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Home My WebLink About2006-02-16 Info Packet I;: 1 =....-....Itl... f.~~;!:~ -..;:.... _1Ill.i'<<"__ ......- ~ CiTY OF IOWA CiTY www.icgov.org CITY COUNCIL INFORMATION PACKET February 16, 2006 MISCELLANEOUS ITEMS IP1 Tentative City Council Meetings and Work Session Agendas IP2 Letter from the City Manager to Lane Plugge: Family Resource Centers IP3 Memorandum from the Budget Management Analyst to the City Manager: FY2007 Budget- Public Hearing Notice IP4 Memorandum from the City Clerk: Revised Meeting Schedule (April - September) IP5 Memorandum from the City Clerk: Absence IP6 Letter from Brian Flynn and Leah Cohen: Underage drinking IP7 Memorandum from the Community and Economic Development Coordinator: Iowa City Free Medical/Dental Clinics IP8 Email from Beth Koppes and Don Anciaux to Chief Hargadine: Criminal activity in the Broadway Neighborhood area PRELIMINARY/DRAFT MINUTES IP9 Senior Center Commission: January 17, 2006 IP10 Economic Development Committee: January 18, 2006 IP11 Planning and Zoning Commission: February 2,2006 IP12 Telecommunications Commission: January 24,2006 IP13 Board of Appeals: February 6,2006 COUNCIL PACKETS ONLY - AVAILABLE IN CITY CLERK'S OFFICE OR ON-LINE IP14 Comprehensive Annual Financial Report FY June 30, 2005 (Budget) I;; ! --= -~... :!:~~~;!:~~ -..:::...~ _..,~ --- - CiTY OF IOWA CiTY City Council Meeting Schedule and Work Session Agendas I o~-~t l February 16, 2006 www.icgov,org TENTATIVE FUTURE MEETINGS AND AGENDAS + MONDAY, FEBRUARY 20 Presidents' Day - City Offices Closed I + MONDAY, FEBRUARY 27 Emma J, Harvat Hall 6:30p Special Work Session/City Conference Board Meeting + TUESDAY, FEBRUARY 28 Emma J. Harvat Hall 7:00p Special Formal Meeting . MONDAY, MARCH 6 Emma J. Harvat Hall 6:30p City Council Work Session . TUESDAY, MARCH 7 Emma J. Harvat Hall 7:00p Formal Council Meeting . MONDAY, MARCH 20 6:30p City Council Work Session Emma J, Harvat Hall . TUESDAY, MARCH 21 7:00p Formal Council Meeting Emma J. Harvat Hall . WEDNESDAY, MARCH 29 4:30p-6:30p Joint Meeting - Local Jurisdictions Emma J. .Harvat Hall . TUESDAY, APRIL 4 5:00p 7:00p Emma J. Harvat Hall Special Council Work Session Formal Council Meeting . MONDAY, APRIL 17 6:30p City Council Work Session Emma J. Harvat Hall . TUESDAY, APRIL 18 7:00p Formal Council Meeting Emma J. Harvat Hall + MONDAY, May 1 6:30p City Council Work Session Emma J. Harvat Hall . TUESDAY, May 2 7:00p Formal Council Meeting Emma J. Harvat Hall rnJ I ~ I -~~-IIO... ~~q~'"y. -..;;:.... ...." ........ CITY OF IOWA CITY February 16, 2006 410 East Washington Slreet Iowa eily. Iowa 52240-1826 (319) 356-5000 (319) 356-5009 FAX www.icgov.org Lane Plugge, School Superintendent Iowa City Community School District 509 S. Dubuque Street Iowa City, IA 52240 Dear Lane: In response to your January 27 letter discussing issues and concerns associated with Family Resource Centers, I would agree it appears timely for us to discuss the future of this program and, in particular. the role of the various area governments. I would. like to suggest that at the next scheduled joint meeting of March 29, which is scheduled for the Iowa City City Hall, we would place on the agenda a discussion of these resource centers and related financing. This would seem an opportune time for such a discussion. Let me know. Sincerely, ~ Stephen J. Atkins City Manager cc: City Council rngrlllrllane.doc I ~ I --= -~.. !~~!:~ ..,;;;:....~IIDI~ ....... CITY OF IOWA CITY MEMORANDUM ~ To: Steve Atkins, City Manager ~~ 1e1 (/"^ Date: February 15, 2006 Re: Deb Mansfield, Budget Management Analyst FY 2007 Budget - Public Hearing Notice From: Attached are the state budget forms for Iowa City's FY 2007 proposed budget. The public hearing notice will appear in the Iowa City Press Citizen on Friday, 2/17/06, and this information will be available at the Library and City Clerk's office. A public hearing is scheduled on February 28, 2006, and adoption is scheduled on March 7, 2006. The proposed city levy tax rate for FY 2007 is $17.29662. Note that this is the city portion of the consolidated tax rate only. Iowa City currently is 46.22% of the FY 2006 tax rate. Per City Council direction, the addition of two police officers is included in the FY 2007 operating budget; and the Capital Improvement Plan has restrooms at Skate Park added in FY 2007. I I I Form 635.2A CITY OF Iowa City BUDGET SUMMARY Department of Management YEAR ENDED JUNE 30, 2007 Fiscal Years I ! SPECIAL DEBT CAPITAL BUDGET RE-ESTIMATED ACTUAL GENERAL REVENEUS SERVICE PROJECTS PERMANENT PROPRIETARY 2007 2006 2005 (A) (B) (C) (D) (E) (F) (GI (H) (I) Revenues & Other Financing Sources ~xes~c:lt'!~ on ProPElrty_ 77 21,725,341 -"'" __ 8,374,586 134 _~994,1_ll) 161 __ll ~~ 1--39,094,108 264 36,459,8~4 -"'" __ 34,81~~ l~ss: Uncolle~_~ _P...r:operty T~es::Levy Year _ 78 0 ---.!o~ 0 ~ f-- __0 162 -~ ~ 0 ~~ 0 295 0 -21 ,7i5~ ' 8,374:586 -39,094;108 -36,4~ ------ Net Current Property Taxes 79 108 136 8,994,181 163 0 236 266 296 34,813,572 gelinquan!.!'ropertyTaxes _ _____ 80 0 109 0 ~L-_ ___9 _1~ __.-----.fl 237 0 ~ --~ 29,7_.15,208 --,...- 236~_1,4~~ TI~~~ellen~~______ _ __. ___ 11.0 1,496,035 8~'-'= __I' .' ,- 268 836,53~ ~_____ 54~~ Other City Taxes _ ___ _~ _~_,O~~ J~ __~922~1 138 .165,289 _~65 _~ ~~ .1 ,382~?2? ~ __ _ ~ ,_3_~~ ~~ ~!it11~7 I Licenses & Permits 82 __ 1,219,543 1E _ -----;-d r-c 212 __-----.fI ~?~o~,_21_~,543 27.0 ___ 1 ,251 ,3~1 .-""c-_1,258,~~ -- -- -_.' 8? ~_8_4~c?~ ~seC?f_Moneyand_~ro~ _ J..-~=! _~95 _~__11~ 166 0 1941 1~ ~3 1,405,_153 ~ _ __?,440,048 271 _},JO~,817 301__ 2,458,1~0 Intergove~I!I8fl~~__ _ 84 3,131,280 114 7,2!.~ ~o__ 0 ~ __ 1i,945,12~ .4.26 ---.11 ,9~ 242 ~~21,003 272 24,680,891 _302 24_,6.9.!3.~_~ ~h~r~~~ for Fees__~_Serv~ 85 ~108,~~ ~____O 1.i!___._----.g 1~___~ 1!l51_ll ~4 34,355,143 ~ __ 38,463,252 2?_~ ~t?!63.Q,~ -'"' ,35,560,944 Specia~sessm~~_ ___ e6 0 1~______~~ .!..4..2 _____0 ~_____9 1961__,~ ~-.:.---~~ ~44 __ _____~ ~___O 304 --J:l Miscellaneous ." ~53,8911 J.Q__. 210,728 _!~~ _;._10~~ 170 0 ~~ 2,22~fJ.2() ~ __; 4,385,446 2?S _~,76?.!_~ ~_ 4,348,537 --- - .2?2._ 12,~5,_129 Sub-Total Revenues 88 33,939,136 ~__~?,593,564 144 9,372,304 1971 .---..1,383 ~ _ 49.950,141 246 123,801,657 276 107,118,351 306 104,960,511 - -- --- - _n__ ---- Other Financing Sources; ~-_._~ Transfers In 89_ 12,928.263 ~_ 590,121 _~45 __~,686,~~ ...!72~~9_9,_~ ~ _11,969,993 ~_38_,674,~~ 277 ~IF~279 307 _ ~6,015,273 -- --- Proceeds of Debt ~___ ___9 459 0 146 0 1.73>- 8,400,0~ _2_1~__,~ ~46~400,OOO ~ .?,300,000 308 _J,~9,~~ -- -- . - .i'ro~~ of Capitol ~sset Sales _ 91 285,216 147 0 174 __~ 1i6~_n 0 ~~ _~qoo ~ ___ _360,?16 279 680.332 309_J1!49,~_50 I Total Revenues and Other Sources 92 ----:If.f52:615 1201 18,183,685 1-4a ----:r2~b59,294 ~~5 -~44,696 -t~ ----'-.383 220 61,995,134 250 171,236,807 - 280~-164j69,962 310 149,074,658 Expenditures & Other Financing Uses f- - ~C~ I ~blicSafety__ ___m ___ _800 . 16,664,058 -"""_..~ ~~ ---~ _~ _16,763,~_?9 632 _...16,385,031 642 _ 14,926.071 PublicVllorks ~I__ 10,f?_81,0qf) 610___ 1.,86J 6~_ __0 -'36 ..J(),682,861 ~~ 9,731,724 643 _9,0_66~ ----- - - - , - - !:,eaJth and_S,?cial Services___ __ 802 0 ~- -~ 625 0 ~_______O 6341-_ 0 644 0 ~~_10-,33b)45 -- -- Culture and Recreation 612 0 626 __0 ~71~3q!?j5 ~~ 9,900,~74 645 _ 8974~~ ---,-------- ------ "'-",'" ~ 5_omml!nity ~nd EC?_~omJc DeveloPrn_ent 604 ____~__9,411 _~ __ 3,~71,743 0 ~__ 5,091,154 636 _~,477-,~ ...., Jl,23.5,,203 -~f-- ?978~469 = ,- -0 General Government 614 ______1?3,529 -~ 373 _~01 ,998 f-~~ _7,02g,7}(! 647 _,6,23.9~ --- -- - --- - - ---- 618[ Debt Service 806 0 ~_ 0 12,017,613 6211 ~~ 0 ~ __ 12,017,613 69~ _1J !?79~ .... . 14,769,493 I Capital Projects 607 0 616 0 23,610,870 630 0 441 23,610,870 639 21,285,402 649 14,354,817 Total Government Activities Expenditures 808 46,173,683 617 4,196,534 619 12,017,613 622 23,610,870 631 0 442 85,998,700 64<l 84,089,093 650 76,566,194 Business Type Proprielray: Enterprise & ISF 45,327,578 374 45,327,578 641 45,241,203 651 37,320,692 Total GOY & Bus Type Expenditures 97 46,173,683 125 4,196,534 153 12,017,613 180 23,610,870 205 o 225 45,327,578 255 131,326,278 285 129,330,296 315 113,886,886 Transfers Out ..!Q! _H1,776,870 129 14,836,295 -'-56 0 .~ _' 8,512,892 -~ f.- 0 229 _I3,51~ 259 ~8,674,93~ 289 48,671,279 ~ _. 36,039,6,22 -- - - " 12,017,613 - - ~32,829 Total ALL ExpendltureslTransfers Out 102 47,950,553 130 157 185 32,123,762 208 0 230 58,876,455 260 170,001,212 290 178,001,575 320 149,926,508 Excess Revenues & Other Sources Over 1031 1311 1581 2091 3211 (Under) ExpenditureslTransfers Out -797,938 .849,144 41,681 188 -279,066 1,383 231 3,118,679 261 1,235,595 291 -13,231,613 -851,850 Continuing Appropriation 652 0 653 o 654 o 655 0 _a.eg_i~ning!,und Bala!l_c!~ -- 104 16,232,927 ~- 3,467,672 1?~ _--.1,~~9.!_~~ ~7 _....4.,629,~ ~'0----.J2,1~ E2 68,445,821 ~ 94,728,106 ~~ __107,959,719 3~~~~11,~~ Ending Fund Balance June 30 -105 -------=f5A34,969 133 2,618,528 160 1,901,868 188 4,349,995 211 93,821 233 71,564,500 263 95,963,701 293 94,728,106 323 107,959,719 I Public Hearing Scheduled for February 28, 2006 I Budget Adoption Scheduled for March 7, 2006 ~~ Form 635.1 Do~rtmo"'orM"""goo<r!O<lI Adoption of Budget and Certification of City Taxes 52-483 FISCAL YEAR BEGINNING JULY 1, 2006 - ENDING JUNE 30, 2007 The City of: Iowa City County Name: JOHNSON Date Budget Adopted: ,"'-'.......... At a meeting of the Ctty Co~ncil, held aflerthe public hearing as required by law. 8S specified above. the proposed budget was adopted as summarUod and allaooed hereto, and lax le~es, as rtemized beklw, were approved for allloxable property ofth~ Clly There is allached a Long Term Debt Schedule Form 703 ((lr the debt sllMce needs, If any (319) 356.5041 ,-- ''- County Auditor Date Stamp January 1, 2005 Property Valuations With Gas & Electric Without Gas & Electric Lasl Oflicial Census ._-----~-----"_.-------------._-_.... ....----------------------------..... Regular .. 2,285,150,943 Zb 2,242,509,589 63,283 DEBT SERVICE " 2,362.935,842 " 2.320,294,488 Ag Land .. 1,581.682 TAXES LEVIED lA' 1'1 101 Code Dollar Request with Property Taxes Sec. LImit Purpose Utility Replacement Levied Rate 364.1 6,10000 Regular General levy 18,509,'Z23 _!,~J...164,328 ., 8,J~000 (314) Non-Voted Other Permissible Levies 1Z(') 0,67500 Contract for use of Bridge 0 ---Q .. 0 11(10) 0_95000 Opr & Maint publicly owned Transit ~1, 170"893 _l,1~_~_84 " J): 950.99_ 11(11) AmlNec Rent. Ins. Maint of Civic Center 0 0 .. 0 11(11) 0,13500 Opr & Maint of City owned Civic Center . ~_9_ 0 47 0 11(13) 0,06750 Planning a Sanitary Disposal Project 10 ~ ~-~ .. -----Q- 11(14) 0.27000 Aviation Authority (under sec.330A.15) " ~'L --" .. 0 12(15) Ami Nee Joint city-county building lease 12 9 0 " 0 lZ(16) 0_06750 Levee Impr, fund in special charter city " _ 0 -- ----_._-~,.. ~ " 0 11(16) AmtNec liability, property & self insurance costs " 83jI,QCLO __~1~0,400 " __ _ 9-, 36?_84 11IZZ) AmtNec Support of a Local Emerrl.Mgmt.Comm '" 0 0 .., 0 (364) Voted Other Permissible Levies 12(1) 0.13500 InstrumentalNocal Music Groups " Q 0 " 0 11(2) 0.61000 Memorial Building " 0 0 54 0 12(3) 0_13500 Symphony Orchestra 17 0 0 55 0 1214) 0,27000 Cultural & Scientific Facilities 19 0 _0 55 0 12(6) As Voted County Bridge 19 0 0 " 0 12(6) 1_35000 Missi or Missouri River Bridge Canst. " 0 _0 " 0 12(9) 0.03375 Aid to a Transit Company " m9 0 " 0 lZ(11) 0_20500 Maintain Institution received by gift/devise 22 0 --Q 00 0 12(19) 1,00000 City Emergency Medical District ,.. Q 0 ,.. 0 12121) 0,27000 Support Public Library " ~~ 616, 9~1 _~_JI05,478 " ().?7000 nE.n 1.50000 Unified Law Enforcement " 9- 0 " 0 Total General Fund Regular Levies (5 thru 24) " 22,133,607 21,720,590 364.1 3.00375 Ag Land " ___<4,751 4,]~1 " Total General Fund Tax Levies (25 + 26) " 22,138,358 21,725,341 Special Revenue Levies nu 0.27000 Emergency (if general fund at levy limit) " 87,827 ~_86,180 " 0.03843 384.6 AmiNe<; Police & Fire Retirement " __ nf,002,61J 1"96~,2~6 o'13.I~ AmtNec FICA & IPERS (if general fund at levy limit) 30 _<,2_11,930 2,170,660 096796 AmlNec Other Employee Benefits " ___~231l'~9_ ~52,566 1.85172 Total Employee Benefit Levin (29,30,31) " 8,446000 8,286,406 65 _~~j)~~04 Sub Total Special Revenue Levies (28+32) " 8,533,827 8,374,586 Valuation '" loR" With Gas & Elec Without Gas & Bee SSMID 1 ., ----,- ,,, " 0 .. 0 SSMID 2 ~ ,,, " ~ 07 0 SSMID3 IAl ,,, " u'L " --g SSMI04 IAl ., ", 0 eo 0 SSMID5 IN n 00 ", 0 '" 0 SSMID 6 (Al ., " 0 '" 0 Tota/SSMID (34 thru 37) '" 0 0 00 Not Add Total Special Revenue Levies (33+38) " 8,533,827 8,374,586 36404 Ami Nee Debt Service Levy 76,10(8) " 9,1?~,~!0 " 82~94, 181 70 3.87631 364.1 0.67500 Capital Projects (Capitallmprov. Reserve) " " 0 " 0 Total Property Taxes (27+39+40+41) " 39,831,655 " 39,094,108 " 17.29662 COUNTY AUDITOR - I certify the budget is in compliance with ALL the following: Budgets submitted that DO NOT meet the following criteria are not legal documents and will be returned to the crty for correction 1) The preselibed Notice of Public Hearing Burlget Estlmale (Fonn 631,1) was lawfully published, or posted If eppllcable, and notaliled. IIled proof was eWlenced 2) Budge\hear\rlonoticeswerepubl~hedorpostednollessthanloday5.normorethan20 days. pliorlo the budgel heating 3) Adopled properly ISMS do not ellceed published or posted emounls. 4) Adopted ellPendKures do not exceed published or posted smounts In each oflh enlneprogramsreas,orlnlolal. ("","",,_I I I I , , CITY OF Iowa City I Form6Jl.b DepartmentofMallagement I REVENUES DETAIL I Fiscal Year Ending 2007 Fiscal Years I SPECIAL DEBT CAPITAL BUDGET RE-ESTlMA TED ACTUAL , GE~~:"'L REVENUES SERVICE PROJECTS PER~:~ENT PROPRIETARY 2,~07 2006 2005 (A (8) (e) (D) (E (F) G) (H) (I) REVENUES & OTHER FINANCING SOURCES TaxesLe~iedonP_~p~___ _ __~ ~__ 21,725,~ f--- 8,37~,5f3,? I--~ ~,~~.181 c-~ --" __39,O94,~O8 _ 36~59.804 __ 34,8~2 Less: Uncollected Property Taxes ~ Le.lI)'nYear 2 -c~ I-- -~ I-- e-u-" 0 0 0 "Net Curie"itt Property Taxes (line 1 minus iine2)---i 21,725,341 8,374,586 8,994,181 - - 39,094,108 -'36,459,804 ----34,813.57'2 Delinquent Property Taxes 4 0 0 15,208 TIF Revenues 5 1,496,035 1,496,035 836,539 547,287 Other City Taxes: Utility Tax ~I!placement ~cise ,.axes 6 413,017 159,241 165,269 0 1472 737,547 __ 7~~~ 748,266 Parimutuel wager tax 7 ------0 ~-----. Gaming~ager~-- __ ____ _~ e-- ~ --- - - .----') ----~ I- ~- I-- ~-~ --~- ~~ 0 ---~ -------5? ---- I _ Mobile Home Taxes __ __ __ __~ -c= I-- - - -- I--u_-- 393 0 ---~ 0 i-- - _ 644,67~ -- ----- Hotel/Motel Taxes 10 _~4,~ I- - .~- - -- 394 t-- __ 625,92_0 __ _~911 - Othe~loca~9PtiC?nTaxes$_ ----- ---;~ -~,= -~ ~- - -165,289 /-. -~- ~~~ 1-- -.)! 1-- - -Q I-- _ 0 I Subtotal- Other City Taxes (lines 6 thru 11) 12 1,057,692 159,241 0 1,382,222 - 1,385,307 1,350,177 Licenses & Permits 13 1,219,543 1,219,543 1,251,381 1,258,569 Use of Money & Property ,. 843,273 77,405 112,834 1,383 1,405,153 2,440,048 2,106,817 2,458,160 Intergovemmental: Federal Grants & Reimbursements 15 ----.?8~,~ __ ~35!?-~0 0 _ 6,2~~0 __:1_:!J9,!,~4 399 __ 20,240,9.1_3 t-- 13,374-,-433 1---_ _1_4,978,0_02 State Shared Revenues- - --- -n -- ---- -- ~ ~29.704 ~~O~'l.g; ~--~ - -~--,~ 49.9. _ ~03'1~ I- _ ~~_3.4~0 1--_ 5,335,934: Other State- Grants & Reimbursements- --17 __ 222,828 -- -- _~,l?90,95~ _~ 174,121 ~ --.Z,_6_1~-,~ ~_ ~-,41~ I--~~'~ -l~Grant~_&-ReimbuiSe-mentsm--_ - _ _ -18 _ 1--,-812,567 314,626 -- 32,170 __n 11,969,025 ~ _2,159,363 _ ~,5t!~,-W ~30~~ Subtotal-Intergovemmental (lines 15 thru-18r-- 19 3,131,280 --7,275,569 0 -12,945,129 35,321,003 24,680,891 24,608,057 Charges for Fees & Service: Water Utility 20 -- ---- ---- ____ __m__ -- -- ~ -~-- ___ __ 9,2~,2~_8 ~-~ _ _ 9,294,~98 __ __ _m 9,_289,130 ___~,61~ -=}J8~~=-- --~~ -=-~ -- ~ - - -~-- -~ ~~- e---- __ ~:45.4!2 405 _ ~3,44~.412 I--- 1?,397.46_0 __ 12,~09,0~ --- - 406 1--__ __ _ 0 ~- --=-~--~ 0 ~- ---- ~- - ~-~ --- - - ~- -- 1----- -- - -- ....QasUt!LitL - --- _ - - - ------P u__ _ e--~- 1-- ---~ - -- I- - --- -~ ~.~ 40I I-- -- c!! __ _ 0 __P~rkit:!L__ _ __ m___ __24 --- - - - I- -- ~-- ----- ~- - ____3,..1_48,950 4!J_~ I-- ~148,9_?0 2,724,782 _ __~2,65_? Ai~rt 25 409 0 =-- .~O -----=}J --- -- - -- ----- - - _~~_- ?,158,26-5 _ m-~ 7 ~ 15l:\,?65 I - Landfill/Garbage - - - -- _ --26 ----- - ---- -- ---- - - -~ - I-'WI- _6,87J~5 ~85~ H9spital - - - --- --- 27 1-- -- I--~ - I--~ --- Ji-!1 0 _ __0 --- .~---d - --- ---- --- - - --- -- I --:rI!nsif --- -- --- -- 2.8 1--_ _12209,8~8 ------- ---- --- -~ - I-- ~- - 1-_ _u ~_2_ _____ 1,?09,888 ____ 1,~~2 --- ~~~~ Cable TV, Ir~ternet & Telephone m -- --- 29 I-- -~ I--~ -- --- ---- -~---~ /--~~~- - 1-__ ~6,218 ~- _____ 2~,?18 _m ___ 705,82.~ _ 686,33~ I Hous_in_9 Authorit}' _--=- ~ __=- _ ~ I--~- ~ -~ --- -~ -- I-~.. - ~O 0 0 269 -- -- --- --- -- --- -- -- - --- __Storm lJIJa_ter Utility___ __ m_~1 e- -..C 1------ c-~ ~-~- - - ~-- _~02,QQ.0 ~~1 I-- _~2,000 __ 625,qOO __ 590,147 ....Q!!Ier F_ees & Charge_s for Service -, ~ --.!2 -----.b898,~~ /-- - - 1-- -" - -0 ~,355:143 413 I-- 2,89~,22..1 __ 2,80Cl,459 __ _2,743,87_3 Subtotal- Charges for SerVice (lines-20 thru 32) 33 4,108,109 0 - 0 38,463,252 36,630,420 35,560,944 Special Assessments 34 0 0 0 I Miscellaneous 3. 1,853,898 210,728 100,000 2,220,820 4,385,446 3,767,192 4,348,537 , Other Financing Sources: I ()perating I!!l.!!!>~rs In _ -- -- -~ - .:12,9~~,_263 __ 590,121 ---- 2,~~.!!,~90 _n _10,499,:~ - -- - ~9~9,_9!~~ 1__ 38,674,934 ~- ~8,671,2}9 __ 36,O15,'?:?3 Proceeds of Debt 37 -~ -~ ~ c~ __ ~~O,QQQ 1--- ~- - 1--_ _ 8,4QO,~?~ -- EQ.O,OOO 1-___ I,049.!42~ I YiOceedS of...9~-pital Asset Sal_85--- ~- 38 -2-85,216 - -- -----,-- ----- -~- 7~0 1-_ __~60,_2~ _6_80,~~ _ _~9,~?_O , - -13,21 ;~~9 I Subtotal-other Financing Sources (lines 3t fhffl UJ 39 590,121 2,686,990 18,899,567 0 12,044,993 47,435,150 57,651,611 44,114,147 Total Revenues except for beginning fund balance I i (lines 3, 4, 5, 12, 13, 14, 19, 33, 34, 35, &. 39) 40 47,152,615 18,183,685 12,059,294 31,844,696 1,383 61,995,134 171,236,807 164,769,962 149,074,658 , Beainnin Fund Balance Jul 1 41 16,232,927 3.467,672 1,860,187 4,629,061 92.438 68,445,821 94,728,106 107,959,719 108,811,569 TOTAL REVENUES & BEGIN BALANCE iIna_41} 42 63,385,542 21,651,357 13,919,481 36,473,757 93,821 130,440,955 424 I 265,964,913 272,729,681 257,886,227 I * Enter the amount the City calculates to be attributable to property tax rellef_ The entry IS requIred but CAN NOT be made uSIng the software. , I i I F0fITI631aPl CITY OF Iowa City Departrr)enj of Management EXPENDITURES SCHEDULE PAGE 1 Fiscal Year Ending 2007 Fiscal Years SPECIAL OEBT CAPITAL BUOGET RE-ESTIMA TED ACTUAL GENERAL REVENUES SERVICE PROJECTS PERMANENT PROPRIETARY 2007 2006 2005 GOVERNMENT ACTIVITIES (A) (B) (C) (0) (E) (F) (G) (H) (I) Publie Safety P_olice DepartmenVCrime Preventi~1 _~,219,433 ~-~ 325 ~9,433 8,861,202 8, 176,1~0 Jail 2 327 0 0 0 ~~~~ency~arl-agement _ --- 328 ------- 0 0 3 0 Flood Control 4 329 0 0 0 ---..-- -- -~ ~- E}~e DepartmenL____ 5 5,513,~53 ~- -~ 330 5,513,853 5,378,167 4,925,953 Ambulance 6 331 0 0 0 ---- ---- ---..- 1,336,553 Building Inspections 7 1,336,553 332 - 1 ,298,802 ~ 1,137,040 Miscellaneous Protective Services -- 8 333 0 0 ~~- 0 -- - - _ 594,219 ~ ~- 575,684 Animal Control 9 5!li-219 349 546,238 - ---- -- J2t~e_r ~~blic Safety 10 99,401 334 ~ 99,401 271,176 140,680 TOTAL (lines 1 - 10) 11 16,664,058 ~ 99~401 0 16,763,459 16,385,031 14,926,071 Publie Works Roads, ~_~d~es, & Si<!~~I~~_ 12 2,794,250 ~-~ ----- 353 2,794,250 __2,688,3I4 __ 2,006,775 Parkin_9 - Meter an_d. O,,!-:Street 13 356 0 0 0 StreE!tLighting 14 j49,083 324 _~,083 ~20,m 421,192 J~C!ffi~_~ontrol~l!d_ Safety 15 _]88,355 _ 326 ~88,355 7~7,~O3 869215 Snow Removal 16 179,062 354 179,062 14~Z16 ~ ~50,643 Jli-gilWay E~gi~l!!ering __ 17 1,061,601 ---- -- 355 1,061,601 _1,051,324 _ 895,355 Street_Cleaning_ 18 27,7~0 __ ---- ----- 359 27,780 _~0_1S ~,230 Airpo!t_ __ (ifnC!!EnteJB~ 19 365 0 --~ 0 0 ----- -- Garb~ge_~~~t Enterprise) 20 358 0 ---- 0 0 Other Public Works 21 5,380,869 1,861 350 ~2,730 4,670,117 4,299,203 TOTAL (Iines- {2 ~--2~- 22 10,681,000 1,861 0 10,682,861 9,731,724 9,066,673 Health and Soeial Serviees __~Ifare Assistance 23 337 0 0 0 ----- - City Hospjt_~1 ____ ____ 24 338 0 0 0 ~- -- Payments to Pi!.vate_!j_o~pitaLs___ 25 339 0 0 0 _u_ ---- Health _l3egulation and l_nspe9~_ 26 340 0 0 0 - Wat~_r, f\ir, ~_I!d Mosquito S;ontrol ___ 27 341 0 ---- 0 0 ---- ~~m"!lul1_i~ Me!!!~1 Hea_L~~__ 28 342 0 ~~- 0 0 - Other Health and Social Services 29 343 0 0 0 TOTA[(Iines-23--2~ - 30 0 u 0 0 0 0 0 Form631aP2 CITY OF Iowa City DepartmenlofManagement EXPENDITURES SCHEDULE PAGE 2 Fiscal Year Ending 2007 Fiscal Years SPECIAL DEBT CAPITAL BUDGET RE-ESTlMA TED ACTUAL GENERAL REVENUES SERVICE PROJECTS PERMANENT PROPRIETARY 2007 2~06 2005 W ~ ~ ~ ~ ~ ~ ~ m Culture and Recreation Library ServiCl;ls_ __ ____ 31 4,6~8,149 __ f..-- .___ 344 ~,658,!~ __ 4,04:2~ _ 4,078,33~ Museum, Band and Theater 32 345 _ 0 0 0 Parks _-- -- __ - _~~ _~ -- 33 _f'?~~~I-_ - '-~ _ 346 1,7~3,860 __ 1,72~ 1,512,1~-5 Recreation ___ ___ 34 .?,71~~1-_ _ __ __ ___ 587 ___2,!_~t-__ _2!~?6,701 __ 2,407,170 Cemet~ry____ ___ _ ___ 35 ~~~~__ _ __ ~~ __ ~~ _ _ 379,~_~~ _~637 Community~enter,Zoo,&f.o1_arina_ ___ 36 _ ____ ____ ____ __ 347 ___ 0 __~ _..0 Other Culture and Recreation _ -----37 -- _ 824,691 _ -- 348824.691 696,815 681,286 I --i(YfAL (Jines31.3tf -- --------38-- {O,330,745 0 -- -0 --10:3~ -9,900,674 8,974,567 Community and Economic Development . _Cor:n_I!l_u!lityBeautifiqa~ _ 39 479,116 ____- ~ ____ 479,1_16___~~6,807 __4:~?,893 I ECQn?miCoev.e.IOPrT!~~_ -. 40 24.2.'954 ,,24~,~~ =.-- --- ~. ~,--- 1.4.9.?_'5..0~ _~,384'~. _____4J~ _l::!ouSI~gandu~a~Renewal_ ______ __41 __1,69~~~ ___ _ ~_ _~6_96.8?8__3,17'L.0_~4_ 1,795,539 Plannmg&~~nlng ______ _ _____ 42 697,~ _ __ ___ 379 _~9!,~1 . t!~5~ _ 633,387 other Com &_E_con Deve!~pme~ __ 43 --_-----:-:--c -- _ 72~ -- 370 ~-~25,310 -- 719,865 620,543 TOTAL (lines39-43) 44 1,419,411 -- 3,671,743 - 0 --5,091,154 8,477,301 8,235,203 General Government Ma}'oL_Council,~GityManag~_ ___ 45 593,080 ___ __ _ 375 ~3~080___611,011___ __582,265 Clerk., Treasure~, /J._J"inance ~dm__ ____ 46 2,916,05_5 _ __ _ ____ __ __ ~~ ~1l16,055 _2,876,~ ?-'~ ~~:;o;:rvices & City Attorney - --- -:~ -~29~788 -- -- -- ;;~ ~_ _6?9;78~ ~- 61~ -565,3f~ CitY.J:i<!lf&_ge-neraIB~il(jin9.~-=~ __ _~1- _ 462,726 -- ~_ __--= ~l!Q.I--_ 4~~ _--- _ 465~648 - 427,~ Tort Liapility 50 836,000 382 __ 836,000 766,069 _ _ 7{)6,402 Ot~erJ3eneraIGovelT1ment~ ---------s1 --1,640,820 423,529 _ _ ,,- ~~___ __ -2,064,-349 -~96,460 ----1,~_~~ TOTAL (lines 45- 5~ - --- ---52 7,078:469 --423,529 0 ~ifj~998 -- ~~029;730 --- 6,239,370 Debt Service 53 12,017,613 12,017,613 11,279,231 14,769,493 Capital Projects 54 23,610,870 23,610,870 21,285,402 14,354,817 TOTAL Government Activities Expenditures (fines 11+22+30+38+44+52+53+54) 55 46,173,683 4,196,534 12,017,613 23,610,870 0 I 85,998,700 84,089,093 76,566,194 I BUSINESS TYPE ACTIVITIES 'I _~~roprietary: Enterpris~8.Budgeted IS~ -- Water Utility _n_ ____ ~~ __ 6_,3~ 360 __6,314,906 6,488,477 _ 5,841~~9!i1' I J5ewer~.!illty __ __ ____ ~ ____ 5,2_43,06~ 357 __5,24j~ _ 5,218~936 ___ 4,737,4_~ _Ele_0.r!~Utll'ty___ __ ___ _~~ _n_ ___ ~_l?~__ ______~ ____nO ___0 Gas Utility 59 362 0 0 -0- -Airport _ :~~ - __=_~ ___ ~ - ~?,67~ ~ _ __ 292,~?71_ __?88,482 ~ -_=--- 54(295 Land~llIGarbag~ ______ 61 _~4,840 ~ -- ~~,8401__-5,074,310 5,'-?52,422 Transit ___ 62 __ --.--:-:-:C ~~- __ _01--___..9 _ __0 Cable TV, Internet ~ Telep_~one __ ___ 63 _ 55~ 443 ___ 550,-~~ __ _ 5~_8,494 _ 567,420 _Housi~.9_~~thon!y__ _______ _____ _~ ___ 7,~32,516 444 ___ 7,7~~ _ ?,278,4~1 ~,8~J. __~.!o!!ll WaterYtility __ _ _~5 __ 442,988 4_~ __ __442,9~8 ___~15,_8~5 ___ 2~6,685 _Other BUSiness Ty~ (City hosp ,ISF pa~n~etc) __~ _ 3,606.460 446 3,606,460 _ 2,694.455 2,312,648 En!l:l_rprise OEB~ SERVICE ____ __67 10,283-,065 447 10,2~3,065 ~55,2~O _ 10,321,021 Enterprise CAp.ITAl PROJECTS . . .. 68 -----S:-466,400 448 -------s.-466:400 - -- --6,9.09,473 - - - 0 TOTAL Business Type Expenditures (lines 56 _ 68) -69 45,32i~578 ~,327,578 - - -- 45,24-f203 37,320,692 I TOTAL GOV& BUS TYPE EXP. (lines55+69) 70 46,173,683 .4,.'.96,534 . 12,017,613 23,610,870 0 45,327,578 131,326,278 1.2.9,330,296 113,886,886 Transfers Out 71 1,776,870 1~_,~36,295 ___ 8,512,892 13,548,/E?: _~E?74,9~4 __ 48,67~ _ 36,039,622 Total Expenditures & Other Financing Uses (~nes 71 +72) 72 47,950,553 19,032,829 12,017,613 32,123,762 - - 0 58,876.455 170,001,212 178,001,575 149,926,508 Continuin Appropriation 73 0 0 0 0 Endlna Fund Balance June 30 74 15,434,989 2,618,528 1,901,868 4,349,995 93,821 71,564,500 95,963,701 94,728,106 107,959,719 , . A continuing appropnation IS lt1e unexpended budgeted amount from a pilar year's capital proJed:_ The entry IS made on the Con Approps page that must accompany the budget forms If used_ SEE INSTRUCTIONS FOR USE I I i ,-~ DopO......."'ofM....5/0monl LONG TERM DEBT SCHEDULE GENERAL OBLIGATION BONDS, TIF BONDS, REVENUE BONDS, LOANS, LEASE.PURCHASE PAYMENTS F1scaIY.. City Name: Iowa City "" Principal Interest Bond Registration Total Obligation Amount Paid by Other Amount Paid by Current Project Name Amount of Dale certified DueFY OueFY DueFY DueFY Funds & Debt Service Vear Utility Replacmenl and Issue To County Auditor 2007 2007 2007 2007 Fund Balance Debt Service Taxes (AI (B) (C) (0) ->{E) ->{F) ~(G) ~(H) ~(I) In 4197 Mullipuroose 5,200,000 Februarv-97 500,000 23.500 523,500 0 523.500 I" 11/97 Mulli p,..-t'J'o'>oo 5,540,000 November-97 300,000 163,950 463,950 463,950 0 '" 4198 MulIiPumnse 8,500,000 M<reh-98 575,000 181,288 756,288 0 156,288 I 141 3199MuIliPu~^"" 9,000,000 MarCh-99 475,000 260,538 735,538 0 735,538 I '5' 71OOMultiPumose 14,310,000 J"_ 675,000 512,598 1,247,598 0 1,247,598 I I,,, 6/01 MuItiP'''''''-''''' 11,500,000 June-03 670,000 368,105 1,038,105 0 1,038,105 1m 5J02MultiPu"'ose 29,100,000 March-Q2 1,795,000 1,015,980 2,810,980 791,800 2,019,180 I '8' Hl/02 Refundinnl110J92 Caoital Loan Notes, 1994,1995&1996Mu 10,600,000 October-Q2 1,395,000 154,113 1,549,113 1,248,040 301,073 '" 12103 Multi Pumose 5,570,000 November-Q3 570,000 142,845 712,845 0 712,845 10' 1104 Taxable GO lJrtlan Renewal Bonds 7,305,000 Febru~"'-04 3~,353 3~,353 354,353 0 111 MulliPurnn<:l'FY05 7,020,000 March-Q5 630,000 231,113 861,113 0 861,113 ," MuIliPu~oseFY06 7,400,000 """""'. 740,000 224,230 964,230 0 964,230 13' 0 0 '" 0 ~O 15' 0 0 I 161 0 0 171 0 0 I 18' 0 0 191 0 0 '" 0 0 I 21' 0 0 '" 0 0 '" 0 0 I 24' 0 0 '51 0 0 26 0 0 I "" 0 0 '" 0 0 29' 0 0 [301 0 0 I 10TAlS 8,325,000 3,692,613 0 12,017,613 2,858,143 9,159,470 I I I I , I ~ j !~~~'t ",-... ~""'~ .....~ CITY OF IOWA CITymJ MEMORANDUM DATE: Febrmiry 16,2006 TO: Mayor and City Council Marian K. Karr, City Clerk ~~ FROM: RE: Revised Meeting Schedule (April - September) At your work session of February 13 Council agreed to the following meeting schedule: April 4 - combined special work session (5PM) and regular formal April 17, 18 May 1, 2 May 15, 16 Jnne 12, 13 - special work session and special formal June 26, 27 - special work session and special formal July 17, 18 July 31, August 1 . August 21, 22 - special work session and special formal September 5 - combined special work session (5PM) and regular formal September 18, 19 Special meetings will be called as necessary. Cc: Department Heads Cable TV Maintenance U: schedule (April- SeptembertJ6) I ~ I -....= -~ ;t~w!':'t '-... -='m~ .."...~ CITY OF IOWA CITY~ MEMORANDUM DATE: February 16, 2006 TO: Mayor and City Council . ~ Marian K. Karr, City Clerk \\" FROM: RE: Absence I will be out ofthe office next week, February 20-24, and will return on February 27th. Please contact Deputy City Clerk Julie V oparil with any questions you may have during that time. 2/14/2006 Q.C,: AiR Council Members, Mr. Atkins, and Chief Hargadine, The ICAAB has continued to improve efforts in establishments in Iowa City. We recently held an "all-establishment" meeting last Wednesday to discuss some of the concerns and issues that continue to impede much of our progress regarding excessive and underage drinking in our community. Although many establishments were represented, either by owners and management, it was blatantly obvious that no matter how much effort and influence the ICAAB maintains with most of the establishments in the downtown area, as a Board, we cannot enforce the laws and ordinances that Iowa City has in place. Therefore, we simply request that the laws and ordinances already in place be used, and enforced, to assist our efforts in reducing excessive and underage drinking. Certain establishments downtown, do not participate, nor support the efforts of the ICAAB and the City ofIowa City. Many of these establishments operate on the sole basis that their business has no danger of being shut down by the City or Iowa ABD and continue to manufacture operating capital through promoting specials that encourage excessive drinking. This does nothing more than force responsible owners and operators to compete on a level they do not want nor need in our community. The remedy is simple, the establishments that want to be irresponsible should be forced to take responsibility for many of the issues that have magnified, the already overwhelming trend that exists throughout the entire country in regards to excessive and underage drinking. Policing of these establishments needs to be firm and needs to send a message that the City ofIowa City, the ICAAB, and our community will continue to thrive and that that goal will not be overshadowed by issues created by a few irresponsible individuals. Thank you for time and your support of the ICAAB. Regards, Brian J. Flynn ICAAB Co-Chair Leah J. Cohen ICAAB Co-Chair ~ r-..> 0 = = <:r' :2:0 -T1 )>::::; fT1 -n co --/ - 0' r- ==iO .s::- m :<r -0 ["1; 0 0-':) ::l: .- /'- .r- ~ en MEMORANDUM uw DATE: February 14, 2006 WfJ/ ~4 . tpuwcd-- RE: City Council Steven Nasby, Community and Economic Development Coordinator ~ Iowa City Free Medical\Dental Clinics TO: FROM: The Free Medical Clinic and Free Dental Clinic are planning on moving their operations from the Wesley Foundation Building (120 N. Dubuque Street) to the Towncrest area. They anticipate moving on or about April 1, 2006. CDBG funds in the amount of $62,776 ($25,000 Declining Balance Loan and $37,776 Grant) were awarded to the Free Medical Clinic in FY97 for the renovation of their space at 120 N. Dubuque Street. The CDBG award in the form of a declining balance loan had an expiration date of June 30, 2007. The Free Medical Clinic requested that the remaining balance of the FY97 CDBG loan be forgiven. The following is an excerpt of the Housing and Community Development Commission (HCDC) minutes from January 19 with the presentation by Valdean Lembke from the Free Medical Clinic. Lembke said that the Free Medical Clinic has been housed at the Wesley Foundation for a long time. He added that the number of patients and frequency of visits had increased dramatically. He stated the current facility and working conditions are making it hard to effectively attract and utilize the staff and community volunteers. Lembke said that they found a building in Towncrest that offers more space and amenities for medical offices. He stated that the Towncrest property was vacant for several years, but is in very good shape. He said that it was built as a medical facility, proVides parking, offers a subsidized rent, and proVides a win-win opportunity. The Housing and Community Development Commission voted to recommend approval of Free Medical Clinic's request and to amend the FY97 CDBG Agreement. As these FY97 CDBG funds pre-date the Council's CDBG\HOME Investment Policy and the request is not a significant change (as defined in CITY STEPS) an amendment to the FY97 CDBG Agreement by and between the City and Free Medical Clinic was executed as recommended by HCDC. If you have any questions or need additional information please contact me at 356-5248 or via e-mail at Steven-Nasbv(liliowa-citv.ora. Cc: City Manager Director of Planning and Community Development HCDC Marian Karr uw From: Sent: To: Cc: Subject: Randal Koppes [rkoppes@mchsLcom] Saturday, February 11, 20064:55 PM Sam-Hargadine@iowa-city.org council@iowa-city.org; marcia-klingaman@iowa-city.org; anciaux@mchsi.com Shooting on Broadway/Cross Park Chief Hargadine, My name is Beth Koppes, and I am currently acting as co-President of the Wetherby Friends & Neighbors Neighborhood Association. I along with Don Anciaux, the other co-president of the association, are very concerned that there has been an increase ~n criminal activity over in the Broadway Neighborhood Area. Last time that this type of activity occurred it spread into the adjoining residential neighborhoods. This side of town already has had its share of issues over the last few years, and we have tried to work hard to improve the working relationship with the city and the landlords of the area. Last time, in 1998, that a shooting occurred in our neighborhood, the police and neighborhood association handed out fliers to the entire area to explain to everyone in our neighborhood how to identify gangs. We also held joint neighborhood meetings with the police and city officials to try to stop the violence. What is going to be done about this situation? the area? Since the neighborhood watch program neighborhood take to assist the police? Is there going to be increased patrols of is now defunct, what other steps can the Feel free to contact either of us directly. Thanks, Beth Koppes and Don Anciaux 1 ~ DRAFT ~ JANUARY 2006 MINUTES SENIOR CENTER COMMISSION JAN UARY 17, 2005 G08- SENIOR CENTER Call to Order: Members Present: Meeting called to order at 2:00 PM Bob Engel, David Gould, Jay Hanahan, Jo Hensch, Betty Kelly, and Sarah Maiers Nancy Wombacher Michelle Buhman, Linda Kapping, Julie Seal and Susan Rogusky Lynn Campbell Members Absent: Staff Present: Others Present: RECOMMENDATIONS TO COUNCIL None. The meeting was called to order by Hanahan at 3:00 p.m. APPROVAL OF MINUTES Motion: To approve the minutes as amended. A correction was made to the membership report to change the word decease to decrease. Engel/Maiers. Motion carried on a vote of 6-0. PUBLIC DISCUSSION None COMMISSION ASSIGNMENTS Hanahan agreed to visit the Board of Supervisors and City Council to report on today's meeting. Hanahan will write the web article for the February meeting. REVIEW OF COMMISSION OPERATING PROCEEDURES- Hanahan Hanahan suggested that the Executive Committee (Kelly, Hensch and Hanahan) meet to discuss steps that could be taken to increase the effectiveness af Commission meetings. Committee members agreed to meet at 10AM on Friday, January 27,2006. DRAFT JANUARY 2006 REPORT ON ASSEMBLY ROOM RENOVATION PLANS- Honohan The following people have agreed to serve on this committee: Craig Buhman, John Conner, Diane Flemming, Jo Hensch, Glenn Jablonski, Sally Jablonski, Betty Kelly, Linda Kopping, David Purdy, Dawn Rogers. The Committee plans to meet on Friday, February 3,2006 at 10 AM. REPORT ON COMMITTEE TO DEVELOP A PLAN FOR DONOR RECOGNITION- Honohan Jay Honohan, lna Loewenberg, Fran Austin, Loren Horton, Linda Kopping and Michelle Buhman have agreed to serve on this committee. No meeting date has been set. SENIOR CENTER ASSET REPORT -Kopping Kopping reviewed the Center's proposed Financial Plan for 2007-2009 that is being considered by the City Council. She noted that the request for an additional half time Program Specialist has not been included in the current proposal. Honohan and Kopping plan to request that this position be reincorporated in to the proposal when they meet with the Council later this month. Kopping also noted that the funding for fitness and SCTV equipment in the proposed budget is to be paid by the Senior Center Fund lnc's, Charitable Giving account. The Spring 2006 Program Guide has been submitted to document services and should be available in mid February. This issue includes a special section highlighting Older Americans Month programming that is being organized by our partners in service to seniors, the AARP and the Johnson County Task Force on Aging. Programs - Seal Seal distributed list of public events and classes scheduled to take place in February 2006. For a complete listing of Senior Center programs, see the 2005/06 Winter Program Guide. Volunteers - Rogusky Rogusky reported that the first of the Holistic Therapies series brought in approximately 25 people. Those who attended reported that they enjoyed the event. Rogusky is looking for people to volunteer to work in the Gift Shop. The number of people willing to work in the shop has declined over the years. The core group of volunteers will meet next week to discuss the future of the shop. Memberships and Fundraising Reporl- Buhman 2 DRAFT JANUARY 2006 Buhman distributed a membership and revenue report. As of January 17, 2006 the Center had 971 members, an increase of 33 members since the December 27, 2005 meeting. COMMISSION DISCUSSION: Kelly reported that she has received some requests to hold a public forum to discuss the Senior Center's Strategic Plan and Goals. The Commission discussed the idea and decided that rather than hold a special meeting they would make a more obvious effort to invite the public to attend their regularly scheduled meetings or contact Commission members directly. Motion: To adjourn. Motion carried on a vote of 6-0. Maiers/Hensch. 