Loading...
HomeMy WebLinkAbout1969-1970 ~ I mr r rd iy { q ~ ~ T 11., lk l ~i Pap" x 9^~w r.._S!~. ~~'r ♦ JO e►TMy~IWCM. ww,.~~.~t,• . 4~.,r~ irk •°""'~W7. 16 JJ r r ~F'Q rye ~ y` ,F •1 1 \ J i (I " R I ~ ! , I I , I 0, , J~ ✓ 1 l'. f1 II ~ I II III ' r /!7/ ~ j ~ I I ~i I~ I ' I 11 ' , I I! 1 kj I' S ,il' I I i I~ ~II .!Ili I j I EI r~ I II, i, tr i II { I i h, l 'i l tl k + ~ li ~I I { sl 1 CLEe v sir', ( ~ ~ _ 3 I I : ' ! I ~ ~ I ~ _ I k 70 ,i, I k III I 11 iii ~ Ifl LPC+~1.t• ~0 i ^ ✓ l~l k', ~i ! , i ~i' ~ I! ~ II ; zo I~ >~z 4r I I~ ~a ! -Z9 ?cs D~1173 1 it tl , n ij f3y 1 t, t ! lj an I 22 24 n 1 ~ I rs }t~ 9GS s :3, crp /107, 1 II t 11 LS' tiT 4, es 9 1, w!, ~w jl 21 II! li { 4 ~ f 21 1~ 31 21 1 1 lil 31 III u I I i f City Of Denton, 0,111mii'imil Bnilding,"Dento7z kmi76201 ' a December 17, 1970 Mr. Jim White City Maliagcr City of Denton Denton, 'texas Dear Mr. White; The arnual Financial Report of the City of Denton, Texas for the fiscal year ended Septe, )er 30, 1970 is submitted herewith. Accounting Svstem and Reports The city's accounting records for general governmental operations are maintained on a modified cash basis, with the most important revenues tieing recorded when earned and expenditures being recorded when incurred. An exception to this is the accounting for taxes as this is on the accrual basis. Accounting records for the city's utilities and other enterprises are maintained on a full accrual basis. Budgetary control is maintained by a quarterly allotment system and the encumbrance of allotment balances with purchase orders prior to their release to vendors. Purchase orders which exceed allotment balances are not released until additional appropriations are made available. I4 The Municipal Finance Officers Association of the United States and Car is awarded the City of Denton, Texas its Certificate of Conformance for the city's 1964-65 Annual Financial Report. This certificate is awarded onli to those governmental l i units whose financial reports SLbstarntiaily conform with the high standards of financial reporting promulgated by the National Committee on Governmental " Accounting. The 3969-70 Annual Financial Report submitted herewith continues to meet these standards. r>I General Governmental Functioas `Fe Revenues for general governmental functions totaled $1,750,594 in 1.969-70, an increase of 5.3 psrcent over 1968-69. General property taxes produced 27.8 11 percent of general revenues compared to 32.4 percent last year, The amount of ! revenue from various sources and the increase over last year are shown in the r following tabulation; E 1 i 1111 . a W cr.. .,M _.~t , w s Mr, Jim White _2 December 17, 1970 Ir.ccease Rcenue Source Amount Percent Over 1968.69 (Thousands) of Total -(Thousands) f Property Taxes and Penalties 486 Franchise and Other.Taxes 16'9 {53) 22.1 43 Licenses and Perm Fines, Forfeits, and Penalties ,9 2 Charges for Current Services 158 5.5 12 Utility Fund Contributions 313 I0.9 35 Other Revenues 812 2P,2 97 444 15.5 84 $2,875 100,0 $220 Assessed Valuations of 71 million represented an increase of preceding year, 6.0 percent over the , The ratio of total collections (current and delinquent) to the current tax levy for 1969-70 was 100.39 percent, The constitutional and statutory tax rate limit, including debt service, is $2,50 on each $100,00 of assessed valuation. The tax rate disbribut ton for 1969-70 and the preceding two fiscal years is as follows: Purpose 1969-70 1968-69 1967-68 General Fund .6501 Interest and Redemption Fund .8145 ,9525 .8499 ,6855 ,5475 Total Tax Rate 1,5000 1,5000 1,5000 Expenditures for general governmental purposes totaled 53,024,464 an increase of 22.2 percent over 1968-69. Increases in levels of expenditures for mayor functions of the city over the preceding year are shown in the following tabulation: Amovnt Increas Function Percent Over 1967-68 (Thousands) of Total (Thousands) General Government Legal 101 6,3 50 Community Development 86 2.8 10 Civil Defense 1:5 6.0 19 Right of Way 11 •8 0 Finance 309 11 •2 11 , Health & Sanitation 10.2 13 Police 350 11,6 14 Fire 550 18,2 66 Street Development 407 13.5 70 Parks & Recreation 279 4,2 422 19.2 136 Cemetary 49 Library 22 65 .1 8 Airport 2.1 18 City-County Health Unit 3 1,3 38 r Non-Departmental 26 6 •9 26 Other 62 2,0 34 3,024 - (5) 100,0 549 he k V Mr. Jim White -3- December 17, 1970 W Debt Administration The ratio of net bonded debt to assessed valuation and the amount of bonded debt per capita are useful indicators of the city's debt position to municipal management, citizens, and investors. These data for the City of Danton at the end of the 1969-10 fiscal year were as follows: 1969-70 Actual Valuation $177,690,090 1969-70 Assessed Valuation (40'7 of Actual) 71,076,036 Total General Obligation Debt 6,937,000 Less: Amount Available in Debt Service (25,336) Net Debt i1, 614 Ratio Net Debt to Assessed Valuation 9.72% 1970 Estimated Population 38,865 Per Capita Assessed Valuation 1,829 Per Capita Net Debt 178 During the past year, $346,000 of tax bonds were retired. On September 22, 1970, $1,000,000 of general obligation bonds were sold at a favorable effective interest rate of 5.7627. Outstanding Electric Revenue Bonds at September 30, 1970 totaled $16,398,000. During the past year $600,000 of Electric Revenue Bonds were retired. On September 22, 1970, $3,500,000 of Electric Revenue Bonds were sold at a favorable effective interest rate of 5.9514. Outstanding Water & Sewer Revenue Bonds at September 30, 1970 totaled $4,265,000. During the past year $160,000 of Water and Sewer P.evenue Bonds were retired. The city's bonds are rated as follows: _ Moody's Standard & Poor's General Obligation Bonds A-1 AA Electric Revenue Bonds A AA Water & Sewer Revenue Bonds A A As of September 30, 1970, $1,126,104 was on hand in the electric reserve fund and the sum of $370,586 was on hand in the water and sewer reserve fund which are more than the amounts specified In the bond ordinance as being required for both funds. Cash temporarily idle during the year was invested in time deposits, savings accounts, U. S. Treasuty Notes and Bonds. IIA 11 N f~ P1r. ,fim White -4- December 17, 1970 ; v i t a l P roiecte Funds During Ire ai star tnding ,s ptem!,er 30, 1970, the proceeds from general obi igation ha nd issues a:eniutted f r expenditures of $1,406,964 in street capital project;. Water and n„wer c-vrnuc hoed Issues accounted for expenditures of $687,460 in waccr & sewer capital projects and electrical revenue bond issues / t accounted for exprnditur?s of $113,978 in electrical capital projects. Extension and inprocemrr.t funds in the amount of $398,582 were expended for electrical capital projects. AuLhortzcd but unissued bond, at September 30, 1970 totaled $Iu,500,000 as follows; Revenue (•le.tric) $10,500,000. Capital project funO balances on hand at September 30, 1970 consisted of $531,011 in cash, and $175,000 in open time deposits, i General Fixed Assets The general fixed assets are those fixed assets used in the performance of general governmental functions and exclude the fixed assets of utility and other enterprise funds. As of September 30, 1970, the general fixed assets of the city amounted to $9,631,289. This amount represents the original cost of the assets and is + considerably less than their present value. Depreciation of general fixed assets is not recognized in the city's accounting system, Utilities System The city's electric and water and sewer system had a successful year and continued to show g-iins it gross sales, number of customers and net income. Comparative data f..r the past too fiscal years are presented in the following tabulation.. Electric System ~ - Gross Income 1.970 1469 ~ Net Income $4,591,880 $4,001,273 Income Available for Debt Service $1,304,057 $1,170,311 Average Annuai Deht Service Requirements $2,489,450 $2,270,765 Debt Service Coverage 1.,84 84 $1,353, $ 888,2.55 .55 j Water & Sewer System Gross Income 1970 1969 J Not Income $1,307,051 $10107,562 Income Avatlable f,r Deht cercl-e $ 82,112 $ 150,562 Average Annual Debt Strrice Requirements $ 682,565 $ 563,058 Debt Service Coverage $ 360,475 $ 309,533 1.89 1.82 r• w Fir. Jim White -5- December 17, 1970 n In, City CKatt r rcqulr an snn,al audit to be made of the books of account, financial record;, and transactions of all administrative departments of the city by a Certifl.d Public Accountant selected by the City Council. This requirement has Ken complied with and the auditor's opinion has been included in this report. The preparation of this report on a timely basis could not be accomplished without the efficient and dedicated services of the entire Q aff of the Finance Department, I should like to express my appreciation to all members of the department who assisted and contributed to its preparation. I should also like to thank your office and the members of the City Council for their interest