HomeMy WebLinkAbout04 Quartlery Report_2017_30_09
Q4 2017
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FINANCIAL REPORT AND INVESTMENT REPORT
For the Quarter Ended September 30, 2017
Table of Contents
Executive Summary .................................................................................................................................... 1-6
General Fund Schedule ................................................................................................................................. 7
Electric Fund Schedule .................................................................................................................................. 8
Water Services Fund Schedule ...................................................................................................................... 9
Joint Services Fund Schedule ....................................................................................................................... 10
Council Discretionary Fund Schedule .......................................................................................................... 11
Convention & Visitors Bureau Fund Schedule ............................................................................................. 12
Paramedic Fund Schedule ........................................................................................................................... 13
Airport Operations Fund Schedule .............................................................................................................. 14
Georgetown Transportation Enhancement Corporation Fund Schedule .................................................... 15
Georgetown Economic Development Corporation Fund Schedule ............................................................. 16
Quarterly Investment Report - City ........................................................................................................ 17-34
Quarterly Investment Report - GTEC ...................................................................................................... 35-41
Quarterly Investment Report - GEDCO ................................................................................................... 42-48
Grant Applications ....................................................................................................................................... 49
Capital Improvement Projects ................................................................................................................ 50-54
Long-term Commitments, Reservations, and Other Unfunded Liabilities .............................................. 55-57
EXECUTIVE SUMMARY FOR THE QUARTER ENDED SEPTEMBER 30, 2017
I. QUARTERLY FINANCIAL ANALYSIS
Please note this quarterly report includes unaudited figures. Currently, City staff along with our audit partners, are in
the process of completing the year-end close out and the Comprehensive Annual Finance Report (CAFR). It is
anticipated the CAFR process will be completed within the next few months and all numbers finalized. The numbers
presented in this report are unaudited, preliminary, and subject to change.
GENERAL FUND REVENUES:
General Fund revenues collected for the fourth quarter of fiscal year 2017 are 3.2% ahead of fiscal year 2016. The
total revenue collected year to date (YTD) for the General Fund is $56.4 million.
The sales tax collections through September
totaled $12.4 million, or 95% of budget. Sales
tax is two months in arrears, with one month
still to collect before year-end close. Sales tax
revenues are on target to meet the year-end
projection of $13.7 million. The growth in sales
tax is primarily driven by increases in our core
sectors of retail trade, food, and information,
which are positively impacted by population
growth.
Property tax revenues are typically received
during the first two quarters of the fiscal year,
with the majority of the taxes being received in
December and January. The amount of
revenue is based on the assessed value and is estimated using the County Assessor’s data. Any deviations from
estimates in this revenue stream are typically related to new construction and delinquency rates. Property tax
revenues for the fourth quarter of 2017 are up 8.7%, or $1 million, from the year-end of 2016. Our collection rate
as of September 2017 is 100% compared to 100% last September.
$600,000
$700,000
$800,000
$900,000
$1,000,000
$1,100,000
$1,200,000
$1,300,000
OctNovDecJanFebMarAprMayJunJulAugSepSales Tax Revenue
2013
2014
2015
2016
2017
Source: Texas Comptroller of Public
1
The City collects a 4 – 5% franchise fee on
electric, natural gas, cable, and non-
cellular telephone revenues provided by
entities other than the City. The City has
collected $4.4 million through the fourth
quarter of 2017, which is a 9.03%
decrease from the year-end of 2016.
Franchise fees are typically collected on
a quarterly basis and the timing of
payments can vary. The City also collects
a 3% franchise fee and a 7% return on
investment (ROI) fee from City owned
utilities, which totaled $7.7 million
through the fourth quarter of the fiscal
year. Franchise fee and ROI collections
are down 5.1% over this time last year.
Environmental services revenues are up 6.4% from year-end 2016. This increase is related to the growth in the
customer base.
Development related revenue is down 0.8% over the prior year. Year to date development applications are down
16% from last year.
Overall, General Fund primary revenues were strong in fiscal year 2017 and are higher than the prior year.
GENERAL FUND EXPENDITURES:
General Fund operating expenditures for the fourth quarter of fiscal year 2017 are 5.5% higher than the same period
in fiscal year 2016. An increase in expenses is primarily due to a full year impact of Meet and Confer Agreement for
public safety, mid-year budget amendments approved in February, and the increase of IT allocations.
Total salaries and benefit expenditures through the fourth quarter were $32.49 million or 99.64% of budget. Overall,
personnel costs are higher than year-end 2016 due to the merit and market increases that went into effect February
2017. An additional $21.3 million, or 95.2% of budget, was spent on operations. At a later date, staff will propose
rolling forward savings in Street Maintenance program operations to FY2018.
Administration Services includes City Manager’s Office, City Council, City Secretary and social service funding. Total
expenditures for the fourth quarter were $2.2 million or 93.2% of budget.
Community Services and Finance provides resources for developing downtown, as well as resources for Parks and
Recreation, Library, Communications and Municipal Court. Year to date expenditures are $10.2 million or 98.8% of
budget.
The Georgetown Utility System Division includes Environmental Services, Inspections, Public Works and Streets. Total
expenditures through the fourth quarter were $8.6 million or 98% of budget. Environmental Services manages the
contract for solid waste collections. Due to customer growth, the contract expenses exceed budget by $300,000.
Staff will propose an amendment to authorize this spending. The expenses are offset by contract related revenue
collections.
0
20
40
60
80
100
120
Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep
Number of Building Permits
2013
2014
2015
2016
2017
Source: MyPermitNow
2
Total expenditures for Police and Fire through the fourth quarter are 99.17% of budget for a total of $26.8 million.
City management, finance and fire staff continue to monitor Fire and EMS overtime every two weeks. The Fire
Department will exceed budget by $20,000 due to overtime expenses to cover vacancies and leave. This is lower than
the mid-year projection of $70,000. The three float positions added in 2017 helped slow the increase in overtime
compared to prior years. Staff will propose a year-end budget amendment to authorize the Fire Division’s spending.
UTILITY FUNDS:
Electric revenue through the fourth quarter of 2017 is $68.3 million, up 5.2% compared to the prior year’s fourth
quarter due to the Power Cost Adjustment. Other revenues are down 34.3% from the prior year due to the City
collecting a settlement in the prior year.
Total water revenue is up from the prior year by 22.7%; which is largely due to an increase in impact fees for new
development in the Western District, customer growth, and the addition of the raw water revenue.
Total wastewater revenue is up 30.6% for fiscal year 2017 compared to last year. The increase is largely due to impact
fees for new development in the Western District, customer growth, and the approved wastewater fee increase.
Utility revenues are impacted significantly by growth and weather conditions. The improved economic conditions
and housing market continue to positively impact growth-related revenues. Unusually cool and rainy weather
patterns have impacted revenue and purchased power expense for a second year.
Electric expenditures will exceed budget in Purchased Power by $9.6 million as a result of selling excess generation
into a depressed energy market. Staff will propose a year-end budget amendment authorizing the electric fund’s
expenditures on Purchased Power.
Water operations expenditures are on target for the year. We continue to monitor savings from bringing plant
operations in-house. Water capital expenditures are significantly below budget; however, a CIP roll forward
amendment will adjust the spending into FY2018 due to the timing and capacity of large multi-year projects.
OTHER MAJOR FUNDS:
Hotel Occupancy Tax revenue is $1 million year to date, an increase of 24.2% from the prior year due to the Sheraton
Hotel. Poppy Fest expenditures did not exceed the mid-year budget amendment. Airport revenue is up 14% from
the prior year, due to fuel sales and leases. Airport expenditures are under budget, and the fund will have a positive
ending balance.
II. INVESTMENTS
The investment activity and strategies described in this report are in compliance with the Public Funds Investment
Act (PFIA), City’s investment policy, and generally accepted accounting principles. Activity for the fourth quarter of
fiscal year 2017 includes the maturing of financial institution deposits (CD’s) and transfers to favorable money market
accounts. Interest rates for money market accounts increased in March 2017 and have been comparable to yield for
CD’s with maturity dates one year to eighteen months out. The City will continue soliciting the best rates to improve
both diversity and yield.
The Investment Reports for the quarter ended September 30, 2017 and the supporting schedules are attached.
Valley View Consulting, L.L.C., has prepared the attached investment reports. A component of our investment
advisory services contract includes Valley View preparing the quarterly investment reports on behalf of the City. A
3
summary of the investment balances at September 30, 2017, compared to the prior quarter, is shown below for the
City as well as Georgetown Transportation Enhancement Corporation (GTEC) and Georgetown Economic
Development Corporation (GEDCO).
CITY GTEC GEDCO
6/30/17 9/30/17 6/30/17 9/30/17 6/30/17 9/30/17
Total cash and investments
$179,846,228 $158,220,196 $20,170,749 $18,042,602 $5,740,384 $6,081,347
Average Yield 1.06% 1.14% 1.12% 1.28% 0.98% 1.09%
The City’s strategy continues to be matching maturities with cash flow needs, while focusing on the investment
policy’s long-range goals. The City’s investment strategy is to “ladder” or stagger maturities, thus minimizing erratic
interest rate fluctuations.
City portfolio balances have increased in the last few years in direct correlation to the increase in contingency
reserves and debt proceeds issued for future capital improvement projects. The portfolio has decreased during this
quarter due to bond payments that were made in August. The City’s investment portfolio includes bank deposits,
local government investment pool balances, money market accounts and financial institution deposits. All of these
investments carry insurance or an implied backing from the Federal Government. The collateral on all City
investments are monitored monthly to ensure the financial institutions carry minimum collateral of 102% of market
value of the City’s investments.
Currently, the City does not own any securities due to the market conditions for these types of investments, however,
during this quarter a safekeeping relationship with BBVA Compass has been established to anticipate future
investment possibilities. Once the City begins purchasing securities, the investment officers will obtain from a reliable
source the current credit rating for each held investment that has a PFIA-required minimum rating. All securities
held by financial institutions as collateral on behalf of the City have been reviewed and met PFIA-minimum rating
criteria.
The City has worked closely with the City’s depository bank to find an average daily balance that is best to receive
the highest yield on the account. These balances earn credit against the fees charged by the bank versus earning
interest on these balances. The City has looked at various options to maximize our best yield vs investment & the
decision to change the depository collateral from securities to a letter of credit has increased our Earnings Credit
Rate to .45 (plus 10 basis points). Current analysis shows a higher return on investments that will cover bank fees
and provide additional yield. The City will continue to verify depository yield versus investment yield to achieve the
best outcome.
The City's investment program is conducted to accomplish the objectives of safety, liquidity, public trust, and yield.
It is also the objective of the City to diversify its investments to eliminate the risk of loss resulting from over
concentration of assets in a specific maturity, a specific issuer or a specific class of investments. It is the intent of the
City to invest its funds to maturity.
III. CAPITAL PROJECTS
The projects in the Capital Improvement Program (CIP) consist of infrastructure and related construction and do not
include small capital items such as furniture, equipment, and vehicle maintenance.
Maintenance-type projects are not capitalized as a fixed asset and are usually cash funded. Therefore, they are
considered operational in nature and are included in the departmental operating budget.
4
A year-to-date budget status for each of the approved projects is included in the quarterly report, including the
following:
PARKS
San Gabriel Park Improvements: A master plan for improvements to San Gabriel Park was completed in 2015. The
master plan proposed the improvements be completed in phases due to the high usage and the many events that
take place in the park. The groundbreaking for Phase 1 construction was held on March 24th. Weststar Construction
in Georgetown is the general contractor. Construction is expected to be completed in early 2018. Phase 1
improvements include spring restoration, pavilions, road realignment, play areas, restrooms, signage and parking.
Austin based RVi is currently designing San Gabriel Park Phase II which is expected to start construction in Spring
2018.
Garey Park: In 2004, Mr. and Mrs. Jack Garey announced they would donate their 525 acre ranch and $5 million to
the City of Georgetown for a public park. In 2008, the citizens passed a parks bond with $10 million dedicated for
the construction of Garey Park. A master plan was completed in 2006 that set the stage for how the park would be
developed. The ground breaking for Garey Park was held on March 31st. Prime Construction of Pflugerville is the
general contractor for renovation to Garey House and for site and civil construction. Construction is expected to
take 12 months with a spring 2018 completion. Project elements include a playground, splash pad, dog park,
equestrian arena, gate house, event area including Garey House and hiking and equestrian trails.
Public Works
Southwest Bypass: Construction is approximately 85% complete project-wide. The South San Gabriel bridge is 95%
complete. The beam set is complete on the second bridge south of the river. Base course has been installed, along
with the first course of asphalt, on the entire project (excluding the area between the bridges).
Wolf Ranch Parkway Extension: The first segment of the project is complete with the exception of the final course
of asphalt and revegetation.
Sidewalk Improvements: Construction on several sidewalk improvement projects throughout the city began May 1.
This is the first round of sidewalk improvement projects identified in the adopted Sidewalk Master Plan and funded
in part by the road bond approved by voters in May 2015. The contractor is now at the last site on this project which
is Founders’ Park.
ELECTRIC
New development continues to exceed expectations in the fourth quarter with additional residential, multifamily,
and business projects in progress. Modifications are in progress to serve The Lofts, and 8th & Rock developments.
WATER
The Berry Creek Interceptor design is 90% complete and the easement acquisition is in progress. Construction is
estimated to start in September 2018.
The Stonehedge and Westinghouse lift station project bid went to the Board and Council in November. Construction
started in January 2017 and is scheduled for completion in January 2018.
5
The Pecan Branch wastewater treatment plant bid opening was on March 28th with construction started in July 2017.
