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1998 CAFR ~~-~ v ~e .NQ .%a~ii ./~3~acl, ~t~~~iaa COMPREHENSIVE ANN-UAL FINANCIAL REPORT September 30,1998 y ~ ~ ~ ~1'.ALN~$ rHE viL~AGE OF NORTH PALM BEACH, FL OR/DA Comprehensive Annual Financial Report September 30, 1998 Prepared ~y: Finance Department Shaukat Khan Director of Finance I i k t~ I l I I, t i ~ I l ~I. E ~ -- TALE OF CONTENTS INTRODUCTORY SECTION Organizational Chart v List of Principal Officials vi Letter of Transmittal vi i GFOA Certificate of Achievement for Excellence in Financial Reporting xvii 1=INANCIAL SECTION Independent Auditors' Report 3 GENERAL PURPOSE FINANCIAL STATEMENTS: Combined Balance Sheet -All Fund Types and Account Groups 6 Combined Statement of Revenues, Expenditures and Changes in Fund Balances -All Governmental Fund Types 10 Combined Statement of Revenues and Expenditures -Budget and Actual (Budgetary Basis) -General Fund 11 Statement of Revenues, Expenses and Changes in Retained Earnings -All Proprietary Fund Types 12 Combined Statement of Changes in Net Plan Assets -All Pension Trust Funds 13 Statement of Cash Flows -All Proprietary Fund Types 14 Notes to Financial Statements 15 COMEINING, INDIVIDUAL FUND AND ACCOUNT GROUP STATEMENTS: Required Supplementary Information: Schedule of Employer and State Contributions 32 Notes to Required Supplementary Information 33 General Fund: Comparative Balance Sheets 36 Schedule of Revenues and Other Financing Sources -Budget and Actual 37 Schedule of Expenditures and Other Financing Uses - Budget and Actual (Budgetary Basis) 41 Capital Projects Fund: Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual 62 Enterprise Fund: Schedule of Revenues -Budget and Actual -Country Club Fund 66 Schedule of Expenses -Budget and Actual -Country Club Fund 68 Trust Funds: Combining Balance Sheet -All Pension Trust. Funds 70 Combining Statement of Plan Net Assets -All Pension Trust Funds 71 Combining Statement of Changes in Net Plan Assets -All Pension Trust Funds 72 General Fixed Assets Account Group: Schedule of General Fixed Assets - By Source 75 Schedule of General Fixed Assets - By Function and Activity 76 Schedule of Changes in General Fixed Assets - By Function and Activity 78 Contents iii TABLE Of CONTENTS (Continued) sTATiSTiCt~L S~GTION Table I General Governmental Expenditures by Function 83 Table II General Governmental Revenues by Source 84 Table III Property Tax Levies and Collections 86 Table IV Assessed Value of Taxable Property 87 Table V Property Tax Rates -Direct and Overlapping Governments 88 Table VI Computation of Direct and Overlapping Bonded Debt -General Obligation Bonds 89 Table VII Computation of Legal Debt Margin 91 Table VIII Schedule of Revenue Bond Coverage -General and Enterprise Funds 92 Table IX Property Value, Construction, and Bank Deposits 94 Table X Principal Taxpayers 95 Table XI Miscellaneous Statistics 96 I REQUIRED REPORTS Report on Compliance and on Internal Control Over Financial Reporting Based on an Audit of General Purpose Financial Statements Performed in Accordance with Government Auditing Standards 99 Management Letter 101 ~l l ~l ~1 ~l ~ II iv G~ntent~ , NOIl ~.~S ~C~1~1 ~~1 ~~~11IV1 r .r i i i i i i i i i i i i i THE VILLAGE OF I~IORTW PALM BEACH, IFLGIRICIA Organizational Chart September 30, 1998 The Citizens v. : ~ . y, .:;t+ . yy.., T w• r.:: . ss`s ~:~v'2t't`2 CODE ENFORCEMENT Village y Village LIBRARY ADVISORY Attorney Council RECREATION ADVISORY PLANNING COMMISSION BOARD OF ADJUSTMENT CONTRACTORS PENSION Countr .Club ..r Villa e Y g Villa e Clerk g Administrative Manager Board ..x...,, .,vi4i v.~v,) .v........u n.a ..v .u.nd •;'f ~+ii Country Club 0 a c rt O ~ Public Public ~ Finance Recreation Library Safety Services i THE VILLAGE OF NORTH PALM BEACH, FLORIDA ~ PRiNCiPAL i/ILLAGE OFFICiAL~ ~€PT€MB€R 30, 1998 r ~ I I TITLP NAM1= r ~ I Mayor David Norris r Vice Mayor Charles R. O'Meilia I President Pro Tem Dr. Edward Eissey - Council Member ~ Gail Vastola Council Member Joseph Tringali Village Manager Dennis W. Kelly Director of Finance Shaukat Khan ` l Village Clerk Kathleen F. Kelly f ~1 ~1 L ~ ICI LI i.. L3 rl j vi Introductory section ~.i THE VILLAGE OF North Palm Beach 501 U.S. HIGHWAY 1, NORTH PALM BEACH, FLORIDA 33408 (561)848-3474 Deparhnent of Finance January 25, 1998 Honorable Mayor and Members of the Village Council The Village of North Palm Beach, Florida Presented for your consideration and review is the Village's Comprehensive Annual Financial Report for the year ended September 30, 1998. This report was prepared by the Village's Finance Department. Responsibility for both the accuracy of the presented data and the completeness and fairness of the presentation, including all disclosures, rests with the Village. We believe the data, as presented, is accurate in all material respects, that it is presented in a manner designed to fairly set forth the financial position and results of operations of the Village as measured by the financial activity of its various funds, and that all disclosures necessary to enable the reader to gain the maximum understanding of the Village's financial affairs have been included. ORGANIZATION AND CONTENT The organization and content of this report is based primarily on the financial reporting standards set by the Governmental Accounting Standards Board (GASB) and recommendations of the Government Finance Officers Association of the United States and Canada. It includes all of the funds and account groups of the Village and, in accordance with GASB Codification of Governmental Accounting and Financial Reporting Standards, Sec- tion 2100, "Defining the Reporting Entity", includes only those activities over which the Village is financially accountable. The accompanying financial statements report the financial results of all services provided by the Village in- cluding public safety (police, fire and emergency medical services), sanitation, cultural and recreational services (parks, marina, library and community center), a Village operated country club, public improvements, planning, zoning and general administrative services. The report is designed to meet the needs of a wide variety of readers and is divided into four principal sections. These sections consist of: Introductory Section -This section includes the names of both elected and appointed officials who are responsible for policy matters and the management of the Village's affairs, an organizational chart of key management positions, the Certificate of Achievement for Excellence in Financial Reporting awarded to the Village by the GFOA, and this transmittal letter which discusses the major factors that affected the operating results for the .year. Financial Section -The financial section includes the general purpose financial statements and the com- bining and individual fund and account group financial statements and schedules, as well as the independent auditors' report on these financial statements and schedules. Introductory Section vii i Statistical Section -This section highlights multiple year comparative trend data, and physical, eco- nomic, social and political characteristics of the Village. 1 Other Reports -This section includes the independent auditors' report on compliance and on internal ~ ~ control over financial reporting and comments to management. ~ ~ I THE !TILLAGE The Village of North Palm Beach is primarily a residential community having been incorporated as a political subdivision of the State of Florida in 1956. The registered population of the Village is approximately 12,000, I which increases to approximately 18,000 during the winter months by residents who list their northern homes as their official place of residence. Residents are generally in the middle to upper income brackets. Taxable as- sessed valuation per capita is approximately $60,000. Located in the northeastern quadrant of Palm Beach County, Florida, the Village has an unusual amount of wa- terfront property created by a number of lakes, canals and the Atlantic Ocean. The governing body of the Village consists of a five member Village Council, each of whom is elected for two- year overlapping terms. Day to day affairs of the Village are under the leadership of a Village Manager who is appointed by the Council. SIGNIFICANT CURRENT YEAR ACCOMPLISHMENTS Public Safety ` ~ ~ The following acquisitions were made by the Public Safety Deparhnent during the year: • Two new patrol cars for the Police Division. ` ~ I • Various new and upgraded equipment for the Fire and EMS Division. III In addition, the Village started construction of the new public safety facility and expects to complete construe- ~ tion in March 1999. I Public Services J The Public Services Department completed a number of projects during the year that enhance the coinrnuni~y as a whole. These projects included: • Expended $45,000 on street resurfacing and paving. • Purchased a new packer truck, one new 3~wheel dumpster and various other machinery and equipment to replace old and obsolete equipment. • Expended $7,000 to replace and repair storm drainage in the Village. Culture 8~ Recreation • Added new books and publications in the amount of approximately $50,000 and an audio & video collection of $6,000 to the Library. ~l ~a viii Intra~uctory Section .I • Completed construction of the Anchorage Park Recreation building, community center ballfields and the Osborn Park concession stand. • Purchased $5,000 worth of playground equipment and bleachers. Country Club • Over $85,000 were spent to add, replace and upgrade machinery and equipment and purchase one utility vehicle for Golf Course Maintenance. • Anew tractor and ball picker were purchased for the driving range. • Almost $175,000 were spent on tennis court resurfacing. Finance The Finance Department was the recipient of the Government Finance Officers Association's coveted (GFOA) Certificate of Achievement for Excellence in Financial Reporting for its fiscal 1997 Comprehensive Annual Fi- nancial Report (CAFR). This is the tenth year in a row the Village has received this award. The Village's CAFR must meet a number of stringent financial reporting requirements in order to qualify for the award. _ FINANCIAL DATA Financial Reporting System and Budgetary Controls The Village's financial records for its general governmental operations are maintained on the modified accrual basis which means that revenues are recorded when available and measurable and expenditures are reported when goods and services are received and the related liabilities are incurred. The financial records for its Enterprise Fund (i.e., the Country Club operation) are maintained on the full accrual basis of accounting similar to that followed by commercial enterprises. In developing and evaluating the Village's financial and accounting system, consideration is given to the ade- quacy of internal accounting controls. Internal accounting controls are designed to provide reasonable, but not absolute, assurance regarding: (a) the safeguarding of assets against loss from unauthorized use or disposition; and (b) the reliability of financial records for preparing financial statements and maintaining accountability for assets. The concept of reasonable assurance recognizes that: (a) the cost of a control should not exceed the benefits likely to be derived; and (b) the evaluation of costs and benefits requires estimates and judgments by management. All internal control evaluations occur within the above framework. We believe that the Village's internal ac- counting controls adequately safeguard assets and provide reasonable assurance of proper recording of financial transactions. Budgetary control is maintained at the subfunction level by the encumbrance of estimated purchase amounts prior to the release of purchase orders to vendors. Purchase orders which result in an overrun of subfunction balances are not released until additional appropriations are made available. Open encumbrances are reported as reservations of fund balance at September 30, 1998. Introductory Section ix i General Government Operations ~-~ Revenues Revenues and expenditures for general government functions are accounted for in the general fund. Revenues r from general governmental operations totaled .$8,785,754 in fiscal year 1998, a increase of 10.8% from the pre- vious fiscal year. Ad valorem taxes represent the single most important source of revenue (45% of general revenue sources) to the Village. The ad valorem tax millage rate 4vas 5.40 mills for the 1998 fiscal year, repre- senting anincrease of 6.7% from last year. Property valuations of approximately $760,000,000 for 1998 in- creased approximately $29 million, or 3.9% more than the prior year. The Village's collection rate of ad valorem taxes remains strong at 96.64% of current assessments. Last year's r collection rate was approximately 96.70% of assessed taxes. We also collected small portions of previous year's delinquent taxes. The Village received over $98,000 more in franchise fees and utility taxes in the fiscal year. - The increase in licenses and permits revenue is due to the increase in building permit revenue. The increase in intergovernmental revenues are attributable to the reimbursement of gas tank leak clean up expenses. ~ ] The amount of revenues from various sources and the variances from last year are shown in the following table: ) Increase Percent I_ Percent (Decrease) Increase Revenue Sources Amount of Totai from 1997 Decrease L Taxes $ 6,116,651 70% $ 489;613 5.9% Licenses and permits 509,055 6% 143,024 1.8% Intergovernmental revenue 1,379,295 16% 206,579 2.5% : l Charges for services 342,863 4% 67,763 .8% J Fines and forfeitures 128,140 1% (28,141} (.2%) Interest income 213,637 2% 11,878 .2% Miscellaneous 96,113 1% (33,777) (.2%) i i 8 785.754 100.0% 856 939 10.8% Expenditures ~ ~ Expenditures for general governmental purposes totaled $7,635,999, a decrease of approximately 5.3% from 1997. 1 Increases and decreases in levels of expenditures for major functions of the Village when compared with the preceding year are shown in the following tabulation: Increase Percent Percent (Decrease) Increase Function ,4mount of Total from 1997 (Decrease) General government $ 947,839 12% $ 19,038 .2% Public safety 2,865,117 38% 105,453 1.3% Public services 2,425,110 32% (14,121) (.2%) Leisure services 791,373 10% 78,683 1.0% Other 194,306 3% (58,694) (.7%) Capital outlay 332,324 4% (523,978) (6.6%) Debt service 79,930 1% 29,848) (`3%%) ~7 635 999 100% 423 467) 5.3%) x Introductory Section Fund Balance Unreserved fund balance continues to be the focus of financial planning for the future. At September 30, 1998, the Village had a total General Fund balance of $3,274,443. Of that amount $2,341, 16 was unreserved, unap- propriated and available for future appropriation or use, which is approximately 27% more than last year. Last year's unreserved balance carried forward to 1998 was $1,847,448. The following schedule highlights the major components of the 1998 general fund balance: Total fund balance $ 3,274,443 Less non-expendable assets and encumbrances: Inventories 35,906 Prepaid items applicable to next year 2,967 Restricted assets 17,971 Encumbrances (current year appropriations) 148,862 Reserved for special projects 4,000 Amount designated for subsequent year 723,221 Total net available spendable resources $ 2,341.E 16 The unreserved, unappropriated portion of fund balance represents approximately 24.0% of next year's budgeted expenditures and is adequate to maintain general fund operation through December 1998, when the property tax revenues are received. Proprietary Fund (Country Club Activities) The Village's sole proprietary fund is represented by the operation of the North Palm Beach Country Club. Revenues (both operating and nonoperating) total $2,18,584 for 1998, which represented a decrease of ap- proximately $182,724 (7.7%) from last year. Total expenses were $2,237,547 for 1998, an increase of approxi- mately $211,000 (10.4%) from the prior year. Net income decreased by approximately $393,000. At September 30, 1998, the Club's net current assets were $801,228, representing a decrease of $98,946 from last year. Current assets and related current obligations at September 30, 1998 and 1997, consist of the follow- ing: 1998 1997 Current assets: Cash and cash equivalents $ 1,061,132 $ 1,342,64 Accounts receivable, members 32,973 37,158 Due from other funds - 17,417 1,094,10 1.397,229 Current liabilities: Accounts payable 99,382 103,833 Compensated absences 86,284 82,710 Current portion on long-term debt 101,211 138,117 Miscellaneous deposits 6,000 6,000 Deferred revenue - 166.395 292,877 497,0~~ Net current assets (working capital) $ 801,228 $ 900,174 Introductory Section xi -~ Pension Fund The Village sponsors two pension funds for its employees: the general employees' fund, and the police officers' and firefighters' fund. The Village contributed $250,721 to the general employees retirement fund and $56,672 to the police officers and firefighters retirement fund during the year. The State of Florida also contributed $11,355 to the police officers' and firefighters' fund. The State does not contribute to the general employees' fund. Earnings from invested assets (including net appreciation in fair values) of both funds amounted to , $595,333. E;~penses totaled $584,467 which included $482,727 paid to retired employees or their beneficiaries. ~ ~ At September 30, 1998, the fair market value of the funds' assets was approximately $10,756,346. Cash Management ' l The Village uses pooled cash procedures, which allow better control over funds and greater investment flexibil- l ity and return. Except for the pension trust funds, all other governmental and proprietary funds are deposited in ~ one central account with a financial institution registered with the State Treasurer as a qualified public deposi- ) tory. Cash balances in excess of current needs are invested in repurchase agreements through the Village's pri- mary depository or the State Board of Administration's Investment Account. Interest earned on invested bal- ~ l ances resulted in a yield of approximately 5.8% this year which is allocated to each fund based on their average l monthly balance. Excess cash of the pension plans is controlled by the pension boards who have hired professional money man- agers responsible for managing the assets of those funds. Debt Administration l The Village has entered into lease agreements to finance the purchases of ambulances and a fire truck. All cur- rent maturing obligations; consisting of $35,929 in the general fund and $137,721 in the enterprise fund, were timely met and are in compliance with all loan covenants and resolutions in connection with these obligations. The Village issued a $6,560,000 promissory note to finance the acquisition, construction, equipping, and im- L 1 proving a public safety building, a community center, and a recreation building. A portion of the proceeds were 1 also used to refinance an existing loan in the enterprise fund. The promissory note is secured by franchise fees and public service taxes of the Village. The Village made interest and principal payments of $638,907 on the L l note in a timely manner. The Village is in compliance with all loan covenants and resolutions in connection J j with this obligation. Risk Management The Village is a participating member in two self insured risk management pools to provide property and casu- ' alty coverage for the Village and group medical coverage for the Village employees. The Village is responsible for its own claims and losses and group medical coverage, unlike the property casualty coverage, where all of the participating pool members share the cost. The Village provides and pays for group medical insurance coverage to all Village employees. The Village also provides family coverage at a reduced cost. Due to the increasin hi h cost of rou health covera e eve ~ effort is made by the Villa e to reduce their L~ g g g p g, D g costs while still providing adequate coverage to the Village employees and their families. Total claims for 1998 were approximately $620,000. l In fiscal year 1997-98, the Village contributed approximately $361,000 into the risk management pool for prop- erty casualty coverage and approximately $541,000 for group