HomeMy WebLinkAboutFY 1992 Comprehensive Annual Financial ReportOF EULESS, TEXAS
"We're Building A Beautiful Tomorrow"
COMPREHENSIVE
ANNUAL
FINANCIAL
REPORT
FISCAL YEAR ENDED 9-30-92
PREPARED BY:
FISCAL & HUMAN RESOURCES DEPARTMENT
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CITY OF EULESS, TEXAS
COMPREHENSIVE ANNUAL FINANCIAL REPORT
YEAR ENDED SEPTEMBER 30, 1992
CITY OFFICIALS
HAROLD D. SAMUELS, MAYOR
FRANK DOUGLASS, COUNCIL MEMBER PLACE ONE
TODD SMITH, COUNCIL MEMBER PLACE TWO
BOBBY BAKER, COUNCIL MEMBER PLACE THREE
MARY LIB SALEH, COUNCIL MEMBER PLACE FOUR
AND MAYOR PRO TEM
PETER STAKS, COUNCIL MEMBER PLACE FIVE
HENRY BOATRIGHT, COUNCIL MEMBER PLACE SIX
TOM HART
CITY MANAGER
DEBRA B. FORTE'
DIRECTOR OF FISCAL AND HUMAN RESOURCES
I
CITY OF EULESS, TEXAS
COMPREHENSIVE ANNUAL FINANCIAL REPORT
Year ended September 30, 1992
TABLE OF CONTENTS
INTRODUCTORY SECTION
Exhibit Page(s)
Title page I
Table of contents II-V
Letter of transmittal VI-XII
GFOA certificate of achievement XIII
Organizational chart XIV
FINANCIAL SECTION
Report of Independent Auditors
General Purpose Financial Statements
Combined balance sheet - all fund types and
account groups
1
1 2-3
Combined statement of revenues, expenditures
and changes in fund balances - all govern-
mental fund types 2 4-5
Combined statement of revenues, expenditures
and changes in fund balances - budget and
actual - General Fund 3 6-7
Combined statement of revenues, expenses and
changes in retained earnings - All
Proprietary Fund Types 4 8
Combined statement of cash flows - All
Proprietary Fund Types
5 9-10
Notes to financial statements 11-29
II
CITY OF EULESS, TEXAS
COMPREHENSIVE ANNUAL FINANCIAL REPORT
Year ended September 30, 1992
TABLE OF CONTENTS, Continued
Schedule/
Statement Page(s)
Supplemental statements and schedules
Special revenue funds
Combining balance sheet A-1 31
Combining statement of revenues, expen-
ditures and changes in fund balances A-2 32
Capital projects funds
Combining balance sheet B-1 34
Combining statement of revenues, expen-
ditures and changes in fund balances B-2 35
Enterprise funds
Combining balance sheet C-1 37-38
Combining statement of revenues, expenses
and changes in retained earnings C-2 39
Combining statement of cash flows C-3 40-41
Water and sewer fund --comparative balance
sheets C-4 42-43
Water and sewer fund --comparative state-
ments of revenues, expenses and
changes in retained earnings C-5 44
Water and sewer fund --comparative
schedules of operating expenses C-6 45-46
Water and sewer fund --comparative
statements of cash flows C-7 47-48
Water and sewer fund --aggregating
schedule of balance sheet accounts C-8 49-50
III
CITY OF EULESS, TEXAS
COMPREHENSIVE ANNUAL FINANCIAL REPORT
Year ended September 30, 1992
TABLE OF CONTENTS, Continued
Schedule/
Statement Page(s)
Water and sewer fund --aggregating
schedule of revenues, expenses and
changes in retained earnings accounts C-9 51
Internal service funds
Combining balance sheet
D-1 53
Combining statement of revenues,
expenses and changes in retained
earnings D-2 54
Combining statement of cash flows
Deferred compensation agency fund
D-3 55
Statement of changes in assets and
liabilities E-1 57
General fixed assets account group
Comparative schedules of general fixed
assets by source F-1 59
Schedule of general fixed assets by
function and activity F-2 60
Schedule of changes in general fixed
assets by function and activity F-3 61
Table Page(s)
STATISTICAL SECTION (Unaudited)
General governmental expenditures by function 1 62
General governmental revenues by source 2 63
Property tax levies and collections 3 64
IV
CITY OF EULESS, TEXAS
COMPREHENSIVE ANNUAL FINANCIAL REPORT
Year ended September 30, 1992
TABLE OF CONTENTS, Continued
Table Paae(s)
Assessed and estimated actual value of
taxable property 4 65
Property tax rates - direct and overlapping
governments (per $100 of assessed value) 5 66
Principal taxpayers 6 67
Computation of legal debt margin 7 68
Ratio of net general bonded debt to assessed
value and net bonded debt per capita 8 69
Ratio of annual debt service expenditures
for general obligation bonded debt to
total general expenditures 9 70
Computation of direct and overlapping debt 10 71
Revenue bond coverage - Water and Sewer Bonds 11 72
Revenue bond coverage - Drainage Utility Bonds 12 73
Demographic statistics 13 74
Property value, construction and bank
deposits 14 75
Retirement plan - analysis of funding
progress 15 76
Miscellaneous statistics 16 77-78
THE CITY OF
EULESS
January 29, 1992
Honorable Mayor & City Council,
City Manager, &
Citizens of Euless:
The Fiscal and Human Resources Department of the City of Euless is pleased to
submit the Comprehensive Annual Financial Report of the City of Euless, Texas
for the fiscal year ended September 30, 1992. 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,
results of operations, and cash flows of the 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 and supplemental statements and schedules, as well as the
report of independent auditors. The Statistical section includes selected
financial and demographic information, generally presented on a multiyear
basis.
GENERAL INFORMATION
Euless was settled about 1881. and named for Elisha Adams Euless, a cotton
farmer and pioneer. In 1915 the population was 25 and in 1960, 4235. Euless
has changed significantly from a rural farming community to a progressive
urban area of approximately 40,000. The City of Euless is located in North-
east Tarrant County directly between the cities of Dallas and Fort Worth.
Euless is also adjacent to the world's largest and second busiest airport --
Dallas/Fort Worth International. The economic condition of Euless continues
to be one of cautious optimism.
The City provides to its citizens those services which have proven to be
necessary and which can be provided by the City at the least cost. Included
in these services under general government and proprietary funds are tradi-
tional city functions such as police and fire protection, emergency ambulance
service, road and traffic signal maintenance, water and sewer operations,
drainage system, parks and recreational facilities, courts, and library
services. Other services include planning land use, building inspection, and
traffic control. Internal services of the City include Insurance, Risk
Management, Equipment Replacement, and Cash/Debt Management.
201 N. Ector Drive, Euless, Texas 76039-3595
817/685-1400 • Metro 817/267-4403 • Fax 817/685-1416
VI
All funds and account groups are discussed in depth in the notes to the
financial statements. Even though associations with other entities such as
Hurst -Euless -Bedford Independent School District exist, the City Council has
no oversight responsibility, or control over the school district or the other
entities referred to in Note 1 of the financial statements. Accordingly,
financial data for the school district and others are not included in the
combined financial statements in this report.
ECONOMIC CONDITIONS AND OUTLOOK
Growth in the Euless area is projected to increase as we progress through the
1990's. The proposed expansion plans at Dallas/Fort Worth Airport should have
a positive impact for North Texas, but will continue to provide some unique
challenges for government officials in Euless. However, the varied types of
economic growth in and around the Euless area will enable city officials to
provide a better level of service and quality of life to both our corporate
and residential citizens.
The City of Euless had its strongest new commercial construction in three
years. The City issued five commercial permits for a total value exceeding
$4.3 million. Some of these new starts were Food Lion, White Swan and Home
Depot. For the third consecutive year, the number of new single family
housing starts declined. This decline paralleled new housing starts
throughout most of Tarrant and Dallas counties.
The Euless economy continues its slow growth. Although unemployment is up,
Euless' retail sales show an upward trend. The addition of Home Depot and
peripheral development will further strengthen the Euless economy and increase
retail sales.
The diversification of our growth is evidenced by the other new businesses
opened or announced to our community: A 60,000+ square -foot physical
rehabilitation center on Westpark Way; a new subdivision off Harwood Road; and
Blockbuster Video located at Harwood and Main. Also, the following industries
are represented in our growth: retail and wholesale sales; manufacturing and
distribution; training facilities; and computers. The City looks forward to
continued development for the future.
MAJOR INITIATIVES
Budget. During preparation of the 1992 fiscal budget, both elected and
appointed officials worked together to identify and address several key
programs needed to adequately serve the public, either through quality of life
issues or technological advancements. Building upon the strategic committees
that were created in 1990 by utilizing a vast number of citizens for
assistance in the development of Euless' goals and objectives, the Budget was
developed. Specific objectives may be summarized as follows: Reduction of
the operating deficit in the General Fund; maintenance of service levels to
citizens; continuation of competitiveness in the employee pay plan; absorption
of legislative mandates; and continuation of City Council directives.
Progress Report. During 1992, many goals were set and achieved by the City
of Euless. The following lists selected accomplishments in all departments:
Charter election added a sixth council member and three-year terms; completed
VII
a recodification process and charter revisions; received the Distinguished
Budget Award; volunteer program implemented, saving $45,000 in 1992; "1+1=2"
accounted for 5,000 trees planted in 1992; Arbor Daze 1992 attracted 25,000
people; received Tree City USA Growth Award (only three given in Texas);
received Amateur Federation Member City Award; added new ambulance and Quint
fire truck to Fire Department, enhancing service to citizens; implementing
recycling program that includes apartments (a first in Texas); implemented
minimum housing program; created business directory and community service
guide; added police traffic safety unit; received TRA "Best Tasting Water"
award along with Bedford, Hurst, Grapevine and Colleyville; light duty program
for workers' compensation reduced lost days of work by 91% compared to prior
year; and implemented an employee recognition program including awards.
FINANCIAL INFORMATION
General. Management of the City is responsible for establishing and main-
taining an internal control structure designed to ensure that the City's
assets are protected from loss, theft or misuse and to ensure that adequate
accounting data are compiled to allow for the preparation of financial state-
ments in conformity with generally accepted accounting principles. The
internal control structure is designed to provide reasonable, but not abso-
lute, 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 evaluation of costs and benefits
requires estimates and judgments by management.
The City's accounting records for the Enterprise and Internal Service Funds
are maintained on an accrual basis whereby revenues and expenses are recorded
in the accounting period in which they are earned or incurred. The remainder
of the City's funds are maintained on the modified accrual basis whereby
revenue is recorded when measurable and available and expenditures are
recorded when the liability is incurred except for interest on general
long-term debt, which is recognized when due.
As set forth in the City's charter Article VII Sections 2-9, the City Council
adopts an annual budget. Detail control is accomplished by maintaining
expenditures by line item account within each operating department within each
operating fund at the authorization of the City Manager. Financial reports
are available to division managers monthly.
Further explanations of the basis of accounting for all fund types, account
groups, and the City's budgetary controls are furnished in the accompanying
Notes to Financial Statements.
General Governmental Functions. Revenues for general governmental func-
tions and general debt service totaled $11,611,959 in 1992, an increase of
2.23 percent over 1991. The increase in revenues is primarily attributable to
the increased activity in Municipal Courts due to implementing a traffic
safety unit, and secondly to an increase in general property tax rates. The
major decrease was due to the significant drop in interest rates. The amount
of revenue from various sources and the changes from the previous year are
reflected in the following table:
VIII
Revenue Source
Increase Percent of
Percent (decrease) increase
Amount % of total from 1991 (decrease)
Property tax $ 5,979,963 51.50% $159,028 2.73%
Gross receipts tax 1,386,823 11.95 67,711 5.13
General sales tax 2,183,248 18.80 61,271 2.89
Fines and fees 1,291,629 11.12 319,754 32.90
Licenses and permits 210,525 1.81 (26,875) (11.32)
Interest income 203,343 1.75 (197,914) (49.32)
Intergovernmental/Other 356,428 3.07 (128,574) (26.51)
TOTAL REVENUES
$11,611,959 100.00% $254,401
In addition to the above general revenue, $461,595 was transferred from
various funds, primarily Enterprise funds for general and administrative cost
reimbursement.
Expenditures for general governmental purposes and general debt service
totaled $12,005,375, an increase of less than 1% over 1991. Changes in levels
of expenditures for major functions of the City over the preceding year are
shown in the following table:
Increase Percent of
Percent (decrease) increase
Function Amount % of total from 1991 (decrease)
General government $ 2,020,872 16.83% $ 460,072 29.48%
Public safety 5,616,915 46.79 (106,835) (1.87)
Streets 454,150 3.79 (53,076) (10.46)
Parks/Rec./Library 1,348,652 11.23 117,395 9.53
Debt Service 1,617,947 13.47 (154,367) (8.71)
Nondepartmental 946,839 7.89 (261,916) (21.66)
TOTAL EXPENDITURES $12,005,375 100.00% $ 1,273
revenues
property taxes
81%
Interest Income
2%
gross receipts
12%
expenditures
public safety
Intergov'tal/other nandepertmentel 47%
3% 6%
fines/lees
11% Parks/Rao/Lib
sales tax
1B%
licenses/permits
2%
streets
4%
general "" "' debt service
17% 13%
IX
General Government variances are due to the following: City Council -
Administration stabilizing; Finance up due to Municipal Court clerk to process
additional warrants; Administrative Services up due to maintenance costs, and
Development & Operations up due to expanded code enforcement activity and
contracts with other entities. The decrease in streets is primarily due to a
reduction in street maintenance, which is offset by increased activity in the
construction funds. Parks/Recreation/Library increased due to staffing
increases, including a volunteer coordinator. Debt Service decreased due to
retirement of certain maturing debt. Nondepartmental expenditures decreased
primarily due to Airport legal expenditure reductions in FY92.
Enterprise Funds. While the number of water and sewer customers was
relatively constant with 1991, the City's water and sewer utility showed an
increase in water revenues due to a rate increase and stabilization of sewer
service revenues in the current year. Consumption is down as a result of
excessive rainfall during the prior year. Comparative data for the past two
fiscal years are presented in the following table.
1991 1992
Income (loss) before operating transfers $ (88,725) $ 166,280
Net revenue available for debt service $1,481,784 $1,215,901
Debt service requirements $ 602,925 $ 534,341
Coverage 2.46 times 2.28 times
The Drainage Utility System was created in FY91 in compliance with new
legislation designed to address drainage issues in the communities across the
state. Fees were effective January 1, 1991, thus FY91 does not represent a
full year of operations. In FY92, $316,340 of revenue was generated and
$217,579 of the costs were incurred. Capital improvements were initiated in
FY92 relating to the Drainage Utility System and continue in FY93.
The Recreation Fund was segregated from the general operating budget of the
City to allow the Midway Recreation Center and the class structures to operate
as an enterprise. $256,732 of revenue was generated, while class expenses
were $268,208, both consistent with prior year activity.
Debt Administration. General obligation debt, which is directly tax
supported, totaled $11,716,587 at September 30, 1992. Certain ratios are
useful indicators of the City's debt position for municipal management,
citizens and investors. Data for the City is as follows: Net bonded debt -
$11,281,740; ratio of net bonded debt to assessed value - 1.13 and net bonded
debt per capita - $291. All significant ratios show an improvement over 1991.
Revenue bonds, which are secured by the net revenues of the Water and Sewer
Enterprise Fund, totaled $4,250,000 at September 30, 1992. In November, 1992,
the City refunded certain of these outstanding bonds and issued $2,335,000 in
refunding revenue bonds at lower interest rates resulting in future savings of
approximately $154,393. See Note 3 to the financial statements for further
explanation. Tables 8-12 in the Statistical Section of this report present
more detailed information about the debt position of the City.
The City has maintained its A+ and A Ratings on general obligation and revenue
debt from Standard and Poors and has maintained its A-1 and A Ratings on this
debt from Moody's Investors Service.
Cash Management. Compliance, safety, liquidity and yield are the program
goals. Safety and security of the City's funds are of primary importance in
all investment activities, with staff following policies and laws when invest-
ing funds. Interest income generated for the year for all funds was $734,774.
The average yield for the portfolio was 4.91%, exceeding the benchmark yield
by approximately 102.5 basis points. Interest is an important non -tax revenue
for the City. As of September 30, for every $1.00 the City had to invest,
approximately $1.02 was invested. The program continues to provide a positive
revenue source for the City.
Insurance and Benefits. The City provides employee medical coverage on a
self -insured basis. Premiums are paid into the Insurance Fund by all other
funds and by the City's employees and are available to pay claims, claim
reserves and administrative costs of the program. An excess coverage insur-
ance policy covers individual claims in excess of $50,000 and aggregate claims
in excess of $1,099,017.
The City maintains self-insurance for workmen's compensation. Contributions
are made to the Risk Management Fund by other funds and are available to pay
claims, claims reserves and administrative costs of the program. An excess
coverage insurance policy covers individual claims in excess of $300,000.
General Fixed Assets. The general fixed assets of the City are used in the
performance of general governmental functions and exclude the fixed assets of
the Enterprise and Internal Service Funds. As of September 30, 1992, the
general fixed assets of the City amounted to $11,145,690. This amount repre-
sents the original cost of the assets and is considerably less than their
replacement value. Depreciation of general fixed assets is not recognized in
the City's accounting system.
