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Audit - 1995City of Salina, Kansas Comprehensive Annual Financial Report For the fiscal year ended December 31, 1995 Prepared By: Department of Finance and Administration Rodney Franz Director City of Salina, Kansas Comprehensive Annual financial Report For the Fiscal Year Ended December 31, 1995 Table of Contents Introductory Section Page Letter of Transmittal 1 Organizational chart 9 List of Principal Officials 11 Financial Section 13 Financial Statements Table of Contents 17 Report of Independent Certified Public Accountants F -1 Statistical Section After F -133 General Government Expenditures by Function S -1 General Government Revenues by Source S-2 General Government Tax Revenues by Source S -3 Property Tax Levies and Collections S -4 Assessed and Estimated Actual Value of Property S -5 Principal Taxpayers S -6 Property Tax Rates, Direct and Overlapping Governments S -7 Special Assessment Billings and Collections S -8 Computation of the Legal Debt Margin S -9 Ratio of Net General Obligation Bonded Debt to Assessed Valuation and Net S -10 Bonded Debt per Capita Ratio of Annual Debt Service Expenditures for General Obligation Bonded S -11 Debt to Total General Government Expenditures Computation of Direct and Overlapping Bonded Debt S -12 Revenue Bond Coverage S -13 Property Value, Construction and Bank Deposits S -14 Demographic Statistics S -15 This page intentionally left blank INTRODUCTORY SECTION This page intentionally left blank September 4, 1996 To the Citizens of the City of Salina, Kansas The Comprehensive Annual Financial Report of the City of Salina, Kansas (the "City ") for the year ended December 31, 1995, 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 financial 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 financial activities have been included. The Comprehensive Annual Financial Report is presented in three sections: introductory, financial 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 financial statements as well as the combined, combining, individual fund and account group financial statements and schedules, and the independent auditor's report on the financial statements and schedules. The statistical section includes selected financial and demographic information, generWy presented on a multi-year basis. The City is required to undergo an annual single audit in conformity with the provisions of the Single Audit Act of 1984 and U.S. Office of Management and Budget Circular A -128, Audits of State and Local Governments. Information related to this single audit, including the schedule of federal financial assistance and the independent auditors' reports on the internal control structure and compliance with applicable laws and regulations, is included in a fourth section. This report includes all funds and account groups of the City. The City provides a full range of services 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 1995, the City experienced a year of solid growth in several areas and continued to solidify its standing as the regional trade center for north central and north west Kansas. Building on growth in recent years, retail expansion continued to be significant in the community, particularly in the I -70 and South 9t' Street commercial corridors. A total of 47 new business building permits were issued. New retail facilities included: McDonald's (2), a 49 unit Super 8 motel, Denny's Restaurant, Sonic Drive In, the Bennington State Bank, a Cotton Patch Restaurant, Wendy's, Taco Bell, True Value Hardware, and a significant expansion to the Bosselman Truck Plaza. New retail establishments added approximately 300 jobs to the local economy during 1995. In addition, the Santa Fe Medical Plaza, a major medical office building was completed across from the Salina Regional Health Center in the Downtown business district. The activity in the housing industry continued unabated in 1995 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 122 new single - family homes were started in 1995 with the pace expected to continue at this level or higher through 1996. In 1995, builders started 4 new subdivisions with 286 developable lots to help increase the availability of building lots. 5 more are scheduled for completion in 1996. In addition to single family homes, an application to develop a 144 unit apartment complex was approved, with construction scheduled to commence in 1996. Several industries in Salina are making major expansions to their facilities. Construction began in 1995 on a $10.4 million 197,000 square foot military project located at the Salina Airport Industrial Center. This major expansion to the Kansas Regional Training Center will provide improved facilities for specialized training to Army, National Guard, and Army Reserve personnel. The facility conducted over 88,000 man -days of training in 1995. Despite Department of Defense downsizing, the Salina facility is expected to grow as other smaller sites are eliminated across the country. Philips Lighting Company's Salina facility, which is the world's largest fluorescent light manufacturing plant, acheived international recognition for meeting ISO 9002 quality assurance standards. Phillips recently added a new multi - million dollar production line to its operation in Salina. Phillips also announced another $50 million expansion, scheduled for construction in 1996. Crestwood, Inc., a manufacturer of custom built cabinetry is constructing a new 165,000 square foot manufacturing facility, replacing its current Salina plant and adding 50 jobs to its present complement of 130 employees. Archer- Daniels - Midland announced its planned construction of a new 76,000 square foot fabrication shop, warehouse, and office facility. Salina houses the engineering and technical group services for the ADM Milling Division, serving 60 sites in the U,S., Canada, and Mexico. Great Plains Manufacturing, a maker of agricultural equipment, moved its headquarters to its newly constructed 25,000 square foot office building in 1995, adjacent to one of its manufacturing plants. The company employs 1,200 at several sites throughout the country. Major Initiatives The City continued its efforts to meet federal environmental regulations at its solid waste landfill. In 1995 the City completed closure of the pre -1994 landfill cell, and opened the second lined cell. The estimated useful life of the landfill is 40 to 60 years. Cell # 3 is scheduled for Construction in 1998, with Cell # 2 scheduled to close in 1999. In 1996, the City, Saline County and the State of Kansas will combine to improve and widen Schilling Road and construct a major stormwater interceptor to protect key commercial and residential areas of South Salina. The City's share of the $2,294,000 project is $370,000. The intersection of 9"' Street and Broadway Boulevard is scheduled for reconstruction in 1996 at a cost of $1,220,000. This is a major access point to the South Ninth Commercial and Industrial Districts, as well a major access for the south residential area. These improvements should improve traffic flow and increase safety in the area. The City is also in the midst of a multi -year project to improve major roadways in the southwest part of the city. Work has begun on a new interchange at I -135 and Magnolia Street. Local finding of approximately $5.,000,000 will be matched with federal funds to improve access to a major retail area of the city and to Kansas State University - Salina and the Airport Industrial Center. Additional road and bridge projects are also planned to improve access to the Airport Industrial Center. The Oakdale Park soundstage, a public /private partnership, was completed in 1995, providing a significant enhancement to the recreational and cultural life of the community. In addition, construction was completed on the Pedestrian/Bicycle path along the Smoky Hill River Water and Wastewater Improvements remain an important component of the Capital Improvements ]Program, with the construction of the Schilling Water Tower and improvements totaling $1,500,000 along Water Well road being completed. In addition, a series of wastewater pump stations are being replaced throughout the City with an improved, lower maintenance design at a total cost of $2,465,000. The City's Capital Improvement Plan for 1996 -2000 itemizes projects totaling $41,911,200. The plan is updated each year, just prior to the operating budget process. Financial Overview Actions taken since 1992 have set the stage for what looks to be long -term financial stability for the City. These actions, combined with a strong economy, have allowed the City to replenish its fund balances and utilize more pay -as- you -go financing for capital improvements. Fund balances related to general government operation funds went from $6,209,178 at the end of 1994 to $6,894,620 at the end of 1995. The most important factor contributing to this increase was sales tax collections, which increased by $564,869, an overall growth of 7.2 %. The City also established the rates needed to fund enterprise fiord activities. Water rates were increased by 5% on January 1,1995 while Sewer rates were increased by 4% on July 1, 1995. Tipping fees for the landfill were maintained at $16 per ton through 1995, however, capital improvements in 1995 for the landfill will likely require an increase in rates in early 1996. 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. Single Audit. As a recipient of Federal, State and County financial assistance, the City also is responsible for insuring that an adequate internal control structure is in place to ensure compliance with applicable laws and regulations related to those programs. This internal control structure is subject to periodic evaluation by management. As part of the City's single audit, described earlier; tests are made to determine the adequacy of the internal control structure, including that portion related to federal financial assistance programs, as well as to determine that the City has complied with applicable laws and regulations. The results of the City's single audit for the year ended December 31, 1995 provided no instances of material weaknesses in the internal control structures or significant violation of applicable laws and regulations. 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 level of budgetary control is maintained at the department level by the encumbrance of estimated purchase amounts prior to the release of purchase orders to vendors. Open encumbrances are reported as reservations of fund balance at December 31, 1995 in the general fund and the special revenue fund. 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. General Government Functions Shown below are the December 31 actual budgetary basis fund balances in the city's tax supported funds for 1992, 1993, 1994, and 1995. Fund 1992 1993 1994 1995 General $2,184,753 $3,357,127 $4,313,622 $4,243,971 Employee Benefits 233,717 539,590 810,223 $1,199,369 Utility 99,364 121,696 236,111 $348,790 Special Liability 24,563 26,364 52,139 $78,470 Bond and Interest 335,915 539,887 797,083 $1,024,020 Fund Balance $2,878,312 $4,475,137 $6,209,178 $6,894,620 Operating expenditures tax supported funds Fund balance as percent of operating expenditures $18,196,071 $16,693,296 $19,243,378 $ 19,298,921 15.8% 26.8% 32.3% 35.7% The following table presents a summary of General Fund, Special Revenue Funds and Debt Service Fund GAAP basis revenues for the years ended Decembei3l, 1994 and 1995. Revenue 1994 -1995 1995 1995% 1994 1994 % of Change of Total Total Taxes $984,872 $17,138,776 62.1 $16,153,904 62.6 Intergovernmental - 135,571 3,170,244 11.5 3,305,815 12.8 Charges for Services 496,226 3,585,877 13.0 3,089,651 12.0 Fines 73,231 1,093,347 4.0 1,020,116 3.9 Interest 274,412 823,067 3.1 548,655 2.1 Special Assessments 109,602 977,804 3.5 868,202 3.4 Other - 53,836 779,853 2.8 833,689 3.2 Total Revenues $1,748,936 $27,568,968 100.0 $25,820,032 100.0 Besides the revenue increases mentioned earlier, the City did experience other revenue increases. Interest income increased $ 274,412 due to changing interest rates, the continued ability to invest funds in two year maturities, and increasing fund balances to invest. Intergovernmental revenues declined, due largely to the loss of a HUD Community Development Grant. Charges for services also increased substantially. This was due to increases in the charges in the Bi- centennial Center event fund, and to increases in Engineering fees, EMS fees, and miscellaneous other fees in the General Fund. 4 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, 1994 and 1995. Expenditure 1994- 1995 1995 1995 % of 1994 1994 % of General Government Change General Government Total General Government Total General Government $4,026,032 $5,095,357 19.4 $ 1,069,325 4.4 Public Safety 371,407 7,106,760 27.1 6,735,353 28.0 Public Works 1,000,025 2,323,002 8.9 1,322,977 5.6 Recreation 20,042 1,741,066 6.6 1,721,024 7.2 Cultural 90,493 470,270 1.8 379,777 1.6 Community Development (154,849) 286,458 1.1 441,307 1.8 Health & Welfare (57,254) 467,772 1.8 525,026 2.2 Bicentennial Center 346,605 2,067,114 7.9 1,720,509 7.2 Debt Service 27,968 2,800,787 10.7 2,772,819 11.5 Capital Outlay 959,848 3,756,136 14.3 2,796,288 11.6 Other (4,420,671) 113,315 .4 4,533,986 18.9 Total Expenditures $2,209,646 $26,228,037 100.0 $24,018,391 100.0 Marry of the apparent changes reflected in the table above are due to significant changes that were made in the functional classification of expenditures between 1994 and 1995. These are highlighted in the following table. Description Agency Contracts HUD Grant Gypsum Hill Cemetary Employee benefits Special Liability Business Improvement District Tourism and Convention Contingency Permits and Inspection Planning Utilities Expenses 1994 Classification Other Community Development Health and Welfare Other Other Other Other Other Public Safety Community Development Other 1995 Reclassification 1995 Amount Community Development 258,106 General Government 11,760 General Government 85,842 General Government 2,624,348 General Government 397,000 General Government 57,999 General Government 372,533 General Government 164,114 General Government 214,432 Public Works 154,440 Public Works 703,582 General Government expenditures appear to increase by $4,026,032, however, $ 3,928,028 of that apparent increase is attributable to reclassification, and is offset by decreases in other areas. Of the remaining changes, the largest single element is an increase for the Building Authority in the amount of $36,723. This is due to changes in the structure of the Building Authority during 1995, with Unified School District 305 withdrawing from the tripartite agreement. The facility is now shared by Saline County and the City of Salina.. 1996 will be the first full year of operation under the reorganization, and, as a result, we anticipate further increases in these costs. Public Safety expenditures increased by $585,000, after adjustments for reclassification. This was primarily in the area of personnel costs, and resulted from a total of 8 additional positions authorized. The Public Works area showed a $140,000 net increase, after adjustments for reclassification. This was largely in Street Department personnel costs, and reflects the addition of 5 positions plus some additional funding for temporary staffing through the Summer months. Bi- Centennial Center expenses increased by $346,605, primarily in the Event Fund, which reflects event costs and revenues such as ticket sales. The net proceeds from the events fund is transferred to the operations fund, which pays for operations of the Center. This amount declined by about $25,000, while the expenses associated with operations increased by about $6,000. The amount expended for Capital Outlay from operating fund cash increased by $959,848. This continues the trend in recent years of using cash in place of debt financing for major capital projects. This approach conserves the capacity to issue future debt, while maintaining and expanding the community's physical infrastructure. The ability to use cash for Capital Improvements reflects the sound economy of the area and the commitment of local officials to maintenance of community facilities. A sampling of cash Capital Projects completed or in progress during 1995, :included : Levee Running/Bicycle Trail Ohio and Nort h Intersection and Signalization Crawford and Centenial Intersection and Signalization Broadway Overlay Bill Burke Park parking lot Concrete Pavement Improvements East Crawford Recreation Area Improvements Belmont Boulevard Improvements Fire Station # 4 Addition General Services Facility Expansion Police Department Facility Improvements Smoky Hill Museum Remodeling Neighborhood Improvements (Streets and Sidewalks) Oakdale Soundstage 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: Water and Sewer rates were both changed in 1995, with Water being increased by 5% on 1/1/95 and Sewer Rates increasing by 4% on 7/1/95. Water and sewer revenues increased by $532,000 (5.7 %) in 1995 despite a decline in the amount of water metered. This is due, in part, to the rate increase and to the increase in the customer base. Golf revenues showed a slight 1994 -1995 1995 1994 Change Charges for Services: Water and Sewer $532,880 $9,853,879 $9,320,999 Sanitation $19,379 $1,061,691 $1,042,312 Solid Waste $274,186 $1,471,341 $1,197,155 Golf Course $34,149 $635,921 $601,772 Water Account billings 2066 219,297 217,231 Water Metered (billion gallons) -0.098 2.040 2.138 Wastewater Treated (billion gallons) -0.099 1.693 1.792 Solid Waste Tonnage at landfill 2,075 90,073 87,998 Number of Vehicles at Landfill 3,841 23,063 19,222 Golf Rounds -22 44,364 44,386 Sanitation Customers 132 12,553 12,421 Water and Sewer rates were both changed in 1995, with Water being increased by 5% on 1/1/95 and Sewer Rates increasing by 4% on 7/1/95. Water and sewer revenues increased by $532,000 (5.7 %) in 1995 despite a decline in the amount of water metered. This is due, in part, to the rate increase and to the increase in the customer base. Golf revenues showed a slight increase, even though there was no rate increase and rounds played were relatively stable. The City continued the process of updating the solid waste facility to meet subtitle D regulations. Rates were doubled to $16 /ton in 1994 and went to a tonnage rate rather than volume. Solid Waste charges were not changed in 1995, but substantial future rate increases are anticipated to cover the full cost of the Subtitle D requirements. Solid Waste service charges did increase by $274,186. Sanitation rates were not changed in 1995. Service charges did increase slightly, partially due to changes in the customer base. The City utilizes four 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 $1,000,000 reserve in this fund to provide adequate reserves should we experience heavy claims. At the end of 1995, fund equity was $647,712 compared to fund equily of $373,960 in 1994. 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 1995. The total amount of revenue bonds outstanding at December 31, 1995 was $35,845,000. There is a reserved investment of $10,607,088 pledged to retire the bonds refunded in the 1994 crossover refunding. The resulting net obligation against the Water /Sewer Utility's revenue stream is $25,238,000. With the City's policy of issuing revenue bonds for no more than 20 years, the final maturity for these bonds is October 1, 2014. The City's policy for General Obligation bonds is to issue them for no more than 10 years. The City issued $2,434,000 of internal improvement bonds during 1995. Total bonds outstanding at December 31, 1995 was $13,165,000 with final maturity scheduled for October 1, 2005. Based upon December 31, 1995 General Obligation bonds outstanding, per capita debt is $298. The City is well below its maximum debt limit with $66,618,090 in authority remaining. Internal Improvement temporary notes in the amount of $1,350,000 were issued in November, 1995. These will be retired through the issuance of General obligation bonds in November, 1997. In addition, temporary notes in the amount of $1,900,000 were issued in 1995 for the purposes of opening an additional landfill cell. These notes are General Obligations of the City, but Solid Waste revenues have been pledged to retire the notes over a three year period. The final due date for the Landfill notes is September 1, 1998. Cash Management 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, 1995, investments under the City's direct control were as follows: Investment Municipal Investment Pool U.S. Government Investment in Deferred Compensation Plan Bond Escrow —US Treasury Bills Total Amount Percentage $ 11,922 .03% 22,280,348 64.34% 1,728,230 4.99% 10,607,088 30.63% $34,627,588 100.00% The investments in the Deferred Compensation Plan and 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, financial 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 Brenda Siemsen, City Accountant, and to Betty Charles, Account Clerk II, both of whom provided outstanding service in the interim between Finance Directors and were invaluable in accumulating information for audit. Finally, preparation of this report would not have been possible without the support of the City Commission. Sincerely, Dennis M. Kissmg� Rodney F nz City Manager Director of Finance & Administration City of Salina Municipal Court Administration Risk Management Administration Fire Suppression City Prosecutor Ellen .Mitchell Streets Personnel Mel Abbott Flood Works Codes /Inspection Human Relations Will Burnett Public Education Information Services David Larrick Fire Toast Girard General Services Frank We inhold Fire Suppression Streets EMS Flood Works Codes /Inspection Cemetery Public Education Traffic Control Central Garage Sanitation Landfill Planning & Dev. I Bicentennial Center Roy Dudark Keith Rawlings Planning Operations Permits & Inspection Food & Beverage Community Develop. I I BusincssfficketOflice C /TIZENS CITY COMMISSION Evelyn Maxwell, Mayor Peter F. Brungardt John Divine R. Abner Perney Kristin M. Seaton I - --j CITY MANAGER Dennis M. Kissinger ................... :D:eputy City Manager ; ichael W. Mor an Municipal Court Judge City Attorney 1 Phil Shaffer Greg Bengtson ' Eng. & Utilities Police Don Hoff I I Jim Hill Engineering Patrol Design/Inspection Investigations Traffic 91 I /Communications' Water & Waste Water Util. Internal Affairs Water Treatment & Dist. Waste Wtr. Coliect.fl'reat. Arts & I tumanities Parks & Recreation Martha Rhea Steve Snider Museum Arts Education Arts Services River Festival Contract Position Swimming Pools Golf'COnrse Neighborhood Ctrs. Parks Recreation Forestry Finance & Admin. Rod 1, ran City Clerk Accounting Utility Accounting Freasurer (Rev. 4/96) This