HomeMy WebLinkAboutCORRESPONDENCE - GENERAL CORRESPONDENCE - CAFR 2007Fort Collins, Colorado Year ended December 31, 2007
Financial Comprehensive AnnuAl Report
City of Fort Collins, Colorado
Comprehensive Annual Financial Report
For the fiscal year ended
December 31, 2007
Prepared by the Finance Department:
Charles M. Seest, CPA, Finance Director
John Voss, Accounting and Financial Reporting Manager
Mindy Pfleiger, Accountant
Michael J. Skoff, Accountant
Becky Sullivan, Accountant
Karen Tracy, CPA, Accountant
Kathy Neith, Accountant
Lawrence Pollack, Business Systems Analyst
About our cover and section tabs…
During the past year, the City of Fort Collins has completed and participated in several significant projects to
address the needs of our vibrant growing community.
The cover picture is of the new police headquarters. Clad in Colorado red sandstone, the three story structure
covers approximately 98,000 square-feet, providing a "state-of-the-art" police facility. The building design
enhances police operations, community policing services and is home to the Fort Collins Police Museum. It also
contains an enhanced crime laboratory, evidence processing and storage, a communications center, an Emergency
Operations Center, training facilities and a detention center with eight cells. For the employees of Police Services,
the building interior provides a very secure yet "human" environment. From the outside, the soft geometry of the
covered walkway and open interface of the Community Room, with the public art work interwoven between,
provide a clear and welcoming entry to the public.
The “Introductory Section” tab photo is Bobcat Ridge Natural Area. Mountain bikers enjoy the new Ginny Trail,
the first regional natural area purchased by the City. The natural area boasts 16 miles of trails through foothill and
mountainous terrain, creating a new haven for bikers, equestrians and hikers alike. While there, one can take a look
into our past with a stop at the historic cabin and get a lesson in fire ecology with a trip through the forest that
burned in the 2000 Bobcat Gulch wildfire.
The “Financial Section” tab is of the Northside Aztlan Community Center. It is the City’s newest recreation facility.
The 50,000 square foot recreation center is the City’s first building to receive the Gold LEED certification as an
environmentally responsible green building. Featuring three gymnasiums, a large cardio and weight training area,
an inter-generational lounge, computer lab, classrooms, meeting areas, and more, the Northside Aztlan Community
Center offers programs and services for the entire Fort Collins community.
The “Statistical Section” tab is of the Inspiration Playground at the new Spring Canyon Community Park. It allows
for children of all abilities to play side-by-side on this fully accessible playground. The community raised over
$720,000 to make it a reality; the first of it's kind in Colorado. It contains The Sleeping Giant (nearly 100 feet long
and 10 feet high) which contains interactive sensors that activate snoring and heartbeat sounds to the delight of
children. It is modeled after the legend of the "Giant of the White Stone" in which the giant guarded the "Valley of
Contentment" denying access to the ancient people.
The “Other Schedules” tab is of Spring Canyon Community Park. It is a 100 acre park that contains landscaped
canyon walls, ball fields, soccer fields, turf areas for passive recreation, walking paths, trails, picnic shelters,
restrooms, Inspiration Playground, a dog park, tennis, basketball and volleyball courts, a bike trials course and a
skate park. The City plans a community park to serve about 20,000 people. We currently have six community
parks strategically placed around the community. These parks provide space for the community to recreate, gather
for social events and detach themselves from the urban environment.
City of Fort Collins Comprehensive Annual Financial Report i
City of Fort Collins, Colorado
Comprehensive Annual Financial Report
For the fiscal year ended December 31, 2007
Table of Contents
Page
INTRODUCTORY SECTION ................................................................................................................ 1
Letter of Transmittal..................................................................................................................................... 3
Certificate of Achievement for Excellence in Financial Reporting............................................................ 11
Organizational Chart................................................................................................................................... 12
Elected and Appointed Officials................................................................................................................. 13
FINANCIAL SECTION......................................................................................................................... 15
Independent Auditors’ Report .................................................................................................................... 17
MANAGEMENT’S DISCUSSION AND ANALYSIS....................................................................... 19
BASIC FINANCIAL STATEMENTS ................................................................................................ 31
Government-wide Financial Statements
Statement of Net Assets................................................................................................................. 33
Statement of Activities .................................................................................................................. 34
Fund Financial Statements
Governmental Fund Financial Statements
Balance Sheet .................................................................................................................. 36
Reconciliation of the Balance Sheet of Governmental Funds to the
Statement of Net Assets.................................................................................................. 37
Statement of Revenues, Expenditures, and Changes in Fund Balances ........................... 38
Reconciliation of the Statement of Revenues, Expenditures, and Changes in
Fund Balances of Governmental Funds to the Statement of Activities.......................... 39
Statement of Revenues, Expenditures, and Changes in Fund Balances
Actual and Budget - General Fund ................................................................................. 40
Statement of Revenues, Expenditures, and Changes in Fund Balances
Actual and Budget - Sales and Use Tax Fund ................................................................ 41
Statement of Revenues, Expenditures, and Changes in Fund Balances Actual
and Budget (Non-GAAP budgetary basis) - Transportation Services Fund................... 42
Proprietary Fund Financial Statements
Statement of Net Assets.................................................................................................... 44
Statement of Revenues, Expenses, and Changes in Fund Net Assets ............................. 46
Statement of Cash Flows .................................................................................................. 48
Fiduciary Fund Financial Statements
Statement of Fiduciary Net Assets ................................................................................... 50
Statement of Changes in Fiduciary Net Assets................................................................. 51
Notes to the Basic Financial Statements........................................................................................ 53
Required Supplementary Information Other Than MD&A
Modified Approach for City Streets Infrastructure Capital Assets................................................ 88
COMBINING FINANCIAL STATEMENTS
Non-Major Governmental Funds................................................................................................................ 91
Balance Sheet ................................................................................................................................ 92
Statement of Revenues, Expenditures and Changes in Fund Balance........................................... 96
ii City of Fort Collins Comprehensive Annual Financial Report
Schedule of Revenues, Expenditures, and Changes in Fund Balances – Actual and Budget
Community Development Block Grant (Non-GAAP budgetary basis) ......................... 100
Home Program Fund (Non-GAAP budgetary basis)...................................................... 101
Natural Areas ................................................................................................................. 102
Capital Expansion (Non-GAAP budgetary basis) .......................................................... 103
Neighborhood Parkland (Non-GAAP budgetary basis) ................................................. 104
Conservation Trust (Non-GAAP budgetary basis)......................................................... 105
Cultural Services and Facilities ...................................................................................... 106
Recreation....................................................................................................................... 107
Cemeteries ...................................................................................................................... 108
Perpetual Care................................................................................................................. 109
Transit Services (Non-GAAP budgetary basis).............................................................. 110
Street Oversizing ........................................................................................................... 111
General Improvement District No. 1 .............................................................................. 112
Urban Renewal Authority............................................................................................... 113
Debt Service ................................................................................................................... 114
Special Assessments....................................................................................................... 115
Fort Collins Leasing Corporation................................................................................... 116
Capital Project Fund ................................................................................................................................. 117
Schedule of Revenues, Expenditures, and Changes in
Fund Balance Actual and Budget (Non-GAAP budgetary basis).............................................. 118
Enterprise Funds ....................................................................................................................................... 121
Schedule of Revenues, Expenditures, and Changes in Net Assets
Actual and Budget (Non-GAAP budgetary basis)
Light and Power.............................................................................................................. 122
Water .............................................................................................................................. 123
Wastewater ..................................................................................................................... 124
Storm Drainage............................................................................................................... 125
Golf................................................................................................................................. 126
Internal Service Funds .............................................................................................................................. 127
Statement of Net Assets............................................................................................................... 128
Statement of Revenues, Expenses and Changes in Net Assets.................................................... 130
Statement of Cash Flows ............................................................................................................. 132
Schedule of Revenues, Expenses, and Changes in Net Assets
Actual and Budget — Internal Service Funds
Benefits........................................................................................................................... 134
Communications (Non-GAAP budgetary basis) ............................................................ 135
Equipment (Non-GAAP budgetary basis) ..................................................................... 136
Self-Insurance................................................................................................................. 137
Utility Customer Service and Administrative (Non-GAAP budgetary basis)................ 138
Fiduciary Funds ........................................................................................................................................ 139
Statement of Fiduciary Net Assets............................................................................................... 140
Statement of Changes in Fiduciary Net Assets............................................................................ 141
Schedule of Changes in Net Assets Held in Trust for
Pension Benefits—Actual and Budget ...................................................................................... 142
Statement of Agency Fund Assets and Liabilities....................................................................... 143
Statement of Changes in Agency Fund Assets and Liabilities .................................................... 144
Component Unit Funds............................................................................................................................. 145
Reconciliation of the Balance Sheet to the Statement of Net Assets........................................... 146
Reconciliation of the Statement of Revenues, Expenditures, and Changes in
Fund Balances to the Statement of Activities............................................................................ 147
Balance Sheet ............................................................................................................................. 148
Statement of Revenues, Expenditures, and Changes in Fund Balance........................................ 149
Schedule of Revenues, Expenditures, and Changes in Fund Balance – General Fund ............... 150
Schedule of Revenues, Expenditures, and Changes in Fund Balance – Debt Service ................ 151
City of Fort Collins Comprehensive Annual Financial Report iii
STATISTICAL SECTION................................................................................................................... 153
Net Assets by Component – Last Seven Years......................................................................................... 155
Changes in Net Assets – Last Seven Years .............................................................................................. 156
Fund Balances, Governmental Funds – Last Ten Years........................................................................... 157
Changes in Fund Balances, Governmental Funds – Last Ten Years........................................................ 158
Taxable Sales by Category – Last Ten Years........................................................................................... 159
Direct and Overlapping Sales Tax Rates – Last Ten Years...................................................................... 160
Sales Tax Revenue Taxpayers by Industry............................................................................................... 161
Ratios of Outstanding Debt by Type – Last Ten Years............................................................................ 162
Ratios of General Bonded Debt Outstanding – Last Ten Years ............................................................... 163
Direct and Overlapping Governmental Activities Debt............................................................................ 164
Legal Debt Margin Information – Last Ten Years ................................................................................... 165
Pledged Revenue Coverage – Last Ten Years.......................................................................................... 166
Demographic and Economic Statistics ..................................................................................................... 167
Principal Employers.................................................................................................................................. 168
Full-time Equivalent City Employees by Function/Program – Last Eight Years..................................... 169
Operating Indicators by Function/Program – Last Ten Years.................................................................. 170
Capital Asset Statistics by Function/Program – Last Ten Years .............................................................. 171
OTHER SCHEDULES
Wastewater Utility Enterprise SEC Rule 15c2-12 Information................................................................ 173
Storm Drainage Utility Enterprise SEC Rule 15c2-12 Information ......................................................... 178
Water Utility Enterprise SEC Rule 15c-12 Information........................................................................... 180
DDA Tax Increment Revenue and Refunding Bonds SEC Rule 15c2-12 Information............................ 185
Local Highway Finance Report Form FHWA-536 .................................................................................. 186
iv City of Fort Collins Comprehensive Annual Financial Report
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Introductory Section
INTRODUCTORY
SeCTION
City of Fort Collins Comprehensive Annual Financial Report 1
INTRODUCTORY SECTION
2 City of Fort Collins Comprehensive Annual Financial Report
THIS PAGE INTENTIONALLY LEFT BLANK.
215 North Mason Street • 2nd Floor • P.O. Box 580 • Fort Collins, CO 80522-0580 • (970) 221-6770 • FAX (970) 221-6782
4 City of Fort Collins Comprehensive Annual Financial Report
special emphasis on the administration of federal awards. The reports are available in the separately issued Single
Audit Report of the City of Fort Collins.
Management’s Discussion & Analysis. Generally accepted accounting principles require that management provide
a narrative introduction, overview, and analysis to accompany the basic financial statements in the form of
Management’s Discussion and Analysis (“MD&A”). Management has designed this transmittal letter to coordinate
with the MD&A. Users of this report should read this letter and the MD&A. The MD&A begins on page 19,
immediately following BONDI’s independent audit report.
Profile of the City of Fort Collins
The City of Fort Collins, incorporated in 1872, is located in north central Colorado, east of the continental divide.
It is the fifth largest city in Colorado in terms of population. The City’s corporate limits encompass 51 square miles
of land. The City has been growing rapidly over the last 20 years and traditionally possessed one of the strongest
local economies in the nation. The City is the county seat of Larimer County. It is also home to Colorado State
University with an enrollment of over 25,000 students and many Federal and state agencies. Public entities own
about 30% of the land within the City’s corporate limits.
The City is a home rule city, organized under provisions of the Colorado Constitution. The City Charter, adopted
in 1953, provides for the council-manager form of local government. The voters directly elect the mayor to serve a
two-year term. Within districts, voters elect six Council members on a non-partisan basis, to staggered four-year
terms. The financial statements, schedules, and statistical tables contained in this report include all funds and
account groups under the control of City Council. The Council is responsible for passing ordinances, adopting the
two-year budget and annual appropriations ordinance, appointing advisory board and commission members, and
hiring the City Manager, City Attorney, and Municipal Judge. The City Manager is responsible for implementing
the policies and ordinances of Council, overseeing the day-to-day operations, and appointing service area directors
and other staff members.
The City provides a full range of municipal government services to approximately 131,200 residents. These
services include all general purpose municipal services authorized by its Charter, including general government,
public safety, streets and highways, health and welfare, culture and recreation, transportation, public works,
development, and public utilities. The City’s utilities include electric distribution, water treatment, wastewater
treatment, and storm drainage.
Management includes component units in the reporting entity to conform to Governmental Accounting Standards
Board Statement No. 14. The financial statements include all funds, capital assets and long-term obligations that
make up the legal entity of the “primary government”, namely the City, as well as organizations for which the City
is financially accountable. The City’s reporting entity includes the Downtown Development Authority, General
Improvement District No. 1, Fort Collins Capital Leasing Corporation, and the Urban Renewal Authority.
Management has designed the financial statements to allow financial statement users to distinguish between the
primary government and its component units.
The Poudre Fire Authority provides fire protection services to the region around and including the City and its
residents. The City and Poudre Valley Fire Protection District created the Authority in 1982 to provide
consolidated fire and emergency services within the territorial limits of both entities. The Authority was created as
an independent governmental authority under Colorado law and is governed by its own board. The City accounts
for the Authority as a joint venture. The formation of the Poudre Fire Authority has improved insurance ratings,
lowered costs to taxpayers, enhanced ability to respond to major fires, and eliminated duplicate support services. In
addition to fire protection, the Authority provides emergency medical services, hazardous materials response,
inspection, public education, and investigation services. The Finance Department prepares separate financial
statements for the Poudre Fire Authority.
The Fort Collins Regional Library District (the District) began operations in 2007 after a successful election in
2006 to authorize the District formation. The District is administered by a governing board of seven members who
City of Fort Collins Comprehensive Annual Financial Report 5
are appointed by the City of Fort Collins and Larimer County. The Fort Collins Regional Library District prepares
separate financial statements.
The City’s annual appropriations ordinance, adopted before the end of November of each year, sets the foundation
for the financial planning and control. Council adopts the budget every two years, following a multi-month process
of revenue estimation, spending requests from service areas, study sessions, and internal meetings. The City
Manager provides the two-year budget to Council in September of odd-numbered years. The Council is required to
hold public hearings on the budget and adopt it by the end of November. The appropriations ordinance is prepared
and adopted by fund and in the case of capital projects and grants, by project and grant.
The Charter requires balanced annual appropriations in which expenditures may not exceed revenues and fund
balances, with some exceptions for emergencies. During a fiscal year, the Council, by recommendation from the
City Manager, may approve supplemental budget appropriations. Within a fund, the City Manager may transfer
appropriations between programs. Between funds and capital projects, the Council may approve transfers based on
City Manager recommendations.
In this report, management has provided budget to actual comparisons for each individual governmental fund for
which the Council has made appropriations. For the General Fund, this comparison is presented on page 40 as part
of the basic financial statements for the governmental funds. For governmental funds, other than the General Fund,
this comparison is presented in the governmental fund section of this report, which starts on page 41. Also included
in the governmental fund section are project-length budget-to-actual comparisons for each governmental fund for
which a project-length budget has been adopted.
Factors Affecting Economic and Financial Condition
For additional context to readers of the Comprehensive Annual Financial Report, management provides the
following comments about the economy and financial status.
Local economy. 2007 was a good year in terms of employment growth in Fort Collins. As a result of a target
industry study completed in October 2006, the City identified five key industries that are the focus of the City’s
employment strategies. These industries are Bioscience, Clean Energy, Chip Design and R&D, Software, and
Uniquely Fort Collins. Employment gains were experienced in all of these sectors. Arts, culture and tourism also
contributed to employment opportunities. Finally, Colorado State University plays a vital role in the region and
continues to fuel economic activity related to nearly $300 million of sponsored research conducted by the
university.
The City experienced moderate revenue growth in 2007. Combined sales and use tax collections increased 7.8%
over 2006. This growth resulted in approximately $4.1 million in collections above the amount budgeted for
combined general sales and use tax collections. The increase in sales tax collections across the City was influenced
by several categories with excellent growth. The Food Stores category ended up 9.1% over 2006, Miscellaneous
Retail increased 8.2%, Eating & Drinking Places rose 6.6% and Home Furnishings & Consumer Electronics were
up 13.8%. Ongoing inflation fueled growth in 2007, but will likely have a mixed impact on 2008 retail sales as
consumers react to higher energy and food costs. Retail sales will be assisted later this year by the opening of Front
Range Village, a new 910,000 square foot shopping center. Sales tax revenue in 2008 is projected to increase by
less than 2% as compared to 2007 collections.
In the following table, management displays important indicators of the City’s local economy. Employment growth
in the county stalled in the last half of 2001 and did not regain momentum until midway through 2004. In the third-
quarter of 2007 (the latest data available), total jobs in Larimer County increased by 6,216 or 4.88%. Total wages
were down 0.04% and average wages decreased by 3.95% for 2007.
Manufacturing jobs, a primary driver of personal income, increased by approximately 1.13%. Total wages in the
manufacturing category were down by 2.52%. For those workers employed in manufacturing, average wages
decreased by 4.60%. Government jobs increased by 3.29%; total wages increased by 12.29% and average wages
increased by 9.28%.
6 City of Fort Collins Comprehensive Annual Financial Report
The unemployment rate in the table is an annual average. Unemployment in Colorado has fallen in conjunction
with an improving economy. During 2003 it reached a high of 6.5% (March 2003) and by the end of 2003 the rate
fell back to 5.6%. As of the end of 2007, the rate stood at 3.4%.
The essential economic indicators for the City were reasonably strong in 2007, except for building permits and new
construction valuations. Even though the population grew at 1.30%, residential building permits declined. Sales
tax collections and use tax collections were up 1.60% and 15.50% respectively. In addition, use tax from business
was up strongly as a result of capital investment. Growth in inflation, as measured by the Denver-Boulder-Greeley
Consumer Price Index was about 1.86%.
In conjunction with the improving economy, the City’s financial health remained stable through 2007. At year-end,
the City held $310.2 million in unrestricted net assets, approximately $24 million more than 2006. Please see page
22 for more information about the City’s total assets.
Outlook for 2008-2009. The national economy experienced some weakness in 2007 as evidenced by a reduction in
consumer confidence and an increase in unemployment from 4.6% to 5.0%. The weakening economy will likely
continue to be an issue throughout 2008 and may persist through the first half of 2009. Energy prices continue to
rise due to supply concerns and increased demand from flourishing markets in Asia. The Federal Reserve in an
attempt to stimulate the economy and inject liquidity into the capital markets has lowered the fed funds rate from
5.25% in August 2007 to 2.00% as of April 2008 and emphasized downside risks to growth. This change in stance
by the Fed from being a watchdog for inflation to fueling economic activity was brought about by the continuing
slump in the housing market and the meltdown of credit markets resulting from increasing exposure to sub-prime
loan defaults.
Key Economic Indicators for Fort Collins
2003 2004 2005 2006 2007
County Employment Data
Annual Unemployment Rate in Percentage 5.69 5.16 4.09 3.90 3.4
Actual Change 0.54 (0.53) (1.07) (0.19) (0.50)
Total Employment (ES202) 3-Quarter
Average
119,720 122,150 124,726 130,081 133,548
Percentage Change (1.50%) (2.02%) 2.10% 4.29% 2.67%
City Building and Construction
Residential Building Permits 1,398 1,295 979 585 506
Percentage Change (9.22%) (7.36%) (24.40%) (40.25%) (13.50%)
New Construction Valuation – Total $292,412,644 $450,351,863 $309,292,508 $328,689,446 $271,994,794
Percentage Change 4.20% 54.01% (31.30%) 6.27% (17.25%)
City Sales & Use Tax Collections
City Sales and Use Tax Collections
Percentage Change
$67,694,302
(0.74%)
$70,724,861
4.48%
$72,371,625
2.32%
$74,850,552
3.40%
$77,645,025
3.73%
Sales Tax Collections
Percentage Change
56,313,789
(0.44%)
58,185,755
3.32%
59,616,916
2.45%
63,385,570
6.30%
64,402,853
1.60%
City of Fort Collins Comprehensive Annual Financial Report 7
The City’s economy and corresponding revenue structure faces several risks. One significant risk is the underlying
change from a goods based economy to a service based economy. As consumers spend a higher proportionate
share of their income on services (healthcare, maintenance of capital goods, and leisure), the effectiveness of a sales
tax on the purchase of goods to fund general government services begins to diminish. Another risk is the erosion of
the sales tax base due to transactions that occur over the Internet. As this method of commerce grows and if it
retains preferential tax treatment, states and cities will lose more and more sales taxes.
In light of all these risks, the City will need to persevere in its efforts to manage its resources while responding to
demand for services. Significant focus of the City will be on ensuring that the Front Range Village retail center
opens in the summer of 2008. Another key retail project is the redevelopment of the Foothills Mall through the
assistance of the City’s Urban Renewal Authority. The City continues to work aggressively with the owners of the
mall on developing the site. The continued implementation of the targeted industries is proving successful in
retaining jobs and encouraging existing companies to expand. All these actions of course take place in an
increasingly complex regional economy where Fort Collins is no longer the sole major economic player.
In addition to economic health initiatives the City has launched, there are several other key initiatives underway
that will help with managing the City’s longer-term fiscal position, these include:
Long-term financial planning. Council and management are working on several long-term plans that will affect the
City’s financial position. Through financial management policies, Council has set priorities among the services it
provides. For the past few years and into the immediate future, these policies put the highest priority on basic
services. Below, management has highlighted a few of the services for which long-term planning is underway.
Transportation. Transportation programs are supported primarily by two funds: Transportation Fund and General
Fund. Revenues from non-General Fund sources are projected to remain relatively stable. Revenues from the
General Fund are expected to be reduced which translates into some service reductions. The community does
appear to recognize the need for ongoing funding for street infrastructure. In April 2005, voters passed a City
sponsored ballot initiative that extended the City’s existing dedicated .25% sales & use tax levy for streets
maintenance for an additional 10 years beyond the expiration date of December 31, 2005.
Police. During 2007, the City completed construction of a new police services building. This building was planned
to accommodate future expansion of the police department to keep pace with the growing community for the next
30 years. A police services study was presented to City Council during the year that recommended the hiring of an
additional 40 officers to maintain the level of service consistent with community expectations. City management
will pursue a community dialogue on this topic in preparation for the 2010-11 budget process.
Wastewater. The Mulberry Wastewater Reclamation Facility was built in 1946. The plant has received capacity
upgrades in 1958 and 1975. In the past two years, the treatment performance of the plant’s 60-year old trickling
filter, which provides first-stage secondary treatment for the plant flow, has degraded several times requiring it to
be taken off-line, cleaned and restarted. Failure of the trickling filter creates a significant increase in odors until it
has been cleaned. Even after restarting, the trickling filter’s effectiveness has not recovered to its past efficiency.
An engineering study indicated that upgrading the plant’s secondary treatment processes by removing the trickling
filter and its associated facilities and installing a new aeration basin and associated facilities is the most cost
effective solution and would also allow the Utility to prepare for future regulation-based improvements. The
improvements will be paid for with approximately $30 million in revenue bonds.
Open Space and Natural Area Preservation. In 2002, Council completed a review and adopted a funding strategy
for acquisition and maintenance of natural areas, community separators and open space. Proceeds from Larimer
County’s sales tax for open space will provide the City with over $100 million through 2018. City voters extended
the City’s dedicated sales tax levy for open space and natural areas to 2030.
Capital Projects. Finally, the voters approved extension of a quarter cent sales tax dedicated to funding community
capital projects to 2015. The list of projects presented to the voters emphasized basic services and was titled
“Building on Basics”. It included such projects as the widening of intersections and high traffic sections of specific
8 City of Fort Collins Comprehensive Annual Financial Report
arterial streets, construction of a joint City Museum/Science Center, and expansion of the City Senior Center. The
City has successfully used this strategy to fund tax-supported capital needs since the 1970s.
Pension Fund Summary. In 2007, the City maintained one defined benefit pension trust fund to account for the
General Employees’ Retirement Plan. During 2007, the Plan produced a 13.63% rate of total return compared to the
actuarial investment assumption of 7.5%. At year-end, the Plan held assets with a market value of $45.6 million, an
increase of $3.4 million from the prior year. The increase in assets is due to good investment results. The actuarial
value of the plan assets covers 88% of the projected benefits. The City will need to increase the rate at which it is
contributing to the Plan.
Credit Ratings. To attain the lowest possible interest rates and to be sure it has the widest markets for its bonds, the
City obtains credit ratings from the major rating services. Stronger ratings lower interest rates and the cost to
taxpayers and users of City services. In some cases, the City may also purchase insurance when the economic
analysis shows more benefit than cost. Bond insurance provides additional support for the creditworthiness of the
bonds and improves (lowers) the interest costs. The City’s most recent bond ratings are as follow:
Credit rating agencies base their ratings of the City’s general government debt on a combination of factors. These
key factors include debt burden, economic characteristics, government organization, and financial performance.
The agencies do not view any one factor as most important. They weigh strengths and weaknesses in each area
within the context of potential impact on issuer’s ability and willingness to repay the debt. The statements below
summarize rating upgrades the City achieved on the water and storm water utilities as well as last year’s affirmation
of the City’s certificate of participation rating.
In upgrading the City’s Water and Storm water ratings, Standard & Poor’s stated:
“The upgrade to ‘AA-’ rating from ‘A+’ on Fort Collins’ water utility and storm water utility revenue
bonds reflects the ongoing expansion of each system’s customer and revenue bases, along with greater
diversification among their leading customers. The ‘AA-’ rating also reflects the systems’ strong and
diverse service area economy, good long-term water supply and diversity of supply sources, sound
financial performance with adequate debt service coverage levels and excellent liquidity, and manageable
future capital improvement programs for both the water and storm water utilities. The Rating Outlook is
stable.” [Water and Storm Water Revenue Bonds Ratings Upgrade Summary April, 2005]
In affirming the City’s lease certificate of participation rating in 2007, Moody’s stated:
“Financial operations at Fort Collins are characterized by ample reserves and prudent fiscal management
despite the pressures of slowing growth in it primary revenue source, local sales and use taxes. The rating
also incorporated the strength of the City as an Aa1 general obligation bond credit including a stable
economy, favorable debt levels, and sound fiscal operations despite slowing revenue growth.” [2007
Refunding Certificate of Participation Rating]
Fort Collins Bond Issue Credit Ratings
Ratings
Issue Moody’s Standard & Poor’s
Sales & Use Tax Revenue* Aa2 No rating
Highway Users Tax Revenue Aa2 No rating
Sewer Revenue* A1 No rating
General Obligation Water Aa1 AA
Water Revenue A2 AA-
Storm Drainage Revenue A1 AA-
Lease Certificates of Participation Aa2 No rating
*Fitch has rated the City’s Sales & Use Tax Revenue Bond “AA”
and the.City’s Sewer Revenue Bonds “AA-”
City of Fort Collins Comprehensive Annual Financial Report 9
Cash Management. Through a treasury and investment management program, the Finance Department maximizes
investment earnings on temporarily idle cash while ensuring that adequate moneys are available to make full and
timely payments to vendors. The Department invests for periods ranging from overnight to several years, based on
need. In making investment decisions, staff considers the legality, security, and yield of the investment. In 2007,
the City earned approximately $15.6 million on its fixed income investments. The yield on the City’s fixed income
investments (excluding the General Employees’ Retirement Plan) was 4.9%.
Risk Management. During the mid-1980s, the City instituted a risk management program. The activities of the
program are accounted for in the Self-Insurance Fund. The purpose of the program is to analyze and provide for
the City’s insurance needs and accumulate adequate reserves for self-insurance. The City began self-insuring for
workers compensation in 1989. The annual actuarial study performed in early 2007 shows that the recorded
liability for workers compensation and liability claims payable is reasonably adequate to cover all known claims
and incurred-but-not-reported claims as of December 31, 2007. The City also has a large retention (deductible) for
all liability claims.
State Constitutional Growth Limit. In 1992, the voters of the State approved an amendment to the Colorado State
Constitution. Now codified as Section 20 of Article X (the “Section”), the amendment imposes annual revenue and
spending growth limitations on all governments in the State. In addition to the revenue and spending growth
limitations, the Section requires voter approval before the imposition of new taxes, tax rate increases, mill levy
increases, or other changes in policy that increases tax revenues. In the absence of voter approval, the Section
prohibits the creation of any multiple fiscal year debt or other financial obligation (except refinancing at a lower
rate). The Section requires that revenues that exceed the limit be returned to taxpayers during the next calendar
year. If revenues decrease in any fiscal year, the lower amount becomes the new base for computing the next
year’s limits.
The Section provides for two components in setting the revenue and expenditure growth limits. The first is the
percentage change in the annual Denver-Boulder-Greeley Consumer Price Index for Urban Consumers. The
second component is percentage change in the actual value of all real property within the City, due to construction
of taxable improvements and annexation. For the 2007 fiscal year, the Consumer Price Index component was 3.6%
and the local-growth component rose by 2.6%. When the combination of these two factors is applied to the 2006
revenue base, the revenue limit for 2007 was approximately $138.5 million. The revenue subject to the limit in
2007 totaled approximately $134.5 million. This amount is below the limit by $3.9 million. The Section has a
separate, but overlapping, revenue limit for property tax. The City did not exceed the property tax limit in 2007.
The City will use revenue over the limit for transportation and public safety projects. For projection purposes, the
City anticipates that the Consumer Price Index will trend slightly higher and the local growth component will
remain unchanged in 2008.
In 1993, the City’s voters approved an amendment to the City Charter to classify the utilities as enterprises.
Therefore, they are not subject to the provisions of the Section. All other funds of the City are subject to the
Section. Certain revenue, for example, proceeds from property sales and federal grants, is exempt from the limit.
In 1997, voters approved multi-year retention and use of revenue over the growth limit. The City may use the
retained revenue only for spending in four categories: public health and safety (including environmental monitoring
and mitigation), growth management, transportation services, and maintaining and repairing public facilities.
In accordance with the Section, the City has established an emergency reserve equal to three percent of
governmental revenue to use for declared emergencies. In the opinion of the City’s management, the City complies
with all provisions of the Section. In the 2007 Report, the required emergency reserve is included in the reserved
fund balance of the General Fund on page 36.
City of Fort Collins Comprehensive Annual Financial Report 11
12 City of Fort Collins Comprehensive Annual Financial Report
Community Services
Deputy City Manager
Culture, Parks, Recreation,
and Environment
City Manager
Mayor and City Council
Citizens of Fort Collins
City Attorney Municipal Court Judge
Boards & Commissions
Traffic Operations
Engineering
Streets
Parking
Transfort, Dial-A-Ride
Neighborhood and Building
City Plannning and
Community Development
Development Planning
and Zoning
Planning, Development,
and Transportation
LightPlanning & Power Transportaion
Water
Wastewater
Strom Drainage
Internal Services
Assistant City Manager
Finance
Office of the Chief
Investigations
Patrol
Information Services
Budget
Economic Development
Management
Information Services
Communication and
Public Involvement
Human Resources
Operations Services
(building and equipment)
Recreation
Park Planning and Development
Parks
Cultural Services
Natural Resources
PoliceServices Services FinancialServices Utility City Clerk
City of Fort Collins
Organization Chart 2007
City of Fort Collins Comprehensive Annual Financial Report 13
City of Fort Collins, Colorado
List of Elected and Appointed Officials
As of December 31, 2007
Elected Officials: Mayor and City Council
Doug Hutchinson..................................................................................................................................Mayor
Bob D Brown....................................................................................................... District 3 Council Member
Ben Manvel.......................................................................................................... District 1 Council Member
Kelly Ohlson.............................................................................Mayor Pro Tem, District 5 Council Member
Lisa Poppaw ........................................................................................................ District 2 Council Member
David Roy............................................................................................................ District 6 Council Member
Wade Troxell ....................................................................................................... District 4 Council Member
Council Appointed Officials
Darin Atteberry......................................................................................................................... City Manager
Wanda Krajicek ............................................................................................................................City Clerk*
Stephen J. Roy .......................................................................................................................... City Attorney
Kathleen Lane.......................................................................................................................Municipal Judge
*City Manager appointed, City Council approved
Strategic Issues Team
Darin Atteberry......................................................................................................................... City Manager
Julie Brewen ..................................................................................................................... Housing Authority
Kelly DiMartino..............................................................Communications and Public Involvement Director
Mike Freeman............................................................................................................ Chief Financial Officer
Dennis Harrison...................................................................................................................... Chief of Police
Martin J. Heffernan..............................Director of Cultural, Parks, Recreation and Environmental Services
Brian Janonis ........................................................................................................ Utilities General Manager
Diane Jones...................................................................................................................Deputy City Manager
Kathleen Lane.............................................................................................................Municipal Court Judge
Janet Miller ..........................................................................................................Human Resources Director
John Mulligan.................................................................................................... Poudre Fire Authority Chief
Steve Roy.................................................................................................................................. City Attorney
Jeff Scheick.................................................................. Planning, Development and Transportation Director
Charles M. Seest, CPA ........................................................................................................ Finance Director
Tom Vosburg.............................................................................................................................MIS Director
Wendy Williams ............................................................................Assistant City Manager/Internal Services
Finance Department
Mike Freeman............................................................................................................ Chief Financial Officer
Charles M. Seest, CPA ........................................................................................................ Finance Director
James B. O’Neill II, CPPO.................................................... Director of Purchasing and Risk Management
14 City of Fort Collins Comprehensive Annual Financial Report
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Financial Section
FINANCIAL
SeCTION
City of Fort Collins Comprehensive Annual Financial Report 15
FINANCIAL SECTION
16 City of Fort Collins Comprehensive Annual Financial Report
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City of Fort Collins Comprehensive Annual Financial Report 19
MANAGEMENT’S DISCUSSION AND ANALYSIS
The City of Fort Collins (the City) offers the readers of the City’s financial statements this narrative overview and
analysis of the financial activities for the year ended December 31, 2007. In addition to this overview and analysis
based on currently known facts, decisions and conditions, the City would encourage readers to consider the
information presented in the City’s letter of transmittal and the City’s financial statements, which begin on pages 3
and 31 of this report, respectively.
Financial Highlights
The assets of the City exceeded its liabilities at December 31, 2007 by $1,274.5 million (net assets). Of the
net asset balance, $311.0 million is unrestricted and is available to meet the government’s ongoing
obligations in accordance with the City’s fund designations and fiscal policies.
The City’s net assets increased by $69.8 million (5.8%). The governmental net assets increased by $34.3
million (5.2%) and the business-type assets increased by $35.5 million (6.6%).
The General Fund, the City’s primary operating fund, reported an increase of $5.3 million (12.2%) on a
current financial resource basis.
As of December 31, 2007, unreserved fund balance for the General Fund was $33.2 million or 39% of total
General Fund expenditures of $85.1 million.
The City’s total long-term debt decreased by $14.1 million (7.9%) during the current fiscal year. Within
that activity, the City’s governmental debt decreased by $3.4 million and business-type debt decreased by
$10.7 million.
There were 2 debt issues refinanced in 2007 since long-term interest rates were favorable. The net present
value savings was $1.6 million.
Overview of the Financial Statements
This discussion and analysis is intended to serve as an introduction to the City’s basic financial statements. The
City’s basic financial statements consist of the following three components: 1) Government–Wide Financial
Statements, 2) Fund Financial Statements and 3) Notes to the Financial Statements. Other supplementary
information is also included at the end of the report.
Government-Wide Financial Statements. The government–wide statements are designed to provide readers with a
broad overview of the City’s finances using the accrual basis of accounting, the basis of accounting used by most
private-sector businesses.
The statement of net assets presents information on all of the City’s assets and liabilities. The difference between
assets and liabilities is reported as net assets. Over time, increases and decreases in net assets may provide an
indication of whether the City’s financial position is improving or deteriorating.
The statement of activities presents information reflecting how the City’s net assets have changed during the fiscal
year just ended. All changes in net assets are reported as soon as the underlying event giving rise to the change
occurs, regardless of the timing of the related cash flows. Thus, revenues and expenses are reported in this
statement for some items that will only result in cash flows in future periods (e.g., uncollected taxes and earned but
unused vacation leave).
The government-wide financial statements distinguish functions of the City that are principally supported by taxes
and intergovernmental revenues (governmental activities) from other functions that are intended to recover all or a
significant portion of their costs through user fees and charges (business-type activities). The governmental
20 City of Fort Collins Comprehensive Annual Financial Report
activities of the City include general government, public safety - police and judicial, public safety - fire service
provided under an intergovernmental agreement, library service provided under an intergovernmental agreement,
cultural and recreational services, community planning and environmental services, and transportation. The
business-type activities of the City include light and power, water, wastewater, storm drainage, and golf.
The government-wide financial statements also include the City of Fort Collins’ Downtown Development
Authority (DDA) as a discretely presented component unit of the City. See Note 1 in the notes to the City’s
financial statements (page 54) for more details regarding the DDA and its relationship to the City.
Fund Financial Statements. Traditional users of the City’s financial statements will find the fund financial
statement presentation more familiar. The focus is now on major funds rather than fund types.
A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated
for specific activities or objectives. A major fund should generally meet both of the following criteria: 1) total
assets, liabilities, revenues, or expenditures/expenses are at least 10% of the corresponding total (assets, liabilities,
etc.) for that fund type (i.e., governmental or enterprise funds) and 2) total assets, liabilities, revenues, or
expenditures/expenses of the individual governmental or enterprise fund are at least 5% of the corresponding total
for all governmental and enterprise funds combined.
The City, like other state and local governments, uses fund accounting to ensure and demonstrate compliance with
finance-related legal requirements. All of the funds of the City can be divided into three categories: governmental
funds, proprietary funds, and fiduciary funds.
Governmental funds. Governmental funds are used to report those same functions reported as governmental
activities in the government-wide financial statements. However, unlike the government-wide statements, the fund
financial statements are prepared on the modified accrual basis of accounting. Under the modified accrual basis of
accounting, revenues are recognized when they become measurable and available, and expenditures are recognized
when the related fund liability is incurred, with the exception of long-term debt and similar long-term items which
are recorded when due. Therefore, the focus of the governmental fund financial statements is on near-term inflows
and outflows of spendable resources as well as on the balance of spendable resources available at the end of the
fiscal year.
Since the focus of the governmental funds is on near-term resources, it is useful to compare the information
presented for governmental funds with similar information presented for governmental activities in the government-
wide financial statements. To facilitate this comparison, reconciliations are provided for both the governmental
fund balance sheet and the governmental statement of revenues, expenditures, and changes in fund balances.
Information is presented separately in the governmental fund balance sheet and in the governmental fund statement
of revenues, expenditures and changes in fund balances for the General Fund, Sales & Use Tax Special Revenue
Fund, the Transportation Special Revenue Fund and the Capital Projects Fund. These four funds are considered to
be major funds. Data from the other governmental funds is combined into a single, aggregated presentation.
Individual fund data for each of these non-major funds is provided in the form of combining statements located
within the supplementary information following the notes to the financial statements.
The City adopts an annual appropriated budget for all of its governmental funds. A budgetary comparison statement
has been provided to demonstrate compliance with this budget.
The basic governmental fund financial statements can be found on pages 36-42 of this report.
Proprietary funds. The City maintains two different types of proprietary funds, enterprise and internal service
funds. The proprietary fund financial statements are prepared on the accrual basis of accounting. Enterprise funds
are used to report the same functions presented as business-type activities in the government-wide financial
statements. The City uses enterprise funds to account for its light & power, water, wastewater, storm drainage and
golf operations. Internal service funds are accounting devices used to accumulate and allocate costs internally
among the City’s various functions. The City uses internal service funds to account for employee benefits provided
City of Fort Collins Comprehensive Annual Financial Report 21
by the City, its communications system, its fleet of vehicles and its self-insurance programs. Aside from the fleet
of vehicles, these services predominantly benefit the governmental rather than business-type functions. As such,
they have been included within the governmental activities in the government-wide financial statements. The
activity in the Equipment Fund used for monitoring the fleet of vehicles is allocated between the governmental and
business-type activities based upon actual usage. In addition, the utilities use an internal service fund to account for
customer and administrative services. Because this fund is used solely by the utilities, it is included within the
business-type activities in the government-wide financial statements.
Proprietary funds provide the same type of information as the government-wide financial statements, only in more
detail. The Light & Power, Water, Wastewater and Storm Drainage enterprise funds are considered to be major
funds and are therefore presented separately within the proprietary fund financial statements. The Golf Fund is
presented as a non-major enterprise fund. All internal service funds are considered to be non-major funds and
therefore are combined into a single, aggregated presentation in the proprietary fund statements. Individual fund
data for each of the non-major proprietary funds is provided in the form of combining statements located within the
supplementary information following the notes to the financial statements.
The City adopts an annual appropriated budget for all of its proprietary funds. A budgetary comparison statement
has been provided to demonstrate compliance with this budget.
The basic proprietary fund financial statements can be found on pages 44-49 of this report.
Fiduciary funds. The City maintains two different types of fiduciary funds, trust and agency funds. The fiduciary
fund financial statements are prepared on the accrual basis of accounting.
The fiduciary funds are used to account for resources held by the City in a trustee capacity or as an agent for the
benefit of parties outside the government. Fiduciary funds are not reflected in the government-wide financial
statements because the resources of those funds are not available to support the City’s own programs. The funds
underlying each of the fiduciary fund types are combined into a single, aggregated presentation in the fiduciary
fund statements. Individual fund data for each of the fiduciary funds is provided in the form of combining
statements located within the supplementary information following the notes to the financial statements.
Aside from the General Employees’ Retirement Plan Trust fund, the City does not adopt an annual appropriated
budget for its fiduciary funds. A budgetary comparison statement for the General Employees’ Retirement Plan
Trust fund has been provided to demonstrate compliance with the budget.
The basic fiduciary fund financial statements can be found on pages 50-51 of this report.
Notes to the Financial Statements. The notes to the financial statements are considered an integral part of the basic
financial statements since they provide additional information needed to gain a full understanding of the data
provided in both the government-wide and fund financial statements. The notes to the financial statements can be
found on pages 53-87 of this report.
Other Information. The City has elected to use the modified approach to account for and report its street
infrastructure capital assets. The City has included required supplementary information that explains the modified
approach and recent assessments that have been performed using the related asset management system. These
schedules can be found on pages 88-89 of this report.
Combining Statements. The combining statements referred to earlier in connection with the non-major
governmental funds, non-major enterprise fund, internal service funds, fiduciary funds, and the component unit
funds are presented following the required supplementary information. In addition, budget statements for the
Capital Projects Fund and the major enterprise funds are also presented following the required supplementary
information.
22 City of Fort Collins Comprehensive Annual Financial Report
Government-wide Financial Analysis
Statement of Net Assets
The following table reflects the condensed Statement of Net Assets.
For more detailed information see the Statement of Net Assets on page 33 of this report.
By far the largest portion of the City’s net assets, $925.3 million (72.6%) is invested in capital assets (e.g., land,
buildings, machinery and equipment), less any debt used to acquire those assets that is still outstanding. The City
uses these capital assets to provide services to citizens; consequently, these assets are not available for future
spending. Although the City’s investment in its capital assets is reported net of related debt, it should be noted that
the resources needed to repay this debt must be provided from other sources since the capital assets themselves
cannot be used to liquidate these liabilities.
An additional portion of the City’s net assets, $38.2 million (3.0%), represents resources that are subject to external
restrictions on how they may be used. The remaining balance of unrestricted net assets, $311.0 million (24.4%),
may be used to meet the City’s ongoing obligations to its citizens and creditors.
The City’s total net assets increased by $69.8 million during the current fiscal year. This is due to growth in the
governmental and business type activities of $34.3 million and $35.5 million, respectively. This is primarily due to
expansion of both the City’s streets’ and utilities’ infrastructure, which are funded by dedicated revenue sources as
well as contributed capital. During 2007, street infrastructure capital assets increased by $10.3 million and utilities’
infrastructure increased by $9.3 million. The increases in net assets in the Utilities are being accumulated for
significant future capital purchases.
Finally, the City’s capital land and water rights that are used in governmental operations increased by $4.3 million
due to the ongoing acquisition of open space under the Natural Areas program.
2007 2006 2007 2006 2007 2006
Current and other assets $ 394,009 $ 394,617 $ 187,405 $ 174,813 $ 581,414 $ 569,430
Capital assets 594,361 551,646 497,767 485,246 1,092,128 1,036,892
Total assets 988,370 946,263 685,172 660,059 1,673,542 1,606,322
Other liabilities 223,859 211,999 22,795 22,020 246,654 234,019
Long-term liabilities 65,339 69,387 87,024 98,172 152,363 167,559
Total liabilities 289,198 281,386 109,819 120,192 399,017 401,578
Net assets:
Invested in capital assets,
net of related debt 526,367 482,512 398,946 376,929 925,314 859,441
Restricted 37,074 58,068 1,130 1,091 38,205 59,159
Unrestricted 135,731 124,297 175,277 161,847 311,006 286,144
Total net assets $ 699,172 $ 664,877 $ 575,353 $ 539,867 $ 1,274,525 $ 1,204,744
(amounts expressed in thousands, totals may not add due to rounding)
Governmental
Activities
Business-type
Activities
Total
Primary Government
Statement of Net Assets
as of December 31
City of Fort Collins Comprehensive Annual Financial Report 23
Changes in Net Assets. The following table reflects a condensed summary of activities and changes in net assets.
For more detailed information see the Statement of Activities on pages 34-35 of this report.
The above condensed summary of the City’s governmental and business type activities for the period ended
December 31, 2007 reflects net assets increasing by $69.8 million (5.8%). The prior period is also included for
comparative purposes. In addition, revenue and expense graphs have been presented on pages 24-25 to enhance the
reader’s understanding of the current year activities.
