HomeMy WebLinkAbout2025-045 Popular Annual Financial ReportMay 9, 2025 Report No. 2025-045
INFORMAL STAFF REPORT
TO MAYOR AND CITY COUNCIL
SUBJECT:
Popular Annual Financial Report Document
EXECUTIVE SUMMARY:
To complement the existing Annual Comprehensive Financial Report, staff has produced the
“Popular Annual Financial Report” document which summarizes financial position and
achievements of the City.
DISCUSSION:
The Government Finance Officers Association (GFOA) established the Popular Annual Financial
Reporting Awards Program (PAFR Program) in 1991 to encourage and assist state and local
governments to extract information from their annual comprehensive financial report to produce
high quality popular annual financial reports specifically designed to be readily accessible and
easily understandable to the general public and other interested parties without a background in
public finance and then to recognize individual governments that are successful in achieving that
goal.
The Popular Annual Financial Reporting is available on the Finance page of the City’s website.
https://www.cityofdenton.com/402/Finance
ATTACHMENTS:
1. Fiscal Year 2023-24 Popular Annual Financial Report
STAFF CONTACT:
Jessica Williams
Chief Financial Officer
jessica.jwilliams@cityofdenton.com
(940) 349-8244
REQUESTOR: Staff Initiated
STAFF TIME TO COMPLETE REPORT: 30 Minutes
Sara Hensly
City Manager
A Message from Our City Manager
TABLE OF CONTENTS
Message from Our City Manager
Organizational Chart
City Council & City Manager
City of Denton: Focus Areas and Numbers
Mayhill Road and Bridge
I am pleased to present the City of Denton Popular Annual Financial Report (PAFR) for the Fiscal Year
that ended Sept. 30, 2024. This high-level overview aims to simplify and detail the City's financial
position and activities. The information is drawn from the City’s Annual Comprehensive Financial
Report (ACFR).
The City’s annual budget process begins in February and ends in September with the adoption of the
budget by the Denton City Council. The process includes opportunities for Council and community
involvement through public meetings and workshops. The adopted budget includes a tax rate of
$0.585420 per $100 of valuation, an increase over the previous year attributed to the voter-approved
2023 Bond Program.
The adopted FY 2024-25 budget was developed within the context of a five-year financial plan and in
response to the community's ongoing infrastructure needs. This approach aims to provide a long-term
and financially sustainable perspective for decisions in the coming fiscal years. The FY 2024-25 budget
for all funds is $2.35 billion and includes 1,982 full-time equivalent (FTE) positions.
I am committed to strategically and responsibly planning for future generations while simultaneously
addressing the necessary replacement and enhancements of infrastructure. The adopted FY 2024-25
budget continues to prioritize resources for public safety, supporting a healthy and safe community.
The City continues to see a competitive labor market and inflationary pressures on operating
expenses, including contract price increases, as reflected in the adopted budget.
Welcome Readers!
PROJECT SPOTLIGHT
FINANCE
City of Denton Budget Cycle
2024-2025 Adopted Budget
General Fund: Budget to Actual Comparison
Budget Overview: Capital Improvements
Budget Highlights
Grants Overview
Government-Wide Financial Statements
City of Denton Transparency Stars
Definitions
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11-12
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Citizens of Denton
City Council
City ManagerCity AuditorCity Attorney Municipal
Judge
Board, Commissions, +
Committees
Deputy City Manager Asst City Manager Asst City Manager Chief of Staff Marketing +
Communications Police
Denton
Municipal
Electric
Fire/EMS
Animal Services
Water Utilities +
Street Ops
Human
Resources
Development
Services
Solid Waste +
Recycling
Library
Environmental
Services +
Sustainability
Facilities + Fleet
Capital Projects
Airport
Finance
Strategic
Services
Economic
Development
Technology
Services
Community
Services
Asset
Management
City Secretary
2
Organizational Chart
CustomerService/311
EmergencyManagement
DrainageStreet OpsWaterWastewater
RiskManagementSafetyPolicy Admin
Building SafetyEngineeringFacilitationPlanningReal EstateTraffic Transportation Services
MunicipalCourt
Budget + AccountingPurchasing + Grants
Discover DentonDentonTelevision (DTV)
Public SafetyCommunications
City CouncilCity Council & City Manager
Jill Jester
At-Large
Place 6
Gerard
Hudspeth
Mayor
Joe Holland
District 4
Paul Metzler
District 3
Brian Beck
District 2
Vicki Byrd
District 1
Brandon Chase
McGee
At-Large
Place 5
Sara Hensly
City Manager
Denton’s Government
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Founded in 1866 at the northern tip of the “Texas Triangle” in the
Dallas/Fort Worth Metroplex, Denton has evolved from a quaint
college town to a rapidly growing city with a population around
150,000 and projected to reach 229,192 by 2040.
