HomeMy Public PortalAboutMinutes_CCMeeting_01172012CITY COUNCIL MEETING JANUARY 17, 2012, 7:00 P.M. PUBLIC HEARING VARIANCE
REQUEST McMURTREY 7:30 P.M.
PRESENT: Mayor Brad Andersen, Council President Jane Shaw, Council member Dennis
McArthur, Council member Dan Gubler, Council member Bruce Case, City Clerk Robyn Keyes,
Public Works Director Zech Prouse, Police Chief Shannon Basaraba, New Council member Rob
Geray.
ABSENT: Treasurer Ron Nelson.
VISITORS: David Louk, Sally Louk, Jolyn Louk, Jon McMurtrey, Gretchen McMurtrey,
Deborah Williams, Jeremy Nelson, Katie Adams, Ryan Moore, Chelsie Moore, Dana Andersen,
Whitney Lott, Dana Izatt, Michael Izatt, Jack Gerard, Sammy Gerard, Sandy Geray.
Mayor Andersen welcomed everyone and led with the Pledge of Allegiance.
Consent Agenda. The consent agenda was reviewed.
Mayor Andersen asked if the Fire truck had found a new home. Council member Gubler said it
had: it would be displayed at the new fire station.
Mayor Andersen asked if the signs for the new park had been addressed. Chief Basaraba said he
had received an ordinance draft from the City attorney and he would forward the information
onto the Mayor.
Mayor Andersen said the first quarter of the fiscal year was complete: the general fund had
expended 28% of its budget and the water fund had only expended 8% of its budget.
The City also had over $650,000 in its accounts.
Council member Gubler asked if the culvert issue in front of the home on Hansen had been
resolved.
The Mayor said it had and the City Attorney indicated that the gas company could be held
responsible for the damages to their home.
Council member McArthur made a motion to accept the consent agenda.
Council member Case seconded the motion. All were in favor.
Motion carried.
State of the City Address. Mayor Andersen said he was proud to announce the City was
operating in the black while many other cities were having serious budget issues. See Appendix
A for full State of the City Address Letter.
Recognize Exiting Council Member. Mayor Andersen presented Council President Jane Shaw
with a service plaque and thanked her for her years of service to the Council.
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President Shaw said she enjoyed serving the Citizens of Iona.
The Council held a short recess to say good bye to Jane Shaw.
Swearing in New Council Members. Mayor Andersen swore in returning Council member Dan
Gubler and new Council member Robert Geray, and welcomed Council member Geray to the
Council.
Public Hearing 7:30 McMurtrey Variance Request. After holding a public hearing and
discussing the issue, the City Council granted approval of a variance request to Jon and Gretchen
McMurtrey. The McMurtrey's were approved to build a home at 5025 Scoresby, which sits off
of a street frontage. The Council also approved vacating the alley adjacent to 5025 Scoresby and
5007 Free and deeding the property to the McMurtreys. See Appendix B for full hearing
minutes.
Annual Audit Report. Dana Izatt went over his annual audit report and explained the
breakdown of the report. Mr. Izatt said the City was doing a good job of balancing its revenues
and expenditures and everything looked good. Mr. Izatt reminded the City continue to keep
updated with IRS compliance.
Mr. Izatt thanked the City for its business.
A full audit report will be on file in the City office.
Election of Council President. Mayor Andersen turned the time over to the Council to discuss
the nomination of a new Council President.
Council member Gubler nominated Council member Case as Council President.
Council member Case said he would accept the nomination.
Council members McArthur and Geray agreed with the nomination.
Council member Gubler made a motion to approve Council member Case as the new Council
President.
Council member McArthur seconded the motion.
All were in favor. Motion carried.
Police Contract Update. Chief Basaraba said he and the Mayor had met with Sheriff Wilde and
Captain Hulse from the Bonneville County Sheriff s Department to discuss an agreement with
the law enforcement contract. Chief Basaraba said that according to Captain Hulse, the City
misunderstood the last meeting where the County was asking for $86,000 annually for the law
enforcement contract: Hulse said he did not intend to come across as if that were the actual
amount. Mayor Andersen and Chief Basaraba negotiated a contract similar to Ucon's to cover
law enforcement and animal control for the amount of $16,000 for the remainder of the fiscal
year. Captain Hulse told the Mayor and chief that there would be operating cost increases each
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year, which could be phased in over the next five years, but the contract for that had not been
created yet.
Chief Basaraba said the agreement presented for $16,000 was a fair cost. The Chief said the City
needed to make a decision whether it would continue to contract with the County or begin
developing a plan to provide the services completely on its own.
Council member Gubler suggested the law enforcement contract cost should be reflected in the
City's Police Budget.
Mayor Andersen recommended reading the contract carefully so the City was not overpaying the
County for their services. For example, sometimes the amount of the contract is far greater than
the actual operating costs for the services.
Council President Case said if the City was receiving the same service as the County residents,
then how much was the City expected to pay above and beyond the County residents.
Mayor Andersen said the City has had a contract with Bonneville County Sheriff for only about
10 years: Before the contract Ross Johnson provided some law enforcement. Mayor Andersen
said because the City was providing its own fulltime officer now, the Citizens of Iona were
receiving more coverage than they had in the past.
The Mayor recommended the Council agree to the contract, and revisit the issue each year to see
where the City was with growth and needs compared to services offered and received by
Bonneville County Sheriffs Department.
Council President Case and Council member Gubler both agreed the current contract was a good
idea and at a reasonable rate.
Council member Geray suggested that after five years' time the City could possibly have grown
its own resources for law enforcement.
Council President Case made a motion to approve the Law Enforcement and Animal Contract
with Bonneville County.
Council member Geray seconded the motion.
All were in favor. Motion carried.
Sally Louk asked about the Citizen Patrol. Council President Case said the City was still looking
into the idea.
Action Item: Chief Basaraba said he would create a presentation for the next Council meeting to
go over the necessary factors and costs for a Citizen Patrol.
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Recognize Vacating Council Member: Mayor Andersen explained that Council member
McArthur was called to serve a mission for his church and would be vacating his seat. Mayor
Andersen thanked Council member McArthur for his years of service and work while on the City
Council and all of the help he had personally given the Mayor. The Mayor recognized McArthur
with the Distinguished Service Award for services such as; City Council member for six years,
Lion's Club member, Pioneer Monument implementation, and other services behind the scenes
for the City.
Council member McArthur said he enjoyed his time on the Council and thanked the citizens for
the opportunity to serve the community.
Reports
Director Prouse reported that Rocky Mountain Environmental was progressing on its study.
Chief Basaraba, no further report.
Council President Case reported the museum renovation was put on hold due to the weather,
but they had purchased some columns for the front porch.
Council member McArthur reported there were 24 Iona prints left through the Lion's Club.
Council member McArthur presented a letter given to him by Deb Sorenson expressing Mr.
Sorenson's concern for a city swimming pool. Mr. Sorenson did suggest a location for a splash
park pool, and that location was in the Iona Square.
Mayor Andersen said the City Council would put on next month's agenda the discussion of the
pool/splash park survey results.
Sally Louk suggested waiting a year or two until the economy was better.
Mayor Andersen agreed and said the pool would need to be passed by the voters and if it were
passed it would take a few years for it to be implemented.
Jolyn Louk said she talked to many people who did not fill out the survey because they felt the
Council did not listen and suggested showing the people they were willing to listen.
Mayor Andersen said he was trying to open the lines of communication by having the Town Hall
Meetings, monthly newsletter, website, and surveys.
Clerk Keyes reported that TRPTA was waiting to hear who the new liaison would be. Mayor
Andersen said that would be addressed at the next Council meeting.
Council member Gubler the fire district took ownership of the new fire station, and the
citizen's home owners insurance premium should drop because the fire station was much closer
to the City.
Council member Geray, no report.
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Mayor Andersen said the City had hired a treasurer to take the place of Ron Nelson when he
retired.
The Mayor handed out a Council meeting schedule for the year 2012 along with a Council and
Employee event assignment schedule. Mayor Andersen asked everyone to look over the schedule
and let him know if any changes needed to be made.
Mayor Andersen said he would like to approach Thane Price to fill Council member McArthur's
vacancy. The Mayor said the reason he would like Mr. Price to fill the seat was because he
received the highest votes after Rob Geray and Dan Gubler, and Mr. Price was knowledgeable
and showed willingness to serve by running for office.
The Council members did not have issues with the Mayor's choice.
Council Meeting adjourned at 9:10 p.m.
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APPENDIX A
STATE OF THE CITY ADDRESS
CITY OF IONA
State of the City Address
By Mayor Brad Andersen
January 17, 2012
I am here to discuss the State of the City. Before we reflect on last year's accomplishments, I
would like to personally thank Robyn Keyes our City Clerk, Ron Nelson our Treasurer, Dale
Storer our Attorney, Zech Prouse our Public Works Director, Shannon Basaraba our Police
Chief, Allen Eldridge our Building Inspector, our P/Z Commission (e.g. Dan Garren (Chair),
Betty Lovinus, Mike Taylor, Robert Geray, and Roy Hobbs), and all of the other committees and
volunteers that make the City of Iona the wonderful place that it is. We also would like to
recognize City Council members: Jane Shaw (President), Dennis McArthur, Dan Gubler, and
Bruce Case for their time and service in behalf of the City of Iona.
2011 was an election year, which held a couple of changes. Council member Dan Gubler was
re-elected, but Council member Shaw was not. We are sad to see her go, but support the
decision of the people of Iona in electing Rob Geray to the council. Council member McArthur
was not up for re-election but decided to serve a church mission with his wife to England and
will be leaving January 23`d, 2012. I am deeply saddened to see Dennis McArthur leave. He has
been my right hand man and has supported me from day one. Besides that, all the service he has
rendered to the people and community of Iona will truly be missed. In February, someone will
be appointed to serve the remaining two years of his term.
A little history of Iona for 2011:
From the excitement of having a mountain lion take up residence in Iona to doubling the existing
bike and walking path, Iona had a lot to be proud of in 2011:
• Governor Otter named Iona "Capital of the Day" and spent all day on March 4th
listening to questions and concerns from the public.
• We received the census data during the first part of 2011, and it showed that Iona had
grown from 1,200 people in 2000 to 1,803 in 2010.
• We had 16 more homes built in 2011.
• We now have 622 water connections. We used over 266 million gallons of water, but we
saved almost a'A million gallons of water from the previous year because of conservation
efforts by the community.
• Half of the monument in front of the City building honoring the pioneers who settled
Iona was erected. A big thanks to Council member Dennis McArthur, John Price
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(sculptor), and Tom Hillesheim, and many others for spear heading this effort. Also, the
many people who donated money and time to see this monument come to pass.
• In addition, the Historical Committee is renovating a building, the old tithing house, and
north of the Stanger Memorial Building. The Historical Committee plans to create a city
museum. We thank Council member Case for the many hours of help that he has
contributed to this great cause.
Accomplishments and activities Iona had for 2011:
1. 14th Annual City Easter Egg Hunt — Robyn Keyes/Ron Nelson.
2. Arbor Day Celebration — Robyn Keyes.
3. Iona Days, fun run, and melodrama.
4. The annual City Spring clean-up was held on the 1st Saturday of May — Zech Prouse and
Dan Gubler.
5. Iona's summer recreation program which included a variety of activities: T-Ball,
pitching machine, and girl's softball program continued as it has in the past, but thanks to
Trent and Sue Ann Dabell, it brought in almost $21,000.
