HomeMy Public PortalAboutCAFR 2000.pdfVILLAGE OF KEY BISCAYNE, FLORIDA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FISCAL YEAR ENDED SEPTEMBER 30, 2000
Prepared by:
THE FINANCE DEPARTMENT
I
VILLAGE OF KEY BISCAYNE, FLORIDA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FISCAL YEAR ENDED SEPTEMBER 30, 2000
TABLE OF CONTENTS
PAGE
1.
II.
INTRODUCTORY SECTION
Letter of Transmittal
Village Officials
Certificate of Achievement for Excellence in Financial Reporting
Village Organizational Chart
FINANCIAL SECTION
i
xii
xiii
xiv
REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS 1
GENERAL PURPOSE FINANCIAL STATEMENTS
(COMBINED STATEMENTS - OVERVIEW):
Combined Balance Sheet - All Fund Types and Account Groups 3
Combined Statement of Revenues, Expenditures and Changes in Fund Balances -
All Governmental Fund Types 4
Statement of Revenues and Expenditures- Budget and Actual - General Fund 5
Combined Statement of Revenues, Expenses and Changes in Retained Earnings -
Enterprise Funds 6
Combined Statement of Cash Flows - Enterprise Funds 7
Statement of Changes in Plan Net Assets - Pension Trust Fund 8
Notes to General Purpose Financial Statements 9
Required Supplementary Information 23
COMBINING, INDIVIDUAL FUND AND ACCOUNT GROUP STATEMENTS
AND SCHEDULES
GENERAL FUND:
Comparative Balance Sheets 24
Schedule of Revenues and Expenditures - Budget and Actual 25
CAPITAL PROJECTS FUNDS:
Combining Balance Sheets 27
Combining Statements of Revenues, Expenditures and Changes in Fund Balances 28
ENTERPRISE FUNDS:
Combining Balance Sheets 29
Combining Statements of Revenues, Expenses and Changes in Retained Earnings 30
Combining Statements of Cash Flows 31
VILLAGE OF KEY BISCAYNE, FLORIDA
TABLE OF CONTENTS
II. FINANCIAL SECTION
ACCOUNT GROUPS:
GENERAL FIXED ASSETS ACCOUNT GROUP:
Schedule of General Fixed Assets By Source
Schedule of General Fixed Assets By Function and Activity
Schedule of Changes in General Fixed Assets By Function and Activity
GENERAL LONG-TERM DEBT ACCOUNT GROUP:
Schedule of General Long-Term Debt
III. STATISTICAL SECTION
General Governmental Expenditures by Function
General Governmental Revenues by Source
Utility Tax Revenue By Source; Franchise Fee Revenue by Source
Property Tax Levies and Collection
Assessed and Estimated Actual Value of Taxable Property
Property Tax Rates Direct and Overlapping Governments
Ratio of Annual Debt Service Expenditures for Net Bonded Debt to
General Governmental Expenditures
Schedule of Direct and Overlapping Debt - General Obligation Bonds
Ratio of Net Bonded Debt to Assessed Value and Per Capita
Demographic Statistics
Property Value, Construction and Bank Deposits
Principal Taxpayers
Miscellaneous Statistical Data
IV. COMPLIANCE SECTION
Report of Independent Certified Public Accountants on Compliance and on Internal
Controls over Financial Reporting Based on an Audit of Financial Statements
Performed in Accordance with Government Auditing Standards
Management Letter in Accordance with the Rules of the Auditor General of the
State of Florida
PAGE
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
51
Schedule of Findings 53
INTRODUCTORY SECTION
V I L L A G E OF KEY B I S C A Y N E
Office of the Village Manager
Village Council
Joe I. Rasco, Mayor
Martha Fdez-Ledn Broucek, Lice Mayor
Scott Bass
Alan H. Fein
Mortimer Fried
Gregory C. Han
Robert Oldakowski
Village Manager
C Samuel Kissinger
Honorable Mayor, Members of the Village Council and Citizens of the Village of Key Biscayne:
The Comprehensive Annual Financial Report of the Village of Key Biscayne for the fiscal year ended
September 30, 2000, is hereby submitted. Responsibility for both the accuracy of the data and the
completeness and fairness of the presentation, including all disclosures, rests with the Village. To the
best of our knowledge and belief, the enclosed data is accurate in all material respects and is reported in a
manner designed to fairly present the financial position and results of operations of the various funds and
account groups of the Village. All disclosures necessary to enable the reader to gain an understanding of
the Village's financial activities have been included.
The Comprehensive Annual Financial Report (CAFR) is presented in four sections. The introductory
section includes this transmittal letter, the Village's organizational chart, a list of principal officials and
the 1999 Certificate of Achievement for Excellence in Financial Reporting. The financial section
includes the report of the independent certified public accountants on the general purpose financial
statements and the required notes and the combining, individual fund and account group financial
statements and schedules. The statistical section includes unaudited selected financial and demographic
information. The compliance section contains those reports required to comply with Governmental
Accounting Standards and Rules of the Auditor General of the State of Florida.
Reporting Entity and its Services
The Village includes, for financial reporting purposes, in conformance with Governmental Accounting
Standards Board (GASB) Statement Number 14, all funds and account groups for which the Village is
financially accountable.
The Village currently provides services associated with the following departments:
• Building, Zoning and Planning
• Police
• Fire Rescue
• Recreation
• Public Works
• Finance and Administrative Services
• Office of the Village Clerk
• Office of the Village Manager
• Office of the Village Attorney
-i-
85 West McIntyre Street • Key Biscayne, Florida 33149 • (305) 365-5514 • Fact (305) 365-8936
Honorable Mayor, Village Council and Citizens
Village of Key Biscayne
Government Structure
The Village of Key Biscayne was incorporated on June 18, 1991 and operates under a Council-Manager
form of government. The Village Council is comprised of the Mayor and six members and is responsible
for enacting ordinances, resolutions and regulations governing the Village as well as appointing the
Village Manager, Village Clerk, Village Attorney and members of various advisory boards. As Chief
Administrative Officer, the Village Manager is responsible for carrying out the policies and ordinances
of the Village Council, for overseeing the day-to-day operations of the Village, and appointing and
supervising the department heads of the Village.
Location, Village Size, and Population
The Village of Key Biscayne is located on Key Biscayne, a barrier island situated between the Atlantic
Ocean to the east and Biscayne Bay to the west. The island is located just south of Virginia Key, a
separate island connected to the mainland south of downtown Miami by the Rickenbacker Causeway. To
the south, Bill Baggs Cape Florida State Recreation Area, a park of approximately 415 acres, borders the
Village. To the north, Crandon Park, a 960-acre park administered by Miami-Dade County. The Village
currently has an area of approximately 1.25 square miles and population estimated at 9,500 year-round
and 4,000 seasonal residents.
Major Initiatives
For the Year
The Village's staff, following specific directives from the Village Council, has been actively involved in
a variety of projects designed to provide the Island's residents with the best environment through
responsible government. During fiscal year 2000, the most notable examples of the Village's efforts
included continuing improvements and additions to the Village's infrastructure, beautification projects
designed to further enhance the Village's specific style and character, public safety enhancements, an
improved flood insurance community rating, initiation of a community emergency response team
program, adoption of a new 20 MPH. speed limit ordinance, and finally the purchase of land upon which
the Village will construct a Civic Center complex.
During fiscal year 2000, many improvements and additions to the Village's public infrastructure were
completed. Special attention is deserving for the East Enid Drive Improvement Project, Crandon
Boulevard Improvement and Lighting Project, Beautification with the addition of more Traffic Calming
devices and construction of Ocean Park Phase 1.
The first project, East Enid Drive, included repaving the twenty foot wide driving lanes, adding brick
paver parallel parking spaces north and south of the repaved road, replacing portions of the sidewalk
abutting the road on the north side of the street, and extending the in-place decorative sidewalk on the
south side of the road from the Lake Park east to the future site of the Ocean Park. In addition, the
-ii-
Honorable Mayor, Village Council and Citizens
Village of Key Biscayne
project added two elevated traffic calming/ pedestrian crossing devices, installed a new drainage system,
and provided accent path lighting at crosswalk areas and along the promenade east of Ocean Drive.
Crandon Boulevard Improvement and Lighting Projects consisted of up-lighting for three medians at the
Village entrance, installation of lighting along Ocean Lane Drive and the two Crandon Boulevard
medians, as well as the Lake Park located at the intersection of East Enid Drive and Crandon Boulevard.
Beautification of the Village continued with the addition of more traffic calming devices on West
Heather Drive. A recent Miami Herald news article referred to Crandon Boulevard as "tastefully
landscaped". A three tier illuminated fountain was approved by Council resolution and constructed at
the intersection of West Mashta Drive and Harbor Drive. Key Biscayne's Beautification efforts were
recognized by the national publication, 2000 Stokes Tropicals Plant Guide.
Traffic calming is a simple street modification that causes a motorist to drive with increased care.
Traffic calming addresses the speeding of vehicles, security and safety of pedestrians, and beautification
of the street.
Ocean Park Phase 1 combines the unparalleled beauty provided by the Atlantic Ocean and the Key
Biscayne beach, which is undeniably the Village of Key Biscayne's greatest asset. The intent of the
Beach Park Plan is to achieve simplicity by design and to provide access for Village Residents to our
greatest amenity. With this understanding, the plan of the Village Beach Park concentrates most of the
activity along the beach, leaving the remaining park in a passive natural design.
To facilitate construction and meet state coastal permitting deadlines, the project was divided into two
phases. Phase 1 consists of the palm plaza, a trellised pavilion, landscaping and retaining walls, and
water and sewer hook-ups.
A very positive development for the Village's residents and property owners was the verification
received from the National Flood Insurance Community Rating System. The Village of Key Biscayne
has now been officially notified by the Federal Emergency Management Agency, (FEMA) that it has
been verified as a class 6 community in the National Flood Insurance Community Rating System. This
means that flood insurance policies issued or renewed as of April 2000 have received a 20 percent
discount. Key Biscayne currently stands third statewide in the rating system with only Sanibel and Juno
Beach enjoying better ratings. This reflects upon the excellent design of the Village's stormwater
management system.
An important program instituted in prior years and during fiscal year 2000 received many improvements.
The program is the Community Emergency Response Team (C.E.R.T.). A group of ten to fifteen
members, C.E.R.T. is trained to prepare for and respond after a disaster. Last fall, a second team of
members from the Village participated in an accelerated training program that culminated in a
countywide drill with other teams from Miami Lakes and South Dade. Recently both teams participated
in an eight-hour refresher course and combined training exercise. Additional courses are scheduled
throughout future months.
-iii-
Honorable Mayor, Village Council and Citizens
Village of Key Biscayne
All residents and visitors to Key Biscayne will benefit with the adoption of a new speed ordinance. After
investigation by the Police Department it was demonstrated that a speed of twenty-miles per hour is a
reasonable speed for all local streets within the residential districts of the Village excluding Crandon
Boulevard. Ordinance 2000-2 adopted March 14, 2000 established a twenty-mile per hour speed limit
for the residential streets of the Village.
Finally, fiscal year 2000 was also a year in which significant progress was made in the area of the
Village Civic Center. The most important development that took place during the fiscal year was the
purchase contract for one of two parcels of land needed for the center. The Village was successful in
closing on the 560 Crandon Boulevard site for a sum of $3,207,835. Another contract for the SunTrust
Bank executed in December 1998 had ended its due diligence period in April 1999, with no
recommendation to terminate the agreement. Closing on that contract shall take place at the time of the
new bank building's opening, presently anticipated to be in October 2001. Ground has been broken on
the new bank.
For the Future
Village of Key Biscayne residents can be assured that during the fiscal year 2001, their government will
continue to provide them with more and better services. For instance, Building, Zoning & Planning
Department will prepare a landscape ordinance for new single family and duplex homes. It is envisioned
that the new ordinance will create a more tropical appearance, screening between homes, and additional
shade.
This department will continue to improve the quality of services offered to our citizens. During fiscal
year 2001, the Village intends to place the building permit system on the Internet. This will enable
citizens and contractors to track the status of plans, permits and inspections. The department is storing
plans on CD-ROMS. This enables retrieval of plans and printing of copies in the Building, Zoning &
Planning office.
Keeping with the improvement theme, the Public Works Department will also be involved in numerous
infrastructure improvements in the FY 2001. Major projects for 2001 include: expansion of the sidewalk
program to other streets around the school to be selected after a comprehensive study is completed,
develop a Master Plan for Crandon Boulevard, development of the second phase of Ocean Park, and a
beach renourishment project. In addition, Public Works will continue to oversee the contracts awarded
for solid waste collection, street sweeping and catch basin cleaning and maintenance, as well as all
Village landscaping and maintenance contractors.
Important in maintaining and enhancing of the Villagers' unique lifestyle are the activities of the
Recreation Department. During the fiscal 2001, the Department will continue to offer a swimming
program at the Miami Rowing and Water Sports Center. Also, the department has increased efforts to
meet the needs of Key Biscayne's senior population. Working with Keep Seniors on Key Biscayne
Committee (KSOKB), the department is developing a program that will meet the information, recreation,
and service needs of this valued population. Participation in the Key Biscayne Athletic Club activities
-iv-
Honorable Mayor, Village Council and Citizens
Village of Key Biscayne
continues to increase as well as the number of programs they provide. In fiscal year 2001, activities
created in fiscal year 2000 such as basketball and flag football camp will be continued and improved.
The department will also continue to host the following special events; Halloween Weekend Celebration,
Key Biscayne Lighthouse Run & Walk, Concert Series, Winterfest, Spring Egg Hunt, and the Fourth of
July Fireworks. The Department continues to assist civic groups with their special events as well
contract with outside agencies to provide additional programs and facilities. The Department shall
finalize planning for the new Community Center.
Associated with the Village's recreational activities is the presence in our community of the Key
Biscayne branch of the Miami-Dade Library District. Due to the Village's donation of $35,000 in FY
2000 to the library, the facility will provide an additional 25 hours per week of operation, including
Sundays, between October and May.
The Village's Police Department is also anticipating that fiscal year 2001 will be the most productive. A
number of safety and drug abuse resistance programs are taught to students in all the Village's schools,
as well as pedestrian safety. The "Stranger Danger" and bicycle helmet presentations are two of the most
popular among residents. The Department recently received a national award for the video "StreetWise"
which emphasized bicycle and rollerblade safety. A new gun safety program will be added to the long
list of programs already offered by the Department in order to protect all residents especially the
children.
