Comprehensive Annual Financial Report Fiscal Year Ended June 30, 2014 Coconino County Comprehensive Annual Financial Report Fiscal Year Ended June 30, 2014 COCONINO COUNTY BOARD OF SUPERVISORS Art Babbott District 1 Elizabeth C. Archuleta District 2 Mandy Metzger Vice Chairperson District 4 Matthew G. Ryan Chairman District 3 Lena Fowler District 5 Cynthia Seelhammer County Manager Larry Dannenfeldt Deputy County Manager Mike Townsend Deputy County Manager Finance Team Bonny Lynn, MPA, Chief Financial Officer Thomas Johnson, CPA, Accounting Manager Nancy Ho, MBA, Senior Accountant Marsha Westling, Accountant www.coconino.az.gov Coconino County Table of Contents Year Ended June 30, 2014 Introductory Section Page Letter of Transmittal Organization Chart Coconino County officials 3 11 12 Financial Section Independent Auditors' Report 15 Management’s Discussion and Analysis (MD&A) 21 Basic Financial Statements Government-Wide Statements Statement of Net Position Statement of Activities 35 37 Fund Financial Statements Governmental Funds Financial Statements Balance Sheet Reconciliation of the Balance Sheet of Governmental Funds to the Statement of Net Position Statement of Revenues, Expenditures, and Changes in Fund Balances Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of the Governmental Funds to the Statement of Activities 38 41 42 44 Proprietary Fund Financial Statements Statement of Net Position Statement of Revenues, Expenses, and Changes in Fund Net Position Statement of Cash Flows 45 46 47 Fiduciary Funds Financial Statements Statement of Fiduciary Net Position Statement of Changes in Fiduciary Net Position 48 49 Notes to Financial Statements 50 Required Supplementary Information Budgetary Comparison Schedules - General Fund and Major Special Revenue Fund General Fund Public Works/HURF Fund Jail District Fund Public Health Services District Fund Flood Control District Fund 82 84 85 86 87 Coconino County Table of Contents Year Ended June 30, 2014 Financial Section (Continued) Notes to Budgetary Comparison Schedules Schedule of Agent Retirement Plan’s and Coconino County Postemployment Healthcare Plan’s Funding Progress Combining and Individual Fund Statements and Schedules List of Nonmajor Governmental Funds Governmental Funds Combining Balance Sheet – Nonmajor Governmental Funds Combining Statement of Revenues, Expenditures, and Changes in Fund Balances – Nonmajor Governmental Funds Page 88 89 91 94 102 Schedules of Revenues, Expenditures, and Changes in Fund Balances – Budget and Actual Special Revenue Funds Adult Probation Grants and Fees Assessor Storage and Retrieval Career Center Grants Clerk of the Superior Court Grants and Fees Community Services Grants and Fees Conciliation Court County Attorney Grants and Fees County Improvement Districts-Special Revenue County Library District Emergency Services Grants Inmate Welfare Jail Enhancement Justice Courts Grants and Fees Juvenile Court Grants and Fees Legal Defender Grants and Fees National Forest Fees Parks and Recreation Grants and Fees Public Defender Grants and Fees Recorder Storage and Retrieval School Superintendent Grants and Fees Sheriff Grants and Fees Solid Waste Superior Court Grants and Fees Taxpayer Information Fund Other Special Revenue Funds 110 111 112 113 114 115 116 117 118 119 120 121 122 123 124 125 126 127 128 129 130 131 132 133 134 Debt Service Fund County Improvement Districts – Debt Service 135 Coconino County Table of Contents Year Ended June 30, 2014 Financial Section (Continued) Page Capital Project Funds Parks and Open Spaces Tax Projects Fund Accommodation School County Improvement Districts - Capital Projects Other Capital Projects Funds Investment Trust Funds Combining Statement of Fiduciary Net Position – Investment Trust Funds Combining Statement of Changes in Fiduciary Net Position – Investment Trust Funds Agency Fund Statement of Changes in Assets and Liabilities – Agency Fund 136 137 138 139 140 141 142 Statistical Section Financial Trends Net Position By Component Changes in Net Position Fund Balances - Governmental Funds Changes in Fund Balances – Governmental Funds 147 148 150 151 Revenue Capacity Assessed Value and Estimated Market Value of Taxable Property Direct and Overlapping Property Tax Rates Principal Property Tax Payers Property Tax Levies and Collections 152 153 154 155 Debt Capacity Ratios of Outstanding Debt By Type Legal Debt Margin Pledged Revenue Coverage 156 157 158 Demographic and Economic Information Demographic and Economic Statistics Principal Employers 159 161 Operating Information Full-Time Equivalent Employees By Function Operating Indicators By Function/Program Capital Asset and Infrastructure Statistics By Function 162 164 166 THIS PAGE BLANK INTRODUCTORY SECTION 1 THIS PAGE BLANK 2 3 4 5 6 7 8 9 10 COCONINO COUNTY Organizational Chart CITIZENS OF COCONINO COUNTY JUDICIARY SUPERIOR COURT Court Administration Division I Division II Division III/Drug Court Division IV Division V Division VI Clerk of Superior Court Adult Probation JUVENILE COURT Juvenile Division Juvenile Probation JUSTICE COURTS Court Administration Flagstaff Fredonia Page Williams CONSTABLE BOARD OF SUPERVISORS Districts 1 2 3 4 5 CLERK OF THE BOARD Board Assistants COUNTY MANAGER DEPUTY COUNTY MANAGER DEPUTY COUNTY MANAGER Public Defender Legal Defender Parks and Recreation Public Works Community Development ELECTED OFFICIALS Assessor Treasurer Attorney Recorder Sheriff Superintendent of Schools Governmental Relations Public Information Liaison to Elected Offices Facilities Management Information Technology Career Center Public Health Services District Human Resources Finance Community Services Organizational Development 11 COCONINO COUNTY County Officials BOARD OF SUPERVISORS District 1 ................................................................................................................................................................. Art Babbott District 2 .............................................................................................................................................. Elizabeth C. Archuleta District 3 ....................................................................................................................................Matthew G. Ryan, Chairman District 4 ........................................................................................................................... Mandy Metzger, Vice Chairperson District 5 ............................................................................................................................................................... Lena Fowler County Manager ................................................................................................................................... Cynthia Seelhammer Deputy County Manager ............................................................................................................................ Larry Dannenfeldt Deputy County Manager ................................................................................................................................ Mike Townsend Clerk of the Board ......................................................................................................................................... Wendy Escoffier ELECTED OFFICIALS Clerk of the Superior Court .............................................................................................................................. Debbie Young Constable ....................................................................................................................................................... Linda Kuczynski County Assessor ................................................................................................................................................... Chris Mazon County Attorney ................................................................................................................................................David Rozema County Recorder ................................................................................................................................................ Patty Hansen County Sheriff ................................................................................................................................................... William Pribil County Superintendent of Schools ............................................................................................................. Risha VanderWey County Treasurer .............................................................................................................................................. Sarah Benatar Justice of the Peace Flagstaff ............................................................................................................. Howard Grodman Fredonia ................................................................................................................... Mark R. Baron Page .................................................................................................................... Donald G. Roberts Williams .............................................................................................................. Robert Krombeen Superior Court Division I ............................................................................................................... Jacqueline Hatch Division II .................................................................................................................... Dan Slayton Division III/Drug Court ................................................................ Mark Moran, Presiding Judge Division IV ................................................................................................. Elaine Fridlund-Horne Division V ................................................................................................. Cathleen Brown Nichols Division VI .................................................................................... Ted Reed, Judge Pro Tempore APPOINTED DEPARTMENT HEADS Adult Probation (Chief Probation Officer) .......................................................................................................... Cindy Winn Career Center......................................................................................................................................................... Carol Curtis Community Development ..............................................................................................................................Jay Christelman Community Services .......................................................................................................................................... Janet Regner Court Administrator......................................................................................................................................... Gary Krcmarik Facilities Management ........................................................................................................................................ Susan Brown Public Health Services District ........................................................................................................................ Marie Peoples Human Resources ............................................................................................................................................ Allison Eckert Finance ................................................................................................................................................................. Bonny Lynn Information Technology ............................................................................................................................... Kristopher Estes Juvenile Court Services .................................................................................................................................. Bryon Matsuda Legal Defender ............................................................................................................................................. Gary Pearlmutter Parks and Recreation ............................................................................................................................................ Judy Weiss Public Defender ........................................................................................................................................... H. Allen Gerhardt Public Works ..............................................................................................................................................Andrew Bertelsen Superior Court Juvenile Court Judge/Commissioner ....................................................................... Margaret McCullough 12 FINANCIAL SECTION 13 THIS PAGE BLANK 14 Independent Auditors’ Report Members of the Arizona State Legislature The Board of Supervisors of Coconino County, Arizona Report on the Financial Statements We have audited the accompanying financial statements of the governmental activities, each major fund, and aggregate remaining fund information of Coconino County as of and for the year ended June 30, 2014, 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 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. 2910 NORTH 44 th STREET • SUITE 410 • PHOENIX, ARIZONA 85018 • (602) 553-0333 • FAX (602) 553-0051 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, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, each major fund, and aggregate remaining fund information of Coconino County as of June 30, 2014, 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, 2014, the County adopted new accounting guidance, Governmental Accounting Standards Board Statement No. 65, Items Previously Reported as Assets and Liabilities. 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 21 through 32, the Budgetary Comparison Schedules on pages 82 through 88, and the Schedule of Agent Retirement Plan’s and Coconino County Postemployment Healthcare Plan’s Funding Progress on page 89 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 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. 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 the responsibility of management 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. In our opinion, 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 received by the County pursuant to Arizona Revised Statutes Title 28, Chapter 18, Article 2, and any other dedicated state transportation revenues received by the County 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 January 30, 2015 THIS PAGE BLANK 18 MANAGEMENT’S DISCUSSION AND ANALYSIS (MD&A) (REQUIRED SUPPLEMENTARY INFORMATION) 19 THIS PAGE BLANK 20 Coconino County Management’s Discussion and Analysis June 30, 2014 Our discussion and analysis of the County’s financial performance provides an overview of the County’s financial activities for the year ended June 30, 2014. Please read it in conjunction with the transmittal letter on pages 3-10 and the County’s basic financial statements, which follow this section. FINANCIAL HIGHLIGHTS FOR FISCAL YEAR 2014 • • • • • The assets of the County exceeded its liabilities at the close of fiscal year 2014 by $233.61 million (net position). Of these $18.59 million (unrestricted net position) may be used to meet the government's ongoing obligations to citizens and creditors. The increase in the County’s net position was $1.74 million in fiscal year 2014. At the close of fiscal year 2014, the County’s governmental funds reported combined ending fund balances of $96.20 million, an increase of $3.46 million. The General Fund reported an unassigned fund balance of $26.64 million at the close of fiscal year 2014, a decrease of $2.54 million. The primary reason for this decrease was funds were assigned to capital repair and replacement for future use. The County continued to expend significant resources for response and mitigation efforts as a result of the flooding caused by the fiscal year 2010 Schultz fire. A new devastating wildfire, the Slide Fire, began in Oak Creek Canyon on May 20, 2014. It burned more than 21,000 acres and created the potential for severe flooding within Oak Creek and West Fork Canyons. Over $10 million was expended in fiscal year 2014. In fiscal year 2014, $4.7 million in state and federal grants were received to address these issues. The financial impact of flooding due to the Slide Fire will continue to impact County resources in fiscal year 2015 and beyond. 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 are comprised of three components: 1. 2. 3. Government-wide financial statements, Fund financial statements, and Notes to the financial statements. This report also contains other required supplementary information in addition to the basic financial statements. 21 Coconino County Management’s Discussion and Analysis June 30, 2014 Government-wide Financial Statements The government-wide financial statements are designed to provide readers with a broad overview of the County’s finances, in a manner similar to a private sector business. One of the most important questions asked about the County’s finances is, “Is the County as a whole better off or worse off as a result of this year’s activities?” The Statement of Net Position and the Statement of Activities report information about the County as a whole and about its activities in a way that helps answer this question. These statements include all non-fiduciary assets and liabilities using the accrual basis of accounting. The Statement of Net Position presents information on all of the County’s assets and liabilities, with the difference between the two reported as “net position”. Over time, increases and decreases in net position are one indicator of whether the County’s financial condition is improving or deteriorating. In addition to this change, other non-financial factors will need to be considered. The Statement of Activities presents information showing how the County’s net position changed during the most recent fiscal year. All changes in net position are reported as soon as the underlying events giving rise to the change occur, regardless of the timing of related cash flow. Therefore, revenues and expenses are reported in these statements for some items that will result in cash flows in future fiscal periods, such as revenues pertaining to uncollected taxes, and expenses pertaining to earned but unused vacation and sick leave. All of the County’s basic services are considered to be governmental activities, including general government, health, welfare, public safety, highways and streets, culture and recreation, education and sanitation. Sales taxes, property taxes, intergovernmental revenues and user fees finance most of these activities. The government-wide financial statements can be found on pages 35-37 of this report. Fund Financial Statements The fund financial statements provide detailed information about the most significant County funds—not the County as a whole. A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. Some funds are required to be established by State law or by bond covenants. However, the Board of Supervisors establishes other funds to help control and manage money for particular purposes or to show that legal responsibilities are being achieved for using certain taxes, grants and other money. All of the County’s funds can be divided into three categories: governmental, proprietary and fiduciary. Governmental funds—Most of the County’s basic services are reported in governmental funds, which focus on near-term inflows and outflows of spendable resources and the balances of spendable resources available at year-end. These funds are reported using 22 Coconino County Management’s Discussion and Analysis June 30, 2014 modified accrual accounting, which measures cash and all other financial assets that can readily be converted to cash. The governmental fund statements provide a detailed, shortterm view of the County’s operations and the basic services it provides. Governmental fund information helps determine financial resources that can be spent in the near future to finance the County’s programs. Because the focus of the governmental funds is more narrow than that of the governmentwide statements, it is useful to compare the information presented for the governmental funds with similar information presented for the governmental activities in the governmentwide financial statements. Reconciliations between governmental activities, as reported in the Statement of Net Position and the Statement of Activities, and the governmental funds, as reported in the fund financial statements, is provided to facilitate this comparison. The County maintains numerous individual governmental funds. Information is presented separately in the governmental funds balance sheet and the governmental funds statement of revenues, expenditures, and changes in fund balances for the General Fund, Public Works/HURF Fund, Jail District Fund, Parks and Open Spaces Tax Projects Fund, Public Health Services District Fund and Flood Control District Fund, which are considered to be major funds. Data from the other nonmajor governmental funds are combined into a single aggregate presentation. The basic governmental fund financial statements can be found on pages 38-44 of this report. Proprietary funds—The County has one proprietary fund, an internal service fund, to report fleet service activities provided to the County’s other programs and activities. The County’s internal service fund only provides services to County departments, as such it is reported as a governmental activity in the Statement of Net Position and the Statement of Activities. The basic proprietary fund financial statements can be found on pages 45-47 of this report. Fiduciary funds—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 as the resources of those funds are not available to support the County’s programs. The basic fiduciary funds financial statements can be found on pages 48-49 of this report. Notes to the Financial Statements and Required Supplementary Information Notes to the financial statements—The notes to the financial statements provide additional information that is essential to the full understanding of the data provided in the government-wide and fund financial statements. The notes to the financial statements can be found on pages 50-79 of this report. Required supplementary information—In addition to the basic statements and accompanying notes, the report presents required supplementary information on the County’s budgeting and budgetary control and the County’s progress in funding its 23 Coconino County Management’s Discussion and Analysis June 30, 2014 obligation to provide pension and other postemployment benefits to its employees. Required supplementary information can be found on pages 82-89 of this report. GOVERNMENT-WIDE FINANCIAL ANALYSIS Statement of Net Position Net Position may serve over time as a useful indicator of a County’s financial position. The following table reflects the condensed Statement of Net Position of the County for June 30, 2014 compared to the prior year. Governmental Activities (in millions) Current and other assets Capital assets Total assets Current liabilities Long-term liabilities outstanding Total liabilities 2014 2013 $ 106.56 145.93 $ 105.73 146.43 252.49 252.16 7.47 9.58 11.41 10.71 18.88 20.29 145.48 145.56 69.54 63.56 18.59 $ 233.61 22.75 $ 231.87 Net position: Net investment in capital assets Restricted Unrestricted Total net position The County’s net position from governmental activities at the end of the fiscal year was $233.61 million. The net position was relatively flat with a small increase of $1.74 million as recorded in the Statement of Activities. Net investment in capital assets 62.27% of the County’s net position ($145.48 million) is net investment in capital assets (e.g. land, buildings, equipment, and infrastructure). These assets are used to provide services to citizens, but are not available for future spending. The County’s net investment in capital assets decreased by 0.05% ($80 thousand) in the current fiscal year. Restricted Net Position 29.77% of the County’s net position ($69.54 million) is subject to external restrictions on how they may be used. The County’s restricted net position increased by 9.41% ($5.98 million) in the current fiscal year due to additional assets restricted for capital projects. 