Statement of Activities & Changes in Net Assets
as of December 31
(amounts expressed in thousands, totals may not add due to rounding)
Governmental Business-type Total
Activities Activities Primary Government
2007 2006 2007 2006 2007 2006
Revenues:
Program revenues:
Charges for services $ 32,387 $ 26,523 $ 139,458 $ 137,696 $ 171,845 $ 164,219
Operating grants & contributions 10,988 10,684 20 13 11,008 10,697
Capital grants and contributions 30,932 31,530 16,651 16,151 47,583 47,680
General revenues:
Sales & use taxes 78,445 75,631 - - 78,445 75,631
Property taxes 16,298 15,898 - - 16,298 15,898
Occupational priviledge taxes 2,359 2,424 - - 2,359 2,424
Lodging taxes 838 842 - - 838 842
Intergovernmental not restricted to programs 541 486 10 - 551 486
Investment earnings 14,546 17,231 15,279 7,072 29,826 24,304
Other 3,261 3,540 787 2,130 4,048 5,670
Total Revenues 190,594 184,788 172,206 163,062 362,800 347,850
Expenses:
General government 27,867 26,470 - - 27,867 26,470
Public safety- police & judicial 29,575 27,352 - - 29,575 27,352
Public safety- fire service under IGA 15,505 16,561 - - 15,505 16,561
Cultural, parks, recreation and environment 33,150 32,004 - - 33,150 32,004
Planning and development 7,593 5,525 - - 7,593 5,525
Transportation 42,495 44,644 - - 42,495 44,644
Library 3,900 3,729 - - 3,900 3,729
Interest on long-term debt 3,113 3,100 - - 3,113 3,100
Light & power - - 80,479 73,793 80,479 73,793
Water - - 23,272 19,790 23,272 19,790
Wastewater - - 14,240 13,187 14,240 13,187
Storm drainage - - 9,132 7,493 9,132 7,493
Golf - - 2,697 2,469 2,697 2,469
Total expenses 163,199 159,386 129,820 116,732 293,019 276,118
Increase in net assets before transfers 27,395 25,402 42,386 46,330 69,781 71,732
Transfers 6,900 6,670 ( 6,900 ) ( 6,670 ) - -
Increase in net assets 34,295 32,072 35,486 39,660 69,781 71,732
Net assets - beginning 664,877 632,805 539,867 500,207 1,204,744 1,133,012
Net assets - ending $ 699,172 $ 664,877 $ 575,353 $ 539,867 $ 1,274,525 $ 1,204,744
24 City of Fort Collins Comprehensive Annual Financial Report
Governmental Activities:
2007 Revenues by Source - Governmental Activities
$ 190.6 million
Other
1.7%
Investment earnings
7.6%
Sales & use taxes
41.2%
Capital grants and
contributions
16.2%
Operating grants &
contributions
5.8%
Charges for
services
17.0%
Property taxes
8.6%
Lodging taxes
0.4%
Occupational
priviledge taxes
1.2%
Intergovernmental
not restricted to
programs
0.3%
$-
$5
$10
$15
$20
$25
$30
$35
$40
$45
General government
Public safety- police & judicial
Public safety- fire service under IGA
Cultural, parks, recreational & environment
Planning and Development
Transportation
Library
Interest on long-term debt
Millions
Program Expenses
Program Revenue
2007 Expenses Compared to Program Revenues - Governmental Activites
City of Fort Collins Comprehensive Annual Financial Report 25
Business-type Activities:
$-
$10
$20
$30
$40
$50
$60
$70
$80
$90
$100
Light & power Water Wastewater Storm drainage Golf
Millions
Program Expenses
Program Revenue
2007 Expenses Compared to Program Revenues - Business Activities
2007 Revenues by Source - Business-type Activities
$ 172.2 million
Other
0.4%
Charges for services
81.0%
Capital grants &
contributions
9.7%
Investment earnings
8.9%
26 City of Fort Collins Comprehensive Annual Financial Report
Governmental activities. Governmental activities increased the City’s net assets by $34.3 million, accounting for
49.1% of the City’s overall increase in net assets. Major variations are due to the following:
Charges for services increased $5.9 million. This was due to $4.2 million of Library reimbursement fees
and $1.4 million of expanded camera radar/red light program charges.
Combined sales and use tax collections were $2.8 million (3.7%) higher than 2006 collections. The overall
increase in 2007 was influenced by several categories with positive growth. The Food Stores category
increased 9.1%, Miscellaneous Retail increased 8.2%, Eating and Drinking Places increased 6.6%, and
Home Furnishings and Consumer Electronics increased 13.8%.
Business-type activities. Business-type activities increased the City’s net assets by $35.5 million, accounting for
50.9% of the City’s overall increase in net assets. Major variations are due to the following:
Charges for services in business activities increased $1.8 million (1.3%) during the year. Light and Power
fund charges for services increased $1.7 million. This 2.1% increase is attributed to a small increase in the
number of electric customers and increased energy use by existing customers. Wastewater fund rates were
increased 5% for all customers. The net impact of the rate increase to total revenues is $.6 million, less
than 3.1% overall. Water fund operating revenues declined 1.2% due to a normal year of precipitation.
Storm water fund revenues remained stable experiencing a .77% increase to total revenues.
This year, the Business Activities participated in the Security Lending investment program. As a result,
Investment Earnings increased $8.2 million of which $5.6 million is from security lending income before
security lending expenses. The remaining increase is due to higher average yields and a 9% increase is
average amount invested.
Water Fund expenses increased by $3.3 million which is primarily due to participating in the Security
Lending Program.
Financial Analysis of the City’s Funds
As noted previously, the City uses fund accounting to ensure and demonstrate compliance with finance-related
legal requirements.
Governmental funds. The focus of the City’s governmental funds is to provide information on near-term inflows,
outflows, and balances of spendable resources. Such information is useful in assessing the City’s financing
requirements. In particular, unreserved fund balance may serve as a useful measure of a government’s net
resources available for spending at the end of the fiscal year.
At 12/31/07, the City’s total governmental fund balances were $158.5 million, a decrease of $15.4 million
compared to the prior year. $120.2 million (75.8%) constitutes unreserved fund balance, which is available for
spending at the government’s discretion. The $38.3 million (24.2%) remainder of fund balance is reserved to
indicate that it is not available for new spending because it has already been committed to liquidate contracts and
purchase orders of the prior period - $15.1 million, to pay debt service - $1 million, to fund a state constitution
mandated emergency reserve - $3.9 million and for a variety of other restricted purposes - $18.3 million.
The Capital Projects Fund is used to account for financial resources to be used for the acquisition or construction of
major capital facilities. There were 4 major capital assets completed (New Police Facility, Spring Canyon Park,
Northside Aztlan Center Replacement, and CSU Transit Center) that had total accumulated costs to date of $58.1
million. The Capital Projects fund experienced a net decrease of $19.5 million which resulted in a 12/31/07 fund
balance of $29.6 million.
The General Fund is the chief operating fund of the City. At 12/31/07, the unreserved fund balance of the General
Fund was $33.2 million. The total fund balance was $48.3 million. The General Fund experienced an increase of
$5.3 million in 2007 primarily due to the Library reimbursement fees.
City of Fort Collins Comprehensive Annual Financial Report 27
The Transportation Services Special Revenue Fund is another major governmental fund of the City. At 12/31/07,
the unreserved fund balance of the Transportation Services Special Revenue Fund was $2.2 million while the total
fund balance equaled $15.8 million. The fund balance experienced a decrease of $2.5 million due to continued
expenditures to the Harmony Road Improvement project. In 2005, the City received State money for the long term
improvements of Harmony Road. There will be expenditures over several years to pay for the required
improvements before the project is completed. Finally, there were additional costs for snow removal in the
beginning of 2007.
Proprietary funds. The City’s proprietary funds provide the same type of information found in the government-
wide financial statements, but in more detail.
The unrestricted net asset balances and the growth in net assets of the City’s proprietary funds (including the major
enterprise funds) are reflected in the following table.
Component Unit. The DDA uses governmental fund accounting. The DDA receives a tax increment to service
bonds issued for improvements within the downtown area. A majority of these improvements relate to building
facades in the downtown area; however, no assets are recorded on behalf of the DDA. As a result, the DDA has a
$6 million deficit in unrestricted net assets. The total change in net assets for the DDA was an increase of $2
million. See the component unit columns on the government-wide financial statements on pages 33-35, or for more
detail see pages 145-151.
General Fund Budgetary Highlights
The increase from the original budget to the final budget amounted to $11.2 million and can be summarized as
follows:
Cultural, Parks, Recreation and Environment had increased appropriations by $4.16 million which was
primarily due to the Library ($3.8 million).
Prior Year Reserves were transferred to the Internal Service-Equipment Fund ($2.35 million) and to
Internal Service-Communications and Data Fund ($1.5 million).
Police Protection had additional appropriations of $1.37 million. This included the Larimer County Drug
Task Force ($.1 million), Lease Purchase vehicles ($.6 million) and grants ($.4 million).
The variance between actual expenditures and the final budget amounted to $9.64 million and can be summarized
as follows:
(amounts expressed in thousands, totals may not add due to rounding)
Unrestricted Change in Net
Net Assets Assets for Yr
Proprietary Funds at 12/31/07 Ended 12/31/07
Light & Power $ 59,971 $ 6,274
Water 68,264 14,666
Wastewater 23,143 7,136
Storm Drainage 21,658 7,495
Total of Major Enterprise Funds 173,036 35,571
Other Enterprise Fund 656 ( 46 )
Total Enterprise Funds 173,692 35,525
Internal Service Funds 18,885 4,435
Total Proprietary Funds $ 192,577 $ 39,960
Change in Net Assets - Proprietary Funds
28 City of Fort Collins Comprehensive Annual Financial Report
ation, wellness and in-
house classes which were partnered with Larimer County reduced some class costs, 28% fewer ordinances
ng the spring and fall
award cycles. The Human Services Program provides necessary assistance to various community
propriations for
the new southeast library should be expended in 2008 or 2009 (new library opens March 2009).
various equipment replacements at City Hall, Mulberry Pool, and EPIC. There
were several maintenance and repairs projects that were completed around the city in early 2008. In
Other Non-Departmental Activity had unspent appropriations of $1.65 million. This was primarily due to
and frozen appropriations ($.8 million).
mmodities, labor savings due to vacant positions during the year in Patrol Services and Traffic
Unit Services, contract renegotiations allowed the city the addition of another red light camera radar at
Executive, Legislative, and Judicial Services had unspent appropriations of $1.5 million. These savings
were partially due to salary savings in the Human Resources department reorganiz
which resulted in lower codification costs and legal advertising costs, and reduced April election expenses
and no November election.
Communication and Technology Services had unspent appropriations of $.9 million. These savings were
primarily due to two significant MIS “E-Government” projects, two Enterprise Resource Planning projects
(including development of the Budget Analysis and Reporting Tool), and the Development Tracking
System that were not completed in 2007.
Planning and Development Services had unspent appropriations of $2.1 million. The affordable housing
trust had unspent funds since awards are made via the “competitive process” duri
organizations that help citizens in need. Due to their fiscal year ending 9/30/08, there was unspent money at
12/31/07. Some City Planning & Community Development multi-year planning projects were not
completed. There was labor savings due to three vacant positions (including the director) during 2007.
Cultural, Parks, Recreation, and Environment Services had unspent appropriations of $2.0 million. This
was primarily due to lower expenditures in the library district. These postponed library ap
Administrative Services had unspent appropriations of $1.6 million. This was primarily due to 2007
operations services projects that were postponed in 2007 due to weather, scheduling and staff workload.
These projects included the
addition, there was savings realized in utility costs.
contingency funds ($.6 million)
Police Department had unspent appropriations of $1.6 million. This was due to lower expenditures in tools
and other co
Harmony and Timberline at no extra monthly charge that was budgeted, and some capital outlay money
was not spent.
Capital Asset and Debt Administration
Capital Assets. The City’s investment in capital assets for its governmental and business-type activities as of
December 31, 2007 amounted to $1,092.1 million (net of accumulated depreciation). This was an increase of $55.2
million (5.3%). This investment in capital assets includes land, water rights, buildings and improvements,
machinery, equipment, and light & power, water, wastewater and storm drainage infrastructure as well as street
system infrastructure.
The City has elected to use the modified approach for infrastructure reporting of its street system infrastructure.
tary Information on pages 88-89 of this report.
The City completes assessments of its entire street system on a 3 year cycle. The most recent 3 year assessment
was completed as of December 31, 2006. It resulted in a rating of 77 and also met the City’s policy of achieving an
average rating of 75, which is a fair rating. For 2007, the City spent $8.4 million on its street maintenance program
as compared to $8.8 million, the estimate provided by the asset management system. For more detailed information
see the Required Supplemen
City of Fort Collins Comprehensive Annual Financial Report 29
Major capital improvements during this fiscal year included the following:
Governmental Activities
Completed in 2007:
New Police Facility – accumulated costs to date - $28.6 million
Spring Canyon Park – accumulated costs to date - $12.3 million
Northside Aztlan Center Replacement – accumulated costs to date - $9.7 million
CSU Transit Center – accumulated costs to date - $8.2 million
Other new capital assets in 2007:
Additions to Street Infrastructure - $10.3 million
Reservoir Ridge Land – purchased 2.7 acres - $4.0 million
New Sand and Salt Building - $3.0 million
Bobcat Ridge-Pulliam Land – 385.5 acres added $1.1 million
Coyote Ridge Land – purchased 75 acres - $1.1 million
Proprietary Activities
Completed in 2007:
Various basin improvement projects in the Storm Drainage fund - $5.2 million
Various underground conduits & conductors - $4.1 million
Drake Water Reclamation Facility Improvements - $2.7 million
Acquired additional dedicated Water Rights - $2.2 million
Mulberry Water Reclamation Facility Improvements - $1.5 million
Additional information on the City’s capital assets can be found in Note III.C. on pages 66-67 of this report.
Long-term debt. At the end of the current fiscal year, the City had total debt outstanding of $165.0 million (bonds,
certificates of participation, capital leases, etc.). Of this amount, $93.9 million represents bonds secured by
specified revenue sources (i.e., revenue bonds). In addition, there is $5.0 million of general obligation water bonds,
which historically have been supported by water revenue and not property taxes. The remaining $66.1 million
represents debt primarily secured by the new facilities or equipment being financed by certificates of participation,
assignment of lease payments or capital leases.
2007 2006 2007 2006 2007 2006
Land, water rights, intangibles $ 106,629 $ 102,354 $ 58,224 $ 55,374 $ 164,853 $ 157,728
Street system infrastructure 304,894 294,552 - - 304,894 294,552
Construction in progress 5,268 36,195 25,131 22,143 30,399 58,338
Buildings and improvements 116,766 60,942 155,251 164,471 272,017 225,413
Improvements other than buildings 37,049 36,522 248,202 233,137 285,251 269,659
Machinery and equipment 23,755 21,083 10,959 10,120 34,714 31,203
Total capital assets $ 594,361 $ 551,648 $ 497,767 $ 485,245 $ 1,092,128 $ 1,036,893
as of December 31
(amounts expressed in thousands, totals may not add due to rounding)
Activities
Governmental Business-type
Activities
Total
Primary Government
Capital Assets Net of Depreciation
30 City of Fort Collins Comprehensive Annual Financial Report
While the City currently has no outstanding general obligation (G.O.) debt that isn’t being serviced by enterprise
revenue, the City has obtained a comparable rating for the City’s G.O. pledge in the Aa1/AA category, the second
highest rating available. For a complete discussion of the City’s most recent bond ratings, please see the Schedule
on page 8 of the transmittal letter.
Additional information on the City’s long-term obligations can be found in Note III.E on pages 68-75 of this report.
Economic Factors and Next Year’s Budgets and Rates
In 2007, the average unemployment rate for the Fort Collins/Loveland regional area was 3.4% of the labor force.
(In 2006, this average rate was 3.9%). The Larimer County average unemployment rate was 3.9% and the State of
Colorado average unemployment rate was 3.8%. The national average unemployment rate was 4.6%.
Combined sales and use tax collections were 3.7% higher than 2006 collections. 2008 sales taxes are projected to
increase by 1.4% over 2007 actual collections. The increase is primarily due to vendor fee adjustment, building and
construction retail sales, and restaurant sales.
Compared to the previous five year average, 2007 building activity was below average in both number of building
permits (down 19.3%), and the value of the building permits (down 17.7%). In 2007, a total of 5,425 building
permits were issued (a decrease of 4.3%) with a construction value of $271,994,794 (a decrease of 17.3%) from
2006 amounts.
See also the schedule of key economic indicators on page 5 of the transmittal letter.
Requests for Information
The City’s financial statements are designed to provide users (citizens, taxpayers, customers, investors, and
creditors) with a general overview of the City’s finances and to demonstrate the City’s accountability. Questions
concerning any of the information presented in this report or requesting additional information should be sent to the
Finance Director’s attention at the following address:
Director of Finance
215 North Mason Street 2nd Floor
PO Box 580
Fort Collins, CO 80522-0580.
Outstanding Debt
as of December 31
(amounts expressed in thousands)
Governmental Business-type Total
Activities Activities Primary Government
2007 2006 2007 2006 2007 2006
Revenue bonds $ 3,342 $579 4,$ 90,603 $ 99,031 $ 93,945 $ 103,610
General obligation bonds (water) - - 5,000 7,395 5,000 7,395
Certificates of participation 58,345 60,190 1,715 1,715 60,060 61,905
Assignment of lease payments 702 737 2,234 2,345 2,936 3,082
Capital leases 2,602 2,815 489 300 3,091 3,115
Total outstanding debt $ 64,991 $ 68,321 $ 100,041 $ 110,786 $ 165,032 $ 179,107
BASIC FINANCIAL
STATeMeNTS
City of Fort Collins Comprehensive Annual Financial Report 31
BASIC FINANCIAL STATEMENTS
32 City of Fort Collins Comprehensive Annual Financial Report
THIS PAGE INTENTIONALLY LEFT BLANK.
City of Fort Collins Comprehensive Annual Financial Report 33
STATEMENT OF NET ASSETS
DECEMBER 31, 2007
Primary Government -- City of Fort Collins
Governmental Business-type Component
Activities Activities Total Unit
ASSETS
Cash and cash equivalents $ 45,366,112 $ 47,418,983 $ 92,785,095 $ 2,989,635
Investments 115,212,685 112,969,964 228,182,649 6,488,789
Cash held by fiscal agent 14,242,367 419,846 14,662,213 -
Securities lending collateral 181,610,916 - 181,610,916 -
Receivables:
Property taxes 16,763,173 - 16,763,173 5,349,573
Sales and use taxes 7,763,356 - 7,763,356 -
Accounts 5,855,128 16,973,828 22,828,956 112,468
Interest 1,206,473 1,321,468 2,527,941 72,166
Due from other governments 134,600 1,235,602 1,370,202 2,561
Inventories of materials and supplies 654,063 4,232,797 4,886,860 -
Inventory of real property held for resale 2,896,665 - 2,896,665 135,464
Restricted cash and cash equivalents 112,669 1,160,327 1,272,996 -
Notes 1,384,500 715,586 2,100,086 -
Capital assets (non-depreciable): 416,791,450 83,355,049 500,146,499 1,001,197
Capital assets (net of accumulated
depreciation): 177,569,027 414,412,276 591,981,303 1,858,417
Unamortized bond issuance costs 806,681 955,911 1,762,592 18,231
Total Assets 988,369,865 685,171,637 1,673,541,502 18,028,501
LIABILITIES
Accounts payable 8,995,471 7,984,255 16,979,726 131,608
Interest payable 307,012 415,805 722,817 37,780
Wages payable 2,305,312 927,819 3,233,131 24,413
Due to other governments 1,184 - 1,184 -
Unearned revenue 17,468,729 - 17,468,729 5,426,173
Obligations under securities lending 181,610,916 - 181,610,916 -
Compensated absences 3,916,638 1,670,029 5,586,667 29,355
Deposits held in escrow 142,622 - 142,622 -
Non-Current liabilities
Due within one year 9,110,206 11,796,606 20,906,812 2,270,000
Due in more than one year 65,339,285 87,024,388 152,363,673 7,420,000
Total Liabilities 289,197,375 109,818,902 399,016,277 15,339,329
NET ASSETS
Invested in capital assets, net of related debt 526,367,326 398,946,331 925,313,657 624,900
Restricted for:
Debt service 1,004,929 1,130,328 2,135,257 2,522,493
Capital projects 29,584,786 - 29,584,786 5,585,193
Gifts and grants 1,879,932 - 1,879,932 -
Agreements 700,016 - 700,016 -
Emergencies 3,904,687 - 3,904,687 -
Unrestricted (deficit) 135,730,814 175,276,076 311,006,890 (6,043,414)
Total Net Assets $ 699,172,490 $ 575,352,735 $ 1,274,525,225 $ 2,689,172
The notes to the financial statements are an integral part of this statement.
34 City of Fort Collins Comprehensive Annual Financial Report
STATEMENT OF ACTIVITIES
FOR THE YEAR ENDED DECEMBER 31, 2007
Program Revenues
Operating Capital
Charges for Grants and Grants and
Expenses Services Contributions Contributions
FUNCTIONS/ PROGRAM ACTIVITIES:
Primary Government:
Governmental Activities:
General government $850 27,866,$ 4,889,707 $382 82,$536 411,
Public safety - police & judicial 29,575,118 3,719,375 906,904 242,766
Public safety - fire service under IGA 15,505,340 - - 351,371
Culture, parks, recreation and environment 37,050,226 11,867,562 601,112 8,310,968
Planning and development 7,592,991 2,617,068 1,906,974 -
Transportation 42,495,285 9,293,000 7,490,702 21,614,984
Interest on long-term debt 3,112,906 - - -
Total Governmental Activities 163,198,716 32,386,712 10,988,074 30,931,625
Business-type Activities:
Light & Power 80,479,078 83,325,503 19,411 2,677,647
Water 23,272,388 25,243,152 - 7,720,138
Wastewater 14,239,803 15,114,423 - 4,319,720
Storm Drainage 9,132,090 13,196,697 - 1,933,511
Golf 2,696,698 2,578,555 350 -
Total Business-type Activities 129,820,057 139,458,330 19,761 16,651,016
Total Primary Government 293,018,773 171,845,042 11,007,835 47,582,641
Component Unit:
Downtown Development Authority $061 4,099,$ 143,437 $ - $ -
The notes to the financial statements are an integral part of this statement.
City of Fort Collins Comprehensive Annual Financial Report 35
Net (Expense) Revenue and Changes in Net Assets
Primary Government - City of Fort Collins
Governmental Business-type Component
Activities Activities Total Unit
$ (22,483,225) $ $ (22,483,225) $
(24,706,073) (24,706,073)
(15,153,969) (15,153,969)
(16,270,584) (16,270,584)
(3,068,949) (3,068,949)
(4,096,599) (4,096,599)
(3,112,906) (3,112,906)
(88,892,305) (88,892,305)
- 5,543,483 5,543,483
- 9,690,902 9,690,902
- 5,194,340 5,194,340
- 5,998,118 5,998,118
- (117,793) (117,793)
- 26,309,050 26,309,050
(88,892,305) 26,309,050 (62,583,255)
(3,955,624)
General Revenues
Sales & use taxes 78,444,572 - 78,444,572 -
Property taxes 16,297,997 - 16,297,997 4,144,752
Occupational privilege taxes 2,358,803 - 2,358,803 -
Lodging taxes 837,773 - 837,773 -
Intergovernmental not restricted to programs 540,947 10,010 550,957 -
Investment earnings 14,546,406 15,279,459 29,825,865 649,858
Miscellaneous 3,261,060 787,184 4,048,244 1,166,885
Transfers 6,900,111 (6,900,111) - -
Total general revenues and transfers 123,187,669 9,176,542 132,364,211 5,961,495
Changes in Net Assets 34,295,364 35,485,592 69,780,956 2,005,871
Net Assets--January 1 664,877,126 539,867,143 1,204,744,269 683,301
Net Assets--December 31 $ 699,172,490 $ 575,352,735 $ 1,274,525,225 $ 2,689,172
36 City of Fort Collins Comprehensive Annual Financial Report
GOVERNMENTAL FUNDS
BALANCE SHEET
DECEMBER 31, 2007
Primary Government
Trans- Total
Sales and portation Capital Other Total
General Use Tax Services Projects Governmental Governmental
ASSETS
Cash and cash equivalents $ 13,834,364 $ 1,133,597 $ 4,979,938 $ 3,781,711 $ 15,036,027 $ 38,765,637
Investments 33,580,020 2,299,165 9,712,666 15,612,704 37,177,482 98,382,037
Cash held by fiscal agent 5,091 - 145,909 13,823,910 267,457 14,242,367
Securities lending collateral 181,610,916 - - - - 181,610,916
Receivables
Property taxes 16,224,120 - - - 539,053 16,763,173
Sales and use taxes - 7,763,356 - - - 7,763,356
Accounts 996,745 - 1,731,451 374,893 2,364,269 5,467,358
Notes and loans 125,000 - - - 1,259,500 1,384,500
Accrued interest 322,278 24,761 111,092 145,469 411,839 1,015,439
Due from other governments - - 132,723 - 1,877 134,600
Inventory of materials and supplies 4,328 - - - - 4,328
Inventory of real property held for resale 2,896,665 - - - - 2,896,665
Restricted assets - cash and cash equivalents - 82,868 29,801 - - 112,669
Total Assets 249,599,527 11,303,747 16,843,580 33,738,687 57,057,504 368,543,045
LIABILITIES AND FUND BALANCES
Liabilities
Accounts payable, accruals, and other 2,029,622 2,585 783,982 4,133,186 1,665,332 8,614,707
Accrued wages payable 1,464,442 - 255,779 20,715 452,112 2,193,048
Due to other governments - - 1,184 - - 1,184
Deferred revenue 16,236,430 3,767 - - 1,199,601 17,439,798
Obligations under securities lending 181,610,916 - - - - 181,610,916
Deposits held in escrow - 142,622 - - - 142,622
Total Liabilities 201,341,410 148,974 1,040,945 4,153,901 3,317,045 210,002,275
Fund Balances
Reserved
Encumbrances 4,624,992 - 3,815,805 3,775,851 2,891,469 15,108,117
Long-term notes receivable 125,000 - - - 1,259,479 1,384,479
Inventory of real property held for resale 2,901,474 - - - - 2,901,474
Debt service - 82,868 29,802 - 892,253 1,004,923
Emergency reserve 3,904,687 - - - - 3,904,687
Contractual and other 3,515,799 - 9,749,477 - 730,973 13,996,249
Unreserved
Designated
General Fund 10,701,242 - - - - 10,701,242
Special revenue funds - 8,333,694 1,085,219 - 28,198,914 37,617,827
Capital projects funds - - - 25,808,935 - 25,808,935
Undesignated
General fund 22,484,923 - - - - 22,484,923
Special revenue funds - 2,738,211 1,122,332 - 19,767,371 23,627,914
Total Fund Balances 48,258,117 11,154,773 15,802,635 29,584,786 53,740,459 158,540,770
Total Liabilities and Fund Balances $ 249,599,527 $ 11,303,747 $ 16,843,580 $ 33,738,687 $ 57,057,504 $ 368,543,045
The notes to the financial statements are an integral part of this statement.
City of Fort Collins Comprehensive Annual Financial Report 37
RECONCILIATION OF THE BALANCE SHEET OF
GOVERNMENTAL FUNDS TO THE STATEMENT OF NET ASSETS
FOR THE YEAR ENDED DECEMBER 31, 2007
Amounts reported for governmental activities in the statement of net assets (page 33) are different because:
Total fund balances - governmental funds (page 36) $ 158,540,770
Capital assets net of accumulated depreciation used in governmental activities are
not current financial resources. Therefore they are not reported in the funds.
Primary governmental capital assets $ 666,777,173
Less accumulated depreciation (81,574,901)
City joint venture equity interest in capital assets of Fort Collins/Loveland
Airport (net of depreciation) 6,697,020 591,899,292
City's joint venture equity interest in non-capital assets of Fort Collins/Loveland Airport 192,316
Other long-term obligations resulting from actuarial calculations and related
to the payment of benefits outside of the current period are not included in the funds. (1,443,775)
Bonds issuance costs, net of accumulated amortization. 806,681
Long-term liabilities, including bonds payable, the related unamortized issuance
costs and accrued interest payable, are not due and payable in the current period
and therefore are not reported in the funds.
Bonds payable $ (3,341,863)
Certificates of participation (58,345,000)
Assignment of lease payments (702,430)
Advance between Urban Renewal Authority and Storm Drainage (120,000)
Premium & deferral amount, net of accumulated amortization (1,437,913)
Compensated absences (3,727,932)
Capital leases payable (2,592,180)
Interest payable (306,895) (70,574,213)
Internal service funds are used by management to charge the costs of certain
activities to individual funds. Except for the utility customer service and
administrative fund, the assets and liabilities of the internal service funds are
included in the governmental activities in the statement of net assets. 19,751,419
Net assets of governmental activities (page 33) $ 699,172,490
The notes to the financial statements are an integral part of this statement.
38 City of Fort Collins Comprehensive Annual Financial Report
GOVERNMENTAL FUNDS
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
FOR THE YEAR ENDED DECEMBER 31, 2007
Primary Government
Trans- Total
Sales and portation Capital Other Total
General Use Tax Services Projects Governmental Governmental
REVENUES
Taxes $ 17,086,608 $ 78,444,572 $ 1,408,213 $ - $ 338,710 $ 97,278,103
Licenses and permits 1,536,626 - 119,879 - - 1,656,505
Intergovernmental 1,422,259 - 5,835,265 562,065 10,236,937 18,056,526
Fees and charges for services 19,733,858 - 3,050,262 - 17,162,588 39,946,708
Fines and forfeitures 2,824,814 - - - - 2,824,814
Earnings on investments 2,657,470 286,640 821,448 1,784,339 3,248,222 8,798,119
Interest on security lending income 1,715,711 208,413 182,245 - 1,808,321 3,914,690
Miscellaneous revenue 3,375,393 995,647 4,848,509 1,405,894 2,020,065 12,645,508
Total Revenues 50,352,739 79,935,272 16,265,821 3,752,298 34,814,843 185,120,973
EXPENDITURES
Current operating
Executive, legislative, and judicial 9,609,283 - - - - 9,609,283
Facility Operations 5,738,299 - - - - 5,738,299
Cultural, parks, recreation and environment 10,795,007 - - - 17,280,055 28,075,062
Communication & technology 3,765,399 - - - - 3,765,399
Planning and Development 6,024,543 - - - 2,168,061 8,192,604
Police protection 28,463,454 - - - - 28,463,454
Transportation - - 22,817,650 - 8,877,630 31,695,280
Other 1,131,000 926,307 - - 360,185 2,417,492
Security lending interest expense 1,661,051 202,237 176,673 - 1,814,092 3,854,053
Security lending agent fees 16,397 1,852 1,672 - 17,347 37,268
Intergovernmental
Fire protection 15,505,340 - - - - 15,505,340
Capital outlay 2,431,932 - 1,427,198 40,604,828 9,600,934 54,064,892
Debt service
Principal - - - - 2,987,796 2,987,796
Interest - - - - 3,128,024 3,128,024
Total Expenditures 85,141,705 1,130,396 24,423,193 40,604,828 46,234,124 197,534,246
Excess (Deficiency) of Revenues
Over (Under) Expenditures (34,788,966) 78,804,876 (8,157,372) (36,852,530) (11,419,281) (12,413,273)
OTHER FINANCING SOURCES (USES)
Transfers in 59,777,500 - 10,281,490 18,917,570 23,869,015 112,845,575
Transfers out (20,332,874) (77,729,091) (4,811,002) (1,591,842) (12,118,355) (116,583,164)
Certificates of Participation
COPS issued - - - - 12,880,000 12,880,000
Capital leases 597,873 - 144,972 - - 742,845
Payments to refunded bond escrow agent - - - - (12,860,000) (12,860,000)
Total Other Financing Sources (Uses) 40,042,499 (77,729,091) 5,615,460 17,325,728 11,770,660 (2,974,744)
Net Changes in Fund Balances 5,253,533 1,075,785 (2,541,912) (19,526,802) 351,379 (15,388,017)
Fund Balances-January 1 43,004,584 10,078,988 18,344,547 49,111,588 53,389,080 173,928,787
Fund Balances-December 31 $ 48,258,117 $ 11,154,773 $ 15,802,635 $ 29,584,786 $ 53,740,459 $ 158,540,770
The notes to the financial statements are an integral part of this statement.
City of Fort Collins Comprehensive Annual Financial Report 39
RECONCILIATION OF THE STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
TO THE STATEMENT OF ACTIVITIES
FOR THE YEAR ENDED DECEMBER 31, 2007
Amounts reported for governmental activities in the statement of activities (pages 34-35) are
different because:
Net change in fund balances - total governmental funds (page 38) $ (15,388,017)
Governmental funds report capital outlays as expenditures. However, in the
statement of activities, the cost of those assets is allocated over their estimated
useful lives and reported as depreciation expense. This is the amount by which
capital outlays exceeded depreciation in the current period.
Expenditures for capital assets $ 56,949,585
Less current year depreciation (9,318,165)
Less current year dispositions, net accumulated depreciation (4,842,432)
42,788,988
Repayment of bond and lease principal is reported as an expenditure in the
governmental funds. However, the repayment reduces long-term liabilities on
the statement of net assets, so this transaction has no effect on net assets.
Repayment of bond and lease principal $ 3,167,531
Repayment of capital lease principal 923,973
Payment to escrow agent on bond refunding 12,860,000
16,951,504
Revenues in the statement of activities that do not provide current financial resources
are not reported as revenues in the governmental funds.
The issuance of long-term debt (e.g., bonds, leases) provides current financial
resources to the governmental funds. However, issuing debt increases long-term
liabilities on the statement of net assets, so this transaction has no effect on net
assets. Also, governmental funds report the effect of issuance costs, premiums,
discounts, and similar items as expenditures in the period when the debt is created.
However, these amounts are deferred and amortized in the statement of activities.
Issuance of refunding debt $ (12,880,000)
Issuance of capital leases (742,845)
(13,622,845)
Some expenses reported in the statement of activities do not require the use of
current financial resources and, therefore, are not reported as expenditures in the
governmental funds.
Change in net pension obligation $ (800,239)
Current year amortization of bond cost 7,140
Current year amortization of premium/(discount) & deferred amount 23,186
Change in accrued interest payable 31,759
Change in compensated absences (194,520)
(932,674)
Expenses in Statement of Activities related to City's Equity in Joint Venture
Change in Non-Capital Equity position in Fort Collins/Loveland Airport 23,704
Internal service funds are used by management to charge the costs of certain
activities to individual funds. Except for the utility customer service and
administrative fund, the net revenue of the internal service funds is reported with
the governmental activities. 4,474,704
Change in net assets of governmental activities (pages 34-35) $ 34,295,364
The notes to the financial statements are an integral part of this statement.
40 City of Fort Collins Comprehensive Annual Financial Report
GENERAL FUND
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET
FOR THE YEAR ENDED DECEMBER 31, 2007
Variance-
Original Final Positive
Actual Budget Budget (Negative)
REVENUES
Taxes $ 17,086,608 $ 16,563,358 $ 16,788,358 $ 298,250
Licenses and permits 1,536,626 1,317,321 1,417,321 119,305
Intergovernmental 1,422,259 1,387,556 1,863,881 (441,622)
Fees and charges for services 19,733,858 14,607,030 18,787,471 946,387
Fines and forfeitures 2,824,814 2,359,926 2,274,926 549,888
Earnings on investments 2,657,470 1,200,000 2,144,491 512,979
Interest on security lending income 1,715,711 - - 1,715,711
Miscellaneous revenue 3,375,393 659,891 3,325,917 49,476
Total Revenues 50,352,739 38,095,082 46,602,365 3,750,374
EXPENDITURES
Current operating
Executive, legislative, and judicial 9,609,283 10,691,381 11,148,119 1,538,836
Administrative 5,738,299 7,432,111 7,338,570 1,600,271
Cultural, parks, recreation and environment 10,795,007 8,590,732 12,751,092 1,956,085
Communication & technology 3,765,399 4,544,106 4,623,356 857,957
Planning and Development 6,024,543 8,036,432 8,154,047 2,129,504
Police protection 28,463,454 28,674,960 30,044,673 1,581,219
Other 1,131,000 2,457,177 2,785,250 1,654,250
Security lending interest expense 1,661,051 - - (1,661,051)
Security lending agent fees 16,397 - - (16,397)
Total Expenditures 85,141,705 88,364,175 94,782,383 9,640,678
Excess (Deficiency) of Revenues
Over (Under) Expenditures (34,788,966) (50,269,093) (48,180,018) 13,391,052
OTHER FINANCING SOURCES (USES)
Proceeds from issuance of general
long-term debt 597,873 - 597,873 -
Transfers in 59,777,500 56,885,910 60,834,871 (1,057,371)
Transfers out (20,332,874) (20,370,151) (25,144,234) 4,811,360
Total Other Financing Sources and Uses 40,042,499 36,515,759 36,288,510 3,753,989
Net Changes in Fund Balances 5,253,533 $ (13,753,334) $ (11,891,508) $ 17,145,041
Fund Balances-January 1 43,004,584
Fund Balances-December 31 $ 48,258,117
The notes to the financial statements are an integral part of this statement.
City of Fort Collins Comprehensive Annual Financial Report 41
SALES AND USE TAX FUND
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET
FOR THE YEAR ENDED DECEMBER 31, 2007
Variance-
Original Final Positive
Actual Budget Budget (Negative)
REVENUES
Taxes $ 78,444,572 $ 74,854,976 $ 77,521,976 $ 922,596
Earnings on investments 286,640 45,946 245,946 40,694
Interest on security lending income 208,413 - - 208,413
Miscellaneous revenue 995,647 994,438 994,438 1,209
Total Revenues 79,935,272 75,895,360 78,762,360 1,172,912
EXPENDITURES
Current operating
Other 926,307 1,280,118 1,176,931 250,624
Security lending interest expense 202,237 - - (202,237)
Security lending agent fees 1,852 - - (1,852)
Total Expenditures 1,130,396 1,280,118 1,176,931 46,535
Excess of Revenues
Over Expenditures 78,804,876 74,615,242 77,585,429 1,219,447
OTHER FINANCING USES
Transfers out
Transportation Services Fund (5,798,943) (5,877,189) (5,814,265) 15,322
Debt Service Fund (994,438) (994,438) (994,438) -
Capital Projects Fund (5,969,830) (5,658,451) (6,259,258) 289,428
Natural Areas Fund (5,767,199) (5,845,445) (5,782,520) 15,321
Transit Services Fund (155,250) (155,250) (155,250) -
General -Economic Vitality Fee (388,444) - (388,444) -
General Fund (58,654,987) (56,084,471) (58,654,987) -
Total Other Financing Uses (77,729,091) (74,615,244) (78,049,162) 320,071
Net Changes in Fund Balances 1,075,785 $ (2) $ (463,733) $ 1,539,518
Fund Balances--January 1 10,078,988
Fund Balances--December 31 $ 11,154,773
The notes to the financial statements are an integral part of this statement.
42 City of Fort Collins Comprehensive Annual Financial Report
TRANSPORTATION SERVICES FUND
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET (NON-GAAP BUDGETARY BASIS)
FOR THE YEAR ENDED DECEMBER 31, 2007
Prior Variance-
Year Cummulative Original Final Positive
Actual Actual Actual Budget Budget (Negative)
REVENUES
Taxes $ 1,408,213 $ - $ 1,408,213 $ 1,511,302 $ 1,511,302 $ (103,089)
Licenses and permits 119,879 - 119,879 138,850 138,850 (18,971)
Intergovernmental 5,835,265 529,326 6,364,591 7,200,707 6,783,067 (418,476)
Fees and charges for services 3,050,262 - 3,050,262 3,087,262 3,111,262 (61,000)
Earnings on investments 821,448 - 821,448 - 660,000 161,448
Interest on security lending income 182,245 - 182,245 - - 182,245
Miscellaneous revenue 4,848,509 - 4,848,509 4,766,306 4,802,190 46,319
Total Revenues 16,265,821 529,326 16,795,147 16,704,427 17,006,671 (211,524)
EXPENDITURES
Programs (fund level of budgetary control)
Transportation services administration 406,498 - 406,498 536,393 536,394 129,896
Harmony road 191,371 - 191,371 920,258 1,526,460 1,335,089
Pavement management 7,141,789 - 7,141,789 8,868,832 8,953,832 1,812,043
Streets 9,243,124 - 9,243,124 9,388,537 10,058,586 815,462
Engineering 1,692,966 - 1,692,966 2,477,361 2,477,361 784,395
Traffic 3,209,685 - 3,209,685 3,184,583 3,381,084 171,399
Parking 1,603,092 - 1,603,092 2,234,038 2,185,168 582,076
Planning 671,276 - 671,276 997,766 997,766 326,490
Total Programs 24,159,801 - 24,159,801 28,607,768 30,116,651 5,956,850
Federal Grants (level of budgetary control)
CMAQ Web Page 95,465 369,006 464,471 500,000 500,000 35,529
South College Bikelanes 90,590 273,702 364,292 750,000 750,000 385,708
Downtown River Dist Improve 66,086 133,914 200,000 200,000 200,000 -
East Mtn Trolley 112 - 112 134,550 134,550 134,438
Safe Route to School 11,138 - 11,138 22,208 22,208 11,070
Total Grants 263,391 776,622 1,040,013 1,606,758 1,606,758 566,745
Total Expenditures 24,423,192 776,622 25,199,814 30,214,526 31,723,409 6,523,595
Excess (Deficiency) of Revenues Over
(Under) Expenditures (8,157,371) (247,296) (8,404,667) (13,510,099) (14,716,738) 6,312,071
OTHER FINANCING SOURCES (USES)
Proceeds from Lease Purchase 144,972 - 144,972 - 144,972 -
Transfers in:
Sales and Use Tax Fund 5,767,199 - 5,767,199 5,845,445 5,782,521 (15,322)
Communications 37,861 - 37,861 - 37,861 -
General Fund 4,328,746 80,670 4,409,416 3,723,776 4,543,339 (133,923)
Sales & Use Tax- BOB 31,744 - 31,744 - 31,744 -
Storm Water 115,940 - 115,940 115,940 115,940 -
Transfers out: -
Debt Service Fund (486,474) - (486,474) (490,318) (486,474) -
Street Oversizing (1,400,000) - (1,400,000) - (1,400,000) -
Capital Projects Fund (2,924,529) - (2,924,529) (166,390) (3,166,390) 241,861
Total Other Financing Sources (Uses) 5,615,459 80,670 5,696,129 9,028,453 5,603,513 92,616
Net Changes in Fund Balances (2,541,912) $ (166,626) (2,708,538) $ (4,481,646) $ (9,113,225) $ 6,404,687
Fund Balances--January 1 18,344,547 18,344,547
Less Prior Years' Grant Revenues (609,996)
Plus Prior Years' Grant Expenditures 776,622
Fund Balances--December 31 $ 15,802,635 $ 15,802,635
The notes to the financial statements are an integral part of this statement.
City of Fort Collins Comprehensive Annual Financial Report 43
THIS PAGE INTENTIONALLY LEFT BLANK.
44 City of Fort Collins Comprehensive Annual Financial Report
PROPRIETARY FUNDS
STATEMENT OF NET ASSETS
DECEMBER 31, 2007
Light Storm
and Power Water Wastewater Drainage
ASSETS
Current Assets
Cash and cash equivalents $ 15,088,804 $ 19,482,976 $ 6,645,230 $870 4,483,
Investments 35,671,791 46,581,287 14,508,825 14,904,416
Cash held by fiscal agent - - 407,201 -
Receivables
Accounts 10,757,180 2,624,934 1,834,645 1,754,298
Note receivable 62,371 - - -
Interest 404,324 523,665 269,364 109,541
Due from other governments - - - 1,235,602
Inventories of materials and supplies 4,232,797 - - -
Total Current Assets 66,217,267 69,212,862 23,665,265 22,487,727
Non-Current Assets
Restricted Assets - cash & cash equivalents - 308,521 440,242 411,564
Land, water rights, other 1,512,515 45,195,479 3,217,675 5,432,047
Buildings, improvements and equipment 191,451,194 223,993,738 151,583,843 98,070,912
Accumulated depreciation (99,620,702) (82,955,592) (56,289,504) (18,224,629)
Construction in progress 5,543,984 8,106,910 10,807,394 311,012
Note receivable 533,215 - - 120,000
Unamortized bond issuance costs - 223,879 421,007 261,219
Total Non-Current Assets 99,420,206 194,872,935 110,180,657 86,382,125
Total Assets 165,637,473 264,085,797 133,845,922 108,869,852
LIABILITIES
Current Liabilities
Accounts payable 6,109,292 450,438 420,772 860,112
Interest payable - 129,493 101,682 138,687
Wages payable 262,659 184,757 159,967 78,951
Compensated absences 407,193 407,950 290,502 133,623
Bonds payable - 4,790,429 4,063,847 2,571,144
Claims payable - - - -
Capital lease obligations - - - -
Deferred revenue - - - -
Total Current Liabilities 6,779,144 5,963,067 5,036,770 3,782,517
Non-Current Liabilities
Bonds payable - 30,980,460 15,539,527 36,405,216
Claims payable - - - -
Capital lease obligations - - - -
Total Non-Current Liabilities - 30,980,460 15,539,527 36,405,216
Total Liabilities 6,779,144 36,943,527 20,576,297 40,187,733
NET ASSETS
Invested in capital assets, net of related debt 98,886,992 158,569,646 89,716,033 46,612,982
Restricted: debt service - 308,521 410,243 411,564
Unrestricted 59,971,337 68,264,103 23,143,349 21,657,573
Total Net Assets $ 158,858,329 $ 227,142,270 $ 113,269,625 $ 68,682,119
Adjustment to reflect the consolidation of internal service fund activities related to enterprise funds.
Net assets of business-type activities (page 33).
The notes to the financial statements are an integral part of this statement.
City of Fort Collins Comprehensive Annual Financial Report 45
Enterprise Internal
Golf Funds Service Funds
$ 226,463 $ 45,927,343 $799 7,899,
567,160 112,233,479 17,567,133
12,645 419,846 -
2,711 16,973,768 387,830
- 62,371 -
6,347 1,313,241 199,261
- 1,235,602 -
- 4,232,797 649,735
815,326 182,398,447 26,703,758
- 1,160,327 -
2,865,976 58,223,692 70,564
8,176,939 673,276,626 6,519,619
(2,690,019) (259,780,446) (3,271,841)
- 24,769,300 420,996
- 653,215 -
49,806 955,911 -
8,402,702 499,258,625 3,739,338
9,218,028 681,657,072 30,443,096
56,852 7,897,466 467,553
45,943 415,805 117
29,428 715,762 324,321
77,501 1,316,769 541,966
239,492 11,664,912 -
- - 2,651,250
131,694 131,694 5,619
- - 28,931
580,910 22,142,408 4,019,757
3,741,607 86,666,810 -
- - 3,805,090
357,578 357,578 4,371
4,099,185 87,024,388 3,809,461
4,680,095 109,166,796 7,829,218
3,882,525 397,668,178 3,729,348
- 1,130,328 -
655,408 173,691,770 18,884,530
$ 4,537,933 572,490,276 $878 22,613,
2,862,459
$ 575,352,735
46 City of Fort Collins Comprehensive Annual Financial Report
PROPRIETARY FUNDS
STATEMENT OF REVENUES, EXPENSES
AND CHANGES IN FUND NET ASSETS
FOR THE YEAR ENDED DECEMBER 31, 2007
Light Storm
and Power Water Wastewater Drainage
OPERATING REVENUES
Charges for services $ 81,912,180 $ 24,820,432 $ 14,640,171 $ 13,173,911
Total Operating Revenues 81,912,180 24,820,432 14,640,171 13,173,911
OPERATING EXPENSES
Personal services 5,423,330 5,211,431 4,734,126 1,830,103
Contractual services 1,621,718 2,745,034 1,568,996 997,658
Commodities 59,192,429 1,431,683 813,869 111,465
Customer service and administrative charges 4,324,672 2,901,642 1,308,645 1,311,235
Other 5,799,989 2,341,976 1,505,754 364,148
Depreciation 6,462,805 5,600,347 2,817,929 2,260,571
Total Operating Expenses 82,824,943 20,232,113 12,749,319 6,875,180
Operating Income (912,763) 4,588,319 1,890,852 6,298,731
NONOPERATING REVENUES (EXPENSES)
Earnings on investments 3,051,848 3,661,554 1,724,569 1,117,364
Interest on security lending income 1,867,580 2,378,684 849,502 450,675
Security lending interest expense (1,810,114) (2,303,501) (823,870) (436,220)
Security lending agent fees (17,239) (22,554) (7,689) (4,336)
Intergovernmental - - - 1,235,602
Other revenue 1,467,115 429,613 432,558 50,021
Gain (Loss) on sale of capital assets (75,198) (26,158) 39,216 (96,405)
Interest expense - (1,712,813) (1,286,471) (1,642,746)
Other nonoperating expenses - (46,751) (44,858) (32,066)
Total Nonoperating Revenues (Expenses) 4,483,992 2,358,074 882,957 641,889
Income Before Contributions and Transfers 3,571,229 6,946,393 2,773,809 6,940,620
Capital contributions 2,677,647 7,720,137 4,361,811 670,674
Transfers in 25,000 - - -
Transfers out - - - (115,940)
Change in Net Assets 6,273,876 14,666,530 7,135,620 7,495,354
Net Assets--January 1 152,584,453 212,475,740 106,134,005 61,186,765
Net Assets--December 31 $ 158,858,329 $ 227,142,270 $ 113,269,625 $ 68,682,119
Adjustment to reflect the consolidation of internal service fund activities related to enterprise funds.