Patrol officers will increase the checking of businesses at night watching for unlocked doors and open
windows. Community Oriented Policing (COP) officers conduct door-to-door visits of businesses and
residences providing crime prevention information, hurricane preparedness pamphlets, registering
bicycles, and conducting security surveys which will increase during fiscal year 2001. As always, new
residents will continue to receive welcome baskets from the Chamber of Commerce delivered by police
officers.
Departmental Focus
Each year the City will focus attention on the efforts and accomplishments of a selected department.
This year, the Fire Rescue Department has been selected for this purpose.
The Department is composed of a Fire Chief, a Deputy Fire Chief, an Administrative Assistant, and three
shifts of Fire Rescue personnel. Each shift is comprised of a Fire Captain, a Fire Lieutenant, and eight
firefighter/paramedics. All members of the Department work towards a common goal to contribute to a
safe quality community environment for all citizens through responsible fire rescue services.
The Fire Rescue Department's primary responsibilities are general fire suppression and emergency
medical response.
Honorable Mayor, Village Council and Citizens
Village of Key Biscayne
The Department is also responsible for citizen blood pressure monitoring, citizen CPR classes, first aid
classes, dive rescue capability, and trench rescue and community fire and accident prevention public
education programs. All sworn personnel under the rank of Deputy Chief are state certified paramedics,
the only Department in Miami-Dade County with this distinction.
On September 10, 1998, the Board of Directors for the Commission on Fire Accreditation International
awarded the Village Fire and Rescue Department International Accredited Agency Status, making the
Department the tenth in the world and the first in the state of Florida to achieve this recognition. On
August 26, 1999, at the semi-annual commission meeting held in Kansas City Missouri, the full
commission voted unanimously to accept the Department's Statement of Findings on the Annual
Compliance Report thus continuing the Department's Accredited Agency Status. In addition, the
Insurance Services Organization (ISO) conducted a site visit of the Village Fire Rescue Department.
Following this site visit, the ISO notified the Village that upon completion of their evaluation of the
public protection classification for the Village, that the protection class had been improved and upgraded
from a Class 4 to a Class 3. Surveys of the community by the Chamber of Commerce, Florida
International University and the Fire Department show the tremendous level of citizen satisfaction with
the Department. In the survey conducted by the Department where questions were asked such as quality
of care, professionalism, procedures being explained, and the level of concern and caring shown, not
only to the patient but to the family as well, the results indicated a 97.2% excellent to outstanding level
of customer satisfaction.
FINANCIAL INFORMATION
Accounting System Internal and Budgetary Control
The Village's accounting records for governmental funds operations are maintained on a modified
accrual basis, with revenues being recorded when available and measurable, and expenditures being
recorded when the services or goods are received and the liabilities are incurred.
Budgetary control is maintained at the departmental level. Expenditures that could result in an
overexpended balance are not released until additional appropriations are made available.
Internal accounting controls have been designed to provide reasonable, but not absolute, assurance
regarding safeguarding of assets against loss from unauthorized use or disposition and the reliability of
financial records for preparing financial statements and maintaining accountability. The concept of
reasonable assurance recognizes that the cost of the controls should not exceed the benefits likely to be
derived and the evaluation of costs and benefits requires estimates and judgment by management.
All internal control evaluations occur within the above framework. We believe the Village's internal
accounting controls adequately safeguard assets and provide reasonable assurance of proper recording of
financial transactions.
Honorable Mayor, Village Council and Citizens
Village of Key Biscayne
Reporting Standards
The form and content of the Comprehensive Annual Financial Report and the accompanying financial
statements and statistical tables were prepared in conformance with standards set forth by:
1. Governmental Accounting Standards Board (GASB)
2. Financial Accounting Standards Board (FASB)
3. Auditor General of the State of Florida
4. Charter of the Village of Key Biscayne
5. Government Finance Officers Association of the United States and Canada (GFOA)
General Government Functions
The General Fund is the general operating fund of the Village. General tax revenues and other receipts
that are not allocated by law or contractual agreement to some other fund are accounted for in this fund.
General operating expenditures, fixed charges and capital improvement costs not accounted for through
other funds are accounted for in the General Fund.
The amount of General Fund revenues and expenditures from various sources are shown in the following
schedule:
REVENUES (GAAP Basis)
Sources FY 2000 FY 1999
Net
Changes
%
Change
Property Taxes $ 7,799,633 $ 7,012,714 $ 786,919 11%
Utility Taxes 1,723,902 1,621,473 102,429 6
Franchise Fees 729,998 740,031 (10,033)(1)
Intergovernmental 889,704 807,924 81,780 10
Licenses and Permits 1,316,641 668,672 647,969 97
Charges for Services 224,177 457,828 (233,651)(51)
Other 560 22,057 (21,497)(97)
Interest 315,399 231,820 83,579 36
Grants 124,375 815,116 (690,741 (85)
Total Revenues $13.124.389 $12,377.635 $746 .754 6%
Honorable Mayor, Village Council and Citizens
Village of Key Biscayne
EXPENDITURES AND TRANSFERS (GAAP Basis)
Function
General Government
Public Works
Building, Zoning & Planning
Parks and Recreation
Public Safety
Debt Service
Non-Departmental
Capital Outlay
Transfers to Capital Improvement Fund
Capital Projects Fund
FY 2000 FY 1999
Net
Changes
%
Change
$ 1,068,710 $ 914,479 $ 154,231 17%
830,360 730,521 99,839 14
1,227,696 1,058,831 168,865 16
380,502 293,664 86,838 30
6,068,147 5,644,903 423,244 7
1,530,767 1,136,327 394,440 35
694,643 672,708 21,935 3
274,078 391,650 (117,572)(30)
1,000,000 1,017,430 (17,430)
$13,074,903 $11,860,513 $1,214,390 10%
During fiscal year 1995, the Village Council established a Capital Improvement Fund for various
infrastructure projects of a multi-year character. Funding for these projects will come from annual
appropriations in the General Fund Budget. These appropriations are recorded as operating transfers
from the General Fund.
During fiscal year 1999, the Village Council established a Civic Center Fund to account for the land
acquisition, planning, and construction of a new Village Civic Center to house Police, Fire/EMS, and
administration offices for the Village of Key Biscayne. Funding for this project is from a series of
Revenue Bonds, the first of which was issued July 30, 1999.
Enterprise Funds
Enterprise funds are established to finance and account for the acquisition, operation and maintenance of
facilities and services, and the cost of providing these goods and services on a continuing basis is
financed through the collection of charges from users. The three enterprise funds are:
1. Stormwater Utility System
2. Solid Waste
3. Sanitary Sewer System
The Village Council established a budget for the Sanitary Sewer System during the fiscal year. A state
loan was obtained from the Florida Department of Environmental Protection to finance the construction
of the system. Funds for the pre-construction design phase were received and the engineering firm of
Post Buckley Schuh & Jerrigan, Inc. was hired to design the system. Plans and specifications have been
completed and approved by all appropriate agencies.
-viii-
Honorable Mayor, Village Council and Citizens
Village of Key Biscayne
Fiduciary Fund
The Fiduciary Fund type is a Trust and Agency Fund established for the purpose of accounting for assets
held in a trustee capacity or as an agent for individuals, private organizations, and other governments.
As of September 30, 2000, the Pension Trust Fund is recorded as a Fiduciary Fund:
Pension Trust Fund
The Village Council, on October 1, 1997, established a Retirement Plan for sworn police and firefighters
in compliance with Part VII, Chapter 112, Florida Statutes, and Section 14, Article X of the State
Constitution. Each member is required to contribute 14% of his/her salary until September 30, 2000.
This rate will be adjusted each year thereafter, based on the most recent actuarial valuation of the plan.
The Plan also receives funding from the State of Florida under F.S. 175 and 185. The net assets in the
Plan as of September 30, 2000 were approximately $1,400,000.
Other Plans Administered by the Village
A 401(a) money purchase plan is offered by the Village for its employees and was created in accordance
with Internal Revenue Code Section 401. The plan is managed by independent plan administrators and
permits employees to defer a portion of their salary until future years. The Village does not have a
fiduciary responsibility over the Plan assets, therefore, it is not included in the Village financial
statements, but is included as a footnote disclosure. The 401(a) fund had approximately $5,000,000 in
net assets as of September 30, 2000.
Also, employees may contribute to a Section 457 Plan, which was created in accordance with Internal
Revenue Code Section 457. The Plan managed by an independent plan administrator, permits employees
to defer a portion of their salary until future years. Net assets of the 457 Plan as of September 30, 2000
were approximately $2,300,000. In accordance with GASB Statement No. 32 and because the Village
does not have fiduciary responsibility over the assets of this plan, the Village does not report this Plan in
their financial statements and no disclosure is required.
General Fixed Assets
The General Fixed Assets of the Village are those assets used in the performance of general
governmental functions. In accordance with generally accepted accounting principles for local
governments, the Village does not record depreciation on general fixed assets nor does it record
infrastructure assets such as roads, bridges, curbs and gutters, streets and sidewalks, drainage systems,
and similar assets that are immovable and of value only to the Village. Assets are recorded at cost except
donations, which are recorded at fair market value at the date of receipt. As of September 30, 2000, the
general fixed assets acquired amount to approximately $25,110,000. Major additions for fiscal year
2000 were for public safety equipment and vehicles.
-ix-
Honorable Mayor, Village Council and Citizens
Village of Key Biscayne
Debt Administration
The Village of Key Biscayne has three outstanding obligations: 1) a 10-year $9,200,000 Land
Acquisition Revenue Bond which was issued on December 20, 1995 at 4.36% from Northern Trust Bank
to purchase land for the Village Green. The outstanding balance at September 30, 2000 was $4,155,000;
2) $7,200,000 in Stormwater Utility Notes were issued January 26, 1999 from Bank of America at 4.13%
for 20 years. The outstanding balance at September 30, 2000 was $6,940,000; 3) a $10,000,000 Land
Acquisition and Capital Improvement Revenue Bond, Series 1999 at 4.715% for 20 years to purchase
land and construct the Village Civic Center. The bond was issued through Bank of America. The
outstanding balance September 30, 2000 was $10,000,000.
Cash Management
The Village has several cash management vehicles and investment accounts or money market accounts
in SunTrust and Northern Trust Banks under agreements which provided for overnight investments of
both the investment accounts and the operating accounts to maximize earnings potential.
The Village also has an investment with the Florida Local Government Trust Fund administered by the
State Board of Administration, which as of September 30, 2000 had a balance of $192,879 in the General
Fund and $344,512 for the Law Enforcement Trust Fund, $3,795 in the Capital Improvement fund,
$1,677,618 in the Civic Center Fund, $922,004 in the Stormwater Fund, $25,930 in the Solid Waste
Fund.
Risk Management
The Village is insured with the Florida Municipal Insurance Trust for liability and property coverage and
with the Florida Municipal Self-Insurance Fund for Workers Compensation coverage. The liability limit
under the policy is $5,000,000. Employee life insurance is with Standard Insurance Company.
Certificate Of Achievement For Excellence In Financial Reporting
The Government Finance Officers Association of the United States and Canada (GFOA) awarded a
Certificate of Achievement for Excellence in Financial Reporting to the Village for its Comprehensive
Annual Financial Report for the fiscal year ended September 30, 1999. The Village has received this
award each year since its first published CAFR in 1992.
The Government Finance Officers Association of the United States and Canada (GFOA) also presented
an award for Distinguished Budget Presentation to the Village of Key Biscayne for its annual budget for
the fiscal year beginning October 1, 1999. This award has been received since 1993.
In order to receive these awards, a governmental unit must publish an easily readable and efficiently
organized CAFR and a budget document that meets program criteria as a policy document, as an
operations guide, as a financial plan and as a communications device.
-x-
Honorable Mayor, Village Council and Citizens
Village of Key Biscayne
The awards are valid for a period of one year only. We believe our current CAFR and budget continue to
conform to program requirements and we have submitted them to the GFOA to determine their eligibility
for fiscal year ended September 30, 2000.
Acknowledgments
The preparation of this report could not have been accomplished without the efficient and dedicated
services of the staff of the Village.
We express our appreciation to all members of the staff who assisted and contributed to the preparation of
this report. A special note of thanks and appreciation is also extended to the firm of Rachlin Cohen &
Holtz LLP for their professional approach and high standards in conduct of their independent audit of the
Village's financial records and transactions.
Respectfully submitted,
C. Samuel Kis ~ifiger
Village Manag/
VILLAGE OF KEY BISCAYNE, FLORIDA
VILLAGE OFFICIALS
SEPTEMBER 30, 2000
VILLAGE COUNCIL
Joe I. Rasco, Mayor
Martha Fdez-Leon Broucek, Vice Mayor
Scott Bass
Gregory C. Han
Alan H. Fein
Mortimer Fried
Robert Oldakowski
VILLAGE MANAGER
C. Samuel Kissinger
VILLAGE CLERK
Conchita H. Alvarez, CMC
VILLAGE ATTORNEY
Weiss, Serota & Helfman, P.A.
FINANCE DIRECTOR
Moyer & Associates/Severn Trent Services
VILLAGE AUDITORS
Rachlin Cohen & Holtz LLP
Certified Public Accountants & Consultants
VILLAGE OF KEY BISCAYNE, FLORIDA
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
Village of Key Biscayne,
Florida
For its Comprehensive Annual
Financial Report
for the Fiscal Year Ended
September 30, 1999
A Certificate of Achievement for Excellence in Financial
Reporting is presented by the Government Finance Officers
Association of the United States and Canada to
government units and public employee retirement
systems whose comprehensive annual financial
reports (CAFRs) achieve the highest
standards in government accounting
and financial reporting.
