HomeMy Public PortalAboutTBP 2014-07-16Town Board Briefing
July 16, 2014
Please note that members of the Town Board will have dinner together starting at 5:30pm.
The Board will be in Workshop between 6:00pm and 7:00pm for an informal conversation
with our auditor. We hope this provides an opportunity to meet the auditor and discuss what
an audit is and how it is conducted. The auditor will provide the audit presentation during the
regular meeting.
In addition to the minutes, the Consent Agenda includes a resolution authorizing execution of
an "Adopt a River Agreement" with the Fraser Valley Lions Club. Our partnership in this
program with the Rotary began in 2007 and has been very successful. It is rather unique
program, but similar to the familiar "adopt a highway program." This partnership has been a
great benefit to the overall enhancement of Cozens Ranch Open Space and the Fraser
River.
I'd like to discuss a proposal to do some preliminary engineering work for Eisenhower Ave
between Zerex and the Railroad. There have been quite a few recent conversations
regarding the possibility of installing a whistleless crossing at the railroad and a traffic signal
at the highway (especially in light of current improvements happening at King's Crossing,
First Street, and Rendezvous Road). Over the last 15 years these improvements have been
considered at various times by staff and/or the Board, and have not been actively pursued
due to concerns about the impacts of these improvements to traffic flow and/or property
access and due to fiscal concerns. I believe it would be appropriate at this time to take
another comprehensive look at these improvements and am working on a scope of work with
the town Engineer. We would begin with a conceptual level feasibility analysis and
preliminary cost estimate. By meeting time I should have an estimate of costs associated
with this work, but my hope is that this would not require significant expense. Pending the
results of this work, the Board could consider whether or not to commit additional resources.
An executive session is proposed at the end of the meeting to discuss the Town of Fraser's
position relative to proposed improvements to County Road 72 just south of the Town
boundary. This is a Grand County project, but would require Town of Fraser participation.
This project was initially proposed in 2002 during consideration of a Denver Water Board
Special Use Permit review in order to address safety concerns due to the steep grade and
poor intersection of CR 72 and CR721. Byers Peak Properties has recently proposed to
provide dirt work for this project. I expect to update to Board on the history of the project and
seek direction regarding Fraser participation (the Town's maintenance parcel would need to
be acquired to implement the recommended alternative)
As always, feel free to contact me if you have any questions or need any additional
information.
Jeff Durbin
Town of Fraser
PO Box 370, Fraser, CO 80442 office 970-726-5491 fax 970-726-5518
www.frasercolorado.com
FRASER BOARD OF TRUSTEES
MINUTES
DATE: Wednesday, July 2, 2014
MEETING: Board of Trustees Regular Meeting
PLACE: Fraser Town Hall Board Room
PRESENT
Board: Mayor Peggy Smith; Mayor Pro -Tem Philip Naill; Trustees; Eileen
Waldow, Katie Soles, Cody Clayton Taylor, Andy Miller and Jane Mather
Staff: Town Manager Jeff Durbin; Town Clerk, Lu Berger; Public Works Director
Allen Nordin; Town Planner, Catherine Trotter; Police Chief, Glen Trainor,
Town Attorney Rod McGowan
Others: See attached list
Mayor Smith called the meeting to order at 6:06 p.m.
Executive Session For a conference with the Town's Attorney for the purpose of
receiving legal advice on specific legal questions under C.R.S. Section 24-6-402(4) (b)
and 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 Subdivision Improvements and to include Town
Attorney McGowan, Town Manager Durbin, Town Planner Trotter and Public Works
Director Nordin.
Trustee Soles moved, and Trustee Nail] seconded the motion to enter into Executive
Session. Motion carried: 7-0.
2. Regular Meeting: Roll Call
3. Approval of Agenda:
The agenda was amended moving 7b & 7c before 7a.
Trustee Soles moved, and Trustee Waldow seconded the motion to approve the
Agenda as amended. Motion carried: 7-0.
4. Consent Agenda:
a) Minutes —June 11, 2014
Trustee Soles moved, and Trustee Waldow seconded the motion to approve the
consent agenda. Motion carried: 7-0.
5. Open Forum:
Page 2 of 3
Clark Lipscomb addressed the Board regarding the Sumrall property adjacent to the
Grand Park development. Concerns were also raised in regards to the vacant KFC
building.
6. Public Hearings:
7. Discussion and Possible Action Regarding:
a) Resolution 2014-07-01 Authorizing contract with Designed Communications Inc.
for Town Hall security upgrades
TM Durbin briefed the Board on the need for security upgrades on the Town Hall
property and the background on incidents that precipitated the need to look into
upgrading our current system.
Trustee Taylor moved, and Trustee Miller seconded the motion to approve Resolution
2014-07-01 Authorizing contract with Designed Communications Inc. for Town Hall
security upgrades. Motion carried: 7-0.
b) Rendezvous Building Code Amendment Request
Terry Stanford, representing Rendezvous addressed the Board regarding the increase in
cost of building the remaining townhome units per the recently adopted International
Building Codes requiring sprinkling of townhome units.
Brian Szczepanski, Building Official briefed the Board on the International Building Code
requirements.
Dennis Soles and Todd Holzworth, representing the East Grand Fire District, expressed
their desire to see the townhomes follow the building code and require sprinkling.
C) Pedestrian Communities Trail Plan/Open Space Planning
TP Trotter briefed the Board regarding the Pedestrian Communities Trail Plan. The
Towns of Winter Park (WP), and Fraser, in conjunction with Headwaters Trails Alliance,
held a Community Meeting/Open House to solicit public participation and input on the
draft Community Trails Plan for trails within the incorporated boundaries of the
municipalities.
The WP PC approved the Community Trails Plan on Tuesday, June 24th and the Fraser
PC recommended approval at our PC meeting on Wednesday, June 251H
The Community Trails Plan will be brought back at the next TB meeting.
8. Other Business:
PW employee John Hartlauer has requested renting a town property.
Trustee Soles moved, and Trustee Naill seconded the motion to authorize TM Durbin to
execute a lease with John Hartlauer. Motion carried: 7-0.
Page 3 of 3
Trustee Soles moved, and Trustee Taylor seconded the motion to adjourn. Motion
carried: 7-0. Meeting adjourned at 9:30 p.m.
Lu Berger, Town Clerk
CL >
g
w=
C
'* (D (D
(D
i 3
i(DCL 0c
*8-
NCD
==3
0 2)
3 a; O
cQ (D tD (D = _�
Ny
0.
0 O 0
Q :rCCD
�� C C
(DD (a
(
py
j r
�.� Q..��
tR0
(y a(a
N (a :E IN
J
N O. �.'0
CA 0
OG
(D
(D
-fi (»
='Gl
((D � rOi
v I'1
3
wS
= C _
-1tD
w 2
Def} WO '
ct
=
N
O C1 rt
- O O O
-0 =L
7C N
�
rL CL -s
O 3
'N•r �
-Oi, 0
tD (D (D m (D
,a,�
Ort
_O CO)
rt O O
C
U)
s1 a1
O C C 0
c0
CD aCD
a 3
O (D
(D
n
0 '"
-q' (D N
00 @
-n O (D
00
tD
0 (D `
,OCG
(D O O
=•Xr Qe=ti
(D =
O= -s
rt N
a
a 0 rt
S O a n
0
rL O p
at (n -0 -_ a
<
(D
:r�
A S CD _
a
0 o
(D n '* 0- p�
0 K _
0
0
y
= 0
Q.
O O O Q
CD CL
=����
C
O
C1
(D SU
3 = N
at all, 0
(D = 01
Q. O. _'
a, 3Q. tD M
C
N -I 0 ((D 0
CD
(p,
ct
='O N ((DD 0
CD
f1 co) P+
N
'a � =
O 3N 0(Q
3
t�(C,
D
(D 0
W SU = Gi
(/) (D a
I
5 R (D D
CO
(D =
O
E; 0)
4
Q
4 0.>
N a =-Oi,
M_
rL
(� M
•O
N
N O
O 3
0 CD
a_
;r --i 3 m
'+•
CD � '
m
v
0
-1 (D O
C1
. rt
v
Q
O (D
D Q N
m cQ10
Z
Q -;
v
CDC
�.
m
0 �-
O
i- O
CD
CL m
(D
(CD
(D
CL >
0 0 0 (D
w=
C
'* (D (D
(D
i 3
i(DCL 0c
*8-
NCD
==3
0 2)
3 a; O
cQ (D tD (D = _�
0.
0 O 0
Q :rCCD
�� C C
(DD (a
(
py
j r
�.� Q..��
tR0
(y a(a
N (a :E IN
N
N O. �.'0
CA 0
OG
(D
(D
-fi (»
='Gl
((D � rOi
M W0 ?0
3
wS
= C _
-1tD
w 2
Def} WO '
ct
=
N
O C1 rt
- O O O
-0 =L
7C N
�
rL CL -s
O 3
'N•r �
-Oi, 0
tD (D (D m (D
,a,�
Ort
_O CO)
rt O O
C
U)
s1 a1
O C C 0
c0
CD aCD
a 3
O (D
(D
n
0 '"
-q' (D N
00 @
-n O (D
00
tD
0 (D `
,OCG
(D O O
=•Xr Qe=ti
(D =
O= -s
rt N
a
a 0 rt
S O a n
0
rL O p
at (n -0 -_ a
<
(D
:r�
A S CD _
a
0 o
(D n '* 0- p�
0 K _
0
0
y
= 0
Q.
O O O Q
CD CL
=����
C
O
C1
(D SU
3 = N
at all, 0
(D = 01
Q. O. _'
a, 3Q. tD M
C
N -I 0 ((D 0
CD
(p,
ct
='O N ((DD 0
CD
f1 co) P+
N
'a � =
O 3N 0(Q
3
t�(C,
D
(D 0
W SU = Gi
(/) (D a
c
N
5 R (D D
CO
(D =
O
E; 0)
a=�(S. 3ci
Q
4 0.>
N a =-Oi,
M_
rL
(� M
•O
N
N O
O 3
0 CD
a_
;r --i 3 m
'+•
CD � '
(D O Gt O N
0
-1 (D O
C1
. rt
TOWN OF FRASER
RESOLUTION NO. 2014-07-03
A RESOLUTION APPROVING A RIVER ADOPTION AGREEMENT WITH THE FRASER
VALLEY ROTARY CLUB
THEREFORE, BE IT RESOLVED BY THE BOARD OF TRUSTEES OF THE TOWN OF
FRASER, COLORADO THAT:
1. The Town Board of Fraser, Colorado hereby approves the attached River Adoption
Agreement and authorizes the Manager to execute the agreement.
2. All documents must be executed within sixty (60) days of the date of this Resolution or
this approval shall no longer be effective.
DULY MOVED, SECONDED AND ADOPTED THIS 16th DAY OF JULY, 2009.
TOWN OF FRASER
ATTEST:
Peggy Smith, Mayor
Lu Berger, Town Clerk
RIVER ADOPTION AGREEMENT
Organization/Group Name: Fraser Valley Rotary Club
Mailing Address:
Group Coordinator/Contact
Name: Brad Smith
Phone Daytime:( ) Evening:( )
We (the adopting group) are committed to picking up trash and litter along the Fraser River, from
June 30, 2014 to December 31, 2014. We agree to pick up litter a minimum of 2 times each
year.
EXPIRES DECEMBER 2014
Group will contact Town Public Works Department to notify at least 48 hours in advance.
The adopting group assumes, releases and agrees to indemnify, defend, protect and save harmless
the Town of Fraser and any of its agencies from and against any loss of and/or damage to the
property of the Town of Fraser, and all loss and/or damage on account of injury to or death of any
persons unless such loss and/or damage arises from the sole negligence or willful conduct of the
Town of Fraser or its employees.
We have read and understand all provisions contained on the reverse side of this agreement and will
abide by them and any other terms and conditions as required by the Town of Fraser for participation
in this program.