Change in net assets of business-type activities (pages 34-35)
The notes to the financial statements are an integral part of this statement.
City of Fort Collins Comprehensive Annual Financial Report 47
Enterprise Internal
Golf Funds Service Funds
$ 2,577,205 $ 137,123,899 $ 38,631,353
2,577,205 137,123,899 38,631,353
1,114,661 18,313,651 10,418,554
588,601 7,522,007 24,165,094
256,297 61,805,743 4,738,459
- 9,846,194 348
175,008 10,186,875 590,827
313,788 17,455,440 451,168
2,448,355 125,129,910 40,364,450
128,850 11,993,989 (1,733,097)
40,872 9,596,207 1,258,957
25,002 5,571,443 686,587
(23,997) (5,397,702) (665,709)
(301) (52,119) (6,263)
- 1,235,602 57,993
2,506 2,381,813 955,519
3,006 (155,539) 52,813
(218,397) (4,860,427) (791)
(3,164) (126,839) -
(174,473) 8,192,439 2,339,106
(45,623) 20,186,428 606,009
- 15,430,269 -
- 25,000 3,893,344
- (115,940) (64,815)
(45,623) 35,525,757 4,434,538
4,583,556 18,179,340
$ 4,537,933 $ 22,613,878
(40,166)
$ 35,485,592
48 City of Fort Collins Comprehensive Annual Financial Report
PROPRIETARY FUNDS
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED DECEMBER 31, 2007
Light and Power Water Wastewater Storm Drainage
CASH FLOWS FROM OPERATING
ACTIVITIES
Cash received from customers and users $ 84,705,650 $ 25,104,052 $ 14,797,512 $ 13,339,846
Receipts from interfund services provided - - - -
Cash paid to employees for services (5,317,236) (5,150,685) (4,676,328) (1,803,291)
Cash paid to other suppliers of goods & services (65,586,342) (6,036,076) (3,785,085) (1,574,317)
Payments for interfund services used (4,776,355) (3,159,231) (1,581,992) (1,474,942)
Other receipts 1,467,115 429,613 116,456 50,021
Net cash provided (used) by operating activities 10,492,832 11,187,673 4,870,563 8,537,317
CASH FLOWS FROM NONCAPITAL
FINANCING ACTIVITIES
Transfers from other funds 25,000 - - -
Transfers to other funds - - - (115,940)
Subsidy from federal grants - - - -
Net cash provided (used) by noncapital
financing activities 25,000 - - (115,940)
CASH FLOWS FROM CAPITAL AND
RELATED FINANCING ACTIVITIES
Proceeds from capital debt - - - -
Payment to escrow agent - - - -
Capital contributions 2,677,647 5,502,597 4,361,811 670,674
Purchases of capital assets (9,803,438) (3,806,113) (8,070,826) (5,743,490)
Principal paid on capital debt - (4,796,656) (3,921,558) (2,150,000)
Interest paid on capital debt - (1,579,501) (1,285,405) (1,649,972)
Proceeds from sales of capital assets 24,947 15,944 52,934 9,302
Net cash used by capital
and related financing activities (7,100,844) (4,663,729) (8,863,044) (8,863,486)
CASH FLOWS FROM INVESTING
ACTIVITIES
Proceeds from sales and maturities of investments 8,059,846 9,096,068 8,395,208 6,258,859
Purchase of investments (13,909,673) (18,709,224) (5,941,834) (5,458,503)
Earnings received on investments 2,396,049 2,801,901 1,430,077 852,143
Interest on security lending income 1,867,580 2,378,685 849,502 450,675
Security lending intereste expense (1,810,114) (2,303,501) (823,870) (436,219)
Security lending agent fees (17,239) (22,554) (7,689) (4,336)
Net cash used by
investing activities (3,413,551) (6,758,625) 3,901,394 1,662,619
Net increase (decrease) in cash and cash equivalents 3,437 (234,681) (91,087) 1,220,510
Cash and cash equivalents, January 1
(cash & cash equivalents includes cash held by
fiscal agent and restricted assets - cash &
cash equivalents)
15,085,367 20,026,178 7,583,760 3,674,924
Cash and cash equivalents, December 31
(cash & cash equivalents includes cash held by
fiscal agent and restricted assets - cash &
cash equivalents)
15,088,804 19,791,497 7,492,673 4,895,434
Reconciliation of operating income (loss) to
net cash provided (used) by operating activites:
Operating income (loss) (912,763) 4,588,319 1,890,852 6,298,731
Other receipts 1,467,115 429,613 116,456 50,021
Adjustments to reconcile operating income to net
cash provided by operating activities:
Depreciation expense 6,462,805 5,600,347 2,817,929 2,260,571
City of Fort Collins Comprehensive Annual Financial Report 49
Total Total Internal
Golf Enterprise Funds Service Funds
$ 2,574,775 $ 140,521,835 $ 553,640
- - 38,019,665
(1,091,983) (18,039,523) (10,373,853)
(906,370) (77,888,190) (29,362,611)
(66,293) (11,058,813) (166,155)
2,506 2,065,711 955,519
512,635 35,601,020 (373,795)
- 25,000 3,893,344
- (115,940) (64,815)
- - 57,993
- (90,940) 3,886,522
2,095,796 2,095,796 -
(1,771,056) (1,771,056) -
- 13,212,729 -
(284,834) (27,708,701) (418,823)
(246,833) (11,115,047) (7,451)
(216,218) (4,731,096) (852)
3,006 106,133 74,065
(420,139) (29,911,242) (353,061)
- 31,809,981 2,645,624
(199,304) (44,218,538) (7,069,685)
31,457 7,511,627 1,008,217
25,002 5,571,444 686,587
(23,997) (5,397,701) (665,709)
(301) (52,119) (6,263)
(167,143) (4,775,306) (3,401,229)
(74,647) 823,532 (241,563)
313,755 46,683,984 8,141,362
239,108 47,507,516 7,899,799
128,850 11,993,989 (1,733,097)
2,506 2,065,711 955,519
313,788 17,455,440 451,168
(2,430) 3,338,535 (156,634)
- 59,401 -
- 294,193 (96,451)
47,243 119,623 4,766
18,487 164,736 47,592
4,191 109,392 (2,891)
- - 149,416
- - 6,817
$ 512,635 $ 35,601,020 $ (373,795)
- 2,217,540 -
50 City of Fort Collins Comprehensive Annual Financial Report
FIDUCIARY FUNDS
STATEMENT OF FIDUCIARY NET ASSETS
DECEMBER 31, 2007
Trust Agency
Funds Funds
ASSETS
Cash and cash equivalents $ 3,923,873 $ 5,885,480
Receivables
Interest 170,447 66,087
Notes and loans 2,837,516 -
Total Receivables 3,007,963 66,087
Investments, at fair value
U S Government securities 16,423,970 4,810,870
Corporate bonds - 1,127,263
Mutual funds 136,178,162 -
Total Investments, at fair value 152,602,132 5,938,133
Security lending collateral 9,676,107 -
Total Assets 169,210,075 11,889,700
LIABILITIES
Amounts held for other governments 1,535 11,889,700
Obligations under securtiy lending 9,676,107 -
Total Liabilities 9,677,642 $ 11,889,700
NET ASSETS
Held in trust for pension benefits 159,532,433
Total Plan Net Assets $ 159,532,433
The notes to the financial statements are an integral part of this statement.
City of Fort Collins Comprehensive Annual Financial Report 51
FIDUCIARY FUNDS
STATEMENT OF CHANGES IN FIDUCIARY NET ASSETS
FOR THE YEAR ENDED DECEMBER 31, 2007
Trust Funds
ADDITIONS
Contributions
Employer contributions $ 4,873,032
Employee contributions 2,948,303
Pension conversion & roll-overs 741,329
Loan repayments 956,008
Other 923,839
Total Contributions 10,442,511
Investment income
Interest 1,700,621
Interest related to employee loans 597,924
Net change in fair value of investments 10,839,491
Total Investment Income 13,138,036
Securities lending income 441,594
Less securities lending expenses (431,053)
Net income from securities lending activities 10,541
Net Investment Income 13,148,577
Total Additions 23,591,088
DEDUCTIONS
Benefit payments 11,155,930
Administration expense 38,965
Total Deductions 11,194,895
Net Increase in Plan Net Assets 12,396,193
Net Assets
Beginning of year 147,136,240
End of year $ 159,532,433
The notes to the financial statements are an integral part of this statement.
52 City of Fort Collins Comprehensive Annual Financial Report
THIS PAGE INTENTIONALLY LEFT BLANK.
City of Fort Collins Comprehensive Annual Financial Report 53
NOTES TO THE BASIC FINANCIAL STATEMENTS
I. Summary of Significant Accounting Policies
A. Reporting Entity....................................................................................................................... 54
B. Joint Ventures .......................................................................................................................... 54
C. Jointly Governed Organization ................................................................................................ 55
D. Government-wide and Fund Financial Statements.................................................................. 55
E. Measurement Focus and Basis for Accounting........................................................................ 56
F. Financial Statement Presentation ............................................................................................. 56
G. Assets, Liabilities and Fund Equity ......................................................................................... 57
II. Stewardship, Compliance and Accountability
A. Budgetary Information............................................................................................................. 60
III. Detailed Notes on all Funds
A. Deposits and Investments ........................................................................................................ 62
B. Notes Receivable...................................................................................................................... 65
C. Capital Assets........................................................................................................................... 66
D. Inter-fund Transfers ................................................................................................................. 68
E. Long-term Obligations ............................................................................................................. 68
IV. Other Information
A. Risk Management .................................................................................................................... 76
B. Employee Retirement Systems and Pension Plans .................................................................. 78
C. Commitments and Contingencies ............................................................................................ 84
D. Legal Matters........................................................................................................................... 85
E. Related Party Transactions....................................................................................................... 85
F. Subsequent Event ..................................................................................................................... 87
54 City of Fort Collins Comprehensive Annual Financial Report
NOTE I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The City of Fort Collins, Colorado (the City) was incorporated in 1873 and adopted its Home Rule charter in 1913.
In 1954, the citizens adopted the Council-Manager form of government. The more significant accounting policies
reflected in the financial statements are summarized as follows:
A. Reporting Entity
These financial statements include those of the City (primary government) and organizations for which the City is
financially accountable (component units). The following component units are included in the reporting entity:
City of Fort Collins Downtown Development Authority (DDA), City of Fort Collins General Improvement District
No. 1 (GID No. 1), the Fort Collins Capital Leasing Corporation (Corporation), and the Urban Renewal Authority
(URA). None of the component units issues its own financial statements.
The DDA was created in 1981 by City Council and the electorate. The purpose of the DDA is to promote the
public health, safety, prosperity, security, and welfare of its inhabitants. The City appoints and removes all
members of the DDA's governing board in addition to issuing debt, adopting budgets, and levying taxes on its
behalf. The financial statements of the Downtown Development Authority are included in the reporting entity by
discrete presentation.
GID No. 1 was created in 1976 for the construction and installation of parking facilities and street and sidewalk
beautification improvements. GID No. 1 is, in substance, the same as the primary government since the City
Council serves as the board of directors. As such, it levies all taxes, approves all budgets, and issues all debt on
behalf of GID No. 1. Accordingly, its transactions and balances are blended with those of the City. GID No. 1 is
presented as a special revenue fund.
The Corporation was created in June 1998 and operates under the provisions of the Nonprofit Corporation Law of
the State of Colorado. The Corporation’s primary purpose is to provide financing assistance by obtaining land,
property and equipment on behalf of the City. The directors are appointed by the City Council and receive no
compensation. Its transactions and balances are blended with those of the City. The Corporation is presented as a
debt service fund.
The URA was established in 2006. The URA is, in substance, the same as the primary government since the City
Council serves as the board of directors. Its transactions and balances are blended with those of the City. The
URA is presented in two fund types; one a special revenue fund and the other a debt service fund.
The Fort Collins Regional Library District (the District) was created in 2007 after a successful election in 2006 to
authorize the District formation. The District and City entered into an Intergovernmental Agreement whereby the
City provides administrative services to the District. The District is not a component unit of the City and is not
included in the reporting entity. The District is administered by a governing board of seven members who are
appointed by the City of Fort Collins and Larimer County. Financial information for the District can be obtained
by contacting the District Finance Officer, 201 Peterson Street, Fort Collins, CO 80524-2990.
B. Joint Ventures
The City has joined with other governmental units to form the following joint ventures:
Block 31 Joint Venture was created by the City and Larimer County for the purpose of acquiring and managing
parking space and government facilities on Block 31. The City issued sales and use tax bonds to finance the
acquisition of the property and is responsible for the debt service on the bonds. Larimer County reimburses the City
for its half of the debt service on a semi-annual basis. The City is responsible for providing half of the on-going
upkeep and maintenance of the property. The City and the County each retain a 50% ownership interest in the
property. Separate financial statements are not issued for this joint venture.
City of Fort Collins Comprehensive Annual Financial Report 55
Fort Collins-Loveland Airport was created for the purpose of operating a municipal airport for the benefit of the
citizens of Loveland and Fort Collins. The City provides a small amount of funding for on-going airport
construction projects. The City and Loveland each retain a 50% ownership interest in the airport. Separately issued
financial statements are available upon request from the Airport Manager.
North Front Range Transportation and Air Quality Planning Council (NFRTAQPC) is an association of local
governments that was formed in 1987 in response to local needs and federal transportation and air quality planning
requirements. Local government membership consists of elected officials representing Fort Collins, Greeley,
Loveland, Evans, Berthoud, Windsor, Timnath, Garden City, LaSalle, Johnstown, and Weld and Larimer Counties.
Membership is also extended to the Colorado Transportation Commission and the Colorado Air Quality Control
Commission. The NFRTAQPC Board appoints its own management and approves its own budget. The City has an
agreement with the NFRTAQPC that allows for NFRTAQPC to participate in the City’s benefit plans and other
City services on a reimbursable basis. Separately issued financial statements are available upon request from the
Planning Council.
Poudre Fire Authority (PFA) was created by an intergovernmental agreement between the City of Fort Collins and
the Poudre Valley Fire Protection District. The PFA Board consists of five members--two appointed by City
Council, two appointed by the District's Board of Directors and a fifth member appointed by the other four
members. The PFA Board appoints its own management and approves its own budget. PFA's continuing existence
depends, in part, on funding provided by the City. Separately issued financial statements for PFA are available
from its administrative office.
Platte River Power Authority (PRPA) was created by an intergovernmental agreement between the Cities of Fort
Collins, Estes Park, Loveland, and Longmont to supply their wholesale electric power and energy requirements.
The governing Board of PRPA consists of two members from each municipality. Under Colorado law, PRPA's
Board of Directors has the exclusive authority to establish electric rates. The City has contracted for its total
electric energy supply from PRPA through December 31, 2040. Separately issued financial statements for PRPA
are available from its corporate headquarters.
Aside from the Fort Collins-Loveland Airport, the City does not have an equity interest in any of the joint ventures
in which it participates. None of the joint ventures are accumulating financial resources or are experiencing fiscal
stress that are expected to create a significant financial benefit or burden on the City in the foreseeable future.
C. Jointly Governed Organization
The City and various governmental entities throughout Larimer County have jointly agreed to establish the Larimer
Emergency Telephone Authority (LETA). LETA is a separate legal entity established to provide E-911 telephone
service to the citizens of Larimer County. The City does not retain an on-going financial interest or responsibility
in LETA.
D. Government-wide and Fund Financial Statements
The government-wide financial statements (i.e., the statement of net assets and the statement of activities) report
information on all of the non-fiduciary activities of the primary government and its component units. For the most
part, the effect of inter-fund activity has been removed from these statements. Governmental activities, which are
normally supported by taxes and intergovernmental revenues, are reported separately from business-type activities,
which rely primarily on fees and charges for support. Also, the primary government is reported separately from the
DDA, a legally separate component unit for which the primary government is financially accountable.
The statement of activities demonstrates the degree to which the direct expenses of a given function or segment are
offset by program revenues. Direct expenses are those that are clearly associated with a specific function or
segment. Program revenues include 1) charges to customers or applicants who purchase, use or directly benefit
from goods, services, or privileges provided by a given function or segment and 2) grants and contributions that are
restricted to meeting the operational or capital requirements of a particular function or segment. Taxes and other
items not properly included among program revenues are reported instead as general revenues.
56 City of Fort Collins Comprehensive Annual Financial Report
Separate financial statements are provided for governmental funds, proprietary funds, and fiduciary funds, even
though the latter are excluded from the government-wide financial statements. Major individual governmental
funds and major individual enterprise funds are reported as separate columns in the fund financial statements.
E. Measurement Focus and Basis of Accounting
The government-wide financial statements are reported using the economic resources measurement focus and the
accrual basis of accounting, as are the proprietary funds and the pension trust funds. The agency funds have no
measurement focus. Revenues are recorded when earned and expenses are recorded when a liability is incurred,
regardless of the timing of related cash flows. Property taxes are recognized as revenues in the year for which they
are levied and become an enforceable lien on the property. Grants and similar items are recognized as revenue as
soon as all eligibility requirements have been met. An allowance for doubtful accounts is maintained for the utility
receivables.
Governmental fund financial statements are reported using the current financial resources measurement focus and
the modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable and
available. Revenues are considered to be available when they are collectible within the current period or soon
enough thereafter to pay liabilities of the current period. For this purpose, the government considers revenues to be
available if they are collected within 60 days of the end of the current fiscal period. As under accrual accounting,
expenditures are generally recorded when a liability is incurred. However, debt service expenditures, as well as
those related to compensated absences and incurred claims and judgments, are recorded only when payment is due.
With regard to self-insurance claims and judgments, an additional expenditure may be recorded based on actuarial
information.
Property taxes, special assessments, sales taxes, franchise taxes, charges for services, amounts due from other
governments and interest associated with the current fiscal period are all considered to be susceptible to accrual.
Other revenue items such as licenses, fines and permits are considered to be measurable and available only when
the cash is received by the government, as a result they are not susceptible to accrual.
F. Financial Statement Presentation
The accounts of the City are organized and operated on the basis of funds, each of which is considered a separate
accounting entity. The operations of each fund are accounted for with a separate set of self-balancing accounts that
comprise its assets, liabilities, fund equity, revenues and expenditures or expenses as appropriate. The various
funds are summarized by type within the financial statements.
The City reports the following major governmental funds:
The General fund is the government’s primary operating fund. It accounts for all financial resources of the
general government, except those required to be accounted for in another fund.
The Sales & Use Tax special revenue fund is used to account for collections of the City’s 3.0% sales and
use tax which is used to provide reserves and fund payments for sales and use tax revenue debt.
The Transportation Services special revenue fund is used to account for taxes, federal and state grants and
other revenues utilized to operate and maintain the City’s transportation system.
The Capital Projects fund is used to account for financial resources to be used for the acquisition or
construction of major capital facilities.
The City reports the following major proprietary funds:
The Light and Power fund is used to account for the operations of the City’s electric utility.
The Water fund is used to account for the operation of the City’s water utility.
The Wastewater fund is used to account for the operation of the City’s wastewater utility.
The Storm Drainage fund is used to account for the operations of the City’s storm water utility.
City of Fort Collins Comprehensive Annual Financial Report 57
Additionally, the City reports the following fund types:
Internal Service funds are used to account for the City’s fleet maintenance services, phone equipment and
services, self-insurance of employee health care and other employee benefits, and a risk management
insurance program. There is also an internal service fund to account for the customer and administrative
services provided exclusively to the City’s utility enterprise funds.
Pension Trust funds are used to account for the City’s defined benefit and defined contribution pension
trusts to provide retirement benefits for its employees/retirees.
Agency funds are used to account for cash and investments held by the City on behalf of Poudre Fire
Authority and Poudre Fire Authority’s pension fund.
Pronouncements issued on or before November 30, 1989 generally are followed in both the government-wide and
proprietary fund financial statements, unless those pronouncements conflict with or contradict GASB
pronouncements.
As a general rule, the effect of inter-fund activity has been eliminated from the government-wide financial
statements. Exceptions to this rule are the charges between the City’s utility functions and various other functions.
Amounts reported as program revenues include 1) charges to customers for goods, services, or privileges provided,
2) operating grants and contributions, 3) capital grants and contributions, including special assessments. Internally
dedicated resources are reported as general revenues rather than as program revenues. Likewise, general revenues
include all taxes.
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 a
proprietary fund’s principal ongoing operations. The water and storm drainage funds also recognize as operating
revenue the portion of connection fees intended to recover the cost of connecting new customers to the system.
Operating expenses for enterprise and internal service funds include the cost of sales and services, administrative
expenses, and depreciation on capital assets.
When both restricted and unrestricted resources are available for use, it is the government’s policy to use restricted
resources first, then unrestricted resources as they are needed.
G. Assets, Liabilities and Fund Equity
Cash and Investments
The City has stated certain investments at fair value in accordance with GASB No. 31. Fair value is determined
utilizing the third party custodian’s statements, Wall Street Journal, Bloomberg, and other recognized pricing
services.
Whenever possible, cash is pooled from the various City funds to enhance investment capabilities and maximize
investment income. Investments are made taking into consideration cash flow needs, market conditions, and
contingency plans. The City's investment policies prescribe eligible investments, investment diversification, and
maturity and liquidity guidance, which are utilized in managing the investment portfolio.
For purposes of the combined statement of cash flows, the City considers highly liquid investments with a maturity
of three months or less when purchased to be cash equivalents.
The City invests in derivatives and similar securities. Derivatives are generally defined as contracts, whose value
depends on, or derives from, the value of an underlying asset, reference rate, or index. The City holds bonds with
floating interest rates, which are considered derivatives, and similar mortgage-backed securities.
58 City of Fort Collins Comprehensive Annual Financial Report
Cash held by Fiscal Agent
Certain proceeds of Capital Leasing Corporation’s Certificates of Participation (COP) and Enterprise Fund revenue
bonds are classified as cash held by fiscal agent on the balance sheet because they are held in third party escrow
accounts and their use is limited by applicable COP and bond covenants.
Restricted Cash and Cash Equivalents
Certain proceeds of Enterprise Fund revenue bonds, as well as certain resources set aside for their repayment, are
classified as restricted assets on the balance sheet since their use is limited by applicable bond covenants.
Receivables
Accounts receivable are expressed net of allowances for doubtful accounts. Allowances for doubtful accounts are
based on historical collection trends for the related receivables. Light and Power Fund maintains an allowance of
$250,000, Water Fund maintains an allowance of $25,000, Wastewater has an allowance of $20,000 and Storm
Drainage has an allowance of $10,000.
Long-term portions of receivables in the governmental fund financial statements are reported and then offset by
fund balance reserve accounts in order to indicate that they are not available, spendable resources except for long-
term portions of special assessments receivable which are offset by deferred revenue.
Inventories
Inventories are stated at cost using the first-in, first-out method. The costs of inventory items are recognized as
expenditures in governmental funds when purchased and as expenses in proprietary funds when used. Where
appropriate, inventory has been adjusted downward to market value to reflect what is considered a permanent
market decline.
Inventory of Real Property Held for Resale
Inventory of real property held for resale generally reflects the cost of raw land held by the City’s Land Bank
Program in the General Fund, for development of affordable housing. These assets are carried at cost until an
event occurs to indicate a low net realizable value.
Capital Assets
Capital assets, which are acquired or constructed, are reported at historical cost or estimated historical cost in the
applicable governmental or business-type activities’ columns in the government-wide financial statements. Capital
assets are defined by the City as assets with an initial, individual cost of more than $5,000 and an estimated useful
life of five years or greater. Donated capital assets are recorded at estimated fair market value at the date of
donation.
Capital assets other than land, water rights, fiber optics, and some intangible property are depreciated. Depreciation
is computed using the straight-line method with estimated useful lives as follows:
Buildings.......................................................................................................................................10-50 years
Improvements other than buildings ...................................................................................................25 years
Machinery and equipment ..............................................................................................................5-15 years
GASB Statement No. 34 provides for an alternative approach to depreciation for measuring the value of
infrastructure assets and the related costs incurred to maintain their service life at a locally established minimum
standard. In order to adopt this alternative method, the City has developed an asset management system, which will
determine if the minimum standards are being maintained. This measurement would occur every three years at a
minimum. The City has elected to use this alternative method for reporting its street infrastructure capital assets.
City of Fort Collins Comprehensive Annual Financial Report 59
Compensated Absences
The City allows employees to accumulate unused vacation pay and to defer overtime pay by accumulating
compensatory leave up to maximum limits. Unused sick pay is not recognized as a liability because it does not
meet the criteria for accrual. The liability associated with these benefits is reported in the government-wide
financial statements. Proprietary fund types accrue such benefits in the period in which they are earned.
Long-Term Obligations
In the government-wide financial statements and proprietary fund types in the fund financial statements, long-term
debt and other long-term obligations are reported as liabilities in the applicable governmental activities, business-
type activities, or proprietary fund type statement of net assets. Bond premiums and discounts are deferred and
amortized over the life of the bonds using the effective interest method. Bonds payable are reported net of the
applicable bond premium or discount. Bond issuance costs are reported as deferred charges and amortized over the
term of the related bond.
In the fund financial statements, governmental fund types recognize bond premiums and discounts as well as bond
issuance costs during the current period. The face amount of debt issued is reported as other financing sources.
Premiums received on debt issuances are reported as other financing sources while discounts on debt issuances are
reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds received,
are reported as debt service expenditures.
Claims and Judgments Payable
Claims and judgments payable are recognized when it is probable that a liability has been incurred and the amount
of the loss can be reasonably estimated. Such claims, including an estimate for claims incurred but not reported at
year end, are reflected as claims payable in the financial statements.
Fund Equity
In the fund financial statements, fund equity of the City’s governmental funds are classified either as reserved or
unreserved. The unreserved portion may be further classified as either designated or undesignated. Designated
fund balances represent amounts identified by management for the future use of current resources.
Reserved fund balances indicate that portion of fund equity which has been segregated for future use and is not an
available, spendable resource or amounts which are legally required to be segregated in accordance with legal and
contractual provisions.
Inter-fund Transactions
Inter-fund transactions are treated and classified as revenues, expenditures, or expenses (the same as if these same
transactions involved external organizations). These include payments in lieu of taxes and billings from one fund
to another for purchased goods or services. In the government-wide statement of activities, transactions, which
constitute reimbursements, are eliminated in the reimbursed fund and accounted for as expenditures or expenses in
the fund to which the transaction is applicable.
Deferred and Unearned Revenues
Governmental funds report deferred revenue on their balance sheets. Deferred revenues arise in governmental
funds when potential revenue does not meet both the “measurable” and “available” criteria for recognition in the
current period. Deferred revenues also arise when resources are received by the City before it has a legal claim to
them. In subsequent periods, when both revenue recognition criteria are met, or when the government has a legal
claim to the resources, revenue is recognized.
60 City of Fort Collins Comprehensive Annual Financial Report
In the government-wide financial statements, deferred revenue not meeting the “measurable” and “available”
criteria has been eliminated.
Estimates
The preparation of financial statements requires management to make estimates and assumptions that affect certain
reported amounts and disclosures. Specifically, the City has made certain estimates and assumptions relating to its
collections of receivables, the valuation of property held for resale, and the ultimate outcome of claims and
judgments. Accordingly, actual results could differ from those estimates.
Discretely Presented Component Units
The significant accounting policies for the City's discretely presented component units are substantially the same as
the primary government. Additional disclosures follow.
The discretely presented component unit data presented in the government-wide statements includes total data for
all fund types of the Downtown Development Authority (DDA), including its General Fund, Debt Service Fund and
its non-current assets and liabilities.
The Board of Directors of the DDA approves their respective budget by resolution. The budget is then submitted to
City Council for approval. Budgetary matters with respect to basis of accounting and legal level of budgetary
control are generally the same for the DDA as those of the City.
NOTE II. STEWARDSHIP, COMPLIANCE, AND ACCOUNTABILITY
A. Budgetary Information
Budgetary Accounting and Control
Appropriated budgets are established for all funds of the City except agency funds, which do not measure results of
operations.
General, Special Revenue, Debt Service and Trust Funds
Budgets for general, special revenue, debt service and trust funds are adopted on a basis which is consistent with
generally accepted accounting principles (GAAP) except that appropriations for certain special revenue funds do
not lapse on an annual basis as further explained below.
Capital Projects Fund
The Capital Projects Fund budget is not consistent with GAAP because appropriations do not lapse at year end.
Proprietary Funds
Proprietary funds are budgeted on a basis that includes capital items such as amounts for capital outlay and
principal reduction of debt. Such budgets exclude depreciation. Propriety Funds recognize gain on inter-fund sales
of capital assets for budgetary purposes only. Capital project budgets for certain enterprise funds are non-lapsing.
Legal Level of Control
The legal level of budgetary control is at the individual fund level, except for capital projects and federal and state
grants for which the legal level of control is at the project or grant level. For budgetary purposes, operating transfers
are considered expenditures.
City of Fort Collins Comprehensive Annual Financial Report 61
Lapsing Appropriations
All appropriations unexpended or unencumbered lapse at the end of the year to the applicable fund, except capital
project and federal and state grant appropriations which lapse when the project or grant activity is completed.
Appropriations which are encumbered at year end are carried over to the ensuing year at which time they are
matched with their corresponding expenditures.
Budgets for the Capital Projects Fund, special revenue funds with expenditures of a capital or project nature and
special revenue funds where the primary source of revenue is project-length federal or state grants are non-lapsing.
Included are the Capital Projects Fund, Capital Expansion Fund, Neighborhood Parkland Fund, Conservation Trust
Fund, Community Development Block Grant Fund, Home Program Fund, Transit Services Fund, and grant portion
of Transportation Services. Budgets are non-lapsing for capital projects in all the enterprise funds, and for two of
the internal services funds - Equipment Fund and Communications Fund.
Property Taxes
Property taxes levied in a particular year are collected in the subsequent year. The property tax calendar is as
follows:
Tax Year
Tax levy certified to County Commissioners ............................................................................December 15
County Commissioners certify levy to County Assessor ..........................................................December 22
Ensuing Collection Year
Taxes attach as an enforceable lien on property..............................................................................January 1
First installment due date (one-half of taxes due)........................................................................February 29
Taxes due in full (unless installments elected by taxpayer) ..............................................................April 30
Second installment due date (second half due)................................................................................... June 15
Taxes are collected by the Larimer County Treasurer on behalf of the City and are remitted by the 10th day of the
month following collection. A 2% collection fee is retained by the County as compensation for collecting the taxes.
Economic Dependency
Anheuser Busch contributed 4% of total property taxes collected in 2007. This company is also a major customer
of the City’s electric, water and wastewater funds.
62 City of Fort Collins Comprehensive Annual Financial Report
NOTE III. DETAILED NOTES ON ALL FUNDS
A. Deposits and Investments
Deposits
Primary Government
The carrying amount of the City's eleven deposit accounts as of December 31, 2007, was $5,720,242. The bank
balance was $7,570,603 of which $1,100,000 was covered by federal deposit insurance.
Component Unit
The Downtown Development Authority’s undivided share of the City’s deposits as of December 31, 2007 was a
carrying amount of $175,880. The bank balance was $233,677.
Custodial Credit Risk – Deposits
For deposits, custodial credit risk is the risk that, in the event of a bank failure, the City’s deposits might not be
returned. Due to the federal deposit insurance and the collateral no deposits for the City or the component unit
were exposed to custodial credit risk.
Investments
Investment policies are governed by the City's own investment policies and procedures. Investments of the City
and its discretely presented component unit may include:
- Legal investments for municipalities under state statutes.
- Interest-bearing accounts or certificates of deposit at banks or savings and loans in Colorado which are
eligible public depositories.
- Obligations of the United States Government, its agencies or instrumentalities.
- Common or preferred stock or debt of U.S. corporations.
- Obligations issued by or on behalf of the City.
- State or local government obligations having an investment grade rating.
- Prime rated banker's acceptances.
- Prime rated commercial paper.
- Guaranteed investment contracts.
- Repurchase and reverse repurchase agreements of any marketable security described above which afford
the City a perfected security interest in such security.
- Local government investment pools authorized under the laws of the State of Colorado.
- Shares in any money market fund or account, unit investment trust or open or close-end investment
company, all of the net assets of which are invested in securities described above.
- Mutual funds that include eligible investments found above.
- For bond reserve funds, treasury securities with a put option used to control and minimize arbitrage
rebates.
In addition to the above, investments of the General Employees' Retirement Plan may include:
- Equipment trust certificates.
- Real property and loans secured by first mortgages or deeds of trust.
- Participation guarantee agreements with domestically regulated life insurance companies.
- Tax certificates issued by any county treasurer of Colorado upon any real property located within the
state.
City of Fort Collins Comprehensive Annual Financial Report 63
- International mutual funds that have a five star rating for the past five years from Morningstar Mutual
Funds.
Investments of the Money Purchase Plan 401(a) are determined contractually with the third party custodian. The
plan currently contains a wide range of money market and mutual funds.
In accordance with GASB Statement No. 40, the City’s and its discretely presented component unit’s investments
are subject to interest rate and credit risk as described below:
Interest Rate Risk
As a means of limiting its exposure to fair value losses arising from rising interest rates, the City's investment
policy limits at least 80% of the City's investment portfolio to maturities of less than five years and at least five
percent of the City's operating investment portfolio to maturities of 120 days or less. Based on the current rate
environment, the City assumes that all callable securities may be called on the first call date.
The City invests in various mortgage-backed securities and bonds with floating interest rates in order to maximize
yields. Mortgage-backed securities are based on cash flows from interest payments on underlying mortgages.
Therefore, they are sensitive to prepayments by mortgagees, which may result from a decline in interest rates. If
interest rates decline and homeowners refinance mortgages, thereby prepaying the mortgages underlying these
securities, the cash flows from interest payments are reduced and the value of these securities declines. Likewise, if
homeowners pay on mortgages longer than anticipated, the cash flows are greater and the return on the initial
investment would be higher than anticipated.
Concentration of Credit Risk
The City places no limit on the amount the City may invest in any one issuer. More than 5% of the City’s
investments are in Federal Home Loan bank (FHLB), Federal Home Loan Mortgage Corporation (FHLMC), and in
Federal National Mortgage Association (FNMA) agency securities. These investments are 28.9%, 13.1% and
15.2%, respectively, of the City’s total investment. All of these investments were rated AAA.
Custodial Credit Risk for Investments
For an investment, custodial credit risk is the risk that, in the event of the failure of the counterparty, the City will
not be able to recover the value of its investments or collateral securities that are in the possession of an outside
party. The City’s investment policy restricts holding of securities by counterparties.
Credit Risk
The City's investment policy limits investments in corporate bonds to the top three ratings issued by nationally
recognized statistical rating organizations (NRSROs). As of December 31, 2007, the City's investment in corporate
bonds was rated AA or better by Standard & Poor's and Aa3 or better by Moody's Investors Service. The City’s
investment policy also allows for the City to invest in local government investment pools. As of December 31,
2007, the local government investment pools (CSAFE & Colorado Diversified Trust) in which the City had
invested, were rated AAAm by Standard & Poor’s.
64 City of Fort Collins Comprehensive Annual Financial Report
The City’s investments in repurchase agreements are for a period of one month or less. As a result they are
sensitive to the short-term interest rate environment.
The market for securities lending developed to provide temporary access to a large portfolio of securities for
broker/dealers who might have a need to borrow specific instruments. At the time of the transaction, the
broker/dealer collateralizes their borrowing (in cash or with securities) to 102% of the security value plus accrued
interest and in the event that the fair value of the collateral falls below 100%. If the broker/dealer fails to return the
security, upon request, then the custodian, acting as agent, will utilize the collateral to replace the security
borrowed. The transaction establishes a rebate interest rate (assuming cash collateral), which is due back to the
broker/dealer upon return of the security. The cash is then invested short-term and the City and the custodian share
the incremental return available above the rebate rate. The commingled short-term fixed income accounts can be
invested in repurchase agreements, master notes, U.S. treasuries and agencies, U.S. certificates of deposit and time
deposits, bankers’ acceptances, commercial paper, and other short term money market instruments. The securities
loaned are on a rolling daily basis and the cash collateral can be deposited and/or withdrawn from the commingled
investment on a daily basis.
The City authorizes the lending of fixed income securities, except those held in reserve for the Self Insurance Fund.
The City, as a program participant, assumes the risk that (a) the overnight investment will not equal or exceed the
rebate rate, (b) a loss of the principal in the overnight investment and (c) the collateral will not be sufficient, if
called upon to repurchase the lost security. The City would have credit risk if at any time the above-mentioned
102% daily adjusted collateral falls below 100%. As of December 31, 2007, no market risk had been incurred from
the City’s securities lending program as the market value of the securities that the City loaned to the financial
institution was $178,278,747 and the collateral received by the City was $181,610,916 for governmental activities.
On January 8, 2008, an enforcement action was declared on collateral assigned to the City with a par value of $5.5
million (see Note IV F. Subsequent Event).
As of December 31, 2007, no market risk resulted from the City’s securities lending program since the market
value of the securities that the City loaned to the financial institution was $9,509,877 and the collateral received by
the City was $9,676,107 for General Employees’ Retirement Plan.
The City periodically reviews the custodian’s practices to insure fair distribution of lending opportunities as well as
risk evaluation of prospective broker/dealer borrowers. For the year 2007, the City received net income of
As of December 31, 2007, the City had the following investments and maturities:
Primary Government (including Fiduciary Funds)
Credit Risk Fair Up to 121 days More than
Investment Type Rating Value 120 days to 5 years 5 years
Repurchase agreement $ 57,186,245 $ 57,186,245 $ - $ -
U.S. Agencies (GNMA) 128,928 - - 128,928
Instrumentality
Federal Farm Credit Bank (FFCB) AAA - - - -
Federal Home Loan Bank (FHLB) AAA 94,711,806 3,643,543 86,813,952 4,254,311
Federal Home Loan Mortgage Corporation (FHLMC) AAA 45,356,953 2,001,100 33,330,522 10,025,330
Federal National Mortgage Association (FNMA) AAA 52,567,638 1,999,380 47,812,715 2,755,543
Corporate bonds 43,364,175 10,994,640 32,369,535 -
Component unit bonds held by City 9,690,000 - 9,690,000 -
Total Investments Controlled by the City $ 303,005,745 $ 75,824,908 $ 210,016,724 $ 17,164,112
Percent of Total 25% 69% 6%
Component Unit
Credit Risk Fair Up to 121 days More than
Investment Type Rating Value 120 days to 5 years 5 years
Repurchase agreement $ 2,813,755 $ 2,813,755 $ - $ -
Instrumentality
Federal Home Loan Bank (FHLB) AAA 6,488,789 1,751,973 4,412,377 324,439
Total Investments Controlled by the City $ 9,302,544 $ 4,565,728 $ 4,412,377 $ 324,439
Percent of Total 49% 47% 4%
Investment Maturities
Investment Maturities
City of Fort Collins Comprehensive Annual Financial Report 65
$225,190 from security lending activity for its operating and pension portfolios for governmental activities and
$10,541 for General Employees’ Retirement Plan. The City has not incurred a loss through its participation in this
program.
Restrictions on Cash and Investments
Cash and investments of $82,868 and $29,801, respectively in the Sales and Use Tax and Transportation Services
funds and $308,521, $440,242 and $411,564, respectively, in the Water, Wastewater and Storm Drainage funds are
contractually restricted for debt service through bond ordinances.
B. Notes Receivable
In March 1996, the City entered into an agreement with a developer for the construction of low income apartment
units. Under the agreement, the City loaned $913,000 to the developer from the HOME Program special revenue
fund and received a deed of trust against the property. The loan is to be repaid from 50% of the net available cash
flow generated by the project as calculated annually. The loan bears interest at 9% per annum. There is no set
payment schedule or due date on the loan. Based upon a review of project income statements, the project did not
have a net available cash flow. The outstanding balance as of December 31, 2007 is $913,000.
In May 2000, the City entered into an agreement with a developer for the construction of low income senior
apartment units. Under the agreement, the City loaned $200,000 to the developer from the Community
Development Block Grant special revenue fund and received a deed of trust against the property. The loan is to be
repaid from the net available cash flow generated by the project as calculated annually. The loan bears interest at
7% per annum. There is no set payment schedule on the loan. The loan has a term of 20 years. The outstanding
balance as of December 31, 2007 is $200,000.
In the mid-1980’s, the City loaned money to various individuals that qualified in a low income housing program.
The City loaned various amounts from the Community Development Block Grant special revenue fund and filed
deed of trusts’ against the properties. There are two outstanding loans as of December 31, 2007. They are both set
to mature in 2012. The outstanding balance of these loans as of December 31, 2007 is $21,501.
In December 2001, the City entered into an agreement with a developer for the construction of low income senior
apartment units. Under the agreement, the City loaned $250,000 to the developer. 50% of the loan proceeds are
from the HOME Program special revenue fund and 50% of the loan proceeds are from the General Fund. The City
received a deed of trust against the property. The loan is to be repaid from the net available cash flow generated by
the project as calculated annually. The loan bears interest at 5.5% per annum. There is no set payment schedule on
the loan. The loan has a term of 20 years. In 2007, the City did receive an interest payment of $13,750. The
outstanding balance as of December 31, 2007 is $250,000.
In May 2006, the City entered an agreement with Platte River Power Authority for the purchase of two V42 Vestes.
Under the agreement, the City loaned $747,137. Platte River Power Authority will make annual payments of
$92,150 over a ten-year period. The loan bears a fixed interest rate at 5%. The outstanding balance as of
December 31, 2007 is $595,586.
In 2006, a loan agreement between the Fort Collins Urban Renewal Authority and the City for funding projects in
the North College Urban Renewal Plan Area was entered into. The City loaned the URA $150,000 with a 5.547%
interest rate. All principal and accrued interest is due to the City in 10 years. URA may pay all or any portion of
the loan at any time without penalty. The loan amount outstanding as of December 31, 2007 is $120,000.
Accrued interest on the above loans has not been recorded since it is uncertain as to the frequency of when the
projects will be able to make payments against the note.
66 City of Fort Collins Comprehensive Annual Financial Report
C. Capital Assets
A summary of changes in capital asset activity for the year ended December 31, 2007 follows:
Balance, Balance,
Beginning End
of Year Additions Transfers Deletions of Year
Primary Government:
Governmental activities
Capital assets, not being depreciated:
Land, water rights, other $ 102,354 $ 7,780 $ 84 ( 3,589 ) $ 106,629
Street system infrastructure 294,552 10,342 - - 304,894
Construction in progress 36,195 32,931 ( 63,119 ) ( 739 ) 5,268
Total capital assets, not being depreciated 433,101 51,053 ( 63,035 ) ( 4,328 ) 416,791
Capital assets, being depreciated:
Buildings and improvements 82,968 253 58,021 ( 474 ) 140,768
Improvements other than buildings 66,090 2,972 581 - 69,643
Machinery and equipment 50,582 2,858 4,433 ( 2,641 ) 55,232
Total capital assets being depreciated 199,640 6,083 63,035 ( 3,115 ) 265,643
Less accumulated depreciation for:
Buildings and improvements ( 22,027 ) ( 2,279 ) - 304 ( 24,002 )
Improvements other than buildings ( 29,569 ) ( 3,025 ) - - ( 32,594 )
Machinery and equipment ( 29,499 ) ( 4,236 ) - 2,258 ( 31,477 )
Total accumulated depreciaition ( 81,095 ) ( 9,540 ) - 2,562 ( 88,073 )
Total capital assets being depreciated, net 118,545 ( 3,457 ) 63,035 ( 553 ) 177,570
Governmental activities
capital assets, net 551,646 47,596 - ( 4,881 ) 594,361
Business-type activities
Capital assets, not being depreciated:
Land, water rights, other 55,374 2,363 501 ( 14 ) 58,224
Construction in progress 22,143 14,179 ( 11,189 ) ( 2 ) 25,131
Total capital assets, not being depreciated 77,517 16,542 ( 10,688 ) ( 16 ) 83,355
Capital assets, being depreciated:
Buildings and improvements 238,939 229 ( 17,467 ) ( 558 ) 221,143
Improvements other than buildings 367,329 12,034 26,023 ( 897 ) 404,489
Machinery and equipment 49,879 1,671 2,132 ( 3,903 ) 49,779
Total capital assets being depreciated 656,147 13,934 10,688 ( 5,358 ) 675,411
Less accumulated depreciation for:
Buildings and improvements ( 74,467 ) ( 3,918 ) 11,997 496 ( 65,892 )
Improvements other than buildings ( 134,192 ) ( 11,342 ) ( 11,518 ) 765 ( 156,287 )
Machinery and equipment ( 39,759 ) ( 2,424 ) ( 479 ) 3,842 ( 38,820 )
Total accumulated depreciation ( 248,418 ) ( 17,684 ) - 5,103 ( 260,999 )
Total capital assets being depreciated, net 407,729 ( 3,750 ) 10,688 ( 255 ) 414,412
Business-type activities
capital assets, net $ 485,246 $ 12,792 $ - $ (271)$ 497,767
(amounts expressed in thousands)
City of Fort Collins Comprehensive Annual Financial Report 67
Beginning Additions Deletions End
of Year of Year
(amounts expressed in thousands)
Component Unit:
Capital Assets; not being depreciated:
Land $ 802 $ 200 $ - $ 1,002
Capital assets being depreciated:
Buildings and improvements 2,337 750 - 3,087
Improvements other than buildings 33 - - 33
Total capital assets being depreciated 2,370 750 - 3,120
Less accumulated depreciation for:
Buildings and improvements (925) (310) - (1,235)
Improvements other than buildings (25) (2) - (27)
Total accumulated depreciation (950) (312) - (1,262)
Total capital assets being depreciated, net 1,420 438 - 1,858
Component unit capital assets, net $ 2,222 $ 638 $ - $ 2,860
Depreciation expense was charged to functions / programs of the primary government as follows:
Governmental Business-Type
Activities Activities
(amounts expressed in thousands)
General government $ 941 $ -
Public safety - police & judicial 1,358 -
Cultural, library, & recreation services 3,426 -
Transportation services 3,592 -
Capital assets held by the City's internal service
funds used for governmental activities 223 -
Light & Power - 6,463
Water - 5,600
Wastewater - 2,818
Storm Drainage - 2,261
Non-major Enterprise funds - Golf - 314
Capital assets held by the City's internal service
fund used for business-type activities - 228
Total depreciation expense 9,540 17,684
Less capital assets held by the City's internal
service funds 223 228
Depreciation expense excluding internal
service funds $ 9,317 $ 17,456
68 City of Fort Collins Comprehensive Annual Financial Report
Transfers are primarily used to 1) move revenues from the fund with collection authorization (e.g. Sales and Use
Tax Fund) to the General Fund for overall operating expenditures and the Transportation Services, Capital Projects
and Natural Areas Fund for dedicated voter approved programs and projects, and 2) move unrestricted general fund
revenues to finance various programs that the government must account for in other funds in accordance with
budgetary authorizations, including amounts provided as subsidies or matching funds for various grant programs.
E. Long-term Obligations
The City utilizes various types of debt and other long-term obligations in conducting its business. The following
describes the various bonds and other types of financing used by the City and its component unit.
General Obligation Bonds: The City issues general obligation bonds to provide funds for the acquisition and
construction of major capital facilities. General obligation bonds have been issued for both governmental and
business-type activities. As of December 31, 2007, only the business-type general obligation bonds for the Water
fund in the amount of $5,000,000 were outstanding.
Revenue Bonds: When issuing revenue bonds for the construction of capital assets, the City pledges specific
revenue that is generally derived from operations related to the acquired/constructed asset to pay the debt service.
The City issues revenue bonds for both governmental and business-type activities. As of December 31, 2007, the
City had $3,341,863 of tax revenue bonds outstanding for governmental activities and $90,602,490 of revenue
bonds outstanding for business-type activities. Sales and use tax and highway users tax revenues and reserves are
pledged for the governmental debt. The business-type debt is secured by operating revenues of the related
enterprise funds.