WDirector
liAtiVAI
:A`l,+r
r•:4; R.s
r:o.1
11;11i11pi1
Organizational Chart
RESIDENTS
OF
KEY BISCAYNE
Village Clerk
(1.5)
I
Special Master
(3)
Village
C ouncil
(7)
Village Manager
(2)
Local Planning
Agency
Village Attorney
Police/Fire
Retirement
Board (5)
Assistant to
the Manager
(1)
Department of
Building,
Zoning and
Planning (11)
Building
Zoning
Planning
Code Assistance
Department of
Emergency
Services (71.5)
Fire Rescue
Police
Department of
Recreation (3)
Special Events
Sports and
Athletics
Programs
and Tours
Department of
Public
Works (2)
Village Engineer
Contract
Supervisor
Stormwater
Management
Refuse
Collection
and Recycling
Department of
Finance and
Administrative
Services (2)
Finance/
Accountin
Personnel/
Benefits
Maintenance
Rachlin Cohen & Holtz LLP
Certified Public Accountants & Consultants
REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS
Honorable Mayor, Village Council and Village Manager
Village of Key Biscayne, Florida
We have audited the accompanying general purpose financial statements of the Village of Key Biscayne,
Florida (the Village) as of and for the year ended September 30, 2000, as listed in the table of contents.
These general purpose financial statements are the responsibility of the Village's management. Our
responsibility is to express an opinion on these general purpose financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards and the standards
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 general purpose 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 opinion.
In our opinion, the general purpose financial statements referred to above present fairly, in all material
respects, the financial position of the Village as of September 30, 2000, and the results of its operations
and the cash flows of its proprietary fund type for the year then ended in conformity with generally
accepted accounting principles.
In accordance with Government Auditing Standards, we have also issued a report dated December 8,
2000 on our consideration of the Village's internal control over financial reporting and our tests of its
compliance with certain provisions of laws, regulations, contracts and grants. That report is an integral
part of an audit performed in accordance with Government Auditing Standards and should be read in
conjunction with this report in considering the results of our audit.
Our audit was conducted for the purpose of forming an opinion on the general purpose financial
statements taken as a whole. The accompanying combining, individual fund and account group
statements and schedules as listed in the table of contents and the required supplementary information on
page 23 are presented for purposes of additional analysis and are not a required part of the general
purpose financial statements. Such information has been subjected to the auditing procedures applied in
the audit of the general purpose financial statements and, in our opinion, is fairly presented in all material
respects in relation to the general purpose financial statements taken as a whole.
-1-
One Southeast Third Av emte, Tenth Floor, ,Miami, Florida 33131 • Tel 305-377-4228 • Fay 305-377-8331
Offices in Miami • Ft Lauderdale • Boca Raton • West Palm Beach @ Stuart
i~ ice rchcpa com
Member nr tiummd Intel 11 arinn II lssoeiatvs Inc m ith nttice, in prim upaI atres throughout the r%orld
Honorable Mayor, Village Council and Village Manager
Village of Key Biscayne, Florida
Page Two
The information shown in the statistical section listed in the table of contents has not been subjected to
the auditing procedures applied in the audit of the general purpose financial statements and, accordingly,
we express no opinion thereon.
A, - e-- to4ej
Miami, Florida
December 8, 2000
GENERAL PURPOSE
FINANCIAL STATEMENTS
(Combined Statements - Overview)
VILLAGE OF KEY BISCAYNE, FLORIDA
COMBINED BALANCE SHEET
ALL FUND TYPES AND ACCOUNT GROUPS
SEPTEMBER 30, 2000
(WITH COMPARATIVE TOTALS FOR SEPTEMBER 30, 1999)
Governmental
Fund Tye
Proprietary
Fund Types
Fiduciary Account
Fund Type Groups
Trust General G neral Totals
Capital
e
and Fixed Long-Term (Memorandum Only)
General Projects Enterrse Agency Assets D-ch 2&U 1999
ASSETS AND OTHER DEBITS
Cash and cash equivalents $ 3,208,836 $ 1,750,315 $ 1,435,420 $ 361 $$ 6,394,932 $ 5,781,531
Investments 884,890 8,324,145 -1,305,020 10,514,055 14,099,629
Due from other funds 83,978 83,978 318,792
19 241 19 241 29955Property taxes receivable ,,,
Other receivables 385,899 370,768 122,747 128,398 1,007,812 559,972
Capitalized loan fees and interest --186,018 -186,018 43,962
Fixed assets, net -9,616,532 - 25,151,069 34, 767,601 29,819, 736
Amount to be provided for retirement of general long-term debt 15,387,589 15,387,589 16,138,654
Total assets and other debits $ 4,582,844 $ 10,445,228 $ 11,360,717 $ 1,433,779 $ 25,151,069 $ 15,387,589 $ 68,361,226 $ 66,817,575
LIABILITIES, EQUITY AND OTHER CREDITS
Liabilities:
Accounts payable and accrued liabilities $ 366,563 $ 195,515 $ 4,189 $ - $ - $$ 566,267 $ 580,573
Retainage payable -45,293
Deposits and performance bonds 46,454 46,454 5,915
Due to other funds 50,490 33,488 83,978 318,792
Revolving loan -865,818 865,818 723,762
Rebatable arbitrage 97,165 97,165 -
Compensated absences payable 1,135,424 1,135,424 1,048,654
Revenue bonds payable --6,940,000 - 14,155,000 21,095,000 22,290,000
Total liabilities 413,017 246,005 7,843,495 - - 15,387,589 23,890,106 25,012,989
Equity and other credits:
Investment in general fixed assets 25,151,069 25,151,069 19,949,285
Contributed capital -2,682,901 - - -2,682,901 2,682,901
Retained earnings 834,321 - - -834,321 880,962
Fund balance:
Reserved 3,854,827 10,199,223 -1,433,779 15,487,829 17,891,333
Unreserved:
Designated 315,000 --- - -315,000 400,105
Total equity and other credits 4,169,827 10,199,223 3,517,222 1,433,779 25,151,069 -44,471,120 41,804,586
Total liabilities, equity and other credits $ 4,582,844 $ 10,445,228 $ 11,360,717 $ 1,433,779 $ 25,151,069 $ 15,387,589 $ 68,361,226 $ 66,817,575
See notes to general purpose financial statements.
-3-
VILLAGE OF KEY BISCAYNE, FLORIDA
COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
ALL GOVERNMENTAL FUND TYPES
FISCAL YEAR ENDED SEPTEMBER 30, 2000
(WITH COMPARATIVE TOTALS FOR FISCAL YEAR ENDED SEPTEMBER 30, 1999)
General
Capital
Projects
Totals
(Memorandum Only)
E1uld Funds ZM 1999
Revenues:
Property taxes $ 7,799,633 $ - $ 7,799,633 $ 7,012,714
Utility taxes 1,723,902 -1,723,902 1,621,473
Franchise fees 729,998 -729,998 740,031
Intergovernmental 889,704 -889,704 807,924
Licenses and permits 1,316,641 -1,316,641 668,672
Charges for services 224,177 -224,177 457,828
Other ---227,633
Interest 315,959 849,962 1,165,921 524,205
Grants 124,375 -124,375 903,116
Total revenues 13,124,389 849,962 13,974,351 12,963,596
Expenditures:
Current:
General government 1,068,710 -1,068,710 914,479
Public works 830,360 -830,360 730,521
Building, zoning, and planning 1,227,696 -1,227,696 1,058,831
Parks and recreation 380,502 -380,502 293,664
Public safety 6,068,147 -6,068,147 5,644,903
Non-departmental 694,643 -694,643 672,708
Capital outlay 274,078 4,899,093 5,173,171 2,881,125
Debt Service:
Principal 935,000 -935,000 895,000
Interest 595,767 -595,767 241,327
Total expenditures 12,074,903 4,899,093 16,973,996 13,332,558
Excess (deficiency) of revenues over expenditures 1,049,486 (4,049,131)(2,999,645)(368,962)
Other financing sources (uses):
Operating transfers in -1,000,000 1,000,000 1,017,430
Operating transfers out (1,000,000)-(1,000,000)(1,017,430)
Bond proceeds ---10,000,000
Total other financing sources (uses) (1,000,000)1,000,000 -10,000,000
Excess (deficiency) of revenues and other financing
sources over expenditures and other financing uses 49,486 (3,049,131)(2,999,645)9,631,038
Fund balances, beginning 4,120,341 13,248,354 17,368,695 7,737,657
Fund balances, ending $ 4,169,827 $ 10,199,223 $ 14,369,050 $ 17,368,695
See notes to general purpose financial statements.
VILLAGE OF KEY BISCAYNE, FLORIDA
STATEMENT OF REVENUES AND EXPENDITURES
BUDGET AND ACTUAL - GENERAL FUND
FISCAL YEAR ENDED SEPTEMBER 30, 2000
Budget
Budgetary
Basis
Actual
Variance
Favorable
(Unfavorable)
Revenues:
Property taxes $ 7,677,766 $ 7,799,633 $ 121,867
Utility taxes 1,700,000 1,723,902 23,902
Franchise fees 843,425 729,998 (113,427)
Intergovernmental 900,000 889,704 (10,296)
Licenses and permits 531,304 1,316,641 785,337
Charges for services 103,020 224,177 121,157
Interest 494,600 315,959 (178,641)
Grants 118,750 124,375 5,625
Total revenues 12,368,865 13,124,389 755,524
Expenditures:
Current:
General government 934,575 950,710 (16,135)
Public works 588,739 712,892 (124,153)
Building, zoning and planning 1,232,662 1,233,476 (814)
Parks and recreation 399,000 398,068 932
Public safety 6,261,217 6,296,461 (35,244)
Non-departmental 854,046 716,529 137,517
Debt Service:
Principal 935,000 935,000 -
Interest 603,626 595,767 7,859
Total expenditures 11,808,865 11,838,903 (30,038)
Excess of revenues over expenditures 560,000 1,285,486 725,486
Other financing sources (uses):
Appropriation of prior years' fund balance -
expenditures of prior year reserves 440,000 (236,000)(676,000)
Excess of revenues and other financing sources
over expenditures and other financing uses $ 1,000,000 $ 1,049,486 $ 49,486
See notes to general purpose financial statements.
VILLAGE OF KEY BISCAYNE, FLORIDA
COMBINED STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS
ENTERPRISE FUNDS
FISCAL YEAR ENDED SEPTEMBER 30, 2000
(WITH COMPARATIVE TOTALS FOR FISCAL YEAR ENDED SEPTEMBER 30, 1999)
2000 1999
Operating revenue $ 781,477 $ 750,040
Operating expenses:
General and administrative costs 345,595 298,769
Depreciation 273,919 269,729
Total operating expenses 619,514 568,498
Operating income 161,963 181,542
Non-operating revenue (expense):
Interest income 84,194 63,160
Interest expense (292,798)(301,499)
Total non-operating expense (208,604)(238,339)
Net loss (46,641)(56,797)
Retained earnings, beginning 880,962 937,759
Retained earnings, ending $ 834,321 $ 880,962
See notes to general purpose financial statements.
VILLAGE OF KEY BISCAYNE, FLORIDA
COMBINED STATEMENT OF CASH FLOWS
ENTERPRISE FUNDS
FISCAL YEAR ENDED SEPTEMBER 30, 2000
(WITH COMPARATIVE TOTALS FOR FISCAL YEAR ENDED SEPTEMBER 30, 1999)
Cash flows from operating activities:
Operating income
Adjustments to reconcile operating income to net
cash provided by operating activities:
Depreciation
Changes in operating assets and liabilities:
(Increase) decrease in:
Accounts receivable
Interest receivable
Due from other governments
Increase (decrease) in:
Accounts payable and accrued liabilities
Retainage payable
Due to other funds
Total adjustments
Net cash provided by operating activities
Cash flows from capital and related financing activities:
Payments for construction in progress
Proceeds from revenue bonds
Retirement of bond anticipation notes
Payments on revenue bonds
Net proceeds from revolving loan
Interest paid
Net cash used by capital and related financing activities
Cash flows from investing activities:
Interest received
Net decrease in cash and cash equivalents
Cash and cash equivalents, beginning
Cash and cash equivalents, ending
2000 1999
$ 161,963 $ 181,542
273,919 269,729
(10,097) 517,902
(142,056)
8,562
(77,991) (182,491)
(11,750) -
33,488 (470,237)
65,513 143,465
227,476 325,007
(20,000) (279,762)
- 7,200,000
- (7,200,000)
(260,000)
142,056
(292,798) (301,499)
(430,742) (581,261)
84,194 63,160
(119,072) (193,094)
1,554,492 1,747,586
$ 1,435,420 $ 1,554,492
See notes to general purpose financial statements.
7
VILLAGE OF KEY BISCAYNE, FLORIDA
STATEMENT OF CHANGES IN PLAN NET ASSETS
PENSION TRUST FUND
FISCAL YEAR ENDED SEPTEMBER 30, 2000
(WITH COMPARATIVE TOTALS FOR FISCAL YEAR ENDED SEPTEMBER 30, 1999)
2000 1222
ADDITIONS
Contributions:
Plan member $ 479,749 $ 446,789
State 110,700 60,949
Total contributions 590,449 507,738
Investment earnings 74,462 59,353
Total additions 664,911 567,091
DEDUCTIONS
Distributions 116,846 44,899
Refunds -5,877
Administrative expenses 37,029 17,799
Total deductions 153,875 68,575
Net increase 511,036 498,516
Net assets held in trust for pension benefits:
Beginning of year 922,743 424,227
End of year $ 1,433,779 $ 922,743
See notes to general purpose financial statements.
-8-
NOTES TO GENERAL PURPOSE
FINANCIAL STATEMENTS
VILLAGE OF KEY BISCAYNE, FLORIDA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
SEPTEMBER 30, 2000
NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The Village of Key Biscayne, Florida (the Village), located in Miami-Dade County, is a political
subdivision of the State of Florida. The Village, which was incorporated in 1991, operates under
a Council-Manager form of government. In addition to the general government function, the
Village provides its residents with public works, public safety (police and fire), parks and
recreation, building, zoning and planning functions, sanitation and stormwater management. The
Village does not provide educational or hospital facilities; those services are provided by the
Miami-Dade County School Board and Miami-Dade County, respectively.
The accounting policies of the Village conform to generally accepted accounting principles
(GAAP) as applied to governmental units. This report, the accounting systems and classification
of accounts conform to the standards of the Governmental Accounting Standards Board (GASB),
which is the accepted standard-setting body for establishing governmental accounting and
financial reporting principles.
The more significant of the Village's accounting policies are described below to assist the reader
in interpreting the general purpose financial statements and other data in this report. These
policies are considered essential and should be read in conjunction with the accompanying
general purpose financial statements.