OTHER INFORMATION
Independent Audit. The City Charter per Article VII Section 11 requires an
annual audit to be made of the books of account, financial records and trans-
actions of all administrative departments of the City by a certified public
accounting firm. This requirement has been complied with and the report of
independent auditors has been included in this report.
Award. The Government Finance Officers Association of the United States
and Canada ("GFOA") awarded a Certificate of Achievement for Excellence in
Financial Reporting to the City for its comprehensive annual financial report
for the fiscal year ended September 30, 1991. The Certificate of Achievement
is the highest form of recognition given in the area of government reporting
by the GFOA. In order to be awarded a Certificate of Achievement, the City
published an easily readable and efficiently organized comprehensive annual
financial report whose contents conform to program standards. Such reports
must satisfy both generally accepted accounting principles and applicable
legal requirements.
XI
A Certificate of Achievement is valid for a period of one year only. We
believe that our current comprehensive annual financial report continues to
meet the Certificate of Achievement Program's requirements and we are submit-
ting it to the GFOA to determine its eligibility for another certificate.
Acknowledgements. The preparation of this report on a timely basis could
not be accomplished without the efficient and dedicated services of many
individuals. I would like to express my appreciation to all members of the
Finance Department who assisted and contributed to its preparation. I would
also like to thank the City Manager's Office and the members of the City
Council for their interest and support in planning and conducting the finan-
cial operations of the City in a responsible and progressive manner.
Acknowledgement is also given to the representatives of Ernst & Young for
their invaluable assistance in producing this document.
Respectfully submitted,
tu(v6
Debra B. Forte'
Director of Fiscal & Human Resources
XII
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
City of Euless,
Texas
For its Comprehensive Annual
Financial Report
for the Fiscal Year Ended
September 30, 1991
A Certificate of Achievement for Excellence in Financial
Reporting is presented by the Government Finance Officers
Association of the United States and Canada to
government units and public employee retirement
systems whose comprehensive annual financial
reports (CAFRs) achieve the highest
standards in government accounting
and financial reporting.
Y"Executive Director
XIII
City
Attorney
BOB
McFARLAND
Director of
Development
and Operations
JOE
HENNIG
Director of
Public
Works
RANDY
BYERS
1
Streets
Drainage
Waste Water
Water
Str. Sweeping
City
Secretary
SUSAN
CRIM
Code Enf.
Environ. Hlth
Animal Control
Planning
GIS
Building Insp.
- CIP Mngmt.
City
Engineer
PAUL
KRUCKEMEYER
Engineering
Construction
Inspection
Development
Review
Director
Economic
Develop./
Admin. Srvc,
TOM COX
Econ. Dev.
Fleet Srvcs.
Facilities
Purchasing
Telecomm.
Franchises
Traffic Safety
Risk Mgmt.
Recycling
Citizens
Mayor
and
Council
City
Manager
TOM
HART
Asst. City
Manager
KAY
GODBEY
Director of
Fiscal and
Human
Resources
DEBRA FORTE'
Accounting
Data Proc.
Utility Billing
Budget
Mun. Court
Personnel
Health/Benefits
Cash/Debt Mgmt.
Workers Comp.
Boards
and
Commissions
City Manager
City
Judge
GEORGE
BORING
Adm. Asst. Mgmt. Srvcs.
MODESTO Public Info.
MUNDO Agenda
Director of
Community
Services
RICK
HEROLD
Parks
Leisure Srvc.
Library
Beautification
Green House
Police
Chief
K.B.
FULLER
October, 1992
Court
Clerk
TERESA
BRITT
Fire
Chief
LEE
KOONTZ
Patrol Suppression
Crim. Invest. Ambulance
Civil Defense Fire Education
Jail Fire Prevention
Records Fire Marshal
Commun.
lk 11 11111
1 11 ,IlIl 11111 III 1
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ill ERNST & YOUNG
■ Suite 2200
500 Throckmorton
Fort Worth, Texas 76102
REPORT OF INDEPENDENT AUDITORS
The Honorable Mayor and City Council
City of Euless, Texas
■ Phone: 817 335 1900
Fax: 817 335 5603
We have audited the accompanying general purpose financial statements
of the City of Euless, Texas (the "City") as of and for the year ended
September 30, 1992, as listed in the table of contents. These finan-
cial statements are the responsibility of the City's management. Our
responsibility is to express an opinion on these financial statements
based on our audit.
We conducted our audit in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit
to obtain reasonable assurance about whether the general purpose
financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the 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 provides
a reasonable basis for our opinion.
In our opinion, the general purpose financial statements referred to
above present fairly, in all material respects, the financial position
of the City at September 30, 1992, and the results of its operations
and the cash flows of its proprietary fund types for the year then
ended in conformity with generally accepted accounting principles.
Our audit was conducted for the purpose of forming an opinion on the
general purpose financial statements taken as a whole. The accompany-
ing other financial information listed as supplemental statements and
schedules in the table of contents is presented for purposes of addi-
tional analysis and is not a required part of the general purpose
financial statements of the City. Such information has been subjected
to the auditing procedures applied in our audit of the general purpose
financial statements and, in our opinion, is fairly stated in all
material respects in relation to the general purpose financial state-
ments taken as a whole. The statistical information listed in the
statistical section of the table of contents (tables 1-16) has not
been subjected to the auditing procedures applied in our audit of the
general purpose financial statements, and, accordingly, we express no
opinion on it.
November 4, 1992
iyoul
-1-
ASSETS AND OTHER DEBITS
Cash and cash equivalents -Note 2
Short-term investments --Note 2
Receivables:
Property taxes
Accounts receivable and unbilled revenue
Prepaids and deposits
Accrued interest
Due from other funds --Note 8
Due from other governments
Inventories, at cost
N Restricted assets --Notes 3 and 4
General fixed assets --Note 6
Net utility plant and equipment
in service --Note 6
Net bond issuance costs
Amount available for retirement
of general long-term debt
Amount to be provided for retirement
of general long-term debt
TOTAL ASSETS AND OTHER DEBITS
CITY OF EULESS, TEXAS
COMBINED BALANCE SHEET - ALL FUND TYPES AND ACCOUNT GROUPS
September 30, 1992
With comparative totals for September 30, 1991
General
Fund
Governmental Fund Types
Special
Revenue
Funds
Debt
Service
Fund
Capital
Projects
Funds
$ 512,830 $128,847 $ 18,274 $1,130,574
3,093,129 391,229 1,400,000
234,712
107,558
112,989
104,482
31,303
141,204
42,071
96,558
5,373 21,664
169,977
Proprietary
Fund Types
Enterprise
Funds
EXHIBIT 1
Fiduciary
Fund Type Account Groups
Internal Deferred General General
Service Compensation Fixed Long-term
Funds Agency Fund Assets Debt
$ 1,538,904 $ 746,331 $
4,113,700 2,067,164
1,134,442
429,826
74,904
518,601
2,985
3,209,193
18,270,415 734,697
179,114
11,145,690
434,847
11,879,582
,$4,380,278, 1128,847, $511,434 $2.722,215, $29.469.099 $-1,484,013 1J2,067,164 $11.145.690 $12,314.429
Totals (Memorandum Only)
1992 1991
$ 4,075,760 $ 3,593,017
11,065,222 8,881,667
331,270 329,744
1,242,000 1,118,591
542,815 8,828
206,423 74,978
549,904 682,904
314,166 474,087
42,071 36,808
3,209,193 3,259,001
11,145,690 10,435,926
19,005,112 19,399,531
179,114
434,847 510,266
11,879,582
$64.223.169
12,136,679
$60.942.027
(Continued)
LIABILITIES, FUND EQUITY
AND OTHER CREDITS
Liabilities:
Overdrafts payable
Accounts payable
Accrued salaries and wages
Customer and escrow deposits
Accrued interest
Due to other funds --Note 8
Bonds and certificates of obligation
payable --Notes 3 and 4
Notes payable --Note 3
Deferred revenue
Compensated absences
Lo Deferred compensation benefits payable--
1 Note 12
CITY OF EULESS, TEXAS
COMBINED BALANCE SHEET - ALL FUND TYPES AND ACCOUNT GROUPS
September 30, 1992
With comparative totals for September 30, 1991
Governmental Fund Types
Proprietary Fiduciary
Fund Types Fund Type
EXHIBIT 1
(Continued)
Account Groups Totals (Memorandum Only)
Special Debt Capital Internal Deferred General General
General Revenue Service Projects Enterprise Service Compensation Fixed Long-term
Fund Funds Fund Funds Funds Funds Agency Fund Assets Debt 1992 1991
$1,384,414 $ - $ - $ - $ 2,138,240 $ - $ - $ - $ - $ 3,522,654 $ 2,241,853
119,670 50,301 151,083 321,054 266,292
334,349 66,707 401,056 306,132
33,131 608,351 641,482 723,661
82,169 82,169 66,908
487,299 62,605 549,904 682,904
189,156
6,350,000
76,587 111,301 111,673
11,716,587
132,245
465,597
18,066,587 16,356,587
132,245 167,378
488,717 877,589
465,597 447,980
2,067,164 2,067,164 1,860,283
Due to other governments 1,946 13,055 15.001
TOTAL LIABILITIES 2,516,834 76,587 144,432 9,420,496 213,688 2,067,164 12,314,429 26,753,630 23,997,567
Fund equity and other credits:
Investment in general fixed assets 11,145,690 11,145,690 10,435,926
Net contributed capital --Note 9 9,394,306 9,394,306 9,666,333
Retained earnings:
Reserved for debt service and
construction --Notes 3 and 4 2,550,146 2,550,146 2,352,236
Unreserved 8,104,151 1,270,325 9,374,476 9,152,645
Fund balances:
Reserved for:
Park improvements 1,094 1,094 778
Drug enforcement 17,979 17,979 110,287
Recycling 9,507 9,507 8,979
Development agreements 1,205,840 1,205,840 1,183,486
Unreserved:
Designated for:
Contingency 477,656 477,656 477,656
Emergency 500,000 500,000 500,000
Undesignated 875.187 110,868 434,847 1,371,943 2,792,845 3,056,134
TOTAL FUND EQUITY AND OTHER CREDITS 1,863.444 128,847 434,847 2,577,783 20,048z603 1,270,325 11,145,690 37:469.5J9-7b'z944,WUU
TOTAL LIABILITIES, FUND
EQUITY AND OTHER CREDITS $4,380,278, $128,847, 1511,434, $2,722.215 $29.469.099 $ 1.484.013 $ 2,067,164 111.145.690 $12,314.429 164,223,169 $60.942.027
See accompanying notes to financial statements.
CITY OF EULESS, TEXAS
EXHIBIT 2
Revenues:
General property tax
Gross receipts tax
General sales tax
Fines and fees
Licenses and permits
Interest income
Intergovernmental
Other revenues
Expenditures:
Current:
City Council/Administration
Finance
Police Department
Fire Department
Administrative services
Planning and development
Parks/Recreation/Library
Street maintenance
Betterment
Nondepartmental
Debt service:
Principal retirement
Interest and service charges
Debt issuance costs
Capital outlay and maintenance
COMBINED STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCES - ALL GOVERNMENTAL FUND TYPES
Year ended September 30, 1992
With comparative totals for September 30, 1991
TOTAL REVENUES
TOTAL EXPENDITURES
EXPENDITURES OVER REVENUES
Other financing sources (uses):
Net proceeds from issuance of certificates
of obligation
Operating transfers in
Operating transfers out
TOTAL OTHER FINANCING SOURCES (USES)
General
Fund
Governmental
Special
Revenue
Funds
Fund Types
Debt
Service
Fund
$ 4,466,123 $ - $1,513,840
1,386,823 162,440
2,183,248
1,291,629
210,525
174,655 28,688
46,405
310,023 6,004
10,069,431 168,444 1,542,528
331,033
582,862
3,417,222
2,199,693
497,120
609,857
1,348,652
454,150
13,309
933,530
10,387,428
(317,997)
461,595
461,595
137,488
104,789
242,277
(73,833)
765,000
852,947
1,617,947
(75,419)
Capital
Projects
Funds
84,317
390,677
143,964
618,958
1,302,721
1,302,721
(683,763)
450,000
(92,982)
357,018
Totals (Memorandum OnlyL
1992
$ 5,979,963
1,549,263
2,183,248
1,291,629
210,525
287,660
437,082
459,991
12,399,361
331,033
582,862
3,417,222
2,199,693
497,120
747,345
1,348,652
454,150
13,309
933,530
765,000
852,947
1,407,510
13,550,373
(1,151,012)
450,000
461,595
(92,982)
818,613
1991
$ 5,820,935
1,439,569
2,121,977
971,875
237,400
519,297
129,865
508,167
11,749,085
320,236
523,779
3,313,089
2,188,579
449,191
607,543
1,231,257
507,226
34,404
1,174,351
804,572
924,523
43,219
834,991
12,956,960
(1,207,875)
704,343
(337,543)
366,800
(Continued)
CITY OF EULESS, TEXAS
COMBINED STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCES - ALL GOVERNMENTAL FUND TYPES
Year ended September 30, 1992
With comparative totals for September 30, 1991
EXHIBIT 2
(continued)
Governmental Fund Types Totals (Memorandum Only)
Special Debt Capital
General Revenue Service Projects
Fund Funds Fund Funds 1992 1991
EXCESS (DEFICIENCY) OF REVENUES
AND OTHER FINANCING SOURCES OVER
EXPENDITURES AND OTHER FINANCING USES $ 143,598 $ (73,833) $ (75,419) $ (326,•745) $ (332,399) $ (841,075)
Fund balances, beginning of year
Residual equity transfers in
Residual equity transfers out
1,719,846 202,680 510,266 2,904,528 5,337,320 6,268,977
252,819
(343,401)
FUND BALANCES, END OF YEAR A 1,863 444, $ 128.847 $ 434 847 2,5773783 5 004,921 5,337,320
See accompanying notes to financial statements.
CITY OF EULESS, TEXAS EXHIBIT 3
COMBINED STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL -
GENERAL FUND
Year ended September 30, 1992
General property tax:
Current and delinquent taxes
Penalty and interest
Gross receipts tax:
Southwestern Bell Telephone Company
Texas Utilities Electric Company
Lone Star Gas Company
Cable TV
Tarrant County Waste Disposal
Others
General sales tax
Fines and fees:
Franchise fees
Municipal Court fines
Dog licenses and pound fees
Ambulance fees
Licenses and permits:
Building permits
Miscellaneous permits
Electric licenses
Interest income
Intergovernmental
Other revenues:
Library receipts
Rental income
Texas Court cost service fee
Jail income
Swimming pools
Miscellaneous income
TOTAL REVENUES
Actual
Budget
Variance
Favorable
(Unfavorable)
$ 4,426,572 $ 4,431,631 $ (5,059)
39,551 75,000 (35,449)
4,466,123 4,506,631 (40,508)
271,935 272,000
751,909 751,909
125,814 124,000
128,822 130,000
61,574 60,000
46,769 52,000
1,386,823 1,389,909
2,183,248 2,150,000
397,421 431,995
694,077 689,000
8,409 9,000
191,722 180,000
1,291,629 1,309,995
89,747
96,945
23,833
210,525
174,655
46,405
15,127
13,402
16,939
120,325
19,133
125,097
310,023
10,069,431
90,000
92,500
21,000
203,500
172,147
50,000
15,000
13,000
16,000
125,000
18,000
111,000
298,000
10,080,182
(65)
1,814
(1,178)
1,574
(5,231)
(3,086)
33,248
(34,574)
5,077
(591)
11,722
(18,366)
(253)
4,445
2,833
7,025
2,508
(3,595)
127
402
939
(4,675)
1,133
14,097
12,023
(10,751)
CITY OF EULESS, TEXAS
COMBINED STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL -
GENERAL FUND
Year ended September 30, 1992
Actual
EXHIBIT 3
(continued)
Variance
Favorable
Budget (Unfavorable)
Expenditures:
Current:
City Council/Administration $ 331,033 $ 335,888 $ 4,855
Finance 582,862 584,518 1,656
Police Department 3,417,222 3,581,217 163,995
Fire Department 2,199,693 2,279,377 79,684
Administrative services 497,120 513,355 16,235
Street maintenance 454,150 519,217 65,067
Planning and development 609,857 633,205 23,348
Parks/Recreation/Library 1,348,652 1,385,199 36,547
Betterment 13,309 35,000 21,691
Nondepartmental 933,530 865,264 (68,266)
TOTAL EXPENDITURES 10,387,428 10,732,240 344,812
EXPENDITURES OVER REVENUES (317,997) (652,058) 334,061
Other financing sources:
Operating transfers in 461,595 501,408 (39,813)
EXCESS (DEFICIENCY) OF REVENUES
AND OTHER FINANCING SOURCES
OVER EXPENDITURES 143,598 (150,650) 294,248
Fund balance, beginning of year 1,719,846 1,264,929 454,917
FUND BALANCE, END OF YEAR $ 1.863,444 $ 1,114,279 $ 749.165
See accompanying notes to financial statements.
