Fiscal Year Ended June 30, 2016 COCONINO MOHAVE APACHE NAVAJO YAVAPAI LA PAZ MARICOPA COUNTY GILA GREENLEE PINAL GRAHAM YUMA PIMA COCHISE SANTA CRUZ Board of Supervisors Denny Barney District 1 Steve Chucri District 2 Bill Gates District 3 Clint L. Hickman District 4 Steve Gallardo District 5 Comprehensive Annual Financial Report Maricopa County Phoenix, Arizona For the Fiscal Year July 1, 2015 to June 30, 2016 Prepared By Department of Finance Shelby L. Scharbach, Assistant County Manager – Chief Financial Officer INTRODUCTORY SECTION Table of Contents Listing of Maricopa County Officials Organizational Chart Letter of Transmittal Citizens Audit Advisory Committee Letter Certificate of Achievement for Excellence in Financial Reporting Comprehensive Annual Financial Report Table of Contents For the Fiscal Year Ended June 30, 2016 Introductory Section Page Table of Contents Listing of Maricopa County Officials Organizational Chart Letter of Transmittal Maricopa County Citizens Audit Advisory Committee Letter Certificate of Achievement for Excellence in Financial Reporting i v vi vii xi xii Financial Section Independent Auditors’ Report 1 Management’s Discussion and Analysis 5 Basic Financial Statements Definitions of Government-wide Financial Statements and Listing of Major Funds 19 Government-wide Financial Statements Statement of Net Position Statement of Activities 21 22 Fund Financial Statements Governmental Funds Financial Statements Balance Sheet Statement of Revenues, Expenditures, and Changes in Fund Balances Reconciliation of the Governmental Funds Statement of Revenues, Expenditures, and Changes in Fund Balances to the Government-Wide Statement of Activities 24 26 28 Proprietary Funds Financial Statements Statement of Net Position Statement of Revenues, Expenses, and Changes in Fund Net Position Statement of Cash Flows 30 31 32 Fiduciary Funds Financial Statements Statement of Fiduciary Net Position Statement of Changes in Fiduciary Net Position 34 35 Basic Financial Statements – Notes 39 Required Supplementary Information Budgetary Comparison Schedules – General Fund and Major Special Revenue Fund General Fund Detention Operations Fund 93 95 Note to Budgetary Comparison Schedules 96 Schedule of the County’s Proportionate Share of Net Pension Liability 97 Schedule of Changes in the County’s Net Pension Liability and Related Ratios 98 i Table of Contents (Continued) For the Fiscal Year Ended June 30, 2016 Page 100 Schedule of County Pension Contributions Notes to Pension Plan Schedules 101 Schedule of Agent OPEB Plans’ Funding Progress 102 Modified Approach for Infrastructure Assets 103 Combining and Individual Fund Statements and Schedules Listing of Nonmajor Governmental Funds 107 Governmental Funds Combining Balance Sheet – Nonmajor Governmental Funds Combining Statement of Revenues, Expenditures, and Changes in Fund Balances – Nonmajor Governmental Funds 114 130 Schedules of Revenues, Expenditures, and Changes in Fund Balances – Budget and Actual Special Revenue Funds Adult Probation Fees Fund Adult Probation Grants Fund Air Quality Fees Fund Air Quality Grants Fund Animal Control Field Operations Fund Animal Control Grants Fund Animal Control License/Shelter Fund Ballpark Operations Fund Cactus League Operations Fund CDBG Housing Trust Fund Check Enforcement Program Fund Child Support Enhancement Fund Children’s Issues Education Fund Clerk of Court Fill the Gap Fund Clerk of the Court EDMS Fund Clerk of the Court Grants Fund Conciliation Court Fees Fund County Attorney Fill the Gap Fund County Attorney Grants Fund County Attorney RICO Fund Court Document Retrieval Fund Criminal Justice Enhancement Fund Diversion Fund Domestic Relations Mediation Education Fund Educational Supplemental Program Fund Elections Grants Fund Emancipation Administrative Costs Fund Emergency Management Fund Environmental Services Environmental Health Fund Environmental Services Grants ii 147 148 149 150 151 152 153 154 155 156 157 158 159 160 161 162 163 164 165 166 167 168 169 170 171 172 173 174 175 176 Table of Contents (Continued) For the Fiscal Year Ended June 30, 2016 Page Special Revenue Funds (Continued) Expedited Child Support Fund Flood Control Fund Flood Control Grants Fund Human Services Grants Fund Inmate Health Services Fund Inmate Services Fund Judicial Enhancement Fund Justice Court Judicial Enhancement Fund Justice Courts Photo Enforcement Fund Justice Courts Special Revenue Fund Juvenile Probation Diversion Fund Juvenile Probation Grants Fund Juvenile Probation Special Fees Fund Juvenile Restitution Fund Lake Pleasant Recreation Services Fund Law Library Fees Fund Legal Defender Fill the Gap Fund Library District Fund Library District Grants Fund Medical Examiner Grants Fund Non-Departmental Grants Fund Officer Safety Equipment Fund Palo Verde Fund Parks and Recreation Grants Fund Parks Donations Fund Parks Enhancement Fund Parks Souvenir Fund Parks Spur Cross Ranch Conservation Fund Planning and Development Fees Fund Probate Fees Fund Public Defender Fill the Gap Fund Public Defender Grants Fund Public Defender Training Fund Public Health Grants Fund Public Health Fees Fund Recorder’s Surcharge Fund School Communication Expense Fund School Grants Fund School Transportation Fund Sheriff Donations Fund Sheriff Grants Fund Sheriff Jail Enhancement Fund Sheriff RICO Fund Sheriff Towing and Impound Fund Small School Service Fund Spousal Maintenance Enforcement Enhancement Fund Superior Court Building Repair Superior Court Fill the Gap Fund Superior Court Grants Fund Superior Court Special Revenue Fund Taxpayer Information Fund Transportation Grants Fund Transportation Operations Fund Victim Compensation Interest Fund iii 177 178 179 180 181 182 183 184 185 186 187 188 189 190 191 192 193 194 195 196 197 198 199 200 201 202 203 204 205 206 207 208 209 210 211 212 213 214 215 216 217 218 219 220 221 222 223 224 225 226 227 228 229 230 Table of Contents (Continued) For the Fiscal Year Ended June 30, 2016 Page Special Revenue Funds (Continued) Victim Compensation Restitution Fund Victim Location Fund Waste Management Fund Waste Tire Fund 231 232 233 234 Debt Service Funds County Improvement Debt Fund Stadium District Debt Service Fund 235 236 Capital Projects Funds County Improvement Fund Detention Capital Projects Fund Detention Technology Capital Improvement Fund Flood Control Capital Projects Fund General Fund County Improvements Fund Intergovernmental Capital Projects Fund Intergovernmental Technology Projects Fund Library District Capital Improvement Fund Long Term Project Reserve Fund Technology Capital Improvement Fund Transportation Capital Projects Fund Schedule of Capital Projects – Budget and Actual All Capital Improvement Projects 237 238 239 240 241 242 243 244 245 246 247 248 Internal Service Funds Listing of Internal Service Funds Combining Statement of Net Position Combining Statement of Revenues, Expenses, and Changes in Net Position Combining Statement of Cash Flows 257 258 260 262 Agency Funds Listing of Agency Funds Statement of Changes in Assets and Liabilities 267 268 Statistical Section Listing of Statistical Information Net Position by Component Changes in Net Position Fund Balances, Governmental Funds Changes in Fund Balances, Governmental Funds Tax Revenues by Source, Governmental Funds Assessed Value and Estimated Market Value of Taxable Property Direct and Overlapping Property Tax Rates Principal Property Taxpayers Property Tax Levies and Collections Ratios of Outstanding Debt by Type Legal Debt Margin Information Pledged Revenue Coverage Demographic and Economic Statistics Principal Employers Budgeted Full-time Equivalent County Employees by Function/Program Operating Indicators by Function/Program Capital Asset Statistics by Function/Program iv 271 272 273 275 276 278 279 280 281 282 283 284 285 286 287 288 289 290 Maricopa County Officials BOARD OF SUPERVISORS Denny Barney, District 1 Steve Chucri, District 2 Bill Gates, District 3 Clint L. Hickman, District 4 Steve Gallardo, District 5 ♦♦♦ COUNTY MANAGER Joy Rich ♦♦♦ ASSISTANT COUNTY MANAGER – CHIEF FINANCIAL OFFICER Shelby L. Scharbach v Organizational Chart Maricopa County Citizens Constables Superintendent of Schools County Attorney Sheriff Board of Supervisors Clerk of the Court Assessor Treasurer Recorder Elected Appointed Elections STAR Call Center Clerk of the Board County Manager Internal Audit Procurement Services Risk Management Deputy County Manager Assistant County Manager Assistant County Manager Assistant County Manager Deputy County Manager Management & Budget Human Resources Finance Contract Counsel Correctional Health Employee Benefits & Health Enterprise Technology Emergency Management Legal Defender Public Health Human Services Parks & Recreation Environmental Services Public Advocate Medical Examiner Public Defender NonDepartmental Public Defense Services Animal Care & Control Planning & Development Air Quality Transportation Legal Advocate Waste Resources & Recycling Public Fiduciary Equipment Services Facilities Management Protective Services vi Maricopa County County Administrative Office 301 West Jefferson Street 10th Floor Phoenix, AZ 85003-2143 Phone: 602-506-3571 Fax: 602-506-3328 www.maricopa.gov February 28, 2017 The Honorable Board of Supervisors Maricopa County County Administration Building 301 W. Jefferson Street Phoenix, AZ 85003 Arizona Revised Statute (A.R.S.) §41-1279.21 requires the Office of the Auditor General to conduct financial audits of the accounts and records of County governments. Pursuant to the statute, the Office of the Auditor General audited the Comprehensive Annual Financial Report (CAFR) of Maricopa County in accordance with generally accepted auditing standards for the year ended June 30, 2016. This report consists of management’s representations concerning the finances of Maricopa County. Consequently, management assumes full responsibility of the completeness and reliability of all the information presented in this report. To provide a reasonable basis for making these representations, management of Maricopa County has established a comprehensive internal control framework that is designed both to protect the government’s assets from loss, theft, or misuse and to compile sufficient reliable information for preparation of Maricopa County’s financial statements in conformity with generally accepted accounting principles (GAAP). Because the cost of internal control should not outweigh their benefits, Maricopa County’s comprehensive framework of internal controls has been designed to provide reasonable rather than absolute assurance that the financial statements will be free from material misstatement. As management, we assert that, to the best of our knowledge and belief, this financial report is complete and reliable in all material respects. The goal of the independent audit was to provide reasonable assurance that the financial statements of Maricopa County for the fiscal year ended June 30, 2016, are free of material misstatement. The independent audit involves obtaining audit evidence about the amounts and disclosures in the financial statements. An audit includes assessments of risk of material misstatement of the financial statements, evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management as well as evaluating the overall financial statement presentation. The independent auditors expressed an unmodified opinion on the Maricopa County financial statements for the fiscal year ended June 30, 2016. The auditors concluded that the financial statements were considered fairly presented in conformity with GAAP. The independent auditors’ report is presented as the first component of the financial section of this report. The independent audit of the financial statements of Maricopa County was part of a broader, federally mandated Single Audit designed to meet the special needs of federal grantor agencies. The standards governing Single Audit engagements require the independent auditor to report not only on the fair presentation of the financial statements, but also on the audited government’s internal controls and compliance with legal requirements, with special emphasis on internal controls and legal requirements involving the administration of federal awards. This report will be available in Maricopa County’s separately issued Single Audit Report to be issued at a future date. vii GAAP requires management’s discussion and analysis (MD&A) immediately following the independent auditors’ report and provides a narrative introduction, overview, and analysis of the basic financial statements. This MD&A complements this letter of transmittal and should be read in conjunction with it. County Profile Maricopa County was established on February 14, 1871, and is located in the south-central portion of the State of Arizona. According to the Arizona Office of Employment and Population Statistics, at July 1, 2015, Maricopa County contained 60.3 percent of the State’s total population (https://population.az.gov). The County occupies 9,224 square miles making it the 14th largest county in land area in the United States. Phoenix is the capital of Arizona as well as the county seat for Maricopa County. Maricopa County operates under a five member elected Board of Supervisors who appoints a County Manager. The County Manager is responsible for the general administration and overall operations of the various County departments. The County has several elected officials including the Assessor, Clerk of the Superior Court, Constables, County Attorney, Recorder, Sheriff, Superintendent of Schools, and the Treasurer. Maricopa County offers a wide variety of governmental services, including: • Community Resources: Superintendent of Schools • County Administration: Board of Supervisors, County Manager, Assessor’s Office, Clerk of the Board, Elections, Finance, Internal Audit, Research and Reporting, Office of Management and Budget, Recorder, Office of Procurement Services, Human Resources, Information Technology, Treasurer’s Office, and Facilities Management • Public Safety, Justice and Law Enforcement: Clerk of the Superior Court, County Attorney, Trial Court, Adult Probation, Juvenile Probation, Sheriff’s Department, Public Defender, Emergency Management, Correctional Health, Planning and Development, Constables, Justice Courts, and Public Fiduciary • Public Health and Welfare Services: Public Health, Air Quality, Employee Benefits and Health, Human Services, Animal Care and Control, Environmental Services, and Medical Examiner • Public Works: Flood Control District, Transportation Department, and Waste Resources and Recycling Library District, Parks and Recreation, Stadium District, and The annual budget serves as the foundation for Maricopa County’s financial planning and control. The County is required by A.R.S. §42-17101 et. seq. to annually prepare and adopt a balanced budget. Arizona law further requires that no expenditure shall be made or liability incurred in excess of the amounts budgeted except as provided by law. Maricopa County’s annual budget is available on the internet at the following address: http://www.maricopa.gov/budget/. Economic Outlook Maricopa County has a variety of industries within its boundaries with the majority comprised of high tech, financial, and service industries. Some of the major employers located in the state include Banner Health Systems, Wal-Mart Stores, Fry’s Food & Drug Stores, Wells Fargo, Dignity Health, and various local governments (The Phoenix Business Journal, Book of Lists). viii Because of a favorable climate and mild weather conditions, tourism is also a large factor in the strength of the local economy. Major sporting events can be held year-round and many people come to the area during the winter months. Maricopa County is the home to teams from major league professional sports, which include the Arizona Cardinals of the National Football League (NFL), Phoenix Suns of the National Basketball Association (NBA), Phoenix Mercury of the Women’s National Basketball Association (WNBA), Arizona Diamondbacks of Major League Baseball (MLB), and the Arizona Coyotes of the National Hockey League (NHL). Maricopa County also hosts several major league baseball teams for the annual spring training Cactus League. Maricopa County is also a host to other major sporting events such as the Waste Management Phoenix Open golf tournament and Phoenix International Raceway. Cities within Maricopa County also host college bowl games such as the Fiesta Bowl and the Cactus Bowl. In 2016, Arizona hosted the College Football Playoff National Championship which was held in Glendale, a major city within Maricopa County. Arizona remains on a modest growth track and continues to add jobs and residents at a faster pace than the nation and most other states. The forecast calls for steady growth with gains across most indicators exceeding national results (www.eller.arizona.edu). Maricopa County’s unemployment rate is 4.1 percent as of December 2016, which remains below the State of Arizona and the United States unemployment rates of 4.8 percent and 4.7 percent, respectively (www.laborstats.az.gov). Financial Policies and Long-Term Financial Planning Financial Planning – Maricopa County has a fiscally conservative management philosophy, which has allowed the County to be financially successful. Maricopa County prepares a five-year financial forecast, with the assistance of an economist, which is updated on a quarterly basis for several major funds, including the General Fund and Detention Operations Fund. The five-year forecast provides a conservative estimate of the County’s fiscal condition given realistic economic trends, current Board policies, and existing laws. The forecast does not incorporate anticipated policy changes, spending priorities, or proposed new revenue sources. Capital Improvement Program – Maricopa County’s Capital Improvement Program (CIP) identifies capital projects to be completed over the next five years. Because these projects typically span more than one fiscal year, the plans are updated annually to track existing projects, identify new projects, and update funding estimates and forecasts. It is the County’s philosophy and policy that new capital projects will be undertaken only if future operating revenues are reasonably estimated to be sufficient to support associated future operating costs. Operating costs associated with new facilities are budgeted by the user department in conjunction with the partnering department such as Facilities Management and Enterprise Technology. Estimated operating costs, as well as anticipated savings in lease costs and operating costs of facilities to be replaced are factored into the County’s ten-year financial forecast. Debt Management – Maricopa County utilizes a modified “pay as you go” financial policy for large capital improvement projects, large technology projects, and other infrastructure. The County pays cash for many capital improvements, or utilizes lease reversions or other funding sources from the General Fund to pay for large dollar projects. Cash Management – Maricopa County maintains deposits and investments in the Treasurer’s Pool and outside of the Treasurer’s Pool. The Treasurer’s Pool invests all idle monies not specifically invested for a fund or program. In addition, the Treasurer determines the fair value of those pooled investments monthly and at June 30th. Deposits and investments held outside of the Treasurer’s Investment Pool represent a small portion of the County’s total deposits and investments. It is the County’s investment policy to: collateralize all deposits by at least 102 percent of the deposits not covered by depository insurance; preserve the principal value and the interest income of an investment; hold investments to maturity, where practical, to avoid any loss on investments resulting from an early sale or retirement of an investment; and require all of the Treasurer’s securities be held by the agent or trust department and in the County’s name. ix Expenditure Limitation – On June 30, 1980, Arizona voters approved general propositions amending the Arizona Constitution to establish expenditure and revenue limitations for local governments. The purpose of the expenditure limitation is to control expenditures and to limit future increases in spending to adjustments for inflation, deflation, and population growth of the County. The Constitution also limits the amount of revenues that may be generated from property taxes. A two-percent plus new construction annual increase is the maximum allowed by law unless special voter approval is obtained. This report will be available in Maricopa County’s separately issued Expenditure Limitation Report to be issued at a future date. Awards and Acknowledgements The Government Finance Officers Association of the United States and Canada (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to Maricopa County for its comprehensive annual financial report for the fiscal year ended June 30, 2015. In order to be awarded a Certificate of Achievement, a government must publish an easily readable and efficiently organized comprehensive annual financial report. This report must satisfy both U.S. general accepted accounting principles and applicable legal requirements. A Certificate of Achievement is valid for a period of one year only. We believe that our current comprehensive annual financial report continues to meet the Certificate of Achievement Program’s requirements and we are submitting it to the GFOA to determine its eligibility for another certificate. The preparation and audit of this report could not be accomplished without the efficient and dedicated services of the Department of Finance staff, the assistance of administrative personnel in the various departments, and the competent service of the Office of the Auditor General. We appreciate all of those who assisted in and contributed to the preparation of this report. We also wish to express our sincere appreciation to the Board of Supervisors for their support in planning and overseeing the financial operations of the County in a responsible and progressive manner. Respectfully submitted, Joy Rich County Manager Shelby L. Scharbach Assistant County Manager - Chief Financial Officer x Maricopa County Citizens Audit Advisory Committee 301 West Jefferson Street Suite 660 1090 Phoenix, AZ 85003-2143 Ryan Wimmer, Ralph W. Lamoreaux, MPA CPA Coppage, CIA Barbara Jill J. Rissi, MPA CIA Ramon Ramirez, Vincent J. Harder, CPA Dawn von Epp, CIA Richard J. Lozar June 30, 2016 The Honorable Maricopa County Board of Supervisors The Maricopa County Citizens Audit Advisory Committee has prepared this letter for inclusion in the county’s Comprehensive Annual Financial Report (CAFR) according to the committee’s charter. Described herein are the committee’s composition, responsibilities, and an account of how the responsibilities were discharged. Composition of the Committee The membership of the committee shall consist of five voting members and three non-voting members. The voting members shall be board of supervisor appointees from the public and shall serve two-year terms. The non-voting members shall be the county’s chief financial officer, the county attorney, the auditor general, or their designees. The chairman of the board of supervisors shall appoint a committee chairman from the voting members. The committee chairman shall serve a one-year term. Responsibilities of the Committee The committee’s primary function is to assist the board of supervisors in fulfilling its oversight responsibilities. The committee accomplishes this function by reviewing the county’s financial information, the established systems of internal controls, and the audit process. The committee also suggests areas requiring audit emphasis. Specific duties of the committee are described in the committee charter. Accomplishments of the Committee (Fiscal Year 2015-2016) The Citizens Audit Advisory Committee: • Reviewed the county’s internal audit activities and management’s responses thereto. • Reviewed the county’s annual financial statements and issues related to the external audit performed by the Arizona State Auditor General. • Provided guidance and commentary as needed. • Enhanced the communication between the internal and external auditors. • Held meetings in accordance with charter requirements. Respectfully, Ramon Ramirez, Chair xi xii FINANCIAL SECTION Independent Auditors' Report Management's Discussion and Analysis Basic Financial Statements Basic Financial Statements - Notes Required Supplementary Information Budgetary Comparison Schedules - General Fund and Major Special Revenue Fund Note to Budgetary Comparison Schedules Schedule of the County's Proportionate Share of Net Pension Liability Schedule of Changes in the County's Net Pension Liability and Related Ratios Schedule of County Pension Contributions Notes to Pension Plan Schedules Schedule of Agent OPEB Plans' Funding Progress Modified Approach for Infrastrucure Assets Combining and Individual Fund Statements and Schedules Nonmajor Governmental Funds Internal Service Funds Agency Funds Independent auditors’ report Members of the Arizona State Legislature The Board of Supervisors of Maricopa County, Arizona Report on the financial statements We have audited the accompanying financial statements of the governmental activities, business-type activities, discretely presented component unit, each major fund, and aggregate remaining fund information of Maricopa County as of and for the year ended June 30, 2016, and the related notes to the financial statements, which collectively comprise the County’s basic financial statements as listed in the table of contents. Management’s responsibility for the financial statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with U.S. generally accepted accounting principles; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. Auditors’ responsibility Our responsibility is to express opinions on these financial statements based on our audit. We did not audit the financial statements of four departments and the discretely presented component unit, which account for the following percentages of the assets and deferred outflows of resources, liabilities and deferred inflows of resources, revenues, and expenses or expenditures of the opinion units affected: Opinion Unit/Department Government-wide Statements Governmental activities: Stadium District Risk Management Employee Benefits Trust Business-type activities: Housing Authority Discretely presented component unit Assets and Deferred Outflows Liabilities and Deferred Inflows 5.12% 0.57% 0.57%  0.59% 3.77% 0.85% 100% 100%  100% 100% 2910 NORTH 44 th STREET • SUITE 410 • PHOENIX, ARIZONA    Revenues Expenses/ Expenditures 0.53% 1.06% 7.39% 0.81% 2.49% 7.56% 100% 100% 100% 100% 85018 • (602) 553-0333 • FAX (602) 553-0051 Opinion Unit/Department Fund Statements Major Fund: Housing Authority Aggregate remaining fund information: Stadium District Risk Management Employee Benefits Trust Assets and Deferred Outflows Liabilities and Deferred Inflows 100% 100% 0.83% 1.03% 1.03% 0.02% 25.32% 5.69%       Revenues Expenses/ Expenditures 100% 100% 0.17% 0.24% 1.68% 0.17% 0.58% 1.75% Those statements were audited by other auditors whose reports have been furnished to us, and our opinions, insofar as they relate to the amounts included for those departments and component unit, are based solely on the other auditors’ reports. We conducted our audit in accordance with U.S. 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 financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditors’ judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditors consider internal control relevant to the County’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the County’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions. Opinions In our opinion, based on our audit and the reports of the other auditors, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, business-type activities, discretely presented component unit, each major fund, and aggregate remaining fund information of Maricopa County as of June 30, 2016, and the respective changes in financial position and, where applicable, cash flows thereof for the year then ended in accordance with U.S. generally accepted accounting principles. Emphasis of matter As discussed in Note 1 to the financial statements, for the year ended June 30, 2016, the County adopted new accounting guidance, Governmental Accounting Standards Board (GASB) Statement No. 72, Fair Value Measurement and Application. Our opinions are not modified with respect to this matter. Other matters Required supplementary information U.S. generally accepted accounting principles require that the management’s discussion and analysis on pages 5 through 15, budgetary comparison schedules on pages 93 through 96, schedule of the County’s proportionate share of the net pension liability on page 97, schedule of changes in the County’s net pension liability and related ratios on pages 98 through 99, schedule of county pension contributions on pages 100 through 101, schedule of agent OPEB plans’ funding progress on page 102, and the modified approach for infrastructure assets information on page 103 be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We and the other auditors have applied certain limited procedures to the required supplementary information in accordance with U.S. generally accepted auditing standards, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. Supplementary and other information Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the County’s basic financial statements. The combining and individual fund statements and schedules and the introductory and statistical sections listed in the table of contents are presented for purposes of additional analysis and are not required parts of the basic financial statements. The combining and individual fund statements and schedules are management’s responsibility and were derived from and relate directly to the underlying accounting and other records used to prepare the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with U.S. generally accepted auditing standards by us and the other auditors. In our opinion, based on our audit, the procedures performed as described above, and the reports of the other auditors, the combining and individual fund statements and schedules are fairly stated, in all material respects, in relation to the basic financial statements as a whole. The introductory and statistical sections have not been subjected to the auditing procedures applied in the audit of the basic financial statements, and accordingly, we do not express an opinion or provide any assurance on them. Compliance over the use of highway user revenue fund and other dedicated state transportation revenue monies In connection with our audit, nothing came to our attention that caused us to believe that the County failed to use highway user revenue fund monies the County received pursuant to Arizona Revised Statutes Title 28, Chapter 18, Article 2, and any other dedicated state transportation revenues the County received solely for the authorized transportation purposes, insofar as they relate to accounting matters. However, our audit was not directed primarily toward obtaining knowledge of such noncompliance. Accordingly, had we performed additional procedures, other matters may have come to our attention regarding the County’s noncompliance with the use of highway user revenue fund monies and other dedicated state transportation revenues, insofar as they relate to accounting matters. The communication related to compliance over the use of highway user revenue fund and other dedicated state transportation revenue monies in the preceding paragraph is intended solely for the information and use of the members of the Arizona State Legislature, the Board of Supervisors, management, and other responsible parties within the County and is not intended to be and should not be used by anyone other than these specified parties. Other reporting required by Government Auditing Standards In accordance with Government Auditing Standards, we will issue our report on our consideration of the County’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters at a future date. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the County’s internal control over financial reporting and compliance. Debbie Davenport Auditor General February 28, 2017 Management’s Discussion and Analysis This discussion and analysis is intended to be an easily readable analysis of Maricopa County’s (County) financial activities based on currently known facts, decisions or conditions. This analysis focuses on current year activities and should be read in conjunction with the Transmittal Letter that begins on page vii and with the County’s basic financial statements following this section. Financial Highlights • The total assets and deferred outflows of resources of the County exceeded its liabilities and deferred inflows of resources at the close of the fiscal year by $3,171.5 million (net position), a decrease of .2 percent from the prior year restated amount. Of this amount, $3,367.2 million is invested in capital assets, $564.3 million is subject to external restrictions, and ($760.0) million is unrestricted. • The County’s total net position as reported in the Statement of Activities decreased by $6.3 million from the prior year. The County’s primary sources of revenue are from taxes, intergovernmental, grants and contributions, and charges for services. Revenue Sources (in millions) Unrestricted Intergovernmental $646.9 (32.1%) Operating Grants & Contributions $316.8 (15.7%) Other - $25.7 (1.3%) Capital Grants & Contributions $49.2 (2.4%) Taxes - $717.1 (35.5%) Charges for Services - $261.3 (13.0%) • The County’s governmental funds reported combined fund balances of $1,321.6 million, a decrease in fund balance of $47.4 million from the prior fiscal year’s restated balance. Approximately 98.6 percent of the combined fund balances, or $1,303.4 million, is spendable and available to meet the County’s current and future needs. • Spendable fund balance for the General Fund increased by 49.5 percent to $148.0 million; approximately 15.5 percent of total General Fund expenditures. See page 10 for a description of spendable fund balance. In accordance with Arizona Revised Statutes (A.R.S.), this entire amount is budgeted to be spent in the next fiscal year. A.R.S. §42-17151 requires that total estimated sources of revenue must equal the total estimated expenditures in the budget for the current fiscal year. In addition, A.R.S. §42-17102 stipulates that the estimated expenditures may include an amount for unanticipated contingencies or emergencies. 5 Management’s Discussion and Analysis (Continued) • The County’s enterprise fund, the Housing Authority Fund, reported net position of $31.4 million, of which $22.5 million is invested in capital assets, $1.4 million is restricted, and $7.5 million is unrestricted. Overview of the Financial Statements This discussion and analysis is intended to serve as an introduction to the County’s basic financial statements. The County’s basic financial statements consist of three components: 1) Government-wide financial statements, 2) Fund financial statements, and 3) Notes to the basic financial statements. Required Supplementary Information is included in addition to the basic financial statements. The Combining and Individual Fund Statements and Schedules – Nonmajor Funds begin on page 114. Government-wide Financial Statements are designed to provide readers with a broad overview of the County’s finances, in a manner similar to private-sector businesses. • The Statement of Net Position presents information on all County assets and deferred outflows of resources and liabilities and deferred inflows of resources, with the difference between the two reported as net position. Over time, increases or decreases in net position may serve as a useful indicator of whether the financial position of the County is improving or deteriorating. • The Statement of Activities presents information showing how net position changed during the most recent fiscal year. All changes in net position are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are reported in this statement for some items that will result in cash flows in future fiscal periods (e.g., uncollected taxes and earned but unused vacation leave). Both of these government-wide financial statements distinguish functions of the County that are principally supported by taxes and intergovernmental revenues (governmental activities) from other functions that are intended to recover all or a portion of their costs through user fees and charges (business-type activities). The governmental activities of the County include general government; public safety; highways and streets; health, welfare and sanitation; culture and recreation; education; and interest on long-term debt. The business-type activities of the County consist of the Housing Authority of Maricopa County. Component units are legally separate entities for which the County is considered to be financially accountable. Blended component units, although legally separate entities, are in substance part of the County’s operations. Therefore, data from these units is combined with data of the primary government. Discretely presented component units, on the other hand, are reported in a separate column in the government-wide financial statements to emphasize they are legally separate from the County. The Housing Authority of Maricopa County, Maricopa County Flood Control District, Maricopa County Library District, Maricopa County Public Finance Corporation, Maricopa County Special Assessment Districts, Maricopa County Stadium District, and the Maricopa County Street Lighting Districts are reported as blended component units. The Industrial Development Authority of Maricopa County is reported as a discretely presented component unit. The Government-wide financial statements can be found on pages 21-23 of this report. Fund Financial Statements are groupings of related accounts that are used to maintain control over resources that have been segregated for specific activities or objectives. The County, like other state and local governments, uses fund accounting to ensure and demonstrate finance-related legal compliance. All of the funds of the County can be divided into three categories: governmental funds, proprietary funds and fiduciary funds. 6 Management’s Discussion and Analysis (Continued) • Governmental funds are used to account for essentially the same functions reported as governmental activities in the government-wide financial statements. However, unlike the government-wide financial statements, governmental funds financial statements focus on near-term inflows and outflows of spendable resources, as well as on balances of spendable resources available at the end of the fiscal year. Such information may be useful in evaluating a county’s near-term financing requirements. Governmental funds include the general, special revenue, debt service, and capital projects funds. Because the focus of governmental funds is narrower than that of the government-wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government-wide financial statements. By doing so, readers may better understand the long-term impact of the government’s near-term financing decisions. Both the governmental funds Balance Sheet and the governmental funds Statement of Revenues, Expenditures, and Changes in Fund Balances provide a reconciliation to facilitate this comparison between governmental funds and governmental activities. The County reports seven major governmental funds. Information is presented separately in the governmental funds Balance Sheet and in the governmental funds Statement of Revenues, Expenditures, and Changes in Fund Balances for the General Fund, Detention Operations Fund, County Improvement Debt Fund, County Improvement Fund, Detention Capital Projects Fund, General Fund County Improvements Fund, and Technology Capital Improvement Fund. Data from the other governmental funds (nonmajor) are combined into a single, aggregated presentation. Individual fund data for each of these nonmajor governmental funds is provided in the form of combining statements, which begin on page 114 of this report. The governmental funds financial statements can be found on pages 24-28 of this report. • Proprietary funds are maintained two ways. Enterprise Funds are used to report the same functions presented as business-type activities in the government-wide financial statements. The County uses an enterprise fund to account for the Housing Authority Fund. Internal service funds are an accounting device used to accumulate and allocate costs internally among the County’s various functions. The County uses internal service funds to account for its equipment services, telecommunications, reprographics, risk management, employee benefits trust, and sheriff warehouse functions. Because these services predominantly benefit governmental rather than business-type functions, they have been included within governmental activities in the government-wide financial statements. Fund financial statements for the enterprise fund provides the same type of information as the government-wide financial statements, only in more detail. The Housing Authority Fund is considered to be a major fund of the County. The County’s internal service funds are combined into a single, aggregated presentation in the proprietary funds financial statements. Individual fund data for the internal service funds is provided in the form of combining statements, which begin on page 257 of this report. The proprietary funds financial statements can be found on pages 30-32 of this report. • Fiduciary funds are used to account for resources held for the benefit of parties outside the government. Fiduciary funds are not reflected in the government-wide financial statements because the resources of those funds are not available to support the County’s own programs. The accounting used for fiduciary funds is much like that used for proprietary funds. The fiduciary funds financial statements can be found on pages 34-35 of this report. Notes to the Financial Statements provide additional information that is essential to a full understanding of the data provided in the government-wide and fund financial statements. The notes can be found on pages 39-89 of this report. 7 Management’s Discussion and Analysis (Continued) Required Supplementary Information is presented concerning the County’s General Fund and Detention Operations Fund. A budgetary comparison schedule has been provided for both of these funds to demonstrate compliance with budget and additional information is provided in the Note to Budgetary Comparison Schedules. In addition, the following schedules related to the County’s pension plans are presented: Schedule of the County’s Proportionate Share of Net Pension Liability, Schedule of Changes in the County’s Net Pension Liability and Related Ratios, Schedule of County Pension Contributions, Schedule of Agent OPEB Plans’ Funding Progress, and Notes to the Pension Plan Schedules. Also presented are infrastructure assets reported using the modified approach. Required supplementary information can be found on pages 93-103 of this report. Government-wide Financial Analysis Net Position Net position may serve over time as a useful indicator of a government’s financial position. The following table reflects the condensed Statement of Net Position of the County for June 30, 2016, as compared to the prior year. Statement of Net Position As of June 30 (in millions) Governmental Activities 2015 (as 2016 restated) Current and other assets Capital assets Total assets $ Deferred outflows Current liabilities Long-term liabilities Total liabilities Deferred inflows 1,521.8 3,577.1 5,098.9 $ 1,595.8 3,476.8 5,072.6 Business-type Activities 2015 (as 2016 restated) $ 14.2 28.1 42.3 $ Total 2015 (as 2016 restated) 6.4 32.1 38.5 $ 1,536.0 3,605.2 5,141.2 $ 1,602.2 3,508.9 5,111.1 % Chg P/Y (4.1)% 2.7 .6 297.0 306.0 0.3 0.4 297.3 306.4 (3.0) 187.9 1,993.2 2,181.1 198.4 1,873.0 2,071.4 0.7 10.0 10.7 1.0 10.1 11.1 188.6 2,003.2 2,191.8 199.4 1,883.1 2,082.5 (5.4) 6.4 5.2 74.7 156.6 0.5 0.6 75.2 157.2 (52.2) 3,290.7 541.6 (681.7) 3,150.6 22.5 1.4 7.5 31.4 26.3 1.3 (0.4) 27.2 Net position Net investment in capital assets Restricted Unrestricted Total net position $ 3,344.7 562.9 (767.5) 3,140.1 $ $ $ 3,367.2 564.3 (760.0) $ 3,171.5 3,317.0 542.9 (682.1) $ 3,177.8 1.5 3.9 (11.4) (.2) **Governmental activities and business-type activities liabilities were adjusted in fiscal year 2015 for beginning balance adjustments. See Note 3Beginning Balances Restated for additional information. In addition, total net position for fiscal year 2015 was reallocated from restricted to unrestricted for comparability purposes. By far, the largest portion - $3.4 billion - of the County’s net position reflects the investment in capital assets (e.g., land, buildings and improvements, machinery and equipment, infrastructure and construction in progress), less accumulated depreciation and any related debt used to acquire those assets which is still outstanding. Net position invested in capital assets increased by $50.2 million due to an increase in net capital assets of $96.3 million, an associated decrease in unspent bond proceeds of $84.3 million, compounded by a decrease in capital asset related debt of $38.2 million. The decrease in capital related debt is a result of regularly scheduled debt service payments, which were partially offset by a net increase in capital leases of $9.7 million. The increase in capital assets is mainly attributed to an increase in construction in progress and other non-depreciable assets of $134.1 million offset by a decrease in all other net depreciable assets of $37.8 million. See page 13 for additional detail on capital asset changes. 8 Management’s Discussion and Analysis (Continued) The County uses capital assets to provide services to its citizens; consequently, these assets are not available for future spending. Although the County’s investment in its capital assets is reported net of related debt, it should be noted that the resources needed to repay this debt must be provided from other sources, since the capital assets themselves cannot be used to liquidate these liabilities. The second component of the County’s total net position, $564.3 million, represents resources that are subject to external restrictions on how they may be used. This component increased by $21.4 million from the prior year. This increase can be attributed to revenues exceeding expenditures for the fiscal year. Primarily, this increase in restricted net position can be attributed to lower than anticipated capital project expenditures and an increase in HURF revenues in the Transportation Capital Project fund. The final component consists of an unrestricted deficit of $760.0 million. Unrestricted net position decreased from fiscal year 2015 by $77.9 million. This net position decrease is primarily the result of an increase in net pension liabilities of $145.0 million, a decrease in deferred outflows related to pensions of $9.3 million, and a decrease in deferred inflows related to pensions of $82.1 million. Changes in Net Position As discussed previously, the County’s total net position of $3.2 billion decreased by $6.3 million as reported in the Statement of Activities. The following table reflects the condensed Statement of Activities of the County for the fiscal year 2016 compared to the prior year and indicates the changes in net position for governmental and business-type activities: Statement of Activities For the year ended June 30 (in millions) Governmental Activities 2016 2015 Revenues: Program revenues: Charges for services Operating grants and contributions Capital grants and contributions General revenues: Taxes Unrestricted intergovernmental Other Total Revenues Expenses: General government Public safety Highways and streets Health, welfare and sanitation Other** Housing Authority Total Expenses $ 256.7 299.7 48.9 $ 244.2 280.2 31.6 717.1 646.9 21.4 1,990.7 674.5 614.3 18.5 1,863.3 298.9 1,105.7 77.0 423.9 95.7 298.1 1,134.2 163.8 408.2 89.9 2,001.2 2,094.2 Business-type Activities 2016 2015 $ 4.6 17.1 0.3 $ 4.3 26.3 22.1 22.1 Special Items Change in net position Net position – beginning, as restated* Net position – ending Total 2016 (230.9) 3,381.5 $ 3,150.6 $ 4.2 27.2 31.4 $ 261.3 316.8 49.2 0.8 23.1 717.1 646.9 25.7 2,017.0 674.5 614.3 19.3 1,886.4 6.3 5.3 33.2 6.9 23.8 23.8 298.9 1,105.7 77.0 423.9 95.7 22.1 2,023.3 298.1 1,134.2 163.8 408.2 89.9 23.8 2,118.0 0.3 (2.5) (53.0) 3.8 6.5 (7.1) (4.5) $ (0.8) 28.0 27.2 $ 249.9 296.5 31.9 % Chg P/Y 5.7 16.3 0.3 (0.1) (10.5) 3,150.6 $ 3,140.1 2015 (0.1) (6.3) 3,177.8 $ 3,171.5 (231.7) 3,409.5 $ 3,177.8 4.6% 6.8 54.2 >100.0 97.3 (6.8) (0.2) * Governmental activities, business-type activities, and total columns’ amounts beginning net position at July 1, 2015, were adjusted for prior period liabilities. See Note 3 – Beginning Balances Restated for additional information. ** The functions of culture and recreation, education, and interest on long-term debt are shown in the condensed Statement of Activities above as other expenses. 9 Management’s Discussion and Analysis (Continued) One of the main differences a reader will see between the governmental funds reported in the fund financial statements and the Statement of Activities is that governmental funds in the fund financial statements report capital outlays as expenditures. However, in the Statement of Activities the cost of those assets is reported as a capital asset and the expense of those assets is allocated over their estimated useful lives and reported as depreciation expense within the expense line items. Capital outlay expenditures exceeded depreciation expense in the current period by $91.9 million. In the government-wide Statement of Activities, the significant revenues reported included taxes, unrestricted intergovernmental, charges for services, and operating grants and contributions, which represent 35.5, 32.1, 13.0, and 15.7 percent, respectively, of total revenues for fiscal year 2016. Tax revenues in total increased $42.6 million primarily as a result of an increase in property taxes of $38.4 million and from jail excise tax of $5.7 million. The increase in property taxes can be attributed to an increase in assessed values as a result of the improved economy, compounded by an increase in the property tax levy rate. The increase in jail excise tax revenue is a result of the improving economy. Intergovernmental revenue, which consists of state shared sales taxes, vehicle license taxes and unrestricted grants, increased $32.6 million from the prior fiscal year. This increase is attributable to increases in the state shared sale taxes and vehicle license taxes of $20.9 and $11.2 million, respectively, which are a result of the improving economy. Charges for services revenue increased $11.4 million from the prior year. The increase primarily incurred in the Sheriff’s Department, Recorder’s Office, and Clerk of the Superior Court of $1.7 million, $3.8 million, and $2.5 million, respectively. Operating grants and contributions revenue increased $20.3 million from the prior year primarily due to additional Highway User Revenue Fund revenue of $5.8 million, as a result of the improved economy. Additionally, there were increases in grants related to Elections, Human Services and Public Health of $3.4 million, $7.1 million, and $3.4 million respectively. Tax and other operating revenues provide the principal support for the functions of the County, which include general government; public safety; highways and streets; health, welfare and sanitation; culture and recreation; and education. Total expenses decreased $94.7 million or 4.5 percent from the prior fiscal year. This decrease is primarily a result of a decrease in public safety and highways and streets function expenses of $29.2 and $86.8 million, respectively. The decreases in public safety and highways and streets are due to the County expensing capital assets annexed to other cities and towns in the prior year in the amounts of $41.4 and $80.3 million, respectively. Financial Analysis of the County’s Funds As noted earlier, the County uses fund accounting to ensure and demonstrate compliance with financerelated legal requirements. In order to provide comparative discussion of fund balances to the prior year, the analysis below of ‘spendable’ balance represents restricted, committed, assigned, and unassigned fund balance. Governmental Funds. Governmental activities are contained in the general, special revenue, debt service, and capital projects funds. The focus of the County’s governmental funds is to provide information on nearterm inflows, outflows, and balances of spendable resources. Such information is useful in assessing the County’s financing requirements. In particular, spendable fund balance may serve as a useful measure of a government’s net resources available for spending at the end of the fiscal year. As of June 30, 2016, the governmental funds reported combined fund balances of $1,321.6 million which was a decrease in fund balance of $47.4 million from the prior fiscal year. Approximately 98.6 percent of the combined fund balances, or $1,303.4 million, is available to meet the County’s current and future needs (spendable fund balance). The remaining fund balance is reserved for inventories and intergovernmental loans. 10 Management’s Discussion and Analysis (Continued) The following funds are the County’s major governmental funds: General Fund The General Fund is the County’s primary operating fund. At the end of the current fiscal year, spendable fund balance of the General Fund was $148.0 million, while total fund balance was $162.0 million. This represents an increase in the spendable fund balance from the prior year of $49.0 million, or 49.5 percent. As a measure of the General Fund’s liquidity, it may be useful to compare both spendable fund balance and total fund balance to the total fund expenditures. Spendable fund balance represents 15.5 percent of the total fiscal year 2016 General Fund expenditures, while total fund balance represents 17.0 percent of that same amount. These ratios indicate a strong fund balance position in comparison to expenditures, taking into account that Maricopa County operates on a structurally balanced budget in that fiscal year 2017 operating expenditures are expected to be fully funded by fiscal year 2017 revenues. During fiscal year 2016, the General Fund experienced a change in fund balance of $45.6 million, an increase of $67.3 million from the prior fiscal year change in fund balance of ($21.7) million. Revenues increased by $75.0 million from the prior fiscal year as a result of an increase in property tax, state shared sales tax, and state shared vehicle tax revenue of $31.1, $20.9, and $11.2 million, respectively and an increase in elections operating grants of $3.4 million. Transfers out decreased by $22.0 million and expenditures increased by $25.3 million. The decrease in transfers out is a result of a decrease in transfers to the General Fund County Improvements Fund of $38.2 million, which was offset by increases in transfers out to the County Improvement Debt Fund and the Detention Operations Fund of $2.2 million and $13.8 million, respectively. The increase in expenditures is primarily attributable to an increase in salaries and benefits of $27.7 million as a result of retention pay and market range salary adjustments. Detention Operations Fund The Detention Operations Fund is a special revenue fund that was established under the authority of propositions 400 and 401, which were passed in the General Election of November 3, 1998. These propositions authorized a temporary 1/5 of one-cent sales tax to be used for the construction and operation of adult and juvenile detention facilities. On November 5, 2002, the voters approved the extension of the 1/5 of one-cent sales tax in the General Election to be used for jail facility operations. The extension begins in the month following the expiration of the original tax and may continue for not more than twenty years after the date the tax collection begins. The Detention Operations Fund accounts for the receipt of tax revenue, jail operations expenditures, and transfers to the Detention Capital Projects Fund and Detention Technology Capital Improvement Fund for construction of the adult and juvenile detention facilities and detention technology infrastructure. The Detention Operations Fund accounts for the jail tax revenue along with transfers from the General Fund for maintenance of effort (MOE). The MOE transfer from the General Fund is used to support the jail detention operations. Arizona Revised Statutes require the County to calculate the maintenance of effort transfer on an annual basis. The Detention Operations Fund transfers monies to the Detention Capital Projects Fund and Detention Technology Capital Improvement Fund for the construction of the jail and detention facilities and detention technology infrastructure. At the end of the current fiscal year, total fund balance of the Detention Operations Fund was $42.6 million, of which 96.2 percent is restricted and considered spendable. This was a decrease in total fund balance of $1.5 million, or 3.5 percent from the prior fiscal year. Although the fund had more expenditures than revenues by $191.8 million, positive net transfers of $189.6 million offset the net loss in the fund. Operating transfers consisted of the transfer in for MOE from the General Fund of $190.8 million and transfers out to the Detention Capital Projects Fund, County Improvement Debt Fund, and General Fund County Improvements Fund of $587.5 thousand, $444.9 thousand, and $300.0 thousand, respectively. The amounts transferred out of the Detention Operations Fund for any given year are determined through the budget planning process. County Improvement Debt Fund The County Improvement Debt Fund is a debt service fund that accounts for the debt service on Lease Revenue Bonds, Series 2007A; Certificates of Participation, Series 2015; and other long-term obligations. At the end of the current fiscal year, spendable fund balance of the County Improvement Debt Fund was $19.7 million, of which $7.3 million is restricted for debt service. This represents an increase of $3.2 million 11 Management’s Discussion and Analysis (Continued) from the prior fiscal year and is attributed to the continued payment of debt service obligations. The primary activity in this fund is debt service payments. County Improvement Fund The County Improvement Fund is a capital projects fund that was established in fiscal year 2015 and accounts for capital projects funded through the issuance of long-term debt obligations. Projects that are funded include technology infrastructure refresh, detention and administrative technology upgrades, security and telephone system upgrades and administrative and justice projects. At the end of the current fiscal year, fund balance of the County Improvement Fund was $36.8 million, which represents the unspent proceeds, all of which is restricted and considered spendable. Detention Capital Projects Fund The Detention Capital Projects Fund is a capital projects fund that accounts for construction associated with the 1/5 of one-cent sales tax approved by voters in the General Election on November 3, 1998, and extended by the voters on November 5, 2002. Funding is provided by transfers from the Detention Operations Fund for construction of the adult and juvenile detention facilities. At the end of the current fiscal year, fund balance of the Detention Capital Projects Fund was $188.9 million, all of which is restricted and considered spendable. The fund balance in this fund decreased $4.6 million from the prior fiscal year, which is attributed to certain capital projects that were completed during FY16. General Fund County Improvements Fund The General Fund County Improvements Fund is a capital projects fund that accounts for capital projects funded by transfers from the General Fund. Projects that are currently funded include justice and administrative projects. At the end of the current fiscal year, fund balance of the General Fund County Improvements Fund was $294.0 million, all of which is committed and considered spendable. The fund balance in this fund decreased $26.0 million from the prior fiscal year as a result of negative net transfers of $19.3 million and capital outlay expenditures of $6.8 million. Fiscal year 2016 transfers consisted primarily of transfers in from the General Fund and Technology Capital Improvement Fund of $19.7 million and $4.9 million, respectively, which were offset by transfers out to the County Improvement Debt Fund and General Fund of $41.3 million and $2.9 million, respectively. Technology Capital Improvement Fund The Technology Capital Improvement Fund is a capital projects fund that accounts for technology improvement capital projects funded by transfers from the General Fund and General Fund County Improvements Fund. Projects that are currently funded include technology infrastructure upgrades and administrative system projects. At the end of the current fiscal year, fund balance of the Technology Capital Improvement Fund was $249.8 million, all of which is committed and considered spendable. The fund balance in this fund decreased $2.0 million from the prior fiscal year as a result of net transfers in of $3.5 million, capital lease agreements of $8.1 million, and capital outlay expenditures of $13.6 million. Fiscal year 2016 transfers consisted of transfers in from the General Fund of $11.6 million which was offset by transfers out to the General Fund and General Fund County Improvements Fund of $3.2 million and $4.9 million, respectively. General Fund Budgetary Highlights The difference between the original budget and the final amended budget for the General Fund resulted in no significant change in revenues and expenditures. A significant favorable expenditure variance, as compared to the budget, was incurred in the Non-Departmental Department (general government function), Office of Contract Counsel (public safety function), and Facilities Management Department (general government function), of $51.3 million, $9.9 million, and $7.9 million, respectively. These savings were a result of the Non-Departmental Department spending less contingency funds than was anticipated, the Office of Contract Counsel incurring less than anticipated court assigned public defense attorneys, and the Facilities Management Department incurring less major maintenance expenditures. None of the variances between the budget and actual amounts were significant enough to affect the County’s ability to provide future services. 