Group Coordinator/Contact:
(Please print)
Town of Fraser:
Jeffrey L. Durbin
Signature/Date
Signature/Date
Agreement Provisions
1) All participating group members will have attended a safety meeting in which all members will be
briefed on safe conduct. It is the responsibility of the group coordinator to arrange for such a meeting.
Potential dangers involved while participating in this program can include, but are not limited to:
unstable footing, moving water, potentially noxious plants, broken glass, hazardous materials,
sharp metal, and potentially harmful wildlife such as moose and bear.
2) The group will notify their assigned Town contact(s) within 2 days prior to a planned pickup so that
trash may be removed by Town in a timely manner.
3) Participating group agrees to restrict program activities to the Cozens Ranch Open Space.
4) Participants may not display messages, carry banners, or advertise their business affiliation
or cause.
5) The Town prohibits the possession, consumption, or being under the influence of alcohol or drugs
while performing work or litter pick up.
6) No one under the age of 18 will be allowed to participate in the program.
7) Program activities will be between the hours of one hour after sunrise to one hour before sunset and
not during inclement weather.
8) The group will notify Town contact(s) in the event of any group leader change and/or change of
address within 2 days.
9) All participants must sign a liability release waiver prior to the cleanup day, the group will provide
the Town with the original signed waiver forms for all participants prior to their participation in a
cleanup day.
MCMAHA�RII�YR�FTC UPDATED 5-6-14
M Certified Public Accountants and Consultants
{meg WEB SITE: WWW.MCMAHANCPA.COM
!t�JR CHAPEL SQUARE, BLDG C MAIN OFFICE: (970) 845-8800
A 245 CHAPEL PLACE, SUITE 300 FACSIMILE: (970) 845-8 1 08
P.O. BOX 5850, AVON, CO 8 1 620 E-MAIL: MCMAHAN@MCMAHANCPA.COM
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, 2013.
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 ($20,410 at December 31, 2013)
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:
• Capitalize fixed asset additions.
• Record depreciation expense.
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) 668-348 I
Town of Fraser PRELIMINARY DRAFT, UPDATED 5-6-14
Page 2
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. We 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.
Recommendations
In planning and performing our audit of the financial statements of the Town as of and for the year ended
December 31, 2013, in accordance with auditing standards generally accepted in the United States of
America, we considered the Town's internal control over financial reporting (internal control) as a basis for
designing our auditing procedures for the purpose of expressing our opinion on the financial statements,
but not for the purpose of expressing an opinion on the effectiveness of the Town's internal control.
Our consideration of internal control was for the limited purpose described in the preceding paragraph
and was not designed to identify all deficiencies in internal control that might be significant deficiencies or
material weaknesses and, therefore, there can be no assurance that all such deficiencies have been
identified. However, as discussed below, we identified a certain deficiency in internal control that we
consider to be a significant deficiency.
A deficiency in internal control exists when the design or operation of a control does not allow
management or employees, in the normal course of performing their assigned functions, to prevent, or
detect and correct misstatements on a timely basis. A material weakness is a deficiency or combination of
deficiencies in internal control, such that there is a reasonable possibility that a material misstatement of
the entity's financial statements will not be prevented, or detected and corrected on a timely basis. We did
not identify any deficiencies in internal control that we consider to be material weaknesses.
A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less
severe than a material weakness, yet important enough to merit attention by those charged with
governance. We consider the following deficiency in the Town's internal control to be a significant
deficiency:
Seareaation of Duties
The objectives of internal control are to provide reasonable, but not absolute assurance, that assets are
safeguarded and financial statements are reliable. Segregation of accounting duties is an essential
element of effective internal controls involving the separation of custody of assets from related recording
and monitoring of transactions. To reduce the possibility of errors or fraud going undetected in the normal
course of business, we encourage the Town to limit, to the extent possible, performance of incompatible
duties by individuals in the Town's accounting functions. The following is a situation where separation of
incompatible duties does not exist. As noted with the comments, management has implemented certain
compensating controls so that these items are considered significant deficiencies and not material
weaknesses.
Town of Fraser PRELIMINARY DRAFT, UPDATED 5-6-14
Page 2
Conflicting Duties Compensating Controls
Disbursements Function:
The Town's Finance Director currently has full
access to the disbursement transaction cycle.
He can create new vendors, enter payment
data into the accounting software, sign checks
and maintain the general ledger. This
exposes the Town to the risk of
misappropriation of assets through the
payment of unauthorized disbursements.
Recommendation:
This risk could be mitigated by removing the
finance director as a signer on the Town's
bank accounts or requiring that copies of all
cancelled checks be included with bank
statements and sent unopened to the Utilities
Administrator.
Receipting Function:
The Town's Utilities Administrator currently
has access to adjust customer accounts and
also receive cash. This causes risk to the
Town that utility receipts may be
misappropriated.
Recommendation:
This risk could be mitigated by the Finance
Director performing a monthly or quarterly
review of all voids and adjustments to
customer billings. This review should be
documented.
The Town Board and the management team
review financial activity of the Town.
Checks generally have two signatures.
The Utilities Administrator reconciles the bank
statements.
The Town Board and the management team
review financial activity of the Town.
The Finance Director has access to the cash
receipting module to see any adjustments to
customer accounts.
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.
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Fraser, Colorado
Financial Statements
December 31, 2013
�C%V�Z.
4
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser, Colorado
Financial Report
December 31, 2013
Table of Contents
Page
INDEPENDENT AUDITOR'S REPORT
Al —A2
Management's Discussion and Analysis
B1 — B8
Basic Financial Statements:
Government -wide Financial Statements:
Statement of Net Assets
C1
Statement 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
Proprietary Fund:
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 Net Assets
C10
Statement of Changes in Fiduciary Net Assets
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
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser, Colorado
Financial Report
December 31, 2013
Table of Contents
(Continued)
Required Supplementary Information (continued):
Schedule of Expenditures and Transfers - Budget (GAAP Basis)
and Actual
General Fund
Special Revenue Fund - Conservation Trust Fund
Page
E3
E4
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 Assets -
Budget (Non -GAAP Basis) and Actual With 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
MCMAHAN A L�I�Q A YE�I/�FT UPDATED 5-7-14
M Certified Public Accountants and Consultants
{meg WEB SITE: WWW.MCMAHANCPA.COM
!t�JR CHAPEL SQUARE, BLDG C MAIN OFFICE: (970) 845-8800
A 245 CHAPEL PLACE, SUITE 300 FACSIMILE: (970) 845-8 1 08
P.O. BOX 5850, AVON, CO 8 1 620 E-MAIL: MCMAHAN@MCMAHANCPA.COM
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, 2013, 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, 2013, 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.
Member: American Institute of Certified Public Accountants
PAUL J. BACKES, CPA, CGMA AVON: (970) 845-8800
MICHAEL N. iJENKINS, CA, CPA, CGMA
DANIEL R. CUDAHY. CPA. CDMA
Al
ASPEN: (970) 544-3996
FRISCO: (970) 668-348 1
PRELIMINARY DRAFT UPDATED 5-7-14
To the Honorable Mayor and Town Board
Town of Fraser
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
management 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
comprise 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.
A2
PRELIMINARY DRAFT UPDATED 5-7-14
MANAGEMENT'S DISCUSSION AND ANALYSIS
C O L O R A D O
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser, Colorado
Management's Discussion and Analysis
December 31, 2013
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, 2013.
Financial Highlights
• On a short term view, the Town's governmental fund balances decreased by $6,469 in 2013. The
Town's General Fund's fund balance increased $211,377, but was offset by a decrease in the
Debt Service Fund of $145,516.
• On a long-term view (including depreciation and excluding capital outlay, etc.) the Town had a 1%
($464,536) decrease in net position from $39,174,181 to $38,709,645.
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 distribution and system maintenance and
wastewater function and system maintenance.
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.
m
PRELIMINARY DRAFT UPDATED 5-7-14
Overview of the Financial Statements (continued)
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 adopts an annually appropriated budget for all governmental funds. A budgetary comparison
statement has been provided for the General 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, which is considered to be a major fund of the Town.
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.
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.
Government -wide Financial Analysis
The largest portion of the Town's assets are reflected in the investment in capital assets (i.e. land,
buildings, improvements, and equipment). Capital assets account for 78% of the total assets of
$40,950,983. 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.
0
PRELIMINARY DRAFT UPDATED 5-7-14
Government -wide Financial Analysis (continued)
The Town's restricted net position has changed as follows:
The following shows the Town's net position for 2013:
Assets:
Current and other assets
Capital assets
Total Assets
Liabilities:
Other liabilities
Long-term liabilities
outstanding
Total Liabilities
Deferred Inflows of Resources:
Unavailable revenue
Total Deferred Inflows
of Resources
Net Position:
Invested in capital assets
Restricted
Unrestricted
Total Net Position
Town of Fraser's Net Position
Governmental
Balance
Balance
Activities
1/1/13
Additions
Deletions
12/31/13
General Fund:
2012
2013
2012
$ 4,358,351
Fees in lieu of Park
$ 6,379
-
-
6,379
Affordable housing impact fee
135,426
-
-
135,426
Emergency reserves
80,000
-
-
80,000
Debt Service Fund reserves:
41,709,019
107,354
306,183
Next year's payments
300,000
-
-
300,000
Conservation Trust Fund
15,877
6,516
(21,500)
893
Wastewater Fund
2,189,519
26,718
12,040
1,944,393
Operating reserve
45,070
669
-
45,739
Capital replacement reserve
885,201
5,484
(75,103)
815,582
-
$ 1,467,953
$ 12,669
$ (96,603)
$ 1,384,019
The following shows the Town's net position for 2013:
Assets:
Current and other assets
Capital assets
Total Assets
Liabilities:
Other liabilities
Long-term liabilities
outstanding
Total Liabilities
Deferred Inflows of Resources:
Unavailable revenue
Total Deferred Inflows
of Resources
Net Position:
Invested in capital assets
Restricted
Unrestricted
Total Net Position
Town of Fraser's Net Position
Governmental
Business -type
Activities
Activities
Total
2013
2012
2013
2012
2013
2012
$ 4,358,351
4,598,161
4,521,659
3,998,782
8,880,010
8,596,943
10,482,297
10,846,559
21,588,676
22,265,517
32,070,973
33,112,076
14,840,648
15,444,720
26,110,335
26,264,299
40,950,983
41,709,019
107,354
306,183
26,718
12,040
134,072
318,223
1,810,321
1,883,336
-
-
1,810,321
1,883,336
1,917,675
2,189,519
26,718
12,040
1,944,393
2,201,559
296,945
333,279
-
-
296,945
333,279
296,945
333,279
-
-
296,945
333,279
8,671,976
8,963,223
21,588,676
22,265,517
30,260,652
31,228,740
522,698
537,682
861,321
930,271
1,384,019
1,467,953
3,431,354
3,421,017
3,633,620
3,056,471
7,064,974
6,477,488
$ 12,626,028
12,921,922
26,083,617
26,252,259
38,709,645
39,174,181
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.