CITY OF EULESS, TEXAS EXHIBIT 4
Operating revenues:
Water service
Sewer service
Drainage fees
Recreation fees
Insurance premiums
Service fees and miscellaneous
Operating expenses:
General and administrative
Water production
Water distribution
Utility engineering
Sewage collection and treatment
Nondepartmental
Service center --Note 7
Drainage
Recreation classes
Insurance costs --Note 10
Depreciation
Amortization
Nonoperating revenues (expenses):
Investment income
Gain (loss) on sale of equipment
Interest on bonds
Operating transfers in
Operating transfers out
COMBINED STATEMENT OF REVENUES, EXPENSES AND CHANGES
IN RETAINED EARNINGS - ALL PROPRIETARY FUND TYPES
Year ended September 30, 1992
With comparative totals for September 30, 1991
TOTAL OPERATING REVENUES
TOTAL OPERATING EXPENSES
OPERATING INCOME
TOTAL NONOPERATING REVENUES, NET
INCOME BEFORE OPERATING TRANSFERS
INCOME (LOSS) BEFORE EXTRAORDINARY LOSS
Extraordinary loss on advanced refunding --Note 3
NET INCOME (LOSS)
Add depreciation on fixed assets acquired with contributed
capital --Note 9
Residual equity transfers in
Retained earnings, beginning of year
INCREASE IN RETAINED EARNINGS
RETAINED EARNINGS, END OF YEAR
See accompanying notes to financial statements.
Enterprise Funds
Proprietary Fund Types
Internal
Service Funds
$ 4,986,564
2,554,417
316,340
256,732
490,115
8,604,168
350,708
3,078,032
295,324
192,661
1,255,067
1,478,237
477,063
217,579
268,208
827,711
13,732
8,454,322
149,846
387,796
(14,808)
(302,534)
70,454
220,300
(417,746)
(197,446)
(163,386)
(360,832)
446,964
86,132
10,568,165
$10,654,297
1,657,547
216,748
1,874,295
188,970
1,342,299
117,868
1,649,137
225,158
59,318
Totals (Memorandum Only)
1992
1991
$ 4,986,564 $ 4,478,380
2,554,417 2,560,162
316,340 297,272
256,732 227,395
1,657,547 1,497,632
706,863 623,337
10,478,463 9,684,178
539,678 477,678
3,078,032 2,652,142
295,324 297,596
192,661 154,837
1,255,067 980,849
1,478,237 1,454,758
477,063 492,465
217,579 52,050
268,208 221,101
1,342,299 1,270,456
945,579 825,676
13,732
10,103,459 8,879,608
375,004 804,570
447,114
(14,808)
(302,534)
59,318 129,772
284,476 504,776
192,983
(143,850)
333,609
192,983
(561 596)
136,163
(163,386)
333,609 (27,223)
467,879
1,196
(312,925)
156,150
960,720
156,651
(523,451)
593,920
593,920
446,964 426,241
90,582
333,609 419,741 1,110,743
936,716 11,504,881 10,394,138
$ 1„270.325 $11.924.622 $11.504.881
CITY OF EULESS, TEXAS
COMBINED STATEMENT OF CASH FLOWS - ALL PROPRIETARY FUND TYPES
Year ended September 30, 1992
With comparative totals for September 30, 1991
OPERATING ACTIVITIES
Operating income
Adjustments to reconcile operating income to net
cash provided by (used in) operating activities:
Depreciation and amortization expense
Increase (decrease) due to net changes in:
Accounts receivable and unbilled revenue
Due from other funds
Prepaids and deposits
Due from other governments
Overdrafts payable
Accounts payable
1 Accrued salaries and wages
Customer and escrow deposits
Due to other funds
Deferred revenue
Intergovernmental payable
Total adjustments
NET CASH PROVIDED BY OPERATING ACTIVITIES
EXHIBIT 5
Proprietary Fund Types Totals (Memorandum Only)
Internal
Enterprise Funds Service Funds 1992 1991
$ 149,846 $ 225,158 $ 375,004 $ 804,570
841,443
(91,197)
100,000
(429,826)
833,286
40,440
25,999
28,494
(7,800)
13,055
1,353,894
1,503,740
NONCAPITAL FINANCING ACTIVITIES
Interest paid on bonds (287,273)
Reduction in bonds payable (335,000)
Operating transfer in
Operating transfers out (417,746)
Residual equity transfers
Proceeds from bond sales 4,435,000
Deposit to advanced refunding escrow account (2,238,386)
Bond issuance costs (192,846)
NET CASH PROVIDED BY (USED IN) NONCAPITAL FINANCING ACTIVITIES 963,749
CAPITAL AND RELATED FINANCING ACTIVITIES
Contributions in aid to construction
Purchase of utility plant and equipment in service
Proceeds from sale of utility plant in service
NET CASH USED IN CAPITAL AND RELATED FINANCING ACTIVITIES
174,937
(281,293)
(106,356)
117,868 959,311
(91,197)
100,000
(429,826)
(2,985) (2,985)
(5,452) 827,834
15,079 55,519
25,999
28,494
(7,800)
13,055
124,510 1,478,404
349,668 1,853,408
(287,273)
(335,000)
192,983 192,983
(143,850) (561,596)
4,435,000
(2,238,386)
(192,846)
49,133 1,012,882
174,937
(284,675) (565,968)
(284,675) (391,031)
825,676
21,321
(486,601)
1,310,406
(30,932)
23,116
36,774
(89,315)
(7,800)
1,602,645
2,407,215
(312,925)
(290,000)
156,651
(523,451)
90,582
(879,143)
77,702
(889,597)
4,100
(807,795)
CITY OF EULESS, TEXAS
COMBINED STATEMENT OF CASH FLOWS - ALL PROPRIETARY FUND TYPES
Year ended September 30, 1992
With comparative totals for September 30, 1991
Proprietary
Enterprise Funds
INVESTING ACTIVITIES
Purchase of investment securities $(8,130,048)
Proceeds from sale or maturity of investment securities 5,467,617
Interest received on investments 306,013
NET CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES (2,356,418)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS 4,715
Cash and cash equivalents, beginning of year 2,200,423
CASH AND CASH EQUIVALENTS, END OF YEAR $ 2.205.138
See accompanying notes to financial statements.
Fund Types
Internal
Service Funds
59 318
59,318
173,444
572,887
$ 746,331
EXHIBIT 5
(Continued)
Totals (Memorandum Only)
1992
$(8,130,048)
5,467,617
365,331
(2,297,100)
178,159
2,773,310
1 2,951,,469
1991
$(8,421,310)
7,127,714
540,196
(753,400)
(33,123)
2,806,433
1 2,7733310
CITY OF EULESS, TEXAS
NOTES TO FINANCIAL STATEMENTS
September 30, 1992
NOTE 1--SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The financial statements of the City of Euless (the "City") have been prepared
in conformity with generally accepted accounting principles (GAAP) as applied to
government units. The Governmental Accounting Standards Board (GASB) is the
accepted standard -setting body for establishing governmental accounting and
financial reporting principles. The City's significant accounting policies are
described below.
A. REPORTING ENTITY
The combined financial statements of the City include all government activi-
ties and entities for which the City exercises oversight responsibility.
The criteria considered in determining governmental activities and entities
to be reported within the City's combined financial statements include the
degree of oversight responsibility (e.g. financial interdependency, selec-
tion of governing authority, designation of management, ability to signifi-
cantly influence operations) exercised by the City over a government activ-
ity or entity, the City's accountability for the activity's or entity's
fiscal matters, its scope of public service and the nature of any special
financing relationships which may exist between the City and the government
activity or entity. These criteria are based upon and consistent with the
Government Accounting and Financial Reporting Standards.
The City provides the full range of municipal services contemplated by
statute or charter. Included in these services are traditional city func-
tions such as police and fire protection, road and traffic signal mainte-
nance, water and sewer operations, parks, recreation, courts and library
services. The following entities are not included in the combined financial
statements because they are autonomous governments and do not meet any of
the above criteria.
Hurst -Euless -Bedford Independent School District - provides education
services;
Texas Municipal Retirement System - provides retirement benefits to
City employees;
Trinity River Authority of Texas - provides water and sewer services
to various municipalities;
Texas Municipal League Joint Self Insurance Fund - provides adminis-
trative services for various municipalities' self insurance plans.
CITY OF EULESS, TEXAS
NOTES TO FINANCIAL STATEMENTS
NOTE 1--SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES --Continued
The accounting policies of the City conform to generally accepted accounting
principles as applicable to governmental units. The following is a summary of
the more significant of such policies:
B. FUND ACCOUNTING
The City uses funds and account groups to report on its financial position,
the results of its operations and its cash flows. Fund accounting is
designed to demonstrate legal compliance and to aid financial management by
segregating transactions related to certain City functions or activities.
A fund is a separate accounting entity with a self -balancing set of
accounts. An account group, on the other hand, is a financial reporting
device designed to provide accountability for certain assets and liabilities
that are not recorded in the funds because they do not directly affect net
expendable available financial resources.
Funds are classified into three categories: governmental, proprietary and
fiduciary. Each category, in turn, is divided into separate "fund types."
Governmental funds are used to account for all or most of the City's general
activities, including the collection and disbursement of earmarked monies
(special revenue funds), the acquisition or construction of general fixed
assets (capital projects funds) and the servicing of general long-term debt
(debt service funds). The general fund is used to account for all activi-
ties of the City not accounted for in some other fund.
Proprietary funds are used to account for activities similar to those found
in the private sector, where the determination of net income is necessary or
useful to sound financial administration. Goods or services from such
activities can be provided either to outside parties (enterprise funds) or
to other departments or agencies primarily within the City (internal service
funds).
C. BASIS OF ACCOUNTING
The accounting and financial reporting treatment applied to a fund is deter-
mined by its measurement focus. All governmental funds are accounted for
using a current financial resources measurement focus. With this measure-
ment focus, only current assets and current liabilities generally are
included in the balance sheet. Operating statements of these funds present
increases (i.e., revenues and other financing sources) and decreases (i.e.,
expenditures and other financing uses) in net current assets.
CITY OF EULESS, TEXAS
NOTES TO FINANCIAL STATEMENTS
NOTE 1--SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES --Continued
All proprietary funds are accounted for on a flow of economic resources
measurement focus. With this measurement focus, all assets and all liabili-
ties associated with the operation of these funds are included on the
balance sheet. Fund equity (i.e., assets net of liabilities) is segregated
into contributed capital and retained earnings components. Proprietary
fund -type operating statements present increases (e.g., revenues) and
decreases (e.g., expenses) in net assets.
The modified accrual basis of accounting is used by all governmental fund
types and agency funds. Under the modified accrual basis of accounting,
revenues are recognized when susceptible to accrual (i.e., when they become
both measurable and available). "Measurable" means the amount of the trans-
action can be determined and "available" means collectible within the
current period or soon enough thereafter to be used 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.
Interest on general long-term debt is recorded as a fund liability when due
or when amounts have been accumulated in the debt service fund for payments
to be made early in the following year.
Revenues considered susceptible to accrual are property taxes, gross
receipts tax and interest revenue. Sales taxes collected and held by the
state at year-end on behalf of the City also are recognized as revenue.
Fine and permit revenues are not susceptible to accrual because generally
they are not measurable until received in cash.
The accrual basis of accounting is utilized by Proprietary Fund Types.
Under this method, revenues are recorded when earned and expenses are
recorded at the time liabilities are incurred or estimated.
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 government 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. Deferred revenues pri-
marily include delinquent property taxes and unexpended revenues for capital
projects.
CITY OF EULESS, TEXAS
NOTES TO FINANCIAL STATEMENTS
NOTE 1--SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES --Continued
In May 1990, The Governmental Accounting Standards Board issued Statement
No. 11, "Measurement Focus and Basis of Accounting --Governmental Fund
Operating Statements". The Statement establishes an accrual basis of
accounting with a financial resources measurement focus for governmental
funds. The operating results expressed using the financial resources
measurement focus show the extent to which financial resources obtained
during a period are sufficient to cover claims incurred during that period
against financial resources. The City currently follows the modified
accrual basis described above. The City will be required to comply with
Statement 11 for periods beginning after July 15, 1994. The City has not
yet completed the complex analysis required to estimate the financial state-
ment impact of Statement 11.
D. BUDGETARY DATA
The City Council follows these procedures in establishing budgetary data
reflected in the financial statements:
(1) Prior to August 1, the City Manager submits to the City Council a
proposed operating budget for the fiscal year commencing the
following October 1. The operating budget includes proposed
expenditures and the means of financing them.
(2) Public hearings are conducted to obtain taxpayers' comments.
(3) Prior to September 21, the budget is legally enacted through
passage of an ordinance and a budgetary report is prepared.
(4) The City Manager is authorized to transfer budgeted amounts
between departments within any fund; however, any revisions that
alter the total expenditures of any fund must be approved by the
City Council. The budget presented reflects revisions made by
the City Manager during the year. Total expenditures approved by
City Council have not been altered.
(5)
Formal budgetary integration is employed as a management control
device during the year for the General Fund. Budgetary control
is maintained at the function level.
(6) A budget for the General Fund is legally adopted on a basis
consistent with generally accepted accounting principles. Appro-
priations and encumbrances lapse at year-end.
CITY OF EULESS, TEXAS
NOTES TO FINANCIAL STATEMENTS
NOTE 1--SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES --Continued
(7)
The City does not maintain a formal budget for the Special Reve-
nue Funds due to minimal activity occuring within the funds.
Formal budgetary integration is not employed for the Debt Service
Funds because effective budgetary control is alternatively
achieved through general obligation bond indenture provisions.
Budgetary data for the Capital Projects Funds has not been pre-
sented in the accompanying combined financial statements as such
funds are budgeted over the life of the respective project and
not on an annual basis. Accordingly, formal budgetary integra-
tion of the Capital Projects Funds is not employed and comparison
of actual results of operations to budgetary data for such funds
is not presented.
(10) Appropriated budgets for the Proprietary Funds are also adopted,
but have not been presented since reporting on such budgets is
not legally required.
E. CASH, CASH EQUIVALENTS AND INVESTMENTS
Substantially all operating cash, cash equivalents, and short-term invest-
ments are maintained in consolidated cash, cash equivalent, and investment
accounts. Related interest income is allocated to the various funds based
primarily on ownership by each fund of specific investments. Cash equiva-
lents consist solely of cash invested in the Local Government Investment
Fund for Texas and highly liquid investments with original maturities of
three months or less. The Local Government Investment Fund is a pooled
investment fund for the benefit of governments within the State of Texas
which invests in securities as allowed under state statutes.
For purposes of the combined statement of cash flows, the Enterprise and
Internal Service Funds consider all highly liquid investments (including
cash equivalents reported as restricted assets of $666,234 and $900,452 at
September 30, 1992 and 1991, respectively) as set forth above to be cash
equivalents.
Short-term investments consist of certificates of deposit and U. S. Govern-
ment securities with original maturities of three months or more. These
investments are stated at cost or amortized cost.
CITY OF EULESS, TEXAS
NOTES TO FINANCIAL STATEMENTS
NOTE 1--SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES --Continued
State statutes authorize the City to invest in obligations of the U. S.
Government or its agencies; obligations of the State of Texas or its agen-
cies; and certain other obligations, repurchase agreements, money market
mutual funds and certificates of deposit within established criterion.
F. TAXES
Property taxes attach as an enforceable lien on property as of January 1,
are levied for appropriation for the fiscal year beginning on October 1, are
due October 1, and become delinquent on February 1. Property taxes are
accrued based on the period for which they are levied and available. Delin-
quent taxes expected to be collected later than 60 days after the fiscal
year-end are considered not available and are treated as deferred revenue.
Property taxes for cities, including those applicable to debt service, are
limited by the Texas Constitution to $2.50 per $100 of assessed valuation.
The City's current tax rate is $.5986 per $100 of assessed valuation
($.54085 per $100 last year) and assessed valuation is approximately 100% of
estimated actual value.
G. INVENTORIES
Inventories, which are recognized as expenditures as they are consumed, are
stated at cost (first -in, first -out method) for the General Fund. Inven-
tories consist primarily of expendable supplies.
H. FIXED ASSETS
Fixed assets are recorded at cost (or fair value, if contributed) when
acquired. General fixed assets are recorded as expenditures in the General
Fund, Special Revenue Funds, and Capital Projects Funds at the time of pur-
chase or construction and are capitalized in the General Fixed Assets
Account Group at cost. Public domain ("infrastructure") general fixed
assets consisting of certain improvements other than buildings, including
roads, bridges, curbs and gutters, streets and sidewalks, drainage systems
and lighting systems are not capitalized in the general fixed assets account
group. No depreciation is recorded on general fixed assets.
Expenditures for utility plant and equipment are capitalized in the Proprie-
tary Fund Types. Depreciation is recorded on each class of depreciable
property in the proprietary funds beginning the year following the year of
acquisition and utilizing the straight-line method over the following esti-
mated useful lives of the assets:
Equipment
Waterworks and sanitary sewer system
5 - 15 years
33-1/3 years
CITY OF EULESS, TEXAS
NOTES TO FINANCIAL STATEMENTS
NOTE 1--SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES --Continued
I. COMPENSATED ABSENCES
Employees may accumulate a maximum of two times their annual vacation. The
City's policy is to pay the employee for accumulated vacation upon termina-
tion. The City does not pay employees for accumulated sick leave upon
termination. Accumulated vacation in the proprietary funds has been accrued
as incurred and reported as accrued salaries and wages (a current liabil-
ity). The accumulated vacation for governmental fund types, representing an
estimate of the amount not expected to be liquidated with expendable avail-
able financial resources, has been recorded in the General Long -Term Debt
Account Group in accordance with provisions of NCGA Statement No. 4,
"Accounting and Financial Reporting Principles for Claims and Judgments and
Compensated Absences". The estimated vacation liability expected to be
satisfied with available financial resources is included in accrued salaries
and wages in the General Fund.
