HomeMy WebLinkAbout2001CAFRI CITY OF SEWARD
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COMPREHENSIVE ANNUAL
FINANCIAL REPORT
Fiscal Year
1 Ended December 31, 2001
A
Parks & Rec
COMPREHENSIVE
ANNUAL FINANCIAL REPORT
CITY OF SEWARD, ALASKA
THIS PAGE LEFT BLANK IIMRMONALLY
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PART I
INTRODUCTORY SECTION
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Table of Content
Letter of Transmittal
Certificate of Achievement for Excellence in Financial Reporting
List of Principal Officials
Organizational Chart
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I CITY OF SEWARD
Comprehensive Annual Financial Report
Table of Contents
PART I INTRODUCTORY SECTION
I-VI
of Contents X
Letter of Transmittal
Certificate of Achievement for Excellence in Financial Reporting
XVII
XVIIIrListofPrincipalOfficials30X
Seward Chi=ns — Organizational Chart
PART II - FINANCIAL SECTION
Exhibit a
1 -2
Indenendeat Auditor's Resort
General Purpose Financial Statements
Combined Balance Sheet - All Fund Types and Account Groups A -1 4-5
Combined Statement of Revenues, Expenditures
and Changes in Fund Balances - All Governmental B -1 6
Fund Types
Statement of Revenues, Expenditures and Changes C -1 7
in Fund Balance - Budget and Actual - General Fund
Combined Statement of Revenues, Expenses and Changes D"linRetainedEarnings - All Proprietary Fund Types
Combined Statement of Cash Flows - All Proprietary E-1 10-11
Fund Types
Notes to General Purpose Financial Statements
13 -38
Additional Information
Combining, Individual Fund, and Account Group
Statements and Schedules:
General Fund:
Balance Sheet
F -1 39
Statement of Revenues, Expenditures and 40
Changes in Fund Balance
F -2
Statement of Revenues, Expenditures and
Changes in Fund Balance — Budget and Actual F - 3 41-47
I
1
CITY OF SEWARD
Comprehensive Annual Financial Report
Table of Contents continued
FINANCIAL SECTION, continued
Exhibit Pane
Additional Information continued i
Combining, Individual Fund, and Account Group
Statements and Schedules, continued:
Special Revenue Funds:
Combining Balance Sheet G -1 50
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances G -2 S1
Parks and Recreation:
G -3 52CombiningBalanceSheet
Combining Statement of Revenues, Expenditures and
and Changes in Fund Balances G-4 53
Public Safety:
G -S 54
Balance Sheet
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances G-6 SS
Other General Government:
G -7 5fi
Combining Balance Sheet
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances G -8 57
Debt Service Fund:
H -1 59
Balance Sheet
Statement of Revenues, Expenditures and Changes in
Fund Balance H -2 60
II
CITY OF SEWARD
Comprehensive Annual Financial Report
Table of Contents, continued
FINANCL4L SECTION, continued
Exhibit age
Additional Information, continued
Combining, Individual Fund, and Account Group
Statements and Schedules, continued:
Capital Project Funds:
Combining Balance Sheet I -1 64
Combining Statement of Revenues, Expenditures
and Changes in Fund Balances 1 -2 65
Parks and Recreation:
Combining Balance Sheet 1 -3 66
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances (Deficit) I-4 67
Public Safety:
Balance Sheet I -5 68
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances I-6 69
General Government: Other
Combining Balance Sheet 1-7 70
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances (Deficit) 1 -8 71
Enterprise Funds:
Combining Balance Sheet J -1 7475
Combining Statement of Revenues, Expenses
and Changes in Retained Earnings (Deficit) J -2 77
Combining Statement of Cash Flows J-3 78-79
CITY OF SEWARD
Comprehensive Annual Financial Report
Table of Contents, continued
FINANCIAL SECTION, continued
Exhibit Page
Additional Information, continued
Combining, Individual Fund, and Account Group
Statements and Schedules, continued:
Enterprise Funds, continued:
Electric:
Balance Sheet
J-4 80-81
Statement of Revenues, Expenses
J-5 82
and Changes in Retained Earnings
J-6 83
Statement of Cash Flows
J-7 8
Schedule of Operating Expenses
88 855
Schedule of Electric Capital Projects
Water and Sewer:
J -9 86
Balance Sheet
Statement of Revenues, Expenses
J -10 87
and Changes in Retained Earnings
J -11 88
Statement of Cash Flows
J -12 89
Schedule of Operating Expenses
Combining Schedule of Water and Sewer Capital Projects J-13 90
Harbor.
J -14 91
Balance Sheet
Statement of Revenues, Expenses
J -15 92
and Changes in Retained Earnings
J -16 93
Statement of Cash Flows
J -17 94
Combining Schedule of Harbor Capital Projects
Seward Marine Industrial Center:
J -18 95
Balance Sheet
Statement of Revenues, Expenses and
Changes in Retained Earnings (Deficit) J -19
J -20
96
9
Statement of Cash Flows
J -21 988
Schedule of SMIC Capital Projects
Parking Revenue: J -22 99
Balance Sheet
Statement of Revenues, Expenses and
Changes in Retained Earnings J -23
J -24
100
101
Statement of Cash Flows
iIV
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CITY OF SEWARD
Comprehensive Annual Financial Report
Table of Contents, continued
FINANCIAL SECTION, continued
Additionallnformation continued
Combining, Individual Fund, and Account Group
Statements and Schedulers, continued:
Motor Pool Internal Service Fund:
Balance Sheet
Statement of Revenues, Expenses and
Changes in Retained Earnings
Statement of Cash Flows
Agency Funds:
Combining Balance Sheet
Combining Statement of Changes in Assets and
Liabilities
General Fixed Assets Account Group:
Schedule of General Fixed Assets by Sources
Schedule of Changes in General Fixed Assets
Schedule of General Fixed Assets
by Function and Activity
Schedule of Changes in General Fixed Assets
by Function and Activity
General Lang -Term Debt Account Group —
Schedule of General Long -Term Debt
Schedule of Expenditures of Federal Awards
rSchedule of State Financial Assistance
1
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r
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Exhib EM
K - -1 103
K -2 104
K -3 105
L-1 107
L-2 108
M -1 109
M -2 110
M -3 111
M-4 112
N -1 113
O -1 115
P -1 116
CITY OF SEWARD
Comprehensive Annual Financial Report
Table of Contents, continued
PART III — STATISTICAL SECTION
Table 1 General Fund Revenues by Source 117
Table IA General Goverment Tax Revenues by Sources 118
Table 2 General Fund Expenditures by Function 119
Table 3 Property Tax Levees and Collections 124
Table 4 Assessed and Estimated Actual Value of Taxable Property 121
Table 5 Property Tax Rates — Direct and Overlapping Governments 122
Table 6 Special Property Assessment Collections 123
Table 7 Ratio of Net General Obligation Bonded Debt to Assessed Value
and Net General Obligation Bonded Debt Per Capita 124
Table 8 Legal Debt Margin 125
Table 8A Computation of Direct and Overlapping Bonded Debt 126
Table 9 Ratio of Annual Debt Service Expenditures for General
Obligation Debt to Total General Fund Expenditures 127
Table 10 Revenue Bond Coverage 128
Table 11 Property Value, Construction and Bank Deposits 129
Table 12 Principal Taxpayers 130
Table 13 Miscellaneous Statistics 131 -132
PART IV — SINGLE AUDIT SECTION
Federal Sin le Audit Reports
Independent Auditor's Report on Compliance and on Internal Control
Over Financial Reporting Based on an Audit of Financial Statements
Performed in Accordance with Government Auditing Standards 133
Independent Auditor's Report on Compliance with Requirements
Applicable to Each Major Program and on Internal Control Over
Compliance in Accordance with OMB Circular A -133 134-135
Schedule of Findings and Questioned Costs 136
Summary Schedule of Prior Audit Findings 137
Corrective Action Plan 138
State of Alaska Single Audit Reports
Independent Auditor's Report on Compliance and on Internal Control
Over Financial Reporting Based on an Audit of Financial Statements
Performed in Accordance with Government Auditing Standards 139
Independent Auditor's Report on Compliance with Requirements
Applicable to Each Major Program and on Internal Control Over
Compliance in Accordance with the State of Alaska Audit Guide
and Compliance Supplement far State Single Audits 140 -141
V1 I
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Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
City of Seward,
Alaska
For its Comprehensive Annual
Financial Report
for the Fiscal Year Ended
December 31, 2000
A Certificate of Aci tevement for Excellence in Financial
Reporting is presented by the Government Finance Officers
Association of the United States and Canada to
government units and public employee retirement
systems whose comprehensive annual financial
reports (CAFRs) achieve the highest
standards in government accounting
and fkmr. W reporting.
coera
t
A <
Executive Director
xvII
XVIII 1
CITY OF SEWARD
LIST OF PRINCIPAL OFFICIALS
Edgar Blatchford
Term F.xvit
Mayor 2003
David Brossow Vice Mayor 2003
Stu Clark Council Member 2003
Nathan pR Council Member 2003
Michael Calhoon Council Member 2042
Margaret Branson Council Member 2002
Vanta Shafer Coil Member 2002
W. Scott Janke City Manager
Kristin Erchinger Finance Director
Rick Gifford Director of Administrative Services
David Calvert Manager of Electric Utility
James Beckham Harbormaster
Michael Chapman Chief of Police
David Squires Fire Chief
Karin Sturdy Parks & Recreation Director
Patty Linville Library Director
Gerald Welsh Director of Engineering and Construction
Patrick Reilly
CMCLM
City Clerk
Bradley Meyen City Attorney
Wohlforthyassar, Johnson & Brecht
The City of Seward is a home -rule city with a council- manager form of government.
Legislative powers of the City of Seward are vested in a council consisting of a mayor and
six council members. The mayor and each council member are elected from the city at
large. The term of office is two years. The appointed officers of the city include the city
manager, city clerk, and the city attorney. The city council generally meets on the second
and fourth Mondays of each month in the City Council Chambers located in the City Hall
Building located at 410 Adams Street in Seward, Alaska.
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a PART II
f FINANCIAL SECTION
Independent Auditor's Report
General Purpose Financial Statements
Combining, Individual Fund and
Account Group Financial Statements and Schedules
11
MIKUNDA, COTTRELL & CO.
