The URL can be used to link to this page

Audit - 1999 CITY OF SALINA, KANSAS COMPREHENSIVE ANNUAL FINANCIAL REPORT F or the fiscal year ended December 31, 1999 Prepared by: Department of Finance and Administration Rodney Franz Director of Finance This page left blank intentionally. CITY OF SALINA, KANSAS Comprehensive Annual Financial Report For the fiscal year ended December 31, 1999 TABLEOFCONTENTS-CONT~ED Page INTRODUCTORY SECTION Letter of Transmittal V-XlI Organizational Chart Xl11 List of Principal Officials XIV Statement FINANCIAL SECTION Report ofIndependent Certified Public Accountants General Pmpose Financial Statements Combined Balance Sheet - All Fund Types, Account Groups and Discretely Presented Component Units 3 Combined Statement of Revenues, Expenditures and Changes in Fund Balances - All Governmental Fund Types, Expendable Trust Funds and Discretely Presented Component Units 2: 9 Combined Statement of Revenues, Expenditures and Changes in Fund Balances - Actual and Budget - General, Special Revenue and Debt Service Funds 3 13 Combined Statement of Revenues, Expenses and Changes in Retained Eamings/Fund Balances - All Proprietary Fund Types, Similar Trust Funds and Discretely Presented Component Units 4 17 5 19 23 Schedule Combined Statement of Cash Flows - All Proprietary Fund Types, Similar Trust Funds and Discretely Presented Component Units Notes To Financial Statements Combining, Individual Fund and Account Group Statements and Schedules General Fund Comparative Balance Sheets - General Fund 48 49 2 50 Comparative Statements of Revenues, Expenditures and Changes in Fund Balances - General Fund CITY OF SALINA, KANSAS Comprehensive Annual Financial Report For the fiscal year ended December 31, 1999 TABLE OF CONTENTS - CONTINUED Schedules of Revenues, Expenditures and Changes in Fund Balances - Actual and Budget - General Fund Special Revenue Funds Combining Balance Sheet - Special Revenue Funds Combining Statement of Revenues, Expenditures and Changes in Fund Balances - Special Revenue Funds Schedules of Revenues, Expenditures and Changes in Fund Balances - Actual and Budget - Special Revenue Funds Debt Service Fund Comparative Balance Sheets - Debt Service Fund Comparative Statements of Revenues, Expenditures and Changes in Fund Balances - Debt Service Fund Schedules of Revenues, Expenditures and Changes in Fund Balances - Actual and Budget - Debt Service Fund Capital Projects Fund Comparative Balance Sheets - Capital Projects Fund Comparative Statements of Revenues, Expenditures and Changes in Fund Balances - Capital Projects Fund Enterprise Funds Combining Balance Sheet - Enterprise Funds Combining Statement of Revenues, Expenses and Changes in Retained Earnings - Enterprise Funds Combining Statement of Cash Flows - Enterprise Funds Schedules of Revenues, Expenditures and Changes in Fund Balances - Actual and Budget - Enterprise Funds Internal Service Funds Combining Balance Sheet - Internal Service Funds Combining Statement Of Revenues, Expenses And Changes In Retained Earnings - Internal Service Funds II Schedul~ Page 3 51 54 4 56 5 62 6 68 81 7 82 8 83 9 84 85 10 86 11 87 88 12 89 13 91 14 93 15 97 101 16 102 17 104 CITY OF SALINA, KANSAS FINANCIAL STATEMENTS For the fiscal year ended December 31, 1999 TABLE OF CONTENTS - CONTINUED Combining Statement Of Cash Flows - Internal Service Funds Schedules Of Revenues, Expenditures And Changes In Fund Balances - Actual And Budget - Internal Service Funds Trust and Agency Funds Combining Balance Sheet- Expendable Trust, Nonexpendable Trust and Agency Funds Comparative Statements of Revenues, Expenditures and Changes in Fund Balances - Expendable Trust Fund Combining Statement of Revenues, Expenses and Changes in Fund Balances - Nonexpendable Trust Funds Combining Statement of Cash Flows - Nonexpendable Trust Funds Combining Statement of Changes in Assets and Liabilities - Agency Funds General Fixed Assets Comparative Schedule Of General Fixed Assets By Source Schedule Of General Fixed Assets - By Function And Activity Schedule Of Changes In General Fixed Assets - By Function And Activity ST A TlSTlCAL SECTION General Government Expenditures by Function General Government Revenues by Source General Government Tax Revenues by Source Property Tax Levies and Collections Assessed and Estimated Actual Value of Property Principal Taxpayers Property Tax Rates - Direct and Overlapping Governments Special Assessments Billings and Collections iii Schedul~ 18 Page 106 19 110 115 20 116 21 119 22 120 23 122 24 124 127 25 128 26 129 27 131 Tab]~ 133 2 134 3 135 4 136 5 137 6 138 7 139 8 140 CITY OF SALINA, KANSAS FINANCIAL STATEMENTS F or the fiscal year ended December 3 I, 1999 TABLE OF CONTENTS - CONTINUED Computation of Legal Debt Margins TablCè 9 Page 141 Ratio of Net General Obligation Bonded Debt to Assessed Value and Net General Obligation Bonded Debt Per Capita 100 142 Ratio of Annual Debt Service Expenditures for General Obligation Bonded Debt to Total General Governmental Expenditures Revenue Bond Coverage - Water and Sewer Fund 11 143 12 144 13 145 14 146 IS 147 Computation of Direct and Overlapping Bonded Debt Property Value, Construction, and Bank Deposits Demographic Analysis SPECIAL REPORTS SECTION Report of Independent Certified Public Accountants on Compliance and on Internal Control over Financial Reporting Based on an Audit of General Purpose Financial Statements Performed in Accordance with Government Auditing Standards 148 Report of Independent Certified Public Accountants on Compliance with Requirements Applicable to Each Major Program and Internal Control over Compliance in Accordance with OMB Circular A-133 149 Schedule of Expenditures of Federal Awards 151 Schedule of Findings and Questioned Costs 152 IV INTRODUCTORY SECTION This page left blank intentionally. " DEPARTMENT OF FINANCE AND ADMINISTRATION CITY CLERK 300 West Ash Street. P,O, Box 736 Salina, Kansas 67402-0736 Rodney Franz, Finance Director. Judy D, Long, CMC, City Clerk Telephone (785) 826-7240. FAX (785) 826-7244. TDD (785) 826-7333 Salina tdIr..:I ~iït' ,Nt June 30, 2000 To the Citizens of the City of Salina, Kansas: The Comprehensive Annual Financial Report of the City of Salina, Kansas (the "City") for 1he year ended December 31, 1999, is hereby submitted, Responsibility for both the accuracy of the data and the completeness and fairness of the presentation, including all disclosures, rests with the City. To the best of our knowledge and belief, the enclosed data is accurate in all material respects and is reported in a manner designed to present fairly the fmancial position and results of operations of all various funds and account groups of the City. All disclosures necessary to enable the reader to gain an understanding of the City's fmancial activities have been included. The Government Finance Officers Association of the United States and Canada (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to the City of Salina for its comprehensive annual fmancial report (CAFR) for the fiscal year ended December 31, 1998. The Certificate of Achievement is a prestigious national award recognizing conformance with the highest standards for preparation of state and local government fmancial reports. In order to be awarded â Certificate of Achievement, a government unit must publish an easily readable and efficiently organized comprehensive annual financial report, whose contents conform to program standards. The CAFR must satisfy both generally accepted accounting principles and applicable legal requirements. A Certificate of Achievement is valid for one year only. We believe our current report continues to conform to Certificate of Achievement program requirements, and we are submitting it to GFOA. The Comprehensive Annual Financial Report is presented in three sections: introductory, fmancial and statistical. The introductory section includes this transmittal letter, the City's organizational chart and a list of principal officials. The financial section includes the general-purpose fmancial statements as well as the combined, combining, individual fund and account group fmancial statements and schedules, and the independent auditor's report on the fmancial statements and schedules. The statistical section includes selected fmancial and demographic information, generally presented on a multi-year basis. This report includes all funds and account groups of the City. The City provides a full range of selvices including police and fire protection; construction and maintenance of streets, drainage facilities and other infrastructure; recreational activities and cultural events; emergency medical services and convention facilities. In addition to general government activities, the City also provides water, wastewater, sanitation and solid waste services; therefore, these activities are included in the reporting entity. Economic Condition and Outlook In 1999, the City continued to grow and solidify its standing as the regional trade center for north central and northwest Kansas. Retail expansion continued to be significant in the community. New business building permits were issued with a combined value of $11,225,834. According to Kansas State University, Saline County has the third highest retail pull factor (1.41) in the State. The pull factor measures the degree to which a county area captures retail trade from outside the county. A pull factor of greater than 1 indicates that a county is attracting more retail trade from outside the county than it is losing to other counties. It is apparent from this that Salina continues to serve as a regional economic hub in 1999. In addition, Saline County moved from ranking fourth to second in the State Economic Strength index. The index measures economic prosperity, using wealth, personal income, and employment. The Saline County index is 3.31, compared to a statewide average of2.59. The activity in the housing industry continued unabated in 1999 with the industry working hard to meet the demand for new housing. The strong local economy and lower interest rates contributed to this demand, Over 82 new single-family homes were started in 1999 with the pace expected to continue at this level or higher through 2000. In 1999, 131 residential and 20 commercial lots were completed, along with street, drainage, and water improvements being extended to 90 existing residential lots. In addition, work was started on 132 residential and commercial lots that are due for completion in 2000. Several industrial and commercial establishments in Salina are making major expansions to their facilities. Eldorado National, the largest North American manufacturer of small commercial buses of the type used in airport or car rental shuttles, has announced a consolidation of their operations in a new facility to be located at the Airport Industrial Center. Upon completion, Eldorado will have a total of 240,000 square feet of modernized manufacturing space. The project is scheduled for completion in the spring of 2001 and should result in about 75 new jobs. Eldorado currently employs about 265. KASA Industrial Controls is also consolidating its manufacturing operations in the South Industrial Area by acquiring a 97,000 square foot facility currently owned by Eldorado National. The consolidation increases manufacturing floor space by about 30,000 square feet, and will allow for further expansion potential. The company anticipates 40 to 50 new jobs over the course of the next three years as a result of the consolidation. Raytheon Aircraft has made a 100-job expansion to its manufacturing base in Salina. More than $10,000,000 worth of tooling was moved to Salina to support the expansion. Raytheon currently employs 650 at the Salina Division, which encompasses 595,000 square feet of manufacturing, warehouse, and office space. An addition to the existing Wal-Mart store has been completed, converting the facility into a "supercenter", with a full line grocery, bank facilities, portrait studio, hair salon, and McDonalds. The expansion increased the total square footage from 114,557 to more than 208,000. About 100 new jobs were created as a result of the expansion. Schwan's Sales (Tony's Pizza Service) purchased the 66,351 square foot Vocational Rehabilitation Center from the State of Kansas and developed it into a facility to be used for product testing, research and development, and child care center for employees. The expansion is anticipated to create 70 to 80 new jobs. K-Mart has recently completed a substantial renovation to their facility, adding more grocery items. They have added 28 new jobs as a result of the improvements. Ovation Cabinetry, a manufacturer of nationally marketed upscale kitchen cabinets, has announced plans to expand their business into a new 36,000 square foot plant at the Airport Industrial Center. Ovation currently employs 33 people, and is expecting to create 87 new jobs over the next five years. New manufacturing and commercial facilities locating in Salina include: A-Plus Galvanizing has selected Salina as the location for the world's largest hot-dip galvanizing plant. The 156,000 square foot, $9 million facility will initially employ 70 people, with the potential to grow to 150-160 people. Aerospace Systems and Technologies have announced plans to build a 35,000 square foot manufacturing plant at the Airport Industrial Center. AS&T builds ice protection systems for smaller aircraft. The new plant will be completed by the end of 2001 and will employ about 80 new employees with a total payroll of $2.1 million. The company will begin operations in Salina in April 2000 utilizing temporary facilities. Office Depot has located a retail outlet in Salina, occupying the former Ako Discount Store. Office Depot will employ about 35 people. Wa1greens has constructed a 15,000 square foot retail drug store, employing 25-30 people. VI A new Country Inns and Suites has been completed, adding 72 upscale, limited service rooms to the lodging stock within the City. The facility opened in December, 1999. The Rolling Hills Wildlife Refuge opened to the public in October 1999. The refuge is a privately funded and operated wildlife sanctuary located in rural Saline County, easily accessible from both Interstate 70 and Interstate 135. The refuge incorporates an education center, restaurant, and gift shop. Fifty-five acres of the park are presently open, and includes state-of-the-art displays of 45 examples of rare and endangered species. Future displays are under construction, as is a Museum of Natural History, featuring an extensive taxidermy collection. The facility is accredited by the American Zoo and Aquarium Association and employs about 40 people. Major Initiatives The Salina community initiated a major improvement to the educational system in November 1998, when the voters approved a $98,000,000 bond issue to be used for school expansion and construction. Also approved in the same election was an additional y.. cent City sales tax to be used for instructional technology and career educational equipment. Bond issue proceeds will be used to construct a new middle school, replacing Roosevelt-Lincoln. In addition, expansions and improvements will be constructed at both high schools, at South Middle School, and at the Elementary Schools. V.S.D. 305 has issued the first phase of the bonds and is well into design and construction of the initial improvements. The technology sales tax is expected to raise about $12,000,000 over the next 6 years to be used for K-12 improvements as well as improvements to the Salina Area V 0- Tech. The Airport Industrial Center has completed reconstruction of 6.5 miles of secondary streets. The $4.3 million project included reconstruction of the parking lot at the Air terminal as well as demolition of old air base buildings, and improvements to water lines. The project was financed by General Obligation Bonds and by a Grant from the Kansas Department of Commerce and Housing. Major improvements to the Water treatment plant were initiated in 1997 to increase treatment capability and efficiency, and to address a groundwater contamination issue in Central Salina. By 1999 this groundwater redemption project will bring the City into full completion of a state compliance agreement, eliminating any economic impacts related to groundwater issues. Anticipated cost for the plant improvements is $5,500,000. Approximately $1,800,000 in grant funds will be available from the State of Kansas to assist in construction. The balance of the cost is fmanced by a 20-year low interest loan from the State of Kansas. Completion of the project is anticipated in August 2000. Solid Waste disposal remains a challenge for Salina. The community remains committed to recycling and resource conservation, with several initiatives that began in 1997, including a trial yard waste recycling and composting program in addition to continuing the mulching mower rebate program. In 1998, the yard waste recycling program became permanent, with the purchase of 2,000 yard carts dedicated to yard waste collection. In 1999, the solid waste stream was reduced further as a result of private initiatives to recycle waste glass generated by a major manufacturer in the City. However, as a result of operational changes, including alternative means of providing daily cover, and additional vertical fill capacity, anticipated life of the landfill has been extended from 78 years to 96 years, and fees for Solid Waste disposal have been reduced by $2.00 per yard, to $27.00. In late 1999 the City initiated a major transportation and drainage improvement project on South Ohio Street. The $4 million project expands Ohio Street from 2 lanes to 4 lanes from Belmont Boulevard to South of Magnolia Street, provides for the reconstruction of Magnolia and installs underground facilities to improve storm drainage to residential areas in the vicinity of the project. Completion is anticipated in mid-200 1. The City's Capital Improvement Plan for 2000 - 2004 itemizes projects totaling $47,726,400. The plan is updated each year, just prior to the operating budget process. VB Financial Overview Conservative management plus a strong economy have set the stage for what has been and is projected to be long- term financial stability for the City. The City has been able to to continue to replenish its fund balances and utilize more pay-as-you-go financing for capital improvements. Budgetary basis fund balances related to tax supported funds went from $7,489,811 at the end of 1998 to $8,232,654 at the end of 1999. This balance represents 39.4% of the expenses for those funds, and complies with the City's financial goal of maintaining those balances at about 20% of expense. Revenues to these funds grew at about 13%, while expenditures grew by about 14%. The rate of growth is attributable largely to the implementation of the Y.. cent education technology sales tax. The City also established the rates needed to fund enterprise fund activities. Water rates were increased by 3.75% on January 1,1999. Refuse collection fees were increased by 8.5% on 10/01/98. Tipping fees for the landfill were reduced from $29 per ton to $27 per ton in 1999. It is anticipated that these fees will be sufficient to provide stable, continuing funding for the Solid Waste disposal operation. To date, the City has shown the willingness to set fees at levels which will cover operating, capital, debt service and postclosure costs required to meet subtitle D regulations and generally accepted accounting principles recommendations. Other enterprise fund fees are adjusted annually to meet anticipated yearly needs. Financial Information City staff is responsible for establishing and maintaining an internal control structure designed to ensure that the assets of the City are protected from loss, theft or misuse and that adequate accounting data are compiled to allow for the preparation of financial statements in conformity with generally accepted accounting principles. The internal control structure is designed to provide reasonable, but not absolute, assurance that these objectives are met. The concept of reasonable assurance recognizes that: (1) the cost of a control should not exceed the benefits likely to be derived; and (2) the valuation of costs and benefits require estimates and judgment by management. Budgetary Controls. In addition, the City maintains budgetary controls. The objective of these budgetary controls is to ensure compliance with legal provisions embodied in the annual appropriated budget approved by the City Commission. Activities of all funds are included in the annual appropriated budget. The legal level of budgetary control is maintained at the Fund level, in accordance with State Statutes. However, management control is maintained at the department level. The City uses an encumbrance accounting system, in which estimated purchase amounts are recorded prior to the release of purchase orders to vendors. Open encumbrances are reported as reservations of fund balance at December 31, 1999 in the general fund and the special revenue funds. Various internal compliance procedures are implemented to insure proper implementation of the budget as well as to maintain a degree of accountability for both revenues and expenditures. Reclassification.. For 1999, both expenditures and revenues were re-classified for the purposes of presentation. The primary purpose for the reclassification was to provide consistency across the organization, as well as between budgetary and financial reporting presentation. Where possible, comparative data has been accumulated into the new classes. Vll1 Budgetary Basis Fund Balances Shown below are the December 31 actual budgetary basis fund balances in the city's tax supported funds for 1996, 1997,1998, and 1999. Fund General Employee Benefits Flood and Drainage Utility Special Liability Bond and Interest Total Fund Balance 1996 $4,512,205 1,595,601 1997 $3,508,943 451,777 409,667 96,026 1.052.539 $7,666,038 391,589 95,368 867.759 $5,315,436 ---------- ---------- ---------- ---------- Tax Funds Operating expenditures $20,203,037 $22,459,055 ---------- ---------- ---------- ---------- Fund balance as percent of operating expenditures 37.9% 23.7% ------ ------ ------ ------ 1998 $5,484,672 629,470 464,215 105,540 64,604 741.310 $7,489,811 ---------- ---------- $18,429,804 ---------- ---------- 37.5% ------ ------ 1999 $5,957,902 1,211,092 283,668 0 0 779.992 $8,232,654 --,-------- --,-------- $20,881,511 --.-------- --,-------- 39.4% ------ ------ Budgetary fund balances represent the ability of the City to address cash flow fluctuation and to absorb and respond to adverse changes in the economy or to unanticipated demands on the government to provide additional services as a result of an emergency. Balances remain adequate to address these potential needs. Revenues: The following table presents a summary of General Fund, Special Revenue Funds and Debt Service Fund GAAP basis revenues for the years ended December 31, 1998 and 1999. 1998 has been restated to the 1999 classsification. 1998 - 1999 1998 1998 % of 19B9 % of Revenue Change (Restated) Total 1999 Total Property Taxes $660,339 $6,995,943 23% $7,656,282 23% Sales Taxes 1,303,985 9,687,988 32% 10,991,973 33% Other Taxes -14,630 2,681,008 9% 2,666,378 8% Total Taxes 1,949,694 19,364,939 64% 21,314,633 64% Intergovernmental 332,789 4,050,492 13% 4,383,281 13% Fees and Charges -69,440 2,137,769 7% 2,068,329 6% Special Assessments 111,909 974,648 3% 1,086,557 3% Other Revenues 358,176 3,899,387 13% 4,257,563 13% - - Total Revenues 2,683,126 30,427,237 100% 33,110,363 100% Total revenues increased by $2,683,126, or about 8.8%. A large portion (approximately $400,000) of the property tax increase is the result of the County Treasurer's distribution methodology, which reduced the 1998 amount, and inflated the 1999 distribution. The remainder is due to increased valuation and reduced mill levies. Combined real estate and motor vehicle valuation increased by about 5.2% Sales tax was affected by several significant changes. First, the ~ cent sales tax dedicated to school technology improvements took effect in January, 1999. This additional tax generated $1,527,484 in revenue in 1999. Second, the Kansas Department of Revenue, whom collects and distributes the sales tax on the City's behalf, changed software systems in the fall of 1999. As a part of the conversion, tax distributions in November, and December were estimated, as well as the first distribution in 2000. This estimation has been partially reconciled, however, it is not practicable to determine what the actual distributions would have been each month, had the conversion not accurate representation of a reduction in retail sales, although it does represent what was distributed to the City of Salina. Other taxes show a slight decline. This is due entirely to performance of the Gas franchise, reflecting lower prices for the product, as well as a relatively warm winter season. Intergovernmental revenues increased somewhat. This is due to increased receipts for Housing Rehabilitation grants, Fair Housing, and Economic Development Grants.. Expenditures: The following table presents a summary of General Fund, Special Revenue Funds and Debt Service Fund GAAP basis expenditures for the years ended December 31, 1998 and 1999. 1998 has been restated to be consistent with the 1999 classification. 