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College Station,Texas 77842 CITY OF COLLEGE STATION, TEXAS POPULAR ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2012 TABLE OF CONTENTS: A Message from the Interim City Manager 1 About this Report 2 Organization Chart 4 General Fund Revenues 6 General Fund Expenditures 8 General Fund Balance 11 Enterprise Funds 12 Government-wide Statement of Net Assets 13 Long-Term Debt 14 ■ mu GT O ( 0 iiii, Gle 1 * ppi 1 1 1 1 1 1 1 tp)!Iy, 1 mi IIIIIII Certificate Distinguished Anwevement Bud Jai, Certificate of Distinction t isle veliie1 11 0 1 Finance Department Awards for 2012 -'I In Pt mot kor r m erwl Page 1 CITY OF COLLEGE STATION, TEXAS POPULAR ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2012 A MESSAGE FROM THE INTERIM CITY MANAGER "'i11K IllllllllllllllllllllllllllllllllllllllllllIlllllllllllllllllllllllllllii;IIIIIIIIIIIIIIIIIII00;. ELECTED OFFICIALS pleasedI presentSeptember 30, 2012 , ! Il,°IIIIllllllllll, III'I to you the City of mb , ,,.I amtoAso e telllll��l, .L . „oilul ;lul ail Y Y v I d�l��lll" II ,,VIIIIIII II College Station's IION N IIIIIII Illu'II�III 1 II„ �I .,, iiu p "' v11 1 V d �IIIII ° ��ppp Popular Annual ItoN dull 4 V' "�uNNtlI�W muu �Illlll�y' u 11 °li'u,111 p Financial ReportNor , r , 101 �gllll�'I��I�I pi "I°1V9VIYI i III IIY. III Nlll� ii� ,RMd� I� (PAFR) for the year A, ol,, ","?'1llii�IIhIII�Y!14,111lPu" ended September 30, 2012. t^I a1�y�1y iNancy Berry— May�rlllllllll II This report is an } easy-to-read version of the City's ��"` IN, dNIN Ill i Comprehensive Annual Financial Report "pII p p IIoNf �dl 71�II�"�NI i�ll �li�''�I Ill�oumi � d II llii I lip "11, 00 ,,,,v�mlium I,1 I l l 91)r 1 (CAFR) that is published on an annual 6 4`I° I}`"I Y I,'1 till 11,basis. ; I '' puun pll,ll"II This report provides a summary of the City's revenue, spending and financial condition. It also includes statistical Blanche Brick Jess Fields information for the City, as well as ° ,I°''; "" ''I'"'"'I" dl hoo0Ifid llll ;;ll ,,,,ill ��II reference information. , 1,II��I� J, 1�III bMi��11 YI „������ �IV'w� n xVIINN iiillil 4,�I0.III,VI i II IIuVuuuuuuuuum mi Thank you for your interest in the City of n 4 ° I �"I 'III ����������������������������� .it c� � I III I ������������������������������� n dll+ �laaaaaaaaaaaaaaa°; mm III lo College Station's government, how it �II`I'I oow^,hh ,,,,IIIIII;,IIIIIIIII! IIVIII h�I'I� ,,IIII functions and how it is financed. I welcome , ,„ your feedback, suggestions and comments regarding the information contained in this Karl Mooney Katy-Marie Lyles report. sIIIII,,,,l III��ll���� I °I'4µ Ilq II IIIiVI pw6 l N illul dw,,y�4lI 8uhVw ll`l'r Im1000000 010001010 Sincerely, �w , ll v�' i II I i I uN10.1 I ! '... . 7,0,-.-‘0,,,,..4 . N II t" H. Frank Simpson Julie Schultz Dave Ruesink Interim City Manager Page 2 POPULAR ANNUAL FINANCIAL REPORT '� `:x :L."'' ABOUT THIS REPORT This Popular Annual Financial Report(PAFR) has been prepared to inform citizens about the City of College Station and its IMPORTANT PHONE NUMBERS operations, services and programs, as well as its financial POLICE DEPARTMENT(NON-EMERGENCY) condition for the fiscal year ending September 30, 2012. It is (979) 764-3600 suitable for readers who prefer to review operational and financial FIRE DEPARTMENT INON EMERGENCYI information in summary form and does not substitute for the City's Comprehensive Annual Financial Report (CAFR). This (979)764-3705 publication is derived from information provided in the CAFR PUBLIC WORKS which is based on generally accepted accounting principles (979) 764-3690 (GAAP). This report is presented in GAAP format and is not CSU Hotline,(outages1 inclusive of all funds. The City's financial statements have been 855-825-4278 audited by Ingram, Wallis & Co., P.C., an independent firm of certified public accountants. The auditor's report concluded that UTILITY CUSTOMER SERVICES(billing). the financial statements present fairly, in all material respects, the (979) 764-3535 financial condition of the City. A copy of the CAFR is published PARKS&RECREATION online at: cstx.aov/cafr (979) 764-3486 ABOUT THE CITY OF COLLEGE STATION CITY MANAGER'S OFFICE (979)764-3509 The City of College Station, incorporated in 1938, is located in CITY SECRETARY'S OFFICE Brazos County in East Central Texas, approximately 140 miles (979)764-3500 north of the Gulf of Mexico, approximately 90 miles northwest of CODE ENFORCEMENT Houston, approximately 165 miles south of Dallas and (979)764-6363 approximately 100 miles east of Austin, in an area referred to as the Brazos Valley. The City currently has a land area of 50.8 FISCAL DEPARTMENT square miles and a current estimated population of 97,462 as of (979)764-3555 September2012. HUMAN RESOURCES (979)764-3517 College Station is a home-rule city operating under the Council- Manager form of government. The City Council is composed of a LIBRARY mayor and six council members, elected at large,who enact local (979)764-3416 laws, determine policies and adopt the annual budget. The City MUNICIPAL COURT Manager is appointed by the City Council and is responsible for (979) 764-3683 the daily management of the City. RECYCLING SERVICES Mission Statement (979)764-6229 ON BEHALF OF THE CITIZENS OF COLLEGE STATION, HOME OF TEXAS A&M UNIVERSITY, WE WILL CONTINUE TO PROMOTE AND ADVANCE THE COMMUNITY'S QUALITY OF LIFE. Community