Certificates of Participation and Assignment of Lease Payments: Through the Fort Collins Leasing Corporation,
the City issues certificates of participation (COPs) and assignments of lease payments (ALPs) for the acquisition
and construction of major capital facilities and improvements. The debt is secured by the constructed facilities and
improvements. Debt service payments are made from the rents collected by the Leasing Corporation based upon
lease agreements between the City and the Leasing Corporation. As of December 31, 2007, the City had
$59,047,430 and $3,948,570 of COPs/ALPs outstanding for governmental and business-type activities,
respectively.
Capital Leases: The City also enters into lease agreements as a lessee for financing the acquisition of land, various
machinery and equipment for both governmental and business-type activities. The capital assets acquired from the
lease agreements are included with capital assets and the amortization of leased equipment is included with
depreciation in the financial statements. These lease agreements qualify as capital leases for accounting purposes
and therefore, have been reflected at the present value of their future minimum lease payments as of the inception
D. Interfund Transfers:
Trans-
portation Capital Nonmajor Light and Internal
General Services Projects Governmental Power Service Total
Transfer out:
Governmental Funds
General $ - $ 4,328,746 $ 577,981 $ 11,507,803 $ 25,000 $344 3,893,$ 20,332,874
Sales and Use Tax 59,043,431 5,798,943 5,859,829 7,026,888 - - 77,729,091
Transportation Services - - 2,924,529 1,886,473 - - 4,811,002
Capital Projects - - - 1,591,842 - - 1,591,842
Nonmajor Governmental 707,115 - 9,555,231 1,856,009 - - 12,118,355
Proprietary Funds
Storm Drainage - 115,940 - - - - 115,940
Internal Service 26,954 37,861 - - - - 64,815
Total transfers in $ 59,777,500 $ 10,281,490 $ 18,917,570 $ 23,869,015 $ 25,000 $344 3,893,$ 116,763,919
Transfers In:
City of Fort Collins Comprehensive Annual Financial Report 69
date. The City had $2,602,170 and $489,272 of capital leases outstanding as of December 31, 2007, for
governmental and business-type activities, respectively.
Cost of all capital assets holding at year end that have been acquired under capital leases.
URA Loan Payments: A loan agreement between the Fort Collins Urban Renewal Authority and the City of Fort
Collins for funding projects in the North College Urban Renewal Plan Area was entered into in 2006. The City
loaned the URA $150,000 with a 5.547% interest rate. All principal and accrued interest is due to the City in 10
years. URA may pay all or any portion of the loan at any time without penalty. The loan amount outstanding as of
December 31, 2007 is $120,000.
DDA Tax Increment Revenue Bonds: The tax increment bonds are serviced by the component unit, Downtown
Development Authority, and are secured by tax increment property taxes. The bonds were issued in 2004 and
2007, and will mature in 2011. The Downtown Development Authority had $9,690,000 of tax increment revenue
bonds outstanding as of December 31, 2007.
Governmental
Activities
Business Type
Activities
Balance, End of
Year
Balance, End of
Year
Land, water rights, other $ 519,409 $ -
Buildings and Improvemts 351,930 -
Machinery and equipment 8,634,548 1,126,896
$ 9,505,887 $ 1,126,896
70 City of Fort Collins Comprehensive Annual Financial Report
The following tables display the debt service requirements to maturity for the obligations described:
Year Ending
December 31 Principal Interest Principal Interest Total
2008 $ - $ - $465 2,$ 136 $601 2,
2009 - - 2,535 70 2,605
$ - $ - $000 5,$ 206 $206 5,
Year Ending
December 31 Principal Interest Principal Interest Total
2008 $ 1,092 $260 $173 9,$ 4,543 $068 15,
2009 1,265 88 9,379 4,137 14,869
2010 315 43 8,811 3,442 12,611
2011 330 30 7,334 2,767 10,461
2012 340 15 7,643 2,458 10,456
2013-2017 - - 33,796 7,569 41,365
2018-2022 - - 13,970 1,469 15,439
2023-2027 - - 425 71 496
2028-2032 - - 72 7 79
$ 3,342 $436 $603 90,$ 26,463 $844 120,
Year Ending
December 31 Principal Interest Principal Interest Total
2008 $ 3,005 $688 2,$120 $ 64 $877 5,
2009 3,115 2,578 125 59 5,877
2010 3,125 2,446 110 55 5,736
2011 3,230 2,323 130 50 5,733
2012 3,390 2,178 135 45 5,748
2013-2017 19,265 8,531 870 133 28,799
2018-2022 13,660 4,361 225 4 18,250
2023-2027 9,555 1,265 - - 10,820
$ 58,345 $370 26,$715 1,$ 410 $840 86,
Business-Type Activities
Business-Type Activities
Certificates of Participation Payments
Governmental Activities
Governmental Activities
General Obligation Bonds
(amounts expressed in thousands)
Revenue Bonds
Governmental Activities Business-Type Activities
City of Fort Collins Comprehensive Annual Financial Report 71
The following tables display the debt service requirements to maturity for the obligations described:
Year Ending
December 31 Principal Interest Principal Interest Total
2008 $ 37 $ 33 $ 116 $105 $291
2009 38 31 122 100 291
2010 40 29 128 94 291
2011 42 28 134 88 292
2012 44 26 140 81 291
2013-2017 253 95 803 302 1,453
2018-2022 248 30 791 95 1,164
$ 702 $ 272 $ 2,234 $865 $ 4,073
Year Ending
December 31 Principal Interest Principal Interest Total
2008 $ 799 $ 119 $ 132 $ 20 $ 1,070
2009 718 83 126 14 941
2010 537 51 116 8 712
2011 467 25 79 3 574
2012 81 1 36 1 119
$ 2,602 $ 279 $ 489 $ 46 $ 3,416
Year Ending
December 31 Principal Interest Principal Interest Total
2008 $ 30 $ 7 $ - $ - $ 37
2009 30 5 - - 35
2010 30 3 - - 33
2011 30 2 - - 32
$ 120 $ 17 $ - $ - $137
Year Ending
December 31 Principal Interest Total
2008 $ 2,270 $453 $ 2,723
2009 2,375 350 2,725
2010 2,480 240 2,720
2011 2,565 124 2,689
$ 9,690 $167 1,$857 10,
Component Unit
DDA - Tax Increment Bonds
Governmental Activities Business-Type Activities
Capital Lease Payments
Governmental Activities Business-Type Activities
URA Loan Payments
Governmental Activities Business-Type Activities
Assignment of Lease Payments
(amounts expressed in thousands)
72 City of Fort Collins Comprehensive Annual Financial Report
General long - term obligations of the primary government at December 31, 2007 is comprised of the following:
Date Description/Interest Rates Maturity Original Outstanding
Issued Dates Balance Balance
Bonds Service by Transportation Services Fund through the City
Debt Service Fund (secured by highway users tax revenues and reserves)
1998 Highway Users Tax Revenue Refunding Bonds (3.2-4.50%) 2012 $ 3,399,729 $ 1,441,863
Bonds Serviced by Sales and Use Tax Fund through the City Debt
Service Fund (secured by sales and use tax revenues and reserves)
2003 Sales and Use Tax Revenue Refunding Bonds (2.0-3.25%) 2009 5,730,000 1,900,000
COPs / ALPs serviced by General Fund and General Improvement
District No. 1 Fund through the Fort Collins Capital Leasing
Corporation Debt Service Fund
2004 Lease Certificates of Participation (3.00 - 5.375%) 2026 48,650,000 45,465,000
2007 Lease Certificates of Participation (3.860%) 2018 14,595,000 12,880,000
2001 Assignment of Lease Payments - Police (4.70%) 2021 890,000 702,430
Unamortized premium on bonds 1,442,418
Amortized loss on bond refunding (4,505)
Other Obligations of Governmental Funds
2006 Advance from Storm Drainage to URA (5.547%) 2016 150,000 120,000
N/A Capital lease obligations (secured by leased equipment) 2012 N/A 2,592,180
N/A Accrued compensated absences N/A N/A 3,727,932
Other Obligations of Internal Service Fund used by
Governmental Activities
N/A Capital lease obligations (secured by leased equipment) 2009 N/A 9,990
N/A Accrued compensated absences N/A N/A 188,706
N/A Net pension obligation N/A N/A 1,443,775
N/A Claims Payable N/A N/A 6,456,340
Total $ 78,366,129
Component unit long - term debt at December 31, 2007, is comprised of the following obligations:
Bonds Serviced by Downtown Development Authority
Debt Service Fund
2004 Subordinate Tax Increment Revenue Bonds (3.35-4.40%) 2011 $ 6,235,000 $ 5,075,000
(secured by tax increment property taxes)
2007 Subordinate Tax Increment Revenue Bonds (5.268-5.554%) 2011 5,700,000 4,615,000
(secured by tax increment property taxes)
Unamortized premium on bonds N/A N/A -
Other Obligations – Component Unit
N/A Accrued compensated absences N/A N/A 29,355
Total $ 9,719,355
City of Fort Collins Comprehensive Annual Financial Report 73
Business-type long-term obligations at December 31, 2007 consists of the following:
Date Description/Interest Rates Maturity Original Outstanding
Issued Dates Balance Balance
Bonds, COPs, and ALPs, serviced by Enterprise Funds
Water Fund
(general obligation water bonds secured by full faith and credit of the City)
1997 Water Revenue Bond (3.80-5.30%) 2017 $ 10,125,300 $ 5,700,291
1998 Water Revenue Refunding and Improvement Bonds (3.00-4.75%) 2018 31,580,000 20,170,000
1999 Water Revenue Bond (3.28-5.25%) 2019 4,998,395 3,200,822
2002 General Obligation Water Refunding Bonds (2.25-2.75%) 2009 19,255,000 5,000,000
2003 Subordinate Water Revenue Bonds (5.025% ) 2030 2,476,446 2,200,391
Storm Drainage Fund
(secured by storm drainage revenues)
1999 Storm Drainage Revenue Bonds (4.50-5.25%) 2019 19,980,000 1,700,000
2001 Storm Drainage Revenue Bond (4.50-5.25%) 2021 9,845,000 7,265,000
2002 Storm Drainage Revenue Refunding Bonds (2.25-3.00%) 2008 2,765,000 860,000
2002 Storm Drainage Revenue Bonds (4.38-5.00%) 2022 12,300,000 10,135,000
2007 Storm Drainage Revenue Refunding Bonds (4.086%) 2019 15,945,000 15,945,000
2007 Storm Drainage Revenue Refunding Bonds (4.086%) 2017 3,360,000 3,360,000
Golf Fund
(secured by golf revenue)
2007 Lease Certificates of Participation (3.860%) 2018 1,715,000 1,715,000
2001 Assignment of Lease Payments (4.70%) 2021 2,830,000 2,233,570
Wastewater Fund
(secured by sewer revenue)
1992 Sewer Revenue Bond (5.0-6.0%) 2014 24,540,580 8,960,986
2000 Sewer Revenue Bonds (4.5-5.5%) 2020 5,665,000 4,305,000
2005 Sewer Revenue Refunding Bonds (3.5 - 4.0%) 2010 11,415,000 6,800,000
374,597
Unamortized loss on bond refundings (1,420,156)
Unamortized discount on bonds (173,779)
Other Obligations of Enterprise Funds
N/A Capital lease obligations (secured by leased equipment) 2012 N/A 489,272
N/A Accrued compensated absences N/A N/A 1,316,769
Other Obligations of the Internal Service Fund used by
Business-type Activities
N/A Accrued compensated absences N/A N/A 353,260
Total $023 100,491,
Unamoritized premium on bonds
74 City of Fort Collins Comprehensive Annual Financial Report
The City is in compliance with all significant limitations and restrictions. The City is maintaining all reserves
required by ordinances and agreements with other third parties. Within the governmental funds, these reserves are
being maintained in debt service and special revenue funds as required by ordinances or agreements.
Certificates of participation issued by the Fort Collins Capital Leasing Corporation are payable from rents collected
under a lease agreement between the City and the Leasing Corporation. General obligation water bonds, payable
from revenues of the Water Fund are secured by the full faith and credit of the City.
Defeasance of Debt
The City has defeased certain bonds in the prior years by placing the proceeds of new bonds in irrevocable trusts to
provide for all future debt service payments on the defeased bonds. The trust accounts' assets and the liability for
the defeased bonds are not included in the City's financial statements. At December 31, 2007, $2,400,000 of sales
& use tax bonds, and $12,265,000 of storm drainage refunding bonds are considered defeased. The net present
value benefit of the sales & use tax bond refunding is $578,005 and $875,125 on the storm drainage refunding. The
net change in cash flows is $58,791 and $398,104 the sales & use tax bond refunding and storm drainage refunding
respectively.
Conduit Debt Obligations
From time to time, the City has issued Industrial Development Revenue Bonds to provide financial assistance to
private-sector entities for the acquisition and construction of industrial and commercial facilities deemed to be in
the public interest. The bonds are secured by sources external to the City and are payable solely from payments
received from outside parties. The City is not obligated in any manner for repayment of the bonds. Accordingly,
the bonds are not reported as liabilities in the accompanying financial statements.
As of December 31, 2007, there were 20 series of Industrial Development Revenue Bonds outstanding, with an
estimated aggregate principal amount payable of $63.4 million.
Operating Leases
The City leases various facilities under operating leases, which are cancelable within one year. Costs for these
leases in 2007 were $185,471.
City of Fort Collins Comprehensive Annual Financial Report 75
Changes in long-term liabilities
Long-term liability activity for the year ended December 31, 2007 was as follows:
Beginning Ending Due Within
Balance Additions Reductions Balance One Year
Primary Government:
Governmental Activities
Bonds, COPS, and ALPs:
Tax revenue bonds $ 4,579,464 $ - $ (1,237,601) $ 3,341,863 $ 1,091,863
Fort Collins Leasing Corporation
Certificates of participation 60,190,000 12,880,000 (14,725,000) 58,345,000 3,005,000
Assignment of lease payments 737,360 - (34,930) 702,430 36,605
Total bonds, COPS and ALPS 65,506,824 12,880,000 (15,997,531) 62,389,293 4,133,468
Add other financing sources (bond premium) 1,549,266 - (106,848) 1,442,418 106,848
Less other financing uses (bond discount and
deferred loss on refundings) (88,167) 57,303 26,359 (4,505) (24,204)
Total bonds, COPs and ALPs 66,967,923 12,937,303 (16,078,020) 63,827,206 4,216,112
Other Liabilities:
Advance from Storm Drainage to URA 150,000 - (30,000) 120,000 -
Capital leases 2,814,989 742,845 (955,664) 2,602,170 799,069
Compensated absences 3,671,855 3,458,142 (3,213,359) 3,916,638 3,916,638
Claims payable 6,306,924 14,365,990 (14,216,574) 6,456,340 2,651,250
Net pension obligation 643,536 800,239 - 1,443,775 1,443,775
Total other liabilities 13,587,304 19,367,216 (18,415,597) 14,538,923 8,810,732
Governmental activities
long-term liabilities $ 80,555,227 $ 32,304,519 $ (34,493,617) $ 78,366,129 $ 13,026,844
Business-Type Activities
Bonds, COPS, and ALPs:
G.O. & revenue bonds $ 106,425,703 $ 19,305,000 $ (30,128,213) $ 95,602,490 $ 11,568,031
Fort Collins Leasing Corporation
Certificates of participation 1,715,000 1,715,000 (1,715,000) 1,715,000 120,000
Assignment of lease payments 2,344,640 - (111,070) 2,233,570 116,395
110,485,343 21,020,000 (31,954,283) 99,551,060 11,804,426
Add bond premium 409,001 - (34,404) 374,597 34,404
Less bond discount and
deferred loss on refundings (1,717,974) (357,160) 481,199 (1,593,935) (255,006)
Total bonds, COPs and ALPs 109,176,370 20,662,840 (31,507,488) 98,331,722 11,583,824
Other Liabilities:
Capital leases 300,295 324,740 (135,763) 489,272 131,694
Compensated absences 1,507,965 1,938,939 (1,776,875) 1,670,029 1,670,029
Total other liabilities 1,808,260 2,263,679 (1,912,638) 2,159,301 1,801,723
Business-type activities
long-term liabilities $ 110,984,630 $ 22,926,519 $ (33,420,126) $ 100,491,023 $ 13,385,547
Component Unit:
Bonds:
Tax revenue bonds $ 6,235,000 $ 5,700,000 $ (2,245,000) $ 9,690,000 $ 2,270,000
Total bonds 6,235,000 5,700,000 (2,245,000) 9,690,000 2,270,000
Compensated absences 14,298 35,817 (20,760) 29,355 29,355
Component unit
long-term liabilities $ 6,249,298 $ 5,735,817 $ (2,265,760) $ 9,719,355 $ 2,299,355
76 City of Fort Collins Comprehensive Annual Financial Report
Compensated Absences for Governmental Activities
The General Fund is primarily used to liquidate the liability for compensated absences.
Internal service funds, except for the Utility Customer Service and Administration Fund, predominantly serve the
governmental funds. Accordingly, long-term liabilities for these funds are included as part of the above totals for
governmental activities. Long-term liabilities of the Utility Customer Service and Administration internal service
fund are included as part of the totals for the business-type activities on the proceeding page.
Designated Fund Balances
Designations of fund balances represent the City’s intent to use assets for specific future purposes. These
designations are eliminated for citywide reporting.
NOTE IV. OTHER INFORMATION
A. Risk Management
Property, Liability, and Workers Compensation
The City self-insures a portion of its comprehensive automobile liability, general liability, police liability, and
public official liability exposures as well as damage or destruction of property. The City utilizes the Self-Insurance
Fund (an internal service fund) to finance and account for risks of property and liability loss.
The City purchases property insurance that has a $50,000 deductible for most causes of loss including earthquake
and flood. Special flood hazard areas of 100 year flooding, as defined by FEMA have a deductible of 5% of the
total insurable value at each location, subject to a minimum of $500,000 at any one occurrence. Crime and boiler &
machinery coverage has a $10,000 deductible. Vehicles have a $100,000 deductible.
In 2007, the City purchased liability insurance through an insurance broker, Arthur J. Gallagher. This policy has a
$500,000 deductible for all types of liability claims. Coverage limits are as follows:
General, Auto, & Law Enforcement Liability – $3 million/occurrence, $6 million aggregate
Public Official Liability - $3 million/each wrongful act, $6 million aggregate.
Designations by Fund and Type
December 31, 2007
General
Sales and Use
Tax
Transportation
Services Capital Projects Other Governmental
Capital Projects $ 4,392,179 $ 274,105 $ 241,861 $ 25,808,935 $ 13,098,858
Buildings and Improvements 2,350,000 8,059,589 - - 160,000
Operations and Maintenance - - 843,358 - 288,295
Public Safety Equipment Replacement 980,000 - - - -
MIS Equipment Replacement 517,000 - - - -
Affordable Housing 98,993 - - - -
Economic Vitality 363,070 - - - -
Civic Center Development 2,000,000 - - - -
Capital Expansion - - - - 13,117,506
Equipment Replacement - - - - 1,534,255
Total designations $ 10,701,242 $ 8,333,694 $ 1,085,219 $ 25,808,935 $ 28,198,914
City of Fort Collins Comprehensive Annual Financial Report 77
Workers’ Compensation losses are self-insured up to $400,000 per occurrence. Employees in the Electrical Utility
function are self-insured up to $750,000 per occurrence. An excess policy providing limits mandated by the State
of Colorado provides coverage above the self-insured retention.
In 2007, the Downtown Development Authority, a component unit, purchased general and public official liability
insurance policies from private insurance companies. The general liability policy has no deductible, the public
official liability policy has a $2,500 deductible and the employment related practice claims have a $1,000
deductible. Coverage limits are as follows:
General Liability – $500,000/occurrence, $1 million aggregate
Public Official Liability - $500,000/occurrence, $500,000 aggregate.
During 2007, there were no changes in insurance coverage from the prior year.
During 2007, Poudre Fire Authority, a joint venture, also insured itself against workers’ compensation losses by
purchasing a policy with statutory limits from a private insurance company.
Employee Health and Illness
The City and the component unit self-fund their employees for comprehensive major medical benefits under two
health plan options, up to an aggregate lifetime benefit maximum of $2 million per participant. The two options
include one low Preferred Provider Options (PPO) and one high Preferred Provider Options (PPO). The Benefits
Fund (an internal service fund) is utilized to finance and account for medical risks of loss. Stop-loss coverage of
$120,000 per occurrence is retained as excess risk coverage. During the past three years, there have been 22
claims that have exceeded the stop-loss limit.
Funding and Claims Liabilities
All funds or employees of the City, as applicable, participate in the above risk management programs. Charges to
City funds for these services are based on estimates of the amounts needed to pay claims and establish reserves for
catastrophic losses.
Claims liabilities for the Self-Insurance and Benefits Funds as of December, 31, 2007, amount to $5,044,058 and
$1,412,282 respectively. These claims were determined on an actuarial basis, and reflect the Governmental
Accounting Standards Board (GASB) Statement No. 10 requirement that a liability for claims be reported, if
information prior to the issuance of the City's financial statements indicates that it is probable that a liability has
been incurred at December 31, and the amount of the loss can be reasonably estimated. The liability of $5,044,058
for the Self Insurance Fund is discounted at 4% and reflects an 80% confidence level factor. The discount refers to
the full or undiscounted amount reduced for future investment earnings that can be generated on funds held
between the date of valuation and the date of the final payment of claims. Changes in claims liabilities amounts for
2005, 2006 and 2007 are as follows:
Self-Insurance Fund Benefits Fund
Claims payable--
December 31, 2005 $ 5,973,385 $ 1,263,333
Claims & changes
in estimates 391,108 12,633,032
Claim payments (1,533,508) (12,420,426)
Claims payable--
December 31, 2006 4,830,985 1,475,939
Claims & changes
in estimates 2,193,630 12,172,360
Claim payments (1,980,557) (12,236,017)
Claims payable--
December 31, 2007 $ 5,044,058 $ 1,412,282
78 City of Fort Collins Comprehensive Annual Financial Report
Insurance Recoveries
The City of Fort Collins recovered $67,117 from 3rd party sources for damages caused to city owned property.
B. Employee Retirement Systems and Pension Plans
General Employees' Retirement Plan
Plan Description
All permanent, classified, non-uniformed employees hired before January 1, 1999 are eligible to be members of the
General Employees' Retirement Plan (the Plan), a single-employer defined benefit plan. Employees hired after
January 1, 1999 are only eligible to participate in the Money Purchase Plan explained on page 81. The benefits and
refunds of the General Employees’ Retirement Plan are recognized when due and payable in accordance with the
terms of the plan.
The Plan is accounted for in the General Employees' Retirement Plan Pension Fund (a pension trust fund).
Separate financial statements are not issued for the Plan. As of January 1, 2007, employee membership data related
to the Plan was as follows: Retirees and beneficiaries currently receiving benefits--159; vested terminated
employees--131; active plan participants--235
Benefits vest 40% after 2 years of credited service and 20% for each year thereafter until 100% is attained after 5
years. Employees who retire at or after age 65 with 5 years of credited service are entitled to an annual retirement
benefit, payable monthly for life, in an amount equal to 1-1/2% of final average monthly compensation multiplied
by years of credited service. Final average monthly compensation is the highest average of the considered
compensation during 60 consecutive full calendar months out of the last 120 calendar months of credited service.
A member is eligible for an early retirement benefit after age 55 and completion of 2 years of credited service. The
monthly benefit, payable for life, is equal to the vested portion of the normal retirement benefit based on credited
service and compensation at early retirement, reduced by 1/180th for each of the first 60 months and 1/360th for
each additional month by which payments commence prior to normal retirement date. The Plan also provides for
death and disability benefits. The entire cost of the Plan is paid by the City as established or amended by City
Council.
A death benefit of approximately 50% of the member's vested accrued benefit at the date of death is payable to the
employee's spouse for life beginning on the first day of the month following the later of the date of death or the date
the member would have been age 55. The spouse may elect to receive the actuarial equivalent lump-sum payment.
If the member was not married, the beneficiary or estate would receive the actuarial single-sum payment of the
benefit.
A change in the plan assumptions was approved the General Employees Retirement Plan Board. The actuarial cost
method changed from the Aggregate cost method to the Entry Age Normal method.
Annual Pension Cost
The costs of the Plan are derived by making certain specific assumptions as to the rates of interest and mortality,
which are assumed to hold for many years into the future. Since actual experience may differ somewhat from the
assumptions, the costs determined by the valuation must be regarded as estimates of the true costs of the Plan.
A schedule of Funding Progress for the General Employees’ Retirement Plan is not required because it uses the
aggregate actuarial cost method, where actuarial accrued liabilities are not identified or separately amortized. They
are amortized through normal cost.
Three year historical information of the General Employees’ Retirement Plan is presented to help users assess the
plan’s status on a going concern basis, assess progress made in accumulating assets to pay benefits when due, and
make comparisons with other public employee retirement systems.
City of Fort Collins Comprehensive Annual Financial Report 79
CALCULATION OF NET PENSION OBLIGATION AND PENSION COST
(As required by GASB No. 27)
Annual Net Pension Net Pension Increase
Required Obligation Interest on Amorti- Annual Actual Obligation (Decrease)
Plan Contribution (NPO) as NPO to zation ARC Pension Employer at End Net Pension
Year (ARC) of January 1 End of Year Factor Adjustment Cost (APC) Contribution of Year Obligation
2005 $ 1,397,352 $ (959,840) $ (71,988)7 $ (145,391) $ 1,470,755 $ 739,281 $ (228,366) $ 731,474
2006 1,761,893 (228,366) (17,127) 6 (36,315) 1,781,081 909,179 643,536 871,902
2007 1,725,108 643,536 48,265 6 106,440 1,666,933 866,694 1,443,775 800,239
% of
Annual Annual
Plan Pension Employer Pension
Year Cost Contribution Cost
2005 $ 1,470,755 $ 739,281 50%
2006 1,781,081 909,179 51%
2007 1,666,933 866,694 52%
(*) Unaudited.
SCHEDULE OF EMPLOYER CONTRIBUTIONS
80 City of Fort Collins Comprehensive Annual Financial Report
ASSETS
Current Assets
Cash and cash equivalents $ 3,923,873
Receivables
Interest 170,447
Investments, at fair value
U S Government securities 16,423,970
Mutual funds 25,253,992
Total Investments, at fair value 41,677,962
Securtiy lending collateral 9,676,107
Total Assets 55,448,389
LIABILITIES
Current Liabilities
Accrued expenses 1,535
Obligations under security lending 9,676,107
Total Liabilities 9,677,642
NET ASSETS
Held in trust for pension benefits 45,770,747
Total Net Assets $ 45,770,747
ADDITIONS
Contributions
Employer contributions $ 866,694
Employee contributions -
Other 206
Total Contributions 866,900
Investment income
Interest related to plan investments 706,649
Interest related to employee loans -
Net change in fair value of investments 4,371,272
Total Investment Income 5,077,921
Securities lending income 441,594
Less securities lending expenses 431,053
Net income from securities lending activities 10,541
Net Investment Income 5,088,462
Total Additions $ 5,955,362
DEDUCTIONS
Benefit payments 2,483,503
Administration 23,297
Total Deductions 2,506,800
Net Increase 3,448,562
Net Assets Held In Trust for Retirement Benefits
Beginning of year 42,322,185
End of Year $ 45,770,747
General Employees Retirement Plan
Statement of Net Assets
General Employees Retirement Plan
Statement of Changes in Net Assets
City of Fort Collins Comprehensive Annual Financial Report 81
Contributions and Reserves
The Plan's funding policy provides for actuarially determined periodic rates determined by the aggregate actuarial
cost method. Under this method, the entire cost of an employee's projected benefits are assigned to past, present
and future periods. Contributions are based on the actuarially determined rates. For 2007, the City contributed
4.50% of covered pay to the Plan; this amounted to $866,694. The authority for establishing or amending the
obligation to make contributions rests with City Council.
Costs of administering the Plan are all financed from contributions and earnings of the Plan. The entire balance of
the Plan's net assets available for benefits as of December 31, 2007, is $45,770,541 all of which is reserved for
benefits of employees and beneficiaries.
Concentrations
Investment in mutual funds exceeding 5% of the net assets of the plan are as follows: American Amcap Fund -
5.95%, Brandywine - 5.99%, Fidelity Value Fund - 7.31%, Julius Bear International - 5.96%, Meridian Value Fund
- 5.73%, Mutual Shares Fund - 6.43%, T. Rowe Price International - 7.30%, and T. Rowe Price New Asia - 7.36%.
Money Purchase Plan 401(a)
The City offers its employees a defined contribution money purchase plan. Classified employees were offered the
plan for the first time in 1995. In a defined contribution plan, benefits depend solely on amounts contributed to the
plan plus investment earnings. Employees are eligible to participate six months from the date of employment. The
plan requires both employer and employees to contribute amounts ranging from 3% to 10% (depending on job
classification) of base salary each pay period. Contributions made by the City are not taxable to the employee until
they are withdrawn. Employee contributions are made with pre-tax dollars, and the earnings on City and employee
contributions are not taxed until withdrawn. Except for certain categories of police personnel, employees are fully
vested upon initial participation in the plan. Sworn police officers and emergency service dispatchers, who receive
higher contribution rates, are fully vested upon completion of three years of service. Plan provisions and
contribution requirements are established and may be amended by City Council. City and employee contributions
to the plan were $4,006,338 and $2,564,612, respectively during 2007.
Retirement Health Savings Plan (RHS)
In 2006 and 2007, the City offered to classified and unclassified management employees the employer-sponsored
health benefits savings vehicle that allowed the employee to accumulate assets to pay for medical expenses in
retirement on a tax-free basis. As of 12/31/07, that plan has been frozen. There can no longer be any money
withheld for this plan. Police Services, through the Collective Bargaining Agreement (CBU), continue to offer a
Actuarial plan assumptions:
Valuation date: January 01, 2008
Actuarial cost method: Entry Age Normal
Amortization method: 10 years, as a level percent of pay.
Remaining amortization period: 10 years
Asset valuation method: An expected actuarial value is determined equal to the prior year's actuarial value of assets
plus cash flow (excluding realized and unrealized gains or losses) for the year ended on the
valuation date and assuming a 7.5% interest return. The unrecognized gain or loss is then
added to the expected value. Any difference between this amount and the market value of the
assets is set up as a gain or loss base and amortized over 5 years. The result is constrained
to a value of 80% to 120% of the market value of assets at the valuation date in order to
determine the final actuarial value of assets.
Investment rate of return: 7.5% (including inflation at 2.5%)
Projected pay increases: Ranges from 8.2% at age 25 to 3.5% at age 64 (including inflation at 2.5%)
82 City of Fort Collins Comprehensive Annual Financial Report
mandatory RHS plan to collective bargaining unit members only. Both the frozen City plan and the current CBU
plan are administered by ICMA-RC.
The RHS plan offers triple tax advantage to employees. Employee contributions are made through pre-tax payroll
deductions, are invested in ICMA-RC funds and grow tax-free, and monies can be withdrawn tax-free for
qualifying expenses. No federal, state or FICA tax will be withheld. Employees cannot change their elections after
their initial enrollment. The CBU RHS plan requires a mandatory 1% contribution to be made by all qualifying
participants. Once the participant becomes eligible to get reimbursed from their own RHS account, they can turn in
receipts to a 3rd party administrator and be reimbursed with tax-free monies. If the employee passes away, the
employee’s spouse and dependents are automatically eligible to use the account and are reimbursed on a tax-free
basis.
City of Fort Collins Comprehensive Annual Financial Report 83
Money Purchase Retirement Health
Plan Savings Plan
ASSETS
Current Assets
Cash and cash equivalents $ - $ -
Receivables
Notes and loans 2,837,516 -
Investments, at fair value
U S Government securities - -
Mutual funds 110,318,844 605,326
Total Investments, at fair value 110,318,844 605,326
Securtiy lending collateral - -
Total Assets 113,156,360 605,326
LIABILITIES
Current Liabilities
Accrued expenses - -
Obligations under security lending - -
Total Liabilities - -
NET ASSETS
Held in trust for pension benefits 113,156,360 605,326
Total Net Assets $ 113,156,360 $ 605,326
Money Purchase Retirement Health
Plan Savings Plan
ADDITIONS
Contributions
Employer contributions $ 4,006,338 $ -
Employee contributions 2,564,612 383,691
Pension conversion & roll-overs 741,329 -
Loan repayments 956,008 -
Other 923,633 -
Total Contributions 9,191,920 383,691
Investment income
Interest related to plan investments 984,903 9,069
Interest related to employee loans 597,924 -
Net change in fair value of investments 6,458,053 10,166
Total Investment Income 8,040,880 19,235
Net Investment Income 8,040,880 19,235
Total Additions $ 17,232,800 $ 402,926
DEDUCTIONS
Benefit payments 8,651,965 20,462
Administration 14,348 1,320
Total Deductions 8,666,313 21,782
Net Increase 8,566,487 381,144
Net Assets Held In Trust for Retirement Benefits
Beginning of year 104,589,873 224,182
End of Year $ 113,156,360 $ 605,326
Statement of Net Assets
Statement of Changes in Net Assets
84 City of Fort Collins Comprehensive Annual Financial Report
Statewide Death and Disability Plan
Plan Description
The City contributes to the Fire & Police Pension Association (the Plan), a multi-employer cost sharing defined
benefit plan covering full-time employees of substantially all fire and police departments in Colorado.
Contributions to the Plan are used solely for the payment of death and disability benefits. The Plan was established
in 1980 pursuant to Colorado Revised Statutes. All uniformed employees are eligible to be members of the Fire &
Police Pension Association.
Funding Policy and City Contributions
Prior to 1997, the State of Colorado, whose contributions were established by Colorado statute, primarily funded
the Plan. The State made a one-time contribution in 1997 of $39,000,000 to fund the past and future service costs
for all firefighters and police officers hired prior to January 1, 1997. No further State contributions are anticipated.
Members hired on or after January 1, 1997, contribute 2.30% of payroll to this fund. During 2007, the City’s
employer and employee contributions were $155,810. This contribution rate increased to 2.6% effective January 1,
2007. It should be noted that this percentage can vary depending on actuarial experience.
Benefits
Benefits are established by Colorado statute.
If a member dies prior to retirement, the surviving spouse is entitled to a benefit equal to 40% of the member’s
monthly base salary with an additional 10% of base salary if a surviving spouse has two or more dependent
children, or if there are three or more dependent children without a surviving spouse. Benefit entitlement continues
until death of the spouse and death, marriage, or other termination of dependency of children.
A member who becomes disabled prior to retirement shall be eligible for disability benefits. The benefit is 70% of
base salary for cases of total disability. Effective October 1, 2002, the benefit is 50% of base salary for a
permanent occupational disability and 40% of base pay for a temporary occupation disability.
Benefits paid to members are evaluated and may be re-determined on October 1 of each year. Any increase in the
level of benefits cannot increase by more than 3% for any one year. Totally disabled members and their
beneficiaries receive an automatic cost of living adjustment each year of 3%.
Separately issued financial statements and the related actuarial valuation may be obtained from the Fire & Police
Pension Association.
C. Commitments/Contingencies
Construction Commitments
The City had commitments of $5,537,254 for capital projects in governmental fund types and $2,231,754 in
proprietary fund types at December 31, 2007. Future expenditures related to these commitments are expected to be
financed through available resources and future revenues.
Encumbrance Commitments for Proprietary Fund Types
The financial statements do not include encumbrances for proprietary fund types. However, encumbrances for
these funds are recorded by the City for management and budgetary control purposes. Outstanding encumbrance
commitments for the enterprise funds at December 31, 2007 (excluding those relating to capital projects) amounted
to $13,649,649.
City of Fort Collins Comprehensive Annual Financial Report 85
Street Oversizing Liability
The City has contractual liabilities for street oversizing costs with various developers. The developers are required
to install certain oversized streets as a condition of subdivision approval. Once the streets are installed and
inspected by the City, a liability is recorded for the difference between a normal sized street and the oversized street
installed.
Because the City has no control over when subdivisions will be developed and the related oversized street
completed, the liability for uncompleted oversizing costs has not been reflected in the financial statements.
D. Legal Matters
Pending Litigation and Grants
Various claims and lawsuits are pending against the City. After consideration of applicable insurance policy
coverage, and the relative merits of each claim or lawsuit, it is the opinion of the City Attorney and City
management that the potential ultimate liability resulting from these actions, if any, will not have a material adverse
financial effect on the City.
Under the terms of federal and state grants, periodic audits are required and certain costs may be questioned as not
being appropriate expenditures under the terms of the grants. Such audits could lead to reimbursement to the
grantor agencies. City management believes disallowances, if any, resulting from any such audits would be
immaterial. There currently are no material disallowed or questioned costs.
Tax, Spending, and Debt Limitations
Article X, Section 20, of the State Constitution has several limitations, including those for revenue, expenditures,
property taxes, and issuance of debt. These provisions of the Constitution are complex and subject to judicial
interpretation. In the opinion of management, the City is in compliance with such provisions. In 1997, the City’s
electorate approved the ongoing retention of excess revenue by the City, requiring the excess revenue be spent for
specified purposes. This alleviated the need by the City to seek annual approval to retain excess revenue and
excess property tax. The City did not exceed the revenue limitation in 2007, and exceeded the property tax limit by
$601,490.
The excess revenue will be used for the purposes of public health and safety (including, but not limited to
environmental monitoring and mitigation), growth management, transportation services, and maintaining and
repairing City facilities.
E. Related Party Transactions
Due to the nature of the relationships, the City has related party transactions with various entities. The following
transactions have occurred during 2007:
Fort Collins-Loveland Airport
Intergovernmental Agreement
The Airport is jointly operated under an Intergovernmental Agreement between the City of Fort Collins, Colorado
and the City of Loveland, Colorado. Pursuant to the agreement, any needed contributions for annual operating
budgets or capital improvements are shared equally by both cities. Also, either City may invest additional funds in
the Airport as it sees fit.
Since July 3, 1979, ownership of assets vests equally with each City. Assets acquired prior to July 3, 1979 vested
one-third with the City of Loveland and two-thirds with the City of Fort Collins.
86 City of Fort Collins Comprehensive Annual Financial Report
The agreement provides that if either City does not pay its one-half of agreed expenses in a given year, it will
convey to the other City ten percent of its total Airport ownership. Each City contributed $60,000 in 2007 and
2006.
Financial Information
The Fort Collins-Loveland Municipal Airport is accounted for as a proprietary joint venture. A summary of
financial information is as follows:
City Share of Net Assets
The City’s annual contribution is reflected as another expenditure of the General Fund. The City’s share of Fort
Collins-Loveland Airport’s Net Assets and Change in Net Assets are reflected in the City’s Statement of Net Assets
and Statement of Activities, respectively.
Stand-Alone Financial Statements
The stand-alone financial statements for the Fort Collins-Loveland Airport can be obtained from the City of
Loveland Finance Department at 500 East Third Street, Loveland, Colorado, 80537.
Poudre Fire Authority
As mentioned in the summary of significant accounting policies, the City provides funding for PFA. During 2007,
such funding amounted to $15,458,040. In addition, the City provided accounting and administrative services to
PFA at no charge.
Platte River Power Authority
The Light and Power Fund purchases all of its electrical power from PRPA. During 2007, these purchases
amounted to $57,116,913 of which $4,769,556 is included in accounts payable at December 31, 2007.
Total current assets $ 1,363,957
Total capital assets (net of accumulated
depreciation) 13,394,043
Total Assets 14,758,000
Total current liabilities (979,325)
Total Net Assets $ 13,778,675
Net assets invested in capital assets $ 13,394,043
Unrestricted net assets 384,632
Total Net Assets $ 13,778,675
Total operating revenue $ 877,530
Total operating expenses (1,225,915)
Interest Income 32,567
Nonoperating revenue 120,000
Capital contributions 3,115,991
Change in Net Assets $ 2,920,173
As of December 31, 2007
As of December 31, 2007
City of Fort Collins Comprehensive Annual Financial Report 87
Harmony Library
The City provides funding for Harmony Library. During 2007, such funding amounted to $711,286.
Fort Collins Housing Authority
The City allows the Fort Collins Housing Authority (FCHA) to participate in its employee benefit plans and bills
the Fort Collins Housing Authority for this coverage. In addition, FCHA also uses the City’s fleet services for
vehicle maintenance. During 2007, billings for benefits and services amounted to $72,758.
North Front Range Transportation and Air Quality Planning Council
The City allows the North Front Range Transportation and Air Quality Planning Council (NFRTAQPC) to
participate in its employee benefit plans and bills NFRTAQPC for this coverage. In addition, NFRTAQPC also
used the City’s fleet services for vehicle maintenance. During 2007, billings for benefits and services amounted to
$598,665.
F. Subsequent Event
Enforcement Event for an Investment of the Collateral Assigned to the City’s Securities Lending Program.
The City authorizes its participation in a securities lending program operated by its custodian, Wells Fargo Bank.
The custodian invests the collateral received from the ongoing investment of the City’s securities into short-term
investments held by a pool with other public entity clients in accordance with the terms set forth by the contract,
City investment policy and the State of Colorado statutes. See Note III, Item A. Deposits and Investments for more
background.
On January 8, 2008, an enforcement action was declared against Victoria Finance, a structured investment vehicle
held by the pool for defaulting on a maturity of a commercial paper investment. The City and four other public
entities participate in this pool. The City’s exposure within the pool to this investment is $5.5 million. A collateral
agent and creditor’s committee has been assigned to approve an amendment to the underlying financial
arrangement for Victoria Finance and complete a restructuring process resulting in a new investment. Market
valuations of the assets related to Victoria Finance that are held in the pool are not readily available. In addition,
full realization of the principle value of these assets is not readily determinable. The restructuring and valuation of
the new investment should be completed by the end of fiscal year 2008.
88 City of Fort Collins Comprehensive Annual Financial Report
REQUIRED SUPPLEMENTARY INFORMATION
MODIFIED APPROACH FOR CITY STREETS INFRASTRUCTURE CAPITAL ASSETS
In accordance with GASB Statement No. 34, the City is required to account for and report infrastructure capital
assets. The City has several major infrastructure systems including the street system and various systems that
distribute utility services. Each major infrastructure system can be divided into subsystems. For example, the
street system can be divided into concrete and asphalt pavements, concrete curb and gutters, sidewalks, medians,
streetlights, traffic control devices (signs, signals and pavement markings), landscaping and land. Subsystem detail
is not presented in these basic financial statements; however, the City maintains detailed information on these
subsystems.
The City has elected to use the "Modified Approach" as defined by GASB Statement No. 34 for infrastructure
reporting for its Streets Pavement System. Under GASB Statement No. 34, eligible infrastructure capital assets are
not required to be depreciated under the following requirements:
The City manages the eligible infrastructure capital assets using an asset management system with
characteristics of (1) an up-to-date inventory; (2) perform condition assessments and summarize the results
using a measurement scale; and (3) estimate annual amount to maintain and preserve at the established
condition assessment level.
The City documents that the eligible infrastructure capital assets are being preserved approximately at or
above the established and disclosed condition assessment level. The City's Pavement Management
Program conducts condition assessment surveys on a three year cycle assuring that all data is updated
within three year period. City owned streets are classified based on land use, access and traffic utilization
into the following three classifications: arterial, collector and local. Each street was assigned a physical
condition based on potential defects. A Pavement Condition Index (PCI), a nationally recognized index,
was assigned to each street and expressed in a continuous scale from 0 to 100, where 0 is assigned to the
least acceptable physical condition and 100 is assigned to the physical characteristics of a new street.
The City of Fort Collins is changing its focus from specifying a targeted average condition value to setting a
specified Level of Service (LOS). Setting a LOS will allow for a range of funding needs to be determined to assess
what funding level best suits the needs of the City in terms of desired LOS and available funding.
LOS is a customer-driven measurement of condition. The City of Fort Collins’ goal is to maintain a LOS of “B”.
LOS B is a high level of service in which pavements are in good condition, few deficiencies are present, the roads
are providing good ride quality, low vehicle operating costs, minor signs of deterioration, and with few safety-
related issues. Preventive and corrective maintenance activities can be used to keep the average network condition
maintained. As of December 2007 the City’s street system is at a PCI of 79 well within the LOS of “B”. The
average detail condition is as follows:
Level of service................................................................. PCI Range..............................Average Condition
LOS A (best)..................................................................... 100 to 85...............................................Best 34%
LOS B (good) ................................................................... 85 to 70............................................. Good 46%
LOS C (fair)...................................................................... 70 to 55................................................Fair 17%
LOS D (poor).................................................................... 55 to 40.................................................Poor 2%
LOS F (worst)................................................................... 40 to 0................................................ Worst 1%
The City's next full 3 year assessment cycle will be completed as of December 31, 2009.
City of Fort Collins Comprehensive Annual Financial Report 89
REQUIRED SUPPLEMENTARY INFORMATION
MODIFIED APPROACH FOR CITY STREETS INFRASTRUCTURE CAPITAL ASSETS (continued)
The City's streets are constantly deteriorating resulting from the following five factors; (1) traffic using the streets;
(2) the sun's ultra-violet rays drying out and breaking down the top layer of pavement; (3) utility company/private
development interests trenching operations; (4) winter freeze/thaw condition and water damage from both natural
and other urban runoff; and (5) growth of the existing street system. The City is continuously taking actions to
arrest the deterioration through short-term maintenance activities such as crack sealing, pothole patching, street
sweeping, and sidewalk repair.
The City's expenditures delayed deterioration; however, the overall conditions of the streets were not improved
through these maintenance expenditures. The City has estimated that the amount of annual expenditures required to
maintain the City's streets at an average PCI rating of 75. A schedule of estimated annual amount calculated to
maintain and preserve its streets at the current level compared to actual expenditures for the street maintenance for
the last three years is presented below.
Year
Maintenance
Estimate
Actual
Expenditure
2007 $ 8,777,961 $ 8,352,132
2006 8,435,993 7,735,993
2005 8,044,290 7,744,290
90 City of Fort Collins Comprehensive Annual Financial Report
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NONMAJOR
GOVeRNMeNTAL FUNDS
City of Fort Collins Comprehensive Annual Financial Report 91
blank
NON-MAJOR GOVERNMENTAL FUNDS
COMBINING AND INDIVIDUAL FUND FINANCIAL STATEMENTS AND SCHEDULES
Special Revenue Funds
Community Development Block Grant (CDBG) -- to account for revenues received from the federal government which are restricted
to financing the City's Community Development Block Grant Program.
Home Program -- to account for revenues received from the federal government restricted to financing the City's Home Program.
Natural Areas -- to account for dedicated financial resources to be used for the acquisition of natural areas and trails. In addition,
some of the fund is used for long-term management of existing natural areas and trails.
Capital Expansion -- to account for capital expansion fees collected by the City and various projects funded by those fees.
Neighborhood Parkland -- to account for parkland fees used to fund the acquisition, development and administration of
neighborhood park and capital improvements.
Conservation Trust Fund -- to account for revenues received from the Colorado State Lottery through the State Conservation Trust
Fund which are restricted to financing capital projects which relate to the acquisition and development of open space and trails.
Cultural Services and Facilities -- to account for revenues received from the Lincoln Center facility, the Fort Collins Museum,
performing and visual arts and General Fund subsidies used to promote cultural activities.
Recreation -- to account for recreation fees and General Fund subsidies used to provide recreational programs for citizens.
Cemeteries -- to account for revenues collected from the sale of burial plots.
Perpetual Care -- to account for monies set aside for the maintenance costs of burial plots.
Transit Services -- to account for federal grants and other revenues utilized to operate and maintain the City's bus system.
Street Oversizing -- to account for street oversizing fees used to pay the City's portion of street oversizing costs.
General Improvement District No. 1 -- to account for property taxes and investment earnings used to fund debt service and other
activities of the General Improvement District No. 1, a blended component unit.
URA operations -- to account for the operations of the Urban Renewal Authority.
Debt Service Funds
Debt Service -- to account for property taxes and transfers from other funds used to pay general obligation bonds, sales and use tax
revenue bonds, and highway users tax revenue bonds.
Special Assessments -- to account for amounts received from special assessments used to pay special assessment bond and general
obligation bonds payable from special assessments.
Fort Collins Leasing Corporation -- to account for rental amounts received from lease payments between the City and the Corporation
on municipal buildings and other structures. Monies used to pay certificates of participation issued by the Corporation.