health. l i~l Ll r~ xii Introductory Section INITIATIVES AND FUTURE PROJECTS Country Club The Village Council completed the interior design phase of the Country Club clubhouse redevelopment and pro- ceeded to develop criteria for hiring an architect to implement the interior design recommendations. It is antici- pated the Village Council will hire an architect and complete the architectural design for the renovation of the clubhouse building, with full expectation that the design will go to bid sometime during early FY 98-99, with the construction and redecorating completed in the spring of 1999. Northlake Shoppes (Twin City Mall) The Northlake Shoppes (formerly known as Twin City Mall) will begin construction on a Publix grocery store and Blockbuster Video store around January 1999. It is anticipated certain underground utilities will need to be completed first (i.e. sewage, water and drainage) and then the construction of the buildings will begin. The Amoco Gas Station continues to progress and is anticipated to be completed around January/February of 1999. Northlake Boulevard Corridor Task Force The Village continues to participate with the Town of Lake Park, the City of Palm Beach Gardens, and Palm Beach County in formulating plans to improve landscaping and development along the Northlake Boulevard Corridor. The corridor is defined as Northlake Boulevard from U.S. Highway 1 west to Military Trail. It is an- ticipatedthat acontract with Team Plan will be completed during the first quarter of FY 98-99. Village Hall Space Study/Master Recreation Plan The Village continues to implement key elements of the Village's Space Study and Master Recreation Plan. The multi-purpose ball fields were completed in March 1998 and the new Anchorage Park Activities Building was dedicated in June 1998. The Village started construction of the new Public Safety facility during FY 97-98 and expects to complete construction around February or March 1999. Also projected will be the retaining of an architect to start the design work on remodeling Village Hall as part of the Space Study. SUA -Anchorage Park Waste Water Treatment Plant The Village entered into negotiations with the Seacoast Utility Authority (SUA) for the purpose of developing a first refusal agreement with SUA in the selling of their Anchorage Park Waste Water Treatment Plant (WWTP). It is anticipated during FY 98-99 that the Village will complete contract negotiations and consummate a deal with SUA conveying the WWTP title/ownership to the Village of North Palm Beach. This will provide the land necessary to continue implementing the Village's Recreation Master Plan. Recreation Program The Recreation Department is working toward developing agreements and understandings with the various youth sports organizations such as Youth Athletic Association, basketball, baseball and other sports, for the pur- pose of managing those recreation programs on behalf of the various organizations. It is believed that this ini- tiative will provide steady, consistent management from year to year for these groups. Information Systems Specialist/Assistant Village Manager The FY 98-99 budget included two new positions of Information Systems Specialist and Assistant Village Man- ager. The Information Systems Specialist will be hired for the purpose of providing technical assistance for all the Village's computerization, as well as carrying out and implementing the Village's Information Systems Master Plan that was developed by the Palm Beach Atlantic College's Applied Business Research Institute in February 1998. The cost to implement the plan was budgeted at $500,000 and will resolve the Village's Y2K Introductory Section xiii Compliance issues, as well as create a local area network among the various departments. In addition, it is an- ~ 1 ticipated there will be far more consistent use of software and programs as all departments will be using the same type of software or programs for basic office and Internet communications. The Assistant Village Man- ~ ager (AVM) will be hired for the purpose of providing a strong human resource function within the organiza- tion. That job description was designed to be more of a human resource manager, with additional duties of pur- chasing agent and grants writer. It is anticipated both positions will be hired toward the end of the first quarter or beginning of the second quarter of FY 98-99. Information Systems Plan . As mentioned above, the Village completed the Information Systems Master Plan in February 1998. The plan r was developed under contract with the Rinker School of Business's Applied Business Research Institute at Palm Beach Atlantic College. The overall budget recommendation to implement the plan was $605,018. A portion of those monies would come out of the Public Safety Department through various grants. In addition, the Village j ! budgeted monies to hire the Information Systems Specialist and that money was part of the $605,018 recom- J mendation. Therefore, going into FY 98-99, the budgeted amount to implement the study is $500,000. It is an- ticipated this would replace approximately 31-35 personal computers with the accompanying software, create a local area nettivork among the departments, and place the Village on the World Wide Web and provide Internet capability. One of the paramount issues that is to be accomplished during FY 98-99 is to resolve. the. Year 2000 (Y2K) Compliance problem so the Village does not encounter any mishaps with its budget, payroll, or other data entries related to the Y2K issue. ECONOMIC OUTLOOK ` Constructions Projects There are four major construction projects just getting started in the Village at the time of this writing. They are the Northlake Shoppes (old Twin City Mall), the Winn-Dixie grocery store property located north of the Benja- min School, Prosperity Harbor North and Prosperity Harbor South, a project located in the vicinity of the Com- L munity Center on Prosperity Farms Road, and Sanctuary Cove Apartments located north of the Community Center on Prosperity Farms Road. The Sanctuary Cove Apartments are well under construction at the time of this writing and will add considerable value to the tax base of the Village next year. The Winn-Dixie grocery store has started land clearing and should be under construction during the first quarter of FY 98-99. In all probability they will be completed during FY 98-99, with their value going on the tax rolls the following year. As to the WCI properties located south and north of the Community Center known as Prosperity Harbor North L ~ and Prosperity Harbor South, there has been minimal land clearing, but no major construction at this stage. The developments have received their required environmental permitting from both the State and Federal agencies i and appear to be all set to start constiuctior~ at any tirnE. The Nortfilake Shoppes continues to be questionable as " ' to its progress and its starting date. Deep concern was expressed last year as to the lack of activity on the prop- L erty to the extent that both the Village Council of North Palm Beach and the Town Commission of Lake Park were prepared to start proceedings to require the property owner to landscape the property in order to beautify the area. However, the property owner initiated some land clearing and infrastructure construction in prepara- tion and in anticipation of starting the project. The latest word received by the two municipalities is that con- L struction will start around January or February 1999 on the Publix grocery store and the Blockbuster Video store and a 30,000 square foot shell building with a tenant to be named later. Rebuilds The Villa e will continue to ex erience a strate is slow down in new construction property value for the long g p g term, which will place pressure on the Village to seriously consider offsetting increased cost with net increases in properly taxes or other revenues, as opposed to enjoying the benefit of new growth in the tax base. One ele- ment of relief in this area is the advent of rebuilds within the Village residential base. Rebuilds are defined as xiv Introductory Section existing homes that have been purchased and completely demolished for the purpose of rebuilding a brand new structure on the old foundation. In some cases a $250,000-$300,000 home has been demolished and replaced with a $700,000 or $800,000 home. Most rebuilds are occurring on waterfront or canal front property. This is indicative of the scarcity of waterfront/canal front property. Because of its large access to the canals and water- front areas, the Village will experience this phenomenon for a number of years. This will provide an encourag- ing alternative relief to the build-out within the Village. Northlake Boulevard Corridor Task Force The Northlake Boulevard Corridor Task Force (Task Force) will continue to exist and operate over the next tvvo or three years with the mission of eventually addressing the long range redevelopment of deteriorating proper- ties along Northlake Boulevard. The interest bearing on the Village and the Town of Lake Park is to address an entrance corridor into the two communities on Northlake Boulevard and to examine the prospect of redevelop- ing properties along Northlake Boulevard in order to enhance the property values and the quality of uses. It is anticipated the Task Force will adopt a landscape plan sometime during the first or second quarter of FY 98-99. The landscape plan is being developed by the consultant retained by the Task Force, Team Plan, Inc. of North Palm Beach. Once the landscape plan is completed, the anticipation is to incorporate it into the various Com- prehensive Plans or development orders issued by the municipalities for their various construction projects. OTHER INFORMATION Independent Audit As required by Florida Statutes, an audit of the books of account, financial records and transactions of all de- partments of the Village has been conducted by a firm of independent Certified Public Accountants. The report of Haas, Diaz & Co., Certified Public Accountants, on page three of this report contains their opinion as to the fair representation of the Village's fmancial statements. The Village continues to receive an unqualified opinion on its financial statements. Awards The Government Finance Officers Association of the United States and Canada awarded a Certificate of Achievement for Excellence in Financial Reporting to The Village of North Palm Beach, Florida for its compre- hensive annual financial report for the fiscal year ended September 30, 1997. The Certificate of Achievement is a prestigious national award recognizing conformance with the highest standards for preparation of state and local government financial reports. In order to be awarded a Certificate of Achievement, a governmental unit must publish an easily readable and efficiently organized comprehensive annual financial report whose contents conform to program standards. The report must satisfy both generally accepted accounting principles and applicable legal requirements. A Certificate of Achievement is valid for a period of one year only. The Village of North Palm Beach has re- ceived aCertificate of Achievement for the last ten consecutive years. We believe our current report conforms to Certificate of Achievement Program requirements, and we are submitting it to GFOA to determine its eligi- bility for another certificate. Acknowledgments The preparation of this report on a timely basis could not be accomplished without the efficient and dedicated services of the Village Manager's and Finance Department's staffs. We would like to express our appreciation to all members of both departments who assisted and contributed to its preparation. We thank the Mayor and Vil- Introductory Section xv i 1 lage Council for their interest and support in planning and conducting the financial operations of the Village in ,- aresponsible and progressive manner. I Respectfully submitted, -~ ennis W. Kelly Village Manager ' Shaukat Khan Finance Director ~ ~ ~ I ,1 ~1 ~1 1 ~l xvi Introductory Section Certificate of Achievement for Excellence In ~1nanClal ~e~orting Presented to Village of North halm Beach, Florida For its Comprehensive Annual Financial Report for the Fiscal Year Ended September 30, 1997 A Certificate of Achievement for Excellence in Financial Reporting is presented by the Government Finance Officers Association of the United States and Canada to government units and public employee retirement systems whose comprehensive annual financial reports (CAFRs) achieve the highest standards in government accounting • and financial reporting. //j/J gE OFpj~,~ /y~(////~/ ti Utd1ED STATES a W ~ Q~ N :N ~;t co~oaL1°Amw s President spa. ~o~~ ~?~ri%V` Executive Director Introductory Section xvii r i i 'i ,i ,i 'i i 'i 'i No~.~~~?s [r -, i t u ~i ~l l f, I ~I: f i f I I i 1 l~ i ' ~ . -_ i f C eri,~ IYubiic t1~~rnnttar?t~ INDEPENDENT AUDITORS' REPORT The Honorable Mayor and Members of the Village Council The Village of North Palm Beach, Florida We have audited the accompanying general purpose financial statements of The Village of North Palm Beach, Florida, as of and for the year ended September 30, 1998, as listed in the table of contents. These general purpose financial statements are the responsibility of The Village of North Palm Beach, Florida's management. Our responsibility is to express an opinion on these general purpose financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards and the standards ap- plicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain rea- sonable assurance about whether the general purpose fmancial statements are free of material misstate- . ment. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the general purpose financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall general purpose financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the general purpose financial statements referred to above present fairly, in all material respects, the financial position of The Village of North Palm Beach, Florida, at September 30, 1998, and the results of its operations and the cash flows of its proprietary fund for the year then ended in confor- mity with generally accepted accounting principles. In accordance with Government Auditing Standards, we have also issued a report dated December 23, 1998, on our consideration of The Village of North Palm Beach, Florida's internal control over financial reporting and our tests of its compliance with certain provisions of laws, regulations, contracts and grants. Our audit was made for the purpose of forming an opinion on the general purpose fmancial statements taken as a whole. The information identified as Combining, Individual Fund, and Account Group Statements and Supplementary Schedules in the table of contents is presented for purposes of additional analysis and is not a required part of the general purpose financial statements of The Village of North Palm Beach, Florida. Such additional information has been subjected to the auditing procedures applied in the audit of the general purpose financial statements and, in our opinion, is fairly presented in all ma- terial respects in relation to the general purpose fmancial statements taken as a whole. 16O i hc'I~~'e~le'rC _R_t~a~-I Suii~ ?IN), I ,apt 1'4'rst 1?iln~ P,eacl?. t~l_ 33~L06 (~'J~~ (:ji~l)fi~~(~-I~Si ~ax:(561)-'JI-I:'10 Financial Section 3 The information shown in the statistical section listed in the table of contents has not been subjected to auditing procedures sufficient to enable us to express an opinion as to the fairness of all information in- cluded therein and, accordingly, we do not express an opinion thereon. ~d r ~~- Maas, Diaz & Co. , Certified Public Accountants December 23, 1998 I 1 ~1 I .1 _1 (~1 ~ financial erection This page intentionally left blank. Financial Section 5 THE VILL~4GE ®F N®RTH PALM .BEACH, FLORIDA Combined Balance Sheet -All Fund Types and Account Groups ~ i September 30, 9998 (With comparative totals for September 30, 1997) Governmental Proprietary Fund Types Fund Type Capital General Projects Enterprise Assets and Other Debits ` Assets: Cash and cash equivalents $ 3,398,035 $ 3,359,982 $ 1,061,132 Investments - f Restricted cash 21,971 - - Receivables: State shared revenues - - - Utility taxes 108,248 - - Accounts 73,643 - 32,973 Grants - _ _ Special assessments 17,972 - - Interest - _ _ l Due from other funds _ _ - Inventories 35,906 - 9,402 Prepaid items 967 - - Deposits 2,000 - 169 i Land, buildings and equipment - - 2,633,814 1 Other Debits: Amount to be provided for retirement of general long-term debt - - Total assets and other debits ~ 3,658,742 $ 3,359,982 ~ 3,737,490 _1 ~l 6 Financial Section ~3 I Fiduciary Totals Fund Types Account Groups (Memorandum Only) General General Trust and Fired Long-Term Agency Assets Debt 1998 1997 $ 222,042 $ - $ - $ 8,041,191 $ 9,966,994 10,496,527 - - 10,496,527 10,760,667 - - - 21,971 8,517 _ _ - - 74,748 _ - - 108,248 61,900 7,580 - - 114,196 152,852 _ _ _ - 96,463 - - - 17,972 20,250 30,197 - - 30,197 24,341 _ _ - - 17,417 - - 45,308 45,831 - - - 967 98 - - - 2,169 40,625 - 11,892,424 - 14,526,238 11,833,252 - - 6,515,817 6,515,817 6,828,062 $ 10,756,346 $ 11,892,424 $ 6,515,817 $ 39,920,801 $ 39,932,017 Continued on the following page.... Financial Section 7 I lI THE VLLLAGE OF NORTH_PALM BEACH, FLORI®A ~ ~ Combined Balance Sheet -All Fund Types and Account Croups (Continued) 1 September 30, 9998 j i (With comparative totals for September 30, 1997) Governmental Proprietary . Fund Types Fund Type Capital } General Projects Enterprise Liabilities, Equity and Other Credits ~ 1 Liabilities: Accounts payable and other liabilities $ 266,710 $ 1,718 $ 99,382 Contracts payable - 389,567 - r ~ ~ Compensated absences payable - - 86,284 Due to other funds - - - Deferred revenue 113,186 - - Miscellaneous deposits 4,403 - 6,000 Loans payable - - 627,001 Capital leases payable - - - Deferred compensation benefits payable - - - Totalliabilities 384,299 391,285 818,667 Equity and Other Credits: Investment in general fixed assets - - - Contributed capital - - 152,438 Retained earnings: Reserved - - 72,465 Unreserved - - 2,693,920 Fund balances: ` Reserved for inventories 35,906 - - Reserved for prepaid items and deposits 2,967 - - Reserved for restricted assets 17,971 - - Reserved for encumbrances 148,862 - - Reserved for special projects 4,000 2,968,697 - Reserved for employees' pension benefits - - - 1 Designated for subsequent year 723,221 - - J Unreserved: Undesignated 2,341,E 16 - - ' Total equity and other credits 3,274,443 2,968,697 2,918,823 Total liabilities, equity and other credits $ 3,658,742 $ 3,359,982 $ 3,737,490 See accompanying notes to financial statements. i ~1 r 8 Financial Section ~3 Fiduciary Totals Fund Types Account Groups (Memorandum Only) General General Trust and Fixed Long-Term Agency Assets Debt 1998 1997 $ - $ - $ - $ 367,810 $ 449,002 - - - 389,567 355,754 - - 546,319 632,603 585,345 - - - - 17,417 - - - 113,186 306,443 - - - 10,403 10,373 - - 5,550,000 6,177,001 6,614,722 - - 419,498 419,498 475,427 - - - - 970,818 - - 6,515,817 8,110,068 9,785,301 - 11,892,424 - 11,892,424 9,150,511 - - - 152,438 152,438 - - - 72,465 172,571 - - - 2,693,920 2,645,777 - - - 35,906 31,524 - - - 2,967 40,554 - - - 17,971 8,517 - - - 148,862 125,522 - - - 2,972,697 5,247,240 10,756,346 - - 10,756,346 10,249,653 - - - 723,221 474,961 - - - 2,341,516 1,847,448 10,756,346 11,892,424 - 31,810,733 30,146,716 $ 10,756,346 $ 11,892,424 $ 6,515,817 $ 39,920,801 $ 39,932,017 Financial Section 9 THE VILLAGE ~F NORTH PALM BEACH, FLORIDA ~ ~ Combined Statement of Revenues, Expenditures and Changes in Fund Balances All Governmental Fund Types Year Ended September 30, 1998 j (Vl/ith comparative totals for the year ended September 30, 1997) Governmental Totals Fund Types (Memorandum Only) Capital r 1 General Projects 1998 1997 J Revenues: Taxes $ 6,116,651 $ - $ 6,116,651 $ 5,627,038 Licenses and permits 509,055 - 509,055 366,031 Impact fees - 195,000 195,000 - - i Intergoverrunental 1,379,295 100,000 1,479,295 1,172,716 ~ , Charges for services 342,863 - 342,863 275,100 Fines and forfeitures 128,140 - 128,140 156,281 , Interest 213,637 254,425 468,062 425,667 i Miscellaneous 96,113 2,555 98,668 131,240 I Total