1998 - 1999 1998 1998 % of 1999 % of Expenditure Change (Restated) Total 1999 total General Government -380,132 $2,558,564 9% $2,178,432 7% Public Safety 455,141 9,992,478 34% 10,447,619 33% Public Works -60,4 73 3,528,366 12% 3,467,893 11% Culture and Recreation 261,502 4,151,582 14% 4,413,084 14% Community Development 1,941,832 2,158,385 7% 4,100,217 13% Public Health and Sanitation 43,068 632,766 2% 675,834 2% Debt Service -366,126 2,858,079 10% 2,491,953 8% Capital Outlay 357,839 3,286,950 11% 3,644,789 12% Other Q Q Q% Q% Total Expenditures 2,252,651 29,167,170 100% 31,419,821 100% The major change in expenses is the increase in Community Development. This is due to the pass through of the Y.. cent sales tax proceeds to USD 305, as well as to some increases in housing grants. Proprietary Operations The City has four enterprise operations: Water and Sewer, Golf Course, Solid Waste and Sanitation. Significant changes occurred in each. The table below summarizes some key operational statistics for the enterprise funds: 1998 - 1999 Change 1998 1B99 Charges for Services: Water and Sewer Sanitation Solid Waste Golf Course $16,574 $10,499,318 $10,515,892 118,215 1,354,666 1,472,881 -140,620 2,483,786 2,343,"66 59,573 747,229 806,802 -249 226,381 226:132 -0.12 2.127 2.003 -2,039 82,770 80,1'31 1,813 41,359 43:172 178 13,141 13,~~19 x Water Account billings Water Metered (billion gallons) Solid Waste Tonnage at landfill Golf Rounds Sanitation Customers Water rates were changed in 1999, with Water being increased by 3.75% on 1/1/99. Sewer rates were not changed.. Sanitation rates were increased by 8.5% on 10/01/98 for the 1999 fiscal year. Water and sewer operating revenues decreased by $741,913 in 1999. One time intergovernmental revenues account for $788,994 of this amount. Charges for service increased slightly. The City continued the process of updating the solid waste facility to meet subtitle D Federal regulations. Rates were decreased to $27/ton in 1999. This fund appears now to be stable, and any future rate changes should be on a scale consistent with inflationary trends. Solid Waste service charges decreased by $140,620, consistent with the change in rate and volume. This fund now shows a healthy current balance, and adequate resources to service the debt on new cells as they are constructed. Sanitation charges increased by $118,215. This fund has been challenged in the recent past, but now shows a small net operating income of $17,455. Actions taken to address the fiscal condition of the refuse collection operation have apparently had the intended effect of stabilizing the fund. The Golf course also showed a healthy operating income for 1999. In February, 1997, the City implemented a partial self funded health insurance program for employees, replacing the conventional insurance plan that had provided this benefit Individual stop loss coverage is purchased with an attachment point of $50,000. The aggregate stop loss coverage is set at a about $1,950,000. Dental coverage is provided. The dental portion of the plan is fully self insured and not subject to stop loss protection, however, total benefits are limited to $1,500 per year per person. Since February, 1998, the prescription portion of the program is also fully self insured. The fund is fully funded by rates, and perfonnance has been sufficient to cover claims paid and incurred but not reported claims. The City utilizes four other internal service funds: Risk Management, Worker's Compensation Reserve, Central Garage and Data Processing. In 1991, the City instituted a partially self-insured workers compensation program. The Worker's Compensation Reserve is used to buy excess insurance coverage, compensate a third party claims administrator and pay claims as they arise. The City's goal is to establish a $750,000 reserve in this fund to provide adequate reserves should we experience heavy claims. At the end of 1999, fund equity was $953,695, meeting this goal. The other internal service funds are used to purchase insurance, repair City vehicles or operate a City-wide computer system. These costs are apportioned to the various City departments based upon usage. Debt Administration The City issued no new Revenue Bonds during 1999. The total amount of revenue bonds outstandi:llg at December 31, 1999 was $25,600,000. There is a reserved investment of $10,950,600 pledged to retire the bonds refunded in the 1994 crossover refunding. The resulting net obligation against the Water/Sewer Utility's revenue stream is $14,649,400. With the City's policy of issuing revenue bonds for no more than 20 years, the [mal maturity for these bonds is September 1, 2012. The City's general policy for General Obligation bonds is to issue them for no more than 10 years for the City at large portion. On special assessment bonds, the maturity may be up to 15 years. The City issued $5,465,000 of internal improvement bonds during 1999. Total General Obligation/Internal Improvement bonds outstanding at December 31, 1999 was $21,103,530 with final maturity scheduled for August 1, 2014. Of this amount, $11,006,428 are to be retired with pledged utility revenues, special assessments, and current resourœs in the Bond and Interest fund. Thus, $10,097,102 remain to be retired with future property tax revenues. Based upon this, per capita general obligation debt is $229.36. The City is well below its maximum debt limit with $68,373,797 in authority remaining. Internal Improvement temporary notes in the amount of $4,525,000 were issued in 1999. Of this amount, $2,000,000 is an at-large obligation for the construction of Centennial Road, and $740,000 was for the construction of an Animal Shelter. The remaining notes were for Street and Subdivision developments (to be retired with Special assessments). Cash Management Xl In 1992, the State of Kansas granted cities increased investing authority. The City of Salina has established an investment policy that allows maturities for up to two years and investments in the State of Kansas Municipal Investment Pool. The City stresses a conservative investment policy which provides full collateralization of investments. At December 31, 1999, investments under the City's direct control were as follows: Investment Amount Percentage Municipal Investment Pool u.s. Government Bond Escrow-US Treasury Bills $15,755,415 12,428,349 10,950,600 40.2 31.8 28.0 - Total $ 39,134,364 100.00% --------- --------- --------- --------- The investments in the Bond Escrow are restricted to specific purposes and are not available for Government operations. Independent Audit Kansas Statutes Annotated 75-1122 requires an annual audit of the books of account, fmancial records and transactions of all administrative departments of the City by independent certified public accountants selected by the City Commission. This requirement has been complied with and the auditor's opinion has been included in this report. Acknowledgments The preparation of the Comprehensive Annual Financial Report was made possible by the dedicated, professional advice and effort of the Agler and Gaeddert auditing team. A special thank you needs to be given to Valerie Gebhart, City Accountant, who is responsible for much of the data assembly and reconciliation, and to Penny Day, Acting City Clerk, who has been largely responsible for document assembly and production. Finally, preparation of this report would not have been possible without the support of the City Commission. Sincerely, ,~1~ f~ I~ Rodney Fra . ~ Director of mance & Administration ~~~ Dennis M. Kissinger City Manager xu Certificate of Achievement for Excellence in Financial Reporting Presented to City of Salina, Kansas For its Comprehensive Annual Financial Report for the Fiscal Year Ended December 31, 1998 A Certificate of Achievement for Excellence in Financial Reporting is presented by the Government Finance Officers Association of the United States and Canada to government units and public employee retirement systems whose comprehensive annual financial reports (CAFRs) achieve the highest standards in government accounting and financial reporting. ~~ 3ì{~~ ~ L President J#?/.~ Executive Director City of Salina Municipal Court Administration City Prosecutor Ellen Mitchell Human Resources Administration Fire Suppression EMS Codesiinspection Public Education CITY COMMISSION Alan JUka, Mayor Don Heath Larry Mathews Kristin Seaton Monte Shadwick .. .. .. . . . ... .. . .... . ..... .. ... "". Municipal Court Judge Phil Shaffer Information Services David Larrick Human Relations Kaye Crawford Engineering Design/Inspection Traffic General Services Streets Flood Works Traffic Control Central Garage Sanitation Operations Food & Beverage BusinesslTicket Office Water & Wastewater Water Treatment & Dist. Wastewater CollectJTreat. Solid Waste City Attorney Greg Bengtson. Patrol Investigations 911/Communications Internal Affairs City Clerk Accounting Utility Accounting Treasurer Museum Arts Education Arts Services River Festival Horizons Grants Program . Contract Position Swimming Pools Golf Course Neighborhood Ctrs, Parks Recreation Forestry Cemetery Building Maintenance (Rev. 4/18/00) City of Salina, Kansas List of Principal Officials City Commission Alan Jilka, Mayor Kristin M. Seaton, Vice Mayor Monte Shadwick, Commissioner Larry Mathews, Commissioner Don Heath, Commissioner City Staff Dennis M. Kissinger, City Manager Michael Morgan, Deputy City Manager Jason Gage, Assistant City Manager Rodney Franz, Director of Finance and Administration Don Hoff, Director of Utilities Jim Hill, Chief of Police Tom Girard, Fire Chief Shawn O'Leary, Director of Engineering and General Services Keith Rawlings, Bicentennial Center Manager Steve Snyder, Parks and Recreation Director Roy Dudark, Planning & Community Development Director Martha Rhea, Director of Arts and Humanities Kaye Crawford, Human Relations Director Greg Bengtson, City Attorney David Larrick, Information Services Director ~ This page left blank intentionally. This page left blank intentionally. FINANCIAL SECTION 234 South Main p,O, Box 1020 Ottawa, Kansas 66067 (785) 242-3170 (785) 242-9250 FAX At Àg I~L~g~~2~~~! n~s HAI>TERED IN Keith Gaeddert Lucille L, Himierliter Raymond E, Mey';'. J' REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS To the Honorable Mayor and the Board of the City Commissioners City of Salina, Kansas We have audited the accompanying general purpose financial statements of the City of Salina, Kansas as of and for the year ended December 31, 1999 as listed in the table of contents to the financial section, These general purpose financial statements are the responsibility of the City's management Our responsibility is to express an opinion on these general purpose [mancial statements based on our audit We did not audit the financial statements of the Salina Airport Authority and the Housing Authority of the City of Salina, which are discretely presented component units in the accompanying financial statements- Those financial statements were audited by other auditors whose reports thereon have been furnished to us, and our opinion, insofar as it relates to the amounts included for the Salina Airport Authority and the Housing Authority of the City of Salina, is based solely on the reports of the other auditors. We conducted our audit in accordance with generally accepted auditing standards; the Kansas Municipal Audit Guide and Government Auditing Standards, issued by the Comptroller General of the United States- Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the general purpose financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall general purpose financial statement presentation. We believe that our audit and the report of other auditors provide a reasonable basis for our opinion. In our opinion, based on our audit and the reports of other auditors, the general purpose financial statements referred to above present fairly, in all material respects, the financial position of the City of Salina, Kansas as of December 31, 1999, and the results of its operations and cash flows of its proprietary fund types and nonexpendable trust funds for the year then ended in conformity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated May 12, 2000 on our consideration of the City of Salina, Kansas' internal control structure and a report dated May 12,2000 on its compliance with laws and regulations. ~ INPACT Our audit was conducted for the purpose of forming an opinion on the general purpose financial statements taken as a whole- The combining, individual fund and account group financial statements, schedules and additional information listed in the table of contents to the financial section are presented for purposes of additional analysis and are not a required part of the general purpose financial statements of the City of Salina, Kansas. Such additiona I information has been subjected to the auditing procedures applied in the audit of the general purpose financial statements and, in our opinion, is fairly presented in all material respects in relation to the general purpose financial statements taken as a whole. The other data included in this report, designated as the "Statistical Section" in the table of contents, has not been audited by us and, accordingly, we express no opinion on that data. Jr .,J JÓ dJA d ;;t;t1 May 12, 2000 2 GENERAL PURPOSE FINANCIAL STATEMENTS City of Salina, Kansas COMBINED BALANCE SHEET ALL FUND TYPES, ACCOUNT GROUPS AND DISCRETELY PRESENTED COMPONENT UNITS December 3 I, 1999 Governmental Fund Types Special Debt Capital General Revenue Service Projects ASSETS AND OTHER DEBITS ASSETS Cash and investments $ 6,845,472 $ 3,177,391 $ 779,992 $ 851,756 Cash and investments - non-expendable trusts 0 0 0 0 Cash with fiscal agent 0 0 6,895 0 Receivables (net of allowance for uncollectibles) Accounts 213,108 33,200 0 0 Taxes 2,86 I ,334 3,621,01 I 1,478,426 0 Interest 83,782 0 0 0 Notes 0 12,615 0 0 Inventory and prepaid supplies 121,750 0 0 0 Due from funds 276,917 0 0 0 Restricted assets Cash and investments 0 0 0 0 Fixed assets (net of accumulated depreciation, where applicable) 0 0 0 0 Financing leases 0 0 0 0 Deferred charges 0 0 0 0 OTHER DEBITS Amount available in debt service funds 0 0 0 0 Amount to be provided for retirement of general long-term debt 0 0 0 0 Total assets and other debits $ 10,402,363 $ 6,844,217 $ 2,265,3 I 3 $ 851,756 LIABILITIES, EQUITY AND OTHER CREDITS LIABILITIES Accounts payable $ 327,379 $ 57,387 $ 0 $ 0 Retainage payable 9,963 3,642 0 13,436 Due to funds 0 276,917 0 0 Meter deposits payable 0 0 0 0 Health claims payable 0 0 0 0 Matured principal and interest payable 0 0 6,895 0 The accompanying notes are an integral part of this statement. 3 Statement 1 Internal Service Trust and Agency Account Groups General General Fixed Long- Assets Term Debt Total Primary Government (Memoran- - dum Only) Proprietary Fund Types Fiduciary Fund Types Enterprise $ 12,690,266 $ 2,444,939 $ 239,151 $ 0 $ 0 $ 27,028,967 0 0 253,332 0 0 253,332 0 0 0 0 0 6,895 962,633 0 0 0 0 1,208,941 0 0 0 0 0 7,960,771 0 0 0 0 0 83,782 0 0 0 0 0 12,615 480,971 39,939 0 0 0 642,660 0 0 0 0 0 276,917 11,804,132 0 0 0 0 11,804,132 55,355,534 717,034 0 27,454,454 0 83,527,022 0 0 0 0 0 0 517,819 0 0 0 0 517,819 0 0 0 0 779,992 779,992 0 0 0 0 15,901,663 15,901,663 $ 81,811,355 $ 3,201,912 $ 492,483 $ 27,454,454 $ 16,681,655 $ 150,005,508 $ 404,220 $ 103,500 $ 199,242 $ 0 $ 0 $ 1,091,728 280,686 0 0 0 0 307,727 0 0 0 0 0 276,917 90,888 0 0 0 0 90,888 0 597,676 0 0 0 597,676 0 0 0 0 0 6,895 4 cant. City of Salina, Kansas Statement 1 Pal!e 2 COMBINED BALANCE SHEET ALL FUND TYPES, ACCOUNT GROUPS AND DISCRETELY PRESENTED COMPONENT UNITS December 31, 1999 Total Total Primary Component Units Reporting Government Salina Salina Entity (Memoran- Airport Housing (Memoran- dum Only) Authority Authority dum Only) ASSETS AND OTHER DEBITS ASSETS Cash and investments $ 27,028,967 $ 73,661 $ 559,855 $ 27 ,662,483 Cash and investments - non-expendable trusts 253,332 0 0 253,332 Cash with fiscal agent 6,895 0 0 6,895 Receivables (net of allowance for uncollectibles) Accounts 1,208,941 121,512 75,784 1,406,237 Taxes 7,960,771 714,772 0 8,675,543 Interest 83,782 0 0 83,782 Notes 12,615 0 0 12,615 Inventory and prepaid supplies 642,660 2,524 11,203 656,387 Due from funds 276,917 0 0 276,917 Restricted assets Cash and investments 11,804,132 85,000 67,888 11,957,020 Fixed assets (net of accumulated depreciation, where applicable) 83,527,022 24,584,752 6,945,876 115,057,650 Financing leases 0 1,260,228 0 1,260,228 Deferred charges 517,819 102,094 0 619,913 OTHER DEBITS Amount available in debt service funds 779,992 0 0 779,992 Amount to be provided for retirement of general long-term debt 15,901,663 0 0 15,901,663 Total assets and other debits $ 150,005,508 $ 26,944,543 $ 7,660,606 $ 184,610,657 LIABILITIES, EQUITY AND OTHER CREDITS LIABILITIES Accounts payable $ 1,091,728 $ 141,252 $ 80,490 $ 1,313,470 Retainage payable 307,727 0 0 307,727 Due to funds 276,917 0 0 276,917 Meter deposits payable 90,888 0 0 90,888 Health claims payable 597,676 0 0 597,676 Matured principal and interest payable 6,895 0 0 6,895 The accompanying notes are an integral part of this statement. 5 cont. This page left blank intentionally. City of Salina, Kansas COMBINED BALANCE SHEET ALL FUND TYPES, ACCOUNT GROUPS AND DISCRETELY PRESENTED COMPONENT UNITS December 3 I, 1999 Governmental Fund Types Special Debt Capital General Revenue Service Projects LIABILITIES - continued Payable from restricted assets Accrued interest payable $ 0 $ 0 $ 0 $ 0 Revenue bonds payable - current 0 0 0 0 Deferred interest-financing leases 0 0 0 0 Accrued compensated absences 0 0 0 0 Loans payable - current 0 0 0 0 General obligation bonds - current 0 0 0 0 Capital leases payable - current 0 0 0 0 Temporary notes payable 0 0 0 4,650,000 Loans payable 0 0 0 0 General obligation bonds payable 0 0 0 0 Revenue bonds payable 0 0 0 0 Capital leases payable 0 0 0 0 Mortgages payable 0 0 0 0 Landfill closure and postclosure 0 0 0 0 Deferred revenue 2,174,208 3,043,636 1,478,426 0 Total liabilities 2,511,550 3,381,582 1,485,321 4,663,436 EQUITY AND OTHER CREDITS Investment in general fixed assets 0 0 0 0 Contributed capital 0 0 0 0 Retained Earnings Reserved for bond retirement 0 0 0 0 Reserved for postclosure care 0 0 0 0 Unreserved 0 0 0 0 Fund balances Reserved for encumbrances 837,108 207,614 0 2,166,752 Reserved for notes receivable 0 12,615 0 0 Unreserved Designated for debt service 0 0 779,992 0 Undesignated (deficit) 7,053,705 3,242,406 0 (5,978,432) Total equity and other credits 7,890,813 3,462,635 779,992 (3,811,680) Total liabilities, equity and other credits $ 10,402,363 $ 6,844,217 $ 2,265,313 $ 851,756 The accompanying notes are an integral part of this statement. 6 Statement 1 Pa!!e 3 Proprietary Proprietary Fiduciary Total Fund Types Fund Types Fund Types Account Groups Primary General General Government Internal Trust and Fixed Long- (Memoran- Enterprise Service Agency Assets Term Debt dum Only) $ 309,134 $ 0 $ 0 $ 0 $ 0 $ 309,134 735,000 0 0 0 0 735,000 0 0 0 0 0 0 421,017 49,997 0 0 1,889,982 2,360,996 49,740 0 0 0 0 49,740 763,754 0 0 0 2,181,481 2,945,235 0 98,848 0 0 0 98,848 1,000,000 0 0 0 0 5,650,000 3,050,955 0 0 0 0 3,050,955 5,548,103 0 0 0 12,610,192 18,158,295 24,865,000 0 0 0 0 24,865,000 0 192,739 0 0 0 192,739 0 0 0 0 0 0 1,007,235 0 0 0 0 1,007,235 0 0 0 0 0 6,696,270 38,525,732 1,042,760 199,242 0 16,681,655 68,491,278 0 0 0 27 ,454,454 0 27,454,454 8,736,894 621,543 0 0 0 9,358,437 2,810,428 0 0 0 0 2,810,428 97,533 0 0 0 0 97,533 31,640,768 1,537,609 0 0 0 33,178,377 0 0 0 0 0 3,211,474 0 0 0 0 0 12,615 0 0 0 0 0 779,992 0 0 293,241 0 0 4,610,920 43,285,623 2,159,152 293,241 27 ,454,454 0 81,514,230 $ 81,811,355 $ 3,201,912 $ 492,483 $ 27,454,454 $ 16,681,655 $ 150,005,508 7 cont. City of Salina, Kansas Statement 1 Pa!!e 4 COMBINED BALANCE SHEET ALL FUND TYPES, ACCOUNT GROUPS AND DISCRETELY PRESENTED COMPONENT UNITS December 3 1, 1999 Total Total Primary Component Units Reporting Government Salina Salina Entity (Memoran- Airport Housing (Memoran- dum Only) Authority Authority dum Only) LIABILITIES - continued Payable from restricted assets Accrued interest payable $ 309,134 $ 108,410 $ 0 $ 417,544 Revenue bonds payable - current 735,000 60,000 0 795,000 Deferred interest-financing leases 0 65,092 0 65,092 Accrued compensated absences 2,360,996 0 0 2,360,996 Loans payable - current 49,740 48,978 0 98,718 General obligation bonds - current 2,945,235 630,000 0 3,575,235 Capital leases payable - current 98,848 0 0 98,848 Temporary notes payable 5,650,000 0 0 5,650,000 Loans payable 3,050,955 371,551 0 3,422,506 General obligation bonds payable 18,158,295 4,940,000 0 23,098,295 Revenue bonds payable 24,865,000 440,000 0 25,305,000 Capital leases payable 192,739 0 0 192,739 Mortgages payable 0 0 634,051 634,051 Landfill closure and postclosure 1,007,235 0 0 1,007,235 Deferred revenue 6,696,270 748,808 6,906 7,451,984 Total liabilities 68,491,278 7,554,091 721,447 76,766,816 EQUITY AND OTHER CREDITS Investment in general fixed assets 27 ,454,454 0 6,945,706 34,400,160 Contributed capital 9,358,437 10,093,641 0 19,452,078 Retained Earnings Reserved for bond retirement 2,810,428 0 0 2,810,428 Reserved for postc1osure care 97,533 0 0 97,533 Unreserved 33,178,377 9,296,811 0 42,475,188 Fund balances Reserved for encumbrances 3,211,474 0 0 3,211,474 Reserved for notes receivable 12,615 0 0 12,615 Unreserved Designated for debt service 779,992 0 0 779,992 Undesignated (deficit) 4,610,920 0 (6,547) 4,604,373 Total equity and other credits 81,514,230 19,390,452 6,939,159 107,843,841 Total liabilities, equity and other credits $ 150,005,508 $ 26,944,543 $ 7,660,606 $ 184,610,657 The accompanying notes are an integral part of this statement. 8 This page left blank intentionally. City of Salina, Kansas COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ALL GOVERNMENTAL FUND TYPES, EXPENDABLE TRUST FUNDS AND DISCRETELY PRESENTED COMPONENT UNITS For the fiscal year ended December 31, 1999 Governmental Fund Types Special Debt Capital General Revenue Service Projects Revenues Taxes $ 15,484,334 $ 4,579,346 $ 1,250,953 $ 0 Intergovernmental 1,750,941 2,632,340 0 0 Fees and charges 1,437,526 630,803 0 0 Special assessments 0 0 1,086,557 0 Other revenues 2,616,771 1,447,667 193,125 831,465 Total revenues 21,289,572 9,290,156 2,530,635 831,465 Expenditures Current General government 2,012,477 165,955 0 0 Public safety 8,442,693 2,004,926 0 0 Public works 2,706,176 761,717 0 0 Culture and recreation 1,707,818 2,705,266 0 0 Public health and sanitation 539,931 133,502 0 0 Community development 2,678,390 1,421,827 0 0 Other 0 0 0 0 Capital outlay 1,778,158 1,866,631 0 5,524,833 Debt service Principal 0 0 1,851,481 9,440,000 Interest and other charges 0 0 640,472 346,182 Total expenditures 19,865,643 9,059,824 2,491,953 15,311,015 Excess ( deficiency) of revenues over (under) expenditures 1,423,929 230,332 38,682 (14,479,550) The accompanying notes are an integral part of this statement. 9 cant. Statement 2 Fiduciary Total Component Total Fund Type Primary Unit Reporting Government Salina Entity Expendable (Memoran- Housing (Memoran- Trust dum Only) Authority dum Only) $ 0 $ 21,314,633 $ 0 $ 21,314,633 0 4,383,281 828,405 5,211,686 0 2,068,329 274,023 2,342,352 0 1,086,557 0 1,086,557 1,959 5,090,987 39,882 5,130,869 1,959 33,943,787 1,142,310 35,086,097 0 2,178,432 0 2,178,432 0 10,447,619 0 10,447,619 0 3,467,893 0 3,467,893 0 4,413,084 0 4,413,084 2,401 675,834 0 675,834 0 4,100,217 907,805 5,008,022 0 0 150,351 150,351 0 9,169,622 122,305 9,291,927 0 11,291,481 0 11,291,481 0 986,654 43,460 1,030,114 2,401 46,730,836 1,223,921 47,954,757 (442) (12,787,049) (81,611) (12,868,660) 10 cant. City of Salina, Kansas COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES- ALL GOVERNMENTAL FUND TYPES, EXPENDABLE TRUST FUNDS AND DISCRETELY PRESENTED COMPONENT UNITS F or the fiscal year ended December 31, 1999 Governmental Fund Types Special Debt Capital General Revenue Service Projects Other financing sources (uses) Operating transfers in $ 17,000 $ 632,073 $ 0 $ 675,000 Operating transfers out (1,004,179) (319,894) 0 0 Bond and temporary note proceeds 0 0 0 9,883,368 Sale of assets 59,557 0 0 0 Total other financing sources (uses) (927,622) 312,179 0 10,558,368 Excess (deficiency) of revenues and other sources over (under) expenditures and other uses 496,307 542,511 38,682 (3,921,182) Fund balances (deficit), January 1 7,015,511 3,478,084 741,310 (30,998) Residual equity transfer in 394,239 0 0 366,103 Residual equity transfer out (15,244) (557,960) 0 (225,603) Fund balances (deficit), December 31 $ 7,890,813 $ 3,462,635 $ 779,992 $ (3,811,680) The accompanying notes are an integral part of this statement. 11 cont. Statement 2 Page 2 Fiduciary Total Component Total Fund Type Primary Unit Reporting Government Salina Entity Expendable (Memo ran- Housing (Memoran- Trust dum Only) Authority dum Only) $ 0 $ 1,324,073 $ 0 $ 1,324,073 0 (1,324,073) 0 (1,324,073) 0 9,883,368 0 9,883,368 0 59,557 0 59,557 0 9,942,925 0 9,942,925 (442) (2,844,124) (81,611) (2,925,735) 40,351 11,244,258 75,064 11,319,322 0 760,342 0 760,342 0 (798,807) 0 (798,807) $ 39,909 $ 8,361,669 $ (6,547) $ 8,355,122 12 City of Salina, Kansas COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET - GENERAL, SPECIAL REVENUE AND DEBT SERVICE FUNDS For the fiscal year ended December 31, 1999 Total revenues General Fund Variance Favorable Actual Budget . (Unfavorable) $ 15,654,583 $ 15,805,291 $ (150,708) 1,756,732 1,684,942 71,790 1,420,786 1,376,472 44,314 2,812,895 2,707,3 11 105,584 2 I ,644,996 21,574,016 70,980 Revenues Taxes Intergovernmental Fees and charges Other revenues Expenditures Current General government Public safety Public works Public health and sanitation Culture and recreation Community development Other Capital outlay Debt service Principal Interest and other charges Cash reserve 1,797,584 1,943,113 145,529 8,336,635 8,692,245 355,610 3,253,338 3,562,582 309,244 539,161 539,445 284 1,698,834 1,721,558 22,724 2,327,073 2,314,568 (12,505) 0 0 0 2,469,192 3,700,240 1,231,048 0 0 0 0 0 0 0 4,292,080 4,292,080 20,421,817 26,765,831 6,344,014 1,223,179 (5,191,815) 6,414,994 17,000 17,000 0 (1,004,179) (510,000) (494,179) 59,557 30,000 29,557 (927,622) (463,000) (464,622) Total expenditures Excess (deficiency) ofrevenues over (under) expenditures Other financing sources (uses) Operating transfers in Operating transfers out Sale of assets Total other financing sources (uses) The accompanying notes are an integral part of this statement. 13 Statement 3 Special Revenue Funds Debt Service Funds Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budget (Unfavorable) $ 4,588,040 $ 4,577,131 $ 10,909 $ 1,251,027 $ 1,252,740 $ (1,713) 1,664,835 1,635,140 29,695 0 0 0 877,475 831,537 45,938 0 0 0 192,733 511,700 (318,967) 1,279,682 1,307,438 (27,756) 7,323,083 7,555,508 (232,425) 2,530,709 2,560,178 (29,469) 133,667 144,385 10,718 0 0 0 1,854,943 2,137,681 282,738 0 0 0 747,793 835,922 88,129 0 0 0 133,502 136,769 3,267 0 0 0 1,525,704 1,614,568 88,864 0 0 0 655,814 684,519 28,705 0 0 0 32,925 34,073 1,148 0 0 0 1,721,833 1,995,741 273,908 0 0 0 0 0 0 1,851,481 1,851,631 150 0 0 0 640,546 641,377 831 0 1,859,524 1,859,524 0 808,480 808,480 6,806,181 9,443,182 2,637,001 2,492,027 3,301,488 809,461 516,902 (1,887,674) 2,404,576 38,682 (741,310) 779,992 627,894 286,000 341,894 0 0 0 (319,894) (672,346) 352,452 0 0 0 8,000 0 8,000 0 0 0 316,000 (386,346) 702,346 0 0 0 14 cont. City of Salina, Kansas COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET - GENERAL, SPECIAL REVENUE AND DEBT SERVICE FUNDS For the fiscal year ended December 31, 1999 Excess (deficiency) of revenues and other sources over (under) expenditures and other uses General Fund Variance Favorable Actual Budget (Unfavorable) $ 295,557 $ (5,654,815) $ 5,950,372 5,484,672 5,484,672 0 5,000 0 5,000 207,101 170,143 36,958 (34,428) 0 (34,428) 5,957,902 $ 0 $ 5,957,902 984,016 121,750 (9,963) 837,108 0 $ 7,890,813 Unreserved fund balances, January 1 Prior year cancelled encumbrances Residual equity transfer in Residual equity transfer out Unreserved fund balances, December 31 Receivables reconciliation Inventory reconciliation Retainage reconciliation Encumbrance reconciliation Non-budgeted funds Fund balances, December 31 The accompanying notes are an integral part of this statement. 15 Statement 3 Pal!e 2 Special Revenue Funds Debt Service Funds Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budget (Unfavorable) $ 832,902 $ (2,274,020) $ 3,106,922 $ 38,682 $ (741,310) $ 779,992 2,444,164 2,444,163 741,310 741,310 0 13,242 0 13,242 0 0 0 0 0 0 0 0 0 (557,960) (170,143) (387,817) 0 0 0 2,732,348 $ 0 $ 2,732,348 779,992 $ 0 $ 779,992 610,075 0 0 0 (3,642) 0 207,614 0 (83,760) 0 $ 3,462,635 $ 779,992 16 City of Salina, Kansas COMBINED STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS/FUND BALANCES ALL PROPRIETARY FUND TYPES, SIMILAR TRUST FUNDS AND DISCRETELY PRESENTED COMPONENT UNITS For the fiscal year ended December 3 I, 1999 Fiduciary Proprietary Fund Types Fund Type Non- Internal expendable Enterprise Service Trust Operating revenues Charges for services $ 15,138,741 $ 4,779,188 $ 6,976 Reimbursements 18,158 56,836 0 Miscellaneous 256,189 940 0 Total operating revenues 15,413,088 4,836,964 6,976 Operating expenses General government 0 4,980,345 0 Public works 10,077,057 0 0 Recreation 713,371 0 0 Other 0 0 35 Depreciation 2,832,353 165,110 0 Total operating expenses 13,622,781 5,145,455 35 Operating income (loss) 1,790,307 (308,491) 6,941 Nonoperating revenues (expenses) Use of money and property 1,32\ ,945 126,616 11,963 Operating grants 452,011 0 0 Bond issuance costs (57,268) 0 0 Debt service (1,848,674) 0 0 Mill levy 0 0 0 Gain (loss) on disposition of fixed assets (4,191) 0 0 Total nonoperating revenues (expenses) (136,177) 126,616 11,963 Net income (loss) 1,654,130 (181,875) 18,904 Add depreciation on assets acquired through Federal contributions 0 0 0 Increase (decrease) in retained earnings/fund balances 1,654,130 (181,875) 18,904 Retained earnings/fund balances, January 1 32,894,599 1,7\9,484 234,428 Retained earnings/fund balances, December 3 I $ 34,548,729 $ 1,537,609 <, 253,332 ,) The accompanying notes are an integral part of this statement. 17 Statement 4 Total Component Total Primary Unit Reporting Government Salina Entity (Memorandum Airport (Memorandum Only) Authority Only) $ 19,924,905 $ 1,447,147 $ 21,372,052 74,994 o 74,994 257,129 26,965 284,094 20,257,028 1,474,112 21,731,140 4,980,345 o 4,980,345 10,077,057 o 10,077,057 713,371 o 713,371 35 1,104,108 1,104,143 2,997,463 925,397 3,922,860 18,768,271 2,029,505 20,797,776 1,488,757 (555,393) 933,364 1,460,524 158,858 1,619,382 452,011 o 452,011 (57,268) o (57,268) (1,848,674) (369,561) (2,218,235) o 783,363 783,363 (4,191) o (4,191) 2,402 572,660 575,062 1,491,159 17,267 1,508,426 o 595,779 595,779 1,491,159 613,046 2, I 04,205 34,848,511 8,683,765 43,532,276 $ 36,339,670 $ 9,296,811 $ 45,636,481 18 City of Salina, Kansas COMBINED STATEMENT OF CASH FLOWS ALL PROPRfETARY FUND TYPES, SIMILAR TRUST FUNDS AND DISCRETELY PRESENTED COMPONENT UNITS For the fiscal year ended December 3 I, 1999 Fiduciary Proprietary Fund Types Fund Type Non- Internal expendable Enterprise Service Trust Cash flows from operating activities Cash received from customers and users $ 14,969,117 $ 4,352,061 $ 6,976 Cash received from quasi-external transactions 0 483,963 0 Cash paid to suppliers (6,358,175) (4,215,047) (35) Cash paid to employees (4,107,627) (584,233) 0 Cash paid for quasi-external transactions (633,195) (31,133) 0 Otl1£r operating receipts 274,347 940 0 Net cash provided by operating activities 4,144,467 6,551 6,941 Cash flows from capital and related financing activities Purchase and construction of fixed assets (4,247,387) (154,381) 0 Contributed capital 38,464 0 0 Proceeds from issuance of debt 2,164,841 0 0 Principal payments - temporary notes (500,000) 0 0 Principal payments - loans 0 0 0 Principal payments - gen. obligation bonds (808,522) 0 0 Principal payments - revenue bonds (700,000) 0 0 Interest paid (1,843,292) 0 0 Bond issuance costs 0 0 0 Proceeds from property tax 0 0 0 Principal received on financing leases 0 0 0 Interest received on financing leases 0 0 0 Principal received on long-term note 0 0 0 Proceeds from capital grants 0 0 0 Return of capital grant proceeds 0 0 0 Net cash used in capital and related financing activities (5,895,896) (154,381) 0 Cash flows from investing activities Interest received 1,321,945 126,616 11,963 Cash flows from noncapitaI financing activities Operating grant receipts 452,011 0 0 Net increase (decrease) in cash and cash equivalents 22,527 (21,214) 18,904 Cash and cash equivalents, January 1 24,471,871 2,466,153 234,428 Cash and cash equivalents, December 31 $ 24,494,398 $ 2,444,939 <, 253,332 ,~ The accompanying notes are an integral part of this statement. 