HomeMy Public PortalAboutComprehensive Annual Financial Report Fiscal Year Ended 09-30-99.tifCOMPREHENSIVE ANNUAL
FINANCIAL REPORT
FISCAL YEAR ENDED
SEPTEMBER 30, 1999
VILLAGE OF KEY BISCAYNE
FLORIDA
LIBRARY COPY
RETURN TO FINANCE DEPT
VILLAGE OF KEY BISCAYNE, FLORIDA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FISCAL YEAR ENDED SEPTEMBER 30 1999
Prepared by
THE FINANCE DEPARTMENT
VILLAGE OF KEY BISCAYNE, FLORIDA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FISCAL YEAR ENDED SEPTEMBER 30 1999
TABLE OF CONTENTS
PAGE
INTRODUCTORY SECTION
Letter of Transmittal
Village Officials
Certificate of Achievement for Excellence m Financial Reporting
Village Organization Chart
II FINANCIAL SECTION
Xllt
xlv
xv
REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS 1
GENERAL PURPOSE FINANCIAL STATEMENTS
(COMBINED STATEMENTS OVERVIEW)
Combmed Balance Sheet All Fund Types and Account Groups 3
Combined Statement of Revenues Expenditures and Changes m 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
Enterpnse Funds 6
Combined Statement of Cash Flovs Enterpnse 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 Sheds 29
Combining Statements of Revenues Expenses and Changes in Retained Earnings 30
Combining Statements of Cash Flows 31
INTRODUCTORY SECTION
VILLAGE OF KEY BISCAYNE
Vllag C l
J [Ras My
Martha Fdez Leon B ou ek, V May
Scot B ss
Al nH F n
Momm F d
G g ryC H
Rb Oldakwk,
Office of the Village Manager
Honorable Mayor Members of the Village Council
and Citizens of the Village of Key Biscayne
Via Ma
C Samu 1 Kit ng
The Comprehensive Annual Financial Report of the Village of Key Biscayne for the fiscal year ended
September 30 1999 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 matenal respects and is reported m a
manner designed to fairly present the financial position and results of operations of the various funds and
account groups of the Village MI 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 Villages organizational chart, a list of principal officials and
the 1998 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, mdividual 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 Government Auditing Standards and
Rules of the Auditor General of the State of Honda
Reverting Entity and its Services
The Village includes for financial reporting purposes in conformance with Governmental Accounting
Standards Board (GASB) Statement Number 14 all fiords 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
85 West McIntyre Street Key Biscayne Florida 33149 (305) 365 5514 Fax (305) 365-8936
MISSION ST TEMENT'TO PROVIDE A SAFE, QUAL TY COMMUNITY ENVIRONMENT FOR ALL ISLANDERS THROUGH RESPONSIBLE GO ERNMEVT
Honorable Mayor Members of the Village Council and Citizens of the
Village of Key Biscayne Florida
Page Three
project began m August 1998 and was completed by June 1999 Also important to the Village was
completion of the East Enid Dnve Improvement Program Imp ovement, mcludmg repaving dnvmg
lanes adding bnck 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 were completed in July 1999 at a cost of approximately $820 000
Additionally the project added two elevated traffic calmmg/pedestrian crossing devices increasing the
safety level for pedestrians and motonsts alike installed a new well and drainage system and provided
accent path lighting at crosswalk areas along the promenade east of Ocean Dnve
Associated with infrastructure is the Village s beautification programs which preserve and enhance Key
Biscayne s unique character and quality of life of its residents Examples of this important Village
initiative were the dedication of the Mashta Bndge and improvements to the Village entrance along
Crandon Boulevard The new Mashta Bndge is bound to become a special Village landmark and a focal
point of the community This attractive 45 foot long single space pre cast Mediterranean styled concrete
bndge offers two lanes for the traffic pavers headwells bamer wall and decorative railings and lightmg
Additionally its sidewalks and overlooks encourage pedestrians and cyclist to stop and admire the
magnificent view of the Village As an added benefit, the bndge allows for tidal flushing between
Hurricane Harbor and Smuggler s Cove resulting m a cleaner and more pleasant environment for the
area s homeowners The second beautification project involved installation of up lighting for three
medians at the Village entrance along Crandon Boulevard Completed in December 1997 at a cost of
approximately S67 000 the project adds a tasteful touch to the south side of the Village s mam artenal
road at the same time achieving the goal of traffic calming Additional beautification projects involved
landscaping improvements and uplightmg for Ocean Lane Dnve medians and extensions of holiday
lightmg to additional avenues The Miami Herald noted in a May 16 1999 news article that Crandon
Boulevard is `tastefully landscaped
Also important to the outstanding quality of hfe enjoyed by the Village s residents is the expansion of the
already impressive programs offered by the Recreation Department During fiscal year 1999 the staff
initiated its first concert senes to bang Village s residents the beauty and art of music This mitiarive
proved to be great success as it allows all participants convenient access to shows that they might not
have been otherwise able to attend Additionally the department contmued its work with vanous sport
leagues operating within the Village Examples of these activities included conducting the National
Youth Sports Coaches Association certification for the KBAC baseball program and hosting a three day
coaching clime for the Flonda Youth Soccer Association In keeping the children and teens safe while
playing sports the staff also received certification from the National Institute of Playground Safety
Inspector for developing a monthly check list/audit forms for all playgrounds to check for entrapments
pinch or crush points protrusions etc Improvements were also made m this fiscal year to the
department s facihties m Calusa Park, where electrical Imes were rewired and the recreation building
floor was retied dunng the summer of 1999
Honorable Mayor Members of the Village Council and Citizens of the
Village of Key Biscayne Florida
Page Five
The contract whose closing date is at yet undetermined stipulates that the 2 06 acre site shall be
purchased at a cost not to exceed $3 255 000
For the Future
Village of Key Biscayne residents can be assured that during fiscal year 2000 their government will
continue to provide them with more and better services For instance the Building Zoning & Planning