and support in planning and conducting the financial operations jf'the city in a responsible and progressive manner, Respectfully submitted, W. H. BRYAN Director of Finance WHB:jb i I J I J i w Ms N r AUDITED FINANCIAL STATEMENTS A`1D OTHER FINANCIAL INFORMATION CITY OF DENTON, TEXAS September 30, 1970 i i 1 i t M M CONIENI'S EXHIBIT AL'D1T::D FINAMIAL STATEMLNTS - Accountants' Report Page 4 A Condensed Balance Sheets - All Funds 6 k General Fund: B Balance Sheet 8 B-1 Analysis of Changes in Fund Balance 9 B-2 Sunnnary of Revenues and Expenditures and Encumbrances 10 EleeLrlc System Fund: C Balance Sheet C-1 Analysis of Changes in Reserves, Unrealized Increment, Contributions and Retained-Earnings Balances 13 C-2 Statement of Operations 15 Water and Sewer System Fund: D Balance Sheet 16 D-1 Analysis of Changes in Reserves, Contributions, and Retained-Earnings Balances 18 D-2 Statement of Op,2rations 20 General Debt Service Fund: E Balance Sheet 21 F-1 Statement of Revenue, Expenditures and Fund Balance 22 Intragovernmental Service Funds: F Balance Sheet 23 •r-1 Analysts of Changes in Fund Balances Y4 • F-2 Statement of Operations 25 Capital Projects: G Balance Sheet 26 C-1 Analysis of Changes in Reserves for Expenditures 27 Special Revenue, Trust and Agency Funds: j H Balance Sheet 28 [ Statement of General Fixed Assets 29 i Statement of General Debt 30 K Notes to Financial Statements 31 r w w CONrENIS - CONT'D SCffDL'I_E OTHER FINANCIAL INFORMATION - Accountants' Report on Other Financial Information Page 33 1 Bonds Payable - All Funds 34 li Future Debt Requirements - All Funds 36 General Fund: III Estimated and Actual Revenue 38 IV Appropriations and Expenditures and Encumbrances 40 - Electric System Fut.d: V Estimated and Actual Revenue 45 VI Appropriations and Expenditures and Encumbrances 46 Water and Sewer System Fund; VII Estimated and Actt 1 Revenue 47 VIII Appropriations and Expenditures and Encumbrances 48 IX Revenue Bond Debt Coverage 50 X Investments - All Funds 51 TAPLE STATISTICAL TABLES 1 Insurance in Force 53 it Assessed Valuations and Tax Assessed - Ten Years Ended September 30, 1970 55 . III Tax Assessment and Collections 56 E IV Miscellaneous Statistical Data 51 I ~I A~ ERNST & ERNST BOO FORT WORTH NATIONAL SANK BLDG FORT WORTH, TEXAS 76102 1 Honorable Mayor, City Council and City Manager City of Denton, Texas We have examined the financial statements of the several funds of the city of Denton, Texas, as presented on pages 6 through 32, for the year ended September 30, 1970, Our examination was made in accordance with generally accepted auditing standards and accordingly included such tests of the accounting records and such other auditing procedures as we considered necessary in the circumstances. Financial statements for the preceding year were examined by other certified public accountants who were unable to express an opinion on the financial statements of the Working Capital Fund or the statements of earnings of the - Electric System Fund and the Water and Sewer System Fund to the extent that losses from operations of the Working Capital Fund were included therein. Because of the effect of beginning balances and because of deficiencies in the system of internal control, we are unable to express an opinion on the statement of operations of the Working Capital Fund for the year ended September 30, 1970, or the related loss amounts which are included in operations of the Electric System Fund ($108,133) and the Water and Sewer System Fund ($20,799). D uring 1967, the carrying value of the utility plant of the Electric System Fund was increased by $4,851,498 to reflect the then current replacement value, based on an appraisal, of the plant. Such increase is being amortized by direct charges to the Unrealized Increment in Valuation of Utility Plant in Service account, and, at September 300 1970, $4,002 ,022 of the unrealized Increment remains to be amortized over future years. The recording of appraisal values in excess of cost is not in conformity with generally ac- cepted accounting principles. 'The City has never recorded streets and water and sewer systems contributed to It by developers; however, generally accepted accounting principles re- quire such contributed assets to be recorded at market value at date of cantributioa. The amount of such contributed but unrecorded assets at , September 30, 1970, and the effect of the related unrecorded depreciation { on the Statement of Operations of the Water and Sewer System Fund for the year then ended is not readily determinable. -4- a to I,w Poring the year ended September 30, 1970, the city changed its method of account- ing for taxes and assessments from the cash to the accrual method. Additionally, it changed its practice of accounting for electric transformers to capitalize them into the utility plant when purchased. Trezsformers had been previously carried in inventory of the Working Capital Fund until placed in service. The effect of these changes on the financial statements is described in Notes A and E to the financial statements. In our opinion, except for the matters described in'the second, third, aid fourth paragraphs above, the financial statements appearing on pages 6 through 32 present fairly the financial positions, revenues and expenditures, and changes in fund balances of the respective funds of the City of Denton, Texas, for the year ended September 30, 1970, in conformity with generally accepted accounting principles applied on a basis consistent with that of the preceding year except for the change, which we approve, in the method of accounting for takes, assessments, and electric transformers as described in the preceding paragraph. ~I Fort Worth Texas { December 13, 1970 I i 1 I .5. } i f ' CONDENSED BALANCE SHEETS - ALI, FC'ND4 CITY OF DENTON, TEXAS September 30, 1970 Water General Electric and Sewer Fund System Fund System Fund _ ASSETS Cash $14:,972 $ 21,618 $ Investments - at cost plus accrued Interest 20,L"10 220,035 20,000 r Receivables less allowances of S239,498 - Notes A and B 97,263 1,162,826 Due from other funds 8,072 67,439 Prepaid insurance 9,891 28,373 Inventories - at lower of cost or market - Note E Restricted assets: Cash 1,050,084 250,225 Investment3 - at cost plus accrued interest 1,290,485 397,772 Due from other funds 16.001 4,507 , Due from sale of bonds 3,518,092 Other 1,000 261,100 Property, plant, and equipment - net - 20,350,469 6,968,028 Notes C and F. Investmeat in Int:agovermnental Service Funds-Note G 37,381 276,933 147,858 Amount to be provided for retirement of general bonds Amount available for debt service _ $307,579 $28,003,355 $8,049,490 LIABILITIES, CONIRIB•UTIONS, RF-SERVES, AND FUND BALANCES Cash deficit $ $ $ 42,453 Accounts payable 21,262 176,62-4 17,456 w. { Accrued payroll and payroll taxes 109,244 36,683 17,762 i Accrued interest on revenue bonds 202,957 36,302 f Construction contracts and retained I j I percentage payable 109,068 11 Deposits payable 227 ,j 51 16,398,000 4,323,874 Bonded debt and ocher long-term liabilities Due to other funds 33,714 7'.,966 35,383 Reserves 18,331 1,2(9,020 370,586 j Unrealized increment in valuation of utility plant in service - Note C 4,002,022 Investment by General and othcr funds - Note G J Investment in general fixed assets Contributions: 2,464,212 By municipality and governmental agencies In aid of construction 4,381 17 858 Retained-earnings 5,610,041 614,536 Fund balances - Notc A 125,088 Commitments and contingencies - Note I' - - $307,579 $28,003,355 $8,049,490 (From from (From 1:XMB11' 2-1) EXIMM' C) t.XHlBIT D) See notes to financial statements. -6- t: M I °XHIBIT A lnrra Special Revenue Genetal Debt gocerwnental Capital Trust and General General Service Fund Setvlce F'uuds Projects Agency Funds Fixed Assets Debt $13,915 S 167,267 $ 59,082 $ 6,470 $ $ 120,445 494 1,002,460 109,613 11,471 175,519 139,655 98 286,725 695,310 9,631,289 1,1'20 6,911,614 25,386 $25,386 $1,445,386 $1,201,197 $116,675 $9,6310289 $6,937,000 1014 ,'.20 37,209 1,444 5,515 i 50,149 4,176 6,937,000 4,215 163,142 110,282 1,7Si 950,697 773 ~J 588,454 9,631,289 221,911 J 522,256 25, 386 $25,386 $1,448,386 $1,201,197 $116,675 $9,631,289 $6,937,000 (From From (From (From From From EXHIBIT 6) EXHIBIT F) EXHIBIT G) EXHIBIT H) EXHIBIT I) EXHIBIT J) •7- t , EXHIBIT B GENERAL FUND BALANCE SHEET CITY OF DENT'ON, TEXAS September 30 September 30 ASSETS 1970 1959 Cash Time certificates of deposit $144,972 $170,492 Tnterest receivable on time 20,000 70,000 certificates of deposit Accounts receivable (less allowance of - 943 - $17,000 - 1970; $11,526 - 1969) Taxes receivable - delinquent (less 9,443 167,830 allowance of $103,064 - 1970; $137,151 - 1969) 77,820 Duc from other funds - Prepaid insurance 8,072 :6,540 Investment in Working Capital Fund - EXHIBIT F' - NoteG 9,891 12,765 37.381 __CL 272) $307,579 $397,298 LIABILITIES, RESERVES, AND FUND BALANCE _ Accounts