Engineering was budgeted with Development Services until FY 2009‐10.
(b)Development Engineering was budgeted with Capital Construction & Transportation as Engineering until FY 2006‐07.
(c)Downtown Redevelopment was budgeted with Long range planning until FY 2008‐09.
(d)Utility Billing was budgeted with Financial operations until FY 2007‐08.
(e)Contracts & Purchasing was budgeted with Finance administration until FY 2010‐2011.
(f)City Recorder/Records was budgeted with Office services until FY 2008‐09.
(g) Fleet/Property Management budgeted with Public Works until FY 2015‐16.
CITY OF TIGARD, OREGON
FULL‐TIME EQUIVALENT CITY GOVERNMENT EMPLOYEES BY FUNCTION
For the last ten fiscal years
177
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Functions/Programs 2007 2008 2009
GOVERNMENTAL ACTIVITIES
Community services
Police‐number of traffic citations issued 6,979 6,383 6,925
Police‐number of calls for service 51,000 51,377 50,115
Library‐number of items in collection 156,500 176,210 193,710
Library‐materials checked out each year 918,540 1,131,093 1,249,462
Public works
Acres of park land maintained 180 184 189
Crack sealing completed annually (linear feet)160,000 160,000 160,000
Vehicles maintained to industry standard 150 153 158
Community development
Number of inspections (Tigard)23,000 23,500 7,778
Number of permits (all types) in Tigard 4,500 4,850 2,278
Number of development applications 507 450 508
Policy and administration
Number of job applications 2,000 2,300 2,215
Laptops and computers to maintain 540 435 451
Insured value of city's real property (in millions)46 74 78
Number of utility bills sent **113,502 115,574 114,500
Average fine amount collected 90 94 90
BUSINESS‐TYPE ACTIVITIES
Sewer
Miles of sewer lines cleaned (annual goal)52 53 47
Miles of sewer lines video inspected (annual goal)22 23 23
Stormwater
Miles of stormwater lines cleaned 30 44 30
Number of water quality facilities***73 75 78
Total number of catch basins cleaned***4,150 4,915 4,437
Water
Number of accounts 17,400 17,870 17,900
**City of Tigard started monthly utility billing in January 2011.
***GIS data improvement
Source: City of Tigard Finance Department
CITY OF TIGARD, OREGON
OPERATING INDICATORS BY FUNCTION/PROGRAM
For the last ten fiscal years
178
2010 2011 2012 2013 2014 2015 2016
9,101 7,021 8,308 8,939 7,177 6,462 5,745
51,158 49,358 52,226 52,420 48,840 47,247 43,299
216,110 237,110 244,154 250,454 245,000 248,225 253,725
1,462,304 1,507,248 1,522,422 1,459,334 1,385,376 1,280,376 1,243,774
189 233 243 248 253 255 301
160,000 160,000 160,000 160,000 160,000 160,000 160,000
160 149 149 148 157 160 146
8,700 9,990 10,000 12,500 12,382 9,009 10,814
3,025 3,220 3,047 3,049 3,404 2,958 3,860
370 370 381 357 341 251 388
1,900 1,000 1,100 2,500 2,000 2,100 2,200
488 491 491 503 523 525 530
82 82 82 82 82 82 82
116,800 176,274 236,389 238,400 241,500 244,000 256,500
90 126 126 140 140 160 160
41 41 41 42 42 42 42
23 23 23 24 21 21 24
31 31 31 32 21 21 21
72 90 90 125 126 126 126
4,437 4,368 4,368 2,768 2,840 2,840 2,917
17,900 18,129 18,265 18,350 19,207 19,737 20,500
179
Functions/Programs 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
GOVERNMENTAL ACTIVITIES
Community services
Police stations 1 1 1 1 1 1 1 1 1 1
Library buildings 1 1 1 1 1 1 1 1 1 1
Public works
Number of parks 13 13 14 14 14 18 20 20 20 20
Acres of park and greenspaces 348.0 348.0 396.0 396.0 435.4 447.0 493.0 499.0 514.0 514.0
Miles of streets 150.0 150.0 150.0 150.0 150.0 150.0 150.0 150.0 150.0 150.0
Community development
See Note
Policy and administration
City‐owned building facilities 5 5 5 5 5 5 5 5 5 5
BUSINESS‐TYPE ACTIVITIES
Sewer
Total miles of sanitary sewer lines 160.4 160.4 161.0 162.8 164.5 166.1 166.9 166.9 166.9 168.0
Stormwater
Total miles of stormwater lines* 130.9 131.0 131.0 131.0 131.0 131.0 126.0 130.0 130.0 130.0
Number of water quality facilities* 77 77 79 79 92 92 125 126 126 126
Water
Water mains in miles 225.1 225.1 225.1 235.0 245.0 248.0 248.0 248.0 248.0 248.0
Number of reservoirs 13 13 13 13 13 13 13 13 13 14
* GIS data improvement
Source: City of Tigard Finance Department
Note: No capital assets indicators are available for development services functions.
CITY OF TIGARD, OREGON
CAPITAL ASSETS STATISTICS BY FUNCTION
For the last ten fiscal years
180
Date of Incorporation 1961
Form of government Mayor / Council with a City Manager as the administrative
head of the government of the City
Area (Square Miles ‐ incorporated area)13
Miles of streets 150
Police protection:
‐ Number of stations 1
‐ Number of sworn police officers 67
Education:
‐ Attendance centers 17
‐ Number of teachers\FTE 644
‐ Number of students 12,676
Building Permits issued (2015‐2016)795
Recreation and culture:
‐ Number of parks 20, totaling 301 acres
‐ Greenways 247 acres
‐ Number of libraries 1
‐ Number of volumes (estimated)256,500
Employees:
‐ Classified service (union)176
‐ Unclassified (non‐union)93
Information obtained from the various departments of the City of Tigard, Oregon and Tigard/Tualatin School District #23‐J
City student totals not available.
