HomeMy Public PortalAboutTBP 2019-07-17Board of Trustees
Regular Meeting Agenda
Fraser Town Hall, 153 Fraser Avenue
Wednesday July 17, 2019
7:00 PM - 9:00 PM
Members of the Board may have dinner together @ 5:30 p.m.
NOTE: Times are approximate and agenda subject to change
Roll Call
Approval Of Agenda
Bi -Weekly Update
Bi -Weekly Update 12 July 2019.Pdf
Consent Agenda
Final Acceptance Elk Creek 1 And 2
Final Acceptance Willows 1 And 3
Resolution 2019 -07 -05 Authorizing Concrete And Asphalt Expenditures
Resolution 2019 -07 -05 -2019 Asphalt -Concrete Repairs.pdf
Public Hearing And Possible Action
Ski Broker Easement Vacation
Briefing Ski Broker Easement Vacation.pdf
Vacation Petition And Legal.pdf
Agency Review Comments.pdf
Final Plat Reception No. 198590.Pdf
Improvement Survey Plat.pdf
Easement Vacation Public Notice.pdf
Ordinance No. 471 Easement Vacation.pdf
Discussion And Possible Action Regarding
2018 Audit Presentation
Town OF Fraser 2018 Communication With Governing Board - Draft.pdf
Town Of Fraser 2018 Preliminary Audited Financials - Draft.pdf
Intergovernmental Agreement With Grand County For County Road 8
Resolution 2019 -07 -07 CR 8 IGA.pdf
Resolution 2019 -07 -08 Well 8 Outfitting Expenditures
07 -17 -19 FrWell8 Reconstruction Pt2 -HRS.pdf
Resolution 2019 -07 -06 HRS On Well 8.Pdf
Open Forum
a) Business not on the agenda
(If you would like to request time on the agenda please contact the Town
Clerk, Antoinette McVeigh at 970 -726 -5491 ext. 201)
Updates
Executive Session
For the purpose of determining positions relative to matters that may be
subject to negotiations, developing strategy for negotiations, and/or
instructing negotiators, under C.R.S. Section 24 -6 -402(4)(e) regarding
annexation
Adjourn
UPCOMING MEETING
WED. AUGUST 7, 2019 BOARD OF TRUSTEES
1.7:00 P.M.
2.
a.
Documents:
3.
a.
b.
c.
Documents:
4.
a.
Documents:
5.
a.
Documents:
b.
Documents:
c.
Documents:
6.
7.
8.
9.
Board Staff
Direct : Define the service, product or value to
be delivered
Lead : Future focused planning
Protect : Establish the operational boundaries
to be respected by Staff and monitored by
the Board
Manage : Now focused policy and procedural
guidance to ensure on time, on budget, and on
target service delivery
Enable : Advocacy, resource development,
and role discipline
Accomplish : Ensure the work defined by the
direction of the Board of Trustees is accomplished
Board of TrusteesRegular Meeting AgendaFraser Town Hall, 153 Fraser AvenueWednesday July 17, 20197:00 PM - 9:00 PMMembers of the Board may have dinner together @ 5:30 p.m. NOTE: Times are approximate and agenda subject to changeRoll CallApproval Of AgendaBi-Weekly UpdateBi-Weekly Update 12 July 2019.PdfConsent AgendaFinal Acceptance Elk Creek 1 And 2Final Acceptance Willows 1 And 3Resolution 2019 -07 -05 Authorizing Concrete And Asphalt ExpendituresResolution 2019 -07 -05 -2019 Asphalt -Concrete Repairs.pdfPublic Hearing And Possible ActionSki Broker Easement VacationBriefing Ski Broker Easement Vacation.pdfVacation Petition And Legal.pdfAgency Review Comments.pdfFinal Plat Reception No. 198590.PdfImprovement Survey Plat.pdfEasement Vacation Public Notice.pdfOrdinance No. 471 Easement Vacation.pdfDiscussion And Possible Action Regarding
2018 Audit Presentation
Town OF Fraser 2018 Communication With Governing Board - Draft.pdf
Town Of Fraser 2018 Preliminary Audited Financials - Draft.pdf
Intergovernmental Agreement With Grand County For County Road 8
Resolution 2019 -07 -07 CR 8 IGA.pdf
Resolution 2019 -07 -08 Well 8 Outfitting Expenditures
07 -17 -19 FrWell8 Reconstruction Pt2 -HRS.pdf
Resolution 2019 -07 -06 HRS On Well 8.Pdf
Open Forum
a) Business not on the agenda
(If you would like to request time on the agenda please contact the Town
Clerk, Antoinette McVeigh at 970 -726 -5491 ext. 201)
Updates
Executive Session
For the purpose of determining positions relative to matters that may be
subject to negotiations, developing strategy for negotiations, and/or
instructing negotiators, under C.R.S. Section 24 -6 -402(4)(e) regarding
annexation
Adjourn
UPCOMING MEETING
WED. AUGUST 7, 2019 BOARD OF TRUSTEES
1.7:00 P.M.2.a.Documents:3.a.b.c.Documents:4.a.Documents:5.
a.
Documents:
b.
Documents:
c.
Documents:
6.
7.
8.
9.
Board Staff
Direct : Define the service, product or value to
be delivered
Lead : Future focused planning
Protect : Establish the operational boundaries
to be respected by Staff and monitored by
the Board
Manage : Now focused policy and procedural
guidance to ensure on time, on budget, and on
target service delivery
Enable : Advocacy, resource development,
and role discipline
Accomplish : Ensure the work defined by the
direction of the Board of Trustees is accomplished
Bi-W e e k l y U p d a t e J u l y 1 2 , 2 0 1 9
Highlights
• Fraser Mountain Mural
Festival
• Picnic in the Park
• Public Works
Upcoming
Events
July 13 - 14
Alpine Artaffair at
Hideaway Park
July 16
Picnic in the Park at
Old Schoolhouse Park
July 20 - 21
Jazz Festival at
Hideaway Park
July 20 - 21
Epic Single Track
Series Race 4 at
Winter Park Resort
July 13 - August 17
High Country
Stampede Rodeo
July 26 - 27
Fraser Mountain
Mural Festival
Fraser Mountain Mural Festival
Preparations are nearing completion for the upcoming Fraser Mountain
Mural Festival on July 26 and 27 located east of the new Fraser Distill-
ery on Doc Susie Ave in downtown Fraser. Twenty one artists from near
and far will be competing for awards and recognition by showing off their
best work on their primed 8'x8' panels. Kids can get in on the art with
their very own collective murals each day. Be sure to stop by, see a vari-
ety of art displays and enjoy some live music! For more information,
check out www.frasermountainmuralfest.com.
Above is a conceptual rendering of the first ever Fraser Mountain Mu-
ral Festival.
Schedule of Events:
Friday 7/26
8-9 AM: Artist Check In
9 AM: Painting Begins
10 AM - 4 PM: Broadcast by KFFR
6 PM: Painting Ends
Saturday 7/27
9 AM: Painting Begins
10 AM - 4 PM: Broadcast by KFFR
4 PM - 6 PM: Live Music by Hunker Down
6 PM: Painting Ends
6:30 - 7 PM: Awards Ceremony
P a g e 2 Bi-W e e k l y U p d a t e
Picnic in the Park
P a g e 3 Bi-W e e k l y U p d a t e
Public Works
HWY 40 Pedestrian Safety Improvement Project Update
The HWY 40 Pedestrian Safety Improvement Project is on schedule at about 95% completion with
anticipated completion by mid July. Crosswalks will be repainted and streets restriped soon.
Street Operations
You may have seen the “grassy knoll” under construction. It
will become a permanent location for Tucker, the snow cat.
Our street operators have been busy filling, compacting,
and leveling our new HWY 40 medians with dirt and top soil
that will be seeded with a variety of flowers and shrubs in
the spring of 2020.
Water Utilities
The water utilities team continues to work tirelessly on
annual inspections of the Town’s infrastructure. Hundreds
of valves, hydrants and manholes keep them busy all
summer.
When a new subdivision is built, the developer installs the
water mains, fire hydrants, sanitary sewer collection lines
and manholes. The developer owns the infrastructure un-
til it has been inspected by the Town to ensure that it was
built in compliance with our design standards and building
codes so that there will be no unforeseen costs associat-
ed with accepting the product. This protects taxpayers
from future expenditures. The utilities team is currently
observing construction on new infrastructure being in-
stalled in Rendezvous.
Wastewater Treatment Plant
Wastewater flows over the 4th of July week into the wastewater treatment plant (WWTP) were the
highest levels observed since Christmas and New Year’s Day. On a normal summer week, inlet
flows to the WWTP are about 0.5-0.6 million gallons per day but during the 4th of July week, levels
observed were between 1.2 to 2 millions gallons per day. That’s a lot of wastewater being treated
and put back into the Fraser River!
In the photo above, street operators work on the
area at the south entrance to the Lions Ponds
where “Tucker” the snow cat will be set.
Pictured above is a new waterline installation in a
new subdivision under the supervision of our wa-
ter utilities crew.
P a g e 4 Bi-W e e k l y U p d a t e
Please feel free to contact
us with any questions
Town Hall
970-726-5491
A full list of contacts can be found at:
www.frasercolorado.com
Town of Fraser
PO Box 370, Fraser, CO 80442
Did You Know…
That Grand County contains one of the highest concentrations of moose throughout
the entire state of Colorado. Willow trees and shrubs (pictured below) make up over
90% of a moose’s 55-pound-a-day-diet.
Pictured above is just one of seven of the water bottle color options that will be available at the Fraser Mural Mountain
Festival on July 26 and 27.
TOWN OF FRASER
RESOLUTION NO. 2019-07-05
A RESOLUTION APPROVING A PUBLIC WORKS CONTRACT FOR ASPHALT AND
CONCRETE REPAIR AND REPLACEMENT
WHEREAS, the 2019 Budget provides funds for general street repairs and replacement for
asphalt and concrete surfacing in the amount of $250,000.
THEREFORE, BE IT RESOLVED BY THE BOARD OF TRUSTEES OF THE TOWN OF
FRASER, COLORADO THAT:
1.The Town Board of Fraser, Colorado hereby authorizes the Town Manager to execute
Public Works Contracts for asphalt and concrete repairs for Town owned infrastructure.
READ,PASSED ON ROLL CALL VOTE,AND ADOPTED BY THE BOARD OF TRUSTEES
THIS 17th DAY OF JULY, 2019.
Votes in favor: ___ BOARD OF TRU
Votes in favor: ___BOARD OF TRUSTEES OF THE
Votes opposed: ___TOWN OF FRASER, COLORADO
Absent: ___
Abstained: ___BY:
Mayor
ATTEST:
(S E A L)
Town Clerk
Town of Fraser
PO Box 370, Fraser, CO 80442 office 970-726-5491 fax 970-726-5518
www.frasercolorado.com
MEMO TO:Mayor Vandernail and the Board of Trustees
FROM:Catherine Trotter, AICP, Town Planner
DATE:July 9, 2019
SUBJECT:Petition to Vacate Access & Utility Easement
MATTER BEFORE BOARD:
We are in receipt of a petition to vacate a portion of an access and utility easement at 601 South
Zerex Street, Fraser, CO. The recorded Final Plat for Forest Meadows Solar Community
(Reception #198590) is in the packet. The applicant is Ski & Board Broker, LLC.
ACTION REQUESTED:
The easement vacation review procedure is detailed in Section 19-3-245 of the Fraser Town
Code at:
https://library.municode.com/co/fraser/codes/municipal_code?nodeId=CH19LADECO_ART3SU
_DIV2AD_S19-3-245PLRI-WEAVA
The applicant is requesting that the Board approve this easement vacation request.
BACKGROUND:
Please review the vacation petition as submitted by the applicant. Town staff has referred a
copy of the vacation petition/request and all accompanying documents to affected governmental
agencies, special districts and private and public utility companies for review and comment.
Agency review comments are included in the packet.
See Final Plat in packet with access and utility easement shaded in gray. Improvement Survey
Plat is also in packet
The Code and Review Procedures Chart Table 1.1 requires a public hearing before the Board of
Trustees. The Board shall consider the vacation petition and review an ordinance vacating the
easement at a public hearing and either approve, approve with conditions or deny the vacation
petition.
Town of Fraser
PO Box 370, Fraser, CO 80442 office 970-726-5491 fax 970-726-5518
www.frasercolorado.com
RECOMMENDATION:
Staff is recommending that the Board approve the vacation petition. Included in the packet is an
ordinance authorizing the vacation of the access and utility easement.
Let me know if you have any questions. ctrotter@town.fraser.co.us
PROOF OF PUBLICATION
Ad #: 0000442891-01
Customer: TOWN OF FRASER,
Your account number is: 1095750
COUNTY OF GRAND
STATE OF COLORADO
I, Meg Boyer, do solemnly swear that I am Publisher of the
MIDDLE PARK TIMES, that the same weekly newspaper
printed, in whole or in part and published in the County of
Grand, State of Colorado, and has a general circulation
therein; that said newspaper has been published
continuously and uninterruptedly in said County of Grand
for a period of more than fifty-two consecutive weeks next
prior to the first publication of the annexed legal notice or
advertisement; that said newspaper has been admitted to
the United States mails as a periodical under the
provisions of the Act of March 3, 1879, or any
amendments thereof, and that said newspaper is a weekly
newspaper duly qualified for publishing legal notices and
advertisements within the meaning of the laws of the State
of Colorado.
MIDDLE PARK TIMES
That the annexed legal notice or advertisement was
published in the regular and entire issue of every number
of said weekly newspaper for the period of 1 insertion; and
that the first publication of said notice was in the issue of
said newspaper dated 7/4/2019 and that the last
publication of said notice was dated 7/4/2019 in the issue
of said newspaper.
In witness whereof, I have here unto set my hand this day,
7/8/2019.
Subscribed and sworn to before me, a notary public in and
for the County of Grand, State of Colorado this day
7/8/2019.
Meg Boyer, Publisher
Jerilynn Medina, Notary Public
August 3, 2020My Commission Expires:
McMahan and Associates, l.l.c.
Certified Public Accountants and Consultants
Web Site: www.mcmahancpa.com
Chapel Square, Bldg C Main Office: (970) 845-8800
245 Chapel Place, Suite 300 Facsimile: (970) 845-8108
P.O. Box 5850, Avon, CO 81620 E-mail: mcmahan@mcmahancpa.com
Member: American Institute of Certified Public Accountants
Paul J. Backes, CPA, CGMA Avon: (970) 845-8800
Michael N. Jenkins, CA, CPA, CGMA Aspen: (970) 544-3996
Daniel R. Cudahy, CPA, CGMA Frisco: (970) 668-3481
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The Honorable Mayor and Fraser Town Board
Town of Fraser
P.O. Box 120
Fraser, Colorado 80442
We have audited the financial statements of the Town of Fraser for the year ended December 31, 2018.
Professional standards require that we provide you with the following information related to our audit.
Qualitative Aspects of Accounting Policies
Management is responsible for the selection and use of appropriate accounting policies. The significant
accounting policies used by the Town of Fraser are described in the Notes to the financial statements. No
new accounting policies were adopted and the application of existing policies was not changed during the
year. We noted no transactions entered into during the year for which there is a lack of authoritative
guidance or consensus. There are no significant transactions that have been recognized in the financial
statements in a different period than when the transaction occurred.
Accounting estimates are an integral part of the financial statements prepared by management and are
based on management’s knowledge and experience about past and current events and assumptions
about future events. Certain accounting estimates are particularly sensitive because of their significance
to the financial statements and because of the possibility that future events affecting them may differ
significantly from those expected. The most sensitive estimates affecting the financial statements were:
Estimated useful lives for depreciation on fixed assets: Management’s estimate of useful lives is
based on industry practice and experience. We evaluated the key factors and assumptions used
to develop the useful lives used in determining depreciation and found that it is reasonable in
relation to the financial statements taken as a whole.
Estimated allowance for uncollectible accounts receivable ($0) at December 31, 2018
Management’s estimate is based on their experience with utility customers and developers,
together with actual collections history since year-end. We believe this estimate is reasonable
relative to the financial statements taken as a whole.
Difficulties Encountered in Performing the Audit
We encountered no significant difficulties in dealing with management in performing and completing our
audit.
Corrected and Uncorrected Misstatements
Professional standards require us to accumulate all known and likely misstatements identified during the
audit, other than those that are trivial, and communicate them to the appropriate level of management.
Management has corrected all such misstatements prior to reporting the Town’s year-end financial report.
The following material misstatements were corrected by management prior to issuance of the audited
financial statements:
Record liability and expenditures for transportation and street improvement expense incurred.
Capitalize capital asset additions and record depreciation expense.
Town of Fraser
Page 2
Corrected and Uncorrected Misstatements (continued)
Record receivable and revenue for member’s portion of JFOC invoices accrued and adjust
reversal of prior year receivable between member’s accounts.
Adjust JFOC reserve accounts for reserve activity.