payable Accrues payroll and payroll taxes $ 21'202 $ 52,904 Due to other funds 109,244 86,970 33,714 18.048 TOTAL LIABILITIES 164,160 157,922 1 Reserve for encumbrances 18,331 I 20,899 Fund balance - EXHIBIT B-l 125,088 218,477 CONTINGENCIES - Note F $307,579 $397,298 To EXHIBIT A See notes to financial statements. p .8_ ra EXHIBIT B-1 GENERAL FUND ANALYSIS OF CHANCES IN FUND BALANCE CITY OF 000N, TEXAS For Year erdcd September 30, 1970 Balance at October 1, 1969 $ 218,411 Add: Revenues - EXHIBIT 1-2 $2,875,470 Adjustment to record estimated ' value of taxes receivable at October L, 1969 - Note A 54,300 Consolidation of airport fund ~ balance _ 1,306 2,931,076 3,149,553 Deduct expendit"rei and encumbrances - 3,024,465 EX HIBiI' B-2 BALANCE AT SEPTEMBER 30, 1970 $ 125,088 To EXHIBIT B E E i L See notra to financial statements. J~ 1 -9- i I EXHIBIT 8-2 GENhRAl, Fl'ND Sl,fh1ARY OF REVEV.'FS AND LXPEND111'RE3 AND h'NC1^1RRANCES CITY OF DENION, 1EXAS Budget Year Ended September 30 (revised) 1970 1969 REVENUES General property taxes current taxes $ 437,185 $ 453,179 $ 503,437 4, ~nua~Rw hsrMatsriS• 20,000 19,388 24,457 Fenalti^s and interest 13,000 13,595 10,952 i 470,185 486,162 538,846 Other revenues Other taxes 603,800 635,155 591,589 Fces from revenue - producing facilities 302,700 320,145 300,226 I Fires and fees 142,100 158,309 145,860 Licenses and permits 23,774 27,162 25,523 Miscel.aneous revenues 275,934 123,661 59,706 Transfers from other funds 1,130,371 11124,876 993,423 2,477,679 2,389,308 2,116,327 2,947,864 2,875,470 2,655,173 EXPENDII 'RES AND ENLL•MBRANCES Salaries and wages 1,952,729 1,973,011 1,726,549 ,026 13030,586 1 13232,506 135 Supplies Maintenance 235,055 267,207 201,822 l Services 425,487 431,629 301,852 5,753 13,891 1,143 Sundry 134,003 146,584 79,843 Capital vutla) Nondepactmcntal expenditures 89,000 61,557 26,532 Transfers to other funds for 4,686 special projects 2,977,053 3,024,465 2,474,933 REVENUES OVER (UNDER) 1 L•XF'ENDIFCRES AND ENCUMBRANCES $ (29,18°) $ (14$,995) $ 180,240 To EXHIBIT B-1 See notes to financial statements. a -10- ,w ELECTRIC SYSTEM FUND BALANCE SHEET CITY OF DENTON, TEXAS Scptcmbci 30 r fir' 1970 19u9 ASSETS CURRENT ASSETS Cash $ 21,617 a 2'/'l '6'16 Time certificates of deposit 220,000 ?o'cklo Interest receivable on investments 35 15,660 Prepaid insurance 28,373 U,2'+8 Accounts receivable (less allowance of $36,434 - 1970; $42,823 - 1969) - Note B 1,162,826 ';',L,419 Due from other funds and restricted _ asset account 67,439 !`r_66 TOTAL CURRENT ASSET'S 1,500,290 1,315,629 RESTRICTED ASSETS Revenue bond debt service: Cash 725,853 1,011 Certificates and time deposits 20,000 735,5rJ interest receivable on investments - 2,116 Miscellaneous receivable 1,000 - Due from other r^stricted asset accounts 392 Revenue bond reserve: Cash 15,010 Lill Certificates and time deposits 967,951 937,000 Investments in U.S. Government obligations (quoted market, $121,377) 124,894 144,846 Interest receivable on investments 2,640 23 Due from Electric System Fund IS,F,f!9 Revenue bond construction: Cash L66, 305 1 till, 283 Open time deposit 175,000 /'4i,000 Interest receivable on investments - 656 Due from sale of bands 3,518,092 System extension and improvement - Cash 142,916 TOV L RESTRICTEn ASSETS 5,875,662 2,659,852 U'I ndY a - Note rights C Land and d land r[ghts 147,G5~ '53,7!~'~ Electric plant production and distr<bulion facilities (Less accumuLa~vd depreciation of $9,198,401 - 1970; $8,221,427 - 1969) 10,005,7?6 '1),3/1,691 Construction in process ___97.UL)O ;1de494 20,350,469 2/1,615,949 INVESTMENT IN INTRACOVERNMENIAI, SERVICE; VTt ND - EXHIBIT F - Note C 276,934 3?,551 $28,003,351 y./:,h'il,yd0 To EXHIBIT A -ll- i I EXHIBIT C M. September 30 September 30 1970 1969 LIABILITIES, RESERVES, AND RETAINED EAPNINGS CURRENT LIABILITIES Payable from current assets: Vouchers payable $ 176,634 $ 157,288 Accrued payroll and payroll taxes 36,683 31,062 Dut t o other funds 35,933 17,409 Customers' deposits 227,651 214,196 Revenue bonds payable due within one year 51,083 50,000 Revenue bond interest payable 17,628 545,612 469,955 Payable fr^,a restricted assets: Contracts payable 34,365 Revenue bonds payable due within one year 561,917 550,000 Revenue bond interest payable 185,329 195,837 7ue to Electric System Fund and other restricted asset accounts 40,033 16,265 787,279 796,467 TOTAL CURRENT LIABILITIES 1,332,891 1,266,422 O1 HER LTAbtlIlIES Revenue bonds payable - exclusive of maturities due within one year 15,785,000 12,898,000 RESERVES - hXHIB1'I' C-1 Reserve for revenue bond retirement 1,126,104 1,062,000 Reserve for system extension and improvement 142,916 402,986 10269,020 1,464,986 UNRFALTZED INCREMENT IN VALUATION OF LrTILTIY PLANT IN SERVICE - FX HlB1T C-1 4,002,022 4,285,181 CONTRIBUTIONS AND RETAINED EARNINGS - EXHIBIT C-l Contribution in aid of construction 4,381 Retained-earnings 5,610,041 4,739,391 5,614,422 4,739,391 COFNITMENTS AND CONII5GENCiES - Note F $28,003,355 $24,653,980 To EXHIBIT A See notes to financial statements. -12- I a ELECTRIC SYSTEM FUND ANALYSIS OF CHANCES IN RESERVES, UNREALIZED INC ME NI, CONTRIBUTIONS AND RETAINED-EARNINGS BALANCES CITY OF DENTON, TEXAS Year ended September 30, 1910 ..~►atir R _L S E R V E S _ Revenue Extension Bond and Retirement improvement Balance at beginning of year $1,062,000 $402,986 - Add: Transfer from operating fund 64,104 541,498 Contribution by developer Net income - EXHIBIT C-2 Decrease in reserve for extension and improvement 64,104 541,498 1,126,104 944,484 Deduct: Reduction in reserve for extension and improvement 801,568 " Amortization of unrealized increment Transfer to general fund Transfer to reserve for extension and improvement Transfer to revenue bond retirement 801,568 BALANCE AT END OF YEAR $1,126,104 $1420916 ~ - -ate ii T o -13- k I m 1 w EXHIBIT C-1 1 i IJ Cnreatized Contribution Increment in in Aid of Retained Valuation Construction Earnings $4,285,181 $ - $4,739,391 4,381 i 1,304,057 801,568 4,381 2,105,625 4,285,181 4,381 6,845,016 283,159 629,373 541,498 64,104 283,159 1,234,975 $4,002,022 $4,381 $5,610,041 E X H I B I T C I ~I See notes to financial statements. -14. t 4 t F EXHIBIT C-2 FLECTRIC SYSTEM FUND STATFKr.Nr of IONS C11Y OF DEMON, IE3(AS Year Ended September 30 J INCOME 1970 1969 Electricity sales: Customers 44,294,387 $3,8481,880 Intergovernmental 198,844 120,215 Other 17,052 _ 32,173 EXPENSES 4,510,283 4,001,273 Salaries and wages 549,065 481,665 Fuel for electricity production 887,318 744,559 Supplies 38,324 52,255 Maintenance 82,122 56,341 Insurance 42,387 56,049 Administrative services 234,807 208,754 Provision for uncollectible accounts 26,578 13,428 Services 76,221 56,370 Economic development 31,802 22,003 Band issuance expense 6,'289 Sundry 19,384 218 1 Eq1jIty in loss of Working Capital Fund - EMJ bif a-7 108,153 38,866 2,102,430 1,730.508 OPERATING INCOME BEFORE DEPRECIATION 2,407,853 2,270,765 Provisiom for depreciati,n 739,041 715,281 OPERATING INCOME 1,668,812 1,555,484 ' Other income - interest _ 81,597 89,991 750,409 645,475 Bond interest and fees 1 446,352 1,475,164 NET INCOME $1,304,057 $1,170,311 TO EXHIBIT C-1 See notes to finanaial statements. -15- I i 1 WATER AND SEWER SYSTEM FUND BALANCE SHEET CITY OF DENTON, TEXAS September 30 September 30 1970 1969 ASSETS CURRENT ASSETS Cash $ $ 229,058 Time certiffcat~s of deposit 20,000 20,000 Interest receivable on investments - 4,291 _ Due from other funds 194,229 TOTAL CURRENT ASSETS 20,000 447,578 RESTRICTED ASSETS _ Revenue bond debt service: Cash 52,789 55 Open time deposits 37,000 88,900 Interest receivable on investments 123 208 Revenue bond reserve: Cash 5,431 Certificates and time deposits 360,205 350,000 Interest receivable 444 - Due from operating fund 4,507 - Revenue bond construction: Cash 192,005 303,275 Open time deposit - 150,000 Crant receivable from Federal Government 261,100 Interest receivable on investments _ 2,750 i TOTAL RESTRICTED ASSETS 913,604 1,295,188 UTILITY PLANT' - Note C Land and land rights 100,800 100,800 Water utility plant (leas accumulated depreciation of $2,766,159 - 1970; $2,556,660 - 1969) 4,317,493 40327,396 Sewer utility plant (less accumulated depreciation of $2,411,291 - 1970; $2,308,666 - 1969) 1,029,075 1,030,973 Water rights (less accumulated depreciation of $85,022 - 1970; $80,020 - 1969) 165,042 170,044 Construction in process 1,355,618 Y 331,741 6,968,028 1,960,954 INVESTMENT IN INTRAGOVERNMENTAL SERVICE FUNDS - EXHIBIT F - Note G 147,858 32,962 $7,736,582 To EXH18lf A -16- I r• EXHIBIT D - September 30 September 30 1970 1969 LIABlLII1G5, HES1iRVE5, CONTRIEUI'IONS AND RETAINED-EARNINGS CURRENI LIA2ILIlIES Payable fYL'% L rrtnt assets: $ 42,453 $ Cash deficit 10,418 10,759 Vouchoti p~yahl" 17,762 13,989 Aeerred patrolI ana payroll taxes 30,876 19,925 Due to other funds 4,507 - DuC, to revenue bond reserve 138,750 140,499 RCVerwe londg payable due within one year 