HomeMy Public PortalAbout2017 PAFRCity of Jefferson
Missouri
Popular Annual Financial Report
For the fiscal year ended October 31, 2017
A Message from the Director of Finance
City of Jefferson Citfzens,
In our ongoing effort to inform the City of Jefferson citfzens about the state of
the City of Jefferson finances, we are pleased to present the 2017 Popular Annual
Financial Report (PAFR).
This report is reflectfve of our commitment to preserving the city’s long-
term financial health and is intended to summarize the financial
actfvitfes of the City’s funds that are reported in more detail in the
Comprehensive Annual Financial Report (CAFR). The PAFR contains
informatfon only from selected funds and excludes the City’s
component unit, therefore it is not presented in accordance with
Generally Accepted Accountfng Principles (GAAP). A copy of the CAFR
is available on the city’s website at www.jeffersoncitymo.gov/
government/cafr.php.
To the best of our knowledge, the informatfon presented herein is
accurate in all material respects and presents fairly the financial
positfon and results of operatfons for the fiscal year ending October 31,
2017. Responsibility for the accuracy, completeness and fairness of the
data presented rests solely with the city. A special thank you goes out
to the Finance Department staff whose hard work and diligence made
this possible. The PAFR is prepared in accordance with the Government
Finance Officers Associatfon standards.
We hope you find this report informatfve and we welcome your
comments and questfons. Citfzens may keep apprised of the state of
the city finances by reviewing the monthly financial reports posted to
the city website at
www.jeffersoncitymo.gov/government/financial_reports.php.
Respectiully Submitted,
Margie Mueller, CPA
Director of Finance and Informatfon Technology Services
Page 1 - City of Jefferson Popular Annual Financial Report 2017
Table of Contents
City History 2
Notable Achievement 2
The Governing Body 3
City Demographics 4
Economic Statfstfcs 4
By the Numbers 5-6
Financial Actfvity Statements 7-8
Where Does the Money Come From? 9
Where Does the Money Go? 10
Which Agencies Share Sales Tax Revenue? 11
Sales Tax Rate Comparison 11
Where Does Property Tax Go? 12
Authorized Full Time City Staff 12
Outstanding Debt 12
Financial Reportfng Awards 13
How to Obtain a Copy of the CAFR 14
City of Jefferson History
The City of Jefferson is the capital of Missouri and the county seat of
Cole County. Located on the banks of the Missouri River in the center
of the State, the City of Jefferson is the hub of state government which
is the City’s largest employer and its major industry.
The City was established by an act of the U.S. Congress on December
31, 1821 and was originally laid out by Daniel M. Boone, son of the
famous pioneer, and Major Elias Bancroft. It has the distfnctfon of
being located on land donated by the federal government for
establishment of the state capital city. Many of the original settlers
came from Virginia in the vicinity of Montfcello, the home of Thomas
Jefferson, and were, in fact, friends of the former President. The City
of Jefferson, named in his honor, was incorporated in 1825, four years
after its founding. The City of Jefferson operates under the Constftu-
tfon and laws of Missouri, and a City Charter adopted in 1986.
Page 2 - City of Jefferson Popular Annual Financial Report 2017
Winner of 2013 Best Small Towns—
America’s Most Beautiful Small Town
Judges’ Take:
“Jefferson City’s essay used colorful language to bring out the
beauty and charm of the town, from its proud historical connec-
tions to its lovely capitol and other elegant buildings.”