M
PRELIMINARY DRAFT UPDATED 5-7-14
Government -wide Financial Analysis (continued)
The following chart is a summary of the Town's Change in Net Position:
Town
of Fraser's Change in Net Position
Governmental
Business -type
Activities
Activities
Total
2013
2012
2013
2012
2013
2012
REVENUES:
Program revenues:
Charges for services
$ 34,494
18,855
1,327,761
1,253,475
1,362,255
1,272,330
Operating grants
and contributions
344,949
253,187
12,405
3,718
357,354
256,905
Capital grants
and contributions
41,837
115,988
185,000
15,700
226,837
131,688
General revenues:
Property taxes
298,658
297,549
-
-
298,658
297,549
Sales and Use taxes
1,848,144
1,670,712
-
-
1,848,144
1,670,712
Othertaxes
74,219
71,654
-
-
74,219
71,654
Interest and other revenue
44,311
24,256
16,222
24,788
60,533
49,044
Total Revenues
2,686,612
2,452,201
1,541,388
1,297,681
4,228,000
3,749,882
EXPENSES:
General government
980,819
978,866
-
-
980,819
978,866
Culture and recreation
57,202
56,866
-
-
57,202
56,866
Public safety
424,376
386,144
-
-
424,376
386,144
Public works
1,445,645
1,744,925
-
-
1,445,645
1,744,925
Interest
94,464
107,124
-
-
94,464
107,124
Water
-
-
815,108
835,263
815,108
835,263
Wastewater
-
-
874,922
836,729
874,922
836,729
Total Expenses
3,002,506
3,273,925
1,690,030
1,671,992
4,692,536
4,945,917
Change in Net Position
Before Transfers
(315,894)
(821,724)
(148,642)
(374,311)
(464,536)
(1,196,035)
Transfers in (out)
20,000
20,000
(20,000)
(20,000)
-
-
Change in Net Position
(295,894)
(801,724)
(168,642)
(394,311)
(464,536)
(1,196,035;
Net Position -Jan 1
12,921,922
13,723,646
26,252,259
26,646,570
39,174,181
40,370,216
Net Position - December 31
$ 12,626,028
12,921,922
26,083,617
26,252,259
38,709,645
39,174,181
Governmental activities: Governmental activities decreased the Town's net position by $6,469 during
2013, as compared to a decrease in net position of $801,724 during 2012. The following are the major
elements of the change in net position from December 31, 2012 to December 31, 2013:
• Sales and use tax revenue increased due to increase in taxable transactions.
• Public works project expenses decreased
M
PRELIMINARY DRAFT UPDATED 5-7-14
Government -wide Financial Analysis (continued)
The following is a graph of the Town's governmental activities revenues by source for 2013.
Interestand other_,,, Chargesfor
revenue services
OtherTax
3%
Salesand U
69%
Operating Grants
fL Cnntrihutinna -7ital Grants and
:ontributions
(cludingassets)
1%
Property Taxes
11%
The following is a graph of the Town's governmental activities expenditures by function for 2013.
Interest General
3% government
33%
Culture and
Public works recreation
48% 2%
Public safety
14%
Business -type activities: Business -type activities decreased the Town's net position by $168,642. Key
elements of this decrease are as follows:
• Depreciation expense on capitalized assets of $839,088 accounted for 50% of total operating
expenses.
M
PRELIMINARY DRAFT UPDATED 5-7-14
Government -wide Financial Analysis (continued)
The following is a graph of the business -type revenues by source for 2013.
Operating Grants
& Contributions
1%
Capital Grants Interestand
The following is a graph of the business -type expenses by function for 2013.
Personnel
%
Financial Analysis of the Town's Funds
aeveiopmentana
other
0%
Commodities
11%
Aractual
13%
As mentioned on page B2 of this analysis, the Town uses fund accounting to ensure and demonstrate
compliance with finance -related legal requirements.
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.
0
PRELIMINARY DRAFT UPDATED 5-7-14
Financial Analysis of the Town's Funds (continued)
As of the end of the current fiscal year, the Town's governmental funds reported combined ending fund
balances of $3,973,005; the funds decreased $6,469 from the prior year's ending balances. The Town's
governmental fund balances for 2013 and the past two years are graphed as follows:
100%
90%
80%
70%
60% --- --- ---
50%
i
40%
30% }
20%
10%
0% �
2011 2012 2013
■General Fund ■ Conservation Trust Fund
Debt Service Fund ■ Capital Equipment Fund
Proprietary funds: The Town's proprietary fund provides 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.
Budget variances in the General Fund: The Town had the following significant budget variances which
are detailed as follows:
Variance
Positive
(Negative)
Account
Reason
Revenues:
173,144 Sales & use taxes Conservative budgeting and unexpected increase in development
Expenditures:
General Government:
30,262 Other purchased services Reimbursable legal services higher than expected
Public Works
38,014 Capital outlay Town expended less in capital projects than budgeted
M
PRELIMINARY DRAFT UPDATED 5-7-14
Financial Analysis of the Town's Funds (continued)
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 D14 and
D15 of this report.
Long-term debts: As of the end of the current fiscal year, the Town had $1,829,277 in long-term
obligations. This includes obligations for sales and use tax revenue bonds, general obligation bonds
capital leases and accrued compensated absences. Additional information regarding the Town's debt
can be found on pages D16 — 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 $1,670,712 in 2012 to $1,848,144 in
2013. The following chart indicates changes in the taxes collections:
1,900,000
1,800,000
1,700,000
1,600,000
1,500,000 r
2011 2012 2013
Sales and Use Taxes
The Town's 2013 sales and use tax collections increased over the past years.
Next year's budget and rates: The Town's General Fund balance at the end of the current fiscal year
was $3,084,798. The Town's 2014 budget anticipates decreasing the General Fund balance by
$521,879.
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.
IN
PRELIMINARY DRAFT UPDATED 5-7-14
GOVERNMENT -WIDE FINANCIAL STATEMENTS
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser, Colorado
Statement of Net Position
For the Year Ended December 31, 2013
Governmental Business -type
Activities Activities Total
Assets:
Cash and investments - Unrestricted
3,400,682
3,347,728
6,748,410
Cash and investments - Restricted
300,000
-
300,000
Cash with County Treasurer
-
4,730
4,730
Accounts, taxes, and interest receivables
633,374
319,423
952,797
Due from fiduciary fund
-
856,095
856,095
Internal balances
6,317
(6,317)
-
Prepaid expenses
17,978
-
17,978
Capital assets, net
10,482,297
21,588,676
32,070,973
Total Assets
14,840,648
26,110,335
40,950,983
Liabilities:
Accounts payable
75,290
Due to fiduciary fund
12,446
Other liabilities
662
Accrued compensated absences
18,956
Non-current liabilities due within one year
270,190
Non-current liabilities due longer than one year
1,540,131
Total Liabilities
1,917,675
Deferred Inflows of Resources:
Unavailable revenue - property taxes 296,945
Total Deferred Inflows of Resources 296,945
Net Position:
Net investment in capital assets 8,671,976
Restricted 522,698
Unrestricted 3,431,354
Total Net Position 12,626,028
15,860
10,858
26,718
21,588,676
861,321
3,633,620
26,083,617
The accompanying notes are an integral part of these financial statements.
C1
75,290
12,446
16,522
29,814
270,190
1,540,131
1,944,393
296,945
296,945
30,260,652
1,384,019
7,064,974
38,709,645
Functions/Programs:
Governmental activities:
General government
Culture and recreation
Public safety
Public works
Interest
Total governmental
activities
Business -type activities:
Water
Wastewater
Total business -type
activities
Total
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser, Colorado
Statement of Activities
For the Year Ended December 31, 2013
Charges for
Expenses Services
ogram Revenues
Operating Capital
Grants and Grants and
Contributions Contributions
Net (Expense) Revenue and
Chanaes in Net Position
Governmental Business -type
980,819 34,494
300,361
41,837
(604,127)
-
(604,127)
57,202 -
-
-
(57,202)
-
(57,202)
424,376 -
-
-
(424,376)
-
(424,376)
1,445,645 -
44,588
-
(1,401,057)
-
(1,401,057)
94,464 -
-
-
(94,464)
-
(94,464)
3,002,506 34,494
344,949
41,837
(2,581,226)
-
(2,581,226)
815,108 678,836
12,367
6,000
-
(117,905)
(117,905)
874,922 648,925
38
179,000
-
(46,959)
(46,959)
1,690,030 1,327,761
12,405
185,000
-
(164,864)
(164,864)
4,692,536 1,362,255
357,354
226,837
(2,581,226)
(164,864)
(2,746,090)
General revenues:
Taxes:
Property tax
298,658
-
298,658
Specific ownership tax
13,764
-
13,764
General sales and use tax
1,848,144
-
1,848,144
Franchise tax
51,459
-
51,459
Other miscellaneous taxes
8,996
-
8,996
Investment earnings
5,011
16,222
21,233
Miscellaneous
39,300
-
39,300
Transfers to (from)
20,000
(20,000)
-
Total general revenues and transfers
2,285,332
(3,778)
2,281,554
Change in Net Position
(295,894)
(168,642)
(464,536)
Net Position - Beginning of Year
12,921,922
26,252,259
39,174,181
Net Position - End of Year
12,626,028
26,083,617
38,709,645
The accompanying notes are an integral part of these financial statements.
C2
PRELIMINARY DRAFT UPDATED 5-7-14
FUND FINANCIAL STATEMENTS
Assets:
Cash and investments - Unrestricted
Cash and investments - Restricted
Cash with County Treasurer
Receivables
Prepaid expenses
Due from other governments
Due from other funds
Property tax receivable
Total Assets
Liabilities and Fund Equity:
Liabilities:
Accounts/vouchers payable
Due to other funds
Due to fiduciary fund
Other liabilities
Total Liabilities
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser, Colorado
Balance Sheet
Governmental Funds
December 31, 2013
Deferred Inflows of Resources:
Unavailable revenue - property taxes 195,916 80,000 - - 275,916
Total Deferred Inflows of Resources 195,916 80,000 - - 275,916
Fund Balances:
Unspendable
46,003 -
Capital
Total
Debt
Conservation Equipment
Governmental
General
Service
Trust Replacement
Funds
2,814,718
116,669
893 467,009
3,399,289
-
300,000
- -
300,000
1,329
61
- -
1,390
28,025
-
- -
28,025
17,978
-
- -
17,978
325,858
-
- 3,576
329,434
7,352
-
- -
7,352
195,916
80,000
- -
275,916
3,391,176
496,730
893 470,585
4,359,384
75,953
-
- -
75,953
1,035
-
- -
1,035
12,446
-
- -
12,446
21,029
-
- -
21,029
110,463
-
- -
110,463
Deferred Inflows of Resources:
Unavailable revenue - property taxes 195,916 80,000 - - 275,916
Total Deferred Inflows of Resources 195,916 80,000 - - 275,916
Fund Balances:
Unspendable
46,003 -
- - 46,003
Spendable
Restricted
221,805 300,000
893 522,698
Committed
- 116,730
- 116,730
Assigned
1,375,763 -
- 470,585 1,846,348
Unassigned
1,441,226 -
- 1,441,226
Total Fund Balances
3,084,797 416,730
893 470,585 3,973,005
Total Liabilities, Deferred Inflows
of Resources and Fund Balances 3,391,176 496,730 893 470,585 4,359,384
The accompanying notes are an integral part of these financial statements.
C3
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser, Colorado
Reconciliation of Governmental Fund Balance to Governmental
Activities Net Position
December 31, 2013
Amounts reported for governmental activities in the
Statement of Net Position are different because:
Governmental Fund Balance 3,973,005
Capital assets used in governmental activities are not financial
resources and, therefore, are not reported in the funds. 10,482,300
Long-term liabilities are not due and payable in the current period
and, therefore, are not reported in the funds. (1,829,277)
Net Position of Governmental Activities 12,626,028
The accompanying notes are an integral part of these financial statements.
C4
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser, Colorado
Statement of Revenues, Expenditures and Changes in Fund Balances
Governmental Funds
For the Year Ended December 31, 2013
Revenues:
Taxes
Licenses and permits
Charges for services
Intergovernmental revenue
Investment income
Miscellaneous
Total Revenues
Expenditures:
General government
Public safety
Public works
Culture and recreation
Debt service
Capital outlay
Total Expenditures
Excess (Deficiency) of Revenues
Over Expenditures
Other Financing Sources (Uses):
941,328 -
402,284 -
617,826 -
9,472 -
38,375 302,378
236,986 -
2,246,271 302,378
245,662 (218,126)
- 941,328
- - 402,284
- - 617,826
- - 9,472
- 45,418 386,171
- 77,179 314,165
122,597 2,671,246
6,516 (77,346) (43,294)
Transfers in (out) (51,110) 72,610 (21,500) 20,000 20,000
Sale of assets 16,825 - - - 16,825
Total Other Financing
Sources (Uses) (34,285) 72,610 (21,500) 20,000 36,825
Excess (Deficiency) of Revenues and Other
Financing Sources Over Expenditures
and Other Financing (Uses) 211,377 (145,516) (14,984) (57,346) (6,469)
Fund Balances - Beginning of Year 2,873,420 562,246 15,877 527,931 3,979,474
Fund Balances - End of Year 3,084,797 416,730 893 470,585 3,973,005
The accompanying notes are an integral part of these financial statements.
