HomeMy WebLinkAboutCAFR 2004Comprehensive Annual Comprehensive Annual
Financial ReportFinancial Report
City of Georgetown, TexasCity of Georgetown, Texas
For the Year Ended For the Year Ended
September 30, 2004September 30, 2004
Transmittal Letter Page i
January 12, 2005
Honorable Mayor and City Council,
City Manager and Citizens of Georgetown, Texas:
The comprehensive annual financial report of the City of Georgetown, Texas (the City) for the year ended
September 30, 2004, is hereby submitted. The financial statements are presented in conformity with
generally accepted accounting principles (GAAP) as set forth by the Governmental Accounting Standards
Board (GASB) and have been audited by independent auditors in accordance with generally accepted auditing
standards.
Management Responsibility for Financial Information. The City’s Finance and Administration Division has
prepared the Report and is responsible for both the accuracy of the data and the completeness and fairness of
the presentation, including all disclosures. To the best of our knowledge and belief, the enclosed data is
complete and reliable in all material respects. All disclosures necessary to enable the reader to gain an
understanding of the City's financial activities have been included.
Report Format. The comprehensive annual financial report is presented in three sections: introductory,
financial, and statistical.
• The introductory section includes this transmittal letter, which provides general background and
descriptive information and highlights the financial affairs of the City. Also included here are the
Government Finance Officers Association (GFOA) Certificate of Achievement, the City's organization
chart, a list of principal officials, and a map showing the location of the City.
• The financial section includes the Audit Opinion from the independent auditor, Management’s Discussion
and Analysis, the Basic Financial Statements, including the notes, combining and individual fund
statements for all of the funds of the City.
• The statistical section includes selected financial and demographic information, generally presented on a
multi-year basis.
The Reporting Entity. This report includes all the funds of the City. The City provides a full range of
services, which include police, and fire protection; construction and maintenance of streets and other
infrastructure; recreational activities and cultural events. In addition to general government activities, the City
also provides electric, wastewater, water, sanitation, stormwater drainage and airport services which are
included in the reporting entity. The City is financially accountable for Georgetown Transportation
Enhancement Corporation (GTEC), a Texas economic development corporation, which funds transportation
projects that enhance economic development, utilizing the ½ cent sales tax approved by the voters.
Financial Reporting Presentation. The City implemented Governmental Accounting Standards Board
(GASB) Statement No. 34 during the 2003 fiscal year. This implementation represented a substantial change
in format and accounting methodology from prior years. GASB 34 established a new framework for financial
reports. This new framework represents the single most significant change in the history of governmental
reporting. These changes now provide reporting comparable to private sector companies, by showing
Government-wide Statement of Net Assets, similar to a company-wide “balance sheet” and a Government-
wide Statement of Activities, similar to a company-wide “income statement”. Because governmental agencies
are also mandated to account for certain resources and activities separately, the fund-by-fund financial format
continues to be provided. The presentation of these two different types of statements together in one report
requires the inclusion of reconciliations between the government fund statements and the entity-wide
statements. Comparative data has been included for 2003 to begin measuring activity and trends from year to
year.
Page ii Transmittal Letter
DESCRIPTION OF THE CITY
Georgetown once was a small town, founded in 1848, with a strong agricultural base, in the heart of
Williamson County, 26 miles north of Austin. Today, Georgetown has an estimated population of 36,359, with
an additional 15,000 within the extra-territorial jurisdiction (ETJ) and serves as the county seat of Williamson
County, the second fastest growing county in Texas. Today's Georgetown struggles to maintain its unique and
historic character while managing on-going growth and economic viability.
Over the past 20 years, Georgetown has worked to restore and maintain its historic downtown square and to
ensure that downtown is the heart of the community. This work was acknowledged when it won the Great
American Main Street Award in 1997 and is on-going, as Georgetown continues to ensure the economic
vitality of its downtown. The City recently completed a Downtown Master Plan to direct growth and
reinvestment in the area while protecting its historic character.
Due to this unique character and small town charm, Del Webb Corporation elected to build its first Texas
development in Georgetown with the 1995 opening of Sun City Texas. Today, over 5,000 retirees make Sun
City and Georgetown their home.
Georgetown is a Home Rule Charter City and operates under a Council - Manager form of government. A
mayor and seven council members are elected on staggered, three-year terms from single member districts.
Georgetown is also the home to Southwestern University, which continues to receive national recognition. The
University is ranked No. 10 for “Best College Values” on the National Liberal Arts Colleges list by U.S. News
and World Report. With 1,300 students and 430 employees, the University provides substantial economic and
cultural contributions to Georgetown.
GEORGETOWN'S ECONOMIC DEVELOPMENT OUTLOOK
While the overall Texas economy has been slowly recovering from recession, Georgetown’s economy has
continued to expand. This is due in part to its proximity to major employers in the area, such as Dell
Corporation in Round Rock and other high tech companies in the north Austin area, as well as a large
retirement community. The average disposable income in Georgetown and Williamson County continues to be
above the state average.
Georgetown is located on Interstate 35, the major corridor between Dallas and San Antonio, at the intersection
of State Highway 130, currently under construction. SH 130 is a new toll road linking Georgetown with
Interstate 10, east of San Antonio, thereby bypassing the highly congested Austin area.
The expansion of Parmer Lane, a major arterial from the Austin and Round Rock area, will open many sites
between Georgetown and Round Rock for development. This major state construction project is expected to
alleviate traffic congestion and provide an economic benefit to the area.
Georgetown's unique location has already resulted in increased economic benefit, as the first supplier for the
new Toyota plant in San Antonio has announced it would build its Texas plant in Georgetown. This company,
Tasus Corporation, will bring over 100 new jobs to the Georgetown area. Construction on the plant began in
2004 and is expected to be completed in 2005.
Georgetown continues to expand its tax base with expanded retail opportunities. This year, several new
businesses, including Beall’s clothing store, opened in the new 800,000 sq. ft Rivery Town Center, home to a
Wal-mart SuperCenter and Home Depot. A new CVS pharmacy, as well as fast food merchants and other
retailers, opened locations on Williams Drive to serve the West area of the City, including Sun City. Simon
Properties will open a 750,000 sq. ft retail center at Wolf Ranch, featuring Target and over 70 other retailers
and restaurants in late 2005. The sales tax revenues generated by these new developments will help the City
maintain its low tax rate, while continuing to provide a higher quality of service to its citizens. Simon Properties
has also contracted for additional property on the other side of State Highway 29 for future retail and mixed
use development.
Transmittal Letter Page iii
The Downtown area continues to see revitalization and development. The City continues to implement
projects outlined in the Downtown Master Plan, which was adopted by City Council in 2003. The purchase
and renovation of the new downtown parking lot was a major accomplishment in 2004. River Place and 400
Main are two development projects in this area that began in 2004. The City is participating with the
developers to provide infrastructure improvements to this area and expand retail opportunities Downtown.
Georgetown takes an active role in water and wastewater planning with both the Brazos River Authority (BRA)
and Lower Colorado River Authority (LCRA) to find regional solutions to the ever increasing demand for
services, while protecting the natural environment within the area. Growth within the utilities continues to have
strong impacts to the financial and economic conditions of Georgetown.
In September 2004, voters approved an initiative to freeze property taxes for homeowners over the age of 65
or disabled. This measure mirrors the State of Texas Constitutional Amendment Proposition 13, which passed
overwhelmingly statewide in 2003. “Prop 13” gives local governments the option of “freezing” taxes for the
elderly and disabled. This initiative “freezes” approximately 27% of the 2004/05 Georgetown property tax
revenue and may impact future property tax revenues in the city.
The City Council has authorized an election to be held May 2005 for voters to consider adopting the additional
¼ cent sales tax that is allowed through the state statues to be collected by cities. The proposed election will
consider the adoption of 1/8 cent sales tax for the promotion and development of new and expanded business
enterprises allowable under Texas Economic Development Corporation 4A and 1/8 cent to be used to reduce
property tax rates and offset the potential impact of the approved “Prop 13” tax freeze. If passed by the voters,
revenue from the new tax will begin in October 2005.
MAJOR INITIATIVES
Utility Rates. The City contracted with a consultant to review Water and Wastewater rates in 2001. The City
committed to review rates annually, since the City is facing new environmental mandates, as well as plant
upgrades and expansions, which place an increasing financial burden on the utilities. The City increased water
conservation rates in 2002. The revenue generated by this step increase in the rates is set aside for plant
expansions. This strategy allows the users of the peak demand for water to pay for the costs of plant
expansion. Water and Wastewater rates were increased in October 2003, as outlined in the 2001 plan.
The City continues to monitor electric deregulation issues closely. While the City has not elected to “opt-in” to
electric deregulation at this time, a rate study was completed in 2003 to break down the components of the
electric rates in the new unbundled format that will be required if the City should opt in. Rates were adjusted in
2004 to reflect the state-wide increase in energy cost related to natural gas price increases.
Utility System Expansion. The City contracted for over $8.7 million to expand the utility system in fiscal year
2004. Construction of a de-watering facility has begun, which will complete expansion of the Lake Water
Treatment Plant. Projects for line expansion in the DB Wood/Booty’s Crossing area and the Jennings Branch
elevated storage tank were begun in 2004. The expansion of the Berry Creek Wastewater Treatment Plant
was completed. An irrigation line to expand the City’s use of effluent for irrigation purposes was completed to
the Georgetown Country Club. Electric capital improvements were completed to expand the utility system for
new commercial and residential areas.
Transportation. A 2004 quality of life survey of Georgetown citizens indicated transportation was one of the
top concerns. Many City streets are expanded and maintained by either Williamson County or the Texas
Department of Transportation (TxDot). The Georgetown Transportation Enhancement Corporation completed
an interlocal agreement with TxDot to make contributions of 4B sales tax collection to accelerate planned
improvements at the Williams Drive/IH 35 intersection. The improvements included an additional lane on the
IH35 frontage road, as well as, a turnaround lane on the bridge over IH35 at Williams Drive. These two
projects were completed in 2004. GTEC also completed an agreement with TxDot in 2004 to contribute
funding towards improvements to expand State Highway 29, to accommodate traffic improvements required
for the new Simon development. These improvements are expected to be completed in 2005. Other street
improvements completed in 2004 include the realignment of Shell Road at Williams Drive and the completion
of improvements to Northwest Boulevard.
Page iv Transmittal Letter
General Fund Budget. Historically, the General Fund’s revenues did not support its expenses, which had
increased at a higher rate, due in part to the increased demand for governmental services, such as Parks, Fire
and Police Services. The City had historically maintained its low tax rate by using the excess revenues from
its utility funds to balance the General Fund. Because of customer growth and increased demand for utility
services, the excess funds previously sent to the General Fund are now needed to fund infrastructure
improvements within each utility. Recognizing this issue, the Council adopted a new fiscal and budgetary
policy in 2001, which maintains that each fund’s revenue support its expenses. As part of the 2001/02 budget
process, the Council approved a three year implementation plan for General Fund compliance, assuming a
minimal increase in expenses, with increases in property tax and other General Fund revenues. The 2004
budget cycle marked the first time in over a decade that the General Fund is self-supporting, that is, on-going
revenues fund on-going costs.
Facilities Planning. The Council continued to focus resources on long range facility planning in 2004. The
City began the renovation of an existing City facility for a larger Animal Shelter, which is expected to be
completed in early 2005. The renovation of an existing City facility, previously occupied by the Georgetown
Utility Systems Administration, was completed in 2004 to house Community Services Administration, which
includes Parks and Recreation administrative functions. The City worked with a community committee to plan
a bond referendum for facility expansion, which was approved by voters in November 2004. The $21.4 million
in bonds are expected to be issued over the next three to five years and will be used to construct a new Public
Library, renovate the Community Center in San Gabriel Park and expand the Recreation Center to include an
indoor swimming facility and teen center.
FINANCIAL INFORMATION
The City is responsible for establishing and maintaining internal controls designed to ensure that the assets of
the City are protected from loss, theft or misuse and that adequate accounting data are compiled to allow for
the preparation of financial statements in conformity with generally accepted accounting principles. Internal
controls are designed to provide reasonable, but not absolute, assurance that these objectives are met. The
concept of reasonable assurance recognizes that: (1) the cost of a control should not exceed the benefits
likely to be derived; and (2) the valuation of costs and benefits requires estimates and judgments by
management.
The City’s Director of Finance and Administration, Controller, and other key staff in the Division of Finance and
Administration design and maintain the internal control structure. These controls are under continuing review
by management, and under annual review by the independent auditors. During the year, the Finance Division
performs internal audits on selected procedures and operations throughout the City organization. The
selection of priorities and timing of audits are determined by the Director of Finance and Administration, along
with the City Manager.
Single Audit. As a recipient of federal and state 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. Internal controls are subject to periodic evaluation by management. The tests relating to the
receipt of such funds are known as Single Audit testing. These tests are made to determine the adequacy of
internal controls, including that portion related to federal financial assistance programs, as well as to determine
that the City has complied with applicable laws and regulations. The City's receipt of federal and state funding
for the year ended September 30, 2004 did not meet the threshold requiring Single Audit testing.
Budgetary Controls. The City maintains budgetary controls to ensure compliance with legal provisions
embodied in the annual appropriated budget approved by the City Council. Activities of all funds are included
in the annual appropriated budget. The level of budgetary control (that is, the level at which expenditures
cannot legally exceed the appropriated amount) is established by division and department within an individual
fund. The City also maintains an encumbrance accounting system as one technique of accomplishing
budgetary control. Encumbered amounts are reserved at year-end and carried forward into the following year.
As demonstrated by the statements and schedules included in the financial section of this report, the City
continues to meet its responsibility for sound financial management.
vi
CITY OF GEORGETOWN, TEXAS
ORGANIZATIONAL CHART
SEPTEMBER 30, 2004
vii
PoliceFinance &
Administration FireGeorgetown
Utility Systems
Assistant City
Manager
Transportation
Services
Electric Services
Water Services
CommunityServices
Engineering
Municipal Court
Accounting
Support Services
CVBMain Street
Tourism
Parks
Recreation
Library
Planning &Development
Services
Inspection
Services
Airport
Information
Technology
A HOME RULE CITY
CITY COUNCIL
MAYOR (elected at large)SEVEN COUNCIL PERSONS(elected by district)
CITIZENS OF
GEORGETOWN
CITY SECRETARYCITY ATTORNEY MUNICIPAL
COURT JUDGE BOARDS &COMMISSIONSCITY MANAGER
Utility Billing
EconomicDevelopment HumanResources
Community
Development
Support Services
Administrative
Services
Animal Services
Field Operations
Administration
Operations
= City Divisions
viii
CITY OF GEORGETOWN, TEXAS
ELECTED OFFICIALS AND ADMINISTRATIVE OFFICERS
SEPTEMBER 30, 2004
ELECTED OFFICIALS
Mayor Gary Nelon
City Council Member, District 1 Patty Eason
City Council Member, District 2 Gabe Sansing
City Council Member, District 3, Mayor Pro Tem Doug Smith
City Council Member, District 4 Henry Carr
City Council Member, District 5 John Kirby
City Council Member, District 6 Farley Snell
City Council Member, District 7 Ben Oliver
APPOINTED OFFICIALS
City Manager Paul Brandenburg
City Attorney Patricia Carls,
Brown & Carls L.L.P.
City Secretary Sandra Lee
Municipal Court Judge Randy Stump
OTHER CITY OFFICIALS
Assistant City Manager Tom Yantis
Assistant City Manager -Utilities Jim Briggs
Director of Finance and Administration Micki Rundell
Fire Chief Anthony Lincoln
Police Chief David Morgan
ix
Location
Georgetown is the northern most “gateway” to the gently
rolling hills of Central Texas. While Georgetown offers the
amenities and charm of a small community rooted in
values of days gone by, it’s strategically and centrally
located in the middle of the four major
metropolitan areas of Texas. Austin is 26
miles south, Dallas is only two hours
north, Houston is just two hours
southeast and San Antonio is one-and-
a-half hours south, placing Georgetown
in a very advantageous position for
cultural and economic development.
Access to Georgetown via the Austin-
Bergstrom International Airport and the
north/south highway artery of Interstate 35 and
east/west highway artery of Highway 29 make
traveling to and from Georgetown easy.
3
CITY OF GEORGETOWN, TEXAS
MANAGEMENT’S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
The following discussion and analysis of the City of Georgetown financial performance provides an
overview of the City’s financial activities for the fiscal year ended September 30, 2004. Please read
it in conjunction with the transmittal letter at the front of this report and the City’s financial
statements, which follow this section.
FINANCIAL HIGHLIGHTS
General Fund
• At the end of the current fiscal year, undesignated fund balance for the General Fund was $4.48 million,
or 25% of the FY2004 General Fund expenditures. The undesignated fund balance increased by $1.38
from FY2003. Of this amount, $1.2 million represented a reallocation of city-wide budgeted contingency
reserves from the City’s Electric fund. These funds are not appropriated in the budget, but rather are left
on-hand to be used in the case of an emergency.
• General Fund revenues increased $1.5 million, an increase of 13% over FY 2003.
• General Fund expenditures increased by $1.7 million, an increase of 11% over FY 2003. This increase
was due to the timing of street maintenance projects, additional parks projects and additional police staff.
Governmental Activities
• On a government-wide basis for governmental activities, the City had expenses net of program revenue
of $21.5 million. General revenues and transfers totaled $23 million, resulting in an increase in net assets
of $1.59 million.
• As of September 30, 2004, the City's governmental activities reported combined ending net asset
balances of $115.8 million. The largest element of this balance, $96.5 million, is the value of the City’s
investment in capital assets, such as streets, parks and facilities, net of related debt. Other significant
balances are restricted for specific purposes such as debt service and capital projects.
• During fiscal year ended September 30, 2004, the City issued $12.2 million in Certificates of Obligation, of
which $9.4 million was in support of the Georgetown Transportation Enhancement Corporation (GTEC)
projects to be repaid through dedicated sales tax collections. The remainder of the debt issues funded
general capital projects and public safety equipment. The City's general obligation debt is rated A+ by
Standard & Poor's and Moody's.
• The City recorded a prior period adjustment to recognize infrastructure assets identified by a complete
streets system inventory and valuation. This adjustment resulted in $80.9 of assets that were not
previously recorded.
Business-Type Activities
• The net assets of the City's business-type activities increased by $14.1 million in FY 2004, primarily due
to $12.1 million of infrastructure assets contributed by developers for the Sun City, Woodlake, Cimarron
Hills, and other residential sub-divisions.
• The City issued $6.9 million of utility system revenue bonds for electric and water system expansion. Both
Standard & Poor's and Moody's have rated the City's utility system revenue debt as A+.
Entity-Wide
• The City's total net assets on a government-wide basis totaled $233.9 million at September 30, 2004, an
increase of 7.2% over September 30, 2003. Most of this balance is invested in capital assets, restricted
for specific purposes, or related to a long-term receivable.
• The City received $12.2 million of grants and capital contributions from developers in FY 2004.
CITY OF GEORGETOWN, TEXAS
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USING THE FINANCIAL SECTION OF THIS COMPREHENSIVE ANNUAL FINANCIAL REPORT
This Comprehensive Annual Financial Report consists of three sections: introductory, financial and
statistical. As illustrated in the following chart, the financial section of this report has three
components: management’s discussion and analysis (this section), the basic financial statements,
and required supplementary information.
Components of the Financial Section
BASIC FINANCIAL STATEMENTS
GOVERNMENT-WIDE FINANCIAL STATEMENTS
The government-wide financial statements report information about the City as a whole, using
accounting methods similar to those used by private-sector companies. The statement of net
assets includes all of the government’s assets and liabilities, reported using the full accrual basis of
accounting. The statement of activities accounts for all of the current year’s revenues and
expenses, regardless of when cash is received or paid.
The two government-wide statements report the City’s net assets and how they have changed.
Net assets, the difference between the City’s assets and liabilities, is one way to measure the
financial health of the City. Over time, increases or decreases in the City’s net assets are an
indicator of whether its financial health is improving or deteriorating. To assess the overall health
of the City, one needs to consider other non-financial factors such as changes in the City’s property
tax base and condition of the City’s infrastructure.
MANAGEMENT’S DISCUSSION AND ANALYSIS
FINANCIAL STATEMENTS
REQUIRED SUPPLEMENTARY
INFORMATION
Government-wide
Governmental Activities (Full Accrual)
Business-Type Activities (Full Accrual)
Notes to the Financial Statements
Fund
Governmental (Modified Accrual)
Proprietary (Full Accrual)
Fiduciary (Full Accrual)
CITY OF GEORGETOWN, TEXAS
MD&A
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The government-wide financial statements of the City are divided into two categories:
Governmental Activities – Most of the City’s basic services are included here, such as police, fire
and other public safety services, parks and recreation, public library, street maintenance and
general administration. Property and sales taxes, return on investment from the City’s utility
services, and charges for services finance most of these activities.
Business-type Activities – The City’s Water Services Fund, which includes water, wastewater
and irrigation services, as well as its Electric utility are reported here. Sanitation, Stormwater
Drainage and the City’s Airport are also reported in these activities. Fees charged to customers
fund the costs of providing these services.
FUND FINANCIAL STATEMENTS
The fund financial statements provide more detailed information about the City’s most significant
funds and will be more familiar to traditional users of government financial statements. The focus
is now on major funds rather than fund types.
The City has three types of funds:
Governmental Funds – General Fund, Special Revenue Funds, Capital Project Funds and the
General Debt Service Fund are governmental funds, which focus on:
(1) How cash and other financial assets that can readily be converted to cash flow in and
out, and
(2) The balances left at year-end that are available for spending.
Consequently, the governmental funds statements provide a short-term view that helps determine
whether there are more or fewer financial resources that can be spent in the near future to finance
the City’s programs. Because this information does not encompass the additional long-term focus
of the government-wide statements, additional information is provided with the governmental fund
financial statements that explains the reconciliation between the fund statements and the
government-wide statements.
Proprietary Funds – Services for which the City charges fees and rates that intend to fully recover
the cost of providing the service are reported in proprietary funds. Two types of proprietary funds
are allowed in governmental accounting: enterprise funds and internal service funds. These funds,
like the government-wide statements, provide both long-term and short-term financial information.
The City’s enterprise funds are substantially the same as its business-type activities, but the fund
financial statements provide more detail and additional information, such as cash flows. The City
utilizes enterprise funds to account for its electric, water services, airport, sanitation, and
stormwater drainage activities. The City uses internal service funds to report activities that provide
supplies and services for the City’s other programs, activities and funds. The City’s internal service
funds are used for providing facility maintenance, fleet services, joint services (providing
administrative functions to the other funds) as well as information technology services.
Fiduciary Funds – The City is trustee, or fiduciary, for certain amounts held on behalf of others,
and for certain pass-through arrangements. The City is responsible for ensuring that the assets
reported in these funds are used for their intended purposes. The City’s fiduciary activities are
reported in a separate statement of fiduciary net assets. Assets for the City’s flexible spending
cafeteria plan, assessment collections for the City's public improvement districts, and pass-through
lease agreements for Texas Capital Fund projects are held in fiduciary funds. These fiduciary
activities are excluded from the City’s government-wide financial statements because the City
cannot use these assets to finance its operations.
CITY OF GEORGETOWN, TEXAS
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FINANCIAL ANALYSIS OF THE CITY AS A WHOLE
Statement of Net Assets:
The following table reflects the condensed Statement of Net Assets:
Net Assets - Primary Government- 9/30/04
Govtl - Inv in Net
Assets
41.263%
Govtl - Restricted
5.159%
Bus-Type - Rest.
0.166%
Govmtl - Unrest.
3.065%
Bus-Type - Inv. In Net
Assets
37.623%
Bus-Type - Unrest.
12.723%
The City's combined net assets increased by $15.7 million to $233.9 million from $218.2 million in
FY 2003.
• Net assets of the governmental funds were $115.8 million. Most of these assets are invested
in capital assets or restricted for particular purposes, such as debt service or capital projects.
• The City's unrestricted net assets for governmental activities, which can be used to finance day
to day operations, totaled $7.1 million.
• Included in unrestricted net assets are fund balances that are earmarked for particular
purposes, such as parks improvements, street maintenance, and tourism. The balance of
these funds at September 30, 2004 was $1.1 million.
• Net assets increased primarily as a result of increases in capital assets and construction in
progress. Projects completed during the year included:
2004 2003 2004 2003 2004 2003
Current and other assets $ 24,699 $ 15,949 $36,352 $ 34,787 $61,052 $ 50,736
Capital assets 130,079 127,789 131,166 114,685 261,246 242,474
Total assets $ 154,779 $ 143,738 $167,519 149,472 $322,297 293,210
Long-term liabilities $ 32,592 $ 21,905 40,395 $ 36,538 72,987 $ 58,443
Other liabilities 6,433 6,111 8,974 8,930 15,407 15,041
Total liabilities $ 39,025 $ 28,016 $49,368 $ 45,468 $88,394 $ 73,484
Net assets:
Invested in capital assets, net of related debt $ 96,516 $ 102,199 $88,001 $ 74,920 $184,517 $ 177,120
Restricted 12,067 5,073 389 844 12,457 5,917
Unrestricted 7,170 6,886 29,760 28,240 36,930 35,126
Total net assets $ 115,753 114,158$ $118,150 $ 104,004 $233,904 $ 218,163
Summary Statement of Net Assets
(In thousands)
Govtl Activities Bus-Type Activities Total Primary Government
CITY OF GEORGETOWN, TEXAS
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• Downtown Parking Lot
• Animal Shelter (design work)
• Purchase of replacement fire apparatus
• Realignment of Shell Road
• Completion of San Gabriel Park improvements
• Renovation of the Georgetown Utility Systems Admin building for Parks Administration
• Net assets invested in capital assets net of related debt increased in part due to developer's
contributed capital totaling $12.2 million.
• Net assets of business-type activities increased by $14.1 million, most of which was due to the
recognition of developer contributed capital.
• During 2004, the City invested $6.1 million towards improving and expansion of utility
infrastructure, compared to $15.9 in 2003. Projects included:
• Electric residential and commercial system expansion
• Irrigation line to the Georgetown Country Club
• Wastewater Inflow and Infiltration improvements at Smith Branch
• Berry Creek Wastewater Plant rehabilitation
As a part of the implementation of GASB Statement No. 34, the City conducted an inventory
and valuation of the City's streets and drainage system. This detailed analysis resulted in a net
$80.9 million increase to the general capital assets.
2004 2003 2004 2003 2004 2003
Revenues
Program Revenues
Charges for Service $ 2,681 $ 2,343 $ 51,585 $ 47,205 $ 54,266 $ 49,548
Operating Grants & Contributions 176 229 176 229
Capital Grants & Contributions 110 1,700 12,051 2,071 12,161 3,771
General Revenues
Property Taxes 6,927 6,381 6,927 6,381
Sales Taxes 7,396 6,091 7,396 6,091
Other Taxes 586 560 586 560
Franchise Taxes 1,845 1,580 1,845 1,580
Interest 172 197 444 160 616 357
Extraordinary Item 13,624 13,624
Other 466 2,420 883 1,010 1,350 3,430
Total Revenues $ 20,359 $ 21,501 $ 64,963 $ 64,070 $ 85,323 $ 85,571
Expenses:
Culture-recreation 4,773 4,165 4,773 4,165
Development 1,956 1,608 1,956 1,608
Fire 3,862 3,612 3,862 3,612
General government 4,005 3,715 4,005 3,715
Interest on long term debt 1,254 1,241 1,254 1,241
Police 5,834 5,476 5,834 5,476
Streets 2,752 3,268 2,752 3,268
Airport 1,963 1,774 1,963 1,774
Electric 26,237 23,958 26,237 23,958
Sanitation 2,740 2,577 2,740 2,577
Stormwater 987 842 987 842
Water Services 13,218 11,728 13,218 11,728
Total Expenses $ 24,436 $ 23,085 $ 45,146 $ 40,879 $ 69,582 $ 63,964
Change in net assets before transfers (4,077) (1,584) 19,818 23,191 15,741 21,607
Transfers 5,672 4,662 (5,672) (4,662)
Change in net assets 1,595 3,078 14,146 18,529 15,741 21,607
Net Assets - Beginning 114,158 111,080 104,004 85,475 218,163 196,556
Net Assets - Ending $ 115,753 $ 114,158 $ 118,150 $ 104,004 $ 233,904 $ 218,163
(In thousands)
Changes in Net Assets
Bus-Type ActivitiesGovtl Activities Total
CITY OF GEORGETOWN, TEXAS
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REVENUES
For the fiscal year ended September 30, 2004, program revenues from governmental activities
totaled $2.96 million, of which $2.7 million resulted from charges for services. This revenue
source increased over $337,000 over the prior year, primarily due to growth in the municipal
court and development fee areas.
General property taxes totaled $6.9 million. Included in these taxes are real and personal
property levies which are assessed October 1, and payable before the following January 31.
Assessed valuations on existing properties decreased for the fiscal year 3%, which was
offset by over $92 million in new property on the tax rolls.
The ad valorem tax rate for fiscal year 2004 was $0.32194 per $100 of assessed valuation.
This represented a 2.93% increase over the prior year rate.
Sales taxes, the City’s largest source of general government revenue, totaled $7.4 million for
fiscal year 2004, which was an increase of 22% over the prior year. This increase was
primarily due to the adoption of an additional 1/4 cent sales tax, which became effective April 1,
2003, dedicated for streets maintenance, as well as new commercial development within the
City. The first full year of collections of the street maintenance sales tax was 2004. General
sales tax revenues increased 13.3 % over the prior year, primarily due to new retail
development and overall community growth. Sales tax revenues represent 42% of the general
revenue total.
Other taxes, which include hotel/motel taxes and automobile inventory taxes, totaled $586,000.
Program revenues are derived from the program itself and reduce the cost of the function to
the City. Total program revenues for both governmental and business-type activities are
described below.
Governmental activities program revenue was $2.9 million, a decrease of 30.5% over
the prior year. The decrease is due to the recognition of a one-time developer capital
contribution in 2003. The most significant of the program revenues is reported in the
category "Charges for Services", which represent receipts primarily from development and
building inspection fees, parks fees, fire billing for services and court fines. Other
governmental program revenues included operating grants for parks, fire and police
programs.
Business-type activities program revenues totaled $63.6 million, a 29% increase over
the prior year. This increase is primarily due to the recognition of capital contributions from
developers, however charges for services also increased due to increased customer
Revenues - Fiscal Year 2004
Grants &
Contributions
14%
Property Taxes
8%
Sales Taxes
9%Other
5%
Charges for
Service
64%
CITY OF GEORGETOWN, TEXAS
MD&A
9
revenue, which is the most significant of the program revenues. "Charges for Services”,
which represent receipts from utility customers for electric, water, wastewater, and
sanitation use, increased over 9.2%. This increase was primarily related to increased
purchased power costs, which were passed along to customers, as well as increases in
water and wastewater rates. Other program revenues include airport fuel sales, hangar
rentals and stormwater drainage fees.
EXPENSES
Expenses for governmental activities totaled $24.4 million, versus $23.1 million in 2003.
Major expenditures include salaries for providing services in the public safety area, as well as
for public library and recreation programs. Expenses were $1.3 million higher than the prior
year. Streets maintenance costs, which account for 9% of the total expenses, accounted for
almost $900,000 of this increase. Other major increases included increases to salary costs
resulting from Council's adoption of a public safety compensation program, which provided a
step plan to increase public safety salaries for each year of service. Salaries also increased
due to a 2.5% cost of living adjustment for all other staff. Higher fuel costs also played a role in
the increase in operational expenses for programs.