Watch our winning video at http://www.jeffersoncitymo.gov/watch_our_winning_video_here.php
Rick Prather David Kemna
J. Rick Mihalevich Laura A. Ward Ken Hussey
Ron L. Fitzwater Carlos M. Graham
Larry Henry Mark Schreiber
Carrie Tergin, Mayor
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Page 3 - City of Jefferson Popular Annual Financial Report 2017
The Governing Body
Steven S. Crowell,
City Administrator
City of Jefferson Ward Map
Erin Wiseman
City Demographics and Economic Statistics
Year Incorporated: 1825
Form of Government:
Mayor-Council-City Administrator
Location: Central Missouri
Total Land Size: 37.58 square miles in both Cole
and Callaway Countfes
Population of City of Jefferson: 43,079 (2010
Census)
City of Jefferson Top 10 Employers
Company Employees
State of Missouri 14,223
Capital Region Medical Center 1,573
Scholastfc, Inc. 1,500
Jefferson City Public Schools 1,489
SSM Health—St. Mary’s Hospital 1,154
Central Bancompany 967
ABB Power T & D Company 775
Jefferson City Medical Group 633
Wal-Mart Supercenter 622
Unilever 510
7,525 7,462
7,597 7,698
8,039 8,017
8,163 8,231 8,284
8,079 8,062
7,000
7,500
8,000
8,500
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
School Enrollment
3.9%
4.5%
6.7%6.6%6.1%
5.1%4.8%
3.9%3.4%3.2%
1.9%
1.0%1.5%2.0%2.5%3.0%3.5%4.0%4.5%5.0%5.5%6.0%6.5%7.0%
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Unemployment Rate
$56,129
Median Household Income
38.6
Median Age
Page 4 - City of Jefferson Popular Annual Financial Report 2017
BY THE NUMBERS
Page 5 - City of Jefferson Popular Annual Financial Report 2017
2017 2016
Number of Stations 5 5
Number of Fire Calls Answered 4,626 5,060
Number of Inspections Conducted 1,552 1,195
POLICE DEPARTMENT
2017 2016
Number of Patrol Units 34 34
Police Calls for Service 64,117 67,986
Crimes Reported 4,127 4,130
Arrests/Detentions 4,894 5,714
FIRE DEPARTMENT
2017 2016
Center Line Miles of Streets 253 253
Number of Snow Removal Hours 1,328 1,100
STREET DEPARTMENT
BY THE NUMBERS
Average Daily Number of Wastewater Gallons Treated
2017 — 7,157,000
2016 — 8,877,000
Business licenses issued (new & renewal)
2017 — 3,013
2016 — 2,899
Number of permits issued (building, electrical, plumbing, sign and demolition)
2017 — 894
2016 — 1,050
Page 6 - City of Jefferson Popular Annual Financial Report 2017
Number of playgrounds
2017 — 13
2016 — 13
Number of Parks
2017 — 18
2016 — 18
Financial Activity Statements for Years Ended
October 31, 2015, 2016, and 2017
Governmental Funds - Governmental actfvitfes, which normally are supported by taxes and intergovernmental revenues, are
recorded in governmental funds for the City of Jefferson. City of Jefferson major governmental funds include the General Fun d, the Parks
Fund, and Capital Improvements Sales Tax Funds. The City of Jefferson also has several non -major governmental funds including the Police
Training Fund, the Lodging Tax Fund, the JC Veterans Plaza Trust Fund, the City Hall Art Trust Fund, the USS Submarine Trust Fund, and the
Woodland Cemetery Trust Fund. The City’s basic services, including police, fire, streets, public works, and planning and pro tectfve services are
accounted for in these funds, as are administratfve services within the city such as human resources, finance, and informatfo n technologies.
Governmental Funds
Revenues 2017 2016 2015
Sales and other user taxes $23,656,655 $23,015,744 $22,628,475
Property taxes $5,419,824 $5,267,657 $5,261,508
Utility/Franchise taxes $7,060,237 $7,258,960 $7,295,904
License, permits and fees $897,213 $818,420 $760,615
Intergovernmental $5,261,966 $4,423,255 $4,608,038
Charges for services $5,006,456 $4,741,235 $4,432,834
Fines and forfeitures $821,174 $951,585 $1,023,787
Investment earnings $417,668 $406,004 $361,156
Contributions $334,912 $317,104 $176,879
Miscellaneous $367,014 $672,367 $389,478
Total Revenues $49,243,119 $47,872,331 $46,938,674
Other Financing Sources (Uses): 2017 2016 2015
Proceeds from sale of assets $139,070 $377,208 $77,729
Loan Proceeds $5,037,541 $0 $0
Transfers in $24,871 $202,647 $32,944
Transfers out $(1,391,734) $(1,688,481) $(1,548,218)
Net Change in Fund Balances $(1,064,394) $(1,111,629) $4,180,930
Fund Balances, beginning $23,624,080 $24,735,709 $20,554,779
Fund Balances, ending $22,559,686 $23,624,080 $24,735,709
Page 7 - City of Jefferson Popular Annual Financial Report 2017
There was a significant decrease in miscellaneous revenue from 2016 to 2017 related to insurance claim proceeds for the Ice Arena.