12 Management’s Discussion and Analysis (Continued) Capital Assets and Long-Term Liabilities Capital Assets The County’s capital assets balance for its governmental and business-type activities as of June 30, 2016, was $3.6 billion (net of accumulated depreciation). Capital assets include land, buildings and improvements, infrastructure, machinery and equipment, and construction in progress. The County reports infrastructure assets, which consist of the Flood Control District and Transportation Department infrastructure, in the government-wide financial statements in accordance with GASB Statement No. 34. Additional information regarding infrastructure assets can be found in the Notes to the Financial Statements (Note 1 – Summary of Significant Accounting Policies and Note 12 – Capital Assets). The Flood Control District infrastructure assets consist of drainage systems, dams, flood channels and canals. Flood Control infrastructure is reported using the depreciation approach and the County uses the straight-line method of depreciation on these assets. At June 30, 2016, Flood Control District infrastructurerelated assets consisted of land, infrastructure and construction in progress of $246.7, $230.0, and $179.9 million, respectively, net of any related accumulated depreciation. The Transportation Department infrastructure assets consist of a roadway system and a bridge system. Both systems are reported under the modified approach, which means the County will maintain the assets using an asset management system and will document that the infrastructure assets are being preserved at the established condition level. During fiscal year 2016, the condition level of both systems was within the established condition level. Actual maintenance/preservation costs varied by $3,988,360 and $473,225 from the estimated costs for the roadway and bridge system, respectively. Roadway and Bridge System maintenance is predicated by the Federal clearance process. Additionally, bids on roadway projects were more favorable than estimated resulting in a positive variance in the actual costs under the estimated. See Required Supplementary Information on page 103 for additional information. At June 30, 2016, Transportation Department infrastructure-related assets consisted of land, infrastructure and construction in progress of $383.7, $740.7, and $28.6 million, respectively. Capital assets for governmental activities are presented below (in millions) to illustrate changes from the prior year: Land Infrastructure Buildings and improvements (net of accumulated depreciation) Machinery and equipment (net of accumulated depreciation) Construction in progress Infrastructure (net of accumulated depreciation) Totals Governmental Activities 2016 2015 $760.1 $749.5 740.7 726.9 Business-type Activities 2016 2015 $4.7 $4.7 2016 $764.8 740.7 2015 $754.2 726.9 % Chg P/Y 1.4 1.9 Total 1,367.3 1,386.8 23.1 27.1 1,390.4 1,413.9 (1.7) 89.7 389.3 97.9 279.7 0.2 0.1 0.2 0.1 89.9 389.4 98.1 279.8 (8.4) 39.2 230.0 $3,577.1 236.0 $3,476.8 $28.1 $32.1 230.0 $3,605.2 236.0 $3,508.9 (2.5) 2.7 Capital assets, net of accumulated depreciation, increased by $96.3 million, or 2.7 percent, from the prior year. The most significant impact on this increase in the fiscal year ended June 30, 2016, was the increase in construction in progress of $109.6 million and that is due to ongoing projects in Flood Control and Transportation with net additions of $45.1 million and $13.0 million, respectively. Additionally, noninfrastructure technology capital projects such as the Radio System and Enterprise Resource Planning System projects accounted for increases in construction in progress of $28.5 million, and $9.7 million, respectively for the fiscal year ended June 30, 2016. 13 Management’s Discussion and Analysis (Continued) Long-Term Liabilities Maricopa County has the following bond ratings: Debt Instrument & Rating Agency Rating Date Awarded General Obligation Bonds (implied or issuer credit rating) Standard & Poor’s AAA June 2015 Fitch Ratings AAA March 2015 Moody’s Investor Services Aaa June 2015 Lease Revenue Bonds Standard & Poor’s AA+ June 2015 Fitch Ratings AA+ March 2015 Moody’s Investor Services Aa1 June 2015 Certificates of Participation Standard & Poor’s AA+ June 2015 Fitch Ratings AA+ June 2015 Moody’s Investor Services Aa1 June 2015 At June 30, 2016, the County had total long-term liabilities (noncurrent liabilities due within one year and more than one year) outstanding of $2,003.2 million, which represents a $120.1 million increase from the prior year balance of $1,883.1 million. The majority of the $120.1 million increase is attributable to a net increase of capital leases of $9.6 million, a net increase in net pension liability of $145.0 million, a net increase in reported claims and incurred but not reported claims $11.4 million, debt service payments made during fiscal year 2016 for lease revenue bonds ($12.5 million), Stadium District revenue bonds ($3.3 million), and an extinguishment of lease revenue bonds ($29.9 million). The largest components of longterm liabilities at June 30, 2016, consisted of lease revenue bonds of $54.8 million, certificates of participation of $185.6 million, reported claims and incurred but not reported claims of $94.7 million, and net pension liability of $1,606.0 million. Lease revenue bonds and certificates of participation applicable to governmental activities are paid from the County Improvement Debt Fund (debt service fund), which is funded by transfers from the General Fund. At June 30, 2016, the fund balance in the County Improvement Debt Fund to pay future liabilities was $19.7 million. Stadium District revenue bonds are special obligations of the District. The bonds are payable solely from pledged revenues, consisting of car rental surcharges levied and collected by the Stadium District pursuant to A.R.S. §48-4234. In September 2012, the Stadium District issued revenue refunding bonds in the amount of $25.1 million (par value) of which $12.7 million remains outstanding. Reported and incurred but not reported claims applicable to governmental activities of $94.7 million are reported in the Risk Management and Employee Benefits Trust funds (internal service funds). This is an increase of $11.4 million from the prior year as noted above. This liability is primarily related to actuarial estimates for the County’s self-insured portion of future claims for general litigation related to torts; thefts of, damage to, and destruction of assets; errors and omissions; injuries to employees; natural disasters; and certain health benefits that are paid through the operations of the funds. Additional information regarding long-term liabilities can be found in the Notes to Financial Statements (Note 14 – Long-Term Liabilities and Note 18 – Risk Management). Net pension liability applicable to governmental activities of $1.6 billion represents the difference between: 1) the total amount due to retirees for their future benefit obligations from employee services, less 2) the actual amount of assets on hand to make those payments. Therefore, an unfunded pension liability indicates that future benefit obligations to retirees are greater than the assets on hand to make those payments. These amounts are determined annually based on actuarial assumptions. 14 Management’s Discussion and Analysis (Continued) Economic Factors and Next Year’s Budget and Rates • Arizona remains on a modest growth track and continues to add jobs and residents at a faster pace than the nation and most other states. The forecast calls for state growth with gains across most indicators exceeding national results (www.eller.arizona.edu). • The unemployment rate in Maricopa County as of December 2016 was 4.1 percent, which remains below the state and the national average of 4.8 percent and 4.7 percent, respectively (www.laborstats.az.gov). • The Arizona Office of Employment and Population Statistics reports that Maricopa County’s population increased by 1.9 percent from fiscal year 2014 to 2015. Maricopa County’s population increased 14.4 percent from 2006 to 2015, which is higher than the United States’ overall population increase of 7.5 percent for the same time period (https://population.az.gov). As part of the annual budget planning process, the County’s Office of Management and Budget developed a financial forecast to assist in both short and long range financial planning. This forecast provides a conservative estimate of the County’s fiscal condition through the next five years given a realistic economic forecast, current County policies and existing laws. The forecast was instrumental in the determination of the fiscal year 2017 budget and tax rate, which took into account several significant trends: • Net assessed property tax valuations continue to increase in fiscal year 2016; however, the growth rate of net assessed valuations will be constrained beginning fiscal year 2016 for most property types due to the passage of Proposition 117, which caps the year-over-year property tax valuation increase to the lesser of the full cash value or 5 percent. • A tax rate of 1.4009 was adopted for fiscal year 2017, increasing the tax levy by $35 million. This amount is $150 million less than the constitutional maximum and results in a $170 median-valued residential property tax bill. • In fiscal year 2017, annual collections of State Shared Sales Tax, Vehicle License Tax, Highway User Revenues and County Jail Excise Tax revenues are expected to surpass the fiscal year 2007 peak collections by $153 million. Subsequent yearly growth rates are expected to fluctuate from 3.4 percent to 4.8 percent from fiscal year 2018 through 2021. In accordance with A.R.S., the entire General Fund spendable fund balance amount (see page 11 for more information) will be budgeted in the next fiscal year. A.R.S. §42-17151 requires that total estimated sources of revenue must equal the total estimated expenditures in the budget for the current fiscal year. The estimated expenditures may include an amount for unanticipated contingencies or emergencies, per A.R.S. §42-17102. Request for Information This financial report is designed to provide our citizens, taxpayers, customers, investors and creditors with a general overview of the County’s finances and to demonstrate the County’s accountability for the money it receives. If you have any questions about this report or need additional financial information, please contact Maricopa County Department of Finance, 301 W. Jefferson, Suite 960, Phoenix, AZ 85003, or at www.maricopa.gov. 15 16 Financial Section Basic Financial Statements Basic Financial Statements 18 Maricopa County Definitions of Government-wide Financial Statements and Listing of Major Funds Government-wide Financial Statements The Statement of Net Position presents information on all of Maricopa County’s assets and deferred outflows of resources and liabilities and deferred inflows of resources, with the difference between the two reported as net position. The Statement of Activities presents information showing how the government’s net position changed during the most recent fiscal year. All changes in net position are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows. The above two statements are presented utilizing the following types of activities: Governmental Activities – generally are financed through taxes and intergovernmental revenues. Business-type Activities – are financed in whole or in part by fees charged to external parties. Major Funds General Fund – is the County’s primary operating fund. It accounts for all financial resources of the general government, except those required to be accounted for in another fund. Special Revenue Funds Detention Operations Fund – was established under the authority of propositions 400 and 401, which were passed in the General Election of November 3, 1998. These propositions authorized a temporary 1/5 of one-cent sales tax to be used for the construction and operation of adult and juvenile detention facilities. On November 5, 2002, the voters approved the extension of the 1/5 of one-cent sales tax in the General Election to be used for jail facility operations. The extension begins in the month following the expiration of the original tax and may continue for not more than twenty years after the date the tax collection begins. The Detention Operations Fund accounts for the receipt of tax revenue, jail operations expenditures, and transfers to the Detention Capital Projects Fund and Detention Technology Capital Improvement Fund for construction of the adult and juvenile detention facilities and detention technology infrastructure. Debt Service Funds County Improvement Debt Fund – accounts for the debt service on the Lease Revenue Bonds, Series 2007A; Lease Revenue Refunding Bonds, Series 2007B; Certificates of Participation, Series 2015; and other long-term obligations. Capital Projects Funds County Improvement Fund – accounts for capital projects funded through the issuance of Certificates of Participation, Series 2015. Detention Capital Projects Fund – accounts for construction associated with the 1/5 of one-cent sales tax approved by voters in the General Election on November 3, 1998, and extended by voters on November 5, 2002. Funding is provided by transfers from the Detention Operations Fund for construction of the adult and juvenile detention facilities. 19 Maricopa County Definitions of Government-wide Financial Statements and Listing of Major Funds (Continued) Capital Projects Funds (continued) General Fund County Improvements Fund – was established to fund current and future capital projects. Fund assets may be used to pay directly for capital projects or may be appropriated by the Board of Supervisors for debt service. None of the funds has been pledged for debt service, and fund assets may be transferred by the Board of Supervisors at any time for any other County purpose. Technology Capital Improvement Fund – established by the Board of Supervisors to account for General Fund and other resources committed for technology improvement projects. Enterprise Funds Housing Authority Fund – accounts for the activity of the Housing Authority of Maricopa County. 20 Maricopa County Statement of Net Position June 30, 2016 PRIMARY GOVERNMENT COMPONENT UNIT Business-type Activities Industrial Development Authority Governmental Activities ASSETS Cash in bank and on hand Cash and investments held by County Treasurer Investments Receivables (net of allowances for uncollectibles) Due from other governmental units Inventories Prepaids Miscellaneous Intergovernmental loans Loans receivable Cash and cash equivalents – restricted Cash and investments held by trustee – restricted Capital assets: Land Buildings and improvements Machinery and equipment Infrastructure – nondepreciable Infrastructure – depreciable Construction in progress Accumulated depreciation Total assets $ $ 13,063,801 194,812,734 8,450,064 5,499,814 3,568,567 12,556,431 4,093,117 $ 140,823 44,544 75,830 28,716,863 760,082,551 1,929,526,015 387,924,274 740,748,418 337,061,086 389,309,776 (967,572,092) 5,098,932,599 LIABILITIES Accounts payable Accrued liabilities Employee compensation payable Interest payable Unearned revenue Deposits held for other parties Noncurrent liabilities: Due within one year Due in more than one year Total liabilities DEFERRED INFLOWS OF RESOURCES Deferred inflows related to pensions Total deferred inflows of resources NET POSITION Net investment in capital assets Restricted for: General government Public safety Highways and streets Health, welfare and sanitation Culture and recreation Education Debt service 4,719,797 54,368,559 1,070,195 296,884,363 150,864 297,035,227 346,370 55,010,782 6,756,305 105,432,109 6,189,243 5,562,436 9,013,323 256,292 145,249 39,396 127,994 150,202 55,267,074 6,756,305 105,577,358 6,228,639 5,690,430 9,163,525 50,397,963 1,942,811,306 159,060 9,874,543 50,557,023 1,952,685,849 2,181,173,467 10,752,736 2,191,926,203 74,740,379 74,740,379 461,168 461,168 75,201,547 75,201,547 3,344,675,215 22,487,405 3,367,162,620 $ 3,140,053,980 The notes to the financial statements are an integral part of this statement. 21 32,988,585 247,217 30,070 248,656 19,944 37,174,029 1,945,804 1,945,804 19,622,690 352,410,450 122,011,695 28,320,854 26,416,957 4,120,489 11,403,311 (760,010,364) 1,425,160 7,492,157 31,404,722 3,639,557 297,230,733 150,864 297,381,597 346,370 $ $ 764,802,348 1,983,894,574 388,994,469 740,748,418 337,061,086 389,349,367 (999,639,658) 5,141,204,855 39,591 (32,067,566) 42,272,256 19,622,690 352,410,450 122,011,695 26,895,694 26,416,957 4,120,489 11,403,311 (767,502,521) Unrestricted (deficit) 39,573,276 1,219,704,138 13,204,624 194,812,734 8,494,608 5,575,644 3,568,567 12,556,431 8,012,022 1,775,344 28,716,863 8,012,022 1,775,344 DEFERRED OUTFLOWS OF RESOURCES Deferred outflows related to pensions Deferred charges on debt refunding Total deferred outflows of resources Total net position 35,480,159 1,219,704,138 Total $ 3,171,458,702 35,228,225 $ 35,228,225 Maricopa County Statement of Activities For the Fiscal Year Ended June 30, 2016 Program Revenues Charges for Services Expenses Operating Capital Grants and Contributions Grants and Contributions Functions/Programs Primary government: Governmental activities: General government $ Public safety 298,879,283 $ 25,333,842 $ 29,487,883 $ 1,105,661,191 146,926,079 27,163,691 28,251,811 76,998,103 12,697,999 103,230,499 20,621,017 423,976,768 53,314,590 113,702,318 Culture and recreation 57,510,396 16,899,346 56,261 Education 30,388,968 7,793,505 1,482,306 26,098,212 2,001,208,214 256,654,162 299,738,864 48,872,828 22,170,085 22,170,085 4,656,105 4,656,105 17,062,511 17,062,511 280,121 280,121 Highways and streets Health, welfare and sanitation Interest on long-term debt Total governmental activities Business-type activities: Housing Authority Total business-type activities Total primary government $ 2,023,378,299 $ 261,310,267 $ 3,443,133 $ 4,660,763 Component unit: Industrial Development Authority General revenues: Taxes: Property taxes, levied for general purposes Property taxes, levied for Flood Control District Property taxes, levied for Library District Property taxes, levied for Street Lighting District Sales tax – Jail construction and operation Surcharge tax – Stadium District Unrestricted share of state sales tax Unrestricted share of state vehicle license tax Grants and contributions not restricted to specific programs Unrestricted investment earnings Gain on sale of assets Miscellaneous Total general revenues Change in net position Net position, July 1, 2015, as restated Net position, June 30, 2016 The notes to the financial statements are an integral part of this statement. 22 $ 316,801,375 $ 49,152,949 Maricopa County Statement of Activities For the Fiscal Year Ended June 30, 2015 Net (Expense) Revenue and Changes in Net Position Primary Government Governmental Activities $ (244,057,558) Business-type Activities $ Component Unit Industrial Development Authority Total $ (903,319,610) (244,057,558) (903,319,610) 59,551,412 59,551,412 (256,959,860) (256,959,860) (40,554,789) (40,554,789) (2,808,450) (7,793,505) (2,808,450) (7,793,505) (1,395,942,360) (1,395,942,360) (1,395,942,360) (171,348) (171,348) (171,348) (171,348) (171,348) (1,396,113,708) $ 492,533,082 492,533,082 49,311,618 49,311,618 19,624,840 19,624,840 4,651,612 4,651,612 146,246,549 146,246,549 4,772,596 4,772,596 497,359,100 497,359,100 146,241,079 146,241,079 3,285,655 3,285,655 8,411,227 $ 1,217,630 14,686 8,425,913 2,513,522 2,513,522 66,041 12,947,665 1,809,260 14,756,925 1,385,385,023 4,337,468 1,389,722,491 263,527 (10,557,337) 3,150,611,317 3,140,053,980 4,166,120 27,238,602 31,404,722 (6,391,217) 3,177,849,919 3,171,458,702 1,481,157 33,747,068 35,228,225 $ $ 23 197,486 $ Maricopa County Balance Sheet Governmental Funds June 30, 2016 Detention Operations General ASSETS Cash in bank and on hand Cash and investments held by County Treasurer Receivables (net of allowances for uncollectables) Due from other funds Due from other governmental units Inventories Miscellaneous Intergovernmental loans Cash and investments held by trustee – restricted Total assets LIABILITIES Accounts payable Employee compensation payable Accrued liabilities Due to other funds Interest payable Bonds payable Capital leases payable Special assessment debt with governmental commitment Unearned revenue Deposits held for other parties Total liabilities $ $ County Improvement 28,082,785 29,311,166 10,173,508 18,156,443 101,604,505 2,828,108 4,149,401 12,556,431 $ $ 206,862,347 $ 56,103,536 $ 17,242,769 31,827,062 $ 49,562,875 $ 19,053,347 17,571,079 287,933 $ 4,132,212 7,280,742 1,978,042 $ 4,252 $ 6,874,035 25,470,194 365,883 $ 14,563,676 20,617 49,494,620 68,255 28,101,951 1,603,790 561,718 2,827 6,263,224 3,660,000 2,202,530 DEFERRED INFLOWS OF RESOURCES Unavailable revenue – property tax Unavailable revenue – intergovernmental Total deferred inflows of resources FUND BALANCES Nonspendable Restricted Committed Assigned Unassigned Total fund balances Total liabilities, deferred inflows of resources, and fund balances County Improvement Debt 153,307 37,065,666 41,796 5,912 13,438,704 6,371,791 1,397,171 7,768,962 17,933 17,933 13,987,368 1,603,790 41,043,109 133,944,163 14,096,188 162,027,719 $ 206,862,347 42,646,899 $ 56,103,536 5,896,523 12,773,385 12,130,006 $ 7,319,545 12,377,511 36,789,490 19,697,056 36,789,490 31,827,062 $ 49,562,875 Amounts reported for governmental activities in the Statement of Net Position are different because: Capital assets used in governmental activities are not financial resources and therefore, are not reported in the funds. Some receivables are not available to pay for current period expenditures and therefore, are deferred in the funds. Internal service funds are used by management to charge the costs of equipment services, telecommunications, reprographics, risk management, employee benefits, and the sheriff warehouse to individual funds. The assets, deferred outflows of resources, liabilities, and deferred inflows of resources of the internal service funds are included in governmental activities in the Statement of Net Position. Long-term liabilities (e.g., net pension liabilities and bonds payable) are not due and payable shortly after June 30, 2016, and therefore, are not reported in the funds Deferred outflows and inflows of resources related to pensions and deferred charges on debt refundings are applicable to future reporting periods and, therefore, are not reported in the funds. Net position of governmental activities The notes to the financial statements are an integral part of this statement. 24 Detention Capital Projects $ General Fund County Improvements $ 190,742,910 Technology Capital Improvement $ 295,550,423 Other Governmental Funds $ 251,013,692 $ 190,742,910 $ 295,550,423 $ 251,013,692 $ $ 1,751,091 $ 1,115,707 $ 659,256 $ 49,235 1,800,326 403,930 1,519,637 545,738 1,204,994 $ 190,742,910 $ 11,474,094 393,965,058 18,786,476 5,404,255 3,492,823 21,637,898 901 836,730 8,698,424 9,535,154 7,208,521 10,113,528 17,322,049 18,207,166 589,023,438 573,918,793 133,944,163 6,469,620 1,321,563,180 249,808,698 294,030,786 249,808,698 (7,626,568) 327,619,948 $ 251,013,692 $ $ $ 29,967,110 1,162,170,856 12,192,792 22,186,941 194,812,734 7,047,906 5,976,270 12,556,431 28,716,863 1,475,627,903 8,285 5,520,640 1,958,678 56,809,956 294,030,786 295,550,423 $ 52,376,376 30,256,076 5,761,625 21,637,898 6,264,125 3,660,000 2,202,530 8,285 5,562,436 9,013,323 136,742,674 2,616,008 314,928,710 17,701,798 188,942,584 188,942,584 1,884,325 306,024,175 1,564,529 4,030,498 65,106,278 2,616,008 1,265,151 Total Governmental Funds 393,965,058 3,573,962,274 17,322,049 (43,974,237) (1,950,495,265) $ 25 221,675,979 3,140,053,980 Maricopa County Statement of Revenues, Expenditures, and Changes in Fund Balances Governmental Funds Year Ended June 30, 2016 General Detention Operations County Improvement Debt 146,246,549 $ County Improvement REVENUES Taxes $ Licenses and permits 481,278,116 $ $ 2,664,234 Intergovernmental 666,744,342 Charges for services 48,238,405 Fines and forfeits 11,761,459 25,849,546 1,371,504 4,815,195 5,467,079 1,365,838 182,801 91,737 398,892 1,220,968,830 173,644,734 1,463,241 398,892 Special assessments Interest income Miscellaneous Total revenues EXPENDITURES Current: General government 142,854,422 Public safety 541,942,936 362,870,668 Highways and streets Health, welfare and sanitation 253,555,334 Culture and recreation 935,559 Education 2,643,683 Debt service: Principal 7,959,528 Interest 12,665,773 Other expenditures 25,000 Capital outlay Total expenditures 11,735,287 2,571,840 953,667,221 365,442,508 20,650,301 84,083,279 84,083,279 267,301,609 (191,797,774) (19,187,060) (83,684,387) Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES) Transfers in Transfers out Capital lease agreements 6,698,043 190,922,075 53,006,456 (232,465,428) (1,338,665) (661,073) 3,669,709 710,255 (222,097,676) 190,293,665 (2,195) (29,910,000) Payment to escrow agent Total other financing sources (uses) Net change in fund balances Fund balances, July 1, 2015, restated 22,435,383 (2,195) 45,203,933 (1,504,109) 3,248,323 (83,686,582) 116,401,095 44,174,643 16,448,733 120,476,072 422,691 (23,635) Changes in nonspendable resources: Increase (decrease) in inventories Fund balances, June 30, 2016 $ 162,027,719 $ The notes to the financial statements are an integral part of this statement. 26 42,646,899 $ 19,697,056 $ 36,789,490 Detention General Fund Technology Other Total Capital Projects County Improvements Capital Improvement Governmental Funds Governmental Funds $ $ $ $ 72,990,924 $ 48,262,561 315,010,399 981,754,741 93,071,067 168,530,522 13,732,378 25,493,837 4,651,612 4,651,612 1,758,560 9,024,625 8,430,222 14,674,505 555,837,892 1,952,313,589 7,632,087 150,486,509 124,049,563 1,028,863,167 53,598,284 53,598,284 166,515,915 420,071,249 38,862,959 39,798,518 27,453,973 30,097,656 3,346,814 11,306,342 366,829 13,032,602 26,350 236,196,502 6,166,316 6,762,036 13,610,070 1,350 111,267,674 6,166,316 6,762,036 13,610,070 533,095,448 1,983,477,179 (6,166,316) (6,762,036) (13,610,070) 22,742,444 (31,163,590) 1,694,489 24,903,524 11,640,000 111,657,713 400,522,300 (153,031) (44,185,805) (8,074,562) (113,641,541) (400,522,300) 8,059,712 1,446,697 13,886,373 (537,131) (29,910,000) (16,023,627) 1,541,458 (19,282,281) 11,625,150 (4,624,858) (26,044,317) (1,984,920) 22,205,313 (47,187,217) 193,567,442 320,075,103 251,793,618 306,068,710 1,369,005,416 (654,075) $ 700,515,589 45,598,327 188,942,584 $ 294,030,786 $ 249,808,698 27 $ 327,619,948 (255,019) $ 1,321,563,180 Maricopa County Reconciliation of the Governmental Funds Statement of Revenues, Expenditures, and Changes in Fund Balances to the GovernmentWide Statement of Activities Year Ended June 30, 2016 Net change in fund balances – total governmental funds (page 27) $ (47,187,217) Amounts reported for governmental activities in the Statement of Activities on page 23 are different because: Governmental funds report capital outlays as expenditures. However, in the Statement of Activities, the cost of those assets is allocated over their estimated useful lives and reported as depreciation expense. This is the amount by which capital outlays exceeded depreciation in the current period. 91,946,259 The net effect of various miscellaneous transactions involving capital assets is an increase to net position. 8,610,887 Revenues in the Statement of Activities that do not provide current financial resources are not reported as revenues in the funds. 20,065,235 The issuance of long-term debt (e.g., bonds, leases) provides current financial resources to governmental funds, while the repayment of the principal of long-term debt consumes the current financial resources of governmental funds. Neither transaction, however, has any effect on net position. Also, governmental funds report the effect of premiums, discounts, and similar items when debt is first issued, whereas these amounts are deferred and amortized in the Statement of Activities. This amount is the net effect of these differences in the treatment of long-term debt and related items. 32,514,375 Some expenses reported in the Statement of Activities do not require the use of current financial resources and therefore, are not reported as expenditures in governmental funds. (5,523,196) Internal service funds are used by management to charge the costs of equipment services, telecommunications, reprographics, risk management, employee benefits, and the sheriff warehouse to individual funds. The net expense of internal service funds is reported with governmental activities. (20,043,916) County pension contributions are reported as expenditures in the governmental funds when made. However, they are reported as deferred outflows of resources in the Statement of Net Position because the reported net pension liability is measured a year before the County's report date. Pension expense, which is the change in the net pension liability adjusted for changes in deferred outflows and inflows of resources related to pensions, is reported in the Statement of Activities. Change in net position of governmental activities (page 23) The notes to the financial statements are an integral part of this statement. 28 (90,939,764) $ (10,557,337) 29 Maricopa County Statement of Net Position Proprietary Funds June 30, 2016 ASSETS Current assets: Cash in bank and on hand Cash and investments held by County Treasurer Receivables: Accounts Accrued interest Inventories Prepaids Cash and cash equivalents – restricted Total current assets Business-type Activities –Enterprise Fund Housing Authority Governmental Activities – Internal Service Funds $ $ 4,093,117 140,823 5,513,049 57,533,282 789,560 81,449 1,402,157 3,092,111 44,544 75,830 1,775,344 6,129,658 68,411,608 Noncurrent assets: Loans receivable Capital assets: Land Buildings and improvements Machinery and equipment Construction in progress Accumulated depreciation Total noncurrent assets 4,719,797 54,368,559 1,070,195 39,591 (32,067,566) 36,142,598 (12,678,428) 3,117,754 Total assets 42,272,256 71,529,362 346,370 346,370 1,965,071 1,965,071 256,292 145,249 39,396 127,994 150,202 2,535,421 1,406,503 994,680 8,012,022 DEFERRED OUTFLOWS OF RESOURCES Deferred outflows related to pensions Total deferred outflows of resources LIABILITIES Current liabilities: Accounts payable Employee compensation payable Accrued liabilities Unearned revenue Deposits held for other parties Due to other funds Liability for reported and incurred but not reported claims (current portion) Long-term debt (current portion) Total current liabilities 15,796,182 549,043 29,029,590 159,060 878,193 Noncurrent liabilities: Liability for reported and incurred but not reported claims Long-term debt Net pension liability Total noncurrent liabilities 34,515,237 65,666,189 Total liabilities DEFERRED INFLOWS OF RESOURCES Deferred inflows related to pensions Total deferred inflows of resources NET POSITION Net investment in capital assets Restricted for health, welfare and sanitation Unrestricted (deficit) $ Total net position The notes to the financial statements are an integral part of this statement. 30 6,166,936 3,707,607 9,874,543 15,941,042 81,607,231 10,752,736 116,122,468 461,168 461,168 1,346,202 1,346,202 22,487,405 1,425,160 7,492,157 3,117,754 31,404,722 (47,091,991) $ (43,974,237) Maricopa County Statement of Revenues, Expenses, and Changes in Fund Net Position Proprietary Funds Year Ended June 30, 2016 Business-type Activities – Enterprise Fund Governmental Activities – Internal Service Funds Housing Authority OPERATING REVENUES Charges for services $ 4,656,105 $ 203,404,372 17,062,511 Intergovernmental Miscellaneous Total operating revenues 309,260 848,015 22,027,876 204,252,387 2,938,730 13,573,585 817,901 143,337,294 OPERATING EXPENSES Personal services Supplies 12,012,366 Other services Housing assistance payments 13,165,734 Legal 3,997,666 Insurance and claims 272,906 38,167,801 1,969,511 3,151,477 717,478 1,938,371 9,220,675 917,738 21,820,631 224,642,159 207,245 (20,389,772) Leases and rentals 145,727 Repairs and maintenance Travel and transportation 117,830 Utilities Depreciation Total operating expenses Operating income (loss) NONOPERATING REVENUES (EXPENSES) Investment income 14,686 349,220 Gain (loss) on disposal of capital assets 2,513,522 (3,364) Other government contributions 1,500,000 Interest expense Total nonoperating revenues (218,467) (130,987) 3,678,754 Income (loss) before contributions and transfers 3,885,999 Other expense (20,043,916) 280,121 Capital contributions Change in net position Total net position, July 1, 2015, as restated Total net position, June 30, 2016 345,856 $ 4,166,120 (20,043,916) 27,238,602 (23,930,321) 31,404,722 $ (43,974,237) The notes to the financial statements are an integral part of this statement. 31 Maricopa County Statement of Cash Flows Proprietary Funds Year Ended June 30, 2016 Business-type Activities – Enterprise Fund Housing Authority CASH FLOWS FROM OPERATING ACTIVITIES Charges for services Other receipts Payments for goods and services Payments for personal services and benefits Other payments Net cash provided by (used for) operating activities $ CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES Transfers to component unit for capital improvements Loan payments from General Fund Payments on long-term debt Net cash provided by (used for) noncapital financing activities 21,577,990 1,224,263 (18,021,698) (2,037,433) (71,108) 2,672,014 Governmental Activities Internal Service Funds $ 203,213,517 848,015 (201,203,129) (13,545,543) (10,687,140) (108,541) 150,799 (25,615) (134,156) CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Acquisition of capital assets Capital grants received Proceeds from sale of assets Payments on long-term debt 150,799 (319,792) 445,186 1,440 (114,205) (216,184) (203,555) Interest payments on long-term debt Net cash provided by (used for) capital and related financing activities CASH FLOWS FROM INVESTING ACTIVITIES Issuance of loans receivable Interest and dividends Net cash provided by (used for) investing activities Net increase (decrease) in cash and cash equivalents Cash and cash equivalents, July 1, 2015 (629,463) (629,463) (1,602,000) 4,664 (1,597,336) 374,800 374,800 736,967 5,131,494 Cash and cash equivalents, June 30, 2016 RECONCILIATION OF OPERATING GAIN (LOSS) TO NET CASH PROVIDED BY (USED FOR) OPERATING ACTIVITIES Operating gain or (loss) Adjustments to reconcile operating income (loss) to net cash provided by (used for) operating activities: Depreciation expense Liability for reported and incurred but not reported claims - noncurrent Changes in assets and deferred outflows of resources [(increase)/decrease] and liabilities and deferred inflows of resources [increase/(decrease)]: Accounts receivable Inventories Prepaids Deferred outflows of resources related to pensions Accounts payable Employee compensation Pension liabilities Other liabilities Liability for reported and incurred but not reported claims - current Deferred inflows of resources related to pensions Net cash provided by (used for) operating activities SCHEDULE OF NONCASH INVESTING, CAPITAL AND NONCAPITAL FINANCING ACTIVITIES Accumulated depreciation from disposed capital assets Machinery and equipment disposed (Gain)/loss on disposal of capital assets Loans receivable from sale of capital assets Capital assets transferred from governmental activities Accumulated depreciation from transferred assets Intergovernmental grant revenue received for affordable housing program Loans receivable issued to partnership The notes to the financial statements are an integral part of this statement. 32 (10,791,004) 73,837,335 $ 5,868,461 $ 63,046,331 $ 207,245 $ (20,389,772) 1,938,371 917,738 15,363,779 869,047 (1,490) (29,170) 95,560 (291,034) 4,131 (5,616) 73,130 (190,855) 189,531 407,398 157,501 (2,173,897) 122,726 1,012,205 (864,363) (3,974,741) (1,264,390) (188,160) $ $ 2,672,014 13,934,100 (16,322,018) (2,512,082) 4,900,000 $ (10,687,140) $ 357,537 (360,901) 3,364 114,880 (114,880) 1,500,000 (1,500,000) 33 Maricopa County Statement of Fiduciary Net Position Fiduciary Funds June 30, 2016 Investment Trust Funds Agency Funds Assets Cash and investments in bank and on hand $ Cash and investments held by County Treasurer Accrued interest receivable Total assets $ 2,360,796,956 3,379,084 2,364,176,040 $ 28,510,325 $ 123,677,158 51,058 152,238,541 Liabilities Accounts payable $ Accrued liabilities Deposits held for other parties $ Total liabilities Net Position Held in trust for investment participants $ 2,364,176,040 The notes to the financial statements are an integral part of this statement. 34 441,137 151,797,404 152,238,541 Maricopa County Statement of Changes in Fiduciary Net Position Fiduciary Funds Year Ended June 30, 2016 Investment Trust Funds Additions: Contributions from participants $ 7,855,909,807 Investment income: Interest income 10,458,834 1,213,048 Net change in fair value of investments 11,671,882 Net investment income 7,867,581,689 Total additions Deductions: 7,764,498,912 Distributions to participants 7,764,498,912 Total deductions Change in net position 103,082,777 2,261,093,263 Net position, July 1, 2015 $ Net position, June 30, 2016 2,364,176,040 The notes to the financial statements are an integral part of this statement. 35 36 Financial Section Basic Financial Statements - Notes Basic Financial Statements - Notes 38 Maricopa County Basic Financial Statements – Notes NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES NOTE 2 REPORTING CHANGES NOTE 3 BEGINNING BALANCES RESTATED NOTE 4 FUND BALANCE CLASSIFICATIONS OF THE GOVERNMENTAL FUNDS NOTE 5 RECONCILIATION STATEMENTS NOTE 6 STEWARDSHIP, COMPLIANCE, AND ACCOUNTABILITY NOTE 7 DEPOSITS AND INVESTMENTS NOTE 8 CONDENSED FINANCIAL STATEMENTS OF COUNTY TREASURER’S INVESTMENT POOL NOTE 9 RECEIVABLES NOTE 10 DUE FROM OTHER GOVERNMENTAL UNITS NOTE 11 INTERGOVERNMENTAL LOANS NOTE 12 CAPITAL ASSETS NOTE 13 CONSTRUCTION AND OTHER SIGNIFICANT COMMITMENTS NOTE 14 LONG-TERM LIABILITIES NOTE 15 MUNICIPAL LANDFILL CLOSURE AND POSTCLOSURE CARE COSTS NOTE 16 MUNICIPAL REVOLVING LINE OF CREDIT AND IRREVOCABLE STANDBY LETTER OF CREDIT NOTE 17 OPERATING LEASES NOTE 18 RISK MANAGEMENT NOTE 19 POLLUTION REMEDIATION OBLIGATIONS NOTE 20 PENSIONS AND OTHER POSTEMPLOYMENT BENEFITS NOTE 21 INTERFUND BALANCES AND ACTIVITY NOTE 22 DISCRETELY PRESENTED COMPONENT UNIT DISCLOSURES NOTE 23 SUBSEQUENT EVENT OF GOVERNMENT-WIDE 39 AND FUND FINANCIAL Notes to the Financial Statements (Continued) NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Maricopa County’s accounting policies conform to generally accepted accounting principles applicable to governmental units adopted by the Governmental Accounting Standards Board (GASB). For the year ended June 30, 2016, the County implemented the provisions of GASB Statement No. 72, Fair Value Measurement and Application and GASB Statement No. 76, The Hierarchy of Generally Accepted Accounting Principles for State and Local Governments. GASB Statement No. 72 establishes standards for measuring fair value and applying fair value to certain investments and disclosures related to all fair value measurements. GASB Statement No. 76 establishes the hierarchy of sources of accounting principles used to prepare financial statements of state and local governmental entities in conformity with generally accepted accounting principles. The implementation of this standard had no significant effect on the financial statements. The County also early implemented the provisions of GASB Statement No. 82, Pension Issues. GASB Statement No. 82 changed the measure of payroll that is required to be presented in required supplementary information. A. Reporting Entity Maricopa County is a general purpose local government that is governed by a separately elected board of five county supervisors. The accompanying financial statements present the activities of the County (the primary government) and its component units. Component units are legally separate entities for which the County is considered to be financially accountable. Blended component units, although legally separate entities, are so intertwined with the County that they are in substance part of the County’s operations. Therefore, data from these units is combined with data of the primary government. Discretely presented component units, on the other hand, are reported in a separate column in the government-wide financial statements to emphasize they are legally separate from the County. Each blended and discretely presented component unit discussed below has a June 30 year-end. Unless noted below, separate financial statements are not available for the component unit. The reporting entity is comprised of the primary government, Maricopa County Flood Control District, Maricopa County Library District, Maricopa County Public Finance Corporation, Maricopa County Special Assessment Districts, Maricopa County Stadium District, Maricopa County Street Lighting Districts, Housing Authority of Maricopa County, and Industrial Development Authority of Maricopa County. The blended component units are as follows: Maricopa County Flood Control District The Maricopa County Flood Control District is a legally separate, tax-levying entity pursuant to A.R.S. §48-3602 that provides flood control facilities and regulates floodplains and drainage to prevent flooding of property in Maricopa County. As the Maricopa County Board of Supervisors serves as the Board of Directors of the Flood Control District and has operational responsibility for the District, it is considered a blended component unit of the County. Maricopa County Library District The Maricopa County Library District is a legally separate, tax-levying entity pursuant to A.R.S. §483901 that provides and maintains library services for the residents of Maricopa County. As the Maricopa County Board of Supervisors serves as the Board of Directors of the Library District and has operational responsibility for the District, it is considered a blended component unit of the County. Maricopa County Public Finance Corporation Maricopa County Public Finance Corporation is a nonprofit corporation created by the Maricopa County Board of Supervisors that exists primarily to assist the County in the acquisition, construction, and 40 Notes to the Financial Statements (Continued) improvement of County facilities, including real property and personal property. The Board of Directors of the Public Finance Corporation is subject to the approval of the County Board of Supervisors and the corporation exists primarily for the benefit of the County; therefore, the Corporation is considered a blended component unit of the County. The Corporation has issued lease revenue bonds on behalf of the County. Since this debt is in substance the County’s obligation, these liabilities and resulting assets are reported on the County’s financial statements. Maricopa County Special Assessment Districts The Maricopa County Special Assessment Districts are legally separate entities that provide improvements to various properties within the County. As the Maricopa County Board of Supervisors serves as the Board of Directors of the Special Assessment Districts and has operational responsibility over the District, they are considered a blended component unit of the County. Maricopa County Stadium District The Maricopa County Stadium District is a legally separate entity pursuant to A.R.S. §48-4202 that provides regional leadership and fiscal resources to assure the presence of Major League Baseball in Maricopa County. As the Maricopa County Board of Supervisors serves as the Board of Directors of the Stadium District and has operational responsibility over the District, it is considered a blended component unit of the County. The Stadium District also issues separate financial statements. Complete financial statements for the Maricopa County Stadium District may be obtained at the entity’s administrative office listed below: Maricopa County Stadium District 401 East Jefferson Phoenix, Arizona 85004 www.maricopa.gov/stadiumdistrict/ Maricopa County Street Lighting Districts The Maricopa County Street Lighting Districts are legally separate entities that provide street lighting in areas of the County that are not under local city jurisdictions. As the Maricopa County Board of Supervisors serves as the Board of Directors of the Street Lighting Districts and has operational responsibilities over the Districts, they are considered a blended component unit of the County. Housing Authority of Maricopa County The Housing Authority is a legally separate entity pursuant to A.R.S. §36-1404 that provides efficient and affordable rental housing to low-income households of Maricopa County. As the Maricopa County Board of Supervisors serves as the Housing Authority’s Board of Commissioners and has operational responsibility over the Housing Authority, it is a blended component unit of the County. The Housing Authority also issues separate financial statements which include three discretely presented component units, Rose Terrace Development Partnership, L.L.C., Rose Terrace Development Partnership Phase II, L.L.C, and Maricopa Revitalization Partnership, L.L.C. These component units are combined and reported with the Housing Authority as a single enterprise fund on Maricopa County’s financial statements. Complete financial statements for the Housing Authority of Maricopa County and their component units may be obtained at the entity’s administrative office listed below: Housing Authority of Maricopa County 8910 N. 78th Avenue, Building D Peoria, Arizona 85345 www.maricopahousing.org 41 Notes to the Financial Statements (Continued) The discretely presented component unit is as follows: Industrial Development Authority of Maricopa County The Industrial Development Authority of Maricopa County (Authority) is a legally separate entity that was created to assist in the financing of commercial and industrial enterprises; safe, sanitary, and affordable housing; and healthcare facilities. The Authority fulfills its function through the issuance of tax exempt or taxable revenue bonds. The County Board of Supervisors appoints the Authority’s Board of Directors. The Authority’s operations are completely separate from the County and the County is not financially accountable for the Authority. All bonds issued by the Authority are special, limited obligations of the Authority, payable solely from revenues generated by the project being financed, and do not constitute debt of, a loan of, or credit by, the Authority. The Authority charges administration fees to bond applicants and uses such fees to cover its administration costs and to support its ongoing community and economic development in Arizona. The Authority is a special-purpose governmental entity engaged in business type activities. Although the Authority is legally separate from the County, governmental accounting standards require the Authority to be reported as a discretely presented component unit of the County for financial reporting purposes as the County Board of Supervisors is able to impose its will on the Authority. Complete financial statements for the Industrial Development Authority of Maricopa County may be obtained at the entity’s administrative office listed below: Industrial Development Authority of Maricopa County 301 W. Jefferson, 10th Floor Phoenix, Arizona 85003 www.mcida.com B. Basis of Presentation The basic financial statements include both government-wide statements and fund financial statements. The government-wide statements focus on the County as a whole, while the fund financial statements focus on major funds. Each presentation provides valuable information that can be analyzed and compared between years and between governments to enhance the information’s usefulness. Government-wide financial statements – provide information about the primary government (the County) and its component units. The statements include a statement of net position and a statement of activities. These statements report the overall government’s financial activities, except for fiduciary activities. They also distinguish between the County’s governmental and business-type activities and between the County and its discretely presented component unit. Governmental activities generally are financed through taxes and intergovernmental revenues. Business-type activities are financed in whole or in part by fees charged to external parties. The statement of activities presents a comparison between direct expenses and program revenues for each function of the County’s governmental activities and segment of its business-type activities. Direct expenses are those that are specifically associated with a program or function and, therefore, are clearly identifiable to a particular function. Program revenues include: • charges to customers or applicants for goods, services, or privileges provided; • operating grants and contributions; and • capital grants and contributions, including special assessments. Revenues that are not classified as program revenues, including internally dedicated resources, unrestricted grant revenues, and all taxes the County levies or imposes, are reported as general revenues. Generally, the effect of interfund activity has been eliminated from the government-wide financial statements to minimize the double counting of internal activities. However, charges for interfund services provided and used are not eliminated if doing so would distort the direct costs and program revenues reported by the departments concerned. 42 Notes to the Financial Statements (Continued) Fund financial statements – provide information about the County’s funds, including fiduciary funds and blended component units. Separate statements are presented for the governmental, proprietary, and fiduciary fund categories. The emphasis of fund financial statements is on major governmental and enterprise funds, each displayed in a separate column. All remaining governmental funds are aggregated and reported as nonmajor funds. Internal service and fiduciary funds are aggregated and reported by fund type. Proprietary fund revenues and expenses are classified as either operating or nonoperating. Operating revenues and expenses generally result from transactions associated with the fund’s principal activity. Accordingly, revenues, such as user charges, in which each party receives and gives up essentially equal values, are reported as operating revenues. Other revenues, such as subsidies, result from transactions in which the parties do not exchange equal values and are considered nonoperating revenues along with investment earnings and revenues ancillary activities generate. Operating expenses include the cost of services, administrative expenses, and depreciation on capital assets. Other expenses, such as interest expense, are considered nonoperating expenses. The County reports the following major governmental funds: The General Fund – is the County’s primary operating fund. It accounts for all financial resources of the general government, except those required to be accounted for in another fund. The Detention Operations Fund – was established under the authority of propositions 400 and 401, which were passed in the General Election of November 3, 1998. These propositions authorized a temporary 1/5 of one-cent sales tax to be used for the construction and operation of adult and juvenile detention facilities. On November 5, 2002, the voters approved the extension of the 1/5 of one-cent sales tax in the General Election to be used for jail facility operations. The extension begins in the month following the expiration of the original tax and may continue for not more than twenty years after the date the tax collection begins. The Detention Operations Fund accounts for the receipt of tax revenue, jail operations expenditures, and transfers to the Detention Capital Projects Fund and Detention Technology Capital Improvement Fund for construction of the adult and juvenile detention facilities and detention technology infrastructure. The County Improvement Debt Fund – accounts for the debt service on the Lease Revenue Bonds, Series 2007A; Certificates of Participation, Series 2015; and other long-term obligations. This fund’s main revenue source is from transfers for the repayment of debt. The County Improvement Fund – accounts for capital projects funded through the issuance of Certificates of Participation, Series 2015. The Detention Capital Projects Fund – accounts for construction associated with the 1/5 of one-cent sales tax approved by voters in the General Election on November 3, 1998, and extended by the voters on November 5, 2002. Funding is provided by transfers from the Detention Operations Fund for construction of the adult and juvenile detention facilities. The General Fund County Improvements Fund – was established to fund current and future capital projects. Fund assets may be used to pay directly for capital projects or may be appropriated by the Board of Supervisors for debt service. Revenues in this fund consist mainly of transfers from the General Fund. None of the funds have been pledged for debt service, and fund assets may be transferred by the Board of Supervisors at any time for any other County purpose. The Technology Capital Improvement Fund – was established to account for General Fund and other resources committed for technology improvement projects. The County reports the following major enterprise fund: The Housing Authority Fund – accounts for the activities of the Housing Authority of Maricopa County. 