Page intentionally left blank 10 City of Salina, Kansas List of Principal Officials City Commission John Divine, Mayor Peter F. Brungardt, Commissioner Evelyn Maxwell, Commissioner Kristin M. Seaton, Commissioner R. Abner Perney, Commissioner City Staff Dennis M. Kissinger. City Manager Michael Morgan, Deputy City Manager Rodney Franz, Director of Finance and Administration Don Hoff, Director of Engineering and Utilities Jim Hill, Chief of Police Tom Girard, Fire Chief Frank Weinhold, General Services Director Keith Rawlings, Bicentennial Center Manager Steve Snyder, Parks and Recreation Director Roy Dudark, Planning and Community Development Director Martha Rhea, Director of Arts and Humanities Will Burnett, Human Relations Director Mel Abbott, Personnel Director Greg Bengston, City Attorney David Larrick, Information Services Director 11 This Page intentionally left blank 12 FINANCIAL SECTION This Page intentionally left blank 14 CITY OF SALINA, KANSAS FINANCIAL STATEMENTS AND REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS December 31, 1995 CITY OF SALINA, KANSAS FINANCIAL STATEMENTS For the fiscal year ended December 31, 1995 TABLE OF CONTENTS STATEMENT PAGE REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS F -1 GENERAL PURPOSE FINANCIAL STATEMENTS COMBINED BALANCE SHEET - ALL FUND TYPES, ACCOUNT GROUPS AND DISCRETELY PRESENTED COMPONENT UNITS 1 F -2 COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ALL GOVERNMENTAL FUND TYPES, EXPENDABLE TRUST FUNDS AND DISCRETELY PRESENTED COMPONENT UNITS 2 F -6 COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET - GENERAL, SPECIAL REVENUE AND DEBT SERVICE FUNDS .S F -10 COMBINED STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS /FUND BALANCES - ALL PROPRIETARY FUND TYPES, SIMILAR TRUST FUNDS AND DISCRETELY PRESENTED COMPONENT UNITS ZI F -14 COMBINED STATEMENT OF CASH FLOWS - ALL PROPRIETARY FUND TYPES, SIMILAR TRUST FUNDS AND DISCRETELY PRESENTED COMPONENT UNITS `; F -16 NOTES TO FINANCIAL STATEMENTS F -20 SCHEDULE; COMBINING, INDIVIDUAL FUND AND ACCOUNT GROUP STATEMENTS AND SCHEDULES COMPARATIVE BALANCE SHEETS - GENERAL FUND I F -44 COMPARATIVE STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - GENERAL FUND F -45 SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET - GENERAL FUND 3 F -46 COMBINING BALANCE SHEET - SPECIAL REVENUE FUNDS 4 F -49 COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - SPECIAL REVENUE FUNDS 5 F -53 SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET - SPECIAL REVENUE FUNDS 6 F -57 COMPARATIVE BALANCE SHEETS - DEBT SERVICE FUND 7 F -74 CITY OF SALINA, KANSAS FINANCIAL STATEMENTS For the fiscal year ended December 31, 1995 TABLE OF CONTENTS SCHEDULE: PAGE COMPARATIVE STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - DEBT SERVICE FUND 8 F -75 SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET - DEBT SERVICE FUND 9 F -76 COMPARATIVE BALANCE SHEETS - CAPITAL PROJECTS FUND 10 F -77 COMPARATIVE STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - CAPITAL PROJECTS FUND I I F -78 COMBINING BALANCE SHEET - ENTERPRISE FUNDS 12 F -79 COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN RETAINED EARNINGS - ENTERPRISE FUNDS 13 F -81 COMBINING STATEMENT OF CASH FLOWS - ENTERPRISE FUNDS 14 F -83 SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET - ENTERPRISE FUNDS 1 `i F -87 COMBINING BALANCE SHEET - INTERNAL SERVICE FUNDS 16 F -95 COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN RETAINED EARNINGS - INTERNAL SERVICE FUNDS 17 F -97 COMBINING STATEMENT OF CASH FLOWS - INTERNAL SERVICE FUNDS 18 F -99 SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET - INTERNAL SERVICE FUNDS 19 F -103 COMBINING BALANCE SHEET- EXPENDABLE TRUST, NONEXPENDABLE TRUST AND AGENCY FUNDS 20 F -107 COMPARATIVE STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - EXPENDABLE TRUST FUND 21 F -110 COMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN FUND BALANCES - NONEXPENDABLE TRUST FUNDS 22 F -111 COMBINING STATEMENT OF CASH FLOWS - NONEXPENDABLE TRUST FUNDS 23 F -113 COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES - AGENCY FUNDS 241 F -115 COMPARATIVE SCHEDULE OF GENERAL FIXED ASSETS BY SOURCE 2 -5 F -119 SCHEDULE OF GENERAL FIXED ASSETS - BY FUNCTION AND ACTIVITY 26 F -120 CITY OF SALINA, KANSAS FINANCIAL STATEMENTS For the fiscal year ended December 31, 1995 TABLE OF CONTENTS SCHEDULE PAGE SCHEDULE OF CHANGES IN GENERAL FIXED ASSETS - BY FUNCTION AND ACTIVITY 27 F -122 SPECIAL REPORTS REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS ON SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE F -124 SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE 28 F -125 REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS ON INTERNAL CONTROL STRUCTURE BASED ON AN AUDIT OF GENERAL PURPOSE FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS F -126 REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS ON THE INTERNAL CONTROL STRUCTURE USED IN ADMINISTERING FEDERAL FINANCIAL ASSISTANCE PROGRAMS F -128 REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS ON COMPLIANCE WITH LAWS AND REGULATIONS BASED ON AN AUDIT OF GENERAL PURPOSE FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT A UDITING STANDARDS F -130 REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS ON COMPLIANCE WITH THE GENERAL REQUIREMENTS APPLICABLE TO FEDERAL FINANCIAL ASSISTANCE PROGRAMS F -131 REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS ON COMPLIANCE WITH SPECIFIC REQUIREMENTS APPLICABLE TO MAJOR FEDERAL FINANCIAL ASSISTANCE PROGRAMS F -132 REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS ON COMPLIANCE WITH SPECIFIC REQUIREMENTS APPLICABLE TO NONMAJOR FEDERAL FINANCIAL ASSISTANCE PROGRAM TRANSACTIONS F -133 234 South Main P.O. Box 1020 Ottawa, Kansas 66067 (913) 242 -3170 I VIL - A ler orGdeddert CHARTERED %--J Certified Public Accountants REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS Board of the City Commissioners City of Salina, Kansas W. Keith Gaeddert Lucille L. Hinderliter Raymond E. Meyer, Jr. We have audited the accompanying general purpose financial statements of the City of Salina, Kansas as of and for the year ended December 31, 1995 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 financial 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; Government Auditing Standards, issued by the Comptroller General of the United States; the provisions of the Office of Management and Budget (OMB) Circular A -128, "Audits of State and Local Governments "; and the Kansas Municipal Audit Guide. Those standards and OMB Circular A -128 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, 1995, 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 June 28, 1996 on our consideration of the City of Salina, Kansas' internal control structure and a report dated June 28, 1996 on its compliance with laws and regulations. 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 information has been subjected to the auditing procedures applied in the audit of the general purpose financial statements arid, in our opinion, is fairly presented in all material respects in relation to the general purpose financial statements taken as a whole. In charge of and actively engaged in this audit: Se Certi ►ed Public Accountant June 28, 1996 F -1 City of Salina, Kansas COMBINED BALANCE SHEET ALL FUND TYPES, ACCOUNT GROUPS AND DISCRETELY PRESENTED COMPONENT UNITS December 31, 1995 ASSETS AND OTHER DEBITS ASSETS Cash and investments Receivables Accounts Taxes Grants Interest Notes Inventory and prepaid supplies Interfund receivable Prepaid expenses Restricted assets Cash and investments Fixed assets (net of accumulated depreciation) Financing leases Deferred charges OTHER DEBITS General fixed assets Amount available in debt service funds Amount to be provided for retirement of general long -term debt Total assets and other debits LIABILITIES, EQUITY AND OTHER CREDITS LIABILITIES Accounts payable Retainage payable Interfund payable Meter deposits payable Health claims payable Governmental Fund Types Proprietary Fund Types Special Debt Capital General Revenue Service Projects Enterprise $ 5,688,761 $ 2,923,074 $ 1,024,020 $ 284,475 69,279 0 1,874,005 3,578,387 1,002,081 4,680 48,536 0 297,243 0 0 0 1,016 0 72,294 0 0 102,318 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 460,608 $ 15,385,621 0 685,704 0 0 77,308 570,068 0 66,770 0 0 0 345,387 0 0 0 0 0 10,607,088 0 51,339,316 0 0 0 576,975 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 $ 8,323,776 $ 6,620,292 $ 2,026,101 $ 537,916 $ 79,576,929 $ 151,880 $ 75,316 $ 0 $ 170,953 $ 386,562 25,220 0 0 0 0 0 102,318 0 0 0 0 0 0 0 85,419 0 0 0 0 0 The accompanying notes are an integral part of this statement. F -2 Statement 1 Proprietary Fiduciary 0 Total Total Fund Types Fund Types Account Groups Primary Reporting 66,820 0 General General Government Entity Internal Trust and Fixed Long- (Memoran- Component (Memoran- Service Agency Assets Term Debt dum Only) Units dum Only) $ 1,415,383 $ 2,439,131 $ 39,693 0 0 0 0 0 0 229 0 0 66,820 0 0 0 0 0 0 0 582,217 0 0 0 0 0 0 0 0 0 0 $ 0 $ 29,336,598 $ 821,186 1i 30,157,784 0 0 1,079,151 15,499 1,094,650 0 0 6,454,473 0 6,454,473 0 0 700,592 0 700,592 0 0 364,242 0 364,242 0 0 1,016 0 1,016 0 0 484,501 0 484,501 0 0 102,318 0 102,318 0 0 0 14,864 14,864 0 0 10,607,088 644,948 11,252,036 0 0 51,921,533 15,265,488 67,187,021 0 0 0 2,100,651 2,100,651 0 0 576,975 92,431 669,406 32,290 0 22,132,290 3,698,839 25,831,129 0 1.024.020 1.024.020 0 1.024.020 0 0 0 11,927,887 11,927,887 0 1 1,927,887 $ 2,104,113 $ 2,439,360 $ 22,132,290 $ 12,951,907 $ 136,712,684 $ 22,653,906 9> 159,366,590 $ 38,136 $ 493,837 $ 0 $ 0 0 0 0 0 0 0 206,434 0 0 F -3 0 $ 1,316,684 $ 189,264 9> 1,505,948 0 25,220 0 25,220 0 102,318 0 102,318 0 85,419 0 85,419 0 206,434 0 206,434 City of Salina, Kansas COMBINED BALANCE SHEET ALL FUND TYPES, ACCOUNT GROUPS AND DISCRETELY PRESENTED COMPONENT UNITS December 31, 1995 LIABILITIES - continued Payable from restricted assets Accrued interest payable $ Revenue bonds payable - current Accounts and retainage payable Salina -KSU sales tax liability Deferred interest - financing leases Deferred compensation payable Accrued compensated absences Capital leases General obligation bonds - current Temporary notes payable General obligation bonds payable Revenue bonds payable Mortgages payable Landfill closure and postclosure Deferred revenue Proprietary Governmental Fund Types Fund Types Total liabilities 1,541,888 3,278,732 1,002,081 170,953 42,314,330 EQUITY AND OTHER CREDITS Investment in general fixed assets Special Debt Capital 0 General Revenue Service Projects Enterprise 0 $ 0 $ 0 $ 0 $ 540,380 0 0 0 0 955,000 0 0 0 0 162,516 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 380,081 0 0 0 0 0 0 0 0 0 248,211 0 0 0 0 2,160,000 0 0 0 0 1,873,866 0 0 0 0 34,890,000 0 0 0 0 0 0 0 0 0 632,295 1,364,788 3,101,098 1,002,081 0 0 Total liabilities 1,541,888 3,278,732 1,002,081 170,953 42,314,330 EQUITY AND OTHER CREDITS Investment in general fixed assets 0 0 0 0 0 Contributed capital 0 0 0 0 8,465,313 Retained Earnings Reserved for bond retirement 0 0 0 0 4,296,012 Unreserved 0 0 0 0 24,501,274 Fund balances Reserved for encumbrances 1,395,228 159,633 0 1,481,153 0 Reserved for inventory 72,294 0 0 0 0 Unreserved Designated for debt service 0 0 1,024,020 0 0 Undesignated (deficit) 5,314,366 3,181,927 0 (1,114,190) 0 Total equity and other credits 6,781,888 3,341,560 1,024,020 366,963 37,262,599 Total liabilities, equity and other credits $ 8,323,776 $ 6,620,292 $ 2,026,101 $ 537,916 $ 79,576,929 The accompanying notes are an integral part of this statement. F -4 Proprietary Fiduciary Total Total Fund Types Fund Types Account Groups Primary Reporting General General Government Entity Internal Trust and Fixed Long- (Memoran- Component (Memoran- Service Agency Assets Term Debt dum Only) Units dum Only) $ 0 $ 0 $ 0 $ 0 $ 540,380 $ 76,576 S; 616,956 0 0 0 0 955,000 190,000 1,145,000 0 0 0 0 162,516 0 162,516 0 0 0 0 0 182,885 182,885 0 0 0 0 0 76,942 76,942 0 1,728,230 0 0 1,728,230 48,925 1,777,155 30,426 0 0 1,428,764 1,839,271 0 1,839,271 0 0 0 256,220 256,220 0 256,220 0 0 0 2,135,789 2,384,000 0 2,384,000 0 0 0 1,870,000 4,030,000 0 4,030,000 0 0 0 7,261,134 9,135,000 0 9,135,000 0 0 0 0 34,890,000 3,360,000 38,250,000 0 0 0 0 0 1,690,393 1,690,393 0 0 0 0 632,295 0 632,295 0 0 0 0 5,467,967 80,064 5,548,031 274,996 2,222,067 0 12,951,907 63,756,954 5,895,049 69,652,003 0 0 22,132,290 0 22,132,290 3,698,839 25,831,129 455,178 0 0 0 8,920,491 7,121,009 16,041,500 0 0 0 0 4,296,012 0 4,296,012 1,373,939 0 0 0 25,875,213 7,348,414 33,223,627 0 0 0 0 3,036,014 0 3,036,014 0 0 0 0 72,294 0 72,294 0 0 0 0 1,024,020 0 1,024,020 0 217,293 0 0 7,599,396 (1,409,405) 6,189,991 1,829,117 217,293 22,132,290 0 72,955,730 16,758,857 89,714,587 $ 2,104,113 $ 2,439,360 $ 22,132,290 $ 12,951,907 $ 136,712,684 $ 22,653,906 i 159,366,590 F -5 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, 1995 The accompanying notes are an integral part of this statement. [W: Governmental Fund Types Special Debt Capital General Revenue Service Projects Revenues Taxes $ 10,554,019 $ 4,457,527 $ 2,127,230 $ 0 Intergovern mental 1,242,823 1,927,421 0 195,642 Charges for services 1,742,782 1,843,095 0 89,413 Fines 1,092,880 467 0 0 Special assessments 0 93,997 883,807 46,563 Interest 808,940 5,811 8,316 11,771 Reimbursed expenses 46,786 15,802 0 109,675 Miscellaneous revenues 507,365 209,900 0 0 Retired participant contributions 0 0 0 0 In kind medical 0 0 0 0 Total revenues 15,995,595 8,554,020 3,019,353 453,064 Expenditures Current General government 1,627,248 3,468,109 0 0 Public safety 6,717,771 388,989 0 0 Public works 1,467,141 855,861 0 0 Parks and recreation 1,741,066 0 0 0 Cultural 470,270 0 0 0 Community development 223,890 62,568 0 0 Health and welfare 382,947 84,825 0 0 Bicentennial Center 0 2,067,114 0 0 Other 113,315 0 0 0 Capital outlay 2,563,904 1,192,232 0 1,817,946 Debt service Principal 0 0 2,235,447 1,495,000 Interest and other charges 0 0 565,340 92,184 Total expenditures 15,307,552 8,119,698 2,800,787 3,405,130 Excess (deficiency) of revenues over (under) expenditures 688,043 434,322 218,566 (2,952,066) The accompanying notes are an integral part of this statement. [W: Statement 2 Fiduciary Total Component Total Fund Type Primary Unit Reporting Government --7—afa Entity Expendable (Memoran- Housing (Memoran- Trust dum Only) Authority dum Only) 0 $ 17,138,776 $ 0 $ 17,138,776 0 3,365,886 1,316,749 4,682,635 0 3,675,290 104,269 3,779,559 0 1,093,347 0 1,093,347 0 1,024,367 0 1,024,367 862 835,700 7,460 843,160 0 172,263 0 172,263 32,000 749,265 4,110 753,375 0 0 0 0 0 0 0 0 32,862 28,054,894 1,432,588 29,487,482 0 5,095,357 0 5,095,357 0 7,106,760 0 7,106,760 0 2,323,002 0 2,323,002 290 1,741,356 0 1,741,356 0 470,270 0 470,270 0 286,458 909,544 1,196,002 0 467,772 0 467,772 0 2,067,114 0 2,067,114 0 113,315 95,013 208,328 0 5,574,082 0 5,574,082 0 3,730,447 0 3,730,447 0 657,524 48,964 706,488 290 29,633,457 1,053,521 30,686,978 32,572 (1,578,563) 379,067 (1,199,496) F -7 City of Salina, Kansas COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND 13ALANCES - ALL GOVERNMENTAL FUND TYPES, EXPENDABLE TRUST FUNDS AND DISCRETELY PRESENTED COMPONENT UNITS For the fiscal year ended December 31, 1995 The accompanying notes are an integral part of this statement. F -8 Governmental Fund Types Special Debt Capital General Revenue Service Projects Other financing sources (uses) Operating transfers in $ 17,000 $ 421,158 $ 0 $ 0 Operating transfers out (169,693) (268,465) 0 0 Bond and temporary note proceeds 0 0 0 3,049,000 Sale of assets 24,035 0 0 0 Total other financing sources (uses) (128,658) 152,693 0 3,049,000 Excess of revenues and other sources over expenditures and other uses 559,385 587,015 218,566 96,934 Fund balances, January 1 6,222,503 2,754,545 797,083 278,400 Residual equity transfer in 0 0 8,371 0 Residual equity transfer out 0 0 0 (8,371) Fund balances, December 31 $ 6,781,888 $ 3,341,560 $ 1,024,020 $ 366,963 The accompanying notes are an integral part of this statement. F -8 Fiduciary Total Component Fund Type Primary Unit 1,910,367 Government Salina Expendable (Memoran- Housing Trust dum Only) Authority $ 0 $ 438,158 $ 0 0 (438,158) 0 0 3,049,000 0 0 24,035 0 0 3,073,035 0 Total Reporting Entity (Memoran- dum Only) $ 438,158 (438,158) 3,049,000 32,572 1,494,472 379,067 1,873,539 0 10,052,531 1,910,367 11,962,898 0 8,371 0 8,371 0 (8,371) 0 (8,371) $ 32,572 $ 11,547,003 $ 2,289,434 $ 13,836,437 F -9 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, 1995 Revenues Taxes Intergovernmental Fines, fees and permits Special assessments Charges for services Use of money and property Reimbursed expenses Miscellaneous revenues In kind medical Total revenues Expenditures Current General government Public safety Public works Parks and recreation Cultural Community development Health and welfare Bicentennial Center Other Capital outlay Debt service Principal Interest and other charges Cash reserve Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources (uses) Operating transfers in Operating transfers out Sale of assets Total other financing sources (uses) General Fund 1 L .11 -G l A DIAL nnO 1 Cno nno 1,603,176 1,728,305 Variance 6,721,984 6,837,646 Favorable Actual Budget (Unfavorable) $ 10,570,756 $ 9,966,520 $ 604,236 1,242,823 1,193,354 49,469 2,606,239 2,120,200 486,039 0 0 0 441,016 436,904 4,112 742,410 450,000 292,410 42,107 40,000 2,107 229,705 40,000 189,705 0 0 0 1 L .11 -G l A DIAL nnO 1 Cno nno 1,603,176 1,728,305 125,129 6,721,984 6,837,646 115,662 1,482,341 1,523,521 41,180 1,741,065 1,773,071 32,006 470,270 405,467 (64,803) 258,106 193,425 (64,681) 382,947 382,947 0 0 0 0 113,315 100,000 (13,315) 3,042,845 2,010,000 (1,032,845) 0 0 0 0 A 0 ^ion nnn 0 n non AAn 59,007 (3,491,846) 3,550,853 17,000 17,000 0 (169,693) (228,000) 58,307 nn n)c o cnn is cI) c (128,658) (202,500) 73,842 The accompanying notes are an integral part of this statement. F -10 Statement 3 F -11 "' Special Revenue Funds Debt Service Funds Variance Variance Favorable Favorable Actual Budget (Unfavorable) Actual Budget (Unfavorable) $ 4,457,418 4,316,644 $ 140,774 $ 2,127,230 $ 2,027,836 99,394 1,621,187 1,657,535 (36,348) 0 0 0 467 0 467 0 0 0 78,692 75,000 3,692 883,807 870,000 13,807 695,105 663,000 32,105 0 0 0 0 0 0 8,316 0 8,316 7,512 0 7,512 0 0 0 0 0 0 0 0 0 197,217 0 197,217 0 0 0 7,057,598 6,712,179 345,419 3,019,353 2,897,836 121,517 4,155,463 4,408,490 253,027 0 0 0 151,828 134,130 (17,698) 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 84,825 86,267 1,442 0 0 0 878,148 912,747 34,599 0 0 0 0 0 0 0 0 0 1,210,246 1,210,800 554 0 0 0 0 0 0 2,235,447 2,355,447 120,000 0 0 0 565,340 659,128 93,788 0 1,442,071 1,442,071 0 400,000 400,000 6,480,510 8,194,505 1,713,995 2,800,787 3,414,575 613,788 577,088 (1,482,326) 2,059,414 218,566 (516,739) 735,305 358,356 370,000 (11,644) 0 0 0 (265,356) (277,000) 11,644 0 0 0 0 0 0 0 0 0 93,000 93,000 0 0 0 0 F -11 "' 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, 1995 Excess (deficiency) of revenues and other sources over (under) expenditures and other uses Unreserved fund balances, January 1 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 General Fund Variance Favorable Actual Budget (Unfavorable) $ (69,651) $ (3,694,346) $ 3,624,695 4,313,622 3,694,346 619,276 0 0 0 0 0 0 4,243,971 $ 0 $ 4,243,971 1,095,615 72,294 (25,220) 1,395,228 0 $ 6,781,888 The accompanying notes are an integral part of this statement. F -12 Special Revenue Funds Variance Favorable Actual Budget (Unfavorable) Statement 3 Page 2 Debt Service Funds Variance Favorable Actual Budget (Unfavorable) $ 670,088 $ (1,389,326) $ 2,059,414 $ 218,566 $ (516,739) S 735,305 1,822,134 1,389,326 432,808 797,083 516,739 280,344 0 0 0 8,371 0 8,371 0 0 0 0 0 0 2,492,222 $ 0 $ 2,492,222 1,024,020 $ 0 `.i 1,024,020 596,120 0 0 159,633 93,585 $ 3,341,560 F -13 0 0 0 0 0 $ 1,024,020 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 31, 1995 Operating revenues Intergovernmental Charges for services Interest Reimbursements Miscellaneous Total operating revenues Operating expenses General government Public works Recreation Other Depreciation Total operating expenses Operating income (loss) Nonoperating revenues (expenses) Interest Bond issuance costs Debt service Mill levy Loss on investments Loss on disposition of fixed assets Total nonoperating revenues (expenses) Net income Add depreciation on assets acquired through Federal contributions Increase in retained earnings /fund balances Retained earnings /fund balances, January 1 Restatement Retained earnings /fund balances, January 1, as restated Fiduciary Proprietary Fund Types Fund Type Non - Internal expendable $ 12,107 $ 13,022,832 0 0 13,221,034 0 $ 0 1,924,043 5,057 0 8,316 125,407 0 1,732 0 0 845,717 0 7,547,744 0 0 603,937 0 0 0 698,459 0 2,267,1 13 154,624 0 10,418,794 1,698,800 0 2,802,240 352,382 13,373 712,931 0 0 (39,705) 0 0 (2,100,670) 0 0 0 0 0 (29,297) 0 0 (32,437) (1,146) 0 (1,489,178) (1,146) 0 1,313,062 351,236 13,373 0 0 0 1,313,062 351,236 13,373 27,484,224 945,237 171,348 Retained earnings /fund balances, December 31 $ 28,797,286 $ 1,373,939 $ 184,721 The accompanying notes are an integral part of this statement. F -14 Statement 4 Total Component Total Primary Unit Reporting Government Salina Entity (Memorandum Airport (Memorandum Only) Authority Only) $ 12,107 $ 0 $ 12,107 14,951,932 1,160,706 16,112,638 8,316 0 8,316 125,407 0 125,407 15,285,589 1,176,343 16,461,932 845,717 0 845,717 7,547,744 0 7,547,744 603,937 0 603,937 698,459 857,508 1,555,967 2,421,737 636,897 3,058,634 12,117,594 1,494,405 13,611,999 3,167,995 (318,062) 2,849,933 712,931 260,261 973,192 (39,705) 0 (39,705) (2,100,670) (256,737) (2,357,407) 0 406,232 406,232 (29,297) 0 (29,297) (33,583) (24,024) (57,607) (1,490,324) 385,732 (1,104,592) 1,677,671 67,670 1,745,341 0 391,749 391,749 1,677,671 459,419 2,137,090 28,600,809 7,430,809 36,031,618 $ 30,355,946 $ 7,348,414 $ 37,704,360 F -15 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, 1995 Cash flows from operating activities Cash received from customers and users Cash paid to suppliers and employees Operating grant receipts Other operating receipts Net cash provided by (used in) operating activities Cash flows from capital and related financing activities Purchase and construction of fixed assets Principal payments - temporary notes Principal payments - gen. obligation bonds Principal payments - revenue bonds Interest paid Proceeds from issuance of debt Proceeds from property tax Principal received on financing leases Interest received on financing leases Principal received on long -term notes Contributed capital Net cash used in capital and related financing activities Cash flows from investing activities Proceeds from sales of investments