URA debt Service -- to account for the receipt of public improvement fees and the payments for the associate debt service
92 City of Fort Collins Comprehensive Annual Financial Report
NON-MAJOR GOVERNMENTAL FUNDS
COMBINING BALANCE SHEET
DECEMBER 31, 2007
Special Revenue Funds
Home Natural Capital Neighborhood
CDBG Program Areas Expansion Parkland
ASSETS
Cash and cash equivalents $ - $ 159,823 $ 1,755,617 $ 5,119,595 $ 2,554,377
Investments - - 4,711,765 13,112,373 5,544,455
Cash held by fiscal agent - - 267,457 - -
Receivables
Property taxes - - - - -
Accounts 42,405 6,831 153,950 3,409 1,892
Notes and loans 221,500 1,038,000 - - -
Accrued interest - - 52,420 142,546 61,823
Due from other governments - - - - -
Total Assets 263,905 1,204,654 6,941,209 18,377,923 8,162,547
LIABILITIES AND FUND BALANCES
Liabilities
Accounts payable, accruals, and other 238,474 50 362,065 - 4,093
Accrued wages payable 4,208 1,954 71,608 - 10,009
Deferred revenue - - - - -
Total Liabilities 242,682 2,004 433,673 - 14,102
Fund Balances
Reserved
Encumbrances 280,880 101,174 481,271 - 157,198
Long-term notes receivable 221,479 1,038,000 - - -
Debt service - - - - -
Contractual and other - - 5,000 - -
Unreserved
Designated - - 2,011,237 18,377,923 -
Undesignated (481,136) 63,476 4,010,028 - 7,991,247
Total Fund Balances 21,223 1,202,650 6,507,536 18,377,923 8,148,445
Total Liabilities and Fund Balances $ 263,905 $ 1,204,654 $ 6,941,209 $ 18,377,923 $ 8,162,547
See the accompanying independent auditor's report.
City of Fort Collins Comprehensive Annual Financial Report 93
Special Revenue Funds (continued)
Cultural
Conservation Services & Perpetual
Trust Facilities Recreation Cemeteries Care
$ 559,113 $ 766,621 $ 798,856 $ 119,489 $ 430,241
1,216,173 1,684,452 1,780,073 259,216 957,365
- - - - -
- - - - -
- 54,187 124,225 47,586 9,450
- - - - -
13,634 18,805 19,746 2,821 9,864
- - - - -
1,788,920 2,524,065 2,722,900 429,112 1,406,920
33,873 120,307 154,234 3,172 -
6,788 44,777 144,320 11,543 -
- 660,548 - - -
40,661 825,632 298,554 14,715 -
119,775 61,430 158,309 14,735 -
- - - - -
- - - - -
- 463,249 262,724 - -
163,811 60,644 1,921,906 - -
1,464,673 1,113,110 81,407 399,662 1,406,920
1,748,259 1,698,433 2,424,346 414,397 1,406,920
$ 1,788,920 $ 2,524,065 $ 2,722,900 $ 429,112 $ 1,406,920
94 City of Fort Collins Comprehensive Annual Financial Report
NON-MAJOR GOVERNMENTAL FUNDS
COMBINING BALANCE SHEET (continued)
DECEMBER 31, 2007
Special Revenue Funds (continued)
General Total
Transit Street Improvement URA Special
Services Oversizing District No. 1 Operations Revenues
ASSETS
Cash and cash equivalents $ 193,885 $ 1,938,935 $ 298,138 $ 10,259 $ 14,704,949
Investments 418,708 6,259,584 647,210 31,045 36,622,419
Cash held by fiscal agent - - - - 267,457
Receivables
Property taxes - - 246,280 - 246,280
Accounts 1,917,792 2,542 - - 2,364,269
Notes and loans - - - - 1,259,500
Accrued interest 4,701 71,845 7,287 235 405,727
Due from other governments - - 1,877 - 1,877
Total Assets 2,535,086 8,272,906 1,200,792 41,539 55,872,478
LIABILITIES AND FUND BALANCES
Liabilities
Accounts payable, accruals, and other 356,606 392,074 384 - 1,665,332
Accrued wages payable 143,938 12,967 - - 452,112
Unearned revenue - - 246,280 - 906,828
Total Liabilities 500,544 405,041 246,664 - 3,024,272
Fund Balances
Reserved
Encumbrances 1,481,021 35,676 - - 2,891,469
Long-term notes receivable - - - - 1,259,479
Debt service - - - - -
Contractual and other - - - - 730,973
Unreserved
Designated 30,088 5,633,305 - - 28,198,914
Undesignated 523,433 2,198,884 954,128 41,539 19,767,371
Total Fund Balances 2,034,542 7,867,865 954,128 41,539 52,848,206
Total Liabilities and Fund Balances $ 2,535,086 $ 8,272,906 $ 1,200,792 $ 41,539 $ 55,872,478
See the accompanying independent auditor's report.
City of Fort Collins Comprehensive Annual Financial Report 95
Debt Service Funds
Fort Collins Total Total
Debt Special Leasing URA Debt Debt Non-major
Service Assessments Corporation Service Service Governmental
$ - $ 255,762 $ - $ 75,316 $ 331,078 $ 15,036,027
- 555,063 - - 555,063 37,177,482
- - - - - 267,457
- - - 292,773 292,773 539,053
- - - - - 2,364,269
- - - - - 1,259,500
- 6,112 - - 6,112 411,839
- - - - - 1,877
- 816,937 - 368,089 1,185,026 57,057,504
- - - - - 1,665,332
- - - - - 452,112
- - - 292,773 292,773 1,199,601
- - - 292,773 292,773 3,317,045
- - - - - 2,891,469
- - - - - 1,259,479
- 816,937 - 75,316 892,253 892,253
- - - - - 730,973
- - - - - 28,198,914
- - - - - 19,767,371
- 816,937 - 75,316 892,253 53,740,459
$ - $ 816,937 $ - $ 368,089 $ 1,185,026 $ 57,057,504
96 City of Fort Collins Comprehensive Annual Financial Report
NON-MAJOR GOVERNMENTAL FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
FOR THE YEAR ENDED DECEMBER 31, 2007
Special Revenue Funds
Home Natural Capital
CDBG Program Areas Expansion
REVENUES
Taxes $ - $ - $ - $ -
Intergovernmental 1,008,055 897,918 3,968,410 -
Fees and charges for services - - 27,877 2,540,278
Earnings on investments 1,224 13,887 536,338 1,156,386
Interest on security lending income - - 362,127 675,328
Miscellaneous revenue 69,772 83,382 411,296 -
Total Revenues 1,079,051 995,187 5,306,048 4,371,992
EXPENDITURES
Current operating
Cultural, parks, recreation and environment - - 5,732,211 -
Planning and Development 1,076,004 1,092,057 - -
Transportation - - - -
Other - - - -
Security lending interest expense - - 351,323 654,831
Security lending agent fees - - 3,241 6,148
Capital outlay - - 6,621,205 28,520
Debt service
Principal - - - -
Interest - - - -
Total Expenditures 1,076,004 1,092,057 12,707,980 689,499
Excess (Deficiency) of Revenues
Over (Under) Expenditures 3,047 (96,870) (7,401,932) 3,682,493
OTHER FINANCING SOURCES (USES)
Transfers in - - 6,591,964 -
Transfers out - - (2,409,189) (5,412,037)
Certificates of Participation
COPS issued - - - -
Payments to refunded bond escrow agent - - - -
Total Other Financing Sources (Uses) - - 4,182,775 (5,412,037)
Net Changes in Fund Balances 3,047 (96,870) (3,219,157) (1,729,544)
Fund Balances-January 1 18,176 1,299,520 9,726,693 20,107,467
Fund Balances-December 31 $223 21,$ 1,202,650 $ 6,507,536 $923 18,377,
See the accompanying independent auditor's report.
City of Fort Collins Comprehensive Annual Financial Report 97
Special Revenue Funds (continued)
Cultural
Neighborhood Conservation Services & Perpetual
Parkland Trust Facilities Recreation Cemeteries Care
$ - $ - $ - $ - $ - $ -
- 1,401,363 45,476 73,718 - -
1,013,160 - 1,926,685 4,525,914 373,105 51,857
480,362 107,560 136,302 148,483 85,351 80,782
265,183 79,689 103,445 111,886 - 3,698
60,045 904 227,355 125,302 15,633 -
1,818,750 1,589,516 2,439,263 4,985,303 474,089 136,337
376,850 243,911 3,533,648 6,802,591 590,232 612
- - - - - -
- - - - - -
- - - - - -
256,443 77,121 100,290 108,573 61,700 3,458
2,622 770 946 994 571 72
832,444 227,333 428,754 184,191 - -
- - - - - -
- - - - - -
1,468,359 549,135 4,063,638 7,096,349 652,503 4,142
350,391 1,040,381 (1,624,375) (2,111,046) (178,414) 132,195
115,545 - 1,477,838 2,408,305 252,833 -
(178,950) (654,685) - - - (65,507)
- - - - - -
- - - - - -
(63,405) (654,685) 1,477,838 2,408,305 252,833 (65,507)
286,986 385,696 (146,537) 297,259 74,419 66,688
7,861,459 1,362,563 1,844,970 2,127,087 339,978 1,340,232
$ 8,148,445 $ 1,748,259 $ 1,698,433 $ 2,424,346 $ 414,397 $ 1,406,920
98 City of Fort Collins Comprehensive Annual Financial Report
NON-MAJOR GOVERNMENTAL FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
FOR THE YEAR ENDED DECEMBER 31, 2007
Special Revenue Funds (continued)
General
Transit Street Improvement URA
Services Oversizing District No. 1 Operations
REVENUES
Taxes $ - $ - $ 228,480 $ -
Intergovernmental 2,724,578 - - -
Fees and charges for services 867,865 5,835,847 - -
Earnings on investments 49,922 346,379 52,529 2,322
Securities lending income 42,676 126,140 38,149 -
Miscellaneous revenue 278,874 677,916 - -
Total Revenues 3,963,915 6,986,282 319,158 2,322
EXPENDITURES
Current operating
Cultural, parks, recreation and environment - - - -
Planning and Development - - - -
Transportation 8,097,561 780,069 - -
Other - - 13,008 -
Security lending interest expense 41,695 121,690 36,968 -
Security lending agent fees 294 1,335 354 -
Capital outlay 358,972 919,515 - -
Debt service
Principal - - - -
Interest - - - -
Total Expenditures 8,498,522 1,822,609 50,330 -
Excess (Deficiency) of Revenues
Over (Under) Expenditures (4,534,607) 5,163,673 268,828 2,322
OTHER FINANCING SOURCES (USES)
Transfers in 4,995,025 1,813,050 - -
Transfers out (53,964) (3,312,418) (31,605) -
Certificates of Participation
COPS issued - - - -
Payments to refunded bond escrow agent - - - -
Total Other Financing Sources (Uses) 4,941,061 (1,499,368) (31,605) -
Net Changes in Fund Balances 406,454 3,664,305 237,223 2,322
Fund Balances-January 1 1,628,088 4,203,560 716,905 39,217
Fund Balances-December 31 $ 2,034,542 $ 7,867,865 $ 954,128 $ 41,539
See the accompanying independent auditor's report.
City of Fort Collins Comprehensive Annual Financial Report 99
Debt Service Funds
Total Fort Collins Total Total
Special Debt Special Leasing URA Debt Debt Non-major
Revenues Service Assessments Corporation Service Service Governmental
$ 228,480 $ - $ - $ - $ 110,230 $ 110,230 $ 338,710
10,119,518 - - 117,419 - 117,419 10,236,937
17,162,588 - - - - - 17,162,588
3,197,827 - 43,772 3,217 3,406 50,395 3,248,222
1,808,321 - - - - - 1,808,321
1,950,479 - - 69,586 - 69,586 2,020,065
34,467,213 - 43,772 190,222 113,636 347,630 34,814,843
17,280,055 - - - - - 17,280,055
2,168,061 - - - - - 2,168,061
8,877,630 - - - - - 8,877,630
13,008 - - 347,177 - 347,177 360,185
1,814,092 - - - - - 1,814,092
17,347 - - - - - 17,347
9,600,934 - - - - - 9,600,934
- 1,057,866 - 1,899,930 30,000 2,987,796 2,987,796
- 290,214 - 2,829,490 8,320 3,128,024 3,128,024
39,771,127 1,348,080 - 5,076,597 38,320 6,462,997 46,234,124
(5,303,914) (1,348,080) 43,772 (4,886,375) 75,316 (6,115,367) (11,419,281)
17,654,560 1,348,080 - 4,866,375 - 6,214,455 23,869,015
(12,118,355) - - - - - (12,118,355)
- - - 12,880,000 - 12,880,000 12,880,000
- - - (12,860,000) - (12,860,000) (12,860,000)
5,536,205 1,348,080 - 4,886,375 - 6,234,455 11,770,660
232,291 - 43,772 - 75,316 119,088 351,379
52,615,915 - 773,165 - - 773,165 53,389,080
$ 52,848,206 $ - $ 816,937 $ - $ 75,316 $ 892,253 $ 53,740,459
100 City of Fort Collins Comprehensive Annual Financial Report
COMMUNITY DEVELOPMENT BLOCK GRANT FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET (NON-GAAP BUDGETARY BASIS)
FOR THE YEAR ENDED DECEMBER 31, 2007
Current Prior Variance-
Year Year Cummulative Positive
Actual Actual Actual Budget (Negative)
REVENUES
Intergovernmental $055 1,008,$ 1,711,167 $ 2,719,222 $ 4,180,592 $ (1,461,370)
Earnings on investments 1,224 - 1,224 82,596 (81,372)
Miscellaneous revenue 69,772 - 69,772 322,776 (253,004)
Total Revenues 1,079,051 1,711,167 2,790,218 4,585,964 (1,795,746)
EXPENDITURES
2004-05 Grant 43,634 555,051 598,685 598,685 -
2005-06 Grant 438,967 500,843 939,810 946,543 6,733
2006-07 Grant 548,132 168,618 716,750 735,979 19,229
2007-08 Grant 45,271 - 45,271 1,438,670 1,393,399
Total Expenditures 1,076,004 1,224,512 2,300,516 3,719,877 1,419,361
Net Changes in Fund Balances 3,047 $ 486,655 489,702 $ 866,087 $ (376,385)
Fund Balances -- January 1 18,176 18,176
Less Prior Years' Project Revenues (1,711,167)
Plus Prior Years' Project Expenditures 1,224,512
Fund Balances--December 31 $223 21,$ 21,223
See the accompanying independent auditor's report.
City of Fort Collins Comprehensive Annual Financial Report 101
HOME PROGRAM FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET (NON-GAAP BUDGETARY BASIS)
FOR THE YEAR ENDED DECEMBER 31, 2007
Current Prior Variance-
Year Year Cummulative Positive
Actual Actual Actual Budget (Negative)
REVENUES
Intergovernmental $ 897,918 $ 469,347 $ 1,367,265 $ 2,745,099 $ (1,377,834)
Earnings on investments 13,887 - 13,887 - 13,887
Miscellaneous revenue 83,382 93,235 176,617 335,000 (158,383)
Total Revenues 995,187 562,582 1,557,769 3,080,099 (1,522,330)
EXPENDITURES
2003 Grant 15,000 561,742 576,742 580,926 4,184
2004 Grant 597,183 395,691 992,874 1,388,060 395,186
2005 Grant 465,564 13,844 479,408 876,140 396,732
2006 Grant 14,310 - 14,310 506,144 491,834
Total Expenditures 1,092,057 971,277 2,063,334 3,351,270 1,287,936
Net Changes in Fund Balances (96,870) $ (408,695) (505,565) $ (271,171) $ (234,394)
Fund Balances--January 1 1,299,520 1,299,520
Less Prior Years' Grant Revenues (562,582)
Plus Prior Years' Grant Expenditures 971,277
Fund Balances--December 31 $ 1,202,650 $ 1,202,650
See the accompanying independent auditor's report.
102 City of Fort Collins Comprehensive Annual Financial Report
NATURAL AREAS FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET
FOR THE YEAR ENDED DECEMBER 31, 2007
Variance-
Positive
Actual Budget (Negative)
REVENUES
Intergovernmental $ 3,968,410 $ 4,433,760 $ (465,350)
Fees and charges for services 27,877 - 27,877
Earnings on investments 536,338 500,000 36,338
Interest on security lending income 362,127 - 362,127
Miscellaneous revenue 411,296 420,000 (8,704)
Total Revenues 5,306,048 5,353,760 (47,712)
EXPENDITURES
Program Management 729,725 804,491 74,766
Land Management 323,080 557,311 234,231
Education 257,357 374,518 117,161
Enforcement 517,804 526,173 8,369
Facility Operations 576,515 1,133,192 556,677
Public Improvements 2,073,804 2,827,462 753,658
Resource Management 1,636,446 2,442,799 806,353
Land Conservation 4,410,632 5,043,973 633,341
COPS Land Conservation 1,828,053 2,638,295 810,242
Security lending interest expense 351,323 - (351,323)
Security lending agent fees 3,241 - (3,241)
Total Expenditures 12,707,980 16,348,214 3,640,234
Deficiency of Revenues
Under Expenditures (7,401,932) (10,994,454) 3,592,522
OTHER FINANCING SOURCES (USES)
Transfers in
Sales and Use Tax 5,767,199 5,782,520 (15,321)
General Fund 18,500 18,500 -
Capital Projects 806,265 806,265 -
Transfers out
Debt Services - COPS (1,393,106) (1,393,107) 1
Capital Projects (1,005,583) (3,016,820) 2,011,237
Cultural Services (10,500) (10,500) -
Total Other Financing Sources (Uses) 4,182,775 2,186,858 1,995,917
Net Changes in Fund Balances (3,219,157) $ (8,807,596) $ 5,588,439
Fund Balances--January 1 9,726,693
Fund Balances--December 31 $ 6,507,536
See the accompanying independent auditor's report.
City of Fort Collins Comprehensive Annual Financial Report 103
CAPITAL EXPANSION FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET (NON-GAAP BUDGETARY BASIS)
FOR THE YEAR ENDED DECEMBER 31, 2007
Current Prior Variance-
Year Year Cumulative Positive
Actual Actual Actual Budget (Negative)
REVENUES
Fees and charges for services $ 2,540,278 $ 30,959,879 $ 33,500,157 $ 32,191,474 $ 1,308,683
Earnings on investments 1,156,386 5,400,579 6,556,965 6,089,536 467,429
Interest on security lending income 675,328 7,616 682,944 - 682,944
Miscellaneous revenue - 169,260 169,260 - 169,260
Total Revenues 4,371,992 36,537,334 40,909,326 38,281,010 2,628,316
EXPENDITURES
Capital Expansion - General - - - 396 396
Community Parkland Capital 10,656 48,374 59,030 296 (58,734)
Library Capital Expansion 17,864 210,724 228,588 250,000 21,412
General Government Capital - 427 427 - (427)
Police Capital Expansion - 246 246 - (246)
Fire Capital Expansion - 3,337,871 3,337,871 3,337,519 (352)
Security lending interest expense 654,831 - 654,831 - (654,831)
Security lending agent fees 6,148 - 6,148 - (6,148)
Total Expenditures 689,499 3,597,642 4,287,141 3,588,211 (698,930)
Excess of Revenues Over
Expenditures 3,682,493 32,939,692 36,622,185 34,692,799 1,929,386
OTHER FINANCING USES
Transfers out
General Fund (60,430) (1,212,718) (1,273,148) (2,330,519) 1,057,371
Capital Projects Fund (5,008,266) (12,336,190) (17,344,456) (22,468,066) 5,123,610
Cultural Services Fund (10,000) - (10,000) (10,000) -
Debt Service - COPS (333,341) (401,489) (734,830) (734,830) -
Total Other Financing Uses (5,412,037) (13,950,397) (19,362,434) (25,543,415) 6,180,981
Net Changes in Fund Balance (1,729,544) $ 18,989,295 17,259,751 $ 9,149,384 $ 8,110,367
Fund Balances--January 1 20,107,467 20,107,467
Less Prior Years' Project Revenues (36,537,334)
Plus Prior Years' Project Expenditures 17,548,039
Fund Balances--December 31 $ 18,377,923 $ 18,377,923
See the accompanying independent auditor's report.
104 City of Fort Collins Comprehensive Annual Financial Report
NEIGHBORHOOD PARKLAND FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET (NON-GAAP BUDGETARY BASIS)
FOR THE YEAR ENDED DECEMBER 31, 2007
Prior Variance-
Year Cumulative Positive
Actual Actual Actual Budget (Negative)
REVENUES
Intergovernmental $ - $ 508,224 $ 508,224 $ 257,203 $ 251,021
Fees and charges for services 1,013,160 13,989,818 15,002,978 12,739,556 2,263,422
Earnings on investments 480,362 1,101,067 1,581,429 1,279,281 302,148
Interest on security lending income 265,183 3,484 268,667 - 268,667
Miscellaneous revenue 60,045 453,015 513,060 513,072 (12)
Total Revenues 1,818,750 16,055,608 17,874,358 14,789,112 3,085,246
EXPENDITURES
New Site Acquisition 5,286 1,951,540 1,956,826 2,138,423 181,597
New Park Site Development 133,887 1,106,584 1,240,471 1,186,880 (53,591)
Trailhead Park - 200,516 200,516 330,000 129,484
Stewart Case Park 241,608 1,028,712 1,270,320 1,284,957 14,637
Cottonwood Glen Park 6,599 819,459 826,058 935,316 109,258
Lee Martinez Park Addition 89 149,197 149,286 439,462 290,176
Huidekoper Park - 137,640 137,640 372,000 234,360
Lilac Park - 112,105 112,105 177,000 64,895
Iron Horse - 21,200 21,200 899,000 877,800
Registry Rigde Park 34,962 - 34,962 445,700 410,738
Provincetowne Park 3,258 8,990 12,248 1,108,567 1,096,319
Dry Creek - - - 150,000 150,000
Richards Lake - 138,027 138,027 644,506 506,479
Staley Neighborhood Park 16,117 211,535 227,652 375,000 147,348
Avery Park Improvements - 39 39 200,000 199,961
Maple Hill Park 204,817 256,381 461,198 525,000 63,802
Rossborough Park Improvements - 3,932 3,932 175,000 171,068
Oak Street Plaza Park 46,449 1,260,156 1,306,605 1,320,000 13,395
Golden Meadows Park 94,915 12,711 107,626 175,000 67,374
Old Ft Coll Heritage Park 37,347 1,307 38,654 391,050 352,396
Parkland Administration 376,963 - 376,963 370,576 (6,387)
Park Equipment Replacement 6,997 - 6,997 15,000 8,003
Security lending interest expense 256,443 - 256,443 - (256,443)
Security lending agent fees 2,622 - 2,622 - (2,622)
Total Expenditures 1,468,359 7,420,031 8,888,390 13,658,437 4,770,047
Excess of Revenues Over
Expenditures 350,391 8,635,577 8,985,968 1,130,675 7,855,293
OTHER FINANCING SOURCES (USES)
Transfers in
General Fund - 82,162 82,162 82,162 -
COPS Debt Service - 121,165 121,165 121,165 -
GID #1 - 312,575 312,575 312,575 -
Capital Projects Fund 5,545 - 5,545 5,545 -
Sales & Use Tax Fund 110,000 - 110,000 110,000 -
Transfers out
Cultural Services and Facilities Fund (3,950) (56,300) (60,250) (60,250) -
Capital Projects Fund (175,000) (313,220) (488,220) (488,220) -
Total Other Financing Sources (Uses) (63,405) 146,382 82,977 82,977 -
Net Changes in Fund Balances 286,986 $ 8,781,959 9,068,945 $ 1,213,652 $ 7,855,293
Fund Balances--January 1 7,861,459 7,861,459
Less Prior Years' Project Revenues (16,571,510)
Plus Prior Years' Project Expenditures 7,789,551
Fund Balances--December 31 $ 8,148,445 $ 8,148,445
See the accompanying independent auditor's report.
City of Fort Collins Comprehensive Annual Financial Report 105
CONSERVATION TRUST FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET (NON-GAAP BUDGETARY BASIS)
FOR THE YEAR ENDED DECEMBER 31, 2007
Prior Variance-
Year Cumulative Positive
Actual Actual Actual Budget (Negative)
REVENUES
Intergovernmental $ 1,401,363 $947 15,729,$ 17,131,310 $ 16,103,601 $ 1,027,709
Earnings on investments 107,560 221,737 329,297 514,212 (184,915)
Interest on security lending income 79,689 1,261 80,950 - 80,950
Miscellaneous revenue 904 312,995 313,899 262,225 51,674
Total Revenues 1,589,516 16,265,940 17,855,456 16,880,038 975,418
EXPENDITURES
Open space acquisition 31,581 1,061,436 1,093,017 1,112,403 19,386
Trail acquisition/development 95,850 6,491,703 6,587,553 7,291,820 704,267
Open space and trail maintenance - 853,768 853,768 854,475 707
Fossil Creek Trail 95,232 3,376,048 3,471,280 3,556,350 85,070
Tri-City trails - 655,976 655,976 693,200 37,224
Pickle Plant 4,670 9,605 14,275 - (14,275)
Administration 243,911 - 243,911 290,612 46,701
Security lending interest expense 77,121 - 77,121 - (77,121)
Security lending agent fees 770 - 770 - (770)
Total Expenditures 549,135 12,448,536 12,997,671 13,798,860 801,189
Excess of Revenues Over
Expenditures 1,040,381 3,817,404 4,857,785 3,081,178 174,229
OTHER FINANCING SOURCES (USES)
Transfers in
Capital Projects Fund - 235,000 235,000 235,000 -
Transfers out
General Fund (646,685) (379,195) (1,025,880) (1,025,880) -
Capital Projects Fund - (853,807) (853,807) (1,017,618) 163,811
Cultural Services Fund (8,000) (74,050) (82,050) (82,050) -
Total Other Financing
Sources and Uses (654,685) (1,072,052) (1,726,737) (1,890,548) 163,811
Net Changes in Fund Balances 385,696 $352 2,745,3,131,048 $ 1,190,630 $ 338,040
Fund Balances--January 1 1,362,563 1,362,563
Less Prior Years' Project Revenues (16,500,940)
Plus Prior Years' Project Expenditures 13,755,588
Fund Balances--December 31 $ 1,748,259 $ 1,748,259
See the accompanying independent auditor's report.
106 City of Fort Collins Comprehensive Annual Financial Report
CULTURAL SERVICES AND FACILITIES FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET
FOR THE YEAR ENDED DECEMBER 31, 2007
Variance-
Positive
Actual Budget (Negative)
REVENUES
Intergovernmental $ 45,476 $ 325,262 $ (279,786)
Fees and charges for services 1,926,685 1,769,515 157,170
Earnings on investments 136,302 99,670 36,632
Interest on security lending income 103,445 - 103,445
Miscellaneous revenue 227,355 383,607 (156,252)
Total Revenues 2,439,263 2,578,054 (138,791)
EXPENDITURES
Administration 724,934 760,315 35,381
Lincoln Center 822,453 957,192 134,739
Security lending interest expense 100,290 - (100,290)
Security lending agent fees 946 - (946)
Museum 645,962 975,454 329,492
Art in Public Places 404,771 940,909 536,138
Performing and visual arts 1,364,282 1,698,466 334,184
Total Expenditures 4,063,638 5,332,335 1,268,697
Excess (Deficiency) of Revenues
Over (Under) Expenditures (1,624,375) (2,754,281) 1,129,906
OTHER FINANCING SOURCES
Transfers in
General Fund 1,342,138 1,342,138 -
Capital Projects Fund 103,250 103,250 -
Capital Expansion 10,000 10,000 -
Neighborhood Parkland Fund 3,950 3,950 -
Conservation Trust Fund 8,000 8,000 -
Natural Areas Fund 10,500 10,500 -
Total Other Financing Sources 1,477,838 1,477,838 -
Net Changes in Fund Balances (146,537) $ (1,276,443) $ 1,129,906
Fund Balances--January 1 1,844,970
Fund Balances--December 31 $ 1,698,433
See the accompanying independent auditor's report.
City of Fort Collins Comprehensive Annual Financial Report 107
RECREATION FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET
FOR THE YEAR ENDED DECEMBER 31, 2007
Variance-
Positive
Actual Budget (Negative)
REVENUES
Intergovernmental $ 73,718 $ 211,960 $ (138,242)
Fees and charges for services 4,525,914 4,411,003 114,911
Earnings on investments 148,483 95,000 53,483
Interest on security lending income 111,886 - 111,886
Miscellaneous revenue 125,302 124,000 1,302
Total Revenues 4,985,303 4,841,963 143,340
EXPENDITURES
Recreation administration 3,440,269 4,196,758 756,489
Ice/aquatics programming 1,567,876 1,741,674 173,798
Adult programming 579,363 594,874 15,511
Youth programming 769,222 849,869 80,647
Sports programming 353,958 375,870 21,912
Special reserves 205,575 291,562 85,987
Security lending interest expense 108,573 - (108,573)
Security lending agent fees 994 - (994)
Grants/miscellaneous 70,519 215,475 144,956
Total Expenditures 7,096,349 8,266,082 1,169,733
Excess (Deficiency) of Revenues
Over (Under) Expenditures (2,111,046) (3,424,119) 1,313,073
OTHER FINANCING SOURCES
Transfers in
General Fund 2,408,305 2,408,305 -
Total Other Financing Sources 2,408,305 2,408,305 -
Net Changes in Fund Balances 297,259 $ (1,015,814) $ 1,313,073
Fund Balances--January 1 2,127,087
Fund Balances--December 31 $ 2,424,346
See the accompanying independent auditor's report.
108 City of Fort Collins Comprehensive Annual Financial Report
CEMETERIES FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET
FOR THE YEAR ENDED DECEMBER 31, 2007
Variance-
Positive
Actual Budget (Negative)
REVENUES
Fees and charges for services $ 373,105 $ 350,446 $ 22,659
Earnings on investments 85,351 9,000 76,351
Miscellaneous revenue 15,633 12,000 3,633
Total Revenues 474,089 371,446 102,643
EXPENDITURES
Cemetery services 590,232 632,399 42,167
Security lending interest expense 61,700 - (61,700)
Security lending agent fees 571 - (571)
652,503 632,399 (20,104)
Excess (Deficiency) of Revenues
Over (Under) Expenditures (178,414) (260,953) 82,539
OTHER FINANCING SOURCES
Transfers In:
General Fund 187,326 187,326 -
Perpetual Care Fund 65,507 73,000 (7,493)
Total Other Financing Sources 252,833 260,326 (7,493)
Net Changes in Fund Balances 74,419 $ (627) $ 75,046
Fund Balances--January 1 339,978
Fund Balances--December 31 $ 414,397
See the accompanying independent auditor's report.
City of Fort Collins Comprehensive Annual Financial Report 109
PERPETUAL CARE FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET
FOR THE YEAR ENDED DECEMBER 31, 2007
Variance-
Positive
Actual Budget (Negative)
REVENUES
Fees and charges for services $ 51,857 $ 51,000 $ 857
Earnings on investments 80,782 73,000 7,782
Interest on security lending income 3,698 - 3,698
Total Revenues 136,337 124,000 12,337
EXPENDITURES
Other 612 612 -
Security lending interest expense 3,458 - (3,458)
Security lending agent fees 72 - (72)
4,142 612 (3,530)
Excess of Revenues
Over Expenditures 132,195 123,388 8,807
OTHER FINANCING USES
Transfers out:
Cemeteries Fund (65,507) (73,000) 7,493
Net Changes in Fund Balances 66,688 $ 50,388 $ 16,300
Fund Balances--January 1 1,340,232
Fund Balances--December 31 $ 1,406,920
See the accompanying independent auditor's report.
110 City of Fort Collins Comprehensive Annual Financial Report
TRANSIT SERVICES FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET (NON-GAAP BUDGETARY BASIS)
FOR THE YEAR ENDED DECEMBER 31, 2007
Current Prior Variance-
Year Year Cumulative Positive
Actual Actual Actual Budget (Negative)
REVENUES
Intergovernmental $ 2,724,578 $ 9,575,984 $ 12,300,562 $ 14,784,304 $ (2,483,742)
Fees and charges for services 867,865 2,252,663 3,120,528 3,184,175 (63,647)
Earnings on investments 50,609 83,843 134,452 79,930 54,522
Miscellaneous revenue 278,874 617,207 896,081 933,034 (36,953)
Total Revenues 3,921,926 12,529,697 16,451,623 18,981,443 (2,529,820)
EXPENDITURES
FTA Grants
2005 Operating 996 539,354 540,350 - (540,350)
2006 Operating 308,051 6,838,770 7,146,821 7,634,007 487,186
2007 Operating 7,695,727 - 7,695,727 8,631,838 936,111
2006 CMAQ Projects 4,106 303,085 307,191 511,518 204,327
2007 CMAQ Projects 190,825 - 190,825 339,066 148,241
2006 Capital 248,575 214,425 463,000 2,020,166 1,557,166
2007 Capital 8,252 - 8,252 1,125,000 1,116,748
Total Expenditures 8,456,532 7,895,634 16,352,166 20,261,595 3,909,429
Excess (Deficiency) of Revenues Over
(Under) Expenditures (4,534,606) 4,634,063 99,457 (1,280,152) 1,379,609
OTHER FINANCING SOURCES (USES)
Transfers in
General Fund 4,839,774 7,490,552 12,330,326 14,050,009 (1,719,683)
S&U Tax - BOB 155,250 150,000 305,250 305,250 -
Transfers out
Capital Projects Fund (53,964) (7,788,647) (7,842,611) (8,695,118) 852,507
Total Other Financing
Sources and Uses 4,941,060 (148,095) 4,792,965 5,660,141 (867,176)
Net Changes in Fund Balances 406,454 $ 4,485,968 4,892,422 $ 4,379,989 $ 512,433
Fund Balances--January 1 1,628,088 1,628,088
Less Prior Years' Grant Revenues (20,170,249)
Plus Prior Years' Grant Expenditures 15,684,281
Fund Balances--December 31 $ 2,034,542 $ 2,034,542
See the accompanying independent auditor's report.
City of Fort Collins Comprehensive Annual Financial Report 111
STREET OVERSIZING FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET
FOR THE YEAR ENDED DECEMBER 31, 2007
Variance-
Positive
Actual Budget (Negative)
REVENUES
Fees and charges for services $ 5,835,847 $ 5,682,205 $ 153,642
Earnings on investments 346,379 340,444 5,935
Interest on security lending income 126,140 - 126,140
Miscellaneous revenue 677,916 650,000 27,916
Total Revenues 6,986,282 6,672,649 313,633
EXPENDITURES
Oversizing costs 1,699,584 6,574,465 4,874,881
Security lending interest expense 121,690 - (121,690)
Security lending agent fees 1,335 - (1,335)
Total Expenditures 1,822,609 6,574,465 4,751,856
Excess (Deficiency) of Revenues Over (Under)
Expenditures 5,163,673 98,184 (4,438,223)
OTHER FINANCING SOURCES (USES)
Transfers in
General Fund 1,813,050 1,813,050 -
Transfers out
Capital Projects Fund (3,312,418) (8,945,723) 5,633,305
Total Other Financing Sources and Uses (1,499,368) (7,132,673) 5,633,305
Net Changes in Fund Balances 3,664,305 $ (7,034,489) $ 1,195,082
Fund Balances--January 1 4,203,560
Fund Balances--December 31 $ 7,867,865
See the accompanying independent auditor's report.
112 City of Fort Collins Comprehensive Annual Financial Report
GENERAL IMPROVEMENT DISTRICT NO. 1 FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET
FOR THE YEAR ENDED DECEMBER 31, 2007
Variance-
Positive
Actual Budget (Negative)
REVENUES
Taxes $ 228,480 $ 227,883 $ 597
Earnings on investments 52,529 12,117 40,412
Interest on security lending income 38,149 - 38,149
Total Revenues 319,158 240,000 79,158
EXPENDITURES
Other 13,008 98,160 85,152
Security lending interest expense 36,968 - (36,968)
Security lending agent fees 354 - (354)
Total Expenditures 50,330 98,160 47,830
Excess of Revenues Over
Expenditures 268,828 141,840 126,988
OTHER FINANCING USES
Transfers out
Debt Service Fund - COPS (31,605) (141,840) 110,235
Total Other Financing Uses (31,605) (141,840) 110,235
Net Changes in Fund Balances 237,223 $ - $ 237,223
Fund Balances--January 1 716,905
Fund Balances--December 31 $ 954,128
See the accompanying independent auditor's report.
City of Fort Collins Comprehensive Annual Financial Report 113
URBAN RENEWAL AUTHORITY
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET
FOR THE YEAR ENDED DECEMBER 31, 2007
Variance-
Positive
Actual Budget (Negative)
REVENUES
Earnings on investments $ 2,322 $ - $ 2,322
Total Revenues 2,322 - 2,322
EXPENDITURES
Other - 303,500 303,500
Excess (Deficiency) of Revenues Over
(Under) Expenditures 2,322 (303,500) 305,822
Net Changes in Fund Balances 2,322 $ (303,500) $ 305,822
Fund Balances--January 1 39,217
Fund Balances--December 31 $ 41,539
See the accompanying independent auditor's report.
114 City of Fort Collins Comprehensive Annual Financial Report
DEBT SERVICE FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET
FOR THE YEAR ENDED DECEMBER 31, 2007
Variance-
Positive
Actual Budget (Negative)
EXPENDITURES
Principal $ 1,057,866 $ 1,057,867 $ (1)
Interest 290,214 290,214 -
Total Expenditures 1,348,080 1,348,081 (1)
OTHER FINANCING SOURCES
Transfers in
Sales and Use Tax Fund 994,438 994,438 -
Transportation Services Fund 353,642 353,643 1
Total Other Financing Sources 1,348,080 1,348,081 1
Net Changes in Fund Balances - $ - $ -
Fund Balances--January 1 -
Fund Balances--December 31 $ -
See the accompanying independent auditor's report.
City of Fort Collins Comprehensive Annual Financial Report 115
SPECIAL ASSESSMENTS FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET
FOR THE YEAR ENDED DECEMBER 31, 2007
Variance-
Positive
Actual Budget (Negative)
REVENUES
Earnings on investments $ 43,772 $ - $ 43,772
Total Revenues 43,772 $ - $ 43,772
Fund Balances--January 1 773,165
Fund Balances--December 31 $ 816,937
See the accompanying independent auditor's report.
116 City of Fort Collins Comprehensive Annual Financial Report
FORT COLLINS LEASING CORPORATION FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET
FOR THE YEAR ENDED DECEMBER 31, 2007
Variance-
Positive
Actual Budget (Negative)
REVENUES
Earnings on investments $ 3,217 $ - $217 3,
Intergovernmental revenue 117,419 281,824 (164,405)
Miscellaneous revenue 69,586 69,586 -
Total Revenues 190,222 351,410 (161,188)
EXPENDITURES
Principal 1,899,930 2,809,930 910,000
Interest 2,829,490 3,051,232 221,742
Other contractual costs 347,177 134,628 (212,549)
Total Expenditures 5,076,597 5,995,790 919,193
Excess (Deficiency) of Revenues
Over (Under) Expenditures (4,886,375) (5,644,380) 758,005
OTHER FINANCING SOURCES
Proceeds- Refunding Bonds 12,880,000 13,434,187 (554,187)
Payments to Escrow Agent (12,860,000) (13,169,331) 309,331
Transfers in:
General Fund 2,298,710 2,701,623 (402,913)
Capital Projects Fund 676,782 676,782 -
Capital Expansion Fund 333,341 333,341 -
Natural Areas Fund 1,393,106 1,393,107 (1)
General Improvement District #1 Fund 31,605 141,840 (110,235)
Transportation Fund 132,831 132,831 -
Total Other Financing Sources 4,886,375 5,644,380 (758,005)
Net Changes in Fund Balances - $ - $ -
Fund Balances--January 1 -
Fund Balances--December 31 $ -
See the accompanying independent auditor's report.
CAPITAL PROJeCTS FUND
BUDGeT SCHeDULe
City of Fort Collins Comprehensive Annual Financial Report 117
blank
CAPITAL PROJECTS FUND
INDIVIDUAL FUND BUDGET SCHEDULE
Capital Projects Fund -- to account for financial resources to be used for the acquisition or construction of major
capital facilities. Revenues and other financing sources are primarily derived from issuance of debt or transfers
from other funds.
118 City of Fort Collins Comprehensive Annual Financial Report
CAPITAL PROJECTS FUND
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET (NON-GAAP BUDGETARY BASIS)
FOR THE YEAR ENDED DECEMBER 31, 2007
Current Prior Variance-
Year Year Cumulative Positive
Actual Actual Actual Budget (Negative)
REVENUES
Intergovernmental $ 562,065 $ 5,160,552 $ 5,722,617 $ 7,697,398 $ (1,974,781)
Fees and charges for services - 139,953 139,953 138,183 1,770
Earnings on investments 1,784,339 10,879,406 12,663,745 1,874,351 10,789,394
Miscellaneous revenue 1,405,894 7,821,331 9,227,225 9,590,669 (363,444)
Total Revenues 3,752,298 24,001,242 27,753,540 19,300,601 8,452,939
EXPENDITURES
Major Repairs and Maintenance 229,678 84,010 313,688 1,081,745 768,057
Major Building Maintenance 10,012 3,777,997 3,788,009 4,575,761 787,752
Operation Services Facility - 44,276 44,276 339,174 294,898
Children's Garden - 427,236 427,236 434,500 7,264
FC Museum / DSC Fac Design 702 3,224 3,926 6,176,250 6,172,324
Streets Facility Expansion 235,395 3,183,472 3,418,867 3,413,848 (5,019)
New Main Library/Land Acquisition - 3,169,634 3,169,634 3,236,597 66,963
Performing Arts Center/Land Acq. - 1,660,868 1,660,868 1,900,090 239,222
Parking Structure - 62,801 62,801 189,143 126,342
Police Facility 14,681,057 15,764,285 30,445,342 35,025,818 4,580,476
Offsite Police Facility 9,354 878,354 887,708 881,100 (6,608)
N. Side Aztlan Ctr Replacement 8,073,769 1,905,270 9,979,039 10,154,674 175,635
CSU Transit Center 53,964 5,655,632 5,709,596 5,729,683 20,087
Taft Hill Rd-Horsetooth / Harmony 6,230 1,441,520 1,447,750 2,036,400 588,650
Pedestrian Accessibility 6,568 402,461 409,029 447,090 38,061
Prospect, Poudre River/Summitview 360,497 5,366,709 5,727,206 6,568,801 841,595
Taft Hill, Drake Road to Derby 1,892 5,057,254 5,059,146 5,254,804 195,658
Mason Street Transportation Corridor 809,196 7,398,178 8,207,374 9,683,406 1,476,032
Pedestrian Planning Bldg Comm Choices 170,306 422,530 592,836 691,799 98,963
North College Corridor 1,940 5,562,762 5,564,702 5,635,820 71,118
State Highway 14 Truck Route Relocation - 1,185,335 1,185,335 3,016,279 1,830,944
BOB Ped Plan & ADA Improvements 41,182 - 41,182 607,500 566,318
Street Oversizing Projects 7,737,995 15,778,464 23,516,459 34,634,703 11,118,244
BOB INT IMP & Traffic Signals 98,777 - 98,777 272,250 173,473
Minor Street Capital Projects 229,275 202,989 432,264 992,434 560,170
North Lemay Redesign - - - 16,350 16,350
Coventry Dev Wildlife Habitat - - - 9,000 9,000
City/School District Community Proj. 61,018 28,139 89,157 117,153 27,996
Library Technology 513,759 3,134,002 3,647,761 3,792,063 144,302
Gateway Park 8,754 1,378,950 1,387,704 1,390,000 2,296
New Branch Library-Beyer Site 158,470 - 158,470 5,544,000 5,385,530
Nix Barn Stable / Restore 121,592 40,680 162,272 150,000 (12,272)
Soapstone Public Improvement 954,763 - 954,763 2,966,000 2,011,237
Robert Benson Dam 49,244 - 49,244 - (49,244)
Garden's on Spring Creek 51,785 2,672,173 2,723,958 2,789,829 65,871
Fossil Creek Community Park $ 12,671 $ 9,434,603 $ 9,447,274 $ 9,859,425 $151 412,
See the accompanying independent auditors' report. (Continued on Next Page)
City of Fort Collins Comprehensive Annual Financial Report 119
CAPITAL PROJECTS FUND (Continued)
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE--
ACTUAL AND BUDGET (NON-GAAP BUDGETARY BASIS)
FOR THE YEAR ENDED DECEMBER 31, 2007
Current Prior Variance--
Year Year Cumulative Positive
Actual Actual Actual Budget (Negative)
Soft Gold Park $ - $ 954,784 $ 954,784 $ 1,007,400 $616 52,
BCC Community Park Improvements 351,699 122,564 474,263 479,258 4,995
Regional Trails 13,739 1,537,161 1,550,900 1,988,718 437,818
Sheldon Lake Improvements and Boardwalk - 215,000 215,000 340,000 125,000
Southeast Community Park - 3,391,559 3,391,559 3,750,026 358,467
Spring Canyon Park 5,521,577 7,583,769 13,105,346 13,055,003 (50,343)
Water Craft Course 27,968 - 27,968 150,000 122,032
Administrative Charges - - - 50,000 50,000
Total Expenditures 40,604,828 109,928,645 150,533,473 190,433,894 39,900,421
Excess (Deficiency) of Revenues Over
(Under) Expenditures (36,852,530) (85,927,403) (122,779,933) (171,133,293) 48,353,360
OTHER FINANCING SOURCES (USES)
Proceeds from issuance of long term
debt - 36,203,340 36,203,340 36,200,235 3,105
Transfers in
General Fund 577,981 5,406,932 5,984,913 10,377,092 (4,392,179)
Capital Expansion Fund 5,008,265 10,934,002 15,942,267 21,065,878 (5,123,611)
Neighborhood Parkland Fund 175,000 239,400 414,400 414,400 -
Conservation Trust Fund - 846,189 846,189 1,010,000 (163,811)
Transit Services Fund 53,964 5,645,632 5,699,596 5,729,684 (30,088)
Natural Areas Fund 1,005,583 213,180 1,218,763 3,230,000 (2,011,237)
Street Oversizing Fund 3,312,418 9,818,715 13,131,133 18,764,437 (5,633,304)
Sales and Use Tax Fund 5,859,830 66,360,091 72,219,921 72,993,879 (773,958)
Transportation Services Fund 2,924,529 1,074,792 3,999,321 4,241,182 (241,861)
Recreation Fund - 60,000 60,000 60,000 -
Equipment Fund - 18,389 18,389 315,688 (297,299)
Communications Fund - 62,000 62,000 62,000 -
Utilities Customer Service Admin Fund - 10,000 10,000 10,000 -
Transfers out
Debt Service Fund-Ft Collins Leasing (676,782) (803,080) (1,479,862) (1,479,862) -
Natural Areas (806,265) - (806,265) (806,265) -
Neighborhood Parkland (5,545) - (5,545) (5,545) -
Conservation Trust Fund - (200,000) (200,000) - (200,000)
Cultural Services and Facilities Fund (103,250) (946,260) (1,049,510) (1,049,510) -
Total Other Financing Sources (Uses) 17,325,728 134,943,322 152,269,050 171,133,293 (18,864,243)
Net Changes in Fund Balance (19,526,802) $ 49,015,919 29,489,117 $ - $117 29,489,
Fund Balances--January 1 49,111,588 49,111,588
Less Prior Years' Project Revenues (160,893,904)
Plus Prior Years' Project Expenditures 111,877,985
Fund Balances--December 31 $ 29,584,786 $ 29,584,786
See the accompanying independent auditor's report.
120 City of Fort Collins Comprehensive Annual Financial Report
THIS PAGE INTENTIONALLY LEFT BLANK.
eNTeRPRISe FUNDS
BUDGeT SCHeDULeS
City of Fort Collins Comprehensive Annual Financial Report 121
blank
ENTERPRISE FUNDS
INDIVIDUAL FUND BUDGET SCHEDULES
Light and Power -- to account for operation of the City's electric utility.
Water -- to account for the operation of the City's water utility.
Wastewater -- to account for the operation of the City's wastewater utility.