43 Notes to the Financial Statements (Continued) The County also reports the following fund types: The internal service funds – account for automotive maintenance and service, telecommunications services, printing and duplicating services, insurance services, self-insured employee benefits, and warehouse services provided to County departments or to other governments on a cost reimbursement basis. The investment trust funds – account for pooled assets the County Treasurer holds and invests on behalf of other governmental entities. The agency funds – account for assets the County holds as an agent for other governments and individuals. C. Basis of Accounting The government-wide, proprietary fund, and fiduciary fund financial statements are presented using the economic resources measurement focus and the accrual basis of accounting. The agency funds are custodial in nature and do not have a measurement focus but utilize the accrual basis of accounting for reporting its assets and liabilities. Revenues are recorded when earned, and expenses are recorded at the time liabilities are incurred, regardless of when the related cash flows take place. Property taxes are recognized as revenue in the year for which they are levied. Grants and donations are recognized as revenue as soon as all eligibility requirements imposed by the provider have been met. Under the terms of grant agreements, the County funds certain programs by a combination of grants and general revenues. Therefore, when program expenses are incurred, there are both restricted and unrestricted net position resources available to finance the program. For these types of programs, the County applies grant resources to such programs before using general revenues. For all other programs, the County uses unrestricted revenues first. Governmental funds in the fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Under this method, revenues are recognized when they become both measurable and available. The County considers all revenues reported in the governmental funds to be available if the revenues are collected within 60 days after year-end. The County’s major revenue sources that are susceptible to accrual are property taxes, intergovernmental, charges for services, and investment income. Expenditures are recorded when the related fund liability is incurred, except for principal and interest on general long-term debt, landfill closure and postclosure care costs, pollution remediation obligations, claims and judgments, and compensated absences, which are recognized as expenditures to the extent they are due and payable. General capital asset acquisitions are reported as expenditures in governmental funds. Loan proceeds and acquisitions under capital lease agreements are reported as other financing sources. D. Cash and Investments For the statement of cash flows, the County’s cash and cash equivalents are considered to be cash on hand, demand deposits, cash and investments held by the County Treasurer, and only those highly liquid investments with a maturity of three months or less when purchased. Short-term debt investments with remaining maturities of up to 90 days at the date of the financial statements are reported at amortized cost. All other investments are stated at fair value. 44 Notes to the Financial Statements (Continued) E. Inventories Inventories of government-wide and the internal service funds financial statements are recorded as assets when purchased and expensed when consumed. The amounts shown on the statement of net position for government-wide and the internal service funds are valued at cost using first-in, first-out and the moving average methods, respectively. The County accounts for its inventories in the governmental funds using the purchase method. Inventories of the governmental funds consist of expendable supplies held for consumption and are recorded as expenditures at the time of purchase. Amounts on hand at year-end are shown on the balance sheet as an asset for informational purposes only and as nonspendable fund balance to indicate that they do not constitute “available spendable resources.” These inventories are stated at weighted-average cost. F. Property Tax Calendar The County levies real property taxes and commercial personal property taxes on or before the third Monday in August that become due and payable in two equal installments. The first installment is due on the first day of October and becomes delinquent after the first business day of November. The second installment is due on the first day of March of the next year and becomes delinquent after the first business day of May. During the year, the County also levies mobile home personal property taxes that are due the second Monday of the month following receipt of the tax notice and become delinquent 30 days later. A lien assessed against real and personal property attaches on the first day of January preceding assessment and levy. G. Capital Assets Capital assets, which include property, plant, equipment, and infrastructure assets (e.g., roads, bridges, sidewalks, and similar items), are reported in the government-wide statements and the proprietary funds. Capital assets are defined as assets with an initial, individual cost of more than $5,000. Such assets are recorded at historical cost or estimated historical cost if purchased or constructed. Donated capital assets are recorded at acquisition value. The costs of normal maintenance and repairs that do not add to the value of the asset or materially extend assets’ lives are not capitalized. Property, plant, and equipment are depreciated using the straight-line method over the following estimated useful lives: Type of Assets Buildings and improvements Infrastructure Autos and trucks Other equipment Estimated Useful Life (In Years) 20 - 50 25 - 50 3 - 10 3 - 20 All infrastructure assets are reported on the government-wide financial statements. Infrastructure maintained by the County Department of Transportation consists of roadways, bridges and related assets. These assets are not depreciated as they are reported using the modified approach. Under the modified approach, the County’s roadway and bridge systems are being preserved at a specified condition level established by the County. For information on the modified approach, see Required Supplementary Information – Modified Approach for Infrastructure Assets. The Flood Control District accounts for the County’s remaining infrastructure assets consisting of drainage systems, dams, flood channels and canals. 45 Notes to the Financial Statements (Continued) H. Deferred Outflows and Inflows of Resources The statement of net position and balance sheet include separate sections for deferred outflows of resources and deferred inflows of resources. Deferred outflows of resources represent a consumption of net position that applies to future periods that will be recognized as an expense or expenditure in future periods. Deferred inflows of resources represent an acquisition of net position or fund balance that applies to future periods and will be recognized as revenue in future periods. I. Pensions For purposes of measuring the net pension liability, deferred outflows of resources and deferred inflows of resources related to pensions, and pension expense, information about the pension plan’s fiduciary net position and additions to /deductions from the plan’s fiduciary net position have been determined on the same basis as they are reported by the plan. For this purpose, benefit payments (including refunds of employee contributions) are recognized when due and payable in accordance with the benefit terms. Investments are reported at fair value. J. Fund Balance Classifications The governmental funds’ fund balances are reported separately within classifications based on a hierarchy of the constraints placed on those resources’ use. The classifications are based on the relative strength of the constraints that control how the specific amounts can be spent. The classifications are nonspendable, restricted, and unrestricted, which includes committed, assigned, and unassigned fund balance classifications. The nonspendable fund balance classification includes amounts that cannot be spent because they are either not in spendable form, such as inventories, or are legally or contractually required to be maintained intact. Restricted fund balances are those that have externally imposed restrictions on their usage by creditors (such as through debt covenants), grantors, contributors, or laws and regulations. The unrestricted fund balance category is composed of committed, assigned, and unassigned resources. Committed fund balances are self-imposed limitations the County’s Board of Supervisors approved, which is the highest level of decision-making authority within the County. Only the Board can remove or change the constraints placed on committed fund balances. Assigned fund balances are resources constrained by the County’s intent to be used for specific purposes, but that are neither restricted nor committed. Only the Board of Supervisors has authorization to assign fund balances. The unassigned fund balance is the residual classification for the General Fund and includes all spendable amounts not reported in the other classifications. Also, deficits in fund balances of the other governmental funds are reported as unassigned. The County’s policy is to account for most restricted and committed revenue sources (subject to legal restriction, etc.) by segregating them in a separate fund; however, by its nature, the General Fund may have several different classifications of fund balance. Therefore, when expending General Fund fund balance, if an expenditure is incurred that can be paid from either restricted or unrestricted fund balances, it is the County’s policy to use unrestricted fund balance first. For the disbursement of unrestricted fund balances, it is the County’s policy to use unassigned amounts first, followed by assigned amounts, and lastly committed amounts. K. Investment Income Investment income is composed of interest, dividends, and net changes in the fair value of applicable investments. 46 Notes to the Financial Statements (Continued) L. Compensated Absences Compensated absences consist of vacation leave and a calculated amount of sick leave employees earned based on services already rendered. Employees may accumulate, and roll-over from year-toyear, up to 240 or 320 hours (depending on employee classification) of vacation leave, but any vacation hours in excess of the maximum amount that are unused at calendar year-end convert to sick leave. Upon terminating employment, all unused vacation benefits are paid to employees. Accordingly, vacation benefits are accrued as a liability in the financial statements. Employees may accumulate an unlimited number of sick leave hours. Generally, sick leave benefits provide for ordinary sick pay and are cumulative but employees forfeit them upon terminating employment. Because sick leave benefits do not vest with employees, a liability for sick leave benefits is not accrued in the financial statements. However, upon retirement, County employees with accumulated sick leave in excess of 1,000 hours are entitled to a $10,000 nontaxable investment in a Post-Employment Health Plan (PEHP) established pursuant to Internal Revenue Code §501(c)(9). The obligations vested at June 30, 2016, under this policy are accrued as a liability. Compensated absences are substantially paid within one year from fiscal year-end and, therefore, are reported as a current liability on the government-wide financial statements. A liability for these amounts is reported in the governmental funds’ financial statements only if they have matured, for example, as a result of employee resignations and retirements by fiscal year-end. M. Other Disclosures Pursuant to A.R.S.§35-391, the County must disclose in its annual financial report the amount of any rewards, discounts, incentives or other financial consideration resulting from credit card payments. The County earned $380 thousand in credit card rebates during calendar year 2016. NOTE 2 – REPORTING CHANGES Beginning in fiscal year 2016, the County established the Superior Court Building Repair Fund (special revenue fund), a non-major governmental fund. NOTE 3 – BEGINNING BALANCES RESTATED On July 1, 2015, Maricopa County restated governmental funds beginning balance and governmental activities beginning net position by $730,404 for a prior period correction related to accrued liabilities that were incorrectly calculated for the Detention Operations Fund. On July 1, 2015, Maricopa County restated beginning net position for business-type activities by ($268,395) for a prior period correction to deferred outflows related to pensions which reported excess amounts for employee contributions for the Housing Authority Fund. Beginning net position was adjusted for the above, as follows: Net position reported as of June 30, 2015 Plus: Detention Operations Fund accrued liability correction Minus: Housing Authority Fund correction Net position as of July 1, 2015, as restated Governmental Activities $ 3,149,880,913 $ Business-type Activities 27,506,997 Total Governmental Funds $ 1,368,275,012 730,404 730,404 (268,395) $ 3,150,611,317 47 $ 27,238,602 $ 1,369,005,416 Notes to the Financial Statements (Continued) NOTE 4 – FUND BALANCE CLASSIFICATIONS OF THE GOVERNMENTAL FUNDS The fund balance classifications of the governmental funds as of June 30, 2016, were as follows: Detention Operations Fund General Fund Fund balances: Nonspendable: Inventory Loan receivable Total nonspendable $ 2,828,108 11,159,260 13,987,368 Restricted for: Capital projects Debt service Education Flood control Health and welfare Judicial activities Law enforcement Library District Other purposes Parks and recreation Social services Stadium District Transportation Waste management Total restricted $ 1,603,790 Unassigned Total fund balances $ Detention Capital Projects Fund County Improvement Fund $ $ 1,603,790 36,789,490 7,319,545 41,043,109 41,043,109 Committed to: Capital projects Debt service Health and welfare Other purposes Total committed Assigned to: General government Total assigned County Improvement Debt Fund 188,942,584 7,319,545 36,789,490 188,942,584 $ 36,789,490 $ 188,942,584 12,377,511 12,377,511 133,944,163 133,944,163 14,096,188 $ 162,027,719 $ 42,646,899 $ 19,697,056 (continued) 48 Notes to the Financial Statements (Continued) General Fund County Improvements Fund Fund balances: Nonspendable: Inventory Loan receivable Total nonspendable $ Technology Capital Improvement Fund $ $ Restricted for: Capital projects Debt service Education Flood control Health and welfare Judicial activities Law enforcement Library District Other purposes Parks and recreation Social services Stadium District Transportation Waste management Total restricted Committed to: Capital projects Debt service Health and welfare Other purposes Total committed 294,030,786 294,030,786 Other Governmental Funds 2,616,008 2,616,008 7,047,906 11,159,260 18,207,166 4,096,041 4,120,489 33,667,694 22,408,694 24,638,779 56,036,210 13,440,566 7,259,911 4,251,203 139,213 20,595,138 121,022,441 3,252,331 314,928,710 36,789,490 11,415,586 4,120,489 33,667,694 22,408,694 24,638,779 286,021,903 13,440,566 7,259,911 4,251,203 139,213 20,595,138 121,022,441 3,252,331 589,023,438 249,808,698 124,009 249,808,698 9,730,893 7,846,896 17,701,798 Assigned to: General government Total assigned $ 543,963,493 12,377,511 9,730,893 7,846,896 573,918,793 133,944,163 133,944,163 (7,626,568) 6,469,620 249,808,698 $ 327,619,948 $1,321,563,180 Unassigned Total fund balances Total $ 294,030,786 $ Stabilization Arrangements – The Board of Supervisors has the authority to authorize and establish a stabilization arrangement by formal action. Subsequent modification, addition to, or expenditure from any stabilization arrangements also requires formal action by the Board of Supervisors, the highest level of decision-making authority within the County. At June 30, 2016, the General Fund did not have fund balances committed for budget stabilization. 49 Notes to the Financial Statements (Continued) NOTE 5 – RECONCILIATION OF GOVERNMENT-WIDE AND FUND FINANCIAL STATEMENTS The Governmental Funds Balance Sheet includes the reconciliation between fund balances – total governmental funds and net position – Governmental Activities as reported in the government-wide Statement of Net Position. The details of this reconciliation follow: Fund balances – total governmental funds $ 1,321,563,180 Capital assets used in governmental activities are not financial resources and therefore, are not reported in the funds. Land Buildings and improvements Machinery and equipment Infrastructure Construction in progress Accumulated depreciation Net governmental funds capital assets at June 30, 2016 760,082,551 1,929,526,015 372,128,092 1,077,809,504 389,309,776 (954,893,664) 3,573,962,274 Some receivables are not available to pay for current period expenditures and therefore, are reported as unavailable revenue in funds. Unavailable revenue for property taxes receivable at June 30, 2016 Unavailable revenue for grant revenues receivable at June 30, 2016 Unavailable revenue for other revenues receivable at June 30, 2016 7,208,521 8,694,061 1,419,467 17,322,049 Internal service funds are used by management to charge the costs of equipment services, telecommunications, reprographics, risk management, employee benefits, and the sheriff warehouse to individual funds. The assets, deferred outflows of resources, liabilities, and deferred inflows of resources of the internal service funds are included in governmental activities in the Statement of Net Position. (43,974,237) Some long-term liabilities and compensated absences are not due and payable shortly after June 30, 2016, and therefore, are not reported in the funds. Noncurrent lease revenue bonds due in more than one year at June 30, 2016 Certificates of participation due in more than one year at June 30, 2016 Stadium District revenue bonds payable at June 30, 2016 Special assessment debt with governmental commitment payable at June 30, 2016 Governmental funds capital leases payable at June 30, 2016 Bond premium unamortized at June 30, 2016 Claims and judgments at June 30, 2016 Governmental funds compensated absences payable at June 30, 2016 Liability for closure and postclosure costs at June 30, 2016 Net pension liability at June 30, 2016 Accrued interest payable at June 30, 2016 (51,095,000) (185,580,000) (12,685,000) (14,628) (15,778,681) (10,809,836) (4,343,576) (73,769,530) (10,075,798) (1,586,319,114) (24,102) (1,950,495,265) Deferred outflows and inflows of resources related to pensions and deferred charges or credits on debt refundings are applicable to future reporting periods and, therefore, are not reported in the funds. Deferred outflows of resources related to pensions at June 30, 2016 Deferred inflows of resources related to pensions at June 30, 2016 Deferred charges on debt refunding at June 30, 2016 294,919,292 (73,394,177) 150,864 221,675,979 $ Net position of governmental activities 50 3,140,053,980 Notes to the Financial Statements (Continued) The governmental fund reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances is a reconciliation between net changes in fund balances – total governmental funds and changes in net position of governmental activities as reported in the government-wide Statement of Activities. The details of this reconciliation follow: Net change in fund balances – total governmental funds $ (47,187,217) Governmental funds report capital outlays as expenditures. However, in the Statement of Activities, the cost of those assets is allocated over their estimated useful lives and reported as depreciation expense. This is the amount by which capital outlays exceeded depreciation in the current period. Governmental funds capital outlay Government-wide depreciation expense for the year ended June 30, 2016 Add: Internal service funds depreciation expense for the year ended June 30, 2016 183,911,974 (92,883,453) 917,738 91,946,259 The net effect of various miscellaneous transactions involving capital assets is an increase to net position. Donations of capital assets Net value of disposed capital assets for the year ended June 30, 2016 Adjustment for net value of assets acquired in prior years 15,757,117 (10,007,217) 2,860,987 8,610,887 Revenues in the Statement of Activities that do not provide current financial resources are not reported as revenues in the funds. Grant revenues earned during the year ended June 30, 2016 Property taxes earned during the year ended June 30, 2016 Other revenue earned during the year ended June 30, 2016 1,517,366 136,080 18,411,789 20,065,235 The issuance of long-term debt (e.g., bonds, leases) provides current financial resources to governmental funds, while the repayment of the principal of long-term debt consumes the current financial resources of governmental funds. Neither transaction, however, has any effect on net position. Also, governmental funds report the effect of premiums, discounts, and similar items when debt is issued, whereas these amounts are amortized in the Statement of Activities. This amount is the net effect of these differences in the treatment of long-term debt and related items. Principal payments on lease revenue bonds Principal payments on Stadium District revenue bonds Principal payments on special assessment debt with governmental commitment Proceeds from capital leases Principal payments on capital leases Amortization of bond premium Amortization of deferred charges on debt refunding Accrued interest payable on long-term debt 33,570,000 3,325,000 17,618 (13,886,373) 4,295,124 5,236,976 (50,287) 6,317 32,514,375 Some expenses reported in the Statement of Activities do not require the use of current financial resources and therefore, are not reported as expenditures in governmental funds. Net increase in employee compensation payable Decrease in inventories Net increase in claims and judgments Net increase in liability for closure and postclosure costs (143,623) (255,019) (3,260,794) (1,863,760) (5,523,196) Internal service funds are used by management to charge the costs of equipment services, telecommunications, reprographics, risk management, employee benefits, and the sheriff warehouse to individual funds. The net expense of internal service funds is reported with governmental activities. (20,043,916) County pension contributions are reported as expenditures in the governmental funds when made. However, they are reported as deferred outflows of resources in the Statement of Net Position because the reported net pension liability is measured a year before the County’s report date. Pension expense, which is the change in the net pension liability adjusted for changes in deferred outflows and inflows of resources related to pensions, is reported in the Statement of Activities. County pension contributions Pension expense $ Change in net position of governmental activities 51 111,855,814 (202,795,578) (90,939,764) (10,557,337) Notes to the Financial Statements (Continued) NOTE 6 – STEWARDSHIP, COMPLIANCE, AND ACCOUNTABILITY At June 30, 2016, the following governmental and proprietary funds reported deficits in fund balance or net position. FUND DEFICIT Governmental Funds: Adult Probation Grants Air Quality Grants CDBG Housing Trust County Attorney Grants Emergency Management Environmental Services Grants Human Services Grants Medical Examiner Grants Non-Departmental Grants Public Defender Grants Public Health Grants School Grants Sheriff Grants Superior Court Fill the GAP Superior Court Grants Transportation Grants Proprietary Funds: Equipment Services Technology Infrastructure Reprographics Risk Management $ 58,299 96,901 414,548 144,086 91,773 15,938 3,004,788 621 799 6,388 583,471 1,843,749 489,033 30,665 82,304 35 $ 4,943 1,560,490 314,443 54,269,224 The deficits in fund balances for Adult Probation Grants, Air Quality Grants, CDBG Housing Trust, County Attorney Grants, Emergency Management, Environmental Services Grants, Human Services Grants, Medical Examiner Grants, Non-Departmental Grants, Public Defender Grants, Public Health Grants, School Grants, Sheriff Grants, Superior Court Grants, and Transportation Grants Funds were attributed to the deferring of certain grant revenues. The County accrues grant revenue received within 60 days after yearend, as it is available and measurable. Revenues received after 60 days are considered not available and are therefore not accrued. As of June 30, 2016, Equipment Services, Technology Infrastructure, and Reprographics Funds had deficit net positions of $4,943, $1,560,490, and $314,443, respectively. This is primarily due to the reporting of noncurrent net pension liabilities as a result of GASB Statement No. 68, Accounting and Financial Reporting for Pensions. The Risk Management Fund’s funding plan calls for the fiscal year ending cash balance to equal the next year’s estimated claims and claims related expenses. As of June 30, 2016, the total net position deficit was $54,269,224. This is primarily due to the Risk Management Fund not being funded for noncurrent accrued claim liabilities. The fund balance deficit for the Superior Court Fill the GAP Fund resulted from operations during the year and is expected to be corrected during normal operations in fiscal year 2017. 52 Notes to the Financial Statements (Continued) NOTE 7 – DEPOSITS AND INVESTMENTS Arizona Revised Statutes (A.R.S.) authorize the County to invest public monies in the State Treasurer’s investment pool; obligations issued or guaranteed by the United States or any of the senior debt of its agencies, sponsored agencies, corporations, sponsored corporations, or instrumentalities; specified state and local government bonds, notes, and other evidences of indebtedness; interest-earning investments such as savings accounts, certificates of deposit, and repurchase agreements in eligible depositories; specified commercial paper issued by corporations organized and doing business in the United States; specified bonds, debentures, notes, and other evidences of indebtedness that are denominated in United States dollars; and certain open-end and closed-end mutual funds, including exchange traded funds. In addition, the County Treasurer may invest trust funds in certain fixed income securities of corporations doing business in the United States or District of Columbia. Credit risk Statutes have the following requirements for credit risk: 1. Commercial paper must be of prime quality and be rated within the top two ratings by a nationally recognized rating agency. 2. Bonds, debentures, notes, and other evidences of indebtedness that are denominated in United States dollars must be rated “A” or better at the time of purchase by at least two nationally recognized rating agencies. 3. Fixed income securities must carry one of the two highest ratings by Moody’s investors service and Standard and Poor’s rating service. If only one of the above-mentioned services rates the security, it must carry the highest rating of that service. Custodial credit risk Statutes require collateral for deposits at 102 percent of all deposits federal depository insurance does not cover. Concentration of credit risk Statutes do not include any requirements for concentration of credit risk. Interest rate risk Statutes require that public monies invested in securities and deposits have a maximum maturity of 5 years. However, the Stadium District is allowed by a separate statute to invest monies, not held for operations, in eligible investments with a maturity of greater than 5 years. The maximum maturity for investments in repurchase agreements is 180 days. Foreign currency risk Statutes do not allow foreign investments, unless the investment is denominated in United States dollars. Deposits - At June 30, 2016, the carrying amount of the County’s deposits was $712,156,154 and the bank balance was $728,489,518. It is the County’s investment policy to collateralize all deposits not covered by depository insurance in accordance with Statutes. At a minimum, the collateral is to be held by the pledging financial institution or its agent, but does not have to be held in the County’s name. At June 30, 2016, $5,140,699 of County’s bank balance was exposed to custodial credit risk as follows: Uninsured with collateral held by the pledging financial institution’s trust department or agent but in the County’s name $ 5,140,699 Investments – The County’s investments at June 30, 2016, categorized within the fair value hierarchy established by generally accepted accounting principles, were as follows: 53 Notes to the Financial Statements (Continued) Investments by fair value level U.S. Treasury securities Fair value measurement using Quoted prices in active Significant markets for other Significant identical observable unobservable assets inputs inputs (Level 1) (Level 2) (Level 3) Amount $ U.S. agency securities 160,405,469 $ 2,531,076,499 School bonds $ 160,405,469 $ 2,531,076,499 100,937,632 Mutual funds with trustee Total investments by fair value level 100,937,632 28,711,852 17,238,519 11,473,333 2,821,131,452 2,708,720,487 112,410,965 Investments measured at amortized cost School bonds School tax anticipation notes shortterm 38,032,870 230,522,536 Other investments Total investments measured at amortized cost Total investments 677,857 269,233,263 $ 3,090,364,715 Investments categorized as level 1 are valued using prices quoted in active markets for those investments. Investments categorized as level 2 are valued using bid and ask prices. The price within the bid-ask spread that is most representative of fair value was used to measure fair value. Investments categorized as level 3 are valued using information for similar assets, when available. Investments measured at amortized cost are those that mature within 90 days of year end. The $677,857 of other investments are related to the Public Fiduciary, which invests in equities, mutual funds, U.S. Treasury securities, and other types of investments as directed by court order. As these investment amounts are immaterial, no deposits or investment risk (credit risk, custodial credit risk, concentration of credit risk, and interest rate risk) disclosures will be reported for these investments. Credit risk – It is the County’s investment policy to preserve the principal value and the interest income of an investment. The County can invest in obligations issued or guaranteed by the United States or any of the senior debt of its agencies, sponsored agencies, corporations, or instrumentalities. The County can also invest in commercial paper and corporate bonds with ratings that meet the statutory requirements specified above. At June 30, 2016, credit risk for the County’s investments was as follows: Investment Type U. S. agency securities U. S. agency securities U. S. agency securities U. S. agency securities School bonds School tax anticipation notes short-term Mutual funds with trustee Rating Rating Agency Aaa P-1 Unrated AA+ Unrated Unrated Aaa-mf Moody’s S&P Not applicable S&P Not applicable Not applicable Moody’s Amount $ $ 979,154,511 1,385,177,928 29,501,920 137,242,140 138,970,502 230,522,536 28,711,852 2,929,281,389 The $29,501,920 of unrated U.S. agency securities are fixed income bonds issued by the Federal Farm Credit Banks (FFCB) and Federal Home Loan Banks (FHLB) which were rated Aaa at the time of purchase. The $138,970,502 and $230,522,536 of unrated school bonds and tax anticipation notes, respectively, are issued by various school districts that deposit their monies with the County Treasurer. Custodial credit risk – For an investment, custodial credit risk is the risk that, in the event of the counterparty’s failure, the County will not be able to recover the value of its investments or collateral 54 Notes to the Financial Statements (Continued) securities that are in an outside party’s possession. It is the County’s investment policy that all of the Treasurer’s securities be held by the agent or trust department and in the County’s name. At June 30, 2016, the County did not have investments exposed to custodial credit risk. Concentration of credit risk – It is the County’s investment policy to preserve the principal value of its investments. However, due to the limited investments allowed under statutes and the desire to preserve the principal value, the County’s investments may have a concentration of credit risk of more than 5 percent of total investments in one issuer. Five percent or more of the County’s investments at June 30, 2016, were in the Federal Home Loan Bank (FHLB), the Federal Home Loan Mortgage Corporation (Freddie Mac), the Federal National Mortgage Association (Fannie Mae), and the Federal Farm Credit Banks (FFCB). These investments were 40.9 percent, 18.7 percent, 13.5 percent, and 8.7 percent, respectively, of the County’s total investments. Interest rate risk – It is the County’s investment policy to hold investments to maturity, where practical, and avoid any loss on investments resulting from an early sale or retirement of an investment. Additionally, securities should be invested for a shorter duration, where applicable. At June 30, 2016, the County had the following investments in debt securities: Investment Type Investment Maturities Less than 1–5 1 Year Years Amount U.S. Treasury securities U.S. agency securities School bonds School tax anticipation notes short-term Mutual funds with trustee $ 160,405,469 2,531,076,499 138,970,502 230,522,536 28,711,852 $ 3,089,686,858 $ 75,090,820 1,495,140,868 43,681,374 230,522,536 28,711,852 $ 1,873,147,450 $ 85,314,649 1,035,935,631 95,289,128 $ 1,216,539,408 Foreign currency risk – The County does not have a formal investment policy with respect to foreign currency risk because State statutes do not allow foreign investments. A reconciliation of cash, deposits, and investments to amounts shown on the Statements of Net Position follows: Cash, deposits and investments: Cash on hand $ 233,191 Amount of deposits 712,156,154 Amount of investments 3,090,364,715 Total $ 3,802,754,060 Governmental Business-type Investment Agency Activities Activities Trust Funds Funds Total Statement of Net Position: Cash in bank and on hand $ 35,480,159 $ 4,093,117 $ $ Cash and investments in bank and on hand Cash and investments held by County Treasurer 1,219,704,138 2,360,796,956 Cash and cash equivalents - restricted Cash and investments held by trustee Total 1,775,344 28,716,863 $ 1,283,901,160 $ 39,573,276 28,510,325 28,510,325 123,677,158 3,704,178,252 1,775,344 28,716,863 $ 55 5,868,461 $ 2,360,796,956 $ 152,187,483 $ 3,802,754,060 Notes to the Financial Statements (Continued) NOTE 8 – CONDENSED FINANCIAL STATEMENTS OF COUNTY TREASURER’S INVESTMENT POOL Arizona Revised Statutes require community colleges, school districts, and other local governments to deposit certain public monies with the County Treasurer. The Treasurer has a fiduciary responsibility to administer those and the County’s monies under his stewardship. The Treasurer invests, on a pool basis, all idle monies not specifically invested for a fund or program. In addition, the Treasurer determines the fair value of those pooled investments monthly and at June 30. The County Treasurer’s investment pool is not registered with the Securities and Exchange Commission as an investment company and there is no regulatory oversight of its operations. The pool’s structure does not provide for shares, and the County has not provided or obtained any legally binding guarantees to support the value of the participants’ investments. The Treasurer allocates interest earnings to each of the pool’s participants. However, for the County’s monies in the pool, the Board of Supervisors authorized $3,298,769 of interest earned in certain other funds to be transferred to the General Fund. The deposits and investments held by the County are included in the County Treasurer’s investment pool, except for $228,191 of cash on hand, $68,957,908 of deposits, $28,711,852 of mutual funds with trustee and $677,857 of other investments. Therefore, the deposit and investment risks of the Treasurer’s investment pool are substantially the same as the County’s deposit and investment risks. See Note 7 – Deposits and Investments for disclosure of the County’s deposit and investment risks. Details of each major investment classification follow: Investment Type Principal U. S. Treasury securities U. S. agency securities School bonds School tax anticipation notes short-term $ Interest Rates Maturities 0.63 – 1.00% 0.00 – 1.50% 0.93 – 5.96% 0.81% 12/16 – 12/17 7/16 – 11/19 7/16 – 7/19 7/16 159,919,922 2,528,795,858 147,455,159 231,039,370 Reported Amount $ 160,405,469 2,531,076,499 138,970,502 230,522,536 A condensed statement of the investment pool’s net position and changes in net position follows: Statement of Net Position Assets $ 3,709,508,405 $ 3,709,508,405 $ 1,221,604,149 Liabilities Net position Net position held in trust for: Internal participants External participants 2,487,904,256 Total net position held in trust $ 3,709,508,405 Statement of Changes in Net Position Total additions $ 10,317,272,985 Total deductions 10,300,072,398 Net increase $ 17,200,587 Net position held in trust: July 1, 2015 3,692,307,818 June 30, 2016 $ 56 3,709,508,405 Notes to the Financial Statements (Continued) NOTE 9 – RECEIVABLES Receivables as of year-end for the County’s individual major funds and nonmajor funds in the aggregate are shown as follows. Taxes receivable does not have an allowance for uncollectible taxes, as the amount is considered immaterial. All other receivables are considered collectible. Governmental Funds General Fund Receivables: Taxes Accounts Accrued interest Special assessments Total receivables $ 9,173,523 24,365 975,620 $ 10,173,508 Detention Operations Fund County Improvement Debt Fund County Improvement Fund Other Governmental Funds $ $ $ $ 365,883 20,617 $ 365,883 $ 68,255 20,617 $ 68,255 1,166,470 Total $ 10,339,993 24,365 1,818,562 388,187 $ 9,872 1,564,529 $ 9,872 12,192,792 NOTE 10 – DUE FROM OTHER GOVERNMENTAL UNITS Amounts due from other governmental units at June 30, 2016, as reported on the Governmental Funds balance sheet are as follows: Governmental Funds Detention Operations Fund General Fund Due from other governments: State-shared sales tax Vehicle license tax Highway user revenue Jail tax Other surcharges collected by the state Grants and contributions from state and federal Reimbursement for services provided to the state, cities and towns Total due from other governments $ 83,448,551 14,741,284 $ Other Governmental Funds $ Total 1,969,807 $ 83,448,551 15,789,920 17,854,303 24,728,637 1,969,807 1,048,636 17,854,303 24,728,637 2,898,118 3,710 43,351,517 46,253,345 516,552 $101,604,505 3,369,604 $ 28,101,951 882,015 $ 65,106,278 4,768,171 $194,812,734 NOTE 11 – INTERGOVERNMENTAL LOANS At June 30, 2016, the County reported intergovernmental loans of $12,556,431. This amount consists of outstanding principal of $11,663,240 and accrued interest of $893,191 for an intergovernmental loan to the Maricopa County Special Health Care District, a separate legal entity. On July 1, 2005, the County provided a $15,433,000 ten-year loan to the Maricopa County Special Health Care District. The terms of the loan, as outlined in the Third Amendment to Assistance Package Intergovernmental Agreement dated October 7, 2015, include the first five years interest free, accrued interest for the second five-year period, and interest on the principal only at the rate of 1.5 percent per annum for the remaining twelve installments. The final installment of the loan is due August 31, 2018. 57 Notes to the Financial Statements (Continued) NOTE 12 – CAPITAL ASSETS Capital asset activity for the year ended June 30, 2016, was as follows: Balance July 1, 2015 Governmental activities: Nondepreciable assets: Land Construction in progress Infrastructure $ Total capital assets not being depreciated Depreciable assets: Buildings and improvements Machinery and equipment Infrastructure Total Less accumulated depreciation for: Buildings and improvements Machinery and equipment Infrastructure Total Increase 749,522,329 279,652,122 726,928,541 $ $ 4,603,319 43,677,604 2,055,820 $ 760,082,551 389,309,776 740,748,418 1,756,102,992 184,374,496 50,336,743 1,890,140,745 1,897,896,950 381,642,890 336,363,699 32,045,323 27,560,134 697,387 416,258 21,278,750 1,929,526,015 387,924,274 337,061,086 2,615,903,539 60,302,844 21,695,008 2,654,511,375 511,136,077 283,706,615 100,349,319 51,208,342 34,852,158 6,822,953 122,392 20,380,980 562,222,027 298,177,793 107,172,272 895,192,011 92,883,453 20,503,372 967,572,092 (32,580,609) 1,191,636 1,686,939,283 1,720,711,528 Total capital assets being depreciated, net 15,163,541 153,335,258 15,875,697 Balance June 30, 2016 Decrease Governmental activities capital assets, net $ 3,476,814,520 $ 151,793,887 $ 51,528,379 $ 3,577,080,028 Business-type activities: Nondepreciable assets: Land Construction in progress Total capital assets not being depreciated $ 4,687,545 12,366 4,699,911 $ 132,252 171,795 304,047 $ 100,000 144,570 244,570 $ 4,719,797 39,591 4,759,388 Depreciable assets: Buildings and improvements Machinery and equipment Total 70,430,262 1,082,135 71,512,397 160,315 Less accumulated depreciation for: Buildings and improvements Machinery and equipment Total Total capital assets being depreciated, net Business-type activities capital assets, net $ 160,315 16,222,018 11,940 16,233,958 54,368,559 1,070,195 55,438,754 43,274,598 800,635 44,075,233 1,899,604 38,767 1,938,371 13,934,100 11,938 13,946,038 31,240,102 827,464 32,067,566 27,437,164 (1,778,056) 2,287,920 23,371,188 32,137,075 $ (1,474,009) $ 2,532,490 $ 28,130,576 The County pledged certain governmental activities land and buildings as collateral for various lease revenue bonds. See Note 14 – Long-term Liabilities for additional information regarding outstanding bonds at June 30, 2016. 58 Notes to the Financial Statements (Continued) Depreciation expense was charged to functions as follows: Government activities: General government Public safety Highways and streets Health, welfare and sanitation Culture and recreation Education Internal service funds Total governmental activities depreciation expense $ 32,351,027 42,045,686 3,981,625 3,220,185 10,178,688 188,504 917,738 $ 92,883,453 Business-type activities Housing Authority Total business-type activities depreciation expense $ 1,938,371 $ 1,938,371 NOTE 13 – CONSTRUCTION AND OTHER SIGNIFICANT COMMITMENTS At June 30, 2016, Maricopa County had the following major contractual commitments related to various capital projects. Commitments have been grouped into four major categories: Transportation Construction Projects, Flood Control Construction Projects, Technology Improvement Projects, and Construction of Various County Facilities. Transportation Construction Projects At June 30, 2016, the Maricopa County Transportation Department had contractual commitments of $12,269,019 for construction of various roadway projects. At June 30, 2016, the County had spent $73,090,125 on these projects and had related estimated cost of completion based on the project budgets of $336,181,000, of which not all projects may be completed. Funding for these expenditures will be provided from Highway User Fuel Tax, the primary source of revenue for the Transportation Department. These projects are accounted for in the Transportation Capital Projects Fund (nonmajor governmental fund). Flood Control Construction Projects At June 30, 2016, the Maricopa County Flood Control District had contractual commitments of $52,166,043 for the construction of various flood control projects. At June 30, 2016, the County had spent $179,904,954 on these projects and had related estimated cost of completion based on the project budgets of $265,782,000, of which not all projects may be completed. Funding for these expenditures will be provided from the Flood Control District’s tax levy of property within Maricopa County, the primary source of revenue for the Flood Control District. These projects are accounted for in the Flood Control Capital Projects Fund (nonmajor governmental fund). Technology Improvement Projects At June 30, 2016, Maricopa County had contractual commitments of $69,452,242, including retention payable, related to major capital projects accounted for in the County Improvement Fund (major governmental fund), which are financed primarily by the Certificates of Participation, Series 2015. At June 30, 2016, the County had spent $89,922,335 on these projects and had related estimated cost of completion based on the project budgets of $107,461,544, of which not all projects may be completed. At June 30, 2016, Maricopa County had contractual commitments of $28,319,575, including retention payable, related to a major capital project accounted for in the Technology Capital Improvement Fund (major governmental fund) funded predominantly through transfers from the General Fund. At June 30, 2016, the County had spent $2,636,174 on this project and had a related estimated cost of completion of $31,023,916 based on the project budget. 59 Notes to the Financial Statements (Continued) Construction of Various County Facilities At June 30, 2016, Maricopa County had contractual commitments of $11,066,368 related to major capital projects accounted for in the County Improvement Fund (major governmental fund), which are financed primarily by the Certificates of Participation, Series 2015. At June 30, 2016, the County had spent $8,278,641 on these projects and had related estimated cost of completion based on the project budgets of $21,708,913, of which not all projects may be completed. At June 30, 2016, Maricopa County had contractual commitments of $4,833,256, including retention payable, relating to major capital projects accounted for in the General Fund County Improvements Fund, County Improvement Fund, and Detention Capital Projects Fund (major governmental funds) and funded predominantly through transfers from the General Fund and Detention Operations Fund, respectively. At June 30, 2016, the County had spent $15,291,157 on these projects and had related estimated cost of completion based on the project budgets of $311,636,211, of which not all projects may be completed. NOTE 14 – LONG-TERM LIABILITIES The following schedule details the County’s long-term liability and obligation activity for the year ended June 30, 2016. Balance July 1, 2015 Governmental activities: Bonds, loans, and other payables: Lease revenue bonds Certificates of participation Stadium District revenue bonds Special assessment debt with governmental commitment Capital Leases $ 97,135,000 185,580,000 16,010,000 Additions $ Balance June 30, 2016 Reductions $ 42,380,000 $ 3,325,000 54,755,000 185,580,000 12,685,000 Due Within One Year $ 3,660,000 3,405,000 44,727 8,329,091 307,098,818 16,046,812 13,886,373 13,886,373 21,814 4,234,253 49,961,067 5,236,976 22,913 17,981,211 271,024,124 10,809,836 8,285 9,440,380 16,513,665 323,145,630 13,886,373 55,198,043 281,833,960 16,513,665 1,082,782 3,260,794 4,343,576 4,343,576 83,306,741 161,836,957 150,447,919 94,695,779 29,029,590 8,212,038 2,444,683 580,923 10,075,798 511,132 1,457,218,809 145,637,183 595,836 1,602,260,156 1,549,820,370 313,179,617 151,624,678 1,711,375,309 33,884,298 $ 1,872,966,000 $ 327,065,990 $ 206,822,721 $ 1,993,209,269 $ 50,397,963 $ 1,792,280 4,071,132 569,111 3,713,222 $ $ 58,220 81,600 34,015 5,615 $ 1,734,060 3,989,532 602,404 3,707,607 $ 64,897 90,476 3,687 10,145,745 $ $ 179,450 $ 10,033,603 $ 159,060 Plus: bond premium Total bonds, loans, and other payables Other liabilities: Claims and judgments Reported and incurred but not reported claims Liability for closure and postclosure costs Net pension liabilities Total other liabilities Governmental activities long-term liabilities Business-type activities: Capital leases, loans, and other payables: Capital Leases Loans payable Other long-term debt Net pension liabilities Business-type activities long-term liabilities $ 67,308 60 67,308 Notes to the Financial Statements (Continued) Bonds, loans, and other payables were as follows at June 30, 2016: Lease Revenue Bonds On May 23, 2007, the Maricopa County Public Finance Corporation issued $108,100,000 of Lease Revenue Bonds to pay for the acquisition, construction, and renovation of the Durango Animal Care and Control Facility; Southeast, Southwest, San Tan, One West Madison and Sunnyslope Justice Court Facilities; and Central Court Building. Under the terms of the bond indentures, the Corporation received the proceeds to construct and purchase these assets and the County will make lease payments to extinguish the debt. Lease payments will equal the aggregate amount of principal and interest due at that date. Upon the final lease payment, the title to the assets will transfer to the County. The County’s obligation to make lease payments will be subject to and dependent upon annual appropriations being made by the County. Bonds maturing on and after July 1, 2017, are subject to optional redemption in increments of $5,000 on July 1, 2016, or any date thereafter, at par plus accrued interest to the date fixed for redemption. In the event of nonappropriation, the bonds would be subject to special redemption at par plus accrued interest to the redemption date. The bonds are secured by the collateralization of certain County assets. On June 22, 2016, the Maricopa County Public Finance Corporation extinguished a portion of the Lease Revenue Bonds, 2007A, in the amount of $29,910,000. The County placed the cash in an irrevocable trust to refund the bonds which were called for redemption on July 22, 2016. The following Lease Revenue Bonds were outstanding as of June 30, 2016: DESCRIPTION 2007A Lease Revenue Bonds AMOUNT OF ISSUE INTEREST RATES MATURITY DATES $ 108,100,000 4.00 – 5.00% 7-1-16/27 OUTSTANDING AT JUNE 30, 2016 $ 54,755,000 Annual debt service requirements to maturity for the County’s Lease Revenue Bonds are as follows: Governmental Activities Year Ending June 30 Principal Interest Total 2017 3,660,000 3,077,399 6,737,399 2018 3,845,000 2,309,193 6,154,193 2019 4,040,000 2,112,068 6,152,068 2020 4,240,000 1,926,268 6,166,268 2021 4,410,000 1,731,218 6,141,218 2022-26 25,405,000 5,250,427 30,655,427 2027-28 Total 9,155,000 $ 368,080 54,755,000 $ 16,774,653 9,523,080 $ 71,529,653 Certificates of Participation On June 25, 2015, Maricopa County issued $185,580,000 of Certificates of Participation to pay for the acquisition of capital equipment and various capital projects. Some of the larger projects include: Public Radio System, Technology Infrastructure Refresh, Southwest Justice Courts, Enterprise Resource Planning System, and the Enterprise Data Center. The 2015 Certificates were executed and delivered under a trust agreement, dated June 1, 2015. Certificates of participation represent proportionate interests in semiannual lease payments. The County’s obligation to make lease payments is subject to annual appropriations made by the County for that purpose. The certificates have interest rates ranging from 3.0 to 5.0 percent, payable semiannually on January 1 and July 1 each year through 2018. 61 Notes to the Financial Statements (Continued) The following certificates of participation were outstanding at June 30, 2016: DESCRIPTION AMOUNT OF ISSUE Certificates of Participation, Series 2015 $ 185,580,000 INTEREST RATES MATURITY DATES 3.0 – 5.0% 7-1-17/18 OUTSTANDING AT JUNE 30, 2016 $ 185,580,000 Annual debt service requirements to maturity for certificates of participation are as follows: Year Ending June 30 2017 2018 2019 Total Governmental Activities Principal Interest 8,579,000 90,625,000 6,413,375 94,955,000 2,123,875 $ 185,580,000 $ 17,116,250 Stadium District Revenue Bonds Stadium District Revenue Refunding Bonds are special obligations of the District. The bonds are payable solely from pledged revenues, consisting of auto rental surcharges levied and collected by the Stadium District pursuant to A.R.S. §48-4234. Under the statute, the Stadium District may set the surcharge at $2.50 on each lease or rental of a motor vehicle licensed for hire, for less than one year, and designed to carry fewer than 15 passengers, regardless of whether such vehicle is licensed in the State of Arizona. The Stadium District Board of Directors initially levied a surcharge at a rate of $1.50 beginning in January 1992 and increased the surcharge to $2.50, the maximum amount permitted by statute, in January 1993. The District has pledged future auto rental surcharge revenue to repay the $25,140,000 in revenue refunding bonds, which were issued in September 2012. Proceeds from the bond issuance provided financing to refund previously issued bonded debt for the construction of Cactus League facilities. The bonds do not constitute a debt or a pledge of the faith or credit of Maricopa County, the State of Arizona, or any other political subdivision. The payment of the bonds is enforceable solely out of the pledged revenues and no owner shall have any right to compel any exercise of taxing power of the District, except for surcharges. Total principal and interest remaining to be paid on the bonds is $13,318,042, payable through June 2019. Principal and interest paid for the current year and total auto rental surcharge revenues were $3,690,028, and $4,772,583, respectively. The Stadium District had the following revenue bonds outstanding at June 30, 2016: DESCRIPTION AMOUNT OF ISSUE 2012 Revenue Refunding Bonds $ INTEREST RATES MATURITY DATES 2.28% 6-1-17/19 25,140,000 OUTSTANDING AT JUNE 30, 2016 $ Annual debt service requirements to maturity for Stadium District bonds are as follows: Governmental Activities Year Ending June 30 Principal Interest 2017 3,405,000 289,218 2018 3,480,000 211,584 2019 Total 5,800,000 $ 62 12,685,000 132,240 $ 633,042 12,685,000 Notes to the Financial Statements (Continued) Capital Leases The County has entered into various lease-purchase agreements, which are non-cancellable, for the acquisition of the following equipment: Governmental Activities Construction in Progress - Computer Systems and Equipment Computer Systems and Equipment $ Total Capital Assets Accumulated Depreciation 3,038,481 4,500,283 7,538,764 (1,293,722) Net Value of Leased Capital Assets $ 6,245,042 These lease-purchase agreements require the County to pay all maintenance costs. At the time of the final principal and interest payments, title to the leased equipment transfers to the County. These leases are contingent on budgetary appropriations each fiscal year. The assets are capitalized at total principal cost. The following schedule details debt service requirements to maturity for the County’s capital leases payable at June 30, 2016. Governmental Activities Year Ending June 30 2017 2018 2019 2020 $ Total minimum lease payments Amount representing interest 9,774,799 7,125,295 1,281,093 322,894 18,504,081 (522,870) Present value of net minimum lease payments $ 17,981,211 The present value of net minimum lease payments at June 30, 2016, of $17,981,211 exceeds the total capital assets of $7,538,764 because a significant portion of the assets acquired through capital leases are for computer related equipment that is below the County’s capitalization threshold. Housing Authority of Maricopa County Capital Leases Obligation The Housing Authority of Maricopa County entered into a long-term lease commitment for equipment that has been accounted for as a capital lease. The lease obligation is part of a U.S. Department of Housing and Urban Development approved Energy Performance Contract (EPC) that provides for continued Public Housing funding and certain incentives for increasing the energy efficiency of Public Housing Units. The assets are currently capitalized as Building Improvements with a cost of $1,792,280, less accumulated depreciation of $179,779, for a carrying value of $1,612,501. At June 30, 2016, the balance on this obligation is $1,734,060. Annual debt service requirements to maturity for Housing Authority capital lease obligations are as follows: Business-type Activities Year Ending June 30 2017 2018 2019 2020 2021 2022-26 2027-30 Total Principal 64,897 71,986 79,506 87,480 95,930 624,836 709,425 $ 1,734,060 $ 63 Interest 64,130 61,730 59,068 56,127 52,892 204,325 67,989 566,261 Total 129,027 133,716 138,574 143,607 148,822 829,161 777,414 $ 2,300,321 Notes to the Financial Statements (Continued) Housing Authority of Maricopa County Loans Payable The Housing Authority of Maricopa County’s Component Unit, Maricopa Revitalization Partnership, L.L.C., has a promissory note payable to Community Service of Arizona, Inc. The note bears an interest rate of 0.50% and is collateralized by investment in real estate. The balance on this note shall be paid at the earlier of the date of sale of the property; breach of covenant, condition or restriction; or 15 years after the date of the project completion. At June 30, 2016, the balance on this note was $ 570,000. The Housing Authority of Maricopa County’s Component Unit, Rose Terrace Development Partnership Phase II, L.L.C., has a promissory note payable to Mutual of Omaha Bank. The note bears an interest rate of 5.5% and is collateralized by investment in real estate. Monthly principal and interest payments of $2,814 will continue through February 2020, at which time a balloon payment of $328,340 is due. At June 30, 2016, the balance on this note was $ 383,398. On December 21, 2012, the Housing Authority of Maricopa County’s Component Unit, Rose Terrace Development Partnership, L.L.C., entered into a promissory note payable with First Bank. The note bears interest at 4.75% through January 1, 2018, and then increases to the greater of 6.00% or the 5-year Treasury Rate plus 3%. Monthly installments of principal and interest of $13,793 are payable through January 1, 2018, at which point the note will be amortized for the balance through the maturity date of October 1, 2022. At June 30, 2016, the balance on this note was $2,500,549. On March 4, 2014, the Housing Authority of Maricopa County entered into a repayment agreement with the U.S. Department of Housing and Urban Development (HUD) totaling $115,524 to repay misused program funds as determined by the 2010 HUD Limited Management and Financial Review. The agreement bears no interest and calls for equal annual payments of $11,552 from non-federal resources beginning June 30, 2014, and ending June 30, 2023. At June 30, 2016, the balance on this note was $80,865. The Housing Authority of Maricopa County entered into a repayment agreement with the U.S. Department of Housing and Urban Development (HUD) totaling $468,781 to repay misused program funds, as determined by a HUD Quality Assurance Division review, which was finalized in 2015. The agreement bears no interest and calls for equal annual payments of $18,751 from non-federal resources beginning January 1, 2016 and ending January 1, 2041. At June 30, 2016, the balance on this note was $454,720. Annual debt service requirements to maturity for Housing Authority loans payable are as follows: Business-type Activities Year Ending June 30 2017 2018 2019 2020 2021 2022-26 2027-31 2032-36 2037-41 $ Total 64 Principal 90,476 93,905 657,546 90,302 406,469 2,383,623 93,755 93,755 79,701 3,989,532 Notes to the Financial Statements (Continued) Funding Source for Governmental Activities Liabilities Governmental Funds Liabilities Funding Source Lease revenue bonds Certificates of participation Capital leases Stadium District revenue bonds Special assessment debt with governmental commitment Claims and judgments County Improvement Debt Fund County Improvement Debt Fund County Improvement Debt Fund Stadium District Debt Service Fund (nonmajor debt service fund) Special Assessment Fund (nonmajor debt service fund) General Fund, Transportation Operations Fund and Flood Control Fund (nonmajor special revenue funds) Risk Management Fund and Employee Benefits Trust Fund (internal service funds) General Fund Various funds Reported and incurred but not reported claims Liability for closure and postclosure costs Net pension liabilities Legal Debt Margin County indebtedness pertaining to general obligation bonds may not exceed six percent of the value of the County’s taxable property ascertained by the last assessment. However, with voter approval, the County may become indebted for an amount not to exceed fifteen percent of such taxable property. At June 30, 2016, the allowable six and fifteen percent limits were $2,077,420,219 and $5,193,550,548, respectively. The County had no outstanding general obligation debt at June 30, 2016, and was therefore within the legal debt margin. Arbitrage Compliance The County is in compliance with all Federal arbitrage regulations for tax-exempt debt securities. As of June 30, 2016, the County had no arbitrage liability. NOTE 15 – MUNICIPAL LANDFILL CLOSURE AND POSTCLOSURE CARE COSTS The County has five landfills which are subject to closure and postclosure care requirements. Federal and State laws and regulations require the County to place a final cover on all its landfill sites when they stop accepting waste and to perform certain maintenance and monitoring functions at the sites for 30 years after closure. Although one landfill is exempt from these regulations, the County is performing postclosure monitoring of this site and has included the estimated costs in the closure and postclosure liability. The County’s last remaining landfill stopped accepting waste May 2007 and the final cover was completed in October 2010. At June 30, 2016, the County updated the estimates required to pay for closure, cleanup, remedial actions and monitoring at the County's five landfill sites, in accordance with generally accepted accounting principles. The County estimated these costs to be approximately $10,075,798. The County’s estimate for closure and postclosure care requirements for the five landfills are subject to change due to inflation, changes in technology, changes in regulations, or results of the investigational study. All associated closure and postclosure costs will be paid from the General Fund. These amounts are based on what it would cost to perform all closure and postclosure care and remedial investigation costs in fiscal year 2016. According to Federal and State laws and regulations, the County must comply with the local government financial test requirements that assure the County can meet the costs of landfill closure, postclosure, and corrective action when needed. The County is in compliance with these requirements. 