6. Iona's Lions Club continued to have the 4th of July breakfast, the Iona Day's
breakfast, and provided service to the community through donations, time, and labor —
Dennis McArthur.
7. Monthly movie's in the park during the summer — Robyn Keyes.
8 2nd Annual Halloween Trunk -or -Treat.
9. There were many Eagle Scout projects and service projects that saved the City money
and enhanced the community.
10. Purchase of a new police vehicle and backhoe.
11. Support of community programs and committees such as the library, Tree committee,
Bonneville Art Association, Iona Historical Society (Bruce Case), and the Lion's Club
(Dennis McArthur) to name a few.
12. City building was scheduled 113 times, not counting non-profit group use of the building.
13. The Iona Square was scheduled for events 119 times.
14. Ross Johnson who has worked for the City for over 37 years was recognized by naming
the City Shop the "The Ross L. Johnson Public Works Facility" — thanks to Zech Prouse.
15. Established an Emergency Operation Plan for the City of Iona in case there is a large
scale emergency or disaster — thanks to Chief Basaraba.
16. Received a $124,000 dollar grant to double the size of the bike and walking path in Iona
— thanks to Zech Prouse, Robyn Keyes, and Chief Basaraba.
Mayor's Vision and summary: My vision for the City of Iona for this year and the future is as
follows:
1. Manage the growth of the City and continue strict development requirements.
2. Continue to upgrade our water system and ensure it is adequate for our community now
and in the future.
3. Keep Iona as a family community, manage commercial growth, and increase impact area.
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4. Eventually establish an outdoor swimming pool and/or splash park.
5. Continually improve our parks each year.
6. Maintain an open door policy - monthly newsletter, home page, listen to the citizens of
Iona (Town Meetings) - and do what is best for Iona and its people.
7. Provide public safety and protection for our community with our own police.
Summary: In spite of the economic downfall, I am proud to report that Iona is thriving. The City
is financially strong with approximately $650,000 in savings. We have a great team (council and
employees) working together that has helped us be fiscally responsible to our citizens. However,
with more growth, drought, and less water we do need to change our old habits and start to
conserve our most important natural resource, which is our water.
I would like to thank all of those wonderful people of Iona who volunteered their time and
efforts toward some type of service project in 2011 for the City. In 2012 please get involved and
do some kind of service. Whether it is being a good neighbor, volunteering to be on a
committee, or doing some kind of service for the City, please volunteer. "For service is the rent
we pay for living here."
Sincerely,
Brad D. Andersen, Mayor
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APPENDIX B
PUBLIC HEARING 7:30 P.M. McMURTREY VARIANCE REQUEST
PRESENT: Mayor Brad Andersen, Council President Bruce Case, Council member Dennis
McArthur, Council member Dan Gubler, Council member Rob Geray, City Clerk Robyn Keyes,
Public Works Director Zech Prouse, Police Chief Shannon Basaraba.
VISITORS: David Louk, Sally Louk, Jolyn Louk, Jon McMurtrey, Gretchen McMurtrey,
Deborah Williams, Jeremy Nelson, Jack Gerard, Sammy Gerard.
Mayor Andersen explained the procedure for conducting a public hearing and turned the time
over to the McMurtrey's to explain their request.
Jon McMurtrey explained that he and his wife, Gretchen wanted to build a house at 5025
Scoresby, which currently did not have street access and was not on a street front. Mr. McMurtey
questioned why the dedicated alley had not been developed.
Mayor Andersen explained that much of the City was platted years ago and certain alleys were
created for possible future needs and to this point there was not a need for the alley to be
developed.
Mayor Andersen asked if anyone in the audience was against the request, no one was.
Mayor Andersen asked if anyone was neutral or on favor of the request.
Debra Williams said she owned the property adjacent to the McMurtreys and the alley would
not service any other properties, so would the City consider vacating the alley and deeding the
property to property owners.
Mayor Andersen thanked everyone for their input, closed the public portion of the hearing, and
opened discussion to the Council.
President Case asked the McMurtreys to show the location on the large map, they did.
Council member Gubler said the property was a flag property which was landlocked, so the alley
should be made into a private driveway and the property deeded to the land owner.
Council member Gubler said he would like to see an ordinance created to help address other
properties such as this one.
Council President Case asked if Debra Williams would ever subdivide her property, she said she
would not.
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Council member Gubler made a motion to approve the variance request with the stipulation that
the City maintained the utility easement through the property.
Council President Case seconded the motion.
Roll call as follows:
AYE: Council President Case, Council member McArthur, Council member Gubler.
Council member Geray recused himself from voting.
NAY: None.
Council member Gubler made a motion to vacate the alley which was upon the McMurtrey's and
William's property and deed the property to the McMurtreys. The portion of the alley from
Olsen leading to McMurtrey's property would remain as an alley. The McMurtreys must install a
twenty -foot (20') wide access drive with a minimum of six inch (6") engineered fill along the
alley from Olsen to their property, and the property address must be clearly
marked on Olsen Street with a blue street sign that stated it was a private drive.
Council member McArthur seconded the motion.
Roll call as follows:
AYE: Council President Case, Council member McArthur, Council member Gubler.
(Council member Geray recused himself from voting because he served on the Planning
and Zoning board during the first hearing)
NAY: None.
Motion carried.
Public hearing closed at 8:05 p.m.
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CITY OF IONA
** B U D G E T R E P O R T*
FOR 12-31-11 PAGE 3
**** GENERAL FUND **** ESTIMATED * * R E C E I P T E D * * UNRECEIPTED PERCENT
FUND ACCOUNT# ACCOUNT TITLE REVENUE MTD YTD BALANCE RECEIPTED
001 305.000 STATE HIGHWAY USERS 52,000.00 .00 11,025.74 40,974.26 21.20
001 310.000 STATE REVENUE SHARING 44,000.00 .00 12,204.14 31,795.86 27.74
001 315.000 STATE LIQUOR TAX 36,000.00 .00 9,298.00 26,702.00 25.83
001 320.000 BEER & DOG LICENSES 500.00 .00 35.00 465.00 7.00
001 325.000 POLICE REVENUE 18,000.00 624.70 1,641.25 16,358.75 9.12
001 330.000 INTEREST 500.00 11.53 39.51 460.49 7.90
001 335.000 CABLE TV FRANCHISE 5,000.00 .00 .00 5,000.00
001 340.000 NATURAL GAS FRANCHISE 12,000.00 .00 817.22 11,182.78 6.81
001 345.000 POWER FRANCHISE 17,000.00 .00 5,022.93 11,977.07 29.55
001 355.000 BUILDING RENT 7,000.00 883.50 2,668.50 4,331.50 38.12
001 357.000 BUILDING INSPECTION FEES 12,000.00 2,336.00 6,034.80 5,965.20 50.29
001 358.000 GRANTS 5,000.00 3,000.00 3,000.00 2,000.00 60.00
001 360.000 PROPERTY TAX REVENUE 212,000.00 2,819.71 7,995.09 204,004.91 3.77
001 390.000 MISCELLANEOUS REVENUE 7,000.00 100.00 241.00 6,759.00 3.44
001 395.000 RESERVES 60,000.00 .00 .00 60,000.00
**TOTAL GENERAL FUND REVENUE 488,000.00
9,775.44 60,023.18
427,976.82 12.30
**** GENERAL FUND ****
FUND ACCOUNT# ACCOUNT TITLE
ESTIMATED * *EXPENDED** UNEXPENDED PERCENT
EXPENSE
MTD YTD
BALANCE EXPENDED
nol 410.000 PAYROLL
420.000 RETIREMENT
001 422.000 HEALTH INSURANCE
001 424.000 PAYROLL TAXES
001 440.000 ELECTRICITY - NATURAL GAS
001 445.000 OFFICE SUPPLIES
001 446.000 TRAVEL
001 447.000 ADVERTISING
001 450.000 INSURANCE LIABILITY
001 455.000 LEGAL & AUDIT FEES
001 459.000 POLICE -PAYROLL
001 460.000 POLICE-COUNTY/DISPATCH
001 461.000 POLICE -RETIREMENT
001 462.000 POLICE -HEALTH INSURANCE
001 463.000 POLICE -TRAINING
001 464.000 POLICE -GENERAL
001 465.000 VEHICLE RENT
001 470.000 MAINTENANCE
001 472.000 BUILDING INSPECTIONS
001 475.000 CIVIL DEFENSE
001 480.000 LIBRARY
001 485.000 LAND ACQUISITION
001 490.000 CAPITAL IMPROVEMENTS
001 495.000 MISCELLANEOUS EXPENSE
57,000.00 7,369.00 24,503.00 32,497.00
12,000.00 1,643.87 3,903.78 8,096.22
34,000.00 2,503.43 7,510.29 26,489.71
11,000.00 1,149.04 3,122.16 7,877.84
20,000.00 1,094.30 3,851.69 16,148.31