Expenses for business-type activities totaled $45.1 million, a 10% increase over the prior
year, which provided electric, water, and wastewater services for customers, as well as airport
and stormwater drainage programs. The increase in expenses relates to increased costs of
purchased power, as well as expenses related to additional customers and infrastructure
maintenance for the utilities.
Primary Government - Functional Expenses for
FY 2004
Culture/Rec
7%
Public Safety
14%
Streets
4%
Electric
37%
Other
19%
Water Services
19%
CITY OF GEORGETOWN, TEXAS
MD&A
10
FINANCIAL ANALYSIS OF THE CITY’S FUNDS
For the fiscal year ended September 30, 2004, the City's governmental funds reflect a combined
fund balance of $19.3 million. Included in this year's increase in fund balance is $1.5 million in
General Fund revenues and other financing sources in excess of expenditures and other financing
uses. The primary reason for the General Fund's increase in fund balances is due to increased
revenues and the transfer of budgeted on-hand funds from the Electric and Water Services funds.
In addition, these other changes in fund balances should be noted:
Georgetown Transportation Enhancement Corporation contributed $3.9 million in cash
and debt funding of street improvements to enhance economic development in 2004.
Direct expenditures for public safety totaled $8.7 million.
Parks, recreation and library expenditures totaled $3.7 million.
General government expenditures includes $232,950 of social service contributions to
different organizations in the community and $210,000 of capital improvements to the
downtown Georgetown area.
Street maintenance expenditures were $1.9 million, a $340,000 increase over the prior
year, funded by the first full year of collections of the ¼ cent sales tax for street
maintenance.
The City spent $2.4 million in the Capital Projects Funds, which included facilities
improvements and street improvements.
GENERAL FUND BUDGETARY HIGHLIGHTS:
The following is a brief review of the budgetary changes from the original to the final budget.
The City approved three General Fund budget amendments during fiscal year 2004. The
amendments increased overall budgeted expenditures by $130,000 from the original budget,
representing a .7% increase in appropriations. This increase was offset by excess fund balance
that existed because of expenditures that were budgeted in 2003, but did not actually occur until
2004. The amendments consisted of:
$100,000 for street maintenance. This expenditure was offset by fund balance that was
originally appropriated in 2003 for street maintenance.
$15,000 for the funding of Municipal Court staff. This expenditure was offset by additional
court revenue received due to an increased volume of traffic citations.
$15,000 to fund contracted services for tree surveys related to development projects in the
community. This expenditure was offset by fund balance from development revenue received
in 2003.
The City also budgeted to transfer existing fund balance from the Electric and Water Funds to the
General Fund. This fund balance had been set aside as a part of the city-wide budgeted
contingency reserves, which represent 75 days of city-wide budgeted operating
expenditures/expenses. These “rainy day” funds, or funds that are over and above appropriated
expenses, are used only in the case of an emergency. The City reallocated the city-wide
contingency reserves to increase reserves in the General Fund from 60 to 90 days of operating
expenditures, to forestall the impact of potential revenue shortfalls from volatile sales tax
collections. This transfer had no effect on the overall amount of the city-wide contingency.
CAPITAL ASSETS
The City's governmental activities (including a percentage of internal service funds) had invested
$130.1 million in a variety of capital assets and infrastructure. The City has $131.2 million invested
in its business-type activities capital assets. The detail is reflected in the following schedule:
CITY OF GEORGETOWN, TEXAS
MD&A
11
The City prepared a complete inventory of street infrastructure assets in 2003 and 2004 and
assigned a value to the inventory based upon the age of the street and construction indexes. This
resulted in $80.9 million of street improvements being recorded that were previously not recorded.
The City has begun its assessment of the condition of the streets inventory for reporting under the
modified approach for GASB 34 reporting. The inventory is recorded as a prior period adjustment.
The City's financial policies mandate maintenance and repair of the City's capital assets and
infrastructure. The City budgets approximately $825,000 annually of General Fund revenues for
on-going street maintenance projects, along with the staff costs and other maintenance costs of the
street department. In addition, the City also budgets for the approximate $1.1 million of funds
received in the dedicated 1/4 cent sales tax for street maintenance.
Utility infrastructure maintenance is budgeted within the utility funds. For fiscal year 2004, funding
for electric and water services infrastructure maintenance was $5.2 million.
For more detailed notes about the City’s capital assets, please see pages 45-47 of the notes to the
financial statements.
Balance Deletions Balance
10/1/2003 Additions & Transfers 9/30/2004
Non-depreciable Assets:
Land $ 2,778 $ 514 $ 3,292
Construction in progress 3,037 4,724 $ (4,178) 3,583
Other capital assets
Equipment 12,686 2,574 (577) 14,683
Buildings 19,439 21 167 19,626
Improvements 11,984 3,052 (577) 14,459
Streets 88,038 1,392 89,430
Less accumulated depreciation (13,564) (2,036) 606 (14,994)
Capital Assets - Governmental $124,398 $ 10,241 $ (4,560) $ 130,079
Balance Deletions Balance
10/1/2003 Additions & Transfers 9/30/2004
Non-depreciable Assets:
Land $1,650 - - $ 1,650
Construction in progress 11,411 $ 10,111 $ (16,440) 5,081
Other capital assets -
Equipment 816 82 - 898
Buildings 11,080 15 (404) 10,691
Improvements 125,422 27,493 (137) 152,778
Less accumulated depreciation (35,699) (4,727) 494 (39,933)
Capital Assets - Business-Type $114,680 $ 32,974 $ (16,487) $ 131,166
City-wide Totals $239,078 $ 43,215 $ (21,047) $ 261,246
*Includes internal service funds assets, which are allocated to governmental activities
Change in Capital Assets*
(In thousands)
Governmental Activities
Change in Capital Assets*
(In thousands)
Business-Type Activities
CITY OF GEORGETOWN, TEXAS
MD&A
12
2004 2003 2004 2003 2004 2003
General Obligation Bonds $ 33,195 $ 22,217 $ 4,262 $ 4,514 $ 37,456 $ 26,731
Revenue Bonds 38,904 34,499 38,904 34,499
Obligation under capital lease 369 167 369 167
Compensated absence payable 1,330 1,253 497 470 1,826 1,723
Arbitrage rebate payable 18 63 18 63
Total Long Term Debt $ 34,911 $ 23,700 $ 43,662 $ 39,483 $ 78,573 $ 63,183
Govtl Activities Bus-Type Activities Total
City of Georgetown Outstanding Debt and Long-Term Liabilities
LONG-TERM DEBT
At September 30, 2004, the City had a total of $37.5 million in general obligation debt
outstanding. This represents a 41% increase over prior year. This increase reflects the $9.4
million of self-supporting bonds, issued on behalf of the Georgetown Transportation
Enhancement Corporation for the Rivery development improvements and Wolf Ranch
development improvements and is supported by dedicated sales taxes. Additional information
about the City's long -term debt is presented in Note 7 to the financial statements.
The state limits the legal amount of tax levy available for general obligation debt service to
$1.25 per $100 valuation. The City's 2004 debt levy equaled $0.10 per $100 assessed
valuation, or 8% of the maximum allowed.
Total utility system revenue debt was $38.9 million as of September 30, 2004, including new
debt of $6.9 million issued within the Electric and Water Services Funds to fund system
expansion, including the expansion of the Berry Creek Wastewater Plant and infrastructure to
support the Wolf Ranch Development ($3.5 million). This increase is 13% greater than
September 30, 2003.
A detailed analysis of the City’s long-term debt is located on pages 48-51 in the notes to the
financial statements.
ECONOMIC FACTORS
Unemployment in the City decreased from 6.02% in 2003 to 4.76% in 2004.
Population continued to grow steadily, at 3% annually, yet utility customer growth averaged
approximately 5% for all utilities. This variance represents continued growth within the City's
extra territorial jurisdiction (ETJ), that receives City utility services.
Retail development continued to expand, with the opening of new retail and restaurants along
the Williams Drive Corridor, as well as continued expansion at the Rivery Towne Center retail
development. The expansion is evidenced by the overall increase in general sales tax revenue
of 13.3% compared to 2003.
CONTACTING THE CITY’S FINANCIAL MANAGEMENT
This report is designed to provide City Council, citizens, customers, bond rating agencies, investors
and creditors with a general overview of the City’s finances. If you have questions about this report
or need additional financial information, contact:
Finance Division
City of Georgetown
113 East 8th Street
Georgetown, Texas 78626
(512) 930-3676
www.georgetown.org
Basic Financial Statements
CITY OF GEORGETOWN, TEXAS
STATEMENT OF NET ASSETS
SEPTEMBER 30, 2004
Primary Government
Governmental Business-type
Activities Activities TOTAL
ASSETS:
Cash and cash equivalents $ 2,898,924 $ 3,670,447 $ 6,569,371
Cash and cash equivalents - restricted 1,226,699 1,226,699
Investments 17,121,306 7,065,513 24,186,819
Investments - restricted 2,865,207 2,865,207
Prepaid items 270,389 929,671 1,200,060
Accounts receivable:
Services (net of allowance for uncollectibles) 7,993,932 7,993,932
Other 2,119,825 2,119,825
Internal balances (9,066) 9,066
Inventories 193,936 1,515,379 1,709,315
Long-term note receivables 1,491,486 9,674,613 11,166,099
Deferred charges - bond issuance costs 612,381 1,401,794 2,014,175
Capital assets: net of accumulated depreciation 126,496,384 126,085,038 252,581,422
Construction in progress 3,582,988 5,081,286 8,664,274
TOTAL ASSETS $ 154,778,553 $ 167,518,645 $ 322,297,198
LIABILITIES AND NET ASSETS:
Liabilities:
Accounts payable $ 1,702,874 $ 3,351,650 $ 5,054,524
Accrued interest 226,084 268,957 495,041
Liabilities payable from restricted assets:
Construction contracts and retainages payable 243,643 243,643
Customer deposits 576,953 576,953
Unearned revenue 2,185,745 1,264,923 3,450,668
Noncurrent liabilities:
Due within one year 2,318,238 3,267,664 5,585,902
Due in more than one year 32,592,432 40,394,522 72,986,954
Total liabilities 39,025,373 49,368,312 88,393,685
Net Assets:
Invested in capital assets (net of related debt) 96,516,068 88,000,994 184,517,062
Restricted for:
Debt Service 768,436 768,436
Capital Projects 11,298,848 389,312 11,688,160
Unrestricted 7,169,828 29,760,025 36,929,853
Total net assets 115,753,180 118,150,331 233,903,511
TOTAL LIABILITIES AND NET ASSETS $ 154,778,553 $ 167,518,643 $ 322,297,196
The notes to the financial statements are an integral part of this statement.
CITY OF GEORGETOWN, TEXAS
STATEMENT OF ACTIVITIES
FISCAL YEAR ENDED SEPTEMBER 30, 2004
Charges for Operating Grants Capital Grants Governmental Business-Type
Expenses Services & Contributions & Contributions Activities Activities Total
Functions/Programs
Primary government
Governmental Activities
Culture-recreation $ 4,773,059 $ 672,882 $ 80,885 $ 110,077 $ (3,909,215) $ (3,909,215)
Development 1,956,243 1,097,581 (858,662) (858,662)
Fire 3,862,168 141,280 159 (3,720,729) (3,720,729)
General government 4,005,079 2,438 (4,002,641) (4,002,641)
Police 5,833,644 769,389 92,687 (4,971,568) (4,971,568)
Streets 2,752,225 (2,752,225) (2,752,225)
Interest on long term debt 1,253,934 (1,253,934) (1,253,934)
Total governmental activities 24,436,352 2,681,132 176,169 110,077 (21,468,974) (21,468,974)
Business -type Activities
Airport $ 1,962,826 $ 1,667,154 $ 181 $ (295,491) $ (295,491)
Electric 26,237,073 30,152,942 750,106 4,665,975 4,665,975
Sanitation 2,740,495 2,932,480 191,985 191,985Stormwater 986,876 1,331,962 3,252,691 3,597,777 3,597,777
Water 13,218,349 15,500,302 8,048,118 10,330,071 10,330,071
Total business-type activities 45,145,619 51,584,840 12,051,096 18,490,317 18,490,317
Total primary government $ 69,581,971 $ 54,265,972 $ 176,169 $ 12,161,173 $ (21,468,974) $ 18,490,317 $ (2,978,657)
General revenues:
Property Tax $ 6,927,438 $ 6,927,438
Sales Tax 7,395,657 7,395,657
Taxes - other 585,921 585,921
Franchise taxes 1,844,683 1,844,683
Interest on investments 171,949 $444,169 616,118
Other 466,185 883,338 1,349,523
Transfers 5,671,960 (5,671,960) 0
Total general revenues and transfers 23,063,793 (4,344,453) 18,719,340
Change in Net Assets 1,594,819 14,145,864 15,740,683
Net Assets, beginning of the year 114,158,361 104,004,467 218,162,828
Net Assets, end of the year $ 115,753,180 $ 118,150,331 $ 233,903,511
The notes to the financial statements are an integral part of this statement.
Program Revenues
Primary Government
Net (Expense) Revenue and
Changes in Net Assets
Fund Financial Statements
CITY OF GEORGETOWN, TEXAS
BALANCE SHEET GOVERNMENTAL FUNDS
AS OF SEPTEMBER 30, 2004
GEORGETOWN
TRANSPORTATION OTHER TOTAL
ENHANCEMENT GOVERNMENTAL GOVERNMENTAL
GENERAL CORPORATION FUNDS FUNDS
ASSETS
Cash and cash equivalents $ 1,774,007 $ 821,091 $2,595,098
Investments 3,595,091 $ 9,588,656 3,320,704 16,504,451
Accounts receivable (net of allowance for uncollectible accounts):
Delinquent taxes 184,268 117,179 301,447
Sales tax 737,779 364,810 204,777 1,307,366
Grants 15,077 15,077
Other 139,888 1,808 289,321 431,017
Prepaid items 267,193 267,193
Long-term note receivable 1,491,486 1,491,486
TOTAL ASSETS $ 8,189,712 $ 9,955,274 $ 4,768,149 $22,913,135
LIABILITIES AND FUND BALANCE
Liabilities:
Accounts payable $ 742,278 $ 101,903 $ 387,365 $1,231,546
Due to other funds 9,066 9,066
Unearned revenue 2,010,629 403,363 2,413,992
Total liabilities 2,752,907 101,903 799,794 3,654,604
Fund Balance:
Reserved for:
Encumbrances 685,155 660,399 1,671,876 3,017,430
Debt service 768,436 768,436
Prepaid items 267,193 267,193
Special programs 1,066,003 1,066,003
Unreserved, reported in:
General fund 4,484,457 4,484,457
Special revenue funds 462,040 462,040
Capital projects funds 9,192,972 9,192,972
Total fund balance 5,436,805 9,853,371 3,968,355 19,258,531
TOTAL LIABILITIES AND FUND BALANCE $ 8,189,712 $ 9,955,274 $ 4,768,149 $22,913,135
The notes to the financial statements are an integral part of this statement.
CITY OF GEORGETOWN, TEXAS
RECONCILIATION OF THE GOVERNMENTAL FUNDS BALANCE SHEET
TO THE STATEMENT OF NET ASSETS
SEPTEMBER 30, 2004
Total fund balance - total governmental funds $ 19,258,531
Amounts reported for governmental activities in the statement of
net assets are different because:
Capital assets used in governmental activities are not current financial
resources and therefore are not reported in the govermental funds
balance sheet.123,711,454
The City uses internal service funds to charge the costs of certain
activities, such as capital assets, administrative services and information
technology to appropriate functions in other funds. The assets
and liabilities of the internal service funds are included in governmental
activities in the statement of net assets. The effect of this consolidation
is to increase net assets.6,597,289
Premiums, discounts and debt issuance costs have not been included
in the fund financial statements. 612,381
Bonds payable and contractual obligations are not due and payable in
the current period therefore have not been included in the fund financial statements. (33,194,672)
Accrued liabilities for compensated absences are not due and payable in
the current period therefore have not been included in the fund financial statements. (1,216,303)
Liabilities for arbitrage are not due and payable in the current period therefore
have not been reflected in the fund financial statements. (17,663)
Revenues from property taxes are deferred in the fund financial
statements until they are considered available to fund current
expenditures, but such revenues are recognized in the government
wide statements.101,969
Revenues recognized at the government-wide financial statements are
not recognized as revenue in the fund financial statements for court
fines.126,278
Interest is accrued on outstanding debt in the government-wide financial
statements, whereas in the fund financial statements interest
expense is reported when due. (226,084)
Net Assets of Governmental Activities $ 115,753,180
The notes to financial statements are an integral part of this statement.
CITY OF GEORGETOWN, TEXAS
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE
GOVERNMENTAL FUNDS
FISCAL YEAR ENDED SEPTEMBER 30, 2004
GEORGETOWN
TRANSPORTATION OTHER TOTAL
ENHANCEMENT GOVERNMENTAL GOVERNMENTAL
GENERAL CORPORATION FUNDS FUNDS
REVENUES:
Property taxes:
Current $ 4,891,350 $ 2,224,180 $ 7,115,530
Delinquent 18,550 18,550
Penalties and interest 83,362 83,362
Other 146,171 255,921 402,092
Property assessment 81,916 81,916
Sales tax 4,217,991 $ 2,118,443 1,059,221 7,395,655
Franchise taxes 1,844,683 1,844,683
Licenses and permits 1,078,048 1,078,048
Charges for service 818,407 100,812 919,219
Fines and forfeitures 634,446 50,553 684,999
Donations and grants 2,438 283,808 286,246
Investment income 38,662 64,748 68,539 171,949
Other revenue 391,438 373,154 764,592
Total revenues 14,165,546 2,183,191 4,498,104 20,846,841
EXPENDITURES:
Current:
Culture - recreation 3,719,476 789,960 4,509,436
Development 1,888,150 26,073 1,914,223
Fire services 3,246,583 585,737 3,832,320
General government 1,741,600 162,379 2,000 1,905,979
Highways and streets 1,879,105 52,677 1,931,782
Police 5,474,007 110,995 5,585,002
Capital outlay 283,120 3,657,796 2,629,405 6,570,321
Debt service:
Principal retirement 1,262,782 1,262,782
Interest and fiscal charges 48,164 1,205,770 1,253,934
Total expenditures 18,232,041 3,868,339 6,665,399 28,765,779
EXCESS (DEFICIENCY) OF REVENUES OVER
EXPENDITURES (4,066,495) (1,685,148) (2,167,295) (7,918,938)
OTHER FINANCING SOURCES (USES):
Transfers in 5,367,736 488,920 5,856,656
Transfers out (131,661) (273,209) (1,049,676) (1,454,546)
Certificate of obligation bond issued 9,392,133 2,847,867 12,240,000
Capital lease issued 283,120 283,120
Total other financing sources (uses) 5,519,195 9,118,924 2,287,111 16,925,230
NET CHANGE IN FUND BALANCES 1,452,700 7,433,776 119,816 9,006,292
FUND BALANCES, Beginning of period 3,984,105 2,419,595 3,848,539 10,252,239
FUND BALANCES, End of period $ 5,436,805 $ 9,853,371 $ 3,968,355 $ 19,258,531
The notes to financial statements are an integral part of this statement.
CITY OF GEORGETOWN, TEXAS
RECONCILIATION OF THE GOVERNMENTAL FUNDS STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE TO THE STATEMENT OF ACTIVITIES
FISCAL YEAR ENDED SEPTEMBER 30, 2004
Net change in fund balances - governmental funds $ 9,006,292
Amounts reported for governmental activities in the statement of
activities are different because:
The City uses internal service funds to charge the costs of certain
activities, such as fleet management and information technology to
appropriate functions in other funds. The assets and liabilities of
internal service funds are allocated to the governmental activities
on the statement of net assets. The effect of this consolidation is to
increase net assets. The entry on the statement of activities reflects
the loss shown in FY 2004, which is allocated to governmental activities (689,319)
Current year capital outlays are expenditures in the fund statements,
but are shown as increases in capital assets in the government-wide
financial statements. The total reflects $545,661 in construction in
progress additions. The effect of removing the 2004
capital outlays is to increase net assets.5,337,021
Depreciation is not recognized as an expenditure in governmental funds
since it does not require the use of current financial resources. The
effect of recording current year depreciation is to decrease net assets.(989,799)
Amortization of costs associated with debt issuances are not recognized
as an expenditure in governmental funds since it does not require the use
of current financial resources. The effect of recording the current
year's amortization is to decrease net assets.(44,802)
Current year long-term debt principal payments on contractual obligation
bonds payable are expenditures in the fund financial statements, but are
shown as reductions in long term debt in the government-wide
financial statements.1,262,782
The notes to financial statements are an integral part of this statement. (continued)
Current year bond proceeds on certificates of obligation ($12,240,000)
and related debt issuance costs ($105,000) are not shown as revenue
and expenditures in the government-wide financial statements.(12,135,000)
Interest is accrued on outstanding debt in the government-wide financia
statements, whereas in the fund financial statements, the expenditure
is reported when due.(81,905)
Change in arbitrage liability is not reflected in the fund financial statements,
but is shown as a debt service expense on the government-wide
financial statements.45,614
Additions to vested sick leave and vacation liabilities are not shown
in the fund financial statements. The net effect of the current year's
increase is to decrease net assets.(54,258)
Revenue from property taxes and court fines are recognized in the
fund financial statements on the modified accrual basis but are recognized
on the accrual basis in the government-wide financial statements.(61,807)
Change in Net Assets of Governmental Activities $ 1,594,819
The notes to financial statements are an integral part of this statement.
CITY OF GEORGETOWN, TEXAS
STATEMENT OF NET ASSETS
PROPRIETARY FUNDSAS OF SEPTEMBER 30, 2004
Business-type Activities
Enterprise Funds
WATER OTHER
ELECTRIC SERVICES ENTERPRISE GOVERNMENTAL ACTIVITIES
FUND FUND FUNDS TOTAL INTERNAL SERVICE FUNDS
ASSETS:
Current Assets:
Cash and cash equivalents $ 398,578 $ 3,034,938 $ 236,929 $ 3,670,445 $ 303,824
Cash and cash equivalents - restricted 190,394 1,036,304 1,226,698
Investments 804,869 5,779,605 481,037 7,065,511 616,854
Investments - restricted 386,558 2,478,649 2,865,207
Prepaid expenses 929,671 929,671 3,196
Accounts receivable:
Services (net of allowance for uncollectibles) 4,878,799 2,421,924 672,977 7,973,700 64,917
Other 20,276 789 21,065
Due from other funds 122,902 122,902
Inventories 1,502,689 12,691 1,515,380 194,766
Total current assets 8,182,163 15,803,993 1,404,423 25,390,579 1,183,557
Noncurrent Assets:
Long-term note receivables 9,673,781 9,673,781
Deferred charges - bond issuance costs 307,753 1,010,365 83,677 1,401,795
Capital assets:
Land and land rights 193,735 475,070 981,500 1,650,305
Distribution system 44,363,262 100,570,493 7,844,621 152,778,376
Buildings and improvements 73,707 3,019,794 7,597,187 10,690,688 527,058
Machinery, furniture and equipment 496,664 207,947 193,627 898,238 13,690,448
Capital Lease 452,109
Construction in progress 4,985,311 95,975 5,081,286
Less accumulated depreciation (14,388,715) (20,907,067) (4,636,788) (39,932,570) (8,301,697)
Total capital assets (net of
accumulated depreciation)30,738,653 88,351,548 12,076,122 131,166,323 6,367,918
Total noncurrent assets 31,046,406 99,035,694 12,159,799 142,241,899 6,367,918
TOTAL ASSETS $ 39,228,569 $ 114,839,687 $ 13,564,222 $ 167,632,478 $ 7,551,475
LIABILITIES AND NET ASSETS:
Liabilities:
Current liabilities:
Accounts payable $ 2,379,376 $ 663,885 $ 308,388 $ 3,351,649 $ 472,157
Capital lease payable 128,194
Compensated absence 76,868 61,405 25,270 163,543 37,233
Due to other funds 113,836 113,836
Current portion of long-term debt 765,552 2,101,330 237,239 3,104,121
Accrued interest 63,810 177,396 27,750 268,956
Total current liabilities 3,285,606 3,004,016 712,483 7,002,105 637,584
Current liabilities payable from restricted assets:
Construction contracts and retainages payable 243,643 243,643
Customer deposits 576,953 576,953
Total current liabilities payable
from restricted assets 576,953 243,643 820,596
Noncurrent liabilities:
Compensated absence 154,643 126,008 52,663 333,314 76,013
Capital lease payable 240,592
Unearned revenue 1,264,924 1,264,924
Long-term debt 9,293,036 26,743,846 4,024,326 40,061,208
Total noncurrent liabilities 9,447,679 28,134,778 4,076,989 41,659,446 316,605
Total liabilities 13,310,238 31,382,437 4,789,472 49,482,147 954,189
Net Assets:
Invested in capital assets (net of related debt) 20,680,065 59,506,372 7,814,557 88,000,994 5,999,132
Restricted for:
Future construction 389,312 389,312
Unrestricted 5,238,266 23,561,566 960,193 29,760,025 598,154
Total net assets 25,918,331 83,457,250 8,774,750 118,150,331 6,597,286
TOTAL LIABILITIES AND NET ASSETS $ 39,228,569 $ 114,839,687 $ 13,564,222 $ 167,632,478 $ 7,551,475
The notes to the financial statements are an integral part of this statement.
CITY OF GEORGETOWN, TEXAS
STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN FUND NET ASSETS
PROPRIETARY FUNDS
FISCAL YEAR ENDED SEPTEMBER 30, 2004
Business-type Activities
Enterprise Funds
WATER OTHER GOVERNMENTAL
ELECTRIC SERVICES ENTERPRISE ACTIVITIES
FUND FUND FUNDS TOTAL INTERNAL SERVICE FUNDS
OPERATING REVENUES:
Charges for sales and services:
Service charges $ 7,823,992
Electric $ 29,199,618 $ 29,199,618
Water $ 9,287,644 9,287,644
Waste 5,794,782 $ 2,887,822 8,682,604
Other 953,324 417,875 3,043,772 4,414,971
Total operating revenues 30,152,942 15,500,301 5,931,594 51,584,837 7,823,992
OPERATING EXPENSES:
Electric 2,331,235 2,331,235
Water 1,424,252 1,424,252
Waste 1,406,854 1,406,854
Depreciation 1,889,471 2,224,838 612,884 4,727,193 1,046,099
Utility contracts 21,518,386 4,301,102 2,740,495 28,559,983
Plant management 2,438,397 2,438,397
Other 2,203,842 2,203,842 7,693,912
Total operating expenses 25,739,092 11,795,443 5,557,221 43,091,756 8,740,011
NET OPERATING INCOME (LOSS) 4,413,850 3,704,858 374,373 8,493,081 (916,019)
NONOPERATING REVENUES (EXPENSES):
Investment earnings 46,466 377,521 20,180 444,167 30,664
Donations and grants 181 181
Interest and fiscal charges (497,981) (1,422,905) (132,975) (2,053,861)
Loss on disposed assets (60,989)
Other 508,437 1,184,751 48,083 1,741,271 257,025
Total nonoperating revenues (expenses) 56,922 139,367 (64,531) 131,758 226,700
INCOME BEFORE CONTRIBUTIONS
AND TRANSFERS 4,470,772 3,844,225 309,842 8,624,839 (689,319)
CONTRIBUTIONS AND TRANSFERS:
Capital contributions 613,926 7,326,368 3,252,691 11,192,985 476,600
Transfer in 1,375,023
Transfers out (3,637,109) (1,693,696) (341,155) (5,671,960) (105,173)
Total contributions and transfers (3,023,183) 5,632,672 2,911,536 5,521,025 1,746,450
CHANGE IN NET ASSETS 1,447,589 9,476,897 3,221,378 14,145,864 1,057,131
TOTAL NET ASSETS - beginning 24,470,742 73,980,353 5,553,372 104,004,467 5,540,155
TOTAL NET ASSETS - ending $ 25,918,331 $ 83,457,250 $ 8,774,750 $ 118,150,331 $ 6,597,286
The notes to the financial statements are an integral part of this statement.
CITY OF GEORGETOWN, TEXAS
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDS
FISCAL YEAR ENDED SEPTEMBER 30, 2004
Business-type Activities
Enterprise Funds
WATER OTHER GOVERNMENTAL
ELECTRIC SERVICES ENTERPRISE ACTIVITIES
FUND FUND FUNDS TOTAL INTERNAL SERVICE FUNDS
CASH FLOWS FROM OPERATING ACTIVITIES:
Cash received from customers $ 30,714,106 $ 17,826,189 $ 5,858,550 $ 54,398,845 $ 7,810,924
Payments to suppliers (23,325,395) (8,159,328) (4,420,587) (35,905,310) (3,642,071)
Franchise fees (595,385) (307,249) (85,289) (987,923)
Payments to employees for services (1,287,251) (1,000,884) (424,205) (2,712,340) (3,797,492)
Net cash provided by operating activities 5,506,075 8,358,728 928,469 14,793,272 371,361
CASH FLOWS FROM NONCAPITAL
FINANCING ACTIVITIES
Transfers in 1,375,023
Transfers out (3,637,109) (1,693,696) (341,155) (5,671,960) (105,173)
Payments from (to) other funds 515,592 (122,902) 42,782 435,472
Net cash provided by (used for) noncapital
financing activities (3,121,517) (1,816,598) (298,373) (5,236,488) 1,269,850
CASH FLOWS FROM CAPITAL AND
RELATED FINANCING ACTIVITES:
Acquisition of capital assets (2,506,036) (7,899,049) (210,565) (10,615,650) (1,846,750)
Donations and grants 181 181
Reduction in capital lease 81,301
Proceeds from sale of assets 54,950
Impact fees 721,750 721,750
Proceeds from issuance of long-term debt 1,474,432 5,465,567 6,939,999
Principal paid on revenue and certificates of obligation bonds (689,464) (1,845,286) (252,467) (2,787,217)
Interest paid on revenue and certificates of obligation bonds (479,992) (1,338,924) (127,934) (1,946,850)
Reduction in long term receivables - Del Webb 1,917,600 1,917,600
Net asset transfer 47,133 47,133
Net cash provided by (used for) capital and related
financing activities (2,153,927) (2,978,342) (590,785) (5,723,054) (1,710,499)
CASH FLOWS FROM INVESTING ACTIVITIES:
Interest received 46,466 377,521 20,180 444,167 30,663
Change in temporary investments (437,737) (4,080,573) (168,949) (4,687,259) (137,202)
Net cash provided by (used for) investing activities (391,271) (3,703,052) (148,769) (4,243,092) (106,539)
Net increase (decrease) in cash and cash equivalents (160,640) (139,264) (109,458) (409,362) (175,827)
Cash and cash equivalents at beginning of year 749,612 4,210,506 346,387 5,306,505 479,651
Cash and cash equivalents at end of year 588,972 4,071,242 236,929 4,897,143 303,824
Classified as:
Current assets 398,578 3,034,938 236,929 3,670,445 303,824
Restricted assets 190,394 1,036,304 1,226,698
Total $588,972 $4,071,242 $236,929 $4,897,143 $303,824
Non-cash disclosure
Developer contributions $ 613,926 $ 7,326,368 $ 3,252,691 $ 11,192,985
Equity transfers to internal service funds $ 4,700
Governmental transfers to internal service funds $ 476,600
Equipment acquired with capital lease $ 283,120
The notes to the financial statements are an integral part of this statement.(continued)
CITY OF GEORGETOWN, TEXAS
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDSFISCAL YEAR ENDED SEPTEMBER 30, 2004
Business-type Activities
Enterprise Funds
WATER OTHER GOVERNMENTAL
ELECTRIC SERVICES ENTERPRISE ACTIVITIES
FUND FUND FUNDS TOTAL INTERNAL SERVICE FUNDS
OPERATING INCOME (LOSS)$ 4,413,850 $ 3,704,858 $ 374,373 $ 8,493,081 $ (916,019)
Adjustments to reconcile operating income (loss) to
cash provided by (used in) operating activities:
Depreciation 1,889,471 2,224,838 612,884 4,727,193 1,046,099
Other income 508,437 463,001 48,083 1,019,521 202,076
Bad debt expense (2,066) (3,458) (520) (6,044)
Increase (decrease) in deferred revenue 1,164,989 1,164,989 (700)
Decrease (increase) in prepaid expenses 191,378 191,378
Decrease (increase) in inventories (288,514) (2,013) (290,527) (487)
Decrease (increase) in accounts receivable (27,395) 718,987 (120,607) 570,985 (13,068)
Decrease (increase) in customer deposits 33,953 33,953
Decrease (increase) in notes receivable 48,235 (17,631) 30,604
Increase (decrease) in accounts payable (1,084,080) (101,543) 17,140 (1,168,483) 30,923
Increase (decrease) in compensated absences payable 14,184 13,309 (871) 26,622 22,537
Net cash provided by operating activities $5,506,075 $8,358,728 $928,469 $14,793,272 $371,361
The notes to the financial statements are an integral part of this statement.
