HomeMy Public PortalAboutTBP 2015-04-15Town Board Briefing
April 15, 2015
Please note that members of the Town Board will have dinner together starting at
5:30pm.
The Board will be having a workshop discussion with the Town's Financial Auditor
between 6:00pm and 7:00pm. This is intended to provide the Board with ample time to
discuss the audit process, the report, or other related matters. The 2014 Audit is being
presented as a draft at this time pending the outcome of this discussion.
The first discussion matter will be formal presentation of the 2014 Audit to the Town
Board. After this discussion concludes, staff would recommend a motion to accept the
2014 Audit.
As you will note in the Audit, our Auditors have recommended that we amend the
signature cards related to our checking accounts such that the only signatures would be
the Town Manager and Mayor. In order to implement that recommendation, we have
provided a resolution for your consideration. The Bank will need confirmation in this
form to remove any signatures from the accounts.
Resolution 2015-03-03 would provide authorization for the Town Manager to enter into a
contract for Geotech services necessary for the Fraser US Highway 40 Project. This
would be coordinated as part of the Project Engineer services that Bowman Land is
providing for the project. Requests for Proposal were distributed and we will be
reviewing the proposals on April 9th. Accordingly, the resolution will need some blanks
filled in prior to action. The cost for these services are included within the project
budget.
As you recall, the Board discussed the process for Economic Development Strategic
Planning at the last two meetings. As noted in the April 1 st meeting minutes, "Members
of the Board concurred on the restructuring of the process whereby the working group
would first meet to define the scope of work after which that scope of work would be
incorporated into a Request for Proposals (RFP). The RFP would be distributed to select
consultants and published to solicit proposals. Upon receipt of proposals the Board
could make a more informed decision. The Board emphasized their interest in an action
orientated approach."
At their April 7th meeting, the Winter Park Town Council decided to continue to move
forward with the proposal to engage RRC and EPS for Economic Development Strategic
Planning. It is my understanding that they appreciate the Fraser Town Board's direction,
but they have relationships with RRC and EPS and are very comfortable working with
them. Further, they are eager to move forward such that any outcomes of this effort
might be included in their 2016 Budget Process. If the Fraser Town Board were to
Town of Fraser
PO Box 370, Fraser, CO 80442 office 970-726-5491 fax 970-726-5518
www.frasercolorado.com
reconsider their direction, the Winter Park Town Council would welcome Fraser's
participation in this process. Finally, they noted that this does not in any way preclude
further collaboration on economic development and other matters. They appointed Barb
Atwater to participate in future working group discussions with Fraser's appointees and
requested staff support of those efforts.
Accordingly, we have placed Economic Development Strategic Planning on the agenda
for further discussion. Additionally, I understand that some Trustees have additional
related matters that they would like to include in the discussion. These include
community outreach and discussions, streetscape projects, Eisenhower Avenue,
targeting full-time residents and downtown revitalization.
Finally, we would like to propose establishment of an Arts Committee or Commission.
See briefing from Catherine Trotter.
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
. �f
7:00
ti
COEORADO
BOARD OF TRUSTEES REGULAR MEETING AGENDA
FRASER TOWN HALL
WEDNESDAY, APRIL 15, 2015 6:00 p.m.
Members of the Board may have dinner together @ 5:30 p.m. - Fraser Town Hall
Workshop - Audit Workshop
2. Roll Call
3. Approval of Agenda
4. Consent Agenda
a) Minutes — April 1, 2015
5. Open Forum
a) Business not on the agenda
6. Public Hearing
7. Discussion and Possible Action Regarding
a) Audit Presentation and Acceptance
b) Resolution 2015-03-02 Directing the Town Manager to Change a
Signature Card
C) Resolution 2015-03-03 Approving a Contract with Geotech for Fraser US
Hwy 40 Improvement Project
d) Economic Development Strategic Planning
e) Arts Committee Establishment
8. Staff Reports
9. Other Business
Upcoming Meetings:
Wed. May 6, 2015
Wed. April 22, 2015
Lu Berner
Lu Berger, Town Clerk
Board of Trustees
Planning Commission
Posted April 9, 2015
C
Town Manager Newsletter
April 9, 2015
Community Matters
The Town of Fraser anticipates a summer filled with construction projects that will affect
not only its residents, those in east Grand County, but summer travelers as well. Work
on County Road 804 (CR 804), installation of two new traffic lanes and signals at the
southern end of Fraser on US Hwy 40 and work to replace and rehab aging sewer lines
in its more established neighborhoods will all take place during the next few months.
While we hope the disruptions are minimal, please understand that these are very
important projects as we work to address a variety of problems. We will post updated
project information on our website (www.frasercolorado.com) as the work progresses.
CR 804 — This road surface is in desperate need
of substantial repairs. Winter Park Ranch Water
and Sanitation District (WPRW&SD) will replace
an existing, very old water main under CR 804
which has caused landslides below the road.
Replacement of the main and service lines will
cause numerous cuts to the asphalt on CR 804.
The project will result in a new asphalt surface
from US Hwy 40 up to the top of the hill. The Town of Fraser and project partners Grand
County and WPRW&SD will host an informational meeting on April 16, 2015 at 7:00 p.m.
at the Fraser Historic Church and Community Center (107 Eisenhower Drive).
Construction updates will be posted on the three entities' websites. The work is expected
to begin during the first week in May.
Lane Additions and Traffic Signals - This
project expands the scope of a grant from the
State to add lanes from King's Crossing Road
in Winter Park to the East Grand Fire Station,
and developer -funded traffic signal
improvements. Signals will be installed where
Rendezvous Road and where First Street
intersect US Hwy 40. Preliminary off-road utility
work has begun.
The highway will remain open throughout the construction, but some delays may occur
at various stages of work. Please exercise patience, caution and compassion for those
working in this construction zone.
Town of Fraser
PO Box 370, Fraser, CO 80442 office 970-726-5491 fax 970-726-5518
www.frasercolorado.com
Sewer Work -The project will replace and repair sewer mains to reduce the sources of
ground water entering the sewer collections system. Ground water infiltration is causing
significant problems at the wastewater treatment plant.
Excavation will take place in the public right of way and in utility easements on some
private property. Minor service interruptions are anticipated. Public informational
meetings will be announced closer to the start of construction so affected property
owners can gain a better understanding of the process.
Finance
The Finance Department has been wrapping up the final _
review of the 2014 audit, and we look forward to the 1
presentation on the 15th. The first quarter billing for utility
services went out last week — this first billing of the New „a
Year is reflective of rate changes adopted by the Board
this past December. Continued efforts are underway for
digitizing records, with a focus on training other
departments and performing consolidation/re-classification and scanning of their
records. We are excited about the presentation of the 2014 audited financial statements
and are now anxious to begin work on the 2016 budget.
Planning
On March 26th in Minturn, Winter Park Town Planner James Shockey and the Fraser
Town Planner presented their request for funding of a portion of the consulting estimate
to update and complete the Grand County Master Plan, Subarea 1 (Winter Park/Fraser).
The request of $62,525 was made to the Northwest Colorado Council of Governments
(NWCCOG) technical assistance grant program. Unfortunately, they only had $18,500
to award and we did not receive any funding.
The Planning Department is very busy with development and
building permit reviews.
The Town Planner is working with the Public Works
Department and Headwaters Trails Alliance (HTA) to get a
work plan in place for trail projects and additional trail signage
in Fraser.
The Department has received one Business Enhancement
Grant application to date. The Town Planner will be hitting the
streets to drum up more interest in the program. All applications will be submitted to the
Board for review at a future meeting.
The Town Planner has received revised submittals for the Byers Peak Wastewater
Treatment Plant (generally located behind the Fraser Valley Center). The office is in the
process of reviewing these submittals.
N
Planning Commission
The Planning Commission met on March 25. We invited
Jessica Ibanez, from Colorado Brick Council, to initiate a
discussion and conduct an educational presentation on design
policy. Fraser currently has design guidelines only in the
Business District. The presentation was emailed to trustees for Jilt
review and is available at the Town Planner's office.
The Commission also discussed parking regulations in the Business District.
The Commission is in receipt of two major subdivision proposals and both have been
scheduled for public hearings at the April 22, 2015 Planning Commission meeting. The
meeting will start at 6:00 PM.
Elk Creek at Grand Park: Grand Park Development LLC, the applicant, is proposing 71
single-family lots to be platted and constructed in five (5) phases on approximately 17
acres.
East Mountain Filing 9: Rendezvous Colorado LLC., the applicant, is proposing 54
single-family attached lots on approximately six acres.
Police
In February, the Fraser/Winter Park Police Department responded to 127 calls for
service in the Town of Fraser, and 200 in the Town of Winter Park. These calls
generated 69 incident reports of which the most significant types are: 11 Disorderly
Conduct/Harassment; 9 Traffic Accidents; 7 Thefts (including 1 Auto Theft); 6 Criminal
Traffic Violations (including 4 DUls); 2 Assaults; 1 Death Investigation. A total of 18
traffic citations were issued, with 9 written in each Town.
Public Works
Our water SCADA (telemetry) system is in need of upgrades
to the programmable logic controllers (PLC) and the Panel
View display screens. A briefing from the Public Works
Department will be submitted to the Board in the near future
requesting the procurement of these required upgrades.
These upgrades are very similar to what the wastewater plant
just made.
The Public Works Department held a bid opening for the
Sanitary Sewer Rehab project on April 2nd. There were a
total of three (3) bids opened with a high bid of $385,692
and the apparent low bid being $146,324. Staff will review
all bids and make a recommendation based on the lowest
responsible, responsive bidder. Staff anticipates bringing
a resolution authorizing the expenditure of budgeted
funds for the project at the next available board meeting.
Bid opening for the Pedestrian Bridge over the Fraser River project was also held by the
department on April 2nd. There were a total of six (6) bids opened with a high bid of
$283,703.50 and the apparent low bid being $140,460. Staff will review all bids and
make a recommendation based on the lowest responsible, responsive bidder. Staff
anticipates bringing a resolution authorizing the expenditure of budgeted funds for the
project at the next available board meeting.
Last week staff placed the eight (8) sanitary sewer flow
meters (iTrackers) in targeted inflow and infiltration locations j
in the collection system. 14 - I�
Staff is preparing for annual collection system Na cleaning, video maintenance and inspections. This willbe year 2 of our 3 -year rotation. A staff briefing
requesting approval for these budgeted expenditures
will be presented at a Town Board meeting soon.
The street sweeper has been out of commission for the last week and a half following
some health issues. It is back up on its tires and sweeping again!
Crack sealing operations have been moved from June to mid-September. This is a trial
run.
The Department is reviewing several applications for the seasonal gardening and
seasonal utility maintenance laborer positions.
We are finalizing the review of engineering RFP's for a recommendation.
The Department is planning its summer work schedule for trail improvements and
maintenance projects.
Water and Wastewater Committee
Due to limited availability of Committee members, the Water/Wastewater Committee
meeting on April 14 has been cancelled. Our next meeting is scheduled for May 12.
For Further Information
Please feel free to contact me
Jeff Durbin
970-726-5491 x202
jdurbin(c�town.fraser.co.us
E
FRASER BOARD OF TRUSTEES
MINUTES
DATE: Wednesday, April 1, 2015
MEETING: Board of Trustees Regular Meeting
PLACE: Fraser Town Hall Board Room
PRESENT
Board: Mayor Pro -Tem Philip Vandernail; Trustees; Eileen Waldow, Katie Soles,
Cody Clayton Taylor, Andy Miller and Jane Mather
Staff: Town Manager Jeff Durbin; Town Clerk, Lu Berger; Town Attorney Rod
McGowan Police Chief, Glen Trainor,
Others: See attached list
Mayor ProTem Vandernail called the meeting to order at 6:04 p.m.
1. 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)
regarding a pending liquor license and to include Town Attorney McGowan, Town
Manager Durbin, and Town Clerk Berger.
Trustee Taylor moved, and Trustee Soles seconded the motion to enter executive
session. Motion carried: 6-0.
Enter: 6:06 p.m.
Exit: 6:37 p.m.
Attorney's Opinion Required by C.R.S. 24-6-402(2)(d.5)(II)(B).
As the attorney representing the Town of Fraser, I am of the opinion that the entire
Executive Session, which was not recorded, constituted a privileged attorney-client
communication.
Rod McGowan, Town Attorney
Trustee Mather moved, and Trustee Miller seconded the motion to exit executive
session. Motion carried: 6-0.
2. Regular Meeting: Roll Call
3. Approval of Agenda:
Trustee Waldow asked the minutes be moved to discussion.
Page 2 of 4
Trustee Soles moved, and Trustee Mather seconded the motion to approve the
Agenda. Motion carried: 6-0.
4. Consent Agenda:
a) Minutes — March 18, 2015
Minutes moved to a discussion item.
5. Open Forum:
6. Public Hearinas:
a) Rocky Mountain Moonshine Liquor License
The Board of Trustees, sitting as the Fraser Local Liquor Licensing Authority, conducted
the following proceedings concerning the application of The Icebox, LLC for a retail
liquor store license.
Trustee Taylor moved, and Trustee Soles seconded the motion to open the public
hearing on Rocky Mountain Moonshine Liquor License. Motion carried: 6-0.
TA McGowan briefed the Board on the liquor license public hearing procedure and
exhibits were entered into the record.
Trustee Waldow moved and Trustee Mather seconded the motion to accept the exhibits
into the record. Motion carried: 6-0.
Rocky Mountain Moonshine Inc. has held a retail liquor store license at 76827 US Hwy
40, since June 21, 2000. Due to a failure to renew their license and it subsequent
expiration, RMM was required to submit an application for a new retail liquor store
license. The application was submitted, along with the appropriate fees. The application
was forwarded to the State for concurrent review.
Staff is recommending approval of Resolution 2015-03-01, approving the application of
Rocky Mountain Moonshine Inc., for a new retail liquor store license for the premises at
76827 US Hwy 40, Fraser, CO 80442.
Scott Emery, owner of Rocky Mountain Moonshine Inc. addressed the question of needs
and desires regarding the retail liquor store application.