Completion is scheduled for July 19, 2019.
The Shell Road and CR 255 water main designs are complete and easement acquisitions are in progress. Construction
is estimated to start September 2018.
The Domel water treatment plant design is complete. Construction started in July 2017 with final completion
scheduled for June 2018.
GENERAL CAPITAL PROJECT RECONCILIATION
Staff have begun reconciling capital projects funded with general obligation bonds. Leftover funding from
completed projects may be used for similar projects. This information will be useful in planning the 2018 spring
debt sale. Due to the extensive amount of projects being reconciled, an updated summary is not available for the
4th quarter. We anticipate completing the reconciliation in time for the annual debt overview presentation.
6
APPROVED BUDGET CURRENT PERIOD
YEAR TO DATE
(W/ENCUMB) YEAR-END PROJECTION
YEAR-END VARIANCE
FAV(UNFAV)
%YEAR-END
VARIANCE
FAV(UNFAV)
BEGINNING FUND BALANCE 10,893,558 10,990,128 10,990,128 - 0.00%
Revenue
Property Tax 12,475,000 (280,692) 12,653,957 12,475,000 178,957 1.43%
Sales Tax 13,059,541 1,388,782 12,387,124 13,702,850 (1,315,726) -9.60%
Sanitation Revenue 7,181,300 617,246 7,230,897 7,422,500 (191,603) -2.58%
ROI 8,070,041 771,576 7,728,715 8,034,360 (305,645) -3.80%
Franchise Fees 5,142,035 283,180 4,481,597 5,141,726 (660,129) -12.84%
Development and Permit Fees 2,307,991 203,666 2,606,678 2,622,600 (15,922) -0.61%
Parks and Rec Fees 2,190,746 146,592 2,357,892 2,270,030 87,862 3.87%
Administrative Charges 1,886,221 158,330 1,899,960 1,886,221 13,739 0.73%
All Other Revenue 3,556,378 731,886 3,665,232 3,902,237 (237,005) -6.07%
Transfer In 1,612,200 - 1,393,450 1,612,200 (218,750) -13.57%
Revenue Total 57,481,453 4,020,566 56,405,503 59,069,724 (2,664,221) -4.51%
Expense
Administrative Services 1,585,029 146,178 1,437,899 1,532,873 94,974 5.99%
Animal Services 918,594 84,507 824,940 885,071 60,131 6.55%
Arts & Culture 74,385 12,277 74,029 71,371 (2,658) -3.57%
City Council 127,644 13,166 136,782 122,721 (14,061) -11.02%
City Secretary 662,422 103,362 635,714 635,942 228 0.03%
Code Enforcement 407,773 55,029 349,663 373,865 24,202 5.94%
Environmental Services 5,879,717 542,638 5,686,059 6,155,717 469,658 7.99%
Fire Emergency Services 10,046,095 1,065,607 9,930,547 10,033,514 102,967 1.02%
Fire Support Services 2,418,984 270,791 2,555,382 2,545,422 (9,960) -0.41%
General Gov't Contracts 3,353,753 288,098 3,847,730 3,665,391 (182,339) -5.44%
Inspections 1,167,339 138,549 1,046,849 1,101,709 54,860 4.70%
Library 2,419,829 252,687 2,426,258 2,383,698 (42,560) -1.76%
Municipal Court 564,620 60,946 549,182 561,544 12,362 2.19%
Parks 2,312,359 282,198 2,260,669 2,302,926 42,257 1.83%
Parks Admin 484,592 44,367 487,481 487,592 111 0.02%
Planning 1,349,832 110,008 1,046,689 1,181,571 134,882 9.99%
Police Admin 2,105,056 188,801 2,083,181 2,078,365 (4,816) -0.23%
Police Operations 11,176,291 1,482,358 11,040,423 10,898,503 (141,920) -1.27%
Public Communications 387,333 51,732 380,560 377,417 (3,143) -0.81%
Public Works 701,748 140,085 687,874 679,110 (8,764) -1.25%
Rec Programs 1,439,699 97,832 1,359,284 1,488,564 129,280 8.98%
Recreation 2,422,487 254,305 2,387,377 2,386,714 (663) -0.03%
Streets 4,056,498 475,317 3,054,726 4,017,630 962,904 23.74%
Tennis Center 431,262 38,378 429,911 435,790 5,879 1.36%
Transfer Out 2,501,378 134,805 2,486,123 2,501,375 15,251 0.61%
Expense Total 58,994,718 6,334,021 57,205,330 58,904,395 1,699,065 2.88%
EXCESS (DEFICIENCY) OF TOTAL REVENUE OVER TOTAL
REQUIREMENTS (1,513,265) (2,313,456) (799,828) 165,329 (965,157) -584%
ENDING FUND BALANCE 9,380,294 10,190,300 11,155,457 (965,157) -10%
General Fund
Preliminary Actuals to Year-End Projection September 2017
7
APPROVED
BUDGET
CURRENT
PERIOD
YEAR TO DATE
(W/ENCUMB)
YEAR-END
PROJECTION
YEAR-END
VARIANCE
FAV(UNFAV)
%YEAR-END
VARIANCE
FAV(UNFAV)
BEGINNING FUND BALANCE 6,436,145 6,088,504 6,196,297 (239,848) -3.87%
Operating Revenue
Electric Revenue 65,898,216 6,657,965 64,762,170 64,762,170 (0) 0.00%
Interest 18,100 9,647 56,118 56,118 0 0.00%
Other Revenue 3,820,000 207,683 3,513,966 5,055,156 (1,541,190) -30.49%
Operating Revenue Total 69,736,316 6,875,296 68,332,254 69,873,444 (1,541,190) -2.21%
Operating Expenditures
CRR Credits (1,500,000) (954,363) (6,488,088) (6,488,088) 1 0.00%
Georgetown Utility Systems 16,900,435 2,180,798 16,853,220 16,833,013 (20,207) -0.12%
Purchased Power 38,000,000 6,198,493 50,923,650 52,578,926 1,655,276 3.15%
Transfer Out-Fleet 71,500 - 71,500 71,500 - 0.00%
Transfer Out-ROI 5,234,145 538,979 5,131,425 5,131,425 (0) 0.00%
Transfer Out-SRF 60,000 - 60,000 60,000 - 0.00%
Operating Expenditures Total 58,766,080 7,963,907 66,551,708 68,186,776 1,635,068 2.40%
Total Net Operations 10,970,236 (1,088,611) 1,780,546 1,686,668 93,878 5.57%
Non-Operating Revenue
Bond Premium - - 654,960 654,960 (0) 0.00%
Bond Proceeds 7,025,000 - 6,500,000 6,500,000 - 0.00%
Non-Operating Revenue Total 7,025,000 - 7,154,960 7,154,960 (0) 0.00%
Non-Operating Expenditures
CIP 6,956,000 326,727 6,089,385 6,085,965 (3,420) -0.06%
Debt Issuance Cost 15,000 - 96,591 98,705 2,114 2.14%
Debt Service 3,464,271 - 3,455,972 3,453,858 (2,114) -0.06%
Non-Operating Expenditures Total 10,435,271 326,727 9,641,948 9,638,528 (3,420) -0.04%
Total Net Non-Operations (3,410,271) (326,727) (2,486,988) (2,483,568) 3,420 -0.14%
EXCESS (DEFICIENCY) OF TOTAL REVENUE
OVER TOTAL REQUIREMENTS 7,559,965 (1,415,338) (706,442) (796,900) (90,458) 11.35%
ENDING FUND BALANCE 13,996,110 5,382,062 5,399,397 17,335 0.12%
Electric Fund
Preliminary Actuals to Year-End Projection September 2017
8
APPROVED
BUDGET CURRENT PERIOD
YEAR TO DATE
(W/ENCUMB)
YEAR-END
PROJECTION
YEAR-END
VARIANCE
FAV(UNFAV)
%YEAR-END
VARIANCE
FAV(UNFAV)
BEGINNING FUND BALANCE 24,911,799 54,428,066 54,428,066 - 0.00%
Operating Revenue
Water Utility Revenue 26,700,000 2,824,060 26,968,419 27,086,343 (117,924) -0.44%
Other Revenue 3,747,088 457,287 5,089,969 3,861,771 1,228,198 31.80%
Interest 199,975 58,308 485,664 331,317 154,347 46.59%
Raw Water Revenue 178,500 27,889 164,157 174,429 (10,272) -5.89%
Capital Recovery Fee 4,767,300 1,610,481 13,473,975 9,791,083 3,682,892 37.61%
Irrigation Utility Revenue 225,000 35,724 270,915 174,515 96,400 55.24%
Transfer In, Debt 115,839 115,839 115,839 115,839 - 0.00%
Wastewater Utility Revenue 10,733,475 925,218 10,552,235 10,541,459 10,776 0.10%
Operating Revenue Total 46,667,177 6,054,805 57,121,173 52,076,756 5,044,417 9.69%
Operating Expenditures
Irrigation 204,672 18,540 200,192 192,172 (8,020) -4.17%
Transfer Out, Fleet/Joint Service 290,750 17,396 290,752 290,750 (2) 0.00%
Transfer Out, General 425,000 - 206,250 275,000 68,750 25.00%
Transfer Out, ROI 2,604,339 215,781 2,397,243 2,605,536 208,293 7.99%
Wastewater Distribution 737,700 46,672 464,095 631,381 167,286 26.50%
Wastewater Plant Management 2,670,507 161,783 2,597,014 2,335,887 (261,127) -11.18%
Water Administration 16,600,932 1,501,108 16,438,860 16,052,822 (386,038) -2.40%
Water Distribution 2,209,230 (109,062) 2,017,784 2,248,780 230,996 10.27%
Water Operations 3,714,279 374,154 3,465,893 3,509,434 43,541 1.24%
Water Plant Management 2,779,631 277,490 2,339,316 2,559,251 219,935 8.59%
Operating Expenditures Total 32,237,040 2,503,862 30,417,399 30,701,013 283,614 0.92%
TOTAL NET OPERATIONS 14,430,137 3,550,943 26,703,774 21,375,743 5,328,031 24.93%
Non-Operating Revenue
Bond Premium - - 1,442,797 380,000 1,062,797 0.00%
Bond Proceeds 20,000,000 - 18,960,000 20,000,000 (1,040,000) -5.20%
Special Improvement Fees 205,000 - - - - 0.00%
Non-Operating Revenue Total 20,205,000 - 20,402,797 20,380,000 22,797 0.11%
Non-Operating Expenditures
CIP 90 73,799,005 1,072,189 18,348,927 71,486,957 53,138,030 74.33%
CIP 91 1,161,948 156,794 1,156,770 1,161,948 5,178 0.45%
Debt Service 5,182,487 750 5,598,780 5,182,487 (416,293) -8.03%
Non-Operating Expenditures Total 80,143,440 1,229,733 25,104,478 77,831,392 52,726,914 67.75%
TOTAL NET NON-OPERATIONS (59,938,440) (1,229,733) (4,701,681) (57,451,392) 2,487,048 -4.33%
EXCESS (DEFICIENCY) OF TOTAL REVENUE
OVER TOTAL REQUIREMENTS (45,508,303) 2,321,210 22,002,094 (36,075,649) 9,432,655 -26.15%
ENDING FUND BALANCE (20,596,504) 76,430,160 18,352,417 38,948,922 212.23%
Water Services Fund
Preliminary Actuals to Year-End Projection September 2017
9
APPROVED
BUDGET CURRENT PERIOD
YEAR TO DATE
(W/ENCUMB)
YEAR-END
PROJECTION
YEAR-END
VARIANCE
FAV(UNFAV)
%YEAR-END
VARIANCE
FAV(UNFAV)
BEGINNING FUND BALANCE 749,366 343,361 343,362 (1) 0.00%
Revenue
SERVICE FEES - GENERAL 2,988,741 249,062 2,988,744 2,988,741 3 0.00%
SERVICE FEES - AIRPORT 117,729 9,811 117,732 117,729 3 0.00%
SERVICE FEES - ELECTRIC 3,782,058 315,172 3,782,064 3,782,058 6 0.00%
SERVICE FEES - STORMWATER 838,822 69,902 838,824 838,822 2 0.00%
SERVICE FEES - WASTEWATER 1,957,252 163,104 1,957,248 1,957,252 (4) 0.00%
SERVICE FEES - WATER 3,517,167 293,097 3,517,164 3,517,167 (3) 0.00%
SERVICE FEES - CONSERVATION 89,647 7,471 89,652 89,647 5 0.01%
SERVICE FEES - RURAL WATER 1,000,700 83,392 1,000,704 1,000,700 4 0.00%
GTEC ADMIN/CONTRACT FEE 149,083 12,424 149,088 149,083 5 0.00%
GEDCO ADMIN/CONTRACT FEE 197,722 16,477 197,724 197,722 2 0.00%
VPID ADMIN/CONTRACT FEE 13,279 1,103 13,279 13,279 - 0.00%
INTEREST 9,000 645 7,068 9,000 (1,932) -21.47%
OTHER 29,000 (35,253) 116,988 85,214 31,774 37.29%
TRANSFERS IN 582,140 27,938 582,139 582,137 2 0.00%
Revenue Total 15,272,341 1,214,345 15,358,418 15,328,552 29,866 0.19%
Expense
FINANCE ADMINISTRATION 900,293 125,787 857,409 889,379 31,970 3.59%
ACCOUNTING 855,700 110,147 792,217 790,114 (2,103) -0.27%
PURCHASING 737,185 127,688 714,451 711,332 (3,119) -0.44%
CUSTOMER CARE 3,544,585 339,023 3,472,943 3,401,387 (71,556) -2.10%
JOINT SVCS CON 935,232 456,943 1,128,134 990,400 (137,734) -13.91%
GUS ADMINISTRATION 1,392,815 143,160 1,388,238 1,414,575 26,337 1.86%
ENGINEERING 2,049,288 200,691 1,688,105 1,845,466 157,361 8.53%
CONSERVATION 1,047,322 107,432 588,792 680,355 91,563 13.46%
ENGINEERING SUPPORT 1,239,024 122,733 954,999 1,098,298 143,299 13.05%
ECONOMIC DEVELOPMENT 427,990 40,697 415,457 406,838 (8,619) -2.12%
MAIN STREET 157,537 17,768 137,054 153,810 16,756 10.89%
INSURANCE & LEGAL 705,000 15,152 604,674 705,000 100,326 14.23%
HUMAN RESOURCES 806,051 79,606 793,095 789,562 (3,533) -0.45%
CITY WIDE HR 119,756 57,155 366,013 403,620 37,607 9.32%
IN-HOUSE LEGAL 1,072,128 93,089 978,007 1,045,124 67,117 6.42%
TRANSFER TO FLEET 25,000 - 25,000 25,000 - 0.00%
Expense Total 16,014,907 2,037,071 14,904,588 15,350,260 445,672 2.90%
EXCESS (DEFICIENCY) OF TOTAL REVENUE OVER
TOTAL REQUIREMENTS (742,566) (822,726) 453,830 (21,709) 475,538 2190.56%