CITY OF GEORGETOWN, TEXAS
STATEMENT OF FIDUCIARY NET ASSETS
AGENCY FUND
AS OF SEPTEMBER 30, 2004
ASSETS:
Cash and cash equivalents $ 47,876
Accounts receivable 1,444,053
TOTAL ASSETS 1,491,929
LIABILITIES AND NET ASSETS
LIABILITIES:
Accounts payable 50,596
Due to other governments 1,441,333
TOTAL LIABILITIES $ 1,491,929
The notes to financial statements are an integral part of this statement.
Notes to the Financial Statements
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
32
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The accounting and reporting policies of the City of Georgetown, Texas, (“City”), included in the
accompanying basic financial statements conform to the generally accepted accounting principles
(GAAP) applicable to state and local governments. The Governmental Accounting Standards Board
(GASB) is the accepted standard-setting body for establishing governmental accounting and
financial reporting principles. The following notes to the financial statements are an integral part of
the City's Comprehensive Annual Financial Report.
A. Financial Reporting Entity
The City of Georgetown was incorporated under the laws of the State of Texas in 1848 and
operates under a Council-Manager form of government. The City’s financial statements include
the accounts of all City operations. Generally accepted accounting principles require all funds
that are controlled by or are dependent on the City Council to be included in the City’s financial
statements. The reporting entity is the primary government, or the City, and those component
units for which the primary government is financially accountable. Financial accountability is
defined as the appointment of a voting majority of the potential component unit‘s board and
either the ability to impose its will by the primary government or the possibility that the
component unit will provide a financial benefit or impose a financial burden on the primary
government. Blended component units, although legally separate entities are, in substance,
part of the government’s operations and so data from these units are combined with the data of
the primary government. The following blended component unit has a September 30 year end.
BLENDED COMPONENT UNIT
Georgetown Transportation Enhancement Corporation (GTEC) is a legally separate entity from
the City and is governed by a seven member board appointed by City Council. The City Council
maintains budgetary control over the corporation. The City Manager serves as the General
Manager of the corporation and City’s Director of Finance and Administration acts as the
Financial Manager. For financial reporting purposes, GTEC is presented as a blended
component unit within City operations because its sole purpose is to utilize sales tax revenues
for the improvement of the City’s transportation system. The revenues and expenditures for
GTEC are accounted for in a general capital project fund.
RELATED ORGANIZATIONS
The Mayor and City Council are responsible for appointing a voting majority of the members of
some local boards and commissions, but the City's accountability for these organizations does
not extend beyond making the appointments. These entities are the Georgetown Industrial
Development Corporation, Georgetown Hospital Authority, and Georgetown Higher Education
Finance Corporation.
B. Basis of Presentation
BASIC FINANCIAL STATEMENTS
The basic financial statements include both government-wide financial statements (based on
the City as a whole) and fund financial statements. Both sets of financial statements classify
activities as either governmental, which are supported by taxes and intergovernmental
revenues, or business-type activities, which rely on fees and charges for support.
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
33
Government-wide financial statements. The government-wide Statement of Activities
demonstrates the degree to which the direct expenses of a given program or function are offset
by the program’s revenues. Direct expenses are those that are clearly identifiable with a
specific program. Program revenues include 1) charges to customers or applicants who
purchase, use, or directly benefit from goods, services or privileges provided by a given
program and 2) grants and contributions that are restricted to meeting the operational or capital
requirements of a particular program. Taxes and other items not properly included among
program revenues are reported instead as general revenues. The effect of interfund activity
within the governmental and business-type activities columns has been removed from these
statements.
Fund financial statements. The City segregates transactions related to certain functions or
activities in separate funds in order to aid financial management and to demonstrate legal
compliance. Each fund is considered a separate accounting entity and the operations of each
fund are accounted for using a separate set of self-balancing accounts that comprise its assets,
liabilities, fund equity, revenues, and expenditures or expenses, as appropriate. Governmental
resources are allocated to and accounted for in individual funds based upon the purposes for
which they are to be spent and the means by which spending activities are controlled. Separate
statements are presented for governmental funds, proprietary funds, and fiduciary funds, even
though the latter are excluded from the government-wide financial statements. These
statements present each major fund as a separate column on the fund financial statements; all
non-major funds are aggregated and presented in a single column.
The government wide focus is on the sustainability of the City as an entity and the change in net
financial position resulting from the activities of the fiscal period. The focus of the fund financial
statements is on the major individual funds of the governmental and business-type categories.
Each presentation provides a different focus, which allows the reader to compare and analyze
the information to enhance the usefulness of the statements.
GOVERNMENTAL FUND TYPES
Governmental Funds are those funds through which most governmental functions typically are
financed. The measurement focus of governmental funds (in the fund financial statements) is
on the sources, uses and balance of current financial resources and include the General Fund,
Special Revenue Funds, Debt Service Fund and Capital Projects Funds. The individual funds
are described as follows:
Major Governmental Funds
General Fund - The General Fund is the general operating fund of the City. It is used to
account for all financial resources except those required to be accounted for in another
fund.
Georgetown Transportation Enhancement Corporation (GTEC) – This general capital
project fund is used to account for the City’s 4B Corporation, created to administer the
voter approved ½ cent sales tax for transportation improvements that aid in economic
development efforts.
Non-major Governmental Funds
Special Revenue Funds - The Special Revenue Funds are used to account for the
proceeds of specific revenue sources (other than expendable trusts or major capital
projects) that are restricted to expenditures for specified purposes.
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
34
Debt Service Fund - The Debt Service Fund is used to account for the accumulation of
resources for, and the payment of, general long-term debt principal, interest and related
costs.
Capital Projects Funds - Capital Projects Funds are used to account for financial resources
to be used for the acquisition or construction of major capital facilities other than those
financed by the Proprietary Fund Types. Such resources are derived from proceeds of
general obligation bonds or other sources of revenue specifically set aside for capital
projects.
PROPRIETARY FUND TYPES
The Proprietary Fund Types are used to account for the City's organization and activities which
are similar to those often found in the private sector. These funds are financed and operated in
a manner similar to private business enterprises – where the intent of the City is that the costs
(expenses, including depreciation) of providing goods or services to the general public on a
continuing basis be financed or recovered mainly through user charges; or where the governing
body 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.
Major Proprietary Funds
Electric Fund – This fund accounts for the City’s electric utility, including operations,
maintenance of the infrastructure and expansion of the system within the City’s service
territory.
Water Services Fund – This fund accounts for the City’s water, sewer and water reuse
systems, including operations, contracted maintenance, internal maintenance, expansion
of the system within the City’s service territory and the costs of environmental mandates
that arise.
Non-major Proprietary Funds
Enterprise Funds - The funds that are operated as enterprise funds within the City but are
not considered major funds are the Sanitation, Stormwater Drainage and Airport Funds.
Internal Service Funds - The Internal Service Funds, which provide services primarily to
other funds of the government, are presented in the summary form as part of the
proprietary fund financial statements. The financial statements of the internal service funds
are allocated by percentage of use to the governmental and business-type columns when
presented at the government wide level. Various operations are accounted for as internal
service funds, such as operational costs associated with automobile and heavy equipment
owned by the City and made available to various departments, costs related to maintaining
and repairing City owned facilities, operational costs associated with the City's computer
equipment within various departments, as well as jointly shared administrative
departments.
Proprietary funds distinguish operating revenues and expenses from non-operating items.
Operating revenues and expenses generally result from providing services and producing
and delivering goods in connection with the proprietary funds principal on-going operations.
Operating expenses for the proprietary funds include the cost of personnel and contractual
services, supplies and depreciation on capital assets. All revenues and expenses not
meeting this definition are reported as non-operating revenues and expenses.
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
35
FIDUCIARY FUND TYPE – AGENCY FUND
The City’s fiduciary fund is presented in the fund financial statements by type. Since by
definition, these assets are being held for the benefit of a third party (cafeteria plan participants,
local grantees, public improvement district, etc.) and cannot be used to address activities or
obligations of the government, these funds are not incorporated in the government-wide
statements.
C. Measurement Focus/Basis of Accounting
The accounting and financial reporting treatment applied to a fund is determined by its
measurement focus. Measurement focus refers to what is being measured and basis of
accounting refers to timing of revenue and expenditure recognition in the financial statements.
The government-wide statements and fund financial statements for proprietary funds are
reported using the economic resources measurement focus and the accrual basis of
accounting. The agency fund also uses the accrual basis of accounting. The economic
resources measurement focus means all assets and liabilities (whether current or non-current)
are included on the statement of net assets and the operating statements present increases
(revenues) and decreases (expenses) in net total assets. Under the accrual basis of
accounting, revenues are recognized when earned, including unbilled utility services which are
accrued. Expenses are recognized at the time the liability is incurred.
Private-sector standards of accounting and financial reporting issued prior to November 30,
1989 generally are followed in both the government-wide and proprietary fund financial
statements to the extent that those standards do not conflict with or contradict guidance of the
Governmental Accounting Standards Board. Governments also have the option of following
subsequent private-sector guidance for their business-type activities and enterprise funds,
subject to this same limitation. The City has elected not to follow private-sector guidance issued
subsequent to November 30, 1989.
Governmental fund financial statements are reported using the current financial resources
measurement focus and are accounted for using the modified accrual basis of accounting. With
this measurement focus, only current assets and current liabilities generally are included on the
balance sheet. Operating statements of these funds present increases (i.e., revenues and other
financing sources) and decreases (i.e., expenditures and other financing uses) in net current
assets.
Under the modified accrual basis of accounting, revenues are recorded when susceptible to
accrual, i.e., both measurable and available. Available means collectible within the current
period or soon enough thereafter to be used to pay liabilities of the current period. The City
considers all revenues available if they are collected within sixty (60) days after year-end.
Expenditures are recognized when the related fund liability is incurred, if measurable, except for
principal and interest on general long-term debt, which are recorded when due, and
compensated absences, which are recorded when payable from currently available financial
resources.
Ad valorem, sales, hotel, and franchise tax revenues recorded in the Governmental Fund Types
are recognized under the susceptible to accrual concept. Licenses and permits, charges for
services, fines and forfeitures, and miscellaneous revenues (except earnings on investments)
are recorded as revenues when received in cash because they are generally not measurable
until actually received. Investment earnings are recorded as earned since they are measurable
and available.
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
36
D. Budgets
At least 30 days prior to the end of each fiscal year, the City Manager submits a proposed
budget presenting a complete financial plan for the ensuing fiscal year to the City Council (the
Council). Public hearings are conducted, at which time all interested persons' comments
concerning the budget are heard. The budget must be legally adopted by the Council through
passage of an ordinance no later than the twenty-seventh day of the last month of the fiscal
year.
Formal budgetary integration is employed as a management control device during the year for
all Governmental and Proprietary Fund Types. Budgets for all funds were legally adopted for
the period. Budgetary control is exercised at the division level. All budgets are prepared on the
budgetary basis, recognizing encumbrances outstanding at year-end as expenditures against
that year’s appropriation. These encumbrances are reconciled to generally accepted
accounting principles where appropriate.
The Council may transfer any unencumbered appropriation balance or portion thereof from one
division, office, department or agency to another at any time. The City Manager has authority,
without Council approval, to transfer appropriation balances from one expenditure account to
another within a single division, office, department, or agency of the City; however, unbudgeted
transfers between funds are prohibited.
The Council may authorize by a majority plus one vote, an emergency expenditure as an
amendment to the original budget, but only in a case of grave public necessity, to meet an
unusual and unforeseen condition that could not have been included in the original budget
through the use of reasonable, diligent thought and attention.
Budget amounts are as originally adopted, or as transferred pursuant to authorization of the City
Manager or amended by the City Council. Individual amendments were not material in relation
to the original appropriations, with the exception of amendments related to the cost of
purchased electricity, passed along to customers when the budget was adopted.
Unencumbered appropriations lapse each year at September 30.
The Statement of Revenues, Expenditures and Changes in Fund Balances – Budget and
Actual-General Fund presents a comparison of budgetary data to actual results. The General
Fund utilizes the same basis of accounting for both budgetary purposes and actual results,
except for the effect of encumbrances and unrealized investment gains and losses, which are
reconciled to the actual results for this comparison.
E. Encumbrances
Encumbrance accounting is employed as an extension of formal budgetary control in all funds.
Encumbrance accounting is a process whereby purchase orders, contracts and other
commitments for the expending of monies are recorded in order to reserve that portion of the
applicable appropriation. Outstanding year-end encumbrances are reported as reservations of
fund balances and do not constitute expenditures or liabilities because the commitments are
carried forward into the subsequent fiscal year.
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
37
F. Cash and Investments
For cash flow purposes, cash and cash equivalents consist of demand deposits, certificates of
deposits and deposits in authorized investment pools.
The operating cash balances from all funds are consolidated in pooled cash and investment
accounts. Excess pooled balances are invested in U.S. Treasury securities, U.S. Government
agency securities, fully collateralized money market funds and local government investment
pools. Maturities on all investments are consistent with the City’s cash flow requirements.
Investments are stated at fair value, or market price as of September 30, 2004. Interest
earnings are then allocated to each fund based on average monthly pooled equity balances.
Separate cash and investment accounts are maintained for restricted cash such as debt service
and bond proceeds reserved for future construction.
G. Restricted Assets
Historically, the utility funds, based on certain bond covenants, were required to establish and
maintain prescribed amounts of resources that could be used only to service outstanding debt.
In July 1998 all outstanding revenue bonds were defeased and debt covenants modernized,
eliminating required debt reserves in utility funds. Included in the restricted assets are capital
recovery fees (impact fees), that are, by law, restricted for future capital improvements. In
addition, the funds also maintain restricted assets for construction of future debt funded capital
improvements. Restricted assets consist of cash and investments, including customer deposits.
When both restricted and unrestricted resources are available for use, it is the City’s policy to
use restricted resources first, then unrestricted resources as they are needed.
H. Long-term Receivables
The Texas Highway Department completed construction of the East Interstate Highway 35
frontage road from State Highway 29 to Williams Drive in January of 1997. The City agreed to
pay $1,000,000 of the approximate $3.8 million cost. The City funded this expenditure in April
1994, with $400,000 of 1992 Certificates of Obligation proceeds previously issued for this
purpose, and $600,000 as an investment of the City's electric utility. A levy of $672,000 was
assessed on adjacent property owners who benefited by the roadway. This assessment is
being repaid over 8 years at 8% interest. Repayments began in April 1997, and the final
balances were paid in full in 2003/04.
As part of the Del Webb Development Agreement that provided infrastructure improvements for
Sun City Texas, the City funded water, wastewater and other improvements for a 10,500 unit
development. In April 2003, the City and Del Webb agreed to the Seventh Amendment to the
Development Agreement, whereby the number of units in Sun City was reduced to 5,000 and
costs already spent associated with the additional units were identified as "stranded". As part of
the Seventh Amendment, Del Webb will repay the stranded costs over seven years at 5.25%
interest, as well as a minimum 300 units, annually for seven years, of previously agreed upon
service improvement fees for improvements in Sun City. The outstanding balance as of
September 30, 2004 was $9,600,784 in the Water Services Fund and $1,491,486 in the
General Fund. This agreement is discussed in detail in the Commitments and Contingency
section of these notes.
I. Inventories
Inventories consist of motor fuel, office and other supplies valued at the weighted average cost
method and are recognized as expenditures or expenses when used.
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
38
J. Interfund Receivables and Payables
Short-term advances between funds are accounted for in the appropriate interfund receivable
and payable accounts. Negative balances incurred in pooled cash at year-end are treated as
interfund receivables of the Water Fund and interfund payables of the deficit fund.
K. Interfund Transactions
All legally authorized transfers have been appropriately presented as interfund transfers and are
included in the fund financial statements of both Governmental and Proprietary Fund Types. As
a general rule, the effect of interfund activity has been eliminated from the government-wide
financial statements.
L. Intergovernmental Revenue
Intergovernmental revenues represent entitlements and shared revenues which are accounted
for within the fund financed. Such revenues, received for purposes normally financed through
the general government, are accounted for within the Special Revenue Funds.
M. Compensated Absences
All employees may accumulate a maximum of two times their annual vacation, up to an
absolute cap of 240 hours, or 30 days. Upon termination, non-Civil Service employees are paid
for one-half of their accumulated sick leave up to a maximum of 120 days, as well as any
unused accumulated vacation hours. Upon termination, Civil Service employees are paid for
the entire balance of their sick leave earned after October 30, 2003 (the effective date of the
regulations in the City), up to a maximum of 90 days. Civil Service employees hired prior to the
effective date of the adoption of Civil Service regulations are eligible under city policy to receive
one-half of their sick leave up to 120 days. Sick leave in excess of the maximums for both
regular and Civil Service employees is not paid upon termination, but will be paid only upon
illness while in the employ of the city.
Accumulated vacation and sick leave, which is expected to be liquidated with expendable
available financial resources, is reported as an expenditure and a fund liability of the
governmental fund that will pay it. Amounts of accumulated vacation leave within governmental
funds that are not expected to be liquidated with expendable available financial resources are
reported as a long-term liability on the statement of net assets. No expenditure is reported for
these amounts in the fund financial statements. Accumulated vacation and sick leave of
proprietary fund types are recorded as an expense and liability of those funds as the benefits
accrue to employees.
N. Capital Assets
Capital Assets other than Streets & Drainage:
Capital assets, which include property, plant, equipment and infrastructure assets, are reported
in the applicable governmental or business-type activities column in the government-wide
financial statements and in the fund financial statements for proprietary funds. All capital assets
are valued at their historical cost or estimated historical cost if actual historical cost is not
available. Donated assets are valued at their fair market value on the date donated. Repairs
and maintenance are recorded as expenses. Renewals and betterments are capitalized.
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
39
Assets capitalized, not including infrastructure assets, have an original cost of $5,000 or more
and an expected useful life of over one year.
Interest incurred during the construction phase of capital assets of business-type activities is
capitalized. Interest of $163,223 was capitalized in enterprise funds during the 2004 fiscal year.
Depreciation for assets not following the modified approach is computed using the straight-line
method on the composite assets based upon the estimated useful lives as follows:
Distribution systems 25-50 years
Buildings and improvements 10-20 years
Furniture, fixtures and equipment 3-10 years
The City records capital contributions to proprietary funds as revenue. Total capital
contributions to the enterprise funds in fiscal year 2004 were $11,192,985 and $476,600 in the
internal service funds.
Capital Assets - Streets & Drainage:
The Governmental Accounting Standards Board Statement Number 34 allows an alternative to
depreciation expense for certain infrastructure, termed the modified approach. The following
conditions must be met:
The government manages the eligible assets using an asset management system to:
keep an up-to-date asset inventory,
perform condition assessments and report the results on a measurement scale, and
estimate the annual amount to maintain and preserve the eligible infrastructure assets
at the condition level established and disclosed by the government.
The government must document that the eligible assets are being preserved approximately
at or above the condition level established and disclosed by the government.
The City elected to adopt the modified approach of infrastructure assessment allowed under
GASB 34 for its street and drainage infrastructure. A complete inventory was prepared in fiscal
year 2003 and specifications for the contracted engineering services to complete the
assessment of the condition of the system was conducted in fiscal year 2004. A pavement
management system to aid in the administration of the modified approach, is expected to be
fully implemented by September 30, 2005.
O. Long-term Obligations
The portion of long-term general obligation debt used to finance proprietary fund operations and
payable from the revenues of the Enterprise Funds is recorded in such funds. General
obligation bonds and other forms of long-term debt supported by general revenues are
obligations of the City as a whole and not its individual funds. Accordingly, such unmatured
obligations of the City are accounted for on the statement of net assets and payments of
principal and interest relating to the general obligation bonds are recorded as expenditures
when they are paid in the fund statements. Self-supporting general obligation debt, which will
be repaid from non-general revenue sources, is recorded in the appropriate proprietary fund.
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
40
P. Bond Issuance Costs
For Governmental fund types, bond premiums and discounts, as well as issuance costs, are
recognized during the current period on the fund financial statements. Bond proceeds are
reported as an other financing source net of the applicable premium or discount. Issuance
costs, even if withheld from the actual net proceeds received, are reported as debt service
expenditures. For Proprietary Fund types and on the government-wide statements, premiums
and discounts, as well as issuance costs, are deferred and amortized over the life of the bonds
using the straight line method which does not differ significantly from the effective interest
method. Bonds payable are reported net of the applicable bond premium or discount. Issuance
costs are reported as deferred charges and amortized over the term of the related debt.
Q. Comparative Data/Reclassification
Comparative total data for the prior year have been presented in selected sections of the
accompanying financial statements in order to provide an understanding of the changes in the
City’s financial position and operations. Also, certain amounts presented in the prior year data
have been reclassified in order to be consistent with the current year’s presentation.
R. Post Employment Benefits (other than pension benefits)
Except for health insurance provided pursuant to the Consolidated Omnibus Budget
Reconciliation Act (COBRA), the City provides no post employment benefits and thus has no
related obligation.
S. Risk Financing Activity
The City of Georgetown is exposed to various risks of loss related to torts; theft of, damage to,
and destruction of assets; errors and omission; injuries to employees; and natural disasters.
During fiscal year 2004, the City purchased general liability and property insurance from Texas
Municipal League Intergovernmental Risk Pool (TML-IRP). The City pays an annual premium
to TML-IRP for such coverage. TML-IRP purchases reinsurance, and the City does not retain
risks of loss exceeding deductibles. Settled claims have not exceeded insurance coverage in
the past three years.
The workers compensation plan is administered and paid through the Texas Municipal League-
Intergovernmental Risk Pool (TML-IRP). Under this plan, the City does not retain risks of loss
exceeding the deductibles. TML-IRP also brokers the City’s Aviation and Underground Storage
Tank Pollution liability insurance, as well as, the canine and surgical vet coverage. The City
does not retain the risks of loss exceeding the deductibles.
T. Credit Risk
Financial investments which potentially subject the City to concentrations of credit risk consist
principally of cash, investments and accounts receivable. At September 30, 2004, there was
not a significant risk arising from cash, investments or accounts receivable.
U. Nature and Purpose of Reservations and Designation of Fund Equity
In fund financial statements, governmental funds report reservations for amounts that are not
available for appropriation or are legally restricted by outside parties for a specific purpose.
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
41
Fund balances and net assets are restricted and/or reserved for the following purposes:
Restrictions:
• Debt Service - tax funds levied and reserved for retirement of general long-term debt.
• Capital Projects - funds identified for capital outlay including infrastructure and other
capital projects; these funds were collected either through impact fees or bonds proceeds,
both legally restricted for capital needs. Impact fees are legally restricted by Texas
legislation enabling their use. Bond proceeds are considered restricted because of
ordinances authorizing their issuance and documents filed with the State Attorney General
specifying the usage of the related proceeds.
Reservations:
• Encumbrances - funds reserved for payment of outstanding commitments related to
unperformed contracts for goods or services, ie open purchase orders.
• Prepaid Items and Inventories - assets such as supplies and fuel that are unavailable for
spending.
• Special Programs - funds relating to grants, hotel/motel tax, and other restricted sources.
V. Prior Period Adjustment
The City elected to adopt the modified approach of infrastructure assessment allowed under
GASB 34 for its street and drainage infrastructure. A complete inventory was prepared in fiscal
year 2003 and the valuation of this inventory was completed in 2004, based on the age of the
street and construction indexes. This resulted in $80.9 million of street improvements being
recorded that were not previously recorded. As a result of this adjustment, net assets as of
October 1, 2003 are reconciled as follows:
Governmental Activities
Net Assets, October 1, 2003, as previously recorded $33,238,000
Capitalization of infrastructure 80,920,361
Net Assets, October 1, 2003, as restated $114,158,361
2. CASH AND INVESTMENTS
The City maintains a cash and temporary investment pool consisting of demand deposits and
deposits in authorized investment pools. The combined pool is available for use by all funds. Each
fund's portion of this pool is summarized by major and nonmajor funds in the fund financial
statements.
The investment policies of the City are governed by the Texas Public Funds Investment Act (PFIA)
which requires the City Council to adopt an Investment Policy identifying: responsibility for
investments, authorized investments, security dealer selection and qualifying procedures,
safekeeping and custodial procedures, statement of investment objectives and investment reporting
requirements. The City’s current Investment Policy meets all required guidelines of the PFIA.
DEPOSITS
At year-end, the carrying amount of the City’s bank deposits was $1,708,881 and the bank balances
were $791,022 all of which were entirely covered by Federal depository insurance or by collateral
held by the City’s agent bank in the City’s name.
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
42
In order to maximize interest earnings, the City utilizes a controlled disbursement account, which
allows the City to deposit only as much money as needed to fund checks presented each day. The
required amount is withdrawn from the investment pools and transferred to the City’s local
depository.
INVESTMENTS
The City is authorized to invest in certificates of deposit, direct obligations of the US government, US
government agency securities, fully collateralized direct repurchase agreements, no-load money
market funds whose portfolio meet the City’s investment requirements, and in qualified local
government investment pools as approved by the City Council.
The City’s investments are categorized according to three levels of risk as follows:
(1) Insured and registered, with securities held by the government or its agent in the City’s
name;
(2) Uninsured and unregistered, with securities held by the counterparty’s trust department or
agent in the City’s name; or
(3) Uninsured and unregistered, with securities held by the counterparty, or by its trust
department or agent but not in the City’s name.
Investment pools and money market funds are not categorized since specific securities relating to
the government cannot be identified.
For short-term liquidity requirements, the City primarily utilizes the Texas Short Term Asset Reserve
Program (TexSTAR). JPMorgan Fleming Asset Management, Inc. and First Southwest Asset
Management, Inc. serve as co-administrators under an agreement with the TexSTAR board of
directors to provide investment and participant services for this pool. JPMorgan Chase Bank or its
subsidiary J.P. Morgan Investor Services Co. provides the custodial, transfer agency, fund
accounting, and depository services for this pool.
The City also maintains an account with the Texas Local Government Investment Pool (TexPool).
Under the TexPool Participation Agreement, administrative and investment services to TexPool are
provided by Lehman Brothers Inc. and Federated Investors, Inc. through an agreement with the
State of Texas Comptroller of Public Accounts. The State of Texas Comptroller of Public Accounts
is the sole officer, director, and shareholder of the Texas Treasury Safekeeping Trust Company
authorized to operate TexPool. Both pools operate on a $1 net asset value basis. In order to
maintain a stable $1 price of the fund, the pools will sell portfolio holdings if the ratio of the market
Fair
Category 1 Value
U S Treasury Securities $ 2,473,204 $ 2,473,204
U S Government Agency Securities 16,505,654 16,505,654
Investments not subject to categorization:
Texas Local Government Investment Pool (TexPool) 6,285,243
Texas Short Term Asset Reserve Program (TexSTAR) 7,875,105
TOTAL INVESTMENTS $ 18,978,858 $ 33,139,206
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
43
value of the portfolio divided by the book value of the portfolio is less than .995 or greater than
1.005. The pools are stated at their fair value, which is $2,879 lower than the book value for the
pools at 9/30/04.
None of the state pools are registered with the Securities and Exchange Commission (SEC) as
investment companies. They operate in a manner consistent with the SEC’s Rule 2a-7 of the
Investment Company Act of 1940.
During 2004, the City realized no gains or losses from the sale of investments, as the City’s
investment strategy is to invest to maturity. The City recognized a net decrease in the fair value of
investments held at year-end of $33,213.
3. TAXES
Property Taxes - Property is appraised and a lien on such property becomes enforceable as of
January 1st of each year. Taxes are levied on and payable the following October 1st. Taxes
become delinquent February 1st of the following year and are subject to interest and penalty
charges. Under an agreement which began August 1, 2000, Williamson County Tax Office collects
the City's taxes. In the fund financial statements, City property tax revenues are recognized when
levied to the extent that they are collected in the current year. Taxes collected prior to the levy date
to which they apply are recorded as deferred revenues and recognized as revenue of the period to
which they apply. All collections from prior year levies are considered delinquent tax revenue for
reporting purposes in the year collected. The allowance for uncollectible taxes at September 30,
2004 was $6,991.
The City is permitted by the State of Texas to levy taxes up to $2.50 per $100 of assessed valuation
for general government services and for the payment of principal and interest on general long-term
debt. The combined current tax rate to finance general government services, including debt service
for the fiscal year ended September 30, 2004, was $.32 per $100 of assessed valuation.
The Williamson County Appraisal District (Appraisal District) is responsible for the recording and
appraisal of property for all taxing units in Williamson County. The Appraisal District is required to
assess property at 100% of its appraised value. Real property must be reappraised at least every
four years. The City may, at its own expense, require annual reviews by the Appraisal District
through various appeals and, if necessary, legal action. Under this system, if the rate, excluding tax
rates for bonds and other contractual obligations adjusted for new improvements, exceeds the rate
for the previous year by more than 8%, qualified voters of the City may petition for an election to
determine whether to limit the tax rate to an increase of no more than 8%.
In September 2004, voters approved an initiative to freeze property taxes for homeowners over the
age of 65 or disabled. This measure mirrors the State of Texas Constitutional Amendment
Proposition 13, which passed overwhelmingly statewide in 2003. “Prop 13” gives local governments
the option of “freezing” taxes for the elderly and disabled.
Sales Taxes - The City has adopted the provisions of Article 1066C, Vernon's Texas Civil Statutes,
as amended, which grant the City the power to impose and levy a 1% Local Sales and Use Tax
within the City. Proceeds of the tax are credited to the General Fund except for sales taxes
generated at the airport which are credited to the Airport (Enterprise) Fund. Collections and
enforcements are effected through the offices of the Comptroller of Public Accounts, State of Texas,
who remits to the City monthly the proceeds of the tax, after deduction of a 2% service fee.