3 DRAFT JANUARY 2006 Senior Center Commission Attendance Record Year 2006 Name Term 1/24 Expires Bob Enqel 12/31/08 X David Gould 12/31/08 X Jo Hensch 12/31/06 X Jay Honohan 12/31/07 X Bettv Kellv 12/31/07 X Sarah Maier 12/31/06 X Nancy 12/31/06 OlE Wombacher Key: X= 0= O/E= NM = Present Absent Absent/Excused No meeting Not a member 4 (][J MINUTES CITY COUNCIL ECONOMIC DEVELOPMENT COMMITTEE WEDNESDAY, JANUARY 18, 2006 CITY HALL, CITY MANAGER'S CONFERENCE ROOM 1!l.:Iili.mlliiW'liiiIYiI~ ft'TI]~~!t ~"lJnM!l\~HfJi Members Present: Regenia Bailey and Bob Elliott Members Absent: Connie Champion Staff Present: Steve Atkins and Steve Nasby Others Present: Randy Hartwig, Joe Raso, Lynn Rowat, Harry Wolf, Bart Floyd, Dan Jackson, Bill Bywater, Rich Colagon, Tim Gohlson CALL MEETING TO ORDER Nasby started the meeting as this meeting is the first for the new term of the Council Economic Development Committee. Nasby asked Bailey and Elliott for their concurrence of the actions of the City Council organizational meeting that were to appoint Champion and that Bailey would be the Chair as she is Mayor Pro Tem. Bailey and Elliott agreed. Chairperson Bailey called the meeting to order at 2:40 PM. APPROVAL OF MINUTES Bailey asked if there were any corrections to the minutes as presented for September 13, 2005 and December 15, 2005. Elliott moved to approve the minutes and Bailey seconded. Motion passed 2-0. IOWA CITY AREA DEVELOPMENT (ICAD) GROUP PRESENTATION Raso introduced himself and asked that the members of the ICAD capitai campaign committee introduce themselves and identify their business. Raso distributed a handout to the Council Economic Development Committee. Raso reviewed the materials and asked the committee to pay special attention to the highlights and the study data regarding Return on Investment (ROI), payroll and capital investment. He noted that the ROI numbers for ICAD were two to three times higher than comparable economic development groups. Raso mentioned some of the unique work products done by ICAD, and local partners, which included the Wage & Benefits survey, synchroist interviews and location information. He also noted that ICAD is leading efforts on a new program called "Work Certified Employees". Raso said that ICAD is a leader in regional efforts through the Technology Corridor, Regional Cluster Analysis and job fairs. Bill Geringswald introduced himself as the consultant assisting ICAD with the capital campaign. He said that the capital campaign plan was arrived at through consultations with investors, community leaders and others. Geringswald said that economic development organizations need to be aggressive on a local, state, national and world-wide level to remain at the forefront. He noted that ICAD's numbers are excellent and that the organization is going the job of one twice the size. Geringswald handed out information with 2001-2004 ICAD activities highlighted. Raso said that the "ask" to the City of Iowa City was $500,000 in the form of $100,000 annually. He said one of the functions ICAD wants to enhance is the pursuit of additional state and federal funds. Bailey and Elliott thanked Raso and Geringswald for the presentation and asked the City Manager to place this item on one of the Council's budget work sessions. Atkins acknowledged that it would be included, possibly on January 31. AVIATION COMMERCE PARK UPDATE Nasby said that Randy Hartwig from the Airport Commission was present. Hartwig began by stating that is the goal of the Airport to become self-sufficient and the sale of the property in the Aviation Commerce Park North, when completed, would provide the Airport with a large sum of funds. Hartwig said the Airport is a valuable community asset as shown by its use by local companies and excellent location. Elliott agreed and said that the Airport needs to get that message out to the citizens. Hartwig said that the Airport Commission and City staff have also been discussing the potential for another such development on the south side of the airport after the N\S run way is closed and acknowledged that the closure could be prior to the completion of the extension of the EIW runway. He said that discussions would be needed with the Federal Aviation Administration (FAA) regarding aviations uses, safety and airspace. Hartwig noted that an update to the Airport Plan would also be needed as part of this discussion. He estimated that a study would take 2-3 months and then the FAA review. Bailey asked if the update to the Airport Plan was in the budget. Hartwig said no, but a cost would likely be $15,000. Bailey asked what, if anything, Hartwig needed from the Economic Development Committee. Hartwig said support for the $15,000 to update the Airport Plan. Bailey said that the consultant would be getting the information necessary to move along the possibility for Aviation Commerce Park South. Elliott asked if the update could be done by City staff. Bailey said that a consultant would have the specific expertise needed to update the plan, anticipate and address FAA guidelines and make recommendations to the Airport Commission. Hartwig thanked the committee for the opportunity to meet. Elliott made a motion to adjourn. Bailey seconded. Motion passed 2-0. Minutes submitted by Steve Nasby. Council Economic Development Committee Attendance Record 2006 Term Name Expires 01/18 Regenia Bailey 01/02/08 X Bob Elliott 01/02/08 X Connie Champion 01/02/08 OlE Key: X = Present 0 . = Absent OlE = Absent/Excused NM = No Meeting -- -- = Not a Member MINUTES PLANNING AND ZONING COMMISSION LOBBY CONFERENCE ROOM FEBRUARY 2, 2006 PRELIMINARY J][) MEMBERS PRESENT: Ann Freerks, Bob Brooks, Don Anciaux, Beth Koppes, Wally Plahutnik, Dean Shannon MEMBERS EXCUSED: Terry Smith STAFF PRESENT: Bob Miklo, Sunil Terdalkar, Mitch Behr OTHERS PRESENT: Glen Meisner, Kevin Parrott RECOMMENDATIONS TO CITY COUNCIL: Recommended approval by a vote of 6-0, (Smith absent) SUB05-00032, a final plat for Galway Hills Subdivision Part IV, a 24-lot residential subdivision located on approximately 1 0.41-acres of land south of Melrose Avenue and East of Hwy 218 subject to Staff approval of legal papers prior to consideration by City Council. Recommended approval by a vote of 6-0, (Smith absent) SUB06-00001, a final plat for Parrott Estate Addition, a 17.94-acre, 2-lot single-family residential subdivision located on Conklin Lane. CALL TO ORDER: Brooks called the meeting to order at 7:30 pm. PUBLIC DISCUSSION OF ANY ITEM NOT ON THE AGENDA: There was none. DEVELOPMENT ITEMS: SUB05-00032, discussion of an application submitted by Dav-Ed Limited for a final plat of Galway Hills Part IV, a 24-lot, 1 0.41-acre residential subdivision located on Galway Drive Terdalkar said this was the final plat for a 24-lot residential development on approximately 10.41-acres of land. The rezoning and preliminary plat were currently pending before City Council. Staff recommended approval of SUB05-00032, subject to Staff approval of legal papers prior to consideration by City Council. Freerks asked if the location of the water feature was unusual or would be problematic with respect to the safety of the neighborhood children. Miklo said he thought the particular location was due to the topography of the land. It was an already existing pond. The ponds in the Wellington development had raised concerns about neighborhood children being attracted to them. The neighbors in that area had come before the Commission to express their concerns about safety which had been addressed with fencing and the planting of evergreens to screen and block the area from public access. He said none of the existing residents in the Galway Hills raised such a concern. Public discussion was opened. Glen Meisner, MMS Consultants, said he was there to answer any questions the Commission might have. Public discussion was closed. Motion: Plahutnik made a motion to approve SUB05-00032, a final plat for Galway Hills Subdivision Part IV subject to Staff approval of legal papers prior to Council consideration. Anciaux seconded the motion. The motion passed on a vote of 6-0 (Smith absent). Planning and Zoning Commission February 2, 2006 Page 2 SUB06-00001, discussion of an application submitted by Kevin Parrott for a final plat of Parrott Estate Addition, a 2-101, 17.95-acre residential subdivision located on Conklin Lane. Terdalkar said the applicant had requested that the name of the subdivision be changed to Parrott's Estate Addition from Lacy's Run Addition which had been approved on the preliminary plat. Most deficiencies had been corrected, Staff recommended approval of SUB06-00001. Plahutnik asked if the 50-foot wide right-of-way (R-O-W) dedication would permit sidewalks, especially in the area of the existing house. Miklo said it was the City's intent to acquire the R-O-W now and when the street was developed at some point in the future, there would be room for sidewalk(s) on both sides. The installation of the sidewalks would be tied to the development of the street. Public discussion was opened. Glen Meisner, MMS Consultants, said three brothers would be living on the property of their parent's. Kevin Parrott intended to build a home on lot #2; a second brother lived in the existing home and a third brother would build on a parcel as indicated on the site map. Public discussion was closed. Motion: Freerks made a motion to approve SUB06-00001. Koppes seconded the motion. The motion passed on a vote of 6-0 (Smith absent). OTHER ITEMS: Miklo said a larger, revised zoning map had been included in the Commissioner's information package. It showed the central area in an easier to read format. At the previous meeting, Staff had been requested to investigate the status of the driveway at the corner of the Bud Lewis property and Foster Road. The agreement had been that when Mr. Lewis or his wife no longer resided on the property, then the drive would be closed. At this time Mrs. Lewis still resided on the property. ELECTION OF OFFICERS: Motion: Anciaux made a motion to nominate Bob Brooks as Chairperson of the Planning and Zoning Commission. Motion: Koppes made a motion to cease nominations. Motions passed on a vote of 6-0 (Smith absent). Motion: Shannon made a motion to nominate Ann Freerks as Vice Chair of the Commission. Motion: Koppes made a motion to cease nominations. Motions passed on a vote of 6-0 (Smith absent). Motion: Anciaux made a motion to nominate Beth Koppes as Secretary for the Commission. Motion: Freerks made a motion to cease nominations. Motions passed on a vote of 6-0 (Smith absent). CONSIDERATION OF 1/19/06 MEETING MINUTES: Motion: Anciaux made a motion to approve the minutes as typed and corrected. Koppes seconded. The motion passed on a vote of 6-0, (Smith absent). ADJOURNMENT: Planning and Zoning Commission February 2, 2006 Page 3 Motion: Koppes made a motion to adjourn the meeting at 7:47 pm. Anciaux seconded the motion. The motion carried on a vote of 6-0, (Smith absent). Elizabeth Koppes, Secretary Minutes submitted by Candy Barnhill s:/pcd/minuleslp&zl20Q6IOZ.02-06.dOC Iowa City Planning & Zoning Commission Attendance Record 2006 , FORMAL MEETING i I Term Name Expires 1/5 1/19 2/2 D. Anciaux 05/06 X X X I B. Brooks 05/10 X X X ! A. Freerks 05/08 X X X I E. Koppes 05/07 OlE X X , W Plahutnik 05/10 X OlE X I D.Shannon 05/08 X X X T. Smith 05/06 X X OlE INFORMAL MEETING Term Name Expires D. Anciaux 05/06 B. Brooks 05/10 A. Freerks 05/08 E.Koppes 05/07 W Plahutnik 05/10 D.Shannon 05/08 T.Smith 05/06 Key: X = Present 0 = Absent OlE = AbsenUExcused N/M= No Meeting MINUTES IOWA CITY TELECOMMUNICA nONS COMMISSION MONDAY, JANUARY 24, 2006--5:30 P.M. CITY CABLE TV OFFICE, 10 S. LINN ST.-TOWER PLACE P ARKING FACILITY JJfr6] DRA IP12 MEMBERS PRESENT: Gary Hagen, Saul Mekies, Michael Christians MEMBERS ABSENT: James Ehrmann, Bebe Ballantyne STAFF PRESENT: Drew Shaffer, Mike Brau, Dale Helling, Sue Dulek OTHERS PRESENT: Josh Goding, Kara Logsden, Susan Rogusky, Kevin Hoyland, Lee Grassley, Michael McBride, Phil Phillips RECOMMENDATIONS TO CITY COUNCIL Hagen moved and Christians seconded a motion to recommend to the City Council that the P ATV contract be extended. The motion passed unanimously. SUMMARY OF DISCUSSION McBride distributed UITV's annual report. Over the past year 224 programs were produced. Mekies said that UITV has improved substantially over the past few years. Goding reported that contract negotiations are continuing and a meeting will be held this coming Thursday, January 26. The school district has requested a bid for equipment upgrades. Hardy reported that the Media Unit has been working with the public works department on several project videos. The Community Television Service is working with Mercy Hospital on a series of programs promoting a healthy heart. The programs will feature a talk by Mercy doctors followed by an on-line chat. The CTS will also be taping a program on the Avian flu, the Emma Goldman Choice Dinner, and the Yoderville Biodesiel Coop. The most recent Avatar program was on binge drinking and the proposed 21 only bar admittance ordinance. The next program will be on the Englert Theater on February 13. Logsden said the library will be taping a new program beginning in February called "International Mondays", which is hosted by the University ofIowa. Shaffer reported the U.S. Senate will be holding a series of hearings regarding telecommunications issues over the month of February. Of particular interest is the hearing on video franchising. Shaffer will be a guest on the P ATV Program Live and Local along with former FCC Commissioner and University ofIowa law professor Nick Johnson to discuss pending federal telecommunications legislation. Mekies asked ifthere had been any response to the letter sent by the Commission to the City Council regarding the City Cable TV Division budget. Shaffer said that the City Council did receive the letter but there has been no response. In regards to the channel allocations on the basic tier and must-carry rules Grassley said that there are two channels left that given existing contract and must-carry regulations could be moved out of the basic tier if a change had to be made, like another low-power television station in the area. Those two channels are WGN and QVC. Mediacom is investigating setting up a family-friendly tier of programming similar to that of Time Warner. Grassley said if the legislation is passed by the Iowa Assembly allowing telecommunications providers to be awarded statewide franchises to provide video services, Mediacom may pursue that strategy, as they are now a telecommunications provider. The Commission reviewed the annual funding request from the Community Television Group. Shaffer noted that $10,000 is proposed to be allocated to the Senior Center for part-time staff. This is the 3rd and final year of an agreement to use the funds for operational expenses. The CTG made an exception to their policy to ensure this funding could go to the Senior Center. Christians moved and Hagen seconded a motion to approve the CTG funding request. APPROVAL OF MINUTES Christians moved and Hagen seconded a motion to approve the November 28, 2005 minutes. The minutes were approved unanimously. ANNOUNCEMENTS OF COMMISSIONERS Noue. SHORT PUBLIC ANNOUNCEMENTS None. CONSUMER ISSUES Shaffer referred to the complaint report in the meeting packets and said that the number of complaints, four, is down from the usual number received each month. All complaints that could be resolved were. Hagen said that he recently needed to contact Mediacom's for a technical problem and the customer service they provided was very good. UNIVERSITY OF IOWA REPORT McBride distributed UITV's annual report. Over the past year 224 programs were produced. A third of those were programs produced by WSUI radio such as Live from Pnlirie Lights that were taped for cablecast. Students produced 116 programs. Student producers have been highly motivated and professional. Mekies said that UITV has improved substantially over the past few years. PATV REPORT Goding reported that contract negotiations with the City are continuing and a meeting will be held this coming Thursday, January 26. An episode of Open Channel will be produced Wednesday at 7 p.m. PATV's board will meet February 15 at 7 p.m. at PATV's facility. Staffis planning to attend the Alliance for Community Media Regional Conference in the Twin Cities Feb. 17-18. SENIOR CENTER REPORT Rogusky reported that due to the demands of school the 20 hours of staff time worked by Mark McCusker has been divided with a new employee, each working 10 hours per week. IOWA CITY COMMUNITY SCHOOL DISTRICT REPORT Hoyland reported it is anticipated that many of the upcoming music concerts will be taped by the schools. A bid has been requested to develop a list of equipment and prices for an upgrade in video equipment. The basis of the bid request is the memo by Bob Hardy and Kevin Hoyland that reviewed the existing equipment and an outline of what would be needed to make improvements. Hagen noted that the sound quality has improved in recent months. Mekies said one goal of the questionnaire sent to each of the access channels by the ICTC was to determine how the Commission can help improve the channels. LEGAL REPORT Dulek said she had nothing to report. LIBRARY REPORT Logsden said a new program will begin in February called "International Mondays", which is hosted by the University of Iowa. The library has recently experienced some equipment failures. The computer running the information screens when programming is not playing on the Library Channel failed and the DVD playback machines keep going into a pause mode. Webber Days has been moved to May, which is Historic Preservation month. The library is working on a month's worth of programs for that event. Included will be walking tours and a possible bus tour following the route of the bus tour given by Webber that was taped by the library. The library has been trying to hire a part-time work-study student to do production work but has been unable to attract applicants since the listing was posted in August. KIRKWOOD REPORT No representative was present. MEDIA UNIT Hardy reported that the Media Unit has been working with the public works department on several project videos. The Human Rights Youth Awards will be taped. The Community Television Service is working with Mercy Hospital on a series of programs promoting a healthy heart. The program will feature a talk by Mercy doctors followed by an on-line chat. The CTS will also be taping a program on the Avian flu, the Emma Goldman Choice Dinner, and the Yoderville Biodesiel Coop. InfoVision has added a second user interface that allows callers to tab through links making it more user-friendly. The Town Hall Meeting on Media held recently at the University featuring national figures, included FCC Commissioner Adelstein, and has been added to the video on demand offerings on InfoVision. The most recent Avatar program was on binge drinking and the proposed 21 only bar admittance ordinance. The next program will be on the Englert Theater on February 13. CABLE TV ADMINISTRATOR REPORT Shaffer reported that the City Council will be holding a budget session on January 30 at 7 p.m. at which City boards and commissions may provide feedback. The U.S. Senate will be holding a series of hearings regarding telecommunications issues over the month of February. Of particular interest is the hearing on video franchising. A public service announcement was produced regarding the change in the Avatar Program playback times. The Avatar programs will now appear every 2nd and 4th Monday at 6 p.m. on City Channel 4. Mediacom is playing the psa across their channel line-up free of charge. Shaffer will be a guest on the P A TV Program Live and Local along with former FCC Commissioner and University ofIowa law professor Nick Johnson to discuss pending federal telecommunications legislation. The program will be live Monday, January 26 at 7 p.m. and will be played back at various times during the month. Mekies asked if there had been any response to the letter sent by the Commission to the City Council regarding the City Cable TV Division budget. Shaffer said that the City Council did receive the letter but there has been no response. MEDIACOM REPORT In regards to the channel allocations on the basic tier and must -carry rules Grassley said that there are two channels left that given existing contract and must-carry regulations could be moved out of the basic tier if a change had to be made, like another low power TV station started in this area. Those two channels are WGN and QVC. Grassley said there is nothing technologically that would prevent Mediacom from expanding the number of channels in the basic tier except cost. To do so would involve changing traps for each subscriber at a cost of about $20. Mediacom is investigating setting up a family-friendly tier of programming similar to that of Time Warner. Ifthe legislation is passed by the Iowa Assembly allowing telecommunications providers to be awarded statewide franchises to provide video services, Mediacom may pursue that strategy as they are now a telecommunications provider. Mediacom would prefer no changes be made to the franchising laws both at the state and federal levels. PATV CONTRACT Shaffer said that PATV and the City plan to meet January 27 on contract negotiations. There are just a few items remaining and it is expected the contract will be ready for review shortly after that meeting. Dulak noted that the current contract will need to be extended until a final contract is agreed upon. Hagen moved and Christians seconded a motion to recommend to the City Council that the P A TV contract be extended. The motion passed unanimously. ACCESS CHANNEL OUESTIONAIRE Christians asked if Kirkwood was sent a questionnaire like the other access channels. Brau said they were not. The Commission agreed that Kirkwood should be sent a questionnaire. Discussion of the questionnaires was deferred to the next meeting. CTG FUNDING REOUEST Logsden said that the timing of this year's CTG request was held back to allow the school district more time to determine their needs. The total amount requested is $4,000 less than the allocated $17,500 so if the schools wish to allocate matching funds for that amount that those funds could be available to them for video related purposes. Ifno school proposal is presented before the end of the fiscal year, then the CTG may put forward additional requests. Funding proposals typically are put before the Commission in the sununer. Shaffer noted that $ I 0,000 is proposed to be allocated to the Senior Center for part-time staff. This is the 3rd and final year of an agreement to use the funds for operational expenses, which is contrary to the normal CTG policy governing those funds. Christians moved and Hagen seconded a motion to approve the funding request as proposed. MUNICIP AL TELECOMMUNICATIONS Shaffer noted the information in the meeting packet regarding the vote in a number ofIowa cities to explore municipal telecommunications systems. Seventeen cities approved such measures and thirteen defeated the proposal. ADJOURNMENT Chrisitans moved and Hagen seconded a motion to adjourn. The motion passed unanimously. Adjournment was at 6:49 p.m. Respectfully submitted, Drew Shaffer Cable TV Administrator - ~.~----"-,_._-~._-'---'---"---'--~^'-"'--~-~-----_.----------_.~._._--_._...._._-_.-.__._~_.__.._-"-----~ TELECOMMUNICATIONS COMMISSION 12 MONTH ATTENDANCE RECORD 01/01/03 to CURRENT Meeting Date Kimberly Saul Meikes Brett Castillo Terry Smith Jim Pusaek Thrower 6/2/03 x x x x x 7/28/03 x x x x x 8/25/03 x x x x ole 9/22/03 x x x x ole 10/27/03 x x x x ole 11/24/03 x x ole x x 12/15/03 ole ole x x x 1/2/04 x ole x x x 1/26104 x x x x x 2/23/04 x ole x ole x 3/22/04 x x x x x 4/ 26/04 x x x x OIC 5/24/04 x x OIC x x 6/28/04 x x x ole x 7/26/04 ole x x x x 8/26/04 did not meet did not meet did not meet did not meet did not meet 9/27/04 X X X X X 1 0/25/04 X X 11/04 Did not meet Did not meet Did not meet Did not meet Did not meet X X X X X 12/20/04 1/24/05 X X X X X 2/28/05 X X X X Garv Haaen 3/8/05 X X X X X 3/25/05 X 0 X X X 4/25/05 x ole X X X 5/23/05 X 0 x vacancy X James X x Bebe x Ehrmann Balantyne 6/27/05 X x X X X x Michael Chritians 7/25/05 0 X X X X 9/26/05 0 X X 0 X 10/31/05 X X ole X X 11/28/05 X X X X X 11231066 ole X X 0 x (X) = Present (0) = Absent (O/C) = Absent/Called (Excused) DRAFT U[J MINUTES IOWA CITY BOARD OF APPEALS MONDAY, FEBRUARY 6, 2006 LOBBY CONFERENCE ROOM, IOWA CITY CITY HALL 410 E. WASHINGTON STREET IOWA CITY, IA MEMBERS PRESENT: John Roffman, Gary Haman, Chad Campion, AI Gerard, Steve Buckman MEMBERS ABSENT: Doug DuCharme, Tim Fehr STAFF PRESENT: Tim Hennes (Sr. Building Inspector), Sue Dulek (Assistant City Attorney), Roger Jensen (Fire Marshall), Loren Brumm (Building Inspector), Jann Ream (Code Enforcement Assistant acting as minute taker) OTHERS PRESENT: Mark Anderson (Shive-Hattery), Keith Johnk (Shive-Hattery), Pat Heiden (Oaknoll) RECOMMENDATIONS TO COUNCIL: None CALL TO ORDER: Chairperson Roffman called the meeting to order at 4:00 PM CONSIDERATION OF MINUTES: Minutes from the January 9, 2006 were reviewed. MOTION: Haman moved to accept the minutes. Gerard seconded. Motion passed unopposed. Appeal the decision of the Buildinq Official because: Item#1: The buildinq official has incorrectly interpreted a provision of the code. Item#2: Any material, alternate desiqn. or method of construction is appropriate if: (a) the proposed desiqn is satisfactory and complies with the provisions of code: and (b) the material. method or work offered is. for the purpose intended. at least the equivalent of that prescribed in this code in suitability. strenqth. effectiveness, fire resistance. durability. safety and sanitation. (Oaknoll Addition) ~-_._".--~----------_._-----~~._._---~_._-'_._--------.---.--.-.----..--- ----_.._"..,-,_._---------_._._--~----------~-----'~. DRAFT Hennes explained that Doug DuCharme and Tim Fehr had to recuse themselves from the meeting because they both work for Shive-Hattery (appeal applicant). Hennes then explained the basis for the appeal. The 2003 International Building Code requires that exiting from residential uses be through a 30 minute rated corridor. Oaknoll designed exiting from the fifth floor of residential apartments in their new addition to be through an atrium. He asked Mark Anderson from Shive Hattery to present the case for their appeal. Anderson explained that the new addition is a 54 unit residential apartment building. It is designed as a Type II non-combustible building with a sprinkler and fire alarm system. He presented drawings showing the floor plans of the areas in question to better illustrate the issue. The floor plan showed a rated exiting corridor from residential units on the fifth floor going across a balcony through an atrium which is open to the 4th floor and then continuing as a rated corridor. There are 1 hour rated fire doors at either end of the balcony. Two of the residential units exit directly onto this interior balcony overlooking the atrium. Anderson explained that the building code allows exiting through an egress balcony and they consider this balcony as such. Hennes stated that egress balconies can only be exterior. Johnk stated that there were really two issues. Can the two apartments exit to the balcony and can the other apartments exit though the atrium which is protected by the 1 hour rated fire doors but which discontinues the 30 minute rated corridor. He said that Section 404.8 of the 2003 IBC allows exiting to and through an atrium as long as the travel distance is limited to 200ft. That is the case in this instance. The code allows an atrium to open to as many as three floors and this one is open to the fourth and fifth levels. The dining room and kitchen areas on the fourth level are open to the atrium. They are not required to be separated from the atrium by a 1 hour protection. Johnk stated that there are three safeties inherent to an atrium. Any hazard becomes immediately apparent and a course of action can be planned. Any hazard is at least a floor below. And it is a large volume of space which helps to dissipate smoke and toxic gases. He said the City's interpretation would never allow an atrium such as you might see in a hotel. Johnk explained that the second issue is one of continuity. Section 1016.5 of the 2003 IBC requires that once you are in a rated corridor, you have to stay within that corridor until you exit. Shive-Hattery believes their proposal is better than what the code requires because the atrium itself has a 1 hour rating with self-closing rated fire doors to the 30 minuted rated corridor. Brumm commented on the City's position. Exiting is covered under Chapter 10 of the building code and atriums are a very specific type of construction dealing with floor openings covered in Chapter 4. Exiting is only mentioned in Chapter 4 in terms of the required 200ft travel distance. Exiting still needs to conform to Chapter 10. He explained that the City has a concern that people could be exiting into an area where there is a build up of smoke and toxic gases. People can exit to an egress balcony but this is not an egress balcony. By code an egress balcony has exterior openings or a way to deal with the smoke. The apartments are open to the 4th floor where the -~----,^,--,,-,--~",,--,-,-,---,,--~,---'-"-'---'-'---~--'----------- DRAFT commercial kitchen is located. A smoldering fire would allow a build up of smoke that would not necessarily get hot enough to set off the sprinkling system. When the fire alarm went off, the people in those apartments would be exiting into an area that could potentially contain a large amount of smoke. This is why the code requires protection from that smoke environment. Hennes asked that the Board look at the memo from Sue Dulek. This memo delineates the issues and states that Chapter 4 which provides the special provisions to allow an atrium does not excuse any of the requirements of Chapter 10 -exiting. Johnk disagreed because Section 404 does allow exiting into an atrium because the travel distance is specified. The code does not specifically say that an egress balcony is only exterior. The volume of the atrium itself would help with smoke accumulation. A two story atrium is exempted from the requirement that atriums three stories or more have a smoke evacuation system. Buckman pointed out that while it is true that the code does not specifically state that an egress balcony is exterior, everything that the egress balcony section refers to includes exterior systems. Johnk said that they don't consider the atrium balcony an egress balcony anyway; they simply consider it part of the atrium. Buckman stated his observation that people in the two apartments would be exiting into a greater hazard than the people in other apartments who would be exiting into the rated corridor. He explained that there is an open environment between fourth and fifth floors. There is no separation between the kitchen and the two apartments that exit onto the balcony. So if there is a fire in the kitchen the smoke will travel into the atrium. There is no continuity of the protection of a 30 minute rated corridor from floor to floor. He stated that if the atrium is used for exiting of residential units on the fifth floor, then the corridors on the fourth floor must also be rated and separate the hazardous areas (such as the kitchen) from the atrium. The code provides for a barrier between the hazard and the exiting corridor. Hennes stated that there are options that the City would accept for maintaining a 30 minute rated corridor. One of those options would be to build a 30 minute rated separation on the fourth floor to separate the hazardous areas on the fourth floor from the atrium. Other options would be to fill in the corridor wall on the fifth floor so that there is no opening to the atrium (either a solid or glass wall), or a rolling fire shutter along that wall that would close off the area in case of a fire. They could also install a smoke evacuation system that would evacuate smoke from the atrium. All of these options could be code compliant. Hennes said the first issue to decide was if the Building Official had correctly interpreted the code in stating that Chapter 4 could not excuse the exiting requirements of Chapter 10. Johnk said he just wanted to be sure he getting it correctly that Chapter 10 would never allow rooms in hotel to exit to an atrium. Roffman stated that as long as the separations were maintained between hazardous areas, rooms could exit to an atrium. Also a smoke evacuation system could be installed. DRAFT Johnk agreed that separations on the fourth floor would make the area safer but wondered if the code actually required it. Buckman stated that the code does require the protections. Roffman asked for a motion that would address the first issue concerning whether or not the Building Official correctly interpreted the code in that Chapter 4 does not excuse the requirements of Chapter 10. MOTION: Buckman moved that the building code interpretation of the Building Official was correct. Haman seconded. VOTE: The motion passed unopposed. Roffman stated that the applicant needed to come back to the City with an alternative to the design that the City could accept as code compliant. Options were discussed. Hennes asked if a specific motion was required concerning what option would be acceptable. Dulek replied no; but, if the applicant came back with a specified option that the City did not accept, he should not have to file a new appeal. It should be a continuation of this appeal. MOTION: Buckman moved that any proposed design solution that needs to be reviewed by the Board will be considered a continuation of the current appeal. Haman seconded. VOTE: The motion passed unopposed. OTHER BUSINESS: Roffman stated that the next meeting date was scheduled for March 6, 2006. No members present had conflicts with that date. ADJOURMENT: Haman moved to adjourn the meeting. Campion seconded. The meeting was adjourned at 4:57 PM. John Roffman, Board of Appeals Chairperson Date NAME Gary Haman Steve Buckman Doug DuCharme Tim Fehr John Roffman Chad Campion AI Gerard KEY X = present o = absent OlE = absent/excused NM = No meeting _ = not a member TERM EXPIRES 12/31/2007 12/31/2006 12/31/2009 12/31/2008 12/31/2007 12/31/2008 12/31/2010 Board of Appeals Attendance Record 2006 1/9/2006 2/6/2006 X X X X OlE OlE X OlE X X X X X X [l;J COMPREHENSIVE ANNUAL FINANCIAL REPORT CITY OF IOWA CITY, IOWA FOR THE FISCAL YEAR ENDED JUNE 30, 2005 PREPARED BY: DEPARTMENT OF FINANCE CITY OF IOWA CITY, IOWA -- "--'-'-'-"-'-'--'-'--...... ~' ...