ENDING FUND BALANCE 6,800 797,191 321,653 475,537 6993.30%
Joint Services Fund
Preliminary Actuals to Year-End Projection September 2017
10
APPROVED
BUDGET
CURRENT
PERIOD
YEAR TO DATE
(W/ENCUMB)
YEAR-END
PROJECTION
YEAR-END
VARIANCE
FAV(UNFAV)
% YEAR-END
VARIANCE
FAV(UNFAV)
BEGINNING FUND BALANCE 185,045 185,694 185,694 - 0.00%
Revenue
Interest - 125 2,584 2,000 (584) 0.00%
Transfer In, General Fund 1,734,779 - 1,734,779 1,734,779 - 0.00%
Revenue Total 1,734,779 125 1,737,363 1,736,779 (584) -0.03%
Expense
Transfer Out, GCP 270,000 - 270,000 270,000 - 0.00%
Transfer Out, General Fund 1,177,000 - 1,177,000 1,177,000 - 0.00%
Transfer Out, ISF 80,000 - 80,000 80,000 - 0.00%
Transfer Out, Joint Services 95,000 - 95,000 95,000 - 0.00%
Expense Total 1,622,000 - 1,622,000 1,622,000 - 0.00%
EXCESS (DEFICIENCY) OF TOTAL REVENUE OVER
TOTAL REQUIREMENTS 112,779 125 115,363 114,779 (584) -0.52%
ENDING FUND BALANCE 297,824 301,057 300,473 (584) -0.20%
Council Discretionary Fund
Preliminary Actuals to Year-End Projection September 2017
11
APPROVED
BUDGET CURRENT PERIOD
YEAR TO DATE
(W/ENCUMB)
YEAR-END
PROJECTION
YEAR-END
VARIANCE
FAV(UNFAV)
% YEAR-END
VARIANCE
FAV(UNFAV)
BEGINNING FUND BALALNCE 578,306 483,707 483,707 - 0.00%
Revenue
Hotel/Motel Occupancy Tax Revenues 1,260,000 96,614 1,098,363 1,150,000 (51,637) -4.10%
Interest 1,500 313 3,182 1,500 1,682 112.13%
Other 8,000 603 17,599 13,102 4,497 56.22%
Poppy Festival 150,000 830 112,469 111,215 1,254 0.84%
Revenue Total 1,419,500 98,361 1,231,613 1,275,817 (44,204) -3.11%
Expense
Operations 498,506 23,736 429,011 497,778 68,767 13.79%
Personnel 359,570 46,557 346,993 353,009 6,016 1.67%
Poppy Festival 128,700 (20) 109,613 108,710 (903) -0.70%
Transfer to Facilities 51,535 4,295 51,540 51,535 (5) -0.01%
Transfer to Fleet 5,655 471 5,652 5,655 3 0.05%
Transfer to General Fund 10,200 - 10,200 10,200 - 0.00%
Transfer to Information Technology 42,436 3,536 42,432 42,436 4 0.01%
Expense Total 1,096,602 78,575 995,441 1,069,323 73,882 6.74%
EXCESS (DEFICIENCY) OF TOTAL REVENUE
OVER TOTAL REQUIREMENTS 322,898 19,786 236,172 206,494 (29,678) -9.19%
ENDING FUND BALANCE 901,204 719,879 690,201 (211,003) -23%
Contingency 180,263 175,779
Convention & Visitors Bureau Fund
Preliminary Actuals to Year-End Projection September 2017
12
APPROVED
BUDGET CURRENT PERIOD
YEAR TO DATE
(W/ENCUMB)
YEAR-END
PROJECTION
YEAR END
VARIANCE
FAV(UNFAV)
%YEAR-END
VARIANCE
FAV(UNFAV)
BEGINNING FUND BALANCE (853,003) (909,490) (909,490) - 0.00%
Revenue
EMS Revenue 2,135,250 214,518 2,472,204 2,400,646 71,558 2.98%
Franchise Fees 20,000 - - 20,000 (20,000) -100.00%
Transfer In 49,846 4,154 49,848 49,846 3 0.01%
All Other Revenue - - 6,800 4,800 2,000 41.67%
Revenue Total 2,205,096 218,672 2,528,852 2,475,292 53,561 2.16%
Expense
Personnel 1,585,854 172,437 1,697,845 1,545,706 (152,139) -9.84%
O&M 492,579 27,056 480,588 516,501 35,913 6.95%
Expense Total 2,078,433 199,493 2,178,433 2,062,207 (116,226) -5.64%
EXCESS (DEFICIENCY) OF TOTAL REVENUE
OVER TOTAL REQUIREMENTS 126,663 19,179 350,419 413,085 62,665 15%
ENDING FUND BALANCE (726,340) (559,071) (496,406) 229,935 46%
Paramedic Fund
Preliminary Actuals to Year-End Projection September 2017
13
APPROVED
BUDGET
CURRENT
PERIOD
YEAR TO DATE
(W/ENCUMB) YEAR-END PROJECTION
YTD YEAR-END
VARIANCE
FAV(UNFAV)
% YEAR-END
VARIANCE
FAV(UNFAV)
BEGINNING FUND BALANCE 43,849 311,251 311,250 1 0.00%
Revenues
Operating Revenue
Fuel and Terminal Sales 2,720,928 219,780 2,451,359 2,561,492 (110,133) -4.30%
Leases and Rentals 767,990 72,074 833,980 872,054 (38,074) -4.37%
Interest and Other 66,075 2,581 42,196 50,554 (8,358) -16.53%
TOTAL OPERATING REVENUE 3,554,993 294,435 3,327,535 3,484,100 (156,565) -4.49%
Expenditures
Operating Expenditures
Personnel 388,781 48,759 340,214 358,048 17,834 4.98%
Operations-Fuel 2,296,928 165,360 2,193,698 2,200,414 6,716 0.31%
Operations-Non Fuel 657,086 41,252 673,552 666,386 (7,166) -1.08%
Transfers Out 25,000 - 25,000 25,000 - 0.00%
Airport Master Plan - - - - - 0.00%
Debt Service 143,768 - 141,265 143,768 2,503 1.74%
TOTAL OPERATING EXPENDITURES 3,511,563 255,371 3,373,729 3,393,616 19,887 0.59%
TOTAL NET OPERATIONS 43,430 39,064 (46,194) 90,484 (136,678) -151.05%
Revenues
Non-Operating Revenue
Grants 35,000 - 50,000 50,000 - 0.00%
TOTAL NON-OPERATING REVENUES 35,000 - 50,000 50,000 - 0.00%
TOTAL NET NON-OPERATIONS 35,000 - 50,000 50,000 - 0.00%
EXCESS (DEFICIENCY) OF TOTAL REVENUE OVER TOTAL
REQUIREMENTS 78,430 39,064 3,806 140,484 (136,678) -97.29%
ENDING FUND BALANCE 122,279 315,057 451,734 (136,677) -30.26%
Preliminary Actual to Year-End Projection September 2017
Airport Operations Fund
14
APPROVED
BUDGET
CURRENT
PERIOD
YEAR TO DATE
(W/ENCUMB) YEAR‐END PROJECTION
YEAR‐END
VARIANCE
FAV(UNFAV)
% YEAR‐END
VARIANCE
FAV(UNFAV)
BEGINNING FUND BALANCE 11,022,877 11,010,396 11,022,877 (12,481)‐0.11%
Operating Revenue
Sales Tax 5,875,000 622,778 5,237,572 6,325,000 (1,087,428) ‐17.19%
PID Assessments 553,201 44,770 44,770 553,201 (508,431) ‐91.91%
Interest 50,000 14,915 170,372 127,000 43,372 34.15%
Interlocal Agreement 2,905,356 ‐ 1,546,138 1,750,000 (203,862) ‐11.65%
Miscellaneous ‐ ‐ 7,539 7,539 0 0.00%
TOTAL OPERATING REVENUE 9,383,557 682,463 7,006,391 8,762,740 (1,756,349) ‐20.04%
Operating Expenditure
Administrative Support 330,895 27,590 329,601 330,895 1,294 0.39%
TOTAL OPERATING EXPENDITURES 330,895 27,590 329,601 330,895 1,294 0.39%
TOTAL NET OPERATIONS 9,052,662 654,873 6,676,790 8,431,845 (1,755,055) ‐20.81%
Non‐Operating Revenue
Debt Proceeds 6,000,000 ‐ 6,119,010 6,000,000 119,010 1.98%
Other Grant Revenue 450,000 ‐ 451,659 61,763 389,896 631.28%
TxDot Refund ‐ ‐ 223,873 223,873 0 0.00%
TOTAL NON‐OPERATING REVENUE 6,450,000 ‐ 6,794,542 6,285,636 508,906 8.10%
Non‐Operating Expenditure
Available for Projects TBD 1,468,750 ‐ ‐ ‐ ‐ 0.00%
Debt Service 3,414,754 (23,213) 3,538,712 3,414,754 (123,958) ‐3.63%
FM 971 / Fontana 91,590 ‐ 158,021 91,590 (66,431) ‐72.53%
FM1460 Widening 650,000 6,766 148,669 650,000 501,331 77.13%
IH 35 / HWY29 Intersection 650,000 ‐ ‐ 650,000 650,000 100.00%
Mays St 3,500,000 138,237 246,777 3,500,000 3,253,223 92.95%
NB Frontage 2338 to Lakeway ‐ ‐ ‐ ‐ ‐ 0.00%
Pecan Center Dr to Airport Rd (FY15)6,000,000 2,500 609,710 1,850,000 1,240,290 67.04%
Rivery TIA Improvements 1,157,121 ‐ 140,330 1,157,121 1,016,791 87.87%
Rivery‐Extension Williams Dr to NW Blvd (FY16)4,000,000 2,356 3,231,938 4,000,000 768,062 19.20%
SH 29 to RM 2243 SW Bypass ‐ 3,000 16,220 ‐ (16,220) 0.00%
SW Bypass 2243 to IH35 354,920 ‐ 20,957 354,920 333,963 94.10%
SW Inner Loop 29 to SW Bypass ‐ ‐ 8 ‐ (8) 0.00%
Williams Drive Gateway ‐ ‐ ‐ ‐ ‐ 0.00%
Wolf Ranch Pkwy Extension 283,350 ‐ ‐ 283,350 283,350 100.00%
TOTAL NON‐OPERATING EXPENDITURE 21,570,485 129,647 8,111,343 15,951,735 7,840,392 49.15%
TOTAL NET NON‐OPERATIONS (15,120,485) (129,647) (1,316,801) (9,666,099) 8,349,298 86.38%
EXCESS (DEFICIENCY) OF TOTAL REVENUE OVER TOTAL
REQUIREMENTS (6,067,823) 525,226 5,359,989 (1,234,254) 6,594,243 534.27%
ENDING FUND BALANCE 4,955,054 16,370,385 9,788,623 6,581,762 67.24%
RESERVED ENDING BALANCE 1,619,550 1,619,550
Georgetown Transportation Enhancement Corporation Fund
Preliminary Actuals to Year‐End Projection September 2017
15
APPROVED BUDGET CURRENT PERIOD
YEAR TO DATE
(W/ENCUMB)
YEAR-END
PROJECTION
YEAR-END
VARIANCE
FAV(UNFAV)
% YEAR-END
VARIANCE
FAV(UNFAV)
BEGINNING FUND BALALNCE 5,015,684 5,068,518 5,068,518 - 0.00%
Revenue
OPERATING REVENUES
Sales Tax 1,468,750 155,695 1,309,393 1,581,250 (271,857) -17.19%
Interest 10,400 5,392 44,972 34,171 10,801 31.61%
Miscellaneous Revenue 60,321 - 60,302 60,321 (19) -0.03%
Lease Revenue (Grape Creek)48,000 4,000 52,000 48,000 4,000 8.33%
OPERATING REVENUES TOTAL 1,587,471 165,086 1,466,667 1,723,742 (257,075) -14.91%
OPERATING EXPENDITURES
Joint Services Allocation 197,722 16,477 197,724 197,722 (2) 0.00%
Supplies 300 - 193 300 107 35.80%
Special Services 7,500 - 33 7,500 7,467 99.56%
Travel & Training 1,500 - - 1,500 1,500 100.00%
Promotional & Marketing Program 81,000 2,539 72,106 81,000 8,894 10.98%
Miscellaneous Expense 10,321 - 10,302 10,302 (0) 0.00%
OPERATING EXPENDITURES Total 298,343 19,016 280,358 298,324 17,966 6.02%
TOTAL NET OPERATIONS 1,289,128 146,070 1,186,309 1,425,418 (239,109) -16.77%
NON-OPERATING EXPENDITURES
Avalanche Consulting, Inc 100,000 - 100,000 100,000 - 0.00%
Catalyst 24,000 - 23,259 23,000 (259) -1.13%
Debt Service 115,839 (95,744) 115,725 115,725 - 0.00%
DisperSol 60,000 - 10,000 60,000 50,000 83.33%
Economic Development Projects -Undetermined 5,200,322 - - - - 0.00%
Interest Expense 111,463 111,583 111,583 111,463 (120) -0.11%
Other - - - - - 0.00%
Principal Reduction 100,000 100,000 100,000 100,000 - 0.00%
Radix 50,000 - - - - 0.00%
Rentschler Brewing LLC 70,000 - 70,000 70,000 - 0.00%
Tasus 6,000 - - - - 0.00%
Texas Life Sciences 100,000 - - - - 0.00%
NON-OPERATING EXPENDITURES Total 5,937,624 115,839 530,567 580,188 49,621 8.55%
EXCESS (DEFICIENCY) OF TOTAL REVENUE OVER TOTAL
REQUIREMENTS (4,648,496) 30,231 655,742 845,230 (189,488) -22.42%
ENDING FUND BALANCE 367,188 5,724,260 5,913,748 (189,488) -3.20%
Georgetown Economic Development Corporation Fund
Preliminary Actuals to Year-End Projection September 2017
16
CITYQUARTERLY INVESTMENT REPORTFor the Quarter EndedSeptember 30, 2017Prepared byValley View Consulting, L.L.C.The investment portfolio of the City of Georgetown is in compliance with the Public Funds Investment Act and the Investment Policy and Strategies.___________________________________ _____________________________________ Elaine Wilson Leigh WallaceController Finance DirectorDisclaimer: These reports were compiled using information provided by the City. No procedures were performed to test the accuracy or completeness of this information. The market values included in these reports were obtained by Valley View Consulting, L.L.C. from sources believed to be accurate and represent proprietary valuation. Due to market fluctuations these levels are not necessarily reflective of current liquidation values. Yield calculations are not determined using standard performance formulas, are not representative of total return yields and do not account for investment advisor fees.17
FYE Results by Investment Category:Asset TypeAve. YieldBook ValueMarket ValueAve. YieldBook ValueMarket ValueDemand Accounts0.29% 18,173,961$ 18,173,961$ 0.38% 13,874,086$ 13,874,086$ NOW/MMA0.55% 5,349,353 5,349,353 1.43% 45,875,729 45,875,729 Pools0.41% 69,025,556 69,025,556 1.04% 61,661,393 61,661,393 Certificates of Deposit0.85% 30,681,533 30,681,533 1.25% 36,808,988 36,808,988 Totals123,230,402$ 123,230,402$ 158,220,196$158,220,196$ Fourth Quarter-End Yield0.51%1.14%Average Quarter-End Yields - Fiscal Year (1):Georgetown-City0.46%0.88%Rolling Three Month Treasury 0.25%0.75%Rolling Six Month Treasury 0.37%0.78%TexPool0.31%0.74%(1) Average Quarterly Yield calculated using quarter-end report average yield and adjusted book value.September 30, 2016Annual Comparison of Portfolio PerformanceSeptember 30, 2017Valley View Consulting, L.L.C.18