A Professional Corporation
CERTIFIED PUBLIC ACCOUNTANTS & CONSULTANTS
3601 "C" Street, Suite 600 • Anchorage, Alaska 99503
907) 278 -8878, Fax (907) 278 -5779
www.mcc- cpa.com
Independent Auditor's Resort
Honorable Mayor and City Council
City of Seward, Alaska
We have audited the accompanying general purpose financial statements of City of Seward, Alaska,
as of and for the year ended December 31, 2041. These general purpose financial statements are the
responsibility of the City's management. Our responsibility is to express an opinion on these
general purpose financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally accepted in the United
States of America 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 of material misstatement. An audit includes examining, on a test basis, evidence supporting the
amounts and disclosures in the financial statements. An audit also includes assessing the accounting
principles used and significant estimates made by management, as well as evaluating the overall
financial statement presentation. We believe that our audit provides a reasonable basis for our
opinion.
In our opinion, the general purpose financial statements referred to above present fairly, in all
material respects, the financial position of City of Seward, Alaska, as of December 31, 2001 and the
results of its operations and the cash flows of its proprietary fund types for the year then ended in
conformity with accounting principles generally accepted in the United States of America
In accordance with Government Auditing Standards, we have also issued our report dated March
27, 2002 on our consideration of City of Seward's internal control over financial reporting and on
our tests of its compliance with certain provisions of laws, regulations, contracts, and grants. That
report is an integral part of an audit performed in accordance with Government Auditing Standards
and should be read in conjunction with this report in considering the results of our audit.
McGLADREY NETWORK
An n[7reP.n011ny C wnwl Me rrc,2
i\'iU;sllw l!' Se. `'GGti !l f!KNjh (iSM I 1 u diiu! -i.
offices::1nchorage. _Bethel: Kenai & Seward
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tHonorableMayorandCityCouncil
City of Seward, Alaska
general se financial
Our audit was performed for the purpose of forming an opinion on g purpose
Schedule of
statements of City of Seward, Alaska taken as a whole. The accompanying
Expenditures of Federal Awards, Schedule of State Financial Assistance, an wedintheofcontentspstatementsandscheduleslistedindividualfund, and account group alofadditionalanalysisandarenotarequiredpartofthegeneral purposepresentedforpurposesFederal
of City of Seward, Alaska. The Schedule of Expenditures
States, financial statementsAwardsisrequiredby U.S. Office of Management and Budget Circular A-133, Audits oftheScheduleofStaffFinancial
Local Governments, and Non -Profit Organizations and
by the State of Alaska Office of Management and Budget, State of AlaskaAssistanceisrequired
Audit Guide and Compliance Supplement for State Single Audits. Suchr has
subjected to the auditing procedures applied in our audit of the generalisfairlypresented, in all material respects, in relation to thestatementsand, in our opinion,
financial statements taken as a whole. general purpose
The other data included in the "statistical section" in the table of contents, has not been audited
by us and accordingly, we express no opinion on such data.
Match 27, 2002
u
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I GENERAL PURPOSE FINANCIAL STATEMENTS
The General Purpose Financial Statements include the basic financial statements
and notes to the financial statements which are essential to the fair presentation
of financial position and results of operations and the cash flows of the
proprietary fund types.
e
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GENERAL PURPOSE FINANCIAL STATEMENTS — OVERVIEW
1
These financial statements provide a summary overview of the financial position of all funds and
account groups and the operating results of all funds. The following statements are included in this
section:
Combined Balance Sheet — All Fund Types and Account Groups -- reports assets,
other debits, liabilities, fund equity and other credits for all funds and account
groups.
Combined Statement of Revenues, Expenditures and Changes in Fund Balances —
All Governmental Fund Types -- reports results of operations of the General Fund,
Special Revenue Funds, Debt Service Fund and Capital Project Funds.
Statement of Revenues, Expenditures and Changes in Fund Balance — Budget and
Actual — General Fund -- compares the actual results of operations with the budget
for the General Fund.
Combined Statement of Revenues, Expenses and Changes in Retained Earnings —
All Proprietary Fund Types -- reports results of operations of the Enterprise Funds
and Internal Service Fund.
Combined Statement of Cash Flows — All Proprietary Fund Types — reports the
sources and changes in cash balances of the Enterprise Funds and Internal Service
Fund.
Notes to General Purpose Financial Statements.
11
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CITY OF SEWARD
Combined Statement of Revenues, Expenditures
and Changes in Fund Balances - All Governmental Fund Types
Year Ended December 31, 2001
with Comparative Totals for Year Ended December 31, 2000
Revenues:
Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and bails
Investment income
Miscellaneous
Total revenues
Expenditures:
Current:
General government
Public safety
Public works
Parks and recreation
Library
Public service
Debt service
Capital outlay
Total expenditures
Exhibit 1
1
1
1,735,231 8,197 - - 1,743,428
Totals
1,984,845 193,493 - - 2,178,338
Memorandum On
1,152,948
Special Debt Capital
981,027
789,615
gieneml Fovenwe Berm.
258,832
S 3,913,556 3,913,556 3,953,139
134,396
215,924
134,396 139,871
1,120,299 193,387 726,807 2,040,493 1,667,366
2,161,177
2,161,177 2,179,832
16,378 16,378 14,786
447,888 21,914 16,515 486,317 484,089
290,694 18,654 300004 339,348 5_ 96L664
8,084,388 212,041 21,914 773,322 9,091,665 9,035,747_
1,735,231 8,197 - - 1,743,428 1,601,677
1,984,845 193,493 - - 2,178,338 2,463,209
1,152,948 1,152,948 981,027
789,615 11,981 - - 801,596 715,409
258,832
258,832 251,865
6,614
215,924 642,055 - 857,979 840,997
1,163511 1,163,511 1 ! 76,757
6,137,395 213,671 642,055 1,163,511 8,156,632 8 055
Excess of revenues
over(under)expenditures 1,946,993 (1,630) (620,141) (390,189) 935,033 998,192
Other financing sources (uses):
Operating transfers f wn other funds 513,621 - 740,654 246,474 1,500,749 1,490,259
Operating transfers other fiends !,216 687 - - (75, (1,291 68T IL L8,706706 '
Net other financing sources (uses) 703,0 - 740,654 17_ 1,474 2 OG2 28 447
Excess of revenues and other '
financing sources over (under)
expenditures and other uses 1,243,927 (1,630) 120,513 (218,715) 1,144,095 969,745
4,697,463 47,346 564,909 642,131 5,951,849 4,986,914 '
Beginning fund balances - 53,748 58,060 -
Residual equity traasfets from other funds 4,312 - -
959 943 4 312 42,889 1007 144 4 810
IResidualequitytransferstootherfunds ) ,
4,985,759 41,404 685,422_ 434 2_75 6,186^0 5,9 51, 49
Ending fund balances r--- ,
See accompanying notes to general purpose financial statements. '
6
CITY OF SEWARD
Statement of Revenues, Expenditures
and Changes in Fund Balance - Budget and Actual - General Fund
Year Ended December 31, 2001
with Comparative Totals for Year Ended December 31, 2000
1
Revenues:
Taxes
Licenses and permits
t
Intergovernmental
Charges for services
Fines and bails
Investment income
Miscellaneous
Total revenues
Expenditures:
Current:
General government
Public safety
Public works
Parks and recreation
Library
Debt service
Total expenditures
Excess of revenues over expenditures
Other financing sources (uses):
Operating transfers from other funds
Operating transfers to other funds
Net other financing sources (uses)
Excess of revenues and other financing
sources over (under) expenditures and
other uses
Beginning fund balance
Residual equity transfers from other funds
Residual equity transfers to other funds
2001
Variance
Favorable
Budget Actua (Unfavorable)
Exhibi -1
Actual
3,984,303 3,913,556 70,747) 3,953,139
113,600 134,396 20,796 139,871
995,246 1,120,299 125,053 984,231
1,620,001 2,161,177 541,176 2,179,832
15,000 16,378 1,378 14,786
175,000 447,888 272,888 438,005
184,350 290,694
T
106,344 247,461
7,087,500 8,084,,388 996,888 7,9572325
1,899,571 1,73 5,231 164,340 1,592,475
2,172,427 1,984,845 187,582 1,970,643
1,204,615 1,152,948 51,667 981,027
813,120 789,615 23,505 711,721
270,412 258,832 11,580 245,710
241,158 215,924 25,234 217,780
6,601,303 6,137,395 463,908 5,719,356
486,197 1,946,993 1,460,796 2,237,969
529,345 513,621 15,724) 179,846
1,234 034 1.216.6871 17,347 1,328 804
704,689 703 066 1,623 1,148,958
218,492) 1,243,927 1,462,419 1,089,011
4,697,463 4,697,463 - 3,613,262
4,312 4,312 -
949,084 959,943 10,859 4,810
Ending fund balance 8 3,5? 7 4, 85,759 1,4 55,872 4,697,463
See accompanying notes to general purpose financial statements.
7
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CITY OF SEWARD
Combined Statement of Revenues, Expenses
and Changes in Retained Earnings -
All Proprietary Fund Types
Year Ended December 31, 2001
with Comparative Totals for Year Ended December 31, 2000
Net earnings (loss)
increase in retained earnings for corrections to
contributed capital and accumulated depreciation
Amortization of contributed capital
Increase in retained earnings
1
Beginning retained earnings
Operating revenues
Operating expenses
Earnings from operations before depreciation
Service
Depreciation
S 10,502,031
from
10,819,806 10,225,858
Earnings (loss) operations
Non - operating revenues (expenses):
2,924,433
Gain on disposal of property and equipment
3,242,208 2,914,818
investment income
122,162
interest expense
Other revenues
Net non - operating revenues (expenses)
Earnings (loss) before operating transfers
Operating transfers from other funds
t Operating transfers to other funds
Net operating transfers
Net earnings (loss)
increase in retained earnings for corrections to
contributed capital and accumulated depreciation
Amortization of contributed capital
Increase in retained earnings
Beginning retained earnings
270,444
Residual equity transfers to other funds
Ending retained earnings
t
1 See accompanying notes to general purpose financial statements.
9
389,011) 195,613 (193,398) (503,063)
202,988 1,964,140 2,299,329
Totals
301
270,444
Memorandum On!