65 Notes to the Financial Statements (Continued) NOTE 16 – MUNICIPAL REVOLVING LINE OF CREDIT AND IRREVOCABLE STANDBY LETTER OF CREDIT On July 1, 2015, the County maintained a $35,000,000 municipal revolving line of credit with qualified interest rate of 61% and non-qualified interest rate of 66% of the bank’s prime rate which had a maturity date of June 30, 2016. Outstanding principal and interest is due on June 30 of each year. During fiscal year 2016, the County had not borrowed against the line of credit. The municipal revolving line of credit was renewed to June 30, 2017. On July 1, 2015, the County maintained a $15,151,706 irrevocable standby letter of credit issued to the Industrial Commission of Arizona for unfunded workers’ compensation claims. On December 31, 2015, the letter of credit was increased to $15,705,634. The letter of credit was reserved against the municipal revolving line of credit. During fiscal year 2016, the letter of credit had not been drawn upon. The irrevocable standby letter of credit renewed to June 30, 2017. NOTE 17 – OPERATING LEASES The County’s operating leases are for land, buildings, office equipment, and vehicles under the provisions of various long-term lease agreements classified as operating leases for accounting purposes. Rental expenses under the terms of these operating leases for governmental activities were $10,846,129 for the year ended June 30, 2016. These operating leases have remaining lease terms from one to fifteen years. Also, they provide renewal options and are contingent on budgetary appropriations each fiscal year. The future minimum rental payments required under these operating leases as of June 30, 2016, are as follows: Year Ending June 30 2017 2018 2019 2020 2021 2022-2026 2027-2031 Total minimum payments required Governmental Activities 10,376,295 9,758,430 5,687,909 3,131,258 1,117,183 449,165 342,925 $ 30,863,165 NOTE 18 – RISK MANAGEMENT The Risk Management Fund (internal service fund) accounts for the financing of the insured risk of loss related to torts; theft of, damage to, and destruction of assets; errors and omissions; injuries to employees and natural disasters. The County is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets; errors and omissions; injuries to employees; and natural disasters. The County carries commercial insurance for all such risks of loss, including workers’ compensation and employees’ health and accident insurance. Settled claims resulting from these risks have not exceeded this commercial coverage since the inception of these insurance policies. Liabilities for unpaid claims are estimates determined by an independent actuary using the following actuarial methods: developed paid loss, developed reported incurred losses, developed case reserves, frequency times severity analysis, loss rate analysis, and the Bornhuetter-Ferguson method. Accrued actuarial liabilities are based on a discounted expected confidence level assuming a 2.00 percent annual rate of return on investments. 66 Notes to the Financial Statements (Continued) Accrued actuarial liabilities at June 30, 2016, for each insurable area follow: Auto liability General liability Workers’ compensation Medical malpractice Auto physical damage Property Professional liability Environmental property damage Environmental liability Unallocated Total $ $ 1,922,226 23,066,391 16,343,659 3,829,823 135,252 179,227 182,991 2,977,460 26,302,568 5,348,770 80,288,367 Changes in the unpaid claims liability reported in the Risk Management Trust Fund follow: Year 2013-14 2014-15 2015-16 Balance July 1 76,866,119 65,460,160 69,618,641 Current-Year Claims And Changes In Estimates 4,028,631 13,360,665 22,634,746 Claims Payments (15,434,590) (9,202,184) (11,965,020) Balance June 30 65,460,160 69,618,641 80,288,367 The Employee Benefits Trust Fund (internal service fund) accounts for the financing of the insured risk of loss for certain health benefits (medical, dental, short-term disability, and medical incentives) to eligible employees and their dependents. The liability for medical, dental, short-term disability, behavioral health, and vision claims is based on fiscal year 2016 actuarial reports. Accrued actuarial liabilities at June 30, 2016, for each insurable area follow: Medical Dental Short-term disability Behavioral health Vision Pharmacy Total $ $ 13,203,018 514,036 326,043 214,025 135,969 14,321 14,407,412 Changes in the unpaid claims liabilities reported in the Employee Benefits Trust Fund follow: Year 2013-14 2014-15 2015-16 Balance July 1 8,286,946 11,687,296 13,688,100 Current-Year Claims And Changes In Estimates 130,629,777 137,910,814 139,599,585 Claims Payments (127,229,427) (135,910,010) (138,880,273) Balance June 30 11,687,296 13,688,100 14,407,412 NOTE 19 – POLLUTION REMEDIATION OBLIGATIONS Maricopa County has estimated and reported a pollution remediation obligation in the government-wide financial statements for the current or potential detrimental effects of existing pollution. At June 30, 2016, the County reported $4,343,576 of claims and judgments, which is composed of the following pollution remediation obligations. Asbestos – The National Emission Standards for Hazardous Air Pollutants, 40 CFR §61.145, requires the County to inspect buildings for the existence of asbestos prior to the commencement of any demolition or renovation work. As of June 30, 2016, the County had several facilities under consideration for demolition or renovation. The County’s reported pollution remediation liability is an estimate provided by a professional environmental consultant. The estimate accounts for pre-cleanup and cleanup activities. 67 Notes to the Financial Statements (Continued) Stormwater – Under the Clean Water Act, the National Pollutant Discharge Eliminations System Stormwater Program, 40 CFR §122, requires the implementation of controls designed to prevent harmful pollutants from being washed by stormwater runoff into bodies of water. An audit of County-owned facilities was conducted to ensure compliance with federal regulations. The County’s reported pollution remediation liability is an estimate provided by a professional environmental consultant. The estimate accounts for activities to achieve compliance. Road and Drainage Construction – The County conducted environmental site characterizations during the construction of roads and drainage structures. In compliance with Arizona Department of Environmental Quality (ADEQ) Soil Remediation Levels, Arizona Administrative Code Title 18, Chapter 7, Article 2, the County will excavate and properly dispose of any contaminated soil. The County’s reported pollution remediation liability is an estimate provided by a professional environmental consultant. The estimate consists of the costs for soil excavation, disposal, and additional sampling. Maricopa County also has estimated and reported a pollution remediation obligation in the Risk Management internal service fund financial statements for the current or potential detrimental effects of existing pollution. These obligations are categorized under environmental property damage and environmental liability in Note 18– Risk Management. At June 30, 2016, the County reported $29,280,028 of reported but unpaid claims, which is composed of the following pollution remediation obligations: Cave Creek Landfill – The County has entered into a Consent Decree with ADEQ to evaluate the Cave Creek Landfill as a source of groundwater contamination. A Draft Remedial Action Plan (RAP) was completed and submitted to ADEQ in Spring 2015. The Draft RAP was approved by ADEQ in August 2015 and a public meeting was held in September 2015. The Final RAP was approved by ADEQ in November 2016. The County’s reported pollution remediation liability is an estimate provided by a professional environmental consultant. The estimate consists of design, installation, and operation of a groundwater remediation system, including additional well installation; operation of a soil vapor extraction system; continued mandated monitoring and reporting to ADEQ. Hassayampa Landfill – On July 22, 1987, the Hassayampa Landfill was added to the Superfund National Priorities List by the United States Environmental Protection Agency (EPA), pursuant to the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 (CERCLA), 42 U.S.C. §9605(a)(8), due to suspected groundwater contamination. On February 19, 1988, nine of the major potentially responsible parties (PRP) for the site entered into a Consent Order with the EPA to conduct the Remedial Investigation and Feasibility Study. On August 6, 1992, a Record of Decision was signed and detailed the EPA’s selected cleanup remedy, which resulted in the formation of the Hassayampa Steering Committee (HSC). The HSC, an unincorporated association, consists of 11 PRP’s that entered into a Unilateral Administrative Order with the EPA on March 30, 1993, to conduct additional investigation activities and to begin remedial design and action activities on the groundwater treatment system and soil cap. In September 1997, a Preliminary Close-Out Report was completed and the EPA certification of the completion of construction of the remedial action was issued in April 1998. The groundwater extraction and treatment system and soil vapor extraction and treatment system will continue to be run by the PRP’s until the groundwater and soil meet cleanup levels. The HSC hires consultants that recommend site actions, meet with regulators, and develop cost estimates for remediation of the Hassayampa Landfill. The County is responsible for 27.78% of the HSC’s cost remediation. The County’s reported pollution remediation liability is an estimate provided by a professional environmental consultant. CERCLA Cost Recovery Claim – The County, along with numerous other entities, was named as a potential responsible party under the CERCLA, 42 U.S.C. §9607(a), by a third party. The Notice of Claim was based upon allegations that the County owned the properties which were acquired in the 1970’s from a solvent manufacturer. However, in 2001, the County (and other parties) entered into a Consent Decree/Settlement with ADEQ which absolved the County of any additional liability for the site. The County pollution remediation liability is subject to change due to changes in the cost of goods and services, changes in remediation technology, or changes in laws and regulations governing the remediation effort. The County has no estimated recoveries at this time. 68 Notes to the Financial Statements (Continued) NOTE 20 – PENSIONS AND OTHER POSTEMPLOYMENT BENEFITS Plan Descriptions The County contributes to the plans described below. The plans are component units of the State of Arizona. At June 30, 2016, the County reported the following aggregate amounts related to pensions for all plans to which it contributes: Statement of Net Position and Statement of Activities Net pension liabilities Deferred outflows of resources Deferred inflows of resources Pension expense Governmental Activities $ 1,602,260,156 296,884,363 74,740,379 203,724,854 Business-Type Activities $ 3,707,607 346,370 461,168 138,806 Total $ 1,605,967,763 297,230,733 75,201,547 203,863,660 The County’s accrued payroll and employee benefits includes $3,605,567 of outstanding pension contribution amounts payable to all pension plans for the year ended June 30, 2016. Also, the County reported $111,855,813 of pension contributions as expenditures in the governmental funds related to all pension plans to which it contributes. A. Arizona State Retirement System Plan description—County employees not covered by the other pension plans described below participate in the Arizona State Retirement System (ASRS). The ASRS administers a cost-sharing multiple-employer defined benefit pension plan, a cost-sharing multiple-employer defined benefit health insurance premium benefit (OPEB) plan, and a cost-sharing multiple-employer defined benefit long-term disability (OPEB) plan. The Arizona State Retirement System Board governs the ASRS according to the provisions of A.R.S. Title 38, Chapter 5, Articles 2 and 2.1. The ASRS issues a publicly available financial report that includes its financial statements and required supplementary information. The report is available on its website at www.azasrs.gov. Benefits provided—The ASRS provides retirement, health insurance premium supplement, longterm disability, and survivor benefits. State statute establishes benefit terms. Retirement benefits are calculated on the basis of age, average monthly compensation, and service credit as follows: Years of service and age required to receive benefit Final average salary is based on Retirement Initial membership date: Before July 1, 2011 On or after July 1, 2011 Sum of years and age equals 80 30 years, age 55 10 years, age 62 25 years, age 60 5 years, age 50* 10 years, age 62 any years, age 65 5 years, age 50* any years, age 65 Highest 36 consecutive months of last 120 months Highest 60 consecutive months of last 120 months 2.1% to 2.3% 2.1% to 2.3% Benefit percent per year of service *With actuarially reduced benefits. 69 Notes to the Financial Statements (Continued) Retirement benefits for members who joined the ASRS prior to September 13, 2013, are subject to automatic cost-of-living adjustments based on excess investment earnings. Members with a membership date on or after September 13, 2013, are not eligible for cost-of-living adjustments. Survivor benefits are payable upon a member’s death. For retired members, the retirement benefit option chosen determines the survivor benefit. For all other members, the beneficiary is entitled to the member’s account balance that includes the member’s contributions and employer’s contributions, plus interest earned. Contributions—In accordance with state statutes, annual actuarial valuations determine active member and employer contribution requirements. The combined active member and employer contribution rates are expected to finance the costs of benefits employees earn during the year, with an additional amount to finance any unfunded accrued liability. For the year ended June 30, 2016, statute required active ASRS members to contribute at the actuarially determined rate of 11.47 percent (11.35 percent for retirement and 0.12 percent for long-term disability) of the members’ annual covered payroll, and statute required the County to contribute at the actuarially determined rate of 11.47 percent (10.85 percent for retirement, 0.50 percent for health insurance premium benefit, and 0.12 percent for long-term disability) of the active members’ annual covered payroll. In addition, the County was required by statute to contribute at the actuarially determined rate of 9.36 percent (9.17 percent for retirement, 0.13 percent for health insurance premium benefit, and 0.06 percent for long-term disability) of annual covered payroll of retired members who worked for the County in positions that an employee who contributes to the ASRS would typically fill. The County’s contributions to the pension plan for the year ended June 30, 2016, were $51,696,840. The County’s OPEB contributions for the current and 2 preceding years, all of which were equal to the required contributions, were as follows: Year ended June 30 2016 2015 2014 Health Benefit Supplement Fund $ 2,364,092 2,799,086 2,718,331 Long-Term Disability Fund $ 564,796 560,655 1,069,996 During fiscal year 2016, the County paid for ASRS pension and OPEB contributions as follows: 60 percent from the General Fund, 11 percent from major funds, and 29 percent from other funds. Pension liability — At June 30, 2016, the County reported a liability of $809,331,280 for its proportionate share of the ASRS’ net pension liability. The net pension liability was measured as of June 30, 2015. The total pension liability used to calculate the net pension liability was determined using update procedures to roll forward the total pension liability from an actuarial valuation as of June 30, 2014, to the measurement date of June 30, 2015. The County’s proportion of the net pension liability was based on the County’s actual contributions to the plan relative to the total of all participating employers’ contributions for the year ended June 30, 2015. The County’s proportion measured as of June 30, 2015, was 5.2 percent, which was an increase of 0.1 from its proportion measured as of June 30, 2014. Pension expense and deferred outflows/inflows of resources — For the year ended June 30, 2016, the County recognized pension expense for ASRS of $57,827,183. At June 30, 2016, the County reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources: 70 Notes to the Financial Statements (Continued) Differences between expected and actual experience Net difference between projected and actual earnings on pension plan investments Changes in proportion and differences between county contributions and proportionate share of contributions County contributions subsequent to the measurement date Deferred Outflows of Resources Deferred Inflows of Resources $ $ 22,084,896 42,409,776 25,937,274 25,623,868 300,449 51,696,840 Total $ 99,405,604 $ 68,647,499 The $51,696,840 reported as deferred outflows of resources related to ASRS pensions resulting from county contributions subsequent to the measurement date will be recognized as a reduction of the net pension liability in the year ending June 30, 2017. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to ASRS pensions will be recognized in pension expense as follows: Year ending June 30 2017 2018 2019 2020 $ (2,631,812) (19,713,897) (17,316,488) 18,723,462 Actuarial Assumptions — The significant actuarial assumptions used to measure the total pension liability are as follows: ASRS Actuarial valuation date Actuarial roll forward date Actuarial cost method Investment rate of return Projected salary increases Inflation Permanent benefit increase Mortality rates June 30, 2014 June 30, 2015 Entry age normal 8% 3–6.75% 3% Included 1994 GAM Scale BB Actuarial assumptions used in the June 30, 2014, valuation were based on the results of an actuarial experience study for the 5-year period ended June 30, 2012. The long-term expected rate of return on ASRS pension plan investments was determined to be 8.79 percent using a building-block method in which best-estimate ranges of expected future real rates of return (expected returns, net of pension plan investment expense and inflation) are developed for each major asset class. These ranges are combined to produce the long-term expected rate of return by weighting the expected future real rates of return by the target asset allocation percentage and by adding expected inflation. The target allocation and best estimates of arithmetic real rates of return for each major asset class are summarized in the following table: Asset Class Equity Fixed income Real estate Multi-asset Commodities Total Target Allocation 58% 25% 10% 5% 2% 100% 71 Long-Term Expected Arithmetic Real Rate of Return 6.79% 3.70% 4.25% 3.41% 3.93% Notes to the Financial Statements (Continued) Discount Rate — The discount rate used to measure the ASRS total pension liability was 8 percent, which is less than the long-term expected rate of return of 8.79 percent. The projection of cash flows used to determine the discount rate assumed that contributions from participating employers will be made based on the actuarially determined rates based on the ASRS Board’s funding policy, which establishes the contractually required rate under Arizona statute. Based on those assumptions, the pension plan’s fiduciary net position was projected to be available to make all projected future benefit payments of current plan members. Therefore, the long-term expected rate of return on pension plan investments was applied to all periods of projected benefit payments to determine the total pension liability. Sensitivity of the County’s proportionate share of the ASRS net pension liability to changes in the discount rate — The following table presents the County’s proportionate share of the net pension liability calculated using the discount rate of 8 percent, as well as what the County’s proportionate share of the net pension liability would be if it were calculated using a discount rate that is 1 percentage point lower (7 percent) or 1 percentage point higher (9 percent) than the current rate: 1% Decrease (7%) County’s proportionate share of the net pension liability $ 1,060,500,551 Current Discount Rate (8%) $ 809,331,280 1% Increase (9%) $ 637,198,018 Pension plan fiduciary net position—Detailed information about the pension plan’s fiduciary net position is available in the separately issued ASRS financial report. B. Public Safety Personnel Retirement System and Corrections Officer Retirement Plan Plan descriptions — County sheriff employees and county attorney investigators who are regularly assigned hazardous duty participate in the Public Safety Personnel Retirement System (PSPRS). Previously, County park rangers participated in the PSPRS; however, the plan currently has no active members and only five inactive members. This plan has not had any active members since fiscal year 2006-07. The net pension liability for this plan of $1,015,117 is included in the County’s total net pension liability; however, the details of this plan are not disclosed in the note below as there are no active members and it is not material. The PSPRS administers an agent multiple-employer defined benefit pension plan and an agent multiple-employer defined benefit health insurance premium benefit (OPEB) plan (agent plans). A seven-member board known as the Board of Trustees and the participating local boards govern the PSPRS according to the provisions of A.R.S. Title 38, Chapter 5, Article 4. County detention officers and Administrative Office of the Courts (AOC) probation, surveillance, and juvenile detention officers participate in the Corrections Officer Retirement Plan (CORP). The CORP administers an agent multiple-employer defined benefit pension plan and an agent multiple-employer defined benefit health insurance premium benefit (OPEB) plan for county detention officers (agent plans), and a cost-sharing multiple-employer defined benefit pension plan and a cost-sharing multipleemployer defined benefit health insurance premium benefit (OPEB) plan for AOC officers (cost-sharing plans). The PSPRS Board of Trustees and the participating local boards govern CORP according to the provisions of A.R.S. Title 38, Chapter 5, Article 6. The PSPRS issues publicly available financial report that includes financial statements and required supplementary information for the PSPRS and CORP plans. The report is available on the PSPRS website at www.psprs.com. Benefits provided—The PSPRS and CORP provide retirement, health insurance premium supplement, disability, and survivor benefits. State statute establishes benefit terms. Retirement, disability, and survivor benefits are calculated on the basis of age, average monthly compensation, and service credit as follows: 72 Notes to the Financial Statements (Continued) PSPRS Before January 1, 2012 Retirement and Disability Years of service and age required to receive benefit Final average salary is based on Initial membership date: On or after January 1, 2012 20 years, any age 15 years, age 62 25 years, age 52.5 Highest 36 consecutive months of last 20 years Highest 60 consecutive months of last 20 years Benefit percent Normal Retirement 50% less 2.0% for each year of credited service less than 20 years OR plus 2.0% to 2.5% for each year of credited service over 20 years, not to exceed 80% 2.5% per year of credited service, not to exceed 80% Accidental Disability Retirement 50% or normal retirement, whichever is greater Catastrophic Disability Retirement 90% for the first 60 months then reduced to either 62.5% or normal retirement, whichever is greater Ordinary Disability Retirement Normal retirement calculated with actual years of credited service or 20 years of credited service, whichever is greater, multiplied by years of credited service (not to exceed 20 years) divided by 20 Survivor Benefit Retired Members 80% to 100% of retired member’s pension benefit Active Members 80% to 100% of accidental disability retirement benefit or 100% of average monthly compensation if death was the result of injuries received on the job CORP Initial membership date: Before January 1, 2012 On or after January 1, 2012 Retirement and Disability Years of service and age required to receive benefit Sum of years and age equals 80 20 years, any age 10 years, age 62 25 years, age 52.5 10 years, age 62 Final average salary is based on Highest 36 consecutive months of last 10 years Highest 60 consecutive months of last 10 years Benefit percent Normal Retirement Accidental Disability Retirement Total and Permanent Disability Retirement 2.0% to 2.5% per year of credited service, not to exceed 80% 50% or normal retirement if more than 20 years of credited service 50% or normal retirement if more than 25 years of credited service 50% or normal retirement if more than 25 years of credited service Ordinary Disability Retirement 2.5% per year of credited service Survivor Benefit Retired Members 80% of retired member’s pension benefit Active Members 40% of average monthly compensation or 100% of average monthly compensation if death was the result of injuries received on the job. If there is no surviving spouse or eligible children, the beneficiary is entitled to 2 times the member’s contributions. 73 Notes to the Financial Statements (Continued) Retirement and survivor benefits are subject to automatic cost-of-living adjustments based on excess investment earnings. In addition, from and after December 31, 2015, the Legislature may enact permanent one-time benefit increases after a Joint Legislative Budget Committee analysis of the increase’s effects on the plan. PSPRS also provides temporary disability benefits of 50 percent of the member’s compensation for up to 12 months. Employees covered by benefit terms—At June 30, 2016, the following employees were covered by the agent pension plans’ benefit terms: PSPRS Attorney Investigators PSPRS Sheriff Inactive employees or beneficiaries currently receiving benefits Inactive employees entitled to but not yet receiving benefits Active employees Total CORP Detention 435 18 462 76 654 1,165 4 14 36 287 2,076 2,825 Contributions and annual OPEB cost—State statutes establish the pension contribution requirements for active PSPRS and CORP employees. In accordance with state statutes, annual actuarial valuations determine employer contribution requirements for PSPRS and CORP pension and health insurance premium benefits. The combined active member and employer contribution rates are expected to finance the costs of benefits employees earn during the year, with an additional amount to finance any unfunded accrued liability. Contributions rates for the year ended June 30, 2016, are indicated below. Rates are a percentage of active members’ annual covered payroll. PSPRS Attorney Investigators PSPRS Sheriff CORP Detention CORP AOC Active members—pension 11.65% 11.65% 8.41% 8.41% County pension 48.83% 50.95% 16.24% 19.10% 0% .12% 0.01% .85% County health insurance premium benefit In addition, statute required the County to contribute at the actuarially determined rate of 28.62 percent for the PSPRS and 11.33 percent for the CORP of annual covered payroll of retired members who worked for the County in positions that an employee who contributes to the PSPRS or CORP would typically fill. For the agent plans, the County’s contributions to the pension plan and annual OPEB cost and contributions for the health insurance premium benefit for the year ended June 30, 2016, were: PSPRS Attorney Investigators PSPRS Sheriff CORP Detention Pension Contributions made $ 25,739,331 $ 1,399,472 $ 15,896,136 Annual OPEB cost 0 1,434 9,788 Contributions made 0 1,434 9,788 Health Insurance Premium Benefit Contributions to the CORP AOC pension plan for the year ended June 30, 2016, were $12,319,262. The County’s contributions for the current and 2 preceding years for the CORP AOC OPEB, all of which were equal to the required contributions, were as follows: 74 Notes to the Financial Statements (Continued) CORP AOC Health Insurance Year ended June 30 Fund 2016 $ 544,816 2015 790,251 2014 680,068 During fiscal year 2016, the County paid for PSPRS and CORP pension and OPEB contributions as follows: 62 percent from the General Fund, 36 percent from major funds, and 2 percent from other funds. Pension liability—At June 30, 2016, the County reported the following net pension liabilities: Net Pension Liability PSPRS Sheriff PSPRS Attorney Investigators CORP Detention CORP AOC (County’s proportionate share) $ 261,403,217 6,322,623 164,245,523 139,409,566 The net pension liabilities were measured as of June 30, 2015, and the total pension liability used to calculate the net pension liability was determined by an actuarial valuation as of that date. In May 2016, voters approved Proposition 124 that authorized certain statutory adjustments to PSPRS’ automatic cost-of-living adjustments. The statutory adjustments change the basis for future cost-ofliving adjustments from excess investment earnings to the change in consumer price index, limited to a maximum annual increase of 2 percent. The change in the County’s net pension liability as a result of the statutory adjustments is not known. Pension actuarial assumptions — The significant actuarial assumptions used to measure the total pension liability are as follows: PSPRS and CORP — Pension Actuarial valuation date Actuarial cost method Investment rate of return Projected salary increases Inflation Permanent benefit increase Mortality rates June 30, 2015 Entry age normal 7.85% 4.0%–8.0% for PSPRS and 4.0%– 7.25% for CORP 4.0% Included RP-2000 mortality table (adjusted by 105% for both males and females) Actuarial assumptions used in the June 30, 2015, valuation were based on the results of an actuarial experience study for the 5-year period ended June 30, 2011. 75 Notes to the Financial Statements (Continued) The long-term expected rate of return on PSPRS and CORP pension plan investments was determined to be 7.85 percent using a building-block method in which best-estimate ranges of expected future real rates of return (expected returns, net of pension plan investment expenses and inflation) are developed for each major asset class. The target allocation and best estimates of geometric real rates of return for each major asset class are summarized in the following table: PSPRS and CORP Target Allocation Asset Class Short term investments Absolute return Risk parity Fixed income Real assets GTAA Private equity Real estate Credit opportunities Non-U.S. equity U.S. equity Total Long-Term Expected Geometric Real Rate of Return 2% 5% 4% 7% 8% 10% 11% 10% 13% 14% 16% 100% .75% 4.11% 5.13% 2.92% 4.77% 4.38% 9.50% 4.48% 7.08% 8.25% 6.23% Pension discount rates — The discount rate used to measure the PSPRS and CORP total pension liabilities was 7.85 percent. The projection of cash flows used to determine the discount rates assumed that plan member contributions will be made at the current contribution rate and that employer contributions will be made at rates equal to the difference between the actuarially determined contribution rate and the member rate. Based on those assumptions, the pension plans’ fiduciary net position was projected to be available to make all projected future benefit payments of current plan members. Therefore, the long-term expected rate of return on pension plan investments was applied to all periods of projected benefit payments to determine the total pension liability. Changes in the Net Pension Liability PSPRS Sheriff Balances at June 30, 2015 Changes for the year: Service cost Interest on the total pension liability Differences between expected and actual experience in the measurement of the pension liability Contributions—employer Contributions—employee Net investment income Benefit payments, including refunds of employee contributions Administrative expense Other changes Net changes Balances at June 30, 2016 Total Pension Liability (a) $ 423,712,440 Increase (Decrease) Plan Fiduciary Net Position (b) $ 186,022,676 8,569,277 32,648,223 8,569,277 32,648,223 14,238,261 (24,192,292) $ 31,263,469 454,975,909 76 Net Pension Liability (a) – (b) $ 237,689,764 $ 19,300,393 5,718,569 6,829,419 14,238,261 (19,300,393) (5,718,569) (6,829,419) (24,192,292) (166,999) 60,926 7,550,016 193,572,692 166,999 (60,926) 23,713,453 $ 261,403,217 Notes to the Financial Statements (Continued) PSPRS Attorney Investigators Balances at June 30, 2015 Changes for the year: Service cost Interest on the total pension liability Differences between expected and actual experience in the measurement of the pension liability Contributions—employer Contributions—employee Net investment income Benefit payments, including refunds of employee contributions Administrative expense Other changes Net changes Balances at June 30, 2016 Total Pension Liability (a) $ 11,195,054 Increase (Decrease) Plan Fiduciary Net Position (b) $ 4,276,595 Net Pension Liability (a) – (b) $ 6,918,459 253,874 853,275 253,874 853,275 (324,461) (904,489) $ (121,801) 11,073,253 $ 1,077,456 147,013 162,028 (324,461) (1,077,456) (147,013) (162,028) (904,489) (4,332) (3,641) 474,035 4,750,630 4,332 3,641 (595,836) 6,322,623 $ CORP Detention Balances at June 30, 2015 Changes for the year: Service cost Interest on the total pension liability Differences between expected and actual experience in the measurement of the pension liability Contributions—employer Contributions—employee Net investment income Benefit payments, including refunds of employee contributions Administrative expense Other changes Net changes Balances at June 30, 2016 Total Pension Liability (a) $ 355,684,352 Increase (Decrease) Plan Fiduciary Net Position (b) $ 201,802,333 14,287,455 27,839,448 14,287,455 27,839,448 (3,602,883) (16,370,870) $ 22,153,150 377,837,502 Net Pension Liability (a) – (b) $ 153,882,019 $ 12,465,970 8,470,324 7,511,442 (3,602,883) (12,465,970) (8,470,324) (7,511,442) (16,370,870) (185,964) (101,256) 11,789,646 213,591,979 185,964 101,256 10,363,504 $ 164,245,523 The County’s proportion of the CORP AOC net pension liability was based on the County’s actual contributions to the plan relative to the total of all participating counties’ actual contributions for the year ended June 30, 2015. The County’s proportion measured as of June 30, 2015, was 57.34 percent, which was an increase of 1.34 percent from its proportion measured as of June 30, 2014. Sensitivity of the County’s net pension liability to changes in the discount rate—The following table presents the County’s net pension liabilities calculated using the discount rate of 7.85 percent, as well as what the County’s net pension liability would be if it were calculated using a discount rate that is 1 percentage point lower (6.85) or 1 point higher (8.85) than the current rate: 77 Notes to the Financial Statements (Continued) 1% Decrease (6.85%) Current Discount Rate (7.85%) 1% Increase (8.85%) PSPRS Sheriff Net pension liability $ 314,403,174 $ 261,403,217 PSPRS Attorney Investigators Net pension liability $ 7,362,822 $ 6,322,623 CORP Detention Net pension liability $ 217,791,132 $ 164,245,523 $ 120,202,867 CORP AOC County’s proportionate share of the net pension liability $ 182,278,740 $ 139,409,566 $ 103,731,435 $ 217,014,685 $ 5,429,226 Pension plan fiduciary net position—Detailed information about the pension plans’ fiduciary net position is available in the separately issued PSPRS and CORP financial reports. Pension expense — For the year ended June 30, 2016, the County recognized the following pension expense: Pension Expense PSPRS Sheriff PSPRS Attorney Investigators CORP Detention CORP AOC (County’s proportionate share) $ 32,623,081 1,029,089 22,766,792 19,062,499 Pension deferred outflows/inflows of resources—At June 30, 2016, the County reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources: PSPRS Sheriff Deferred Outflows of Resources Deferred Inflows of Resources Differences between expected and actual experience Changes of assumptions or other inputs Net difference between projected and actual earnings on pension plan investments County contributions subsequent to the measurement date $ $ Total $ PSPRS Attorney Investigators Deferred Outflows of Resources Differences between expected and actual experience $ 527,263 25,739,331 Changes of assumptions or other inputs Net difference between projected and actual earnings on pension plan investments County contributions subsequent to the measurement date Total 70,116,624 $ - Deferred Inflows of Resources $ 168,664 221,770 564,520 21,575 1,399,472 $ 78 18,414,069 25,435,961 2,154,231 $ 221,770 Notes to the Financial Statements (Continued) CORP Detention Deferred Outflows of Resources Deferred Inflows of Resources Differences between expected and actual experience $ $ 3,048,823 $ 3,048,823 Changes of assumptions or other inputs Net difference between projected and actual earnings on pension plan investments County contributions subsequent to the measurement date 7,573,728 19,017,484 738,530 15,896,136 Total $ CORP AOC Deferred Outflows of Resources Deferred Inflows of Resources Differences between expected and actual experience $ $ 786,853 $ 786,853 Changes of assumptions or other inputs Net difference between projected and actual earnings on pension plan investments Changes in proportion and differences between county contributions and proportionate share of contributions County contributions subsequent to the measurement date Total 43,225,878 4,774,183 14,776,602 766,513 2,072,836 12,319,262 $ 34,709,396 The amounts reported as deferred outflows of resources related to pensions resulting from county contributions subsequent to the measurement date will be recognized as a reduction of the net pension liability in the year ending June 30, 2017. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized in pension expense as follows: PSPRS Sheriff PSPRS Attorney Investigators CORP Detention CORP AOC 408,940 $ 4,858,427 $ 5,502,354 4,858,427 5,502,354 4,858,426 5,502,354 6,878,374 4,987,124 3,105,788 109,095 Year ending June 30 2017 $ 12,234,347 2018 12,234,347 $ 2019 12,234,345 108,454 (21,593) 2020 6,571,889 37,187 2021 1,102,366 Thereafter (278,523) Agent plan OPEB actuarial assumptions—The health insurance premium benefit contribution requirements for the year ended June 30, 2016, were established by the June 30, 2014, actuarial valuations, and those actuarial valuations were based on the following actuarial methods and assumptions. Actuarial valuations involve estimates of the reported amounts’ value and assumptions about the probability of events in the future. Amounts determined regarding the plans’ funded status and the annual required contributions are subject to continual revision as actual results are compared to past expectations and new estimates are made. The required schedule of funding progress for the health insurance premium benefit presented as required supplementary information provides multiyear trend information that shows whether the actuarial value of the plans’ assets are increasing or decreasing over time relative to the actuarial accrued liability for benefits. 79 Notes to the Financial Statements (Continued) Projections of benefits are based on (1) the plans as the County and plans’ members understand them and include the types of benefits in force at the valuation date, and (2) the pattern of sharing benefit costs between the County and plans’ members to that point. Actuarial calculations reflect a long-term perspective and employ methods and assumptions designed to reduce short-term volatility in actuarial accrued liabilities and the actuarial value of assets. The significant actuarial methods and assumptions used are the same for all PSPRS and CORP plans and related benefits (unless noted), and the following actuarial methods and assumptions were used to establish the fiscal year 2016 contribution requirements: PSPRS and CORP—OPEB Contribution Requirements Actuarial valuation date June 30, 2014 Actuarial cost method Entry age normal Amortization method Level percent closed for unfunded actuarial accrued liability, open for excess Remaining amortization period 22 years for unfunded actuarial accrued liability, 20 years for excess Asset valuation method 7-year smoothed market value; 20% corridor Actuarial assumptions: Investment rate of return 7.85% Projected salary increases 4%–8% for PSPRS and 4%–7.25% for CORP Wage growth 4% for PSPRS and CORP Agent plan OPEB trend information—Annual OPEB cost information for the health insurance premium benefit for the current and 2 preceding years follows for each of the agent plans: Percentage of Annual Cost Contributed Annual OPEB Cost Year Ended June 30 PSPRS Sheriff 2016 2015 2014 $ PSPRS Attorney Investigators 2016 2015 2014 CORP Detention 2016 2015 2014 Net OPEB Obligation 0 926,243 690,972 100% 100% 100% $ $ $ 0 0 0 1,434 20,836 16,467 100% 100% 100% $ $ $ 0 0 0 9,788 966,886 865,175 100% 100% 100% $ $ $ 0 0 0 Agent plan OPEB funded status — The health insurance premium benefit plans’ funded status as of the most recent valuation date, June 30, 2016, along with the actuarial assumptions and methods used in those valuations follow. PSPRS CORP Attorney Investigators Sheriff Detention Actuarial value of assets (a) $ 13,348,178 $ 265,006 $ 16,024,258 Actuarial accrued liability (b) $ 10,193,635 $ 196,950 $ 12,091,137 Unfunded actuarial accrued liability (funding excess) (b)–(a) $ (3,154,543) $ (68,056) $ (3,933,121) $ 52,596,336 $ 1,205,821 $ 95,716,407 Funded ratio (a)/(b) Annual covered payroll (c) Unfunded actuarial accrued liability as a % of covered payroll [(b)–(a)]/(c) 130.9% (6.0%) 80 134.6% (5.6%) 132.5% (4.1%) Notes to the Financial Statements (Continued) The actuarial methods and assumptions used are the same for all the PSPRS and CORP health insurance premium benefit plans (unless noted), and for the most recent valuation date are as follows: PSPRS and CORP—OPEB Funded Status Actuarial valuation date June 30, 2016 Actuarial cost method Entry age normal Amortization method Level percent closed for unfunded actuarial accrued liability, open for excess Remaining amortization period 20 years for unfunded actuarial accrued liability, 20 years for excess Asset valuation method 7-year smoothed market value; 80%/120% market corridor Actuarial assumptions: Investment rate of return 7.5% Projected salary increases 4%–8% for PSPRS and 4%–7.25% for CORP Wage growth 4% for PSPRS and CORP C. Elected Officials Retirement Plan Plan description — Elected officials and judges participate in the Elected Officials Retirement Plan (EORP), ASRS or the Elected Officials Defined Contribution Retirement System (EODCRS). EORP administers a cost-sharing multiple-employer defined benefit pension plan and a cost-sharing multipleemployer defined benefit health insurance premium benefit (OPEB) plan for elected officials and judges who were members of the plan on December 31, 2013. This plan was closed to new members as of January 1, 2014. The PSPRS Board of Trustees governs the EORP according to the provisions of A.R.S. Title 38, Chapter 5, Article 3. The PSPRS issues a publicly available financial report that includes financial statements and required supplementary information for the EORP plans. The report is available on PSPRS’s website at www.psprs.com. Benefits provided—The EORP provides retirement, health insurance premium supplement, disability, and survivor benefits. State statute establishes benefit terms. Retirement, disability, and survivor benefits are calculated on the basis of age, average yearly compensation, and service credit as follows: Initial membership date: Before January 1, 2012 On or after January 1, 2012 Retirement and Disability Years of service and age required to receive benefit Final average salary is based on 20 years, any age 10 years, age 62 5 years, age 65 5 years, any age* any years and age if disabled 10 years, age 62 5 years, age 65 any years and age if disabled Highest 36 consecutive months of last 10 years Highest 60 consecutive months of last 10 years 4% per year of service, not to exceed 80% 3% per year of service, not to exceed 75% 80% with 10 or more years of service 40% with 5 to 10 years of service 20% with less than 5 years of service 75% with 10 or more years of service 37.5% with 5 to 10 years of service 18.75% with less than 5 years of service Benefit percent Normal Retirement Disability Retirement 81 Notes to the Financial Statements (Continued) Initial membership date: Before January 1, 2012 On or after January 1, 2012 Survivor Benefit Retired Members 75% of retired member’s benefit 50% of retired member’s benefit Active Members and Other Inactive Members 75% of disability retirement benefit 50% of disability retirement benefit * With reduced benefits of 0.25% for each month early retirement precedes the member’s normal retirement age, with a maximum reduction of 30%. Retirement and survivor benefits are subject to automatic cost-of-living adjustments based on excess investment earning. In addition, from and after December 31, 2015, the Legislature may enact permanent one-time benefit increases after a Joint Legislative Budget Committee analysis of the increase’s effects on the plan. Contributions—State statutes establish active member and employer contribution requirements. Statute also appropriates $5 million annually through fiscal year 2043 for the EORP from the State of Arizona to supplement the normal cost plus an amount to amortize the unfunded accrued liability and designates a portion of certain court fees for the EORP. For the year ended June 30, 2016, statute required active EORP members to contribute 13 percent of the members’ annual covered payroll, and the County to contribute 23.5 percent of active EORP members’ annual covered payroll. Also, statute required the County to contribute 12.15 percent to EORP of annual covered payroll of elected officials and judges who were ASRS members and 17.50 percent to EORP of the annual covered payroll of elected officials and judges who were EODCRS members, in addition to the County’s required contributions to ASRS and EODCRS for these elected officials and judges. In addition, statute required the County to contribute 23.5 percent of annual covered payroll of retired members who worked for the County in positions that an employee who contributes to the EORP would typically fill. The County’s contributions to the pension plan for the year ended June 30, 2016, were $6,065,753. No OPEB contributions were required or made for the years ended June 30, 2015 and 2016. The County’s OPEB contributions for the current and 2 preceding years, all of which were equal to the required contributions, were as follows: EORP Health Insurance Fund $ 0 0 420,601 Year ended June 30 2016 2015 2014 During fiscal year 2016, the County paid for EORP pension contributions as follows: 98 percent from the General Fund, and 2 percent from other funds. Pension liability—At June 30, 2016, the County reported a liability for its proportionate share of the EORP’s net pension liability that reflected a reduction for the County’s proportionate share of the State’s appropriation for EORP. The amount the County recognized as its proportionate share of the net pension liability, the related state support, and the total portion of the net pension liability that was associated with the County were as follows: County’s proportionate share of the EORP net pension liability State’s proportionate share of the EORP net pension liability associated with the County Total 82 $ 224,240,437 69,908,836 $ 294,149,273 Notes to the Financial Statements (Continued) The net pension liability was measured as of June 30, 2015, and the total pension liability used to calculate the net pension liability was determined by an actuarial valuation as of that date. The County’s proportion of the net pension liability was based on the County’s actual contributions to the plan relative to the total of all participating employers’ actual contributions for the year ended June 30, 2015. The County’s proportion measured as of June 30, 2015, was 28.7 percent, which was an increase of 0.7 percent from its proportion measured as of June 30, 2014. Pension expense and deferred outflows/inflows of resources — For the year ended June 30, 2016, the County recognized pension expense for EORP of $ 70,399,664 and revenue of $18,809,893 for the County’s proportionate share of the State’s appropriation to EORP and the designated court fees. At June 30, 2016, the County reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources: Deferred Outflows of Resources $ 358,579 37,573,319 Differences between expected and actual experience Changes of assumptions or other inputs Net difference between projected and actual earnings on pension plan investments Changes in proportion and differences between county contributions and proportionate share of contributions County contributions subsequent to the measurement date Total Deferred Inflows of Resources $ 2,496,902 1,360,020 2,233,228 $ 6,065,753 47,590,899 $ 2,496,902 The $6,065,753 reported as deferred outflows of resources related to EORP pensions resulting from county contributions subsequent to the measurement date will be recognized as a reduction of the net pension liability in the year ending June 30, 2017. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to EORP pensions will be recognized in pension expense as follows: Year ending June 30 2017 2018 2019 2020 $ 32,359,577 5,532,931 111,993 1,023,743 Actuarial assumptions—The significant actuarial assumptions used to measure the total pension liability are as follows: Actuarial valuation date Actuarial cost method Investment rate of return Projected salary increases Inflation Permanent benefit increase Mortality rates EORP June 30, 2015 Entry age normal 7.85% 4.25% 4.0% Included RP-2000 mortality table projected to 2025 with projection scale AA Actuarial assumptions used in the June 30, 2015, valuation were based on the results of an actuarial experience study for the 5-year period ended June 30, 2011. 83 Notes to the Financial Statements (Continued) The long-term expected rate of return on EORP pension plan investments was determined to be 7.85 percent using a building-block method in which best-estimate ranges of expected future real rates of return (expected returns, net of pension plan investment expenses and inflation) are developed for each major asset class. The target allocation and best estimates of geometric real rates of return for each major asset class are summarized in the following table: Asset class Short term investments Long-term geometric real rate of return .75% Target allocation 2% Absolute return 5% 4.11% Risk parity 4% 5.13% Fixed income 7% 2.92% Real assets 8% 4.77% GTAA 10% 4.38% Private equity 11% 9.50% Real estate 10% 4.48% Credit opportunities 13% 7.08% Non-U.S. equity 14% 8.25% U.S. equity 16% 6.23% Total 100% Discount rate—At June 30, 2015, the discount rate used to measure the EORP total pension liability was 4.86 percent, which was a decrease of .81 from the discount rate used as of June 30, 2014. The projection of cash flows used to determine the discount rate assumed that plan member contributions will be made at the current contribution rate, employer contributions will be made at the statutorily set rates, and state contributions will be made as currently required by statute. Based on those assumptions, the pension plan’s fiduciary net position was projected to be insufficient to make all projected future benefit payments of current plan members. Therefore, to determine the total pension liability for the plan, the long-term expected rate of return on pension plan investments of 7.85 percent was applied to periods of projected benefit payments through the year ended June 30, 2028. A municipal bond rate of 3.80 percent obtained from the 20-year Bond Buyer Index, as published by the Federal Reserve as of June 25, 2015, was applied to periods of projected benefit payments after June 30, 2028. Sensitivity of the County’s proportionate share of the EORP net pension liability to changes in the discount rate—The following table presents the County’s proportionate share of the net pension liability calculated using the discount rate of 4.86 percent, as well as what the County’s proportionate share of the net pension liability would be if it were calculated using a discount rate that is 1 percentage point lower (3.86 percent) or 1 percentage point higher (5.86 percent) than the current rate: 1% Decrease (3.86%) County’s proportionate share of the net pension liability $ 261,044,159 Current Discount Rate (4.86%) $ 224,240,437 1% Increase (5.86%) $ 193,290,437 Pension Plan Fiduciary Net Position — Detailed information about the pension plan’s fiduciary net position is available in the separately issued EORP financial report. EODCRS plan- Elected officials and judges that are not members of EORP or ASRS participate in the EODCRS and the Elected Officials Defined Contribution Retirement System Disability Program (EODCDP). The EODCRS is a defined contribution pension plan. The EODCDP is a cost-sharing multiple-employer defined benefit disability (OPEB) plan for EODCRS members. The PSPRS Board 84 Notes to the Financial Statements (Continued) of Trustees governs the EODCRS and EODCDP according to the provisions of A.R.S Title 38, Chapter 5, Articles 3.1 and 3.2. Benefit terms, including contribution requirements, are established by state statute. For the year ended June 30, 2016, active EODCRS members were required by statute to contribute 8 percent of the members’ annual covered payroll, and the County was required by statute to contribute 6 percent of active members’ annual covered payroll to an individual employee account. Employees are immediately vested in their own contributions and the County’s contributions to the individual employee account and the earnings on those contributions. In addition, statute required active EODCRS members and the County to each contribute at the actuarially determined rate of 0.125 percent of the members’ annual covered payroll to the EODCDP plan. For the year ended June 30, 2016, the County recognized pension expense of $148,818. The County’s OPEB contributions for the current and 2 preceding years, all of which were equal to the required contributions, were as follows: EODCDP Year ended June 30 2016 2015 2014 Disability fund $ 3,099 706 0 NOTE 21 – INTERFUND BALANCES AND ACTIVITY Interfund receivables and payables – interfund balances at June 30, 2016, were as follows: Payable To Payable from Other Governmental Funds Internal Service Funds Total Due From General Fund $ 17,607,400 549,043 $ 18,156,443 Nonmajor Governmental Funds $ 4,030,498 $ 4,030,498 Total Due To $ 21,637,898 549,043 $ 22,186,941 All interfund receivables and payables represent cash deficits that were the result of timing differences from grant revenues received in the subsequent year and cash transfers that had not occurred at June 30, 2016. Interfund transfers – interfund transfers for the year ended June 30, 2016, were as follows: Transfers In General Fund Transfers Out General Fund $ Detention Operations Fund County Improvement Debt Fund County Improvement Fund Detention Capital Projects Fund Detention Operations Fund $ 190,769,044 6,300 661,073 $ 10,034,866 Detention Capital Projects Fund $ 444,865 General Fund County Improvements Fund $ 587,500 19,685,811 Technology Capital Improvement Fund $ 11,640,000 Nonmajor Governmental Funds $ 335,707 Total Transfers Out $ 300,000 2,195 2,873,821 Technology Capital Improvement Fund 3,156,849 41,311,984 $ 6,698,043 44,185,805 4,917,713 Other Governmental Funds $ 190,922,075 232,465,428 1,338,665 661,073 2,195 153,031 153,031 General Fund County Improvements Fund Total Transfers In County Improvement Debt Fund 1,212,546 1,106,989 $ 53,006,456 $ 1,694,489 8,074,562 111,322,006 $ 24,903,524 $ 11,640,000 $ 111,657,713 113,641,541 $ 400,522,300 All interfund transfers are budgeted and are used to move revenues from the fund that collects them to the fund that expends them. 85 Notes to the Financial Statements (Continued) The interfund receivables, payables, and transfers by fund are as follows: Due From Other Funds Funds MAJOR FUNDS General Fund $ 18,156,443 Due To Other Funds $ Transfers In $ Special Revenue Funds Detention Operations 6,698,043 Transfers Out $ 232,465,428 190,922,075 1,338,665 Debt Service Funds County Improvement Debt 53,006,456 661,073 Capital Projects Funds County Improvement Detention Capital Projects General Fund County Improvements Technology Capital Improvement 1,694,489 24,903,524 11,640,000 2,195 153,031 44,185,805 8,074,562 NONMAJOR FUNDS Special Revenue Funds Air Quality Fees Air Quality Grants Animal Control Field Operations Animal Control License/Shelter Ballpark Operations CDBG Housing Trust Clerk of the Court Fill the Gap Clerk of the Court Grants County Attorney Grants Emergency Management Environmental Service Environmental Health Environmental Service Grants Flood Control Human Services Grants Law Library Fees Library District Library District Grants Medical Examiner Grants Planning and Development Fees Public Health Fees Public Health Grants School Grants Sheriff Grants Sheriff RICO Superior Court Building Repair Superior Court Fill the Gap Transportation Operations 8,450 406,812 106,464 1,033,403 3,995,380 1,136,480 1,630 201,631 446,011 15,490 34,195,616 6,602 2,063,093 664,734 9,306,482 4,030,498 9,075 621 5,070 32,507 3,398,787 2,279,562 170,969 175,383 208,119 2,063,093 58,467 70,437,572 Capital Projects Funds Detention Technology Capital Improvement Flood Control Capital Projects Library District Capital Improvement Long Term Project Reserve Transportation Capital Projects 1,106,989 34,195,616 664,734 3,995,380 70,403,183 4,030,498 Internal Service Funds Sheriff Warehouse Total 845 17,323 95,081 549,043 $ 22,186,941 86 $ 22,186,941 $ 400,522,300 $ 400,522,300 Notes to the Financial Statements (Continued) NOTE 22 – DISCRETELY PRESENTED COMPONENT UNIT DISCLOSURES The significant accounting disclosures for Maricopa County’s discretely presented component unit, Industrial Development Authority of Maricopa County (Authority), are presented below. For additional information on the Authority, see Note 1 – Summary of Significant Accounting Policies, Section A – Reporting Entity. A. Measurement Focus, Basis of Accounting, and Financial Statement Presentation The Authority’s financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America applicable to governmental units adopted by the Governmental Accounting Standards Board (GASB). During the year ended June 30, 2016, the Authority adopted GASB Statement No. 72 – Fair Value Measurement and Application, GASB Statement No. 76 – The Hierarchy of Generally Accepted Accounting Principles for State and Local Governments, and GASB Statement No. 79 – Certain External Investment Pools and Pool Participants. The statement of net position and the statement of activities are reported using the economic resources measurement focus and the accrual basis of accounting. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. B. Deposits and Investments The Authority’s cash in bank and on hand is considered to be cash on hand, demand deposits, and highly liquid investments with maturities of three months or less from the date of acquisition. Investments in securities are stated at fair value. Deposits and investments at June 30, 2016, consist of the following: Deposits: Cash in Bank $ Certificates of Deposit 3,003,016 8,342,742 Investments: Money Market 636,540 Federal Home Loan Banks 9,000,710 Federal National Mortgage Association 67,093 Federal Farm Credits Banks 8,468,645 Federal Home Loan Mortgage 2,201,280 Government National Mortgage Association 163,880 Arizona Community Foundation Down Payment Assistance Investment Notes $ Total deposits and investments: 4,707,908 36,328 36,628,142 Deposits Custodial credit risk is the risk that in the event of a bank failure, the Authority’s deposits may not be returned to it. The Authority places its cash with High-credit quality financial institutions. At various times throughout the year and at year-end, the Authority’s cash balances exceed the federally insured limits. At June 30, 2016, $2,974,234 was uninsured and uncollateralized. Management believes there are no unusual risks associated with current depository institutions. The Authority has no policy concerning exposure to custodial credit risk. 87 Notes to the Financial Statements (Continued) Investments Interest Rate Risk – The Authority’s investment policy concerning exposure to interest rate risk is acceptance of no return lower than the market return normally associated with any specific asset class into which the Authority invests. Estimated maturities of the Authority’s investments consisted of the following at June 30, 2016: Within six months Investment Type Federal Home Loan Banks Six months to one year $ $ One to three years $ 9,000,710 More than three years $ Federal National Mortgage Association Federal Farm Credit Banks 1,499,360 5,969,267 Federal Home Loan Mortgage Totals $ 67,093 67,093 1,000,018 8,468,645 2,201,280 2,201,280 Government National Mortgage Association 163,880 Arizona Community Foundation 4,707,908 $ 4,707,908 163,880 4,707,908 36,328 Down Payment Assistance Investment Notes Totals: 9,000,710 $ 1,499,360 $ 17,171,257 $ 1,267,319 $ 36,328 24,645,844 Concentration Risk – The Authority’s investment policy concerning exposure to concentration risk is to diversify investments so as to minimize the risk of large losses, unless under certain circumstances it is clearly prudent not to do so. More than 5% of the Authority’s investments at June 30, 2016, were in Federal Home Loan Banks, Federal Farm Credit Banks, Federal Home Loan Mortgage Corporation (Freddie Mac), and the Arizona Community Foundation. These investments were 36.5%, 34.4%, 8.9%, and 19.1%, respectively, of the Authority’s total investments. Credit Risk – The Authority’s investment policy concerning exposure to credit risk is acceptance of no risk in excess of market risks normally associated with any specific asset class into which the Authority invests. At June 30, 2016, credit risk for the Authority’s investments was as follows: Moody's Rating Standard and Poor's Rating Federal Home Loan Banks Aaa AA+ Federal National Mortgage Association Aaa AA+ Federal Farm Credit Banks Aaa AA+ Federal Home Loan Mortgage Aaa AA+ Government National Mortgage Association Aaa AA+ Investment type Custodial Credit Risk – The Authority has no policy concerning exposure to custodial credit risk. All investments are reported at fair value. Investments are uninsured and unregistered and held by investment brokers in the Authority’s name. The Authority had an unrealized loss in the fair value of investments of $176,246 and realized gain of $8,752 for the year ended June 30, 2016. The unrealized loss and realized gain are included in unrestricted investment earnings in general revenues in the accompanying statement of activities. Fair Value of Investments – In determining fair value, the Authority uses various valuation approaches within the fair value measurement framework. Fair value measurements are determined based on the assumptions that market participants would use in pricing an asset or liability. 88 Notes to the Financial Statements (Continued) The fair value measurement framework establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. The fair value measurements define levels within the hierarchy based on the reliability of inputs as follows: Level 1 – Valuations based on unadjusted quoted prices for identical assets or liabilities in active markets; Level 2 – Valuations based on quoted prices for similar assets or liabilities or identical assets or liabilities in less active markets, such as dealer or broker markets; and Level 3 – Valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable, such as pricing models, discounted cash flow models and similar techniques not based on market, exchange, dealer or broker-traded transactions. The Authority’s investments at June 30, 2016, categorized within the fair value hierarchy detailed above were as follows: Total Investments by fair value level Federal Home Loan Banks Federal National Mortgage Federal Farm Credit Banks Federal Home Loan Mortgage Government National Mortgage Total investments by fair value level: External investments measured at net asset value Arizona Community Foundation Down Payment Assistance Investment Notes Totals investments measured at fair value: $ 9,000,710 67,093 8,468,645 2,201,280 163,880 19,901,608 $ 4,707,908 36,328 24,645,844 Fair Value Measurements Using Level 1 Level 2 $ $ 9,000,710 67,093 8,468,645 2,201,280 163,880 19,901,608 Level 3 $ NOTE 23 – SUBSEQUENT EVENT On August 26, 2016, the Maricopa County Public Finance Corporation issued Certificates of Participation, Series 2016, for $44,460,000 with an interest rate at 1.35% and maturing from July 1, 2017 to July 1, 2023. The proceeds, along with County contributions of $7,410,000 were used to refund the Lease Revenue Bonds, Series 2007A, of $51,095,000 which were redeemed on September 29, 2016. 89 90 Financial Section Required Supplementary Information Required Supplementary Information 92 Maricopa County Required Supplementary Information Budgetary Comparison Schedule General Fund Year Ended June 30, 2016 Variance With Final Budget Budgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Taxes Licenses and permits Intergovernmental Charges for services $ 476,626,393 $ 476,626,393 $ 481,278,116 $ 4,651,723 2,311,877 2,311,877 2,664,234 352,357 649,091,702 653,384,430 666,744,342 13,359,912 42,778,285 42,455,380 48,238,405 5,783,025 Fines and forfeits 9,802,082 9,802,082 11,761,459 1,959,377 Interest income 2,800,000 2,782,364 2,800,000 2,782,614 4,815,195 5,467,079 2,015,195 2,684,465 1,186,192,703 1,190,162,776 1,220,968,830 30,806,054 Miscellaneous Total revenues EXPENDITURES General government Assessor 24,132,164 24,124,434 23,681,759 442,675 Assistant County Manager 1,256,449 1,209,802 591,704 618,098 Board of Supervisors 3,278,001 3,278,001 2,957,744 320,257 County Call Center 1,719,187 1,719,187 1,597,111 122,076 County Managers Office 2,577,919 2,577,919 2,465,434 112,485 Deputy County Manager 1,473,270 1,473,270 1,346,277 126,993 Elections 13,347,301 19,089,369 17,170,735 1,918,634 Enterprise Technology 39,148,184 38,942,315 33,301,460 5,640,855 Facilities Management 45,709,658 45,826,753 37,913,121 7,913,632 2,855,401 2,855,401 2,581,896 273,505 57,413,228 61,895,825 10,547,587 51,348,238 Internal Audit 1,855,357 1,855,357 1,842,643 12,714 Management and Budget 2,431,156 2,431,156 2,037,366 393,790 Procurement Services 2,487,658 2,487,658 2,445,336 42,322 Recorder 2,185,621 2,185,621 1,932,805 252,816 Treasurer 5,059,279 4,440,245 5,059,279 4,415,925 5,058,442 4,066,957 837 348,968 211,370,078 221,427,272 151,538,377 69,888,895 Adult Probation 49,255,413 48,355,413 48,161,717 193,696 Clerk of Superior Court Finance Non-Departmental Workforce Management and Development Total General Government Public safety 35,668,456 35,591,783 33,116,709 2,475,074 Constables 3,076,881 3,083,214 2,942,028 141,186 Correctional Health 3,289,967 3,307,802 3,209,326 98,476 85,548,461 85,548,461 85,205,137 343,324 County Attorney Emergency Management Justice Courts 250,989 250,989 224,709 26,280 18,337,008 18,337,008 18,148,709 188,299 Juvenile Defender 9,441,291 9,441,291 9,106,948 334,343 Juvenile Probation 17,872,534 16,767,534 16,693,052 74,482 The note to the budgetary comparison schedules is an integral part of this schedule 93 (continued) Maricopa County Required Supplementary Information Budgetary Comparison Schedule General Fund (Continued) Year Ended June 30, 2016 Variance With Final Budget Budgeted Amounts Original Actual Amounts Final Positive (Negative) Public safety (cont.) Legal Defender $ Medical Examiner 13,258,636 $ 13,358,636 $ 13,179,953 $ 178,683 8,791,501 8,919,011 8,748,169 170,842 Office Contract Counsel 55,543,889 55,293,889 45,435,228 9,858,661 Office of Legal Advocate 12,055,425 12,055,425 11,810,147 245,278 868,232 868,232 868,232 Planning and Development Protective Services 4,141,089 4,141,089 3,945,277 195,812 Public Defender 40,490,466 40,640,466 40,390,721 249,745 Public Fiduciary 3,201,348 3,302,783 3,227,846 74,937 114,650,913 87,424,770 113,968,189 89,464,806 111,211,560 88,800,682 2,756,629 664,124 563,167,269 562,696,021 544,426,150 18,269,871 1,220,657 1,220,657 1,215,539 5,118 258,954 758,954 758,954 Sheriff General Fund Superior Court Total public safety Health, welfare and sanitation Air Quality Animal Care and Control Environmental Services Non-Departmental Health Care Programs Human Services Public Health Waste Resources and Recycling Total health, welfare and sanitation 4,168,995 4,168,995 4,086,847 82,148 231,602,350 231,602,350 230,929,779 672,571 88,727 270,537 270,537 181,810 2,380,912 2,380,912 2,355,369 25,543 11,814,181 3,231,384 11,814,181 3,231,384 11,503,672 3,091,482 310,509 139,902 254,947,970 255,447,970 254,123,452 1,324,518 1,259,802 1,299,840 935,559 364,281 2,910,770 2,904,609 2,643,683 260,926 1,033,655,889 1,043,775,712 953,667,221 90,108,491 152,536,814 146,387,064 267,301,609 120,914,545 Culture and recreation Parks and Recreation Education Superintendent of Schools Total expenditures Excess of revenues over expenditures OTHER FINANCING SOURCES (USES) Transfers in Transfers out 5,809,670 6,691,743 6,698,043 6,300 (241,248,499) (235,980,822) (232,465,428) 3,669,709 3,515,394 3,669,709 (235,438,829) (229,289,079) (222,097,676) 7,191,403 (82,902,015) (82,902,015) 45,203,933 128,105,948 82,902,015 82,902,015 116,401,095 33,499,080 422,691 422,691 Capital lease agreements Total other financing uses Net change in fund balances Fund balance, July 1, 2015 Change in nonspendable resources: Increase in inventories Fund balance, June 30, 2016 $ $ The note to the budgetary comparison schedules is an integral part of this schedule. 94 $ 162,027,719 $ 162,027,719 Maricopa County Required Supplementary Information Budgetary Comparison Schedule Detention Operations Fund Year Ended June 30, 2016 Variance With Final Budget Budgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Taxes $ Charges for services Interest income Miscellaneous Total revenues 146,085,926 $ 146,085,926 $ 146,246,549 $ 160,623 30,456,852 30,456,852 25,849,546 (4,607,306) 1,100,000 1,100,000 1,365,838 60,000 177,702,778 60,000 177,702,778 182,801 173,644,734 122,801 (4,058,044) 410,729,104 403,053,030 362,870,668 40,182,362 2,747,000 413,476,104 2,998,000 406,051,030 2,571,840 365,442,508 426,160 40,608,522 (235,773,326) (228,348,252) (191,797,774) 36,550,478 198,483,977 190,922,075 190,922,075 (1,469,193) (1,332,365) (1,338,665) 197,014,784 189,589,710 710,255 190,293,665 710,255 703,955 (38,758,542) (38,758,542) (1,504,109) 37,254,433 44,353,482 44,353,482 44,174,643 (178,839) 265,838 EXPENDITURES Current: Public safety Capital outlay Total expenditures Deficiency of revenues under expenditures OTHER FINANCING SOURCES (USES) Transfers in Transfers out Capital lease agreements Total other financing sources Net change in fund balances Fund balance, July 1, 2015, restated (6,300) Change in nonspendable resources: Decrease in inventories Fund balance, June 30, 2016 (23,635) $ 5,594,940 $ The note to the budgetary comparison schedules is an integral part of this schedule 95 5,594,940 $ 42,646,899 (23,635) $ 37,051,959 Maricopa County Required Supplementary Information Note to Budgetary Comparison Schedules June 30, 2016 NOTE 1 - BUDGETARY BASIS OF ACCOUNTING Budgeting and Budgetary Control Arizona Revised Statutes (A.R.S.) requires the County to prepare and adopt a balanced budget annually for each governmental fund. The Board of Supervisors must approve such operating budgets on or before the third Monday in July to allow sufficient time for the legal announcements and hearings required for the adoption of the property tax levy on the third Monday in August. A.R.S. prohibits expenditures or liabilities in excess of the amounts budgeted. Essentially, the County prepares its budget on the same modified accrual basis of accounting used to record actual revenues and expenditures. However, in the General Fund, the County records capital outlay expenditures by the expenditure function and department. The County has adopted budgets in accordance with the A.R.S. requirements for the General, Special Revenue, Debt Service, and Capital Projects Funds, with the exception of the following funds: Accommodation Schools, Street Lighting District, Special Assessment, and the Special Improvement Districts funds. In accordance with GASB Statement No. 34, budgetary comparison schedules should be presented in the required supplementary information for only the General Fund and for each major Special Revenue Fund. Formal budget integration is not employed for the Internal Service Funds because effective budgetary control is alternatively achieved through capability of cost recovery. Budgeted amounts are reported as originally adopted and as amended by authorization from the Board of Supervisors. All budget adjustments with the exception of the Judicial Branch, which includes Adult Probation, Justice Courts, Juvenile Probation and Superior Court, require authorization from the Board of Supervisors. The Judicial Branch appropriations can be moved between the Judicial Branch departments by fund, as requested and approved by the Presiding Judge, without further Board approval. Budgeted appropriations include expenditures and transfers out. Expenditures and transfers out may not legally exceed appropriations at the department level. With the exception of the General Fund, each fund includes only one department. 96 Maricopa County Required Supplementary Information Schedule of the County’s Proportionate Share of Net Pension Liability June 30, 2016 Arizona State Retirement System Reporting Fiscal Year (Measurement Date) 2016 (2015) County's proportion of the net pension liability 2015 (2014) 5.2% County’s proportionate share of the net pension liability $ County’s covered payroll County’s proportionate share of the net pension liability as a percentage of its covered payroll 5.1% 809,331,280 $ 748,436,636 479,712,628 457,944,565 168.7% 163.4% 68.4% 69.5% Plan fiduciary net position as a percentage of the total pension liability 2014 through 2007 (Information not available) Corrections Officer Retirement Plan—Administrative Office of the Courts Reporting Fiscal Year (Measurement Date) 2015 (2014) 2016 (2015) County’s proportion of the net pension liability 57.3% County’s proportionate share of the net pension liability $ County’s covered payroll County’s proportionate share of the net pension liability as a percentage of its covered payroll 139,409,566 $ 56.0% 125,717,900 65,257,263 61,821,694 213.6% 203.4% 57.9% 58.6% Plan fiduciary net position as a percentage of the total pension liability 2014 through 2007 (Information not available) Elected Officials Retirement Plan Reporting Fiscal Year (Measurement Date) 2016 (2015) County’s proportion of the net pension liability 2015 (2014) 28.7% County’s proportionate share of the net pension liability $ State’s proportionate share of the net pension liability associated with the County 224,240,437 $ 69,908,836 $ Total County’s covered payroll County’s proportionate share of the net pension liability as a percentage of its covered payroll Plan fiduciary net position as a percentage of the total pension liability 97 294,149,273 $ 28.0% 187,488,213 57,485,628 244,973,841 26,294,214 25,707,192 1,119% 952.9% 28.3% 31.9% 2014 through 2007 (Information not available) Maricopa County Required Supplementary Information Schedule of Changes in the County’s Net Pension Liability and Related Ratios June 30, 2016 PSPRS Sheriff Reporting Fiscal Year (Measurement Date) 2016 (2015) Total pension liability Service cost Interest on the total pension liability Changes of benefit terms Differences between expected and actual experience in the measurement of the pension liability Changes of assumptions or other inputs Benefit payments, including refunds of employee contributions Net change in total pension liability Total pension liability—beginning Total pension liability—ending (a) Plan fiduciary net position Contributions—employer Contributions—employee Net investment income Benefit payments, including refunds of employee contributions Administrative expense Other changes Net change in plan fiduciary net position Plan fiduciary net position—beginning Plan fiduciary net position—ending (b) County’s net pension liability—ending (a) – (b) $ 2015 (2014) 8,569,277 32,648,223 $ 14,238,261 $ $ (24,192,292) 31,263,469 423,712,440 454,975,909 $ 7,480,509 26,943,394 8,426,465 11,002,881 41,139,111 (21,535,223) 73,457,137 350,255,303 423,712,440 $ $ 19,300,393 5,718,569 6,829,419 (24,192,292) (166,999) 60,926 7,550,016 186,022,676 193,572,692 $ 14,269,254 4,854,094 22,842,521 (21,535,223) (183,966) (319,075) 19,927,605 166,095,071 186,022,676 $ 261,403,217 $ 237,689,764 Plan fiduciary net position as a percentage of the total pension liability Covered payroll 42.6% 43.9% $50,323,844 $42,465,860 519.4% 559.7% County’s net pension liability as a percentage of covered payroll 2014 through 2007 (Information not available) PSPRS Attorney Investigators Reporting Fiscal Year (Measurement Date) 2016 (2015) Total pension liability Service cost Interest on the total pension liability Changes of benefit terms Differences between expected and actual experience in the measurement of the pension liability Changes of assumptions or other inputs Benefit payments, including refunds of employee contributions Net change in total pension liability Total pension liability—beginning Total pension liability—ending (a) Plan fiduciary net position Contributions—employer Contributions—employee Net investment income Benefit payments, including refunds of employee contributions Administrative expense Other changes 98 $ 253,874 853,275 2015 (2014) $ (324,461) $ $ (904,489) (121,801) 11,195,054 11,073,253 1,077,456 147,013 162,028 (904,489) (4,332) (3,641) $ $ 148,216 687,975 361,998 406,452 1,360,402 (919,786) 2,045,257 9,149,797 11,195,054 875,484 175,233 508,376 (919,786) (4,094) 68,762 2014 through 2007 (Information not available) Maricopa County Required Supplementary Information Schedule of Changes in the County’s Net Pension Liability and Related Ratios (Continued) June 30, 2016 PSPRS Attorney Investigators (continued) Reporting Fiscal Year (Measurement Date) Net change in plan fiduciary net position Plan fiduciary net position—beginning Plan fiduciary net position—ending (b) $ 2016 (2015) 474,035 4,276,595 4,750,630 County’s net pension liability—ending (a) – (b) $ 6,322,623 Plan fiduciary net position as a percentage of the total pension liability Covered payroll $ 2015 (2014) 703,975 3,572,620 4,276,595 $ 6,918,459 42.9% $ 3,247,944 County’s net pension liability as a percentage of covered payroll 2014 through 2007 (Information not available) 38.2% $ 194.7% 3,313,690 208.8% CORP Detention Reporting Fiscal Year (Measurement Date) 2016 (2015) Total pension liability Service cost Interest on the total pension liability Changes of benefit terms Differences between expected and actual experience in the measurement of the pension liability Changes of assumptions or other inputs Benefit payments, including refunds of employee contributions Net change in total pension liability Total pension liability—beginning Total pension liability—ending (a) Plan fiduciary net position Contributions—employer Contributions—employee Net investment income Benefit payments, including refunds of employee contributions Administrative expense Other changes Net change in plan fiduciary net position Plan fiduciary net position—beginning Plan fiduciary net position—ending (b) County’s net pension liability—ending (a) – (b) $ $ $ (16,370,870) 22,153,150 355,684,352 377,837,502 $ 13,157,787 22,915,599 4,251,385 10,839,392 27,217,502 (16,073,751) 62,307,914 293,376,438 355,684,352 $ $ $ 11,963,290 8,207,931 24,337,934 (16,073,751) (191,360) (72,076) 28,171,968 173,630,365 201,802,333 $ 164,245,523 $ 153,882,019 56.5% 104,462,671 157.2% 99 $ 12,465,970 8,470,324 7,511,442 (16,370,870) (185,964) (101,256) 11,789,646 201,802,333 213,591,979 $ County’s net pension liability as a percentage of covered payroll 2015 (2014) (3,602,883) Plan fiduciary net position as a percentage of the total pension liability Covered payroll 14,287,455 27,839,448 2014 through 2007 (Information not available) 56.7% $ 99,925,573 154.0% Maricopa County Required Supplementary Information Schedule of County Pension Contributions June 30, 2016 Reporting Fiscal Year 2016 Arizona State Retirement System Statutorily required contribution County’s contributions in relation to the statutorily required contribution County’s contribution deficiency (excess) $ $ PSPRS Sheriff Actuarially determined contribution County’s contributions in relation to the actuarially determined contribution County’s contribution deficiency (excess) PSPRS Attorney Investigators Actuarially determined contribution County’s contributions in relation to the actuarially determined contribution County’s contribution deficiency (excess) 10.7% 12,319,262 $ 8,712,921 8,712,921 $ 66,943,949 65,257,263 61,821,694 18.4% 14.6% 14.1% 6,065,753 $ 6,033,621 $ 6,033,621 $ 5,957,431 5,957,431 $ 27,158,658 26,294,214 25,707,192 22.3% 22.9% 23.2% 25,739,331 $ 18,736,372 $ 18,736,372 $ 14,269,254 14,269,254 $ 53,433,053 50,323,844 42,465,860 48.2% 37.2% 33.6% 1,399,472 $ 1,052,103 $ 1,052,103 $ 875,484 875,484 $ 3,893,987 3,247,944 3,313,690 35.9% 32.4% 26.4% 15,896,136 $ 15,896,136 $ County’s covered payroll County’s contributions as a percentage of covered payroll $ 9,496,405 1,399,472 $ 9,496,405 $ $ County’s covered payroll County’s contributions as a percentage of covered payroll CORP Detention Actuarially determined contribution County’s contributions in relation to the actuarially determined contribution County’s contribution deficiency (excess) 457,944,565 10.9% 25,739,331 $ 48,882,491 $ 479,712,628 $ County’s covered payroll County’s contributions as a percentage of covered payroll 48,882,491 10.8% 6,065,753 $ $ 477,764,920 $ County’s covered payroll County’s contributions as a percentage of covered payroll 52,096,273 52,096,273 12,319,262 $ 2014 $ $ County’s covered payroll County’s contributions as a percentage of covered payroll Elected Officials Retirement Plan Statutorily required contribution County’s contributions in relation to the statutorily required contribution County’s contribution deficiency (excess) $ 51,696,840 $ County’s covered payroll County’s contributions as a percentage of covered payroll Corrections Officer Retirement Plan— Administrative Office of the Courts Statutorily required contribution County’s contributions in relation to the statutorily required contribution County’s contribution deficiency (excess) 51,696,840 2015 12,444,879 $ 12,444,879 $ 11,963,290 11,963,290 $ 105,470,072 104,462,671 99,925,573 15.1% 11.9% 12.0% See accompanying notes to the pension plan schedule 100 2013 through 2007 (Information not available) Maricopa County Required Supplementary Information Notes to Pension Plan Schedules June 30, 2016 NOTE 1 – CHANGE IN ACCOUNTING PRINCIPLE For the year ended June 30, 2016, the County implemented the provisions of GASB Statement No. 82, Pension Issues. The statement changed the measure of payroll that is required to be presented in required supplementary information from covered-employee payroll to covered payroll. Accordingly, payroll amounts presented in the pension plan schedules and related ratios for prior periods have been restated. NOTE 2 – ACTUARIALLY DETERMINED CONTRIBUTION RATES Actuarial determined contribution rates for PSPRS and CORP are calculated as of June 30 two years prior to the end of the fiscal year in which contributions are made. The actuarial methods and assumptions used to establish the contribution requirements are as follows: Actuarial cost method Amortization method Remaining amortization period as of the 2014 actuarial valuation Asset valuation method Actuarial assumptions: Investment rate of return Projected salary increases Wage growth Retirement age Mortality NOTE 3 – Entry age normal Level percent closed for unfunded actuarial accrued liability, open for excess 22 years for unfunded actuarial accrued liability, 20 years for excess 7-year smoothed market value; 80%/120% market corridor In the 2013 actuarial valuation, the investment rate of return was decreased from 8.0% to 7.85% In the 2014 actuarial valuation, projected salary increases were decreased from 4.5%–8.5% to 4.0%-8.0% for PSPRS and from 4.5%–7.75% to 4.0%-7.25% for CORP. In the 2013 actuarial valuation, projected salary increases were decreased from 5.0%9.0% to 4.5%–8.5% for PSPRS and from 5.0%-8.25% to 4.5%– 7.75% for CORP. In the 2014 actuarial valuation, wage growth was decreased from 4.5% to 4.0% for PSPRS and CORP. In the 2013 actuarial valuation, wage growth was decreased from 5.0% to 4.5% for PSPRS and CORP Experience-based table of rates that is specific to the type of eligibility condition. Last updated for the 2012 valuation pursuant to an experience study of the period July 1, 2006 - June 30, 2011. RP-2000 mortality table (adjusted by 105% for both males and females) PLAN INFORMATION EXCLUDED Information for the PSPRS – Park Rangers plan is not disclosed in the required supplementary information as the plan currently has no active members and only five inactive members. This plan is closed to new members and has not had any active members since fiscal year 2006-07. 101 Maricopa County Required Supplementary Information Schedule of Agent OPEB Plans’ Funding Progress June 30, 2016 Health Insurance Premium Benefit Actuarial Valuation Date Actuarial value of assets (a) Actuarial accrued liability (b) Unfunded actuarial accrued liability (UAAL) (funding excess) (b) – (a) Funded ratio (a)/(b) Annual covered payroll (c) UAAL (funding excess) as a percentage of covered payroll (b) – (a)/c) PSPRS Sheriff 6/30/16 6/30/15 6/30/14 $ 13,348,178 12,902,495 11,742,955 $ 10,193,635 9,712,588 9,178,379 $ (3,154,543) (3,189,907) (2,564,576) 130.9% 132.8% 127.9% $ 52,596,336 50,845,769 41,936,849 (6.0%) (6.3%) (6.1%) $ 196,950 202,200 195,399 $ (68,056) (57,676) (48,046) 134.6% 128.5% 124.6% $ 1,205,821 1,105,521 1,162,961 (5.6%) (5.2%) (4.1%) $ 12,091,137 11,296,234 10,429,987 $ (3,933,121) (3,993,200) (3,404,544) 132.5% 135.4% 132.6% $ 95,716,407 100,248,585 99,513,508 (4.1%) (4.0%) (3.4%) PSPRS Attorney Investigators 6/30/16 6/30/15 6/30/14 $ 265,006 259,876 243,445 $ 16,024,258 15,289,434 13,834,531 CORP Detention 6/30/16 6/30/15 6/30/14 102 Maricopa County Required Supplementary Information Modified Approach for Infrastructure Assets Year Ended June 30, 2016 Condition Rating of Maricopa County Roadway System Percentage of Lane Miles in Very Good or Excellent Condition (71-100) Roadway System FY 2016 92% FY 2015 92% FY 2014 88% FY 2013 88% FY 2012 88% Percentage of Lane Miles in Substandard Condition < 55 Roadway System FY 2016 FY 2015 FY 2014 FY 2013 FY 2012 0% 0% 1% 1% 1% Comparison of Estimated to Actual Maintenance/Preservation Estimated Actual FY 2016 FY 2015 FY 2014 FY 2013 $ 23,380,436 $ 19,392,076 $ 20,520,937 $ 17,919,194 $ 16,898,176 $ 14,561,888 $ 13,676,976 $ 11,930,482 FY 2012 $ 34,788,600 $ 30,800,046 The condition of road pavement is measured using the Maricopa County Department of Transportation (MCDOT) Road Management System (RMS), which is based on weighted averages of nine distress factors of the pavement surface. The RMS used a measurement scale to evaluate the Pavement Condition Rating (PCR) ranging from zero for a failed pavement to 100 for a pavement in perfect condition. The PCR index is used to classify roads in very good or excellent condition (71-100), good condition (55-70), and substandard condition (less than 55). It is the County’s policy to maintain at least 75% of the roadways at a very good or excellent condition level. No more than 5% should be in a substandard condition. Pavement condition assessments are determined annually for all arterial roads and approximately one-half of the local roads are inspected annually. Condition Rating of Maricopa County Bridge System Percentage of Bridges with a Sufficiency Rating >= 70 Bridge System FY 2016 92% FY 2015 100% FY 2014 99% FY 2013 99% FY 2012 99% Percentage of Bridges with a Sufficiency Rating < 50 Bridge System FY 2016 0% FY 2015 0% FY 2014 0% FY 2013 0% FY 2012 0% Comparison of Estimated to Actual Maintenance/Preservation Estimated Actual FY 2016 $ 495,512 $ 22,287 FY 2015 $ 525,000 $ 377,647 FY 2014 $ 2,387,500 $ 2,153,324 FY 2013 $ 87,500 $ 203,990 FY 2012 $ 5,610,000 $ 5,472,568 The condition of the County’s bridges is determined using the MCDOT bridge inspection program that follows federal mandates and regulations. The bridge sufficiency rating, which is a weighted average of an assessment of the ability of individual components to meet necessary performance requirements, uses a numerical condition scale ranging from 0 to 100. It is the County’s policy that 90% of bridges will have a rating of >=70 and no more than 3% of bridges will have a rating of <50. All bridges are inspected every two years (approximately one-half of the bridges are inspected annually). 103 104 Financial Section Nonmajor Governmental Funds Combining and Individual Fund Statements and Schedules Nonmajor Governmental Funds 106 Maricopa County Listing of Nonmajor Governmental Funds Special Revenue Funds Accommodation Schools — (Fund 509) Accounts for the maintenance and operations of the accommodation schools. (Fund 509 is for financial statement roll up purposes, off Advantage - Formerly Regional School District 509). Adult Probation Fees — (Fund 201) Collects the fees assessed to persons placed on probation in the Superior Court per A.R.S. §13-901. Monies collected are used to supplement County General Fund appropriations for the compensation costs of probation officers who provide pre-sentence investigations (A.R.S. §12-267). Adult Probation Grants — (Fund 211) Revenues consist of grant funds that are used for domestic violence, women’s treatment programs, gang prevention and criminal justice records improvement. Air Quality Fees — (Fund 504) Air Quality works to protect the environment and public health through control, preservation, and improvement of the County’s air quality. Permit revenue authorized by A.R.S. §49-480 is the funding source. Air Quality Grants — (Fund 503) Air Quality Grants was set up to account for all grant activity administered by the Air Quality Department. Animal Control Field Operations — (Fund 574) Accounts for the Animal Control field services that are an optional County service from Animal Control pound activities, which are required by Arizona State Statute. Animal Control Grants — (Fund 573) Animal Control Grants was set up to account for all grant activity administered by Animal Control. Animal Control License/Shelter — (Fund 572) Animal Control reduces the incidences of animal inflicted injuries and reduces the risk of exposure to rabies through enforcement of dog licensing laws, leash laws, capture and impoundment of stray dogs, public education, adoption or humane disposal of excess animals. Licenses and fees are the primary funding source. Ballpark Operations — (Fund 253) Accounts for all revenues and expenditures related to Chase Field. Cactus League Operations — (Fund 250) Provides regional leadership and financial resources to assure the presence of Major League baseball in Maricopa County. Operations are funded by a rental vehicle surcharge. CDBG Housing Trust — (Fund 217) Accounts for the grant funds that are utilized to expand the supply of low income housing through the rehabilitation and reconstruction of single family occupancy homes. Check Enforcement Program — (Fund 266) Accounts for fees that are collected pursuant to A.R.S. §13-1809 and §131810, any investigation and prosecution costs and any monies that are obtained as a result of a forfeiture and that are recovered for the county through enforcement of A.R.S. §13-1802, §13-1807, §13-2002 or §13-2310, whether by final judgment, settlement or otherwise. The monies in the fund shall be used for the investigation, prosecution and deferred prosecution of theft, forgery and fraud. Child Support Enhancement — (Fund 270) Accounts for funds received from a federal incentive award that is utilized for the enhancement of child support collections through efficient operation of the Title IV-D program. Children’s Issues Education — (Fund 281) Accounts for the funds that are utilized for educational programs regarding the impact that divorce, the restructuring of families and judicial involvement have on children pursuant to A.R.S. §25354. Revenues that are received from the Clerk’s educational program fees supplement any state or county appropriations. Clerk of Court Fill the Gap — (Fund 218) This fund was set up as indicated by A.R.S. §41-2421F and accounts for monies distributed under A.R.S. §41-2421. Funds are to be used to supplement, not supplant, funding at the level provided in fiscal year 1998 by the counties for the processing of criminal cases in the Superior Court, including the Office of the Clerk of the Superior Court, and Justice Courts. Clerk of the Court EDMS — (Fund 274) The Clerk of Court EDMS Fund was established to account for Electronic Document Management System (EDMS) Fees, which are collected as authorized by Board Agenda C16020028, ADM1005 and State Attorney General’s Opinion 195-18 (R94-63). 107 Maricopa County Listing of Nonmajor Governmental Funds (Continued) Clerk of the Court Grants — (Fund 216) Accounts for the grant funds that are utilized for the improvement of court automation systems, child support enforcement and the processing of criminal history dispositions. Conciliation Court Fees — (Fund 257) Accounts for the monies collected under A.R.S. §12-284E related to the dissolution of marriages. The funds collected are used by the Domestic Violence Shelter fund and the Child Abuse Prevention and Treatment fund. County Attorney Fill the Gap — (Fund 221) County Attorney Fill the Gap was set up as indicated by A.R.S. §41-2421F and accounts for monies distributed under A.R.S. §41-2421. Funds are to be used to supplement, not supplant, funding at the level provided in fiscal year 1998 by the counties for the processing of criminal cases by county attorneys. County Attorney Grants — (Fund 219) Accounts for funds that are utilized for the investigation and prosecution of child abuse and domestic violence cases and the enhancement of anti-gang enforcement efforts to deter, investigate, prosecute or adjudicate gang offenders. Victim assistance is provided to include transportation, payment of emergency expenses, education programs and training to children’s advocates. County Attorney RICO — (Fund 213) Accounts for funds that provided by the sale of confiscated property pursuant to A.R.S. §13-2314.03. Operated by the County Attorney, RICO consists of all the activity of the Anti-Racketeering Program. Court Document Retrieval — (Fund 205) Accounts for the collection of an additional filing or appearance fee, not to exceed $15, to be used to defray the cost of converting the Clerk of Superior Court’s document storage and retrieval system to micrographics or computer automation as established by A.R.S. §12-284.01. Criminal Justice Enhancement — (Fund 267) Accounts for monies that are allocated to the county attorneys from the Arizona State Criminal Justice Enhancement fund (A.R.S. §41-2401). The funds are to be used for the purpose of enhancing prosecutorial efforts. Diversion — (Fund 220) Establishes the ability of counties to offer special supervision programs for non-violent offenders in order to divert them from incarceration (A.R.S. §11-361). Funds are used to provide alternatives to criminal prosecution to appropriate offenders so that they can receive drug rehabilitation services without the cost of prosecution. Domestic Relations Mediation Education — (Fund 282) Accounts for the funds that are utilized to establish, maintain and enhance programs designed to educate individuals regarding the impacts on children associated with marriage dissolution, legal separation, restructuring of families and the programs available for mediation of visitation or custody disputes, pursuant to A.R.S. §25-413. Operations are funded by revenues from a surcharge received by the Clerk for each filing of a post-adjudication petition in a domestic relation’s case, pursuant to A.R.S. §12-284. Educational Supplemental Program — (Fund 795) Established to collect Title VI-B monies received from the Arizona Department of Education. Elections Grants — (Fund 248) Elections Grants was set up to account for all grant activity administered by the Elections Department. Emancipation Administrative Costs – (Fund 277) Emancipation Administration Fund was established by A.R.S. §122456 consisting of filing fees for a petition for emancipation of a minor pursuant to section 12-284, subsection J. Emergency Management — (Fund 215) Emergency Management activity consists of disaster planning and training. Environmental Services Environmental Health — (Fund 506) Environmental Services – Environmental Health Fund was established to account for activities related to the protection of food and water supplies consumed by residents. Funding is provided by fees collected from Health Inspections and the sale of Health Permits. Environmental Services Grants — (Fund 505) Environmental Services Grants was set up to account for all grant activity administered by the County Environmental Services Department. Expedited Child Support — (Fund 271) Accounts for the funds that are utilized to establish, maintain and enhance programs designed to expedite the processing of petitions filed and enforce the resultant court orders. Revenues collected for subsequent case filing fees for post-decree petitions in dissolution cases, pursuant to A.R.S. §25-412 and A.R.S. §12-284, fund operations. Flood Control — (Fund 991) Provides flood control facilities and regulates floodplains and drainage to prevent flooding of property and endangering the lives of people in Maricopa County. Operations are funded by a secondary tax levy. This fund is part of the Maricopa County Flood Control District, a legally separate entity, which is a blended component unit of Maricopa County. 108 Maricopa County Listing of Nonmajor Governmental Funds (Continued) Flood Control Grants — (Fund 989) General Government Grants was set up to account for all non-department specific grant activity. This fund is part of the Maricopa County Flood Control District, a legally separate entity, which is a blended component unit of Maricopa County. Human Services Grants — (Fund 222) Accounts for the grant funds that are utilized for community action services designed to help the disadvantaged achieve self-sufficiency and family stability. Inmate Health Services — (Fund 254) Accounts for the co-payments received from inmates for self initiated health service pursuant to A.R.S. §31-161 and A.R.S. §31-162. Inmate Services — (Fund 252) Accounts for the funds that are held in trust for the benefit and welfare of the inmates, established under A.R.S. §31-121. The majority of revenues are derived from sales of food and sundries to inmates. Judicial Enhancement — (Fund 208) Revenues consist of fees and surcharges collected under authority of A.R.S. §12284.03 and time payment fees collected under authority of A.R.S. §12-116. In addition, revenues are received from the State Judicial Enhancement Fund established by A.R.S. §12-113. Expenditures are used to improve, maintain and enhance the collection and management of funds and court automation projects. Justice Court Judicial Enhancement — (Fund 204) Revenues consist of fees and surcharges collected under the authority of A.R.S. §22-281; and time payment fees collected under authority of A.R.S. §12-116; and on-line access subscription fees collected under authority of A.R.S. §22-284. Expenditures are used to improve, maintain and enhance the ability to collect and manage monies assessed or received by the courts and to improve court automation projects. Justice Courts Photo Enforcement — (Fund 237) Established by the Board of Supervisors on November 4, 2009 (C24-10-001-M-00) to account for the Justice Courts fee revenue and operating expenditures associated with photo radar traffic enforcement. Justice Courts Special Revenue — (Fund 245) Established for the purpose of defraying expenses of justice court services by providing improvements in court technology, operations and facilities to enable the courts to respond quickly to changing statutory and case processing needs. Operations are funded by a user’s charge to be added to the Defensive Driving School Diversion Fee as of March 1, 1998. Juvenile Probation Diversion — (Fund 275) The Juvenile Probation Diversion fund was established by A.R.S. §11-537 and consists of diversion fees that are collected pursuant to A.R.S. §8-321(N). The monies shall be used at the discretion of the county attorney for administering county community based alternative programs that are established pursuant to A.R.S. §8-321. Juvenile Probation Grants — (Fund 227) Accounts for the grant funds that are utilized for the child nutrition program, family counseling and safe schools program. Juvenile Probation Special Fees — (Fund 228) This fund was established by A.R.S. §12-268 to account for juvenile probation fees collected and used for the purpose of supplementing County General Fund appropriations for the compensation of personnel of the Juvenile Court. Juvenile Restitution — (Fund 229) Pursuant to A.R.S. §8-346, the fund was established for the payment of restitution in juvenile delinquency proceedings. This fund consists of state and local appropriations, gifts, devices and donations from any public or private source. Lake Pleasant Recreation Services — (Fund 240) Provides the public with positive leisure opportunities in a safe, accessible and efficient manner through quality development and programming while conserving and protecting unique and environmentally sensitive areas. Law Library Fees — (Fund 261) Established by A.R.S. §12-305 to account for a portion of the fees collected by the Clerk of Superior Court to be used for the purchase of books for the county law library. Legal Defender Fill the Gap — (Fund 263) Legal Defender Fill the Gap was set up as indicated by A.R.S. §41-2421F and accounts for monies distributed under A.R.S. §41-2421. Funds are to be used to supplement, not supplant, funding at the level provided in fiscal year 1998 by counties for the processing of criminal cases by the county public defender, legal defender and contract indigent defense counsel in each county. Library District — (Funds 244/246) Provides and maintains library services for the residents of Maricopa County. Operations are funded by a secondary tax levy. This fund is part of the Maricopa County Library District, a legally separate entity, which is a blended component unit of Maricopa County. 109 Maricopa County Listing of Nonmajor Governmental Funds (Continued) Library District Grants — (Fund 242) Library District Grants was set up to account for all grant activity administered by the County Library District. This fund is part of the Maricopa County Library District, a legally separate entity, which is a blended component unit of Maricopa County. Medical Examiner Grants — (Fund 224) Medical Examiner Grants was set up to account for all grant activity administered by the department of the Medical Examiner. Non-Departmental Grants — (Fund 249) Non-Departmental Grants was set up to account for all non-department specific grant activity. Officer Safety Equipment — (Fund 206) Accounts for the assessments that are received by the County for investigations or issued citations pursuant to A.R.S. §12-116.04. The monies in the fund should be used to supplement, not supplant, monies available for officer safety equipment. Palo Verde — (Fund 207) Palo Verde receives an annual allocation from the State of Arizona. Expenditures are utilized for nuclear disaster training. Parks and Recreation Grants — (Fund 230) Accounts for the grant funds that are utilized for state lake improvements, park restoration and the construction and maintenance of hiking trails. Parks Donations — (Fund 243) Accounts for donations and contributions activities provided for by citizens or groups. Parks Enhancement — (Fund 241) Accounts for park and recreation revenues and expenditures associated with enhancing parks and recreation programs pursuant to A.R.S. §11-941. Parks Souvenir — (Fund 239) Accounts for sales proceeds of sundry items at the Maricopa County Parks. Parks Spur Cross Ranch Conservation — (Fund 225) Accounts for the money collected from a Town imposed ½% transaction privilege tax for the operation of the County park. Planning and Development Fees — (Fund 226) Performs mandated community planning functions. Funding is provided mainly through license and impact fees. Probate Fees — (Fund 256) Administers the monies received by the Clerk of the Superior Court pursuant to A.R.S. §145314 and A.R.S. §14-5414 to preserve, audit, and safeguard the estates and wards for whom the court has a fiduciary responsibility. Public Defender Fill the Gap — (Fund 262) Public Defender Fill the Gap was set up as indicated by A.R.S. §41-2421F and accounts for monies distributed under A.R.S. §41-2421. Funds are to be used to supplement, not supplant, funding at the level provided in fiscal year 1998 by counties for the processing of criminal cases by the county public defender, legal defender and contract indigent defense counsel in each county. Public Defender Grants — (Fund 233) Accounts for grant funds that are utilized for public defender training and to increase the processing of drug cases. Public Defender Training — (Fund 209) Established by A.R.S. §12-117 to account for fees that are paid on a time payment basis as established by A.R.S. §12-116. Expenditures are utilized for Public Defender Training. Public Health Grants — (Fund 532) Protects, improves and preserves the physical, mental and social well being and the environment of the entire population of Maricopa County with a special responsibility to serve those most vulnerable. Federal and State grants fund operations. Public Health Fees — (Fund 265) Accounts for public health programs that are self-supported by Vital Health fees and pharmacy operations. Recorder’s Surcharge — (Fund 236) Accounts for the collection of a special recording surcharge, not to exceed four dollars, to be used to defray the cost of converting the County Recorder’s document storage and retrieval system to micrographics or computer automation as established by A.R.S. §11-475.01. School Communication Expense — (Fund 782) Accounts for management of centralized billings paid by Superintendent of Schools for multiple school districts. School Grants — (Fund 715) Accounts for all grant activity administered by the Superintendent of Schools. 110 Maricopa County Listing of Nonmajor Governmental Funds (Continued) School Transportation — (Fund 780) Established by A.R.S. §15-1001 to account for transportation aid for the transportation of children from unorganized territory to school districts within the County. Sheriff Donations — (Fund 203) Accounts for and segregates funds to be used in support of mandated functions. Funding is provided by non-specific donations and proceeds from the sale of donated items. Sheriff Grants — (Fund 251) Accounts for grant and intergovernmental funds that support and enhance Sheriff Office activities. Sheriff Jail Enhancement — (Fund 214) Per A.R.S. §41-2401, the Arizona State Department of Corrections allocates criminal justice enhancement fund to County Sheriffs for the purpose of enhancing County Jail facilities and operations. Sheriff RICO — (Fund 212) This fund consists of monies received as result of participation in any investigation or prosecution, whether by final judgment, settlement, or otherwise. Monies may be used for the funding of gang prevention programs, substance abuse prevention programs, substance abuse education programs, and witness protection or for any purposes permitted by federal law relating to the disposition of any property that is transferred to a law enforcement agency. Sheriff Towing and Impound — (Fund 258) Accounts for the fees collected for the removal, immobilization, impoundment, storage, and release of a vehicle pursuant to A.R.S. § 28-3513. The monies in the fund shall be used for the purpose implemented in A.R.S. §28-872. Small School Service — (Fund 669) Established per A.R.S. §15-365 to account for service programs operated through the County School Superintendent. Spousal Maintenance Enforcement Enhancement — (Fund 276) The Spousal Maintenance Enforcement Enhancement Fund is established for the Clerk of the Superior Court consisting of monies received pursuant to A.R.S. §12-289. The Clerk will spend monies in the fund to enhance enforcement of spousal maintenance orders. In addition to the fees required by section A.R.S. §12-284, the clerk shall charge and collect a surcharge of five dollars for each filing of a petition or an answer for annulment, dissolution of marriage or legal separation. The clerk will use the surcharge only for the purposes prescribed by this statute. Street Lighting District — (Fund 992) Provides street lighting in unincorporated areas of Maricopa County. Operations are funded by special assessment. Superior Court Building Repair — (Fund 280) This fund was set up to segregate costs for additions, alterations and repairs for the Superior Court Building. Superior Court Fill the Gap — (Fund 264) Superior Court Fill the Gap was set up as indicated by A.R.S. §41-2421F and accounts for monies distributed under A.R.S. §41-2421. Funds are to be used to supplement, not supplant, funding at the level provided in fiscal year 1998 by the counties for the processing of criminal cases in the superior court, including the office of the clerk of the superior court, and justice courts. Superior Court Grants — (Fund 238) Grant funds are used for drug enforcement accounting, court appointed special advocates and case processing assistance. Superior Court Special Revenue — (Fund 259) Accounts for monies received under an intergovernmental agreement with the Department of Economic Security to conduct Title IV-D child support enforcement enhancements. Taxpayer Information — (Fund 741) Consist of monies collected from the public records copy surcharge imposed under A.R.S. §11-496, the tax-lien-processing fee imposed pursuant to A.R.S. §42-18116, $50 of each judgment-deed fee collected pursuant to A.R.S. §42-18205, interest earned from the elderly assistance fund pursuant to A.R.S. §42-17401 and the community facilities district special assessment fee imposed pursuant to A.R.S. §48-721. The County Treasurer shall administer the fund and spend monies in the fund only to defray the cost of converting or upgrading an automated public information system. (Fund 741 is for financial statement roll up purposes, off Advantage.) Transportation Grants — (Fund 223) Transportation Grants was set up to account for all grant activity administered by the County Transportation Department. Transportation Operations — (Fund 232) Plans and implements an environmentally balanced multi-model transportation system. Operations are funded through highway user taxes. 