SummaryQuarter End Results by Investment Category:Asset TypeBook ValueMarket ValueAve. YieldBook ValueMarket ValueDemand Accounts12,301,336$ 12,301,336 0.38% 13,874,086$ 13,874,086$ NOW/MMA50,730,044 50,730,044 1.43% 45,875,729 45,875,729 Pools68,494,027 68,494,027 1.04% 61,661,393 61,661,393 CDs/Securities48,320,821 48,320,821 1.25% 36,808,988 36,808,988 Totals 179,846,228$ 179,846,228$ 158,220,196$ 158,220,196$ Quarter End Average Yield (1)Fiscal Year-to-Date Average Yield (2)Total Portfolio 1.14%Total Portfolio 0.88%Rolling Three Mo. Treas. Yield 1.05%Rolling Three Mo. Treas. Yield 0.75%Rolling Six Mo. Treas. Yield 1.09%Rolling Six Mo. Treas. Yield 0.78%Quarterly TexPool Yield 0.74%13,372$ Interest income provided in separate report.49,760$ June 30, 2017(1) Average Yield calculated using quarter end report yields and adjusted book values and does not reflect a total return analysis or account for advisory fees.(2) Fiscal Year-to-Date Average Yields calculated using quarter end report yields and adjusted book values and does not reflect a total return analysis or account for advisory fees.Quarterly Bank Fees OffsetYear-to-date Bank Fees OffsetSeptember 30, 2017Valley View Consulting, L.L.C.19
Economic Overview9/30/2017 The Federal Open Market Committee (FOMC) maintained the Fed Funds target range of 1.00% - 1.25% (Effective Fed Funds are trading +/-1.16%) since the June FOMC meeting. Recent announcements have increased the probability of a December rate increase. The FOMC announced a gradual portfolio reduction by limiting reinvestment of maturing holdings. Second Quarter 2017 GDP was revised to 3.1%. September Non Farm Payroll data was a storm influenced negative 33k, with downward revisions to August and July. Other US data generally showed positive with a few negative numbers. The Stock Markets achieved new highs. Monitoring estimated balances and needs will determine laddering opportunities.02505007501,0001,2501,5001,7502,0002,2502,5002,750S&P 5000.000.501.001.502.002.503.00US Treasury Historical Yields - Since Nov 2015Six Month T-BillTwo Year T-NoteTen Year T-Note0.000.501.001.502.002.50Treasury Yield CurvesSeptember 30, 2016June 30, 2017September 30, 20170.000.501.001.502.002.503.003.504.004.505.005.50US Treasury Historical Yields - Since 2006Six Month T-BillTwo Year T-NoteTen Year T-NoteValley View Consulting, L.L.C.20
City - Investment HoldingsCoupon/ Maturity Settlement Face Amount/ Book Market Market Life Description Ratings Discount Date Date Par ValueValue PriceValue (Day) YieldJPMorgan Chase Cash (3)0.38% 10/01/17 09/30/17 13,874,086$ 13,874,086$ 1.00 13,874,086$ 1 0.38%Green Bank MMA1.21% 10/01/17 09/30/17 6,484,301 6,484,301 1.00 6,484,301 1 1.21%NexBank MMA1.47% 10/01/17 09/30/17 39,391,427 39,391,427 1.00 39,391,427 1 1.47%TexPoolAAAm 1.02% 10/01/17 09/30/17 5,921,168 5,921,168 1.00 5,921,168 1 1.02%TexSTARAAAm 1.04% 10/01/17 09/30/17 55,740,226 55,740,226 1.00 55,740,226 1 1.04% Lubbock National Bank CD1.00% 10/02/17 05/23/16 2,026,908 2,026,908 100.00 2,026,908 2 1.00%Green Bank CD0.81% 11/03/17 11/03/16 1,530,323 1,530,323 100.00 1,530,323 34 0.81%Southside Bank CD0.92% 11/17/17 11/18/16 3,072,339 3,072,339 100.00 3,072,339 48 0.92%Lubbock National Bank CD1.20% 02/23/18 02/23/17 6,041,944 6,041,944 100.00 6,041,944 146 1.20%LegacyTexas Bank CD1.20% 03/09/18 03/09/17 5,030,323 5,030,323 100.00 5,030,323 160 1.20%Southside Bank CD1.22% 06/01/18 05/09/17 3,510,763 3,510,763 100.00 3,510,763 244 1.22%Southside Bank CD1.25% 08/01/18 05/09/17 5,015,753 5,015,753 100.00 5,015,753 305 1.25%Lubbock National Bank CD1.50% 01/03/19 01/03/17 3,030,090 3,030,090 100.00 3,030,090 460 1.50%R Bank CD1.50% 02/21/19 02/21/17 6,044,496 6,044,496 100.00 6,044,496 509 1.50%Independent Bank CD1.60% 03/01/19 05/09/17 1,506,049 1,506,049 100.00 1,506,049 517 1.60%158,220,196$ 158,220,196$ 158,220,196$611.14%(1) (2)September 30, 2017(2) Weighted average yield to maturity - The weighted average yield to maturity is based on adjusted book value, realized and unrealized gains/losses and investment advisory fees are not considered. The yield for the reporting month is used for bank accounts, pools, and money market funds.(1) Weighted average life - For purposes of calculating weighted average life, bank accounts, pools and money market funds are assumed to have an one day maturity.(3) Earnings Credit - The City's depository accounts provide an earnings credit on balances which is used to offset bank fees.Valley View Consulting, L.L.C.21
0–6 Months94%6–12 Months6%Current Quarter Maturities $0 $25,000,000 $50,000,000 $75,000,000 $100,000,000 $125,000,000 $150,000,000 $175,000,000 $200,000,00012/31/16 03/31/17 06/30/17 09/30/17Portfolio BalancesMoney MarketLocal DepositoryTexSTARTexPoolCertificate of Deposit16617416610269907375109104123156163971088751674941917361050100150200# of DaysWeighted Average to MaturityJPMorgan Chase9%Southside Bank 7%Green Bank 5%NexBank25%TexPool4%TexSTAR35%IndependentBank1%Rbank4%LegacyTexas Bank3%Lubbock National Bank7%Portfolio Holdings by IssuerValley View Consulting, L.L.C.22
City - Book and Market Value ComparisonCoupon/ Maturity Face Amount/Purchases/ Sales/Adjust/ Face Amount/DescriptionDiscount Date Par Value Book ValueAdjustments Call/Maturity Par Value Book ValueJPMorgan Chase Cash0.38% 10/01/17 12,301,336$ 12,301,336$ 1,572,749$ –$ 13,874,086$ 13,874,086$ Green Bank MMA1.21% 10/01/17 6,464,728 6,464,728 19,574 6,484,301 6,484,301 NexBank MMA1.47% 10/01/17 44,265,316 44,265,316 (4,873,889) 39,391,427 39,391,427 TexPool1.02% 10/01/17 4,564,988 4,564,988 1,356,180 5,921,168 5,921,168 TexSTAR1.04% 10/01/17 63,929,038 63,929,038 (8,188,813) 55,740,226 55,740,226 Lubbock National Bank CD 0.95%07/03/173,031,068 3,031,068 (3,031,068)– – Lubbock National Bank CD 0.95%07/03/172,525,890 2,525,890 (2,525,890)– – Lubbock National Bank CD 0.95%07/03/173,031,068 3,031,068 (3,031,068)– – LegacyTexas Bank CD 0.95%08/18/173,039,206 3,039,206 (3,039,206)– – Lubbock National Bank CD 1.00%10/02/172,021,808 2,021,808 5,100 2,026,908 2,026,908 Green Bank CD0.81%11/03/171,527,205 1,527,205 3,118 1,530,323 1,530,323 Southside Bank CD0.92%11/17/173,065,231 3,065,231 7,108 3,072,339 3,072,339 Lubbock National Bank CD 1.20%02/23/186,023,706 6,023,706 18,238 6,041,944 6,041,944 LegacyTexas Bank CD 1.20%03/09/185,015,139 5,015,139 15,184 5,030,323 5,030,323 Southside Bank CD1.22%06/01/183,500,000 3,500,000 10,763 3,510,763 3,510,763 Southside Bank CD1.25%08/01/185,000,000 5,000,000 15,753 5,015,753 5,015,753 Lubbock National Bank CD 1.50%01/03/193,018,663 3,018,663 11,427 3,030,090 3,030,090 R Bank CD1.50%02/21/196,021,838 6,021,838 22,658 6,044,496 6,044,496 Independent Bank CD 1.60%03/01/191,500,000 1,500,000 6,049 1,506,049 1,506,049 TOTAL179,846,228$ 179,846,228$ 3,063,902$ (24,689,934)$ 158,220,196$ 158,220,196$ June 30, 2017September 30, 2017Valley View Consulting, L.L.C.23
City - AllocationInvestment Total Consolidated2013 GO- Parks/Public Safety2014 CO- Downtown Parks2014 GO2014 Revenue Electric2014 Revenue Water WWDebt ServiceJPMorgan Chase Cash13,874,086$ 13,874,086$ –$ –$ –$ –$ –$ –$ Southside Bank MMA– – Green Bank MMA6,484,301 6,484,301 NexBank MMA39,391,427 929,681 TexPool5,921,168 5,921,168 TexSTAR55,740,226 16,926,814 400,826 187,517 587,229 3,737,341 2,950,635 Lubbock National Bank CD 10/02/17 2,026,908 Green Bank CD11/03/17 1,530,323 1,530,323 Southside Bank CD11/17/17 3,072,339 3,072,339 Lubbock National Bank CD 02/23/18 6,041,944 6,041,944 LegacyTexas Bank CD 03/09/18 5,030,323 5,030,323 Southside Bank CD06/01/18 3,510,763 3,510,763 Southside Bank CD08/01/18 5,015,753 5,015,753 Lubbock National Bank CD 01/03/19 3,030,090 3,030,090 R Bank CD02/21/19 6,044,496 6,044,496 Independent Bank CD03/01/19 1,506,049 1,506,049 Totals158,220,196$ 78,918,130$ 400,826$ 187,517$ –$ 587,229$ 3,737,341$ 2,950,635$ Book and Market ValueSeptember 30, 2017Valley View Consulting, L.L.C.24
City - AllocationJPMorgan Chase CashSouthside Bank MMAGreen Bank MMANexBank MMATexPoolTexSTARLubbock National Bank CD 10/02/17Green Bank CD11/03/17Southside Bank CD11/17/17Lubbock National Bank CD 02/23/18LegacyTexas Bank CD 03/09/18Southside Bank CD06/01/18Southside Bank CD08/01/18Lubbock National Bank CD 01/03/19R Bank CD02/21/19Independent Bank CD03/01/19TotalsBook and Market ValueSeptember 30, 2017(Continued)Police Restricted SeizureUtility Debt Service2015 CO-Airport2015 CO-Parks/Streets/ Vehicles2015 CO-Stormwater 2015 CO-Tax Facilities2015 CO-Water2015 GO-Roads–$ –$ –$ –$ –$ –$ –$ –$ 1,402 68,263 29,877 984,188 1,431,863 - 13,884 4,184,603 1,402$ 68,263$ 29,877$ 984,188$ 1,431,863$ –$ 13,884$ 4,184,603$ Valley View Consulting, L.L.C.25
City - AllocationJPMorgan Chase CashSouthside Bank MMAGreen Bank MMANexBank MMATexPoolTexSTARLubbock National Bank CD 10/02/17Green Bank CD11/03/17Southside Bank CD11/17/17Lubbock National Bank CD 02/23/18LegacyTexas Bank CD 03/09/18Southside Bank CD06/01/18Southside Bank CD08/01/18Lubbock National Bank CD 01/03/19R Bank CD02/21/19Independent Bank CD03/01/19TotalsBook and Market ValueSeptember 30, 2017(Continued)2015A GO-Roads2015A GO-Parks2015 Revenue Electric2015 Revenue Water WW2016 CO- Rivery TIRZ2016 CO- Streets/ Facilities/ Equip2016 GO Bonds2016 GO- Parks–$ –$ –$ –$ –$ –$ –$ –$ 74,073 946,835 957 4,375,333 4,167 1,073,477 786 2,026,908 74,073$ 946,835$ 957$ 4,375,333$ 4,167$ 1,073,477$ 2,026,908$ 786$ Valley View Consulting, L.L.C.26
City - AllocationJPMorgan Chase CashSouthside Bank MMAGreen Bank MMANexBank MMATexPoolTexSTARLubbock National Bank CD 10/02/17Green Bank CD11/03/17Southside Bank CD11/17/17Lubbock National Bank CD 02/23/18LegacyTexas Bank CD 03/09/18Southside Bank CD06/01/18Southside Bank CD08/01/18Lubbock National Bank CD 01/03/19R Bank CD02/21/19Independent Bank CD03/01/19TotalsBook and Market ValueSeptember 30, 2017(Continued)2016 GO- Roads2016 Revenue Electric2016 Revenue Water/WWGarey Park Donation2017 CO Facilities/ Public Safety/ Equipment2017 GO- Parks2017 GO- Sidewalks–$ –$ –$ –$ –$ –$ –$ 4,051,000 2,025,509 5,520,248 5,495,155 1,584,661 331,241 1,236 5,272,717 5,043,726 3,267,803 500,541 507,931 4,382,241$ 1,236$ 7,298,226$ 5,043,726$ 8,788,051$ 5,995,697$ 2,092,592$ Valley View Consulting, L.L.C.27