C5
Capital
Total
Debt
Conservation
Equipment
Governmental
General
Service
Trust
Replacement
Funds
2,137,431
83,591
-
-
2,221,022
32,099
-
-
-
32,099
12,395
-
-
-
12,395
7,461
-
6,494
44,588
58,543
3,666
661
22
663
5,012
298,881
-
-
-
298,881
2,491,933
84,252
6,516
45,251
2,627,952
941,328 -
402,284 -
617,826 -
9,472 -
38,375 302,378
236,986 -
2,246,271 302,378
245,662 (218,126)
- 941,328
- - 402,284
- - 617,826
- - 9,472
- 45,418 386,171
- 77,179 314,165
122,597 2,671,246
6,516 (77,346) (43,294)
Transfers in (out) (51,110) 72,610 (21,500) 20,000 20,000
Sale of assets 16,825 - - - 16,825
Total Other Financing
Sources (Uses) (34,285) 72,610 (21,500) 20,000 36,825
Excess (Deficiency) of Revenues and Other
Financing Sources Over Expenditures
and Other Financing (Uses) 211,377 (145,516) (14,984) (57,346) (6,469)
Fund Balances - Beginning of Year 2,873,420 562,246 15,877 527,931 3,979,474
Fund Balances - End of Year 3,084,797 416,730 893 470,585 3,973,005
The accompanying notes are an integral part of these financial statements.
C5
PRELIMINARY DRAFT UPDATED 5-7-14
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, 2013
Net Change in Fund Balances of Governmental Funds (6,469)
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. (621,844)
Capital contributions are recognized as revenue in the Statement of
Activities. This is the total amount contributed during the year. 41,837
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. 1,822
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. 288,760
Change in Net Position of Governmental Activities (295,894)
The accompanying notes are an integral part of these financial statements.
C6
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser, Colorado
Statement of Net Position
Enterprise Funds
For the Year Ended December 31, 2013
Assets:
Current assets:
Cash and cash equivalents
Utility receivables
Due (to) from other funds
Due (to) from fiduciary fund
Due from other governments
Total Current Assets
Non-current assets:
Land
Water rights
Equipment
Treatment plant and system
Less: Accumulated depreciation
Total Non -Current Assets
Total Assets
Liabilities and Fund Equity:
Liabilities:
Current liabilities:
Deposits payable
Total Current Liabilities
Non-current liabilities:
Accrued compensated absences
Total Liabilities
Net Position:
Net investment in capital assets
Restricted
Unrestricted
Total Net Position
Total
Water Wastewater Enterprise
Fund Fund Funds
800,617
156,831
(6,637)
2,981
953,792
100,000
19,776
353,994
14,619,236
(3,916,050)
11,176, 956
12,130,748
15,860
15,860
2,547,111
162,592
320
856,095
1,749
3,567,867
144,320
37,385
14,409,164
(4,179,149)
10,411,720
13,979,587
3,347,728
319,423
(6,317)
856,095
4,730
4,521,659
244,320
19,776
391,379
29,028,400
(8,095,199)
21,588,676
26,110,335
15,860
15,860
4,115
6,743
10,858
19,975
6,743
26,718
11,176,956
10,411,720
21,588,676
-
861,321
861,321
933,817
2,699,803
3,633,620
12,110,773
13,972,844
26,083,617
The accompanying notes are an integral part of these financial statements.
C7
PRELIMINARY DRAFT UPDATED 5-7-14
Operating Expenses:
Personnel
Town of Fraser, Colorado
220,276
432,055
Statement
of Revenues, Expenses and Changes in Net
Position
194,848
Contractual
Enterprise Funds
162,832
216,220
System development
For the Year Ended December 31, 2013
-
7,821
Depreciation
398,711
440,377
Total
Total Operating Expenses
815,109
874,923
Enterprise
Operating Income (Loss)
Water
Wastewater
Funds
Operating Revenues:
Charges for services
662,002
646,595
1,308,597
Meter sales
16,834
-
16,834
Miscellaneous revenue
12,367
2,368
14,735
Total Operating Revenues
691,203
648,963
1,340,166
Operating Expenses:
Personnel
211,779
220,276
432,055
Commodities
143,410
51,438
194,848
Contractual
53,388
162,832
216,220
System development
7,821
-
7,821
Depreciation
398,711
440,377
839,088
Total Operating Expenses
815,109
874,923
1,690,032
Operating Income (Loss)
(123,906)
(225,960)
(349,866)
Non -Operating Revenues:
Interest revenue
7,010
9,214
16,224
Net Non -Operating Revenues
7,010
9,214
16,224
Income (Loss) before Contributions and Transfers
(116,896)
(216,746)
(333,642)
Capital contributions
6,000
179,000
185,000
Transfers (out)
(10,000)
(10,000)
(20,000)
Contributions and Transfers
(4,000)
169,000
165,000
Change in Net Position
(120,896)
(47,746)
(168,642)
Net Position - Beginning of Year
12,231,669
14,020,590
26,252,259
Net Position - End of Year
12,110,773
13,972,844
26,083,617
The accompanying notes are an integral part of these financial statements.
C8
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser, Colorado
Statement of Cash Flows
Enterprise Funds
For the Year Ended December 31, 2013
Cash Flows From Operating Activities:
Cash received from customers
Other cash received
Cash received (paid) for deposits
Cash payments for goods and services
Cash payments for salaries and benefits
Net Cash Provided (Used) by Operating Activities
Cash Flows From Non -Capital and Related Financing Activities:
Cash transferred to other funds
Cash received from non -capital contributions
Net Cash Provided (Used) by Non -Capital and
Related Financing Activities
Cash Flows From Capital and Related Financing Activities:
Plant investment fees (paid) received
Cash (paid) for assets
Net Cash Provided (Used) by Capital
and Related Financing Activities
Cash Flows From Investing Activities:
Interest
Net Cash Provided (Used) by Investing Activities
Net (Decrease) Increase in Cash and Cash Equivalents
Cash and Cash Equivalents - Beginning of Year
Cash and Cash Equivalents - End of Year
Reconciliation of Operating Income (Loss) to
Net Cash Provided (Used) by Operating Activities:
Operating income (loss)
Adjustments:
Depreciation
(Increase) decrease in accounts receivable
Increase (decrease) in accrued compensated absences
Increase (decrease) in deposits
Total Adjustments
Net Cash Provided (Used) by Operating Activities
Total
Enterprise
Water Wastewater Funds
680,803
620,503
1,301,306
5,471
28,460
33,931
15,860
(8,459)
7,401
(204,619)
(214,270)
(418,889)
(213,600)
(219,637)
(433,237)
283,915
206,597
490,512
(3,363)
(10,000)
(13,363)
-
8,010
8,010
(3,363)
(1,990)
(5,353)
6,000
179,000
185,000
(26,675)
(60,468)
(87,143)
(20,675)
118,532
97,857
7,010
9,214
16,224
7,010
9,214
16,224
266,887
332,353
599,240
533,730
2,214,758
2,748,488
800,617
2,547,111
3,347,728
(123,906)
(225,960)
(349,866)
398,711
440,377
839,088
(4,929)
-
(4,929)
(1,821)
639
(1,182)
15,860
(8,459)
7,401
407,821
432,557
840,378
283,915
206,597
490,512
The accompanying notes are an integral part of these financial statements.
C9
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser, Colorado
Statement of Fiduciary Net Position
December 31, 2013
Petersen JFOC
Agency Agency
Fund Fund
Assets:
Cash and cash equivalents -
Accounts receivable, net: -
Total Assets -
Liabilities:
Accounts payable -
Deposits -
Total Liabilities -
Net Position:
Held for others -
Total
2,566,644
2,566,644
69,579
69,579
2,636,223
2,636,223
50,402
50,402
2,585,821
2,585,821
2,636,223
2,636,223
The accompanying notes are an integral part of these financial statements.
C10
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser, Colorado
Statement of Changes in Fiduciary Net Position
For the Year Ended December 31, 2013
Operating Income (Loss)
Change in Net Position
Due to Others - Beginning
Due to Others - Ending
The accompanying notes are an integral part of these financial statements.
C11
Petersen JFOC
Agency Agency
Fund Fund
Total
Operating Revenues:
Charges for operations and maintenance costs
- 456,929
456,929
Transfer in
- 153,230
153,230
Total Operating Revenues
- 610,159
610,159
Operating Expenses:
Salaries and Wages
- 166,496
166,496
Employee Benefits
- 53,116
53,116
Purchased services
- 173,807
173,807
Supplies
- 83,078
83,078
Utilities
- 133,662
133,662
Total Operating Expenses
- 610,159
610,159
Operating Income (Loss)
Change in Net Position
Due to Others - Beginning
Due to Others - Ending
The accompanying notes are an integral part of these financial statements.
C11
PRELIMINARY DRAFT UPDATED 5-7-14
NOTES TO THE FINANCIAL STATEMENTS
a
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
I. Summary of Significant Accounting Policies
The Town of Fraser, Colorado (the "Town") is incorporated under Colorado statutes to provide
public safety, highways and streets, water service, health and social services, culture -recreation,
public health improvements, 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). Although the Town has the option to apply FASB pronouncements after that
date to its business -type activities and enterprise funds, the Town has not chosen to do so. 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 Wastewater 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 District's net
position are reported in three parts — Net investment in capital assets; Restricted net
position; and Unrestricted net position.
D1
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
(Continued)
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.
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 lodging 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.
D2
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
(Continued)
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.
D3
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
(Continued)
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 funds:
The Petersen Agency Fund accounts for funds held for the Peterson Trust
council whose members are designated to determine the appropriate expenditure
of the trust balance.
The Joint Facilities Oversight Committee (JFOC') Operations Fund accounts for
the operations of the Upper Fraser Valley Wastewater 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.
D4
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
(Continued)
I. Summary of Significant Accounting Policies (continued)
E. Financial Statement Accounts (continued)
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.
2. Receivables
Receivables are reported net of an allowance for uncollectible accounts.
3. 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.
4. 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:
Assets Years
Infrastructure 15-30
Buildings and improvements 15-40
Distribution systems 40
Equipment and vehicles 7
D5
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
(Continued)
I. Summary of Significant Accounting Policies (continued)
E. Financial Statement Accounts (continued)
5. 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.
6. Restricted Assets
Certain proceeds of the Town's government fund general obligation bonds, as
well as certain resources set aside for their repayment, are classified as
restricted assets on the balance sheet because their use is limited by applicable
bond covenants.
Fees collected for park and affordable housing impact fees are restricted as to
their use by Town ordinances. Debt service property tax collected in excess of
the debt service of the general obligation series 1998 bonds is reserved for
emergency and catastrophic road failure, future debt service or early redemption
of the bond.
7. 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 government doesn't
have any deferred outflows of resources at December 31, 2013.
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 government has only one type
of item that qualifies for reporting in this category. Accordingly, the item,
Unavailable revenue—property taxes is deferred and recognized as an inflow of
resources in the period that the amounts become available.
W
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
(Continued)
I. Summary of Significant Accounting Policies (continued)
E. Financial Statement Accounts (continued)
8. 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.
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.
The Town does not have a formal minimum fund balance policy. However, the
Town's budget includes a calculation of a targeted reserve position and the
Administration calculates targets and reports them annually to the Town Board.
D7
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
(Continued)
I. Summary of Significant Accounting Policies (continued)
E. Financial Statement Accounts (continued)
9. 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.
10. Deposits
Deposits on the JFOC Operations Fund represent contributions made to the
JFOC operations fund by Winter Park Ranch Water and Sanitation District
("Winter 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 Districts remain joint operators of the plant.