8,000.00 882.13 2,708.96 5,291.04
5,000.00 291.96 291.96 4,708.04
1,500.00 .00 143.35 1,356.65
9,000.00 .00 3,341.00 5,659.00
12,000.00 1,100.00 2,700.00 9,300.00
61,000.00 2,099.00 11,692.00 49,308.00
14,500.00 .00 .00 14,500.00
7,000.00 611.07 1,584.33 5,415.67
12,000.00 1,208.13 3,624.39 8,375.61
8,000.00 .00 2,100.00 5,900.00
18,000.00 3,617.48 9,788.99 8,211.01
5,000.00 .00 .00 5,000.00
90,000.00 3,436.59 16,438.35 73,561.65
10,000.00 2,081.00 3,843.80 6,156.20
.00 .00 .00
2,000.00 .00 .00 2,000.00
10,000.00 .00 .00 10,000.00
73,000.00 1,250.00 32,571.00 40,429.00
8,000.00 582.30 2,013.30 5,986.70
42.99
32.53
22.09
28.38
19.26
33.86
5.84
9.56
37.12
22.50
19.17
22.63
30.20
26.25
54.38
18.26
38.44
44.62
25.17
**TOTAL GENERAL FUND EXPENSES 488,000.00
30,919.30 135,732.35
352,267.65 27.81
**NET EXCESS OR DEFICIENCY(-) 21,143.86-
75,709.17- 75,709.17
CITY OF IONA
** B U D G E T R E P O R T**
FOR 12-31--11
PAGE 5
**** WATER FUND **** ESTIMATED * * R E C E I P T E D * * UNRECEIPTED PERCENT
FUND ACCOUNT# ACCOUNT TITLE REVENUE MTD YTD BALANCE RECEIPTED
002 305.000 COLLECTIONS 185,000.00 12,777.00 42,433.92 142,566.08
002 310.000 HOOK UP FEES 36,000.00 6,000.00 15,000.00 21,000.00
002 315.000 INTEREST 500.00 23.75 66.34 433.66
002 350.000 TANK REPLACEMENT FUND 50,000.00 .00 .00 50,000.00
002 358.000 GRANTS 5,500.00 .00 .00 5,500.00
002 395.000 RESERVES 50,000.00 .00 .00 50,000.00
002 397.000 WATER BOND .00 .00 .00
22.94
41.67
13.27
**TOTAL WATER FUND REVENUE 327,000.00
18,800.75 57,500.26
269,499.74 17.58
**** WATER FUND **** ESTIMATED * *EXPENDED* * UNEXPENDED PERCENT
FUND ACCOUNT# ACCOUNT TITLE EXPENSE MTD YTD BALANCE EXPENDED
002 410.000 SALARIES & BENEFITS 63,000.00 .00 .00 63,000.00
002 440.000 ELECTRICITY 27,000.00 2,876.33 10,709.79 16,290.21
002 445.000 OFFICE, SUPPLIES, LEGAL 8,000.00 1,039.24 2,550.18 5,449.82
002 450.000 ENGINEERING COSTS 10,000.00 .00 .00 10,000.00
002 460.000 VEHICLE EXPENSE .00 .00 .00
0111 465.000 VEHICLE RENT 7,000.00 .00 .00 7,000.00
470.000 REPAIRS & MAINTENANCE 52,000.00 4,573.27 11,989.77 40,010.23
002 480.000 BOND PAYMENT .00 .00 .00
002 482.000 BOND INTEREST .00 .00 .00
002 485.000 TANK REPLACEMENT FUND 90,000.00 .00 .00 90,000.00
002 490.000 CAPITAL IMPROVEMENTS. 70,000.00 .00 .00 70,000.00
002 497.000 WATER SYSTEM UPATE .00 .00 .00
39.67
31.88
23.06
**TOTAL WATER FUND EXPENSE 327,000.00
8,490.84 25,249.74
301,750.26 7.72
**NET EXCESS OR DEFICIENCY(-) 10,309.91
32,250.52 32,250.52-
CITY OF IONA
* *BUDGET REPORT**
FOR 12-31-11 PAGE 6
94
**** EQUIP REPLACEMENT **** ESTIMATED * *RECEIPTED* UNRECEIPTED PERCENT
FUND ACCOUNT# ACCOUNT TITLE
REVENUE
MTD YTD
BALANCE RECEIPTED
003 305.000 EQUIP RENT --WATER 5,000.00 .00 .00 5,000.00
003 310.000 EQUIP RENT --GENERAL 5,000.00 .00 .00 5,000.00
003 395.000 EQUIP RESERVES --WATER 40,000.00 .00 .00 40,000.00
003 396.000 EQUIP RESERVES --GENERAL 40,000.00 .00 .00 40,000.00
**TOTAL EQUIP REPLACEMENT REVENUE
90,000.00 .00 .00 90,000.00
**** EQUIP REPLACEMENT **** ESTIMATED * *EXPENDED* * UNEXPENDED PERCENT
FUND ACCOUNT# ACCOUNT TITLE EXPENSE MTD YTD BALANCE EXPENDED
003 410.000 EQUIP REPLACEMENT --WATER 45,000.00 .00 .00 45,000.00
003 415.000 EQUIP REPLACEMENT --GENERAL 45,000.00 .00 .00 45,000.00
003 490.000 EQUIPMENT PURCHASE .00 .00 .00
**TOTAL EQUIP REPLACEMENT EXPENSE
90,000.00 .00 .00 90,000.00
**NET EXCESS OR DEFICIENCY(-) .00 .00 .00
CITY OF IONA
** B U D G E T R E P O R T*
FOR 12-31-11
PAGE 7
**** RECREATION FUND **** ESTIMATED * * R E C E I P T E D * * UNRECEIPTED PERCENT
FUND ACCOUNT# ACCOUNT TITLE REVENUE MTD YTD BALANCE RECEIPTED
004 305.000 BASEBALL FEES 20,000.00 .00 .00 20,000.00
004 310.000 SHELTER RENTAL 250.00 .00 .00 250.00
004 320.000 WESTERN BOYS FEES 250.00 .00 .00 250.00
004 395.000 RESERVES .00 .00 .00
**TOTAL RECREATION FUND REVENUE
20,500.00 .00 .00 20,500.00
**** RECREATION FUND **** ESTIMATED * *EXPENDED* * UNEXPENDED PERCENT
FUND ACCOUNT# ACCOUNT TITLE EXPENSE MTD YTD BALANCE EXPENDED
004 410.000 RECREATION EQUIPMENT 2,500.00 .00 .00 2,500.00
004 415.000 RECREATION LABOR 8,000.00 .00 .00 8,000.00
004 420.000 BASEBALL SUPPLIES 7,000.00 .00 .00 7,000.00
004 470.000 RECREATION MAINTENANCE 3,000.00 .00 .00 3,000.00
**TOTAL RECREATION FUND EXPENSE
20,500.00 .00 .00 20,500.00
**NET EXCESS OR DEFICIENCY(-) .00
.00 .00
MONTHLY EXPENSE REPOT
12/31/2011
Amount
Date
Description
ROCKY MTN POWER
$ 2,878.33
ELECTRICITY
BRAD ANDERSEN
$ 102.51
TRAVEL
FLORENCES
$ 397.50
CANDY
FIRE SERVICE OF IDAHO
$ 35.00
SERVICE FIRE EXT
JEFFERSON STAR
$ 48.00
INSPECTION TICKETS
IDAHO TRANS DEPT
$ 48.00
LICENSE CAR
PSI
$ 53.25
GARBAGE
BMC
$ 68.28
PARTS
TETON COMMUNICATIONS
$ 93.00
PAGER
PROGRESSIVE IRRIGATION
$ 104.85
IRRIGATION TAX
ROCKHURST UNIVERSITY
$ 164.45
SEMINAR
PRO RENTALS
$ 243.78
COMPACTOR
GREG MCBRIDE
$ 501.00
INSPECTIONS
DELTA DENTAL
$ 419.25
HEALTH INSURANCE
ALLEN ELDRIDGE
$ 2,074.00
LABOR
ALLEN ELDRIDGE
$ 1,540.00
INSPECTIONS
SALT LAKE WHOLESALE
$ 999.17
POLICE -AMMO
BLUE CROSS
$ 3,141.38
HEALTH INSURANCE
SHANNON BASARABA
$ 26.19
MEMORY CARD READER
OFFICE MAX
$ 251.19
OFFICE SUPPLIES
WALMART
$ 22.90
CHRISTMAS PARTY
SAMS CLUB
$ 44.94
CHRISTMAS PARTY
VERIZON
$ 169.36
PHONE
JENA MOORE
$ 520.00
LABOR
GLENWOOD
$ 41.25
CHRISTMAS PARTY
ERIC WHITING
$ 298.13
EAGLE PROJECT
JIMS TROPHY ROOM
$ 25.20
PLAQUE
AIC
$ 50.00
MEETING
IBSD
$ 52.50
SEWER
IDAHO CHIEFS OF POLICE
$ 75.00
DUES
LANE BASEBALL
$ 100.00
DONATION
AFLAC
$ 150.93
HEALTH INSURANCE
BONN CO PROSECUTOR
$ 300.00
RETAINER
DIRECTIVE DATA
$ 445.00
ANNUAL SOFTWARE UPDATE
HOLDEN KIDWELL
$ 800.00
RETAINER
INTERMOUNTAIN GAS CO
$ 1,094.30
NATURAL GAS
RYAN CABINETS
$ 1,250.00
OFFICE DESK
POSTMASTER
$ 45.56
POSTAGE/VVATER BILLS
KIRKHAM AUTO
$ 3.04
PARTS
FALLS PLUMBING
$ 58.67
PLUMBING PARTS
PEAK ALARM
$ 95.91
ALARM
MICRO SERV
$ 102.90
INTERNET
HOME DEPOT
$ 149.85
TOOLS -PARTS
CAL STORES
$ 234.22
TOOLS -TARP -PARTS
TETON MICROBIOLOGY
$ 260.00
WATER TEST
UNITED MAILING
$ 287.90
WATER BILLS
FLEET SERVICES
$ 800.12
FUEL
DIG LINE
$ 11.68
DIG LINE
6-12 EZ MART
. $ 15.86
FUEL
IDAHO TRAFFIC SAFETY
$ 80.00
SIGNS
FAIRPOINT
$ 285.88
PHONE
H D SUPPLY
$ 1,357.87
WATER SYSTEM PARTS
G W SILVER
$ 1,444.85
GENERATOR REPAIR
$ 23,862.95
CITY OF IONA
BANK REPORT
DATE
12/31/11
BANK OF COMMERCE
GENERAL CHECKING
$ 32,384.00
WATER CHECKING
$ 17,251.00
GENERAL SAVINGS
$ 66,481.00
WATER SAVINGS
$ 192,005.00
KEY BANK
GENERAL SAVINGS
$ 157,349.00
WATER SAVINGS
$ 52,449.00
WELLS FARGO
WATER SAVINGS
$ 51,904.00
MERRILL LYNCH
GENERAL SAVINGS
$ 100,962.00
1-17-2012
T0: The Mayor ,City Council and Citizens of Iona.
From: Deb Sorenson 5276 Hansen Ave, Iona , Id 83427.
I'm writing in concern of building a city swimming pool , and wading pool ?
My concern is a Tax burden on the property owners of Iona, with the economy at the present time and
future. We all recall a few years back, a swimming pool , slide and a paint ball area up on the Iona hill,
(Thunder Ridge) Three or four owners couldn't make it work without a tax base. Do to the upkeep cost and
liability insurance. I checked with the Ammon City Council, their pool is paid for. They have contracts
with Hillcrest, and Bonneville high schools for their swim teams, plus their swim lessons and other
programs. Their Expense's for 2011 was $127,234.00, The Revenue , pool fees and after dark pool events
/activities $95,000.00. Which left them (28,634) in the red. With not having to pay for a pool at the cost of
$250,000 or $300,000 if we could build it for that????
Ammon has a population of over 15,000 people, Iona around 2,000, you need to do the math, I have a hard
time believing , as a Mayor and City Council you are entertaining the thought of this in the best interest of
the city of Iona.
As for a wading pool, I would suggest it be installed in the square in town, where all the activities take
place, Iona days, baseball, softball, tennis, and Reunions every weekend, and not to say the walking path
where adults can walk while there children play. I'm sure that the traffic along the Iona road has been
taken into consideration??
Where could it be installed? Behind the city building in the corner near the restrooms, so it wouldn't
interfere with the Iona day, but enhance the event where parents could keep an eye on their children.
It would also be ideal for a ice skating rink during the winter.
Mayor, City Council Members if you have better ideas about these two issues, I would like to hear them?
I'm sorry I couldn't attend this meeting, but would like to hear from you on these two concerns.
Thank You:
Deb Sorenson
Home: 529-4771
Cell: 521-6434
Attached is a copy of Ammons, 2011 actual Finances on there Pool.