244,766 145,172 Payable from restricted assets: 7,038 4'u.,Ocrs payable Con;tr;ctk n (ontr,~cts and retained Ob8 101,878 percentage paN3M, L0099,50 3,333 RcVtaue bends payable due within one year 6,2 2 51,876 J Ace iucd interest on rcvcm:c bands 30 198 352 181,087 1 TOTAT, CURRENT LTABIIITIES 443,424 372,259 01HEER LLM,11,111Eo Revem:e bands payalhle - exclusive of mat r c i t i e ~ d uwithin cne )'ear 4,080,000 4,251,168 58,874 _ 72,706 Contract peyahlr 4,138,874 4,323,874 I RESERVES - EXH1811 D-I _ 3,954 Reserve for revenue bond debt service 350,OOD Reserve for revenue head retirement 3701586 370,586 353,954 CONIRIBM TONS AND REIAINE?D-EARNINGS - EXHIBIT D-1 Contributions from muc,iclpal or other 2,464,212 2,057,012 governmental units 17,858 In aid of constc.r'tinn 617858 629.483 Retain d-earaine 2,686,495 3,096,606 CONIINGENCIES - Note F $8,049,490 $7,736,582 To EXHIBIT A See notes to financial statements. -17- WATER AND SEWER SYSIEM hUND ANALYSIS OF CHANGES IN RESERVES, CliNK 1':f'J11" , AND REIAINED-EARNINGS hA]ANCES CIrY OF DEMON, IEXAS Year ended ScytMo r 30, 1970 _ R E S E R V Ci Rev uue - - Revenue Und neht Bond Service Retirement Balance at beginning of year $3,954 $350,400 Add: Contribations of water taps by cnstow(rs Transfer from operating fund 20,`86 Net Income - EXHIBIT D-2 Decrease in reserve for revenue bond debt service Contribution from Federal Government 20 585 3,954 370,585 Deduct: Decrease in reserve for revenue bond debt service 3,954 Transfer to reserve for revenue bond retirement Transfer to Ceneral Fund 3,954 BALANCE. AT END OF 'ilEAR $ - 5370,586 1 O f 5cc nutcS to financial M tcmcnta. c 1B- EXHIBIT D-1 C 0 N i' H I H t' 'f 1 n N' S Pb F if al or In Aid Othcr l.uar [nmcntal of RetalncJ - !rica Construction Earnings $2 0~7,Ul3 $629,483 $17,878 184,112 3,954 407 , 200 407,200 17,858 188,066 2,46'+,212 17,858 817,549 20,586 182,427 ~ - 203,013 $17,858 $614,536 F; ;t If [ H l 1 D II . l{ I i -19- Y ax F~ EXHIBIT D-2 WATER AND SEWER SYSTEM F11ND STA Imvi of OCFsA'1'Iim (111 OF UIN ION, 1EXAS Year Ended September 30 1 h'C0Nf: 1970 1969 Water saics: Ih CuEtnmrrs S 902,498 $ 829,347 nt 47 X6,884 30,203 h Seger scrnl,6 cKarge:s 315,638 308,972 'Capping fees 24,405 34,256 other 196 _____4,521 );xPI:NSEs 1,279,621 1,207,299 Salarits and wages 266,393 286,188 Supplies 62,875 68,999 Maintenance 30,785 32,346 Production power 62,146 59,112 Administrative services 78,269 69,584 S,rvices 66,094 59,851 Pr-vision for uncollected accounts 7,479 7,152 Insurance 4,500 5,953 Economic devclopment 15,901 9,575 Bond issuance expense - 6,459 Sundry 9,241 2,513 Equity in less of 'W'orking Capital Fund - EXNIRII F-1 20,799 36,510 624.482 644,242 OPERATING INCOME BEFORE DEPRECIATION 655,139 563,057 Provision fur dcpreclatlon 317,125 295,677 OPERATING INCOME 338,014 267,360 Other income - interest 27,430 35,152 365,444 302,532 Bond Interest and fees 181,332 151,970 KT INCOME $ 184,112 $ 150,562 TO EXHIBIT D-1 h i ~I See notes to financial stitvNents. 1 J -20- EXHIBIT E GENERAL DEBT SFR%'LCE FUND BALANCE SHEET Clit OF I1C.Sl(1~, [F.XAS September 30 September 30 1970 1969 ASSL'is $ 13,915 $ 7,500 Ca sh - 10,000 _ upvn ~ nun ' os i t 34 Interc,t rereiv3blaa un open t3mP di~poSLt 11,471 7,497 Due Cram «ther :ands 531 $ 25,386 $ 25, FEND BP.!ANCE $ 25,386 25,531 Rind Eala:r;c tXHEFIl E-l r.~ To EXHIBIT A i 1 i i t Sec note to financial statements. •21- q I EXHIBIT E-1 CENF:RAL DEdf SERVICE: F= SIATEmw of RnF%-t'F., FXPE.NDI'L'URES AND ILND BM.ANCE _ CI II of III N r X,l, 1 Year Ended September 30 1970 1969 JJJ { REVENUE fudgetcd portion of taxes collected $588,840 $443,915 Interest eAr111-13 oa inveetmentS 2,526 1,683 591,366 445,598 { F.XPENDiIVRES Bands retired 346,000 220,500 Interest on bonds 245,132 204,228 Paying agent EeeB 379 396 591,511 425,124 REVENUE OVER (UNDER) EXPENDITURES (145) 20,474 fund balance at beginning of year 25,531 5,057 { FUND BALANCE AT END OF YEAR $ 25,386 $ 25,531 r To EXHIBIT E iI I i i ~ i See notes to financial statements. -22- EMIBIT F T IN"1RAW%'FRN"RF.N JAI, SERVICE FUNDS BAT.ANCE S EEI - CITY OF DPIII"', ",AS t Working Motor ~y Total Capital pool ASSL;I'S ~ $ 167,267 $ 92,298 $ 74,969 Cast[ 120,000 - 120,000 Invcstrur t; - at cost 445 - 445 Interest IE'ce'ivabie 288,725 288,725 - Inventories - at lowor of cost or r.!arkc[ I Due from other funds 175,519 20,438 155,081 I Fixed assets at c(st: 1,253,099 4,866 1,248,233 Equipment 557 789) (570) 557,219) Accumulated depreciation (6951310 4,296 691,014 1,120 1.120 Investment in Motor Pool Fund - at cost $1,448,386 $ 406,877 $1,041,509 LIABILITIES, RESERVES AND FIND BALANCES ~ Vouchers payable $ 104,220 $ 104,220 $ 5,515 5,515 - Accrued payroll and payroll taxes 4.275 1 245 3 030 Due to othcr funds TOTAL LIABILITIES 114,010 110,980 3,030 Reserve for maintenance of service center 1,755 1,755 Fund balances: 37,381 125,161 Investment by General Fund - Note G 162476,542 542 , 188,112 88,822 Investment by Electric System Fund - Noce G Investment by Water and Sewer System Fund-NoteG 1/41,858 68,649 710120 Invcstment by Working Capital Fund 1,120 - 421,911 Contributed assets 221'911 _ 521,256 Retained earnings 522,256 X332.621 244,142 1,038,479 1, $1,448,386 $ 406,871 T1,041,509 70 E7{AISIT A See notes to financial statements. -23- EXNIB1T F-1 1NTRAGOVERINI,U NIAL SERVICE FUNDS ANALYSIS OF 0%NGES IN Ft'ND BALANCES CIIY OF DEV'lt 1_ I ;a AS Year ended Scptemi,cr 30, 1970 Working Motor Total Capital Pool investment by General Fund: Balance - September 30, 1969 $ 102,376 $ (1,272) $ 103,648 Asset: transferrcd during the year - Note G 71,484 49,971 21,513 All.,atl.•n of net loss: (11,318) 1( 1,358) BALANCE - SEPTEMBER 30, 1970 162,542 37,381 125,161 Investment by Flcctric System Fund: 32,550 (44,262) 76,812 Balanct' - September 30, 1967 Asset, transferred during the year - Note C 352,517 340,507 12,010 Allocation oE' net loss (108,133) 108 133) BALANCE - SEPTEMBER 30, 1970 276,934 188,112 88,822 Investment by Water and Serer System Fund: Balance - September 30, 1969 32,862 (41,579) 74,441 Assets transferred during the year - Note G 135,795 131,027 4,768 Allocation of net loss (20,792) 2( 0799) BALANCE - SEPTEMBER 30, 1970 147,858 68,649 79,209 Investment by Working Capital Fund: 705 Balance - Scptember 30, 1969 705 Assets transferred during the year 415 415 BALANCE - SEPTEMBER 30, 1970 1,120 - 10120 Contributed assets: 220 102 Balance - September 30, 1969 220,102 - r Contributions frrnn treat fund _ 1,809 1.809 BALANCE - SEPTEMBER 30, 1970 221,911 - 2210911 Retained earnings: 376,334 - 376,334 Balance - Septvmnvr 30, 1969 145,922 345,922 Net income BALANCE - SEPTEMBER 30, 1970 522,256 - 522,256 FUND BALANCES - SEPTEMBER 30, 1970 $1,332,621 $2940142 $1,038,479 (To EXHIBIT F i See notes to financial statements. -24- III I k. F P~ EXHIBIT F-2 INTRAG0'irERNMLN"fAL SERVICE FUNDS SIATEMENr OF OPENAII0NS Year F,l si pt~-ll i '1i1, 1970 1 Working Motor ` Total Capital pool f C'haryc•~ tctl _r L:rl; $1,162,799 $ 949,510 213,289 Lens test of mate- r 1 al s: Feg,inaine, it t r: 392,510 392,510, Porch-rs~s 866,800 866,800 1,259,310 1,259,310 Lea ending i.:,-it r,: _ 288,725 288,725 9701585 _ 970,585 192,214 (21,075) 213,289 Op Gating eX}renties; Salaries and wages 101,804 101,804 Supplies 1,710 ?,710 Maintem,nr,e 1,575 1,575 Equipmcoit rental 3,024 3,024 Misrellaneo;'s 10,492 10,492 Depreciation (straight-line) 127,561 570 126,991 246,166 119,175 126,991 NET 01'rRATING INCOME (LOSS) (53,952) (140,250) 86,298 Other incomF: Cain on idle ur trade of eq iFm`-lt 54,843 54,843 Interest 4drned 4,781 4,781 59,624 _ 59,624 NE'r INCOME (LOSO) $ 5',672 $ (140,250) $ 145,912 TO EXPLBIT F-1 i See noc<s to financial statements, J -25- I EXHIBIT C CAVIIAL PROJE:CIS BAI,ANCE SHFE'I' CITY OF PFNI'ON. TEXAS $c.pt,-c~,tSG. Street Fire Municipal Total Improvcmcnt Statinn Building ASSEIS cash $ 59,082 $ 29,785 $ 20,766 $9,531 Proceeds raciivable from bonds aold 1,002,460 1,002,460 D.x from other funds 139,655 138,441 1,214 $1,201,197 $1,170,686 $ 20,766 $9,745 LIMiILICI£S AND RESERVES Vouchers Payable $ b711209 $ 26,059 $ 10,125 $1,025 Corstructi..n rnntract retained - pcrccntage payable 50,149 40,320 1,109 8,720 Due to ether funds 163,142 162,879 263 I01AL LIABILITIES 250,500 229,258 11,497 9,745 Reserves: Encxmhranees 1,358,897 1,258,041 100,846 Aw burizcd L,r:pcndltures (deficit) (408,190) (3160613) (91,577) $1,201,197 $10170,686 $ 200766 $9,745 To EXHIBIT A I Sec notes to financial statements. -26- I EXHIBIT C-1 CAPITAL PROJLCIS ANALYSIS OF CILV4,ES IN PF(,E: VI:S FOR IAFEN0I VUI C.I'I'i Of LiFV Oi , 1k:XAS YG:ar JJ Srl- , r-, fire Muntcipal Tntel Strcet Station 8uild'.ng I'AI.A%, . i01:F:',11 0 t,; I, 1'69 Si, 393, 577 $1,377,448 $ 13,029 $ 3,100 Addi ti,at' ContriNitton; Cr.rn at, r govrrnmcntal agcncics 16,682 16,682 Proceeds from sale of ahandon d fire statlon 14,956 14,956 Interest i15,458 15,120 338 Asscs;mcet rtvcn:r 80,482 80,482 Correction of prior