-- /' ...." ~, / // / / / ~/~. , i / / I i ,.JAi~. "~.~ ''if'-~ ;..- ~:.~. '- ''-. . " \ \ \ \ \ CITY OF lOW A CITY, lOW A TABLE OF CONTENTS June 30, 2005 Page INTRODUCTORY SECTION Table of contents .................................. ......... ............ ............. .......... ........................... ....................... I Letter of transmittal.......................................................................................................................... .. 3 City organizational chart ...... ............. ..... ... .... ......................... .......... ..... ...................... ...... ....... ..... ..... 10 Officials.................................................................................................................................... .......... II Certificate of Achievement for ExcelIence in Financial Reporting.................................................... 12 FINANCIAL SECTION INDEPENDENT AUDITOR'S REPORT.......................................................................................... 13 MANAGEMENT'S DISCUSSION AND ANALySIS..................................................................... 15 BASIC FINANCIAL STATEMENTS Government-wide financial statements Statement of net assets.................................................................................................................. 26 Statement of activities ............. ....... .......... ...... ...... .......... ....... ...... .............................. ........ ........... 28 Fund financial statements Balance sheet - governmental funds ............................................................................................ 30 Reconciliation of the balance sheet of the governmental funds to the statement of net assets..... 32 Statement of revenues, expenditures, and changes in fund balances - governmental funds........ 33 Reconciliation of the statement of revenues, expenditures, and changes in fund balances of governmental funds to the statement of activities ..................................................................... 35 Statement of net assets - proprietary funds.................................................................................. 36 Statement of revenues, expenses, and changes in fund net assets - proprietary funds ................ 39 Statement of cash flows - proprietary funds ................................................................................ 40 Statement of fiduciary assets and liabilities ................................................................................. 42 Notes to financial statements........................................................................................................... 43 REQUIRED SUPPLEMENTARY INFORMATION Budgetary comparison schedule - budget and actual- all governmental funds and enterprise ... funds'- budgetary basis...... .................. ............................................... ......... ..... 68 Budgetary comparison schedule - budget to GAAP reconciliation ............... .................... 70 Note to required supplementary information - budgetary reporting....... ........ ............... ..... 71 COMBINING AND INDIVIDUAL FUND STATEMENTS Combining balance sheet - nonmajor governmental funds............................................................. 74 Combining statement of revenues, expenditures, and changes in fund balances - nonmajor governmental funds...................................................................................................................... 75 Combining statement of net assets - nonmajor enterprise funds .................................................... 78 Combining statement of revenues, expenses, and changes in fund net assets - nonmajor enterprise funds...... .................. .......... ...... ............ ....................... ............. ......... ............ ............... 79 Combining statement of cash flows - nonmajor enterprise funds................................................... 80 Combining statement of net assets - internal service funds ............................................................ 82 Combining statement of revenues, expenses, and changes in fund net assets - internal service funds ........ .................. ..................... ..... ..................... .....................,. ....... ...................................... 83 Combining statement of cash flows - internal service funds .......................................................... 84 Combining statement of changes in assets and liabilities - agency funds....................................... 86 I CITY OF lOW A CITY, lOW A TABLE OF CONTENTS June 30, 2005 Page STATISTICAL SECTION (UNAUDITED) Government-wide expenses by function ............................................................................. .............. 89 Government-wide revenues................................................................................................................ 90 General governmental expenditures by function and transfers to other funds ................................... 92 General governmental revenues by source and transfers from other funds........................................ 94 Property tax budgets and collections .................................................................................................. 96 Property tax rates and tax dollars budgeted........................................................................................ 97 Property tax, road use tax, and hotel/motel tax revenues ................................................................... 98 Assessed and estimated actual value of taxable property and exempt property................................. 99 Property tax rates - all direct and overlapping governments ............................................................. 100 Principal taxpayers and employers ..................................................................................................... 101 Special assessment collections........................................................................................................... 102 Ratio of net general obligation bonded debt to assessed value and net bonded debt per capita......... 103 Ratio of annual debt service expenditures for general bonded debt to total general governmental expenditures................................................................................................................... .................. 104 Computation of direct and overlapping debt ...................................................................................... 105 Schedule of revenue bond coverage ................................................................................................... 106 Demographic statistics..........................................,............................................................................. 107 Property value, building permits, and bank deposits.......................................................................... 108 Parking rates .............................................................................. ................................. ................ 110 Schedule of liability and property insurance in force......................................................................... III Miscellaneous statistical data ......................................................................................................... 112 Debt Limit Computation ....... ..... .. ...... ......... ......... ............ ......... ............ ...... ....... 114 General Obligation Debt Annual Maturity Schedule....................................................... 115 Revenue Debt Annual Maturity Schedule....................................................... ................ 116 COMPLIANCE SECTION Report on internal control over financial reporting and on compliance and other matters based on an audit of financial statements performed in accordance with Government Auditing Standards.. 117 Report on compliance with requirements applicable to its major program and internal control over compliance in accordance with OMB Circular A-133 ................................................ 119 Schedule of expenditures of federal awards ....................................................................................... 121 Notes to the schedule of expenditures of federal awards ................................................................... 124 Schedule of findings and questioned costs......................................................................................... 125 2 November 28, 2005 ,~ 1 -- = -....!'J: ~~....- ~~!fN!i ~~_.I' ......~ CITY OF IOWA CITY To the Citizens, Honorable Mayor, Members of the City Council and City Manager City of Iowa City, Iowa The Comprehensive Annual Financial Report (CAFR) of the City of Iowa City, Iowa (the City) for the fiscal year ended June 30, 2005 is submitted herewith in accordance with the provisions of Chapter II of the Code of Iowa. The City's Finance Department prepared this report. Responsibility for both the accuracy of the data presented and the completeness and fairness of the presentation, including all disclosures, rest with the City. I believe the information, as presented, is accurate in all material respects and presented in a manner designed to fairly present the financial position and results of operations of the City. All disclosures necessary to enable the reader to gain an understanding of the City's financial affairs have been included. This report consists of management's representation concerning the finances of the City of Iowa City. Management assumes full responsibility for the completeness and reliability of all of the information presented in this report. To provide a reasonable basis for making these representations, management of the City has established a comprehensive internal control framework that is designed both to protect the government's assets from loss, theft, or misuse and to compile sufficient reliable information for the preparation of the City's financial statements in conformity with accounting principles generally accepted in the United States of America (GAAP). Because the cost of internal controls should not outweigh their benefits, the City's comprehensive framework of internal controls has been designed to provide reasonable rather than absolute assurance that the financial statements will be free from material misstatement. As management, we assert that, to the best of our knowledge and belief, this financial report is complete and reliable in all material respects. The CAFR reflects all funds of the City in accordance with standards set by the Governmental Accounting Standards Board (GASB). In 1999, GASB adopted Statement No. 34, Basic Financial Statements - Management's Discussion and Analysis - For State and Local Governments. The final effective date for the implementation of GASB No. 34 for the City of Iowa City was June 30, 2003. This report complies with those standards. This statement significantly changes governmental financial reporting in order to bring it closer to a private sector model. To facilitate an understanding of the City's financial affairs, this report is organized into four sections: introductory, financial, statistical, and compliance. The introductory section contains the table of contents, listing of City officials, an organizational chart and this letter of transmittal. The financial section contains the independent auditors' report, management's discussion and analysis, the basic financial statements, required supplementary information, and other supplementary information. The statistical section contains comprehensive statistical data that is intended to provide a broader and more complete understanding of the financial and economic trends of the City. The City is required to undergo an annual single audit in 3 conformity with the provisions of the Single Audit Act of 1996 and the U.S. Office of Management and Budget (OMB) Circular A-133, Audits of State and Local Governments. Information related to this single audit, including the schedules of federal financial assistance, findings and questioned costs, and independent auditors' reports on the internal accounting and administrative controls and compliance with applicable laws and regulations are included in the compliance section of this report. GAAP require that management provide a narrative introduction, overview, and analysis to accompany the basic financial statements in the form of Management's Discussion and Analysis (MD&A). This letter of transmittal is designed to complement the MD&A and should be read in conjunction with it. The City's MD&A can be found immediately following the report of the independent auditors. The City of Iowa City's financial statements have been audited by Eide Bailly, LLP of Dubuque, Iowa, a firm of licensed certified public accountants. The goal of the independent audit was to provide reasonable assurance that the City's financial statements for the fiscal year ended, June 30, 2005 are free of material misstatement. The independent audit involved examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements; assessing the accounting principles used and significant estimates made by management; and evaluating the overall financial statement preparation. The independent auditor concluded, based upon the audit, that there was a reasonable basis for rendering an unqualified opinion that the City ofIowa City's financial statements for the fiscal year ended, June 30, 2005, are fairly presented in conformity with GAAP. Profile of the Government The City of Iowa City was incorporated April 6, 1853. The City is governed by a seven member Council; each member serves a four-year term. Elections are held every two years allowing for continuation in office of at least three members at each biennial election. The Council members are elected at large, but three members are nominated from specific districts, and the four other members are nominated at large. The Council elects the Mayor from its own members for a two-year term. The City Council is the legislative body and makes all policy determinations for the City through the enacttnent of ordinances and resolutions. It also adopts a budget to detennine how the City will obtain and spend its funds. The Council appoints members of boards, commissions and committees. The City Manager is the chief administrative officer for the City and is appointed by the City Council. The City Manager implements policy decisions of the City Council and enforces City ordinances. In addition, the City Manager appoints and directly supervises the directors of the City's operating departments and supervises the administration ofthe City's personnel system. He supervises 537 full-time and 88 permanent part-time municipal employees and 61 I temporary employees including a police force of 70 sworn personnel and a fire department of 57 firefighters. The City owns and operates its water supply and distribution system and sewage collection and treattnent system with secondary treattnent also provided. Virtually the entire City has separate storm and sanitary sewer systems. The City operates a municipal off- street and on-street parking system in the downtown area. Since 1971, the City has operated a transit system. The annual budget serves as the foundation for the City's financial planning and control. All departments of the City are required to submit requests for appropriation to the City Manager in October. The City Manager uses these requests as the starting point for developing a proposed budget. The City Manager then presents this proposed budget to the Council for review in December. The Council is required to hold a public hearing on the proposed budget and to adopt a final budget no later than March 15. The appropriated budget is prepared by fund, function (e.g., Public Safety), and department (e.g., Police). The City adopts a three-year financial plan that includes both operations and capital improvements. This three-year plan permits a more comprehensive review of the City's financial condition, allowing analysis of the current and future needs and requirements. During preparation of the plan, careful review is made of property tax levy rates, utility and user fee requirements, ending cash balances by fund, debt service 4 obligations, bond financing needs, capital outlay for equipment purchases and major capital improvement projects. The state requires at least a one-year operating budget. While legal spending control is exercised at a state mandated function level, management control is set at the Department Manager level. Encumbrance accounting is utilized in all funds for budgetary control. Encumbrances outstanding at year-end for the governmental fund types are reflected as reservations of the fund biliances. Appropriations that are not encumbered lapse at the end of the year. Information useful in assessing tbe government's economic condition The City's economic strength is based upon education, medical services, and diversified manufacturing. Tbe University ofIowa is the City's largest employer with over 24,600 employees and the University of Iowa Hospitals and Clinics is the largest university-owned teaching medical center in the United States. The City also has a significant number of private employers who have a history of providing stable and increasing employment in the community. The relative stability of the University of Iowa, coupled with the City's multi-sector base of industrial and commercial interests, will continue to help insulate the City from the significant negative economic impacts related to unemployment. The City continues to see sustained production in our major local industries, such as ACT, Proctor & Gamble, and Pearson. Continued economic development efforts involving the Iowa City and Coralville Chambers of Commerce, local private interests, the University of Iowa and other surrounding communities through participation as members of the Iowa City Area Development Group, have proved positive with the retention and expansion of businesses. In addition, the corridor between Iowa City and Cedar Rapids has been identified as one of the major growth areas for new business development in the State of Iowa. Continued developments within Iowa City and the region have a favorable impact upon the City's economy. There have been improvements in the budget challenges faced by the State of Iowa, however, the City's economy as a whole continues to grow. The major employers have been able to maintain their workforce size. The unemployment rate for Johnson County continues to remain low at between 2.8% and 3.3%. The City has consistently experienced modest increases in assessed property valuations. New housing construction continues to be relatively strong with 149 new single-family houses and 272 multi-family units added to the tax rolls for the year ended December 3 I, 2004. This, along with the low unemployment rate, continues to be indicative ofthe City's economic well being. The 2000 census population of Iowa City was 62,220. After further review by the United Census Bureau, the population was revised to 62,380 in 2002. This represents a 4.42% increase over the 1990 population of 59,738. In preparing the financial plan for the three years ending June 30, 2008, the process of budget balancing has again been most difficult. With the continued tax limitations imposed by the state (specifically the residential rollback factor) and other federal and state regulations and mandates, the municipal service needs for our growing community are becoming increasingly difficult to satisfY. In balancing the budget for the three-year period, the City attempted to maintain service levels, wherever practical. In addition, our planning has been directed at maintaining our current fiscal strength and avoiding any erosion of that fiscal position, including the City's Aaa bond rating. A continuing major objective in the three-year financial plan is to maintain or increase the City's cash reserve position. In addition, procedures were adopted to allocate unreserved fund balances between the contingency and undesignated fund balances. The contingency fund is available during the fiscal year for unanticipated and unbudgeted expenditures, while the undesignated fund balance is intended to be maintained as working capital. The City is committed to drawing from the undesignated fund balance only in emergency situations. This unreserved fund balance allocation along with specific budgeting techniques has allowed the City to increase or maintain fund balances over the past year. 5 The City continues to pursue cooperative efforts with other local governments. Joint funding, purchasing, planning and other efforts allow the City to meet mandates for new and improved services in the future at the most reasonable cost. Joint cooperation currently encompasses regional transportation planning, human services, solid waste management planning, a hazardous materials response program, an enhanced 911 emergency communications system, community relations, joint operation of an animal control facility, joint operation of an indoor swimming pool facility, and joint economic development efforts. While such cooperative efforts are not new in concept, the City expects to enter into more agreements with neighboring governmental subdivisions, as well as with the University ofIowa. There are many signs that the City remains healthy and vibrant with great promise for the future. The University of Iowa continues to add new buildings and facilities. The City continues to see sustained production in major local industries. Industrial and commercial interests within the community have continued to thrive. The City will be challenged during the next couple of years to maintain its vitality through greater economic development efforts, fiscal restraint in local government, and continued cooperation among local government officials. We are confident that the City is positioning itself to better meet the needs of the community in the future through more effective long-term financial planning, and increased financial strength and stability of the City. The City Council and its staff are committed to managing the City's destiny well into the future. Major Initiatives The Court Street Transportation Center began in FY02 with design and land acquisition costs. Land acquisition was completed in FY03 with construction beginning in FY04. The transportation center, located in downtown Iowa City, will provide a park-and-ride facility, interstate bus service, taxi service, a parking facility and a day care center. $10.2 million in federal grants will fund the $12.8 million facility. Completion is set for FY06. The City continues to be proactive in maintaining and building its streets, bridges, stormwater mains, and trail systems and spent approximately $3.8 million in fiscal year 2005 on various projects. The major projects were the Dubuque StreetIFoster Road intersection, Camp Cardinal Boulevard and North Dodge Street project. Mormon Trek Boulevard Extension began in FY02 with design costs. Land acquisition was completed in FY03 and construction began in FY04 on Phase I. When all phases are completed, the roadway will serve a combination ofthrough and local traffic needs. Estimated costs for the entire project total $7.6 million with $1.8 million in federal funding. The Plaza Towers is a $27 million mixed-use project on Iowa City's last downtown urban renewal parcel. The project will include a full-service grocery store, conference space, luxury hotel suites, and residential units. Commercial office and retail space is also planned. The project uses tax increment financing with the City's contribution being up to $6 million in taxable General Obligation bonds issued in March 2004, repayable from taxes generated in the downtown urban renewal district. Completion is expected in FY06. The Iowa City Housing Authority provides rental assistance for 1213 units, with an annual contribution contract with the Federal Government of$6.7 million. Community Development Block Grant and HOME Community Development Block Grant and Home Investment Partnership funds totaling approximately $1.797 million were utilized for economic development, housing, public services and facilities, and planning activities during fiscal year 2005. The CDBG and HOME funds also leveraged approximately $2.5 million in other funds. These programs provide for broad based financial impacts locally for builders, developers, and others. 6 Financial Information Single Audit: As a recipient of federal financial assistance, the City is responsible for ensuring that adequate internal controls are in place to ensure compliance with applicable laws and regulations related to those programs. These internal accounting and administrative controls are subject to periodic evaluation by the City's management. The results of the City's single audit for the fiscal year ended June 30, 2005 provided no instances of material weaknesses in the internal controls or significant violations of applicable laws and regulations based upon the audit of the basic financial statements. Retirement Plans: With the exception of police and fire employees, substantially all permanent City employees are covered by the Iowa Public Employees Retirement System (IPERS). The state annually sets the contribution rate for all municipal entities and coveted employees. All covered employees are required to contribute 3.7% of their salary, while employers contribute 5.75%. There is no allocation or measurement of unfunded liability to any municipal entity and, upon the retirement of employees, IPERS has the sole responsibility for their benefits. The City has no responsibility to pay employee pension benefits ofIPERS besides the required contribution. The City's police and fire employees are covered by the Municipal Fire and Police Retirement System of Iowa (MFPRSI). This statewide system is a cost-sharing multiple-employer public employee retirement system. The state annually sets the contribution rate for all municipal entities and employees. The City has no responsibility to pay employee pension benefits of MFPRSI besides the required contribution. Cash Management: The majority of the City's investment activity is carried on by the City's investment pool, except for those funds which are required to maintain their investments separately. This pooled concept provides for greater investment earnings that are then allocated to the City's funds on a systematic basis. The intention of the cash management system is to limit the amount of funds placed in accounts where low or no interest is paid. Idle cash is invested in various instruments with various maturity dates of less than one year, depending on the anticipated cash requirements during the period. The overall strategy of holding deposits and making investments is to expose the City to a minimum amount of credit risk and market risk. All bank balances of deposits as of the balance sheet date are entirely insured or collateralized with securities held by the State ofIowa Sinking Fund. For the year ended June 30, 2005, the City earned $3,347,000 from all investments, an increase of $1,300,000 from the prior year. The following table shows how this was allocated by fund type for the fiscal years 2005 and 2004: 2005 2004 Investment Investment Fund Tvpe Earninl!s Earninl!s (in thousands) (in thousands) Governmental $ 1,576 $ 989 Proprietary 1.771 1.058 Totals $ 3.347 $ 2.047 Risk Management: The City is exposed to a variety of accidental losses and has established a risk management strategy that attempts to minimize losses and the carrying cost of insurance. 