1. Financial Reporting Entity
The financial statements were prepared in accordance with GASB Statement No. 14, The
Financial Reporting Entity, which establishes standards for defining and reporting on the
financial reporting entity. The definition of the financial reporting entity is based upon the
concept that elected officials are accountable to their constituents for their actions. One of the
objectives of financial reporting is to provide users of financial statements with a basis for
assessing the accountability of the elected officials. The financial reporting entity consists of
the Village, organizations for which the Village is financially accountable, and other
organizations for which the nature and significance of their relationship with the Village are
such that exclusion would cause the reporting entity's financial statements to be misleading or
incomplete. The Village is financially accountable for a component unit if it appoints a
voting majority of the organization's governing board and it is able to impose its will on that
organization or there is a potential for the organization to provide specific financial benefits
to, or impose specific financial burdens on, the Village. Based upon the application of these
criteria, there were no organizations that met the criteria described above.
2. Measurement Focus, Basis of Accounting and Basis of Presentation
The accounts of the Village are organized and operated on the basis of funds and account
groups. A fund is an independent fiscal and accounting entity with a self-balancing set of
accounts. Fund accounting segregates funds according to their intended purpose and is used
to aid management in demonstrating compliance with finance-related legal and contractual
provisions. The minimum number of funds is maintained consistent with legal and
managerial requirements. Account groups are a reporting device to account for certain assets
and liabilities of the governmental funds not recorded directly in those funds.
VILLAGE OF KEY BISCAYNE, FLORIDA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
(Continued)
NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
2. Measurement Focus, Basis of Accounting and Basis of Presentation (Continued)
The Village has the following fund types and account groups:
Governmental Fund Types
Governmental funds are used to account for the Village's general governmental
activities. Governmental fund types use the flow of current financial resources
measurement focus and the modified accrual basis of accounting. Under the modified
accrual basis of accounting, revenues are recognized when susceptible to accrual (i.e.,
when they are measurable and available). Measurable means the amount of the
transaction can be determined and available means collectible within the current period
or soon enough thereafter to pay liabilities of the current period. The Village considers
all revenues available if they are collected within 60 days after year end. Expenditures
are recorded when the related fund liability is incurred, except for unmatured principal
and interest on general long-term debt which is recognized when due, and certain
compensated absences which are recognized when the obligations are expected to be
liquidated with expendable available financial resources.
Taxes, intergovernmental revenue, licenses and interest are susceptible to accrual.
Sales taxes collected and held by the State at fiscal year end on behalf of the Village
are also recognized as revenue. Other receipts and fees become measurable and
available when cash is received by the Village and recognized as revenue at that time.
Cost reimbursement type grant revenues are considered earned and are accrued
simultaneously with the grant expenditures unless such expenditures are prohibited by
the grant agreements.
The general fund is the Village's primary operating fund. It accounts for all financial
resources of the Village, except those required to be accounted for in another fund.
Resources are derived primarily from property and utility taxes and intergovernmental
revenues. Expenditures are incurred to provide general government, public safety,
public works, building, zoning and planning and recreation services.
The capital projects funds account for the acquisition or construction of major capital
projects not being financed by proprietary funds. The Village has two capital projects
funds; the capital improvement fund and the civic center fund.
Proprietary Fund Type
Proprietary funds are accounted for on the flow of economic resources measurement
focus and use the accrual basis of accounting. Under this method, revenues are
recorded when earned and expenses are recorded at the time liabilities are incurred.
The Village applies all applicable Financial Accounting Standards Board (FASB)
statements issued on or before November 30, 1989 except those that are contradicted
1 n
VILLAGE OF KEY BISCAYNE, FLORIDA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
(Continued)
NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
2. Measurement Focus, Basis of Accounting and Basis of Presentation (Continued)
Proprietary Fund Type (Continued)
by a Governmental Accounting Standards Board (GASB) pronouncement in
accounting and reporting for its proprietary operations. The proprietary fund includes
the following fund type:
The enterprise funds are used to account for those operations that are financed and
operated in a manner similar to a private business or where the Council has decided
that the determination of revenues earned, costs incurred (including depreciation)
and/or net income is necessary for management accountability. The Village has
three enterprise funds; a stormwater utility fund, a solid waste fund and a sanitary
sewer construction fund.
Fiduciary Fund Type
The fiduciary fund accounts for assets held by the Village in a trustee capacity or as an
agent on behalf of others. Fiduciary funds include the following fund type:
Trust funds are custodial in nature and do not present results of operations or have a
measurement focus. Trust funds are accounted for in a manner similar to proprietary
fund types. Trust funds are used to account for assets held by the Village in a trustee
capacity for individuals, private organizations, other governments, and/or other funds.
The Village has one trust fund; a pension trust fund that accounts for a defined benefit
pension plan.
Account Groups
The general fixed assets account group is used to account for fixed assets not accounted
for in proprietary funds. The general long-term debt account group is used to account
for general long-term obligations including compensated absences that are not specific
liabilities of the proprietary fund.
3. Budgets and Budgetary Accounting
An annual appropriated budget is prepared for the general fund.
The Village follows these procedures in establishing the budgetary data reflected in the
financial statements:
(a) The Village Manager submits to the Council a proposed operating budget for the ensuing
fiscal year. The operating budget includes appropriations and the means of financing
them with an explanation regarding each expenditure that is not of a routine nature.
VILLAGE OF KEY BISCAYNE, FLORIDA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
(Continued)
NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
3. Budgets and Budgetary Accounting (Continued)
(b) Public hearings are conducted to obtain taxpayer comments.
(c) Prior to October 1, the budget is legally enacted through passage of an ordinance.
(d) The Village Council, by motion, may make supplemental appropriations for the year up
to the amount of revenues in excess of those estimated. During fiscal year ended
September 30, 2000, there were no supplemental appropriations.
(e) Formal budgetary integration is employed as a management control device for the general
fund.
(f) The budget for the general fund is adopted on a basis consistent with generally accepted
accounting principles (GAAP), except for certain unbudgeted expenditures of prior year
reserves.
(g) The Village Manager is authorized to transfer part or all of an encumbered appropriation
balance within departments within a fund; however, any revisions that alter the total
appropriations of any department or fund must be approved by the Village Council. The
classification detail at which expenditures may not legally exceed appropriations is at the
department level.
(h) Unencumbered appropriations lapse at year end. Encumbered amounts are not
reappropriated in the following year's budget.
(i) Budgeted amounts are as originally adopted. There were no budget amendments during
the year.
4. Deposits and Investments
The Village's cash and cash equivalents are considered to be cash on hand and short-term
investments with original maturities of three months or less from the date of acquisition.
Deposits include cash on hand and certificates of deposit.
Village administration is authorized to invest in those instruments authorized by the Florida
Statutes. Investments, which consist of funds held with the State Board of Administration
Investment Pool (2A7-Pool), are reported at its fair value of its position in the pool, which is
the same as the value of the pool shares. All other investments are reported at fair value.
5. Fixed Assets
Fixed assets used in governmental fund type operations are accounted for in the general fixed
assets account group, rather than in the governmental funds. General fixed assets purchased
are initially reported as expenditures in the general and capital projects funds and are
-12-
VILLAGE OF KEY BISCAYNE, FLORIDA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
(Continued)
NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
5. Fixed Assets (Continued)
capitalized at historical cost or estimated cost if actual historical cost is not available in the
general fixed assets account group, except for certain infrastructure assets which include
streets, alleys, sidewalks, drainage and lighting systems which are immovable and of value
only to the Village. Depreciation is not required and has not been provided on general fixed
assets.
Proprietary fund fixed assets currently consists of assets capitalized for the stormwater utility
system project and the sanitary sewer construction project. The fixed assets are stated at cost
and depreciated based on the straight-line method over the estimated useful lives, which
range between 20 and 45 years.
6. Interfund Receivables/Payables
Transactions between funds that are representative of lending/borrowing arrangements at the
end of the fiscal year are reported as due to/from other funds.
7. Compensated Absences
It is the Village's policy to permit employees to accumulate earned but unused vacation and
sick pay and compensatory time within specified limits. The accumulated unpaid vacation
and sick leave and compensatory time is reported in the general long-term debt account
group.
8. Long-Term Obligations
The Village reports long-term debt of governmental funds in the general long-term debt
account group. Certain other governmental fund obligations not expected to be financed with
current available financial resources are also reported in the general long-term debt account
group. Long-term debt and other obligations financed by proprietary funds are reported as
liabilities of those funds.
9. Reserves and Designations
Fund balances are reserved to indicate that a portion of fund equity is not available for
appropriation or are legally segregated for a specific future use. The description of each
reserve indicates the purpose for which each was intended.
Designated fund balances indicate that a portion of fund equity has been segregated based on
tentative plans of the Village administration. Such plans or intent are subject to change.
Unreserved, undesignated fund balance is the portion of fund equity available for any lawful
use.
VILLAGE OF KEY BISCAYNE, FLORIDA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
(Continued)
NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
10. 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 amounts
reported in the financial statements and accompanying notes. Although these estimates are
based on management's knowledge of current events and actions it may undertake in the
future, they may ultimately differ from actual results.
11. Comparative Data/Reclassifications
Comparative total data for the prior year has been presented in selected sections of the
accompanying financial statements in order to provide an understanding of changes in
Village's financial position and operations. Certain amounts presented in the prior year data
have been reclassified to be consistent with current year's presentation.
12. Memorandum Only - Total Columns
Total columns on the combined statements which are captioned "memorandum only"
aggregate the columnar amounts presented by fund type and account group and are presented
only to facilitate financial analysis. Data in these columns do not present financial position
or results of operations in conformity with generally accepted accounting principles; neither
is such data comparable to a consolidation. Interfund eliminations have not been made in the
aggregation of this data.
NOTE 2. DEPOSITS AND INVESTMENTS
Deposits
In addition to insurance provided by the Federal Depository Insurance Corporation, all
deposits are held in banking institutions approved by the State Treasurer of the State of
Florida to hold public funds. Under Florida Statutes Chapter 280, Florida Securityfor Public
Deposits Act, the State Treasurer requires all Florida qualified public depositories to deposit
with the Treasurer or another banking institution eligible collateral. In the event of a failure
of a qualified public depository, the remaining public depositories would be responsible for
covering any resulting losses. Accordingly, all amounts reported as deposits are insured or
collateralized with securities held by the entity or its agent in the entity's name.
Investments
The Village is authorized to invest in obligations of the U.S. Treasury, its agencies,
instrumentalities and the Local Government Surplus Trust Fund administered by the State
Board of Administration. The investments follow the investment rules defined in Florida
Statutes Chapter 215. The investment policy defined in the statutes attempts to promote,
through state assistance, the maximization of net interest earnings on invested surplus funds
of local units of governments while limiting the risk to which the funds are exposed.
VILLAGE OF KEY BISCAYNE, FLORIDA
NOTES TO GENERAL PURPOSE FTNANCIAL STATEMENTS
(Continued)
NOTE 2. DEPOSITS AND INVESTMENTS (Continued)
Investments (Continued)
The Local Government Surplus Funds Trust Fund is governed by Ch. 19-7 of the Florida
Administrative Code, which identifies the Rules of the State Board of Administration. These
rules provide guidance and establish the general operating procedures for the administration
of the Local Government Surplus Funds Trust Fund. Additionally, the Office of the Auditor
General performs the operational audit of the activities and investments of the State Board of
Administration.
The Local Government Surplus Funds Trust is not a registrant with the Securities sand
Exchange Commission (SEC); however, the Board has adopted operating procedures
consistent with the requirements for a 2a-7 fund.
At September 30, 2000, the Village's investment balances, which are carried at fair value, were
classified as credit risk category 1; insured or registered, or securities held by the entity or its
agent in the entity's name, were as follows:
Category 1
Repurchase agreements $3,122,688
Bonds 382,969
Common stocks 807,056
4,312,713
Investments not subject to categorization:
Mutual funds 114,995
State Board of Administration investment pool 2,795,410
$7,223118
A reconciliation of cash and investments as shown on the combined balance sheet is as follows:
Carrying amount of deposits $ 9,685,869
Carrying amount of investments 7,223,118
$16,908,987
Cash and cash equivalents $ 6,394,932
Investments 10,514,055
$16.908,987
NOTE 3. PROPERTY TAXES
Property values are assessed on a county-wide basis by the Miami-Dade County Property
Appraiser as of January 1, the lien date, of each year and are due the following November 1.
Taxable value of property within the Village is certified by the Property Appraiser and the
Village levies a tax millage rate upon the taxable value, which will provide revenue required for
the fiscal year beginning October 1.
1 G
VILLAGE OF KEY BISCAYNE, FLORIDA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
(Continued)
NOTE 3. PROPERTY TAXES (Continued)
Property taxes levied each November 1, by the Village and all other taxing authorities within the
County, are centrally billed and collected by Miami-Dade County, with remittances to the
Village of their proportionate share of collected taxes. Taxes for the fiscal year beginning
October 1 are billed in the month of November, subject to a 1% per month discount for the
period November through February, and are due no later than March 31. On April 1, unpaid
amounts become delinquent with interest and penalties added thereafter. Beginning June 1, tax
certificates representing delinquent taxes with interest and penalties are sold by Miami-Dade
County, with remittance to the Village for its share of those receipts. At September 30, 2000,
there were no significant delinquent taxes.
NOTE 4. FIXED ASSETS
The following is a summary of changes in general fixed assets:
Balance
September 30,
1999 Additions
Balance
September 30,
Deletions 2000
Land $13,240,657 $3,331,216 $ - $16,571,873
Buildings 730,717 -- 730,717
Improvements other than buildings 2,957,733 992,020 - 3,949,753
Equipment 2,702,361 268,131 - 2,970,492
Furniture and fixtures 128,272 5,947 - 134,219
Construction in progress 189,545 604,470 - 794,015
Total $19.949,285 $5,201,784 $ - $25,151.069
Depreciation is not required and has not been provided on general fixed assets.