111 Maricopa County Listing of Nonmajor Governmental Funds (Continued) Victim Compensation Interest — (Fund 269) Established as authorized by A.R.S. §11-538 consisting of monies that are distributed pursuant to A.R.S. §12-286 (75 percent of the interest earned on restitution monies that are received in trust). The County Attorney shall use monies in the fund to assist eligible victims of crime with medical, counseling and funeral expenses and lost wages. Victim Compensation Restitution — (Fund 268) Established to administer funding provided from the State Victim Compensation and Assistance fund (A.R.S. §41-2407) and from prisoner supervision fees under A.R.S. §31-418. The fund is used for establishing, maintaining and supporting programs that compensate and assist victims of crime. Victim Location — (Fund 273) Revenues are derived from interest earned on restitution monies received in trust and are to be distributed to the County Attorney and Clerk of the Superior Court on a pro rata basis (County Attorney – 75% and Superior Court – 25%). Fund was established by A.R.S. §12-287. Waste Management — (Fund 210) Established by the Board of Supervisors to segregate this activity from the General Fund. This fund accounts for a fixed $65,000 fee from Waste Management Corporation plus a percentage based on the tonnages of refuse dumped. Expenditures are used for economic development in Mobile and other unincorporated areas of the County. Waste Tire — (Fund 290) Accounts for the operations activity of the waste tire processing center for the removal of waste tires from the County pursuant to A.R.S. §44-1305. Debt Service Funds Special Assessment — (Fund 994) Accounts for debt service on special assessment bonds. Funding is provided by special assessments made against the benefiting property owners. (Fund 994 is for financial statement roll up purposes, off Advantage.) Stadium District Debt Service — (Fund 370) Accounts for debt service on Stadium District revenue bonds. This fund is part of the Maricopa County Stadium District, a legally separate entity, which is a blended component unit of Maricopa County. Capital Projects Funds Detention Technology Capital Improvement — (Fund 461) Established by the Board of Supervisors to account for Detention Fund resources restricted for technology improvement projects consistent with A.R.S. §42-6109.01. Flood Control Capital Projects — (Fund 990) Set up administratively as a capital project fund to track capital projects activity of the Flood Control District. Funding is provided by a reimbursement transfer from the Flood Control District which derives its funding from an annual Property Tax Levy. Intergovernmental Capital Projects — (Fund 422) Accounts for capital project spending predominantly funded from General Fund revenues. Intergovernmental Technology Projects — (Fund 462) Accounts for capital project spending for technology improvement projects from special revenue funds. Library District Capital Improvement — (Fund 465) Accounts for Library District capital projects funded from Library District revenue transfers. This fund is part of the Maricopa County Library District, a legally separate entity, which is a blended component unit of Maricopa County. Long Term Project Reserve — (Fund 450) Accounts for sales tax (Stadium Tax) proceeds collected in excess of the $238,000,000 cap imposed by County Board Resolution. This fund is part of the Maricopa County Stadium District, a legally separate entity, which is a blended component unit of Maricopa County. Special Improvement Districts — (Fund 993) Accounts for capital projects financed by the issuance of special assessment bonds. Transportation Capital Projects — (Fund 234) Established administratively as a capital project fund to track capital project activity of the County Transportation Department. Funding is provided by a reimbursement transfer from the Transportation Fund that derives its funding from the State Highways User’s Tax. 112 113 Maricopa County Combining Balance Sheet Nonmajor Governmental Funds June 30, 2016 SPECIAL REVENUE FUNDS Animal Accommodation Schools Adult Adult Air Air Control Probation Fees Probation Grants Quality Fees Quality Grants Field Operations ASSETS Cash in bank and on hand $ $ $ $ $ $ Cash and investments held by County Treasurer 1,307,174 3,047,429 Receivables 411,124 2,904 12,985,575 1,375,174 19,264 2,065 Due from other funds Due from other governmental units 51,489 410,552 Inventories Miscellaneous Cash and investments held by trustee – restricted Total assets $ 1,307,174 $ 73,955 $ 3,050,333 $ 462,613 $ $ 57,392 $ 13,004,839 $ $ $ 410,552 $ 3,739 $ 1,377,239 LIABILITIES Accounts payable Employee compensation payable 28,208 1,512 42,178 Accrued liabilities 123,774 262,777 31,903 1,215 63,881 33 Due to other funds 406,812 Interest payable Special assessment debt with governmental commitment Unearned revenue 405,218 Deposits held for other parties 73,955 Total liabilities 29,720 504,788 386,584 442,454 65,096 DEFERRED INFLOWS OF RESOURCES Unavailable revenue – property tax Unavailable revenue – intergovernmental Total deferred inflows of resources 16,124 64,999 16,124 64,999 FUND BALANCES Nonspendable Restricted 1,233,219 3,020,613 1,233,219 3,020,613 1,307,174 $ 3,050,333 12,618,255 1,312,143 Committed (58,299) Unassigned Total fund balances Total liabilities, deferred inflows of resources, and fund balances $ 114 (58,299) $ 462,613 (96,901) 12,618,255 $ 13,004,839 (96,901) $ 410,552 1,312,143 $ 1,377,239 SPECIAL REVENUE FUNDS Animal Animal Control Grants Control License/Shelter $ $ 33,247 2,680 Ballpark Operations $ 66,210 Cactus CDBG Check Child League Operations Housing Trust Enforcement Program Support Enhancement $ $ 1,879,123 7,516,625 4,752,502 2,728 10,905 6,842 $ 300 $ 68,634 960,932 1,380 2,659,355 84,832 155,104 $ 33,247 $ $ 1,969,363 $ $ 153,239 $ 182,243 7,748,844 $ 7,047 $ 4,759,344 $ 2,659,355 $ 68,934 $ $ 1,045,072 $ 1,280 $ 13,196 15,209 962,312 3,170 26 1,136,480 33,247 477,801 33,247 335,508 20,243 2,674,562 4,450 399,341 399,341 84,832 1,549,023 7,728,601 4,759,344 1,633,855 7,728,601 4,759,344 64,484 962,312 64,484 962,312 (414,548) $ 33,247 $ 1,969,363 $ 7,748,844 $ 4,759,344 (414,548) $ 2,659,355 $ 68,934 $ 962,312 (continued on next page) 115 Maricopa County Combining Balance Sheet Nonmajor Governmental Funds (Continued) June 30, 2016 SPECIAL REVENUE FUNDS Children’s Clerk of Clerk of Clerk of Conciliation Issues Education the Court EDMS Court Fill The Gap the Court Grants Court Fees ASSETS Cash in bank and on hand $ $ $ $ $ Cash and investments held by County Treasurer 7,641 1,303,458 Receivables 153,162 691,322 1,471 756 Due from other funds Due from other governmental units 201,631 Inventories Miscellaneous Cash and investments held by trustee – restricted Total assets $ 7,641 $ 1,304,929 $ $ $ 153,162 $ 201,631 $ 692,078 LIABILITIES Accounts payable $ Employee compensation payable 59,501 $ $ 66,505 Accrued liabilities Due to other funds 1,630 201,631 59,501 68,135 201,631 7,641 1,245,428 85,027 692,078 7,641 1,245,428 85,027 692,078 7,641 $ 1,304,929 Interest payable Special assessment debt with governmental commitment Unearned revenue Deposits held for other parties Total liabilities DEFERRED INFLOWS OF RESOURCES Unavailable revenue – property tax Unavailable revenue – intergovernmental Total deferred inflows of resources FUND BALANCES Nonspendable Restricted Committed Unassigned Total fund balances Total liabilities, deferred inflows of resources, and fund balances $ 116 $ 153,162 $ 201,631 $ 692,078 SPECIAL REVENUE FUNDS Domestic County County County Court Criminal Relations Educational Attorney Fill the Gap Attorney Grants Attorney RICO Document Retrieval Justice Enhancement Mediation Education Supplemental Program $ $ $ 216,276 1,678,909 $ 2,681,062 $ 589,510 Diversion $ 628,574 $ 1,010,216 $ 131,572 1,030,355 52,207 1,480 528,442 92,210 $ 216,276 $ $ 620,652 $ 39,986 $ 4,412,178 $ $ 589,510 $ 143,739 $ 628,574 $ $ 1,010,216 $ $ 131,572 $ $ 1,031,835 $ 22,373 42,649 60,927 14,424 1,104,202 22,373 42,649 60,927 14,424 3,307,976 567,137 585,925 949,289 131,572 1,017,411 3,307,976 567,137 585,925 949,289 131,572 1,017,411 446,011 174,988 1,104,202 39,986 764,738 176,290 (144,086) 176,290 $ 216,276 (144,086) $ 620,652 $ 4,412,178 $ 589,510 $ 628,574 $ 1,010,216 $ 131,572 $ 1,031,835 (continued on next page) 117 Maricopa County Combining Balance Sheet Nonmajor Governmental Funds (Continued) June 30, 2016 SPECIAL REVENUE FUNDS Environmental Emancipation Elections Grants Administrative Costs Emergency Management Services Environmental Environmental Health Services Grants ASSETS Cash in bank and on hand $ $ $ $ 1,100 $ Cash and investments held by County Treasurer 88,470 5,859 250,522 10,143,893 Receivables 14,839 Due from other funds Due from other governmental units 86,301 15,490 Inventories Miscellaneous Cash and investments held by trustee – restricted Total assets $ 88,470 $ 5,859 $ 336,823 $ 10,159,832 $ $ $ 15,490 LIABILITIES Accounts payable $ $ $ Employee compensation payable 23,073 225 428,714 448 Accrued liabilities Due to other funds 15,490 Interest payable Special assessment debt with governmental commitment Unearned revenue 88,470 336,822 88,470 359,895 Deposits held for other parties Total liabilities 428,939 15,938 DEFERRED INFLOWS OF RESOURCES Unavailable revenue – property tax Unavailable revenue – intergovernmental Total deferred inflows of resources 68,701 15,490 68,701 15,490 FUND BALANCES Nonspendable Restricted 5,859 Committed 9,730,893 (91,773) Unassigned 5,859 Total fund balances Total liabilities, deferred inflows of resources, and fund balances $ 88,470 $ 118 5,859 $ (15,938) (91,773) 9,730,893 336,823 $ 10,159,832 (15,938) $ 15,490 SPECIAL REVENUE FUNDS Expedited Child Support $ Flood Control $ 134,895 440 Flood Human Inmate Control Grants Services Grants Health Services $ 11,393,838 $ $ 21,935 854,226 361,069 Justice Court Inmate Services $ 4,200 Judicial Enhancement Judicial Enhancement $ $ 767,186 7,946,067 4,019,114 1,475,682 1,102 10,824 5,561 2,051 11,338,842 329,938 156,857 31,829 806,156 761 $ 134,895 $ $ 12,940,272 $ 21,935 $ 11,338,842 $ 800,117 $ 8,924,104 $ 4,024,675 $ $ $ 13,867 $ 1,625,029 $ $ $ $ 1,499,702 397,491 45,104 413,986 237,572 177,251 2,696 1,477,733 19,417 8,234 19,417 8,234 1,001 9,306,482 8,068 178,000 21,935 11,523,497 42,062 1,899,889 45,104 457,886 755,013 8,309,361 4,005,258 1,469,499 (3,004,788) 755,013 8,466,218 4,005,258 1,469,499 $ 11,338,842 $ 800,117 $ 8,924,104 $ 4,024,675 582,062 2,820,133 582,062 2,820,133 329,938 134,895 10,128,383 134,895 10,458,321 134,895 $ 12,940,272 156,857 (3,004,788) $ $ 21,935 $ 1,477,733 (continued on next page) 119 Maricopa County Combining Balance Sheet Nonmajor Governmental Funds (Continued) June 30, 2016 SPECIAL REVENUE FUNDS Justice Justice Courts Courts Juvenile Juvenile Probation Juvenile Photo Enforcement Special Revenue Probation Diversion Probation Grants Special Fees Juvenile Restitution ASSETS Cash in bank and on hand $ $ $ $ $ $ Cash and investments held by County Treasurer 8,226 Receivables 1,470,548 673,021 1,803 938 702,014 1,651,721 39,294 2,084 Due from other funds Due from other governmental units 51,281 Inventories Miscellaneous Cash and investments held by trustee – restricted Total assets $ 8,226 $ 1,472,351 $ $ 3,638 $ 673,959 $ 753,295 $ 1,653,805 $ 39,294 $ 722 LIABILITIES Accounts payable $ Employee compensation payable $ 11,646 $ 78,860 Accrued liabilities Due to other funds Interest payable Special assessment debt with governmental commitment Unearned revenue 240,336 Deposits held for other parties 3,638 Total liabilities 11,646 319,196 722 DEFERRED INFLOWS OF RESOURCES Unavailable revenue – property tax 23,873 Unavailable revenue – intergovernmental 23,873 Total deferred inflows of resources FUND BALANCES Nonspendable Restricted 8,226 1,468,713 662,313 410,226 1,653,805 38,572 8,226 1,468,713 662,313 410,226 1,653,805 38,572 Committed Unassigned Total fund balances Total liabilities, deferred inflows of resources, and fund balances $ 8,226 $ 1,472,351 120 $ 673,959 $ 753,295 $ 1,653,805 $ 39,294 SPECIAL REVENUE FUNDS Lake $ Pleasant Law Legal Recreation Services Library Fees Defender Fill the Gap 910 $ $ 1,233,647 1,808,084 1,758 2,432 Library District $ 2,606 6,030 Library Medical Non- District Grants Examiner Grants Departmental Grants $ $ 8,153,718 31,554 360,355 9,075 $ 1,236,315 $ $ 1,810,516 $ $ 30,372 $ 43,394 $ 2,606 $ 8,520,103 $ $ 159,873 $ 6,523 9,075 621 $ 621 $ $ 31,554 $ 282,162 1,047 4,030,498 9,075 621 31,306 43,394 36,895 4,472,533 9,075 621 32,353 254,668 621 254,668 $ 1,192,921 1,773,621 2,606 3,792,902 1,192,921 1,773,621 2,606 3,792,902 1,236,315 $ 1,810,516 $ 2,606 $ 8,520,103 621 $ 9,075 $ (621) (799) (621) (799) 621 $ 31,554 (continued on next page) 121 Maricopa County Combining Balance Sheet Nonmajor Governmental Funds (Continued) June 30, 2016 SPECIAL REVENUE FUNDS Officer Parks and Safety Equipment Palo Verde Recreation Grants Parks Donations Parks Enhancement ASSETS Cash in bank and on hand $ $ $ $ $ 200 Cash and investments held by County Treasurer 454,523 838,738 Receivables 48,828 1,223 604,764 2,234,967 866 3,168 Due from other funds Due from other governmental units Inventories Miscellaneous Cash and investments held by trustee – restricted Total assets $ 454,523 $ 839,961 $ 48,828 $ 605,630 $ 2,238,335 LIABILITIES Accounts payable $ $ Employee compensation payable $ $ $ 11,045 469 87,089 Accrued liabilities Due to other funds Interest payable Special assessment debt with governmental commitment Unearned revenue 48,828 Deposits held for other parties 11,045 Total liabilities 48,828 87,558 DEFERRED INFLOWS OF RESOURCES Unavailable revenue – property tax Unavailable revenue – intergovernmental Total deferred inflows of resources FUND BALANCES Nonspendable Restricted 454,523 828,916 605,630 2,150,777 454,523 828,916 605,630 2,150,777 Committed Unassigned Total fund balances Total liabilities, deferred inflows of resources, and fund balances $ 454,523 $ 122 839,961 $ 48,828 $ 605,630 $ 2,238,335 SPECIAL REVENUE FUNDS Parks Parks Souvenir $ Planning Spur Cross and Ranch Conservation Development Fees $ 26,397 200 $ 282,822 500 Probate Fees $ 8,567,309 Public Public Public Public Defender Fill the Gap Defender Grants Defender Training Health Grants $ 142,029 $ 82,595 $ 17,273 $ 279,190 191 12,269 8,277,476 763,170 $ 26,397 $ $ $ 1,307 283,022 $ 3,235 $ 3,002 8,580,078 $ 142,029 $ $ 82,595 $ 233,988 $ 17,273 $ 20,199 $ 279,190 $ 6,388 $ 9,040,837 $ 1,458,712 5,734 670,685 1,500 3,398,787 330,500 167,194 1,307 6,237 17,273 733,182 20,199 895,917 23,661 5,734 6,424,101 3,200,207 3,200,207 763,170 25,090 276,785 142,029 62,396 142,029 62,396 273,456 7,846,896 (6,388) 25,090 $ 26,397 276,785 $ 283,022 7,846,896 $ 8,580,078 $ 142,029 $ 82,595 (1,346,641) (6,388) $ 17,273 273,456 $ 279,190 (583,471) $ 9,040,837 (continued on next page) 123 Maricopa County Combining Balance Sheet Nonmajor Governmental Funds (Continued) June 30, 2016 SPECIAL REVENUE FUNDS School Public Health Fees Recorder’s Surcharge Communication Expense School Grants School Transportation Sheriff Donations ASSETS Cash in bank and on hand $ 6,700 $ $ $ $ $ Cash and investments held by County Treasurer Receivables 7,128,022 1,577,969 10,441 1,971 1,482,646 252,532 215,282 Due from other funds Due from other governmental units 5,126,149 Inventories 247,454 Miscellaneous Cash and investments held by trustee – restricted Total assets $ 7,392,617 $ 1,579,940 $ 1,482,646 $ 5,126,149 $ $ 111,470 $ 39,738 $ 1,202 $ 1,662,006 $ 252,532 $ 215,282 $ 101 LIABILITIES Accounts payable Employee compensation payable 104,420 79,582 9,490 191,685 Accrued liabilities Due to other funds 2,279,562 Interest payable Special assessment debt with governmental commitment Unearned revenue 1,183,983 Deposits held for other parties 215,890 Total liabilities 119,320 10,692 5,317,236 101 DEFERRED INFLOWS OF RESOURCES Unavailable revenue – property tax 1,652,662 Unavailable revenue – intergovernmental 1,652,662 Total deferred inflows of resources FUND BALANCES Nonspendable 247,454 Restricted 6,929,273 1,460,620 1,471,954 7,176,727 1,460,620 1,471,954 252,532 215,181 252,532 215,181 Committed (1,843,749) Unassigned Total fund balances Total liabilities, deferred inflows of resources, and fund balances $ 7,392,617 $ 1,579,940 124 $ 1,482,646 (1,843,749) $ 5,126,149 $ 252,532 $ 215,282 SPECIAL REVENUE FUNDS Spousal Sheriff Sheriff Grants $ 30,046 Jail Enhancement $ Sheriff RICO $ 85,500 Small Maintenance Street Court Towing and Impound School Service Enforcement Enhancement Lighting District Building Repair $ 3,209,556 Superior Sheriff $ 195,982 $ 148,115 $ 122,663 $ 4,538,705 1,803,032 4,433 2,596 1,054,662 176,349 $ 1,084,708 $ 3,213,989 $ 261,849 $ $ 141,013 $ 93,236 $ 22,999 $ 102,972 8,547 195,982 $ 148,115 $ $ 122,663 $ 3,263 2,742 $ 4,538,705 $ $ 1,805,628 $ 2,732 3,817 170,969 175,383 764,181 1,187,682 97,053 198,382 3,263 2,742 2,732 3,116,936 63,467 192,719 145,373 122,663 4,538,705 1,802,896 3,116,936 63,467 192,719 145,373 122,663 4,538,705 1,802,896 4,538,705 $ 1,805,628 386,059 386,059 (489,033) (489,033) $ 1,084,708 $ 3,213,989 $ 261,849 $ 195,982 $ 148,115 $ 122,663 $ (continued on next page) 125 Maricopa County Combining Balance Sheet Nonmajor Governmental Funds (Continued) June 30, 2016 SPECIAL REVENUE FUNDS Superior Superior Superior Court Court Fill the Gap Court Grants Special Revenue Taxpayer Information Transportation Grants ASSETS Cash in bank and on hand $ $ $ $ $ Cash and investments held by County Treasurer 83,162 197,665 1,760,440 Receivables 389,710 24,758 1,832 Due from other funds Due from other governmental units 158,016 161,566 Inventories Miscellaneous Cash and investments held by trustee – restricted Total assets $ 83,162 $ 355,681 $ 1,762,272 $ $ 67,841 $ 1,941 $ 389,710 $ 186,324 $ 168,470 LIABILITIES Accounts payable $ Employee compensation payable 55,360 36,447 33 287,846 17,856 Accrued liabilities Due to other funds 58,467 Interest payable Special assessment debt with governmental commitment Unearned revenue Deposits held for other parties 113,827 Total liabilities 392,134 1,941 186,359 DEFERRED INFLOWS OF RESOURCES Unavailable revenue – property tax 45,851 Unavailable revenue – intergovernmental 45,851 Total deferred inflows of resources FUND BALANCES Nonspendable Restricted 1,760,331 389,710 1,760,331 389,710 Committed Unassigned Total fund balances Total liabilities, deferred inflows of resources, and fund balances $ (30,665) (82,304) (30,665) (82,304) 83,162 $ 355,681 126 (35) $ 1,762,272 $ 389,710 (35) $ 186,324 SPECIAL REVENUE FUNDS Transportation Operations $ 250 Victim Victim Compensation Interest Compensation Restitution $ $ Victim Location $ 14,056,008 811,648 1,391,108 141,475 1,162 1,997 Waste Management $ 62,905 Waste Tire $ Total 150 $ 1,884,325 554,340 1,697,778 150,086,233 796 2,397 1,546,601 1,223,331 50,618,287 18,902,939 1,033,757 2,616,008 1,261,648 761 $ 34,134,429 $ $ 1,591,277 $ 812,810 $ 1,393,105 $ $ 62,905 $ $ 555,136 $ 2,923,656 $ 208,013,863 $ 5,501 $ 218,661 $ 10,701,629 818,106 2,299 5,404,255 3,473,938 3,491,558 21,637,898 5,520,640 1,313,458 5,883,321 5,501 220,960 48,069,438 836,730 8,694,061 9,530,791 1,033,757 2,616,008 27,217,351 812,810 1,393,105 62,905 549,635 2,702,696 137,846,405 17,577,789 (7,626,568) 28,251,108 $ 34,134,429 812,810 $ 812,810 1,393,105 $ 1,393,105 62,905 $ 62,905 549,635 $ 555,136 2,702,696 $ 2,923,656 150,413,634 $ 208,013,863 (continued on next page) 127 Maricopa County Combining Balance Sheet Nonmajor Governmental Funds (Continued) June 30, 2016 DEBT SERVICE FUNDS Special Assessment CAPITAL PROJECTS FUNDS Stadium Detention Flood District Technology Control Capital Improvement Capital Projects Debt Service Total ASSETS Cash in bank and on hand $ $ $ $ $ Cash and investments held by County Treasurer 20,977 Receivables 224 21,201 9,872 37,905,685 14,097,725 9,872 Due from other funds Due from other governmental units 746,476 746,476 3,332,041 3,332,041 12,710,406 Inventories Miscellaneous Cash and investments held by trustee – restricted Total assets $ 30,849 $ 4,078,741 $ 4,109,590 $ 37,905,685 $ 26,808,131 $ 60,639 $ 3,181,429 LIABILITIES Accounts payable $ $ $ Employee compensation payable Accrued liabilities Due to other funds Interest payable 901 901 8,285 8,285 9,186 9,186 Special assessment debt with governmental commitment Unearned revenue 87,391 Deposits held for other parties Total liabilities 60,639 3,268,820 DEFERRED INFLOWS OF RESOURCES Unavailable revenue – property tax Unavailable revenue – intergovernmental Total deferred inflows of resources 4,363 4,363 4,363 4,363 FUND BALANCES Nonspendable Restricted 17,300 4,078,741 4,096,041 37,845,046 23,539,311 17,300 4,078,741 4,096,041 37,845,046 23,539,311 Committed Unassigned Total fund balances Total liabilities, deferred inflows of resources, and fund balances $ 30,849 $ 4,078,741 128 $ 4,109,590 $ 37,905,685 $ 26,808,131 CAPITAL PROJECTS FUND Inter- Library Long Governmental District Term Special Transportation Capital Projects Capital Improvement Project Reserve Improvement Districts Capital Projects $ $ 124,009 Total $ 5,609,110 $ 152 $ 42,410 Nonmajor Governmental Funds Total $ 98,137,650 $ 1,884,325 155,916,741 306,024,175 8,056 8,056 1,564,529 4,030,498 4,030,498 4,030,498 13,741,515 65,106,278 1,031,109 2,616,008 $ 124,009 $ $ 9,647,664 $ 3,503 3,503 1,265,151 8,141,292 8,141,292 11,474,094 $ 181,841,605 $ 393,965,058 $ $ $ 8,144,947 $ $ 37,754 $ 42,410 $ 99,168,759 $ 4,805,025 8,084,847 18,786,476 5,404,255 450 815 1,265 3,492,823 21,637,898 901 8,285 37,754 450 557,829 645,220 5,520,640 1,958,678 5,363,669 8,731,332 56,809,956 836,730 8,698,424 9,535,154 2,616,008 9,647,664 8,107,193 41,960 93,805,090 172,986,264 314,928,710 124,009 17,701,798 (7,626,568) 93,805,090 173,110,273 327,619,948 99,168,759 $ 181,841,605 $ 393,965,058 124,009 124,009 $ 124,009 9,647,664 $ 9,647,664 8,107,193 $ 8,144,947 41,960 $ 42,410 129 $ Maricopa County Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Nonmajor Governmental Funds Year Ended June 30, 2016 SPECIAL REVENUE FUNDS Adult Probation Fees Accommodation Schools Adult Probation Grants Air Quality Fees Animal Control Field Operations Air Quality Grants REVENUES Taxes $ $ $ $ Licenses and permits $ $ 11,590,412 3,973,320 Intergovernmental 7,544 2,550,543 Charges for services 10,150,954 Fines and forfeits 2,854,188 82,711 2,863,651 457,125 3,306,602 397,964 1,537 8,426 23,233 Special assessment Interest income 7,955 9,549 1,898 69,605 89,200 3,981,275 13,024,154 2,635,152 12,604,306 2,854,188 3,347,342 12,283,245 2,553,770 11,694,244 2,703,444 3,224,541 Miscellaneous Total revenues EXPENDITURES Current: General government Public safety Highways and streets Health, welfare and sanitation Culture and recreation Education 4,609,598 Debt service: Principal Interest Other expenses 306,909 218,033 4,609,598 12,283,245 2,553,770 12,001,153 2,921,477 3,224,541 (628,323) 740,909 81,382 603,153 (67,289) 122,801 Capital outlay Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES) Transfers in Transfers out (8,450) (106,464) (8,450) (106,464) Capital lease agreements Total other financing sources (uses) Net change in fund balances Fund balances (deficit), July 1, 2015 (628,323) 740,909 81,382 594,703 (67,289) 16,337 1,861,542 2,279,704 (139,681) 12,023,552 (29,612) 1,295,806 (96,901) $ 1,312,143 Change in nonspendable resources: Increase (decrease) in inventories Fund balances (deficit), June 30, 2016 $ 1,233,219 $ 3,020,613 130 $ (58,299) $ 12,618,255 $ SPECIAL REVENUE FUNDS Animal Control License/ Shelter Animal Control Grants $ $ Cactus League Operations Ballpark Operations $ 7,850,570 $ 1,277,954 CDBG Housing Trust $ Check Enforcement Program $ Child Support Enhancement $ 3,542,131 80,753 7,059,258 1,471,672 1,443,852 44,371 74,161 80,753 11,414 1,081,784 36,509 26,471 274,827 1,399,161 521 5,062 10,415,440 5,022,492 1,304,425 8,733,246 74,682 49,433 119,921 80,753 10,588,756 8,963,901 1,750,850 1,185,780 10,594,622 1,750,850 1,185,780 8,963,901 119,921 (179,182) 3,271,642 118,645 (230,655) (45,239) 49,433 (1,033,403) (3,995,380) (1,033,403) (3,995,380) (1,212,585) (723,738) 118,645 (230,655) (45,239) 49,433 2,908,915 8,452,339 4,640,699 (183,893) 109,723 912,879 5,866 80,753 (62,475) $ $ 1,633,855 $ 7,728,601 $ 4,759,344 $ (414,548) $ 64,484 $ 962,312 (continued on next page) 131 Maricopa County Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Nonmajor Governmental Funds (Continued) Year Ended June 30, 2016 SPECIAL REVENUE FUNDS Children’s Issues Education Clerk of the Court EDMS Clerk of Court Fill the Gap Clerk of the Court Grants Conciliation Court Fees County Attorney Fill the Gap REVENUES Taxes $ $ $ $ $ $ Licenses and permits Intergovernmental 1,461,603 Charges for services 142 2,727,620 1,944,794 1,670,455 1,342,768 59 3,921 2,660 1,346 201 2,731,541 1,944,794 1,461,603 1,673,115 1,344,114 10,006 2,231,296 1,944,794 1,455,955 1,578,400 1,415,849 10,006 2,231,296 1,944,794 1,455,955 1,578,400 1,415,849 (9,805) 500,245 5,648 94,715 (71,735) (9,805) 500,245 5,648 94,715 (71,735) 17,446 745,183 (5,648) 597,363 248,025 Fines and forfeits Special assessment Interest income Miscellaneous Total revenues EXPENDITURES Current: General government Public safety Highways and streets Health, welfare and sanitation Culture and recreation Education Debt service: Principal Interest Other expenses Capital outlay Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES) Transfers in Transfers out Capital lease agreements Total other financing sources (uses) Net change in fund balances Fund balances (deficit), July 1, 2015 85,027 Change in nonspendable resources: Increase (decrease) in inventories Fund balances (deficit), June 30, 2016 $ 7,641 $ 1,245,428 132 $ 85,027 $ $ 692,078 $ 176,290 SPECIAL REVENUE FUNDS County Attorney Grants $ County Attorney RICO $ Court Document Retrieval $ Criminal Justice Enhancement $ 5,666,744 Domestic Relations Mediation Education Diversion $ $ Educational Supplemental Program $ 1,407,700 888,121 1,082,162 204,553 1,670,225 1,787,143 27,332 2,003 902 6,288 556 4,677 5,666,744 1,697,557 1,084,165 1,408,602 1,793,431 205,109 892,798 5,556,543 1,304,310 894,177 1,432,044 2,147,688 180,600 673,240 660,637 $ 5,556,543 1,964,947 894,177 1,432,044 2,147,688 180,600 673,240 110,201 (267,390) 189,988 (23,442) (354,257) 24,509 219,558 110,201 (267,390) 189,988 (23,442) (354,257) 24,509 219,558 (254,287) 3,575,366 377,149 609,367 1,303,546 107,063 797,853 (144,086) $ 3,307,976 $ 567,137 $ 585,925 $ 949,289 $ 131,572 $ 1,017,411 (continued on next page) 133 Maricopa County Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Nonmajor Governmental Funds (Continued) Year Ended June 30, 2016 SPECIAL REVENUE FUNDS Emancipation Administrative Costs Elections Grants Environmental Services Environmental Health Emergency Management Environmental Services Grants REVENUES Taxes $ $ $ $ Licenses and permits $ 15,059,179 Intergovernmental 543,802 675,144 Charges for services 791 33,426 184,612 4,142,679 Fines and forfeits 221,157 Special assessment Interest income 1,928 28 657 50,436 120,207 545,730 819 860,413 19,593,658 33,426 18,738,485 49,364 Miscellaneous Total revenues EXPENDITURES Current: General government 545,730 Public safety 840,986 Highways and streets Health, welfare and sanitation Culture and recreation Education Debt service: Principal Interest Other expenses 54,546 Capital outlay 545,730 Total expenditures 840,986 18,793,031 19,427 800,627 (845) (17,323) (845) 77,758 819 18,582 878,385 5,040 (110,355) 8,852,508 49,364 Excess (deficiency) of revenues 819 over expenditures Transfers in (15,938) 95,081 Transfers out Capital lease agreements Total other financing sources (uses) Net change in fund balances Fund balances (deficit), July 1, 2015 (15,938) Change in nonspendable resources: Increase (decrease) in inventories Fund balances (deficit), June 30, 2016 $ $ 5,859 134 $ (91,773) $ 9,730,893 $ (15,938) SPECIAL REVENUE FUNDS Expedited Child Support $ Flood Control Grants Flood Control $ 48,988,130 $ Human Services Grants $ Inmate Health Services $ Inmate Services Judicial Enhancement $ $ 269,856 549,493 513,222 48,311,276 676,232 503 209,108 1,739,520 676,735 381,213 10,537,300 1,465,294 4,224 45,575 7,690 20,600 385,437 10,590,565 1,485,894 203,820 10,765,164 1,104,306 4,385 51,756,107 513,222 27,406,025 598,123 48,315,661 704,950 49,323,695 601,958 71,269 38,361 704,950 28,411,429 1,005,404 598,123 49,925,653 275,089 10,803,525 1,104,306 (28,215) 23,344,678 (84,901) (1,609,992) 110,348 (212,960) 381,588 (34,195,616) (6,602) (34,195,616) (6,602) (28,215) (10,850,938) (84,901) (1,616,594) 110,348 (212,960) 381,588 163,110 21,452,232 84,901 (1,388,194) 644,665 8,522,321 3,623,670 (142,973) $ 134,895 $ 10,458,321 156,857 $ $ (3,004,788) $ 755,013 $ 8,466,218 $ 4,005,258 (continued on next page) 135 Maricopa County Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Nonmajor Governmental Funds (Continued) Year Ended June 30, 2016 SPECIAL REVENUE FUNDS Justice Court Judicial Enhancement Justice Courts Photo Enforcement Justice Courts Special Revenue Juvenile Probation Diversion Juvenile Probation Special Fees Juvenile Probation Grants REVENUES Taxes $ $ $ $ $ $ Licenses and permits Intergovernmental 3,347,281 Charges for services 6,940,324 Fines and forfeits 229,861 203,582 732,249 2,771,333 Special assessment Interest income 7,141 5,009 3,865 2,885 7,083 739,390 6,945,333 233,726 3,350,166 2,981,998 499,194 6,306,547 380,239 3,385,691 2,878,125 499,194 6,306,547 380,239 3,385,691 2,878,125 240,196 638,786 (146,513) (35,525) 103,873 240,196 638,786 (146,513) (35,525) 103,873 829,927 808,826 445,751 1,549,932 1,468,713 $ 662,313 410,226 $ 1,653,805 Miscellaneous Total revenues EXPENDITURES Current: General government Public safety Highways and streets Health, welfare and sanitation Culture and recreation Education Debt service: Principal Interest Other expenses Capital outlay Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES) Transfers in Transfers out Capital lease agreements Total other financing sources (uses) Net change in fund balances Fund balances (deficit), July 1, 2015 1,229,303 8,226 Change in nonspendable resources: Increase (decrease) in inventories Fund balances (deficit), June 30, 2016 $ 1,469,499 $ 8,226 136 $ $ SPECIAL REVENUE FUNDS Lake Pleasant Recreation Services Juvenile Restitution $ $ Law Library Fees Legal Defender Fill the Gap $ $ Library District Grants Library District $ 19,230,198 $ 417,868 2,642,393 1,242,392 66,362 55,612 7,785 55,612 7,785 700,408 215 1,208 8,381 243,564 15,589 8,600 127 44,055 444,832 1,423 2,894,338 1,266,610 66,489 25,657,594 485,963 66,362 8,406 2,878,115 27,162,554 400,921 $ $ 4,820,233 29 6,707 Medical Examiner Grants 49,262 106,380 6,350 6,707 3,279,036 485,963 66,362 27,268,934 55,612 (5,284) (384,698) 780,647 127 (1,611,340) (2,063,093) (664,734) (2,063,093) (664,734) (5,284) (384,698) (1,282,446) 127 (2,276,074) 43,856 1,577,619 3,056,067 2,479 6,068,976 38,572 $ 1,192,921 $ 1,773,621 $ 2,606 $ 3,792,902 8,406 (621) (621) $ $ (621) (continued on next page) 137 Maricopa County Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Nonmajor Governmental Funds (Continued) Year Ended June 30, 2016 SPECIAL REVENUE FUNDS Non Departmental Grants Officer Safety Equipment Parks and Recreation Grants Palo Verde Parks Donations Parks Enhancement REVENUES Taxes $ $ $ $ $ $ Licenses and permits Intergovernmental 2,412,402 682,808 1,435 Charges for services 3,469,027 Fines and forfeits 171,021 2,076 Special assessment Interest income 764 1,661 4,835 2,413,166 172,682 687,643 10,776 681,833 3,529 30,884 13,207 1,703,489 1,435 34,413 5,187,799 649 90,163 5,145,688 Miscellaneous Total revenues EXPENDITURES Current: General government 2,413,193 Public safety Highways and streets Health, welfare and sanitation Culture and recreation Education Debt service: Principal Interest Other expenses 213,313 Capital outlay Total expenditures 2,413,193 10,776 681,833 649 90,163 5,359,001 (27) 161,906 5,810 786 (55,750) (171,202) (27) 161,906 5,810 786 (55,750) (171,202) (772) 292,617 823,106 (786) 661,380 2,321,979 Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES) Transfers in Transfers out Capital lease agreements Total other financing sources (uses) Net change in fund balances Fund balances (deficit), July 1, 2015 Change in nonspendable resources: Increase (decrease) in inventories Fund balances (deficit), June 30, 2016 $ (799) $ 454,523 138 $ 828,916 $ $ 605,630 $ 2,150,777 SPECIAL REVENUE FUNDS Parks Souvenir $ Parks Spur Cross Ranch Conservation $ Planning and Development Fees $ Public Defender Fill the Gap Probate Fees $ $ Public Defender Grants $ Public Defender Training $ Public Health Grants $ 6,242,722 210,847 279,226 6,242,750 402,013 906,957 337,271 49,202,112 441,471 15,150 1,590 4,423 37,033 24,517 854 1,412 324,838 324,838 285,239 12,562,172 402,867 908,369 8,673,086 486,606 916,812 1,049 28,115 261 210,847 366,435 49,643,844 211,256 345,747 49,052,543 323,985 275,913 33,579 151,752 323,985 309,492 8,824,838 486,606 916,812 211,256 853 (24,253) 3,737,334 (83,739) (8,443) (409) 20,688 581,306 20,688 581,306 9,995 345,747 49,062,538 (5,070) (5,070) 853 (24,253) 3,732,264 (83,739) (8,443) (409) 24,237 301,038 4,114,632 225,768 70,839 (5,979) 252,768 (470,943) (693,834) $ 25,090 $ 276,785 $ 7,846,896 $ 142,029 $ 62,396 $ (6,388) $ 273,456 $ (583,471) (continued on next page) 139 Maricopa County Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Nonmajor Governmental Funds (Continued) Year Ended June 30, 2016 SPECIAL REVENUE FUNDS Public Health Fees School Communication Expense Recorder’s Surcharge School Grants School Transportation REVENUES Taxes $ $ $ $ $ Licenses and permits Intergovernmental Charges for services 6,958,684 3,547,016 37,678 11,597 6,996,362 3,558,613 9,665 19,123,756 1,362,934 125 696,318 1,372,599 19,123,881 696,318 580,821 20,957,970 526,195 Fines and forfeits Special assessment Interest income Miscellaneous Total revenues EXPENDITURES Current: General government 4,436,557 Public safety Highways and streets Health, welfare and sanitation 6,447,323 Culture and recreation Education Debt service: Principal Interest Other expenses Capital outlay Total expenditures 50,367 538,925 6,497,690 4,975,482 580,821 20,957,970 526,195 498,672 (1,416,869) 791,778 (1,834,089) 170,123 Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES) Transfers in 32,507 208,119 32,507 208,119 Transfers out Capital lease agreements Total other financing sources (uses) Net change in fund balances Fund balances (deficit), July 1, 2015 531,179 (1,416,869) 791,778 (1,625,970) 170,123 6,445,993 2,877,489 680,176 (217,779) 82,409 Change in nonspendable resources: 199,555 Increase (decrease) in inventories Fund balances (deficit), June 30, 2016 $ 7,176,727 $ 1,460,620 140 $ 1,471,954 $ (1,843,749) $ 252,532 SPECIAL REVENUE FUNDS Sheriff Donations $ Sheriff Grants $ Sheriff Jail Enhancement $ 5,963,341 Sheriff Towing and Impound Sheriff RICO $ $ Small School Service $ 1,337,832 Spousal Maintenance Enforcement Enhancement $ Street Lighting District $ 109,657 118,702 11,008 1,271,490 844,354 914 80,400 621 12,405 18,080 1,857 92,322 7,247,857 444 5,587,180 4,651,612 838 571 25,299 86,186 816 212,982 1,357,769 930,540 213,798 110,495 119,273 4,676,911 641,171 867,073 161,471 107,999 5,305,321 106,149 $ 1,419,090 589,376 444 7,006,270 1,230,547 867,073 161,471 106,149 107,999 5,305,321 91,878 241,587 127,222 63,467 52,327 4,346 11,274 (628,410) 91,878 241,587 127,222 63,467 52,327 4,346 11,274 (628,410) 123,303 (730,620) 2,989,714 140,392 141,027 111,389 5,167,115 122,663 $ 4,538,705 215,181 $ (489,033) $ 3,116,936 $ 63,467 $ 192,719 $ 145,373 $ (continued on next page) 141 Maricopa County Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Nonmajor Governmental Funds (Continued) Year Ended June 30, 2016 SPECIAL REVENUE FUNDS Superior Court Building Repair Superior Court Fill the Gap Superior Court Special Revenue Superior Court Grants Taxpayer Information Transportation Grants REVENUES Taxes $ $ $ $ $ $ Licenses and permits Intergovernmental 1,519,496 Charges for services 584,851 2,132,900 1,224,617 5,045,565 2,518 72 1,348 6,590 43,460 2,518 2,132,972 2,745,461 5,095,615 144,290 2,108,328 2,783,347 4,782,503 243,889 Fines and forfeits Special assessment Interest income Miscellaneous Total revenues 243,889 584,851 EXPENDITURES Current: General government Public safety 236,607 Highways and streets 574,427 Health, welfare and sanitation Culture and recreation Education Debt service: Principal Interest Other expenses Capital outlay Total expenditures 118,425 262,715 2,108,328 2,783,347 4,782,503 236,607 574,427 ..... (260,197) 24,644 (37,886) 313,112 7,282 10,424 24,644 (37,886) 313,112 7,282 10,424 (55,309) (44,418) 1,447,219 382,428 (10,459) (82,304) $ 1,760,331 Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES) Transfers in 2,063,093 Transfers out Capital lease agreements Total other financing sources (uses) Net change in fund balances 2,063,093 1,802,896 Fund balances (deficit), July 1, 2015 Change in nonspendable resources: Increase (decrease) in inventories Fund balances (deficit), June 30, 2016 $ 1,802,896 $ (30,665) 142 $ $ 389,710 $ (35) SPECIAL REVENUE FUNDS Victim Compensation Interest Transportation Operations $ $ Victim Compensation Restitution $ Victim Location $ Waste Management $ Waste Tire Total $ $ 1,035,913 69,496,282 45,598,327 113,340,566 11,615 5,173,068 281,102,564 231,155 92,081,695 197,422 13,732,378 4,651,612 587,179 492,174 11,190 11,016 8,489 2,622 3,106 10,799 9,026 1,723,878 8,231,190 115,467,447 22,206 205,911 2,622 13,905 5,413,249 516,617,926 11,398 275,636 30,174 53,456 7,632,087 124,049,563 53,023,857 53,598,284 4,763,316 166,515,915 38,862,959 27,453,973 3,558,301 56,582,158 11,398 275,636 30,174 53,456 58,885,289 10,808 (69,725) (27,552) (39,551) 87,584 10,247,341 4,850,900 428,360,122 562,349 88,257,804 2,398,800 (70,437,572) 1,297,621 (112,534,552) 1,297,621 (69,139,951) (108,838,131) (10,254,662) 10,808 (69,725) (27,552) 38,616,975 802,002 1,462,830 90,457 (39,551) 589,186 562,349 (20,580,327) 2,140,347 171,648,036 (111,205) $ 28,251,108 (654,075) $ 812,810 $ 1,393,105 $ 62,905 $ 549,635 $ 2,702,696 $ 150,413,634 (continued on next page) 143 Maricopa County Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Nonmajor Governmental Funds (Continued) Year Ended June 30, 2016 DEBT SERVICE FUNDS Stadium District Debt Service Special Assessment CAPITAL PROJECTS FUNDS Detention Technology Capital Improvement Total Flood Control Capital Projects REVENUES Taxes $ $ 3,494,629 $ 3,494,629 $ $ Licenses and permits Intergovernmental Charges for services 23,361 792,124 28,234,928 792,124 28,234,928 23,361 Fines and forfeits Special assessment Interest income 471 471 23,361 3,495,100 3,518,461 Principal 21,814 3,325,000 3,346,814 Interest 1,801 365,028 366,829 1,350 1,350 555,074 52,124,467 23,615 3,691,378 3,714,993 555,074 52,124,467 (254) (196,278) (196,532) 237,050 (23,889,539) Miscellaneous Total revenues EXPENDITURES Current: General government Public safety Highways and streets Health, welfare and sanitation Culture and recreation Education Debt service: Other expenses Capital outlay Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES) Transfers in 34,195,616 Transfers out (1,106,989) 20,274 Capital lease agreements Total other financing sources (uses) Net change in fund balances Fund balances (deficit), July 1, 2015 (1,086,715) 34,195,616 (254) (196,278) (196,532) (849,665) 10,306,077 17,554 4,275,019 4,292,573 38,694,711 13,233,234 Change in nonspendable resources: Increase (decrease) in inventories Fund balances (deficit), June 30, 2016 $ 17,300 $ 4,078,741 144 $ 4,096,041 $ 37,845,046 $ 23,539,311 CAPITAL PROJECTS FUNDS Intergovernmental Capital Projects Intergovernmental Technology Projects Library District Capital Improvement $ $ $ Long Term Project Reserve $ Special Improvement Districts 13 $ Transportation Capital Projects $ Total Nonmajor Governmental Funds Total $ 13 $ 72,990,924 45,598,327 4,880,783 33,907,835 315,010,399 966,011 966,011 93,071,067 13,732,378 4,651,612 665 32,967 665 32,967 349 785,387 230 785,749 230 8,048 34,211 793,435 1,758,560 9,024,625 5,854,842 35,701,505 555,837,892 7,632,087 124,049,563 53,598,284 166,515,915 38,862,959 27,453,973 3,346,814 366,829 5,465 128,802 4,235,931 43,970,594 101,020,333 1,350 111,267,674 5,465 128,802 4,235,931 43,970,594 101,020,333 533,095,448 (4,800) (128,802) (38,115,752) (65,318,828) 22,742,444 70,403,183 109,258,913 32,967 (3,450,182) 664,734 3,995,380 230 (1,106,989) 149,076 128,802 128,802 664,734 3,995,380 (4,800) 697,701 545,198 128,809 8,949,963 7,561,995 111,657,713 (113,641,541) 1,446,697 70,403,183 108,301,000 (537,131) 230 32,287,431 42,982,172 22,205,313 41,730 61,517,659 130,128,101 306,068,710 (654,075) $ 124,009 $ $ 9,647,664 $ 8,107,193 $ 145 41,960 $ 93,805,090 $ 173,110,273 $ 327,619,948 146 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Adult Probation Fees Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ Fines and forfeits Interest income Total revenues 9,428,089 $ 9,428,089 $ 10,150,954 $ 722,865 2,911,860 2,911,860 2,863,651 (48,209) 3,600 12,343,549 3,600 12,343,549 9,549 13,024,154 5,949 680,605 12,647,336 12,647,336 12,283,245 364,091 125,000 12,772,336 125,000 12,772,336 12,283,245 125,000 489,091 (428,787) (428,787) 740,909 1,169,696 1,169,696 EXPENDITURES Current: Public safety Capital outlay Total expenditures Excess (deficiency) of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 (428,787) (428,787) 740,909 1,078,325 1,078,325 2,279,704 $ 649,538 147 $ 649,538 $ 3,020,613 1,201,379 $ 2,371,075 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Adult Probation Grants Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ Charges for services 3,071,370 $ 100,000 3,147,199 $ $ (596,656) 82,711 (17,289) 3,171,370 3,247,199 1,898 2,635,152 1,898 (612,047) 3,171,370 3,171,370 3,247,199 3,247,199 2,553,770 2,553,770 693,429 693,429 81,382 81,382 81,382 81,382 Interest income Total revenues 2,550,543 100,000 EXPENDITURES Current: Public safety Total expenditures Excess of revenues over expenditures Net change in fund balances Fund deficit, July 1, 2015 Fund deficit, June 30, 2016 (152,581) $ (152,581) 148 (152,581) $ (152,581) (139,681) $ (58,299) 12,900 $ 94,282 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Air Quality Fees Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Licenses and permits $ 10,831,125 $ 10,831,125 $ 11,590,412 $ 759,287 Charges for services 530,217 530,217 457,125 (73,092) Fines and forfeits 670,400 670,400 397,964 (272,436) 32,040 32,040 69,605 37,565 20,004 12,083,786 20,004 12,083,786 89,200 12,604,306 69,196 520,520 13,796,128 498,000 13,787,678 498,000 11,694,244 306,909 2,093,434 191,091 Total expenditures 14,294,128 14,285,678 12,001,153 2,284,525 Excess (deficiency) of revenues over expenditures (2,210,342) (2,201,892) 603,153 2,805,045 (8,450) (8,450) (8,450) (8,450) Interest income Miscellaneous Total revenues EXPENDITURES Current: Health, welfare and sanitation Capital outlay OTHER FINANCING USES Transfers out Total other financing uses Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ (2,210,342) (2,210,342) 594,703 10,641,298 10,641,298 12,023,552 8,430,956 149 $ 8,430,956 $ 12,618,255 2,805,045 1,382,254 $ 4,187,299 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Air Quality Grants Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ Total revenues 3,973,521 3,973,521 $ 3,973,521 3,973,521 $ 2,854,188 2,854,188 $ (1,119,333) (1,119,333) EXPENDITURES Current: Health, welfare and sanitation 3,973,521 3,973,521 2,703,444 1,270,077 3,973,521 218,033 2,921,477 (218,033) 1,052,044 (67,289) (67,289) Capital outlay 3,973,521 Total expenditures Excess (deficiency) of revenues over expenditures Net change in fund balances Fund deficit, July 1, 2015 Fund deficit, June 30, 2016 (191,802) $ (191,802) 150 (191,802) $ (191,802) $ (67,289) (67,289) (29,612) 162,190 (96,901) $ 94,901 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Animal Control Field Operations Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Licenses and permits $ Charges for services Fines and forfeits Interest income 37,674 $ 37,674 $ $ (30,130) 3,401,710 3,306,602 (95,108) 3,700 3,700 1,537 (2,163) 10,230 10,230 8,426 (1,804) 3,453,314 3,453,314 23,233 3,347,342 23,233 (105,972) 3,314,290 3,664,290 3,224,541 439,749 325,000 3,639,290 325,000 3,989,290 3,224,541 325,000 764,749 (185,976) (535,976) 122,801 658,777 (106,463) (106,463) (106,463) (106,463) (106,464) (106,464) (1) (1) Miscellaneous Total revenues 7,544 3,401,710 EXPENDITURES Current: Health, welfare and sanitation Capital outlay Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING USES Transfers out Total other financing uses Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ (292,439) (642,439) 16,337 658,776 1,609,782 1,609,782 1,295,806 (313,976) 1,317,343 151 $ 967,343 $ 1,312,143 $ 344,800 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Animal Control Grants Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ $ Total revenues 196,000 196,000 $ 80,753 80,753 $ (115,247) (115,247) EXPENDITURES Current: Health, welfare and sanitation 196,000 196,000 Total expenditures 80,753 80,753 115,247 115,247 Excess of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ $ 152 $ $ Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Animal Control License/Shelter Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Licenses and permits $ Charges for services 7,042,880 $ 1,710,032 Interest income Miscellaneous Total revenues 7,042,880 $ 1,710,032 7,850,570 $ 1,471,672 807,690 (238,360) 14,208 14,208 11,414 (2,794) 713,464 9,480,584 713,464 9,480,584 1,081,784 10,415,440 368,320 934,856 8,666,232 10,916,232 10,588,756 327,476 283,373 8,949,605 318,331 11,234,563 5,866 10,594,622 312,465 639,941 530,979 (1,753,979) (179,182) 1,574,797 (1,033,405) (1,033,405) (1,033,405) (1,033,405) (1,033,403) (1,033,403) 2 2 (502,426) (2,787,384) (1,212,585) 1,574,799 2,958,458 2,958,458 2,908,915 (49,543) EXPENDITURES Current: Health, welfare and sanitation Capital outlay Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING USES Transfers out Total other financing uses Net change in fund balances Fund balance, July 1, 2015 Change in nonspendable resources: Decrease in inventories Fund balance, June 30, 2016 (62,475) $ 2,456,032 153 $ 171,074 $ 1,633,855 (62,475) $ 1,462,781 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Ballpark Operations Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Licenses and permits $ 3,499,163 $ 3,499,163 $ 3,542,131 $ 42,968 Charges for services 1,235,176 1,235,176 1,443,852 208,676 Interest income 20,000 4,754,339 20,000 4,754,339 36,509 5,022,492 16,509 268,153 Total expenditures 1,711,052 1,711,052 1,811,052 1,811,052 1,750,850 1,750,850 60,202 60,202 Excess of revenues over expenditures 3,043,287 2,943,287 3,271,642 328,355 (3,885,778) (3,995,380) (3,995,380) (3,885,778) (3,995,380) (3,995,380) (842,491) (1,052,093) (723,738) 328,355 8,709,963 7,867,472 8,709,963 7,657,870 8,452,339 7,728,601 (257,624) 70,731 Total revenues EXPENDITURES Current: Culture and recreation OTHER FINANCING USES Transfers out Total other financing uses Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 154 $ $ $ Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Cactus League Operations Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Taxes $ Interest income Total revenues 1,319,391 $ 1,319,391 $ 1,277,954 $ (41,437) 14,000 1,333,391 14,000 1,333,391 26,471 1,304,425 12,471 (28,966) 1,297,259 1,297,259 1,297,259 1,297,259 1,185,780 1,185,780 111,479 111,479 36,132 36,132 118,645 82,513 82,513 EXPENDITURES Current: Culture and recreation Total expenditures Excess of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 36,132 36,132 118,645 4,594,828 4,594,828 4,640,699 4,630,960 155 $ 4,630,960 $ 4,759,344 45,871 $ 128,384 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual CDBG Housing Trust Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ 20,143,632 $ 20,143,632 $ Interest Income $ (13,084,374) 274,827 274,827 20,143,632 1,399,161 8,733,246 1,399,161 (11,410,386) 20,143,632 20,143,632 8,963,901 11,179,731 20,143,632 20,143,632 8,963,901 11,179,731 (230,655) (230,655) (230,655) (230,655) Miscellaneous 20,143,632 Total revenues 7,059,258 EXPENDITURES Current: Health, welfare and sanitation Total expenditures Excess (deficiency) of revenues over expenditures Net change in fund balances Fund deficit, July 1, 2015 Fund deficit, June 30, 2016 (444,493) $ (444,493) 156 (444,493) $ (444,493) (183,893) $ (414,548) 260,600 $ 29,945 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Check Enforcement Program Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Fines and forfeits $ 124,398 Interest income Total revenues $ 124,398 $ 74,161 $ (50,237) 650 125,048 650 125,048 521 74,682 (129) (50,366) 125,048 125,048 125,048 125,048 119,921 119,921 5,127 5,127 (45,239) (45,239) (45,239) (45,239) EXPENDITURES Current: Public safety Total expenditures Excess (deficiency) of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 108,486 $ 108,486 157 108,486 $ 108,486 109,723 $ 64,484 1,237 $ (44,002) Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Child Support Enhancement Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ 61,400 Interest income $ 61,400 $ 44,371 $ (17,029) Total revenues 3,600 65,000 3,600 65,000 5,062 49,433 1,462 (15,567) Excess of revenues over expenditures 65,000 65,000 49,433 (15,567) (15,567) Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 65,000 65,000 49,433 898,334 898,334 912,879 963,334 158 $ 963,334 $ 962,312 14,545 $ (1,022) Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Children’s Issues Education Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ Interest income 101,000 $ 101,000 $ 142 $ (100,858) 4,000 105,000 4,000 105,000 59 201 (3,941) (104,799) Total expenditures 115,007 115,007 115,007 115,007 10,006 10,006 105,001 105,001 Deficiency of revenues under expenditures (10,007) (10,007) (9,805) 202 Net change in fund balances (10,007) (10,007) (9,805) 202 11,927 11,927 17,446 5,519 Total revenues EXPENDITURES Current: Public safety Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 1,920 159 $ 1,920 $ 7,641 $ 5,721 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Clerk of Court Fill the Gap Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ Total revenues 1,915,696 1,915,696 $ 1,944,794 1,944,794 $ 1,944,794 1,944,794 $ EXPENDITURES Current: Public safety 1,915,696 1,915,696 Total expenditures 2,028,449 2,028,449 83,655 83,655 (83,655) Excess (deficiency) of revenues over expenditures Net change in fund balances 83,655 (83,655) Fund balance, July 1, 2015 Fund balance (deficit), June 30, 2016 1,944,794 1,944,794 1,371 $ 1,371 160 83,655 1,371 $ (82,284) 85,027 $ 85,027 83,656 $ 167,311 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Clerk of the Court EDMS Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ 2,448,571 $ 2,448,571 $ Interest income Total revenues 2,727,620 $ 279,049 2,448,571 2,448,571 3,921 2,731,541 3,921 282,970 2,448,571 2,448,571 2,448,571 2,448,571 2,231,296 2,231,296 217,275 217,275 500,245 500,245 500,245 500,245 EXPENDITURES Current: Public safety Total expenditures Excess of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 482,094 $ 482,094 161 482,094 $ 482,094 745,183 $ 1,245,428 263,089 $ 763,334 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Clerk of the Court Grants Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ Total revenues 1,484,286 1,484,286 $ 1,484,286 1,484,286 $ 1,461,603 1,461,603 $ (22,683) (22,683) EXPENDITURES Current: Public safety 1,484,286 1,484,286 Total expenditures 1,484,286 1,484,286 Excess of revenues over expenditures Net change in fund balances Fund deficit, July 1, 2015 Fund balance (deficit), June 30, 2016 (4,981) $ (4,981) 162 (4,981) $ (4,981) 1,455,955 1,455,955 28,331 28,331 5,648 5,648 5,648 5,648 (5,648) $ (667) $ 4,981 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Conciliation Court Fees Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ Interest income 1,370,800 $ 1,370,800 $ 1,670,455 $ 299,655 1,200 1,372,000 1,200 1,372,000 2,660 1,673,115 1,460 301,115 1,578,566 1,578,566 1,578,566 1,578,566 1,578,400 1,578,400 166 166 Excess (deficiency) of revenues over expenditures (206,566) (206,566) 94,715 301,281 Net change in fund balances (206,566) (206,566) 94,715 301,281 206,566 206,566 597,363 Total revenues EXPENDITURES Current: Public safety Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ $ 163 $ 692,078 390,797 $ 692,078 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual County Attorney Fill the Gap Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ Interest income Total revenues 1,526,206 $ 1,526,206 $ 1,342,768 $ (183,438) 1,000 1,527,206 1,000 1,527,206 1,346 1,344,114 346 (183,092) 1,527,206 1,527,206 1,527,206 1,527,206 1,415,849 1,415,849 111,357 111,357 (71,735) (71,735) (71,735) (71,735) EXPENDITURES Current: Public safety Total expenditures Excess (deficiency) of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 166,043 $ 166,043 164 166,043 $ 166,043 248,025 $ 176,290 81,982 $ 10,247 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual County Attorney Grants Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ Interest income Total revenues 5,345,406 $ 5,862,775 $ 5,666,744 $ (196,031) 5,820 5,351,226 5,820 5,868,595 5,666,744 (5,820) (201,851) 5,351,226 5,351,226 5,868,595 5,868,595 5,556,543 5,556,543 312,052 312,052 110,201 110,201 EXPENDITURES Current: Public safety Total expenditures Excess of revenues over expenditures Net change in fund balances Fund deficit, July 1, 2015 Fund deficit, June 30, 2016 (98,096) $ (98,096) 165 (98,096) $ (98,096) $ 110,201 110,201 (254,287) (156,191) (144,086) $ (45,990) Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual County Attorney RICO Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Fines and forfeits $ Interest income Total revenues 1,888,940 $ 1,888,940 $ 1,670,225 $ (218,715) 22,000 1,910,940 22,000 1,910,940 27,332 1,697,557 5,332 (213,383) 1,910,940 3,410,940 1,304,310 2,106,630 3,410,940 660,637 1,964,947 (660,637) 1,445,993 (1,500,000) (267,390) 1,232,610 (1,500,000) (267,390) 1,232,610 2,524,646 3,575,366 EXPENDITURES Current: Public safety Capital outlay 1,910,940 Total expenditures Excess (deficiency) of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 2,524,646 $ 2,524,646 166 $ 1,024,646 $ 3,307,976 1,050,720 $ 2,283,330 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Court Document Retrieval Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ 1,064,545 $ 1,064,545 $ Interest income Total revenues 1,082,162 $ 17,617 1,064,545 1,064,545 2,003 1,084,165 2,003 19,620 1,149,941 1,149,941 1,149,941 1,149,941 894,177 894,177 255,764 255,764 (85,396) (85,396) 189,988 275,384 (85,396) (85,396) 189,988 275,384 312,340 312,340 377,149 EXPENDITURES Current: Public safety Total expenditures Excess (deficiency) of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 226,944 167 $ 226,944 $ 567,137 64,809 $ 340,193 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Criminal Justice Enhancement Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ Interest income 1,375,000 $ 1,375,000 $ 1,407,700 $ 32,700 2,000 1,377,000 2,000 1,377,000 902 1,408,602 (1,098) 31,602 1,573,727 1,573,727 1,573,727 1,573,727 1,432,044 1,432,044 141,683 141,683 Deficiency of revenues under expenditures (196,727) (196,727) (23,442) 173,285 Net change in fund balances (196,727) (196,727) (23,442) 173,285 235,747 235,747 609,367 Total revenues EXPENDITURES Current: Public safety Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 39,020 168 $ 39,020 $ 585,925 373,620 $ 546,905 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Diversion Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Fines and forfeits $ Interest income 1,786,174 $ 1,786,174 $ 1,787,143 $ 969 6,700 1,792,874 6,700 1,792,874 6,288 1,793,431 (412) 557 2,567,536 2,567,536 2,567,536 2,567,536 2,147,688 2,147,688 419,848 419,848 Deficiency of revenues under expenditures (774,662) (774,662) (354,257) 420,405 Net change in fund balances (774,662) (774,662) (354,257) 420,405 860,725 860,725 1,303,546 Total revenues EXPENDITURES Current: Public safety Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 169 86,063 $ 86,063 $ 949,289 442,821 $ 863,226 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Domestic Relations Mediation Education Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ Interest income Total revenues 180,000 $ 180,000 $ 204,553 600 180,600 600 180,600 556 205,109 180,600 180,600 180,600 180,600 180,600 180,600 $ 24,553 (44) 24,509 EXPENDITURES Current: Health, welfare and sanitation Total expenditures Excess of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 75,038 $ 75,038 170 75,038 $ 75,038 24,509 24,509 24,509 24,509 107,063 $ 131,572 32,025 $ 56,534 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Educational Supplemental Program Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ 566,275 $ 566,275 $ Interest income 888,121 $ 321,846 566,275 566,275 4,677 892,798 1,128,875 1,128,875 1,128,875 1,128,875 673,240 673,240 455,635 455,635 Excess (deficiency) of revenues over expenditures (562,600) (562,600) 219,558 782,158 Net change in fund balances (562,600) (562,600) 219,558 782,158 Total revenues 4,677 326,523 EXPENDITURES Current: Education Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 562,600 $ 562,600 $ 171 $ 797,853 1,017,411 $ 235,253 1,017,411 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Elections Grants Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ Interest income Total revenues 464,778 $ 967,994 $ 543,802 $ (424,192) 5,500 470,278 5,500 973,494 1,928 545,730 (3,572) (427,764) 470,278 470,278 973,494 973,494 545,730 545,730 427,764 427,764 EXPENDITURES Current: General government Total expenditures Excess revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 728,060 $ 728,060 172 728,060 $ 728,060 (728,060) $ $ (728,060) Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Emancipation Administrative Costs Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ $ $ Interest income 791 $ 791 Total revenues 28 819 28 819 Excess of revenues over expenditures 819 819 819 819 Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 4,855 $ 4,855 173 4,855 $ 4,855 5,040 $ 5,859 185 $ 1,004 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Emergency Management Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ 795,164 Charges for services $ 218,351 982,963 $ $ (307,819) 184,612 (33,739) 1,013,515 1,201,314 657 860,413 657 (340,901) 1,054,427 1,054,427 1,241,381 1,241,381 840,986 840,986 400,395 400,395 (40,912) (40,067) 19,427 59,494 (845) (845) (845) (845) Interest Income Total revenues 675,144 218,351 EXPENDITURES Current: Public safety Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING USES Transfers out Total other financing uses Net change in fund balances Fund balance (deficit), July 1, 2015 Fund deficit, June 30, 2016 $ 174 (40,912) (40,912) 18,582 59,494 21,222 (19,690) 21,222 (19,690) (110,355) (91,773) (131,577) (72,083) $ $ $ Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Environmental Services Environmental Health Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Licenses and permits $ 15,489,739 Charges for services $ 15,059,179 $ (241,860) 4,142,679 221,012 221,012 221,157 145 32,000 32,000 50,436 18,436 1,200 19,383,201 1,200 19,383,201 120,207 19,593,658 119,007 210,457 19,701,627 19,684,304 18,738,485 945,819 153,400 19,855,027 153,400 19,837,704 54,546 18,793,031 98,854 1,044,673 (471,826) (454,503) 800,627 1,255,130 Interest income Total revenues 15,301,039 3,827,950 Fines and forfeits Miscellaneous $ 3,639,250 314,729 EXPENDITURES Current: Health, welfare and sanitation Capital outlay Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES) Transfers in 95,081 95,081 Transfers out (17,323) 77,758 (17,323) 77,758 Total other financing sources Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 175 (471,826) (376,745) 878,385 8,102,377 8,102,377 8,852,508 7,630,551 $ 7,725,632 $ 9,730,893 1,255,130 750,131 $ 2,005,261 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Environmental Services Grants – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ $ Total revenues 70,198 70,198 $ 33,426 33,426 $ (36,772) (36,772) EXPENDITURES Current: 70,198 49,364 20,834 70,198 49,364 20,834 Excess (deficiency) of revenues over expenditures (15,938) (15,938) Net change in fund balances (15,938) (15,938) Health, welfare and sanitation Total expenditures Fund balance (deficit), July 1, 2015 Fund balance (deficit), June 30, 2016 $ $ 176 $ (15,938) $ (15,938) Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Expedited Child Support Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ Interest income 596,934 $ 596,934 $ 676,232 $ 79,298 3,066 600,000 3,066 600,000 503 676,735 (2,563) 76,735 713,621 713,621 713,621 713,621 704,950 704,950 8,671 8,671 Deficiency of revenues under expenditures (113,621) (113,621) (28,215) 85,406 Net change in fund balances (113,621) (113,621) (28,215) 85,406 113,621 113,621 163,110 Total revenues EXPENDITURES Current: Health, welfare and sanitation Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ $ 177 $ 134,895 49,489 $ 134,895 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Flood Control Fund – Special Revenue Fund Year Ended June 30, 2016 Variance With Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Taxes $ 48,917,990 $ 48,917,990 $ 48,988,130 $ 70,140 Licenses and permits 174,600 174,600 269,856 95,256 Intergovernmental 186,052 186,052 549,493 363,441 Interest income 100,000 100,000 209,108 109,108 263,612 49,642,254 263,612 49,642,254 1,739,520 51,756,107 1,475,908 2,113,853 31,719,893 31,719,893 27,406,025 4,313,868 Total expenditures 775,500 32,495,393 775,500 32,495,393 