7 Risk control techniques have been established to reasonably ensure that the City's employees are aware of their responsibilities regarding loss exposures related to their duties. In a similar manner, risk control techniques have been established to reduce possible losses to property owned by or under the control of the City. Furthermore, supervisory personnel are held responsible for monitoring risk control techniques on an operational basis. The City completed its sixteenth year under a property and liability insurance program that provides for a $100,000 self-insured retention per occurrence on property losses, a $500,000 self- insured retention per occurrence on liability, and a $500,000 self-insured retention on workers' compensation losses. The insurance provides coverage for claims in excess of the aforementioned self- insured retention up to a maximum of $19,000,000 annual aggregate of the losses paid. The operating funds pay annual premiums to the Loss Reserve Fund, which is accounted for as an internal service fund. The balance in the Loss Reserve Fund is available to cover the self-insured retention amounts and any uninsured losses. The total assets in the Loss Reserve Fund as of June 30, 2005 were $5,008,000. Independent Andit: Chapter II of the Code of Iowa requires an annual audit to be performed. The independent public accounting firm of Eide Bailly LLP was selected by the City. In addition to meeting the requirements set forth in Chapter 11, the audit was also designed to meet the requirements of the Single Audit Act of 1996 and related OMS Circular A-133. The independent auditors' report on the basic financial statements and combining and individual fund statements and schedules is included in the financial section of this report. The independent auditors' reports related specifically to the single audit are included in the compliance section of this report. The financial statements are the responsibility of the City. The responsibility of the certified public accountants is to express an opinion on the City's financial statements based on their audit. An audit is conducted in accordance with generally accepted auditing standards. Those standards require that the audit be planned and performed in a manner to obtain a reasonable assurance as to whether the financial statements are free of material misstatement. Awards and Acknowledgements The Government Finance Officers Association of the United States and Canada (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting (the Certificate) to the City ofIowa City, Iowa for its Comprehensive Annual Financial Report for the fiscal year ended June 30, 2004. The Certificate is the highest form of recognition for excellence in state and local financial reporting. In order to be awarded the Certificate, a governmental unit must publish an easily readable and efficiently organized Comprehensive Annua] Financial Report, whose contents conform to program standards. The Comprehensive Annual Financial Report must satisfY both accounting principles generally accepted in the United States of America and applicable legal requirements. The Certificate is valid for a period of one year only. The City has received the Certificate for the last twenty consecutive years. I believe our current report continues to conform to the Certificate requirements and am submitting it to GFOA to determine its eligibility for another certificate. Responsibility and Acknowledgments The Department of Finance prepared the Comprehensive Annual Financial Report of the City of Iowa City, Iowa for the fiscal year ended June 30, 2005. The City Council, as required by law, is responsible for the complete and accurate preparation of the City's Comprehensive Annual Financial Report. I believe that the information presented is accurate in all material respects and that this report fairly presents the financial position and results of operations of the various funds of the City. 8 The preparation of this report on a timely basis could not have been accomplished without the efficient and dedicated services of the entire staff of the City's Finance Department. I would like to express my appreciation to all members of the department who assisted and contributed to its preparation. I want to especially recognize the contributions of the City's Controller, Erin Herting, Assistant Controller, Sara Sproule, Senior Accountant, Ann Maurer, and Internal Auditor, Robin Marshall. Also, I thank the Mayor, members of the City Council and the City Manager for their interest and support in planning and conducting the financial operations of the City in a dedicated, responsible, and progressive manner. Respectfully submitted, Kevin O'Malley Director of Finance 9 Citizens of Iowa City __t~_~ ,- I Mayor I & I City I Council - ----;=1---, Airport I ~ Boanfs & Commission ' Commissions I I I I Cily Attorney \ Airport I Manager . Assistant Housing & Parks & Cily Finance Fire Inspection Recreation Director Chief Services Director Manager Director ~Br_bmd ~ .dmI.....,., I AdmlnfTralnlng Administration I AdmlntstraUon r.r.communlCllItons Ac::countlnlil Fir. Houllng f- CaD MalnUlnilnClt -HwnanFUghtl Prevention ......."" ~cernetery f~"~"' .."'- ,.. Building I I ~Fot.tJy LP.,.onr>>1 IntOnMtlon Suppression Inspection Admlnlwlllon TKhnology I Govemment S.rvl~. Housing ~ Buildings Inipedlon Lparks ~""''''' SIIrvlcu I I L Rec,utlon I Risk I r Managl~nt , LT~a.ury Kev Elected Offlclals Director/Manager Employed by Board or Commission i ---- CIly Cily Manager Clerk Library Board of Trustees Library Director -+ D~=P~:~ ~o~: D~~~~r It J Director Administration AdmlnlltfaUoR I 1- AdmlnlstraUof'l Senior Center Community Animal Car. Development & Adoption I- Enlrw r .~ Conservation JCCOG Program. Community UrtNIn PllIfInlng SIIYk:eS EnglnHrlng I Criminal ~ Equlpmllnt Economic r InveStJgatloM I M.lntenance D..,eIopment I. I Neighborhood L Emergency ~ UndOll Services I Communlc:attons L "",,., ~i Solid w.... L Stormwaler Records & . Managem~t Investlg.t1on "".... L Wastewater I Managemllll LWater 10 Appointed By Cound & Mayor -~-~-1 Appointed I ByCily Manager I ) l _.__L____ \ p",:'ng J Transit _o:._c:~__ ParkIng Transt! OperaUons CITY OF lOW A CITY, IOWA LISTING OF CITY OFFICIALS June 30, 2005 ELECTED OFFICIALS Mayor Council Member Council Member Council Member Council Member Council Member Council Member and Mayor Pro tern Ernie Lehman Regenia Bailey Connie Champion Bob Elliott Mike O'Donnell Dee Vanderhoef Ross Wilburn APPOINTED OFFICIALS City Manager City Clerk City Attorney Stephen J. Atkins Marian K. Karr Eleanor Dilkes DEPARTMENT DIRECTORS Assistant City Manager Director of Housing and Inspection Services Library Director Director of Planning & Community Development Director of Public Works Director of Parking and Transit Senior Center Coordinator Fire Chief Parks and Recreation Director Chief of Police Director of Finance Dale E. Helling Douglas W. Boothroy Susan Craig Karin Franklin Rick Fosse Joseph Fowler Linda Kopping Andrew Rocca Terry G. Trueblood R. J. W inkelhake Kevin O'Malley II Term Exoires January I, 2006 January I, 2008 January I, 2006 January I, 2008 January I, 2006 January I, 2008 January I, 2008 Date of Hire July 20, 1986 May 21,1979 March 18, 1996 August 16, 1975 September 22, 1975 July 28, 1975 May 19, 1980 February 22, 1984 January 2,1970 March 20, 1995 July 14, 1978 February 18, 1986 June 12, 1989 August 19, 1985 Certificate of Achievement . for Excellence in Financial Reporting Presented to City of Iowa City, Iowa For its Comprehensive Annual Financial Report for the Fiscal Year Ended June 30, 2004 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 fmancial reporting. /z.e''''?f.re~ President ~/~ Executive Director 12 ~~>>"""I EideBai 11y:" ~ (:Pi\" 6< H\r~INl-:~~ AJlVISt )I{S INDEPENDENT AUDITOR'S REPORT To the Honorable Mayor and Members of the City Council City ofIowa City, Iowa We have audited the accompanying financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Iowa City, Iowa, as of and for the year ended June 30, 2005, which collectively comprise the City's basic financial statements as listed in the table of contents. These financial statements are the responsibility of the management of the City of Iowa City. Our responsibility is to express opinions on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the 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 fmancial statement presentation. We believe that our audit provides a reasonable basis for our opinions. In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City ofIowa City, Iowa, as of June 30, 2005, and the respective changes in financial position and cash flows, where applicable, thereof for the year then ended in confonnity with accounting principles generally accepted in the United States of America. In accordance with Government Auditing Standards, we have also issued our report dated November 28, 2005, on our consideration of the City's internal control over financial reporting and our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the internal control over fmancial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards and should be considered in assessing the results of our audit. 13 PEOPLE. PRINCIPLES. POSSIBILITIES. www.eidebailly.com 3999 Pennsylvania Ave., Suite 100 I Dubuque, Iowa 52002.2639 I Phone 563.556.1790 I Fox 563.557.7842 I EOE The management's discussion and analysis and budgetary comparison infonnation on pages 15 through 24 and pages 68 through 71 are not a required part of the basic financial statements but are supplementary information required by accounting principles generally accepted in the United States of America. We have applied certain limited procedures, which consisted principally of inquiries of management regarding the methods of measurement and presentation of the required supplementary infonnation. However, we did not audit the information and express no opinion on it. Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the basic financial statements of the City of Iowa City, Iowa. The introductory section, combining nonmajor fund financial statements, and statistical tables are presented for purposes of additional analysis and are not a required part of the basic fmancial statements. The accompanying Schedule of Expenditures of Federal Awards is presented for purposes of additional analysis as required by U.S. Office of Management and Budget A-133, Audits of States, Local Governments, and Non-Profit Organizations, and is also not a required part of the basic financial statements of the City of Iowa City, Iowa. The combining nonmajor fund fmancial statements and the Schedule of Expenditures of Federal Awards have been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, are fairly stated in all material respects in relation to the basic financial statements taken as a whole. The introductory section and statistical tables have not been subjected to the auditing procedures applied in the audit of the basic financial statements, and accordingly, we express no opinion on them. ~~LL.I' Dubuque, Iowa November 28, 2005 14 Management's Discussion and Analysis As management of the City of Iowa City, we present this narrative overview and analysis of the financial activities of the City for the fiscal year ended June 30, 2005. This narrative is intended to be used in conjunction with additional information that is included in the letter of transmittal, which can be found on pages 3 - 9 of this report. Financial Highlights . The assets of the City of Iowa City exceeded its liabilities at the close of the fiscal year ending June 30, 2005 by $312,149,000 (net assets). Of this amount, $44,573,000 (unrestricted net assets) may be used to meet the government's ongoing obligations to its citizens and creditors. . The City's total net assets increased by $13,759,000 during the fiscal year. Governmental activities increased by $9,457,000 and business-type activities increased by $4,302,000. . At the close of the current fiscal year, the City's governmental funds reported combined ending fund balances of $33,517,000, a decrease of $3,048,000 in comparison with the prior year. Of this total amount, approximately $27,890,000, or 83% was unreserved and is available for spending at the City's discretion. . At the end of the current fiscal year, the City's unreserved, undesignated fund balance for the General Fund was $15,525,000, or 39% of total General Fund expenditures. . The City's total debt decreased by $8,475,000, during the current fiscal year. The key factor to this decrease was the retirement of bonds. Overview of the Financial Statements This discussion and analysis is intended to serve as an introduction to the City's basic financial statements. The City's basic financial statements are comprised of three components: I) government- wide financial statements, 2) fund financial statements; and 3) notes to the financial statements. This report also contains other supplementary information in addition to the basic financial statements themselves. Government-wide Financial Statements: The government-wide financial statements are designed to provide readers with a broad overview of the City's finances in a manner similar to a private-sector business. The statement of net assets presents information on all of the City's assets and liabilities, with the difference between the two reported as net assets. Over time, increases or decreases in net assets may serve as a useful indicator of whether the financial position of the City is improving or deteriorating. The statement of activities presents information showing how the City's net assets changed during the most recent fiscal year. All changes in net assets are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are reported in this statement for some items that will only result in cash flows in future fiscal periods (e.g., uncollected taxes and earned but unused vacation leave). Both of the government-wide financial statements distinguish functions of the City that are principally supported by taxes and intergovernmental revenues (governmental activities) from other functions that are intended to recover all or a significant portion of their costs through user fees and charges (business-type activities). The governmental activities of the City include Public Safety, Public Works (roads, traffic controls, and transit), Culture and Recreation, Community and Economic Development, General Government, and Interest on long-term debt. The business-type activities of the City include Airport, Cable Television, Housing Authority, Parking, Sanitation, Stormwater Collection, Wastewater Treatment, and Water. 15 The government-wide financial statements may be found on pages 26 - 29 of this report. Fund Financial Statements: A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. The City, like other state and local governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. All of the funds of the City can be divided into three categories: governmental funds, proprietary funds and fiduciary funds. Governmental Funds: Governmental funds are used to account for essentially the same function reported as governmental activities in the government-wide financial statements. However, unlike the government-wide financial statements, governmental fund financial statements focus on near-term inflows and outflows of spendable resources, as well as on balances of spendable resources available at the end of the fiscal year. Such information may be useful in evaluating a government's near-term financing requirements and is typically the basis that is used in developing the next annual budget. Because the focus of governmental funds is narrower than that of the government-wide fmancial statements, it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government-wide financial statements. Both the governmental fund balance sheet and the governmental fund statement of revenues, expenditures, and changes in fund balances provide a reconciliation to facilitate this comparison. The City has four major governmental funds: General Fund, Employee Benefits Fund, Capital Projects - Other Construction Fund, and Debt Service Fund. Information is presented separately in the governmental funds balance sheet and in the governmental funds statement of revenues, expenditures, and changes in fund balances for these major funds. Data from all other non-major governmental funds is combined into a single aggregated presentation and are referenced under a single column as "Other Governmental Funds". Individual fund data on each of these non-major governmental funds is provided in the form of combining statements elsewhere in this report. The City adopts an annual appropriated budget for all governmental funds as required by state statute. Budget comparisons have been provided for the Governmental funds and the Enterprise funds, to demonstrate compliance with the adopted budget. The basic governmental funds financial statements can be found on pages 30 - 35 of this report. Proprietary Funds: The City maintains two different types of proprietary funds. Enterprise funds are used to report the same functions presented as business-type activities in the government-wide financial statements. The City uses enterprise funds to account for its Airport, Cable Television, Housing Authority, Parking, Sanitation, Stormwater Collection, Wastewater Treatment, and Water activities. Internal Service funds are an accounting device used to accumulate and allocate costs internally among the City's various functions. The City has four Internal Service Funds: Equipment Maintenance, Central Services, Loss Reserve, and Information Technology. Because these services predominantly benefit governmental rather than business-type functions, they have been included within governmental activities in the government-wide financial statements. Proprietary funds provide the same type of information as the government-wide financial statements, only in more detail. Wastewater Treatment, Water, Sanitation, and Housing Authority Funds are considered to be major funds and are reported individually throughout the report. The other 4 non-major enterprise funds are grouped together for reporting purposes and listed under a single heading "Other Enterprise Funds". Detailed information for each of the non-major funds is provided in the combining statements on pages 78 - 80. Individual fund data for the Internal Service funds is provided in the form of combining statements elsewhere in this report. The basic proprietary fund financial statements can be found on pages 36 - 41 of this report. 16 Fiduciary Funds: Fiduciary funds are used to account for resources held for the benefit of parties outside the government. Fiduciary funds are not available to support the City's own programs and therefore are not reflected in the government-wide financial statements. The City has four fiduciary funds: Project Green, Library Foundation, Parks and Recreation Foundation, and PATV (Public Access Te]evision) which are maintained as an agency funds. The basic fiduciary funds financial statements can be found on page 42. Notes to Financial Statements: The notes provide additional information that is essential to a full understanding of the data provided in the government-wide and fund financial statements. The notes to the financial statements can be found on pages 43 - 67 of this report. Other Information: The combining statements referred to in the above paragraphs in connection with non-major governmental funds, non-major enterprise funds, and internal service funds are presented immediately following the notes. Government-wide Financial Analysis As noted earlier, net assets may serve over time as a useful indicator of a government's financial position. In the case of the City, assets exceeded liabilities by $3]2,]49,000 at the close of the fiscal year ended June 30, 2005. By far, the largest portion of the City's net assets reflect its investment in capital assets (e.g., land, building, machinery and equipment, improvements other than buildings, and infrastructure), less any related debt to acquire those assets that is still outstanding. The City uses these capital assets to provide services to its citizens; consequently, these assets are not available for future spending. Although the City's investment in its capital assets is reported net ofrelated debt, it should be noted that the resources needed to repay this debt must be provided from other resources, since the capital assets themselves cannot be used to liquidate these liabilities. City of Iowa City's Net Assets Jun. 30, 2005 (amounts expressed in thousands) Governmental Business-type activities activities Total 2005 2004 2005 2004 2005 2004 Current and other assets $ 94,332 $ 94,819 $ 83,970 $ 79,114 $ 178,302 $ 173,933 Capital assets 141,282 132,588 254,560 260,115 395,842 392,703 Total Assets 235,614 227,407 338,530 339,229 574,144 566,636 Long-term liabilities outstanding 79,122 81,125 126,966 132,449 206,088 213,574 Current and other liabilities 50,958 49,787 4,949 4,785 55,907 54,572 Total Liabilities 130,080 130,912 131,915 137,234 261,995 268,146 Net assets: Invested in capital assets, net of related debt 84,768 67,090 150,797 150,817 235,565 217,907 Restricted 16,973 17,705 15.038 14,932 32,0 II 32,637 Unrestricted 3,793 11,700 40,780 36,246 44,573 47,946 Total Net Assets $ 105,534 $ 96,495 $ 206,615 $ 201,995 $312,149 $ 298,490 17 A portion of the City's net assets (10.2% or $32,011,000) represents resources that are subject to external restrictions on how they may be used. The remaining balance of the unrestricted net assets (14.2% or $44,573,000) may be used to meet the government's ongoing obligations to its citizens and creditors, At the end of the fiscal year ended June 30, 2005, the City is able to report positive balances in all three categories of net assets, hoth for the government as a whole, as well as for its separate governmental and business-type activities. Governmental Activities: Governmental activities increased the City's net assets by $9,457,000. The increase in net assets of governmental activities is primarily due to expenditures for capital assets less depreciation expense. The following is a more detailed review of FY05' s operation. Revenues: Program Revenues: Charges for services $ Operating grants and contributions Capital grants and contributions General Revenues: Property taxes Road use tax Other taxes Earnings on investments Gain (loss) on disposal of capital assets Other Total revenues Expenses: Public safety Public works Culture and recreation Community and econOmlC development General government Interest on long-tenn debt Wastewater Treatment Water Sanitation Housing Authority Parking Airport Stonnwater Cable Television Total expenses Change in net assets before transfers Transfers Change in net assets Net assets beginning of year, as restated Net assets end of year City of Iowa City's Changes in Net Assets (aroounts expressed in thousands) Governmental activities 200S 6,139 2,592 7,679 35,327 5,269 1,351 1,576 95 3,994 64,022 15,286 11,521 11,341 6,960 6,500 3,602 55,210 8,812 645 9,457 96,077 $ 105,534 2004 $ 6,102 2,150 6,198 34,173 5,311 1,609 1,056 65 3,746 60,410 15,015 10,423 12,051 2,580 6,527 3,440 50,036 10,374 (1,840) 8,534 87,961 $ 96,495 18 Business~type activities 200S $ 33,647 7,012 2,387 1,771 304 418 45,539 12,214 8,313 6,031 7,466 3,989 520 1,452 607 40,592 4,947 (645) 4.302 202,313 $ 206,615 2004 $ 34,075 6,959 2,253 991 1,009 335 45,622 12,344 8,011 6,103 7,219 3,898 515 652 549 39,291 6,331 1,840 8,171 193,824 $ 201,995 Total 200s $ 39,786 9,604 10,066 35,327 5,269 1,351 3,347 399 4,412 109,561 15,286 11,521 11,341 6,960 6,500 3,602 12,214 8,313 6,031 7,466 3,989 520 1,452 607 95,802 13,759 13,759 298,390 $ 312,149 2004 $ 40,177 9,109 8,451 34,173 5,311 1,609 2,047 1,074 4,081 106,032 15,015 10,423 12,051 2,580 6,527 3,440 12,344 8,011 6,103 7,219 3,898 515 652 549 89,327 16,705 16,705 281,7&5 $ 298,490 Business-type Activities: Business-type activities increased the City's total assets by $4,302,000. The increases in net assets were primarily in the Wastewater, Water, and Sanitation funds. For all business- type activities, revenues exceeded expenses by $4,947,000. This was primarily due to increases in revenue derived from charges for services and miscellaneous revenue. 19 Governmental Activities FY200S Revenue by Source Other Taxes 10% Misc. Other 9% Charges for services 10% J Grants and Contributions 16% Business-Type Activities FY200S Revenue by Source Misc. Other 50/0 Charges for services 74% 20 18,000 r~ , PuUic 16,000 t ~gf...iy , 14,000 Culture and 12,000 ~ fa, 10,000 f .!! ~ 8,000 6,000 4,000 2,000 14,000 --- 12,000 "-- 10,000 ~ '" 8,000 - f .!! ~ 6,000 4,000 2,000 0 . .-=-= I I , Governmental Activities moos Expenditures by Program Area (amounts expressed in thousands) o Program Area Business-Type Activities moos Expenditures by Program Area (amounts expressed in thousands) Housing Authority Parking I StormlWter Ai rport --- Program Area 21 i ----j ...; Ex nse .=:1... I CaUe1V . --I , I I I I I I Financial Analysis of the Government's Funds As noted earlier, the City uses fund accounting to ensure and demonstrate compliance with finance- related legal requirements. Governmental Funds: The financial reporting focus of the City's governmental funds is to provide information on near-term inflows, outflows, and balances of spendable resources. Such information may be/is useful in assessing the City's financing requirements. In particular, unreserved fund balance may serve as a useful measure of a government's net resources available for spending at the end of the fiscal year. As of the fiscal year ended June 30, 2005, the City's governmental funds reported combined ending fund balances of $33,517,000, a decrease of $2,630,000 in comparison with the prior year. Of this total amount, $27,890,000 constitutes unreserved fund balance, which is available to use as working capital for the General Fund since property tax revenues are received only twice a year and the remainder is available to meet the future needs of the City. The remainder of the fund balance (16.8%) is reserved to indicate that it is not available for new spending because it has already been committed. This remainder has been committed ]) to liquidate contracts and purchase orders of the prior period ($99] ,000), 2) to fund various debt service payments ($3,067,000), and 3) to fund employee retirement commitments ($1,036,000). The General Fund is the chief operating fund of the City. As of the fiscal year ended June 30, 2005, the unreserved fund balance of the Genera] Fund was $]5,525,000, while General Fund's total fund balance was $15,887,000. As a measure of the General Fund's liquidity, it may be useful to compare both "unreserved fund balance" and "total fund balance" to "total fund expenditures". Unreserved fund balance represents 38.6% of total General Fund expenditures ($40,181,000), while total fund balance represents 39.5% of that same amount. The fund balance of the City's General Fund increased by $1,608,000 during the current fiscal year. A key factor in this increase were reductions of expenditures. Proprietary Funds: The City's proprietary funds provide the same type of information found in the governrnent-wide financial statements, but in more detail. The ending net assets of the enterprise funds were $200,754,000, a net asset increase of $4, 119,000. This was primarily due to an increase in the investment of capital assets, net of related debt. Of the enterprise funds' net assets, $]50,797,000 is invested in capital assets, net ofrelated debt. Unrestricted net assets totaled $34,919,000, an increase of$4,35 1,000 compared to the previous year. The Internal Service funds showed net assets totaling $15,365,000 as of June 30, 2005, an increase of $736,000 from the previous year. Budgetary Highlights The City presents budgetary information as allowed by GASB Statement No. 41. Budgets are based on nine functional areas as required by state statute, not by fund or fund type. The City had one budget amendment during the fiscal year that is our common practice. This amendment increased the expenditure budget by $26.2 million to a total of $184.5 million. This represented a ] 6.6 percent increase. The major increase was due to capital projects in governmental and business-type funds due to timing of completion of projects. 22 __ ______._._~~_____.'"..___._____'_......_. _ ,.. _~.,.___.._,_"__,~_____._,,._ __,,_,,~.,______._.~~____.____m_.'____~~'_'"_'" __.___.___m__.'_"_"__'_'_~'__""___""'_'_"'_'_"_'..-...-.....-.....---"--" - _.~.__.,,,.._----,,--- Capital Assets and Debt Administration Capital Assets: The City's investment in capital assets for its governmental and business-type activities as of June 30, 2005 amounts to $395,842,000 (net of accumulated depreciation). This investment in capital assets, including land, buildings, improvements other than buildings, equipment, streets, bridges, trails, wastewater and water systems, and other infrastructure represents the value of resources utilized to provide services to its citizens. The City's investment in capital assets for the fiscal year ended June 30, 2005 increased by $8,693,000 for governmental activities compared to the prior year and decreased by $5,554,000 for business-type activities over the prior year. The following table reflects the $395,842,000 investment m capital assets (net of accumulated depreciation). Oty onowa Oty's Capital Assets (net of depreciation) (arrounts expressed in thousands) Governmental Activities Business-type Activities Total 2005 2004 2005 2004 2005 2004 Land $ 12,922 Buildings 33,766 Inprovem:nts other than buildings 2,958 Machinery and equiprrent 11,121 Infrastructure 64,312 Crnstructioninprogress 16,202 Total $ 141,281 $ 12,381 $ 22,289 $ 22,226 $ 35,211 $ 34,607 33,903 87,213 91,045 120,979 124,948 2,938 8,697 9,377 11,655 12,315 11 ,225 13,336 14,330 24,457 25,555 60,846 119,773 118,873 184,085 179,719 11,295 3,253 4,264 19,455 15,559 132,588 $ 254,561 $ 260,115 $ 395,842 $ 392,703 $ Major capital asset events during the current fiscal year included the following: . Court Street Transportation Center that will include facilities for interstate bus service, taxi service, a parking facility and day care center began construction in FY04; CIP at fiscal year end totaled $10,924,000. . The extension of Mormon Trek Boulevard from Highway 1 to Highway 921 and accompanying sanitary sewer construction was complete in FY05. The total amount capitalized was $3,057,000. . A variety of street and storm sewer construction in new residential areas and replacement and expansion of existing infrastructure amounted to $2,928,000. Additional information on the City's capital assets can be found in Note 5 to the financial statements. Debt Administration: At the end of the fiscal year, the City had total bonded debt outstanding of $196,220,000. Of this amount, $85,290,000 comprises debt backed by the full faith and credit of the City. However, 10% ofthis total, $8,274,600 is debt that serves enterprise funds and is abated by their charges for services. The remaining $110,930,000 represents revenue bonds secured solely by specific revenue sources. 23 .._~_._._---_.~,..,-- ._._-------~--- .-.--,-.-..,.... - '----.-',...-'. -----_._.~_.,--,- City of Iowa City's Outstanding Debt General Obligation and Revenue Bouds (amounts expressed in thousands) Governmental Business-type Activities Activities Total 2005 2004 2005 2004 2005 2004 General obligation bonds $ 77,015 $ 79,345 $ 8,275 $ 9,640 $ 85,290 $ 88,985 Revenue bonds ] 10,930 115,710 11 0,930 115,710 Total $ 77,015 $ 79,345 $ 119,205 $ 125,350 $ 1%,220 $ 204,695 During the current fiscal year the City's total bonded debt decreased by $8,475,000. . The City issued $7,020,000 in General Obligation bonds during FY05. The bonds were used to finance the cost of the City's 2005 Capital Improvements Program. The City continues to have the same excellent bond rating on its General Obligation bonds that it has had for the past several years. This rating is given to those bonds judged to be of the best quality and carrying the smallest degree of investment risks. The City's bond ratings by Moody's Investors Services, Inc, as of June 30, 2005 were as follows: General obligation bonds Parking revenue bonds Wastewater treatment revenue bonds Waterrevenue bonds Aaa A A A The City continues to operate well under the State debt capacity debt limitations. State statute limits the amount of General Obligation Debt outstanding to 5% of the assessed value of all taxable property in Iowa City. The current debt limitation for the City is $160,748,652, With outstanding General Obligation Debt applicable to this limit of $85,290,000 we are utilizing 53% of this limit. More detailed information on debt administration is provided in Note 6 of the financial statements. Economic Factors and Next Year's Budget and Rates The City's expectation is continued constraints by the State, property tax formula. Therefore, the City will not have opportunities for new initiatives and will strive to maintain current service delivery levels, Requests for Information This report is designed to provide a general overview of the City of Iowa City's finances for all of those with an interest in the government's finances, Questions concerning any of the information provided in this report, or requests for additional financial information should be addressed to City of Iowa City, Finance Department, 410 E. Washington Street, Iowa City, lA, 52240, 24 -_._"--~--------_.--~-_.,-_.'~"-"'-----~--- ~ r"-, m1Ir - I '.l J.- .1:-:.:._ ___,A,-.<) '. ---~--rf"--~ <~~~ 25 CITY OF IOWA CITY, IOWA STATEMENT OF NET ASSETS June 30, 2005 (amounts expressed in thousands) Assets Equity in pooled cash and investments Receivables: Property tax Accounts and unbilled usage Interest Notes Internal balances Due from other governments Prepaid insurance Inventories Restricted assets: Equity in pooled cash and investments Capital assets: Land and construction in progress Other capital assets (net of accumulated depreciation) Total assets Liabilities Accounts payable Contracts payable Accrued liabilities Interest payable Deposits Due to other govenunents Unearned revenue Noncurrent liabilities: Due within one year: Employee vested benefits Bonds payable Due in more than one year: Employee vested benefits Notes Payable Bonds payable Landfill closure/post-closure liability Total liabilities Governmental Activities $ 38,495 $ 36,645 231 529 9,334 (6,446) 5,282 5 410 9,847 29,124 112,158 235,614 Business-type Activities 45,747 $ 3,457 799 1,313 6,446 276 360 25,572 25,540 229,020 338,530 Total 84,242 36,645 3,688 1,328 10,647 5,558 5 770 35,419 54,664 341,178 574,144 2,191 899 3,090 2,580 314 2,894 2,599 276 2,875 326 2,750 3,076 752 594 1,346 116 116 42,510 42,510 923 218 1,141 6,111 6,410 12,521 883 203 1,086 211 211 70,994 111,710 182,704 8,425 8,425 130,080 131,915 261,995 (continued) 26 CITY OF IOWA CITY, IOWA STATEMENT OF NET ASSETS (continued) June 30, 2005 (amounts expressed in thousands) Governmental Business-type Activities Activities Total Net Assets Invested in capital assets, net of related debt $ 84,768 $ 150,797 $ 235,565 Restricted for or by: Employee benefits 1,306 1,306 Capital projects 8,245 8,245 Debt service 3,067 3,067 Streets 4,307 4,307 Other purposes 48 48 Bond ordinance 12,540 12,540 State statute 431 431 Future improvements 54 54 Grant agreement 2,013 2,013 Unrestricted 3,793 40,780 44,573 Total net assets $ 105,534 $ 206,615 $ 312,149 The notes to the financial statements are an integral part of this statement. 27 CITY OF lOW A CITY, lOW A STATEMENT OF ACTIVITIES For the Year Ended June 30, 2005 (amounts expressed in thousands) Program Revenues Operating Capital Charges Grants and Grants and Functions/Prol(rams: Expenses for Services Contributions Contributions Governmental activities: Public safety $ 15,286 $ 2,928 $ 149 $ 19 Public works 11,521 1,076 782 7,580 Culture and recreation 11,341 653 I 80 Community and economic development 6,960 1,660 General government 6,500 1,482 Interest on long-term debt 3,602 Total governmental activities 55,210 6,139 2,592 7,679 Business-type activities: Wastewater Treatment 12,214 12,145 761 Water 8,313 8,602 588 Sanitation 6,031 7,154 Housing Authority 7,466 181 7,012 Parking 3,989 4,045 Airport 520 220 283 Stormwater 1,452 592 755 Cable television 607 708 Total business-type activities 40,592 33,647 7,012 2,387 Total $ 95,802 $ 39,786 $ 9,604 $ 10,066 General revenues: Property taxes, levied for general purposes Road use tax Hotel/motel tax Gas and electric tax Earnings on investments Gain on disposal of capital assets Miscellaneous Transfers Total general revenues and transfers Changes in net assets Net assets beginning of year (as restated) Net assets end of year The notes to the financial statements are an integral part of this statement. 