287,534
Internal
554,140)
Entcrprjsc Service 2M
S 10,502,031 317,775 10,819,806 10,225,858
71577,598 71577,598 7,311,040
2,924,433 317,775 3,242,208 2,914,818
3,313,444 122,162 3,435,606 3,417,881
389,011) 195,613 (193,398) (503,063)
829,570) 193,259 (636,311) (400,788)
111,593
2,590,722 9,729 _2,6()O.,.451 2,588,524
1,761,152 202,988 1,964,140 2,299,329
301
270,444 17,090 287,534 559,997
554,140) 19,444) 573,584) 515,368)
52,199 52,199 28j898
231,497 2,3 233,8 73,,828
620,508) 193,259 427,249) 429,235)
381,399 381,399 285,133
590 461 590,461 256,6
209 062 209,06 28,447
829,570) 193,259 (636,311) (400,788)
111,593
2,590,722 9,729 _2,6()O.,.451 2,588,524
1,761,152 202,988 1,964,140 2,299,329
14,471,252 330,879 14,802,131 12,502,802
290 780 z90 780 -
15,941624 53333,,8867 16,475,491 14,802,131
CrrY OF SEWARD
Combined Statement of Cash Flows -
All Proprietary Fund Types
Year Ended December 31, 2001
with Comparative Totals for Year Ended December 31, 2000
Cash flows from operating activities:
Earnings (loss) from operations
Adjustments to reconcile earnings (loss) from operations
to net cash flows from operating activities:
Depreciation
Other non - operating revenues
increase (decrease) in allowance for doubtful receivables
Increase) decrease in assets:
Receivables
Prepaid expenses
Inventory
Increase (decrease) in liabilities:
Accounts payable
Customer deposits
Accrued annual lave
other accrued liabilities
Due to other funds
Deferred revenue
Retirement incentive program payable
Net cash flows from operating activities
Cash flows from non - capital financing activities:
operating transfers from other funds
operating transfers to other funds
Operating grants received
Net cash flows from non - capital financing activities
Exhibit E-1
1
Totals
Memorandum Only)
Internal
End Service an 2M
S (389,011) 195,613 (193,398) (503,063)
3,313,444 122,162 3,435,606 3,417,881
52,199 52,199 3,509
8,546 8,546 8,721)
76,804) 76,804) 21,310
10,716) 10,716)
21,836) 21,836) 37,319
325,194) 325,194) 743,517
16,268 16,268 6,777)
6,417) 6,417) 6,940)
36,991) 36,991) 15,811)
20,688)
7,435 7,435 33,536)
20,31 20 314 3662
2,510,604 317,775 2,828 379 3,624,338
381,399 381,399 285,133
590,461) 590,461) 256,686)
24,800
209, 209 062 53,247
10 1
CITY OF SEWARD
1= Yhibit E -1. AU111ed
Combined Statement of cash Flows -
All Proprietary Fund Types, continued
Totals
Memorandum Onl
Internal
M 2000
unjo
Cash flows from capital and related financing activities: S _
3,008,366
proceeds from issuance of long-term debt 1,016,116) 87,263) 1,103,379) 1'
1,
83
Principal payments on long-term debt 487,858) 12,635) 500,493)
Interest payments on long -term debt 1 55,000
155,000 500
Cash held by fiscal agent
Acquisition of property, plant and equipment
5,451,931)
46,414
109,112) 5,561,043)
46,414
5,915,315)
44,209
301
collections on special assessments
Proceeds from sale of properly and equipment 1,523,521 34,999 1,558,520 4,196,975
Contributed capital
Residual equity transfers to other funds
290,780) 290,780)
3,237,
589
Decrease in deferred revenue 4
Penalties and interest on special assessments
Net cash flows from calutal S 521 750 l74 011 5 695 76l 3 377 436
and related financing activities
iCash flows frown investing activities - 270,444 1709 287,534 559,997
investment income received
Net increase (decrease) in cash and investments
2,949,754) 160,854 2,788,900) 860,146
1 19p327 456,980. 11,647 ,307 10 787 ,161
Beginning cash and investments
S 8 240 5,73 617,834 8,858,407 _.. 11
Ending cash and investments
Reconciliation of cash and investments to balance sheet:
Cash and investments: 7,684,850 617,834 8,302,684
Current assets 555,723
5723
Restricted assets
8,240,573 617 834 8,958,407
1
See accompanying notes to general purpose financial statements. 11
THIS PAGE LEFT BLANK iNTENnONALLY '
1
1
1
12 1
t NOTES TO GENERAL PURPOSE
FINANCIAL STATEMENTS
to the General Purpose Financial Statements representThenotes
a summary of significant account policies and other notes to the
financial statements necessary for adequate disclosure.
0
CITY OF SEWARD
Notes to General Purpose Financial Statements
1 December 31, 2001
1} Summary of SieBfflcant Accounting Policies
Qrganization and Services Provided
The City of Seward, Alaska (the City) was incorporated June 1, 1912 as a home -rule city and
operates under a Council- Manager form of government.
r The City provides the full range of municipal services as provided for by Alaska Statute.
This includes police and fire protection, electric, water and wastewater services, library,
parks and recreation, public improvements, planning and zoning, port and harbor, and
general administrative services.
1
1 13
Revortin¢ Ent
In prior years, the City's general purpose financial statements included the Seward General
Hospital as a blended component unit. However, effective July 1, 1996, all Hospital
operations were transferred to Providence Alaska Medical Center, a private health care
provider.
For the year ended December 31, 2001, there are no component units for which the City of
Seward is financially accountable, nor do any special financial relationships exist between
the City and any other entity.
The accounting policies of the City conform to accounting principles generally accepted in
the United States of America as applicable to governments. The following is a summary of
the more significant policies:
Fund Accounting
The accounts of the City are organized on the basis of funds and account groups, each of
which is considered a separate accounting entity. The operations of each fund are
accounted for with a separate set of self - balancing accounts that comprise its assets,
liabilities, fund equity, revenues and expenditures or expenses, as appropriate. Governmentforresourcesareallocatedtoandaccountedforinindividualfundsbaseduponthepurpose
which they are to be spent and the means by which spending activities are controlled. The
various funds are grouped, in the financial statements in this report as follows:
Governmental Fund T
The General Fund is used to account for all financial resources except those required to be
accounted for in another fund. The General Fund is the City's operating fund.
Special Revenue Funds are used to account for the proceeds of specific revenue sources
other than major capital projects) that are restricted to expenditures for specified purposes.
1
1 13
CITY OF SEWARD
Notes to General Purpose Financial Statements, continued
1
Summary of Significant Accounting- Policies, continued
Governmental Fund Types, continued
The Debt Service Fund is used to account for the accumulation of resources for, and the
payment of, principal and interest relating to the bonds issued to construct the new hospital
and the PERS liability resulting from the transfer of the operations to Providence Alaska '
Medical Center.
Capital Project Funds are used to account for financial resources to be used for the acquisition
or construction of major capital facilities and public improvements (other than those
financed by proprietary funds).
Pro ri Fund TyW
Enterprise Funds are used to account for operations (a) that are financed and operated in a
manner similar to private business enterprises where the intent of the governing body is
that the cost (expenses, including depreciation) of providing goods or services to the
general public on a continuing basis be financed or recovered primarily through user
body has decided thax periodic determination ofcharges; or (b) where the governing
revenues earned, expenses incurred, and/or net income is appropriate for capital
maintenance, public policy, management control, accountability, or other purposes.
The internal Service Fund is used to account for the financing of goods or services provided
by one department or agency to other departments or agencies of the City on a cost-
reimbursement basis. The City has one internal service fund which accounts for the
acquisition of vehicles and mobile equipment, which are then leased to the various
departments of the City.
Fiduciary Fund TyM
Agency Funds are used to account for assets held by the City in a trustee capacity or as an
agent for individuals, private organizations, other governments, and/or other funds. Agency
Funds are custodial in nature (assets equal liabilities) and do not involve measurement of
results of operations.
Fixed Assets and Lori -Term Liabilities
The accounting and reporting treatment applied to the fix ed assets and long -term liabilities
associated with a fund are determined by its measurement focus. All governmental funds
are accounted for on a spending or "financial flow" measurement focus. This means that
only current assets and current liabilities are generally included in their balance sheets.
availableTheirreportedfundbalance (net current assets) is considered a measure of
spendable resources. Governmental fund operating statements present increases
revenues and other financing sources) and decreases (expenditures and other uses) m net
current assets. Accordingly, they are said to present a summary of sources and uses of
available spendable resources" during a period. Fixed assets used in governmental fund
type operations (general fixed assets) are accounted for in the General Fixed Assets
14 1
Portions of the property, plant and equipment of the Enterprise Funds have been constricted
through the use of contributed capital from State and federal agencies. Depreciation on all
assets has been charged against operations. However, depreciation applicable to the assets
acquired with contributed capital does not reduce earnings or increase losses transferred to
retained earnings. Instead it is included in accumulated amortization which offsets
contributed capital in the fund equity section of the Enterprise Fund balance sheets.
Depreciation for all plant and equipment in the proprietary funds is computed by use of the
straight -line method over the estimated economic lives of the assets.
it
1 15
G'li'TY OF SEWARD
Notes to General Purpose Financial Statements, continued
Summaa of Si scant Accounting Policies, continued
Fixed Assets and Long -Term Liabilities. continued
Account Group, rather than in governmental funds. Public domain („infrastructure ")
general fixed assets consisting of certain improvements other than buildings, including
roads, bridges, curbs and gutters, streets and sidewalks, drainage systems and lighting
systems, are not capitalized along with other general fixed assets. No depreciation has
been provided on general fixed assets.
All fixed assets are valued at historical cost or estimated historical cost if actual historical cost
is not available. Donated fixed assets are valued at their estimated fair market value on the
1 date donated.
Long -term liabilities expected to be financed from the governmental funds are accounted for
in the General Long -Term Debt Account Group, not in the governmental funds.
Because of their spending measurement focus, expenditure recognition for governmental
fund types is limited to exclude amounts represented by noncurrent liabilities. Since they
do not affect current assets, such long -term amounts are not recognized as governmental
fund type expenditures or fund liabilities. They are instead reported as liabilities in the
General Long -Term Debt Account Group.
The two account groups are not funds. They are concerned only with the measurement of
financial position. They are not involved with measurement of results of operations.