On October 1, 2001, the City began collecting an additional ½ cent sales tax for its component unit,
GTEC, to fund transportation improvements that promote economic development. These funds are
reported in the GTEC General Capital Projects Fund as a blended component unit of the City.
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
44
On April 1, 2003, the City began collecting an additional ¼ cent sales tax in accordance with Texas
House Bill 445 to fund maintenance on streets that were in existence at the time the sales tax was
adopted by the voters. The tax has a sunset provision and will expire in November, 2006, unless
readopted by the citizens. These funds are reported in the Streets Special Revenue Fund.
4. INTERFUND RECEIVABLES / PAYABLES AND TRANSFERS
Interfund receivables and payables relate to negative positions in pooled cash equity. All balances
are expected to be resolved within six months.
*There was an additional $426,396 in transfers between governmental activities in fiscal year 2004.
Interfund Interfund
Receivables Payables
GOVERNMENTAL FUND TYPES:
Governmental Funds:
Village improvement district $ 7,852
Police special revenue 1,214
Governmental net Total: 9,066
PROPRIETARY FUND TYPES:
Enterprise Funds:
Sanitation 113,836
Water services $ 122,902
Enterprise net Total: 9,066
TOTAL INTERFUND
RECEIVABLES & PAYABLES $ 9,066 $ 9,066
Transfer In Transfer Out
Governmental Funds $ 5,671,960
Electric $ 2,412,585 8% Return on Investment
Electric 62,524 Equity asset transfer
Electric 1,000,000 Contingency adjustment
Electric 162,000 Internal service fund transfer
Water services 1,228,996 8% Return on Investment
Water services 160,000 Provide water hydrant maintenance
Water services 225,000 Contingency adjustment
Water services 4,700 Equity asset transfer
Water services 75,000 Internal service fund transfer
Sanitation 234,598 8% Return on Investment
Stormwater 106,557 8% Return on Investment
TOTAL INTERFUND TRANSFERS $ 5,671,960 $ 5,671,960
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
45
5. CAPITAL ASSETS Capital asset activity for the year ended September 30, 2004 was as follows:
Balance Deletions Balance
10/01/03 Additions & Transfers 9/30/04
Governmental activities:
Capital assets not being depreciated
Land $ 2,778,313 $ 514,139 $ 3,292,452
Construction in progress 3,037,328 4,723,952 $ (4,178,292) 3,582,988
Total capital assets not being depreciated 5,815,641 5,238,091 (4,178,292) 6,875,440
Capital assets being depreciated
Equipment 12,686,031 2,574,220 (577,276) 14,682,975
Buildings 19,438,515 20,637 166,731 19,625,883
Improvements 11,983,641 3,052,238 (577,029) 14,458,850
Streets 88,037,635 1,392,165 89,429,800
Total capital assets being depreciated 132,145,822 7,039,260 (987,574) 138,197,508
Less accumulated depreciation for:
Equipment (8,459,602) (706,089) 538,087 (8,627,604)
Buildings (2,361,814) (1,285,147) 22,026 (3,624,935)
Improvements (2,742,197) (44,662) 45,822 (2,741,037)
Streets -
Total accumulated depreciation (13,563,613) (2,035,898) 605,935 (14,993,576)
Total capital assets being depreciated, net 118,582,209 5,003,362 (381,639) 123,203,932
Governmental activities capital assets, net $124,397,850 $ 10,241,453 $ (4,559,931) $ 130,079,372
Electric activities:
Capital assets not being depreciated
Land $ 193,735 $ 193,735
Construction in progress $ 2,229,596 $ (2,229,596)
Total capital assets not being depreciated 193,735 2,229,596 (2,229,596) 193,735
Capital assets being depreciated
Equipment 422,762 73,902 496,664
Buildings 477,707 (404,000) 73,707
Improvements 41,527,129 2,836,133 44,363,262
Total capital assets being depreciated 42,427,598 2,910,035 (404,000) 44,933,633
Less accumulated depreciation for:
Equipment (307,994) (46,580) (354,574)
Buildings (364,227) (3,525) 356,867 (10,885)
Improvements (12,183,889) (1,839,366) (14,023,255)
Total accumulated depreciation (12,856,110) (1,889,471) 356,867 (14,388,714)
Total capital assets being depreciated, net 29,571,488 1,020,564 (47,133) 30,544,919
Electric activities capital assets, net $29,765,223 $ 3,250,160 $ (2,276,729) $ 30,738,654
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
46
Balance Deletions Balance
10/01/03 Additions & Transfers 9/30/04
Water services activities:
Capital assets not being depreciated
Land $ 475,070 $ 475,070
Construction in progress 11,384,576 $ 7,768,657 $ (14,167,922) 4,985,311
Total capital assets not being depreciated 11,859,646 7,768,657 (14,167,922) 5,460,381
Capital assets being depreciated
Equipment 199,387 8,560 207,947
Buildings 3,005,294 14,500 3,019,794
Improvements 79,443,848 21,263,540 (136,895) 100,570,493
Total capital assets being depreciated 82,648,529 21,286,600 (136,895) 103,798,234
Less accumulated depreciation for:
Equipment (165,894) (12,218) (178,112)
Buildings (971,366) (92,974) (1,064,340)
Improvements (17,681,865) (2,119,645) 136,895 (19,664,615)
Total accumulated depreciation (18,819,125) (2,224,837) 136,895 (20,907,067)
Total capital assets being depreciated, net 63,829,404 19,061,763 - 82,891,167
Water services activities capital assets, net $75,689,050 $ 26,830,420 $ (14,167,922) $ 88,351,548
Other nonmajor business type activities:
Capital assets not being depreciated
Land $ 981,500 $ 981,500
Construction in progress 26,010 $ 112,737 $ (42,772) 95,975
Total capital assets not being depreciated 1,007,510 112,737 (42,772) 1,077,475
Capital assets being depreciated
Equipment 193,627 - 193,627
Buildings 7,597,187 7,597,187
Improvements 4,451,329 3,393,292 7,844,621
Total capital assets being depreciated 12,242,143 3,393,292 - 15,635,435
Less accumulated depreciation for:
Equipment (150,005) (11,938) (161,943)
Buildings (3,382,067) (415,085) (3,797,152)
Improvements (491,831) (185,862) (677,693)
Total accumulated depreciation (4,023,903) (612,885) - (4,636,788)
Total capital assets being depreciated, net 8,218,240 2,780,407 - 10,998,647
Other nonmajor business-type activities
capital assets, net $ 9,225,750 $ 2,893,144 $ (42,772) $ 12,076,122
Total Business-type activities:
Capital assets not being depreciated
Land $ 1,650,305 - - $ 1,650,305
Construction in progress 11,410,586 $ 10,110,990 $ (16,440,290) 5,081,286
Total capital assets not being depreciated 13,060,891 10,110,990 (16,440,290) 6,731,591
Capital assets being depreciated
Equipment 815,776 82,462 - 898,238
Buildings 11,080,188 14,500 (404,000) 10,690,688
Improvements 125,422,306 27,492,965 (136,895) 152,778,376
Total capital assets being depreciated 137,318,270 27,589,927 (540,895) 164,367,302
Less accumulated depreciation for:
Equipment (623,893) (70,736) - (694,629)
Buildings (4,717,660) (511,584) 356,867 (4,872,377)
Improvements (30,357,585) (4,144,873) 136,895 (34,365,563)
Total accumulated depreciation (35,699,138) (4,727,193) 493,762 (39,932,569)
Total capital assets being depreciated, net 101,619,132 22,862,734 (47,133) 124,434,733
Total business-type activities capital assets, net $ 114,680,023 $ 32,973,724 $ (16,487,423) $ 131,166,324
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
47
Depreciation expense was charged to function/programs of the primary government as follows:
6. OPERATING LEASES
The City leases computer equipment with Koch Financial Corporation for Gateway Computers, which
expires in March 2006. The following is a schedule by year of the lease obligation:
Governmental activities:
Culture-recreation $ 186,456
Development 26,266
Economic development 1,250
Fire 5,662
General government 661,939
Highways & streets 79,403
Police 28,823
Internal service funds 1,046,099
Total depreciation expense
governmental activities $ 2,035,898
Business-type activities:
Electric $ 1,889,472
Water services 2,224,837
Nonmajor 612,885
Total depreciation expense
business-type activities $ 4,727,194
Year Ending September 30 Amount
2005 $ 125,817
2006 95,082
Total $220,899
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
48
7. LONG-TERM DEBT
A. Overview
The following is a summary of long-term debt transactions of the City for the fiscal year ended
September 30, 2004:
The annual requirements to retire all debt outstanding as of September 30, 2004 including interest
payments of $29,530,058 are as follows:
Fiscal General General
Year Ending Obligation Obligation
September 30 Tax-Supported Self-Supported Revenue Total
2005 $ 3,343,799 $ 449,328 $ 4,681,282 $ 8,474,409
2006 3,130,444 447,128 4,547,315 8,124,887
2007 3,125,555 446,110 4,356,967 7,928,632
2008 2,915,158 449,196 4,011,520 7,375,874
2009 2,918,490 446,294 3,961,115 7,325,899
2010-2014 18,775,767 2,107,636 17,185,814 38,069,217
2015-2019 9,473,939 1,680,512 10,909,884 22,064,335
2020-2023 2,167,035 4,359,773 6,526,808
$ 45,850,187 $ 6,026,204 $ 54,013,670 $ 105,890,061
Balance Balance
October 1, September 30, Due within
2003 Additions Retirements 2004 one year
Governmental activities:
General obligation bonds $ 22,217,455 $ 12,240,000 (1,262,782) $ 33,194,673 $ 1,740,879
(payable from tax pledge)
Compensated absences 1,252,751 573,349 (496,555) 1,329,545 449,165
Obligation under capital lease 166,968 283,120 (81,301) 368,787 128,194
Arbitrage rebate payable 63,277 (45,614) 17,663
Total governmental activities 23,700,451 13,096,469 (1,886,252) 34,910,668 2,318,238
Business-type activities:
Revenue bonds 34,498,514 6,940,000 (2,534,751) 38,903,763 2,866,882
Compensated absences 470,239 184,081 (157,460) 496,860 163,542
General obligation bonds 4,514,031 (252,467) 4,261,564 237,239
(payable from airport and
stormwater revenues)
Total business-type activities 39,482,784 7,124,081 (2,787,218) 43,662,187 3,267,663
TOTAL LONG-TERM DEBT $ 63,183,235 $ 20,220,550 $ (4,673,470) $ 78,572,855 $ 5,585,901
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
49
At September 30, 2004 there were no authorized, but unissued general obligation or revenue
bonds, and the City is in compliance with all bond ordinances.
B. General Obligation Debt
A summary of Tax-Supported General Obligation Debt outstanding at September 30, 2004 follows:
$1,750,000, 1994 Combination tax and revenue certificates of obligation due in
annual installments of $65,000 to $170,000 through August 15, 2009; interest at 6%
to 7.6% (portion included below)
$5,185,000, 1997 Combination tax & revenue certificates of obligation due in annual
installments of $70,000 to $610,000 through August 15, 2017; interest at 5% to 7%
$5,220,000, 1998 Combination tax & revenue certificates of obligation due in
annual installments through August 15, 2018; interest at 4% to 5% (portion included
below)
$6,750,000, 1999 Combination tax & revenue certificates of obligation due in
annual installments through August 15, 2019; interest at 4.3% to 5.5% (portion
included below)
$1,450,000, 2000 Combination tax & revenue certificates of obligation due in
annual installments through August 15, 2020; interest at 5.15% to 5.9%
$5,470,000, 2001 Combination tax & revenue certificates of obligation due in
annual installments through August 15, 2021; interest at 4.35% to 5.0%
$325,000, 2003 Public Property Finance Contractual Obligations due in annual
installments through July 1, 2006; interest at 4.68%
$3,125,000, 2002 Combination tax & revenue certificates of obligation due in annual
installments through August 15, 2022; interest at 3.0% to 5.0%; entire issue
designated for GTEC capital improvements to be paid through revenues from ½
cent GTEC sales tax
$2,430,000, 2003 Combination tax & revenue certificates of obligation due in annual
installments through August 15, 2023; interest at 3.0% to 4.5%; $567,133
designated for GTEC capital improvements to be paid through revenues from the ½
cent GTEC sales tax
$9,810,000, 2004 Limited tax notes due in annual installments through February
15, 2011; interest at 2.5% to 4.0%; $8.825M designated for GTEC capital
improvements to be paid through revenues from the ½ cent GTEC sales tax
Subtotal Tax-Supported General Obligation Debt
$ 647,034
4,585,000
2,423,230
4,223,172
1,305,000
4,635,000
126,237
3,010,000
2,430,000
9,810,000
$33,194,673
A summary of Self-Supporting General Obligation Debt outstanding at September 30, 2004:
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
50
$1,750,000, 1994 Combination tax and revenue certificates of obligation due in
annual installments of $65,000 to $170,000 through August 15, 2009; interest at 6%
to 7.6%; portion designated for airport hangars to be paid through revenues from
rentals of the hangars, $260,000
$ 112,966
$725,000, 1995 Combination tax & revenue certificates of obligation due in annual
installments of $20,000 to $60,000 through August 1, 2015; interest at 3.9% to
6.25%; entire issue designated for stormwater drainage improvements to be paid
through revenues from assessed stormwater drainage fees
$5,220,000, 1998 Combination tax & revenue certificates of obligation due in annual
installments through August 15, 2018; interest at 4% to 5%, portion dedicated for
Airport Improvements, $129,208, to be paid with Airport fees. Portion dedicated for
Stormwater Drainage Improvements, $2,274,059, to be paid through monthly fees
charged to utility customers within City limits
$6,750,000, 1999 Combination tax & revenue certificates of obligation due in annual
installments through August 15, 2019; interest at 4.3% to 5.5%; portion dedicated
for Airport Improvements, $1,775,000 to be paid with Airport fees
Subtotal Self-Supporting General Obligation Debt
Total outstanding General Obligation Debt as of September 30, 2004
$ 500,000
2,066,770
1,581,828
4,261,564
$37,456,237
C. Revenue Debt
A summary of Revenue Debt outstanding at September 30, 2004 follows:
$27,770,000, 1998-A Utility System Revenue & Refunding bonds due in annual
installments through August 15, 2018; interest at 3.8% to 5.0%
$1,225,000, 1998-B Taxable Utility System Revenue & Refunding bonds due in
annual installments through August 15, 2015; interest at 6.15% to 6.65%
$4,320,000, 2000 Utility System Revenue bonds due in annual installments through
August 15, 2020; interest at 5.1% to 5.9%
$1,900,000, 2001 Utility System Revenue bonds due in annual installments through
August 15, 2021; interest at 4.75% to 5.12%
$6,500,000, 2002 Utility System Revenue bonds due in annual installments through
August 15, 2022; interest at 4.0% to 5.0%
$325,000, 2003 Public Property Finance Contractual Obligations due in annual
installments through July 1, 2006; interest at 4.68%
$6,940,000, 2003 Utility System Revenue bonds due in annual installments through
August 15, 2023; interest at 3.55% to 4.55%
$ 19,115,000
975,000
3,895,000
1,615,000
6,270,000
93,763
6,940,000
Total outstanding Revenue Debt as of September 30, 2004 $38,903,763
All net revenues of the utility system are pledged for the payment of debt service for the revenue
bonds. Net revenues, as defined by the various bond ordinances, include income and revenues
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
51
derived from the operation of the system, after deduction of the amount necessary to pay all
operating, maintenance, replacement and betterment charges of the system. These bond
ordinances require that the net revenues, as defined, equal at least 1.25 times the average
annual debt service on all revenue bonds. The City was in compliance with this requirement at
September 30, 2004.
In prior years, the City defeased revenue bonds by placing the proceeds of the refunding bonds in
an irrevocable trust to provide for all future debt service payments on the defeased bonds.
Accordingly, the trust account assets and liabilities for the defeased bonds are not included in the
City’s financial statements. At September 30, 2004, the outstanding balance of the defeased
bonds is $14,535,000.
Lease payable represents the remaining principal amounts payable under a lease purchase
agreement for the acquisition of a Voiceover IP phone system and hardware. The lease is
recorded as a capital lease. Remaining requirements including interest, under the lease is as
follows:
8. RETIREMENT PLAN
A. Plan Description
The City provides pension benefits for all of its full-time employees through a non-traditional joint
contributory hybrid defined benefit plan, in the state-wide Texas Municipal Retirement System
(TMRS). The City of Georgetown is one of 794 municipalities having the benefit plan
administered by TMRS, an agent multiple-employer public employee retirement system. Each of
the 794 municipalities have an annual, individual actuarial valuation performed. The following
assumptions were used for the December 31, 2003 valuations:
Actuarial Cost Method Unit Credit
Amortization Method Level Percent of Payroll
Remaining Amortization Period 25 Years – Open Period
Asset Valuation Method Amortized Cost
Investment Rate of Return 7%
Projected Salary Increases None
Includes Inflation At None
Cost-of-Living Adjustments None
Governmental
Year Activities
2005 $ 128,293
2006 127,240
2007 70,268
2008 68,065
2009 13,997
Total principal and interest 407,864
less - Applicable interest (39,078)
Total principal $ 368,786
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
52
Benefits depend upon the sum of the employee's contributions to the plan, with interest, and the
City-financed monetary credits, with interest. At the date the plan began, the City granted
monetary credits for service rendered before the plan began of a theoretical amount equal to two
times what would have been contributed by the employee, with interest, prior to establishment of
the plan. Monetary credits for service since the plan began are a percent (100%, 150%, or
200%) of the employee's accumulated contributions. In addition, the City can grant, as often as
annually, another type of monetary credit referred to as an updated service credit, which is a
theoretical amount which, when added to the employee's accumulated contributions and the
monetary credits for service since the plan began, would be the total monetary credits and
employee contributions accumulated with interest if the current employee contribution rate and
City matching percent had always been in existence and if the employee's salary had always
been the average of his salary in the last three years that are one year before the effective date.
At retirement, the benefit is calculated as if the sum of the employee's accumulated contributions
with interest and the employer-financed monetary credits with interest were used to purchase an
annuity.
The December 31, 2003 calculations were based upon the following benefits. Members can
retire at ages 60 and above with 5 years or more of service or with 20 years of service regardless
of age. A member is vested after 5 years. The plan provisions are adopted by the governing
body of the City, within the options available in the state statutes governing TMRS and within the
actuarial constraints also in the statutes.
B. Contributions
The contribution rate for the employees is 6%, and the City matching ratio is currently 2 to 1, both
as adopted by the governing body of the City. Under the state law governing TMRS, the actuary
annually determines the City contribution rate. This rate consists of the normal cost contribution
rate and the prior service contribution rate, both of which are calculated to be a level percent of
payroll from year to year. The normal cost contribution rate finances the currently accruing
monetary credits due to the City matching percent, which are the obligation of the City as of an
employee's retirement date, not at the time the employee's contributions are made. The normal
cost contribution rate is the actuarially determined percent of payroll necessary to satisfy the
obligation of the City to each employee at the time his/her retirement becomes effective. The
prior service contribution rate amortizes the unfunded (overfunded) actuarial liability (asset) over
the remainder of the plan's 25 year amortization period. The unit credit actuarial cost method is
used for determining the City contribution rate. Both the employees and the City make
contributions monthly. Since the City needs to know its contribution rate in advance to budget for
it, there is a one-year delay between the actuarial valuation that is the basis for the rate and the
calendar year when the rate goes into effect. (i.e. December 31, 2003 valuation is effective for
rates beginning January 2005).
The City’s total payroll in fiscal year 2004 was $14,379,998 and the City’s contributions were
based on a payroll of $14,367,659. Both the City and the covered employees made the required
contributions, amounting to $1,030,560 for the City and $785,220 for the employees. The City’s
contribution amounted to 8.35% of the covered payroll for the calendar year. The employees’
contribution amounted to 6% of covered payroll.
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
53
Schedule of Actuarial Liabilities and Funding Progress
Actuarial Valuation Date 12/31/2003
Actuarial Value of Assets (A) $ 18,195,567
Actuarial Accrued Liability (B) $ 22,347,396
Percentage funded (C)=(A)/(B) 81.4%
Unfunded (Over-funded) Actuarial Accrued Liability (UAAL) (D)=(B)-(A) $ 4,151,829
Annual Covered Payroll (E) $ 13,698,260
UAAL as a Percentage of Covered Payroll (D)/(E) 30.3%
Annual Pension Cost
Fiscal Year
Funding
Annual Pension
Cost (APC)
APC funded Net Pension
Obligation (NPO)
Employer’s
Contribution as a
% of Covered
Payroll
09/30/02
$ 927,284
$ 927,284
0
7.76
09/30/03 $ 1,030,560 $ 1,030,560 0 7.92
09/30/04 $ 1,183,700 $ 1,183,700 0 8.35
A copy of the TMRS Comprehensive Annual Financial Report may be obtained by contacting
TMRS at P.O. Box 149153, Austin, Texas 78714-9153.
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
54
9. DEFERRED COMPENSATION PLAN
The City offers its employees a deferred compensation plan in accordance with Internal Revenue
Code Section 457. The plan, available to all City employees, permits them to defer a portion of
their salary until future years. Participation in the plan is optional. The deferred compensation is
not available to employees until termination, retirement, death or an unforeseeable emergency.
10. COMMITMENTS AND CONTINGENCIES
Long-Term Agreements
The City has the following long-term agreements, which represent significant commitments:
A. Wholesale Power Agreement with the Lower Colorado River Authority (LCRA) - The
City must purchase 90% of its electrical power requirements from the LCRA under a
long-term contract, which extends through 2016. Under the contract, the City's monthly
cost of purchased power averaged $1,584,448 for the fiscal year ended September 30,
2004.
B. Brazos River Authority (BRA) Water Contracts - Effective September 1, 2001, the City
revised its previous water availability agreements with the BRA to further plan for future
water needs and to standardize the pricing to a system-wide rate. The effective system-
wide rate for BRA’s fiscal year beginning September 1, 2004 is $45.75 and the City paid
a total of $1,205,564 for water during the fiscal year. The City has three separate
agreements with the BRA as follows:
(1) Lake Georgetown Water - This agreement, effective September 1, 2001 and
expiring August 31, 2050, requires BRA to make available to the City 6,720 acre-feet
of water per year at BRA’s system wide rate. The City paid $270,480 for water under
this agreement for the City’s fiscal year.
(2) Lake Stillhouse Hollow Water - This agreement, effective September 1, 2001 and
expiring August 31, 2040, requires BRA to make available to the City 15,448 acre-
feet of water per year at BRA’s system wide rate. The City paid $621,782 for water
under this agreement for the City’s fiscal year.
(3) Colorado River Basin Water - This agreement, effective September 1, 2001 and
expiring August 31, 2051, requires BRA to make available to the City a total of 6,944
acre-feet of water per year. Because this water is made available to BRA through
the Lower Colorado River Authority (LCRA), the pricing structure is based upon the
cost of water set by LCRA. The rate for BRA’s fiscal year beginning September 1,
2004 is $53.91 per acre-foot. The City paid $313,302 under this agreement for the
City’s fiscal year.
C. Brazos River Authority - Williamson County Regional Raw Water Line Agreement -
The City is a party to an agreement dated June 30, 1986, with the Brazos River Authority
(BRA), City of Round Rock and Jonah Water Special Utility District to design, construct
and operate a pipeline to transport water from Lake Stillhouse Hollow to Lake
Georgetown. Total project construction cost for the raw water line is approximately $40
million. In 2000, BRA issued approximately $37 million in debt obligations, to be repaid
through annual payments from the participants. The City’s obligation is $33.5 million,
including principal and interest, to be repaid annually through 2034. The City began
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
55
paying its allocated costs related to the project in fiscal year 2002. The amount for fiscal
year for 2004 was $417,791. The following schedule reflects the City's obligation:
D. Texas Capital Fund Programs - The City has received awards from this program, which
is operated by the State of Texas to assist in local economic development. Two types of
assistance are provided to businesses relocating to the area: (1) infrastructure
improvements and (2) low cost funding for facility construction. Infrastructure
improvements become the asset of the City upon construction, without repayment of the
grant to the State. If the City receives funding to construct a facility for a business, the
City owns the facility and leases it to the business. These lease payments are then
repaid to the State. The leases and pass through payments are recorded in the Agency
Fund of the City. The City has three active awards for facility construction, where long
term agreements are in effect:
(1) Reedholm Instruments, Inc. - This facility was completed in 1997 and lease
payments began in March 1997. The business is current on lease payments and has
an outstanding balance of $243,342 as of September 30, 2004.
(2) Xycarb Ceramics, USA, Inc. - This facility was completed in January 1998 and
lease payments began in February 1998. The business is current on lease payments
and has an outstanding balance of $334,226 as of September 30, 2004.
(3) Schunk Quartz - This facility was completed in January 1998 and lease payments
began in February 1998. The business is current on lease payments and has an
outstanding balance of $334,226 as of September 30, 2004.
E. Chisholm Trail Special Utility District - In February 1999, the City and Chisholm Trail
Special Utility District (CTSUD) entered into an agreement which will provide CTSUD
needed water in exchange for allowing Georgetown the right to provide water service in
the Highway 195 and expanded Sun City areas. The City will transfer to CTSUD a
phased financial position in the Lake Water Treatment Plant up to 4.26 mgd, not to
exceed 28% of the off-peak plant capacity. CTSUD will then pay prorata operating costs
for all water utilized. In addition, upon acceptance of the Williamson County Raw Water
Line, the City will transfer 840 acre feet of the Lake Stillhouse Hollow water rights to
CTSUD, which will assume payment for these rights to the BRA.
As of September 30, the City had transferred 1.728 mgd of capacity, with a value of
$588,330. The remaining 2.523 mgd, which is expected to be transferred in 2005, has a
value of $1,092,740, for a total value of $1,681,070.
Year Ending September 30 Amount
2005 $ 460,240
2006 584,214
2007 730,480
2008 767,132
2009 829,801
2010-2034 29,554,013
Total $32,925,880
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
56
F. Del Webb Corporation (Sun City Texas) - The Del Webb Corporation (Del Webb)
began development in April 1995 of a proposed 9,500 unit; 5,300 acre active retirement
community to be called Sun City Texas. The City, through a Development Agreement,
and in exchange for payment of Service Improvement Fees (SIP fee - discussed below)
provides fire protection, wastewater, water and electric service to Sun City. The project is
annexed into the City limits as phases of the project are platted. Home sales began in
June 1995 and were expected to average 425 homes per year for 20 years. As of
September 30, 2004, 3,670 units have been completed.
In November 2002, Del Webb filed a revised Concept Plan that reduces the size of Sun
City from 10,500 to 5,000 age-restricted units on the southern portion of the property.
The Concept Plan also allows the northern 2,500 acres to be developed as a non-age
restricted community. In response to the significant changes in the revised Concept Plan,
a Seventh Amendment to the Development Agreement was approved in April 2003 for
fiscal year 2003. That Seventh Amendment re-calculates the SIP fee for Sun City at
5,000 units. The Seventh Amendment also accelerates the schedule for payment of the
SIP Fees from a pure per-unit basis to an annual minimum payment of SIP Fees for 300
units per year, at $4,324.50 per unit, with build out completed by 2009. The City
anticipates it will be able to make all infrastructure and debt payments using the SIP Fees
without cash shortfalls or additional increases in overall service rates for water and
wastewater.
The Seventh Amendment further identifies the ”stranded costs,” or the costs of
infrastructure built by the City under the Development Agreement for 10,500 units, but not
needed as result of Del Webb's decision to downsize Sun City to 5,000 units. The total
Stranded Costs were approximately $8.4 million. Under the Seventh Amendment, Del
Webb paid the City $1.7 million towards the $8.4 million of Stranded Costs, leaving a
balance of $6,670,064. The City agreed to allow Del Webb to pay the balance, including
5.25% annual interest, over 7 years. The Stranded Cost payment is $1,139,700 annually,
and is being paid on a per unit basis for the remaining Sun City units. These fees are in
addition to SIP fees.
Finally, the Seventh Amendment adjusted the amount of the fiscal surety from $4 million
total, to $2 million for SIP Fees, and $3.8 million for Stranded Costs. The Seventh
Amendment also addressed the possibility of Del Webb selling the Northern Lands to a
third party. In such instance, all stranded costs that remain unpaid as of the date of
closing would require either full payment to the City or 100% fiscal surety for the balance
and Del Webb would not be released from obligation to pay any outstanding SIP fees.
Another element of the Seventh Amendment was a Water Wastewater Agreement to
reserve the Northern Land capacity for future use through 2015, so long as Del Webb
makes reservation payments to the City. The City received $164,724 from Del Webb for
reservation fees related to the Water and Wastewater Agreement.
G. Escalera Ranch - In 1999, the City of Georgetown and Escalera Ranch, Ltd. entered into
an agreement for a 500 home residential subdivision to be built over a period of eight
years. The City agreed to fund the off-site costs of infrastructure improvements required
to provide roadway system improvements and water service, including fire flow, to the
development. Escalera reimburses the City for all costs for the improvements on a per
home basis. Escalera pays the City based on the proposed build out schedule rather
than actual permits issued. As of September 30, 2004, 5 total permits were issued for
this development and 270 units paid to date.
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
57
H. Georgetown Village Public Improvement District - In 1999, the City of Georgetown
created the Georgetown Village Public Improvement District No. 1, pursuant to Chapter
372 of the Texas Local Government Code. The City is required to construct and provide
operation, repair and maintenance of parks, recreational facilities, alleyways, lighting,
landscaping and related improvements to the district that are above the standards that
are met elsewhere in the City. Property owners are assessed an annual maintenance
assessment of $0.20 per $100 valuation. Assessment revenue of $81,916 was
recognized for 2004. As of September 30, 2004 all costs associated with the
Georgetown Village Public Improvement District have been reimbursed.
I. Shell Road Public Improvement District - In 2001, the City created the Shell Road
Public Improvement District, pursuant to Chapter 372 of the Texas Local Government
Code. The City was required to design and construct the realignment of Shell Road,
which will be accomplished through an interlocal agreement with Williamson County. The
cost of the construction was $832,500 and will be repaid by the property owners in the
PID through an assessment based on each property’s linear feet of the Shell Road
alignment. Each assessment is due at the time the tract is platted, at the time of the sale
of the tract, or within seven years after the realignment of the road, whichever is earlier.
Assessments totaling $832,500 were billed in fiscal year 2004. As of September 30,
2004, outstanding assessments totaled $529,636.50.
J. Cimarron Hills Public Improvement District - In May 2000, the City and Paloma
Cimarron Hills, L.P. entered into a development agreement for a 606 home, 813 acre
subdivision within the City’s Extraterritorial Jurisdiction (ETJ). As part of this agreement,
the City created the Cimarron Hills PID to reimburse the developer for costs of certain
infrastructure improvements. Each lot within the development is assessed an annual fee
based on its type of usage. Once the revenue stream is stabilized, and reserve fund
requirements are met, the PID may issue revenue bonds to reimburse the developer. As
part of the agreement, the developer will construct a wastewater treatment plant, to be
transferred to the City, who will then operate the plant. The City will also collect a per unit
transportation fee which will be used to fund necessary roadway improvements and
bridge crossings in the area. As of September 30, 2004, 22 homes had been completed
for this development. PID assessment collection began in 2002. In 2004, PID
assessments were $250,083, of which $229,900 was reimbursed to the developer. The
assessments and related disbursements are recorded in the Agency Funds.