Storm Drainage -- to account for the City's storm drainage utility.
Golf -- to account for operations of all City golf courses.
122 City of Fort Collins Comprehensive Annual Financial Report
LIGHT AND POWER FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN NET ASSETS
ACTUAL AND BUDGET (NON-GAAP BUDGETARY BASIS)
FOR THE YEAR ENDED DECEMBER 31, 2007
Adjustment Actual
To On Variance-
Budgetary Budgetary Positive
Actual Basis Basis Budget (Negative)
REVENUES
Charges for services $ 81,912,180 $ - $ 81,912,180 $ 81,749,020 $ 163,160
Other revenue 1,467,115 - 1,467,115 1,404,272 62,843
Earnings on investments 3,051,848 - 3,051,848 2,250,000 801,848
Interest on security lending income 1,867,580 - 1,867,580 - 1,867,580
Transfers 25,000 - 25,000 25,000 -
Gain on sale of capital assets (75,198) - (75,198) - (75,198)
Contributed capital 2,677,647 - 2,677,647 2,604,862 72,785
Total Revenues 90,926,172 - 90,926,172 88,033,154 2,893,018
EXPENDITURES
Programs (fund level of
budgetary control)
Customer and administrative services 4,324,672 - 4,324,672 4,767,615 442,943
System additions 27,326 9,454,024 9,481,350 13,216,851 3,735,501
Light and Power operations 6,350,380 - 6,350,380 6,321,045 (29,335)
Fund transfers 5,982,470 - 5,982,470 5,866,766 (115,704)
Purchase of power 58,232,914 - 58,232,914 65,280,645 7,047,731
Energy supply policy 1,444,376 - 1,444,376 2,047,895 603,519
Depreciation 6,462,805 (6,462,805) - - -
Security lending interest expense 1,810,114 - 1,810,114 - (1,810,114)
Security lending agent fees 17,239 - 17,239 - (17,239)
Total Programs 84,652,296 2,991,219 87,643,515 97,500,817 9,857,302
Projects (project level of budgetary control)
Substation Improvements - 851,805 851,805 1,138,376 286,571
Underground Conversion Program - 1,120,442 1,120,442 3,859,689 2,739,247
Service Center Additions - 220,980 220,980 254,000 33,020
Total Projects - 2,193,227 2,193,227 5,252,065 3,058,838
Total Expenditures 84,652,296 5,184,446 89,836,742 102,752,882 12,916,140
Changes in Net Assets 6,273,876 $ (5,184,446) 1,089,430 $ (14,719,728) $ 15,809,158
Net Assets--January 1 152,584,453 152,584,453
Capital outlay--programs 9,454,024
Current Year's Project Expenditures 376,895
Prior Year's Project Expenditures 1,816,332
Depreciation (6,462,805)
Net Assets--December 31 $ 158,858,329 $ 158,858,329
See the accompanying independent auditor's report.
City of Fort Collins Comprehensive Annual Financial Report 123
WATER FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN NET ASSETS
ACTUAL AND BUDGET (NON-GAAP BUDGETARY BASIS)
FOR THE YEAR ENDED DECEMBER 31, 2007
Adjustment Actual
to On Variance-
Budgetary Budgetary Positive
Actual Basis Basis Budget (Negative)
REVENUES
Charges for services pledged for debt service $ 24,820,432 $ - $ 24,820,432 $ 24,585,846 $ 234,586
Other nonoperating income 429,613 - 429,613 313,681 115,932
Earnings on investments 3,661,554 23,005 3,684,559 3,000,000 684,559
Interest on security lending income 2,378,684 - 2,378,684 - 2,378,684
Loss on sale of capital assets (26,158) - (26,158) - (26,158)
Contributed capital 7,720,137 - 7,720,137 5,309,283 2,410,854
Proceeds from issuance of long term debt - - - 2,476,446 (2,476,446)
Total Revenues 38,984,262 23,005 39,007,267 35,685,256 3,322,011
EXPENDITURES
Programs (fund level of budgetary control)
Customer and administrative services 3,386,361 - 3,386,361 3,737,878 351,517
Transmission and distribution 2,086,308 47,901 2,134,209 2,297,138 162,929
Payments and transfers 4,262,320 4,934,510 9,196,830 10,345,974 1,149,144
Water production 4,194,496 517,624 4,712,120 6,374,577 1,662,457
Water engineering 81,551 - 81,551 130,808 49,257
Water quality 940,117 - 940,117 1,028,429 88,312
Water resources 1,393,426 - 1,393,426 1,967,515 574,089
Depreciation 5,600,347 (5,600,347) - - -
Bond amortization 46,751 (46,751) - - -
Security lending interest expense 2,303,501 - 2,303,501 - (2,303,501)
Security lending agent fees 22,554 - 22,554 - (22,554)
Total Programs 24,317,732 (147,063) 24,170,669 25,882,319 1,711,650
Projects (project level of budgetary control)
Land Purchase-Gateway, Old Water - 848,400 848,400 848,400 -
Distribution System Replacement - 1,058,776 1,058,776 1,867,966 809,190
Michigan Ditch improvements - 132,408 132,408 800,000 667,592
Service Center Improvements - 3,837,819 3,837,819 4,046,366 208,547
Meter Conversion Program - 707,970 707,970 1,923,255 1,215,285
Water Supply Development - 917,392 917,392 1,882,203 964,811
Southwest System Improvements - 2,989,503 2,989,503 3,640,000 650,497
Master Plan Facilities - 6,719,551 6,719,551 6,775,359 55,808
Water Quality Lab - 171,187 171,187 190,000 18,813
Cathodic Protection - 329,700 329,700 350,000 20,300
Halligan Reservoir Enlargement - 6,552,269 6,552,269 27,272,446 20,720,177
Gravel Pit Storage Ponds - 175,500 175,500 11,577,000 11,401,500
Treatment Facility Improvement - 836,398 836,398 1,174,264 337,866
Poudre Pipeline - 815,561 815,561 1,000,000 184,439
Water Production Replcmnt Program - 62,201 62,201 824,000 761,799
Source of Supply Gen Replcmnt - 13,140 13,140 125,000 -
Total Projects - 26,167,775 26,167,775 64,296,259 38,016,624
Total Expenditures 24,317,732 26,020,712 50,338,444 90,178,578 39,728,274
Changes in Net Assets 14,666,530 $ (25,997,707) (11,331,177) $ (54,493,322) $ 43,050,285
Net Assets--January 1 212,475,740 212,475,740
Capital Outlay--Programs 565,525
Current Year's Project Expenditures 3,240,588
Prior Years' Project Expenditures 22,927,187
Prior Years' Project Revenues (23,005)
Principal Reduction--Long-Term Debt 4,934,510
Depreciation (5,600,347)
Bond Amortization (46,751)
124 City of Fort Collins Comprehensive Annual Financial Report
WASTEWATER FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN NET ASSETS
ACTUAL AND BUDGET (NON-GAAP BUDGETARY BASIS)
FOR THE YEAR ENDED DECEMBER 31, 2007
Adjustment Actual
To On Variance-
Budgetary Budgetary Positive
Actual Basis Basis Budget (Negative)
REVENUES
Charges for services $ 14,640,171 $ - $ 14,640,171 $ 14,522,376 $ 117,795
Other Non-Operating Income 432,558 - 432,558 568,156 (135,598)
Earnings on investments 1,724,569 - 1,724,569 1,420,000 304,569
Interest on security lending income 849,502 - 849,502 - 849,502
Gain on sale of capital asset 39,216 - 39,216 - 39,216
Capital Contributions 4,361,811 - 4,361,811 4,192,023 169,788
Total Revenues 22,047,827 - 22,047,827 20,702,555 1,345,272
EXPENDITURES
Programs (fund level of budgetary control)
Customer and administrative services 1,308,645 - 1,308,645 1,388,989 80,344
Trunk and collection 1,254,934 19,696 1,274,630 1,535,462 260,832
Payments and transfers 3,041,547 3,934,811 6,976,358 8,014,777 1,038,419
Water reclamation 4,429,867 284,268 4,714,135 5,332,673 618,538
Security lending interest expense 823,870 - 823,870 - (823,870)
Security lending agent fees 7,689 - 7,689 - (7,689)
Water engineering 80,247 - 80,247 132,308 52,061
Pollution control 1,102,621 - 1,102,621 1,328,165 225,544
Depreciation 2,817,929 (2,817,929) - - -
Bond amortization 44,858 (44,858) - - -
Total Programs 14,912,207 1,375,988 16,288,195 17,732,374 1,444,179
Projects (project level of budgetary control)
Collection System Replacement - 2,422,243 2,422,243 3,745,014 1,322,771
Harmony Lift Station - 41,098 41,098 49,352 8,254
Service Center Improvements - 3,210,720 3,210,720 3,333,132 122,412
Treatment Plant Expansion - 31,370,320 31,370,320 33,333,960 1,963,640
Sludge Disposal Improvements - 5,359,627 5,359,627 5,869,446 509,819
Collection System Study - 403,102 403,102 550,000 146,898
Mulberry Water Reclamation Improvements - 4,882,396 4,882,396 5,374,849 492,453
DWRF General Replacement Program - 134,911 134,911 369,285 234,374
Biotower Odor Control Replacement - - - 250,000 250,000
Flow Monitoring Stations - 342,010 342,010 740,000 397,990
North College Sewer - 185,973 185,973 400,000 214,027
Locust Street and Riverside - 2,434,789 2,434,789 2,775,000 340,211
Water Reclam Replacement Program - 782,357 782,357 1,078,716 296,359
Total Projects - 51,569,546 51,569,546 57,868,754 6,299,208
Total Expenditures 14,912,207 52,945,534 67,857,741 75,601,128 7,743,387
Changes in Net Assets 7,135,620 $ (52,945,534) (45,809,914) $ (54,898,573) $ 9,088,659
Net Assets--January 1 106,134,005 106,134,005
Capital Outlay--Programs 317,217
Current Year's Project Expenditures 7,753,600
Prior Years' Project Expenditures 43,815,946
Principal Reduction - Long Term Debt 3,921,558
Depreciation (2,817,929)
Bond amortization (44,858)
Net Assets-December 31 $ 113,269,625 $ 113,269,625
See the accompanying independent auditor's report.
City of Fort Collins Comprehensive Annual Financial Report 125
STORM DRAINAGE FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN NET ASSETS
ACTUAL AND BUDGET (NON-GAAP BUDGETARY BASIS)
FOR THE YEAR ENDED DECEMBER 31, 2007
Adjustment Actual
To On Variance-
Budgetary Budgetary Positive
Actual Basis Basis Budget (Negative)
REVENUES
Charges for services $ 13,173,911 $ - $ 13,173,911 $ 13,165,932 $ 7,979
Other nonoperating income 50,021 - 50,021 12,175 37,846
Intergovernmental 1,235,602 1,669,207 2,904,809 3,992,790 (1,087,981)
Earnings on investments 1,117,364 - 1,117,364 900,000 217,364
Interest on security lending income 450,675 - 450,675 - 450,675
Gain on sale of capital assets (96,405) - (96,405) - (96,405)
Contributed capital 670,674 - 670,674 542,430 128,244
Total Revenues 16,601,842 1,669,207 18,271,049 18,613,327 (342,278)
EXPENDITURES
Programs (fund level of budgetary control)
Customer and administrative services 1,311,235 - 1,311,235 1,426,721 115,486
Drainage and detention 1,649,207 137,141 1,786,348 1,805,642 19,294
Storm drainage engineering 1,057,329 - 1,057,329 1,173,701 116,372
Drainage water quality 187,593 - 187,593 303,089 115,496
Payments and transfers 2,167,931 2,150,000 4,317,931 5,136,459 818,528
Depreciation 2,260,571 (2,260,571) - - -
Bond amortization 32,066 (32,066) - - -
Security lending interest expense 436,220 - 436,220 - (436,220)
Security lending agent fees 4,336 - 4,336 - (4,336)
Total Programs 9,106,488 (5,496) 9,100,992 9,845,612 744,620
Projects (project level of budgetary control)
Drainage System Replacement - 614,997 614,997 814,849 199,852
Old Town Basin - 707,648 707,648 957,677 250,029
McClelland Mail Creek Basin - 892,964 892,964 900,000 7,036
Spring Creek Basin - 3,961,059 3,961,059 5,029,950 1,068,891
Dry Creek Basin - 8,839,103 8,839,103 10,469,681 1,630,578
West Vine Channel - 65,932 65,932 80,319 14,387
Foothills Basin - - - 8,728 8,728
Canal Importation - 6,016,546 6,016,546 11,445,509 5,428,963
Cooper Slough - 28,992 28,992 522,546 493,554
Fossil Creek - 2,088,714 2,088,714 2,477,454 388,740
Cache La Poudre Drainageway - 1,529,234 1,529,234 1,983,051 453,817
Utility Service Center - 189,957 189,957 287,000 97,043
Master Planning - 4,100,789 4,100,789 4,176,990 76,201
Flood Mapping - 412,280 412,280 581,913 169,633
Developer Repays - 1,268,165 1,268,165 1,722,465 454,300
Trailhead Detention - 14,034 14,034 2,535 (11,499)
West Vine Outfall - 201,090 201,090 200,000 (1,090)
Boxelder - 20,089 20,089 30,000 9,911
Rigden Farms - - - 320,000 320,000
Total Projects - 30,951,593 30,951,593 42,010,667 11,059,074
Total Expenditures 9,106,488 30,946,097 40,052,585 51,856,279 11,803,694
Changes in Net Assets 7,495,354 $ (29,276,890) (21,781,536) $ (33,242,952) $ 11,461,416
Net Assets--January 1 61,186,765 61,186,765
Capital Outlay--Programs 137,141
Current Year's Project Expenditures 5,607,808
Plus Prior Years' Project Expenditures 25,343,785
Less Prior Years' Grant/Project Revenue (1,669,207)
Principal Reduction--Long-Term Debt 2,150,000
Depreciation (2,260,571)
126 City of Fort Collins Comprehensive Annual Financial Report
GOLF FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN NET ASSETS
ACTUAL AND BUDGET (NON-GAAP BUDGETARY BASIS)
FOR THE YEAR ENDED DECEMBER 31, 2007
Adjustment Actual
to on Variance --
Budgetary Budgetary Positive
Actual Basis Basis Budget (Negative)
REVENUES
Charges for services $ 2,577,205 $ - $ 2,577,205 $ 2,595,300 $ (18,095)
Other nonoperating income 2,506 - 2,506 - 2,506
Earnings on investments 40,872 - 40,872 10,000 30,872
Interest on security lending income 25,002 - 25,002 - 25,002
Proceeds from issuance of bonds - 1,771,056 1,771,056 - 1,771,056
Gain on sale of capital asset 3,006 - 3,006 - 3,006
Proceeds from lease obligations - 324,740 324,740 327,155 (2,415)
Total Revenues 2,648,591 2,095,796 4,744,387 2,932,455 1,811,932
EXPENDITURES
Programs (project level of budgetary control)
Golf courses 2,352,964 531,667 2,884,631 2,840,890 (43,741)
Transfers - - - 119,751 119,751
Security lending interest expense 23,997 - 23,997 - (23,997)
Security lending agent fees 301 - 301 - (301)
Payment to escrow agent - 1,771,056 1,771,056 - (1,771,056)
Bond amortization 3,164 (3,164) - - -
Depreciation 313,788 (313,788) - - -
Total Programs 2,694,214 1,985,771 4,679,985 2,960,641 (1,719,344)
Total Expenditures 2,694,214 1,985,771 4,679,985 2,960,641 (1,719,344)
Changes in Net Assets (45,623) $025 110,64,402 $ (28,186) $ 92,588
Net Assets--January 1 4,583,556 4,583,556
Current year's proceeds from lease (324,740)
Capital outlay 284,834
Proceeds from Issuance of Bonds 1,771,056
Payment to Escrow Agent (1,771,056)
Principal reduction--capital lease 135,763
Principal reduction--bonds 111,070
Bond amortization (3,164)
Depreciation (313,788)
Net Assets--December 31 $ 4,537,933 $ 4,537,933
See the accompanying independent auditor's report.
INTeRNAL SeRVICe
FUNDS
City of Fort Collins Comprehensive Annual Financial Report 127
INTERNAL SERVICE FUNDS
COMBINING AND INDIVIDUAL FUND FINANCIAL STATEMENTS AND SCHEDULES
Benefits -- to account for the self-insurance of employee health care benefits and other benefits provided to
City employees.
Communications -- to account for the acquisition, operation, and maintenance of the City's telephone
system, office automation system, and network backbone, as well as computer application services.
Equipment -- to account for the fleet services provided to other funds of the City.
Self-Insurance -- to account for self-insurance of property and liability claims.
Utility Customer Service and Administration -- to account for customer and administrative services
provided to the City's utility funds.
128 City of Fort Collins Comprehensive Annual Financial Report
INTERNAL SERVICE FUNDS
COMBINING STATEMENT OF NET ASSETS
DECEMBER 31, 2007
Benefits Communications Equipment
ASSETS
Current Assets
Cash and cash equivalents $ 2,185,920 $ 695,821 $ 1,305,028
Investments 5,744,056 2,010,928 2,851,205
Receivables
Accounts 2,916 - 102,635
Accrued interest 62,668 25,528 31,734
Inventories of materials and supplies - - 649,735
Total Current Assets 7,995,560 2,732,277 4,940,337
Non-Current Assets
Land, water rights, other - 23,952 46,612
Buildings, improvements and equipment - 1,009,801 3,375,042
Accumulated depreciation - (723,877) (1,329,284)
Construction in progress - - 58,939
Total Non-Current Assets - 309,876 2,151,309
Total Assets 7,995,560 3,042,153 7,091,646
LIABILITIES
Current Liabilities
Accounts payable 1,481 120,849 232,360
Accrued interest payable - - 117
Accrued wages payable 16,155 17,883 66,690
Accrued compensated absences 24,195 36,157 113,778
Claims payable 1,412,283 - -
Capital lease obligations - - 5,619
Unearned revenue - - -
Total Current Liabilities 1,454,114 174,889 418,564
Non-Current Liabilities
Claims payable - - -
Capital lease obligations - - 4,371
Total Non-Current Liabilities - - 4,371
Total Liabilities 1,454,114 174,889 422,935
NET ASSETS
Invested in Capital Assets, net of related debt - 309,876 2,141,319
Unrestricted 6,541,446 2,557,388 4,527,392
Total Net Assets $ 6,541,446 $ 2,867,264 $ 6,668,711
See the accompanying independent auditor's report.
City of Fort Collins Comprehensive Annual Financial Report 129
Utility Customer
Self Insurance Service and Admin. Total
$ 2,703,427 $ 1,009,603 $ 7,899,799
6,224,459 736,485 17,567,133
282,219 60 387,830
71,104 8,227 199,261
- - 649,735
9,281,209 1,754,375 26,703,758
- - 70,564
- 2,134,776 6,519,619
- (1,218,680) (3,271,841)
- 362,057 420,996
- 1,278,153 3,739,338
9,281,209 3,032,528 30,443,096
26,074 86,789 467,553
- - 117
11,536 212,057 324,321
14,576 353,260 541,966
1,238,967 - 2,651,250
- - 5,619
28,931 - 28,931
1,320,084 652,106 4,019,757
3,805,090 - 3,805,090
- - 4,371
3,805,090 - 3,809,461
5,125,174 652,106 7,829,218
- 1,278,153 3,729,348
4,156,035 1,102,269 18,884,530
$ 4,156,035 $ 2,380,422 $ 22,613,878
130 City of Fort Collins Comprehensive Annual Financial Report
INTERNAL SERVICE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENSES
AND CHANGES IN NET ASSETS
FOR THE YEAR ENDED DECEMBER 31, 2007
Benefits Communications Equipment
OPERATING REVENUES
Charges for services $ 17,869,427 $ 1,292,988 $ 7,188,729
Total Operating Revenues 17,869,427 1,292,988 7,188,729
OPERATING EXPENSES
Personal services 492,730 587,621 2,179,932
Contractual services 16,124,277 740,042 1,376,401
Commodities 44,440 498,493 3,581,789
Customer service and administrative charges - 348 -
Other 433 98,877 67,369
Depreciation - 62,452 160,261
Total Operating Expenses 16,661,880 1,987,833 7,365,752
Operating Income (Loss) 1,207,547 (694,845) (177,023)
NONOPERATING REVENUES (EXPENSES)
Earnings on investments 434,280 97,493 121,294
Interest on security lending income 281,671 - 60,813
Security lending interest expense (273,221) - (58,993)
Security lending agent fees (2,535) - (546)
Intergovernmental - - 57,993
Other revenue 4,397 2,838 7,723
Gain (Loss) on sale of capital assets - - 58,483
Interest expense - - (791)
Total Nonoperating Revenues (Expenses) 444,592 100,331 245,976
Income Before Contributions and Transfers 1,652,139 (594,514) 68,953
Transfers in - 1,500,000 2,350,000
Transfers out - (37,861) -
Changes in Net Assets 1,652,139 867,625 2,418,953
Net Assets--January 1 4,889,307 1,999,639 4,249,758
Net Assets--December 31 $ 6,541,446 $ 2,867,264 $ 6,668,711
See the accompanying independent auditor's report.
City of Fort Collins Comprehensive Annual Financial Report 131
Utility Customer
Self Insurance Service and Admin. Total
$ 2,400,763 $ 9,879,446 $ 38,631,353
2,400,763 9,879,446 38,631,353
351,103 6,807,168 10,418,554
3,014,053 2,910,321 24,165,094
87,501 526,236 4,738,459
- - 348
259 423,889 590,827
- 228,455 451,168
3,452,916 10,896,069 40,364,450
(1,052,153) (1,016,623) (1,733,097)
525,375 80,515 1,258,957
344,103 - 686,587
(333,495) - (665,709)
(3,182) - (6,263)
- - 57,993
46,072 894,489 955,519
- (5,670) 52,813
- - (791)
578,873 969,334 2,339,106
(473,280) (47,289) 606,009
43,344 - 3,893,344
- (26,954) (64,815)
(429,936) (74,243) 4,434,538
4,585,971 2,454,665 18,179,340
$ 4,156,035 $ 2,380,422 $ 22,613,878
132 City of Fort Collins Comprehensive Annual Financial Report
INTERNAL SERVICE FUNDS
COMBINING STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED DECEMBER 31, 2007
Benefits Communications Equipment
CASH FLOWS FROM OPERATING
ACTIVITIES
Cash received from customers and users $ - $ - $ 553,640
Receipts from interfund services provided 17,866,511 1,293,033 6,544,077
Cash paid to employees for services (500,971) (581,339) (2,154,026)
Cash paid to other suppliers of goods & services (16,361,476) (1,225,474) (4,993,682)
Payments for interfund services used (28) 1,465 (68,242)
Other receipts 4,397 2,838 7,723
Net cash provided (used) by operating activities 1,008,433 (509,477) (110,510)
CASH FLOWS FROM NONCAPITAL
FINANCING ACTIVITIES
Transfers from other funds - 1,500,000 2,350,000
Transfers to other funds - (37,861) -
Subsidy from federal grants - - 57,993
Net cash provided (used) by noncapital
financing activities - 1,462,139 2,407,993
CASH FLOWS FROM CAPITAL AND
RELATED FINANCING ACTIVITIES
Purchases of capital assets - (97,665) (89,188)
Principal paid on capital debt - - (7,451)
Interest paid on capital debt - - (852)
Proceeds from sales of capital assets - - 72,417
Net cash used by capital
and related financing activities - (97,665) (25,074)
CASH FLOWS FROM INVESTING
ACTIVITIES
Proceeds from sales and maturities of investments - - -
Purchase of investments (1,730,643) (837,046) (1,860,252)
Earnings received on investments 346,481 88,312 65,026
Interest on security lending income 281,671 - 60,813
Security lending interest expense (273,221) - (58,993)
Security lending agent fees (2,535) - (546)
Net cash used by
investing activities (1,378,247) (748,734) (1,793,952)
Net increase (decrease) in cash and cash equivalents (369,814) 106,263 478,457
Cash and cash equivalents, January 1 2,555,734 589,558 826,571
Cash and cash equivalents, December 31 $ 2,185,920 $ 695,821 $ 1,305,028
Reconciliation of operating income (loss) to
net cash provided (used) by operating activites:
Operating income (loss) $ 1,207,547 $ (694,845) $ (177,023)
Other receipts 4,397 2,838 7,723
Adjustments to reconcile operating income to net
cash provided by operating activities:
Depreciation expense - 62,452 160,261
(Increase) decrease in accounts receivable (2,916) 45 (91,012)
Increase in inventories - - (96,451)
Increase (decrease) in accounts payable (128,698) 113,751 60,086
Increase (decrease) in accrued
compensated absences payable 4,531 16,273 28,349
Increase (decrease) in accrued wages (12,772) (9,991) (2,443)
Increase (decrease) in claims payable (63,656) - -
Increase in deferred revenue - - -
Net cash provided (used) by operating activities $ 1,008,433 $ (509,477) $ (110,510)
See the accompanying independent auditor's report.
City of Fort Collins Comprehensive Annual Financial Report 133
Utility Customer
Self Insurance Service and Admin. Total
$ - $ - $ 553,640
2,335,877 9,980,167 38,019,665
(346,576) (6,790,941) (10,373,853)
(2,877,094) (3,904,885) (29,362,611)
(764) (98,586) (166,155)
46,072 894,489 955,519
(842,485) 80,244 (373,795)
43,344 - 3,893,344
- (26,954) (64,815)
- - 57,993
43,344 (26,954) 3,886,522
- (231,970) (418,823)
- - (7,451)
- - (852)
- 1,648 74,065
- (230,322) (353,061)
2,645,624 - 2,645,624
(2,418,037) (223,707) (7,069,685)
429,890 78,508 1,008,217
344,103 - 686,587
(333,495) - (665,709)
(3,182) - (6,263)
664,903 (145,199) (3,401,229)
(134,238) (322,231) (241,563)
2,837,665 1,331,834 8,141,362
$ 2,703,427 $ 1,009,603 $ 7,899,799
$ (1,052,153) $ (1,016,623) $ (1,733,097)
46,072 894,489 955,519
- 228,455 451,168
(64,886) 2,135 (156,634)
- - (96,451)
4,066 (44,439) 4,766
1,111 (2,672) 47,592
3,416 18,899 (2,891)
213,072 - 149,416
6,817 - 6,817
$ (842,485) $ 80,244 $ (373,795)
134 City of Fort Collins Comprehensive Annual Financial Report
BENEFITS FUND
SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS
ACTUAL AND BUDGET
FOR THE YEAR ENDED DECEMBER 31, 2007
Variance-
Positive
Actual Budget (Negative)
REVENUES
Charges for services $ 17,869,427 $ 17,778,652 $ 90,775
Other nonoperating income 4,397 2,702 1,695
Earnings on investments 434,280 332,088 102,192
Interest on security lending income 281,671 - 281,671
Total Revenues 18,589,775 18,113,442 476,333
EXPENSES
Benefits 16,661,880 26,028,491 9,366,611
Security lending interest expense 273,221 - (273,221)
Security lending agent fees 2,535 - (2,535)
Total Expenses 16,937,636 26,028,491 9,090,855
Changes in Net Assets 1,652,139 $ (7,915,049) $ 9,567,188
Net Assets--January 1 4,889,307
Net Assets--December 31 $ 6,541,446
See the accompanying independent auditor's report.
City of Fort Collins Comprehensive Annual Financial Report 135
COMMUNICATIONS FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN NET ASSETS
ACTUAL AND BUDGET (NON-GAAP BUDGETARY BASIS)
FOR THE YEAR ENDED DECEMBER 31, 2007
Adjustment Actual
To On Variance-
Budgetary Budgetary Positive
Actual Basis Basis Budget (Negative)
REVENUES
Charges for services $988 1,292,$ - $ 1,292,988 $ 700,000 $988 592,
Other nonoperating income 2,838 - 2,838 - 2,838
Earnings on investments 97,493 - 97,493 - 97,493
Transfers 1,500,000 - 1,500,000 1,500,000 -
Total Revenues 2,893,319 - 2,893,319 2,200,000 693,319
EXPENSES
Programs (fund level of
budgetary control)
CITEL 1,925,381 97,665 2,023,046 2,817,129 794,083
Transfers 37,861 - 37,861 37,861 -
Depreciation 62,452 (62,452) - - -
Total Expenses 2,025,694 35,213 2,060,907 2,854,990 794,083
Changes in Net Assets 867,625 $ (35,213) 832,412 $ (654,990) $402 1,487,
Net Assets--January 1 1,999,639 1,999,639
Capital outlay--program 97,665
Depreciation (62,452)
Net Assets--December 31 $264 2,867,$ 2,867,264
See the accompanying independent auditor's report.
136 City of Fort Collins Comprehensive Annual Financial Report
EQUIPMENT FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN NET ASSETS
ACTUAL AND BUDGET (NON-GAAP BUDGETARY BASIS)
FOR THE YEAR ENDED DECEMBER 31, 2007
Adjustment Actual
To On Variance-
Budgetary Budgetary Positive
Actual Basis Basis Budget (Negative)
REVENUES
Charges for services $ 7,188,729 $ - $ 7,188,729 $ 7,113,046 $ 75,683
Other nonoperating income 7,723 30,000 37,723 220,500 (182,777)
Earnings on investments 121,294 - 121,294 112,591 8,703
Interest on security lending income 60,813 - 60,813 - 60,813
Intergovernmental 57,993 - 57,993 58,400 (407)
Transfers 2,350,000 35,000 2,385,000 2,385,000 -
Gain on sale of capital assets 58,483 - 58,483 - 58,483
Total Revenues 9,845,035 65,000 9,910,035 9,889,537 20,498
EXPENSES
Programs (fund level of
budgetary control)
Fleet services 7,206,282 225,820 7,432,102 7,665,329 233,227
Transfers - - - 297,299 297,299
Depreciation 160,261 (160,261) - - -
Security lending interest expense 58,993 - 58,993 - (58,993)
Security lending agent fees 546 - 546 - (546)
Total Expenses 7,426,082 65,559 7,491,641 7,962,628 470,987
Changes in Net Assets 2,418,953 $ (559)2,418,394 $ 1,926,909 $ 491,485
Net Assets--January 1 4,249,758 4,249,758
Capital outlay--program 218,369
Principal reduction--capital lease 7,451
Depreciation (160,261)
Less Prior Year Project Transfer In (35,000)
Net Assets--December 31 $ 6,668,711 $ 6,698,711
See the accompanying independent auditor's report.
City of Fort Collins Comprehensive Annual Financial Report 137
SELF-INSURANCE FUND
SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS
ACTUAL AND BUDGET
FOR THE YEAR ENDED DECEMBER 31, 2007
Variance-
Positive
Actual Budget (Negative)
REVENUES
Charges for services $ 2,400,763 $ 2,399,522 $ 1,241
Other nonoperating income 46,072 - 46,072
Earnings on investments 525,375 425,000 100,375
Interest on security lending income 344,103 - 344,103
Transfers In 43,344 43,344 -
Total Revenues 3,359,657 2,867,866 491,791
EXPENSES
Risk management 3,452,916 3,980,514 527,598
Security lending interest expense 333,495 - (333,495)
Security lending agent fees 3,182 - (3,182)
Total Expenses 3,789,593 3,980,514 190,921
Changes in Net Assets (429,936) $ (1,112,648) $ 682,712
Net Assets--January 1 4,585,971
Net Assets--December 31 $ 4,156,035
See the accompanying independent auditor's report.
138 City of Fort Collins Comprehensive Annual Financial Report
UTILITY CUSTOMER SERVICE AND ADMINISTRATIVE FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN NET ASSETS
ACTUAL AND BUDGET (NON-GAAP BUDGETARY BASIS)
FOR THE YEAR ENDED DECEMBER 31, 2007
Adjustment Actual
To On Variance-
Budgetary Budgetary Positive
Actual Basis Basis Budget (Negative)
REVENUES
Charges for services $ 9,879,446 $ - $ 9,879,446 $ 10,045,548 $ (166,102)
Other nonoperating income 894,489 - 894,489 899,147 (4,658)
Earnings on investments 80,515 - 80,515 20,000 60,515
Gain on sale of capital assets (5,670) - (5,670) - (5,670)
Total Revenues 10,848,780 - 10,848,780 10,964,695 (115,915)
EXPENSES
Programs (fund level of
budgetary control)
Customer and administrative services 10,667,614 231,970 10,899,584 12,639,875 1,740,291
Transfers 26,954 - 26,954 26,954 -
Depreciation 228,455 (228,455) - - -
Total Expenses 10,923,023 3,515 10,926,538 12,666,829 1,740,291
Changes in Net Assets (74,243) $ (3,515) (77,758) $ (1,702,134) $ 1,624,376
Net Assets--January 1 2,454,665 2,454,665
Capital outlay--program 231,970
Depreciation (228,455)
Net Assets--December 31 $ 2,380,422 $ 2,380,422
See the accompanying independent auditor's report.
FIDUCIARY
FUNDS
City of Fort Collins Comprehensive Annual Financial Report 139
blank
FIDUCIARY FUNDS
COMBINING AND INDIVIDUAL FUND FINANCIAL STATEMENTS AND SCHEDULES
Trust Funds:
General Employees' Retirement Plan -- to account for the general employees' retirement plan.
Closed to new hires as of 1/1/1999.
Money Purchase Plan -- to account for City employees' defined contribution retirement plan.
Retirement Health Savings Plan -- to account for City employees' retirement health savings plan.
Agency Fund:
Poudre Fire Authority -- to account for cash and investments held by the City on behalf of Poudre Fire Authority.
140 City of Fort Collins Comprehensive Annual Financial Report
blank
TRUST FUNDS
COMBINING STATEMENT OF FIDUCIARY NET ASSETS
DECEMBER 31, 2007
General
Employees Money Retirement Total
Retirement Purchase Health Savings Trust
Plan Plan Plan Funds
ASSETS
Current Assets
Cash and cash equivalents $ 3,923,873 $ - $ - $ 3,923,873
Receivables
Interest 170,447 - - 170,447
Notes and loans - 2,837,516 - 2,837,516
Total Receivables 170,447 2,837,516 - 3,007,963
Investments, at fair value
U S Government securities 16,423,970 - - 16,423,970
Mutual funds 25,253,992 110,318,844 605,326 136,178,162
Total Investments, at fair value 41,677,962 110,318,844 605,326 152,602,132
Security lending collateral 9,676,107 - - 9,676,107
Total Assets 55,448,389 113,156,360 605,326 169,210,075
LIABILITIES
Current Liabilities
Accrued expenses 1,535 - - 1,535
Obligations under security lending 9,676,107 - - 9,676,107
Total Liabilities 9,677,642 - - 9,677,642
NET ASSETS
Held in trust for pension benefits 45,770,747 113,156,360 605,326 159,532,433
Total Net Assets $ 45,770,747 $ 113,156,360 $ 605,326 $ 159,532,433
See the accompanying independent auditor's report.
City of Fort Collins Comprehensive Annual Financial Report 141
blank
TRUST FUNDS
COMBINING STATEMENT OF CHANGES IN FIDUCIARY NET ASSETS
FOR THE YEAR ENDED DECEMBER 31, 2007
General
Employees Money Retirement
Retirement Purchase Health Savings
Plan Plan Plan Total
ADDITIONS
Contributions
Employer contributions $ 866,694 $ 4,006,338 $ - $ 4,873,032
Employee contributions - 2,564,612 383,691 2,948,303
Pension conversion & roll-overs - 741,329 - 741,329
Loan repayments - 956,008 - 956,008
Other 206 923,633 - 923,839
Total Contributions 866,900 9,191,920 383,691 10,442,511
Investment income
Interest related to plan investments 706,649 984,903 9,069 1,700,621
Interest related to employee loans - 597,924 - 597,924
Net change in fair value of investments 4,371,272 6,458,053 10,166 10,839,491
Total Investment Income 5,077,921 8,040,880 19,235 13,138,036
Securities lending income 441,594 - - 441,594
Securities lending expenses (431,053) - - (431,053)
Net income from securities lending activities 10,541 - - 10,541
Net Investment Income 5,088,462 8,040,880 19,235 13,148,577
Total Additions 5,955,362 17,232,800 402,926 23,591,088
DEDUCTIONS
Benefit payments 2,483,503 8,651,965 20,462 11,155,930
Administration 23,297 14,348 1,320 38,965
Total Deductions 2,506,800 8,666,313 21,782 11,194,895
Net Increase 3,448,562 8,566,487 381,144 12,396,193
Net Assets Held In Trust for Retirement Benefits
Beginning of year 42,322,185 104,589,873 224,182 147,136,240
End of Year $ 45,770,747 $ 113,156,360 $ 605,326 $ 159,532,433
See the accompanying independent auditor's report.
142 City of Fort Collins Comprehensive Annual Financial Report
blank
GENERAL EMPLOYEES' RETIREMENT PLAN TRUST FUND
SCHEDULE OF CHANGES IN NET ASSETS HELD IN TRUST FOR
PENSION BENEFITS - ACTUAL AND BUDGET
FOR THE YEAR ENDED DECEMBER 31, 2007
Variance With
Actual
Positive
Actual Budget (Negative)
OPERATING REVENUES
Contributions $ 866,900 $ 900,000 $ (33,100)
Earnings on investments 706,649 647,100 59,549
Net income from securities lending activities 10,541 - 10,541
Net increase in the fair value of investments 4,371,272 4,000,000 371,272
Total Operating Revenues 5,955,362 5,547,100 408,262
OPERATING EXPENSES
Benefit payments 2,483,503 2,576,000 92,497
Administration 23,297 28,995 5,698
Total Operating Expenses 2,506,800 2,604,995 98,195
Changes in Net Assets 3,448,562 $ 2,942,105 $ 506,457
Net Assets Held in Trust for Retirement
Benefits--January 1 42,322,185
Net Assets Held in Trust for Retirement
Benefits--December 31 $ 45,770,747
See the accompanying independent auditors' report.
City of Fort Collins Comprehensive Annual Financial Report 143
blank
AGENCY FUND
STATEMENT OF ASSETS AND LIABILITIES
DECEMBER 31, 2007
Poudre
Fire
Authority
ASSETS
Current Assets
Cash and cash equivalents $ 5,885,480
Receivables
Interest 66,087
Investments, at fair value
U S Government securities 4,810,870
Corporate bonds 1,127,263
Total Investments, at fair value 5,938,133
Total Assets 11,889,700
LIABILITIES
Current Liabilities
Amounts held for other governments 11,889,700
Total Liabilities $ 11,889,700
See the accompanying independent auditors' report.
144 City of Fort Collins Comprehensive Annual Financial Report
blank
AGENCY FUND
STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
FOR THE YEAR ENDED DECEMBER 31, 2007
POUDRE FIRE AUTHORITY Balance-- Balance--
Dec. 31, 2006 Additions Deletions Dec. 31, 2007
ASSETS
Cash and cash equivalents $ 3,349,538 $ 2,765,053 $ 229,111 $ 5,885,480
Receivables - interest 52,828 21,535 8,276 66,087
Investments, at fair value
U S Government securities 4,766,435 1,554,052 1,509,617 4,810,870
Corporate bonds 619,536 507,727 - 1,127,263
Total Investments, at fair value 5,385,971 2,061,779 1,509,617 5,938,133
Total Assets 8,788,337 4,848,367 1,747,004 11,889,700
LIABILITIES
Amounts held for other governments $ 8,788,337 $ 4,848,367 $ 1,747,004 $ 11,889,700
See the accompanying independent auditors' report.
COMPONeNT
UNIT
City of Fort Collins Comprehensive Annual Financial Report 145
COMPONENT UNIT FUNDS
RECONCILIATIONS
COMBINING AND INDIVIDUAL FUND FINANCIAL STATEMENTS AND SCHEDULES
DOWNTOWN DEVELOPMENT AUTHORITY
Reconciliations:
Reconciliation of the Balance Sheet to the Statement of Net Assets
Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances to the Statement
of Activities
Funds:
General -- to account for all general operations of the DDA except those required to be accounted for in another
fund.
Debt Service -- to account for tax increment revenues received from property taxes and used to service the
DDA's tax increment bonds.
146 City of Fort Collins Comprehensive Annual Financial Report
COMPONENT UNIT
RECONCILIATION OF THE BALANCE SHEET TO THE STATEMENT OF NET ASSETS
DECEMBER 31, 2007
Statement
Total Adjustments of Net Assets
ASSETS
Cash and cash equivalents $ 2,989,635 $ - $ 2,989,635
Investments 6,488,789 - 6,488,789
Receivables
Property taxes 5,349,573 - 5,349,573
Accounts 112,468 - 112,468
Accrued interest 72,166 - 72,166
Due from other governments 2,561 - 2,561
Inventory of real property held for resale 135,464 - 135,464
Capital assets (non-depreciable) - 1,001,197 1 1,001,197
Capital assets (net of accumulated depreciation) - 1,858,417 1 1,858,417
Unamortized bond issuance costs - 18,231 2 18,231
Total Assets 15,150,656 2,877,845 18,028,501
LIABILITIES
Accounts payable 131,608 - 131,608
Accrued wages payable 24,413 - 24,413
Accrued interest payable - 37,780 3 37,780
Unearned revenue 5,426,173 - 5,426,173
Compensated Absences - 29,355 29,355
Non-Current liabilities
Due within one year - 2,270,000 3 2,270,000
Due after one year - 7,420,000 3 7,420,000
Total Liabilities 5,582,194 9,757,135 15,339,329
FUND BALANCES/NET ASSETS
Fund balances
Reserved for inventory of real
property held for resale 135,464 (135,464) -
Reserved for debt service 2,522,493 (2,522,493) -
Reserved for encumbrances 5,449,729 (5,449,729) -
Unreserved, reported in:
Undesignated 1,460,776 (1,460,776) -
Total Fund Balances $ 9,568,462 (9,568,462) -
Net Assets:
Invested in capital assets, net of
related debt 624,900 624,900
Reserved for debt service 2,522,493 2,522,493
Reserved for capital projects 5,585,193 5,585,193
Unrestricted (deficit) (6,043,414) 4 (6,043,414)
Total Net Assets of Component Unit (page 33) $ 2,689,172 $ 2,689,172
1 Capital assets net of accumulated depreciation used in governmental activities are not current financial resources.
Therefore they are not reported in the funds.
2 Bond issuance costs are not financial resources and therefore not reported in the funds.
3 Long-term liabilities, including bonds payable, related accrued interest, and accrued compensated absences, are not due
and payable in the current period and therefore not reported in the funds.
4 The component unit receives tax increment to service the bonds issued for improvements made within the downtown area.
A majority of these improvements relate to building facades intended to preserve the historical architecture in the Old Town
area of the City's downtown. Although the component unit may benefit over time from any increase in the assessed value
of these properties related to these improvements, no assets are recorded in relation to these activities. As a result, the
statement of net assets for the component unit reflects a deficit balance for unrestricted net assets.
See the accompanying independent auditors' report
City of Fort Collins Comprehensive Annual Financial Report 147
COMPONENT UNIT
RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN
FUND BALANCES TO THE STATEMENT OF ACTIVITIES
FOR THE YEAR ENDED DECEMBER 31, 2007
Statement
Total Adjustments of Activities
Expenditures/Expenses (including transfers):
Expenditures/expenses $ 5,995,829 $ (1,896,768) 1 $ 4,099,061
Program Revenues
Charges for services 143,437 - 143,437
Net Program Revenues 143,437 - 143,437
Net Program Expense 5,852,392 (1,896,768) 3,955,624
General Revenues
Property taxes 4,144,752 - 4,144,752
Investment earnings 649,858 - 649,858
Miscellaneous 5,917,235 (4,750,350) 2 1,166,885
Total General Revenues 10,711,845 (4,750,350) 5,961,495
Change in Net Assets (pages 34-35) 4,859,453 (2,853,582) 2,005,871
Fund Balance/Net Assets
Beginning of the year 4,709,009 (4,025,708) 683,301
End of the year $ 9,568,462 $ (6,879,290) $ 2,689,172
1 Some expenses reported in the statement of activities do not require the use of current financial resources
and, therefore, are not reported as expenditures in the governmental funds
Net increase in accrued interest related to last debt service payment 17,161
Net increase in compensated absences 15,057
Debt Payment (2,245,000)
Net decrease in current year amortization of bond cost 4,559
Current year depreciation 311,455
$ (1,896,768)
2 Proceeds from issuance of long term debt are not reported as revenues
Gain from capital assets 949,650
Proceeds from issuance of long term debt are not reported as revenues (5,700,000)
$ (4,750,350)
See the accompanying independent auditors' report
148 City of Fort Collins Comprehensive Annual Financial Report
DOWNTOWN DEVELOPMENT AUTHORITY
COMBINING BALANCE SHEET
DECEMBER 31, 2007
General Debt Service Total
ASSETS
Cash and cash equivalents $ 2,200,020 $ 789,615 $ 2,989,635
Investments 4,774,952 1,713,837 6,488,789
Receivables
Property taxes 539,567 4,810,006 5,349,573
Accounts 112,468 - 112,468
Interest 53,125 19,041 72,166
Due from other governments 2,561 - 2,561
Inventory of real property held for resale 135,464 - 135,464
Total Assets 7,818,157 7,332,499 15,150,656
LIABILITIES AND FUND BALANCES
Liabilities
Accounts payable, accruals, and other 131,608 - 131,608
Accrued wages payable 24,413 - 24,413
Unearned revenue 616,167 4,810,006 5,426,173
Total Liabilities 772,188 4,810,006 5,582,194
Fund Balances
Reserved for:
Encumbrances 5,449,729 - 5,449,729
Inventory of real property held for resale 135,464 - 135,464
Debt service - 2,522,493 2,522,493
Unreserved, undesignated, reported in:
Undesignated 1,460,776 - 1,460,776
Total Fund Balances 7,045,969 2,522,493 9,568,462
Total Liabilities and Fund Balances $ 7,818,157 $ 7,332,499 $ 15,150,656
See the accompanying independent auditor's report.
City of Fort Collins Comprehensive Annual Financial Report 149
DOWNTOWN DEVELOPMENT AUTHORITY
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ALL GOVERNMENTAL FUND TYPES
FOR THE YEAR ENDED DECEMBER 31, 2007
General Debt Service Total
REVENUES
Taxes $ 462,182 $ 3,682,570 $ 4,144,752
Licenses and permits 1,800 - 1,800
Fees and charges for services 141,637 - 141,637
Earnings on investments 442,746 207,112 649,858
Miscellaneous revenue 217,235 - 217,235
Total Revenues 1,265,600 3,889,682 5,155,282
EXPENDITURES
Current operating
Administrative 3,104,167 - 3,104,167
Capital outlay 11,204 - 11,204
Bond issue costs 32,500 - 32,500
Debt service
Principal - 2,245,000 2,245,000
Interest - 602,958 602,958
Total Expenditures 3,147,871 2,847,958 5,995,829
Excess (Deficiency) of Revenues
Over (Under) Expenditures (1,882,271) 1,041,724 (840,547)
OTHER FINANCING SOURCES
Proceeds from issuance of long term debt 5,700,000 - 5,700,000
Total Other Financing Sources 5,700,000 - 5,700,000
Net Change in Fund Balances 3,817,729 1,041,724 4,859,453
Fund Balances-January 1 3,228,240 1,480,769 4,709,009
Fund Balances-December 31 $ 7,045,969 $ 2,522,493 $ 9,568,462
See the accompanying independent auditor's report.