1,005,404 28,411,429 (229,904) 4,083,964 Excess of revenues over expenditures 17,146,861 17,146,861 23,344,678 6,197,817 Total other financing uses (34,195,616) (34,195,616) (34,195,616) (34,195,616) (34,195,616) (34,195,616) Net change in fund balances (17,048,755) (17,048,755) (10,850,938) 6,197,817 17,048,755 17,048,755 21,452,232 4,403,477 Miscellaneous Total revenues EXPENDITURES Current: Public safety Capital outlay OTHER FINANCING USES Transfers out Fund balance, July 1, 2015 Change in nonspendable resources: Decrease in inventories Fund balance, June 30, 2016 (142,973) $ $ 178 $ 10,458,321 (142,973) $ 10,458,321 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Flood Control Grants Fund – Special Revenue Fund Year Ended June 30, 2016 Variance With Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ 345,000 345,000 Total revenues $ 468,774 468,774 $ 513,222 513,222 $ 44,448 44,448 EXPENDITURES Current: Public safety 345,000 345,000 603,774 603,774 598,123 598,123 5,651 5,651 Excess (deficiency) of revenues over expenditures (135,000) (84,901) 50,099 Net change in fund balances (135,000) (84,901) 50,099 Total expenditures Fund balance, July 1, 2015 Fund balance (deficit), June 30, 2016 84,901 $ $ 179 (135,000) $ 84,901 $ 135,000 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Human Services Grants Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ 45,246,229 $ 53,613,125 $ Miscellaneous Total revenues 48,311,276 4,385 $ (5,301,849) 4,385 45,246,229 53,613,125 48,315,661 (5,297,464) 45,246,229 53,207,567 398,956 49,323,695 601,958 3,883,872 (203,002) 45,246,229 53,606,523 49,925,653 3,680,870 6,602 (1,609,992) (1,616,594) EXPENDITURES Current: Health, welfare and sanitation Capital outlay Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING USES Transfers out Total other financing uses (6,602) (6,602) (6,602) (6,602) (255,317) (1,616,594) (1,388,194) Net change in fund balances (255,317) Fund deficit, July 1, 2015 Fund deficit, June 30, 2016 $ (255,317) 180 $ (255,317) $ (3,004,788) (1,616,594) (1,132,877) $ (2,749,471) Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Inmate Health Services Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ 300,000 873 Interest income $ 300,000 873 $ 381,213 4,224 $ 81,213 3,351 300,873 300,873 385,437 84,564 300,873 300,000 300,873 300,000 203,820 71,269 97,053 228,731 600,873 600,873 275,089 325,784 Excess (deficiency) of revenues over expenditures (300,000) (300,000) 110,348 410,348 Net change in fund balances (300,000) (300,000) 110,348 410,348 402,055 402,055 644,665 Total revenues EXPENDITURES Current: Public safety Capital outlay Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 102,055 181 $ 102,055 $ 755,013 242,610 $ 652,958 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Inmate Services Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ 11,197,874 Interest income Miscellaneous Total revenues $ 11,197,874 $ 10,537,300 $ (660,574) 46,928 46,928 45,575 (1,353) 5,524 11,250,326 5,524 11,250,326 7,690 10,590,565 2,166 (659,761) 11,250,326 11,250,326 10,765,164 485,162 11,250,326 750,000 12,000,326 38,361 10,803,525 711,639 1,196,801 (750,000) (212,960) 537,040 (750,000) (212,960) 537,040 8,397,572 8,522,321 124,749 EXPENDITURES Current: Public safety Capital outlay Total expenditures Excess (deficiency) of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 8,397,572 Change in nonspendable resources: Increase in inventories Fund balance, June 30, 2016 $ 8,397,572 182 $ 7,647,572 $ 156,857 8,466,218 $ 156,857 818,646 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Judicial Enhancement Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ Interest income Total revenues 1,365,904 $ 1,365,904 $ 1,465,294 $ 99,390 10,060 1,375,964 10,060 1,375,964 20,600 1,485,894 10,540 109,930 1,191,647 1,191,647 1,104,306 87,341 15,000 1,206,647 15,000 1,206,647 1,104,306 15,000 102,341 169,317 169,317 381,588 212,271 212,271 EXPENDITURES Current: Public safety Capital outlay Total expenditures Excess of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 169,317 169,317 381,588 3,626,364 3,626,364 3,623,670 3,795,681 183 $ 3,795,681 $ 4,005,258 (2,694) $ 209,577 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Justice Court Judicial Enhancement Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Fines and forfeits $ 731,783 Interest income Total revenues $ 731,783 $ 732,249 $ 466 5,400 737,183 5,400 737,183 7,141 739,390 1,741 2,207 737,183 737,183 737,183 737,183 499,194 499,194 237,989 237,989 240,196 240,196 240,196 240,196 EXPENDITURES Current: Public safety Total expenditures Excess of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 1,268,798 $ 1,268,798 184 1,268,798 $ 1,268,798 1,229,303 $ 1,469,499 (39,495) $ 200,701 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Justice Courts Photo Enforcement Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Total revenues $ $ $ $ $ $ $ $ EXPENDITURES Total expenditures Excess of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 158 158 185 $ 158 158 $ 8,226 8,226 $ 8,068 8,068 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Justice Courts Special Revenue Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ Interest income 6,376,600 $ 6,376,600 $ 6,940,324 $ 563,724 2,400 6,379,000 2,400 6,379,000 5,009 6,945,333 2,609 566,333 6,484,250 6,484,250 6,484,250 6,484,250 6,306,547 6,306,547 177,703 177,703 Excess (deficiency) of revenues over expenditures (105,250) (105,250) 638,786 744,036 Net change in fund balances (105,250) (105,250) 638,786 744,036 669,783 564,533 669,783 564,533 829,927 1,468,713 Total revenues EXPENDITURES Current: Public safety Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 186 $ $ $ 160,144 904,180 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Juvenile Probation Diversion Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ Interest income 208,571 $ 208,571 $ 229,861 $ 21,290 5,524 214,095 5,524 214,095 3,865 233,726 (1,659) 19,631 390,010 390,010 380,239 9,771 390,010 390,010 380,239 9,771 Deficiency of revenues under expenditures (175,915) (175,915) (146,513) 29,402 Net change in fund balances (175,915) (175,915) (146,513) 29,402 576,306 576,306 808,826 232,520 Total revenues EXPENDITURES Current: Public safety Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 187 400,391 $ 400,391 $ 662,313 $ 261,922 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Juvenile Probation Grants Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ Interest income Total revenues 3,810,655 $ 3,950,704 $ 3,347,281 $ (603,423) 701 3,811,356 701 3,951,405 2,885 3,350,166 2,184 (601,239) 3,811,356 3,811,356 3,951,405 3,951,405 3,385,691 3,385,691 565,714 565,714 (35,525) (35,525) (35,525) (35,525) EXPENDITURES Current: Public safety Total expenditures Excess (deficiency) of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 412,912 $ 412,912 188 412,912 $ 412,912 445,751 $ 410,226 32,839 $ (2,686) Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Juvenile Probation Special Fees Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ Fines and forfeits 248,000 $ 248,000 $ 203,582 $ (44,418) 2,415,647 6,130 2,415,647 6,130 2,771,333 7,083 355,686 953 2,669,777 2,669,777 2,981,998 312,221 3,058,130 3,058,130 2,878,125 180,005 3,058,130 3,058,130 2,878,125 180,005 Excess (deficiency) of revenues over expenditures (388,353) (388,353) 103,873 492,226 Net change in fund balances (388,353) (388,353) 103,873 492,226 420,940 420,940 1,549,932 1,128,992 Interest income Total revenues EXPENDITURES Current: Public safety Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 32,587 189 $ 32,587 $ 1,653,805 $ 1,621,218 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Juvenile Restitution Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Interest income $ 865 Miscellaneous Total revenues $ 865 $ 215 $ (650) 3,135 4,000 3,135 4,000 1,208 1,423 (1,927) (2,577) 4,000 4,000 10,000 10,000 6,707 6,707 3,293 3,293 (6,000) (5,284) 716 EXPENDITURES Current: Public safety Total expenditures Excess (deficiency) of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 46,623 $ 46,623 190 $ (6,000) (5,284) 716 46,623 43,856 (2,767) 40,623 $ 38,572 $ (2,051) Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Lake Pleasant Recreation Services Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ 2,406,437 Fines and forfeits $ 2,406,437 $ 2,642,393 $ 235,956 150 150 4,797 307,852 4,797 307,852 8,381 243,564 3,584 (64,288) 2,719,236 2,719,236 2,894,338 175,102 3,466,436 367,000 3,466,436 367,000 2,878,115 400,921 588,321 (33,921) 3,833,436 3,833,436 3,279,036 554,400 Deficiency of revenues under expenditures (1,114,200) (1,114,200) (384,698) 729,502 Net change in fund balances (1,114,200) (1,114,200) (384,698) 729,502 1,305,039 1,305,039 1,577,619 Interest income Miscellaneous Total revenues (150) EXPENDITURES Current: Culture and recreation Capital outlay Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 190,839 191 $ 190,839 $ 1,192,921 272,580 $ 1,002,082 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Law Library Fees Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ 1,146,221 Fines and forfeits 1,146,221 $ 1,242,392 $ 96,171 1,750 29 (1,721) 10,500 7,500 10,500 7,500 15,589 8,600 5,089 1,100 1,165,971 1,165,971 1,266,610 100,639 1,165,971 1,165,971 485,963 680,008 1,165,971 1,165,971 485,963 680,008 780,647 780,647 Interest income Miscellaneous Total revenues $ 1,750 EXPENDITURES Current: Public safety Total expenditures Excess of revenues over expenditures OTHER FINANCING USES Transfers out Total other financing uses Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 2,744,761 2,744,761 192 $ (2,063,093) (2,063,093) (2,063,093) (2,063,093) (2,063,093) (1,282,446) 2,744,761 681,668 3,056,067 1,773,621 $ 780,647 $ 311,306 1,091,953 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Legal Defender Fill the Gap Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ 66,362 $ 66,362 $ Interest income Total revenues 66,362 66,362 66,362 127 66,489 66,362 66,362 66,362 66,362 66,362 66,362 $ 127 127 EXPENDITURES Current: Public safety Total expenditures Excess of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 2,400 $ 2,400 193 2,400 $ 2,400 127 127 127 127 2,479 $ 2,606 79 $ 206 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Library District Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Taxes $ Intergovernmental 19,019,752 $ 19,019,752 $ 19,230,198 $ 210,446 421,585 421,585 417,868 (3,717) 5,064,386 5,064,386 4,820,233 (244,153) Fines and forfeits 689,740 689,739 700,408 10,669 Interest income 18,000 134,150 18,000 160,337 44,055 444,832 26,055 284,495 25,347,613 25,373,799 25,657,594 283,795 29,459,719 30,000 29,485,905 30,000 27,162,554 106,380 2,323,351 (76,380) Total expenditures 29,489,719 29,515,905 27,268,934 2,246,971 Deficiency of revenues under expenditures (4,142,106) (4,142,106) (1,611,340) 2,530,766 (664,734) (664,734) (664,734) (664,734) (664,734) (664,734) (4,806,840) (4,806,840) (2,276,074) 4,806,840 4,806,840 6,068,976 Charges for services Miscellaneous Total revenues EXPENDITURES Current: Culture and recreation Capital outlay OTHER FINANCING USES Transfers out Total other financing uses Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ $ 194 $ 3,792,902 2,530,766 1,262,136 $ 3,792,902 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Library District Grants Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ $ Miscellaneous Total revenues 34,075 21,537 $ 55,612 55,612 55,612 55,612 49,262 6,350 55,612 55,612 $ 21,537 (21,537) EXPENDITURES Current: Culture and recreation Capital outlay Total expenditures 6,350 (6,350) Excess of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ $ 195 $ $ Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Medical Examiner Grants Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ $ Total revenues 8,406 $ 7,785 8,406 7,785 8,406 8,406 8,406 8,406 $ (621) (621) EXPENDITURES Current: Public safety Total expenditures Excess (deficiency) of revenues over expenditures (621) (621) Net change in fund balances (621) (621) Fund balance, July 1, 2015 Fund balance (deficit), June 30, 2016 $ $ 196 $ (621) $ (621) Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Non-Departmental Grants Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ 73,459 $ 2,442,388 $ Interest Income Miscellaneous Total revenues 2,412,402 $ (29,986) 764 764 (37,078,394) 37,091,664 37,078,394 37,165,123 39,520,782 2,413,166 (37,107,616) 37,165,123 9,406,779 2,413,193 6,993,586 37,165,123 9,406,779 2,413,193 6,993,586 30,114,003 (27) (30,114,030) 30,114,003 (27) (30,114,030) 1,250,934 (772) EXPENDITURES Current: General government Total expenditures Excess (deficiency) of revenues over expenditures Net change in fund balances Fund balance (deficit), July 1, 2015 Fund balance (deficit), June 30, 2016 1,250,934 $ 1,250,934 197 $ 31,364,937 $ (799) (1,251,706) $ (31,365,736) Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Officer Safety Equipment Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Fines and forfeits $ 52,000 $ 52,000 $ Interest income Total revenues 171,021 $ 119,021 1,661 172,682 1,661 120,682 52,000 52,000 45,000 7,000 45,000 7,000 10,776 34,224 7,000 52,000 52,000 10,776 41,224 161,906 161,906 161,906 161,906 EXPENDITURES Current: Public safety Capital outlay Total expenditures Excess of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 198 208,335 208,335 $ 208,335 208,335 $ 292,617 454,523 $ 84,282 246,188 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Palo Verde Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ 682,808 $ 682,808 $ Interest income Total revenues 682,808 682,808 682,808 4,835 687,643 $ 4,835 4,835 EXPENDITURES Current: 760,839 760,839 681,833 79,006 Total expenditures 760,839 760,839 681,833 79,006 Excess (deficiency) of revenues over expenditures (78,031) (78,031) 5,810 83,841 Public safety Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 199 (78,031) (78,031) 5,810 83,841 659,850 659,850 823,106 163,256 581,819 $ 581,819 $ 828,916 $ 247,097 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Parks and Recreation Grants Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ Total revenues 13,990 $ 13,990 $ 1,435 $ (12,555) 13,990 13,990 1,435 (12,555) 13,990 13,990 649 13,341 13,990 13,990 649 13,341 786 786 EXPENDITURES Current: Culture and recreation Total expenditures Excess of revenues over expenditures Net change in fund balances Fund balance (deficit), July 1, 2015 Fund balance, June 30, 2016 21,598 $ 200 21,598 21,598 $ 21,598 $ 786 786 (786) (22,384) $ (21,598) Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Parks Donations Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Interest income $ 1,345 21,932 Miscellaneous $ 1,345 21,932 $ 3,529 30,884 $ 2,184 8,952 23,277 23,277 34,413 11,136 324,237 324,237 90,163 234,074 324,237 324,237 90,163 234,074 Deficiency of revenues under expenditures (300,960) (300,960) (55,750) 245,210 Net change in fund balances (300,960) (300,960) (55,750) 245,210 611,428 611,428 661,380 Total revenues EXPENDITURES Current: Culture and recreation Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 310,468 201 $ 310,468 $ 605,630 49,952 $ 295,162 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Parks Enhancement Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ 3,033,966 Fines and forfeits $ 3,033,966 $ 3,469,027 $ 435,061 20 20 2,076 2,056 11,390 1,625,932 11,390 1,625,932 13,207 1,703,489 1,817 77,557 4,671,308 4,671,308 5,187,799 516,491 5,777,245 200,000 5,777,245 200,000 5,145,688 213,313 631,557 (13,313) 5,977,245 5,977,245 5,359,001 618,244 Deficiency of revenues under expenditures (1,305,937) (1,305,937) (171,202) 1,134,735 Net change in fund balances (1,305,937) (1,305,937) (171,202) 1,134,735 Interest income Miscellaneous Total revenues EXPENDITURES Current: Culture and recreation Capital outlay Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 1,853,104 547,167 202 $ 1,853,104 547,167 $ 2,321,979 2,150,777 $ 468,875 1,603,610 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Parks Souvenir Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Interest income $ Miscellaneous Total revenues 250 362,294 $ 250 362,294 $ 324,838 $ (250) (37,456) 362,544 362,544 324,838 (37,706) 362,544 362,544 323,985 38,559 362,544 362,544 323,985 38,559 853 853 EXPENDITURES Current: Culture and recreation Total expenditures Excess of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 25,000 $ 25,000 203 25,000 $ 25,000 $ 853 853 24,237 (763) 25,090 $ 90 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Parks Spur Cross Ranch Conservation Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ 272,776 Interest income $ 272,776 $ 279,226 $ 6,450 1,283 1,300 1,283 1,300 1,590 4,423 307 3,123 275,359 275,359 285,239 9,880 370,609 35,000 370,609 35,000 275,913 33,579 94,696 1,421 405,609 405,609 309,492 96,117 Deficiency of revenues under expenditures (130,250) (130,250) (24,253) 105,997 Net change in fund balances (130,250) (130,250) (24,253) 105,997 Miscellaneous Total revenues EXPENDITURES Current: Culture and recreation Capital outlay Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 291,153 160,903 204 $ 291,153 160,903 $ 301,038 276,785 $ 9,885 115,882 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Planning and Development Fees Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Licenses and permits $ Charges for services 3,887,052 $ 3,887,052 $ 6,242,722 $ 2,355,670 4,078,600 4,078,600 6,242,750 Fines and forfeits 18,948 18,948 15,150 (3,798) Interest income 16,000 9,600 16,000 9,600 37,033 24,517 21,033 14,917 8,010,200 8,010,200 12,562,172 4,551,972 8,082,791 96,000 9,427,721 96,000 8,673,086 151,752 754,635 (55,752) 8,178,791 9,523,721 8,824,838 698,883 (168,591) (1,513,521) 3,737,334 5,250,855 Miscellaneous Total revenues 2,164,150 EXPENDITURES Current: Public safety Capital outlay Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING USES Transfers out Total other financing uses Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 205 (5,070) (5,070) (5,070) (5,070) (168,591) (1,518,591) 3,732,264 3,489,495 3,489,495 4,114,632 3,320,904 $ 1,970,904 $ 7,846,896 5,250,855 625,137 $ 5,875,992 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Probate Fees Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ Interest income 390,800 1,200 $ 390,800 1,200 $ 402,013 854 $ 11,213 (346) 392,000 392,000 402,867 10,867 530,756 530,756 486,606 44,150 530,756 530,756 486,606 44,150 Deficiency of revenues under expenditures (138,756) (138,756) (83,739) 55,017 Net change in fund balances (138,756) (138,756) (83,739) 55,017 216,906 216,906 225,768 Total revenues EXPENDITURES Current: Public safety Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 78,150 206 $ 78,150 $ 142,029 8,862 $ 63,879 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Public Defender Fill the Gap Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ 936,629 $ 936,629 $ Interest income 906,957 1,412 $ (29,672) 1,412 936,629 936,629 908,369 (28,260) 1,011,395 1,011,395 916,812 94,583 1,011,395 1,011,395 916,812 94,583 Deficiency of revenues under expenditures (74,766) (74,766) (8,443) 66,323 Net change in fund balances (74,766) (74,766) (8,443) 66,323 74,768 74,768 70,839 Total revenues EXPENDITURES Current: Public safety Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 2 207 $ 2 $ 62,396 (3,929) $ 62,394 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Public Defender Grants Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ Total revenues 237,289 $ 237,289 $ 210,847 $ (26,442) 237,289 237,289 210,847 (26,442) 237,289 237,289 211,256 26,033 237,289 237,289 211,256 26,033 (409) (409) (409) (409) EXPENDITURES Current: Public safety Total expenditures Excess (deficiency) of revenues over expenditures Net change in fund balances Fund deficit, July 1, 2015 Fund deficit, June 30, 2016 (5,010) $ (5,010) 208 (5,010) $ (5,010) (5,979) $ (6,388) (969) $ (1,378) Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Public Defender Training Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ 389,624 $ 389,624 $ Interest income 337,271 $ (52,353) 14,986 14,986 1,049 28,115 404,610 404,610 366,435 (38,175) 658,170 658,170 345,747 312,423 658,170 658,170 345,747 312,423 Excess (deficiency) of revenues over expenditures (253,560) (253,560) 20,688 274,248 Net change in fund balances (253,560) (253,560) 20,688 274,248 269,259 269,259 252,768 Miscellaneous Total revenues 1,049 13,129 EXPENDITURES Current: Public safety Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 15,699 209 $ 15,699 $ 273,456 (16,491) $ 257,757 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Public Health Grants Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final Budget Budgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ 51,606,352 Charges for services 51,606,352 $ 49,202,112 $ (2,404,240) 300,000 150,000 441,471 261 141,471 (149,739) 52,056,352 52,056,352 49,643,844 (2,412,508) 52,056,352 52,056,352 49,052,543 9,995 3,003,809 (9,995) 52,056,352 52,056,352 49,062,538 2,993,814 581,306 581,306 Miscellaneous Total revenues $ 300,000 150,000 EXPENDITURES Current: Health, welfare, and sanitation Capital outlay Total expenditures Excess of revenues over expenditures Net change in fund balances Fund balance (deficit), July 1, 2015 57,239 57,239 581,306 581,306 (470,943) (528,182) Change in nonspendable resources: Decrease in inventories Fund balance (deficit), June 30, 2016 (693,834) $ 57,239 210 $ 57,239 $ (583,471) (693,834) $ (640,710) Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Public Health Fees Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ Interest income Total revenues 6,578,299 30,000 $ 6,578,299 30,000 $ 6,958,684 37,678 $ 380,385 7,678 6,608,299 6,608,299 6,996,362 388,063 6,608,814 29,485 7,271,025 82,484 6,447,323 50,367 823,702 32,117 6,638,299 7,353,509 6,497,690 855,819 EXPENDITURES Current: Health, welfare and sanitation Capital outlay Total expenditures (30,000) (745,210) 498,672 1,243,882 30,000 30,000 32,507 2,507 30,000 30,000 32,507 2,507 531,179 1,246,389 6,177,913 6,177,913 6,445,993 268,080 Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES Transfers in Total other financing sources Net change in fund balances (715,210) Fund balance, July 1, 2015 Change in nonspendable resources: Increase in inventories Fund balance, June 30, 2016 199,555 $ 6,177,913 211 $ 5,462,703 $ 7,176,727 199,555 $ 1,714,024 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Recorder’s Surcharge Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ Interest income 3,780,689 12,000 $ 3,780,689 12,000 $ 3,547,016 11,597 $ (233,673) (403) 3,792,689 3,792,689 3,558,613 (234,076) 4,824,958 666,000 4,824,958 666,000 4,436,557 538,925 388,401 127,075 5,490,958 5,490,958 4,975,482 515,476 Deficiency of revenues under expenditures (1,698,269) (1,698,269) (1,416,869) 281,400 Net change in fund balances (1,698,269) (1,698,269) (1,416,869) 281,400 2,753,527 2,753,527 2,877,489 Total revenues EXPENDITURES Current: General government Capital outlay Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 1,055,258 212 $ 1,055,258 $ 1,460,620 123,962 $ 405,362 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual School Communication Expense Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ 665,000 $ Charges for Services 665,000 $ 9,665 $ (655,335) 665,000 25,157 690,157 1,362,934 1,372,599 1,337,777 682,442 869,575 894,732 580,821 313,911 869,575 894,732 580,821 313,911 Excess (deficiency) of revenues over expenditures (204,575) (204,575) 791,778 996,353 Net change in fund balances (204,575) (204,575) 791,778 996,353 204,575 204,575 680,176 Total revenues EXPENDITURES Current: Education Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ $ 213 $ 1,471,954 475,601 $ 1,471,954 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual School Grants Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ 25,193,765 $ Charges for Services Total revenues 25,401,265 323,997 $ 19,123,756 125 $ (6,277,509) (323,872) 25,193,765 25,725,262 19,123,881 (6,601,381) 25,401,884 25,933,381 20,957,970 4,975,411 25,401,884 25,933,381 20,957,970 4,975,411 (208,119) (208,119) (1,834,089) (1,625,970) 208,119 208,119 208,119 208,119 208,119 208,119 EXPENDITURES Current: Education Total expenditures Deficiency of revenues under expenditures OTHER FINANCING SOURCES Transfers in Total other financing sources Net change in fund balances (1,625,970) Fund balance (deficit), July 1, 2015 Fund balance (deficit), June 30, 2016 (1,625,970) (217,779) $ $ 214 $ (1,843,749) (217,779) $ (1,843,749) Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual School Transportation Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ 600,000 600,000 Total revenues $ 600,000 600,000 $ 696,318 696,318 $ 96,318 96,318 EXPENDITURES Current: Education Total expenditures 600,000 600,000 526,195 73,805 600,000 600,000 526,195 73,805 170,123 170,123 170,123 170,123 Excess of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 72,208 $ 72,208 215 72,208 $ 72,208 82,409 $ 252,532 10,201 $ 180,324 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Sheriff Donations Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Fines and forfeits $ 2,834 Interest income Miscellaneous Total revenues $ 2,834 $ 11,008 $ 8,174 648 23,292 648 23,292 914 80,400 266 57,108 26,774 26,774 92,322 65,548 26,774 26,774 444 26,330 26,774 26,774 444 26,330 91,878 91,878 91,878 91,878 EXPENDITURES Current: Public safety Total expenditures Excess of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 78,511 $ 78,511 216 78,511 $ 78,511 123,303 $ 215,181 44,792 $ 136,670 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Sheriff Grants Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ 6,584,885 Fines and forfeits $ $ 5,963,341 $ (499,382) 1,119,500 1,271,490 151,990 100 1,940 12,150 621 12,405 (1,319) 255 7,184,985 7,596,313 7,247,857 (348,456) 6,610,439 574,546 6,258,584 1,337,729 5,587,180 1,419,090 671,404 (81,361) 7,184,985 7,596,313 7,006,270 590,043 241,587 241,587 241,587 241,587 Interest income Miscellaneous Total revenues 6,462,723 600,000 EXPENDITURES Current: Public safety Capital outlay Total expenditures Excess of revenues over expenditures Net change in fund balances Fund deficit, July 1, 2015 Fund deficit, June 30, 2016 (764,637) $ (764,637) 217 (764,637) $ (764,637) (730,620) $ (489,033) 34,017 $ 275,604 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Sheriff Jail Enhancement Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ 1,482,444 $ 1,482,444 $ Interest income Miscellaneous 1,337,832 $ (144,612) 18,080 18,080 1,857 (124,675) 1,482,444 1,482,444 1,857 1,357,769 1,024,920 1,694,022 1,187,558 1,531,384 641,171 589,376 546,387 942,008 2,718,942 2,718,942 1,230,547 1,488,395 Excess (deficiency) of revenues over expenditures (1,236,498) (1,236,498) 127,222 1,363,720 Net change in fund balances (1,236,498) (1,236,498) 127,222 1,363,720 Total revenues EXPENDITURES Current: Public safety Capital outlay Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 1,801,378 564,880 218 $ 1,801,378 564,880 $ 2,989,714 3,116,936 $ 1,188,336 2,552,056 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Sheriff RICO Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Fines and forfeits $ 1,750,000 $ 1,750,000 $ Miscellaneous 844,354 $ (905,646) 86,186 930,540 86,186 (819,460) 1,750,000 1,750,000 1,551,048 198,952 1,551,048 198,952 867,073 683,975 198,952 1,750,000 1,750,000 867,073 882,927 Excess of revenues over expenditures 63,467 63,467 Net change in fund balances 63,467 63,467 Total revenues EXPENDITURES Current: Public safety Capital outlay Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ $ 219 $ 63,467 $ 63,467 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Sheriff Towing and Impound Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Interest income $ Miscellaneous Total revenues 226,100 $ 226,100 $ 816 212,982 $ 816 (13,118) 226,100 226,100 213,798 (12,302) 182,564 43,536 182,564 43,536 161,471 21,093 43,536 226,100 226,100 161,471 64,629 52,327 52,327 52,327 52,327 EXPENDITURES Current: Public safety Capital outlay Total expenditures Excess of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 123,869 123,869 220 $ 123,869 123,869 $ 140,392 192,719 $ 16,523 68,850 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Small School Service Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ 109,551 $ 109,551 $ Interest income Total revenues 109,657 838 $ 106 838 109,551 109,551 110,495 944 EXPENDITURES Current: 167,772 167,772 106,149 61,623 Total expenditures 167,772 167,772 106,149 61,623 Excess (deficiency) of revenues over expenditures (58,221) (58,221) 4,346 62,567 Net change in fund balances (58,221) (58,221) 4,346 62,567 58,221 58,221 141,027 Education Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ $ 221 $ 145,373 82,806 $ 145,373 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Spousal Maintenance Enforcement Enhancement Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ 98,400 Interest income Total revenues $ 98,400 $ 118,702 $ 20,302 600 99,000 600 99,000 571 119,273 (29) 20,273 108,000 108,000 107,999 1 108,000 108,000 107,999 1 (9,000) (9,000) 11,274 20,274 20,274 EXPENDITURES Current: Public safety Total expenditures Excess (deficiency) of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 222 (9,000) (9,000) 11,274 97,384 88,384 97,384 88,384 111,389 122,663 $ $ $ 14,005 34,279 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Superior Court Building Repair – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Interest income $ $ $ Total revenues 2,518 2,518 $ 2,518 2,518 EXPENDITURES Current: Public safety 412,619 144,290 118,425 (144,290) 294,194 412,619 262,715 149,904 (412,619) (260,197) 152,422 2,063,093 2,063,093 Total other financing sources 2,063,093 2,063,093 Net change in fund balances 1,650,474 1,802,896 Capital outlay Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES Transfers in 152,422 Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ $ 223 1,650,474 $ 1,802,896 $ 152,422 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Superior Court Fill the Gap Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ Interest income Total revenues 2,217,128 1,600 2,218,728 $ 2,202,900 $ 2,132,900 $ (70,000) 2,202,900 72 2,132,972 72 (69,928) 2,218,728 2,202,900 2,108,328 94,572 2,218,728 2,202,900 2,108,328 94,572 24,644 24,644 EXPENDITURES Current: Public safety Total expenditures Excess of revenues over expenditures Net change in fund balances Fund balance (deficit), July 1, 2015 Fund balance (deficit), June 30, 2016 $ $ 224 $ 24,644 24,644 (55,309) (55,309) (30,665) $ (30,665) Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Superior Court Grants Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ Charges for services Interest income Total revenues 2,040,793 $ 2,418,040 $ 1,519,496 $ (898,544) 1,390,714 1,000 1,480,526 1,000 1,224,617 1,348 (255,909) 348 3,432,507 3,899,566 2,745,461 (1,154,105) 3,432,507 3,899,566 2,783,347 1,116,219 3,432,507 3,899,566 2,783,347 1,116,219 (37,886) (37,886) (37,886) (37,886) EXPENDITURES Current: Public safety Total expenditures Excess (deficiency) of revenues over expenditures Net change in fund balances Fund deficit, July 1, 2015 Fund deficit, June 30, 2016 (30,961) $ (30,961) 225 (30,961) $ (30,961) (44,418) $ (82,304) (13,457) $ (51,343) Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Superior Court Special Revenue Fund – Special Revenue Fund Year Ended June 30, 2016 Variance With Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ 4,585,292 Interest income $ 4,584,517 $ 5,045,565 $ 461,048 3,637 9,225 3,637 10,000 6,590 43,460 2,953 33,460 4,598,154 4,598,154 5,095,615 497,461 5,294,757 5,294,757 5,294,757 5,294,757 4,782,503 4,782,503 512,254 512,254 Excess (deficiency) of revenues over expenditures (696,603) (696,603) 313,112 1,009,715 Net change in fund balances (696,603) (696,603) 313,112 1,009,715 696,603 696,603 1,447,219 Miscellaneous Total revenues EXPENDITURES Current: Public safety Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ $ 226 $ 1,760,331 750,616 $ 1,760,331 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Taxpayer Information Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ $ Miscellaneous Total revenues $ 243,889 $ 243,889 304,341 304,341 304,341 304,341 243,889 (304,341) (60,452) 304,341 304,341 236,607 67,734 304,341 304,341 236,607 67,734 7,282 7,282 EXPENDITURES Current: General government Total expenditures Excess of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 335,977 $ 335,977 227 335,977 $ 335,977 $ 7,282 7,282 382,428 46,451 389,710 $ 53,733 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Transportation Grants Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ 250,939 250,939 Total revenues $ 579,566 579,566 $ 584,851 584,851 $ 5,285 5,285 EXPENDITURES Current: Highways and streets 250,939 579,566 574,427 5,139 Total expenditures 250,939 579,566 574,427 5,139 10,424 10,424 Excess of revenues over expenditures Net change in fund balances Fund balance (deficit), July 1, 2015 Fund balance (deficit), June 30, 2016 204,527 $ 204,527 228 204,527 $ 204,527 $ 10,424 10,424 (10,459) (214,986) (35) $ (204,562) Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Transportation Operations Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Licenses and permits $ Intergovernmental 935,311 $ 106,983,594 Charges for services 935,311 $ 106,983,594 1,035,913 $ 113,340,566 100,602 6,356,972 11,800 11,800 11,615 (185) 500,000 371,421 500,000 371,421 587,179 492,174 87,179 120,753 108,802,126 108,802,126 115,467,447 6,665,321 56,782,422 3,694,545 56,641,443 3,694,545 53,023,857 3,558,301 3,617,586 136,244 Total expenditures 60,476,967 60,335,988 56,582,158 3,753,830 Excess of revenues over expenditures 48,325,159 48,466,138 58,885,289 10,419,151 (70,403,183) (70,544,162) 1,297,621 (70,437,572) 1,297,621 106,590 Total other financing uses (70,403,183) (70,544,162) (69,139,951) 1,404,211 Net change in fund balances (22,078,024) (22,078,024) (10,254,662) 11,823,362 31,339,704 31,339,704 38,616,975 7,277,271 (111,205) (111,205) Interest income Miscellaneous Total revenues EXPENDITURES Current: Highways and streets Capital outlay OTHER FINANCING SOURCES (USES) Proceeds of Bonds Transfers out Fund balance, July 1, 2015 Change in nonspendable resources: Decrease in inventories Fund balance, June 30, 2016 $ 9,261,680 229 $ 9,261,680 $ 28,251,108 $ 18,989,428 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Victim Compensation Interest Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Interest income $ 5,500 Miscellaneous Total revenues $ 5,500 $ 11,190 $ 5,690 11,016 16,516 11,016 16,516 11,016 22,206 5,690 16,516 16,516 11,398 5,118 16,516 16,516 11,398 5,118 10,808 10,808 10,808 10,808 EXPENDITURES Current: Public safety Total expenditures Excess of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 766,702 $ 766,702 230 766,702 $ 766,702 802,002 $ 812,810 35,300 $ 46,108 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Victim Compensation Restitution Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Fines and forfeits $ 105,600 Interest income Total revenues $ 105,600 $ 197,422 $ 91,822 6,000 111,600 6,000 111,600 8,489 205,911 2,489 94,311 111,600 111,600 361,600 361,600 275,636 275,636 85,964 85,964 (250,000) (69,725) 180,275 (250,000) (69,725) 180,275 1,302,483 1,462,830 EXPENDITURES Current: Public safety Total expenditures Excess (deficiency) of revenues over expenditures Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 1,302,483 $ 1,302,483 231 $ 1,052,483 $ 1,393,105 160,347 $ 340,622 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Victim Location Fund – Special Revenue Fund Year Ended June 30, 2016 Variance With Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Interest income $ 2,300 2,300 Total revenues $ 2,300 2,300 $ 2,622 2,622 $ 322 322 EXPENDITURES Current: 75,000 75,000 30,174 44,826 75,000 75,000 30,174 44,826 Deficiency of revenues under expenditures (72,700) (72,700) (27,552) 45,148 Net change in fund balances (72,700) (72,700) (27,552) 45,148 72,700 72,700 90,457 Public safety Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ $ 232 $ 62,905 17,757 $ 62,905 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Waste Management Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Interest Income $ $ Miscellaneous $ 3,106 $ 3,106 65,000 65,000 65,000 65,000 10,799 13,905 (54,201) (51,095) 653,328 654,183 53,456 600,727 653,328 654,183 53,456 600,727 Deficiency of revenues under expenditures (588,328) (589,183) (39,551) 549,632 Net change in fund balances (588,328) (589,183) (39,551) 549,632 588,328 588,328 589,186 Total revenues EXPENDITURES Current: Public safety Total expenditures Fund balance, July 1, 2015 Fund balance (deficit), June 30, 2016 $ $ 233 (855) $ 549,635 858 $ 550,490 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Waste Tire Fund – Special Revenue Fund Year Ended June 30, 2016 Variance with Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ Charges for services 4,572,444 $ 4,572,444 $ 5,173,068 $ 600,624 175,280 8,617 175,280 8,617 231,155 9,026 55,875 409 4,756,341 4,756,341 5,413,249 656,908 4,751,611 4,751,611 100,000 4,763,316 87,584 (11,705) 12,416 4,751,611 4,851,611 4,850,900 711 Excess (deficiency) of revenues over expenditures 4,730 (95,270) 562,349 657,619 Net change in fund balances 4,730 (95,270) 562,349 657,619 Interest income Total revenues EXPENDITURES Current: Health, welfare and sanitation Capital outlay Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 2,288,110 2,292,840 234 $ 2,288,110 2,192,840 $ 2,140,347 2,702,696 $ (147,763) 509,856 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual County Improvement Debt Fund – Debt Service Fund Year Ended June 30, 2016 Variance With Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Charges for services $ Interest income Total revenues 1,371,504 $ 1,371,504 2,000 1,373,504 2,000 1,373,504 9,580,777 53,479,049 $ 1,371,504 $ 91,737 1,463,241 89,737 89,737 EXPENDITURES Current: Principal Interest Other Total expenditures Deficiency of revenues under expenditures 7,959,528 45,519,521 12,665,773 25,000 (12,665,773) (25,000) 9,580,777 53,479,049 20,650,301 32,828,748 (8,207,273) (52,105,545) (19,187,060) 32,918,485 12,147,283 53,153,509 53,006,456 (147,053) (661,073) (661,073) (29,910,000) (29,910,000) 52,492,436 22,435,383 (30,057,053) 2,861,432 OTHER FINANCING SOURCES (USES) Transfers in Transfers out Payment to escrow agent Total other financing sources 12,147,283 Net change in fund balances 3,940,010 386,891 3,248,323 9,874,372 9,874,372 16,448,733 Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 13,814,382 235 $ 10,261,263 $ 19,697,056 6,574,361 $ 9,435,793 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Stadium District Debt Service Fund – Debt Service Fund Year Ended June 30, 2016 Variance With Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Taxes $ Interest income 3,701,278 345 $ 3,701,278 345 $ 3,494,629 471 $ (206,649) 126 3,701,623 3,701,623 3,495,100 3,701,623 3,701,623 3,325,000 376,623 365,028 1,350 (365,028) (1,350) 3,691,378 10,245 Excess (deficiency) of revenues over expenditures (196,278) (196,278) Net change in fund balances (196,278) (196,278) Total revenues (206,523) EXPENDITURES Debt service: Principal Interest Other expenses 3,701,623 Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 4,401,344 4,401,344 236 3,701,623 $ 4,401,344 4,401,344 $ 4,275,019 4,078,741 $ (126,325) (322,603) Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual County Improvement Fund – Capital Projects Fund Year Ended June 30, 2016 Variance With Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Interest income $ $ $ Total revenues 398,892 $ 398,892 398,892 398,892 EXPENDITURES Capital outlay Total expenditures Deficiency of revenues under expenditures 160,985,109 160,985,109 129,855,838 129,855,838 84,083,279 84,083,279 45,772,559 45,772,559 (160,985,109) (129,855,838) (83,684,387) 46,171,451 (2,195) (2,195) (2,195) (2,195) (83,686,582) 120,476,072 36,789,490 46,169,256 (69,523,928) (23,354,672) OTHER FINANCING USES Transfers out Total other financing uses Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 (160,985,109) 190,000,000 $ 29,014,891 237 (129,855,838) 190,000,000 $ 60,144,162 $ $ Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Detention Capital Projects Fund – Capital Projects Fund Year Ended June 30, 2016 Variance With Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) EXPENDITURES Capital outlay $ Total expenditures 12,497,806 12,497,806 $ 12,498,069 12,498,069 $ 6,166,316 6,166,316 (12,497,806) (12,498,069) (6,166,316) 1,694,489 (153,031) 1,694,489 (153,031) 1,694,489 (153,031) Total other financing sources 1,541,458 1,541,458 1,541,458 Net change in fund balances (10,956,348) 192,899,782 181,943,434 (10,956,611) 192,899,782 181,943,171 (4,624,858) 193,567,442 188,942,584 Deficiency of revenues under expenditures $ 6,331,753 6,331,753 6,331,753 OTHER FINANCING SOURCES (USES) Transfers in Transfers out Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 238 $ $ $ 6,331,753 667,660 6,999,413 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Detention Technology Capital Improvement Fund – Capital Projects Fund Year Ended June 30, 2016 Variance With Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ $ $ Total revenues 792,124 792,124 $ 792,124 792,124 EXPENDITURES Capital outlay 4,837,346 4,837,346 5,327,709 5,327,709 555,074 555,074 4,772,635 4,772,635 (4,837,346) (5,327,709) 237,050 5,564,759 237,788 (1,106,989) 20,274 (1,106,989) (217,514) (1,106,989) Total other financing uses (1,106,989) (869,201) (1,086,715) (217,514) Net change in fund balances (5,944,335) 34,383,870 28,439,535 (6,196,910) 34,383,870 28,186,960 (849,665) 38,694,711 37,845,046 5,347,245 4,310,841 9,658,086 Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES) Proceeds of Bonds Transfers out Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 239 $ $ $ Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Flood Control Capital Projects Fund – Capital Projects Fund Year Ended June 30, 2016 Variance With Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ Total revenues 34,453,000 34,453,000 $ 34,453,000 34,453,000 $ 28,234,928 28,234,928 $ (6,218,072) (6,218,072) EXPENDITURES Capital outlay Total expenditures Deficiency of revenues under expenditures 68,000,000 68,000,000 52,124,467 15,875,533 68,000,000 68,000,000 52,124,467 15,875,533 (33,547,000) (33,547,000) (23,889,539) 9,657,461 34,195,616 34,195,616 34,195,616 34,195,616 34,195,616 34,195,616 648,616 648,616 10,306,077 6,504,950 7,153,566 6,504,950 7,153,566 13,233,234 23,539,311 OTHER FINANCING SOURCES Transfers in Total other financing sources Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 240 $ $ 9,657,461 $ 6,728,284 16,385,745 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual General Fund County Improvements Fund – Capital Projects Fund Year Ended June 30, 2016 Variance With Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) EXPENDITURES Capital outlay $ Total expenditures Deficiency of revenues under expenditures 8,848,242 $ 9,160,628 $ 6,762,036 $ 2,398,592 8,848,242 9,160,628 6,762,036 2,398,592 (8,848,242) (9,160,628) (6,762,036) 2,398,592 24,903,524 (5,242,821) 24,903,524 (44,185,805) 24,903,524 (44,185,805) 19,660,703 (19,282,281) (19,282,281) OTHER FINANCING SOURCES (USES) Transfers in Transfers out Total other financing uses Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 10,812,461 (28,442,909) (26,044,317) 2,398,592 304,955,506 304,955,506 320,075,103 15,119,597 315,767,967 241 $ 276,512,597 $ 294,030,786 $ 17,518,189 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Intergovernmental Capital Projects Fund – Capital Projects Fund Year Ended June 30, 2016 Variance With Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Interest income $ 200 200 Total revenues $ 200 200 $ 665 665 $ 465 465 EXPENDITURES 127,500 127,500 5,465 122,035 127,500 127,500 5,465 122,035 Deficiency of revenues under expenditures (127,300) (127,300) (4,800) 122,500 Net change in fund balances (127,300) (127,300) (4,800) 122,500 128,610 128,610 128,809 Capital outlay Total expenditures Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 1,310 242 $ 1,310 $ 124,009 199 $ 122,699 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Intergovernmental Technology Projects Fund – Capital Projects Fund Year Ended June 30, 2016 Variance With Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) EXPENDITURES Capital outlay $ $ Total expenditures Excess (deficiency) of revenues over expenditures 382,006 $ 128,802 $ 253,204 382,006 128,802 253,204 (382,006) (128,802) 253,204 382,006 128,802 (253,204) 382,006 128,802 (253,204) OTHER FINANCING SOURCES Proceeds of Bonds Total other financing sources Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ $ 243 $ $ Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Library District Capital Improvement Fund – Capital Projects Fund Year Ended June 30, 2016 Variance With Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Interest income $ $ $ 32,967 $ 32,967 Total revenues 32,967 32,967 Excess of revenues over expenditures 32,967 32,967 OTHER FINANCING SOURCES Transfers in Total other financing sources Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 664,734 664,734 664,734 664,734 664,734 664,734 664,734 664,734 697,701 8,925,007 8,925,007 8,949,963 9,589,741 244 $ 9,589,741 $ 9,647,664 32,967 24,956 $ 57,923 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Long Term Project Reserve Fund – Capital Projects Fund Year Ended June 30, 2016 Variance With Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Taxes $ 100 Interest Income Miscellaneous Total revenues $ 100 $ 13 $ (87) 100 100 349 249 750,000 750,200 750,000 750,200 785,387 785,749 35,387 35,549 4,003,000 4,229,952 4,235,931 (5,979) 4,003,000 4,229,952 4,235,931 (5,979) (3,252,800) (3,479,752) (3,450,182) 29,570 EXPENDITURES Capital outlay Total expenditures Deficiency of revenues under expenditures OTHER FINANCING SOURCES 3,885,778 3,995,380 3,995,380 Total other financing sources 3,885,778 3,995,380 3,995,380 Net change in fund balances 632,978 6,868,120 515,628 6,868,120 545,198 7,561,995 Transfers in Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ 7,501,098 245 $ 7,383,748 $ 8,107,193 29,570 693,875 $ 723,445 Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Technology Capital Improvement Fund – Capital Projects Fund Year Ended June 30, 2016 Variance With Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) EXPENDITURES Capital outlay $ Total expenditures Deficiency of revenues under expenditures 13,571,800 13,571,800 $ 22,428,385 22,428,385 $ 13,610,070 13,610,070 (13,571,800) (22,428,385) 11,640,000 (8,074,562) 3,565,438 12,728,211 11,625,150 $ 8,818,315 8,818,315 (13,610,070) 8,818,315 9,162,773 8,059,712 (1,103,061) 11,640,000 (8,074,562) 11,640,000 (8,074,562) OTHER FINANCING SOURCES (USES) Proceeds of Bonds Transfers in Transfers out Total other financing sources Net change in fund balances Fund balance, July 1, 2015 Fund balance, June 30, 2016 $ (1,103,061) (10,006,362) (9,700,174) (1,984,920) 7,715,254 207,358,808 197,352,446 207,358,808 197,658,634 251,793,618 249,808,698 44,434,810 52,150,064 246 $ $ $ Maricopa County Schedule of Revenues, Expenditures, and Changes in Fund Balance – Budget and Actual Transportation Capital Project Fund – Capital Projects Fund Year Ended June 30, 2016 Variance With Final BudgetBudgeted Amounts Original Actual Amounts Final Positive (Negative) REVENUES Intergovernmental $ Charges for services 18,713,118 $ 10,651,500 18,713,118 $ 4,880,783 $ (13,832,335) 10,651,500 966,011 (9,685,489) 29,364,618 29,364,618 8,048 5,854,842 8,048 (23,509,776) 94,370,570 94,370,570 43,970,594 50,399,976 94,370,570 94,370,570 43,970,594 50,399,976 (65,005,952) (65,005,952) (38,115,752) 26,890,200 70,403,183 70,403,183 70,403,183 Total other financing sources 70,403,183 70,403,183 70,403,183 Net change in fund balances 5,397,231 5,397,231 32,287,431 Miscellaneous Total revenues EXPENDITURES Capital outlay Total expenditures Deficiency of revenues under expenditures OTHER FINANCING SOURCES Transfers in Fund balance, July 1, 2015 Fund balance, June 30, 2016 23,598,218 $ 28,995,449 247 23,598,218 $ 28,995,449 26,890,200 61,517,659 $ 93,805,090 37,919,441 $ 64,809,641 Maricopa County Schedule of Capital Projects – Budget and Actual All Capital Improvement Projects Year Ended June 30, 2016 Budgeted Amounts Original Final Actual Amounts Variance with Final Budget GENERAL GOVERNMENT Intergovernmental Capital Projects Vulture Mountain Total Intergovernmental Capital Projects County Improvement Computer Aided Mass Appraisal County Telephone System Enterprise Data Center Ct Enterprise Res Planning System Infrastructure Refresh Phase I Infrastructure Refresh Phase II Jail Kitchen Equipment Jail Mgmt Information System Radio System S/W Consolidated Justice Courts Sheriff Nice Vision Total County Improvements General Fund County Improvements Chambers Building East Court Improvements Maricopa Regional Trail System Sheriff HQ Project Vulture Mountain West Court Improvements Total General Fund County Improvements Technology Capital Improvements BIX Room Byte Info Exchange Desktop Laptop Replacement Project Reserve Treasurer Tech System Upgrade VMWare Nonrecurring Total Technology Capital Improvements $ $ 127,500 127,500 $ $ 127,500 127,500 $ $ 5,465 5,465 $ $ 122,035 122,035 $ 7,701,827 14,458,269 14,388,694 12,469,551 1,393,288 17,544,011 300,000 6,692,086 58,031,609 23,413,814 4,591,960 160,985,109 $ 8,226,990 10,848,323 8,149,030 11,831,665 1,373,586 9,969,973 300,000 6,161,831 57,994,638 10,659,357 4,340,445 129,855,838 $ 5,968,446 8,676,127 5,365,263 11,485,985 1,040,883 7,452,586 162,121 2,369,426 32,856,155 6,941,628 1,764,659 84,083,279 $ 2,258,544 2,172,196 2,783,767 345,680 332,703 2,517,387 137,879 3,792,405 25,138,483 3,717,729 2,575,786 45,772,559 $ 2,336,500 4,644,671 728,191 464,333 42,751 944,182 9,160,628 $ 2,124,175 3,548,234 452,629 86,380 $ $ 2,127,591 4,699,814 557,173 476,731 42,751 944,182 8,848,242 $ 4,374,901 $ 4,068,713 4,659,490 5,436,316 3,760,583 4,503,283 22,428,385 $ $ $ $ $ 8,441,465 755,434 $ 13,571,800 $ $ $ $ 1,201,805 10,000,000 1,296,001 12,497,806 $ 2,455,284 $ $ 2,382,062 4,837,346 $ $ $ $ 550,618 6,762,036 2,914,183 3,559,429 2,636,174 4,500,284 13,610,070 $ $ $ $ 212,325 1,096,437 275,562 377,953 42,751 393,564 2,398,592 1,154,530 1,100,061 5,436,316 1,124,409 2,999 8,818,315 CRIMINAL JUSTICE Detention Capital Projects 4th Avenue Jail Intake Transfer Release Jail Lower Buckeye Jail Total Detention Capital Projects Detention Technology Capital Improvement CHS Electronic Medical Record Desktop Laptop Replacement Project Reserve Total Detention Technology Capital Improvement 248 $ 1,182,218 10,000,000 1,315,851 12,498,069 $ 186,570 5,825,459 154,287 6,166,316 $ 2,707,859 237,788 2,382,062 5,327,709 $ 534,800 20,274 $ $ 555,074 $ $ $ 995,648 4,174,541 1,161,564 6,331,753 2,173,059 217,514 2,382,062 4,772,635 Maricopa County Schedule of Capital Projects – Budget and Actual All Capital Improvement Projects (Continued) Year Ended June 30, 2016 Budgeted Amounts Original Actual Amounts Final Variance with Final Budget PUBLIC SAFETY Flood Control 10th Ave & Sirrine Dr 115th Union Hills Dr 16th Pl & Violet Dr 1st SD Lincoln-Buchan 27th Ave & South Mtn 27th St & Southern Ave 2nd & Solomon Dr 35th SD Dobbins-Baseline 3rd Ave & Craftsman Dr 7th Ave & Dobbins Sd 8525 Pinnacle Pk Dr 9th Ave & Home Basin Agua Fria Levee Imp Alert2 System Upgrade Arcadia Dr Storm Drain Ashbrook Wash Channelization Bethany 79th to 59th Buckeye 1 Rehab Buckeye Watson System Bullard Wash Phase II Calle Redonda - Mitigation Cave Buttes Dam Mod Central Ave & Foothill Dr Central Chandler Drng Chandler Heights Basin Coldwater Channel Downtown Buckeye Downtown Phoenix Phase I DRCC Avondale DRCC Elwood 75 to 107 Ellsworth McKellips Emerald Acres Dr Emf Maint Rd Imp Flood Control CIP Floodprone Prop Acquisition FPAP Bovee FPAP Hill FPAP Navette FPAP SASS FPAP Simpson FPAP Thomas FPAP Wickenburg Granite Reef Wash Guadalupe FRS Rehab Hassayampa School Dr Jerry & Rimrock Dr Loop 303 Drainage Luke AFB Flood Mitigation McMicken Dam Out Impr McMicken Dam Project New River Dam Outlet $ $ $ 3,820,000 3,820,000 210,000 210,000 2,000 30,000 2,000 1,795,000 2,000 24,615,000 780,000 5,000 2,000 30,000 2,000 1,795,000 2,000 24,615,000 780,000 5,000 765,000 765,000 2,000 10,000 2,000 10,000 2,000 60,000 2,000 2,000 2,000 2,000 60,000 2,000 2,000 2,000 5,000 (994,000) 1,000,000 5,000 (994,000) 1,000,000 189,986 451,655 250,397 250,152 45,492 54 251,080 251,065 6,460 250,305 23,236 250,420 286,011 1,922,150 16,239,420 3,981 6,683 93,667 506,449 54 240 3,567 182,136 1,834 39,018 346 673 250,870 25,000 2,000 345,000 4,000 760,000 1,285,000 5,000 249 25,000 2,000 345,000 4,000 760,000 1,285,000 5,000 200 2,534 146,427 165,317 183,768 181,540 143,531 13,061 13,447 232,053 153,370 619,816 126 535,574 721,551 587 $ (189,986) 3,368,345 (250,397) (250,152) 164,508 (54) (251,080) (251,065) (6,460) (250,305) (23,236) (250,420) 2,000 (256,011) 2,000 (127,150) 2,000 8,375,580 776,019 (1,683) (93,667) 258,551 (54) 1,760 6,433 (182,136) 166 20,982 1,654 1,327 2,000 (250,870) 5,000 (994,200) 1,000,000 (2,534) (146,427) (165,317) (183,768) (181,540) (143,531) (13,061) 11,553 2,000 (232,053) (153,370) (274,816) 3,874 224,426 563,449 4,413 Maricopa County Schedule of Capital Projects – Budget and Actual All Capital Improvement Projects (Continued) Year Ended June 30, 2016 Budgeted Amounts Original Actual Amounts Final Variance with Final Budget PUBLIC SAFETY (CONT.) Northern Pkwy Phase I Northern Pkwy Phase II Oak St Basin and St Dr Paradise Dr Sd Powerline from Vineyard Powerline Frs Idsm Project Reserves Flood Pvr Rehabilitation Rittenhouse Basin Royal Palms Dr Saddleback Frs Mod Skunk Creek at I17 Small Project Assistance Program Sonoqui Wash Phase II Sonoqui Wash Phase III Tres Rios Vnbrn Chnl 99th to Afr White Tanks 4 Outlet White Tanks 4 Rehab Total Flood Control $ $ $ 2,000 2,000 505,000 17,875,000 2,000 505,000 17,875,000 2,000 2,000 2,000 3,050,000 2,000 2,112,000 3,000 25,000 2,000 9,875,000 68,000,000 2,000 2,000 3,050,000 2,000 2,112,000 3,000 25,000 2,000 9,875,000 68,000,000 746 3,519 495 183,871 9,912 6,510 $ 15,687,470 149,086 $ $ 467 2,382 1,536,945 $ 8,135 9,664,626 52,124,467 $ (746) (3,519) 1,505 (183,871) (9,912) (6,510) 505,000 2,187,530 2,000 (149,086) 2,000 1,533 3,050,000 (382) 575,055 3,000 25,000 (6,135) 210,374 15,875,533 HIGHWAYS AND STREETS Transportation 10th St - Desert Hills to Tanya 111th Ave Bike Lanes 154th St - Ocotillo to Appleby 24th St - Carefree to Joy Ranch 26th St - 121 St Ave Lvr 35th Ave - Baseline to Southern 35th Ave - Carver to Elliot 80th St - Palm Ln to Plymouth 99th Ave at Cameo Dr Aguila Rd at Wapa Towers Alma School Rd Multi-Use Path Anthem Box Culvert Scour Protect Appleby - Arizona Ave to EOM Avondale at MC 85 Baseline Rd - 57th to 55th Ave Bell Rd Adaptive Signal Bethany Home at El Mirage Rd Bridge Preservation Broadway - 51st Ave to 7th St Broadway Rd at 75th Ave Bush Hwy Asphalt Rubber Overlay Camelback At Beardsley Canal Carefree Hwy Area Coralbell Ave - 93rd to 95th St County Arterials Deer Valley - El Mirage to Lake Pl Dobson Rd Bridge at Salt River Dust Mitigation $ $ $ 1,070,000 55,000 1,070,000 55,000 129,000 361,000 44,000 1,130,000 129,000 361,000 44,000 1,130,000 884,000 884,000 560,000 560,000 162,000 162,000 3,174,000 3,174,000 400,000 400,000 966,000 1,700,000 966,000 1,700,000 1,341,000 1,341,000 250 38,963 80,566 58,141 2,214 520,119 535,000 72,186 21,357 228,055 491,995 48,281 743,428 117,287 1,281,789 371,071 38,798 3,906 424,346 14,281 2,213,456 103,692 108,382 113 14,192 105,937 $ (38,963) (80,566) (58,141) (2,214) (520,119) 535,000 (17,186) (21,357) (99,055) (130,995) (4,281) 386,572 (117,287) (397,789) (371,071) 521,202 (3,906) 162,000 (424,346) (14,281) 960,544 (103,692) 291,618 (113) 966,000 1,685,808 (105,937) 1,341,000 Maricopa County Schedule of Capital Projects – Budget and Actual All Capital Improvement Projects (Continued) Year Ended June 30, 2016 Budgeted Amounts Original Actual Amounts Final Variance with Final Budget HIGHWAYS AND STREETS (CONT.) Dynamite - 44th St to 45th St Dynamite At 52nd St Dysart Ave Overpass Eagle Eye Rd at Tiger Wash East Mesa Locals Rehab Gp 1 East Mesa Locals Rehab Gp 2 East Mesa Sub Rehab E-Intellidrive Study Phase III El Mirage - Picerne to Bell El Mirage - Northern to Cactus El Mirage - Northern to Peoria Elliot Rd and Sossaman Rd Ellsworth Rd Hunt Hwy Riggs Empire and Meridian Fiber Install Ind Sch Mcd Dmtn FY 12 Cat II Lvr FY 12 Cat III Lvr FY 14 Lvr Dove Valley Area FY 17 Paving SE/SW Arterials FY 17 Paving West Arterials FY 16 Local Road Rehab FY 16 NW Area Art AR Overlay FY 16 SE Area E Art AR Overlay FY 16 SW Area Art AR Overlay FY 17 SE Area W Art AR Overlay General Civil Engineering Germann at Sossaman Dr Germann Rd AC Overlay Gilbert Rd Bridge Gric Lvr AQ Paving Hunt Hwy and Old Price Rd Indian School at Beardsley Cnl Intelligent Trans Syst Its La Salle Hts Subdivision Lvr Laveen Area London Rd - Peretz to US 60 Loop 303 Northern AR Overlay Lower Buckeye - 71st to 67th Ave Lower Buckeye at 107th Ave Mag Alcp Projects MC 85 - 107th Ave to 91st Ave MC 85 - 91st Ave to 75th Ave MC 85 at Jackrabbit Rd MC 85 at Rainbow Rd MC 85 - Baseline to Cotton Ln MC 85 - Litchfield 83rd Ave Its McDowell Rd – 76th to Usery Pass McKellips Rd - I10 to Alma School McLellan - 103rd St to Sb McQueen Rd - Ocotillo to Riggs Meridian Rd AR Overlay $ 92,000 130,000 899,000 $ 92,000 130,000 899,000 50,000 50,000 1,955,000 1,599,000 1,955,000 1,599,000 190,000 5,455,000 2,070,000 875,000 190,000 5,455,000 2,070,000 875,000 8,000,000 1,463,000 2,071,740 608,000 8,000,000 1,463,000 2,071,740 608,000 100,000 100,000 42,000 2,000,000 42,000 2,000,000 1,776,000 1,776,000 310,000 85,000 800,000 150,000 210,000 4,283,000 1,300,000 2,350,000 310,000 85,000 800,000 150,000 210,000 4,283,000 1,300,000 2,350,000 530,000 802,800 527,000 300,000 115,000 530,000 802,800 527,000 300,000 115,000 251 $ 14,980 137,912 33 37,375 2,193,880 2,877,769 12 62,862 39,347 1,901 2,049,141 1,885,456 139,945 149 136,773 1,104,214 318,865 79,342 2,440 2,573 774,058 2,127,021 795,566 627,371 161 10,814 14,758 42,328 70,520 20,711 15,508 576,559 91,038 18,282 767,393 128,795 12,620 402,533 952,929 296 54,459 218,598 522,955 778,160 160,763 1,982 1,864 4,680 $ 77,020 (7,912) 898,967 (37,375) (2,193,880) (2,877,769) (12) (12,862) (39,347) (1,901) (94,141) (286,456) (139,945) (149) 53,227 4,350,786 1,751,135 795,658 (2,440) (2,573) 7,225,942 (664,021) 1,276,174 (19,371) (161) 89,186 (14,758) 42,000 1,957,672 (70,520) (20,711) (15,508) 1,776,000 (576,559) 218,962 66,718 32,607 21,205 197,380 4,283,000 897,467 1,397,071 (296) (54,459) 311,402 279,845 (251,160) 139,237 113,018 (1,864) (4,680) Maricopa County Schedule of Capital Projects – Budget and Actual All Capital Improvement Projects (Continued) Year Ended June 30, 2016 Budgeted Amounts Original Actual Amounts Final Variance with Final Budget HIGHWAYS AND STREETS (CONT.) Miller Rd Bridge at Bid Canal Miller Rd - I10 to 1 Mi N I10 Mountain Rd / Erie St Drainage Narramore at Waterman Wash NE Lvr Peak View and 59th St New River Area Phase 1 New River Area Phase 2 New River Trail at Linda Ln Northern Ave - Sr 303 To Grand Northern Parkway Phase II Northern Phase 2 Row Protection Northern Pkwy - Northern at L101 Northern Pkwy Storm Drain Northern Reems Litchfield Overpass Olive Ave - Citrus to Cotton Ln Palm Ln Drainage Partnership Support Patton Rd West of 257th Ave Pavement Preservation Power Rd at Elliot Rd Power Rd at Olney Ave Power Rd - Pecos To Santan Fwy Project Reserves Account Prop Mgmt Prior Years Projects Queen Ck Cooper Rd Row IGA RH Johnson ITS Communication Riggs Rd - Ellsworth to Meridian Riggs Rd - Crismon to Meridian Riggs Rd - Hawes to Ellsworth Riggs Rd Its Riggs Rd - Power to Hawes Riggs Rd - Recker to Power Right-Of-Way Rittenhouse Bridge at Queen Creek Wash Roadway Lighting Upgrade Rockaway Hills 255th - 251st Ave Row in fill Road Inventory Sys Safety Projects Salome at Wintersburg Signal SE Area Arterials AR Overlay SE SW Rd Rehabilitation Signal Butte - Apache to University Special Projects Street Lights - Warner-Baseline Sun City West Unit 39 Rehab Tip Development Tonto Hills Paving Traffic Calming Traffic Improvements Transportation Plan Studies Transportation Planning $ $ $ 20,000 20,000 140,000 30,000 260,000 3,747,800 2,850,000 140,000 30,000 260,000 3,747,800 2,850,000 1,705,000 1,705,000 1,265,000 1,265,000 629,000 629,000 5,303,000 5,303,000 1,450 4,750 54 38,307 520,081 19,214 63,604 285,135 144,013 636,121 536 66 17,807 27,166 831,806 11,889 98,928 14,051 59,763 120,389 4,543,877 50,000 4,543,877 50,000 578,000 2,175,000 578,000 2,175,000 1,000,000 230,000 3,635,000 1,500,000 1,008,000 310,000 1,000,000 230,000 3,635,000 1,500,000 1,008,000 310,000 375,000 100,000 218,000 375,000 100,000 218,000 200,000 1,510,000 200,000 1,510,000 450,000 80,000 200,000 2,276,000 1,600,000 80,000 450,000 80,000 200,000 2,276,000 1,600,000 80,000 252 (568,763) 169 588,552 330,025 19,383 2,192,274 170,781 326,714 4,584,411 111,507 174,854 178,985 17,877 47,063 932 759,939 193,608 1,290,348 24,128 19,608 176,812 88,924 109,039 128,875 $ (1,450) (4,750) (54) (18,307) (520,081) 120,786 (33,604) (25,135) 3,603,787 2,213,879 (536) 1,704,934 (17,807) (27,166) 433,194 (11,889) 629,000 (98,928) 5,303,000 (14,051) (59,763) (120,389) 4,543,877 618,763 (169) (10,552) 1,844,975 (19,383) (1,192,274) 59,219 3,308,286 (3,084,411) 1,008,000 198,493 (174,854) 196,015 82,123 218,000 (47,063) (932) (759,939) 6,392 219,652 (24,128) (19,608) 273,188 (8,924) 90,961 2,276,000 1,471,125 80,000 Maricopa County Schedule of Capital Projects – Budget and Actual All Capital Improvement Projects (Continued) Year Ended June 30, 2016 Budgeted Amounts Original Actual Amounts Final Variance with Final Budget HIGHWAYS AND STREETS (CONT.) Transportation System Plan Tuthill Rd Bridge Unallocated Force Account Union Hills at 99th Ave University at 96th St Val Vista - Riggs to Appleby Vulture Mountain Recreation Rds Warranted Traffic Improvements West Valley Audible Upgrades West Valley Dynamic Msg Signs Yuma at Jackrabbit Trl Total Transportation $ $ $ 1,442,353 999,000 445,000 1,442,353 999,000 445,000 111,000 111,000 526,849 3,100 $ (526,849) (3,100) 1,442,353 307,074 865 (2,805) (95,406) 111,000 (281,500) (51) $ 50,399,976 691,926 444,135 2,805 95,406 281,500 51 190,000 $ 94,370,570 253 190,000 $ 94,370,570 148,401 $ 43,970,594 41,599 254 Financial Section Combining and Individual Fund Statements Internal Service Funds Internal Service Funds 256 Maricopa County Listing of Internal Service Funds Internal Service Funds are used to account for services and commodities provided by one department or agency to other departments or agencies of the County. These services are provided on a cost-reimbursement basis. The following is a listing of the Internal Service Funds reported within Maricopa County. Equipment Services - This fund provides assistance to other Maricopa County departments to ensure quality service to the citizens of Maricopa County by furnishing and maintaining the necessary County mobile equipment in an efficient manner. Technology Infrastructure - This fund provides cost effective voice, data, and radio communications to County employees. Reprographics - This fund provides the County’s printing and duplicating services. Risk Management - This fund supports the comprehensive insurance/self-insurance program, which safeguards County assets and employees by means of a Trust Fund. Personnel skilled in loss control, claims and litigation and workers’ compensation work together to avert risk and conserve the human and financial resources of Maricopa County. Employee Benefits Trust - This fund collects employee and employer contributions for payment of the employees’ medical, dental, pharmacy, and short-term disability benefits. Sheriff Warehouse - Sheriff Warehouse tracks inventory activity for supplies purchased by the warehouse for resale and stores consignment inventory for other departments. 