K. Wolf Ranch Towne Center - In July 2003, the City approved a development agreement
with Simon Properties for the 750,000 sq ft Wolf Ranch Towne Center. The project will
include Target and 70 other retailers and restaurants. As part of the agreement, the City
will provide utility improvements to the site, as well as, fund $10.5 million of highway
improvements for the project. The $10.5 million to be funded with debt issued and repaid
by GTEC, will improve SH 29, as well as, provide the badly needed frontage roads for IH-
35. As of September 30, 2004, $8,825,000 of GTEC debt had been issued for this
project. Texas Department of Transportation will be contributing over $7 million for these
improvements as well.
In October 2004, the City created Wolf Ranch Tax Increment Reinvestment Zone (TIRZ)
as a part of the development agreement and is created solely for the purpose of
refinancing the City’s obligation to Simon under the development agreement.
In June 2004, the City created the Wolf Ranch Public Improvement District (PID) #1 for all
Simon owned property within the Wolf Ranch development. In the event that revenues
from the project are insufficient to fund any outstanding debt related to the project, an
assessment would be levied against the property in the PID to protect the City from
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
58
potential revenue shortfalls. Should revenues meet or exceed expectations, no
assessment is made. The first assessment for Wolf PID # 1 was for $93,712 and is
related to debt service for utility revenue debt issued in 2003. The assessment is the net
amount of debt service due, less utility revenue collected for the project. This
assessment was done during the construction phase of the project.
L. TASUS Texas Corporation – In November 2003, the City Council approved an
economic development incentive package for TASUS to locate its plastic injection
molding facility in Georgetown. This package included infrastructure and utility
improvements, including water and wastewater, as well as road improvements, paid for
through Georgetown Transportation Enhancement Corporation (GTEC) economic
development sales tax. Infrastructure improvements totaled $200,950. The City also
approved a property tax abatement to TASUS for fiscal year 2004/05 – 2009/10, based
upon job creation. The project is expected to create over 102 jobs for the community.
Grants
Amounts received or receivable from grantor agencies, principally the federal government, are
subject to audit and adjustment by the agencies. Any disallowed claims, including amounts
already collected, may constitute a liability of the applicable funds. The amount, if any, of
expenditures which may be disallowed by the grantor cannot be determined at this time,
although the City expects such amounts, if any, to be immaterial.
Litigation
The City is involved in various legal actions in which claims of varying amounts are being
asserted against the City. The City follows the practice of providing for these claims only when
they become probable and reasonably determinable in amount. In the opinion of City
management, these actions will not result in a significant change in the City's financial position.
Construction Contracts
Estimated costs to complete significant construction projects in progress at year-end totaled
approximately $2,445,864 for Governmental Fund Types and approximately $5,574,492 for
Enterprise Funds.
11. SUBSEQUENT EVENTS
In November 2004, the citizens of Georgetown passed a $21.4 million bond referendum to build
a new library and expand parks and recreation facilities. These bonds are expected to be issued
as construction project timing demands. The first bonds, for library and recreation center design
work, will be issued in spring 2005.
Bond reimbursement resolutions have been issued for library and recreation center design
($1,235,723), general capital improvements including the design of a fire station ($1,284,775),
and the purchase of a new fire apparatus ($500,000). A reimbursement resolution was also
issued for the capital replacement of police vehicles for $575,565, which funds the 2004/05
budgeted replacement cycle.
The City of Georgetown was named as the recipient of a bequest from Mr. and Mrs. Jack Garey
for their 525 acre ranch and $5 million in cash, which will be used to expand and improve the
City’s park system upon the death of the Gareys. The first transfer of land for 100 acres was
completed in December 2004. The City is obligated to match the funds with $5 million to
improve the land within 3 years after the ranch is deeded to the City.
CITY OF GEORGETOWN, TEXAS
NOTES TO FINANCIAL STATEMENTS
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
59
In November 2004, the citizens of Georgetown approved the adoption of civil service for Police
employees. The rules regarding civil service are discussed under note 1-M. Compensated
Absences.” These rules will become effective for sworn Police employees on October 31, 2005.
In December 2004, the City Council approved an agreement to consent to the creation of a MUD
within the City’s southern extraterritorial jurisdiction (ETJ). The 390 acre project includes 1,220
residential units to be served by City utilities, with infrastructure costs to be reimbursed to the
developer through independently issued MUD debt, to be repaid by the residents within the
MUD.
In December 2004, the City Council approved the partial assignment between Del Webb and
Waterstone Development Group of 1100 acres of the Del Webb Northern Lands for development
as a non-age restricted residential and commercial development. Del Webb continues to have
responsibility under the “Del Webb 7th Amendment”. (see Note 10-F)
CITY OF GEORGETOWN, TEXAS
REQUIRED SUPPLEMENTAL INFORMATION -
TEXAS MUNICIPAL RETIREMENT SYSTEM TREND DATA -
LAST TEN FISCAL YEARS
60
Unfunded UAAL
Actuarial Actuarial Actuarial Annual as a % of
Fiscal Value of Accrued Liability Percentage Accrued Liability Covered Covered
Year (1) Assets (AAL) (1) Funded (UAAL) (1) Payroll Payroll
1995 $ 5,096,380 $ 5,764,962 88.4% $ 668,582 $ 5,158,404 12.9%
1996 5,731,751 6,501,851 88.2% 770,100 5,379,252 14.3%
1997 6,822,635 7,749,553 88.0% 926,918 7,210,336 12.9%
1998 8,007,346 9,049,050 88.5% 1,041,704 7,812,223 13.3%
1999 8,989,024 9,889,405 90.9% 900,381 8,426,312 10.7%
2000 10,556,981 11,677,541 90.4% 1,120,560 8,602,728 13.0%
2001 12,223,288 14,104,239 86.7% 1,880,951 10,127,470 18.6%
2002 13,594,005 16,130,453 84.3% 2,536,448 11,269,422 22.5%
2003 15,549,049 18,658,884 83.3% 3,109,835 12,183,510 25.5%
2004 18,195,567 22,347,396 81.4% 4,151,829 12,183,510 34.1%
Source: Texas Municipal Retirement System ("TMRS") Annual Report and City payroll reports
Notes:
(1) Trend data presented is information as of December 31 of the previous year, which is the fiscal year of the TMRS.
Combining and Individual Fund Financial Statements and Schedules
Nonmajor Governmental Funds
Special Revenue Funds
Special Revenue Funds are used to account for specific revenues that are legally restricted for expenditures for
particular purposes.
Court Fees - to account for the receipt and expenditure of court fees that are legally restricted for court
security and technology.
Fire Billing and Donations - to account for the receipt and expenditures of funds received by the City for
various fire services, including calls for service, donations, abandoned vehicle revenue and inspections.
Library Restricted - to account for the receipt and expenditure of restricted donations such as memorials and
gifts for a designated library purchase or program. Also accounts for the receipt of the Telecommunication
Infrastructure grant for computer hardware and software.
Main Street Façade - to account for the receipt of private donations, grants, and money raised through
special events to provide assistance to building/property owners for maintaining the appearance of the
downtown historic district. Funds are distributed through an application/approval process with either a low-
interest loan or grant.
Mapping - to account for expenditures relating to City-wide mapping projects.
Parks - to account for revenues earned by the City from activities on City park land, which are restricted for
improvements to park land and for parkland dedication fees paid by developers, which are restricted by
zones for new parks. Also accounts for the partial administration of a federal drug prevention grant in
coordination with Georgetown Project.
Police - to account for a grant received from the U.S. Department of Justice Community Oriented Policing
Services (C.O.P.S.) for two patrol officers, a U.S. Department of Justice Local Law Enforcement Block grant
for equipment, an Office of the Governor grant for a Victim Service’s Coordinator, a Texas Department of
Transportation grant for a Selective Traffic Enforcement Project (STEP) related to overtime costs and the
receipt and expenditure of seized and donated funds.
Streets Sales Tax - to account for the receipt and expenditure of revenues collected from the ¼ cent sales
tax approved by the citizens in November 2001 under Texas House Bill 445. The funds are required to be
spent on maintenance of streets that were in existence at the time of adoption of the tax.
Tourism - to account for the receipt and expenditure of funds received by the City from the assessment of
hotel and motel occupancy tax. Usage of funds is restricted to promotion of tourism and arts within the City.
Village Public Improvement District - to account for the receipt and expenditure of the revenues collected
from property assessments paid by Georgetown Village Public Improvement District residents and the
developer to fund maintenance on upgraded parks facilities within the subdivision.
Debt Service Fund
The debt service fund is used to account for the accumulation of resources and payment of general obligation
bond principal and interest from governmental resources and special assessment bond principal and interest
from special assessment levies when the government is obligated in some manner for the payment.
CITY OF GEORGETOWN, TEXAS
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
AS OF SEPTEMBER 30, 2004
FIRE MAIN
COURT BILLING AND LIBRARY STREET
FEES DONATIONS RESTRICTED FACADE MAPPING PARKS POLICE
ASSETS:
Cash and cash equivalents $ 26,923 $ 39,609 $ 16,076 $ 5,600 $ 11,122 $ 89,526 $ 34,367
Investments 54,662 80,418 32,639 11,370 22,581 181,765 69,776
Accounts receivable:
Sales tax
Grants 10,077 5,000
Delinquent taxes
Other 118,281 171,040
TOTAL ASSETS $81,585 $238,308 $48,715 $16,970 $33,703 $452,408 $109,143
LIABILITIES AND FUND BALANCE
Liabilities:
Accounts payable $ 2,180 $ 3,923 $ 92 $ 7,675 $ 18,333 $ 15,535
Due to other funds 1,214
Unearned revenue 118,281 540 188,325
Total liabilities 2,180 122,204 632 7,675 206,658 16,749
Fund Balance:
Reserved for:
Encumbrances 7,940 9,416 540 39,149 21,345
Special programs 71,465 106,688 47,543 $ 16,970 26,028 206,601 71,049
Debt service
Unreserved, designated for:
Capital projects
Total fund balance 79,405 116,104 48,083 16,970 26,028 245,750 92,394
TOTAL LIABILITIES AND FUND BALANCE $81,585 $238,308 $48,715 $16,970 $33,703 $452,408 $109,143
SPECIAL REVENUE FUNDS
VILLAGE
IMPROVEMENT GENERAL STREET DEBT TOTAL
STREETS TOURISM DISTRICT CAPITAL PROJECTS IMPROVEMENTS SERVICE 2004
$ 282,723 $ 72,517 $ 6,423 $ 236,205 $ 821,091
574,015 147,231 908,921 479,567 $ 757,759 3,320,704
182,405 22,372 204,777
15,077
$ 18,110 99,069 117,179
289,321
$1,039,143 $242,120 $18,110 $915,344 $715,772 $856,828 $4,768,149
$ 117,628 $ 33,927 $ 10,258 $ 59,598 $ 118,216 $ 387,365
7,852 9,066
7,825 $ 88,392 403,363
117,628 33,927 18,110 59,598 126,041 88,392 799,794
556,481 53,568 582,119 401,318 1,671,876
365,034 154,625 1,066,003
768,436 768,436
273,627 188,413 462,040
921,515 208,193 855,746 589,731 768,436 3,968,355
$1,039,143 $242,120 $18,110 $915,344 $715,772 $856,828 $4,768,149
SPECIAL REVENUE FUNDS CAPITAL PROJECTS FUNDS
CITY OF GEORGETOWN, TEXAS
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE
NONMAJOR GOVERNMENTAL FUNDS
FISCAL YEAR ENDED SEPTEMBER 30, 2004
FIRE MAIN
COURT BILLING AND LIBRARY STREET
FEES DONATIONS RESTRICTED FAÇADE MAPPING PARKS
REVENUES:
Ad valorem taxes
Grants and entitlements $ 31,090 $ 110,077
Hotel/Motel tax
Property assessments
Sales tax
Court fees $ 50,553
Investment earnings 914 $ 3,125 766 $ 188 $ 248 2,942
Donations 159 49,795
Mapping fees 19,533
Fire incident billings 81,279
Other 61,310 22 102,075
Total revenues 51,467 145,873 81,673 188 19,781 215,094
EXPENDITURES:
Culture - recreation 72,252 250,134
Development 26,073
Fire services 585,737
General government 2,000
Highways and streets
Police 25,057
Capital outlay
Principal retirement
Interest and fiscal charges
Total expenditures 25,057 585,737 72,252 2,000 26,073 250,134
EXCESS (DEFICIENCY) OF REVENUES OVER
EXPENDITURES 26,410 (439,864) 9,421 (1,812) (6,292) (35,040)
OTHER FINANCING SOURCES (USES):
Certificate of obligation bonds issued
Transfers in 3,582 11,200
Transfers out (11,028)
Total other financing sources (uses) (11,028) 3,582 11,200
NET CHANGE IN FUND BALANCE 26,410 (450,892) 9,421 1,770 4,908 (35,040)
FUND BALANCES, Beginning of period 52,995 566,996 38,662 15,200 21,120 280,790
FUND BALANCES, End of period $ 79,405 $ 116,104 $ 48,083 $ 16,970 $ 26,028 $ 245,750
SPECIAL REVENUE FUNDS
VILLAGE
IMPROVEMENT GENERAL STREET DEBT TOTAL
POLICE STREETS TOURISM DISTRICT CAPITAL PROJECTS IMPROVEMENTS SERVICE 2004
$ 2,224,180 $ 2,224,180
$ 67,500 208,667
$ 255,921 255,921
$ 81,916 81,916
$ 1,059,221 1,059,221
50,553
889 7,701 2,417 314 $ 19,314 $ 12,623 17,098 68,539
25,187 75,141
19,533
81,279
15,052 67,253 18,110 81,782 27,550 373,154
108,628 1,066,922 325,591 100,340 101,096 40,173 2,241,278 4,498,104
352,368 115,206 789,960
26,073
585,737
2,000
52,677 52,677
85,938 110,995
327,854 1,237,241 1,064,310 2,629,405
1,262,782 1,262,782
59,029 1,146,741 1,205,770
85,938 380,531 352,368 115,206 1,296,270 1,064,310 2,409,523 6,665,399
22,690 686,391 (26,777) (14,866) (1,195,174) (1,024,137) (168,245) (2,167,295)
2,847,867 2,847,867
14,405 48,874 50,077 87,745 273,037 488,920
(3,582) (1,035,066) (1,049,676)
14,405 48,874 46,495 1,900,546 273,037 2,287,111
37,095 735,265 19,718 (14,866) 705,372 (1,024,137) 104,792 119,816
55,299 186,250 188,475 $ 14,866 150,374 1,613,868 663,644 3,848,539
$ 92,394 $ 921,515 $ 208,193 $ 855,746 $ 589,731 $ 768,436 $ 3,968,355
SPECIAL REVENUE FUNDS CAPITAL PROJECTS FUNDS
CITY OF GEORGETOWN, TEXAS
COURT FEES SPECIAL REVENUE FUND
SCHEDULE OF REVENUES AND EXPENDITURES
BUDGET AND ACTUAL
FISCAL YEAR ENDED SEPTEMBER 30, 2004
ORIGINAL
& FINAL
BUDGET
ACTUAL
BUDGETARY
BASIS
VARIANCE
TO BUDGET
REVENUES:
Court fees $ 35,000 $ 50,553 $ 15,553
Investment earnings 800 914 114
Total revenues 35,800 51,467 15,667
EXPENDITURES:
Capital outlay 74,837 24,852 49,985
Total expenditures 74,837 24,852 49,985
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (39,037) 26,615 65,652
FUND BALANCE, Beginning of period $ 39,037 44,850 5,813
FUND BALANCE - BUDGETARY BASIS,
End of period 71,465 $ 71,465
Adjustments to GAAP:
Reverse current year encumbrances 7,940
FUND BALANCE - GAAP BASIS
End of period $ 79,405
2004
CITY OF GEORGETOWN, TEXAS
FIRE BILLING SPECIAL REVENUE FUND
SCHEDULE OF REVENUES AND EXPENDITURES
BUDGET AND ACTUAL
FISCAL YEAR ENDED SEPTEMBER 30, 2004
ORIGINAL
& FINAL
BUDGET
ACTUAL
BUDGETARY
BASIS
VARIANCE
TO FINAL
BUDGET
REVENUES:
Investment earnings $ 3,125 $ 3,125
Donations $ 1,000 159 (841)
Fire incident billings 95,000 81,280 (13,720)
Other 34,500 61,310 26,810
Total revenues 130,500 145,874 15,374
EXPENDITURES:
Operations 185,000 164,537 20,463
Total expenditures 185,000 164,537 20,463
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (54,500) (18,663) 35,837
FUND BALANCE, Beginning of period 67,568 125,351 57,783
FUND BALANCE - BUDGETARY BASIS,
End of period $ 13,068 106,688 $ 93,620
Adjustments to GAAP:
Reverse current year encumbrances 9,416
FUND BALANCE - GAAP BASIS
End of period $ 116,104
2004
CITY OF GEORGETOWN, TEXAS
LIBRARY RESTRICTED SPECIAL REVENUE FUND
SCHEDULE OF REVENUES AND EXPENDITURES
BUDGET AND ACTUAL
FISCAL YEAR ENDED SEPTEMBER 30, 2004
ORIGINAL
BUDGET
FINAL
BUDGET
ACTUAL
BUDGETARY
BASIS
VARIANCE
TO BUDGET
REVENUES:
Grants and entitlements $ 32,000 $ 31,090 $ (910)
Investment earnings $ 1,100 1,100 765 (335)
Donations 20,000 20,000 49,818 29,818
Total revenues 21,100 53,100 81,673 28,573
EXPENDITURES:
Personnel 22,218 22,218
Operations 2,421 2,421
Capital outlay 48,415 55,776 48,153 7,623
Total expenditures 48,415 80,415 72,792 7,623
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (27,315) (27,315) 8,881 36,196
FUND BALANCE, Beginning of period $ 27,315 $ 27,315 38,662 11,347
FUND BALANCE - BUDGETARY BASIS,
End of period 47,543 $ 47,543
Adjustments to GAAP:
Reverse current year encumbrances 540
FUND BALANCE - GAAP BASIS
End of period $ 48,083
2004
CITY OF GEORGETOWN, TEXAS
MAIN STREET FACADE SPECIAL REVENUE FUND
SCHEDULE OF REVENUES AND EXPENDITURES
BUDGET AND ACTUAL
FISCAL YEAR ENDED SEPTEMBER 30, 2004
ORIGINAL
& FINAL
BUDGET
ACTUAL
BUDGETARY
BASIS
VARIANCE
TO BUDGET
REVENUES:
Investment earnings $ 100 $ 188 $ 88
Donations 200 (200)
Total revenues 300 188 (112)
EXPENDITURES:
Operations 12,807 2,000 10,807
Total expenditures 12,807 2,000 10,807
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (12,507) (1,812) 10,695
OTHER FINANCING SOURCES (USES):
Transfers in 3,582 3,582
Total other financing sources (uses) 3,582 3,582
EXCESS (DEFICIENCY) OF REVENUES AND OTHER
FINANCING SOURCES OVER EXPENDITURES AND
OTHER FINANCING (USES) - BUDGETARY BASIS (12,507) 1,770 14,277
FUND BALANCE, Beginning of period $ 12,507 15,200 2,693
FUND BALANCE - BUDGETARY BASIS,
End of period 16,970 $ 16,970
Adjustments to GAAP:
Reverse current year encumbrances
FUND BALANCE - GAAP BASIS
End of period $ 16,970
2004
CITY OF GEORGETOWN, TEXAS
MAPPING SPECIAL REVENUE FUND
SCHEDULE OF REVENUES AND EXPENDITURES
BUDGET AND ACTUAL
FISCAL YEAR ENDED SEPTEMBER 30, 2004
ORIGINAL
& FINAL
BUDGET
ACTUAL
BUDGETARY
BASIS
VARIANCE
TO BUDGET
REVENUES:
Investment earnings $ 400 $ 248 $ (152)
Mapping fees 18,500 19,533 1,033
Total revenues 18,900 19,781 881
EXPENDITURES:
Operations 39,282 26,073 13,209
Total expenditures 39,282 26,073 13,209
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (20,382) (6,292) 14,090
OTHER FINANCING SOURCES (USES):
Transfers in 11,200 11,200
Total other financing sources (uses) 11,200 11,200
EXCESS (DEFICIENCY) OF REVENUES AND OTHER
FINANCING SOURCES OVER EXPENDITURES AND
OTHER FINANCING (USES) - BUDGETARY BASIS (9,182) 4,908 14,090
FUND BALANCE, Beginning of period $ 9,182 21,120 11,938
FUND BALANCE - BUDGETARY BASIS,
End of period 26,028 $ 26,028
Adjustments to GAAP:
Reverse current year encumbrances
FUND BALANCE - GAAP BASIS
End of period $ 26,028
2004
CITY OF GEORGETOWN, TEXAS
PARKS SPECIAL REVENUE FUND
SCHEDULE OF REVENUES AND EXPENDITURES
BUDGET AND ACTUAL
FISCAL YEAR ENDED SEPTEMBER 30, 2004
2004
ORIGINAL
& FINAL
BUDGET
ACTUAL
BUDGETARY
BASIS
VARIANCE
TO BUDGET
REVENUES:
Grants and entitlements $ 700,000 $ 110,077 $ (589,923)
Investment earnings 3,900 2,943 (957)
Other 128,250 102,075 (26,175)
Total revenues 832,150 215,095 (617,055)
EXPENDITURES:
Operations 755,200 163,426 591,774
Capital outlay 340,515 125,858 214,657
Total expenditures 1,095,715 289,284 806,431
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (263,565) (74,189) 189,376
FUND BALANCE, Beginning of period 282,282 280,790 (1,492)
FUND BALANCE - BUDGETARY BASIS,
End of period $ 18,717 206,601 $ 187,884
Adjustments to GAAP:
Reverse current year encumbrances 39,149
FUND BALANCE - GAAP BASIS
End of period $ 245,750
CITY OF GEORGETOWN, TEXAS
POLICE SPECIAL REVENUE FUNDSCHEDULE OF REVENUES AND EXPENDITURES
BUDGET AND ACTUAL
FISCAL YEAR ENDED SEPTEMBER 30, 2004
ORIGINAL
BUDGET
FINAL
BUDGET
ACTUAL
BUDGETARY
BASIS
VARIANCE
TO BUDGET
REVENUES:
Grants and entitlements $ 93,910 $ 128,910 $ 67,500 $ (61,410)
Investment earnings 1,340 1,340 12,192 10,852
Donations 25,200 25,200 25,187 (13)
Other 3,749 3,749
Total revenues 120,450 155,450 108,628 (46,822)
EXPENDITURES:
Personnel 48,477 48,477 42,681 5,796
Operations 115,078 150,078 64,602 85,476
Total expenditures 163,555 198,555 107,283 91,272
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (43,105) (43,105) 1,345 44,450
OTHER FINANCING SOURCES (USES):
Transfers in 14,405 14,405 14,405
Total other financing sources (uses) 14,405 14,405 14,405
EXCESS (DEFICIENCY) OF REVENUES AND OTHER
FINANCING SOURCES OVER EXPENDITURES AND
OTHER FINANCING (USES) - BUDGETARY BASIS (28,700) (28,700) 15,750 44,450
FUND BALANCE, Beginning of period $ 28,700 $ 28,700 55,299 26,599
FUND BALANCE - BUDGETARY BASIS,
End of period 71,049 $ 71,049
Adjustments to GAAP:
Reverse current year encumbrances 21,345
FUND BALANCE - GAAP BASIS
End of period $ 92,394
2004
CITY OF GEORGETOWN, TEXAS
STREET TAX SPECIAL REVENUE FUND
SCHEDULE OF REVENUES AND EXPENDITURES
BUDGET AND ACTUAL
FISCAL YEAR ENDED SEPTEMBER 30, 2004
ORIGINAL
BUDGET
FINAL
BUDGET
ACTUAL
BUDGETARY
BASIS
VARIANCE
TO BUDGET
REVENUES:
Sales tax $ 1,100,000 $ 1,100,000 $ 1,059,222 $ 40,778
Franchise fees 7,702 (7,702)
Total revenues 1,100,000 1,100,000 1,066,924 (33,076)
EXPENDITURES:
Capital outlay 100,000 238,000 71,464 166,536
Highways and Streets 980,000 980,000 824,703 155,297
Total expenditures 1,080,000 1,218,000 896,167 321,833
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES 20,000 (118,000) 170,757 288,757
OTHER FINANCING SOURCES (USES):
Transfers in 48,874 48,874 48,874
Total other financing sources (uses) 48,874 48,874 48,874
EXCESS (DEFICIENCY) OF REVENUES AND OTHER
FINANCING SOURCES OVER EXPENDITURES AND
OTHER FINANCING (USES) - BUDGETARY BASIS 68,874 (69,126) 219,631 288,757
FUND BALANCE, Beginning of period 100,000 100,000 145,403 45,403
FUND BALANCE - BUDGETARY BASIS,
End of period $ 168,874 $ 30,874 365,034 $ 334,160
Adjustments to GAAP:
Reverse current year encumbrances 556,481
FUND BALANCE - GAAP BASIS
End of period $ 921,515
2004
CITY OF GEORGETOWN, TEXAS
TOURISM SPECIAL REVENUE FUND
SCHEDULE OF REVENUES AND EXPENDITURES
BUDGET AND ACTUAL
FISCAL YEAR ENDED SEPTEMBER 30, 2004
ORIGINAL
BUDGET
FINAL
BUDGET
ACTUAL
BUDGETARY
BASIS
VARIANCE
TO BUDGET
REVENUES:
Hotel/Motel tax $ 250,000 $ 250,000 $ 255,921 $ 5,921
Investment earnings 3,950 3,950 2,418 (1,532)
Other 36,384 57,384 67,253 9,869
Total revenues 290,334 311,334 325,592 14,258
EXPENDITURES:
Personnel 123,253 134,090 132,996 1,094
Operations 226,510 242,490 241,741 749
Total expenditures 349,763 376,580 374,737 1,843
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (59,429) (65,246) (49,145) 16,101
OTHER FINANCING SOURCES (USES):
Transfers in 40,677 50,077 50,077
Transfers out (3,583) (3,582)(1)
Total other financing sources (uses) 40,677 46,494 46,495 (1)
EXCESS (DEFICIENCY) OF REVENUES AND OTHER
FINANCING SOURCES OVER EXPENDITURES AND
OTHER FINANCING (USES) - BUDGETARY BASIS (18,752) (18,752) (2,650) 16,102
FUND BALANCE, Beginning of period 152,842 152,842 157,275 4,433
FUND BALANCE - BUDGETARY BASIS,
End of period $ 134,090 $ 134,090 154,625 $ 20,535
Adjustments to GAAP:
Reverse current year encumbrances 53,568
FUND BALANCE - GAAP BASIS
End of period $ 208,193
2004
CITY OF GEORGETOWN, TEXAS
VILLAGE IMPROVEMENT DISTRICT SPECIAL REVENUE FUND
SCHEDULE OF REVENUES AND EXPENDITURES
BUDGET AND ACTUAL
FISCAL YEAR ENDED SEPTEMBER 30, 2004
ORIGINAL
& FINAL
BUDGET
ACTUAL
BUDGETARY
BASIS
VARIANCE
TO BUDGET
REVENUES:
Property assessments $ 80,758 $ 81,532 $ 774
Investment earnings 500 698 198
Other 15,267 18,110 2,843
Total revenues 96,525 100,340 3,815
EXPENDITURES:
Operations 108,479 108,479
Total expenditures 108,479 108,479
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (11,954) (8,139) 3,815
FUND BALANCE, Beginning of period $ 11,954 $ 8,139 $ (3,815)
FUND BALANCE - BUDGETARY BASIS,
End of period
Adjustments to GAAP:
Reverse current year encumbrances
FUND BALANCE - GAAP BASIS
End of period
2004
CITY OF GEORGETOWN, TEXAS
DEBT SERVICE FUND
SCHEDULE OF REVENUES AND EXPENDITURES
BUDGET AND ACTUAL
FISCAL YEAR ENDED SEPTEMBER 30, 2004
ORIGINAL
BUDGET
FINAL
BUDGET
ACTUAL
BUDGETARY
BASIS
VARIANCE
TO BUDGET
REVENUES:
Ad valorem taxes $ 2,210,000 $ 2,210,000 $ 2,224,180 $ 14,180
Investment earnings 15,000 15,000 17,241 2,241
Total revenues 2,225,000 2,225,000 2,241,421 16,421
EXPENDITURES:
Principal, interest and fiscal charges 2,435,595 2,450,595 2,409,666 40,929
Total expenditures 2,435,595 2,450,595 2,409,666 40,929
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (210,595) (225,595) (168,245) 57,350
OTHER FINANCING SOURCES:
Transfers in 273,037 273,037
Total other financing sources 273,037 273,037
EXCESS (DEFICIENCY) OF REVENUES AND OTHER
FINANCING SOURCES OVER EXPENDITURES AND
OTHER FINANCING SOURCES - BUDGETARY BASIS (210,595) (225,595) 104,792 330,387
FUND BALANCE, Beginning of period 639,777 639,777 663,664 23,887
FUND BALANCE - BUDGETARY BASIS,
End of period $ 429,182 $ 414,182 768,456 $ 354,274
Adjustments to GAAP:
Reverse current year encumbrances
FUND BALANCE - GAAP BASIS
End of period $ 768,456
2004
Supplementary Individual Fund Financial
Statements and Schedules – General Fund
These supplementary statements and schedules are included to provide management
additional information for financial analysis.