During FY16 there were two flood claims for the Ice Arena that resulted after severe weather incidents.
Additfonally there was a significant increase in capital outlay expenditures due to the purchase of Fire Apparatus and an increase in sig-
nificant capital projects, such as the Capitol Avenue project and the Stadium/Jefferson project.
Expenditures by Function 2017 2016 2015
General government $5,667,308 $5,473,387 $5,725,817
Public safety $17,230,032 $16,510,754 $16,026,365
Community development $7,654,282 $7,373,632 $6,969,904
Cultural and recreation $6,459,097 $6,037,672 $5,572,731
Capital outlay $16,906,542 $12,479,889 $7,025,382
Debt service (principal and interest) $200,000 $0 $0
Total Expenditures $54,117,261 $47,875,334 $41,320,199
Financial Activity Statements for Years Ended
October 31, 2015, 2016 and 2017
Enterprise Funds - The financial actfvitfes for the Airport, Parking, Transit and Wastewater are recorded in enterprise funds for the City
of Jefferson and are financed primarily by user fees and charges for services provided to citfzens. Currently the Parking an d Wastewater funds
are self-sufficient, while the Airport and Transit funds receive a subsidy from the City of Jefferson’s general fund.
Enterprise Funds
Revenues 2017 2016 2015
Airport revenues $172,504 $189,301 $181,726
Parking revenues $1,108,321 $1,159,282 $1,137,191
Transit revenues $228,214 $258,358 $255,445
Wastewater revenues $11,172,107 $10,856,410 $10,154,871
Total Operating Revenues $12,681,146 $12,463,351 $11,729,233
Operating Expenses 2017 2016 2015
Airport expenses $721,242 $640,626 $635,716
Parking expenses $963,549 $862,891 $850,836
Transit expenses $2,926,314 $2,862,876 $2,841,310
Wastewater expenses $9,313,568 $8,711,164 $8,282,057
Total Operating Expenses $13,924,673 $13,077,557 $12,609,919
Non-Operating Revenues (Expenses) 2017 2016 2015
Intergovernmental $1,178,539 $1,130,405 $1,147,824
Interest and investment revenue $1,186,959 $1,187,180 $1,281,939
Interest expense and fees $(1,915,809) $(1,922,326) $(2,062,291)
Debt issuance cost $0 $(173,551) $0
Gain/(Loss) on sale of capital assets $24,946 $117,746 $(99,478)
Total Non-Operating Revenues (Expenses) $474,635 $339,454 $267,994
Income (loss) before contributions and transfers $(768,892) $(274,752) $(612,692)
Capital contributions $691,871 $1,934,757 $5,902,401
Transfers in $1,366,863 $1,611,085 $1,525,275
Transfers out $0 $(130,851) $(10,000)
Change in Net Position $1,289,842 $3,140,239 $6,804,984
Net Position, beginning $73,491,236 $70,350,997 $61,801,633
Cumulative change in accounting principle $0 $0 $1,744,379
Net Position, beginning-as restated $73,491,236 $70,350,997 $63,546,012
Net Position, ending $74,781,078 $73,491,236 $70,350,996
Page 8 - City of Jefferson Popular Annual Financial Report 2017
There was an increase in wastewater revenue from 2016 to 2017 as a result of an increase in sewer charges for services to off set future bond
requirements.
Additfonally there was a significant decrease in capital contributfons in FY17. This was due to a decrease in federal grant revenue at the airport
related to runway reconstructfon.
Where does the money come from?