J. FUND EQUITY
Certain assets that are restricted to a specific future use or are not
available for appropriation or expenditure are offset by fund balance
reserve accounts. Designated fund balances represent tentative plans for
future use of financial resources.
At September 30, 1992, the Insurance Fund (reported with the Internal Ser-
vice Funds) reflected a deficit fund balance of approximately $22,000. It
is anticipated that future revenues will eliminate the deficit.
K. COMPARATIVE DATA
Comparative total data for the prior year have been presented in the accom-
panying combined financial statements in order to provide an understanding
of the changes in the City's financial position, operations and cash flows.
Complete comparative data (i.e. presentation of prior year totals by fund
type in each of the statements) have not been presented since its inclusion
would make the statements unduly complex and difficult to read.
L. TOTALS (MEMORANDUM ONLY) COLUMN ON COMBINED STATEMENTS
The totals column on the combined statements are captioned Memorandum Only
to indicate that they are presented only to facilitate financial analysis.
CITY OF EULESS, TEXAS
NOTES TO FINANCIAL STATEMENTS
NOTE 1--SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES --Continued
Data in these columns do not present financial position, results of opera-
tions, or changes in financial position in conformity with generally
accepted accounting principles. Neither is such data comparable to a con-
solidation. Interfund eliminations have not been made in the aggregation of
this data.
M. INTERFUND TRANSACTIONS
Quasi -external transactions are accounted for as revenues, expenditures or
expenses. Transactions that constitute reimbursements to a fund for expen-
ditures/expenses initially made from it that are properly applicable to
another fund, are recorded as expenditures/expenses in the reimbursing fund
and as 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.
N. RECLASSIFICATIONS
Certain reclassifications have been made to the data contained in the 1991
total columns to conform to the method of presentation in the 1992 financial
statements.
NOTE 2--DEPOSITS AND INVESTMENTS
Deposits: At year-end, the ledger balances of the City's bank deposits totalled
$(691,010) and the bank balances were $399,499. Of the bank balances, $199,499
were protected by federal depository insurance or by collateral held by the
City's agent in the City's name. The remainder was collateralized with securi-
ties held by the pledging financial institutions' trust departments in the
City's name.
Investments: At September 30, 1992, the City's investments are categorized as
either (1) insured or registered or for which the securities are held by the
City or its agent in the City's name; (2) uninsured and unregistered for which
the securities are held by the financial institution's trust department or agent
in the City's name; or (3) uninsured and unregistered for which the securities
are held by the broker or dealer, or by its trust department or agent but not in
the City's name, as follows:
CITY OF EULESS, TEXAS
NOTES TO FINANCIAL STATEMENTS
NOTE 2--DEPOSITS AND INVESTMENTS --Continued
Categories
1 2
U. S. securities $11,673,923 $
Local Government
Investment Fund
Deferred Compensa-
tion Agency
Fund investments
Carrying Market
3 Amount Value
$ - $11,673,923 $11,842,285
1,711,628 1,711,628
2,067,164 2,067,164
$15,452.715 $15.621,077
The Deferred Compensation Agency Fund investments are held by independent
investment managers for the ultimate benefit of the City employees and are not
covered by the state statutes restricting investment instruments and requiring
collateralization.
NOTE 3--LONG-TERM DEBT
A summary of long-term debt transactions for the year ended September 30, 1992,
is as follows:
General long-term debt
account group:
General Obligation Bonds
Certificates of
Obligation
Notes payable
Compensated absences
Proprietary Fund
Types:
Water and Sewer Revenue
Bonds (including
refunding bonds)
Drainage Utility
Revenue Bonds
Balance
Beginning
of Year
$ 8,636,587
3,395,000
167,378
447,980
11 ,646,945
Increase
450,000
17,617
$ 467,617
$ 4,325,000 $2,335,000
2,100,000
$ 4.325.000 $4,435,000
-19-
$
Decrease
655,000
110,000
35,133
800,133
$2,410,000
.$2,410,000
Balance
End of Year
$ 7,981,587
3,735,000
132,245
465,597
2.,314,429
$ 4,250,000
2,100,000
61350,000
CITY OF EULESS, TEXAS
NOTES TO FINANCIAL STATEMENTS
NOTE 3--LONG-TERM DEBT --Continued
Debt outstanding at September 30, 1992, consists of the following:
Range of Outstanding Current
Interest Rates Balance Maturities
General Obligation Bonds 6.00 to 10.0%
Certificates of
Obligation 5.40 to 7.40%
Notes payable 7.34%
Water and Sewer Revenue
Bonds (including
refunding bonds)
Drainage Utility
Revenue Bonds
$ 7,981,587
$ 3,735,000
$ 132,245
4.50 to 10.75% $ 4,250,000
Long-term
Maturities
$ 705,000 $ 7,276,587
150,000 $ 3,585,000
37,800 $ 94,445
305,000 $ 3,945,000
4.75 to 6.70% $ 2,100,000 $ 25,000 $ 2,075,000
The debt matures serially through the year 2010 and has various call options
whereby it may be redeemed during certain periods prior to maturity. A schedule
of principal and interest maturities follows. Due to the nature of the obliga-
tion for compensated absences, annual requirements to amortize such obligations
are not determinable and have not been included in the following summary.
General
Obligation
Bonds
1993 $ 1,268,098
1994 1,291,148
1995 1,282,680
1996 1,273,062
1997 1,295,440
1998-2002 4,868,047
2003-2007 1,668,375
2008-2010
12,946,850
Less
interest 4,965,263
Principal $_7.981.587
Certifi-
cates of
Obligation
405,704
396,342
395,912
414,107
410,921
2,041,344
1,770,699
196,650
6,031,679
2,296,679
Notes
Payable
$ 46,252
46,252
46,252
11,563
Water and
Sewer
Revenue
Bonds
527,742
528,286
521,921
535,205
521,480
2,562,967
471,225
150,319 5,668,826
18,074 1,418,826
43.735,000 $132.245
Utility
Drainage
Revenue
Bonds
155,808
154,620
153,370
152,070
155,732
1,124,360
1,152,398
699,024
3,747,382
1,647,382
Total
$ 2,403,604
2,416,648
2,400,135
2,386,007
2,383,573
10,596,718
5,062,697
895,674
28,545,056
10,346,224
$4,250,000 $2,100,000 118.198.832
General Obligation Bonds authorized and unissued as of September 30, 1992,
amounted to $300,000. Water and Sewer Revenue Bonds authorized and unissued as
CITY OF EULESS, TEXAS
NOTES TO FINANCIAL STATEMENTS
NOTE 3--LONG-TERM DEBT --Continued
of September 30, 1992, amounted to $1,200,000. The water and sewer bonds were
authorized in 1970 and currently the City Council has no intent to issue these
bonds.
The notes payable included in the General Long-term Debt Account Group were
issued for the purchase of computer equipment and software. The principal and
interest on such notes will be paid with revenues from the Police Drug Enforce-
ment Fund.
In November 1991, the City issued $2,335,000 Waterworks and Sewer System Revenue
Refunding Bonds ("Refunding Bonds") with interest rates ranging from 4.8% to
6.0%. The net proceeds from the Refunding Bonds were deposited into an escrow
fund pursuant to an escrow agreement with Bankers Trust Company, the escrow
agent. The monies placed in the escrow account were used to purchase United
States Treasury securities, the principal and interest of which are sufficient
to pay the redemption price of $2,075,000 in principal of the City's Waterworks
and Sewer System Revenue Bonds, Series 1983 ("Refunded Bonds").
Using the present value of future cash flows associated with the refunding, the
calculated net debt service savings to the City is approximately $154,000. The
savings will be recognized in the financial statements as reduced interest
expense over the life of the Refunding Bonds. Total debt service payments,
resulting from the refunding, decreased by $186,950. For financial statement
purposes, this refunding resulted in an extraordinary loss of $163,386 during
fiscal 1992. At September 30, 1992, the Refunded Bonds are not included in the
City's financial statements since they are considered defeased.
Water and Sewer Revenue and Refunding Bonds and the Drainage Utility Revenue
Bonds are payable solely from and equally secured by a first lien on and pledge
of the net revenue of the City's combined waterworks and sanitary sewer system
and the net revenues of the City's drainage utility system, respectively.
In accordance with the water and sewer revenue and refunding bond ordinances,
the following special reserves were established:
Reserve for revenue bond debt service - to be used for retirement of
the current portion of principal and interest payments due.
Reserve for revenue bond retirement - to be used for payment of princi-
pal and interest on bonds at any time where there is not sufficient
money available in the revenue bond debt service fund. No payments are
required into this fund after accumulating therein an amount equal to
the average annual principal and interest requirements of the bonds
outstanding.
CITY OF EULESS, TEXAS
NOTES TO FINANCIAL STATEMENTS
NOTE 3--LONG-TERM DEBT --Continued
Reserve for emergency - to be used for payment of extraordinary repairs
or replacements to the system necessitated by an emergency for which no
other funds are available. Should the reserve for bond debt service
and/or reserve for bond retirement prove deficient, the reserve for
emergency shall be used for the purpose of meeting principal and/or
interest requirements of the bonds.
All funding requirements for the above reserves were met at September 30, 1992.
The amounts reserved are reported as restricted assets of the Enterprise Funds.
Investments of funds included in the bond reserve and emergency accounts are
restricted to direct obligations of or obligations unconditionally guaranteed by
the United States of America having maturities not in excess of ten and five
years, respectively.
NOTE 4--RESTRICTED ASSETS
Restricted assets consist of cash, investments and accrued interest primarily
restricted for Water and Sewer Enterprise Fund debt service and water and sewer
system replacements.
The City sold certain of the waterworks and sanitary sewer system properties
situated within the City of Bedford to that city in 1968. The proceeds were
restricted to the prepayment or redemption of certain revenue bonds; investment
income of the funds may be applied to current revenue bond interest up to stipu-
lated amounts. As of September 30, 1992, the balance in the property sales
proceeds account was $518,823 and is included in restricted assets in the accom-
panying balance sheet.
NOTE 5--COMMITMENTS AND CONTINGENT LIABILITIES
The City entered into a 50 year contract dated September 25, 1973, with the
Trinity River Authority of Texas (the "TRA") whereby the TRA agrees to provide
supplemental water and sewage treatment for consideration. Payments by the City
are based on metered usage at rates designed to charge the City a pro-rata share
of the TRA's annual operating and maintenance expenses, and principal and
interest requirements on bonds issued by the TRA. Payments under this contract
approximated $3,880,000 in 1992 and are included as operating expenses of the
water and sewer fund. The payments, net of refunds, increased approximately
$600,000 in comparison to fiscal 1991.
CITY OF EULESS, TEXAS
NOTES TO FINANCIAL STATEMENTS
NOTE 5--COMMITMENTS AND CONTINGENT LIABILITIES --Continued
The City is involved in a number of lawsuits arising in the ordinary course of
business. In the opinion of the City's legal counsel and management, any
liability resulting from such litigation would not be material in relation to
the City's financial position.
NOTE 6--FIXED ASSETS
The following is a summary of changes in the general fixed assets account group
during the fiscal year ended September 30, 1992:
Balance Balance
September 30, September 30,
1991 Additions Deletions 1992
Land $ 871,250 $
Buildings 4,927,995
Improvements other than
buildings 979,236 568,593
Machinery and equipment 3,657,445 211,625
Total general fixed
assets
$
70,454
$ 871,250
4,927,995
1,547,829
3,798,616
$10.435.926 $ 780A,218 $ 70.454 $11,145,690
The following is a summary of utility plant and equipment in service at Septem-
ber 30, 1992 included in the proprietary funds:
Enterprise Fund
Land $ 1,528,966
Equipment 976,155
Waterworks and sanitary sewer system 25,332,088
Construction -in -progress 242,947
28,080,156
Less accumulated depreciation 9,809,741
$18.270.415
Internal
Service Funds
$ 874,012
874,012
139,315
734,697
CITY OF EULESS, TEXAS
NOTES TO FINANCIAL STATEMENTS
NOTE 7--SERVICE CENTER
The Water and Sewer Enterprise Fund historically bears the major portion of the
operating costs of the City's service center which provides services to all city
departments.
NOTE 8--INTERFUND ASSETS/LIABILITIES
Due from/to other funds:
Receivable Fund Payable Fund Amount
General Risk Management $ 31,303
Water and sewer General 487,299
Risk Management 31,302
$ 549,904
NOTE 9--CONTRIBUTED CAPITAL
During fiscal 1992, contributed capital of the Water and Sewer Enterprise Fund
increased by developer's contributions in aid to construction in the amount of
$174,937 and decreased $446,964 representing current year depreciation on assets
acquired with contributed capital.
NOTE 10--RISK MANAGEMENT
The City participates in the Texas Municipal League Joint Self Insurance Fund
("TMLIF") to provide both general liability and property insurance. The City,
along with other participating entities, contributes annual amounts determined
by TMLIF management. As claims arise they are submitted to and paid by TMLIF.
The City is not liable for payments beyond their annual contributions to TMLIF.
The City provides employee medical coverage on a self -insured basis. Premiums
are paid into a separate Insurance Fund by other funds and by the City's
employees and are available to pay claims, claim reserves and administrative
costs of the program. An excess coverage insurance policy covers individual
claims in excess of $50,000 and aggregate claims in excess of $1,099,017.
During fiscal 1992, the City and the City's employees contributed approximately
$733,000 and $318,000, respectively, for medical coverage. The City's contribu-
tions are accounted for as quasi -external transactions. Claims incurred but not
reported have been considered by the Internal Service Fund in determining the
claims liability at September 30, 1992.
CITY OF EULESS, TEXAS
NOTES TO FINANCIAL STATEMENTS
NOTE 10--RISK MANAGEMENT --Continued
The City is also self -insured for workers' compensation claims. Contributions
are made to a separate Risk Management Fund by other funds and are available to
pay claims, claim reserves and administrative costs of the program. An excess
coverage insurance policy covers individual claims in excess of $300,000. Dur-
ing 1992, the City contributed approximately $607,000 to the fund for workers'
compensation.
NOTE 11--EMPLOYEE RETIREMENT SYSTEM
Plan Description: The City provides pension benefits for all of its full-time
employees through a nontraditional, joint contributory, defined contribution
plan in the state-wide Texas Municipal Retirement System ("TMRS"), one of over
570 administered by TMRS, an agent multiple -employer public employee retirement
system. It is the opinion of TMRS management that the plans in TMRS are sub-
stantially defined contribution plans, but they have elected to provide addi-
tional voluntary disclosure to help foster a better understanding of some of the
nontraditional characteristics of the plan.
Benefits depend upon the sum of the employees' contributions to the plan, with
interest, and the City -financed monetary credits, with interest. At the date
the plan began, the City granted monetary credits for past service rendered, of
a theoretical amount equal to twice the amount that would have been contributed
by the employee, with interest, prior to establishment of the plan. Monetary
credits for service since the plan began are a percent (100%, 150%, or 200%) of
the employees' accumulated contributions. In addition, the City can grant as
often as annually another type of monetary credit referred to as an updated
service credit. This credit is a theoretical amount which, when added to an
employee's accumulated contributions and monetary credits for service since the
plan began, would result in the total monetary credits and employee contribu-
tions accumulated (with interest) if the current employee contribution rate and
City matching percent had always been in existence and if the employee's salary
had always been the average of his salary in the last three years that are one
year before the effective date. At retirement, the benefit is calculated as if
the sum of the employee's accumulated contributions with interest and the
employer financed monetary credits with interest were used to purchase an
annuity.
Members can retire at ages 60 and above with 10 or more years of service or with
25 years of service regardless of age. The plan also provides death and dis-
ability benefits. A member is vested after 10 years, but he must leave his
accumulated contributions in the plan. If a member withdraws his own money, he
is not entitled to any employer -financed monetary credits. The plan provisions
are adopted by the governing body of the City, within the options available in
the state statutes governing TMRS and within the actuarial constraints also in
the statutes.
CITY OF EULESS, TEXAS
NOTES TO FINANCIAL STATEMENTS
NOTE 11--EMPLOYEE RETIREMENT SYSTEM --Continued
Contributions: The contribution rate for the employees is 7% of their
salaries. The City matching percent is currently 200% of the employees' contri-
butions. Both the employee and City contribution rates have been adopted by the
governing body of the City. Under the state law governing TMRS, the City con-
tribution rate is determined annually by the actuary. This rate consists of the
normal cost contribution rate and the prior service contribution rate, both of
which are calculated to be a level percent of payroll from year to year. The
normal cost contribution rate finances the currently accruing monetary credits
arising from the City matching percent. The normal cost contribution rate is
the actuarially determined percent of payroll necessary to satisfy the obliga-
tion of the City to each employee at the time his retirement becomes effective.
The prior service contribution rate amortizes the unfunded actuarial liability
over the remainder of the plan's 25-year amortization period. When the City
periodically adopts updated service credits and increases in annuities, the
increased unfunded actuarial liability is amortized over a new 25-year period.
Currently, the unfunded actuarial liability is being amortized over the 25-year
period which began January 1991. The unit credit actuarial cost method is used
for determining the City contribution rate. Contributions are made monthly by
both the employees and the City. Since the City needs to know its contribution
rate in advance for budgetary purposes, there is a one-year lag between the
actuarial valuation that is the basis for the rate and the calendar year when
the rate goes into effect.