Department is expected to unveil its new state of the art integrated permit system The new computer
based system will allow for tracking the entire process of permitting and all its stages on lme and is
expected to lead to more streamlined and efficient process of issuing a permit The Building Zoning &
Planmng Department will also be adopting a new zoning code consistent with the Village s
Comprehensive Plan to replace that of the County One change being proposed is hmitmg the maximum
allowable floor area of the building to the lot size Additionally the Department will develop a streetscape
improvement project from the entrance of the Village at its northerly limits to just south of the
intersection of Harbor Drive and along Harbor Drive from Femwood Road to Ocean Lane Drive The
project still under public review contains new curbing Royal Palms shade trees eight foot decorative
sidewalks entrance features and bike lanes
Keeping with the improvement theme the Public Works Department will be involved in the infrastructure
improvements in fiscal year 2000 The Department s goals for the year include traffic calming devices
for West Heather Dnve landscaping of the BellSouth easement on Femwood Road planning for the
development of the Pines Canal overlook and sidewalk extension to the State Park, planning and
development of the Village Ocean Park, and installation of the sanitary sewer project
Important m maintaining and enhancing of the Villagers unique lifestyle are the activities of the
Recreation Department During fiscal year 2000 the Department will further expand its activities make
improvements to existing facilities and start expansion of new ones The Department will expand its
excellent relationship with the Key Biscayne Athletic Club by contractmg with that organization to
operate numerous activities for the Village s sports programs Various improvements will also be made to
the Calusa Park, and will include resurfacing of the tennis courts adding basketball programs and
installing a kiln for firing ceramics The Village will also start construction in fiscal year 2000 on the
Ocean Park project
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 fiscal
year 2000 the facility will provide an additional 25 hours per week of operation including Sundays
between October and May
v
Honorable Mayor Members of the Village Council and Citizens of the
Village of Key Biscayne Florida
Page Seven
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 department level Expenditures that could result in an
overexpended balance are not released until additional appropnations 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 pro\ ide reasonable assurance of proper recording of
financial transactions
Reporting Standards
The form and control of the Comprehensive Annual Financial Report and the accompanying financial
statements and statistical tables were prepared in conformance with standards set forth by
I Governmental Accounting Standards Board (GASB)
2 Financial Accounting Standards Board (FASB)
3 Auditor General of the State of Honda
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 m this fund General operating expenditures fixed charges and capital improvement costs
not accounted for through other funds are accounted for m the General Fund
_Vii_
Honorable Mayor Members of the Village Council and Citizens of the
Village of Key Biscayne Florida
Page Nine
Capital Proiects Fund
Durmg 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 senes 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 Stormy ater 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 lured to design the system Plans and specifications have been
completed and approved by all appropriate agencies
Fiduciary Fund
The Fiduciary Fund type is a Trust and Agency Fund established for the purpose of accounting for assets
held in trustee capacity or as an agent for individuals private organizations and other governments As
of September 30 1999 the following 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
Honorable Mayor Members of the Village Council and Citizens of the
Village of Key Biscayne Florida
Page Eleven
Note 3) A $10 000 000 Land Acquisition and Capital Improvement Revenue Bond Series 1999 at 5%
for 20 years to purchase land and construct a Village Civic Center building The bond was issued
through Bank of America
Cash Management
The Village has several cash management vehicles and investment accounts or money market accounts in
the SunTrust and Northern Trust Banks under agreements which provided for overnight mvestments of
both the investment accounts and the operatmg 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 1999 had a balance of $136 481 in the General
Fund and $264 659 for the Law Enforcement Trust 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 habihty 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 m Financial Reporting to the Village for its Comprehensive
Annual Financial Report for the fiscal year ended September 30 1998 The Village has received this
award each year since 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 begmnmg October 1 1998 The 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 pohcy document, as an
operations guide as a financial plan and as a communications device
The awards are valid for a period of one year only We believe our CAFR for the fiscal year ended
September 30 1999 and budget for fiscal year 2000 continue to conform to program requirements and we
have submitted them to the GFOA to determme their eligibility
xi
VILLAGE OF KEY BISCAYNE, FLORIDA
VILLAGE OFFICIALS
VILLAGE COUNCIL
Joe I Rasco, Mayor
Gregory C Han, Vice -Mayor Martha Fdez-Leon Broucek
Mortimer Fried Alan H Fein
Scott Bass Robert Oldakowski
VILLAGE MANAGER
C Samuel Kissinger
VILLAGE CLERK
Conchita H Alvarez, CMC
FINANCE DIRECTOR
Moyer & Associates
VILLAGE ATTORNEY
Weiss, Serota, Hellman, Pastoriza & Guedes, P A
VILLAGE AUDITORS
Rachhn Cohen & Holtz LLP
Certified Public Accountants & Consultants
X111
Organizational Chart
Department of
building,
Zoning and
Planning (11)
Special Master
(2)
Departmentof
'.:.Emergency
Services (71.5)
Fire Rescue
Village l
Assistant t.
the Manager:;
(1)
Department*f_:
cRecreation f3)
Special Events
Sports and
Athletics
Programs
and Tours
Local Planning
Agency
Department .f
Public
Works (2)
Village Engineer.
Contract
Supervisor
Strmwater
Management
Refuse
Collection
and Recycling
Maintenance
Police/Flre
Retirement
Board (5)
bepartment .f
Finance and t
Administrative
Services (2)
Finance/
Accounting !!