Interest received Net cash provided by investing activities Cash flows from noncapital financing activities Other nonoperating receipts Net increase (decrease) in cash and Fiduciary Proprietary Fund Types Fund Type Non - Internal expendable Enterprise Service Trust $ 13,695,955 $ 2,034,607 $ (8,430,254) (1,611,137) 12,107 0 5,057 0 0 (5,280,479) (108,498) 0 (745,000) 0 0 (174,553) 0 0 (880,000) 0 0 (2,096,889) 0 0 2,635,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 269,575 44,935 0 (6,272,346) (63,563) 0 0 0 0 646,161 0 0 646,161 0 0 cash equivalents (191,579) 361,639 13,328 Cash and cash equivalents, January 1 26,184,288 1,053,744 171,164 Cash and cash equivalents, December 31 $ 25,992,709 $ 1,415,383 $ 184,492 The accompanying notes are an integral part of this statement. F -16 Statement 5 Total Component Total Primary Unit Reporting Government Salina Entity (Memorandum Airport (Memorandum Only) Authority Only) $ 15,735,619 $ 1,511,793 $ 17,247,412 (10,041,391) (1,912,468) (11,953,859) 12,107 0 12,107 5,902,433 (400,675) 5,501,758 (5,388,977) (4,203,147) (9,592,124) (745,000) 0 (745,000) (174,553) (135,000) (309,553) (880,000) (170,000) (1,050,000) (2,096,889) (252,317) (2,349,206) 2,635,000 0 2,635,000 0 406,232 406,232 0 191,920 191,920 0 229,632 229,632 0 3,893 3,893 0 60,000 60,000 646,161 45,670 691,831 646,161 105,670 751,831 (29,297) 0 (29,297) 183,388 (1,012,859) (829,471) $ 27,592,584 $ 998,393 $ 28,590,977 F -17 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, 1995 Cash and investments Restricted cash and investments Total cash and cash equivalents Reconciliation of operating income (loss) to net cash provided by operating activities Operating income (loss) Adjustments to reconcile operating income (loss) to net cash provided by operating activities Depreciation expense Payments to contractors (KSU projects) Bassis of asset sold Basis of asset received (Increase) decrease in accounts receivable (Increase) decrease in deposits receivable (Increase) decrease in inventory (Increase) decrease in prepaid expenses Increase (decrease) in accounts payable Increase (decrease) in accrued compensated absences Increase (decrease) in meter deposits payable Increase (decrease) in claims payable Increase (decrease) in accounts and retainage payable Increase (decrease) in deferred income Increase (decrease) in asset sale related liability Increase (decrease) in landfill closure and postclosure Net cash provided by (used in) operating activities Fiduciary Proprietary Fund Types Fund Type Non - Internal expendable Enterprise Service Trust $ 15,385,621 $ 1,415,383 $ 184,492 10.607.088 0 0 $ 25,992,709 $ 1,415,383 $ 184,492 $ 2,802,240 $ 2,267,113 0 0 0 672,156 0 (18,931) 0 139,729 12,061 967 0 (413,977) 0 0 2.545 352,382 $ 154,624 0 0 0 24,850 (39,693) 10,646 0 (41,749) (7,863) 0 (27,995) 0 0 0 0 13,373 0 0 0 0 (45) 0 0 0 0 0 0 0 0 0 0 0 $ 5,463,903 $ 425,202 $ 13,328 The accompanying notes are an integral part of this statement. F -18 Total Primary Government (Memorandum Onlv) $ 16,985,496 10.607,088 Component Unit canna Airport Authority $ 472,008 $ 526.385 Statement 5 Page 2 Total Reporting Entity (Memorandum Onlv) 1 /,4J /,JU4 11.133.473 $ 27,592,584 $ 998,393 $ 28,590,977 $ 3,167,995 $ (318,062) $ 2,849,933 2,421,737 636,897 3,058,634 0 (1,078,588) (1,078,588) 0 422,606 422,606 0 (113,055) (113,055) 696,961 (3,893) 693,068 (39,693) 0 (39,693) (8,285) 0 (8,285) 0 (2,257) (2,257) 97,980 22,470 120,450 4,198 848 5,046 967 0 967 (27,995) 0 (27,995) (413,977) 0 (413,977) 0 (17,641) (17,641) 0 50,000 50,000 2,545 0 2,545 $ 5,902,433 $ (400,675) $ 5,501,758 F -19 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 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, 1995. 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. Discretely 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 former Schilling A.F.B which 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 Authority is managed and controlled by a five - member Board of Directors appointed by the Salina City Commission. The Airport Authority is reported as an enterprise fund. The Airport Authority has a December 31 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 Salina. 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, 1995. 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 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 finance - related legal and contractual provisions. The minimum number of funds are 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. F -20 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - continued B. Measurement Focus, Basis of Accounting and Basis of Presentation - continued The government 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, franchise 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 the incurrence of 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 deferred 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 nonexpendable 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 financed by the proprietary or nonexpendable trust funds of the City. 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 FASB 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. F -21 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - continued B. Measurement Focus, Basis of Accounting and Basis of Presentation - continued 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 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 pension trust fund accounts for the assets of the government's public safety employees pension plan. 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 (except for investments in the Kansas Municipal Pool and deferred compensation investments purchased through ICMA Retirement Corporation). 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 cost. Investments of the Employees' Deferred Compensation Fund are recorded at market value. Cash balances from 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 from 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 stated at cost. 2. Receivables and Payables Transactions between funds that are representative of lending/borrowing 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 /from 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 ". F -22 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - continued C. Assets, Liabilities and Equity - continued 2. Receivables and Payables - continued Accounts Receivable. The City records revenues when services are provided. All receivables are shown net of an allowance for uncollectibles. The allowance for uncollectible accounts are based on aging of accounts receivable. Due from and Due to Other Funds. During the course of its operations, the City has transactions between funds to finance operations and provide services. To the extent that certain transactions between funds have not been paid or received as of December 31, 1995, balances of interfund amounts receivable or payable have been recorded. 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 determines assessed valuations and the County Clerk spreads the annual assessment 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 City Treasurer draws down all available funds from 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 finance 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 1996. 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. The costs of governmental fund -type inventories are recorded as expenditures when consumed rather than when purchased. 4. Prepaid Items Payments made to vendors for services that will benefit periods beyond December 31 1995, 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 ". F -23 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - continued C. Assets, Liabilities and Equity - continued 5. Restricted Assets - continued The "Extension and Bond Retirement" account is used to report resources set aside for operation, maintenance, repair, improvement and debt service purposes, as specified by certain bond ordinances. 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 (infrastructure) general fixed assets (e.g., roads, bridges, sidewalks and other 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 government using the straight line method over the following estimated useful lives: Assets Years Buildings 20 -50 Other Equipment 5 -10 Vehicles 7 -10 Utility Plant & Equipment 10 -70 F -24 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 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 11 hours per month depending on their work duty schedule. There is no limit on the amount of sick leave which 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 termination 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 termination of employment. Vested or accumulated vacation leave that is expected to be liquidated with expendable available financial 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 termination 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 retired from the proceeds of the sale of general obligation bonds. 9. Long -Term Obligations The government reports long -term debt of governmental funds at face value in the general long -term 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 -term 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. F -25 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 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 find'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 reimbursemcnts 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 financial information and are presented only to facilitate financial analysis. The columns do not present information 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. 11. 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. F -26 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 H. STEWARDSHIP, 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 of the 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. There were no such amendments for fiscal year 1995. The statutes permit transferring 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, Fair Housing, Special Law Enforcement, Police Grants, Traffic Safety Grant. 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 and Water and Sewer Construction. Actual to budget comparisons for these funds that present budgets to the Commissioners are shown strictly for informational 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. F -27 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 11. STEWARDSHIP, COMPLIANCE AND ACCOUNTABILITY - continued B. Proprietary Fund Type Budgets Actual operations (budgetary basis) compared to budget for proprietary fund types for fiscal year 1995 are as follows: F -28 Actual Budget Variance Enterprise Sanitation Revenues $ 1,093,463 $ 1,041,000 $ 52,463 Expenditures 1,1 l 0, l 11 1,561,254 451,143 Solid Waste Disposal Division Revenues 1,577,574 1,462,000 115,574 Expenditures 1,440,738 2,160,657 719,919 Other financing sources (uses) 0 281,000 (281,000 ) Golf Course Division Revenues 647,125 61 1,700 35,425 Expenditures 637,409 716,183 78,774 Water and Sewer Revenues 10,385,370 9,503,000 882,370 Expenditures 9,699,140 12,249,159 2,550,019 Other financing sources (uses) (2,186,690) (2,506,000) 319,310 Internal Service Risk Management Revenues 512,338 512,338 0 Expenditures 345,274 703,718 358,444 Workmen's Compensation Reserve Revenues 516,163 514,536 1,627 Expenditures 264,091 1,198,760 934,669 Central Garage Division Revenues 694,874 823,802 (128,928) Expenditures 713,087 866,752 153,665 Data Processing Revenues 326,075 326,995 (920) Expenditures 306,325 395,110 88,785 Other financing sources 1,732 0 1,732 C. Deficit Fund Equity The following funds had deficit fund equity at December 31, 1995: HUD Community Development $(2,496) and Police Grants $(60,460). These deficits will be recovered from reimbursements from grantor agencies, or in the event certain costs are disallowed, from general funds. F -28 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 II. STEWARDSHIP, COMPLIANCE AND ACCOUNTABILITY - 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 1995. Principal and interest account Actual Required $ 3,602,858 $ 3,602,858 The City was in compliance with the reserve account balance requirements at December 31, 1995. 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, 1995, the statutory limit for the City was $74,059,070 providing a debt margin of $66,618,090. III. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS A. Deposits and Investments Deposits - At year end, the carrying amount of the cash was $5,313,178 with $2,920 cash on hand and the bank balance was $6,222,309. The difference between the carrying amount and the bank balance is outstanding checks and deposits in transit. Of the bank balance, $212,800 was covered by federal deposit insurance and the remaining $6,009,509 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. The carrying amount of deposits for the Housing Authority of the City of Salina, a discretely presented component unit, was $418,816 and the bank balance was $422,504. Of the bank balance, $233,931 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 $1,047,318 and the bank balance was $1,071,744. Of the bank balance, $1,071,744 was covered by federal depository insurance or by collateral held by the entity's agency in the Authority's name. lay& City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 Ill. 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 Treasurer's 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 1 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 dealer 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 dealer's bank. At December 31, 1995, the City had invested $11,922 in the State Treasurer's municipal investment pool. 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. The categories of the City's investments are as follows: Category Carrying Fair 2 3 Amount Value U.S. Treasury Bills $ 22,280,348 $ 0 $ 0 $ 22,280,348 $ 22,420,512 Pooled investment - State of Kansas 11,922 11,588 Investment in deferred compensation plan 1,728,230 1,728,230 Bond escrow- investment in U.S. Treasury Bills 10,607,088 10,607,088 $ 34,627,588 $ 34,767,418 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. F -30 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 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, 1995 are as follows Subtotal component units Total reporting entity B. Receivables 1,466,134 0 1,466,134 644,948 821,186 $ 29,054,414 $ 12,355,406 $ 41,409,820 $ 11,252,036 $ 30,157,784 Receivables as of year end, including the applicable allowances for uncollectible accounts, are as follows: Cash and Separate Special Debt Capital Investments Deposits Total Restricted Unrestricted Primary Government Revenue Service Projects Enterprise Service General $ 5,688,761 $ 0 $ 5,688,761 $ 0 5,688,761 Special Revenue 2,923,074 0 2,923,074 0 2,923,074 Debt Service 1,024,020 0 1,024,020 0 1,024,020 Enterprise 15,385,621 10,607,088 25,992,709 10,607,088 15,385,621 Capital Projects 460,608 0 460,608 0 460,608 Internal Service 1,415,383 0 1,415,383 0 1,415,383 Trust & Agency 690,813 1,748,318 2,439,131 0 2,439,131 Subtotal primary government 27,588,280 12,355,406 39,943,686 10,607,088 29,336,598 Component Units 0 0 0 66,770 0 Salina Housing Authority 418,816 0 418,816 69,638 349,178 Salina Airport Authority 1,047,318 0 1,047,318 575,310 472,008 Subtotal component units Total reporting entity B. Receivables 1,466,134 0 1,466,134 644,948 821,186 $ 29,054,414 $ 12,355,406 $ 41,409,820 $ 11,252,036 $ 30,157,784 Receivables as of year end, including the applicable allowances for uncollectible accounts, are as follows: Special Debt Capital Internal General Revenue Service Projects Enterprise Service Fiduciary Total Primary Government Receivables: Accounts $ 559,772 $ 74,752 $ 0 $ 0 $ 755,452 $ 39,693 $ 0 $ 1,429,669 Taxes 1,874,005 3,578,387 1,002,081 0 0 0 0 6,454,473 Grants 4,680 48,536 0 77,308 570,068 0 0 700,592 Interest 297,243 0 0 0 66,770 0 229 364,242 Notes 0 1,016 0 0 0 0 0 1,016 Gross receivables 2,735,700 3,702,691 1,002,081 77,308 1,392,290 39,693 229 8,949,992 Less: allowance for uncollectibles (275,297) (5,473) 0 0 (69,748) 0 0 (350,518) Total $ 2,460,403 $ 3,697,218 $ 1,002,081 $ 77,308 $ 1,322,542 $ 39,693 $ 229 8.599,474 Component Units Housing Authority of the City of Salina Salina Airport Authority Total F -31 11,124 4,375 15,499 $ 8,614,973 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 III. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS - continued C. Interfund Receivables and Payables The composition of interfund balances as of December 31, 1995, is as follows: Due from /to other funds: Receivable Fund Payable Funds General Fund D. Fixed Assets Special Revenue Funds HUD Community Development Police Grants Traffic Safety Grant District Court $ 4,333 60,460 $ 102,318 The following is a summary of the changes in the general fixed assets account group during the current year. Balance Balance January 1, December 31, 1995 Additions Deletions 1995 Primary Government Land $ 2,501,803 $ 87,390 $ 0 $ 2,589,193 Land improvements 482,421 283,489 0 765,910 Buildings 10,478,809 280,920 0 10,759,729 Equipment 4,156,171 957,704 77,722 5,036,153 Vehicles 3,037,632 302,044 358,371 2,981,305 Sub total primary government 20,656,836 1,911,547 436,093 22,132,290 Component units Housing Authority of Salina 3,374,229 324,610 0 3,698,839 Total reporting entity $ 24,031,065 $ 2,236,157 $ 436,093 $ 25,831,129 F -32 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 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, 1995: Land Land improvements Water plant and equipment Sewer plant and equipment Airfield and infrastructure Equipment Vehicles Buildings Construction in progress Less accumulated depreciation Net fixed assets Primary Government 75,646,502 1,019,696 24,307,186 437,479 E1 Component Airport 0 0 0 11,739,106 1,009,339 0 6,493,465 21,661,819 $ 51,339,316 $ 582,217 $ 15,265,488 Interest costs are capitalized when incurred by proprietary funds and similar component units on debt where proceeds were used to fmance 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. The following funds were affected: Primary Government Water & Sewer Fund Solid Waste Fund Interest Revenue Total Interest Used to Offset Capitalized Costs Incurred Interest Costs Interest $ 92,093 $ 83,293 F-33 24,952 $ 67,141 30,412 52,881 Internal Enterprise Service Funds Funds $ 514,050 $ 0 2,828,216 0 29,330,679 0 34,491,856 0 0 0 2,003,353 981,714 1,348,424 15,910 395,992 22,072 4,733,932 0 75,646,502 1,019,696 24,307,186 437,479 E1 Component Airport 0 0 0 11,739,106 1,009,339 0 6,493,465 21,661,819 $ 51,339,316 $ 582,217 $ 15,265,488 Interest costs are capitalized when incurred by proprietary funds and similar component units on debt where proceeds were used to fmance 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. The following funds were affected: Primary Government Water & Sewer Fund Solid Waste Fund Interest Revenue Total Interest Used to Offset Capitalized Costs Incurred Interest Costs Interest $ 92,093 $ 83,293 F-33 24,952 $ 67,141 30,412 52,881 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 111. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS - continued E. Capital Leases 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 1997. 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 its inception. The following is an analysis of equipment leased under capital leases as of December 31, 1995: General Fixed Assets Machinery and equipment $ 669,798 Minimum future lease payments under capital leases as of December 31, 1995 are: General Long Term Debt 1996 $ 130,479 1997 142,340 Total minimum lease payments 272,819 Less amount representing interest 16,599 Present value of future minimum lease payments $ 256,220 Payments made during 1995 $ 154,202 F -34 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 Ill. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS - continued F. General Long -Term Debt Following is a summary of changes in long -term debt for fiscal year 1995: Interest Bonds Balance Rates Outstanding Balance January 1, General Obligation December 31, 1995 Additions Reductions 1995 Primary Government Downtown Development 1987, due 12/1/97 5,000,000 6.10 %to 6.65% 1,000,000 General obligations bonds $ 11,495,000 $ 2,434,000 $ 2,410,000 $ 11,519,000 Revenue bonds 36,725,000 0 880,000 35,845,000 Temporary notes 3,020,000 3,250,000 2,240,000 4,030,000 Capital financing leases 0 389,355 133,135 256,220 Accrued Compensation 1,753,360 85,911 0 1,839,271 1,240,000 $ 52,993,360 $ 6,159,266 $ 5,663,135 $ 53,489,491 Component Units General obligations bonds $ 2,985,000 $ 0 $ 135,000 $ 2,850,000 Revenue bonds 870,000 0 170,000 700,000 Mortgage Payable 1,709,317 0 18,924 1,690,393 $ 5,564,317 $ 0 $ 323,924 $ 5,240,393 The following is a detailed listing of the city's long -term debt including general obligation bonds, revenue bonds, temporary notes and capital leases: F-35 Original Interest Bonds Issue Rates Outstanding Primary Government General Obligation Street and Utilities 1986, due 12/1/96 $ 1,983,000 5.20 %to5.70% $ 270,000 Downtown Development 1987, due 12/1/97 5,000,000 6.10 %to 6.65% 1,000,000 Internal Improvements 1988, due 12/1/98 1,115,000 6.15% to 8.15% 290,000 Internal Improvements 1989, due 12/1/99 1,175,000 5.80% to 7.875% 460,000 Broadway Overpass 1990, due 12/1/2000 455,000 5.75% to 7.75% 225,000 Internal Improvements 1991, due 10/1/2001 1,300,000 5.20% to 7.25% 780,000 Street and Utilities 1991, due 10/1/2001 1,417,000 5.40% to 7.40% 840,000 Crawford Street 1991, due 10/1/2001 1,785,000 4.50% to 6.50% 1,065,000 Crawford Street 1992, due 10/1/2002 1,240,000 3.75% to 5.90% 875,000 Refunding Bonds 1992, due 4/1/96 1,660,000 3.50% to 4.90% 160,000 Internal Improvements 1993, due 10/1/2003 685,000 3.50% to 5.50% 555,000 Internal Improvemetns 1993, due 10/1/2003 1,800,000 3.40% to 5.00% 1,510,000 Internal Improvemetns 1994, due 10/1/2004 1,175,000 4.70% to 6.50% 1,055,000 Internal Improvements 1995, due 10/1/2005 2,434,000 4.75% to 6.50% 2,434,000 Total general obligation bonds $ 11,519,000 F-35 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 III. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS - continued F. General Long -Term Debt - continued Temporary Notes Landfill 1994, due 4/1/97 Original Interest Bonds Subdivisions III 1994, due 6/30/96 Issue Rates Outstanding Revenue Bonds 210,000 3.24% 70,000 Revenue Refunding 1990, due 10/1/2005 S 5,655,000 6.00% to 7.00% $ 4,265,000 Water and Sewer 1990, due 10/1/2008 2,210,000 7.00% to 7.10% 2,210,000 Water and Sewer 1992, due 10 /1 /2012 15,000,000 5.40% to 7.40% 13,755,000 Water and Sewer 1993, due 10/1/2013 3,200,000 4.50% to 5.25% 3,015,000 Revenue Refunding 1994, due 9/1/2012 11,390,000 4.30% to 5.25% 11,390,000 Water and Sewer 1994, due 10/1/2014 1,230,000 5.10% to 7.10% 1,210,000 Total revenue bonds $ $ 35,845,000 Temporary Notes Landfill 1994, due 4/1/97 285,000 4.00% to 4.70% $ 190,000 Subdivisions III 1994, due 6/30/96 520,000 4.83% 520,000 Solid Waste Compactor, due 8/1/96 210,000 3.24% 70,000 Landfill, due 9/1/98 1,900,000 4.23855% 1,900,000 Subdivision, due 11/1/97 1,350,000 4.0825% 1,350,000 Total temporary notes $ 4,030,000 2,850,000 Capital Leases IBM AS /400 system, due 12/1/97 389,355 6.10% $ 256,220 Component Unit Salina Airport Authority General Obligation Bonds Economic Development 1990, due 2010 1,900,000 6.40% to 8.375 $ 1,645,000 Economic Development 1990, due 2010 773,000 6.5% to 8.5% 665,000 General Obligation 1993, due 2003 375,000 3.4% to 5.0% 310,000 General Obligation 1993, due 2003 275,000 3.85% to 4.75% 230,000 Total general obligation bonds 2,850,000 Revenue Bonds Leasehold revenue 1991, due 2006 850,000 5.0% to 7.25% 700,000 Total bonds $ 3,550,000 Housing Authority of the City of Salina Mortgage Payable to Dept of HUD, Maturity and interest are subsidized by the US Dept. of HUD - - $ 967,445 Mortgage Payable to Federal Financing Bank 925,473 6.6% 722,948 $ 1,690,393 F -36 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31. 1995 111. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS - continued F. General Long -Term Debt - continued Interest paid in 1995 is as follows Primary government General obligation bonds $ 627,997 Revenue bonds 2,153,563 Temporary notes 102,726 Capital leases 21,068 Component Unit Total Salina Airport Authority 256,737 Housing Authority of Salina 48,964 Annual debt service requirements to maturity for general obligation bonds to be paid with tax levies - $ 2,850,000 $ 1,599,264 $ 4,449,264 F -37 General Obligation - Primary Government Bonds Interest Year Outstanding Due Total 1996 $ 2,384,000 $ 632,304 $ 3,016,304 1997 1,960,000 473,656 2,433,656 1998 1,450,000 366,384 1,816,384 1999 1,355,000 291,234 1,646,234 2000 1,235,000 221,656 1,456,656 To maturity 3,135,000 357,480 3,492,480 $ 11,519,000 $ 2,342,714 $ 13,861,714 General Obligation- Component Units Bonds Interest Year Outstanding Due Total 1996 $ 145,000 $ 182,251 $ 327,251 1997 155,000 171,995 326,995 1998 165,000 163,475 328,475 1999 180,000 154,503 334,503 2000 190,000 144,638 334,638 To maturity 2,015,000 782,402 2,797,402 $ 2,850,000 $ 1,599,264 $ 4,449,264 F -37 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 111. DETAILED NOTES ON ALL FUNDS AND ACCOUNT GROUPS - continued F. General Long -Term Debt - continued Annual debt service requirements to maturity for revenue bonds to be paid with utility revenues- $ 35,845,000 $ 21,795,081 $ 57,640,081 Annual debt service requirements to maturity for revenue bonds to be paid with service revenues- Revenue Bonds - Primary Government Bonds Interest Year Outstanding Due Total 1996 $ 955,000 $ 2,092,718 $ 3,047,718 1997 1,015,000 2,026,508 3,041,508 1998 1,085,000 1,955,723 3,040,723 1999 1,150,000 1,879,668 3,029,668 2000 1,220,000 1,803,858 3,023,858 To maturity 30,420,000 12,036,606 42,456,606 $ 35,845,000 $ 21,795,081 $ 57,640,081 Annual debt service requirements to maturity for revenue bonds to be paid with service revenues- $ 700,000 $ 324,485 $ 1,024,485 Annual debt service requirements to maturity for temporary notes - to be paid through the issuance of general obligation bonds - Revenue Bonds- Component Units Bonds Interest Year Outstanding Due Total 1996 $ 45,000 $ 47,478 $ 92,478 1997 50,000 44,777 94,777 1998 50,000 41,703 91,703 1999 55,000 38,552 93,552 2000 60,000 35,005 95,005 To maturity 440,000 116,970 556,970 $ 700,000 $ 324,485 $ 1,024,485 Annual debt service requirements to maturity for temporary notes - to be paid through the issuance of general obligation bonds - F-38 Temporary Notes - Primary Government Notes Interest Year Outstanding Due Total 1996 $ 1,285,000 $ 141,000 $ 1,426,000 1997 2,045,000 159,263 2,204,263 1998 700,000 21,700 721,700 $ 4,030,000 $ 321,963 $ 4,351,963 F-38 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 III. DETAILED MOTES ON ALL FUNDS AND ACCOUNT GROUPS - continued F. General Long -Term Debt - continued Annual debt service requirements to maturity for capital leases to be paid with tax levies - Capital Financing Leases - Primary Government Leases Interest Year Outstanding Due Total 1996 $ 118,661 $ 11,817 $ 130,478 1997 137,559 4,781 142,340 $ 256,220 $ 16,598 $ 272,818 G. Reconciliation of Transfers Transfers are made between funds as the need arises. A reconciliation between funds follows: Transfers from Transfers to General Special Revenue Funds Business Improvement District Townsmand Convention HUD Community Development Enterprise Funds Water & Sewer Princ. & Int. Special General Revenue Enterprise Total $ 0 $ 169,693 $ 0 $ 169,693 17,000 0 0 17,001) 0 248,356 0 248,356 974 0 974 0 2,135 0 2,13:5 0 0 2,186,690 2,186,690_ $ 17,000 $ 421,158 $ 2,186,690 $ 2,624,848 Residual equity transfers were made at year end to close projects in the following fund. Transfers from Transfers to Capital Projects Funds Construction Debt Service Funds Bond and Interest $ 8,371 H. Restatement of Funds The fund balance of the internal service funds has been increased to reflect inventories of $77,466 on hand at the central garage at December 31, 1994. The fund balance of the Salina Airport Authority has been reduced by $541,814 to adjust for certain sales -type financing leases that had been treated as operating leases at December 31, 1994. F -39 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 IV. OTHER INFORMATION A. Defined Benefit Pension Plan Substantially all employees of City of Salina, Kansas participate in the Kansas Public Employees Retirement System ( "System "), a multi - employer public employee retirement system. The payroll for employees covered by the System for the year ended 1995 was $6,570,523, the total payroll was $12,943,405. Substantially all employees of City of Salina, Kansas are eligible to participate in the System after one year of employment. Employees who retire at or after age 65 or age 62 with ten years service credit or at any age when years of service plus age equal 85 "points" are entitled to a retirement benefit, payable monthly for life, equal to one percent of their final average salary for each year of "prior" service and 1.75 percent of each year of "participating" service. Final average salary is the employee's average salary over the higher of four years of credited service including add -ons such as accrued sick leave and vacation leave or a three year average without add -ons. For those hired July 1, 1993 or later, final average salary is a three year average with no add -ons. Benefits fully vest on reaching ten years of service. Vested employees may retire at age 55 and receive reduced retirement benefits. The system also provides death and disability benefits. Benefits are established by State statute. Covered employees are required by State statute to contribute 4 percent of their salary to the plan. The employer is required by the same statute to contribute the remaining amounts necessary to pay benefits when due. The contribution requirement for the year ended December 31, 1995 was $412,118, which consisted of $150,456 from the employer and $261,662 from employees; these contributions represented 2.3% and 4.0% of covered payroll respectively. Additional employee contributions totaled $35,625. A group of employees of the city participate in the "Kansas Police and Firemen System" (KF' &F), a separate program administered by KPERS. The contribution rate (seven percent for employees) and the retirement benefits are different from those described above for other participants in KPERS. Normal retirement for KP &F participants is at age 50 with 25 years of service, age 55 with 20 years, and age 60 with 15 years. Reduced benefits are available at age 50 with 20 years of service. The "pension benefit obligation" is a standardized disclosure measure of the present value of pension benefits, adjusted for the effects of projected salary increases and step -rate benefits, estimated to be payable in the future as a result of employee service to date. The measure, which is the actuarial present value of credited projected benefits, is intended to help users assess the System's funding status on a going- concern basis, assess progress made in accumulating sufficient assets to pay benefits when due, and make comparisons among PERS and employers. The System does not make separate measurements of assets and pension benefit obligation for individual employers. The pension benefit obligation at June 30, 1995 for the System as a whole, determined through an actuarial valuation performed as of that date, was $6.99 billion. The System's net assets available for benefits on that date valued at market were estimated to be $5.51 billion, leaving an unfunded pension benefit obligation estimated at $1.48 billion. The contribution of City of Salina for the period covered by this report represents 0.3% of total contributions required of all participating entities. Ten year historical trend information showing the System's progress in accumulating sufficient assets to pay benefits when due is presented in the System's June 30, 1995 comprehensive annual financial report. F -40 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 IV. OTHER INFORMATION -continued 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, permits them to defer a portion of their salary until future years. The deferred compensation is not available to employees until termination, retirement, death, or unforeseeable emergency. All amounts of compensation deferred under the Plan, all property and rights purchased with those amounts and all income attributable to those amounts, property, or rights are (until paid or made available to the employee or other beneficiary) solely the property and rights of the City (without being restricted to the provisions of benefits under the Plan), subject only to the claims of the City's general creditors. Participants' rights under the Plan are equal to those of general creditors of the City in an amount equal to the fair market value of the deferred account for each participant. The deferred compensation plan is accounted for as an agency fund. The plan's assets are presented at fair market value and captioned as "cash and investments" with the corresponding liabilities captioned "deferred compensation benefits." It is the opinion of the City's legal counsel that the City has no liability for losses under the plan agreement but does have the duty of due care that would be required of an ordinary prudent investor. The City believes that it is unlikely that it will use the assets to satisfy the claims of general creditors in the future. 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 termination. Sick leave may be accumulated without limitation. At December 31, 1995 accrued compensated absences totaled $1,839,271. D. Flexible Benefit Plan (LR.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. 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. 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 other funds and are available to pay claims, claim reserves and administrative costs of the program. A total of $242,411 was paid in claims and administrative costs during fiscal year 1995. An excess coverage insurance policy covers individual claims in excess of $250,000 ($350,000 for claims involving employees classified as policemen or firemen). Incurred claims of $206,434, including incurred but not reported claims, have been accrued based primarily upon subsequent payments. Interfund premiums are reported as quasi- external interfund transactions. F -41 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 IV. OTHER INFORMATION -continued 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 from project inception to December 31, 1995: Although it appears project authorization was exceeded for Subdivision II, the project received reimbursements from the general fund to cover certain engineering expenses. G. Subsequent Events On February 26, 1996, the city issued $5,050,000 in temporary notes at a rate of 3.79 %. The proceeds are to be used as temporary financing for a portion of the Magnolia/1 -135 Interchange project. 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 from 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 rriaterial effect on any of the financial statements of the City at December 31, 1995. 1. 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 $632,295 reported as landfill closure and postclosure care liability at December 31 represents the cumulative amount reported to date based on the use of 2% of the estimated capacity of the landfill, plus a remaining $353,378 estimated closure costs for the original landfill which stopped accepting waste in 1994. The City's solid waste fund will recognize the remaining estimated cost of closure and postclosure care of $4,466,964 as the remaining estimated capacity is filled over the remaining life expectancy of 54 years. These amounts are based on what it would cost to perform all closure and postclosure care in 1995. Actual cost may be higher due to inflation, changes in technology, or changes in regulations. The City expects to budget the amounts necessary to fund such future costs through the normal budgeting and rate - setting process. F -42 Project Total Project Project Name Authorization Expenditures Subdivision 1 $ 1,516,000 $ 1,259,817 Magnol ia/I -35 Interchange 5,939,000 1,180,237 Subdivision 11 515,188 548,424 Subdivision III 689,443 667,714 Centennial Road 102,727 102,727 Centennial "S" Curve 49,905 49,905 Subdivision 1995 1,278,171 56,165 Ninth and Broadway 1,124,368 63,286 Although it appears project authorization was exceeded for Subdivision II, the project received reimbursements from the general fund to cover certain engineering expenses. G. Subsequent Events On February 26, 1996, the city issued $5,050,000 in temporary notes at a rate of 3.79 %. The proceeds are to be used as temporary financing for a portion of the Magnolia/1 -135 Interchange project. 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 from 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 rriaterial effect on any of the financial statements of the City at December 31, 1995. 1. 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 $632,295 reported as landfill closure and postclosure care liability at December 31 represents the cumulative amount reported to date based on the use of 2% of the estimated capacity of the landfill, plus a remaining $353,378 estimated closure costs for the original landfill which stopped accepting waste in 1994. The City's solid waste fund will recognize the remaining estimated cost of closure and postclosure care of $4,466,964 as the remaining estimated capacity is filled over the remaining life expectancy of 54 years. These amounts are based on what it would cost to perform all closure and postclosure care in 1995. Actual cost may be higher due to inflation, changes in technology, or changes in regulations. The City expects to budget the amounts necessary to fund such future costs through the normal budgeting and rate - setting process. F -42 City of Salina, Kansas NOTES TO FINANCIAL STATEMENTS December 31, 1995 IV. OTHER INFORMATION -continued 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 31, 1995 is presented below. 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 of the 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. F -43 Solid Golf Water Waste Course and Sanitation Disposal Division Sewer Total Operating revenues $ 1,075,091 $ 1,511,071 $ 641,852 $ 9,993,020 S 13,221,034 Depreciation expense 40,454 227,728 50,441 1,948,490 2,267,113 Net operating income (loss) 12,841 637,171 (12,526) 2,164,754 2,802,240 Net income (loss) 42,403 639,099 (24,507) 656,067 1,313,062 Property, plant and equipment additions 96,444 2,553,567 34,626 2,595,862 5,280,499 Net working capital 603,690 966,024 99,627 12,633,272 14,302,613 Total assets 938,036 7,071,941 437,942 71,129,010 79,576,929 Bonds Payable 0 4,228,814 53,263 35,845,000 40,127,077 Total equity 850,347 1,960,191 356,688 34,095,373 37,262,599 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 of the 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. F -43 COMBINING, INDIVIDUAL FUND AND ACCOUNT GROUP STATEMENTS AND SCHEDULES City of Salina, Kansas GENERALFUND COMPARATIVE BALANCE SHEETS December 31, 1995 and 1994 ASSETS Cash and investments Receivables Accounts Taxes Grants Interest Inventory Interfund receivable Total assets LIABILITIES AND FUND BALANCES Liabilities Accounts payable Retainage payable Deferred revenue Total liabilities Fund balances Reserved for encumbrances Reserved for inventory Unreserved Undesignated Total fund balances Total liabilities and fund balances F -44 1995 5,688,761 $ 284,475 1,874,005 4,680 297,243 72,294 Schedule 1 1994 5,338,558 424,211 985,014 0 0 58,522 8,323,776 S 6,873,831 $ 151,880 $ 211,227 25,220 5,950 1,364,788 434,151 1,541,888 651,328 1,395,228 881,232 72,294 58,522 5,314,366 5,282,749 6,781,888 6,222,503 S 8,323,776 $ 6,873,831 City of Salina, Kansas GENERAL FUND COMPARATIVE STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES For the fiscal years ended December 31, 1995 and 1994 Revenues Taxes Intergovernmental Charges for services Fines Interest Reimbursements Miscellaneous Total revenues Expenditures Current General government Public safety Public works Parks and recreation Cultural Community development Health and welfare Other Capital outlay Total expenditures Excess of revenues over expenditures Other financing sources (uses) Operating transfers in Operating transfers out Sale of assets Proceeds from lease Total other financing sources (uses) Excess of revenues and other sources over expenditures and other uses Fund balances, January 1 Fund balances, December 31 F -45 1995 $ 10,554,019 1,242, 823 1,742,782 1,092,880 808,940 46,786 507,365 1,627,248 6,717,771 1,467,141 1,741,066 470,270 223,890 382,947 113,315 15,307,552 688,043 17,000 (169,693) 24,035 0 (128,658) 559,385 Schedule 2 $ 10,493,370 1,126,272 1,462,955 1,019,966 543,696 37,854 1 ,068,758 6,425,378 1,123,640 1,721,024 379,777 131,803 440,609 512,132 1,658,788 97,579 (675,994) 0 1,653,030 $ 6,781,888 $ 6,222,503 City of Salina, Kansas Schedule 3 GENERALFUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal year ended December 31, 1995 F -46 1995 Variance Favorable Actual Budget (Unfavorable) Revenues Taxes Property $ 292,275 $ 272,567 :6 19,708 Delinquent 15,809 16,900 (1,091) Motor vehicle 197,194 170,053 27,141 Sales 8,326,155 7,852,000 474,155 Franchise 1,739,323 1,655,000 84,323 Total taxes 10,570,756 9,966,520 604,236 Intergovernmental Bingo 13,796 15,000 (1,204) City - County revenue share 313,596 313,758 (162) LAVTR 344,328 344,328 0 Liquor tax 84,825 86,268 (1,443) Federal grants 34,884 0 34,884 EMS - County 451,394 434,000 17,394 Total intergovernmental 1,242,823 1,193,354 49,469 Fees Recreation 223,104 224,200 (1,096) Activity fund 121,860 141,000 (19,140) Emergency medical services 421,385 350,000 71,385 Fire protection outside city 102,413 145,000 (42,587) Other 432,861 206,000 226,861 Total fees 1,301,623 1,066,200 235,423 Fines 1,026,956 824,000 202,956 Permits and inspection 277,660 230,000 47,660 Charges for services 441,016 436,904 4,112 Use of money and property 742,410 450,000 292,410 Reimbursements 42,107 40,000 2,107 Miscellaneous 229,705 40,000 189,705 Total revenues 15,875,056 14,246,978 1,628,078 F -46 City of Salina, Kansas Schedule 3 Page 2 GENERALFUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal year ended December 31, 1995 F -47 1995 Variance Favorable Actual Budget (Unfavorable) Expenditures General government City commission $ 67,541 $ 98,800 $ 31,259 City manager 222,628 221,228 (1,400) Legal 94,065 90,900 (3,165) Finance 282,141 320,888 38,747 Personnel 96,520 95,500 (1,020) Buildings 266,854 277,876 11,022 Human relations 109,039 112,008 2,969 Permits and inspection 214,432 207,144 (7,288) Gypsum Hill Cemetery 85,842 88,961 3,119 Contingency 164,114 215,000 50,886 Public safety Police 2,876,539 2,897,809 21,270 Municipal court 648,598 633,309 (15,289) Parking control 29,072 38,696 9,624 Fire 3,167,775 3,267,832 100,057 Public works Engineering 194,069 196,288 2,219 Streets 889,431 924,923 35,492 Flood works 100,262 102,965 2,703 Traffic control 144,139 143,757 (382) Planning 154,440 155,588 1,148 Recreation Parks and recreation 678,253 721,146 42,893 Swimming pools 71,078 68,200 (2,878) Neighborhood centers 69,014 74,570 5,556 Recreation 922,720 909,155 (13,565) Cultural Arts and humanities 214,685 200,067 (14,618) Smoky Hill Museum 255,585 205,400 (50,185) Health and welfare Health 382,947 382,947 0 Community development Agency contracts 258,106 193,425 (64,681) Capital outlay 3,042,845 2,010,000 (1,032,845) Other Administrative expenses 113,315 100,000 (13,315) Cash reserve 0 2,784,442 2,784,442 Total expenditures 15,816,049 17,738,824 1,922,775 Excess of revenues over (under) expenditures 59,007 (3,491,846) 3,550,853 F -47 City of Salina, Kansas Schedule 3 Page 3 GENERAL FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal year ended December 31, 1995 F -48 1995 Variance Favorable Actual Budget (Unfavorable) Other financing sources (uses) Operating transfer in $ 17,000 $ 17,000 ;$ 0 Operating transfer out (169,693) (228,000) 58,307 Sale of assets 24,035 8,500 15,535 Total other financing sources (uses) (128,658) (202,500) 73,842 Excess (deficiency) of revenues and other sources over (under) expenditures and other uses (69,651) (3,694,346) 3,624,695 Unreserved fund balances, January 1 4,313,622 3,694,346 619,276 Unreserved fund balances, December 31 $ 4,243,971 $ 0 S 4,243,971 F -48 City of Salina, Kansas SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET December 31, 1995 (With comparative totals for the fiscal year ended December 31, 1994) LIABILITIES AND FUND BALANCES Liabilities Accounts payable $ 1,357 $ 52,255 $ 0 $ Business Interfund payable Employee 0 Special Improvement ASSETS Benefits Utility Liability District Cash and investments $ 1,200,726 $ 401,045 $ 78,470 $ 7,729 Receivables Accounts 0 0 0 19,401 Taxes 2,080,700 693,599 324,784 0 Grants 0 0 0 0 Notes 0 0 0 0 Total assets $ 3,281,426 $ 1,094,644 $ 403,254 $ 27,130 LIABILITIES AND FUND BALANCES Liabilities Accounts payable $ 1,357 $ 52,255 $ 0 $ 0 Interfund payable 0 0 0 0 Deferred revenue 2,080,700 693,599 324,784 2,015 Total liabilities 2,082,057 745,854 324,784 2,015 Fund balances Reserved for encumbrances 0 0 0 0 Unreserved Undesignated (deficit) 1,199,369 348,790 78,470 25,115 Total fund balances (deficit) 1,199,369 348,790 78,470 25,115 Total liabilities and fund balances $ 3,281,426 $ 1,094,644 S 403,254 $ 27,130 F -49 Tourism Special and Parks and Convention Recreation $ 0 $ 