Vision College Station, the proud home of Texas A&M University and the heart of the Brazos Valley, will be a vibrant, progressive, knowledge-based community which promotes the highest quality of life by: • Ensuring safe,tranquil, clean and healthy neighborhoods with enduring character; • Increasing and maintaining the mobility of College Station citizens through a well-planned and constructed inter-modal transportation system; • Expecting sensitive development and management of the built and natural environment; • Supporting well-planned, quality and sustainable growth; • Valuing and protecting our cultural and historical community resources; Page 3 POPULAR ANNUAL FINANCIAL REPORT • Developing and maintaining quality, cost-effective community facilities, infrastructure and services which ensure our city is cohesive and well connected; and • Proactively creating and maintaining economic and educational opportunities for all citizens College Station will remain among the friendliest and most responsive of DEMOGRAPHIC AND ECONOMIC communities and a demonstrated partner in maintaining and enhancing all STATISTICS that is good and celebrated in the Brazos Valley. It will forever be a place where Texans and the world come to learn. POPULATION STATISTICS Population-estimate 97,462 Core Values % Male 51.9% (1) To promote: % Female 48.1% (1) • The health, safety, and general well being of the community • Excellence in customer service Median household • Fiscal responsibility income $32,297 (1) • Involvement and participation of the citizenry • Collaboration and cooperation Median Age 22.6 (1) • Regionalism: active member of the Brazos Valley community and beyond CSISD enrollment 10,613 (2) • Activities that promote municipal empowerment Organizational Values: POPULATION FOR • Respect everyone LAST TEN YEARS • Deliver excellent service 2002 75,752 2003 78,309 • Risk,create, innovate 2004 80,214 • Be one city, one team 2005 81,930 • Be personally responsible • Do the right thing-act with integrity and honesty 2006 84,116 • Have fun 2007 86,982 2008 90,897 Using the community vision, mission statement and values as a spring 2009 93,450 board, the College Station City Council in 2012 set the strategic direction for 2010 94,642 the city government through development of six goals: 2011 96,603 I. Financially Sustainable City UNEMPLOYMENT II. Core Services and Infrastructure City 5.4% (3) III. Neighborhood Integrity IV. Diverse Growing Economy County- Brazos 5.3% (3) V. Improving Mobility VI. Sustainable City State 6.8% (3) REFERENCES: Economic Factors (1) U.S.Census Bureau (2) College Station ISD Economic conditions have been a bit more positive than they have been in (3) Texas Workforce Commission several years. Sales tax revenues have seen increased, as well. Growth has been seen in the northern part of the City with all of the activity planned in the University Drive/Northgate area, as well as the anticipated activity in the bio-corridor area. Growth also continues in the southern part of the City with the progress of new and expanded medical facilities, and continued retail development in the Tower Point area. However, there is still a great deal of uncertainty in the economy. Decisions on important issues such as the future renovation of Kyle Field at Texas A&M University could have significant impacts on the local economy. One of College Station's greatest assets is being home of Texas A&M University(TAMU). TAMU is located on a 5,200-acre campus and has a significant economic impact on the City, contributing more than a billion dollars annually to the local economy. TAMU consistently ranks among the top 50 universities in the United States. Each year, TAMU's approximately Page 4 POPULAR ANNUAL FINANCIAL REPORT 2,500 faculty members conduct an estimated $700 million worth of research and development. Student enrollment at TAMU was 50,227 as of September 2012. TAMU employs more than 20,000 full-time and part-time staff. The impact of budget reductions from the State of Texas continues to be monitored to determine how they may impact the local economy and the City of College Station. IT ' - TI Citizens of College Station Mayor and Council ..................................................................................................................................................................................................................................................................................................................................................................................................................... City City City Municipal Internal Appointed Attorney Secretary Manager Judge Auditor Boards& Commissions ............................................................................................................................................................................................................................................................................................................................................................................................................................................... Executive Director, Public Deputy Communications Deputy Executive Director, Business City Manager City Manager Development Services Services Fiscal Information Fire/EOC Planning& Public ............ Services Technology Works Development Police Parks and Recreation Water Community Accounting& Services Development Treasury Operations Human Electric Resources Utility Engineering Budget& Economic Financial Intergovernmental Development Code Reporting Relations Enforcement Legislative TAMU, Affairs Neighborhood .............. Purchasing County, Services Bryan, Northgate Utility Customer Svc. CSISD District Municipal Court Strategic Planning Page 5 POPULAR ANNUAL FINANCIAL REPORT WHAT YOUR CITY GOVERNMENT DOES City government must ensure that adequate services are being provided to residents and businesses. A large portion of the City's budget provides for police and fire protection, as well as public works projects such as resurfacing streets, maintaining roads and providing utility services(electric,water, sewer and sanitation). The accounts of the City are organized by fund, each of which operates separately and independently of one another. The operations of each fund are accounted for with a separate set of self-balancing accounts that are comprised of assets, liabilities,fund balance, revenues and expenditures. Governmental funds are generally used to account for tax-supported activities. In this document, General, Economic Development, Unclaimed Property, Efficiency Time Payment, Chimney Hill, and Business Park funds are considered General Funds. Enterprise funds are used to report activities for which a fee is charged to external users for goods and services. Internal Service funds may be used to report activities that provide goods or services to other funds, or departments of the City, on a cost-reimbursement basis. Major funds are any governmental fund that has revenues, expenditures, assets and/or liabilities that constitute more than 10% of the revenues, expenditures, assets or liabilities of the total governmental funds budget. Additionally, the fund must be 5% of the total revenues, expenditures, assets and/or liabilities for the combined governmental funds and enterprise funds budget. Any fund the government feels is of considerable importance to financial statement readers may also be designated as a major fund. Additional details for major funds can be found in the City's CAFR. This PAFR is presented in GAAP format and is not inclusive of all funds listed below, however all funds are included in the City's CAFR. City of College Station Fund Structure All Funds Governmental Funds Enterprise Funds General Fund Special Revenue Funds Debt Service Fund b H Hotel I ax Fund I Electric Fund II _ Capital Projects Funds - Community DevelopmentWatWaterFund J I Economic Development Fund if ElectricWolf Pen Creek 'ekTlF Fund ... . T" —I ....---I I Efficiency Time Payment Fee li— — Wastewater Fund Water —i Court[ethnology Fee Fund III I Chimney Hill Fund - Court Security Fee Fund j) —{ Saniation Fund II 4 Wastewater M„i —I Juvenile Case Manager Fee Fund(; r''J 4rtJtgt to Parking Fund Capital Projects Funds — Police Seizure Fund II Streets,Traffic,Sidewalks, L Parkland Dedication Fund I,, Internal Service Funds and Trails(Major Fund Memorial Cemetery Parks&Recreation Projects — — Perpetual Fund Insuranee Funds I .1 Equipment ntmtg Facilities&Technology I— - TXP Aecual Fund {Utility Customer Servicee Fund —{ Memorial Cemetery Fund Ip -I Fleet Maintenance Fund —{ Drainage Fund I —I Recreation Fund I Page 6 POPULAR ANNUAL FINANCIAL REPORT ',;,,,,!11,',',“): .."'' WHERE GENERAL FUND MONEY COMES FROM The City must raise funds to pay for the services it provides to citizens and businesses. Revenues are the source of funds and are raised through taxes, licenses and permits, charges for services, and transfers from utility funds in lieu of franchise fees. It is important to analyze the City's General Fund when assessing the financial results of the City. The General Fund is the City's primary operating fund and supports the day-to-day operations of the City. l�i'k'OP R1tY 1A 'S�f'AA'1IiS1rIC ' ' " " I+ ili1 piiiiiiiiiiiiiii I 'titititititi titititititi I�IIIIIIIIIIIIIIIIIIIIIIIIIII 1��IIMI�I�AAIL��a�lar��ty'�AXPAAYi�iRS � 1������� iiiiiiiiiiiiiiiiiiiiiiii��� ,� Property taxes $13,477,878 $12,365,096 Wpe of 2l12 ASses8d1'', Sales taxes 21,498,319 20,292,871 AAI� Y1Rtaa , „ �Ialluiatbmrn Mixed drink and franchise 2,551,014 2,578,554 iPCNSfi Qk Mlllll dllpd'°' tatiidm $ � Licenses and permits 1,496,424 1,054,986 I�IC 1te# iill MIIIII Co!Iege 5totilp1tC.Hospit01 t Ill dlfi all yr j; }' Intergovernmental/grants 520,948 589,326 S;HIl 'rh Ca1lll0M'aY#lHldwis ti ApAiit nemts 40,$2„ ;6'7Q, Charges for services 2,296,105 2,539,881 2818IIiC , ILP A ,irtrmems 41, t� Fines,forfeits&penalties 3,636,209 3,823,406 Wallrm4rt eall it$ta#q Investment Income 88,684 92,017 8mlSirlre , trtifs# Fte,t�lll Jvlia,,llll py t S AQ" Other 994,693 698,862 wmfyllea,dl4 tis P pn# A fF# ititS 40, t� Utility/other transfers 11,209,504 12,713,810 g pairtner1t 39 07,, 2tf;, , ); 'i �ffe�sl fr�d m>~II�wI�1eILN�e t � GbYi A ,��r � m i I Ii Ilirm Sg74im#Mlar!w110'. e 110,;,mi# Hou impj ,� $p' Q7Q UW' ii m b rg, k ra& g t v�idlAllJosser'! HduiSlmg $,iQ3OBO''' thl ils 7-,A1l%ref#hle 01ty';''s `11a1x0ibll Ass Ssed1 Vallue 'puree:8razas Cauirtt raiisall 44,31Z 97 General Fund Revenues by Source Cif' " °COL $ q 'IIc NI muuuulllliiiiiuuuuuuullllliiii 1.72% UIaAII %!!!!!!!!!!!!!fi 200 Q,A1 /iiii: 777t 0! 0.15% ,���iiiiiiilllllli/o��/////� Initmoollooloomo, 0 ����II�U1111111Viuuuuuuuuuuuuuu!