A arYcwf\(`1
Pool
8/31/2011
JL&A. JLt di JIvA AL
.L
Projected Revenue
Sub Ledger
2011-12
Sub Ledger
Line Item
Budget
Acct No
Account Description
Line Item Description
Amount
Total
70-213000
Sales Tax
$3,600
$3,600
70-350-345
Swimming Pool Fees
$90,000
$90,000
70-340-348
Swim Pool Activities
After Dark Pool Events/Activities
$5,000
$5,000
Total
$98,600
$98,600
Page 50 of 53
CITY0F,N ".
o
Pool
Budgeted Expenditures
8/31/2011
Sub Ledger
Sub Ledger
Line Item
2011-12
Acct No
Account Description
Line Item Description
Amount
Budget
Total
70-213000
Sales Tax Payable
$3,600
$3,600
70-476-110 Salaries
P
- -
t.a—' Yv,.ivv ,JJV,VVV
Life Guards $43,500
70-476-200 Employee Benefits Social Security (6.2% of wage) $3,100 $5,700
Medicare (1.45% of wage) $725
Workman's Comp (3.75% of wage $1,875
70-476-270 Clothing & Uniforms $500 $500
70-476-300 Bank Fees and Charges $1,000 $1,000
70-476-310 Office Supplies $500 $500
70-476-325 Cell Phone Move to IT $0 $0
70-476-330 Heat $9,188 $9,188
70-476-340 Electric $3,800 $3,800
70-476-375 Notices & Publications $150 $150
70-476-480 Membership Dues Health Dept. Permits $50 $50
70-476-495 Training $750 $750
70-476-500 Department Supplies Training Supplies, Life Jackets, etc $1,000 $9,500
Chemicals $7,950
Treats for grads $150
Misc $100
End of Season Party $300
70-476-580 Building Repair & Maintenance $2,000 $2,000
70-476-585 Pool Repair & Maintenance $5,000 $5,000
70-476-590 Equipment Repair & Maintenanu Furnance Replacement and Othe $6,500 $6,500
70-476-660 IT Intercompany Reimbursement $9,796 $9,796
70-476-689 Pool Events and Activites $3,000 $3,000
Page 51 of 53
OF .0•61.4
Pool
8/31/2011
70-476-700
Capital Outlay - New
Slide
$15,000
$15,000
70-476-900
Miscellaneous Expense
$1,200
$1,200
TOTAL
$127,234
$127,234
Total Revenues
$98,600
Total Expenses
$127,234
Balance -to Parks as Revenue/(Ext
($28,634)
Page 52 of 53
CITY OF IONA - STATE OF IDAHO
IONA, IDAHO
ANNUAL FINANCIAL REPORT
and
COMPLIANCE REPORTS
with
INDEPENDENT AUDITORS' REPORT
For the Year Ended September 30, 2011
eivN
CITY OF IONA - STATE OF IDAHO
ANNUAL FINANCIAL STATEMENTS
For the Year Ended September 30, 2011
TABLE OF CONTENTS
ITEM
PAGE NO.
Independent Auditors' Report - Basic Financial Statements
FINANCIAL SECTION
Statement of Net Assets 1 - 2
Statement of Activities 3 - 4
Balance Sheet - Governmental Funds 5
Reconciliation of the Governmental Funds Balance Sheet to
the Statement of Net Assets 6
Statement of Revenues, Expenditures and Changes in Fund Balance -
Governmental Funds 7
Reconciliation of the Statement of Revenues, Expenditures, and
Changes in Fund Balance of Governmental Funds to the Statement of Activities 8
Statement of Net Assets - Proprietary Fund 9
Statement of Revenues, Expenditures and Changes in Fund Net Assets -
Proprietary Fund 10
Statement of Cash Flows - Proprietary Fund 11
Index to the Notes to the Financial Statements 12
Notes to the Financial Statements 13 - 24
REQUIRED SUPPLEMENTARY INFORMATION
Budget and Actual (With Variances) - General Fund 25
Notes to Budget and Actual Comparison Schedule 26
OTHER SUPPLEMENTARY DATA
Independent Auditors' Report on Internal Control Over Financial Reporting
and on Compliance and Other Matters Based on an Audit of Financial
Statements Performed in Accordance with Government Auditing Standards
27 - 28
MCERTIFIED PUBLIC ACCOUNTANTS
Searle Hart & Associates, rLLc
INDEPENDENT AUDITORS' REPORT
Honorable Mayor and City Council
City of Iona - State of Idaho
Iona, Idaho
Gerald W. Searle, CPA
Steven J. Hart, CPA
Farrell J Steiner, CPA
Dana Eric Izatt, CPA
We have audited the accompanying financial statements of the governmental activities, the business -type activities,
and each major fund of the City of Iona, Idaho, as of and for the year ended September 30, 2011, which collectively
comprise the city's basic financial statements as listed in the table of contents. These financial statements are the
responsibility of the City of Iona's management. Our responsibility is to express an opinion 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
and the standards applicable to financial audits contained in Government Auditing Standards, issued by the
Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also
includes assessing the accounting principles used and significant estimates made by management, as well as
evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our
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, and each major fund of the City of Iona,
Idaho, as of September 30, 2011, and the respective changes in financial position and cash flows, where applicable,
thereof for the year then ended in conformity with accounting principles generally accepted in the United States of
America.
The City of Iona, Idaho, has not presented management discussion and analysis that accounting principles generally
accepted in the United States of America has determined is necessary to supplement, although not required to be part
of, the basic financial statements.
In accordance with Government Auditing Standards, we have also issued a report dated January 17, 2012, on our
consideration of the City of Iona, Idaho's internal control over financial reporting and our tests of its compliance with
certain provisions of laws, regulations, contracts and grant agreements and other matters. The purpose of that report
is to describe the scope of our testing of internal control over financial reporting and compliance and the results of
that testing, and not to provide an opinion on the internal control over financial reporting or on compliance. That
report is an integral part of an audit performed in accordance with Government Auditing Standards and should be
considered in assessing the results of our audit.
The budgetary comparison schedules are not a required part of the basic financial statements but are supplementary
information required by accounting principles generally accepted in the United States of America. We have applied
certain limited procedures, which consisted principally of inquiries of management regarding the methods of
measurement and presentation of the required supplementary information. However, we did not audit the
information and express no opinion on it.
Xani cLa,Qpc,av{ao PLL. C.
January 17, 2012
108 West 1st South • P.O. Box 519 • Rexburg, Idaho 83440 • 208-356-3716 FAX 208-356-4421
Rexburg • Idaho Falls
CITY OF IONA - STATE OF IDAHO
STATEMENT OF NET ASSETS
September 30, 2011
ASSETS
Cash and cash equivalents
Receivables
Internal balances
Due from other governmental
agencies
Capital Assets
Land and improvements not
being depreciated
Infrastructure and infrastructure
in progress
Buildings
Equipment and furniture
Park and improvements
Less: accumulated depreciation
Total Capital Assets
TOTAL ASSETS
BUSINESS -
GOVERNMENTAL TYPE
ACTIVITIES ACTIVITIES
$ 390,288 $
11,706
4,787
38,368
15,626
1,077,654
129,850
230,597
(585,417)
868,310
$ 1,313,459 $
TOTAL
323,815 $ 714,103
4,034 15,740
(4,787)
1,198,803
53,162
32,057
(731,973)
552,049
38,368
15,626
1,198,803
1,130,816
161,907
230,597
(1,317,390)
1,420,359
875,111 $ 2,188,570
The notes to the financial statements are an integral part of this statement. 1
BUSINESS -
GOVERNMENTAL TYPE
ACTIVITIES ACTIVITIES TOTAL
LIABILITIES
Accounts payable and accrued
expenses $ 8,252 $ 6,538 $ 14,790
Credit balance of accounts
receivable 9,017 9,017
Long-term liabilities
Due within one year
Bonds, capital leases and contracts
Accrued interest -
Due in more than one year
Bonds, capital leases and contracts -
TOTAL LIABILITIES 8,252 15,555 23,807
NET ASSETS
Invested in capital assets, net of related debt
Unrestricted
868,310
436,897
552,049 1,420,359
307,507 744,404
TOTAL NET ASSETS $ 1,305,207 $ 859,556 $ 2,164,763
2
CITY OF IONA - STATE OF IDAHO
STATEMENT OF ACTIVITIES
For the Year Ended September 30, 2011
FUNCTIONS/PROGRAMS
Primary government
Governmental activities:
General government
Public safety
Public works
Culture and recreation
Interest on long-term debt
TOTAL GOVERNMENTAL ACTIVITIES
Business -type activities:
Utility fund
TOTAL BUSINESS -TYPE ACTIVITIES
TOTAL PRIMARY GOVERNMENT
Expenses
$ 213,954 $
107,354
104,914
32,192 20,964
PROGRAM REVENUE
Charges for
Services
Operating
Grants and
Contributions
Capital
Grants and
Contributions
344 $ 6,759 $ 140,803
45,851
458,414 21,308 52,610
201,464 173,872
201,464 173,872
$ 659,878 $ 195,180 $ 52,610 $
General revenues:
Taxes:
Property taxes, levied for general purposes
Franchise taxes
Public service taxes
Unrestricted investment earnings
Miscellaneous
Transfers
TOTAL GENERAL REVENUES, SPECIAL ITEMS,
AND TRANSFERS
Change in net assets
Net Assets, October 1, 2010
NET ASSETS, SEPTEMBER 30, 2011
140,803
140,803
The notes to the financial statements are an integral part of this statement. 3
NET (EXPENSE) REVENUE
AND CHANGES IN
NET ASSETS
Business -
Governmental type
Activities Activities
Total
$ (66,048) $ $ (66,048)
(107,354) (107,354)
(59,063) (59,063)
(11,228) (11,228)
(243,693) (243,693)
(243,693)
225,394
41,301
97,035
3,429
7,014
(27,592) (27,592)
(27,592) (27,592)
(27,592) (271,285)
713
36,000
225,394
41,301
97,035
4,142
43,014
374,173 37,963 412,136
130,480 10,371 140,851
1,174,727 849,185 2,023,912
$ 1,305,207 $ 859,556 $ 2,164,763
4
CITY OF IONA - STATE OF IDAHO
BALANCE SHEET
GOVERNMENTAL FUNDS
September 30, 2011
TOTAL
GENERAL GOVERNMENTAL
FUND FUNDS
ASSETS
Cash and cash equivalents $ 390,288 $ 390,288
Taxes receivable, net 11,706 11,706
Due from other funds 4,787 4,787
Receivable from other governments 38,368 38,368
TOTAL ASSETS
$ 445,149 $ 445,149
LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable $ 8,252 $ 8,252
Deferred revenue 7,782 7,782
TOTAL LIABILITIES
FUND BALANCES
Unassigned
TOTAL FUND BALANCES
TOTAL LIABILITIES AND
FUND BALANCES
16,034 16,034
429,115 429,115
429,115 429,115
$ 445,149 $ 445,149
The notes to the financial statements are an integral part of this statement. 5
CITY OF IONA - STATE OF IDAHO
RECONCILIATION OF THE GOVERNMENTAL FUNDS BALANCE SHEET
TO THE STATEMENT OF NET ASSETS
September 30, 2011
Total fund balance, governmental funds
Amounts reported for governmental activities in the Statement of Net Assets
are different because:
Capital assets used in governmental activities are not current financial
resources and therefore are not reported in this fund financial statement, but
are reported in the governmental activities of the Statement of Net Assets.
Certain other long-term assets are not available to pay current period
expenditures and therefore are not reported in this fund financial statement,
but are reported in the governmental activities of the Statement of Net Assets.