revenues 8,785,754 551,980 9,337,734 8,154,073 Expenditures: Current: General government 947,839 - 947,839 928,801 Public safety 2,865,117 - 2,865,117 2,759,664 J Public services 2,425,110 - 2,425,110 2,439,231 Leisure services 791,373 - 791,373 712,690 Other 194,306 - 194,306 253,000 Capital outlay 332,324 2,727,011 3,059,335 3,372,365 Debt service: Principal 55,929 300,000 355,929 242,287 1 Interest and fiscal charges 24,001 250,512 274,513 144,766 Total expenditures 7,635,999 3,277,523 10,913,522 10,852,804 ` 1 Excess (deficiency) of revenues 1+ over (under) expenditures 1,149,755 (2,725,543) (1,575,788) (2,698,731) Other financing sources (uses): Loan proceeds - - - 6 000 000 Capital lease - - - 446,235 Sale of surplus equipment 43,162 - 43,162 - Transfers in 98,000 614,270 712,270 1,746,050 Transfers out (614,270) (98,000) (712,270) (1,746,050) Total other financing l ' sources (uses) (473,108) 516,270 43,162 6,446,235 Excess (deficiency) of revenues and other fmancing sources over (under) expenditures and other financing uses 676,647 (2,209,273) (1,532,626) 3,747,504 Fund balances, beginning of year 2,597,796 5,177,970 7,775,766 4,028,262 ` _ -- - - -- Fund balances, end of year $ 3,274,443 $ 2,968,697 $ 6,243,140 $ 7,775,766 See accompanying notes to financial statements. ra 10 Financial Section THE VILLAGE OF NORTH PALM BEACH, FLORIDA Combined Statement of Revenues and Expenditures -Budget and Actual (Budgetary Basis) -General Fund Year Ended September 30, 9998 Variance Favorable Budget Actual (Unfavorable) Revenues: Taxes $ 5,848,027 $ 6,116,651 $ 268,624 Licenses and permits 350,025 509,055 159,030 Intergovernmental 1,424,300 1,379,295 (45,005) Charges for services 294,660 342,863 48,203 Fines and forfeitures 74,400 128,140 53,740 Interest 175,000 213,637 38,637 Miscellaneous 80,468 96,113 15,645 Total revenues 8,246,880 8,785,754 538,874 Expenditures: Current: General government 1,028,641 964,417 64,224 Public safety 3,007,730 2,871,904 135,826 Public services 2,505,272 2,356,311 148,961 Leisure services 800,240 798,173 2,067 Other 347,905 197,978 149,927 Capital outlay 522,123 390,625 131,498 Debt service: Principal 55,929 55,929 - Interest and fiscal charges 24,001 24,001 - Total expenditures 8,291,841 7,659,339 632,502 Excess (deficiency) of revenues over (under) expenditures (44,961) 1,126,415 1,171,376 Other financing sources (uses): Sale of surplus equipment - 43,162 43,162 Transfers in 98,000 98,000 - Transfers out (545,000) (614,270) (69,270) Total other financing sources (uses) (447,000) (473,108) (26,108) Excess of revenues and other financing sources over expenditures and other financing uses $ (491,961) $ 653,307 $ 1,145,268 See accompanying notes to financial statements. Financial Section 11 i THE VILLAGE OF NORTH PALM BEACH, FLORIDA Statement of Revenues, Expenses and Changes in Retained Earnings All Proprietary Fund Types Year Ended September 30, 1998 Enterprise I ~ ~ Fund Revenues: ~ 1 Charges for services $ 2,077,119 Miscellaneous 36,447 Total operating revenues 2,113,566 r Expenses: Sports activities 1,429,577 ~ ~ Clubhouse 142,917 Administrative and general 270,659 Depreciation 232,021 Total operating expenses 2,075,174 Operating income 38,392 Nonoperating revenues (expenses): Interest income 72,018 Interest expense (31,669) Loss on disposal of fixed assets (130,704) Total nonoperating revenues (expenses) (90,355) Net loss (51,963) Retained earnings, beginning of year 2,818,348 Retained earnings, end of year $ 2,766,385 Retained earnings end of year: L , Reserved $ 72,465 Unreserved 2,693,920 $ 2,766,385 See accompanying notes to financial statements. ~ ~1 ~3 12 Financial Section THE VILLAGE OF NORTH PALM BEACH, FLORIDA Combined Statement of Changes in Net Plan Assets All Pension Trust Funds Year Ended September 30, 1998 Pension Trust Funds Additions: Contributions: Employer $ 307,393 State of Florida 115,355 Plan member 73,079 Total contributions 495,827 Investment income: Interest 149,633 Dividends 240,093 Net appreciation in fair value of investments 205,607 Net investment income 595,333 Total additions 1,091,160 Deductions: Administration 101, 740 Benefits 482,727 Total deductions 584,467 Net increase 506,693 Net assets held in trust for pension benefits, begmning of year 10,249,653 Net assets held in trust for pension benefits, end of year $ 10,756,346 See accompanying notes to financial statements. Financial Section 13 i ~ Ii I THE VILLAGE OF NORTH_PALM BEACH,-FLORIDA Statement of Cash Flows ~ { All °roprietary Fund Types ~ Year Ended September 30, 1998 Enterprise Fund ~ Cash flows from operating activities: Cash received from customers $ 1,914,909 Cash payments to suppliers for goods and services (814,234) Cash payments to employees for services (1,024,890) Other operating cash receipts 36,447 Net cash provided by operating activities 112,232 r~ Cash flows from noncapital financing activities: Cash received from other funds for interfund borrowings 17,417 Cash flows from capital and related financing activities: ~ 1 Principal repayments (137,721) 1 Interest paid on debt (31,669) Acquisition of capital assets (313,799) ~ j Net cash used for capital and related financing activities (483,189) Cash flows from investing activities: Interest on investments 72,018 Net decrease in cash and cash equivalents (281,522) Cash and cash equivalents, beginning of year 1,342,654 Cash and cash equivalents, end of year ~ 1,061,132 Reconciliation of operating income to net cash provided 1 by operating activities: Operating income $ 38,393 L Adjustments to reconcile operating income to net cash provided by operating activities: i Depreciation expense 232,021 Decrease in accounts receivable 4,185 Decrease in inventories 4,905 Decrease in accounts payable (4,451) Decrease in deferred revenue (166,395) 1 ~ Increase in compensated absences 3,574 i Total adjustments 73,839 ~ ~ Net cash provided by operating activities $ 112,232 ~ ~ See accompanying notes to financial statements. L ~l 14 Financial Section ~_i THE VILLAGE OF NORTH PALM BEACH, FLORIDA (Votes to Financial Statements September 30, 1998 (1) THE REPORTING ENTITY 'The Village of North Palm Beach, Florida ("the Village") was incorporated in 196 pursuant to Chapter 31481, Laws of Florida, Ez•traordinary Session 1956. The Village is located in the northeast portion of Palm Beach County, Florida. Its municipal area comprises approximately 1,900 acres of land and 1,200 acres of lakes, ca- nals and lagoons. The Village's nonseasonal population consists of approximately 12,000 residents which in- creases during the winter months to approximately 18,000 people. The Village operates under the Council- Manager form of government and provides the following services to its residents: public safety, planning and zoning, sanitation, library, pazks, marinas and a country club. The Village Council (the "Council") is responsi- ble for legislative and fiscal control of the Village. As required by generally accepted accounting principles, these general purpose financial statements present the government and its component units. Component units are legally separate entities for which the primary gov- ernment is considered to be financially accountable and for which the nature and significance of their relation- ship with the primary government are such that exclusion would cause the Village's combined financial state- menu to be misleading or incomplete. The primary government is considered financially accountable if it ap- points avoting majority of an organization's governing body and imposes its will on that organization. The primary government may also be financially accountable if an organization is fiscally dependent on the primary government, regardless of the authority of the organization's governing board. - Based on the application of the criteria set forth by the Governmental Accounting Standards Board, management has determined that no component units exist which would require inclusion in this report. Further, the Village is not aware of any entity which would consider the Village to be a component unit. (2) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accounts of the Village are organized on the basis of funds and account groups, 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 and other debits, liabilities, fund equity and other credits, revenues, and expen- ditures or expenses, as appropriate. Government resources are allocated to and accounted for in individual funds based upon the purposes for which they are to be spent and the means by which spending activities are con- trolled. The various funds and account groups are reported by generic classification within the financial state- menu as follows: Governmental Fund Types General Fund -used to account for all financial resources applicable to the general operations of the Village government except those required to be accounted for in another fund. Capital Projects Fund -used to account for resources principally provided by general long-term debt and used for the acquisition or construction of major capital facilities other than those financed by proprietary funds. Proprietary Fund Type Enterprise Fund -used to account for operations that provide services on a user charge basis to the public and for activities where the periodic measurement of net income is deemed appropriate for capital maintenance, public policy, management control, accountability or other purposes. Proprietary fund activities and basis of accounting are similar to those often found in the private sector. The Village's sole proprietary activity is the operation of a golf and country club. Financial Section 15 i 1 THE VILLAGE ®F N®RTH PALM BEACH, FLORIDA Notes to Financial Statements September 30, 9998 i~ ~ I Fiduciary Fund Types I Trust Funds -used to account for assets held by the Village in a trustee capacity. The pension trust fluids are accounted for in essentially the same manner as proprietary funds since capital maintenance is critical. Account Grou s Account groups are not funds since they do not reflect available financial resources and related liabilities. In- stead, they are used to establish accounting control and accountability for the Village's general fixed assets and general long-term debt. The following is a description of the account groups of the Village. II 1 General Fixed Assets Account Group -used to maintain control and cost information for all fixed assets other than those accounted for in the proprietary fund. ,i General Long-Term Debt Account Group -used to record outstanding long-term debt other than debt recorded - l in the proprietary fund. Totals (Memorandum Only} r Amounts in the "Totals (Memorandum Only)" columns in the combined financial statements represent a sum- mation of the combined financial statement line items of the fund types and account groups and are presented only to facilitate financial analysis. Data in these columns do not present financial position, results of opera- tions, or cash flows in conformity with generally accepted accounting principles. Neither is such data compara- ble to a consolidation. Interfimd eliminations have not been made in the aggregation of this data. _ Basis of Accounting and Measurement Focus Basis of Accounting ) Basis of accounting refers to when revenues and expenditures or expenses are recognized in the accounts and L relates to the timing of the measurements made, regardless of the measurement focus applied. All governmental funds are accounted for using the modified accrual basis of accounting. Their revenues are recognized in the period in which they become susceptible to accrual, i.e., when they become measurable and J available to pay liabilities of the current period. Ad valorem taxes and charges for services are susceptible to 1 accrual when collected in the current year or within 60 days subsequent to year-end, provided that amounts re- ceived pertain to billings through the f"fiscal year dust ended. Intergovernmental revenues, which include state - revenue sharing allotments, local government one-half cent sales tax, and county shared revenue, among other sources, are recorded in accordance with their legal or contractual requirements if collected in the current period or within 60 days after year-end. Interest is recorded when earned. Licenses and permits, fines and forfeitures 1 and miscellaneous revenues are recorded as revenues when received in cash because they are generally not 1 measurable until actually received. Occupational license revenues collected in advance of periods to which they relate are recorded as deferred revenues. ~i Expenditures are generally recognized under the modified accrual basis of accounting when the related fund li= ability is incurred. Exceptions to this general rule include principal and interest on general long-term debt which I is recognized when due. L The proprietary fund and pension trust funds are accounted for using the accrual basis of accounting, Their l revenues are recognized when earned, and their expenses are recognized when they are incurred. Membership y~f n a 16 Financial Section ~ ~3 THE VILLAGE OF NORTH PALM BEACH, FLORIDA Notes to Financial Statements September 30, 9998 fees of the proprietary fund that are collected in advance of the period to which they apply are recorded as de- ferred revenue. Measurement Focus All government funds are accounted for on a flow of current financial resources measurement focus. This means that only current assets and current liabilities are generally included on their balance sheets. Their re- ported fund balance (net current assets) is considered a measure of "available spendable resources". Govern- mental fund operating statements present increases (revenues and other financing sources) and decreases (ex- penditures and other financing uses) in net current assets. Accordingly, they are said to present a summary of sources and uses of "available spendable resources" during a period. The enterprise fund and the pension trust funds are accounted for on a flow of economic resources measurement focus. This means that all assets and all liabilities (whether current or noncurrent) associated with their activity are included on their balance sheets. The enterprise fund and the pension trust funds' operating statements pres- ent increases (revenues) and decreases (expenses) in net total assets. The Village has elected not to apply FASB Statements and Interpretations issued after November 30, 1989, as permitted by Statement No. 20 of the Government Accounting Standards Board, Accounting and Financial Re- porting for Proprietary Funds and Other Governmental Entities That Use Proprietarv Fund Accounting. Budgetary Accounting State of Florida statutes require that all municipal governments establish budgetary systems and approve bal- anced annual operating budgets. The Council annually adopts an operating budget and appropriates funds for the general fund. The procedures for establishing budgetary data are as follows: In July of each year, the Village Manager submits a proposed operating budget to the Council for the next fiscal year commencing the following October first. The proposed budget includes expenditures and the means of financing them. During the third week of July, the Council holds public meetings to obtain taxpayer comments. Upon completion of the public hearings and prior to October 1, a final operating budget is legally enacted through the passage of an ordinance. Estimated beginning fund balances are considered in the budgetary process. The ordinance approved by the Council which adopted the budget for the fiscal year ended September 30, 1998, allows budget transfers based on the following regulations: Appropriations within a department shall not be transferred in amounts of $2,00 or more without the ap- proval of the Council. Appropriations within a department less than $2,00 shall not be transferred without the approval of the Village Manager. Unencumbered appropriations lapse at fiscal year end. Encumbrances at year end are carried forward to the next year. During the year, several supplementary appropriations were necessary. For the year ended September 30, 1998, several expenditures exceeded appropriations in the general fund. They are as follows: Expenditures for health insurance exceeded appropriations in a majority of the Departments due to an unan- ticipated accrual for claims liability at the end of the fiscal year. Financial Section 17 i i THE VILLAGE OF NORTH PALM EEACH, PLORI®A Notes to Financial Statements September 30, 9998 ~ ~ Expenditures for legal services by the Village attorney exceeded appropriations due to ongoing liability and code enforcement issues and labor negotiations. 1 Expenditures for part-time pay and electricity in the recreation department exceeded appropriations due to - unanticipated operating costs that were incurred after the renovated facilities tivere placed in service. Transfers to the capital projects fund exceeded the appropriated amount due to additional costs related to change orders and loan payments. The budget for the general fund is adopted on an accounting basis that differs from generally accepted account- ing principles (GAAP) because they include open encumbrances as expenditures (See Note 9). A project length r ~ ~ budget, which differs from GAAP, has been adopted for the capital projects fund. The Village also adopts a non-appropriated operating budget for the enterprise fund substantially on a basis consistent with generally ac- cepted accounting principles, except that depreciation is not budgeted. Cash and -Cash Equivalents All short-term investments that are highly liquid are considered to be cash equivalents. Cash equivalents are ` readily convertible to a known amount of cash, and at the day of purchase, have a maturity date no longer than three months. Investments Investments are reported at fair value, which is determined by using various third party pricing sources. Restricted Assets Cash and cash equivalents are restricted for the following purposes: 1998 1997 Law enforcement education $ 8,738 $ 7,694 Library 9,233 823 l Recreation facilities 4,000 - J Total restricted assets $ 21.,971 $ 8,517 Special Assessments Receivable/Deferred Revenue ~ ! Special assessments receivable recorded in the general fund represent the aggregate balance of assessments lev- ied by the Village to repay the costs of improvements. These assessments are collected in annual installments together with interest and collection costs. The Village reports deferred revenue in an amount equal to the special assessments receivable since this revenue L will be collected in future years. Inventories ) i Inventories are valued at cost determined on a first-in, first-out basis. Inventories in the general fund consist of expendable supplies held for consumption. The initial cost is recorded as an asset at the time the individual in- ventory items are purchased and are charged against operations in the period when used. Fixed Assets ` Land, buildings and equipment acquired or constructed for general governmental purposes are recorded as ex- penditures (i.e., Capital Outlay) in the fund making the acquisition and capitalized at cost in the general fixed assets account group. Certain general fixed assets acquired prior to 1986 have been capitalized at their esti- 18 Financial Section ~i THE VILLAGE OF NORTH PALM BEACH, FLORIDA Notes to Financial Statements September 30, 9998 mated historical cost. Donated assets are capitalized in the general fixed assets account group at their fair mar- ket value at the time received. Assets in the general fixed assets account group are not depreciated. Public domain ("infrastructure") general fixed assets consisting of streets, sidewalks, drainage systems, curbs and lighting systems are not capitalized by the Village since they are immovable and of value only to the Vil- lage. Fixed assets, including infrastructure type items, of the enterprise fund are capitalized and depreciated in that fund on the straight-line method over their estimated useful lives. The estimated useful lives are as follows: Buildings and improvements 30 years Improvements other than buildings 10 years Golf course improvements 15 years Equipment 3-10 years Compensated Absences The Village's employees are granted compensated absence pay for vacation and sick leave in varying amounts based on length of service. Unused compensated absences are payable upon separation from service. Vacation is accrued as a liability when the employee earns benefits. 