All proprietary funds are accounted for on a cost of services or "capital maintenance"
imeasurement focus. This means that all assets and all liabilities (whether current or
noncurrent) associated with their activity are included on their balance sheets. Their
reported fund equity (net total assets) is segregated into contributed capital and retained
earnings components. Proprietary fund type operating statements present increases
revenues) and decreases (expenses) in net total assets.
Portions of the property, plant and equipment of the Enterprise Funds have been constricted
through the use of contributed capital from State and federal agencies. Depreciation on all
assets has been charged against operations. However, depreciation applicable to the assets
acquired with contributed capital does not reduce earnings or increase losses transferred to
retained earnings. Instead it is included in accumulated amortization which offsets
contributed capital in the fund equity section of the Enterprise Fund balance sheets.
Depreciation for all plant and equipment in the proprietary funds is computed by use of the
straight -line method over the estimated economic lives of the assets.
it
1 15
C[TY OF SEwARD
Notes to General Purpose Financial Statements, continued
Summa of Significant Acconaft-DO-KC319b continued
Fixed Assets and Lon -Term Liabiliti mc—OukuA
Estimated lives of major asset categories are as follows:
Life in e '
Buildings
10 -50
improvements other than buildings 10-50 ,
Equipment
2 -30
Measurement Focus and Basis ofAAceou__ntmg
Measurement focus refers to which resources are being measured when reporting financial
position and performance. Basis of accounting refers to when revenues, expenditures,
the assets and liabilities are recognized in the accountsexpensesandtransfers, and related
and reported in the financial statements. Specifically, it relates to the timing of the
measurements made regardless of the measurement focus applied.
Governmental fund types are accounted for on the modified accrual basis of accounting.
Under the modified accrual basis of accounting, revenues are recorded when susceptible
accrual, i.e., both measurable and available. Available means collectible within the current
to be used to pay liabilities of the current period. The
period or soon enough thereafter
available period for the City is generally 60 days after year -end. All primary revenue
sources have been treated as susceptible to accrual. Expenditures are recognized on the
accrual basis with the exception of principal and interest on general long -term debt, which
are reported only when due.
proprietary fund types are accounted for on the accrual basis of accounting. Their revenuesarerecognizedintheperiodearnedandexpensesarerecognizedintheperiodincurred.
Agency Fund assets and liabilities are accounted for using the modified accrual basis of
accounting similar to that utilized by the governmental fund types.
pro rie Fund T es and GASB Statement No. 20
Governmental Accounting Standards Board (GASB) Statement No. 20 allows proprietary '
activities to elect to follow either GASB pronouncements or Financial Accounting
Standards Board (FASB)
o
pronouncements,
e0' 8
which
e City has elected
conflict with GASB and
follow onlyhavebeenissuedafterN '
pronouncements subsequent to November 30, 1989.
Central Treasur
A central treasury is used to account for the City's cash and investments to maximize
interest income. Investments are stated at fair value. Investment earnings are allocated
among the funds based on their respective cash balances.
16
Property Taxes as of January 1. Pursuant topropertytaxesareliensontheassessedvalueoftaxableproperty
Alaska Statutes, the City establishes the mill rate and tax levy on or before June 15. The
City is located within the Kenai Peninsula Borough, which acts as the City's agent in thebillingandcollectionofpropertytaxes. Tax bills for one -half of the taxes are mailed prior
to July 1 and are payable on August 15; tax bills for the second-half V e taxes
by October 1 and are payable on November 15. City property recognized
in the fiscal year in which they are collectible and available (collected within sixty days
after year -end) to finance expenditures of the fiscal year.
At December 31 , the delinquent real and personal taxes not currently available are reflected
as deferred revenues of the General Fund.
interfund Transactions
During the course of normal operations, the City has numerous transactions between funds, including expenditures and transfers of resources to provide services, construct assets, andservicedebt. The accompanying financial statements generally reflect such transactions as
operating transfers. Operating subsidies are also recorded as operating transfers. The
classification of amounts recorded as subsidies, advances, or residual equity transfers is
determined by City management.
1 17
CITY OF SEWARD
Notes to General Purpose Financial Statements, continued
SU 3ary of Si nifrcant Accounggg POWIM contia ed
Cash and Cash Equivalents
For of the statement of cash flows, the proprietary funds consider all cash andpurposes
investments to be cash and cash equivalents. The central treasury, which holds cash and
investments, is used essentially as a cash management pool by each fund.
lnventoInventories are valued at cost in governmental funds and at the lower of cost or market in the
first The cast is recordedproprietaryfunds. Cost is determined by the first -in, -out method.
as an expenditure at the time individual inventory items are consumed.
RevenuesGrantsandOtherIntergovernmental
In applying the measurable and available concepts to grants and intergovernmental revenues,
the legal and contractual requirements of the numerous individual programs are used as
guidance. There are, however, essentially two types of these revenues. In one, monies
or before any amustbeexpendedonthespecificpurposeproject
earned "; therefore, revenues are recognized based upon expenditures recorded.
other, monies are virtually unrestricted as to purpose of expenditure and are usually
revocable only for failure prescribed
receip orpearlier if the measurable andresourcesarereflectedrevenuesatthetim
available criteria are met.
Property Taxes as of January 1. Pursuant topropertytaxesareliensontheassessedvalueoftaxableproperty
Alaska Statutes, the City establishes the mill rate and tax levy on or before June 15. The
City is located within the Kenai Peninsula Borough, which acts as the City's agent in thebillingandcollectionofpropertytaxes. Tax bills for one -half of the taxes are mailed prior
to July 1 and are payable on August 15; tax bills for the second-half V e taxes
by October 1 and are payable on November 15. City property recognized
in the fiscal year in which they are collectible and available (collected within sixty days
after year -end) to finance expenditures of the fiscal year.
At December 31 , the delinquent real and personal taxes not currently available are reflected
as deferred revenues of the General Fund.
interfund Transactions
During the course of normal operations, the City has numerous transactions between funds, including expenditures and transfers of resources to provide services, construct assets, andservicedebt. The accompanying financial statements generally reflect such transactions as
operating transfers. Operating subsidies are also recorded as operating transfers. The
classification of amounts recorded as subsidies, advances, or residual equity transfers is
determined by City management.
1 17
Crff OF SEWARD
Notes to General Purpose Financial Statements, continued
Summon of si ificant &ccountine P lic
Accrued Leave
Accrued leave (vacation and sick leave) is recorded as an expense in the proprietary fund
types in the period it is earned by the employees, with the total liability for accrued leave
presented in the related fund balance sheet. The amount of accrued leave recorded as
expenditures in the governmental fund types is the amount accrued during the year that
would normally be liquidated with available spendable resources. Only the current Portion
of the liability is recorded in the governmental fund types with the remainder reported in
the General Long -Term Debt Account Group.
Encumbrances ,
Encumbrance accounting, under which purchase orders, contracts and other commitments for
expenditures are recorded in order to reserve that portion of the applicable appropriation, is
employed as an extension of formal budgetary integration in the General Fund during the ,
year. However, it is the City's policy to stop issuing Purchase orders in early December.
Outstanding purchase orders, if any, at December 31, arc cancelled and new ones are
issued in the subsequent year. As a result, there are no outstanding encumbrances at t
December 31, 2001.
Deferred Grant Revenue '
Amounts received from grantor agencies, which are restricted as to use and have not been
expended for the intended use, are shown as deferred revenue.
Pension Plans
Substantially all employees of the City participate in the Public Employees' Retirement
System (PERS) administered by the State of Alaska, with the exception of certain Electric
Fund employees and the City Manager.
Com arative Data
Comparative total data for the prior year has been presented in the accompanying financial
statements in order to provide an understanding of changes in the City's financial position ,
and operations.
Total Columns on Combined Statements '
Total columns on the Combined Statements are presented only to facilitate financial analysis.
Data in these columns do not present financial position, results of operations, or cash flows
in conformity with accounting principles generally accepted in the United States of '
America. Neither is such data comparable to a consolidation. Jnterhmd eliminations have
not been made in the aggregation of this data
1
18 1
CITY OF SEWARD
Notes to General Purpose Financial Statements, continued
2) Stewardship. Compliance and Accountability
13ud Accountin
An operating budget is adopted each fiscal year for the General Fund on the same modified
accrual basis used to reflect actual revenues and expenditures• Appropriations for this fund
lapse at year -end to the extent that they have not been expended or encumbered. Budgetary
control is exercised at the department level. The City Manager is authorized to transfer
budget amounts between departments within a fund or between cost centers within a
L department's budget classification. The budgeted financial statements represented in this
report reflect the final budget authorization, including amendments made during the year.
A comparison of the original expenditure and operating transfers out appropriation with the
final amended expenditure and operating transfers out appropriation as presented in the
financial statements follows:
Final
Original Amended
Appropriation Appropriations
General Fund expenditures $ 6,303,510 6,601,303
General Fund transfers out 1,885,778 2,183,118
The following funds had a deficit in fund balancetroWned earnings at December 31, 2001:
Library Project Capital Project Fund $ (3,128)
Seward Marine Industrial Center Enterprise Fund (372,763)
1 Restrictions of Sales Tax Revenues
When the City transferred the operations of the Hospital to Providence Alaska Medical
Center on 3uly 1, 19%, the City agreed to restrict 1% of the sales tax for the benefit of the
Hospital. During construction, the restricted sales tax was used to offset losses and
transition costs. Subsequent to completion of the construction, the restricted sales tax has
been used to fund the debt service on the Hospital general obligation bonds. All sales tax
revenue is recorded in the General Fund. The restricted portion is then transfetrod to the
Debt Service Fund
1
1 19
CITY OF SEWARD '
Notes to General Purpose Financial Statements, continued
3) Cash and Investments
The City of Seward utilizes a central treasury that is available
fund's portion of the central treasury is displayed on the
investments" or included in "due to other funds."
for use by all funds. Each
balance sheet as "cash and
Deposits
At December 31, 2001, the carrying amount of the City's deposits, including cash on hand,
was $3,919,232 and the bank balances totaled $4,233,459, All of the bank balances were
covered by federal depository insurance, securities investor protection corporation or by
collateral held by the City's agent in the City's name.
lnv_
Statutes authorize the City to invest in obligations of the U.S. Treasury and U.S. agencies,
banker's acceptances, repurchase agreements, commercial paper rated A -1 by Standard &
Poor's Corporation or P -1 by Moody's Commercial Paper Record and maturing within
nine months, certificates of deposit insured by federal depository insurance or secured by
eligible collateral held by a third party in the City's name, and investments through the
Alaska Municipal League Investment Pool.
investments are carried at fair value and are categorized below to give an indication of the
level of credit risk assumed by the City at year -end.