150 City of Fort Collins Comprehensive Annual Financial Report
DOWNTOWN DEVELOPMENT AUTHORITY
GENERAL FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET
FOR THE YEAR ENDED DECEMBER 31, 2007
Variance-
Positive
Actual Budget (Negative)
REVENUES
Taxes $ 462,182 $ 483,100 $ (20,918)
Earnings on investments 442,746 150,000 292,746
Fees and charges for services 143,437 42,700 100,737
Miscellaneous revenue 217,235 120,000 97,235
Total Revenues 1,265,600 795,800 469,800
EXPENDITURES
Administration 3,104,167 9,120,141 6,015,974
Capital outlay 11,204 105,000 93,796
Bond issue costs 32,500 82,500 50,000
Total Expenditures 3,147,871 9,307,641 6,159,770
Excess (Deficiency) of Revenues Over
(Under) Expenditures (1,882,271) (8,511,841) 6,629,570
OTHER FINANCING SOURCES
Proceeds from issuance of long term debt 5,700,000 5,700,000 -
Changes in Fund Balances 3,817,729 $ (2,811,841) $ 6,629,570
Net Assets--January 1 3,228,240
Net Assets--December 31 $ 7,045,969
See the accompanying independent auditor's report
City of Fort Collins Comprehensive Annual Financial Report 151
DOWNTOWN DEVELOPMENT AUTHORITY
DEBT SERVICE FUND
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES--
ACTUAL AND BUDGET
FOR THE YEAR ENDED DECEMBER 31, 2007
Variance-
Positive
Actual Budget (Negative)
REVENUES
Taxes $ 3,682,570 $ 3,682,571 $ (1)
Earnings on investments 207,112 178,413 28,699
Total Revenues 3,889,682 3,860,984 28,698
EXPENDITURES
Principal 2,245,000 2,245,000 -
Interest 602,958 761,854 158,896
Total Expenditures 2,847,958 3,006,854 158,896
Excess of Revenues Over Expenditures 1,041,724 $ 854,130 $ 187,594
Net Assets--January 1 1,480,769
Net Assets--December 31 $ 2,522,493
See the accompanying independent auditor's report
152 City of Fort Collins Comprehensive Annual Financial Report
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Statistical Section
STATISTICAL
SeCTION
City of Fort Collins Comprehensive Annual Financial Report 153
Statistical Section
This part of the City of Fort Collins comprehensive annual financial report presents detailed information as a
context for understanding what the information in the financial statements, note disclosures, and required
supplementary information says about the governments overall financial health.
Financial Trends - These schedules contain trend information to help the reader understand how the City of Fort
Collins’ financial performance and well-being have changed over time.
Net Assets by Component ................................................ Exh. A-1 ........................................................ 155
Changes in Net Assets ...................................................... Exh. A-2 ........................................................ 156
Fund Balances, Governmental Funds ............................... Exh. A-3 ........................................................ 157
Changes in Fund Balances, Governmental Funds ............ Exh. A-4 ........................................................ 158
Revenue Capacity - These schedules contain information to help the reader assess the City of Fort Collins’ most
significant local revenue sources - Sales and Use taxes.
Taxable Sales by Category ............................................... Exh. A-5 ........................................................ 159
Direct and Overlapping Sales Tax Rates .......................... Exh. A-6 ........................................................ 160
Sales Tax Revenue Taxpayers by Industry....................... Exh. A-7 ........................................................ 161
Debt Capacity - These schedules present information to help the reader assess the affordability of the City of Fort
Collins’ current levels of outstanding debt and its ability to issue additional debt in the future.
Ratios of Outstanding Debt by Type ................................ Exh. A-8 ........................................................ 162
Ratios of General Bonded Debt Outstanding ................... Exh. A-9 ........................................................ 163
Direct & Ourlapping Governmental Act. Debt................. Exh. A-10 ...................................................... 164
Legal Debt Margin Information........................................ Exh. A-11 ...................................................... 165
Pledged Revenue Coverage .............................................. Exh. A-12 ...................................................... 166
Demographic and Economic Information - These schedules offer demographics and economic indicators to help the
reader understand the environment within which the City of Fort Collins financial activities take place.
Demographic and Economic Statistics ............................. Exh. A-13 ...................................................... 167
Principal Employers.......................................................... Exh. A-14 ...................................................... 168
Full-time Equivalent City Emp. By Function/Program.... Exh. A-15 ...................................................... 169
Operating Information - These schedules contain service and infrastructure date to help the reader understand how
the information in City of Fort Collins financial report relates to the services government provides and the activities
it performs.
Operating Indicators by Function/Program ...................... Exh. A-16 ...................................................... 170
Capital Asset Statistics by Function/Program .................. Exh. A-17 ...................................................... 171
Sources: Unless otherwise noted, the information in these schedules is derived from the comprehensive annual
financial reports for the relevant year and/or city departments. The city implemented Statement 34 in 2001;
schedules presenting government-wide information include information begin in that year.
154 City of Fort Collins Comprehensive Annual Financial Report
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City of Fort Collins Comprehensive Annual Financial Report 155
Net Assets by Component Exhibit A-1
Last Seven Fiscal Years
(accrual basis of accounting)
Fiscal Year
2001 2002 2003 2004 2005 2006 2007
Governmental activities
Invested in capital assets, net of related debt $ 118,461,814 $ 194,619,518 $ 419,142,373 $ 392,474,961 $ 428,474,008 $ 481,712,612 $ 526,367,326
Restricted 46,405,827 47,125,993 42,592,683 72,289,200 77,744,835 58,068,181 37,074,350
Unrestricted 120,196,845 94,755,679 91,586,872 111,295,394 126,586,076 125,096,333 135,730,814
Total governmental activities net assets 285,064,486 336,501,190 553,321,928 576,059,555 632,804,919 664,877,126 699,172,490
Business-type activities
Invested in capital assets, net of related debt 261,470,300 291,048,424 327,793,571 340,553,716 358,079,436 376,929,367 398,949,427
Restricted 13,512,367 19,012,337 7,116,699 4,546,368 1,117,982 1,090,814 1,130,328
Unrestricted 110,192,514 109,482,223 109,284,221 123,724,366 141,009,608 161,846,962 175,272,980
Total business-type activities net assets 385,175,181 419,542,984 444,194,491 468,824,450 500,207,026 539,867,143 575,352,735
Primary government
Invested in capital assets, net of related debt 379,932,114 485,667,942 746,935,944 733,028,677 786,553,444 858,641,979 925,316,753
Restricted 59,918,194 66,138,330 49,709,382 76,835,568 78,862,817 59,158,995 38,204,678
Unrestricted 230,389,359 204,237,902 200,871,093 235,019,760 267,595,684 286,943,295 311,003,794
Total Primary government net assets $ 670,239,667 $ 756,044,174 $ 997,516,419 $ 1,044,884,005 $ 1,133,011,945 $ 1,204,744,269 $ 1,274,525,225
156 City of Fort Collins Comprehensive Annual Financial Report
Changes in Net Assets Exhibit A-2
Last Seven Fiscal Years
(accrual basis of accounting)
Expenses 2001 2002 2003 2004 2005 2006 2007
Governmental activities
General government $486 13,725,$585 20,393,$513 22,442,$657 12,809,$748 18,853,$414 26,470,$850 27,866,
Public safety- police and judicial 20,544,179 22,338,974 22,479,641 23,689,655 24,716,250 27,352,275 29,575,118
Public safety- fire service under IGA 11,696,381 12,619,828 12,682,604 12,625,297 14,515,155 16,560,945 15,505,340
Culture, parks, recreation & environment 33,560,789 25,219,524 22,699,165 31,412,377 34,028,772 32,003,627 33,150,455
Planning and development 1,110,178 11,112,799 9,746,908 11,729,941 5,751,845 5,524,775 7,592,991
Transportation 46,422,427 42,134,542 35,261,512 43,124,513 41,073,637 44,644,423 42,495,285
Library 3,638,486 3,937,569 3,759,222 3,644,539 3,790,496 3,728,929 3,899,771
Interest on long-term debt 2,297,705 1,967,610 1,236,604 2,091,589 3,172,312 3,100,357 3,112,906
Total governmental activities expenses 132,995,631 139,724,431 130,308,169 141,127,569 145,902,215 159,385,746 163,198,716
Business-type activities
Light & Power 62,480,541 65,180,204 67,103,368 69,013,750 73,898,381 73,792,864 80,479,078
Water 17,809,885 17,972,057 18,990,881 19,644,348 19,786,700 19,789,796 23,272,388
Wastewater 13,644,763 13,664,776 13,079,274 14,105,019 13,865,899 13,187,287 14,239,803
Storm drainage 5,215,756 6,498,658 6,826,042 8,237,107 8,186,997 7,492,902 9,132,090
Golf 2,166,112 2,302,690 2,348,717 2,297,149 2,528,846 2,469,437 2,696,698
Fort Collins Housing Authority 6,436,698 - - - - - -
Total business-type activities expenses 107,753,755 105,618,385 108,348,282 113,297,373 118,266,823 116,732,286 129,820,057
Total primary government expenses 240,749,386 245,342,816 238,656,451 254,424,941 264,169,038 276,118,031 293,018,773
Program revenues
Governmental activities
General government 3,476,188 3,927,357 3,309,335 4,298,730 4,297,168 4,705,594 4,889,707
Public safety- police and judicial 1,632,831 1,562,334 2,997,990 2,768,110 2,371,137 2,436,387 3,719,375
Public safety- fire service under IGA - - - - - - -
Culture, parks, recreation & environment 6,114,782 5,965,241 6,601,403 6,222,763 6,951,928 7,257,141 11,867,562
Planning and development 2,811,602 4,582,049 3,109,977 3,588,457 3,062,568 2,828,152 2,617,068
Transportation 9,970,837 8,252,211 8,548,508 9,216,297 8,805,105 9,295,808 9,293,000
Operating grants & contributions 9,701,817 11,715,273 10,194,032 10,453,738 23,639,767 10,683,640 10,988,074
Capital grants & contributions 23,640,849 45,930,841 25,086,437 28,275,058 46,701,699 31,529,551 30,931,625
Total governmental activities program revenues 57,348,906 81,935,306 59,847,682 64,823,153 95,829,372 68,736,272 74,306,411
Business-type activities
Light & Power 67,103,925 69,580,799 71,019,850 74,571,140 80,049,080 81,481,709 83,325,503
Water 21,556,073 22,565,427 23,614,722 22,798,497 24,544,153 26,365,645 25,243,152
Wastewater 13,314,475 13,394,679 12,993,746 13,414,864 13,908,038 14,235,334 15,114,423
Storm drainage 6,697,137 10,782,162 11,962,505 13,234,248 13,504,920 13,073,526 13,196,697
Golf 2,278,472 2,355,856 2,206,936 2,215,351 2,415,275 2,540,073 2,578,555
Fort Collins Housing Authority 1,021,128 - - - - - -
Operating grants & contributions 5,791,430 57,404 182,457 52,358 56,570 12,916 19,761
Capital grants & contributions 18,249,677 12,152,180 12,696,133 12,983,817 16,591,023 16,150,933 16,651,016
Total business-type activities program revenues 136,012,317 130,888,507 134,676,349 139,270,275 151,069,059 153,860,136 156,129,107
Total primary government program revenues 193,361,223 212,823,813 194,524,031 204,093,428 246,898,431 222,596,408 230,435,518
Net (expenses) revenue
Governmental activities (75,646,725) (57,789,125) (70,460,487) (76,304,416) (50,072,843) (90,649,474) (88,892,305)
Business-type activities 28,258,562 25,270,122 26,328,067 25,972,902 32,802,236 37,127,850 26,309,050
Total primary government net expenses (47,388,163) (32,519,003) (44,132,420) (50,331,513) (17,270,607) (53,521,624) (62,583,255)
General revenues and other changes in net assets
Govermental activities
Taxes:
Sales & use taxes 70,590,670 69,518,992 68,375,870 72,057,494 72,735,337 75,630,868 78,444,572
Property taxes 13,052,072 13,503,342 13,902,709 14,443,612 14,954,882 15,898,094 16,297,997
Occupational privilege taxes 2,103,813 2,093,644 2,340,669 2,252,672 2,227,562 2,423,657 2,358,803
Lodging tax 565,323 574,134 581,636 601,144 668,499 841,586 837,773
Intergovernmental not restricted to programs 520,833 526,581 504,296 527,020 493,989 486,121 540,947
Investment earnings 9,266,053 5,683,844 2,819,956 2,955,230 8,940,850 17,231,464 14,546,406
Miscellaneous 908,502 3,334,954 511,846 278,050 392,002 3,539,882 3,261,060
City of Fort Collins Comprehensive Annual Financial Report 157
Fund Balances, Governmental Funds Exhibit A-3
Last Ten Fiscal Years
(modified accrual basis of accounting)
Fiscal Year
1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
General Fund
Reserved $729 4,460,$879 5,978,$850 5,205,$958 4,347,$657 5,642,$ 16,957,345 $ 16,140,770 $ 18,014,876 $ 16,988,903 $ 15,071,952
Unreserved 16,460,066 19,931,031 24,958,732 30,465,865 25,992,377 19,839,363 18,014,222 19,381,924 26,015,681 33,186,165
Total general fund 20,920,795 25,909,910 30,164,582 34,813,823 31,635,034 36,796,708 34,154,992 37,396,800 43,004,584 48,258,117
All Other Governmental Funds
Reserved 26,867,298 27,246,844 28,334,088 28,209,832 20,048,514 12,572,821 9,931,468 59,724,336 46,909,568 23,227,977
Unreserved, reported in:
Special revenue funds 31,925,374 43,151,969 49,525,370 17,594,241 23,772,222 47,487,142 70,574,504 32,640,561 21,677,280 61,245,741
Capital projects funds 18,644,760 23,566,723 29,493,757 64,333,359 56,474,271 30,134,647 61,155,466 64,842,255 62,337,355 25,808,935
Total all other governmental funds $432 77,437,$536 93,965,$215 107,353,$432 110,137,$007 100,295,$ 90,194,610 $ 141,661,438 $ 157,207,152 $ 130,924,203 $ 110,282,653
158 City of Fort Collins Comprehensive Annual Financial Report
Changes in Fund Balances, Govermental Funds Exhibit A-4
Last Ten Fiscal Years
(modified accrual basis of accounting)
Fiscal Year
1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
Revenues
Taxes $273 68,828,$186 76,552,$964 80,502,$996 84,401,$283 84,888,$702 84,770,$414 88,866,$479 90,071,$042 93,994,$103 97,278,
Licences & permits 1,773,395 1,970,537 1,912,175 1,966,012 1,808,667 1,855,332 1,947,923 1,887,158 1,656,006 1,656,505
Intergovernmental 18,508,619 23,860,127 18,052,827 21,359,238 23,372,793 17,544,899 21,302,365 15,984,806 22,240,546 18,056,526
Fees and charges for services 28,408,917 29,121,175 28,972,969 31,459,431 28,912,284 30,394,985 33,975,149 31,381,641 31,681,498 39,946,708
Fines & forfeitures 1,180,399 1,125,615 1,196,768 1,224,963 1,306,502 1,844,921 2,287,262 1,928,786 2,266,293 2,824,814
Earnings on investments 4,306,837 4,561,377 8,359,859 8,372,837 4,798,315 2,291,160 2,421,546 5,381,259 8,514,736 8,798,119
Securities lending income - - - - 313,622 183,250 274,776 3,076,855 7,807,487 3,914,689
Miscellaneous revenue 4,166,521 7,165,990 11,790,435 12,858,265 18,600,135 12,862,838 14,175,373 30,199,006 15,200,919 12,645,509
Total Revenues 127,172,961 144,357,007 150,787,997 161,642,742 164,000,601 151,748,087 165,250,808 179,910,990 183,361,527 185,120,973
Expenditures
Executive, legislative and judicial 4,095,038 4,955,594 5,026,476 5,375,613 9,689,141 5,402,331 5,335,248 8,770,182 8,116,764 9,609,283
Facility operations 7,657,170 8,493,974 8,591,638 9,534,343 6,860,834 7,477,404 8,090,302 3,872,877 5,449,028 5,738,299
Culture, parks, recreation & environment 14,405,701 15,089,125 16,062,572 17,041,257 16,806,369 18,663,900 18,385,004 17,886,794 23,590,848 24,175,291
Library 2,860,332 3,026,123 3,506,937 3,638,486 3,937,569 3,759,222 3,644,539 3,790,496 3,728,929 3,899,771
Communications & technology - - - - - 3,642,143 3,572,708 3,751,322 4,022,650 3,765,399
Planning and development 3,728,713 4,204,878 4,534,122 5,068,231 7,586,270 4,961,304 27,198,181 11,383,196 7,089,060 8,192,604
Police protection 15,185,985 16,609,289 19,808,576 20,374,513 23,049,481 24,081,499 27,239,644 24,748,433 26,565,914 28,463,454
Transportation 18,054,662 18,893,093 25,193,213 29,130,620 26,212,368 24,601,620 33,388,348 32,029,219 32,048,536 31,695,280
Emergency recovery - - - - - 601,940 - - - -
Other 8,482,253 8,443,191 3,821,557 2,883,175 7,005,539 5,832,599 4,675,639 2,010,158 1,909,229 2,417,492
Securities lending
Interest - - - - 277,793 147,123 254,967 3,055,554 7,694,589 3,854,053
Agent fees - - - - 14,331 14,451 19,809 21,302 45,159 37,268
Intergovernmental
Fire protection 9,303,658 9,870,704 10,440,552 11,696,381 12,619,828 12,682,604 12,625,297 14,515,155 15,160,769 15,505,340
Flood recovery 1,135,710 1,246,529 370,480 - - - - - - -
Capital outlay 27,085,089 29,468,401 31,369,703 46,375,158 57,542,325 41,144,709 18,922,346 27,362,892 61,964,472 54,064,892
Debt service
Principal 3,890,000 3,780,000 4,640,000 4,350,000 4,362,753 2,854,188 3,090,384 3,776,820 4,243,495 2,987,796
Interest 1,811,639 2,709,034 2,343,332 1,893,719 1,780,982 1,515,432 1,273,528 4,262,363 3,267,299 3,128,024
Bond issurance costs 120,786 - - - - - - - - -
Total expenditures 117,816,736 126,789,935 135,709,158 157,361,496 177,745,583 157,382,469 167,715,944 161,236,763 204,896,741 197,534,246
Excess of revenues over (under)
expenditures 9,356,225 17,567,072 15,078,839 4,281,246 (13,744,982) (5,634,382) (2,465,136) 18,674,227 (21,535,214) (12,413,273)
Other Financing Sources (Uses)
Proceeds from issuance of long term debt 17,527,191 2,696,192 1,309,171 1,966,262 380,739 173,185 51,402,049 162,295 608,269 762,845
Transfers in 70,366,785 80,087,582 87,666,619 102,175,276 105,115,523 107,193,381 103,815,358 104,097,611 114,139,713 112,845,575
Transfers in from component unit 1,464,585 1,497,927 1,690,949 815,533 - - - - - -
Transfers out (69,926,186) (79,659,070) (87,487,133) (101,819,432) (104,770,509) (107,077,655) (103,927,159) (104,146,611) (113,887,933) (116,583,164)
Total other financing sources (uses) 19,432,375 4,622,631 3,179,606 3,137,639 725,753 288,911 51,290,248 113,295 860,049 (2,974,744)
Net change in fund balances $600 28,788,$703 22,189,$445 18,258,$885 7,418,$ (13,019,229)$ (5,345,471)$112 48,825,$522 18,787,$ (20,675,165)$ (15,388,017)
Debt service as a percentage of
noncapital expenditures 6.28% 6.67% 6.69% 4.34% 4.87% 3.64% 3.17% 6.67% 5.13% 4.35%
City of Fort Collins Comprehensive Annual Financial Report 159
Taxable Sales by Category Exhibit A-5
Last Ten Fiscal Years
in thousands of dollars Taxable Sales
Calendar Year
1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
Sales Tax Category
Miscellaneous Retail $ 201,283 $ 213,023 $ 227,760 $ 229,868 $ 223,347 $ 217,429 $ 218,425 $ 221,132 $ 225,023 $ 243,737
General Merchandise Stores 216,168 231,598 258,345 271,604 323,486 332,573 335,480 339,708 334,855 336,227
Apparel & Accessory Stores 78,270 89,734 98,045 83,690 84,281 84,749 94,914 96,150 87,785 84,994
Food Stores 185,587 203,234 216,476 300,241 264,516 273,672 281,450 298,150 319,965 348,228
Eating & Dining Places 169,336 181,606 199,016 214,198 221,738 227,153 238,346 248,914 255,924 272,889
Hotel & Other Lodging Places 22,574 22,848 24,838 23,473 23,599 23,201 25,009 27,199 31,716 34,258
Furniture & Home Furnishings 79,814 82,194 89,372 114,955 120,329 123,297 132,208 144,843 155,212 172,831
Building & Construction 88,925 121,114 127,690 125,830 119,727 113,000 121,801 128,455 129,668 132,825
Auto Dealers & Service Stations 101,391 115,162 135,046 151,298 160,089 155,064 149,347 143,264 141,449 155,473
Garages & Misc Repairs 37,322 40,432 42,814 17,042 17,230 17,664 18,215 17,526 18,546 21,741
Transportation & Public Utilities 139,966 153,307 166,947 192,492 185,596 191,610 203,274 196,728 201,430 212,697
Manuf & Wholesale Trade 75,668 73,721 88,046 80,470 67,721 70,493 74,503 82,145 174,376 98,230
Business Services 56,820 62,933 62,029 116,166 103,258 90,809 84,968 82,965 83,220 84,189
Personal Services 24,397 25,864 26,270 18,796 20,615 17,674 15,714 15,397 15,307 15,619
Services Industries 25,680 27,649 31,238 36,629 28,027 28,453 28,359 28,966 29,216 31,968
Amuse & Recreation Services 3,423 3,276 3,749 2,270 2,240 2,367 2,670 2,556 2,373 2,615
Total $ 1,506,624 $ 1,647,695 $ 1,797,681 $ 1,979,022 $ 1,965,799 $ 1,969,208 $ 2,024,683 $ 2,074,098 $ 2,206,065 $ 2,248,521
City direct sales tax rate* 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00%
* Food sales city direct sales tax rate is 2.25%
160 City of Fort Collins Comprehensive Annual Financial Report
Direct and Overlapping Sales Tax Rates Exhibit A-6
Last Ten Fiscal Years
Fiscal Year City Direct Rate* Larimer County Colorado State
1998 3.00% 0.65% 3.00%
1999 3.00% 0.75% 3.00%
2000 3.00% 0.80% 3.00%
2001 3.00% 0.80% 2.90%
2002 3.00% 0.80% 2.90%
2003 3.00% 0.80% 2.90%
2004 3.00% 0.80% 2.90%
2005 3.00% 0.80% 2.90%
2006 3.00% 0.80% 2.90%
2007 3.00% 0.80% 2.90%
* Food sales direct rate is 2.25%
City of Fort Collins Comprehensive Annual Financial Report 161
Sales Tax Revenue Taxpayers by Industry Exhibit A-7
Current Year and 2001
Fiscal Year 2007 Fiscal Year 2001
Number Percentage Tax Percentage Number Percentage Tax Percentage
of Filers of Total Liability of Total of Filers of Total Liability of Total
General Merchandise Stores 16 0.17% $ 9,426,402 14.87% 10 0.19% $ 7,805,470 13.73%
Food Stores 149 1.62% 7,989,126 12.60% 76 1.43% 7,484,159 13.16%
Eating & Dining Places 351 3.81% 7,513,532 11.85% 217 4.08% 6,311,514 11.10%
Miscellaneous Retail 1,350 14.67% 6,620,372 10.44% 726 13.66% 6,771,484 11.91%
Transportation & Public Utilities 287 3.12% 5,976,898 9.43% 160 3.01% 5,735,966 10.09%
Manufacturing & Wholesale Trade 727 7.90% 5,193,032 8.19% 580 10.91% 2,374,589 4.18%
Furniture & Home Furnishings 406 4.41% 4,609,636 7.27% 191 3.59% 3,394,319 5.97%
Auto Dealers & Service Stations 142 1.54% 4,203,752 6.63% 96 1.81% 4,475,588 7.87%
Building & Construction 1,913 20.79% 3,844,345 6.07% 948 17.84% 3,765,688 6.62%
Apparel & Accessory Stores 198 2.15% 2,581,570 4.07% 110 2.07% 2,464,059 4.33%
Business Services 2,092 22.73% 2,455,758 3.87% 1,246 23.44% 3,387,916 5.96%
Hotel & Other Lodging Places 19 0.21% 1,061,910 1.68% 10 0.19% 697,182 1.23%
Services Industries 503 5.47% 871,210 1.37% 324 6.10% 1,083,407 1.91%
Garages & Misc Repairs 220 2.39% 543,445 0.86% 134 2.52% 491,756 0.86%
Personal Services 727 7.90% 424,438 0.67% 421 7.92% 545,920 0.96%
Amusement & Recreation Services 103 1.12% 70,144 0.11% 66 1.24% 68,407 0.12%
Total 9,203 100.00% $ 63,385,570 100.00% 5,315 100.00% $ 56,857,422 100.00%
Note: Due to confidentiality issues, the names of the ten largest revenue payers are not available. The categories presented are intended
to provide alternative information regarding the sources of the city's revenue.
Data not available before 2001.
162 City of Fort Collins Comprehensive Annual Financial Report
Ratios of Outstanding Debt by Type
Last Ten Fiscal Years Exhibit A-8
Governmental Activities Business-Type Activities
General Certificates Assignment Special General Certificates Assignment Total Percentage
Fiscal Obligation Revenue of of Lease Assessment Capital Obligation Revenue of of Lease Capital Primary of Personal Per
Year Bonds Bonds Completion Payments Bonds Leases Bonds Bonds Completion Payments Leases Government Income Capita
1998 $ 2,635,000 $ 19,794,464 $ 17,210,000 $ - $ 80,000 $ 4,156,502 $ 31,020,000 $ 98,152,948 $ - $ - $ 919,917 $ 171,333,831 5.8% $ 1,525
1999 1,800,000 17,654,464 18,240,000 - - 4,354,028 28,225,000 118,585,608 2,255,000 - 1,466,032 190,780,132 6.0% 1,646
2000 920,000 15,289,464 17,565,000 - - 4,243,085 25,340,000 118,630,852 2,180,000 - 1,373,564 184,621,965 5.1% 1,556
2001 - 12,804,464 16,865,000 890,000 - 4,226,557 22,280,000 122,326,648 2,115,000 2,830,000 721,364 185,059,033 4.8% 1,510
2002 - 10,204,464 16,135,000 862,247 - 5,019,065 19,255,000 128,110,894 2,045,000 2,741,753 555,941 184,929,364 4.7% 1,486
2003 - 7,989,464 15,370,000 833,059 - 4,920,921 16,410,000 118,474,753 1,970,000 2,648,941 465,866 169,083,004 4.3% 1,348
2004 - 6,879,464 63,220,000 802,675 - 4,603,376 13,455,000 115,036,666 1,890,000 2,552,325 280,199 208,719,705 5.0% 1,645
2005 - 5,744,464 61,870,000 770,855 - 3,474,537 10,455,000 107,494,970 1,805,000 2,451,145 251,431 194,317,402 4.4% 1,522
2006 - 4,579,464 60,190,000 737,360 - 2,814,989 7,395,000 99,030,703 1,715,000 2,344,640 - 178,807,156 3.9% 1,381
2007 - 3,341,863 58,345,000 702,430 - 2,602,170 5,000,000 90,602,490 1,715,000 2,233,570 489,272 165,031,795 n/a n/a
City of Fort Collins Comprehensive Annual Financial Report 163
Ratios of General Bonded Debt Outstanding Exhibit A-9
Last Ten Fiscal Years
Percentage of
General Actual Taxable
Fiscal Obligation Value of Per
Year Bonds Property Capita
1998 $ 33,655,000 0.54% $ 300
1999 30,025,000 0.42% 259
2000 26,260,000 0.35% 221
2001 22,280,000 0.25% 182
2002 19,255,000 0.21% 155
2003 16,410,000 0.15% 131
2004 13,455,000 0.12% 106
2005 10,455,000 0.09% 82
2006 7,395,000 0.06% 57
2007 5,000,000 0.04% n/a
164 City of Fort Collins Comprehensive Annual Financial Report
Direct and Overlapping Governmental Activities Debt Exhibit A-10
As of December 31, 2007
Outstanding
General Percentage Share of Debt
Obligation Applicable Applicable
Debt 1 to the City 2 to the City
City of Fort Collins $ - 0.00% $ -
Overlapping Debt
Poudre R-1 School District 3 224,369,466 73.51% 164,941,740
Poudre Health Services District 3 - 72.06% -
Fort Collins Regional Library 3 - 74.87% -
224,369,466 164,941,740
Totals $ 224,369,466 $ 164,941,740
Estimated actual valuation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ . . . . . 13,. . 603,426,669
Assessed valuation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,713,170,788
Net general obligation direct debt . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . $ . . . . . . . -
Estimated overlapping debt . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
. . . . . . . . . . . . $ . . . . . . . 164,. . . 941,. . 740
Net direct and estimated overlapping debt . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ . . . . . 164,941,740
Ratio of net direct debt to estimated actual valuation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.0000
Ratio of net direct debt to assessed valuation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.0000
Net direct debt per capita 4. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ . . . -
Ratio of net direct and estimated overlapping debt to estimated actual valuation. . . . . . . . . . . . . . . . . . . . . . . . . . 0.0121
Ratio of net direct and estimated overlapping debt to assessed valuation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.0963
Net direct and estimated overlapping debt per capita 4. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ . . . . . 1,274
Estimated actual valuation per capita 4. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ . . . 105,037
Assessed valuation per capita 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ . . . . . . . . 13,228
1
2
3 Source: Governmental entity.
4 Based on 2006 Population estimate per Colorado State Demography Office --129,511
Determined by calculating ratio of assessed valuation of taxable property within the City to assessed valuation of the
overlapping unit. Source for assessed valuations: Larimer County Assessor's Office.
ASSESSED VALUATION, DEBT, AND DEBT RATIO
DECEMBER 31, 2007
Includes only general obligation debt supported by general property taxes less available debt service monies. Does not include
general obligation water bonds which have historically been supported by water revenue and not property taxes or general
obligation bonds supported by special assessments.
City of Fort Collins Comprehensive Annual Financial Report 165
Legal Debt Margin Information Exhibit A-11
Last Ten Fiscal Years
Assessed Valuation 1 $788 1,713,170,
Debt limit - 10% of assessed value 171,317,079
Amount of debt applicable to limit:
Total bonded debt (including special assessments) 108,634,353
Less:
Assets in debt service funds available
for payment of general obligation debt -
Other deductions allowed by law:
Downtown Development Authority tax increment bonds (9,690,000)
Sales and use tax revenue bonds (1,900,000)
General obligation water bonds (5,000,000)
Water revenue bonds (31,271,504)
Sewer revenue bonds (20,065,986)
Storm drainage revenue bonds (39,265,000)
Highway users tax revenue bonds (1,441,863)
Net amount of debt applicable to debt limit -
Legal debt margin
$079 171,317,
1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
Debt Limit $931 91,515,$072 175,085,$198 110,900,$557 124,863,$358 163,033,$233 136,426,$994 139,079,$485 149,791,$699 152,957,$079 171,317,
Total net debt applicable to limit 2,635,000 2,330,000 920,000 - - - - - - -
Legal debt margin $931 88,880,$072 172,755,$198 109,980,$557 124,863,$358 163,033,$233 136,426,$994 139,079,$485 149,791,$699 152,957,$079 171,317,
Total net debt applicable to the limit
as a percentage of debt limit 2.88% 1.33% 0.83% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%
1Source: Larimer County Assessor's Office.
166 City of Fort Collins Comprehensive Annual Financial Report
Pledged Revenue Coverage Exhibit A-12
Last Ten Fiscal Years
Net Revenue
Gross Available for
Revenues Expenses Debt Service Principal Interest Total Coverage
1998 $ 17,493,497 $ 7,529,753 $ 9,963,744 $ 2,567,645 $ 2,395,363 $ 4,963,008 2.01
1999 17,357,616 8,076,117 9,281,499 2,599,075 2,281,244 4,880,319 1.90
2000 18,009,290 8,285,684 9,723,606 2,791,950 2,161,579 4,953,529 1.96
2001 19,267,404 8,733,170 10,534,234 3,040,433 2,057,455 5,097,888 2.07
2002 17,497,700 9,021,741 8,475,959 3,160,550 2,373,596 5,534,146 1.53
2003 16,498,459 8,767,456 7,731,003 3,172,004 2,220,133 5,392,137 1.43
2004 16,978,586 9,461,490 7,517,096 1,505,051 1,950,594 3,455,645 2.18
2005 17,139,528 9,487,565 7,651,963 2,969,994 1,873,686 4,843,680 1.58
2006 21,391,437 9,383,282 12,008,155 3,747,678 1,587,594 5,335,272 2.25
2007 22,047,827 9,931,390 12,116,437 3,921,558 1,183,713 5,105,271 2.37
Net Revenue
Gross Available for
Revenues Expenses Debt Service Principal Interest Total Coverage
1998 $ 5,636,101 $ 1,728,041 $ 3,908,060 $ 470,000 $ 709,328 $ 1,179,328 3.31
1999 6,883,868 1,861,037 5,022,831 500,000 1,174,146 1,674,146 3.00
2000 7,756,140 2,198,073 5,558,067 1,175,000 1,636,668 2,811,668 1.98
2001 8,289,000 2,256,919 6,032,081 1,410,000 1,644,566 3,054,566 1.97
2002 11,583,376 2,620,981 8,962,395 1,655,000 2,336,571 3,991,571 2.25
2003 12,910,089 2,574,203 10,335,886 2,162,500 2,284,237 4,446,737 2.32
2004 13,762,079 3,781,929 9,980,150 2,247,500 2,194,153 4,441,653 2.25
2005 14,848,147 3,741,376 11,106,771 2,325,000 2,114,130 4,439,130 2.50
2006 15,396,336 3,778,808 11,617,528 2,405,000 2,029,698 4,434,698 2.62
2007 16,698,247 4,614,609 12,083,638 2,150,000 1,642,746 3,792,746 3.19
Net Revenue
Gross Available for
Revenues Expenses Debt Service Principal Interest Total Coverage
1998 $ 23,360,903 $ 8,906,404 $ 14,454,499 $ 211,631 $ 278,521 $ 490,152 29.49
1999 26,068,298 9,577,305 16,490,993 1,446,660 1,402,711 2,849,371 5.79
2000 29,043,170 10,554,011 18,489,159 1,652,806 1,831,861 3,484,667 5.31
2001 32,227,924 11,099,066 21,128,858 1,698,771 1,792,715 3,491,486 6.05
2002 29,504,446 11,886,658 17,617,788 1,760,204 1,736,749 3,496,953 5.04
2003 31,104,859 12,932,160 18,172,699 2,026,637 1,677,963 3,704,600 4.91
2004 32,139,886 12,962,054 19,177,832 2,161,982 1,732,555 3,894,537 4.92
2005 36,534,831 13,288,211 23,246,620 2,236,701 1,656,398 3,893,099 5.97
2006 35,522,009 13,927,204 21,594,805 2,311,590 1,578,021 3,889,611 5.55
2007 39,010,420 14,631,766 24,378,654 2,401,656 1,497,294 3,898,950 6.25
Net Revenue
Gross Available for
Revenues Expenses Debt Service Principal Interest Total Coverage
1998 $ 2,889,902 $ - $ 2,889,902 $ - $ 102,207 $ 102,207 28.27
1999 3,050,174 - 2,211,376 90,000 148,555 238,555 9.27
2000 3,182,852 - 2,148,377 220,000 134,248 354,248 6.06
2001 3,264,212 - 2,366,554 230,000 126,548 356,548 6.64
2002 3,282,312 - 2,366,397 235,000 118,268 353,268 6.70
2003 3,184,979 - 2,309,109 245,000 109,573 354,573 6.51
2004 3,461,882 - 3,461,882 255,000 100,263 355,263 9.74
2005 3,219,501 - 3,219,501 260,000 90,318 350,318 9.19
2006 3,640,804 - 3,640,804 275,000 79,918 354,918 10.26
2007 3,478,444 - 3,478,444 147,866 205,777 353,643 9.84
Net Revenue
Gross Available for
Revenues Expenses Debt Service Principal Interest Total Coverage
1998 $ 45,325,646 $ - $ 45,325,646 $ 1,970,000 $ 882,580 $ 2,852,580 15.89
1999 50,699,053 - 50,699,053 2,050,000 794,035 2,844,035 17.83
City of Fort Collins Comprehensive Annual Financial Report 167
Demographic and Economic Statistics Exhibit A-13
Last Ten Fiscal Years
Personal Per
Income Capita
Calendar (thousands Personal Unemployment
Year Population of dollars) Income Rate
2007 n/a n/a n/a 3.4%
2006 129,511 $9,968,698 $35,397 3.9%
2005 127,686 9,330,387 34,323 4.4%
2004 126,903 8,816,010 32,796 4.6%
2003 125,461 8,264,210 31,036 5.3%
2002 124,428 8,267,020 31,344 4.7%
2001 122,521 8,164,809 31,451 3.0%
2000 118,652 7,657,065 30,272 2.5%
1999 115,937 6,756,866 27,369 n/a
1998 112,335 6,282,235 26,093 n/a
Note: Information for personal income, per capita, and unemployment rate is based on
the Fort Collins/Loveland regional area. Information not available
prior to 2000 for unemployment rate.
Source: Personal income, and per capita personal income provided
by the Bureau of Economic Analysis.
Unemployment rate provided by the Colorado Department of Labor and Employment.
Population provided by the Colorado State Demography Office.
168 City of Fort Collins Comprehensive Annual Financial Report
Principal Employers Exhibit A-14
2006 and Nine Years Ago
Fiscal Year 2006 Fiscal Year 1997
Percentage Percentage
of Total City of Total City
Employer Employees Rank Employment Employees Rank Employment
Colorado State University 6,948 1 8.5% 6,694 1 8.2%
Hewlett Packard 3,182 2 3.9% 3,200 2 3.9%
Poudre Valley Health System 3,020 3 3.7% 1,800 4 2.2%
Poudre R-1 School District 3,014 4 3.7% 3,000 3 3.7%
Agilent Technologies 2,800 5 3.4% - - 0.0%
City of Fort Collins 1,864 6 2.3% 1,045 6 1.3%
Larimer County 1,467 7 1.8% 1,300 5 1.6%
Walmart Super Center 909 8 1.1% - - 0.0%
Advanced Energy 825 9 1.0% 600 10 0.7%
Anheuser- Busch 760 10 0.9% 721 8 0.9%
Teledyne Waterpik - - - 682 9 0.8%
Symbios Logic - - - 900 7 1.1%
Total 24,789 30.4% 19,942 24.4%
Source: City of Fort Collins Planning Department- most current information available is 2006.
City of Fort Collins Comprehensive Annual Financial Report 169
Full-time Equivalent City Employees by Function/ Program Exhibit A-15
Last Eight Fiscal Years
Function/ Program 2000 2001 2002 2003 2004 2005 2006 2007
General government
Budget 4.0 4.0 4.0 3.9 4.0 3.8 2.0 2.0
City Attorney's Office 9.9 9.3 9.7 10.3 10.2 9.8 10.6 10.9
City Clerk's Office 6.5 7.1 6.8 6.6 6.2 6.5 5.8 6.1
City Council 7.0 7.2 7.0 7.0 7.0 7.3 7.0 7.2
City Manager's Office 11.2 12.0 12.8 12.5 12.8 11.8 11.1 12.5
Comm & Public Involvement 6.0 6.8 8.0 8.4 9.2 8.9 7.5 7.6
Finance 33.5 33.8 35.0 34.7 34.4 31.0 31.0 33.9
Geographic Information Service 13.8 14.7 15.8 14.9 14.4 14.4 16.0 15.3
Human Resources 15.1 15.4 18.8 19.4 18.4 17.7 16.1 14.9
Information Technology 16.2 17.1 16.7 16.2 16.4 17.3 16.5 17.3
Operations Services 64.6 68.0 71.1 69.1 67.2 61.1 58.7 61.7
Public safety- police and judicial
Investigation 46.5 49.4 51.8 53.6 52.9 53.9 53.3 54.1
Municipal Court 7.2 7.4 7.3 6.9 7.0 7.0 6.6 6.3
Patrol 109.2 111.1 111.7 116.6 112.7 114.7 117.1 118.7
Police Admin 9.8 11.0 14.1 14.4 16.3 15.1 13.7 14.1
Police Information Services 47.7 51.7 56.3 58.9 62.8 61.1 57.5 56.2
Culture, parks, recreation & environment
CLRS- Admin 4.0 4.2 4.8 5.9 5.5 5.0 4.9 4.0
Cultural Services 12.1 13.5 13.9 13.7 13.1 13.6 13.6 13.4
Lincoln Center 13.4 12.6 11.8 12.9 12.0 11.1 10.5 11.7
Museum 5.4 6.2 6.6 6.2 7.4 7.5 8.0 9.2
Natural Resources 24.4 27.8 29.6 32.4 36.8 42.0 43.1 46.4
Parks & Recreation 232.8 233.1 225.9 229.6 232.2 230.9 226.9 222.8
Library 63.2 66.1 65.4 64.5 64.5 65.0 63.0 63.9
Planning and development
CPES 5.2 4.6 5.0 4.1 3.5 2.1 1.1 1.0
Advance Planning 16.1 16.1 16.0 16.1 16.1 15.3 13.4 12.8
Current Planning 8.9 8.9 9.0 8.2 7.7 6.6 7.4 9.5
Neighborhood & Building Services 24.0 25.3 30.2 38.2 25.9 28.1 30.1 28.4
Transportation
Engineering 57.8 59.6 60.6 46.5 37.7 34.6 32.5 27.8
Pavement Management - - - - 7.1 7.3 7.6 7.1
Streets 53.3 57.3 56.4 53.8 55.4 50.5 47.5 49.0
Traffic Operations 21.5 24.1 27.5 27.5 28.3 28.8 28.3 30.1
Transfort 77.6 81.1 91.5 93.0 90.7 82.1 73.2 75.1
Transportation Administration 3.1 2.8 3.0 2.9 2.2 2.2 2.0 1.0
Transportation Parking 22.0 18.1 20.0 21.2 22.8 21.1 20.1 19.9
Transportation Planning 6.7 6.9 7.6 7.6 5.2 5.4 5.5 6.1
Light & Power
Customer Service 43.8 43.2 49.7 53.0 52.6 52.2 51.0 51.0
Electric Field Services 75.3 70.7 69.1 68.0 67.3 60.8 58.0 57.1
Electric Plng & Eng Services 29.6 40.6 40.6 39.9 40.4 38.8 39.2 38.7
Water
Customer Service 28.3 28.0 32.2 34.3 34.0 33.8 33.0 33.0
Water Eng & Field Services 42.9 42.8 25.3 23.1 22.1 22.4 22.9 24.6
Water Resources & Treatment 39.8 40.5 39.6 39.8 39.8 39.8 38.2 38.6
Wastewater
Customer Service 13.0 12.9 14.8 15.8 15.6 15.5 15.1 15.1
Water Eng & Field Services 16.1 16.5 14.3 14.6 14.0 14.1 13.4 14.8
Water Resources & Treatment 52.7 45.7 43.7 43.0 43.4 44.3 41.8 40.0
Storm drainage
Customer Service 12.9 12.7 14.6 15.6 15.5 15.4 15.0 15.0
Water Eng & Field Services 22.8 21.8 22.9 24.2 23.6 22.3 22.5 21.2
Water Resources & Treatment 3.9 2.6 2.0 2.3 2.5 2.0 2.4 3.6
170 City of Fort Collins Comprehensive Annual Financial Report
Operating Indicators by Function/Program Exhibit A-16
Last Ten Fiscal Years
Fiscal Year
Function/Program 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
General Government
Job applications processed n/a n/a n/a n/a n/a n/a n/a n/a 12,823 8,907
Warrants issued n/a n/a n/a n/a n/a n/a n/a n/a 972 918
Camera Radar completed cases n/a n/a n/a n/a n/a n/a n/a n/a 9,761 19,026
Public Safety- police & judicial
Adult arrests 7,361 6,144 6,622 4,979 5,793 6,588 6,313 4,202 4,663 5,188
Juvenile arrests 1,901 1,620 1,515 1,437 1,508 1,293 1,306 914 963 958
Traffic violations 10,359 13,057 10,489 10,247 12,250 12,644 12,744 13,334 13,838 15,341
Public Safety, fire service under IGA
Number of fires per 1000 population 4.04 3.50 3.94 3.55 3.89 3.31 2.85 3.89 2.75 2.16
Total inspections per 1000 population 12.14 18.38 17.69 17.59 18.12 25.53 17.57 1.80 1.99 3.76
Average calls per week 165.70 177.56 191.00 206.20 100.00 100.00 99.99 99.99 99.99 246
Average response time 4:54 4:43 4:56 4:29 4:27 4:39 4:29 4:17 4:15 4:20
Culture, parks, recreation & environment
Epic Pool & Ice attendance 371,568 351,885 347,979 343,967 451,620 368,353 494,577 405,660 424,313 323,183
City Park Pool attendance 59,485 52,685 43,636 39,495 5,100 69,954 64,413 63,376 70,851 71,608
Mulberry Pool attendance 69,067 71,957 73,739 75,471 86,029 93,280 89,358 73,909 87,351 92,322
Senior Center Pool attendance 32,032 39,563 37,658 35,986 25,124 44,498 23,754 35,931 25,338 37,888
Youth Activity Center attendance 102,504 89,330 101,415 86,387 26,575 24,511 45,921 23,686 3,578 7,729
North Aztlan Center attendance 82,176 86,738 125,574 156,779 132,910 125,135 156,697 167,136 187,728 135,203
Farm attendance 87,381 98,628 103,226 96,209 90,749 99,367 91,204 91,139 60,215 62,161
Museum attendance n/a n/a n/a 25,934 19,860 21,337 34,057 40,107 40,607 32,000
Athletic field bookings n/a n/a n/a n/a n/a n/a n/a n/a 7,212 8,515
Planning and development
Construction permits- single family units 1,162 1,144 985 1,114 1,224 973 987 735 458 408
Construction permits- Multi family units 64 103 76 56 53 92 63 44 24 24
Transportation
Transfort
Passengers 1,348,541 1,431,779 1,545,672 1,616,328 1,477,735 1,504,683 1,418,102 1,481,472 1,479,241 1,641,509
Revenue Miles n/a n/a 801,125 793,358 705,886 729,639 703,081 686,030 640,677 774,545
Revenue Hours n/a n/a 60,000 59,747 56,616 57,165 58,516 57,782 54,665 66,647
Dial a Ride
Passengers n/a n/a 73,853 74,884 77,300 73,607 82,276 87,725 85,735 51,779
Revenue Miles n/a n/a 363,623 385,467 432,087 419,127 439,771 450,047 560,053 348,952
Revenue Hours n/a n/a 32,149 34,843 35,921 31,628 34,883 38,399 47,188 31,678
Light & Power
Customers n/a n/a n/a n/a n/a n/a n/a n/a 62,548 62,991
Electric Use- megawatt hours n/a n/a n/a n/a n/a n/a n/a n/a 1,404,784 1,442,861
Peak demand- megawatts n/a n/a n/a n/a n/a n/a n/a n/a 279 296
Interuption Index- minutes/year n/a n/a n/a n/a n/a n/a n/a n/a 25.63 18.00
Water
Customers n/a n/a n/a n/a n/a n/a n/a n/a 33,312 32,780
Treated water delivered- acre feet n/a n/a n/a n/a n/a n/a n/a n/a 29,133 27,192
Peak day water use- million gallons/day n/a n/a n/a n/a n/a n/a n/a n/a 49.0 47.5
Water main breaks n/a n/a n/a n/a n/a n/a n/a n/a 100 67
Wastewater
Customers n/a n/a n/a n/a n/a n/a n/a n/a 33,120 32,992
Average flow wastewater treated- million gallons/day n/a n/a n/a n/a n/a n/a n/a n/a 14,547 15,103
Recycled processed wastewater biosolids- dry tons n/a n/a n/a n/a n/a n/a n/a n/a 1,764 1,709
Industrial discharge permits n/a n/a n/a n/a n/a n/a n/a n/a 13 13
Storm Drainage
Customers n/a n/a n/a n/a n/a n/a n/a n/a 39,938 40,272
Golf
Rounds played 154,416 155,778 147,742 150,829 139,583 124,327 118,781 123,313 124,609 117,133
City of Fort Collins Comprehensive Annual Financial Report 171
Capital Asset Statistics by Function/Program Exhibit A-17
Last Ten Fiscal Years
Fiscal Year
Function/Program 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007
General Government
Administrative buildings 2 2 2 3 3 3 3 3 3 3
Municipal court 1 1 1 1 1 1 1 1 1 1
Public Safety- police & judicial
Police stations 1 1 1 1 1 1 1 1 1 1
Police cars n/a n/a n/a n/a n/a n/a n/a n/a 198 220
Public Safety, fire service under IGA
Fire stations 12 12 12 12 12 13 13 13 13 13
Culture, parks, recreation & evironmental
Swimming pools 4 4 4 4 4 4 4 4 4 4
Number of parks 37 37 38 39 40 41 42 43 43 45
Acreage of parks 562 562 586 592 616 722 728 735 735 841
Miles of hard surface trails 15.80 16.30 18.20 18.87 19.37 19.87 22.52 23.62 24.87 28.67
Planning and development
Land Bank progam- acres* n/a n/a n/a n/a n/a n/a n/a n/a 51 51
Land Bank progam- yield of future affordable housing units* n/a n/a n/a n/a n/a n/a n/a n/a 513 513
Transportation
Transit buses n/a n/a n/a n/a n/a n/a n/a n/a 23 27
Lane miles n/a n/a n/a n/a n/a n/a n/a n/a 1,756 1,793
Light & Power
Underground distribution lines- miles n/a n/a n/a n/a n/a n/a n/a n/a 766 788
Overhead distribution lines- miles n/a n/a n/a n/a n/a n/a n/a n/a 11 9
Distribution substations n/a n/a n/a n/a n/a n/a n/a n/a 5 5
Distribution transformers n/a n/a n/a n/a n/a n/a n/a n/a 7,525 7,982
Water
Water mains and distribution lines- miles of pipe n/a n/a n/a n/a n/a n/a n/a n/a 532 539
Hydrants n/a n/a n/a n/a n/a n/a n/a n/a 3,411 3,464
Plant capacity- millions gallons/day n/a n/a n/a n/a n/a n/a n/a n/a 87 87
Raw water storage- acre feet n/a n/a n/a n/a n/a n/a n/a n/a 6,500 7,161
Treated water storage- million gallons n/a n/a n/a n/a n/a n/a n/a n/a 36 36
Water rights owned- avg yield in acre feet/year n/a n/a n/a n/a n/a n/a n/a n/a 73,000 73,700
Wastewater
Trunk and collection- miles of pipe n/a n/a n/a n/a n/a n/a n/a n/a 434 435
Plants- treatment capacity n/a n/a n/a n/a n/a n/a n/a n/a 29 29
Biosolids facility- acres n/a n/a n/a n/a n/a n/a n/a n/a 26,200 26,000
Storm Drainage
City owned detention basins n/a n/a n/a n/a n/a n/a n/a n/a 90 90
City owned detention basins- acres n/a n/a n/a n/a n/a n/a n/a n/a 320 320
Regional drainage channels n/a n/a n/a n/a n/a n/a n/a n/a 63 67
Storm sewer manholes n/a n/a n/a n/a n/a n/a n/a n/a 2,676 2,765
Storm sewer pipeline- miles n/a n/a n/a n/a n/a n/a n/a n/a 175.0 190.2
Golf
Golf courses 3 3 3 3 3 3 3 3 3 3
City Park Nine- acres 56 56 56 56 56 56 56 56 56 56
Collindale- acres 167 167 167 167 167 167 167 167 167 167
SouthRidge-acres 128 128 128 128 128 128 128 128 128 128
* The Land Bank program acquires unimproved sites that are appropriate for affordable housing and holds them long- term (5 years minimum), which will ultimately be sold at discount to
non-profit
developers to build affordable housing projects.