Trustee Taylor moved, and Trustee Soles seconded the motion to close the public
hearing on Rocky Mountain Moonshine Liquor License. Motion carried: 6-0.
7. Discussion and Possible Action Reqardinq:
a) Resolution 2015-03-01 Approving the Rocky Mountain Moonshine Liquor License
Page 3 of 4
Trustee Mather moved, and Trustee Taylor seconded the motion to approve Resolution
2015-03-01 Approving the Rocky Mountain Moonshine Liquor License. Motion carried:
6-0.
Vandernail — Aye
Miller — Aye
Taylor — Aye
Mather - Aye
Soles - Aye
Waldow — Aye
TA McGowan was excused from the meeting.
b) Winter Park Fraser Valley Chamber of Commerce Update
Catherine Ross, Executive Director of the Chamber addressed the Board on the
upcoming summer event season.
C) Economic Development Planning Strategy
Catherine Ross, Executive Director of the Chamber, briefed the Board regarding the
Economic Development Planning Strategy proposal.
Clark Lipscomb, Jack Van Horn and Herb Meyring spoke in favor of moving forward with
an Economic Development Plan, focused on action as opposed to study.
Jack Van Horn also noted that the "us vs them" approach needs to change because we
are all losing.
Members of the Board concurred on the restructuring of the process whereby the
working group would first meet to define the scope of work after which that scope of
work would be incorporated into a Request for Proposals (RFP). The RFP would be
distributed to select consultants and published to solicit proposals. Upon receipt of
proposals the Board could make a more informed decision. The Board emphasized their
interest in an action orientated approach.
Trustee Miller moved and Trustee Soles seconded the motion to appoint Trustee
Mather and Mayor Pro Tem Vandernail to the Economic Development Planning Strategy
Committee. Motion carried: 6-0.
d) Town Board Retreat — discussion took place before the meeting, after the
executive session. Retreat will be planned for fall 2015.
e) Minutes — March 18, 2015
Amend the minutes to add the Fraser Town Board to the 1st paragraph of 6b and remove
the 2nd paragraph of 6b.
Trustee Waldow moved, and Trustee Mather seconded the motion to approve the
minutes as amended. Motion carried: 6-0.
8. Other Business:
Page 4 of 4
Trustee Soles moved, and Trustee Taylor seconded the motion to adjourn. Motion
carried: 6-0. Meeting adjourned at 9:10 p.m.
Lu Berger, Town Clerk
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M C M MAHAN AND ASSOC SIATE, L.L.C. DRAFT
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) 645-8 1 08
P.O. BOX 5850, AVON, CO 6 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, 2014.
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 (- at December 31, 2014)
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
Page 2
Disagreements with Management
DRAFT
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, 2014, 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:
Se_prepation 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 not considered significant deficiencies and not material
weaknesses.
Town of Fraser
Page 2
DRAFT
Conflicting Duties Compensating Controls
Disbursements Function:
The Town's Finance Director and 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 (and utilities administrator)
has 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 and Finance
Director currently have access to adjust
customer accounts and also receive cash for
excise tax collections. This causes risk to the
Town that excise tax cash receipts may be
misappropriated.
Recommendation:
Ensure that the Town Board, Finance Director
and management team are continuing to
provide the oversight detailed as
compensating controls.
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. She also has access to the full
transaction cycle, with the exception of access
to check stock.
The Town Board and the management team
review financial activity of the Town.
The Finance Director reviews all work
performed by the Utility Administrator monthly,
including review and approval of void and
adjustment reports to customer billings.
Excise tax payment totals are verified by both,
the Finance Director and Utilities
Administrator, and all payments are reconciled
to the State Sales Tax reports.
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.
March 20, 2015
MEMO TO: Mayor Smith and the Board of Trustees
FROM: Nat Havens. Finance Manager
DATE: April 15, 2015
SUBJECT: 2014 Audited Financial Statements
MATTER BEFORE BOARD: At the April 15th Fraser Town Board meeting the audited 2014
Financial Statements will be presented by Paul Backes, CPA, of McMahan and Associates.
During the Board's workshop, and in addition to the auditor's dialogue of the process and
outcomes, a discussion of the "Letter to the Governing Board" and the Management's
Discussion and Analysis (MD&A) will be reviewed.
ACTION REQUESTED: The Board will be asked to accept the audited financial statements as
presented, by a motion to accept.
EXECUTIVE SUMMARY: The Town of Fraser is required to have an independent firm audit its
financial statements on a yearly basis. The annual audit of the Town's financial statements
occurred during the week of February 9th in accordance with auditing standards generally
accepted in the United States. An audit was performed to obtain audit evidence about the
amounts and disclosures in the financial statements provided by the Town. The outcome of the
audit was a determination that the financial statements of the Town present fairly, in all material
respects, the respective financial positon of the Town as of December 31. 2014.
BACKGROUND: Colorado Audit Law Requirements: The Local Government Audit Law
(Section 29-1-601 et seq., C.R.S.) requires Colorado local governments to have an annual audit
of their financial statements. The law states that the audit must be performed by an independent
Certified Public Accountant (CPA) and be in accordance with generally accepted auditing
standards.
ALTERNATIVES: The presentation of the 2014 Audited Financial Statements is a "presentation
of fact" so inherently the audit cannot be disputed — except factually.
RECOMMENDATION: It is staff's recommendation that the audit be accepted as presented.
Town of Fraser
PO Box 370, Fraser, CO 80442 office 970-726-5491 fax 970-726-5518
www.frasercolorado.com
Town of Fraser
Fraser, Colorado
Financial Statements
December 31, 2014
Town of Fraser, Colorado
Financial Report
December 31, 2014
Table of Contents
Page
INDEPENDENT AUDITOR'S REPORT
Al —A2
Management's Discussion and Analysis
B1 — B11
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 RevegvesAExpenses and Changes in Net Assets -
Enterprise Fund
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
Town of Fraser, Colorado
Financial Report
December 31, 2014
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
Supplementary Information:
Schedule of Revenues, Expenditures and Changes in Fund
Budget (GAAP Basis) and Actual
Debt Service Fund
Capital Projects Fund - Capital Equipment Replacement Fund
Schedule of Revenues, Expenditures and Changes in Net Assets -
Budget (Non -GAAP Basis) and Actual With Reconciliation to GAAP Basis
Enterprise Fund - Water Fu
Enterprise Fund - Waste r F
Agency Fund
Annual Sched
and Streets
ExMhditures for Roads, Bridges
Page
E3
E4
F1
F2
F3
F4
F5
F6 — F7
M MCMAHAN AND ASSOCIATES, L. L.C.
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, 2014, 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, 2014, 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
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.
March 20, 2015
A2
MANAGEMENT'S DISCUSSION AND ANALYSIS
Town of Fraser, Colorado
Management's Discussion and Analysis
December 31, 2014
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, 2014.
The Town provides a high level of local government service and availability to the community including
operation of the Town's water and wastewater systems, a public works department that provides for street
maintenance, snow removal and management, park and open space preservation, public building and
facility management and maintenance. Our planning department provides support for both our
business/economic sectors in addition to community development support, all while maintaining our small
town character in the bigger mountain resort community that we are a part of. The Town currently acts as
the manager of the Upper Fraser Valley Wastewater Treatment Facility — providing both the operational
expertise and financial management of the facility for the three mem Iorganizations who share the
plant. In addition the Town participates in a joint Fraser/Winter Par ice Department and a joint Winter
Park/Fraser/Granby Building Services Department.
Overview of the Financial Statements
This discussion and analysis is intended to serve as a odu to the Town's basic financial
statements. The Town's basic financial statements inclu ehree 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*ic financial statements.
Government -wide financial statements: The government-�nah 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
Governmental funds: Governmental funds are used to account for essentially the same functions
reported as governmental activities in the government -wide financial statements. However, unlike the
government -wide financial statements, governmental fund financial statements focus on near-term inflows
and outflows of spendable resources, as well as on balances of spendable resources available at the end
of the fiscal year. Such information may be useful in evaluating a government's near-term financing
requirements.
Because the focus of governmental funds is narrower than that of the government -wide financial
statements, it is useful to compare the information presented for governmental funds with similar
information presented for governmental activities in the government -wide financial statements. By doing
so, readers may better understand the long-term impact of the government's near-term financing
decisions. The expenditures and changes in fund balances provide a reconciliation to facilitate this
comparison between governmental funds and governmental activities. The fund financial statements for
the governmental funds are shown on pages C3 and C5.
The Town's Budget includes the following governmental funds:
• General Fund (GF), which provides for the general functions and services such as
administration, planning, law enforcement, streets and properties.
• Conservation Trust Fund (CTF), which is funded by lottery proceeds and provides for open
space and recreational capital projects.
• Capital Equipment Replacement Fund (CERF), which provides for vehicle and heavy
equipment purchases.
• Capital Asset Fund (CAF), which is intended to fund long term maintenance of capital assets
(streets, buildings, parks, trails, etc).
• Debt Service Fund (DSF), which provides for debt service payments.
• Fraser River Enhancement Project (FREP) Fund, which was utilized for the Fraser River
Enhancement Project to provide transparency and accountability for the project.
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.
The Town's Budget includes the following enterprise funds:
• Water Fund (WF), an enterprise fund for the Town's water utility.
• Wastewater Fund (WWF), an enterprise fund for the Town's wastewater utility.
• Joint Facilities Fund (JFF) O&M and the Joint Facilities Fund CRR, both of which provide for
operations and capital projects at the Wastewater Treatment Plant.
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.
AN
Overview of the Financial Statements (continued)
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 75% of the total assets of
$41,161,616. 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. In 2014 the General Fund had a $166,378 expenditure (investment in
capital) for the construction in progress related to the RAMP project, and another $63k invested in
building and equipment capital additions. The Town is showing on the following chart restricted assets to
its net position: $837,338 will be spent on the 2015 RAMP project, and $15.6k which will be added to the
roughly $200k in the forms of a GOCO Grant and matching general fund expenditures towards the
Fraser River Bridge project.
Government -wide Fund Analysis
Financial Highlights
• On a short term view, the Town's governmental fund balances increased by $859,306 in 2014.
The Town's General Fund's fund balance increased $718,974.
This very positive statement needs further discussion for the reader to have a complete
understanding of its meaning. The "governmental funds" would include the Town's General Fund
(GF) ((included in the GF is the Town's Capital Asset Fund (CAF)), the Debt Service Fund (DSF),
Conservation Trust Fund (CTF), and the Capital Equipment Replacement Fund (CERF)).
On the aggregate and in addition to the GF's increase, the other balances represent DSF =
$129,210, reserved for debt service payments and catastrophic street repairs, CTF = $15,602 all
of which has been earmarked for the 2015 Fraser River Trail Bridge Project ($10k was a grant
from Grand County towards this project) and the CERF had a decrease in fund balance of
($5,007). The GF increase in fund balance relates to a positive cash basis balance at year end
2014 and in addition a large liability of nearly $670k which will be expensed fully in 2015 for the
RAMP project.
The majority of the fund balance increase was from grants and contributions to projects from
outside entities — these dollars will be expensed in 2015. The DSF did add to its fund balance,
from dollars collected above the cost of the year's bond payments, and the General Fund had
positive cash flow of roughly $135k in 2014.
• On a long-term view (including depreciation and excluding capital outlay, etc.) the Town had a 1 %
($499,180) increase in net position from $38,709,645 to $39,208,825.
"Net Position" for the Town refers to both the governmental and business -type (Water Fund (WF)
and Wastewater Fund (WWF)) activities. Again when you drill down on the Statement of
Activities (pg. C2) you will gain a better understanding of where the 1 % increase is derived. In
actuality the business -type activities (WF & WWF) had a decrease in net position of nearly -
$200k, while the governmental activities had a positive balance of nearly $700k — but remember
what that is related too. Contributions for both operating and capital are comprised of $213,077 is
a combination of reimbursable professional services of $178,944 (which had a corresponding
expense line item) along with $34,660 in Misc. Revenue. The other operating grant of $44,896 is
the Town's share of Highway User Tax Proceeds (a revenue share -back from the State from gas
tax based upon a municipalities road miles) — this revenue is accounted for in the CERF, and in
addition to GF transfers is how the Town purchases its Public Works fleet and heavy equipment
along with public safety vehicles.
Am
Government -wide Fund Analysis (continued)
Financial Highlights (continued)
The "long-term" view includes depreciation expense. On page D5 you will see the schedule the
Town uses to depreciate its assets. On pages D14 - D15 you will seethe corresponding
schedules for depreciation and additions to capital investments. It's important to review the
depreciation schedule and compare it to the age of the assets being depreciated. Streets were
depreciated in an amount exceeding half a million dollars and are currently aged at over fifteen
years with very little investment in the road surface, and with no designated revenues or reserves
associated with this asset. Water and wastewater systems were depreciated at over eight
hundred thousand dollars with over half a million of that depreciation relating to underground
utilities. Over half the Town's underground utilities have exceeded their depreciation life cycle —
again with no designated revenue streams and minimal if any reserves set-aside. Swift and
adequate measures related to reserve policies will be required to allow the Town to meet its
obligations for safe, reliable and sustainable water and wastewater systems as well as community
streets. The Town continues to allow for additional growth in utilities and streets yet the issue of
the cost of maintenance as reflected by service fees remains a community concern.