The following is a summary of proprietary fund type fixed assets:
Balance
September 30,
1999 Additions
Balance
September 30,
Deletions 2000
Stormwater utility system $10,056,660 $ -$ - $10,056,660
Construction in progress 353,249 20,000 - 373,249
10,409,909 20,000 - 10,429,909
Less accumulated depreciation 539,458 273,919 - 813,377
$__9 870.451 $ 253 919 $ - $ 9 616,532
VILLAGE OF KEY BISCAYNE, FLORIDA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
(Continued)
NOTE 5. LONG-TERM DEBT
The following is a summary of changes in general long-term debt account group:
Balance
September 30,
1999 Additions Payments
Balance
September 30,
2000
Revenue bonds payable $15,090,000 $ -$935,000 $14,155,000
Compensated absences payable 1,048,654 86,770 -1,135,424
Rebatable arbitrage -97,165 -97,165
$16,138,654 $1935 $935,000 $15387,589
Revenue Bonds
Land Acquisition Revenue Bonds
During the fiscal year ended September 30, 1994, the Village issued land acquisition
revenue bonds of $9,200,000, the proceeds of which were used for the acquisition of the
Village Green property. The Village has pledged public service tax revenues to secure
payment of the principal and interest on the bonds. The bonds are due in annual principal
installments ranging from $975,000 in fiscal year 2001 to $1,105,000 in fiscal year 2004.
Interest accrues at 4.36% per annum.
Debt service requirements to maturity are as follows:
Principal Interest Total
Fiscal year ending September 30:
2001 $ 975,000 $159,903 $1,134,903
2002 1,015,000 116,521 1,131,521
2003 1,060,000 71,286 1,131,286
2004 1,105,000 24,089 1,129,089
$415 $371,799 $4,526,799
Land Acquisition and Capital Improvement Revenue Bonds
During the fiscal year ended September 30, 1999, the Village issued land acquisition and
capital improvement revenue bonds of $10,000,000, the proceeds of which were used for
the acquisition of property and financing of the construction of the Civic Center project.
The Village has pledged non-ad valorem revenues to secure payment of the principal and
interest on the bonds. The bonds are due in annual principal installments ranging from
$355,000 in fiscal year 2003 to $815,000 in fiscal year 2020. Interest accrues at 4.715%
per annum.
VILLAGE OF KEY BISCAYNE, FLORIDA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
(Continued)
NOTE 5. LONG-TERM DEBT (Continued)
Revenue Bonds (Continued)
Land Acquisition and Capital Improvement Revenue Bonds (Continued)
Debt service requirements to maturity are as follows:
Principal Interest Total
Fiscal year ending September 30:
2001 $ -$ 471,500 $ 471,500
2002 -471,500 471,500
2003 355,000 463,131 818,131
2004 375,000 445,921 820,921
2005 390,000 427,886 817,886
2006-2020 8,880,000 3,523,676 12,403,676
$10,000,000 $5103,614 $15,803,614
Stormwater Utility Revenue Bonds
During the fiscal year ended September 30, 1999, the Village issued stormwater utility
revenue bonds of $7,200,000, the proceeds of which were used to pay the principal of the
$7,200,000 Bond Anticipation Notes, Series 1995. The Village has pledged stormwater
utility fees to secure payment of the principal and interest on the bonds. The bonds are due
in annual principal installments on October I", ranging from $125,000 in fiscal year 2001 to
$595,000 in fiscal year 2020. However, the payment due on October 1, 2000 of $125,000
was paid on September 30, 2000. Interest accrues at 4.13% per annum.
Debt service requirements to maturity are as follows:
Principal Interest Total
Fiscal year ending September 30:
2001 $ - $ 218,239 $ 218,239
2002 130,000 286,622 416,622
2003 185,000 281,253 466,253
2004 195,000 273,612 468,612
2005 205,000 265,559 470,559
2006-2020 6,225,000 2,366,077 8,591,077
$6,940,000 $3,691,362 $10,631,362
Revolving Loan
During the fiscal year ended September 30, 1998, the Village obtained financing for the
planning and engineering of the proposed sanitary sewer construction project under a State
Revolving Fund Loan. A loan agreement in the amount of $865,818, including capitalized
interest and prepaid loan fees, was entered into in June 1996, but the proceeds were received in
fiscal year 1998. The loan is payable in semi-annual payments over 20 years beginning on the
earlier of the commencement of the construction project or February 15, 2003 at an interest rate
of 2.56% per annum. Therefore, annual debt service payments have not yet been determined.
1 4
VILLAGE OF KEY BISCAYNE, FLORIDA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
(Continued)
NOTE 5. LONG-TERM DEBT (Continued)
Revolving Loan: (Continued)
In November 1999, the Village was awarded an additional $6,798,000 under the State
Revolving Fund Loan which has not yet been disbursed to the Village.
NOTE 6. COMMITMENTS AND CONTINGENCIES
Commitments
The Village was obligated under a non-cancelable operating lease for office space until
October 1, 1998. Subsequent to October 1, 1998, the Village leases their office space on a
month-to-month basis. Rent expense was approximately $97,000 for the fiscal year 2000.
Construction Commitments
The Village issued land acquisition and capital improvement revenue bonds totaling
$10,000,000 in fiscal year 1999 for the acquisition of the property and construction of the
Village Civic Center. During the year, the Civic Center project incurred expenditures for the
acquisition of land of approximately $3,300,000. Approximately $6,700,000 will be
expended on the Civic Center and various other construction projects for street repairs and
maintenance and Village beautification.
Litigation
The Village is involved in several lawsuits incidental to its operations, the outcome of which,
in the opinion of management and legal counsel, would not have a material adverse effect on
the financial condition of the Village.
Risk Management
The Village is exposed to various risks of loss related to torts, theft of, damage to and destruction
of assets, errors and omissions and natural disasters for which the Village carries commercial
insurance. There was no reduction in insurance coverage from coverages in the prior year and
there were no settlements that exceeded insurance coverage for each of the past three years.
Grant Contingency
Federal and State programs in which the Village participates were audited in accordance with
the provision of regulatory requirements and grantor agencies. Pursuant to those provisions,
certain programs were tested for compliance with applicable grant requirements. While no
matters of noncompliance were disclosed by the audit, government agencies may subject
grant programs to additional compliance tests that may result in disallowed costs. In the
opinion of management, future disallowances of grant expenditures, if any, would not have a
material adverse effect on the financial condition of the Village.
VILLAGE OF KEY BISCAYNE, FLORIDA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
(Continued)
NOTE 7. RESERVED/DESIGNATED FUND BALANCES
As of September 30, 2000, fund balances in the governmental funds have been reserved or
designated for the following purposes:
Reserved Fund Balances
General fund:
Special disaster relief $ 100,000
Recreation facilities 99,860
Law enforcement 344,512
Community center 30,100
Beach park and walk 572,738
Compensated absences 503,617
Subsequent year's budget 204,000
Emergencies 2,000,000
$_ 3.854,827
Capital project funds:
ital improvementsCa $10,199,223p
Pension Trust Fund:
ees pension benefitsloEm $ 1,433,779yp
Designated Fund Balances
General fund:
Inspector fees $ 275,000
Police/fire equipment and building 40,000
$ 315.000
NOTE 8. SEGMENT INFORMATION FOR ENTERPRISE FUNDS
The City maintains three enterprise funds the purpose of which is to account for stormwater,
solid waste and sanitary sewer construction services. Selected financial data for the individual
funds are presented below:
Stormwater
Utili
Solid Waste
Utili
Sanitary
Sewer
Construction Total
Operating revenues $ 494,955 $ 286,522 $ - $ 781,477
Depreciation 273,919 -- 273,919
Operating income (loss)187,583 (19,430)(6,190) 161,963
Interest expense 292,798 -- 292,798
Net income (loss)(45,187)(13,828)12,374 (46,641)
Fixed assets additions --20,000 20,000
Net working capital 1,098,124 100,848 321,518 1,520,490
Total assets 10,343,012 136,615 881,090 11,360,717
Bonds payable/loans payable 6,940,000 -865,818 7,805,818
Total equity 3,401,407 100,848 14,967 3,517,222
VILLAGE OF KEY BISCAYNE, FLORIDA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
(Continued)
NOTE 9. DEFINED CONTRIBUTION PLANS
The Village as a single-employer contributes to the Village of Key Biscayne Money Purchase
Plans, which are defined contribution plans created in accordance with Internal Revenue Code
Section 401(a). Under one Plan, which is available to Village employees, the Village contributes
11% and the employees contribute 6%. Under the second plan, which is available only to sworn
or cert ified police officers and firefighters, the Village contributes 11% and there is no employee
contribution. Beginning October 1, 1997, the police officers and firefighters, which elected to
participate in the defined benefit plan (see Note 10), were no longer eligible to contribute to the
401(a) plan. Employer contributions for the fiscal year ended September 30, 2000 were
approximately $472,000 while the employee contributions were approximately $134,000.
Amendments to the Plan must be authorized by the Village Council.
NOTE 10. DEFINED BENEFIT PENSION PLAN
Plan Description
Effective October 1, 1997, the Village established a single-employer Public Employee
Retirement System (PERS) to provide pension benefits for its police officers and firefighters.
The PERS is considered to be part of the Village's financial reporting entity and is included in
the Village's financial reports as a pension trust fund. The Plan was created under Village
Ordinance 97-21. The latest available actuarial valuation is as of October 1, 1999. The PERS
does not issue a separate financial report of the Plan.
Under this plan, all full-time police officers and firefighters employed by the Village are
eligible for participation. The monthly retirement benefit is equal to 2% of the average final
compensation for each year of service. The calculation for the average final compensation is
computed as one-twelfth of the average salary of the five best years of the last ten years of
credited service. Credited service is determined by the total number of years employed by the
Village since August 1, 1993. Amendments to the Plan must be authorized by the Village
Council.
Members are vested after 5 years of service. Vested employees may retire at the earlier of
age 55 and the completion of five years of credited service or the age of 52 and the
completion of 25 years of credited service.
At October 1, 1999 (the latest actuarial valuation date), Plan membership consisted of the
following:
Retirees and beneficiaries currently receiving benefits and terminated
employees entitled to benefits but not yet receiving them 3
Current employees:
Vested 35
Non-vested 18
Total 53
VILLAGE OF KEY BISCAYNE, FLORIDA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
(Continued)
NOTE 10. DEFINED BENEFIT PENSION PLAN (Continued)
Funding Policy
From the effective date of the Plan, October 1, 1997 through September 30, 2000, the
contribution by each member of the Plan is 14%. The rate will be adjusted each year
thereafter to an amount equal to the total cost for the year, as determined by the most recent
actuarial valuation, less the amount of revenue received from the State of Florida pursuant to
Chapters 175 and 185 of the Florida Statutes. The minimum member contribution rate is 8%.
The Plan is designed to limit the Village's exposure to contribute to the Plan.
Annual Pension Cost and Net Pension Asset
The annual pension cost and net pension asset as of October 1, 1999 was as follows:
Annual required contribution $ 1,497
Interest on net pension asset -
Adjustment to annual required contribution -
Annual pension cost 1,497
Contributions made 32,525
Increase in net pension asset 31,028
Net pension asset, beginning of year -
Net pension asset, end of year S31,=028
The annual required contribution for the current year was determined as part of the October 1,
1999 actuarial valuation using the aggregate actuarial cost method. This method does not
identify and separately amortize unfunded actuarial liabilities. When a plan uses the
aggregate actuarial cost method, a schedule of funding progress is not required to be
presented. The actuarial assumptions included (a) 9% investment rate of return (net of
investment related expenses) and (b) projected salary increases ranging from 6% per year.
Both (a) and (b) included an inflation component of 4%. The assumptions did not include
post-retirement benefit increases. The actuarial value of assets was determined using the
difference between actual and expected return recognized over five years.
Trend Information
Fiscal Year Annual Pension Percentage of Net Pension
Ended Cost APC APC Contributed Asset
9/30/98 $ -N/A $ -
9/30/99 1,497 100%+31,028
REQUIRED SUPPLEMENTARY INFORMATION
VILLAGE OF KEY BISCAYNE, FLORIDA
REQUIRED SUPPLEMENTARY INFORMATION
PENSION TRUST FUND
SCHEDULE OF EMPLOYER CONTRIBUTIONS
Year Annual
Ended Required Actual Percentage
September 30. Contribution Contribution Contributed
1998
1999
2000
1,497
$ 32,525 100%+
60,949 100%+
110,700 100%+
The information presented in the required supplemental schedule was determined as part of the actuarial
valuation at the date indicated. Additional information as of the latest actuarial valuation follows.
Valuation date 10/1/99
Actuarial cost method Aggregate actuarial cost method
Amortization method N/A
Remaining amortization period N/A
Asset valuation method Market value
Actuarial assumptions:
Investment rate of return* 9% per year compounded annually, net of investment
related expenses
Projected salary increases* 6%
Cost of living adjustments N/A
*Includes inflation at 4%
COMBINING, INDIVIDUAL FUND AND
ACCOUNT GROUP
STATEMENTS AND SCHEDULES
GENERAL FUND
The general fund is the principal operating fund of the Village and is used to account for
resources traditionally associated with governments, which are not required to be accounted for
in another fund.