June 30, 2016
CITY OF TIGARD, OREGON
MISCELLANEOUS STATISTICAL DATA
181
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Audit Comments and
Disclosure Requirements
REPORT OF INDEPENDENT AUDITORS ON COMPLIANCE AND ON INTERNAL CONTROL
OVER FINANCIAL REPORTING BASED ON AN AUDIT OF FINANCIAL STATEMENTS
PERFORMED IN ACCORDANCE WITH OREGON MINIMUM AUDIT STANDARDS
City Council
City of Tigard, Oregon
We have audited the basic financial statements of the City of Tigard, Oregon (City) as of and for the year
ended June 30, 2016 and have issued our report thereon dated December 20, 2016. We conducted our audit in
accordance with auditing standards generally accepted in the United States of America and the provisions of
the Minimum Standards for Audits of Oregon Municipal Corporations, prescribed by the Secretary of State.
Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the
basic financial statements are free from material misstatement.
Compliance
As part of obtaining reasonable assurance about whether the City’s basic financial statements are free from
material misstatement, we performed tests of its compliance with certain provisions of laws, regulations,
contracts, grants, including provisions of Oregon Revised Statutes as specified in Oregon Administrative
Rules OAR 162-010-0000 to 162-010-0330, as set forth below, noncompliance with which could have a direct
and material effect on the determination of financial statement amounts:
OAR Section
Instances of Non‐
Compliance Identified?
162‐010‐0000 Preface None Noted
162‐010‐0010 Definitions None Noted
162‐010‐0020 Introduction None Noted
162‐010‐0030 General Requirements None Noted
162‐010‐0050 Financial Statements None Noted
162‐010‐0115 Required Supplementary Information (RSI)None Noted
162‐010‐0120 Other Supplementary Information None Noted
162‐010‐0130 Schedule of Revenues, Expenditures / Expenses, and Changes in Fund
Balances, / Net Assets, Budget and Actual (Each Fund)None Noted
162‐010‐0150 Schedule of Property Tax Transactions or Acreage Assessments None Noted
162‐010‐0160 Schedule of Bonded or Long‐Term Debt Transactions None Noted
162‐010‐0170 Schedule of Future Requirements for Retirement of Bonded or Long‐
Term Debt None Noted
162‐010‐0190 Other Financial or Statistical Information None Noted
162‐010‐0200 Required Disclosures and Independent Auditors Comments None Noted
162‐010‐0230 Accounting Records and Internal Control None Noted
162‐010‐0240 Public Fund Deposits None Noted
162‐010‐0250 Indebtedness None Noted
162‐010‐0260 Budget Yes
162‐010‐0270 Insurance and Fidelity Bonds None Noted
162‐010‐0280 Programs Funded from Outside Sources None Noted
162‐010‐0295 Highway Funds None Noted
162‐010‐0300 Investments None Noted
162‐010‐0310 Public Contracts and Purchasing None Noted
162‐010‐0320 Other Comments and Disclosures None Noted
182
However, providing an opinion on compliance with those provisions was not an objective of our audit and,
accordingly, we do not express such an opinion. The results of our test disclosed no instances of
noncompliance that are required to be reported under Minimum Standards for Audits of Oregon Municipal
Corporations, prescribed by the Secretary of State, except those noted below.
The City failed to list the date, time and location of its budget hearing on June 14, 2016, which is
required per Oregon budget rule 150-294-0310(b).
The City had over-expenditures of $4,296 in the Urban Forestry Fund for the year ended June 30,
2016.
Internal Control Over Financial Reporting
In planning and performing our audit, we considered the City’s internal control over financial reporting
(internal control) to determine the audit procedures that are appropriate in the circumstances for the purpose of
expressing our opinion on the financial statements, but not for the purpose of expressing an opinion on the
effectiveness of the City’s internal control over financial reporting. Accordingly, we do not express an opinion
on the effectiveness of the City’s internal control.
A deficiency in internal control exists when the design or operation of a control does not allow management
or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct
misstatements on a timely basis. A material weakness is a deficiency, or combination of deficiencies, in
internal control such that there is a reasonable possibility that a material misstatement of the entity’s financial
statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a
deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness,
yet important enough to merit attention by those charged with governance.
Our consideration of internal control over financial reporting was for the limited purpose described in the first
paragraph of this section and was not designed to identify all deficiencies in internal control that might be
deficiencies, significant deficiencies or material weaknesses. Given these limitations, during our audit we did
not identify any deficiencies in internal control over financial reporting that we consider to be material
weaknesses. However, material weaknesses may exist that have not been identified.
We noted certain additional matters that we reported to the City in a separately issued letter to management.
Purpose of this Report
The purpose of this report is solely to describe the scope of our testing of internal control and compliance and
the results of that testing, and do not provide an opinion on the effectiveness of the entity’s internal control or
on compliance. This report is an integral part of an audit performed in accordance with Minimum Standards
for Audits of Oregon Municipal Corporations, prescribed by the Secretary of State, in considering the entity’s
internal control and compliance. Accordingly, this communication is not suitable for any other purpose.
For Moss Adams LLP
Portland, Oregon
December 20, 2016
183