Carolyn Wallace Dee Vice Mayor Patrick Flora Council Member David Tirman Council Member Jessica Abrams Council Member.
MANAGEMENT’S DISCUSSION AND ANALYSIS JUNE 30, 2017
Fiduciary funds are used to account for resources held for the benefit of parties outside the Town. Net position as mentioned earlier can serve as a useful indicator of the Town's financial position over time. Taxes, which include property, sales and other taxes, account for $22.8 million or 53.6% of the town's revenue from government activities.
Of the city's public funds, all funds except the capital projects fund ended the year with a positive fund balance. Of the total fund balance, $11.9 million or 20.6% is unallocated, which is available for expenditure at the City's discretion. The city's parking, transit, solid waste, and construction and safety funds ended the year with a positive, unrestricted net position.
STATEMENT OF NET POSITION
JUNE 30, 2017
STATEMENT OF ACTIVITIES
GOVERNMENTAL FUNDSBALANCE SHEET
Money and investments Money with a tax agent Debtors Interest receivable Taxes receivable Claims on other funds Claims on other governments Inventories.
GOVERNMENTAL ACTIVITIES
TO THE GOVERNMENT-WIDE STATEMENT OF NET POSITION - RECONCILIATION OF TOTAL GOVERNMENTAL FUND BALANCES
GOVERNMENTAL FUNDS AND CHANGES IN FUND BALANCES
GOVERNMENT FUNDS AND CHANGES IN THE BALANCE OF FUNDS AND CHANGES IN THE BALANCE OF FUNDS STATEMENT OF INCOME, EXPENDITURES,. STATEMENT OF GOVERNMENT ACTIVITIES - GOVERNMENT ACTIVITIES AND CHANGES IN GOVERNMENT FUNDS BALANCE SHEET.
GOVERNMENT-WIDE STATEMENT OF ACTIVITIES - GOVERNMENTAL ACTIVITIESAND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS TO THE
RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES,
PROPRIETARY FUNDS STATEMENT OF NET POSITION
PROPRIETARY FUNDS AND CHANGES IN NET POSITION
PROPERTY FUNDS AND CHANGES IN NET POST AND CHANGES IN NET POST STATEMENT OF INCOME, EXPENDITURE,.
PROPRIETARY FUNDS STATEMENT OF CASH FLOWS
EJERNE FONDES CASH FLOW STATEMENT CASH FLOW STATEMENT FOR THE YEAR ENDED 30 JUNE 2017. Net cash provided by (applied to) investment Net increase (decrease) in cash and cash equivalents. Cash and cash equivalents - year end Net cash provided by (used for) non-capital financing activities.
FIDUCIARY FUNDS
STATEMENT OF NET POSITION JUNE 30, 2017
STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION FOR THE YEAR ENDED JUNE 30, 2017
NOTES TO THE BASIC FINANCIAL STATEMENTS FOR THE YEAR ENDED JUNE 30, 2017
FINANCIAL REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES A. Description of Government-Wide Financial Statements
FINANCIAL REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
These funds are collected for the maintenance of roads and related infrastructure in the city. The parking fund is an enterprise fund that is used to account for the operation of city parking lots in the city center. The City categorizes the fair value measurements of its investments based on a hierarchy established by generally accepted accounting principles.
The fair value valuations of the City's investments in Agency, Commercial Paper, US Corporate and US Treasury totaled as of June 30, 2017. Loans reported as receivables and payables are referred to as “due to/from other funds” (i.e. the current portion of interfund loans) or “advances to/from other funds” (i.e. the long-term portion of interfund loans) as. The city's inventory balance includes supplies used for road maintenance, snow removal and public works department fleets.
The City includes its share of Medicare taxes payable on behalf of employees in compensatory absence accruals. The City Council establishes (and changes or cancels) fund balance obligations by adopting an executive order or resolution. Assigned fund balances are determined by the City Council through adoption or amendment of the budget as earmarked for specific purposes (such as purchase of fleet equipment, construction, litigation, sidewalk management program, etc.).
Fleet Replacement Fund – To reflect the City Council's intent to set aside funds for the replacement of the City's fleet of vehicles and equipment based on the City's fleet management plan. CDBG Miscellaneous Revenue- To reflect the City Council's intent to set aside funds for housing-related expenses. Therefore, the city receives 100% of the insured property tax dues, whether they are collected or not.
The City has not determined what impact, if any, this pronouncement will have on the financial statements.