24 Coconino County Management’s Discussion and Analysis June 30, 2014 Unrestricted Net Position The remaining balance of the County’s net position, 7.96% ($18.59 million), is unrestricted and may be used to meet the County’s ongoing obligations to citizens and creditors without constraints established by debt covenants or other legal requirements. Unrestricted net position decreased by 18.29% ($4.16 million) in the current fiscal year. The decrease was due to normal course of business activity. Statement of Activities The Statement of Activities presents information on how the County’s net position changed during the most current fiscal year. The following table reflects the condensed Statement of Activities of the County for the fiscal year 2014 compared to the prior year. 25 Coconino County Management’s Discussion and Analysis June 30, 2014 Governmental Activities (in millions) 2014 Revenues Program revenues: Charges for services Operating grants and contributions Capital grants and contributions Total program revenue General revenues: State shared revenue Sales taxes Property taxes Grants and contributions not restricted to specific programs Investment earnings Gain on disposal of capital assets Miscellaneous Total general revenue Total revenues Program Expenses General government Public safety Highways and streets Sanitation Health Welfare Culture and recreation Education Interest on long-term debt Total program expenses Change in net position Net position, beginning Net position, ending $ $ 2013 12.37 36.00 0.01 48.38 $ 12.81 36.15 0.00 48.96 22.25 27.75 19.23 21.67 26.45 20.24 2.62 1.42 0.45 0.07 73.79 122.17 1.90 (0.31) 0.04 0.18 70.17 119.13 29.99 42.12 14.06 1.61 13.74 4.93 6.60 7.33 0.05 120.43 1.74 231.87 233.61 32.05 37.61 15.96 2.10 12.20 6.64 7.06 5.94 0.07 119.63 (0.50) 232.37 $ 231.87 Overall program revenues decreased by 1.18% ($0.58 million) in the current fiscal year. This decrease was from a reduction of charges for services and reduction in grants. Charges for services decreased by 3.43% ($0.44 million) due to a decrease in the number of prisoners being housed for other governments in the County Jail and transition of the CREC program. Program expenses increased 0.67% ($0.80 million) in the current fiscal year. The 0.41% ($0.15 million) decrease in operating grants was from a decrease in funding received, compared to the prior year, for an AmeriCorps grant to fund Coconino Rural Environmental Conservation (CREC) corps projects. The CREC operation was transferred to Arizona Conservation Corps in January 2014. 26 Coconino County Management’s Discussion and Analysis June 30, 2014 Total Property taxes decreased by 4.99% ($1.01 million) as a result of decreased assessed valuations for secondary taxing districts for library, flood control and public health services combined with flat tax rates. State shared revenue increased 2.68% ($0.58 million) due in part to the moderate rebound in taxable sales at the state level, and can also be attributed to an additional “hold harmless” allocation based on assessed values in Coconino County representing a larger percentage of the total state assessed values that is greater than Coconino County’s percentage of the total state population. The current fiscal year investment earnings increase of 558.06% was due to positive earnings calculated as a percentage increase from the negative balance in fiscal year 2013 due to unrecognized capital losses in the prior fiscal year. Revenues by Source - Governmental Activities 2013/2014 Investment earnings 1.16% Property taxes 15.74% Unrestricted grants and contributions 2.15% Charges for services 10.13% Capital grants and contributions 0.01% Miscellaneous 0.05% Sales taxes 22.72% State shared revenue 18.21% Gain on disposal of capital assets 0.37% Operating grants and contributions 29.47% Public Safety expenses increased 11.99% in the current fiscal year due to increased expenditures for response to Slide Fire flooding and flood mitigation projects. Health expenses increased 12.62% due to increased costs related to the contracted services to provide Title 36 assessments and related court ordered behavioral health treatment. Education expenses increased 23.40% as a result of increased grant funding. 27 Coconino County Management’s Discussion and Analysis June 30, 2014 As shown in the “Revenues by Source for Governmental Activities” chart and “Program Revenues and Expenses for Governmental Activities” chart, for governmental activities overall, without regard to program, operating grants and contributions are the largest single source of funds (29.47%), followed by sales tax (22.72%), and State shared revenue (18.21%). Public safety is the largest function in expense ($42.12 million), followed by general government ($29.99 million), highways and streets ($14.06 million) and public health services ($13.74 million). The County uses credit cards to pay certain vendors for goods and services and for employee travel expenses. The County received a financial consideration resulting from credit card payments for the year ending June 30, 2014 in the amount of $61,634. FINANCIAL ANALYSIS OF THE COUNTY’S FUNDS The County reported six major funds for this fiscal year – General Fund, Public Works/HURF, Jail District, Public Health Services District, Parks and Open Spaces Tax Projects and Flood Control District. At year-end the County’s governmental funds reported combined fund balances of $96.20 million, which is an increase of $3.46 million from last 28 Coconino County Management’s Discussion and Analysis June 30, 2014 year, or an increase of 3.73%. Of the total, $94.50 million (98.24%) constitutes spendable fund balance. Revenues and expenditures for governmental functions overall increased by 1.29% and 0.10%, respectively. These increases were the result of revenues and expenditures related to mitigation projects for catastrophic flooding events. Governmental fund revenues exceeded governmental fund expenditures by $2.96 million in the current fiscal year and the fund balance increased by $3.46 million. The General Fund is the County’s primary operating fund. At the end of the current fiscal year the spendable fund balance of the General Fund was $26.66 million. Spendable fund balance represents 94.48% of the General Fund’s total fund balance. The General Fund’s fund balance decreased by $2.51 million. The Public Works/HURF Fund’s fund balance increased by $1.85 million in the current fiscal year. The increase was from revenues exceeding expenditures, partially due to a very mild winter resulting in much lower expenditure for snow removal. A fiscal year 2014 Board approved transfer from HURF to Flood Control District for flood mitigation work, in the amount of $1.96 million, was not completed until fiscal year 2015. The transfer will be reflected in fiscal year 2015. The Flood Control District Fund’s fund balance decreased by $3.81 million due to decreased property taxes as a result of decreased assessed values within the district. The Jail District Fund’s fund balance increased by $2.49 million in the current fiscal year. The fund balance was budgeted to increase by $1.02 million. It increased primarily due to operating expenditures below budget, including vacancy savings. The Parks and Open Spaces Tax Projects Fund’s fund balance increased by $3.05 million in the current fiscal year. This increase was due to the timing of planned land purchases through Arizona State Land Department auction, which will occur in fiscal year 2015, and a slight decrease in the use of funds for parks and open space projects in the current year. The Public Health Services District Fund’s fund balance decreased by $0.26 million in the current fiscal year. The change in fund balance was primarily from the increased cost of the Title 36 services contract and the decrease in property taxes. General Fund Budgetary Highlights • The final budgeted expenditures for the General Fund at year-end were $1.21 million more than the original adopted budget. This change was primarily due to budget adjustments for construction programs ($832 thousand), General Election 2014 ballot printing ($142 thousand), health insurance premium increase ($20 thousand), and various smaller projects. 29 Coconino County Management’s Discussion and Analysis June 30, 2014 • • For the General Fund, actual expenditures were $26.02 million less than the final budget. The expenditures variance was primarily unexpended contingency funds and fiscal reserves. The final budgeted revenues for the General Fund at year-end were $796 thousand more than the original adopted budget. For the General Fund, actual revenues fell short of the final budget by $441 thousand. The decrease was primarily due to significant decreases in intergovernmental revenues, including a federal grant revertment for the Southwest Border Patrol in the amount of $849,211. Capital Assets and Debt Administration Capital Assets During the current fiscal year, the County added $345 thousand to the County’s buildings and other improvements inventory, reduced the County’s machinery and equipment inventory by $816 thousand, and added $4.32 million to the County’s infrastructure inventory. The County’s overall estimated value of capital asset inventory decreased $0.50 million net of increases in depreciation. See Note 4 to the financial statements found on page 64 of this report. The following table reflects the changes in capital assets for the County for the fiscal year 2014 compared to fiscal year 2013. Governmental Activities (net of depreciation) (in millions) Land Buildings and other improvements Machinery and equipment Infrastructure Construction in progress Total 2014 2013 $ 39.27 52.33 4.92 44.37 5.04 $ 145.93 $ 39.27 54.33 5.32 43.20 4.30 $ 146.42 Long-term Debt At the end of the current fiscal year the County has $0.45 million in special assessment debt outstanding and has retired all outstanding revenue bonds with the final payment in fiscal year 2013. There were no new bond issues in the current year. The long-term liability for future postemployment health benefit (OPEB) liability has increased by $0.82 million to $5.43 million in the current year. This change is the result of $0.95 million in additional annual OPEB cost and only $0.13 million in actual contributions made during fiscal year 2014. 30 Coconino County Management’s Discussion and Analysis June 30, 2014 ECONOMIC FACTORS AND NEXT YEAR’S BUDGETS The County utilizes a Ten-Year Financial Plan, which is updated quarterly, to forecast the County’s financial future. The largest single revenue source is local and State shared sales taxes. Local and State shared sales taxes constitute approximately 42% of the County’s government-wide general revenues and approximately 60% of General Fund revenues. This makes the County’s revenues sensitive to both improvements and downturns in the economy. County staff incorporated historical financial trends, and local, national and global economic trends into the County’s fiscal 2014 budget. State shared sales tax and County sales tax revenues stabilized in fiscal year 2012 and now are near or above fiscal year 2007 levels; State shared sales tax exceeds the fiscal year 2007 level by 5.2% and County sales tax is 0.9% below the fiscal year 2007 level. The key elements of the fiscal year 2015 budget are based on the assumption that economic recovery began in fiscal year 2011, and we are now showing recovery in our state revenues. We do continue to see lower levels in our federal and state grant revenue, and uncertainty in federal PILT and SRS. We established the following Financial Planning Milestones in the fiscal year 2015 budget: • Align “high probability of receipt” revenue types with recurring expenditures. • Allocate budgeted receipts above recessionary revenue levels to one-time or nonmission-critical expenditures. • Plan adequate reserves for revenue smoothing and an emergency reserve, to allow for unknown and unplanned events. • Provide adequate compensation to retain trained and experienced staff, who will efficiently and effectively deliver services. • Strategically plan for long-term facility and technology resources to have appropriate work space and tools available for staff. In developing the fiscal year 2015 budget, major areas of concern were: • Impacts from the State shifting costs to the County, while reducing County revenue allocations to subsidize the State budget deficit. • Potential reductions in Federal funding, particularly the loss of Secure Rural Schools funding (previously known as Forest Fees), a major source of funding for schools and roads. • The impact of road maintenance costs in light of reduced federal and state funding, and the unknown outcome of a ballot initiative to raise 3/10th of a cent in County sales tax directed to road maintenance and transportation costs, scheduled for November 5, 2014. • The commitment to our employees in the form of appropriate compensation to the extent possible and avoiding the cost of increased turnover which decreases efficiency. • Continuing increases in pension costs that further constrict limited resources. 31 Coconino County Management’s Discussion and Analysis June 30, 2014 • Focus on holding health insurance costs well below national averages by expanding participation in the successful wellness program for employees, while considering other best practices. The County’s financial planning is based on realistic revenue estimates and the use of a strategic planning process to focus the expenditure of limited resources on meeting the current and future needs of its citizens, including the level of recurring costs that may be maintained during a recession. REQUESTS 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 show the County’s accountability for the money it receives. If you have questions about this report or need additional financial information, contact the County’s Finance Department, Coconino County, 219 East Cherry Avenue, Flagstaff, Arizona 86001. 32 BASIC FINANCIAL STATEMENTS 33 THIS PAGE BLANK 34 Coconino County Statement of Net Position June 30, 2014 Governmental Activities Assets Cash and cash equivalents Investments Cash and investments held by trustee Receivables (net of allowances for uncollectibles): Property taxes Accounts Special assessments Jail district sales tax Accrued interest Due from other governments Inventories Prepaid items Capital assets, not being depreciated Capital assets, being depreciated, net Total assets $ 85,959,502 576,881 26,231 562,263 380,831 254,924 2,345,257 131,147 15,791,257 283,574 247,257 44,314,853 101,616,268 252,490,245 Liabilities Accounts payable Accrued payroll and employee benefits Due to other governments Deposits held for others Unearned revenues Noncurrent liabilities Due within 1 year Due in more than 1 year Total liabilities 4,802,198 2,059,983 439,229 96,175 74,118 3,604,640 7,804,026 18,880,369 Net Position Net investment in capital assets Restricted for: General government Public safety Highways and streets Sanitation Health Welfare Culture and recreation Education Debt service Capital projects Unrestricted Total net position 145,480,845 $ The accompanying notes are an integral part of these basic financial statements. 35 3,154,585 17,076,997 25,321,767 1,585,594 2,046,635 142,336 778,874 1,502,226 501,142 17,427,090 18,591,785 233,609,876 THIS PAGE BLANK 36 Coconino County Statement of Activities Year Ended June 30, 2014 Net (Expenses) Revenues and Changes in Net Position Program Revenues Expenses Functions/Programs Primary government: Governmental activities: General government Public safety Highways and streets Sanitation Health Welfare Culture and recreation Education Interest on long-term debt Total governmental activities $ $ 29,994,545 42,122,131 14,058,678 1,611,107 13,735,528 4,932,758 6,594,783 7,332,953 46,622 120,429,105 $ $ Operating Capital Charges for Grants and Grants and Services Contributions Contributions 4,868,512 2,937,416 54,445 1,342,276 1,353,915 795,045 838,718 183,275 $ 12,373,602 $ 351,686 9,905,372 12,368,446 264,408 3,497,116 2,112,575 121,205 7,378,553 35,999,361 $ Total $ 13,510 707 $ 14,217 $ (24,774,347) (29,279,343) (1,622,277) (3,716) (8,884,497) (2,025,138) (5,634,860) 228,875 (46,622) (72,041,925) General revenues Taxes: Property taxes, levied for general purposes 9,040,033 Property taxes, levied for library 3,906,545 Property taxes, levied for flood control 2,462,802 Property taxes, levied for accommodation school (18) Property taxes, levied for health services 3,816,050 General county sales tax 12,271,635 Jail district sales tax 12,270,130 Parks and open spaces sales tax 3,065,409 Excise tax 83,589 Franchise tax 58,608 Shared revenue - state sales tax 19,067,396 Shared revenue - state vehicle license tax 3,180,936 Grants and contributions not restricted to specific programs 2,616,490 Investment earnings 1,420,929 Gain on disposal of capital assets 453,292 Miscellaneous 66,527 Total general revenues 73,780,353 Change in net position 1,738,428 Net position, July 1, 2013 Net position, June 30, 2014 231,871,448 233,609,876 $ The accompanying notes are an integral part of these basic financial statements. 37 Coconino County Balance Sheet Governmental Funds June 30, 2014 Assets Cash and cash equivalents Investments Cash and investments held by trustee Receivables (net of allowances for uncollectibles): Property taxes Accounts Special assessments Jail district sales tax Accrued interest Advances to other funds Due from: Other funds Other governments Inventories Prepaid items Total assets General Fund Public Works/HURF Fund Jail District Fund $ 23,208,172 $ 16,865,383 $ 14,118,240 244,560 66,004 41,767 18,953 31,374 1,448,262 27,857 2,345,257 21,905 1,681,266 6,659,784 343 107,764 $ 33,447,529 2,410,489 1,907,695 145,643 329,561 $ 21,253,191 2,307 $ 16,981,866 $ $ Liabilities, Deferred Inflows of Resources, and Fund Balances Liabilities: Accounts payable $ 914,790 Accrued payroll and employee benefits 1,109,533 Advances from other funds Due to: Other funds 2,754,466 Other governments 137,229 Deposits held for others 21,723 Unearned revenue 67,118 Total liabilities 5,004,859 Deferred Inflows of Resources Unavailable revenue - property taxes Unavailable revenue - special assessments Unavailable revenue - intergovernmental Unavailable revenue - charges for services Unavailable revenue - other Total deferred inflows of resources 118,550 125,998 390,075 210,056 327,617 64,237 33,302 359,942 50,978 669,704 1,011,051 198,512 230,894 29,472 227,984 Fund balances: Nonspendable Restricted Unassigned Total fund balances Total liabilities, deferred inflows of resources, and fund balances 1,556,369 15,000 26,643,317 28,214,686 $ 33,447,529 The accompanying notes are an integral part of these basic financial statements. 38 230,894 100 100 20,352,593 2,307 15,968,408 20,352,593 15,970,715 $ 21,253,191 $ 16,981,866 Public Health Services District Fund Flood Control District Fund $ $ 115,863 36,929 Parks and Open Spaces Tax Projects Fund $ 1,296,754 1,027,341 $ 66,311 2,544,428 224,454 154,125 1,615 3,436,003 $ $ $ 85,103,454 576,881 26,231 121,464 198,731 254,924 562,263 362,384 254,924 2,345,257 129,868 1,537,888 18,750 3,536,744 2,183,788 5,444 1,000,000 $ $ 27,664 89,626 741 591,333 1,558,007 1,839,540 125 14,089,910 52,000 $ 22,178,854 7,094,515 15,791,257 343 247,257 $ 114,032,522 $ $ 15,799 2,719 1,998,042 497,793 5,187,274 94,460 56,235 269,042 327,863 5,496 363,502 384,098 5,496 66,311 1,616,822 18,750 125 14,065,771 2,544,428 $ 17,433,786 576,881 26,231 19,838 114,783 4,431 18,518 (2,053,378) (2,034,628) 1,683,133 $ Total Governmental Funds 80,376 1,230 $ 13,477,873 Nonmajor Governmental Funds $ 3,536,744 14,065,896 $ 14,089,910 39 760,762 224,708 537,888 4,608,218 1,832,583 1,537,888 1,939,017 182,354 41,150 7,000 3,692,879 7,493,867 439,229 96,175 74,118 16,082,078 99,599 259,521 151,974 29,880 448,806 259,521 985,269 29,880 29,572 1,753,048 540,974 52,000 17,917,418 (24,417) 17,945,001 $ 22,178,854 1,695,862 69,936,012 24,565,522 96,197,396 $ 114,032,522 THIS PAGE BLANK 40 Coconino County Reconciliation of the Balance Sheet of Governmental Funds to the Statement of Net Position June 30, 2014 Fund balances − total governmental funds $ 96,197,396 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. 145,043,329 Some receivables are not available to pay for current-period expenditures and, therefore, are reported as unavailable revenue in the funds. 1,753,048 Internal service funds are used by management to charge the costs of certain activities, such as automotive maintenance, to individual funds. The assets and liabilities of the internal service fund are included in governmental activities in the Statement of Net Position 2,024,769 Some liabilities, including bonds payable, compensated absences payable, and claims and judgments payable, are not due and payable in the current period and, therefore, are not reported in the funds. (11,408,666) Net position of governmental activities $233,609,876 The accompanying notes are an integral part of these basic financial statements. 41 Coconino County Statement of Revenues, Expenditures, and Changes in Fund Balances Governmental Funds Year Ended June 30, 2014 Revenues: Property taxes County sales taxes Special assessments Licenses and permits Fees, fines, and forfeits Intergovernmental Charges for services Investment earnings Contributions Miscellaneous Total revenues General Fund Public Works/HURF Fund $ $ 9,035,224 12,414,247 787,213 1,180,544 24,930,607 1,702,556 539,519 200,426 129,083 50,919,419 Expenditures: Current: General government Public safety Highways and streets Sanitation Health Welfare Culture and recreation Education Capital outlay Debt service: Principal Interest and other charges Total expenditures 26,229,041 12,989,934 496,652 Jail District Fund $ 12,270,130 16,565 10,223,742 5,412 338,395 9,559 10,593,673 1,271,436 233,585 8,500 1,867 13,785,518 13,740,009 10,383,109 2,183 998,090 1,399,126 476,704 42,591,730 10,383,109 13,740,009 Excess (deficiency) of revenues over expenditures 8,327,689 210,564 45,509 Other financing sources (uses): Sale of capital assets Transfers in Transfers out Total other financing sources (uses) 397,278 313,757 (11,550,328) (10,839,293) 88,340 1,717,407 (162,089) 1,643,658 2,501,421 (53,629) 2,447,792 (2,511,604) 1,854,222 2,493,301 18,498,371 $ 20,352,593 13,477,414 $ 15,970,715 Net change in fund balances Fund balances, July 1, 2013 Fund balances, June 30, 2014 30,726,290 $ 28,214,686 The accompanying notes are an integral part of these basic financial statements. 42 Public Health Services District Fund $ 3,831,665 210 Flood Control District Fund $ 2,475,850 779,437 2,000 3,606,735 548,935 26,476 132,779 41,019 8,967,256 4,659,166 669,841 11,009,146 Parks and Open Spaces Tax Projects Fund Other Governmental Funds Total Governmental Funds $ $ $ 19,255,927 27,750,211 232,948 1,585,215 1,890,338 60,355,793 7,744,563 1,713,752 658,818 531,987 121,719,552 50,325 10,374 3,065,409 3,913,188 215 232,948 213,238 709,794 16,935,543 4,216,224 312,214 306,739 350,259 26,977,124 200 3,278,847 7,197,715 2,878,473 6,642,052 69,954 1,413,555 232,609 3,807,248 4,354,989 6,699,549 147,146 29,107,514 45,050,982 10,949,715 1,413,555 13,528,580 4,936,174 5,754,115 7,176,253 379,755 232,609 415,808 46,622 26,475,396 415,808 46,622 118,759,073 3,046,238 501,728 2,960,479 13,526,397 130,836 14,327,074 11,009,146 (5,359,818) (3,811,431) 16,952 4,551,317 (2,419,833) 2,148,436 502,570 14,188,062 (14,188,062) 502,570 3,046,238 2,650,164 3,463,049 11,019,658 14,065,896 15,294,837 $ 17,945,001 92,734,347 $ 96,197,396 5,104,160 (2,183) 5,101,977 (257,841) $ 1,940,974 1,683,133 (3,811,431) $ 1,776,803 (2,034,628) $ 43 Coconino County Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of the Governmental Funds to the Statement of Activities Year Ended June 30, 2014 Net change in fund balances − total governmental funds $ 3,463,049 Amounts reported for governmental activities in the Statement of Activities 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. Capital outlay Depreciation expense 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 the governmental funds. Increase in compensated absences Increase in claims and judgments Increase in future postemployment health benefits 6,159,792 (6,780,149) (620,357) (149,952) (152,658) (816,101) (1,118,711) Debt proceeds provide current financial resources to governmental funds, but issuing debt increases long-term liabilities in the Statement of Net Position. Repayment of debt principal is an expenditure in the governmental funds, but the repayment reduces long-term liabilities in the Statement of Net Position. Principal repaid 415,808 The sale of capital assets in the governmental funds reflects proceeds. However, in the Statement of Activities the sale of capital assets reflect the net gain (loss). Sale of capital assets (127,213) Revenues in the Statement of Activities that do not provide current financial resources are not reported in the funds. 2,965 Internal service funds are used by management to charge the costs of certain activities, such as automotive maintenance, to individual funds. The activities of the internal service fund is reported with governmental activities. Change in net position of governmental activities (277,113) $ The accompanying notes are an integral part of these basic financial statements. 44 1,738,428 Coconino County Statement of Net Position Proprietary Fund June 30, 2014 Governmental Activities Internal Service Fund Assets Current assets: Cash and cash equivalents Receivables (net of allowances for uncollectibles): Accounts Accrued interest Due from other funds Inventories Total current assets $ 856,048 18,447 1,279 402,500 283,231 1,561,505 Noncurrent assets: Capital assets, net of accumulated depreciation: Buildings, net Equipment, net Capital assets, net Total noncurrent assets 48,316 839,476 887,792 887,792 Total assets 2,449,297 Liabilities Current liabilities: Accounts payable Accrued payroll and employee benefits Due to other funds Total current liabilities 193,980 227,400 3,148 424,528 Total liabilities Net Position Net investment in capital assets Unrestricted Total net position 424,528 $ The accompanying notes are an integral part of these basic financial statements. 