�upplggg1j°nna���,,m�� 0 11111 �ddd�ii nptl 3.97/° i " phNlou 0.90% 2.59/o a�yppp9p111��°0 y 2t0 ° @lilllia 00 uu„uuuu'iil�� �Iu 4.42% 21 0' 040 " tut Property taxes 23.33% 111111111 Sales taxes 37.21% 20 2022 0 „ IN Mixed drink&franchise 4.42% 111111111 Licenses and permits 2.59% F� Is p r 00''O tir S S CI v, ill UP itiit i- 11111111111Intergovernmental/grants 0.90% 111111111 Charges for services 3.97% 1111111 Fines,forfeits&penalties 6.29% IIIIIIII Investment Income 0.15% Other 1.72% IIIIIIII Utility transfers 19.40% Page 7 POPULAR ANNUAL FINANCIAL REPORT "'' 'x : "''len Total revenues of the General Fund increased$1,020,969 or 1.8%over the prior year. The following revenue sources are used to help pay for police, fire protection, streets and many other services: • Property tax—An ad valorem levy on the value of property the owner is required to pay. The ad valorem tax rate for 2012 is $0.437995/$100 valuation. Of this, $0.236459 is designated for operations and maintenance, and $0.201536 is allocated to debt service. • Sales tax—City's portion (1.5%)of the state imposed tax on all retail sales, leases and rentals of most goods, as well as taxable services. The current sales tax rate is 8.25%, of which 6.25% is the state rate, 1.5% is the city rate, and 0.50% county. Sales tax revenues are 37.21% of General Fund revenues. • Mixed drink and franchise tax- City's portion of the state imposed tax on the sale, preparation or service of mixed beverages. Franchise fees represent a percent of revenue paid for the use of the City's right-of-way to deliver phone, cable and natural gas. • Licenses and permits—fees collected primarily for single and multi-family construction. • Charaes for services - fees paid by individuals or businesses that purchase, use or directly benefit from the goods and services provided by the City, including Development Services, Police, Fire and Municipal Court. • Fines. forfeits and penalties - ticket and court fines from Municipal Court generated primarily through traffic citations. • Investment income—earnings on the invested cash balances. • Other — includes such items as rents and royalties, various donations, collection service fees, sale of abandoned property, sale of fixed assets, etc. • Utility/other transfers—primarily from utility funds in lieu of franchise fees. Sales tax revenue came in higher than anticipated in fiscal year 2012. The following chart illustrates sales tax collection for fiscal year 2012 compared to previous year's collections and budget: FY 2012 Sales Tax Cumulative Comparison $23,000,000 - $21,000,000 • II $19,000,000 • °III I) II $17,000,000 II 011 $15,000,000 Ill 13 000 000III I II 11 000 000 I II -.Il. 1 $9,000,000 • "i oil 111 $7,000,000 II $5,000,000I'111111 L 1111 $3,000,000 • IIIIIIIIIIIIM 1 $1,000,000 • , • , • Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep I111111Last Year iiirFY12 Budget ■FY12 Actual I Page 8 POPULAR ANNUAL FINANCIAL REPORT "1 ."' WHERE GENERAL FUND MONEY GOES The funds the City collects from all sources must be spent efficiently to provide services to citizens and businesses. General Fund finances the day-to-day operations of the City. General fund expenditures are categorized by the type of service provided. The General Fund accounts for all activities typically considered governmental functions of the City. These include Public Safety, Public Works, Parks and Recreation, as well as Planning and Development Services. Also included are the primary support services for these areas such as Fiscal Services and Information Technology. During the years ended September 30, 2012 and 2011,the City expended funds as shown below: oi dIIIIIIIIIIIIIIIIIIIIII1 1111 II �41�Ifili�ll�lll II �IVIm�'�kld m...N1 u Ii111111111111111111111111111111111 Police 15,465,837 14,890,520 Fire 12,578,396 11,444,702 Public works 6,672,609 7,250,686 Parks&recreation 4,329,869 5,021,642 Planning&development services 3,523,742 3,298,725 Information technology 3,844,107 3,901,721 Fiscal services 2,871,677 2,997,993 General government 4,189,987 5,021,221 Library 1,072,551 1,061,581 Other 1,121,343 1,282,842 70uu�ll�ll ',', Budget reductions due primarily to restructuring and process improvements led to a decrease in expenditures in 2012. The graph below illustrates General Fund(s)expenditures by function. ......................................................................................................................................................................................................................................................................................................................................................................... General Fund Expenditures by Function Library O her General govt., ;mum Fiscal svc. P& Parks& 4100 Il������lllllllluum��u' „�uu\llpllll���� Pu1ll ''",, .,111uu�� I Police 27.78% 11111111IFire 22.59% N Public works 11.99% 11111111IParks&recreation 7.78% IIIIIIIIIII Planning&dev. svc. 6.33% Om Information technology 6.91% IIIIIII Fiscal services 5.16% IIIIIIII General government 7.53% Library 1.93% IIIIIIII Other 2.01% Page 9 POPULAR ANNUAL FINANCIAL REPORT ..................................................................................................................................................................................................................................................................................................... Police - 27.78% of governmental expenditures. The Police department provides a number of services that Calls for Service help keep the community safe. Services provided 100,000 include: 1) police patrol with certified police officers 80,000 75,109 77,230 83,051 82,266 who are assigned to specific areas of the city and who 63,987 are equipped with police vehicles and all necessary 60,000 equipment; 2) criminal investigation of reported crimes; 3) animal control; 4) communications and 40,000 emergency medical dispatch support for police, fire and EMS; 5) short-term jail/detention facilities that 20,000 reduce the processing time of arrests; and 6) a 0 recruiting and training division that serves as a support and training function for the Department. 