Personnel/
benefits
Risk
Management''-
FINANCIAL SECTION
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 Flonda
We have audited the accompanymg general purpose financial statements of the Village of Key Biscayne
Flonda (the Village) as of and for the year ended September 30 1999 as hsted m the table of contents
These general purpose financial statements are the responsibility of the Village s management Our
responsibility is to express an opmon on these general purpose financial statements based on our audit
We conducted our audit m accordance with generally accepted auditing standards and the standards
applicable to financial audits contained m 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 mcludes examining on a test basis evidence supporting the amounts and
disclosures m the financial statements An audit also includes assessmg the accounting principles used and
significant estimates made by management as well as evaluatmg the overall financial statement
presentation We beheve that our audit provides a reasonable basis for our opinion
In our opinion, the general purpose financial statements referred to above present fairly m all material
respects the financial position of the Village as of September 30 1999 and the results of its operations
and the cash flows of its propnetary fund type for the year then ended m conformity with generally
accepted accounting principles
In accordance with Government Auditing Standards we have also issued a report dated February 1 2000
on our consideration of the Village s mtemal control over financial reporting and our tests of its comphance
with certain provisions of laws regulations grants and contracts
Our audit was conducted for the purpose of forming an opinion on the general purpose financial statements
taken as a whole The accompanying combining mdividual fund and account group statements and
schedules as fisted m the table of contents and the required supplementary mformation 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 apphed m the audit of the
general purpose financial statements and, m our opinion, is fairly presented m all matenal respects in
relation to the general purpose financial statements taken as a whole
1
One Southeast Third AN, enue Tenth Floor Miami Flonda 33131 Tel 305 377 4228 Fax 305 377 8331
Offices in Miami Ft Lauderdale Boca Raton West Palm Beach Stuart
wwwrchcpa con
Membe ESumwtintemae al Assoc tes Inc th ffi esmpnn planes through tth odd
Memb (Ain Am can Inshtut fC chfi d P bl A untants and m mbe f th Ronda Institut fC nit d Pubh A unbNs
Honorable Mayor Village Council and Village Manager
Village of Key Biscayne Honda
Page Two
The information shown m the statistical section listed m 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 opuuon thereon
/ c eb-4 4 . 2% Led
Miami Flonda
February 1 2000
-2
GENERAL PURPOSE
FINANCIAL STATEMENTS
(Combined Statements - Overview)
VILLAGE or ICE? BISCAYNE FLORI DA
COMBINED BALANCE SHEET
ALL FUND TYPES AND ACCOUNT GROUPS
SEPTEMBER 30 1999
(WITH COMPARATIVE TOTALS FOR SEPTEMBER 30 1998)
Governmental Proprietary Fiducia ry Account
Fund Types Fund Types Fund Type Gr oups
Trust General General Totals
Capital and Fi xed Long Term (Memorandum Only)
General Protects Enterprise Agency Assets Debt 1999 1998
ASSETS AND OTHER DEBITS
Cash and cash equivalents
Investments
D ue from other governments
Due from other Rinds
Pro perty taxes receivable
Accounts receiv able net
Interest receivable
Prepaid loan fees and capitalized interest
Fixed assets
Amount to be provided for retiremen t of general lo ng term debt
Total assets and other debits
$ 1 836 469 $ 2 361 021 $ 1 554 492 $ 29 549 $
2 105 664 11 100 771 893 194
198 216 120 576
55 299
359 322 88 000 112 650
$ 5 781 531 $ 4 628 000
14 099 629 4 861 793
27 220
318 792 670 744
55 299 24 806
559 972 874 514
43 962 43 962 48 375
9 870 451 19 949 285 29 819 736 27 216 994
16 138 654 16,138,654 6,890,375
$ 4,554,970 $ 13 670,368 $ 11 581 555 $ 922 743 $ 19 949,285 $ 16 138 654 $ 66,817,575 $ 45 242 821
LIABILITIES, EQU ITY AND OTHER CREDITS
Liabilities
Acco unts payable and accrued liabilities $ 308 138 $ 190 255 $ 82 180 $ $ $ $ 580 573 $ 519 010
Retamage payable 33 543 11 750 45 293 88 783
Deposits and performance bonds 5 915 5 915 11 027
Due to other funds 120 576 198 216 318 792 670 744
Revolving loan 723 762 723 762 723 762
Bond anticipation no tes 7 200 000
Compensated absences payable 1 048 654 1 048 654 905 375
Revenue bonds payable 7 200 000 15 090,000 22,290,000 5,985 000
To tal liabilities 434 629 422,014 8,017,692 16 138 654 25,012 989 16,103,701
Equity and other credits
Investment in general fixed assets 19 949 285 19 949 285 17 356 576
Contributed capital 2 682 901 2 682 901 2 682 901
Retained earnings 880 962 880 962 937 759
Fund balance
Reserv ed 3 720 236 13 248 354 922 743 17 891 333 7 735 884
Unreserved
Designated 400,105 400 105 426 000
Total equity and other credits 4,120,341 13 248,354 3,563 863 922 743 19 949,285 41,804,586 29 139,120
Total habdrhes equity and other credits 5 4 554,970 5 13 670,368 $ 11 581,555 $ 922 743 $ 19 949 285 $ 16 138 654 $ 66 817 575 $ 45 242,821
See notes to general purpose financial statements
3
VILLAGE OF KEY BISCAYNE FLORIDA
STATEMENT OF REVENUES AND EXPENDITURES
BUDGET AND ACTUAL GENERAL FUND
FISCAL YEAR ENDED SEPTEMBER 30 1999
Budgetary Vanance
Basis Favorable
Budget Actual (Unfavorable)
Revenues
Property taxes $ 6 947 916 $ 7 012 714 $ 64 798
Utility taxes 1 507 000 1 621 473 114 473
Franchise fees 692 500 740 031 47 531
Intergovernmental 789 375 807 924 18 549
Licenses and permits 687 925 668 672 (19 23)
Charges for services 102 600 457 828 355 228
Other 22 057 22 057
Interest 250 000 231 820 (18 180)
Grants 148 000 815 116 667 116
Total revenues 11 125 316 12 377 635 1252 319
Expenditures
Current
General government 862 682 844 149 18 533
Public works 561 084 425 464 135 620
Building zoning and planning 1 102 062 1 082 177 19 885
Parks and recreation 311 599 301 942 9 657
Public safety 5 874 942 5 811 878 63 064
Non -departmental 800 082 700 146 99 936
Debt Service
Principal 895 000 895 000
Interest 241435 241327 108
Total expenditures 10 648 886 10 302 083 346 803
Excess of revenues over expenditures
Other financing sources (uses)
Appropnation of prior years fund balance
expenditures of prior year reserves
Operatmg transfers out
Total other financing sources (uses)
Excess of revenues and other financing sources
over expenditures and other financing uses
476 430 2 075 552 1 599 122
541 000 (541 000)
(1 017 430) (1 017 430)
(476 430) (1 558 430) (1 082 000)
$ $ 517122 $ 517122
See notes to general purpose financial statements
5