Category 1
Insured or registered, or securities held by the City or its agent in the City's name.
Category 2
Uninsured and unregistered,
or agent in the CiWs name.
L
1
with securities held by the counterparty's mist department 1
Category 3Uninsuredand unregistered, with securities held by the counterparty, or by its mist
department or agent, but not in the City's name.
Categga
1 2 3 LOW
Overnight repurchase
4,058,277
agreement $ -
4,058,277 -
U.S. government securities 4 00 244g 2.872,345 - 6.87
Restricted Cash
The City also maintains electric and harbor bond redemption and reserve accounts as required
by bond covenants. The balance in these accounts at December 31, 2001, which totaled
555,723 is included in investments.
0
1
CITY OF SEWARD
Notes to General Purpose Financial Statements, continued
CjMb and Investments continued
investments, continued
A reconciliation of cash and investments as shown on the combined balance sheet follows:
Cash on hand $
1,860
Carrying amount of deposits 3,917,372
1 Carrying amount of investments 10,933,121
Cash and investments as shown on the
combined balance sheet: $
14,296,630Cashandinvestments
Restricted assets - cash and investments 5 2314-852
4) Fizzts
A summary of changes in general fixed assets follows:
Balance at
Balance
January 1, December 31,
2001 Additions Deletions 2001
Land and land _
improvements $ 4,053,605 179,600 4,233,205
Buildings 51,318,129 73,423 - 51,391,552
Improvements other _
than buildings 10,883,191 173,856 11,057,047
Equipment 3 1 1511.491 495,083 105,0
69,406,416 921,962 105,018
3 5_ 4,_ 1S56
70,223,360
Fixed assets in service
Construction in progress _1,3 —32, 17 8 4.074.767 296.6_31 5,110.31_4
0-7738.594 1-296,222 491-02 Z=0
zl
CITY OF SEWARD
Notes to General Purpose Financial Statements, continued
Fixed Assets. continued
A summary of proprietary fund type property, plant and equipment at December 31, 2001
follows:
Internal
Enterprise Service
Fundsi
Land and land improvements 16,267,310
Buildings 4,650,397
Impmvements other than buildings 88,294,762
Equipment 8,290,456 17. 60,011
Property, plant and equipment in service 117,502,925 1,760,011
Less accumulated depreciation 48,482,973) 876,248)
Net property, plant and equipment in scrvice 69,019,952 883,763
Construction in progress 10A13.124
Total property, plant and equipment 19,433.076 883,763
5) Interfund Receivables and Pa ablea
Interfund receivable and payable balances at December 31, 2001, are as follows:
Interfund Interfund
Receivables Payab les
General Fund 263,229
Avalanche 2000 Special Revenue Fund 195,620
Flood Mitigation Capital Project Fund 67,649
Totals 2r3
1
1
22
CITY OF SEWARD
Notes to General Purpose Financial Statements, continued
6) Operating Transfers
A summary of operating transfers between funds for the year ended Deo mber 31, 2001
follows:
From To
Other Other
Eu-ndl Funds
General Fund:
Debt Service Fund 740,654
Capital Project Funds:
Library Project 37,905
City Hall Facilities and Equipment 404
Fourth and Adams Park 56,325
Enterprise Funds:
Harbor 123,557 9,651
Electric 366,985 3,130
Water and Sewer 7,000 9,734
Seward Marine Industrial Center X6.079 X58.884
Total General Fund 513,621 1,216.687
Debt Service Fund from General Fund 74065.4_
Capital Project Funds from General Fund:
Fire Hall Roof Repair 37,905
City Hall Facilities and Equipment 404
Fourth and Adams Park 56,325
Capital Acquisition Fund to/from other funds:
Capital Acquisition 75,000
Water and Sewer Enterprise Fund 76,840
Fourth and Adams Park 75,000
Total Capital Project Funds 246.474 75.000
Enterprise Funds to/from General Fund:
Seward Marine Industrial Center 358,884 16,079
Harbor 9,651 123,557
Electric 3,130 366,985
Water and Sewer 9,734 7,000
Water and Sewer Enterprise Fund to
Capital Acquisition Capital Project Fund 76.840
Total Enterprise Funds 381.399 590,461
Total operating transfers 1.882.148 1,$82,14$
1
i23
I
CITY OF SEWARD
Notes to General Purpose Financial Statements, continued
7) Residual Equity Transfers
A summary of residual equity transfers between fiords for the year ended December 31, 2001
follows:
From To
Other Other
Funds Funds
General Fund:
Special Revenue Funds:
High Risk Traffic Enforcement $ 2,250
Seward Community Cemetery 2,062
Gateway Subdivision Capital Project Fund 10,859
Harbor Enterprise Fund 949,084
Total General Fund 4,312 959,943
Special Revenue Funds to General Fund:
High Risk Traffic Enforcement 2,250
Seward Community Cemetery 2,062
Total Special Revenue Funds 4,312
Capital Project Funds:
Gateway Subdivision from General Fund 10,859
Capital Acquisition from Fuel Tank 8,995
Library Project from Firehall Project 33,894
Fuel Tank to Capital Acquisition 8,995
Firehall Project to Library Project 33,84
Total Capital Project Funds 53,748 42.889
Enterprise Funds:
Harbor from General Fund 949,084 -
Harbor from Electric 255,780 -
Harbor to Motor Pool Internal Service Fund - 35,000
Electric to Harbor - 255.780 '
Total Enterprise Funds 1,204,864 290,780
Motor Pool Internal Service Fund from Harbor '
Enterprise Fund 35,000 -
Total residual equity transfers $ 1,297.924 1,297-2;4 '
The residual equity transfers from other funds were recorded in contributed capital of the
Enterprise Funds and Motor Pool Intemal Service Fund.
24 1
CITY OF SEWARD
Notes to General Purpose Financial Statements, continued
8) Accrued Leave
Accrued leave estimated to be paid with current available resources is recorded in the
General Fund. The portion to be paid from future resources of the General Fund
229,151 at December 31, 2001) is recorded in the General Long -Term Debt Account
Group. The City's policy is to make no distinction between vacation and sick leave as
accrued leave includes both types.
A summary of the change in the long -term portion of accrued leave follows:
Balance at January 1, 2001 $ 190,016
Increase 39,135
Balance at December 31, 2001 S 22
9) Long-Term Debt
General Obligation Bonds
The City has issued general obligation bonds to provide funds for the acquisition and
construction of major capital facilities. General obligation bonds have been issued for both
general government and proprietary activities. These bonds are reported in the Enterprise
Funds if they are expected to be repaid from proprietary revenues.
General obligation bonds are direct obligations and pledge the full faith and credit of the
government. General obligation bonds at December 31, 2001 are as follows:
Interest
B ance
3,990,0001993 refunding electric
serial bonds, due in semiannual installments
of $510,000 to $560,000, plus interest
5.15throughOctober1, 2004 ° /a to 5.35% $ 1,610,000
2,030,000 1993 refunding harbor/
general government serial bonds for
the 19$7 bonds, Series A, due in
semiannual installments of $1$5,000 to
240,000, plus interest through December 1, 2007 5.05% to 5.65% 1,265,000
1
1 25
CITY OF SEWARD
Notes to General Purpose Financial Statements, continued
Long.-Term Debt continued
General Obligation Bonds. continued
Interest
RAIM B
1,465,0001993 refunding general
government serial bonds for the 1990
bonds, Series A. due in semiannual
installments of $100,000 to $165,000,
plus interest through December 1, 2011 5.05% to 5.8% 1,280,000
7,500,0001996 hospital serial bonds,
due in semiannual installments of $300,000
to $825,000, plus interest through October 1, 2013 4.9% to 6.75% 6,620,000
Total general obligation bonds 19-22
Revenue bond principal and interest are payable from resources generated by a particular
government operation such as a public utility. In December 2000, the City issued
3,000,000 of harbor revenue bonds to assist with harbor improvements. Revenue
bonds outstanding at December 31, 2001 are as follows:
Interest
atA Balance
3,225,0001995 Electric revenue bonds,
due in annual installments of $140,000
to $290,000, plus interest through June 1, 2015 4.85% to 7.35% $ 2,870,000
3,000,000 2000 Harbor revenue bonds,
due in annual installments of $90,000
to $235,000, plus interest through October 1, 2021 4.85% to 5.5% 3000 440
Total revenue bonds
A reconciliation of bonds payable to the amount reported on the Combined Balance Sheet
All Fund Types and Account Groups follows:
Total general obligation bonds
Less unamortized loss on 1993 refunding bonds
Revenue bonds
10,775,000
1912.712)
10,582,288
5.870.000
j
26 1
CITY OF SEWARD
Notes to General Purpose Financial Statements, continued
Lone -Term Debt, continued
General obligation bond and revenue bond debt service requirements to maturity are as
follows:
General Long -Term
Year Ending Enterprise Fun& _ Debt Account Group ^_ Totals
p2genitwr 31 Principal terest ci al lntere Princi 1 laung
2002 S 892,348 453,744 432,652 448,676 1,325,000 902,420
2003 935,583 406,022 479,417 426,844 1,415,000 832,866
2004 978,817 356,939 526,183 402,525 1,505,000 759,464
2005 447,052 304,213 577,948 375,265 1,025,000 679,478
2006 465,287 279,890 634,713 337,938 1,100,000 617,828
2007 -2021 4.802.641 1,608,005, 5,472.3 59 421. 4,465 10,275,000 3,032,470
521.72 3.408.813 MD.= 3415.713 16-645,000 6-§24-526
Notes payable by the Water and Sewer Enterprise Fund at December 31, 2001 are as
follows:
Interest
Rates Balance
26,231 note payable to State of Alaska
Department of Environmental Conservation,
due in annual installments of $1,333, plus
interest through July 15, 2014 2.5% 17,325
901,851 note payable to State of Alaska
Department of Environmental Conservation,
due in annual installments of $63,406,
including interest through November 5, 2013 2.5% 650,398
G67, 723
1 27
Obligation Payable to the State of Alaska Public Em to ees Retirement SyAtern '
The dissolution of the Seward General Hospital Enterprise Fund, a blended component
unit, on December 31, 1996 resulted in the termination of all Hospital employees. The
City assumed the obligation for the additional pension contributions for Hospital '
employees vested in the State of Alaska Public Employees Retirement System at
December 31, 1996. At December 31, 2001, management estimated this liability at
1,082,570. The ultimate amount of this obligation and the terms of payment have not ,
been determined by the State of Alaska Department of Administration, Division of
Retirement and Benefits.