2008 2009 2010 2011 2012 ..................................................................................................................................................................................................................................................................................................... The above graph illustrates calls for service,which is defined as any event or situation reported by a citizen that requires a response from the Police Department. Fire - 22.59% of governmental expenditures. The basic services provided by the Fire Department include: 1) fire response; 2) emergency medical response; 3) fire prevention services, including commercial fire safety inspections and fire prevention training at local schools and various functions; and 4) hazardous material response. ........................................................................................................................................................................................................................................................................................................................ Incidents Dispatched 8,000 EMS IIIIII FIRE 6,000 5,367 5,646 6,090 6,039 4,718 4,000 1,992 2,008 2,301 1,813 2,175 2,000 0 .. 2008 2009 2010 2011 2012 Public Works- 11.99%of governmental expenditures. The Public Works Department consists of the following divisions: Capital Projects Management, Facilities Maintenance, Streets Maintenance,Traffic Signals,Traffic Signs, Irrigation Maintenance and Administration. The Public Works Administration Division is responsible for the daily administrative functions of these divisions and responsible for refuse collection as well as fleet and drainage maintenance which are contained in other funds. ....................................................................................................................................................................................................................................................................................................................................................................... Streets Maintenance Division: Number of Asphalt Failure Repairs (square feet) 1,200,000 969,806 1,000,000 770,849 800,000 683,884 600,000 500,000 489,008 400,000 200,000 11111 2008 2009 2010 2011 2012 Page 10 POPULAR ANNUAL FINANCIAL REPORT Parks&Recreation—7.78%of governmental expenditures.The Parks and Recreation Department is responsible for College Station park facilities and recreational programs. The revenues and expenditures for the City's recreation programs are accounted for in the Recreation Fund and subsidized by the General Fund. Parks&Recreation Facilities Parks play units 57 Community centers 3 Softball/baseball fields 36 Pools 3 Soccer fields 30 Libraries 1 Jogging/walking trails 34 Planning & Development services— 6.33% of governmental expenditures. Planning and Development Services is responsible for services including land use, development, engineering, and building regulations, comprehensive planning, neighborhood services, floodplain management, code enforcement, community development and Northgate Parking operations. 201 (Permits processed 6,647 5,819 5,972 6,026 5,600 (Building inspections processed 13,814 12,938 12,379 11,583 12,100 'Community enhancementcases 11,885 11,622 11,408 8,632 8,900 Information Technology— 6.91% of governmental expenditures. Information Technology (IT) implements and maintains the technology and computer based information systems used by all City Departments. The IT department includes IT Administration, Management Information Services (MIS), Geographic Information Services (GIS), E-Government, Mail and Communication Services. Fiscal services—5.16% of governmental expenditures. Fiscal Services provides fiscal administration, accounting, treasury, purchasing, budgeting and financial reporting services to the City. This department also oversees the operations of the Municipal Court and Utility Customer Service. .............................................................................................................................................................................................................................................................................. Library Circulation 700 (000s) 600 574 Library — 1.93% of governmental expenditures. The Larry J. Ringer Library facility is overseen by the City's 500 372 424 406 390 Parks and Recreation Department. This facility is 400 operated in collaboration with City of Bryan, which 300 provides staffing for the College Station facility. 