Disagreements with Management
For purposes of this letter, professional standards define a disagreement with management as a financial
accounting, reporting, or auditing matter, whether or not resolved to our satisfaction, that could be
significant to the financial statements or the auditor’s report. W e are pleased to report that no such
disagreements arose during the course of our audit.
Management Representations
As is required in an audit engagement we have requested certain representations from management that
are included in the management representation letter.
Recommendation
Inventory Tracking –Trash Bags
During 2018, the Town implemented a “pay as you throw” trash service. Trash bags were purchase in
bulk by the Town and are being sold be the Town and local retailers. It came to our attention there is no
physical inventory count performed over the trash bags and the inventory is not properly secured. It is
recommended that access to the bags be limited to necessary staff and that a physical inventory count be
performed at least annually and reconciled to the trash bag tracking sheet.
This report is intended solely for the information and use of the Town Board, management, and others
within the organization and is not intended to be, and should not be, used by anyone other than those
specified parties.
Sincerely,
McMahan and Associates, L.L.C.
Town of Fraser
Fraser, Colorado
Financial Statements
December 31, 2018
DRAFT
i
Town of Fraser, Colorado
Financial Report
December 31, 2018
Table of Contents
Page
INDEPENDENT AUDITOR'S REPORT A1 – A2
Management’s Discussion and Analysis B1 –B11
Basic Financial Statements:
Government-wide Financial Statements:
Statement of Net Assets C1
Statem ent of Activities C2
Fund Financial Statements:
Governmental Funds:
Balance Sheet C3
Reconciliation of Governmental Fund Balance to Governmental
Activities Net Assets C4
Statement of Revenues, Expenditures and Changes in
Fund Balances C5
Reconciliation of Net Change in Fund Balances to Change in Net
Assets of Governmental Activities C6
Business-Type Funds:
Statement of Net Assets -Enterprise Funds C7
Statement of Revenues, Expenses and Changes in Net Assets -
Enterprise Funds C8
Statement of Cash Flows -Enterprise Funds C9
Fiduciary Fund:
Statement of Fiduciary Assets and Liability C10
Statement of Changes in Fiduciary Assets and Liabilities C11
Notes to the Financial Statements D1 – D24
Required Supplementary Information:
Schedule of Revenues, Expenditures and Changes in
Fund Balances -Budget (GAAP Basis) and Actual -General Fund E1
Schedule of Revenues -Budget (GAAP Basis) and Actual -General Fund E2
DRAFT
ii
Town of Fraser, Colorado
Financial Report
December 31, 2018
Table of Contents
(Continued)
Page
Required Supplementary Information (continued):
Schedule of Expenditures and Transfers -Budget (GAAP Basis)
and Actual
General Fund E3
Special Revenue Fund -Conservation Trust Fund E4
Special Revenue Fund –Restricted Revenue Fund E5
Supplementary Information:
Schedule of Revenues, Expenditures and Changes in Fund Balances –
Budget (GAAP Basis) and Actual
Debt Service Fund F1
Capital Projects Fund -Capital Equipment Replacement Fund F2
Schedule of Revenues, Expenditures and Changes in Net Position -
Budget (Non-GAAP Basis) and Actual W ith Reconciliation to GAAP Basis
Enterprise Fund -Water Fund F3
Enterprise Fund -Wastewater Fund F4
Agency Fund -JFOC Fund F5
Annual Schedule of Revenues and Expenditures for Roads, Bridges
and Streets F6 – F7
DRAFT
McMahan and Associates, l.l.c.
Certified Public Accountants and Consultants
Web Site: www.mcmahancpa.com
Chapel Square, Bldg C Main Office: (970) 845-8800
245 Chapel Place, Suite 300 Facsimile: (970) 845-8108
P.O. Box 5850, Avon, CO 81620 E-mail: mcmahan@mcmahancpa.com
Member: American Institute of Certified Public Accountants
Paul J. Backes, CPA, CGMA Avon: (970) 845-8800
Michael N. Jenkins, CA, CPA, CGMA Aspen: (970) 544-3996
Daniel R. Cudahy, CPA, CGMA Frisco: (970) 668-3481
A1
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INDEPENDENT AUDITOR'S REPORT
To the Honorable Mayor and Town Board
Town of Fraser, Colorado
We have audited the accompanying financial statements of the governmental activities, business-type
activities, each major fund, and the aggregate remaining fund information of the Town of Fraser (the
“Town”),as of and for the year ended December 31, 2018, which collectively comprise the Town’s basic
financial statements as listed in the table of contents, and the related notes to the financial statements.
Management’s Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in
accordance with accounting principles generally accepted in the United States of America; this includes
the design, implementation, and maintenance of internal control relevant to the preparation and fair
presentation of financial statements that are free from material misstatement, whether due to fraud or
error.
Auditor’s Responsibility
Our responsibility is to express opinions on these financial statements based on our audit. We conducted
our audit in accordance with auditing standards generally accepted in the United States of America.
Those standards require that we plan and perform the audit to obtain reasonable assurance about
whether the financial statements are free of material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in
the financial statements. The procedures selected depend on the auditor’s judgment, including the
assessment of the risks of material misstatement of the financial statements, whether due to fraud or
error. In making those risk assessments, the auditor considers internal control relevant to the entity’s
preparation and fair presentation of the financial statements in order to design audit procedures that are
appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of
the entity’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating
the appropriateness of accounting policies used and the reasonableness of significant accounting
estimates made by management, as well as evaluating the overall presentation of the financial
statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for
our audit opinions.
Opinions
In our opinion, the financial statements referred to above present fairly, in all material respects, the
respective financial position of the governmental activities, the business-type activities, each major fund,
and the aggregate remaining fund information of the Town of Fraser as of December 31, 2018, and the
respective changes in financial position and, where applicable,cash flows thereof for the year then ended
in accordance with accounting principles generally accepted in the United States of America.
DRAFT
To the Honorable Mayor and Town Board
Town of Fraser
A2
Other Matters
Accounting principles generally accepted in the United States of America require that the Management’s
Discussion and Analysis in Section B be presented to supplement the basic financial statements. Such
information, although not a part of the basic financial statements, is required by the Governmental
Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the
basic financial statements in an appropriate operational, economic, or historical context. We have applied
certain limited procedures to the Management’s Discussion and Analysis in Section B in accordance with
auditing standards generally accepted in the United States of America, which consisted of inquiries of
managem ent about the methods of preparing the information and comparing the information for
consistency with management’s responses to our inquiries, the basic financial statements, and other
knowledge we obtained during our audit of the basic financial statements. We do not express an opinion
or provide any assurance on the information because the limited procedures do not provide us with
sufficient evidence to express an opinion or provide any assurance.
The budgetary comparison information in section E is not a required part of the basic financial statements
but is supplementary information required by accounting principles generally accepted in the United
States of America. The budgetary comparison information has been subjected to the auditing procedures
applied in the audit of the financial statements and certain additional procedures, including comparing and
reconciling such information directly to the underlying accounting and other records used to prepare the
financial statement or to the financial statements themselves, and other additional procedures in
accordance with auditing standards generally accepted in the United States of America. In our opinion,
the information is fairly stated in all material respects in relation to the financial statements as a whole.
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively
com prise the Town’s financial statements as a whole. The individual fund budgetary comparisons found
in Section F and the Local Highway Finance Report are presented for purposes of additional analysis and
are not a required part of the basic financial statements. The individual fund budgetary comparisons
found in Section F and the Local Highway Finance Report are the responsibility of management and were
derived from and relate directly to the underlying accounting and other records used to prepare the
financial statements. The information has been subjected to the auditing procedures applied in the audit
of the basic financial statements and certain additional procedures, including comparing and reconciling
such information directly to the underlying accounting and other records used to prepare the financial
statements or to the financial statements themselves, and other additional procedures in accordance with
auditing standards generally accepted in the United States of America. In our opinion, the information is
fairly stated in all material respects in relation to the financial statements as a whole.
McMahan and Associates, L.L.C.
DRAFT
MANAGEMENT’S DISCUSSION AND ANALYSIS
DRAFT
B1
Town of Fraser, Colorado
Management’s Discussion and Analysis
December 31, 2018
As management of the Town of Fraser, Colorado, (“Town”), we offer readers of the Town’s financial
statements this narrative overview and analysis of the financial activities of the Town for the fiscal year
ended December 31, 2018.
The Town provides a high level of local government service and availability to the community including
operation of the Town’s water and wastewater systems, a public works department that provides for street
maintenance, snow removal and management, park and open space preservation, public building and
facility management and maintenance. Our planning department provides support for both our
business/economic sectors in addition to community development support, all while maintaining our small
town character in the bigger mountain resort community that we are a part of. The Town currently acts as
the manager of the Upper Fraser Valley W astewater Treatment Facility –providing both the operational
expertise and financial management of the facility for the three member organizations who share the
plant. In addition,the Town participates in a joint Fraser/Winter Park Police Department and a joint
Winter Park/Fraser/Granby Building Services Department.
Overview of the Financial Statements
This discussion and analysis is intended to serve as an introduction to the Town’s basic financial
statements. The Town’s basic financial statements include three components: 1) government-wide
financial statements; 2) fund financial statements; and 3) notes to the financial statements. This report
also contains other supplementary information in addition to the basic financial statements.
Government-wide financial statements:The government-wide financial statements are designed to
provide readers with a broad overview of the Town’s finances, in a manner similar to a private-sector
business.
The Statement of Net Position presents information on all Town assets, deferred outflows of resources,
liabilities, and deferred inflows of resources, with the difference between the two reported as net position.
Over time, increases or decreases in net position may serve as a useful indicator of whether the financial
position of the Town is improving or deteriorating.
The Statement of Activities presents information showing how the government’s net position changed
during the most recent fiscal year. All changes in net position are reported as soon as the underlying
event giving rise to the change occurs, regardless of the timing of related cash flows. Thus, revenues
and expenses are reported in this statement for some items that will only result in cash flows in future
fiscal periods (i.e. uncollected revenues such as grants or earned but unused vacation leave.)
Both of the government-wide financial statements distinguish functions of the Town that are principally
supported by taxes and intergovernmental revenues (governmental activities). The governmental
activities of the Town include general government, public safety, public works, and culture and recreation.
The business-type activities of the Town include water production, water distribution system operation
and maintenance, and the operation and maintenance of the Town’s wastewater collection system.
The government-wide financial statements can be found on pages C1 and C2 of this report.
Fund financial statements:A fund is a grouping of related accounts that is used to maintain control over
resources that have been segregated for specific activities or objectives. The Town, like other state and
local governments, uses fund accounting to ensure and demonstrate compliance with finance-related
legal requirements. All of the funds of the Town can be divided into two categories: governmental and
proprietary funds.
DRAFT
B2
Governmental funds:Governmental funds are used to account for essentially the same functions
reported as governmental activities in the government-wide financial statements. However, unlike the
government-wide financial statements, governmental fund financial statements focus on near-term inflows
and outflows of spendable resources, as well as on balances of spendable resources available at the end
of the fiscal year. Such information may be useful in evaluating a government’s near-term financing
requirements.
Because the focus of governmental funds is narrower than that of the government-wide financial
statements, it is useful to compare the information presented for governmental funds with similar
information presented for governmental activities in the government-wide financial statements. By doing
so, readers may better understand the long-term impact of the government’s near-term financing
decisions. The expenditures and changes in fund balances provide a reconciliation to facilitate this
comparison between governmental funds and governmental activities. The fund financial statements for
the governmental funds are shown on pages C3 and C5.
The Town’s Budget includes the following governmental funds:
General Fund (GF), which provides for the general functions and services such as
adm inistration, planning, law enforcement, streets and properties.
Capital Asset Fund (CAF), which is intended to fund long term maintenance of capital assets
(streets, buildings, parks, trails, etc.). The CAF is consolidated with the GF in the financial
statements.
Restricted Revenue Fund (RRF), which is funded by a dedicated sales tax to be used for
transportation,trails, and capital project expenditures.
Debt Service Fund (DSF), which provides for bonded debt service payments.
Conservation Trust Fund (CTF), which is funded by lottery proceeds and provides for open
space and recreational related capital projects.
Capital Equipment Replacement Fund (CERF), which provides for vehicle and heavy
equipment purchases.
The Town adopts an annually appropriated budget for all governmental funds. A budgetary comparison
statement has been provided for the General Fund, Restricted Revenue Fund, Conservation Trust Fund,
Debt Service Fund and Capital Equipment Replacement Fund to demonstrate compliance with the State
budget statutes. These are included in Sections E and F.
Proprietary funds:The Town maintains two proprietary funds commonly known as enterprise funds.
Enterprise funds are used to report the same functions presented as business-type activities in the
government-wide financial statements. The Town uses an enterprise fund to account for its water
operations and one to account for its wastewater operations, which was established on December 31,
2009 by the dissolution of the Fraser Sanitation District.
Proprietary funds provide the same type of information as the government-wide financial statements, only
in more detail. The proprietary fund financial statements provide separate information for each of the
business-type services provided by the Town.
The Town’s Budget includes the following enterprise funds:
Water Fund (WF), an enterprise fund for the Town’s water utility.
Wastewater Fund (WW F),an enterprise fund for the Town’s wastewater utility.
The basic proprietary fund financial statements can be found on pages C7 through C9 of this report. The
Town also presents a budgetary comparison for its proprietary funds on pages F3 and F4.
Fiduciary fund: As managers of the Upper Fraser Valley Wastewater Treatment Plant (“UFVWWTP”),
the Town operates the Joint Facilities Fund (“JFF”) as a fiduciary fund to account for the operations and
maintenance of the facility along any capital expenditures related to the plant.
JFF Operations and Maintenance (O&M)and the JFF Capital Replacement Reserve (CRR),
both of which provide for operations and capital projects at the W astewater Treatment Plant.
The JFF activity is found on pages C10, C11,and F5.
DRAFT
B3
Overview of the Financial Statements (continued)
Notes to the Financial Statements:The Notes provide additional information that is essential to a full
understanding of the data provided in the government-wide and fund financial statements. The Notes to
the Financial Statements can be found at Section D of this report.
The largest portion of the Town’s assets are reflected in the investment in capital assets (i.e. land, streets,
buildings, improvements, and equipment). Capital assets account for 66%of the total assets of
$41,580,716. The Town uses these assets to provide services to its citizens. The Town has to pay
liabilities out of the remaining liquid assets. The Town also has assets that are considered restricted for a
variety of purposes. Accordingly, these assets are not an available source for payment of future
spending, other than as restricted. The Town is showing the detail of restricted net position below on
page B4 and also on page D19 of the footnotes.
Government-wide Fund Analysis
Financial Highlights
On a short term view, the Town’s governmental fund balances increased by $367,018 in 2018.
The Town’s General Fund’s fund balance increased by $348,326.
On a long-term view (including depreciation and excluding capital outlay, etc.) the Town had a 2%
$706,497) increase in net position from $39,608,221 to $40,314,718.
“Net Position” for the Town refers to both the governmental and business-type (Water Fund (WF)
and W astewater Fund (WWF)) activities. The business-type activities (W F & WWF) had an
increase in net position of $153,204, while the governmental activities had an increase in net
position of $553,293.
The “long-term” view includes depreciation expense. On page D6 you will see the schedule the
Town uses to depreciate its assets. On pages D15 -D16 you will see the corresponding
schedules for depreciation and additions to capital assets (capital outlay). It’s important to review
the depreciation schedule and compare it to the age of the assets being depreciated. Annual
depreciation expense for streets exceeds $500,000 and there is no designated revenue source or
reserves associated with this asset. Annual depreciation expense on water and wastewater
assets exceeds $800,000,with almost $500,000 of that depreciation relating to underground
utilities. Over half the Town’s underground utilities have exceeded their depreciation life cycle.
At December 31, 2018, The Fraser Town Board has many committed reserves in its General
Fund and both of its Enterprise Funds, along with a reserve for unforeseen Joint Facility
emergencies. These reserves will allow the Town to meet its short term obligations for safe,
reliable and sustainable water and wastewater systems. Available resources will be freed up in
the 2019 Budget to address annual street maintenance as all long term bonded indebtedness will
be paid for from the Debt Service Fund’s reserves.The Town continues to allow for additional
growth in utilities and streets, while the issue of the cost of maintenance reflected by service fees
and GF revenues remains a community concern.