Denton distinguishes itself with a vibrant arts scene, strong
university partnerships, and community collaborations. Denton
values its history while embracing innovation and sustainability, with
the core featuring an expansive cultural arts district and three
university/college campuses.
Denton prides itself on upholding Six Key Focus Areas:
Pursue Organizational Excellence and Collaborative Leadership
Enhance Infrastructure and Mobility
Foster Economic Opportunity and Affordability
Strengthen Community and Quality of Life
Support Healthy and Safe Communities
and Promote Sustainability and the Environment
The City of Denton is a home rule city and operates under
the Council-Manager form of government. The elected
seven-member council consists of a Mayor and six Council
Members. The Mayor and two Council Members are elected
at large, while the remaining representatives are elected
from single-member districts. The City Council enacts local
laws, determines policy, and adopts the annual budget; the
City Manager is the Chief Executive Officer for the City.
Stay up to date with our
Local Government!
Everything from Council Meetings to
Emergency Preparedness!
154,832 Tons of
Waste Collected
Grow Denton’s
Economic Vitality
Promote Housing
Affordability and
Family - Stability
Assisted
residents in
over $650k in
federal grants
aimed at
housing
assistance
City of Denton: Key Focus Areas and Numbers
Pursue Organizational
Excellence and
Collaborative and
Respectful Leadership
Enhance
Infrastructure and
Mobility
Foster Economic
Opportunity and
Affordability
Strengthen
Community and
Quality of Life
Support Healthy and
Safe Communities
Promote
Sustainability and
the Environment
Become an
Employer of Choice
Ensure Quality
Operations and
Services
Strengthen the
Community and
Surrounding Area
Support Strategic
Investment in City
Infrastructure and
Facilities
Ensure a High
Standard of
Development
Preserve
Community
Character and
Identity
Strengthen
Community
Amenities
Enhance Safety of
the Travel Public
Build Public Safety
Capacity
Increase
Environmental
Sustainability
Preserve Existing
Natural Resources
20,160
applications
received for
City of Denton
UP 71%
69% residents
rate Quality
of City
Services as
Good/Excellent
51,756 Discuss
Denton visitors
UP 27%
444,795 social
media
engagement
(Facebook,
Instagram,
Linkedin)
UP 185%
$65.7 Million
Value
completed by
Capital
Projects
44,110 sq ft of
sidewalk
repairs
UP 808%
111.6 lane
miles crack
sealed
UP 197%
55.4 lane miles
surface treated
UP 8%
219,743 flight operations at
Denton Enterprise Airport
5th busiest airport in Texas
$76.9 Million
in Capital
Investment
Incentives
438 Jobs
Created
76% of
Residents rate
Denton as a
place to live
good or
excellent
480,934
Visitors at the
Library
UP 11%
1,073,770
Library
Materials
Checked Out
999,484
Visitors at
Parks Facilities
UP 18%
14,812 EMS
Calls
414 Fire Calls
94,321 Calls
Received by
Police Dispatch
88% Denton
Residents rate
their overall
feeling of safety
highly
$986,421 in
GreenSense
Rebates
Processed
3.3 Years added
to the Life of the
Landfill
27.46%
Residential
Waste Diverted
With the Key Focus Areas in place, City of Denton’s 2023-24 Year-In-Review
revealed the growth and stability of Denton with the following data:
4
Project Spotlight: Mayhill Road and Bridge
The community has been positively impacted by
the closing of the crossing, including an increase
in safety for vehicle and pedestrian traffic, an
increase in road capacity, improvements with the
intersection, decreasing the risk of potential
flooding in the area, and an increase in sidewalks
and trails in the surrounding areas.