45 887,792 1,136,977 2,024,769 Coconino County Statement of Revenues, Expenses, and Changes in Fund Net Position Proprietary Fund Year Ended June 30, 2014 Governmental Activities Internal Service Fund Operating revenues: Charges for services Total operating revenues $ Operating expenses: Personal services Professional services Supplies Utilities Repairs and maintenance Travel Depreciation Total operating expenses 2,733,931 2,733,931 837,345 49,155 1,731,646 17,657 251,857 1,413 221,219 3,110,292 Operating Loss (376,361) Nonoperating revenues: Investment earnings Gain on disposal of capital assets Total nonoperating revenues 21,313 77,935 99,248 Decrease in net position (277,113) Total net position, July 1, 2013 2,301,882 Total net position, June 30, 2014 $ The accompanying notes are an integral part of these basic financial statements. 46 2,024,769 Coconino County Statement of Cash Flows Proprietary Fund Year Ended June 30, 2014 Governmental Activities- Internal Service Fund Cash flows from operating activities: Receipts from other funds for services provided Payments to suppliers and providers of goods and services Payments to employees Net cash used for operating activities $ 2,657,626 (1,965,874) (726,655) (34,903) Cash flows from capital and related financing activities: Proceeds from sale of capital assets Purchases of capital assets Net cash used for capital and related financing activities 88,634 (485,266) (396,632) Cash flows from investing activities: Interest received on investments Net decrease in fair value of investments Net cash provided by investing activities 24,537 (2,413) 22,124 Net decrease in cash and cash equivalents (409,411) Cash and cash equivalents, July 1, 2013 1,265,459 Cash and cash equivalents, June 30, 2014 Reconciliation of operating loss to net cash used for operating activities Operating loss Adjustments to reconcile operating loss to net cash used for operating activities: Depreciation Changes in assets and liabilities: Increase in: Due from other funds Accounts payable Accrued payroll and employee benefits Decrease in: Accounts receivable Inventories Due to other funds Net cash used for operating activities The accompanying notes are an integral part of these basic financial statements. 47 $ 856,048 $ (376,361) 221,219 (42,542) 73,382 112,103 $ 18,394 11,059 (52,157) (34,903) Coconino County Statement of Fiduciary Net Position Fiduciary Funds June 30, 2014 Investment Trust Funds Assets Cash and cash equivalents Cash and investments held by trustee Interest and dividends receivable Total assets Liabilities Deposits held for others Due to other governments Total liabilities Net Position Held in trust for investment trust participants $ 108,537,803 $ 1,938,582 1,141,351 $ 173,120 108,710,923 $ 3,079,933 $ $ $ $ 2,858,403 221,530 3,079,933 $ The accompanying notes are an integral part of these basic financial statements. 48 Agency Funds 108,710,923 $ Coconino County Statement of Changes in Fiduciary Net Position Fiduciary Funds Year Ended June 30, 2014 Investment Trust Funds Additions: Contribution from participants Investment earnings: Interest and dividends Net increase in fair value of investments Total investment earnings Total additions $ 307,981,272 936,212 1,220,145 2,156,357 310,137,629 Deductions: Distributions to participants Total deductions 316,448,645 316,448,645 Change in net position (6,311,016) Net position, July 1, 2013 115,021,939 Net position, June 30, 2014 $ The accompanying notes are an integral part of these basic financial statements. 49 108,710,923 Coconino County Notes to Financial Statements June 30, 2014 NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Coconino 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, 2014, the County implemented the provisions of GASB Statement No. 65, Items Previously Reported as Assets and Liabilities. GASB Statement No. 65 reclassifies certain items that were previously reported as assets and liabilities as deferred outflows of resources or deferred inflows of resources and recognizes certain other items that were previously reported as assets and liabilities as revenues or expenses. A. Reporting Entity The 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 component unit discussed below has a June 30 year-end. The County has no discretely presented component units. 50 Coconino County Notes to Financial Statements June 30, 2014 The following table describes the County’s component units: Component Unit Description; Criteria for Inclusion Reporting Method For Separate Financial Statements Coconino County Flood Control District A tax-levying district that Blended provides flood control systems; the County’s Board of Supervisors serves as the board of directors Not available Coconino County Library District Provides and maintains library Blended services for the County’s residents; the County’s Board of Supervisors serves as the board of directors Not available Coconino County Special Assessment Districts Constructs or improves roads, Blended sidewalks, curbs and gutters, and irrigation systems within the County; the County’s Board of Supervisors serves as the board of directors Not available Coconino County Street Lighting Districts Operates and maintains street Blended lighting in areas outside local city jurisdictions; the County’s Board of Supervisors serves as the board of directors Not available Coconino County Jail District A tax-levying district that Blended acquires, constructs, operates, maintains, and finances county jails and jail systems; the County’s Board of Supervisors serves as the board of directors Not available Public Health Services District A tax-levying district that Blended provides and maintains health services for the County’s residents; the County’s Board of Supervisors serves as the board of directors Not available 51 Coconino County Notes to Financial Statements June 30, 2014 Related Organization: The Industrial Development Authority of Coconino County (Authority) is a legally separate entity that was created to assist in the financing of commercial activities, including a health care institution, residential real property for dwelling units located within the County, and industrial park facilities. The Authority fulfills its function through the issuance of tax exempt 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. Therefore, the financial activities of the Authority have not been included in the accompanying financial statements. 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 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 financial activities of the overall government, except for fiduciary activities. Governmental activities generally are financed through taxes and intergovernmental revenues. A statement of activities presents a comparison between direct expenses and program revenues for each function of the County’s governmental 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. Revenues that are not classified as program revenues, including internally dedicated resources 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 the prices approximate their external exchange values. 52 Coconino County Notes to Financial Statements June 30, 2014 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 funds, each displayed in a separate column. All remaining governmental funds are aggregated and reported as nonmajor funds. 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 operating revenues. Other revenues, such as investment earnings, result from transactions in which the parties do not exchange equal values and are considered nonoperating revenues along with revenues generated by ancillary activities. 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 Public Works/HURF Fund is a special revenue fund used to account for highway user fees restricted to the construction, repair, and maintenance of county roads that are funded primarily by a State-shared fuel tax. The Jail District Fund is a special revenue fund used to account for jail operations and jail capital improvements that are funded by a one-half cent sales tax. The Public Health Services District Fund is a special revenue fund used to account for health services for County residents that are funded by a $0.2500 per $100 of assessed valuation property tax. The Flood Control District Fund is a special revenue fund used to account for flood control services that are funded by a $0.4000 per $100 of assessed valuation property tax. The Parks and Open Spaces Tax Projects Fund is a capital projects fund (reported as a special revenue fund prior to fiscal year 2013) used to account for parks and open space acquisitions and improvements that are funded by collections from a one-eighth cent sales tax and grants. 53 Coconino County Notes to Financial Statements June 30, 2014 The County also reports the following fund types: The internal service fund accounts for automotive maintenance and operation provided to the County’s departments or to other governments on a cost-reimbursement basis. The investment trust funds account for pooled and non-pooled assets held and invested by the County Treasurer on behalf of other governmental entities. The agency fund accounts for assets held by the County as an agent for the State and various local governments, and for property taxes collected and distributed to the State, local school districts, community college districts, and special districts. 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 the provider imposed 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 resources available to finance the program. The County applies grant resources to such programs before using general revenues. 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. Tax revenues collected within 60 days after year-end are accrued as the County had a claim to those revenues at year-end. Other revenues, including grants from federal and state governments, are considered available if collected within 90 days if the County has a claim to the revenues, and the amount is measurable and available to pay liabilities of the current period. The County’s major revenue sources that are subject to accrual are state-shared sales taxes and fuel taxes, county sales taxes, property taxes, and grants from the federal and state governments. Expenditures are recorded when the related fund liability is incurred, except for principal and interest on general long-term debt, 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. Issuances of general 54 Coconino County Notes to Financial Statements June 30, 2014 long-term debt 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 on deposit with the County Treasurer, highly liquid investments with a maturity of three months or less when purchased, and investments that may be called by the Treasurer at any time without penalty. Nonparticipating interest-earning investment contracts are stated at cost. Money market investments and participating interest-earning investment contracts with a remaining maturity of one year or less at time of purchase are stated at amortized cost. All other investments are stated at fair value. E. Inventories Inventories in the government-wide and the proprietary fund’s financial statements are recorded as assets when purchased and expensed when consumed. These inventories are stated at cost using the first-in, first-out, and moving weighted average methods of valuation for the government-wide financial statements, and the weighted average method of valuation for the proprietary fund’s financial statement. The County accounts for its inventories in the governmental funds using the consumption method. Inventories of the governmental funds are recorded as assets when purchased and expensed when consumed. 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 cost using the first-in, first-out method of valuation. F. Prepaid Items Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaid items in both the government-wide and fund financial statements. 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.” G. Property Tax Calendar The County levies real and 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 55 Coconino County Notes to Financial Statements June 30, 2014 second installment is due on the first day of March of the next year and becomes delinquent after the first business day of May. A lien assessed against real and personal property attaches on the first day of January preceding assessment and levy. H. Capital Assets Capital assets are reported at actual cost or estimated historical cost if historical records are not available. Donated assets are reported at estimated fair value at the time received. Capitalization thresholds (the dollar values above which asset acquisitions are added to the capital asset accounts), depreciation methods, and estimated useful lives of capital assets reported in the government-wide and proprietary fund’s statements are as follows: Capitalization Threshold Land All Construction in progress $5,000 Buildings and other improvements 5,000 Machinery and equipment 5,000 Infrastructure 5,000 Depreciation Method Estimated Useful Life N/A N/A Straight-Line Straight-Line Straight-Line N/A N/A 5-50 Years 3-40 Years 7-50 Years I. Deferred Inflows of Resources The balance sheet includes a separate section for deferred inflows of resources. Deferred inflows of resources represent an acquisition of fund balance that applies to future periods and will be recognized as a revenue in future periods. 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 usages by creditors (such as through debt covenants), grantors, contributors, or laws and regulations. 56 Coconino County Notes to Financial Statements June 30, 2014 The unrestricted fund balance category is comprised of committed, assigned, and unassigned resources. Committed fund balances are self-imposed limitations that 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 are neither restricted nor committed. The Board of Supervisors has authorized the County Manager to make assignments of resources for a specific purpose. 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. When an expenditure is incurred that can be paid from either restricted or unrestricted fund balances, the County will use restricted fund balance first K. Investment Earnings Investment earnings is composed of interest, dividends, and net changes in the fair value of applicable investments. L. Compensated Absences Compensated absences payable consist of vacation leave, compensatory time, and a calculated amount of sick leave employees earned based on services already rendered. Employees may accumulate up to 240 hours of vacation depending on years of service, but they forfeit any unused vacation hours in excess of the maximum amount. Upon terminating employment, the County pays all unused and unforfeited vacation benefits to employees. Any unused vacation hours in excess of the maximum amount at fiscal year-end is forfeited. Accordingly, vacation benefits are accrued as a liability in the government-wide and proprietary fund’s financial statements. Non-exempt, eligible employees may accumulate up to 80 hours of compensatory time. Accruals beyond 80 hours require approval of the Human Resources director. The Fair Labor Standards Act requires the payoff of any compensatory time balance above 240 hours for most non-exempt positions and 480 hours for public safety positions. This is done periodically throughout the year. Upon termination, all unused compensatory time is paid to the employee. Accordingly, compensatory time is accrued as a liability in the governmentwide and proprietary fund’s financial statements. Employees may accumulate up to 1,040 hours of sick leave. Generally, sick leave benefits provide for ordinary sick pay and are cumulative but employees forfeit them upon 57 Coconino County Notes to Financial Statements June 30, 2014 terminating employment. However, for employees who terminate with a minimum of 20 years of continuous service, sick leave benefits do vest. Such eligible terminating employees are compensated at the rate of one day for each four sick days accrued. Accordingly, this vested sick leave is accrued as a liability in the government-wide and proprietary fund’s financial statements. NOTE 2 – DEPOSITS AND INVESTMENTS Arizona Revised Statutes (A.R.S.) authorize the County Treasurer to invest public monies in securities and deposits with a maximum maturity of five years. All public monies shall be invested in eligible investments, including; 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 including those of counties, incorporated cities or towns, school districts or special taxing districts, including registered warrants; interest-earning investments such as savings accounts, certificates of deposit, and repurchase agreements in eligible depositories; commercial paper of prime quality 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 and certificates of deposit at 101 percent of all deposits not covered by federal depository insurance. 58 Coconino County Notes to Financial Statements June 30, 2014 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. 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, 2014, the carrying amount of the County’s deposits was $19,250,126 and the bank balance was $26,315,012. The County does not have a formal policy with respect to custodial credit risk. The County adheres to the custodial credit risk requirements in Statutes. At June 30, 2014, $2,690,393 of the County’s bank balance was exposed to custodial credit risk as follows: Uninsured with collateral held by the pledging financial institution $ Total $ 2,690,393 2,690,393 Investments— The County’s investments at June 30, 2014, were as follows: Investment Type U.S. agency securities Corporate bonds Money market mutual funds Negotiable CDs Municipal bonds State Treasurer's investment pool #7 Mutual funds-debt State Treasurer's investment pool #5 Subtotal, debt securities Mutual funds-equity Total 59 Amount $ 109,203,288 28,647,070 15,436,416 14,672,135 6,223,512 3,940,393 475,718 8,709 178,607,241 243,774 $ 178,851,015 Coconino County Notes to Financial Statements June 30, 2014 The State Board of Investment provides oversight for the State Treasurer’s pools. The fair value of a participant’s position in the pool approximates the value of that participant’s pool shares, and the participant’s shares are not identified with specific investments. Credit risk— The County Treasurer has a formal investment policy with respect to credit risk which mirrors A.R.S. 35-323. At June 30, 2014, credit risk for the County’s investments was as follows: Investment Type U.S. agency securities Corporate bonds Money market mutual funds Negotiable CDs Corporate bonds State Treasurer's investment pool #7 Corporate bonds Municipal bonds Corporate bonds Municipal bonds Municipal bonds Municipal bonds Corporate bonds Municipal bonds Mutual funds-debt Municipal bonds Municipal bonds Corporate bonds Municipal bonds Municipal bonds Corporate bonds Municipal bonds Municipal bonds Municipal bonds Municipal bonds Corporate bonds Corporate bonds State Treasurer's investment pool #5 Rating Aaa A1 Aaa-mf Unrated Baa1 Unrated Baa2 Aa2 A2 A2 AAA Aa1 Aa3 Aa3 Unrated A1 AA A3 A3 A Aa1 A+ AA+ AAUnrated AAA Aa2 AAAf 60 Rating Agency Moody's Moody's Moody's Not Applicable Moody's Not applicable Moody's Moody's Moody's Moody's Standard and Poor's Moody's Moody's Moody's Not Applicable Moody's Standard and Poor's Moody's Moody's Standard and Poor's Moody's Standard and Poor's Standard and Poor's Standard and Poor's Not Applicable Moody's Moody's Standard and Poor's Amount $ 109,203,288 18,551,279 15,436,416 14,672,135 5,160,721 3,940,393 2,581,304 1,474,537 1,144,315 831,151 821,725 739,847 609,300 585,700 475,718 473,148 348,403 308,742 255,628 253,267 195,592 147,954 140,188 101,614 50,350 49,812 46,005 8,709 $ 178,607,241 Coconino County Notes to Financial Statements June 30, 2014 Custodial credit risk— 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 securities that are in an outside party’s possession. The County does not have a formal policy with respect to custodial credit risk. Concentration of credit risk— The County Treasurer has a formal policy with respect to concentration of credit risk. The policy allows more than 5% of the portfolio from any one issuer, with the exception of a corporate issuer. Corporate bonds shall not exceed 20% of the entire portfolio and no one corporate issuer shall exceed 5% of the entire portfolio. The County had investments at June 30, 2014, of five percent or more in Federal Home Loan Bank, Federal National Mortgage Association, Federal Farm Credit Bank, and Federal Home Loan Mortgage Corporation. These investments were 25.02%, 17.81%, 11.18%, and 5.21%, respectively, of the County’s total investments. Interest rate risk— The County Treasurer has a formal policy with respect to interest rate risk, acknowledging that in a rising rate environment investments may have to be held to maturity rather than incur a loss of principle in a net trade situation. Diversification in the portfolio can be used to reduce the adverse effect of rising rates. 61 Coconino County Notes to Financial Statements June 30, 2014 At June 30, 2014, the County had the following investments in debt securities: Investment Type U.S. agency securities Corporate bonds Money market mutual funds Negotiable CDs Corporate bonds State Treasurer's investment pool #7 Corporate bonds Municipal bonds Corporate bonds Municipal bonds Municipal bonds Municipal bonds Corporate bonds Municipal bonds Municipal bonds Municipal bonds Corporate bonds Municipal bonds Mutual funds-debt Municipal bonds Corporate bonds Mutual funds-debt Municipal bonds Municipal bonds Municipal bonds Municipal bonds Corporate bonds Corporate bonds Mutual funds-debt State Treasurer's investment pool #5 Amount $ 109,203,288 18,551,279 15,436,416 14,672,135 5,160,721 3,940,393 2,581,304 1,474,537 1,144,315 831,151 821,725 739,847 609,300 585,700 473,148 348,403 308,742 255,628 254,743 253,267 195,592 177,486 147,954 140,188 101,614 50,350 49,812 46,005 43,489 8,709 $ 178,607,241 62 Weighted Average Maturity in Years 3.306 1.673 0.038 1.181 0.589 0.050 0.102 0.428 0.083 0.390 0.189 0.239 0.036 0.167 0.102 0.078 0.015 0.032 5.200 0.095 0.026 4.800 0.081 0.001 0.022 0.017 0.001 0.004 4.800 0.160 Coconino County Notes to Financial Statements June 30, 2014 A reconciliation of cash, deposits, and investments to amounts shown on the Statements of Net Position follows: Cash, deposits, and investments: Cash on hand Amount of deposits Amount of investments Total Statement of Net Position: Cash and cash equivalents Investments Cash and investments held by trustee(s) Total $ 79,209 19,250,126 178,851,015 $198,180,350 Governmental Activities Investment Trust Funds Agency Funds $ 85,959,502 576,881 $ 108,537,803 $ 1,938,582 $196,435,887 576,881 1,141,351 1,167,582 $3,079,933 $198,180,350 26,231 $ 86,562,614 $108,537,803 Total NOTE 3– RECEIVABLES Due from other governments—Amounts due from other governments at June 30, 2014, include $3,113,329 and $1,584,311 in state-shared revenue from sales taxes and fuel taxes, respectively; $216,046 from the State of Arizona for state vehicle license tax; $2,345,791 in county sales tax; $591,333 in parks and open space sales tax; $4,344,135 in grants from the federal government; $869,473 in grants from various state agencies; and $555,292 in reimbursements from the Arizona Department of Emergency Management. The balance of $2,171,547 is composed of miscellaneous receivables from federal, state, and local government. 63 Coconino County Notes to Financial Statements June 30, 2014 NOTE 4– CAPITAL ASSETS Capital asset activity for the year ended June 30, 2014, was as follows: Governmental activities Capital assets not being depreciated: Land Construction in progress Total capital assets not being depreciated Capital assets being depreciated: Buildings and other improvements Machinery and equipment Infrastructure Total capital assets being depreciated Less accumulated depreciation for: Buildings and other improvements Machinery and equipment Infrastructure Total accumulated depreciation Total capital assets being depreciated, net Total Balance July 1, 2013 $ 39,268,411 4,299,258 43,567,669 88,119,143 36,395,440 95,762,757 220,277,340 33,785,902 31,071,112 52,562,652 117,419,666 102,857,674 $ 146,425,343 Increases Decreases $ $ 47,484 5,509,326 5,556,810 366,145 1,168,218 4,318,733 5,853,096 2,363,670 1,481,450 3,156,248 7,001,368 (1,148,272) $ 4,408,538 Balance June 30, 2014 44,778 4,764,848 4,809,626 $ 39,271,117 5,043,736 44,314,853 21,308 1,984,082 88,463,980 35,579,576 100,081,490 224,125,046 2,005,390 19,042 1,893,214 1,912,256 93,134 $ 4,902,760 36,130,530 30,659,348 55,718,900 122,508,778 101,616,268 $ 145,931,121 Depreciation expense was charged to functions as follows: Governmental activities: General government Public safety Highways and streets Sanitation Health Welfare Culture and recreation Education Internal service fund $ Total govenmental activities depreciation expense 893,809 1,092,453 3,562,887 228,566 114,838 85,655 700,927 101,014 221,219 $ 7,001,368 Construction and Other Significant Commitments—The County had major contractual commitments related to various capital projects at June 30, 2014, for the repair and construction of a major flood control project and facilities upgrades. At June 30, 2014, the County had spent $5,111,226 on these projects and had remaining contractual commitments with contractors totaling $1,071,954. These projects are being financed by Flood Control property tax, highway user revenues, federal and state emergency management reimbursements, and state grants. 