257 Maricopa County Combining Statement of Net Position All Internal Service Funds June 30, 2016 Equipment Services Technology Infrastructure Reprographics ASSETS Current assets: Cash in bank and on hand $ Cash and investments held by County Treasurer 900 $ 3,322,229 200 $ 2,354,506 182,667 Receivables: Accounts Accrued interest 2,786 3,625 519,488 67,683 15,000 3,845,403 2,441,014 182,667 Accumulated depreciation 2,758,797 (2,125,471) 12,079,938 (9,708,927) 768,517 (729,146) Total noncurrent assets 633,326 2,371,011 39,371 4,478,729 4,812,025 222,038 530,373 745,600 60,768 530,373 745,600 60,768 2,187 72,141 7,026 345,379 485,783 55,975 Inventories Prepaids Total current assets Noncurrent assets: Capital assets: Machinery and equipment Total assets DEFERRED OUTFLOWS OF RESOURCES Deferred outflows related to pensions Total deferred outflows of resources LIABILITIES Current liabilities: Accounts payable Employee compensation payable Accrued liabilities 48 Due to other funds Liability for reported and incurred but not reported claims (current portion) 347,566 Total current liabilities 557,972 63,001 4,303,088 6,049,288 492,645 4,303,088 6,049,288 492,645 4,650,654 6,607,260 555,646 Noncurrent liabilities: Liability for reported and incurred but not reported claims Net pension liability Total noncurrent liabilities Total liabilities DEFERRED INFLOWS OF RESOURCES Deferred inflows related to pensions Total deferred inflows of resources 363,391 510,855 41,603 363,391 510,855 41,603 633,326 (638,269) (4,943) 2,371,011 (3,931,501) (1,560,490) 39,371 (353,814) (314,443) NET POSITION Net investment in capital assets Unrestricted (deficit) Total net position (deficit) $ 258 $ $ Employee Risk Management $ 100 Benefits Trust $ 28,691,073 5,511,849 Sheriff Warehouse $ 22,735,330 Total $ 247,477 5,513,049 57,533,282 789,560 41,234 789,560 33,804 1,621,722 1,455,389 30,354,129 30,525,932 81,449 814,986 1,402,157 3,092,111 1,062,463 68,411,608 157,890 (102,128) 31,040 (12,756) 15,796,182 (12,678,428) 55,762 18,284 3,117,754 30,409,891 30,544,216 393,791 234,539 1,965,071 393,791 234,539 1,965,071 987,482 1,466,585 2,535,421 334,274 185,092 1,062,463 71,529,362 1,406,503 991,258 3,374 994,680 549,043 549,043 14,622,178 14,407,412 15,943,934 17,050,347 65,666,189 3,193,127 1,902,894 65,666,189 15,941,042 68,859,316 1,902,894 81,607,231 84,803,250 18,953,241 269,656 160,697 1,346,202 269,656 160,697 1,346,202 55,762 (54,324,986) $ (54,269,224) $ 18,284 11,646,533 11,664,817 29,029,590 552,417 552,417 $ 510,046 510,046 34,515,237 116,122,468 3,117,754 (47,091,991) $ (43,974,237) 259 Maricopa County Combining Statement of Revenues, Expenses, and Changes in Net Position All Internal Service Funds Year Ended June 30, 2016 Equipment Services Technology Infrastructure Reprographics OPERATING REVENUES Charges for services $ 14,886,526 109,827 Miscellaneous $ 18,161,820 41,871 $ 655,199 14,996,353 18,203,691 655,199 Personal services 3,564,267 5,214,824 348,438 Supplies 8,851,899 439,023 124,018 954,861 2,305,358 75,294 Total operating revenues OPERATING EXPENSES Other services Legal Insurance and claims Leases and rentals 20,012 43,059 Repairs and maintenance 1,141,225 1,925,184 Travel and transportation 6,811 95,738 80,407 265,643 9,138,442 602,875 21,873 14,885,125 19,764,503 641,759 111,228 (1,560,812) 13,440 16,933 (3,364) 13,569 15,510 15,510 124,797 (1,545,302) 13,440 Change in net position 124,797 (1,545,302) 13,440 Total net position (deficit), July 1, 2015 (129,740) (15,188) (327,883) Utilities Depreciation Total operating expenses Operating income (loss) 72,136 NONOPERATING REVENUES (EXPENSES) Investment income Loss on disposal of capital assets Total nonoperating revenues (expenses) Income (loss) before contributions and transfers Transfers out Total net position (deficit), June 30, 2016 $ (4,943) 260 $ (1,560,490) $ (314,443) Employee Risk Management $ 20,170,788 696,317 Benefits Trust $ 147,000,367 Sheriff Warehouse $ 2,529,672 Total $ 2,529,672 20,867,105 147,000,367 204,252,387 2,741,637 1,704,419 91,498 16,560 2,489,368 12,012,366 364,685 139,599,580 37,516 143,337,294 13,573,585 3,997,666 $ 203,404,372 848,015 3,997,666 28,211,916 9,955,885 40,571 42,085 38,167,801 145,727 1,014 11,918 3,151,477 7,129 8,152 117,830 1,826 17,798 9,549 9,220,675 917,738 35,475,740 151,348,148 2,526,884 224,642,159 (14,608,635) (4,347,781) 2,788 (20,389,772) 154,293 162,484 154,293 162,484 (14,454,342) (4,185,297) 2,788 (20,043,916) (14,454,342) (4,185,297) 2,788 (20,043,916) (39,814,882) 15,850,114 507,258 (23,930,321) (54,269,224) $ 11,664,817 349,220 (3,364) 345,856 $ 510,046 261 $ (43,974,237) Maricopa County Combining Statement of Cash Flows All Internal Service Funds Year Ended June 30, 2016 Equipment Services CASH FLOWS FROM OPERATING ACTIVITIES Charges for services Other receipts Payments for goods and services Payments for personal services and benefits Net cash provided by (used for) operating activities $ 14,886,526 Technology Infrastructure $ 109,827 18,161,820 Reprographics $ 655,199 41,871 (11,412,048) (3,671,004) (14,238,756) (5,171,515) (284,553) (454,211) (86,699) (1,206,580) (83,565) (433,478) (166,261) (433,478) (166,261) 17,590 17,131 17,590 17,131 CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES Loan payments to the General Fund Net cash provided by (used for) noncapital financing activities CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Acquisition of capital assets Net cash used for capital and related financing activities CASH FLOWS FROM INVESTING ACTIVITIES Interest and dividends Net cash provided by investing activities Net increase (decrease) in cash and cash equivalents (502,587) 3,825,716 Cash and cash equivalents, July 1, 2015 Cash and cash equivalents, June 30, 2016 (1,355,710) (83,565) 3,710,416 266,232 $ 3,323,129 $ 2,354,706 $ 182,667 $ 111,228 $ (1,560,812) $ 13,440 RECONCILIATION OF OPERATING INCOME (LOSS) TO NET CASH PROVIDED BY (USED FOR) OPERATING ACTIVITIES: Operating income (loss) Adjustments to reconcile operating income (loss) to net cash provided by (used for) operating activities: Depreciation expense Liability for reported and incurred but not reported claims - noncurrent Changes in assets [(increase)/decrease], deferred outflows [(increase)/decrease], liabilities [increase/(decrease)], and deferred inflows [increase/(decrease)] : Accounts receivable Inventories Prepaids Deferred outflows of resources related to pensions Accounts payable Employee compensation payable Net pension liability Deferred inflows of resources related to pensions Accrued liabilities Liability for reported and incurred but not reported claims - current 265,643 87,610 SCHEDULE OF NONCASH INVESTING, CAPITAL AND NONCAPITAL FINANCING ACTIVITIES: Accumulated depreciation from disposed capital assets Machinery and equipment disposed Loss on disposal of capital assets Capital assets transferred from governmental activities Accumulated depreciation transferred from governmental activities 262 21,873 11,123 (15,000) 60,303 59,644 14,928 (444,443) (288,123) (13,105) 47,410 77,481 (29,445) 148,643 385,713 (39,758) (363,093) (479,529) (51,498) 48 $ Net cash provided by (used for) operating activities 602,875 $ (86,699) $ 169,914 $ (173,278) (1,206,580) 187,623 (187,623) 3,364 114,880 (114,880) $ $ (83,565) Employee Benefits Trust Risk Management $ 20,170,788 $ 146,809,512 Sheriff Warehouse $ 2,529,672 Total $ 696,317 203,213,517 848,015 (22,275,430) (2,595,830) (150,559,348) (1,652,983) (4,004,155) (5,402,819) (2,432,994) (201,203,129) (13,545,543) 96,678 (10,687,140) 150,799 150,799 150,799 150,799 (29,724) (629,463) (29,724) (629,463) 162,581 177,498 162,581 177,498 (3,871,298) (5,225,321) 32,562,471 33,472,500 374,800 374,800 247,477 (10,791,004) 73,837,335 $ 28,691,173 $ 28,247,179 $ 247,477 $ 63,046,331 $ (14,608,635) $ (4,347,781) $ 2,788 $ (20,389,772) 17,798 9,549 917,738 15,363,779 15,363,779 (190,855) (190,855) 90,798 182,969 239,429 11,473 11,153 (411,820) $ $ 189,531 407,398 157,501 (1,016,124) (282) (2,173,897) 20,361 6,919 122,726 342,758 174,849 1,012,205 (228,785) (141,485) (4,694,053) (867,785) 719,312 (4,004,155) $ $ (5,402,819) (1,264,390) 3,374 $ $ 96,678 (864,363) (3,974,741) $ $ (10,687,140) 357,537 (360,901) 3,364 114,880 (114,880) 263 264 Financial Section Agency Funds Agency Funds 266 Maricopa County Listing of Agency Funds Agency Funds are used to account for assets held by the County in a fiduciary capacity or as an agent for individuals, private organizations, and/or other funds. The County maintains two Agency Funds, which are not under the control of the Board of Supervisors. The Agency Funds are custodial in nature and do not involve measurement of results of operations. AGENCY FUNDS Property Tax Collections - The Property Tax Collections Fund accounts for property tax collections not yet disbursed to taxing jurisdictions. Special Purpose - The Special Purpose Fund accounts for receipts, which are designated for special purposes and are not related to an individual governmental unit. 267 Maricopa County Statement of Changes in Assets and Liabilities Agency Funds Year Ended June 30, 2016 Balance July 1, 2015 Additions PROPERTY TAX COLLECTION Assets Cash and investments held by County Treasurer Accrued interest Total assets $ 33,600,411 43,690 $ 33,644,101 Liabilities Deposits held for other parties Total liabilities $ 33,644,101 $ 33,644,101 $ 32,706,358 $ $ Balance June 30, 2016 Deductions 575,099,615 $ 583,280,168 43,690 $ 25,419,858 575,099,615 $ 583,323,858 $ 25,419,858 $ 575,099,615 $ 583,323,858 $ 25,419,858 $ 575,099,615 $ 583,323,858 $ 25,419,858 $ 4,196,033 $ 28,510,325 SPECIAL PURPOSE Assets Cash and investments in bank and on hand Cash and investments held by County Treasurer 79,072,381 1,944,381,121 36,840 14,218 $ 111,815,579 $ 1,944,395,339 $ 1,929,392,235 $ 126,818,683 $ 67,860 $ $ $ Accrued interest Total assets 1,925,196,202 98,257,300 51,058 Liabilities Accounts payable Accrued liabilities 509,223 Deposits held for other parties Total liabilities $ 67,860 68,086 441,137 111,238,496 1,944,395,339 1,929,256,289 126,377,546 111,815,579 $ 1,944,395,339 $ 1,929,392,235 $ 126,818,683 $ $ $ TOTAL AGENCY FUNDS Assets Cash and investments in bank and on hand $ Cash and investments held by County Treasurer 4,196,033 28,510,325 2,519,480,736 2,508,476,370 123,677,158 80,530 14,218 43,690 51,058 $ 145,459,680 $ 2,519,494,954 $ 2,512,716,093 $ 152,238,541 $ 67,860 $ $ $ Accrued interest Total assets 32,706,358 112,672,792 Liabilities Accounts payable Accrued liabilities 509,223 Deposits held for other parties Total liabilities $ 67,860 68,086 441,137 144,882,597 2,519,494,954 2,512,580,147 151,797,404 145,459,680 $ 2,519,494,954 $ 2,512,716,093 $ 152,238,541 268 STATISTICAL SECTION 270 Maricopa County Listing of Statistical Information Contents Page Financial Trends Information These schedules contain trend information to help the reader understand how the County’s financial performance and well-being have changed over time. 272 Net Position by Component Changes in Net Position Fund Balances, Governmental Funds Changes in Fund Balances, Governmental Funds Revenue Capacity 278 These schedules contain information to help the reader assess the County’s most significant local revenue source, the property tax. Tax Revenues by Source, Governmental Funds Assessed Value and Estimated Market Value of Taxable Property Direct and Overlapping Property Tax Rates Principal Property Taxpayers Property Tax Levies and Collections 283 Debt Capacity These schedules present information to help the reader assess the affordability of the County’s current levels of outstanding debt and the County’s ability to issue additional debt in the future. Ratios of Outstanding Debt by Type Legal Debt Margin Information Pledged Revenue Coverage 286 Demographic and Economic Information These schedules offer demographic and economic indicators to help the reader understand the environment within which the County’s financial activities take place. Demographic and Economic Statistics Principal Employers Operating Information 288 These schedules contain service and infrastructure data to help the reader understand how the information in the County’s financial report relates to the services the County provides and the activities it performs. Budgeted Full-time Equivalent County Employees by Function/Program Operating Indicators by Function/Program Capital Asset Statistics by Function/Program 271 Maricopa County Net Position by Component Last Ten Fiscal Years (accrual basis of accounting) Fiscal Year NET POSITION Governmental activities Net investment in capital assets Restricted Unrestricted Total governmental activities net position 2006-07 2007-08 2008-09 2009-10 2010-11 $ 2,488,280,795 $ 2,542,165,396 $ 2,712,797,252 $ 2,851,126,451 $ 3,105,417,974 437,856,827 686,000,889 $ 3,612,138,511 526,220,283 772,807,989 $ 3,841,193,668 480,937,127 850,348,663 $ 4,044,083,042 601,165,852 848,551,674 $ 4,300,843,977 627,527,187 757,580,843 $ 4,490,526,004 Business-type activities (1) Net investment in capital assets $ 1,860,630 $ 7,691 (3,486,686) (1,618,365) Restricted Unrestricted Total business-type activities net position Primary government Net investment in capital assets $ 2,490,141,425 $ 2,542,165,396 $ 2,712,797,252 $ 2,851,126,451 $ 3,105,417,974 Restricted 437,864,518 682,514,203 $ 3,610,520,146 526,220,283 772,807,989 $ 3,841,193,668 480,937,127 850,348,663 $ 4,044,083,042 601,165,852 848,551,674 $ 4,300,843,977 627,527,187 757,580,843 $ 4,490,526,004 Unrestricted Total primary government net position Fiscal Year NET POSITION 2011-12 2012-13 2013-14 2014-15 2015-16 Governmental activities Net investment in capital assets $ 3,238,389,442 $ 3,358,835,597 $ 3,423,302,960 $ 3,290,683,747 Restricted 625,230,345 698,200,079 $ 4,561,819,866 616,966,709 680,694,942 $ 4,656,497,248 542,254,851 638,467,088 $ 4,604,024,899 207,841,344 562,881,286 (347,913,774) (767,502,521) $ 3,150,611,317 $ 3,140,053,980 $ 25,668,674 $ 26,261,574 $ 22,487,405 $ 2,199,816 4,057,242 31,925,732 $ 1,335,851 (90,428) 27,506,997 $ 1,425,160 7,492,157 31,404,722 Unrestricted Total governmental activities net position (2) $ 3,344,675,215 Business-type activities (1) Net investment in capital assets Restricted Unrestricted Total business-type activities net position (2) Primary government Net investment in capital assets $ 3,238,389,442 $ 3,358,835,597 $ 3,448,971,634 $ 3,316,945,321 Restricted 625,230,345 698,200,079 $ 4,561,819,866 616,966,709 680,694,942 $ 4,656,497,248 544,454,667 642,524,330 $ 4,635,950,631 209,177,195 564,306,446 (348,004,202) (760,010,364) $ 3,178,118,314 $ 3,171,458,702 Unrestricted Total primary government net position (2) (1) (2) From fiscal year 2008 through 2013, the County did not have any business-type activities. This schedule was not adjusted for the fiscal year 2013 restatements to net position. 272 $ 3,367,162,620 Maricopa County Changes in Net Position Last Ten Fiscal Years (accrual basis of accounting) Fiscal Year 2006-07 2007-08 2008-09 2009-10 2010-11 $ 211,473,080 864,907,381 132,992,498 464,255,008 $ 182,868,340 965,934,762 143,367,655 383,885,390 $ 174,659,283 984,626,109 90,253,798 403,757,839 $ 235,215,523 888,875,706 83,230,341 331,333,847 36,196,645 15,687,335 6,254,330 38,751,304 14,687,029 10,347,354 42,912,993 8,298,531 8,707,887 37,933,317 8,234,785 6,123,987 43,325,625 9,219,564 7,640,462 1,731,766,277 1,739,841,834 1,713,216,440 1,590,947,506 1,713,844,489 2011-12 2012-13 2013-14 2014-15 2015-16 $ 186,443,502 934,185,866 82,789,191 432,470,577 $ 207,955,003 1,009,516,114 87,024,827 403,901,208 $ 298,074,702 1,134,891,006 163,763,533 408,240,433 $ 298,879,283 1,105,661,191 76,998,103 423,976,768 52,783,614 12,886,213 5,409,382 44,071,366 18,417,838 4,606,548 50,968,956 26,684,832 5,237,255 56,569,834 28,791,958 4,568,950 57,510,396 30,388,968 7,793,505 1,762,315,703 1,702,984,888 1,791,288,195 2,094,900,416 2,001,208,214 25,070,360 23,483,448 22,170,085 Expenses Governmental activities: General government: (1) Public safety Highways and streets Health, welfare and sanitation Culture and recreation Education Interest on long-term debt Total governmental activities expenses Business-type activities: (2) Waste resources and recycling mgmt Housing Authority Other business-type activities Total business-type activities expenses Total primary government expenses $ 248,394,846 $ 229,774,209 893,760,377 940,656,263 123,611,300 79,064,075 387,892,315 441,741,947 334,354 591,472 925,826 25,070,360 23,483,448 22,170,085 $ 1,732,692,103 $ 1,739,841,834 $ 1,713,216,440 $ 1,590,947,506 $ 1,713,844,489 $ 1,762,315,703 $ 1,702,984,888 $ 1,816,358,555 $ 2,118,383,864 $ 2,023,378,299 $ $ $ $ $ $ $ $ $ $ Program Revenues Governmental activities: Charges for services: General government Public safety Highways and streets Health, welfare and sanitation Culture and recreation Education Operating grants and contributions Capital grants and contributions Total governmental activities program revenues Business-type activities: (2) Charges for services: AHCCCS — Acute Health Care program AHCCCS— ALTCS program Waste resources and recycling mgmt Housing Authority Operating grants and contributions Capital grants and contributions Total business-type program revenues Total primary gov’t program revenues 34,852,251 95,402,079 30,942,935 160,282,028 28,672,080 161,019,287 26,983,394 154,380,972 27,698,094 152,507,151 25,986,495 157,678,693 30,980,314 144,058,659 24,448,700 140,384,054 21,160,957 140,199,614 25,333,842 146,926,079 12,756,421 36,933,502 4,213,017 19,009,650 48,326,397 14,216,206 29,894,868 54,265,926 13,111,055 26,534,563 46,903,563 13,230,460 28,130,243 54,135,715 11,928,461 14,143,550 51,271,770 13,205,450 19,546,115 51,271,352 13,292,978 15,534,823 51,138,425 14,943,535 12,462,039 53,105,959 15,778,337 12,697,999 53,314,590 16,899,346 818,977 443,607,678 47,256,549 687,074 263,428,112 68,386,096 837,422 229,027,912 124,182,030 918,352 255,625,422 95,268,969 215,723 286,447,310 58,859,929 179,928 290,123,847 7,642,252 508,813 271,351,538 50,238,182 465,823 259,112,950 49,569,607 1,536,658 280,244,440 31,634,976 1,482,306 299,738,864 48,872,828 675,840,474 605,278,498 641,010,580 619,845,695 619,922,626 560,231,985 581,247,951 555,597,917 556,122,980 605,265,854 6,741,213 15,529,154 1,440,065 5,717,592 16,300,111 337,818 4,656,105 17,062,511 280,121 908,814 969,493 667,376 2,545,683 $ 678,386,157 $ 605,278,498 $ 641,010,580 $ 619,845,695 $ 619,922,626 273 $ 560,231,985 $ 581,247,951 23,710,432 22,355,521 21,998,737 $ 579,308,349 $ 578,478,501 $ 627,264,591 Maricopa County Changes in Net Position (Continued) 2006-07 2007-08 2008-09 2009-10 2010-11 Fiscal Year 2011-12 2012-13 2013-14 2014-15 2015-16 Net (Expense)/Revenue Governmental activities Business-type activities (2) $(1,055,925,803) $(1,134,563,336) $ (1,072,205,860) $ (971,101,811) $ (1,093,921,863) $(1,202,083,718) $ (1,121,736,937) $ (1,235,690,278) $ (1,538,777,436) $ (1,395,942,360) 1,619,857 (1,359,928) (1,127,927) (171,348) $(1,054,305,946) $(1,134,563,336) $ (1,072,205,860) $ (971,101,811) $ (1,093,921,863) $(1,202,083,718) $ (1,121,736,937) $ (1,237,050,206) $ (1,539,905,363) $ (1,396,113,708) Total primary government net expense General Revenues and other Changes in Net Position Governmental activities: Taxes Property taxes, levied for gen. purposes $ 413,294,370 Property taxes, levied for Flood Control District 65,513,238 Property taxes, levied for Library District 18,390,885 Property taxes, levied for Street Light District $ 449,499,249 $ 482,697,371 $ 519,651,976 $ 518,956,222 $ 504,805,017 $ 447,135,707 $ 429,235,095 $ 460,057,355 $ 492,533,082 69,462,089 19,473,450 73,506,944 20,504,964 72,753,878 20,482,122 66,723,260 20,385,799 5,432,863 61,210,182 19,049,420 5,026,752 53,647,040 16,971,693 5,026,752 39,287,012 14,246,516 6,070,638 43,266,625 19,677,385 6,014,834 49,311,618 19,624,840 4,651,612 Unrestricted share of state sales taxes Sales tax – Jail construction & operation 480,411,950 145,389,597 460,958,772 138,063,948 394,920,581 116,878,703 366,285,237 107,094,680 385,487,679 112,451,803 400,453,544 118,052,954 418,642,153 124,595,909 447,541,942 133,929,831 476,452,381 140,492,834 497,359,100 146,246,549 Surcharge tax – Stadium District Unrestr. share of state vehicle lic. tax 6,288,093 143,543,618 6,132,465 139,312,595 5,304,565 126,036,362 4,668,705 116,405,328 4,989,933 113,649,012 5,192,003 113,363,658 5,217,452 118,202,382 5,394,707 126,137,174 4,915,704 135,043,057 4,772,596 146,241,079 Grants and contributions not restricted to specific programs Unrestricted investment earnings Miscellaneous Transfers 1,844,364 55,405,747 10,346,066 6,098,668 1,814,394 72,729,140 11,474,763 4,097,990 36,013,917 12,247,649 2,652,085 21,884,398 11,756,380 2,728,933 14,815,018 15,198,561 2,802,089 18,135,778 17,062,806 2,781,842 6,678,917 17,514,472 3,011,264 2,150,743 24,138,258 2,749,905 6,720,371 11,801,107 3,285,655 8,411,227 12,947,665 1,346,526,596 1,368,920,865 1,272,209,046 1,243,634,789 1,260,819,083 1,265,154,203 1,216,414,319 1,231,143,180 1,307,191,558 1,385,385,023 684,104 89 44,661 409,657 14,686 2,513,522 169,932 164,356 356,833 (468,781) 275,553 1,809,260 164,445 617,923 4,337,468 Total governmental activities Business-type activities: (2) Unrestricted investment earnings Gain (loss) on disposal of capital assets Miscellaneous Special item – repayment agreement. Special item – forgiveness of debt Transfers Total business-type activities Total primary government (6,098,668) (5,244,632) 1,341,281,964 $ 1,368,920,865 $ 1,272,209,046 $ 1,243,634,789 $ 1,260,819,083 $ 1,265,154,203 $ 1,216,414,319 $ 1,231,307,625 $ 1,307,809,481 $ 1,389,722,491 290,600,793 $ 234,357,529 $ 200,003,186 $ 272,532,978 $ $ $ Change in Net Position Governmental activities Business-type activities (2) (3,624,775) Total primary government 286,976,018 (1) (2) 166,897,220 $ 63,070,485 94,677,382 (4,547,098) $ (231,585,878) $ (1,195,483) $ 234,357,529 $ 200,003,186 $ 272,532,978 $ 166,897,220 $ 63,070,485 $ 94,677,382 $ (510,004) (5,742,581) $ (232,095,882) $ (10,557,337) 4,166,120 (6,391,217) Beginning fiscal year 2007, general government expenses include loss on disposal of capital assets. This amount was previously shown separately within general revenues on the Statement of Activities. For comparison purposes, for fiscal year 2006, loss on disposal of capital assets was reclassified on this schedule into general government From fiscal year 2008 through 2013, the County did not have any business-type activities. 274 Maricopa County Fund Balances, Governmental Funds Last Ten Fiscal Years (modified accrual basis of accounting) Fiscal Year 2006-07 2007-08 2008-09 2009-10 General Fund Reserved $ $ $ 26,503,298 444,964,280 471,467,578 $ 23,264,984 Unreserved Total general fund $ $ 21,465,733 512,125,107 533,590,840 $ $ 20,929,952 410,035,269 430,965,221 $ 20,513,964 489,009,836 509,523,800 $ 24,144,860 $ 22,105,351 $ 19,468,729 All Other Governmental Funds Reserved Unreserved, reported in: Special revenue funds 306,244,082 339,553,123 366,227,240 408,964,189 Capital projects funds 447,826,380 18,495,336 795,830,782 490,257,680 15,265,958 869,221,621 598,462,118 7,007,229 993,801,938 578,091,264 1,696,337 $ 1,008,220,519 Debt service funds Total all other governmental funds $ $ $ Fiscal Year 2010-11 2011-12 2012-13 2013-14 2014-15 General Fund* Nonspendable $ 20,372,794 $ 19,923,166 $ 19,144,202 $ 19,770,325 $ 17,405,417 230,066,825 28,619,600 277,830,627 113,712,308 7,490,426 140,973,059 $ 82,953,184 16,042,494 116,401,095 $ 2,451,776 $ 2,287,114 $ Restricted Committed 162,000,000 159,000,000 Assigned 225,405,703 21,623,906 429,402,403 $ 88,432,960 35,578,965 302,935,091 $ 2,774,433 $ 2,634,776 $ Unassigned Total general fund $ All Other Governmental Funds* Nonspendable $ 4,897,508 Restricted 625,559,970 623,361,495 615,289,987 541,960,456 660,382,287 Committed 446,474,182 504,306,863 470,044,802 554,526,504 591,699,861 (9,454,552) $ 1,065,354,033 (8,028,141) $ 1,122,274,993 (7,751,843) $ 1,080,034,722 (2,385,853) $ 1,096,388,221 (5,105,739) $ 1,251,873,917 Assigned Unassigned Total all other governmental funds (a) Fiscal Year 2015-16 General Fund* Nonspendable $ 13,987,368 Restricted Committed 133,944,163 Assigned 14,096,188 Unassigned Total general fund $ 162,027,719 $ 4,219,798 All Other Governmental Funds* Nonspendable Restricted 589,023,438 Committed 573,918,793 Assigned Unassigned Total all other governmental funds (a) (7,626,568) $ 1,159,535,461 *Fund Balance Classifications for fiscal year 2011 are changed due to the initial year of GASB Statement No.54 presentation (a) This schedule was not adjusted for the fiscal year 2013 restatement to fund balance. 275 Maricopa County Changes in Fund Balances, Governmental Funds Last Ten Fiscal Years (modified accrual basis of accounting) Fiscal Year 2006-07 2007-08 2008-09 2009-10 (a) Revenues Taxes $ Licenses and permits 640,375,614 $ 672,237,546 $ 686,964,346 $ 716,804,640 40,078,842 40,434,059 41,439,097 38,496,710 1,105,841,984 904,588,701 783,903,253 772,997,433 Charges for services 87,668,832 153,431,323 169,543,750 177,455,822 Fines and forfeits 31,641,869 32,061,172 37,360,387 35,152,334 3,929,786 5,284,808 4,841,432 4,377,292 Intergovernmental Special assessments Interest income Miscellaneous 105,465,489 110,992,618 95,349,598 20,318,913 15,029,350 Total revenues 2,015,002,416 1,919,030,227 1,819,401,863 1,780,632,494 General government 173,121,467 173,285,719 176,738,216 208,844,970 Public safety 813,297,449 882,964,097 895,818,537 825,412,465 56,087,569 54,885,932 54,407,137 52,572,927 461,668,854 378,763,080 396,702,161 326,936,948 Culture and recreation 28,283,735 30,186,081 33,870,918 28,121,160 Education 15,218,331 14,677,474 8,523,122 7,684,473 Principal 16,297,518 15,607,476 18,833,968 15,914,149 Interest 6,030,238 11,441,406 10,026,110 9,246,731 Other 1,460,467 5,250 3,188 91,580 Expenditures Highways and streets Health, welfare and sanitation Debt service Payment to escrow agent Capital outlay Total expenditures 301,383,004 278,993,140 220,481,647 212,063,026 1,872,848,632 1,840,809,655 1,815,405,004 1,686,888,429 142,153,784 78,220,572 3,996,859 93,744,065 Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers in Transfers out Capital lease agreements Proceeds from bond issuance 389,617,546 446,171,799 383,496,208 (386,617,546) (446,171,799) (383,459,515) 25,720,244 29,953,944 20,121,941 140,940,000 Premium on refunding bonds 1,596,088 Payment to escrow agent Loan Proceeds Total other financing sources (uses) Net change in fund balances 791,514,765 (785,416,097) $ (34,414,011) 1,217,018 10,106,857 141,158,007 43,060,801 283,311,791 $ 121,281,373 20,121,941 $ 24,118,800 36,693 $ 93,780,758 Debt service as a percentage of noncapital expenditures 1.4% 1.7% (a) Data was adjusted in fiscal year 2014. 276 1.8% 1.7% Fiscal Year 2010-11 $ 715,851,831 2011-12 $ 704,104,717 2012-13 $ 2013-14 642,325,131 $ 615,127,234 2014-15 $ 658,661,300 2015-16 $ 700,515,589 41,372,329 57,136,150 43,803,739 44,295,063 46,201,667 48,262,561 802,853,910 827,075,550 870,032,708 879,890,750 918,331,602 981,754,741 185,637,288 160,595,034 170,891,803 158,418,054 159,083,257 168,530,522 34,094,367 31,006,029 30,760,368 28,981,715 25,235,245 25,493,837 5,432,863 5,026,752 5,068,492 6,070,638 6,014,834 4,651,612 13,829,194 15,477,441 17,305,398 18,164,312 6,264,554 28,665,945 1,028,984 16,886,275 6,074,604 16,239,536 8,430,222 14,674,505 1,814,549,223 1,820,413,942 1,797,812,740 1,750,698,713 1,835,842,045 1,952,313,589 193,235,111 168,967,810 151,832,578 135,670,741 149,081,146 150,486,509 829,965,019 873,303,867 871,928,815 960,017,951 1,005,051,315 1,028,863,167 53,297,470 49,416,837 48,459,526 51,635,626 54,006,764 53,598,284 384,436,682 435,449,254 425,526,752 400,282,296 404,729,045 420,071,249 30,005,985 30,792,212 33,003,716 36,936,932 36,529,631 39,798,518 8,927,278 12,731,152 18,255,308 26,506,855 28,096,030 30,097,656 15,728,150 18,406,034 15,290,371 20,742,071 17,866,397 11,306,342 8,558,856 7,671,184 5,844,641 5,391,181 4,726,682 13,032,602 1,249 132,718 1,250 1,215,938 26,350 320,011,115 279,162,786 6,381,485 251,067,940 228,759,097 213,487,827 236,196,502 1,844,166,915 1,875,901,136 1,827,723,850 1,865,944,000 1,914,790,775 1,983,477,179 (29,617,692) (55,487,194) (29,911,110) (115,245,287) (78,948,730) (31,163,590) 677,002,927 499,886,853 483,487,756 516,830,224 379,355,888 400,522,300 (675,672,626) (502,575,907) (520,550,878) (521,296,732) (379,281,420) (400,522,300) 8,329,091 13,886,373 25,140,000 185,580,000 15,633,417 (24,997,819) 1,330,301 $ (28,287,391) 1.6%(a) (2,689,054) $ (58,176,248) 1.6% (29,910,000) (36,920,941) $ (66,832,051) 1.7%(a) (4,466,508) $ (119,711,795) 1.6% 277 209,616,976 $ 130,668,246 1.4% (16,023,627) $ (47,187,217) 1.4% Maricopa County Tax Revenues by Source, Governmental Funds Last Ten Fiscal Years (modified accrual basis of accounting) Fiscal Year 2006-07 $ General State Vehicle Highway Baseball Property Taxes Sales Tax License Tax User Fuel Tax Stadium Tax 488,697,924 $ 480,411,950 $ 153,262,719 $ 107,593,116 $ 1,938 2007-08 528,041,133 460,958,772 148,862,871 102,751,593 1,160 2008-09 564,781,078 394,920,582 134,831,210 90,419,237 875 2009-10 605,041,255 366,285,238 124,579,510 84,950,511 131 2010-11 598,410,095 385,487,679 121,637,533 85,975,735 1,667 2011-12 580,859,760 400,453,543 122,011,906 78,928,602 322 2012-13 512,511,770 418,642,153 127,115,879 86,815,139 41 2013-14 475,802,697 447,541,942 135,565,922 89,630,002 0 2014-15 513,252,762 476,452,381 145,066,005 97,931,744 39 2015-16 549,496,444 497,359,100 156,925,539 102,652,222 13 Change 2007-16 12.4% 3.5% 2.4% Rental Fiscal Year 2006-07 6,286,155 (99.3%) Street Car Surcharge $ (4.6%) Jail Tax $ 145,389,597 Lighting Assessments $ 3,929,786 Total Revenues $ 1,385,573,185 2007-08 6,131,305 138,063,948 5,284,808 1,390,095,590 2008-09 5,303,690 116,878,703 4,841,432 1,311,976,807 2009-10 4,668,574 107,094,680 4,377,292 1,296,997,191 2010-11 4,988,266 112,451,803 5,432,863 1,314,385,641 2011-12 5,191,681 118,052,954 5,026,752 1,310,525,520 2012-13 5,217,411 124,595,909 5,068,492 1,279,966,794 2013-14 5,394,706 133,929,831 6,070,638 1,293,935,738 2014-15 3,564,212 140,492,834 6,014,834 1,382,774,811 2015-16 3,494,629 146,246,549 4,651,612 1,460,826,108 (44.4%) 0.6% Change 2007-16 18.4% 5.4% The Vehicle License Tax for fiscal year 2007 and all subsequent years, have a combined amount from the General and Transportation Funds. The Baseball Stadium Tax ended in November 1997, but small amounts continue to be remitted on delinquent tax returns. The Jail Tax was approved by the voters in the General Election on November 3, 1998. 278 Maricopa County Assessed Value and Estimated Market Value of Taxable Property Last Ten Fiscal Years (in thousands of dollars) Property Values Fiscal Assessed Total Total Secured Total Assessed Year Direct and Unsecured Value as a Ended June 30, Secured Tax Rate Estimated Market Value Percentage of Total Estimated Market Value 2006-07 $ 34,922,001 $ 1,372,693 $ 36,294,694 1.4348 $ 301,474,323 12.0% 2007-08 48,136,309 1,398,265 49,534,574 1.2970 431,682,163 11.5% 2008-09 56,831,715 1,471,920 58,303,635 1.2047 516,677,465 11.3% 2009-10 56,523,957 1,460,095 57,984,052 1.1629 516,184,657 11.2% 2010-11 48,247,443 1,415,100 49,662,543 1.2409 444,097,352 11.2% 2011-12 37,474,985 1,285,311 38,760,296 1.4679 359,683,508 10.8% 2012-13 33,136,394 1,264,061 34,400,455 1.4679 321,960,273 10.7% 2013-14 30,817,627 1,411,380 32,229,007 1.4637 310,300,015 10.4% 2014-15 33,658,024 1,421,622 35,079,646 1.5157 339,536,632 10.3% 2015-16 33,326,722 1,296,948 34,623,670 1.5757 338,995,111 10.2% Unsecured Total Secured and Unsecured assessed property values and estimated market values are determined each calendar year. The tax rates are applicable beginning July 1st of the next fiscal year. The Board of Supervisors approves the tax rates on the third Monday of August. Source: Maricopa County Department of Finance – Property Tax Division. 279 Maricopa County Direct and Overlapping Property Tax Rates Last Ten Fiscal Years County Direct Rates General Obligation Flood County Fiscal Year County Operating Debt Service Control District Library District Total Direct 2006-07 1.1794 0.0000 0.2047 0.0507 1.4348 2007-08 1.1046 0.0000 0.1533 0.0391 1.2970 2008-09 1.0327 0.0000 0.1367 0.0353 1.2047 2009-10 0.9909 0.0000 0.1367 0.0353 1.1629 2010-11 1.0508 0.0000 0.1489 0.0412 1.2409 2011-12 1.2407 0.0000 0.1780 0.0492 1.4679 2012-13 1.2407 0.0000 0.1780 0.0492 1.4679 2013-14 1.2807 0.0000 0.1392 0.0438 1.4637 2014-15 1.3209 0.0000 0.1392 0.0556 1.5157 2015-16 1.3609 0.0000 0.1592 0.0556 1.5757 Overlapping Rates Central Arizona State Fiscal Year of Arizona Water Other Community Education Equalization Conservation District Special Districts College District School Districts Cities 2006-07 0.0000 0.0000 0.1200 0 – 3.8600 1.0646 0.8765 - 14.7188 0 - 2.9666 2007-08 0.0000 0.0000 0.1000 0 – 3.8600 0.9760 0.9413 - 8.7577 0 - 2.6736 2008-09 0.0000 0.0000 0.1000 0 – 3.3000 0.9386 0.6874 - 12.7204 0 - 2.2993 2009-10 0.0000 0.3306 0.1000 0 – 3.3000 0.8844 0.7773 - 10.8439 0 - 2.5074 2010-11 0.0000 0.3564 0.1000 0 – 3.3000 0.9728 0.7098 - 10.7955 0 - 2.4390 2011-12 0.0000 0.4259 0.1000 0 – 4.0500 1.2082 0.7566 - 10.7955 0 - 2.9084 2012-13 0.0000 0.4717 0.1000 0 – 6.1500 1.3778 0.7710 - 10.4523 0 - 3.8886 2013-14 0.0000 0.5123 0.1400 0 – 5.3000 1.5340 0.7463 - 10.2183 0 - 4.0399 2014-15 0.0000 0.5089 0.1400 0 – 5.6098 1.5187 0.7734 - 10.6361 0 - 1.9500 2015-16 0.0000 0.5054 0.1400 0 – 7.1179 1.4940 0.8514 - 11.1449 0 - 3.9715 Source: Maricopa County Department of Finance – Property Tax Division. All tax rates are per $100 assessed valuation. 280 Maricopa County Principal Property Taxpayers Current Year and Nine Years Ago 2015-16 2006-07 Percentage of Percentage of Total County Taxpayer Arizona Public Service Company Secondary Valuation Rank Assessed Value Total County Secondary Valuation Rank Assessed Value $ 1,081,236,150 1 3.12% $ 992,021,508 1 2.69% Southwest Gas Corporation (T&D) 151,458,063 2 0.44% 159,660,774 4 0.43% Qwest Corporation 141,676,486 3 0.41% 363,129,912 3 0.99% Southern California Edison Co (T&D) 133,176,587 4 0.38% 155,928,213 5 0.42% El Paso Electric Company (T&D) 119,735,509 5 0.35% 134,412,281 6 0.37% Wal-Mart Stores Inc. 95,116,249 6 0.27% 85,044,078 9 0.23% Arizona Solar One LLC 77,907,385 7 0.23% AT&T 77,886,205 8 0.22% Public Service Company of New Mexico (T&D) 69,688,803 9 0.20% 76,668,041 11 0.21% Sundevil Power Holdings, LLC 65,266,335 10 0.19% Verizon Wireless 64,751,991 11 0.19% Target Corporation 54,081,831 12 0.16% 76,724,910 10 0.21% New Harquahala Generating Co, LLC 52,725,000 13 0.15% Gila River Power, LLC 47,700,029 14 0.14% Southern Cal Public Power Authority (Palo Verde) 45,675,174 15 0.13% 59,826,579 14 0.16% Mesquite Power LLC 44,432,745 16 0.13% 55,772,536 16 0.15% Intel Corporation 42,107,998 17 0.12% 113,088,175 7 0.31% Smith’s Food & Drug Centers Inc. 39,298,742 18 0.11% Safeway Inc. 37,108,597 19 0.11% 75,795,857 12 0.21% Host Kierland LP 35,121,020 20 0.10% Salt River Project 518,745,464 2 1.41% Cox Communications 110,414,096 8 0.30% Well Fargo Bank 66,322,076 13 0.18% Scottsdale Fashion Square Partnership 58,605,216 15 0.16% Panda Gila River, LP 51,158,695 17 0.14% Freescale Semiconductor Inc. 44,037,852 18 0.12% ABS SW Investor LLC 42,651,131 19 0.12% Sheraton Phoenician 40,968,113 20 0.11% Total Principal Taxpayers $ 2,476,150,899 Countywide Secondary Valuation $ 34,623,670,323 Source: Maricopa County Assessor’s Office. 281 7.15% $ 3,280,975,507 $ 36,813,439,065 8.91% Maricopa County Property Tax Levies and Collections Last Ten Fiscal Years Collected within the Fiscal Year of the Levy Fiscal Total Collections to Date County Tax Year Levied Ended June 30, For the Fiscal Year Collections Percentage of Levy Amount In Subsequent Years Amount $ Percentage of Levy 2006-07 $ 484,223,277 $ 469,107,028 96.88 $ 10,001,258 479,108,286 98.94 2007-08 519,814,623 503,200,873 96.80 13,734,020 516,934,893 99.45 2008-09 558,747,827 535,412,874 95.82 18,172,791 553,585,665 99.08 2009-10 587,695,910 562,196,230 95.66 17,582,947 579,779,177 98.65 2010-11 580,723,610 556,833,931 95.89 12,056,465 568,890,396 97.96 2011-12 559,042,706 541,115,030 96.79 11,148,323 552,263,353 98.79 2012-13 496,621,093 483,768,161 97.41 8,435,328 492,203,489 99.11 2013-14 463,734,687 454,630,238 98.04 6,173,682 454,630,238 98.04 2014-15 505,927,593 495,964,759 98.03 5,844,562 501,809,321 99.19 2015-16 539,956,426 532,594,860 98.64 532,594,860 98.64 Note: Collections to date may exceed 100%, as the initial amount levied is not updated to reflect any adjustments or exemptions arising from taxpayer disputes. County Tax Levied for the Fiscal Year Fiscal Year Ended June 30, 2006-07 Flood Control District County Operating $ 398,725,245 $ 67,096,622 County Library $ 18,401,410 Total County $ 484,223,277 2007-08 430,023,735 70,422,870 19,368,018 519,814,623 2008-09 463,492,311 74,674,333 20,581,183 558,747,827 2009-10 492,230,736 74,996,804 20,468,370 587,695,910 2010-11 492,224,342 68,019,592 20,479,676 580,723,610 2011-12 477,571,468 62,401,172 19,070,066 559,042,706 2012-13 425,111,491 54,584,578 16,925,024 496,621,093 2013-14 409,775,397 39,842,985 14,116,305 463,734,687 2014-15 442,762,977 43,660,332 19,504,284 505,927,593 2015-16 471,193,529 49,512,136 19,250,761 539,956,426 Source: Maricopa County Department of Finance – Property Tax Division. 282 Maricopa County Ratios of Outstanding Debt by Type Last Ten Fiscal Years Other Governmental Activities Debt Fiscal Lease Lease Stadium Stadium Year Ended June 30, Revenue Bonds Trust Certificates District Rev. Bonds District Loans (d) 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 $ 181,245,043 173,670,000 163,900,000 153,285,000 142,140,000 130,815,000 120,350,000 108,975,000 97,135,000 54,755,000 $ 6,812,000 4,612,000 $ 47,230,000 44,270,000 41,165,000 37,905,000 34,515,000 30,945,000 22,440,000 19,260,000 16,010,000 12,685,000 $ 978,394 10,864,916 10,465,338 9,286,098 8,106,857 6,906,857 5,706,857 Special Assessment $ 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 Certificates of Participation $ 4,715,000 4,295,000 3,850,000 3,385,000 2,895,000 185,580,000 185,580,000 Installment Purchase Agreements Capital Leases $ 33,039,132 50,093,644 51,135,340 14,956,315 432,651 $ 205,765 Lease Revenue Bonds $ 29,957 Housing Authority Debt (e) $ 2,787,917 (d) 3,609,943 6,373,931 6,432,523 6,325,996 8,329,091 17,981,211 Total Percentage Primary of Assessed Government (c)(d) Property Value (a) Per Capita (b) 0.78% 0.59% 0.47% 0.39% 0.39% 0.45% 0.44% 0.42% 0.94% 0.83% 72.07 73.78 67.09 55.56 50.25 44.51 38.86 34.28 81.10 69.39 $ 281,596,202 294,220,427 276,136,131 223,513,232 191,825,932 172,906,485 152,877,499 135,218,104 329,578,153 288,159,956 $ 7,237,834 6,332,348 5,426,862 4,521,377 3,615,891 1,371,661 706,020 559,708 16,046,812 10,809,836 Business-Type Activities Other Governmental Activities Debt Fiscal Year Ended June 30, 103,077 82,519 193,591 174,442 120,533 80,050 64,679 49,465 44,727 22,913 Bond Premium (d) Note: Details regarding the County’s outstanding debt can be found in the notes to the financial statements. (a) See Assessed Value and Estimated Market Value of Taxable Property schedule for assessed property value data. (b) Population data can be found in the Demographic and Economic Statistics schedule. (c) Includes other governmental activities and business-type activities debt. (d) Data was adjusted in fiscal year 2013 to include all long-term debt instruments and bond premium as reported in the basic financial statements. (e) Beginning FY14, Housing Authority is reported in Business-Type Activities. 283 Maricopa County Legal Debt Margin Information Last Ten Fiscal Years Fiscal Year Debt limit 2006-07 2007-08 2008-09 2009-10 2010-11 $5,444,204,040 $ 7,430,186,074 $8,745,545,293 $8,697,607,759 $7,449,381,543 $ 5,444,204,040 $ 7,430,186,074 $ 8,745,545,293 $8,697,607,759 $7,449,381,543 0% 0% 0% Total net general obligation debt Legal debt margin Total net debt applicable to the limit as a percentage of debt limit 0% 0% 2014-15 2015-16 Fiscal Year Debt limit 2011-12 2012-13 2013-14 $5,814,044,507 $ 5,160,068,357 $4,834,351,022 $5,261,946,989 $5,193,550,548 $5,814,044,507 $ 5,160,068,357 $4,834,351,022 $5,261,946,989 $5,193,550,548 0% 0% 0% 0% Total net general obligation debt Legal debt margin Total net debt applicable to the limit as a percentage of debt limit 0% Legal Debt Margin Calculation for Fiscal Year 2015-16 Assessed Value $ 34,623,670,323 Debt limit (15% of assessed value) 5,193,550,548 Debt applicable to limit: General obligation bonds Total net debt applicable to limit Legal debt margin $ 5,193,550,548 Note: The Arizona Constitution, Article 9, Section 8, states that a County may become indebted for an amount not to exceed fifteen percent of taxable property. 284 Maricopa County Pledged Revenue Coverage Last Ten Fiscal Years Stadium District Revenue Bonds Net Revenue Available Fiscal Year 2006-07 Gross Revenue $ For Debt Service (1) 6,838,436 $ Debt Service Requirements Principal Interest Total $ 2,604,374 $ Gross Coverage Net Coverage 10,702,495 $ 2,820,000 5,424,374 126% 197% 2007-08 6,671,848 10,511,470 2,960,000 2,463,594 5,423,594 123% 194% 2008-09 5,714,998 9,993,478 3,105,000 2,317,532 5,422,532 105% 184% 2009-10 5,005,605 9,468,739 4,260,000 2,160,344 6,420,344 78% 147% 2010-11 5,322,380 9,255,676 4,569,241 2,029,943 6,599,184 81% 140% 2011-12 5,527,021 9,245,158 4,770,000 1,852,039 6,622,039 83% 140% 2012-13 5,183,923 4,360,173 3,900,000 610,378 4,510,378 115% 97% 2013-14 5,394,706 4,401,308 8,886,857 512,882 9,399,739 57% 47% 2014-15 3,564,657 4,275,019 3,250,000 440,946 3,690,946 97% 116% 2015-16 3,495,100 4,078,741 3,325,000 366,378 3,691,378 95% 110% Gross Coverage Net Coverage Special Assessment Bonds Net Revenue Available Fiscal Year 2006-07 Gross Revenue $ For Debt Service (1) 27,874 $ 123,706 Debt Services Requirements Principal Interest Total 61,838 45% 200% 2007-08 56,579 146,962 $ 51,819 26,711 $ 10,019 6,612 $ 33,323 170% 441% 2008-09 108,555 204,154 36,968 14,395 51,363 211% 397% 2009-10 53,667 134,815 19,149 13,527 32,676 164% 413% 2010-11 28,253 98,077 53,909 11,082 64,991 43% 151% 2011-12 22,013 73,157 40,483 6,450 46,933 47% 156% 2012-13 29,361 81,996 15,371 5,151 20,522 143% 400% 2013-14 94 29,564 15,214 4,369 19,583 0% 151% 2014-15 0 17,554 4,738 4,374 9,112 0% 193% 2015-16 23,361 17,300 21,814 1,801 23,615 99% 73% Note: Details regarding the outstanding debt can be found in the notes to the financial statements. (1) Net revenue available for debt service consists of gross revenues plus beginning fund balance less expenditures not covered by bond proceeds and all transfers not applicable to debt retirement. Fund balance is included in net revenue since it represents unexpended pledged revenues. 285 Maricopa County Demographic and Economic Statistics Last Ten Fiscal Years Fiscal Year 2006-07 2007-08 2008-09 2009-10 2010-11 County 2.9% 4.3% 8.0% 9.6% (1) 8.9% (1) State 3.4% 4.8% 8.7% 10.5% (1) 9.5% (1) United States 4.5% 5.5% 9.5% Unemployment Rate (June 30,) 9.5% 9.2% Population/Income Statistics Income (in thousands) $ Population Per Capita 139,665,253 $ 3,907,492 $ 35,743 (1) $ 145,880,680 $ 3,987,942 36,580 (1) $ 146,898,132 $ 140,351,646 (1) $ 4,115,811 4,023,132 35,691 (1) $ 147,724,392 3,817,117 34,886 (1) $ 38,701 Fiscal Year 2011-12 2012-13 2013-14 2014-15 2015-16 5.3% Unemployment Rate (June 30,) County 7.5% (1) 7.1% 6.4% 5.3% State 8.4% (1) 8.0% 6.9% 5.9% 5.8% United States 8.2% 7.6% 6.1% 5.3% 4.90% Population/Income Statistics Income (in thousands) $ Population Per Capita 156,763,179 (2) $ 3,884,705 (2) $ 40,354 (2) $ 160,497,824 (2) $ 3,933,712 40,801 (2) $ 167,439,604 $ 3,944,859 42,445 175,437,829 4,063,700 $ 43,172 Source: Workforce Informer Arizona at www.workforce.az.gov for unemployment rate and population. U.S. Department of Commerce Bureau of Economic Analysis for income data. (1) Data was adjusted in fiscal year 2013. (2) Data was adjusted in fiscal year 2014. (3) Income and per capita estimates were not yet available for fiscal year 2016. 286 (3) 4,152,800 (3) Maricopa County Principal Employers Current Year and Nine Years Ago 2016 2007 Percentage of Employer Employees Rank Total County Employment Percentage of Employees Rank Total County Employment State of Arizona 50,816 1 2.65% 49,305 1 2.59% Banner Health 35,406 2 1.85% 16,400 3 0.86% Wal-Mart Stores 32,373 3 1.69% 28,800 2 1.51% Fry’s Food Stores 17,286 4 0.90% 11,780 8 0.62% City of Phoenix 14,585 5 0.76% 14,166 4 0.74% Wells Fargo 14,480 6 0.76% 11,800 7 0.62% Maricopa County 13,567 7 0.71% 13,274 5 0.70% Arizona State University 12,676 8 0.66% 12,083 6 0.63% Dignity Health 12,100 9 0.63% University of Arizona 11,442 10 0.60% U.S. Postal Services 11,000 9 0.58% Raytheon Co. 10,750 10 0.56% Total for Principal Employers Total Employment in Maricopa County 214,731 11.20% 1,917,400 179,358 9.41% 1,906,900 As of June 30 Source: The Phoenix Business Journal, Book of Lists Workforce Informer Arizona at www.workforce.az.gov for total employed in Maricopa County. Difference in number of employees reported on this report for Maricopa County and the next report is due to the next report using budgeted full time employees. 287 Maricopa County Budgeted Full-time Equivalent County Employees by Function/Program Last Ten Fiscal Years Fiscal Year Function/Program 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 Board of Supervisors 24 27 25 25 26 27 27 27 27 Call Center 33 33 33 27 27 27 27 27 27 27 County Assessor 358 365 361 322 323 329 324 320 322 315 County Manager 26 20 13 27 30 31 26 18 18 18 Elections 58 58 58 54 54 54 52 52 52 52 264 271 232 182 184 194 125 136 137 165 Finance 56 56 49 40 41 43 44 35 39 39 Workforce Management & Development 53 17 52 47 44 43 116 46 46 46 109 117 142 119 111 133 165 169 202 216 Internal Audit 20 20 20 17 17 17 19 19 18 18 Management and Budget 35 27 33 32 31 29 31 19 18 19 Materials Management 37 37 37 34 34 34 39 39 37 40 Other General Government 83 177 92 82 82 81 95 89 90 85 Recorder 84 84 85 63 63 63 62 62 56 56 Employee Health Initiatives 24 30 28 24 20 19 28 26 28 28 Treasurer 63 64 47 41 49 52 55 53 55 55 Deputy County Manager 13 12 12 Assistant County Manager 12 11 9 General Government Facilities Management Enterprise Technology 28 Public Safety Adult Probation 1,237 1,249 1,246 1,050 1,065 1,072 1,071 1,100 1,117 1,143 772 776 768 679 680 674 671 675 683 680 31 31 32 30 35 35 36 36 36 36 County Attorney 1,037 1,033 1,023 977 887 918 945 936 946 984 Court System 2,206 2,291 2,280 2,167 2,176 2,204 2,248 2,271 2,335 2,387 15 15 14 14 13 14 14 15 15 17 Flood Control 209 196 189 185 190 192 254 252 228 187 Juvenile Probation 951 957 902 758 752 733 708 693 689 703 Medical Examiner 73 91 91 76 77 78 86 87 88 88 214 205 177 102 104 111 113 77 85 80 36 36 35 33 33 41 41 41 42 44 3,835 3,850 3,810 3,695 3,607 3,588 3,602 3,689 3,928 3,982 368 471 456 404 453 463 474 477 464 475 40 13 16 4 4 4 Clerk of Superior Court Constables Emergency Management Planning & Development Public Fiduciary Sheriff Correctional Health Deputy County Manager Assistant County Manager Highways and Streets Transportation 484 515 513 522 510 490 417 416 410 416 Air Quality 164 165 257 205 180 143 141 141 142 145 Animal Control 158 156 167 168 168 169 165 165 170 169 Environmental Services 205 307 271 265 276 284 286 293 290 288 Human Services Other Health, Welfare and Sanitation 471 461 435 342 397 385 380 364 372 399 50 7 7 9 9 12 10 11 11 11 Public Health 587 556 533 508 577 614 602 613 625 633 Solid Waste 18 23 29 31 31 29 28 23 23 22 2 2 2 Health, Welfare and Sanitation Assistant County Manager Culture and Recreation Library District Parks and Recreation Stadium District 150 161 161 168 172 171 171 165 165 164 90 92 90 85 85 86 84 83 81 78 5 5 5 3 5 5 5 5 5 5 33 40 37 35 47 60 111 134 152 145 14,726 15,092 14,835 13,647 13,665 13,747 13,898 13,970 14,316 14,531 Education Education Service Source: County Management and Budget Department 288 Maricopa County Operating Indicators by Function/Program Last Ten Fiscal Years Fiscal Year Function/Program General Government County Assessor Number of parcels assessed Elections Registered voters Number voting (1) Public Safety Adult Probation Probationers (including absconders) Community service hours Collections County Attorney Adult felony filings Juvenile filings Flood Control District Linear miles of watercourses delineated Presentation, consultation requests completed Square miles of watershed studies completed Drainage complaint investigations conducted <30 days Justice Courts Annual new filings Total non-jury trials commenced Total jury trials commenced Juvenile Probation Population under 18 yrs old Juveniles brought to detention Average detention length (days) Superior Court Annual Case Filings Public Health Certified copies of birth or death certificates Number of immunizations Cases of communicable diseases investigated Culture and Recreation Library District Number of items circulated Number of library cards issued Number of print, media and electronic items Education Superintendent of Schools School districts in Maricopa County Home Schooled students Private School students (1) (2) (3) (4) 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 1,494,585 1,533,026 1,543,998 1,543,998 1,546,229 1,546,690 1,547,609 1,549,513 1,559,141 1,591,420 1,529,223 899,484 1,588,186 1,380,571 1,834,377 1,380,571 1,820,851 1,380,571 1,919,175 1,004,125 1,868,255 1,004,125 1,915,531 1,390,836 1,973,543 1,390,836 1,972,381 877,187 2,030,837 877,187 31,405 30,617 30,666 31,160 31,093 30,660 29,684 28,704 27,568 680,989 517,816 586,723 407,628 327,894 299,018 290,650 365,718 407,905 $31,078,450 $ 29,590,772 $28,690,912 $26,396,659 $28,899,021 $28,442,000 $27,415,557 $27,337,265 $27,043,194 29,031 443,009 27,898,054 38,694 14,401 N/A (2) N/A (2) N/A (2) N/A (2) N/A (2) N/A (2) N/A (2) N/A (2) N/A (2) N/A (2) 31,902 21,488 33,889 9,751 31,179 24,533 29,918 15,078 282 342 204 60 22 10 0 0 0 165 30 965 160 121 153 209 673 697 23 19 503 631 411 619 324 1,221 59 105 6 0 140 141 319 155 73 57 128 142 119 53 412,558 435,744 725,654(3) 827,383 835,882 353,588 335,860 262,024 311,187 263,639 4,079 495 5,467 754 3,626 120 2,511 110 2,713 108 2,918 60 2,975 83 3,480 606 2,613 94 3,059 130 951,049 1,110,894 1,133,112 1,155,774 1,007,861 1,026,014 1,028,018 1,048,579 1,023,993 1,098,556 10,491 10,444 10,327 9,707 8,639 8,263(4) 7,227 6,698 6,165 5,218 17 14 13 13 14 13(4) 15 14 15 14 162,856 177,892 190,330 192,303 222,137 203,670 202,545 204,578 201,236 195,310 324,777 235,573 354,316 279,778 374,678 275,724 365,671 229,251 292,162 157,894 270,648 138,596 270,266 132,330 257,152 127,417 288,837 122,321 330,800 113,016 3,031 8,795 9,671 11,728 10,853 10,501(4) 10,179 11,512 10,730 8,425 4,531,500 52,652 5,911,180 64,648 7,179,520 62,973 7,481,836 57,757 7,507,016 48,410 7,792,398 46,374 8,079,755 40,521 8,264,133 43,020 7,396,715 42,354 7,386,698 41,908 736,061 826,458 828,188 790,723 719,534 639,131 660,044 671,036 666,091 686,477 58 9,517 27,606 58 9,790 29,283 58 9,737 19,213 58 10,017 20,215 58 9,874 18,098 58 9,804 16,958 58 10,930 19,579 58 11,595 18,395 58 12,232 19,526 58 14,516 20,122 November general election data used for two fiscal-year time span (i.e., fiscal-year of election date and fiscal year immediately prior to election). Information unavailable for fiscal year. Significant increase due to photo enforcement. Data was adjusted during fiscal year 2013. Note: Indicators for Highways and Streets is not available. Source: Managing for Results – Strategic Plans and Performance Measures. 289 Maricopa County Capital Asset Statistics by Function/Program Last Ten Fiscal Years Fiscal Year Function/Program 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 General Government Facilities Management Number of buildings owned by Facilities Number of buildings maintained by Facilities 26 26 27 34 177 175 167 160 25 25 28 27 29 29 178 194 196 198 202 203 Public Safety Flood Control District 318 324 333 338 339 347 350 354 358 368 Justice Courts Operating alert stations 23 23 25 25 25 25 26 26 26 26 Juvenile Courts 2 2 2 2 2 2 2 2 2 2 9,562 9,562 11,509 11,509 11,509 11,509 11,149 11,149 11,088 11,013 6 6 6 6 6 6 6 6 6 6 Miles of Road 5,205 5,420 5,232 5,284 5,267 5,244 5,383 5,386 5,378 5,411 Miles of road with paved surfaces 4,255 4,491 4,334 4,397 4,448 4,429 4,570 4,573 4,582 4,581 27 23 22 22 21 20 20 20 20 20 293 286 276 278 278 273 279 279 285 287 3 2 2 2 2 2 2 2 2 2 Number of public health facilities 2 2 2 2 2 2 2 20 21 21 Number of WIC facilities 2 2 2 2 2 2 2 15 15 15 6 6 6 6 6 6 6 6 6 6 Sheriff Inmate beds available (incl. portable) Number of jail facilities Highways and Streets Transportation Number of major bridges Number of total bridges Health, Welfare and Sanitation Animal Care and Control Number of animal shelters Public Health Waste Resources and Recycling Mgmt Number of transfer stations Culture and Recreation Library District Number of facilities owned 2 2 2 2 3 3 3 3 3 3 13 13 15 14 14 14 14 14 15 16 1 1 0 0 0 0 0 0 0 0 Regional county parks 9 9 9 9 9 9 9 9 9 9 County managed golf courses 3 3 3 3 3 3 3 3 3 Facilities operated Bookmobiles Parks and Recreation Total acres managed Conservation areas 119,185 119,257 119,257 119,257 119,257 119,257 119,257 119,257 119,257 3 119,257 1 1 1 1 1 1 2 1 1 1 1 1 1 1 1 1 1 1 1 1 Stadium District Major league baseball field Source: Various County Agencies. Note: Indicators for Education are not available. 290