The Mayhill Road and Bridge Projects was funded
through multiple sources, including the Regional
Toll Revenue (RTR), Roadway Impact Fee,
Streets/Traffic CO, and Other Water Funding.
With completion of the road and bridge, Capital
Projects indicates that the construction did not
exceed their 5% contingency budget or the
original budget set. The project was completed
under budget and on schedule.
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Other Water
0.4%Streets/Traffic CO
21.9%
RIF (Roadway Impact Fee)
10%
RTR (Regional Toll Revenue)
67.7%
CONSTRUCTION BUDGET
$19,38 7,776.42
$19,494,698.62
$20,469,433.55
Approx. Closing Expenditures (closeout underway)
Original Construction Budget
Not-to-Exceed (includes 5% contingency)
CONSTRUCTION SCHEDULE
Original schedule was 600 days and an additional 21 days for
inclement weather or change orders.
Finished Project $106,922.20 UNDER Budget
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REQUEST SUBMITTED
CITY MANAGER MEETINGS
PUBLIC MEETINGS
TAX RATE SETTING
BUDGET WORK SESSION
PUBLICATION
RESTART
ADOPTION
SUBMISSION
City of Denton Budget Cycle
FEBRUARY
MARCH
MARCH - MAY
MAY - SEPTEMBER
JULY
AUGUST
SEPTEMBER
DECEMBER
DECEMBER
FEBRUARY
Budget Process Kickoff
All Department Budget
Requests Received
Intention setting,
internal work product
Review of all requests, Public
Utilities Board, and City Council
Certified Property Values
received from County
Saturday Public Work Session of
the City Council
Adoption of the tax rate and
budget by City Council
Publication of the Adopted Budget, Capital
Improvement Plan, and Budget in Brief
Submission of adopted budget to
the GFOA for review
Internal start of the process
for the next year
BUDGET KICK-OFF
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Operating
Revenues
Other Funding
Sources
Total
Expenditures+=Operating
Revenues
Other Funding
Sources
Total
Expenditures+=
7
The City collects revenue from Property Taxes,
Sales Tax, Fees, Fines, and other sources, which are
then placed into various funds. These funds are
regulated based on their Revenue Sources, and the
City follows all accounting rules and legal
requirements.
Major Funds (governmental and business type
funds) include the General Fund, Debt Service
Fund, and utility funds for Electric, Water,
Wastewater, Solid Waste, and the Airport.
Special Revenue Funds support specific programs
like Community Development, Police Confiscation,
Tourism, Street Improvement, Roadway Impact
Fees, Citizen’s Park Trusts, and Donations.
Internal Service Funds cover City operations such
as Technology Services, Fleet Services, Facilities,
Risk Management, Health Insurance, and
Engineering Services.
City of Denton FY 2024-25 Adopted Budget
This graphic shows how the City balances its budget:
The City’s total adopted budget for FY 2024-25, including the
Capital Improvement Program, totals $2.35 billion.
The Adopted Budget serves as the legal framework that allows the City to collect taxes. State law
requires the City to set a budget and property tax rate each year by September 30. The budget must
also be balanced, which ensures that total operating revenues, combined with other funding
sources, are equal to or exceed total expenditures.
For 37 years, the City of Denton has received the Certificate of
Achievement for Excellence in Financial Reporting from the GFOA.
This program helps state and local governments create comprehensive
financial reports with full transparency, going beyond basic standards for
the public to view the financial health of the entities.
Fiscal
Year
Operations and
Maintenance
Rate / $100
Interest and
Sinking
Rate / $100
Total Tax
Rate % Change
2019-20 $0.385360 $0.205090 $0.590450 -4.84%
2020-21 $0.380360 $0.210090 $0.590450 0.00%
2021-22 $0.350440 $0.215370 $0.565810 -4.17%
2022-23 $0.356432 $0.204250 $0.560682 -0.91%
2023-24 $0.354780 $0.205902 $0.560682 0.00%
2024-25 $0.334780 $0.250640 $0.585420 4.41%
I & S Rate .250640O & M Rate
.334780
City’s Rate
.585420+=
City of Denton FY 2024-25 Adopted Budget
In Texas, municipal tax rates are made up of two parts:
The Operations and Maintenance portion of the rate is
designed to provide for general operations of the City.