$ 429,115
868,310
7,782
Net Assets of Governmental Activities in the Statement of Net Assets $ 1,305,207
The notes to the financial statements are an integral part of this statement. 6
CITY OF IONA - STATE OF IDAHO
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
GOVERNMENTAL FUNDS
For the Year Ended September 30, 2011
TOTAL
GENERAL GOVERNMENTAL
FUND FUNDS
REVENUES
Property taxes $ 249,103 $ 249,103
Fees and fines 7,439 7,439
Licenses and permits 344 344
Intergovernmental 135,447 135,447
Investment earnings 3,429 3,429
Miscellaneous 27,978 27,978
Franchise 41,301 41,301
Building grants and income 147,562 147,562
Total revenues
612,603 612,603
EXPENDITURES
Current:
General government 159,427 159,427
Public safety 107,351 107,351
Public works 122,572 122,572
Culture and recreation 15,436 15,436
Debt Service:
Principal
Interest and other charges
Capital outlay 195,468 195,468
Total expenditures
Excess (deficiency) of revenues
over expenditures
OTHER FINANCING SOURCES (USES)
Proceeds from long-term debt, net
Transfers in
Transfers out
Total other financing sources and uses
600,254 600,254
12,349 12,349
Net change in fund balances 12,349 12,349
Fund Balances, October 1, 2010 416,766 416,766
FUND BALANCES, SEPT. 30, 2011 $ 429,115 $ 429,115
The notes to the financial statements are an integral part of this statement. 7
CITY OF IONA - STATE OF IDAHO
RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE OF GOVERNMENTAL FUNDS
TO THE STATEMENT OF ACTIVITIES
For the Year Ended September 30, 2011
Net change in fund balances - total governmental funds:
Amounts reported for Governmental Activities in the Statement of Activities are
different because:
Governmental funds report outlays for capital assets as expenditures because such
outlays use current financial resources. In contrast, the Statement of Activities
reports only a portion of the outlay as expense. The outlay is allocated over the assets'
estimated useful lives as depreciation expense for the period.
This is the amount by which capital outlays $195,468 exceeded depreciation $53,628
in the current period.
Governmental funds do not present revenues that are not available to pay current
obligations. In contrast, such revenues are reported in the Statement of Activities
when earned.
Change in net assets of governmental activities
$ 12,349
141,840
(23,709)
$ 130,480
The notes to the financial statements are an integral part of this statement. 8
CITY OF IONA - STATE OF IDAHO
STATEMENT OF NET ASSETS - PROPRIETARY FUND
September 30, 2011
ASSETS
WATER
FUND
Current assets:
Cash and cash equivalents $ 323,815
Accounts receivable
Utilities 4,034
Total current assets 327,849
Noncurrent assets:
Capital assets:
Buildings 53,162
Water system 1,198,803
Equipment 32,057
Accumulated depreciation (731,973)
Total noncurrent assets 552,049
TOTAL ASSETS 879,898
LIABILITIES
LIABILITIES
Current liabilities:
Accounts payable 6,538
Credit balance of accounts receivable 9,017
Interfund payable 4,787
Current portion long-term debt
Total current liabilities
Long-term debt:
Revenue bonds payable
20,342
TOTAL LIABILITIES 20,342
NET ASSETS
Invested in capital assets, net of related debt
Unrestricted
TOTAL NET ASSETS
552,049
307,507
$ 859,556
The notes to the financial statements are an integral part of this statement. 9
CITY OF IONA - STATE OF IDAHO
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES
IN FUND NET ASSETS - PROPRIETARY FUND
For the Year Ended September 30, 2011
OPERATING REVENUES
Utility services
WATER
FUND
$ 173,872
OPERATING EXPENSES
Depreciation 43,178
Power 29,026
Repairs, maintenance and supplies 69,260
Labor 60,000
TOTAL OPERATING EXPENSES
OPERATING INCOME (LOSS)
201,464
(27,592)
NON -OPERATING REVENUES (EXPENSES)
Interest earned 713
Hookup fees and permits 36,000
Grants 1,250
Interest expense
TOTAL NON -OPERATING REVENUE (EXPENSE) 37,963
NET INCOME (LOSS) 10,371
TRANSFERS
Change in net assets 10,371
NET ASSETS, Beginning of Year 849,185
NET ASSETS, End of Year $ 859,556
The notes to the financial statements are an integral part of this statement. 10
CITY OF IONA - STATE OF IDAHO
STATEMENT OF CASH FLOWS - PROPRIETARY FUND
For the Year Ended September 30, 2011
WATER
FUND
CASH FLOWS FROM OPERATING ACTIVITIES
Cash received from customers $ 174,678
Cash payments for goods and services (94,744)
Cash payments to employees (60,000)
NET CASH PROVIDED (USED) BY
OPERATING ACTIVITIES 19,934
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES
Transfers
CASH FLOWS FROM CAPITAL AND RELATED
FINANCING ACTIVITIES
Purchase of equipment
(18,953)
NET CASH PROVIDED (USED) FOR CAPITAL
AND RELATED FINANCING ACTIVITIES (18,953)
CASH FLOWS FROM INVESTING ACTIVITIES
Interest revenue
Hookup fees and permits
713
37,250
NET CASH PROVIDED (USED) BY INVESTING
ACTIVITIES 37,963
NET INCREASE (DECREASE) IN CASH AND
CASH EQUIVALENTS
BEGINNING CASH AND CASH EQUIVALENTS
ENDING CASH AND CASH EQUIVALENTS
38,944
284,871
$ 323,815
RECONCILIATION OF OPERATING INCOME TO NET CASH
PROVIDED (USED) BY OPERATING ACTIVITIES
Operating income $ (27,592)
Adjustments to reconcile operating income to
net cash provided (used) by operating activities:
Depreciation and amortization 43,178
(Increase) decrease in receivables 806
Increase (decrease) in:
Accounts payable 1,572
Accrued expenses 1,970
NET CASH PROVIDED (USED) BY
OPERATING ACTIVITIES
$ 19,934
The notes to the financial statements are an integral part of this statement. 11
NOTES TO THE FINANCIAL STATEMENTS
CITY OF IONA- STATE OF IDAHO
INDEX TO NOTES TO THE FINANCIAL STATEMENTS
For the Year Ended September 30, 2011
NOTES INDEX
1. Summary of Significant Accounting Policies
A. General
B. Reporting Entity
C. Government -wide and Fund Financial Statements
D. Measurement Focus and Basis of Accounting
E. Assets, Liabilities, and Fund Balances/Net Assets
F. Budgets and Budgetary Accounting
G. Revenues and Expenditures/Expenses
H. Expenditure/Expense Recognition
I. Interfund Activity and Balances
J. Use of Estimates
2. Cash and Investments
3. Capital Assets
4. Retirement Plan
5. Franchise Fees
6. Litigation and Contingent Liabilities
7. Long -Term Debt and Capital Leases
8. Related Party Transactions
9. Material Violation of Finance -Related Legal and Contractual Provisions
10. Risk Management
11. Deficits and Interfund Transactions
12. Subsequent Events
13. Nonspendable and Spendable Fund Balances
12
CITY OF IONA - STATE OF IDAHO
NOTES TO THE FINANCIAL STATEMENTS
For the Year Ended September 30, 2011
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
City of Iona is organized and operates under the provisions of the Idaho Constitution and the accounting policies
and practices of the City conform to accounting principles generally accepted in the United States of America as
applied to governments, except for the exceptions noted hereafter:
A. GENERAL
The fmancial statements listed in the table of contents have been prepared in accordance with generally
accepted accounting principles (GAAP) as applied to governmental entities. The Governmental Accounting
Standards Board (GASB) is the accepted standard -setting body for establishing governmental accounting and
fmancial reporting principles.
In June 1999, the GASB issued and approved Statements No. 34, Basic Financial Statements -and
Management's Discussion and Analysis for State and Local Governments. These statements establish new
fmancial reporting requirements for state and local governments, public colleges, and universities throughout
the United States. They require new information and restructure much of the information that governments
have presented in the past. Certain significant changes in the statement include the following:
- Financial statements prepared using the full accrual accounting method for all City activities.
The City's basic fmancial statements consist of government -wide fmancial statements, including a statement
of net assets and a statement of activities, and fund fmancial statements which provide a more detailed level
of fmancial position.
B. REPORTING ENTITY
The reporting entity does not include those funds under the direct jurisdiction of other governing boards,
elected or appointed, that exercise substantially or total administrative and supervisory authority in their
name and are considered to be substantially autonomous from City of Iona government, and are not included
in this report.
C. GOVERNMENT -WIDE AND FUND FINANCIAL STATEMENTS
The City's basic fmancial statements consist of both government -wide statements and fund statements. The
government -wide statements focus on the City as a whole, while the fund statements focus on individual
funds.
Government -wide Financial Statements
The government -wide statements present information on all non -fiduciary activities of the government. The
City's activities are distinguished between governmental and business -type activities. Governmental
activities generally are fmanced through taxes, intergovernmental revenues, and other non -exchange
revenues. Business -type activities are financed in whole or in part by fees charged to external parties for
goods or services. The effects of interfund activity have been eliminated from the government -wide
statements except for the residual amounts due between governmental and business -type activities.
13
CITY OF IONA - STATE OF IDAHO
NOTES TO THE FINANCIAL STATEMENTS
For the Year Ended September 30, 2011
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
The Statement of Net Assets presents the City's non -fiduciary assets and liabilities, with the difference
reported as net assets. Net assets are restricted when constraints placed upon them are either externally
imposed or are imposed by constitutional provisions or enabling legislation.
The Statement of Activities demonstrates the degree to which the direct expenses of a given function or
segment are offset by program revenues. Direct expenses are those that are clearly identifiable within a
specific function. The City does not allocate general government (indirect) expenses to other functions.
Program revenues include: 1) charges to customers or applicants who purchase, use, or directly benefit from
goods, services, or privileges provided by a given function; and 2) grants and contributions that are restricted
to meeting the operational or capital requirements of a particular function. Taxes and other revenues not
meeting the defmition of program revenues are reported as general revenues.
Fund Financial Statements
The financial transactions of the City are recorded in individual funds. A fund is a separate accounting entity
with a self -balancing set of accounts. Fund accounting is used to demonstrate legal compliance and to aid
financial management by segregating transactions related to certain government functions or activities.
Separate statements are provided for governmental and proprietary funds. For governmental and proprietary
funds, the emphasis is on major funds, with each displayed in a separate column.
The City reports the following major governmental fund:
■ General Fund - The fund is the principal operating fund of the City. It is used to account for all
financial resources not required to be accounted for in another fund.
The City reports the following major enterprise fund
Water Fund — The fund accounts for the operation and maintenance of water operations which is
funded by user fees.
Governmental Fund Types
Governmental funds account for the City's general activities including current expendable fmancial resources
(except for those accounted for in proprietary funds), and are those through which most governmental
functions of the, City are financed. The following are the City's governmental fund types:
General Fund — The General Fund is the general operating fund of the City. It is used to account for all
financial resources except those required to be accounted for in another fund.
14
CITY OF IONA - STATE OF IDAHO
NOTES TO THE FINANCIAL STATEMENTS
For the Year Ended September 30, 2011
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Proprietary Fund Types — Enterprise Funds
Enterprise Funds — Enterprise Funds account for operations that meet one of two criteria: 1) the activity runs
in a manner similar to private business enterprises. Moreover, the intent of the governing body is that the
ongoing operating costs (including depreciation) of providing goods or services to the public are financed or
recovered primarily through user charges, or 2) where the governing body has decided that periodic
determination of revenues earned, expenses incurred, and/or net income is appropriate for capital
maintenance, public policy, management control, accountability, or other purposes.
Fiduciary Fund Types
Fiduciary Funds — Fiduciary Funds account for assets held in a trustee capacity or as an agent for individuals,
private organizations, or other governments. The City has none of these funds.
Trust and Agency Funds — Private Purpose Trust Funds account for funds held in a trustee capacity. Agency
funds are purely custodial in nature. The City has none of these funds.