The City's total payroll in fiscal year 1992 was approximately $7,862,000, and
the City's contributions were based on a payroll of $7,568,000. Both the City
and the covered employees made the required contributions, amounting to $863,601
(11.44% of covered payroll for the months in calendar year 1991, 8.89% normal
cost plus 2.55% to amortize the unfunded actuarial liability, and 11.40% for the
months in calendar year 1992, 8.68% normal cost plus 2.72% to amortize the
unfunded actuarial liability) for the City and $529,749 (7%) for the employees.
The City adopted changes in the plan since the previous actuarial valuation,
which had the effect of increasing the City's contribution rate for 1992
slightly.
Funding Status and Progress: The substance of the City's plan is not to provide
a defined benefit in some form. However, some additional voluntary disclosure
is appropriate due to the nontraditional nature of the defined contribution plan
which had an initial unfunded pension benefit obligation and which can have
additions to the unfunded pension benefit obligation through the periodic adop-
tion of increases in benefits. Statement No. 5 of the Governmental Accounting
Standards Board (GASB 5) defines a pension benefit obligation as a standardized
disclosure measure of the actuarial present value of pension benefits, adjusted
for the effects of projected salary increases, estimated to be payable in the
future as a result of employee service to date. The measure is intended to help
CITY OF EULESS, TEXAS
NOTES TO FINANCIAL STATEMENTS
NOTE 11--EMPLOYEE RETIREMENT SYSTEM --Continued
users assess the funding status of public employee pension plans, assess pro-
gress made in accumulating sufficient assets to pay benefits when due, and make
comparisons among public employee pension plans.
The pension benefit obligation shown below is similar in nature to the standard-
ized disclosure measure required by GASB 5 for defined benefit plans except that
there is no need to project salary increases since the benefit credits earned
for service to date are not dependent upon future salaries. The calculations
were made as part of the annual actuarial valuation as of December 31, 1991.
Because of the money -purchase nature of the plan, the interest rate assumption,
currently 8.5% per year, does not have as much impact on the results as it does
for a defined benefit plan. Market value of assets is not determined for each
participating city's plan, but the market value of assets for TMRS as a whole
was 114.1% of book value as of December 31, 1991.
Pension benefit obligation
Annuitants currently receiving benefits $ 1,585,100
Terminated employees 1,476,600
Current employees:
Accumulated employee contributions including allocated
invested earnings 4,794,000
Employer -financed vested 6,903,200
Employer -financed nonvested 1,500,400
Total $16,259,300
Net assets available for benefits, at book value $13,044,900
Unfunded pension benefit obligation $ 3L214.400
The book value of assets is amortized cost for bonds and original cost for
short-term securities and stocks. The actuarial assumptions used to compute the
actuarially determined City contribution rate are the same as those used to
compute the pension benefit obligation. The amounts above reflect the adoption
of changes in the plan since the previous actuarial valuation, which had the
effect of increasing the pension benefit obligation by $227,100.
CITY OF EULESS, TEXAS
NOTES TO FINANCIAL STATEMENTS
NOTE 11--EMPLOYEE RETIREMENT SYSTEM --Continued
Trend information for the past three years for TMRS is as follows:
Net Assets Available
For Benefits as a Unfunded Pension City Contribution
Percent of Pension Benefit Obligation as a as a Percent of
Year Benefit Obligation Percent of Covered Payroll Covered Payroll
1990 76.60% 44.01% 11.38%
1991 77.74 45.05 11.44
1992 80.23 42.47 11.41
Historical trend information for TMRS is presented in the Statistical Section,
Table 15 of the City's Comprehensive Annual Financial Report. This table pro-
vides information about progress made in accumulating sufficient assets to pay
benefits when due.
NOTE 12--DEFERRED COMPENSATION PLAN
The City offers its employees a Non-contributory Deferred Compensation Plan (the
"Plan") consistent with Internal Revenue Code Section 457. Plan asset ownership
remains with the City until the employee terminates employment with the City,
retires, or experiences an unforeseeable emergency. Employees may contribute
voluntarily to the Plan up to $7,500 annually.
Assets of the Plan are invested primarily in various mutual funds. The current
market value of the funds' investments at September 30, 1992 was approximately
$2,067,200. The Plan has no unfunded liabilities. All contributions to the
Plan are remitted bi-weekly to the administrator of the Plan.
All amounts of compensation deferred under the Plan, all assets purchased with
these amounts, and all income attributable to these amounts, are (until paid or
made available to the employee or other beneficiary) solely the property and
rights of the City subject only to the claims of the City's general creditors.
The City has no legal liability for losses of the Plan, but does have the duty
of due care that would be required of an ordinary prudent investor. The City
believes it is unlikely that it will use the assets to satisfy the claims of
general creditors in the future. The Plan is reported as a fiduciary fund in
the accompanying financial statements.
CITY OF EULESS, TEXAS
NOTES TO FINANCIAL STATEMENTS
NOTE 13--SEGMENTS OF ENTERPRISE ACTIVITIES
The City maintains three Enterprise Funds. The Water and Sewer Fund provides
water distribution and wastewater collection services and contractually secures
water supply and wastewater treatment services from the Trinity River Author-
ity. The Utility Drainage Fund provides drainage services. The Recreation Fund
provides various recreational services and activities.
Segment information for the City's Enterprise Funds is as follows:
Operating revenues
Depreciation
Operating income (loss)
Operating transfers out
Extraordinary loss on
advanced refunding
Net income (loss)
Current capital:
Contributions
Property, plant and equip-
ment:
Additions
Disposals
Total assets
Net working capital
Long-term debt, including
current portion
Total equity
Water and
Sewer Fund
$ 8,031,096 $
827,711
68,532
397,421
163,386
(394,527)
174,937
Drainage
Fund
316,340
92,790
10,642
54,454
281,293
40,420
27,041,978 2,410,728
3,221,807 2,303,874
4,250,000 2,100,000
19,742,095 290,115
Recreation
Fund
Total
256,732 $ 8,604,168
827,711
149,846
417,746
(11,476)
9,683
(20,759)
163,386
(360,832)
174,937
281,293
40,420
16,393 29,469,099
16,393 5,542,074
6,350,000
16,393 20,048,603
SPECIAL REVENUE FUNDS
Hotel/Motel Fund - to account for the operations and expenditures for
which hotel/motel occupancy taxes are used. Occupancy tax revenues
are used primarily for advertising and promotion of the City.
Police Drug Enforcement Fund - to account for proceeds from sale of
assets seized in connection with drug arrests. Revenues are used
solely for police department expenditures.
CITY OF EULESS, TEXAS
SPECIAL REVENUE FUNDS
COMBINING BALANCE SHEET
September 30, 1992
With comparative totals for September 30, 1991
Police
Hotel/ Drug
Motel Enforcement Totals
Fund Fund 1992 1991
ASSETS
A-1
Cash and cash
equivalents $ 110,868 $ 17,979 $ 128,847 $ 47,820
Short-term investments 154,188
Accrued interest
receivable 672
TOTAL ASSETS $ 110,868 4 17.979 $ 128,847 $ 202.680
FUND EQUITY
Fund Balances:
Reserved for drug
enforcement $ - $ 17,979 $ 17,979 $ 110,287
Unreserved,
undesignated 110,868 110,868 92,393
TOTAL FUND BALANCES $ 110,868 $ 17.979 $ 128.847 $ 202.680
CITY OF EULESS, TEXAS
SPECIAL REVENUE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCES
Year ended September 30, 1992
With comparative totals for September 30, 1991
A-2
Police
Hotel/ Drug
Motel Enforcement Totals
Fund Fund 1992 1991
Revenues:
Gross receipts tax $ 131,494 $ 30,946 $ 162,440 $ 120,457
Other revenues 2,419 3,585 6,004 85,675
TOTAL REVENUES 133,913 34,531 168,444 206,132
Expenditures:
Planning and
development
Capital outlay
and maintenance
TOTAL EXPENDITURES
113,775
1,663
115,438
23,713
103,126
126,839
137,488
104,789
242,277
128,066
89,344
217,410
EXCESS (DEFICIENCY)
OF REVENUES OVER
EXPENDITURES 18,475 (92,308) (73,833) (11,278)
Fund balances, begin-
ning of year 92,393 110,287 202,680 123,958
Residual equity trans-
fer in 90,000
FUND BALANCES,
END OF YEAR $ 110,868 $ 17,979 $ 128,847 $ 202,680
CAPITAL PROJECTS FUNDS
Park Improvements Certificates of Obligation Fund (1990) - to account
for the construction of park facilities. Financing was provided
from the sale of Certificates of Obligation of $2,000,000 in 1990.
Street Assessments Fund - to account for receipt of funds for special
assessment collections and subsequent construction of improvements
to various street and drainage projects.
Street Improvement and Drainage Certificates of Obligation Fund (1990)
to account for the construction of improvements to various street
and drainage projects. Financing was provided from the sale of
Certificates of Obligation in 1990.
Equipment Contractual Obligations Fund (1992) - to account for the
purchase of equipment for the City. Financing was provided from the
sale of Contractual Obligations of $450,000 in 1992.
Fire Department Certificates of Obligation Fund (1990) - to account
for improvements to the fire station and purchase of equipment for
the fire department. Financing was provided from the sale of
Certificates of Obligation in 1990.
Developers' Contribution Fund - to account for funds received for the
purpose of making new and future improvements to various development
areas within the City.
ASSETS
Cash and cash equivalents
Short-term investments
Accounts receivable
Accrued interest receivable
Due from other governments
Park
Improvements
Certificates of
Obligation
Fund (1990)
$ 114,508
169,977
TOTAL ASSETS $ 284.485
LIABILITIES AND FUND EQUITY
Customer and escrow deposits
Due to other funds
Deferred revenue
TOTAL LIABILITIES
Fund balances:
Reserved for development
agreements
Unreserved, undesignated
TOTAL FUND EQUITY
CITY OF EULESS, TEXAS
CAPITAL PROJECTS FUNDS
COMBINING BALANCE SHEET
September 30, 1992
With comparative totals for September 30, 1991
Street
Assessments
Fund
$ 106,601
5,777
$ 112,378
Street
Improvement
and Drainage
Certificates
of Obligation
Fund (1990)
$ 236,337
450,000
6,915
$ 693.252
Equipment
Contractual
Obligations
Fund (1992)
$ 390,802
$ - $ - $ 10,993 $
111,301
111,301
173,184
173,184
TOTAL LIABILITIES
AND FUND EQUITY 3 284.485
112,378
112,378
10,993
682,259
682,259
Fire Department
Certificates of
Obligation
Fund (1990)
$ 13,320
390.802 $ 13.320
390,802
390,802
13,320
13,320
Developers'
Contribution
Fund
$ 269,006
950,000
8,972
1992
$ 1,130,574
1,400,000
21,664
169,977
B-1
1991
$ 1,581,295
1,607,981
38,771
7,484
338,174
$1,227.978 $ 2.722,215 $ 3.573.705
$
22,138 $ 33,131 $ 143,804
33,000
111,301 492,373
22,138 144,432 669,177
1,205,840
1,205,840
1,205,840
1,371,943
2,577,783
1,183,486
1,721,042
2,904,528
$ 112.378 $ 693L252 1_ 390.802 $ 13,320 11A322.078 1 2,722,215 1 3573,705
Revenues:
Interest income
Intergovernmental
Other revenues
TOTAL REVENUES
t-`) Expenditures:
j' Capital outlay and
maintenance
EXCESS (DEFICIENCY) OF
REVENUES OVER EXPENDITURES
Other financing sources (uses):
Net proceeds from issuance of
certificates of obligation
Operating transfers in
Operating transfers out
TOTAL OTHER FINANCING
SOURCES (USES)
CITY OF EULESS, TEXAS
CAPITAL PROJECTS FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCES
Year ended September 30, 1992
With comparative totals for September 30, 1991
Street
Park Improvement
Improvements and Drainage Equipment Fire Department
Certificates of Street Certificates Contractual Certificates of Developers'
Obligation Assessments of Obligation Obligations Obligation Contribution
Fund (1990) Fund Fund (1990) Fund (1992) Fund (1990) Fund 1992 1991
$ 3,433
390,677
394,110
519,979
(125,869)
$ - $ 32,737 $ 4,143
92,964
92,964 32,737 4,143
639,381 63,341
92,964 (606,644) (59,198)
450,000
(92,982)
(92,982) 450,000
B-2
$ 44,004 $ 84,317 $ 118,040
390,677 38,801
51,000 143.964 28,554
95,004 618,958 185,395
7,370 72.650 1,302,721 735,448
(7,370) 22,354 (683,763) (550,053)
450,000
282,543
(92.982) (337,543)
357,018 (55.000)
EXCESS (DEFICIENCY) OF
REVENUES AND OTHER FINANCING
SOURCES OVER EXPENDITURES AND
OTHER FINANCING USES (125,869) 92,964 (699,626) 390,802 (7,370) 22,354 (326,745) (605,053)
Fund balances, beginning
of year 299,053 19,414 1,381,885 20,690 1,183,486 2,904,528 3,648,171
Residual equity transfers in 133,873
Residual equity transfers out (272,463)
FUND BALANCES, END OF YEAR $ 173,184 $ 112.378 $ 682,259 $ 390,802 13.320 $1,205„840 1 2 577 783. $ 2.904.528_
ENTERPRISE FUNDS
Water and Sewer System - to account for the acquisition, operation and
maintenance of a municipal water and sewer utility, supported pri-
marily by user charges to the public.
Drainage Utility - to account for the acquisition, operation and main-
tenance of a municipal drainage utility, supported primarily by user
charges to the public.
Recreation Classes - to account for the operation of recreational pro-
grams and activities which are offered to groups and individuals on
a fee basis.