The Interest & Sinking portion of the rate is designed to provide
for the City’s payment for tax supported debt during the year.
This graphic outlines how the rate is calculated:
Here you will see the City of Denton’s Tax Rate from 2019-2025:
In Texas, property taxes are collected by counties, cities, and school districts. In Denton, the City sets
the tax rate and the County collects the taxes. These taxes are based on every $100 of a property’s
appraised value, and it’s these taxes that help fund essential services like police and fire departments.
Property taxes also help cover portions of general obligation and certificates of obligation debt.
Property tax rates are designed to collect funding for maintenance, operations, and funding debt
service payments, referred to as “Interest & Sinking” (I&S).
8
Taxes
Licenses and Permits
Franchise Fees
Fines and Forfeitures
Fees for Services
Investment Revenue
Intergovernmental
Miscellaneous
Excess (Deficiency) of Revenues
Over (Under) Expenditures
Net Change In Fund Balance:
Fund Balances at Beginning of Year:
Fund Balances at End of Year:
Original Budget Final Budget Actual Variance with Final Budget
Positive / (Negative)
122,967,902
7,934,673
20,376,234
1,893,586
12,029,257
1,857,809
4,551,825
118,249
122,967,902
7,934,673
20,376,234
1,893,586
12,029,257
1,857,809
4,551,825
118,249
123,923,215
5,561,811
17,534,987
2,525,000
12,420,160
3,567,702
3,530,952
304,245
955,313
(2,372,862)
(2,841,247)
631,414
390,903
1,709,893
(1,020,873
185,996
REVENUES:
TOTAL REVENUES:171,729,535
General Government
Public Safety
Public Works
Parks and Recreation
Capital Outlay
43,004,463
93,905,341
3,255,072
24,038,778
601,967
42,805,851
93,933,241
3,255,072
23,978,403
602,865
43,059,616
98,656,738
3,193,453,2
3,681,245,6
661,455
(253,765)
(4,723,497)
61,619
297,158
(58,590)
EXPENDITURES:
TOTAL EXPENDITURES:164,805,621
171,729,535 169,368,072 (2,361,463)
164,575,432 169,252,507 (4,677,075)
(6,923,914)(7,154,103)(2,540,399)4,613,704
Use of Fund Balance
Sale of Capital Assets
Transfers In
Transfers Out
352,719
16,987,310
(24,263,943)
352,719
16,987,310
(24,494,132)
384,737
16,903,268
(19,828,404)
32,018
(84,042)
4,665,728
OTHER FINANCING SOURCES (USES):
TOTAL OTHER FINANCING SOURCES
(USES)
(6,923,914)(7,154,103)(2,540,399)4,613,704
--(2,424,834)(2,424,834)
44,628,932 44,628,932 44,628,932 -
44,628,932 44,628,932 42,204,098 (2,424,834)
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General Fund: Budget to Actual Comparison
The General Fund is the City’s primary operating fund, accounting for resources that have
no specific restrictions. Property tax, sales tax and franchise fee represent 87% of the
General Fund total revenues. Departments funded by the General Fund includes but not
limited to police, fire, public works, parks and recreation and general administration.
Fund balances listed on this statement do not necessarily exclude uses of fund
balance committed for future years by the City Council
Additional information about the City’s Fund Balance Policies
and uses are available in the City’s Annual Operating Budget,
available at www.cityofdenton.com
General Gov’t
Electric
Water
Wastewater
Solid Waste
Airport
Division
TOTAL:
Existing
Funding
External
Funding
Revenue
Funding
Impact
Fee
Funding GOs COs
Revenue
Bonds
New
Funding
FY 2024-
25 Total
345,841
143,109
68,838
70,751
31,890
1,900
5,000
-
-
-
-
855
7,064
45
431
1,226
1,870
95
3,675
-
-
-
-
-
74,103
-
-
-
-
-
91,166
74,978
58,897
71,673
11,126
-
-
-
71,099
27,576
-
-
180,918
75,023
130,426
100,475
12,996
950
526,759
218,132
199,265
171,227
44,885
2,850
$662,329 $5,855 $10,731 $3,675 $307,840$74,013 $98,675 $500,788 $1,163,117
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Existing Funding: Existing funding set aside for a specific and particular purpose in projects which may be encumbered, but not yet expended.