D. MEASUREMENT FOCUS AND BASIS OF ACCOUNTING
The government -wide financial statements are prepared using the economic resources measurement focus
and the accrual basis of accounting. Revenues are recorded when earned and expenses are recorded when
the related liability is incurred, regardless of the timing of the cash flows. Property taxes are recognized as
revenues in the year for which they are levied. Other revenues are recognized in the year in which the related
sales or other activity has occurred. Grants and similar items are recognized as revenue when all eligibility
requirements have been met.
The proprietary and fiduciary fund statements are prepared using the economic resources measurement focus
and the accrual basis of accounting. Proprietary funds distinguish operating revenues and expenses from
nonoperating items. Operating revenues generally result from exchange transactions associated with the
principal activity of the fund. Exchange transactions are those in which each party receives and gives up
essentially equal values. Nonoperating items, such as interest expense and investment earnings, result from
nonexchange transactions or ancillary activities.
For business -type activities and enterprise funds, the City follows all GASB pronouncements and all
Financial Accounting Standards Board (FASB) pronouncements issued on or before November 30, 1989
unless those standards conflict with a GASB pronouncement.
The governmental fund financial statements are prepared and reported using the current financial resources
measurement focus and the modified accrual basis of accounting. Revenues are recognized when they are
both measurable and available. Expenditures are generally recorded when the related liability is incurred.
E. ASSETS, LIABILITIES, AND FUND BALANCES/NET ASSETS
Following are the City's significant policies regarding recognition and reporting of certain assets, liabilities,
and equity:
15
CITY OF IONA - STATE OF IDAHO
NOTES TO THE FINANCIAL STATEMENTS
For the Year Ended September 30, 2011
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Cash and Investments
Cash and cash equivalents consist primarily of demand deposits with fmancial institutions and short-term
investments with original maturities of three months or less from the purchase date. Investments include
pooled investments and certificates of deposit with original maturities greater than three months.
Receivables
Taxes receivable include accrued amounts for sales taxes and delinquent property taxes. Receivables from
other governments are reasonably assured; accordingly, no allowance for uncollectible accounts has been
established.
Water receivables consist of amounts due from water users. An allowance of $1,400 is included for
uncollectible amounts.
Taxes Receivable
Property taxes are levied in September of each year and become payable on December 20 and June 20 of the
following year for real property taxes and December 20 for personal property taxes.
Property taxes attach as an enforceable lien as of December 20 following levy in September. Therefore, no
amount has been set aside for an allowance of doubtful accounts. Property taxes not collected before
December 1, 2011 are classified as deferred revenue.
Capital Assets
The City defines a capital asset as an asset with an initial cost of $4,000 or more for equipment, $10,000 or
more for vehicles, $40,000 or more for land and buildings and an estimated useful life of more than one year.
Such assets are recorded at historical cost or estimated historical cost. Donated capital assets are recorded at
estimated fair value on the date of donation.
Capital assets purchased in governmental funds are recorded as expenditures in the governmental fund
statements. Interest expense for capital asset construction related to governmental activities is not
capitalized. Interest expense incurred during construction of capital assets related to business -type activities
is capitalized. The costs of normal maintenance and repairs that do not add to the value of the asset or
materially extend the asset's life are not capitalized.
Building, equipment, infrastructure, and other depreciable assets are depreciated using the straight-line
method over the estimated useful lives of 5 to 40 years.
Capital assets are reported in the applicable governmental or business -type activities columns in the
government -wide financial statements.
16
CITY OF IONA - STATE OF IDAHO
NOTES TO THE FINANCIAL STATEMENTS
For the Year Ended September 30, 2011
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Long-term Obligations
In the government -wide statements and proprietary fund statements, long-term debt and other long-term
obligations are reported as liabilities. Bond premiums, discounts, and issuance costs are deferred and
amortized over the life of the bonds using the straight-line method, which approximates the effective interest
method. Bonds payable are reported net of the applicable bond premium or discount.
In the governmental fund financial statements, bond premiums, discounts, and issuance costs are recognized
as expenditures in the current period. Premiums received on debt issuances are reported as other financing
sources, while discounts on debt issuances are reported as other fmancing uses. Issuance costs, whether or
not withheld from the actual debt proceeds received, are reported as debt service expenditures. The face
amount of debt issued is reported as other financing sources.
Net Assets/Fund Balances
The difference between assets and liabilities is net assets on the government -wide, proprietary fund, and
fiduciary fund statements, and fund balance on the governmental fund statements.
F. BUDGETS AND BUDGETARY ACCOUNTING
The Idaho Constitution and the Idaho Department of Revenue and Taxation prescribe the budget process and
procedures for governmental subdivisions. The City of Iona has satisfied the basic requirements prescribed in
the following particulars:
1) Formulation of subsequent year budget requirements by internal City officers and personnel.
2) Perusal of formulated budgets by the City Council and its clerk.
3) Presentation of preliminary and final budget requirements in formal news media of the City.
4) Open hearings to permit taxpayer input before such budgets are formally adopted.
Subsequent control budgets following adoption is accomplished through a budget -expenditures control
system with interim status accounting and reporting made available to officers and employees for
management purposes. Budgets are adopted on a cash basis of accounting. The City does not maintain a
formal encumbrance accounting system.
17
CITY OF IONA - STATE OF IDAHO
NOTES TO THE FINANCIAL STATEMENTS
For the Year Ended September 30, 2011
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
G. REVENUES AND EXPENDITURES/EXPENSES
Under the modified accrual basis of accounting, revenues are recognized in governmental funds when
"measurable and available." Revenues are considered to be available when they are collected within the
current period or expected to be collected soon enough thereafter to pay liabilities of the current period. City
of Iona considers property tax revenues to be "available" if they are collected within 60 days after year-end.
Grants and similar items are recognized as revenue when all eligibility requirements have been met. All
other revenues, including sales taxes, are considered to be available if they are collected within 30 days after
year-end. Proceeds of long-term debt and acquisitions under capital leases are reported as other financing
sources.
In proprietary funds and government -wide statements, revenues are recognized when earned.
H. EXPENDITURE/EXPENSE RECOGNITION
In governmental funds, expenditures are generally recorded when the related liability is incurred. However,
debt service expenditures, as well as expenditures related to compensated absences and claims and
judgments, are recorded only when payment is due. Capital asset acquisition and construction are reported
as expenditures in the period they are acquired.
In proprietary funds and government -wide statements, expenses are recorded when the related liability is
incurred.
Operating expenses for the enterprise fund, if applicable, include the cost of services, administrative
expenses, and depreciation on capital assets. All revenues and expenses not meeting this definition are
reported as nonoperating revenues and expenses.
When an expenditure or expense is incurred for purposes for which both restricted and unrestricted resources
are available, the City generally uses restricted resources fast, then unrestricted resources.
I. INTERFUND ACTIVITY AND BALANCES
Government -wide Statements
In general, eliminations have been made to minimize the double -counting of internal activity. There was an
interfund receivable and payable of $4,787 at September 30, 2011. During 2011, there were no transfers
between the governmental and business -type activities.
Governmental Fund Statements
Interfund transactions for goods and services provided and used are reported as revenues and
expenditures/expenses in the funds involved. Cash transfers between funds of the City are reported as other
financing sources and uses in the governmental fund statements.
18
CITY OF IONA - STATE OF IDAHO
NOTES TO THE FINANCIAL STATEMENTS
For the Year Ended September 30, 2011
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
J. USE OF ESTIMATES
The preparation of financial statements in conformity with generally accepted accounting principles requires
management to make estimates and assumptions that affect the reported amounts of assets and liabilities and
disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts
of revenues and expenses during the reporting period. Actual results could differ from those estimates.
2. CASH AND INVESTMENTS
The City in effect maintains checking accounts that are available for use by specific funds. Cash deposits and
cash investments by the City Treasurer as of September 30, 2011 totaled $714,103 of which $46,334 represents
demand deposits, $514,907 represents savings accounts, and $152,862 represents simple time certificates of
deposit.
The deposits and simple time certificates of deposits by the City are not collateralized nor are they required to be
by Idaho State Statute.
The City follows the requirements of the Idaho Public Depository Law (Idaho Code Section, Title 57-100), and
applicable investment rights and restrictions cited by Idaho Code Section, Title 67, 67-1210.
The City had the following depository accounts. All deposits are carried at cost plus accrued interest.
Bank
Depository Account: Balance
Insured $ 612,555
Uninsured and uncollateralized 131,907
Total deposits $ 744,462
Custodial Credit Risk -Deposits. Custodial credit risk is the risk that in the event of a bank failure, the
government's deposits may not be returned to it. The government does not have a deposit policy for custodial
credit risk. As of September 30, 2011, $131,907 of the government's bank balance of $744,462 was exposed to
custodial credit risk as follows:
Uninsured and uncollateralized of $131,907 for a total of $131,907.
19
CITY OF IONA - STATE OF IDAHO
NOTES TO THE FINANCIAL STATEMENTS
For the Year Ended September 30, 2011
3. CAPITAL ASSETS
Capital asset activity for the year ended September 30, 2011 was as follows:
Balance Balance
10-01-10 Additions Deletions 9-30-11
Governmental Activities
Capital assets, not being depreciated
Land $ 15,626 $ $ $ 15,626
Total capital assets, not being depreciated
15,626 15,626
Capital assets, being depreciated
Streets
Buildings and improvements 1,077,654 - 1,077,654
Parks and improvements 56,029 174,568 230,597
Machinery and equipment 108,950 20,900 129,850
Total capital assets, being depreciated 1,242,633 195,468 1,438,101
Less accumulated depreciation for
Streets _
Buildings and improvements (474,734) (25,649) (500,383)
Parks and improvements (14,318) (13,414) (27,732)
Machinery and equipment (42,737) (14,565) (57,302)
Total accumulated depreciation (531,789) (53,628) (585,417)
Total capital assets, being depreciated, net 710,844 141,840 - 852,684
Governmental activity, capital assets, net $ 726,470 $ 141,840 $ - $ 868,310
Depreciation expense was charged to current function of the primary government as follows:
Governmental Activities
General government $ 29,264
Public works 7,605
Public safety 3
Culture and recreation 16,756
Total governmental activities $ 53,628
20
CITY OF IONA - STATE OF IDAHO
NOTES TO THE FINANCIAL STATEMENTS
For the Year Ended September 30, 2011
3. CAPITAL ASSETS (Continued)
Balance Balance
10-01-10 Additions Deletions 9-30-11
Proprietary Activities
WATER
Buildings $ 4,162 $ 49,000 $ - $ 53,162
Equipment 74,000 (41,943) 32,057
Water system 1,186,907 11,896 - 1,198,803
Total water assets, being depreciated 1,265,069 18,953 - 1,284,022
Total capital assets being depreciated
1,265,069 18,953 1,284,022
Less accumulated depreciation for
Buildings (2,981) (3,683) - (6,664)
Equipment (26,160) (590) (26,750)
Water system (659,654) (38,905) (698,559)
Total accumulated depreciation
(688,795) (43,178) (731,973)
Total capital assets, being depreciated, net $ 576,274 $ (24,225) $ $ 552,049
Depreciation expense was charged to current function of the proprietary funds as follows:
Proprietary Activities
Water $ 43,178
Total proprietary activities $ 43,178
4. RETIREMENT PLAN
Public Employee Retirement System of Idaho (PERSI) — The PERSI Base Plan, a cost sharing multiple -employer
public retirement system, was created by the Idaho State Legislature. It is a defined benefit plan requiring that
both the member and the employer contribute. The plan provides benefits based on members' years of service,
age and compensation. In addition, benefits are provided for disability, death, and survivors of eligible members
or beneficiaries. The authority to establish and amend benefit provisions is established in Idaho Code. Designed
as a mandatory system for eligible state and school district employees, the legislation provided for other political
subdivisions to participate by contractual agreement with PERSI. After 5 years of credited service, members
become fully vested in retirement benefits earned to date. Members are eligible for retirement benefits upon
attainment of the ages specified for their employment classification. For each month of credited service, the
annual service retirement allowance is 2.0% (2.3% police/firefighter) of the average monthly salary for the
highest consecutive 42 months.