The Town's restricted net position has changes as follows:
M
Balance
Balance
1/1/14
Additions Deletions
12/31/14
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
RAMP Local Agency Match
-
38 -
837,338
Debt Service Fund reserves:
Next year's payments
0
- -
300,000
Conservation Trust Fund
15,602 -
16,495
Wastewater Fund
Operating reserve
45,739
1,182 -
46,921
Capital replacement reserve
815,582
4,624 (59,277)
760,929
$ 1,384,019
$ 858,746 $ (59, 277)
$2,183,488
M
The following shows the Town's net position for 2014:
Town of Fraser's Net Position
Governmental Business -type
Activities Activities
Total
2014 2013 2014 2013 2014
Assets:
2013
Current and other assets
$ 5,231,395
4,358,351
5,067,379 4,521,659
10,298,774
8,880,010
Capital assets
10,019,549
10,482,297
20,843,293 21,588,676
30,862,842
32,070,973
Total Assets
15,250,944
14,840,648
25,910,672 26,1 10,335
41 ,161 ,616
40,950,983
Liabilities:
Other liabilities
113,863
107,354
20,915 26,718
134,778
134,072
Long-term liabilities
outstanding
1,515,130
1,810,321
- -
1,515,130
1,810,321
Total Liabilities
1,628,993
1,917,675
20,915 26,718
1,649,908
1,944,393
Deferred Inflows of Resources:
Unavailable revenue
302,356
296,945
- -
302,356
296,945
Total Deferred Inflows
of Resources
302,356
296,945
- -
302,356
296,945
Net Position:
Invested in capital assets
8,504,419
8,671,976
20, 21,588,676
29,347,712
30,260,652
Restricted
1,375,638
522,698
80 861,321
2,183,488
1,384,019
Unrestricted
3,439,538
3,431,35
238,6 3,633,620
7,678,152
7,064,974
Total Net Position
$13,319,595
12,626,02857
26,083,617
39,209,352
38,709,645
Government -wide
Financial Analysis
(continued)
At the end of the current fiscal year, the Town is able to report positive balances in
all three categories of
net position, both for the government as a whole, as
well as for its separate governmental
and business -
type activities.
The following chart
is a summary
of the Town's Change in Net Position:
M
Town of Fraser's Change in Net Position
Governmental Business -type
Activities Activities Total
2014 2013 2014 2013 2014
2013
REVENUES:
Program revenues:
Charges for services $ 62,273 34,494 1,495,863 1,327,761 1,558,136
1,362,255
Operating grants
and contributions 258,500 344,949 4,889 12,405 263,389
357,354
Capital grants
and contributions 837,338 41,837 120,000 185,000 957,338
226,837
General revenues:
Property taxes 276,731 298,658 - - 276,731
298,658
Sales and Use taxes 1,970,700 1,848,144 - - 1,970,700
1,848,144
Other taxes 78,712 74,219 - - 78,712
74,219
Interest and other revenue 47,994 44,311 12,429 16,224 60,423
60,535
Total Revenues 3,532,248 2,686,612 1,633,181 1,541,390 5,165,429
4,228,002
EXPENSES:
General government 992,157 980,819 - - 992,157
980,819
Culture and recreation 64,295 57,202 - - 64,295
57,202
Public safety 421,100 424,376 - - 421,100
424,376
Public works 1,295,480 1,445,645 - - 1,295,480
1,445,645
Interest 85,649 94,464 - 85,649
94,464
Water - 873, 815,110 873,477
815,110
Wastewater - - 933,564 874,922 933,564
874,922
Total Expenses 2,858,681 3,002,506 807,041 1,690,032 4,665,722
4,692,538
Change in Net Position
Before Transfers 673,567 (31 4) (173,860) (148,642) 499,707
(464,536)
Transfers in (out) 20,000 (20,000) (20,000) -
-
93, 95,894) (193,860) (168,642) 499,707
Change in Net Position 6935112,62,&
(464,536)
Net Position -Jan 1 12,6 ,10% 1 922 26,083,617 26,252,259 38,709,645 39,174,181
Net Position - December 31 $13,319,595 2,6 28 25,889,757 26,083,617 39,209,352 38,709,645
Governmental activities: Govern tal activities increased the Town's net position by $693,040 during
2014, as compared to a decr s et position of $295,894 during 2013. The following are the major
elements of the change in ne ion from December 31, 2013 to December 31, 2014:
• Sales and use tax revenue increased. The Town's sales tax revenues continue to rebound from
the economic downturn of 2008-2009. The increase occurred despite the sale and subsequent
closing of the Kentucky Fried Chicken/Taco Bell fast food restaurant and a five month closure of
the Pinnacle Lodge as it sold and was re -badged and upgraded to a Holiday Inn Express. At the
end of 2014 one of our largest businesses, ALCO, became a victim of the Duckwall/Alco
bankruptcy case; the Fraser store location closed its doors for good at the end of February 2015.
The Town reduced its projected sales tax revenues for the 2015 budget.
0
Government -wide Financial Analysis (continued)
The Town also saw an increase in building activity in 2014 resulting in higher than budgeted "Use
Tax on Building Materials". The Town maintains a conservative philosophy on budgeting "one-
time" revenues. The Town expects significant Use Tax revenues in 2015 receipts, but still
maintained a conservative budget amount.
• There was a large increase in capital grants due to local agency match RAMP funds received.
These are included in restricted fund balance in the General Fund. As discussed earlier a
significant increase in the Town's net position is due to funds received for projects which we had
anticipated completing in 2014 but due to funding and bid timing, these projects will be completed
in 2015. Both projects, RAMP and the Fraser River Bridge projects will enhance quality of life
and will be economic drivers for the community.
The following is a graph of the Town's governmental activities revenues by source for 2014. The Town
continues to be challenged by its dependence on the very volatile resort based sales tax revenues.
Fortunately the Town has the community's grocery and hardware stores within its municipal boundaries.
The Town will continue to help the local business community attract and develop a more varied mixture of
vendors armealinq to both the communitv's residents and its resort willbotioners.
Otherl
2%
Sales and
569
Interestand other Chargesfor ra Grants
The following is a graph (A
)ital Grants and
-ontributions
(cluding assets)
24%
'rope rty Taxes
8%
TowIff governmental activities expenditures by function for 2014.
Interest
3%
4
Public works
45%
General
government
15%
Public safety
M
15%
Culture and
recreation
2%
Government -wide Financial Analysis (continued)
Business -type activities: Business -type activities decreased the Town's net position by $193,860. Key
elements of this decrease are as follows:
• Depreciation expense on capitalized assets of $825,903 accounted for 46% of total operating
expenses.
In 2008 the Town created the Capital Asset Fund (CAF) to account for the all future year
associated costs related to all capital expenditures. As an example when the "Goranson Station"
pocket park was created on the Town owned property in 2013/2014 not only did we have the
initial expense but like all capital assets there will be yearly maintenance and improvement costs
associated with the park. Even though the Town has yet to identify and establish revenue
streams for its CAF - the fund is currently funded on a per project basis versus the goal of
sustainable funding for the CAF to show the future liabilities of the Town. In addition the Mayor
and the Board of Trustees of the Town anticipate improving the reserve policies of its
governmental funds and the water and wastewater funds in 2015 setting new policy and funding
projections.
The following is a graph of the business -type revenues by sourc4e-4.
Capital Grants
and Interestand
Operating Grants Contributions ^other revenue
/ o
&Contributions .7% 1
_ /0
0%
The following is a graph of
services
92%
ss -type expenses by function for 2014.
_ Personnel
/ 23%
Depreciation
46%
Commodities
10%
System Contractual
development and 18%
other
3%
0
Financial Analysis of the Town's Funds
As mentioned on page B2 of this analysis, the Town uses fund accounting to ensure and demonstrate
compliance with finance -related legal requirements.
Governmental funds: The focus of the Town's governmental funds is to provide information on near-
term inflows (revenues), outflows (expenditures), and balances of spendable resources. Such
information is useful in assessing the Town's financing requirements. In particular, fund balance may
serve as a useful measure of a government's net resources available for spending at the end of the fiscal
year.
As of the end of the current fiscal year, the Town's governmental funds reported combined ending fund
balances of $4,831,784; the funds increased $858,779 from the prior year's ending balances. The
Town's governmental fund balances for 2014 and the past two years are graphed as follows:
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
Debt SeOWund M ■ 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.
m
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:
$ 220,700
Sales & use taxes
Conservative budgeting with an increase in housing starts.
Sales tax increased 5% from prior year.
(1,280,638)
Other revenue
Budgeted entire RAMP Grant, but only received local agecy match
in 2014. Expect to receive federal grant funds from CDOT in 2015.
Expenditures:
General Government:
101,730
Town board comm enhanc.
Economic Development grants not expensed in 2014.
(37,593)
Other purchased services
Reimbursable professional services were more than expected.
Public Works
27,890
Other purchased services
Budgeted for more engineering fees than actual.
94,008
Property management
Fraser River Bridge Project funding delayed. Will start in 2015.
2,097,939
Capital outlay
RAMP project budgeted but only started. Will complete in 2015.
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 currentfl I y wn had $1,532,265 in long-term
obligations. This includes obligations for sales an ax revenue bonds, general obligation bonds
capital leases and accrued compensated absences. The Town anticipates paying off its bonded debt in
2017. 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 $1,848,144 in 2013 to $1,970,700 in
2014. The following ch,4 indicates changes in the taxes collections:
2,000,000
1,900,000
1,800,000
1,700,000
1,600,000
1,500,000
2012 2013 2014
■Sales and Use Taxes
The Town's 2014 sales and use tax collections increased over the past years. The 2015 five percent
increase in sales tax receipts represent the second largest year of collections in Town history.
am
Next year's budget and rates: The Town's General Fund balance at the end of the current fiscal year
was $3,804,297. The Town's 2015 budget anticipates decreasing the General Fund balance by
$1,060,088. It is anticipated that this budgeted reduction in fund balance will decrease by year end due
to under spending budgeted amounts as well as surpassing revenue projections.
Request for Information
This financial report is designed to provide a general overview of the Town's finances for all those with an
interest in the government's finances. Questions concerning any of the information provided in this report
or requests for additional financial information should be addressed to the Town of Fraser, Finance
Manager, P.O. Box 120, Fraser, Colorado 80442-0120.
B11
GOVERNMENT -WIDE FINANCIAL STATEMENTS
Town of Fraser, Colorado
Statement of Net Position
For the Year Ended December 31, 2014
Governmental Business -type
Activities Activities Total
Assets:
Cash and investments - Unrestricted 4,265,759
Cash and investments - Restricted 300,000
Cash with County Treasurer -
Accounts, taxes, and interest receivables 662,774
Due from fiduciary fund -
Prepaid expenses 2,862
Capital assets, net 10,019,549
Total Assets 15,250,944
Liabilities:
Accounts payable
84,928
Due to fiduciary fund
11,800
Other liabilities
-
Accrued compensated absences
1 135
Non-current liabilities due within one year
222
Non-current liabilities due longer than one year 1,202,908
Total Liabilities
1,628,993
Deferred Inflows of Resources:
Unavailable revenue - property taxes
302,356
Total Deferred Inflows of Resources
302,356
Net Position:
Net investment in cap
Restricted
Unrestricted
Total Net Position
8,504,419
1,375,638
3,439,538
13,319,595
3,887,768
12,504
363,606
803,501
20,843,293
25,910,672
11,400
9,515
20,915
20,843,293
807,850
4,238,614
25,889,757
The accompanying notes are an integral part of these financial statements.
C1
8,153,527
300,000
12,504
1,026,380
803,501
2,862
30,862,842
41,161,616
84,928
11,800
11,400
26,650
312,222
1,202,908
1,649,908
302,356
302,356
29,347,712
2,183,488
7,678,152
39,209,352
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
Town of Fraser, Colorado
Statement of Activities
For the Year Ended December 31, 2014
Charges for
Expenses Services
992,157 62,273
64,295 -
421,100 -
1,295,480 -
85,649 -
2,858,681 62,273
873,477 785,964
933,564 709,899
1,807,041 1,495,86
4,665,722 1,558,
General revenues:
Taxes:
Property tax
Specific ownership t
General sales and use
Franchise tax
Other miscellaneous taxes
Investment earnings
Miscellaneous
Transfers to (from)
Total general revenues and transfers
Change in Net Position
Net Position - Beginning of Year
Net Position - End of Year
The accompanying notes are an integral part of these financial statements.
C2
Net (Expense) Revenue and
ogram Revenues
Changes in Net Position
Operating
Capital
Grants and
Grants and
Governmental
Business -type
Contributions
Contributions
Activities
Activities
Total
213,604
(716,280)
-
(716,280)
-
-
(64,295)
-
(64,295)
-
-
(421,100)
-
(421,100)
44,896
37,338
(413,246)
-
(413,246)
-
-
(85,649)
-
(85,649)
2 8,500
837,338
(1,700,570)
-
(1,700,570)
,5N
-
-
(82,949)
(82,949)
2
120,000
-
(103,340)
(103,340)
4,
120,000
-
(186,289)
(186,289)
957,338
(1,700,570)
(186,289)
(1,886,859)
276,731
-
276,731
15,009
-
15,009
1,970,700
-
1,970,700
55,006
-
55,006
8,697
-
8,697
4,816
12,429
17,245
43,178
-
43,178
20,000
(20,000)
-
2,394,137
(7,571)
2,386,566
693,567
(193,860)
499,707
The accompanying notes are an integral part of these financial statements.
C2
FUND FINANCIAL STATEMENTS
Town of Fraser, Colorado
Balance Sheet
Governmental Funds
December 31, 2014
The accompanying notes are an integral part of these financial statements.
C3
Capital
Total
Debt
Conservation
Equipment
Governmental
General
Service
Trust
Replacement
Funds
Assets:
Cash and investments -Unrestricted
3,540,119
245,644
6,495
462,218
4,264,476
Cash and investments - Restricted
-
300,000
-
-
300,000
Cash with County Treasurer
986
296
-
-
1,282
Receivables
8,521
-
-
8,521
Prepaid expenses
2,862
-
-
-
2,862
Due from other governments
373,687
-
3,360
377,047
Property tax receivable
197,206
8 ,
-
-
277,206
Total Assets
4,123,381
625,9
16,495
465,578
5,231,394
Liabilities and Fund Equity:
Liabilities:
Accounts/vouchers payable
84,9
-
-
-
84,927
Due to fiduciary fund
11,800
-
-
-
11,800
Other liabilities
25,150
-
-
-
25,150
Total Liabilities
121,877
-
-
-
121,877
Deferred Inflows of Resources:
Unavailable revenue - property taxes
197,206
80,000
-
-
277,206
Total Deferred Inflows of Resources
197,206
80,000
-
-
277,206
Fund Balances:
Unspendable
11,383
-
-
-
11,383
Spendable
Restricted
1,059,143
300,000
16,495
1,375,638
Committed
-
245,940
-
245,940
Assigned
1,810,088
-
-
465,578
2,275,666
Unassigned
923,684
-
-
923,684
Total Fund Balances
3,804,298
545,940
16,495
465,578
4,832,311
Total Liabilities, Deferred Inflows
of Resources and Fund Balances
4,123,381
625,940
16,495
465,578
5,231,394
The accompanying notes are an integral part of these financial statements.