Governmental Funds
Revenues 2017
Sales and other user taxes $23,656,655
Property taxes $5,419,824
Utflity/Franchise taxes $7,060,237
License, permits and fees $897,213
Intergovernmental $5,261,966
Charges for services $5,006,456
Fines and forfeitures $821,174
Investment earnings $417,668
Contributfons $334,912
Miscellaneous $367,014
Total Revenues $49,243,119
Taxes generate a majority of the City’s revenue and 48.0% is
generated by taxes levied for sales and other user taxes. The
City’s sales taxes include 1% general fund sales tax, a 1/2% capital
improvement sales tax, and a 1/2% parks sales tax
Intergovernmental revenues represent 10.7% of the City’s total
revenue and includes motor vehicle sales tax and license fees, the
receipts from the State for fuel tax, as well as cigarette taxes and
grant funds.
Charges for services include fees charged by Parks and
Recreatfons as well as charges for various city services including,
but not limited to, street cuts, Cole County 911 services, and Cole
County Animal Rescue.
Fines and forfeitures include fines collected by Municipal Court.
License, permit and fees includes revenues from building,
plumbing, and electrical permits, as well as business and liquor
licenses and food inspectfon fees.
Investment earnings includes revenue earned from the
investment of idle City funds throughout the year in accordance
with the City’s investment policy.
Contributions include revenue donated from citfzens to various
City programs, as well as revenues received as part of existfng
Page 9 - City of Jefferson Popular Annual Financial Report 2017
contracts intended to assist in maintaining certain
infrastructure.
Miscellaneous revenue includes proceeds from insurance
claims.
The expenditures for governmental funds totaled
$54,117,261 for 2017. The largest category of expenditure is
for Public Safety and represents 31.84% of all governmental
actfvitfes.
Public safety includes all operatfons of the Police and Fire
departments.
Capital outlay expenses are 31.24% of the total and include
all capital purchases and capital projects of the governmental
funds.
Community development expenditures include expenditures
for Public Works and Planning and Protectfve Services,
including Streets and Central Maintenance.
General government expenditures include Administratfon,
Law, Municipal Court, Human Resources, Finance, and
Informatfon Technology.
Governmental Funds
Expenditures by Function 2017
General government $5,667,308
Public safety $17,230,032
Community development $7,654,282
Cultural and recreatfon $6,459,097
Capital outlay $16,906,542
Debt service $200,000
Total Expenditures $54,117,261
Where does the money go?
Page 10 - City of Jefferson Popular Annual Financial Report 2017
Cultural and Recreation expenditures include
Parks Administratfon and all Parks facilitfes and
programs.
Debt service includes principal and interest
payments for the City’s outstanding notes and
leases.
Which agencies share sales tax revenue?
Total sales tax collected in the City
of Jefferson is 7.725%
Breakdown of Sales Tax Rate
The City’s sales tax rate of 7.725% is comparable to
surrounding citfes and is divided among 3 different taxing
entftfes. The State of Missouri receives 4.225%, Cole County
receives 1.5%, and the City of Jefferson receives 2%.
Of the City’s 2% sales tax, 1% is for the General Fund
operatfons, 0.5% is for the Capital Improvements Sales Tax
Fund, and 0.5% is for the Parks Fund.
The total sales tax the City received in fiscal year 2017 was
$22,297,385.
Sales tax rate comparison
Municipality Sales Tax Rate
Holts Summit, MO 8.725%
Eldon, MO 8.125%
Columbia, MO 7.975%
Ashland, MO 7.975%
California, MO 7.975%
Jefferson City, MO 7.725%
Linn, MO 7.475%
Page 11 - City of Jefferson Popular Annual Financial Report 2017
Where does property tax go?
426
411 414 415
426
400
410
420
430
2013 2014 2015 2016 2017
Authorized Full Time City
Staff
Authorized full tfme equivalent employees increased by
11 in the FY 2017 budget due to the additfon of a Police
Informatfon Manager, a Police Officer, two Fire
Fighters, an Administratfve Technician, a Civil Engineer,
two Equipment Operator Specialists, an Airport
Maintenance Worker, a Utflity Maintenance Worker,
and a Parks Maintenance Crew Leader.