19 Statement 5 Total Component Total Primary Unit Reporting Government Salina Entity (Memorandum Airport (Memorandum Only) Authority Only) $ 19,328,154 $ 1,386,088 $ 20,714,242 483,963 0 483,963 (10,573,257) (635,344) (11,208,601 ) (4,691,860) (420,315) (5,112,175) (664,328) 0 (664,328) 275,287 0 275,287 4,157,959 330,429 4,488,388 (4,401,768) (1,460,223) (5,861,991) 38,464 0 38,464 2,164,841 0 2,164,841 (500,000) 0 (500,000) 0 (48,013) (48,013) (808,522) (1,880,000) (2,688,522) (700,000) (55,000) (755,000) (1,843,292) (400,040) (2,243,332) 0 (14,219) (14,219) 0 783,363 783,363 0 59,263 59,263 0 130,184 130,184 0 1,374,760 1,374,760 0 97,971 97,971 0 (11,131) (11,131) (6,050,277) (1,423,085) (7,473,362) 1,460,524 32,628 1,493,152 452,011 0 452,011 20,217 (1,060,028) (1,039,811) 27,172,452 1,218,689 28,391,141 $ 27,192,669 $ 158,661 $ 27,351,330 20 cont. City of Salina, Kansas COMBINED STATEMENT OF CASH FLOWS ALL PROPRIETARY FUND TYPES, SIMILAR TRUST FUNDS AND DISCRETELY PRESENTED COMPONENT UNITS For the fiscal year ended December 31, 1999 Total cash and cash equivalents Fiduciary Proprietary Fund Types Fund Type Non- Internal expendable Enterprise Service Trust $ 12,690,266 $ 2,444,939 $ 253,332 11,804,132 0 0 $ 24,494,398 $ 2,444,939 $ 253,332 Cash and investments Restricted cash and investments Reconciliation of operating income (loss) to net cash provided by operating activities Operating income (loss) $ 1,790,307 $ (308,491) $ 6,941 Adjustments to reconcile operating income (loss) to net cash provided by operating activities Depreciation expense (Increase) decrease in accounts receivable (Increase) decrease in deposits receivable (Increase) decrease in inventory Increase (decrease) in accounts payable Increase (decrease) in retainage payable Increase (decrease) in accrued compensated absences Increase (decrease) in meter deposits payable Increase (decrease) in claims payable Increase (decrease) in deferred income Increase (decrease) in landfill closure and postclosure Net cash provided by operating activities 2,832,353 165,110 (175,260) 0 0 0 (50,697) 6,575 (272,054) 41,735 13,155 0 (19,617) 7,359 5,636 0 0 94,263 0 0 20,644 0 $ 4,144,467 $ 6,551 $ 0 0 0 0 0 0 0 0 0 0 0 6,941 NON-CASH TRANSACTIONS: Fixed assets in the amount of$14,352 were transferred from the Water/Sewer Fund to the Solid Waste Fund. Fixed assets in the amount of $1 0,732 were transferred from the General Fixed Assets Account Group to to Sanitation Fund. Fully depreciated fixed assets having an original cost of $60,619 were retired 1yom the Enterprise Funds. Fully depreciated fixed assets having an original cost of $63,621 were retired from the Airport Authority. The City acquired computer equipment at a cost of $291 ,587 through a lease-purchase arrangement in the same amount The accompanying notes are an integral part of this statement 21 Statement 5 Pa2:e 2 Total Component Total Primary Unit Reporting Government Salina Entity (Memorandum Airport (Memorandum Only) Authority Only) $ 15,388,537 $ 73,661 $ 15,462,198 11,804,132 85,000 11,889,132 $ 27,192,669 $ 158,661 $ 27,351,330 $ 1,488,757 $ (555,393) $ 933,364 2,997,463 925,397 3,922,860 (175,260) (74,784) (250,044) 0 0 0 (44,122) (2,524) (46,646) (230,319) 50,973 (179,346) 13,155 0 13,155 (12,258) 0 (12,258) 5,636 0 5,636 94,263 0 94,263 0 (13,240) (13,240) 20,644 0 20,644 $ 4,157,959 $ 330,429 $ 4,488,388 22 This page left blank intentionally. City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 3 I, 1999 I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES A. Reporting Entity The City of Salina is a municipal corporation governed by five elected commissioners. As required by generally accepted accounting principles, these financial statements present the City and its component units, entities for which the government is considered to be financially accountable. Blended component units, although legally separate entities, are, in substance, part of the City's operations and so data from these units is combined with data of the primary government. The city has no blended component units to present for the year ended December 31, 1999. Each discretely presented component unit is reported in a separate column in the combined financial statements to emphasize it is legally separated from the government. Discretelv Presented Component Units City of Salina Airport Authority - The Salina Airport Authority (Airport Authority) was created for the purpose of accepting as surplus property portions of the fonner Schilling A.F.B that was closed by the United States Department of Defense in June, 1965. One of the primary functions of the Airport Authority is to facilitate the continued growth of jobs and payroll at the Airport Industrial Center. The Airport Authori~ý is managed and controlled by a five-member Board of Directors appointed by the Salina City Commission. Any director may be removed by a majority vote of the Salina City Commission. The Airport Authority's basic mill levy (up to 3 mills) requires the approval of the City Commission. The Commission must also approve the issuance of general obligation debt by the Airport Authority. The Airport Authority is reported as an enterprise fhnd. The Airport Authority has a December 3 I fiscal year end. Housing Authority of the City of Salina - The purpose of the Housing Authority of the City of Salina (Housing Authority) is to administer Public Housing Programs authorized by the United States Housing Act of 1937. The governing board is appointed by the Mayor of the City of Sal ina. Commissioners of the Housing Authority may be removed by the City Commission. Revenue bonds for the Housing Authority must be issued by the City. The financial liability of the Housing Authority is essentially supported by the operating and debt service subsidies received under contract from the Federal government. The Housing Authority is reported as a governmental fund type. The Housing Authority has a June 30 fiscal year end. Information in the accompanying financial statements covers the fiscal year ended June 30, 1999. Complete financial statements for each of the individual component units may be obtained at the entity's administrative offices. Salina Airport Authority 3237 Arnold Ave. Salina, KS Housing Authority of the City of Salina 469 S 5th Salina, KS Joint Ventures The City of Salina also participates with Saline County in two joint ventures. The Salina-Saline County Board of Health was organized by the City and County to promote public health. The Salina County-City Building Authority was organized by the City and County to acquire, operate and maintain facilities for the administrative offices of both governments. The primary governments each have an ongoing financial responsibility for the joint ventures. Separate financial statements are available from the governing boards of each joint venture. Board of Building Health Authority 245,552 $ 355,472 2,616,643 679,768 440,671 244,069 Total fund balance, December 31, 1999 Total revenues, year ended December 31, 1999 Total revenues from City of Salina $ 23 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1999 I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - continued B. Measurement Focus, Basis of Accounting and Basis of Presentation The accounts of the City are organized and operated on the basis of funds and account groups. A fund is an independent fiscal and accounting entity with a self-balancing set of accounts. Fund accounting segregates funds according to their intended purpose and is used to aid management in demonstrating compliance with fmance- related legal and contractual provisions. The minimum number of funds is maintained consistent with legal and managerial requirements. Account groups are a reporting device to account for certain assets and liabilities of the governmental funds not recorded directly in those funds. The city has the following fund types and account groups. Governmental Funds are used to account for the City's general government activities. Governmental fund types use the flow of current financial resources measurement focus and the modified accrual basis of accounting. Under the modified accrual basis of accounting revenues are recognized when susceptible to accrual (i.e., when they are "measurable and available"). "Measurable" means the amount of the transaction can be determined and "available" means collectible within the current period or soon enough thereafter to pay liabilities of the current period. The City considers property taxes as available if they are collected within 60 days after year end. A one-year availability period is used for revenue recognition for all other governmental fund revenues- Expenditures are recorded when the related fund liability is incurred, except for unmatured interest on general long-term debt which is recognized when due, and certain compensated absences and claims and judgments which are recognized when the obligations are expected to be liquidated with expendable available financial resources. Property taxes, &anchise taxes, licenses, interest revenue, special assessments and charges for services are susceptible to accrual. Sales taxes collected and held by the State at year-end on behalf of the City are also recognized as revenue. Entitlements and shared revenues are recorded at the time of receipt or earlier if the susceptible to accrual criteria are met. Expenditure-driven grants are recognized as revenue when the qualifYing expenditures have been incurred and all other grant requirements have been met. The City reports deferred revenue on its combined balance sheet. Deferred revenues arise when a potential revenue does not meet both the "measurable" and "available" criteria for recognition in the current period. Deferred revenues also arise when resources are received by the City before it has a legal claim to them, as when grant monies are received prior to incurring qualifYing expenditures. In subsequent periods, when both revenue recognition criteria are met, or when the City has a legal claim to the resources, the liability for de:ferred revenue is removed from the combined balance sheet and revenue is recognized. Governmental funds include the following fund types: The general fund is the City's primary operating fund- It accounts for all financial resources of the general government, except those required to be accounted for in another fund. The special revenue funds account for revenue sources that are legally restricted to expenditure for specific purposes (not including expendable trusts or major capital projects). The debt service funds account for the servicing of the general long-term debt not being financed by proprietary or nonexpendabJe trust funds of the City. The capital projects funds account for the acquisition of fixed assets or the construction of major capital projects not being fmanced by the proprietary or nonexpendable trust funds of the City. 24 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1999 I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES-continued B. Measurement Focus, Basis of Accounting and Basis of Presentation - continued Proprietary funds are accounted for on the flow of economic resources measurement focus and use the accrual basis of accounting. Under this method, revenues are recorded when earned and expenses are recorded at the time liabilities are incurred. The government applies all applicable F ASB pronouncements in accounting and reporting for its proprietary operations. Proprietary funds include the following fund types: The enterprise funds are used to account for those operations that are financed and operated in a manner similar to private business or where the board has decided that the determination of revenues earned, costs incurred and/or net income is necessary for management accountability. The internal service funds account for operations that provide services to other departments or agencies of the government, or to other governments, on a cost-reimbursement basis. Fiduciary funds account for assets held by the City in a trustee capacity or as an agent on behalf of others. Trust funds account for assets held by the City under the terms of a formal trust agreement. The expendable trust funds are accounted for in essentially the same manner as the governmental fund types, using the same measurement focus and basis of accounting. Expendable trust funds account for assets where both the principal and interest may be spent. The nonexpendable trust funds are accounted for in essentially the same manner as the proprietary funds, using the same measurement focus and basis of accounting. Nonexpendable trust funds account for assets of which the principle may not be spent. The agency funds are custodial in nature and do not present results of operations or have a measurement focus. Agency funds are accounted for using the modified accrual basis of accounting. These funds are used to account for assets that the City holds for others in an agency capacity. Account Groups. The general fixed assets account group is used to account for fixed assets of the City. The general long-term debt account group is used to account for general long-term debt and certain other liabilities of the City. C. Assets, Liabilities and Equity 1. Pooled Cash and Investments The City maintains a cash and investment pool that is available for use by all funds managed by the city. Each fund type's portion of this pool is displayed on the combined balance sheet as "Cash and Investments". The city's cash and cash equivalents are considered to be cash on hand, demand deposits and short-term investments with original maturities of three months or less from the date of acquisition. Investments in the Kansas Municipal Pool are carried at fair value. Cash balances ITom all funds are invested to the extent available in certificates of deposit and other authorized investments. Investments with maturity dates greater than three months are stated separately. Earnings ITom these investments, unless specifically designated, are allocated monthly to the investing fund based on the percentage of funds invested to total investments. All investments are carried at fair value. 25 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 3 I, 1999 I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - continued C. Assets, Liabilities and Equity - continued 2. Receivables and Payables Transactions between funds that are representative of lendinglborrowing arrangements outstanding at the end of the fiscal year are referred to as either "interfund receivables/payables" (i.e., the current portion of interfund loans) or "advances to/trom other funds" (i.e., the non-current portion of interfund loans). All other outstanding balances between funds are reported as "due to/from other funds". Accounts Receivable. The City records revenues when services are provided. All receivables are shown net of an allowance for uncollectible amounts- Property taxes receivable. The determination of assessed valuations and the collections of property taxes for all political subdivisions in the State of Kansas is the responsibility of the various counties. The office of the County Appraiser annually detennines assessed valuations and the County Clerk spreads the annual ass<,ssment on the tax rolls. The County Treasurer is the tax collection agent for all taxing entities within the county. In accordance with state statutes, property taxes levied during the current year are a revenue source to be used to finance the budget of the ensuing year. One-half of the property taxes are due December 20, prior to the fiscal year for which they are budgeted, and the second half is due the following June 20. This procedure eliminates the need to issue tax anticipation notes since funds will be on hand prior to the beginning of each fiscal year. The Ci~ý Treasurer draws down all available funds trom the County Treasurer's office in two-month intervals. Collection of current year property tax by the County Treasurer is not completed, apportioned nor distributed to the various subdivisions until the succeeding year, such procedure being in conformity with governing state statutes. Consequently, current year property taxes receivable are not available as a resource that can be used to fmance the current year operations of the City. Accruals of uncollected current year property taxes are offset by deferred revenue and are identical to the adopted budget for 2000. It is not practicable to apportion delinquent taxes held by the County Treasurer and, further, the amounts thereof are not material in relationship to the financial statements taken as a whole. 3. Inventories Inventories are valued at cost using the first-in/first-out (FIFO) method. inventories are recorded as expenditures when consumed. The costs of governmental fund-type 4. Prepaid Items Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaid items. 5. Restricted Assets Certain proceeds of enterprise fund revenue bonds and general obligation bonds, as well as certain resources set aside for their repayment, are classified as restricted assets on the balance sheet because their use is limited by applicable bond covenants. The "Water and Sewer Principal and Interest" account is used to segregate resources accumulated for debt service payments over the next twelve months. The "Debt Service Reserve'" account is used to report resources set aside to make up potential future deficiencies in the "Water and Sewer Principal and Interest Account" . 26 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 3 1, 1999 I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - continued C. Assets, Liabilities and Equity -continued 5. Restricted Assets - continued The "Bond Escrow" account is used to report resources set aside in a "crossover refunding" transaction. Under the crossover arrangement certain bonds of the City were refunded, with the proceeds placed in the bond escrow account. The bond escrow account and the refunded bonds will remain on the City's books until a specified future date when the bonds will be considered defeased and the City will assume the repayment of the refunding bonds. 6. Fixed Assets Fixed assets used in governmental fund types of the City are recorded in the general fixed assets account group at cost or estimated historical cost if purchased or constructed. Donated fixed assets are recorded at their estimated fair value at the date of donation. Assets in the general fixed assets account group are not depreciated. Interest incurred during construction is not capitalized on general fixed assets. Public domain (inffastructure) general fixed assets (e.g., roads, bridges, sidewalks and oth~r assets that are immovable and of value only to the government) are not capitalized. The cost of normal maintenance and repairs that do not add to the value of the assets or materially extend assets' lives are not included in the general fixed assets account group. Property, plant and equipment in the proprietary funds of the government are recorded at cost. Property, plant and equipment donated to the proprietary fund type operations are recorded at their estimated fair value at the date of donation. Major outlays for capital assets and improvements are capitalized in proprietary funds as projects are constructed. Interest incurred during the construction phase of proprietary fund fixed assets is reflected in the capitalized value of the asset constructed, net of interest earned on the invested proceeds over the same period. Property, plant and equipment are depreciated in the proprietary and similar trust funds of the gov~rnment using the straight line method over the following estimated useful lives: Assets Buildings Other Equipment Vehicles Utility Plant & Equipment Years 20-50 5-10 7-10 10-70 27 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1999 I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - continued C. Assets, Liabilities and Equity - continued 7. Compensated Absences It is the City's policy to permit employees to accumulate earned but unused vacation and sick pay benefits, All employees of the City, except temporary and part time employees, may accumulate sick leave at a rate of 8 or II hours per month depending on their work duty schedule. There is no limit on the amount of sick leave that can be accumulated. Employees with more than five years of service with the City are paid for one-third of their accumulated sick leave at their current wage scale upon tennination of employment in good standing. All regular employees are entitled to paid vacation time. Such leave is granted each year of employment and unused leave may accumulate without limit. Employees are paid for all accumulated vacation leave at their current wage scale upon tennination of employment. Vested or accumulated vacation leave that is expected to be liquidated with expendable available fmancial resources is reported as an expenditure and a fund liability of the governmental fund that will pay it. Amounts of vested or accumulated vacation leave that are not expected to be liquidated with expendable available financial resources are reported in the general long-term debt account group. No expenditure is reported for these amounts. Vested or accumulated vacation leave of proprietary funds is recorded as an expense and liability of those funds as the benefits accrue to employees. In accordance with the provisions of Statement No. 16 of the Governmental Accounting Standards Board, Accounting for Compensated Absences, a liability is recorded for accumulated rights to receive sick pay benefits that are payable upon tennination of employment. 8. Temporary Notes Upon authorization for the issuance of general obligation bonds for certain improvements, Kansas law permits the temporary financing of such improvements by the issuance of temporary notes- Temporary notes issued may not exceed the aggregate amount of bonds authorized, are interest bearing and have a maturity date not later than four years from the date of issuance of such temporary notes- Temporary notes outstanding are retiredlTom the proceeds of the sale of general obligation bonds. 9. Long -Term Obligations The government reports long-tenn debt of governmental funds at face value in the general long-tenn debt account group. Certain other governmental fund obligations not expected to be financed with current available financial resources are also reported in the general long-term debt account group. Long-tenn debt and other obligations financed by proprietary funds are reported as liabilities in the appropriate funds. For governmental fund types, bond premiums and discounts, as well as issuance costs, are recognized during the current period. Bond proceeds are reported as an other financing source net of the applicable premium or discount. Issuance costs, even if withheld from the actual net proceeds received, are reported as debt service expenditures. For proprietary fund types, bond premiums and discounts, as well as issuance costs, are deferred and amortized over the life of the bonds using the effective interest method. Bonds payable are reported net of the applicable bond premium or discount. Issuance costs are reported as deferred charges- 28 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 3 I, 1999 I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - continued C. Assets, Liabilities and Equity - continued 10. Fund Equity Reservations of fund balance represent amounts that are not appropriable or are legally segregated for a specific purpose. Reservations of retained earnings are limited to outside third-party restrictions. Designations of fund balance represent tentative management plans that are subject to change. The proprietary fund's contributed capital represents equity acquired through capital grants and capital contributions from developers, customers or other funds. 11. Interfund Transactions Quasi-external transactions (i.e., transactions that would be treated as revenues or expenses if they involved organizations external to the governmental unit, such as internal service fund billings to departments) are accounted for as revenues, expenditures or expenses. Transactions that constitute reimbursements to a fund are expenditures/expenses in the reimbursing fund and reductions of expenditures/expenses in the fund that is reimbursed. All other interfund transactions, except quasi-external transactions and reimbursements, are reported as transfers. Nonrecurring or nonroutine permanent transfers of equity are reported as residual equity transfers. All other interfund transfers are reported as operating transfers, 12. Memorandum Only - Total Columns Total columns on the general purpose financial statements are captioned as "memorandum only'" because they do not represent consolidated fmancial information and are presented only to facilitate financial analysis. The columns do not present infonnation that reflects financial position, results of operations or cash flows in accordance with generally accepted accounting principles. Interfund eliminations have not been made in the aggregation of this data. 13. Comparative Data/Reclassifications Comparative total data for the prior year have been presented in selected sections of the accompanying financial statements in order to provide an understanding of the changes in the government's financial position and operations. Also, certain amounts presented in the prior year data have been reclassified in order to be consistent with the current year's presentation. II. STEWARDSHIP, COMPLIANCE AND ACCOUNTABILITY A. Budgetary Information Kansas statutes require that an annual operating budget be legally adopted for the general fund, special revenue funds (unless specifically exempted by statute), debt service funds and enterprise funds, The statutes provide for the following sequence and timetable in the adoption of the legal annual operating budget. 