DRAFT
B4
Government-wide Fund Analysis (continued)
The Town’s restricted net position for 2018 is shown in the following schedule:
Ba la nce Ba la nce
1/1/18 Ad diti ons De leti ons 12/31/18
General Fund:
Fees in lieu of Park 6,379$ - - 6,379
Affo rdable hous ing impac t fee 134,426 - - 134,426
Emergency res erves 130,000 8,000 - 138,000
Cons ervat ion Tr us t Fund 24,596 - (18,314) 6,282
Res tric ted Revenue Fund 54,023 640,433 (694,456) -
Wastewat er Fund
Operat ing reserve 49,042 1,042 - 50,084
Capital replac ement res erve 638,089 51,737 (178,777) 511,049
1,036,555$ 701,212 (891,547) 846,220
The following shows the Town’s net position for 2018:
2018 2017 2018 2017 2018 2017
As sets:
Current a nd other a ssets 5,737,037$ 5,653,039 8,498,247 8,192,276 14,235,284 13,845,315
Capital as sets 8,502,122 8,217,654 18,843,310 18,950,576 27,345,432 27,168,230
Total Assets 14,239,159 13,870,693 27,341,557 27,142,852 41,580,716 41,013,545
Lia bilitie s:
Oth er l iabilities 533,748 836,667 431,235 377,962 964,983 1,214,629
Long-te rm l iabilities
outstanding 151,458 - - -151,458 -
Total Liabilitie s 685,206 836,667 431,235 377,962 1,116,441 1,214,629
De ferred Inflow s of Re sour ces:
Property taxe s 254,157 190,695 - - 254,157 190,695
Total Deferred Inflow s
of Re sources 254,157 190,695 - - 254,157 190,695
Ne t Position:
Net i nves tm ent in capital as sets 8,350,664 8,217,654 18,843,310 18,950,576 27,193,974 27,168,230
Restricted 264,897 349,424 701,475 687,131 966,372 1,036,555
Unres tricted 4,781,063 4,276,253 7,373,309 7,127,183 12,154,372 11,403,436
Total Net Position 13,396,624$12,843,331 26,918,094 26,764,890 40,314,718 39,608,221
Tow n of Fraser's Ne t Position
Go ve rnmental Bus ine ss-type
Ac tivities Ac tivities Total
DRAFT
B5
Government-wide Financial Analysis (continued)
At the end of the current fiscal year, the Town is able to report positive balances in all three categories of
net position, both for the government as a whole, as well as for its separate governmental and business-
type activities.
The following chart is a summary of the Town’s Change in Net Position:
2018 2017 2018 2017 2018 2017
REVENUES:
Pr ogram re ve nues :
C harges for s ervi ces 231,736$ 152,268 1,839,077 1,758,450 2,070,813 1,910,718
Op erating grants
and contr ibutions 158,810 108,666 12,861 16,564 171,671 125,230
C apital grants
and contr ibutions 16,178 - 646,000 829,600 662,178 829,600
Ge neral reve nues :
Pro perty ta xe s 192,843 209,388 - - 192,843 209,388
Sales a nd Us e ta xe s 3,696,462 3,583,910 - - 3,696,462 3,583,910
Oth er ta xe s 86,724 85,021 - - 86,724 85,021
Inte rest a nd other r evenue 410,818 (177,648) 139,991 69,846 550,809 (107,802)
Tota l Re ve nue s 4,793,571 3,961,605 2,637,929 2,674,460 7,431,500 6,636,065
EX PENS ES :
Ge neral government 1,903,992 1,718,808 - - 1,903,992 1,718,808
C ulture and recreation 33,452 39,655 - - 33,452 39,655
Pu blic safety 518,480 476,613 - - 518,480 476,613
Pu blic works 1,802,336 1,545,094 - - 1,802,336 1,545,094
Inte rest 2,018 22,480 - - 2,018 22,480
Wa te r - - 1,370,070 979,038 1,370,070 979,038
Wa stewater - - 1,094,655 994,971 1,094,655 994,971
Tota l Expenses 4,260,278 3,802,650 2,464,725 1,974,009 6,725,003 5,776,659
Cha nge in Net Pos ition
Be fore Tr ansfers 533,293 158,955 173,204 700,451 706,497 859,406
Trans fe rs i n (out)20,000 20,000 (20,000) (20,000) - -
Cha nge in Net Pos ition 553,293 178,955 153,204 680,451 706,497 859,406
Ne t Pos ition-J an 1 12,843,331 12,664,376 26,764,890 26,084,439 39,608,221 38,748,815
Ne t Pos ition - December 31 13,396,624$12,843,331 26,918,094 26,764,890 40,314,718 39,608,221
Tota l
Tow n of Fraser's Change in Net Posi ti on
Go ve rnmental Bus ine ss-type
Ac tivities Ac tivities
Governmental activities: Governmental activities increased the Town’s net position by $553,293 during
2018, as compared to an increase in net position of $178,955 during 2017. The following are the major
elements of the change in net position of governmental activities from December 31, 2017 to December
31, 2018:
During 2018, the Town received grant funds related to the recyc le facility.
Interest rates on deposits improved significantly over the prior year, and sales and use taxes
increased.
DRAFT
B6
Government-wide Financial Analysis (continued)
The following is a graph of the Town’s governmental activities revenues by source for 2018.The Town
continues to be challenged by its dependence on the very volatile resort based sales tax revenues.
Fortunately,the Town has the community’s grocery, hardware, and department stores within its municipal
boundaries. The Town will continue to help the local business community attract and develop a more
varied mixture of vendors appealing to both the community’s residents and its resort vacationers.
Cha rges f or
services ,
$231,736
Operati ng G rants
& Contributions ,
$158,810 Property Taxes ,
$192,843
Sa les and Us e
Ta x, $3,696,462
Other Ta xes ,
$86,724
Inter es t and
other revenue,
$410,818
The following is a graph of the Town’s governmental activities expenditures by function for 2018.
General
governmen t,
$1,903,992
Cul ture a nd
recreation,
$33,452
Publ ic s afety,
$518,480
Publ ic works ,
$1,802,336 Inter es t, $2,018
DRAFT
B7
Government-wide Financial Analysis (continued)
Business-type activities: Business-type activities (water and wastewater, collection and treatment)
resulted in an increase in the Town’s net position of $153,204. Key elements of this change are as
follows:
Within the Water and Wastewater Funds and in the Town’s portion of the JFF assets,
depreciation expense on capitalized assets of $845,005 accounted for 34%of total operating
expenses.
Charges for our customer’s water and wastewater services accounted for 96%of total operating
revenues.
The following is a graph of the business-type revenues by source for 2018.
Cha rges f or
servi ces ,
$1,839,077
Oper ating Gr ants
& Contri butions ,
$12,861
Ca pi ta l Gr ants a nd
Contri butions ,
$646,000
Inter es t and other
revenue,
$139,991
The following is a graph of the business-type expenses by function for 2018.
Pers onnel ,
$586,573
Commodi ti es ,
$555,783
Contractual ,
$365,473
Sys tem
development and
other, $111,891
Depreciation,
$845,005
Financial Analysis of the Town’s Funds
As mentioned on page B2 of this analysis, the Town uses fund accounting to ensure and demonstrate
compliance with finance-related legal requirements.
DRAFT
B8
Financial Analysis of the Town’s Funds (continued)
Governmental funds: The focus of the Town’s governmental funds is to provide information on near-
term inflows (revenues), outflows (expenditures), and balances of spendable resources. Such
information is useful in assessing the Town’s financing requirements. In particular, fund balance may
serve as a useful measure of a government’s net resources available for spending at the end of the fiscal
year.
As of the end of the current fiscal year, the Town’s governmental funds reported combined ending fund
balances of $4,966,486;the funds increased $367,018 from the prior year’s ending balances. The
Town’s governmental fund balances for 2018 and the past two years are graphed as follows:
$(500,000)
$-
$500,000
$1,000,000
$1,500,000
$2,000,000
$2,500,000
$3,000,000
$3,500,000
$4,000,000
$4,500,000
$5,000,000
2016 2017 2018
Ge nera l Fund Conservation Trust Fund Debt Service Fund Rest ricted Reven ue F und Capital Equipment Fund
Proprietary funds: The Town’s proprietary funds (W ater and Wastewater Funds)provide the same type
of information found in the government-wide financial statements, but in more detail.
The proprietary funds’total cash is available for spending at the Town’s discretion. At the end of 2018 the
Town Board reserved multiple amounts and designated them as committed reserves for emergencies in
both our operations and maintenance and also for capital emergencies. Reserves are recognized in-
house and are outlined earlier in this discussion.
DRAFT
B9
Budget Variances in the General Fund: The Town had the following significant budget variances which
are detailed as follows:
Pos. (Ne g.)Account Re ason
Re ve nue s:
1,042,529$ Sales & use taxes Cons ervat ive budget ing due to various econom ic fac tors .
89,501 Liquor and ot her lic ense fee Marijuana ex cise and dispens ary fees have inc reas ed.
(141,655) Planning and buil ding fees Lower hous ing start s.
(1,028,206) Grant revenue Extens ions in federal projec ts delayed grant reimb.
70,217 Earnings on depos its Colot rus t interes t rates have increas ed.
(799,228) Ot her revenue Extens ions in proj ec ts delayed grant matching.
Ex pe ndi tu re s:
Ge ne ra l Gove rnment:
199,120 To wn board comm enhanc .Communit y hous ing ex pendit ures res erved for future us e.
176,321 Ot her purc has ed servic es Purc hased servic es were les s than ex pec ted.
Public Works
2,811,700 Capi tal out lay Expended less for street projec ts than budgeted.
Capital assets: The Town’s government-wide capital assets, net of accumulated depreciation,
decreased due largely to depreciation expense. Additional information as well as a detailed classification
of the Town’s net capital assets can be found in the Notes to the Financial Statements on pages D15 and
D16 of this report.
Long-term obligations: As of the end of 2018, the Town had $186,946 in long-term obligations for
accrued compensated absences. The Town entered into three new lease agreements for a vehicle and
equipment in 2018. Additional information regarding the Town’s debt can be found on pages D17 –D18
of this report.
Sales and Use Taxes: The Town has sales and use taxes that are used to fund its governmental
operations. The Town’s sales and use taxes changed from a total of $3,583,910 in 2017 to $3,696,462 in
2018. The following chart indicates changes in the taxes collections:
0
500,000
1,000,000
1,500,000
2,000,000
2,500,000
3,000,000
3,500,000
4,000,000
2016 2017 2018
1% R es trict ed Sa le s Tax
Ge nera l Fund Use T ax
Ge nera l Fund Sal es Tax
The Town’s sales and use tax collections increased over the past years. Sales tax receipts increased 7%
from 2017 to 2018 and the new 1% restricted sales tax generated $638,933.
DRAFT
B10
Next year’s budget and rates: The Town’s General Fund balance at the end of the current fiscal year
was $4,453,396. The Town’s 2019 budget anticipates decreasing the General Fund balance by
$2,588,507. It is anticipated that this budgeted reduction in fund balance will decrease by year end due
to under spending budgeted amounts as well as surpassing revenue projections.
Request for Information
This financial report is designed to provide a general overview of the Town’s finances for all those with an
interest in the government’s finances. Questions concerning any of the information provided in this report
or requests for additional financial information should be addressed to the Town of Fraser, Finance
Manager, P.O. Box 120, Fraser, Colorado 80442-0120.
DRAFT
GOVERNMENT-WIDE FINANCIAL STATEMENTS
DRAFT
Governmental Business-type
Activities Activities Total
Assets:
Cash and investments - Unrestricted 4,808,328 6,738,544 11,546,872
Cash with County Treasurer 2,830 3,456 6,286
Accounts, taxes, and interest receivables 881,629 1,201,581 2,083,210
Due from fiduciary fund - 554,666 554,666
Non-current notes receivable 44,250 - 44,250
Capital assets, net 8,502,122 18,843,310 27,345,432
Total Assets 14,239,159 27,341,557 41,580,716
Liabilities:
Accounts payable 257,726 8,814 266,540
Due to fiduciary fund 71,634 - 71,634
Other liabilities 186,335 19,986 206,321
Due to other governments - 385,000 385,000
Accrued compensated absences 18,053 17,435 35,488
Non-current liabilities due within one year 37,142 - 37,142
Non-current liabilities due longer than one year 114,316 - 114,316
Total Liabilities 685,206 431,235 1,116,441
Deferred Inflows of Resources:
Property taxes 254,157 - 254,157
Total Deferred Inflows of Resources 254,157 - 254,157
Net Position:
Net investment in capital assets 8,350,664 18,843,310 27,193,974
Restricted 264,897 701,475 966,372
Unrestricted 4,781,063 7,373,309 12,154,372
Total Net Position 13,396,624 26,918,094 40,314,718
Town of Fraser, Colorado
Statement of Net Position
For the Year Ended December 31, 2018
The accompanying notes are an integral part of these financial statements.
C1
DRAFT
Operating Capital
Charges for Grants and Grants and Governmental Business-type
Expenses Services Contributions Contributions Activities Activities Total
Functions/Programs:
Governmental activities:
General government 1,903,992 231,736 98,552 16,178 (1,557,526) - (1,557,526)
Culture and recreation 33,452 - - - (33,452) - (33,452)
Public safety 518,480 - - - (518,480) - (518,480)
Public works 1,802,336 - 60,258 - (1,742,078) - (1,742,078)
Interest 2,018 - - - (2,018) - (2,018)
Total governmental
activities 4,260,278 231,736 158,810 16,178 (3,853,554) - (3,853,554)
Business-type activities:
Water 1,370,070 1,026,570 12,861 38,500 - (292,139) (292,139)
Wastewater 1,094,655 812,507 - 607,500 - 325,352 325,352
Total business-type
activities 2,464,725 1,839,077 12,861 646,000 - 33,213 33,213
Total 6,725,003 2,070,813 171,671 662,178 (3,853,554) 33,213 (3,820,341)
General revenues:
Taxes:
Property tax 192,843 - 192,843
Specific ownership tax 13,763 - 13,763
General sales and use tax 3,696,462 - 3,696,462
Franchise tax 63,357 - 63,357
Other miscellaneous taxes 9,604 - 9,604
Investment earnings 93,226 139,991 233,217
Miscellaneous 317,592 - 317,592
Transfers to (from) 20,000 (20,000) -
Total general revenues and transfers 4,406,847 119,991 4,526,838
Change in Net Position 553,293 153,204 706,497
Net Position - Beginning of Year 12,843,331 26,764,890 39,608,221
Net Position - End of Year 13,396,624 26,918,094 40,314,718
Program Revenues
Net (Expense) Revenue and
Town of Fraser, Colorado
Statement of Activities
For the Year Ended December 31, 2018
Changes in Net Position
The accompanying notes are an integral part of these financial statements.
C2
DRAFT
FUND FINANCIAL STATEMENTS
DRAFT
Capital Total
Debt Conservation Equipment Restricted Governmental
General Service Trust Replacement Revenue Funds
Assets:
Cash and investments - Unrestricted 4,350,889 34,467 6,282 472,555 (55,865) 4,808,328
Cash with County Treasurer 2,830 - - - - 2,830
Receivables 10,779 - - - - 10,779
Due from other governments 499,035 - - 3,045 - 502,080
Due from other funds 62,007 - - - - 62,007
Taxes receivable 254,157 - - - 114,613 368,770
Total Assets 5,179,697 34,467 6,282 475,600 58,748 5,754,794
Liabilities and Fund Equity:
Liabilities:
Accounts/vouchers payable 367,192 - - - - 367,192
Due to other funds - - - - 62,007 62,007
Due to fiduciary fund 71,634 - - - - 71,634
Other liabilities 76,867 - - - - 76,867
Total Liabilities 515,693 - - - 62,007 577,700
Deferred Inflows of Resources:
Property taxes 254,157 - - - - 254,157
Total Deferred Inflows of Resources 254,157 - - - - 254,157
Fund Balances:
Nonspendable 10,779 - - - - 10,779
Spendable
Restricted 258,615 - 6,282 - - 264,897
Committed 1,000,000 34,467 - - - 1,034,467
Assigned 2,588,507 - - 475,600 - 3,064,107
Unassigned 595,495 - - - (3,259) 592,236
Total Fund Balances 4,453,396 34,467 6,282 475,600 (3,259) 4,966,486
Total Liabilities, Deferred Inflows
of Resources and Fund Balances 5,223,246 34,467 6,282 475,600 58,748 5,798,343
Town of Fraser, Colorado
Balance Sheet
Governmental Funds
December 31, 2018
The accompanying notes are an integral part of these financial statements.
C3
DRAFT
Amounts reported for governmental activities in the
Statement of Net Position are different because:
Governmental Fund Balance 4,966,486
Capital assets used in governmental activities are not financial
resources and, therefore, are not reported in the funds.8,502,119
Long-term note receivables are not due and receivable in the current
period and, therefore, are not reported in the funds.44,250
Long-term liabilities are not due and payable in the current period
and, therefore, are not reported in the funds.(169,511)
Net Position of Governmental Activities 13,343,344
Town of Fraser, Colorado
Reconciliation of Governmental Fund Balance to Governmental
Activities Net Position
December 31, 2018
The accompanying notes are an integral part of these financial statements.