64 Coconino County Notes to Financial Statements June 30, 2014 NOTE 5 – LONG-TERM LIABILITIES The following schedule details the County’s long-term liability and obligation activity for the year ended June 30, 2014: Governmental Activities Balance July 1, 2013 Additions Reductions Balance June 30, 2014 Due within 1 year $ 450,276 450,276 $ 105,276 105,276 3,370,106 129,258 Bonds payable: Special assessment bonds with governmental commitment Total bonds payable Compensated absences payable Claims and judgments payable Future postemployment health benefit liability (Note 9) Governmental activities long-term liabilities $ 866,084 866,084 $ $ 415,808 415,808 4,779,452 448,349 3,334,975 285,048 3,185,023 132,390 4,929,404 601,007 4,611,878 949,983 133,882 5,427,979 $ 10,705,763 $ 4,570,006 $ 3,867,103 $ 11,408,666 $ 3,604,640 Special Assessment Bonds—Special assessment bonds are secured by pledges of revenues from special assessments levied against the benefiting property owners. Proceeds from special assessment bonds are used for improvements such as paving, street lighting, and sewers. Payment made by the assessed property owners are 100 percent pledged to pay the scheduled principal and interest payments on special assessment bonds. In the event of default by the property owner, the lien created by the assessment is sold at public auction and the proceeds are used to offset the default assessment. At June 30, 2014, $450,276 in principal remains outstanding, along with future interest payments totaling $67,861 to be paid by special assessment revenues. The following special assessment bonds were outstanding at June 30, 2014: Description Special assessment bonds with governmental commitment Original Amount Maturity Ranges Interest Rates Outstanding Principal $ 3,767,917 7/1/2014-19 4.75-5.65% $ 450,276 65 Coconino County Notes to Financial Statements June 30, 2014 The following schedule details debt service requirements to maturity for the County’s special assessment bonds payable at June 30, 2014: Governmental Activities Year Ending June 30 2015 2016 2017 2018 2019 Total Assessment Bonds Principal Interest $ 105,276 $ 22,948 85,000 18,128 89,000 13,678 94,000 9,017 77,000 4,090 $ 450,276 $ 67,861 Insurance Claims—The County provides life, health and disability benefits to its employees and their dependents through the Northern Arizona Public Employee Benefit Trust (Trust), currently composed of seven members. The Trust provides benefits through a self-funding agreement with its participants and administers the program. The County is responsible for paying the premium and requires its employees to contribute a portion of that premium. If it withdraws from the Trust, the County is responsible for any claims run-out costs, including claims reported but not settled, claims incurred but not reported, and administrative costs. If the Trust were to terminate, the County would be responsible for its proportional share of any Trust deficit. Compensated Absences and Claims and Judgments—Compensated absences are paid from various funds in the same proportion that those funds pay payroll costs. Claims and judgments are generally paid from the fund that accounts for the activity that gave rise to the claim. During fiscal year 2014, the County paid for compensated absences as follows: 51.15 percent from the General Fund, 32.91 percent from major funds, and 15.94 percent from other funds. The County paid for claims and judgments from the General Fund. 66 Coconino County Notes to Financial Statements June 30, 2014 NOTE 6 – FUND BALANCE CLASSIFICATION OF GOVERNMENTAL FUNDS The fund balance classifications of the governmental funds as of June 30, 2014, were as follows: Governmental Activities General Fund Fund balances: Nonspendable: Advances $ 1,448,262 Inventories 343 Prepaid items 107,764 Total nonspendable 1,556,369 Restricted for: Debt Service Highways and Streets Jail and Sheriff Culture and Recreation Health Capital Projects Education Sanitation Welfare Probation Superior Court Justice Courts Public and Legal Defenders County Attorney General Govt Services 15,000 Total restricted 15,000 Unassigned Total fund balances 26,643,317 $28,214,686 Public Works/HURF Fund $ Jail District Fund Public Health Services District Fund $ - $ 2,307 2,307 Flood Control District Fund Parks and Open Spaces Tax Projects $ $ 66,311 66,311 18,750 18,750 Other Governmental Funds $ 125 125 52,000 52,000 241,621 4,738,280 1,129,053 673,654 14,065,771 3,361,194 1,480,351 1,585,594 87,513 1,494,602 601,541 411,227 92,350 1,252,628 767,810 17,917,418 $14,065,896 (24,417) $17,945,001 24,565,522 $96,197,396 15,968,408 1,616,822 14,065,771 15,968,408 1,616,822 $20,352,593 $15,970,715 $ 1,683,133 (2,053,378) $(2,034,628) $ 1,448,262 343 247,257 1,695,862 241,621 25,090,873 17,097,461 673,654 1,616,822 17,426,965 1,480,351 1,585,594 87,513 1,494,602 601,541 411,227 92,350 1,252,628 782,810 69,936,012 20,352,593 20,352,593 Total Governmental Funds NOTE 7 – STEWARDSHIP, COMPLIANCE, AND ACCOUNTABILITY At June 30, 2014, the following other governmental fund reported a deficit in fund balance. Fund Governmental Funds: Emergency Services Grants Deficit $ 24,417 The fund balance deficit for the Emergency Services Grants Fund resulted from operations during the year and is expected to be corrected during normal operations in fiscal year 2015. 67 Coconino County Notes to Financial Statements June 30, 2014 NOTE 8 – RISK MANAGEMENT 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 others; and natural disasters. These risks of loss are accounted for and financed by the following described insurance coverage and internal risk management program. The County contracts with CopperPoint Mutual Insurance Company to meet Arizona statutory requirements on workers compensation coverage for its elected officials, employees, and volunteers. There is no deductible associated with this coverage and no loss limit per claim. The employer’s liability section of our workers’ compensation policy is insured with coverage limits at the $1,000,000 level. There have been no claims against our employer’s liability to date. The County also purchases coverage from insurers for property insurance, commercial general liability, public official errors and omissions liability, law enforcement liability, employment practices liability, employee benefits liability, automobile liability and physical damage, healthcare professional liability, cyber liability, environmental impairment liability, and non-owned aircraft liability. The County self-insures liability claims for the first $125,000 with the exception of a few specialty lines noted here after. The County self- insures environmental liability claims for the first $50,000 and healthcare professional liability for the first $100,000. There is a $25,000 deductible for cyber liability, and also a $25,000 deductible for automobile physical damage. A self-insurance retention fund has been established for these losses. There is no self-insured retention or deductible on our nonowned aircraft liability policy. The County carries excess layers of liability with a combined limit of $30,000,000 over our basic individual $1,000,000 liability limits for commercial general liability, public official errors and omissions liability, law enforcement liability, employment practices liability, employee benefits liability, and automobile liability. We carry a separate $5,000,000 on professional healthcare liability, $1,000,000 on cyber liability, $1,000,000 on environmental impairment liability, and $5,000,000 on non- owned aircraft liability which are not included in our excess liability insurance coverage. For real property and business personal property damage coverage the County has a $25,000 deductible with blanket coverage up to the property values insured on a replacement cost basis on the special property form. This property insurance includes flood with a $5,000,000 sublimit and a $100,000 deductible for most properties. Two locations are listed with a higher $500,000 deductible for flood insurance. Our property insurance also includes coverage for earthquake with a $5,000,000 sublimit and a $100,000 deductible. Crime coverage is carried at a limit of $1,000,000 with a $25,000 deductible. Settled claims have not exceeded insurance coverage for any of the past three fiscal years. 68 Coconino County Notes to Financial Statements June 30, 2014 NOTE 9 – PENSIONS AND OTHER POSTEMPLOYMENT BENEFITS Pension Plan Descriptions—The County contributes to four plans, two of which are described below. The other two, the Elected Officials Retirement Plan and the Corrections Officer Retirement Plan, are not described because of their relative insignificance to the County’s financial statements. The plans are component units of the State of Arizona, state statute establishes benefits, and the plans generally provide retirement, long-term disability, and health insurance premium benefits, including death and survivor benefits. The retirement benefits are generally paid at a percentage, based on years of service, of the retirees’ average compensation. Long-term disability benefits vary by circumstance, but generally pay a percentage of the employee’s monthly compensation. The health insurance premium benefit is paid as a fixed dollar amount per month toward the retiree’s healthcare insurance premiums, in amounts based on whether the benefit is for the retiree or for the retiree and his or her dependents. The Arizona State Retirement System (ASRS) administers a cost-sharing, multiple-employer defined benefit pension plan; a cost-sharing, multiple-employer defined benefit health insurance premium benefit plan; and a cost-sharing, multiple-employer defined benefit longterm disability plan that covers employees of the State of Arizona and employees of participating political subdivisions and school districts. The Arizona State Retirement System Board governs the ASRS according to the provisions of A.R.S. Title 38, Chapter 5, Article 2. The Public Safety Personnel Retirement System (PSPRS) administers an agent multipleemployer defined benefit pension plan and an agent multiple-employer defined benefit health insurance premium benefit plan that covers public safety personnel who are regularly assigned hazardous duty as employees of the State of Arizona and participating political subdivisions. The PSPRS, acting as a common investment and administrative agent, is governed by a seven-member board, known as the Board of Trustees, and the participating local boards according to the provisions of A.R.S. Title 38, Chapter 5, Article 4. Beginning in fiscal year 2014, PSPRS established separate funds for pension benefits and health insurance premium benefits. Previously, the plan recorded both pension and health insurance premium contributions in the same Pension Fund. During fiscal year 2014, the plan transferred prior-year health insurance premium benefit contributions that exceeded benefit payments from the plan’s Pension Fund to the new Health Insurance Fund. Each plan issues a publicly available financial report that includes its financial statements and required supplementary information. A report is available at their websites or may be obtained by writing or calling the applicable plan. 69 Coconino County Notes to Financial Statements June 30, 2014 ASRS 3300 North Central Avenue P.O. Box 33910 Phoenix, AZ 85067-3910 (602) 240-2000 or (800) 621-3778 www.azasrs.gov PSPRS 3010 E. Camelback Road, Ste. 200 Phoenix, AZ 85016-4416 (602) 255-5575 www.psprs.com Funding Policy—The Arizona State Legislature establishes and may amend active plan members’ and the County’s contribution rates for the ASRS and PSPRS. Cost-sharing plan— For the year ended June 30, 2014, statute required active ASRS members to contribute at the actuarially determined rate of 11.54 percent (11.3 percent for retirement and 0.24 percent for long-term disability) of the members’ annual covered payroll, and statute required the County to contribute at the actuarially determined rate of 11.54 percent (10.7 percent for retirement, 0.6 percent for health insurance premium benefit, and 0.24 percent for long-term disability) of the members’ annual covered payroll. The County’s contributions to ASRS for the current and two preceding years, all of which equal the required contributions, were as follows: Year ended June 30, 2014 Retirement Fund $ 3,735,491 Health Benefit Supplement Fund $ 209,467 Long-Term Disability Fund $ 83,787 2013 3,587,945 227,528 84,010 2012 3,411,576 217,760 82,956 Agent plan—For the year ended June 30, 2014, statute required active PSPRS members to contribute 10.35 percent of the members’ annual covered payroll, and the County was required to contribute at the actuarially determined rate of 58.17 percent, the aggregate of which is the actuarially required amount. The health insurance premium benefit portion of the contribution rate was actuarially set at 2.22 percent of covered payroll. Actuarial Methods and Assumptions—The PSPRS contribution requirements for the year ended June 30, 2014 were established by the June 30, 2012 actuarial valuation, and that actuarial valuation was based on the following actuarial methods and assumptions. Actuarial valuations involve estimates of the value of reported amounts and assumptions about the probability of events in the future. Amounts determined regarding the plan’s 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 presented as required supplementary information provides multiyear trend information that shows whether the actuarial value of the plan’s 70 Coconino County Notes to Financial Statements June 30, 2014 assets are increasing or decreasing over time relative to the actuarial accrued liability for benefits. Projections of benefits are based on 1) the plan as the County and plan’s members understand it and include the types of benefits in force at the valuation date, and 2) the pattern of sharing benefit costs between the County and plan’s 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 following actuarial methods and assumptions were used to establish the fiscal year 2014 contribution requirements: Actuarial valuation date Actuarial cost method Amortization method Remaining amortization period June 30, 2012 Entry Age Normal Level percent-of-pay closed 24 years for underfunded 20 years for overfunded 7-year smoothed market value 80%/120% market Asset valuation Actuarial assumptions: Investment rate of return Projected salary increases Payroll growth Cost-of-living adjustments 8.00% 5.0% - 9.0% 5.0% None Annual Pension /OPEB Cost—The County’s pension cost for the agent plan for the year ended June 30, 2014, and related information follows. This is an estimate based on what was actually paid. PSPRS Health Insurance Premium Benefit PSPRS Pension Annual pension cost $ 1,541,879 $ 61,179 Contributions made $ 1,541,879 $ 61,179 71 Coconino County Notes to Financial Statements June 30, 2014 Trend Information—Annual pension cost information for the current and two preceding years is as follows for the PSPRS: Year Ended June 30, Pension 2014 2013 2012 Percentage of APC Contributed Annual Pension Cost (APC) $ 1,541,879 1,314,970 949,301 100% 100% 100% Net Pension/ OPEB Obligation $ Health Insurance Premium Benefit 2014 61,179 100% 2013 36,223 100% 2012 38,569 100% Funded Status— The plan’s funded status as of the most recent valuation date, June 30, 2014, along with the actuarial assumptions and methods used in that valuation follows: Actuarial accrued liability Actuarial value of assets Unfunded actuarial accrued liability Pension $ 39,892,490 10,073,045 29,819,445 Health Insurance Premium Benefit $ 776,530 587,700 188,830 Funded ratio Covered payroll 25.25% 2,950,184 75.68% 2,950,184 Unfunded actuarial accrued liability as a percentage of covered payroll 1010.77% 6.40% 72 Coconino County Notes to Financial Statements June 30, 2014 The actuarial methods and assumptions used for the most recent valuation date are as follows: Actuarial valuation date Actuarial cost method Amortization method Remaining amortization period Asset valuation method Actuarial assumptions: Investment rate of return Projected salary increases Payroll growth Permanent benefit increases June 30, 2014 Entry Age Normal Level percent-of-pay closed 22 years for unfunded actuarial liability 20 years for overfunded actuarial liability 7- year smoothed market 80% / 120% market 7.85% 4.0% - 8.0% 4.0% Members retired on or before July 1, 2011: 2% compounded on average. Members retired on or after August 1, 2011: 0.5% compounded on average. Since all current retirees receive the same dollar increase amount, approximation techniques were used to develop the assumed PBI for each member. Postemployment Healthcare Plan Plan Description—Employees retiring from Coconino County service, who receive monthly income from any of the Arizona State individual retirement plans, are eligible to continue insurance coverage through the same plan as active employees and their beneficiaries up to the age of 65 through the Northern Arizona Public Employees Benefit Trust (NAPEBT). NAPEBT administers a cost-sharing multiple employer postemployment healthcare benefit plan; however, it is reported as an agent-multiple employer plan for financial reporting purposes as the plan assets are not dedicated solely to providing benefits to retirees and their beneficiaries. Coconino County is a member of NAPEBT and the benefits and premium rates are approved by the Trust and the Board of Supervisors on an annual basis for active and retired members. NAPEBT issues a publicly available financial report that may be obtained on their website. Although Coconino County does not explicitly pay a portion of the retirees’ premiums, because of the inclusion of this class in the insured pool, there is an implicit subsidy or “premium rate differential” that is incurred by the County. Funding Policy—The contribution requirements of plan members and the County are established and may be amended by the NAPEBT board. Eligible retirees up to the age of 65 have the option to participate in the healthcare plan that is currently being offered to active employees and must pay 100% of the premium less any reimbursement from the Arizona State individual retirement plans. The program is currently funded on a pay-as-yougo basis. 73 Coconino County Notes to Financial Statements June 30, 2014 Annual OPEB Cost and Net OPEB Obligation—The County’s annual OPEB cost, the percentage of annual OPEB cost contributed to the plan, and the net OPEB obligations for 2014 and the two preceding years were as follows: Fiscal Year Ended 6/30/2014 6/30/2013 6/30/2012 Annual OPEB Cost $ 949,983 1,128,014 1,137,417 Actual Contributions $ 133,882 50,817 517,162 Percentage of Annual OPEB Cost Contributed 14.09% 4.50% 45.47% Change in Net OPEB Obligation $ 816,101 1,077,197 620,255 Components of Annual OPEB Costs and Net OPEB Obligation—The annual components of OPEB cost and net OPEB obligation as of June 30, 2014, were as follows: Annual required contribution (ARC) $ 1,025,446 Interest on existing net OPEB obligation $ 207,171 ARC adjustment $ (282,634) Increase in OPEB $ 816,101 Net OPEB $ 5,427,979 Funding Status and Funding Progress—The latest actuarial valuation done was as of July 1, 2013. The funded status of the plan as of June 30, 2014, was as follows: (1) (2) Actuarial (3) Actuarial Actuarial Valuation Funded ratio value of plan accrued Date (1) / (2) assets liability (AAL) 7/1/2013 $ $ 8,472,061 0.00% 74 (4) Unfunded AAL (2) - (1) $ 8,472,061 (5) Covered payroll $ 49,547,980 (6) Unfunded AAL as a percentage of covered payroll (4) / (5) 17.10% Coconino County Notes to Financial Statements June 30, 2014 Actuarial Methods and Assumptions -- Actuarial valuations involve estimates of the value of reported amounts and assumptions about the probability of events far into the future. Actuarially determined amounts are subject to continual revision as actual results are compared to past expectations and new estimates are made about the future. The required schedule of the funding progress presented as required supplementary information provides multiyear trend information that shows whether the actuarial value of plan’s assets are increasing or decreasing over time relative to the actuarial accrued liability for benefits. Projections of benefits are based on 1) the plan as the County and plan’s members understand it and include the types of benefits in force at the valuation date, and 2) the pattern of sharing benefit costs between the County and plan’s 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 actuarial methods and assumptions used for most recent valuation date are as follows: Valuation Date Actuarial cost method Amortization method Remaining amortization period Investment rate of return Medicare coverage age Retirement and disability age Active members Retirees, beneficiaries, and dependents Asset Valuation method Inflation rate Projected salary increase Post-retirement benefits increase Healthcare cost trend rate July 1, 2013 Entry Age, Level Dollar 30-Year Amortization, level dollar, Open 30 years 4.50% 65 Based on the assumptions for the ASRS Defined Benefit valuation as of June 30, 2012 945 81 N/A. No assets in an OPEB trust N/A N/A N/A 7.50% graded down to ultimate rate of 5.0% over 5 years 75 Coconino County Notes to Financial Statements June 30, 2014 NOTE 10 – INTERFUND BALANCES AND ACTIVITY Interfund Receivables and Payables - Interfund balances at June 30, 2014, were as follows: The interfund balances resulted from time lags between the dates that (1) interfund goods and services are provided or reimbursable expenditures occur, (2) transactions are recorded in the accounting system, and (3) payments between funds are made. General Fund Public Works/ HURF Fund Public Health Services District Fund Jail District Fund Payable from General Fund $ $ 47,688 $145,546 $1,296,376 $ Public Works/HURF Fund 96,665 Jail District Fund 300,004 Public Health Services District Fund 101,913 Flood Control District Fund 1,997,329 Nonmajor Governmental Funds 1,180,682 364,326 97 378 Internal Service Fund 2,002 1,146 Total $1,681,266 $2,410,489 $ 145,643 $ 1,296,754 $ Payable to Flood Parks and Control Open District Spaces Fund Fund 1,615 $ 1,615 $ 741 Nonmajor Governmental Funds Internal Service Fund $ 1,043,811 72,608 55,690 $218,689 158,344 4,248 12,870 713 7,636 741 $ $2,754,466 327,617 359,942 114,783 1,998,042 385,898 1,939,017 3,148 1,558,007 $ 402,500 $ 7,497,015 Interfund Transfers—Interfund transfers for the year ended June 30, 2014, were as follows: General Fund Public Works/ HURF Fund Transfer to Public Health Nonmajor Services Governmental Jail District District Fund Funds Fund Total Transfer from General Fund $ $ 25,000 $2,501,421 $ 5,104,160 $ 3,919,747 $11,550,328 Public Works/HURF Fund 89,481 72,608 162,089 Jail District Fund 53,629 53,629 Public Health Services District Fund 2,183 2,183 Nonmajor Governmental Funds 222,093 1,692,407 505,333 2,419,833 Total $ 313,757 $1,717,407 $ 2,501,421 $ 5,104,160 $ 4,551,317 $ 14,188,062 Interfund transfers are used to move revenues from the fund that collects them to the fund that expends them. 76 Total Coconino County Notes to Financial Statements June 30, 2014 Advances From/To Other Funds Advances from/to other funds represent monies owed from various County Road Improvement Districts (nonmajor governmental funds) to the Forest Fees Revolving Fund (nonmajor governmental fund) for bonds issued by the Road Districts to fund road improvements. The outstanding amount of these advances as of June 30, 2014 was $89,626. The County Road Improvement Districts are paying interest on the advances. The interest rates range from 2.470% to 4.030%. The General Fund has advanced $435,320 to the Toho Tolani Improvement District to assist with attorney fees, $12,942 to cover debt service payments and $1 million to the Flood Control District to provide cash to cover expenditures made for the catastrophic flooding. The Forest Fees Fund has advanced funds to the Toho Tolani Improvement District to assist with attorney fees. The $1 million advance to the Flood Control District is expected to be paid back in fiscal years 2016 through 2018. The advances to Toho Tolani are expected to be awarded by the Arizona Court of Appeals in fiscal 2015. Advances To Kiowa Commanche Rio Arroyo Lupine Oakwood Pines Pawnee Pinon Improvement Shoshone Tonowanda Flood Control Toho Tolani Total Advances From Advances from Forest Fees General Fund Fund Total $ 13,528 $ $ 13,528 1,545 1,545 10,671 2,100 12,771 1,783 1,783 9,134 9,134 7,514 7,514 2,125 2,125 4,168 4,168 1,000,000 1,000,000 50,000 435,320 485,320 $ 89,626 $ 1,448,262 $ 1,537,888 NOTE 11– 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 monies under her 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 annually at June 30. 