28 Net (Expense) Revenue and Changes in Net Assets Governmental Business-type Activities Activities Total $ (12,190) $ - $ (12,190) (2,083) (2,083) ( 10,607) (10,607) (5,300) (5,300) (5,018) (5,018) (3,602) (3,602) (38,800) (38,800) 692 877 1,123 (273) 56 (17) (105) 101 2,454 2,454 692 877 1,123 (273) 56 (17) (105) 101 2,454 (36,346) (38,800) 35,327 35,327 5,269 5,269 602 602 749 749 1,576 1,771 3,347 95 304 399 3,994 418 4,412 645 (645) 48,257 1,848 50,105 9,457 4,302 13,759 96,077 202,313 298,390 $ 105,534 $ 206,615 $ 312,149 29 CITY OF lOW A CITY, lOW A BALANCE SHEET GOVERNMENTAL FUNDS June 30, 2005 (amounts expressed in thousands) Special Capital Revenue Projects Other Employee Other Debt Governmental General Benefits Construction Service Funds Total Assets Equity in pooled cash and investments $ 16,899 $ 1,255 $ 344 $ 2,345 $ 6,709 $ 27,552 Receivables: Property tax 19,837 8,135 8,673 36,645 Accounts and unbilled usage 135 135 Interest 211 17 67 23 94 412 Notes 95 401 8,838 9,334 Advances to other funds 256 18 274 Due from other governments 1,366 187 719 2,964 5,236 Inventories 170 170 Restricted assets: Equity in pooled cash and investments 1,113 8,733 9,846 Total assets $ 39,826 $ 9,594 $ 9,863 $ 11,698 $ 18,623 $ 89,604 (continued) 30 CITY OF lOW A CITY, IOWA BALANCE SHEET (continued) GOVERNMENTAL FUNDS June 30, 2005 (amounts expressed in thousands) Special Capital Revenue Projects Other Employee Other Debt Governmental General Benefits Construction Service Funds Total Liabilities and Fund Balances Liabilities: Accounts payable $ 680 $ 4 $ 49 $ $ 751 $ 1,484 Contracts payable 910 1,670 2,580 Accrued liabilities 1,007 4 39 1,051 Advances from other funds 548 55 256 859 Deferred revenue 20,952 8,283 600 8,631 10,895 49,361 Liabilities payable from restricted assets: Deposits 752 752 Tatalliabilities 23,939 8,288 1,618 8,631 13,611 56,087 Fund balances: Reserved for: Inventories 170 170 Encumbrances 99 892 991 Debt service 3,067 3,067 Employee retirement commitments 1,306 1,306 Perpetual care 93 93 Unreserved Designated: For future improvements 7,353 7,353 Undesignated: General fund 15,525 15,525 Special revenue funds 6,222 6,222 Capital projects f~nds (1,210) (1,210) Total fund balances 15,887 1,306 8,245 3,067 5,012 33,517 Total liabilities and fund balances $ 39,826 $ 9,594 $ 9,863 $ I t,698 $ 18,623 $ 89,604 The notes to the financial statements are an integral part of this statement. 31 CITY OF IOWA CITY, IOWA RECONCILlA nON OF THE BALANCE SHEET OF THE GOVERNMENTAL FUNDS TO THE STATEMENT OF NET ASSETS June 30, 2005 (amounts expressed in thousands) Total governmental fund balances Amounts reported for governmental activities in the statement of net assets are different because: Internal service funds are used by management to charge the costs of certain activities to individual funds. The assets and liabilities of the internal service funds are included in governmental activities in the statement of net assets. Prepaid insurance benefits future periods and is included in governmental activities in the statement of net assets. Other long-term assets are not available to pay for current period expenditures and therefore are deferred in the funds: Notes receivable - Earned but unavailable Capital assets used in governmental activities are not current financial resources and therefore are not reported in the funds. Accrued compensated absences are not due and payable in the current period and therefore are not reported in the funds. Bonds payable are not due and payable in the current period and therefore are not reported in the funds. Notes payable are not due and payable in the current period and therefore are not reported in the funds. Accrued interest on bonds Internal balance due to integration of internal service funds Total net assets of governmental activities The notes to the financial statements are an integral part of this statement. 32 $ 33,517 15,365 5 6,851 135,017 (1,718) (77,105) (211) (326) (5,861) $ 105,534 CITY OF lOW A CITY, IOWA STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES GOVERNMENTAL FUNDS For the Year Ended June 30, 2005 (amounts expressed in thousands) Special Capital Revenue Projects Other Employee Other Debt Governmental General Benefits Construction Service Funds Total Revenues Taxes $ 20,386 $ 7,561 $ $ 8,183 $ 547 $ 36,677 Licenses and pennits 1,255 1,255 Intergovernmental 1,655 5,602 8,289 15,546 Charges for services 3,091 183 27 3,301 Use of money and property 757 33 152 209 203 1,354 Miscellaneous 3,443 43 100 535 4,121 Total revenues 30,587 7,777 5,797 8,492 9,601 62,254 Expenditures Current: Public safety 14,519 71 II 14,601 Public works 8,340 291 1,067 9,698 Culture and recreation 8,968 215 9,183 Community and economic development 803 49 5,523 6,375 General government 5,969 189 124 6,282 Debt service: Principal 9,349 9,349 Interest 3,676 3,676 Capital outlay 1,582 7,427 4,930 13,939 Total expenditures 40,181 260 8,117 13,025 11,520 73,103 Excess (deficiency) of revenues over (under) expenditures (9,594) 7,517 (2,320) (4,533) (1,919) (10,849) Other Financing Sources (Uses) Issuance of debt 7,020 7,020 Sale of capital assets 397 9 406 Issuance of note payable 211 211 Premium (discount) on issuance of bonds 43 43 Transfers in 11,473 298 670 3,335 15,776 Transfers out (668) (7,755) (1,667) (5,147) (15,237) Total other financing sources and (uses) 11,202 (7,755) 5,703 670 (1,601) 8,219 Net change in fund balances 1,608 (238) 3,383 (3,863) (3,520) (2,630) Fund Balances, Beginning (as restated) 14,279 1,544 4,862 6,930 8,532 36,147 Fund Balances, Ending $ 15,887 $ 1,306 $ 8,245 $ 3,067 $ 5,012 $ 33,517 The notes to the financial statements are an integral part of this statement. 33 -.3AT1. c ~ ~_ t!'-""_n. '.-..'~/~- 34 RECONCILIA nON OF THE STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES For the Year Ended June 30, 2005 (amounts expressed in thousands) Net change in fund balances - total governmental funds Amounts reported for governmental activities in the statement of activities are different because: Governmental funds report capital outlays as expenditures while governmental activities report depreciation expense to allocate those expendirures over the life of the asset. Capital outlays and contributed capital assets exceeded depreciation expense in the current year as follows: Expenditures for capital assets Capital assets contributed Depreciation expense $ 12,396 1,436 (4,654) Bond proceeds are reported as financing sources in governmental funds and thus contribute to the change in fund balance. In the statement of net assets, however, issuing debt increases long-term liabilities and does not affect the statement of activities. Similarly, repayment of principal is an expenditure in the governmental funds but reduces the liability in the statement of net assets. Debt issued Premium on bonds issued Repayments of debt Amortization of premium (7,020) (43) 9,349 12 The issuance of notes payable are reported as financing sources in governmental funds and thus contribute to the change in fund balance. In the statement of net assets, however, issuing notes increases long-term liabilities and does not affect the statement of activities. Because some revenues will not be collected for several months after the City's year end, they are not considered available revenues and are deferred in the governmental funds. Some expenses reported in the statement of activities do not require the use of current financial resources and therefore are not reported as expenditures in governmental funds: Change in accrued compensated absences Change in accrued interest on debt In the statement of activities, only the gain on the sale of the capital assets is recognized, whereas in the governmental funds, the proceeds from the sale increased financial resources. Thus, the change in net assets differs from the change in fund balance by the cost of the capital asset sold. Internal service funds are used by management to charge the costs of certain activities to individual funds. The net revenue of certain activities of internal service funds is reported with governmental activities. Change in net.assets of governmental activities The notes to the financial statements are an integral part of this statement. 35 $ (2,630) 9,178 2,298 (211) 608 (91) 62 (310) 553 $ 9,457 CITY OF lOW A CITY, lOW A STATEMENT OF NET ASSETS PROPRIETARY FUNDS June 30, 2005 (amounts expressed in thousands) Governmental Business-type Activities - Enterprise Funds Activities - Other Internal Wastewater Housing Enterprise Service Treatment Water Sanitation Authority Funds Total Funds Assets Current assets: Equity in pooled cash and investments $ 10,889 $ 14,234 $ 15,324 $ 1,576 $ 3,724 $ 45,747 $ 10,943 Receivables: Accounts and unbilled usage 1,472 1,025 612 4 344 3,457 96 Interest 197 218 278 45 61 799 117 Notes 1,063 250 1,313 Advances to other funds 1,862 1,862 Due from other governments 121 1 37 117 276 46 Inventories 360 360 240 Total current assets 12,558 15,958 18,077 2,725 4,496 53,814 11,442 Noncurrent assets: Restricted assets: Equity in pooled cash and investments 8,579 4,355 9,285 2,013 1,340 25,572 Capital assets: Land 695 6,296 325 928 14,044 22,288 45 Buildings and structures 59,486 23,306 898 5,750 29,186 118,626 847 Improvements other than buildings 7,365 2,253 121 408 10,147 50 Equipment and vehicles 9,844 10,243 153 115 744 21,099 12,158 Infrastructure 82,269 37,744 9,315 29,616 158,944 940 Accumulated depreciation (42,117) (10,839) (6,335) (3,022) (17,483) (79,796) (7,864) Construction in progress 274 2,516 93 369 3,252 89 Total noncurrent assets 126,395 75,874 13,855 5,784 58,224 280,132 6,266 Total assets 138,953 91,832 31,932 8,509 62,720 333,946 17,708 (continued) 36 -. "--,--,._--,-~~---_._._--,~-,._-_._--~----...__..,.__._'-...._.~...._,.-_.",--~_.._-----------'-'--'-'----"-'-'-------,-------~'-.~._-"._,_..... CITY OF lOW A CITY, lOW A STATEMENT OF NET ASSETS (continued) PROPRIETARY FUNDS Liabilities Current liabilities: Accounts payable Contracts payable Accrued liabilities Advances from other funds Due to other governments Bonded debt payable (net of unamortized discounts) Total current liabilities Noncurrent liabilities: Liabilities payable from restricted assets: Interest payable Deposits Advances from other funds Bonded debt payable (net of unamortized discounts) Landfill c1osure/postclosure liability Total noncurrent liabilities Total liabilities Net Assets Invested in capital assets, net of related debt Restricted by bond ordinance Restricted by state statute Restricted for future improvements Restricted by grant agreement Unrestricted Total net assets 1,734 687 329 2,750 369 213 II 594 18 18 67,986 32,775 10,949 111,710 8,425 8,425 69,720 33,831 8,426 231 11,289 123,497 74,058 36,515 8,738 369 13,512 133,192 2,343 June 30, 2005 (amounts expressed in thousands) Business-type Activities - Enterprise Funds Other Wastewater Treatment Housing Authority Enterprise Funds Total Sanitation Water $ 199 $ 451 $ 47 $ 68 $ 134 $ 899 $ 30 199 40 45 314 125 190 160 52 170 697 1,259 1,259 I 32 65 18 116 3,983 1,812 615 6,410 4,338 2,684 312 138 2,223 9,695 53,758 8,578 42,187 2,685 4,570 3,771 46,511 150,797 1,277 12,540 431 431 54 54 2,013 2,013 18,193 2,356 1,366 34,919 2,559 10,445 $ 64,895 $ 55,317 $ 200,754 $ 23,194 $ 8,140 $ 49,208 Adjustment to reflect the consolidation of internal service fund activities related to enterprise funds. Net assets of business-type activities 5,861 $ 206,615 The notes to the financial statements are an integral part of this statement 37 Governmental Activities - Internal Service Funds 707 1,636 2,343 6,265 9,100 15,365 A-f'~ ~ _n;1 <'^t".t~::!-,_i4-____~ ~ , ,_V.i_'" 1_"',_. ~ 38 CITY OF IOWA CITY, IOWA STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN FUND NET ASSETS PROPRIETARY FUNDS For the Year Ended June 30, 2005 (amounts expressed in thousands) Governmental Business-type Activities - Enterprise Funds Activities- Other Internal Wastewater Housing Enterprise Service Treatment Water Sanitation Authority Funds Total Funds Operating Revenues: Charges for services $ 12,145 $ 8,602 $ 7,154 $ 181 $ 5,565 $ 33,647 $ 11,270 Miscellaneous 57 175 24 37 125 418 Total operating revenues 12,202 8,777 7,178 218 5,690 34,065 11,270 Operating Expenses: Personal services 1,676 1,920 1,853 741 2,059 8,249 1,402 Commodities 605 1,236 215 51 878 2,985 1,258 Services and charges 2,122 1,611 3,303 6,447 1,172 14,655 7,083 4,403 4,767 5,371 7,239 4,109 25,889 9,743 Depreciation 4,299 1,890 672 243 1,794 8,898 1,355 Total operating expenses 8,702 6,657 6,043 7,482 5,903 34,787 11,098 Operating income (loss) 3,500 2,120 1,135 (7,264) (213) (722) 172 Nonoperating Revenues (Expenses): Gain (loss) on disposal of equipment (31) (16) 351 304 128 Operating grants 7,012 7,012 Interest income 398 510 531 115 217 1,771 235 Interest expense (3,533) (1,677) (682) (5,892) Total nonoperating revenues (expenses) (3,166) (1,183) 531 7,478 (465) 3,195 363 Income (loss) before capital contributions and transfers 334 937 1,666 214 (678) 2,473 535 Capital contributions 761 588 1,038 2,387 Transfers in 172 336 20 408 936 201 Transfers out (177) (670) (71) (306) (453) (1,677) Change in net assets 1,090 1,191 1,615 (92) 315 4,119 736 Net Assets, Beginning (as restated) 63,805 54,126 21,579 8,232 48,893 14,629 Net Assets, Ending $ 64,895 $ 55,317 $ 23,194 $ 8,140 $ 49,208 $ 15,365 Adjustment to reflect the consolidation of internal service fund activities related to enterprise funds. 183 Change in net assets of business-type activities $ 4,302 The notes to the financial statements are an integral part of this statement. 39 CITY OF lOW A CITY, IOWA STATEMENT OF CASH FLOWS PROPRIETARY FUNDS For the Year Ended June 30, 2005 (amounts expressed in thousands) 40 CITY OF lOW A CITY, IOWA STATEMENT OF CASH FLOWS (continued) PROPRIETARY FUNDS For the Year Ended June 30, 2005 (amounts expressed in thousands) Housing Authority Governmental Activities - Internal Service Funds Wastewater Treatment Business-type Activities - Enterprise Funds Other Enterprise Funds Water Sanitation Total Reconciliation of operating income (loss) to net cash flows from operating activities: Operating income (loss) $ 3,500 $ 2,120 $ 1,135 $ (7,264) $ (213) $ (722) $ 172 Adjustments to reconcile operating income (loss) to net cash flows from operating activities: Depreciation expense 4,299 1,890 672 243 1,794 8,898 1,355 Changes in: Receivables: Accounts and unbilled usage 62 (12) 8 (3) (III) (56) (42) Due from other governments (107) (20) (2) (129) (2) Inventories (37) (37) (30) Accounts payable 120 214 (11 ) 50 807 1,180 301 Accrued liabilities 4 43 18 10 3 78 28 Due to other governments 11 3 (2) 12 Deposits (10) J (80) 7 (82) Landfill c1osure/postclosure liability 550 550 Total adjustments 4,485 1,992 1,241 198 2,498 10,414 1,610 Net cash flows from operating activities $ 7,985 $ 4,U2 $ 2,376 $ (7,066) $ 2,285 $ 9,692 $ 1,782 Noncash Investing, Capital, and Financing Activities: Contributions of capital assets from government and others $ 761 $ 588 $ - $ - $ 755 $ 2,104 $ The notes to the financial statements are an integral part of this statement. 41 CITY OF IOWA CITY, IOWA STATEMENT OF FIDUCIARY ASSETS AND LIABILITIES June 3D, 2005 (amounts expressed in thousands) Agency Funds Assets Equity in pooled cash and investments Accounts receivable Interest receivable Total assets $ 353 16 3 372 $ Liabilities Accounts payable Accrued liabilities Due to agency Total liabilities $ 69 3 300 372 $ The notes to the financial statements are an integral part of this statement. 42 CITY OF IOWA CITY, IOWA NOTES TO FINANCIAL STATEMENTS June 30, 2005 1. Accounting Policies The City of Iowa City, Iowa, (the City) was incorporated April 6, 1853, and operates under the Council/Manager form of government. The City provides a broad range of services to its citizens including general government, a mass transportation system, public safety, streets, parks, and cultural facilities. It also operates an airport, parking facilities, water treatment, wastewater treatment, stormwater collection, sanitation collection and disposal (including landfill operations), cable television, and a housing authority. The financial statements of the City have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP) as applied to governmental units. The Governmental Accounting Standards Board (GASB) is the accepted standard-setting body for establishing governmental accounting and financial reporting principles. The more significant accounting policies of the City are described below. The Reporting Entity For financial reporting purposes, the City includes all of its funds, organizations, agencies, boards, commissions, and authorities. The City has also considered all potential component units for which it is financially accountable, and other organizations for which the nature and significance of their relationship with the City are such that exclusion would cause the City's financial statements to be misleading or incomplete. The Governmental Accounting Standards Board has set forth criteria to be considered in determining financial accountability. These criteria include appointing a voting majority of an organization's governing body, and (I) the ability of the City to impose its will on that organization or (2) the potential for the organization to provide specific benefits to, or impose specific financial burdens on the City. There were no component units required to be included. Government-Wide and Fnnd Financial Statements The government-wide financial statements (i.e., the Statement of Net Assets and the Statement of Activities) report information on all of the nonfiduciary activities of the primary government. Governmental activities, which normally are supported by taxes and intergovernmental revenues, are reported separately from business-type activities, which rely to a significant extent on fees and charges for support. The Statement of Activities demonstrates the degree to which the direct expenses of a given function or segment are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or segment. Program revenues include I) charges to customers or applicants who purchase, use, or directly benefit from goods, services, or privileges provided by a given function or segment and 2) grants and contributions that are restricted to meeting the operational or capital requirements of a particular function or segment. Taxes and other items not properly included among program revenues are reported as general revenues. As a general rule, the effect of interfund activity has been eliminated from the government-wide financial statements. Exceptions to this general rule are charges between the City's water and sewer function and various other functions of the government. Eliminations of these charges would distort the direct costs and program revenues reported for the various functions concerned. 43 CITY OF IOWA CITY, IOWA NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 Separate financial statements are provided for governmental funds and proprietary funds. Major individual government~l funds and major individual enterprise funds are reported as separate columns in the fund financial statements. Description of Funds These financial statements include all funds owned or administered by the City, for which the City acts as custodian. The City maintains its records on a modified cash basis of accounting under which only cash receipts, cash disbursements and encumbrances, investments, and bonded debt are recorded. These modified cash basis accounting records have been adjusted to the accrual or modified accrual basis, as necessary, to prepare the accompanying financial statements in accordance with GAAP. The accounts-of the City are organized on the basis of funds, each of which is considered to be a separate accounting entity. The fund categories are governmental, proprietary, and fiduciary. Each fund is accounted for by providing a separate set of self-balancing accounts that comprise its assets, liabilities, net assets, revenues, and expenditures or expenses, as appropriate. The individual funds account for the governmental resources allocated to them for the purpose of carrying on specific activities in accordance with laws, regulations, or other restrictions. Basis of Accounting The accounting and financial reporting treatment applied to a fund is determined by its "nieasurement focus." The government-wide financial statements, proprietary funds, and fiduciary funds are accounted for on the flow of economic resources measurement focus and use the accrual basis of accounting. Under this method, revenues are recorded when earned and expenses are recorded at the time liabilities are incurred. The City applies all applicable Financial Accounting Standards Board pronouncements issued on or before November 30, 1989, except those that conflict with GASB pronouncements, in accounting and reporting for these funds. All governmental funds are accounted for using a current financial resources measurement focus, which generally includes only current assets and current liabilities on the balance sheet. The modified accrual basis of accounting is used for these funds. Under the modified accrual basis, revenue is recognized when susceptible to accrual, which is in the period in which it becomes both available (collectible within the current period or soon thereafter to be used to pay liabilities of the current period) and measurable (the amount of the transaction can be determined). Revenue accrued includes property taxes, intergovernmental revenue, and interest earned on investments (if they are collected within 60 days after the year-end). Expenditures are recorded when the related fund liability is incurred. Principal and interest on long-term debt, as well as expenditures related to compensated absences and claims and judgments, are recorded only when payment is due. The City reports the following major governmental funds: The General Fund is the City's primary operating fund. It accounts for all financial resources of the general government, except those required to be accounted for in another fund. 44 CITY OF IOWA CITY, lOW A NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 The Employee Benefits Fund is used to account for the employee benefits related to those employees who are paid through governmental fund types, which are funded by a separate property tax levy. The Capital Projects Other Construction Fund accounts for the construction or replacement of certain City general capital assets, such as administrative buildings, with various funding sources including general obligation bonds, intergovernmental revenues and contributions. The Debt Service Fund accounts for the accumulation of resources for and the payment of general long-term debt principal, interest, and related costs. The City reports the following major proprietary funds: The Wastewater Treatment Fund is used to account for the operation and maintenance of the wastewater treatment facility and sanitary sewer system. The Water Fund is used to account for the operation and maintenance of the water system. The Sanitation Fund is used to account for the operation and maintenance of the solid waste collection system and landfill. The Housing Authority Fund is used to account for the operations and activities of the City's low and moderate income housing assistance and public housing programs. Additionally, the City reports internal service funds to account for goods and services provided by one department to other City departments on a cost reimbursement basis. The funds in this category are the Equipment Maintenance Fund, Central Services Fund, Loss Reserve Fund, and the Information Technology Fund. The City also reports fiduciary funds which are used to account for resources held for the benefit of parties outside the government. Fiduciary funds are not reflected in the government-wide financial statement because the resources of those funds are not available to support the City's own programs. The accounting used for fiduciary funds is much like that used for proprietary funds. The City has four fiduciary funds which are maintained as agency funds, with no attempt to create an ongoing fund balance. Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating revenues and expenses generally result from providing services and producing and delivering goods in connection with a proprietary fund's principal ongoing operations. The principal operating revenues of the City's enterprise funds and of the City's internal service funds are charges to customers for sales and services. Operating expenses for enterprise funds and internal service funds include the cost of sales and services, administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting this definition are reported as nonoperating revenues and expenses. When both restricted and unrestricted resources are available for use, it is the government's policy to use restricted resources first, then unrestricted resources as they are needed. 45 CITY OF lOW A CITY, IOWA NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 Uses of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue, expenditures and expenses, as appropriate, during the reporting period. Actual results could differ from these estimates. Material estimates that are particularly susceptible to significant change in the near-term relate to the determination of landfill closure and postclosure care costs, total capacity of the landfill at closure, and calculation of the costs of claims incurred, but not reported. Cash and Investments The City maintains one primary demand deposit account through which the majority of its cash resources are processed. Substantially all investment activity is carried on by the City in an investment pool, except for those funds required to maintain their investments separately. The earnings on the pooled investments are allocated to the funds on a systematic basis. All investments are stated at fair value. For the purpose of the Statement of Cash Flows, restricted and nonrestricted investments with a maturity of three months or less when purchased are considered cash equivalents. Receivables and Revenue Recognition Property tax receivable is recognized in governmental funds on the levy or lien date, which is the date that the tax asking is certified by the City to the County Board of Supervisors. Current year delinquent property tax receivable represents unpaid taxes from the current year. The succeeding year property tax receivable represents taxes certified by the City to be collected in the next fiscal year for the purposes set out in the budget for the next fiscal year. By statute, the City is required to certify its budget to the County Auditor by March 15 of each year for the subsequent fiscal year. However, by statute, the tax asking and budget certification for the following fiscal year becomes effective on the first day of that year. AJthough the succeeding year property tax receivable has been recorded, the related revenue is deferred in both the government-wide and fund financial statements and will not be recognized as revenue until the year for which it is levied. Federal and state grants, primarily capital grants, are recorded as receivables and the revenue is recognized during the period in which the City fulfills the requirements for receiving the grant awards, as long as the susceptible to accrual criteria are met. Income from investments in all fund types and from charges for services in proprietary fund types is recognized when earned. Licenses and permits, fines and forfeitures, fees and refunds, charges for services (in governmental fund types), miscellaneous and other revenues are recorded as revenue when received in cash because they are generally not measurable until actually received. Inventories Inventories are recognized only in those funds in which they are material to the extent of affecting operations. For the City, these are the General Fund, Water Fund, and the Equipment Maintenance Fund. Inventories are reported at the lower of cost (first-in, first-out) or market. The costs of governmental fund type inventories are recorded as expenditures when purchased. 46 CITY OF IOWA CITY, IOWA NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 Capital Assets Capital assets, which include property, buildings, equipment, and infrastructure assets (e.g., roads, bridges, sidewalks, and similar items), are reported in the applicable governmental or business-type activities columns in the government-wide financial statements. The City follows the policy of not capitalizing an asset with an initial, individual cost of less than $50,000 for infrastructure assets and $5,000 for remaining assets. Such assets are recorded at original purchase cost or at fair value at the date of donation when received as donated properties. Depreciation is computed using the straight-line method over the following estimated useful lives: Infrastructure Buildings and structures Improvements other than buildings Vehicles Other equipment 3 - 100 years 20 - 50 years 15 - 50 years 2 - 20 years 5 - 30 years Bond Premiums and Discounts Debt issued at a premium or discount is recorded net of the unamortized premium or discount. In the governmental funds, premiums and discounts are recorded entirely as other financing sources or uses in the year of issuance. In the proprietary funds and the government-wide statements, they are amortized over the life of the bonds. Compensated Absences Permanent City employees accumulate vacation and sick leave hours for subsequent use or for payment upon death, resignation, or retirement. The City pays its employees (except firefighters) one-half of the accumulated sick leave at the time of termination on the basis of the employee's then effective hourly base salary, provided that the dollar amount of the payment may be up to, but not exceed, the amount that an employee would be paid if the employee had terminated on June 28,1985. Employees hired on or after June 29, 1985, are not eligible for payment of accumulated sick leave upon termination, death, or retirement. Pensions The provision for pension cost is recorded on the accrual basis (based on statutorily determined contribution rates), and the City's policy is to fund pension costs as they accrue. LandfIll Closing Costs Costs expected to be incurred in ultimately closing the present landfill site are being systematically provided for through charges to expense over the estimated useful life of the landfill on the basis of capacity used (see Note 13). 47 CITY OF IOWA CITY, IOWA NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 Budgetary and Legal Appropriation and Amendment Policies The City prepares and adopts an annual function budget, as prescribed by Iowa statutes, for all funds except internal service and agency funds. This is formalized in a separate budgetary report, the Financial Plan. This budget is adopted on or before March 15 of each year to become effective July I, and constitutes the City's appropriation for each program and purpose specified therein until amended. The adopted budget must include the following: a. Expenditures for each function: Public safety Public works Health and social services Culture and recreation Community and economic development General government Debt service Capital outlay Business-type b. The amount to be raised by property taxation c. Income from sources other than property taxation d. Transfers in and transfers out The legal level of control (the level at which expenditures may not legally exceed appropriations) is the function level for all funds combined, rather than at the individual fund level. Management can transfer appropriations within a function, within a fund type, and between fund types, without the approval of the governing body so long as the total budget by function area will not be exceeded. It is necessary, therefore, to aggregate the expenditures of the budgeted activities within the governmental fund types with the expenditures of the budgeted activities within the enterprise funds on a function basis, and to compare such function totals to function budgeted totals in order to demonstrate legal compliance with the budget. The City's budget for revenue focuses on the individual fund revenue rather than on aggregated fund totals. The City formally adopts budgets for several funds that are not required by state law to be included in the annual function budget. Annual operating budgets are adopted for the internal service funds for management control purposes. Such budgets, however, are not legally required to be adopted under state statutes. These budgets are adopted and amended at the same time and in the same manner as the City's armual function budget. A City budget for the current fiscal year may be amended for any of the following purposes as prescribed by Iowa statute: a. To permit the appropriation and expenditure of unexpended, unencumbered cash balances on hand at the end of the preceding fiscal year. b. To permit the appropriation and expenditure of amounts anticipated being available from sources other than property taxation. c. To permit transfers between funds. d. To permit transfers between programs. 48 CITY OF lOW A CITY, IOWA NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 A budget amendment must be prepared and adopted in the same manner as the original budget. The City's budget was amended as prescribed, and the effects of those amendments are shown in the accompanying budgetary comparison schedule. The original budget was increased by $11. 