84,825 $ 0 0 149,115 0 0 0 Schedule 4 Special Special Bicentennial Alcohol Gas Center 0 $ 603,200 $ 349,556 0 0 49,878 0 330,189 0 0 0 0 .V i-r�, i , ✓ .p 0Y1063 .D V .D 7.73,307 ID 377,434 $ 0 $ 0 $ 0 $ 9,561 $ 10,523 0 0 0 0 0 0 0 0 0 0 0 0 0 9,561 10,523 0 0 0 159,633 0 149,115 84,825 0 764,195 388,911 149,115 84,825 0 923,828 388,911 $ 149,115 $ 84,825 $ 0 $ 933,389 $ 399,434 F -50 City of Salina, Kansas SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET December 31, 1995 (With comparative totals for the fiscal year ended December 31, 1994) LIABILITIES AND FUND BALANCES Liabilities Accounts payable $ 0 $ Interfund payable 0 Deferred revenue 0 Total liabilities Fund balances Reserved for encumbrances Unreserved Undesignated (deficit) Total fund balances (deficit) Total liabilities and 0 1,620 $ 4,333 0 54,924 (2,496) 0 $ 0 0 0 0 0 0 79,492 0 fund balances $ 54,924 $ 3,457 $ 79,492 $ 1,569 F -51 Bicentennial HUD Community Center Community Development Heritage ASSETS Event Development Revolving Commission Cash and investments $ 54,924 $ 0 $ 79,492 492 Receivables Accounts 0 0 0 0 Taxes 0 0 0 0 Grants 0 2,441 0 1,077 Notes 0 1,016 0 0 Total assets $ 54,924 $ 3,457 $ 79,492 $ 1,569 LIABILITIES AND FUND BALANCES Liabilities Accounts payable $ 0 $ Interfund payable 0 Deferred revenue 0 Total liabilities Fund balances Reserved for encumbrances Unreserved Undesignated (deficit) Total fund balances (deficit) Total liabilities and 0 1,620 $ 4,333 0 54,924 (2,496) 0 $ 0 0 0 0 0 0 79,492 0 fund balances $ 54,924 $ 3,457 $ 79,492 $ 1,569 F -51 Special Fair Law Police Housing Enforcement Grants $ 23,784 $ 38,831 $ 0 $ 0 0 0 0 0 0 Schedule 4 Page 2 Traffic Total Safety Grant 1995 1994 0 69,279 180,266 0 3,578,387 3,641,589 $ 0 $ 0 $ 0 $ 0 $ 75,316 $ 99,553 0 0 60,460 37,525 102,318 67,526 0 0 0 0 3,101,098 3,180,073 0 0 60,460 37,525 3,278,732 3,347,152 0 0 0 0 159,633 137,307 23,784 38,831 (60,460) 7,493 3,181,927 2,617,238 23,784 38,831 (60,460) 7,493 3,341,560 2,754,545 $ 23,784 $ 38,831 $ 0 $ 45,018 $ 6,620,292 $ 6,101,697 F -52 City of Salina, Kansas SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES For the fiscal year ended December 31, 1995 (With comparative totals for the fiscal year ended December 31, 1994) F -53 Employee Special Benefits Utility Liability Revenues Taxes $ 2,623,765 $ 816,261 $ 423,331 Intergovernmental 185,000 0 0 Charges for services 0 0 0 Fines 0 0 0 Special assessments 0 0 0 Interest 0 0 0 Reimbursements 7,512 0 0 Miscellaneous 197,217 0 0 Total revenues 3,013,494 816,261 423,331 Expenditures Current General government 2,624,348 0 397,000 Public safety 0 0 0 Public works 0 703,582 0 Community development 0 0 0 Health and welfare 0 0 0 Bicentennial Center 0 0 0 Other 0 0 0 Capital outlay 0 0 0 Total expenditures 2,624,348 703,582 397,000 Excess (deficiency) of revenues over (under) expenditures 389,146 112,679 26,331 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 389,146 112,679 26,331 Fund balances, January 1 810,223 236,111 52,139 Fund balances (deficit) December 31 $ 1,199,369 $ 348,790 $ 78,470 F -53 Schedule 5 Business T Tourism S Special Improvement a and P Parks and S Special S Special B Bicentennial District C Convention R Recreation A Alcohol G Gas C Center $ 0 $ $ 594,170 $ $ 0 $ 0 0 $ 0 0 $ $ 0 0 0 0 8 84,825 8 84,825 1 1,274,897 0 0 0 0 0 0 0 0 0 0 0 6 679,625 467 0 0 0 0 0 0 0 0 0 0 93,997 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 0 0 0 0 0 0 0 0 0 0 0 0 0 0 94,464 5 594,170 8 84,825 8 84,825 1 1,274,897 6 679,625 57,999 3 372,533 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 1 152,279 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 8 84,825 0 0 0 0 0 0 0 0 0 0 0 0 0 8 878,148 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1,065,170 1 122,300 57,999 3 372,533 0 0 8 84,825 1 1,217,449 1 1,000,448 36,465 2 221,637 8 84,825 0 0 5 57,448 ( (320,823) 0 0 0 0 0 0 0 0 0 3 358,356 (17,000) ( (248,356) 0 0 0 0 0 0 0 0 (17,000) ( (248,356) 0 0 0 0 0 0 3 358,356 19,465 ( (26,719) 8 84,825 0 0 5 57,448 3 37,533 149,115 84,825 $ 0 $ 923,828 $ 388,911 F -54 City of Salina, Kansas SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES For the fiscal year ended December 31, 1995 (With comparative totals for the fiscal year ended December 31, 1994) Revenues Taxes Intergovernmental Charges for services Fines Special assessments Interest Reimbursements Miscellaneous Total revenues Expenditures Current General government Public safety Public works Community development Health and welfare Bicentennial Center Other Capital outlay Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources (uses) Operating transfers in Operating transfers out Total other financing sources (uses) Excess (deficiency) of revenues and other sources over (under) expenditure; and other uses Fund balances, January I Fund balances (deficit) Bicentennial H HUD C Community Center C Community D Development H Heritage Event D Development R Revolving C Commission 0 11,760 0 3,429 0 0 0 0 0 0 0 0 0 58,560 4,008 0 0 0 0 0 1,188,966 0 0 0 0 0 0 0 1 100 (37,256) (11,049) 0 2,135 974 0 (974) (2,135) 0 1,161 (1,161) 3,429 (489) 0 0 (37,256) (9,888) (575) (489) 92,180 7,392 80,067 2,058 December 31 $ 54,924 $ (2,496) $ 79,492 $ 1,569 F-55 1 100 (37,256) (11,049) 0 2,135 974 0 (974) (2,135) 0 1,161 (1,161) 3,429 (489) 0 0 (37,256) (9,888) (575) (489) 92,180 7,392 80,067 2,058 December 31 $ 54,924 $ (2,496) $ 79,492 $ 1,569 F-55 Schedule 5 Page 2 1,040 Special 0 Traffic Total 567 Fair Law Police Safety 388,989 309,975 Housing Enforcement Grants Grant 1995 1994 $ 0 $ 0 $ 0 $ 0 $ 4,457,527 $ 4,272,158 0 0 75,723 186,864 1,927,421 2,179,543 0 0 0 0 1,843,095 1,626,696 0 0 0 0 467 150 0 0 0 0 93,997 75,012 0 1,871 0 0 5,811 3,588 0 0 1,752 0 15,802 9,033 3,403 0 0 0 209,900 157,000 1,040 0 0 0 3,468,109 567 0 1,091 205,527 182,371 388,989 309,975 0 0 0 0 855,861 209,337 0 0 0 0 62,568 309,504 0 0 0 0 84,825 84,417 0 0 0 0 2,067,114 1,720,509 0 0 0 0 0 4,021,854 0 4,762 0 0 1,192,232 1,137,500 1,040 5,853 205,527 182,371 8,119,698 7,793,663 2,363 (3,982) (128,052) 4,493 434,322 529,517 0 0 59,693 0 421,158 432,966 0 0 0 0 (268,465) (546,712) 0 0 59,693 0 152,693 (113,746) 2,363 (3,982) (68,359) 4,493 587,015 415,771 21,421 42,813 7,899 3,000 2,754,545 2,338,774 $ 23,784 $ 38,831 $ (60,460) $ 7,493 $ 3,341,560 $ 2,754,545 F -56 City of Salina, Kansas Schedule 6 EMPLOYEE BENEFIT SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal year ended December 31, 1995 F -57 1995 Variance Favorable Actual Budget (Unfavorable) Revenues Taxes Property $ 2,106,728 $ 2,041,673 $ 65,055 Delinquent 38,643 40,600 (1,957) Motor vehicle 478,394 408,000 70,394 Total taxes 2,623,765 2,490,273 133,492 Intergovernmental 185,000 185,000 0 Reimbursed expenses 7,512 7,512 Miscellaneous revenues 197,217 197,217 Total revenues 3,013,494 2,675,273 338,221 Expenditures General government Earned leave 38,583 40,000 1,417 Unemployment 24,531 26,710 2,179 Social security 394,377 396,690 2,313 Life insurance 45,948 49,490 3,542 Kansas Police and Fire Retirement 624,465 630,000 5,535 Kansas Public Employees Retirement 93,792 106,200 12,408 Health insurance 969,977 1,070,800 100,823 Wellness 47,425 41,600 (5,825) Other benefits 5,250 0 (5,250) Administrative expenses 380,000 380,000 0 Cash reserve 0 486,000 486,000 Total expenditures 2,624,348 3,227,490 603,142 Excess (deficiency) of revenues over (under) expenditures 389,146 (552,217) 941,363 Unreserved fund balances, January 1 810,223 552,217 258,006 Unreserved fund balances, December 31 $ 1,199,369 $ 0 $ 1,199,369 F -57 City of Salina, Kansas Schedule 6 Page 2 UTILITY SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal year ended December 31, 1995 F -58 1995 Variance Favorable Actual Budget (Unfavorable) Revenues Taxes Property $ 617,418 $ 598,430 $ 18,988 Delinquent 12,945 15,800 (2,855) Motor vehicle 185,898 159,459 26,439 Total revenues 816,261 773,689 42,572 Expenditures General government Gas service 62,429 86,000 23,571 Street lighting 277,994 290,000 12,006 Water service 58,412 96,000 37,588 Light and power 264,093 308,000 43,907 Traffic control 40,654 42,000 1,346 Cash reserves 0 125,000 125,000 Total expenditures 703,582 947,000 243,418 Excess (deficiency) of revenues over (under) expenditures 112,679 (173,311) 285,990 Unreserved fund balances, January 1 236,111 173,311 62,800 Unreserved fund balances, December 31 $ 348,790 $ 0 $ 348,790 F -58 City of Salina, Kansas SPECIAL LIABILITY SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal year ended December 31, 1995 Revenues Taxes Property Delinquent Motor vehicle Total revenues Expenditures General government Administrative expenses Cash reserve Total expenditures Excess (deficiency) of revenues over (under) expenditures Unreserved fund balances, January 1 Unreserved fund balances, December 31 Schedule 6 Page 3 [alit 1995 Variance Favorable Actual Budget (Unfavorable) $ 343,451 $ 332,927 $ 10,524 5,028 6,300 (1,272) 74,852 63,455 11,397 423,331 402,682 20,649 397,000 397,000 0 0 40,000 40,000 397,000 437,000 40,000 26,331 (34,318) 60,649 52,139 34,318 17,821 $ 78,470 $ 0 $ 78,470 [alit City of Salina, Kansas Schedule 6 Page 4 BUSINESS IMPROVEMENT DISTRICT SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal year ended December 31, 1995 F -60 1995 Variance Favorable Actual Budget (Unfavorable) Revenues Fines $ 467 $ 0 $ 467 Special assessments 78,692 75,000 3,692 Total revenues 79,159 75,000 4,159 Expenditures General government Contractual 57,957 58,000 43 Other 42 0 (42) Total expenditures 57,999 58,000 1 Excess of revenues over expenditures 21,160 17,000 4,160 Other financing sources (uses) Operating transfers out (17,000) (17,000) 0 Excess of revenues over expenditures and other uses 4,160 0 4,160 Unreserved fund balances, January 1 3,569 0 3,569 Unreserved fund balances, December 31 $ 7,729 $ 0 $ 7,729 F -60 City of Salina, Kansas Schedule 6 Page 5 TOURISM AND CONVENTION SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal year ended December 31, 1995 F -61 1995 Variance Favorable Actual Budget (Unfavorable) Revenues Taxes Transient guest $ 594,061 $ 650,000 $ (55,939) Expenditures General government Contractual 372,534 390,000 17,466 Excess (deficiency) of revenues over (under) expenditures 221,527 260,000 (38,473) Other financing sources (uses) Operating transfers out (248,356) (260,000) 11,644 Excess (deficiency) of revenues over (under) expenditures and other uses (26,829) 0 (26,829) Unreserved fund balances, January 1 26,829 0 26,829 Unreserved fund balances, December 31 $ 0 $ 0 $ 0 F -61 City of Salina, Kansas Schedule 6 Page 6 SPECIAL PARKS AND RECREATION SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal year ended December 31, 1995 Revenues Intergovernmental Expenditures Cash reserve Excess of revenues over expenditures Unreserved fund balances, January 1 Unreserved fund balances, December 31 1995 Variance Favorable Actual Budget (Unfavorable) a o- t,o.L.) .n ov,wo a ki,++�) 84,825 0 84,825 $ 84,825 $ 0 $ 84,825 F -62 City of Salina, Kansas SPECIAL ALCOHOL SPECIAL REVENUE FUND Schedule 6 Page 7 SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal year ended December 31, 1995 Revenues Intergovernmental Expenditures Health and welfare Contractual Excess of revenues over expenditures Unreserved fund balances, January I Unreserved fund balances, December 31 1995 Variance Favorable Actual Budget (Unfavorable) $ 84,825 $ 86,267 $ (1,442) 84,825 86,267 1,442 0 0 0 0 0 0 $ 0 $ 0 $ 0 F -63 City of Salina, Kansas Schedule 6 Page 8 SPECIAL GAS TAX SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal year ended December 31, 1995 F -64 1995 Variance Favorable Actual Budget (Unfavorable) Revenues Intergovernmental $ 1,266,537 $ 1,300,000 $ (33,463) Expenditures Public works Supplies 146,994 134,130 (12,864) Other services 4,834 0 (4,834) Capital outlay 1,087,946 1,105,400 17,454 Cash reserve 0 377,082 377,082 Total expenditures 1,239,774 1,616,612 376,838 Excess (deficiency) of revenues over (under) expenditures 26,763 (316,612) 343,375 Unreserved fund balances, January 1 407,243 316,612 90,631 Unreserved fund balances, December 31 $ 434,006 $ 0 $ 434,006 F -64 City of Salina, Kansas Schedule 6 Page 9 BICENTENNIAL CENTER SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal year ended December 31, 1995 Revenues Charges for services Expenditures Bicentennial Center Personal services Supplies Contractual Other services and charges Capital outlay Cash reserve Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources Operating transfers in Excess (deficiency) of revenues and other sources over (under) expenditures Unreserved fund balances, January 1 Unreserved fund balances, December 31 1995 Variance Favorable Actual Budget (Unfavorable) $ 695,105 $ 663,000 $ 32,105 490,164 530,447 40,283 50,635 52,200 1,565 687 2,000 1,313 336,662 328,100 (8,562) 122,300 105,400 (16,900) 0 327,721 327,721 1,000,448 1,345,868 345,420 (305,343) (682,868) (313,315) 358,356 370,000 (11,644) 53,013 (312,868) (324,959) 286,020 312,868 (26,848) $ 339,033 $ 0 $ 339,033 F -65 City of Salina, Kansas Schedule 6 Page 10 BICENTENNIAL CENTER EVENT SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL For the fiscal year ended December 31, 1995 1995 Revenues Charges for services $ 1,151,710 Expenditures Bicentennial Center Supplies 1,188,966 Excess (deficiency) of revenues over (under) expenditures (37,256) Unreserved fund balances, January 1 92,180 Unreserved fund balances, December 31 $ 54,924 F -66 City of Salina, Kansas HUD COMMUNITY DEVELOPMENT SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL For the fiscal year ended December 31, 1995 Revenues Intergovernmental Interest Reimbursements Miscellaneous Total revenues Expenditures Community development Personal services Supplies Contractual Total expenditures Excess of revenues over expenditures Other financing sources (uses) Operating transfers in Operating transfers out Total other financing sources Excess of revenues and other sources over expenditures and other uses Unreserved fund balances (deficit), January 1 Unreserved fund balances (deficit), December 31 F -67 Schedule 6 Page 11 1995 $ 44,885 302 16,326 7,417 68,930 9,566 326 48,669 58,561 10,369 2,135 (974) 1,161 11,530 (17,483) $ (5,953) City of Salina, Kansas Schedule 6 Page 12 COMMUNITY DEVELOPMENT REVOLVING SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL For the fiscal year ended December 31, 1995 Revenues Interest Reimbursements Total revenues Expenditures Community development Contractual Excess of revenues over expenditures Other financing sources (uses) Operating transfers in Operating transfers out Total other financing sources (uses) Excess (deficiency) of revenues and other sources over (under) expenditures and other uses Unreserved fund balances, January 1 Unreserved fund balances, December 31 F -68 1995 $ 3,638 956 4,594 4,008 ca.< 974 (2,135) (1,161) (575) nniir_a� $ 79,492 City of Salina, Kansas Schedule 6 Page 13 HERITAGE COMMISSION SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL For the fiscal year ended December 31, 1995 1995 Revenues Miscellaneous $ 1,863 Expenditures General government Supplies 3,342 Other 8'7 Total expenditures 3,429 Excess (deficiency) of revenues over (under) expenditures (1,566) Unreserved fund balances, January 1 2,058 Unreserved fund balances, December 31 $ 492 F -69 City of Salina, Kansas Schedule 6 Page 14 FAIR HOUSING SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL For the fiscal year ended December 31, 1995 1995 Revenues Miscellaneous $ 3,402 Expenditures General government Contractual 1,039 Excess of revenues over expenditures 2,363 Unreserved fund balances, January 1 21,421 Unreserved fund balances, December 31 $ 23,784 F -70 City of Salina, Kansas Schedule 6 Page 15 SPECIAL LAW ENFORCEMENT SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL For the fiscal year ended December 31, 1995 1995 Revenues Interest $ 1,871 Expenditures Public safety Supplies 1,091 Capital outlay 4,762 Total expenditures 5,853 Excess (deficiency) of revenues over (under) expenditures (3,982) Unreserved fund balances, January 1 42,813 Unreserved fund balances, December 31 $ 38,831 F -71 City of Salina, Kansas Schedule 6 Page 16 POLICE GRANTS SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL For the fiscal year ended December 31, 1995 Revenues 9UOC Intergovernmental $ 88,632 Reimbursements 1,752 Total revenues on '2an Expenditures Public safety Personal services 145,834 Other services co A012 Total expenditures 205 527 Excess (deficiency) of revenues over (under) expenditures (115,143) Other financing sources Operating transfers in 59691 Excess (deficiency) of revenue and other sources over (under) expenditures (55,450) Unreserved fund balances (deficit), January 1 (S m m Unreserved fund balances (deficit), December 31 $ (60,460) F -72 City of Salina, Kansas Schedule 6 Page 17 TRAFFIC SAFETY GRANT SPECIAL REVENUE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL For the fiscal year ended December 31, 1995 F -73 1995 Revenues Intergovernmental $ 207,571 Expenditures Public safety Personal services 167,800 Supplies 14,571 Total expenditures 182,371 Excess of revenues over expenditures 25,200 Unreserved fund balances (deficit), January 1 (62,725) Unreserved fund balances (deficit), December 31 $ (37,525) F -73 City of Salina, Kansas BOND AND INTEREST DEBT SERVICE FUND COMPARATIVE BALANCE SHEETS December 31, 1995 and 1994 ASSETS Cash and investments Receivables Taxes Special assessments Total assets LIABILITIES AND FUND BALANCES Liabilities Deferred revenue Fund balances Unreserved Designated for debt service Total liabilities and fund balances F -74 Schedule 7 1 nnz 1I ll I $ 1,024,020 $ 797,083 1,002,081 1,880,913 0 3,293,020 $ 2,026,101 $ 5,971,016 $ 1,002,081 $ 5,173,933 1,024,020 797,083 $ 2,026,101 $ 5,971,016 City of Salina, Kansas DEBT SERVICE FUND COMPARATIVE STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES For the fiscal years ended December 31, 1995 and 1994 Revenues Taxes Special assessments Interest Miscellaneous Total revenues Expenditures Debt service Principal Interest and other charges Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources Operating transfers in Excess of revenues and other sources over expenditures Fund balances, January 1 Residual equity transfer in Fund balances, December 31 F -75 $ 2,127,230 $ 883,807 8,316 Schedule 8 1,388,376 793,190 1,371 3,019,353 2,192,853 2,235,447 2,163,130 218,566 (579,966) A 218,566 112,195 797,083 539,887 Q '7'71 , .1 .,.., $ 1,024,020 $ 797,083 City of Salina, Kansas Schedule 9 BOND AND INTEREST DEBT SERVICE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ACTUAL AND BUDGET For the fiscal year ended December 31, 1995 F -76 1995 Variance Favorable Revenues Actual Budget (Unfavorable) Taxes Property $ 1,832,581 $ 1,776,003 $ 56,578 Delinquent 25,190 22,800 2,390 Motor vehicle 269,459 229,033 40,426 Total taxes 2,127,230 2,027,836 99,394 Special assessments 883,807 870,000 13,807 Interest Accrued interest 8,316 0 8,316 Total revenues 3,019,353 2,897,836 121,517 Expenditures Debt service Principal 2,235,447 2,355,447 120,000 Interest 564,626 657,628 93,002 Commission and postage 714 1,500 786 Cash reserve 0 400,000 400,000 Total expenditures 2,800,787 3,414,575 613,788 Excess (deficiency) of revenues over (under) expenditures 218,566 (516,739) 735,305 Unreserved fund balances, January 1 797,083 516,739 280,344 Residual equity transfer in 8,371 0 8,371 Unreserved fund balances, December 31 $ 1,024,020 $ 0 $ 1,024,020 F -76 City of Salina, Kansas Schedule 10 CAPITAL PROJECTS FUND COMPARATIVE BALANCE SHEETS December 31, 1995 ASSETS 1995 1994 Cash and investments $ 460,608 $ 322,454 Receivable Grants 77,308 0 Total assets $ 537,916 $ 322,454 LIABILITIES AND FUND BALANCES Liabilities Accounts payable $ 170,953 $ 28,738 Retainage payable 0 15,316 Total liabilities 170,953 44,054 Fund balances Reserved for encumbrances 1,481,153 803,426 Unreserved Undesignated (deficit) (1,114,190) (525,026 Total fund balances 366,963 278,400 Total liabilities and fund balances $ 537,916 $ 322,454 F -77 City of Salina, Kansas CAPITAL PROJECTS FUND COMPARATIVE STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES For the fiscal years ended December 31, 1995 and 1994 Revenues Intergovernmental Charges for services Special assessments Interest Reimbursements Total revenues Expenditures Capital outlay Contractual Capital outlay Debt service Temporary note payments Interest expense Bond issuance costs Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources (uses) Bond and temporary note proceeds Excess of revenues and other sources over expenditures Fund balances, January 1 Residual equity transfers out Fund balances, December 31 F -78 Schedule 11 1995 1994 $ 195,642 $ 50,730 89,413 0 46,563 0 11,771 16,325 109,675 132,802 1,024,701 793,245 1,495,000 70,659 11 (2,952,066) 96,934 278,400 0 2,201,156 1,028,000 0 (3,029,299) 160,701 262,700 $ 366,963 $ 278,400 City of Salina, Kansas ENTERPRISE FUNDS COMBINING BALANCE SHEET December 31, 1995 (With comparative totals for the fiscal year ended December 31, 1994) Cash and investments Receivables Accounts Interest Grants Inventory and prepaid supplies Restricted cash and investments Fixed assets Land Land improvement Water plant and equipment Sewerage plant and equipment Equipment Vehicles Buildings Construction in process Accumulated depreciation Deferred charges Total assets ASSETS LIABILITIES AND FUND BALANCES Liabilities Accounts payable Accrued compensated absences Meter deposits payable Payable from restricted assets Accrued interest payable Revenue bonds payable - current Accounts and retainage payable General obligation bonds payable - current Temporary notes payable - current General obligation bonds payable Revenue bonds payable Temporary notes payable Landfill closure and postclosure Total liabilities Equity Contributed capital Retained Earnings Reserved for bond retirement Unreserved Total equity Total liabilities and equity F -79 Solid Waste Sanitation Disposal $ 622,698 $ 1,386,041 68,681 68,075 0 4,053 0 0 0 0 0 0 18,000 120,000 0 2,643,278 0 0 0 0 584,363 258,104 306,338 1,023,657 0 170,760 0 2,011,077 (662,044) (645,156) n 21) nc1) $ 938,036 $ 7,071,941 $ 2,414 $ 60,982 85,275 25,651 0 0 0 63,739 0 0 0 100,269 0 241,504 0 765,000 0 1,827,310 0 0 0 1,395,000 0 632,295 87,689 5,111,750 5,187 72,743 0 0 845,160 1,887,448 850,347 1,960,191 $ 938,036 $ 7,071,941 Schedule 12 Total Golf Course Water and Inne 1n01 A $ 111,152 $ 13,265,730 $ 15,385,621 $ 8,916,067 0 548,948 685,704 1,357,860 0 62,717 66,770 0 0 570,068 570,068 0 15,941 329,446 345,387 326,456 0 10,607,088 10,607,088 17,268,221 15,000 361,050 514,050 514,050 184,938 0 2,828,216 1,983,984 0 29,330,679 29,330,679 28,874,626 0 34,491,856 34,491,856 34,089,749 682,932 477,954 2,003,353 1,808,886 18,429 0 1,348,424 1,424,911 225,232 0 395,992 