F. Significant Accounting Policies
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.
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.
HE
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
(Continued)
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 $10,482,297 represents the book value of
assets at December 31, 2013.
Another 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 details of
this $1,829,277 difference represent accrued compensated absences, sales and use tax
revenue bonds, general obligation bonds, and capital leases payable 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. However, in the Statement
of Activities, the costs of those assets are allocated over their estimated useful lives as
depreciation expense". The details of this $508,756 difference are capital outlay of
$181,957 less depreciation expense of $690,713. Also, repayment of long-term
obligations of $288,760 is shown as an expenditure in the governmental fund, but is not
reflected in the Statement of Activities.
III. Stewardship, Compliance, and Accountability
A. Budgetary Information
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 2013.
(1) For the 2013 budget year, prior to August 25, 2012, 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, 2012, a recommended budget which
detailed the necessary property taxes needed along with other available
revenues to meet the Town's operating requirements.
K•
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
(Continued)
III. Stewardship, Compliance, and Accountability (continued)
A. Budgetary Information (continued)
(3) Prior to December 15, 2012, 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
2012 were collected in 2013 and taxes certified in 2013 will be collected in 2014. Taxes
are due on January 1 st 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.
During the year, the Town approved the following budget amendments:
Original Final
Fund Budget Budget Amendment
General $ 2,480,794 $ 2,737,119 $ 256,325
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 $80,000.
D10
IV
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
(Continued)
Stewardship, Compliance, and Accountability (continued)
B. TABOR Amendment (continued)
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.
Detailed Notes on All Funds
A. Deposits
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 was $57,643 at year end. The Town had the
following deposits and investments for all funds except the JFOC Operations Fund, with
the following maturities December 31, 2013:
Type: Rating
Deposits:
Checking Accounts Not Rated
Investments:
Cash with fiscal agent
Investment Pools AAAm
D11
Maturities
Carrying Less Than Less Than
Amount One Year Five Years
57,643 57,643
6,120 6,120
6,989,377 6,989,377
$ 7,053,140
IV.
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
(Continued)
Detailed Notes on All Funds (continued)
A. Deposits (continued)
The Town had the following deposits and investments for the JFOC Operations Fund with
the following maturities December 31, 2013:
$ 2,566,644
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.
D12
Maturities
Carrying
Less Than Less Than
Type:
Rating
Amount
One Year Five Years
Deposits:
Certificates of Deposit
Not Rated
2,094,074
200,939 1,893,135
Checking Accounts
Not Rated
357,331
357,331
Savings Accounts
Not Rated
65,178
65,178
Investments:
Investment Pools
AAAm
50,061
50,061
$ 2,566,644
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.
D12
IV.
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
General
Notes to the Financial Statements
December 31, 2013
$ 195,916
(Continued)
48,386
Detailed Notes on All Funds (continued)
48
A. Deposits (continued)
325,858
At December 31, 2013, cash has been restricted for the
following purposes:
1998 Sales Tax Revenue Bond Reserves $
155,000
2002 Sales Tax Revenue Bond Reserves
20,000
1998 General Obligation Bond Reserves
40,000
Additional debt service reserve
85,000
Total Restricted Cash $
300,000
B. Receivables
Receivables as of year-end for the Town's funds, including
applicable allowances for
uncollectible accounts, are as follows:
Receivables:
Accounts
Gross receivables
Less: allowance for
uncollectible
Net Receivables
Governmental Funds
Debt Capital
Service Equipment Total
80,000 - 275,916
- - 48,386
- 48
3,576 329,434
80,000
3,576 653,784
- 20,410
3,576 633,374
Water Wastewater
Operations Operations Total
$ 156,831 $ 162,592 $ 319,423
156,831
162,592 319,423
$ 156,831 $ 162,592 $ 319,423
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. This includes $275,916 of property taxes levied in 2013 but not
available until 2014.
D13
General
Receivables:
Property Taxes
$ 195,916
Accounts
48,386
Other
48
Intergovernmental
325,858
Gross receivables
570,208
Less: allowance for
uncollectible
20,410
Net Receivables
$ 549,798
Receivables:
Accounts
Gross receivables
Less: allowance for
uncollectible
Net Receivables
Governmental Funds
Debt Capital
Service Equipment Total
80,000 - 275,916
- - 48,386
- 48
3,576 329,434
80,000
3,576 653,784
- 20,410
3,576 633,374
Water Wastewater
Operations Operations Total
$ 156,831 $ 162,592 $ 319,423
156,831
162,592 319,423
$ 156,831 $ 162,592 $ 319,423
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. This includes $275,916 of property taxes levied in 2013 but not
available until 2014.
D13
IV.
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
(Continued)
Detailed Notes on All Funds (continued)
C. Capital Assets
Capital asset activity for the year ended December 31, 2013 was as follows:
Governmental activities:
Capital assets, not being depreciated:
Land and improvements
Total capital assets,
not being depreciated
Capital assets, being depreciated:
Infrastructure
Buildings
Furniture and equipment
Total capital assets,
being depreciated
Less accumulated depreciation for:
Infrastructure
Buildings
Furniture and equipment
Total accumulated depreciation
Total capital assets,
being depreciated, net
Governmental activities
capital assets, net
Beginning Ending
Balance Increases Decreases Balance
$ 1,237,355 - - 1,237,355
1,237,355 - - 1,237,355
14,361,417
146,615
(115,988)
14,392,044
1,144,852
-
-
1,144,852
1,372,895
292,924
(56,000)
1,609,819
16,879,164
439,539
(171,988)
17,146,715
(5,264,734)
(575,089)
2,900
(5,836,923)
(762,184)
(40,167)
-
(802,351)
(1,243,042)
(75,457)
56,000
(1,262,499)
(7,269,960)
(690,713)
58,900
(7,901,773)
9,609,204 (251,174) (113,088) 9,244,942
$ 10,846,559 (251,174) (113,088) 10,482,297
D14
IV.
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
(Continued)
Detailed Notes on All Funds (continued)
C. Capital Assets (continued)
Business -type activities:
Capital assets, not being depreciated:
Land
Water rights
Total capital assets,
not being depreciated
Capital assets, being depreciated:
System and improvements
Buildings and improvements
Equipment
Total capital assets,
being depreciated
Less accumulated depreciation for:
System and improvements
Buildings and improvements
Equipment
Total accumulated depreciation
Total capital assets,
being depreciated, net
Governmental activities
capital assets, net
Beginning
Balance
$ 244,320
19,776
264,096
22,711,580
6,154,573
391,379
Ending
Increases Decreases Balance
244,320
- - 19,776
74,090
88,157
29,257,532 162,247
- 264,096
- 22,785,670
- 6,242,730
- 391,379
29,419,779
(5,634,868)
(653,929)
- (6,288,797)
(1,500,325)
(159,294)
- (1,659,619)
(120,916)
(25,867)
- (146,783)
(7,256,109)
(839,090)
- (8,095,199)
22,001,423
(676,843)
- 21,324,580
$22,265,519
(676,843)
- 21,588,676
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:
Governmental activities:
General government
Public works, including infrastructure
Public safety
Culture and recreation
Total governmental activities
Business -type activities:
Water
Wastewater
Total business -type activities
D15
Depreciation Capital
Expense Outlay
$
35,738
76,888
585,155
37,138
22,092
40,041
47,728
27,890
$
690,713
181,957
$
398,711
26,675
440,377
60,469
$
839,088
87,144
IV.
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
(Continued)
Detailed Notes on All Funds (continued)
D. Interfund Receivables, Payables, and Transfers
Transfers were as follows:
General
Debt Service
Conservation Trust
Capital Equipment
Capital Asset Fund
Wastewater
Water
In
Out
$ 21,500
(322,610)
247,610
(175,000)
-
(21,500)
20,000
-
250,000
-
-
(10,000)
-
(10,000)
$ 539,110
(539,110)
Transfers were to provide additional resources to meet the activities provided in each
fund.
E. Other Liabilities
1. Capital Leases
In April 2008, the Town entered into a capital lease agreement for the purchase
of property within Town limits. The total amount financed was $485,725, with
interest stated at 4.90% per annum. The lease requires semi-annual payments
of $18,187 through 2028.
In September 2013, the Town entered into a capital lease agreement for the
purchase of a street sweeper. The total amount financed was $215,745 with
interest stated at 2.63% per annum. The lease requires annual payments of
$45,418 through 2017.
Future minimum lease payments for both leases are as follows:
Year
Principal
Interest
Total
2014
60,190
23,601
83,791
2015
62,222
21,570
83,792
2016
64,329
19,462
83,791
2017
66,515
17,276
83,791
2017
23,365
15,008
38,373
2018-2022
135,404
56,465
191,869
2023-2027
153,296
19,384
172,680
Total
$ 565,321
172,766
738,087
D16
IV.
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
(Continued)
Detailed Notes on All Funds (continued)
E. Other Liabilities (continued)
2. Sales Tax Revenue Bonds
In 1992, the Town issued Series 1992 Sales and Use Tax Bonds with a gross
issue price of $1,145,000. This issue was partially ($525,000) refunded with the
issuance $2,215,000 of Series 1998 Sales and Use Tax bonds. The proceeds
not used for refunding the 1992 Sales and Use Tax Bonds were used for street
improvements and paving. In 2002, the remaining outstanding balance of the
1992 Bond issue was refunded through the issuance of the 2002 Sales and Use
Tax Refunding Bonds. The Series 1998 Bonds are subject to redemption prior to
maturity as follows:
• June 1, 2009 and thereafter, subject to redemption at 100%.
Interest for both the 1998 Bonds and 2002 Bonds are payable semi-annually on
June 1 and December 1 at 5.05%. Principal payments are made December 1.
The required reserves are accounted for in the Town's Debt Service Fund.
3. General Obligation Bonds
In 1998, the Town issued $600,000 in Series 1998 General Obligation Bonds.
The bonds are secured by the full faith and credit of the Town and pay interest at
4.25% to 5.1 %. The bonds were issued to finance improvements to the Town's
streets, roads, sidewalks and other infrastructure.
4. Advance Refunding
The Town has advance refunded the 1992 Sales Tax Revenue Bonds. Sufficient
U.S. government, state and local government securities were placed in an
irrevocable trust for the purpose of generating resources for all future debt
service payments of the refunded debt. As a result, the refunded bonds are
considered to be defeased and the liability has been removed from the General
Long -Term Debt Account Group. The amount of defeased bonds outstanding at
year end is not readily determinable.
5. Bonded Debt
The Town's annual bonded debt service is as follows:
Year
Principal
2014
235,000
2015
250,000
2016
270,000
2017
490,000
Total
$ 1,245,000
D17
Interest
62,048
49,073
35,016
14,597
160,734
Total
297,048
299,073
305,016
504,597
1,405,734
IV.
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
(Continued)
Detailed Notes on All Funds (continued)
E. Other Liabilities (continued)
6. Long-term Debt
The Town's annual debt service requirements are as follows:
Year
Principal
Interest
Total
2014
295,190
85,649
380,839
2015
312,222
70,643
382,865
2016
334,329
54,478
388,807
2017
556,515
31,873
588,388
2017
23,365
15,008
38,373
2018-2022
135,404
56,465
191,869
2023-2027
153,296
19,384
172,680
Total
$ 1,810,321
333,500
2,143,821
7. Accrued Compensated Absences
18,956
-
Earned but unused vacation benefits amounted to $18,956 at December 31,
2013. All unused vacation benefits are recorded on the government -wide
financial statements.
8. Schedule of Changes in Long-term Debt
Balance
Balance
Due Within
1/1/13 Additions
Reductions
12/31/13
One Year
Capital leases
$ 413,336 215,745
(63,760)
565,321
60,190
Sales and use tax bonds
1,250,000 -
(185,000)
1,065,000
170,000
General obligation bonds
220,000 -
(40,000)
180,000
40,000
Accrued compensated
absences
20,779 -
(1,823)
18,956
-
Total
$ 1,904,115 215,745
(290,583)
1,829,277
270,190
D18
IV.