7 million in revenues and other financing sources and by $26.2 million in expenditures and other financing uses. Appropriations as adopted or amended, and not encumbered, lapse at the end of the fiscal year. As allowed by GASB Statement No. 41, Budgetary Comparison Schedules - Perspective Differences, the City presents budgetary comparison schedules as required supplementary information based on the program structure of nine functional areas as required by state statute for its legally adopted budget. Restricted Assets Assets within the individual funds, which can be designated by the City Council for any use within the fund's purpose, are considered to be unrestricted assets. Assets, which are restricted for specific uses by bonded debt requirements, grant provisions, or other requirements, are classified as restricted assets. Liabilities which are payable from restricted assets, are classified as such. 2. Compliance and Acconntability At June 30, 2005, the Capital Project Fund for bridge, street, and traffic control construction reported a deficit fund balance of $1,210,000. The deficit is due to capital expenditures. The City anticipates receiving funds from the Iowa Department of Transportation. If not, bonds will be issued in 2006 to cover the capital expenditures. 3. Cash and Pooled Investments The City's deposits in banks at June 30, 2005 were entirely covered by federal depository insurance, national credit union administration, or by the State Sinking Fund in accordance with Chapter 12C of the Code of Iowa. This chapter provides for additional assessments against the depositories to insure there will be no loss of public funds. The City is authorized by statute to invest public funds in obligations of the United States government, its agencies and instrumentalities; certificates of deposit or other evidences of deposit at federally insured Iowa depository institutions approved by City Council and secured pursuant to the limitations set forth in Chapter 12C oUhe Code of Iowa; prime eligible bankers acceptances; certain high rated commercial paper; perfected repurchase agreements; Iowa Public Agency Investment Trust (IP AIT); certain registered open-end management investment companies registered with the Securities & Exchange Commission under the federal Investment Company Act of 1940; certain joint investment trusts; and warrants or improvement certificates of a drainage district. Investments are stated at fair value. 49 CITY OF IOWA CITY, IOWA NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 At June 30, 2005 the City had the following investments: ~ Van Kampen Mutual Fund Fair Value $172,413 Maturitv none In addition, the City had investments in the Iowa Public Agency Investment Trust which are valued at an amortized cost of $2,632,776 pursuant to Rule 2a-7 under the Investment Company Act of 1940. Interest rate risk. The City's investment policy limits the investment of general and operating funds to one year, unless a temporary extension of maturities is approved by the City Council. In such cases, the average maturity of each fund's portfolio shall not exceed 397 days. Funds not identified as operating funds may be invested in instruments whose maturities do not exceed five years at the time of purchase. Credit risk. The City's Van Kampen investment at June 30, 2005 is rated Aaa by Moody's Investors service. The investment in Iowa Public Agency Investment Trust is unrated. Concentration of credit risk. The City investment policy limits the amount that may be invested in any one issuer to a maximum amount approved by the City Council. The aforementioned Iowa Public Agency Investment Trust (IP AIT) and mutual funds represent investments in pools managed by others. IP AIT is a common trust established under Iowa law pursuant to Iowa Code Chapter 28E in 1987 to enable eligible Iowa public agencies to safely and effectively invest their available operating and reserve funds. IP AIT is registered under the Investment Company Act of ]940. The IP AIT portfolios have followed established money market mutual fund investment parameters designed to maintain a $] per unit net asset value since inception and were registered with the Securities and Exchange Commission (SEC). 4. Interfund Balances and Transfers Interfund balances for the year ended June 30, 2005, consisted of the following: Advances from Debt Nonmajor Service Sanitation Governmental Total - $ 547,937 $ $ 547,937 54,987 54,987 256,000 256,000 ]8,000 18,000 1.259.283 1,259,283 256 000 $ ] 862.207 $ 18000 $ 2136207 Advances to: General Capital projects - other Nonmajor governmental Housing Authority Nonmajor enterprise $ Total $ 50 CITY OF IOWA CITY, lOW A NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 Interfund balances at June 30, 2005, include advances due to/from other funds. Advances to/from other funds represent amounts for construction loans and land. $1,223,571 of the $1,259,283, $376,813 of the $547,937 and $16,640 of the $54,987 advances are not expected to be repaid within the next year. $247,067 of the $256,000 advance is not expected to be repaid within the next year. None of the $18,000 advance is expected to be repaid within the next year. 51 CITY OF lOW A CITY, lOW A NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 Interfund transfers for the year ended June 30, 2005, consisted of the following: Transfer From Employee Capital Projects - Nonmajor Wastewater Transfer to: General Benefits Other Governmental Treatment General $ $ $7,754,835 $ 9,479 $ 3,356,265 $ Capital projects - other 110,019 88,016 Debt service 657,000 12,855 Nonmajor governmental 350,500 566,072 1,317,794 143,886 Wastewater treatment 172,478 Water 336,290 Sanitation 20,000 Nonmajor enterprise 112,000 247,036 35,879 13,047 Internal service 76,024 15,124 20,546 Total transfer to $ 668 543 $ 7,754,835 L-1 667 189 $ 5 147099 $ 177 479 (continued) Transfers are used to move revenues and bond proceeds from the fund that State statutes or the budget requires them to be collected into the fund that the State statutes or the budget requires them to be expended. 52 CITY OF IOWA CITY, IOWA NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 Transfer From Nonmajor Total Water Sanitation Housing Enterprise Transfer From $ $ $ $ 352,823 $ 11,473,402 100,000 298,035 669,855 647,121 4,332 305,994 3,335,699 172,478 336,290 20,000 407,962 22.593 66.637 200.924 L 669.714 $ 70.969 $.. 305.994 $ 452 823 $ 16914.645 53 CITY OF IOWA CITY, IOWA NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 5. Capital Assets Capital asset activity for the year ended June 30, 2005, was as follows: Acquisitions Disposals Balance Beginning and and June 30, Julv I. 2004 Transfers Transfers 2005 Governmental activities: Capital assets, not being depreciated: Land $ 12,380,722 $ 1,103,309 $ 561,494 $ 12,922,537 Construction in progress 1 1.295.272 10,027.091 5.120.757 16.20 1.606 Total capital assets, not being depreciated 23.675.994 11.130.400 5.682.251 29.124.143 Capital assets. being depreciated: Buildings 44,229,908 2,243,089 1,190,586 45,282,411 Improvements other than buildings 3,736,093 173,382 19,009 3,890,466 Machinery and equipment 28,591,052 3,381,616 1,181,526 30,791,142 Infrastructure 73.854.887 5.084.891 78.939.778 Total capital assets being depreciated 150.411.940 10.882.978 2.391.121 158.903.797 Less accumulated depreciation for: Buildings 10,326,766 1,185,148 (4,426) 11,516,340 Improvements other than buildings 798,162 136,564 2,213 932,513 Machinery and equipment 17,365,595 3,069,778 765,221 19,670,152 Infrastructure 13.009.287 1.617.026 (1.707) 14.628.020 Total accumulated depreciation 41.499.810 6.008.516 761.301 46.747.025 Total capital assets, being depreciated, net $108.912.130 $ 4.874.462 $ 1.629.820 $ 112.156.772 Governmental activities capital assets, net $132 588 124 $ 16.004.862 $ 7.312 071 $ 141.280.915 54 CITY OF lOW A CITY, IOWA NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 Beginning Acquisitions Disposals Balance July I, 2004 and and June 30, as Restated Transfers Transfers 2005 Business-type activities: Capital assets, not being depreciated: Land $ 22,227,324 $ 61,245 $ $ 22,288,569 Construction in progress 4,262,411 1.527.046 2.536,475 3.252.982 Total capital assets, not being depreciated 26,489.735 1.588.291 2.536,475 25.541.551 Capital assets, being depreciated: Buildings 119,087,813 417,003 879,073 118,625,743 Improvements other than buildings 10,407,902 183,953 444,834 10,147,021 Machinery and equipment 20,916,583 472,612 290,214 21,098,981 Infrastructure 154.282.937 4.681.483 19,476 158.944.944 Total capital assets being depreciated 304.695.235 5.755.051 1.633.597 308.816.689 Less accumulated depreciation for: Buildings $ 28,140,952 $ 3,448,065 $ 176,484 $ 31,412,533 Improvements other than buildings 1,032,012 424,212 6,218 1,450,006 Machinery and equipment 6,587,008 1,265,532 89,786 7,762,754 Infrastructure 35,409.976 3.760.1 09 (2.080) 39.172.165 Total accumulated depreciation 71.169.948 8.897.918 270,408 79.797,458 Total capital assets, being depreciated, net 233.525.287 (3.142.867) 1.363.189 229.019.231 Business-type activities capital assets, net $260.015.022 $ (] 554 576) $ 3 899.664 $ 254.560.782 Depreciation expense was charged to functions as follows: Governmental activities: Public safety Public works Culture and recreation Community and economic development General government Internal service funds $ 499,218 1,983,372 1,786,075 54,699 330,469 1.354.683 $ 60085]6 $ 4,298,747 1,889,970 672,085 242,927 1.794.189 $ 8897918 Tota] depreciation expense - governmental activities Business-type activities: Wastewater treatment Water Sanitation Housing authority Nonmajor enterprise Total depreciation expense - business-type activities 55 CITY OF lOW A CITY, IOWA NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 6. Bonded and Other Long-Term Debt Changes in Long-term Liabilities Long-tenn liability activity for the year ended June 30, 2005, was as follows: July I, June 30, Due Within 2004 Issues Retirements 2005 One Year Governmental activities: General obligation bonds $ 79,344,600 $ 7,020,000 $ 9,349,221 $ 77,015,379 $ 6,099,222 Plus: Unamortized Premium (discount) 58.607 42.929 11.510 90.026 11.510 Total general obligation bonds 79 .403 .207 7.062.929 9.360.731 77.105.405 6.110.732 Note payable 211.000 211.000 Employee vested benefits I. 721.900 933.551 849.841 1.805.610 922.823 $ 81.125.107 $ 8.207.480 $ 10.21 0.572 $ 79.122.015 $ 7.033 555 Business-type activities: General obligation bonds $ 9,640,400 $ $ 1,365,778 $ 8,274,622 $ 1,395,778 Less: Unamortized discounts 78.235 6.609 71.626 6.609 Total general obligation bonds 9.562.165 1.359.169 8.202.996 1.389.169 Revenue bonds 115,710,000 4,780,000 110,930,000 5,015,000 Less: Unamortized discounts 1.083.810 72.049 1.011.761 72.049 Total revenue bonds 114.626.190 4.707 .951 109.918.239 4.942.951 Landfill closure/post- closure 7,875,879 549,609 8,425,488 Employee vested benefits 386.700 223 .112 189.259 420.553 217.920 $132450934 $ 772 721 $ 6256379 $ ]26967276 $ 6550.040 A note payable was issued to Greater Iowa City Housing Fellowship for the purchase of an II unit apartment building for low income and disabled housing in the Peninsula Neighborhood. The tenns of the loan are I %, interest only payments for twenty years with a final balloon payment of $211 ,000 due on August 1,2025. For the governmental activities, employee vested benefits are generally liquidated by the General Fund and Community Development Block Grant Fund. General Obligation Bonds Various issues of general obligation bonds totaling $85,290,000 are outstanding as of June 30, 2005. The bonds have interest rates ranging from 2.5% to 5.5% and mature in varying annual amounts ranging from $275,000 to $2,195,000 per issue, with the final maturities due in the year ending June 30, 2023. Interest and principal payments on all general obligation bonds, except tax abated portions recorded in the enterprise funds, are accounted for through the Debt Service Fund. 56 CITY OF IOWA CITY, IOWA NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 Portions of several general obligation bond issues have been used to acquire or expand the enterprise fund facilities. In some instances, revenue generated by the enterprise funds is used to pay the general long- term debt principal and interest. The liability for those bonds that are expected to be paid by enterprise funds is included in those funds. Annual debt service requirements to maturity for general obligation bonds are as follows: Fiscal Year Ending Governmental Activities Business-tvoe Activities June 30 Principal Interest Principal Interest 2006 $ 6,099,222 $ 3,457,819 $ 1,395,778 $ 326,409 2007 6,155,525 3,184,066 1,429,475 284,314 2008 5,958,235 2,939,219 561,765 238,554 2009 6,118,235 2,699,084 561,765 216,001 2010 6,214,538 2,450,516 580,462 192,794 2011-2015 28,704,624 8,247,062 3,145,377 573,801 2015-2020 14,475,000 2,754,451 600,000 45,000 2020-2023 3.290.000 274.895 Total $ 77 015.379 $ 26.007 112 $ 8 274.622 $ I 876 873 Revenue Bonds As of June 30, 2005, the following unmatured revenue bond issues are outstanding: Wastewater Parking Treatment Water Original issue amount $ 13,850,000 $ 83,935,000 $ 30,700,000 Interest rates 5.9% to 7.4% 3.5% to 5.8% 2.0% to 5;6% Annual maturities $ 305,000 to $ 270,000 to $ 245,000 to $ 895,000 $ 3,010,000 $ 910,000 Amount outstanding $ 11,045,000 $ 72,300,000 $ 27,585,000 Revenue bond debt service requirements to maturity are as follows: Fiscal Year Ending Business-tvoe Activities June 30 Principal Interest 2006 $ 5,015,000 $ 5,340,208 2007 5,155,000 5,128,064 2008 5,415,000 4,905,893 2009 5,625,000 4,668,765 2010 5,875,000 4,413,216 2011-2015 29,450,000 17,826,046 2016-2020 30,380,000 10,687,538 2021-2025 22,260,000 3,055,853 2026 1.755.000 48.831 $ 110.930.000 $ 56074.414 57 CITY OF IOWA CITY, IOWA NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 The revenue bond ordinances required that wastewater treatment, parking system, and water revenues be set aside into separate and special accounts as they are received. The use and the amounts to be included in the accounts are as follows: Account Amount (a) Revenue Bond and Interest Sinking Reserve Amount sufficient to pay current bond and interest maturities. (b) Revenue Debt Service Reserve Amount required to be deposited in the Revenue Bond and Interest Reserve until the reserve fund equals: Parking Revenue and Water Revenue bonds - maximum debt service due on the bonds in any succeeding fiscal year. Wastewater Revenue bonds - 125% of the average principal and interest payments over the life of all the Wastewater Revenue bonds. (c) Improvement Reserve $20,000 per month until the reserve balance equals or exceeds $2,000,000 for Wastewater Revenue bonds, $5,000 per month until the reserve balance equals or exceeds $300,000 for Parking Revenue bonds and $450,000 for Water Revenue bonds, with no further deposits once the minimum balance is reached. If the reserve falls below the required minimum, monthly transfers in the aforementioned amounts will resume. Summary of Bond Issues General obligation and revenue bonds payable at June 30, 2005, are comprised of the following issues; Date of Amount Interest Final Outstanding Issue Issued Rates Maturity June 30. 2005 General Obligation Bonds: Multi-Purpose Mar. 1997 $5,200,000 4.5 - 4.7 6/07 $1,000,000 Water Construction (I) Nov. 1997 5,540,000 4.875 - 5.0 6/17 3,600,000 Multi-Purpose Apr. 1998 8,500,000 4.35 - 4.75 6/13 4,475,000 Multi-Purpose Mar. 1999 9,000,000 4.125 - 4.7 6/18 6,175,000 Multi-Purpose Jul. 2000 14,310,000 5.0 - 5.5 6/18 11,605,000 Multi-Purpose Jun. 2001 11,500,000 4.0 - 4.9 6/16 8,895,000 Multi-Purpose and Library Construction May 2002 29,100,000 3.5 - 5.0 6/21 24,240,000 Refunded Multi-Purpose (3) Oct. 2002 10,600,000 2.5 -4.0 6/15 5,960,000 Multi-Purpose Nov. 2003 5,570,000 2.5 - 3.6 6/14 5,015,000 Taxable - Urban Renewal Mar. 2004 7,305,000 4.0 - 5.4 6/23 7,305,000 Multi-Purpose Mar. 2005 7,020,000 3.0 -4.0 6/15 7.020.000 Total General Obligation Bonds 85.290.000 58 CITY OF lOW A CITY, lOW A NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 Date of Amount Interest Final Outstanding Issue Issued Rates Maturitv June 30. 2005 Revenue Bonds: Parking Bonds Dec. 1999 $ \I ,350,000 5.875 - 6.0 7/24 $11,045,000 Wastewater Treatment Bonds Mar. 1996 18,300,000 5.0 - 5.75 7/21 15,050,000 Wastewater Treatment Bonds May 1997 10,600,000 5.15 - 5.5 7/22 8,875,000 Wastewater Treatment Bonds Jan. 1999 7,000,000 4.25 - 4.87 7/24 5,750,000 Wastewater Treatment Bonds Oct. 2000 12,000,000 5.125 - 5.5 7/25 10,845,000 Wastewater Treatment Bonds Dec. 2001 10,250,000 4.5 - 5.0 7/20 10,250,000 Refunded Wastewater Treatment Bonds (2) May 2002 25,785,000 3.25-4.1 7/13 21,530,000 Water Bonds May 1999 9,200,000 4.75 - 5.0 7/25 8,140,000 Water Bonds Dec. 2000 13,000,000 5.0 - 5.625 7/26 11,640,000 Water Bonds Oct. 2002 8,500,000 2.0 - 4.65 7/22 7.805.000 Total Revenue Bonds 110.930.000 ~196 220 000 (I) These bond issues have a portion of the general obligation bonds payable shown as a liability on the balance sheet of the Water Fund. (2) This bond issue refunds the January 1993 Wastewater Revenue Bonds. (3) This bond issue has a portion of the general obligation bonds payable shown as a liability on the balance sheet of the Water Fund, Wastewater Fund, and Parking Fund. Conduit Debt Obligations From time to time, the City has issued Industrial Development Revenue Bonds and Facility Refunding Revenue Bonds to provide financial assistance to private sector entities for the acquisition, construction, and renovation of industrial and commercial facilities deemed to be in the public interest. The bonds are collateralized by the property financed and are payable solely from payments received on the underlying mortgage loans. All payments on the bonds are made by the private sector entities directly to a bond trustee, who is a third party financial institution, and in turn, disburses the payment to the respective bond holders. Neither the City, the State, nor any political subdivision thereof is obligated in any manner for repayment of the bonds. Accordingly, the bonds are not reported as liabilities in the accompanying financial statements. As of June 30, 2005, there were two series of Industrial Development Revenue Bonds and Facility Refunding Revenue Bonds outstanding, with an aggregate principal amount payable of $45,405,000. 59 CITY OF IOWA CITY, IOWA NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 Debt Legal Compliance Legal Debt Margin: As of June 30, 2005, the general obligation debt issued by the City did not exceed its legal debt margin computed as follows: Assessed valuation: Real property Utilities $3,159,737,914 55235.123 Total valuation $3214.973.037 Debt limit, 5% of total assessed valuation Debt applicable to debt limit: General obligation bonds $ 160,748,652 85290,000 Legal debt margin $ 75 458 652 7. Segment Information The City issued revenue bonds to finance construction of its parking facilities. Summary financial information for the parking department is presented below: Condensed Statement of Net Assets Assets: Current assets Restricted assets Capital assets Total assets $ 2,783 1,333 19267 23,383 Liabilities: Current liabilities Noncurrent liabilities payable from restricted assets Other noncurrent liabilities Total Iiabilitie~ ) 843 331 10.949 12.123 Net assets: Invested in capital assets, net of related debt Restricted Umestricted 8,894 1,331 1.035 I 1.260 $ 60 CITY OF lOW A CITY, lOW A NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 Condensed Statement of Revenues, Expenses, and Changes in Net Assets Operating revenue Depreciation expense Other operating expenses Operating income $ 4,170 (944) (2.377) 849 Nonoperating revenues (expenses): Interest income Interest expense Transfer out Change in net assets Beginning net assets (as restated) Ending net assets 190 (682) (300) 57 11.203 11260 $ Condensed Statement of Cash Flows Net cash flows from: Operating activities Noncapital financing activities Capital and related financing activities Investing activities Net increase Cash and cash equivalents, beginning $ 1,786 (106) (1,286) 153 547 3,\51 Cash and cash equivalents, ending $ 3698 8. Risk Management The City is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets; workplace accidents, errors and omissions; and natural disasters. During fiscal year 1988 the City established the Loss Reserve Fund, an internal service fund, to account for and finance its uninsured risks of loss. During the year ended June 30, 2005, the City purchased property, liability, and workers' compensation insurance under the program that provides for a $100,000 self-insured retention per occurrence on property losses, a $500,000 self-insured retention per occurrence on liability, and a $500,000 self-insured retention on workers' compensation losses. The liability insurance provides coverage for claims in excess of the aforementioned self-insured retention up to a maximum of $19,000,000 annual aggregate of losses paid. The operating funds pay annual premiums to the Loss Reserve Fund. Accumulated monies in the Loss Reserve Fund are available to cover the self-insured retention amounts and any uninsured losses. Settled claims have not exceeded this commercial coverage in any of the past seven fiscal years. 61 CITY OF lOW A CITY, lOW A NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 The Housing Authority Fund is insured under a separate policy with the Assisted Housing Risk Management Association. The remaining funds participate in the Loss Reserve Fund. The funds make payments to the Loss Reserve Fund based on actuarial estimates of the amounts needed to pay prior- and current-year claims and to establish a reserve for catastrophic losses. The Fund's accrued liabilities balance includes a claims liability at June 30, 2005, based on the requirements of GASB Statement No. ] 0, as amended, which requires that a liability for claims be reported if information prior to the issuance of the financial statements indicates that it is probable that a liability has been incurred at the date of the financial statements and the amount of the loss can be reasonably estimated. Changes in the Loss Reserve Fund's claims liability amount for property, liability, and workers' compensation for the years ended June 30, 2005 and 2004 are as follows: Current -Year Beginning-of- Claims and Balance at Fiscal-Year Changes in Claim Fiscal Liability Estimates Pavments Year-End 2003 - 2004 $ 808,000 $ 464,000 $ 464,000 $ 808,000 2004 - 2005 808,000 840,000 534,000 ],114,000 Also, the City is partially self-insured, through stop-loss insurance, for employee health care coverage, which is available to all of its permanent employees. This insurance provides stop-loss coverage for claims in excess of$]OO,OOO per employee with an aggregate stop-loss of $4,771,297. For the year ended June 30, 2005, the aggregate stop-loss was approximately $4,270,549; otherwise, there was no change in coverage from the prior year. The operating funds are charged premiums by the Loss Reserve Fund. The City reimburses a health insurance provider for actual medical costs incurred, plus a claims processing fee. Changes in the Loss Reserve Fund's claims liability amount for health care coverage for the years ended June 30, 2005and 2004 are as follows: Current-Year Beginning-of- Claims and Balance at Fiscal-Year Changes in Claim Fiscal Liability Estimates Pavments Year-End 2003 - 2004 $ 532,000 $ 4,552,000 $ 4,42] ,000 $ 663,000 2004 - 2005 663,000 3,577,000 3,85],000 389,000 62 CITY OF lOW A CITY, IOWA NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 9. Coutractual Commitments and Contingencies The total outstanding contractual commitments as of June 30, 2005 are as follows: Fund Proiect Amount Bridge, street and traffic Paving and bridge construction, $ 3,113,283 control construction engineering design and consulting Other construction Transportation center construction center 357,842 Wastewater treatment Sanitary sewer construction 2,775 Water Dam and pedestrian bridge construction, water main construction 278,104 Sanitation Landfill consulting 207,188 Airport Runway extension consulting 195,091 Cable TV Refranchising consulting 44,290 Economic development Hotel construction \'655.900 $ 5.854473 10. Contingent Liabilities Litigation The City is a defendant in a number of lawsuits arising principally from claims against the City for alleged improper actions by City employees, including improper police action, unlawful taking of property by zoning, negligence, appeals of condemnations, and discrimination. Total damages claimed are substantial; however, it has been the City's experience that such actions are settled for amounts substantially less than claimed amounts. The City's management estimates that the potential claims against the City, not covered by various insurance policies, would not materially affect the financial condition of the City. The City has the authority to levy additional taxes (outside the regular limit) to cover uninsured judgments against the City. 63 ----_._._--_._------~-_._----,_._-~_..._---~~_._--_._-----.-.,--- -----~---,.-_._..,.__..-.__..__..._...._.__._.._----_.----..-...-., ------.----......-..--.-----.....- CITY OF IOWA CITY, IOWA NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 I I. Pension and Retirement Systems Municipal Fire and Police Retirement System ofIowa The City is a participating employer in the Municipal Fire and Police Retirement System of Iowa (MFPRSI or the Plan), which is a cost-sharing multiple-employer defined benefit public police and fire employees retirement system. All fire fighters and police officers appointed under civil service participate in the Plan. The Plan provides retirement, disability, and death benefits that are established under state statute. The Plan issues a publicly available financial report that includes financial statements and required supplementary information. The report may be obtained by writing to Municipal Fire and Police Retirement System of Iowa, 2836 104th Street, Urbandale, Iowa 50322. A member may retire at age 55 with 22 years of employment, and receive full benefits that are equal to 66% of the member's average final compensation for a member retiring after July I, 2000. Additionally, members retiring on or after July I, 2000, with more than 22 years of service will receive an additional 2% of the member's average final compensation for up to 8 years of additional service. Other benefits are also calculated as varying percentages of the average final compensation. Benefits vest after four years of service. Member contribution rates are established by statute. For the fiscal year ended June 30, 2005, members contributed 9.35%. The City's contribution .rate is based upon an actuarially determined normal contribution rate. The normal contribution rate is provided by state statute to be the actuarial liabilities of the Plan less current plan assets, the total then being divided by I % of the actuarially determined present value of prospective future compensation of all members, further reduced by member contributions. Legislatively appropriated contributions from the state to the Plan may further reduce the City's contribution rate. However, the City's contribution rate may not be less than 24.92% of earnable compensation. The City was required to contribute 24.92% of earnable compensation of each member in 2005, 20.48% of earnable compensation in 2004. The contributions paid by the City for the years ended June 30, 2003, 2004, and 2005, were $1,059,538, $1,335,065, and $1,750,377, respectively, and was equal to the required contributions for each year. Iowa Public Employees Retirement System The City contributes to the Iowa Public Employees Retirement System (IPERS), which is a cost-sharing multiple-employer defined benefit pension plan administered by the State of Iowa. IPERS provides retirement and death benefits, which are established by State statute to plan members and beneficiaries. IPERS issues a publicly available financial report that includes financial statements and required supplementary information. The report may be obtained by writing to IPERS, P.O. Box 9117, Des Moines, Iowa 50306-9117. All employees, except temporary employees of six months or less of employment duration, who do not participate in any other public retirement system in the state are eligible and must participate in IPERS. The pension plan provides retirement and death benefits that are established by state statute. Generally, a member may retire at the age of 65, or any time after age 62 and 26 years or more of service, or when age plus years of service equals or exceeds 88, and receive unreduced (for age) benefits. Members may also retire at the age of 55 or more at reduced benefits. Benefits vest after four years of service or after attaining the age of 55. Full benefits are equal to 60% of the average of the highest three years of covered wages times years of service divided by 30. 64 .. __._..__...___~.~.__._.___,__,_.________'____N___ ..__.,..__________ _.,_~..__.____.~__~_.,...._.___.__...____.___ CITY OF lOW A CITY, lOW A NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 Plan members are required to contribute 3.70% of their annual covered salary and the City is required to contribute 5.75% of annual covered payroll. Contribution requirements are established by state statute. The City's contributions to IPERS for the years ended June 30, 2003, 2004, and 2005, were $1,220,376, $1,240,324, and $1,247,065, respectively, and were equal to the required contributions for each year. 12, Post-Employment Benefits All full-time employees who retire or become disabled are offered the following post-employment benefit options: Health insurance - The option of continuing with the City's health insurance plan at the individual's own cost. Life insurance - The option of converting the employee's City-paid policy from term insurance to whole life insurance at the individual's expense with the City's life insurance carrier. Long-term disability - The option of converting the employee's City-paid group policy to a personal policy at the individual's expense with the City's long-term disability insurance carrier. The above options, while at the individual's own expense, are included within the City's overall insurance package. Therefore, a portion of the above coverages is being subsidized by the City and its current employees. However, the City cannot reasonably estimate the amount of this subsidy and it is being expensed as incurred by the City. 13. Landfill Closure and Postciosure Care Costs In August 1993, the GASB issued Statement No. 18, Accounting for Municipal Solid Waste Landfill Closure and Postclosure Care Costs (the Statement). Under these rules, in addition to operating expenses related to current activities of the landfill, an expense provision and related liability are being recognized based on the future closure and postclosure care costs that will be incurred near or after the date the landfill no longer accepts waste. The recognition of these landfill closure and postclosure care costs is based on the amount of the landfill used during the year. The estimated liability for landfill closure and postclosure care costs as of June 30, 2005, is approximately $8,425,000, which is based on 70% usage (filled) of the landfill and is included in accrued liabilities within the Sanitation Fund. It is estimated that an additional amount of approximately $3,658,000 will be recognized as closure and postclosure care expenses between the date of the balance sheet and the date the landfill is expected to be filled to capacity by the year ended June 30, 2019. The estimated total current cost of the landfill closure and postclosure care costs at June 30, 2005, was determined by engineers from Howard R. Green Company and approximated $12,083,000. It is based on the amount that would be paid if all equipment, facilities, and services required to close, monitor, and maintain the landfill were acquired as of June 30, 2005. These amounts are based on an estimated postclosure care and monitoring period of 30 years, consistent with current State Department of Natural Resources regulations. However, the actual cost of closure and postclosure care may be higher due to inflation, changes in techoology, or changes in landfill laws and regulations. 65 -- - - "-----.-.- --------------~,---~_._----- ~-----_.~--" ---_._-_....._,-_._._~_._---_.- ~-_.._.-._--,._._.__._,.._-_.._- .~,,--_.,-,._--_.,-- CITY OF IOWA CITY, IOWA NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 The City is required by federal and state laws and regulations to provide some form of financial assurance to finance closure and postclosure care. The City will meet its financial assurance obligations through the issuance of general obligation bonds. As of June 30, 2005, the Sanitation Fund had $8,850,737 in related equity in pooled cash and investments, at fair value designated for satisfaction of postclosure costs, The City estimates that these cash reserves will only provide a fraction of the dollars needed to close and monitor the landfill. The remaining portion of postclosure care costs, anticipated future inflation costs and additional costs that might arise from changes in postclosure requirements (due to changes in technology or more rigorous environmental regulations, for example) may need to be covered by charges to future landfill users as well as City taxpayers. 