vcar's assestimrnt r,ven.'r 61,484 61,484 Rent and other misccii+aneol„ revenue 8,657 8,657 Proceeds frr'n sak of lends 1,000,000 1,000,000 Transfer from tle t<c.cral Fl,ud 1,213 1,213 1,198,932 1,165,743 15,294 17,895 DCdJi Li V!1S: C'apLtal expendit:res 1,641,812 1,601,763 19,054 20,995 Increase (dr.rease) in ri ervr tot en, rFtum 1,358,887 10258,041 100,846 3,000,699 2,8590804 119,900 20,995 BALANCE (121 1k,11) September 30, 1970 $ (4080190) $ (316,613) $(91,577) $ T o E X H I Ii I T 0 L Sec notes to financial statements. -21- I I iII II t w EXHIBIT H r r. SPECIAL IRI-SI AND AGENCY FUNDS 1 Street Total Assessments Miscellaneous A SF I5 $ 6,470 $ - $6,470 t ttaH cn t 'ma p t 494 494 dc ,is Street a=,.e",mlrit VC :LiV11010 less aII.,warice for ';a c",ilck' t I b I s of 109,613 109,613 i $ [00,0::0 yB 98 IT:c i'r,,.n oC},Er frr;dr $116,675 $109,613 $7,062 I L1A1i11.11 IES $ Vacchcrs 1 l` 1,444 $ - $1,444 '110,282 109,613 669 773 70 3 Rrser1o IOV -.t,:•i.ni,r,,-r,,.y 4,176 4,106 Escrnv d,,Poiity - $116,675 $109,613 17 062 To EXHIBIT A i i Dt iAiE U'r' FS'_,htM' 1tIsPV,~iId $ 941 hlcXenra Park 3,185 Fmilg l.xl r 1,ihrar~• fund $4,176 J See notes to financial statements, -28, EXHIBIT I STATEMENT OF GENERAL FIXED ASSETS 31 ~n~ CITY nl 00010, ChNERAL FIXED ASSETS balance Balance Oct. 1, 1969 Additions Retlrrments Sept. 30, 1970 Land 5 739,630 $ 31,161 $33,750 $ 745,641 buildings 1,648,914 25,657 - 1,614,571 W eets - Note C 4,952,188 - 4,952,188 Equipment and Kher - improvements 513,835 124,236 638,071 Construction In process - - 1y620,818 - 1,620,818 $7,854,567 $1,810,47 $33,750 $9,631,289 INVESTMENT IN GENERAL FIXED ASSETS From General Obligation bonds $7,052,713 $1,406,964 $8,459,677 From opcrations 785,557 125,071 $33,750 876,878 294,734 I From contrSiritinns 16.297 278,437 $7,854,567 $1,810,472 $33,750 $9,631,289 To EXHIBIT A j See notes to finnnclal statements. NOTE; Inv Mmvnt in vehicles by the General Fund is recorded in the accounts or the Motor Pool Fund. I .29- I i .t EXHIBIT J SIATETIENT OF UNEPAI. DEBT' CITY OF DENTON, TEXAS September 30 September 30 1970 i469 Amounts rcquircd for retirement of general (O ligatIA bonds: Available in K n ral Debt S.rvice - E\HIBII' E 25,386 $ 25,531 A d d i t i o n l Q W A rLqulrements - Note 6,911,614 61257,469 $6,937,000 $6,283,000 Ganural obligation bon& payablec $6,937,000 $6,283,000 To EXHIBIT A Note: 11c facturq contributing to the increase during the year ended September 30, 1970, in the i int of additional luturc rvquiremcnts arc .__wnrived heir.: Balance October 1, 1969 $6,257,469 Bonds issued during the year 1,000,000 Decrease in awgnt available in General Debt Service Fund - EX U BIT E 145 7,257,614 Bonds retired daring the year 346,000 BAT.ANCE SEPTEMBER 30, 1970 $6,911,614 i i i I -30- a. p x EXHIBIT K NOIFS 10 F1NANi IAL SI'ATFAI£h'I'S - MY OF DF'NjwI , IFSAS Scptcmr tr it . I'F'C. Kato A - !s-ors ,rii A;~t.,ments 7hr CIt; cha~igc~~ i r method "f accounting for taxes and assessments from the cash t" the scct»el m.thnd. 7'h is change resulted in increases of $23,520 in tax rovemre f,,rr the y( ar, <77,8;10 in taxes receivable at the end of ttie year, and S);,~nfr in I.nd I:;lan.c at t),e heginnIng of the year in the Ceneral Fund and th 5' ta1)1islrrnt ,If a sPccial revenue fund for street assessments result- irk in ,,rt io'r~ys. in rtsetvo for arfthorfzC,d expenditures in the Street lnprovcc~c nts t.;,ptt^I Prolrct, Fiord of A61,484. So(;t k Irndi A,i•,~,;Lt; F",Cr iaa:lr, I:Icc tric System Fund ' InCIId. I ~n tr:,d n7c~tmes rcccivahle in the FIrk,trie System Fund are amounts djc f an,1 sc,: r service=' prov1dcd by the 'c'ater and Sewer Fund and tarht.:k ECtc(, S' ded tq the r,cneral Fund. Utility receivables are carried m F.rnd to facilitate accounting and collection procedures. Eae`. tin; rctcr,t' its own portion of the revenues and losses from these accounts, Note i. - ty Plants and Other Fixed Assets Cti11 pi=r,t, e^ -'.her fired ?,;sets are recorded at cost or market value at date of c, ntri'r_ti )n except as fo:l;rws: the net carrying value of the Electric System utility plant in service was increased ;,v $4,8S1,ri98 to the appraised replacement value less depreciation as determined by independent consulting engineers at September 30, 1967. :he increase in carrying value is being amortized directly to Unrealized Increment in Val,i3tirn of Ltiiity Plant in Service. Such amortization during the current year was $283,159 and the remaining excess of recorded appraised value over acgrisltion cost at September 30, 1970, was $4,002,022. Contributions Irvm devclopors of streets and water and sewer system have ncoer been rcC rded as assets by the City. The amount of these assets and thetr effect on the ba!ance sheet and net income (depreciation) of the Water and ~(vcr 5v=tcm Fund and the Statement of Ceneral Fixed Assets is not known, N"t(, D - irangfer of F);crsc Reven,iea from the Utility System Funds to the Crncral Fund i the City ch,3rter allows a transfer of "excess revenues" (as defined in the ",ity (hatter) uT thr utility systems to the Ceneral Fund it an amount not to excrcd six oorr,nt ,I the "net investment" in the utility systems, The City Charter specifies that the "net investment" be taken from the "independent audit of the utility systems for the last fiscal year." In the opinion of the City attor, ?y, the "net investment" may legally include the appraisal increment of 114,285,181 at September 30, 1969, -J1- EXHIBIT K (CoWe) NfffES 'f0 FI:tAT:CiAI 57'ATL:MFN7~ Ci7i OF Olfti301': Ir:XAS Scpt.,mb.r 10. I1-0 Note E - Ellctric 7ra~:Rf r~ rs During On Vear, e City changed its practice of accounting for electric tranni orm, is t 1 oomph . th Qdoral Pacer Commission recommendations. Iran sforraiv ar. TCA wq iraliacJ at the date of purchase instead of being inci.dcd in tturhin!t capital invrntoi,y as in the past. This change resulted in a-i in,, r,^ase in rix.u ts of the Floctric System Fund and a decrease in to ,"L .r: io tpt WoOioi; Capital Fund of $165,704 at September 30, 1970. Note F - UomNitme,ntN anri CuMn,gcnJL Do Ctty O=wnti 1 !ta= pp' d u,ntrscts far construction of addltionat electric Mlit, sysi t.-t,tlin, OCHii,182 to he financed prLmarily from proceeds of ELiRttc Scti rLV 1 „I<. S cbI, Ai n of 3 1 UK "I MA ati icnding against the City. In the npinicat t M l'itz Att 7 , , , - i t ! t , s . if any, would be Immaterial in relation to to, 1.ItF S I1 ll3rl 111 °tate w,1'1tE Ldh_ri as a whole. Note C - lndestmeat to 6jiking Capital Fund Advances made to tie working Capital Fund during current and previous years were reclassified at September 30, 1970, from interfund payables to investment by other fond,. Ilia reclassification resulted in increases in investments by the General F,nd, Elcctrlc System Fund, and Water and Sewer System Fund of $49,911, $00,507, and $131,027 respectively. I -32- I R f 1R ,r ~J ACCOIINFA.NTS' REPORT ON OIHFR F[NLNCIAL INFORMATION City of T),,nton, Trxnns i Ilia a,d[tcd tiny- 'ial .~tatemr,nts of the City of Denton, Texas, for the ear crded Stprf=::,bar 30, 1970, and our reports thereon are pre- scntrd i n tiie preceding section of this report. The information pre^te'tcd on page„ 3: to 52 was dcrlved frern the accounting records tcsirI by ti, a,, i,art .f the auditing procedures followed in our c-xar,inatic,, of tte atorer,ention,d financial statements, and in our rpini,n, i•; fairly prescnted in all material respects to relation to tfn, finemial stntemc-nts taken as a whole; however, It is not neccssar"Y for a fair pre+entation of the financial position and results of operations of the City. Statistical 0f1rn,at1fra presented on pages 53 to 57 was prepared by the City a-A has hren i-;laded in this report without verification. Fort Worth, Texas December 17, 19-0 -33- BONDS PAYABLE - ALL FUNDS CITY OF DENTON, TEXAS September 30, 1970 Date Dat! K An. t of FIra I of Interest Issuc Maturity Issue Rate GENERP'K13LIGATION BONDS AND WARRAN'T'S 1948 Street Improvement Bonds 3- 1-48 3- 1-71 $ 150,000 3,25 1960 Stteet Improvement Bonds 7-15-60 7-15-65 600,000 3.50 to 3.85 - 1962 Street Improvement Bonds 3-15-62 3-15-87 300,000 2.75 to 3.20 1963 Permanent Improvement Warrants 4-15-63 4-15-76 305,000 2.60 to 2.85 1963 General Obligation Bonds 3-15-63 3-15-88 500,000 2.50 to 3.25 1964 General Obligation Bonds 7-I5-61 7-15-82 800,000 3.00 to 3.20 1964 Park Improvement Bonds 7-15-6', 7-15-62 200,000 3.00 to 3,20 1966 Airport Tmprovement Warrants 12- 1-66 12- 1-81 113,500 4.50 1966 Wonetal Obligation Bonds 1-15-66 1-15-86 1,000,000 3.30 to 5.00 1967 Gcnoral Obligation Bonds 11-15-67 5-15-89 600,000 4,25 1968 General Obligation Bonds 2- 1-68 2- 1-88 1,000,000 4.00 to 5.00 1969 General Obligation bonds 4-15-69 4-15-89 1,285,000 4,60 to 6.50 1970 General Obligation Bonds 9-15-70 3-15-91 11000,000 5.00 to 7.00 ELECTRIC SYSTEM REVENUE BONDS 1954 Electric System 11- 1-54 11- 1.84 4,267,000 2.75 to 3.90 1955 Electric Systems 5- 1-55 11- 1-85 1,350,000 2.75 to 2.90 1955-B Electric System 11- 1-55 11- 1-85 1,387,000 3.00 1961 Electric System 1- 1-61 11- 1-90 5,200,000 3.75 to 5.50 1965 Electric System 1- 1-65 11- 1-84 4,000,000 .05 to 5.00 1968 Electric System 2- 1-68 11- 1-88 1,000,000 4.00 to 5.00 1970 Electric System 9- 1-70 11- 1-95 3,500,000 4.50 to 6.50 WATER AND SEWER SYSTEM REVENUE BONDS 1960 Water and Sewer System 7-15-60 7-15-90 1,700,000 4.00 to 4.25 1962 Water and Sewer System 1-15.62 7-15-90 1,000,000 3.00 to 3.45 1964 Water and Scorer System 7-15-64 7-15-84 25U,000 3.00 to 3.40 1966 Water and Sewer System 1-15-66 7-15-86 1,001,000 3.30 to'4.50 1969 Water and Sewer System 4-15-69 7-15-89 1,060,000 4.00 Lo 6.50 34- `s r SCHEDULE I Requirements r } u; i,nd, d Year Ended (?d t tLITI'd h ptc,rt_er 30, 1970 Outstanding September 30, 1971 Oct. 1, 1969 is^, d Retired Srpt.30, 1970 Principal Interest $ 1Gio,000 $ 50,(JOD $ 50,000 $ 50,000 $ 512 4W) r(f(J 25,000 375,000 25,000 14,113 360,000 20,000 340,000 20,000 10,010 ,40.000 25,000 215,000 3),000 6,097 3dn,uv~ 20,000 360,000 20,0000 10,790 730,Ot (t 75,600 105,000 25,000 21,738 1'80,0(41 0.