CITY OF GEORGETOWN, TEXAS
GENERAL FUND
COMPARATIVE BALANCE SHEETS
AS OF SEPTEMBER 30, 2004 AND 2003
2004 2003
ASSETS:
Cash and cash equivalents $ 1,774,007 $ 1,467,294
Investments 3,595,091 1,473,294
Accounts receivable (net of allowance for uncollectible accounts):
Delinquent taxes 184,268 169,543
Sales taxes 737,779 663,264
Other 139,888 1,015,757
Prepaid items 267,193 223,236
Inventories 2,840
Long-term note receivable 1,491,486 1,789,386
TOTAL ASSETS $ 8,189,712 $ 6,804,614
LIABILITIES AND FUND BALANCE:
Liabilities:
Accounts payable $ 742,278 $ 631,070
Unearned revenue 2,010,629 2,189,439
Total liabilities 2,752,907 2,820,509
Fund Balance:
Reserved for:
Encumbrances 685,155 653,142
Inventories 2,840
Prepaid items 267,193 223,236
Unreserved 4,484,457 3,104,887
Total fund balance 5,436,805 3,984,105
TOTAL LIABILITIES AND FUND BALANCE $ 8,189,712 $ 6,804,614
CITY OF GEORGETOWN, TEXAS
GENERAL FUND
COMPARATIVE STATEMENTS OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCES
FISCAL YEARS ENDED SEPTEMBER 30, 2004 AND 2003
2004 2003
REVENUES:
Property taxes:
Current $ 4,891,350 $ 4,325,913
Delinquent 18,550 29,995
Penalties and interest 83,362 67,423
Other 146,171 136,008
Sales tax 4,217,991 3,721,898
Franchise taxes 1,844,683 1,579,729
Licenses and permits 1,078,048 866,451
Charges for service 818,407 775,864
Fines 634,446 492,054
Donations and grants 2,438 6,000
Investment income 38,662 41,821
Other income 391,438 539,607
Total revenues 14,165,546 12,582,763
EXPENDITURES:
Current:
Culture - recreation 3,719,476 3,354,051
Development 1,888,150 1,547,047
Fire services 3,246,583 3,340,931
General government 1,741,600 1,516,243
Highways and streets 1,879,105 1,273,278
Police 5,474,007 5,221,751
Total expenditures 17,948,921 16,253,301
EXCESS EXPENDITURES OVER REVENUES (3,783,375) (3,670,538)
OTHER FINANCING SOURCES (USES):
Transfers in 5,367,736 4,661,635
Transfers out (131,661) (13,004)
Total other financing sources (uses) 5,236,075 4,648,631
EXCESS OF REVENUES AND
OTHER FINANCING SOURCES OVER
EXPENDITURES AND OTHER FINANCING (USES) 1,452,700 978,093
FUND BALANCES, Beginning of period 3,984,105 3,006,012
FUND BALANCES, End of period $ 5,436,805 $ 3,984,105
CITY OF GEORGETOWN, TEXAS
GENERAL FUND
SCHEDULE OF REVENUES AND EXPENDITURES
BUDGET AND ACTUAL (BUDGETARY BASIS)
FISCAL YEAR ENDED SEPTEMBER 30, 2004 (WITH COMPARATIVE FOR 2003)
2004 ACTUAL 2003 ACTUAL
ORIGINAL FINAL BUDGETARY VARIANCE BUDGETARY
BUDGET BUDGET BASIS TO BUDGET BASIS
REVENUES:
TAXES:
Property tax:
Current $ 4,840,000 $ 4,840,000 $ 4,891,350 $ 51,350 $ 4,325,913
Delinquent 32,000 32,000 18,550 (13,450) 29,995
Penalties and interest 30,000 30,000 83,362 53,362 67,423
Total property tax 4,902,000 4,902,000 4,993,262 91,262 4,423,331
Sales tax 4,400,000 4,400,000 4,217,991 (182,009) 3,721,898
Franchise taxes 1,734,900 1,734,900 1,844,683 109,783 1,579,729
Other 147,000 147,000 146,171 (829) 136,008
Total taxes 11,183,900 11,183,900 11,202,107 18,207 9,860,966
LICENSES AND PERMITS:
Permits and inspection fees 827,625 827,625 1,064,918 237,293 860,506
Licenses 18,000 18,000 13,130 (4,870) 5,945
Total licenses and permits 845,625 845,625 1,078,048 232,423 866,451
CHARGES FOR SERVICES:
Library 42,000 42,000 43,484 1,484 47,667
Animal services 25,000 25,000 33,258 8,258 25,577
Parks and recreation 608,600 608,600 629,398 20,798 596,282
Fire protection 60,000 60,000 60,000 60,000
Police support 52,500 52,500 52,267 (233) 46,337
Total charges for services 788,100 788,100 818,407 30,307 775,863
FINES AND FORFEITURES 527,800 542,800 634,446 91,646 492,054
INTEREST AND OTHER:
Investment income 35,500 35,500 51,341 15,841 68,234
Rent 80,000 80,000 75,235 (4,765) 85,999
Miscellaneous 359,900 359,900 386,006 26,106 481,740
Total interest and other 475,400 475,400 512,582 37,182 635,973
TOTAL REVENUES 13,820,825 13,835,825 14,245,590 409,765 12,631,307
EXPENDITURES:
CULTURE - RECREATION:
Parks:
Personnel 825,337 829,622 829,621 1 767,000
Operations 550,887 553,202 552,996 206 494,824
Capital outlay 105,000 105,000 104,975 25 4,000
Total parks 1,481,224 1,487,824 1,487,592 232 1,265,824
Recreation:
Personnel 401,756 397,197 396,383 814 375,605
Operations 188,772 180,986 180,786 200 177,400
Total recreation 590,528 578,183 577,169 1,014 553,005
(continued)
2004 ACTUAL 2003 ACTUAL
ORIGINAL FINAL BUDGETARY VARIANCE BUDGETARY
BUDGET BUDGET BASIS TO BUDGET BASIS
Recreation programs:
Personnel $ 295,480 $ 308,289 $ 281,104 $ 27,185 $ 295,769
Operations 419,410 420,494 413,208 7,286 396,531
Total recreation 714,890 728,783 694,312 34,471 692,300
Library:
Personnel 621,727 593,719 590,695 3,024 579,499
Operations 261,376 265,936 264,812 1,124 214,504
Capital outlay 90,250 90,250 90,189 61 90,121
Total library 973,353 949,905 945,696 4,209 884,124
TOTAL CULTURE - RECREATION 3,759,995 3,744,695 3,704,769 39,926 3,395,253
DEVELOPMENT:
Administration:
Personnel 294,007 284,079 282,223 1,856 205,274
Operations 105,125 121,428 121,428 211,065
Total administration 399,132 405,507 403,651 1,856 416,339
Current planning:
Personnel 354,909 367,102 353,136 13,966 373,194
Operations 33,858 26,904 25,195 1,709 42,828
Total current planning 388,767 394,006 378,331 15,675 416,022
Long range planning:
Personnel 128,530 130,028 130,028 124,628
Operations 67,390 72,963 72,962 1 32,139
Total long range planning 195,920 202,991 202,990 1 156,767
Inspection services:
Personnel 457,654 456,941 455,510 1,431 465,082
Operations 91,544 92,084 91,665 419 86,490
Total inspection services 549,198 549,025 547,175 1,850 551,572
Code enforcement:
Personnel 285,083 289,045 284,955 4,090 264,812
Operations 69,108 72,298 70,331 1,967 53,241
Total fire prevention 354,191 361,343 355,286 6,057 318,053
TOTAL DEVELOPMENT 1,887,208 1,912,872 1,887,433 25,439 1,858,753
FIRE SERVICES:
Fire administration:
Personnel 240,842 230,978 230,791 187 231,956
Operations 173,774 185,575 185,575 149,436
Total fire administration 414,616 416,553 416,366 187 381,392
Fire operations:
Personnel 2,518,035 2,517,355 2,496,551 20,804 2,407,920
Operations 359,407 347,486 347,485 1 238,970
Total fire operations 2,877,442 2,864,841 2,844,036 20,805 2,646,890
TOTAL FIRE SERVICES 3,292,058 3,281,394 3,260,402 20,992 3,028,282
(continued)
CITY OF GEORGETOWN, TEXAS
GENERAL FUND
SCHEDULE OF REVENUES AND EXPENDITURES
BUDGET AND ACTUAL (BUDGETARY BASIS)
FISCAL YEAR ENDED SEPTEMBER 30, 2004 (WITH COMPARATIVE FOR 2003)
2004 ACTUAL 2003 ACTUAL
ORIGINAL FINAL BUDGETARY VARIANCE BUDGETARY
BUDGET BUDGET BASIS TO BUDGET BASIS
GENERAL GOVERNMENT:
General government:
Operations $ 807,852 $ 807,852 $ 742,731 $ 65,121 $ 730,222
Total general government 807,852 807,852 742,731 65,121 730,222
City council:
Personnel 80,700 82,141 79,964 2,177 77,531
Operations 177,518 176,377 158,351 18,026 123,152
Total city council 258,218 258,518 238,315 20,203 200,683
City manager's office:
Personnel 430,095 450,746 444,233 6,513 413,794
Operations 177,343 177,441 174,230 3,211 160,389
Capital 354,000 348,251 211,115 137,136
Total city manager's office 961,438 976,438 829,578 146,860 574,183
TOTAL GENERAL GOVERNMENT 2,027,508 2,042,808 1,810,624 232,184 1,505,088
HIGHWAYS AND STREETS:
Streets operating:
Personnel 600,970 594,244 574,660 19,584 427,450
Operations 577,026 609,769 609,769 569,924
Capital outlay 724,928 798,911 739,540 59,371 658,345
Total streets operating 1,902,924 2,002,924 1,923,969 78,955 1,655,719
TOTAL HIGHWAYS AND STREETS 1,902,924 2,002,924 1,923,969 78,955 1,655,719
POLICE SERVICES:
Organization and administration:
Personnel 524,369 512,980 509,343 3,637 245,745
Operations 267,316 288,973 288,973 211,562
Total organization and administration 791,685 801,953 798,316 3,637 457,307
Support services bureau:
Personnel 1,573,610 1,375,058 1,368,661 6,397 1,329,736
Operations 182,331 183,467 175,737 7,730 222,084
Capital outlay 6,600 9,241 9,241 60,909
Total support services bureau 1,762,541 1,567,766 1,553,639 14,127 1,612,729
Field operations bureau:
Personnel 2,016,225 2,183,765 2,122,144 61,621 2,025,365
Operations 377,940 384,690 378,051 6,639 546,425
Capital outlay 7,655 7,654 1 48,113
Total field operations bureau 2,394,165 2,576,110 2,507,849 68,261 2,619,903
(continued)
2004 ACTUAL 2003 ACTUAL
ORIGINAL FINAL BUDGETARY VARIANCE BUDGETARY
BUDGET BUDGET BASIS TO BUDGET BASIS
Animal services:
Personnel $ 269,409 $ 270,013 $ 270,013 $ 266,301
Operations 103,325 105,283 105,283 100,347
Total animal services 372,734 375,296 375,296 366,648
Municipal court:
Personnel 165,044 176,694 170,267 $ 6,427 155,251
Operations 68,991 72,341 69,098 3,243 55,126
Capital outlay 1,356
Total municipal court 234,035 249,035 239,365 9,670 211,733
TOTAL POLICE SERVICES 5,555,160 5,570,160 5,474,465 95,695 5,268,320
TOTAL EXPENDITURES 18,424,853 18,554,853 18,061,662 493,191 16,711,415
DEFICIENCY OF REVENUES
OVER EXPENDITURES (4,604,028) (4,719,028) (3,816,072) 902,956 (4,080,108)
OTHER FINANCING SOURCES (USES):
Transfers in 4,204,800 5,429,800 5,367,736 (62,064) 4,661,635
Transfers out (131,661) (131,661) (131,661) (13,004)
Total other financing sources (uses) 4,073,139 5,298,139 5,236,075 (62,064) 4,648,631
EXCESS (DEFICIENCY) OF REVENUES AND
OTHER FINANCING SOURCES OVER
EXPENDITURES AND OTHER FINANCING
(USES) - BUDGETARY BASIS (530,889) 579,111 1,420,003 840,892 568,523
FUND BALANCE - BUDGETARY BASIS,
Beginning of period 3,324,965 3,132,729 3,324,965 192,236 2,756,442
FUND BALANCE - BUDGETARY BASIS,
End of period $ 2,794,076 $ 3,711,840 4,744,968 $ 1,033,128 3,324,965
Adjustments to GAAP:
Reverse current year encumbrances 685,156 653,142
Record net unrealized gain on investments 6,681 5,998
FUND BALANCE - GAAP BASIS, End of period $ 5,436,805 $ 3,984,105
Combining Financial Statements
Nonmajor Proprietary Funds
Enterprise Funds - The City's utilities are accounted for and operated in a manner similar to private
business enterprises. Each utility, accounted for as an independent entity, is an enterprise fund.
Enterprise fund accounting is used where the intent of the City Council is to finance or recover the costs
of providing goods or services to the general public on a continuing basis primarily through user charges
or when the City Council has decided that periodic determination of net income is appropriate for
accountability purposes.
Airport Fund - used to account for revenues and expenses related to the operation and maintenance of
the City's airport. All activities necessary to provide such services are accounted for in this fund
including, but not limited to, administration, operations, maintenance, financing and related debt
service, billing, collection and capital improvements.
Sanitation Fund - used to account for revenues and expenses relating to the operations of the City's
sanitation contract.
Stormwater Drainage Fund - used to account for revenues and expenses related to the operations,
capital projects, and debt service of the stormwater drainage facilities.
Internal Service Fund - This fund is used to account for services performed by one government
organization or department for others.
Fleet Management Fund - The City uses this fund to purchase and account for all major equipment and
vehicles. Each item is assigned an annual lease value which the leasing department pays to the
Internal Service Fund. The annual lease value is determined by the projected replacement cost divided
by the years of useful life of the item. The payments made by the departments enable the Internal
Service Fund to replace equipment and vehicles on a pre-planned schedule to minimize maintenance
costs and reduce safety risks due to worn out equipment and vehicles. The fund also provides
maintenance for all vehicles through the Vehicle Service Center.
Joint Services Fund - The Joint Services Fund is composed of departments which provide services to
more than one city fund. Charges for services provided are determined by allocating each specific
department's cost to the using fund.
Facilities Maintenance Fund - The City uses this fund to account for janitorial service, light
maintenance, painting, landscape maintenance and roofing and air conditioning repairs for all City
buildings. Each building is assigned an annual maintenance cost, which is paid to the Internal Service
Fund by the occupying departments, based on square footage occupied. The payments made by the
departments enable the Internal Service Fund to provide major and minor facility repairs on a pre-
planned schedule to minimize maintenance costs and provide preventative care to reduce long-term
maintenance and replacement costs.
Information Services Fund - The City uses this fund to account for purchases and maintenance of the
City’s computer systems. Each department pays an annual predetermined lease payment, based upon
the equipment the department has. These payments enable the fund to replace older equipment and
upgrade the City’s computer resources and provide assistance in maintenance of equipment. This fund
also provides for the management of the City’s computer systems through personnel in the Information
Services department.
CITY OF GEORGETOWN, TEXAS
COMBINING STATEMENT OF NET ASSETS
NONMAJOR ENTERPRISE FUNDS
AS OF SEPTEMBER 30, 2004
Business-type Activities
Enterprise Funds
STORMWATER TOTAL
AIRPORT SANITATION DRAINAGE NONMAJOR
FUND FUND FUND ENTERPRISE FUNDS
ASSETS:
Current Assets:
Cash and cash equivalents $ 124,398 $ 112,531 $ 236,929
Investments 252,565 228,472 481,037
Accounts receivable:
Services (net of allowance for uncollectibles) 122,875 $ 384,187 165,915 672,977
Other 789 789
Inventories 12,691 12,691
Total current assets 513,318 384,187 506,918 1,404,423
Noncurrent Assets:
Deferred charges - bond issuance costs 17,500 66,177 83,677
Capital assets:
Land and land rights 981,500 981,500
Distribution system 7,844,621 7,844,621
Buildings and improvements 7,597,187 7,597,187
Machinery, furniture and equipment 127,577 52,000 14,050 193,627
Construction in progress 50,000 45,975 95,975
Less accumulated depreciation (3,903,006) (52,000) (681,782) (4,636,788)
Total capital assets (net of accumulated depreciation)4,853,258 7,222,864 12,076,122
Total noncurrent assets 4,870,758 7,289,041 12,159,799
TOTAL ASSETS $ 5,384,076 $ 384,187 $ 7,795,959 $ 13,564,222
LIABILITIES AND NET ASSETS:
Liabilities:
Current liabilities:
Accounts payable $ 44,844 $ 240,145 $ 23,399 $ 308,388
Compensated absence 11,510 13,760 25,270
Due to other funds 113,836 113,836
Current portion of long-term debt 100,120 137,119 237,239
Accrued interest 11,051 16,699 27,750
Total current liabilities 167,525 353,981 190,977 712,483
Noncurrent liabilities:
Compensated absence 25,104 27,559 52,663
Long-term debt 1,705,644 2,318,682 4,024,326
Total noncurrent liabilities 1,730,748 2,346,241 4,076,989
Total liabilities 1,898,273 353,981 2,537,218 4,789,472
Net Assets:
Invested in capital assets (net of related debt) 3,047,494 4,767,063 7,814,557
Unrestricted 438,309 30,206 491,678 960,193
Total net assets 3,485,803 30,206 5,258,741 8,774,750
TOTAL LIABILITIES AND NET ASSETS $ 5,384,076 $ 384,187 $ 7,795,959 $ 13,564,222
CITY OF GEORGETOWN, TEXAS
COMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN FUND NET ASSETS
NONMAJOR ENTERPRISE FUNDS
FISCAL YEAR ENDED SEPTEMBER 30, 2004
Business-type Activities
Enterprise Funds
STORMWATER TOTAL
AIRPORT SANITATION DRAINAGE NONMAJOR
FUND FUND FUND ENTERPRISE FUNDS
OPERATING REVENUES:
Waste $ 2,887,822 $ 2,887,822
Other $ 1,667,153 44,658 $ 1,331,961 3,043,772
Total operating revenues 1,667,153 2,932,480 1,331,961 5,931,594
OPERATING EXPENSES:
Depreciation 424,212 188,672 612,884
Utility contracts 2,740,495 2,740,495
Other 1,443,140 760,702 2,203,842
Total operating expenses 1,867,352 2,740,495 949,374 5,557,221
NET OPERATING INCOME (LOSS) (200,199) 191,985 382,587 374,373
NONOPERATING REVENUES (EXPENSES):
Investment earnings 5,243 14,937 20,180
Donations and grants 181 181
Interest and fiscal charges (95,473) (37,502) (132,975)
Other 48,083 48,083
Total nonoperating revenues (expenses) (41,966) (22,565) (64,531)
INCOME BEFORE CONTRIBUTIONS
AND TRANSFERS (242,165) 191,985 360,022 309,842
CONTRIBUTIONS AND TRANSFERS:
Capital contributions 3,252,691 3,252,691
Transfers out (234,598) (106,557) (341,155)
Total contributions and transfers (234,598) 3,146,134 2,911,536
CHANGE IN NET ASSETS (242,165) (42,613) 3,506,156 3,221,378
TOTAL NET ASSETS - beginning 3,727,968 72,819 1,752,585 5,553,372
TOTAL NET ASSETS - ending $ 3,485,803 $ 30,206 $ 5,258,741 $ 8,774,750
CITY OF GEORGETOWN, TEXAS
COMBINING STATEMENT OF CASH FLOWS
NONMAJOR ENTERPRISE FUNDS
FISCAL YEAR ENDED SEPTEMBER 30, 2004
Business-type Activities
Enterprise Funds
STORMWATER TOTAL
AIRPORT SANITATION DRAINAGE NONMAJOR
FUND FUND FUND ENTERPRISE FUNDS
CASH FLOWS FROM OPERATING ACTIVITIES:
Cash received from customers $ 1,668,334 $ 2,882,050 $ 1,308,166 $ 5,858,550
Payments to suppliers (1,261,793) (2,631,584) (527,210) (4,420,587)
Franchise fees (58,650) (26,639) (85,289)
Payments to employees for services (200,527) (223,678) (424,205)
Net cash provided by operating activities 206,014 191,816 530,639 928,469
CASH FLOWS FROM NONCAPITAL
FINANCING ACTIVITIES
Transfers out (234,598) (106,557) (341,155)
Payments from (to) other funds 42,782 42,782
Net cash provided by (used for) noncapital
financing activities $(191,816) (106,557) (298,373)
CASH FLOWS FROM CAPITAL AND
RELATED FINANCING ACTIVITES:
Acquisition of capital assets (50,000) (160,565) (210,565)
Donations and grants 181 181
Principal paid on revenue and certificates of obligation bonds (128,727) (123,740) (252,467)
Interest paid on revenue and certificates of obligation bonds (95,132) (32,802) (127,934)
Net cash provided by (used for) capital and related
financing activities (273,678) (317,107) (590,785)
CASH FLOWS FROM INVESTING ACTIVITIES:
Interest received 5,243 14,937 20,180
Change in temporary investments (32,873) (136,076) (168,949)
Net cash provided by (used for) investing activities (27,630) (121,139) (148,769)
Net increase (decrease) in cash and cash equivalents (95,294) (14,164) (109,458)
Cash and cash equivalents at beginning of year 219,692 126,695 346,387
Cash and cash equivalents at end of year 124,398 112,531 236,929
Classified as:
Current assets 124,398 112,531 236,929
Restricted assets
Total $124,398 $112,531 $236,929
Non-cash disclosure
Developer contributions $ 3,252,691 $ 3,252,691
(continued)
CITY OF GEORGETOWN, TEXAS
COMBINING STATEMENT OF CASH FLOWS
NONMAJOR ENTERPRISE FUNDS
FISCAL YEAR ENDED SEPTEMBER 30, 2004
Business-type Activities
Enterprise Funds
STORMWATER TOTAL
AIRPORT SANITATION DRAINAGE NONMAJOR
FUND FUND FUND ENTERPRISE FUNDS
OPERATING INCOME (LOSS)$ (200,199) $ 191,985 $ 382,587 $ 374,373
Adjustments to reconcile operating income (loss) to
cash provided by (used in) operating activities:
Depreciation 424,212 188,672 612,884
Other income 48,083 48,083
Bad debt expense (345) (175) (520)
Decrease (increase) in inventories (2,013) (2,013)
Decrease (increase) in accounts receivable (46,902) (50,085) (23,620) (120,607)
Increase (decrease) in accounts payable (15,879) 50,261 (17,242) 17,140
Increase (decrease) in compensated absences payable (1,288) 417 (871)
Net cash provided by operating activities $206,014 $191,816 $530,639 $928,469
INTERNAL SERVICE FUNDS
AS OF SEPTEMBER 30, 2004
JOINT
SERVICES TOTALS
FUND 2004
ASSETS:
Current:
Cash and cash equivalents $ 55,566 $ 181,665 $ 9,398 $ 57,195 $ 303,824
Investments 112,816 368,835 19,080 116,123 616,854
Prepaid expense 700 2,496 3,196
Accounts receivable 64,917 64,917
Inventories 194,766 194,766
Total current assets 168,382 810,883 30,974 173,318 1,183,557
Property and equipment:
Buildings and improvements 527,058 527,058
Machinery, furniture and equipment 10,005,739 2,055,664 211,917 1,417,128 13,690,448
Capital lease 452,109 452,109
Total property and equipment cost 10,005,739 2,055,664 738,975 1,869,237 14,669,615
Less accumulated depreciation (4,795,286) (1,795,645) (438,142) (1,272,624) (8,301,697)
Net property and equipment 5,210,453 260,019 300,833 596,613 6,367,918
TOTAL ASSETS $ 5,378,835 $ 1,070,902 $ 331,807 $ 769,931 $ 7,551,475
LIABILITIES AND NET ASSETS:
Liabilities:
Current liabilities:
Accounts payable $ 10,470 $ 419,211 $ 12,903 $ 29,573 $ 472,157
Capital lease payable 128,194 128,194
Compensated absences 9,731 3,341 24,161 37,233
Total current liabilities 20,201 419,211 16,244 181,928 637,584
Long term liabilities:
Capital lease payable 240,592 240,592
Compensated absences 19,971 7,142 48,900 76,013
Total liabilities 40,172 419,211 23,386 471,420 954,189
Net Assets:
Invested in capital assets (net of related debt) 5,210,453 260,019 300,833 227,827 5,999,132
Unreserved 128,210 391,672 7,588 70,684 598,154
Total net assets 5,338,663 651,691 308,421 298,511 6,597,286
TOTAL LIABILITIES AND NET ASSETS $ 5,378,835 $ 1,070,902 $ 331,807 $ 769,931 $ 7,551,475
FUND FUND
FACILITIES
MAINTENANCE
FUND
CITY OF GEORGETOWN, TEXAS
INFORMATION
SERVICES
FLEET
MANAGEMENT
COMBINING STATEMENT OF NET ASSETS
CITY OF GEORGETOWN, TEXAS
COMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN FUND NET ASSETS
INTERNAL SERVICE FUNDS
FISCAL YEAR ENDED SEPTEMBER 30, 2004
FLEET JOINT FACILITIES INFORMATION
MANAGEMENT SERVICES MAINTENANCE SERVICES
FUND FUND FUND FUND 2004
OPERATING REVENUES - Charges for services $ 1,137,507 $ 4,737,829 $ 618,251 $ 1,330,405 $ 7,823,992
OPERATING EXPENSES:
Administration 664,150 664,150
Accounting 484,365 484,365
City wide HR services 398,053 398,053
Customer service 116,507 116,507
Economic development administration 261,394 261,394
Employee and organizational services 364,458 364,458
Facilities maintenance contracts 477,403 477,403
Facilities maintenance services 110,078 110,078
Finance and administration 377,995 377,995
Fleet management operations 239,640 239,640
Information resources 679,202 679,202
Information resources capital replacement & contracts 603,028 603,028
Joint services contracts 416,910 416,910
Legal services 375,053 375,053
Purchasing and properties 368,712 368,712
Service center 520,485 520,485
Systems engineering 506,085 506,085
Utility office 730,394 730,394
Depreciation 780,310 6,359 48,391 211,039 1,046,099
Total operating expenses 1,540,435 5,070,435 635,872 1,493,269 8,740,011
NET OPERATING INCOME (LOSS)(402,928) (332,606) (17,621) (162,864) (916,019)
NONOPERATING REVENUES (EXPENSES):
Investment earnings 5,935 13,936 3,537 7,256 30,664
Loss on sale of assets (60,989)(60,989)
Other 85,251 171,308 466 257,025
Total nonoperating revenues (expenses) 30,197 185,244 3,537 7,722 226,700
INCOME BEFORE CONTRIBUTIONS AND TRANSFERS (372,731) (147,362) (14,084) (155,142) (689,319)
CONTRIBUTIONS AND TRANSFERS:
Capital contributions 474,904 1,696 476,600
Transfers in 1,146,465 225,000 3,558 1,375,023
Transfers out (60,874) (44,299) (105,173)
Total contributions and transfers 1,560,495 180,701 1,696 3,558 1,746,450
CHANGE IN NET ASSETS 1,187,764 33,339 (12,388) (151,584) 1,057,131
NET ASSETS, Beginning of period 4,150,899 618,352 320,809 450,095 5,540,155
NET ASSETS, End of period $ 5,338,663 $ 651,691 $ 308,421 $ 298,511 $ 6,597,286
TOTAL
CITY OF GEORGETOWN, TEXAS
COMBINING STATEMENT OF CASH FLOWS
INTERNAL SERVICE FUNDS
FISCAL YEAR ENDED SEPTEMBER 30, 2004
FLEET JOINT FACILITIES INFORMATION
MANAGEMENT SERVICES MAINTENANCE SERVICES TOTALS
FUND FUND FUND FUND 2004
CASH FLOWS FROM OPERATING ACTIVITIES:
Department contributions $ 1,145,376 $ 4,716,892 $ 618,251 $ 1,330,405 $ 7,810,924
Payments to suppliers (564,619) (1,929,930) (511,651) (635,871) (3,642,071)
Payments to employees for services (224,581) (2,960,171) (81,469) (531,271) (3,797,492)
Net cash provided by (used for) operating activities 356,176 (173,209) 25,131 163,263 371,361
CASH FLOWS FROM NONCAPITAL
FINANCING ACTIVITIES
Transfers in 1,146,465 225,000 3,558 1,375,023
Transfers out (60,874) (44,299) (105,173)
Net cash provided by (used for) noncapital
financing activities 1,085,591 180,701 3,558 1,269,850
CASH FLOWS FROM CAPITAL AND
RELATED FINANCING ACTIVITES:
Acquisition of capital assets (1,503,148) (9,521) (50,961) (283,120) (1,846,750)
Reduction in capital lease 81,301 81,301
Proceeds from sale of assets 54,950 54,950
Net cash provided by (used for) capital and related
financing activities (1,448,198) (9,521) (50,961) (201,819) (1,710,499)
CASH FLOWS FROM INVESTING ACTIVITIES:
Interest received 5,935 13,936 3,537 7,255 30,663
Change in temporary investments (28,377) (99,539) 6,306 (15,592) (137,202)
Net cash provided by (used for) investing activities (22,442) (85,603) 9,843 (8,337) (106,539)
Net increase (decrease) in cash (28,873) (87,632) (15,987) (43,335) (175,827)
Cash and cash equivalents at beginning of year 84,439 269,297 25,385 100,530 479,651
Cash and cash equivalents at end of year 55,566 181,665 9,398 57,195 303,824
Classified as:
Current assets 55,566 181,665 9,398 57,195 303,824
Total $55,566 $181,665 $9,398 $57,195 $303,824
Non-cash disclosure
Equity transfer $ 4,700 $4,700
Equipment acquired with capital lease $ 283,120 $283,120
Governmental transfers to internal service funds $474,904 $ 1,696 $476,600
(continued)
CITY OF GEORGETOWN, TEXAS
STATEMENT OF CASH FLOWS INTERNAL SERVICE FUNDS
RECONCILIATION OF OPERATING INCOME
TO NET CASH PROVIDED BY OPERATING ACTIVITIES
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2004
FLEET JOINT FACILITIES INFORMATION
MANAGEMENT SERVICES MAINTENANCE SERVICES
FUND FUND FUND FUND 2004
OPERATING INCOME (LOSS)$ (402,928) $ (332,606) $ (17,621) $ (162,864) $ (916,019)
Adjustments to reconcile operating income (loss) to
cash provided by (used in) operating activities:
Depreciation 780,310 6,359 48,391 211,039 1,046,099
Other income 30,302 171,308 466 202,076
Decrease (increase) in prepaid expenses (700) (700)
Decrease (increase) in inventories (487) (487)
Decrease (increase) in accounts receivable 7,869 (20,937) (13,068)
Increase (decrease) in accounts payable (60,213) 3,854 (7,744) 95,026 30,923
Increase (decrease) in compensated absences payable 836 2,105 19,596 22,537
Net cash provided by (used for) operating activities $356,176 $(173,209)$25,131 $163,263 $371,361
TOTALS
Supplementary Individual Fund
Financial Statements – Enterprise Funds
These supplementary statements are included to provide management additional information for
financial analysis.