PERSI issues publically available stand alone fmancial reports that include audited fmancial statements and
required supplementary information. These reports may be obtained from PERSI's website at
www.persi.idaho.gov.
21
CITY OF IONA - STATE OF IDAHO
NOTES TO THE FINANCIAL STATEMENTS
For the Year Ended September 30, 2011
4. RETIREMENT PLAN (Continued)
The actuarially determined contribution requirements of the City of Iona and its employees are established and
may be amended by the PERSI Board of Trustees. For the year ended June 30, 2010, the required contribution
rate as a percentage of covered payroll for members was 6.23% for general members and 7.69% for
police/firefighters. The employer rate as a percentage of covered payroll was 10.39% for general members and
10.73% for police/firefighter members. The City of Iona's contributions required and paid were $16,193,
$14,754, and $8,841 for the three years ended September 30, 2011, 2010, and 2009 respectively.
5. FRANCHISE FEES
The City has collected the following franchise fees for the year ended September 30, 2011:
Utah Power and Light $ 25,394
Intermountain Gas Company 11,199
TCI Cable TV 4,708
$ 41,301
6. LITIGATION AND CONTINGENT LIABILITIES
There are currently no lawsuits pending against the City.
7. LONG-TERM DEBT
Long-term Obligation Activity:
General long-term obligations of the City include revenue bonds for a water project. During the year ending
September 30, 2011, the following changes occurred in long-term debt:
Water bonds -Business
Balance Balance Amount due
10-01-10 Additions Deletions 9-30-11 within one year
$ - $ $ - $ $
Total long-term activities $ $ $ $ $
22
CITY OF IONA - STATE OF IDAHO
NOTES TO THE FINANCIAL STATEMENTS
For the Year Ended September 30, 2011
7. LONG-TERM DEBT (Continued)
Debt Service Requirements:
Debt service requirements on long-term debt at September 30, 2011, are as follows:
Business -type Activities Water Bonds
Year
2012
2013
2014
Principal Interest
All of long-term debt belongs to the Water Fund.
8. RELATED PARTY TRANSACTIONS
The City has not been directly involved in related party transactions that would violate the Idaho Code or Federal
Regulations.
9. MATERIAL VIOLATION OF FINANCE -RELATED LEGAL AND CONTRACTUAL PROVISIONS
There are no known violations of direct finance -related legal and contractual provisions except for the debt
service requirement mentioned above.
10. RISK MANAGEMENT
The City is exposed to various risks related to torts; theft of, damage to, and destruction of assets; errors and
omissions; and natural disasters. The City's risk management program encompasses various means of protecting
the City against loss by obtaining property, casualty coverage through commercial insurance carriers. The City's
participation in the risk pool is limited to paying premiums for its general liability insurance coverage. Settled
claims have not exceeded insurance coverage in any of the previous three years. There has not been any
significant reduction in coverage from that of the previous year.
11. DEFICITS AND INTERFUND TRANSACTIONS
There were no fund deficits reportable by the City. The City had no transfers during the year.
23
CITY OF IONA - STATE OF IDAHO
NOTES TO THE FINANCIAL STATEMENTS
For the Year Ended September 30, 2011
12. SUBSEQUENT EVENTS
There are no known subsequent events that will have a material impact on the operation of the City. Subsequent
events have been considered through the report date of January 17, 2012.
13. NONSPENDABLE AND SPENDABLE FUND BALANCES
Fund balance is separated into nonspendable and spendable fund balance. Nonspendable fund balance includes
amounts that cannot be spent because they are either: (1) not in spendable form; or (2) legally or contractually
required to be maintained intact. Spendable amounts are classified into restricted, committed, assigned and
unassigned. The following is a list of nonspendable and spendable fund balance designations for the City of
Menan.
Unassigned. This fund balance is not assigned to any specific purpose. The City of Iona will use the unassigned
fund balance for expenditures in the subsequent fiscal year.
24
CITY OF IONA - STATE OF IDAHO
BUDGET AND ACTUAL (WITH VARIANCES)
GENERAL FUND
For the year ended September 30, 2011
REVENUES
Property taxes
Sales and miscellaneous taxes
Fees and fines
Licenses and permits
Intergovernmental
Investment earnings
Franchise
Miscellaneous
Building grants and income
Cash reserves
EXPENDITURES
Current:
General government
Public safety
Highways and roads
Culture and recreation
Debt Service:
Principal
Interest and other charges
Capital outlay
EXCESS OF REVENUES OVER
(UNDER) EXPENDITURES $
BUDGETED AMOUNTS
ORIGINAL FINAL
ACTUAL
AMOUNTS
BUDGETARY
BASIS
VARIANCE WITH
FINAL BUDGET -
POSITIVE
(NEGATIVE)
$ 206,000 $ 206,000 $ 246,215 $ 40,215
12,000 12,000 7,439
400 400 344
108,000 108,000 135,447
400 400 316
32,700 32,700 41,301
22,500 48,500 27,151
26,000 150,000 147,562
60,000 60,000
468,000 618,000 605,775
174,000
115,500
89,000
18,500
71,000
468,000
ADJUSTMENTS
Net increase (decrease) in revenue accruals
Net (increase) decrease in expenditure accruals
EXCESS OF REVENUES OVER
(UNDER) EXPENDITURES
Fund Balances, October 1, 2010
FUND BALANCES, SEPT. 30, 2011
$
174,000
115,500
89,000
18,500
221,000
618,000
159,427
107,351
93,817
15,436
222,996
599,027
6,748 $
6,828
(1,227)
12,349
416,766
$ 429,115
(4,561)
(56)
27,447
(84)
8,601
(21,349)
(2,438)
(60,000)
(12,225)
14,573
8,149
(4,817)
3,064
(1,996)
18,973
6,748
25
CITY OF IONA — STATE OF IDAHO
NOTES TO BUDGET AND ACTUAL COMPARISON SCHEDULE
For the Year Ended September 30, 2011
1. BASIS OF PRESENTATION
The budget to actual comparison schedule has been prepared on the cash basis of accounting, which is a
comprehensive basis of accounting other than GAAP and the same budgetary basis used by the City of Iona to do
the budget each year.
2. EXCESS OF ACTUAL EXPENDITURES OVER BUDGET
Actual expenditures did not exceed budgeted amounts in any of the major funds.
26
MCERTIFIED PUBLIC ACCOUNTANTS
Searle Hart &Associates, PLLc
Gerald W. Searle, CPA
Steven J. Hart, CPA
Farrell J Steiner, CPA
Dana Eric Izatt, CPA
INDEPENDENT AUDITORS' REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING
AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL
STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS
The Honorable Board of City Council
City of Iona — State of Idaho
Iona, Idaho
We have audited the accompanying financial statements of the governmental activities, the business -type activities,
and each major fund of the City of Iona, Idaho as of and for the year ended September 30, 2011, and have issued our
report thereon dated January 17, 2012. We conducted our audit in accordance with auditing standards generally
accepted in the United States of America and the standards applicable to financial audits contained in Government
Auditing Standards, issued by the Comptroller General of the United States.
Internal Control Over Financial Reporting
In planning and performing our audit, we considered the City of Iona, Idaho's internal control over financial
reporting 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 City of lona's internal control
over financial reporting. Accordingly, we do not express an opinion on the effectiveness of the City of lona's internal
control over financial reporting.
Our consideration of the internal control over financial reporting was for limited purposes described in the preceding
paragraph and was not designed to identify all deficiencies in internal control over financial reporting that might be
significant deficiencies or material weaknesses and therefore, there can be no assurance that all deficiencies,
significant deficiencies, or material weaknesses have been identified. However, as discussed below, we identified
certain deficiencies in internal control over financial reporting that we considered to be a material weakness.
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 a 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 consider the deficiency described below to be a
material weakness.
Finding 2011-1: The city does not have sufficient separation of duties within the internal control structure.
Response: Management believes the cost of hiring someone to adequately separate duties outweighs the benefit of
fixing this deficiency.
Compliance and Other Matters
As part of obtaining reasonable assurance about whether the City of Iona, Idaho's financial statements are free of
material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts
and grant agreements, noncompliance with which could have a direct and material effect on the determination of
fmancial statement amounts. However, providing an opinion on compliance with those provisions was not an
objective of our audit and, accordingly, we do not express such an opinion. The results of our tests disclosed no
instances of noncompliance that are required to be reported under Government Auditing Standards.
108 West 1st South • P.O. Box 519 • Rexburg, Idaho 83440 • 208-356-3716 FAX 2037356-4421
Rexburg • Idaho Fulls
We noted certain matters that we have reported to management of the City of Iona, Idaho in a separate letter dated
January 17, 2012.
This report is intended solely for the information and use of the management, federal awarding agencies, and pass -
through entities and is not intended to be and should not be used by anyone other than these specific parties.
January 17, 2012
28
CITY OF IONA 2012 COUNCIL ASSIGNMENTS:
Brad Andersen
Mayor
Special Event: Iona Days,
Dan Gubler
Councilmember
Robert Geray
Councilmember
Bruce Case
Councilmember
Robyn Keyes
City Clerk
Special Event:
Zech Prouse
Public Works Director
Ron Nelson
City Treasure
General Administration and Public Safety
AIC Environmental/Legislative Committee's
Budget/Finance and Newsletter
BPMO
Halloween, Movie in the Park, newsletter, & Christmas Party
Public Safety, Civil Defense, and Emergency Preparedness
Recreation
Water
Special Event: Iona Days and Spring Clean -Up Day
Tree Committee
Water
Streets
Parks
Special Event: Iona Days — Friday - Entertainment
Historical/Monument Committee.
Streets
Parks
Building Inspector
Special Event: Iona Days — Friday - food/servers.
Library Committee
Lions Club (4th/24th) and Monument
TRPTA and Bike/Ped. Committee
Recreation
Special Event: Iona Days
Tree Committee (Chair)
Book of Ordinances/Variances & Conditional Use Permits
Building Events - Coordinator
Easter Egg Hunt, Chair, Movie in the Park, newsletter, and Halloween.
Public Works (water, streets, and etc...)
Parks and Recreation
Shannon Basaraba
Chief of Police Easter egg Hunt, Iona Days, and Halloween Event
Budget and Finance
Quarterly Report
Special Event: Easter Egg Hunt
Police/Code Enforcement and Safety
City of Iona Meeting Schedule for 2012
January 17th
City Council Meeting
7:00 — 8:30 p.m.
February 21st
Work Meeting
City Council Meeting
6:00 — 7:00 p.m.
7:00 — 8:30 p.m.