C3
Town of Fraser, Colorado
Reconciliation of Governmental Fund Balance to Governmental
Activities Net Position
December 31, 2014
Amounts reported for governmental activities in the
Statement of Net Position are different because:
Governmental Fund Balance 4,832,311
Capital assets used in governmental activities are not financial
resources and, therefore, are not reported in the funds. 10,019,549
Long-term liabilities are not due and payable in the current period
and, therefore, are not reported in the funds. (1,532,265)
Net Position of Governmental Activities 13,319,595
The accompanying notes are an integral part of these financial statements.
C4
Town of Fraser, Colorado
Statement of Revenues, Expenditures and Changes in Fund Balances
Governmental Funds
For the Year Ended December 31, 2014
Expenditures:
General government
950,749
-
-
Capital
Total
Public safety
406,188
Debt
Conservation
Equipment
Governmental
Public works
General
Service
Trust
Replacement
Funds
Revenues:
16,568
-
-
-
16,568
Taxes
2,241,573
84,570
-
-
2,326,143
Licenses and permits
42,469
-
-
-
42,469
Charges for services
19,805
-
-
-
19,805
Intergovernmental revenue
10,000
-
15,595
44,896
70,491
Investment income
3,667
595
7
550
4,819
Miscellaneous
1,062,362
-
-
-
1,062,362
Total Revenues
3,379,876
85,165
15,602
45,446
3,526,089
Expenditures:
General government
950,749
-
-
-
950,749
Public safety
406,188
-
-
-
406,188
Public works
667,559
-
-
-
667,559
Culture and recreation
16,568
-
-
-
16,568
Debt service
38,374
300,994
-
45,418
384,786
Capital outlay
242,061
-
-
25,035
267,096
Total Expenditures
2,321,499
300,9 -
70,453
2,692,946
Excess (Deficiency) of Revenues
Over Expenditures
1,058,377
9
15,602
(25,007)
833,143
Other Financing Sources (Uses):
Transfers in (out)
(34
039
-
20,000
20,000
Sale of assets
,163
-
-
-
6,163
Total Other Financing
Sources (Uses)
(338,876)
4'5,039
-
20,000
26,163
Excess (Deficiency) of Revenues and OthN19,501
Financing Sources Over Expenditures
and Other Financing (Uses)
129,210
15,602
(5,007)
859,306
Fund Balances - Beginning of Year 3 84,797
416,730
893
470,585
3,973,005
Fund Balances - End of Year
804,298
545,940
16,495
465,578
4,832,311
The accompanying notes are an integral part of these financial statements.
C5
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, 2014
Net Change in Fund Balances of Governmental Funds
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.
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.
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. 4&
Change in Net Position o#,Gove
The accompanying notes are an integral part of these financial statements.
C6
859,306
(462,748)
1,819
295,190
693,567
Town of Fraser, Colorado
Statement of Net Position
Enterprise Funds
For the Year Ended December 31, 2014
Assets:
Current assets:
Cash and cash equivalents
Utility receivables
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 ld�
Net Position:
Net investment in capita
Restricted
Unrestricted
Total Net Position
Water
Fund
1,052,573
183,448
6,781
1,242,802
100,
191
14,636,498
4,315,594)
10,794,674
N7,476
11,400
11,400
Wastewater
Fund
2,835,195
180,158
803,501
5,723
3,824,577
144,320
98,106
14,411,701
,605,508)
0,048,619
13,873,196
Total
Enterprise
Funds
3,887,768
363,606
803,501
12,504
5,067,379
244,320
19,776
452,100
29,048,199
(8,921,102)
20,843,293
25,910,672
11,400
11,400
4,746 4,769 9,515
16,146 4,769 20,915
10,794,674 10,048,619
- 807,850
1,226,656 3,011,958
12,021,330 13,868,427
The accompanying notes are an integral part of these financial statements.
C7
20,843,293
807,850
4,238,614
25,889,757
Town of Fraser, Colorado
Statement of Revenues, Expenses and Changes in Net Position
Enterprise Funds
For the Year Ended December 31, 2014
Operating Revenues:
Charges for services
Meter sales
Miscellaneous revenue
Total Operating Revenues
Operating Expenses:
Personnel
Commodities
Contractual
System development
Other
Depreciation
Total Operating Expenses
Operating Income (Loss)
Non -Operating Revenues:
Interest revenue
Net Non -Operating Revenues
Income (Loss) before Co
Capital contributions
Transfers (out)
Contributions and Tr;
Change in Net Position
Net Position - Beginning of Year
Net Position - End of Year
Total
Enterprise
Water Wastewater Funds
771,074 707,763 1,478,837
14,890 - 14,890
4,564 2,461 7,025
790,528 710,224 1,500,752
187,641 225,280 412,921
124,002 59,691 183,693
113,152 209,027 322,179
49,138 - 49,138
13,206 13,206
399,544 426,359 825,903
73,477 933,563 1,807,040
I(T2,949) (223,339) (306,288)
3,506 8,922 12,428
3,506 8,922 12,428
ra%;frs (79,443) (214,417) (293,860)
120,000 120,000
(10,000) (10,000) (20,000)
(10,000) 110,000 100,000
(89,443) (104,417) (193,860)
12,110, 773 13, 972, 844
12,021,330 13,868,427
The accompanying notes are an integral part of these financial statements.
C8
26,083,617
25,889,757
Town of Fraser, Colorado
Statement of Cash Flows
Enterprise Funds
For the Year Ended December 31, 2014
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 lob
Cash Flows From Investing Activities:
Interest
Net Cash Provided (Used) by Investing
Net (Decrease) Increase in Cash and Ca
Cash and Cash Equivalents - Beginning
Cash and Cash Equivalents - End of Yei
Reconciliation of Operating Income (Lossy1% 1W
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
763,911
681,224
1,445,135
(3,800)
29,000
25,200
(4,460)
52,594
48,134
(286,292)
(281,924)
(568,216)
(187,010)
(227,254)
(414,264)
282,349
253,640
535,989
282,349
253,640
535,989
(16,637)
(10,000)
(26,637)
-
(21,220)
(21,220)
(31,220) (47,857)
- 120,000 120,000
17,262) (63,258) (80,520)
Ilk (17,262)
NIP
® 3,506
3,506
251,956
800,617
1,052,573
56,742
8,922
8.922
288,084
2,547,111
2,835,195
39,480
12,428
12,428
540,040
3,347,728
3,887,768
(82,949)
(223,339)
(306,288)
399,544
426,359
825,903
(30,417)
-
(30,417)
631
(1,974)
(1,343)
(4,460)
52,594
48,134
365,298
476,979
842,277
282,349
253,640
535,989
The accompanying notes are an integral part of these financial statements.
C9
Assets:
Cash and cash equivalents
Accounts receivable, net:
Total Assets
Liabilities:
Accounts payable
Deposits
Total Liabilities
Net Position:
Held for others
Town of Fraser, Colorado
Statement of Fiduciary Net Position
December 31, 2014
JFOC
Agency
Fund
2,389,882
63,490
2,453,372
23,312
2,430,06
2,453,
The accompanying notes are an integral part of these financial statements.
C10
Town of Fraser, Colorado
Statement of Changes in Fiduciary Net Position
For the Year Ended December 31, 2014
Operating Revenues:
Charges for operations and maintenance costs
Transfer in
Total Operating Revenues
Operating Expenses:
Salaries and Wages
Employee Benefits
Purchased services
Supplies
Utilities
Total Operating Expenses
Operating Income (I
Change in Net Posit
Due to Others - Beg
Due to Others - End
JFOC
Agency
Fund
451,942
154,032
605,974
178,842
56,091
172,502
42,641
155,898
605,974
The accompanying notes are an integral part of these financial statements.
C11
NOTES TO THE FINANCIAL STATEMENTS
Town of Fraser
Notes to the Financial Statements
December 31, 2014
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
Town of Fraser
Notes to the Financial Statements
December 31, 2014
(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
rre„ regar s of the timing of the related cash flows.
2. Current Fi cial ocus and Modified Accrual Basis
The gover ntal 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
Town of Fraser
Notes to the Financial Statements
December 31, 2014
(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
Town of Fraser
Notes to the Financial Statements
December 31, 2014
(Continued)
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 Funis for gents made on the Town's bonded debt
obligations.
The Town reports the f, ' - ' g prdWary or business -type funds:
The WalifflFund a unts fdWe purchase and delivery of water to the citizens
of the TdW ThAdIPINIONNoTalso maintains the infrastructure needed to
The Was tend accounts for the treatment of wastewater from the citizens
of the Tow he Wastewater Fund also maintains the infrastructure needed to
provide was., . ater service.
The Town reports the following fiduciary fund:
The Joint Facilities Oversight Committee (JFOC') Operations Fund accounts for
the operations of the Upper Fraser Valley 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
Town of Fraser
Notes to the Financial Statements
December 31, 2014
(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 incl nd, 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
Town of Fraser
Notes to the Financial Statements
December 31, 2014
(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 alance sheet because their use is limited by applicable
bond covenants.
Fees collected for park a a a ft
using impact fees are restricted as to
their use by Town ordinan . Debt service property tax collected in excess of
the debt service of the gen I obligation series 1998 bonds is reserved for
emergency and catastrophic road failure, future debt service or early redemption
of the bond.
7. Deferred utflp flows of resources
In addition bassets, 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, 2014.
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
Town of Fraser
Notes to the Financial Statements
December 31, 2014
(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 balance amounts that are constrained for specific
purposes whit ,are a rnally imposed by providers, such as creditors or
amounts con ined due to constitutional provisions or enabling legislation.
Committ 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
Town of Fraser
Notes to the Financial Statements
December 31, 2014
(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 Tow reviously the Fraser Sanitation District) for
operating and replacement cost ating to the combined wastewater treatment
plant. These deposits are held working capital and replacement costs during
the time all Districts remain joint rs of the plant.
F. Significant Accounting Polic
1. Use of Estimates
The preparation of financial statements in conformity with GAAP requires the
Town's management to make estimates and assumptions that affect the reported
amount of assets and liabilities, the disclosure of contingent assets and liabilities
at the date of the financial statements, and the reported amount of revenues and
expenditures or expenses during the reporting period. Actual results could differ
from those estimates.
2. Proprietary Funds
As required by GASB Statement No. 62, the Town has elected to follow all GASB
pronouncements for its proprietary funds.
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
Town of Fraser
Notes to the Financial Statements
December 31, 2014
(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 $10,019,549 represents the book value of
assets at December 31, 2014.
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 $1,532,265 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 $462,748 difference are capital outlay of
$229,613 less depreciation expense of $692,361. Also, repayment of long-term
obligations of $295,190 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 2014.
(1) For the 2014 budget year, prior to August 25, 2013, 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, 2013, a recommended budget which
detailed the necessary property taxes needed along with other available
revenues to meet the Town's operating requirements.
K•
Town of Fraser
Notes to the Financial Statements
December 31, 2014
(Continued)
III. Stewardship, Compliance, and Accountability (continued)
A. Budgetary Information (continued)
(3) Prior to December 15, 2013, 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
2013 were collected in 2014 and taxes certified in 2014 will be collected in 2015. Taxes
are due on January 1st in the year of collection; however, they may be paid in either one
installment (no later than April 30th) or two equal installments (not later than February
28th and June 15th) without interest or penalty. Taxes that are not paid within the
prescribed time bear interest at the rate of one percent (1 %) per month until paid. Unpaid
amounts and the accrued interest thereon become delinquent on June 16th.
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
Town of Fraser
Notes to the Financial Statements
December 31, 2014
(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 $99,611 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, 2014:
Deposits: q
Checking Accounts
Investments:
Cash with fiscal agent
Investment Pools
Rating
Carrying
Amount
Not Rated $ 99,611
13,786
AAAm 8,352,634
$ 8,466,031
D11
Maturities
Less Than Less Than
One Year Five Years
99,611 -
13,786
8,352,634 -
IV.
Town of Fraser
Notes to the Financial Statements
December 31, 2014
(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, 2014:
$ 2,389,882
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
1,904,352
1,519,930 384,422
Checking Accounts
Not Rated
369,556
369,556
Savings Accounts
Not Rated
84,072
84,072
Investments:
Investment Pools
AAAm
31,902
31,902
$ 2,389,882
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
Town of Fraser
3,360
Notes to the Financial Statements
December 31, 2014
662,774
(Continued)
IV. Detailed Notes on All Funds (continued)
Wastewater
A. Deposits (continued)
Operations
At December 31, 2014, 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
$ 183,448
Receivables as of year-end for the Town's funds, including
applicable allowances for
uncollectible accounts, are as follows:
Receivables:
Property Taxes
Accounts
Other
Intergovernmental
Gross receivables
Less: allowance for
uncollectible
Net Receiv s
Receivables:
Accounts
Gross receivables
Less: allowance for
uncollectible
Net Receivables
General
197,206
6,714
Governmental Funds
Debt
Servic
Capital
Equipment Total
277,206
- 6,714
- 1,807
3,360 377,047
®,.. 80,000
3,360
662,774
3,360
662,774
80,000
Water
Wastewater
Operations
Operations
Total
$ 183,448
$ 180,158
$ 363,606
183,448
180,158
363,606
$ 183,448
$ 180,158
$ 363,606
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 $277,206 of property taxes levied in 2014 but not
available until 2015.