29 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1999 II. STEW ARDSHIP, COMPLIANCE AND ACCOUNTABILITY - continued A. Budgetary Information - continued a) Preparation of the budget for the succeeding calendar year on or before August 1 st of each year. b) Publication in a local newspaper ofthe proposed budget and the notice of public hearing on the budget on or before August 5th. c) Public hearing on or before August 15th of each year, but at least ten days after publication of the notice of hearing. d) Adoption of the final budget on or before August 25th. The statutes allow for the governing body to increase the originally adopted budget for previously unbudgeted increases in revenue other than ad valorem property taxes. To do this, a notice of public hearing to amend the budget must be published in the local newspaper. At least ten days after publication the hearing may be held and the governing body may amend the budget at that time. Budgets for the following funds were amended in 1999: General fund, Flood and Drainage fund, Tourism and Convention fund, Special Alcohol fund, Special Gas Tax fund, Bicentennial Center fund, and Fair Housing fund. The statutes permit management to transfer budgeted amounts between line items within an individual fund. However, such statutes prohibit expenditures in excess of the total amount of the adopted budget of expenditures of individual funds. Budget comparison statements are presented for each fund showing actual receipts and expenditures compared to legally budgeted receipts and expenditures. All legal annual operating budgets are prepared using the modified accrual basis of accounting, modified further by the encumbrance method of accounting. Revenues are recognized when cash is received. Expenditures include disbursements, accounts payable, and encumbrances. Encumbrances are commitments by the municipality for future payments and are supported by a document evidencing the commitment, such as a purchase order or contract. All unencumbered appropriations (legal budget expenditure authority) lapse at year end. A legal operating budget is not required for capital projects funds, trust funds, and the following special revenue funds: Bicentennial Center Event, HUD Community Development, Community Development Revolving, Heritage Commission, Special Law Enforcement, Police Grants, Traffic Safety Grant, Housing Rehabilitation, Dare Donations, CDBG-SAA and CDBG-ED. A legal operating budget is not required for the following Enterprise funds: Solid Waste Construction, Water and Sewer Principal and Interest, Water and Sewer Bond Reserve, Water and Sewer Construction and Reserve funds. Actual to budget comparisons for these funds that present budgets to the Commissioners are shown strictly for infonnational purposes. Spending in funds which are not subject to the legal annual operating budget requirements are controlled by federal regulations, other statutes, or by the use of internal spending limits established by the governing body. Compliance with Kansas Statutes. References made herein to the statutes are not intended as interpretation of law, but are offered for consideration by the Director of Accounts and Reports and interpretation by the County Attorney and legal representatives ofthe City. Expenditures exceeded available budget authority in the Central Garage internal service fund in the amount of $8,531- (KSA 79-2935) 30 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1999 B. Proprietary Fund Type Budgets II. STEWARDSHIP, COMPLIANCE AND ACCOUNTABILITY - continued Actual operations (budgetary basis) compared to budget for proprietary fund types for fiscal year 1999 are as follows: Enterprise Sanitation Revenues Expenditures Solid Waste Disposal Division Revenues Expenditures Other financing sources (uses) Golf Course Division Revenues Expenditures Water and Sewer Revenues Expenditures Other financing sources (uses) Internal Service Risk Management Revenues Expenditures Workmen's Compensation Reserve Revenues Expenditures Central Garage Division Revenues Expenditures Other financing sources Information Services Revenues Expenditures Other financing sources C. Deficit Fund Equity Actual Budget Variance $ 1,487,948 $ 1,495,000 $ (7,052) 1,465,898 1,838,423 372,525 2,350,757 2,415,000 (64,243) 1,699,015 3,615,736 1,916,721 (346,490) (198,616) (147,874) 825,242 838,900 (13,658) 828,710 945,576 I 16,866 10,822,647 11,202,200 (379,553) 8,422,264 14,577,197 6,154,933 (3,219,614) (2,581,358) (638,256) 231,150 227,500 3,650 247,463 444,668 197,205 68,09] 50,000 18,091 228,953 ] ,344,707 I,] ]5,754 846,061 727,998 118,063 836,529 827,998 (8,531) 0 100,000 (100,000) 848,837 84] ,090 7,747 913,126 ] ,076,857 163,73] 940 2,250 (1,310) The following funds had deficit fund equity at December 3], 1999: HUD Community Development $(201,210) and Housing Rehabilitation $(69,633). These deficits will be recovered from reimbursements from grantor agencies, or in the event certain costs are disallowed, from general funds. The Capital Projects fund had deficit fund equity of $(3,8] ] ,680). This deficit will be recovered when temporary financing of projects is replaced with long-term general obligation bond financing. 3] City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1999 II. STEWARDSHIP, COMPLIANCE AND ACCOUNT ABILITY - continued D. Compliance With Bond Reserve Requirements Water & Sewer Bond Reserve Requirements The bond reserve contains a "net revenue" requirement of 125% of next year principal and interest payments. The Water & Sewer fund met this requirement for 1999. Principal and interest accOlmt Bond reserve account Actual RE:quired $ 1,055,127 $ 394,198 1,750,043 1,711,600 The City was in compliance with the reserve account balance requirements at December 31, 1999. E. Legal Debt Margin The City is subject to the municipal finance law of the state of Kansas which limits the net bonded debt (exclusive of revenue bonds and special assessment bonds) the city may have outstanding to 30 percent of the assessed value of all tangible taxable property within the city, as certified to the county clerk on the proceeding August 25. At December 31, 1999, the statutory limit for the City was $94,346,335, providing a debt margin of$68,373,797. III. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS A. Deposits and Investments Deposits - At year-end, the carrying amount of the City's deposits was $(54,522) plus $6,588 cash on hand and the bank balance was $920,339. The difference between the carrying amount and the bank balance is outstanding checks and deposits in transit. Of the bank balance, $187,569 was covered by federal deposit insurance and the remaining $732,770 was collateralized by pledged securities held under joint custody receipts issued by a third- party bank in the City's name. The third-party bank holding the pledged securities is independent of the pledging bank. The pledged securities are held under a tri-party custodial agreement signed by all three parties: the City, the pledging bank, and the independent third-party bank holding the pledged securities. An unsecured and uncollateralized deposit of$6,895 was held by the Fiscal Agency Department of the Kansas State Treasurer. The carrying amount of deposits for the Housing Authority of the City of Salina, a discretely presented component unit, was $110,830 and the bank balance was $114,179. Of the bank balance, $114,179 was covered by federal depository insurance or by collateral held by the entity's agency in the Housing Authority's name. The carrying amount of deposits for the Salina Airport Authority, a discretely presented component unit, was $158,611 and the bank balance was $166,055. Of the bank balance, $166,055 was covered by federal depository insurance or by collateral held by the entity's agency in the Authority's name. 32 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 3 I, 1999 III. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS - continued A. Deposits and Investments - continued Investments - State statutes authorize the City to invest in US Treasury bills and notes, repurchase agreements, and the State's municipal investment pool. All investments must be insured, registered, or held by the City or its agent in the City's name. The City's investments are categorized to give an indication of the level of risk assumed by the entity at year end. Category I includes investments that are insured or registered, or for which the securities are held by the City or its agent in the City's name. Category 2 includes uninsured and unregistered investments for which the securities are held by the pledging bank's trust department or agent in the City's name. Category 3 includes uninsured and unregistered investments for which the securities are held by the pledging bank but not in the City's name. The carrying amount of investments approximates fair value. At December 31, 1999, the City had invested $] 5,755,415 in the State's municipal investment pool. The municipal investment pool is under the oversight of the Pooled Money Investment Board, The board is comprised ofthe State Treasurer and four additional members appointed by the State Governor. The board reports annually to the Kansas legislature. State pooled monies may be invested in direct obligations of, or obligations that are insured as to principal and interest by the US government or any agency thereof, with maturities up to four years. No more than 10 percent of those funds may be invested in mortgage-backed securities. In addition, the State pool may invest in repurchase agreements with Kansas banks or with primary government securities dealers. The City's investment in the State Treasurer's municipal investment pool is not subject to categorization as to risk. Th(: fair value of the City's position in the municipal investment pool is substantially the same as the value of the pool shares. The categories of the City's investments are as follows: Category 2 3 Carrying Amount U.S. Treasury Bills $ 12,428,349 $ 0 $ 0 $ 12,428,349 Bond escrow-investment in U.S. Treasury Bills 10,950,600 0 0 10,950,600 Pooled investment - State of Kansas 15,755,415 $ 39,134,364 Separate statutes regulate investment proceeds for most bond issues. Local units may invest bond proceeds in direct obligations of the United States Government and its agencies or make investments as authorized for other idle funds. Under existing Attorney General opinions maturity and interest rates are negotiable on such bonds. 33 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 3 I, 1999 III. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS - continued A. Deposits and Investments - continued The cash and investments by fund type at December 31, 1999 are as follows: Cash and Separate Investments Deposits Total Primary Government General Special Revenue Debt Service Capital Projects Enterprise Internal Service Trust & Agency Restricted Unrestricted Total reporting entity $ 6,845,472 $ 0 $ 6,845,4 72 $ 0 $ 6,845,472 3,177,391 0 3,177,391 0 3,177,391 779,992 6,895 786,887 0 786,887 851,756 0 851,756 0 851,756 13,543,798 10,950,600 24,494,398 11,804,132 12,690,266 2,444,939 0 2,444,939 0 2,444,939 468,124 24,359 492,483 0 492,483 28,111,472 10,981,854 39,093,326 11,804,] 32 27,289,194 ]58,661 0 158,661 85,0000 73,661 627,743 0 627,743 67,888 559,855 786,404 0 786,404 152,888 633,516 $ 28,897,876 $ ]0,981,854 $ 39,879,730 $ ] ],957,020 $ 27,922,710 Subtotal primary government Component Units Salina Airport Authority Salina Housing Authority Subtotal component units B. Receivables Receivables as of year end, including the applicable allowances for uncollectible accounts, are as follows: Primary Government Receivables: Accounts Taxes Interest Notes Gross receivables Less: allowance for uncollectibles $ Special Debt General Revenue Service Enterprise Total 519,107 $ 36,523 $ 0 $ ] ,033,040 $ 1,588,670 2,861,334 3,621,0] I 1,478,426 0 7,960,77] 83,782 0 0 0 83,782 0 12,615 0 0 ]2,615 3,464,223 3,670, ]49 1,478,426 1,033,040 9,645,838 (305,999) (3,323) 0 (70,407) (379,729) Total $ 3,158,224 $ 3,666,826 $ ],478,426 $ 962,633 9,266, I 09 Component Units Salina Airport Authority Salina Housing Authority Total 836,284 75,784 912,068 $ 10,178,177 34 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December3I,1999 III. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS - continued C. Interfund Receivables and Payables The composition of interfund balances as of December 31, 1999, is as follows: Due trom/to other funds: Receivable Fund Payable Funds Amount General Fund Special Revenue Funds HUD Community Development Housing Rehabilitation $ 207,284 69,633 $ 276,917 D. Fixed Assets The following is a summary of the changes in the general fixed assets account group during the current year. Balance Balance January], December 3], ]999 Additions Deletions ]999 Primarv Government Land $ 2,589,193 $ 0 $ 0 $ 2,589,193 Land improvements 1,119,804 1,936,532 0 3,056,336 Buildings 11,250,757 78,509 0 11,329,266 Machinery and equipment 9,885,555 832,258 238,154 10,479,659 Sub total primary government 24,845,309 2,847,299 238,154 27,454,454 Component units Salina Housing Authority 6,823,571 122,305 0 6,945,876 Total reporting entity $ 31,668,880 $ 2,969,604 $ 238,154 $ 34,400,330 35 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 3 I, 1999 III. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS - continued D. Fixed Assets - continued The following is a summary of proprietary fund-type fixed assets at December 31, 1999: Component Primary Government Unit Internal Salina Enterprise Service Airport Funds Funds Authority Land $ 514,050 $ 0 $ 8,427,792 Land improvements 5,038,582 0 0 Water plant and equipment 34,297,229 0 0 Sewer plant and equipment 39,045, I 92 0 0 Airfield and infrastructure 0 0 16,832,170 Equipment 2,868,806 1,702,677 1,420,300 Vehicles 1,481,616 13,91 I 0 Buildings 579,812 22,072 7,629,515 Construction in progress 6, I 30,856 0 0 89,956,143 1,738,660 34,309,777 Less accumulated depreciation 34,600,609 1,021,626 9,725,025 Net fixed assets $ 55,355,534 $ 717,034 $ 24,584,752 Interest costs are capitalized when incurred by proprietary funds and similar component units on debt where proceeds were used to finance the construction of assets. Interest earned on proceeds of tax-exempt borrowing arrangements restricted to the acquisition of qualifYing assets is offset against interest costs in determining the amount to be capitalized. E. General Long-Term Debt Following is a summary of changes in long-term debt for fiscal year 1999: Balance Balance January 1, December 31, 1999 Additions Reductions 1999 General Long-Term Debt General obligations bonds $ 11,078,160 $ 5,465,000 $ 1,751,487 $ 14,791,673 Temporary notes 5,040,000 4,525,000 9,565,000 0 Accrued compensation 1,718,890 171,092 0 1,889,982 17,837,050 10, I 6 I ,092 11,316,487 16,681,655 Short-Term Debt in Governmental Funds Temporary notes 0 4,650,000 0 4,650,000 36 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 3 I, 1999 III. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS - continued E. General Long-Term Debt - continued Balance Balance January 1, December 31, 1999 Additions Reductions 1999 Proprietary Funds General obligations bonds $ 7,079,260 $ 0 $ 767,403 $ 6,3 I 1,857 Revenue bonds 26,300,000 0 700,000 25,600,000 Loans payable 935,855 2,164,840 0 3,100,695 Temporary notes 1,500,000 0 500,000 1,000,000 Capital financing leases 0 291,587 0 291,587 Accrued compensation 483,272 0 12,258 471,014 36,298,387 2,456,427 1,979,661 36,775,153 Total primary government $ 54,135,437 $ 17,267,519 $ 13,296,148 $ 58, I 06,808 Component Units General obligations bonds $ 6, I 70,000 $ 1,280,000 $ 1,880,000 $ 5,570,000 Revenue bonds 555,000 0 55,000 500,000 Loans payable 373,783 94,760 48,014 420,529 Mortgage Payable 658,480 0 24,429 634,051 $ 7,757,263 $ 1,374,760 $ 2,007,443 $ 7,124,580 The following is a detailed listing of the city's long-term debt including general obligation bonds, revenue bonds, temporary notes and loans payable: Original Interest Bonds Issue Rates Outstanding Primary Government General Obligation Broadway Overpass 1990, due 12/1/2000 455,000 5.75% to 7.75% $ 45,000 Internal Improvements 199 I, due 10/1 /200 I 1,300,000 5.20% to 7.25% 260,000 Street and Utilities 1991, due 10/1/2001 1,417,000 5.40% to 7.40% 280,000 Crawford Street 1991, due 10/1 /200 I 1,785,000 4.50% to 6.50% 350,000 Crawford Street 1992, due 10/1/2002 1,240,000 3.75% to 5.90% 375,000 Internal Improvements 1993, due 10/1/2003 685,000 3.50% to 5.50% 280,000 Internal Improvemetns 1993, due 10/1/2003 1,800,000 3.40% to 5.00% 750,000 Internallmprovemetns 1994, due 10/1/2004 1,175,000 4.70% to 6.50% 575,000 Internal Improvements 1995, due 10/1/2005 2,434,000 4.75% to 6.50% 1,455,000 Internal Improvements 1996, due 8/0 I /2006 1,847,000 4.65% to 5.00% 1,295,000 Internal Improvements 1997, due 2/01/2012 1,650,000 4.50% to 5.25% 1,320,000 Internal Improvements 1998, due 8/0 1/2003 3,900,000 4.10% to 5.00% 3,590,000 Water/sewer refunding 1998, due 8/01/2008 5,567,420 3.80% to 4.40% 5,063,530 Internal Improvements 1999, due 10/1/2014 5,465,000 4.80% to 5.50% 5,465,000 Total general obligation bonds $ 21,103,530 37 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1999 III. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS - continued E. General Long-Term Debt - continued Original Interest Bonds Issue Rates Outstanding Revenue Bonds Water and Sewer 1992, due 10/1 /20 12 $ 15,000,000 5.40% to 7.40% $ 11,650,000 Water and Sewer 1993, due 10/1 /2013 3,200,000 4_50% to 5.25% 2,560,000 Revenue Refunding 1994, due 9/ I /2012 11,390,000 4.30% to 5.25% 11,390,000 Total revenue bonds $ 25,600,000 Loans Payable Kansas Public Water Supply, due 2/01/2020 3,100,696 4.29% $ 3,100,695 Temporary Notes Street and Subdivision, due 8/1/2000 5,275,000 3.05% to 3.2% $ 650,000 Library Project, due 6/1 /2000 3] 0,000 4.00% to 4.40% 100,000 Centennial Road, due 8/1/2000 2,000,000 3.70% 2,000,000 Landfill, due 9/]/01 ] ,500,000 3.75% to 3.87% ] ,000,000 General obligation, due 8/1/2000 ],900,000 0 ],900,000 Total temporary notes $ 5,650,000 Capital Leases IBM AS/400 Model 720, due 3/1/2002 291,587 0 $ 291,587 Component Unit Salina Airport Authority General Obligation Bonds General Obligation] 993, due 2003 375,000 3.40% to 5,00% $ ] 70,000 General Obligation] 993, due 2003 275,000 3.85% to 4.75% ]25,000 General Obligation] 998, due 2007 4,440,000 4.10% to 4.35% 3,995,000 General Obligation] 999, due 2006 725,000 6.25% to 6.90% 725,000 General Obligation] 999, due 20 I 0 555,000 3.90% to 5. ]0% 555,000 Total general obligation bonds 5,570,000 Revenue Bonds Leasehold revenue 199], due 2006 850,000 5.00% to 7.25% 500,000 Loans Payable Kansas Dept of Commerce & Housing, due 2007 421,796 2.00% 420,529 Total bonds $ 6,490,529 Housing Authority of the City of Salin a Mortgage Payable to Federal Financing Bank due 2013 925,423 3.375% $ 634,05] 38 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 3 I, 1999 III. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS - continued E. General Long-Term Debt - continued Interest paid in 1999 is as follows: Primary government General obligation bonds Revenue bonds Temporary notes Component Unit Salina Airport Authority Housing Authority of Salina $ 992,693 1,169,086 333, 144 369,561 43,460 Annual debt service requirements to maturity for general obligation bonds to be paid with tax levies - General Obligation - Primary Government Bonds Interest Year Outstanding Due Total 2000 $ 2,945,234 $ 1,062,208 $ 4,007,442 2001 2,914,130 856,984 3,771,114 2002 2,487,288 710,779 3,198,067 2003 2,290,447 591,412 2,881,859 2004 2,053,975 484,365 2,538,340 To maturity 8,412,456 1,298,087 9,709,567 $ 21,103,530 $ 5,003,835 $ 26,106,389 General Obligation-Component Units Bonds Interest Year Outstanding Due Total 2000 $ 630,000 $ 272,219 $ 902,219 2001 645,000 228,954 873,954 2002 660,000 198,669 858,669 2003 680,000 167,360 847,360 2004 605,000 137,834 742,834 To maturity 2,350,000 279,410 2,629,410 $ 5,570,000 $ 1,284,446 $ 6,854,446 39 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 3 I, 1999 Ill. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS - continued E. General Long-Term Debt - continued Annual debt service requirements to maturity for revenue bonds to be paid with service revenues- Revenue Bonds- Component Units Bonds Interest Year Outstanding Due Total 2000 $ 60,000 $ 35,006 $ 95,006 2001 60,000 31,104 91,104 2002 65,000 26,994 91,994 2003 70,000 22,510 92,510 2004 75,000 17,610 92,610 To maturity 170,000 18,880 188,880 $ 500,000 $ 152,104 $ 652,104 Annual debt service requirements to maturity for temporary notes - to be paid through the issuance of general obligation bonds - Year 2000 2001 $ Temporary Notes - Primary Government Notes Interest Outstanding Due 5,150,000 $ 216,158 $ 500,000 58,050 5,650,000 $ 274,208 $ Total 5,366, I 58 558,050 5,924,208 $ Annual debt service requirements to maturity for mortgage to be paid from Housing Authority revenues- Mortgage - Component Unit Mortgage Interest Year Outstanding Due Total 2000 $ 26,041 $ 41,847 $ 67,888 2001 27,649 40,239 67,888 2002 29,584 38,304 67,888 2003 31,537 36,351 67,888 2004 33,618 34,270 67,888 To maturity 485,622 193,259 678,88 I $ 634,051 $ 384,270 $ 1,018,321 40 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1999 IV. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS - continued F. General Long-Term Debt - continued Annual debt service requirements to maturity for loans payable to be paid from service revenues- Loan - Primary Government Loan Interest Year Outstanding Due Total 2000 $ 49,740 $ 66,510 $ 116,250 2001 102,705 129,796 232,501 2002 107,158 125,343 232,501 2003 111,804 120,697 232,501 2004 116,652 115,849 232,501 To maturity 2,612,637 991,125 3,603,762 $ 3,100,696 $ 1,549,320 $ 4,650,016 Loan - Component Unit Loan Interest Year Outstanding Due Total 2000 $ 48,978 $ 8,167 $ 57,145 2001 49,963 7,182 57,145 2002 50,967 6,178 57,145 2003 51,991 5,154 57,145 2004 53,036 4,109 57,145 To maturity 165,594 5,844 171 ,438 $ 420,529 $ 36,634 $ 457,163 The City has entered into a lease agreement as lessee for financing the acquisition of an IBM AS/400 computer system with the lease expiring in 2002. This lease agreement qualifies as a capital lease for accounting purposes (titles transfer at the end of the lease terms) and, therefore, has been recorded at the present value of the future minimum lease payments as of the date of it inception. 41 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1999 III. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS - continued E. General Long-Term Debt - continued The following is an analysis of equipment leased under capital leases as of December 31, 1999: Machinery and equipment $ 291,587 Minimum future lease payments under capital leases as of December 31, 1999 are: 2000 2001 2002 Internal Service Funds $ 103,729 103,729 103,729 311,187 19,600 $ 291,587 $ 0 Total minimum lease payments Less amount representing interest Present value of future minimum lease payments Payments made during 1999 Defeased bonds. In prior years, the City had defeased certain outstanding debt obligations by placing the proceeds of new bonds in an irrevocable trust to provide for all future debt service payments on the old bonds. Accordingly, the trust accounts and the defeased bonds are not included in the City's [mancial statements. At December 31, 1999, the following outstanding bonds are considered defeased: 1990 - A Refunding Issue defeased in 1996 1994 - B Revenue Issue defeased in 1998 1990 - A Revenue Issue defeased in 1998 1990 - B Revenue Issue defeased in 1998 $ 1,915,000 1,060,000 2,770,000 2,210,000 Special assessments. As provided by Kansas statutes, projects financed in part by special assessments are financed through general obligation bonds of the City and are retired from the debt service fund. Special assessments paid prior to the issuance of bonds are recorded as revenue in the appropriate project. Special assessments received after the issuance of bonds are recorded as revenue in the debt service fund. The special assessments are not recorded as revenue when levied against the respective property owners as such amounts are not available to finance current year operations. The special assessment debt is a contingent liability of the City to the extent of property owner defaults, which have historically been immaterial. Conduit debt. The City has entered into several conduit debt arrangements wherein the City issues industrial revenue bonds to finance a portion of the construction of facilities by private enterprises. In return, the private enterprises have executed mortgage notes or leases with the City. The City is not responsible for payment of the original bonds, but rather the debt is secured only by the cash payments agreed to be paid by the private enterprises under the tenns of the mortgage or lease agreements. Generally, the conduit debt is arranged so that payments required by the private enterprises are equal to the mortgage payment schedule related to the original debt. At December 31, 1999, total outstanding conduit debt was $38,926,429. 42 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 3 I, 1999 III. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS - continued F. Reconciliation of Transfers Transfers are made between funds as the need arises. A reconciliation between funds follows: Transfers from Transfers to Special Capital General Revenue Projects Total $ 0 $ 329,179 $ 675,000 $ 1,004,179 17,000 0 0 17,000 0 302,894 0 302,894 $ 17,000 $ 632,073 $ 675,000 $ 1,324,073 General Special Revenue Funds Business Improvement District Tourism and Convention Residual equity transfers were made at year end to close projects in the following fund. Transfers from Transfers to Capital Enterprise General Projects (Contributed Fund Fund Capital) Total $ 0 $ 15,244 $ 0 $ 15,244 207,101 350,859 0 557,960 187,138 0 38,465 225,603 $ 394,239 $ 366,103 $ 38,465 $ 798,807 General Fund Special Revenue Funds Capital Projects Funds G. Contributed Capital The changes in the City's contributed capital accounts for its enterprise and internal service funds were as follows: Contributing Source General Other Capital Balance Fixed Enterprise Projects Balance January 1, Assets Funds Funds December 31, Internal Service Funds Central Garage $ 16,611 $ 0 $ 0 $ 0 $ 16,611 Information Services 604,932 0 0 0 604,932 Enterprise Funds Sanitation 34,521 10,732 0 0 45,253 Solid Waste 86,990 14,352 12,030 0 113,372 Municipal Golf Course 154,122 0 0 0 154,122 Water & Sewer 8,385,682 0 0 38,465 8,424,147 $ 8,994,706 $ 25,084 $ 12,030 $ 38,465 $ 9,358,437 43 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 3 1, 1999 IV. OTHER INFORM A nON A. Defined Benefit Pension Plan Plan description - The City participates in the Kansas Public Employees Retirement System (KPERS) and the Kansas Police and Firemen's Retirement System (KP&F). Both are cost-sharing multiple-employer defined benefit pension plans as provided by Kansas statutes (KSA 74-4901 et seq). KPERS and KP&F provide retirement benefits, life insurance, disability income benefits and death benefits. Kansas law establishes and amends benefit provisions. KPERS and KP&F issue a publicly available financial report that includes financial statements and required supplementary infonnation. Those reports may be obtained by writing to KPERS (611 S. Kansas Avenue, Suite 100, Topeka, Kansas 66603-3803) or by calling 1-888-275-5737. Funding policy - KSA 74-4919 establishes the KPERS member-employee contribution rate at 4% of covered salary. KSA 74-4975 establishes the KP&F member-employee contribution rate at 7% of covered salary. The employer collects and remits member-employee contributions according to the provisions of section 414(h) of the Internal Revenue Code. State law provides that the employer contribution rates be detennined annually based on the results of an annual actuarial valuation. KPERS and KP&F are funded on an actuarial reserve basis. State law sets a limitation on annual increases in the employer contribution rates. The KPERS employer rate established for calendar year 1999 is 2.93%. The City employer contributions to KPERS for the years ending December 31, 1999, 1998 and 1997 were $234,495, $222,889, and $194,190, respectively, equal to the required contributions for each year. The KP&F employer rate established for 1999 is 11.6%. Employers participating in KP&F also make contributions to amortize the liability for past service costs, if any, which are detennined separately for each participating employer. The City's contributions to KP&F for the years ended December 31, 1999, 1998 and 1997 were $700,643, $8 I 1,680, and $808,561, respectively, equal to the required contributions for each year. B. Deferred Compensation Plan The City offers its employees a deferred compensation plan ("Plan") created in accordance with Internal Revenue Code Section 457. The Plan, available to all City employees, penn its them to defer a portion of their salary until future years. The deferred compensation is not available to employees until tennination, retirement, death, or unforeseeable emergency. Plan assets are transferred to a plan agent in a custodial trust and are not available to the claims of the city's general creditors C. Vacation and Sick Pay The City's policies regarding vacation and sick pay permit employees to accumulate a maximum of eighty to one hundred sixty hours of vacation time depending on years of service. Unused vacation time may be carried over to subsequent years. Current year accumulated vacation pay is payable upon employment tennination. Sick leave may be accumulated without limitation. At December 31, 1999 accrued compensated absences totaled $2,360,996. D. Flexible Benefit Plan (1.R.c. Section 125) The City Commission has adopted by resolution a salary-reduction flexible benefit plan ("Plan") under Section 125 of the Internal Revenue Code. All City employees working more than 20 hours per week are eligible to participate in the Plan beginning after two full months of employment. Each participant may elect to reduce his or her salary to purchase benefits offered through the Plan. Benefits offered through the Plan include various insurance and disability benefits. 