C4
DRAFT
Capital Total
Debt Conservation Equipment Restricted Governmental
General Service Trust Replacement Revenue Funds
Revenues:
Taxes 3,337,096 - - - 638,933 3,976,029
Licenses and permits 171,341 - - - - 171,341
Charges for services 63,345 - - - - 63,345
Intergovernmental revenue 300,649 - 6,273 60,258 - 367,180
Investment income 82,217 700 413 8,396 1,500 93,226
Miscellaneous 106,272 - - - - 106,272
Total Revenues 4,060,920 700 6,686 68,654 640,433 4,777,393
Expenditures:
General government 1,429,082 - - - 707,715 2,136,797
Public safety 518,480 - - - - 518,480
Public works 1,176,143 - - - - 1,176,143
Culture and recreation 8,589 - - - - 8,589
Debt service - - - 24,700 - 24,700
Capital outlay 485,300 - - 80,366 - 565,666
Total Expenditures 3,617,594 - - 105,066 707,715 4,430,375
Excess (Deficiency) of Revenues
Over Expenditures 443,326 700 6,686 (36,412) (67,282) 347,018
Other Financing Sources (Uses):
Transfers in (out)(95,000) - (25,000) 130,000 10,000 20,000
Total Other Financing
Sources (Uses)(95,000) - (25,000) 130,000 10,000 20,000
Excess (Deficiency) of Revenues and Other
Financing Sources Over Expenditures
and Other Financing (Uses)348,326 700 (18,314) 93,588 (57,282) 367,018
Fund Balances - Beginning of Year 4,105,070 33,767 24,596 382,012 54,023 4,599,468
Fund Balances - End of Year 4,453,396 34,467 6,282 475,600 (3,259) 4,966,486
Town of Fraser, Colorado
Statement of Revenues, Expenditures and Changes in Fund Balances
Governmental Funds
For the Year Ended December 31, 2018
The accompanying notes are an integral part of these financial statements.
C5
DRAFT
Net Change in Fund Balances of Governmental Funds 367,018
Amounts reported for governmental activities in the
Statement of Activities are different because:
Governmental funds report capital outlays as expenditures.
However, in the Statement of Activities, the cost of those assets is
allocated over their estimated useful lives as depreciation expense.
This is the amount by which depreciation exceeded capital outlay,
net of capital disposals during the year.93,400
Capital contributions are recognized as revenue in the Statement of
Activities. This is the total amount contributed during the year.16,928
Revenues in the Statement of Activities from long-term note
receivables that do not provide current resources are not reported in
the funds. (750)
Accrued liabilities for employees' sick and vacation are not an
expenditure in the governmental funds, but are increases in long-
term liabilities in the Statement of Net Position. This is the amount
that accrued vacation not immediately payable decreased.735
Repayment of capital lease and bond principal is an expenditure in
the governmental funds, but the repayment reduces long-term
liabilities in the Statement of Net Position. This is the amount of
principal repayments.22,682
Change in Net Position of Governmental Activities 500,013
Town of Fraser, Colorado
Reconciliation of Net Change in Fund Balances to Change in Net
Position of Governmental Activities
For the Year Ended December 31, 2018
The accompanying notes are an integral part of these financial statements.
C6
DRAFT
Total
Water Wastewater Enterprise
Fund Fund Funds
Assets:
Current assets:
Cash and cash equivalents 1,222,679 5,515,865 6,738,544
Utility receivables 225,823 188,274 414,097
Plant investment fee receivables 392,700 382,500 775,200
Other receivables - 12,284 12,284
Due (to) from fiduciary fund - 554,666 554,666
Due from other governments 2,095 1,361 3,456
Total Current Assets 1,843,297 6,654,950 8,498,247
Non-current assets:
Land 100,000 144,320 244,320
Water rights 645,086 - 645,086
Equipment 353,994 108,789 462,783
Treatment plant and system 15,051,105 14,729,519 29,780,624
Less: Accumulated depreciation (5,950,411) (6,339,092) (12,289,503)
Total Non-Current Assets 10,199,774 8,643,536 18,843,310
Total Assets 12,043,071 15,298,486 27,341,557
Liabilities and Fund Equity:
Liabilities:
Current liabilities:
Due to other governments 385,000 - 385,000
Deposits payable 19,986 - 19,986
Total Current Liabilities 404,986 - 404,986
Non-current liabilities:
Accrued compensated absences 6,342 11,093 17,435
Total Liabilities 411,328 11,093 422,421
Net Position:
Net investment in capital assets 10,199,774 8,643,536 18,843,310
Restricted - 701,475 701,475
Unrestricted 1,431,969 5,942,382 7,374,351
Total Net Position 11,631,743 15,287,393 26,919,136
Town of Fraser, Colorado
Statement of Net Position
Enterprise Funds
For the Year Ended December 31, 2018
The accompanying notes are an integral part of these financial statements.
C7
DRAFT
Total
Enterprise
Water Wastewater Funds
Operating Revenues:
Charges for services 954,697 812,507 1,767,204
Meter sales 71,873 - 71,873
Miscellaneous revenue 8,606 - 8,606
Total Operating Revenues 1,035,176 812,507 1,847,683
Operating Expenses:
Personnel 292,727 293,845 586,572
Commodities 470,769 85,014 555,783
Contractual 138,600 226,874 365,474
System development 52,651 - 52,651
Other - 59,240 59,240
Depreciation 415,323 429,682 845,005
Total Operating Expenses 1,370,070 1,094,655 2,464,725
Operating Income (Loss)(334,894) (282,148) (617,042)
Non-Operating Revenues:
Grants 4,255 - 4,255
Interest revenue 32,974 108,059 141,033
Net Non-Operating Revenues 37,229 108,059 145,288
Income (Loss) before Contributions and Transfers (297,665) (174,089) (471,754)
Capital contributions 38,500 607,500 646,000
Transfers (out)(10,000) (10,000) (20,000)
Contributions and Transfers 28,500 597,500 626,000
Change in Net Position (269,165) 423,411 154,246
Net Position - Beginning of Year 11,900,908 14,863,982 26,764,890
Net Position - End of Year 11,631,743 15,287,393 26,919,136
Town of Fraser, Colorado
Statement of Revenues, Expenses and Changes in Net Position
Enterprise Funds
For the Year Ended December 31, 2018
The accompanying notes are an integral part of these financial statements.
C8
DRAFT
Total
Enterprise
Water Wastewater Funds
Cash Flows From Operating Activities:
Cash received from customers 1,025,663 777,669 1,803,332
Other cash received 406 28,999 29,405
Cash received (paid) for deposits 2,091 123,653 125,744
Cash payments for goods and services (615,818) (371,127) (986,945)
Cash payments for salaries and benefits (291,700) (292,583) (584,283)
Net Cash Provided (Used) by Operating Activities 120,642 266,611 387,253
Cash Flows From Non-Capital and Related Financing Activities:
Cash transferred to other funds (10,000) (10,000) (20,000)
Cash received from grants and contributions 4,255 1,937 6,192
Net Cash Provided (Used) by Non-Capital and
Related Financing Activities (5,745) (8,063) (13,808)
Cash Flows From Capital and Related Financing Activities:
Plant investment fees (paid) received (5,775) 564,373 558,598
Cash (paid) for assets (625,310) (178,777) (804,087)
Net Cash Provided (Used) by Capital
and Related Financing Activities (631,085) 385,596 (245,489)
Cash Flows From Investing Activities:
Interest 32,974 108,059 141,033
Net Cash Provided (Used) by Investing Activities 32,974 108,059 141,033
Net (Decrease) Increase in Cash and Cash Equivalents (483,214) 752,203 268,989
Cash and Cash Equivalents - Beginning of Year 1,705,893 4,697,314 6,403,207
Cash and Cash Equivalents - End of Year 1,222,679 5,449,517 6,672,196
Reconciliation of Operating Income (Loss) to
Net Cash Provided (Used) by Operating Activities:
Operating income (loss)(334,894) (282,148) (617,042)
Adjustments:
Depreciation 415,323 429,682 845,005
(Increase) decrease in accounts receivable (9,108) 286 (8,822)
(Increase) decrease in deposits receivable - 123,653 123,653
Increase (decrease) in accounts payable 46,200 - 46,200
Increase (decrease) in accrued compensated absences 1,030 1,263 2,293
Increase (decrease) in deposits payable 2,091 (6,125) (4,034)
Total Adjustments 455,536 548,759 1,004,295
Net Cash Provided (Used) by Operating Activities 120,642 266,611 387,253
Town of Fraser, Colorado
Statement of Cash Flows
Enterprise Funds
For the Year Ended December 31, 2018
The accompanying notes are an integral part of these financial statements.
C9
DRAFT
JFOC
Fund
Assets:
Cash and cash equivalents 1,530,052
Accounts receivable, net:115,079
Total Assets 1,645,131
Liabilities:
Accounts payable 67,869
Deposits 1,708,261
Total Liabilities 1,776,130
Town of Fraser, Colorado
Statement of Fiduciary Assets and Liabilities
December 31, 2018
The accompanying notes are an integral part of these financial statements.
C10
DRAFT
JFOC
Fund
Operating Revenues:
Charges for operations and maintenance costs 518,974
Transfer in 208,170
Total Operating Revenues 727,144
Operating Expenses:
Salaries and Wages 195,118
Employee Benefits 67,613
Purchased services 225,970
Supplies 37,429
Utilities 201,014
Total Operating Expenses 727,144
Change in Assets and Liabilities -
Due to Others - Beginning -
Due to Others - Ending -
Town of Fraser, Colorado
Statement of Changes in Fiduciary Assets and Liabilities
For the Year Ended December 31, 2018
The accompanying notes are an integral part of these financial statements.
C11
DRAFT
NOTES TO THE FINANCIAL STATEMENTS
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
D1
I.Summary of Significant Accounting Policies
The Town of Fraser, Colorado (the "Town") is incorporated under Colorado statutes to provide
public safety, streets and street maintenance, water and wastewater service, recreation including
parks and trails, transportation, special events, planning and zoning, and general administrative
services. The Town is located in Grand County and operates under a Council-Manager form of
government.
An elected Mayor and Town Board are responsible for setting policy, appointing administrative
personnel and adopting an annual budget in accordance with state statutes. The Town’s major
operations include road maintenance, water and wastewater service, public safety and culture
and recreation.
The Town’s financial statements are prepared in accordance with generally accepted accounting
principles (“GAAP”). The Governmental Accounting Standards Board (“GASB”) is responsible for
establishing GAAP for state and local governments through its pronouncements (Statements and
Interpretations). The more significant accounting policies established by GAAP and used by the
Town are discussed below.
A.Reporting Entity
The reporting entity consists of (a) the primary government; i.e., the Town, and (b)
organizations for which the Town is financially accountable. The Town is considered
financially accountable for legally separate organizations if it is able to appoint a voting
majority of an organization's governing body and is either able to impose its will on that
organization or there is a potential for the organization to provide specific financial
benefits, to, or to impose specific financial burdens on, the Town. Consideration is also
given to other organizations that are fiscally dependent; i.e., unable to adopt a budget,
levy taxes, or issue debt without approval by the Town. Organizations for which the
nature and significance of their relationship with the Town are such that exclusion would
cause the reporting entity's financial statements to be misleading or incomplete are also
included in the reporting entity.
Based upon the above criteria, the Town is not financially accountable for any other
organization, nor is the Town a component unit of any other primary governmental entity.
B.Government-wide and Fund Financial Statements
The Town’s basic financial statements include both government-wide (reporting the Town
as a whole) and fund financial statements (reporting the Town’s major funds).
Government-wide financial statements report on information of all of the activities of the
Town. Both the government-wide and fund financial statements categorize primary
activities as either governmental or business-type. The Town’s public safety, public
works, culture and recreation, and administration functions are classified as
governmental activities. The Water Fund and W astewater Fund are classified as
business-type activities.
In the government-wide Statement of Net Position, the governmental activities columns
are reported on a full accrual, economic resource basis, which recognizes all long-term
assets and receivables as well as long-term debt and obligations. The Town’s net
position are reported in three parts –Net investment in capital assets; Restricted net
position; and Unrestricted net position.
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D2
I.Summary of Significant Accounting Policies (continued)
B.Government-wide and Fund Financial Statements (continued)
The government-wide Statement of Activities reports both the gross and net cost of each
of the Town’s governmental functions and business-type activities. The governmental
functions are also supported by general government revenues (sales taxes, property and
specific ownership taxes, investment earnings, etc.). The Statement of Activities reduces
gross expenses (including depreciation) by related program revenues, operating and
capital grants. Program revenues must be directly associated with the governmental
function or a business-type activity. Operating grants include operating-specific and
discretionary (either operating or capital) grants while the capital grants column reflects
capital-specific grants.The government-wide focus is on the sustainability of the Town as
an entity and the change in the Town’s net position resulting from the current year’s
activities.
C.Measurement Focus, Basis of Accounting, and Financial Statement Presentation
Measurement focus refers to whether financial statements measure changes in current
resources only (current financial focus) or changes in both current and long-term
resources (long-term economic focus). Basis of accounting refers to the point at which
revenues, expenditures, or expenses are recognized in the accounts and reported in the
financial statements. Financial statement presentation refers to classification of revenues
by source and expenses by function.
1.Long-term Economic Focus and Accrual Basis
Both governmental and business-type activities in the government-wide financial
statements and the proprietary fund financial statements use the long-term
economic focus and are presented on the accrual basis of accounting.
Revenues are recognized when earned and expenses are recognized when
incurred, regardless of the timing of the related cash flows.
2.Current Financial Focus and Modified Accrual Basis
The governmental fund financial statements use the current financial focus and
are presented on the modified accrual basis of accounting. Under the modified
accrual basis of accounting, revenues are recorded when susceptible to accrual;
i.e., both measurable and available. “Available” means collectible within the
current period or soon enough thereafter (60 days) to be used to pay liabilities of
the current period. Expenditures are generally recognized when the related
liability is incurred. The exception to this general rule is that principal and interest
on general long-term debt and compensated absences are recorded only when
payment is due.
Franchise fees, licenses and interest associated with current fiscal period are all
considered to be susceptible to accrual and so have been recognized as revenue
of the current fiscal period. Sales and excise taxes collected by vendors at year
end on behalf of the Town are also recognized as revenue if collected within 30
days after year end. Expenditure driven grants are recognized as revenue when
qualified expenditures have been incurred and all other grant requirements have
been met. All other revenue items are considered to be measurable and
available only when cash is received by the Town.
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D3
I.Summary of Significant Accounting Policies (continued)
C.Measurement Focus, Basis of Accounting, and Financial Statement Presentation
(continued)
3.Financial Statement Presentation
As a general rule the effect of interfund activity has been eliminated from the
government-wide financial statements. Exceptions to this general rule are
payments where the amounts are reasonably equivalent to the value of the
interfund services provided and other charges between the functions of the
Town. Elimination of these charges would distort the direct costs and program
revenues reported for the water and wastewater functions.
Amounts reported as program revenues include 1) charges to customers and
applicants for goods, services or privileges provided, 2) operating grants and
contributions, and 3) capital grants and contributions, including special
assessments. Internally dedicated resources are reported as general revenues
rather than as program revenues. Likewise, general revenues include all taxes.
Proprietary funds distinguish operating revenues and expenses from non-
operating items. Operating revenues and expenses generally result from
providing services and producing and delivering goods in connection with a
proprietary fund’s principal ongoing operations. The principal operating revenues
of the Town’s enterprise funds are the operation of the water and wastewater
systems within the Town. Operating expenses for the enterprise funds includes
operating expenses and depreciation on capital assets. All revenues and
expenses not meeting this definition are reported as non-operating revenues and
expenses.
D.Fund Financial Statements
The financial transactions of the Town are reported in individual funds in the fund
financial statements. Each fund is accounted for by providing a separate set of self-
balancing accounts that comprises its assets, liabilities, reserves, fund equity, revenues
and expenditures/expenses. The fund focus is on current available resources and
budget compliance.
The Town reports the following major governmental funds:
General Fund
The General Fund is the Town’s primary operating fund. It accounts for all
financial resources of the Town, except those required to be accounted for in
another fund.
Special Revenue Funds
Special revenue funds are used to account for and report the proceeds of specific
revenue sources that are restricted or committed to expenditure for specified purposes
other than debt service or capital projects. The term “proceeds of specific revenue
sources” establishes that one or more specific restricted or committed revenues should
be the foundation for a special revenue fund.
The Conservation Trust Fund accounts for lottery proceeds required to be
expended solely on park and recreation improvements.
The Restricted Revenue Fund accounts for a dedicated sales tax to be used for
transportation,trails, and capital project expenditures.
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D4
I.Summary of Significant Accounting Policies (continued)
D.Fund Financial Statements (continued)
Capital Projects Funds
Capital projects funds are used to account for and report financial resources that are
restricted, committed, or assigned to expenditure for capital outlays, including the
acquisition or construction of capital facilities and other capital assets. Capital projects
funds exclude those types of capital-related outflows financed by proprietary funds or for
assets that will be held in trust for individuals, private organizations, or other
governments.
The Capital Equipment Replacement Fund accounts for funds set aside for the
purchase and replacement of capital equipment. A significant portion of
revenues consists of highway user tax proceeds.
Debt Service Funds
Debt service funds are used to account for and report financial resources that are
restricted, committed, or assigned to expenditures of principal and interest. Debt service
funds should be used to report resources if legally mandated. Financial resources that
are being accumulated for principal and interest maturing in future years also should be
reported in debt service funds.
The Debt Service Fund accounts for payments made on the Town’s bonded debt
obligations.