External Funding: Funding received from outside agencies.
Revenue Funding: City funding available for projects
Impact Fee Funding: Funding collected to offset the impact of new development
General Obligation: Voter Approved Bonds issued by the City.
Certificates of Obligation: Bonds issued by the City for infrastructure projects that are restricted but do not require voter approval.
Revenue Bonds: Bonds issued by the City for the utilities. These bonds are paid for with utility revenues.
Total New Funding: Total newly requested funding in the current year (External Funding to Revenue Bonds).
FY 2024-25 Total: Total new and existing funding.
Budget Overview: Capital Improvements
Capital Improvement Program
The Capital Improvement
Program (CIP) represents the
City’s plan for infrastructure and
equipment funding. The CIP is
reviewed each year to reflect
changing priorities, as well as to
assess the impact of capital
projects on operating budgets
and for project scheduling and
coordination
The adopted CIP budget allocates all available programmed
funds, along with planned issuances of new General
Obligation Bonds (GOs) and Certificates of Obligation (COs).
Currently, appropriated funds total $661.21 million and
include unspent bond proceeds, internal revenue transfers,
and external contributions which may be committed but not
spent. For Fiscal Year 2024-2025, the new funding proposed
of $494.90 million includes cost-sharing contributions.
Debt service payments are budgeted to cover both actual
expense and the appropriation needed to cover the transfer
of funds, for payment, between funds. The City’s total annual
debt service payment is $160,797,856. This payment
includes both principal and interest.
When reviewing capital projects, the Finance Department
reviews options, determines timing of sales and completes
ongoing forecasting in alignment with the City’s debt and
investment policies. The issuance of debt for the City is in
compliance with all state, federal and regulatory
requirements.
Funding for the CIP comes from several sources and below is
an explanation and table of each source, with the table
showing the totals for the year are listed in ‘$000.
Learn more on our
Capital Improvement Program!
National Inflation June / July 2019 -2024
2019-20 2020-21 2021-22 2022-23 2023-240
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4
6
8
10
PercentageHistory of City of Denton Municipal Rate Increases/Decreases
Electric
Water
Wastewater
Solid Waste
UTILITY
FY 2018 -
2019
FY 2019 -
2020
FY 2020 -
2021
FY 2021 -
2022
-3.50%
-
-5.00%
-12.00%
-
-
-
-5.00%
-
-2.00%
-
-5.00%
-
-
-
-
-
-
-
-
3.00%
-
11.00%
-
1.50%
3.00%
11.00%
1.50%
FY 2022 -
2023
FY 2023 -
2024
FY 2024 -
2025
Total Compounded Change: 21.01%
*Inflation June 19 to June 24, as of yearend, total compounded inflation is closer to 2.40% (bis.gov/data/inflation)
Budget Highlights
This budget enables the City Council to continue advancing the City’s goals while addressing
necessary adjustments driven by rising costs, growth, and inflation. It also allocates funding for
public safety initiatives and voter-approved general obligation bonds.
Budget Process Discussions:
During the creation of this budget, the City
completed multiple cost of service studies, revenue
analytics, and five year forecasts. In discussions with
the City Council, the Finance team laid out economic
challenges and considerations that the team is
tracking. As the economy continues to change, the
City is seeing changes as well. Growth at record
numbers drives expenses, as do pressures from
inflation. Over the past several years, cities
nationwide have benefited from federal programs
that are now wrapping up, requiring discussion about
what services will remain and which will change. The
table on the right was shared with Council during
these budget discussion. When viewed in
conjuncture with the rate information table, the
reader may see that while rates were decreasing,
inflation was increasing.