172 City of Fort Collins Comprehensive Annual Financial Report
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Other Schedules
OTHeR
SCHeDULeS
City of Fort Collins Comprehensive Annual Financial Report 173
WASTEWATER UTILITY ENTERPRISE
SEWER REVENUE BONDS
SEC RULE 15c2-12 INFORMATION—CUSTOMER BASE, RATE STRUCTURE, AND ENFORCEMENT
(UNAUDITED)
Customer Base
The sewer (wastewater) system serves a customer base which has grown as follows in the years 1998 to 2007:
Years
(at December 31)
Wastewater Customers
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
29,994
30,748
32,235
32,564
32,905
32,865
32,637
32,757
33,038
32,992
Approximately 94% of the wastewater customers are residential, with the remaining 6% being industrial and commercial customers.
Currently, only two customers represent more than 3% of wastewater system revenues. In 2007, amounts paid by an industrial
customer comprised 12% of wastewater revenues ($1,655,935) with a total flow representing 6.5% of total system usage; and
amounts paid by the university comprised 4.4% of wastewater system revenues ($640,923), with a total usage representing 2.8 of total
system usage.
Rate Structure
User Charges. The following tables show the City’s monthly wastewater user charges in effect on January 1, 2008. Historically, user
charges increased 4.5% for residential rates and 7.5% for commercial rates in 1990, 8.6% for residential rates and 11.6% for
commercial rates in 1991, 6.0% per year for all customer classes in 1992, 1993, 1994, and 1995, 3.0% in 1996, 0% in 1997, 2.0% in
1998, 1999, 2000, 2001, 2002 and 2003, and 5% in 2004, 2005, 2006 and 2007. An increase of 12% has been projected for 2008.
The minimum winter quarter average consumption (WQA) is 3,000 gallons for single family customers (4,000 gallons for duplexes).
Monthly User Charges 1
Residential Metered 2 Wastewater Rates
Single family $10.21 plus $2.038 per 1,000 gallons of WQC
Duplex $13.63 plus $2.038 per 1,000 gallons of WQC
Multi-family $1.61 per living unit plus $2.038 per 1,000 gallons of WQC
Commercial Metered 3
¾” metered $6.88 plus $2.038 per 1,000 gallons
1" $15.71 plus $2.038 per 1,000 gallons
1 ½” $31.81 plus $2.038 per 1,000 gallons
2" $53.23 plus $2.038 per 1,000 gallons
3" $88.46 plus $2.038 per 1,000 gallons
4" $148.56 plus $2.038 per 1,000 gallons
6" $728.34 plus $2.038 per 1,000 gallons
8" $790.88 plus $2.038 per 1,000 gallons
Footnotes:
1 Excludes payments in lieu of taxes which are included as an additional 6% charge in the wastewater bill and remitted to the general
fund.
2 Average monthly amount of water billed during January, February, and March.
3 The usage charge of $2.038 multiplied by each increment of 1,000 gallons either (a) actually consumed or (b) based on WQC, if
174 City of Fort Collins Comprehensive Annual Financial Report
WASTEWATER UTILITY ENTERPRISE
SEWER REVENUE BONDS
SEC RULE 15c2-12 INFORMATION-CUSTOMER BASE, RATE STRUCTURE, AND ENFORCEMENT (UNAUDITED)
(Continued)
Plant Investment Fees. The plant investment fee is collected to pay for new development-related capital expansion costs of the City’s
wastewater treatment plants, collection system and sludge disposal facilities. This fee is paid at the time a building permit is issued.
Set forth in the following table is the current plant investment fee schedule which becomes effective on January 1, 2008. Revenue
generated by the plant investment fee generally is restricted for the purpose of capital improvements and expansion of the wastewater
treatment plant.
Plant Investment Fees
Residential:
Single family residence $3,194
Duplex and Multi-family residence (per
living unit)
$2,069
Non-Residential: (based on water connection size)
¾" $6,206
1" $16,361
1 ½” $28,396
2" $50,963
3" $121,484
4" Calculated on an individual basis, but not less
than the 3” charge
Other Fees and Charges. The City also charges additional fees and charges related to the provision of sewer service, including
wastewater strength surcharges, industrial wastewater discharge permit application and administration fees, wastewater monitoring
and sampling charges, laboratory analysis and support service charges, a private sewage disposal system permit and inspection fee,
and a building sewer permit and inspection fee.
Enforcement
The City’s collections of wastewater charges historically have been in excess of 99%. Unpaid charges constitute a perpetual lien on
the property to which service was delivered. Customers with delinquent active accounts are sent courtesy notices after 38 days.
Wastewater service is not discontinued due to delinquency because of public health regulations. However, the City may discontinue
water and electric service on delinquent accounts. Sometimes liens are filed while the delinquent customer is still an active account.
Customers who have moved from the address where service was supplied and left the account owing to the City are typically assigned
to a collection agency.
City of Fort Collins Comprehensive Annual Financial Report 175
WASTEWATER UTILITY ENTERPRISE
SEWER REVENUE BONDS
SEC RULE 15c2-12 INFORMATION—COLLECTIONS AND OPERATING HISTORY (UNAUDITED)
Collections
2003 2004 2005 2006 2007
User rates $ 12,221,993 $ 12,638,568 $ 13,169,469 $ 14,202,846 $ 14,640,171
Plant investment fees 2,429,509 897,658 2,208,885 3,707,540 4,319,720
Other fees & charges 792,373 2,267,082 872,669 2,055,187 513,865
Investment earnings 1,054,584 1,175,278 888,505 1,249,792 2,574,071
Total Sewer System Revenue $ 16,498,459 $ 16,978,586 $ 17,139,528 $ 21,215,365 $ 22,047,827
Operating History of the Wastewater Fund
The financial section of this Comprehensive Annual Financial Report contains financial statements of the City and the Wastewater Fund
as of and for the year ended December 31, 2007. The following sets forth the operating history of the Wastewater Fund for the years
ended December 31, 2003 through 2007:
2003 2004 2005 2006 2007
Operating Revenues
Charges for services $ 12,221,993 $ 12,638,568 $ 13,169,469 $ 14,202,846 $ 14,640,171
Operating Expenses
Administrative charge 1,438,443 1,560,904 1,493,622 1,278,792 1,308,645
Personal services 4,015,500 4,395,401 4,354,206 4,358,196 4,734,126
Contractual services 1,297,264 1,451,335 1,406,350 1,512,154 1,568,996
Commodities 666,296 722,160 765,488 833,385 813,869
Other 1,349,953 1,331,690 1,467,899 1,400,755 1,505,754
Depreciation 2,564,767 3,034,841 3,088,557 3,064,185 2,817,929
Total Operating Expenses 11,332,223 12,496,331 12,576,122 12,447,467 12,749,319
Operating Income 889,770 142,237 593,347 1,755,379 1,890,852
Nonoperating Revenues (Expenses)
Other revenue 746,568 748,556 707,544 - 432,558
Earnings on investments 1,054,584 1,175,278 888,505 1,249,792 2,574,071
Net increase (decrease) in
the fair value of investments (220,723) (266,013) (83,638) 176,072 -
Gain on sale of capital assets 19,855 1,489,319 7,043 2,019,312 39,216
Interest expense (2,359,274) (2,102,697) (1,783,853) (1,488,769) (2,118,030)
Other expenses (96,131) (96,131) (72,429) (44,858) (44,858)
Total Nonoperating
Revenues (Expenses) (855,121) 948,312 (336,828) 1,911,549 882,957
Income Before Contributions and
Transfers 34,649 1,090,549 256,519 3,666,928 2,773,809
Capital contributed 2,455,459 926,865 2,366,967 3,743,415 4,361,811
Operating transfers in 830,830 121,700 - - -
Operating transfers out (69,000) (69,000) - - -
Income After Contributions and
Transfers 3,217,289 979,565 2,366,967 3,743,415 4,361,811
Change in Net Assets 3,251,938 2,070,114 2,623,486 7,410,343 7,135,620
Fund Equity--Jan. 1 90,778,124 94,030,062 96,100,176 98,723,662 106,134,005
Fund Equity--Dec. 31 $ 94,030,062 $ 96,100,176 $ 98,723,662 $ 106,134,005 $ 113,269,625
The following table sets forth the historical Wastewater System user rates, plant investment fees, other fees and
charges, and investment earnings:
176 City of Fort Collins Comprehensive Annual Financial Report
WASTEWATER UTILITY ENTERPRISE
SEWER REVENUE BONDS
SEC RULE 15c2-12 INFORMATION—HISTORIC DEBT SERVICE COVERAGE (UNAUDITED)
Net
Gross Pledged
Revenues 2 Expenses 3
Revenues Principal Interest Total Coverage
1998 $ 17,493,497 $ 7,529,753 $ 9,963,744 $ 2,567,645 $ 2,395,363 $ 4,963,008 2.01
1999 17,357,616 8,076,117 9,281,499 2,599,075 2,281,244 4,880,319 1.90
2000 18,009,290 8,285,684 9,723,606 2,791,950 2,161,579 4,953,529 1.96
2001 19,267,404 8,733,170 10,534,234 3,040,433 2,057,455 5,097,888 2.07
2002 17,497,700 9,021,741 8,475,959 3,160,550 2,373,596 5,534,146 1.53
2003 16,498,459 8,767,456 7,731,003 3,172,004 2,220,133 5,392,137 1.43
2004 16,978,586 9,461,490 7,517,096 1,505,051 1,950,594 3,455,645 2.18
2005 17,139,528 9,487,565 7,651,963 2,969,994 1,873,686 4,843,680 1.58
2006 21,391,437 9,383,282 12,008,155 3,747,678 1,587,594 5,335,272 2.25
2007 22,047,827 9,931,390 12,116,437 3,921,558 1,183,713 5,105,271 2.37
1 Includes debt service on all bonds secured by sewer system revenues.
2 Includes all income of the Wastewater Fund pledged for the payment of bonds.
3 Operating expenses less depreciation.
SEWER REVENUE BONDS--COVERAGE OF DEBT SERVICE REQUIREMENTS BY
NET PLEDGED REVENUES OF THE SEWER SYSTEM--1998 TO 2007 1
Debt Service Requirements
The historic debt service coverage on obligations payable from net pledged revenues of the Wastewater Fund for the past
ten years is as follows:
City of Fort Collins Comprehensive Annual Financial Report 177
WASTEWATER UTILITY ENTERPRISE
SEWER REVENUE BONDS
SEC RULE 15C2-12 INFORMATION – BALANCES ON DEPOSIT (UNAUDITED)
The sewer revenue bonds are secured by an irrevocable pledge of a first lien upon net pledged revenues of the Wastewater Fund. The
sewer revenue bond ordinances provide that all gross revenues pledged to the sewer revenue bonds will be set aside and credited to the
Wastewater Fund and that such revenues will be deposited and applied in the following order of priority:
Operation and Maintenance Fund. As a first charge on the Wastewater Fund, the bond ordinances require the City to credit from time
to time to the operation and maintenance fund revenue sufficient to pay the necessary and reasonable current expenses of operating,
maintaining, and repairing the sewer system. The balance on deposit in this fund as of December 31, 2007 is $815,285.
Principal and Interest Fund. The bond ordinances require the City, after making the payments required above, to apply monthly to the
principal and interest fund moneys sufficient in the aggregate to pay the principal of and interest on the sewer revenue bonds. The
balance on deposit in this fund as of December 31, 2007 is $0.
Debt Service Reserve Fund. The bond ordinances require the City to retain certain amounts in the debt service reserve fund for the
Series 1995, and Series 2000 Sewer Revenue Bonds. However, concurrently with the issuance of the 2000 Sewer Revenue Bonds, a
debt service reserve insurance policy was issued that unconditionally guarantees the payment of principal and interest on these bonds
(up to and including the amount provided for in the reserve policy) in the event of nonpayment by the City. Accordingly, the amount
on deposit in the Debt Service Reserve Fund as of December 31, 2007 was $410,243.
Wastewater Utility Capital Reserve. The City has covenanted, so long as any debt service requirements of the City’s Sewer Revenue
Bond, Series 1992, remain unpaid, to maintain in the Wastewater Utility Capital Reserve and amount equal to 17% of the necessary
and reasonable operation and maintenance expenses budgeted for the then-current fiscal year. These amounts are to be maintained as
a continuing reserve for payment of costs of necessary capital improvements to the sewer system. The balance on deposit in this
reserve was $22,212,874 as of December 31, 2007. This amount satisfies the 17% requirement indicated above for fiscal year
2007.
In addition to the above, the bond ordinance established the following funds:
Excess Investment Earnings Fund. This fund was established for the purpose of accumulating and paying rebatable arbitrage earnings
to the federal government under Sections 103 and 148(f)(2) of the Internal Revenue Code. As of December 31, 2007 the balance on
deposit in this fund was $0.
Sewer Fund. The Sewer Fund, referred to in the bond ordinance, was established by Ordinance No. 67, 1974. Complete financial
statements, which reflect all deposits and balances of this fund (herein referred to as the “Wastewater Fund”) are included in the
financial section of this report.
178 City of Fort Collins Comprehensive Annual Financial Report
STORM DRAINAGE UTILITY ENTERPRISE
STORM DRAINAGE REVENUE BONDS
SEC RULE 15c2-12 INFORMATION—FEE REVENUES AND OPERATING HISTORY (UNAUDITED)
Collections
2003 2004 2005 2006 2007
Storm drainage utility fee (operation
& maintenance component) $ 11,197,803 $ 12,534,750 $ 12,809,579 $ 13,073,526 $ 13,173,911
Storm drainage utility fee (capital
component) - - - - -
Storm drainage basin fees 764,455 709,420 665,252 464,531 670,674
Total Storm Drainage Fund
Fee Revenues $ 11,962,258 $ 13,244,170 $ 13,474,831 $ 13,538,057 $ 13,844,585
Operating History of the Storm Drainage Fund
2003 2004 2005 2006 2007
Operating Revenues
Charges for services $ 11,197,803 $ 12,534,750 $ 12,809,579 $ 13,073,526 $ 13,173,911
Operating Expenses
Administrative charge 967,073 1,211,509 1,187,595 1,246,408 1,311,235
Personal services 939,727 1,775,207 1,709,932 1,750,595 1,830,103
Contractual services 334,595 443,323 451,921 328,098 997,658
Commodities 43,129 65,378 80,250 93,920 111,465
Other 289,679 286,512 311,678 359,787 364,148
Depreciation 1,915,677 2,089,391 2,131,167 1,613,837 2,260,571
Total Operating Expenses 4,489,880 5,871,320 5,872,543 5,392,645 6,875,180
Operating Income 6,707,923 6,663,430 6,937,036 7,680,881 6,298,731
Nonoperating Revenues (Expenses)
Other revenue 11,720 1,940 30,370 - 50,021
Earnings on investments 936,111 509,975 720,667 823,768 1,568,039
Net increase (decrease) in
the fair value of investments (76,070) (62,152) (106,970) 54,995 -
Intergovernmental - - 622,279 - 1,235,602
Gain on sale of capital assets - 5,994 - - (96,405)
Interest expense (2,303,749) (2,223,165) (2,130,030) (2,044,372) (2,083,302)
Other expenses (52,103) (52,103) (52,101) (52,373) (32,066)
Total Nonoperating
Revenues (Expenses) (1,484,091) (1,819,511) (915,785) (1,217,982) 641,889
Income Before Contributions and
Transfers 5,223,832 4,843,919 6,021,251 6,462,899 6,940,620
Capital contributions 764,455 709,420 665,252 1,444,047 670,674
Operating transfers In 104,020 - - - -
Operating transfers out (57,500) (57,500) - (112,000) (115,940)
Income After Contributions and
Transfers 810,975 651,920 665,252 1,332,047 554,734
Change in Net Assets 6,034,807 5,495,839 6,686,503 7,794,946 7,495,354
Net Assets--Jan. 1 35,174,670 41,209,477 46,705,316 53,391,819 61,186,765
Net Assets--December 31 $ 41,209,477 $ 46,705,316 $ 53,391,819 $ 61,186,765 $ 68,682,119
The financial section of this Comprehensive Annual Financial Report contains financial statements of the City and
the Storm Drainage Fund as of and for the year ended December 31, 2007. The following sets forth the operating
history of the Storm Drainage Fund for the years ended December 31, 2003 through 2007:
The following table sets forth the historical Storm Drainage Fund fee revenues for the years 2003 through 2007.
City of Fort Collins Comprehensive Annual Financial Report 179
STORM DRAINAGE UTILITY ENTERPRISE
STORM DRAINAGE REVENUE BONDS
SEC RULE 15C2-12 INFORMATION (UNAUDITED)
Storm Drainage Utility Fee Structure
Storm drainage utility fees are imposed on every developed lot and parcel of land within the City and are payable monthly. The storm
drainage utility fee is designed to pay for the operation and maintenance of the City’s storm drainage system. The fee also pays for
the design, right-of-way acquisition, and construction or reconstruction of storm drainage facilities through out the City. The monthly
storm drainage utility fee in effect at the end of 2007 for a residential lot of approximately 8,600 square feet is $14.26 and $28.52 for a
commercial lot of approximately 8,600 square feet. These amounts do not increase in 2008.
Storm drainage utility fees are billed through the City’s consolidated monthly billing system, permitting the City to include storm
drainage utility fees on a customer’s regular utility bill. If a customer fails to pay any utility fees, the City has the authority to
terminate utility service to the delinquent customer and to place a lien on the property for which the fees are delinquent.
Approximately 81.3 of storm drainage utility billing accounts and 45.5 of storm drainage revenues are attributable to single family
residential customers. 17.2% of accounts and 53.8% of storm drainage revenues are attributable to multi-family residential,
commercial and industrial customers. Two customers of the storm drainage utility contribute 2% or more of the storm drainage
utility’s total monthly revenue - the school district with 4.4% of total revenue and the City municipal government at 2.6%.
Historically, the City collects over 99% of its billed monthly utility charges for storm drainage.
Historic Net Pledged Revenues
Based on the 2007 revenues and expenditures of the Storm Drainage Fund and using the combined actual debt service requirements of
the City’s outstanding storm drainage utility revenue bonds and the debt service requirements of the bonds, the net pledged revenues
available for debt service in 2007 would have covered the combined average annual debt service requirements of the bonds
approximately 3.38 times and would have covered the combined maximum debt service of the bonds approximately 3.34 times.
Changes in Storm Drainage Fees
Since 1987, the City has increased the overall storm drainage fees fifteen times. The average increase in the total fees is as follows:
Year Increase Year Increase Year Increase
1990 19% 1996 0% 2002 45%
1991 16 1997 1 2003 10
1992 21 1998 2 2004 10
1993 8 1999 0 2005 0
1994 7 2000 10 2006 0
1995 21 2001 9 2007 0
No increase is planned for 2008.
Prior to November of 1998, storm drainage utility fees varied by basin depending on drainage problems and improvements needed in
each basin. Beginning in November of 1998, the fees were assessed uniformly on a city-wide basis and improvements are to be
prioritized and constructed based on the needs of the City as a whole.
180 City of Fort Collins Comprehensive Annual Financial Report
WATER UTILITY ENTERPRISE
WATER REVENUE BONDS
SEC RULE 15c2-12 INFORMATION – CUSTOMER BASE, RATE STRUCTURE, AND ENFORCEMENT (UNAUDITED)
Customer Base
The water system serves a customer base that has grown as follows in the years 1998-2007:
Years Total Water
(at December 31) Accounts
1998 29,525
1999 30,387
2000 31,758
2001 32,101
2002 32,273
2003 32,726
2004 32,889
2005 33,057
2006 32,944
2007 32,780
The City classifies its water customers according to several classifications. A breakdown of the accounts based on such classifications
being served as of December 31, 2007 is set forth below:
Classification Number of Accounts Accounts
Residential 30,469 92.95%
Commercial & Industrial 2,311 7.05%
Total 32,780 100.00%
The following table sets forth the ten largest customers of the water system, which in the aggregate accounted for approximately
27.4% of total water usage during 2007:
Customer
Water Usage
Millions of
Gallons
Percent of
Total Water
Use
Industrial 1400.98 17.1%
University 309.09 3.8%
City Government 133.99 1.6%
Industrial 192.68 2.4%
School District 92.86 1.1%
Water District 166.13 2.0%
Industrial 47.06 .6%
Industrial 20.94 .3%
Hospital 30.90 .4%
County Government 23.18 .3%
Water Rate Structure
The City’s water rate structure is administered in substantial compliance with the “cost of service” method endorsed by the American
Water Works Association. Under the cost of service method, an effort is made to establish equitable charges which reflect the true
costs of serving various classes of customers.
The 2003 water rates were structured to provide stronger price incentives for conservation. A 5-tier rate structure was adopted for
single family residential and duplex customers and seasonal rates were adopted for commercial and multi-family residential
customers. The 2003 water rates were established to recover a 6% increase in revenue after an assumed 15% system wide reduction in
water use. In 2004, City Council directed staff to develop a 4-tier rate that would reduce the severity of the cost impacts for larger,
single-family, and duplex residential users due to the 2003 5-tier rates. The 4-tier rate structure was adopted by City Council and went
into effect May 1, 2004 and remains in effect through April 30, 2006. On March 21, 2006 City Council passed a 3-tier water rate for
single family and duplex customers that will be in effect for billings after May 1, 2006 and remain in effect January 1, 2008
(Continued)
City of Fort Collins Comprehensive Annual Financial Report 181
WATER UTILITY ENTERPRISE
WATER REVENUE BONDS
SEC RULE 15c2-12 INFORMATION – CUSTOMER BASE, RATE STRUCTURE, AND ENFORCEMENT (UNAUDITED)
(Continued)
The following water rates remain in effect at January 1, 2008. In addition to these rates, a 6% payment in lieu of taxes (“PILOT”) is
added to all charges and paid to the City’s general fund.
Monthly User Charges Effective January 1, 2008
(1) Residential customers with one dwelling unit.
a. Base Charges. Residential customers with one dwelling unit shall pay a base monthly charge of $12.72.
b. Quantity Charges. Residential customers with one dwelling units shall pay a monthly quantity charge as follows:
For the first 7,000 gallons used per month at $1.97 per 1,000 gallons
For the next 6,000 gallons used per month at $2.26 per 1,000 gallon
For all additional gallons used per month at $2.60 per 1,000 gallons.
(2) Residential customers with two dwelling units.
a. Base Charges. Residential customers with two dwelling units shall pay a base monthly charge of $15.51.
b. Quantity Charges. Residential customers with two dwelling units shall pay a monthly quantity charge as follows:
For the next 9,000 gallons used per month at $1.97 per 1,000 gallons
For the next 4,000 gallons used per month at $2.26 per 1,000 gallons
For all additional gallons used per month at $2.60 per 1,000 gallons.
Metered Rates – Nonresidential
(1) Base Charges. Nonresidential customers shall pay a base monthly charge based on meter size:
Meter Size (inches) Monthly Base Charge
¾ $ 11.62
1 32.41
1 ½ 88.14
2 132.83
3 202.60
4 318.05
6 616.98
8 1089.97
(2) Quantity Charges. Nonresidential customers shall pay a monthly quantity charge of $1.62 per 1,000 gallons used in the winter
season months of November through April. They shall pay a monthly quantity charge of $2.02 per 1,000 gallons used in the summer
season months of May through October.
(3) Charges for Excess Use. Monthly water use in excess of the amounts specified in the following table shall be billed at $2.32 per
1,000 gallons used in the winter season months of November through April. Monthly water use in excess of the amounts specified
below shall be billed at $2.90 per 1,000 gallons used in the summer season months of May through October.
Meter Size inches)
Specified Amount
(gallons per month)
¾ 100,000
1 300,000
1 ½ 625,000
2 1,200,000
3 1,400,000
4 2,500,000
(continued)
182 City of Fort Collins Comprehensive Annual Financial Report
WATER UTILITY ENTERPRISE
WATER REVENUE BONDS
SEC RULE 15c2-12 INFORMATION – CUSTOMER BASE, RATE STRUCTURE, AND ENFORCEMENT (UNAUDITED)
(Continued)
Plant Investment Fees. The plant investment fee is a one-time charge assessed for the purpose of recovering the pro-rata portion of the
capital cost of the water system attributable to the customer. The PILOT referred to previously is not assessed on plant investment
fees. Proceeds of the plant investment fee are accounted for as contributed capital of the water system, rather than as operating
revenue. The City Council adopted the following plant investment fee schedule, which took effect January 1, 2008.
Residential
Dwelling Category Plant Investment Fee
Single Family $730 plus $0.36 per square foot of lot area
Duplex, Multi-Family, Mobile Home $490 per living unit plus $0.27 per square foot of lot area
Nonresidential
Water Meter Size
(inches)
Plant Investment Fee
¾ $6,970
1 $20,590
1½ $41,510
2 $65,330
3 $142,540
4” and above Based on peak day demand
Enforcement
The City’s collections of water charges historically have been in excess of 99%. Unpaid water charges constitute a perpetual lien on
the property to which service was delivered. Customers with delinquent active accounts are sent delinquency notices after 38 days.
The City may discontinue water and electric service on delinquent accounts. Sometimes liens are filed while the delinquent customer
is still an active account. Customers who have moved from the address where service was supplied and left the account owing to the
City are typically assigned to a collection agency.
Contributed Capital
Several significant categories of receipts of the Water Fund which are pledged to the payment of the Bonds are accounted for as
contributed capital rather than as revenue. The following table presents receipts of major categories of contributed capital by the
Water Fund for the past ten years:
Year
Contributions
In Aid of
Construction
Cash
Contributed In
Lieu of Water
Rights
Anheuser- Busch
Water Rights
Payments
Plant Investment
Fees
Anheuser-Busch
Master Agreement
Payments
Anheuser-Busch
Capacity Payments
Total
Contributed
Capital
1998 $ 63,502 $ 515,881 $ 195,789 $ 2,831,789 $ 422,605 $ 111,825 $ 4,141,391
1999 155,575 892,775 207,605 3,564,144 441,238 134,778 5,396,115
2000 749,706 1,937,344 222,553 2,684,818 467,579 144,482 6,206,482
2001 161,750 3,794,884 238,577 3,573,347 491,082 154,885 8,414,525
2002 100,014 2,248,992 255,754 2,754,287 524,211 166,037 6,049,295
2003 61,629 2,939,693 177,991 3,123,052 655,526 274,169 7,232,060
City of Fort Collins Comprehensive Annual Financial Report 183
WATER UTILITY ENTERPRISE
WATER REVENUE BONDS
SEC RULE 15c2-12 INFORMATION – COLLECTIONS AND OPERATING HISTORY (UNAUDITED)
Collections
2003 2004 2005 2006 2007
User charges for services $ 22,307,739 $ 21,525,416 $ 22,945,856 $ 26,378,921 $ 24,820,432
Plant investment fees 2,729,645 3,067,154 2,813,765 2,393,080 2,631,513
Other fees & charges 5,107,257 6,678,029 9,067,665 4,175,007 5,518,237
Investment earnings 960,218 869,287 1,707,545 2,288,629 3,714,183
Total Water System Revenue $ 31,104,859 $ 32,139,886 $ 36,534,831 $ 35,235,637 $ 36,684,365
Operating History of the Water Fund
2003 2004 2005 2006 2007
Operating Revenues
Charges for services $ 22,307,739 $ 21,525,416 $ 22,945,856 $ 26,378,921 $ 24,820,432
Operating Expenses
Administrative charge 2,359,878 2,478,211 2,528,019 2,835,917 2,901,642
Personal services 4,350,621 5,047,626 4,848,778 4,883,709 5,211,431
Contractual services 3,085,480 2,376,937 2,388,507 2,721,466 2,745,034
Commodities 941,356 968,092 1,224,960 1,327,094 1,431,683
Other 2,194,825 2,091,188 2,297,947 2,159,018 2,341,976
Depreciation 4,996,089 5,374,100 5,423,858 5,230,243 5,600,347
Total Operating Expense 17,928,249 18,336,154 18,712,069 19,157,447 20,232,113
Operating Income 4,379,490 3,189,262 4,233,787 7,221,474 4,588,319
Nonoperating Revenues (Expenses)
Other revenue 598,670 597,024 795,590 - 429,613
Earnings on investments 960,218 869,287 1,707,545 2,288,629 3,714,183
Net increase (decrease) in
the fair value of investments (244,015) (309,008) (497,829) 285,873 -
Gain(loss)on fixed asset sales 6,172 8,177 4,734 8,864 (26,158)
Interest expense (2,301,472) (2,277,744) (2,006,014) (1,853,961) (1,712,813)
Other expenses (46,751) (46,751) (46,750) (46,751) (46,751)
Total Nonoperating
Revenues (Expenses) (1,027,178) (1,159,015) (42,724) 682,654 2,358,074
Income Before Contributions and
Transfers 3,352,312 2,030,247 4,191,063 7,904,128 6,946,393
Capital contributions 7,232,060 9,139,982 11,081,106 6,559,722 7,720,137
Operating transfers out - (69,000) (69,000) - - -
Income After Contributions and
Transfers 7,163,060 9,070,982 11,081,106 6,559,722 7,720,137
Change in Net Assets 10,515,372 11,101,229 15,272,169 14,463,850 14,666,530
Net Assets--Jan. 1 161,123,120 171,638,492 182,739,721 198,011,890 212,475,740
Net Assets--Dec. 31 $ 171,638,492 $ 182,739,721 $ 198,011,890 $ 212,475,740 $ 227,142,270
The following table sets forth the historical Water System user rates, plant investment fees, other fees and charges,
and investment earnings:
The financial section of this Comprehensive Annual Financial Report contains financial statements of the City and
the Water Fund as of and for the year ended December 31, 2007. The following sets forth the operating history of
the Water Fund for the years ended December 31, 2003 through 2007:
184 City of Fort Collins Comprehensive Annual Financial Report
WATER UTILITY ENTERPRISE
WATER REVENUE BONDS
SEC RULE 15c2-12 INFORMATION – DEBT STRUCTURE OF THE WATER FUND (UNAUDITED)
As of December 31, 2007, the Net Revenue of the Water Fund serviced the following obligations:
Originally Outstanding
Name of Issue Authorized Principal
General Obligation Water Bonds, Series 2002A $ 19,255,000 $ 5,000,000
Water Revenue Bond, Series 1997 10,125,300 5,700,291
Water Revenue Refunding and Improvement Bonds, Series 1998 31,580,000 20,170,000
Water Revenue Bond, Series 1999 4,998,395 3,200,822
Water Subordinate, 2004 2,476,446 2,200,391
Total $ 68,435,141 $ 36,271,504
City of Fort Collins Comprehensive Annual Financial Report 185
Total Incremental Tax Increment
Tax Budget Assessed Base Incremental Ad Valorem Revenues Collection
Year Year Valuation Valuation 1 Valuation 2 Taxes Levied Collected Rate 4
1998 1999 $ 48,220,070 $ 30,180,790 $ 18,039,280 $ 1,647,606 $ 1,614,654 98.00 %
1999 2000 56,193,740 34,920,370 21,273,370 1,834,913 1,800,013 98.10
2000 2001 55,704,050 3 34,895,490 20,808,560 1,920,014 1,881,614 98.00
2001 2002 62,451,390 39,107,570 23,343,820 2,111,614 2,074,822 98.26
2002 2003 68,941,400 38,944,210 29,997,190 2,702,941 2,643,643 97.81
2003 2004 70,187,630 39,450,390 30,737,240 2,792,356 2,736,509 98.00
2004 2005 69,859,780 39,450,390 30,409,390 2,764,553 2,711,952 98.10
2005 2006 82,035,250 43,975,233 38,060,017 3,390,246 3,320,341 97.94
2006 2007 84,831,050 43,975,233 40,855,817 3,757,725 2,589,215 68.90
2007 2008 107,913,360 54,165,745 53,747,615 4,810,006 2,800,943 58.23 5
1 The base valuation is recalculated by the County Assessor during any year in which there is a general reassessment of property.
2 Taxes generated from the incremental valuation are collected in the following year.
3 Decrease in assessed valuation primarily attributable to one business relocating outside of District.
4
5 Collections through April 30, 2008.
Source: County Assessor's Office
DOWNTOWN DEVELOPMENT AUTHORITY
TAX INCREMENT REVENUE REFUNDING BONDS
The County Treasurer generally allocates delinquencies to levies made against the base valuation rather than the incremental valuation
and remits to the City for deposit in the Tax Increment Fund 100% of the taxes levied less the County Treasurer's 2% collection fee.
Base Valuation Collection Rate
Tax Increment
Revenues Principal Interest Total Coverage 1
1998 $ 1,303,769 $ 830,000 $ 634,585 $ 1,464,585 0.89 %
1999 1,614,654 650,000 589,048 1,239,048 1.30
2000 1,800,013 720,000 548,820 1,268,820 1.42
2001 1,881,614 640,000 450,450 1,090,450 1.73
2002 2,044,871 1,005,000 336,160 1,341,160 1.52
2003 2,438,656 1,080,000 292,800 1,372,800 1.78
2004 2,534,305 1,150,000 364,137 1,514,137 1.67
2005 2,489,567 1,260,000 421,593 1,681,593 1.48
2006 3,320,341 - 247,430 247,430 13.42
2007 3,682,571 1,085,000 485,539 1,570,539 2.34
1 The Bonds are also secured by a contingent pledge of the Sales and Use Tax Revenues.
CALCULATION OF THE RATIO OF PLEDGED
REVENUES TO DEBT SERVICE REQUIREMENTS OF THE BONDS
Debt Service Requirements
186 City of Fort Collins Comprehensive Annual Financial Report
Financial Planning 02/01
The public report burden for this information collection is estimated to average 380 hours annually. Form # 350-050-36
City or County:
Fort Collins
YEAR ENDING :
12/07
This Information From The Records Of the City of Fort Collins Prepared By: Karen Tracy
Phone: *(970)416-2426
A. Local B. Local C. Receipts from D. Receipts from
Motor-Fuel Motor-Vehicle State Highway- Federal Highway
Taxes Taxes User Taxes Administration
1. Total receipts available
2. Minus amount used for collection expenses
3. Minus amount used for nonhighway purposes
4. Minus amount used for mass transit
5. Remainder used for highway purposes
AMOUNT AMOUNT
A. Receipts from local sources: A. Local highway disbursements:
1. Local highway-user taxes 1. Capital outlay (from page 2) 3,753,351
a. Motor Fuel (from Item I.A.5.) 2. Maintenance: 12,617,891
b. Motor Vehicle (from Item I.B.5.) 3. Road and street services:
c. Total (a.+b.) a. Traffic control operations 3,006,946
2. General fund appropriations 272,103 b. Snow and ice removal 2,156,406
3. Other local imposts (from page 2) 8,273,543 c. Other
4. Miscellaneous local receipts (from page 2) 13,126,092 d. Total (a. through c.) 5,163,352
5. Transfers from toll facilities 4. General administration & miscellaneous 3,034,231
6. Proceeds of sale of bonds and notes: 5. Highway law enforcement and safety
a. Bonds - Original Issues 6. Total (1 through 5) 24,568,825
b. Bonds - Refunding Issues B. Debt service on local obligations:
c. Notes 1. Bonds:
d. Total (a. + b. + c.) 0 a. Interest 84,438
7. Total (1 through 6) 21,671,738 b. Redemption 910,000
B. Private Contributions c. Total (a. + b.) 994,438
C. Receipts from State government 2. Notes:
(from page 2) 3,891,525 a. Interest
D. Receipts from Federal Government b. Redemption
(from page 2) 0 c. Total (a. + b.) 0
E. Total receipts (A.7 + B + C + D) 25,563,263 3. Total (1.c + 2.c) 994,438
C. Payments to State for highways
D. Payments to toll facilities
E. Total disbursements (A.6 + B.3 + C + D) 25,563,263
Opening Debt Amount Issued Redemptions Closing Debt
A. Bonds (Total) 2,810,000 910,000 1,900,000
1. Bonds (Refunding Portion)
B. Notes (Total) 0
A. Beginning Balance B. Total Receipts C. Total Disbursements D. Ending Balance E. Reconciliation
25,563,263 25,563,263 0
Notes and Comments:
FORM FHWA-536 (Rev. 1-05) PREVIOUS EDITIONS OBSOLETE (Next Page)
1
LOCAL HIGHWAY FINANCE REPORT
I. DISPOSITION OF HIGHWAY-USER REVENUES AVAILABLE FOR LOCAL GOVERNMENT EXPENDITURE
ITEM
III. DISBURSEMENTS FOR ROAD
V. LOCAL ROAD AND STREET FUND BALANCE
ITEM
II. RECEIPTS FOR ROAD AND STREET PURPOSES
IV. LOCAL HIGHWAY DEBT STATUS
(Show all entries at par)
City of Fort Collins Comprehensive Annual Financial Report 187
STATE:
Colorado
YEAR ENDING (mm/yy):
December 2007
AMOUNT AMOUNT
A.3. Other local imposts: A.4. Miscellaneous local receipts:
a. Property Taxes and Assessments 294 a. Interest on investments 1,020,484
b. Other local imposts: b. Traffic Fines & Penalities
1. Sales Taxes 5,406,567 c. Parking Garage Fees
2. Infrastructure & Impact Fees d. Parking Meter Fees
3. Liens e. Sale of Surplus Property
4. Licenses f. Charges for Services 8,512,281
5. Specific Ownership &/or Other 2,866,682 g. Other Misc. Receipts
6. Total (1. through 5.) 8,273,249 h. Other 3,593,327
c. Total (a. + b.) 8,273,543 i. Total (a. through h.) 13,126,092
(Carry forward to page 1) (Carry forward to page 1)
AMOUNT AMOUNT
C. Receipts from State Government D. Receipts from Federal Government
1. Highway-user taxes 3,478,445 1. FHWA (from Item I.D.5.)
2. State general funds 2. Other Federal agencies:
3. Other State funds: a. Forest Service
a. State bond proceeds b. FEMA
b. Project Match c. HUD
c. Motor Vehicle Registrations 413,080 d. Federal Transit Admin
d. Other (Specify) e. U.S. Corps of Engineers
e. Other (Specify) f. Other Federal
f. Total (a. through e.) 413,080 g. Total (a. through f.) 0
4. Total (1. + 2. + 3.f) 3,891,525 3. Total (1. + 2.g)
(Carry forward to page 1)
ON NATIONAL OFF NATIONAL
HIGHWAY HIGHWAY TOTAL
SYSTEM SYSTEM
(a) (b) (c)
A.1. Capital outlay:
a. Right-Of-Way Costs 0
b. Engineering Costs 0
c. Construction:
(1). New Facilities 0
(2). Capacity Improvements 3,753,351 3,753,351
(3). System Preservation 0
(4). System Enhancement & Operation 0
(5). Total Construction (1) + (2) + (3) + (4) 0 3,753,351 3,753,351
d. Total Capital Outlay (Lines 1.a. + 1.b. + 1.c.5) 0 3,753,351 3,753,351
(Carry forward to page 1)
Notes and Comments:
FORM FHWA-536 (Rev.1-05) PREVIOUS EDITIONS OBSOLETE
2
III. DISBURSEMENTS FOR ROAD AND STREET PURPOSES - DETAIL
II. RECEIPTS FOR ROAD AND STREET PURPOSES - DETAIL
LOCAL HIGHWAY FINANCE REPORT
ITEM ITEM
ITEM ITEM
ITEM
AND STREET PURPOSES
2004 47,288 4,832,672 293,909 3,098,205 677,102 190,806 9,139,982
2005 52,894 6,972,126 315,070 2,846,525 689,946 204,545 11,081,106
2006 51,107 2,821,127 337,756 2,426,836 703,623 219,272 6,559,722
2007 61,279 3,707,518 362,074 2,673,742 680,118 235,406 7,720,137
customer is eligible.
Golf
Collindale 7.0 7.3 7.4 7.4 7.4 7.3 7.5 7.0
City Park Nine 4.3 4.7 4.8 4.6 4.7 4.7 4.3 4.4
Southridge 7.8 8.6 8.0 7.4 7.5 7.7 7.5 7.5
Administration 1.0 1.0 2.0 1.8 1.6 1.8 1.8 1.8
Total City of Fort Collins 1,462.5 1,495.2 1,524.6 1,533.8 1,519.2 1,484.5 1,442.5 1,451.4
Public safety- fire service under IGA
Poudre Fire Authority 192.1 197.1 203.2 204.6 201.9 217.7 222.5 225.7
TOTAL 1,654.6 1,692.3 1,727.7 1,738.4 1,721.2 1,702.1 1,665.1 1,677.1
Note: Data is not available before 2000. The full time equivalents are calculated using total hours worked, excluding overtime, but including vacation,
sick and holiday time. This includes all employees , including exempt, not-exempt, with benefits, and without benefits. Vacancies are not included.
2000 52,346,674 - 52,346,674 2,145,000 697,928 2,842,928 18.41
2001 56,643,203 - 56,643,203 2,255,000 594,043 2,849,043 19.88
2002 53,757,585 - 53,757,585 2,365,000 481,633 2,846,633 18.88
2003 54,125,730 - 54,125,730 735,000 294,045 1,029,045 52.60
2004 56,206,574 - 56,206,574 855,000 141,250 996,250 56.42
2005 57,616,625 - 57,616,625 875,000 124,150 999,150 57.67
2006 59,587,946 - 59,587,946 890,000 104,463 994,463 59.92
2007 60,624,595 - 60,624,595 910,000 84,438 994,438 60.96
1
2
SEWER REVENUE BONDS
Debt Service Requirements
STORM DRAINAGE REVENUE BONDS
Debt Service Requirements
Gross revenues are reported as part of intergovernmental revenues in the Transportation Fund.
Gross revenues are less sales tax restricted for specific purposes.
HIGHWAY USERS TAX REVENUE BONDS
1
Debt Service Requirements
SALES AND USE TAX REVENUE BONDS
2
Debt Service Requirements
WATER REVENUE BONDS
Debt Service Requirements
Transfers 6,688,092 5,776,705 4,881,246 5,926,822 6,405,086 6,670,009 6,900,111
Total governmental activities 103,695,358 101,012,196 93,918,228 99,042,043 106,818,207 122,721,681 123,187,669
Business-type activities
Intergovernmental not restricted to programs - - - - - - 10,010
Investment earnings 6,780,920 4,718,642 3,041,127 2,434,292 3,718,902 7,072,274 15,279,459
Sale of land & equipment 869,060 768,109 (39,033) 1,534,885 244,283 - -
Insurance recovery 117,119 163,387 72,768 - - - -
Other miscellaneous 186,046 44,089 129,825 1,102,334 1,022,241 2,130,002 787,184
Transfers (5,872,559) (5,776,705) (4,881,246) (5,926,822) (6,405,086) (6,670,009) (6,900,111)
Total business-type activities 2,080,586 (82,478) (1,676,559) (855,311) (1,419,660) 2,532,267 9,176,542
Total primary government 105,775,944 100,929,718 92,241,669 98,186,732 105,398,547 125,253,948 132,364,211
Change in net assets
Governmental activities 28,048,633 43,223,071 23,457,741 22,737,628 56,745,364 32,072,207 34,295,364
Business-type activities 30,339,148 25,187,644 24,651,508 25,117,591 31,382,576 39,660,117 35,485,592
Total primary government $781 58,387,$715 68,410,$249 48,109,$219 47,855,$940 88,127,$324 71,732,$956 69,780,
Bond Amortization (32,066)
Net Assets--December 31 $ 68,682,119 $ 68,682,119
See the accompanying independent auditor's report.
Net Assets--December 31 $ 227,142,270 $ 227,142,270
See the accompanying independent auditor's report
(Increase) decrease in accounts receivable 2,734,069 283,620 157,341 165,935
Decrease in intergovernmental receivables 59,401 - - -
Increase in inventories 294,193 - - -
Increase (decrease) in accounts payable 281,918 225,028 (169,813) (264,753)
Increase in accrued
compensated absences payable 64,229 35,508 37,404 9,108
Increase (decrease) in accrued wages 41,865 25,238 20,394 17,704
Increase in claims payable - - - -
Increase in deferred revenue - - - -
Net cash provided (used) by operating activities $ 10,492,832 $ 11,187,673 $ 4,870,563 $ 8,537,317
Noncash investing, capital, and financing activities:
activities:
Capital contributions - 2,217,540 - -
The notes to the financial statements are an integral part of this statement.
Use Tax Collections
Percentage Change
11,380,513
(2.19%)
12,539,106
10.18%
12,754,709
1.72%
11,464,982
(10.10%)
13,242,173
15.50%
Use Tax from Business
Percentage Change
4,762,606
(9.91%)
4,704,865
(1.21%)
6,167,282
31.08%
4,570,237
(25.90%)
6,652,641
45.6%
City Population
Population 125,461 126,903 127,686 129,511 131,200
Percentage Change 0.83% 1.15% 0.62% 1.43% 1.30%
Regional Consumer Price Index
Denver-Boulder-Greeley CPI-U (1982-
84=100)
186.75 187.00 190.90 199.10 202.80
Percentage Change 1.06% 0.20% 2.09% 4.30% 1.86%