D13
IV.
Town of Fraser
Notes to the Financial Statements
December 31, 2014
(Continued)
Detailed Notes on All Funds (continued)
C. Capital Assets
Capital asset activity for the year ended December 31, 2014 was as follows:
Governmental activities:
Capital assets, not being depreciated:
Land and improvements
Construction in progress
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 41?
Governmental activities
capital assets, net a
Beginning
- (6,412,012)
Ending
Balance
Increases Decreases
Balance
(692,361)
39,459 (8,554,675)
$ 1,237,355
- -
1,237,355
-
166,378 -
166,378
1,237,355
166,378 -
1,403,733
14,392,044
- -
14,392,044
1,144,852
38,200 -
1,183,052
1,609,819
25,035 (39,459)
1,595,395
17
1
901,773
63,235 (39,459) 17,170,491
(575,089)
- (6,412,012)
(43,987)
- (846,338)
(73,285)
39,459 (1,296,325)
(692,361)
39,459 (8,554,675)
(629,126) - 8,615,816
$ 10,482,297 (462,748) - 10,019,549
D14
IV.
Town of Fraser
Notes to the Financial Statements
December 31, 2014
(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
Ending
Balance Increases Decreases
Balance
$ 825,903
$ 244,320 - -
244,320
19,776 - -
19,776
264,096 - -
264,096
22,785,670 -
6,242,730 19,799
391,379 60,721
29,419,779 80,520
(6,288,797) (634,065)
(1,659,619) (159,902)
146,783 (31,936)
(8 ) (825,903)
22,785,670
6,262,529
452,100
29,500,299
- (6,922,862)
- (1,819,521)
- (178,719)
(8,921,102)
(745,383) - 20,579,197
(745,383) - 20,843,293
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
$ 39,559 38,200
590,162 191,413
14,912 -
47, 728 -
$ 692,361 229,613
$ 399,544
17,262
426,359
63,258
$ 825,903
80,520
IV.
Town of Fraser
Notes to the Financial Statements
December 31, 2014
(Continued)
Detailed Notes on All Funds (continued)
D. Interfund Receivables, Payables, and Transfers
Transfers were as follows:
General
Debt Service
Capital Equipment
Capital Asset Fund
Wastewater
Water
In Out
$ - (247,373)
247,373 97,666
20,000 -
(97,666) -
- (10,000)
- (10,000)
$ 169,707 (169,707)
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 th " -2017.
Gtu Nurrfase payments for both leases are as follows:
Year
Principal
Interest
2015
62,222
21,570
2016
64,329
19,462
2017
66,515
17,276
2018
23,365
15,008
2018
24,524
13,850
2019-2023
142,120
49,749
2024-2027
122,055
12,251
Total
$ 505,130
149,166
D16
Total
83,792
83,791
83,791
38,373
38,374
191,869
134,306
654,296
IV.
Town of Fraser
Notes to the Financial Statements
December 31, 2014
(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, road alks and other infrastructure.
4. Advanc .fund' IL
The Town HWWvance refunded the 1992 Sales Tax Revenue Bonds. Sufficieni
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
Interest
Total
2015
250,000
49,073
299,073
2016
270,000
35,016
305,016
2017
490,000
14,597
504,597
Total
$ 1,010,000
98,686
1,108,686
D17
IV.
Town of Fraser
Notes to the Financial Statements
December 31, 2014
(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
2015
312,222
70,643
382,865
2016
334,329
54,478
388,807
2017
556,515
31,873
588,388
2018
513,365
29,605
542,970
2018
24,524
13,850
38,374
2019-2023
142,120
49,749
191,869
2024-2027
122,055
12,251
134,306
Total
$ 2,005,130
262,449
2,267,579
7. Accrued Compensated Absences
Earned but unused vacation benefits amounted to $17,135 at December 31,
2014. All unused vacation benefits are recorded on the government -wide
financial statements.
8. Schedule of Changesi o NMI
1/1
Capital leases
565;3Z'f
Sales and use tax bonds
General obligation bond ;00-
1,065,000
1 000
Accrued compensate.
absences
18,956
Total%
$18-2 9.277
D18
Balance
Due Within
itions Reductions
12/31/14
One Year
- (60,191)
505,130
62,222
- (195,000)
870,000
180,000
- (40,000)
140,000
70,000
- (1,821)
17,135
-
- (297,012)
1,532,265
312,222
Town of Fraser
Notes to the Financial Statements
December 31, 2014
(Continued)
IV. Detailed Notes on All Funds (continued)
F. Restricted Fund Balance
The Town had the following restrictions on the fund balances at December 31, 2014:
G.
H.
D19
Balance
Balance
1/1/14 Additions Deletions
12/31/14
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
RAMP Local Agency Match
- 837,338 -
837,338
Debt Service Fund reserves:
Next year's payments
300,000 - -
300,000
Conservation Trust Fund
893 15,602 -
16,495
Wastewater Fund
Operating reserve
45,739 1,182 -
46,921
Capital replacement reserve
815,582 4,624 (59,277)
760,929
$ 1,384,019 $ 858,746 $ (59,277)
$ 2,183,488
The Town had $807,850 restricted in the Wastewater Fund for Upper Fraser Valley
Wastewater Treatment Joint F ` ` ' ' gratin d capital replacement expenses.
Committed Fund Balance
The Town has co itted $ 5,940 the debt service fund to be used for capital
projects.
Assigned Fund Ba e
The Town had the following assignments of the governmental fund balances at
December 31, 2014:
Balance
Balance
1/1/14 Additions Deletions
12/31/14
General Fund:
Reserve savings
$ 750,000 - -
750,000
Capital projects
103,884 - (103,884)
-
Future budget deficit
521,879 538,209 -
1,060,088
Capital Equipment Replacement:
Capital projects
470,586 - (5,008)
465,578
$ 1,846,349 538,209 (108,892)
2,275,666
D19
Town of Fraser
Notes to the Financial Statements
December 31, 2014
(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 2014.
The JFOC may designate a new manager on an annual basis. In 2014, as approved by
the JFOC, the Town ed $29,000 in management fees.
Operations and en costs will be allocated among the three members based on
each member's prop irtiona a 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, 2014, 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
Town of Fraser
Notes to the Financial Statements
December 31, 2014
(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, 2014, 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
Town of Fraser
Notes to the Financial Statements
December 31, 2014
(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 the reaft o cost tTown is recognized as employees
reimburse 100% of their premiuno
E. Commitments and COO
i. Public Safetv Servi
In lieu of direct iding pubFic 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.
ii. Construction Contract for US 40 Improvements
On December 19, 2014, the Town entered into an agreement with Premier
Earthworks & Infrastructure, Inc. to provide all labor and material necessary to
complete the Town's US 40 Improvements project for a total estimated project cost of
$1,977,291. The project is expected to be funded 65% by a federal grant passed
through the Colorado Department of Transportation and 35% through local agency
match funds. At December 31, 2014, the Town has $837,338 restricted in the
General Fund representing the portion of funds received from local agencies that is
restricted for this project. No costs have been incurred to date on this project at
December 31, 2014.
D22
V.
Town of Fraser
Notes to the Financial Statements
December 31, 2014
(Continued)
Other Information (continued)
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.
The Town's share of assets, liabilities and furiequity as of December 31, 2013, the
latest date for which information is availablaW as follows:
The
Insurance Pools:
Property and Casualty Pool:
Other assets
Total
are
26,262
312
8,053
19,330
3,946
(1,734)
5,736
14,856
�mation is as follows:
336,516
7,342,496
$ 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, 2014,
the Town does not expect to incur losses in excess of the above coverage.
D23
Town of Fraser
Notes to the Financial Statements
December 31, 2014
(Continued)
V. Other Information (continued)
F. Risk Management (continued)
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.
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 $2,380,593
of Plant Investment Fees have been rebated to the developers.
H. Related Parties
The town purchased goods and services from the following companies that had direct
relatives to Town Trusteesor S&njQL&wn Marement: 02 Creative LLC - $2,867 and
Nick's Dirt Works LLC - $4,695
D24
REQUIRED SUPPLEMENTARY INFORMATION
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, 2014
(With Comparative Actual Amounts for 2013)
Expenditures:
General government
Public safety
Public works
Culture and recreation
Debt service
Total Expenditures
Excess (Deficiency) of Revenue:
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
1, 0,749
41 080 06,188
3,16 909,620
I26, 0 16,568
38,374 38,374
78,965
5,892
2,255,920
9,932
941,328
402,284
854,812
9,472
38,375
FF 4,672,208 2,321,499 2,350,709 2,246,271
IN
(274,503) 1,058,377 1,332,880 245,662
(97,666) (97,666) 271,500
(247,373) (247,373) - (322,610)
6,163 6,163 16,825
(247,373) (338,876) (91,503) (34,285)
(521,876)
1,937,333
719,501
3,084,797
1,241,377
1,147,464
211,377
2,873,420
Fund Balances - End of Year 1,415,457 3,804,298 2,388,841 3,084,797
The accompanying notes are an integral part of these financial statements.
E1
2014
2013
Original and
Variance
Final
Positive
Budget
Actual
(Negative)
Actual
Revenues:
Taxes
2,011,700
2,241,573
229,873
2,137,431
Licenses and fees
34,500
42,469
7,969
32,099
Charges for services
5,000
19,805
14,805
12,395
Intergovernmental
-
10,000
10,000
7,461
Interest
3,505
3,667
162
3,666
Other revenue
2,343,000
1,062,362
(1,280,638)
298,881
Total Revenues
4,397,705.
t�" 9,876
(1,017,829)
2,491,933
Expenditures:
General government
Public safety
Public works
Culture and recreation
Debt service
Total Expenditures
Excess (Deficiency) of Revenue:
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
1, 0,749
41 080 06,188
3,16 909,620
I26, 0 16,568
38,374 38,374
78,965
5,892
2,255,920
9,932
941,328
402,284
854,812
9,472
38,375
FF 4,672,208 2,321,499 2,350,709 2,246,271
IN
(274,503) 1,058,377 1,332,880 245,662
(97,666) (97,666) 271,500
(247,373) (247,373) - (322,610)
6,163 6,163 16,825
(247,373) (338,876) (91,503) (34,285)
(521,876)
1,937,333
719,501
3,084,797
1,241,377
1,147,464
211,377
2,873,420
Fund Balances - End of Year 1,415,457 3,804,298 2,388,841 3,084,797
The accompanying notes are an integral part of these financial statements.
E1
Taxes:
Property
Specific ownership
Sales & use
Franchise
Motor vehicle
Cigarette
Total
Licenses and Fees:
Business license fees
Liquor license fee
Total
Charges for services:
Planning and building fees
Total
Intergovernmental:
Grant revenue
Total
Interest:
Earnings on deposits
Total
Town of Fraser, Colorado
General Fund
Schedule of Revenues
Budget (GAAP Basis) and Actual
For the Year Ended December 31, 2014
(With Comparative Actual Amounts for 2013)
Other:
Other income
Rents
Total
Other Financing Sources:
Transfer in
Sale of assets
Total
Total Revenues
2014
2013
Original and
Variance
Final
Positive
Budget
Actual
(Negative)
Actual
195,000
196,488
1,488
218,536
8,500
10,682
2,182
10,295
1,750,000
1,970,700
220,700
1,848,144
49,000
55,006
6,006
51,459
4,200
4,420
220
4,343
5,000
4,277
(723)
4,654
2,011,700
2,241,573
229,873
2,137,431
12,000
13,663
1,663
13,640
22,500
28,806
6,306
18,459
34,500
42,469
7,969
32,099
5,000
19,805
14,805
12,395
5,000
19,805
14,805
12,395
-
10,000
10,000
7,461
-
10,000
10,000
7,461
3,505
3,667
162
3,666
3,505
3,667
162
3,666
2,335,000
1,050,942
(1,284,058)
290,361
8,000
11,420
3,420
8,520
2,343,000
1,062,362
(1,280,638)
298,881
-
(97,666)
(97,666)
271,500
-
6,163
6,163
16,825
-
(91,503)
(91,503)
288,325
4,397,705 3,288,373 (1,109,332) 2,780,258
The accompanying notes are an integral part of these financial statements.
E2
Town of Fraser, Colorado
General Fund
Schedule of Expenditures and Transfers
Budget (GAAP Basis) and Actual
For the Year Ended December 31, 2014
(With Comparative Actual Amounts for 2013)
General Government:
Town board salaries
Town board community enhancement
Miscellaneous
Administrative salaries
Other purchased services
Utilities
Property management
Total General Government
Public Safety
Total Public Safety
Public Works
Salaries and benefits
Other purchased services
Utilities
Property management
Capital outlay
Total Public Works
Culture and Recreation
Other purchased services
Utilities
Property management
Total Culture and Recreation
Debt Services
Interest
Principal
Total Debt Services
Other Financing Uses
Transfer out
Total Financing Sources
Total Expenditures
Original and
Final
Budget
2014
Actual
2013
Variance
Positive
(Negative) Actual
42,989
37,524
5,465
33,535
255,445
153,715
101,730
167,299
3,000
2,552
448
1,425
279,484
274,926
4,558
270,169
390,336
427,927
(37,591)
435,589
19,960
16,274
3,686
16,190
38,500
37,831
669
17,121
1,029,714
950,749
78,965
941,328
412,080
406,188
5,892
402,284
412,080
406,188
5,892
402,284
499,290
466,324
32,966
451,403
177,950
150,060
27,890
133,582
13,300
10,183
3,117
9,651
135,000
40,992
94,008
23,190
2,340,000
242,061
2,097,939
236,986
3,165,540
909,620
2,255,920
854,812
15,500
3,000
8,000
26,500
19,122
19,252
38,374
5,356
2,445
8,767
16,568
19,122
19,252
38,374
247,373 247,373
247,373 247,373
10,144
555
(767)
9,932
5,334
2,495
1,643
9,472
20,033
18,342
38,375
322,610
322,610
4,919,581 2,568,872 2,350,709 2,568,881
The accompanying notes are an integral part of these financial statements.