VILLAGE OF KEY BISCAYNE, FLORIDA
GENERAL FUND
COMPARATIVE BALANCE SHEETS
SEPTEMBER 30, 2000
(WITH COMPARATIVE TOTALS FOR SEPTEMBER 30, 1999)
2000 1999
ASSETS
Cash and cash equivalents $ 3,208,836 $ 1,836,469
Investments 884,890 2,105,664
Due from other funds 83,978 198,216
Property taxes receivable 19,241 55,299
Accounts receivable 385,899 359,322
Total assets $ 4,582,844 $ 4,554,970
LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable and accrued liabilities $ 366,563 $ 308,138
Deposits and performance bonds 46,454 5,915
Due to other funds -120,576
Total liabilities 413,017 434,629
Fund balances:
Reserved for:
Special relief disaster 100,000 100,000
Recreation facilities 99,860 99,860
Law enforcement 344,512 262,352
Community center 30,100 30,100
Beach park and walk 572,738 572,738
Compensated absences 503,617 565,586
Subsequent year's budget 204,000 440,000
Emergencies 2,000,000 1,500,000
Supplemental fire aid -125,000
Beach improvements -24,600
3,854,827 3,720,236
Unreserved:
Designated for:
Police/fire equipment and building 40,000 40,000
Inspector fees 275,000 275,000
Community grants, maintenance and improvements -51,000
Professional fees 34,105
315,000 400,105
Total fund balances 4,169,827 4,120,341
Total liabilities and fund balances $ 4,582,844 $ 4,554,970
VILLAGE OF KEY BISCAYNE, FLORIDA
GENERAL FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
FISCAL YEAR ENDED SEPTEMBER 30, 2000
uB dget
Budgetary
Basis
Actual
Variance
Favorable
(Unfavorable)
Revenues:
Property taxes $ 7,677,766 $ 7,799,633 $ 121,867
Utility taxes 1,700,000 1,723,902 23,902
Franchise fees 843,425 729,998 (113,427)
Intergovernmental:
State shared revenue 900,000 889,704 (10,296)
Licenses and permits:
Occupational licenses 38,304 57,605 19,301
Building permits 493,000 1,259,036 766,036
531,304 1,316,641 785,337
Charges for services 103,020 224,177 121,157
Interest 494,600 315,959 (178,641)
Grants 118,750 124,375 5,625
Total revenue $ 12,368,865 $ 13,124,389 $ 755,524
(Continued)
V ILLAGE OF KEY BISCAYNE, FLORIDA
GENERAL FUND
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL
(Continued)
FISCAL YEAR ENDED SEPTEMBER 30, 2000
Budget
Budgetary
Basis
Actual
Variance
Favorable
(Unfavorable)
Expenditures:
General government:
Elected officials $ 26,500 $ 21,866 $ 4,634
Administration 695,075 727,305 (32,230)
Village attorney 213,000 201,539 11,461
Total general government 934,575 950,710 (16,135)
Public works 588,739 712,892 (124,153)
Building, planning and zoning 1,232,662 1,233,476 (814)
Parks and recreation 399,000 398,068 932
Public safety 6,261,217 6,296,461 (35,244)
Non-departmental 854,046 716,529 137,517
Debt service:
Principal 935,000 935,000 -
Interest 603,626 595,767 7,859
1,538,626 1,530,767 7,859
Total expenditures $ 11,808,865 $ 11,838,903 $ (30,038)
CAPITAL PROJECTS FUNDS
Capital Projects funds are used to account for the acquisition or construction of major capital
projects not being financed by proprietary funds.
^ Capital Improvement Fund - The capital improvement fund accounts for the acquisition or
construction of various major capital projects.
^ Civic Center Fund - The civic center fund was established to account for the construction
of the Village civic center, which will include administrative offices, fire and police
facilities, and a Village community center.
VILLAGE OF KEY BISCAYNE, FLORIDA
CAPITAL PROJECTS FUNDS
COMBINING BALANCE SHEETS
SEPTEMBER 30, 2000
(WITH COMPARATIVE TOTALS FOR SEPTEMBER 30, 1999)
Capital
Improvement
Civic
nter
Totals
2000 1999
ASSETS
Cash and cash equivalents $ 104,594 $ 1,645,721 $ 1,750,315 $ 2,361,021
Investments 3,173,261 5,150,884 8,324,145 11,100,771
Due from other funds ---120,576
Receivables 90,862 279,906 370,768 88,000
Total assets $ 3,368,717 $ 7,076,511 $ 10,445,228 $ 13,670,368
LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable and accrued liabilities $ 138,057 $ 57,458 $ 195,515 $ 190,255
Retainage payable ---33,543
Due to other funds 50,490 -50,490 198,216
Total liabilities 188,547 57,458 246,005 422,014
Fund balance:
Reserved for capital improvements 3,180,170 7,019,053 10,199,223 13,248,354
Total liabilities and fund balances $ 3,368,717 $ 7,076,511 $ 10,445,228 $ 13,670,368
VILLAGE OF KEY BISCAYNE, FLORIDA
CAPITAL PROJECTS FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
FISCAL YEAR ENDED SEPTEMBER 30, 2000
(WITH COMPARATIVE TOTALS FOR FISCAL YEAR ENDED SEPTEMBER 30, 1999)
Capital Civic Totals
Improvement enter 2000 199
Revenues:
Interest $ 266,361 $ 583,601 $ 849,962 $ 292,385
Other ---293,576
Total revenues 266,361 583,601 849,962 585,961
Expenditures:
Capital outlay 1,326,209 3,572,884 4,899,093 2,489,475
Total expenditures 1,326,209 3,572,884 4,899,093 2,489,475
Deficiency of revenues over expenditures (1,059,848)(2,989,283)(4,049,131)(1,903,514)
Other financing sources:
Operating transfers in 1,000,000 -1,000,000 1,017,430
Bond proceeds ---10,000,000
Total other financing sources 1,000,000 -1,000,000 11,017,430
Excess (deficiency) of revenues and other
financing sources over expenditures (59,848)(2,989,283)(3,049,131)9,113,916
Fund balances, beginning 3,240,018 10,008,336 13,248,354 4,134,438
Fund balances, ending $ 3,180,170 $ 7,019,053 $ 10,199,223 $ 13,248,354
10
ENTERPRISE FUNDS
Enterprise funds are used to account for operations that are financed and operated in a manner
similar to private business enterprises where the intent is that the costs of providing goods or
services be financed or recovered primarily through user charges.
^ Stormwater Utility System Fund - The stormwater utility system accounts for the
construction and maintenance of the stormwater system.
^ Solid Waste Fund - The solid waste fund provides collection service for trash removal.
Solid waste expenses are primarily for curbside collections.
^ Sanitary Sewer Construction Fund - The sanitary sewer construction fund accounts for
the development and construction of a sanitary sewer system to the unsewered areas of the
community.
VILLAGE OF KEY BISCAYNE, FLORIDA
ENTERPRISE FUNDS
COMBINING BALANCE SHEETS
SEPTEMBER 30, 2000
(WITH COMPARATIVE TOTALS FOR SEPTEMBER 30, 1999)
Stormwater Sanitary
Utility Solid Sewer Totals
System Waste Construction 2M 1999
ASSETS
Current assets:
Cash and cash equivalents $ 1,000,329 $ 113,268 $ 321,823 $ 1,435,420 $ 1,554,492
Accounts receivable, net 99,400 23,347 -122,747 112,650
Total current assets 1,099,729 136,615 321,823 1,558,167 1,667,142
Fixed assets, net 9,243,283 -373,249 9,616,532 9,870,451
Capitalized loan fees and interest --186,018 186,018 43,962
Total assets $ 10,343,012 $ 136,615 $ 881,090 $ 11,360,717 $ 11,581,555
LIABILITIES AND FUND EQUITY
Current liabilities:
Accounts payable and accrued liabilities $ 1,605 $ 2,279 $ 305 $ 4,189 $ 82,180
Retainage payable ----11,750
Due to other funds -33,488 -33,488 -
Current portion of revenue bonds payable ----135,000
Total current liabilities 1,605 35,767 305 37,677 228,930
Long-term debt:
Revolving loan --865,818 865,818 723,762
Revenue bonds payable 6,940,000 --6,940,000 7,065,000
Total liabilities 6,941,605 35,767 866,123 7,843,495 8,017,692
Fund equity:
Contributed capital 2,682,901 --2,682,901 2,682,901
Retained earnings 718,506 100,848 14,967 834,321 880,962
Total fund equity 3,401,407 100,848 14,967 3,517,222 3,563,863
Total liabilities and fund equity $ 10,343,012 $ 136,615 $ 881,090 $ 11,360,717 $ 11,581,555
VILLAGE OF KEY BISCAYNE, FLORIDA
ENTERPRISE FUNDS
COMBINING STATEMENTS OF REVENUES, EXPENSES AND CHANGES IN
RETAINED EARNINGS
FISCAL YEAR ENDED SEPTEMBER 30, 2000
(WITH COMPARATIVE TOTALS FOR FISCAL YEAR ENDED SEPTEMBER 30, 1999)
Stormwater
Utility Solid
Sanitary
Sewer Totals
System Waste Construction 22000 1999
Operating revenue $ 494,955 $ 286,522 $ - $ 781,477 $ 750,040
Operating expenses:
General and administrative costs 33,453 305,952 6,190 345,595 298,769
Depreciation 273,919 --273,919 269,729
Total operating expenses 307,372 305,952 6,190 619,514 568,498
Operating income (loss)187,583 (19,430)(6,190)161,963 181,542
Non-operating revenues (expense):
Interest income 60,028 5,602 18,564 84,194 63,160
Interest expense (292,798)--(292,798)(301,499)
Total non-operating revenues
(expenses)(232,770)5,602 18,564 (208,604)(238,339)
Net income (loss)(45,187)(13,828)12,374 (46,641)(56,797)
Retained earnings, beginning 763,693 114,676 2,593 880,962 937,759
Retained earnings, ending $ 718,506 $ 100,848 $ 14,967 $ 834,321 $ 880,962
VILLAGE OF KEY BISCAYNE, FLORIDA
ENTERPRISE FUNDS
COMBINING STATEMENTS OF CASH FLOWS
FISCAL YEAR ENDED SEPTEMBER 30, 2000
(WITH COMPARATIVE TOTALS FOR FISCAL YEAR ENDED SEPTEMBER 30, 1999)
Stormwater Sanitary
Utility
System
Solid
Waste
Sewer
Construction
Totals
2000 1999
Cash flows from operating activities:
Operating income (loss)S 187,583 $ (19,430)$ (6,190) S 161,963 $ 181,542
Adjustments to reconcile operating income (loss) to
net cash provided (used) by operating activities:
Depreciation 273,919 273,919 269,729
Change in operating assets and liabilities:
(Increase) decrease in:
Accounts receivable (4,884)(5,213)-(10,097)517,902
Interest receivable (142,056)(142,056)-
Due from other governments 8,562
Increase (decrease) in:
Accounts payable (80,575)2,279 305 (77,991)(182,491)
Retainage payable (11,750)-(11,750)-
Due to other funds 33,488 -33,488 (470,237)
Total adjustments 176,710 30,554 (141,751)65,513 143,465
Net cash provided (used) by operating activities 364,293 11,124 (147,941)227,476 325,007
Cash flows from capital and relating financing activities:
Payments for construction in progress (20,000)(20,000)(279,762)
Proceeds from revenue bonds -7,200,000
Retirement of bond anticipation notes --(7,200,000)
Principal payment for revenue bonds (260,000)(260,000)-
Net proceeds from revolving loan 142,056 142,056
Interest paid (292,798)-(292,798)(301,499)
Net cash provided (used) by capital and related
financing activities (552,798)122,056 (430,742)(581,261)
Cash flows from investing activities:
Interest received 60,028 5,602 18,564 84,194 63,160
Net increase (decrease) in cash and cash equivalents (128,477)16,726 (7,321)(119,072)(193,094)
Cash and cash equivalents, beginning 1,128,806 96,542 329,144 1,554,492 1,747,586
Cash and cash equivalents, ending $ 1,000,329 $ 113,268 S 321,823 $ 1,435,420 S 1,554,492
GENERAL FIXED ASSETS ACCOUNT GROUP
To account for fixed assets not accounted for in proprietary fund operations.
VILLAGE OF KEY BISCAYNE, FLORIDA
SCHEDULE OF GENERAL FIXED ASSETS BY SOURCE
SEPTEMBER 30, 2000
(WITH COMPARATIVE TOTALS FOR SEPTEMBER 30, 1999)
2000 1999
General fixed assets:
Land $ 16,571,873 $ 13,240,657
Buildings 730,717 730,717
Improvements other than buildings 3,949,753 2,957,733
Equipment 2,970,492 2,702,361
Furniture and fixtures 134,219 128,272
Construction in progress 794,015 189,545
Total general fixed assets $ 25,151,069 $ 19,949,285
Investment in general fixed assets by source:
General fund $ 13,733,888 $ 13,459,810
Capital project funds 7,417,181 2,489,475
Donations 4,000,000 4,000,000
Total investment in general fixed assets $ 25,151,069 $ 19,949,285
z~
VILLAGE OF KEY BISCAYNE, FLORIDA
SCHEDULE OF GENERAL FIXED ASSETS BY FUNCTION AND ACTIVITY
SEPTEMBER 30, 2000
Land Building
Improvements
Other Than
Buildingg Equipment
Furniture
and
Fixtures
Construction
in
Progress Total
General government $ 4,000,000 S -S 2,661,153 S 316,006 S 76,365 S 794,015 S 7,847,539
Parks and recreation 9,240,657 143,641 1,267,427 154,842 8,207 10,814,774
Public safety 3,331,216 587,076 21,173 2,499,644 49,647 6,488,756
S 16,571,873 S 730,717 S 3,949,753 S 2,970,492 S 134,219 S 794,015 S 25,151,069
VILLAGE OF KEY BISCAYNE, FLORIDA
SCHEDULE OF CHANGES IN GENERAL FIXED ASSETS BY FUNCTION AND ACTIVITY
FISCAL YEAR ENDED SEPTEMBER 30, 2000
Balance
September 30,
1999
Balance
September 30,
Additions Deletions 2000
General government $ 6,547,756 $ 1,299,783 $ - $ 7,847,539
Parks and recreation 10,472,302 342,472 - 10,814,774
Public safety 2,929,227 3,559,529 - 6,488,756
$ 19,949,285 $ 5,201,784 $ - $ 25,151,069
GENERAL LONG-TERM DEBT ACCOUNT GROUP
To account for the Village's unmatured principal and long-term portion of compensated absences.
VILLAGE OF KEY BISCAYNE, FLORIDA
SCHEDULE OF GENERAL LONG-TERM DEBT
SEPTEMBER 30, 2000
(WITH COMPARATIVE TOTALS FOR SEPTEMBER 30, 1999)
2000 1999
Amount to be provided for retirement of general long-term debt $ 15,387,589 $ 16,138,654
General long-term debt payable:
Rebatable arbitrage $ 97,165 $ -
Compensated absences payable 1,135,424 1,048,654
Revenue bonds payable 14,155,000 15,090,000
Total general long-term debt payable $ 15,387,589 $ 16,138,654
STATISTICAL SECTION
VILLAGE OF KEY BISCAYNE, FLORIDA
GENERAL GOVERNMENTAL EXPENDITURES BY FUNCTION
Fiscal
Year
General
Government
Public
Safe
Parks and
Recreation
Public
Works Total
1992 $ 1,468,000 $ 13,511 $ 11,779 $ 86,580 $ 1,579,870
1993 2,848,857 2,790,379 240,794 185,257 6,065,287
1994 4,126,094 (2)4,453,539 9,601,922 782,001 18,963,556
1995 5,524,305 121 4,294,606 211,159 573,844 10,603,914
1996 3,124,384 121 4,634,385 234,154 753,823 8,746,746
1997 3,577,170 121 5,017,882 239,029 660,780 9,494,861
1998 3,671,970 121 5,278,315 255,704 828,287 10,034,276
1999 4,173,995 121 5,644,903 293,664 730,521 10,843,083
2000 4,795,894 "'6,068,147 380,502 830,360 12,074,903
(1) Includes acquisition of land for $9,238,317 for the Village Green.