City - AllocationJPMorgan Chase CashSouthside Bank MMAGreen Bank MMANexBank MMATexPoolTexSTARLubbock National Bank CD 10/02/17Green Bank CD11/03/17Southside Bank CD11/17/17Lubbock National Bank CD 02/23/18LegacyTexas Bank CD 03/09/18Southside Bank CD06/01/18Southside Bank CD08/01/18Lubbock National Bank CD 01/03/19R Bank CD02/21/19Independent Bank CD03/01/19TotalsBook and Market ValueSeptember 30, 2017(Continued)2017 Revenue Electric2017 Revenue Water WW–$ –$ 1,969,786 17,815,387 559,762 2,275,199 2,529,548$ 20,090,586$ Valley View Consulting, L.L.C.28
City - AllocationInvestment Total Consolidated2013 GO- Parks/Public Safety2014 CO- Downtown Parks2014 GO2014 Revenue Electric2014 Revenue Water WWDebt ServiceJPMorgan Chase Cash12,301,336$ 12,301,336$ –$ –$ –$ –$ –$ –$ Southside Bank MMA– – Green Bank MMA6,464,728 6,464,728 NexBank MMA44,265,316 926,481 TexPool4,564,988 4,564,988 TexSTAR63,929,038 5,541,666 1,485,804 199,816 200 651,969 4,322,489 13,065,714 Lubbock National Bank CD 07/03/17 3,031,068 3,031,068 Lubbock National Bank CD 07/03/17 2,525,890 Lubbock National Bank CD 07/03/17 3,031,068 LegacyTexas Bank CD 08/18/17 3,039,206 3,039,206 Lubbock National Bank CD 10/02/17 2,021,808 Green Bank CD11/03/17 1,527,205 1,527,205 Southside Bank CD11/17/17 3,065,231 3,065,231 Lubbock National Bank CD 02/23/18 6,023,706 6,023,706 LegacyTexas Bank CD 03/09/18 5,015,139 5,015,139 Southside Bank CD06/01/18 3,500,000 3,500,000 Southside Bank CD08/01/18 5,000,000 5,000,000 Lubbock National Bank CD 01/03/19 3,018,663 3,018,663 R Bank CD02/21/19 6,021,838 6,021,838 Independent Bank CD03/01/19 1,500,000 1,500,000 Totals179,846,228$ 70,541,254$ 1,485,804$ 199,816$ 200$ 651,969$ 4,322,489$ 13,065,714$ June 30, 2017Book and Market ValueValley View Consulting, L.L.C.29
City - AllocationJPMorgan Chase CashSouthside Bank MMAGreen Bank MMANexBank MMATexPoolTexSTARLubbock National Bank CD 07/03/17Lubbock National Bank CD 07/03/17Lubbock National Bank CD 07/03/17LegacyTexas Bank CD 08/18/17Lubbock National Bank CD 10/02/17Green Bank CD11/03/17Southside Bank CD11/17/17Lubbock National Bank CD 02/23/18LegacyTexas Bank CD 03/09/18Southside Bank CD06/01/18Southside Bank CD08/01/18Lubbock National Bank CD 01/03/19R Bank CD02/21/19Independent Bank CD03/01/19TotalsJune 30, 2017Book and Market Value(Continued)Police Restricted SeizureUtility Debt Service2015 CO-Airport2015 CO-Parks/Streets/ Vehicles2015 CO-Stormwater 2015 CO-Tax Facilities2015 CO-Water2015 GO-Roads–$ –$ –$ –$ –$ –$ –$ –$ 1,398 68,088 29,801 1,297,780 1,428,195 136 13,849 4,182,993 1,398$ 68,088$ 29,801$ 1,297,780$ 1,428,195$ 136$ 13,849$ 4,182,993$ Valley View Consulting, L.L.C.30
City - AllocationJPMorgan Chase CashSouthside Bank MMAGreen Bank MMANexBank MMATexPoolTexSTARLubbock National Bank CD 07/03/17Lubbock National Bank CD 07/03/17Lubbock National Bank CD 07/03/17LegacyTexas Bank CD 08/18/17Lubbock National Bank CD 10/02/17Green Bank CD11/03/17Southside Bank CD11/17/17Lubbock National Bank CD 02/23/18LegacyTexas Bank CD 03/09/18Southside Bank CD06/01/18Southside Bank CD08/01/18Lubbock National Bank CD 01/03/19R Bank CD02/21/19Independent Bank CD03/01/19TotalsJune 30, 2017Book and Market Value(Continued)2015A GO-Roads2015A GO-Parks2015 Revenue Electric2015 Revenue Water WW2016 CO- Rivery TIRZ2016 CO- Streets/ Facilities/ Equip2016 GO Bonds2016 GO- Parks–$ –$ –$ –$ –$ –$ –$ –$ 73,883 1,714,195 1,410,458 4,767,331 4,156 2,086,907 3,020,720 3,031,068 2,021,808 73,883$ 1,714,195$ 1,410,458$ 4,767,331$ 4,156$ 2,086,907$ 5,052,876$ 3,020,720$ Valley View Consulting, L.L.C.31
City - AllocationJPMorgan Chase CashSouthside Bank MMAGreen Bank MMANexBank MMATexPoolTexSTARLubbock National Bank CD 07/03/17Lubbock National Bank CD 07/03/17Lubbock National Bank CD 07/03/17LegacyTexas Bank CD 08/18/17Lubbock National Bank CD 10/02/17Green Bank CD11/03/17Southside Bank CD11/17/17Lubbock National Bank CD 02/23/18LegacyTexas Bank CD 03/09/18Southside Bank CD06/01/18Southside Bank CD08/01/18Lubbock National Bank CD 01/03/19R Bank CD02/21/19Independent Bank CD03/01/19TotalsJune 30, 2017Book and Market Value(Continued)2016 GO- Roads2016 Revenue Electric2016 Revenue Water/WWGarey Park Donation2017 CO Facilities/ Public Safety/ Equipment2017 GO- Parks2017 GO- Sidewalks–$ –$ –$ –$ –$ –$ –$ 4,037,035 2,018,518 5,501,222 5,476,217 2,625,583 522,417 1,805,872 3,142,638 5,030,803 3,621,973 1,041,656 13,723 2,525,890 4,559,452$ 1,805,872$ 7,687,045$ 5,030,803$ 9,123,195$ 6,517,873$ 2,639,307$ Valley View Consulting, L.L.C.32
City - AllocationJPMorgan Chase CashSouthside Bank MMAGreen Bank MMANexBank MMATexPoolTexSTARLubbock National Bank CD 07/03/17Lubbock National Bank CD 07/03/17Lubbock National Bank CD 07/03/17LegacyTexas Bank CD 08/18/17Lubbock National Bank CD 10/02/17Green Bank CD11/03/17Southside Bank CD11/17/17Lubbock National Bank CD 02/23/18LegacyTexas Bank CD 03/09/18Southside Bank CD06/01/18Southside Bank CD08/01/18Lubbock National Bank CD 01/03/19R Bank CD02/21/19Independent Bank CD03/01/19TotalsJune 30, 2017Book and Market Value(Continued)2017 Revenue Electric2017 Revenue Water WW–$ –$ 5,926,317 17,753,944 1,111,389 2,271,019 7,037,706$ 20,024,963$ Valley View Consulting, L.L.C.33
Valley View Consulting, L.L.C.0.001.002.003.004.005.006.00City of Georgetown Historical Yields Georgetown TexPool Rolling 3 mo T-Bill Rolling 6 mo T-Bill Rolling 12 mo T-Bill34
Georgetown Transportation Enhancement Corporation (GTEC)QUARTERLY INVESTMENT REPORTFor the Quarter EndedSeptember 30, 2017Prepared byValley View Consulting, L.L.C.The investment portfolio of the Georgetown Transportation Enhancement Corporation (GTEC) is in compliance with the Texas Public Funds Investment Act and the Investment Policy and Strategies.________________________________ ________________________________________Elaine Wilson Leigh WallaceController Finance DirectorDisclaimer: These reports were compiled using information provided by the City. No procedures were performed to test the accuracy or completeness of this information. The market values included in these reports were obtained by Valley View Consulting, L.L.C. from sources believed to be accurate and represent proprietary valuation. Due to market fluctuations these levels are not necessarily reflective of current liquidation values. Yield calculations are not determined using standard performance formulas, are not representative of total return yields and do not account for investment advisor fees.35
FYE Results by Investment Category:Asset TypeAve. YieldBook ValueMarket ValueAve. YieldBook ValueMarket ValuePools0.40% 15,794,940$ 15,794,940$ 1.22% 14,966,954$ 14,966,954$ Certificates of Deposit0.90% 10,600,691 10,600,691 1.59% 3,075,647 3,075,647 Totals26,395,630$ 26,395,630$ 18,042,602$ 18,042,602$ Fourth Quarter-End Yield0.60%1.28%Average Quarter-End Yields - Fiscal Year (1):GTEC0.53%0.96%Rolling Three Month Treasury 0.25%0.75%Rolling Six Month Treasury 0.37%0.78%TexPool0.31%0.74%(1) Average Quarterly Yield calculated using quarter-end report average yield and adjusted book value.Annual Comparison of Portfolio PerformanceSeptember 30, 2016September 30, 2017Valley View Consulting, L.L.C.36
SummaryQuarter End Results by Investment Category:Asset TypeBook ValueMarket ValueAve. YieldBook ValueMarket ValuePools/MMAs13,059,068$ 13,059,068$ 1.22%14,966,954$ 14,966,954$ CDs/Securities7,111,682 7,111,682 1.59% 3,075,647 3,075,647 Totals 20,170,749$ 20,170,749$ 18,042,602$ 18,042,602$ Quarter End Average Yield (1)Fiscal Year-to-Date Average Yield (2)Total Portfolio 1.28%Total Portfolio 0.96%Rolling Three Mo. Treas. Yield 1.05%Rolling Three Mo. Treas. Yield 0.75%Rolling Six Mo. Treas. Yield 1.09%Rolling Six Mo. Treas. Yield 0.78%Quarterly TexPool Yield 0.74%Interest data provided in separate report.June 30, 2017(1) Average Yield calculated using quarter end report yields and adjusted book values and does not reflect a total return analysis or account for advisory fees.(2) Fiscal Year-to-Date Average Yields calculated using quarter end report yields and adjusted book values and does not reflect a total return analysis or account for advisory fees.September 30, 2017Valley View Consulting, L.L.C.37
Economic Overview9/30/2017 The Federal Open Market Committee (FOMC) maintained the Fed Funds target range of 1.00% - 1.25% (Effective Fed Funds are trading +/-1.16%) since the June FOMC meeting. Recent announcements have increased the probability of a December rate increase. The FOMC announced a gradual portfolio reduction by limiting reinvestment of maturing holdings. Second Quarter 2017 GDP was revised to 3.1%. September Non Farm Payroll data was a storm influenced negative 33k, with downward revisions to August and July. Other US data generally showed positive with a few negative numbers. The Stock Markets achieved new highs. Monitoring estimated balances and needs will determine laddering opportunities.02505007501,0001,2501,5001,7502,0002,2502,5002,750S&P 5000.000.501.001.502.002.503.00US Treasury Historical Yields - Since Nov 2015Six Month T-BillTwo Year T-NoteTen Year T-Note0.000.501.001.502.002.50Treasury Yield CurvesSeptember 30, 2016June 30, 2017September 30, 20170.000.501.001.502.002.503.003.504.004.505.005.50US Treasury Historical Yields - Since 2006Six Month T-BillTwo Year T-NoteTen Year T-NoteValley View Consulting, L.L.C.38
Investment HoldingsCoupon/Maturity Settlement Face Amount/Book Market Market Life Description Ratings Discount Date Date Par ValueValue PriceValue (Day)YieldTexPool AAAm 1.02% 10/01/17 09/30/17 3,034,928$ 3,034,928$ 1.00 3,034,928$ 1 1.02%TexSTARAAAm 1.04% 10/01/17 09/30/17 3,985,441 3,985,441 1.00 3,985,441 1 1.04%NexBank MMA1.47% 10/01/17 09/30/17 5,397,098 5,397,098 1.00 5,397,098 1 1.47%Green Bank MMA1.21% 10/01/17 09/30/17 2,549,487 2,549,487 1.00 2,549,487 1 1.21%R Bank CD1.59% 09/22/19 08/22/17 3,075,647 3,075,647 100.00 3,075,647 722 1.59%18,042,602$ 18,042,602$ 18,042,602$ 124 1.28%(1) (2)September 30, 2017(1) Weighted average life - For purposes of calculating weighted average life, bank accounts, pools and money market funds are assumed to have an one day maturity.(2) Weighted average yield to maturity - The weighted average yield to maturity is based on adjusted book value, realized and unrealized gains/losses and investment advisory fees are not considered. The yield for the reporting month is used for bank accounts, pools, and money market funds.Valley View Consulting, L.L.C.39
Pools/MMAs 83%CDs/Securities 17%GTEC PORTFOLIO COMPOSITION $0 $5,000,000 $10,000,000 $15,000,000 $20,000,000 $25,000,000 $30,000,00012/31/16 3/31/2017 6/30/2017 6/30/17GTEC PORTFOLIO BALANCES CD TexPool TexSTAR Money MarketValley View Consulting, L.L.C.40