E3
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, 2014
(With Comparative Actual Amounts for 2013)
Original and
Final
Budget
Revenues:
Lottery proceeds 6,100
Interest 10
Total Revenues 6,110
Other Financing Uses
Transfer (Out) -
Total Financing Sources -
2014
Variance
Positive
Actual (Negative)
15,595 9,495
7 (3)
15,602 9,492
2013
Actual
6,494
22
6,516
(21,500)
(21,500)
Excess (Deficiency) of Revenues
Over Expenditures 0 ,602 9,492 (145984)
Fund Balances - Beginning of Year 4 893 491 15,877
Fund Balances -End of Year 6,512 16,495 9,983 893
The accompanying notes are an integral part of these financial statements.
E4
SUPPLEMENTARY INFORMATION
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, 2014
(With Comparative Actual Amounts for 2013)
The accompanying notes are an integral part of these financial statements.
F1
2014
2013
Original and
Variance
Final
Positive
Budget
Actual
(Negative)
Actual
Revenues:
Property taxes
80,000
80,243
243
80,122
Specific ownership tax
3,000
4,327
1,327
3,469
Interest
250
595
345
661
Total Revenues
83,250
85,165
1,915
84,252
Expenditures:
Principal
235,000
235,000
-
225,000
Interest
62,049
62,049
-
74,434
Other
4,500
3,945
555
2,944
Total Expenditures
1,54
300,994
555
302,378
Excess (Deficiency) of Revenues
Over Expenditures
(218, 9)
(215,829)
2,470
(218,126)
Other Financing Sources:
Transfer in
247,373
247,373
-
247,610
Transfer outy
-
97,666
97,666
(175,000)
Total Other Financing Sources
247,373
345,039
97,666
72,610
Excess (Deficiency) of Revenues and er
Financing Sources Over Expenditures
29,074
129,210
100,136
(145,516)
Fund Balances - Beginning of Year
(29,074)
416,730
445,804
562,246
Fund Balances - End of Year
-
545.940
545,940
416,730
The accompanying notes are an integral part of these financial statements.
F1
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, 2014
(With Comparative Actual Amounts for 2013)
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 SouM5s
Excess (Deficiency) of Revenues and
Financing Sources Over Expenditui
Fund Balances - Beginning of Year
Fund Balances - End of Year
2014 2013
Original and Variance
Final Positive
Budget Actual (Negative) Actual
44,594
44,896
302
44,588
300
550
250
663
44,894
45,446
552
45,251
45,418
45,418
-
45,418
50,000
25,035
24,965
77,179
95,418
70,453
24,965
122,597
(50,524)
(25,007)
25,517
(77,346)
20,000
20,000
-
20,000
20,000
20,000
-
20,000
r
(30,524)
(5,007)
25,517
(57,346)
470,019
470,585
566
527,931
439,495
465,578
26,083
470,585
The accompanying notes are an integral part of these financial statements.
F2
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, 2014
(With Comparative Actual Amounts for 2013)
Excess (Deficiency) of Revenues
Over Expenses (Budget Basis) (149,801) 292,839 442,640
Reconciliation from Budget Basis to GAAP Basis:
Capitalized assets 17,262
Depreciation (399,544)
Excess (Deficiency) of Revenues Over Expenses (GAAP Basis) (89,443)
Net Assets - Beginning of Year
Net Assets - End of Year
12,110,773
12,021,330
The accompanying notes are an integral part of these financial statements.
F3
251,140
26,675
(398,711)
(120,896)
12, 231, 669
12,110,773
2014
2013
Original and
Variance
Final
Positive
Budget
Actual
(Negative)
Actual
Revenues:
Tap fees
8,000
-
(8,000)
6,000
User fees
772,080
771,074
(1,006)
662,002
Water meter fees
500
14,890
14,390
16,834
Interest income
2,000
,506
1,506
7,010
Excavation permits
200275
A�qw.
75
550
Other
2,500
1,788
11,817
Total Revenues
785,280
794V33
8,753
704,213
Expenditures:
Personnel:
Salaries
18
159,693
27,330
175,217
Retirement
6,
4,252
2,678
5,793
Health insurance
33,600
22,117
11,483
27,754
Travel and training
0001,579
6,421
3,016
Total
2
187,641
47,912
211,780
Commodities:
Insurance
000
14,584
10,416
20,259
Supplies
T53,5100
33,542
19,958
45,193
System repair and maintenance
000
53,712
83,288
44,755
Testing
-- 5,000
3,225
1,775
4,141
Telephone
3,500
2,889
611
2,666
Utilities
50,000
32,675
17,325
35,629
Miscellaneous
12,000
636
11,364
4,387
Total
286,000
141,263
144,737
157,030
Contractual:
Legal
85,000
64,876
20,124
41,135
Engineering
60,000
16,781
43,219
4,769
Other professional services
5,500
22,397
(16,897)
1,136
Treasurer's and bank fees
28
28
-
-
Professional memberships
8,000
9,070
(1,070)
6,348
Total
158,528
113,152
45,376
53,388
Other:
Transfer to Other Fund
10,000
10,000
-
10,000
Capital projects and purchases
210,000
41,872
168,128
13,054
Water rights
35,000
7,266
27,734
7,821
Total
255,000
59,138
195,862
30,875
Total Expenditures
935,081
501,194
433,887
453,073
Excess (Deficiency) of Revenues
Over Expenses (Budget Basis) (149,801) 292,839 442,640
Reconciliation from Budget Basis to GAAP Basis:
Capitalized assets 17,262
Depreciation (399,544)
Excess (Deficiency) of Revenues Over Expenses (GAAP Basis) (89,443)
Net Assets - Beginning of Year
Net Assets - End of Year
12,110,773
12,021,330
The accompanying notes are an integral part of these financial statements.
F3
251,140
26,675
(398,711)
(120,896)
12, 231, 669
12,110,773
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, 2014
(With Comparative Actual Amounts for 2013)
Reconciliation from Budget Basis to GAAP Basis:
Capitalized assets 63,257
Depreciation (426,359)
Capital reserve increased by interest income 5,806
Excess (Deficiency) of Revenues Over Expenses (GAAP Basis) (104,417)
Net Assets - Beginning of Year
Net Assets - End of Year
13,972,844
13,868,427
The accompanying notes are an integral part of these financial statements.
F4
2013
Arfiinl
179,000
618,173
28,422
3,061
2,368
831,024
188,473
6,162
24,978
663
220,276
5,410
1,411
104,533
180
257
114
111,905
1,756
156,638
4,438
162,832
10,000
10,000
505,013
326,011
60,468
(440,377)
6,153
(47,745)
14,020,589
13,972,844
2014
Original and
Variance
Final
Positive
Budget
Actual
(Negative)
Revenues:
Tap fees
7,500
120,000
112,500
User fees
679,056
678,763
(293)
Management fees
29,000
29,000
-
Interest income
2,500
3,116
616
Excavation permits
-
325
325
Other
1,000
2,136
1,136
Total Revenues
719,056
833,340
114,284
Expenditures:
Personnel:
Salaries
19192,333
358
Retirement
7,1
5,600
1,540
Health insurance
28,560
26,244
2,316
Travel and training
0
1,103
3,897
Total
2
225,280
8,111
Commodities:
Insurance
6,000
5,860
140
Supplies
2,500
1,497
1,003
System repair and maintenance
7,500
115,149
112,351
Testing
1,000
-
1,000
Telephone
500
254
246
Miscellaneous
3,000
188
2,812
Total
240,500
122,948
117,552
Contractual:
Legal
5,000
22,814
(17,814)
Engineering
10,000
2,703
7,297
Other professional services
220,502
181,908
38,594
Treasurer's and bank fees
100
-
100
Professional memberships
6,000
1,602
4,398
Total
241,602
209,027
32,575
Other:
Transfer to Other Fund
10,000
10,000
-
Capital Reserve payments
-
13,206
(13,206)
Total
10,000
23,206
(13,206)
Total Expenditures
725,493
580,461
145,032
Excess (Deficiency) of Revenues
Over Expenses (Budget Basis)
(6,437)
252,879
259,316
Reconciliation from Budget Basis to GAAP Basis:
Capitalized assets 63,257
Depreciation (426,359)
Capital reserve increased by interest income 5,806
Excess (Deficiency) of Revenues Over Expenses (GAAP Basis) (104,417)
Net Assets - Beginning of Year
Net Assets - End of Year
13,972,844
13,868,427
The accompanying notes are an integral part of these financial statements.
F4
2013
Arfiinl
179,000
618,173
28,422
3,061
2,368
831,024
188,473
6,162
24,978
663
220,276
5,410
1,411
104,533
180
257
114
111,905
1,756
156,638
4,438
162,832
10,000
10,000
505,013
326,011
60,468
(440,377)
6,153
(47,745)
14,020,589
13,972,844
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, 2014
(With Comparative Actual Amounts for 2013)
2014
2013
Expenses:
Training programs
Travel, meals and lodging
Meals and entertainment
Professional fees
Engineering fees
Financial services
Sludge removal
Other professional services
Insurance
Advertising
Plant maintenance & repair
Grounds maintenance
Equipment rental
Professional memberships
Operating supplies
Equipment purchase and repair
Testing
Permits '
Utilities
Vehicles
Miscellaneous
Capital projects
Payroll expenses
Total Expenses
Excess (Deficiency) of Revenues
3,000
2,500
200
.11,000
000
65,
20,00
0
40,000
IL 2,000
500
500
105,000
20,000
55,000
10,000
157,500
6,500
1,000
532,000
265,709
1,348,009
925
921
42
9,324
3,403
36,351
23,850
24,184
240
37,370
206
177
42,656
8,640
40,262
160
155,898
6,725
634
153,059
234,933
779,960
2,075
1,579
158
1,676
11,597
100
28,649
(3,850)
10,816
260
2,630
1,794
500
323
62,344
11,360
14,738
9,840
1,602
(225)
366
378,941
30,776
568,049
515
654
3,981
4.904
40,040
2,832
30,150
367
39,067
81
79
83,078
1,332
36,224
6,265
133,662
6,546
770
220,438
219,613
830,598
Over Expenses (Budget Basis) (514,600) (160,414) 354,186 (201,689)
Reconciliation from Budget Basis to GAAP Basis:
Capital reserve reduced by capital expenses 173,986 220,438
Capital reserve increased by interest income (13,572) (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
Final Budget
Original and
Variance
Final
Positive
Budget
Actual
(Negative)
Actual
Revenues:
Other revenue
2,000
-
(2,000)
JFOC operating charges
816,009
605,974
(210,035)
610,160
Interest revenue
15,400
13,572
(1,828)
18,749
Total Revenues
833,409
619,546
(213,863)
628,909
Expenses:
Training programs
Travel, meals and lodging
Meals and entertainment
Professional fees
Engineering fees
Financial services
Sludge removal
Other professional services
Insurance
Advertising
Plant maintenance & repair
Grounds maintenance
Equipment rental
Professional memberships
Operating supplies
Equipment purchase and repair
Testing
Permits '
Utilities
Vehicles
Miscellaneous
Capital projects
Payroll expenses
Total Expenses
Excess (Deficiency) of Revenues
3,000
2,500
200
.11,000
000
65,
20,00
0
40,000
IL 2,000
500
500
105,000
20,000
55,000
10,000
157,500
6,500
1,000
532,000
265,709
1,348,009
925
921
42
9,324
3,403
36,351
23,850
24,184
240
37,370
206
177
42,656
8,640
40,262
160
155,898
6,725
634
153,059
234,933
779,960
2,075
1,579
158
1,676
11,597
100
28,649
(3,850)
10,816
260
2,630
1,794
500
323
62,344
11,360
14,738
9,840
1,602
(225)
366
378,941
30,776
568,049
515
654
3,981
4.904
40,040
2,832
30,150
367
39,067
81
79
83,078
1,332
36,224
6,265
133,662
6,546
770
220,438
219,613
830,598
Over Expenses (Budget Basis) (514,600) (160,414) 354,186 (201,689)
Reconciliation from Budget Basis to GAAP Basis:
Capital reserve reduced by capital expenses 173,986 220,438
Capital reserve increased by interest income (13,572) (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
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) PKEVIOUS EDITIONS OBSOLETE (Next Page)
(31 CBD28E-9CB8-4B21-9366-E510C916BBB3}
City or County:
Town of Fraser
LOCAL HIGHWAY FINANCE REPORT
YEAR ENDING:
December 2014
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 exenses
3. Minus amount used for nonhi hwa oses
4. Minus amount used for mass transit
5. Remainder use or i wa a oses
11. 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 37,556
a. Motor Fuel from Item I.A.S. 2. Maintenance: 197,376
b. Motor Vehicle from Item I.B.5. 3. Road and street services:
c. Total a.+b. a. Traffic control operations 16,667
2. General fund appropriations 1,071,903 " b. Snow and ice removal 310,162
3. Other local imposts from page 2 162,206 c. Other 0
4. Miscellaneous local receipts from page 2 5 952d. Total a. through c. 326,829
5. Transfers from toll facilities 0 4. General administration & miscellaneous 56,393
6. Proceeds of sale of bonds and n7tes:5. Highway law enforcement and safety 406,188
a. Bonds - Original Issues 0 6. Total 1 through 5 1,024,342
b. Bonds - Refunding Issues 0 B. Debt service on local obligations:
c. Notes 0 1. Bonds:
d. Total a. + b. + c. 0 a. Interest 55,035
7. Total 1 through 6 ,240,061 b. Redemption 210,000
B. Private Contributions 0 c. Total (a.+ b. 265,035
C. Receipts from State government 2. Notes:
from page 2 49,316 a. Interest 0
D. Receipts from Federal Government b. Redemption 0
from a e 2 0 c. Total (a.+ b. 0
E. Total recei is (A.7 + B + C + D 1289,377 3. Tota l .c + 2.c 265,035
C. Payments to State for highways 0
D. Payments to toll facilities 0
E. Total disbursements A. + B.3 + C + 77
LOCAL HIGHWAY DEBT STATUS
(Show all entries at par)
:)pening Debt Amount Issued Redemptions Closing Debt
A. Bonds Total 1,940,000 210,000 1,730,000
1. Bonds Refundin Portion
B. Notes (Total) 0
V. LOCAL ROAD AND STREET FUND BALANCE
A. Beginning Balance
B. Total Recei is
. Total Disbursementj
D. Ending Balance
E. Reconciliation
1,289 377
1,289 377
0
Notes and Comments:
FORM FHWA-536 (Rev. 1-05) PKEVIOUS EDITIONS OBSOLETE (Next Page)
(31 CBD28E-9CB8-4B21-9366-E510C916BBB3}
A.3. Other local imposts:
A.4. Miscellaneous local receipts:
D. Receipts from Federal Government
1. FHWA from Item I.13.5.
2. Other Federal agencies:
a. F egt Servicdqlk
a. Property Taxes and Assessments
80,243
a. Interest on investments
592
b. Other local imposts:
b A
b. Traffic Fines & Penalities
0
1. Sales Taxes
66,954
c. Parking Garage Fees
0
2. Infrastructure & Impact Fees
0
d. Parking Meter Fees
0
3. Liens
0
e. Sale of Surplus Property
0
4. Licenses
0
f. Charges for Services
0
5. Specific Ownership &/or Other
15,009
g. Other Misc. Receipts
5,360
6. Total 1. through 5.
81,963
h. Other
0
c. Total a. + b.