200 100 0 2008 2009 2010 2011 2012 .............................................................................................................................................................................................................................................................................. Other—2.01% of governmental expenditures. Other expenditures include all other expenditures that do not fit in any of the expenditure categories listed above, such as funding for the arts, research, and economic development. Page 11 POPULAR ANNUAL FINANCIAL REPORT 111', ".x : ..1111," GENERAL FUND UNASSIGNED FUND BALANCE Fund balance is an accumulation of revenues minus expenditures. It represents the net position of a governmental fund. Unassigned fund balance represents funds that are not restricted and are available to the City for any of its purposes. Fiscal and Budgetary Policy requires the unobligated (unassigned)fund balance in the General Fund should be at least 15%of the annual budgeted General Fund expenditures. This percentage is the equivalent of 55 days expenditures. Below is a comparison of the fund balance as a percentage of the expenditure budget for 2009-2012: µ�, IIIIII�IIIIIIIIIIIIIIIIIIIIIIIII II lilllllllliilllllll; 111:11ffillllllllllliplliiipllillllg III I IIRIIIIIIIIIIII I i�I II IIA II�ItI !!!!!!!9 - IIII IIIIIIIIIIIIIIIIIIIIIIIIRRR111 2009 8,102,443 54,491,371 15% 2010 11,101,327 60,264,060 18% 2011 12,871,125 59,600,236 22% 2012 15,186,915 58,613,897 26% Key factors in the increase of unassigned fund balance for fiscal year 2012 are: (1)budget reductions due primarily to restructuring and process improvement, and (2)sales tax revenues higher than anticipated. 1000000 11, n�Itlli�nllw,tluP In r by I,I uJw°,I„IG p r,'!„I0p� !, �Po Il&"'r wW 0MryNw, 'M µ 4Prlj V a V11II a N Ar%mV'"I%�'V�1 4,0;4,4 4 6 wN VW I� II0 @16 1, u N PI:��✓�Nwl vu 1, ^ ' ! w I ,�1�^ w d l Ii� 1179111r14, Ir�lr 0"' IIY4 44 v I r � u I llvl � w 4 � wan J � I ud liir��,hy� N✓�. � ,.. w•''Y � � Idl V C➢NM b 7 I IV1��Y"wUti�lii1 ryIryIIIjy111 111)l+l..l(��or�1 IQI II Ii I�r.?lI.,fl�l,l l���(l lIlI I�111 1,12 111Y�II1YI�rr Pfu�.u(�. �r.lIIPVIII�p„ � ~1�M " II IMIrI I��IlIIII I III ( "11y1111i1pt1'lnl 111"14µul1, rI11 11„ I z11' I H M 11 00, 11nu IIIIId1V u;"fir " • .� p,IpIcaclnIm�I VsISli 1 Nf^, rru IOIfIWI 01,M�4NXV,�rI� 1111, I�wMa'�Wi^o '" ro 'mC' ,I� i,� •r, r �„ 19ti I,,� ' rypllu,,,r hl n V wlu"N1�wIA1,„w r I a,^m�l IIIW� u I uN'rP'i R'mM;'e'r�II w„NIv v"I�d.���I�IIII0 V IvVI"M�VV!IW'w,',I��!lWutlp�yV��lM"IIimuCI vr Iw. n�IpN ,uXV Vi°I,INm.„, 41111 ,1,111.11111g011,1111 1,0,11), I n p P � ,I I � ry """ iwn N 1 70 � V� I,u!I" $ .11 41111 , , '14,t , 4, 1 I 4,40141111111110. 11 I I y4 N iIU1M Iy1Il I °C '1' yIN M .1 it'lI Ii 1.0111110 I Page 12 POPULAR ANNUAL FINANCIAL REPORT 1................................................................................................................................................................................................................................................................................................................................................................................................................................................1 ""....... ...... ...... ...... ............ ...... .....:............................ ..... ..... ........ .... .... .... ........ .... „...„... „... „... „...„... „... „... „ ...""....""...."".....""....""....""...."" ...."".....". .....". .....". ............... ....... ....... ....... .....,..... ....... ....,.................................. ......... ........ .... .... „... .......... ..... ........ .... .... ........ .... .... „... '''''''''' "'" "... ..... .......... ...... .......... ..... ..... .......... ...... ........... ,, 1..,,„,,,,,,„"..„..... ........ ...... ...... ............ ...... .....:............................... ...... ............ ...... ENTERPRISE FUNDS EJeli """::::'''''''''''''''"::::::::.:.:.:::::::.:.:.:.:.:.,::::::::::::::.:.:................................. ..............„.................:: NultoiON:o.'..c.) 91Z3 Enterprise funds are used to account for those HH5H.R..e.s.i100:triltioll ii66....or(;ilets:///,....................""" ................"--......................................... ......................„.................... . .......;;;;;; 900,,,,,r.:.:: H555:::............:.:.:.:::::::::.........„,.::::.::....:::.::..............y......... ,,,,...,.....,.....1..........."......................................5............."............................ .......;;;;;;;, , ..:,.......:. .....::: ,............,, operations that are financed and operated in a HH5H0'.:!4S,11(tirOlOr':.ts0rY1100"11.00'.:.:90.1t9I1er$:':..... 5..............1..................................:;;;;;; ,g,...............................................11;408:'::::::::.::::,"". 5:5:5H :..................... .. ...........................'..;.,.. ...,A,...,,%.,..:,%: ::::.............-"..............:::).............. ..........::.::."::........ manner similar to private business. The City uses H5 :..Ay(iit01,g0.'...,fillOtiltliiitS4,.01,:i13§ 14.11PtilOirt.,:(1<WIH4/....f::::........."""".............*505:;20;(3,5($( .. .,::::::, enterprise funds to account for the operations of the H5H''A)/c1;11,!IlulliTinibiStoff10.60604(0,$,..j00er.00.ilst.oriler00000.0.0..0.00000000":"..........00000,:000000000000.0:000„000.0.000000.0.00.0.0000,0000000000°0000;116H....." .,, activities..:).:).............:::::::.......... ,..........'