'This means that the employee has rendered services that give rise to a vacation liability and it is probable that the Village will compensate the employee in some - manner, e.g., in cash or paid time-off, now or upon termination or retirement. The Village uses the vesting method in accruing sick leave liability. Under the vesting method, the liability for sick leave is accrued for em- plo~~ees who are eligible to receive termination payments upon separation. Along-term liability of $546,319 is recorded in the general long-term debt account group for general fund employees and $86,284 in the enterprise fund for country club employees. Fund Balance Reserves Reserves are used to indicate that a portion of the fund balance is not appropriable for expenditure or is legally segregated for a specific future use. Usage of reserves has been limited to the following: Reserved for inventories, prepaid items, and deposits -Indicates that a portion of fund balance is segregated since these items do not represent "available spendable resources." Reserved for encumbrances -Encumbrance accounting, under which purchase orders, contracts, and other commitments for the expenditure of monies are recorded in order to reserve that portion of the applicable appropriation, is employed as an extension of formal budgetary integration in the general fund. Open en- cumbrances at year end are reported as reservations of fund balance. Encumbrances do not constitute ex- penditures or liabilities. Reserved for restricted assets -Restricted for expenditures related solely to law enforcement and to the li- brary. Reserved for special projects -Restricted for a public safety building and expansion of recreational facilities in the capital projects fund. Reserved for employees' pension benefits -Restricted for payment of retirement benefits. Designation of a portion of the fund balance was established to indicate tentative plans for financial resource utilization related to future expenses. Financial Section 19 i I THE VILLAGE OF NORTH PALM BEACH, FLORIDA Notes to Financial Statements September 30, 1998 ~ ~ Contributed Ca itai p Contributed capital is recorded in proprietary funds that have received capital grants or contributions from de- ~ ~ ~ velopers, customers or other funds. ~ Retained Earnings Reserves Retained earnings of the enterprise fund reflects amounts that are reserved for expenses related to the assessment and rehabilitation of the contamination site resulting from a leak in the underground gas facilities ($32,866) and the acquisition of capital assets ($39,599). Unreserved retained earnings represents the remainder of the Vil- , lage's equity in the cumulative earnings of the enterprise fund. Inter'fund Transactions During the course of normal operations, the Village has numerous transactions between funds including expen- ~ ~ ~ ditures and transfers of resources to provide services, to construct assets and to meet debt service requirements. To the extent that certain transactions between funds have not been paid or received at year-end, balances of interfund amounts receivable or payable have been recorded. All other interfund transactions consist of trans- ] fers from the fund budgeted to receive revenue to the fund through which the resources are budgeted to be ex- l pended. These transfers are recorded as operating transfers in or out, as appropriate. Property Taxes Under Florida law, the assessment of all properties and the collection of all county, municipal and school board property taxes are consolidated in the offices of the County Property Appraiser and County Tax Collector, re- spectively. All property is reassessed according to its fair market value on January 1 of each year and each as- sessment roll is submitted to the State Department of Revenue for review to determine if the assessment rolls meet all of the appropriate requirements of State law. The assessed value of property within the corporate limits of the Village at January 1, 1997, upon which the 1997-98 levy was based, was approximately $760 million. State Statutes permit municipalities to levy property taxes at a rate of up to 10 mills. The tax levy of the Village is established by the Council prior to October 1 of each year during the budget pros- ` ) ess. The Palm Beach County Property Appraiser incorporates the Village's millage into the total tax levy, which includes the County, County School Board, and Special District tax requirements. The millage rate as- sessed by the Village for the year ended September 30, 1998, was 5.4000 ($5.40 for each $1,000 of assessed i 1 valuation). 1 Taxes may be paid less a 4% discount in November or at declining discounts each month through the month of L 1 February. All unpaid taxes become delinquent on April 1 following the year in which they are assessed. Delin- 1 quent taxes on real property bear interest at 18% per year. On or prior to June 1 following the tax year, certifi- cates are offered for sale for all delinquent taxes on real property. After sale, tax certificates bear interest at 18% per year or at any lower rate bid by the buyer. Application for a tax deed on any unredeemed tax certificates may be made by the certificate holder after a period of ttivo years. ` Unsold certificates are held by the County. Delinquent taxes on personal property bear interest at 18% per year ~ until the tax is satisfied either by seizure and sale of the property o_r by the five-year statute of limitations. At September 30, unpaid delinquent taxes are not material and have not been recorded by the Village. Pension Plans ` The Village sponsors and administers two pension plans covering substantially all full-time employees. Annual costs of the pension plans are actuarially computed and the Village funds annual pension costs as incurred. i~ n 20 Financial Section THE VILLAGE OF N®RTH PALM BEACH, FLORIDA Notes to Financial Statements September 30, 9998 (3) DEPOSITS AND INVESTMENTS All of the Village's deposits are held in qualified public depositories pursuant to State of Florida Statutes, Chapter 280, "Florida Security for Public Deposits Act." Under the Act, every qualified public depository shall deposit with the Treasurer eligible collateral of the depository to be held subject to his or her order. The Treas- urer, by rule, shall establish minimum required pledging levels. The pledging level may range from 25% to 125% of the average monthly balance of public deposits depending upon the depository's financial condition and establishment period. All collateral must be deposited with an approved financial institution. Any losses to public depositors are covered by applicable deposit insurance, sale of securities pledged as collateral, and, if necessary, assessments against other qualified public depositories of the same type as the depository in default. Deposits At year end, the carrying amount of the Village's deposits was $1,855 and the bank balance was $5,778. The entire bank balance was covered by federal depository insurance. Investments Florida Statutes authorize the Village to invest any surplus public funds in the Local Government Surplus Funds Trust Fund (administered by the State Board of Administration), negotiable direct obligations of the United States Government, interest bearing time deposits or savings accounts provided that any such deposits are se- cured by collateral as prescribed by law, obligations of the federal farm credit banks, obligations of the Federal National Mortgage Association, and securities of, or other interests in, any open-end or closed-end management type investment company or investment trust. Investments of the pension trust funds can consist of every kind of property, real, personal, or mixed, and every kind of investment, specifically including bonds, debentures and other corporate obligations, and stocks, preferred or common. The Village's investments are categorized to give an indication of the level of risk assumed by the entity at year end. Category 1 includes investments that are insured or registered or for which the securities are held by the Village or its agent in the Village's name. Category 2 includes uninsured and unregistered investments for which the securities are held by the counter-parry's trust deparhnent or agent in the Village's name. Category 3 includes uninsured and unregistered investments for which the securities are held by the counter-party, or by its trust department or agent but not in the entity's name. Category Reported Fair 1 2 3 Value Value Customer Sweep Agreement $ - $ - $ 477,483 $ 477,483 $ 477,483 U.S. Government Securities - 2,067,937 - 2,067,937 2,067,937 Corporate bonds - 409,650 - 409,650 409,650 Common stock - 2,716,206 - 2,716,206 2,716,206 $ - $ 5,193,793 $ 477,483 5,671,276 5,671,276 Investment in State Treasurer's investment pool 7,583,824 7,583,824 Retirement plan mutual funds 5,302,734 5,302,734 $ 18,557,834 $ 18,557,834 The pension trust funds own all of the investments in Category 2. Financial Section 21 i THE VILLAGE OF NORTH PALM BEACH, FLORIDA f ~ ~ Notes to Financial Statements , September 30, 1998 (4) LAND, BUILDINGS, AND EQiJIPMENT ~ General Fixed Assets r The following is a summary of changes in the general fixed assets account group during the fiscal year. Balance Balance October 1, September 30, 1997 Additions Deletions 1998 Land $ 2,027,123 $ - $ - $ 2,027,123 r' Buildings and improvements 2,103,541 2,190,725 - 4,294,266 Construction in progress 1,316,064 2,727,012 2,185,611 1,857,465 ~- ~ i Equipment 2,986,109 212,493 238,815 2,959,787 Library books and equipment 717,674 77,528 41,419 753,783 Total $ 9,150,511 $ 5,207,758 ~ 2,465,845 $ 11,892,424 Construction in progress on October 1, 1997, represented costs incurred in the construction of the public safety building, Anchorage Park community activity building, community center ballfield, and Osborne Park conces- ~ Sion stand projects. During 1998, construction of the Anchorage Park community activity building, community center ballfield and the Osborne Park concession stand were completed. Construction in progress for the year ended September 30, 1998, represents the costs incurred in the construction of the public safety building. Proprietary Fund Fixed Assets A summary of the proprietary fiznd land, buildings and equipment at September 30, 1998, is as follows: Land $ 1,051,311 Building and improvements 856,855 Improvements other than building 255,244 Furniture, fixtures and equipment 620,615 Golf course improvements 1,603,940 Construction in progress 101,462 L 4,489,427 Less accumulated depreciation (1,855,613) $ 2,633,814 Corstructior~ in progress at September 30, 1998, represents costs incurred for the resurfacing of the tennis j courts. } (5) LONG-TERM DEBT L Loans Payable i Revenue Note The Village Council adopted Resolution No. 32-96 authorizing the execution of a loan agreement for the pur- pose of financing certain projects at the Country Club in the amount of $300,000. The loan is secured by a pri- ority lien on utility tax revenues. Principal and interest payments are due semi-annually from December 1, 1996, through June 1, 2001. The interest rate on the loan is 4.16%. Annual debt service requirements to matur- ity, which are~payable by the proprietary fund, are as follows: r 22 Financial Section ~3 THE VILLAGE OF NORTH PALM BEACH, FLORIDA Notes to Financial Statements September 30, 9998 Year Ending September 30 Amount 1999 $ 67,692 2000 67,692 2001 6,268 Total debt service requirements 200,652 Less: Amount representing interest (13,651) $ 187,001 Promissory Note The Village Council adopted Resolution No. 8-97 authorizing the issuance of a note in the principal amount of $6,60,000 to finance the acquisition, construction, equipping, and improving of a public safety building, a community center, and a recreation building. A portion of the proceeds were also used to refinance an existing loan incurred to make improvements to the country club. The promissory note is secured by franchise fees and public service taxes of the Village. Principal payments of $190,000 are due semi-annually on January 1 and August 1, commencing on August 1, 1997. The interest rate is at the LIBOR Rate which is defined as 75% of the rate of interest published as one-month LIBOR on the first day of each month. The effective rate at September 30, 1998, was 4.23% and this approximates the rate that was used to calculate the debt service requirements to maturity. A portion of the promissory note ($560,000) is reported in the proprietar<- fund in an amount equal to the pro- ceeds used to refinance an existing country club obligation. The remainder of the promissory note ($6,000,000) is recorded in the general long-term debt account group. Annual debt service requirements to maturity are as follows: General Year Ending Proprietary Long-Term September 30 Fund Debt 1999 $ 97,817 $ 532,260 2000 94,423 519,534 2001 91,030 X06,807 2002 87,636 494,081 Thereafter 12,090 5,734,017 49,996 7,786,699 Less: Amount representing interest (~~,996) (2,236,699) $ 440,000 $ 5,550,000 Capital Leases The Village entered into two lease agreements as lessee for financing the acquisition of two EMS vehicles and a fire truck. Both lease agreements qualify as capital leases for accounting purposes and therefore have been re- corded at the present value of the future minimum lease payments as of the date of inception. Lease payments will be made from the general fund. The following is a schedule of the future minimum lease payments under these capital leases. Financial Section 23 THE VILLAGE OF iUORTH PALM BEACH, FLORIDA . N_ otes to Financial Statements ~ September 30, X998 1 Year Ending r September 30 Amount 1999 $ 79,930 2000 79,930 2001 68,081 2002 56,232 2003 56,232 1 Thereafter 168,696 J Less: Amount representing interest (89,603) Present value of future ~ ~ ~ minimum lease payments $ 419,498 Changes in Long-Term Liabilities During the year ended September 30, 1998, the following changes occurred in liabilities reported in the general long-term debt account: Balance Balance ~ ~ October 1, September 30, 1997 Additions Deletions 1998 Promissory note $ x,850,000 $ - $ 300,000 $ 5,50,000 Compensated absences 502,635 43,684 - X46,319 Capital leases 475,427 - ~~,929 419,498 ` Total $ 6,828,062 $ 43,684 $ 355,929 $ 6,515,817 (6) RISK MANAGEMENT - The Village currently reports all of its risk management activities in the general fund. Claims expenditures and L 1 liabilities are reported when it is probable that a loss has occurred and the amount of the loss can be reasonably I estimated. These losses include an estimate of claims that have been incurred but not reported. Employee Benefits Group The Village is self insured to provide group medical coverage. A third party administers the group medical cov- erage for the Village. The Village funds its own losses based on actual claims. A stop loss insurance contract L j executed with an insurance carrier covers individual claims in excess of $3,000 per plan year. There were no J significant changes in insurance coverage from the prior year and the amount of settlements did not exceed in- surance coverage for the last three years. The liability for unpaid claims is estimated using an industry average that is based on actual claims paid. As of September 30, 1998, the Village recorded a liability for its employee beneftt plan in the amount of $79,026 be- cause Village claims exceeded contributions for the year. Changes in the claims liability since September 30, 1 1996, a_re as fol_1_ows: h ri ~4 Financial Section ~ ' THE VILLAGE OF NORTH PALM BEACH, FLORIDA Notes to Financial Statements September 30, 1998 Claims and Year Ended Claims Liability Change in Claim Claims Liability September 30, Beginning of Year Estimates Payments End of Year 1996 $ 16,354 $ 365,704 $ (382,058) $ - 1997 - 488,600 (488,600) - 1998 - 619,596 {540,570) 79,026 Property and Casualty Group The Village also participates in Southeast Risk Management Association (SERMA), aquasi-governmental agency created by an interlocal agreement, as authorized by Florida Statute 163. SERMA administers the prop- erty and casualty coverage for the Village. The Village and other participating members pool their resources so as to provide a comprehensive risk management program, including insurance coverage, whose cost is less than the cost of each municipality obtaining insurance separately. The members are subject to supplemental assess- ments in the event of deficiencies, except that to the extent that deficiencies result from a specific claim against a member in excess of the reinsurance available, such deficiency is solely the responsibility of that member. SERMA reinsures for tivorkers compensation and property claims in excess of $250,000. The Village is also covered by Florida Statutes under the Doctrine of Sovereign Immunity which effectively limits the amount of liability of municipalities to individual claims of $100,000/$200,000 for all claims relating to the same incident. There were no changes in insurance coverage from the prior year and the amount of settlements did not exceed insurance coverage for the last three years. At September 30, 1998, there were no liabilities recorded for property and casualty based on a recent actuarial valuation which indicated that the reserve for incurred but not yet reported losses was adequately funded and no additional contributions are required. (7) PENSION PLANS The Village maintains the following two separate single employer defined benefit plans: Village of North Palm Beach Fire and Police Retirement Fund, covering fire fighters and police officers, and Village of North Palm Beach General Employees Retirement Fund, covering substantially all other full-time Village employees. Both plans are reported as pension trust funds and included as part of the Village's reporting entity. Neither plan is- sues a stand-alone financial report. Additional information on these plans can be found on page 32. Each plan has its own board which acts as plan administrator and trustee: Board of Trustees (for the Fire and Police Retirement Fund) and General Employees Retirement Board. Each plan's assets may only be used for the payment of benefits to the members and beneficiaries of the plan in accordance with the terms of each plan document. The costs of administering each plan are financed in the appropriate pension trust fund. The Florida Constitution requires local governments to make the actuarially determined contribution. The Florida Division of Retirement reviews and approves each local government's actuarial report prior to its being appropriate for use for funding purposes. Additionally, the State collects two locally authorized insurance pre- mium surcharges (one for the Police Pension Plan on casualty insurance policies and one for the Fire Pension Plan on certain real and personal property insurance policies within the corporate limits) which can only be dis- tributed after the State has ascertained that the local government has met their actuarial funding requirement for the then most recentl~• completed fiscal year. Investments are reported at fair value and are managed by third parry money managers. The Village's inde- pendent custodians and individual money managers price each instrument using various third parry pricing sources. Financial Section 25 THE VILLAGE OF NORTH PALM BEACH, FLORIDA f Notes to Financial Statements September 30, 1998 The following investments represent concentrations of 5% or more of net pl~~ assets m investments that are not issued or guaranteed by the U.S. government. General Employees Retirement Fund ~ j Mutual Funds: STI Classic Investment Grade Bond Fund $ 2,154,673 STI Classic Value Income Stock Fund 1,298,773 STI Classic Capital Growth Fund 684,511 SunTrust U.S. Limited Capitalization Equity Fund 503,902 r 1 SunTrust High-Grade Equity Income Fund 660,875 1 Fire and Police Retirement Fund No nongovernmental investments exceed 5% of net plan assets. The following schedule is derived from the respective actuarial reports and Village information for the two pen- sion plans as of October 1, 1997: 1 General Employees Fire and Police 1 Accounting Policies and Plan Assets: Authority Village Ordinance Village Ordinance/State Statute L 1 Basis of Accounting Accrual Accrual 1 Asset Valuation: Reporting Fair Value Fair Value ` Actuarial Valuation 5-year smoothed market 5-year smoothed market Legal Reserves None None Long-Term Receivable None None InternaUParticipant Loans None None Membership and Plan Provisions: Members: Active Participants 79 33 i Retirees and Beneficiaries 26 6 1! Terminated Vested 14 3 Normal Retirement Benefits: Option 1 Option2 Retirement Age 65 60 55 Years of Service (minimum) 5 5 9 Accrual - (years 1-20) 2.00% 2.25% 2.50% (over 20) 1% 1% - Maximum None None 60% Years to Vest 9 9 10 n 26 Financial Section ~ ' THE VILLAGE OF NORTH PALM BEACH, FLORIDA Notes to Financial Statements September 30, 1998 General Employees Fire and Police Contributions: Actuarial Rate: City 9.45% 3.16% State n/a ~ .40% Participants: (Option 1) 0.00% 2.00% (Option 2) 2.00% n/a Annual Pension Cost $ 224,810 $ 118,643 Contributions Made $ 292,125 $ 203,702 Actuarial Valuation: Frequency Annual Annual Latest Valuation 10/1/97 10/1/97 Basis for Contribution 10/1/97 10/1/97 Cost Method Aggregate Aggregate Note: The aggregate actuarial cost method does not identify or separately amortize unfunded actuarial liabilities. Assumptions: Investment Earnings (including inflation) 8.0% /year 8.0% /year Salary Increases (including inflation) 6.0% /year 6.0% /year Inflation 4.0% /year 4.0% /year Mortality Rates 1983 Group Annuity 1983 Group Annuity Mortality Table Mortality Table Retirement Age: Eligible for early retirement Normal retirement date attained 60% 60% Four years after normal retirement date 40% 40% Fifth year after normal retirement date 100% 100% Turnover Male Female Age Z~ 9.6% 17.4% ~.7% Age 30 7.0% 14.1% ~.0% Age 3~ ~.5% 11.3% 3.8% Age 40 4.1% $.6% 2.6% Age 4~ 2.8% 6.1% 1.6% Age ~0 1.