395,791 0 2,722,855 4,733,932 1,607,081 (815,682) (22,184,304) (24,307,186) (22,340,691) 0 544,923 576,975 605,407 $ 437,942 $ 71,129,010 $ 79,576,929 $ 76,832,398 $ 6,250 $ 21,216 0 525 0 0 6,707 0 46,556 0 0 81,254 316,916 $ 247,939 85,419 476,116 955,000 62,247 0 0 0 34,890,000 0 386,562 $ 380,081 85,419 540,380 955,000 162,516 248,211 765,000 1,873,866 34,890,000 1,395,000 37,033,637 42,314,330 246,833 368,020 84,452 525,326 880,000 576,493 0 339,537 1,387,093 35,845,000 840,000 629,750 1,700 8,385,683 8,465,313 7,625,670 0 4,296,012 4,296,012 4,223,749 354,988 21,413,678 24,501,274 23,260,475 356,688 34,095,373 37,262,599 35,109,894 $ 437,942 $ 71,129,010 $ 79,576,929 $ 76,832,398 F -80 City of Salina, Kansas ENTERPRISE FUNDS COMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS For the fiscal year ended December 31, 1995 (With comparative totals for the fiscal year ended December 31, 1994) Operating revenues Intergovernmental Charges for services Miscellaneous Total operating revenues Operating expenses Public works Recreation Depreciation Total operating expenses Operating income (loss) Nonoperating revenues (expenses) Interest Miscellaneous Bond issuance costs Debt service Loss on investments Loss on disposition of fixed assets Total nonoperating revenues (expenses) Net income (loss) Retained earnings, January I Prior period adjustment Retained earnings, December 31 F -81 1,021,796 646,172 0 0 1,062,250 873,900 29,562 48,200 0 0 0 0 0 (44,272) 0 0 29,562 Solid Waste Sanitation Disposal $ 0 $ 12,107 1,061,691 1,471,341 13,400 27,623 1,075,091 1,511,071 1,021,796 646,172 0 0 1,062,250 873,900 29,562 48,200 0 0 0 0 0 (44,272) 0 0 29,562 1,928 42,403 802,757 639,099 1,248,349 $ 845,160 $ 1,887,448 Schedule 13 $ 354,988 $ 25,709,690 $ 28,797,286 $ 27,484,224 F -82 Total Golf Course Water and Division Sewer 1995 1994 $ 0 $ 0 $ 12,107 $ 0 635,921 9,853,879 13,022,832 12,162,238 5,931 139,141 186,095 113,840 641,852 9,993,020 13,221,034 12,276,078 0 5,879,776 7,547,744 6,974,105 603,937 0 603,937 540,554 50,441 1,948,490 2,267,113 1,694,309 654,378 7,828,266 10,418,794 9,208,968 (12,526) 2,164,754 2,802,240 3,067,110 5,273 629,896 712,931 866,686 0 0 0 93,864 0 (39,705) (39,705) 0 (2,350) (2,054,048) (2,100,670) (1,505,869) 0 (29,297) (29,297) 0 (14,904) (15,533) (32,437) (20,588) (11,981) (1,508,687) (1,489,178) (565,907) (24,507) 656,067 1,313,062 2,501,203 379,495 25,053,623 27,484,224 25,465,271 0 0 0 (482,250) $ 354,988 $ 25,709,690 $ 28,797,286 $ 27,484,224 F -82 City of Salina, Kansas ENTERPRISE FUNDS COMBINING STATEMENT OF CASH FLOWS For the fiscal year ended December 31, 1995 (With comparative totals for the fiscal year ended December 31, 1994) Cash flows from noncapital financing activities Other nonoperating receipts 0 0 Net increase (decrease) in cash and cash equivalents (14,693) 203,242 Cash and cash equivalents, January 1 637,391 1,182,799 Cash and cash equivalents, December 31 $ 622,698 $ 1,386,041 Cash and investments $ 622,698 $ 1,386,041 Restricted cash and investments 0 0 Total cash and cash equivalents $ 622,698 $ 1,386,041 F -83 Solid Waste Sanitation Disposal Cash flows from operating activities Cash received from customers and users $ 1,050,499 $ 1,473,207 Cash paid to suppliers and employees (1,016,897) (513,220) Operating grant receipts 0 12,107 Other operating receipts 13,400 27,623 Net cash provided by operating activities 47,002 999,717 Cash flows from capital and related financing activities Purchase and construction of fixed assets (96,444) (2,553,567) Principal payments - temporary notes 0 (745,000) Principal payments - general obligation bonds 0 (167,846) Principal payments - revenue bonds 0 0 Interest paid 0 (24,915) Proceeds from issuance of debt 0 2,635,000 Contributed capital 5,187 15,706 Net cash used in capital and related financing activities (91,257) (840,622) Cash flows from investing activities Interest received 29,562 44,147 Cash flows from noncapital financing activities Other nonoperating receipts 0 0 Net increase (decrease) in cash and cash equivalents (14,693) 203,242 Cash and cash equivalents, January 1 637,391 1,182,799 Cash and cash equivalents, December 31 $ 622,698 $ 1,386,041 Cash and investments $ 622,698 $ 1,386,041 Restricted cash and investments 0 0 Total cash and cash equivalents $ 622,698 $ 1,386,041 F -83 Schedule 14 Total Golf Course Water and Division Sewer 1995 1994 $ 635,921 $ 10,536,328 $ 13,695,955 $ 11,838,591 (592,910) (6,307,227) (8,430,254) (7,209,654) 0 0 12,107 0 5,931 139,141 186,095 113,840 48,942 4,368,242 5,463,903 4,742,777 (34,626) (2,595,842) (5,280,479) (7,416,079) 0 0 (745,000) 0 (6,707) 0 (174,553) (161,870) 0 (880,000) (880,000) (805,000) (2,434) (2,069,540) (2,096,889) (2,033,734) 0 0 2,635,000 12,546,731 1,700 246,982 269,575 865,000 (42,067) (5,298,400) (6,272,346) 2,995,048 5,273 567,179 646,161 1,012,585 0 (29,297) (29,297) 0 12,148 (392,276) (191,579) 8,750,410 99,004 24,265,094 26,184,288 17,433,878 $ 111,152 $ 23,872,818 $ 25,992,709 $ 26,184,288 $ 111,152 $ 13,265,730 $ 15,385,621 $ 8,916,067 0 10,607,088 10,607,088 17,268,221 $ 111,152 $ 23,872,818 $ 25,992,709 $ 26,184,288 F -84 City of Salina, Kansas ENTERPRISE FUNDS COMBINING STATEMENT OF CASH FLOWS For the fiscal year ended December 31, 1995 (With comparative totals for the fiscal year ended December 31, 1994) Reconciliation of operating income (loss) to net cash provided by operating activities Operating income (loss) Adjustments to reconcile operating income (loss) 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 accrued compensated absences Increase (decrease) in meter deposits payable Increase (decrease) in accounts and retainage payable Increase (decrease) in landfill closure and postclosure Net cash provided by operating activities F -85 Solid Waste Sanitation Disposal 12,841 $ 637,171 40,454 227,728 (11,192) 1,866 0 0 1,956 42,811 2,943 3,929 0 0 0 83,667 0 2,545 $ 47,002 $ 999,717 Schedule 14 Page 2 Total Golf Course Water and $ (12,526) $ 2,164,754 $ 2,802,240 $ 3,067,110 50,441 1,948,490 2,267,113 1,694,309 0 681,482 672,156 (322,672) 9,948 (28,879) (18,931) 41,224 2,432 92,530 139,729 85,201 (1,353) 6,542 12,061 31,080 0 967 967 (975) 0 (497,644) (413,977) 0 0 0 2,545 147,500 $ 48,942 $ 4,368,242 $ 5,463,903 $ 4,742,777 F -86 City of Salina, Kansas Schedule 15 SANITATION ENTERPRISE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - ACTUAL AND BUDGET For the fiscal year ended December 31, 1995 F -87 1995 Variance Favorable Actual Budget (Unfavorable) Revenues Charges for services $ 1,050,500 $ 1,020,000 $ 30,500 Interest 29,563 20,000 9,563 Miscellaneous 13,400 1,000 12,400 Total revenues 1,093,463 1,041,000 52,463 Expenditures General government Administrative expense 98,642 98,642 0 Public works Personal services 514,479 512,480 (1,999) Supplies 132,453 141,300 8,847 Contractual 15,052 15,300 248 Other services and charges 258,228 267,200 8,972 Capital outlay 91,257 97,800 6,543 Cash reserve 0 428,532 428,532 Total expenditures 1,110,111 1,561,254 451,143 Excess (deficiency) of revenues over (under) expenditures (16,648) (520,254) 503,606 Unreserved fund balances, January 1 636,933 520,254 116,679 Unreserved fund balances, December 31 $ 620,285 $ 0 $ 620,285 F -87 F -88 City of Salina, Kansas Schedule 15 Page 2 SOLID WASTE DISPOSAL DIVISION ENTERPRISE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - ACTUAL AND BUDGET For the fiscal year ended December 31, 1995 1995 Variance Favorable Actual Budget (Unfavorable) Revenues Intergovernmental $ 12,107 $ 0 $ 12,107 Charges for services 1,489,643 1,440,000 49,643 Interest 48,200 22,000 26,200 Reimbursements 15 0 15 Miscellanaeous 27,609 0 27,609 Total revenues 1,577,574 1,462,000 115,574 Expenditures General government Administrative expenses 47,765 47,765 0 Public works Personal services 290,585 298,306 7,721 Supplies 154,910 149,900 (5,010) Contractual 6,120 89,500 83,380 Other services and charges 156,020 226,700 70,680 Capital outlay 376,830 409,000 32,170 Debt service Principal 332,846 432,845 99,999 Interest 75,661 127,740 52,079 Commission and postage 1 0 (1) Cash reserve 0 378,901 378,901 Total expenditures 1,440,738 2,160,657 719,919 Excess (deficiency) of revenues over (under) expenditures 136,836 (698,657) 835,493 Other financing sources (uses) Temporary notes 0 281,000 (281,000) Excess (deficiency) of revenues and other sources over (under) expenditures 136,836 (417,657) 554,493 Unreserved fund balances, January 1 821,188 417,657 403,531 Unreserved fund balances, December 31 $ 958,024 $ 0 $ 958,024 F -88 City of Salina, Kansas SOLID WASTE CONSTRUCTION ENTERPRISE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - ACTUAL For the fiscal year ended December 31, 1995 Revenues Interest Expenditures Public works Other services and charges Capital outlay Debt service Interest Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources (uses) Bond proceeds Temporary notes proceeds Bond issuance costs Temporary notes paid Total other financing sources (uses) Excess of revenues and other sources over expenditures and other uses Unreserved fund balances, January 1 Unreserved fund balances, December 31 F -89 Schedule 15 Page 3 1995 $ 26,359 125,168 1,835,934 17,342 1,978,444 (1,952,085) 735,000 1,900,000 (15,204) (580,000) � non -nc 87,711 i nnc $ 89,117 City of Salina, Kansas GOLF COURSE DIVISION ENTERPRISE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - ACTUAL AND BUDGET For the fiscal year ended December 31, 1995 Revenues Taxes Sales Charges for services Interest Reimbursements Miscellaneous Total revenues Expenditures General government Administrative expenses Recreation Personal services Supplies Contractual Other services and charges Capital outlay Debt service Principal Interest Cash reserve Total expenditures Excess (deficiency) of revenues over (under) expenditures Unreserved fund balances, January I Unreserved fund balances, December 31 'schedule 15 Pa g_ e4 1995 Variance Favorable Actual Budget (Unfavorable) $ 19,480 $ 15,000 $ 4,480 616,441 592,000 24,441 5,273 2,500 2,773 210 200 10 5,721 2,000 3,721 647,125 611,700 35,425 44,321 44,771 450 260,274 265,981 5,707 109,442 86,700 (22,742) 26,044 17,500 (8,544) 155,262 130,300 (24,962) 32,925 48,000 15,075 6,707 9,142 2,435 2,434 0 (2,434) 0 113,789 113,789 637,409 716,183 78,774 9,716 (104,483) 114,199 95,186 104,483 (9,297) $ 104,902 $ 0 $ 104,902 F -90 City of Salina, Kansas WATER AND SEWER ENTERPRISE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - ACTUAL AND BUDGET For the fiscal year ended December 31, 1995 Revenues Charges for services Interest Miscellaneous Total revenues Expenditures General government Administrative expenses Public works Personal services Supplies Contractual Other services and charges Capital outlay Debt service Commission and postage Cash reserves Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources (uses) Operating transfers out Excess (deficiency) of revenues over (under) expenditures and other uses Unreserved fund balances, January 1 Unreserved fund balances, December 31 'schedule 15 Pace 5 1995 Variance Favorable $ 9,841,994 $ 9,203,000 $ 372,368 200,000 171,008 100,000 10,385,370 9,503,000 469,200 2,222,379 1,461,151 1,036,485 1,087,194 3,421,909 822 686,230 469,200 2,250,814 1,596,200 736,495 1,156,600 1,001,750 1,000 638,994 172,368 0 28,435 135,049 (299,990) 69,406 (2,420,159) 178 12,249,159 2,550,019 (2,746,159) 3,432,389 (2,186,690) (2,506,000) 319,310 (1,500,460) (5,252,159) 3,751,699 6,612,932 5,252,159 1,360,773 $ 5,1 12,472 $ 0 $ 5,112,472 F -91 City of Salina, Kansas �ichedule 15 Pa eg_6 WATER AND SEWER PRINCIPAL AND INTEREST ENTERPRISE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - ACTUAL For the fiscal year ended December 31, 1995 Revenues Charges for services Interest Total revenues Expenditures Debt service Principal Interest Commission and postage Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources (uses) Operating transfers in Excess of revenues and other sources over expenditures Unreserved fund balances, January 1 Unreserved fund balances, December 31 F -92 1995 $ 93,192 205,083 298,275 880,000 1,588,797 1,247 2,470,044 (2,171, 769) 2,186,690 14,921 615,517 $ 630,438 City of Salina, Kansas WATER AND SEWER BOND RESERVE ENTERPRISE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - ACTUAL For the fiscal year ended December 31, 1995 Schedule 15 Pe 77 1995 Revenues $ 0 Expenditures _ 0 Excess of revenues over expenditures 0 Unreserved fund balances, January 1 3,602,858 Unreserved fund balances, December 31 $ 3,602,858 Comprised of: Extension and Bond Retirement Reserve $ 979,758 1990 Bond Reserve 786,500 1992 Bond Reserve 1,340,000 Depreciation and Emergency Replacement 125,000 1993 Bond Reserve 265,000 1994 Bond Reserve 106,600 $ 3,602,858 F -93 City of Salina, Kansas Schedule 15 Page 8 WATER AND SEWER CONSTRUCTION ENTERPRISE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - ACTUAL For the fiscal year ended December 31, 1995 Expenditures General government Administrative expenses 98,449 Capital outlay _ 41,555 Total expenditures _ 140,004 Excess of revenues over expenditures 914,320 Other financing sources (uses) Bond issuance costs (23) Excess of revenues over expenditures and other uses _ 914,297 Unreserved fund balances (deficit), January 1 - (157,051) Unreserved fund balances, December 31 $ 757,246 F -94 1995 Revenues Intergovernmental $ 890,500 Charges for services 5,257 Interest 61,547 Miscellaneous 97,020 Total revenues 1,054,324 Expenditures General government Administrative expenses 98,449 Capital outlay _ 41,555 Total expenditures _ 140,004 Excess of revenues over expenditures 914,320 Other financing sources (uses) Bond issuance costs (23) Excess of revenues over expenditures and other uses _ 914,297 Unreserved fund balances (deficit), January 1 - (157,051) Unreserved fund balances, December 31 $ 757,246 F -94 City of Salina, Kansas INTERNAL SERVICE FUNDS COMBINING BALANCE SHEET December 31, 1995 (With comparative totals for the fiscal year ended December 31, 1994) Cash and investments Receivables Accounts Deposits Inventory Fixed assets Equipment Vehicles Buildings Accumulated depreciation Total assets Worker's Risk Compensation ASSETS Management Reserve $ 427,685 $ 814,453 0 0 0 39,693 0 0 LIABILITIES AND EQUITY Liabilities Accounts payable Accrued compensated absences Accrued claims payable Total liabilities Equity Contributed capital Retained earnings Unreserved Total liabilities and equity F -95 0 0 0 0 0 0 0 0 $ 427,685 $ 854,146 $ 40 $ 0 1,023 0 1,063 206,434 0 0 $ 427,685 $ 854,146 Schedule 16 Total Central Information Inne 1nnA $ 47,137 $ 126,108 $ 1,415,383 $ 1,053,744 0 0 0 24,850 0 0 39,693 0 66,820 0 66,820 0 134,972 846,742 981,714 889,439 15,910 0 15,910 12,444 22,072 0 22,072 22,072 (120,513) (316,966) (437,479) (294,466) $ 166,398 $ 655,884 $ 2,104,113 $ 1,708,083 $ 34,041 $ 4,055 $ 38,136 $ 314,314 16,270 13,133 30,426 38,289 0 0 206,434 0 50,311 17,188 274,996 352,603 16,611 438,567 455,178 410,243 99,476 200,129 1,373,939 945,237 $ 166,398 $ 655,884 $ 2,104,113 $ 1,708,083 F -96 City of Salina, Kansas INTERNAL SERVICE FUNDS COMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS For the fiscal year ended December 31, 1995 (With comparative totals for the fiscal year ended December 31, 1994) Operating revenues Charges for services Reimbursements Miscellaneous Total operating revenues Operating expenses General government Other Depreciation Total operating expenses Operating income (loss) Nonoperating revenues (expenses) Loss on disposition of fixed assets Net income (loss) Retained earnings, January 1 Restatement Retained earnings, January 1, as restated Retained earnings, December 31 F -97 Worker's Risk Compensation Management Reserve $ 512,338 $ 514,536 0 1,627 0 0 338,223 242,411 0 0 174,115 273,752 252,507 373,960 0 0 252,507 373,960 $ 426,622 $ 647,712 Central Information Schedule 17 Total 1995 1994 $ 691,094 $ 206,075 $ 1,924,043 $ 1,947,478 3,780 120,000 125,407 6,643 0 1,732 1,732 3,206 694,874 327,807 2,051,182 1,957,327 0 265,083 845,717 917,604 698,459 0 698,459 645,889 5,670 148,954 154,624 71,110 704,129 414,037 1,698,800 1,634,603 (9,255) (86,230) 352,382 322,724 0 (1,146) (1,146) (131,673) (9,255) (87,376) 351,236 191,051 31,265 287,505 945,237 754,186 77,466 0 77,466 0 108,731 287,505 1,022,703 754,186 $ 99,476 $ 200,129 $ 1,373,939 $ 945,237 F -98 City of Salina, Kansas INTERNAL SERVICE FUNDS COMBINING STATEMENT OF CASH FLOWS For the fiscal year ended December 31, 1995 (With comparative totals for the fiscal year ended December 31, 1994) Worker's Risk Compensation Management Reserve Cash flows from operating activities Cash received from customers $ 512,338 $ 501,320 Cash paid to suppliers and employees (361,351) (270,406) Other operating receipts 0 0 Net cash provided by (used for) operating activities 150,987 230,914 Cash flows from capital and related financing activities Purchase of fixed assets 0 0 Contributed capital 0 0 Net cash used for capital and related financing activities 0 0 Net increase (decrease) in cash and cash equivalents 150,987 230,914 Cash and cash equivalents, January 1 276,698 583,539 Cash and cash equivalents, December 31 $ 427,685 $ 814,453 F -99 Central Garage $ 694,874 $ (711,406) (16,532) Schedule 18 Total Information Services 1995 1994 326,075 $ 2,034,607 $ 1,942,271 (267,974) (1,611,137) (1,716,958) 59,833 (24,136) 4,275 (84,362) 40,660 (19,861) (43,702) 425,202 (108,498) 228,519 (32,768) (63,563) (32,768) (36,393) 16,131 361,639 195,751 83,530 109,977 1,053,744 857,993 $ 47,137 $ 126,108 $ 1,415,383 $ 1,053,744 F -100 City of Salina, Kansas INTERNAL SERVICE FUNDS COMBINING STATEMENT OF CASH FLOWS For the fiscal year ended December 31, 1995 (With comparative totals for the fiscal year ended December 31, 1994) Reconciliation of operating income (loss) to net cash provided by operating Risk activities Management Operating income (loss) 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 accrued compensated absences Increase (decrease) in claims payable Net cash provided by (used for) operating activities F -101 174,115 $ 0 0 0 0 (16,077) (7,051) 0 Worker's Compensation Reserve 273,752 0 24,850 (39,693) 0 0 0 (27,995) $ 150,987 $ 230,914 Schedule 18 Page 2 Total Central Information Garage Services 1995 1994 $ (9,255) $ (86,230) $ 352,382 $ 322,724 5,670 148,954 154,624 71,110 0 0 24,850 (11,850) 0 0 (39,693) 0 10,646 0 10,646 0 (20,320) (5,352) (41,749) (158,449) (3,273) 2,461 (7,863) 4,984 0 0 (27,995) 0 $ (16,532) $ 59,833 $ 425,202 $ 228,519 F -102 City of Salina, Kansas '3chedule 19 RISK MANAGEMENT RESERVE INTERNAL SERVICE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - ACTUAL AND BUDGET For the fiscal year ended December 31, 1995 Revenues Charges for services Expenditures General government Personal services Supplies Contractual Other services and charges Capital outlay Cash reserve Total expenditures Excess (deficiency) of revenues over (under) expenditures Unreserved fund balances, January 1 Unreserved fund balances, December 31 1995 Variance Favorable Actual Budget (Unfavorable) $ 512,338 $ 512,338 $ 0 49,120 58,577 9,457 2,887 1,900 (987) 288,692 428,000 139,308 4,575 4,800 225 0 1,500 1,500 0 208,941 208,941 345,274 703,718 358,444 167,064 (191,380) 358,444 260,581 191,380 69,201 $ 427,645 $ 0 $ 427,645 F -103 City of Salina, Kansas Schedule 19 Page 2 WORKMEN'S COMPENSATION RESERVE INTERNAL SERVICE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - ACTUAL AND BUDGET For the fiscal year ended December 31, 1995 Revenues Charges for services Reimbursements Total revenues Expenditures General government Contractual Cash reserve Total expenditures Excess (deficiency) of revenues over (under) expenditures Unreserved fund balances, January 1 Unreserved fund balances, December 31 1995 Variance Favorable Actual Budget (Unfavorable) $ 514,536 $ 514,536 $ 0 516,163 514,536 1,627 264,091 424,000 159,909 0 774,760 774,760 252,072 (684,224) 936,296 355,948 684,224 (328,276) $ 608,020 $ 0 $ 608,020 F -104 City of Salina, Kansas Schedule 19 1'a_e 3 CENTRAL GARAGE DIVISION INTERNAL SERVICE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - ACTUAL AND BUDGET For the fiscal year ended December 31, 1995 Revenues Charges for services Reimbursements Total revenues Expenditures General government Personal services Supplies Other services and charges Administrative expenses Capital outlay Cash reserve Total expenditures Excess (deficiency) of revenues over (under) expenditures Unreserved fund balances, January 1 Unreserved fund balances, December 31 Actual $ 691,094 $ 694,874 178,463 495,399 12,864 6,500 19,861 713,087 (18,213) 1995 Variance Favorable Budget (Unfavorable) 823,802 $ (132,708) 0 3,780 823,802 (128,928) 188,602 10,139 592,250 96,851 20,900 8,036 6,500 0 2,500 (17,361) 866,752 153,665 (42,950) 24,737 42,950 (13,781) $ 10,956 $ 0 $ 10,956 [011117 City of Salina, Kansas Schedule 19 Page 4 INFORMATION SERVICES INTERNAL SERVICE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - ACTUAL AND BUDGET For the fiscal year ended December 31, 1995 F -106 1995 Variance Favorable Actual Budget (Unfavorable) Revenues Charges for services $ 206,075 $ 326,995 $ (120,920) Reimbursements 120,000 0 120,000 Total revenues 326,075 326,995 (920) Expenditures General government Personal services 189,005 195,278 6,273 Supplies 10,388 8,000 (2,388) Contractual 0 19,100 19,100 Other services and charges 54,068 42,000 (12,068) Administrative expenses 2,900 2,900 0 Capital outlay 49,964 53,000 3,036 Cash reserve 0 74,832 74,832 Total expenditures 306,325 395,110 88,785 Excess (deficiency) of revenues over (under) expenditures 19,750 (68,115) 87,865 Other financing sources Sale of assets 1,732 0 1,732 Excess (deficiency) of revenues and other sources over (under) expenditures 21,482 (68,115) 89,597 Unreserved fund balances, January 1 100,571 68,115 32,456 Unreserved fund balances, December 31 $ 122,053 $ 0 $ 122,053 F -106 City of Salina, Kansas EXPENDABLE TRUST, NON - EXPENDABLE TRUST AND AGENCY FUNDS COMBINING BALANCE SHEET December 31, 1995 (With comparative totals for the fiscal year ended December 31, 1994) Expendable Trust Non - Expendable Trust F -107 War Memorial Maintenance Citizenship Cemetary Mausoleum ASSETS Fund Trust Endowment Endowment Cash and investments $ 32,572 $ 15,241 $ 146,343 $ 19,821 Receivables Interest 0 146 0 0 Total assets $ 32,572 $ 15,387 $ 146,343 $ 19,821 LIABILITIES AND FUND BALANCES Liabilities Accounts payable $ 0 $ 0 $ 0 $ 0 Deferred compensation benefits payable 0 0 0 0 Total liabilities 0 0 0 0 Fund balances Unreserved Undesignated 32,572 15,387 146,343 19,821 Total liabilities and fund balances $ 32,572 $ 15,387 $ 146,343 $ 19,821 F -107 Non - Expendable Trust Special Tricentennial Assessment Schedule 20 Agency Fire Insurance PEGS Payroll Proceeds Access Clearing 14,471 $ 0 $ 235,891 0 J, 1 IV .p L.L. 1,30 / ID I -t,Y / 1 .p $ 0 $ 221,387 $ 14,471 $ 0 $ 235,891 0 0 0 0 0 0 221,387 14,471 0 235,891 3,170 0 0 0 0 $ 3,170 $ 221,387 $ 14,471 $ 0 $ 235,891 F -108 City of Salina, Kansas Schedule 20 Page 2 EXPENDABLE TRUST, NON - EXPENDABLE TRUST AND AGENCY FUNDS COMBINING BALANCE SHEET December 31, 1995 (With comparative totals for the fiscal year ended December 31, 1994) Agency Court Employees' Bond and Deferred Total ASSETS Restitution Compensation 1995 1994 Cash and investments $ 22,088 $ 1,728,230 $ 2,439,131 $ 2,156,014 Receivables Interest 0 0 229 184 Total assets $ 22,088 $ 1,728,230 $ 2,439,360 $ 2,156,198 LIABILITIES AND FUND BALANCES Liabilities Accounts payable $ 22,088 $ 0 $ 493,837 $ 535,564 Deferred compensation benefits payable 0 1,728,230 1,728,230 1,449,286 Total liabilities 22,088 1,728,230 2,222,067 1,984,850 Fund balances Unreserved Undesignated 0 0 217,293 171,348 Total liabilities and fund balances $ 22,088 $ 1,728,230 $ 2,439,360 $ 2,156,198 F -109 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, 1995 and 1994 1995 1994 Revenues Interest $ 862 Miscellaneous Total revenues Expenses Parks and recreation Excess of revenues over expenses Reserved fund balances, January 1 Reserved fund balances, December 31 F -110 Sjz'boL 290 32,572 U V V 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, 1995 (With comparative totals for the fiscal year ended December 31, 1994) Operating revenues Charges for services Interest Total revenues Operating expenses Other Net income Reserved fund balances, January 1 Reserved fund balances, December 31 F -111 Citizenship Cemetary $ 0 $ 5,057 745 6,489 745 11,546 745 11,546 $ 15,387 $ 146,343 Schedule 22 18,925 2,984 Total 162,316 Mausoleum Tricentennial 184,721 $ 171,348 Endowment Commission 1995 1994 $ 0 $ 0 $ 5,057 $ 3,948 896 186 8,316 5,364 896 186 13,373 9,312 18,925 2,984 171,348 162,316 $ 19,821 $ 3,170 $ 184,721 $ 171,348 F -112 City of Salina, Kansas NONEXPENDABLE TRUST FUNDS COMBINING STATEMENT OF CASH FLOWS For the fiscal year ended December 31, 1995 (With comparative totals for the fiscal year ended December 31, 1994) Cash flows from operating activities Cash received from customers Other operating receipts Net cash provided by operating activities Net increase in cash and cash equivalents Cash and cash equivalents, January 1 Cash and cash equivalents, December 31 Reconciliation of operating income to net cash provided by operating activities Operating income Adjustments to reconcile operating income to net cash provided by operating activities (Increase) decrease in receivables Net cash provided by operating activities F -113 Citizenship Cemetary $ 0 $ 5,057 725 11,546 $ 15,241 $ 146,343 $ 745 $ 11,546 $ 725 $ 11,546 Schedule 23 Total Mausoleum Tricentennial Endowment Commission 1995 1994 $ 0 $ 0 $ 5,057 $ 3,948 896 161 8,271 5,097 896 161 13,328 9,045 896 161 13,328 9,045 18,925 2,926 171,164 162,119 $ 19,821 $ 3,087 $ 184,492 $ 171,164 $ 896 $ 186 $ 13,373 $ 9,032 W W W ✓,✓ W /,v F -114 City of Salina, Kansas AGENCY FUNDS COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES For the fiscal year ended December 31, 1995 Special Assessment Escrow ASSETS Cash and investments LIABILITIES Payable to others Fire Insurance Proceeds ASSETS Cash and investments LIABILITIES Accounts payable Schedule 24 Balance Balance January 1, December 31, 1995 Additions Deductions 1995 $ 301,435 $ 15,758 $ 95,806 $ 221,387 $ 301,435 $ 15,758 $ 95,806 $ 221,387 $ 14,019 $ 7,784 $ 7,332 $ 14,471 $ 14,019 $ 7,784 $ 7,332 $ 14,471 F -115 City of Salina, Kansas AGENCY FUNDS COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES For the fiscal year ended December 31, 1995 PEGS Access ASSETS Cash and investments LIABILITIES Accounts payable Payroll Clearing ASSETS Cash and investments LIABILITIES Payable to others Balance Januaryl, Schedule 24 Page-2 Balance December 31, 1995 $ 0 $ 226,657 $ 226,657 1; 0 $ 0 $ 226,657 $ 226,657 9; 0 $ 220,110 $ 17,173,770 $ 17,157,989 1; 235,891 $ 220,110 $ 17,173,770 $ 17,157,989 $ 235,891 F -116 City of Salina, Kansas Schedule 24 Page 3 AGENCY FUNDS COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES For the fiscal year ended December 31, 1995 Balance Balance January 1, December 31, 1995 Additions Deductions 1995 Court Bond and Restitution ASSETS Cash and investments $ 27,416 $ 75,217 $ 82,545 $ 20,088 LIABILITIES Payable to others $ 27,416 $ 75,217 $ 82,545 $ 20,088 Employees' Deferred Compensation ASSETS Cash and investments $ 1,449,286 $ 389,206 $ 110,262 $ 1,728,230 LIABILITIES Deferred compensation benefits payable $ 1,449,286 $ 389,206 $ 110,262 $ 1,728,230 F -117 City of Salina, Kansas AGENCY FUNDS COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES For the fiscal year ended December 31, 1995 Balance January 1, Total - Agency Funds ASSETS Cash and investments LIABILITIES Accounts payable Deferred compensation benefits payable Payable to others Total liabilities Schedule 24 Page 4 Balance December 31, $ 2,012,266 $ 17,888,392 $ 17,680,591 S 2,220,067 $ 14,019 $ 7,784 $ 7,332 $ 14,471 1,449,286 389,206 110,262 1,728.230 .p G,V IG,GVV �p 1 /,000,-37/ .p 1 /,V0V,-371 'D, /_/-/-V,VV/ F -118 City of Salina, Kansas COMPARATIVE SCHEDULE OF GENERAL FIXED ASSETS BY SOURCE December 31, 1995 and 1994 General fixed assets Land Buildings Improvements other than buildings Machinery and equipment Total general fixed assets Investment in general fixed assets by source General fund Special revenue funds Capital projects funds Donations Total investment in general fixed assets F -119 1995 Schedule 25 1994 $ 2,589,193 $ 2,501,803 10,759,729 10,478,809 765,910 482,421 8,017,458 7,193,802 $ 22,132,290 $ 20,656,835 $ 21,115,745 $ 20,243,381 342,797 105,594 656,046 290,158 17,702 17,702 $ 22,132,290 $ 20,656,835 City of Salina, Kansas SCHEDULE OF GENERAL FIXED ASSETS - BY FUNCTION AND ACTIVITY December 31, 1995 Function and Activity General government Manger Finance Personnel General services Human relations Bi- Centennial center Other Total general government Public safety Police Municipal court Fire Inspection Total public safety Highways and streets Engineering Maintenance Planning Total highways and streets Culture and recreation Total general fixed assets F -120 Land Buildings 0 $ 0 0 0 0 0 19,302 73,103 0 0 0 5,298,330 1,885,649 660,190 1,904,951 6,031,623 600 445,363 0 0 63,302 1,220,623 63,902 1,665,986 0 0 10,470 155,211 10,470 155,211 609,870 2,906,909 $ 2,589,193 $ 10,759,729 Schedule 26 Improvements 1,081,234 1,527,197 1,440,741 Other Than Machinery Total Total Buildings and Equipment 1995 1994 $ 0 $ 58,275 $ 58,275 $ 81,920 0 164,614 164,614 137,092 0 9,847 9,847 8,152 94,864 223,944 411,213 395,753 0 14,647 14,647 14,360 85,348 1,661,122 7,044,800 6,923,432 0 0 2,545,839 2,458,449 0 1,081,234 1,527,197 1,440,741 0 32,839 32,839 35,295 0 2,388,896 3,672,821 3,215,849 0 37,669 37,669 18,825 0 3,540,638 5,270,526 4,710,710 0 67,817 67,817 55,471 150,647 1,143,322 1,459,650 1,426,839 0 67,298 67,298 69,679 150,647 1,278,437 1,594,765 1,551,989 435,051 1,065,934 5,017,764 4,376,978 $ 765,910 $ 8,017,458 $ 22,132,290 $ 20,658,835 F -121 City of Salina, Kansas SCHEDULE OF CHANGES IN GENERAL FIXED ASSETS - BY FUNCTION AND ACTIVITY For the fiscal year ended December 31, 1995 General Fixed Assets January 1, Function and Activity 1995 General government Manger $ Finance Personnel General services Human relations Bi- Centennial center Other Total general government Public safety Police Municipal court Fire Inspection Total public safety Highways and streets Engineering Maintenance Planning Total highways and streets Culture and recreation Total general fixed assets F -122 Additions 81,920 $ 13,285 137,092 43,339 8,152 0 395,753 14,145 14,360 287 6,923,432 111,767 10,019,158 1,440,741 35,295 3,215,849 4,710,710 55,471 1,426,839 1,549,989 270,213 184,535 14,785 590,552 815,091 13,905 125,367 139,272 $ 20,656,835 $ 1,897,429 Other Deletions Changes $ 10,000 $ (26,930) $ 0 (15,817) 0 1,695 157 1,035 0 0 0 9,601 IU,IJ7 (jU,410) 98,080 1 15,546 (1,695) 132,236 4,006 0 0 (5,350) 1,527,197 32,839 3,672,821 261,800 Schedule 27 (536) General Fixed Assets Interfund December 31, Transfers 1995 0 $ 58,275 0 164,614 0 9,847 437 411,213 0 14,647 0 7,044,800 0 2,545,839 437 10,249,235 0 0 (5,350) 1,527,197 32,839 3,672,821 261,800 7,061 (536) 5,270,526 1,559 0 0 67,817 87,664 (7,149) 2,257 1,459,650 0 (381) 0 67,298 89,223 (7,530) 2,257 1,594,765 37,251 7,342 (2,158) 5,017,764 $ 398,431 $ (23,543) $ 0 $ 22,132,290 F -123 SPECIAL REPORTS 234 South Main Y�— P.O. Box 1020 f VU Ottawa, Kansas 66067 (913) 242 -3170 Ap1er(,V(5deddert.HARTERE. Certified Public Accountants W. Keith Gaeddert Lucille L. Hinderliter Raymond E. Meyer, Jr. REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS ON SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE Honorable Mayor and City Commissioners City of Salina, Kansas We have audited the general purpose financial statements of the City of Salina, Kansas as of and for the year ended December 31, 1995, and have issued our report thereon dated June 28, 1996. These general purpose financial statements are the responsibility of the City of Salina, Kansas management. Our responsibility is to express an opinion on these general purpose financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards, Government Avditing Standards, issued by the Comptroller General of the United States, and the provisions of Office of Management and Budget Circular A -128, "Audits of State and Local Governments ". Those standards and OMB Circular A -128 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 financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. Our audit was conducted for the purpose of forming an opinion on the general purpose financial statements of the City of Salina, Kansas taken as a whole. The accompanying Schedule of Federal Financial Assistance is presented for purposes of additional analysis and is not a required part of the general purpose financial statements. The information in that schedule 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. June 28, 1996 F -124 City of Salina, Kansas SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE For the fiscal year ended December 31, 1995 Federal Grantor/ Federal Program Pass Through Grantor / CFDA Grant or Award Program Title Number Number Amount Revenues ENVIRONMENTAL PROTECTION AGENCY Wastewater Treatment Plant * 66.418 C20- 1231 -0 $ 5,700,468 $ 890,500 $ US DEPT OF HOUSING AND URBAN DEVELOPMENT Kansas Dept of Commerce and Housing Community Development Block Grant 14.219 93 -CH -216 300,000 Emergency Shelter Grant 14.231 S94 -DC -20 -001 25,145 Emergency Shelter Grant 14.231 S95 -DC -20 -001 25,307 Home Investment Partnership Program n/a M94 -SG -20 -0107 200,000 Direct Assistance Fair Housing Assistance n/a FF207K947004 24,500 Total US Dept of Housing and Urban Development US DEPT OF TRANSPORTATION Kansas Dept of Transportation National Highway Traffic Safety Grant 20.600 AL94/96- 94 -01 -0 283,298 National Highway Traffic Safety Grant 20.600 AL94/96- 95 -01 -0 187,022 National Highway Traffic Safety Grant 20.600 AL94/96- 96 -01 -0 201,352 I- 135 /Magnolia Road Interchange n/a 135 -85K- 4792 -01 2,584,000 Total US Dept of Transportation INSTITUTE OF MUSEUM SERVICES General Operating Support Grant n/a IG- 40662 -94 NATIONAL ENDOWMENT FOR THE HUMANITIES Direct Assistance 45.125 GM- 25456 -95 NATIONAL PARK SERVICE Kansas Historic Preservation Office Heritage Conservation Plan n/a 20 -95 -10004 -002 TOTAL FEDERAL FINANCIAL ASSISTANCE * - Denotes a MAJOR PROGRAM F -125 44,885 13,880 13,717 0 18,650 91,132 21,210 186,360 0 84,448 292,018 46,509 23,255 21,760 11,629 Schedule 28 461,204 49,699 13,880 13,717 2,441 103,067 0 142,579 45,018 122,133 309,730 23,255 11,629 3,000 1,923 3,000 $ 1,310,457 $ 911,885 234 South Main V�— P.O. Box 1020 f—vu Ottawa, Kansas 66067 (913) 242 -3170 AplerOGdeddert.HARTEREID Certified Public Accountants W. Keith Gaeddert Lucille L. Hinderliter Raymond E. Meyer, Jr. REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS ON INTERNAL CONTROL STRUCTURE BASED ON AN AUDIT OF GENERAL PURPOSE FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENTA UDITING STANDARDS Honorable Mayor and City Commissioners City of Salina, Kansas We have audited the general purpose financial statements of the City of Salina, Kansas as of and 1-or the year ended December 31, 1995, and have issued our report thereon dated June 28, 1996. We conducted our audit in accordance with generally accepted auditing standards, Government Auditing Standards, issued by the Comptroller General of the United States, and the provisions of Office of Management and Budget Circular A -128, "Audits of State and Local Governments ". Those standards and OMB Circular A -128 require that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement. The management of the City of Salina, Kansas, is responsible for establishing and maintaining an internal control structure. In fulfilling this responsibility, estimates and judgments by management are required to assess the expected benefits and related costs of internal control structure policies and procedures. The objectives of an internal control structure are to provide management with reasonable, but not absolute, assurance that assets are safeguarded against loss from unauthorized use or disposition, and that transactions are executed in accordance with management's authorization and recorded properly to permit the preparation of general purpose financial statements in accordance with generally accepted accounting principles. Because of inherent limitations in any internal control structure, errors or irregularities may nevertheless occur and not be detected. Also, projection of any evaluation of the structure to future periods is subject to the risk that procedures may become inadequate because of changes in conditions or that the effectiveness of the design and operation of policies and procedures may deteriorate. In planning and performing our audit of the general purpose financial statements of the City of Salina, Kansas, for the year ended December 31, 1995, we obtained an understanding of the internal control structure. With respect to the internal control structure, we obtained an understanding of the design of relevant policies and procedures and whether they have been placed in operation, and we assessed control risk in order to determine our auditing procedures for the purpose of expressing our opinion on the general purpose financial statements and not to provide an opinion on the internal control structure. Accordingly, we do not express such an opinion. We noted certain matters involving the internal control structure and its operation that we consider to be reportable conditions under standards established by the American Institute of Certified Public Accountants. Reportable conditions involve matters coming to our attention relating to significant deficiencies in the design cr operation of the internal control structure that, in our judgment, could adversely affect the entity's ability to record, process, summarize and report financial data consistent with the assertions of management in the general purpose financial statements. Interbank transactions - Certain interbank transactions were not handled consistently at December :31, 1995. In both cases, the receiving account showed the transaction as a deposit in transit, while the disbursing account did not record a corresponding outstanding check. As a result, the amounts were duplicated on the city's general ledger. The errors appeared to result from miscommunication between departments. We recommend that bank reconciliations, particularly at year end, be reviewed to determine that all interbank transactions have been handled consistently. Purchasing_ policy - The city does not appear to have an adequate, formal purchasing policy. As a result, some purchases are not handled consistently as to requisition and approval. We recommend that management develop a purchasing policy that documents requisition and approval processes and bidding procedures for purchases. F -126 A material weakness is a reportable condition in which the design or operation of one or more of the internal control structure elements does not reduce to a relatively low level the risk that errors or irregularities in amounts that would be material in relation to the general purpose financial statements being audited may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions. Our consideration of the internal control structure would not necessarily disclose all matters in the internal control structure that might be reportable conditions and, accordingly, would not necessarily disclose all reportable conditions that are also considered to be material weaknesses as defined above. However, be believe none of the reportable conditions described above is a material weakness. We also noted certain matters involving the internal control structure and its operation that we have; reported to the management of the City of Salina, Kansas in a separate letter dated June 28, 1996. This report is intended for the information of the City Commission and management, and for filing with the Kansas Department of Administration, Division of Accounts and Reports and various governmental agencies. However, this report is a matter of public record and its distribution is not limited. June 28, 1996 F -127 P234 .O South Main A 1er �Gaeddert CHARTERED Lucille eL. H derl err P.O. Box 1020 Ottawa, Kansas 66067 Raymond E. Meyer, Jr. (913) 242 -3170 Certified Public Accountants REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS ON THE INTERNAL CONTROL STRUCTURE USED IN ADMINISTERING FEDERAL FINANCIAL ASSISTANCE PROGRAMS Honorable Mayor and City Commissioners City of Salina, Kansas We have audited the general purpose financial statements of the City of Salina, Kansas as of and for the year ended December 31, 1995, and have issued our report thereon dated June 28, 1996. We conducted our audit in accordance with generally accepted auditing standards, Government Auditing Standards, issued by the Comptroller General of the United States, and the provisions of Office of Management and Budget Circular A -128, "Audits of State and Local Governments ". Those standards and OMB Circular A -128 require that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement and about whether the City of Salina, Kansas complied with laws and regulations, noncompliance with which would be material to a major federal financial assistance program. In planning and performing our audit for the year ended December 31, 1995, we considered the City's internal control structure of the City of Salina, Kansas in order to determine our auditing procedures for the purpose: of expressing our opinion on the City's general purpose financial statements and on the compliance of the City of Salina, Kansas with requirements applicable to major programs and to report on the internal control structure in accordance with OMB Circular A -128. This report addresses our consideration of internal control structure policies and procedures relevant to compliance with requirements applicable to federal financial assistance programs. We have addressed internal control structure policies and procedures relevant to our audit of the general purpose financial statements in a separate report dated June 28, 1996. The management of the City of Salina, Kansas is responsible for establishing and maintaining an internal control structure. In fulfilling this responsibility, estimates and judgments by management are required to assess the expected benefits and related costs of internal control structure policies and procedures. The objectives of an internal control structure are to provide management with reasonable, but not absolute, assurance that assets are safeguarded against loss from unauthorized use or disposition, that transactions are executed in accordance with management's authorization and recorded properly to permit the preparation of general purpose financial statements in accordance with generally accepted accounting principles and that federal financial assistance programs are managed in compliance with applicable laws and regulations. Because of inherent limitations in any internal control structure, errors, irregularities, or instances of noncompliance may nevertheless occur and not be detected. Also, projection of an), evaluation of the structure to future periods is subject to the risk that procedures may become inadequate because of changes in conditions or that the effectiveness of the design and operation of policies and procedures may deteriorate. For the purpose of this report, we have classified the significant internal control structure policies and procedures used in administering federal financial assistance programs in the following categories: Internal Administrative Controls General Provisions Political Activity Davis -Bacon Act Civil Rights Cash Management Reporting Requirements Allowable Costs Drug -free Workplace Administrative Requirements F -128 Specific Provisions Types of services allowed Matching, level of effort Special reporting Special tests Claims for Advances and Reimbursements Amounts Claimed or Used for Matching For all of the internal control structure categories listed above, we obtained an understanding of the design of relevant policies and procedures and determined whether they have been placed in operation, and we assessed control risk. During the year ended December 31, 1995, City of Salina, Kansas expended 50.6 percent of its total federal financial assistance under major federal financial assistance programs. We performed tests of controls, as required by OMB Circular A -128, to evaluate the effectiveness of the design and operation of internal control structure policies and procedures that we considered relevant to preventing or detecting material noncompliance with specific requirements, general requirements, and requirements governing claims for advances and reimbursements and amounts claimed or used for matching that are applicable to the City of Salina, Kansas's major federal financial assistance programs, which are identified in the accompanying Schedule of Federal Financial Assistance. Our procedures were less in scope than would be necessary to render an opinion on these internal control structure policies and procedures. Accordingly, we do not express such an opinion. Our consideration of the internal control structure policies and procedures used in administering federal financial assistance would not necessarily disclose all matters in the internal control structure that might be considered material weaknesses under standards established by the American Institute of Certified Public Accountants. A material weakness is a reportable condition in which the design or operation of one or more of the internal control structure elements does not reduce to a relatively low level the risk that noncompliance with laws and regulations that would be material to a federal financial assistance program may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions. We noted no matters involving the internal control structure and is operations that we consider to be material weaknesses as defined above. This report is intended for the information of the City Commission and management, the Kansas Department of Administration, Division of Accounts and Reports, and various governmental agencies. However, this report is a matter of public record and its distribution is not limited. June 28, 1996 F -129 234 South Main P.O. Box 1020 Ottawa, Kansas 66067 (913) 242 -3170 Aplen,wGdeddertCHARTERED Certified Public Accountants W. Keith Gaeddert Lucille L. Hinderliter Raymond E. Meyer, Jr. REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS ON COMPLIANCE WITH LAWS AND REGULATIONS BASED ON AN AUDIT OF GENERAL PURPOSE FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENTAUDITING STANDARDS Honorable Mayor and City Commissioners City of Salina, Kansas We have audited the general purpose financial statements of the City of Salina, Kansas as of and for the year ended December 31, 1995, and have issued our report thereon dated June 28, 1996. We conducted our audit in accordance with generally accepted auditing standards, Government Auditing Standards, issued by the Comptroller General of the United States, and the provisions of Office of Management and Budget Circular A -128, "Audits of State and Local Governments ". Those standards and OMB Circular A -128 require that we plan and perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of material misstatement. Compliance with laws, regulations, contracts, and grants applicable to the City of Salina, Kansas is the responsibility of the City of Salina, Kansas' management. As part of obtaining reasonable assurance about whether the financial statements are free of material misstatement, we performed tests of the City's compliance with certain provisions of laws, regulations, contracts, and grants. However, the objective of our audit of the general purpose financial statements was not to provide an opinion on overall compliance with such provisions. 