... .. ,..............:::.........:::::::::......5..........:::::;;;::::::,, ,..... ,,.........:........ :::.. „..................' electric, water,wastewater, sanitation and parking Water ...................::::::::::::::.......,..:.:::.::.:::::;,,,,,,....:: Wastewater funds are considered to be major funds. HHHNION/Nt..g.;011\410e.8::.0t5fitiliPllei0eil::::::::...,.,...::..................." '''"''''':':::::::::': :'.5':':'..:.::..:..:..:.......,.,.,.,..,...$',Cj)8,:...„.,,,,,,,,,.,.,.,.„.. . 5t. :.."...:::....„................,.............. .....: ,.....,,,............... "; „,,,,,,,,,,,„,,,„ ,.....,,.....,„.... ,',.., ,....................................%:.:::.::............,.......::::.:.:).:.::::::.:.:.:.:.:.:' The revenue sources include charges for services HH5HHANteitr,..096:.'tirrilc$1.111tbilly':OPFlistirolofioPi'itmovx.)::::::::$:.:...:.:.::.. ..„„„„,„,................... ....„........a570.11:.:.":::......."' HH5::.'.'..".'....... meters...—..........- .............. ........... . .............:. ..,;....................:.:%,.."''':5..........."............................................:,%:,,,,......." along with grants and developer contributions. Water 172 :.,.ywill'.1.rol eor:00,001 ig Sewer enterprise funds in fiscal year 2012: . .. ... ... .. ...........,. HHHHNIU..,!!(1111115,or:.4',;yircoriirtietti10.1) ,..."'"""::::........:::::::,:,:,:,:,:,:,.,,,,,,,.,.,.,:::,,,.,.........................,,,,,,,,,,,,,,.,. .,„,„:„:,:,:,,,,.,......„,„„:„...,, ,.........,,,,,,:,:,:,,,,,,,,,,................5,490,1 HHH:AV01010,1'i8i:c116,111'y'$...eiW,001.0::.:.11treitittril'elilt.::...,:.:.:.........\\\,...... ...:.:.:.:...:.:.:.:.:.:.:.:.:.:.:.:........:.:.:.:..,:.:.:.:.:.:.: ::,:,:,:,:,:,:;;;;;;;;,-.'.'.'.'::,.....0:0483".:...::::::::::.„ H55H('tf,I6i(,Oi'rlidls,'000'O,,i0fL,9)gtllIleo';),„000000000g//.000000,0000000:.....„„000„000000000000 :::::000;,000000'000000"0.00.„„„„„000000000000„:::,...............::000:000000000000000000::::........"" .....,,,,......„„ Business-type Revenue 555 .:NlOw,''.. .'.,g),tvilc'o ':':':,'e;:c,'i'irrii,iOk)ted1",:,:,:,:,:,:,:;;;;;;;;'''''''.'.'.'.':,,,,,,,............... ::::...............:::::::0"'.: :"'......''""..........;;;;;;:,;:,;:,;:'''.':.:.:.:.:':31(3, ...... ''' ' ' "' ,,.,.......,,,.,:::...„,... . $141,330,158 Aygrriluitil)et...of .10p.plagle§..pef.....cittstpot(4t;;;;;;.4,,,,,,, .......................................0.0 2400,,,,........,,,,. s.gili0liliAtiltiiii:000000''"::::":0000...00000"""'''''''':::::::-"'''''''''' ..."""---°°°'"'''''''''''''°'°°°°°°°°°°°°°°°''''''''''''°°°°°°°"°°°°°°°°°'°'°'°'::: ":::5::::::::""""'"11"-°001::::1°'::5::::::::'°'°t04::::::::'"" "'°' Developer Other Contributions 0.2% 1111111111111111111115111N1LObbtOtt,11$0.11t,' 141 (prIII. ,i".'..5.............::::...::::::::::::::::: ::: :::::::...5..........:::::...:::::::: :::::::::::::::y.y.y::.c .,_....,,:::.............:::::. IkR1 1lidi160ii8t 1 66§:cii6d1d 52....:g......:.:.:.9...:.JaI i$ideltioltorts rectfd 1424 C( mtorti01100st0110tet 34;608 Park .00011001 .lit,,,1111,11,1111,1111,111,1D,1,i1,In I l'1lIl'li lio0l0io111l11'11110.0000,1011111110111111,111111111111111111111111111111111111111011111111.11110111j11„1'111!l'i,ll0ill0i0i0il0i'005ll,11111101111,1,,1111111i0i1i,:;:!';':,,:„:',0:',1i:l10,F.„l0,144'1:,:i0.l000l,0!,1 110111011111011,1, 1,1111,11,111 1 ' 111110111 1i11111 111'1.'1 [1 IItiI I,,,, II11I,,1 I11.1,11110111 11111.... 11111h0., ,1011011111101111111111111110000011 0000001110 011 11101111 1, 110 1 1 1 IIIIIIIIIIIIIIIIII100, 00110,1000,00000000000000-00000011100,0„, 0010 0 L 00 1 11 111 001 I 1111111110000000000000,0. -1' 111":00000000000000111? 0000000 01 001„,,, 01,1101111'11111111111111111111111111111'•11111111111111111111010,000000 h01111111 11 10011 1 1 100000000000100000. 000000010111 11 01 , 11111 1111 1111 111111111 H1HHAc01.0.:,"e..c.p11:troct..c.14.1$,,torft6r$.......,.....00.0.000.0.00:00000.0.0.0.0.....0.0.0.0.00..................................... 1110001?1?1000000010111,I,I,I,I1,11,11,11,,li,,li,,li,,III,IIII,IIIIIIIIIIIIIIIIIIIIIIIIIIIIIII0,1!1:,!1111,11,11,11,111,111,111,111,111,11111,11111111,011,11,11!,I,0,0!,00,0,00,1,,,.10,,q:01!.010.!:.,,,,,111.1,I,.II,Illvl,1v1 100000000,, 00 ........................460....000111,, 00°00010111111111111011111110111441•11111111111111111111 00.01° 11111 00001111111i 1110111001 o 11 III . . - ......."......"......"..... . . . .. ,customers.1H1oviirllyc000h.. 0"0.00......-- ,,,..... ''''"'"' 00000000:!0000000,0000000000001111111I 00'" ' IIIIIII 1 I,1 01 ''" ..... "......."..,,,,........, ......, . 00000 '0000,000000,0000I00,000000100010000,0'10010"0,01P'°"110010000, , IIII Ill 1111111111111101010 1111111 ;11;i 00 „,.2. ...................................... ''''''!::INIIIIg00111)ii))))Jk000000 IA 11'00 0 1111111011'' ....00- '"0,01000,000000101 1001 II 010000000 Charges for Services 94.9% 11 111 1111 1 . • Business-type Program Revenue and Expense .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. . .„. .., Lo, 1,1111,111,11101111 $100,000,000 ,. ...... . """""""""""""""""""""""""""... ............................................................................................................................................ $80,000,000 ... .. . $60,000,000 „.... ,„.... ,„.... ,„.... ,„.... ,„.... ,„.... ,„.... ,„.... ,„.... ,„.... ,„.... ,„.... ,„.... ,„.... ,„.... ,„.... ,„.. ,.,„....'" $40,000,000 .".. ....