VILLAGE OF KEY BISCAYNE FLORIDA
COMBINED STATEMENT OF CASH FLOWS
ENTERPRISE FUNDS
FISCAL YEAR ENDED SEPTEMBER 30 1999
(WITH COMPARATIVE TOTALS FOR FISCAL YEAR ENDED SEPTEMBER 30 1998)
Cash flows from operating activities
Operatmg income
Adjustments to reconcile operating income to net
cash provided by operating activities
Depreciation
Provision for uncollectible accounts
Changes in operating assets and liabilities
(Increase) decrease in
Accounts receivable
Interest receivable
Due from other governments
Increase (decrease) in
Accounts payable
Retamage payable
Due to other funds
Total adjustments
Net cash provided by operating activities
Cash flows from non capital financmg activities
Transfers out
Net cash used by non capital financing activities
Cash flows from capital and related financing activities
Payments for construction in progress
Proceeds from revenue bonds
Retirement of bond anticipation notes
Net proceeds from revolving loan
Interest paid
Net cash used by capital and related financmg activities
Cash flows from investing activities
Interest received
Net cash provided by investing activities
Net decrease m cash and cash equivalents
Cash and cash equivalents beginning
Cash and cash equivalents ending
See notes to general purpose financial statements
7
1999
1998
$ 181542 $ 153,391
269 729 269 729
15 000
517 902
8 562
(182 491)
(470 237)
(523 407)
8 442
(8 562)
91 639
(110 063)
470 237
143 465 213 015
325 007 366 406
(455 000)
(455 000)
(279 762) (567 044)
7,200 000
(7,200 000)
679 800
(301,499) (318 240)
(581 261) (205 484)
63 160 85 138
63 160 85 138
(193 094) (208,940)
1 747 586 1 956 526
$ 1,554 492 $ 1 747 586
NOTES TO GENERAL PURPOSE
FINANCIAL STATEMENTS
VILLAGE OF KEY BISCAYNE, FLORIDA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
SEPTEMBER 30 1999
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
mterpretmg 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 m 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
cntena, 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 arcountin • 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 amount for certain assets and liabilities
of the governmental funds not recorded directly m those funds
-9-
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 propnetary operations The proprietary fund includes
the following fund type
The enterprise funds are used to account for those operations that are fmanced and
operated in a manner similar to pnvate 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
Fiduciar) 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
Tist 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 pnvate 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 propnetary 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 operatmg 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 routme nature
11
VILLAGE OF KEY BISCAYNE FLORIDA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
(Continued)
NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Contmued)
5 Fixed Assets
Fixed assets used m governmental fund type operations are accounted for m 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 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 mclude streets alleys
sidewalks dramage and lighting systems which are unmovable 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 fmanced 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 is legally segregated for a specific future use The description of each
reserve indicates the purpose for which each was mtended
Designated fund balances mdicate 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
13
VILLAGE OF KEY BISCAYNE, FLORIDA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
(Continued)
NOTE 2 DEPOSITS AND INVESTMENTS (Continued)
At September 30 1999 the Villages investments balances at fair value were as follows
Category 1
Repurchase agreements $2 526 656
Bonds 266 285
Common stock 626,909
$3.419,850
Investments not subject to categorization
Mutual funds
State Board of Administration investment pool
$4 005 975
2.351.770
$9.777.595
A reconciliation of cash and investments as shown on the combined balance sheet is a follows
Carrying amount of deposits
Carrying amount of investments
Cash and cash equivalents
Investments
NOTE 3 PROPERTY TAXES
$10 103,565
9.777,595
$19.881.160
$ 5 781 531
14,099,629
$19 881 160
Property values are assessed on a county wide basis by the Mann -Dade County Property
Appraiser as of January 1 the hen 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 nullage rate upon the taxable value which will provide revenue required for the fiscal
year beginning October 1
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 penod November
through February and are due no later than March 31 On April 1 unpaid amounts become
delinquent with mterest 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 1999 there were no
significant delinquent taxes
15-
VILLAGE OF KEY BISCAYNE, FLORIDA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
(Continued)
NOTE 5 LONG TERM DEBT (Continued)
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 $935 000 in fiscal 2000 to $1 105 000 in fiscal 2004 Interest
accrues at 4 36% per annum
Debt service requirements to maturity is as follows
Principal Interest Total
Fiscal year ending September 30
2000
2001
2002
2003
2004
$ 935 000 $201 541 $1 136 541
975 000 159 903 1 134 903
1 015 000 116 521 1 131 521
1 060 000 71 286 1 131 286
1,105,000 24 089 1.129,089
$5.090.000 $573.340 $5.663.340
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 million, the proceeds of which were used for the
acquisition of property and financmg 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 rangmg from $355 000 in
fiscal 2000 to $815 000 in fiscal 2020 Interest accrues at 4 715% per annum
Debt service requirements to maturity is as follows
Fiscal year ending September 30
2000
2001
2002
2003
2004
2005 2020
Principal Interest Total
355 000
375 000
9,270,000
$10.000.000
$ 394 226 $ 394 226
471500 471500
471500 471500
463 131 818 131
445 921 820 921
3,951,562 13.221,562
$6,197.840 $16.197 840
17
VILLAGE OF KEY BISCAYNE, FLORIDA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
(Continued)
NOTE 6 COMMITMENTS AND CONTINGENCIES (Continued)
Litigation
The Village is mvolved m several lawsuits incidental to its operations the outcome of which
m the opimon 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 nsks 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 m msurance coverage from coverages m the
pnor year and there were no settlements that exceeded insurance coverage for each of the past
three years
Grant Contingency