~% 3.6% 0.8% Age O.J% 0.9% --- Post Retirement Benefits 3% for those who 3% /year retired before 2/1/82 Financial Section 27 i I ~ THE VI~,I~AGE ®F N®RTH PA~.M EEACH, Ft~®RIDA Notes to Financial Statements September 30, 1998 ` l The Village has traditionally contributed the annual required contribution (ARC) and thus has never actually had, or had need to report, a net pension obligation (NPO). The Village implemented GASB Statements No. 25 and 27. At the point of transition (October 1, 1996), the Village had no pension liability reflected in either the general long-term debt account group or any individual fund. In accordance with GASB Statement 27, the Vil- lage calculated the potential for a NPO and reaffirmed that none existed at September 30, 1998. Three-Year Trend Information Annual Percentage Net r J Year Pension of APC Pension Ended Cost (APC) Contributed Obligation General 9/30/96 $ 259,751 100.1% $ - J Employees 9/30/97 240,637 100.2% - 9/30/98 224,810 101.9% - ~ i Fire and Police 9/30/96 $ 131,611 101.4% $ - 1 9/30/97 167,763 101.0% - 9/30/98 118,643 101.0% - (9) BUDGETARY DATA Budgeted amounts presented in the accompanying financial statements are as originally adopted, or as amended, in accordance with Village ordinance. The Council may amend the current year's budget appropriation by pas- 1 sage of a budget amendment ordinance after conducting two public hearings on the matter. The following is a 1 summary of budget revisions for the year ended September 30, 1998: l Original Net Final 1 Budget Revisions Budget General Fund: Total expenditures $ 8,263,841 $ 28,000 $ 8,291,841 The Combined Statement of Revenues, Expenditures and Changes in Fund Balances -All Governmental Fund L Types on page 10 is presented in accordance with generally accepted accounting principles (GAAP). The Com- bined Statement of Revenues and Expenditures -Budget and Actual on page 11 is presented on a budgetary ba- sis. Data presented in these two statements differ because encumbrances (i.e., contracts, unfilled purchase or- ders, and other commitments for future expenditures) are recorded as expenditures for budgetary purposes but are recorded as a reservation of fund balance for GAAP purposes. Adjustments necessary to compare the excess of revenues and other financing sources over expenditures and other financing uses of the general fund at year- end are as follows: ~ ii I I~ ~3 r~ 28 Financial section THE VILLAGE OF NORTH PALM BEACH, FLORIDA Notes to Financial Statements September 30, 1998 Excess of revenues and other financing sources over expenditures and other financing uses (GAAP Basis) $ 676,647 Adjustments: Prior year budget encur~ibrances expended in current year 125,522 Current year budget encumbrances outstanding at year-end (148,862) Excess of revenues and other financing sources over expenditures and other financing uses (budgetary basis) $ 653,307 (9} COMMITMENTS Construction Contracts Construction contracts as of September 30, 1998, consist of the following: Expended Total as of Balance Project September 30, to Project Fund Amount 1998 Complete Public Safety Building Capital Projects $ 3,596,400 $ 1,494,634 $ 2,101,766 Tennis Court Resurfacing Enterprise 169;000 101,462 67,538 Operating Leases The Village is committed under a lease agreement for golf carts in the enterprise fund. The lease is considered for accounting purposes to be an operating lease. Lease payments for the year ended September 30, 1998, were $69,101. Future minimum lease payments are $47,760 for the year ending September 30, 1999. (10) JOINTLY GOVERNED ORGANIZATION The Village, through an interlocal agreement with certain other municipalities and Palm Beach County, created the Seacoast Utility Authority ("Seacoast") which provides water and sewer service to the citizens of each of the participating municipalities and a portion of Palm Beach County. Seacoast's governing board is comprised of one member from each participating entity. Seacoast is an independent Authority organized under the laws of the State of Florida and the Village has no participating equity ownership in Seacoast. The Village paid $54,470 to Seacoast during the fiscal year for water and sewer service. (11) POSTEMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS In addition to the pension benefits described in Note 8, the Village provides postretirement health care and life insurance benefits, in accordance with State statutes, to all employees who retire from the Village: The normal retirement age for police and firefighters is age 5~; the normal retirement age for all other Village employees is either age 60 or age 6~, depending on the option selected by the employee. The employee's contribution is the full amount of the annual premium. Expenditures for postretirement health care and life insurance benefits are Financial Section 29 THE VILLAGE OF NORTH PALM BEACH, FLORIDA f Notes to Financial Statements September 30, 1998 recognized as expenditures as claims are paid. Currently, no retirees who met the eligibility requirements elected to participate in the health care plan. {1 YEAR X000 C®IVVERSI®N The Village recognized the need to ensure its operations will not be adversely impacted by Year 2000 software failures. Software failures due to processing errors potentially arising from calculations using the Year 2000 date are a known risk. The Village is addressing this risk to insure the availability and integrity of financial systems. The Village has established processes for evaluating and managing the risks and costs associated with this problem. The initial assessment has been completed and the Village has hired a fizll-time computer consult- ant/systems analyst to implement the necessary conversions. The cost of achieving Year 2000 compliance, in- l eluding the implementation of the information system master plan, is estimated to be approximately $500,000, ) which has been budgeted and will be incurred throughout fiscal year 1999. i rl 1 [1 ~l ~I ~I L 30 Financial Section J ~7 Required Supplementary Information Financial Section 31 i THE VILLAGE ®F NORTH PALM BEACH, FLORIDA Required Supplementary Information r~ Schedule of Employer and State Contributions Annual Year Ended Required Percentage September 30 Contribution Contributed General employees Retirement Fund 1993 225,280 100.3% 1994 214,046 104.2% ~ 1 1995 269,422 100.2% ~ 1996 259,751 100.1% 1997 240,637 100.2% ~ ~ ~ 1998 224,810 101.9% 1 Fire and Police Retirement Fund * J 1993 140,031 100.7% 1994 130,551 100.5% 1995 126,988 103.9% 1 1996 131,611 101.4% J 1997 167,763 101.0% 1998 118,643 101.0% * Annual required contributions for the Fire and Police Retirement Fund include contributions from the L I State of Florida. J See notes to required supplementary information. ;- J 1 ~l I l~ `l 32 Financial Section THE VILLAGE OF NORTH PALM BEACH, FLORIDA Notes to Required Supplementary Information September 30, 1998 The aggregate actuarial cost method does not identify or separately amortize unfunded actuarial liabilities. The information presented in the required supplementary schedules was determined as part of the actuarial valuations at the dates indicated. Additional information as of the latest actuarial valuation follows: General Fire Employees and Police Valuation date 10/1/97 10/1/97 Actuarial cost method Aggregate Aggregate Asset valuation method 5-year 5-year smoothed smoothed market market Actuarial assumptions: Investment rate of return (including inflation) 8% /year /year Salary increases (including inflation) 6% /year 6% /year Inflation 4% /year 4% I year Post retirement benefit increases 3% /year for 3% /year those who retired before 2/1/82 Financial Section 33 r~ r r r r ~ ~ I r 1 This page intentionally left blank. 1 ~l C1 [1 :1 1 ..1 a L J i ~I 34 Financial Section t~ General Fun d Financial Section 35 I THE VILLAGE OF NORTH PALM BEACH, FLORIDA Comparative Balance Sheets General fund September 30, 1998 and 1997 1999 1997 r~ Assets { Assets: Cash and cash equivalents $ 3,398,035 $ 2,579,215 Restricted cash 21,971 8,517 Receivables: State shared revenues - 74,748 Utility taxes 108,248 61,900 Accounts 73,643 115,694 ~ i Grants - 96,463 Special assessments 17,972 20,250 Inventories 35,906 31,524 Prepaid items 967 98 Deposits 2,000 40,456 Total assets $ 3,658,742 $ 3,028,865 1 Liabilities and Equity l Liabilities: Accounts payable and other liabilities $ 266,710 $ 286,648 , , Deferred revenue 113,186 140,048 Miscellaneous deposits 4,403 4,373 Total liabilities 384,299 431,069 Equity: Fund balance: I l Reserved for inventories 35,906 31,524 I Reserved for prepaid items and deposits 2,967 40,554 Reserved for restricted assets 17,971 8,517 ` l Reserved for encumbrances 148,862 125,522 J Reserved for special projects 4,000 69,270 Designated for subsequent years 723,221 474,961 Unreserved: Undesignated 2;341;516 1,847,448 Total equity 3,274,443 2,597,796 L i Total liabilities and equity $ 3,658,742 $ 3,028,865 J l 1 ~l ri 36 Financial Section THE VILLAGE OF NORTH PALM BEACH, FLORIDA Schedule of Revenues and Other Financing Sources -Budget and Actual -General Fund Year Ended September 30, 1998 Variance Favorable Budget Actual (Unfavorable) Taxes: Ad valorem taxes $ 3,903,927 $ 3,967,435 $ 63,508 Sales and use taxes: Local option gas tax trust 165,000 148,157 (16,843) Motor fuel gas tax 80,000 71,057 (8,943) Total sales and use taxes 245,000 219,214 (25,786) Franchise taxes: Electricity 550,000 607,604 57,604 Telephone 21,000 25,322 4,322 Gas 4,000 3,616 (384) Cable TV 85,000 107,020 22,020 Water 152,000 166,968 14,968 Total franchise taxes 812,000 910,530 98,530 Utility service taxes: Electricity 660,000 695,512 35;512 Telecommunication 195,000 293,149 98,149 Gas 3,000 15,634 12,634 Fuel oil 100 61 (39) Propane 29,000 15,116 (13,884) Total utility service taxes 887,100 1,019,472 132,372 Total taxes 5,848,027 6,116,651 268,624 Licenses and permits: Village occupational licenses 175,000 185,394 10,394 Building permits 175,000 323,657 148,657 Other licenses and permits: Bicycle registrations 25 4 (21) Total licenses and permits 350,025 509,055 159,030 Intergovernmental revenue: State shared revenue: General government: Cigarette tax 34,000 32,502 (1,498) State shared revenue 230,000 242,936 12,936 Alcoholic beverages licenses 8,000 9,194 1,194 Local government 1/2 cent sales tax 700,000 741,560 41,560 Total state shared revenue 972,000 1,026,192 54,192 Continued on the following page... Financial Section 37 THE VILLAGE. OF NORTH .PALM BEACH, FLORIDA r Schedule of Revenues and Other Financing Sources - Budget and Actual -Genera! Fund (Continued) Year Ended September 30, 1998 _ Variance ~ ~ i Favorable Budget Actual (t3nfavorable) Transportation: r ~ ~ Motor fuel tax rebate $ 7,000 $ 9,898 $ 2,898 County shared revenues: County occupational licenses 30,000 41,459 11,459 911-system enhancement program 119,300 15,137 (104,163) Beautification grant - 10,497 10,497 Recycling grant 10,000 3,032 (6,968) LSTA grant 11,000 11,000 - Reimbursement gas tank leak 275,000 261,950 (13,050) EMS grant - 130 130 Total county shared revenues 445,300 343,205 (102,095) Total intergovernmental revenue 1,424,300 1,379,295 (45,005) Charges for services: General government: L 1 Sale of maps and publications 600 702 102 J Certify, copy & research 600 1,092 492 Election filing fees 60 50 (10) Total general government 1,260 1,844 584 Public safety: Accident reports and identifications 2,000 2,983 983 Ambulance fees 125,000 148,134 23,134 Total public safety 127,000 151,117 24,117 l Physical environment: J Refuse collection fees 60,000 74,015 14,015 Ground maintenance 500 504 4 Protective inspections fees - 2,150 2,150 ` Total physical environment 60,500 76,669 16,169 Culture and recreation: Library: Memberships 7,000 5,963 (1,037) 1 Copying 2,500 1,647 (853) ~ 1 Postage 1,200 982 (218) Contributions - 8,410 8,410 ~ Recreation: Program activity fees 3,000 2,230 (770) Arts and crafts 2,000 4,635 2,635 Summer programs 6,000 1,525 (4,475) Continued on the following page... n 38 Financial Section THE VILLAGE OF NORTH PALM BEACH, FLORIDA Schedule of Revenues and Other Financing Sources - Budget and Actual -General Fund (Continued) Year Ended September 30, 1998 Variance Favorable Budget Actual (Unfavorable) Other: Lost books -library $ 1,000 $ 657 $ (343) Recreation facility usage fees 18,500 21,955 3,455 Recreation facility reserve - 4,000 4,000 Special recreation facilities: Marina 58,000 55,017 (2,983) Marina decals 3,700 5,512 1,812 Total culture and recreation 102,900 112,533 9,633 Engineering/planning fees - 350 350 Zoning and annexation fees 3,000 350 (2,650) Total charges for services 294,660 342,863 48,203 Fines and forfeitures: Court cases: Court fines 45,000 79,572 34,572 Law enforcement trust - 1,194 1,194 Police education $2.00 1,500 2.938 1,438 Total court cases 46,500 83,704 37,204 Library fines 8,000 8,947 947 Other: Parking fines 1,200 2,085 885 False alarm fines 10,500 13,950 3,450 Alarm users permit fee 5,500 8,220 2,720 Occupational license penalty 2,500 4,628 2,128 Outside services - 5,046 5,046 Code enforcement - 1,410 1,410 Seized tag payment 200 150 (50) Total other 19,900 35,489 1.5,589 Total fines and forfeitures 74,400 128,140 53,740 Revenue from use of money: Interest: Interest earned 15,000 50,323 35,323 Interest earned -SBA 160,000 163,314 3,314 Total revenue from use of money 175,000 213,637 38,637 Miscellaneous Revenue: Other miscellaneous revenue: Reimbursements from the Country Club: Administration 75,000 75,000 - Maintenance 1,000 627 (373) Total reimbursements from the Country Club 76,000 75,627 (373) Continued on the following page... Financial Section 39 i I THE VILLAGE OF NORTH I~ALM BE~?CH, FLORIDA ~ Schedule of Revenues and Other Financing Sources - Budget and Actual -General Fund (continued) Year Ended September 30, 999th Variance Favorable 1 Budget Actual (Unfavorable) i Other: Insurance refunds: Insurance $ - $ 1,020 $ 1,020 Worker's compensation - 5,275 5,275 Wabash assessment 2,500 - (2,500) Other: Discounts -.earned - 9,326 9,326 Commissions -telephone 200 107 (93) Commissions -vending machine 300 296 (4) Donations - 635 635 Miscellaneous revenues 1,468 3,827 2,359 Total miscellaneous revenue 80,468 96,113 15,645 Total revenues 8,246,880 8,785,754 538,874 Other financing sources: L Sale of surplus equipment - 43,162 43,162 Transfer in 98,000 98,000 - Total revenues and other financing sources $ 8,344,880 $ 8,926,916 $ 582,036 ,1 _1 ~l 1 `l ~l l ~ 40 Financial Section THE VILLAGE OF NORTH PALM BEACH, FLORIDA Schedule of Expenditures and Other Financing Uses - Budgetand Actual (Budgetary Basis) -General Fund Year Ended September 30, 1998 Actual Encumbrances on Variance (Prior Year) Budgetary Budget Favorable Actual Current Year Basis (Revised) (Unfavorable) General government: Village Council: Personal services: Executive salaries $ 19,800 $ - $ 19,800 $ 20,100 $ 300 Worker's compensation 1,251 - 1,251 1,227 (24) Operating expenses: Professional services 2,514 - 2,514 3,125 611 Accounting and auditing 21,067 7,514 28,581 32,500 3,919 Travel 240 - 240 1,329 1,089 R&M furniture & equipment 368 - 368 425 57 Employee relations 150 - 150 375 225 Advertising 8,875 - 8,875 9,200 325 Advisory Board dinner 4,372 - 4,372 4,300 (72) - Office supplies 73 - 73 100 27 Publications & subscriptions - - - 55 55 Membership & dues 5,923 - 5,928 5,930 2 Conference & seminars 195 - 195 750 555 Total Village Council 64,833 7,514 72,347 79,416 7,069 Village Manager: Personal services: Executive salaries 80,707 - 80,707 80,100 (607) Regular pay 55,323 - 55,323 55,348 25 Longevity pay 300 - 300 300 - Clu-istmas gifts 150 - 150 150 - FICA 9,421 - 9,421 9,424 3 Pension-general employees 13,135 - 13,135 13,201 66 Health insurance 8,976 - 8,976 6,928 (2,048) Life insurance 622 - 622 617 (5) LTD insurance 412 - 412 405 (7) Worker's compensation 8,223 - 8,223 8,267 44 Operating expenses: Employee assistance program 805 - 805 750 (55) Administration fee 500 - 500 500 - Travel 1,821 - 1,821 1,835 14 Auto allowance 4,200 - 4,200 4,200 - Telephone 4,396 - 4,396 4,400 4 Insurance-surety bond 700 - 700 750 50 R&M furniture & equipment 172 - 172 200 28 Employee relations 3,330 - 3,330 4,000 670 Office supplies 1,528 - 1,528 1,600 72 Computer supplies 866 - 866 800 (66) Continued on the following page... Financial Section 41 T'HE VILLAGE OF NORTH .PALM .BEACH, FLORIDA Schedule of Expenditures and Other Financing Uses - Budget and Actual (Budgetary Basis) -General Fund (Continued) J Year Ended September 30, 199 Actual Encumbrances on Variance (Prior Year) Budgetary Budget Favorable Actual Current Year Basis (Revised) (Unfavorable) Publications & subscriptions $ 2,246 $ - $ 2,246 $ 2,305 $ 59 Membership & dues 1,115 - 1,115 1,230 115 Conference and seminars 192 - 192 315 123 Training and education 1,349 - 1,349 1,490 141 Capital outlay Computer hardware & software 385 - 385 560 175 Total Village Manager 200,874 - 200,874 199,675 (1,199) I Finance: i Personal services: Executive salaries .66,702 - 66,702 66;704 2 Regular pay 96,753 - 96,753 96,730 (23) Longevity pay 2,400 - 2,400 2,400 - Overtime pay 4,042 - 4,042 4,000 (42) Christmas gifts 200 - 200 200 FICA 12,410 - 12,410 12,898 488 Pension-general employees 13,716 - 13,716 16,744 3,028 Health insurance 11,509 - 11,509 8,946 (2,563) Life insurance 739 - 739 744 5 LTD insurance 399 - 399 402 3 Worker's compensation 9,947 - 9,947 10,542 595 Operating expenses: ` Professional services 1,200 2,220 2,220 2,800 580 j (1,200) Contractual services 6,008 3,000 5,608 5,650 42 L (3,400) 1 Travel 4,868 - 4,868 4,820 (48) Telephone 1,915 - 1,915 3,200 1,285 ` 1 Insurance-surety bond 1,250 - 1,250 1,250 - J R&M furniture & equipment 849 - 849 2,000 1,151 Prultuig and binding 3,123 (607) 2,516 3,050 534 ` Employee relations 748 - 748 750 2 Office supplies 1,498 - 1,498 1,800 302 Computer supplies 2,853 e 2,853 3,000 147 Publications & subscriptions 282 - 282 300 18 Membership and dues 644 - 644 650 6 Conference and seminars 1,285 - 1,285 1,300 15 Training and education 800 - 800 800 ~ Capital outlay: Computer hardware & software - 5,914 5,914 6,000 86 1 Total Finance 246,140 5,927 252,067 257,680 5,613 )i C'ontim~ed on the following page... ~i 3 42 Financial Section THE VILLAGE OF NORTH PALM BEACH, FLORIDA Schedule of Expenditures and Other Financing Uses - Budgetand Actual (Budgetary Basis) -General Fund (Continued) Year Ended September 30, 1998 Actual Encumbrances on Variance (Prior Year) Budgetary Budget Favorable Actual Current Year Basis (Revised) (Unfavorable) Village Clerk: Personal services: Executive salaries $ 43,305 $ - $ 43,305 $ 43,228 $ (77) Regular pay 27,501 - 27,501 27,500 (1) Part-time pay 2,328 - 2,328 4,210 1,882 Christmas gifts 100 - 100 100 - FICA 5,158 - 5,158 5,274 116 Pension-general employees ~ 5,604 - 5,604 5,682 78 Health insurance 6,170 - 6,170 4,761 (1,409) Life insurance 319 - 319 316 (3) LTD insurance 186 - 186 181 (5) Worker's compensation 4,562 - 4,562 4,831 269 Operating expenses: Contractual services 4,980 (3,000) 1,980 2,720 740 Travel 112 - 112 170 58 Telephone 1,372 - 1,372 1,360 (12) Rental-facility 250 - 250 1,200 950 Insurance-surety bond 100 - 100 110 10 R&M building & grounds - - - 80 80 R&M furniture & equipment 1,297 - 1,297 1,975 678 Printing and binding 1,018 - 1,018 1,062 44 Recording fees/court cost 48 - 48 100 52 Trophies, awards & prizes 673 - 673 935 262 Office supplies 1,873 - 1,873 1,935 62 Recording tapes 179 - 179 165 (14) Records retention supplies - - - 100 100 Flower expense 714 - 714 750 36 Publications & subscriptions 579 - 579 720 141 Membership & dues 370 - 370 440.. 