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
(Continued)
Detailed Notes on All Funds (continued)
F. Restricted Fund Balance
The Town had the following restrictions on the fund balances at December 31, 2013:
Balance
Balance
1/1/13 Additions Deletions
12/31/13
General Fund:
Fees in lieu of Park $ 6,379 - -
6,379
Affordable housing impact fee 135,426 - -
135,426
Emergency reserves 80,000 - -
80,000
Debt Service Fund reserves:
Next year's payments 300,000 - -
300,000
Conservation Trust Fund 15,877 6,516 (21,500)
893
Wastewater Fund
Operating reserve 45,070 669 -
45,739
Capital replacement reserve 885,201 5,484 (75,103)
815,582
$ 1,467,953 $ 12,669 $ (96,603)
$ 1,384,019
The Town had $861,321 restricted in the Wastewater Fund for Upper Fraser Valley
Wastewater Treatment Joint Facilities operating and capital replacement expenses.
G. Committed Fund Balance
The Town has committed $116,730 in the debt service fund to be used for capital
projects.
H. Assigned Fund Balance
The Town had the following assignments of the governmental fund balances at
December 31, 2013:
Balance
Balance
1/1/13 Additions Deletions
12/31/13
General Fund:
Reserve savings $ 750,000
Capital projects 40,066
Future budget deficit 167,294
Capital Equipment Replacement:
Capital projects 527,931
$ 1,485,291
D19
- - 750,000
250,195 (186,377) 103,884
354,585 - 521,879
- (57,346) 470,585
604,780 (243,723) 1,846,348
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
(Continued)
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/Winter 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 Wastewater 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 2013.
The JFOC may designate a new manager on an annual basis. In 2013, as approved by
the JFOC, the Town earned $28,422 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.
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, 2013, Maryvale development sewer mains and infrastructure
had been conveyed to the District, and is presented as an asset on the Town's
financial statements.
D20
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
(Continued)
V. Other Information (continued)
A. Joint Facilities Oversight Committee ("JFOC") Operations Fund (continued)
Maryvale Village (Rendezvous) (continued)
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 CWRPDA
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, 2013, 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 Winter
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, paying 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.
B. Retirement Plans - Deferred Compensation Plan — Section 457
The Town offers its employees a deferred compensation plan created in accordance with
Internal Revenue Code Section 457. The plan permits employees to defer a portion of
their salary until future years. The deferred compensation is not available to employees
until termination, retirement, death, or unforeseeable emergency.
All amounts of compensation deferred under the plan, all property and rights purchased
with those amounts, and all income attributable to those amounts, property, or rights are
to be held in trust for the exclusive benefit of the plan participants and their beneficiaries.
The accrual basis of accounting is used for the plan. Revenues are recognized when
earned and expenditures are recognized when incurred. Investments are recorded at
market value.
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.
D21
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
(Continued)
V. Other Information (continued)
C. Retirement Plans — CCOERA Retirement Plan — Section 401(a)
The Town participates in the Colorado County Officials & Employees Retirement
Association ("CCOERA") retirement plan (the "401(a) Plan"). CCOERA was established
to provide retirement benefits to employees of Colorado local governments. Employees
of the Town are required to participate in the 401(a) Plan after one full year of service.
The CCOERA retirement plan was adopted in accordance with section 401(a) of the
Internal Revenue Code. 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 vest over a 5 year period. The Town is neither the trustee nor
the administrator for the 401(a) Plan.
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.
E. Commitments and Contingencies - Contracts
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. The agreement requires costs to be split based upon average call
volume.
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.
D22
V.
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
(Continued)
Other Information (continued)
F. Risk Management (continued)
The Town's share of assets, liabilities and fund equity as of December 31, 2013, the
latest date for which information is available, is as follows:
Insurance Pools: Fraser Share
Property and Casualty Pool:
Loss fund 26,262
Operating 5,312
Pooled excess fund 8,053
Reserve fund 19,330
Workers' Compensation Pool:
Loss fund 3,946
Operating (1,734)
Pooled excess fund 5,736
Reserve fund 14,856
The December 31, 2013 combined financial information is as follows:
Cash and investments $ 71,836,516
Other assets 7,342,496
Total $ 79,179,012
Liabilities $ 37,237,831
Members fund balance 41,941,181
Total $ 79,179,012
Total revenue $ 23,322,472
Total expense (18,792,870)
(Deficiency) of Revenue
Over Expense $ 4,529,602
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, 2013,
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.
D23
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser
Notes to the Financial Statements
December 31, 2013
(Continued)
V. Other Information (continued)
G. Prepaid Plant Investment Fees
The Town 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 $2,257,393
of Plant Investment Fees have been rebated to the developers.
D24
PRELIMINARY DRAFT UPDATED 5-7-14
REQUIRED SUPPLEMENTARY INFORMATION
PRELIMINARY DRAFT UPDATED 5-7-14
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, 2013
(With Comparative Actual Amounts for 2012)
Total Expenditures
Excess (Deficiency) of Revenues
Over Expenditures
Other Financing Sources (Uses):
Transfer in
Transfer (out)
Sale of assets
Total Other Financing (Uses)
Excess (Deficiency) of Revenues
Over Expenditures and Other
Financing Sources (Uses)
Fund Balances - Beginning of Year
Fund Balances - End of Year
2,158,184 2,373,184 2,246,271 126,913 2,354,717
(115,759) (91,759) 245,662 337,421 (155,880)
271,500 271,500 271,500 - 265,337
(322,610) (363,935) (322,610) 41,325 (408,440)
16,825 16,825 -
(51,110) (92,435) (34,285) 58,150 (143,103)
(166,869) (184,194) 211,377 395,571 (298,983)
1,759,362 1,759,362 2,873,420 1,114,058 3,172,403
1,592,493 1,575,168 3,084,797 1,509,629 2,873,420
The accompanying notes are an integral part of these financial statements.
E1
2013
2012
Variance
Original
Final
Positive
Budget
Budget
Actual
(Negative)
Actual
Revenues:
Taxes
1,950,000
1,950,000
2,137,431
187,431
1,956,338
Licenses and fees
12,500
12,500
32,099
19,599
13,658
Charges for services
5,000
5,000
12,395
7,395
5,247
Intergovernmental
-
-
7,461
7,461
-
Interest
5,925
5,925
3,666
(2,259)
6,540
Other revenue
69,000
308,000
298,881
(9,119)
217,054
Total Revenues
2,042,425
2,281,425
2,491,933
210,508
2,198,837
Expenditures:
General government
776,539
991,539
941,328
50,211
925,475
Public safety
404,000
404,000
402,284
1,716
372,060
Public works
920,770
920,770
854,812
65,958
1,009,330
Culture and recreation
18,500
18,500
9,472
9,028
9,478
Debt service
38,375
38,375
38,375
-
38,374
Total Expenditures
Excess (Deficiency) of Revenues
Over Expenditures
Other Financing Sources (Uses):
Transfer in
Transfer (out)
Sale of assets
Total Other Financing (Uses)
Excess (Deficiency) of Revenues
Over Expenditures and Other
Financing Sources (Uses)
Fund Balances - Beginning of Year
Fund Balances - End of Year
2,158,184 2,373,184 2,246,271 126,913 2,354,717
(115,759) (91,759) 245,662 337,421 (155,880)
271,500 271,500 271,500 - 265,337
(322,610) (363,935) (322,610) 41,325 (408,440)
16,825 16,825 -
(51,110) (92,435) (34,285) 58,150 (143,103)
(166,869) (184,194) 211,377 395,571 (298,983)
1,759,362 1,759,362 2,873,420 1,114,058 3,172,403
1,592,493 1,575,168 3,084,797 1,509,629 2,873,420
The accompanying notes are an integral part of these financial statements.
E1
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser, Colorado
General Fund
Schedule of Revenues
Budget (GAAP Basis) and Actual
For the Year Ended December 31, 2013
(With Comparative Actual Amounts for 2012)
The accompanying notes are an integral part of these financial statements.
E2
2013
2012
Variance
Original
Final
Positive
Budget
Budget
Actual
(Negative)
Actual
Taxes:
Property
218,500
218,500
218,536
36
217,361
Specific ownership
8,000
8,000
10,295
2,295
9,186
Sales & use
1,675,000
1,675,000
1,848,144
173,144
1,670,712
Franchise
40,000
40,000
51,459
11,459
49,521
Motor vehicle
4,000
4,000
4,343
343
4,477
Cigarette
4,500
4,500
4,654
154
5,081
Total
1,950,000
1,950,000
2,137,431
187,431
1,956,338
Licenses and Fees:
Business license fees
10,500
10,500
13,640
3,140
10,980
Liquor license fee
2,000
2,000
18,459
16,459
2,678
Total
12,500
12,500
32,099
19,599
13,658
Charges for services:
Planning and building fees
5,000
5,000
12,395
7,395
5,247
Total
5,000
5,000
12,395
7,395
5,247
Intergovernmental:
Grant revenue
-
-
7,461
7,461
-
Total
-
-
7,461
7,461
-
Interest:
Earnings on deposits
5,925
5,925
3,666
(2,259)
6,540
Total
5,925
5,925
3,666
(2,259)
6,540
Other:
Other income
60,000
299,000
290,361
(8,639)
208,029
Rents
9,000
9,000
8,520
(480)
9,025
Total
69,000
308,000
298,881
(9,119)
217,054
Other Financing Sources:
Transfer in
271,500
271,500
271,500
-
265,337
Sale of assets
-
-
16,825
16,825
-
Total
271,500
271,500
288,325
16,825
265,337
Total Revenues
2,313,925
2,552,925
2,780,258
227,333
2,464,174
The accompanying notes are an integral part of these financial statements.
E2
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser, Colorado
General Fund
Schedule of Expenditures and Transfers
Budget (GAAP Basis) and Actual
For the Year Ended December 31, 2013
(With Comparative Actual Amounts for 2012)
Debt Services
Interest
20,032
2013
20,032
- 20,899
2012
18,343
18,343
18,343
- 17,475
Variance
38,375
38,375
Original
Final
Other Financing Uses
Positive
Budget
Budget
Actual
(Negative)
Actual
General Government:
Total Financing Sources
322,610
363,935
322,610
41,325 408,440
Town board salaries
38,989
38,989
33,535
5,454
24,501
Town board community enhancement
172,780
172,780
167,299
5,481
195,967
Miscellaneous
3,000
3,000
1,425
1,575
2,818
Administrative salaries
273,419
273,419
270,169
3,250
269,999
Other purchased services
250,851
465,851
435,589
30,262
396,562
Utilities
20,000
20,000
16,190
3,810
15,995
Property management
17,500
17,500
17,121
379
19,633
Total General Government
776,539
991,539
941,328
50,211
925,475
Public Safety
404,000
404,000
402,284
1,716
372,060
Total Public Safety
404,000
404,000
402,284
1,716
372,060
Public Works
Salaries and benefits
475,020
475,020
451,403
23,617
451,103
Other purchased services
117,750
117,750
133,582
(15,832)
163,887
Utilities
12,500
12,500
9,651
2,849
8,621
Property management
40,500
40,500
23,190
17,310
50,469
Capital outlay
275,000
275,000
236,986
38,014
335,250
Total Public Works
920,770
920,770
854,812
65,958
1,009,330
Culture and Recreation
Salaries and benefits
-
-
-
-
-
Other purchased services
15,500
15,500
5,335
10,165
6,012
Utilities
3,000
3,000
2,495
505
2,711
Property management
-
-
1,642
(1,642)
755
Total Culture and Recreation
18.500
18.500
9.472
9.028
9.478
Debt Services
Interest
20,032
20,032
20,032
- 20,899
Principal
18,343
18,343
18,343
- 17,475
Total Debt Services
38,375
38,375
38,375
- 38,374
Other Financing Uses
Transfer out
322,610
363,935
322,610
41,325 408,440
Total Financing Sources
322,610
363,935
322,610
41,325 408,440
Total Expenditures
2,480,794
2,737,119
2,568,881
168,238 2,763,157
The accompanying notes are an integral part of these financial statements.