With this Budget Process, the following assumptions were made:
Population Growth:
FY 2024/25 - 2.94% increase from previous year
FY 2025/26 - 2.85% estimated growth
Sales Tax:
FY 2024/25 - Estimated 5.26% over collection
estimate for FY 2023/24
FY 2025/26 - 7.06% average growth
Assessed Values:
FY 2024/25 - Total Certified Appraised Value is
$21.2 Billion
10.16% increase over the prior tax year
FY 2025/26 and future - Assumes a reduced
M&O tax rate to correspond with AV increases
99.5% collection rate
Total tax rate of $0.585420 / $100 valuation
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Ruddell / Mingo Roadway
& Quiet Zones
Oakland Drainage &
Upstream Detention
PEC 4 Phases 3 & 4
Inclusive Playground
Trail Development
Aquatic Improvements
Fire Station #5 & #6
Linda McNatt Animal Care
& Adoption Center
Public Art - Public Safety
Affordable Housing
Active Adult Center
Public Art - Public Safety
South Branch Library
Public Art - Public Safety
TOTAL 2023 Bond Program Issuance:
REVENUES:
Budget Highlights
Due to the health of the City’s Employee Benefit Fund, the City was able to absorb a 10% increase in
health insurance premiums rather than passing this cost on to employees
A decrease of $0.02 cents to the operations and maintenance portion of the tax rate. This allows for a
smaller increase in the overall tax rate due to the passage of the voter approved 2023 Bond Package
The 2023 Voter Approved Bond Program
Projects are listed below, in thousands:
Prior
Issued FY 24-25 FY 25-26 FY 26-27 FY 27-28 FY 28-29 TOTAL
5,000
5,000
5,000
3,450
4,000
2,000
10,000
15,850
320
-
-
-
2,500
-
12,000
8,000
6,265
-
-
13,000
15,342
-
503
5,000
-
-
-
-
28,125
19,595
15,000
-
-
-
-
-
-
5,000
5,000
-
-
-
-
-
-
-
5,000
-
-
-
-
5,000
25,000
930
5,000
-
-
-
-
-
3,000
-
-
-
-
-
16,430
-
18,000
-
-
-
-
-
3,000
-
-
-
-
-
-
-
23,076
969
45,125
32,595
26,265
3,450
15,000
15,000
25,342
15,850
823
15,000
46,430
930
48,576
969
$53,120 $60,110 $72,720 $40,930 $37,430 $27,045 $291,355
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Grants Overview
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Grants play a vital role in enhancing the quality of life for our community by providing critical funding
for programs and projects that directly benefit residents. These funds, sourced from federal, state, and
local agencies, allow us to address pressing community needs without relying solely on city revenues.
By leveraging grants, we are able to support initiatives that promote economic growth, strengthen
public safety, improve infrastructure, and foster inclusivity across all neighborhoods.
The impact of grants extends far beyond financial support. They enable innovation, collaboration, and
strategic partnerships with local organizations, non-profits, and state and federal agencies. Through
these partnerships, we can expand resources for vulnerable populations, create opportunities for
growth, and build a more resilient community. Every grant secured represents an investment in the
future of our city and underscores our commitment to strategic and fiscally responsible stewardship
for the benefit of all citizens.
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Total Assets
Total Deferred Outflow of Resources
Total Liabilities
Total Deferred Outflow of Resources
Total Net Position
Functions/Program
Governmental
Activities
Business-Type
Activities Total
1,238,044,644
51,057,288
774,425,181
12,532,224
502,144,527
2,513,397,225
16,181,341
1,347,800,950
8,453,600
1,173,324,016
3,751,441,869
67,238,629
2,122,226,131
20,985,824
1,675,468,543
Primary GovernmentFY 2024
Statement of Net Position
Government-Wide Financial Statements
The statement of net position provides an
overview of the City’s assets and liabilities,
including capital assets and long-term
obligations. The net position reflects the
difference between the City’s assets and
deferred outflows, and its liabilities and
deferred inflows. Overtime, changes in net
position can serve as a valuable indicator of
the City’s financial health. To gain a more
comprehensive understanding of the City’s
overall financial condition, it is also important
to consider fluctuations in the property tax
base and the state of the City’s infrastructure.
STATEMENT OF NET POSITION
This statement provides insight into how
the City’s net position has changed over
the most recent fiscal year. It highlights
both the gross and net costs of
governmental services while incorporating
all revenues and expenses for the year.