44 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 3 I, 1999 IV. OTHER INFORMATION - continued E. Risk Management The city is exposed to various risks of loss related to torts; theft of, damage to and destruction of assets; errors and omissions; and natural disasters for which the city carries commercial insurance. Settlements of claims did not exceed coverage for the years ended December 31, 1999, 1998 or 1997. The city established a limited risk management program for workers' compensation in 1991. The program covers all city employees. Premiums are paid into the workers' compensation reserve fund by all O1:her funds and are available to pay claims, claim reserves and administrative costs of the program. An excess coverage insurance policy covers individual claims in excess of $250,000 ($350,000 for claims involving employees classified as policemen or f!femen). Incurred claims, including incurred but not reported claims, have been accrued based primarily upon subsequent payments. Claim liabilities are calculated considering the effects of inflation, recent claim settlement trends including frequency and amounts of payouts and other economic and :;ocial factors. The liability for claims and judgments is reported in the Workers' Compensation Reserve Fund because it is expected to be liquidated with expendable available financial resources. Changes in the balances of claims liabilities during the past two years are as follows: 1999 1998 Unpaid claims, January I $ 42,881 $ 128,986 Incurred claims (including IBNRs) 458,576 90,023 Claim payments (192,321) (176,128) Unpaid claims, December 31 $ 309,136 $ 42,881 The city established a limited risk management program for employee health and dental insuratlce in 1997. The program covers eligible city employees. Premiums are paid into the health insurance fund by all other funds and are available to pay claims, claim reserves and administrative costs of the program. An excess coverage insurance policy covers individual claims in excess of $50,000. Incurred claims, including incurred but not reported claims, have been accrued based primarily upon subsequent payments. Claim liabilities are calculated considering the effects of inflation, recent claim settlement trends including frequency and amounts of payouts and other economic and social factors. The liability for claims and judgments is reported in the Health Insurance Fund because it is expected to be liquidated with expendable available financial resources. Changes in the balances of claims liabilities during the past two years are as follows: 1999 1998 Unpaid claims, January I $ 250,000 $ 345,000 Incurred claims (including IBNRs) 2,629,358 2,331,122 Claim payments (2,590,818) (2,426,122) Unpaid claims, December 31 $ 288,540 $ 250,000 F. Capital Projects Capital projects often extend over two or more fiscal years. The following is a schedule which compares the project authorization including allowable interest revenue to total project expenditures fTom project inception to December 31,1999: 45 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 3 I, 1999 IV. OTHER INFORMA nON - continued F. Capital Projects - continued Project Name Project Total Project Authorization Expenditures $ 5,939,000 $ 5,447,291 880,190 900,000 816,666 550,925 949,976 778,157 878,843 628,415 257,065 148,319 297,129 129,377 800,000 24,650 375,000 1,031 3,001,145 2,610,583 609,438 42,928 2,739,497 284 Magnolia/I-35 Interchange Subdivision 1996 Subdivision 1997 Subdivision 1998 Subdivision 1998 II Cart paths Schilling Drainage North Ohio Magnolia - Rockhurst to Belmont South Ninth Street Ninth/Claflin Drainage Centennial Road Reconstruction G. Subsequent Events On February 1,2000, the city issued $780,000 in temporary notes at a rate of 4.85-4.96%. The proceeds are to be used for internal improvements. Also on February 1,2000 the city issued $3,900,000 in temporary notes at a rate of 4.97%. The proceeds are to be used as financing street and drainage improvements. H. Contingent Liabilities The City receives significant financial assistance from numerous federal and state governmental agencies in the form of grants and state pass-through aid. The disbursement of funds received under these programs generally requires compliance with terms and conditions specified in the grant agreements and is subject to audit. Any disallowed claims resulting trom such audits could become a liability of the General Fund or other applicable funds. However, in the opinion of management, any such disallowed claims would not have a material effect on any of the financial statements of the City at December 31, 1999. The City is a defendant in various lawsuits. Although the outcome ofthese lawsuits is not presently determinable, it is the opinion of the City's legal counsel that resolution of these matters will not have a material adverse effect on the [mancial condition of the city I. Municipal Solid Waste Landfill State and federal laws and regulations require the City to place a final cover on its landfill site when it stops accepting waste, and to perform certain maintenance and monitoring functions at the site for thirty years after closure. Although closure and postclosure care costs will be paid only near or after the date that the landfill stops accepting waste, the City reports a portion of these closure and postclosure care costs as an operating expense of the solid waste fund in each period based on landfill capacity used as of each balance sheet date. The $1,007,235 reported as landfill closure and postclosure care liability at December 31 represents the cumulative amount reported to date based on the use of 20.7% of the estimated capacity of the landfill. The City's solid waste fund will recognize the remaining estimated cost of closure and postclosure care of $3,849,835 as the remaining estimated capacity is filled over the remaining life expectancy of96.2 years. 46 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 3 I, 1999 IV. OTHER INFORMATION - continued I. Municipal Solid Waste Landfill - continued These amounts are based on what it would cost to perform all closure and postclosure care in 1999. Actual cost may be higher due to inflation, changes in technology, or changes in regulations. The City is required by State and Federal laws and regulations to provide assurances of financial responsibility for closure and post-closure care. The City has elected to utilize the Local Government Financial test promulgated by the US Environmental Protection Agency (at 40 CFR 258.74(f)) and the Kansas Department of Health and Environment to provide these assurances. Any future closure or post-closure care costs will be provided through the normal budgeting and rate setting process, including the issuance of general obligation bonds, if necessary. J. Segment Information - Enterprise Funds The City maintains four enterprise funds which are intended to be self-supporting through user fees charged for services to the public. Financial segment information as of and for the year ended December 3 I, 1999 is presented below. Solid Golf Water Waste Course and Sanitation Disposal Division Sewer Total Operating revenues $ 1,472,888 $ 2,367,328 $ 8 I 9,029 $ 10,753,843 $ 15,413,088 Depreciation expense 69,850 384,54 I 53,046 2,324,916 2,832,353 Net operating income 17,455 690,407 52,612 1,029,833 1,790,307 Net income 37,703 657,821 51,310 907,296 1,654,130 Property, plant and equipment additions 11,654 120,069 72,526 4,043,138 4,247,387 Net working capital 450,231 616,407 87,459 20,729,466 21,883,563 Total assets 874,800 6,965,912 596,751 73,373,892 81,811,355 Bonds and temporary notes payable 0 2,101,872 147,431 33,763,249 36,012,552 Total equity 779,560 3,660,174 404,280 38,441,609 43,285,623 K. Environmental Matter The Kansas Department of Health and Environment (KDHE) issued a report in 1994 indicating the presence of volatile organic compounds at levels requiring remediation at the Salina Public Water Supply Wells Site (the Site). The City adopted a pro-active Policy and Action Plan to remediate the groundwater contamination, and on December 7, 1994, the City and KDHE entered into a Consent Order and Settlement Agreement under which the City assumed primary responsibility for the further investigation and remediation ofthe groundwater contamination. Field testing work has been completed. The necessary remediation work will be conducted over the next several years at a yet undetermined cost to the City's water utility fund. 47 City of Salina, Kansas GENERAL FUND The general fund is used to account for resources traditionally associated with government which are not required legally or by sound financial management to be accounted for in another fund. 48 City of Salina, Kansas Schedule 1 GENERAL FUND COMPARATIVE BALANCE SHEETS December 31, 1999 and 1998 ASSETS 1999 1998 Cash and investments $ 6,845,472 $ 5,655,273 Receivables Accounts 213,108 192,204 Taxes 2,861,334 3,051,231 Grants 0 5,791 Interest 83,782 121,156 Inventory 121,750 120,593 Due ITom funds 276,917 292,570 Total assets $ 10,402,363 $ 9,438,818 LIABILITIES AND FUND BALANCES Liabilities Accounts payable $ 327,379 $ 229,451 Retainage payable 9,963 0 Deferred revenue 2,174,208 2,193,856 Total liabilities 2,511,550 2,423,307 Fund balances Reserved for encumbrances 837,108 233,720 Unreserved Undesignated 7,053,705 6,781,791 Total fund balances 7,890,813 7,015,511 Total liabilities and fund balances $ 10,402,363 $ 9,438,818 49 -- City of Salina, Kansas Schedule 2 GENERAL FUND COMPARATIVE STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES For the fiscal years ended December 31, 1999 and 1998 1999 1998 Revenues Taxes $ 15,484,334 $ 13,411,693 Intergovernmental 1,750,941 1,503,013 Fees and charges 1,437,526 1,333,696 Other revenues 2,616,771 2,512,089 Total revenues 21,289,572 18,760,491 Expenditures Current General government 2,012,477 2,356,072 Public safety 8,442,693 8,052,366 Public works 2,706,176 2,768,233 Culture and recreation 1,707,818 1,653,376 Public health and sanitation 539,931 521,762 Community development 2,678,390 230,873 Capital outlay 1,778,158 2,162,976 Total expenditures 19,865,643 17,745,658 Excess of revenues over expenditures 1,423,929 1,014,833 Other financing sources (uses) Operating transfers in 17,000 17,000 Operating transfers out (1,004,179) (591,127) Sale of assets 59,557 46,096 Total other financing sources (uses) (927,622) (528,031) Excess of revenues and other sources over expenditures and other uses 496,307 486,802 Fund balances, January 1 7,015,511 6,213,305 Residual equity transfer in 394,239 409,296 Residual equity transfer out (15,244) (93,892) Fund balances, December 3 1 $ 7,890,813 $ 7,015,511 50 City of Salina, Kansas Schedule 3 GENERAL FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal years ended December 31, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budget (Unfavorable) Revenues Taxes Real Estate Taxes $ 2,182,486 $ 2,216,242 $ (33,756) $ 1,718,814 $ 1,697,000 $ 21,814 Delinquent Taxes 41,803 27,000 14,803 26,839 24,000 2,839 Motor Vehicle Taxes 348,006 330,549 17,457 232,674 261,872 (29,198) General Sales Tax 11,162,221 11,320,000 (157,779) 9,559,567 9,1 00,000 459,567 Other Taxes 1,920,067 1,911,500 8,567 1,950,520 1,897,000 53,520 Total Taxes 15,654,583 15,805,291 (150,708) 13,488,414 12,979,872 508,542 Intergovernmental City - County Revenue Sharing 346,840 341,945 4,895 341,945 339,251 2,694 LAVTR 468,241 468,241 o 379,594 379,594 o Liquor Tax 108,887 102,570 6,317 102,571 100,661 1,910 EMS - County 752,186 752,186 o 614,186 690,000 (75,814) Other Intergovernmental 80,578 20,000 60,578 58,927 75,000 (16,073) Total Intergovernmental 1,756,732 1,684,942 71,790 1,497,223 1,584,506 (87,283) Fees and Charges Charges For Services 222,697 189,500 33,197 180,416 170,500 9,916 Public Safety Fees 776,800 766,872 9,928 763,273 578,560 184,713 Recreational Fees 403,284 402,900 384 390,764 374,000 16,764 Merchandise Sales 8,800 9_000 (200) 9,000 9,000 o Rents and Royalties 9,205 8,200 1,005 8,299 8,200 99 Total Fees and Charges 1,420,786 1,376,472 44,314 1,351,752 1,140,260 211,492 Other Revenues Licenses and Penn its 292,607 298,575 (5,968) 307,627 288,575 19,052 Fines 1,011,764 950,000 61,764 894,278 900,000 (5,722) Interest 278,242 400,000 (121,758) 351,692 400,000 (48,308) Reimbursements 105,977 178,000 (72,023) 76,152 51,000 25,152 Miscellaneous 31,597 145,466 (113,869) 31,982 100,000 (68,018) Internal Charges 1,092,708 735,270 357,438 662,940 642,461 20,4 79 Total Other Revenues 2,812,895 2,707,311 105,584 2,324,671 2,382,036 (57,365) Total revenues 21,644,996 21,574,016 70,980 18,662,060 18,086,674 575,386 51 City of Salina, Kansas Schedule 3 Pal!e 2 GENERAL FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal years ended December 31, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budget (Unfavorable) Expenditures General government City Commission $ 97,328 $ 102,450 $ 5,122 $ 76,201 $ 96,600 $ 20,399 City Manager 303,079 315,825 12,746 277,503 281,986 4,483 Legal 82,030 106,900 24,870 88,441 96,900 8,459 Finance 339,321 368,919 29,598 342,740 340,529 (2,211) Human Resources 199,129 172,204 (26,925) 198,668 157,596 (41,072) Other General Govt 696,855 706,815 9,960 589,727 686,352 96,625 Contingencies 79,842 170,000 90,158 73,942 170,000 96,058 Total General Government 1,797,584 1,943,113 145,529 1,647,222 1,829,963 182,741 Public Safety Police 3,785,678 3,860,873 75,195 3,614,933 3,658,637 43,704 Municipal Court 596,387 741,340 144,953 584,601 713,882 129,281 Fire 3,647,320 3,798,225 150,905 3,551,758 3,529,557 (22,201) Building Services 307,250 291,807 (15,443) 270,095 286,091 15,996 Total Public Safety 8,336,635 8,692,245 355,610 8,021,387 8,188,167 166,780 Public Works Buildings and Gen Improvements 510,962 588,110 77,148 574,324 562,038 (12,286) Engineering 318,877 307,235 (11,642) 282,657 289,295 6,638 Streets 970,316 1,056,008 85,692 933,804 1,009,907 76,103 Flood Works 112,963 151,211 38,248 112,993 118,068 5,075 Traffic Control 510,057 524,981 14,924 479,837 518,~i21 38,584 Parks 778,009 840,037 62,028 777,892 787,542 9,650 ADA Compliance 52,154 95,000 42,846 9,240 95,000 85,760 Total Public Works 3,253,338 3,562,582 309,244 3,170,747 3,380,271 209,524 Public Health and Sanitation Cemetary 98,490 98,774 284 93,058 93,282 224 Health Department 440,671 440,671 0 425,485 425,485 0 Total Public Health and Sanitat 539,161 539,445 284 518,543 518,767 224 Culture and Recreation Swimming Pools 80,438 83,100 2,662 84,243 80,725 (3,518) Neighborhood Centers 53,428 58,464 5,036 55,012 54,333 (679) Recreation 1,079,899 1,072,867 (7,032) 1,006,851 1,031,658 24,807 Arts and Humanities 274,583 263,295 (11,288) 262,275 256,1. 90 (6,085) Smoky Hill Museum 210,486 243,832 33,346 230,498 250,226 19,728 Total Culture and Recreation 1,698,834 1,721,558 22,724 1,638,879 1,673,'132 34,253 52 City of Salina, Kansas Schedule 3 Pal!e 3 GENERAL FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal years ended December 31, 1999 and 1998 ]999 ]998 Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budget (Unfavorable) Expenditures Community Development Human Relations $ 138,603 $ 140,566 $ 1,963 $ 95,711 $ 112,143 $ 16,432 Planning 212,970 190,002 (22,968) 180,765 187,i'25 6,960 Neighborhood Services 86,922 130,000 43,078 63,443 75,000 11,557 Agency Contracts 1,888,578 1,854,000 (34,578) 130,576 198,825 68,249 Total Community Development 2,327,073 2,314,568 (12,505) 470,495 573,693 103,198 Capital outlay Capital Outlay 2,469,192 3,700,240 1,231,048 1,297,823 1,471,810 173,987 Cash reserve 0 4,292,080 4,292,080 0 4,168, 106 4,168,106 Total expenditures 20,421,817 26,765,831 6,344,014 16,765,096 21,803,909 5,038,813 Excess (deficiency) of revenues over (under) expenditures 1,223,179 (5,191,815) 6,414,994 1,896,964 (3,717,235) 5,614,199 Other financing sources (uses) Operating transfer in 17,000 17,000 0 17,000 17,000 0 Operating transfer out (1,004,179) (510,000) (494,179) (693,627) (510,(100) (183,627) Sale of assets 59,557 30,000 29,557 46,096 15,000 31,096 Total other financing sources (uses) (927,622) (463,000) (464,622) (630,531) (478,000) (152,531) Excess (deficiency) of revenues and other sources over (under) expenditures and other uses 295,557 (5,654,815) 5,950,372 1,266,433 (4,195,235) 5,461,668 Fund balances, January I 5,484,672 5,484,672 0 3,508,943 3,454,] 27 54,816 Prior year cancelled encumbrances 5,000 0 5,000 709,296 741,1 08 (31,812) Residual equity transfer in 207,101 170,143 36,958 0 0 0 Residual equity transfer out (34,428) 0 (34,428) 0 0 0 Fund balances, December 31 $ 5,957,902 $ 0 $ 5,957,902 $ 5,484,672 $ 0 $ 5,484,672 53 City of Salina, Kansas SPECIAL REVENUE FUNDS Special revenue funds are used to account for specific revenues that are legally restricted to expenditure for particular purposes. Employee benefit fund - To account for the costs of various benefits provided to governmental employees. Flood and drainage improvement fund - To account for property tax revenues to be used for capital improvements to the Flood Control and Stonnwater Drainage systems. Utility fund - To account for the electric, gas, water and telephone costs of the City's operations except for those utility costs which are directly chargeable to Enterprise and Internal Service funds. Special liability fund - To account for liability and worker's compensation insurance costs. Business improvement district fund - State law allows businesses within an area to voluntarily establish an improvement district. This fund is used to account for the assessments made on the district. All revenues are to be used within the Business Improvement District. Tourism and convention fund - To account for transient guest tax revenues, which are specifically restricted to promotion and tourism activities. Neighborhood Park - To account for fees collected from new residential building projects in Salina. Expenditures are for acquisition or development of neighborhood parks in the growing areas of the community. Special parks and recreation fund - To account for liquor tax revenues which must be used for park maintenance and improvements. Special alcohol fund - To account for liquor tax revenues which must be used for programs which address prevention, education or intervention for drug and alcohol abuse. Special gas fund - To account for the City's share of motor fuel tax revenues which are legally restricted to the maintenance or improvement of streets within the City. Bicentennial Center fund - To account for the activities of the City's convention center. Bicentennial Center event fund - To account for the revenues and expenses associated with special events (concerts, shows, etc.) at the City's convention center. HUD community development fund - To account for grants received from the state to be used for housing or economic development purposes. Community development revolving fund - To account for funds which may be loaned for housing and economic development purposes, to later be repaid and reused on a revolving basis. Heritage commission fund - To account for revenues and expenses associated with heritage preservation activities. 54 City of Salina, Kansas SPECIAL REVENUE FUNDS - CONTINUED Housing rehabilitation - To account for grants received from the state to be used for housing rehabilitation. Fair housing fund - To account for grants received from the federal government to be used to monitor and mediate fair housing complaints. CDBG SAA - To account for grants received from the federal government to be used for improvement of secondary streets at the Airport Industrial Center. CDBG ED - To account for grants received from the federal government to be used for economic development loans to qualifYing businesses. Special law enforcement fund - To account for revenues received from the sale of forfeited assets acquired during drug enforcement activities. Expenses are limited to capital items to be used for further drug enforcement activities. Police grants fund - To account for revenues received from grants which are to be used for special police activities, including the D.A.R.E. program. Dare donations - To account for donations to the D.A.R.E. program. Traffic safety grant fund - To account for revenues received from grants to be used for traffic enforcement. ss LIABILITIES AND FUND BALANCES Liabilities Accounts payable $ 0 $ 0 $ 0 Retainage payable 0 0 0 Due to funds 0 0 0 Deferred revenue 2,777,411 264,567 0 Total liabilities 2,777,411 264,567 0 Fund balances Reserved for encumbrances 0 18,765 0 Reserved for notes receivable 0 0 0 Unreserved Undesignated (deficit) 1,211,093 283,668 0 Total fund balances (deficit) 1,211,093 302,433 0 Total liabilities and fund balances $ 3,988,504 $ 567,000 $ 0 City of Salina, Kansas SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET December 31, 1999 (With comparative totals for December 31, 1998) ASSETS Flood & Employee Drainage Benefits Improvements $ 1,211,093 $ 302,433 $ 0 0 2,777,411 264,567 0 0 0 0 Cash and investments Receivables Accounts Taxes Notes Due from funds Total assets $ 3,988,504 $ 567,000 56 Utility 0 0 0 0 0 $ 0 Schedule 4 Business Tourism Special Special Improvement and Neighborhood Parks and Special Liability District Convention Park Recreation Alcohol $ 0 $ 2,979 $ 13 $ 51,709 $ 159,283 $ 15,427 0 7,401 0 0 0 0 0 0 184,831 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 $ 0 $ 10,380 $ 184,844 $ 51,709 $ 159,283 $ 15,427 $ 0 $ 2,432 $ 0 $ 0 $ (189) $ 0 0 0 0 0 2,024 0 0 0 0 0 0 0 0 1,658 0 0 0 0 0 4,090 0 0 1,835 0 0 0 0 0 60,590 0 0 0 0 0 0 0 0 6,290 184,844 51,709 96,858 15,427 0 6,290 184,844 51,709 157,448 15,427 $ 0 $ 10,380 $ 184,844 $ 51,709 $ 159,283 $ 15,427 57 cont City of Salina, Kansas SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET December 31, 1999 (With comparative totals for December 31, 1998) ASSETS Bicentennial Special Bicentennial Center Gas Center Event $ 584,574 $ 612,423 $ 51,542 0 25,299 0 394,202 0 0 0 0 0 0 0 0 Cash and investments Receivables Accounts Taxes Notes Due from funds = 51,542 Total assets $ 978,776 $ 637,722 $ LIABILITIES AND FUND BALANCES Liabilities Accounts payable $ 28,819 $ 19,132 $ 0 Retainage payable 1,618 0 0 Due to funds 0 0 0 Deferred revenue 0 0 0 Total liabilities 30,437 19,132 0 Fund balances Reserved for encumbrances 27,000 10 1 ,259 0 Reserved for notes receivable 0 0 0 Unreserved Undesignated (deficit) 921,339 517,331 51,542 Total fund balances (deficit) 948,339 618,590 51,542 Total liabilities and fund balances $ 978,776 $ 637,722 $ 51,542 58 Schedule 4 Pal!e 2 HUD Community Community Development Heritage Housing Fair CDBG Development Revolving Commission Rehabilitation Housing SAA $ 0 $ 89,553 $ 2,044 $ 0 $ 50,222 $ 0 0 0 0 0 0 0 0 0 0 0 0 0 12,615 0 0 0 0 0 0 0 0 0 0 0 $ 12,615 $ 89,553 $ 2,044 $ 0 50,222 $ 0 $ 6,541 $ 0 $ 3 $ 0 $ 0 $ 0 0 0 0 0 0 0 207,284 0 0 69,633 0 0 0 0 0 0 0 0 213,825 0 3 69,633 0 0 0 0 0 0 0 0 12,615 0 0 0 0 0 (213,825) 89,553 2,041 (69,633) 50,222 0 (201,210) 89,553 2,041 (69,633) 50,222 0 $ 12,615 $ 89,553 $ 2,044 $ 0 50,222 $ 0 59 cont. City of Salina, Kansas SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET December 31, 1999 (With comparative totals for December 31, 1998) ASSETS Special CDBG Law ED Enforcement $ 1,911 $ 12,625 $ 0 0 0 0 0 0 0 0 Police Grants Cash and investments Receivables Accounts Taxes Notes Due from funds 1,586 0 0 0 0 Total assets $ 1,911 $ 12,625 $ 1,586 LIABILITIES AND FUND BALANCES Liabilities Accounts payable $ 649 $ 0 $ 0 Retainage payable 0 0 0 Due to funds 0 0 0 Deferred revenue 0 0 0 Total liabilities 649 0 0 Fund balances Reserved for encumbrances 0 0 0 Reserved for notes receivable 0 0 0 Unreserved Undesignated (deficit) 1,262 12,625 1,586 Total fund balances (deficit) 1,262 12,625 1,586 Total liabilities and fund balances $ 1,911 $ 12,625 $ 1,586 60 Schedule 4 Pal!e 3 Traffic Total DARE Safety Donations Grant 1999 1998 $ 27,974 $ 0 $ 3,177,391 $ 3,231,365 500 0 33,200 57,745 0 0 3,621,011 3,728,025 0 0 12,615 180 0 0 0 10,951 $ 28,474 $ 0 $ 6,844,217 $ 7,028,266 $ 0 $ 0 $ 57,387 $ 53,162 0 0 3,642 18,684 0 0 276,917 292,570 0 0 3,043,636 3,185,766 0 0 3,381,582 3,550,182 0 0 207,614 471,062 0 0 12,615 0 28,474 0 3,242,406 3,007,022 28,474 0 3,462,635 3,478,084 $ 28,474 $ 0 $ 6,844,217 $ 7,028,266 61 City of Salina, Kansas SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES For the fiscal year ended December 31, 1999 (With comparative totals for the fiscal year ended December 31, 1998) Flood & Employee Drainage Benefits Improvement Utility Revenues Taxes $ 3,507,629 $ 288,449 $ 34,800 $ Intergovernmental 0 0 0 Fees and charges 0 0 0 Other revenues 2,880 0 0 Total revenues 3,510,509 288,449 34,800 Expenditures Current General government 166,592 0 0 Public safety 1,854,943 0 0 Public works 490,783 13,924 0 Culture and recreation 311,815 0 0 Public health and sanitation 23,323 0 0 Community development 81,430 0 0 Capital outlay 0 99,372 0 Total expenditures 2,928,886 113,296 0 Excess ( deficiency) of revenues over (under) expenditures 581,623 175,153 34,800 Other financing sources (uses) Operating transfers in 0 0 0 Operating transfers out 0 0 0 Total other financing sources (uses) 0 0 0 Excess ( deficiency) of revenues and other sources over (under) expenditures and other uses 581,623 175,153 34,800 Fund balances (deficit), January 1 629,470 478,139 105,540 Residual equity transfers out 0 (350,859) (140,340) Fund balances (deficit), December 31 $ 1,211,093 $ 302,433 $ 0 $ 62 Schedule 5 Business Tourism Neighborhood Special Special Improvement and Park Parks and Special Liability District Convention Fees Recreation Alcohol 2,158 $ 0 $ 746,310 $ 0 $ 0 $ 0 0 0 0 0 108,887 108,887 0 71,282 0 0 0 0 0 668 2,226 20,266 12,823 846 2,158 71,950 748,536 20,266 121,710 109,733 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 110,179 0 57,892 454,341 0 0 0 0 0 0 0 81,719 0 0 57,892 454,341 0 81,719 110,179 2,158 14,058 294,195 20,266 39,991 (446) 0 0 0 0 0 0 0 (17,000) (302,894) 0 0 0 0 (17,000) (302,894) 0 0 0 2,158 (2,942) (8,699) 20,266 39,991 (446) 64,603 9,232 193,543 31,443 117,457 15,873 (66,761) 0 0 0 0 0 0 $ 6,290 $ 184,844 $ 51,709 $ 157,448 $ 15,427 63 cant. City of Salina, Kansas SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES For the fiscal year ended December 31,1999 (With comparative totals for the fiscal year ended December 31, 1998) Bicentennial Special Bicentennial Center Gas Center I:vent Revenues Taxes $ 0 $ 0 $ 0 $ Intergovernmental 1,484,927 0 0 Fees and charges 0 559,521 0 Other revenues 67,668 258,877 1,047,680 Total revenues 1,552,595 818,398 1,047,680 Expenditures Current General government 0 0 0 Public safety 0 0 0 Public works 257,010 0 0 Culture and recreation 0 1,352,957 1,040,494 Public health and sanitation 0 0 0 Community development 0 0 0 Capital outlay 1,726,938 (101,259) 0 Total expenditures 1,983,948 1,251,698 1,040,494 Excess ( deficiency) of revenues over (under) expenditures (431,353) (433,300) 7,186 Other financing sources (uses) Operating transfers in 0 627,894 0 Operating transfers out 0 0 0 Total other financing sources (uses) 0 627,894 0 Excess (deficiency) of revenues and other sources over (under) expenditures and other uses (431,353) 194,594 7,186 Fund balances (deficit), January 1 1,379,692 423,996 44,356 Residual equity transfers out 0 0 0 Fund balances (deficit), December 31 $ 948,339 $ 618,590 $ 51,542 $ 64 Sched!!lú F:agù HUD Community Community Development Heritage Housing Fair CDBG Development Revolving Commission Rehabilitation Housing SSA 0 $ 0 $ 0 $ 0 $ 0 $ 0 51,608 0 (180) 248,515 64,712 189,520 0 0 0 0 0 0 4,103 15,455 81 0 3,807 0 55,711 15,455 (99) 248,515 68,519 189,520 0 0 (637) 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 226,897 400 0 56,887 66,666 189,520 0 0 0 0 0 0 226,897 400 (637) 56,887 66,666 189,520 (171,186) 15,055 538 191,628 1,853 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 (171,186) 15,055 538 191,628 1,853 0 (30,024) 74,498 1,503 (261,261) 48,369 0 0 0 0 0 0 0 (201,210) $ 89,553 $ 2,041 $ (69,633) $ 50,222 $ 0 65 cant. City of Salina, Kansas SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES For the fiscal year ended December 31, 1999 (With comparative totals for the fiscal year ended December 31, 1998) Special CDBG Law I'olice ED Enforcement Grants Revenues Taxes $ 0 $ 0 $ 0 Intergovernmental 288,167 0 87,297 Fees and charges 0 0 0 Other revenues 889 1,851 3,043 Total revenues 289,056 1,851 90,340 Expenditures Current General government 0 0 0 Public safety 0 7,500 134,354 Public works 0 0 0 Culture and recreation 0 0 0 Public health and sanitation 0 0 0 Cornmunity development 287,794 0 0 Capital outlay 0 15,099 44,762 Total expenditures 287,794 22,599 179,116 Excess ( deficiency) of revenues over (under) expenditures 1,262 (20,748) (88,776) Other financing sources (uses) Operating transfers in 0 0 4,179 Operating transfers out 0 0 0 Total other financing sources (uses) 0 0 4,179 Excess ( deficiency) of revenues and other sources over (under) expenditures and other uses 1,262 (20,748) (84,597) Fund balances (deficit), January 1 0 33,373 86,183 Residual equity transfers out 0 0 0 Fund balances (deficit), December 31 $ 1,262 $ 12,625 $ 1,586 66 cant. Schedule 5 ~ Traffic Total DARE Safety Donations Grant 1999 1998 $ 0 $ 0 $ 4,579,346 $ 4,402,398 0 0 2,632,340 2,547,479 0 0 630,803 804,073 4,463 41 1,447,667 1,187,040 4,463 41 9,290,156 8,940,990 0 0 165,955 202,492 0 8,129 2,004,926 1,940,112 0 0 761,717 760,133 0 0 2,705,266 2,498,206 0 0 133,502 111,004 0 0 1,421,827 1,927,512 0 0 1,866,631 1,123,973 0 8,129 9,059,824 8,563,432 4,463 (8,088) 230,332 377,558 0 0 632,073 877 ,072 0 0 (319,894) (302,945) 0 0 312,179 574,127 4,463 (8,088) 542,511 951,685 24,011 8,088 3,478,084 2,935,695 0 0 (557,960) (409,296) $ 28,474 $ 0 $ 3,462,635 $ 3,478,084 67 City of Salina, Kansas Schedule 6 EMPLOYEE BENEFIT SPECIAL REVENUE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal years ended December 31, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budget (Unfavorable) Revenues Taxes Real Estate Taxes $ 2,922,170 $ 2,959,656 $ (37,486) $ 2,878,457 $ 2,865,424 $ 