The Town reports the following proprietary or business-type funds:
The Water Fund accounts for the purchase and delivery of water to the citizens
of the Town. The Water Fund also maintains the infrastructure needed to
provide water service.
The Wastewater Fund accounts for the treatment of wastewater from the citizens
of the Town. The Wastewater Fund also maintains the infrastructure needed to
provide wastewater service.
The Town reports the following fiduciary fund:
The Joint Facilities Oversight Committee (“JFOC”) Operations Fund accounts for
the operations of the Upper Fraser Valley W astewater Treatment Joint Facilities.
E.Financial Statement Accounts
1.Cash and Cash Equivalents
The Town pools deposits and investments of all funds except JFOC Operations
Fund, which are held in separate accounts. Each fund’s share of the pool is
readily identified by the Town’s internal records. Investments are stated at
market value.
Cash and cash equivalents include demand deposits, certificates of deposit, local
government investment pools (COLOTRUST), and U.S. government-backed
securities.
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D5
I.Summary of Significant Accounting Policies (continued)
E.Financial Statement Accounts (continued)
1.Cash and Cash Equivalents (continued)
Certain proceeds of debt issues, as well as certain resources set aside for their
repayment, have been classified as restricted assets on the balance sheet
because their use is limited by the applicable covenants. Restricted assets also
include certain deposits that have been limited as to usage pursuant to escrow
and similar agreements.
The Town’s investment policy permits investments in the following type of
obligations which corresponds with state statutes:
U.S. Treasury Obligations (maximum maturity of 60 months)
Federal Instrumentality Securities (maximum maturity of 60 months)
FDIC-insured Certificates of Deposit (maximum maturity of 18 months)
Corporate Bonds (maximum maturity of 36 months)
Prime Commercial Paper (maximum maturity of 9 months)
Eligible Bankers Acceptances
Repurchase Agreements
General Obligations and Revenue Obligations
Local Government Investment Pools
Money Market Mutual Funds
2.Receivables
Receivables are reported net of an allowance for uncollectible accounts.
3.Long-term Notes Receivable
In the government-wide financial statements, long-term notes receivables are
reported as an asset. In the fund financial statements, the face amount is
reported as a general government expense.
4.Property Taxes
Property taxes are assessed in one year as a lien on the property, but not
collected by the governmental units until the subsequent year. In accordance
with generally accepted accounting principles, the assessed but uncollected
property taxes have been recorded as a receivable and as deferred inflow of
resources.
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D6
I.Summary of Significant Accounting Policies (continued)
E.Financial Statement Accounts (continued)
5.Capital Assets
Capital assets, which include land, buildings, equipment, vehicles, and
infrastructure assets (only infrastructure acquired after January 1, 2002), are
reported in the applicable governmental or business-type activity columns in the
government-wide financial statements. The Town defines capital assets as
assets with an initial cost of $5,000 or more and an estimated useful life in
excess of two years. Such assets are recorded at historical cost. Donated
capital assets are recorded at estimated fair value at the date of donation.
Capital outlay for projects is capitalized as projects are constructed. Interest
incurred during the construction phase is capitalized as part of the value of the
assets constructed in the business-type activities.
Infrastructure, buildings, and equipment are depreciated using the straight-line
method over the following estimated useful lives:
Asse ts Ye ars
Infrastructure 15 - 30
Buildings and improvement s 15 - 40
Di stribution systems 40
Equi pment and ve hicles 7
6.Compensated Absences
Vested or accumulated vacation leave that is expected to be liquidated with
expendable available financial resources is reported as an expenditure and a
fund liability of the obligated governmental fund. Amounts of vested or
accumulated vacation leave that are not expected to be liquidated with
expendable available financial resources are reported in the governmental
activities column in the government-wide financial statements. Vested or
accumulated vacation leave of the proprietary fund type is recorded as an
expense and liability of that fund as the benefits accrue to employees. In
accordance with the provisions of GASB No. 16, Accounting for Compensated
Absences,no liability is recorded for non-vesting accumulating rights to receive
sick pay benefits.
7.Restricted Assets
Fees collected in lieu of park and open space and affordable housing impact fees
are restricted as to their use by Town ordinances.
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D7
I.Summary of Significant Accounting Policies (continued)
E.Financial Statement Accounts (continued)
8.Deferred Outflows/Inflows of Resources
In addition to assets, the statement of financial position will sometimes report a
separate section for deferred outflows of resources. This separate financial
statement element, deferred outflows of resources, represents a consumption of
net position that applies to a future period(s) and so will not be recognized as an
outflow of resources (expense/ expenditure) until then. The Town does not have
any deferred outflows of resources at December 31, 2018.
In addition to liabilities, the statement of financial position will sometimes report a
separate section for deferred inflows of resources. This separate financial
statement element,deferred inflows of resources, represents an acquisition of
net position that applies to a future period(s) and so will not be recognized as an
inflow of resources (revenue) until that time. The Town has only one type of item
that qualifies for reporting in this category. Accordingly, the deferred inflow,
property taxes,is deferred and recognized as an inflow of resources in the period
that the amounts become available.
9.Categories and Classification of Fund Balance
Governmental accounting standards establishes fund balance classifications that
comprise a hierarchy based primarily on the extent to which a government is
bound to observe constraints imposed upon the use of the resources reported in
governmental funds. Fund balance classifications, include Non-spendable,
Restricted, Committed, Assigned, and Unassigned. These classifications reflect
not only the nature of funds, but also provide clarity to the level of restriction
placed upon fund balance. Fund Balance can have different levels of restraint,
such as external versus internal compliance requirements. Unassigned fund
balance is a residual classification within the general fund. The general fund
should be the only fund that reports a positive unassigned balance. In all other
funds, unassigned is limited to negative residual fund balance.
The Town of Fraser classifies governmental fund balances as follows:
Non-spendable -includes fund balance amounts that cannot be spent either
because it is not in spendable form or because of legal or contractual
requirements.
Spendable:
Restricted –includes fund balance amounts that are constrained for specific
purposes which are externally imposed by providers, such as creditors or
amounts constrained due to constitutional provisions or enabling legislation.
Committed –includes fund balance amounts that are constrained for
specific purposes that are internally imposed by the government through
formal action of the highest level of decision making authority which is the
Town Board.
Assigned –includes spendable fund balance amounts that are intended to
be used for specific purposes that are neither considered restricted or
committed. Fund Balance may be assigned by the Town or its management
designee.
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D8
I.Summary of Significant Accounting Policies (continued)
E.Financial Statement Accounts (continued)
9.Categories and Classification of Fund Balance (continued)
Unassigned -includes residual positive fund balance within the General
Fund which has not been classified within the other above mentioned
categories. Unassigned fund balance may also include negative balances
for any governmental fund if expenditures exceed amounts restricted,
committed, or assigned for those specific purposes.
The Town may use restricted amounts to be spent first when both restricted and
unrestricted fund balance is available unless there are legal documents/contracts
that prohibit doing this, such as in grant agreements requiring dollar for dollar
spending. Additionally, the Town might first use committed, then assigned, and
lastly unassigned amounts of unrestricted fund balance when expenditures are
made.
10.Interfund Transactions
Interfund services provided and used are accounted for as revenues,
expenditures or expenses. Transactions that constitute reimbursements to a
fund for expenditures or expenses initially made from it that are properly
applicable to another fund, are recorded as expenditures or expenses in the
reimbursing fund and as reductions of expenditures or expenses in the fund that
is reimbursed.
11. Deposits
Deposits on the JFOC Operations Fund represent contributions made to the
JFOC operations fund by Winter Park Ranch Water and Sanitation District
(“W inter Park Ranch”) and Grand County Water and Sanitation District #1
(“Grand County #1”) and the Town (previously the Fraser Sanitation District)for
operating and replacement costs relating to the combined wastewater treatment
plant. These deposits are held for working capital and replacement costs during
the time all members remain joint operators of the plant.
F.Significant Accounting Policies
1.Use of Estimates
The preparation of financial statements in conformity with GAAP requires the
Town’s management to make estimates and assumptions that affect the reported
amount of assets and liabilities, the disclosure of contingent assets and liabilities
at the date of the financial statements, and the reported amount of revenues and
expenditures or expenses during the reporting period. Actual results could differ
from those estimates.
2.Proprietary Funds
As required by GASB Statement No. 62, the Town has elected to follow all GASB
pronouncements for its proprietary funds.
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D9
I.Summary of Significant Accounting Policies (continued)
F.Significant Accounting Policies (continued)
3.Credit Risk
Receivables in the Town’s funds are primarily due from other governments.
Management believes that the credit risk related to these receivables is minimal.
4.Restricted and Unrestricted Resources
When both restricted and unrestricted resources are available for use, it is the
government’s policy to use restricted resources first, then unrestricted resources
as they are needed.
II.Reconciliation of Government-wide and Fund Financial Statements
A.Explanation of certain differences between the governmental fund Balance Sheet
and the government-wide Statement of Net Position
The governmental fund Balance Sheet includes reconciliation between fund balance -
total governmental funds and net position of governmental activities as reported in the
government-wide Statement of Net Position. One element of that reconciliation explains
that “Capital assets used in governmental activities are not financial resources and,
therefore, are not reported in the funds.” The $8,502,119 represents the book value of
assets at December 31, 2018.
Another element of that reconciliation states that “Long-term note receivables in
governmental activities are not due and receivable in the current period and, therefore,
are not reported in the funds” The $44,250 represents that long-term note receivable.
The third element of that reconciliation states that "Long-term liabilities are not due and
payable in the current period and, therefore, are not reported in the funds.” The
$169,511 difference represent accrued compensated absences at year end.
B.Explanation of certain differences between the governmental fund Statement of
Revenues, Expenditures and Changes in Fund Balances and the government-wide
Statement of Activities
The governmental fund Statement of Revenues, Expenditures and Changes in Fund
Balances includes reconciliation between net change in fund balances of governmental
funds and changes in net position of governmental activities as reported in the
government-wide Statement of Activities. One element of that reconciliation explains that
governmental funds report capital outlays as expenditures, but in the Statement of
Activities, the costs of those assets are allocated over their estimated useful lives as
depreciation expense. The details of this reconciling amount are capital outlay of
$710,950,less depreciation expense of $617,550, less the disposal of capital assets of $-
during 2018.
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D10
III.Stewardship, Compliance, and Accountability
A.Budgetary Information
1.Budgetary Basis of Accounting
The preparation Budgets are adopted on a basis consistent with generally
accepted accounting principles, except for the proprietary funds. Annual
appropriations are adopted for all funds. Expenditures may not legally exceed
appropriations at the fund level. All appropriations lapse at year end.
As required by Colorado Statutes, the Town followed the required timetable
noted below in preparing, approving, and enacting its budget for 2018.
(1)For the 2018 budget year, prior to August 25, 2017, the County Assessor
sent to the Town an assessed valuation of all taxable property within the
Town’s boundaries.
(2)The Town Manager, or other qualified person appointed by the Board,
submitted to the Board, on or before October 15, 2017, a recommended
budget which detailed the necessary property taxes needed along with
other available revenues to meet the Town’s operating requirements.
(3)Prior to December 15, 2017, a public hearing was held for the budget,
the Board certified to the County Commissioners a levy rate that derived
the necessary property taxes as computed in the proposed budget, and
the Board adopted the proposed budget and an appropriating resolution
that legally appropriated expenditures for the upcoming year.
(4)After adoption of the budget resolution, the Town may make the following
changes: a) it may transfer appropriated money between funds; b)
approve supplemental appropriations to the extent of revenues in excess
of estimated revenues in the budget; c) approve emergency
appropriations; and d) reduce appropriations for which originally
estimated revenues are insufficient.
Taxes levied in one year are collected in the succeeding year. Thus, taxes
certified in 2017 were collected in 2018 and taxes certified in 2018 will be
collected in 2019. Taxes are due on January 1st in the year of collection;
however, they may be paid in either one installment (no later than April 30th) or
two equal installments (not later than February 28th and June 15th) without
interest or penalty. Taxes that are not paid within the prescribed time bear
interest at the rate of one percent (1%) per month until paid. Unpaid amounts
and the accrued interest thereon become delinquent on June 16th.
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D11
III.Stewardship, Compliance, and Accountability (continued)
A.Budgetary Information (continued)
2.Excess of Expenditures over Appropriations
For the year ended December 31, 2018, expenditures exceeded appropriations
in the following funds.
Ex pe nditure s
in e xcess of
Fund budge t
Res tricted Revenue 207,715$
This may be a violation of Colorado budget law.
B.TABOR Amendment
In November 1992, Colorado voters amended Article X of the Colorado Constitution by
adding Section 20, commonly known as the Taxpayer's Bill of Rights (“TABOR). TABOR
contains revenue, spending, tax and debt limitations that apply to the State of Colorado
and local governments. TABOR requires, with certain exceptions, advance voter
approval for any new tax, tax rate increase, mill levy above that for the prior year,
extension of any expiring tax, or tax policy change directly causing a net tax revenue gain
to any local government.
Except for refinancing bonded debt at a lower interest rate or adding new employees to
existing pension plans, TABOR requires advance voter approval for the creation of any
multiple-fiscal year debt or other financial obligation unless adequate present cash
reserves are pledged irrevocably and held for payments in all future fiscal years.
TABOR also requires local governments to establish an emergency reserve to be used
for declared emergencies only. The reserve is calculated at 3% of fiscal year spending.
Fiscal year spending excludes bonded debt service and enterprise spending. The Town
has reserved $138,000.
On April 4, 2000, the Town’s electorate approved the following: Without any increase in
the property tax mill levy or the 4% sales and use tax rate, shall the Town of Fraser,
Colorado, be authorized, in the year 2000 and each subsequent year thereafter, to
collect, retain, and expend the full proceeds of the Town’s fees, taxes, non-federal grants
and other revenues and to spend such revenues for debt service, municipal operations,
capital projects, and any other lawful municipal purpose, notwithstanding any state of
Colorado restrictions on revenues or spending, including the restrictions of Article X,
Section 20 of the Colorado Constitution, the revenue limit in Section 29-1-301 of the
Colorado Revised Statutes, or any other law.
The Town's management believes it is in compliance with the financial provisions of
TABOR. However, TABOR is complex and subject to interpretation. Many of its
provisions, including the interpretation of how to calculate fiscal year spending limits,
could require judicial interpretation.
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D12
IV.Detailed Notes on All Funds
A.Deposits and Investments
The Town’s checking accounts are entirely covered by federal depository insurance
(“FDIC”) or by collateral held under Colorado’s Public Deposit Protection Act (“PDPA”).
The FDIC insures the first $250,000 of the Town’s deposits at each financial institution.
Deposit balances over $250,000 are collateralized as required by PDPA. The carrying
amount of the Town’s demand deposits were $798,409 at year end.
Fair Value of Investments
The Town measures and records its investments using fair value measurement
guidelines established by generally accepted accounting principles. These guidelines
recognize a three-tiered fair value hierarchy, as follows:
Level 1: Quoted prices for identical investments in active markets;
Level 2: Observable inputs other than quoted market prices; and,
Level 3: Unobservable inputs.
At December 31, 2018, the Town had the following recurring fair value measurements:
Inve st ments at Fair Value Total Leve l 1 Le ve l 2 Le ve l 3
Cas h with fiscal agent 6,286$ 6,286 - -
Inve st ments Me asured at Net Asse t Value
Colot rus t 12,278,515$
Fair Va lue Measurement
Debt and equity securities classified in Level 1 are valued using prices quoted in active
markets for those securities.
The Town had the following deposits and investments for all funds, with the following
maturities December 31, 2018:
Ma turities
Type :Ra ti ng
Ca rrying
Am ount
Le ss Tha n
One Ye ar
Le ss Tha n
Fi ve Years
Depos its:
Cert ificat es of Depos it Not Rat ed 303,737$ 303,737 -
Chec king Account s Not Rat ed 459,979$ 459,979 -
Savi ngs Account s Not Rat ed 34,693$ 34,693 -
Investment s:
Cas h with fiscal agent 6,286 6,286
Inve stment Pools AAAm 12,278,515 12,278,515 -
13,083,210$
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D13
IV.Detailed Notes on All Funds (continued)
A.Deposits and Investments (continued)
The investment pools represent investments in the Colorado Government Liquid Asset
Trust (“COLOTRUST”)a 2a7-like pools. Pools are not covered by FDIC insurance or
PDPA but are rated AAAm. The fair value of the pools is determined by the pools’share
price. The Town has no regulatory oversight for the pools.
Interest Rate Risk. As a means of limiting its exposure to interest rate risk, the Town
coordinates its investment maturities to closely match cash flow needs and restricts the
maximum investment term to less than five years from the purchase date. As a result of
the limited length of maturities the Town has limited its interest rate risk.
Credit Risk.Colorado statutes specify instruments in which local governments may
invest, including:
Obligations of the U.S. and certain U.S. governmental agency securities
Certain international agency securities
General obligation and revenue bonds for U.S. local governmental entities
Bankers acceptances of certain banks
Commercial paper
Local government investment pools
Written repurchase agreements collateralized by certain authorized securities
Certain money market funds
Guaranteed investment contracts
The Town’s general investment policy is to apply the prudent-person rule: Investments
are made as a prudent person would be expected to act, with discretion and intelligence,
to seek reasonable income, preserve capital, and, in general, avoid speculative
investments.