162,206
(Carry forward to pa e 1)
i. Total a. through h.
5,952
(Ca forward to page 1)
4,420
g. Total a. through f.
0
ITEM I AMOUNT I ITEM I AMOUNT I
C. Receipts from State Government
1. Highway -user taxes
2. State general funds
3. Other State funds:
44,896
D. Receipts from Federal Government
1. FHWA from Item I.13.5.
2. Other Federal agencies:
a. F egt Servicdqlk
a. State bond proceeds
b A
b. Project Match
D
c. Motor Vehicle Registrations
4,420
Fed ransit Admin
d. Other (Specify)
. U.SWorps of Engineers
e. Other (Specify)
f Other Federal
f Total a. through e.
4,420
g. Total a. through f.
0
4. Total L + 2. + 3.
49,316
3. Total (I. + 2.
(Ca forward to page 1)
III. DISBURSEMENTS FOR
AND STREET PURPOSES - DETAIL
N NATIONAL OFF NATIONAL
HIGHWAY HIGHWAY
TOTAL
SYSTEM SYSTEM
A.I. Capital outlay:
a. Right -Of -Way Costs
a b
0
11648
c
1,648
b. Engineering Costs M6
c. Construction:
(1). New Facilities
0
0
1,783
0
1,783
0
(2). Capacity Improvement
0
0
0
(3). System Preservation
0
26,839
26,839
(4). System Enhancement & O eration
0
7,286
7,286
(5). Total Construction 1 + 2 + 3 + 4
0
34,125
34,125
d. Total Capital Outlay Lines La. + Lb. + 1.c.5
0
37,556
37,556
(Car, forward to page 1)
TOWN OF FRASER
RESOLUTION NO. 2015-03-02
A RESOLUTION DIRECTING TO TOWN MANAGER TO AMEND SIGNATURE
AUTHORIZATIONS FOR TOWN BANK ACCOUNTS
BE IT RESOLVED BY THE BOARD OF TRUSTEES OF THE TOWN OF FRASER,
COLORADO THAT:
1. That the Town Manager is hereby authorized to establish single signature authorization for
the Town Manager and Mayor on all of the Town bank accounts.
2. Town Manager is authorized and directed to keep all banking signature authorizations
current.
3. The Town Manager is further authorized to assign full banking access, except signature
authorization, to Town personnel as determined by job duties and responsibilities.
READ, PASSED ON ROLL CALL VOTE, AND ADOPTED BY THE BOARD OF TRUSTEES
THIS 15th DAY OF APRIL, 2015.
Votes in favor: BOARD OF TRUSTEES OF THE
Votes opposed: TOWN OF FRASER, COLORADO
Absent:
Abstained: BY:
Mayor
(S E A L)
ATTEST:
Town Clerk
TOWN OF FRASER
BOARD OF TRUSTEES
RESOLUTION NO. 2015-03-03
A RESOLUTION AUTHORIZING THE TOWN MANAGER TO EXECUTE A CONTRACT
WITH FOR GEOTECH SERVICES FOR THE FRASER US
40 IMPROVEMENT PROJECT
WHEREAS, the Town Board finds that the Fraser US40 Highway Improvement
Project effectively leverages private improvement traffic signal projects at Rendezvous
Road and First Street toward funding capacity improvements which provide significant
public benefit.
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF TRUSTEES OF
THE TOWN OF FRASER, COLORADO, THAT:
1. The Town Manager is hereby authorized to execute a public service contract for
Geotech services for the Fraser US 40 Improvement Project to be paid from funds
previously appropriated for such project, subject to approval of the final form by the
Town Attorney.
2. The Town Manager is also authorized to take all steps necessary to implement the
project expeditiously, including the expense of General Funds and prompt
reimbursement requests in accordance with the project budget.
READ, PASSED ON ROLL CALL VOTE, AND ADOPTED BY THE BOARD OF
TRUSTEES THIS 15th DAY OF APRIL, 2015.
Votes in favor: BOARD OF TRUSTEES OF THE
Votes opposed: TOWN OF FRASER, COLORADO
Absent:
Abstained: BY:
Mayor
ATTEST:
(SEAL)
Town Clerk
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G' ❑ grandforbusiness.com/relocate-to-grand-county-colorado/
- ........... I ................ I ............
ECONOMIC
DEVELOPMENT
011 FAMMIS O 11111 INIB.Y bBAND MA COMB a
Relocate to Grand County, Colorado
You know you want to...
As Warren Mlllerfamously said about moving to the
mountains,
1f you don't do it this year, you be one year older when you
do."
There are so many happy business owners (and employees!)
in Grand County who have followed that advice into the
quality of life we enjoy. If you've never set foot here, we hope
you'll consider Grand County your dream destination for life
and business.
If you've visited to play, imagine those wide open spaces as
your back yard!
Either way, your first step is to contact our team at the Grand
County Economic development Council. We're here to help
tum your dreams into reality!
,m .Wis
. Prim 5 Emall m7 o 1 yswe.f..�.o
4/9/15
C d grandforbus! ness. cam lwork-live-and-play/
ECONOMIC
DEVELOPMENT
Work, Lime and Play
g+ shm. 0 ® -Cl More
Winter Park Resort: winterparkresort.com
Granby Ranch.: granhyranch.com
YMCA of the Rockies: ymcarcckies, org
Fraser Valley Recreation Center: fraservalleyrec.org
Rocky Mountain National Parc: nps,govfromo!
Hct Sulphur Springs Resort and Spa: hotsutphursprings.com
Mistoily
Grand CountyHistory: grandocuntyhistory.com
Grand County Historical Association:
Real Mountain Living, Worh, and Play
Summer weather lanngs great music to the
valley
Quick Links
Facts & Figures
Business Tccls
.......................................................
Business starter Kit
......................................................
Local Product Guide
......................................................
Collectively Grand
.......................................................
I am Grand
Site Selection Tool
Map pmponies and industry
Informatlon relevant to businesses In
Grand county. search far bulli ings and
sites for sale or tease. Map companies
by Industry or city.
Z Check Out the Grand County site
selection Teel
Sign Up for Mem
Get important
husln
de
^` AA support,oM and even4
Information delivered
right to your emall.
Subscdde m mews tram Grand
County Economic Development
Upcoming Events
9=11 5:00 pm Grand
19 County Economic
T. Development
Advisory Committee
meeting a Mountain
Parks Electric Board
Room
6,00 pm G rand
2
With several Main Streets in Grand County, excellent
schools, cultural landmarks, and recreational opportunities,
we're a dream destination for your business — and your life!
What do our ranchers, developers, artists, restaurateurs,
outfitters, manufacturers, work-from-home-ers,
C
_ntrepreneurs, and tradespeople have in common?
-, shared lave for real mountain living, work and play.
i
Schools
Business owners are proud to Ilve in Grand
East Grand School district: egsd.org
County.
West Grand School District: westgrend.k12.co.us0istrictl
Indian Peaks Charter School: Indianpeaksschool.org
Activities
g+ shm. 0 ® -Cl More
Winter Park Resort: winterparkresort.com
Granby Ranch.: granhyranch.com
YMCA of the Rockies: ymcarcckies, org
Fraser Valley Recreation Center: fraservalleyrec.org
Rocky Mountain National Parc: nps,govfromo!
Hct Sulphur Springs Resort and Spa: hotsutphursprings.com
Mistoily
Grand CountyHistory: grandocuntyhistory.com
Grand County Historical Association:
Real Mountain Living, Worh, and Play
Summer weather lanngs great music to the
valley
Quick Links
Facts & Figures
Business Tccls
.......................................................
Business starter Kit
......................................................
Local Product Guide
......................................................
Collectively Grand
.......................................................
I am Grand
Site Selection Tool
Map pmponies and industry
Informatlon relevant to businesses In
Grand county. search far bulli ings and
sites for sale or tease. Map companies
by Industry or city.
Z Check Out the Grand County site
selection Teel
Sign Up for Mem
Get important
husln
de
^` AA support,oM and even4
Information delivered
right to your emall.
Subscdde m mews tram Grand
County Economic Development
Upcoming Events
9=11 5:00 pm Grand
19 County Economic
T. Development
Advisory Committee
meeting a Mountain
Parks Electric Board
Room
6,00 pm G rand
2
Winter Park— Fraser Valley Economic Development
Website and Marketing Examples - Winter Park & Fraser Chamber
C I ❑ www.playwinterpark,com/live_wark_play_here.html
W Member Sign In Chamber Info
Bloc & Playground Mao
' s
Willi
�
www.playwiriterpark.com/ecoriamic-deyelopment.htrn]
Y Memlaer Sicn In Chamber Info
Bloc & Playground Map JLLJ
There's a variety of reasons we chose thls valley ... what' s yours?
We hear all kinds of reasons as to why locals and second homeowners chose tinter Park & the Fraser Valley over
other great destination resorts. From 'I came for the winter, stayed for the summer" to "everything was authentic and
the people were friendly, so I decided it would be a great place to raise my family" to "my car broke down as I was
passing through and I fell in love with the towns before it was fixed". As you can well imagine, there are in6 ife reasons
why folks chase to live here, work here and quite often its because they live to play.
This section is dedicated to help those who are considering moving here (either personally or to bring their business
herei, have just moved here or play here regularly and need to get established with local services, whether one needs
a maltor, trash removal, church or medical center.
Economlc Development
Grand County is open for business and is excited to provide the business resources and information needed to make
your business successful. Whether you are new to our community or you are already a committed bus! ness owner in
Grand County, we can provide you the resources, tools and data to help move your business forward. Be sure to check
out Grand County Economic Development website at www.grandforbushess.com. You also may contact our Economic
Development Coordinator, DiAnn Buller directly at 970.725.3129.
Grand Enterprise Initiative provides PR PE, CONFIDENTIAL BUSS NESS COACHING to anyone !n Grand County that
has a business idea or an established business that they would like to make a reality. Contact us today and begin the
journey towards business success. You can reach Patrick Brower at 970.531.0631 or get more information at
4/9/15 3
Winter Park— Fraser Valley Economic Development
Website and Marketing Examples - Steamboat Springs and Durango, La Plata County
C D www.steamboatbiz.ccmlHome.aspx
Business Success Story
International CEO moves
LDMlobal from London to Steamboat
Austin.. -tom this 9"Reilly hos lived an adventurous Itle with
years spent in F,— Canada, the came— and England bm he
chose Steamboat Springs as home for his family
RE" MORE
News & Media v ul Video Gallery Vi -All
Off the Slopes in
Steamboat Springs
February 78, 2015 ,
The New York Times goes oN the
slopes to eyxrie the thriving
dining scene in donntown Steamboat.
Fal Mae
4/9/15
Why Steamboat?
'he right individuals come to us
because they want to do both, have
a career and live the life they want to
live. Its a much happier life living in
Steamboat."
- Mark Satkiewicx I
prasidem, Sm.ne.d
"We live here, work here and play
here. The quality of life is wonderful.
It's easy to balance work and fun in
a town with ao much outdoor
activity and industry to offer."
- Kent Erikeen
. Kern Edkaen cydea
"You can continue to run your
business here very easily with close
proximity to city -like services. You
have access to everything that a big
city would be able to offer you."
C n yeslpc.com/business_relocation_durangof
Your Relocation to Durango, Colorado Starts
Here
Explore Durango's Commercial Real Estate to Move or
Grow Your Business
Helping Companies Thrive
Head In the. right Irection with a relocation to Colorado's
stunning southwest vehe- a sophisticated business
+�- cu{ture blends with a superior quality of Life Residents
enjoy rich outdoor activities that Include skiing. golfing.