E3
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser, Colorado
Special Revenue Fund
Conservation Trust Fund
Schedule of Revenues, Expenditures and Changes in Fund Balances
Budget (GAAP Basis) and Actual
For the Year Ended December 31, 2013
(With Comparative Actual Amounts for 2012)
2013 2012
Variance
Original Final Positive
Budget Budget Actual (Negative) Actual
Revenues:
Lottery proceeds 6,000 6,000 6,494 494 6,111
Interest 60 60 22 (38) 57
Total Revenues 6,060 6,060 6,516 456 6,168
Other Financing Uses
Transfer (Out)
(21,500)
(21,500)
(21,500)
- (15,337)
Total Financing Sources
(21,500)
(21,500)
(21,500)
- (15,337)
Excess (Deficiency) of Revenues
Over Expenditures
(15,440)
(15,440)
(14,984)
456 (9,169)
Fund Balances - Beginning of Year
15,669
15,669
15,877
208 25,046
Fund Balances - End of Year
229
229
893
664 15,877
The accompanying notes are an integral part of these financial statements.
E4
PRELIMINARY DRAFT UPDATED 5-7-14
SUPPLEMENTARY INFORMATION
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser, Colorado
Debt Service Fund
Schedule of Revenues, Expenditures and Changes in Fund Balances
Budget (GAAP Basis) and Actual
For the Year Ended December 31, 2013
(With Comparative Actual Amounts for 2012)
2013
Expenditures:
Principal
Interest
Other
Total Expenditures
Excess (Deficiency) of Revenues
Over Expenditures
Other Financing Sources:
Transfer in
Transfer out
Total Other Financing Sources
Excess (Deficiency) of Revenues and Other
Financing Sources Over Expenditures
Fund Balances - Beginning of Year
Fund Balances - End of Year
Variance
Positive
(Negative) Actual
122
Original
Final
3,392
(339)
Budget
Budget
Actual
Revenues:
86,227
4,500
4,500
Property taxes
80,000
80,000
80,122
Specific ownership tax
3,000
4,000
3,469
Interest
250
1,000
661
Total Revenues
83,250
85,000
84,252
Expenditures:
Principal
Interest
Other
Total Expenditures
Excess (Deficiency) of Revenues
Over Expenditures
Other Financing Sources:
Transfer in
Transfer out
Total Other Financing Sources
Excess (Deficiency) of Revenues and Other
Financing Sources Over Expenditures
Fund Balances - Beginning of Year
Fund Balances - End of Year
Variance
Positive
(Negative) Actual
122
80,187
(531)
3,392
(339)
1,453
(748)
85,032
225,000
225,000
225,000
-
215,000
74,434
74,434
74,434
-
86,227
4,500
4,500
2,944
1,556
2,946
303,934
303,934
302,378
1,556
304,173
(220,684)
(218,934)
(218,126)
808
(219,141)
247,610
247,610
247,610
-
247,250
(175,000)
(175,000)
(175,000)
-
(175,000)
247,610
72,610
72,610
-
72,250
26,926
(146,324)
(145,516)
808
(146,891)
(26,926)
(28,676)
562,246
590,922
709,137
-
(175,000)
416,730
591,730
562,246
The accompanying notes are an integral part of these financial statements.
F1
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser, Colorado
Capital Equipment Replacement Fund
Schedule of Revenues, Expenditures and Changes in Fund Balances
Budget (GAAP Basis) and Actual
For the Year Ended December 31, 2013
(With Comparative Actual Amounts for 2012)
Revenues:
Highway users revenue
Earnings on investments
Total Revenues
Expenditures:
Capital lease
Equipment
Total Expenditures
Excess (Deficiency) of Revenues
Over Expenditures
Other Financing Sources:
Transfer In
Total Other Financing Sources
Excess (Deficiency) of Revenues and Other
Financing Sources Over Expenditures
Fund Balances - Beginning of Year
Fund Balances - End of Year
2013 2012
Original and Variance
Final Positive
Budget Actual (Negative) Actual
44,152 44,588 436 45,108
-
45,418
(45,418)
-
230,000
77,179
152,821
36,188
230,000
122,597
107,403
36,188
(185,548)
(77,346)
108,202
9,989
20,000
20,000
-
106,190
20,000
20,000
-
106,190
(165,548)
(57,346)
108,202
116,179
525,548
527,931
2,383
411,752
360,000
470,585
110,585
527,931
The accompanying notes are an integral part of these financial statements.
F2
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser, Colorado
Enterprise Fund
Water Fund
Schedule of Revenues, Expenditures and Change in Net Assets
Budget (Non -GAAP) Basis and Actual
With Reconciliation to GAAP Basis
For the Year Ended December 31, 2013
(With Comparative Actual Amounts for 2012)
Revenues:
Tap fees
User fees
Water meter fees
Interest income
Excavation permits
Other
Total Revenues
Expenditures:
Personnel:
Salaries
Retirement
Health insurance
Travel and training
Total
Commodities:
Insurance
Supplies
System repair and maintenance
Testing
Telephone
Utilities
Miscellaneous
Total
Contractual:
Legal
Engineering
Other professional services
Professional memberships
Total
Other:
Transfer to Other Fund
Capital projects and purchases
Water rights
Total
Total Expenditures
Excess (Deficiency) of Revenues
Over Expenses (Budget Basis) (213,031) 251,140 464,171
Reconciliation from Budget Basis to GAAP Basis:
Capitalized assets 26,675
Depreciation (398,711)
Excess (Deficiency) of Revenues Over Expenses (GAAP Basis) (120,896)
Net Assets - Beginning of Year
Net Assets - End of Year
12, 231, 669
12,110,773
The accompanying notes are an integral part of these financial statements.
F3
67,434
114,071
(396,668)
(215,163)
12,446,832
12,231,669
2013
2012
Original and
Variance
Final
Positive
Budget
Actual
(Negative)
Actual
8,000
6,000
(2,000)
-
643,364
662,002
18,638
612,705
500
16,834
16,334
2,980
2,000
7,010
5,010
10,698
200
550
350
550
2,500
11,817
9,317
3,168
656,564
704,213
47,649
630,101
176,495
175,217
1,278
176,400
6,600
5,793
807
5,946
30,000
27,754
2,246
28,762
8,000
3,016
4,984
2,552
221,095
211,780
9,315
213,660
20,000
20,259
(259)
16,116
48,500
45,193
3,307
16,570
80,000
44,755
35,245
55,346
3,000
4,141
(1,141)
1,318
3,500
2,666
834
3,039
50,000
35,629
14,371
34,329
14,000
4,387
9,613
7,810
219,000
157,030
61,970
134,528
35,000
41,135
(6,135)
74,401
20,000
4,769
15,231
2,245
5,500
1,136
4,364
1,064
8,000
6,348
1,652
5,070
68,500
53,388
15,112
82,780
10,000
10,000
-
10,000
91,000
13,054
77,946
114,071
260,000
7,821
252,179
7,628
361,000
30,875
330,125
131,699
869,595
453,073
416,522
562,667
Over Expenses (Budget Basis) (213,031) 251,140 464,171
Reconciliation from Budget Basis to GAAP Basis:
Capitalized assets 26,675
Depreciation (398,711)
Excess (Deficiency) of Revenues Over Expenses (GAAP Basis) (120,896)
Net Assets - Beginning of Year
Net Assets - End of Year
12, 231, 669
12,110,773
The accompanying notes are an integral part of these financial statements.
F3
67,434
114,071
(396,668)
(215,163)
12,446,832
12,231,669
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser, Colorado
Enterprise Fund
Wastewater Fund
Schedule of Revenues, Expenditures and Change in Net Assets
Budget (Non -GAAP) Basis and Actual
With Reconciliation to GAAP Basis
For the Year Ended December 31, 2013
(With Comparative Actual Amounts for 2012)
Revenues:
Tap fees
User fees
Management fees
Interest income
Other
Total Revenues
Expenditures:
Personnel:
Salaries
Retirement
Health insurance
Travel and training
Total
Commodities:
Insurance
Supplies
System repair and maintenance
Testing
Telephone
Miscellaneous
Total
Contractual:
Legal
Engineering
Other professional services
Professional memberships
Total
Other:
Transfer to Other Fund
Capital Reserve payments
Total
Total Expenditures
Excess (Deficiency) of Revenues
Over Expenses (Budget Basis) (13,010) 326,010 339,020
Reconciliation from Budget Basis to GAAP Basis:
Capitalized assets 60,468
Depreciation (440,377)
Capitalized capital reserve payments -
Capital reserve increased by interest income 6,153
Excess (Deficiency) of Revenues Over Expenses (GAAP Basis) (47,746)
Net Assets - Beginning of Year
Net Assets - End of Year
14 n9n .r;qn
The accompanying notes are an integral part of these financial statements.
F4
197,148
(436,344)
50,783
9,265
(179,148 )
14,199, 738
14,020,590
2013
2012
Original and
Variance
Final
Positive
Budget
Actual
(Negative)
Actual
7,500
179,000
171,500
15,700
616,580
618,173
1,593
606,258
28,420
28,422
2
28,422
2,000
3,061
1,061
4,825
2,500
2,368
(132)
3,110
657,000
831,024
174,024
658,315
183,010
188,473
(5,463)
173,590
6,500
6,162
338
5,768
25,500
24,978
522
23,995
4,500
663
3,837
580
219,510
220,276
(766)
203,933
5,500
5,410
90
3,892
2,500
1,411
1,089
1,324
202,500
104,533
97,967
32,138
1,000
180
820
230
500
257
243
268
3,000
115
2,885
209
215,000
111,906
103,094
38,061
5,000
-
5,000
-
10,000
1,756
8,244
4,093
204,500
156,638
47,862
148,887
6,000
4,438
1,562
5,410
225,500
162,832
62,668
158,390
10,000
10,000
-
10,000
-
-
-
50,783
10,000
10,000
-
60,783
67o n1 n
5n5 n14
164 996
461 167
Over Expenses (Budget Basis) (13,010) 326,010 339,020
Reconciliation from Budget Basis to GAAP Basis:
Capitalized assets 60,468
Depreciation (440,377)
Capitalized capital reserve payments -
Capital reserve increased by interest income 6,153
Excess (Deficiency) of Revenues Over Expenses (GAAP Basis) (47,746)
Net Assets - Beginning of Year
Net Assets - End of Year
14 n9n .r;qn
The accompanying notes are an integral part of these financial statements.
F4
197,148
(436,344)
50,783
9,265
(179,148 )
14,199, 738
14,020,590
PRELIMINARY DRAFT UPDATED 5-7-14
Town of Fraser, Colorado
JFOC Operations
Schedule of Revenues & Expenses
Budget (Non -GAAP) Basis and Actual
With Reconciliation to GAAP Basis
For the Year Ended December 31, 2013
(With Comparative Actual Amounts for 2012)
Revenues:
Reimbursable professional services
JFOC operating charges
Interest revenue
Total Revenues
Expenses:
2013
gniq
Final Budget
Original and Variance
Final Positive
Budget Actual (Negative) Actual
- - - 4,722
749,972 610,160 (139,812) 577,978
20,600 18,749 (1,851) 27,865
770,572 628,909 (141,663) 610,565
Training programs
3,000
515
2,485
Travel, meals and lodging
2,500
654
1,846
Meals and entertainment
200
-
200
Professional fees
11,000
3,981
7,019
Engineering fees
15,000
4,904
10,096
Financial services
100
-
100
Sludge removal
65,000
40,040
24,960
Other professional services
20,000
2,832
17,168
Insurance
32,000
30,150
1,850
Advertising
50
367
(317)
Plant maintenance & repair
40,000
39,067
933
Grounds maintenance
2,000
81
1,919
Equipment rental
500
-
500
Professional memberships
500
79
421
Operating supplies
105,000
83,078
21,922
Equipment purchase and repair
20,000
1,332
18,668
Testing
55,000
36,224
18,776
Permits
10,000
6,265
3,735
Utilities
112,500
133,662
(21,162)
Vehicles
6,500
6,546
(46)
Miscellaneous
1,000
770
230
Capital projects
379,000
220,438
158,562
Payroll expenses
248,122
219,613
28,509
Total Expenses
1,128,972
830,598
298,374
Excess (Deficiency) of Revenues
Over Expenses (Budget Basis)
(358,400)
(201,689)
156,711
Reconciliation from Budget Basis to GAAP Basis:
Capital reserve reduced by capital expenses
220,438
Capital reserve increased by interest income
(16,096)
Operating reserve increased by interest income
(2,653)
Excess (Deficiency) of Revenues Over Expenses (GAAP Basis)
The accompanying notes are an integral part of these financial statements.