Outstanding Debt 2013-2017
$44,995,309
$58,430,479 $55,642,805 $62,387,824 $63,515,414
$-
$20,000,000
$40,000,000
$60,000,000
$80,000,000
2013 2014 2015 2016 2017
Outstanding Debt as of 10/31/17
The outstanding debt at the end of fiscal year 2017 totaled $63,535,414.
$58,631,974 was associated with Wastewater Sewerage System Revenue Bonds. During the 2017 fiscal year no new
Wastewater Sewerage System bonds were issued and the City retfred $3,637,800 in Wastewater Sewerage System
Revenue Bond principal payments.
$4,883,440 was associated with a note for fire apparatus. This note was issued during the 2017 fiscal year in the
amount of $5,037,541 and the City of Jefferson retfred $154,101 in note principal during the fiscal year.
Page 12 - City of Jefferson Popular Annual Financial Report 2017
A City of Jefferson home-
owner with a home that has
a $150,000 market value
paid $1,645.36 in real estate
taxes in 2017 with 11.68%
going to the City of
Jefferson.
Financial Reporting AwardsFinancial Reporting Awards
The Government Finance Officers Associatfon of the
United States and Canada (GFOA) has given an Award for
Outstanding Achievement in Popular Annual Financial
Reporting to the City of Jefferson for the fiscal year
ended October 31, 2016. This is the third year that the
city has received this award. The Award for Outstanding
Achievement in Popular Annual Financial Reporting is a
prestfgious natfonal award recognizing conformance
with the highest standards for preparatfon of state and
local government popular reports. In order to receive
the Award, a government unit must publish a Popular
Annual Financial Report, whose contents conform to
program standards of creatfvity, presentatfon,
understandability, and reader appeal. An Award is valid
for a period of one year only. We believe that our
current report contfnues to conform to the Popular
Annual Financial Reportfng requirements, and we are
submitting it to the GFOA for review.
Award for Outstanding Achievement in Popular
Annual Financial Reporting
Certificate of Achievement for Excellence in Financial Reporting
Additfonally, the GFOA awarded a Certification of Achievement for Excellence in Financial Reporting to the City of
Jefferson for it’s Comprehensive Annual Financial Report (CAFR) for the fiscal year ended October 31, 2016. This was
the 21st consecutfve year that the city has received this prestfgious natfonal award. In order to be awarded a Certffi-
cate of Achievement, the City must publish an easily readable and efficiently organized CAFR. This report must satfsfy
both generally accepted accountfng principles and applicable legal requirements. A Certfficate of Achievement is valid
for a period of one year only. We believe that the current comprehensive annual financial report contfnues to conform
to the Certfficatfon of Achievement Program’s requirements and we are submitting it to the GFOA for review.
Distinguished Budget Presentation Award
Finally, the GFOA presented a Distinguished Budget Presentation Award to the City for its Annual Budget for the fiscal
year beginning November 1, 2017. This is the fourth year that the city has received this prestfgious award. In order to
receive this award, a governmental unit must publish a budget document that meets program criteria as a policy
document, as an operatfons guide, as a financial plan, and as a communicatfon device. This award is valid for a period
of one year only. We believe our future annual budget documents will contfnue to conform to program requirements.
Page 13 - City of Jefferson Popular Annual Financial Report 2017
The informatfon in the City of Jefferson Popular Annual Financial Report is taken from the City
of Jefferson Comprehensive Annual Financial Report (CAFR).
A copy of the more detailed Comprehensive Annual Financial Report (CAFR) is available online
at www.jeffersoncitymo.gov/government/cafr.php
City of Jefferson
320 E. McCarty Street
Jefferson City, MO 65101
573-634-6320 phone
573-634-6329 fax
www.jeffersoncitymo.gov
Page 14 - City of Jefferson Popular Annual Financial Report 2017
City of Jefferson
320 E. McCarty Street
Jefferson City, MO 65101
573-634-6320 phone
573-634-6329 fax
www.jeffersoncitymo.gov
City of Jefferson, Missouri