CITY OF EULESS, TEXAS
ENTERPRISE FUNDS
COMBINING BALANCE SHEET
September 30, 1992
With comparative totals for September 30, 1991
Water and Sewer Drainage Utility Recreation
ASSETS
Totals
1992 1991
C-1
Current assets:
Cash and cash equivalents $ 1,077,870 $ 444,641 $ 16,393 $ 1,538,904 $ 1,299,971
Short-term investments 2,340,916 1,772,784 4,113,700 1,628,622
Accounts receivable and unbilled revenue,
less allowance for estimated uncollect-
ible accounts of $1,463 in 1992 and 1991 1,069,445 64,997 1,134,442 1,043,245
Accrued interest receivable 48,100 26,804 74,904 178
Prepaids and deposits 429,826 429,826
Due from other funds 518,601 518,601 618,601
TOTAL CURRENT ASSETS 5,484,758 2,309,226 16,393 7,810,377 4,590,617
Restricted assets:
Revenue bond debt service:
Cash with paying agent 14,325 14,325 27,571
Revenue bond retirement:
Investments with paying agent, at cost 905,234 905,234 1,202,564
Revenue bond emergency:
Short-term investments 500,000 500,000 500,000
Property sale proceeds account:
Investments with paying agent, at cost 518,823 518,823 467,226
Capital projects account:
Cash and cash equivalents 43,558 43,558 293,024
Short-term investments 553,086 553,086 130,000
Customer deposits:
Cash and cash equivalents 608,351 608,351 579,857
Interest receivable on investments 65,816 65,816 58,759
TOTAL RESTRICTED ASSETS 3,209,193 3,209,193 3,259,001
Bond issuance cost 85,373 107,473 192,846
Less accumulated amortization 7,761 5,971 13,732
NET BOND ISSUANCE COST 77,612 101,502 179,114
Utility plant and equipment in
service, at cost:
Land 1,528,966 1,528,966 1,528,966
Equipment 976,155 976,155 973,834
Waterworks and sanitary sewer system 25,332,088 25,332,088 25,131,625
Construction -in -progress 242,947 242,947 204,859
28,080,156 28,080,156 27,839,284
Less accumulated depreciation 9,809,741 9,809,741 9,007,643
NET UTILITY PLANT AND
EQUIPMENT IN SERVICE 18,270,415 18,270,415 18,831,641
TOTAL ASSETS $27,041,978 4 2,410,728 16,393 429.469.099 $26,681,259
CITY OF EULESS, TEXAS
ENTERPRISE FUNDS
COMBINING BALANCE SHEET
September 30, 1992
With comparative totals for September 30, 1991
LIABILITIES AND FUND EQUITY
Current liabilities:
Payable from current assets:
Overdrafts payable
Accounts payable
Accrued salaries and wages
Due to other governments
TOTAL CURRENT LIABILITIES
Current obligations payable from restricted
assets:
Customer and escrow deposits
Current portion of bonds payable
Accrued interest
Bonds payable
Deferred revenue
TOTAL LIABILITIES
Fund equity:
Contributed capital:
From subdividers
From Environmental Protection Agency
From Trinity River Authority
Accumulated depreciation on assets
acquired with contributed capital
NET CONTRIBUTED CAPITAL
Retained earnings:
Reserved for:
Revenue bond debt service,
next maturing
Revenue bond retirement
Emergency
Construction
Unreserved
TOTAL RESERVED
TOTAL RETAINED EARNINGS
Water and Sewer Drainage Utility Recreation
$ 2,138,240
44,949
66,707
13,055
2,262,951
608,351
305,000
66,908
3,945,000
111,673
7,299,883
13,789,751
239,617
15,000
14,044,368
4,650,062
9,394,306
1,453,502
500,000
596,644
2,550,146
7,797,643
10,347,789
TOTAL FUND EQUITY 19,742,095
$
5,352
5,352
25,000
15,261
2,075,000
2,120,613
290,115
290,115
290,115
C-1
(Continued)
Totals
1992 1991
$ - $ 2,138,240 $ 1,304,954
50,301 9,861
66,707 40,708
13,055
2,268,303 1,355,523
608,351 579,857
330,000 260,000
82,169 66,908
6,020,000 4,065,000
111,673 119,473
9,420,496 6,446,761
13,789,751 13,614,814
239,617 239,617
15,000 15,000
14,044,368 13,869,431
4,650,062 4,203,098
9,394,306 9,666,333
27,571
1,453,502 1,401,641
500,000 500,000
596,644 423 024
2,550,146 2,352,236
16,393 8,104 151 8,215,929
16,393 16,654,2 7 1U,568,165
16,393 20,048,603 20,234,498
TOTAL LIABILITIES AND FUND EQUITY $27,041,_978
4 2,419,728 16,393 129,469,099 26 681 259
CITY OF EULESS, TEXAS
ENTERPRISE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS
Year ended September 30, 1992
With comparative totals for September 30, 1991
Operating revenues:
Water service
Sewer service
Drainage fees
Recreation fees
Service fees and miscellaneous
TOTAL OPERATING REVENUES
Operating expenses:
General and administrative
Water production
Water distribution
Utility engineering
Sewage collection and treatment
Nondepartmental
Service center
Drainage
Recreation classes
Depreciation
Amortization
TOTAL OPERATING EXPENSES
OPERATING INCOME (LOSS)
Nonoperating
Investment
revenues
income
Gain (loss) on sale
Interest on bonds
TOTAL NONOPERATING REVENUES, NET
(expenses):
of equipment
INCOME (LOSS) BEFORE OPERATING TRANSFERS
Operating transfers out
INCOME (LOSS) BEFORE EXTRAORDINARY LOSS
Extraordinary loss on advanced refunding --
Note 3
NET INCOME (LOSS)
Add depreciation on fixed assets acquired
with contributed capital
Residual equity transfer
INCREASE (DECREASE) IN RETAINED EARNINGS
Retained earnings, beginning of year
Water and Sewer Drainage Utility Recreation
$ 4,986,564
2,554,417
316,340
490,115
8,031,096 316,340
350,708
3,078,032
295,324
192,661
1,255,067
1,478,237
477,063
217,579
827,711
7,761 5,971
7,962,564 223,550
68,532 92,790
311,897 75,499
(14,808)
(199,341) (103,193)
97,748 (27,694)
166,280 65,096
(397,421) (10,642)
(231,141) 54,454
(163,386)
(394,527) 54,454
446,964
52,437
10,295,352
RETAINED EARNINGS, END OF YEAR $10,347,789
54,454
235,661
290.115
C-2
Totals
1992 1991
$ 4,986,564 $ 4,478,380
2,554,417 2,560,162
316,340 297,272
256,732 256,732 227,395
490,115 358,706
256,732 8,604,168 7,921,915
350,708 282,204
3,078,032 2,652,142
295,324 297,596
192,661 154,837
1,255,067 980,849
1,478,237 1,454,758
477,063 492,465
217,579 52,050
268,208 268,208 221,101
827,711 804,229
13,732
268,208 8,454,322 7,392,231
(11,476) 149,846 529,684
400 387,796 401,686
(14,808) 1,196
(302,534) (312,925)
400 70,454 89,957
(11,076) 220,300 619,641
(9,683) (417,746) (465,491)
(20,759) (197,446) 154,150
(163,386)
(20,759) (360,832) 154,150
(20,759)
37,152
16,393 410,654,297 $10,568,165
446,964 426,241
29,938
86,132 610,329
10,568,165 9,957,836
CITY OF EULESS, TEXAS
ENTERPRISE FUNDS
COMBINING STATEMENT OF CASH FLOWS
September 30, 1992
With comparative totals for September 30, 1991
OPERATING ACTIVITIES
Operating income (loss)
Adjustments to reconcile operating
income to net cash provided by
operating activities:
Depreciation and amortization expense
Increase (decrease) due to net
changes in:
Accounts receivable and unbilled
revenue (114,536)
Due from other funds 100,000
Prepaids and deposits (429,826)
Overdrafts payable 833,286
Accounts payable 35,088
Accrued salaries and wages 25,999
Customer and escrow deposits 28,494
Due to other funds
Deferred revenue (7,800)
Intergovernmental payable 13,055
Total adjustments 1,319,232
NET CASH PROVIDED BY (USED
IN) OPERATING ACTIVITIES 1,387,764
NONCAPITAL FINANCING ACTIVITIES
Interest paid on bonds
Reduction in bonds payable
Operating transfers out
Residual equity transfer
Proceeds from bond sales
Deposit to advanced refunding escrow
account
Bond issuance
(199,341)
(335,000)
(397,421)
2,335,000
(2,238,386)
costs (85,373)
NET CASH PROVIDED BY (USED IN)
NONCAPITAL FINANCING ACTIVITIES (920,521)
C-3
Totals
Water and Sewer Drainage Utility Recreation 1992 1991
$ 68,532 $ 92,790 $ (11,476) $ 149,846 $ 529,684
835,472 5,971 841,443 804,229
23,339 (91,197) 21,321
100,000 (486,601)
(429,826)
833,286 1,304,954
5,352 40,440 (30,932)
34,662
127,452
(87,932)
(10,642)
2,100,000
(107,473)
1,893,953
25,999 23,116
28,494 36,774
(110,920)
(7,800) (7,800)
13,055
1,353,894 1,554,141
(11,476) 1,503,740 2,083,825
(287,273)
(335,000)
(9,683) (417,746)
4,435,000
(2,238,386)
(192,846)
(312,925)
(290,000)
(465,491)
29,938
(9,683) 963,749 (1,038,478)
CITY OF EULESS, TEXAS
ENTERPRISE FUNDS
COMBINING STATEMENT OF CASH FLOWS
September 30, 1992
With comparative totals for September 30, 1991
CAPITAL AND RELATED FINANCING ACTIVITIES
Contributions in aid to construction
Purchase of utility plant in service
Proceeds from sale of utility plant
in service
NET CASH USED IN CAPITAL AND
RELATED FINANCING ACTIVITIES
INVESTING ACTIVITIES
Purchase of investment securities
Proceeds from sale or maturity of
investment securities
Interest received on investments
NET CASH PROVIDED BY (USED
IN) INVESTING ACTIVITIES
NET INCREASE (DECREASE) IN
CASH AND CASH EQUIVALENTS
Cash and cash equivalents,
beginning of year
Water and Sewer Drainage Utility Recreation
$ 174,937
(281,293)
(106,356)
(6,357,264)
5,467,617
256,918
(632,729)
(271,842)
2,015,946
(1,772,784)
48,695
(1,724,089)
297,316
147,325
C-3
(Continued)
Totals
1992 1991
$ 174,937 77,702
(281,293) (407,493)
4,100
(106,356) (325,691)
(8,130,048) (8,421,310)
5,467,617 7,127,714
400 306,013 474,003
400 (2,356,418) (819,593)
(20,759)
4,715 (99,937)
37,152 2,200,423 2,300,360
CASH AND CASH EQUIVALENTS, END OF YEAR $ 1.744,104 $ 444.641. 16.393 A 2,205.138 $ 2,200,423
CITY OF EULESS, TEXAS
WATER AND SEWER FUND
COMPARATIVE BALANCE SHEETS
September 30, 1992 and 1991
ASSETS
Current assets:
Cash and cash equivalents
Short-term investments
Accounts receivable and unbilled revenue,
less allowance for estimated uncollect-
ible accounts of $1,463 in 1992 and 1991
Accrued interest receivable
Prepaids and deposits
Due from other funds
TOTAL CURRENT ASSETS
Restricted assets:
Revenue bond debt service:
Cash with paying agent
Revenue bond retirement:
Investments with paying agent, at cost
Revenue bond emergency:
Short-term investments
Property sale proceeds account:
Investments with paying agent, at cost
Capital projects account:
Cash and cash equivalents
Short-term investments
Customer deposits:
Cash and cash equivalents
Interest receivable on investments
TOTAL RESTRICTED ASSETS
Bond issuance costs
Less accumulated amortization
NET BOND ISSUANCE COSTS
Utility plant and equipment in
service, at cost:
Land
Equipment
Waterworks and sanitary sewer system
Construction -in -progress
Less accumulated depreciation
NET UTILITY PLANT AND
EQUIPMENT IN SERVICE
1992
$ 1,077,870
2,340,916
1,069,445
48,100
429,826
518,601
5,484,758
14,325
905,234
500,000
518,823
43,558
553,086
608,351
65,816
3,209,193
85,373
7,761
77,612
1,528,966
976,155
25,332,088
242,947
28,080,156
9,809,741
C-4
1991
$ 1,115,494
1,628,622
954,909
178
618,601
4,317,804
27,571
1,202,564
500,000
467,226
293,024
130,000
579,857
58,759
3,259,001
1,528,966
973,834
25,131,625
204,859
27,839,284
9,007,643
18,270,415 18,831,641
TOTAL ASSETS 127.041,978 $26,408,446
LIABILITIES AND FUND EQUITY
Current liabilities:
Payable from current assets:
Overdrafts payable
Accounts payable
Accrued salaries and wages
Due to other governments
TOTAL CURRENT LIABILITIES
Current obligations payable from
restricted assets:
Customer and escrow deposits
Current portion of bonds payable
Accrued interest
Bonds payable
Deferred revenue
TOTAL LIABILITIES
Fund equity:
Contributed capital:
From subdividers
From Environmental Protection Agency
From Trinity River Authority
Accumulated depreciation on assets
acquired with contributed capital
NET CONTRIBUTED CAPITAL
Retained earnings:
Reserved for:
Revenue bond debt service,
next maturing
Revenue bond retirement
Emergency
Construction
Unreserved
TOTAL RESERVED
TOTAL RETAINED EARNINGS
C-4
(Continued)
1992
$ 2,138,240 $
44,949
66,707
13,055
2,262,951
1991
1,304,954
9,861
40,708
1,355,523
608,351 579,857
305,000 260,000
66,908 66,908
3,945,000 4,065,000
111,673 119,473
7,299,883 6,446,761
13,789,751
239,617
15,000
14,044,368
4,650,062
9,394,306
1,453,502
500,000
596,644
2,550,146
7,797,643
10,347,789
13,614,814
239,617
15,000
13,869,431
4,203,098
9,666,333
27,571
1,401,641
500,000
423,024
2,352,236
7,943,116
10,295,352
TOTAL FUND EQUITY 19,742,095 19,961,685
TOTAL LIABILITIES AND FUND EQUITY $27,041.978 .$262408t446
CITY OF EULESS, TEXAS
WATER AND SEWER FUND
COMPARATIVE STATEMENTS OF REVENUES, EXPENSES
AND CHANGES IN RETAINED EARNINGS
Years ended September 30, 1992 and 1991
Operating revenues:
Water service
Sewer service
Service fees and miscellaneous
TOTAL OPERATING REVENUES
Operating expenses:
General and administrative
Water production
Water distribution
Utility engineering
Sewage collection and treatment
Nondepartmental
Service center
Depreciation
Amortization
TOTAL OPERATING EXPENSES
OPERATING INCOME
Nonoperating revenues (expenses):
Investment income
Gain (loss) on sale of equipment
Interest on bonds
TOTAL NONOPERATING REVENUES, NET
INCOME BEFORE OPERATING TRANSFERS
Operating transfers out
LOSS BEFORE EXTRAORDINARY LOSS
Extraordinary loss on advanced refunding
NET LOSS
Add depreciation on fixed assets acquired
with contributed capital
INCREASE IN RETAINED EARNINGS
Retained earnings, beginning of year
RETAINED EARNINGS, END OF YEAR
1992 1991
C-5
$ 4,986,564 $ 4,478,380
2,554,417 2,560,162
490,115 358 006
8,031,096 7,397,248
350,708 282,204
3,078,032 2,652,142
295,324 297,596
192,661 154,837
1,255,067 980,849
1,478,237 1,454,758
477,063 492,465
827,711 804,229
7,761
7,962,564 7,119,080
68,532 278,168
311,897 399,387
(14,808) 1,196
(199,341) (312,925)
97,748 87,658
166,280 365,826
(397,421) (454,551)
(231,141) (88,725)
(163,386)
(394,527)
446,964
52,437
10,295,352
$10,347,789_
(88,725)
426,241
337,516
9,957,836
A 101295052
CITY OF EULESS, TEXAS
WATER AND SEWER FUND
COMPARATIVE SCHEDULES OF OPERATING EXPENSES
Years ended September 30, 1992 and 1991
General and administrative:
Salaries and benefits
Postage and supplies
Maintenance of office machinery
Bad debts
Other
Water production:
Salaries and benefits
Operating supplies and expense
Maintenance of structures and equipment
Water - Trinity River Authority
Other
Water distribution:
Salaries and benefits
Operating supplies and expense
Maintenance of structures and equipment
Water - Trinity River Authority
Other
Utility engineering:
Salaries and benefits
Operating supplies and expense
Maintenance of structures and equipment
Contractual services
Sewage collection and treatment:
Salaries and benefits
Operating supplies and expense
Maintenance of structures and equipment
Treatment fees - Trinity River Authority
Other
1992
246,645
43,247
22,742
22,274
15,800
350,708
228,247
9,932
32,385
2,797,120
10,348
3,078,032
210,680
5,249
34,947
38,462
5,986
295,324
160,234
6,435
10,187
15,805
192,661
165,387
12,951
6,678
1,057,569
12,482
1,255,067
C-6
1991
$ 202,577
24,675
15,621
24,512
14 019
282,204
188,109
11,557
12,625
2,423,067
16,784
2,652,142
207,357
10,445
28,248
29,788
21,758
297,596
131,674
4,115
9,100
9,948
154,837
115,838
5,818
6,971
839,048
13,174
980,849
CITY OF EULESS, TEXAS
WATER AND SEWER FUND
COMPARATIVE SCHEDULES OF OPERATING EXPENSES
Years ended September 30, 1992 and 1991
Nondepartmental:
Salaries and benefits
Operating supplies and expense
Contractual services
Franchise fees
Other
Service center:
Salaries and benefits
Motor fuel and supplies
Maintenance of structures and equipment
Other
Depreciation and amortization
1992
$ 359,973
373,459
342,466
397,421
4,918
1,478,237
C-6
(Continued)
$
1991
286,625
393,097
383,890
374,900
16,246
1,454,758
152,411 137,865
251,592 289,727
67,053 57,914
6,007 6,959
477,063 492,465
835,472 804,229
TOTAL OPERATING EXPENSES $ 7,962,564 $ 7,119,080
CITY OF EULESS, TEXAS
WATER AND SEWER FUND
COMPARATIVE STATEMENTS OF CASH FLOWS
Years ended September 30, 1992 and 1991
OPERATING ACTIVITIES
Operating income
Adjustments to reconcile operating
income to net cash provided by
operating activities:
Depreciation and amortization expense