77 Coconino County Notes to Financial Statements June 30, 2014 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. The deposits and investments the County holds are included in the County Treasurer’s investment pool, except for $5,820,765 of deposits, $475,718 of investments in mutual funds-debt, $3,949,102 in the State Treasurer’s Investment Pools, and $243,774 of investments in equities. 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 2 for the disclosure of the County’s deposit and investment risks. Details of each major investment classification follow: Investment Type U.S. agency securities Corporate securities Money market mutual funds Negotiable CDs Municipal bonds Principal $ 109,725,976 28,852,503 15,436,416 14,623,864 6,208,887 Interest Rates 0.500-1.810% 0.734-4.500% 0.01% 0.400-3.250% 1.110-4.276% Maturities 11/15/2014-11/19/2018 10/01/2014-5/03/2018 less than 1 year 7/07/2014-6/25/2019 7/01/2014-12/01/2018 Amount $ 109,203,288 28,647,070 15,436,416 14,672,135 6,223,512 A condensed statement of the investment pool’s net position and changes in net position follows: Statement Of Net Position Assets Net position Net position held in trust for: Internal participants External participants Total net position held in trust $ $ 187,915,630 187,915,630 $ 83,005,947 104,909,683 187,915,630 $ Statement of Changes in Net Position Total additions Total deletions Net decrease Net position held in trust July 1, 2013 June 30, 2014 $ $ 78 470,531,205 475,487,067 (4,955,862) 192,871,492 187,915,630 Coconino County Notes to Financial Statements June 30, 2014 NOTE 12 – MAINTENANCE OF EFFORT Coconino County is required to maintain statutory levels of support for the Coconino County Jail District and the Coconino County Public Health Services District. In accordance with A.R.S. Section 48-4024, Coconino County is required to make annual maintenance of effort payments (MOE) to the Coconino County Jail District, a special revenue fund type. The payments will be made through fiscal year 2027, and are determined by first establishing a base expenditure which was used as the initial fiscal year 1998 MOE payment. Subsequent payments are determined by adjusting the base expenditure by the annual change in the gross domestic product price deflator, obtained from the State of Arizona Economic Estimates Commission. These payments are recorded by the jail district as transfers. The MOE payment for fiscal year 2014 was $2,501,421. In accordance with A.R.S. Section 485802 Coconino County is required to maintain a specific level of expenditures for public health services. This is accomplished by transferring funds to the Public Health Services District, a special revenue fund type. The payment for fiscal year 2014 was $5,104,160. 79 THIS PAGE BLANK 80 REQUIRED SUPPLEMENTARY INFORMATION 81 Coconino County Required Supplementary Information Budgetary Comparison Schedule General Fund Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Property taxes Other taxes Licenses and permits Fees, fines, and forfeits Intergovernmental Charges for services Investment earnings Contributions Miscellaneous Total revenues Expenditures: General government Assessor Board of Supervisors Clerk of the Superior Court Community Development Community Initiatives County Attorney County Manager Facilities Finance/Budget Flagstaff Justice Court Fredonia Justice Court Human Resources Information Technology Legal Defender Non-departmental Page Justice Court Public Defender Recorder Superior Courts Treasurer Williams Justice Court Total general government $ 8,903,326 12,826,779 902,500 1,108,650 24,794,574 1,540,717 248,861 130,150 108,944 50,564,501 1,861,724 1,167,668 1,139,204 1,849,503 351,625 3,067,656 1,094,426 3,448,183 1,631,485 1,161,316 196,623 1,512,405 2,616,583 924,242 20,049,027 353,028 2,190,421 1,507,257 2,921,118 650,072 332,205 50,025,771 Final $ 8,903,326 12,826,779 902,500 1,108,650 25,580,117 1,535,717 248,861 145,150 108,944 51,360,044 1,870,124 1,239,087 1,139,204 1,850,073 209,659 3,067,656 1,135,989 4,349,127 1,631,485 1,161,316 196,623 1,512,405 2,616,583 924,242 19,935,267 353,028 2,190,421 1,766,706 2,921,118 650,072 332,205 51,052,390 The Notes to the Budgetary Comparison Schedules are an integral part of this schedule. 82 Actual Amounts Variance with Final Budget $ $ 9,035,224 12,414,247 787,213 1,180,544 24,930,607 1,702,556 539,519 200,426 129,083 50,919,419 1,054,020 874,537 1,096,287 1,491,354 152,955 2,795,579 800,950 2,580,848 1,135,264 1,125,155 191,508 1,079,365 1,795,972 969,188 1,131,880 347,605 2,169,210 1,435,176 3,111,991 564,779 325,418 26,229,041 131,898 (412,532) (115,287) 71,894 (649,510) 166,839 290,658 55,276 20,139 (440,625) 816,104 364,550 42,917 358,719 56,704 272,077 335,039 1,768,279 496,221 36,161 5,115 433,040 820,611 (44,946) 18,803,387 5,423 21,211 331,530 (190,873) 85,293 6,787 24,823,349 Coconino County Required Supplementary Information Budgetary Comparison Schedule General Fund (Continued) Year Ended June 30, 2014 Budgeted Amounts Original Public safety Adult Probation Constable Juvenile Probation Sheriff Total public safety $ Highways and streets Information Technology 1,521,970 106,172 2,857,360 8,782,769 13,268,271 Final $ 592,597 1,521,970 101,172 2,857,360 8,849,162 13,329,664 Actual Amounts $ 1,450,777 95,486 2,618,952 8,824,719 12,989,934 Variance with Final Budget $ 71,193 5,686 238,408 24,443 339,730 610,097 496,652 113,445 17,500 2,183 15,317 Health Information Technology Welfare Community Services 1,074,288 1,074,288 998,090 76,198 Culture and recreation Parks and Recreation 1,920,552 1,995,155 1,399,126 596,029 Education School Superintendent Total expenditures 525,185 67,406,664 533,035 68,612,129 476,704 42,591,730 56,331 26,020,399 (16,842,163) (17,252,085) 8,327,689 25,579,774 Excess (deficiency) of revenues over expenditures Other financing sources (uses): Sale of capital assets Transfers in Transfers out Total other financing sources and (uses) 444,547 (13,771,800) (13,327,253) 444,547 (13,280,939) (12,836,392) 397,278 313,757 (11,550,328) (10,839,293) Net change in fund balances (30,169,416) (30,088,477) (2,511,604) Fund balance, July 1, 2013 Fund balance, June 30, 2014 $ 30,196,946 27,530 $ 30,196,946 108,469 The Notes to the Budgetary Comparison Schedules are an integral part of this schedule. 83 $ 30,726,290 28,214,686 397,278 (130,790) 1,730,611 1,997,099 27,576,873 529,344 $ 28,106,217 Coconino County Required Supplementary Information Budgetary Comparison Schedule Public Works/HURF Fund Year Ended June 30, 2014 Budgeted Amounts Actual Amounts Variance with Final Budget Original Final $ 9,450 10,248,096 16,377 50,000 $ 9,450 10,248,096 16,377 50,000 10,323,923 10,323,923 $ 16,565 10,223,742 5,412 338,395 9,559 10,593,673 23,429,373 23,429,373 22,878,166 22,878,166 10,383,109 10,383,109 12,495,057 12,495,057 (13,105,450) (12,554,243) 210,564 12,764,807 150,000 2,775,000 (199,059) 2,725,941 150,000 2,775,000 (199,059) 2,725,941 88,340 1,717,407 (162,089) 1,643,658 (61,660) (1,057,593) 36,970 (1,082,283) Net changes in fund balances (10,379,509) (9,828,302) 1,854,222 11,682,524 Fund balance, July 1, 2013 Fund balance, June 30, 2014 17,400,351 $ 7,020,842 18,498,371 $ 20,352,593 1,098,020 $ 12,780,544 Revenues: Licenses and permits Intergovernmental Charges for services Investment earnings Miscellaneous Total revenues Expenditures: Highways and streets Public Works Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses): Sale of capital assets Transfers in Transfers out Total other financing sources (uses) 17,400,351 $ 7,572,049 The Notes to the Budgetary Comparison Schedules are an integral part of this schedule. 84 $ 7,115 (24,354) (10,965) 288,395 9,559 269,750 Coconino County Required Supplementary Information Budgetary Comparison Schedule Jail District Fund Year Ended June 30, 2014 Budgeted Amounts Revenues: Other taxes Intergovernmental Charges for services Investment earnings Contributions Miscellaneous Total revenues Expenditures: Public safety Sheriff Total expenditures Original Final $ 12,691,779 12,000 1,407,483 193,057 $ 12,691,779 12,000 1,407,483 193,057 8,500 Actual Amounts $ 12,270,130 Variance with Final Budget $ (421,649) (12,000) (136,047) 40,528 14,304,319 14,312,819 1,271,436 233,585 8,500 1,867 13,785,518 14,958,940 14,958,940 15,689,804 15,689,804 13,740,009 13,740,009 1,949,795 1,949,795 45,509 1,422,494 1,867 (527,301) Excess (deficiency) of revenues over expenditures (654,621) (1,376,985) Other financing sources (uses): Transfers in Transfers out Total other financing sources (uses) 2,518,950 (63,500) 2,455,450 2,518,950 (122,618) 2,396,332 2,501,421 (53,629) 2,447,792 Net changes in fund balances 1,800,829 1,019,347 2,493,301 1,473,954 Fund balance, July 1, 2013 Fund balance, June 30, 2014 13,217,222 $ 15,018,051 13,217,222 $ 14,236,569 13,477,414 $ 15,970,715 260,192 1,734,146 The Notes to the Budgetary Comparison Schedules are an integral part of this schedule. 85 (17,529) 68,989 51,460 $ Coconino County Required Supplementary Information Budgetary Comparison Schedule Public Health Services District Fund Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Property taxes Other taxes Licenses and permits Intergovernmental Charges for services Investment earnings Contributions Miscellaneous Total revenues $ Expenditures: Public safety Medical Examiner Health Health Department Welfare Community Services Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses): Transfers in Transfers out Total other financing sources and (uses) Net change in fund balances Fund balance, July 1, 2013 Fund balance, June 30, 2014 $ 3,832,663 Actual Amounts Variance with Final Budget 3,832,663 $ $ 737,205 4,358,445 505,317 12,338 32,950 900 9,479,818 737,205 4,703,300 509,417 12,338 45,297 900 9,841,120 3,831,665 210 779,437 3,606,735 548,935 26,476 132,779 41,019 8,967,256 570,894 570,894 669,841 14,143,188 14,755,524 13,526,397 1,229,127 169,392 169,392 130,836 38,556 14,883,474 15,495,810 14,327,074 1,168,736 (5,403,656) (5,654,690) (5,359,818) 294,872 5,154,104 (35,500) 5,118,604 5,154,104 (35,500) 5,118,604 5,104,160 (2,183) 5,101,977 (49,944) 33,317 (16,627) (285,052) (536,086) (257,841) 278,245 2,049,835 1,764,783 $ Final $ 2,049,835 1,513,749 The Notes to the Budgetary Comparison Schedules are an integral part of this schedule. 86 $ 1,940,974 1,683,133 (998) 210 42,232 (1,096,565) 39,518 14,138 87,482 40,119 (873,864) (98,947) $ (108,861) 169,384 Coconino County Required Supplementary Information Budgetary Comparison Schedule Flood Control District Fund Year Ended June 30, 2014 Budgeted Amounts Actual Amounts Variance with Final Budget Original Final Revenues: Property taxes Licenses and permits Intergovernmental Charges for services Investment earnings Contributions Total revenues $ 2,469,330 8,000 10,569,419 1,950 20,000 10,404 13,079,103 $ 2,469,330 8,000 10,569,419 1,950 20,000 10,404 13,079,103 $ 2,475,850 2,000 4,659,166 50,325 10,374 7,197,715 6,520 (6,000) (5,910,253) (1,950) 30,325 (30) (5,881,388) Expenditures: Public Safety Flood Control Total expenditures 13,736,681 13,736,681 13,681,681 13,681,681 11,009,146 11,009,146 2,672,535 2,672,535 (3,811,431) (3,208,853) $ Excess (deficiency) of revenues over expenditures (657,578) (602,578) Other financing sources (uses): Transfers out Total other financing sources (uses) (550,000) (550,000) (550,000) (550,000) Net changes in fund balances (1,207,578) (1,152,578) (3,811,431) (2,658,853) Fund balance, July 1, 2013 Fund balance, June 30, 2014 858,515 $ (349,063) 858,515 $ (294,063) 1,776,803 $ (2,034,628) 918,288 $ (1,740,565) The Notes to the Budgetary Comparison Schedules are an integral part of this schedule. 87 550,000 550,000 Coconino County Required Supplementary Information Notes to Budgetary Comparison Schedules June 30, 2014 NOTE 1 – BUDGETING AND BUDGETARY CONTROL 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. Expenditures may not legally exceed appropriations at the department level. In certain instances, transfers of appropriations between departments or from the contingency account to a department may be made upon the Board of Supervisors’ approval. With the exception of the General Fund and the Public Health Services District Fund, each fund includes only one department. NOTE 2 – BUDGETARY BASIS OF ACCOUNTING The County’s budget is prepared on a basis consistent with generally accepted accounting principles. NOTE 3 – EXPENDITURES IN EXCESS OF APPROPRIATIONS For the year ended June 30, 2014, expenditures exceeded final budget amounts at the department level (the legal level of budgetary control) as follows: Fund/Department General Fund Superior Courts Legal Defender Public Health Services District Fund Medical Examiner Excess $ 190,873 44,946 98,947 Departments may exceed their department’s budget for various reasons, including unexpected events. When departments exceed their budget, this is addressed with the departments in their subsequent budget meetings with the County Manager and the Board of Supervisors. 88 Coconino County Required Supplementary Information Schedule of Agent Retirement Plan's and Coconino County Postemployment Healthcare Plan's Funding Progress June 30, 2014 Plan Actuarial Valuation Date Actuarial Value of Plan Assets (a) Actuarial Accrued Liability (b) Funding (Liability) Excess (a-b) Funded Ratio (a/b) Annual Covered Payroll (c) Unfunded Liability as Percentage of Covered Payroll ([a-b]/c) Public Safety Personnel Retirement System Pension 6/30/2014 6/30/2013 6/30/2012 $ 10,073,045 11,083,591 11,595,499 $ 39,892,490 32,979,729 32,936,516 $ (29,819,445) (21,896,138) (21,341,017) 25.3% 33.6% 35.2% $ 2,950,184 2,805,923 2,598,786 1010.8% 780.4% 821.2% Health Insurance Premium Benefit 6/30/2014 6/30/2013 6/30/2012 $ $ $ (188,830) (830,335) (863,222) 75.7% 0.0% 0.0% $ 2,950,184 2,805,923 2,598,786 6.4% 29.6% 33.2% $ (8,472,061) (9,911,098) (7,887,569) 0.0% 0.0% 0.0% $ 49,547,980 48,579,979 51,641,941 17.10% 20.40% 15.27% 587,700 776,530 830,335 863,222 Coconino County Postemployment Healthcare Plan 7/1/2013 $ 8,472,061 Insurance 7/1/2011 9,911,098 7/1/2009 7,887,569 Note 1: Actuarial Information Available New actuarial measurements are required by GASB Statement 45 to be made biennially for the Coconino County Postemployment Healthcare Plan. Note 2: Factors That Affect the Identification of Trends Beginning in fiscal year 2014, PSPRS established separate funds for pension benefits and health insurance premium benefits. Previously, the plan recorded both pension and health insurance premium contributions in the same Pension Fund. During fiscal year 2014, the plan transferred prioryear health insurance premium benefit contributions that exceeded benefit payments from the plan’s Pension Fund to the new Health Insurance Fund. 89 COMBINING AND INDIVIDUAL FUND STATEMENTS AND SCHEDULES NONMAJOR GOVERNMENTAL FUNDS 90 Coconino County Listing of Nonmajor Governmental Funds Year Ended June 30, 2014 Special Revenue Funds Adult Probation Grants and Fees – accounts for various Adult Probation programs provided by a combination of grants and fees. Assessor Storage and Retrieval – accounts for the collection and use of a special recording surcharge, not to exceed four dollars, to be used to convert the assessor’s property information and storage retrieval system to micrographics or computer automation, as established by A.R.S. 11-269.06. Career Center Grants – accounts for various federal and state employment grants, such as the Workforce Investment Act and the Youthbuild Program. Clerk of the Superior Court Grants and Fees – accounts for various Clerk of the Court programs provided by a combination of grants and fees. Community Services Grants and Fees – accounts for various public assistance programs provided by a combination of grants and fees. Conciliation Court – this program provides a means for the reconciliation of spouses and the amicable settlement of domestic and family controversies. This program is funded by fees collected under A.R.S. 25-311. County Attorney Grants and Fees – accounts for various County Attorney programs funded by a combination of fees, grants and forfeiture. Programs included AntiRacketeering, Attorney Enhancement and Victim Rights. County Improvement Districts – Special Revenue – accounts for the operation of various Road Maintenance Districts and the Kachina Village Water and Wastewater operations. County Library District – accounts for the provision and maintenance of libraries and library services through the County. Funded by a secondary property tax levy. Emergency Services Grants – accounts for various federal and state grants that fund purchases of equipment and disaster planning and training. Inmate Welfare – accounts for funds held in trust for the benefit and welfare of inmates, established under A.R.S. 31-121. Revenues are derived from sales of commissary items to inmates and pay phone usage. Jail Enhancement – accounts for state funds established under A.R.S. 41-2401.D.9. to be used to enhance county jail facilities and operations. Justice Courts Grants and Fees – accounts for various Justice Court programs provided by a combination of grants and fees Juvenile Court Grants and Fees – accounts for various Juvenile Probation programs, including Juvenile Court, provided by a combination of grants and fees 91 Coconino County Listing of Nonmajor Governmental Funds Year Ended June 30, 2014 Legal Defender Grants and Fees – accounts for various Legal Defender programs provided by a combination of grants and fees National Forest Fees – accounts for funds received under the federal Secure Rural Schools and Community Self-Determination Act of 2000. These funds may be used to fund schools, roads, search and rescue, wildfire protection, and wildlife protection. Parks and Recreation Grants and Fees – accounts for various parks programs funded by federal and state grants, fees and General Fund transfers. These programs include the County Fair and the County Horse Races. Public Defender Grants and Fees – accounts for various Public Defender programs provided by a combination of grants and fees Recorder Storage and Retrieval – accounts for a recording surcharge, established by A.R.S. 11-475.01, to be used to defray the cost of converting the Recorder’s document and storage retrieval system to micrographics or computer automation. School Superintendent Grants and Fees – accounts for various Schools programs, including the Accommodation School, provided by a combination of grants and fees Sheriff Grants and Fees – accounts for various Sheriff programs provided by a combination of grants and fees Solid Waste – accounts for the costs of providing solid waste services, including the operation of transfer stations and payments for the use of the City of Flagstaff landfill. Funded by a combination of grants, fees and General Fund transfers. Superior Court Grants and Fees – accounts for various Superior Court programs provided by a combination of grants and fees Taxpayer Information Fund – accounts for fees collected by the County Treasurer, established by A.R.S. 11-495, to be used to upgrade an automated taxpayer information system. Other Special Revenue Funds – accounts for other small grants and fees. Debt Service Fund County Improvement Districts – Debt Service – accounts for special assessment collected for the payment of principal and interest on the revenue bonds issued for special assessment bonds issued by various county improvement districts, or National Forest Fees loans, for road improvements. 92 Coconino County Listing of Nonmajor Governmental Funds Year Ended June 30, 2014 Capital Projects Funds Accommodation School – accounts for various grants used to fund capital improvements for the Accommodation School. County Improvement Districts – Capital Projects – accounts for the construction of road improvements in various county improvement districts, funded by special assessment bonds, assessment payments by benefiting property owners and National Forest Fees contributions or loans. Other Capital Projects Funds – accounts for other small capital projects funded by fees, grants and transfers from the General Fund. 93 Coconino County Combining Balance Sheet Nonmajor Governmental Funds June 30, 2014 Special Revenue Adult Probation Grants and Fees Assets Cash and cash equivalents Investments Cash and investments held by trustee Receivables (net of allowances for uncollectibles): Property taxes Accounts Special assessments Accrued interest Advances to other funds Due from: Other funds Other governments Prepaid items Total assets Liabilities and Fund Balances Liabilities: Accounts payable Accrued payroll and employee benefits Advances from other funds Due to: Other funds Other governments Deposits held for others Unearned revenue Total liabilities $ 717,269 Assessor Storage and Retrieval Career Center Grants $ $ 17,314 Clerk of the Superior Court Grants and Fees $ 406,504 370 $ $ 1,188 4 607 79,634 4,101 214,344 884 219,333 3,370 1,542 800,003 14,818 59,840 $ 17,314 $ $ 17 $ 44,601 20,433 20,608 17,184 $ 410,481 $ 1,900 170,041 139,692 17 207,833 1,900 1,542 658,769 17,297 884 10,616 408,581 660,311 17,297 11,500 408,581 Deferred Inflows of Resources Unavailable revenue Total deferred inflows of resources Fund balances: Nonspendable Restricted Unassigned Total fund balances Total liabilities, deferred inflows of resources, and fund balances $ 800,003 94 $ 17,314 $ 219,333 $ 410,481 Coconino County Combining Balance Sheet Nonmajor Governmental Funds (Continued) June 30, 2014 Special Revenue Community Services Grants and Fees Assets Cash and cash equivalents Investments Cash and investments held by trustee Receivables (net of allowances for uncollectibles): Property taxes Accounts Special assessments Accrued interest Advances to other funds Due from: Other funds Other governments Prepaid items Total assets Liabilities and Fund Balances Liabilities: Accounts payable Accrued payroll and employee benefits Advances from other funds Due to: Other funds Other governments Deposits held for others Unearned revenue Total liabilities $ Conciliation Court $ 69,009 $ 73,710 $ $ 367,972 432,230 26,231 County Improvement DistrictsSpecial Revenue $ 1,257 117,786 102 701 2,254 530,196 177,527 4,509 786,260 221 2,654 111,209 350,552 19,818 1,309,970 2,299 43,243 18,505 $ 71,986 $ $ 1,754 990 $ 16,753 14,079 $ 1,689,287 $ 63,123 10,509 3,886 2,806 7,197 18,270 Fund balances: Nonspendable Restricted Unassigned $ 1,566,948 318 575,406 Deferred Inflows of Resources Unavailable revenue Total deferred inflows of resources Total fund balances Total liabilities, deferred inflows of resources, and fund balances County Attorney Grants and Fees 22,880 655,424 2,744 49,430 49,430 454 454 4,509 76,897 81,406 786,260 95 $ 37,524 103,709 68,788 19,818 1,252,628 1,585,578 68,788 1,272,446 1,585,578 71,986 $ 1,309,970 $ 1,689,287 Coconino County Combining Balance Sheet Nonmajor Governmental Funds (Continued) June 30, 2014 Special Revenue County Library District Assets Cash and cash equivalents Investments Cash and investments held by trustee Receivables (net of allowances for uncollectibles): Property taxes Accounts Special assessments Accrued interest Advances to other funds Due from: Other funds Other governments Prepaid items Total assets Liabilities and Fund Balances Liabilities: Accounts payable Accrued payroll and employee benefits Advances from other funds Due to: Other funds Other governments Deposits held for others Unearned revenue Total liabilities $ $ Inmate Welfare $ 298,101 Jail Enhancement $ 614,333 121,464 300 370 104,313 9,939 $ 381 917 1,033 $ 299,515 $ 388 19,380 968 636,286 $ 26,209 3,951 $ 27,816 5,327 124,664 378 396 97,299 129,991 30,538 28,212 99,599 99,599 8,678 8,678 380,543 $ $ 114,252 $ 97,299 Deferred Inflows of Resources Unavailable revenue Total deferred inflows of resources Fund balances: Nonspendable Restricted Unassigned Total fund balances Total liabilities, deferred inflows of resources, and fund balances 258,709 Emergency Services Grants 18 18 183,645 268,977 968 607,088 268,977 608,056 (24,417) 183,645 $ 380,543 96 (24,417) $ 114,252 $ 299,515 $ 636,286 Coconino County Combining Balance Sheet Nonmajor Governmental Funds (Continued) June 30, 2014 Special Revenue Justice Courts Grants and Fees Assets Cash and cash equivalents Investments Cash and investments held by trustee Receivables (net of allowances for uncollectibles): Property taxes Accounts Special assessments Accrued interest Advances to other funds Due from: Other funds Other governments Prepaid items Total assets Liabilities and Fund Balances Liabilities: Accounts payable Accrued payroll and employee benefits Advances from other funds Due to: Other funds Other governments Deposits held for others Unearned revenue Total liabilities $ 666,026 Juvenile Court Grants and Fees $ 953,162 Legal Defender Grants and Fees $ 8,042 National Forest Fees $ 5,049,752 137 972 1,597 12 12,439 13,147 24,844 5,202 5,434 692 7,339 89,626 $ 692,721 $ 984,805 $ 14,180 $ 5,146,717 $ 13,121 4,077 $ 23,282 45,996 $ 969 $ 1 264,296 18,747 60,947 5,370 408,448 281,494 148,972 6,339 