„ ......................................................... .........................................................................................................................................- „, $20,000,000 ..' . „ ....................................................................................................................................................................................... Electric Water Wastewater Sanitation Parking 11111111111 Revenue 11111111111 Expenses Page 13 POPULAR ANNUAL FINANCIAL REPORT ""1 ; "'? STATEMENT OF NET ASSETS ($000) Governmental Activities Business-Type Activities Total 2012 2011 2012 2011 2012 2011 Assets Current and other assets $ 86,483 $ 94,819 $ 85,819 $ 76,111 $172,302 $170,930 Capital assets 238,028 231,625 305,406 301,472 543,435 533,097 Total assets 324,511 326,444 391,225 377,583 715,736 704,027 Liabilities Long-term liabilities outstanding 102,752 107,944 140,098 133,150 242,850 241,094 Other liabilities 19,212 19,693 31,824 32,571 51,036 52,264 Total liabilities 121,964 127,637 171,922 165,721 293,886 293,358 Net assets Invested in capital assets, net of related debt 149,876 145,547 179,124 175,060 329,000 320,607 Restricted 13,606 25,565 1,581 1,589 15,187 27,154 Unrestricted 39,065 27,695 38,598 35,213 77,663 62,908 Total net assets $202,547 $198,807 $219,303 $211,862 $421,850 $410,669 Net assets, the amount in which assets (what we have) exceed liabilities (what we owe), may serve as a useful indicator of the City's financial position. The City of College Station's total net assets for fiscal year 2012 are $421,850,110. Unrestricted net assets are $77,663,219, which can be used to meet the government's ongoing obligations to citizens and creditors. Combined net assets increased $11,181,109 (2.7%)over last year. ................................................................................................................................................................................................................................................................................................................................................................................................................................... Total Net Assets H l ouuummlmup l I ummllllllllmmlllmmumllllumllallioulV^ 400,000,000 Illlill�l mmmmmm���mm"""mm i�u 350,000,000 mlmlm,m,minllllllllll u;l;l„ ����mIIIIIImIIIIIIIImIIIIIImIIIIIn11�������llllmllllmllllmllllllllmllll1111 �nm 300,000,000uuuuuuuuuuuuuuuuuuuuuuuumIMI'iii;io'nmmm�omioiououm mllllmllllmllllmllllmllllmllllmllll4 ^° �6VIIW" 0 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 Page 14 POPULAR ANNUAL FINANCIAL REPORT ""/ ':x : .."'' LONG-TERM DEBT Year-End Outstanding Debt Payable ($000) Governmental Business- Activities Type Activities Total General Obligation Bonds $ 75,695 $ 36,280 $ 111,975 Certificates of Obligation 21,415 63,085 84,500 Revenue Bonds - 45,060 45,060 $ 97,110 $ 144,425 $ 241,535 At the end of the 2012 fiscal year, the City of College Station had total debt outstanding of $241,535,000. Of this amount, $196,475,000 (81.3 percent) is comprised of debt backed by the full faith and credit of the City. Certificates of Obligation that fund business-type activities in the Electric, Water,Wastewater and Northgate Parking Garage Funds are also backed by the surplus of revenue derived from each enterprise funds revenue source. The remaining debt $45,060,000 (18.7 percent), is revenue bonds secured by specified revenue sources from the City's combined utility system. CAPITAL IMPROVEMENTS The City issues General Obligation Bonds and Certificates of Obligation to provide funds for the acquisition and construction of major capital facilities. Major capital projects completed by the City during the 2012 fiscal year include: (+III P aGfill 'I lllllllllll�llllllll llliiliiiil u�lll�p pm 1,0"^ lllllll,,,,illiilvry Sv'IIY ,a,va ilfilVd�N1ll�l0lll�0 0 II (`M ulll liillllllll 1 I III Yl IilVll��lllll%Illyi't11p0 �avx" IVyii1),),)'Illliilliil"ICI li' 'tl,1uV, "HIIyI tiII�IVI° v l i'O'Op W ul'IYy'�1��6''!lo ,,I Ni'6 I 'i v V allllliuW '0,0 'dVII1', ^,'I#',,)'1ll,01'uilll. vj�'l%IfIIl rm „I,' a Mobile Data Terminal System wPrI'j;!' q�i II '1,- Replacement PII1II f „ Cr","� r " "',V""(I�I � l„„ „um, o Emerald Forest st Park Improvements rovements o John Crompton Park—Phase Ill Northgate Street Meters(=uwrpr „+' 4 u4N"' � , �I ' j'u ' ` 1 o University Park " " , " ulrdu' "',' III 'I o G. Hysmith Skate Park n ,. �miMu�lai�', '�i�l'F�V i Iw( r,",, ' I'lull vl, p, " "^ ,„ ;iv,+i'( ,,"r ,Y, ,..t„ , ",'t a Brothers Park Running Turf I rho a W.A.Tarrow Park 10",vP i�tiv ^ IN'imuiidror1drv,J" totN ryu N N00IINIINII�lllll�l `�lio��lloi�li l 1111Ol�plllll,, a11 Water Cooling Tower Media Replacement �!!!!I??11�I� 1I , o Reclaimed Water—Phase I IiIIIPI dlp � i ri uy., ,�;��oi 7 Ili<1M ju "rural II o Southwood 5-7 Water and Sewer Line Rehab1111111111111111111 'lu (1�' �II vr' "'N m IIIIIIIIII jl 'rl�N r �,I� � uuuuluuu I plb�j� and SCADA Building 1Uouuu d 111 'litlllivaliu^i� o Carters Creek Wastewater Treatment Plant Lab P 10,o Scott and White Sewer Line and Lift Station •' o �" 1. N o Electric Dispatch Building I , o Sandstone and Thomas Parks Shade Covers r ," "11l V / 9M1111111 iil l �1 u tl jl �' 4 ry l 1l iir� �/,,„ ' �V1��00 „liU10V C a; t ulll�l�� Inli,rq,„.IYluir .III II �i