CITY OF GEORGETOWN, TEXAS
ELECTRIC FUND
COMPARATIVE STATEMENTS OF NET ASSETS
AS OF SEPTEMBER 30, 2004 and 2003
TOTALS
2004 2003
ASSETS:
Current Assets:
Cash and cash equivalents $ 398,578 $ 478,112
Cash and cash equivalents - restricted 190,394 271,500
Investments 804,869 482,196
Investments - restricted 386,558 271,500
Accounts receivable:
Services (net of allowance for uncollectibles) 4,878,799 4,635,739
Other 20,276 23,942
Due from other funds 515,593
Inventories 1,502,689 1,214,174
Total current assets 8,182,163 7,892,756
Noncurrent Assets:
Long-term note receivables 48,235
Deferred charges - bond issuance costs 307,753 318,166
Total noncurrent assets 307,753 366,401
Property, Plant and Equipment:
Land and land rights 193,735 193,735
Distribution system 44,363,262 41,476,839
Buildings and improvements 73,707 404,000
Machinery, furniture and equipment 496,664 546,758
Total cost property and equipment 45,127,368 42,621,332
Less accumulated depreciation (14,388,715) (12,856,110)
Net property and equipment 30,738,653 29,765,222
TOTAL ASSETS $ 39,228,569 $ 38,024,379
LIABILITIES AND NET ASSETS:
Liabilities:
Current liabilities:
Accounts payable $ 2,379,376 $ 3,463,456
Compensated absence 76,868 73,881
Current portion of long-term debt 765,552 689,465
Accrued interest 63,810 56,234
Total current liabilities 3,285,606 4,283,036
Current liabilities payable from restricted assets:
Customer deposits 576,953 543,000
Total current liabilities payable from restricted assets 576,953 543,000
Long term liabilities:
Compensated absence 154,643 143,446
Long-term debt 9,293,036 8,584,155
Total liabilities 13,310,238 13,553,637
Net Assets:
Invested in capital assets (net of related debt) 20,680,065 20,491,602
Restricted for:
Future construction 120,420
Unrestricted 5,238,266 3,858,720
Total net assets 25,918,331 24,470,742
TOTAL LIABILITIES AND NET ASSETS $ 39,228,569 $ 38,024,379
CITY OF GEORGETOWN, TEXAS
ELECTRIC FUND
COMPARATIVE STATEMENTS OF REVENUES, EXPENSES AND CHANGES IN FUND NET ASSETS
FISCAL YEARS ENDED SEPTEMBER 30, 2004 AND 2003
2004 2003
OPERATING REVENUES:
Electric services $ 29,199,618 $ 25,916,557
Other:
Penalties 301,900 308,843
Connection and hookup fees 651,424 463,996
Total other 953,324 772,839
TOTAL OPERATING REVENUES 30,152,942 26,689,396
OPERATING EXPENSES:
Electric operations:
Personnel 1,301,435 1,072,704
Operations 1,029,800 817,261
Total electric operations 2,331,235 1,889,965
Depreciation 1,889,471 1,738,143
Electric contracts 21,518,386 19,839,696
TOTAL OPERATING EXPENSES 25,739,092 23,467,804
NET OPERATING INCOME 4,413,850 3,221,592
NONOPERATING REVENUES (EXPENSES):
Investment earnings 46,466 38,132
Interest and fiscal charges (497,981) (489,703)
Other 508,437 574,119
Total nonoperating revenues (expenses) 56,922 122,548
INCOME BEFORE CONTRIBUTIONS AND TRANSFERS 4,470,772 3,344,140
CONTRIBUTIONS AND TRANSFERS:
Capital contributions 613,926
Transfers in
Transfers out (3,637,109) (3,090,059)
Total contributions and transfers (3,023,183) (3,090,059)
CHANGE IN NET ASSETS 1,447,589 254,081
NET ASSETS, Beginning of period 24,470,742 24,216,661
NET ASSETS, End of period $ 25,918,331 $ 24,470,742
CITY OF GEORGETOWN, TEXAS
WATER SERVICES FUND
COMPARATIVE STATEMENTS OF NET ASSETS
AS OF SEPTEMBER 30, 2004 and 2003
TOTALS
2004 2003
ASSETS:
Current Assets:
Cash and cash equivalents $ 3,034,938 $ 4,210,506
Cash and cash equivalents - restricted 1,036,304
Investments 5,779,605 4,177,682
Investments - restricted 2,478,649
Prepaid expenses 929,671 1,121,049
Accounts receivable:
Services (net of allowance for uncollectibles) 2,421,924 3,137,454
Due from other funds 122,902
Total current assets 15,803,993 12,646,691
Noncurrent Assets:
Long-term note receivables 9,673,781 11,573,750
Deferred charges - bond issuance costs 1,010,365 1,066,561
Total noncurrent assets 10,684,146 12,640,311
Property, Plant and Equipment:
Land and land rights 475,070 475,070
Distribution system 100,570,493 79,449,313
Buildings and improvements 3,019,794 3,005,294
Machinery, furniture and equipment 207,947 199,387
Construction in progress 4,985,311 11,384,576
Total cost property and equipment 109,258,615 94,513,640
Less accumulated depreciation (20,907,067) (18,819,126)
Net property and equipment 88,351,548 75,694,514
TOTAL ASSETS $ 114,839,687 $ 100,981,516
LIABILITIES AND NET ASSETS:
Liabilities:
Current liabilities:
Accounts payable $ 663,885 $ 765,429
Compensated absence 61,405 57,752
Current portion of long-term debt 2,101,330 1,845,286
Accrued interest 177,396 149,613
Total current liabilities 3,004,016 2,818,080
Current liabilities payable from restricted assets:
Construction contracts and retainages payable 243,643 587,185
Total current liabilities payable from restricted assets 243,643 587,185
Long term liabilities:
Compensated absence 126,008 116,352
Deferred revenue 1,264,924 99,936
Long-term debt 26,743,846 23,379,610
Total liabilities 31,382,437 27,001,163
Net Assets:
Invested in capital assets (net of related debt) 59,506,372 50,469,618
Restricted for:
Future construction 389,312 723,805
Unrestricted 23,561,566 22,786,930
Total net assets 83,457,250 73,980,353
TOTAL LIABILITIES AND NET ASSETS $ 114,839,687 $ 100,981,516
CITY OF GEORGETOWN, TEXAS
WATER SERVICES FUND
COMPARATIVE STATEMENTS OF REVENUES, EXPENSES AND CHANGES IN FUND NET ASSETS
FISCAL YEARS ENDED SEPTEMBER 30, 2004 AND 2003
2004 2003
OPERATING REVENUES:
Water/Irrigation:
Water services $ 8,809,186 $ 8,814,789
Wastewater services 5,425,273 4,929,301
Irrigation services 130,498 166,751
Water taps 717,469 737,452
Total water/irrigation 15,082,426 14,648,293
Other:
Penalties 181,388 188,979
Connection and hookup fees 77,110 62,453
Service fees 159,377 2,261,386
Total other 417,875 2,512,818
TOTAL OPERATING REVENUES 15,500,301 17,161,111
OPERATING EXPENSES:
Water services distribution:
Personnel 1,014,193 587,592
Operations 1,816,913 1,001,025
Total water services distribution 2,831,106 1,588,617
Depreciation 2,224,838 2,130,876
Water services plant management 2,438,397 2,598,131
Water services contracts 4,301,102 4,206,469
TOTAL OPERATING EXPENSES 11,795,443 10,524,093
NET OPERATING INCOME 3,704,858 6,637,018
NONOPERATING REVENUES (EXPENSES):
Investment earnings 377,521 117,819
Interest and fiscal charges (1,422,905) (1,179,116)
Other 1,184,751 1,616,742
Total nonoperating revenue (expenses) 139,367 555,445
INCOME BEFORE CONTRIBUTIONS,
EXTRAORDINARY ITEMS, AND TRANSFERS 3,844,225 7,192,463
CONTRIBUTIONS, EXTRAORDINARY ITEMS,
AND TRANSFERS:
Capital contributions 7,326,368 1,213,867
Extraordinary item - SIP 11,518,384
Transfers out (1,693,696) (1,600,835)
Total contributions, extraordinary item, and transfers 5,632,672 11,131,416
CHANGE IN NET ASSETS 9,476,897 18,323,879
NET ASSETS, Beginning of period 73,980,353 55,656,474
NET ASSETS, End of period $ 83,457,250 $ 73,980,353
CITY OF GEORGETOWN, TEXAS
AIRPORT FUND
COMPARATIVE STATEMENTS OF NET ASSETS
AS OF SEPTEMBER 30, 2004 and 2003
TOTALS
2004 2003
ASSETS:
Current Assets:
Cash and cash equivalents $ 124,398 $ 219,692
Investments 252,565 219,692
Accounts receivable:
Services (net of allowance for uncollectibles) 122,875 75,973
Other 789 790
Inventories 12,691 10,678
Total current assets 513,318 526,825
Noncurrent Assets:
Deferred charges - bond issuance costs 17,500 18,750
Total noncurrent assets 17,500 18,750
Property, Plant and Equipment:
Land and land rights 981,500 981,500
Buildings and improvements 7,597,187 7,597,187
Machinery, furniture and equipment 127,577 127,577
Construction in progress 50,000
Total cost property and equipment 8,756,264 8,706,264
Less accumulated depreciation (3,903,006) (3,478,794)
Net property and equipment 4,853,258 5,227,470
TOTAL ASSETS $ 5,384,076 $ 5,773,045
LIABILITIES AND NET ASSETS:
Liabilities:
Current liabilities:
Accounts payable $ 44,844 $ 60,723
Compensated absence 11,510 11,810
Current portion of long-term debt 100,120 128,574
Accrued interest 11,051 11,960
Total current liabilities 167,525 213,067
Long term liabilities:
Compensated absence 25,104 26,093
Long-term debt 1,705,644 1,805,917
Total liabilities 1,898,273 2,045,077
Net Assets:
Invested in capital assets (net of related debt) 3,047,494 3,292,979
Unrestricted 438,309 434,989
Total net assets 3,485,803 3,727,968
TOTAL LIABILITIES AND NET ASSETS $ 5,384,076 $ 5,773,045
CITY OF GEORGETOWN, TEXAS
AIRPORT FUND
COMPARATIVE STATEMENTS OF REVENUES, EXPENSES AND CHANGES IN FUND NET ASSETS
FISCAL YEARS ENDED SEPTEMBER 30, 2004 AND 2003
2004 2003
OPERATING REVENUES:
Fuel sales $ 1,223,120 $ 989,501
Contract leases 125,775 125,425
Hangar/tiedown rental fees 314,769 339,985
Terminal sales 3,489 4,613
TOTAL OPERATING REVENUES 1,667,153 1,459,524
OPERATING EXPENSES:
Administration:
Personnel 199,239 208,621
Operations 1,243,901 1,039,826
Total administration 1,443,140 1,248,447
Depreciation 424,212 424,562
TOTAL OPERATING EXPENSES 1,867,352 1,673,009
NET OPERATING LOSS (200,199) (213,485)
NONOPERATING REVENUES (EXPENSES)
Investment earnings 5,243 9,930
Interest and fiscal charges (95,473) (100,919)
Donations and grants 181 12,861
Other 48,083 55,091
Total nonoperating revenues (expenses) (41,966) (23,037)
CHANGE IN NET ASSETS (242,165) (236,522)
NET ASSETS, Beginning of period 3,727,968 3,964,490
NET ASSETS, End of period $ 3,485,803 $ 3,727,968
CITY OF GEORGETOWN, TEXAS
SANITATION FUND
COMPARATIVE STATEMENTS OF NET ASSETS
AS OF SEPTEMBER 30, 2004 and 2003
TOTALS
2004 2003
ASSETS:
Current Assets:
Accounts receivable:
Services (net of allowance for uncollectibles) $ 384,187 $ 333,756
Total current assets 384,187 333,756
Property, Plant and Equipment:
Machinery, furniture and equipment 52,000 52,000
Total cost property and equipment 52,000 52,000
Less accumulated depreciation (52,000) (52,000)
Net property and equipment
TOTAL ASSETS $ 384,187 $ 333,756
LIABILITIES AND NET ASSETS:
Liabilities:
Current liabilities:
Accounts payable $ 240,145 $ 189,884
Due to other funds 113,836 71,053
Total current liabilities 353,981 260,937
Net Assets:
Unrestricted 30,206 72,819
Total net assets 30,206 72,819
TOTAL LIABILITIES AND NET ASSETS $ 384,187 $ 333,756
CITY OF GEORGETOWN, TEXAS
SANITATION FUND
COMPARATIVE STATEMENTS OF REVENUES, EXPENSES AND CHANGES IN FUND NET ASSETS
FISCAL YEARS ENDED SEPTEMBER 30, 2004 AND 2003
2004 2003
OPERATING REVENUES:
Sanitation:
Sanitation services $ 2,887,822 $ 2,744,373
Landfill fees
Total sanitation 2,887,822 2,744,373
Other:
Penalties 31,249 36,706
Connection and hookup fees 13,409 10,388
Total other 44,658 47,094
TOTAL OPERATING REVENUES 2,932,480 2,791,467
OPERATING EXPENSES:
Sanitation contracts 2,740,495 2,577,159
TOTAL OPERATING EXPENSES 2,740,495 2,577,159
NET OPERATING INCOME 191,985 214,308
INCOME BEFORE TRANSFERS 191,985 214,308
TRANSFERS (OUT):
Transfers out (234,598) (223,317)
Total transfers (out) (234,598) (223,317)
CHANGE IN NET ASSETS (42,613) (9,009)
NET ASSETS, Beginning of period 72,819 81,828
NET ASSETS, End of period $ 30,206 $ 72,819
CITY OF GEORGETOWN, TEXAS
STORMWATER DRAINAGE FUND
COMPARATIVE STATEMENTS OF NET ASSETS
AS OF SEPTEMBER 30, 2004 and 2003
TOTALS
2004 2003
ASSETS:
Current Assets:
Cash and cash equivalents $ 112,531 $ 100,868
Cash and cash equivalents - restricted 25,827
Investments 228,472 92,396
Accounts receivable:
Services (net of allowance for uncollectibles) 165,915 142,121
Total current assets 506,918 361,212
Noncurrent Assets:
Deferred charges - bond issuance costs 66,177 71,630
Total noncurrent assets 66,177 71,630
Property, Plant and Equipment:
Distribution system 7,844,621 4,451,329
Machinery, furniture and equipment 14,050 14,050
Construction in progress 45,975 26,010
Total cost property and equipment 7,904,646 4,491,389
Less accumulated depreciation (681,782) (493,110)
Net property and equipment 7,222,864 3,998,279
TOTAL ASSETS $ 7,795,959 $ 4,431,121
LIABILITIES AND NET ASSETS:
Liabilities:
Current liabilities:
Accounts payable $ 23,399 $ 40,641
Compensated absence 13,760 14,017
Current portion of long-term debt 137,119 123,740
Accrued interest 16,699 17,452
Total current liabilities 190,977 195,850
Long term liabilities:
Compensated absence 27,559 26,885
Long-term debt 2,318,682 2,455,801
Total liabilities 2,537,218 2,678,536
Net Assets:
Invested in capital assets (net of related debt) 4,767,063 1,418,738
Unrestricted 491,678 333,847
Total net assets 5,258,741 1,752,585
TOTAL LIABILITIES AND NET ASSETS $ 7,795,959 $ 4,431,121
CITY OF GEORGETOWN, TEXAS
STORMWATER DRAINAGE FUND
COMPARATIVE STATEMENTS OF REVENUES, EXPENSES AND CHANGES IN FUND NET ASSETS
FISCAL YEARS ENDED SEPTEMBER 30, 2004 AND 2003
2004 2003
OPERATING REVENUES:
Stormwater drainage fees $ 1,314,241 $ 1,196,006
Other:
Penalties 11,467 9,178
Service fees 6,253 3,948
Total other 17,720 13,126
TOTAL OPERATING REVENUES 1,331,961 1,209,132
OPERATING EXPENSES:
Stormwater drainage:
Personnel 224,095 216,327
Operations 536,607 452,047
Total stormwater drainage 760,702 668,374
Depreciation 188,672 133,034
TOTAL OPERATING EXPENSES 949,374 801,408
NET OPERATING INCOME 382,587 407,724
NONOPERATING REVENUES (EXPENSES):
Investment earnings 14,937 (6,016)
Interest and fiscal charges (37,502) (40,184)
Total nonoperating revenue (expenses) (22,565) (46,200)
INCOME BEFORE CONTRIBUTIONS AND TRANSFERS 360,022 361,524
CONTRIBUTIONS AND TRANSFERS:
Capital contributions 3,252,691
Transfers out (106,557) (164,341)
Total contributions and transfers 3,146,134 (164,341)
CHANGE IN NET ASSETS 3,506,156 197,183
NET ASSETS, Beginning of period 1,752,585 1,555,402
NET ASSETS, End of period $ 5,258,741 $ 1,752,585
Agency Fund
Statement of Changes in Assets and Liabilities
The Agency Fund is used to account for assets and liabilities held by the City acting as an agent for
others.
Cafeteria Plan-Flexible Spending - to account for the City’s Internal Revenue Code Section 125
Cafeteria Plan for employees.
Public Improvement Districts (PID) -
to account for the receipt of the revenue collected from property assessments paid by Cimarron
Hills residents to fund the infrastructure of the new development. The City acts as an agent for
the collection of the assessments and then sends the revenue to an Escrow Agent for Cimarron
Hills.
to account for the receipt of the revenue collected from property assessments paid by property
owners in the Shell Road Public Improvement District. The City acts as an agent for the creation
of the PID and collection of the assessments and then sends the revenue to Williamson County,
who provided the initial up-front costs for road construction.
Texas Capital Fund Repayments - to account for the lease payments received from businesses who
have benefited from the Texas Capital Fund economic development grants and the corresponding
payments to the state to repay the grants. Reedholm Instruments, Inc., Xycarb Ceramics, and USA
Schunk Quartz, Inc., are the businesses currently in the repayment/lease mode for these grants.
CITY OF GEORGETOWN, TEXAS
AGENCY FUND
STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
FISCAL YEAR ENDED SEPTEMBER 30, 2004
BALANCE BALANCE
OCTOBER 1, SEPTEMBER 30,
2003 ADDITIONS DEDUCTIONS 2004
Cafeteria Plan-Flex Spending:
ASSETS:
Cash and cash equivalents $ 5,347 $ 131,956 $ 128,332 $ 8,971
TOTAL ASSETS $ 5,347 $ 131,956 $ 128,332 $ 8,971
LIABILITIES:
Accounts payable $ 5,347 $ 131,956 $ 128,332 $ 8,971
TOTAL LIABILITIES $ 5,347 $131,956 $128,332 $8,971
Public Improvement Districts:
ASSETS:
Cash and cash equivalents $ 11,988 $ 260,692 $ 233,775 $ 38,905
Accounts receivable 2,295 532,357 2,295 532,357
TOTAL ASSETS $ 14,283 $ 793,049 $ 236,070 $ 571,262
LIABILITIES:
Accounts payable $ 14,283 $ 263,412 $ 236,070 $ 41,625
Due to other governments 529,637 529,637
TOTAL LIABILITIES $ 14,283 $ 793,049 $ 236,070 $ 571,262
Texas Capital Fund Repayments:
ASSETS:
Accounts receivable $ 981,286 $ 69,590 $ 911,696
TOTAL ASSETS $ 981,286 $ 69,590 $ 911,696
LIABILITIES:
Due to other governments $ 981,286 $ 69,590 $ 911,696
TOTAL LIABILITIES $ 981,286 $ 69,590 $ 911,696
TOTAL AGENCY FUNDS
ASSETS:
Cash and cash equivalents $ 17,335 $ 392,648 $ 362,107 $ 47,876
Accounts receivable 983,581 532,357 71,885 1,444,053
TOTAL ASSETS $ 1,000,916 $ 925,005 $ 433,992 $ 1,491,929
LIABILITIES:
Accounts payable $ 19,630 $ 395,368 $ 364,402 $ 50,596
Due to other governments 981,286 529,637 69,590 1,441,333
TOTAL LIABILITIES $ 1,000,916 $ 395,368 $ 433,992 $ 1,491,929
Capital Assets Used in the Operation of Governmental Funds
CITY OF GEORGETOWN, TEXAS
CAPITAL ASSETS USED IN THE OPERATION OF GOVERNMENTAL FUNDS
COMPARATIVE SCHEDULES BY SOURCE
SEPTEMBER 30, 2004 and 2003
2004 2003
GOVERNMENTAL FUNDS CAPITAL ASSETS
Land $ 3,078,386 $ 2,778,313
Buildings 19,158,378 18,081,845
Improvements 103,073,671 100,240,591
Machinery, furniture and equipment 1,509,910 1,505,268
Construction in progress 3,582,988 3,037,328
TOTAL GOVERNMENTAL FUNDS CAPITAL ASSETS $ 130,403,333 $ 125,643,345
INVESTMENT IN GOVERNMENTAL FUNDS CAPITAL ASSETS
General Fund $ 884,236 $ 875,724
Capital Projects Funds:
General obligation bonds and certificates of obligation 32,509,152 30,093,066
State grant 200,000 200,000
Other 84,854,627 82,752,837
Special Revenue Funds:
Federal grant 2,225,943 2,495,646
Other 2,211,298 2,144,429
State grant 3,689,663 3,689,663
Transfer from proprietary fund 1,851,975 1,415,541
Acquisitions prior to August 31, 1985 - source
undetermined 1,976,439 1,976,439
TOTAL INVESTMENT IN GOVERNMENTAL FUNDS CAPITAL ASSETS $ 130,403,333 $ 125,643,345
CITY OF GEORGETOWN, TEXAS
CAPITAL ASSETS USED IN THE OPERATION OF GOVERNMENTAL FUNDS
SCHEDULE BY FUNCTION AND ACTIVITY
SEPTEMBER 30, 2004
LAND BUILDINGS IMPROVEMENTS EQUIPMENT
CONSTRUCTION
IN PROGRESS TOTAL
FUNCTION AND ACTIVITY
Culture-recreation
Library $ 1,292,711 $ 61,340 $ 275,549 $ 1,629,600
Parks administration 639,193 824,902 14,583 1,478,678
Parks maintenance $ 660,333 5,985 2,321,885 162,761 3,150,964
Recreation 83,246 91,867 17,235 192,348
Total culture-recreation 743,579 1,937,889 3,299,994 470,128 6,451,590
Development
Planning administration 21,995 65,279 87,274
Current planning 25,000 25,000
Long range planning 9,212 9,212
Inspections 29,206 29,206
Total development 21,995 128,697 150,692
Economic development
Administration 25,000 5,489 30,489
Total economic development 25,000 5,489 30,489
Fire
Administation 14,890 14,890
Operations 367,101 142,724 184,876 694,701
Total fire 367,101 142,724 199,766 709,591
General Government
City council 593,084 792,722 146,832 107,998 1,640,636
City manager's office 435,204 15,592 23,621 474,417
Facilities 223,810 9,996,146 481,901 12,995 10,714,852
General government 341,612 5,998,999 3,148,474 120,332 9,609,417
Total general government 1,593,710 16,787,867 3,792,799 264,946 22,439,322
Highways and streets
Bridges 4,277,690 4,277,690
Streets 89,429,800 89,429,800
Streets capital improvements 741,097 1,616,841 274,390 2,632,328
Total highways and streets 741,097 95,324,331 274,390 96,339,818
Police
Administration 65,521 466,828 44,331 576,680
Support services bureau 38,840 38,840
Field operations bureau 46,035 46,035
Animal services 28,954 28,954
Municipal court 8,334 8,334
Total police 65,521 466,828 166,494 698,843
TOTAL CAPITAL ASSETS 3,078,386 19,158,378 103,073,671 1,509,910 126,820,345
CONSTRUCTION IN PROGRESS $ 3,582,988 3,582,988
3,582,988 3,582,988
TOTAL GOVERNMENTAL
FUNDS CAPITAL ASSETS $ 3,078,386 $ 19,158,378 $ 103,073,671 $ 1,509,910 $ 3,582,988 $ 130,403,333
This schedule presents only the capital asset balances related to governmental funds. Accordingly, the
capital assets related to internal service funds are excluded from the above amounts.
CITY OF GEORGETOWN, TEXAS
CAPITAL ASSETS USED IN THE OPERATION OF GOVERNMENTAL FUNDS
SCHEDULE OF CHANGES BY FUNCTION AND ACTIVITY
FISCAL YEAR ENDED SEPTEMBER 30, 2004
BALANCE
9/30/2003 ADDITIONS DELETIONS
BALANCE
9/30/2004
FUNCTION AND ACTIVITY
Culture-recreation
Library $ 1,629,600 $ 1,629,600
Parks administration 1,478,678 1,478,678
Parks maintenance 3,157,464 (6,500) 3,150,964
Recreation 192,348 192,348
Total culture-recreation 6,458,090 - (6,500) 6,451,590
Development
Planning administration 80,618 $ 6,656 87,274
Current planning 25,000 25,000
Long range planning 9,212 9,212
Inspections 29,206 29,206
Total development 134,824 15,868 - 150,692
Economic development
Administration 30,489 30,489
Total economic development 30,489 - 30,489
Fire
Administation 14,890 14,890
Operations 647,991 46,710 694,701
Total fire 662,881 46,710 - 709,591
General Government
City council 1,640,636 1,640,636
City manager's office 554,160 (79,743) 474,417
Facilities 10,511,229 203,623 10,714,852
General government 10,324,085 (714,668) 9,609,417
Total general government 23,030,110 203,623 (794,411) 22,439,322
Highways and streets
Bridges 2,002,842 2,274,848 4,277,690
Streets 88,037,635 1,392,165 89,429,800
Streets capital improvements 1,563,807 1,114,343 (45,822) 2,632,328
Total highways and streets 91,604,284 4,781,356 (45,822) 96,339,818
Police
Administration 571,510 5,170 576,680
Support services bureau 38,840 38,840
Field operations bureau 46,035 46,035
Animal services 28,954 28,954
Municipal court 8,334 8,334
Total police 685,339 13,504 - 698,843
TOTAL CAPITAL ASSETS 122,606,017 5,061,061 (846,733) 126,820,345
CONSTRUCTION IN PROGRESS 3,037,328 4,723,952 (4,178,292) 3,582,988
3,037,328 4,723,952 (4,178,292) 3,582,988
TOTAL GOVERNMENTAL
FUNDS CAPITAL ASSETS $ 125,643,345 $ 9,785,013 $(5,025,025) $ 130,403,333
This schedule presents only the capital asset balances related to governmental funds. Accordingly, the
capital assets related to internal service funds are excluded from the above amounts.
Statistical Section
CITY OF GEORGETOWN, TEXAS
GOVERNMENT-WIDE EXPENSES BY FUNCTION
LAST TEN FISCAL YEARS
FISCAL CULTURE- GENERAL INTEREST ON
YEAR RECREATION DEVELOPMENT FIRE GOVERNMENT LONG TERM DEBT
2003 $ 4,165,382 $ 1,607,886 $ 3,611,523 $ 3,715,369 $ 1,241,202
2004 4,773,059 1,956,243 3,862,168 4,005,079 1,253,934
Source: Current year government-wide financials
Note: City of Georgetown first applied GASB Statement No. 34 in fiscal year 2003; therefore,
government-wide financial information for years prior to fiscal year 2003 is not available.
GOVERNMENT-WIDE REVENUES
LAST TEN FISCAL YEARS
FISCAL CHARGES FOR OPERATING GRANTS CAPITAL GRANTS
YEAR SERVICES & CONTRIBUTIONS & CONTRIBUTIONS
2003 $ 49,548,649 $ 228,828 $ 3,770,954
2004 54,265,972 176,169 12,161,173
Source: Current year government-wide financials
Note: City of Georgetown first applied GASB Statement No. 34 in fiscal year 2003; therefore,
government-wide financial information for years prior to fiscal year 2003 is not available.
PROGRAM REVENUES
STORM-
POLICE STREETS AIRPORT ELECTRIC SANITATION WATER WATER TOTAL
$ 5,476,245 $ 3,267,717 $ 1,773,928 $ 23,957,507 $ 2,577,159 $ 841,591 $ 11,727,956 $ 63,963,465
5,833,644 2,752,225 1,962,826 26,237,073 2,740,495 986,876 13,218,349 69,581,971
EXTRA-
FRANCHISE INTEREST ON ORDINARY
TAXES TAXES INVESTMENTS ITEM OTHER TOTAL
$ 13,032,245 $ 1,579,729 $ 356,967 $ 13,623,784 $ 3,429,743 $ 85,570,899
14,909,016 1,844,683 616,118 1,349,525 $ 85,322,656
GENERAL REVENUES
CITY OF GEORGETOWN, TEXAS
GENERAL GOVERNMENTAL EXPENDITURES BY FUNCTION LAST TEN FISCAL YEARS
GENERAL ECO- FINANCE PLANNING GEORGETOWN
FISCAL GOVERN- NOMIC AND AND UTILITY COMMUNITY PARKS &
YEAR MENT DEVEL. ADMIN. DEVEL. SYSTEMS/STREETS SERVICES RECREATION
1995 $1,281,938 $468,529 $ 580,006 $ 564,330 $ 583,304 $ 795,960
1996 1,562,102 517,795 788,069 620,105 234,581 940,668
1997 1,723,910 793,699 1,034,875 844,465 526,901 1,341,113
1998 2,145,945 924,655 1,301,416 923,664 657,417 2,284,301
1999 1,943,998 135,221 (1) 1,276,021 971,154 669,869 2,587,431
2000 2,070,926 156,128 1,284,017 1,032,006 678,484 2,989,751
2001 2,182,504 (2)$329,712 163,329 1,253,338 1,193,979 1,358,942 2,520,044
2002 3,466,322 396,595 217,437 1,666,489 1,885,222 (3) 2,611,676
2003 2,381,789 (4) (4) 1,565,612 1,587,154 3,904,361 (4)
2004 2,739,941 1,914,223 1,931,782 4,509,436
Expenditures presented include the General, Special Revenue, Debt Service and Capital Projects funds.
(1) Beginning in 1999, administrative departments were transferred to the Joint Services Internal Service Fund,
thereby reducing both the expense and the interfund charges for service.
(2) Beginning in 2000, the Economic Development function was added.
(3) Beginning in 2001, the Community Services division was eliminated and the functions were consolidated into
General government.
(4) Beginning in 2003, departments were reorganized to reflect functions for GASB 34. The following changes occurred.
Animal Services and Municipal Court are moved to Police and the Library is moved to Parks and Recreation.
CAPITAL INTERFUND
INFOR- OUTLAY CHARGES
FIRE POLICE MATION DEBT AND FOR
SERVICES SERVICES RESOURCES SERVICE OTHER SERVICES TOTAL
$ 1,069,107 $ 1,889,564 $ 872,849 $2,235,742 $ (669,609)$ 9,671,720
1,481,988 2,218,453 $ 630,086 981,750 2,779,312 (950,958)11,803,951
1,757,429 2,798,512 881,427 1,086,144 7,450,727 (1,423,881)18,815,321
1,815,629 3,085,201 10,000 1,292,613 5,916,050 (1,786,848)18,570,043
2,415,371 3,626,258 2,465 1,676,438 4,902,985 (734,213) (1)19,472,998
2,513,832 3,867,001 10,000 1,709,802 4,248,563 (821,512)19,738,998
3,104,714 4,081,794 2,375,752 5,726,880 (739,719)23,551,269
3,400,239 4,351,802 2,204,797 3,325,393 (843,739)22,682,233
3,507,243 5,359,643 (4) 2,400,861 9,749,963 (762,433)29,694,193
3,832,320 5,585,002 2,516,716 6,570,321 (833,962)28,765,779
CITY OF GEORGETOWN, TEXAS
GENERAL GOVERNMENTAL REVENUES BY SOURCE
LAST TEN FISCAL YEARS
SALES AND LICENSES
FISCAL AD VALOREM OTHER AND INTER-
YEAR TAXES TAXES PERMITS GOVERNMENTAL
1995 $ 1,737,848 $ 2,463,807 (1) $ 307,043 $ 427,002
1996 2,008,801 3,051,092 809,909 522,935
1997 2,494,649 3,254,884 567,936 1,211,758
1998 3,491,301 3,678,293 512,818 1,194,178
1999 4,224,047 4,189,934 530,896 1,471,358
2000 4,797,764 5,143,020 662,344 942,251
2001 5,186,933 5,337,327 731,600 171,240
2002 5,991,068 7,092,195 827,395 214,356
2003 6,596,246 8,057,144 866,451 228,827
2004 7,217,442 9,642,430 1,078,048 286,246
(1) Beginning 1994, Includes Special Revenue Funds, Convention & Visitor's Bureau (Hotel/Motel Taxes),
Sales Taxes, Franchise Taxes, Industrial District Taxes, and other taxes.
Revenues presented include the General, Special Revenue, Debt Service and Capital Projects funds.
(2) Recreation fees were recorded in interest and other prior to 2002.