Book Value ComparisonCoupon/Maturity Face Amount/Purchases/Sales/Adjust/Face Amount/DescriptionDiscount Date Par Value Book ValueAdjustments Call/Maturity Par Value Book ValueTexPool 1.02% 10/01/17 1,792,830$ 1,792,830$ 1,242,098$ –$ 3,034,928$ 3,034,928$ TexSTAR1.04% 10/01/17 2,723,112 2,723,112 1,262,329 3,985,441 3,985,441 NexBank MMA1.47% 10/01/17 6,001,333 6,001,333 (604,235) 5,397,098 5,397,098 Green Bank MMA1.21% 10/01/17 2,541,792 2,541,792 7,695 2,549,487 2,549,487 Lubbock National Bank CD 0.95% 07/03/17 4,041,424 4,041,424 (4,041,424)– – Lubbock National Bank CD 1.05% 08/18/17 3,070,257 3,070,257 (3,070,257)– – R Bank CD1.59% 09/22/19– – 3,075,647 3,075,647 3,075,647 TOTAL20,170,749$ 20,170,749$ 5,587,769$ (7,715,917)$ 18,042,602$ 18,042,602$ Market Value Comparison Coupon/Maturity Face Amount/Qtr to QtrFace Amount/DescriptionDiscount Date Par Value Market ValueChange Par Value Market ValueTexPool 1.02% 10/01/17 1,792,830$ 1,792,830$ 1,242,098$ 3,034,928$ 3,034,928$ TexSTAR1.04% 10/01/17 2,723,112 2,723,112 1,262,329 3,985,441 3,985,441 NexBank MMA1.47% 10/01/17 6,001,333 6,001,333 (604,235) 5,397,098 5,397,098 Green Bank MMA1.21% 10/01/17 2,541,792 2,541,792 7,695 2,549,487 2,549,487 Lubbock National Bank CD 0.95% 07/03/17 4,041,424 4,041,424 (4,041,424)– – Lubbock National Bank CD 1.05% 08/18/17 3,070,257 3,070,257 (3,070,257)– – R Bank CD1.59% 09/22/19– – 3,075,647 3,075,647 3,075,647 TOTAL20,170,749$ 20,170,749$ (2,128,148)$ 18,042,602$ 18,042,602$ June 30, 2017September 30, 2017June 30, 2017September 30, 2017Valley View Consulting, L.L.C.41
Georgetown Economic Development Corporation (GEDCO)QUARTERLY INVESTMENT REPORTFor the Quarter EndedSeptember 30, 2017Prepared byValley View Consulting, L.L.C.The investment portfolio of the Georgetown Economic Development Corporation (GEDCO) is in compliance with the Texas Public Funds Investment Act and the Investment Policy and Strategies.___________________________________ _____________________________________ Elaine Wilson Leigh WallaceController Finance DirectorDisclaimer: These reports were compiled using information provided by the City. No procedures were performed to test the accuracy or completeness of this information. The market values included in these reports were obtained by Valley View Consulting, L.L.C. from sources believed to be accurate and represent proprietary valuation. Due to market fluctuations these levels are not necessarily reflective of current liquidation values. Yield calculations are not determined using standard performance formulas, are not representative of total return yields and do not account for investment advisor fees.42
Annual Comparison of Portfolio PerformanceFYE Results by Investment Category:Asset TypeAve. YieldBook ValueMarket ValueAve. YieldBook ValueMarket ValueDemand Accounts0.55% 2,002,599$ 2,002,599$ 1.21% 2,020,468$ 2,020,468$ Pools0.44% 7,515,422 7,515,422 1.03% 4,060,879 4,060,879 Totals9,518,021$ 9,518,021$ 6,081,347$ 6,081,347$ Fourth Quarter-End Yield0.46%1.09%Average Quarter-End Yields - Fiscal Year (1):GEDCO0.38%0.84%Rolling Three Month Treasury 0.25%0.75%Rolling Six Month Treasury 0.37%0.78%TexPool0.31%0.74%(1) Average Quarterly Yield calculated using quarter-end report average yield and adjusted book value.September 30, 2016 September 30, 2017Valley View Consulting, L.L.C.43
SummaryQuarter End Results by Investment Category:Asset TypeBook ValueMarket ValueAve. YieldBook ValueMarket ValueMMA2,014,368$ 2,014,368$ 1.21%2,020,468$ 2,020,468$ Pools3,726,016 3,726,016 1.03%4,060,879 4,060,879 5,740,384$ 5,740,384$ 6,081,347$ 6,081,347$ Quarter End Average Yield (1)Fiscal Year-to-Date Average Yield (2)Total Portfolio 1.09%Total Portfolio 0.84%Rolling Three Mo. Treas. Yield 1.05%Rolling Three Mo. Treas. Yield 0.75%Rolling Six Mo. Treas. Yield 1.09%Rolling Six Mo. Treas. Yield 0.78%Quarterly TexPool Yield 0.74%Interest income provided in separate report.June 30, 2017(1) Average Yield calculated using quarter end report yields and adjusted book values and does not reflect a total return analysis or account for advisory fees.(2) Fiscal Year-to-Date Average Yields calculated using quarter end report yields and adjusted book values and does not reflect a total return analysis or account for advisory fees.September 30, 2017Valley View Consulting, L.L.C.44
Economic Overview9/30/2017 The Federal Open Market Committee (FOMC) maintained the Fed Funds target range of 1.00% - 1.25% (Effective Fed Funds are trading +/-1.16%) since the June FOMC meeting. Recent announcements have increased the probability of a December rate increase. The FOMC announced a gradual portfolio reduction by limiting reinvestment of maturing holdings. Second Quarter 2017 GDP was revised to 3.1%. September Non Farm Payroll data was a storm influenced negative 33k, with downward revisions to August and July. Other US data generally showed positive with a few negative numbers. The Stock Markets achieved new highs. Monitoring estimated balances and needs will determine laddering opportunities.02505007501,0001,2501,5001,7502,0002,2502,5002,750S&P 5000.000.501.001.502.002.503.00US Treasury Historical Yields - Since Nov 2015Six Month T-BillTwo Year T-NoteTen Year T-Note0.000.501.001.502.002.50Treasury Yield CurvesSeptember 30, 2016June 30, 2017September 30, 20170.000.501.001.502.002.503.003.504.004.505.005.50US Treasury Historical Yields - Since 2006Six Month T-BillTwo Year T-NoteTen Year T-NoteValley View Consulting, L.L.C.45
Investment HoldingsCoupon/Maturity Settlement Face Amount/Book Market Market Life Description Ratings Discount Date Date Par ValueValue PriceValue (Day)YieldGreen Bank MMA1.21% 10/01/17 09/30/17 2,020,468$ 2,020,468$ 1.00 2,020,468$ 1 1.21%TexasDAILYAAAm 1.02% 10/01/17 09/30/17 2,023,832 2,023,832 1.00 2,023,832 1 1.02%TexSTARAAAm 1.04% 10/01/17 09/30/17 2,037,048 2,037,048 1.00 2,037,048 1 1.04%6,081,347$ 6,081,347$ 6,081,347$ 1 1.09%(1) (2)September 30, 2017(1) Weighted average life - For purposes of calculating weighted average life, bank accounts, pools and money market funds are assumed to have an one day maturity.(2) Weighted average yield to maturity - The weighted average yield to maturity is based on adjusted book value, realized and unrealized gains/losses and investment advisory fees are not considered. The yield for the reporting month is used for bank accounts, pools, and money market funds.Valley View Consulting, L.L.C.46
MMA 33%Pools 67%GEDCO PORTFOLIO COMPOSITION $0 $1,000,000 $2,000,000 $3,000,000 $4,000,000 $5,000,000 $6,000,000 $7,000,00012/31/16 03/31/17 06/30/17 09/30/17GEDCO PORTFOLIO BALANCES TexasDAILY TexSTAR Money MarketValley View Consulting, L.L.C.47
Book Value ComparisonCoupon/Maturity Face Amount/Purchases/Sales/Adjust/Face Amount/DescriptionDiscount Date Par Value Book ValueAdjustments Call/Maturity Par Value Book ValueGreen Bank MMA1.21% 10/01/17 2,014,368$ 2,014,368$ 6,100$ –$ 2,020,468$ 2,020,468$ TexasDAILY1.02% 10/01/17 2,018,771 2,018,771 5,060 2,023,832 2,023,832 TexSTAR1.04% 10/01/17 1,707,245 1,707,245 329,803 2,037,048 2,037,048 TOTAL5,740,384$ 5,740,384$ 340,963$ –$ 6,081,347$ 6,081,347$ Market Value ComparisonQtr to Qtr ChangeGreen Bank MMA 1.21% 10/01/17 2,014,368$ 2,014,368$ 6,100$ 2,020,468$ 2,020,468$ TexasDAILY 1.02% 10/01/172,018,771 2,018,771 5,060 2,023,832 2,023,832 TexSTAR 1.04% 10/01/171,707,245 1,707,245 329,803 2,037,048 2,037,048 TOTAL 5,740,384$ 5,740,384$ 340,963$ 6,081,347$ 6,081,347$ June 30, 2017 September 30, 2017June 30, 2017 September 30, 2017Valley View Consulting, L.L.C.48
Grant Description Grantor Grant Amount Match Status
Fire
Fire Extinguisher Training System Firehouse Subs Public Safety Foundation 10,332$ -$ Received
Staffing for Adequate Fire Emergency
Response (SAFER)Federal Emergency Management Agency (FEMA)1,600,000$ 1,100,000$ Application not submitted
Emergency Management Performance
grant Office of Emergency Management 114,144$ 230,330$ Received
Library
Community Resources Coordinator Texas State Library & Archives Commission 75,000$ -$ Received
Family Place Libraries Texas State Library & Archives Commission 6,000$ -$ Received
Parks
Recreation Trails Texas Parks and Wildlife Department 200,000$ 40,000$ Funding Approved
Transportation
Transit program Georgetown Health Foundation 200,000$ -$ Funding Approved
Airport
Airport Ramp Grant Texas Department of Transportation 50,000$ 50,000$ Funding Approved
GUS - Electric
Battery Storage Project Department of Energy 200,000$ 50,000$ Funding Approved
2,455,476$ 1,470,330$
CITY OF GEORGETOWN
GRANT APPLICATIONS
as of September 30, 2017
49
Capital Improvement Projects
For the Quarter Ended
September 30, 2017
2016/17 Year to Date Year to Date
Project Budget Expenditures Encumbrances Balance
General Government CIP
Public Safety & Facilities
6CR Public Safety Facility ‐ 182,008 (79,979) (102,029) [a]
6DP Fire Station ESD 300,000 ‐ ‐ 300,000
6DQ EOC Siren System ‐ ‐ ‐ ‐
6EW Transfer Station / Landfill 290,518 267,969 (23,788) 46,337
7AD Communications ‐ 11,951 (11,951) ‐
9BE Preventative Maintenance 27,395 186,125 (180,528) 21,798
224 ERP Project 250,000 ‐ ‐ 250,000
225 Radio Replacements, Fire 217,834 ‐ 217,834 ‐
228 Radio Replacements, Police 217,834 ‐ 217,834 ‐
Public Safety & Facilities Subtotal 1,303,580 648,052 139,422 516,106
Parks CIP
1DX SH29 To Leander Rd SW 1,000,000 673,729 87,007 239,264
6CP San Gabriel Park Improvements 3,307,600 1,591,389 1,520,372 195,838
6DD New Village Parks ‐ ‐ ‐ ‐
6DE SG Bank Stabilization ‐ 2,910 (2,910) ‐
6DM VFW Park 30,353 823,853 (775,561) (17,939) [a]
6DO Garey Park 13,500,000 5,178,551 7,410,090 911,359
6ES ADA Facilities 295,278 15,433 ‐ 279,845
6ET ADA Parks 368,242 188,516 149,299 30,427
9AW CDBG‐MLK/3rd St ‐ 7,284 (6,809) (475) [a]
6DB McMaster Park ‐ 13,879 (13,879) ‐
6EH Village Park 43,891 43,891 ‐ ‐
6EI Founder's Park 70,000 ‐ ‐ 70,000
218 River Trail Expansion ‐ ‐ ‐ ‐
219 Radio Replacement Parks 64,333 ‐ 64,333 ‐
220 Library Canopy ‐ ‐ ‐ ‐
221 Grace Heritage Rehab ‐ ‐ ‐ ‐
6EZ Aquatics Study 40,000 ‐ 38,550 1,450
Parks CIP Subtotal 19,661,812 8,631,642 8,771,723 2,258,447
Downtown & Community Service
46P Sheraton @ The Summit ‐ 2,372,644 ‐ (2,372,644) [a]
6EJ Parking Facility Study / Design ‐ 61,211 (61,211) ‐
6EK Former PD Renovation ‐ 144 (144) ‐
6EM Downtown West 12,423,883 660,395 (656,020) 12,419,508
6EY Downtown Electrical Projects 185,000 95,080 ‐ 89,920
9BE Preventative Maintenance ‐ ‐ 8,289 (8,289) [a]
226 Downtown Festival Area 460,000 ‐ ‐ 460,000
Downtown & Community Service Subtotal 13,298,883 3,189,474 (694,086) 10,803,495
Total General Government CIP 34,264,275$ 12,469,169$ 8,217,058$ 13,578,048$
NOTES:
[a] Individual projects may go over budget as long as total expenditures
for all CIP projects are within the department's total budget.