70 Conference and seminars 100 - 100 125 25 Training and education 202 - 202 250 48 Capital outlay: Computer hardware & softwar - - 600 600 Furniture & fixtures 595 (595) - - - Total Village Clerk 109,695 (3,595) 106,100 110,880 4,780 Village Attorney: Operating expenses: Monthly retainer 63,981 - 63,981 62,500 (1,481) Special legal services 87,353 - 87,353 77,500 (9,853) Labor services 13,852 - 13,852 12,500 (1,352) Total Village Attorney 165,186 - 165,186 152,500 (12,686) Continued on the following page... Financial Section 43 r~ THE VILLAGE CF NORTH PALM BEACH, FLORIDA Schedule of Expenditures and Other Financing Uses - ` i Budget and Actual (Budgetary Basis) -General Fund (continued) 'rear Ended Septerrlber 3c7, 9898 Actual Encumbrances on Variance (Prior Year) Budgetary Budget Favorable Actual Current Year Basis (Revised) (Unfavorable) r ~ Planning and Community } Development: , Contractual services: 1 Engineering/planning $ 3,917 $ 13,000 $ 16,917 $ 17,000 $ 83 1 Archivist/historian - - - 200 200 Total Planning and Community Development 3,917 13,000 16,917 17,200 283 General Services: ~ i Operating expenses: I Telephone 6.84 - 6.84 750 66 Postage 24,308 - 24,308 27,500 3,192 ` Electricity 13,066 - 13,066 14,500 1,434 Water and sewer 2,316 - 2,316 2,400 84 Gas 89 - 89 450 361 Solid waste disposal 325 - 325 400 75 Rental-postage equipment 1,503 - 1,503 1,600 97 Rental-copier equipment 6,766 - 6,766 7,200 434 i Insurance -package 48,135 - 48,135 99,750 51,615 R&M building & grounds 161 - 161 300 139 R&M furniture & equipment 2,954 - 2,954 3,300 346 Printing and binding 4,813 - 4,813 5,800 987 Newsletter supplies 5,799 - 5,799 5,800 1 Office supplies 1,270 - 1,270 1,300 30 Building maintenance supplies 1,958 - 1,958 2,600 642 Furniture/fixtures supplies - - - 150 150 Irrigation supplies 100 - 100 200 100 Machinery & equipment supplies 1,522 - 1,522 1,500 (22) Fertilizers 124 - 124. 3 5 0 226 Custodial supplies 1,665 - 1,665 1,500 (165) , Refreshments and supplies 4,367 - 4,367 4,600 233 Capital outlay: Construction & major renovations - 63,700 63,700 79,250 15,550 Total General Services 121,925 63,700 185,625 261,200 75,575 ` Continued on the following page... L i ~ 1 ~9 C3 3 44 Financial Section THE VILLAGE OF NORTH PALM BEACH, FLORIDA Schedule of Expenditures and Other Financing Uses - Budgetand Actual (Budgetary Basis) -Genera/ Fund (Continued) Year Ended September 30, 9998 Actual Encumbrances on Variance (Prior Year) Budgetary Budget Favorable Actual Current Year Basis (Revised) (Unfavorable) Special Projects: Contractual services: Professional services $ 3,569 $ 911 $ 4,480 $ 4,500 $ 20 Comprehensive plan amendments 18,180 10,640 18,820 20,000 1,180 (10,000) Eastward Ho! Beautification 7,000 - 7,000 7,000 - Recreation master plan 2,500 (2,500) - - - Northlake Boulevard redevelopment 5,000 - 5,000 5,000 - Total Special Projects 36,249 - (949) 35,300 36;500 1,200 Total general government 948,819 85,597 1,034,416 1,115,051 80,635 Public Safety: Law enforcement: Personal services: Executive salaries 208,521 - 208,521 208,483 (38) Regular pay 937,292 - 937,292 991,927 54,635 Longevity pay 22,200 - 22,200 22,200 - Part-time pay 35,305 - 35,305 38,913 3,608 Overtime pay 46,944 - 46,944 47,500 556 Holiday overtime 31,980 - 31,980 32,111 131 Training overtime 10,294 - 10,294 10.388 94 Outside services pay 3,114 - 3,114 - (3,114) Special pay 24,363 - 24;363 26,280 1,917 Public safety pay increment 33,932 - 33,932 34,240 308 Christmas gifts 2,525 - 2,525 2,525 - FICA 99,915 - 99;915 108,495 8,580 Pension-general employees 16,795 - 16,795 22,480 5,685 Pension-police and fire 41,048 - 41,048 82,249 41,201 Health insurance 143,700 - 143,700 110,791 (32,909) Life insurance 5,417 - 5,417 5;620 203 LTD insurance 10,286 - 10,286 12,390 2,104 Worker's compensation 77,312 - 77,312 80,960 3,648 Operating expenses: Physical exams 2,855 - 2,855 3;809 954 Other professional 2,000 8,000 10,000 10,000 - Laundry & dry cleaning 17,564 - 17,564 17,564 - Travel 3,050 - 3,050 7,000 3,950 Telephone 10,886 - 10,886 14,000 3,114 Rental-equipment 2,089 - 2,089 3;000 911 Continued on the following page... Financial Section 45 ;j THE VILLAGE OF NORTH PALM BEACH, FLORIDA Schedule of Expenditures and Other Financing Uses - Budget and Actual (Budgetary Basis) -General Fund (Continued) Year Ended September 30, 199 Actual r Encumbrances on Variance (Frior Yearj Budgetary Budget Favorable Actual Current Year Basis (Revised) {Unfavorable) r j Insurance-law enforcement liability $ 585 $ (1,247) $ (662) $ 600 $ 1,262 ~ i R&M automotive 5,830 - 5,830 4,500 (1,330) 11 R&M furniture & equipment 169 - 169 200 31 R&M machinery & equipment 11,240 160 11,400 11,585 185 R&M PA & communication 2,833 - 2,833 4,500 1,667 R&M computer 3,950 299 4,249 7,225 2,976 Printing and binding 2,902 - 2,902 3,710 808 Photographic 2,909 - 2,909 3,500 591 r Advertising 269 - 269 300 31 Licenses & fees 677 - 677 1,200 523 Prisoner and jail expenses 239 - 239 400 161 Special investigation 117 - 117 250 133 Victim examination fee - - - 100 100 Office supplies 4,379 33 4,412 4,312 (100) L Machinery & equipment supplies 368 395 763 770 7 Auto parts supplies 12,686 (620) 12,066 12,800 734 Safety supplies 2,293 - 2,293 2,500 207 ~ I Chemicals 365 - 365 400 35 l Custodial supplies 66 - 66 180 114 Gas, oil & lubricants 20,568 - 20,568 25,000 4,432 1 Refreshments & supplies 410 - 410 500 90 Uniforms & shoes 11,425 1,257 12,682 12,935 253 Ammunition and gun parts 4,289 480 3,936 4,500 564 - i (833) JI Fingerprinting supplies 381 - 381 850 469 Publications & subscriptions 1,238 (400) 838 1,372 534 L Membership & dues 1,285 - 1,285 1,830 545 Conference & seminars 999 - 999 1,560 561 Training & education 2,902 - 2,902 3,500 598 _ 2nd dollar education 1,021 - 1,021 1,500 479 L Special legal services 161 - 161 - (161) R&M automotive 354 - 354 - (354) ~ Auto parts supplies 13 - 13 - (13) ` 1 Capital outlay: 1 Capital 2,731 - 2,731 2,755 24 Automotive 25,395 - 25,395 25,395 1 Computer hardware & software - - - 10,000 10,000 ~ J Audio, visual & communication 19,546 (3,055) 16,491 37,000 20,509 Machinery & equipment - - - 79,000 79,000 ~ Total Law Enforcement 1,937,037 1,414 1,938,451 2,159,654 221,203 Continued on the following page... n 46 Financial Section THE VILLAGE OF NORTH PALM BEACH, FLORIDA Schedule of Expenditures and Other Financing Uses - Budget and Actual (Budgetary Basis) -General Fund (Continued) Year Ended September 30, 1998 Actual Encumbrances on Variance (Prior Year) Budgetary Budget Favorable Actual Current Year Basis (Revised) (Unfavorable) Fire Prevention: Personal services: Executive salaries $ 51,824 $ - $ 51,824 $ 51,782 $ (42) Regular pay 119,745 - 119,745 119,691 (54) Overtime pay 4,109 - 4,109 4,060 (49) Holiday overtime 3,519 - 3,519 3,520 1 Training overtime 10,636 - 10,636 10,545 (91) Special pay 7,605 - 7,605 7,609 4 Public safety pay increment 9,954 - 9,954 10,000 46 Christmas gifts 800 - 800 800 - FICA 14,954 - 14,954 15,273 319 Pension-police & fire 6,829 - 6,829 11,575 4,746 Volunteer length of service award 5,675 - 5,675 6,000 325 Health insurance 15,089 - 15,089 11,638 (3,451) Life insurance 790 - 790 765 (25) LTD insurance 1,486 - 1,486 1,746 260 Worker's compensation 10,131 - 10,131 10,879 748 Operating expenses: Physical exams - - - 90 90 Laundry and dry cleaning 2,700 - 2,700 2,700 - Travel 604 - 604 900 296 Telephone 895 - 895 930 35 R&M automotive 7,047 1,095 6,391 6,599 208 (1,751) R&M machinery & equipment 1,531 1,211 -2,164 2,500 336 (578) - R&M PA & communication 1,103 - 1,103 1,700 597 Volunteer appreciation 1,419 - 1,419 1,496 77 Office supplies 305 - 305 325 20 Building maintenance supplies 102 - 102 200 98 Machinery & equipment supplies 1,107 1,276 2,383 2,400 17 Auto parts supplies 2,518 722 3,240 3,350 110 Chemicals 402 (23) 379 501 122 Custodial supplies 402 (97) 305 450 145 Gas, oil and lubricants 3,523 - 3,523 3,500 (23) Uniforms and shoes 4,896 688 3,618 3,732 114 (1,966) Continued on the following page... Financial Section 47 THE VILLAGE OF NORTH PALM BEACH, FLORIDA _ Schedule of Expenditures and Other Financing Uses - Budget and Actual (Budgetary Basis) -General Fund (Oontinued) rear €nded September 3c7, ig98 Actual ~ ~ Encumbrances on Variance (Prior Year) Budgetary Budget Favorable ~ Actual Current Year Basis (Revised) (Unfavorable) '- l Flashlights & batteries $ 705 $ - $ 705 $ 870 $ 165 j Uniforms volunteers 3,132 - 3,132 3,132 - ,- Publications & subscriptions 520 - 520 530 10 Membership & dues 315 - 315 315 - Conference & seminars 175 - 175 460 285 Training & education 1,101 - 1,101 1,190 89 r Capital outlay: Automotive - - - 6 6 Machinery & equipment 4,863 - 4,863 4,863 - r Total Fire Prevention 302,511 577 303,088 308,622 5;534 Emergency Medical Service: Personal services: Regular pay 205,895 - 205,895 205,761 (134) Longevity pay 4,500 - 4,500 4,500 - '- Overtime pay 43,063 - 43,063 43,059 (4) Holiday overtime 4,097 - 4,097 4,100 3 Training overtime 4,256 - 4,256 4,335 79 L Special pay 6,090 - 6,090 6,060 (30) Public safety pay increment 17,838 - 17,838 18,000 162 Christmas gifts 300 - 300 300 ,- FICA 21,065 - 21,065 21,026 (39) Pension-police and fire 8,796 - 8,796 12,092 3,296 Health insurance 20,884 - 20,884 16,004 (4,880) L Life insurance 1,028 - 1,028 878 (150) LTD insurance 1,938 - 1,938 1,993 55 Worker's compensation 11,888 - 11,888 11,919 31 Operating expenses: Preventative medical service 468 - 468 500 32 '- Other professional services 11,000 - 11,000 12,000 1,000 Laundry & dry cleaning 3,780 - 3,780 3,780 - I Contractual services 2,769 (1,269) 1,500 1,500 - ~-1 Travel 728 - 728 818 90 Telephone 1,904 - 1,904 1,800 (104) Electricity 2,282 - 2,282 2,186 (96) Water & sewer 606 - 606 600 (6) Rental-equipment 104 - 104 240 136 L Insurance-EMT - - - - - i R&M automotive 858 - 858 1,000 142 R&M machinery & equipment 2,939 - 2,939 3,200 261 ~ R&M PA & communication 1,294 - 1,294 1,300 6 Licenses & fees 122 - 122 160 38 Continued on the following page... r 48 Financial Section ~ L~` THE VILLAGE OF NORTH PALM BEACH, FLORIDA Schedule of Expenditures and Other Financing Uses - Budgetand Actual (Budgetary Basis) -General Fund (Continued) Year Ended September 30, 9998 Actual Encumbrances on Variance (Prior Year) Budgetary Budget Favorable Actual Current Year Basis (Revised) (Unfavorable) Office supplies $ 1,488 $ - $ 1,488 $ 1,500 $ 12 Building maintenance supplies 151 - 151 150 (1) Machinery & equipment supplies 635 - 635 900 265 Auto parts supplies 816 - 816 780 (36) Medical & safety supplies 13,862 - 13,862 14,150 288 Disaster supplies 888 - 888 1,000 112 Chemicals 499 - 499 500 1 Custodial supplies 597 - 597 575 (22) Gas, oil & lubricants 2,140 - 2,140 2,500 360 Uniforms & shoes 6,334 775 6,334 6,356 22 (775) Flashlights & batteries 448 - 448 500 52 Publications & subscriptions 40 - 40 132 92 Membership & dues 63 - 63 63 Conference & seminars 450 - 450 450 - Training & education 2,707 - 2,707 2,935 228 Capital outlay: Machinery & equipment 9,828 - 9,828 9,845 17 Total Emergency Medical Service 421,438 (1,269) 420,169 421,447 1,278 Substation North: Personal services: Regular pay 93,297 - 93,297 93,272 (25) Overtime pay 8,759 - 8,759 8,800 41 Holiday overtime 1,746 - 1,746 1,750 4 Training overtime 1,020 - 1,020 1,211 191 Pay increases 1,000 - 1,000 1,000 - Christmas gifts 150 - 150 150 - FICA 7,847 - 7,847 7,801 (46) Pension-police & fire 8,314 - 8,314 10,544 2,230 Health insurance 8,721 - 8,721 6,728 (1,993) Life insurance 416 - 416 417 1 LTD insurance 787 - 787 945 158 Worker's compensation 5,577 - 5,577 5,881 304 Operating expenses: Preventative medical services - - - 100 100 Laundry & dry cleaning 1,530 - 1,530 1,540 10 Travel - - - 12 12 Continued on the following page... Financial Section 49 ,- THE VILLAGE OF N®RTH PALM BEACH, FL®RIDA Schedule of Expenditures and Other Financing Uses - r j Budget and Actual (Budgetary Basis) -General Fund (Continued) } ear znded S~pte~i~i~er 30, 1995 Actual Encumbrances on Variance (Prior Year) Budgetary Budget Favorable Actual Current Year Basis (Revised) (Unfavorable) r 1 Telephone $ 920 $ - $ 920 $ 1,370 $ 450 l Electricity 1,804 - 1,804 1,800 (4) , Water and sewer 146 - 146 400 254 Rental-equipment 5,230 - 5,230 5,170 (60) R&M automotive 162 - 162 500 338 R&M machinery & equipment 831 - 831 1,240 409 R&M PA & communication 278 - 278 400 122 Office supplies 312 - 312 350 38 Building maintenance supplies 102 - 102 200 98 ~ I Furniture maintenance supplies 478 - 478 479 1 Machinery & equipment supplies 122 - 122 200 78 Auto parts supplies 657 - 657 1,000 343 Medical & safety supplies 2,209 100 2,309 2,400 91 Chemicals 282 - 282 340 58 Custodial supplies 382 - 382 390 8 Gas, oil & lubricants 1,207 - 1,207 1,643 436 Uniforms & shoes 697 - 697 1,492 795 Flashlights & batteries - - - 20 20 Training & education 240 - 240 405 165 Capital outlay: Machuiery & equipment 11,047 - 11,047 11,055 8 ` 1 Total Substation North 166,270 100 166,370 171,005 4,635 J EMS Transport Unit: . Personal services: ` 1 Regular pay 64,105 - 64,105 67,426 3,321 ) Overtime pay 11,020 - 11,020 11,700 680 Holiday overtime 843 - 843 2,000 1,157 1 Training overtime 379 - 3.79 1,100 721 Christmas gifts 150 - 150 150 - FICA 5,425 - 5,425 7,545 2,120 Pension-police & fire 8,107 - 8,107 10,809 2,702 Health insurance 6,951 - 6,951 5,454 (1,497) Life insurance 267 - 267 394 127 L LTD insurance 484 - 484 908 424 Worker's compensation 5,415 - 5,415 5,657 242 Operating expenses: Preve_n_tative medical_ services - - - 50 50 Laundry & dry cleaning 1,125 - 1,125 1,150 25 Travel - - - 413 413 1 l Continued on the following page... j _ ~ 50 Financial Section ~ i THE VILLAGE OF NORTH PALM BEACH, FLORIDA Schedule of Expenditures and Other Financing Uses - Budgetand Actual (Budgetary Basis) -General Fund (Continued) Year Ended September 30, 1998 Actual Encumbrances on Variance (Prior Year) Budgetary Budget Favorable Actual Current Year Basis (Revised) (Unfavorable) Telephone $ - $ - $ - $ 50 $ 50 R&M automotive 43 - 43 500 457 R&M machinery & equipment 1,130 (145) 985 1,992 1,007 R&M PA & communication 134 - 134 400 266 Licenses & fees 4,294 - 4,294 4,210 (84) Auto parts supplies 344 - 344 600 256 Medical & safety supplies 519 - 519 700 181 Gas, oil & lubricants 1,398 - 1,398 1,300 (98) Uniforms & shoes 1,344 - 1,344 1,403 59 Flashlights & batteries - ~ - - 140. 140 Training & education 849 - 849 870 21 Capital outlay: Automotive - - - 102 102 Machinery & equipment 2,273 (128) 2,145 2,275 130 Total EMS Transport Unit 116,599 (273) 116,326 129,298 12,972 Total public safety 2,940,800 3,604 2,944,404 3,190,026 245,622 Public Services: Code Enforcement: Personal services: Executive salaries 108,388 - 108,388 108,052 (336) Regular pay 167,514 - 167,514 167,610 96 Longevity pay 2,100 - 2,100 3,000 900 General employee certification - - - 7,500 7,500 Overtime pay 229 - 229 650 421 Christmas gifts 400 - 400 400 - FICA 19,802 - 19,802 22,027 2,225 Pension-general employees 22,834 - 22,834 30,735 7,901 Health insurance 28,106 - 28,106 21,865 (6,241) Life insurance 1,255 - 1,255 1;217 (38) LTD insurance 702 - 702 700 (2) Worker's compensation 16,994 - 16,994 17,924 930 Operating expenses: Physical exams - - - 165 165 Uniform rental 981 - 981 1,000 19 Other contractual service 1,020 - 1,020 6,100 5,080 Travel 2,555 - 2,555 2,670 115 Continued on the following page... Financial Section 51 r~ THE VILLAGE OF NORTH PALM BEACH, FLORIDA Schedule of Expenditures and Other Financing Uses - r Budget and Actual (Budgetary Basis) -General Fund (Continued) YearEr")ded Septen~uer:0, 1998 Actual Encumbrances on Variance (Prior Year) Budgetary Budget Favorable Actual Current Year Basis (Revised) (Unfavorable) r Telephone $ 3,972 $ - $ 3,972 $ 4,000 $ 28 Electricity 4,055 - 4,055 5,500 1,445 Water & sewer 418 - 418 450 32 R&M building & grounds 147 - 147 2,000 1,853 R&M furniture & equipment 2,287 - 2,287 2,500 213 R&M PA & communication 672 - 672 672 r Printing & binding 376 - 376 600 224 Reproduction 134 - 134 400 266 Employee relations 171 - 171 500 329 ~ J Advertising 4,769 - 4,769 5,000 231 J County PW activities 300 - 300 300 - Office supplies 4,995 - 4,995 5,000 5 Shop tools & supplies 22 - 22 100 78 j Building maintenance supplies 150 - 150 800 650 Machinery & equipment supplies 104 - 104 150 46 ` Auto parts supplies 2,301 - 2,301 5,400 3,099 Tires & tubes 403 - 403 600 197 Custodial supplies 185 - 185 225 40 . 