Defeasance of Debt
In 1993, the City of Seward defeased certain general obligation bonds by placing the
proceeds of new bonds and other available funds in irrevocable trusts to provide for all ,
future debt service payments on the old bonds. Accordingly, trust account assets and
liabilities for defeased bonds are not included in the City's financial statements.
1
1
28 1
CITY OF SEWARD
Notes to General Purpose Financial Statements, continued
Lone-Term Debt. continued
Debt service requirements to maturity on the notes payable are as follows:
Year Ending 2.5% Note Payable 2.5% Note Payable Totals
December 31 Princi al Interest Principal Interest Principal Interest
2002 1,333 433 47,146 16,260 48,479 16,693
2003 1,333 400 48,324 15,081 49,657 15,481
2004 1,333 366 49,532 13,873 50,865 14,239
2005 1,333 333 50,771 12,635 52,104 12,968
2006 1,333 300 52,040 11,366 53,373 11,666
2006 -2014 10,660 1200 402,585 36,651 413,245 37.851
17,325 LM 659-328 105-80 667.22 1WLM
Obligation Payable to the State of Alaska Public Em to ees Retirement SyAtern '
The dissolution of the Seward General Hospital Enterprise Fund, a blended component
unit, on December 31, 1996 resulted in the termination of all Hospital employees. The
City assumed the obligation for the additional pension contributions for Hospital '
employees vested in the State of Alaska Public Employees Retirement System at
December 31, 1996. At December 31, 2001, management estimated this liability at
1,082,570. The ultimate amount of this obligation and the terms of payment have not ,
been determined by the State of Alaska Department of Administration, Division of
Retirement and Benefits.
Defeasance of Debt
In 1993, the City of Seward defeased certain general obligation bonds by placing the
proceeds of new bonds and other available funds in irrevocable trusts to provide for all ,
future debt service payments on the old bonds. Accordingly, trust account assets and
liabilities for defeased bonds are not included in the City's financial statements.
1
1
28 1
i
i
CITY OF SEWARD
Notes to General Purpose Financial Staternents, continued
Lon -Term Debt continued
Changes in Long -Term Liabilities
During the year ended December 31, 2001, the following changes occurred in long -term
liabilities:
General Government
Compensated absences
General obligation bonds
Retirement incentive program
State of Alaska
EntMrise Funds
General obligation bonds
Unamortized loss on refunding
Revenue bonds
Capital leases
Retirement incentive program
Notes payable
Internal Service Fund
Balance at Balance at
January 1, December 31,
2001 Additions Reductions 2001
190,016 39,135 - 229,151
8,513,277 - 390,005 8,123,272
49,053 - 24,527 24,526
1.082.570 - - 1.082.570
3
3,421,723 769,995 2,651,728
234,875) 42,163) 192,712)
6,000,000 130,000 5,870,000
410,000 70,000 340,000
40,637 20,319 20,318
713.841 46.118 667,723
4. PAMMI
Capital leases $ 178.869 .373.044 $7,ZQ
Revenue Bond Requirements
Certain covenants of the revenue bonds require establishment of bond redemption and
reserve accounts. These balances are reflected as restricted cash and investments at
December 31, 2001 as follows:
Electric Enterprise Fund $ 307,205
Harbor Enterprise Fund 248,518
Total restricted cash and investments $ 555123
29
CITY OF SEWARD
Notes to General Purpose Financial Statements, continued
Long -Term Debt. continued
The Electric and Harbor revenue bonds also require that rates be maintained at a level that
will produce net revenues after certain adjustments, equal to 1.3 and 1.2 respectively,
times the amount required each year to pay the principal and interest.
Operating income before depreciation
Add:
Payment in lieu of taxes
Investment income
Available for debt service
Requirement
Excess of revenue over requirement
Electric Harbor
1,759,914 602,426
542,581 113,854
1_ 1.1,327 76.615
2,413,822 792,895
387.845 158518
2...Z= 634377
10) Capitalized Leases
The City has entered into lease agreements as lessee for financing the acquisition of a motor
grader, loader and trailer, fire equipment, and a 250 -ton boatlift. These lease agreements
qualify as capital leases for accounting purposes (titles transfer at the end of the lease
terms) and, therefore, have been recorded at the present value of the future minimum lease
payments. The following is a summary of the assets acquired with the capital leases that
have an outstanding balance as of December 31, 2001:
Machinery and equipment
Less accumulated depreciation
Carrying value
30
Harbor
Enterprise
Fund
856,546
328,347
528.199
Internal
Service
Fn
373,044
1
7i
L
I
Present value of future minimum
lease payments 340,000 464,650
Less current portion 75,000 101,824
Long -term portion $265, 362-82§
11} Retirement Incentive Program
In 1999, the City elected to participate in the Public Employees' Retirement System
retirement incentive program. The program required the City to pay $134,532 to the
State of Alaska in three installments of $44,844 on August 1, 2000, 2001, and 2002.
The remaining annual installment of $44,844 is due August 2002.
1 31
MY OF SEWARD
Notes to General Purpose Financial Statements, continued
Capitalized Leases, continued
The following is a schedule of future minimum lease payments under these capital leases
and the present value of the not minimum lease payments at December 31, 2001:
i Enterprise
internal
ServiceYearEnding
December 31 Funds fUnd
2002 99,715 123,852
2003 99,353 112,712
2004 103,553 64,172
1 2005 101,983 64,172
2006 64,172
2007 -2008 112,045
Total minimum lease payments 404,604 541,125
Less interest 64,604 76,475
Present value of future minimum
lease payments 340,000 464,650
Less current portion 75,000 101,824
Long -term portion $265, 362-82§
11} Retirement Incentive Program
In 1999, the City elected to participate in the Public Employees' Retirement System
retirement incentive program. The program required the City to pay $134,532 to the
State of Alaska in three installments of $44,844 on August 1, 2000, 2001, and 2002.
The remaining annual installment of $44,844 is due August 2002.
1 31
CITY OF SEWARD
Notes to General Purpose Financial Statements, continued
12) Defined Benefit Pension Plan
Descri Lion of Plan
The City participates in the Public Employees' Retirement System (PERS), an agent multiple
employer plan which covers eligible State and local government employees. The plan
was established and is administered by the State of Alaska to provide pension, post
employment healthcare, death, and disability benefits. Benefit and contribution
provisions are established by State law and may be amended only by the State
Legislature.
The plan is included in a comprehensive annual financial report that includes financial
statements and other required supplemental information. The report is available at the
following address:
Department of Administration
Division of Retirement and Benefits
P.O. Box 110203
Juneau, AK 99811 -0203
Funding Policv
For PERS, employees are required to contribute 6.75% (7.5% for peace officers and
firefighters) of their annual covered salary. Under the plan, the funding policy provides
for periodic employer contributions at actuarially determined rates that, expressed as a
percentage of annual covered payroll, are sufficient to accumulate sufficient assets to pay
both pension and post employment healthcare benefits when due. The City's contribution
rate for PERS for 2001 follows:
Pension
Post employment
healthcare
Total contribution rate
January 1 July 1 to
to June 30 December 31
4.82% 3.98%
IN/0 IW%
Under the plan, employer contribution rates are level percentages of payroll and are
determined using the projected unit credit actuarial funding method. The plan uses the
level dollar method to amortize the unfunded liability over an open, rolling, twenty -five
year period. Funding surpluses are amortized over five years.
Annual Pension Cost
For the year period ended December 31, 2001, the City's pension cost of $197,225 for
PERS was equal to its required and actual contributions.
W
1
I
7
CITY OF SEWARD
Notes to General Purpose Financial Staternents, continued
Defined Beneflt Pension Plan, continued
Annual Pension Cost . Mtimued
The required contribution was determined as part of the June 30, 1998 actuarial valuation.
The significant actuarial assumptions used in the valuation of the plan follow:
1
I
1. Investment return of 8.25% per annum, compounded annually, net of expenses;
2. Projected salary increases of 5.5% for the first five years of employment and
4.5% per year thereafter,
3. Health cost inflation of 6.5% in 1998, and 5.5% in 1999 and thereafter;
4. Total inflation, as measured by the Consumer Price Index for urban and clerical
workers for Anchorage, is assumed to inaoease 40/9 annually; and
5. Asset valuation — assets are valued at fair value; the asset valuation method
recognizes 20% of the investment gain or loss in each of the current and preceding
four years.
Three -year trend information for PERS follows:
Annual Percentage
Period Pension of APC
Endin Cost (AM Contributed
December 31, 1999
December 31, 2000
December 31, 2001
F
107,653
217,749
197,225
1 33
100%
100%
100%
Net
Pension
Obligation
CITY OF SEWARD ,
Notes to General Purpose Financial Statements, continued
1
Defined Benefit Pension Plan, continued
A schedule of funding progress for PERS for the three most recent actuarial valuations
Ifollows:
13) International Brotherhood of Electrical Workers ,
Certain Electric Fund employees are members of the international Brotherhood of
Electrical Workers, which maintains its own defined contribution pension plan. The
City's contribution rate for the period from January 1 through October 8, 2000, was $3
per compensable hour, increasing to $4 per compensable hour effective October 9,
2000, per terms of a new negotiated agreement expiring June 30, 2003. The total '
contribution for the year ended December 31, 2001 was $46,869.
14) Deferred Compensation Plan 1
The City offers its employees a deferred compensation plan created in accordance with
Internal Revenue Code Section 457. The plan, available to all employees, permits them '
to defer a portion of their salary until future years. The deferred compensation is not
available to employees until termination, retirement, death, or unforeseeable emergency.