50
Capital Improvement Projects
For the Quarter Ended
September 30, 2017
2016/17 Year to Date Year to Date
Project Budget Expenditures Encumbrances Balance
Transportation Services CIP
Streets / Transportation
1BM 2010 Street Rehab / Maintenance ‐ ‐ ‐ ‐
1AU Street Rehab‐West ‐ ‐ ‐ ‐
1BU Streets Rehabilitation ‐$ 3,539$ (3,539)$ ‐$
1BZ 971 @ Austin Ave.‐ 101,614 (101,614) ‐
1CA SW Bypass Leander to I35 ‐ ‐ ‐ ‐
1CC FM 1460 1,019,140 461,442 (22,287) 579,985
1CD Pavement Condition index ‐ ‐ ‐ ‐
1CE Street Maintenance 924,259 67,630 64,593 792,036
1CF Street Overlay/Microsurfacing 1,200,000 13,505 1,068,423 118,073
1CJ Austin Avenue Sidewalks 70,000 40,650 29,540 (190) [a]
1CN Sealant ‐ 1,442 (1,442) ‐
1CP 2012 Street Rehab ‐ ‐ ‐ ‐
1CQ SE I/L Schematic Design ‐ ‐ ‐ ‐
1CR SW Bypass‐29 to Leander ‐ ‐ ‐ ‐
1CS DB Wood Bridge ‐ 28,725 (35,410) 6,685
1CU Cutler Process 1,678,000 559,410 672,844 445,747
1DE Williams Dr @ Jimm Hogg Rd ‐ ‐ ‐ ‐
1DG Sheraton Parking Garage ‐ ‐ ‐ ‐
1DI SW Bypass / WR Parkway 2,324,930 11,249,022 (11,248,958) 2,324,866
1DK Southeast Inner Loop ‐ 1,222,000 10,468 (1,232,468) [a]
1DL Austin Avenue Bridge 278,463 198,171 (7,841) 88,132
1DM Street Maintenance 2016 ‐ 17,540 (17,540) ‐
1DN Acces Rtw to Gov Srv ‐ 146,712 (6,778) (139,935) [a]
1DO Austin Avenue at 5th St Light ‐10,129 (39,458) 29,329
1DP 8th St Church to Myrtle ‐29,501 (29,417) (84) [a]
1DR PH 1 Signal and Curb Ramps 500,000 43,790 (38,990) 495,200
1DX SH29 to Leander Rd SW ‐ 40 ‐ (40) [a]
1EB City Wide Sidewalks 904,398 645,410 288,128 (29,140)
1ED Signal @ Shell/Verde Vista 50,000 9,993 ‐ 40,007
5AL Curb & Gutter 100,000 756,571 (756,571) 100,000
1EF Old Town North East 960,000 12,328 160,796 786,876
6DB McMaster Park ‐ 9,740 500 (10,240) [a]
9AT Madella Hillard / Library s‐w ‐ ‐ ‐ ‐
9AU University Sidewalks ‐ 75,526 (75,526) ‐
213 Street Overlay 300,000 ‐ ‐ 300,000
214 Chip and Seal ‐ ‐ ‐ ‐
Streets / Transportation Subtotal 10,309,190 15,704,429 (10,090,078) 4,694,839
Stormwater
1EC 2017 Drainage Improvements ‐ 20,200 81,495 (101,696)
5AL Curb and Gutter 500,000 221,532 (185,982) 464,450
5AW Regional Flood Study 617,929 449,059 186,814 (17,944) [a]
208 Stormwater Infrastructure 200,000 ‐ ‐ 200,000
209 18th and Hutto Drainage 100,000 ‐ ‐ 100,000
210 2nd and Rock Pond 50,000 ‐ ‐ 50,000
211 Serenada Culvert Improvement 50,000 ‐ ‐ 50,000
212 Village PID Inlet 75,000 ‐ ‐ 75,000
Stormwater Subtotal 1,592,929 690,792 82,327 819,810
Airport
6VA Airport Master Plan ‐ 470 ‐ (470) [a]
Airport Subtotal ‐ 470 ‐ (470)
Total Transportation Services CIP 11,902,119$ 16,395,691$ (10,007,750)$ 5,514,179$
NOTES:
[a] Individual projects may go over budget as long as total expenditures
for all CIP projects are within the department's total budget.
51
Capital Improvement Projects
For the Quarter Ended
September 30, 2017
2016/17 Year to Date Year to Date
Project Budget Expenditures Encumbrances Balance
Water Services CIP
Wastewater Line Upgrades:
2BB Wastewater Master Plan Update ‐ ‐ ‐ ‐
3BZ Wastewater ‐ Street Rehab 136,000$ ‐$ ‐$ 136,000$
3CJ Berry Creek Interceptor 20,328,900 79,958 (79,958) 20,328,900
5QZ Snead Drive ‐ ‐ ‐ ‐
2BV Tin Barn / 17th & Austin Ave.‐ ‐ ‐ ‐
2CJ Meter Issue ‐ ‐ ‐ ‐
3CO Wolf Lakes Offsite WW 969,100 5,597 43,754 919,750
6CR Public Safety Facility ‐ ‐ ‐ ‐
Wastewater Line Upgrades Subtotal 21,434,000 85,555 (36,205) 21,384,650
WW Edwards Aquifer Compliance:
3CK EARZ 2014‐15 19,470 45,273 (25,803) ‐
3CL EARZ 2015‐2016 669,205 737,316 (60,396) (7,715) [a]
3CM EARZ 2016‐17 811,325 302,350 56,149 452,826
WW Edwards Aquifer Compliance Subtotal 1,500,000 1,084,939 (30,050) 445,111
WW Lift stations & Force Mains
3CD Stonehedge LS & FM 27,572 7,693 (7,693) 27,572
3CE Westinghouse LS & FM 3,448,258 974,267 1,266,924 1,207,067
3CN Park LS & FM 3,982,000 220,240 176,020 3,585,740
207 San Gabriel Belt Press 2,207,000 ‐ ‐ 2,207,000
3CI Austin Custom Molds LS Decommission ‐ ‐ ‐ ‐
WW Lift stations & Force Mains Subtotal 9,664,830 1,202,200 1,435,251 7,027,379
WW Treatment Plant
3CA Pecan Branch WWTP 11,125,009 1,004,617 10,101,352 19,040
WW Treatment Plant Subtotal 11,125,009 1,004,617 10,101,352 19,040
Water CIP
1DE Williams Dr. @ Jim Hogg Rd ‐ 524 (524) ‐
2BW Westside Facility ‐ 335,504 (209,006) (126,498) [a]
2BZ West Loop (H‐1B) Ph. 1 4,158,187 81,677 229,073 3,847,437
2CE Rabbit Hill EST ‐ 644,732 (644,732) ‐
2CH Cedar Breaks EST ‐ 2,295,814 (2,295,769) (45) [a]
2CI Shell Road Water Line 6,078,793 42,131 (2,916) 6,039,578
2CJ Meter Issue ‐ 187,428 ‐ (187,428) [a]
2CK Daniels Mountain GST ‐ 11,103 (8,536) (2,567) [a]
2CL Park WTP Pump Station ‐ 1,630 (1,630) ‐
2CO Majestic Oaks Water Line ‐ (49,998) ‐ 49,998
2CP Sun City 1.5MG Est 3,050,000 190,053 125,568 2,734,379
2CQ Water Tank Rehab 480,000 40,042 40,000 399,958
2CR Sunny Slope Water Lines ‐ 20,000 ‐ (20,000) [a]
2CS WD Interim Water Master Plan ‐ 35,132 ‐ (35,132) [a]
2CU LWTP Raw Water Intake Rehab 600,000 ‐ 147,120 452,880
2CV LWTP Noise Analysis ‐ 11,846 623 (12,469) [a]
51I CIS System 1,161,948 784,014 357,756 20,178
2JE CR 255 WD 14‐2 3,000,000 ‐ 20,000 2,980,000
2JF Domel Improvements 4,500,000 98,140 2,106,500 2,295,360
2BN Southlake WTP 1,000,000 ‐ 49,740 950,260
201 Water ‐ Street Rehabilitation 330,000 ‐ ‐ 330,000
202 Leander Interconnect 575,000 ‐ ‐ 575,000
203 West Loop (H‐1A)2,119,000 ‐ ‐ 2,119,000
205 Sequoia Ground Storage Tank 2,500,000 ‐ ‐ 2,500,000
206 Pumps and Storage 1,684,186 ‐ ‐ 1,684,186
Water CIP Subtotal 31,237,114 4,729,771 (86,733) 26,594,075
Rural Water CIP
2CN PRV Improv SH129 & CR245 ‐ ‐ ‐ ‐
2CO Majestic Oaks Water Lines ‐ ‐ ‐ ‐
2JE CR 255 (WD 14‐2)‐ ‐ ‐ ‐
2JF Domel Improvements ‐ ‐ ‐ ‐
Rural Water CIP Subtotal ‐ ‐ ‐ ‐
AMI/CIS‐Water
2CG Asset Management ‐ 15,602 (602) (15,000) [a]
Water/AMI/CIS Subtotal ‐ 15,602 (602) (15,000)
Total Water Services CIP 74,960,953$ 8,122,684$ 11,383,013$ 55,455,256$
NOTES:
[a] Individual projects may go over budget as long as total expenditures
for all CIP projects are within the department's total budget.
52
Capital Improvement Projects
For the Quarter Ended
September 30, 2017
2016/17 Year to Date Year to Date
Project Budget Expenditures Encumbrances Balance
GTEC CIP
5QC Southwest Bypass ‐ 16,983 ‐ (16,983) [a]
5QY NB Frontage Rd 2338 to Lakeway ‐ 16,242 (16,242) ‐
5QX Northwest Boulevard Bridge 91,590 159,433 (1,412) (66,431) [a]
5RI Mays Street (S. Georgetown TIRZ)3,500,000 6,641,618 (6,397,622) 3,256,004
5RJ IH 35 / Hwy 29 Intersection Improvements ‐ ‐ ‐ ‐
5RL FM 1460 Widening ‐ 20 ‐ (20) [a]
5RM Rivery Ext (Williams Dr. ‐ Nwest Blvd.)4,000,000 3,123,147 82,090 794,762
5RN Pecan Center Dr. / Airport Rd.6,000,000 434,016 175,694 5,390,290
5RO Southwest Bypass ‐ Laubach 354,920 21,282 ‐ 333,638
5RP Rivery TIA Improvements 1,157,121 172,776 (32,446) 1,016,791
5RQ Rabbit Hill Road Improvements ‐ 361,525 (359,775) (1,750) [a]
1CI Williams Dr. Widening ‐ 26,674 ‐ (26,674) [a]
1CC FM 1460 Roadway Improvement 650,000 101,939 46,781 501,280
215 Wolf Ranch Parkway Extension 283,350 ‐ ‐ 283,350
216 IH 35 / Hwy 29 Intersection 650,000 ‐ ‐ 650,000
Total GTEC CIP 18,155,731$ 11,075,654$ (6,502,931)$ 13,583,008$
Notes:
[a] Individual projects may go over budget as long as total expenditures
for all CIP projects are within the department's total budget.