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D14
IV.Detailed Notes on All Funds (continued)
B.Receivables
Receivables as of year-end for the Town’s funds, including applicable allowances for
uncollectible accounts, are as follows:
Ca pita l Re st ricte d
Ge nera l Eq uipment Re ve nue Total
Re ce ivable s:
Ta xes 254,157$ - 114,613 368,770
Account s 10,779 - - 10,779
Intergovernm ent al 499,035 3,045 - 502,080
Gros s rec eiva bles 763,971 3,045 114,613 881,629
Les s: allowance fo r
unc ol lectible - - - -
Net Receiva bles 763,971$ 3,045 114,613 881,629
Gove rnm enta l Funds
Water Waste water
Ope ra ti ons Ope ra ti ons Total
Re ce ivables:
Account s 618,523$ 570,774$ 1,189,297$
Ot her - 12,284 12,284$
Gros s rec eivables 618,523 583,058 1,201,581
Les s: allowanc e for
uncollec tible - - -
Net Receiva bles 618,523$ 583,058$ 1,201,581$
Governmental funds report deferred inflow of resources from property taxes in connection
with receivables for revenues that are not considered to be available to liquidate liabilities
of the current period. The receivable is net of $254,157 of property taxes levied in 2018
but not available until 2019.
C. Long-Term Note Receivable
In August 2017, the Town entered into a grant and loan agreement with Crooked Creek
Saloon. The total funds disbursed per the agreement totaled $85,000, of which $40,000
was given as a grant toward property improvements, and an additional $45,000 provided
to the owner as a no-interest loan. The loan is due in installments of $750 monthly for five
years commencing after the date of completion of the project. As of December 31, 2018,
the project was completed and the Town received payments totaling $750 on the loan.
The balance of the receivable at year end was $44,250.
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D15
IV.Detailed Notes on All Funds (continued)
D.Capital Assets
Capital asset activity for the year ended December 31, 2018 was as follows:
Be ginning En ding
Ba lance Incre ases De cre ases Ba lance
Gove rnmenta l acti vi ti es:
Capit al assets, not being deprec iated:
Land and improvem ent s 730,629$ - - 730,629
Cons truc tion in progres s - 135,041 - 135,041
To tal capit al assets,
not being deprec iated 730,629 135,041 - 865,670
Capit al assets, being deprec iated:
Infras truc ture 14,861,396 281,363 - 15,142,759
Buildings 1,183,052 267,910 - 1,450,962
Furniture and equipment 1,784,031 217,704 - 2,001,735
To tal capit al assets,
being deprec iated 17,828,479 766,977 - 18,595,456
Les s accumulated deprec iation for:
Infras truc ture (7,983,531) (486,971) - (8,470,502)
Buildings (970,076) (38,356) - (1,008,432)
Furniture and equipment (1,387,847) (92,223) - (1,480,070)
To tal accumulated deprec iation (10,341,454) (617,550) - (10,959,004)
To tal capit al assets,
being deprec iated, net 7,487,025 149,427 - 7,636,452
Gove rnm enta l acti vi ti es
ca pi ta l asse ts, net 8,217,654$ 284,468 - 8,502,122
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D16
IV.Detailed Notes on All Funds (continued)
D.Capital Assets (continued)
Be ginning En ding
Ba lance Incre ases De cre ases Ba lance
Busi ne ss-type acti vi ti es:
Capit al assets, not being deprec iated:
Land 244,320$ - - 244,320
Water rights 19,776 - - 19,776
To tal capital assets,
not being deprec iated 264,096 - - 264,096
Capit al assets, being depreciated:
System and improvement s 23,274,317 (1) - 23,274,316
Buildings and improvements 6,393,880 - - 6,393,880
Equipment 462,783 - - 462,783
To tal capital assets,
being deprec iated 30,130,980 (1) - 30,130,979
Les s accumulated deprec iation for:
System and improvement s (8,899,250) 1 - (8,899,249)
Buildings and improvements (2,267,889) - - (2,267,889)
Equipment (277,361) - - (277,361)
To tal accumulated deprec iation (11,444,500) 1 - (11,444,499)
To tal capital assets,
being deprec iated, net 18,686,480 - - 18,686,480
Busi ne ss-type acti vi ti es
ca pita l asse ts, net 18,950,576$ - - 18,950,576
In accordance with generally accepted accounting principles, the Town has elected to
report general government infrastructure assets prospectively. Therefore, only general
government infrastructure assets acquired since January 1, 2002 are included in the
Town’s financial statements.
The Town had the following capital outlay and depreciation expense for the following
functions:
De pre ci ation Ca pita l
Ex pense Outlay
Governm ental ac tivit ies :
General government 37,311$ 284,838
Public work s, including infras truc ture 555,377 617,180
Culture and rec reat ion 24,862 -
Total gove rnmenta l acti vi ti es 617,550$ 902,018
Busines s-type activi ties:
Water 415,322$ 625,309
Was tewat er 429,682 178,777
Total business-type a cti vi ti es 845,004$ 804,086
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D17
IV.Detailed Notes on All Funds (continued)
E.Interfund Receivables, Payables, and Transfers
Transfers were as follows:
In Out
General 25,000$ (120,000)
Cons ervation Tr us t - (25,000)
Capital Equipment 130,000 -
Res tricted Revenue 10,000 -
Wastewat er - (10,000)
Water - (10,000)
165,000$ (165,000)
Transfers were to provide additional resources to meet the activities provided in each
fund.
F.Other Liabilities
1.Capital Leases
In June 2018,the Town entered into a capital lease agreement for the purchase
of a vehicle.The total amount financed was $66,278, with interest stated at
4.89% per annum. The lease requires annual payments of $14,551 through
2022.
In August 2018, the Town entered into a capital lease agreement for the
purchase of equipment. The total amount financed was $55,351 with interest
stated at 5.36% per annum. The lease requires monthly payments of $1,284
through 2022.
In October 2018, the Town entered into a capital lease agreement for the
purchase of equipment. The total amount financed was $52,511 with interest
stated at 6.43% per annum. The lease requires monthly payments of $1,244
through 2022.
Minimum lease payments are as follows:
Ye ar Principa l Interest Total
2019 37,142 7,737 44,879
2020 39,246 5,632 44,878
2021 41,472 3,407 44,879
2022 33,598 1,131 34,729
To tal 151,458$ 17,907 169,365
The net book value of the assets acquired through a capital lease as of
December 31, 2018 are as follows:
Cos t 174,140$
Les s: Accumulated Deprec iation (25,664)
Ne t Book Va lue 148,476$
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D18
IV.Detailed Notes on All Funds (continued)
F.Other Liabilities (continued)
4.Accrued Compensated Absences
Earned but unused vacation benefits amounted to $18,053 at December 31,
2018. All unused vacation benefits are recorded on the government-wide
financial statements.
5.Schedule of Changes in Long-term Debt
Ba lance Ba lance Due Within
1/1/18 Additi ons Re ductions 12/31/18 One Year
Capital leas es -$ 174,140 (22,682) 151,458 37,142
Accrued compensat ed
abs enc es 18,791 - (738) 18,053 -
Total 18,791$ 174,140 (23,420) 169,511 37,142
G.Restricted Fund Balance
The Town had the following restrictions on the fund balances at December 31, 2018:
Ba lance Ba lance
1/1/18 Additi ons De leti ons 12/31/18
General Fund:
Fees in lieu of Park 6,379$ - - 6,379
Affordable hous ing impac t fee 134,426 - - 134,426
Emergenc y res erves 130,000 8,000 - 138,000
Cons ervat ion Tr us t Fund 24,596 - (18,314) 6,282
Res tricted Revenue Fund 54,023 640,433 (694,456) -
Wastewater Fund
Operating reserve 49,042 1,042 - 50,084
Capital replacement res erve 638,089 51,737 (178,777) 511,049
1,036,555$ 701,212 (891,547) 846,220
The Town had $701,475 restricted in the Wastewater Fund for Upper Fraser Valley
Wastewater Treatment Joint Facilities operating and capital replacement expenses.
H.Committed Fund Balance
The Town has the following commitments of the governmental fund balances at
December 31, 2018:
Ba la nce Ba lance
1/1/18 Additi ons De letions 12/31/18
General Fund:
Res erve savi ngs 1,000,000$ - - 1,000,000
Debt Service Fund:
Capi tal projec ts 33,767 700 - 34,467
1,033,767$ 700 - 1,034,467
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D19
IV.Detailed Notes on All Funds (continued)
I.Assigned Fund Balance
The Town had the following assignments of the governmental fund balances at
December 31, 2018:
Ba lance Ba lance
1/1/18 Addi ti ons De leti ons 12/31/18
General Fund:
Capital projec ts 70,422$ 32,225 - 102,647
Fut ure budget deficit 2,647,294 - (58,787) 2,588,507
Capi tal Equipment Replac ement :
Capi tal proj ec ts 382,012 93,588 - 475,600
3,099,728$ 125,813 (58,787) 3,166,754
V.Other Information
A.Joint Facilities Oversight Committee (“JFOC”) Operations Fund
In 2002, the Fraser Sanitation District (the “District”), Winter Park Ranch, and Grand
County #1 entered into an agreement to participate in the joint construction,
maintenance, and operation of joint interceptor sewer lines and joint sewage treatment
facilities. This new wastewater treatment plant has been constructed on the existing plant
site of the District/Winter Park Ranch treatment facility and a new and/or expanded sewer
trunk line from Grand County #1 will connect with the existing District/W inter Park Ranch
interceptor line. Title of the new joint facilities will be allocated among these three
members based on each member’s proportionate share of equivalent residential units to
be serviced by the new plant. The District was dissolved into the Town effective
December 31, 2009.
Construction costs of these new facilities, excluding expenses relating to segment B of
the joint trunk lines (“B-Line”) described below, are based on each member’s future share
of equivalent residential units to be serviced by the new plant and are allocated as
follows:
Town –34.07%
Winter Park Ranch –28.89%
Grand County #1 –37.04%
Under the Upper Fraser Valley W astewater Agreement, a Joint Facilities Oversight
Committee (“JFOC”) was established to represent the three members regarding the
construction, expansion, operations, management, and maintenance of the new joint
facilities. The JFOC is comprised of a total of nine members, with each member having
three members. The Town was appointed as the manager of the joint facilities for 2018.
The JFOC may designate a new manager on an annual basis. In 2018, as approved by
the JFOC, the Town earned $29,000 in management fees.
Operations and maintenance costs will be allocated among the three members based on
each member’s proportionate share of equivalent residential units currently serviced by
the new plant. In addition, upon certification of the new joint facilities, this agreement
requires the establishment of an operations and maintenance reserve fund equal to three
months operations and maintenance costs and a capital replacement reserve fund, the
amount which is determined by the JFOC.
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D20
V.Other Information (continued)
A.Joint Facilities Oversight Committee (“JFOC”) Operations Fund (continued)
1.Maryvale Village (Rendezvous)
The District entered an agreement on May 9, 2000, with Maryvale Village, L.L.C.,
and several individuals (collectively referred to as the “Rendezvous”), Maryvale
Commercial Metropolitan District, and Maryvale Residential Metropolitan District
(these districts are collectively referred to as the “Maryvale Districts”) that
permitted the inclusion of the Maryvale development within the District’s
boundaries in order to receive sanitation services, in exchange for inclusion fees.
Pursuant to this agreement, Rendezvous and the Maryvale Districts are
responsible for the construction of sewer main extensions and related
infrastructure from the existing District sewer main to the Maryvale development.
These sewer main extensions and related infrastructure will ultimately be
conveyed to the District at the time these projects are completed or begin to be
used, whichever comes first, subject to the District’s acceptance of these assets.
As of December 31, 2018,Maryvale development sewer mains and infrastructure
had been conveyed to the District, and is presented as an asset on the Town’s
financial statements.
Per this agreement, in exchange for the District agreeing to oversize the new
wastewater treatment plant described earlier, the Developer and Maryvale
Districts agreed to cover the amount of any shortfall in the District’s CW RPDA
loan payments by pre-purchasing tap fees. In addition, this agreement requires
the Developer and Maryvale Districts to establish an escrow account in the
amount of $160,000 to guarantee their compliance in the event of a default
regarding their pre-purchase obligations. As of December 31, 2018, no prepaid
tap fees have been required or made by the Developer and the Maryvale
Districts. This guarantee was released in 2009.
2.Pre-Inclusion Agreement -Cornerstone
The District entered an agreement on April 5, 2005, with Cornerstone W inter
Park Holdings, L.L.C. (“Cornerstone”) that permits the inclusion of a portion of
Cornerstone’s development within the District’s boundaries in order to receive
sanitation services for inclusion fees.
Cornerstone shall be responsible for constructing, payi ng for and installing all
sewer lines and any related facilities within the property including all lines,
manholes and mains.This infrastructure will ultimately be conveyed to the
District at the time these projects are completed or begin to be used, whichever
comes first, subject to the District’s acceptance of these assets.
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D21
V.Other Information (continued)
B.Retirement Plans –Defined Contribution Pension Plan –Section 401(a)
The Town is a member of Colorado County Officials &Employees Retirement
Association (“CCOERA”). COERA was established to provide retirement benefits to
employees of Colorado local governments. As a member, the Town participates in the
CCOERA retirement plan created in accordance with Internal Revenue Code Section
401(a) (the “401(a) Plan”), which is a defined contribution pension plan. Employees of
the Town are required to participate in the 401(a) Plan after one full year of service.
Each eligible employee is required to contribute 4% of gross wages to the 401(a) Plan.
The Town matches employee contributions at the same rate and these matched dollars
have a vesting period of 5 years. The Town is neither the trustee nor the administrator
for the 401(a) Plan. The seven-member governing board of CCOERA makes all
necessary rules and is responsible for administration of the funds in the 401(a) Plan.
Benefits payable at retirement, death, termination, or other unforeseen circumstance are
based on the accumulated account balance of each employee. Upon termination of
service with the Town, any unvested amounts will be forfeited and may be used to pay
plan expenses or Employer’s contributions to the 401(a) Plan.
During 2018, the Town recognized $45,179 of expense under this plan. The Town has
$0 of forfeitures included in the 2018 401(a) Plan expense. The Town had a liability of
$3,584 due to the 401(a) Plan at December 31, 2018.
The Town also participates in the CCOERA retirement plan created in accordance with
Internal Revenue Code Section 457 (the “457 Plan”), which is a defined contribution plan.
The plan permits employees to defer a portion of their salary until future years. All
contributions to the 457 Plan and all income attributable to those amounts, property are
to be held in trust for the exclusive benefit of the plan participants and their beneficiaries.
Plan investment purchases are determined by the plan participant and therefore, the
plan’s investment concentration varies between participants. The Town has no liability
for losses under the plan but does have the duty of due care that would be required of an
ordinary prudent investor. The Town is neither the trustee nor the administrator for the
plan. The seven-member governing board of CCOERA makes all necessary rules and is
responsible for administration of the funds in the 401(a) Plan. Benefits payable at
retirement, death, termination, or other unforeseen circumstance are based on the
accumulated account balance of each employee.
The Town did not recognize any pension expense related to this 457 Plan during 2018
and had no liability to the 457 Plan at December 31, 2018.
D.Other Employee Benefits -Post Employment Health Care Benefits
All Town employees covered by State continuation insurance may continue their health
insurance due to a reduction in work hours or termination of employment (for reasons
other than "gross misconduct") for up to 18 months after the occurrence of one of these
events. Eligible dependents may continue coverage for up to 36 months. Employees
who elect continued coverage must pay the Town for premiums from the termination date
of coverage and monthly thereafter. No cost to the Town is recognized as employees
reimburse 100% of their premium cost.
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D22
V.Other Information (continued)
E.Intergovernmental Agreements
1.Public Safety Services
In lieu of directly providing public safety services, the Town has entered into an
agreement with the Town of Winter Park, Colorado to form a joint public safety force
effective May 1, 2005 and amended March 21, 2012. The agreement requires costs
to be split 65% to W inter Park and 35% to Fraser, based upon average call volume,
but reevaluated annually and may be amended as agreed upon by both parties.
2.Building Department
The Town has entered into an agreement January 20, 2010 to form a joint building
services department with the Town of Winter Park, Colorado and the Town of
Granby, Colorado.According to the agreement, quarterly expenses are to be split
based upon the portion of revenue collected for each Town, but may be adjusted
annually by mutual agreement based on permits issued, inspections performed, time
expended by personnel, vehicle depreciation and mileage and other measures.
3.Transportation Agreement
The Town has entered into an agreement June 19, 2018 with the Town of Winter
Park to provide transit services. The terms of the agreement automatically renew for
10 one-year periods unless either party provides written notice of nonrenewal on or
before June 30th of the prior year. Pursuant to the agreement, the Town pays a
monthly management fee equal to 10% of Winter Park’s management costs of the
Transit System, as well as all operating costs incurred for the Town’s portion of the
route.