The statement of net position and the statement of activities are included in the government-wide
financial statements. These two statements offer a comprehensive view of the City’s financial status,
similar to how a private sector business presents its finances. Both statements are prepared using the
economic resource focus and the accrual basis of accounting, ensuring that all revenues and
expenses for the current year are recorded, regardless of when cash is received of paid.
SATEMENT OF ACTIVITIES
Business-Type Activities:
These activities involve services for
which the city charges fees to cover most
or all of their costs. examples include
water and wastewater treatment and
distribution, airport operations,
stormwater drainage, fleet services,
water park operations, electricity, and
other similar services.
Governmental Activities:
This category includes the city’s core
services, such as police, fire, parks and
recreation, public works, public health,
customer service, libraries, and general
administration. The primary sources of
revenue for these services include
property tax, sales tax, franchise fees,
and various grant programs.
Program Revenues
Charges for Services
Operating Grants and Contributions
Capital Grants and Contributions
Functions/Program
Governmental
Activities
23,487,878
13,042,489
35,255,951
FY 2024 Statement of Activities
Business-type
Activities
417,598,378
-
35,948,742
441,086,256
13,042,489
71,204,693
Total Primary
Government
Total Program Revenues
General Revenues
Expenses
Change in Net Position
Net Position Beginning
Net Position Ending
71,786,318
224,097,580
240,026,649
55,857,249
446,287,278
502,144,527
453,547,120
29,203,943
412,221,509
70,529,554
1,102,794,462
1,173,324,016
525,333,438
253,301,523
652,248,158
126,386,803
1,549,081,740
1,675,468,543
City of Denton Transparency Stars
For a full list of recipients, visit https://comptroller.texas.gov/transparency/local/stars/
As of March 13, 2025, the City of Denton is 1 of 11 recipients in
the State of Texas with six Transparency Stars and the Star of
Transparency Achievement with the Texas Comptroller.
The City of Denton was also recognized as a
“Transparency Trailblazer” on March 18, 2025.
The Texas Comptroller of Public Accounts’ Transparency Star Program recognizes local
governments for going above and beyond in their transparency effort.
Entities may receive up to six Transparency Stars for opening their books in the areas of
Traditional Finance, Contracts and Procurement, Economic Development, Public Pensions,
Debt Obligations, and Open Government and Compliance.
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CDBG: Community Development Block Grant – A federal program administered by the U.S. Department of
Housing and Urban Development (HUD) that provides funding to the City of Denton for projects aimed at
improving community infrastructure, expanding affordable housing, supporting economic development, and
enhancing public services to benefit low- and moderate-income residents.
Certificates of Obligation (COs): Bonds issued by the City for infrastructure projects without requiring voter
approval but restricted to specific uses.
CIP: Capital Improvement Program - A long-term plan that outlines funding for major infrastructure projects,
including streets, facilities, water and wastewater systems, and other capital assets.
DME: Denton Municipal Electric - The City of Denton’s municipally owned electric utility, responsible for
providing electricity to residents and businesses.
FY 2025/26 and Future Assumptions: Assumes a reduced Maintenance and Operations (M&O) tax rate to balance
increases in Appraised Value (AV) of properties.
General Obligation Bonds (GOs): Voter-approved bonds issued by the City to fund infrastructure projects such
as roads and public facilities.
Government Finance Officers Association (GFOA): A professional association representing public finance
officials throughout the United States and Canada. GFOA promotes best practices in budgeting, financial
management, and transparency in government.
Revenue Bonds: Bonds issued for utility-related projects (e.g., water, wastewater, or electric services) and repaid
through utility revenues.
Definitions
16
Phone: (940) 349-8200
www.cityofdenton.com
City of Denton City Hall
215 E. McKinney St
Denton, TX 76201
Copies of the Popular Annual Financial Report, Annual Comprehensive Financial Report,
and Budget Documents are available online at www.cityofdenton.com
Physical and electronic copies may be requested through an Open Records Request at
www.cityofdenton.com or calling the City Secretary’s Office at (940) 349-8309
This report was prepared by the City of Denton Department of Finance
and Department of Capital Projects