(2) General government includes economic development, building, zoning and planning, debt service,
capital outlay and non-departmental expenditures.
Notes: The Village's first year of operation was fiscal year 1992.
Includes general fund only (GAAP basis).
VILLAGE OF KEY BISCAYNE, FLORIDA
GENERAL GOVERNMENTAL REVENUES BY SOURCE
Licenses
Fiscal Property and Inter- Utility Franchise
Year Taxes Permits Governmental Taxes Em Other Interest Total
1992 S -
1993 3,536,480
1994 6,640,045
1995 6,820,807
1996 6,486,019
1997 6,495,465
1998 6,963,900
1999 7,012,714
2000 7,799,633
S 15,766 S 934,018 S 979,236 S 151,392 S 23,276 S 4,480 S 2,108,168
1,458,733 2,485,979 1,212,084 625,815 169,429 121,676 9,610,196
629,246 997,501 1,268,428 668,020 115,664 288,978 10,607,882
351,152 788,062 1,257,179 652,844 665,086 369,540 10,904,670
430,208 791,403 1,294,486 638,096 1,495,521 280,570 11,416,303
531,401 766,638 1,555,812 667,815 463,171 248,646 10,728,948
1,003,768 843,812 1,514,697 709,067 392,975 233,654 11,661,873
668,672 807,924 1,621,473 740,031 1,295,001 231,820 12,377,635
1,316,641 889,704 1,723,902 729,998 348,552 315,959 13,124,389
(1) Includes charges for services, grants and other.
Notes: The Village's first year of operation was fiscal year 1992.
Includes general fund only (GAAP basis).
VILLAGE OF KEY BISCAYNE, FLORIDA
UTILITY TAX REVENUE BY SOURCE
Fiscal Telecom- Fuel
Year Electricity munications as Oil Water Total
1992 $ 676,919 $ 157,887 $ 35,552 $ 3,548 $ 105,830 $ 979,736
1993 857,002 199,308 24,184 4,708 126,882 1,212,084
1994 888,752 202,702 26,925 4,331 145,719 1,268,429
1995 875,704 186,780 38,130 3,920 152,645 1,257,179
1996 888,651 199,746 37,034 3,885 165,169 1,294,485
1997 1,032,445 274,768 42,066 3,616 202,918 1,555,813
1998 989,535 288,581 36,427 3,883 196,271 1,514,697
1999 992,319 380,934 35,121 4,262 208,837 1,621,473
2000 1,000,553 454,101 52,016 2,169 215,063 1,723,902
FRANCHISE FEE REVENUE BY SOURCE
Fiscal Cable
Year Electricity Television Telephone Total
1992 $ 112,658 $ 38,734 $ -$ 151,392
1993 570,605 39,821 15,389 625,815
1994 603,638 43,877 20,505 668,020
1995 589,031 43,899 19,914 652,844
1996 571,093 46,824 20,179 638,096
1997 578,195 62,342 27,277 667,814
1998 631,323 53,728 24,016 709,067
1999 653,799 56,997 29,235 740,031
2000 646,000 59,548 24,450 729,998
VILLAGE OF KEY BISCAYNE, FLORIDA
PROPERTY TAX LEVIES AND COLLECTIONS
Tax
Year"'
Fiscal
Year
Assessed
Value
Tax
Leyy
Total
Collected 2)
Percent
Collected
1992 1993 $ 1,617,141,088 $ 3,687,082 $ 3,536,480 95.9%
1993 1994 1,560,057,130 6,925,094 6,640,045 95.9
1994 1995 1,741,921,584 7,143,620 6,820,807 95.5
1995 1996 1,767,457,005 6,716,337 6,418,864 95.6
1996 1997 1,861,243,132 6,711,642 6,495,465 96.8
1997 1998 2,003,049,232 7,222,995 6,948,521 96.2
1998 1999 2,028,174,208 7,313,596 7,012,714 95.9
1999 2000 2,232,457,904 8,050,243 7,799,633 96.9
(1) Assessments as of January 1 of the year listed; bills mailed in October of that year; taxes become
delinquent at the end of April of the subsequent year. Initial property tax levy by the Village
October, 1992.
(2) Collections reflect timely payment discounts of up to 4% and other adjustments.
10
VILLAGE OF KEY BISCAYNE, FLORIDA
ASSESSED AND ESTIMATED ACTUAL VALUE OF TAXABLE PROPERTY
Tax
Year
Real
Pr e
Personal
Pr e
Net
Assessed
Property
Value
1992 $ 1,601,826,518 $ 15,314,570 $ 1,617,141,088
1993 1,543,711,468 16,345,662 1,560,057,130
1994 1,715,626,471 26,295,113 1,741,921,584
1995 1,744,363,535 23,093,470 1,767,45 7,005
1996 1,837,939,078 23,304,054 1,861,243,132
1997 1,978,219,125 24,830,107 2,003,049,232
1998 2,004,007,700 24,166,508 2,028,174,208
1999 2,205,371,189 27,086,715 2,232,457,904
2000 2,470,115,075 28,934,086 2,499,049,161
Source: Miami-Dade County Property Appraiser's Office
Note: Assessed values equal the estimated actual value.
AA
VILLAGE OF KEY BISCAYNE, FLORIDA
PROPERTY TAX RATES
DIRECT AND OVERLAPPING GOVERNMENTS
Village of
Key Biscayne Miami-Dade County State School District
Fiscal
Year
Village Operating
Mil a e illa a
Debt
Service
Milaee
Total
County
iM llagg
SFWMD FIND
Millaize MillaQe
Total
State
lla a
Operating
Millaee
Debt
Service
Millaee
Total
School
lla e the Total
1992 2.280 7.305 1.139 8.444 0.547 0.052 0.599 9.023 0.505 9.528 3.445 24.296
1993 4.439 7.305 0.830 8.135 0.597 0.052 0.649 9.283 0.640 9.923 1.101(1)24.247
1994 4.101 7.253 0.817 8.070 0.497 0.049 0.546 9.503 0.842 10.345 0.443 23.505
1995 3.800 6.828 0.789 7.617 0.547 0.040 0.587 9.373 1.016 10.389 0.429 22.822
1996 3.606 6.469 0.774 7.243 0.572 0.038 0.610 9.356 1.010 10.366 0.439 22.264
1997 3.606 6.023 0.929 6.952 0.597 0.050 0.647 9.356 1.106 10.462 0.416 22.083
1998 3.606 6.023 0.837 6.860 0.597 0.047 0.644 9.182 0.978 10.160 0.434 21.704
1999 3.606 5.809 0.816 6.625 0.597 0.044 0.641 8.654 0.990 9.644 0.421 20.937
2000 3.606 5.751 0.652 6.403 0.597 0.041 0.638 8.702 0.915 9.617 0.451 20.715
(1) Village established its own fire district effective October 1, 1993
Source: Miami-Dade County Property Appraiser's Office
-41-
VILLAGE OF KEY BISCAYNE, FLORIDA
RATIO OF ANNUAL DEBT SERVICE EXPENDITURES FOR NET
BONDED DEBT TO GENERAL GOVERNMENTAL EXPENDITURES
Fiscal
Year Principal Interest (1)
Total
Debt
Service 2
Total
General
Governmental
Expenditures
Ratio of Debt
Service to
General
Governmental
Ex endituresp
1994 $ -$ 194,989 $ 194,989 $ 19,053,562 1.0%
1995 755,000 384,661 1,139,661 10,603,914 10.7
1996 785,000 351,089 1,136,089 10,610,366 10.7
1997 820,000 315,901 1,135,901 10,836,011 10.5
1998 855,000 277,825 1,132,825 10,034,276 11.3
1999 895,000 241,329 1,136,329 13,332,558 8.5
2000 935,000 595,767 1,530,767 12,028,995 12.7
(1) Excludes bond issuance and other costs
(2) Debt service on revenue bonds
Includes general fund only
VILLAGE OF KEY BISCAYNE, FLORIDA
SCHEDULE OF DIRECT AND OVERLAPPING BONDED DEBT
GENERAL OBLIGATION BONDS
(IN THOUSANDS)
SEPTEMBER 30, 2000
Jurisdiction
Taxable
Property
Value 1
Net
General
Obligation
Bonded
Debt
Outstandine (2)
Percentage
Applicable
to
Key
Biscayne
Amount
Applicable
to
Key
Biscayne
Village of Key Biscayne $ 2,499,049 $ 21,220 100.00%$ 21,220
Miami-Dade County 97,042,641 328,426 2.58%8,473
Miami-Dade County Schools 97,829,365 945,745 2.55%24,116
$ 1,295,391 $ 53,809
(1) Source: Miami-Dade County Property Appraiser's Office - Taxable Property Value reflects
January 1, 2000 amounts
(2) Source: Miami-Dade County Finance Department - Net General Obligation Bonded Debt
outstanding figures are as of September 30, 2000 .
(3) Based on the percentage of the County's and School Board's tax roll valuation comprised of real
and personal property situated in the Village of Key Biscayne.
VILLAGE OF KEY BISCAYNE, FLORIDA
RATIO OF NET BONDED DEBT
TO ASSESSED VALUE AND PER CAPITA
Fiscal Assessed
Net
Bonded
Ratio
of Net
Bonded
Debt to
Assessed
Net
Bonded
Debt
Per
Year Population Value 1 Debt 2 Value Capita
1994 8,887 S 1,560,057,130 S 9,200,000 0.59%S 1,035
1995 8,894 1,741,921,584 8,445,000 0.48 949
1996 8,886 1,767,457,005 7,660,000 0.43 862
1997 8,937(3)1,861,243,132 6,840,000 0.37 765
1998 9,471(4)2,003,049,232 5,985,000 0.30 632
1999 9,689(5)2,028,174,208 22,290,000 1.1 2,300
2000 9,689(6)2,232,457,904 21,220,000 0.95 2,190
(1) Net bonded assessed actual value of taxable property
(2) Net bonded debt represents revenue bonds
(3) As of April 1997 - University of Florida Economic and Business Research
(4) As of April 1998 - University of Florida Economic and Business Research
(5) As of July 1999 - University of Florida Economic and Business Research
(6) Same as prior year, number not available until 2000 census is released in April 2001
VILLAGE OF KEY BISCAYNE, FLORIDA
DEMOGRAPHICS STATISTICS
POPULATION
Estimates of Population by Age
Under 18 Years 18 to 64 Years 65 Years or Older
Year Number Percent Number Percent Number Percent Total
1990 1,646 19 5,684 64 1,524 14 8,854
Estimates of Population by Race
Anelo Black Hispanic Total
1990 5,028 36 3,790 8,854
INCOME*
Per Capita Income
Average
Per
nglo Black Hispanic Capita
1990 $ 44,615 $ 24,577 $ 28,341 $ 37,629
UNEMPLOYMENT RATES** (Percent)
1224 122 122 122 122$ 1222 2000
Miami-Dade County 7.9 6.8 7.8 7.1 6.7 5.9 5.6
Village of Key Biscayne 3.6 3.1 3.6 3.3 3.1 2.7 2.6
* Source: Bureau of Census, Income Division, 2000 Census Not Available Until April 2001
** Source: State Department of Labor
VILLAGE OF KEY BISCAYNE, FLORIDA
PROPERTY VALUE, CONSTRUCTION AND BANK DEPOSITS
Residential Commercial (000s Omitted)
Fiscal
Y=
Total
Permits
Issued
# of
Permits Valuation
# of
Pen-nits Valuation
Total
of
Construction
County Village
Bank Bank
Deposits (1) Deposits (2)
1992 35 25 $ 638,483 10 $ 401,058 $ 1,039,541 $ 20,282,998 $ -
1993 1,737 1,633 26,822,424 104 4,383,673 31,206,097 18,146,647 -
1994 2,205 2,081 25,410,312 124 45,567,390 70,977,702 17,524,140 -
1995 2,857 2,568 33,820,503 289 2,099,661 35,920,164 17,938,762 -
1996 3,171 3,060 65,318,655 111 1,231,097 66,549,752 14,561,654 -
1997 3,570 3,402 82,481,700 168 667,328 83,149,028 34,664,829 -
1998 3,002 2,879 129,200,900 106 3,176,031 132,376,931 36,659,805 347,178
1999 2,711 2,416 94,287,095 295 56,792,994 151,080,089 39,633,149 377,060
2000 1,793 1,641 85,244,371 152 9,359,770 94,604,141 38,539,107 364,973
(1) State of Florida, Division of Banking, as of June 30 of each respective year. Information is for
Miami-Dade County, which the Village of Key Biscayne is a part of. Information is not available
for the Village of Key Biscayne alone.
(2) Deposits within Village of Key Biscayne limits. Information for all years presented was not available.
Note: Village began operations during fiscal year 1992.