4.Water Storage Agreement
In 2018, the Town purchased 25 acre-feet of water rights at Grand County Water
Storage Reservoir. Pursuant to the terms of the operating agreement, the Town of
Fraser and the Town of Winter Park will split costs associated with Maintenance and
Capital Reserves as needed by Grand County Water Storage Reservoir.
F.Risk Management
The Town is exposed to various risks of loss related to workers’ compensation, general
liability, and worker unemployment. The Town has acquired commercial coverage for
these risks. Any settled claims are not expected to exceed the commercial insurance
coverage. The Town is also exposed to the risks of loss related to torts; theft of, damage
to, and destruction of assets; and errors and omissions. The Town is a member of the
insurance pool described below to cover these risks.
Pursuant to an inter-local agreement authorized by state statute, the Town joined the
Colorado Intergovernmental Risk Sharing Agency (“CIRSA”) to provide insurance
coverage. Members of the board of directors are nominated and elected by members to
two-year, staggered terms and meet at least monthly to direct operations. CIRSA
budgets are funded by contributions from member governments.
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D23
V.Other Information (continued)
F.Risk Management (continued)
The Town's share of assets, liabilities and fund equity as of December 31, 2016, the
latest date for which information is available, is as follows:
Insu ra nce Pools:Fra se r Sha re
Propert y and Cas ualty Pool:
Los s fund 26,704$
Operat ing 11,697
Pooled ex cess fund 5,691
Res erve fund 19,797
Work ers ' Compensation Pool:
Los s fund 23,421
Operat ing 2,106
Pooled ex cess fund 14,433
Res erve fund 15,248
The December 31, 2017 combined financial information is as follows:
Cas h and inves tment s 79,928,631$
Ot her as sets 7,839,652
Total 87,768,283
Liabilit ies 33,977,576
Net assets 53,790,707
Total 87,768,283
To tal revenue 26,784,613
To tal ex pens e (23,649,283)
(De fi ci ency) of Re ve nue
Ove r Ex pe nse 3,135,330
Coverage provided by CIRSA is as follows: 1) $250,000 per claim/occurrence property;
2) $1,000,000 per claim/occurrence liability; and 3) $150,000 per claim/occurrence crime.
CIRSA has also acquired additional excess coverage from outside sources. The Town
may be liable for any losses in excess of the above coverage. At December 31, 2018,
the Town does not expect to incur losses in excess of the above coverage.
Surpluses or deficits for any year are subject to change for reasons which include:
interest earnings on invested amounts for those years and funds, re-estimation of losses
for those years and funds, and credits or distributions from surplus for those years and
funds.
DRAFT
Town of Fraser
Notes to the Financial Statements
December 31, 2018
(Continued)
D24
V.Other Information (continued)
G.Related Party Transactions
During 2018, a third-party vendor controlled by the son of a board member for the Town
of Fraser provided road construction services totaling $431,294.
H.Tax Abatements
1.Fraser Still Project
The Town has entered into an Agreement for Certain Economic Inducements and
Incentives in order to meet development goals within certain areas of the Town.
According to the agreement, the development area Fraser Still Project has the
following continuing development requirements or abatement agreements requiring
disclosure:
Re ve nue s impacte d Am ount Re quire ments
Permit and review fees Rebate of $1.00 per square foot of new usable
commerc ial spac e cons truc ted
Paid to owner
Sales tax 100% for fi ve years from date of CO issuance, 50%
of sales tax for 5 additional years thereafter
Paid to owner
Us e tax 100% of the building and cons truc tion use tax Paid to owner
Ad valorem real and
pers onal property taxes
100% for the tax year prec eeding the date of CO
issuance and four years thereaft er
Paid to owner
Plant inve stment fees Due in three annual installment s without interes t one
year after the date of CO issuanc e
Paid to owner
Service fees Waived unt il the earlier of issuance of CO, or
November 7, 2020
Paid to owner
In exchange to the above tax abatements, the owner agrees to develop and run a
retail business on the property.During the year ended December 31, 2018, the total
reduction in tax revenues for the Town totaled .
2.Prepaid Plant Investment Fees
The Town also entered into annexation agreements with two developers that
provided for the use of Plant Investment Fees to fund water system capital
improvements within the developments. The agreements essentially provide that the
Town will not retain Plant Investment Fees paid by building permit applicants within
these developments until such time as the total Plant Investment Fees paid exceeds
the certified costs of regional water capital improvements within the developments.
Currently the developers have certified water regional infrastructure improvements
totaling $6,266,976 and a total of $4,228,593 of Plant Investment Fees have been
rebated to the developers.
The above agreements were authorized by the Town Board after analyzing criteria that
includes the ability to encourage development within the specific abatement area.
I.Fund Balance Deficit
At December 31, 2018, the Town’s Restricted Revenue Fund had a deficit ending fund
balance of $3,259.
DRAFT
REQUIRED SUPPLEMENTARY INFORMATION
DRAFT
2017
Original and Variance
Final Positive
Budget Actual (Negative)Actual
Revenues:
Taxes 2,279,250 3,337,096 1,057,846 3,282,213
Licenses and fees 75,720 171,341 95,621 147,883
Charges for services 205,000 63,345 (141,655) 4,385
Intergovernmental 1,328,855 300,649 (1,028,206) 30,065
Interest 12,000 82,217 70,217 40,916
Other revenue 905,500 106,272 (799,228) 78,881
Total Revenues 4,806,325 4,060,920 (745,405) 3,584,343
Expenditures:
General government 1,843,375 1,429,082 414,293 1,184,472
Public safety 525,000 518,480 6,520 476,613
Public works 4,576,700 1,661,443 2,915,257 1,024,995
Culture and recreation 13,544 8,589 4,955 9,600
Debt service - - - 343,733
Total Expenditures 6,958,619 3,617,594 3,341,025 3,039,413
Excess (Deficiency) of Revenues
Over Expenditures (2,152,294) 443,326 2,595,620 544,930
Other Financing Sources (Uses):
Transfer in 160,426 25,000 (135,426) -
Transfer (out)(120,000) (120,000) - (100,000)
Sale of assets - - - 226,700
Total Other Financing (Uses)40,426 (95,000) (135,426) 126,700
Excess (Deficiency) of Revenues
Over Expenditures and Other
Financing Sources (Uses)(2,111,868) 348,326 2,460,194 671,630
Fund Balances - Beginning of Year 3,060,691 4,105,070 1,044,379 3,433,440
Fund Balances - End of Year 948,823 4,453,396 3,504,573 4,105,070
2018
Town of Fraser, Colorado
General Fund
Schedule of Revenues, Expenditures and Changes in Fund Balances
Budget (GAAP Basis) and Actual
For the Year Ended December 31, 2018
(With Comparative Actual Amounts for 2017)
The accompanying notes are an integral part of these financial statements.
E1
DRAFT
2017
Original and Variance
Final Positive
Budget Actual (Negative)Actual
Taxes:
Property 190,000 192,843 2,843 209,388
Specific ownership 11,500 13,763 2,263 14,835
Sales & use 2,015,000 3,057,529 1,042,529 2,987,804
Franchise 55,000 63,357 8,357 60,217
Motor vehicle 4,250 4,564 314 5,002
Cigarette 3,500 5,040 1,540 4,967
Total 2,279,250 3,337,096 1,057,846 3,282,213
Licenses and Fees:
Business license fees 10,720 16,840 6,120 12,980
Regulated Industry fees 65,000 154,501 89,501 134,903
Total 75,720 171,341 95,621 147,883
Charges for services:
Planning and building fees 205,000 63,345 (141,655) 4,385
Total 205,000 63,345 (141,655) 4,385
Intergovernmental:
Grant revenue 1,328,855 300,649 (1,028,206) 30,065
Total 1,328,855 300,649 (1,028,206) 30,065
Interest:
Earnings on deposits 12,000 82,217 70,217 40,916
Total 12,000 82,217 70,217 40,916
Other:
Other income 890,000 95,602 (794,398) 61,601
Rents 15,500 10,670 (4,830) 17,280
Total 905,500 106,272 (799,228) 78,881
Other Financing Sources:
Transfer in 160,426 25,000 (135,426) -
Sale of assets - - - 226,700
Total 160,426 25,000 (135,426) 226,700
Total Revenues 4,966,751 4,085,920 (880,831) 3,811,043
2018
Town of Fraser, Colorado
General Fund
Schedule of Revenues
Budget (GAAP Basis) and Actual
For the Year Ended December 31, 2018
(With Comparative Actual Amounts for 2017)
The accompanying notes are an integral part of these financial statements.
E2
DRAFT
2017
Original and Variance
Final Positive
Budget Actual (Negative)Actual
General Government:
Town board salaries 74,825 36,952 37,873 44,468
Town board community enhancement 640,750 441,630 199,120 229,739
Miscellaneous 10,000 8,094 1,906 735
Administrative salaries 450,500 465,425 (14,925) 396,645
Other purchased services 577,800 401,479 176,321 419,822
Utilities 23,000 21,484 1,516 16,822
Property management 66,500 52,780 13,720 76,028
Fiscal agent salaries - 1,238 (1,238) 213
Total General Government 1,843,375 1,429,082 414,293 1,184,472
Public Safety 525,000 518,480 6,520 476,613
Total Public Safety 525,000 518,480 6,520 476,613
Public Works
Salaries and benefits 673,500 628,417 45,083 519,435
Other purchased services 386,700 372,511 14,189 215,786
Utilities 15,000 13,091 1,909 12,373
Property management 204,500 162,124 42,376 99,708
Capital outlay 3,297,000 485,300 2,811,700 177,693
Total Public Works 4,576,700 1,661,443 2,915,257 1,024,995
Culture and Recreation
Other purchased services 6,120 4,881 1,239 5,379
Utilities 2,424 2,150 274 1,905
Property management 5,000 1,558 3,442 2,316
Total Culture and Recreation 13,544 8,589 4,955 9,600
Debt Services
Interest - - - 9,406
Principal - - - 334,327
Total Debt Services - - - 343,733
Other Financing Uses
Transfer out 120,000 120,000 - 100,000
Total Financing Sources 120,000 120,000 - 100,000
Total Expenditures 7,078,619 3,737,594 3,341,025 3,139,413
2018
Town of Fraser, Colorado
General Fund
Schedule of Expenditures and Transfers
Budget (GAAP Basis) and Actual
For the Year Ended December 31, 2018
(With Comparative Actual Amounts for 2017)
The accompanying notes are an integral part of these financial statements.
E3
DRAFT
Conservation Trust Fund
2017
Original and Variance
Final Positive
Budget Actual (Negative)Actual
Revenues:
Lottery proceeds 6,600 6,273 (327) 5,792
Interest 75 413 338 232
Total Revenues 6,675 6,686 11 6,024
Other Financing Uses
Transfer (Out)(25,000) (25,000) - -
Total Financing Sources (25,000) (25,000) - -
Excess (Deficiency) of Revenues
Over Expenditures (18,325) (18,314) 11 6,024
Fund Balances - Beginning of Year 24,722 24,596 (126) 18,572
Fund Balances - End of Year 6,397 6,282 (115) 24,596
Schedule of Revenues, Expenditures and Changes in Fund Balances
Special Revenue Fund
Town of Fraser, Colorado
2018
For the Year Ended December 31, 2018
(With Comparative Actual Amounts for 2017)
Budget (GAAP Basis) and Actual
The accompanying notes are an integral part of these financial statements.
E4
DRAFT
Restricted Revenue Fund
2017
Original and Variance
Final Positive
Budget Actual (Negative)Actual
Revenues:
Taxes 462,500 638,933 176,433 596,106
Interest 303 1,500 1,197 414
Total Revenues 462,803 640,433 177,630 596,520
Expenditures:
General government
Transportation 500,000 706,495 (206,495) 548,486
Trails - 1,220 (1,220) -
Total Expenditures 500,000 707,715 (207,715) 548,486
Excess (Deficiency) of Revenues
Over Expenditures (37,197) (67,282) (30,085) 48,034
Other Financing Sources (Uses):
Transfer in 10,000 10,000 - -
Total Other Financing (Uses)10,000 10,000 - -
Excess (Deficiency) of Revenues
Over Expenditures and Other
Financing Sources (Uses)(27,197) (57,282) (30,085) 48,034
Fund Balances - Beginning of Year 28,523 54,023 25,500 5,989
Fund Balances - End of Year 1,326 (3,259) (4,585) 54,023
2018
Town of Fraser, Colorado
Special Revenue Fund
Schedule of Revenues, Expenditures and Changes in Fund Balances
Budget (GAAP Basis) and Actual
For the Year Ended December 31, 2018
(With Comparative Actual Amounts for 2017)
The accompanying notes are an integral part of these financial statements.
E5
DRAFT
SUPPLEMENTARY INFORMATION
DRAFT
2017
Original and Variance
Final Positive
Budget Actual (Negative)Actual
Revenues:
Interest - 700 700 2,146
Total Revenues - 700 700 2,146
Expenditures:
Principal - - - 440,000
Interest - - - 11,910
Total Expenditures - - - 451,910
Excess (Deficiency) of Revenues
Over Expenditures - 700 700 (449,764)
Fund Balances - Beginning of Year - 33,767 33,767 483,531
Fund Balances - End of Year - 34,467 34,467 33,767
Schedule of Revenues, Expenditures and Changes in Fund Balances
Debt Service Fund
Town of Fraser, Colorado
2018
For the Year Ended December 31, 2018
(With Comparative Actual Amounts for 2017)
Budget (GAAP Basis) and Actual
The accompanying notes are an integral part of these financial statements.
F1
DRAFT
2017
Original and Variance
Final Positive
Budget Actual (Negative)Actual
Revenues:
Highway users revenue 46,460 60,258 13,798 47,065
Earnings on investments 2,500 8,396 5,896 5,533
Total Revenues 48,960 68,654 19,694 52,598
Expenditures:
Capital lease - 24,700 (24,700) 45,418
Equipment 525,000 80,366 444,634 218,040
Total Expenditures 525,000 105,066 419,934 263,458
Excess (Deficiency) of Revenues
Over Expenditures (476,040) (36,412) 439,628 (210,860)
Other Financing Sources:
Transfer In 130,000 130,000 - 120,000
Total Other Financing Sources 130,000 130,000 - 120,000
Excess (Deficiency) of Revenues and Other
Financing Sources Over Expenditures (346,040) 93,588 439,628 (90,860)
Fund Balances - Beginning of Year 356,954 382,012 25,058 472,872
Fund Balances - End of Year 10,914 475,600 464,686 382,012
Capital Equipment Replacement Fund
Town of Fraser, Colorado
(With Comparative Actual Amounts for 2017)
2018
For the Year Ended December 31, 2018
Budget (GAAP Basis) and Actual
Schedule of Revenues, Expenditures and Changes in Fund Balances
The accompanying notes are an integral part of these financial statements.
F2
DRAFT
2017
Original and Variance
Final Positive
Budget Actual (Negative)Actual
Revenues:
Tap fees 7,700 38,500 30,800 32,325
User fees 948,575 954,697 6,122 901,513
Water meter fees 10,000 71,873 61,873 85,157
Interest income 6,000 32,974 26,974 20,162
Excavation permits 275 1,925 1,650 3,800
Grants - 4,255 4,255 -
Other 2,500 6,681 4,181 12,764
Total Revenues 975,050 1,110,905 135,855 1,055,721
Expenditures:
Personnel:
Salaries 215,600 234,283 (18,683) 212,408
Retirement 8,000 7,432 568 5,721
Health insurance 48,000 48,897 (897) 34,751
Travel and training 8,000 2,115 5,885 196
Total 279,600 292,727 (13,127) 253,076
Commodities:
Insurance 22,000 13,328 8,672 13,801
Supplies 92,500 107,856 (15,356) 79,217
System repair and maintenance 136,500 294,528 (158,028) 39,258
Testing 5,000 3,146 1,854 5,915
Telephone 4,500 5,027 (527) 4,321
Utilities 45,000 44,433 567 37,357
Miscellaneous 17,000 2,451 14,549 594
Total 322,500 470,769 (148,269) 180,463
Contractual:
Legal 65,000 62,091 2,909 56,458
Engineering 30,000 61,744 (31,744) 52,749
Other professional services 25,500 9,448 16,052 4,217
Professional memberships 9,500 5,317 4,183 5,555
Total 130,000 138,600 (8,600) 118,979
Other:
Transfer to Other Fund 10,000 10,000 - 10,000
Capital projects and purchases 1,200,000 645,491 554,509 276,949
Water rights 35,000 32,470 2,530 14,654
Total 1,245,000 687,961 557,039 301,603
Total Expenditures 1,977,100 1,590,057 387,043 854,121
Excess (Deficiency) of Revenues
Over Expenses (Budget Basis)(1,002,050) (479,152) 522,898 201,600
Reconciliation from Budget Basis to GAAP Basis:
Capitalized assets 625,310 276,949
Depreciation (415,323) (411,860)
Excess (Deficiency) of Revenues Over Expenses (GAAP Basis)(269,165) 66,689
Net Position - Beginning of Year 11,900,908 11,834,219
Net Position - End of Year 11,631,743 11,900,908
2018
Town of Fraser, Colorado
Enterprise Fund
Water Fund
Schedule of Revenues, Expenditures and Change in Net Position
Budget (Non-GAAP) Basis and Actual
With Reconciliation to GAAP Basis
(With Comparative Actual Amounts for 2017)
For the Year Ended December 31, 2018
The accompanying notes are an integral part of these financial statements.