DETAILED NOTES A. Cash and Investments
DETAILED NOTES (CONTINUED)
DETAILED NOTES (CONTINUED) Investment in Local Agency Investment Fund
DETAILED NOTES (CONTINUED) Depreciation
- Long-Term Liabilities
Operating debtors and creditors between funds are classified as due to or due to the General Fund. Amounts due from other funds include amounts due from other funds for borrowings to finance negative cash balances.
DETAILED NOTES (CONTINUED) Transfers
EMPLOYEE’S RETIREMENT PLAN A. Pension Plan
EMPLOYEE’S RETIREMENT PLAN (CONTINUED)
The adopted asset allocation is expected to have a long-term blended return that continues to support a discount rate assumption of 7.5 percent. On December 21, 2016, the CalPERS Board of Administration lowered the discount rate from 7.50 percent to 7.00 percent using a three-year phase-in beginning with the June 30, 2016 actuarial valuations. The minimum employer contributions for the fiscal year 2018-19 determined in this valuation were calculated using a discount rate of 7.375 percent.
The estimated employer contributions on Page 5 of the Section 1 reports are calculated assuming that the discount rate will decrease to 7.25 percent next year and 7.00 percent the following year as approved by the Board. The decision to lower the discount rate was based primarily on reduced capital market assumptions provided by outside investment consultants and CalPERS investment staff. Based on the Board's approved investment allocation and capital market assumptions, the reduced discount rate assumption provides a more realistic assumption of the fund's long-term return on investment.
Despite the Board's decision to phase in a 7.0 percent discount rate, subsequent analysis of the expected return on investment of CalPERS assets or changes in investment allocation may result in a change to this three-year discount rate schedule. A comprehensive analysis of all actuarial assumptions and methods including the discount rate will be performed by CalPERS in 2017. Therefore, the current discount rate of 7.65% is sufficient and there is no need to use the municipal bond rate calculation.
The long-term expected discount rate of 7.65% will be applied to all schemes in De Offentligt Ansattes Pensionskasse. The rate of return is calculated based on the capital market assumptions used to determine the discount rate and the asset allocation. Sensitivity of the proportional share of the net pension obligation to changes in the discount rate.
The following presents the municipality's proportional share of the net pension obligation for the Plan, calculated using the discount rate for the Plan, as well as what the municipality's proportional share of the net pension obligation would be if it was calculated with the discount rate that is one percentage point lower or one percentage point higher than the current rate .
EMPLOYEE’S RETIREMENT PLAN (CONTINUED) Pension Plan Fiduciary Net Position
Actuarial estimates for a going concern plan include estimates of the value of reported amounts and assumptions about the probability of future events occurring. Actuarially determined amounts are subject to ongoing review as actual results are based on values that the City's actuarial consultant believes are reasonable assumptions, valuation results reflect a long-term perspective and, as such, are merely an estimate of costs future indeed. to be. The funding progress schedule, presented as additional information required after the notes to the financial statements, will present multi-year trend information showing whether the actuarial value of the plan's assets is increasing or decreasing over time in relation to the estimated actuarial liabilities for the benefits. .
Calculations of benefits for financial reporting purposes are based on the substantive plan (the plan as understood by the employer and plan members) and include the types of benefits provided at the time of each valuation and the projected cost sharing between the town and the employees. . about the PERS Health Requirements. The actuarial methods and assumptions used are designed to reduce short-term volatility in actuarial accrued liabilities and the actuarial value of assets, in accordance with the long-term perspective of calculations. Demographic assumptions regarding retirement, disability and turnover are based on statistics taken from pension valuations for California PERS under a 3.0% at 50 formula for sworn Police employees and a 2.7% at 55 formula for all other employees.
RISK MANAGEMENT
OTHER INFORMATION A. Construction Commitments
SUBSEQUENT EVENT
PRIOR PERIOD ADJUSTMENTS
FIDUCIARY FUND
FIDUCIARY FUND (CONTINUED)
By year-end, the Agency had not participated in any repurchase agreements or securities lending that would result in any potential risk in this area. The Agency is a voluntary participant in California's Local Agency Investment Fund (LAIF) which is regulated by the California Government Code under the supervision of the Treasurer of the State of California. The fair value of the Agency's investment in this pool is reported in the accompanying financial statements at amounts based on the Agency's share of the fair value provided by LAIF for the entire portfolio (in proportion to the amortized cost of that portfolio).