(!00 141),00) 10,000 4,335 113,(Y 110 6,000 107,000 6,000 4,680 9a0,U0u )00 925,000 25,000 31,560 6(10,000 30,000 570,000 30,000 24,225 86, (,00 925,000 50,000 39,063 9; "1 1,781,000 60,000 1,225,000 60,000 63,205 $1,rG~,u00 1,000,000 59,050 S 6,283,000 51,0(.:11,0(0 $3_6,000 °6,937,000 $351,000 $289,687 S 2,783,OrJ0 $140,000 $ 2,645,000 $140,GGO $ 71,675 887,000 43,000 844,000 44,000 23,838 926,000 42,000 884,000 44,000 25,860 4,900,0(,0 75,000 4,825,000 85,000 189,645 I 3,000,ON 250,000 2,750,000 250,000 79,737 1,000,000 50.000 950,000 - 50,000 '10,800 J ~ 53,500,040 3.5001000 144~,248 $13,498,000 $3,500,000 $600,000 $16,398,000 $613,000 $,75,803 $ 45,000 $1,450,000 $ 45,000 $ 58,000 ;1,495,000 8x5,000 30,000 815,000 30,000 26,990 17 S, G)0 15,000 160,000 15,000 5,110 850,000 50,000 800,000 50,000 27,550 1 060 000 _ ZO,OOf? 11 040,000 451000 55,900 J 4,425,GOO $160,000 $4,265,000 $185,000 $173,550 I II 1 _35. I , FUTURE. DEBT REQUIREMENIS - AIL tU5'G5 CITY OF DEN1'ON, 1EXAS Based un bonds and warrants payable i; f f- 97i, Year h+.dire _ 31:NFpA1, OBI,TCATIoN _ Sc,pr,mbcr 30 Total 1971 $ 351,000 5 189,h87 f;,O,f87 1972 428,000 273,408 701,408 _ 1977 433,000 254,530 667,530 1974 438,000 235,680 673,680 1475 439,000 217,999 656,999 1976 439,000 200,770 639,770 3417 400,000 183,830 583,830 1978 400,000 168,173 568,273 h 1979 400,000 152,448 552,448 1990 396,000 1?6,570 532,570 1981 402,000 120,700 522,700 3982 40[,000 104,555 >05,555 1983 91',,000 88,252 4['3,252 1980 323,000 74,217 399,217 398, 325,000 60,087 385,087 1986 300,000 45,825 345,825 1987 240,000 33,520 273,520 1988 245,000 21,992 266,992 1989 150,000 12,065 162,065 1990 50,000 4,050 54,050 1991 50,000 1,250 51,250 1992 1993 € 1994 :995 1996 $6,937,000 $2,679,603 $9,(16,608 s I SCHEDULE 11 I h ELF,C:FRIC SY'SIFpt RHl'bNL'E WATER AND SEWER MUM REVENUE Pr iRC 1091 [111 FYr:T-r. ~iCnL '10tH] > 613,000 $ 575,803 $ 1,188,803 $ 185,000 $ 173,550 $ 358,550 735,ODD 618,906 1,353,906 195,000 165,475 360,47: 697,010 589,303 1,286,303 195,000 157,225 352,225 709,000 361,931, 1,270,934 200,000 148,975 348,975 716,000 531,388 1,250,388 205,000 t40,525 345,525 130,000 506,77? 1,236,772 215,000 I32,165 347,165 742,000 478,993 1,220,993 ?15,000 123,558 338,558 714,0011 550,F05 1,10'4,805 220,000 114,900 334,900 768,000 i2?,090 1,190,090 227,000 106,043 331,043 780,000 391,7,- 1,,7.,723 230,000 97,018 327,018 79.,00) VII 84 1,156,789 230,000 87,783 317,783 S061 O(A 3[,33+ 138,33', )40,000 78,497 318,497 420,001+ 3'11,4x1 1,121,424 240,000 68,8+5 308,845 b3G,0U0 7O,1 tr 1,104,127 245,000 59,187 304,187 153,000 241,(11-' 1,094,012 230,000 49,330 279,330 687,OCO 213,055 900,065 235,000 40,050 275,050 70-,000 183,140 388,140 195,000 30,545 225,545 U,OL'i) 131,605 881,605 200.000 22,395 222,395 %50,(Gu 118,760 868,760 205,000 13,995 218,995 721,000 86,045 811,045 160,000 6,097 166,097 750,000 53,360 803,360 140,1100 32,305 172,305 140,000 23,380 163,330 1,140,000 15,750 155,750 140,000 9,450 149,450 140,000 _ 3,130 143.150 $16,398,000 57,529,412 $23,927,412 $4,265,000 $1,816,158 $6,081,158 E -37- M - 9 SCHEDULE III GENERAL l'UND E511MA,8D AND Al. ITA1, RSVFNL'i', CITY OF DEMON, TEXAS Year Ended September 30, 1970 Actual Revenue Estimated Actual Over or (Under) Prior Fiscal Revenue Revenue Estimated Year r~vcc ~ Current taxes $ 437,185 $ 453,179 $ 15,994 $ 503,437 Delinquent taxes 20,000 19,388 (612) 24,457 Penalty and interest 13,000 13,595 595 10,952 470,185 486,162 15,977 538,845 01HER IAXF.S Sales tax 555,000 587,380 32,380 549,498 FranclvisC tax - Done Star Gas Co. 20,400 20,396 (4) 19,461 Franchise tar: - Ccneral IVI(I'11011c: Gn. of the South est 27_j 400 27,379 (21) 22 630 6112,800 635,155 32,355 591,589 FFFS FRphl FAA' V'F-PROMVING FAl_ i LI i I E (,irlage 1'4 rgc4 - rt,i2tntial 190,00 197,680 7,680 200,573 t•arbagu c arFcr, r4111mCrCial 81,(•)0 89,235 8,235 84,158 Swiraning P( -l ,rc.ipts 10,000 11,212 1,212 8,193 Cemcttt} i(ts 1,700 1,680 (20) 1,838 Commiiait} bui'' .g rent 6,000 3,241 (2,759) 5,464 Ai rpotIt 14,0Q0 _ 17,097 3,097 - 302,700 320,145 17,445 300,226 FINES AND FEES Corporation Court 140,000 154,578 14,578 144,058 i Animal pound I,000 1,908 908 243 Automobile pound 800 1,607 807 1,011 Police record checks 300 216 (84) 548 142,100 158,309 16,209 145,860 i y LICENSES AND PERMITS Zoning permits and petitions 700 780 80 1,360 Tax certificates 1,100 1,379 278 1,123 Dag licenses 100 63 (39) 108 Electric and plumbing licenses 1,800 1,360 (440) 1,400 Vital statistic, 1,700 2,368 668 2,049 Building permits 14,000 16,121 2,121 15,084 Miscellaneous permits 1,600 1,670 70 1,756 Loading zones 574 589 15 497 Carhagc, permi s 2.200 2,834 635 2,146 23,774 27,162 3,388 25,523 i -38- I SCHEDULE III (Cont'd) GENERAL FUND FST10'7D AND AGTUAL RHVENVE CITY OF DiiN10N, TEXAS Year Ended September 30, 1970 Actual Revenue Estimated Actual Over or (Under) Prior Fiscal Revenue Revenue Estimated Year MISCETIANEOU.S RF.VENTUES Parking meter receipts 3,000 2,554 (446) 0,586 E.lecrric inspection; 3,600 3,820 229 3,861 Plumbing; inspections 4,500 5,604 1,104' 5,048 Country tire rues 1,500 1,460 (40) 1,389 Cvlnty radio and identification 3,000 3,000 - 3,000 Roots and cuncessi,ns 1,000 5,066 4,066 889 Silo of scrap ructial - 26 26 769 Khtul,ing MIA 37,000 48,091 11,091 31,918 lnter6:ct mitt? 3,000 919 (2,081) 4,767 Mibccl'areo"w Inco:x, 13,500 14,580 1,080 4,379 paving int rc=t 2,110 2,110 D", fr +,L r, .t, rc-:0,141, 170,000 513 (109,487) Fixei asstt Ilk _ 33,834 35,909 75 _ - 275,934 123,661 (152,273) 59,706 TRANSFESS FRpM OTHER F00, FLFi,'t:F;1:C ti'rSl'F,d Fl?lU Aininistrative services 238,928 234,807 (4,121) 208,754 Return on net investment 629,373 629,373 545,254 WAIER AND SEWER SYSIEM 1IND AdministrEtive services 79,643 78,269 (1,374) 69,584 Return on rut wFstment 182,427 182,427 - 169,831 1,13D,371 1,124,876 (5,495) 993,423 $2,947,865 $2,875,470 $(72,394) $2,655,173 I~ 1 1 1 _39- I I i i SCHEDULE IV GENERAL FL-0 APFROI'RiAIIOI•,~ AVU lAPF1'Di1tRF.S ADD ENCUMBRANCES CITY OF DFN'II)N, IERAS ! Year Ended September 30 ,1970 Expenditures r Expenditures and Encumbrances Appropriations and Encumbrances Prior Fiscrl Year CENERAL COUFNMENT S 77,428 Salaries and wages $ 79,638 $ 91,171 Supplies 6,944 7,941 10,822 M,intcnance 10,518 11,878 2,365 Service,; 65,618 60,989 47,788 { Sun-3rv 105 1,581 183 Capital c,utlxy _ 7,400 11,6ti4 2,345 170,223 191,124 140,931 LEGAL Dhl,AliiT[i'Ni Salaries an,' ()1,724 60,027 55,028 tit'l'pli2,82U 2,51/+ ,842 Mai nt.- s c 1,331 1.454 801 13,052 ~ Scri;:ty 16,300 1 45a _ 27 124 S, ndi v Capital tiay _ 31900 4,381 1912 86,075 86,367 75,759 CONN "S' H Dl iF ! 0i?11 SdLarit, s,l.! ag-s 145,614 143,021 121,301 Supplies 6,250 7,435 4,205 Main[ens^:ce 1,235 6,054 13,728 Services 9,813 14,277 16,717 i Sun'ry 325 323 Capital o•,•. Lay 10,700 10,388 6,620 177,937 161,498 162,571 j CIVIL DEFENSE 1 Salaries and wages 16,173 16,634 16,021 S.ppiies 532 2,343 2,948 1 Mai nteeanrc 810 2,301 1,437 { Services 1,930 1,874 1,878 Capital outlay 5,423 2,07Q 2,523 24,868 25,222 24,807 F1NANf,E ADMCNISIPWiION 29,454 Salaries and wages 25,556 24,280 Suppl ies 635 992 559 Mairte iancr 327 287 118 Services 1,365 1,128 802 { Capital o"ttlay. 280 450 1,308 28,163 27,137 32,241 I i -40- i I ill a, d SCHEDULE 1V (Cont'd) I GENERAL FUND \5 ;LVD I.XPE,`N PCRFS AND ENCCXURANCES ASrRU1R%[~O. CITY ()1 UP:NIOV, TEXAS Year EndEd Sep [ember 30, 1970 Expenditures Expenditures and Encumbrences Arc,,,,-,t Appropriations and Encumbrances Prior Fiscal Year I Rlcm,-OF•+1AY Salaries and wages 8,x,44 8,743 Supplies 3148 326 - taiuteridice 580 589 . Se rvic'c 929 739 - l Gapit ,l o.7tlay 168 JJ 0,401 10,565 _ i P('R(iiA;I\o n.277 12,685 ' Salaries 18,812 and i,a•', s 1,515 Ir( 827 Supplies 1°'?60 130 Sergi i1 ,41 10 1,33' l'~2 (is 12 47 --'2 - 12,312 21,056 15,053 l ACCOIAIIKG, B1ItI`iG, ASD "l-1F.