F3
DRAFT
2017
Original and Variance
Final Positive
Budget Actual (Negative)Actual
Revenues:
Tap fees 90,000 607,500 517,500 797,275
User fees 774,806 783,507 8,701 742,774
Management fees 29,000 29,000 - 29,000
Interest income 18,500 108,059 89,559 49,684
Total Revenues 912,306 1,528,066 615,760 1,618,733
Expenditures:
Personnel:
Salaries 221,700 236,606 (14,906) 217,058
Retirement 8,100 7,435 665 5,465
Health insurance 50,000 49,239 761 35,547
Travel and training 7,000 565 6,435 6
Total 286,800 293,845 (7,045) 258,076
Commodities:
Insurance 6,500 8,785 (2,285) 9,245
Supplies 2,500 1,935 565 1,115
System repair and maintenance 410,000 71,518 338,482 59,930
Testing 1,000 - 1,000 -
Telephone 2,000 2,194 (194) 1,690
Miscellaneous 2,000 582 1,418 259
Total 424,000 85,014 338,986 72,239
Contractual:
Legal 5,000 - 5,000 -
Engineering 10,000 2,561 7,439 438
Other professional services 259,000 219,356 39,644 202,366
Treasurer's and bank fees 100 - 100 -
Professional memberships 5,500 4,957 543 5,011
Total 279,600 226,874 52,726 207,815
Other:
Transfer to Other Fund 10,000 10,000 - 10,000
Capital Reserve payments 306,630 - 306,630 -
Total 316,630 10,000 306,630 10,000
Total Expenditures 1,307,030 615,733 691,297 548,130
Excess (Deficiency) of Revenues
Over Expenses (Budget Basis)(394,724) 912,333 1,307,057 1,070,603
Reconciliation from Budget Basis to GAAP Basis:
Depreciation (429,682) (441,400)
Capitalized capital reserve payments (59,240) (15,441)
Excess (Deficiency) of Revenues Over Expenses (GAAP Basis)423,411 613,762
Net Position - Beginning of Year 14,863,982 14,250,220
Net Position - End of Year 15,287,393 14,863,982
For the Year Ended December 31, 2018
(With Comparative Actual Amounts for 2017)
2018
Town of Fraser, Colorado
Enterprise Fund
Wastewater Fund
Schedule of Revenues, Expenditures and Change in Net Position
Budget (Non-GAAP) Basis and Actual
With Reconciliation to GAAP Basis
The accompanying notes are an integral part of these financial statements.
F4
DRAFT
2017
Final Budget
Original and Variance
Original Final Positive
Budget Budget Actual (Negative)Actual
Revenues:
Other revenue - - 3,480 3,480 8,648
JFOC operating charges 874,239 874,239 727,144 (147,095) 698,196
JFOC capital reserve contributions 0 0 - 0
Interest revenue 14,350 14,350 21,123 6,773 14,771
Total Revenues 888,589 888,589 751,747 (136,842) 721,615
Expenses:
Training programs 2,000 2,000 560 1,440 450
Travel, meals and lodging 2,500 2,500 1,058 1,442 746
Meals and entertainment 250 250 108 142 90
Professional fees 8,250 8,250 210,494 (202,244) 71,527
Engineering fees 10,000 10,000 - 10,000 2,888
Sludge removal 60,000 60,000 59,725 275 56,475
Other professional services 10,000 10,000 3,656 6,344 4,503
Insurance 36,000 36,000 33,251 2,749 29,922
Advertising 500 500 - 500 -
Plant maintenance & repair 50,000 50,000 15,274 34,726 23,592
Grounds maintenance 1,000 1,000 81 919 555
Equipment rental 500 500 7 493 -
Professional memberships 500 500 - 500 -
Operating supplies 60,000 60,000 37,470 22,530 32,898
Equipment purchase and repair 10,000 10,000 21,790 (11,790) 28,647
Testing 50,000 50,000 59,855 (9,855) 53,377
Permits 10,000 10,000 - 10,000 -
Utilities 232,350 232,350 201,014 31,336 201,218
Vehicles 7,500 7,500 10,439 (2,939) 4,843
Miscellaneous 1,500 1,500 3,588 (2,088) 750
Capital projects 2,425,000 2,425,000 330,775 2,094,225 -
Payroll expenses 321,390 321,390 262,731 58,659 250,509
Total Expenses 3,299,240 3,299,240 1,251,876 2,047,364 762,990
Excess (Deficiency) of Revenues
Over Expenses (Budget Basis)(2,410,651) (2,410,651) (500,129) 1,910,522 (41,375)
Reconciliation from Budget Basis to GAAP Basis:
Capital reserve reduced by capital expenses 524,732 64,794
Capital reserve increased by contributions 0 -
Capital reserve increased by interest income (20,854) (14,474)
Capital reserve increased by other income (3,480) (8,648)
Operating reserve increased by interest income (269) (297)
Excess (Deficiency) of Revenues Over Expenses (GAAP Basis)- -
JFOC Operations
Schedule of Revenues & Expenses
`
Town of Fraser, Colorado
For the Year Ended December 31, 2018
(With Comparative Actual Amounts for 2017)
Budget (Non-GAAP) Basis and Actual
With Reconciliation to GAAP Basis
The accompanying notes are an integral part of these financial statements.
F5
DRAFT
Financial Planning 02/01
The public report burden for this information collection is estimated to average 380 hours annually. Form # 350-050-36
City or County:
Town of Fraser, Colorado
YEAR ENDING :
December 2018
This Information From The Records Of (example - City of _ or County of _):Prepared By: Beth Williams
Town of Fraser, Colorado Phone: 970-726-5491 ext 206
A. Local B. Local C. Receipts from D. Receipts from
Motor-Fuel Motor-Vehicle State Highway-Federal Highway
Taxes Taxes User Taxes Administration
1. Total receipts available
2. Minus amount used for collection expenses
3. Minus amount used for nonhighway purposes
4. Minus amount used for mass transit
5. Remainder used for highway purposes
AMOUNT AMOUNT
A. Receipts from local sources:A. Local highway disbursements:
1. Local highway-user taxes 1. Capital outlay (from page 2)377,570
a. Motor Fuel (from Item I.A.5.) 2. Maintenance:307,454
b. Motor Vehicle (from Item I.B.5.) 3. Road and street services:
c. Total (a.+b.) a. Traffic control operations 16,527
2. General fund appropriations 1,579,424 b. Snow and ice removal 483,143
3. Other local imposts (from page 2)138,854 c. Other 0
4. Miscellaneous local receipts (from page 2)7,918 d. Total (a. through c.)499,670
5. Transfers from toll facilities 0 4. General administration & miscellaneous 87,844
6. Proceeds of sale of bonds and notes: 5. Highway law enforcement and safety 518,480
a. Bonds - Original Issues 0 6. Total (1 through 5)1,791,018
b. Bonds - Refunding Issues 0 B. Debt service on local obligations:
c. Notes 0 1. Bonds:
d. Total (a. + b. + c.)0 a. Interest 0
7. Total (1 through 6)1,726,196 b. Redemption 0
B. Private Contributions 0 c. Total (a. + b.)0
C. Receipts from State government 2. Notes:
(from page 2)64,822 a. Interest 0
D. Receipts from Federal Government b. Redemption 0
(from page 2)0 c. Total (a. + b.)0
E. Total receipts (A.7 + B + C + D)1,791,018 3. Total (1.c + 2.c)0
C. Payments to State for highways 0
D. Payments to toll facilities 0
E. Total disbursements (A.6 + B.3 + C + D)1,791,018
Opening Debt Amount Issued Redemptions Closing Debt
A. Bonds (Total)0 0 0 0
1. Bonds (Refunding Portion)0 0
B. Notes (Total)0 0 0 0
A. Beginning Balance B. Total Receipts C. Total Disbursements D. Ending Balance E. Reconciliation
1,791,018 1,791,018 0
Notes and Comments:
FORM FHWA-536 (Rev. 1-05) PREVIOUS EDITIONS OBSOLETE (Next Page)
F6
LOCAL HIGHWAY FINANCE REPORT
I. DISPOSITION OF HIGHWAY-USER REVENUES AVAILABLE FOR LOCAL GOVERNMENT EXPENDITURE
ITEM
III. DISBURSEMENTS FOR ROAD
V. LOCAL ROAD AND STREET FUND BALANCE
ITEM
II. RECEIPTS FOR ROAD AND STREET PURPOSES
IV. LOCAL HIGHWAY DEBT STATUS
(Show all entries at par)
ITEM
AND STREET PURPOSES
DRAFT
STATE:
Colorado
YEAR ENDING (mm/yy):
December 2018
AMOUNT AMOUNT
A.3. Other local imposts:A.4. Miscellaneous local receipts:
a. Property Taxes and Assessments 0 a. Interest on investments 700
b. Other local imposts: b. Traffic Fines & Penalities 0
1. Sales Taxes 125,091 c. Parking Garage Fees 0
2. Infrastructure & Impact Fees 0 d. Parking Meter Fees 0
3. Liens 0 e. Sale of Surplus Property 0
4. Licenses 0 f. Charges for Services 0
5. Specific Ownership &/or Other 13,763 g. Other Misc. Receipts 7,219
6. Total (1. through 5.)138,854 h. Other 0
c. Total (a. + b.)138,854 i. Total (a. through h.)7,919
(Carry forward to page 1) (Carry forward to page 1)
AMOUNT AMOUNT
C. Receipts from State Government D. Receipts from Federal Government
1. Highway-user taxes 60,258 1. FHWA (from Item I.D.5.)
2. State general funds 2. Other Federal agencies:
3. Other State funds: a. Forest Service
a. State bond proceeds b. FEMA
b. Project Match c. HUD
c. Motor Vehicle Registrations 4,564 d. Federal Transit Admin
d. Other (CDOT RAMP Project)0 e. U.S. Corps of Engineers
e. Other (Specify) f. Other Federal
f. Total (a. through e.)4,564 g. Total (a. through f.)0
4. Total (1. + 2. + 3.f)64,822 3. Total (1. + 2.g)
(Carry forward to page 1)
ON NATIONAL OFF NATIONAL
HIGHWAY HIGHWAY TOTAL
SYSTEM SYSTEM
(a)(b)(c)
A.1. Capital outlay:
a. Right-Of-Way Costs 0 0 0
b. Engineering Costs 137,041 125,195 262,236
c. Construction:
(1). New Facilities 0 0 0
(2). Capacity Improvements 0 0 0
(3). System Preservation 0 86,051 86,051
(4). System Enhancement & Operation 0 29,283 29,283
(5). Total Construction (1) + (2) + (3) + (4)0 115,334 115,334
d. Total Capital Outlay (Lines 1.a. + 1.b. + 1.c.5)137,041 240,529 377,570
(Carry forward to page 1)
Notes and Comments:
FORM FHWA-536 (Rev.1-05) PREVIOUS EDITIONS OBSOLETE
F7
III. DISBURSEMENTS FOR ROAD AND STREET PURPOSES - DETAIL
II. RECEIPTS FOR ROAD AND STREET PURPOSES - DETAIL
LOCAL HIGHWAY FINANCE REPORT
ITEM ITEM
ITEM ITEM
DRAFT
TOWN OF FRASER
RESOLUTION NO. 2019-07-07
A RESOLUTION AUTHORIZING AN TERGOVERNMENTAL AGREEMENT WITH GRAND
COUNTY FOR THE COUNTY ROAD 8 BRIDGE REPLACEMENT PROJECT.
WHEREAS, the 2019 Budget provides for certain capital projects; and
WHEREAS, the Town of Fraser and Grand County have entered into an intergovernmental
agreement (IGA) regarding streets maintenance which provides that capital expenditures
necessary for long term maintenance on County Road 8 will be shared proportionally based on
average daily trips of vehicular traffic as mutually agreed in a further intergovernmental
agreement specific to the project.
NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF TRUSTEES OF THE TOWN OF
FRASER, COLORADO THAT:
1.The Mayor is authorized to execute and IGA with Grand County as provided by the
current streets IGA providing for shared costs of the CR8 Bridge Project based on the
most recent traffic counts (12,000 at the bridge and 7,000 east of the town boundary).
READ,PASSED ON ROLL CALL VOTE,AND ADOPTED BY THE BOARD OF TRUSTEES
THIS ____ DAY OF ________, 2019.
Votes in favor: ___ BOARD OF TRU
Votes in favor: ___BOARD OF TRUSTEES OF THE
Votes opposed: ___TOWN OF FRASER, COLORADO
Abstained: ___
BY:
Mayor
ATTEST:
(S E A L)
Town Clerk
TOWN OF FRASER
BOARD OF TRUSTEE AGENDA ITEM
Board Meeting Date: July 17, 2019
SUBJECT: CONSENT AGENDA
Consider a resolution to fund the water quality and permitting portion of reconstruction and start
up of Well 8, Fraser Well Field, in the amount of $22,965.
DEPARTMENT:Public Works
PRESENTER/PREPARER:Russell Pennington, Public Works Director
Adam Cwiklin, Water and Wastewater Superintendent
FISCAL INFORMATION:
Cost as Recommended:$27,500
Balance Available:$350,000
Fund:Capital Improvement Projects
Budget Line Item Number: 50-40-730
New Appropriation Required:NO
STAFF RECOMMENDATION:
Staff is recommending a motion to approve Resolution No. 2019-07-06 authorizing the
appropriate Town staff to contract with HRS Water Consultants for well 8 hydrological analysis
and permitting services using the Capital Improvement Projects (50-40-730) of the 2019 Water
Fund in an amount not to exceed a cumulative total of $27,500.
SUMMARY AND BACKGROUND OF SUBJECT MATTER:
Fraser Well 8 was originally constructed as a test well in 1984.It was drilled deeper in 1986 with
the intention of transitioning it into a production well.The well has since been categorized
inactive by the State.
Currently,Fraser is growing and the town’s water system needs to,at a minimum,keep pace.
Additional diversions (wells)are and will be needed to meet the towns growing demand.Well 8
is drilled and the well house is constructed.The well lacks the hardware,controls,
communications,and permission to operate.Reconstruction of Well 8 is the most efficient and
cost-effective immediate way to bolster Fraser’s water production.
Staff has engaged HRS Water Consultants,Browns Hill engineering,and Hydro Resources to
bring the well online.
1.HRS Water Consultants, Inc. is providing hydrological analysis and permitting services.
Scope of Work:
a)CDPHE submittal
b)Well video review
c)24-hour pump test, water quality analysis, and reporting
2.Brown’s Hill is providing well controls and communications design and install for the
project. Approved by Board of Trustees on 3/20/19.
3.Hydro Resources will provide pumping hardware and well house plumbing.Staff expects
to approach the Board to fund the last component of the project this year as it becomes
more clearly defined. Staff anticipated a contract of approximately $27,500
Project Schedule
Notice of Award July 17, 2019
Notice to Proceed End of July, 2019
Improvements Complete August 2019
The engineer’s estimate for the project is $22,965.00. The project funding includes contingency
amounts for a total of $25,000.00 which can be used towards unforeseen changes during
installation and programing.
Staff is recommending motion to approve Resolution No. 2019-07-06 authorizing the
appropriate Town staff to contract with HRS Water Consultants for hydrological analysis and
permitting services using the Capital Improvement Projects (50-40-730) of the 2019 Water Fund
in an amount not to exceed a cumulative total of $27,500.
TOWN OF FRASER
RESOLUTION NO. 2019-07-06
A RESOLUTION AUTHORIZING THE EXPENDITURE FOR THE RECONSTRUCTION AND
CONNECTION OF WELL 8
.
WHEREAS, the 2019 Budget provides for certain water system projects.
THEREFORE, BE IT RESOLVED BY THE BOARD OF TRUSTEES OF THE TOWN OF
FRASER, COLORADO THAT:
1.The Town Board of Fraser, Colorado hereby authorizes the Town Manager to expend up
to $27,500 for HRS Water Consultants, Inc. to provide hydrological analysis and
permitting services
2.Said purchases must be completed by the end of the year 2019 or the approval will no
longer be effective.
READ,PASSED ON ROLL CALL VOTE,AND ADOPTED BY THE BOARD OF TRUSTEES
THIS 17th DAY OF July, 2019.
Votes in favor: ___ BOARD OF TRU
Votes in favor: ___BOARD OF TRUSTEES OF THE
Votes opposed: ___TOWN OF FRASER, COLORADO
Abstained: ___
BY:
Mayor
ATTEST:
(S E A L)
Town Clerk