Federal and State programs m which the Village participates were audited m accordance with
the provision of regulatory requirements and grantor agencies Pursuant to those provisions
certam programs were tested for compliance with applicable grant requirements Wlule no
matters of noncompliance were disclosed by the audit, government agencies may subject
grant programs to additional compliance tests that may result m disallowed costs In the
opinion of management future disallowances of grant expenditures if any would not have a
matenal adverse effect on the financial condition of the Village
NOTE 7 RESERVED !DESIGNATED FUND BALANCES
I
As of September 30 1999 find balances m the general fund and capital projects fund have been
reserved or designated for the following purposes
Reserved Fund Balances
General fund
Supplemental fire aid
Beach improvements
Special disaster relief
Recreation facilities
Law enforcement seizures
Community center
Beach park and walk
Compensated absences
Subsequent year s budget
Emergencies
$ 125 000
24 600
100 000
99 860
262 352
30100
572 738
565 586
440 000
1.500000
$3 720.236
19
VILLAGE OF KEY BISCAYNE, FLORIDA
NOTES TO GENERAL PURPOSE FINANCIAL STATEMENTS
(Continued)
NOTE 9 DEFINED BENEFIT PENSION PLAN (Continued)
Plan Description (Continued)
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 1998 (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
Current employees
Vested 35
Non vested 19
Total 54
Funding Policy
From the effective date of the Plan October I 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 Honda pursuant to
Chapters 175 and 185 of the Honda Statutes The minimum member contribution rate is 8%
The Plan is designed to limit the Village s exposure to contribute to the Plan The aggregate
actuarial cost method does not identify and separately amortize unfunded actuarial liabilities
Annual Pension Cost and Net Pension Asset
As of October 1 1997 (date of transition and effective date of Plan) there was no net pension
obligation The annual pension cost and net pension asset for the current year was as follows
Annual required contribution
Interest on net pension asset
Adjustment to annual required contribution
Annual pension cost
Contributions made
Increase m net pension asset
Net pension asset, beginning of year
Net pension asset end of year
$ 1 497
1 497
60 949
59 452
32.526
$91 978
21
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 $ $ 32 525 100%+
1999 1 497 60 949 100%+
The information presented m the required supplemental schedules was determined as part of the actuarial
valuation at the date mdicated Additional information as of the latest actuarial valuation follows
Valuation date 10/1/98
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 mvestment
related expenses
Projected salary increases* 6%
Cost of living adjustments N/A
*Includes inflation at 4%
23
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
m another fund.
VILLAGE OF KEY BISCAYNE FLORIDA
GENERAL FOND
COMPARATIVE BALANCE SHEETS
SEPTEMBER 30 1999
(WITH COMPARATIVE TOTALS FOR SEPTEMBER 30 1998)
1999 1998
ASSETS
Cash and cash equivalents $ 1 836 469 $ 2 589 105
Investments 2 105 664 1 037 533
Due from other governments 27 220
Due from other fiords 198 216 25 085
Property taxes receivable 55 299 24 806
Accounts receivable 359 322 243 962
Total assets $ 4 554 970 $ 3 947 711
LIABILITIES AND FUND BALANCES
Liabilities
Accounts payable and accrued liabilities $ 308 138 $ 157 465
Deposits and performance bonds 5 915 11 027
Due to other funds 120 576 176 000
Total liabilities 434 629 344 492
Fund balances
Reserved for
Supplemental fire aid 125 000 125 000
Beach improvements 24 600 24 600
Special relief disaster 100 000
Recreation facilities 99 860 243 500
Law enforcement seizures 262,352
Community center 30 100 30 100
Beach park and walk 572,738 259 700
Compensated absences 565 586 670 000
Subsequent year s budget 440 000 541 000
Emergencies 1 500 000 1 283 319
3 720 236 3 177 219
Unreserved
Designated for
Police/fire equipment and building 40 000 40 000
Community grants maintenance and improvements 51 000 51 000
Professional fees 34 105 60 000
Inspector fees 275 000 275 000
400 105 426 000
Total fund balances
Total liabilities and fund balances
4 120,341 3 603 219
$ 4,554,970 $ 3 947 711
24
VILLAGE OF KEY BISCAYNE FLORIDA
GENERAL FUND
SCHEDULE OF REVENUES AND EXPENDITURES BUDGET AND ACTUAL
(Continued)
FISCAL YEAR ENDED SEPTEMBER 30 1999
Budgetary Variance
Basis Favorable
Budget Actual (Unfavorable)
Expenditures
General government
Elected officials $ 25 000 $ 27 914 $ (2 914)
Administration 624 682 595 207 29 475
Village attorney 213 000 221 028 (8 028)
Total general government 862 682 844 149 18 533
Public works 561 084 425 464 135 620
Buildin • planning and zoning 1 102 062 1 082 177 19 885
Parks and recreation 311 599 301 942 9 657
Public safety 5 874 942 5 811 878 63 064
Non -departmental 800 082 700 146 99 936
Debt service
Principal 895 000 895 000
Interest 241435 241327
1 136 435 1 136 327
Total expenditures
Other financing uses
Expenditures of prior year reserves
Transfers out
108
108
10 648 886 10 302 083 346 803
541 000 (541 000)
1 017 430 1 017 430
1 017 430
1 558 430 (541 000)
Total expenditures and other financing uses $ 11 666 316 $ 11 860 513 $ (194 197)
-26
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
The capital improvement fund accounts for the acquisition or construction of various major
capital projects
Civic Center
The Civic Center fund was estabhshed 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 1999
(WITH COMPARATIVE TOTALS FOR FISCAL YEAR ENDED SEPTEMBER 30 1998)
Capital Civic Totals
Improvement Center 1999 1998
ASSETS
Cash and cash equivalents $ 337 743 $ 2 023 278 $ 2 361 021 $ 275 017
Investments 3 074 043 8 026 728 11 100 771 3 414 075
Due from other funds 120 576 120 576 637 097
Accounts receivable 88 000 88 000
Prepaid loan fees and capitalized mterest 4 413
Total assets $ 3 499 786 $ 10 170 582 $ 13 670 368 $ 4 330 602
LIABILITIES AND FUND EQUITY
Liabilities
Accounts payable and accrued habihties $ 190 255 $ $ 190 255 $ 94 624
Retamage payable 33,543 33 543 77 033
Due to other funds 35 970 162 246 198 216 24 507
Total habihtres 259 768 162,246 422 014 196 164
Fund balance
Reserved for capital improvements 3 240 018 10 008 336 13,248,354 4 134 438
Total habilities and fund equity $ 3 499 786 $ 10 170 582 $ 13 670 368 $ 4 330 602
27
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 mtent is that the costs of providing goods or
services be financed or recovered primarily though user charges
Stormwater Utility System
The stormwater utility system accounts for the construction and maintenance of the
stormwater system.