408,449 411,227 835,833 7,841 4,738,268 411,227 835,833 7,841 4,738,268 Deferred Inflows of Resources Unavailable revenue Total deferred inflows of resources Fund balances: Nonspendable Restricted Unassigned Total fund balances Total liabilities, deferred inflows of resources, and fund balances $ 692,721 97 $ 984,805 $ 14,180 $ 5,146,717 Coconino County Combining Balance Sheet Nonmajor Governmental Funds (Continued) June 30, 2014 Special Revenue Parks and Recreation Grants and Fees Assets Cash and cash equivalents Investments Cash and investments held by trustee Receivables (net of allowances for uncollectibles): Property taxes Accounts Special assessments Accrued interest Advances to other funds Due from: Other funds Other governments Prepaid items Total assets Liabilities and Fund Balances Liabilities: Accounts payable Accrued payroll and employee benefits Advances from other funds Due to: Other funds Other governments Deposits held for others Unearned revenue Total liabilities $ $ $ 503,043 Public Defender Grants and Fees $ 87,107 Recorder Storage and Retrieval School Superintendent Grants and Fees $ $ 199,246 625 54 772 131 1,362 19,369 125 525,296 $ 48,909 5,972 760 142,933 $ 213,699 $ $ 8,755 $ 8,365 $ 25,603 2,559 1,143,567 3,917 419 4,605 14,034 48,909 7,977 646,209 21,875 1,828,150 310,697 10,227 5,000 7,000 35,162 57,664 8,365 325,924 125 490,009 760 84,509 205,334 21,875 1,480,351 490,134 85,269 205,334 1,502,226 Deferred Inflows of Resources Unavailable revenue Total deferred inflows of resources Fund balances: Nonspendable Restricted Unassigned Total fund balances Total liabilities, deferred inflows of resources, and fund balances $ 525,296 98 $ 142,933 $ 213,699 $ 1,828,150 Coconino County Combining Balance Sheet Nonmajor Governmental Funds (Continued) June 30, 2014 Special Revenue Assets Cash and cash equivalents Investments Cash and investments held by trustee Receivables (net of allowances for uncollectibles): Property taxes Accounts Special assessments Accrued interest Advances to other funds Due from: Other funds Other governments Prepaid items Total assets Liabilities and Fund Balances Liabilities: Accounts payable Accrued payroll and employee benefits Advances from other funds Due to: Other funds Other governments Deposits held for others Unearned revenue Total liabilities Sheriff Grants and Fees Solid Waste $ $ $ 387,769 Taxpayer Information Fund $ 67,711 45 504 642 58,610 235,445 106,424 100,035 $ 441,786 $ 206,459 $ $ 20,454 13,329 $ 80,885 5,899 $ Deferred Inflows of Resources Unavailable revenue Total deferred inflows of resources 257,825 25,039 1,519 672,839 48,587 7,913 100 $ 67,811 $ 1 31,741 119,659 12,410 869 65,524 206,443 69,779 1 252,988 16 1,519 601,541 67,810 252,988 16 603,060 67,810 123,274 123,274 Fund balances: Nonspendable Restricted Unassigned Total fund balances Total liabilities, deferred inflows of resources, and fund balances 147,227 Superior Court Grants and Fees $ 441,786 99 $ 206,459 $ 672,839 $ 67,811 Coconino County Combining Balance Sheet Nonmajor Governmental Funds (Continued) June 30, 2014 Assets Cash and cash equivalents Investments Cash and investments held by trustee Receivables (net of allowances for uncollectibles): Property taxes Accounts Special assessments Accrued interest Advances to other funds Due from: Other funds Other governments Prepaid items Total assets Liabilities and Fund Balances Liabilities: Accounts payable Accrued payroll and employee benefits Advances from other funds Due to: Other funds Other governments Deposits held for others Unearned revenue Total liabilities Special Revenue Debt Service Other Special Revenue Funds County Improvement Districts-Debt Service $ $ 23 507 254,924 1,106 97,825 2,698 $ 97,848 $ 556,410 $ 243 2,423 $ 2 52,568 95,170 2,698 97,836 55,268 Deferred Inflows of Resources Unavailable revenue Total deferred inflows of resources 259,521 259,521 Fund balances: Nonspendable Restricted Unassigned Total fund balances Total liabilities, deferred inflows of resources, and fund balances 297,175 $ 12 241,621 12 241,621 97,848 100 $ 556,410 Coconino County Combining Balance Sheet Nonmajor Governmental Funds (Continued) June 30, 2014 Accommodation School Assets Cash and cash equivalents Investments Cash and investments held by trustee Receivables (net of allowances for uncollectibles): Property taxes Accounts Special assessments Accrued interest Advances to other funds Due from: Other funds Other governments Prepaid items Total assets Liabilities and Fund Balances Liabilities: Accounts payable Accrued payroll and employee benefits Advances from other funds Due to: Other funds Other governments Deposits held for others Unearned revenue Total liabilities $ 79,478 Capital Projects County Improvement DistrictsCapital Projects $ 108 617,554 72,889 Other Capital Projects Funds $ 1,295 2,910,768 71,762 79,586 $ $ 691,738 $ 3,080,646 $ 2 $ 5,454 121,464 198,731 254,924 27,664 89,626 1,558,007 1,839,540 52,000 $ 22,178,854 485,320 760,762 224,708 537,888 485,322 1,939,017 182,354 41,150 7,000 3,692,879 5,454 Deferred Inflows of Resources Unavailable revenue Total deferred inflows of resources $ 540,974 540,974 Fund balances: Nonspendable Restricted Unassigned Total fund balances Total liabilities, deferred inflows of resources, and fund balances $ 17,433,786 576,881 26,231 1,220 96,896 $ Total Nonmajor Governmental Funds $ 79,586 206,416 3,075,192 52,000 17,917,418 (24,417) 79,586 206,416 3,075,192 17,945,001 3,080,646 $ 22,178,854 79,586 101 $ 691,738 $ Coconino County Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Nonmajor Governmental Funds Year Ended June 30, 2014 Special Revenue Adult Probation Grants and Fees Revenues: Property taxes Other taxes Special assessments Fees, fines, and forfeits Intergovernmental Charges for services Investment earnings Contributions Miscellaneous Total revenues $ $ Career Center Grants $ 2,102,736 602,921 13,268 Clerk of the Superior Court Grants and Fees $ 952,514 40 2,718,965 Expenditures: Current: General government Public safety Highways and streets Sanitation Welfare Culture and recreation Education Capital outlay Debt service: Principal Interest and other charges Total expenditures 55 53,691 8,089 952,569 61,780 10,259 106,044 2,735,208 948,933 2,735,208 Excess (deficiency) of revenues over expenditures 10,259 (16,243) Other financing sources (uses): Sale of capital assets Transfers in Transfers out Total other financing sources and (uses) Net changes in fund balances Fund balances, July 1, 2013 Fund balances, June 30, 2014 Assessor Storage and Retrieval (10,259) 106,044 3,636 (44,264) 15,868 2,764 15,868 2,764 (375) $ 948,933 660,686 660,311 (10,259) $ 102 27,556 17,297 3,636 $ 7,864 11,500 (41,500) $ 450,081 408,581 Coconino County Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Nonmajor Governmental Funds (Continued) Year Ended June 30, 2014 Special Revenue Community Services Grants and Fees Revenues: Property taxes Other taxes Special assessments Fees, fines, and forfeits Intergovernmental Charges for services Investment earnings Contributions Miscellaneous Total revenues $ $ County Attorney Grants and Fees $ $ 11,400 Expenditures: Current: General government Public safety Highways and streets Sanitation Welfare Culture and recreation Education Capital outlay Debt service: Principal Interest and other charges Total expenditures 995,755 687,001 2,695 142,006 2,502 1,829,959 11,462 44,213 1,631 689,407 485,547 34,493 29,781 57,306 1,239,228 6,725 82,334 1,246,143 1,166,760 22,619 27,411 1,228,190 9,640 917,405 2,858,315 Excess (deficiency) of revenues over expenditures Other financing sources (uses): Sale of capital assets Transfers in Transfers out Total other financing sources and (uses) 2,865,040 82,334 (1,035,081) (25,028) 1,246,143 927,045 (6,915) 301,145 16,952 Net changes in fund balances Fund balances, July 1, 2013 Fund balances, June 30, 2014 Conciliation Court County Improvement Districts-Special Revenue 518,996 (7,200) 133,373 (68,132) 511,796 65,241 16,952 58,326 318,097 (523,285) $ 604,691 81,406 (25,028) $ 103 93,816 68,788 $ 1,214,120 1,272,446 $ 1,267,481 1,585,578 Coconino County Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Nonmajor Governmental Funds (Continued) Year Ended June 30, 2014 Special Revenue Revenues: Property taxes Other taxes Special assessments Fees, fines, and forfeits Intergovernmental Charges for services Investment earnings Contributions Miscellaneous Total revenues County Library District Emergency Services Grants Inmate Welfare Jail Enhancement $ $ $ $ 97,387 229,809 88,281 3,518 12,361 97,387 187,377 279,176 242,170 273,700 266,740 318,222 273,700 266,740 318,222 (176,313) 12,436 (76,052) 12,436 (76,052) 7,940 85,033 4,006,394 Expenditures: Current: General government Public safety Highways and streets Sanitation Welfare Culture and recreation Education Capital outlay Debt service: Principal Interest and other charges Total expenditures 3,923,343 3,923,343 Excess (deficiency) of revenues over expenditures 83,051 Other financing sources (uses): Sale of capital assets Transfers in Transfers out Total other financing sources and (uses) 100,459 (92,472) Net changes in fund balances Fund balances, July 1, 2013 Fund balances, June 30, 2014 3,913,206 215 $ (92,472) 100,459 (9,421) (75,854) 193,066 183,645 $ 104 51,437 (24,417) $ 256,541 268,977 $ 684,108 608,056 Coconino County Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Nonmajor Governmental Funds (Continued) Year Ended June 30, 2014 Special Revenue Justice Courts Grants and Fees Revenues: Property taxes Other taxes Special assessments Fees, fines, and forfeits Intergovernmental Charges for services Investment earnings Contributions Miscellaneous Total revenues $ Expenditures: Current: General government Public safety Highways and streets Sanitation Welfare Culture and recreation Education Capital outlay Debt service: Principal Interest and other charges Total expenditures $ Legal Defender Grants and Fees $ 20,387 46,807 434,962 12,631 2,118,186 93,750 17,477 514,787 740 2,230,153 308,196 National Forest Fees $ 2,497 3,323,397 175 82,407 2,672 3,405,804 1,716 2,192,117 1,447,369 Excess (deficiency) of revenues over expenditures Other financing sources (uses): Sale of capital assets Transfers in Transfers out Total other financing sources and (uses) 308,196 2,192,117 1,716 1,447,369 206,591 38,036 956 1,958,435 4,068 5,434 (5,370) (270,480) Net changes in fund balances Fund balances, July 1, 2013 Fund balances, June 30, 2014 Juvenile Court Grants and Fees $ (270,480) 4,068 64 (63,889) 42,104 1,020 475,116 411,227 $ 105 793,729 835,833 $ 6,821 7,841 (1,759,012) (1,759,012) 199,423 $ 4,538,845 4,738,268 Coconino County Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Nonmajor Governmental Funds (Continued) Year Ended June 30, 2014 Special Revenue Parks and Recreation Grants and Fees Revenues: Property taxes Other taxes Special assessments Fees, fines, and forfeits Intergovernmental Charges for services Investment earnings Contributions Miscellaneous Total revenues $ $ 110,919 439,251 9,048 Recorder Storage and Retrieval $ 21,554 15,086 574,304 Expenditures: Current: General government Public safety Highways and streets Sanitation Welfare Culture and recreation Education Capital outlay Debt service: Principal Interest and other charges Total expenditures School Superintendent Grants and Fees $ 1,603 59,521 114,793 6,486 23,157 180,800 19,009 255,217 (18) 5,290,591 67,464 32,769 67,775 115,811 5,574,392 431,646 5,252,180 Excess (deficiency) of revenues over expenditures Other financing sources (uses): Sale of capital assets Transfers in Transfers out Total other financing sources and (uses) 431,646 19,009 255,217 142,658 4,148 (74,417) 10,000 (116,150) 48,909 (48,909) (49,344) (106,150) Net changes in fund balances Fund balances, July 1, 2013 Fund balances, June 30, 2014 Public Defender Grants and Fees 4,148 453,626 490,134 $ 106 322,212 (49,344) 36,508 $ 5,252,180 81,121 85,269 (123,761) $ 329,095 205,334 322,212 $ 1,180,014 1,502,226 Coconino County Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Nonmajor Governmental Funds (Continued) Year Ended June 30, 2014 Special Revenue Sheriff Grants and Fees Revenues: Property taxes Other taxes Special assessments Fees, fines, and forfeits Intergovernmental Charges for services Investment earnings Contributions Miscellaneous Total revenues Expenditures: Current: General government Public safety Highways and streets Sanitation Welfare Culture and recreation Education Capital outlay Debt service: Principal Interest and other charges Total expenditures $ $ 571,568 63,329 5,143 2,925 264,408 125,856 642,965 390,264 $ 187,131 170,476 8,665 9,000 1,292 376,564 16,599 753,689 24,988 15,201 1,398 856,065 496,150 Excess (deficiency) of revenues over expenditures Other financing sources (uses): Sale of capital assets Transfers in Transfers out Total other financing sources and (uses) Net changes in fund balances Fund balances, July 1, 2013 Fund balances, June 30, 2014 Solid Waste $ Taxpayer Information Fund Superior Court Grants and Fees 856,065 496,150 753,689 24,988 (213,100) (105,886) (377,125) (8,389) 93,049 105,887 340,928 (2,764) 93,049 105,887 338,164 (120,051) $ 373,039 252,988 1 $ 107 15 16 (38,961) $ 642,021 603,060 (8,389) $ 76,199 67,810 Coconino County Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Nonmajor Governmental Funds (Continued) Year Ended June 30, 2014 Revenues: Property taxes Other taxes Special assessments Fees, fines, and forfeits Intergovernmental Charges for services Investment earnings Contributions Miscellaneous Total revenues Special Revenue Debt Service Other Special Revenue Funds County Improvement Districts-Debt Service $ 221,548 13,782 16,015 13,782 Expenditures: Current: General government Public safety Highways and streets Sanitation Welfare Culture and recreation Education Capital outlay Debt service: Principal Interest and other charges Total expenditures 237,563 64,153 60,314 Excess (deficiency) of revenues over expenditures Other financing sources (uses): Sale of capital assets Transfers in Transfers out Total other financing sources and (uses) 124,467 415,808 46,622 462,430 (110,685) (224,867) 110,686 110,686 Net changes in fund balances Fund balances, July 1, 2013 Fund balances, June 30, 2014 $ 1 $ 11 12 108 (224,867) $ 466,488 241,621 Coconino County Combining Statement of Revenues, Expenditures, and Changes in Fund Balances Nonmajor Governmental Funds (Continued) Year Ended June 30, 2014 Capital Projects Accommodation School Revenues: Property taxes Other taxes Special assessments Fees, fines, and forfeits Intergovernmental Charges for services Investment earnings Contributions Miscellaneous Total revenues $ County Improvement Districts-Capital Projects $ Other Capital Projects Funds Total Nonmajor Governmental Funds $ $ 1,135 14,564 741 64,889 14,564 741 3,913,188 215 232,948 709,794 16,935,543 4,216,224 312,214 306,739 350,259 26,977,124 104,266 2,878,473 6,642,052 69,954 1,413,555 3,807,248 4,354,989 6,699,549 147,146 104,266 415,808 46,622 26,475,396 63,754 Expenditures: Current: General government Public safety Highways and streets Sanitation Welfare Culture and recreation Education Capital outlay Debt service: Principal Interest and other charges Total expenditures 42,880 42,880 Excess (deficiency) of revenues over expenditures 22,009 14,564 (103,525) Other financing sources (uses): Sale of capital assets Transfers in Transfers out Total other financing sources and (uses) Net changes in fund balances Fund balances, July 1, 2013 Fund balances, June 30, 2014 22,009 $ 14,564 57,577 79,586 $ 109 191,852 206,416 $ 501,728 3,060,896 16,952 4,551,317 (2,419,833) 3,060,896 2,148,436 2,957,371 2,650,164 117,821 3,075,192 $ 15,294,837 17,945,001 Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Adult Probation Grants and Fees Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Intergovernmental Charges for services Investment earnings Miscellaneous Total revenues $ Expenditures: Public safety Adult Probation Total expenditures Actual Amounts Final 1,796,177 559,500 12,400 $ 2,123,169 559,500 12,400 $ 2,368,077 2,695,069 2,102,736 602,921 13,268 40 2,718,965 3,145,025 3,145,025 3,135,066 3,135,066 2,735,208 2,735,208 Variance with Final BudgetPositive (Negative) $ (20,433) 43,421 868 40 23,896 399,858 399,858 Excess (deficiency) of revenues over expenditures (776,948) (439,997) 402,818 (550) 402,268 61,474 (550) 60,924 Net changes in fund balances (374,680) (379,073) Fund balance, July 1, 2013 Fund balance, June 30, 2014 588,856 214,176 588,856 209,783 Other financing sources (uses): Transfers in Transfers out Total other financing sources (uses) $ 110 $ (16,243) 423,754 15,868 (45,606) 550 (45,056) 15,868 (375) $ 660,686 660,311 378,698 $ 71,830 450,528 Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Assessor Storage and Retrieval Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Total revenues $ Expenditures: General government Assessor Total expenditures Actual Amounts Final $ $ Variance with Final BudgetPositive (Negative) $ 19,000 19,000 27,555 27,555 10,259 10,259 17,296 17,296 (19,000) (27,555) (10,259) 17,296 (19,000) (27,555) (10,259) 17,296 Excess (deficiency) of revenues over expenditures Net changes in fund balances Fund balance, July 1, 2013 Fund balance, June 30, 2014 19,000 $ $ 111 19,000 (8,555) $ 27,556 17,297 $ 8,556 25,852 Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Career Center Grants Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Intergovernmental Investment earnings Total revenues $ Expenditures: Welfare Career Center Total expenditures Actual Amounts Final 1,431,744 $ 1,367,846 $ Variance with Final BudgetPositive (Negative) $ 1,431,744 1,367,846 952,514 55 952,569 (415,332) 55 (415,277) 1,441,547 1,441,547 1,371,592 1,371,592 948,933 948,933 422,659 422,659 Excess (deficiency) of revenues over expenditures Net changes in fund balances Fund balance, July 1, 2013 Fund balance, June 30, 2014 $ (9,803) (3,746) 3,636 7,382 (9,803) (3,746) 3,636 7,382 2,741 (7,062) 112 $ 2,741 (1,005) $ 7,864 11,500 $ 5,123 12,505 Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Clerk of the Superior Court Grants and Fees Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Fees, fines, and forfeits Charges for services Investment earnings Total revenues $ Expenditures: General government Clerk of the Superior Court Total expenditures Actual Amounts Final 100,000 50,300 4,500 154,800 $ 100,000 50,300 4,500 154,800 $ Variance with Final BudgetPositive (Negative) $ 53,691 8,089 61,780 (100,000) 3,391 3,589 (93,020) 175,778 175,778 175,778 175,778 106,044 106,044 69,734 69,734 (20,978) (20,978) (44,264) (23,286) Other financing sources (uses): Transfers in Total other financing sources (uses) 13,309 13,309 13,309 13,309 2,764 2,764 (10,545) (10,545) Net changes in fund balances (7,669) (7,669) (41,500) (33,831) Excess (deficiency) of revenues over expenditures Fund balance, July 1, 2013 Fund balance, June 30, 2014 $ 476,402 468,733 113 $ 476,402 468,733 $ 450,081 408,581 $ (26,321) (60,152) Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Community Services Grants and Fees Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Intergovernmental Charges for services Investment earnings Contributions Miscellaneous Total revenues Expenditures: General government Facilities Welfare Community Services Total expenditures Actual Amounts Final Variance with Final BudgetPositive (Negative) 2,237,423 1,590,046 2,000 127,149 1,800 3,958,418 2,237,423 1,590,046 2,000 127,149 1,800 3,958,418 995,755 687,001 2,695 142,006 2,502 1,829,959 (1,241,668) (903,045) 695 14,857 702 (2,128,459) 58,869 42,729 6,725 36,004 4,817,394 4,876,263 4,817,394 4,860,123 2,858,315 2,865,040 1,959,079 1,995,083 Excess (deficiency) of revenues over expenditures (917,845) (901,705) (1,035,081) (133,376) 691,083 691,083 691,083 (10,000) 681,083 518,996 (7,200) 511,796 (172,087) 2,800 (169,287) Net changes in fund balances (226,762) (220,622) (523,285) (302,663) Fund balance, July 1, 2013 Fund balance, June 30, 2014 651,237 424,475 651,237 430,615 604,691 81,406 (46,546) (349,209) Other financing sources (uses): Transfers in Transfers out Total other financing sources (uses) $ 114 $ $ $ Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Conciliation Court Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Intergovernmental Charges for services Investment earnings Total revenues $ Expenditures: General government Superior Courts Total expenditures Actual Amounts Final 9,000 44,400 1,000 54,400 $ 9,000 44,400 1,000 54,400 $ 11,462 44,213 1,631 57,306 Variance with Final BudgetPositive (Negative) $ 2,462 (187) 631 2,906 83,909 83,909 83,909 83,909 82,334 82,334 1,575 1,575 (29,509) (29,509) (25,028) 4,481 (29,509) (29,509) (25,028) 4,481 Excess (deficiency) of revenues over expenditures Net changes in fund balances Fund balance, July 1, 2013 Fund balance, June 30, 2014 $ 92,537 63,028 115 $ 92,537 63,028 $ 93,816 68,788 $ 1,279 5,760 Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual County Attorney Grants and Fees Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Fees, fines, and forfeits Intergovernmental Charges for services Investment earnings Total revenues $ Expenditures: General government County Attorney Total expenditures Actual Amounts Final 650,000 538,039 37,000 46,750 1,271,789 $ 1,712,515 1,712,515 650,000 521,932 37,000 46,750 1,255,682 $ 1,731,805 1,731,805 689,407 485,547 34,493 29,781 1,239,228 Variance with Final BudgetPositive (Negative) $ 1,246,143 1,246,143 39,407 (36,385) (2,507) (16,969) (16,454) 485,662 485,662 Excess (deficiency) of revenues over expenditures Other financing sources (uses): Transfers in Transfers out Total other financing sources (uses) Net changes in fund balances Fund balance, July 1, 2013 Fund balance, June 30, 2014 $ (440,726) (476,123) (6,915) 139,638 (88,945) 50,693 211,024 (209,824) 1,200 133,373 (68,132) 65,241 (77,651) 141,692 64,041 (390,033) (474,923) 58,326 533,249 1,327,726 937,693 116 $ 1,327,726 852,803 $ 1,214,120 1,272,446 469,208 $ (113,606) 419,643 Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual County Improvement Districts - Special Revenue Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Special assessments Charges for services Investment earnings Miscellaneous Total revenues $ Expenditures: Highways and streets Improvement Districts Sanitation KVID Total expenditures Actual Amounts Final 11,400 1,170,500 9,530 20,000 1,211,430 $ 11,400 1,170,500 9,530 20,000 1,211,430 $ 11,400 1,166,760 22,619 27,411 1,228,190 Variance with Final BudgetPositive (Negative) $ (3,740) 13,089 7,411 16,760 11,400 11,400 9,640 1,760 1,752,019 1,763,419 1,752,019 1,763,419 917,405 927,045 834,614 836,374 301,145 853,134 16,952 16,952 16,952 16,952 318,097 870,086 Excess (deficiency) of revenues over expenditures (551,989) (551,989) Other financing sources (uses): Sale of capital assets Total other financing sources (uses) Net changes in fund balances Fund balance, July 1, 2013 Fund balance, June 30, 2014 (551,989) $ 625,274 73,285 117 (551,989) $ 625,274 73,285 $ 1,267,481 1,585,578 $ 642,207 1,512,293 Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual County Library District Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Property taxes Other taxes Investment earnings Contributions Total revenues $ Actual Amounts Final 2,500 78,939 3,999,954 2,500 78,939 3,999,954 3,913,206 215 7,940 85,033 4,006,394 3,834,594 3,834,594 3,831,275 3,831,275 3,923,343 3,923,343 (92,068) (92,068) Excess (deficiency) of revenues over expenditures 165,360 168,679 83,051 (85,628) Other financing sources (uses): Transfers out Total other financing sources (uses) (89,153) (89,153) (92,472) (92,472) (92,472) (92,472) 76,207 76,207 (9,421) Expenditures: Culture and recreation Library District Total expenditures Net changes in fund balances Fund balance, July 1, 2013 Fund balance, June 30, 2014 $ 3,918,515 213,542 289,749 118 $ $ 3,918,515 213,542 289,749 $ Variance with Final BudgetPositive (Negative) $ 193,066 183,645 $ (5,309) 215 5,440 6,094 6,440 (85,628) $ (20,476) (106,104) Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Emergency Services Grants Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Intergovernmental Total revenues $ 44,900,994 44,900,994 Expenditures: Public safety County Manager Public Works Total expenditures Actual Amounts Final $ 364,174 44,694,625 45,058,799 161,004 161,004 $ 97,387 97,387 Variance with Final BudgetPositive (Negative) $ (63,617) (63,617) 356,229 (37,420) 318,809 273,700 273,700 82,529 (37,420) 45,109 (157,805) (157,805) (176,313) (18,508) Other financing sources (uses): Transfers in Total other financing sources (uses) 106,369 106,369 106,369 106,369 100,459 100,459 (5,910) (5,910) Net changes in fund balances (51,436) (51,436) (75,854) (24,418) Fund balance, July 1, 2013 Fund balance, June 30, 2014 52,206 770 52,206 770 51,437 (24,417) (769) (25,187) Excess (deficiency) of revenues over expenditures $ 119 $ $ $ Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Inmate Welfare Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Charges for services Investment earnings Miscellaneous Total revenues $ Expenditures: Public safety Sheriff Total expenditures Actual Amounts Final 