March 20th
Work Meeting
City Council Meeting
6:00 — 7:00 p.m.
7:00 — 8:30 p.m.
April 17th
April 7th
Work Meeting
City Council Meeting
6:00 — 7:00 p.m.
7:00 — 8:30 p.m.
EASTER EGG HUNT 12 noon
March 27th — April 1st - "Spring — Break"
May 5th
May 15th
May ??
Spring Clean -Up Day
Work Meeting
City Council Meeting
Budget Training — I.F.
10:00 a.m.-12noon
6:00 — 7:00 p.m.
7:00 8:30 p.m.
8:30 a.m. - noon
June 26th
June 20th — 22"d
Work Meeting
City Council Meeting
AIC Annual Conference — Boise
6:00 — 7:00 p.m.
7:00 — 8:30 p.m.
July 17th Work Meeting
City Council Meeting Preliminary Budget
July 20th — 21st Iona Days Celebration
6:00 — 7:00 p.m.
7:00 — 8:30 p.m.
August 21st Work Meeting
City Council Meeting - Final Budget
6:00 — 7:00 p.m.
7:00 — 8:30 p.m.
September 25th
September 19th —
Work Meeting 6:00 — 7:00 p.m.
City Council Meeting 7:00 — 8:30 p.m.
21st AIC Conference — Clerks, Treasures, Mayors
Coeur d' Alene
October 16th
October 31st
Work Meeting 6:00 — 7:00 p.m.
City Council Meeting 7:00 — 8:30 p.m.
Halloween Trunk or Treat (Wednesday) — 6:00 p.m.
November 20th
Work Meeting
City Council Meeting
6:00 — 7:00 p.m.
7:00 — 8:30 p.m.
December 18th
December 20th
City Council Meeting 5:30 to 6:30 p.m.
Christmas Party 6:45 p.m.
CITY OF IONA
State of the City Address
By Mayor Brad Andersen
January 17, 2012
I am here to discuss the State of the City. Before we reflect on last year's
accomplishments, I would like to personally thank Robyn Keyes our City Clerk, Ron
Nelson our Treasurer, Dale Storer our Attorney, Zech Prouse our Public Works Director,
Shannon Basaraba our Police Chief, Allen Eldridge our Building Inspector, our P/Z
Commission (e.g. Dan Garren (Chair), Betty Lovinus, Mike Taylor, Robert Geray, and
Roy Hobbs), and all of the other committees and volunteers that make the City of Iona
the wonderful place that it is. We also would like to recognize City Council members:
Jane Shaw (President), Dennis McArthur, Dan Gubler, and Bruce Case for their time and
service in behalf of the City of Iona.
2011 was an election year, which held a couple of changes. Council member Dan Gubler
was re-elected, but Council member Shaw was not. We are sad to see her go, but support
the decision of the people of Iona in electing Rob Geray to the council. Council member
McArthur was not up for re-election but decided to serve a church mission with his wife
to England and will be leaving January 23"d, 2012. I am deeply saddened to see Dennis
McArthur leave. He has been my right hand man and has supported me from day one.
Besides that, all the service he has rendered to the people and community of Iona will
truly be missed. In February, someone will be appointed to serve the remaining two
years of his term.
A little history of Iona for 2011:
From the excitement of having a mountain lion take up residence in Iona to doubling the
existing bike and walking path, Iona had a lot to be proud of in 2011:
• Governor Otter named Iona "Capital of the Day" and spent all day on March 4th
listening to questions and concerns from the public.
• We received the census data during the first part of 2011, and it showed that Iona
had grown from 1,200 people in 2000 to 1,803 in 2010.
• We had 16 more homes built in 2011.
• We now have 622 water connections. We used over 266 million gallons of water,
but we saved almost a'/2 million gallons of water from the previous year because
of conservation efforts by the community.
• Half of the monument in front of the City building honoring the pioneers who
settled Iona was erected. A big thanks to Council member Dennis McArthur,
John Price (sculptor), and Tom Hillesheim, and many others for spear heading
this effort. Also, the many people who donated money and time to see this
monument come to pass.
" I n a d d i t i o n , t h e H i s t o r i c a l C o m m i t t e e i s r e n o v a t i n g a b u i l d i n g , t h e o l d t i t h i n g
h o u s e , a n d n o r t h o f t h e S t a n g e r M e m o r i a l B u i l d i n g . T h e H i s t o r i c a l C o m m i t t e e
p l a n s t o c r e a t e a c i t y m u s e u m . W e t h a n k C o u n c i l m e m b e r C a s e f o r t h e m a n y
h o u r s o f h e l p t h a t h e h a s c o n t r i b u t e d t o t h i s g r e a t c a u s e .
A c c o m p l i s h m e n t s a n d a c t i v i t i e s I o n a h a d f o r 2 0 1 1 :
1 . 1 4 t h A n n u a l C i t y E a s t e r E g g H u n t R o b y n K e y e s / R o n N e l s o n .
2 . A r b o r D a y C e l e b r a t i o n R o b y n K e y e s .
3 . I o n a D a y s , f u n r u n , a n d m e l o d r a m a .
4 . T h e a n n u a l C i t y S p r i n g c l e a n u p w a s h e l d o n t h e 1 s t S a t u r d a y o f M a y Z e c h
P r o u s e a n d D a n G u b l e r .
5 . I o n a ' s s u m m e r r e c r e a t i o n p r o g r a m w h i c h i n c l u d e d a v a r i e t y o f a c t i v i t i e s : T - B a l l ,
p i t c h i n g m a c h i n e , a n d g i r l ' s s o f t b a l l p r o g r a m c o n t i n u e d a s i t h a s i n t h e p a s t , b u t
t h a n k s t o T r e n t a n d S u e A n n D a b e l l , i t b r o u g h t i n a l m o s t $ 2 1 , 0 0 0 .
6 . I o n a ' s L i o n s C l u b c o n t i n u e d t o h a v e t h e 4 t h o f J u l y b r e a k f a s t , t h e I o n a D a y ' s
b r e a k f a s t , a n d p r o v i d e d s e r v i c e t o t h e c o m m u n i t y t h r o u g h d o n a t i o n s , t i m e , a n d
l a b o r D e n n i s M c A r t h u r .
7 . M o n t h l y m o v i e ' s i n t h e p a r k d u r i n g t h e s u m m e r R o b y n K e y e s .
8 2 n d A n n u a l H a l l o w e e n T r u n k - o r - T r e a t .
9 . T h e r e w e r e m a n y E a g l e S c o u t p r o j e c t s a n d s e r v i c e p r o j e c t s t h a t s a v e d t h e C i t y
m o n e y a n d e n h a n c e d t h e c o m m u n i t y .
1 0 . P u r c h a s e o f a n e w p o l i c e v e h i c l e a n d b a c k h o e .
1 1 . S u p p o r t o f c o m m u n i t y p r o g r a m s a n d c o m m i t t e e s s u c h a s t h e l i b r a r y , T r e e
c o m m i t t e e , B o n n e v i l l e A r t A s s o c i a t i o n , I o n a H i s t o r i c a l S o c i e t y ( B r u c e C a s e ) , a n d
t h e L i o n ' s C l u b ( D e n n i s M c A r t h u r ) t o n a m e a f e w .
1 2 . C i t y b u i l d i n g w a s s c h e d u l e d 1 1 3 t i m e s , n o t c o u n t i n g n o n - p r o f i t g r o u p u s e o f t h e
b u i l d i n g .
1 3 . T h e I o n a S q u a r e w a s s c h e d u l e d f o r e v e n t s 1 1 9 t i m e s .
1 4 . R o s s J o h n s o n w h o h a s w o r k e d f o r t h e C i t y f o r o v e r 3 7 y e a r s w a s r e c o g n i z e d b y
n a m i n g t h e C i t y S h o p t h e " T h e R o s s L . J o h n s o n P u b l i c W o r k s F a c i l i t y " t h a n k s
t o Z e c h P r o u s e .
1 5 . E s t a b l i s h e d a n E m e r g e n c y O p e r a t i o n P l a n f o r t h e C i t y o f I o n a i n c a s e t h e r e i s a
l a r g e s c a l e e m e r g e n c y o r d i s a s t e r t h a n k s t o C h i e f B a s a r a b a .
1 6 . R e c e i v e d a $ 1 2 4 , 0 0 0 d o l l a r g r a n t t o d o u b l e t h e s i z e o f t h e b i k e a n d w a l k i n g p a t h
i n I o n a t h a n k s t o Z e c h P r o u s e , R o b y n K e y e s , a n d C h i e f B a s a r a b a .
M a y o r ' s V i s i o n a n d s u m m a r y : M y v i s i o n f o r t h e C i t y o f I o n a f o r t h i s y e a r a n d t h e f u t u r e
i s a s f o l l o w s :
1 . M a n a g e t h e g r o w t h o f t h e C i t y a n d c o n t i n u e s t r i c t d e v e l o p m e n t r e q u i r e m e n t s .
2 . C o n t i n u e t o u p g r a d e o u r w a t e r s y s t e m a n d e n s u r e i t i s a d e q u a t e f o r o u r
c o m m u n i t y n o w a n d i n t h e f u t u r e .
3 . K e e p I o n a a s a f a m i l y c o m m u n i t y , m a n a g e c o m m e r c i a l g r o w t h , a n d i n c r e a s e
i m p a c t a r e a .
4 . E v e n t u a l l y e s t a b l i s h a n o u t d o o r s w i m m i n g p o o l a n d / o r s p l a s h p a r k .
5. Continually improve our parks each year.
6. Maintain an open door policy - monthly news letter, home page, listen to the
citizens of Iona (Town Meetings) - and do what is best for Iona and its people.
7. Provide public safety and protection for our community with our own police.
Summary: In spite of the economic downfall, I am proud to report that Iona is thriving.
The City is financially strong with approximately $650,000 in savings. We have a great
team (council and employees) working together that has helped us be fiscally responsible
to our citizens. However, with more growth, drought, and less water we do need to
change our old habits and start to conserve our most important natural resource, which is
our water.
I would like to thank all of those wonderful people of Iona who volunteered their time
and efforts toward some type of service project in 2011 for the City. In 2012 please get
involved and do some kind of service. Whether it is being a good neighbor, volunteering
to be on a committee, or doing some kind of service for the City, please volunteer. "For
service is the rent we pay for living here."
Sincerely,
Brad D. Andersen, Mayor
PUBLIC NOTICE
The City of Iona's Planning and Zoning Commission has scheduled a public hearing on
the evening of January 11, 2012 at 6:45 P.M. at the Iona Community Center, which is
located at 3548 North Main Street, Iona, Idaho. The purpose of the hearing is to consider
a variance request by Gretchen and Jon McMurtrey. A second public hearing is scheduled
for the evening of January 17, 2011 at 7:30 P.M. at the Community Center with the City
Council for final approval if so recommended by Planning and Zoning.
If approved, the variance would allow Gretchen and Jon McMurtrey to build a home at
5025 Scoresby Avenue and open up an alley or private drive way from Olsen Avenue to
use as access to their home.
If you have any comments concerning this request, they will be considered at the public
hearing. Comments may be made in writing, but must be received by the City Clerk
seven days prior to the public hearing.
Any person needing special accommodations to participate in the above noticed meeting
should contact the City Office the day before the meeting at 523-5600
Dated this 28th day of December, 2011
Rel ctfully yours,
Roby fl Keye�
City Clerk