(.T'INC' 154,207 Satyr'.ES ar,d 7,ages 161,245 165,683 18,287 19,411 17,294 569 Supplie s 4,577 4,087 3,569 _ t4alnt<_narL( c 38,953 Sen7ices 37,994 38,103 289 J Sundry 194 Capital t V 475 _ 540 1,477 or`.a 222,772 228,113 215 500 + TAX 24+134 Salaries and wages 26'712 26,600 4,590 1,332 { SuppliE's 4,960 380 Maintenance 381) 1,381 088 1,431 431 Services 1,425 1.053 Capita. 33,330 3J,4i7 32,659 HEA1,11i 1NSPCCIION 8,452 SalariE~ and wage,, 331 SuppIicS _ 561 ' Maintenance c 344 { I~ Services X696 Capital aitlaY - - 15,384 ~ I SAN(IATION-COLILGTiON 195 148 Salartes and wages 213,410 211 5 314 9,024 15,984 Suppplies 16,983 - 33,000 31,932 30'993 Services ntpn.ance rvices 331330 3',439 + Sundry 28 279 1,809 1,809 4.488 Capital outlay 284,089 300,560 704,016 -41- I I SCFi£OULE IV (Coat'd) GENERAL FUND ` APPROPRIAiiONy AND FXQFNfr; it RES AND ENCi1MBRANCE5 CilY OF DENTON, TFXAS Year Ended September 30L1970 Expenditures Expenditures and Encumbrances Acc unt Appropriations and Encumbrances Prior Fiscal Year SANIfATiON-DISPOSAL Salaries and wages 21'912 22,342 20,465 S_pplics 772 1,342 755 8,500 10,638 5,680 S i ~ n a c c' Services 10,350 9,673 9,608 Capital outlay 1,200 2,050 161 42,734 45,722 36,669 POLICE S 646 446,087 442,240 390,297 Salaries and wages 26,286 28,568 Supplies 34,614 25,091 Maintenan a 26,037 26,095 Services 42,825 38,297 29,719 Inventory purcnases 6 1,701 2,366 400 Sundry 863 Capital outlay - land capital outlay - plant and 10,97_9 14,474 8.882 equipment 562,303 549,764 483,820 FIRE 241,576 Salaries and wages 355,850 361,116 8,624 Supplies 9,079 9,106 Maintenance 8,363 9,291 6,579 Services 22,191 21,996 18,233 Capital outlay 6,560 5,391 5,614 I 402,043 406,960 3369626 STREET AND BT'IDC;E 170,638 136,446 Salaries and wages 170,821 Supplies 7,711 8,574 7,325 Maintenance 101,065 120,751 92,794 5 87,627 89,789 37,550 ervtces 100 Sundry _ Capital outlay land 1,500 1,277 Capltb; c' tldy - plant and 19,691 32,420 11.18 eG.ifm nt 388,415 422,272 286,580 PARKS - d MIN15rRATION AND PARKS 91,049 93,549 84,093 Salaries and wages Supplies 14,12n 10,882 13,608 Maintenance 9,880 17,316 11,220 Service 27,883 33,832 28,206 capital outlay - land 17,093 14,459 5,973 capital o,rtlay - plant and 71620 10.065 2,135 equipment 167,645 180,094 150,235 -42- SCHEDULE IV (Cont'd) GENERAL F,'ND GPPROPRIA11ON5 AND EXPENDITURES AND ENCUMBRANCES CITY OF DEN"ION, TEXAS Year Ended September 30, 1970 Expenditures Expenditures and Encumbrances Acr.`Jnt Appropriation; and Encumbrances Prior Fiscal Year PARKS - SN11MM1NG Salaries and wages 11,541 13,280 12,166 S1,pplics 2,785 2,452 1,284 Maintenance 3,018 2,721 1,911 Services 2,800 3,040 2,350 Sundry (awards) 400 20 436 Capital uutlay 2,80 0 2,118 605 23,344 23,631 18,752 PARKS - RECREATION Salaries and wages 43,479 43,085 38,682 Supplies 4,725 4,956 3,686 Maintenance 3,550 2,724 1,831 Services 23,450 21,388 11,389 Capital outlay - land 2,000 289 2,292 Capital outlay - plant and equipment 3,210 2 997 3,376 80,474 -5,439 61,256 CEMETERY Salaries and wages 20,385 20,763 14,890 Maintenance 800 514 466 Services 380 414 868 Capital outlay - - _ 7,31 9 21,565 21,691 23,543 LIBRARY Salaries and wages 34,277 33,239 27,073 I ~ Supplies 2,021 2,949 9,512 Maintenance 300 434 1,645 Services 12,567 14,436 5,805 Capital outlay - land - - 300 Capital outlay - plant and equipment 11 296 14,171 2,224 ~~1 65,229 46,559 AIZPORT Supplies 5 215 Maintenance 14,434 16,092 Services 3,810 2,511 Sundry 3,000 3,000 Capital outlay - land 7,132 7,202 Capital outlay - plant and equipment _12,!400 8,950 40,781 37,970 .43- 1i 1 SCHEDULE IV (Cont'd) J GENERAL FUND APPROPRIA11ONS AND FXPEND11CRES AND ENCUMBRANCES CITY OF DENI'ON, TEXAS . 1 Year Ended September 30, 1910 Expenditures Expenditures and Encumbrances Account Appropriations and Encumbrances Prl,or Fiscal Year CITY-COUNTY HEALTH UNIT Salaries and wages - 249 Supplies - 122 Maintenance - 406 Services 21,500 25,321 Capital outlay 281 _ 21,500 26,379 NONDEPARIMENTAL EXPENDITURES Flow Memorial Hospital 35,000 35,000 _ Insurance 54,000 15,259 12,995 Equity in loss of Working Capital Fund - 11,318 1,117 Other - - 1,567 City-County Health Lrnit 10,854 89,000 61,557 260533 TRANSFERS TO OTFIER FUNDS FOR SPECIAL PROJECTS Parks and Airport Fund - - 4,027 Library Building Bond Fund - 659 4,686 I~ IOTALS GENERAL FUND $2,977,053 $3,024,465 $2,474,934 I r. L I -44- i SCEEDCLE V ELECTRIC SYSTEM 1'0113 ESTIMATED AND ACT"AL REVEb-UE C17'i OE DEN10'<, 1EXAS Year Ended September 30, 1970 mctuai veer nevenue Estimated Actual (Under) Prior Fiscal Revenue Revenue Estimated Year ECEC1FiC WND Cast.N%ur sales - residential $1,660,000 $1,734,509 $ 74,509 (See Note Ci,stomcr sales - connnercial 2,350,000 2,462,894 132,894 Below) Penalties 35,000 51,683 16,683 Du,k-to-dawn rental fees 15,000 16,038 1,038 Intra-governmental sales 260,490 198,844 (61,646) Collection on charged-off a.coints 1,500 976 (524) Reconnection fees 600 652 252 - Resale prr;er irc=o 3,200 6,306 3,106 Power purchased a,:d res?ld 24,000 2,105 (21,895) Sale of scrap material - 8,946 8,946 Interest incme 35,000 72,852 37,852 1 Over and s4~ort - (89) (89) Miscellanea,; ice ane - 7,220 7,220 $4,381+,790 $4,583,136 $198,346 $4,001,273 i i NOTE: Prior year's detalitd bZ4 akdown not available, -45- SCIIEDL'LL V1 ELEI IitIC SYSIFX Ftt.U APPROPRIATIONS AND E;RF'FNUIICRLS' AND 11N' U' 'M A:J 0111 OF DENPIN, IU Ati Year Ended September 30, 1970 Fxpenditures and Expenditures and Encumbrances Acco.nt Appropriations Encumbrances Prior Fiscal Year Ei.ECIRIC PEODICIION Salaries and wages $ 299,069 $ 292,000 $ 267,191 Supplies 23,184 29,549 33,143 ko ccr t! 11!1 71 9Q~ Fuel frr electricity productinn 836,958 887,357 744,560 Services 37,620 34,286 3,697 Sundry - 319 Capital outlay 19,859 __17.,032 18,086 1,245,356 1,301,673 1,099,073 ELECTRIC DIS1RIK TION AND METERING Salaries and wages 313,707 3Q5,226 250,346 Supplies 7,700 11,535 17,553 Maintenance 49,910 51,145 37,189 Services 38,089 38,431 38,781 3nndr,y 1,000 1,269 196 Capital outlay 213,993 354,873 290,883 624,399 763,479 634,948 FRO RAIA SHARE OF t:T11,I1Y ADMIN15TRAIiON f,\'':NSE. Salaries and wages 49,405 49,970 40,534 Supplies 2,056 2,650 1,558 Maintenance 1,340 1,421 932 Service 19,862 18,140 13,915 Sundry 16,993 17,795 Ecnnomi:: dcvelopmcnt 26,666 31,802 22,003 ! Capital outlay, _ 800 820 2,703 117,122 122,599 81,645 NONDEPARThtEN1AL EXFF.NDII'CRES Interest and redemption requizements 1,057,325 1,057,325 475,164 Transfer to Ccneral Fund - Administrativ: Services 238,928 234,807 208,754 Return on net Investment 629,373 629,373 545,254 :119 ,ranrc 58,000 42,387 56,049 Bond insurance expense - 6,289 Equlty in loss of Working Capital Fund 108,133 38,865 F'ruvlsicri for uncollactible ,accquntF 26,577 13,428 1,983,626 2,104,891 1,3374 514 $3,970,503 $4,292,642 $3,153,180 -46. f I I SCHEDULE VII YE t'It;rU r 1t'A! A I-Xj{ 1 I Year Ended September-30, 1970 Actual Over Revenue Estimated Actual, or (Under) Prior Fiscal Revenue Revenue Estimated Year WATER FUND REVENUES Customer sales - residential $ 539,000 $ 533,385 $ (5,615) (See Note Customer sales - commercial 406,000 350,815 (55,185) Below) Penalties 12,000 18,298 6,298 Intra-governmental 30,653 36,F34 6,231 Tapping fees - water 19,000 18,970 (30) Reconnection fees 500 - (500) Sale of scrap material - 159 159 Miscellaneous inccm,e 200 37 (163) Interest incur e 5,000 _22,680 17.680 1,012,353 981,228 01,125) SEVER FUND khVENVES Customer sales - residential 195,656 192,623 (3,033) Cu tomer sales - c,mrnerelal 127,144 121,649 (5,495) Tapping fees - sewer 6,000 5,435 (565) I Sewer extension, 11500 1,365 135) 330,300 321,072 (9,228) $1,342,653 $1,302,300 $(40,353) $1,242,451 I NOTE: Frior year's detailed breakdown not available. Q -47- scNeol:Le vi11 [JAIEH A.'JD SFWi:H SFSCl`Pf llti0 AP:FOYRIAITrNS AND EXPE^EUII' PF°S ARU ESI'INt cAD:Cr'S C I I y oP DEN10S, iE.