34 1
Unfimded
Assets in
Excess of)
Unfimdod Liability as
Actuarial Actuarial Actuarial Assets in Percentage
Valuation Value of Accrued Excess of) Funded Covered of Covered
Date Assets Liabili LiabiliV 92 Payroll Payn
June 30,1997:
Pension 9,624,000 8,922,000 702,000) 108% 2,977,000 (24 %)
Post employment
healthcare 3,587,000 3,325,000 262,000) 108% 2,977,000 (9 %)
June 30,1998:
Pension 10,707,000 10,172,000 535,000) 105% 2,929,000 (18 %)
Post employment
healthcare 4,271,000 4,058,000 213,000) 105% 2,929,000 (7 %)
June 30, 1999:
Pension 10,897,000 10,052,000 845,000) 108% 2,871,000 (290/*)
Post employment
healthcare 4,418,000 4,076,000 342,000) 108% 2,871,000 (12 %)
13) International Brotherhood of Electrical Workers ,
Certain Electric Fund employees are members of the international Brotherhood of
Electrical Workers, which maintains its own defined contribution pension plan. The
City's contribution rate for the period from January 1 through October 8, 2000, was $3
per compensable hour, increasing to $4 per compensable hour effective October 9,
2000, per terms of a new negotiated agreement expiring June 30, 2003. The total '
contribution for the year ended December 31, 2001 was $46,869.
14) Deferred Compensation Plan 1
The City offers its employees a deferred compensation plan created in accordance with
Internal Revenue Code Section 457. The plan, available to all employees, permits them '
to defer a portion of their salary until future years. The deferred compensation is not
available to employees until termination, retirement, death, or unforeseeable emergency.
34 1
CITY OF SEWARD
Notes to General Purpose Financial Statements, continual
Deferred Compensation Plan cuntinued
The City has amended its deferred compensation plan in accordance with changes in the
Internal Revenue Code. These new provisions require that all assets and income of the
plan be held in trust for the exclusive benefit of participants and their beneficiaries.
15) Risk_ Management
The City faces a considerable number of risks of loss, including (a) damage to and loss of
property and contents, (b) employee torts, (c) professional liability; i.e., errors and
omissions, (d) environmental damage, (e) workers' compensation; i.e., employee injuries,
and (f) medical insurance costs of employees.
The City is a member of the Alaska Municipal League Joint Insurance Association (JIA), a
governmental insurance pool established by the Alaska Municipal League. The JIA
provides the City coverage for property, including building and oontents, automobiles,
mobile equipment and data processing equipment; casualty, including general liability,
public officials and employees liability, law enforcement professional liability, auto
liability and employee benefit liability, workers' compensation, including employers
liability; and commercial blanket bond. The City maintains supplemental marine insurance,
boiler and machinery insurance and firefighters group accident coverage with insurance
companies placed through JIA. The City has no coverage for potential losses from
environmental damages.
The JIA is a public entity risk pool organized to share risks among its members. The
Association's bylaws provide for the assessment of supplemental contributions from
members in the event that losses and expenses for any coverage year exceed the annual
contributions and income earned on such contributions for the year. Such supplemental
contributions shall be based upon each member's deposit contribution in comparison to
the aggregate deposit contributions of all members. The Association made no
supplemental assessments during the period ended December 31, 2001.
The JIA provides loss control services and conducts periodic inspections to ensure safe
operations. The City has utilized an established safety committee to review and
recommend safety policies and procedures for all departments. The City Council
designates a portion of the General Fund balance to meet potential losses related to the
JIA basic core coverages and the law enforcement liability pool (LELP). LELP was
established by the JIA as a separate insurance pool for law enforcement professional
liability, including jail liability.
The City also participates in the Alaska Public Utilities Insurance Trust, which provides
insurance coverage for employee health benefits. The Plan is a public entity risk pool in
which risks are shared among the members. Stop loss insurance limits participants'
liability for individual and aggregate claims.
i
CITY OF SEWARD
Notes to General Purposc Financial Statements, continued
Risk Manaeement. continued
There was no significant reduction in the City's major categories of risk insurance coverage
from the prior year, and the amount of settlements for the past three fiscal years did not
materially exceed the City's inset- tore coverage.
16) Changes in Contributed Capital
A summary of changes in contributed capital for the year ended December 31, 2001 follows:
Total Enterprise Funds S =UAIA
Internal Service Fund S 522.218 31M 54d_917
A summary of changes in accumulated amortization of contributed capital follows:
Balance at Balance at
January 1. 200.1 1>AAM QSQ mbar 31.2001
Balance at Balance at
January 1. 2001 Dektim December 31, 2001
Enterprise Funds:
Electric S 8,105,973
Electric S 24,103,666 123,739 24,227,405
Water and Sewer 11,827,299 25,491 11,852,790
Harbor 9,613,617 1,256,795 10,870,412
SMIC 49,810,682 113,012 49,923,694
Parking Revenue 376.174 57.369 433.543
Total Enterprise Funds S =UAIA
Internal Service Fund S 522.218 31M 54d_917
A summary of changes in accumulated amortization of contributed capital follows:
Balance at Balance at
January 1. 200.1 1>AAM QSQ mbar 31.2001
17) Segment Information for Proprietary Fund Types
Enterprise Funds
The City maintains five enterprise funds, which provide electric, water and sewer, harbor,
Seward Marine Industrial Center and public parking services. Segment information
for the year ended December 31, 2001 follows:
36
Enterprise Funds:
Electric S 8,105,973 795,314 - 8,901,287
Water and Sewer 5,839,578 299,647 - 6,139,225
Harbor 1,519,709 336,162 - 1,855,871
SMIC 16,253,204 1,113,814 - 17,367,018
Parking Revenue 283,345 121,253 404.598
Total Enterprise Funds S N.QUM aifium
internal Service Fund S ,,,,,,—U.w 9.729 1
17) Segment Information for Proprietary Fund Types
Enterprise Funds
The City maintains five enterprise funds, which provide electric, water and sewer, harbor,
Seward Marine Industrial Center and public parking services. Segment information
for the year ended December 31, 2001 follows:
36
19) Conduit Debt - Revenue Bonds
On May 1, 1996, the City participated in the issuance of $17,500,000 of revenue bonds to
make a loan to the Seward Association for the Advancement of Marine Science
SAAMS), an Alaska nonprofit corporation, to finance a portion of the costs incurred
to construct, install and equip the Alaska SeaLife Center Project (the Center). The
bonds are special obligations of the City, payable solely from payments made by
SAAMS under the loan agreement. The bonds do not constitute a general obligation
debt or pledge of the full faith and credit of the City and, accordingly the bonds are not
reflected in the accompanying financial statements.
The Center is a marine research facility, rehabilitation center, and public education and visitor
facility located in Seward. The total cost of the Project was approximately $55,000,000.
Approximately $37,500,000 of total Project costs was paid from equity contributions from
grants from the State of Alaska and from Exxon Valdez oil spill settlement monies. The
remaining $17,500,000 of Project costs was paid from bond proceeds. The City owns the
Center and the property on which it is located. SAAMS has leased the Center and the
property from the City and will operate the Center in accordance with an operating lease
between the City and SHAMS.
These bonds were paid off in their entirety in 2001.
1 37
CITY OF SEWARD
Notes to General Purpose Financial Statements, continued
Seement TInformationforProprietaryFund continued
Total
Water Parking Enterprise
El l9 and 5e SMiC Re cmw Ewdi
Total operating revenues 6,782,265 1,484,559 1,735,281 390,323 109,603 10,502,031
3,313,444Depreciationexpense1,263,095 377,933 392,887 1,232,620 46,909
Operating income (loss) 496,819 130,069 209,539 (1,212,066) 13,372) 389,011)
Operating transfers
to) other adsftomfu 363,855) 74,106) 113,906) 342,805 209,062)
Net earnings (loss) 28,378 110,293 8,887 (966,697) 10,431) 829,570)
Capital contributions 123,734 25,491 1,256,795 113,012 1,519,037
Property, plant and
equipment additions 693,770 62,253 4,570,024 117,384 8,500 5,451,931
Property, plant and
equipment deletions 20,000 15,693 - 35,693
Working capital
surplus (deficiency) 4,009,892 2,286,695 337,888 (44,348) 93,799 6,683,926
Total assets
Bonds and other long -term
29,652,565 10,766,664 15,223,375 33,685,711 189,370 89,517,685
liabilities 4,480,000 667,723 3,000,000 1,381,72$ 9,529,451
Fund equity 24,577,447 9,976,083 11,657,030 32,183,913 186,996 78,581,469
1
19) Conduit Debt - Revenue Bonds
On May 1, 1996, the City participated in the issuance of $17,500,000 of revenue bonds to
make a loan to the Seward Association for the Advancement of Marine Science
SAAMS), an Alaska nonprofit corporation, to finance a portion of the costs incurred
to construct, install and equip the Alaska SeaLife Center Project (the Center). The
bonds are special obligations of the City, payable solely from payments made by
SAAMS under the loan agreement. The bonds do not constitute a general obligation
debt or pledge of the full faith and credit of the City and, accordingly the bonds are not
reflected in the accompanying financial statements.
The Center is a marine research facility, rehabilitation center, and public education and visitor
facility located in Seward. The total cost of the Project was approximately $55,000,000.
Approximately $37,500,000 of total Project costs was paid from equity contributions from
grants from the State of Alaska and from Exxon Valdez oil spill settlement monies. The
remaining $17,500,000 of Project costs was paid from bond proceeds. The City owns the
Center and the property on which it is located. SAAMS has leased the Center and the
property from the City and will operate the Center in accordance with an operating lease
between the City and SHAMS.
These bonds were paid off in their entirety in 2001.
1 37
1
CITY OF SEWARD
Notes to General Purpose Financial Statements, continued '
20) Spring Creek Correctional Center '
In 1985, the City undertook the financing and construction of a 320 4bed, maximum - security
correctional facility on behalf of the State of Alaska The facility was financed with ,
nonrecourse certificates of lease participation and leased to the State under the terms of a
long -term lease signed in 1985. The facility is currently being operated by the State.
Technically, the City is the owner of the facility, however, under the terms of both the ,
financing and lease agreements, there is no possibility of the City ever becoming liable for
the debt or being obliged to take actual possession of the facility. Consequently, the City ,
has not included the value of the facility in its general fixed assets.