1 Gas, oil & lubricants 2,202 - 2,202 2,500 298 l Publications & subscriptions 435 - 435 965 530 Membership & dues 635 - 635 720 85 Conference & seminars - - - 1,060 1,060 Training & education 1,956 - 1,956 3,400 1,444 Total Code Enforcement 403,569 - 403,569 434,457 30,888 Facilities Maintenance: Personal services: Regular pay 172,135 - 172,135 172,077 (58) ) Longevity pay 4,500 - 4,500 4,500 l Part-time pay 6,381 - 6,381 6,415 34 Overtime pay 1,691 - 1,691 1,700 9 i Christmas gifts 375 - 375 375 - J FICA 13,620 - 13,620 13,645 25 Pension-general employees 14,625 - 14,625 19,621 4,996 I ~ Health insurance 23,647 - 23,647 18,273 (5,374) L 1 Life insurance 794 - 794 798 4 LTD insurance 552 - 552 494 (58) Worke_r's compensatio_n_ 1_ 1,031 - 11,031 11,596 565 Continued on the following page... ri '3 52 Financial Section ~1 THE VILLAGE OF NORTH PALM BEACH, FLORIDA Schedule of Expenditures and Other Financing Uses - Budgetand Actual (Budgetary Basis) -General Fund (Continued) Year Ended September 30, 1998 Actual Encumbrances on Variance (Prior Year) Budgetary Budget Favorable Actual Current Year Basis (Revised) (Unfavorable) Operatng expenses: Physical exams $ - $ - $ - $ 165 $ 165 Uniform rental 1,742 - 1,742 2,047 305 R&M machinery & equipment - - - 200 200 R&M PA & communication 154 - 154 208 54 Shop tools & supplies 396 - 396 700 304 Auto parts supplies 912 - 912 2,000 1,088 Tires & tubes 615 - 615 500 (115) Gas, oil & lubricants 2,600 - 2,600 3,300 700 Uniforms & shoes 161 - 161 730 569 Capital outlay: Automotive 9,371 - 9,371 10,355 984 Total Facilities Maintenance 265,302 - 265,302 269,699 4,397 Solid Waste Collection: Personal services: Regular pay 477,692 - 477,692 502,698 25,006 Longevity pay 13,800 - 13,800 13,800 - Overtime pay 123 - 123 2,500 2,377 Holidav overtime 7,045 - 7,045 10,650 3,605 Christmas gifts 1,100 - 1,100 1,100 - FICA 37,407 - 37,407 40,521 3,114 Pension-general employees 43,694 - 43,694 58,258 14,564 Health insurance 71,644 - 71,644 55,582 (16,062) Life insurance 2,175 - 2,175 2,342 167 LTD insurance 1,573 - 1,573 1,530 (43) Worker's compensation 31,444 - 31,444 32,848 1,404 Operating expenses: Preventative medical supplies - - - 300 300 Physical exams 323 - 323 1,000 677 Uniform rental 5,546 - 5,546 5,600 54 Solid tivaste disposal 63,912 - 63,912 64,000 88 R&M PA & communication 336 - 336 336 - Advertising 998 - 998 900 (98) Shop tools & supplies 270 - 270 1,000 730 Auto parts supplies 15,990 - 15,990 21,400 5,410 Tires & tubes 7,041 - 7,041 10,000 2,959 Chemicals 360 - 360 900 540 Gas, oil, & lubricants 29,295 - 29,295 32,700 3,405 Oil-grease 1,188 - 1,188 1,300 112 Hydraulic oil - - - 1,700 1,700 Uniforms & shoes 2,463 - 2,463 2,520 57 Recycling program - - - 700 700 Continued on the following page... Financial Section 53 r~ THE VILLAGE OF NOR~"H PALM BEACH, FLORIDA r Schedule of Expenditures and Other Financing Uses - Budget and Actual (Budgetary Basis) -General Fund (Continued) Year Ended September 30, 9998 Actual Encumbrances on Variance (Prior Year) Budgetary Budget Favorable Actual Current Year Basis (Revised) (Unfavorable) r Capital outlay: Automotive $ 76,252 $ - $ 76,252 $ 76,600 $ 348 ~ l Total solid waste collection 891,671 - 891,671 942,785 51,114 J Street Maintenance: Personal services: Executive salaries 48,589 - 48,589 48,550 (39) Regular pay 173,347 - 173,347 180,408 7,061 Longevity pay 4,800 - 4,800 4,800 Part-time pay 3,649 - 3,649 6,837 3,188 J Overtime pay 317 - 317 -840 523 Christmas gifts 450 - 450 450 ~ 1 FICA 16,816 - 16,816 18,331 1,515 J Pension-general employees 18,953 - 18,953 22,953 4,000 Health insurance 31,541 - 31,541 24,357 (7,184) i Life insurance 1,032 - 1,032 1,038 6 LTD insurance 910 - 910 906 (4) Worker's compensation 14,456 - 14,456 15,210 754 1 1 Operating expenses: l Physical exams - - - 350 350 Other professional services 9,144 - 9,144 9,495 351 - l Uniform rental 2,339 - 2,339 2,900 561 1{ Electricity 43,806 - 43,806 52,000 8,194 Water & sewer 18,269 - 18,269 18,200 (69) Rental-equipment 122 - 122 400 278 R&M PA & communication 108 - 108 108 - R&M street resurfacing 69,957 (45,000) 24,957 26,500 1,543 R&M street paving 8,388 (2,700) 5,688 7,500 1,812 R&M storm drainage system - 15,000 15,000 15,000 - Street striping 1,244 - 1,244 1,500 256 Shop tools & supplies 392 - 392 900 508 Irrigation supplies 4,645 - 4,645 4,750 105 Machinery & equipment supplies 3,332 - 3,332 3,500 168 I Auto parts supplies 3,014 - 3,014 5,000 1,986 ~ ) Street light supplies 1,156 - 1,156 1,500 344 Tires & tubes 2,716 - 2,716 2,730 14 Trees ~ sod 1,208 - 1,208 1,500 292 Fertilizers 3,642 - 3,642 4,000 358 Traffic control signs 2,399 - 2,399 2,500 101 ~ Continued on the following page... ri 54 Financial Section ~1 THE VILLAGE OF NORTH PALM BEACH, FLORIDA Schedule of Expenditures and Other Financing Uses - Budget and Actual (Budgetary Basis) -General Fund (Continued) Year Ended September 30, 1998 Actual Encumbrances on Variance (Prior Year) Budgetary Budget Favorable Actual Current Year Basis {Revised) (Unfavorable) Fences-alleys $ 429 $ - $ 429 $ 500 $ 71 Catch basin grates 911 (171) 740 2,000 1,260 Beautification program 19,685 (19,685) - - - Chemicals - - - 500 500 Gas, oil and lubricants 4,346 - 4,346 4,650 304 Uniforms and shoes 273 - 273 950 677 Asphalt, shell and concrete 2,476 - 2,476 4,000 1,524 Capital outlay: Capital 59,050 - 59,050 60,450 1,400 Machinery and equipment 1,989 - 1.989 1,995 6 Total Street Maintenance 579,900 (52,556) 527,344 560,058 32,714 Mechanical Maintenance: Personal services: Regular pay 73,664 - 73,664 94,649 20,985 Overtime pay - - - 800 800 Christmas gifts 200 - 200 200 - FICA 5,581 - 5,581 7,318 1,737 Pension-general employees 7,890 - 7,890 10,520 2,630 Health insurance 14,276 - 14,276 11,094 (3,182) Life insurance 354 - 354 436 82 LTD insurance 274 - 274 258 (16) Worker's compensation 5,889 - 5,889 6,152 263 Operating expenses: Uniform rental 1,075 - 1,075 1,000 (75) Other contractual services - - - 240 240 Telephone 398 - 398 400 2 Electricity 2,416 - 2,416 2,400 (16) Water & sewer 1,398 - 1,398 1,500. 102 Solid waste disposal 1,735 - 1,735 1,800 65 Rental-equipment - - - 75 75 R&M building & grounds 663 - 663 1,150 487 R&M machinery & equipment 312 - 312 400 88 R&M PA & communication 48 - 48 48 - Licenses & fees 50 - 50 150 100 Shop tools & supplies 3,314 - 3,314 5,100 1,786 Building maintenance supplies 695 - 695 600 (95) Machinery & equipment supplies 434 - 434 400 (34) Auto parts supplies 562 - 562 600 38 Tires & tubes - - - 250 250 Chemicals 1,191 - 1,191 1,250 59 Custodial supplies 1,138 - 1,138 1,000 (138) Continued on the following page... Financial Section 55 THE VILLAGE OF NORTH .PALM BEACH, FLORIDA Schedule of Expenditures and Other Financing Uses - r I Budget and Actual (Budgetary Basis) -General Fund (Continued) Year Fnded September 30, 9998 Actual r Encumbrances on Variance (Prior Year) Budgetary Budget Favorable Actual Current Year Basis (Revised) (Unfavorable) r J Gas, oil & lubricants $ 878 $ - $ 878 $ 990 $ 112 Uniforms and shoes 19 - 19 210 191 ~- Total Mechanical Maintenance 124,454 - 124,454 150,990 26,536 Park Maintenance: r Personal services: Regular pay 151,244 - 151,244 151,214 (30) , Longevity pay 2,400 - 2,400 2,400 - Part-time pay 6,199 - 6,199 6,537 338 Overtime pay 4,297 - 4,297 4,250 (47) Christmas gifts 350 - 350 350 FICA 12,195 - 12,195 12,504 309 Pension-general employees 12,768 - 12,768 17,074 4,306 Health insurance 25,999 - 25,999 20,221 (5,778) ` Life insurance 687 - 687 692 5 LTD insurance 481 - 481 485 4 Worker's compensation 9,806 - 9,806 10,274 468 Operating expenses: Physical exams - - - 165 165 Other professional services 1,569 (1,500) 69 1,500 1,431 Uniform rental 1,980 - 1,980 1,872 (108) Tree trimming 3,250 - 3,250 3,400 150 Electricity 4,774 - 4,774 5,500 726 Solid waste disposal 4,626 - 4,626 4,700 74 Rental-equipment - - - 1,000 1,000 R&M marina 13,486 (12,180) 1,306 1,250 (56) ` R&M streets, roads & paths 555 - 555 500 (55) Printing & binding 265 - 265 300 35 Licenses & fees - - - 100 100 , Shop tools & supplies 789 - 789 800 11 1 Building maintenance supplies 19,496 - 19.496 19,500 4 Irrigation supplies 3,490 - 3,490 3,500 10 - Machinery & equipment supplies 2,868 - 2,868 2,900 32 Auto parts supplies 1,407 - 1,407 2,950 1,543 Tires & tubes 563 - 563 600 37 Trees & sod 968 - 968 1,600 632 ` 1 Fertilizers 10,704 - 10,704 11,000 296 Sand/clay/shelUtopsoil 4,891 (2,563) 2,328 2,350 22 Continued on the following page... i~ - ri 56 Financial Section THE VILLAGE OF NORTH PALM BEACH, FLORIDA Schedule of Expenditures and Other Financing Uses - Budget and Actual (Budgetary Basis) -General Fund (Continued) Year Ended September 30, 1998 Actual Encumbrances on Variance (Prior Year) Budgetary Budget Favorable Actual Current Year Basis {Revised) {Unfavorable) Lime for ballfields $ 748 $ - $ 748 $ 825 $ 77 Chemicals 771 - 771 800 29 Gas, oil and lubricants 3,029 - 3,029 2,940 (89) Uniforms and shoes 221 - 221 630 409 Capital outlay: Machinery & equipment 26,329 - 26,329 26,400 71 Total Park Maintenance 333,205 (16,243) 316,962 323,083 6,121 Total Public Services 2,598,101 (68,799) 2,529,302 2,681,072 151,770 Leisure services: Library: Personal services: Executive salaries 42,835 - 42,835 43,509 674 Regular pay 172,727 - 172,727 172,662 (65) Longevity pay 3,300 - 3,300 3,900 600 Part-time pay 56,080 - 56,080 59,054 2,974 Christmas gi$s 600 - 600 600 - FICA 20,717 - 20,717 21,367 650 Pension-general employees 17,927 - 17,927 24,153 6,226 Health insurance 20,437 - 20,437 15,818 (4,619) Life insurance 893 - 893 899 6 LTD insurance 292 - 292 302 10 Worker's compensation 16,996 - 16,996 17,903 907 Operating expenses: Physical exams - - - 165 165 Other contractual services 714 - 714 800 86 Travel 1,347 - 1,347 1,900 553 Telephone 3,582 - 3,582 3,800 218 Electricity 16,085 - 16,085 16,500 415 Water & sewer 1,716 - 1,716 1,700 (16) Solid waste disposal 325 - 325 400 75 Rental-equipment 2,180 - 2,180 2,350 170 Rental-film/exhibit 317 - 317 300 (17) R&M building & grounds 289 6,800 7,089 7,995 906 R&M windows 300 - 300 300 - R&M carpet 900 - 900 900 - R&Mfurniture & office 299 - 299 350 51 equipment R&M machinery & equipment 775 - 775 1,220 445 R&M elevator 1,130 - 1,130 1,065 (65) R&M PA & communication 48 - 48 200 152 Continued on the following page... Financial Secfiion 57 THE VILLAGE OF NORTH PALM BEACH, FLORIDA Schedule of Expenditures and Other Financing Uses - Budget and Actual (Budgetary Basis) -General Fund (Continued) Year Bnded September 30, 1998 Actuai Encumbrances on Variance (Pri®r Ypar) Ru~~etary Rudget Favorable Actual Current Year Basis (Revised) (Unfavorable) R&M computer $ 1,773 $ - $ 1,773 $ 3,125 $ 1,352 Printing & binding 2,458 - 2,458 2,700 242 Licenses & fees 235 - 235 330 95 Office supplies 4,453 - 4,453 4,557 104 Computer supplies 572 - 572 600 28 Building maintenance supplies 2,460 - 2,460 2,500 40 Furniture mamtenance supplies 1,394 - 1,394 1,685 291 Irrigation supplies 193 - 193 200 7 Machinery & equipment supplies 499 - 499 850 351 Fertilizers 31 - 31 300 .269 Chemicals 27 - 27 75 48 Custodial supplies 1,423 - 1,423 1,300 (123) Photocopies & reproducing 955 - 955 1,260 305 Refreshments & supplies 463 - 463 500 37 Membership & dues 310 - 310 475 165 Conference & seminars 155 - 155 250 95 Training & education 65 - 65 735 670 Capital outlay: ` l Computer hardware & software 9,049 - 9,049 9,087 38 J Office equipment 710 - 710 865 155 Furniture & fixtures 2,732 - 2,732 3,245 513 L 1 Books & publications 49,998 - 49,998 50,000 2 Audio book collection 1,974 - 1,974 2,000 26. Video cassette 3,922 - 3,922 4,000 78 Total Library 468,662 6,800 475,462 490,751 15,289 Recreation: Personal services: Executive salaries 45.,822 - 45,822 45,652 (170) Regular pay 73,608 - 73,608 73,326 (282) j ~ Longevity pay 2,100 - 2,100 2,100 - JI Part-time pay 71,514 - 71,514 64,276 (7,238) ~ Christmas gifts 450 - 450 450 - FICA 14,583 - 14,583 14,181 (402) Pension-general employees 9,868 - 9,868 13,319 3,451 Health insurance 11,079 - 11,079 8,546 (2,533) Life insurance 543 - 543 548 5 LTD insurance 514 - 514 516 2 '- Worker's compensation 11,311 - 11,311 11,312 1 Operating expenses: I Physical exams 390 - 390 385 (5) ~- Travel 2,071 - 2,071 2,150 79 Continued on the following page... ~ ~I r~ 58 Financial Section THE VILLAGE OF NORTH PALM BEACH, FLORIDA Schedule of Expenditures and Other Financing Uses - Budgetand Actual (Budgetary Basis) -General Fund (Continued) Year Ended September 30, 9998 Actua! Encumbrances on Variance (Prior Year) Budgetary Budget Favorable _ Actual Current Year Basis (Revised) (Unfavorable) Telephone $ 5,902 $ - $ 5,902 $ 5,900 $ (2) Electricity 67,983 - 67,983 63,600 (4,383) Water and sewer 9,216 - 9,216 8,350 (866) Solid waste disposal 1,735 - 1,735 1,735 - R&M building ~c grounds 1,097 - 1,097 1,200 103 R&M furniture & equipment 320 - 320 500 180 R&M PA & communication 1,158 - 1,158 1,100 (58) Printing & binding 214 - 214 250 36 Advertising 353 - 353 353 - Trophies, awards & prizes 85 - 85 85 - Office supplies 1,753 - 1,753 1,722 (31) Photo supplies 125 - 125 200 75 Building maintenance supplies 7,386 - 7,386 7,000 (386) Furniture maintenance supplies 183 - 183 200 17 Machinery & equipment supplies 13,243 - 13,243 13,225 (18) Auto parts supplies 119 - 119 175 56 Nets & tapes 906 - 906 975 69 Playground supplies 1,063 - 1,063 1,070 7 Arts & crafts supplies 2,526 - 2,526 2,500 (26) Medical & safety supplies 96 - 96 100 4 Custodial supplies 6,021 - 6,021 5,750 (271) Gas, oil & lubricants 425 - 425 400 (25) Uniforms & shoes 848 - 848 824 (24) Membership & dues 495 - 495 501 6 Conference & seminars 336 - 336 410 74 Training & education 200 - 200 200 - Capital outlay: Construction & major renovations 5,114 (5,114) - _ _ Playground & outside equipment 6,211 (740) 5,471 5,450 (21) Furniture & fixtures 1,760 - 1,760 1,770 10 Machinery and equipment 1,200 (1,681) (481) 1,200 1,681 Total Recreation 381,926 (7,535) 374,391 363,06 (10,885) Special Events: Operating expenses: Music & talent 750 - 750 750 - Rental-equipment 1,017 - 1,017 1,050 33 Public events 16,642 - 16,642 16,843 201 Employees' summer outing 2,260 - 2;260 2,067 (193) Furniture & fixture supplies 1,434 - 1,434 1,490 56 Continued on the following page... Financial Section 59 THE VLLLAGE OF NORTH PALM BEACH, FLORIDA Schedule of Expenditures and Other Financing Uses - r Budget and Actual (Budgetary Basis) -General Fund (Continued) Year Ended September 30, 9998 Actual Encumbrances on Variance (Prior Year) Budgetary Budget Favorable Actual Current Year Basis (Revised) (Unfavorable) Refreshments & supplies $ 1,352 $ - $ 1,352 $ 1,400 $ 48 Total Special Events 23,455 - 23 455 23,600 145 Total leisure services 874,043 (735) 873,308 877,857 4,549 Other: ~ ] i Petroleum site rehabilitation: J Emergency gas leak 6,805 3,672 10,477 10,400 (77) Council contingency: Village manager contingency 654 - 654 700 46 Council contingency - - - 23;005 23;005 Insurance: Reserve-group health 60,000 - 60,000 60,000 - Benefits and awards: Reserve-miscellaneous 8,309 - 8,309 8,800 491 r Reserve-raises and benefits 11,149 - 11,149 137,700 126,551 Reserve-accrued benefits 94,191 - 94,191 94,100 (91) Safety and attendance awards 13,198 - 13,198 13,200 2 1 Total other 194,306 3,672 197,978 347,905 149,927 1 Debt service: Debt service principal 55,929 - 55,929 55,929 - ,- Debt service interest 24,001 - 24,001 24,001 - Total debt service 79,930 - 79,930 79,930 - Total expenditures 7,635,999 23,340 7,659,339 8,291,841 632,502 Other financing uses: Transfer to capital projects fund 614,270 - 614 270 545 000 (69,270) Total expenditures and other financing uses $8;254;269 $ _23,340 $ 8,273,649 e 8,836,841 $ 563,232 r~ 60 Financial Section ~9 Capital Projects Fund Financial Section 61 THE VILLAGE OF NORTH PALM BEACH, FLORIDA Schedule of Revenues, Expenditures and Changes in Fund Balances B~~dget and Actual -Capital Projects Fund From Inception and for the Year Ended September 30, 1998 ~- Project Prior Current Total Authorization 'fear dear to Date Revenues: Grants $ 125,000 $ - $ 100,000 $ 100,000 Impact fees 195,000 - 195,000 195,000 r Interest 248,000 .223,908 254,423 478,333 Miscellaneous revenue: Donations - 600 2,555 3,155 ~ } ~ Other - 750 - 750 Total revenues 568,000 225,258 551,980 777,238 Expenditures: r Capital outlay Public safety building: ,r Professional services 338,097 98,910 202,193 301,103 Construction reserve 570,000 5,996 45,478 51,474 Land and buildings 4,840,253 1,210,253 1,494,634 2,704,887 ` , 5,748,350 1,315,159 1,742,305 3,057,464 j Anchorage Park recreation building: Professional services 22,700 8,775 13,925 22,700 Construction reserve 20,000 5,532 14,320 19,852 Buildings 574,270 67,993 500,591 568,584 616,970 82,300 528,836 611,136 Community center ballfield: Construction reserve 213,564 90,972 95,636 186,608 L Capital outlay 1,291,436 972,154 276,170 1,248,324 1,505,000 1,063,126 371,806 1,434,932 Osborne Park concession stand: Professional services 2,710 1,992 260 2,252 Buildings 137,290 53,486 83,804 137,290 140,000 55,478 84,064 139,542 Total capital outlay 8,010,320 2,516,063 2,727,011 5,243,074 Debt service: L Principal 450,000 150,000 300,000 450,000 Interest and fiscal charges 370,000 127,275 250,512 377,787 Total expenditures 8,830,320 2,793,338 3,277,523 6,070,861 Continued on the following page... l r 62 Financial Section E_ J THE VILLAGE OF NORTH PALM BEACH, FLORIDA Schedule of Revenues, Expenditures and Changes in Fund Balances Budget and Actual -Capital Projects Fund (Continued) From Inception and for the Year Ended September 30, 1998 Project Prior Current Total Authorization Year Year to Date Deficiency of revenues under expenditures $ (8,262,320) $ (2,568,080) $ (2,725,543) $ (5,293,623) Other financing sources (uses): Loan proceeds 6,000,000 6,000,000 - 6,000,000 Operating transfer in 2,360,320 1,746,050 614,270 2,360,320 Operating transfer out (98,000) - (98,000) (98,000) Total other financing sources (uses) 8,262,320 7,746,050 516,270 8,262,320 Excess of revenue and other financing sources over expenditures and other financing uses $ - 5,177,970 (2,209,273) $ 2,968,697 Fund balances, beginning of year - 5,177,970 Fund balances, end of year $ 5,177,970 $ 2,968,697 Financial Section 63 r~ r r i J ,ii i 1 1 This page intentionally left blank. 1 1 1 ,1 ~J ~ Sd Firand;a! Sic#icn 1 i Enterprise Fund Financial Section 65 F~ THE VILLAGE OF NORTH PALM BEACH, FLORIDA , Schedule of Revenues -Budget and Actual -Country Club Fund Year Ended September 30, 1998 Variance ,- Favorable Budget Actual (Unfavorable) Operating revenue: I Memberships: Golf: Resident $ 301,908 $ 305,424 $ 3,516 Nonresident 397,803 393,338 (4,465) Social: Resident 460 478 18 ~ I Tennis: Resident 24,317 22,447 (1,870) Nonresident 34,412 40,482 6,070 Pool: Resident 15,81 19,193 3,712 Nonresident 26,986 27,856 870 ~ 1 Total membership dues 801,367 809,218 7,851 J Sports activities: L Golf: Greens fees 260,000 255,785 (4,215) Golf cart rental 650,000 668,548 18,548 L Locker rentals 3,300 2,995 (305) Driving range 120,000 129,970 9,970 Golf shop 70,000 70,135 135 Bag room 7,500 8,643 1,143 Lessons 7,500 7,182 (318) Other 22,435 23,637 1,202 Tennis: Guest fees 15,000 17,066 2,066 Court rental 5,000 3,091 (1,909) Lease 3,600 3,600 - Other 500 596 96 Pool: Daily fees 35,000 47,523 12,523 Pool rental 14,000 21,342 7,342 Locker rentals 500 68 (432) Lease 3,600 3,600 - Other 4,000 4,120 120 ~ J Total sports activities 1_,221,935 1,267,901 45,966 Continued on the following page... i~ 66 Financial Section THE VILLAGE OF NORTH PALM BEACH, FLORIDA Schedule of Revenues -Budget and Actual -Country Club Fund (Continued) Year Ended September 30, 9998 Variance Favorable Budget Actual (Unfavorable) Miscellaneous: Lease income -food and beverage $ 18,000 $ 16,500 $ (1,500) Discounts earned 300 360 60 Utilities refund -food and beverage 11,000 14,253 3,253 Other 3,775 5,334 1,559 Total miscellaneous 33,075 36,447 3,372 Total operating revenue 2,056,377 2,113,566 57,189 Nonoperating revenue: Interest income 70,000 72,018 2,018 Grants - - - Total nonoperating revenue 70,000 72,018 2,018 Total revenues $ 2,126,377 $ 2,185,584 $ 59,207 Financial Section 67 r 1'HE VILLAGE OF NORTH PALM EEACH, FLORIDA Schedule of expenses - budget and Actua/ -Country Club Fund Year Ended September 30, 7998 Variance Favorable Budget Actual (Unfavorable) Operating expenses: ~ i Sports activities: l Golf: Golf course maintenance $ 813,452 $ 713,070 $ 100,382 Golf shop 228,285 231,898 (3,613) Golf carts 148,943 144,116 4,827 ~ Driving range 94,152 81,84 12,568 Tennis 282,799 103,961 178,838 Pool 149,988 154,948 (4,960) , Total sports activities 1,717,619 1,429,577 288,042 Clubhouse: Food and beverage 15,400 13,963 1,437 r Clubhouse grounds and maintenance 133,401 128,954 4,447 Total clubhouse 148,801 142,917 5,884 Admuustrative and general 337,573 270,659 66,914 Depreciation - 232,021 (232,021) Total operating expenses 2,203,993 2,075,174 128,819 ` Nonoperating expenses: Loss on disposal of fixed assets - 130,704 (130,704) ` l Interest expense 170,000 31,669 138,331 ) Total nonoperating expenses 170,000 162,373 7,627 Total expenses ~ 2,373,993 $ 2,237,547 $ 136,446 ~- ~J ~- J ~1 ~1 ri 68 Financial Section ~1 Trust Funds Financial Section 69 THE VILLAGE OF NORTH PALM. BEACH, FLORIDA Combining Balance Sheet -All Pension Trust Funds September 30, 9998 i Pension Trust Fire and General Police Employees ®fficers Total Assets I Cash and cash equivalents $ 88,779 $ 133,263 $ 222,042 ~ i Investments 5,302,734 5,193,793 10,496,527 lI Accounts receivable - 7,580 7,580 Interest receivable - 30,197 30,197 Total assets $ 5,391,513 $ 5,364,833 $ 10,756,346 J Equity E uity: q Fund balances: Reserved for employees' ` pension benefits $ 5,391,513 $ 5,364,833 $ 10,756,346 Total equity $ 5,391,513 $ 5,364,833 $ 10,756,346 l ,1 I 1 ~1 ~1 ~l ~j 70 Financial Section THE VILLAGE OF NORTH PALM BEACH, FLORIDA Combining Statement of Plan Net Assets -All Pension Trust Funds September 30, 1998 Pension Trust Fire and General Police Employees Officers Total Assets Cash and cash equivalents $ 88,779 $ 133,263 $ 222,042 Accounts receivable - 7,580 7,580 Interest receivable - 30,197 30,197 Investments, at fair value 5,302,734 5,193,793 10,496,527 Total assets 5,391,513 5,364,833 10,756,346 Net assets held in trust for pension benefits ~ 5,391,513 $ 5,364,833 ~ 10,756,346 Financial Section 71 THE VILLAGE OF NORTH PALM BEACH, FLORIDA Combining Statement of Changes in Net Plan Assets Al! Pension Trrast Funds Year Fnded September 30, 9998 Fire and General Police Employees Officers Total Additions: r Contributions: Employer $ 250,721 $ 56,672 $ 307,393 State of Florida - 115,355 115,355 Plan member 41,404 31,675 73,079 Total contributions 292,125 203,702 495,827 Investment income: l Interest 2,149 147,484 149,633 Dividends 189,501 50,592 240,093 Net appreciation in fair value of investments 105,165 100,442 205,607 Total investment income 296,815 298,518 595,333 1 Total additions 588,940 502,220 1,091,160 Deductions: ` J Administration 52,346 49,394 101,740 Benefits 466,996 15,731 482,727 Total deductions 519,342 65,125 584,467 L Net increase 69,598 437,095 506,693 Net assets held in trust for pension benefits, beginning of year 5,321,915 