53
Capital Improvement Projects
For the Quarter Ended
September 30, 2017
2016/17 Year to Date Year to Date
Budget Expenditures Encumbrances Balance
Electric CIP
9‐0580‐90‐139 17th Street Rehab 50,000 ‐ ‐ 50,000
9‐0580‐90‐140 7th Street Rehab 200,000 ‐ ‐ 200,000
9‐0580‐90‐141 Downtown OH Rehab 500,000 ‐ ‐ 500,000
9‐0580‐90‐142 Downtown West 970,000 ‐ ‐ 970,000
9‐0580‐90‐143 Shell Road Feeders 450,000 ‐ ‐ 450,000
9‐0580‐90‐144 Pole Relocation 50,000 995 2,631 46,374
9‐0580‐90‐145 Sidewalks South College 50,000 59,009 ‐ (9,009) [a]
9‐0580‐90‐146 Southwest Bypass Feeder 300,000 ‐ ‐ 300,000
9‐0580‐90‐147 West 10th Street Rehab 98,000 ‐ ‐ 98,000
9‐0580‐90‐148 West 11th Street Rehab 200,000 ‐ ‐ 200,000
9‐0580‐90‐300 Electrical System Improvement ‐ 1,172,998 (250,615) (922,383) [a]
9‐0580‐90‐310 Power Quality Improvements 80,000 13,494 ‐ 66,506
9‐0580‐90‐320 Sectionalization Improvements 50,000 ‐ ‐ 50,000
9‐0580‐90‐330 Pole Improvements ‐ 4,442 ‐ (4,442) [a]
9‐0580‐90‐331 Pole Inspections 50,000 ‐ ‐ 50,000
9‐0580‐90‐350 Relocation Projects Reimbursements ‐ 40,056 ‐ (40,056) [a]
9‐0580‐90‐410 New Development Projects 1,200,000 2,941,934 (15,840) (1,726,094) [a]
9‐0580‐90‐420 Reimbursements New Development ‐ 37,445 ‐ (37,445) [a]
9‐0580‐90‐430 Street Lighting 88,000 14,992 ‐ 73,008
9‐0580‐90‐500 Consultant Engineering 150,000 91,563 ‐ 58,437
9‐0580‐90‐510 System Mapping Support ‐ ‐ ‐ ‐
Electric CIP Subtotal 4,486,000 4,376,928 (263,824) 372,896
T&D
9‐0585‐90‐003 Electric Substations ‐ 17,743 (15,974) (1,769) [a]
9‐0585‐90‐021 Communication Equipment 295,000 179,449 (74,791) 190,342
T&D Subtotal 295,000 197,191 (90,765) 188,574
CIS
9‐0580‐91‐105 CIS system 2,175,000 476,098 1,390,337 308,565
CIS Subtotal 2,175,000 476,098 1,390,337 308,565
Total Electric CIP 6,956,000 5,050,217 1,035,748 870,035
NOTES:
[a] Individual projects may go over budget as long as total expenditures
for all CIP projects are within the department's total budget.
54
Unfunded Liability & CommitmentsFinancial Impact/Notes Status Updates ‐ 6/30/17Status Updates ‐ 9/30/17Cemetery Special Revenue FundCurrently cemetery operations are self‐funded through plot sales of approximately $50K per year. The cemetery is managed through Parks Administration. In 2015, Council elected to reserve $75,000 annually for future costs associated with maintaining the property. The General Fund has made this transfer in 2016 and 2017.Columbarium is in design stage. With the rebid and consolidation of the citywide mowing contract, maintenance costs have increased beyond revenue from plot and niche sales and will slow the growth of the perpetual reserve. Staff and Council should discuss the long‐term plan for the perpetual reserve and maintenance of the cemeteries.Columbarium design is scheduled to be completed in December. Mowing and maintenance costs compared to perpetual reserve still needs to be discussed.Unfunded Actuarial Accrued Liability (UAAL)Recognizes the outstanding liability for the City’s employee retirement plan through TMRS. The City contributes monthly to fund the UAAL, based on an annual percentage of payroll. Actual % of payroll costs is recognized within each fund. The UAAL is provided by TMRS and lags one year.As of 12/30/16, the UAAL was $22M and is considered 83% funded. The 2018 TMRS contribution rate is 12.41%.No change, updated once annually.Other Post Employee Benefits (OPEB)While the City has no obligation to offer additional retiree benefits, retirees are eligible to participate in the City’s health insurance program. That ability represents a subsidy that impacts health insurance costs to the City. Retirees pay their monthly premiums to the ISF who in turn processes their health insurance claims. This is an actuarial calculation based on current and future employees on future City health insurance costs, and has numerous and complex factors in its calculation. Retirees pay their own premiums, and thus the liability is considered “pay as you go”. With additional employees being added, potential future retiree impacts increase. The 2016 current net OPEB liability is $972,576 which is an increase of $185,876 over the prior year. No change. GASB requires updates every other year.Compensated AbsenceFuture costs associated with benefits such as vacation, and sick leave for City employees. Compensated Absence is accrued annually to each proprietary fund type on a GAAP basis and accounted for on the balance sheet of each fund. For governmental funds (and for budgetary basis), the expense is recognized when due and payable. The 15% liability target was fully funded in FY 2018 budget. In FY 2017 these funds were used for two long‐tenured payouts in Police and Fire.No change. GASB requires updates every other year.Rate Stabilization ReserveIntended to mitigate potential rate impacts due to increased fuel costs or other external factors. The RSR is maintained within the Electric Fund and is projected to be $4.5M in FY2017. Potentially, a similar reserve could be developed for the Water Fund.The Electric Fund experienced higher than usual purchased power costs in FY 2016. Staff and Council took action to amend the FY 2016 budget and FY 2017 budget to maintain $4,775,000 in cash reserves for Contingency. Cash reserves for Rate Stabilization will need to be built back up. The Electric Fund will procure a new rate study in FY 2018 to determine a new rate stabilization target. The rate study is funded in the budget. Year‐end purchased power and CIP costs will exceed projections and require a year‐end amendment. Finance and utility staff are partnering on short and long‐term solutions to rebuild the rate stabilization fund.September 30, 2017CITY OF GEORGETOWNLong-term Commitments, Reservations, and Other Unfunded Liabilities55
Unfunded Liability & CommitmentsFinancial Impact/Notes Status Updates ‐ 6/30/17Status Updates ‐ 9/30/17Airport MaintenanceFund on‐going maintenance of the Airport grounds, runways and taxi ways. Terminal and Tower included in Facilities ISF. An Airport Master Plan was developed to address long term capital maintenance project prioritization. The FY2018 proposed budget includes the establishment of 75 days of expenditure contingency reserve. The Airport Fund continues to have gradual increase in fund balance which is on pace to exceed original FY2017 budget predictions. The current Airport Improvement Project which includes the new parallel taxiway and fuel storage facility will continue well into FY2018. The current Airport Master Plan effort is scheduled to wrap up sometime in FY2018.The parallel taxiway and fuel storage facility are on schedule. The current Airport Master Plan effort is ongoing. The Wildlife Hazard Assessment has begun and will take approximately one year to complete. Americans with Disabilities Act (ADA) Compliance NeedsAs facilities are built or repurposed, meeting ADA compliance will be included in Project Costs. Funding for program expansion will be needed (General Fund sources). The City has an adopted policy, as required by Federal Law, that it will make reasonable accommodations and modifications to ensure that people with disabilities have an equal opportunity to enjoy its programs, services, and activities. The City does not maintain a reserve for these modifications.In the third quarter the City began improvements including curb ramps, crosswalks, pedestrian‐actuated signal infrastructure (“ped heads”), and sidewalk extensions/reconstructions. ADA and Texas Department of Licensing and Regulation compliant sidewalks and ramps identified in the 2015 Sidewalk Master Plan are underway, including 7 crossings of Williams Drive, 3 downtown sidewalks and the Austin Avenue/Morrow Street crosswalk.In the fourth quarter the City continued improvements throughout the city, including curb ramps, crosswalks, pedestrian‐actuated signal infrastructure (“ped heads”), and sidewalk extensions/reconstructions. While some of the work has been completed, the project still has not received Texas Department of Licensing and Regulation (TDLR) compliance inspection and reporting by a registered accessibility specialist. This will occur at the end of all construction activities.Sidewalk MaintenanceCurrently, new sidewalks are built as development occurs. Repairs are funded as needed or if funding is available, when major roads are repaired. Useful life of a sidewalk is estimated at 40 to 50 years. The largest revenue source comes from the City’s General Fund. Annual funding for sidewalk construction and maintenance is approximately $75,000. Funding for sidewalks in the FY2018 budget is $576,000. Nearly completed current year projects include: Del Webb Boulevard and Whispering Wind Drive, Williams Drive and Woodlake Drive, Williams Drive and Wildwood Drive, Williams Drive and Shell Road, Williams Drive and Lake way Drive, Williams Drive and River Bend Drive, and Austin Avenue and Morrow Street. Austin Avenue from Morrow Street to Myrtle will start in September 2017. Eighth and Rock streets – Currently working this site installing Sidewalk, parking spaces, drainage and installing Trees. Completion around 8‐15‐2017. Eighth Street from Church to Myrtle streets – Will start work at this site around 8‐15‐2017. Sidewalks in Founders’ Park‐ Projected start date around 9‐11‐2017. Sidewalk along southbound Interstate 35 frontage road from Leander Road to Hwy. 29. ‐ Sidewalk is in, Handrails are being made.The summer projects are wrapping up. All work along Williams drive is complete, with revegetation underway. 8th and Rock work waiting on grates to be complete. Crews have moved to Founders Park, the final area for this project. Construction and railing is complete on the IH 35 Sidewalk; final revegetation outstanding. Ribbon cutting to be scheduled for November.Park Equipment Maintenance & ReplacementOver the past 5 years, funding for Park Maintenance and Replacement has increased. $200K transfer from General Fund included in FY2018 budget. Staff has listed all assets & developed replacement schedule funded by the General Fund, soon to be on EAM.Park pavilion renovations at San Jose Park, Chautauqua Park, and Katy Crossing Park are scheduled to be completed by the end of September. Additionally, several deteriorating park signs are scheduled for replacement in the next few months.Planning for Meadow’s Park renovations are scheduled for this winter. Renovation to the park includes replacement of play equipment as well as accessibility improvements. Construction is scheduled to begin early 2018. 56
Unfunded Liability & CommitmentsFinancial Impact/Notes Status Updates ‐ 6/30/17Status Updates ‐ 9/30/17Emergency Medical Service Special Revenue Fund2014/15 Annual Budget assumed EMS Program to be operationally active by June 2015 with revenues to offset operating and capital costs. Operating deficit would be funded internally until capital costs were recovered in 5 years. FY2017 budget includes 3 FF/Paramedics to mitigate overtime for the 4th TRV, and half of a position to monitor the revenue collection contract. As of June 30, 2017, EMS revenue collections are about $1.4 million, which is ahead of the budget projections. Year‐end revenue is estimated to be $2.47 million, budget is $2.2 million. Staff continue to monitor overtime and medical supply expenses monthly. EMS revenue is projected to increase to 2.5 million in FY2018. The fund continues to improve its position as collection rate and demands for service grow. The EMS fund is expected to significantly draw down initial start‐up costs in FY2018.As of September 30, year‐end revenue is estimated to be $2.52 million, including the accrual of August and September incidents. This is $0.32 million above the budget amount $2.2 million. Year‐end expenditures are expected to be $2.17 million, $0.1 million over budget. Staff anticipate bringing forward a revenue neutral budget amendment. Finance and Fire staff continue to study trends in calls for service, overtime, and revenue, and are working on projections for the appropriate timing to add an additional peak demand unit into service.Major Technology Replacement (IT Internal Service Fund)CIS billing to be replaced in 2016, funded by utility funds. Enterprise Resource Planning System (Finance and HR) selection consultant funding included in the FY2017 budget. Funding for acquisition of the new Enterprise Resource Planning system(s) will be considered in the FY 2018 budget process.The FY2018 IT allocation model includes $500K of cash funding for the annual subscription fees for the new ERP system. This is an estimate until staff select an actual vendor. The model also includes $300K of increases to existing software contracts. These large increases are reflected through the many funds throughout the City. Passing through these costs is necessary to keep the fund balance from decreasing. No changes.Radio Equipment ReplacementCommunication system consisting of 500 on‐body and in‐vehicle radios for Police, Fire, and GUS. Replacement radios are compatible with newer technology. Year two of the radio program is funded in the FY2018 budget. The 2017 radios are received and being programmed and deployed. The Emergency Management Coordinator is working on the procurement of phase II in FY2018. Phase III will be included in preparations for the FY2019 budget. 57