Solid Waste
The solid waste thud provides collection service for trash removal Solid waste expenses
are pnmanly for curbside collections
Sanitary Sewer Construction
The sanitary sewer construction fund accounts for the development and construction of a
sanitary sewer system to the unsewered areas of the community
4W
VILLAGE OF KEY BISCAYNE FLORIDA
ENTERPRISE FUNDS
COMBINING BALANCE SHEETS
SEPTEMBER 30 1999
(WITH COMPARATIVE TOTALS FOR SEPTEMBER 30 1998)
ASSETS
Current assets
Cash and cash equivalents
Due from other funds
Accounts receivable net
Total current assets
Prepaid loan fees and capitalized interest
Fixed assets net
Total assets
LIABILITIES AND FUND EQUITY
Current liabilities
Accounts payable and accrued liabilities
Retainage pa) able
Due to other funds
Bond anticipation notes
Current portion of revenue bonds payable
Total current liabilities
Long term debt
Revolving loan
Revenue bonds payable
Total liabilities
Fund equity
Contributed capital
Retained earnings
Total fund equity
Stormy. ater
Utility
S stem
Solid
Waste
Sanitary
Sewer Totals
Construction 1999 1998
$ 1 128 806 $ 96 542 $ 329 144 $ 1 554 492 $ 1 747 586
8 562
94 516 18 134 112 650 630 552
1 223 322 114 676 329 144 1 667 142 2 386 700
9 517,202
43 962 43 962 43 962
353 249 9 870 451 9 860 418
$ 10 740 524 $ 114 676 $ 726 355 $ 11 581 555 $ 12 291 080
$ 82 180 $
11 750
135 000
228 930
7 065 000
7,293 930
2 682 901
763 693 114 676
3 446,594 114 676
$ 82 180 $ 264 671
11 750 11 7)0
470 237
7 200 000
135 000
228 930 7 946 6)8
723 762 723 762 723 762
7 065 000
723 762 8 017 692 8 670 420
2 682 901 2 682 901
2 593 880 962 937 759
2 593 3 563 863 3 620 660
Total liabilities and fund equity $ 10 740 524 $ 114 676 $ 726 355 $ 11 581 555 $ 12 291 080
29
VILLAGE OF KEY BISCAYNE, FLORIDA
ENTERPRISE FUNDS
COMBINING STATEMENTS OF CASH FLAWS
FISCAL YEAR ENDED SEPTEMBER 30 1999
(WITH COMPARATIVE TOTALS FOR FISCAL YEAR ENDED SEPTEMBER 30 1998)
Stormwatcr Sanitary
Utility Solid Sewer Totals
System Waste Construction 1999 1998
Cash flows from operatmg activities.
Operating income (loss) $ 168 084 $ 23,318 $ (9 860) $ 181 542 $ 153 391
Adjustments to reconcile operatmg income (loss) to
net cash provided by (used m) operating activities
Depreciation 269 729 269 729 269 729
Provision for uncollectible accounts 15 000
Change in operating assets and liabilities
(Increase) decrease in.
Accounts receivable 23 996 71,506 422 400 517 902 (523 407)
Interest receivable 8 442
Due from other governments 8,562 8 562 (8,562)
Increase (decrease) in
Accounts payable (80,291) (102,200) (182491) 91639
Retamage payable (110 063)
Due to other funds (455 578) (5 000) (9 659) (470 237) 470,237
Total adjustments (233 582) 66,506 310 541 143 465 213 015
Net cash provided (used) by operatmg activities (65 498) 89 824 300 681 325 007 366 406
Cash flows from non -capital fmancmg activities
Transfers out (455 000)
Net cash used by non -capital
financing activities (455 000)
Cash flows from capital and relatmg fmancmg activities
Payments for construction in progress (188 522) (91 240) (279 762) (567 044)
Proceeds from revenue bonds 7,200 000 7,200 000
Retirement of bond anticipation notes (7,200 000) (7,200 000)
Net proceeds from revolving loan 679 800
Interest paid (301499) (301 499) (318,240)
Net cash used in capital and related
fmancmg activities (490 021) (91,240) (581,261) (205 484)
Cash flows from mvestmg activities -
Interest received 52488 1558 9114 63160 85138
Net cash provided by mvestmg activities 52 488 1,558 9 114 63 160 85 138
Net increase (decrease) m cash and cash equivalents (503 031) 91,382 218 555 (193 094) (208 940)
Cash and cash equivalents beginning 1 631 837 5 160 110 589 1 747 586 1 956 526
Cash and cash equivalents ending $ 1 128,806 $ 96,542 $ 329 144 $ 1 554 492 $ 1747,586
31
GENERAL FIXED ASSETS ACCOUNT GROUP
To account for fixed assets not accounted for in propnetary fund operations
VILLAGE OF KEY BISCAYNE FLORIDA
SCHEDULE OF GENERAL FIXED ASSETS BY SOURCE
SEPTEMBER 30 1999
(WITH COMPARATIVE TOTALS FOR SEPTEMBER 30 1998)
1999 1998
General fixed assets
Land $ 13 240 657 $ 13 240 657
Buildings 730 717 587 076
Improvements other than buildings 2 957 733 974 994
Equipment 2 702 361 2 441 544
Furniture and fixtures 128 272 112 305
Construction m progress 189 545
Total general fixed assets $ 19 949 285 $ 17 356 576
Investment in general fixed assets by source
General fund $ 13 459 810 $ 13 356 576
Capital project fiords 2 489 475
Donations 4 000 000 4 000 000
Total investment m general fixed assets $ 19 949 285 $ 17 356 576
32
VILLAGE OF KEY BISCAYNE, FLORIDA
SCHEDULE OF CHANGES IN GENERAL FIXED ASSETS BY FUNCTION AND ACTIVITY
FISCAL YEAR ENDED SFPTEMBER 30 1999
General government
Parks and recreation
Public safety
Balance
September 30
1998
$ 4 343 820
10 315 815
2 696 941
Additions
Deletions
$ 2 203 936 $
156 487
463 511
Balance
September 30
1999
$ 6 547 756
10 472 302
231 225 2 929 227
$ 17 356 576 $ 2 823 934 $ 231 225 $ 19 949 285
34
GENERAL LONG-TERM DEBT ACCOUNT GROUP
To account for the Villages unmatured principal and long term portion of compensated absences
VILLAGE OF KEY BISCAYNE FLORIDA
SCHEDULE OF GENERAL LONG TERM DEBT
SEPTEMBER 30 1999
(WITH COMPARATIVE TOTALS FOR SEPTEMBER 30 1998)
1999 1998
Amount to be provided for retirement of general long term debt $ 16 138 654 $ 6 890 375