Increase (decrease) due to net
changes in:
Accounts receivable and unbilled
revenue
Due from other funds
Prepaids and deposits
Overdrafts payable
Accounts payable
Accrued salaries and wages
Customer and escrow deposits
Due to other funds
Intergovernmental payable
Deferred revenue
Total adjustments
NET CASH PROVIDED BY
OPERATING ACTIVITIES
NONCAPITAL FINANCING ACTIVITIES
Interest paid on bonds
Reduction in bonds payable
Operating transfers out
Proceeds from bond sales
Deposit to advanced refunding
escrow account
Bond issuance costs
NET CASH USED IN NONCAPITAL
FINANCING ACTIVITIES
CAPITAL AND RELATED FINANCING ACTIVITIES
Contributions in aid to construction
Purchase of utility plant in service
Proceeds from sale of utility plant
in service
NET CASH USED IN CAPITAL AND
RELATED FINANCING ACTIVITIES
1992
1991
C-7
68,532 $ 278,168
835,472
804,229
(114,536) 109,657
100,000 (486,601)
(429,826)
833,286 1,304,954
35,088 (30,932)
25,999 23,116
28,494 36,774
(110,920)
13,055
(7,800) (7,800)
1,319,232 1,642,477
1,387,764 1,920,645
(199,341) (312,925)
(335,000) (290,000)
(397,421) (454,551)
2,335,000
(2,238,386)
(85,373)
(920,521) (1,057,476)
174,937
(281,293)
77,702
(407,493)
4,100
(106,356) (325,691)
CITY OF EULESS, TEXAS
WATER AND SEWER FUND
COMPARATIVE STATEMENTS OF CASH FLOWS
Years ended September 30, 1992 and 1991
INVESTING ACTIVITIES
Purchase of investment securities
Proceeds from sale or maturity of
investment securities
Interest received on investments
NET CASH USED IN INVESTING ACTIVITIES
NET DECREASE IN CASH
AND CASH EQUIVALENTS
Cash and cash equivalents,
beginning of year
CASH AND CASH EQUIVALENTS,
END OF YEAR
1992
$(6,357,264)
5,467,617
256,918
(632,729)
(271,842)
2,015,946
C-7
(Continued)
1991
$(8,421,310)
7,127,714
471,704
(821,892)
(284,414)
2,300,360
1 1,744.104 $ 2,015,946
ASSETS
Current assets:
Cash and cash equivalents
Short-term investments
Accounts receivable and unbilled revenue,
less allowance for estimated uncollect-
ible accounts of $1,463
Accrued interest receivable
Prepaids and deposits
Due from other funds
TOTAL CURRENT ASSETS
Restricted assets:
Revenue bond debt service:
Cash with paying agent
Revenue bond retirement:
Investments with paying agent, at cost
Revenue bond emergency:
Short-term investments
Property sale proceeds account:
Investments with paying agent, at cost
Capital projects account:
Cash and cash equivalents
Short-term investments
Customer deposits:
Cash and cash equivalents
Interest receivable on investments
TOTAL RESTRICTED ASSETS
Bond issuance costs
Less accumulated amortization
NET BOND ISSUANCE COSTS
Utility plant and equipment in
service, at cost:
Land
Equipment
Waterworks and sanitary sewer system
Construction -in -progress
Less accumulated depreciation
NET UTILITY PLANT AND
EQUIPMENT IN SERVICE
TOTAL ASSETS
CITY OF EULESS, TEXAS
WATER AND SEWER FUND
AGGREGATING SCHEDULE OF BALANCE SHEET ACCOUNTS
September 30, 1992
Operating
Account
$ 1,007,068 $
2,218,114
1,067,468
48,100
429,826
518,601
5,289,177
500,000
608,351
1,108,351
85,373
7,761
77,612
1,528,966
976,155
25,332,088
27,837,209
9,809,741
18,027,468
$24,502.608
Capital
Projects
Account
43,558
553,086
7,057
603,701
242,947
242,947
Bond
Reserve
Account
14,325
905,234
518,823
58,759
1,497,141
242,947
846.648 $1,497,141
Service
Center
Account
Impact Fees
Account
$ 47,533
122,802
1,977
172,312
1 172312
Debt
Service
Account Eliminations
C-8
Total
September 30,
1992
$ 23,269 $ - $ 1,077,870
2,340,916
23,269
$ 23,269
1,069,445
48,100
429,826
518.601
5,484,758
14,325
905,234
500,000
518,823
43,558
553,086
608,351
65,816
3,209,193
85,373
7,761
77,612
1,528,966
976,155
25,332,088
242,947
28,080,156
9,809,741
18,270,415
127,041,978
(continued)
LIABILITIES AND FUND EQUITY
Current liabilities:
Payable from current assets:
Overdrafts payable
Accounts payable
Accrued salaries and wages
Due to other governments
TOTAL CURRENT LIABILITIES
Current obligations payable from
restricted assets:
Customer and escrow deposits
Current portion of bonds payable
Accrued interest
Bonds payable
Deferred revenue
TOTAL LIABILITIES
Fund equity:
Contributed capital:
From subdividers
From Environmental Protection Agency
From Trinity River Authority
Accumulated depreciation on assets
acquired with contributed capital
NET CONTRIBUTED CAPITAL
Retained earnings:
Reserved for:
Revenue bond retirement
Emergency
Construction
Unreserved
TOTAL RESERVED
TOTAL RETAINED EARNINGS
CITY OF EULESS, TEXAS
WATER AND SEWER FUND
AGGREGATING SCHEDULE OF BALANCE SHEET ACCOUNTS
September 30, 1992
Operating
Account
$ 2,053,668
39,755
66,707
13,055
2,173,185
608,351
305,000
3,945,000
111,673
7,143,209
13,789,751
239,617
15,000
14,044,368
4,650,062
9,394,306
500,000
500,000
7,465,093
7,965,093
Capital
Projects
Account
5,139
5,139
5,139
596,644
596,644
244,865
841,509
Bond
Reserve
Account
Service
Center
Account
Impact Fees
Account
- $ 84,572
55
66,908
66,908
1,430,233
1,430,233
1,430,233
TOTAL FUND EQUITY 17,359,399 841,509 1,430,233
TOTAL LIABILITIES AND FUND EQUITY 124 846.648 $1,497,141
84,627
84,627
(84,627) 172,312
(84,627) 172,312
(84,627) 172,312
1 172,312
Debt
Service
Account
Eliminations
C-8
(Continued)
Total
September 30,
1992
$ - $ - $ 2,138,240
44,949
66,707
13.055
2,262,951
23,269
23,269
23,269
23,269
$ 23,269
608,351
305,000
66,908
3,945,000
111,673
7,299,883
13,789,751
239,617
15,000
14,044,368
4,650,062
9,394,306
1,453,502
500,000
596, 644
2,550,146
7,797,643
10,347,789
19,742,095
127,041,978
CITY OF EULESS, TEXAS
WATER AND SEWER FUND
AGGREGATING SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS ACCOUNTS
Year ended September 30, 1992
Operating revenues:
Water service
Sewer service
Service fees and miscellaneous
TOTAL OPERATING REVENUES
Operating expenses:
General and administrative
Water production
Water distribution
Utility engineering
Sewage collection and treatment
Nondepartmental
Service center
Depreciation
Amortization
TOTAL OPERATING EXPENSES
OPERATING INCOME (LOSS)
Nonoperating revenues (expenses):
Investment income
Loss on sale of equipment
Interest on bonds
TOTAL NONOPERATING REVENUES
(EXPENSES), NET
INCOME (LOSS) BEFORE OPERATING TRANSFERS
Operating transfers from other water and
sewer accounts
Operating transfers to other funds or
other water and sewer accounts
INCOME (LOSS) BEFORE
EXTRAORDINARY LOSS
Extraordinary loss on advanced refunding
NET INCOME (LOSS)
Add depreciation on fixed assets
acquired with contributed capital
INCREASE (DECREASE) IN RETAINED EARNINGS
Retained earnings (deficit),
beginning of year
Residual equity transfer
RETAINED EARNINGS (DEFICIT), END OF YEAR
Operating
Account
$ 4,986,564 $
2,554,417
398,094
7,939,075
312,721
3,078,032
295,324
192,661
1,255,067
1,478,237
827,711
7 7761
7,447,514
Capital
Projects
Account
37,347
Bond
Reserve
Account
$
Service
Center
Account
477,063
37,347 477,063
491,561 (37,347) (477,063) 92,021
178,814 17,285 112,291
(111,270)
164,006 17,285 1,021
655,567 (20,062) 1,021 (477,063) 95,528
203,900 490,000
(260,000)
183,838 (258,979) 12,937 95,528
(174,626)
(451,380) 183,838 (258,979) 12,937 95,528
446,964
(4,416) 183,838 (258,979) 12,937 95,528
Impact Fees
Account
$
92,021
92,021
(14,808)
335,000
(1,267,321)
(276,754)
3,507
3,507
8,789,054 (161,874) 1,689,212 (97,564) 76,784
(819,545) 819,545
$ 7,965,093 3 841,509 11,430.233 $ (84,627) 3 172,312
$
Debt
Service
Account Eliminations
640
640
(640)
(88,071)
(88,071)
(88,711)
176,000
(75,000)
12,289
11,240
23,529
$
23,529
(260)
3 23.269 j
(1,204,900)
1,204,900
C-9
Total
September 30,
1992
$ 4,986,564
2,554,417
490,115
8,031,096
350,708
3,078,032
295,324
192,661
1,255,067
1,478,237
477,063
827,711
7,761
7,962,564
68,532
311,897
(14,808)
(199,341)
97,748
166,280
(397,421)
(231,141)
(163,386)
(394,527)
446,964
52,437
10,295,352
$10,347,789
INTERNAL SERVICE FUNDS
Equipment Replacement Fund - to account for the accumulation of funds
planned to be used in replacing existing equipment. Funding is pro-
vided annually by the user departments.
Insurance Fund - to account for the revenue and expenses resulting from
providing health insurance to the City's employees.
Risk Management Fund - to account for the revenue and expenses appli-
cable to the self-insurance program for workmen's compensation and
for general liability claims.
Cash and Debt Management Fund - to account for the revenues and
expenses incurred in providing cash and debt management services to
all funds. Funding is provided by a predetermined amount of earned
investment income, not to exceed total fund expenses.
ASSETS
Cash and cash equivalents
Due from other governments
TOTAL CURRENT ASSETS
Equipment, at cost, net of
accumulated depreciation
of $139,315
TOTAL ASSETS
LIABILITIES AND
RETAINED EARNINGS
Overdrafts payable
Accounts payable
Due to other funds
TOTAL CURRENT LIABILITIES
Retained earnings
(deficit):
Unreserved
CITY OF EULESS, TEXAS
INTERNAL SERVICE FUNDS
COMBINING BALANCE SHEET
September 30, 1992
With comparative totals for September 30, 1991
Equipment
Replacement
Fund
Insurance
Fund
Risk
Management Cash and Debt
Fund
Management Fund
$ 297,854 $ 61,273 $ 387,204
2,985
297,854 64,258 387,204
734,697
$1.032.551 A_ 64,258 387.204 $
$ - $ - $ -
86,504 64,579
62,605
86,504 127,184
1,032,551
(22,246) 260,020
D-1
Totals
1992 1991
$ 746,331 $ 572,887
2,985
749,316 572,887
734,697 567,890
$ 1.484,013 $ 1.140.777
$ - $ 5,452
151,083 136,004
62,605 62,605
213,688 204,061
1,270,325
936, 716
TOTAL LIABILITIES
AND RETAINED EARNINGS ,$1.032.551 ,_ 64.258 $ 387 204 $ - 1,484,_013 $ 1,140,777
CITY OF EULESS, TEXAS
INTERNAL SERVICE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENSES
AND CHANGES IN RETAINED EARNINGS
Year ended September 30, 1992
With comparative totals for September 30, 1991
Equipment
Replacement
Fund
Operating revenues:
Insurance premiums $ -
Service fees and miscellaneous 188,098
TOTAL OPERATING REVENUES 188,098
Operating expenses:
General and administrative
Insurance costs
Depreciation
TOTAL OPERATING EXPENSES
OPERATING INCOME (LOSS)
Nonoperating revenues:
Investment income
INCOME (LOSS) BEFORE
OPERATING TRANSFERS
Operating transfers in
Operating transfers out
NET INCOME
Residual equity transfers in
Retained earnings (deficit),
beginning of year
117,868
117,868
70,230
7,081
77,311
92,983
170,294
862,257
RETAINED EARNINGS
(DEFICIT), END OF YEAR *1,032,551
Insurance
Fund
$1,050,643
1,050,643
85,432
988,901
1,074,333
(23,690)
Risk
Management
Fund
Cash and Debt
Management Fund
$ 606,904
28,650
635,554
61,517
353,398
414,915
220,639
10,216
(23,690) 230,855
100,000
(26,600)
49,710
(117,250)
113,605
(71,956) 146,415
(22.246) $ 260,020
42,021
42,021
(42,021)
42,021
$
D-2
Totals
1992 1991
$ 1,657,547 $ 1,497,632
216,748 264,631
1,874,295 1,762,263
188,970
1,342,299
117,868
1,649,137
225,158
59,318
284,476
192,983
(143,850)
333,609
936,716
1 1,270,325
195,474
1,270,456
21,447
1,487,377
274,886
66,193
341,079
156,651
(57,960)
439,770
60,644
436,302
936,716
CITY OF EULESS, TEXAS
INTERNAL SERVICE FUNDS
COMBINING STATEMENT OF CASH FLOWS
Year ended September 30, 1992
With comparative totals for September 30, 1991
Equipment Risk
Replacement Insurance Management Cash and Debt Totals
Fund Fund Fund Management Fund 1992 1991
D-3
OPERATING ACTIVITIES
Operating income (loss) $ 70,230 $ (23,690) $ 220,639 $ (42,021) $ 225,158 $ 274,886
Adjustments to reconcile
operating income (loss)
to net cash provided by
(used in) operating
activities:
Depreciation expense 117,868 117,868 21,447
Increase in due from
other governments (2,985) (2,985)
Increase (decrease) in
accounts payable 20,000 (4,921) 15,079
Increase (decrease) in
overdrafts payable (5,452) (5,452) 5,452
In Change in due to other
to funds 21,605
Total adjustments 117,868 11,563 (4,921) 124,510 48,504
NET CASH PROVIDED BY (USED
IN) OPERATING ACTIVITIES 188,098 (12,127) 215,718 (42,021) 349,668 323,390
NONCAPITAL FINANCING ACTIVITIES
Operating transfers in 92,983 100,000 192,983 156,651
Operating transfers out (26,600) (117,250) (143,850) (57,960)
Residual equity transfers in 60,644
NET CASH PROVIDED BY (USED
IN) NONCAPITAL FINANCING
ACTIVITIES 92,983 73,400 (117,250) 49,133 159,335
CAPITAL AND RELATED FINANCING
ACTIVITIES
Purchase of equipment (284,675) (284,675) (482,104)
INVESTING ACTIVITIES
Interest received on
investments 7,081 10,216 42,021 59,318 66,193
NET INCREASE IN CASH
AND CASH EQUIVALENTS 3,487 61,273 108,684 173,444 66,814
Cash and cash equivalents,
beginning of year 294,367 278,520 572,887 506,073
CASH AND CASH
EQUIVALENTS, END OF YEAR $ 297.854 $ 61.273 $ 387.204 $ - _ is 746,331 1 572,887
DEFERRED COMPENSATION AGENCY FUND
To account for assets held for employees in accordance with the
provisions of Internal Revenue Code Section 457.
CITY OF EULESS, TEXAS
DEFERRED COMPENSATION AGENCY FUND
STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
For the fiscal year ended September 30, 1992
E-1
Balance Balance
September 30, September 30,
1991 Additions Deletions 1992
Assets:
Investments $ 1.860.283_ $ 352.442 $ 145,561 $ 2,067,164
Liabilities:
Deferred compensation
benefits payable $ 1,860,283 $ 352,442 $ 145,561 .$ 2s067,164
GENERAL FIXED ASSETS ACCOUNT GROUP
To account for fixed assets not used in proprietary fund operations.
CITY OF EULESS, TEXAS
COMPARATIVE SCHEDULES OF GENERAL FIXED ASSETS
BY SOURCE
September 30, 1992 and 1991
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
1992
$ 871,250
4,927,995
1,547,829
3,798,616
$11, 145, 690
$ 4,951,051
316,522
5,878,117
TOTAL INVESTMENT IN GENERAL FIXED ASSETS $11A 145,690
F-1
1991
$ 871,250
4,927,995
979,236
3,657,445
$10.435.926
$ 4,912,272
223,002
5,300,652
$10.435t926
CITY OF EULESS, TEXAS
SCHEDULE OF GENERAL FIXED ASSETS BY FUNCTION AND ACTIVITY
September 30, 1992
Function
and Activity
General government
Public saftey
Culture and
recreation
Highways and
streets
Construction -in -
progress
Land
$ 269,959
234,325
366,966
Buildings
$1,382,874
1,315,968
2,229,153
Improvements
Other Than
Buildings
$ 15,000
36,758
885,240
610,831
Machinery
and
Equipment
Total
F-2
$ 593,204 $ 2,261,037
2,228,494 3,815,545
593,476
325,957
57,485
4,074,835
325,957
668,316
TOTAL GENERAL
FIXED ASSETS $ 871,250 $4,927.995 $1,547,829 $3.798.616 $11.145.690
CITY OF EULESS, TEXAS
SCHEDULE OF CHANGES IN GENERAL FIXED ASSETS
BY FUNCTION AND ACTIVITY
Function and Activity
General government
Public safety
Culture and recreation
Highways and streets
Construction -in -progress
Year ended September 30, 1992
General Fixed
Assets
September 30,
1991
$ 2,244,367
3,362,693
4,030,048
396,411
402,407
$10.435.926
Additions
Deductions
$ 16,670 $
452,852
44,787
577,464
70,454
311,555
F-3
General Fixed
Assets
September 30,
1992
$ 2,261,037
3,815,545
4,074,835
325,957
668,316
$1,091.773 $ 382.009 $11,145,690
Fiscal General
Year Government
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
$ 741,825
905,018
1,060,047
1,197,589
1,316,296
1,436,132
1,385,187
1,535,020
1,560,800
2,020,872
CITY OF EULESS, TEXAS
GENERAL GOVERNMENTAL EXPENDITURES BY FUNCTION (1)
Last ten fiscal years
(Unaudited)
Public
Safety
$2,447,377 $
3,529,424
3,963,322
4,954,072
4,649,517
5,503,148
5,643,811
5,633,042
5,723,750
5,616,915
Culture -
Streets Recreation
323,104
364,058
401,902
424,806
402,974
396,572
480,722
541,013
507,226
454,150
$ 667,854
859,754
947,590
1,015,965
1,034,905
1,217,531
1,332,050
1,371,962
1,231,257
1,348,652
(1) Includes General and Debt Service Funds.