13,033 Delinquent Taxes 55,810 55,000 810 36,434 45,000 (8,566) Motor Vehicle Taxes 529,648 513,461 16,187 224,445 249,705 (25,260) Total taxes 3,507,628 3,528,117 (20,489) 3,139,336 3,160,129 (20,793) Other Revenues Reimbursements 2,880 4,000 (1,120) 888 0 888 Total revenues 3,510,508 3,532,117 (21,609) 3,140,224 3,160,129 (19,905) Expenditures General Government City Commision 1,165 0 (1,165) 479 0 (479) City Manager 52,032 51,153 (879) 49,178 57,138 7,960 Finance 62,272 69,645 7,373 53,212 66,173 12,961 Human Resources 18,198 23,587 5,389 25,592 23,958 (1,634) Total General Government 133,667 144,385 10,718 128,461 147,269 18,808 Public Safety Police 851,843 960,594 108,751 865,194 898,521 33,327 Municipal Court 72,615 80,737 8,122 69,819 77,242 7,423 Fire 872,957 1,033,414 160,457 903,798 906,029 2,231 Permits and Inspection 57,528 62,936 5,408 53,104 52,973 (131) Total Public Safety 1,854,943 2,137,681 282,738 1,891,915 1,934,755 42,850 Public Works Buildings and General1mprovemen 45,222 47,260 2,038 38,778 26,7&5 (11,993) Engineering 61,960 68,148 6,188 54,665 55,161 496 Streets 195,826 231,745 35,919 197,698 221,243 23,545 Flood Works 25,233 27,745 2,512 24,965 22,843 (2,122) Traffic Control 29,325 34,352 5,027 30,033 30,116 83 Parks 133,217 153,888 20,671 125,772 135,575 9,803 Total Public Works 490,783 563,138 72,355 471,911 491,723 19,812 Public Health and Sanitation Cemetary 23,323 26,587 3,264 23,671 22,043 (1,628) 68 City of Salina, Kansas Schedule 6 Pal!e 2 EMPLOYEE BENEFIT SPECIAL REVENUE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal years ended December 31, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budget (Unfavorable) Culture and Recreation Swimming Pools $ 4,149 $ 5,000 $ 851 $ 4,731 $ 0 $ (4,731) Neighborhood Centers 2,416 2,541 125 2,179 12,437 10,258 Recreation 109,406 123,130 13,724 108,232 122,166 13,934 Bi-Centennial Center 122,830 157,622 34,792 120,578 139,614 19,036 Arts and Humanities 43,793 48,260 4,467 41,386 41,885 499 Smokey Hill Museum 29,221 42,475 13,254 36,354 45,632 9,278 Total Culture and Recreation 311,815 379,028 67,213 313,460 361,734 48,274 Community Development Human Relations 33,726 36,188 2,462 20,011 24,544 4,533 Planning 47,704 51,346 3,642 42,352 38,713 (3,639) Total Community Development 81,430 87,534 6,104 62,363 63,257 894 Other Health Insurance 32,925 34,073 1,148 70,750 95,400 24,650 Cash reserve 0 789,160 789,160 0 512,791 512,791 Total expenditures 2,928,886 4,161,586 1,232,700 2,962,531 3,628,982 666,451 Excess (deficiency) of revenues over (under) expenditures 581,622 (629,469) 1,211,091 177,693 (468,853) 646,546 Fund balances, January I 629,470 629,469 451,777 468,853 (17,076) Fund balances, December 31 $ 1,211,092 $ 0 $ 1,211,092 $ 629,470 $ 0 $ 629,4 70 69 City of Salina, Kansas Schedule 6 Pa!!:e3 FLOOD & DRAINAGE IMPROVEMENT SPECIAL REVENUE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal years ended December 31, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budge1 (Unfavorable) Revenues Taxes Real Estate Taxes $ 249,297 $ 250,934 $ (1,637) $ 231,571 $ 230,000 $ 1,571 Delinquent Taxes 1,436 0 1,436 413 0 413 Motor Vehicle Taxes 37,716 38,080 (364) 0 0 0 Total revenues 288,449 289,014 (565) 231,984 230,000 1,984 Expenditures Capital outlay Capital Outlay 118,137 149,141 31,004 77,769 450,000 372,231 Cash reserve 0 253,229 253,229 0 90,000 90,000 Total expenditures 118,137 402,370 284,233 77,769 540,000 462,231 Excess (deficiency) of revenues over (under) expenditures 170,312 (113,356) 283,668 154,215 (310,000) (464,215) Other Financing Sources (uses) Operating transfers in 0 0 0 310,000 310,000 0 Operating transfers out 0 (350,859) 350,859 0 0 0 Total other financing source (uses) 0 (350,859) 350,859 310,000 310,000 0 Excess (deficiency) of revenues and other sources over (under) expenditures and other uses 170,312 (464,215) 634,527 464,215 0 (464,215) Fund balances, January I 464,215 464,215 0 0 0 0 Residual equity transfer out (350,859) 0 (350,859) 0 0 0 Fund balances, December 31 $ 283,668 $ 0 $ 283,668 $ 464,215 $ 0 $ (464,215) 70 City of Salina, Kansas Schedule 6 Pa!!:e 4 UTILITY SPECIAL REVENUE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal years ended December 31, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budg«~t (Unfavorable) Revenues Taxes Delinquent Taxes $ 6,916 $ 0 $ 6,916 $ 9,324 $ 14,000 $ (4,676) Motor Vehicle Taxes 27,884 0 27,884 79,140 114.482 (35,342) Total revenues 34,800 0 34,800 88,464 128.482 (40,018) Expenditures Total expenditures 0 0 0 0 0 0 Excess of revenues over expenditures 34,800 0 34,800 88,464 128,482 (40,018) Fund balances, January 1 1 05,540 1 05,540 0 391,589 374,513 17,076 Residual equity transfers out (140,340) (105,540) (34,800) (374,513) (502,995) 128,482 Fund balances, December 31 $ 0 $ 0 $ 0 $ 105,540 $ 0 $ 105,540 71 City of Salina, Kansas Schedule 6 Pal!e 5 SPECIAL LIABILITY SPECIAL REVENUE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal years ended December 31, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budgd (Unfavorable) Revenues Taxes Delinquent Taxes $ 1,663 $ 0 $ 1,663 $ 2,266 $ 473 $ 1,793 Motor Vehicle Taxes 494 0 494 4,718 2,012 2,706 Total revenues 2,157 0 2,157 6,984 2,485 4,499 Expenditures Other Risk Management 0 0 0 2,965 0 (2,965) Excess of revenues over expenditures 2,157 0 2,157 4,019 2,485 1,534 Fund balances, January 1 64,604 64,603 95,368 96,026 (658) Residual equity transters out (66,761) (64,603) (2,158) (34,783) (98,511) 63,728 Fund balances, December 31 $ 0 $ 0 $ 0 $ 64,604 $ 0 $ 64,604 72 City of Salina, Kansas Schedule 6 Pa!!e 6 BUSINESS IMPROVEMENT DISTRICT SPECIAL REVENUE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal years ended December 3 I, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budgd (Unfavorable) Revenues Fees and Charges Charges for Services $ 76,053 $ 81,537 $ (5,484) $ 70,703 $ 82,000 $ (11,297) Other Revenues Fines 435 0 435 1,115 0 1,115 Interest 233 0 233 203 0 203 Total other revenues 668 0 668 1,318 0 1,318 Total revenues 76,721 81,537 (4,816) 72,021 82,000 (9,979) Expenditures Community Development Business Improvement District 56,387 63,255 6,868 56,766 65,000 8,234 Cash Reserve 0 0 0 0 463 463 Total expenditures 56,387 63,255 6,868 56,766 65,463 8,697 Excess of revenues over expenditures 20,334 18,282 2,052 15,255 16,537 (1,282) Other financing sources (uses) Operating transfers out (17,000) (17,000) 0 (17,000) (17,000) 0 Excess (deficiency) of revenues over (under) expenditures and other uses 3,334 1,282 2,052 (1,745) (463) (1,282) Fund balances (deficit), January I (1,282) (1,282) 0 463 463 0 Prior Year Cancelled Encumbrances (1,506) 0 (1,506) 0 0 0 Fund balances (deficit), December 31 $ 546 $ 0 $ 546 $ (1,282) $ 0 $ (1,282) 73 City of Salina, Kansas Schedule 6 Pa!!:e 7 TOURISM AND CONVENTION SPECIAL REVENUE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal years ended December 31, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budget (Unfavorable) Revenues Taxes Other Taxes $ 755,006 $ 760,000 $ (4,994) $ 710,804 $ 715,000 $ (4,196) Other Revenues Interest 2,226 1,200 1,026 2,311 1,200 1,111 Total revenues 757,232 761,200 (3,968) 713,115 716,200 (3,085) Expenditures Community Development Tourism 454,341 456,730 2,389 428,918 431,965 3,047 Excess of revenues over expenditures 302,891 304,470 (1,579) 284,197 284,235 (38) Other financing sources (uses) Operating transfers out (302,894) (304,487) 1,593 (285,945) (286,000) 55 Excess (deficiency) of revenues over (under) expenditures and other uses (3) (17) 14 (1,748) (1,765) 17 Fund balances, January I 17 17 0 1,765 1,765 0 Fund balances, December 31 $ 14 $ 0 $ 14 $ 17 $ 0 $ 17 74 City of Salina, Kansas Schedule 6 Pal!e 8 NEIGHBORHOOD PARKS SPECIAL REVENUE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal years ended December 31, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual BudgeI' (Unfavorable) Revenues Other Revenues Licenses and Permits $ 18,250 $ 16,000 $ 2,250 $ 31,010 $ 0 $ 31,010 Interest 2,016 0 2,016 433 0 433 Total revenues 20,266 16,000 4,266 31,443 0 31,443 Expenditures Capital Outlay Capital Outlay 0 8,000 8,000 0 0 0 Cash Reserve 0 39,443 39,443 0 0 0 Total expenditures 0 47,443 47,443 0 0 0 Excess (deficiency) of revenues over (under) expenditures 20,266 (31,443) 51,709 31,443 0 31,443 Fund balances, January I 31,443 31,443 0 0 0 0 Fund balances, December 31 $ 51,709 $ 0 $ 51,709 $ 31,443 $ 0 $ 31,443 75 City of Salina, Kansas Schedule 6 Pal!e 9 SPECIAL PARKS AND RECREATION SPECIAL REVENUE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal years ended December 31, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budgtt (Unfavorable) Revenues Intergovernmental Liquor Tax $ 108,887 $ 102,570 $ 6,317 $ 102,571 $ 96,803 $ 5,768 Other Revenues Interest 5,823 5,000 823 4,863 5,000 (137) Miscellaneous 7,000 [2,000 (5,000) 1 [,000 12,000 (1,000) Total other revenues 12,823 17,000 (4,177) 15,863 17,000 (1,[37) Total revenues 121,710 119,570 2,140 118,434 113,803 4,631 Expenditures Capital outlay Capital Outlay 125,293 125,000 (293) 93,791 97,500 3,709 Cash reserve 0 97,035 97,035 0 94,[25 94,125 Total expenditures 125,293 222,035 96,742 93,791 191,625 97,834 Excess (deficiency) of revenues over (under) expenditures (3,583) (102,465) 98,882 24,643 (77,822) 102,465 Fund balances, January 1 102,465 102,465 0 77,822 77,822 0 Fund balances, December 31 $ 98,882 $ 0 $ 98,882 $ 102,465 $ 0 $ 102,465 76 City of Salina, Kansas Schedule 6 Pa!!:e 10 SPECIAL ALCOHOL SPECIAL REVENUE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal years ended December 31, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budget (Unfavorable) Revenues Intergovernmental Liquor Tax $ 108,887 $ 102,570 $ 6,317 $ 102,571 $ 96,803 $ 5,768 Other Revenues Interest 846 500 346 266 0 266 Total revenues 109,733 103,070 6,663 102,837 96,803 6,034 Expenditures Public Health and Sanitation Special Alcohol 110,179 110,182 3 87,333 96,803 9,470 Cash Reserve 0 8,761 8,761 0 369 369 Total expenditures 110,179 118,943 8,764 87,333 97,172 9,839 Excess (deficiency) of revenues over (under) expenditures (446) (15,873) 15,427 15,504 (369) 15,873 Fund balances, January I 15,873 15,873 0 369 369 0 Fund balances, December 31 $ 15,427 $ 0 $ 15,427 $ 15,873 $ 0 $ 15,873 77 City of Salina, Kansas Schedule 6 Pa!!e 11 SPECIAL GAS TAX SPECIAL REVENUE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal years ended December 31, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budget (Unfavorable) Revenues Intergovernmental Other Intergovernmental $ 1,447,061 $ 1,430,000 $ 17,061 $ 1,406,496 $ 1,390000 $ 16,496 Other Revenues Interest 55,338 75,000 (19,662) 57,036 40.000 17,036 Miscellaneous 5,050 0 5,050 30,277 0 30,277 Total other revenues 60,388 75,000 (14,612) 87,313 40,000 47,313 Total revenues 1,507,449 1,505,000 2,449 1,493,809 1,430,000 63,809 Expenditures Public Works Streets 257,010 272,784 15,774 224,377 227,889 3,512 Capital outlay Capital outlay 1,336,325 1,577,000 240,675 1,113,545 1,275,400 161,855 Cash reserve 0 255,110 255,110 0 370,718 370,718 Total expenditures 1,593,335 2,104,894 511,559 1,337,922 1,874,007 536,085 Excess (deficiency) of revenues over (under) expenditures (85,886) (599,894) 514,008 155,887 (444,007) 599,894 Fund balances, January I 599,894 599,894 0 444,007 444,007 0 Prior year cancelled encumbrances 14,748 0 14,748 0 0 0 Fund balances, December 3 J $ 528,756 $ 0 $ 528,756 $ 599,894 $ 0 $ 599,894 78 City of Salina, Kansas Schedule 6 Pae:e 12 BICENTENNIAL CENTER SPECIAL REVENUE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal years ended December 31, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budget (Unfavorable) Revenues Fees and Charges Merchandise sales $ 574,661 $ 515,000 $ 59,661 $ 565,957 $ 508,000 $ 57,957 Rents and Royalties 226,761 235,000 (8,239) 218,938 175,000 43,938 Total Fees and Charges 801,422 750,000 51,422 784,895 683,000 101,895 Other Revenues Interest 24,1 16 16,000 8_116 21,429 16,000 5,429 Internal Charges 0 325,000 (325,000) 201,624 200,'000 1,624 Total Other Revenues 24,116 341,000 (316,884) 223,053 216,000 7,053 Total revenues 825,538 1,091,000 (265,462) 1,007,948 899,000 108,948 Expenditures Culture and Recreation Bi-Centinnial Center 1,213,889 1,235,540 21,651 1,157,859 1,200,390 42,531 Capital outlay Capital Outlay 139,068 136,600 (2,468) 67,282 165,000 97,718 Cash reserve 0 388,417 388,417 0 136,038 136,038 Total expenditures 1,352,957 1,760,557 407,600 1,225,141 1,501,428 276,287 Excess (deficiency) of revenues over (under) expenditures (527,419) (669,557) 142,138 (217,193) (602,428) 385,235 Other financing sources Operating transfers in 627,894 286,000 341,894 284,322 286,000 (1,678) Sale of Assets 8,000 0 8,000 0 0 0 Total other financing sources 635,894 286,000 349,894 284,322 286,000 (1,678) Excess (deficiency) of revenues and other sources over (under) expenditures 108,475 (383,557) 492,032 67,129 (316,428) 383,557 Fund balances, January I 383,557 383,557 0 316,428 316,428 0 Fund balances, December 31 $ 492,032 $ 0 $ 492,032 $ 383,557 $ 0 $ 383,557 79 City of Salina, Kansas Schedule 6 Pa2:e 13 FAIR HOUSING SPECIAL REVENUE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal years ended December 31, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budgel (Unfavorable) Revenues Other Revenues Interest $ 3,660 $ 2,000 $ 1,660 $ 3,148 $ 2,000 $ 1,148 Reimbursments 64,860 55,000 9,860 22,972 38,000 (15,028) Total Revenues 68,520 57,000 11,520 26,120 40,000 (13,880) Expenditures Community Development Human Relations 63,656 77,000 13,344 34,351 50,000 15,649 Capital Outlay Capital Outlay 3,010 0 (3,010) 0 0 0 Cash Reserve 0 28,369 28,369 0 46,600 46,600 Total Expenditures 66,666 105,369 38,703 34,351 96,600 62,249 Excess (deficiency) of revenues over (under) expenditures 1,854 (48,369) 50,223 (8,231) (56,600) 48,369 Fund balances, January I 48,368 48,369 (I) 56,599 56,600 (I) Fund balances, December 31 $ 50,222 $ 0 $ 50,222 $ 48,368 $ 0 $ 48,368 80 City of Salina, Kansas DEBT SERVICE FUND The debt service fund is used to account for the accumulation of resources and payment of general obligation bond principal and interest from governmental resources and special assessment bond principal and interest from special assessment levies when the City is obligated in some manner for the payment. 81 City of Salina, Kansas Schedule 7 BOND AND INTEREST DEBT SERVICE FUND COMPARATIVE BALANCE SHEETS December 3 I, 1999 and 1998 ASSETS 1999 1998 Cash and investments $ 779,992 $ 741,310 Cash with fiscal agent 6,895 5,545 Receivables Taxes 1,478,426 916,477 Total assets $ 2,265,313 $ 2,111,234 LIABILITIES AND FUND BALANCES Liabilities Deferred revenue $ 1,478,426 $ 916,477 Matured principal and interest payable 6,895 5,545 Total liabilities 1,485,321 1,243,475 Fund balances Unreserved Designated for debt service 779,992 741,310 Total liabilities and fund balances $ 2,265,313 $ 2,111,234 82 City of Salina, Kansas Schedule 8 DEBT SERVICE FUND COMPARATIVE STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES For the fiscal years ended December 3 I, 1999 and 1998 1999 1998 Revenues Taxes $ 1,250,953 $ 1,550,848 Special assessments 1,086,557 974,648 Other revenues 193,125 200,258 Total revenues 2,530,635 2,725,754 Expenditures Debt service Principal 1,851,481 2,372,468 Interest and other charges 640,4 72 485,611 Total expenditures 2,491,953 2,858,079 Excess (deficiency) of revenues over (under) expenditures 38,682 (132,325) Fund balances, January 1 741,310 867,7 59 Residual equity transfer in o 5,876 Fund balances, December 31 $ 779,992 $ 741,310 83 City of Salina, Kansas Schedule 9 BOND AND INTEREST DEBT SERVICE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal years ended December 31, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actual Budget (llnfavorable) Actual Budget (Unfavorable) Revenues Taxes Real Estate Taxes $ 915,455 $ 925,830 $ (10,375) $ 1,166,697 $ 1,161,458 $ 5,239 Delinquent Taxes 33,348 40,000 (6,652) 38,752 36,651 2,101 Motor Vehicle Taxes 302,224 286_910 15,314 364,097 460,627 (96,530) Total taxes 1,251,027 1,252,740 (1,713) 1,569,546 1,658,736 (89,190) Other Revenues Special Assesments 1,086,557 1,120,938 (34,381) 974,648 1,073,920 (99,272) Interest 76,255 80,000 (3,745) 72,957 70,000 2,957 Miscellaneous 106,500 106,500 0 127,301 127,300 1 Other Financing 10,3 70 0 10,3 70 0 0 0 Internal Charges 0 0 0 5,876 0 5,876 Total other revenues 1,279,682 1,307,438 (27,756) 1,180,782 1,271,220 (90,438) Total revenues 2,530,709 2,560,178 (29,469) 2,750,328 2,929,956 (179,628) Expenditures Debt service Principal 1,851,481 1,851,63\ 150 2,372,468 1,645)12 (727,156) Interest 640,546 641,377 831 504,309 1,214,533 710,224 Cash reserve 0 808,480 808,480 0 937,213 937,213 Total expenditures 2,492,027 3,301,488 809,461 2,876,777 3,797,058 920,281 Excess (deficiency) of revenues over (under) expenditures 38,682 (741,310) 779,992 (126,449) (867,..02) 740,653 Fund balances, January 1 741,310 741,310 0 867,759 867,102 657 Fund balances, December 3 I $ 779,992 $ 0 $ 779,992 $ 741,310 $ 0 $ 741,310 84 City of Salina, Kansas CAPIT AL PROJECTS FUND The capital projects fund is used to account for the acquisition and construction of major capital facilities other than those financed by proprietary funds and trust funds. 85 City of Salina, Kansas Schedule 10 CAPITAL PROJECTS FUND COMPARATIVE BALANCE SHEETS December 3 I, 1999 and 1998 ASSETS 1999 1998 Cash and investments $ 851,756 $ 205,929 LIABILITIES AND FUND BALANCES Liabilities Retainage payable $ 13,436 $ 236,927 Temporary notes payable 4,650,000 0 Total liabilities 4,663,436 236,927 Fund balances Reserved for encumbrances 2,166,752 881,341 Unreserved Undesignated (deficit) (5,978,432) (912,339) Total fund balances (deficit) (3,811,680) (30,998) Total liabilities and fund balances $ 851,756 $ 205,929 86 City of Salina, Kansas Schedule 11 CAPITAL PROJECTS FUND COMPARATIVE STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES For the fiscal years ended December 31, 1999 and 1998 1999 1998 Revenues Special assessments $ 0 $ 323,469 Other revenues 831,465 380,098 Total revenues 831,465 703,567 Expenditures Capital outlay Contractual 360,524 1,037,065 Capital outlay 5,164,309 3,398,194 Debt service Temporary note payments 9,440,000 3,645,000 Interest expense 307,512 178,005 Bond issuance costs 38,670 13,030 Total expenditures 15,311,015 8,271,294 Excess (deficiency) ofrevenues over (under) expenditures (14,479,550) (7,567,727) Other financing sources Bond and temporary note proceeds 9,883,368 4,661,740 Operating transfers in 675,000 0 Total other financing sources 10,558,368 4,661,740 Excess (deficiency) of revenues and other sources over (under) expenditures (3,921,182) (2,905,987) Fund balances (deficit), January 1 (30,998) 2,786,973 Residual equity transfers in 366,103 93,892 Residual equity transfers out (225,603) (5,876) Fund balances (deficit), December 31 $ (3,811,680) $ (30,998) 87 City of Salina, Kansas ENTERPRISE FUNDS Enterprise funds are used to account for operations that are financed and operated in a manner similar to private business enterprises, where the intent of the governing body is that the costs of providing goods or services to the general public on a continuing basis be financed or recovered primarily through user charges; or where the governing body has decided that periodic determination of net income is appropriate for accountability purposes. Sanitation fund - To account for the operations of the City's refuse collection service. Solid waste fund - To account for the activities of the City's landfill. Golf course fund - To account for the operations ofthe municipal golf course. Water and sewer fund - To account for the activities of the City's water and sewer operations. 88 City of Salina, Kansas ENTERPRISE FUNDS COMBINING BALANCE SHEET December 31, 1999 (With comparative totals for December 31, 1998) Solid Waste ASSETS Sanitation Disposal Cash and investments $ 445,871 $ 1,782,839 Receivables Accounts 99,600 272,016 Inventory and prepaid supplies 0 0 Restricted cash and investments 0 0 Fixed assets Land 18,000 120,000 Land improvement 0 4,701,221 Water plant and equipment 0 0 Sewerage plant and equipment 0 0 Equipment 749,491 822,781 Vehicles 395,621 1,013,048 Buildings 0 354,581 Construction in process 0 0 Accumulated depreciation (833,783) (2,112,999) Deferred charges 0 12,425 Total assets $ 874,800 $ 6,965,912 LIABILITIES AND FUND BALANCES Liabilities Accounts payable $ 6,213 $ 130,112 Retainage payable 0 0 Accrued compensated absences 89,027 25,344 Meter deposits payable 0 0 Payable from restricted assets Accrued interest payable 0 41,175 Revenue bonds payable - current 0 0 Loans payable - current 0 0 General obligation bonds payable - current 0 241,817 Temporary notes payable - current 0 1,000,000 Loans payable 0 0 General obligation bonds payable 0 860,055 Revenue bonds payable 0 0 Landfill closure and postclosure 0 1,007,235 Total liabilities 95,240 3,305,738 Equity Contributed capital 45,253 113,372 Retained Earnings Reserved for bond retirement 0 0 Reserved for postclosure care costs 0 97,533 Unreserved 734,307 3,449,269 Total equity 779,560 3,660,174 Total liabilities and equity $ 874,800 :& 6,965,912 89 Schedule 12 Total Golf Course Water and Division Sewer 1999 1998 $ 107,782 $ 10,353,774 $ 12,690,266 $ 12,555,286 0 591,017 962,633 787,373 46,420 434,551 480,971 430,274 0 11,804,132 11,804,132 11,916,585 15,000 361,050 514,050 514,050 337,361 0 5,038,582 5,038,582 0 34,297,229 34,297,229 34,794,544 0 39,045,192 39,045,192 37,590,736 733,479 563,055 2,868,806 2,664,787 72,947 0 1,481,616 1,440,693 225,231 0 579,812 575,612 0 6,130,856 6,130,856 3,131,801 (941,469) (30,712,358) (34,600,609) (31,843,228) 0 505,394 517,819 575,065 $ 596,751 $ 73,373,892 $ 81,811,355 $ 80,172,160 $ 4,575 $ 263,320 $ 404,220 $ 676,274 0 280,686 280,686 267,531 37,786 268,860 421,017 440,634 0 90,888 90,888 85,252 2,679 265,280 309,134 343,877 0 735,000 735,000 700,000 0 49,740 49,740 15,013 21,703 500,234 763,754 768,385 0 0 1,000,000 1,500,000 0 3,050,955 3,050,955 920,842 125,728 4,562,320 5,548,103 6,311,846 0 24,865,000 24,865,000 25,600,000 0 0 1,007,235 986,591 192,471 34,932,283 38,525,732 38,616,245 154,122 8,424,147 8,736,894 8,661,316 0 2,810,428 2,810,428 3,501,554 0 0 97,533 92,520 250,158 27,207,034 31,640,768 29,300,525 404,280 38,441,609 43,285,623 41,555,915 $ 596,751 $ 73,373,892 $ 81,811,355 $ 80,172,160 90 City of Salina, Kansas ENTERPRISE FUNDS COMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS For the fiscal year ended December 3 I, 1999 (With comparative totals for the fiscal year ended December 31, 1998) Solid Waste Sanitation Disposal Operating revenues Charges for services $ 1,472,881 $ 2,343,166 Reimbursements 0 o Miscellaneous 7 24,162 Total operating revenues 1,4 72,888 2,367,328 Operating expenses Public works 1,385,583 1,292,380 Recreation o o Depreciation 69,850 384,541 Total operating expenses 1,455,433 1,676,921 Operating income 17,455 690,407 Nonoperating revenues (expenses) Use of money and property 20,248 89,662 Operating grants 0 0 Bond issuance costs 0 (3,006) Debt service 0 (119,242) Loss on disposition of fixed assets 0 o Total nonoperating revenues (expenses) 20,248 (32,586) Net income 37,703 657,821 Retained earnings, January 1 696,604 2,888,981 Restatement o 0 Retained earnings, December 31 $ 734,307 $ 3,546,802 91 Schedule 13 Total Golf Course Water and Division Sewer 1999 1998 $ 806,802 $ 10,515,892 $ 15,138,741 $ 15,084,999 0 18,158 18,158 31,192 12,227 219,793 256,189 215,813 819,029 10,753,843 15,413,088 15,332,004 0 7,399,094 10,077,057 10,401,305 713,371 0 713,371 708,308 53,046 2,324,916 2,832,353 2,710,800 766,417 9,724,010 13,622,781 13,820,413 52,612 1,029,833 1,790,307 1,511,591 6,212 1,205,823 1,321,945 1,447,728 0 452,011 452,011 788,994 0 (54,262) (57,268) (55,221) (7,514) (1,721,918) (1,848,674) (1,807,148) 0 (4,191) (4,191) (27,660) (1,302) (122,537) (136,177) 346,693 51,310 907,296 1,654,130 1,858,284 198,848 29,110,166 32,894,599 31,102,292 0 0 0 (65,977) $ 250,158 $ 30,017,462 $ 34,548,729 $ 32,894,599 92 City of Salina, Kansas ENTERPRISE FUNDS COMBINING STATEMENT OF CASH FLOWS For the fiscal year ended December 3 I, 1999 (With comparative totals for the fiscal year ended December 3 I, 1998) Solid Waste Sanitation Disposal Cash flows from operating activities Cash received from customers and users $ 1,467,696 $ 2,245,998 Cash paid to suppliers (649,657) (1,297,325) Cash paid to employees (642,171) (354,622) Cash paid for quasi-external transactions (82,453) (52,890) Other operating receipts 7 24,162 Net cash provided by operating activities 93,422 565,323 Cash flows from capital and related financing activities Purchase and construction of fixed assets (11,654) (120,069) Contributed capital 0 0 Proceeds from issuance of debt 0 0 Principal payments - temporary notes 0 (500,000) Principal payments - general obligation bonds 0 (241,800) Principal payments - revenue bonds 0 0 Interest paid 0 (116,151) Bond issuance costs 0 0 Net cash provided by (used in) capital and related financing activities (11,654) (978,020) Cash flows from investing activities Interest received 20,248 89,662 Cash flows from noncapital financing activities Operating grant receipts 0 0 Net increase (decrease) in cash and cash equivalents 102,016 (323,035) Cash and cash equivalents, January 1 343,855 2,105,874 Cash and cash equivalents, December 31 $ 445,871 $ 1,782,839 Cash and investments $ 445,871 $ 1,782,839 Restricted cash and investments 0 0 Total cash and cash equivalents $ 445,871 $ 1,782,839 93 Schedule 14 Total Golf Course Water and Division Sewer 1999 1998 $ 806,802 $ ] 0,448,62] $ ]4,969,117 $ 15,079,467 (368,708) (4,042,485) (6,358,175) (6,068,935) (329,763) (2,78],07]) (4, ]07,627) (4,00],604) (29,160) (468,692) (633,195) (627,497) 12,227 237,951 274,347 247,005 91,398 3,394,324 4,144,467 4,628,436 (72,526) (4,043,138) (4,247,387) (4,113,307) 0 38,464 38,464 0 0 2,]64,841 2,164,841 2,435,855 0 0 (500,000) (700,000) (21,722) (545,000) (808,522) (262,503) 0 (700,000) (700,000) (1,565,000) (7,904) (1,719,237) (1,843,292) (1,835,513) 0 0 0 (587,015) (102,152) (4,804,070) (5,895,896) (6,627,483) 6,212 ] ,205,823 ] ,32] ,945 ] ,486, 171 0 452,011 452,011 788,994 (4,542) 248,088 22,527 276,118 112,324 21,909,818 24,471,871 24,195,753 $ 107,782 $ 22,157,906 $ 24,494,398 $ 24,471,871 $ ] 07,782 $ ] 0,353,774 $ 12,690,266 $ 12,555,286 0 1],804,132 ] 1,804,132 ]],916,585 $ ] 07,782 $ 22,157,906 $ 24,494,398 $ 24,471,871 94 cont. City of Salina, Kansas ENTERPRISE FUNDS COMBINING STATEMENT OF CASH FLOWS For the fiscal year ended December 3 I, 1999 (With comparative totals for the fiscal year ended December 31, 1998) Sanitation Solid Waste Disposal Reconciliation of operating income to net cash provided by operating activities Operating income $ 17,455 \' ,) 690,407 Adjustments to reconcile operating income to net cash provided by operating activities Depreciation expense (Increase) decrease in accounts receivable (Increase) decrease in inventory Increase (decrease) in accounts payable Increase (decrease) in retainage payable Increase (decrease) in accrued compensated absences Increase (decrease) in meter deposits payable Increase (decrease) in landfill closure and postclosure Net cash provided by operating activities 69,850 384,541 (5,185) (97,168) 0 0 5,780 (364,282) 0 (69,895) 5,522 1,076 0 0 0 20,644 $ 93,422 $ 565,323 95 Schedule 14 Pa!!e 2 Total Golf Course Division Water and Sewer 1999 1998 $ 52,612 $ 1,029,833 $ 1,790,307 $ 1,511,591 53,046 2,324,916 2,832,353 2,710,800 0 (72,907) (175,260) (9,484) (16,230) (34,467) (50,697) 23,550 (1,074) 87,522 (272,054) 358,788 0 83,050 13,155 221,106 3,044 (29,259) (19,617) (22,287) 0 5,636 5,636 3,952 0 0 20,644 (169,580) $ 91,398 $ 3,394,324 $ 4,144,467 $ 4,628,436 96 City of Salina, Kansas Schedule 15 SANITATION ENTERPRISE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - ACTUAL AND BUDGET For the fiscal years ended December 3 I, 1999 and 1998 1999 1998 Variancc Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budget (Unfavorable) Revenues Fees and Charges Charges For Services $ 1,467,693 $ 1,450,000 $ 17,693 $ 1,340,634 $ 1,300,'JOO $ 40,634 Other Revenues Interest 20,248 25,000 (4,752) 23,154 25,000 (1,846) Miscellaneous 7 20,000 (19,993) 286 61,000 (60,714) Total Other Revenues 20,255 45,000 (24,745) 23,440 86,000 (62,560) Total revenues 1,487,948 1,495,000 (7,052) 1,364,074 1,386,000 (21,926) Expenditures Public Health and Sanatation Sanitation 1,381,247 1,451,158 69,911 1,374,576 1,379,402 4,826 Capital Outlay Capital Outlay 84,651 70,800 (13,851) 145,330 193,800 48,4 70 Cash reserve 0 316,465 316,465 0 312,052 312,052 Total expenditures 1,465,898 1,838,423 372,525 1,519,906 1,885,254 365,348 Excess (defIciency) of revenues over (under) expenditures 22,050 (343,423) 365,473 (155,832) (499,2.54) 343,422 Fund balances, January 1 343,422 343,423 (I) 499,254 499,254 0 Fund