M ITa cEowfwe I hiking, biking, rafting,fishing. hunting, off-raading and
more. But it'smtjust the outdoor xtMti. that make
Durango, Colorado attractive for relocating. With high-quality amenitiesfor families and
employees, an outstandlmg I —i— hit, effective buslness resources and quality
commercial real estate, Durango and La Plata County provide the perfect environment for
great ideas. The area boasts impressive entrepreneurial success stories like Mercury
Pavmentsystems:
V Facebook Posts
%I{The La Plata V
w=. Economic Ij1
Development
Alliance
Professional Development
for Managers
wla.me%PAiii 111
MercuryCase Study
Relocate Your B us l ness
Expand 6 Relocate
Local Business News - April 2012
Ali—Mercury Mwi ng'd-orm
Mercury payment Systemswas founded in Durango in 2001. The premise of
founders Jeff and Marc Katz'. was simple, take advantage of the �owth in Internet
credit card processing byembedding payments into the paint of sage (POSj systems
and: mak ng iacaldealerstosell thoseclarions.Mercury's lywith partners.
told:
make kearyfor merchants, and go W market exclusivelywith partners.
staring and growing a business is
neve r easy, but being In Durango
helped. Mercury was able to
attract local funding from Region
9 when banksstill considered
Mercury too rekytu invest in, and
hire a high -quaff w.rdurc
Iocauy, Themmpanycould also srnedMercu�yscu,mnt sparesnatwie.eerso
availablein maa,�oTeW Pork
sell to sophisticated i—I
merchants in downtown Durango and national ly,en—d businesses such as
Parelli Natural Horsemanship in nearby Pagosa Springs. As one o£ Merrsin/s First
customers, Mark Weller, CEO of Pavel Ii, said "it was easy to workwith Mercury
because they were local. innovative and addressing a core need that the larger
processors had ignored,'
Winter Park— Fraser Valley Economic Development
Website and Marketing Examples — Driggs, Teton Valley, Idaho
A4k
COME BUILD IN THE BRIGGS
URBAN RENEWAL DISTRICT
Within this six -block district in the hart of dnwnmwn Driggs,
rhe city olfcrs sttbsidixed development costs to promote infill and
busito. dcrclapmcnt
TAKE ADVANTAGE OF THE DRIGGS
MICRO -LOAN PROGRAM
Driggs has established a competitive micro -loan ftmd to provide
capital to small businesses.
GROW YOUR BUSINESS IN THE
BRIGGS BUSINESS INCUBATOR
Capitalize on below-market subsidized rcpt in the Driggs Busi-
ness Incubator industrial space, located coureniendy along State
Highway 33,
OTHER HANDS-ON SERVICES OFFERED BY THE
` "AGGS TEAM:
- Profile of available city properties
- Rctad leakage analysis
- New -business pemirting assistance
- Fiber optic lines throughout downtown Driggs
- Full-service local airport
- Professional husinem support services
- Market ow twti and SWOT analysis for targeted base industries
- Teton County F—noetic Development Plan
cammunny Asaociati .n
Tema Vasey 6eisness Uewelupmertt Center
tedndd�ttfa
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4/9/15 5
Winter Park— Fraser Valley Economic Development
Website and Marketing Examples — Driggs, Teton Valley, Idaho
But don't just take our word for it...
check out why these business
owners Dig Driggs:
MADE LOCALLY, SHIPPED GLOBALLY
We decided to locate our business in Driggs because we would rather
live here than anywhere else. Irving near to mosntains and epic skiing is
important to us personally, and for our ski binding business. Just minutes
from Driggs is great resort and backcaunthy skiing, Nordic skiing, hiking,
mountain biking, fishing, and hunting. Rmu acrd real ertam are very of ford-
able for both residential and cmistrrer d spamr, and wages gv fara6er bene
than in hater resort mums. And despite our off-rho-heareo-path location, it
d—.'t cost us any more to ship — prodri s, which we do daily.
-Chris Valiante, Owner, Twe"Two Designs
OVIN'THE LOCAVORE SCENE
The primary reason we chose m locate 460 Brad in Driggs is that Driggs
is where we want to live. Tema Ynffig, Idabq Ines a very active laraf frhod
with kdr of grunt reaarrraatq aevzand CSA.s, and a mF-u farmer's
market, wbieb sweater ottr strong local csrsmrner base r,6at it auganenred by
visitors enjoying ovr national parks, powder, and trans. Our location also
enables us to msdy deliver fresh bread to aur Jackson Hole, Wyoming, cos -
mune. 365 days a year. Overhead costs in Driggs are, quite reasonable and
Driggs offers a strong lahor pool, helping m Snd committed, hard-warlr-
ing c riployers who share our love of the arca. Driggs also has many other
complementary small businesses such as graphic designers, web developers,
photographers, and marketing consultants.
-Ty Mack, Owner, 460 Bread
RELOCATE 'r '1,TE
Altergrawi ng Recap 11,1 my parmcr and I decided to mane to the Temno
m be closer to family and the mountains. Within days of arriving in Teton
Valley, I was put in touch with the Dig Driggs Tcaun. A Few days after that,
I signed a lease for a 400�quare-Foot workspace with ery-subsidized rent,
and was barkworking at my sewing machine. I was inphessed at how fast and
belpful everyone was with getting Recap Hats established in Teton Valley.
The town was amazing to work with. They helped with getting my business
license, and assisted with public exposure in the newspapers. Reaap hats bas
been growing sreadify since reiruating m Diggs, and there has been great
supportfnans rbe room ural resirlenu every step fthe may.
-Anneka Herndon, Owner, Recap Hats
TELECOMMUTE AND LIVE THE DREAM
After scouting locations around the world, we chose Driggs and have
never looked back. The epic powder and biking and hiking trails offer
endless cmimment, and the proximity to Yellowstone and Grand Teton
national parks turn on—na-a-lifetime experiences into everyday occur-
rences. Excellent infras¢rucmm allows me to seawfessly tekcommare to
Harley-Davulsvn bac& East wbrfe the active lifestyle in Driggs keeps my
wife bury m a pbysical rberrapist. Scrong comununity values and small-town
chat -m keep ns grounded, and with so many other young, active couples
and Families, we arc never far from adventure or a relaxed get-together.
Now, with our thriving baby boy and burgeoning winery, Tetonic Wines,
we arc thrilled to call Driggs home.
-Jim Sadauckas, Senior Project Engineer, Harley-Davidson Motor
Company and Co -Owner of Tetanic Wines
Pictured with wife Kelly (Streubel Physical Therapy) & ton Casimir
4/9/15 6
Winter Park— Fraser Valley Economic Development
Seasonal Taxable Sales Comparison
■ Winter Park Taxable Sales
Quarterly Taxable Sales Winter Park, 2007-2013
Sorfetl aY _., Qya 1, Soler, High . tan
2007 2008 2008 2010
$40,000.000
$38 000,000
$36.000.000
$34.000,000
$32.000000
$30.000.000
$26.000.000
$26.000000
$24.000.000
$22.000.000
n $20.000,000
$10000000
$16.000.000
$14.000,000
$12.000000
$10.000.000
$8.000,000
$6000,000
$4.000.000
$2.000,000
Grand County Taxable Sales by Town
Quarterly Taxable Sales by Town, 2007-2013
5 -ted by Average QuarteNy Sales, High to L-
2007 2008 2009 2010 2011 2012 2013
Urilnc.
Grand
County V
ao
000000° J'..
Granby
s
$I x,000 uuo
ao
m sm,000.000
Fraser ooa
5.--
2011 2012 2013 Grand Lake w w
rsm,000 000
GRAND a�a.�.ma�0000000a0000000aa 000 ooa
p� E 11/5/2034 58
4/9/15
Fraser Quarterly Taxable Sales on same scale as WP
ff,
N
Fraser does not have any where near the benefit from taxable
sales during the winter as WP. Q2 is lowest — April, May, June,
Fraser's sales taxes already reflect year-round activity, not just
winter skiing.
Winter Park— Fraser Valley Economic Development
Quarterly and Monthly Sales Tax Comparison
Fraser Sales Taxes by Quarter, Simi [ar to RRC Approach
56M.00C
5-91.000
5491.000
$300,000
s2w.000
011 Oa. 43 QA
Fraser Sales Taxes by Month
Sd.a,CCC
5200,000
5150,000
SLOO,000
BUM
�O
Jan Feb Mar Apr May Jum Jul Aug Sep[ Oct Now Dec
4/9/15
Fraser's highest sales tax revenues are in August with
revenues in July close to those in the winter months.
2011 Fraser already has strong summer activity, and we can
—2013 build on that.
—2013
—2014
:U: 1
1012
2013
—'2019
Economic development can target
• Weekend tourists
• Full -week tourists
• Full-time residents
Which of these would be most beneficial for Fraser?
How can we start reaching out to them now?
Email from Jane Mather:
On a related issue, I am very interested in the Town of Fraser hosting a community forum /
world cafe with the Town Board on what the community believes would be the best ways to
make US -40 through Fraser more attractive. April or May before we all get busy again would be
a good time.
This forum would likely lead to lots of good ideas. It would show our interest in community
opinions. We could get a good start without costly consultants. We have had $100,000 in
business enhancement money we didn't spend last year, may be the community has some ideas
on how to spend this money since we haven't had much luck getting ideas from businesses.
Also, I've spoken with one landscape company owner who would be interested in sharing her
thoughts, for free, on how we could use more landscaping to improve Fraser's
appearance. Maybe others would like to share some ideas. Maybe that could be part of the RFP
process for some basic landscaping improvement based on what we learn from the community
forum.
Along the same lines, I would strongly disagree with Jeffs statement in the 3/13 email.
And Community Revitalization?
I would propose that we leave this initiative til later in the year. We have enough in the hopper
already. In the meantime, I think the economic strategy discussions will help us continue to
frame this process. During this time, Catherine will be working on some concepts and drafting
some RFP language.
With so much construction going on, we are going to need something to cheer us up as we drive
through Fraser. I agree with many of our constituents that making Fraser more attractive would
make it more appealing to visitors and new businesses. I would be very interested in our Town
Board considering some of "the low -hanging fruit of economic development projects" that seem
like good ideas no matter what economic development strategies we choose to follow.
Can we please add this topic to the agenda for the April 15 meeting? Maybe with some possible
dates for a community forum / world cafe if there is interest? Would Jane Hansberry be
interested in helping out again?
Jane
Jane Mather
Town of Fraser Board Trustee
MEMO TO: Mayor Smith and the Board of Trustees
FROM: Catherine E. Trotter, AICP, Town Planner
DATE: April 15, 2015
SUBJECT: Fraser Arts Committee
MATTER BEFORE BOARD:
Staff would like to explore the creation of an arts committee to further public art in the Town of
Fraser.
ACTION REQUESTED:
Discussion only.
EXECUTIVE SUMMARY:
Staff is proposing that Fraser establish an Arts Committee (or Commission) for the purpose of
promoting public art in public spaces, ensuring a well rounded programs and promoting
community support.
BACKGROUND:
In 2011, the Colorado legislature passed HB11-1031, encouraging the formation of Creative
Districts in communities, neighborhoods or contiguous geographic areas, for the purposes of:
• Attracting artists and creative entrepreneurs to a community, infusing new energy and
innovation, which in turn will enhance the economic and civic capital of the community;
• Creating hubs of economic activity, thereby enhancing the area as an appealing place to
live, visit and conduct business, as well as create new economic activity;
• Attracting visitors;
• Revitalizing and beautifying communities;
• Providing a focal point for celebrating and strengthening a community's unique identity;
• Showcasing cultural and artistic organizations, events and amenities;
• Contributing to the development of healthy communities; and
• Improving the quality of life of the State's residents.
Grand Creatives is the countywide effort to promote arts and has the following mission:
The mission of Grand Creatives is to support regional partnerships by expanding the creative
industries, through education, communication, and marketing, in order to improve quality of life,
foster a sense of place, and stimulate economic development.
Town of Fraser
PO Box 370, Fraser, CO 80442 office 970-726-5491 fax 970-726-5518
www.frasercolorado.com
There is evidence that promoting creative opportunities in a community has significant positive
cultural and economic impact and has been effectively used as an economic and community
development tool.
Fraser initiated public art at Goranson Station with the creation of the bike chain shelter and the
culvert planters. We are currently working on additional creative amenities at that site. We
hoped that the shelter might become a catalyst for future public arts projects in Fraser.
In January 2015, the Town Planner was approached by several local citizens about pursuing
additional public art installations. The amenities at Goranson Station have truly transformed the
property. It was an unfortunate, barren, vacant lot and we have created life, beauty and art and
made this Town -owned parcel into a focal point in Town.
Among other things, public art creates dialogue about subject things. Different people have
different perspectives about beauty. Is Goranson Station beautiful? The answer depends on
the eye of the beholder. Likewise, many years ago the Town invested significant resources in
the Walk Through History Park. At times in recent years, others have looked back and
wondered how the Town could have invested so much in one artist at one location. This
highlights the value of an Arts Commission. A diverse group of community stakeholders that
promote art, and diversity could help better balance various community interests. And, help
promote public art throughout the community.
With additional public art projects on the horizon and the subjective nature of ART, perhaps the
time is ripe to create a group that can help foster these projects. We envision that this creative
group, appointed by the Town Board, will unite their energies towards fostering specific arts
projects and opportunities in public spaces in Fraser and make recommendations to the Town
Board.
We would anticipate that this would be a volunteer based group, with staff support. Future
expenditures would be based on available General Fund appropriations and/or grants. Finally,
this would be an advisory group with decision making authority remaining with the Town Board.
RECOMMENDATION:
Provide Staff with direction on creating an arts committee to further public art projects and
opportunities in Fraser.
Town of Fraser
PO Box 370, Fraser, CO 80442 office 970-726-5491 fax 970-726-5518
www.frasercolorado.com
Economic Develop Strategies and Action Plans
Jane Mather, April 15, 2015
Possible Goals and Actions for Next Steps
1) Attract Full -Time Residents
a) Types
i) Retirees
ii) "Location -Neutral" Workers
b) Easy Steps
i) Target on Website
ii) Material at Chamber and at Events
c) Harder Steps
i) What would make our community more attractive for
people to live here - survey what is really important?
ii) Can we achieve it
d) Contact Community
i) LaPlata County / Durango
ii) Teton County, Idaho / Driggs
2) Attract Full -Week Visitors
a) Easy Step - Provide Sample Itineraries
i) Make it even easier
ii) 36 hours in ... - 6 days in Grand County
b) Target to Audiences
i) History Buffs
ii) Famililes with Younsters
iii) Families with Teen Agers
iv) Outdoors on a Budget
3) Make US -40 Through Fraser More Attractive
a) Easy Step - Community Forum vjdwo
b) Harder Step
i) Consultant - Urban Planner?
ii) Consultant - Economic Developer?
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