F5
653
576
15
10,069
4,043
22,267
2,784
24,588
90
26,956
1,078
72
79,280
9,188
41,004
8,811
134,032
5,504
891
39,403
210,799
622,103
(11,538)
39,403
(25,343)
(2,522)
PRELIMINARY DRAFT UPDATED 5-7-14
The public report burden for this information collection is estimated to averaee 380 hours annually.
Financial Planning 02/01
Form # 350-050-36
FORM FHWA-536 (Rev. 1-05)
PKEV1OUS EDITIONS OBSOLETE
F6
(Next Page)
{48A5C 184-EBOE-4A70-ADB5-9B 127D4EB756}.xlsx
City or County:
Town of Fraser
LOCAL HIGHWAY FINANCE REPORT
YEAR ENDING:
December 2013
This Information From The Records Of (example - City of _ or County of
Prepared By: Nat Havens nhavens@town.fraser.co.us
Town of Fraser, Colorado
Phone: 970-726-5491 x206
I. DISPOSITION OF HIGHWAY -USER REVENUES AVAILABLE FOR LOCAL GOVERNMENT EXPENDITURE
A. Local B. Local C. Receipts from D. Receipts from
ITEM Motor -Fuel Motor -Vehicle State Highway- Federal Highway
Taxes Taxes User Taxes Administration
1. Total receipts available
2. Minus amount used for collection ex enses
3. Minus amount used for nonhi hwa oses
4. Minus amount used for mass transit
5. Remainder used for highway purposes
Il. RECEIPTS FOR ROAD AND STREET PURPOSES HI. DISBURSEMENTS FOR ROAD
AND STREET PURPOSES
ITEM AMOUNT ITEM AMOUNT
A. Receipts from local sources: A. Local highway disbursements:
1. Local highway -user taxes 1. Capital outlay from page 2 203 815
a. Motor Fuel from Item I.A.S. 2. Maintenance: 193,462
b. Motor Vehicle from Item I.B.S. 3. Road and street services:
c. Total (a.+b.) a. Traffic control operations 14,982
2. General fund appropriations 1,227,993 b. Snow and ice removal 304,012
3. Other local imposts from page 2 156,368 c. Other 0
4. Miscellaneous local receipts from page 2 6,633 d. Total a. through c. 318,993
5. Transfers from toll facilities 0 4. General administration & miscellaneous 55,275
6. Proceeds of sale of bonds and notes: M 5. Highway law enforcement and safety 402,284
a. Bonds - Original Issues 0 6. Total 1 through 5 1,173,829
b. Bonds - Refunding Issues 0 B. Debt service on local obligations
c. Notes 0 1. Bonds:
d. Total a. + b. + c. 0 a. Interest 66 095
7. Total 1 through 6 1,390,994 b. Redemption 200,000
B. Private Contributions 0 c. Total (a.+ b. 266,095
C. Receipts from State government 2. Notes:
from page 2 48,931 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) 1,439,925 3. Tota l .c + 2.c 266,095
C. Payments to State for highways 0
D. Payments to toll facilities 0
ota disbursements A. + B.3 + C + D)E,439,924
IV. LOCAL HIGHWAY DEBT STATUS
(Show all entries at par)
:)pening Debt Amount Issued Redemptions Closing Debt
A. Bonds Total 2,140,000 200,000 1,940,000
1. Bonds Refundin Portion
B. Notes (Total) 1 0
V. LOCAL ROAD AND STREET FUND BALANCE
A. Beginning Balance
B. Total Recei is
Total Disbursement
D. Endin Balance
E.Reconciliation
1,439 925
1,439 924
0
Notes and Comments:
FORM FHWA-536 (Rev. 1-05)
PKEV1OUS EDITIONS OBSOLETE
F6
(Next Page)
{48A5C 184-EBOE-4A70-ADB5-9B 127D4EB756}.xlsx
PRELIMINARY DRAFT UPDATED 5-7-14
LOCAL HIGHWAY FINANCE REPORT
STATE:
Colorado
YEAR ENDING (mm/yy):
December 2013
1I. RECEIPTS FOR ROAD AND STREET PURPOSES - DETAIL
ITEM
AMOUNT
ITEM
AMOUNT
A.3. Other local imposts:
A.4. Miscellaneous local receipts:
a. Property Taxes and Assessments
80,711
a. Interest on investments
661
b. Other local imposts:
b. Traffic Fines & Penalities
0
1. Sales Taxes
61,892
c. Parkin 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
13,764
g. Other Misc. Receipts
5,972
6. Total 1. through 5.
75,656
h. Other
0
c. Total a. + b.
(Ca
156,368
forward to page 1)
i. Total a. through h.
(Cany
6,633
forward to page 1)
ITEM
AMOUNT
ITEM
AMOUNT
C. Receipts from State Government
1. Highway -user taxes
2. State general funds
3. Other State funds:
44,588
D. Receipts from Federal Government
1. FHWA from Item I.D.5.
2. Other Federal agencies:
a. Forest Service
a. State bond 2roceeds
b. FEMA
b. Project Match
c. HUD
c. Motor Vehicle Registrations
4,343
d. Federal Transit Admin
d. Other (Specify)
e. U.S. Corps of Engineers
e. Other (Specify)
f. Other Federal
£ Total a. through e.
4,343
g. Total a. through f.
0
4. Total 1. + 2. + 3.
48,931
3. Total (1.+ 2.
(Ca
forward to page 1)
11I. DISBURSEMENTS FOR ROAD AND STREET PURPOSES - DETAIL
A.I. Capital outlay:
a. Right -Of -Way Costs
ON NATIONAL OFF NATIONAL
HIGHWAY HIGHWAY
SYSTEM SYSTEM
a b
0 1,768
TOTAL
c
1,768
b. Engineering Costs
c. Construction:
(1). New Facilities
0 8,298
0 0
8,298
0
(2). Capacity Improvements
0 0
0
(3). System Preservation
0 186,740
186,740
(4). System Enhancement & Operation
0 7,009
7,009
(5). Total Construction 1 + 2 + 3
+ 4
0 193,749
193,749
d. Total Capital Outlay Lines l.a. + l.b. + 1.c.5
0 203,815
203,815
(Ca
f ---A.12-222 0
Notes andComments:
FORM FHWA-536 (Rev.1-05) PREVIOUS EDITIONS OBSOLETE
F7
c y_
0 a
s ins a�m��
E
EE
`zB'z o j
r"
E
} X82 dC ✓ .d
Z
o COUNrYY ROAD 12 -
� <�J A A���
m
i
----- ----- -- -
i a
FRASER VALLEYPARKWAY
C. R. 72 CONNECTION
GAGNGN & HAYNE CONSULTNG ENGINEERS
ARY:.
4
2
g
gg a
m
i
----- ----- -- -
i a
FRASER VALLEYPARKWAY
C. R. 72 CONNECTION
GAGNGN & HAYNE CONSULTNG ENGINEERS
ARY:.
Fraser Valley Parkway
CR72 Connection
CR72 Area Ran
OPTION C
'V
ey., 1'"Soor .3. orl:�Ov
PROJECT
Froser Valley Porkw y
SHEET
o
C\I
n
• - ems:.- - _ - �
MIW IBM
IF&
1 r-
�{ L.
M1_ IL
A A06
in I
1
�4
. T
J
L
a1
JAN
r
_ a
= a
. EI°
or INE w
rT
16 -
Amm
91
iso
6.
_�.
_
_ .
i
_ E
.�'
,
.nom
h • �: ' _ A� = t .rte
RIPw—wmw
_
�r®..= r
Fl,
a
'� , w
gt_
p :rs Ei ry
% •.:1w
�� � ■ 117
e _ .
li
E .
ti.Qr NOL 14
L It
Lk
OIL
if
F_
4
E ..
„
1 � � • �r�' � W n _ .
1 3 - _ - 1 s'4r -m ;
e
yNi
-
. 1�
I :
�
Ar A , n 1
6. a r _
lip
AM
•
a.
n Viii e
94
=M1
Aff e
y;
Id
ML F
11
r
Ile-
IL
._ ' .. 9
1 _lu
"
yYm
L
FA
S'
•ti
- 1$6
n
• - ems:.- - _ - �
MIW IBM
IF&
1 r-
�{ L.
M1_ IL
A A06
in I
1
�4
. T
J
L
a1
JAN
r
_ a
= a
. EI°
or INE w
rT
16 -
Amm
91
iso
6.
_�.
_
_ .
i
_ E
.�'
,
.nom
h • �: ' _ A� = t .rte
RIPw—wmw
_
�r®..= r
Fl,
a
'� , w
gt_
p :rs Ei ry
% •.:1w
�� � ■ 117
e _ .
li
E .
ti.Qr NOL 14
L It
Lk
OIL
if
F_
4
E ..
„
1 � � • �r�' � W n _ .
1 3 - _ - 1 s'4r -m ;
e
yNi
-
. 1�
I :
�
Ar A , n 1
6. a r _
lip
AM
•
a.
n Viii e
94
=M1
Aff e
y;
Id
ML F
11
r
Ile-
IL
._ ' .. 9
1 _lu
"
yYm
L
FA
S'
•ti
n
• - ems:.- - _ - �
MIW IBM
IF&
1 r-
�{ L.
M1_ IL
A A06
in I
1
�4
. T
J
L
a1
JAN
r
_ a
= a
. EI°
or INE w
rT
16 -
Amm
91
iso
6.
_�.
_
_ .
i
_ E
.�'
,
.nom
h • �: ' _ A� = t .rte
RIPw—wmw
_
�r®..= r
Fl,
a
'� , w
gt_
p :rs Ei ry
% •.:1w
�� � ■ 117
e _ .
li
E .
ti.Qr NOL 14
L It
Lk
OIL
if
F_
4
E ..
„
1 � � • �r�' � W n _ .
1 3 - _ - 1 s'4r -m ;
e
yNi
-
. 1�
I :
�
Ar A , n 1
6. a r _
lip
AM
•
a.
n Viii e
94
=M1
Aff e
y;
Id
ML F
11
r
Ile-
IL
._ ' .. 9
1 _lu
"
yYm
L
FA
S'
•ti
- 1$6
n
• - ems:.- - _ - �
MIW IBM
IF&
1 r-
�{ L.
M1_ IL
A A06
in I
1
�4
. T
J
L
a1
JAN
r
_ a
= a
. EI°
or INE w
rT
16 -
Amm
91
iso
6.
_�.
_
_ .
i
_ E
.�'
,
.nom
h • �: ' _ A� = t .rte
RIPw—wmw
_
�r®..= r
Fl,
a
'� , w
gt_
p :rs Ei ry
% •.:1w
�� � ■ 117
e _ .
li
E .
ti.Qr NOL 14
L It
Lk
OIL
if
F_
4
E ..
„
1 � � • �r�' � W n _ .
1 3 - _ - 1 s'4r -m ;
e
yNi
-
. 1�
I :
�
Ar A , n 1
6. a r _
lip
AM
•
a.
n Viii e
94
=M1
Aff e
y;
Id
ML F
11
r
Ile-
IL
._ ' .. 9
1 _lu
"
yYm
L
FA
S'
•ti