70,000 8,000 160,250 238,250 $ 70,000 8,000 196,250 274,250 $ 88,281 3,518 187,377 279,176 Variance with Final BudgetPositive (Negative) $ 18,281 (4,482) (8,873) 4,926 360,814 360,814 402,480 402,480 266,740 266,740 135,740 135,740 (122,564) (128,230) 12,436 140,666 (122,564) (128,230) 12,436 140,666 Excess (deficiency) of revenues over expenditures Net changes in fund balances Fund balance, July 1, 2013 Fund balance, June 30, 2014 $ 145,750 23,186 120 $ 145,750 17,520 $ 256,541 268,977 $ 110,791 251,457 Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Jail Enhancement Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Intergovernmental Investment earnings Total revenues $ Expenditures: Public safety Sheriff Total expenditures Actual Amounts Final 213,518 5,374 218,892 $ 213,518 5,374 218,892 $ 229,809 12,361 242,170 Variance with Final BudgetPositive (Negative) $ 16,291 6,987 23,278 539,750 539,750 483,780 483,780 318,222 318,222 165,558 165,558 (320,858) (264,888) (76,052) 188,836 (320,858) (264,888) (76,052) 188,836 Excess (deficiency) of revenues over expenditures Net changes in fund balances Fund balance, July 1, 2013 Fund balance, June 30, 2014 $ 513,891 193,033 121 $ 513,891 249,003 $ 684,108 608,056 $ 170,217 359,053 Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Justice Courts Grants and Fees Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Fees, fines, and forfeits Intergovernmental Charges for services Investment earnings Total revenues $ Expenditures: General government Flagstaff Justice Court Fredonia Justice Court Page Justice Court Williams Justice Court Total expenditures Actual Amounts Final 13,100 14,433 413,675 12,600 453,808 $ 13,100 81,412 413,675 12,600 520,787 $ 20,387 46,807 434,962 12,631 514,787 Variance with Final BudgetPositive (Negative) $ 7,287 (34,605) 21,287 31 (6,000) 261,370 60,852 30,620 74,893 427,735 329,780 60,852 27,620 74,893 493,145 209,196 47,395 8,594 43,011 308,196 120,584 13,457 19,026 31,882 184,949 26,073 27,642 206,591 178,949 Other financing sources (uses): Transfers out Total other financing sources (uses) (251,724) (251,724) (251,724) (251,724) (270,480) (270,480) (18,756) (18,756) Net changes in fund balances (225,651) (224,082) (63,889) 160,193 Excess (deficiency) of revenues over expenditures Fund balance, July 1, 2013 Fund balance, June 30, 2014 $ 475,610 249,959 122 $ 475,610 251,528 $ 475,116 411,227 $ (494) 159,699 Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Juvenile Court Grants and Fees Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Intergovernmental Charges for services Investment earnings Miscellaneous Total revenues $ Expenditures: Public safety Juvenile Probation Total expenditures Actual Amounts Final 2,285,342 82,300 4,000 $ 2,390,685 82,300 4,000 $ Variance with Final BudgetPositive (Negative) 2,371,642 2,476,985 2,118,186 93,750 17,477 740 2,230,153 $ (272,499) 11,450 13,477 740 (246,832) 3,287,555 3,287,555 3,167,828 3,167,828 2,192,117 2,192,117 975,711 975,711 38,036 728,879 Excess (deficiency) of revenues over expenditures (915,913) Other financing sources (uses): Transfers in Total other financing sources (uses) 202,425 202,425 Net changes in fund balances Fund balance, July 1, 2013 Fund balance, June 30, 2014 (690,843) 5,591 5,591 (713,488) $ 727,288 13,800 123 4,068 4,068 (685,252) $ 727,288 42,036 (1,523) (1,523) 42,104 $ 793,729 835,833 727,356 $ 66,441 793,797 Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Legal Defender Grants and Fees Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Intergovernmental Investment earnings Total revenues $ Expenditures: General government Legal Defender Total expenditures Actual Amounts Final 2,000 230 2,230 $ 2,455 2,455 2,000 230 2,230 $ 2,455 2,455 2,497 175 2,672 Variance with Final BudgetPositive (Negative) $ 497 (55) 442 1,716 1,716 739 739 956 1,181 Excess (deficiency) of revenues over expenditures Other financing sources (uses): Transfers in Transfers out Total other financing sources (uses) Net changes in fund balances Fund balance, July 1, 2013 Fund balance, June 30, 2014 $ (225) (225) 4,907 (5,053) (146) 4,907 (5,053) (146) (371) (371) 6,997 6,626 124 $ 6,997 6,626 5,434 (5,370) 64 527 (317) 210 1,020 $ 6,821 7,841 1,391 $ (176) 1,215 Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual National Forest Fees Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Intergovernmental Investment earnings Total revenues Actual Amounts Final $ $ 21,962 21,962 Expenditures: Education School Superintendent Total expenditures 3,323,397 21,962 3,345,359 $ 3,323,397 82,407 3,405,804 Variance with Final BudgetPositive (Negative) $ 60,445 60,445 1,447,369 1,447,369 1,447,369 1,447,369 1,897,990 1,958,435 60,445 (1,759,012) (1,759,012) 575,663 575,663 Excess (deficiency) of revenues over expenditures 21,962 Other financing sources (uses): Transfers out Total other financing sources (uses) (2,334,675) (2,334,675) (2,334,675) (2,334,675) Net changes in fund balances (2,312,713) (436,685) Fund balance, July 1, 2013 Fund balance, June 30, 2014 4,409,775 2,097,062 $ 125 $ 4,409,775 3,973,090 $ 199,423 636,108 4,538,845 4,738,268 129,070 765,178 $ Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Parks and Recreation Grants and Fees Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Intergovernmental Charges for services Investment earnings Miscellaneous Total revenues $ Actual Amounts Final 494,100 617,085 110,919 439,251 9,048 15,086 574,304 372,307 372,307 555,127 555,127 431,646 431,646 123,481 123,481 121,793 61,958 142,658 80,700 (106,150) (106,150) 10,000 (116,150) (106,150) 10,000 (116,150) (106,150) Net changes in fund balances 15,643 (44,192) 36,508 80,700 Fund balance, July 1, 2013 Fund balance, June 30, 2014 348,479 364,122 348,479 304,287 453,626 490,134 105,147 185,847 Expenditures: Culture and recreation Parks and Recreation Total expenditures 85,000 409,100 $ 207,985 409,100 $ Variance with Final BudgetPositive (Negative) $ (97,066) 30,151 9,048 15,086 (42,781) Excess (deficiency) of revenues over expenditures Other financing sources (uses): Transfers in Transfers out Total other financing sources (uses) $ 126 $ $ $ Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Public Defender Grants and Fees Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Intergovernmental Investment earnings Total revenues $ Expenditures: General government Public Defender Total expenditures Actual Amounts Final 20,000 1,700 21,700 $ 20,000 1,700 21,700 $ 21,554 1,603 23,157 Variance with Final BudgetPositive (Negative) $ 1,554 (97) 1,457 30,000 30,000 30,000 30,000 19,009 19,009 10,991 10,991 (8,300) (8,300) 4,148 12,448 45,453 (45,453) 45,453 (45,453) 48,909 (48,909) 3,456 (3,456) Net changes in fund balances (8,300) (8,300) 4,148 12,448 Fund balance, July 1, 2013 Fund balance, June 30, 2014 86,018 77,718 86,018 77,718 81,121 85,269 (4,897) 7,551 Excess (deficiency) of revenues over expenditures Other financing sources (uses): Transfers in Transfers out $ 127 $ $ $ Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Recorder Storage and Retrieval Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Intergovernmental Charges for services Investment earnings Total revenues $ Expenditures: General government Recorder Total expenditures Actual Amounts Final 68,665 130,000 2,400 201,065 $ 102,665 130,000 2,400 235,065 $ 59,521 114,793 6,486 180,800 Variance with Final BudgetPositive (Negative) $ (43,144) (15,207) 4,086 (54,265) 250,807 250,807 273,158 273,158 255,217 255,217 17,941 17,941 (49,742) (38,093) (74,417) (36,324) Other financing sources (uses): Transfers out Total other financing sources (uses) (49,344) (49,344) (49,344) (49,344) (49,344) (49,344) Net changes in fund balances (99,086) (87,437) (123,761) Excess (deficiency) of revenues over expenditures Fund balance, July 1, 2013 Fund balance, June 30, 2014 $ 208,375 109,289 128 $ 208,375 120,938 $ 329,095 205,334 (36,324) $ 120,720 84,396 Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual School Superintendent Grants and Fees Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Property taxes Intergovernmental Charges for services Investment earnings Contributions Miscellaneous Total revenues $ Expenditures: Education School Superintendent Total expenditures Actual Amounts Final $ Variance with Final BudgetPositive (Negative) 6,591,248 100,114 5,309,936 100,114 10,000 126,696 6,828,058 59,000 126,696 5,595,746 (18) 5,290,591 67,464 32,769 67,775 115,811 5,574,392 6,937,139 6,937,139 5,721,982 5,721,982 5,252,180 5,252,180 469,802 469,802 $ $ (18) (19,345) (32,650) 32,769 8,775 (10,885) (21,354) Excess (deficiency) of revenues over expenditures (109,081) (126,236) 322,212 448,448 Net changes in fund balances (109,081) (126,236) 322,212 448,448 Fund balance, July 1, 2013 Fund balance, June 30, 2014 704,653 595,572 704,653 578,417 1,180,014 1,502,226 475,361 923,809 $ 129 $ $ $ Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Sheriff Grants and Fees Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Intergovernmental Charges for services Investment earnings Contributions Total revenues $ Expenditures: Public safety Sheriff Total expenditures Actual Amounts Final 2,051,072 41,439 2,549 5,000 2,100,060 $ 2,247,871 2,247,871 1,213,977 41,439 2,549 5,000 1,262,965 $ 1,440,784 1,440,784 571,568 63,329 5,143 2,925 642,965 Variance with Final BudgetPositive (Negative) $ (642,409) 21,890 2,594 (2,075) (620,000) 856,065 856,065 584,719 584,719 Excess (deficiency) of revenues over expenditures (147,811) (177,819) (213,100) (35,281) Other financing sources (uses): Transfers in Total other financing sources (uses) 116,595 116,595 301,133 301,133 93,049 93,049 (208,084) (208,084) Net changes in fund balances (31,216) 123,314 (120,051) (243,365) Fund balance, July 1, 2013 Fund balance, June 30, 2014 $ 281,283 250,067 130 $ 281,283 404,597 $ 373,039 252,988 $ 91,756 (151,609) Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Solid Waste Year Ended June 30, 2014 Variance with Final BudgetPositive (Negative) Budgeted Amounts Original Revenues: Intergovernmental Charges for services Total revenues $ Expenditures: Sanitation Public Works Total expenditures Actual Amounts Final 205,000 129,470 334,470 $ 242,420 129,470 371,890 $ 264,408 125,856 390,264 $ 21,988 (3,614) 18,374 565,255 565,255 602,675 602,675 496,150 496,150 106,525 106,525 (230,785) (230,785) (105,886) 124,899 230,785 230,785 240,785 240,785 105,887 105,887 (134,898) (134,898) 10,000 1 (9,999) 10,000 15 16 15 (9,984) Excess (deficiency) of revenues over expenditures Other financing sources (uses): Transfers in Total other financing sources (uses) Net changes in fund balances Fund balance, July 1, 2013 Fund balance, June 30, 2014 $ $ 131 $ $ Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Superior Court Grants and Fees Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Intergovernmental Charges for services Investment earnings Contributions Miscellaneous Total revenues $ Expenditures: General government Superior Courts Total expenditures Actual Amounts Final 244,096 160,500 4,040 13,000 1,000 422,636 $ 194,484 160,500 4,040 13,000 1,000 373,024 $ 187,131 170,476 8,665 9,000 1,292 376,564 Variance with Final BudgetPositive (Negative) $ (7,353) 9,976 4,625 (4,000) 292 3,540 970,366 970,366 915,366 915,366 753,689 753,689 161,677 161,677 (547,730) (542,342) (377,125) 165,217 342,275 (13,309) 328,966 341,094 (13,309) 327,785 340,928 (2,764) 338,164 (218,764) (214,557) (38,961) Excess (deficiency) of revenues over expenditures Other financing sources (uses): Transfers in Transfers out Total other financing sources (uses) Net changes in fund balances Fund balance, July 1, 2013 Fund balance, June 30, 2014 $ 572,466 353,702 132 $ 572,466 357,909 $ 642,021 603,060 (166) 10,545 10,379 175,596 $ 69,555 245,151 Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Taxpayer Information Fund Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Charges for services Investment earnings Total revenues $ Expenditures: General government Treasurer Total expenditures Actual Amounts Final 17,870 1,073 18,943 $ 17,870 1,073 18,943 $ 15,201 1,398 16,599 Variance with Final BudgetPositive (Negative) $ (2,669) 325 (2,344) 29,000 29,000 29,000 29,000 24,988 24,988 4,012 4,012 (10,057) (10,057) (8,389) 1,668 (10,057) (10,057) (8,389) 1,668 Excess (deficiency) of revenues over expenditures Net changes in fund balances Fund balance, July 1, 2013 Fund balance, June 30, 2014 $ 80,554 70,497 133 $ 80,554 70,497 $ 76,199 67,810 $ (4,355) (2,687) Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Other Special Revenue Funds Year Ended June 30, 2014 Variance with Final BudgetPositive (Negative) Budgeted Amounts Original Revenues: Charges for services Total revenues $ Expenditures: General government Finance/Budget Highways and streets Public Works Total expenditures Actual Amounts Final 20,200 20,200 $ 20,200 20,200 $ 13,782 13,782 $ (6,418) (6,418) 72,503 72,503 64,153 8,350 63,937 136,440 63,937 136,440 60,314 124,467 3,623 11,973 (116,240) (116,240) (110,685) 5,555 116,240 116,240 116,240 116,240 110,686 110,686 (5,554) (5,554) Excess (deficiency) of revenues over expenditures Other financing sources (uses): Transfers in Total other financing sources (uses) Net changes in fund balances Fund balance, July 1, 2013 Fund balance, June 30, 2014 1 $ $ 134 $ 11 12 1 $ 11 12 Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual County Improvement Districts - Debt Service Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Special assessments Investment earnings Total revenues $ Expenditures: Debt service: Principal Interest and other charges Total expenditures Actual Amounts Final 503,645 875 504,520 $ 503,645 875 504,520 446,653 56,992 503,645 446,653 56,992 503,645 875 875 $ 221,548 16,015 237,563 Variance with Final BudgetPositive (Negative) $ (282,097) 15,140 (266,957) 415,808 46,622 462,430 30,845 10,370 41,215 875 (224,867) (225,742) 875 (224,867) (225,742) Excess (deficiency) of revenues over expenditures Net changes in fund balances Fund balance, July 1, 2013 Fund balance, June 30, 2014 $ 569,041 569,916 135 $ 569,041 569,916 $ 466,488 241,621 $ (102,553) (328,295) Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Parks and Open Spaces Tax Projects Fund Year Ended June 30, 2014 Budgeted Amounts Actual Amounts Variance with Final Budget Original Final Revenues: Other taxes Investment earnings Contributions Miscellaneous Total revenues $ 3,193,556 51,000 2,100 1,972 3,248,628 $ 3,193,556 51,000 2,100 1,972 3,248,628 $ 3,065,409 213,238 Expenditures: Capital outlay Total expenditures 13,339,166 13,339,166 13,318,504 13,318,504 232,609 232,609 13,085,895 13,085,895 (10,090,538) (10,069,876) 3,046,238 13,116,114 Net changes in fund balances (10,090,538) (10,069,876) 3,046,238 13,116,114 Fund balance, July 1, 2013 Fund balance, June 30, 2014 10,768,322 $ 677,784 10,768,322 $ 698,446 11,019,658 $ 14,065,896 251,336 $ 13,367,450 Excess (deficiency) of revenues over expenditures 136 200 3,278,847 $ (128,147) 162,238 (2,100) (1,772) 30,219 Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Accommodation School Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Intergovernmental Investment earnings Total revenues $ Expenditures: Capital outlay Total expenditures Actual Amounts Final 50,752 379 51,131 $ 50,752 379 51,131 $ 63,754 1,135 64,889 Variance with Final BudgetPositive (Negative) $ 13,002 756 13,758 80,333 80,333 80,333 80,333 42,880 42,880 37,453 37,453 (29,202) (29,202) 22,009 51,211 Net changes in fund balances (29,202) (29,202) 22,009 51,211 Fund balance, July 1, 2013 Fund balance, June 30, 2014 36,740 7,538 36,740 7,538 57,577 79,586 20,837 72,048 Excess (deficiency) of revenues over expenditures $ 137 $ $ $ Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual County Improvement Districts - Capital Projects Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Investment earnings Total revenues $ Actual Amounts Final 2,110 2,110 $ 2,110 2,110 $ 14,564 14,564 Variance with Final BudgetPositive (Negative) $ 12,454 12,454 Expenditures: Total expenditures Excess (deficiency) of revenues over expenditures Net changes in fund balances Fund balance, July 1, 2013 Fund balance, June 30, 2014 $ 2,110 2,110 14,564 12,454 2,110 2,110 14,564 12,454 199,166 201,276 138 $ 199,166 201,276 $ 191,852 206,416 $ (7,314) 5,140 Coconino County Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Other Capital Projects Funds Year Ended June 30, 2014 Budgeted Amounts Original Revenues: Investment earnings Total revenues $ Expenditures: Capital outlay Total expenditures Actual Amounts Final 250 250 $ 250 250 $ 741 741 Variance with Final BudgetPositive (Negative) $ 491 491 1,299,717 1,299,717 1,311,607 1,311,607 104,266 104,266 1,207,341 1,207,341 (1,299,467) (1,311,357) (103,525) 1,207,832 Other financing sources (uses): Transfers in Total other financing sources (uses) 4,299,717 4,299,717 4,275,607 4,275,607 3,060,896 3,060,896 (1,214,711) (1,214,711) Net changes in fund balances 3,000,250 2,964,250 2,957,371 (6,879) Fund balance, July 1, 2013 Fund balance, June 30, 2014 89,379 3,089,629 89,379 3,053,629 117,821 3,075,192 28,442 21,563 Excess (deficiency) of revenues over expenditures $ 139 $ $ $ Coconino County Combining Statement of Fiduciary Net Position Investment Trust Funds June 30, 2014 Individual Investment Accounts Treasurer's Investment Pool Assets Cash and cash equivalents Interest and dividends receivable Total Assets $ 104,742,499 173,120 104,915,619 $ $ 104,915,619 $ 3,795,304 Total Investment Trust Funds $ 108,537,803 173,120 108,710,923 $ 108,710,923 3,795,304 Liabilities Total liabilities Net position Held in trust for investment trust participants 140 3,795,304 Coconino County Combining Statement of Changes in Fiduciary Net Position Investment Trust Funds Year Ended June 30, 2014 Individual Investment Accounts Treasurer's Investment Pool Additions: Contribution from participants Investment earnings Total additions $ Deductions: Distributions to participants Total deductions $ 309,946,520 309,946,520 Change in net position 186,733 Net position, July 1, 2013 Net position, June 30, 2014 307,976,896 2,156,357 310,133,253 104,915,619 141 $ 4,376 307,981,272 2,156,357 310,137,629 6,502,125 6,502,125 316,448,645 316,448,645 (6,497,749) 104,728,886 $ 4,376 Total Investment Trust Funds (6,311,016) 10,293,053 $ 3,795,304 115,021,939 $ 108,710,923 Coconino County Statement of Changes in Assets and Liabilities Agency Fund Year Ended June 30, 2014 Balance July 1, 2013 Additions Deletions Assets Cash and cash equivalents Cash and investments held by trustee Total assets $ 3,423,173 1,090,873 $ 4,514,046 $ 68,651,022 1,811,085 $ 70,462,107 $ 70,135,613 1,760,607 $ 71,896,220 Liabilities Deposits held for others Due to other governments Total liabilities $ 4,320,414 193,632 $ 4,514,046 $ 66,272,692 4,189,415 $ 70,462,107 $ 67,734,703 4,161,517 $ 71,896,220 142 Balance June 30, 2014 $ $ $ $ 1,938,582 1,141,351 3,079,933 2,858,403 221,530 3,079,933 STATISTICAL SECTION 143 THIS PAGE BLANK 144 Coconino County Statistical Section Year Ended June 30, 2014 This part of the Coconino County’s comprehensive annual financial report presents detailed information as a context for understanding what the information in the financial statements, note disclosures, and required supplementary information says about the County’s overall financial health. Contents Financial Trends These schedules contain trend information to help the reader understand how the County’s financial performance and well-being have changed over time. ......................................................... 147-151 Revenue Capacity These schedules contain information to help the reader assess the County’s most significant local revenue source, the property tax. .............................................................................................. 152-155 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. ..................................................................... 156-158 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. .............................................. 159-161 Operating Information 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. .................................................................... 162-166 145 THIS PAGE BLANK 146 Coconino County Net Position by Component Last Ten Fiscal Years (accrual basis of accounting) Fiscal Year 2005 2006 as restated 2007 2008 2009 2010 2011 2012 2013 2014 Primary government: Governmental activities Invested in capital assets, 106,913,167 $ 128,198,350 $ 129,694,889 $ 128,372,030 $ 145,814,515 $ 142,964,843 $ 145,559,259 $ 145,480,845 Restricted net of related debt $ 42,603,789 39,761,272 36,994,894 29,929,358 28,345,559 28,386,829 63,914,015 65,858,399 63,564,437 69,537,246 Unrestricted 54,000,965 57,199,373 64,103,998 52,345,917 52,251,638 53,636,533 22,113,670 23,547,699 22,747,752 18,591,785 208,012,059 $ 210,473,625 $ 210,292,086 $ 210,395,392 $ 231,842,200 $ 232,370,941 $ 231,871,448 $ 233,609,876 Total governmental activities net position Source: 59,709,325 $ 156,314,079 $ $ 109,735,410 206,696,055 $ $ Coconino County Single Audit Reporting Package 147 Coconino County Changes in Net Position Last Ten Fiscal Years (accrual basis of accounting) Fiscal year 2005 2006 2007 2008 Expenses Governmental activities: General government $ 25,093,451 $ 26,858,863 $ 30,137,861 $ 32,252,372 Public safety 25,408,377 27,583,478 29,170,427 32,282,534 Highways and streets 11,814,903 9,551,859 18,699,298 17,990,951 Sanitation 2,710,356 3,014,199 3,138,878 3,216,176 10,518,140 11,160,577 11,575,909 12,192,703 Welfare 4,519,831 5,590,510 5,902,878 6,666,186 Culture and recreation 4,580,555 4,933,059 5,628,042 6,957,602 Education 2,920,657 3,730,202 3,816,081 4,437,125 Transportation 3,012,154 4,163,891 Interest on long term debt 1,928,292 1,761,726 1,602,303 603,969 92,506,716 98,348,364 109,671,677 117,431,648 General government 7,322,776 8,387,583 4,322,299 8,273,916 Public safety 3,671,837 3,643,195 4,132,207 2,986,695 967,377 298,492 3,459,682 74,556 Sanitation 1,033,289 1,138,057 1,437,621 1,375,478 Health Health Defeasance of long-term debt 832,030 Total expenses Program Revenues Governmental activities: Charges for services: Highways and streets 1,318,990 1,403,315 1,520,902 1,340,236 Welfare 921,571 1,455,946 1,599,249 1,337,392 Culture and recreation 995,382 1,031,838 1,188,201 1,159,535 8,309 71,232 107,301 115,216 286,090 542,003 31,800,725 39,359,052 33,695,469 34,185,253 4,310,727 1,937,161 134,120 898,314 52,637,073 59,267,874 51,597,051 51,746,591 (39,869,643) (39,080,490) (58,074,626) (65,685,057) Education Transportation Operating grants and contributions Capital grants and contributions Total governmental activities program revenues Net (expenses) revenues General Revenues and Other Changes in Net Assets Governmental activities: Property taxes, levied for general purposes 6,159,732 6,806,423 7,011,847 7,180,218 Property taxes, levied for library 2,408,492 2,539,393 1,263,035 3,847,035 411,622 1,077,540 2,860,021 1,510,077 Property taxes, levied for flood control Property taxes, levied for accommodation school Property taxes, levied for health services 10,304,992 11,580,757 12,384,595 12,445,915 Jail district sales tax 6,183,905 6,946,353 9,691,689 12,395,931 Parks and open spaces sales tax 2,573,730 2,894,657 3,076,949 3,105,737 93,516 100,295 111,593 102,863 115,300 141,758 134,640 46,966 15,283,056 16,684,292 18,125,003 17,000,598 5,073,200 5,547,275 5,695,838 5,622,049 General county sales tax Excise tax Franchise tax Shared revenue - state sales tax Shared revenue - state vehicle license tax Grants and contributions not restricted to specific programs Investment earnings Gain (loss) on disposal of capital assets Miscellaneous 1,720,959 1,809,330 1,646,585 1,727,679 1,888,242 745,407 4,489,537 2,726,375 206,469 749,146 158,415 209,636 81,129 47,325 23,279 225,544 Donated capital (7,282,396) Total general revenues 52,504,344 Change in net position $ Source: 12,634,701 57,669,951 $ 18,589,461 59,390,630 $ Coconino County Single Audit Reporting Package 148 1,316,004 68,146,623 $ 2,461,566 Fiscal year 2009 $ 2010 32,364,030 $ 2011 31,501,241 $ 2012 30,768,963 $ 2013 31,590,773 $ 2014 32,049,113 $ 29,994,545 33,164,905 31,592,406 36,552,608 33,763,301 37,609,509 42,122,131 16,655,737 15,639,291 13,811,657 15,955,413 15,958,230 14,058,678 3,274,456 3,138,985 3,151,415 3,088,446 2,102,071 1,611,107 12,692,864 11,216,546 11,045,264 11,550,850 12,199,793 13,735,528 7,615,522 8,273,139 8,284,852 6,907,365 6,642,756 4,932,758 7,814,879 7,725,556 7,286,373 7,243,089 7,063,893 6,594,783 4,892,986 5,278,556 4,767,625 5,232,363 5,941,255 7,332,953 178,025 69,723 46,622 287,272 512,256 414,902 118,987,635 114,780,622 115,956,029 115,509,625 119,636,343 120,429,105 7,316,495 7,169,300 6,022,842 4,995,911 4,465,482 4,868,512 3,421,790 3,679,918 3,821,300 3,272,289 3,107,973 2,937,416 1,152,294 69,689 93,370 93,636 99,728 54,445 1,375,437 1,321,418 1,386,848 1,402,290 1,346,328 1,342,276 1,316,870 1,247,031 1,151,680 1,181,490 1,301,249 1,353,915 1,262,876 2,101,024 1,905,924 1,802,447 1,467,637 795,045 1,170,109 794,306 865,254 760,863 850,519 838,718 95,016 116,020 130,681 113,749 171,298 183,275 34,581,839 34,922,841 39,900,147 32,332,327 36,156,108 35,999,361 118,520 84,811 6,320,016 13,130 51,811,246 51,506,358 61,598,062 45,968,132 48,964,430 48,387,180 (67,176,389) (63,274,264) (54,357,967) (69,541,493) (70,671,913) (72,041,925) (1,892) 14,217 7,935,524 8,185,332 8,405,307 8,807,267 8,744,783 9,040,033 4,708,037 5,107,399 4,879,638 4,313,244 4,157,084 3,906,545 2,011,055 1,959,193 1,849,054 3,179,252 2,943,787 2,462,802 189,318 4,310 275 142 33 4,923,145 4,801,721 4,390,334 3,816,050 (18) 11,497,627 10,774,208 11,118,458 11,369,591 11,705,643 12,271,635 11,486,443 10,791,078 11,109,910 11,368,185 11,699,874 12,270,130 2,871,495 2,689,346 2,775,886 2,832,704 2,923,093 3,065,409 92,118 68,688 118,795 107,980 74,510 83,589 41,944 39,207 36,969 36,788 47,198 58,608 15,287,328 14,353,390 15,670,801 17,208,420 18,592,227 19,067,396 5,240,676 4,971,307 4,932,200 4,676,609 3,082,023 3,180,936 2,866,290 2,139,437 1,974,042 1,930,854 1,902,703 2,388,053 2,090,720 684,904 1,162,458 2,100 130,889 1,037,009 376,842 73,066 111,114 2,616,490 (316,192) 1,420,929 (882,441) 42,869 453,292 55,430 182,451 66,527 70,968,204 70,172,420 73,780,353 5,169,268 66,994,850 $ (181,539) 63,377,570 $ 103,306 74,796,775 $ 20,438,808 $ 1,426,711 $ 149 (499,493) $ 1,738,428 Coconino County Fund Balances, Governmental Funds Last Ten Fiscal Years (modified accrual basis of accounting) Fiscal Year 2005 2006 2007 2008 2009 2010 2011 1 2012 2013 2014 General Fund Reserved $ Unreserved 126,359 $ 27,492,971 48,359 $ 29,626,015 60,623 $ 33,986,837 133,364 $ 27,495,342 173,499 $ 24,956,598 40,720 $ $ $ $ 22,206,572 Nonspendable 85,029 1,509,973 1,541,383 1,556,369 26,368,723 $ 26,453,752 28,450,416 $ 29,960,389 29,184,907 $ 30,726,290 26,643,317 $ 28,214,686 Restricted 15,000 Unassigned Total general fund $ 27,619,330 $ 29,674,374 $ 34,047,460 $ 27,628,706 $ 25,130,097 $ 22,247,292 All other governmental funds Reserved $ 912,739 $ $ 7,954,393 $ 549,455 $ 384,735 $ 592,136 $ $ $ $ Unreserved, reported in: Special revenue funds Capital project funds Debt service fund 38,335,351 38,946,353 39,555,023 41,731,738 52,444,661 58,066,418 4,248,949 2,097,854 1,968,757 10,265,707 1,176,745 842,548 18,511,896 19,967,912 12,318,744 15,066 46 Nonspendable Restricted Unassigned Total all other governmental funds Source: $ 62,008,935 $ 61,012,119 $ 61,796,917 $ 52,561,966 $ 54,006,187 $ 59,501,102 Coconino County Single Audit Reporting Package 1 Due to implementation of GASB 54 in FY 2011, categories regarding fund balances have been redefined. See Note 1 of Notes to Basic Financial Statements. 