14. Restatement of Beginning Balances The restatements of fund balances and net assets were due to the following: An error was discovered in the recording of interfund loan activity. There was an item discovered that had been incorrectly recorded in the wrong fund in the prior year. There was a building discovered in capital assets that had no accumulated depreciation. Restatements of fund balances and net assets previously reported are as follows: (Amounts in thousands) Fund Balance/ Properly Effect of Net Assets Recording Reclassification Effect of Fund Balance/ June 30, 2004, Interfund of Item Recording Net Assets as Previously Loan into the Accumulated June 30, 2005, Fund Reported Activity Proper Funds Depreciation as Restated General $ $14,697 $ (418) $ $ $ 14,279 Capital projects- other construction 4,747 lIS 4,862 Other shared revenue and grants 4,431 (115) 4,316 Airport 10,384 (332) 10,052 Sanitation 20,829 750 21,579 Parking 11,303 (100) 11,203 Governmental activities 96,495 (418) 96,077 Business-type activities 201,995 418 (100) 202,313 15. New Governmental Acconnting Standards Board (GASB) Standards The Governmental Accounting Standards Board (GASB) has issued six statements not yet implemented by the City. The statements, which might impact the City are as follows: 66 CITY OF lOW A CITY, lOW A NOTES TO FINANCIAL STATEMENTS (continued) June 30, 2005 Statement No. 42, Accounting and Financial Reporting for Impairment of Capital Assets and for Insurance Recoveries issued November 2003, will be effective for the City for the fiscal year ending June 30, 2006. This statement establishes accounting and financial reporting standards for impairment of capital assets and also clarifies and establishes accounting requirements for insurance recoveries. Statement No. 43, Financial Reportingfor Postemployment Benefit Plans Other than Pension Plans issued April 2004, will be effective for the City for the fiscal year ending June 30, 2008. This statement establishes uniform financial reporting standards for other postemployment benefit (OPEB) plans and supersedes the interim guidance included in Statement No. 26. This statement affects reporting by administrators or trustees of OPEB plan assets or by employers or sponsors that include OPEB plan assets as trust or agency funds in their financial reports. Statement No. 44, Economic Condition Reporting: The Statistical Section issued May 2004, will be effective for the City for the fiscal year ending June 30, 2006. This statement amends previous guidance regarding preparation of the statistical section for governments that issue a comprehensive annual financial report. Statement No. 45, Accounting and Financial Reporting by Employers for Postemployment Benefits Other than Pensions issued June 2004, will be effective for the City for the fiscal year ending June 30, 2009. This statement establishes standards for the measurement, recognition, and display of (OPEB) expense/expenditures and related liabilities (assets), note disclosures and, if applicable, required supplementary information (RSI) in the financial reports of state and local governmental employers. Statement No. 46, Net Assets Restricted by Enabling Legislation issued December 2004, will be effective for the City for the fiscal year ended June 30, 2006. This statement clarifies the definition of a legally enforceable enabling legislation restriction. It also specifies the accounting and financial reporting requirements for the restrictions and for any changes in them. Statement No. 47, Accounting for Termination Benefits issued June 2005, establishes accounting standards for termination benefits. For termination benefits provided through an existing defined benefit OPEB plan, the provisions of this Statement should be implemented simultaneously with the requirements of Statement 45. For all other termination benefits, this Statement is effective for the fiscal year ended June 30, 2006. The City's management has not yet determined the effect these statements will have on the City's financial statements. 67 ._~-~~----------,----,,,,_._-'_._~"" --,-,-----,,---~----_.._._._--------- .........~.._.,,~-_._-" City of Iowa City, Iowa Budgetary Comparison Schedule Budget and Actual - All Governmental Funds and Enterprise Funds - Budgetary Basis Required Supplemental)' Infonnation For the Year Ended June 30, 2005 (dollar amounts expressed in thousands) Governmental Fund Types Actual Budgetary Basis Other financing sources, net 9,503 Enterprise Fund Types Actual Total Actual Budgetary Basis Budgetary Basis $ 34,829 547 1,350 1,259 7,448 24,608 31,936 35,561 1,430 2,458 1,704 4,348 42,518 104,960 14,926 9,067 8,975 8,235 6,239 14,769 14,355 37,321 37,321 37,321 113,887 5,197 (8,927) (1,428) 8,075 3,769 (852) 67,507 108,812 71,276 107,960 Rev.enues: Property Tax Tax increment financing taxes Other city taxes Licenses and permits Intergovernmental Charges for services Use of money and property Miscellaneous $ 34,829 $ 547 1,350 1,259 17,160 3,625 1,028 2,644 62,442 Total revenues Expenditures/Expenses: Public safety Public works Culture and recreation Community and economic development General government Debt service Capital outlay Business-type Total expenditures/expenses 14,926 9,067 8,975 8,235 6,239 14,769 14,355 76,566 Excess (deficiency) of revenues over (under) expenditures/expenses (14,124) Net change in fund balances (4,621) Balances, beginning of year Balances, end of year 41,305 36,684 See Note to Required Supplementary Information. 68 Budgeted Amounts Final to Actual Variance - Positive Original Final (Negative) $ 34,792 $ 34,793 $ 36 608 609 (62) 1,340 1,401 (51) 1,162 1,186 73 27,706 28,657 (4,049) 36,878 36,045 (484) 1,498 2,342 116 3,524 4,279 69 107,508 109,312 (4,352) 14.990 15,631 705 9.348 9,784 717 9,233 9,696 721 8,224 10,680 2,445 6,661 6,566 327 11,273 15,052 283 19,006 24,099 9,744 40,116 44,515 7,194 118,851 136,023 22,136 (11,343) (26,711) 17,784 6,836 7,660 415 (4,507) (19,051) 18,199 109,256 108,812 104,749 89,761 69 _ __._~.,___.~,__.._..'___.'.,______~__._,."....."'w"'_,,.._____'_ ____'__________'____,,______~.__"___~__,_ .--_.._._--,._-~,. ---,----------.'.-.,--.-'- Revenues Expenditures Net Other financing sources (uses) Beginning Fund Balances Ending Fund Balances Revenues Expenditures Net Other financing sources (uses) Beginning Fund Balances Ending Fund Balances City of Iowa City, Iowa Budgetary Comparison Schedule Budget to GAAP Reconciliation Required Supplementary Information For the Year Ended June 3D. 2005 (dollar amounts expressed in thousands) Governmental Fund Types Accrual Modified Accrual Budget Basis Adjustments Basis $ 62,442 $ (188) $ 62,254 76,566 (3,463) 73,103 (14,124) 3,275 ( 10,849) 9,503 (1,284) 8,219 $ 41,305 $ (5,158) $ 36,147 $ 36,684 $ (3,167) $ 33,517 Enterprise Fund Types Accrual Modified Accrual Budget Basis Adjustments Basis $ 42,518 $ (5,258) $ 37,260 37,321 (2,534) 34,787 5,197 (2,724) 2,473 (1,428) 3,074 1,646 67,507 $ 129,128 196,635 $ 71,276 $ 129,478 $ 200,754 See Note to Required Supplementary Information. 70 City of Iowa City, Iowa Note to Required Supplementary Information - Budgetary Reporting For the Year Ended June 30,2005 In accordance with Code of Iowa, the City Council annually adopts a budget following required public notice and hearing which includes all funds, except internal service funds and agency funds. The budget basis of accounting is cash basis plus 30 days of payable and receivable accruals. The annual budget may be amended during the year utilizing similar statutorily prescribed procedures. Formal and legal budgetary control is based upon nine major classes of expenditures known as functions, not by fund or fund type. These nine functions are: public safety, public works, health and social services, culture and recreation, community and economic development, general government, debt service, capital outlay and business-type. The legal level control is at the aggregated function level, not at the fund or fund type level. During the year, budget amendments increased budgeted expenditures by $17,172,000. The budget amendments were primarily due to changes in breadth and timing of capital improvement projects as well as changes necessitated by the loss of state revenue. 71 "..., .iJ1~ ....;1 -"L.._ '/ "U;-iL._..".".. <Y..- . %-"".... l~-'<..._._ 72 NONMAJOR GOVERNMENTAL FUNDS SPECIAL REVENUE FUNDS Special Revenue Funds account for revenues derived from specific sources that are required to be accounted for as separate funds. The funds in this category and their purpose are as follows: Community Development Block Grant Fund - accounts for revenue from the U.S. Department of Housing and Urban Development's Community Development Block Grant programs. Other Shared Revenue and Grants Fund - accounts for revenue from various sources, primarily road use tax monies from the State ofIowa and reimbursable programs funded by federal and state grants. Economic Development Fund - accounts for revenue and expenditures of economic development activities. Johnson County Council of Governments Fund - accounts for the financial activities of the metropolitan/rural cooperative planning organization. CAPITAL PROJECTS FUNDS Capital Projects Funds are utilized to account for all resources used in the acquisition and construction of capital facilities and other major fixed assets, with the exception of those that are financed by proprietary fund monies. The fund in this category is as follows: Bridge, Street, and Traffic Control Construction Fund - accounts for the construction or replacement of infrastructure fixed assets, such as streets, bridges, dams, sidewalks, and lighting systems. 73 CITY OF lOW A CITY, lOW A COMBINING BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS June 30, 2005 (amounts expressed in thousands) Capital Special Revenue Projects Bridge, Community Other Johnson Street, and Development Shared County Traffic Block Revenue and Economic Council of Control Grant 'Grants Development Governments Construction Total Assets Equity in pooled cash and investments $ 11 $ 4,409 $ 2,169 $ 31 $ 89 $ 6,709 Receivables; Interest I 51 42 94 Notes 8,513 325 8,838 Advances to other funds 18 18 Due from other governments 201 432 32 2,299 2,964 Total assets $ 8,744 $ 5,217 $ 2,211 $ 63 $ 2,388 $ 18,623 Liabilities and Fund Balances Liabilities: Accounts payable $ 110 $ 118 $ $ $ 522 $ 751 Contracts payable 603 1,067 1,670 Accrued liabilities 10 14 15 39 Advances from other funds 256 256 Deferred revenue 8,576 325 1,994 10,895 Total liabilities 8,696 699 603 15 3,598 13,611 Fund balances: Unreserved, undesignated 48 4,518 1,608 48 (1,210) 5,012 Total liabilities and fund balances $ 8,744 $ 5,217 $ 2,211 $ 63 $ 2,388 $ 18,623 74 CITY OF lOW A CITY, lOW A COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS For the Year Ended June 30, 2005 (amounls expressed in thousands) Capital Special Revenue Projects Bridge, Community Other Johnson Street, and Development Shared County Traffic Block Revenue and Economic Council of Control Grant Grants Development Governments Construction Total Revenues Property taxes $ $ $ 547 $ $ $ 547 Intergovernmental 1,459 5,351 235 1,244 8,289 Charges for services 27 27 Use of money and property 2 51 150 203 Miscellaneous 464 13 7 1 50 535 Total revenues 1,925 5,415 704 236 1,321 9,601 Expenditures Current: Public works 2 1,065 1,067 Community and economic development 897 113 3,972 541 5,523 Capital outlay 999 961 4 2,966 4,930 Total expenditures 1,896 1,076 3,972 545 4,031 11,520 Excess (deficiency) ofrevenues over (under) expenditures 29 4,339 (3,268) (309) (2,710) (1,919) Other Financing Sources (Uses) Issuance of note payable 21 I 21 I Transfers in 432 304 2,599 3,335 Transfers out (4,780) (367) (5,147) Total other financing sources and (uses) (4,137) 304 2,232 (1,601) Net change in fund balances 29 202 (3,268) (5) (478) (3,520) Fund Balances, Beginning (as restated) 19 4,316 4,876 53 (732) 8,532 Fund Balances, Ending $ 48 $ 4,518 $ 1,608 $ 48 $ (1,210) $ 5,012 75 "~_'___"'__~__"_'~~~______'~_"____'_'_____ ,.._,________._________.____._____.__._...." ________._M.......~ _._ _ _._"___._.__". ,^~~ JIj~. -" '-" 1/, .. ~y.."4-_.. '~:.. '. l_:.<:u. ". .' ." J/ 76 NONMAJOR ENTERPRISE FUNDS Enterprise Funds account for operations and activities of the City that are financed and operated in a manner similar to a private business enterprise, and where the costs of providing services to the general public on a continuing basis are expected to be financed or recovered primarily through user charges, or where the City has decided that periodic determination of revenues earned, expenses incurred, and/or net income is appropriate for capital maintenance, public policy, management control, accountability, or other purposes. The funds in this category are as follows: Parking Fund - accounts for the operation and maintenance of the "on" and "off" street public parking facilities. Airport Fuud - accounts for the operation and maintenance of the airport facility. Stormwater Fuud - accounts for the operation and maintenance ofthe stormwater operation. Cable Television Fund - accounts for the operation and maintenance of the Broadband Telecommunications Commission that oversees the franchise agreement with the cable television company, including production and broadcasting on the government television channels. 77 --~-~-_._-,-_.~ ._---~--_.- .._-_.---~.,._-------"-_..._,._..__..,--~---_._.. CITY OF lOW A CITY, IOWA COMBINING STATEMENT OF NET ASSETS NONMAJOR ENTERPRISE FUNDS June 30, 2005 (amounts expressed in thousands) Cable Parking Airport Stonnwater Television Total Assets Current assets: Equity in pooled cash and investments $ 2,365 $ 21 $ 528 $ 810 $ 3,724 Receivables: Accounts and unbilled usage 121 59 164 344 Interest 47 5 8 61 Notes 250 250 Due from other governments 117 117 Total current assets 2,783 139 592 982 4,496 Noncurrent assets: Restricted assets: Equity in pooled cash and investments 1,333 7 1,340 Capital assets: Land 3,938 7,976 2,130 14,044 Buildings and structures 25,039 3,406 741 29,186 Improvements other than buildings 408 408 Equipment and vehicles 327 184 127 106 744 Infrastructure 1,860 27,756 29,616 Accumulated depreciation (10,037) (2,819) (4,459) (168) (17,483) Construction in progress 369 369 Total noncurrent assets 20,600 11,391 25,554 679 58,224 Total assets 23,383 11,530 26,146 1,661 62,720 Liabilities Current liabilities: Accounts payable 111 8 12 3 134 Contracts payable 38 4 3 45 Accrued liabilities 117 7 6 40 170 Advances from other funds 1,259 1,259 Bonded debt payable (net of unamortized discounts) 615 615 Total current liabilities 843 1,312 22 46 2,223 Noncurrent liabilities: Liabilities payable from restricted assets: Interest payable 329 329 Deposits 2 9 II Bonded debt payable (net of unamortized discounts) 10,949 10,949 Total noncurrent liabilities 1\,280 9 11,289 Total liabilities 12,123 1,321 22 46 13,512 Net Assets Invested in capital assets, net of related debt 8,894 11,384 25,554 679 46,511 Restricted by bond ordinance 1,277 1,277 Restricted for future improvements 54 54 Reserved by grant agreement Unrestricted 1,035 (1,175) 570 936 1,366 Total net assets $ \I ,260 $ 10,209 $ 26,124 $ 1,615 $ 49,208 78 79 CITY OF lOW A CITY, lOW A COMBINING STATEMENT OF CASH FLOWS NONMAJOR ENTERPRISE FUNDS For the Year Ended June 30, 2005 (amounts expressed in thousands) Cable Parking Airport Stormwater Television Total Cash Flows From Operating Activities Receipts from customers and users $ 4,061 $ 225 $ 590 $ 708 $ 5,584 Payments to suppliers (777) (227) (69) (170) (1,243) Payments to employees (1,498) (78) (82) (398) (2,056) Net cash flows from operating activities ],786 (80) 439 140 2,285 Cash Flows From Noncapital Financing Activities Transfers from other funds 174 234 408 Transfers to other funds (300) (153) (453) Repayment of notes receivable ]94 ]94 Repayment of advances from other funds (112) (10) (122) Net cash flows from noncapital financing activities (]06) 62 224 (153) 27 Cash Flows From Capital and Related Financing Activities Capital grants received 283 283 Acquisition and construction of property and equipment (5) (237) (139) (381) Principal paid on bonded debt (595) (595) Interest paid on bonded debt (686) (686) Net cash flows from capital and related financing activities (],286) 46 (139) (],379) Cash Flows From Investing Activities Interest on investments 153 4 9 ]66 Net increase (decrease) in cash and cash equivalents 547 28 528 (4) ],099 Cash and Cash Equivalents, Beginning 3,]51 814 3,965 Cash and Cash Equivalents, Ending $ 3,698 $ 28 $ 528 $ 810 $ 5,064 Reconciliation of operating income (loss) to net cash flows from operating activities: Operating income (loss) $ 849 $ (301) $ (860) $ 99 $ (213) Adjustments to reconcile operating income (loss) to net cash flows from operating activities: Depreciation expense 944 221 591 38 ],794 Changes in: Receivables: Accounts and unbilled usage (109) (2) (II]) Due from other governments (2) (2) Accounts payable 95 4 709 (1) 807 Accrued liabilities 7 (9) 1 4 3 Deposits 7 7 Total adjustments 937 221 ],299 41 2,498 Net cash flows from operating activities $ 1,786 $ (80) $ 439 $ 140 $ 2,285 Noncash Investing, Capital, and Financing Activities: Contributions of capital assets from government and others $ - $ - $ 755 $ - $ 755 80 INTERNAL SERVICE FUNDS Internal Service Funds account for goods and services provided by one department to other City departments on a cost-reimbursement basis. The funds in this category are: Equipment Maintenance Fund - accounts for the provision of maintenance for City vehicles and equipment and vehkle rental to other City departments from a central vehicle pool. Central Services Fund - accounts for the support services of photocopying, paper supplies, mail, overnight shipping, and two-way radios provided to other City departments. Loss Reserve Fund - accounts for the property, liability, Workers' Compensation and health insurance premiums and claims activity for City departments, including the self-insured retention portion. Information Technology Fund - accounts for the accumulation and allocation of costs associated with telecommunications and data processing, including the operation and replacement of equipment. 81 "_.__.~,-----" -----_..._._~._--_.._---~-~~-_.._._.__._-_., ._._---~---_.._---------_.._-_._--- ._-----~----'_._-_.._--_._--'~..._.,-----'_.,--- -- --~-------~-----_.~---~ ---"-~------~-----~..__.._.."_. 82 ___._..__m,.___.__.'___'" _",_,__"",_,,,,_~_"_'___'-' ----...-,.-.-...-~---._----..---.---""- CITY OF IOWA CITY, lOW A COMBINING STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN FUND NET ASSETS INTERNAL SERVICE FUNDS For the Year Ended June 30, 2005 (amounts expressed in thousands) Equipment Central Loss Information Maintenance Services Reserve Technology Total Operating Revenues: Charges for services $ 3,021 $ 291 $ 6,245 $ 1,713 $ 11,270 Total operating revenues 3,021 291 6,245 1,713 11,270 Operating Expenses: Personal services 689 24 145 544 1,402 Commodities 1,100 9 5 144 1,258 Services and charges 297 159 5,963 664 7,083 2,086 192 6,113 1,352 9,743 Depreciation 1,074 33 248 1,355 Total operating expenses 3,160 225 6,113 1,600 11,098 Operating income (loss) (139) 66 132 113 172 Nonoperating Revenues (Expenses): Gain on disposal of equipment 125 3 128 Interest income 83 7 95 50 235 Total nonoperating revenues 208 7 95 53 363 Income before transfers 69 73 227 166 535 Transfers' in 165 36 201 Change in net assets 234 73 227 202 736 Net Assets, Beginning 8,030 371 2,808 3,420 14,629 Net Assets, Ending $ 8,264 $ 444 $ 3,035 $ 3,622 $ 15,365 83 ------,--_._"~---~...,.__.--_._- CITY OF lOW A CITY, IOWA COMBINING STATEMENT OF CASH FLOWS INTERNAL SERVICE FUNDS For the Year Ended June 30, 2005 (amounts expressed in thousands) Equipment Central Loss Information Maintenance Services Reserve Technology Total Cash Flows From Operating Activities Receipts from customers and users $ 3,019 $ 291 $ 6,203 $ 1,713 $ II ,226 Payments to suppliers (1,323) (175) (5,794) (778) (8,070) Payments to employees (686) (24) (113) (551) (1,374) Net cash flows from operating activities 1:010 92 296 384 1,782 Cash Flows From Noncapital Financing Activities Transfers from other funds 165 36 201 Cash Flows From Capital and Related Financing Activities Acquisition and construction of property and equipment (1,198) (7) (100) (1,305) Proceeds from sale of property 249 3 252 Net cash flows from capital and related financing activities (949) (7) (97) (1,053) Cash Flows From Investing Activities Interest on investments 56 5 66 33 160 Net increase in cash and cash equivalents 282 90 362 .356 1,090 Cash and Cash Equivalents, Beginning 3,417 239 4,502 1,696 9,854 Cash and Cash Equivalents, Ending $ 3,699 $ 329 $ 4,864 $ 2,052 $ 10,944 Reconciliation of operating income (loss) to net cash flows from operating activities: Operating income (loss) $ (139) $ 66 $ 132 $ 113 $ 172 Adjustments to reconcile operating income (loss) to net cash flows from operating activities: Depreciation expense 1,074 33 248 1,355 Changes in: Receivables: Accounts and unbilled usage (42) (42) Due from other governments (2) (2) Inventories (30) (30) Accounts payable 104 (7) 174 30 301 Accrued liabilities 3 32 (7) 28 Total adjustments 1,149 26 164 271 1,610 Net cash flows from operating activities $ 1,010 $ 92 $ 296 $ 384 $ 1,782 84 AGENCY FUNDS The Agency Funds account for assets held by the City in a trustee or custodial capacity for other entities, such as individuals, private organizations, or other governmental units. The funds in this category are: Project Green Fund - accounts for donations that are received to plant and develop yards and lawns, both public and private, within Iowa City. Library Foundation - accounts for donations that are made to support the library development office. Parks and Recreation Foundation - accounts for donations that are received for park improvements. PATV - accounts for investments made on behalf of Public Access Television. 85 CITY OF IOWA CITY, IOWA COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES AGENCY FUNDS For the Year Ended June 30, 2005 (amounts expressed in thousands) Balance Balance July I, 2004 Increases Decreases June 30, 2005 Project Green Assets Equity in pooled cash and investments $ 251 $ 58 $ 106 $ 203 Interest receivable I 2 I 2 Total assets $ 252 $ 60 $ 107 $ 205 Liabilities Accounts payable $ 18 $ 6 $ 18 $ 6 Due to agency 234 54 89 199 Total liabilities $ 252 $ 60 $ 107 $ 205 Library Foundation Assets Equity in pooled cash and investments $ I $ - $ I $ Accounts receivable 19 16 19 16 $ 20 $ 16 $ 20 $ 16 Liabilities Accounts payable $ 16 $ 12 $ 16 $ 12 Accrued liabilities 4 3 4 3 Due to agency I I Total liabilities $ 20 $ 16 $ 20 $ 16 Parks and Recreation Foundation Assets Equity in pooled cash and investments $ 50 $ $ - $ 51 Liabilities Accounts payable $ 50 $ $ - $ 51 (continued) 86 CITY OF lOW A CITY, lOW A COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES (continued) AGENCY FUNDS For the Year Ended Jnne 30, 2005 (amounts expressed in thousands) Balance July 1, 2004 Increases Balance Decreases June 30, 2005 PATV Assets Equity in pooled cash and investments $ 94 $ 98 $ 93 $ 99 Interest receivable I I $ 94 $ 99 $ 93 $ 100 Liabilities Due to agency $ 94 $ 99 $ 93 $ 100 Total Agency Funds Assets Equity in pooled cash and investments $ 396 $ 157 $ 200 $ 353 Accounts receivable 19 16 19 16 Interest receivable 1 3 1 3 Total assets $ 416 $ 176 $ 220 $ 372 Liabilities Accounts payable $ 84 $ 19 $ 34 $ 69 Accrued liabilities 4 3 4 3 Due to agency 328 154 182 300 Total liabilities $ 416 $ 176 $ 220 $ 372 87 A.", ~,_, .,.,.1 >:.-i" .(~2:~_____ -y., .7- 88 CITY OF lOW A CITY, IOWA GOVERNMENT-WIDE EXPENSES BY FUNCTION (amounts expressed in thousands) Fiscal Year Culture .Community Interest on Ended Pnblic Public and and Economic General Long-Term June 30 Safetv Works Recreation Development Government Debt Airnort 2003 $ 13,844 $ 11,539 $ 10,131 $ 3,133 $ 6,251 $ 3,662 $ 431 2004 15,015 10,423 12,051 2,580 6,527 3,440 515 2005 15,286 11,521 11,341 6,960 6,500 3,602 520 Housing Wastewater Cable TV Authoritv ParkiDl! Sanitation Treatment Water Stormwater Total 2003 $ 687 $ 6,519 $ 3,554 $ 4,082 $ 12,086 $ 7,861 $ $ 83,780 2004 549 7,219 3,898 6,103 12,344 8,011 652 89,327 2005 607 7,466 3,989 6,031 12,214 8,313 1,452 95,802 89 Fiscal Year Ended June 30 2003 2004 2005 CITY OF lOW A CITY, IOWA GOVERNMENT -WIDE REVENUES (amounts expressed in thousands) PROGRAM REVENUES GENERAL REVENUES Charges for Services Operating Grants & Contributions Capital Grants & Contributions $ 39,366 $ 40,177 39,786 9,624 $ 9,109 9,604 3,922 8,451 10,066 Taxes Gain on Disposal of Capital Assets $38,811 $ 41,093 41,947 1,074 399 90 Unrestricted Investment Earnio2s $ 1,090 $ 2,047 3,347 Miscellaneous 4,168 4,081 4,412 Total $ 96,981 106,032 109,561 ^". ~~ <' '-) .', ..../~~:-<4.__ -.t'- _' _1';-:.. _ ~.^'<".. _ 91 Fiscal Year Ended J one 30 .. 1996 1997 1998 1999 2000 2001 2002 ... CITY OF IOWA CITY, IOWA GENERAL GOVERNMENTAL' EXPENDITURES BY FUNCTION AND TRANSFERS TO OTHER FUNDS Last Ten Fiscal Years (amounts expressed in thousands) General Fund Home and Community Human Community Policy and Capital Protection) DeveloDmene Environmene Administration4 Outlav $ 9,389 $ 5,849 $ 2,876 $ 4,682 $ 2,181 9,524 6,299 3,252 4,860 1,005 10,310 6,405 3,245 5,477 1,451 10,991 6,552 3,606 5,232 2,232 12,085 7,765 4,499 5,453 2,900 12,337 8,268 5,316 5,493 1,318 13,181 8,459 3,856 5,838 1,089 Notes: ." General Fund, Special Revenue Funds, Debt Service Fund and Capital Projects Funds. ."." In FY99. Housing Authority was reported as an Enterprise Fund. ."."." In FY02, Economic Development was added to the Special Revenue Funds. I Includes Police, Fire, Housing and Inspection Services and Traffic Engineering. 2Includes Recreation, Library, Senior Center, Parks and Animal Control. 31ncJudes Engineering, Streets Maintenance, Forestry and Cemetery and Public Works Administration. 4Includes Legislative, Executive, Financial Administration, Government Buildings, Escrows, Clearing Accounts and Planning and Community Development. Fiscal Year Culture Community and Ended Public Public and Economic General Juue 30 Safetv' Works6 Recreation' Develooment8 Government9 2003 $ 13,115 $ 8,149 $ 8,061 $ 3,715 $ 5,887 2004 14,025 9,156 9,392 3,486 6,080 2005 14,601 9,698 9,183 6,375 6,282 Notes: Includes all funds except for proprietary funds. 51ncludes Police, Fire, Animal Control and Housing and Inspection Services. 6Includes Recreation, Library, Senior Center, Cemetery and Parks. 'Includes Engineering, Streets Maintenance, Traffic Engineering, Forestry, Transit and Public Works Administration. 8Includes Planning and Community Development, Community Development Block Grant and Johnson County Council of Governments. 'Includes Legislative, Executive, Financial Administration, Government Buildings, Escrows and Clearing Accounts. 92 -~'--'''-_.._--'~--_.''''--_._-'~'-'-----~''-''-_.. Special Revenue Funds Community Other Shared *** ** Development Revenue Employee Economic Housing Debt Transfers to Block Grant and Grants Benefits DeveloDment Authoritv Service Other Fnnds Total $ 2,615 $ 150 $ 159 $ $ 6,450 $ 2,519 $ 9,744 $ 46,614 1,758 66 210 4,392 1,963 12,361 45,690 2,235 117 178 4,591 2,727 10,575 47,311 1,802 265 215 3,490 11,466 45,851 1,550 157 145 4,278 13,895 52,727 1,968 226 259 5,304 13,409 53,898 1,941 98 371 3 5,735 12,891 53,462 Deht Capital Transfers Service Outlay to Other Funds Total $ 8,425 $ 20,095 $ 14,554 $ 82,001 8,508 16,065 16,733 $ 83,445 13,025 13,939 15,237 $ 88,340 93 _ _._____..__....____.._k____.____.._.._._._________...._-.-.. CITY OF IOWA CITY, IOWA GENERAL GOVERNMENT AL* REVENUES BY SOURCE AND TRANSFERS FROM OTHER FUNDS Last Ten Fiscal Years (amounts expressed in thousands) Property Taxes Licenses and Permits Intergov- ernmental Revenue Charges for Services Fiscal Year Ended June 30 1996 $ 19,255 $ 559 $ 15,001 $ 2,657 1997 19,659 625 12,980 2,804 1998 20,635 651 12,881 2,488 ** 1999 22,153 676 8,372 2,807 2000 24,271 707 9,158 2,850 2001 27,071 689 11,793 2,895 2002 28,623 874 9,054 3,180 *** 2003 31,977 961 12,193 4,663 2004 35,538 1,361 12,058 3,240 2005 36,677 1,255 15,546 3,301 Notes: * Includes General Fund, Special Revenue Funds, Debt Service Fund and Capital Projects Funds. ** In FY99, Housing Authority was reported as an Enterprise Fund. **. In FY03, Transit became part of the General Fund. Also in FY03, Capital Projects Funds are included. 94 _.~_._._--------,~----_.,---~--"--"----_.._~-_._._._".,----.----.--, Use of Money and ProDertv Miscellaneous Transfers from Other Funds Total $ 1,306 $ 1,885 $ 6,485 $ 47,148 1,344 1,861 7,068 46,341 1,645 2,057 7,209 47,566 1,076 2,116 7,384 44,584 898 2,243 8,421 48,548 1,080 2,175 7,906 53,609 860 2,833 9,090 54,514 986 2,569 15,172 68,521 1,002 4,377 14,614 72,190 1,354 4,121 15,776 78,030 95 ---_._----~-,-,_._._._--_.-------- ~,-------_..----,.-.__._,,---"-,...._--_._--,.._,._-_._------------.. CITY OF lOW A CITY, IOWA PROPERTY TAX BUDGETS AND COLLECTIONS Last Ten Fiscal Years , (Cash Basis) I I (amounts expressed in thousands) I I I i Percent of Total as , , , Assessment Collection Total Tax Current Tax Budget Delinquent Tax Total Tax a Percent of i I Year Year Budl!eted Collections Collected Collections Collections Current Bndl!et , I I 1994 1995-96 $ 19,264 $ 19,234 99.8 % $ 14 $ 19,248 99.9 % I I 1995 1996-97 19,766 19,765 100.0 17 19,782 100.1 I -a '" I 1996 1997-98 20,807 20,521 98.6 8 20,529 98.7 I 1997 1998-99 21,735 21,842 100.5 22 21,864 100.6 1998 1999-00 23,945 23,989 100.2 5 23,994 100.2 ! 1999 2000-01 26,089 25,684 98.4 31 25,715 98.6 2000 2001-02 27,920 28,423 101.8 5 28,428 101.8 2001 2002-03 31,975 31,863 99.6 16 31,879 99.7 2002 2003 -04 34,073 34,009 99.8 23 34,032 99.9 2003 2004-05 34,403 34,814 101.2 15 34,829 1Ol.2 I CITY OF IOWA OTY, IOWA PROPERTY TAX RATES AND TAX DOLLARS BUDGETED Tax Rates1 Fiscal Agri- Year Total cultural Ended Employee Tort Debt City Land June 30 General Library Benefits Emerilencv Liability Service Transit Tax Rate Tax Rate 1996 $ 8.100 $ 0.270 $ 1.963 $ $ $ 1.709 $ 0.950 $ 12.992 $ 3.004 1997 8.100 0.270 2.133 1.200 0.950 12.653 3004 1998 8.100 0.270 2.026 1.704 0.950 13.050 3.004 I 1999 8.100 0.270 1.834 0.111 1.868 0.950 13.133 3.004 I 2000 8.100 0.270 2.009 0.222 2.300 0.950 13.851 3004 2001 8.100 0.270 1.955 0.270 0.222 2.990 0.950 14.757 3.004 -a 2002 8.100 0.270 2111 0.270 0.206 2.945 0.949 14.850 3004 --l 2003 8.100 0.270 2.847 0.270 0.216 4.161 0.950 16.814 3.004 2004 8.100 0.270 3.192 0.270 0.244 4.570 0.950 17.596 3.004 2005 8.100 0.270 3.423 0.270 0.347 3.954 0.950 17.314 3004 Tax Dollars Budgeted' Fiscal Year Agri- Ended Employee Tort Debt cultural June 30 General Librarv Benefits Emerl!encv Liability Service Transit Land Total I 1996 $ 11,998 $ 400 $ 2,908 $ $ $ 2,545 $ 1,407 $ 6 $ 19.264 I 1997 12,637 421 3,327 1,892 1,482 7 19,766 I 1998 12,893 430 3,225 2,740 1,512 7 20,807 I 1999 13,380 446 3,030 183 3,120 1,569 7 21,735 i 2000 13,982 466 3,468 381 4,002 1,640 6 23,945 I 2001 14,296 477 3,451 477 392 5,312 1,677 7 26,089 2002 15,191 506 3,963 506 402 5,563 1,782 7 27,920 I 2Q03 15,391 513 5,409 513 410 7,927 1,805 7 31,975 I I 2004 15,654 522 6,169 522 471 8,892 1,836 7 34,073 , 2005 16,231 541 6,859 541 696 8,015 1,904 6 34,793 Notes: ITax rate per $1,000 of taxable valuation. '1 AmoWlts expre~sed in thousands. CITY OF lOW A CITY, IOWA PROPERTY TAX, ROAD USE TAX AND HOTEL/MOTEL TAX REVENUES Last Ten Fiscal Years (amounts expressed in thousands) Fiscal Year Ended June 30 Property Tax Road Use Tax HotellMoteJ Tax Total 1996 $ 19,255 $ 4,106 $ 464 $ 23,825 1997 19,659 4,253 427 24,339 1998 20,635 4,087 501 25,223 1999 22,153 4,575 570 27,298 2000 24,271 4,928 554 29,753 2001 27,071 4,852 497 32,420 2002 28,623 5,077 646 34,346 2003 31,966 5,103 559 37,628 2004 35,538 5,311 580 41,429 2005 36,677 5,269 611 42,557 98 CITY OF lOW A CITY, lOW A ASSESSED AND ESTIMATED ACTUAL VALUE OF TAXABLE PROPERTY AND EXEMPT PROPERTY Last Ten Fiscal Years (amounts expressed In thousands) Taxable Property Collection Assessed Valuel Assessment Year Ended Estimated Exempt Januarv 1 Jnne 30 Actual Value Propertv Value 1996 1998 $ 2,185,167 $ 111,672 1997 1999 2,373,523 114,154 1998 2000 2,423,557 123,068 1999 2001 2,597,827 128,115 2000 2002 2,699,944 136,493 2001 2003 2,920,580 137,713 2002 2004 2,975,254 152,991 2003 2005 3,214,973 155,407 2004 2006 3,322,001 176,188 2005 2007 3,829,754 181,186 Source: City oflowa City Assessor's Office Notes: Property is reassessed in the odd numbered years to make adjustments to all property values, according to current market values. As per the Code of Iowa, all reat and tangible personal property subject to taxation shall be valued at its actual value and, except as otherwise provided, shall be reassessed at 100% of its actual value, and the value so assessed shall be taken and considered as the assessed value and taxable value of the property upon wbich the levy shall be made. Taxable property includes real property, buildings and structures, industrial plant and fixtures, commercial equipment assessed as real property and utilities distribution property. Exempt property includes all property that is owned by religious and educational institutions, charitable and benevolent societies, low-rent housing and associations for war veterans. Each must apply for property tax exempt status with the City Assessor, who determines if the property qualifies under state guidelines. Exempt orooertv is assessed each year like other taxable orooertv. Pronertv owned bv IwvernmentaJ entities is not 99 CITY OF IOWA CITY, IOWA PROPERTY T AX RATES - ALL DIRECT AND OVERLAPPING GOVERNMENTS Last Ten Fiscal Years (per $1,000 assessed valuation) Iowa City Kirkwood Ratio of Collection School City of Johnson Community State of Iowa City Year District Iowa City I Colle!!e Iowa Total to Total County 1995-96 $ 12.634 $ 12.992 $ 5.790 $ 0.593 $ 0.005 $ 32.014 40.6 % 1996-97 12.130 12.653 5.515 0.589 0.005 30.892 41.0 1997-98 12.220 13.050 5.414 0.595 0.005 31.284 41.7 1998-99 12.075 13.133 5.747 0.567 0.005 31.527 41.7 1999-00 11.696 13.851 5.947 0.613 0.005 32.112 43.1 2000-0 I 11.833 14.757 5.901 0.607 0.005 33.104 44.6 2001-02 11.540 14.850 5.802 0.607 0.005 32.803 45.3 2002-03 12.210 16.813 6.061 0.666 0.004 35.754 47.0 2003-04 12.865 17.596 6.102 0.679 0.004 37.246 47.2 2004-05 12.875 17.314 6.166 0.668 0.004 37.027 46.8 Source: "Tax Levies for Johnson County, Iowa," compiled by the Johnson County Auditor. Note: 'Includes Johnson County, the City oflowa City Assessor and Agricultural Extension levies. 