VILLAGE OF KEY BISCAYNE, FLORIDA
PRINCIPAL TAXPAYERS
SEPTEMBER 30, 2000
Taxpaye r
Taxable
Valuation
% of
Total
Assessed
Valuation
Sonesta Beach Resort, LP $ 40,447,828 1.81%
Grand Bay Tower Associates 26,192,000 1.17%
GB Hotel Partners, Ltd.23,341,830 1.05%
Key Biscayne Shopping Center 8,672,526 0.39%
Galleria of Key Biscayne 7,467,541 0.33%
Florida Power and Light Company 6,503,744 0.29%
Ocean Club, Inc.5,920,230 0.27%
BellSouth 5,917,426 0.26%
Pitu, Inc.5,798,964 0.26%
Charles G. Rebozo, Trust 5,701,062 0.25%
$ 135,963,151 6.08%
Source: Miami-Dade County Appraiser's Office
VILLAGE OF KEY BISCAYNE, F LORIDA
MISCELLANEOUS STATISTICAL DATA
SEPTEMBER 30, 2000
Date of Incorporation
Form of Government
Area
Miles of Street
Fire Protection:
1991
Council-Manager
1.2 Square Miles
20.2 Linear Miles
Number of Stations 1
Police Protection:
Number of Stations 1
Education:
Attendance Centers 2
Number of Students 1,360
Number of Teachers 92
Miami-Dade County Water & Sewer Authority
Number of Customers 1,926
Average Daily Consumption 650,000 gallons
Sewers:
Number of Customers 969
Fire Hydrants 209
Building Permits Issued 1,955
Recreation and Culture:
Number of Parks 3
Number of Libraries 1 (Operated by Miami-Dade County)
Number of Tennis Centers 1
Number of Recreational Centers 1
Employees:
Full Time 99
COMPLIANCE SECTION
RCH Rachlin Cohen & Holtz LLP
Certified Public Accountants & Consultants
Report of Independent Certified Public Accountants on Compliance and on
Internal Control over Financial Reporting Based on an Audit of Financial Statements
Performed in Accordance with Government Auditing Standards
Honorable Mayor, Village Council and Village Manager
Village of Key Biscayne, Florida
We have audited the general purpose financial statements of the Village of Key Biscayne, Florida (the
Village) as of September 30, 2000 and for the year then ended, and have issued our report dated December
8, 2000. We conducted our audit in accordance with generally accepted auditing standards and the
standards applicable to financial audits contained in Government Auditing Standards, issued by the
Comptroller General of the United States.
Compliance
As part of obtaining reasonable assurance about whether the Village's financial statements are free of
material misstatement, we performed tests of its compliance with certain provisions of laws, regulations,
contracts and grants, non-compliance with which could have a direct and material effect on the
determination of financial 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 non-compliance that are required to be reported under
Government Auditing Standards.
Internal Control over Financial Reporting
In planning and performing our audit, we considered the Village's internal control over financial
reporting in order to determine our auditing procedures for the purpose of expressing our opinion on the
financial statements and not to provide assurance on the internal control over financial reporting. Our
consideration of the internal control over financial reporting would not necessarily disclose all matters in
the internal control over financial reporting that might be material weaknesses. A material weakness is a
condition in which the design or operation of one or more of the internal control components does not
reduce to a relatively low level the risk that misstatements in amounts that would be material in relation
to the financial statements being audited may occur and not be detected within a timely period by
employees in the normal course of performing their assigned functions. We noted no matters involving
the internal control over financial reporting and its operation that we consider to be material weaknesses.
-49-
One Southeast Third Avenue, Tenth Floor, Miami, Florida 33131 • Tel 305-377-4228 • Fax 305-377 8331
Offices in Nhami • Ft Lauderdale , Boca Raton • West Palm Beach • Stuart
i w % rchcpa com
%lember of Summit International A,sociates, Inr m ith ofh,es in pnmpal cities throughout the W orld
Honorable Mayor, Village Council and Village Manager
Village of Key Biscayne, Florida
Page Two
However, we noted other matters that we have reported to management in the schedule of findings
accompanying this report.
This report is intended solely for the information and use of the Mayor, Village Council, management
and the Auditor General of the State of Florida, and is not intended to be and should not be used by
anyone other than these specified parties. However, this report is a matter of public record and its
distribution is not limited.
Miami, Florida
December 8, 2000
OUR Rachlin Cohen & Holtz LLP
Certified Public Accountants & Consultants
Management Letter in Accordance with the Rules of the
Auditor General of the State of Florida
Honorable Mayor, Village Council and Village Manager
Village of Key Biscayne, Florida
We have audited the general purpose financial statements of the Village of Key Biscayne, Florida (the
Village) as of and for the year ended September 30, 2000, and have issued our report thereon dated
December 8, 2000. We conducted our audit in accordance with generally accepted auditing standards
and the standards applicable to financial audits contained in Government Auditing Standards, issued by
the Comptroller General of the United States.
In connection with our audit of general purpose financial statements of the Village for the year ended
September 30, 2000, we report the following in accordance with Chapter 10.550 Rules of the Auditor
General, Local Government Entity Audits, which requires that this report specifically address but not be
limited to the matters outlined in Rule 10.554(1)(e):
1. No inaccuracies, shortages, defalcations, fraud and violations of laws, rules, regulations and
contractual provisions were reported in the preceding annual financial audit.
2. Recommendations made in the preceding annual financial audit have been implemented except
as reported in the schedule of findings accompanying this report.
3. The Village, during fiscal year 2000, was not in a state of financial emergency as defined by
Florida Statutes 218.503(1). The Village has no deficit fund balances.
4. Recommendations to improve the Village's present financial management and accounting
procedures are accompanying this report in the schedule of findings.
5. The Village was in compliance with Section 218.415, Florida Statutes (1999), regarding the
investment of public funds.
6. During the course of our audit, nothing came to our attention that caused us to believe that the
Village:
a. Was in violation of any laws, rules or regulations.
b. Made any illegal or improper expenditures.
-51-
One Southeast Third Avenue, Tenth Floor, Miami, Florida 33131 • Tel 305-377-4228 • Fax 303-377-8331
Offices in Miami • Ft Lauderdale • Boca Raton • west Palm Beach • Stuart
wki ~,N rchcpa corn
\1cmhui It Iumnvt International \-ouata,, Ins ~%it In oth~e~ in principal atie. throu,hout the ~+orld
Honorable Mayor, Village Council and Village Manager
Village of Key Biscayne, Florida
Page Two
c. Had improper or inadequate accounting procedures, other than those noted in the schedule of
findings accompany this report.
d. Failed to record financial transactions, which could have a material effect on the Village's
general purpose financial statements.
e. Had other inaccuracies, shortages, defalcations or instances of fraud.
7. The annual financial report for the year ended September 30, 2000 has been filed with the
Department of Banking and Finance pursuant to Section 218.32 Florida Statutes and is in
agreement with the audited financial statements of the same period.
8. The Village was incorporated by Laws of Florida 90-142.
This report is intended solely for the information and use of the Mayor, Village Council, management,
and the Auditor General of the State of Florida and is not intended to be and should not be used by
anyone other than these specified parties. However, this report is a matter of public record and its
distribution is not limited.
Miami, Florida
December 8, 2000
VILLAGE OF KEY BISCAYNE, FLORIDA
SCHEDULE OF FINDINGS
FISCAL YEAR ENDED SEPTEMBER 30, 2000
I. CURRENT YEAR COMMENTS AND RECOMMENDATIONS
Other Matters
1. Inactive Bank Accounts
At September 30, 2000, the Village maintained bank accounts that have not had any activity in the past
few years. Inactive bank accounts can increase the risk and be susceptible to misuse by someone seeking
to misappropriate cash.
Recommendation
We recommend that the Village evaluate the need for the inactive bank accounts and close any account
that the Village has no intention of utilizing.
Management's Response
During the fiscal year 1999-2000, numerous bank accounts and investments were closed and funds
consolidated into instruments paying higher rates of return. There were no inactive bank accounts at
September 30, 2000.
2. Fixed Asset /Property Records
The Village currently does not maintain detailed fixed asset / property records. The Village should
maintain detailed property records for all fixed assets, which at a minimum shall include the following:
^ Description, asset number, and location.
^ Acquisition cost and date of acquisition.
^ Assigned life and method of depreciation (will be applicable under GASB Statement No. 34).
^ Depreciation taken on an annual basis with accumulation thereof (will be applicable under
GASB Statement No. 34).
Detailed property records aid in the accounting for property additions, disposals, substantiate insurance
claims for lost or damaged items and provides controls to safeguard the assets.
Recommendation
The Village needs to create and maintain a detailed fixed asset / property records system and ensure that
the general ledger of the Village is adjusted in a timely manner to reflect the activity of the Village's
property as it relates to acquisitions and disposals during the year. Safeguarding assets is a primary
concern for the Village. Secondarily, the Village will be required to implement GASB Statement No. 34
for the fiscal year ending September 30, 2004. Therefore, some of the detail that is currently not
maintained will be required.
VILLAGE OF KEY BISCAYNE, FLORIDA
SCHEDULE OF FINDINGS
(Continued)
1. CURRENT YEAR COMMENTS AND RECOMMENDATIONS (Continued)
2. Fixed Asset/ Property Records (Continued)
Management's Response
During fiscal year 1999-2000, a detailed physical inventory of all Village fixed assets was undertaken.
This project is at present coinciding with the accreditation process of the Police Department. Expected
completion is March 15, 2001.
3. New Pronouncement
Governmental Accounting Standards Board Statement No. 34, Basic Financial Statements - and
Management's Discussion and Analysis -for State and Local Governments, establishes new financial
reporting requirements for state and local governments throughout the United States. When
implemented, it will create new information and will restructure much of the information that
governments have presented in the past. These new requirements were developed to make annual
financial reports more comprehensive and easier to understand and use. The new reporting model will
include government-wide financial statements, as well as fund financial statements, as well as
management's discussion and analysis section. Implementation will be required for the fiscal year
ending September 30, 2004. However, many of the reporting requirements need to be addressed several
years before the required implementation date.
Recommendation
We recommend that the Village review the new requirements and plan accordingly.
Management's Response
The Village is currently reviewing the requirements and initiating a plan.
4. New Florida Investment Law for Public Funds
On October 1, 2000, the new Investments of Public Funds Act goes became effective. Senate Bill 372
(the Bill) creates uniform investment policy guidelines, limitations, and conditions for the investment of
assets of local retirement plans and of other funds available to units of local government. In addition, the
Bill authorizes the Department of Revenue and the Department of Banking and Finance to withhold
certain funds from local governments, which fail to meet certain reporting requirements.
Section 218.415, Florida Statutes, relating to local government excess funds investment policies is
amended.
Recommendation:
We recommend that the Village and the administration review the new requirements for investment of
public funds.
5d
VILLAGE OF KEY BISCAYNE, FLORIDA
SCHEDULE OF FINDINGS
(Continued)
1. CURRENT YEAR COMMENTS AND RECOMMENDATIONS (Continued)
4. New Florida Investment Laiv for Public Funds (Continued)
Management's Response
The Village is currently reviewing the requirements of the new law.
II. PRIOR YEAR RECOMMENDATIONS NOT IMPLEMENTED IN CURRENT YEAR
1. Compensated Absences
The recordkeeping function for compensated absences (vacation, sick and compensatory time) is handled
by the responsible departments (general employees, police and fire). Each year that we perform our
audit procedures on compensated absences, we noted that the Village incurred recordkeeping difficulties.
This is primarily caused by the decentralized recordkeeping (i.e., each department maintains their own
records and their own format). Additionally, due to the size of the Village, formal approval of leave
requests was not always evident. There is a significant liability recorded by the Village for compensated
absences, which will continue to increase over the years, therefore, accurate records and procedures are
essential to monitor these activities.
Recommendation
We recommend that the recordkeeping function for compensated absences for all departments be
centralized. The Village's policies and procedures to accumulate earned compensated absences should
be revised so that centralized recordkeeping can properly control and account for compensated absences.
Management's Response and Current Status
As a result of all payroll functions transferred to Moyer & Associates on October 15, 2000, the process
of recordkeeping of compensated absences has been significantly changed. The individual departments
will continue to keep detailed records of time as it is used. This is due to the fact that all time used must
be approved by department heads and that certain departments have other legal requirements requiring
them to maintain such records. All information and current accruals are at present time shown on each
employee's paycheck stub with records centralized at Moyer & Associates.
2. Pension Accounting
Effective October 1, 1997, the Village established a defined benefit pension plan for eligible police
officers and firefighters. This pension plan is required to be reported by the Village as a pension trust
fund in its Comprehensive Annual Financial Report. The recording of transactions, the monthly
reconciliation of contributions and other accounting and recordkeeping functions were not maintained
during the year. To properly safeguard assets from potential loss or misuse, these procedures should be
performed in a timely manner. This matter was reported in the prior year.
VILLAGE OF KEY BISCAYNE, FLORIDA
SCHEDULE OF FINDINGS
(Continued)
II. PRIOR YEAR RECOMMENDATIONS NOT IMPLEMENTED IN CURRENT YEAR
(Continued)
2. Pension Accounting (Continued)
Recommendation
We recommend that the Pension Board monitor the financial activities of the plan and ensure that either
the Village's finance department or an outside accountant perform the accounting and recording of
transactions of the Plan in a timely manner and report the monthly or quarterly results to the Pension
Board.
Managentent's Response and Current Status
Contact has been made between the Finance Department and the Pension Board. Monthly accounting
procedures are being put into place.
Village of Key Biscayne, Florida
I
~ ~ ~ North Miami
Y~ e
':Y=y LET] Hall i4 u :
5'W
cV7
° =DADE
-COUNTY
Jf ~
'G -
n % il(
Mi- ""h-ami eacB
r ..1!II' ;~'
r
i
f1
4'fC'T ~
JI Biscayne Bay
2
Miles
4
Village Seal Description
One of the oldest and most recognizable landmarks in South Florida, the lighthouse was
first constructed in 1825. It has a colorful. well-documented history. It stands in the Bill Baggs
Cape Florida State Recreation Area. Like all lighthouses, it is a symbol of familiar homecom-
ing to sailors, fishermen, and landlubbers alike. It also represents man-made structures of
lasting quality, strength and safety in an uncertain world.
The coconut palm, threatened by disease in Florida in recent years, has been a popular
symbol of peaceful nature for many tropical areas around the world. Key Biscayne was
once a plantation for this versatile tree.
The two sea birds, against the backdrop of the moon, stand for the animals with whom
we share our environment.
The sun, sustainer of life, which figures prominently in many municipal emblems around
the state, usually depicted at high noon, has just disappeared below the horizon, creating
one of those sunsets that occur every once in a while. This kind of mood and feeling evoke
a universal human reaction - a powerful visual reminder of the potential beauty and transi-
tory nature of all things.
The moon is shown on our seal not just to be different from other communities, not only
for its magical qualities, but also because we have been told that one of the earliest local
Indian dialects contained a word-picture phrase, "Bischiyano," meaning, simply - "Favorite
Path of the Rising Moon."
Adoption of the Village Seal took place on June 8, 1993 and adoption of the description
of the Village Seal took place on August 10, 1993.