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. This report is intended for the information of the City Commission and management, the Kansas Department of Administration, Division of Accounts and Reports and various governmental agencies. However, this report is a matter of public record and its distribution is not limited. June 28, 1996 F -130 234 South Main )a- RO Box 1020 Ottawa, Kansas 66067 (913) 242 -3170 Aglen,wGdeddert.HARTERED Certified Public Accountants W. Keith Gaeddert Lucille L. Hinderliter Raymond E. Meyer, Jr. REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS ON COMPLIANCE WITH THE GENERAL REQUIREMENTS APPLICABLE TO FEDERAL FINANCIAL ASSISTANCE PROGRAMS Honorable Mayor and City Commissioners City of Salina, Kansas We have audited the general purpose financial statements of the City of Salina, Kansas, as of and for the year ended December 31, 1995, and have issued our report thereon dated June 28, 1996. We have applied procedures to test the City of Salina, Kansas' compliance with the following requirements applicable to each of its federal financial assistance programs, which are identified in the Schedule of Federal Financial Assistance, for the year ended December 31, 1995: Political Activity, Davis -Bacon Act, Civil Rights, Cash Management, Reporting Requirements, Allowable Costs, Drug -free Workplace and Administrative Requirments. Our procedures were limited to the applicable procedures described in the Office of Management and Budget's "Compliance Supplement for Single Audits of State and Local Governments ". Our procedures were substantially less in scope than an audit, the objective of which is the expression of an opinion on the City of Salina, Kansas' compliance with the requirements listed in the preceding paragraph. Accordingly, we do not express such an opinion. With respect to the items tested, the results of those procedures disclosed no material instances of noncompliance with the requirements listed in the second paragraph of this report. With respect to items not tested, nothing came to our attention that caused us to believe that the City of Salina, Kansas, had not complied, in all material respects, with those requirements. This report is intended for the information and use of the City Commission and management, the Kansas Department of Administration, Division of Accounts and Reports and various governmental agencies. However, this report is a matter of public record and its distribution is not limited. June 28, 1996 F -131 234 South Main P.O. Box 1020 Ottawa, Kansas 66067 (913) 242 -3170 AqlerOGdeddertCHARTERE. Certified Public Accountants W. Keith Gaeddert Lucille L. Hinderliter Raymond E. Meyer, Jr. REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS ON COMPLIANCE WITH SPECIFIC REQUIREMENTS APPLICABLE TO MAJOR FEDERAL FINANCIAL, ASSISTANCE PROGRAMS Honorable Mayor and City Commissioners City of Salina, Kansas We have audited the general purpose financial statements of the City of Salina, Kansas as of and for the year ended December 31, 1995, and have issued our report thereon dated June 28, 1996. We have also audited the City of Salina, Kansas's compliance with the requirements governing types of services allowed; matching, level of effort; special reporting; special tests; claims for advances and reimbursements; and amounts claimed or used for matching that are applicable to each of its major federal financial assistance programs, which are identified in the accompanying Schedule of Federal Financial Assistance, for the year ended December 31, 1995. The management of the City of Salina, Kansas is responsible for the City of Salina, Kansas's compliance with those requirements. Our responsibility is to express an opinion on compliance with those requirements based on our audit. We conducted our audit of compliance with those requirements in accordance with generally accepted auditing standards, Government Auditing Standards, issued by the Comptroller General of the United States, and Office of Management and Budget Circular A -128, "Audits of State and Local Governments." Those standards and OMB Circular A -128 require that we plan and perform the audit to obtain reasonable assurance about whether material noncompliance with the requirements referred to above occurred. An audit includes examining, on a test basis, evidence about the City of Salina, Kansas's compliance with those requirements. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the City of Salina, Kansas complied, in all material respects, with the requirements governing types of services allowed; matching, level of effort; special reporting; special tests; claims for advances and reimbursements; and amounts claimed or used for matching that are applicable to each of its major federal financial assistance programs for the year ended December 31, 1995. This report is intended for the information and use of the City Commission and management, the Kansas Department of Administration, Division of Accounts and Reports and various governmental agencies. However, this report is a matter of public record and its distribution is not limited. June 28, 1996 F -132 234 South Main )a- RO Box 1020 1 VU Ottawa, Kansas 66067 (913) 242 -3170 AE1er(,wGdeddert.HARTERE. Certified Public Accountants W. Keith Gaedden Lucille L. Hinderliter Raymond E. Meyer, Jr. REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS ON COMPLIANCE WITH SPECIFIC REQUIREMENTS APPLICABLE TO NONMAJOR FEDERAL FINANCIAL ASSISTANCE PROGRAM TRANSACTIONS Honorable Mayor and City Commissioners City of Salina, Kansas We have audited the general purpose financial statements of the City of Salina, Kansas, as of and for the year ended December 31, 1995, and have issued our report thereon dated June 28, 1996. In connection with our audit of the general purpose financial statements of the City of Salina, Kansas, and with our consideration of the City of Salina, Kansas' control structure used to administer federal financial assistance programs, as required by Office of Management and Budget (OMB) Circular A -128, "Audits of State and Local Governments ", we selected certain transactions applicable to certain nonmajor federal financial assistance programs for the year ended December 31, 1995. As required by OMB Circular A -128, we have performed auditing procedures to test compliance with the requirements governing types of services allowed; matching, level of effort; claims for advancements and reimbursements and amounts claimed or used for matching that are applicable to those transactions. Our procedures were substantially less in scope than an audit, the objective of which is the expression of an opinion on the City of Salina, Kansas' compliance with these requirements. Accordingly, we do not express such an opinion. With respect to the items tested, the results of those procedures disclosed no material instances of noncompliance with the requirements listed in the preceding paragraph. With respect to items not tested, nothing came to our attention that caused us to believe that City of Salina, Kansas, had not complied, in all material respects, with those (requirements. This report is intended for the information and use of the City Commission and management, the Kansas Department of Administration, Division of Accounts and Reports and various governmental agencies. However, this report is a matter of public record and its distribution is not limited. June 28, 1996 F -133 STATISTICAL SECTION This page intentionally left blank Fiscal Year 1991 1992 1993 1994 1995 (3) 1995 (4) City of Salina General Government Expenditures by Functions (1) Last Four Fiscal Years (2) General Community Health and Bicentennial Government Public Safety Public Works Recreation Cultural Development Welfare Debt Service Capital Outlay Center 1,487,342 4,930,155 1,227,758 1,477,226 327,241 369,179 146,615 2,299,444 1,415,043 1,665,892 1,463,391 5,381,008 1,422,210 1,567,104 337,911 339,084 138,733 2,768,149 1,530,150 1,415,537 1,426,997 5,834,653 1,386,714 1,600,093 346,677 175,254 173,122 2,902,019 1,558,158 1,968,806 1,069,325 6,735,353 1,332,977 1,721,024 379,777 441,307 525,026 2,772,819 2,796,288 1,720,509 1,167,329 7,321,192 1,464,980 1,741,066 470,270 194,552 553,614 4,387,971 5,574,082 2,067,114 5,095,357 7,106,760 2,323,002 1,741,066 470,270 286,458 467,772 4,387,971 5,574,082 2,067,114 Other Total 6,362,182 21,708,077 6,337,016 22,700,293 4,547,476 21,919,969 4,533,986 24,028,391 4,690,997 29,633,167 113,315 29,633,167 (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 1995 expenditures based on the old classification, for comparison purposes. (4) Reflects the functional classification as presented in the 1995 schedules. S -1 Table 1 Fiscal Year 1991 1992 1993 1994 1995 Taxes 13,019,231 13,897,325 15,479,559 16,153,904 17,138,776 City of Salina General Government Revenues by Source (1) Charge Intergovernmental Servi 2,623,225 2,68 2,756,614 2,41 2,769,828 3,17 3,305,815 3,08 3,365,886 3,67 City of Salina General Government Revenues by Source (1) Last Five Fiscal Y Years (2) s for S Special est Reimbursements Miscellaneous Total 4,636 672,264 455,285 21,128,838 3,734 35,467 890,109 21,589,285 44,853 55,968 771,233 24,211,330 48,655 46,887 786,802 25,820,032 4,838 172,263 717,265 28,022,032 (1) Includes general, special, and debt service funds (2) Prior Year expenditures are not available on a GAAP basis S -2 Table 2 (1) Includes general, special, and debt service funds (2) Prior Year expenditures are not available on a GAAP basis S -2 Table 2 (1) Includes General, special revenue and Debt Service Funds (2) Prior Year Expenditures are not available on a GAAP basis S-3 City of Salina General Government Tax Revenues by Source (1) Table 3 Last Five Fiscal Years (2) Fiscal Transient Year Property Tax 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 (1) Includes General, special revenue and Debt Service Funds (2) Prior Year Expenditures are not available on a GAAP basis S-3 City of Salina Property Tax Levies and Collections Last 10 Fiscal Years Percent of Delinquent Ratio of Total Fiscal Current Tax Current Taxes Tax Total Tax Tax Collections Year Total Tax Levy Collections Collected Collections Collections to Tax Levy 1986 3,951,529 3,906,226 98.9% 86,049 3,992,275 101.0% 1987 4,116,562 4,005,867 97.3% 95,461 4,101,328 99.6% 1988 4,163,314 4,086,792 98.2% 65,960 4,152,752 99.7% 1989 4,269,464 4,110,719 96.3% 101,102 4,211,821 98.6% 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% 102.0% 100.0% 98.0% 96.0% 94.0% 92.0% 90.0% 88.0% Percent of Property Taxes Collected 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 — Percent of Current Taxes Collected — -0— - Ratio of Total Tax Collections to Tax Levy S-4 Table 4 Fiscal Year 1986 1987 1988 1989 (1) 1990 1991 1992 (2)1993 1994 1995 Real Estate 68,486,970 69,906,890 72,066,960 71,441,070 125, 389, 311 134,834,179 135,267,866 129,632,717 145,239,331 166,462,923 City of Salina Assessed and Estimated Actual Value of Property Last Ten Fiscal Years Assessed Value Personal Property 30,248,415 31,405,020 31,552,430 35,215,115 13, 454, 685 14,314,162 16,751,713 22,447,713 22,678,728 24,890,665 State Assessed 9,942,497 10,544,260 10, 884,189 10,765,830 11,094,235 11,208,262 11,545,541 12,849,722 14,272,658 12,528,204 Motor Vehicle 26,201,223 27,447,177 28,786,730 30,847,364 35,096,364 34,515,855 35,803,591 37,569,816 41,805,765 42,981,776 Total, Assessed Value 134,879,105 139,303,347 143,290,309 148,269,379 185,034,595 194,872,458 199,368,711 202,499,968 223,996,482 246,863,568 Estimate Total Market Value 1,105,009,955 1,105,157,648 1,147,347,527 1,160,411,705 1,026,844,668 1,075,575,019 1,105,026,368 1,175,493,628 1,314,830,748 1,482,502,705 Ratio of Assessed Value to Estimated Market Value 12.21 12.60 12.49 12.78 18.02 18.12 18.04 17.23 17.04 16.65 (1) All municipalities in Kansas underwent a complete reappraisal and reclassification of real and personal property as a result of legislative action, effective January 1, 1989. This legislation reappraised property closer to its estimated market value and caused certain types of property to be reclassified, reduced or eliminated from ad valorem taxation. (2) 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. S-5 Table 5 City of Salina Principal Taxpayers 1995 Valuations 1995 Assessed % of Total Taxpayer Type of Business Valuation Valuation Schwan's Sales Pizza Manufacturing 7,898,662 3.20% Western Resources Electric and Gas 5,981,103 2.42% Southwestern Bell Telephone Utility 5,162,926 2.C9% Warmack, Salina Partnership Retail Shopping Mall 4,724,764 1.91% Wal -Mart Stores, Inc. Discount Retail Stores 2,353,531 0.95% Omaha Hotel Inc Hotel 1,427,652 0.58% Dayton Hudson Corp Target Store 1,217,330 0.49% Sunset Plaze, Inc Retail Development 1,034,133 0.42% Malan Mortgagor, Inc K -Mart Store 836,336 0.34% Union Pacific Railroad Railroad 681,336 2.80% Combined Valuation of the Ten Largest Taxpayors 31,318,217 Percent of Total City Assessed Valuation 12.69% S-6 Table 6 City of Salina Property Tax Rates Direct and Overlapping Governments Last Ten Fiscal Years 1986 City of Salina Saline County USD 305 Other (1) Total Fiscal (Budget) Year Operating Debt Service Total City Millage Millage Millage Operating Debt Service Total County Millage Millage Millage Operating Debt Service Total USD Millage Millage Millage Other 1987 1986 28.620 7.740 36.360 20.466 0.534 21.000 77.607 2.441 80.048 5.777 143.185 1987 29.345 7.015 36.360 21 .000 - 21,000 79,779 2.094 81 .873 5.790 145.023 1988 29.513 6.847 36.360 21.000 - 21.000 84.023 4.756 88.779 6.487 152.626 1989 35.007 1.353 36.360 23.460 - 23.460 90.097 5,542 95.639 6.653 162.112 1990 22.643 7.372 30.015 19.074 - 19.074 72.065 4.427 76.492 5.599 131.180 1991 26.357 3.671 30.028 20.122 - 20.122 76.378 3.094 79.472 5.818 135.440 1992 22.764 7.064 29.828 20.464 - 20.464 80.343 3.029 83.372 6.074 139.738 1993 22.114 7.735 29,849 21.718 - 21.718 40.301 3.581 43.882 6.557 102.006 1994 22.910 6.551 29.461 24.562 - 24.562 37.353 3.332 40.685 8,521 103.229 1995 18.555 10.154 28,709 26,571 - 26.571 39.357 3,044 42.401 8.415 106.096 Table 7 (1) The "Other" column includes the State of Kansas, the Salina Airport Authority, and the Salina Public Library. S-7 City of Salina Special Assesment Billings and Collections Last Ten Fiscal Years 1200000 1000000 800000 600000 400000 200000 0 Special Assessment Billings and Collections rn rn rn rn rn rn rn rn rn rn Especial Assessment Billings ® Special Assessment Collections 1. Includes prepayments and delinquent collections. M Table 8 Special Ratio of Total Special Fiscal Assessment Special Assessment Assessments Collections to Total Year Billings Collections Assessments Levied 1986 767,807 775,477 1.01 1987 1,067,397 768,509 0.72 1988 1,021,973 922,020 0.90 1989 927,768 911,365 0.98 1990 647,655 837,604 1.29 1991 807,452 656,104 0.81 1992 721,334 808,886 1.12 1993 694,497 873,850 1.26 1994 697,015 793,190 1.14 1995 919,364 883,807 0.96 1200000 1000000 800000 600000 400000 200000 0 Special Assessment Billings and Collections rn rn rn rn rn rn rn rn rn rn Especial Assessment Billings ® Special Assessment Collections 1. Includes prepayments and delinquent collections. M Table 8 City of Salina Computation of Legal Debt Margin December 31, 1995 Assesed Valuation Legal Debt Margin: Debt Limit: 30% of Assessed Valuation Debt Applicable to Limitation: Total Bonded Debt Less: Revenue Bonds Special assessment Bonds Amount Available for repayment of general obligation bonds Total Debt Applicable to Limitation Legal Debt Margin S-9 246,863,568 74,059,070 51,394,000 35, 845, 000 7,084,000 1,024, 020 7,440,980 66,618,090 Table 9 City of Salina Ratio of Net General Obligation Bonded Debt To Assessed Value and Net General Obligation Bonded Debt Per Capita Ratio of Net Net Bonded Fiscal Population Assessed Value Gross Bonded Less Debt Net Bonded Bonded Debt to Debt Per Year (1) (2) Debt Service Fund Debt Assessed Value Capita 1986 41,843 139, 303, 347 4,131, 854 358,428 3,773,426 2.71 90.18 1987 41,843 143,290,309 7,069,345 304,244 6,765,101 4.72 161.68 1988 41,843 143,290,309 6,502,986 351,958 6,151,028 4.29 147.00 1989 41,843 148,269,379 6,323,473 237,897 6,085,576 4.10 145.44 1990 42,303 185,034,595 5,801,642 344,280 5,457,362 2.95 129.01 1991 42,303 194,872,458 8,004,443 304,252 7,700,191 3.95 182.02 1992 42,303 199,368,711 8,795,864 333,505 8,462,359 4.24 200.04 1993 42,303 202,499,968 9,478,791 539,887 8,938,904 4.41 211.31 1994 42,303 223,996,482 7,854,994 797,083 7,057,911 3.15 166.84 1995(l) 44,167 246, 863, 568 8,465,000 1,024,020 7,440,980 3.01 168.47 250.00 200.00 150.00 100.00 50.00 0.00 Per Capita General Obligation Debt Table 10 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995(1) 1) Population estimates are based on the 1980 and 1990 Census, except 1995 is based on the 7/01/94 Census Bureau Estimate 2) From Table 5 3) Amount does not include special assessment bonds and revenue bonds 4) Amount available for repayment of General Obligation Bonds S -10 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 Total General Ratio of Debt Service to Governmental General Governmental Fiscal Year Principal Interest (2) Total Debt Service Expenditiures (3) Expenditures (3) 1986 842,580 332,785 1,175,365 1987 770,134 302,401 1,072,535 1988 991,258 488,387 1,479,645 1989 972,202 442,575 1,414,777 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 (4) 1,340,156 338,923 1,679,079 29,633,167 5.67% Table 11 (1) Prior to 1995: 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. (4) 1995: Total Debt Service is total General debt service less special assess. collected less pledges rec. from Enterprise funds. S-11 City of Salina Computation of Direct and Overlapping Bonded Debt General Obligation Bonds December 31, 1995 Net General Obligation Bonded Debt Jurrisdiction Outstanding Direct: City of Salina 7,440,980 Overlapping: Salina Airport Authority 2,850,000 USD 305 3,585,000 Total 13,875,980 Percentage Amount Applicable to City Applicable to the of Salina City of Salina 100% 7,440,980 100% 2,850,000 91% 3,279,603 Overlapping Debt, City of Salina 13,570,583 S -12 City of Salina 55% Table 12 City of Salina Revenue Bond Coverage Water and Sewer Fund Last Ten Fiscal Years (1) Excludes interest income (2) Excludes Depreciation S -13 Table 13 Debt Service Requirements Net Revenue Fiscal Gross Revenues Operating Available for Debt Year W EVenses(2) Service Principal Interest Total Coverage 1986 3,699,736 3,187,223 512,513 310,000 181,843 491,843 1.04 1987 4,094,841 3,211,266 883,575 210,000 208,459 418,459 2.11 1988 5,488,165 3,420,799 2,067,366 300,000 352,119 652,119 3.17 1989 6,300,264 3,759,534 2,540,730 390,000 542,751 932,751 2.72 1990 6,158,140 4,002,486 2,155,654 275,000 519,009 794,009 2.71 1991 6,774,391 4,270,897 2,503,494 220,000 542,944 762,944 3.28 1992 7,131,392 4,371,446 2,759,946 265,000 517,915 782,915 3.53 1993 8,171,545 4,350,228 3,821,317 670,000 1,681,527 2,351,527 1.63 1994 9,402,506 5,266,865 4,135,641 805,000 1,614,122 2,419,122 1.71 1995 9,993,020 5,879,776 4,113,244 880,000 1,588,797 2,468,797 1.67 (1) Excludes interest income (2) Excludes Depreciation S -13 OVER, % ' / gggg j j j 11/11, % % j j j % j (1) Excludes interest income (2) Excludes Depreciation S -13 City of Salina Property Value, Construction, and Bank Deposits Last Ten Fiscal Years Total Property Value Fiscal Year (Thousands) Permits Issued 1986 1,105,157 441 1987 1,147,348 470 1988 1,160,412 457 1989 1,037,898 490 1990 1,026,845 497 1991 1,075,575 562 1992 1,105,026 598 1993 1,175,494 628 1994 1,314,831 694 1995 1,482,502 759 Estimated Value of Bank Deposits Permits Issued (1) (Thousands) 34,679,250 352,155 17,391,757 360,908 15,426,410 346,971 18,851,000 372,626 36,469,096 443,020 22,665,785 484,783 25,283,947 500,297 36,411,632 589,067 38,667,261 NA 34,156,955 NA Table 14 (1) Kansas Statistical Abstract S -14 Fiscal Year Population (1) 1986 41,843 1987 41,843 1988 41,843 1989 41,843 1990 42,303 191 42,303 1992 42,303 1993 42,303 1994 42,303 1995 44,167 City of Salina Demographic Analysis Last 10 Fiscal Years Per Capita Income (2) Median Age (3) 14,515 31.8 15,166 32.0 16,398 32.2 17,509 32.6 19,002 33.1 19,313 32.4 20,373 32.7 20,753 33.3 21,564 33.7 22,596 34.2 School Enrolllment Unemployment (4) Rate (5) 7,024 6.5 7,008 5.8 7,054 5.4 7,115 4.4 7,333 4.1 7,489 4.2 7,687 3.8 7,661 4.6 7,243 4.6 7,229 4.4 Table 15 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. Bureau of Economic Analysis (3) Wood and Poole Economics, Inc. (4) U.S. D. 305 (5) Kansas Department of Human Resources S -15