General long term debt payable
Compensated absences payable
Revenue bonds payable
$ 1 048 654 $ 905 375
15 090 000 5 985 000
Total general long term debt payable $ 16 138 654 $ 6 890 375
35
STATISTICAL SECTION
VILLAGE OF KEY BISCAYNE FLORIDA
GENERAL GOVERNMENTAL EXPENDITURES BY FUNCTION
Fiscal General Pubhc Parks and Pubhc
Year Government Safety Recreation 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) 4 453 039 9 601 922 (1) 782 001 18 963 556
1995 5 524 305 m 4 294 606 211 159 573 844 10 603 914
1996 3 124 384 (2) 4 634 385 234 154 753 823 8 746 746
1997 3 577 170 (2) 5 017 882 239 029 660 780 9 494 861
1998 3 671 970 (2) 5 278 315 255 704 828 287 10 034 276
1999 4 173 995 (2) 5 644 903 293 664 730 521 10 843 083
(1) Includes acquisition of land for $9 238 317 for the Village Green
(2) General government mcludes economic development, budding zoning and planning debt service
capital outlay and non -departmental expenditures
Notes The Villages first year of operation was fiscal year 1992
Includes general fund only (GAAP basis)
36
VILLAGE OF KEY BISCAYNE FLORIDA
UTILITY TAX REVENUE BY SOURCE
I
Fiscal
Year Electricity
1992
1993
1994
1995
1996
1997
1998
1999
$ 676 919
857 002
888 752
875 704
888 651
1 032 445
989 535
992 319
Telecom
mumcations
$ 157 887
199 308
202 702
186 780
199 746
274 768
288 581
380 934
Gas
$ 35 552
24 184
26 925
38 130
37 034
42 066
36 427
35 121
FRANCHISE FEE REVENUE BY SOURCE
Fiscal
Year Electricity
1992
1993
1994
1995
1996
1997
1998
1999
$ 112 658
570 605
603 638
589 031
571 093
578 195
631 323
653 799
Fuel
Oil
Water Total
$ 3 548 $ 105 830 $ 979 736
4 708 126 882 1 212 084
4 331 145 719 1 268 429
3 920 152 645 1 257 179
3 885 165 169 1 294 485
3 616 202 918 1 555 813
3 883 196 271 1 514 697
4 262 208 837 1 621 473
Cable
Television Telephone Total
$ 38 734
39 821
43 877
43 899
46 824
62 342
53 728
56 997
$ $ 151392
15 389 625 815
20 505 668 020
19 914 652 844
20 179 638 096
27 277 667 814
24 016 709 067
29 235 740 031
38
VILLAGE OF KEY BISCAYNE FLORIDA
ASSESSED AND ESTIMATED ACTUAL VALUE OF TAXABLE PROPERTY
Net
Assessed
Tax Real Personal Property
Year Property 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 1 767 457 005
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 2 298 267 009 27 086 715 2 325 353 724
Source Miami Dade County Property Appraisers Office
Note Assessed values equal the estimated actual value
-40
VILLAGE OF KEY BISCAYNE FLORIDA
RATIO OF ANNUAL DEBT SERVICE EXPENDITURES FOR NET
BONDED DEBT TO GENERAL GOVERNMENTAL EXPENDITURES
Ratio of Debt
Total Service to
Total General General
Fiscal Debt Governmental Governmental
Year Principal Interest (1) Service (2) Expenditures Expenditures
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 10 843 083 10 5
(1) Excludes bond issuance and other costs
(2) Debt service on revenue bonds
Includes general fiend only
-42
VILLAGE OF KEY BISCAYNE FLORIDA
RATIO OF NET BONDED DEBT
TO ASSESSED VALUE AND PER CAPITA
Ratio
of Net Net
Bonded Bonded
Net Debt to Debt
Fiscal Assessed Bonded Assessed Per
Year Population Value (1) Debt (2) Value Capita
1994 8 887 $ 1 560 057 130 $ 9 200 000 0 59% $ 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
I999 9689 (5) 2 218 174 208 22 290 000 1 1 2 300
(1) Net bonded assessed actual value oftnrable 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
-44
VILLAGE OF KEY BISCAYNE FLORIDA
PROPERTY VALUE CONSTRUCTION AND BANK DEPOSITS
Residential Commercial
Total
Fiscal Permits # of
Year Issued Umts Valuation
1992 35 25 $ 638 483
# of
Umts Valuation
Total
of
Construction
(000s Omitted)
County
Bank
Deposits (1)
Village
Bank
Deposits (2)
10 $ 401 058 $ 1 039 541 $20 282 998 $
1993 4 383 673
1994 45 567 390
1995 2 099 661
1996 1 231 097
1997 667328
1998 3 002 2 879 129 200 900 106 3 176 031
1999 2 711 1 073 94 287 095 295 56 792 994
1737 1633
2 205 2 081
2 857 2 568
3 171 3 060
3 570 3 402
26 822 424 104
25 410 312 124
33 820 503 289
65 318 655 111
82 481 700 168
31 206 097 18 146 647
70 977 702 17 524 140
35 920 164 17 938 762
66 549 752 14 561 654
83 149 028 34 664 829
132 376 931
151 080 089
36 659 805 347 178
39 633 149 377 060
(1) State of Honda, Division of Banking as of June 30 of each respective year Information is for
Miami Dade County Much 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 hunts Information for all years presented was not available
Note Village began operations during fiscal year 1992
-46
VILLAGE OF KEY BISCAYNE FLORIDA
MISCELLANEOUS STATISTICAL DATA
SEPTEMBER 30 1999
Date of Incorporation
Form of Government
Area
Miles of Street
Fire Protection
Number of Stations
Police Protection
Number of Stations
Education
1991
Council Manager
1 2 Square Miles
20 2 Linear Miles
1
Attendance Centers 2
Number of Students 1 344
Number of Teachers 89
Miami -Dade County Water & Sewer Authority
Number of Customers
Average Daily Consumption
2 019
650 000 gallons
Sewers
Number of Customers 989
Fire Hydrants 233
Building Permits Issued 2 711
Recreation and Culture
Number of Parks 3
Number of Libraries 1 (Operated by Miami Dade County)
Number of Tenms Centers 1
Number of Recreational Centers 1
Employees
Full Time
92
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COMPLIANCE SECTION