(',S Ycar Ended September 30 i 970 Expenditures and Expenditures and Encumbrances Acc1jilt Appropriations Encumbrances Prior Fiscal Year WATER PRODI.ClION Salaries and wages $ 61,305 $ 61,152 $ 57,157 1 Supplies 111,287 48,762 51,197 Maintendnce 7,797 7,022 4,381 rrvo,ctian power ~ 52,417 50,884 48,535 ServileS 26,572 25,879 5,053 Capital outlay 2,527 4,679 135 181,90) 198,378 166,458 WATER DISTRIBUTION AND METERING Salaries and wages 105,380 102,8-3 96,071 Supplies 5,937 6,288 5,591 Maintenance 28,906 23,402 28,244 J Services 21,566 19,942 21,134 - Sundry 65 68 578 Capital outlay 179,519 284,871 147,812 341,373 437,414 299,430 SEWAGE TREATMENT AND DISPOSAL Salaries and wages 54,889 51,655 49,422 Supplies 5,917 4,445 5,127 Maintenance 4,444 4,362 2,550 Production power 12,854 11,262 10,558 Services 2,410 3,529 1,254 Capital outlay 3,625 3,906 430 84,139 79,159 69,341 SEWAGE COLLECTION Salaries and wages 103,368 105,065 79,768 Supplies 7,099 6,822 6,326 Maintenance 20,967 14,185 10,173 I Serviee5 24,534 24,703 25,453 Sundry 200 275 1,935 Capital outlay 521920 71,606 18,661 209,088 222,656 142,316 -48. SCRF.DL'LF. VIII (Cont`d) WATER A?,0 SFl,9(R 91'5TCPI FUND APPROPR1AM)N'S AND EXPFNDIRRF:S AND r,NCE~tiIERAN~'f:F CfTY OF DEMON, 1F.7(AS J Year Ended September 30, 1910 Expenditures and Expenditures and Encumbrances f A. count Appropriations Encumbrances Prior Fiscal Yenr PRO RATA SM RE OF UTILITY ADKINISTRATION I'XPENDIIURE Salaries and wages 24,702 24,981 20,267 Supplies 1,028 1,325 779 Maintenance 670 710 466 Services 9,930 9,069 6,958 Sundry 8,497 8,897 - Economic development 13,334 15,901 9,575 Capital outlay 400 1,226 58,561 60,883 39,271 NOI:DEPARIMENTAL EXPEND1711RES Transfer to General Fund - Administration 79,643 78,269 69,584 Interest expense - 1,817 - Return on net investment 182,427 182,427 169,831 Insurance 14,900 4,500 5,953 Interest and redemption 354,667 354,662 151,969 requirements Equity in loss of Working Capital Fund - 20,799 36,510 Bond insurance expense - - 6,459 - Provision for un,)llectiblc 7.480 7,151 accounts _ 631,632 649,954 447,457 $1,506,698 $1,648,444 $1,164,273 1 -49. SCHEDULE Ix RI{l'EGYE Bc,;~u hf`.i;l tiJb'e'x'.r,h. CIl'i cF U1:'C!1`, TE:\AS Septeml,et 30, 1970 r J Electric System Fund: Cross rev(-nuo $4,591,880 Maintenance and cpcrattag expenses (excluding bond interest and depreciation) 2,102,430 NET REVENUE $2,489,450 Largest annual debt requirement (1972) $1,353,906 Debt coverage 1.84 Water and Sewer System Fund: Grass revenge $1,307,050 Maintenance and operating expenses (e.-.cluding bond interest snd depreciation) 1_624,482 ATT REVENUE $ 682,568 ih it Largest annual debt requirement (1972) $ 360,475 Debt coverage 1.89 i i SCHEDUIE CITY OF DISNION, 11,XAS Septc•m`.1er 30, 19'i0 Interest Maturity I Rate Date Amount e GENERAL FUND operating Fund: Time certificates of deposit: Denton Federal Savings and Loan Association 5-1/4% Note $ 10,000 Nort'r, Texas Savings and loan Association 5-1/4% Note 10,000 $ 20,000 ELECTRIC SYSTEM FUND System Fund: Time certificates of deposit: Denton Federal Savings and Loan Association 6% Note $ 10,000 North Texas savings and loan Association 6% Note 10,000 Open time deposit - First State Bank of Denton 6.3% 9.30-71 200,000 $ 220,000 Revenue Bond Debt Service: Tine certificates of deposit: Denton Federal Savings and Loan. Association 5-1/4% Note $ 10,000 Norti Texas Savings and Loan Association 5-1/4% Note 10,000 $ 20,000 Revenue Bond Reserve: Time certificates of deposit: Denton Federal Savings and Loan Association 6% Note $ 100000 North Texas Savings nod Loan Association 6% Note 10,000 Open time depnsits - First State Bank of Denton 6.3% 12-31-70 917,000 Open time aeposits - First State Bank of Denton 6.37. 5-30-71 17,558 Open time deposits - Firs. State Bank of Denton 6.3% 7-31.71 13,393 967,951 U.S. Goveriwrent obligations: - U.S. Ireas-iry Notes (market value - $79,950) 5% 11.15.70 80,000 U.S. Treasury Bvnds Gnarket value - $41,611) 4.1/8Y, 11•15-73 44,844 / 124,844 $1,092,845 1 Revenue Bond Gonstrvcttt... Open time deposit • First State bank of Denton 4% 12.30-70 $ 175,000 !I 1 ~I .51. SCHEDULE X (Cont'd) INVESTMENIS - ALL FUNDS Cln OF [IfNiJ\. 18,XAS Septemher 31), 1970 Interest Maturity Rate Date Amount WATER AND SEWER SYSTEM FUND System Fund: Time certificates of deposit: Dent.m Federal Savings and Loan Association 5-1/47. Note $ 10,()00 Norti, Texa- Savings and Loan Association .5-1/4q Note 104000 $ 20,000 Revemie fiord Debt Service: Open time deposit - First State Bank of Denton 4% 11-30-70 $ 37,000 ReVem]e Pond Reserve: ' Time certificates of depusit: Denton Federal Savings and Loan Association 6% Note $ 10,000 North Texas Savings and Loan Association F% Note 10,000 Open time deposit - First State Bank of Dc ton 6.3% 12-3I-70 330,000 Open time deposit - First State Bank of Denton 6.3% °-30-71 5,294 Open time deposit - first State Bark of Denton 6.3% 7-30-71 4,911 ` $ 360,205 MOIOR POOL FUND Operating Fund: Time certificates of deposit: Dentun Federal Savings and Loan Association 6% Note $ 10,000 + North Texas Savings and Loan Association 6% Note 10,000 Open time dapoiit - First State Bank of Denton 4% 12-30-70 100,000 6 120,000 SPECIAL REVENUE, TRUST, AND AGENCY FUNDS I Open time deposit - First State Bank of Denton 6.3% 7-15-71 $ 494 Note: time certificates of deposit;, are automatically renewed for six-month periods until cancelled. f f INSUW CF 1N VOA1 'I. MY OF DFNION, 1FXAS Septemhcr 30, IWO Policy Expiration InSl,•ancc C~nnpany Number Date The Home Indemnity Company NB-JI-3727 9-18-7I the H?ne I.demnity Company N-32-63-11 10- 1-72 J 1 Gulf Tnsurance Cocipany SCP5292715 12-18-72 i Continental Insurance Umpany IM114-38414 9-20-71 1 Continental Insurance Company F6006359 10- 1-70 , The Fidelity 6 Casualty Co. of N. Y. PG2728466 2-24-71 The Fidelity & Casualty Co, of N. Y. IMH4-01466 11- 1-72 Commercial ins,rarce Company 23F6006360 10- 1-70 Commercial Ins+irance Company 23F6531844 10- 1-70 J i Gulf Insurance Company GH5413017 1- 1-71 I 'tiro City Fite Insurance Company 46ESBOO5395 10- 1-71 Employers Casualty Company A-551513 1- 1-73 -53- w TABLE 1 Cu, .[48L, Amount or limit Faithful performance bond - tax assessor $ 10,000 Faithful performance bond: City Manager 72,500 Director of finance! 72,500 Each employee 2,500 Assistant ity manager 72,500 Robbery outside premises 1,6fi5 Robbery inside premises 2,000 Sound equipment at civic center 10,241 Fire and extended coverage on utility systems, 12,400,000 buildings and contents 90% coinsurance Comprehensive glas-, policy - city hail Total loss Utility accounts receivable - destruction of records 660,000 Fir,- and extended coverage on buildings and contents 1,623,500 not otherwive covered 90% coinsurance j Fire and extended coverage on library building, city 1,043,468 I hall and contents 80% coinsurance Public liability: General: Bodily injury 100/300,000 Property damage 50,000 Automobile: Bodily injury 100/300,000 Property damage 50,000 General boiler and machinery 50000,000 Workmen's compensation 20,000 -54- TAbLF 11 ASSESSED VALI'ATICEN,9 AND TAX ASSKSSED CITY N PIN!0N, IEXAS 1'ca' IrulL'd _ Assessed Valuations Sptcnhrt 30 Heal Property Personal Property Total Total Tax Assessed Iv6i $26,193,240 $ 6,473,065 $33.166.Ina 6 ,5. - \ IQR r.+~ru,.a+ew A.r wll,A>Ah49i'WxVAa Amfjao{` - LJU „ JU 36,775.174 5510628 I 1'3 b3 32,167,638 7,779,232 39,946,870 599,203 1965 36,105,470 7,230,770 43,336,240 196 39,713,490 8,836,110 650,044 1966 42 978,6)0 48,544,600 728,244 1967 4. 9,494,495 52,473,105 787,096 ,403,190 11,255,685 58,658,875 879,883 1968 49,367,720 12,222,198 61,589,918 1969 52,065,360 14,934,931 67,000,291 1,0923,849 05,004 19;n 55,417,040 15,65P 946 71,076,036 1,066,141 i TAX BATES The constitutional and statutory tax rate limit, including debt servtce, 1s 52.50 on each $100.00 of assessed valuation. The City of Denton's tax rate is $1.50 on each $100,00 of assessed valuation. The assessed valuation is 40% of trLe estimated value. TAX 11C E DRIES AND PENALTIES Tuxes are due on October 1 and become delinquent on February 1, Taxes may be Laid in two installments, one-half by December 31, and the balance before Ma nh 31. Penalties due on delinquent taxes accrue: February 2%, March 5%, April b'., May 7X. Interest on delinquent taxes in addition to penalties, accrues at the rate of J7; per month. No discount is allowed for early payment, T I 1 i -55- I, Y k Table III TAX ASSESSMENT AND COLLECTIONS - CITY OF DENTON, TEXAS Collection of Year Eidad Total Currcnt Year's Percentage of Levy Septomlcr 10 Assessment* Taxes During Year Collected During Year 1961 $ 480,45(1 $462,634 96.297 1962 549,807 501,956 91.30 1963 598,710 545,358 91.09 1914 648,283 608,596 93.88 1965 722,718 683,137 94.52 1966 785,322 732,325 93.25 1967 877,537 811,554 92.47 1968 923,849 873,030 94.49 1969 1,005,004 930,679 92.60 1970 1,057,259 994,426 94.10 k:otal tax levy figures are adjusted to include debit and credit memos and the effects. i I ✓ I I i I Ii 1 i -56- i I r _ TABLE IV MISCELi.SNEOiS STATISTICAL DATA CITY OF DEMION', TEXAS September 30, 19'ib Area of City 28,83 square miles Date Of incorporation September 26, 1866 Form or government Council - Manager Iutal lity employees 503 Y e a r E n d e d S e o_t e m b e r 3 0 1966 1967 1968 1969 1970 Estimated population 36,000 38,500 39,000 39,000 38,865 Tax rate - per $100 valuation $ 1.50 $ 1.50 $ 1.50 $ 1.50 $ 1.50 Assessed valuation $ 58,658,875 $ 61,589,918 $ 67,000,291 $ 71,076,036 $ 76,946,640 Electric. production (KW11) 198,346,800 217,275,500 239,672,011 273,621,'451 300,291,140 Electric customers 10,586 10,750 10,9'0 11,050 110016 Water prodvction (1,000 3allvTis) 1,507,456 1,717,276 1,704,250 1,939,516 2,340,737 Water customers 9,602 9,750 9,950 10,050 10,177 General Fund revenges $ '.,504,474 > 2,021,888 $ 1,174,935 $ 20655,172 $ 2,875,470 General Fund ezpendih,res and cncur,lrances $ 1,664,849 $ 2,054,773 $ 2,034,625 $ 2,474,934 $ 3,024,464 11 Ie"'1 -57.