4,927,738 10,249,653 Net assets held in trust for pension L benefits, end of year $ 5,391,513 $ 5,364,833 $ 10,756,346 ~l -~ ~l ~l . ~- [7 72 Financial Section General Fixed Assets Account Group Financial Section 73 ~1 ` r: l [l' r~ This page intentionally left blank. ~1 1 ~1 ~I j 1 n ?4 Finar~~ial vvetio:: THE VILLAGE OF NORTH PALM BEACH, FLORIDA Schedule of General Fixed Assets - By Source September 30, 1998 General fixed assets: Land and improvements $ 2,027,123 Buildings and improvements 4,294,266 Construction in progress 1,857,465 Equipment 2,959,787 Library books and video tapes 753,783 Total general fixed assets $ 11,892,424 Investment in general fixed assets by source: General fund $ 6,649,348 Capital projects fund 5,243,076 Total investment in general fixed assets $ 11,892,424 Financial Section 75 l THE VILLAGE OF NORTH PALM BEACH, FLORIDA Schedule of General Fixed Assets - Sy Function and Activity September 30, 9998 Land and Buildings and Improvements Improvements General government: Village manager $ - $ - _ i Finance - - Village clerk - - General services 89,775 292,756 Total general government 89,775 292,756 Public safety: Police department 1,200,000 1,487 Fire department - 35,063 Emergency medical department - - Waterwaypatrol - - Total public safety 1,200,000 36,550 Public works: Code enforcement 12,500 171,254 Facilities maintenance - - Sanitation -solid waste - - Street maintenance - 23,227 Vehicle maintenance - 564 ` Park maintenance - - Total public works 12,500 195,045 Culture/recreation: Library - 364,073 Recreation 724,848 3,405,842 ` l Total culture/recreation 724,848 3,769,915 J $ 2,027,123 $ 4,294,266 l ~J 1 1 :.J i ?S Financial Section Library Books, Construction Equipment in progress Equipment and Video Tapes Total $ - $ 6,573 $ - $ 6,573 - 44,016 - 44,016 - 17,756 - 17,756 - 47,997 - 430,528 - 116,342 - 498,873 1,857,465 664,089 - 3,723,041 - 841,234 - 876,297 - 280,757 - 280,757 1,857,465 1,786,080 - 4,880,095 - 88,540 - 272,294 - 75,840 - 75,840 - 551,380 - 551,380 - 104,696 - 127,923 - 33,539 - 34,103 - 114,156 - 114,156 - 968,151 - 1,175,696 - - 753,783 1,117,856 - 89,214 - 4,219,904 - 89,214 753,783 5,337,760 $ 1,857,465 $ 2,959,787 $ 753,783 $ 11,892,424 Financial Section 77 r THE VILLAGE OF NORTH PALM BEACH, FLORIDA _ Schedule of Changes in General Fixed Assets - By Function and Activity Year Ended September 30, 9998 Restated Balance r October 1, _ 1997_ Additions General government: r Village manager $ 7,13 8 $ - Finance 44,016 - Village clerk 18,350 595 General services 46,258 550 General government land 89 775 - General government buildings and improvements 292756 - Total general government 498,293 1,145 Public safety: Police department 601,540 65,902 l Fire department 967,346 4,863 Emergency medical department 261,558 22,274 ` Public safety .land 1,200,000 Public safety buildings and improvements 151,710 1,742,305 Total public safety 3,182,154 1,835,344 Public works: Code enforcement 153,511 - Facilities maintenance 71,796 9,319 Sanitation -solid waste 498,797 76,148 Street maintenance 126,540 1,383 i Vehicle maintenance 34,103 - l Park maintenance 93,122 26,329 Public service land 12,500 - , Public service buildings and improvements 171,254 - J Total public works 1,161,623 113,179 Culture/recreation: l Library books, equipment and video tapes 7T7,674 77,528 ` J Library building and improvements 364,073 - Recreation 85,825 5,130 Recreation land 724,848 - Recreation buildings and improvements 2,416,021 989,821 Total culture/recreation 4,308,441 1,072,479 Total general fixed assets $ 9,150,511 $ 3,022,147 ~1 i l [7 .3 78 Financial Section Balance September 30, Deletions Transfers '1998 $ 565 $ - $ 6,573 - - 44,016 - (1,189) 17,756 - 1,189 47,997 - - 89,775 - - 292,756 565 - 498,873 3,353 - 664,089 134,050 3,075 841,234 - (3,075) 280,757 - - 1,200,000 - - 1,894,015 137,403 - 4,880,095 64,971 - 88,540 5,275 - 75,840 23,565 - 551,380 - - 127,923 - - 34,103 5,295 - 114,156 - - 12,500 - - 171,254 99,106 - 1,175,696 41,419 - 753,783 - - 364,073 1,741 - 89,214 - - 724,848 - - 3,405,842 43,160 - 5,337,760 $ 280,234 $ - $ 11,892,424 Financial Section 79 r~ ~1 '1I ~- .1 1 This page intentionally left blank. ` i ~l 1 1 80 Fi~aan~i~! ~pcti~n N011 ~3S 7l~~d.~ X11 b'1 r i i ''i i i i THE VILLAGE OF NORTH PALM BEACH, FLORIDA Table 1 General Governmental Expenditures by Function Last Ten Fiscal Years Fiscal General Public Public Leisure Year Government Safety Services Services Other Total 1989 $ 636,850 $ 1,830,873 $ 2,074,323 $ 860,093 $ 180,221 $ 5,582,360 1990 747,041 2,093,350 2,403,569 750,897 202,319 6,197,176 1991 745,053 2,146,398 2,135,571 614,134 270,119 5,911,275 1992 752,735 2,265,527 2,065,833 650,229 175,093 5,909,417 1993 824,006 2,333,455 2,064,082 698,655 178,898 6,099,096 1994 894,986 2,286,130 2,228,019 718,583 174,121 6,301,839 1995 876,637 2,684,149 2,316,032 718,867 188,614 6,784,299 1996 969,300 2,985,104 2,542,787 829,142 138,020 7,464,353 1997 937,571 3,424,137 2,541,538 793,442 362,778 8,059,466 1998 948,819 2,940,800 2,598,101 874,043 274,236 7,635,999 Note: The above expenditures of the general fund include capital outlay and debt service payments for capital leases budgeted in the general fund. Statistical Section 83 THE VILLAGE OF NORTH PALM REACH, FLORIDA General Governmental Revenues by Source Last Ten Fiseal Years Licenses Charges Fiseal and Inter- for Year Faxes Permits Governmental Services 1989 $ 3,969,264 $ 265,483 $1,112,554 $ 239,722 1990 4,305,942 263,228 1,095,582 261,672 _ 1991 4,157,487 273,703 1,012,911 277,819 1992 4,180,223 266,916 932,334 231,345 1993 4,617,122 257,046 964,903 218,826 1994 4,976,695 317,642 1,030;089 195,332 1995 5,417,516 748,676 1,071,940 246,016 1996 5,429,150 453,912 1,352,609 219,447 1997 5,627,038 366,031 1,172,716 275,100 ` 1 1998 6,116,651 509,055 1,379,295 342,863 Note: The above revenues are for the general fund. _1 _f L~ ~1 ~J ~J 1 1 i Q 84 Statistical Section Table II Fines and Forfeitures Interest Miscellaneous Total $ 126,049 $146,210 $ 70,172 $5,929,454 114,002 170,868 48,871 6,260,165 105,923 146,626 67,316 6,041,785 115,911 98,657 82,284 5,907,670 111,004 72,395 76,788 6,318,084 73,423 90,706 116,126 6,800,013 97,993 191,427 96,630 7,870,198 97,886 248,700 93,635 7,895,339 156,281 201,759 129,890 7,928,815 128,140 213,637 96,113 8,785,754 Statistical Section 85 THE VILLAGE OF NORTH PALM BEACH, FLORIDA Table III Pr®perty Tax Levies and Collections Last Ten Fiscal Years Percent Delinquent Total Percent r Fiscal Total Current Tax of Levy Tax Tax Collected Year Tax Levy Collections Collected Collections Collet#ions To Tax Levy 1989 $ 2,650,109 $2,547,021 96.11% $ 22,992 $2,5 70,013 96.98% . 1 1990 3,002,738 2,$76,004 95.78% 5,272 2,881,276 95.95% 1991 2,825,505 2,710,296 95.92% 7,592 2,717,888 96.19% 1992 2,935,533 2,793,999 95.18% 11,355 2,805,354 95,57% 1993 3,281,385 3,141,952 95.75% 7,090 3,149,042 95.97% 1994 3,454,871 3,335,241 96.54% 984 3,336,225 96.57% 1995 3,780,663 3,646,758 96.46% 78 3,646,836 96.46% 1996 3,704,613 3,577,517 96.57% 6,187 3,583,704 96.74% 1997 3,701,075 3,574,562 96.58% 4,379 3,578,941 96.70% ~ 1 1998 ~ 4,105,193 3,961,574 96.50% 5,861 3,967,435 96.64% J Source: Palm Beach County Property Appraiser . I r~ 1 ~l Ll _I, I L~ ~9 ~ 1 i i ~1 r~ 86 Statistical Section THE VILLAGE OF NORTH PALM BEACH, FLORIDA Table IV Assessed Value of Taxable Property Last Ten Fiscal Years Assessed Values Fiscal Real Personal Year Property Property Total 1989 $592,966,369 $ 29,209,943 $622,176,312 1990 637,349,199 26,685,091 664,034,290 1991 643,922,525 29,647,858 673,570,383 1992 657,663,518 30,248,609 687,912,127 1993 677,090,383 29,584,585 706,674,968 1994 675,501,648 29,573,967 705,075,615 1995 690,876,303 29,249,922 720,126,225 1996 694,725,948 31,668,828 726,394,776 1997 700,039,002 31,398,755 731,437,757 1998 724,341,193 35,879,717 760,220,910 Note: The basis of assessed value is approximately one hundred percent (100%) of actual value. For each fiscal year ending September 30, property is valued as of January 1st of the preceding calendar year. Source: Palm Beach County Property Appraiser Statistical Section 87 THE VILLAGE DF NORTH PALM BEACH, FLORIDA Table V Properfy Tax Rates - Direcf and Overlapping Governments Last Ten Fiscal Years (Per $9,000 of the Assessed Value) " Village Palm Beach Of North County Fiscal Palm Special School Palm Beach Year Beach Districts District County Total 1989 4.25 1.797 8.462 5.796 20.305 1_990 4.50 2.027 9.199 4.890 20.616 1991 4.20 2.076 9.293 4.831 20.400 1992 4.26 2.297 9.785 4:644 20.986 i 1993 4.65 2.378 9.603 4.622 21.253 1994 4.90 2.453 10.063 4.550 21.966 1995 5,25 2.448 10.185 4.519 22.402 ~ 1 1996 5.10 2.485 9.797 4.519 21.901 J 1997 .5.06. 2.286 9.788 4.519 21:653 1998 5.40 2.360 9.557 4.867 22.184 Source: Palm Beach County Property Appraiser. ~1 -1 ,l [1 88 Statistical Section a THE VILLAGE OF NORTH PALM BEACH, FLORIDA Table VI Computation of Direct and Overlapping Bonded Debt General Obligation Bonds September 30, 1998 Percentage Amount Applicable to Applicable to Name of Total The Village of The Village of Governmental Unit Outstan~ir~g Nosh Palm Beach North Palm Beach Palm Beach County $ 130,600,000 1.27% $ 1,658,620 Palm Beach County School District 279,605,000 1.27% 3,550,984 Village of North Palm Beach - 100% - Total $ 410,205,000 $ 5,209,604 (1) Estimated based on 1.997 Ratio of Assessed Taxable Values Source: Palm Beach County Property Appraiser School Board of Palm Beach County, Finance Department Village of North Palm Beach Statistical Section 89 r i r r i r ~i This page intentionally left blank. l ~1 1 f~ l , L, 90 Statistical Section _ ~J THE VILLAGE OF NORTH PALM BEACH, FLORIDA Table VII Computation of Legal Debt Margin September 30, 1998 The Village Charter and the Constitution of the State of Florida, Florida State Statute 200.181, does not provide for a legal debt limit. Statistical Section 94 r~ THE VILLAGE ®F N®RTH PALM. EEACH, FLORIDA , Debt Related Statistics Schedule of Revenue Bond Coverage General and Enterprise Funds Last Ten Fiscal Years Net Revenue Available Fiscal Gross Expenditures/ For Debt Year Revenue Expenses Service 1989 $6,929,309 $ 6,3°0°0,793 $ 340,S1b r 1990 7 743.908 7 ~ ` i , , _21,118 622,790 1991 7,889,612 7,208,772 680,840 1992 7,764,064 7,289,253 474,811 1993 8,352,291 7,713,144 639,147 r 1994 9,189,523 8,415,414 774,109 1995 10,167,560 8,829,772 1,337,788 } 1996 * * * 1997 * * * 1998 * * * f Source: Village of North Palm Beach (1) Represents total General Fund and Country Club expenditures/expenses exclusive of _ depreciation, debt service, and loss on disposal of fixed assets. 1 * Revenue bonds were paid in full in 1995. 1 ~l -~ i ~3 I d 92 Statistical Section i Table VIII Debt Service Requirements Principal Interest Totai Coverage $ 120,000 $ 57,313 $ 177,313 3.05 125,000 50,219 175,219 3.55 125,000 43,225 168,225 4.05 140,000 34,750 174,750 .2.72 150,000 25,500 175,500 3.64 150,000 15,562 165,562 4.68 150,000 5,250 155,250 8.62 ~ ~ ~ T Statistical Section 93 THE VILLAGE OF NORTH .PALM BEACH, FLORIDA Table IX Property Value, Construction, and Bank Deposits Last Ten Fiscal Years Commercial Residential Property Value Construction Construction Bank Fiscal Deposits Year Commercial Residential Value Value (000) r 1989 $100,804,283 $192,1.62,086 $1,229,689 $ 2,544,301 $7,251,600 l 1990 108,349,364 528,999,835 1,367,885 1,962,687 8,171,157 1 ~ 1991 109,4.66,830 534,455,695 719,600 1,242,198 8,153,495 ~ j 1992 113,189,265 544,474,253 822,310 2,212,962 7,955,346 1993 99,562,514 568,481,487 1,076,515 1,034,129 7,727,879 1994 98,698,619 570,810,390 747,820 1,101,790 8,196,595 ` 1 1995 92,176,627 595,990,486 307,650 18,901,801 9,055,476 ~ ~ 1996 93,666,802 709,991,899 4,434,050 4,032,198 9,545,424 ` f 1997 97,758,105 620,048,032 3,759,496 2,194,016 9,911,930 L 1998 101,006,689 624,670,583 3,769,950 10,893,857 ~1~ Estimated Sources: Village of North Palm Beach Palm Beach County Property Appraiser Office Florida Bankers Association. Data as of September 30 of the preceding year. * Information not available. 1 94 Statistical Section L THE VILLAGE OF NORTH PALM BEACH, FLORIDA Table X Principal Taxpayers January 1, 1998 Percentage 1997 of Total Assessed Assessed Taxpayer Valuation Valuation Olen Company $10,732,383 1.41% Painewebber Equity Partners 1 7,600,000 1.00% MacArthur, John D. & Catherine 6,110,455 0.80% Community Federal Savings & Loan Assoc. 6,088,124 0.80% Greater Fla Inv CU 5,840,000 0.77% U.S. Technology Trading Ltd. 3,600,000 0.47% Morse, Edward J., Inc. 3,514,096 0.46% MacArthur, J.D. & Catherine T. 2,940,000 0.39% American Property Investors IX 2,898,101 0.38% DeSantis, Conrad J. TR 2,787,181 0.37% $ 52,110,340 6.85% Source; Palm Beach County Property Appraiser. Statistical Section. 95 ~i THE VILLAGE OF NORI°H PALM BEACH, FLORIDA Table XI Miscellaneous Statistics Year ended September 30, 9998 Date of incorporation: August 13, 1956 Form of Government Council -Manager Area (land and waterways) 5.18 square miles Miles of streets 36.00 Number of street lights 425 Fire Protection r Number of stations 1 Number of firemen and officers 5 f- l Police/EMS Protection Number of stations 2 Number of policemen and officers 41 _ 1 Number of EMS officers 12 Building Permits ` Building permits -new 33 Building permits -additions 102 Recreation/Culture Number of parks 4 Public tennis courts 5 i l Number of marinas 1 J Number of libraries 1 Number of volumes 41,908 Country Club 1 Golf course 1 Driving range 1 Swimming pool 1 Tennis courts 10 Employees 213 ~ ~ Source: Village of North Palm Beach / L~ L I~ L J 96 Statistical Section i sc ~rod3~? r r i i r i i 'i j ~I i i i i r 1, Y z:. _ „ef Ccrcificc37'ul~lic rlccounc3ri~r: REPORT ON COMPLIANCE AND ON INTERNAL CONTROL OVER FINANCIAL REPORTING BASED ON AN AUDIT OF GENERAL PURPOSE FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOIiERNM€NT AUDLTIN(s STANDARDS Honorable Mayor, Members of the Village Council and Village Manager Village of North Palm Beach, Florida We have audited the general purpose financial statements of the Village of North Palm Beach, Florida, as of and for the year ended September 30, 1998, and have issued our report thereon dated December 23, 1998. We conducted our audit in accordance with generally accepted auditing standards and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Coin lp fiance As part of obtaining reasonable assurance about whether the Village of North Palm Beach, Florida's general purpose financial statements are free of material misstatement, we performed tests of its compli- ance with certain provisions of laws, regulations, contracts and grants, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, pro- viding anopinion on compliance with those provisions was not an objective of our audit and, accord- ingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompli- ance that are required to be reported under Government Auditing Standards. Internal Control Over Financial ReUOrting In planning and performing our audit, we considered the Village of North Palm Beach, Florida's inter- nal control over financial reporting in order to determine our auditing procedures for the purpose of ex- pressing our opinion on the general purpose financial statements and not to provide assurance on the internal control over financial reporting. Our consideration of the internal control over financial re- porting would not necessarily disclose all matters in the internal control over financial reporting that might be material weaknesses. A material weakness is a condition in which the design or operation of one or more of the internal control components does not reduce to a relatively low level the risk that misstatements in amounts that would be material in relation to the financial statements being audited may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions. We noted no matters involving the internal control over financial reporting and its operation that we consider to be material weaknesses. 1601 E~eI~•ede,r~~ i;~,~~ci b`ve'.1i Palm f31';ich_ 1'l ;3.1.Q6~1:i9.`? t`>61)b~t(}~I~I '~a~~:t761)-'I~71-(?10 Required Reports 99 This report is intended for the information of management -and members of the Village Council. How- ever, this report is a matter of public record and its distribution is not limited. Haas, Diaz & Co. Certified public Accountants December 23, 1998 I ~l ~ 1 ~7 ~1 ~1 I r 100 Required Reports ~ ~ a ~s` l yg i'4. Certified Public Aca?uucm~ts MAIVAGEMEIVT LETTER Honorable Mayor, Members of the Village Council and Village Manager Village of North Palm Beach, Florida We have audited the financial statements of the Village of North Palm Beach, Florida, as of and for the year ended September 30, 1998, and have issued our report thereon dated December 23, 1998. We have issued our Independent Auditor's Report On Compliance and on Internal Control Over Finan- cial Reporting dated December 23, 1998. Disclosures in that report , if any, should be considered in conjunction with this management letter. We conducted our audit in accordance with generally accepted auditing standards, and Government Auditing Standards issued by the Comptroller General of the United States. Additionally,. our audit was conducted in accordance with the provisions of Chapter 10.550, Rules of the Auditor General, which govern the conduct of local governmental entity audits performed in the State of Florida and require that certain items be addressed in this letter. The Rules of the Auditor General (Section 10.554 (1) (f) 1.) require that we comment as to whether or not irregularities reported in the preceding annual financial audit report have been corrected. There were no irregularities noted in the preceding annual financial audit report.. The Rules of the Auditor General (Section 10.554 (1) (f) 2.) require that we comment as to whether or not recommendations made in the preceding annual financial audit report have been followed. There were no recommendations made in the preceding annual financial audit report. As required by the Rules of the Auditor General (Section 10.554 (1) (f) 3.), the scope of our audit in- cluded areview of the provisions of Section 218.503(1), Florida Statutes, "Determination of Financial Emergency." In connection with our audit, nothing came to our attention that caused us to believe that the Village of North Palm Beach, Florida is in a state of financial emergency as a consequence of the conditions described in Section 218.503(1), Florida Statutes. As required by the Rules of the Auditor General (Section 1.0.554 (1) (f) 4.), we determined that the an- nual financial report for the Village of North Palm Beach, Florida for the fiscal year ended September 30, 1998, was filed with the Department of Banking Finance pursuant to Section 218.32, Florida Statutes and is in agreement with the annual financial audit report for the fiscal year ended September 30, 1998. ~C~iil BelvcdCi'f, i~n,~d .~uitc '00.. T~.~R~;i b'~%csI 1'ain~ >ca{: h- 1~1_, 3 ~-GOti-1:i95 {if, I } (i~~b~ I ~5) l~~u;: (561) ,~71 ~ l ~ 10 Required Reports 101 i The Rules of Auditor General {Sections 10.554 (1) {f) 6., 7., 8., 9.) require disclosure in the management letter of the following matters if not already addressed in the auditor's reports on compliance and internal control over financial reporting: recommendations to improve financial management, accounting proce- dures, and internal controls; violations of laws, rules, and regulations which may or may not materially affect the financial statements; illegal or improper expenditures which may or may not materially affect the financial statements; improper or inadequate accounting procedures (e.g., the omission of required disclosures £rom the financial statements); failures to properly record financial transactions; and other inaccuracies, irregularities, shortages, and defalcations discovered by the auditor. Our audit disclosed no matters required to be disclosed by Rules of Auditor General (Sections 10.554 (1) (f) 6., 7., 8., 9.). This management letter is intended solely for the information the Village of North Palm Beach, Florida, management, and the State of Florida. Office of the Auditor General. However, this report is a matter of . public record and its distribution is not limited. ' 1 ~ Haas, Diaz & Co. I Certified Public Accountants December 23, 1998 1 { I n -3 102 required l3eport~