Rachlln 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 m 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 1999 and for the year then ended and have issued our report dated February
1 2000 We conducted our audit in accordance with generally accepted auditing standards and the
standards applicable to financial audits contained m Government Auditing Standards issued by the
Comptroller General of the United States
Compharce
As part of obtaining reasonable assurance about whether the Village s financial statements are free of
material misstatement, tse 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 onuuon 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
m order to determine our auditing procedures for the purpose of expressmg 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 1/1 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 A\ enue Tenth Floor Miami Florida 331,1 Tel 305 377 4228 Fax 303 377 8331
Offices in Miami Ft Lauderdale Boca Raton West Palm Beach Stuart
www rchcpa corn
M mber S mmtIntern tonal Assoc tes Inc th ff es m pump lcites thro gh tth Id
M mb fth Amerce Institute fCerhfi dPublic Acc untants and mbe tth Fl d Inshtut fCertf nPubh A untants
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 m 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 Honda 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 pubhc record and its distribution is
not limited
gede. sit, 4Wret 1'6p
Mimi Honda
February 1 2000
50
Rachlln Cohen & Holtz LLP
Certified Public Accountants & Consultants
Management Letter m Accordance with the Rules of the
Auditor General of the State of Florida
Honorable Mayor Village Council and Village Manager
Village of Key Biscayne Flonda
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 1999 and have issued our report thereon dated
February 1 2000 We conducted our audit in accordance with generally accepted auditing standards and
the standards applicable to financial audits contamed m Government Audztng 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 1999 we report the following m accordance with Chapter 10 550 Rules of the Auditor
General, Local Government Ennty Audits which requires that this report specifically address but not be
limited to the matters outlmed m Rule 10 554(1)(e)
1 No inaccuracies irregularities shortages defalcations or violations of laws rules regulations and
contractual provisions were reported m the preceding annual financial audit
2 The Village during fiscal year 1999 was not m a state of financial emergency as defined by
Flonda Statutes 218 5030) The Village has no deficit fund balances
3 Recommendations made m the preceding annual financial audit have been implemented except as
reported m the schedule of findings accempanym • this report
4 Recommendations to improve the Village s present financial management and accounting
procedures are accompanying this report m the schedule of findings
5 During the course of our audit, nothing came to our attention that caused us to believe that the
Village
a. Was m violation of any laws rules or regulations
b Made any illegal or improper expenditures
c Had improper or madequate accounting procedures other than those noted m the schedule of
findings accompany this report
d Failed to record financial transactions which could have a matenal effect on the Village s
general purpose financial statements
e Had other inaccuracies irregularities shortages or defalcations
51
One Southeast Third A enue Tenth Floor Miami Honda 33131 Tel 305 377 4228 Fax 303 377 8331
Offices m Miami Ft Lauderdale Boca Raton West Palm Beach Stuart
wwwrchcpa com
Member fSurmmt lnt mah al Associates In wth tf esmpnnapaiclues thr tth orid
M mber fth Am ca Institut fCertified P bh A nntants dmembe fth A dalnst tut fCerbfi dPubl Accowta is
Honorable Mayor Village Council and Village Manager
Village of Key Biscayne Flonda
Page Two
6 The annual financial report for the year ended September 30 1999 has been filed with the
Department of Banking and Finance pursuant to Section 218 32 Flonda Statutes and is in
agreement with the audited financial statements of the same penod
7 The Village was mcorporated by Laws of Flonda 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 Flonda and is not mtended 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
imuted
£es44- SL_ .- ,Wrif z -c -p
Mianu Flonda
February 1 2000
52-
VILLAGE OF KEY BISCAYNE FLORIDA
SCHEDULE OF FINDINGS
FISCAL YEAR ENDED SEPTEMBER 30 1999
I CURRENT YEAR COMMENTS AND RECOMMENDATIONS
1 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 We recommend that the Village review the
new requirements and plan accordingly
II PRIOR YEAR RECOMMENDATIONS NOT IMPLEMENTED IN CURRENT YEAR
1 Compensated Absences
The recordkeepmg 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
recordkeepmg difficulties This is primarily caused by the decentralized recordkeepmg (i e each
department maintains their own records and their own format) There is a significant hability 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 recordkeepmg 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 recordkeepmg can properly control and account for
compensated absences
Management s Response and Current Status
The Village has still not centralized the recordkeeping of the compensated absences
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