CHARGES INTEREST
FOR FINES AND AND
SERVICES FORFEITURES OTHER TOTAL
$ 106,477 $ 67,970 $ 773,561 $ 5,883,708
101,933 116,027 2,015,089 8,625,786
105,104 162,607 5,181,380 12,978,318
110,415 219,791 3,054,803 12,261,599
116,541 239,511 1,573,773 12,346,060
121,931 319,886 2,104,681 14,091,877
130,031 417,192 2,012,136 13,986,459
817,255 (2) 419,297 1,274,227 16,635,793
946,450 533,703 3,737,716 20,966,537
919,219 684,999 1,018,457 20,846,841
CITY OF GEORGETOWN, TEXAS
PROPERTY TAX LEVIES AND COLLECTIONS
LAST TEN FISCAL YEARS
CURRENT PERCENT DELINQUENT
FISCAL TOTAL TAX OF LEVY TAX
YEAR TAX LEVY COLLECTIONS COLLECTED COLLECTIONS
1995 $ 1,724,177 $ 1,686,154 97.79% $ 31,455
1996 1,985,203 1,938,938 97.67% 43,769
1997 2,466,560 2,422,650 98.22% 49,326
1998 3,442,328 3,394,192 98.60% 64,205
1999 4,195,903 4,145,351 98.80% 48,279
2000 4,952,688 4,726,489 95.43% 56,614
2001 5,357,851 5,115,255 95.47% 64,518
2002 6,201,997 5,979,605 96.41% 22,186
2003 6,912,129 6,598,745 95.47% 46,401
2004 7,525,174 7,215,477 95.88% 30,046
Source: City of Georgetown Tax Assessor.
TOTAL OUTSTANDING
COLLECTIONS DELINQUENT
AS A PERCENT OUTSTANDING TAXES AS A
TOTAL TAX OF CURRENT DELINQUENT PERCENT OF
COLLECTIONS LEVY TAXES CURRENT LEVY
$ 1,717,609 99.62%$ 193,893 11.25%
1,982,707 99.87%195,046 9.82%
2,471,976 100.22%181,820 7.37%
3,458,397 100.47%163,595 4.75%
4,193,630 99.95%161,326 3.84%
4,783,103 96.58%169,585 3.42%
5,179,773 96.68%178,078 3.32%
6,001,791 96.77%200,206 3.23%
6,645,146 96.14%266,983 3.86%
7,245,523 96.28%279,652 3.72%
CITY OF GEORGETOWN, TEXAS
ASSESSED AND ESTIMATED ACTUAL VALUE OF TAXABLE PROPERTY
LAST TEN FISCAL YEARS
REAL PROPERTY PERSONAL PROPERTY
ESTIMATED ESTIMATED
FISCAL ASSESSED ACTUAL ASSESSED ACTUAL
YEAR VALUE(1)VALUE VALUE(1)VALUE
1995 $ 422,406,583 $ 422,406,583 $ 60,374,198 $ 60,374,198
1996 467,611,075 467,611,075 71,336,431 71,336,431
1997 558,828,511 558,828,511 74,640,539 74,640,539
1998 900,336,306 900,336,306 83,786,893 83,786,893
1999 1,103,282,662 1,103,282,662 96,548,570 96,548,570
2000 1,278,247,074 1,278,247,074 131,824,968 131,824,968
2001 1,450,396,227 1,450,396,227 178,948,682 178,948,682
2002 1,660,732,507 1,660,732,507 178,037,876 178,037,876
2003 1,915,334,794 1,915,334,794 200,707,337 200,707,337
2004 1,935,628,300 1,935,628,300 196,487,678 196,487,678
Source: City of Georgetown Tax Assessor.
(1) Net of exemptions.
TOTAL RATIO OF TOTAL
ESTIMATED ASSESSED VALUE
ASSESSED ACTUAL TO TOTAL ESTIMATED
VALUE(1)VALUE ACTUAL VALUE
$ 482,780,781 $ 482,780,781 100.00%
538,947,506 538,947,506 100.00%
633,469,050 633,469,050 100.00%
984,123,199 984,123,199 100.00%
1,199,831,232 1,199,831,232 100.00%
1,410,072,042 1,410,072,042 100.00%
1,629,344,909 1,629,344,909 100.00%
1,838,770,383 1,838,770,383 100.00%
2,116,042,131 2,116,042,131 100.00%
2,132,115,978 2,132,115,978 100.00%
CITY OF GEORGETOWN, TEXAS
PROPERTY TAX RATES - DIRECT AND OVERLAPPING GOVERNMENTS
(PER $100 OF ASSESSED VALUE)
LAST TEN FISCAL YEARS
CITY OF GEORGETOWN
DEBT GEORGETOWN
FISCAL GENERAL SERVICE TOTAL INDEPENDENT WILLIAMSON
YEAR FUND FUND CITY SCHOOL DISTRICT COUNTY TOTAL
1995 0.20 0.16 0.36 1.44 0.34 2.14
1996 0.20 0.17 0.37 1.44 0.32 2.13
1997 0.21 0.17 0.38 1.44 0.32 2.14
1998 0.20 0.15 0.35 1.62 0.35 2.32
1999 0.21 0.14 0.35 1.75 0.35 2.45
2000 0.21 0.13 0.34 1.63 0.35 2.32
2001 0.20 0.11 0.31 1.74 0.40 2.45
2002 0.20 0.11 0.31 1.69 0.40 2.40
2003 0.20 0.10 0.30 1.73 0.46 2.49
2004 0.22 0.10 0.32 1.77 0.48 2.57
Source: Information furnished by respective tax assessors.
CITY OF GEORGETOWN, TEXAS
PRINCIPAL TAXPAYERS
SEPTEMBER 30, 2004
PERCENTAGE
OF TOTAL
ASSESSED ASSESSED
TAXPAYER TYPE OF BUSINESS VALUE VALUE(1)
Del Webb Texas LTD Development $ 22,953,679 1.08%
SPG Wolf Ranch LP Development 13,318,758 0.62%
Verizon Southwest Utility 13,195,030 0.62%
Wal-Mart Real Estate Retail/Grocer 11,330,873 0.53%
KH-Georgetown Partners LTD Development 10,540,552 0.49%
Rivery Towne Crossing LP Development 10,362,207 0.49%
HE Butt Grocery Company Grocer 10,318,657 0.48%
Rivery Partners LTD Development 10,003,210 0.47%
Hewlett Holdings LTD Vehicle Dealership 9,690,832 0.45%
MacHaik Ford Lincoln Mercury Vehicle Dealership 9,672,087 0.45%
Total $ 121,385,885 5.69%
(1) The total assessed valuation for the fiscal year ended September 30, 2004 was certified at $2,132,115,978.
Sources: City Tax Assessor/Collector.
* Per certified roll. Does not include some major property owners whose property is under protest as of date of certification.
CITY OF GEORGETOWN, TEXAS
COMPUTATION OF LEGAL DEBT MARGIN
SEPTEMBER 30, 2004
ASSESSED VALUATION $ 2,132,115,978
Allowable tax levy for annual debt service
purpose: $1.25 per $100 of assessed valuation,
assuming 90% collection rate 23,986,305
2004 annual debt service requirements for general
obligation debt:
Principal $1,515,249
Interest and fiscal charges 1,433,953 2,949,202
Legal margin for annual debt service requirements $ 21,037,103
NOTE: All taxable property within the City is subject to the assessment, levy
and collection by the City of a continuing, direct annual ad valorem tax
sufficient to provide for the payment of principal and interest on the
Bonds within the limits prescribed by law. Article XI, Section 5, of the
Texas Constitution is applicable to the City, and limits the maximum ad
valorem tax rate to $2.50 per $100 assessed valuation (for all City
purposes). The Charter of the City adopts the provisions of the constitution
without further limitation. Under rules promulgated by the Office of
the Attorney General of Texas, such office will not approve tax bonds of
the City unless the City can demonstrate its ability to pay debt service
requirements on all outstanding City tax bonds, including the issue to be
approved, from a tax levy of $1.25 per $100 of valuation, based on 90%
collection of tax.
The legal margin computation includes the general obligation debt that will be repaid by self-supporting sources
such as the Airport, Stormwater Drainage and Georgetown Transportation Enhancement Corporation (GTEC)
funds.
CITY OF GEORGETOWN, TEXAS
RATIO OF NET GENERAL OBLIGATION BONDED DEBT TO ASSESSED
VALUE AND NET GENERAL OBLIGATION BONDED DEBT PER CAPITA
LAST TEN FISCAL YEARS
GROSS LESS SELF TOTAL TAX
FISCAL ASSESSED BONDED SUPPORTING SUPPORTED
YEAR POPULATION VALUE (1) DEBT (2) DEBT (3) DEBT
1995 18,500 $ 482,780,781 $ 7,380,000 $ 1,162,840 $ 6,217,160
1996 20,300 538,947,506 6,805,000 1,123,455 5,681,545
1997 24,000 633,469,050 11,330,000 1,081,300 10,248,700
1998 25,500 984,123,199 15,810,000 3,441,669 12,368,331
1999 26,400 1,199,831,232 21,545,000 5,166,122 16,378,878
2000 28,328 1,410,072,042 22,005,000 5,056,908 16,948,092
2001 30,000 1,629,344,909 26,110,000 4,939,385 21,170,615
2002 34,273 1,838,770,383 24,800,000 4,734,374 20,065,626
2003 35,300 2,116,042,131 26,731,486 4,514,031 22,217,455
2004 36,359 2,132,115,978 37,456,237 4,261,564 33,194,673
Sources: City of Georgetown Planning and Development Division and the Georgetown Chamber of Commerce.
(1) Net of exemptions.
(2) Includes all long-term general obligation debt.
(3) Includes general obligation debt repaid from other sources (Airport and Stormwater Drainage funds).
(4) Less debt service funds available.
RATIO OF NET RATIO OF GROSS
LESS DEBT NET BONDED DEBT BONDED DEBT NET BONDED TOTAL BONDED
SERVICE FUNDS BONDED TO ASSESSED TO ASSESSED DEBT PER DEBT PER
AVAILABLE DEBT VALUE (4)VALUE (4) CAPITA (4) CAPITA (4)
$ 191,780 $ 6,025,380 1.25%1.49%325.70 $ 388.55
236,930 5,444,615 1.01%1.22%268.21 323.55
353,913 9,894,787 1.56%1.73%412.28 457.34
522,846 11,845,485 1.20%1.55%464.53 599.50
625,913 15,752,965 1.31%1.74%596.70 792.39
868,584 16,079,508 1.14%1.50%567.62 746.13
628,288 20,542,327 1.26%1.56%684.74 849.39
657,757 19,407,869 1.06%1.31%566.27 704.41
663,644 21,553,811 1.02%1.23%610.59 738.47
768,436 32,426,237 1.52%1.72%891.84 1,009.04
CITY OF GEORGETOWN, TEXAS
RATIO OF ANNUAL DEBT SERVICE EXPENDITURES
FOR GENERAL OBLIGATION BONDED DEBT TO TOTAL
GENERAL GOVERNMENTAL EXPENDITURES
LAST TEN FISCAL YEARS
TOTAL LESS DEBT
INTEREST TOTAL SERVICE
FISCAL TOTAL AND FISCAL DEBT SELF SUPPORTED
YEAR PRINCIPAL CHARGES SERVICE G O DEBT (1)
1995 $ 415,000 $ 473,759 $ 888,759 $ 33,709
1996 575,000 485,052 1,060,052 102,736
1997 660,000 508,027 1,168,027 104,973
1998 740,000 656,281 1,396,281 104,122
1999 1,015,001 883,755 1,898,756 222,317
2000 989,749 1,085,018 2,074,767 364,965
2001 1,365,001 1,229,284 2,594,285 368,533
2002 1,310,000 1,344,863 2,654,863 450,066
2003 1,380,001 1,359,058 2,739,059 553,294
2004 1,515,249 1,433,953 2,949,202 539,679
(1) Includes principal, interest and fiscal charges for self supporting general obligation debt of the
Airport, Stormwater Drainage, and Georgetown Transportation Enhancement Corporation.
(2) Includes General, Special Revenue, Debt Service, and Capital Projects Funds.
RATIO OF TOTAL RATIO OF NET
NET TOTAL DEBT SERVICE TO DEBT SERVICE TO
DEBT GENERAL TOTAL GENERAL TOTAL GENERAL
SERVICE EXPENDITURES (2) EXPENDITURES EXPENDITURES
$ 855,050 $ 9,671,720 9.19% 8.84%
957,316 11,803,951 8.98% 8.11%
1,063,054 18,815,321 6.21% 5.65%
1,292,159 18,570,043 7.52% 6.96%
1,676,439 19,472,998 9.75% 8.61%
1,709,802 19,738,998 10.51% 8.66%
2,225,752 23,551,269 11.02% 9.45%
2,204,797 22,682,233 11.70% 9.72%
2,185,765 29,694,193 9.22% 7.36%
2,409,523 28,493,859 10.35% 8.46%
CITY OF GEORGETOWN, TEXAS
COMPUTATION OF DIRECT AND ESTIMATED OVERLAPPING BONDED DEBT
SEPTEMBER 30, 2004
DEBT CITY'S SHARE (2)
PER
TAXING BODY AMOUNT AS OF PERCENT AMOUNT CAPITA (1)
ESTIMATED OVERLAPPING DEBT:
Georgetown I.S.D. $ 70,094,991 6-30-04 57.08% $ 40,008,945 $ 1,100
Williamson County 439,830,000 9-30-04 11.63% 51,141,844 1,407
Total estimated
overlapping debt 509,924,991 17.88% 91,150,789 2,507
DIRECT DEBT - City of
Georgetown 37,456,237 9-30-04 100.00% 37,456,237 1,030
DIRECT AND ESTIMATED
OVERLAPPING DEBT $ 547,381,228 $ 128,607,026 $ 3,537
Source: Jurisdiction listed.
(1) GISD population - 61,845
Williamson County population - 303,587
City of Georgetown population - 36,359
(2) Information represents the share of the respective debt which are obligations of the citizens
of the City of Georgetown
CITY OF GEORGETOWN, TEXAS
REVENUE BOND COVERAGE
UTILITY FUNDS (1)
LAST TEN FISCAL YEARS
OPERATING
EXPENSES NET REVENUE
FISCAL ELIGIBLE INTEREST (EXCLUDING AVAILABLE FOR
YEAR REVENUES EARNINGS DEPRECIATION) DEBT SERVICE
1995 $ 19,841,643 $ 350,046 $ 13,122,193 $ 7,069,496
1996 26,305,298 649,084 14,949,418 12,004,964
1997 26,261,446 585,650 16,141,638 10,705,458
1998 29,682,527 754,178 18,413,512 12,023,193
1999 31,107,463 879,406 19,205,976 12,780,893
2000 36,216,903 995,272 21,872,920 15,339,255
2001 40,844,133 1,202,418 25,762,110 16,284,441
2002 41,550,381 610,791 26,227,232 15,933,940
2003 46,041,368 155,951 30,122,878 16,074,441
2004 47,346,431 423,987 33,420,226 14,350,192
(1) Electric, Water and Wastewater only.
DEBT SERVICE REQUIREMENTS
INTEREST AND TIMES
PRINCIPAL FISCAL CHARGES TOTAL COVERAGE
$ 765,000 $ 870,648 $ 1,635,648 4.32
935,000 1,374,495 2,309,495 5.20
1,285,000 1,357,104 2,642,104 4.05
0 1,215,179 1,215,179 9.89
145,000 1,471,341 1,616,341 7.91
1,080,000 1,393,904 2,473,904 6.20
1,915,000 1,809,436 3,724,436 4.37
2,070,000 1,640,674 3,710,674 4.29
2,145,000 1,668,819 3,813,819 4.21
2,534,751 1,920,886 4,455,637 3.22
CITY OF GEORGETOWN, TEXAS
UTILITY CUSTOMER COUNTS
LAST TEN YEARS
FISCAL
YEAR ELECTRIC WATER WASTEWATER STORMWATER SANITATION
1995 8,682 7,881 5,997 6,125 6,646
1996 9,678 9,192 7,084 7,098 7,397
1997 10,811 10,173 8,100 8,594 8,855
1998 11,718 11,035 8,887 9,392 9,619
1999 12,413 11,573 9,519 9,945 10,350
2000 13,482 12,652 10,450 10,797 11,101
2001 14,269 13,518 11,338 11,532 11,980
2002 15,153 14,198 11,972 12,120 12,641
2003 15,812 14,878 12,669 12,661 13,430
2004 16,356 15,630 13,354 13,357 13,987
CITY OF GEORGETOWN, TEXAS
WATER UTILITY STATISTICAL DATA
WATER USAGE (Gallons)
Avg Day Peak Day Total
Fiscal Usage Usage Usage
Year (000's) (000's) (000's)
1995 4,193 10,707 1,530,236
1996 4,466 10,492 1,630,257
1997 5,130 12,093 1,877,073
1998 6,397 13,479 2,335,035
1999 6,266 13,117 2,287,137
2000 7,425 15,800 2,710,006
2001 7,525 16,700 2,774,100
2002 8,296 16,400 3,019,800
2003 7,464 18,300 2,724,275
2004 7,970 16,100 2,909,050
TEN LARGEST WATER CUSTOMERS (Gallons) (12 Mos ending 09-30-04)
(000 Gal)
Customer Consumed % Total
Sun City Association 321,020 11.04%
Chisholm Trail SUD 101,032 3.47%
Southwestern University 63,572 2.19%
City of Georgetown 38,641 1.33%
Southwest Material 23,190 0.80%
Georgetown ISD 22,372 0.77%
Indian Creek Apartments 18,237 0.63%
Williamson County 14,744 0.51%
Georgetown Healthcare System 14,292 0.49%
Housing Authority 13,835 0.48%
MONTHLY WATER RATES (effective 10/01/03)
Customer Customer Charge per Month:
Meter Size Inside City Outside City
3/4 inch $ 16.50 $ 21.80
1 inch 23.00 27.00
1 1/2 inch 29.50 35.00
2 inch 48.00 56.00
3 inch 181.50 211.50
4 inch 231.00 269.50
6 inch 346.50 404.50
8 inch 462.00 539.00
Cost per thousand $ 2.25 $ 2.60
CONSERVATION WATER RATES (effective 06/01/02)
Residential Only
Effective on Billings June 1 - October 31
Inside City Outside City
Per 1,000 Gallons Per 1,000 Gallons
0 Thru 19,000 Gallons $ 2.25 $ 2.60
20,000 Thru 29,000 Gallons 3.00 3.35
30,000 Thru 39,000 Gallons 4.50 4.85
40,000 and up 6.00 6.35
Information provided to comply with continuing disclosure requirements of SEC Rule 15c2-12
CITY OF GEORGETOWN, TEXAS
WASTEWATER UTILITY STATISTICAL DATA
DAILY FLOW (Wastewater Treatment)
Average Daily Wastewater Flow
Fiscal
Year Gallons
1995 1,871,000
1996 1,812,000
1997 2,557,000
1998 2,709,000
1999 2,688,000
2000 2,840,000
2001 3,122,000
2002 2,631,000
2003 2,890,000
2004 3,070,000
TEN LARGEST WASTEWATER CUSTOMERS (12 Mos ending 09-30-04)
Customer Volume % Total
Southwestern University 31,841 2.81%
Georgetown ISD 18,954 1.67%
Indian Creek Apartments 18,150 1.60%
Georgetown Hospital 15,890 1.40%
Georgetown Housing Authority 14,652 1.29%
Williamson County 14,253 1.26%
Wesleyan Homes 11,584 1.02%
The Oaks of Georgetown 11,312 1.00%
San Gabriel Apartments 10,694 0.94%
Georgetown Place Apartments 9,678 0.86%
MONTHLY SEWER RATES (effective on billings after 11/15/04)
Customer Charge $11.75 per month
Cost per 1,000 gallons $3.25
Residential rates (Based on average winter water use) Non-Residential (Based on monthly use)
Information provided to comply with continuing disclosure requirements of SEC Rule 15c2-12
CITY OF GEORGETOWN, TEXAS
ELECTRIC UTILITY STATISTICAL DATA
MONTHLY ELECTRIC RATES (effective on billings after 11/15/04)
All Customers:
Power Cost Adjustment Variable
Residential Sales Tax Inside City Limits: 1.75% of total electric charges
Outside City Limits: None
Commercial Sales Tax Inside City Limits: 8.0% of total electric charges
Outside City Limits: 6.25% of total electric charges
Residential Service:
Customer Charge $6.00 per month
Energy Charge
Small General Service:
Customer Charge $12.00 per month
Energy Charge $0.0865 per kWh
School Charge:
Customer Charge $12.00 per month
Energy Charge $0.0976 per kWh
Municipal Water & Wastewater Pumping Service:
Customer Charge $12.00 per month
Energy Charge $0.0776 per kWh
Large General Service:
Customer Charge $20.00 per month
Demand Charge $7.30 per kW, but not less than $365.00
Energy Charge $0.0574 per kWh
Minimum Bill $385.00
Industrial
Customer Charge $50.00 per month
Demand Charge $6.15 per kW, but not less than $3,075.00
Energy Charge $0.0570 per kWh
Minimum Bill $3,125.00
Large Industrial Service
Customer Charge $100.00 per month
Demand Charge $5.20 per kW, but not less than $10,400.00
Energy Charge $0.0560 per kWh
Minimum Bill $10,500.00
Large Institutional Service
Customer Charge $20.00 per month
Energy Charge $0.0795 per kWh
Minimum Bill $20.00
Municipal Service
Customer Charge $12.00 per month
Energy Charge $0.0790 per kWh
Minimum Bill $12.00
Guard Light Service:
Customer Charge $7.50 per lamp
Information provided to comply with continuing disclosure requirements of SEC Rule 15c2-12
TEN LARGEST ELECTRIC CUSTOMERS (12 Mos ending 09-30-04)
Due to electric deregulation and the confidentiality of the electric system, the ten largest electric
customers are not being presented.
$0.0889 per kWh
CITY OF GEORGETOWN, TEXAS
DEMOGRAPHIC STATISTICS
LAST TEN CALENDAR YEARS
CALENDAR SCHOOL UNEMPLOYMENT
YEAR POPULATION ENROLLMENT RATE
1995 18,500 6,231 2.30%
1996 20,300 6,650 2.50%
1997 24,000 6,920 2.70%
1998 25,500 7,200 2.50%
1999 26,400 7,551 2.33%
2000 28,600 7,900 1.88%
2001 30,000 8,300 2.96%
2002 34,273 8,457 5.90%
2003 35,300 8,600 6.02%
2004 36,359 8,820 4.76%
Sources:
Population: 2004 information obtained from the City of Georgetown Planning
and Development Division.
School Enrollment: Georgetown Independent School District. Year shown is school year,
not calendar year.
Unemployment Rate: Texas Workforce Commission, Labor Market Information Department.
All figures are an annual average. 2004 is average of the preliminary
monthly estimates.
CITY OF GEORGETOWN, TEXAS
PROPERTY VALUE AND CONSTRUCTION PERMITS
LAST TEN FISCAL YEARS
COMMERCIAL RESIDENTIAL
CONSTRUCTION CONSTRUCTION
FISCAL PROPERTY NUMBER NUMBER
YEAR VALUE(1) OF UNITS VALUE OF UNITS VALUE
1995 $ 482,780,781 21 $ 23,118,250 392 $ 46,469,421
1996 538,947,506 26 18,864,855 1,243 174,263,170
1997 633,469,050 40 27,766,100 881 118,305,068
1998 984,123,199 35 50,835,410 730 93,486,217
1999 1,199,831,232 41 29,100,000 675 93,647,489
2000 1,410,072,042 43 15,663,210 757 105,212,405
2001 1,629,344,909 23 17,126,030 984 165,352,383
2002 1,838,770,383 31 38,210,061 687 128,834,005
2003 2,116,042,131 32 13,669,958 603 79,667,625
2004 2,132,115,978 65 40,034,747 963 177,932,230
Sources: City of Georgetown Inspection Services Department (amounts listed include
activity in the E.T.J.)
(1) Estimated actual value.
CITY OF GEORGETOWN, TEXAS
UTILITY SYSTEM CONDENSED STATEMENT OF OPERATIONS (2)
2004 2003 2002 2001 2000
Revenues:
Water System $ 15,082,426 $ 14,648,293 $ 13,635,949 $ 12,789,401 $ 12,390,817
Electric System 29,199,618 25,916,557 23,412,202 24,340,991 20,790,680
Miscellaneous 1,371,199 3,285,657 2,647,885 2,217,825 3,035,406
Interest Earnings 423,987 155,951 610,791 1,202,418 995,272
Total revenues 46,077,230 44,006,458 40,306,827 40,550,635 37,212,175
Expenses: (1)
Water System 2,831,106 1,588,617 1,504,162 1,338,135 1,091,765
Electric System 2,331,235 1,889,965 1,850,345 1,199,854 995,767
Utility Contracts 28,257,885 26,644,295 22,872,725 23,224,121 19,785,388
Total expenses 33,420,226 30,122,877 26,227,232 25,762,110 21,872,920
NET AVAILABLE FOR
DEBT SERVICE $ 12,657,004 $ 13,883,581 $ 14,079,595 $ 14,788,525 $ 15,339,255
1) Excludes depreciation costs
2) Electric, Water & Wastewater only
Information provided to comply with continuing disclosure requirements of SEC Rule 15c2-12.
Average Annual Principal and Interest Requirements, 2005-2023 $ 2,842,825
Coverage of Average Requirements by Fiscal Year 2004 Net Income 4.90 times
Maximum Principal and Interest Requirements, 2005 $ 4,681,282
Coverage of Maximum Requirements by Fiscal Year 2004 Net Income 2.98 times
FOR FISCAL YEAR ENDED SEPTEMBER 30,
CITY OF GEORGETOWN, TEXAS
CITY'S EQUITY IN UTILITY SYSTEM (1)
2004 2003 2002 2001 2000
Utility system (1) $ 149,400,672 $ 125,750,396 $ 104,850,674 $ 88,470,161 $ 78,050,279
Less:
Accumulated depreciation (35,295,782) (31,675,236) (23,780,397) (21,203,791) (19,223,681)
Net value of system 114,104,890 94,075,160 81,070,277 67,266,370 58,826,598
Plus: Construction fund 4,985,311 11,384,576 3,970,852 3,249,523 4,660,467
Net plant 119,090,201 105,459,736 85,041,129 70,515,893 63,487,065
Plus: Working capital 17,695,702 13,101,178 16,757,986 22,060,143 18,008,284
Total 136,785,903 118,560,914 101,799,115 92,576,036 81,495,349
Revenue bond debt (2) 38,903,764 34,498,514 30,005,000 32,075,000 32,090,000
CITY'S EQUITY IN SYSTEM $ 97,882,139 $ 84,062,400 $ 71,794,115 $ 60,501,036 $ 49,405,349
PERCENTAGE CITY'S
EQUITY IN SYSTEM 71.56% 70.90% 70.53% 65.35% 60.62%
(1) Electric, Water and Wastewater Funds only
(2) Changes in bond ordinances no longer require reservation of interest and sinking or reserve funds for utility revenue debt.
Information provided to comply with continuing disclosure requirements of SEC Rule 15c2-12.
FOR FISCAL YEAR ENDED SEPTEMBER 30,
CITY OF GEORGETOWN, TEXAS
MISCELLANEOUS STATISTICS
SEPTEMBER 30, 2004
Miscellaneous Statistics
Number of square miles in city limits 25.73
Public Safety
Police Fire
Number of stations 1 4
Number of officers/firefighters 59 52
(exclusive of volunteer firefighters)
Education City Employees Budgeted
Attendance Centers 15 Full time 371.75
Number of students 8,820 Part time 22.75
New construction building permits issued Oct. 2003 - Sept. 2004 - 965
Total number of utility customers as of September 30, 2004:
Electric - 16,356 Water - 15,630
Sanitation - 13,987 Wastewater - 13,354
Infrastructure Recreation & Culture
Miles of streets 420 Number of parks 23
Number of street lights 2,216 Acres of parks 380
Miles of water mains 310
Miles of sanitary sewers 245
Miles of storm sewers 39 Number of libraries 1 public
Miles of electric distribution lines 287 Number of volumes 83,858
Annual electric sales - mWh 348,079 Library circulation 330,171
Peak demand - mW 92 Library visits 257,813
CITY OF GEORGETOWN, TEXAS
SUMMARY OF INSURANCE COVERAGE
SEPTEMBER 30, 2004
POLICY TYPE INSURER AGENT POLICY NUMBER
Airport Liability Texas Municipal Texas Municipal 2903
League League
Automobile Liability Texas Municipal Texas Municipal 2903
League League
Automobile Physical Damage Texas Municipal Texas Municipal 2903
League League
Boiler & Machinery Texas Municipal Texas Municipal 2903
League League
General Liability Texas Municipal Texas Municipal 2903
League League
Law Enforcement Liability Texas Municipal Texas Municipal 2903
League League
Mobile Equipment Texas Municipal Texas Municipal 2903
League League
Public Employee Dishonesty Texas Municipal Texas Municipal 2903
Bond League League
Public Officials Texas Municipal Texas Municipal 2903
League League
Real/Personal Property Texas Municipal Texas Municipal 2903
League League
Workers' Compensation Texas Municipal Texas Municipal 2903
League League
Pollution Liability Amgrip Texas Municipal BTA2149987-05
League
Animal Mortality/Theft Texas Municipal Texas Municipal 2903
League League
Errors and Omissions Liability Texas Municipal Texas Municipal 2903
League League
COVERAGE
POLICY PERIOD DESCRIPTION LIMIT PREMIUM
October 1, 2003 to Airport, Aviation $ 20,000,000 occ $ 16,821
September 30, 2004 Non-owned aircraft, 50,000 Fire
(Hangarkeepers) Hangar 2,000,000 Aircraft
Liability 5,000,000 occ
October 1, 2003 to Damage caused by 5,000,000 occ 31,081
September 30, 2004 City Vehicles 25,000 person
October 1, 2003 to Damage caused to ACV 35,014
September 30, 2004 City Vehicles
October 1, 2003 to Library HVAC 2,000,000 accident included
September 30, 2004 Direct Damage
October 1, 2003 to General Liability 10,000,000 agg annual 55,670
September 30, 2004 5,000,000 occ
October 1, 2003 to Police Department 10,000,000 annual 28,257
September 30, 2004 5,000,000 occ
October 1, 2003 to Damage to per schedule 10,131
September 30, 2004 Mobile Equipment 1,732,287
October 1, 2003 to Crime/Public Employee 500,000 3,365
September 30, 2004 Crime/Theft disappearance
Destruction (inside/outside) 300,000 6,634
October 1, 2003 to Mayor, Council, City Attorney 10,000,000 annual 69,008
September 30, 2004 Boards, Commissions 5,000,000 occ
and Employees
October 1, 2003 to Real / Personal 78,159,513 104,520
September 30, 2004 Property per schedule
October 1, 2003 to Losses as Prescribed per TWCC 86,753
September 30, 2004 by the Texas Workers' Statute est.
Compensation Law
October 1, 2003 to Pollution Liability 1,000,000 ann agg 1,815
September 30, 2004 Underground Storage Tanks 1,000,000 occ (inc fees/taxes)
October 1, 2003 to Police Canine Loss of use/ per schedule 1,900
September 30, 2004 Theft mortality/Vet/Surgical 3 PD canines
October 1, 2003 to Errors and Omissions 5,000,000 wrongful agg
September 30, 2004 10,000,000 annual 73,391