Debt
Service
$ 425,799
506,439
780,540
964,011
1,341,171
1,313,298
1,357,689
1,486,417
1,772,314
1,617,947
Other
$ 480,838
509,600
592,995
760,176
593,150
567,795
648,861
1,011,379
1,208,755
946,839
TABLE 1
Total
$ 5,086,797
6,674,293
7,746,396
9,316,619
9,338,013
10,434,476
10,848,320
11,578,833
12,004,102
12,005,375
Fiscal
Year Taxes
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
$4,320,153
4,967,971
5,902,338
6,374,355
7,450,693
8,044,902
8,394,653
8,529,240
9,262,024
9,550,034
$
CITY OF EULESS, TEXAS
GENERAL GOVERNMENTAL REVENUES BY SOURCE (1)
Last ten fiscal years
(Unaudited)
Licenses
and
Permits
379,549
601,181
429,929
330,136
201,468
164,031
222,424
290,944
237,400
210,525
$
Inter-
Govern -
mental
Revenues
288,355
402,107
521,896
601,988
535,814
380,612
265
19,078
91,064
46,405
$
(1) Includes General and Debt Service Funds.
Charges
for
Services
38,254
38,484
51,401
60,466
52,890
54,682
43,053
55,163
54,399
64,601
$
Fines
and
Fees
200,793
265,800
356,381
423,482
413,120
501,151
904,238
1,158,986
971,875
1,291,629
Interest
Income
and Other
Revenues
$
457,210
594,673
702,740
664,199
729,595
610,444
1,035,689
929,589
740,796
448,765
TABLE 2
Total
$ 5,684,314
6,870,216
7,964,685
8,454,626
9,383,580
9,755,822
10,600,322
10,983,000
11,357,558
11,611,959
Fiscal
Year
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
Total Tax
Levy
$2,597,676
2,808,055
3,298,386
3,814,110
4,845,209
5,001,323
4,975,719
5,162,838
5,717,223
5,889,411
Current Tax
Collections
$2,543,591
2,745,623
3,182,483
3,575,594
4,704,417
4,921,426
4,926,213
5,150,783
5,586,764
5,768,733
CITY OF EULESS, TEXAS
PROPERTY TAX LEVIES AND COLLECTIONS
Last ten fiscal years
(Unaudited)
Percent
of Levy
Collected
97.92%
97.78
96.49
93.75
97.09
98.40
99.00
99.77
97.72
97.95
Delinquent
Tax
Collections
$ 39,762
77,156
127,288
76,236
167,892
174,978
165,469
175,439
106,503
147,498
Total Tax
Collections
$2,583,353
2,822,779
3,309,771
3,651,830
4,872,309
5,096,404
5,091,682
5,326,222
5,693,267
5,916,231
Percent of
Total Tax
Collections
to Tax Levy
99.45%
100.52
100.35
95.75
100.56
101.90
102.33
103.16
99.58
100.46
Outstanding
Delinquent
Taxes at
Year-end
$ 246,369
268,760
256,955
393,256
428,865
355,562
331,891
329,745
349,226
577,695
TABLE 3
Percent of
Delinquent
Taxes to
Tax Levy
9.48%
9.57
7.79
10.31
8.85
7.11
6.67
6.39
6.11
9.81
Fiscal
Year
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
CITY OF EULESS, TEXAS
ASSESSED AND ESTIMATED ACTUAL VALUE OF TAXABLE PROPERTY (1)
Last ten fiscal years
(Unaudited)
Real Property
Assessed Estimated
Value Actual Value
$ 332,750,708
343,084,060
697,008,884
779,704,042
1,080,231,222
1,024,645,236
968,871,391
967,682,949
1,050,436,076
872,811,737
$ 332,750,708
343,084,060
697,008,884
779,704,042
1,080,231,222
1,024,645,236
968,871,391
967,682,949
1,050,436,076
872,811,737
Personal
Assessed
Value
$ 57,430,322
58,805,741
68,347,443
88,759,776
101,144,524
112,007,718
112,795,668
117,494,828
108,768,428
127,990,604
(1) Source: Tarrant County Appraisal District.
Property
Estimated
Actual Value
$ 57,430,322
58,805,741
68,347,443
88,759,776
101,144,524
112,007,718
112,795,668
117,494,828
108,768,428
127,990,604
Assessed
Value
Total
Estimated
Actual Value
$ 390,181,030
401,889,801
765,356,327
868,463,818
1,181,375,746
1,136,652,954
1,081,667,059
1,085,177,777
1,159,204,504
1,000,802,341
$ 390,181,030
401,889,801
765,356,327
868,463,818
1,181,375,746
1,136,652,954
1,081,667,059
1,085,177,777
1,159,204,504
1,000,802,341
TABLE 4
Ratio of Total
Assessed to
Total Estimated
Actual Value
100%
100
100
100
100
100
100
100
100
100
CITY OF EULESS, TEXAS TABLE 5
PROPERTY TAX RATES - DIRECT AND OVERLAPPING GOVERNMENTS
(PER $100 OF ASSESSED VALUE)
Last ten fiscal years
(Unaudited)
Fiscal City School County Hospital Junior College
Year (1) (2) (3) (3) (3)
1983 $.70 $1.24 $.202 $.178
1984 .70 1.24 .125 .104
1985 .44 .74 .125 .104
1986 .44 .82 .09866 .09634
1987 .42 .78 .11772 .11125
1988 .44 .9169 .11772 .11125
1989 .46 1.02 .156509 .133
1990 .4875 1.06 .182 .153
1991 .54085 1.32 .2368 .2058
1992 .5985637 1.505 .2771 .22910
NOTES:
$.052
.031
.031
.03165
.03153
.03153
.03148
.033
.0384
.04392
Total
$2.37
2.20
1.44
1.48665
1.4605
1.6174
1.80098
1.9155
2.34185
2.6536837
(A) General property taxes for cities are limited by the Texas Constitu-
tion to $2.50 per $100 of assessed valuation.
(B) City general property taxes are due each year on October 1 and
become delinquent on February 1 each year. Penalties and interest
are assessed on late payments. There are no discounts.
(C) The City's taxes are collected by the Hurst -Euless -Bedford Indepen-
dent School District and are distributed to the City as collected.
Sources: (1) City Records
(2) Hurst -Euless -Bedford Independent School District
(3) Tarrant County
Taxpayer
CITY OF EULESS, TEXAS
PRINCIPAL TAXPAYERS
September 30, 1992
(Unaudited)
TABLE 6
Percentage
1992 of Total
Nature of Assessed Assessed
Property Valuation Valuation
EFW Association Land $ 19,730,467 1.97%
Sotogrande Partners Apartments 18,878,759 1.89
Texas Utilities Electric Electric
Company Utility 18,770,980 1.88
Southwestern Bell Telephone Telephone
Company Utility 17,893,000 1.79
Sunbelt Savings Association
of Texas Land 9,842,351 .98
Crossmark Partners II, Ltd. Apartments 8,229,118 .82
AMLI SW Retail 8,092,929 .81
Everoak Partners Apartments 7,627,285 .76
Village Green Investments Real Estate 7,028,131 .70
Prudential Realty Group Real Estate 7,000,000 .70
$123,093.020 12.30%
CITY OF EULESS, TEXAS
COMPUTATION OF LEGAL DEBT MARGIN
September 30, 1992
(Unaudited)
TABLE 7
Article XI, Section 5 of the State of Texas Constitution states in
part:
"...no tax for any purpose shall ever be lawful for any one
year, which shall exceed two and one-half percent of the tax-
able property of such city."
Additionally, the state Attorney General's Office normally limits
general property taxes to $1.50 per $100 of assessed valuation for the
payment of principal and interest on general obligation bonds.
The City's total tax rate for fiscal 1992 was established at $.5985637
per $100 of assessed valuation based on 100% of appraised value.
Fiscal
Year Population (1)
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
28,200
32,350
36,050
37,650
38,700
39,750
40,250
38,149
38,369
38,760
CITY OF EULESS, TEXAS TABLE 8
RATIO OF NET GENERAL BONDED DEBT TO ASSESSED VALUE
AND NET BONDED DEBT PER CAPITA
Last ten fiscal years
(Unaudited)
Assessed Value (2)
$ 390,181,030
401,889,801
765,356,327
868,463,818
1,181,375,746
1,136,652,954
1,081,667,059
1,085,177,777
1,159,204,504
1,000,802,341
General
Bonded Debt
$ 5,520,000
7,825,000
9,095,000
10,396,586
10,684,514
10,564,783
11,475,440
12,836,159
12,031,587
11,716,587
Less Debt
Service Funds
$ 235,147
285,142
348,633
313,522
318,010
383,429
568,807
592,607
510,266
434,847
(1) Source: Estimates by North Central Texas Council of Governments
(2) Source: Tarrant County Appraisal District.
Net
Bonded Debt
$ 5,284,853
7,539,858
8,746,367
10,083,064
10,366,504
10,181,354
10,906,633
12,243,552
11,521,321
11,281,740
Ratio of Net
Bonded Debt to
Assessed Value
as of January 1, 1992.
1.35%
1.88
1.14
1.16
.88
.90
1.01
1.13
.99
1.13
Net Bonded
Debt
Per Capita
$187
233
243
268
268
256
271
298
300
291
CITY OF EULESS, TEXAS TABLE 9
RATIO OF ANNUAL DEBT SERVICE EXPENDITURES FOR
GENERAL OBLIGATION BONDED DEBT TO TOTAL GENERAL EXPENDITURES
Fiscal
Year Principal
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
$165,000
195,000
230,000
290,000
60,428
549,732
589,342
639,281
804,572
765,000
Last ten fiscal years
Interest
(A)
$ 260,799
311,439
550,540
674,011
1,280,743
763,566
768,347
847,136
967,742
852,947
(Unaudited)
Total Debt
Service
$ 425,799
506,439
780,540
964,011
1,341,171
1,313,298
1,357,689
1,486,417
1,772,314
1,617,947
Total
General
Expenditures
(B)
$ 5,086,797
6,674,293
7,746,396
9,316,619
9,338,013
10,434,476
10,848,320
11,578,833
12,004,102
12,005,375
Ratio of
Debt Service
to Total
General
Expenditures
8.37%
7.59
10.08
10.35
14.36
12.59
12.52
12.84
14.76
13.48
(A) Includes fiscal agent fees and debt issuance costs which are insig-
nificant.
(B) Includes total general governmental expenditures plus total general
obligation debt service expenditures.
CITY OF EULESS, TEXAS
COMPUTATION OF DIRECT AND OVERLAPPING DEBT
September 30, 1992
(Unaudited)
Jurisdiction
City of Euless
Grapevine-Colleyville Independent
School District
Hurst -Euless -Bedford Independent
School District
Tarrant County
Tarrant County Junior College
District
Tarrant County Hospital District
Net Debt
Outstanding
$11,281,740
63,131,813
59,175,000
163,555,000
44,000,320
40,042,741
Percent
Applicable
to City of
Euless
100.00%
2.12
26.79
2.72
2.72
2.72
TABLE 10
Amount
Applicable
to City of
Euless
$11,281,740
1,338,394
15,852,982
4,448,696
1,196,808
1,089,163
TOTAL DIRECT AND
OVERLAPPING DEBT $35.207,78a
Fiscal
Year
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
Gross
Revenues
(1)
$4,138,656
5,197,388
6,601,117
6,169,486
7,677,625
7,273,249
7,442,771
8,022,688
7,796,635
8,342,993
Direct
Operating
Expenses
$2,897,770 (3)
3,100,233 (3)
3,691,945 (3)
4,865,806 (3)
5,595,639 (3)
6,133,001 (3)
5,550,251 (3)
6,759,516 (2)
6,314,851 (2)
7,127,092 (2)
CITY OF EULESS, TEXAS
REVENUE BOND COVERAGE
WATER AND SEWER BONDS
Last ten fiscal years
(Unaudited)
Net
Revenue
Available
for Debt
Service
$1,240,886
2,097,155
2,909,172
1,303,680
2,081,986
1,140,248
1,892,520
1,263,172
1,481,784
1,215,901
Debt Service Requirements
Principal Interest Total
$160,000
165,000
250,000
255,000
275,000
305,000
310,000
320,000
290,000
335,000
$170,075
475,323
422,923
406,625
390,012
372,300
347,301
327,288
312,925
199,341
(1) Includes operating revenues and interest on investments.
(2) Excludes amortization and depreciation.
(3)
TABLE 11
Coverage
$ 330,075 3.76
640,323 3.28
672,923 4.32
661,625 1.97
665,012 3.13
677,300 1.68
657,301 2.88
647,288 1.95
602,925 2.46
534,341 2.28
Excludes amortization and depreciation and includes theoretical debt service pay-
ments to Trinity River Authority treated as operating expense for bond coverage
purposes through fiscal 1989; subsequent to fiscal 1989, accounting for Trinity
River Authority payments was changed and is consistent with the debt service treat-
ment above.
Gross
Fiscal Revenues
Year (1)
1992 $ 391,839
Direct
Operating
Expenses (2)
$ 217,579
CITY OF EULESS, TEXAS
REVENUE BOND COVERAGE
DRAINAGE UTILITY BONDS
(Unaudited)
Net
Revenue
Available
for Debt
Service
$ 174,260
Debt Service Requirements
Principal Interest Total
$103,193
TABLE 12
Coverage
$ 103,193 1.69
Note:
(A) The Drainage Utility Fund had no outstanding debt or debt service prior to 1992.
(1) Includes operating revenues
(2) Excludes amortization.
and interest on investments.
CITY OF EULESS, TEXAS
DEMOGRAPHIC STATISTICS
Last ten fiscal years
(Unaudited)
TABLE 13
Fiscal Per Capita School Unemployment
Year Population (1) Income (2) Enrollment (3) Rate (4)
1983 28,200 $ 12,091 15,172 4.9%
1984 32,350 13,006 15,606 4.2
1985 36,050 13,940 15,248 5.0
1986 37,650 14,828 16,067 6.7
1987 38,700 15,739 16,818 6.9
1988 39,750 16,650 16,887 5.7
1989 40,250 17,560 17,011 5.8
1990 38,149 18,471 18,700 5.6
1991 38,369 19,382 18,707 7.0
1992 38,760 20,293 18,720 7.4
Sources:
(1) Estimates by North Central Texas Council of Governments as
adjusted for 1990 census data
(2) Estimates by City
(3) Hurst -Euless -Bedford Independent School District
(4) Texas Employment Commission
Fiscal
Year
CITY OF EULESS, TEXAS
PROPERTY VALUE, CONSTRUCTION AND BANK DEPOSITS
Last ten fiscal years
(Unaudited)
Construction (1)
Number Estimated
of Permits Value
1983 1,178
1984 1,139
1985 879
1986 443
1987 314
1988 405
1989 392
1990 559
1991 289
1992 276
Source:
Source:
Source:
$ 66,419,093
113,992,018
47,670,451
42,546,836
14,128,587
27,937,240
23,231,436
23,370,614
17,505,423
16,126,487
Bank Deposits
(3)
(000's)
$ 36,219
44,872
48,834
72,689
93,681
186,022
182,305
89,192
58,469
71,700
City Records
Tarrant County Appraisal District
Bank Records
TABLE 14
Property Value
$ 390,181,030 (2)
401,889,801 (2)
765,356,327 (2)
868,463,818 (2)
1,181,375,746 (2)
1,136,652,954 (2)
1,081,667,059 (2)
1,085,177,777 (2)
1,159,204,504 (2)
1,000,820,341 (2)
Fiscal
Year
1989
1990
1991
1992
(1)
Net Assets
Available
for
Benefits
$ 8,594,400
9,732,600
11,109,700
13,044,900
CITY OF EULESS, TEXAS
RETIREMENT PLAN - ANALYSIS OF FUNDING PROGRESS
Past Four Fiscal Years
(Unaudited)
(1)
Pension
Benefit
Obligation
$11,295,300
12,706,000
14,290,100
16,259,300
Percentage
Funded
76.09%
76.60
77.74
80.23
(1)
Unfunded
Pension
Benefit
Obligation
$2,700,900
2,973,400
3,180,400
3,214,400
Note: Data available for only the four years shown.
Sources: (1) Texas Municipal Retirement System
(2) City records.
(2)
Annual
Covered
Payroll
$6,781,968
6,756,115
7,059,604
7,567,856
TABLE 15,
Unfunded Pension
Benefit
Obligation as a
Percentage of
Covered Payroll
39.82%
44.01
45.05
42.47
CITY OF EULESS, TEXAS
MISCELLANEOUS STATISTICS
September 30, 1992
(Unaudited)
TABLE 16
Date of incorporation February 24, 1953
Date of adoption of Charter July 21, 1962
Form of government:
Home Rule, Council -Manager
Mayor - elected at large
Five council members
Area 16.9 square miles
Full time City employees 253
Police protection:
Number of stations 1
Number of certified officers 53
Fire protection:
Number of stations
Number of certified firefighters
3
45
Parks and recreation:
Number of swimming pools 3
Number of parks 19
Area of parks 398 acres
Community buildings 3
Library holdings 57,635
Education:
Elementary Schools 7
Junior High Schools 2
High School 1
-77-
CITY OF EULESS, TEXAS
MISCELLANEOUS STATISTICS
September 30, 1992
(Unaudited)
City Water and Sewer service:
Water service:
Number of customers
Maximum daily capacity available from
Trinity River Authority
Maximum daily capacity of City water wells
Total daily capacity
Maximum daily consumption
Average daily consumption
Water mains
Fire hydrants
Sewer service:
Average daily flow of wastewater
Number of customers
Sewer mains
TABLE 16
(Continued)
18,128
29,000,000 gallons
5,760,000 gallons
34,760,000 gallons
9,749,000 gallons
5,050,000 gallons
148 miles
1,130
3,420,000 gallons
17,783
125 miles
Streets:
Improved 144 miles
State highways 17.2 miles