balances, December 31 $ 365,472 $ 0 $ 365,472 $ 343,422 $ 0 $ 343,422 97 City of Salina, Kansas Schedule 15 Pa!!e 2 SOLID WASTE DISPOSAL DIVISION ENTERPRISE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - ACTUAL AND BUDGET For the fiscal years ended December 31, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budget (Unfavorable) Revenues Fees and Charges Charges For Services $ 2,243,092 $ 2,335,000 $ (91,908) $ 2,485,694 $ 2,350,000 $ 135,694 Other Revenues Interest 80,597 60,000 20,597 70,210 60,000 10,210 Miscellaneous 27,068 20,000 7,068 30,740 20,000 10,740 Total other revenues 107,665 80,000 27,665 100,950 80,000 20,950 Total revenues 2,350,757 2,415,000 (64,243) 2,586,644 2,430,000 156,644 Expenditures Public Health and Sanatation Solid Waste 655,394 1,193,542 538,148 888,156 1,140,696 252,540 Hazardous Waste Disposal 52,355 57,559 5,204 45,580 64,(187 18,507 Total Public Health and Sanata 707,749 1,251,101 543,352 933,736 1,204,783 271,047 Debt Service Principal 741,829 741,816 (13) 941,829 941,816 (13) Interest 116,152 116,150 (2) 90,769 90,750 (19) Total Debt Service 857,981 857,966 (15) 1,032,598 1,032,566 (32) Capital Outlay Capital Outlay 133,285 466,430 333,145 458,569 27 UOO (187,269) Cash reserve 0 1,040,239 1,040,239 0 1,158,424 1,158,424 Total expenditures 1,699,015 3,615,736 1,916,721 2,424,903 3,667,073 1,242,170 Excess (deficiency) of revenues over (under) expenditures 651,742 (1,200,736) 1,852,478 161,741 (1,237,073) 1,398,814 Other financing sources (uses) Operating transfers out (346,490) (198,616) (147,874) 0 0 0 Excess (deficiency) of revenues over (under) expenditures and other uses 305,252 (1,399,352) 1,704,604 161,741 (1,237,073) 1,398,814 Fund balances, January 1 1,399,352 1,399,352 0 1,237,611 1,237,C73 538 Residual equity transfers in 133,510 133,510 0 0 0 Residual equity transfers out (413,875) 0 (413,875) 0 0 0 Fund balances, December 31 $ 1,424,239 $ 0 $ 1,424,239 $ 1,399,352 $ 0 $ 1,399,352 98 City of Salina, Kansas Schedule 15 Pa!!e 3 GOLF COURSE DIVISION ENTERPRISE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - ACTUAL AND BUDGET For the fiscal years ended December 31, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actual Budget (lJnfavorable) Actual Budge1 (lJnfavorable) Revenues Taxes General Sales Tax $ 26,776 $ 25,000 $ 1,776 $ 25,272 $ 22,000 $ 3,272 Fees and Charges Recreational Fees 591,733 596,900 (5,167) 553,604 553,700 (96) Merchandise Sales 184,844 194,000 (9,156) 193,625 191,000 2,625 Rents and Royalties 3,450 3,100 350 1,887 3,000 (1,113) Total fees and charges 780,027 794,000 (13,973) 749,116 747,700 1,416 Other Revenues Interest 6,212 8,000 (1,788) 7,617 5,000 2,617 Reimbursments 0 200 (200) 0 200 (200) Miscellaneous 12,227 11,700 527 6,648 4,000 2,648 Total other revenues 18,439 19,900 (1,461) 14,265 9,200 5,065 Total revenues 825,242 838,900 (13,658) 788,653 778,900 9,753 Expenditures Culture and Recreation Golf course 726,557 723345 (3,212) 716,156 671,853 (44,303) Debt service Principal 21,722 21,703 (19) 20,703 22,872 2,169 Interest 7,905 7,897 (8) 18,573 11,203 (7370) Capital Outlay Capital Outlay 72,526 89,640 17,114 54,468 100,000 45,532 Cash reserve 0 102,991 102,991 0 100,894 100,894 Total expenditures 828,710 945,576 116,866 809,900 906,822 96,922 Excess (deficiency) of revenues over (under) expenditures (3,468) (106,676) 103,208 (21,247) (127,922) 106,675 Fund balances, January ] 106,675 106,676 (I) 127,922 127,922 0 Fund balances, December 31 $ 103,207 $ 0 $ 103.207 $ 106,675 $ 0 $ 106,675 99 City of Salina, Kansas Schedule 15 Pa!!e 4 WATER AND SEWER ENTERPRISE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - ACTUAL AND BUDGET For the fiscal years ended December 3 I, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budge1 (Unfavorable) Revenues Fees and Charges Charges for services $ 10,303,599 $ 10,709,200 $ (405,601) $ 10,505,910 $ 10,300,000 $ 205,910 Other Revenue Interest 327.139 275,000 52,139 338,326 300,000 38,326 Reimbursements 32,066 0 32,066 4,853 0 4,853 Miscellaneous 159,843 218,000 (58,157) 176,252 243,000 (66,748) Internal Charges 0 0 0 12,458 0 12,458 Total other revenue 519,048 493,000 26,048 531,889 543,000 (II, III) Total revenues 10,822,647 11,202,200 (379,553) 11,037,799 10,843,000 194,799 Expenditures Water and Wastewater Water 5,181,284 5,596,483 415,199 5,070,556 5,432,672 362,116 Sewer 2,073,967 2,065,308 (8,659) 1,806,964 1,922,597 115,633 Total water and sewer 7,255,251 7,661,791 406,540 6,877,520 7,355,269 477,749 Debt service Interest and other 1,593 1,000 (593) 61 1,000 939 Capital Outlay Capital Outlay 1,165,420 2,720,200 1,554,780 1,095,873 2,432,300 1,336,427 Cash reserves 0 4,194,206 4,194,206 60,302 4,082,348 4,022,046 Total expenditures 8,422,264 14,577,197 6,154,933 8,033,756 13,870,917 5,837,161 Excess (deficiency) of revenues over (under) expenditures 2,400,383 (3,374,997) 5,775,380 3,004,043 (3,027,917) 6,031,960 Other financing sources (uses) Operating transtèrs out (3,222,952) (2,581,358) (641,594) (2,344,839) (2,271,~17) (73,422) Sale of assets 3,338 0 3,338 0 0 0 Total other financing sources (uses) (3,219,614) (2,581,358) (638,256) (2,344,839) (2,271,~17) (73,422) Excess (deticiency) of revenues over (under) expenditures and other uses (819,231) (5,956,355) 5,137,124 659,204 (5,299,~34) 5,958,538 Fund balances, January 1 5,956,356 5,956,355 5,297,152 5,299,334 (2,182) Prior year cancelled encumbrances 121,770 0 121,770 0 0 0 Residual equity transfer in 41,985 0 41,985 0 0 0 Fund balances, December 31 $ 5,300,880 $ 0 $ 5,300,880 $ 5,956,356 $ 0 $ 5,956,356 100 This page left blank intentionally. City of Salina, Kansas INTERNAL SERVICE FUNDS Internal service funds are used to account for the financing of goods or services provided by one agency to other departments or agencies of the government and to other governmental units on a cost reimbursement basis. Risk management fund - To account for the accumulation and allocation of costs associated with risk management activities and the purchase of various forms of insurance. Workers' compensation reserve fund - To account for the costs of providing a partially self-insured workers' compensation plan and for accumulating the necessary reserve amounts. Health insurance fund - To account for the costs of providing a partially self-insured health insurance and for accumulating the necessary reserve amounts. Central garage fund - To account for the accumulation and allocation of costs associated with the City's centralized vehicle repair shop. Information services fund - To account for the accumulation and allocation of costs associated with electronic data processing. 101 City of Salina, Kansas INTERNAL SERVICE FUNDS COMBINING BALANCE SHEET December 3 I, 1999 (With comparative totals for December 31, 1998) ASSETS Worker's Risk Compensation Management Reserve $ 20 I ,224 $ 1,262,831 0 0 0 0 0 0 0 0 0 0 $ 201,224 $ 1,262,831 Cash and investments Inventory Fixed assets Equipment Vehicles Buildings Accumulated depreciation LIABILITIES AND EQUITY Liabilities Accounts payable $ 370 $ 0 Accrued compensated absences 0 0 Accrued claims payable 0 309,136 Capital leases payble - current 0 0 Capital leases payble 0 0 Total liabilities 370 309,136 Equity Contributed capital 0 0 Retained earnings Unreserved (deficit) 200,854 953,695 Total liabilities and equity $ 201,224 (' 1,262,831 ,) 102 Schedule 16 Total Health Central Information Insurance Garage Services 1999 1998 $ 675,806 $ 68,511 $ 236,567 $ 2,444,939 $ 2,466,153 0 39,939 0 39,939 46,514 0 141,364 1,561,313 1,702,677 1,256,709 0 13,911 0 13,911 13,911 0 22,072 0 22,072 22,072 0 (132,303) (889,323) (1,021,626) (856,516) $ 675,806 $ 153,494 $ 908,557 $ 3,201,912 $ 2,948,843 $ 23,109 $ 58,079 $ 21,942 $ 103,500 $ 61,765 0 26,142 23,855 49,997 42,638 288,540 0 0 597,676 503,413 0 0 98,848 98,848 0 0 0 192,739 192,739 0 311,649 84,221 337,384 1,042,760 607,816 0 16,611 604,932 621,543 621,543 364,157 52,662 (33,759) 1,537,609 1,719,484 $ 675,806 $ 153,494 $ 908,557 $ 3,201,912 $ 2,948,843 103 City of Salina, Kansas INTERNAL SERVICE FUNDS COMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS F or the fiscal year ended December 3 I, 1999 (With comparative totals for the fiscal year ended December 31, 1998) Worker's Risk Compensation Management Reserve Operating revenues Charges for services $ 184,218 $ 0 Reimbursements 35,339 553 Miscellaneous 0 0 Total operating revenues 219,557 553 Operating expenses General government 247,463 284,676 Depreciation 0 0 Total operating expenses 247,463 284,676 Operating income (loss) (27,906) (284,123) Nonoperating revenues (expenses) Use of money and property 11,593 67,538 Gain (loss) on disposition of fixed assets 0 0 Total nonoperating revenues (expenses) 11,593 67,538 Net income (loss) (16,313) (216,585) Retained earnings (deficit), January 1 217,167 1,170,280 Retained earnings (deficit), December 31 $ 200,854 $ 953,695 104 Schedule 17 Total Health Central Information Insurance Garage Services 1999 1998 $ 3,024,334 $ 736,537 $ 834,099 $ 4,779,188 $ 4,400,844 12,471 8,473 0 56,836 170,808 0 0 940 940 3,925 3,036,805 745,010 835,039 4,836,964 4,575,577 2,984,356 737,451 726,399 4,980,345 4,900,628 0 6,792 158,318 165,110 171,218 2,984,356 744,243 884,717 5,145,455 5,071,846 52,449 767 (49,678) (308,491) (496,269) 31,698 1,050 14,737 126,616 142,672 0 0 0 0 (38,641) 31,698 1,050 14,737 126,616 104,031 84,147 1,817 (34,941) (181,875) (392,238) 280,010 50,845 1,182 1,719,484 2,111,722 $ 364,157 $ 52,662 $ (33,759) $ 1,537,609 $ 1,719,484 105 City of Salina, Kansas INTERNAL SERVICE FUNDS COMBINING STATEMENT OF CASH FLOWS For the fiscal year ended December 31, 1999 (With comparative totals for the fiscal year ended December 31, 1998) Net cash provided by (used in) operating activities Worker's Risk Compensation Management Reserve $ 35,339 $ 553 184,218 0 (251,845) (228,953) 0 0 0 0 0 0 (32,288) (228,400) Cash flows from operating activities Cash received from customers Cash received from quasi-external transactions Cash paid to suppliers Cash paid to employees Cash paid for quasi-external transactions Other operating receipts Cash flows from capital and related financing activities Purchase of fixed assets Cash and cash equivalents, December 31 0 0 11,593 67,538 (20,695) (160,862) 221,919 1,423,693 $ 201,224 $ 1,262,831 Cash flows from investing activities Interest received Net increase (decrease) in cash and cash equivalents Cash and cash equivalents, January 1 106 Schedule 18 Total Health Central Information Insurance Garage Services 1999 1998 $ 3,036,805 $ 645,010 $ 634,354 $ 4,352,061 $ 3,695,746 0 100,000 199,745 483,963 895,038 (2,945,977) (476,365) (311,907) (4,215,047) (4,235,311) 0 (213,203) (371,030) (584,233) (540,231) 0 0 (31,133) (31,133) (25,121) 0 0 940 940 3,925 90,828 55,442 120,969 6,551 (205,954) 0 (8,169) (146,212) (154,381) (144,667) 31,698 1,050 14,737 126,616 142,672 122,526 48,323 (10,506) (21,214) (207,949) 553,280 20,188 247,073 2,466,153 2,674,102 $ 675,806 $ 68,511 $ 236,567 $ 2,444,939 $ 2,466,153 107 cont. City of Salina, Kansas INTERNAL SERVICE FUNDS COMBINING STATEMENT OF CASH FLOWS For the fiscal year ended December 31, 1999 (With comparative totals for the fiscal year ended December 31, 1998) Risk Management Reconciliation of operating income (loss) to net cash provided by (used in) operating activities Operating income (loss) $ (27,906) $ Adjustments to reconcile operating income (loss) to net cash provided by (used in) operating activities Depreciation expense (Increase) decrease in deposits receivable (Increase) decrease in inventory Increase (decrease) in accounts payable Increase (decrease) in accrued compensated absences Increase (decrease) in claims payable 0 0 0 (4,382) 0 0 Net cash provided by (used in) operating activities $ (32,288) $ 108 Worker's Compensation Reserve (284,123) 0 0 0 0 0 55,723 (228,400) Schedule 18 Pa!!:e 2 Total Health Insurance Central Garage Information Services 1999 1998 $ 52,449 $ 767 $ (49,678) $ (308,491) $ ( 496,269) 0 6,792 158,318 165,110 171,218 0 0 0 0 19,132 0 6,575 0 6,575 3,837 (161) 37,891 8,387 41,735 (22,935) 0 3,417 3,942 7,359 3,531 38,540 0 0 94,263 115,532 $ 90,828 $ 55,442 $ 120,969 $ 6,551 $ (205,954) 109 City of Salina, Kansas Schedule 19 RlSK MANAGEMENT RESERVE INTERNAL SERVICE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - ACTUAL AND BUDGET For the fiscal years ended December 3 I, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budget (Unfavorable) Revenues Other Revenues Interest $ 11,593 $ 10,000 $ 1,593 $ 22,054 $ 10,000 $ 12,054 Reimbursements 35,339 30,000 5,339 105,515 40,298 65,217 Internal charges 184,218 187,500 (3,282) 217,995 275,573 (57,578) Total revenues 23 I, 150 227,500 3,650 345,564 325,871 19,693 Expenditures Other Risk Management 245,151 291,100 45,949 294,050 311,637 17,587 Capital outlay Capital outlay 2,312 1,500 (812) 408 1,500 1,092 Cash reserve 0 152,068 152,068 0 178,795 178,795 Total expenditures 247,463 444,668 197,205 294,458 491,932 197,474 Excess (deficiency) of revenues over (under) expenditures (16,313) (217,]68) 200,855 51,106 (166,061) 217,167 Fund balances, January 1 217,167 217,168 (I) 466,06] 466,061 0 Residual equity transfer out 0 0 0 (300,000) (300,000) 0 Fund balances, December 31 $ 200,854 $ 0 $ 200,854 $ 217,167 $ 0 $ 217,167 110 City of Salina, Kansas Schedule 19 Pag:e 2 WORKMEN'S COMPENSATION RESERVE INTERNAL SERVICE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - ACTUAL AND BUDGET For the fiscal years ended December 31, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actnal Budget (Unfavorable) Actual Budget (Unfavorable) Revenues Other revenues Interest $ 67,538 $ 50_000 $ 17,538 $ 77,893 $ 70,000 $ 7,893 Reimbursments 553 0 553 6,840 0 6,840 Internal charges 0 0 0 0 50,000 (50,000) Total revenues 68,091 50,000 18,091 84,733 120,000 (35,267) Expenditures Other Worker's compensation 228,953 274,000 45,047 282,298 299,898 17,600 Cash reserve 0 1,070,707 1,070,707 0 1,226,269 1,226,269 Total expenditures 228,953 1,344,707 1,115,754 282,298 1,526,167 1,243,869 Excess (deficiency) of revenues over (under) expenditures (160,862) (1,294,707) 1,133,845 (197,565) (1,406,167) 1,208,602 Fund balances, January I 1,294,707 1,294,707 0 1,492,272 1,406,167 86,105 Fund balances, December 31 $ 1,133,845 $ 0 $ 1,133,845 $ 1,294,707 $ 0 $ 1,294,707 111 City of Salina, Kansas Schedule 19 Pa!!:e3 CENTRAL GARAGE DIVISION INTERNAL SERVICE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - ACTUAL AND BUDGET For the fiscal years ended December 31, 1999 and 1998 1999 1998 Variance Varianee Favorable Favorable Actual Budget (lJnfavorable) Aetual Budgelt (lJnfavorable) Revenues Other Revenues Interest $ 1,051 $ a $ 1,051 $ 1,085 $ 1,200 $ (115) Reimbursments 8,473 2,998 5,475 40,903 2,998 37,905 Internal charges 836,537 725,000 111,537 704,911 785,000 (80,089) Total revenues 846,061 727,998 118,063 746,899 789,198 (42,299) Expenditures Other Central garage 827,774 814,548 (13,226) 768,283 793,021 24,738 Capital outlay Capital outlay 8,755 13,450 4,695 5,549 a (5,549) Cash reserve a a a a 23,110 23,110 Total expenditures 836,529 827,998 (8,531) 773,832 816,131 42,299 Excess (deficiency) of revenues over (under) expenditures 9,532 (100,000) 109,532 (26,933) (26,933) a Other financing sourees (uses) Operating transtèr in a 100,000 (100,000) a a a Excess (detlciency) of revenues and other sources over (under) expenditures 9,532 a 9,532 (26,933) (26,933) a Fund balances, January I a a a 26,933 26,933 a Fund balances, December 31 $ 9,532 $ a $ 9,532 $ a $ a $ a 112 City of Salina, Kansas Schedule 19 Pa!!e 4 INFORMATION SERVICES INTERNAL SERVICE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - ACTUAL AND BUDGET For the fiscal years ended December 31, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budget (Unfavorable) Revenues Fees and Charges Charges for services $ 199,745 $ 194,736 $ 5,009 $ 163,146 $ 178,610 $ (15,464) Other Revenues Interest 14,738 12,000 2,738 18,946 12,000 6,946 Reimbursments 0 0 0 17,550 0 17,550 Internal charges 634,354 634,354 0 504,434 491,249 13,185 Total other revenues 649,092 646,354 2,738 540,930 503,249 37,681 Total revenues 848,837 841,090 7,747 704,076 681,859 22,217 Expenditures Other Information services 660,032 601,243 (58,789) 470,887 475,025 4,138 Capital outlay Capital outlay 38,775 55,000 16,225 147,189 165,000 17,811 Cash reserve 214,319 420,614 206,295 0 230,426 230,426 Total expenditures 913,126 1,076,857 163,731 618,076 870,451 252,375 Excess (deficiency) of revenues over (under) expenditures (64,289) (235,767) 171,478 86,000 (188,592) 274,592 Other financing sources Sale of assets 940 2,250 (1,310) 3,925 2,250 1,675 Excess (deficiency) of revenues and other sources over (under) expenditures (63,349) (233,517) 170,168 89,925 (186,342) 276,267 Fund balances, January 1 233,517 233,517 0 143,592 186,342 (42,750) Fund balances, December 31 $ 170,168 $ 0 $ 170,168 $ 233,517 $ 0 $ 233,517 113 City of Salina, Kansas Schedule 19 Pa!!e 5 HEALTH INSURANCE INTERNAL SERVICE FUND SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - ACTUAL AND BUDGET For the fiscal years ended December 31, 1999 and 1998 1999 1998 Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budget (Unfavorable) Revenues Other Revenues Interest $ 31,698 $ 40,000 $ (8,302) $ 22,694 $ 40,000 $ (17,306) Reimbursements 12,470 0 12,4 70 0 0 0 Miscellaneous 3,024,334 2,996,733 27,601 2,810,358 2,784,132 26,226 Total revenues 3,068,502 3,036,733 31,769 2,833,052 2,824,132 8,920 Expenditures Other Health Insurance 2,945,816 2,990,500 44,684 2,720,706 2,884,500 163,794 Cash reserve 0 576,243 576,243 0 357,295 357,295 Total expenditures 2,945,816 3,566,743 620,927 2,720,706 3,241,795 521,089 Excess (deficiency) ofrevenues over (under) expenditures 122,686 (530,0 I 0) 652,696 112,346 (417,663) 530,009 Fund balances, January 1 530,009 530,010 (I) 417,663 417,563 0 Fund balances, December 31 $ 652,695 $ 0 $ 652,695 $ 530,009 $ 0 $ 530,009 114 City of Salina, Kansas TRUST AND AGENCY FUNDS Trust funds are used to account for assets held by the government in a trustee capacity. Agency funds are used to account for assets held by the government as an agent for individuals, private organizations, other governments and/or other funds. War memorial maintenance expendable trust fund - To account for monies to be used for maintenance of the local war memorial. Citizenship nonexpendable trust fund - To account for donated funds, the interest on which is to be used to provide "Good Citizen" awards to deserving Salina citizens. Cemetery endowment nonexpendable trust fund - To account for amounts expended for perpetual care of the City cemetery. Interest earnings are used for cemetery maintenance. Mausoleum endowment nonexpendable trust fund - To account for amounts charged for perpetual care of the City mausoleum. Interest earnings are used for mausoleum maintenance. Tricentennial Commission nonexpendable trust fund - To account for donations to be used to celebrate the nation's Tricentennial in the year 2076. Special assessment escrow agency fund - To account for property owners' prepayment on outstanding special assessments. Traffic signal escrow agency fund - To account for assessments on certain businesses to be used for signalization of intersections benefiting those businesses. Fire insurance proceeds agency fund - To account for insurance proceeds received for severely damaged buildings. The insurance proceeds, plus interest, are returned to the property owners when the buildings are repaired or demolished. PEGS access agency fund - To account for revenues collected on behalf of the community access television system for public, educational and governmental programming. Payroll clearing agency fund - To account for interfund payroll receivables and payables for all City funds. Court bond and restitution agency fund - To account for bonds and restitution remitted to the court and awaiting court orders for distribution. Police investigation account agency fund - To account for monies held by the police department for use in investigations. Fire cam fund - To account for donations received and used for fire equipment. 115 City of Salina, Kansas EXPENDABLE TRUST, NON-EXPENDABLE TRUST AND AGENCY FUNDS COMBINING BALANCE SHEET December 3 I, 1999 (With comparative totals for December 31, 1998) Cash and investments Cash and investments - non-expendable trusts $ Expendable Trust Non-Expendable Trust War Memorial Maintenance Citizenship Cemetery Mausoleum Tricentennial Fund Trust Endowment Endowment Commission 39,950 $ 0 $ 0 $ 0 $ 0 0 16,985 208,293 24,231 3,823 39,950 $ 16,985 $ 208,293 $ 24,231 $ 3,823 ASSETS Total assets $ LIABILITIES AND FUND BALANCES Liabilities Accounts payable $ 41 $ 0 $ 0 $ 0 $ 0 Fund balances Unreserved Undesignated 39,909 16,985 208,293 24,231 3,823 Total liabilities and fund balances $ 39,950 $ 16,985 $ 208,293 $ 24,231 $ 3,823 116 Schedule 20 Agency Special Traffic Fire Court Assessment Signal Insurance PEGS Payroll Bond and Escrow Escrow Proceeds Access Clearing Restitution $ 132,531 $ 6,156 $ 5,677 $ 357 $ 25,738 $ 22,561 0 0 0 0 0 0 $ 132,531 $ 6,156 $ 5,677 $ 357 $ 25,738 $ 22,561 $ 132,531 $ 6,156 $ 5,677 $ 357 $ 25,738 $ 22,561 0 0 0 0 0 0 22,561 25,738 $ 6,156 $ 5,677 $ 357 $ $ 132,531 $ 117 cont. City of Salina, Kansas Schedule 20 Paee 2 EXPENDABLE TRUST, NON-EXPENDABLE TRUST AND AGENCY FUNDS COMBINING BALANCE SHEET December 3 1, 1999 (With comparative totals for the fiscal year ended December 31, 1998) Agency Total Police Fire Investigation Carn ASSETS Account Fund 1999 1998 Cash and investments $ 1,798 $ 4,383 $ 239,151 :& 238,656 Cash and investments - non-expendable trusts 0 0 253,332 234,428 Total assets $ 1,798 $ 4,383 $ 492,483 $ 473,084 LIABILITIES AND FUND BALANCES Liabilities Accounts payable $ 1,798 $ 4,383 $ 199,242 :& 21,967 Fund balances Unreserved Undesignated 0 0 293,241 451,117 Total liabilities and fund balances $ 1,798 $ 4,383 $ 492,483 $ 473,084 118 City of Salina, Kansas Schedule 21 WAR MEMORIAL MAINTENANCE EXPENDABLE TRUST FUND COMPARATIVE STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES For the fiscal years ended December 31, 1999 and 1998 1999 1998 1,959 $. 2,080 2,401 282 (442) 1,798 40,351 38,553 39,909 $. 40,351 Revenues Interest $ Expenditures Culture and recreation Excess of revenues over expenditures Fund balances, January 1 Fund balances, December 31 $ 119 City of Salina, Kansas NON-EXPENDABLE TRUST FUNDS COMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN FUND BALANCES For the fiscal year ended December 31, 1999 (With comparative totals for the fiscal year ended December 31, 1998) Citizenship Cemetery Trust Endowment Operating revenues Charges for services $ 0 $ 6,976 Operating expenses Other 0 35 Operating income 0 6,941 Nonoperating revenues Use of money and property 814 9,803 Net income 814 16,744 Fund balances, January 1 16,171 191,549 Fund balances, December 31 $ 16,985 $ 208,293 120 Schedule 22 Total Mausoleum Tricentennial Endowment Commission 1999 1998 $ 0 $ 0 $ 6,976 $ 6,8]6 0 0 35 35 0 0 6,94] 6,78] ],]62 ]84 ] 1,963 ] ],995 ],]62 ]84 ]8,904 ]8,776 23,069 3,639 234,428 2] 5,652 $ 24,23] $ 3,823 $ 253,332 $ 234,428 ]2] City of Salina, Kansas NONEXPENDABLE TRUST FUNDS COMBINING STATEMENT OF CASH FLOWS For the fiscal year ended December 31, 1999 (With comparative totals for the fiscal year ended December 31, 1998) Citizenship Cemetery Trust Endowment Cash flows from operating activities Cash received from customers $ 0 $ 6,976 Cash paid to suppliers 0 (35) Net cash provided by operating activities 0 6,941 Cash flows from investing activities Interest received 814 9,803 Net increase in cash and cash equivalents 814 16,744 Cash and cash equivalents, January 1 16,171 191,549 Cash and cash equivalents, December 31 $ 16,985 $ 208,293 Reconciliation of operating income to net cash provided by operating activities Operating income $ 0 $ 6,941 122 Schedule 23 Total Mausoleum Tricentennial Endowment Commission 1999 1998 $ 0 $ 0 $ 6,976 $ 6,816 0 0 (35) (35) 0 0 6,941 6,781 1,162 184 11,963 12,080 1,162 184 18,904 18,861 23,069 3,639 234,428 215,567 $ 24,231 $ 3,823 $ 253,332 $ 234,428 6,781 $ 0 $ 0 $ 6,941 $ 123 City of Salina, Kansas Schedule 24 AGENCY FUNDS COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES For the fiscal year ended December 3 I, 1999 Balance January 1, 1999 Additions Deductions Balance December 31, 1999 Special Assessment Escrow ASSETS Cash and investments $ 122,996 $ 9,535 $ 0 $ 132,531 LIABILITIES 9,535 $ 0 $ 132,531 Accounts payable $ 122,996 $ Traffic Signal Escrow ASSETS Cash and investments $ 5,861 $ 295 $ 0 $ 6,156 LIABILITIES Accounts payable $ 5,861 $ 295 $ 0 $ 6,156 Fire Insurance Proceeds ASSETS Cash and investments $ 23,653 $ 0 $ 17,976 $ 5,677 LIABILITIES Accounts payable $ 23,653 $ 0 $ 17,976 $ 5,677 124 City of Salina, Kansas Schedule 24 Pa2;e 2 AGENCY FUNDS COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES For the fiscal year ended December 31, 1999 Balance January 1, 1999 Additions Deductions Balance December 31, 1999 PEGS Access ASSETS Cash and investments $ 611 $ 0 $ 254 $ 357 LIABILITIES Accounts payable $ 611 $ 0 $ 254 $ 357 Payroll Clearing ASSETS Cash and investments $ 21,949 $ 19,651,509 $ 19,647,720 $ 25,738 LIABILITIES Accounts payable $ 21,949 $ 19,651,509 $ 19,647,720 $ 25,738 Court Bond and Restitution ASSETS Cash and investments $ 21,459 $ 126,338 $ 125,236 $ 22,561 LIABILITIES Accounts payable $ 21,459 $ 126,338 $ 125,236 $ 22,561 125 City of Salina, Kansas Schedule 24 Pal!e 3 AGENCY FUNDS COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES For the fiscal year ended December 3 I, 1999 Balance January 1, 1999 Additions Deductions Balance December 31, 1999 Police Investigation Account ASSETS 1,758 $ 40 $ 0 $ 1,798 Cash and investments $ LIABILITIES 1,758 $ 40 $ 0 $ 1,798 Accounts payable $ Fire Cam Fund ASSETS Cash and investments $ 0 $ 21,855 $ 17,472 $ 4,383 LIABILITIES Accounts payable $ 0 $ 21,855 $ 17,472 $ 4,383 Total - Agency Funds ASSETS Cash and investments $ 198,287 $ 19,809,572 $ 19,808,658 $ 199,20 I LIABILITIES Accounts payable $ 198,287 $ 19,809,572 $ 19,808,658 $ 199,201 126 City of Salina, Kansas GENERAL FIXED ASSETS 127 City of Salina, Kansas Schedule 25 COMPARATIVE SCHEDULE OF GENERAL FIXED ASSETS BY SOURCE December 31, 1999 and 1998 Total general fixed assets 1999 1998 $ 2,589,193 $ 2,589,193 11,329,266 11,250,757 3,056,336 1,119,804 10,479,659 9,885,555 $ 27,454,454 $ 24,845,309 General fixed assets Land Buildings Improvements other than buildings Machinery and equipment Investment in general fixed assets by source General fund Special revenue funds Capital projects funds Donations $ 17,066,225 1,231,512 9,137,467 19,250 $ 17,156,296 885,801 6,784,743 18,469 Total investment in general fixed assets $ 27,454,454 $ 24,845,309 128 This page left blank intentionally. City of Salina, Kansas SCHEDULE OF GENERAL FIXED ASSETS- BY FUNCTION AND ACTIVITY December 3 1, 1999 Function and Activity Land Buildings General government Manager $ 0 $ 0 Finance 0 0 Personnel 0 0 General services 19,302 101,612 Human relations 0 0 Bicentennial Center 0 5,298,330 Other 1,885,649 660,190 Total general government 1,904,951 6,060,132 Public safety Police 600 445,363 Municipal court 0 0 Fire 63,302 1,664,760 Inspection 0 0 Total public safety 63,902 2,110,123 Highways and streets Engineering 0 0 Maintenance 10,470 155,211 Planning 0 0 Total highways and streets 10,470 155,211 Culture and recreation 609,870 3,003,800 Total general fixed assets $ 2,589,193 $ 11,329,266 129 Schedule 26 Improvements Other Than Machinery Total Total Buildings and Equipment 1999 1998 $ 0 $ 113,328 $ 113,328 $ 111,187 0 214,434 214,434 205,287 0 35,937 35,937 32,009 260,616 387,400 768,930 697,393 0 19,964 19,964 19,558 85,348 1,835,892 7,219,570 7,205,500 1,365,492 94,183 4,005,514 2,640,265 1,711,456 2,701,138 12,377,677 10,911,199 53,820 1,430,938 1,930,721 1,801,966 0 63,258 63,258 57,243 0 2,806,859 4,534,921 4,436,430 0 77,816 77,816 77,487 53,820 4,378,871 6,606,716 6,373,126 0 169,217 169,217 133,868 721,687 1,549,877 2,437,245 1,719,172 0 119,675 119,675 107,952 721,687 1,838,769 2,726,137 1,960,992 569,373 1,560,881 5,743,924 5,599,992 $ 3,056,336 $ 10,479,659 $ 27,454,454 $ 24,845,309 130 City of Salina, Kansas SCHEDULE OF CHANGES IN GENERAL FIXED ASSETS - BY FUNCTION AND ACTIVITY For the fiscal year ended December 3 I, 1999 Function and Activity General Fixed Assets January 1, 1999 Additions $ 11 1,187 $ 2,141 205,287 9,147 32,009 3,928 697,393 103,926 19,558 406 7,205,500 14,070 2,640,265 1,365,249 10,911,199 1,498,867 General government Manager Finance Personnel General services Human relations Bi-Centennial center Other Total general government Public safety Police Municipal court Fire Inspection 1,801,966 57,243 4,436,430 77 ,487 208,753 6,015 134,605 329 Total public safety 6,373,126 349,702 Highways and streets Engineering Maintenance Planning Total highways and streets 133,868 35,349 