100 CITY OF IOWA CITY, IOWA PRINCIPAL T AXP AYERS AND EMPLOYERS Fiscal Year Ended June 30, 2005 (amounts expressed in thousands) Ten lart!est taxDaversl Tvpe of Business 0/0 of Total Taxable Assessed Valuation Valnation $ 46,919 1.46 % 26,902 0.84 26,252 0.82 18,475 0.57 16,159 0.50 11 ,824 0.37 11,457 0.36 10,523 0.33 10,200 0.32 9,262 0.29 $ 187 973 ~% Emplovees 24,627 1,600 1,241 1,200 1,250 1,153 1,050 986 930 500 Mid-American Energy Company' ACT Inc. (formerly American College Testing Program) James & Loretta Clark Sonthgate Development Company NCS Pearson Moen Group M G D LC (Sycamore Mall) Procter & Gamble Manufacturing Company MIP Iowa City LLC (Sheraton Hotel) OC Group LC (Old Capitol Mall) Public Gas and Electric Utility Educational Testing Service Apartments Real Estate Developer Information Services Real Estate Developer Shopping Mall Personal Products Manufacturing Hotel Shopping Mall Total Ten maior emolovers] University of Iowa Iowa City Community School District Veterans Administration Medical Center ACT Inc. (formerly American College Testing Program) Mercy Hospital Hy-Vee NCS Pearson City of Iowa City Lear Corporation Gillette Canada (Oral B Laboratories) Sources: 'City ofIowa City Assessor's Office-2003 Annual Report - Assessment January I, 2003, payable 2005 2 State Department of Revenue 'Iowa Workforce Development and Iowa City Area Chamber of Commerce (including full- and part-time employees) 101 CITY OF IOWA CITY, IOWA SPECIAL ASSESSMENT COLLECTIONS Last Ten Fiscal Years (amounts expressed in thousands) Fiscal Year Special Special Ratio of Total Ended Assessments Assessments Collection to Outstanding June 30 Billed Collected Amount Billed Assessments 1996 $ 36 $ 50 138.9 $ 225 1997 22 80 363.6 145 1998 17 31 182.4 114 1999 15 21 140.0 89 2000 15 32 213.3 57 2001 9 12 133.3 48 2002 9 9 100.0 35 2003 9 7 77.8 27 2004 9 9 100.0 18 2005 9 13 144.4 5 Source: Johnson County Treasurer's Office Note: "Special Assessments Collected" includes amounts received on special assessments, past due assessments and future installments. 102 I I CITY OF IOWA CITY, IOWA , I RATIO OF NET GENERAL OBLIGATION BONDED DEBT' I , TO ASSESSED VALUE AND NET BONDED DEBT PER CAPITA I I I Last Ten Fiscal Years i I (amounts expressed in thousands, except per capita) Debt , I Payable from Proprietary Assessment and Net Gioneral Ratio of Net Net Bonded as of Assessed Gross Expendable Debt Service Obligation Bonded Debt to Debt Januarv 1 Ponulation Vaiue2 Bonded Debt Tru.t Fund. Fund Balance Bonded Debt Assessed Value Per Canita I 1996 59,738 $ 2,185,167 $ 29,430 $ 20,399 $ 655 $ 8,376 3.83:1000 $ 140 , , I I 1997 60,148 2,373,523 31,390 17,144 643 13,603 5.73:1000 226 I I 0 w 1998 60,148 2,423,557 41,675 20,903 616 20,156 8.32:1000 335 I 1999 60,148 2,597,827 46,165 18,832 347 26,986 10.39:1000 449 2000 60,148 2,699,944 41,190 16,762 192 24,236 8.98:1000 403 2001 62,220 2,920,580 61,565 14,868 494 46,203 15.82:1000 743 2002 62,220 2,975,254 85,260 13,061 464 71,735 24.12:1000 1,153 2003 62,380 3,214,973 83,000 11,359 4,448 67,193 20.90: 1000 1,077 2004 62,380 3,322,001 85,085 9,640 6,930 68,515 20.62:1000 1,098 2005 62,380 3,829,754 85,290 8,275 3,067 73,948 19.31:1000 1,185 Notes: IGeneral Obligation bonds. ZObtained from the City ofIawa City Assessor's Office. CITY OF IOWA CITY, IOWA RATIO OF ANNUAL DEBT SERVICE EXPENDITURES FOR GENERAL BONDED DEBT TO TOTAL GENERAL GOVERNMENTAL* EXPENDITURES Last Ten Fiscal Years (amounts expressed in thousands) Total General Fiscal Year Governmental Ratio of Debt Ended Total Expenditures Service to General June 30 Princioal Interest Debt Service and Transfers Exnenditures 1996 $ 1,939 $ 580 $ 2,519 $ 46,614 .05: 1.00 1997 1,499 464 1,963 45,690 .04: 1.00 1998 1,988 739 2,727 47,311 .06: 1.00 1999 2,452 1,038 3,490 45,851 .08: 1.00 2000 2,918 1,360 4,278 52,727 .08: 1.00 2001 3,541 1,763 5,304 53,898 .10: 1.00 2002 3,599 2,136 5,735 53,462 .11: 1.00 .. 2003 4,742 3,683 8,425 82,001 .10: 1.00 2004 5,172 3,336 8,508 83,445 .10: 1.00 2005 9,349 3,676 13,025 88,342 .15: 1.00 . General Fund, Special Revenue Funds and Debt Service Fund. .. Beginning in FY03, Capital Projects Funds are also included. 104 CITY OF IOWA CITY, IOWA COMPUTATION OF DIRECT AND OVERLAPPING DEBT June 30, 2005 (amounts expressed in thousands, except per capita) Name of Governmental Unit Amount Total General % Applicable Applicable Long-Term to the to the Bonded Debt City of City of Outstandin2 Iowa City Iowa City Per CaDita $ 85,290 100.00% $ 85,290 $ 1,364 City of Iowa City Iowa City Community School District Total $ 22,296 107,586 $ 357 1,721 $ 36,445 121,735 61.18% Per capita assessed value $ 53,254 Sonrce: Johnson County Auditor's Office 105 CITY OF IOWA CITY, IOWA SCHEDULE OF REVENUE BOND COVERAGE Last Ten Fiscal Years (amounts expressed in thousands) Fiscal Year Net Revenue Annual Debt Service Ended A vaiJable for Ratio of June 30 Revenue Exoensesl Debt Service PrinciDal Interest Total Coveraee Parkin!! Revenue2 1996 $ 3,252 $ 1,465 $ 1,787 $ 310 $ 316 $ 626 2.85 1997 3,338 1,950 1,388 330 218 548 2.53 1998 3,822 1,770 2,052 390 195 585 3.51 1999 3,653 1,713 1,940 415 168 583 3.33 2000 3,716 1,861 1,855 455 139 594 3.12 2001 4,309 2,176 2,133 485 836 1,321 1.61 2002 4,272 1,960 2,312 510 746 1,256 1.84 2003 4,198 1,953 2,245 375 715 1,090 2.06 2004 4,164 2,319 1,845 395 687 1,082 1.71 2005 4,360 2,377 1,983 305 663 968 2.05 Wastewater Treatment Revenue , 1996 $ 9,656 $ 2,506 $ 7,150 $ 1,230 $ 2,205 $ 3,435 208 1997 11,040 2,739 8,301 1,295 2,923 4,218 1.97 1998 11,066 2,809 8,257 1,490 3,382 4,872 1.69 1999 11,362 2,987 8,375 2,065 3,519 5,584 1.50 2000 11,872 3,259 8,613 2,160 3,691 5,851 1.47 2001 12,824 3,248 9,576 2,505 3,589 6,094 1.57 2002 12,501 3,389 9,112 3,005 4,236 7,241 1.26 2003 13,000 4,463 8,537 3,060 4,385 7,445 1.15 2004 12,947 4,523 8,424 3,280 3,672 6,952 1.21 2005 12,600 4,432 8,168 3,630 3,537 7,167 1.14 Water Revenue 4 1999 $ 8,571 $ 3,295 $ 5,276 $ $ $ 0.00 2000 9,626 3,384 6,242 299 299 20.88 2001 10,629 3,410 7,219 140 445 585 12.34 2002 10,179 3,428 6,751 705 1,175 1,880 3.59 2003 10,241 4,361 5,880 500 1,088 1,588 3.70 2004 10,627 4,360 6,267 925 1,427 2,352 2.66 2005 9,287 4,783 4,504 845 1,340 2,185 2.06 Notes: lExcludes depreciation and interest. zParking Revenue bonds ratio of "Net Revenue Available for Debt Service" to "Total Annual Debt Service" is required to be at least 1.25. JWastewater Treatment Revenue bonds ratio of "Net Revenue Available for Debt Service" to "Total Annual Debt Service" is required to be at least 1.10. 4Water Revenue bonds ratio of "Net Revenue Available for Debt Service" to "Total Annual Debt Service" is required to be at least 1.10. 106 CITY OF lOW A CITY, lOW A DEMOGRAPHIC STATISTICS Median Calendar Per Capita Median Family Education Retail Sales' Year Population Income Aee Income I IApprox,) Level 1950 27,212 N/A 25.3 $ 3,245 68.1 % $ 34,993,000 1960 33,443 $ 1,914 24.1 5,769 69.5 46,607,000 1970 46,850 3,025 22.6 9,942 82.1 84,322,000 1974 47,744 4,465 23.4 9,942 82.1 125,920,000 1980 50,508 7,247 24.6 22,325 89.5 215,305,000 1990 59,738 13,277 24.8 39,259 93.9 464,800,000 1996 60,148 N/A 24.8 N/A N/A 657,700,000 2000 62,380 20,269 25.4 57,568 94.8 756,100,000 Source: U.S. Department of Commerce, Bureau of the Census Notes: 'Percent of Population completing 12 years of formal schooling or more. 'Iowa Retail Sales & Use Report, Iowa Department of Revenue and Finance. N/A - Not Available Fiscal Year School Enrollment Unemployment Ended June 30 Public' Private4 Rate' 1996 10,448 921 2.7 1997 10,444 850 2.8 1998 10,562 868 2.4 1999 10,592 887 2.5 2000 10,619 924 2.0 2001 10,674 929 2.4 2002 10,785 912 3.2 2003 10,768 932 3.5 2004 10,943 942 4.0 2005 10,945 921 2.9 Sources: 'Iowa City Community School District 4Local private schools 'Iowa W orleforce Development Center 107 CITY OF IOWA CITY, IOWA PROPERTY VALUE, BUILDING PERMITS AND BANK DEPOSITS Last Ten Fiscal Years (dollar amounts expressed in thousands) Fiscal Year Property Value' New Constructiou Ended Number Value J uue 30 Real Exemut of Permits of Permits' 1996 $ 2,185,167 $ 111 ,672 145 $ 32,943 1997 2,373,523 114,154 161 45,339 1998 2,423,557 123,068 224 34,966 1999 2,597,827 128,115 320 45,381 2000 2,699,944 136,493 277 125,129 2001 2,920,580 137,713 191 79,329 2002 2,975,254 152,991 215 93,977 2003 3,214,973 155,407 275 65,829 2004 3,322,001 176,188 304 145,129 2005 3,829,754 181,186 249 80,742 Notes: I Source: Iowa City Assessor's Office 2Permit values are based on estimated construction costs. 'Local bank offices - Hills Bank & Trust Company, Connnercial Federal Savings Bank, Iowa State Bank & Trust Company, West Bank, U S Bank, Farmers & Merchants Savings Bank, Wells Fargo, Federal Employees Credit Union and the University of Iowa Connnunity Credit Union. 108 Remodeling Repair and Additons Total Building Permits Bank and Nnmber Valne Number Value Credit Union of Permits of Permits2 of Permits of Permits DeDositsJ 478 $ 10,249 623 $ 43,192 $ 928,208 512 12,536 673 57,875 1,050,620 739 14,880 963 49,846 1,073,583 579 22,618 899 67,999 1,140,367 678 28,677 955 153,806 1,183,757 579 25,101 770 104,430 1,107,410 577 24,660 792 118,637 1,060,390 606 44,336 881 110,165 1,140,410 654 39,840 958 184,969 1,267,156 690 28,870 939 109,612 1,344,023 109 CITY OF lOW A CITY, IOWA PARKING RATES Last Ten Fiscal Years Fiscal On~Street Off-Street CBD Peripheral Commercial Overtime Year End Meters Meters Meters2 Ramps Lotsl Ramp Permits Parking June 30 loer hour) (Der hour) (oef hour) (oef hour) (oef month) (Ofr month) Violation 1996 $ 0.30 $ 030 $ 0.50 $ 0.45 3 $ 35 $ 45 $ 3 0.50 4 55 4 0.30 35 s 1997 0.40 0.40 0.60 0.50 3 40 45 3 3 0.50 4 55 4 0.40 s 45 s 1998 0.40 0.40 0.60 0.50 3 40 45 3 0.50 4 55 4 0.40 45 s 1999 0.40 0.40 0.60 0.50 3 40 45 3 0.50 4 55 4 0.40 s 45 s 2000 0.40 0.40 0.60 0.50 3 40 45 3 0.50 4 55 0.40 s 45 2001 0.40 0.60 0.60 0.60 45 50 3 0.60 60 4 0.50 45 0.60 6 60 6 2002 0.40 0.60 0.60 0.60 45 50 3 3 0.60 4 60 4 0.50 s 45 s 0.60 6 60 6 2003 0.40 0.60 0.60 0.60 45 50 3 0.60 60 4 0.50 45 0.60 60 6 2004 0.40 0.60 0.60 0.60 55 60 5 0.60 4 70 0.50 55 0.60 6 70 2005 0.40 0.60 0.60 0.60 55 60 5 0.60 4 70 4 0.50 55 0.60 6 70 6 Notes: lEmp!oyees of the City of Iowa City pay half-price for permits in the peripheral lots. 2CBD refers to Central Business District. JDubuque Street Ramp. 4Capitol Street Ramp. 5Chauncey Swan Ramp. 'Tower Place Ramp. 110 ..__.___._~____,._~.~~._,_,____._.__.u.__...~___.._.____...__......_...__...______..__._______._._._....__._,_.. CITY OF lOW A CITY, IOWA SCHEDULE OF LIABILITY AND PROPERTY INSURANCE IN FORCE June 30, 2005 Limits of Term of Annual Insurance Company Type of Coverage Coverage Policy Policy # Premium Genesis Insurance Company Comprehensive general liability, auto $10 million general 6/05-6/06 YXB300792E $269,650 liability, law enforcement liability, public occurrence; $19 million officials' errors and omissions liability. aggregate; $500,000 self- insured retention (SIR) for liability. Allianz Global Risks Blanket building and contents, contractor's $226,840,390 agreed amt. 6/05-6/06 CLP3006215 $375,700 equipment, EDP, auto physical damage, per occurrence; deductible flood and earthquake included at $15 million on property section is sub-limit. $100,000 per event. Midwest Employers Casualty Workers' compensation $500,000 SIR 6/05-6/06 EWCOO7302 $39,101 Company - Old Republic Airport premises liability and ground $5 million/combined single 6/05-6/06 PR163 104 $7,798 - - Insurance Company hangarkeeper's legal liability. limit; $1 million/aircraft; $1,000 deductible. Cincinnati Insurance Company Boiler and machinery coverage at fifteen $25,000,000 aggregate; 6/03-6/06 BEP 2663128 $1l,758 locations. $10,000 deductible. Selective Insurance Company Flood coverage on property located in flood $5,000 deductible on 6/05-6/06 RI00541951/953/954/ $14,433 of Southeast zone A. building; $5000 on 956/957/959/961 contents; maximum coverage-$500,000 per building and $500,000 contents per location. Assisted Housing Risk Public Housing Pool: general liability and $1 million per occurrence 1105-1/06 P100188059 $14,193 Management Association property damage coverage. on liability/$2 million LlOOl88058 aggregate; $25 million on property damage Employee Dishonesty: Public employees dishonesty coverage $1,000,000 per occurrence 6/03-6/06 B-80-444877 $14,908 Cincinnati Insurance Company CITY OF IOWA CITY, IOWA MISCELLANEOUS STATISTICAL DATA Year ended June 30, 2005 Date of incorporation Form of government Area Miles of streets: Paved (approx.) Unpaved (approx.) Number of street lights Police protection: Number of stations Number of sworn personnel Fire protection: Number of stations Number ofswom personnel Municipal water departroent: Number of active accounts Average daily consumption (in gallons) Miles of water mains (approx.) Sewers: Sanitary lift stations (active) Miles of sanitary sewers (approx.) Cemetery Recreation: Municipal parks: Number of parks/public open spaces Number of acres Golf courses non-municipal Other municipal facilities: Recreation Center Ball diamonds Soccer fields Tennis courts Swimming pools Senior Center Parking: Parking ramps/spaces Parkiug lots/spaces On-street meters 112 April 6, 1853 Council/Manager 16,035 254 8 3,357 1 70 3 57 23,558 5,448,500 272 11 277 61 1,400 5 2 29 25 12 3 I 4/2,537 6/331 1,125 (continued) CITY OF lOW A CITY, lOW A MISCELLANEOUS STATISTICAL DATA Year ended June 30, 2005 ( concluded) Landfill: Number of charge customers Tons (charge and cash) 515 113,356 Sanitation: Number of customers Tons 14,158 8,667 Library: Number of volumes (approx.) Registered cardholders 225,443 65,371 Educational Institutions.: Elementary schools Junior high schools High schools Alternative Learning Center Vocational school Community college University 18 2 3 1 1 1 I Hospitals 3 City Employees: Permanent Temporary 625 611 Elections2: Last general election - 2004 Registered voters Number of votes cast Percentage voting 48,891 17,461 35.7% Last municipal election - 2003 Registered voters Number of votes cast Percentage voting 38,849 8,101 20.9% Souree: 'Iowa City Community School District and local private school offices. 'Jolmson County Auditor 113 City ofIowa City, Iowa Debt Limit Computation June 30, 2005 Article XI, Section 3 of the State of Iowa Constitution limits the amount of debt oustanding at any time of any county, m unicipality or other policital subdivision to no more than five percent (5%) of the actual value of all taxable property within the c Total Assessed Valuation Debt Limit- 5% of Total Assessed Valuation Less: Amount of Debt Applicable to Debt Limit Legal Debt Margin $ 3,214,97;l,037 160,748,652 85,290,000 $ 75,458,652 114 CITY OF IOWA CITY, IOWA GENERAL OBLIGATION DEBT ANNUAL MATURITY SCHEDULE PaymeDts FUDdiDg Source(s) Fiscal Property Tax Tax IDcremeDt Sewer ParkiDg Water PriDcipal ~ PriDcipal IDterest Total ReveDue FiDaDciDl! ReveDue ReveDue Revenue OutstaDdiDl! 2005 $6,815,000 $3,840,431 $10,655,431 $8,474,286 $442,941 $181,401 $313,150 $1,243,652 $85,085,000 2006 7,495,000 3,784,228 11,279,228 9,202,689 354,353 177,193 310,900 1,234,094 85,290,000 2007 7,585,000 3,468,380 11,053,380 8,985,238 354,353 t 72,984 3 18,525 1,222,281 77,795,000 2008 6,520,000 3,177,773 9,697,773 8,228,102 669,353 . . 800,318 70,210,000 2009 6,680,000 2,915,085 9,595,085 8,145,567 671,753 . , 777,766 63,690,000 I 2010 6,795,000 2,643,310 9,438,310 7,996,502 668,553 . . 773,256 57,010,000 2011 7,025,000 2,359,228 9,384,228 7,946,988 669,953 . . 767,287 50,215,000 , , 2012 7,265,000 2,060,110 9,325,110 7,895,619 668,978 760,514 43,190,000 i . - I 2013 6,220,000 1,743,660 7,963,660 6,544,569 666,403 - 752,689 35,925,000 , - 2014 5,860,000 1,464,060 7,324,060 5,931,718 668,115 . . 724,227 29,705,000 V> 2015 5,480,000 1,193,805 6,673,805 5,290,465 668,878 . . 714,462 23,845,000 2016 4,405,000 933,370 5,338,370 4,334,680 673,690 . . 330,000 18,365,000 2017 3,560,000 712,418 4,272,418 3,280,328 677,090 315,000 13,960,000 2018 3,405,000 531,046 3,936,046 3,257,113 678,934 - . - 10,400,000 2019 1,805,000 356,434 2,161,434 1,482,000 679,434 - - 6,995,000 2020 1,900,000 266,184 2,166,184 1,483,000 683,184 - . - 5,190,000 2021 2,005,000 170,490 2,175,490 1,485,750 689,740 - . 3,290,000 2022 625,000 68,765 693,765 . 693,765 . - . 1,285,000 I 2023 660,000 35,640 695,640 . 695,640 - . . 660,000 I i I Total $ 92.105,000 $ 31,724,415 $ 123.829.415 $ 99,964,612 $ 11 ,975.1 04 $ 531,578 $ 942.575 $ 10.415.545 I I I I I I I CITY OF IOWA CITY, IOWA REVENUE DEBT ANNUAL MATURITY SCHEDULE Payments Funding Source(s) Fiscal Sewer Parking Water Principal Year Principal Interest Total Revenue Revenue Revenue Outstandinl! 2005 $4,780,000 $5,541,021 $10,321,021 $7,167,305 $968,463 $2,185,253 $115,710,000 2006 5,015,000 5,340,208 10,355,208 7,204,789 965,104 2,185,315 110,930,000 2007 5,155,000 5,128,064 10,283,064 7,138,686 960,863 2,183,515 105,915,000 2008 5,415,000 4,905,893 10,320,893 7,176,052 960,594 2,184,246 100,760,000 2009 5,625,000 4,668,765 10,293,765 7,156,949 954,298 2,182,519 95,345,000 2010 5,875,000 4,413,216 10,288,216 7,153,083 951,973 2,183,160 89,720,000 2011 6,195,000 4,139,939 10,334,939 7,205,109 948,473 2,181,358 83,845,000 2012 6,505,000 3,851,052 10,356,052 7,229,772 943,798 2,182,483 77,650,000 I - 2013 6,640,000 3,548,294 . 10,188,294 7,059,487 942,801 2,186,007 71,145,000 I 0- 2014 4,925,000 3,270,461 8,195,461 5,068,768 940,335 2,186,359 64,505,000 I 2015 5,185,000 3,016,299 8,201,299 5,076,744 936,40 I 2,188,155 59,580,000 I 2016 5,470,000 2,746,786 8,216,786 5,094,890 935,851 2,186,045 54,395,000 2017 5,745,000 2,460,824 8,205,824 5,087,734 933,468 2,184,623 48,925,000 2018 6,065,000 2,156,526 8,221,526 5,098,893 934, I 00 2,188,534 43,180,000 2019 6,365,000 1,833,193 8,198,193 5,082,558 927,815 2,187,820 37,115,000 2020 6,735,000 1,490,209 8,225,209 5,108,288 929,465 2,187,456 30,750,000 , 2021 6,560,000 1,138,071 7,698,071 4,582,400 928,400 2,187,271 24,015,000 I 2022 5,310,000 816,768 6,126,768 3,015,544 924,600 2,186,624 17,455,000 i 2023 4,215,000 556,432 4,771,432 1,662,975 923,250 2,185,207 12,145,000 2024 3,000,000 358,381 3,358,381 866,238 924,050 1,568,094 7,930,000 2025 3,175,000 186,200 3,361,200 868,475 921,850 1,570,875 4,930,000 , 2026 1,755,000 48,831 1,803,831 868,238 . 935,594 1,755,000 , i , i Total $ 115.710,000 $ 61.615.434 $ 177 ,325.434 $111.972.974 $ 19.755,949 $ 45.596,511 I i i I I I I i ~~>>~ EideBaill)c ~ CP/I" &. BUSINESS AI)Vj~()RS REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS To the Honorable Mayor and Members of the City Council City ofIowa City, Iowa We have audited the fmancial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City ofIowa City, Iowa, as of and for the year ended June 30, 2005, which collectively comprise the City's basic fmancial statements, and have issued our report thereon dated November 28, 2005. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to fmancial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Internal Control Over Financial Reoorting In plarming and performing our audit, we considered the City's internal control over fmancial reporting in order to determine our auditing procedures for the purpose of expressing our opinions on the fmancial statements and not to provide an opinion on the internal control over fmancial reporting. Our consideration of the internal control over fmancial reporting would not necessarily disclose all matters in the internal control that might be material weaknesses. A material weakness is a reportable condition in which the design or operation of one or more of the internal control components does not reduce to a relatively low level the risk that misstatements caused by error or fraud in amounts that would be material in relation to the fmancial statements being audited may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions. We noted no matters involving the internal control over fmancial reporting and its operation that we consider to be material weaknesses. Comoliance and Other Matters As part of obtaining reasonable assurance about whether the City's fmancial statements are free of material misstatement, we performed tests of its compliance with certain provisions oflaws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of fmancial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance that are required to be reported under Government Auditing Standards. Comments involving statutory and other legal matters about the City's operations for the year ended June 30, 2005, are based exclusively on knowledge obtained from procedures performed during our audit of the fmancial statements of the City ofIowa City, Iowa, and are reported in Part II of the accompanying Schedule of Findings and Questioned Costs. Since our audit was based on tests and samples, not all transactions that might have had an impact on the comments were necessarily audited. The comments involving statutory and other legal matters are not intended to constitute legal interpretations of those statutes. 117 PEOPLE. PRINCIPLES. POSSIBIlITIES. www.eidebailly.com 3999 Pennsylvania Ave., Suite 100. Dubuque, Iowa 52002-26391 Phone 563.556.1790 I Fax 563.557.7842 I EOE We noted certain matters that we reported to management of the City in a separate letter dated November 28, 2005. This report, a public record by law, is intended solely for the information and use of the officials, employees, and citizens of the City ofIowa City, Iowa, and other parties to whom the City ofIowa City, Iowa, may report, including federal awarding agencies and pass-through entities. This report is not intended to be and should not be used by anyone other than these specified parties. We would like to acknowledge the many courtesies and assistance extended to us by personnel of the City of Iowa City, Iowa, during the course of our audit. Should you have any questions conceming any of the above matters, we shall be pleased to discuss them with you at your convenience. ?-~LL-T' Dubuque, Iowa November 28, 2005 lIS ~~>>~ EideBailly" ~ ('rA~ & BUSINESS ALWISORS REPORT ON COMPLIANCE WITH REQUIREMENTS APPLICABLE TO ITS MAJOR PROGRAM AND ON INTERNAL CONTROL OVER COMPLIANCE IN ACCORDANCE WITH OMB CIRCULAR A-133 To the Honorable Mayor and Members of the City Council City of Iowa City, Iowa Compliance We have audited the compliance of the City of Iowa City, Iowa, with the types of compliance requirements described in the U.S. Office of Management and Budget (OMB) Circular A-I 33 Compliance Supplement that are applicable to its major federal program for the year ended June 30, 2005. The City's major federal program is identified in the summary of the independent auditor's results section of the accompanying Schedule of Findings and Questioned Costs. Compliance with the requirements oflaws, regulations, contracts, and grants applicable to its major federal program is the responsibility of the City's management. Our responsibility is to express an opinion on the City's compliance based on our audit. We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America; the standards applicable to [mancial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; and OMB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations. Those standards and OMB Circular A-133 require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the types of compliance requirements referred to above that could have a direct and material effect on a major federal program occurred. An audit includes examining, on a test basis, evidence about the City's compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion. Our audit does not provide a legal determination on the City's compliance with those requirements. In our opinion, the City ofIowa City, Iowa, complied, in all material respects, with the requirements referred to above that are applicable to its major federal program for the year ended June 30, 2005. Internal Control Over Compliance The management of the City of Iowa City, Iowa, is responsible for establishing and maintaining effective internal control over compliance with requirements of laws, regulations, contracts, and grants applicable to federal programs. In planning and performing our audit, we considered the City's internal control over compliance with requirements that could have a direct and material effect on a major federal program in order to determine our auditing procedures for the purpose of expressing our opinion on compliance and to test and report on the internal control over compliance in accordance with OMB Circular A-133. 119 PEOPLE. PRINCIPLES. POSSIBILITIES. www.eidebailly.com 3999 Pennsylvania Ave., Suite 100 I Dubuque, Iowa 52002.2639 . Phone 563.556.1790 I Fax 563.557.7842 I EOE Our consideration of the internal control over compliance would not necessarily disclose all matters in the internal control that might be material weaknesses. A material weakness is a reportable condition in which the design or operation of one or more of the internal control components does not reduce to a relatively low level the risk that noncompliance with applicable requirements oflaws, regulations, contracts, and grants caused by error or fraud that would be material in relation to a major federal program being audited may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions. We noted no matters involving the internal control over compliance and its operation that we consider to be material weaknesses. This report, a public record by law, is intended solely for the information and use of the officials, employees, and citizens of the City ofIowa City, Iowa, and other parties to whom the City ofIowa City, Iowa, may report, including federal awarding agencies and pass-through entities. This report is not intended to be and should not be used by anyone other than these specified parties. ~~LO'" Dubuque, Iowa November 28, 2005 120 CITY OF IOWA CITY, lOW A SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS YEAR ENDED JUNE 30, 2005 Agency or Pass-through Program Grantor/Program CFDA Number Number Expenditures Direct: Department of Housing and Urban Development: Community Deve]opment Block Grants/ Entitlement Grants ]4.2]8 B-02-MC-] 9-0009 $ 3]9,840 Community Deve]opment Block Grants/ Entitlement Grants 14.218 B-03-MC-19-0009 704,000 Community Development B]ock Grants! Entitlement Grants ]4.2]8 B-04-MC-] 9-0009 209,565 Community Deve]opment Block Grants/ Entitlement Grants 14.218 B-05-MC-19-0009 223 L233.628 HOME Investment Partnerships Program 14.239 M-OI-MC-19-0205 67,600 HOME Investment Partnerships Program 14.239 M-02-MC-] 9-0205 146,]66 HOME Investment Partnerships Program 14.239 M-03-MC-19-0205 57,860 HOME Investment Partnerships Program 14.239 M-04-MC-19-0205 380,075 HOME Investment Partnerships Program 14.239 M-05-MC-]9-0205 6.037 657.738 Public and Indian Housing 14.850 1A022-305J 207.763 Resident Opportunity and Supportive Services 14.870 1A00RSF022POO] 7 1,486 Resident Opportunity and Supportive Services 14.870 1A022REFO I OA003 67.610 69.096 Section 8 Housing Choice Vouchers 14.871 KC9033 6.545.711 Public Housing Capita] Fund 14.872 1A05902250 10 I ]6,497 Public Housing Capita] Fund 14.872 1A05902250]02 ] 04,463 Public Housing Capital Fund ]4.872 1A05902250103 68.463 ]89.423 Department of Justice: Local Law Enforcement Block Grants Program 16.592 2002-LB-BX-0986 ] 8.572 Bulletproof Vest Partnership Program ]6.607 2004BUB)(040222]7 4.038 Department of Transportation: Federal Transit-Capita] Investment Grants 20.500 1A-03-0086 2,967,018 Federal Transit-Capital Investment Grants 20.500 1A-]5-XOO] 2,176,260 Federal Transit-Formula Grants 20.507 1A-90-X258 46,618 Federal Transit-Formula Grants 20.507 1A-90-X242 6,611 Federal Transit-Formula Grants 20.507 1A-90-X289 7,185 Federal Transit-Formula Grants 20.507 1A-90-X293 444,955 Federal Transit-Formula Grants 20.507 1A-90-X265 8.337 5.656.984 (continued) 121 -- --- -_...._---~_.-,-_..__..._._.,-----"_..._.._~._.-_._-"-------_..._.".~_...,_.._.,_._-_."----- ._~----_.,_.,--" CITY OF IOWA CITY, IOWA SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS (continued) YEAR ENDED JUNE 30, 2005 Agency or Pass-through Program CJrantorfProgram CFDA Number Number Expenditures Direct: (continued) Department of Transportation: (continued) Airport Improvement Program 20.106 3-19-0047-10 $ 159,192 Airport Improvement Program 20.106 3-19-0047-11 30.785 189.977 Federal Emergency Management Agency: Fire Prevention CJrants 83.554 EMW-2003-FP-01858 7,000 Total direct 14,779,930 Indirect: Department of Housing and Urban Development: Iowa Department of Economic Development: Emergency Shelter CJrants Program 14.231 04-ES-004 81.252 Department of Justice: CJovemor's Office of Drug Control Policy: Byrne Formula CJrant Program 16.579 04A-0237 54,995 Violence Against Women Formula CJrants 16.588 VW-05-44 36,626 Department of Transportation: Iowa Department of Transportation: Highway Planning and Construction 20.205 STP-I-5(69)- -2C-52 447,965 Highway Planning and Construction 20.205 STP-U-3715(620)- -70-52 266,492 Highway Planning and Construction 20.205 STP-U-3715(625)- -70-52 231,799 Highway Planning and Construction 20.205 STP-E-3715(624)- -8V-52 55,000 Highway Planning and Construction 20.205 STP-U-3715(629)- -70-52 233,411 Highway Planning and Construction 20.205 STP-E-3715(623)- -8V-52 99,864 Highway Planning and Construction 20.205 STP-U-3715(627)- -70-52 175,546 Highway Planning and Construction . 20.205 BROS-3715(626)- -8J-52 93.567 1,603,644 Iowa Department of Transportation and Johnson County Council ofCJovemments: State Planning and Research 20.515 05MPO-JCCOCJ 118.366 Iowa Department of Public Safety: . CJovemor's Traffic Safety Bureau: State and Community Highway Safety 20.600 PAP 05-04, Task 32 12,542 State and Community Highway Safety 20,600 PAP 04-04, Task 32 4,878 17.420 (continued) 122 CITY OF IOWA CITY, lOW A SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS (continued) YEAR ENDED JUNE 30, 2005 CFDA Number Agency or Pass-through Number Program Expenditures Grantor/Program Indirect: (continued) Department of Transportation: (continued) Iowa Department of Public Safety: (continued) Governor's Traffic Safety Bureau: (continued) Safety Incentives to Prevent Operation of Motor Vehicles by Intoxicated Persons Safety Incentives to Prevent Operation of Motor Vehicles by Intoxicated Persons 20.605 PAP 05-163, Task 34 $ 6,409 20.605 PAP 04-163, Task 34 6.154 12.563 Department of Health and Human Services: University of Illinois at Chicago: Medical Library Assistance 93.879 NOI-LM-I-35I3 82 Total indirect 1.924.948 Total $ I 6.704.878 See notes to the Schedule of Expenditures of Federal Awards. 123 _.~_~_..~__.___.,___.~_.._________._'__._._m.___"~_.""____...___.__ ________.'""_.___._.__,.__..,.~__"___.___'____._._~.__-.-- CITY OF IOWA CITY, lOW A . NOTES TO THE SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS YEAR ENDED JUNE 30, 2005 NOTE 1. BASIS OF PRESENT A nON The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the City of Iowa City1 Iowa, and is presented on the accrual basis of accounting. The information on this schedule is presented in accordance with the requirements ofOMB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. NOTE 2. SUBRECIPIENTS Ofthe federal expenditures presented in the schedule, the City ofIowa City, Iowa, provided federal awards to subrecipients as follows: Program Title Federal CFDA Number Amount Provided to Subrecipients Community Development Block Grants! Entitlement Grants 14.218 $ 732,596 Emergency Shelter Grants Program 14.231 77,189 HOME Investment Partnerships Program 14.239 475,321 124 CITY OF lOW A CITY, IOWA SCHEDULE OF FINDINGS AND QUESTIONED COSTS YEAR ENDED JUNE 30, 2005 Part I: Summary of the Independent Auditor's Results: (a) Unqualified opinions were issued on the financial statements. (b) No material weaknesses in internal control over financial reporting were noted. (c) The audit did not disclose any non-compliance which is material to the financial statements. (d) No material weaknesses in internal control over the major program were noted. (e) An unqualified opinion was issued on compliance with requirements applicable to the major program. (I) The audit did not disclose any audit findings which were required to be reported in accordance with Office of Management and Budget Circular A-133, Section .51 O(a). (g) The major program was CFDA 14.871 - Section 8 Housing Choice Vouchers. (h) The dollar threshold used to distinguish between Type A and Type B programs was $501,146. (i) The City ofIowa City, Iowa, qualified as a low-risk auditee. Part II: Other Findin\!s Related to Statutory Reportin\!: II-A-05 Official Depositories - A resolution naming official depositories has been approved by the City Council. The maximum deposit amounts stated in the resolution were not exceeded during the year ended June 30, 2005. II-B-05 Certified Budget - Disbursements during the year ended June 30, 2005, did not exceed the amounts budgeted. II-C-05 Ouestionable Expenditures - We noted no expenditures that we believe may fail to meet the requirements of public purpose as defined in an Attorney General's opinion dated April 25, 1979. 11-0-05 Travel Expense - No expenditures of City money for travel expenses of spouses of City officials or employees were noted. II-E-05 Business Transactions- Business transactions between the City and City officials or employees are detailed as follows: Name, Title, and Business Connection Transaction Description Amount Randy Hartwig, Airport Commission, City vehicles Owner of Hartwig Motors $ 53,739 Dee Vanderhoef, City Council Member, Supplies owner of Iowa Book and Supply $ 5,998 125 CITY OF IOWA CITY, IOWA SCHEDULE OF FINDINGS AND QUESTIONED COSTS YEAR ENDED JUNE 30, 2005 Part II: Other Findinl!s Related to Statutorv Reportinl!: (continued) In accordance with Chapter 362.5(4) of the Code ofIowa, the above transactions do not appear to represent conflicts of interest since they were entered into through competitive bidding. II-F-05 Bond Coverage - Surety bond coverage of City officials and employees is in accordance with statutory provisions. The amount of coverage should be reviewed annually to insure the coverage is adequate for current operations. II-G-05 Council Minutes - No transactions were found that we believe should have been approved in the Council minutes but were not. II-H-05 Deposits and Investments - No instances of noncompliance with the deposit and investment provisions of Chapters l2B and l2C of the Code ofIowa and the City's investment policy were noted. II-I-OS Revenue Bonds - We noted no instances of noncompliance with the provisions of the City's revenue bond resolutions. 126 _.._.~~.__._.._----------~--~------