150 84,711 271,992 231,804 139,493 58,606,383 60,899,020 61,776,253 69,921,012 $ 58,691,094 $ 61,171,012 $ 62,008,057 (2,077,795) $ 67,982,710 Coconino County Changes in Fund Balances, Governmental Funds Last Ten Fiscal Years (modified accrual basis of accounting) Fiscal Year 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Revenues: Property taxes $ Other taxes 8,986,089 $ 24,344,667 10,427,635 $ 27,211,403 10,944,924 31,096,502 $ 12,447,359 $ 33,726,601 14,683,323 $ 31,235,155 15,286,914 $ 29,334,804 19,877,174 $ 30,092,941 21,134,274 $ 30,395,929 20,320,244 $ 26,455,658 19,255,927 27,750,211 Special assessments 1,176,966 1,055,453 800,422 697,085 533,246 567,822 528,262 443,889 454,223 232,948 Licenses and permits 2,552,808 2,794,699 2,412,270 2,028,139 1,596,184 1,531,423 1,544,071 2,080,424 1,428,438 1,585,215 Fees, fines, and forfeits 1,384,704 1,894,884 1,958,043 2,426,546 2,636,342 2,475,047 1,912,702 1,536,208 1,434,276 1,890,338 Intergovernmental 52,202,702 59,239,916 52,924,453 52,807,937 52,131,109 51,035,314 61,706,361 51,173,921 60,388,098 60,348,857 Charges for services 10,504,525 11,811,190 12,413,030 11,059,144 10,616,158 11,421,254 11,176,829 9,280,931 8,764,702 7,751,499 2,421,063 1,316,328 5,076,801 3,426,238 2,941,346 2,547,186 894,731 1,450,443 Contributions 334,598 285,572 420,695 638,673 498,811 654,529 582,801 629,849 674,720 Miscellaneous 712,638 888,221 681,321 644,530 1,039,999 411,152 547,255 491,740 613,048 531,987 104,620,760 116,925,301 118,728,461 119,902,252 117,911,673 115,265,445 128,863,127 118,617,608 120,172,715 121,719,552 General government 24,223,774 26,124,976 29,462,096 31,775,048 31,104,566 30,537,222 30,019,684 30,768,104 31,049,633 29,107,514 Public safety 23,967,742 26,768,092 28,039,150 31,240,851 31,381,596 30,336,374 36,611,002 34,375,074 39,373,290 45,050,982 Highways and streets 14,155,135 15,738,269 19,756,618 16,548,734 16,992,456 13,181,875 10,912,173 12,105,577 13,312,515 10,949,715 2,468,056 2,769,470 2,880,863 3,154,224 3,146,581 2,978,416 2,919,328 2,874,688 1,820,482 1,413,555 10,322,173 11,029,368 11,403,856 12,077,635 12,361,518 10,956,358 10,795,196 11,338,648 12,036,240 13,528,580 Investment income Total revenues (360,692) 1,713,752 658,818 Expenditures: Current: Sanitation Health Welfare 4,450,151 5,516,865 5,993,228 6,605,519 7,517,819 8,149,363 8,109,040 6,806,132 6,464,632 4,936,174 Culture and recreation 6,935,242 5,475,603 5,727,983 8,320,721 8,045,985 7,607,898 19,136,103 6,650,038 6,122,803 5,986,724 3,618,428 4,273,975 4,730,288 5,110,500 4,727,587 5,085,903 5,783,644 7,176,253 359,940 1,711,967 1,434,116 771,393 1,049,137 148,465 2,213,866 147,146 415,808 Education 6,003,942 3,425,244 Transportation 2,927,659 8,351,299 4,004,214 4,940,004 Capital outlay Debt service: Principal 4,082,543 4,280,700 4,303,256 18,545,471 2,508,901 2,637,213 2,255,923 2,353,289 396,669 Interest and other charges 1,928,292 1,761,725 1,602,303 1,435,999 512,256 414,902 287,272 178,025 69,723 46,622 105,468,923 116,181,615 113,147,721 135,690,144 119,736,082 112,681,514 126,822,445 112,683,943 118,643,497 118,759,073 (848,163) 743,686 5,580,740 2,583,931 2,040,682 5,933,665 1,529,218 2,960,479 Sale of capital assets 150,405 314,542 28,179 1,329,950 20,194 502,570 Bond proceeds 382,917 Total expenditures Excess (deficiency) of revenues over expenditures (15,787,892) (1,824,409) Other financing sources (uses): Transfers in Transfers out Total other financing sources and uses Net changes in fund balances 22,911 2,100 795,000 16,765,844 14,112,086 12,934,995 37,093,497 15,481,676 15,042,578 21,912,454 14,661,648 14,454,693 14,188,062 (16,765,844) (14,112,086) (12,934,995) (36,982,221) (15,508,755) (15,042,578) (21,894,634) (14,608,758) (14,401,159) (14,188,062) 533,322 $ 368,694 (791,550) (314,841) 314,542 $ 1,058,228 (422,856) $ 5,157,884 134,187 $ (15,653,705) 770,021 $ (1,054,388) 28,179 $ 2,612,110 1,347,770 $ 3,388,452 52,890 $ 5,986,555 73,728 $ 1,602,946 502,570 $ 3,463,049 Debt service as a percentage of noncapital expenditures 6.30% Source: Note: 5.74% 5.53% 17.53% Coconino County Single Audit Reporting Package Financial statement amounts adjusted to show Capital Outlay in FY 2005 through 2008 151 2.62% 2.80% 2.06% 2.25% 0.42% 0.41% Coconino County Assessed Value and Estimated Market Value of Taxable Property Last Ten Years Property Values Assessed Fiscal Year Ended June 30, Secured Unsecured Total 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 1,049,556,398 1,144,384,468 1,288,341,613 1,458,940,955 1,605,854,299 1,694,104,159 1,607,918,353 1,714,437,231 1,714,436,551 1,475,006,428 214,223,437 223,578,936 225,916,527 229,241,854 234,920,747 224,614,413 232,224,257 45,163,364 45,173,364 58,058,854 1,263,779,835 1,367,963,404 1,514,258,140 1,688,182,809 1,840,775,046 1,918,718,572 1,840,142,610 1,759,600,595 1,759,609,915 1,533,065,282 Source: Note: Total Direct Tax Rate Total Secured and Unsecured Estimated Market Value 0.7449 0.8652 0.8521 0.8588 0.8791 0.8340 1.0820 1.3170 1.3347 1.4522 10,034,154,715 11,396,633,513 13,799,610,572 16,687,281,012 17,790,931,957 17,143,465,763 15,460,396,890 14,840,670,920 14,840,650,090 13,008,153,658 Total Assessed Value as a Percentage of Total Estimated 12.6 12.0 11.0 10.1 10.3 11.2 11.9 11.9 11.9 11.8 Coconino County Assessor 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. 152 Coconino County Direct and Overlapping Property Tax Rates Last Ten Fiscal Years Direct Rates Fiscal Year 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 County Operating 0.4753 0.4753 0.4622 0.4383 0.4338 0.3973 0.3953 0.4303 0.4480 0.5466 Library District 0.1899 0.1899 0.1899 0.2205 0.2293 0.2367 0.2367 0.2367 0.2367 0.2556 Flood Control District 0.0797 0.2000 0.2000 0.2000 0.2160 0.2000 0.2000 0.4000 0.4000 0.4000 Public Health Service District 0.2500 0.2500 0.2500 0.2500 Total Direct 0.7449 0.8652 0.8521 0.8588 0.8791 0.8340 1.0820 1.3170 1.3347 1.4522 Overlapping Rates Fiscal Year 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Source: Note: Fire District Assistance 0.1000 0.1000 0.1000 0.1000 0.0972 0.0904 0.0925 0.0986 0.1000 0.1000 School Equalization 0.4560 0.4358 0.3306 0.3564 0.4259 0.4717 0.5123 Community College 0.5659 0.5525 0.5269 0.4865 0.4643 0.4267 0.4308 0.4734 0.4927 0.5879 Cities 0 - 1.7127 0 - 1.6627 0 - 1.5929 0 - 1.5519 0 - 1.5169 0 - 1.4913 0 - 1.4845 0 - 1.5283 0 - 1.5497 0 - 1.6795 Coconino County adopted tax rate schedules Tax rates are per $100 assessed valuation. 153 Fire Districts 0.6500 - 3.0000 0.6500 - 3.0000 0.4700 - 3.0000 0.4100 - 2.7500 0.4100 - 2.7500 0.3000 - 3.0000 0.2742 - 3.0000 0.0600 - 3.2500 0.3000 - 3.2500 0.3500 - 3.2500 Other Special Districts 0 - 1.1730 0 - 1.1730 0 - 1.3500 0 - 2.2300 0 - 2.2300 0 - 2.9705 0 - 2.6680 0 - 1.5640 0 - 1.6919 0 - 3.3685 School Districts 0.0500 - 8.2761 0.0500 - 10.4246 0.0500 - 9.4606 0.0500 - 9.9025 0.0500 - 10.9896 0.0500 - 9.9371 0.0500 - 8.4520 0.0500 - 8.5934 0.0500 - 10.7007 0.0500 - 11.9461 Coconino County Principal Property Tax Payers Current Year and Ten Years Ago 2014 2005 1 1 Percentage of Total Primary Assessed Value 5.01% 1 Percentage of Total Primary Assessed Value 5.10% 27,710,294 2 1.81 20,226,175 2 1.60 Burlington Northern/Santa Fe Railway Company 20,341,251 3 1.33 18,931,112 5 1.50 Unisource Energy Corporation 19,264,998 4 1.26 17,368,511 6 1.37 City of Los Angeles Dept of Wtr & Pwr 17,270,428 5 1.13 19,095,834 3 1.51 W.L. Gore & Associates Inc. 16,508,642 6 1.08 10,282,172 8 0.81 Kinder Morgan (El Paso Natural Gas) 16,281,071 7 1.06 19,085,580 4 1.51 Nevada Power Company 10,354,989 8 0.68 11,767,729 7 0.93 Perrin Ranch Wind LLC 6,495,530 9 0.42 Qwest Corporation 6,025,536 10 0.39 5,027,767 10 0.40 7,096,504 193,394,504 9 Arizona Public Service Company Total Assessed Value $ 76,843,373 Transwestern Pipeline Company Taxpayer Questar Southern Trails Pipeline Company Total Principal Taxpayers $ Total Coconino County Primary Assessed Value $ 1,533,065,282 Source: Rank 217,096,112 14.17% Total Assessed Value $ 64,513,120 $ $ 1,263,779,835 Coconino County Assessor 1 Arizona Department of Revenue, Central Information Services 154 Rank 0.56 15.29% Coconino County Property Tax Levies and Collections Last Ten Fiscal Years Collected within the Fiscal Year of the Levy Fiscal Year Ended June 30, County Tax Levied For the Fiscal Year Amount Percentage of Levy 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 $ 8,307,325 9,576,903 10,373,130 11,991,569 14,061,783 14,383,909 19,513,519 19,880,920 19,356,876 18,532,923 $ 8,116,516 9,416,476 10,197,426 11,693,983 13,583,453 13,977,568 18,641,220 19,239,142 18,811,741 18,092,321 97.70 98.32 98.31 97.52 96.60 97.18 95.53 96.77 97.18 97.62 Total Collections to Date Collections in Subsequent Years Amount Percentage of Levy 181,425 156,918 168,326 277,675 451,656 401,438 804,823 555,992 471,573 $ 8,297,942 9,573,393 10,365,753 11,971,658 14,035,109 14,379,006 19,446,043 19,795,133 19,283,314 18,092,321 99.89 99.96 99.93 99.83 99.81 99.97 99.65 99.57 99.62 97.62 Flood Control District County Library Total County $ 404,882 1,081,336 1,237,412 1,508,651 2,014,075 1,961,323 1,849,827 3,172,129 2,959,452 2,468,506 $ 2,320,417 2,496,913 2,802,859 3,845,347 4,718,832 5,102,482 4,879,193 4,344,836 4,163,575 3,914,125 $ 8,307,325 9,576,903 10,373,130 11,991,569 14,061,783 14,383,909 19,513,519 19,880,920 19,356,876 18,532,923 $ County Tax Levied for the Fiscal Year Fiscal Year Ended June 30, County Operating 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 $ 5,582,027 5,998,653 6,332,859 6,637,571 7,328,876 7,320,104 7,631,149 7,774,986 7,836,325 8,321,922 Source: Note: Public Health Service District $ 5,153,351 4,588,969 4,397,524 3,828,370 Taxes levied and collections are obtained from the Coconino County Treasurer. Collections to date may exceed 100%, as the initial amount levied is not updated to reflect any adjustments or exemptions arising from taxpayer disputes. 155 Coconino County Ratios of Outstanding Debt by Type Last Ten Fiscal Years Fiscal Year 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Certificates of Participation $ 21,940,000 20,100,000 18,180,000 Source: Jail District Revenue Bonds $ 16,210,000 14,370,000 12,445,000 10,435,000 8,340,000 6,145,000 3,855,000 1,970,000 Special Assessments $ 2,840,377 2,490,948 2,153,550 1,885,208 2,364,178 2,016,964 1,646,042 1,262,673 866,084 450,276 Total $ 40,990,377 36,960,948 32,778,550 12,320,208 10,704,178 8,161,964 5,501,042 3,232,673 866,084 450,276 Percentage of Personal Income 1.11% 0.92% 0.77% 0.28% 0.24% 0.18% 0.12% 0.07% 0.02% NA 1 2 Per Capita $ 322.70 287.20 251.29 93.44 80.19 60.64 40.90 23.77 6.34 NA Details regarding the County's outstanding debt can be found in the Notes to the financial statements. 1 Personal income and population information can be found in the Demographics and Economic Statistics schedule. 2 Personal and income and population was not available for 2014. 156 1 2 Coconino County Legal Debt Margin Last Ten Fiscal Years Legal Debt Margin Calculation for Fiscal Year 2014 Assessed value Debt limit (6% of assessed value) Debt applicable to limit: General obligation bonds Less: Amount set aside for repayment of general obligation debt Total net debt applicable to limit Legal debt margin Debt limit Total net debt applicable to the limit Legal debt margin Total net debt applicable to the limit as a percentage of debt limit Source: Note: $ 1,533,065,282 91,983,917 $ 91,983,917 2005 $ 75,826,790 2006 $ 82,077,804 2007 $ 90,855,488 2008 $ 101,290,969 Fiscal Year 2009 2010 $ 110,446,503 $ 115,123,114 2012 2013 $ 110,408,557 $ 105,576,036 $ 105,576,595 $ 91,983,917 $ 75,826,790 $ 82,077,804 $ 90,855,488 $ 101,290,969 $ 110,446,503 $ 110,408,557 $ 105,576,036 $ 105,576,595 $ 91,983,917 0.00% 0.00% 0.00% 0.00% 0.00% $ 115,123,114 0.00% 2011 0.00% 0.00% Assessed value information obtained from the Coconino County Assessor. Debt amounts obtained from the Coconino County Single Audit Reports. The Arizona Constitution, Article 9, Section 8, state that the County may become indebted for an amount not to exceed six percent of taxable property. 157 0.00% 2014 0.00% Coconino County Pledged Revenue Coverage Last Ten Fiscal Years Fiscal Year 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Jail District Revenues 1 $ 13,665,611 13,951,974 17,132,399 20,714,914 22,039,625 23,176,800 24,465,343 25,597,226 26,432,645 29,748,156 Fiscal Year 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Special Assessment Revenues 1 $ 1,419,073 770,745 762,301 1,024,569 1,082,701 938,727 1,001,654 971,522 931,380 704,051 Less: Expenditures 2 $ 8,825,891 9,742,506 10,708,410 12,543,072 12,175,349 12,060,220 12,366,420 12,638,737 12,954,957 13,793,638 Jail District Revenue Bonds Net Debt Service Available Revenue Principal Interest $ 4,839,720 $ 1,840,000 $ 735,372 4,209,468 1,920,000 956,555 6,423,989 2,010,000 566,908 8,171,842 2,095,000 477,958 9,864,276 2,195,000 383,992 11,116,580 2,290,000 284,622 12,098,923 1,885,000 177,311 12,958,489 1,970,000 89,333 13,477,688 1,500 15,954,518 Special Assessment Bonds Debt Service Principal Interest $ 152,297 $ 34,225 393,571 155,405 293,256 168,330 270,471 126,011 313,901 128,264 347,213 130,280 370,923 109,961 370,923 109,961 396,669 68,223 415,808 46,622 Coverage 7.61 1.40 1.65 2.58 2.45 1.97 2.08 2.02 2.00 1.52 Source: Details regarding the County's outstanding debt can be found in the Notes to the financial statements. 1 Revenues included beginning fund balances and transfers in. 2 Expenditures include transfers out. 158 Coverage 1.88 1.46 2.49 3.18 3.82 4.32 5.87 6.29 Coconino County Demographic and Economic Statistics Last Ten Fiscal Years Year 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Sources: Population 127,025 128,695 130,442 131,853 133,477 134,611 134,105 136,011 136,539 139,372 Personal Income (thousands of dollars) $ 3,754,693 4,111,297 4,348,995 4,590,014 4,514,396 4,523,918 4,617,232 4,735,934 4,906,294 NA 1 Per Capita Personal Income $ 29,559 31,946 33,340 34,812 33,822 33,607 34,430 34,820 35,933 NA 1 Unemployment Rate 4.9% 4.2 3.7 5.1 7.1 8.4 8.2 8.3 7.9 7.1 Population and personal income through 2013 obtained from U.S. Department of Commerce, Bureau of Economic Analysis (BEA). Population estimate for 2014 obtained from Office of Employment & Population Statistics, Arizona Department of Administration. Unemployment rate obtained from Arizona Unemployment Statistics Program, Research Administration. 1 Personal income estimates were not yet available for fiscal year 2014. 159 THIS PAGE BLANK 160 Coconino County Principal Employers Current Year and Eight Years Ago 2014 Employer Northern Arizona University Flagstaff Medical Center W.L. Gore Flagstaff Unified School District Coconino County Twin Arrows Navajo Casino Resort City of Flagstaff Walmart Walgreens Distribution Center SCA Tissue Total Employment in Coconino County 3 As of June 30 Sources: Employees 2,571 2,200 1,950 1,375 1,200 700 657 630 407 255 Rank 1 2 3 4 5 6 7 8 9 10 66,096 1 2006 Percentage of Total County Employment 3.89% 3.33% 2.95% 2.08% 1.82% 1.06% 0.99% 0.95% 0.62% 0.39% Employees 3,393 1,999 1,300 1,700 1,056 6 1.40% 400 279 7 8 0.59% 0.41% 1 Flagstaff Chamber of Commerce 2 Arizona Department of Economic Security, Workforce Arizona Statistics 3 Arizona Unemployment Statistics Program, Research Administration 161 Percentage of Total County Employment 5.02% 2.95% 1.92% 2.51% 1.56% 948 67,652 Note: Information was not available prior to 2006. Rank 1 2 4 3 5 2 Coconino County Full-Time Equivalent Employees by Function Last Ten Fiscal Years Full-time Equivalent Employees as of June 30 Function/Program General Government Assessor Board of Supervisors Clerk of the Superior Court Community Development County Attorney County Manager Facilities Management Finance Human Resources Information Technology Justice Court - Flagstaff Justice Court - Fredonia Justice Court - Page Justice Court - Williams Legal Defender Non-Departmental Organizational Development Public Defender Recorder Superintendent of Schools Superior Court Treasurer Public Safety Adult Probation Constable Jail District Juvenile Court Services Sheriff Highways and Streets Public Works Sanitation Kachina Village Imp. Dist. Health Health Welfare Career Center Community Services Culture and Recreation Parks and Recreation Total 2005 2006 2007 2008 24.00 11.50 20.50 19.50 40.75 4.00 27.00 18.00 10.00 19.00 18.25 2.00 5.00 4.75 4.48 24.00 13.50 21.50 19.50 42.00 5.00 28.00 17.00 10.00 27.50 20.50 2.00 5.00 4.75 4.48 26.00 13.50 23.50 21.50 42.00 5.00 28.00 19.00 10.00 28.00 22.00 2.50 5.00 5.00 4.48 27.00 13.50 23.35 23.00 42.75 10.50 28.00 19.00 11.00 28.00 24.25 2.50 5.00 5.00 5.00 1.00 21.00 17.00 7.00 28.50 8.00 1.00 22.00 17.00 6.85 30.50 8.00 1.00 22.00 17.00 10.40 31.00 8.50 1.00 22.00 19.00 11.36 34.75 8.50 59.60 1.00 164.33 74.95 86.00 58.60 1.00 146.33 75.28 91.50 59.60 1.00 146.33 75.28 93.50 60.10 1.00 165.83 75.48 94.50 136.40 136.40 136.40 136.40 9.00 8.00 8.00 8.00 113.79 121.24 122.50 129.58 8.80 51.32 10.88 58.13 10.88 47.92 10.88 49.15 17.25 1,033.67 19.00 1,056.44 19.00 1,065.79 20.50 1,115.88 Source: Coconino County Budget Books 162 Coconino County Full-Time Equivalent Employees by Function Last Ten Fiscal Years Full-time Equivalent Employees as of June 30 2009 2010 27.08 14.50 23.35 23.50 43.00 10.50 28.00 18.00 10.00 30.00 24.50 2.50 5.00 5.00 5.00 27.00 14.00 23.35 23.50 42.00 11.00 28.00 18.00 10.00 30.00 23.50 2.50 5.00 5.00 5.00 1.00 22.00 19.00 11.36 35.00 8.00 2011 2012 2013 2014 25.00 13.50 23.35 22.50 42.00 12.00 26.00 17.00 10.00 31.00 22.75 2.50 5.00 5.00 5.00 4.00 25.00 13.50 23.35 22.50 42.00 12.40 26.00 18.25 9.73 28.00 22.75 2.50 5.00 5.00 5.00 3.00 26.00 13.50 23.98 22.50 42.00 13.22 26.00 18.25 9.73 24.00 22.75 2.50 5.00 5.00 5.00 27.00 14.50 23.60 23.50 43.00 12.47 26.00 18.00 10.63 24.00 21.50 2.50 5.00 6.00 6.00 1.00 21.00 19.00 11.36 36.00 8.00 21.00 17.00 9.58 35.00 8.00 21.00 17.00 8.88 33.50 8.00 21.00 17.00 11.66 34.33 8.00 20.00 17.50 10.83 34.33 8.00 60.10 1.00 168.83 75.28 94.50 60.10 1.00 168.83 72.08 96.50 59.50 1.00 166.83 71.20 97.50 59.50 1.00 169.63 69.58 97.50 58.80 1.00 169.68 68.63 99.65 56.80 1.00 170.98 70.11 96.83 136.40 136.40 121.15 120.50 132.13 127.54 8.00 8.00 8.00 8.00 8.00 8.00 132.53 135.17 111.65 113.71 111.60 114.33 13.88 51.65 13.00 43.17 13.00 48.22 12.00 51.22 12.00 50.32 12.00 48.33 21.00 1,129.46 21.00 1,119.46 19.75 1,074.98 19.75 1,074.75 20.00 1,083.23 19.00 1,079.28 163 Coconino County Operating Indicators by Function/Program Last Ten Fiscal Years Fiscal Year Function/Program 2005 2006 2007 2008 General Government Clerk of the Superior Court New Court Cases Community Development Building Permits Issued Building Inspection/Site Visits County Attorney Adult Felony and Misdemeanor cases Victim Restitution Collected for Bad Checks Justice Courts Total Cases Legal Defender Total Cases Public Defender Total Cases Recorder Documents Recorded by Fiscal Year Registered Voters $ Superior Court Total Number of Criminal Cases Filed Total Number of Domestic Relations Cases Filed Total Number of Civil Cases Filed Treasurer Total Real Property Notices Public safety Adult Probation Monthly Average Probationers Supervised Restitution Collected $ Jail District Average Local Population Juvenile Court Services Delinquents and Incorrigible Petitions Filed Contributed to Community Through Restitution Hours 3,647 3,611 3,805 3,502 1,923 10,175 2,061 8,512 1,934 7,487 1,794 6,950 9,034 65,346 $ Sheriff Calls for Service Culture and recreation Parks and Recreation County Fair participants Highways and streets Public Works Number of miles graded Number of miles resurfaced Miles of road chip sealed Health Health Department Patient Vaccination visits Restaurant/Public Facility Inspections Welfare Community Services Home Delivered Meals Congregate Meals Cases Managed $ 8,994 52,846 $ 8,334 49,833 27,994 24,514 27,462 26,206 705 683 605 512 4,727 4,567 4,562 4,001 59,131 65,006 61,336 65,977 54,356 62,046 42,701 66,000 1,275 1,291 1,192 1,108 595 747 597 1,030 725 998 619 874 70,043 71,111 72,518 74,000 1,204 241,440 $ 364 $ 8,624 95,474 904 34,997 1,252 242,688 $ 374 $ 860 34,569 1,343 244,527 $ 365 $ 870 34,650 1,280 220,000 397 $ 878 34,779 39,227 40,324 42,344 38,911 42,000 40,839 42,536 43,126 2,350 52 22 2,521 104 22 1,712 28 24 2,114 35 75 9,939 4,513 16,250 4,481 10,729 3,664 10,783 4,048 23,171 20,137 1,840 21,520 21,071 2,949 21,227 23,612 3,591 24,400 25,100 3,042 Source: County Department records and Adopted Budgets 164 Fiscal Year 2009 $ 2010 2011 2012 2013 2014 3,910 3,950 4,575 4,583 4,343 4,296 1,581 6,295 1,783 4,624 1,880 5,545 1,311 2,629 1,250 3,496 1,280 4,100 6,278 15,231 7,002 $ 16,000 7,518 35,028 $ 27,596 466 3,889 7,009 24,150 $ $ 6,915 13,444 $ 9,552 18,938 26,801 26,506 26,833 22,819 24,438 400 370 451 552 702 3,393 3,026 3,133 2951 2830 37,929 71,000 37,000 66,000 37,000 67,000 36,500 68,000 1,179 692 1,111 1,024 862 943 900 930 766 1,166 711 1,077 608 716 625 873 630 880 77,100 73,796 74,000 74,786 74,000 80,165 1,236 $ 237,055 1,253 $ 196,824 1,252 $ 189,911 1,222 $ 153,524 1,193 $ 198,079 1,196 $ 190,000 366 $ 817 54,433 372 $ 662 46,906 372 $ 32,000 73,000 407 662 30,584 619 $ 34,707 32,000 71,000 432 $ 608 39,814 400 $ 449 43,474 40,656 50,311 52,815 56,195 60,955 58,651 45,049 41,711 45,441 45,095 42,841 44,000 2,382 53 21 2,303 45 60 2,500 70 55 2,400 70 80 2,088 62 44 2,559 104 10,512 3,838 10,510 3,662 4,300 3,400 4,693 3,400 4,923 3,825 4,323 3,737 20,806 24,366 3,012 20,500 25,076 3,180 18,395 26,649 3,303 18,500 25,076 3,200 14,268 20,220 1,404 17,304 21,346 810 165 Coconino County Capital Asset and Infrastructure Statistics by Function Last Nine Fiscal Years 2006 Function General government Facilities square footage managed Public safety Jails Substations Patrol vehicles Highways and streets Bridges Miles of paved roads Miles of unpaved roads Sanitation Solid Waste transfer stations Wastewater treatment facilities Wells Health Public health facilities Animal transport vehicles Culture and recreation Parks Acres protected as open space Trail miles available for public use Education School building 2007 2008 Fiscal Year 2010 2009 2011 2012 2013 2014 703,135 703,032 684,914 684,914 684,914 684,914 684,914 684,914 679,914 2 8 52 2 8 69 2 8 74 2 8 74 2 8 75 2 8 77 2 8 79 2 8 55 2 7 46 30 319 710 30 319 711 30 322 711 30 323 711 30 323 711 30 332 711 30 319 611 38 319 604 39 333 590 10 1 5 10 1 5 10 1 5 10 1 5 10 1 5 10 1 5 8 1 5 8 1 5 2 1 5 1 2 1 3 1 3 1 3 1 3 1 3 1 4 1 4 1 4 5 589 14 7 589 14 9 589 16 9 589 17 9 589 17 9 2,503 18 9 2,600 18 9 2,600 18 9 2,600 18 2 2 2 2 2 2 2 2 2 Source: Coconino County capital asset records and county departments Note: Information was only available for nine years. 166