1,719,172 784,835 107,952 11,723 1,960,992 831,907 5,599,992 166,577 $ 24,845,309 $ 2,847,053 Culture and recreation Total general fixed assets 131 Schedule 27 General Fixed Assets Interfund December 31, Deletions Transfers 1999 $ 0 $ 0 $ 113,328 0 0 214,434 0 0 35,937 32,389 0 768,930 0 0 19,964 0 0 7,219,570 0 0 4,005,514 32,389 0 12,377,677 79,998 0 1,930,721 0 0 63,258 56,259 20,145 4,534,921 0 0 77,816 136,257 20,145 6,606,716 0 0 169,217 56,030 (10,732) 2,437,245 0 0 119,675 56,030 (10,732) 2,726,137 2,500 (20,145) 5,743,924 $ 227,176 $ (10,732) $ 27,454,454 132 " This page left blank intentionally. STATISTICAL SECTION " This page left blank intentionally. Table 1 City of Salina General Government Expenditures by Functions (1) Last Nine Fiscal Years (2) Fiscal Year General Government Public Safety Public Works Culture and Recreation Community Public Health Development and Sanitation Debt Service Capital Outlay Other Total 1991 $ 1,487,342 $ 4,930,155 $ 1,227,758 $ 3,470,359 $ 369,179 $ 146,615 $ 2,299,444 $ 1,415,043 $ 6,362,182 $ 21,708,077 1992 1,463,391 5,381,008 1,422,210 3,320,552 339,084 138,733 2,768,149 1,530,150 6,337,016 22,700,293 1993 1,426,997 5,834,653 1,386,714 3,915,576 175,254 173,122 2,902,019 1,558,158 4,547,476 21,919,969 1994 1,069,325 6,735,353 1,332,977 3,821,310 441,307 525,026 2,772,819 2,796,288 4,533,986 24,028,391 1995 (3) 1,167,329 7,321,192 1,464,980 4,278,450 194,552 553,614 4,387,971 3,756,136 4,690,997 27,815,221 1995(4) 5,095,357 7,106,760 2,323,002 4,278,450 286,458 467,772 4,387,971 3,756,136 113,315 27,815,221 1996 5,400,526 7,492,967 2,631,025 4,111,277 473,245 474,604 3,302,600 4,261,039 29,561 28,176,844 1997 5,721,204 8,153,762 2,557,584 4,152,228 246,047 491,299 4,042,308 4,525,977 176,364 30,066,773 1998 7,319,381 7,825,422 2,211,719 4,623,063 260,548 512,818 2,858,079 3,181,300 374,840 29,167,170 1998(5) 2,558,564 9,992,478 3,528,366 4,151,582 2,158,385 632,766 2,858,079 3,286,950 - 29,167,170 1999 (6) 2,178,432 10,447,619 3,467,893 4,413,084 4,100,217 675,834 2,491,953 3,644,789 - 31,419,821 (1) Includes general, special revenue, and debt service funds, (2) Prior year expenditures are not available on a GAAP basis (3) Some Expenditures reclassified in 1995, This line presents the 1996 expenditures based on the 1994 and prior classification. In 1991 through 1995, Employee Benefits were classified as "Other", (4) Reflects the functional classification as presented in the 1995 and subsequent year schedules, From 1995 through 1998, Employee Benefits were classed as "General Government". (5) 1998 restated to 1999 Classification (6) In 1999, Culture, Recreation and Bi-centennial Center were combined into "C'.IIIIiJrp. ::!nn Rp.cre::!tion, Prior vears were summed into the new sinale --,,- __--n--__,,- ------ J ~ classification. Employee benefits were moved from the "Other" classification into the classification consistant with the salaries classification associated with the benefits. Finally, expenditures previously classified as "Other" were placed in more appropriate and descriptive classes, 1999 Expenditures Capital Outlay 12% Debt Service 8% Public Health and Sanitation 2% General Government 7% Public Safety 33% Community Development 13% Culture and Recreation 14% 133 City of Salina General Government Revenues by Source (1) Table 2 Last Nine Fiscal Years (2) Fiscal Fees and Special Year Taxes Interqovernmental Charqes Assesments Other Revenues Total 1991 $ 13,019,231 $ 2,623,225 $ 2,682,505 $ 726,245 $ 2,077,632 $ 21,128,838 1992 13,897,325 2,756,614 2,416,921 881,231 1,637,194 21,589,285 1993 15,479,559 2,769,828 3,174,444 940,487 1,847,012 24,211,330 1994 16,153,904 3,305,815 3,089,651 868,202 2,402,460 25,820,032 1995 17,138,776 3,170,244 3,585,877 1,012,596 2,708,038 27,615,531 1996 17,557,494 3,342,888 3,160,771 1,191,772 2,859,223 28,112,148 1997 18,416,347 3,197,436 3,197,039 1,127,400 2,153,460 28,091,682 1998 19,364,939 3,208,793 5,057,608 1,050,242 1,951,707 30,633,289 1998 (3) 19,364,939 4,050,492 2,137,769 974,648 3,899,387 30,427,235 1999 21,314,633 4,383,281 2,068,329 1,086,557 4,257,563 33,110,363 (1) Includes General, Special Revenue, and Debt Service Funds. Capital Projects and Fiduciary funds are excluded. (2) Expenditures prior to 1991 are not available on a GAAP Basis (3) Restated to 1999 Classification. Difference in total is due to restatement of interfund transfers ---------,----' ~---" ----",-----' 1999 Revenue By Source Other Revenues 13% Special Assesments 3% Fees and Charges 0---- 6% Inter- governmental 10% _--nO- -- --- ,,--- , ,,~------,,- 134 City of Salina General Government Tax Revenues by Source (1) Table 3 Last Eight Fiscal Years (2) Fiscal Transient Year Property Taxes Sales Tax Franchise Tax Guest Tax Total 1991 $ 5,296,226 $ 5,916,537 $ 1,509,053 $ 297,415 $ 13,019,231 1992 5,607,496 6,287,513 1,537,171 465,145 13,897,325 1993 5,818,511 7,480,113 1,680,385 500,550 15,479,559 1994 6,065,013 7,769,917 1,756,528 562,446 16,153,904 1995 6,502,855 8,302,428 1,739,323 594,170 17,138,776 1996 6,690,485 8,446,809 1,836,694 583,506 17,557,494 1997 6,945,943 8,948,067 1,929,622 592,715 18,416,347 1998 6,995,943 9,687,988 1,950,520 730,488 19,364,939 1999 7,656,282 10,991,973 1,920,067 746,311 21,314,633 ----", ,----- --- Tax Revenues by Source $- Sales Tax Property Taxes $12,000,000 $10,000,000 $8,000,000 $6,000,000 $4,000,000 $2,000,000 Y 1995 1996 1997 ear 1998 1999 Transient Guest Tax ------ (1) Includes General, special revenue and Debt Service Funds (2) Prior Year Expenditures are not available on a GAAP basis 135 City of Salina Property Tax Levies and Collections Table 4 Last 10 Fiscal Years Percent of Delinquent Ratio of Total Fiscal CurrentTax Current Taxes Tax Total Tax Tax Collections Year Total Tax Levy Collections Collected Collections Collections to Tax Levy 1990 $ 4,693,317 $ 4,394,623 93.6% $ 104,504 $ 4,499,127 95.9% 1991 4,502,345 4,317,229 95.9% 5,744 4,322,973 96.0% 1992 4,783,117 4,491,134 93.9% 83,939 4,575,073 95.7% 1993 4,882,255 4,696,707 96.2% 194,448 4,891,155 100.2% 1994 4,858,543 4,673,374 96.2% 227,331 4,900,705 100.9% 1995 5,230,834 5,192,453 99.3% 97,615 5,290,068 101.1% 1996 5,534,222 5,411,474 97.8% 107,250 5,518,724 99.7% 1997 5,772,414 5,689,316 98.6% 133,171 5,822,487 100.9% 1998 6,081,748 5,976,840 98.3% 114,028 6,090,868 100.1% 1999 6,416,832 6,269,408 97.7% 140,976 6,410,384 99.9% ---" Percent of Property Taxes Collected 102.0% 94.0% 100.0% 98.0% 96.0% 92,0% 90.0% 88.0% 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 -- . --" -, ' Percent of Current Ta!es Collected - ~ ::--Ratio of Total Tax Collections to Tax Levy j L__,_. ----~_.". 136 City of Salina Assessed and Estimated Actual Value of Property Last Ten Fiscal Years Table 5 Assessed Value Ratio of Assessed Total, Assessed Estimated Total Value to Estimated Fiscal Year Real Estate Personal Property State Assessed Motor Vehicle Value Market Value Market Value 1990 $ 125,389,311 $ 13,454,685 $ 11,094,235 $ 35,096,364 $ 185,034,595 $ 1,026,844,668 18,02 1991 134,834,179 14,314,162 11,208,262 34,515,855 194,872,458 1,075,575,019 18.12 1992 135,267,866 16,751,713 11,545,541 35,803,591 199,368,711 1,105,026,368 18.04 1993 (2) 129,632,717 22,447,713 12,849,722 37,569,816 202,499,968 1,175,493,628 17.23 1994 145,239,331 22,678,728 14,272,658 41,805,765 223,996,482 1,314,830,748 17.04 1995 166,462,923 24,890,665 12,528,204 42,981,776 246,863,568 1,482,502,705 16.65 1996 175,997,879 25,550,448 12,708,970 43,786,794 258,044,091 1,551,794,365 16.63 1997 196,360,843 26,279,996 13,954,569 43,994,555 280,589,963 1,716,987,425 16,34 1998 213,488,582 27,534,811 12,909,972 44,924,849 298,858,214 1,850,244,169 16.15 1999 226,207,727 28,786,094 14,122,529 45,371,433 314,487,783 1,953,641,509 16.10 $350,000,000 Change in Assessed Value $300,000,000 $250,000,000 $200,000,000 $150,000,000 $100,000,000 1990 1991 1992 1993 (2) 1994 1995 1996 1997 1998 1999 (1) On November 3, 1992, voters in the State of Kansas approved a proposition to amend the Kansas Constitution regarding property classification and assessment rates. This amendment established three new property sub-classifications with decreased assessment ratios, 137 City of Salina Principal Taxpayers 1999 Taxpayer Type of Business Schwan's Sales Warmack, Salina Partnership Western Resources Southwestern Bell Wal-Mart Stores, Inc. Kansas Gas Service Salina Regional Health Center Sunset Plaze, Inc Dillon's Great Plains Manufacturing Pizza Manufacturing Retail Shopping Mall Electric and Gas Telephone Utility Discount Retail Stores Utility Hospital and Medical Offices Retail Development Supermarket Manufacturing Combined Valuation of the Ten Largest Taxpayers Percent of Total City Assessed Valuation (1) (1) Assessed value includes amount attributed to Motor Vehicles 138 Table 6 1998 Assessed % ofT otal Valuation Valuéltion $ 6,766,642 2.26% 5,862,083 1.96% 5,476,810 1.83% 5,117,625 1.71% 2,813,976 0.94% 2,518,810 0.84% 2,322,069 0.78% 2,102,808 0,70% 1,764,292 0.59% 1,712,038 0.57% 36,457,153 12.20% Fiscal (Budget) Year 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 City of Salina Property Tax Rates Direct and Overlapping Governments Last Ten Fiscal Years Table 7 City of Salina Saline County USD 305 (2) Other (1) Total Operating Debt Service Total City Operating Debt Service Total County Operating Debt Service Total USD Millage Millage Millage Millage Millage Millage Millage Millage Millage Other 22.643 26.357 22.764 22.114 22,910 18.555 15.812 20.692 21.587 19.382 7.372 3.671 7.064 7.735 6.551 10.154 11.130 5.013 3,683 5.494 150 140 30.015 30.028 29,828 29.849 29.461 28.709 26.942 25,705 25.270 24.876 19.074 20,122 20.464 21.718 24,562 26.571 20.940 18.141 19.497 23.187 19.074 20,122 20.464 21.718 24.562 26.571 22.925 18.141 20.488 23.187 72.065 76.378 80,343 40.301 37.353 39.357 39,368 36.892 35.001 38.698 4.427 3,094 3.029 3.581 3,332 3.044 2.944 2,637 1.839 17,623 1.985 0.991 Overlapping Mill Levy Rate for Salina Kansas 76.492 79.472 83.372 43.882 40.685 42.401 42.312 39.529 36.840 56.321 130 120 110 100 90 80 1990 1991 1992 .""., ""'" .""r: "",.... .""t> ""'V .""7 """ .""A ""'.. (1) The "Other" column includes the State of Kansas, the Salina Airport Authority, and the Salina Public Library. . "no ,""""V _1~ 5.599 5.818 6.074 6.557 8,521 8.265 8.340 8.433 9.869 9.444 131.180 135.440 139.738 102.006 103.229 105.946 100,519 91.808 92.467 113.828 (2) A small portion of Salina is covered by USD 306, USD 307, or USD 400, Total Tax Rates are different in the areas covered by these jurisdictions. 139 $1,200,000 $1,000,000 $800,000 $600,000 $400,000 $200,000 Fiscal Year 1990 $ 1991 1992 1993 1994 1995 1996 1997 1998 1999 City of Salina Special Assesment Billings and Collections Last Ten Fiscal Years Special Assessment Billings 647,655 $ 807,452 721,334 694,497 697,015 919,364 1,139,672 985,885 983,383 1,122,307 Special Assessment Collections 837,604 656,104 808,886 873,850 793,190 883,807 1,131,852 1,048,863 974,648 1,086,557 Table 8 Ratio of Total Special Assessments Collections to Total Assessments Levied 1.29 0.81 1.12 1.26 1.14 0.96 0.99 1.06 0.99 0.97 Special Assessment Billings and Collections 1. Includes prepayments and delinquent collections. $- 1990 1991 1992 1993 1994 1995 1996 1997 Llil Sp~ial ~sessm-.:~~B~~iI~__~ ~p.:.c~al~,~~e~~~~~! ~Ollecti~~ 140 1998 1999 City of Salina Computation of Legal Debt Margin December 31, 1999 Assessed Valuation (1) Legal Debt Margin: Debt Limit: 30% of Assessed Valuation (2) Debt Applicable to Limitation: Total Bonded Debt Less: Revenue Bonds Fund Balance Designated for Debt Service Total Debt Applicable to Limitation Legal Debt Margin Table 9 $ 314,487,783 94,346,335 41,401,930 14,649,400 779,992 25,972,538 68,373,797 1. Assessed valuation for the purposes of calculating the debt limitation includes the valuation attributable to Motor Vehicles, 141 City of Salina Ratio of Net General Obligation Bonded Debt To Assessed Value and Net General Obligation General Obligation Bonded Debt Per Capita Table 10 Fiscal Year Population (1 ) Assessed Value (2) Less Debt Gross Bonded Service Fund Debt (3) (4) Ratio of Net Bonded Debt to Net Bonded Net Bonded Assessed Debt Per Debt Value Capita 1989 42,188 $ 148,269,379 $ 6,323,473 $ 237,897 $ 6,085,576 1990 42,303 185,034,595 5,801,642 344,280 5,457,362 1991 42,510 194,872,458 8,004,443 304,252 7,700,191 1992 42,841 199,368,711 8,795,864 333,505 8,462,359 1993 43,202 202,499,968 9,478,791 539,887 8,938,904 1994 43,304 223,996,482 7,854,994 797,083 7,057,911 1995 (1) 43,304 246,863,568 8,465,000 1,024,020 7,440,980 1996 (1) 44,167 258,044,091 10,211,899 1,052,539 9,159,360 1997 44,510 280,589,963 10,184,658 867,759 9,316,899 1998 (2) 44,176 298,858,214 8,453,558 741,310 7,712,248 1999 44,022 314,487,783 10,877,094 779,992 10,097,102 ~ -~------- , Per Capita General Obligation Debt 4.10 $ 2.95 3.95 4.24 4.41 3.15 3.01 3.55 3.32 2.58 3.21 144.25 129,01 181.14 197.53 206.91 162,99 171.83 207.38 209,32 174,58 229.36 -,- ---- $300.00 $50.00 $250,00 $200.00 $150,00 $100,00 1989 1990 1991 1992 1993 1994 1995 (1) 1996 (1) 1997 1998 (2) 1999 1. Population estimates are based on the 1980 and 1990 Census, except 1995 through 1997 are staff estimates based on the 7/01/94 Census Bureau estimate. The 1998/1999 estimates are based on the 7/1 estimate issued by Kansas State Divisionof the budget. 2. From Table 5. 3. Outstanding Debt amounts reflect portion of the outstanding debt for which general taxes will be required. This excludes revenue bonds, GO obligations for which other revenue has been pledged, and obligations for which special assessments will be levied, Prior to 1998, this included some bonds for which Solid Waste Revenues were pledged. These were removed from the calculation in 1998. 4. Amount available for repayment of General Obligation Bonds. 142 City of Salina Ratio of Annual Debt Service Expenditures For General Obligation Bonded Debt (1) To Total General General Governmental Expenditures Last ten Fiscal Years Table 11 Total General Ratio of Debt Service to Governmental General Governmental Fiscal Year Principal Interest (2) Total Debt Service Expenditiures (3) Expenditures (3) 1990 $ 967,434 $ 431,955 $ 1,399,389 1991 949,898 398,197 1,348,095 $ 21,708,077 6,21% 1992 1,037,112 541,560 1,578,672 22,700,293 6.95% 1993 1,556,156 497,961 2,054,117 21,919,969 9.37% 1994 1,459,185 368,250 1,827,435 24,028,391 7.61% 1995 1,530,037 386,943 1,916,980 26,228,037 7.31% 1996 1,229,378 305,808 1,535,186 27,541,282 5.57% 1997 2,549,984 443,461 2,993,445 30,036,763 9,97% 1998 1,563,421 320,010 1,883,431 29,142,189 6.46% 1999 1,044,187 361,209 1,405,396 31,417,420 4.47% Ratio of General Debt Service to General Government Expenditures 0.12 0.1 0.08. I ! 0.06 0.04. 0.02. O. 1990 1991 1992 1993 1994 1995 1996 1997 1998 I 1999 i --_J ---~--"--~ (1) Excludes special assessment debt with government commitment. (2) Excludes bond issuance and other costs, (3) Includes general, special revenue, and debt service funds. GAAP basis information not available prior to 1991. 143 City of Salina Computation of Direct and Overlapping Bonded Debt General Obligation Bonds December 31, 1998 Jurrisdiction Net General Obligation Bonded Debt Outstanding Percentage Amount Applicable to City Applicable to the of Salina City of Salina Direct: City of Salina 100% $ 7,712,248 $ 7,712,248 Overlapping: Salina Airport Authority Saline County USD 305 6,170,000 1,415,000 60,800,000 100% 74% 92% 6,170,000 1,048,232 55,753,600 Total 76,097,248 70,684,080 m______- w- Overlapping Debt, City of Salina City of Salina 11% USD 305 79% 142 Table 12 Salina Airport Authority 9% Saline County 1% Fiscal Operatinq Year Revenues (1) 1990 $ 6,158,140 $ 1991 6,774,391 1992 7,131,392 1993 8,171,545 1994 9,402,506 1995 9,993,020 1996 10,506,646 1997 10,442,409 1998 11,495,756 1999 10,753,843 --- 3.75 3.50 3.25 3.00 2.75 2.50 2.25 2,00 1.75 1.50 1.25 1.00 0.75 0.50 0.25 0.00 City of Salina Revenue Bond Coverage Water and Sewer Fund Last Ten Fiscal Years Table 13 Debt Service Requirements Net Revenue Operatinq Available for Debt Expenses(2) Service Principal Interest Total Coveraqe 4,002,486 $ 2,155,654 $ 275,000 $ 519,009 $ 794,009 2.71 4,270,897 2,503,494 220,000 542,944 762,944 3.28 4,371,446 2,759,946 265,000 517,915 782,915 3.53 4,350,228 3,821,317 670,000 1,681,527 2,351,527 1.63 5,266,865 4,135,641 805,000 1,614,122 2,419,122 1.71 5,879,776 4,113,244 880,000 1,588,797 2,468,797 1.67 7,147,082 3,359,564 955,000 1,527,953 2,482,953 1.35 6,714,541 3,727,868 1,015,000 1,483,493 2,498,493 1.49 6,836,006 4,659,750 660,000 924,598 1,584,598 2.94 7,399,094 3,354,749 700,000 876,793 1,576,793 2.13 1990 1991 ---- (1) Excludes interest income (2) Excludes Depreciation 1992 1994 1995 1996 1998 1999 1997 1993 145 J!! "§ 650 CI) a. Õ :;; ~ 550 :::J z City of Salina Property Value and Construction Last Ten Fiscal Years Fiscal Year 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 Total Property Value (Thousands) 1,026,845 1,075,575 1,105,026 1,175,494 1,314,831 1,482,502 1,551,794 1,716,987 1,850,244 1,953,642 $ Number and Value of Building Permits Issued 950 850 750 450 350 250 1990 1991 1993 1992 Estimated Value of Permits Issued 36,469,096 22,665,785 25,283,947 36,411,632 38,667,261 34,156,955 55,369,816 41,528,712 42,830,543 35,795,980 Permits Issued 497 $ 562 598 628 694 759 832 725 757 772 1994 1998 1999 1995 1996 1997 ¡.:.::..u ~~nnitslssued --+- Esi¡;;:'-~ted Valu~ of Permits Issued i 146 . 61,000,000 51,000,000 41 ,000,000 ~ E :;; a. Õ CI) 31,000,000 ~ > "'C CI) 1;; E 21,000,000 ;n 11,000,000 . 1,000,000 Table 14 City of Salina Demographic Analysis Last 10 Fiscal Years Table 15 Labor Force, Per Capita Income School Enroiliment Unemployment Saline County Fiscal Year Population (1) Saline County (2) Median Age (3) (4) Rate (5) (5) 1990 42,303 $ 19,898,00 33.1 7,333 4.1 28,454 1991 42,510 20,047 32.4 7,489 4.2 29,356 1992 42,841 21,006 32,7 7,687 3.8 30,409 1993 43,202 21,317 33,3 7,661 4.6 28,549 1994 43,304 22,606 33.5 7,243 4.6 28,093 1995 43,304 23,528 33,5 7,229 4.4 29,312 1996 44,167 25,049 33.5 7,316 3.7 29,281 1997 44,510 26,422 33,5 7,307 3.6 28,875 1998 44,176 NA 33.5 7,257 3.5 29,262 1999 44,022 NA 33.5 7,347 3.6 30,310 50,000 Q) 45,000 (,) ... 0 LL ... 40,000 0 .c C'C ..J - c:: .2 35,000 .... ~ ::J C. 0 Co 30,000 25,000 ---~ I I t Population, labor Force, and School Enrollment 8,000 7,500 .... c:: Q) E 0 ... c:: w 7,000 6,500 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 =--~~~?'~ Force, Saline County (5) - .. - School EmolUment (4) I I Ellm-~oPulation (1) ~_. ._m,_,,__- Data Sources: 1) Population estimates are based on the 1980 and 1990 Census, except 1995 is based on the 7/01/94 Census Bureau Est. (2) U.S. Department of Commerce, Bureau of Economic Analysis. 1998 is a staff projection. (3) Salina Chamber of Commerce. (4) U.S.a. 305, Full Time Equivelancy (5) Kansas Department of Human Resources 147 This page left blank intentionally. " SPECIAL REPORTS SECTION 234 South Main PO, Box 1020 Ottawa, Kansas 66067 (785) 242-3170 (785) 242-9250 FAX ~ Àg I~L~g~~ 2~~~! n~5HARTERED Vol. Keith Gaedden Lucille L. Hlnderlite: Raymond I:: Meyw REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS ON COMPLIANCE AND ON INTERNAL CONTROL OVER FINANCIAL REPORTING BASED ON AN AUDIT OF GENERAL PURPOSE FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS Honorable Mayor and City Commissioners City of Salina, Kansas We have audited the general purpose fmancial statements of City of Salina, Kansas, as of and for the year ended December 31, 1999, and have issued our report thereon dated May 12,2000. We conducted our audit in accordance with generally accepted auditing standards and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Compliance As part of obtaining reasonable assurance about whether the City's general purpose financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts and grants, noncompliance with which could have a direct and materia] effect on the determination of financial statement amounts, However, providing an opinion on compliance with those provisions was not an objective of our audit and, accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance that are required to be reported under Government Auditing Standards. Internal Control Over Financial Reporting In planning and performing our audit, we considered the City's internal control over financial reporting in order to determine our auditing procedures for the purpose of expressing our opinion on the general purpose financial statements and not to provide assurance on the internal control over financial reporting. Our consideration of the internal control over fmancial reporting would not necessarily disclose all matters in the internal control over financial reporting that might be material weaknesses, A material weakness is a condition in which the design or operation of one or more of the internal control components does not reduce to a relatively low level the risk that misstatements in amounts that would be material in relation to the general purpose financial statements being audited may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions. We noted no matters involving the internal control over financial reporting and its operation that we consider to be material weaknesses. However, we noted other matters involving the internal control over financial reporting that we have reported to the management of the City of Salina, Kansas in a separate letter dated May 12,2000. This report is intended solely for the information and use of the City Commission, management, various federal and state awarding agencies, and the Kansas Department of Administration, Division of Accounts and Reports and is not intended to be and should not be used by anyone other than these specified parties. May 12, 2000 1fL <>J ø ~ (Jig Â ~+A INPACT 148 ~~f"::~~~~: 66DC' ~ Àg I~ L~g ~~2~~~! n~s HARTERED L:;;I~C~h H~':~~'::~:' (785) 242-3170 r-\.U Raymond E Meye' (785) 242-g25iJ.{~ÞORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNT ANTS ON COMPLIANCE WITH REQUIREMENTS APPLICABLE TO EACH MAJOR PROGRAM AND INTERNAL CONTROL OVER COMPLIANCE IN ACCORDANCE WITH OMB CIRCULAR A-133 Honorable Mayor and City Commissioners City of Salina, Kansas Compliance We have audited the compliance of the City of Salina, Kansas, with the types of compliance requirements described in the Us. Office of Management and Budget (OMB) Circular A-I33 Compliance Supplement that are applicable to each of its major federal programs for the year ended December 31, 1999. The City's major federal programs are identified in the summary of auditor's results section of the accompanying Schedule of Findings and Questioned Costs. Compliance with the requirements of laws, regulations, contracts and grants applicable to each of its major federal programs is the responsibility of the City's management. Our responsibility is to express an opinion on the City's compliance based on our audit. We conducted our audit of compliance in accordance with generally accepted auditing standards; the standards applicable to fmancial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; and OMB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations. Those standards and OMB Circular A-133 require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the types of compliance requirements referred to above that could have a direct and material effect on a major federal program occurred. An audit includes examining, on a test basis, evidence about the City's compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion. Our audit does not provide a legal detennination on the City's compliance with those requirements. In our opinion, the City of Salina, Kansas, complied, in all material respects, with the requirements re1èrred to above that are applicable to each of its major federal programs for the year ended December 31,1999. Internal Control over Comvliance The management of the City of Salina, Kansas is responsible for establishing and maintaining effective internal control over compliance with requirements of laws, regulations, contracts and grants applicable to federal programs. In planning and perfonning our audit, we considered the City's internal control over compliance with requirements that could have a direct and material effect on a major federal program in order to detennine our auditing procedures for the purpose of expressing our opinion on compliance and to test and report on the internal control over compliance in accordance with OMB Circular A-133. Our consideration of the internal control over compliance would not necessarilý disclose all matters in the internal control that might be material weaknesses. A material weakness is a condition in which the design or operation of one or more of the internal control components does not reduce to a relatively low level the risk that noncompliance with applicable requirements of laws, regulations, contracts and grants that would be material in relation to a major federal program being audited may occur and not be detected within a timely period by employees in the nonnal course of perfonning their assigned functions. We noted no matters involving the internal contTol over compliance and its operation that we consider to be material weaknesses. ~~ ~+IÂ' INPACT 149 Schedule of Exvenditures of Federal Awards We have audited the general purpose financial statements of the City of Salina, Kansas as of and for the year ended December 31, 1999, and have issued our report thereon dated May 12,2000. Our audit was performed for the purpose of fonning an opinion on the general purpose financial statements taken as a whole. The accompanying Schedule of Expenditures of Federal Awards is presented for purposes of additional analysis as required by OMS Circular A-133 and is not a required part of the general purpose financial statements. Such infonnation has been subjected to the auditing procedures applied in the audit of the general purpose fmancial statements and, in our opinion, is fairly stated, in all material respects, in relation to the general purpose financial statements taken as a whole. This report is intended solely for the infonnation and use of the City Commission, management, various federal and state awarding agencies, and the Kansas Department of Administration, Division of Accounts and Reports and is not intended to be and should not be used by anyone other than these specified parties. May 12,2000 Ar cJ ~ ~ / cl ;;;t::¡/ 150 City of Salina, Kansas SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS For the fiscal year ended December 31, 1999 Federal Grantor/ Pass Through Grantor/ Program Title Federal CFDA Number U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT Passed throueh Kansas Department of Commerce and Housine Small Cities CDBG - Comprehensive Development Project Small Cities CDBG - Economic Development Project Emergency Shelter Grant HOME Grant - Comprehensive Development Project HOME Grant 14.228 14.228 14.231 14.239 14.239 Direct Fair Housing Assistance Program 14.401 Total US Department of Housing and Urban Development U.S. DEPARTMENT OF INTERIOR Passed throueh Kansas State Historical Society National Register Nomination Masonic Temple, Salina, KS 15.904 U.S. DEPARTMENT OF JUSTICE Local Law Enforcement Block Grant Local Law Enforcement Block Grant COPS Universal Hiring Award 16.592 16.592 16.710 Total US Department of Justice TOTAL EXPENDITURES OF FEDERAL AWARDS Grant Number 96-CP-005 98-IN-009 S-98-DC-20-000 I 96-CP-005 M-98-SG-20-0 125 FF207K987004 20-98-13119-005 97-LB-YX-2536 98-LB- YX-2536 97-UM-WX-0549 - Expenditures $ 25,780 492,430 55,432 56,410 51,609 64,712 746,373 1,170 3,392 37,610 44,742 85,744 $ 833,287 NOTE A: The City follows the modified accrual basis of accounting in preparing this schedule. This method is consistent with the preparation of the City's financial statements. NOTE B: The City did not receive any non-cash awards during the fiscal year. 151 City of Salina, Kansas SCHEDULE OF FINDINGS AND QUESTIONED COSTS Year ended December 31, 1999 SUMMARY OF AUDITORS' RESULTS 1. Type of report issued on fmancial statements: 2. Reportable conditions in internal control over the financial statements: 3. Were any reportable conditions noted in 2 above reported as a material weakness: 4. Material noncompliance disclosed: 5. Reportable conditions in internal controls over major programs: 6. Were any reportable conditions noted in 5 above reported as a material weakness: 7. Type of report on major program compliance: 8. Audit disclosed audit findings required to be reported under Circular A-133 paragraph 510(a): 9. Major Programs: Programs CFDA Small Cities CDBG Small Cities CDBG 14.228 14.228 See Schedule of Expenditures of Federal Awards for additional details. 10. Threshold used to distinguish between Type A and Type B programs: 11. Auditee qualified as a low-risk auditee: 152 $ Unqualified No No No No No Unqualified No Expenditures 25,780 492,430 $ 300,000 Yes