The balance available for withdrawal is based on the accounts kept by LAIF, which are recorded at amortized cost. Of this amount, 97.11% is invested in non-derivative financial products and 2.89% in structured bonds and asset-backed securities.
FIDUCIARY FUND (CONTINUED) Depreciation
GENERAL FUND
BUDGETARY COMPARISON SCHEDULE REQUIRED SUPPLEMENTARY INFORMATION
MEASURE R - MAJOR SPECIAL REVENUE FUNDBUDGETARY COMPARISON SCHEDULE
REQUIRED SUPPLEMENTARY INFORMATION
IMPACT FEES - MAJOR SPECIAL REVENUE FUNDBUDGETARY COMPARISON SCHEDULE
HOME GRANT - MAJOR SPECIAL REVENUE FUND BUDGETARY COMPARISON SCHEDULEREQUIRED SUPPLEMENTARY INFORMATION
TOWN SPECIAL SERVICE AREAS - MAJOR SPECIAL REVENUE FUND
SCHEDULES FOR THE COST SHARING DEFINED BENEFIT PENSION PLANREQUIRED SUPPLEMENTARY INFORMATION
AS OF JUNE 30, 2016
TOWN’S PROPORTIONATE SHARE OF THE NET PENSION LIABILITY
LAST TEN YEARS*
SCHEDULES FOR THE COST-SHARING AUTHORIZED RETIREMENT PLAN ADDITIONAL INFORMATION REQUIRED ADDITIONAL INFORMATION REQUIRED.
AS OF JUNE 30, 2016CONTRIBUTIONS
SCHEDULES OF OTHER POST RETIREMENT BENEFITSREQUIRED SUPPLEMENTARY INFORMATION
FUNDING PROGRESS
REQUIRED SUPPLEMENTARY INFORMATION FOR THE YEAR ENDED JUNE 30, 2017
BUDGETARY BASIS OF ACCOUNTING
EXCESS EXPENDITURES OVER APPROPRIATIONS
CHANGES IN ASSUMPTION
NONMAJOR GOVERNMENTAL FUNDSCOMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
NONMAJOR SPECIAL REVENUE FUNDSCOMBINING BALANCE SHEET
NONMAJOR SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET
NONMAJOR SPECIAL REVENUE FUNDS
COMBINATION OF STATEMENTS OF INCOME, EXPENDITURE AND CHANGES IN FUNDS BALANCES AND CHANGES IN FUNDS BALANCES.
NONMAJOR CAPITAL PROJECTS FUNDSCOMBINING BALANCE SHEET
NONMAJOR CAPITAL PROJECTS FUNDS
- S. Department of Justice
- S Department of Transportation
- S Department of Health and Human Services
- REPORTING ENTITY
- BASIS OF ACCOUNTING
- RELATIONSHIP TO FINANCIAL STATEMENTS
- CLAIMS
- LOANS OUTSTANDING
- INDIRECT COSTS
Housing Investment Partnership Program 14,239 Beginning Loan Balance Housing Investment Partnership Program 14,239 Interest Income 364,216 Pass-Through State of California Department of Housing. The accompanying Summary of Federal Awards Expenses presents the activities of all of the City of Truckee's federal financial assistance programs. The Town of Truckee reporting entity is defined in Note 1 of the Town's Annual Financial Report.
All federal grants received directly from federal agencies, as well as federal grants passed through other government agencies, are included on the schedule. When federal grants are received from a pass-through entity, the Schedule of Expenditures of Federal Grants, if available, shows the identifying number assigned by the pass-through entity. The accompanying Schedule of Expenditures of Federal Grants includes the federal grant activity of the City and is presented according to accounting principles generally accepted in the United States of America.
The information in this schedule is presented on an accrual basis of accounting and in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidelines). The amounts set forth in the accompanying Statement of Expenditures for Federal Awards correspond in all material respects to the amounts set forth in the City's basic financial statements.
Income from federal awards is reported in the city's financial statements primarily as intergovernmental revenue from the state funds. The City of Truckee has received federal grants for specific purposes that are subject to review and audit by the passing entity of the federal government. The City has elected not to use the 10% de minimus indirect cost rate and has not charged any indirect costs to federal grants during the year ended June 30, 2017.
SUMMARY OF AUDITOR'S RESULTS Financial Statements
FINANCIAL STATEMENT FINDINGS
FEDERAL AWARD FINDINGS AND QUESTIONED COSTS