21) Commitments and Contingencies IAmountsreceivedorreceivablefromgrantoragenciesaresubjecttoauditandadjustmentby
grantor agencies, principally the state and federal government. Any disallowed claims,
including any amount already collected, could become a liability of the applicable funds. ,
Various other claims and lawsuits against the city are pending, but are either covered by
insurance or are the type which are normal and reasonable in view of the City's operations.
City management believes the total amount of the liability, if any, which may arise from
such claims and lawsuits beyond that which is covered by insurance would not have a
material effect on the City's financial condition or its ability to carry on its activities as '
now conducted.
I
38 1
GENERAL FUND
The General Fund is established to account for the financial operations of
the City of Seward which are not accounted for in any other fund.
iRevenues for this fund are recorded by source. Principal sources of
revenue include property taxes, sales taxes, intergovernmental revenue,
and charges for services.
Expenditures are recorded first by function, then by activity and object
of expenditure. General Fund expenditures are incurred for the purpose
of providing basic municipal services such as police and fire protection,
recreation, library, planning and zoning, legal and administrative
services.
1 39
Liabilities:
CITY OF SEWARD
387,211
Accmts payable
124,955
General Fund
Salaries and wages payable
25,948 40,748
1lalance Sheet
Accrued annual leavecr
72,402 45,802
December 31. 2001
9,583 3,422
with Comparative Amounts for December 31, 2000
49,769 58,177
Deferred revenue
708,385 599,585
aFund
Total liabilities
Cash and investments
4,695,333 4.401-
85,786
Receivables:
Unnsamved:
Taxes:
Designated:
34,834 43,288
Personal ply
Las allowance for doubttal receivables
39,973
27 092
7,742
25,43
Unrealized gains on investments
Not p ley
50,852
7,742
3,783
17,88017-
5,780
Mote vehicle
18,839 10,353
Howl/motel room
Subsequent year's expcn& u a
29,523 20,953
Really
4,985,759
254,074 310,429
Sales
5,2972048
1
Net taxes
113.966 36
101,400 84,569
Accormts
Less allowance for doubtful receivables
2 ,.7 2,491
651 X078tNetaccounts
9,585 12,376
Property assessments 43,450 13,6$4
State and federal grants 194,104 17-'_0226
Accrued interest
649,7% 647,202
Total receivables
Prepaids
78,898
886,8
28,606
7,263
Inventory 2 63,229 212,333
Due from other funds
Liabilities and Eund JWancc
S 5,694,144 5,271,048
1 39
Liabilities:
425,728 387,211
Accmts payable
124,955 64,225
Salaries and wages payable
25,948 40,748
Accrued annual leavecr
72,402 45,802
Accrued liabilities 9,583 3,422
Funds held in trust 49,769 58,177
Deferred revenue
708,385 599,585
aFund
Total liabilities
balance:
Reserved for inventory and prepaids
85,786 35,869
Unnsamved:
Designated:
1,500,000 1,500,000
Working capital 39,973 116,252
Unrealized gains on investments
50,852 50,852
Seward Medical Cent sales tax
384,282 431,138
Insurance
151,877
Subsequent year's expcn& u a
2,772,989 562, 3,332
Undesignated
Total fund balance
4,985,759 4,697,463
S 5,694,144 5,2972048
1
1 39
Exhibit F -2
CITY OF SEWARD
General Fund
Statement of Revenues, Expenditures
and Changes in Fund Balance
Year Ended December 31, 2001
with Comparative Amounts for Year Ended December 31, 2000
2001 2000
Revenues:
Taxes 3,913,556 3,953,139
Licenses and permits 134,396 139,871
Intergovernmental 1,120,299 984,231
Charges for services 2,161,177 2,179,832
Fines and bails 16,378 14,786
Investment income 447,888 438,005
Miscellaneous 2901694 247,461
Total revenues 8,084,388 7,957,325
Expenditures:
Current:
General government 1,735,231 1,592,475
Public safety 1,984,845 1,970,643
Public works 1,152,948 981,027
Parks and recreation 789,615 711,721
Library 258,832 245,710
Debt service 215,924 217,780
Total expenditures 6,137,395 5,719,356
1
Excess of revenues over expenditures 1,946,993 2,237,969
Other financing sources (uses):
Operating transfers from other funds 513,621 179,846
Operating transfers to other funds 1,216,687 1,328,804
Net other financing sources (uses) 703,066 1,148,958
Excess of revenues and other financing
sources over expenditures and other uses 1,243,927 1,089,011
Beginning fund balance 4,697,463 3,613,262
Residual equity transfers from other fundsq 4,312
Residual equity transfers to other funds 9( 59,943) 4,810)
1
Ending fund balance 4,98_5^,759 4,6 977,,463
40
Exhibit F•3
CITY OF SEWARD
Grnerid Fund
Statement of Revenues, Expen&Wm and
Changm to Fund Balance , Budget and AMW
year Ended December 31, 2001
2000withComparativeAmountsforYearEndedUxember31,
2001
Variancx
Favorable
tunfivorable] As"
Revenues:
Taxes:
S 642,000 663,747 21,747 694,332
Property 2,274,000 2,165,586 108,414) 2,197,561
Sales
Payments in lieu of taxes
865,303 872,749
2,016
7,446
984)
844,583
4,044
penalty and interest
3,000
200000 209,458 9, ,456 212119
HowYmoul room
3,984303 3,913,556 70 74 __3 953,139
Total taxes
Licenses and paraits: 40,000 45,460 5,460 53,638
Building permits 1,000 1,860 860 730
Taxi pests 53 Op0 58563
600
5,565 66,783
t DCp1et of Motor Vehicka copuaisaions 710 110 970
Animal control liceam 18,000 26,520 8,520 16,260
Business licenses 1,000 1,281 281 1
COther
Toad licese.nd permit+
11300 134,396 20,796 139,8?1
lntcWvanmental:
103,033 89,376 13,657) 90,570
General ro`"eY0 sharing 70,000 74,647 9,647 73,548
Safe commmities 369,465 367,465 2,000) 363,465
W contras 96,500 96,500 120,500
D*mtch contracts 1,000 1,500 500 2,000
14PS dispatch contract 250,000 351,549 101,549 263,743
Raw fish tax 3 000 18,096 15,0% 15,134
Fisheries landing tax 15,000 19,500 4,500 15,000
Liquor tax 57,800 47,908 91892) 39,310
Parks ad recreation ww" 8,948 8, %2tLibraryWants2,500 2,500
14
Fire dePartOmt 8wU 18000 37,296 19,296 911
Other grants
995 46 1,120,299 125,053 984 1
ToUI intergovernmental
Charges for services: 1,033,019 1,485,442 452,423 1,593,670
Administrative
43,732 79,180 14,352) 88,864
Rents and leases 32,000 37,678 5,678 31,701
copying charges 35,000 48,532 13,532 41,444
Work orb 405,750 405,452 298) 395,931
RcUcation 5,800 6,992 1,192 6,064
Library 14,700 97,901 83,201 22 -153
Other
1,620,001 2,161,177 541.176 2^ 1 32
Total dwpm for services
X000 16,378 1,378 X86
Fines and bails
175,000 447,888 272,868 4381005
Investment income
Miscellaneous: 10,591 28,587 17,996 72,384
Sale of land, equipment and gravel 50,000 61,324 11,324 44,490
Refuse 97,659 171,045 73,386
Legal recoveries 26IOQ 2g 3g 125,387
Ottmcr
Totai miscellaneous
184,350 290,694 106,344 247,461
7,087,500 8,094 88 996,888 7,957,325
ToW
41
42 1
zxnrolr r -j, eynunucu
CITY OF SEWARD
Gea val Fund
Statement of Reverntes, Expenditures and Changes in Fund Balance -
Budget and Actual, continued
2001 QQQ
Variance
Favorable
Budget AcUW Unfavorable) Actual
Expenditures:
General government:
Mayor and council:
Sees S 26,844 22,522 4,322 22,565
Employee benefits 1,764 3,249 1,485) 2,537
Audit 37,600 37,600 37,600
Legal 125,000 115,860 9,140 95,759
Supplies and maintenance 21,800 23,043 1,243) 11,748
Legislative representation 128,000 120,827 7,173 121,699
General and administrative 67,000 58,826 8.174 60,000
Total mayor and council 408,008 381,427 2.6 351,908 t
City manager.
Salaries 156,572 178,798 22,226) 150,053
Employee benefits 56,966 58,957 1,991) 51,705
Purchased services 6,964 37,604 30,640) 5,7%
Supplies and maintenance 4,300 5,983 1,683) 7,327
General and administrative 30,540 31,776 x}.236] 37,045
Total city manager 2552342 313,118 5717 251,926
City clerk:
Salaries 102,673 89,363 13,310 88,838
Employee benefits 35,106 31,539 3,567 29,670
Purchased services 2,800 1,994 806 2,181
Supplies and maintenance 320 320) 120
General and administrative 7 9_00 5,024 2.876 5,691
Total city clerk 148,479 128,240 20,239 126,500
Finance:
Salaries 308,540 252,858 55,682 292,702
Employee benefits 131,662 109,893 21,769 117,845
Purchased services 21,500 17,247 4,253 20,774
Supplies and maintenance 53,600 54,346 746) 33,341
General and administrative 33,400 21,887 11,513 30,378
Capital outlay 11,500 6,379 5.121 6,001
Total finance 560,202 4621610 97,592 501,041
42 1
CITY OF SEWARD
General Fund
Statement of Revenues, Expenditures and Changes in Fund Balance -
Budget and Actual, continued
2001
1
Expenditures, continued:
General government, continued:
Community development:
Salaries
Employee benefits
Purchased services
Supplies and maintenance
General and administrative
Total community development
General services:
Salaries
Employee benefits
purchased services
Supplies and maintenance
General and administrative
Capital outlay
Total general services
Contributions to civic organizations:
Providence Seward Medical Center
Wesley Rehabilitation and Care Center
Senior Citizens
Museum
Seaview Community Services
Chamber of Commerce
Miscellaneous
Total contributions to civic organizations
Total general government
Public safety:
Police:
Salaries
Employee benefits
Purchased services
Supplies and maintenance
General and administrative
Total police
Exhibit F -3. continued
91
Variance
Favorable
Budget Actual A=d
S 61,261 58,793 2,468 57,095
40,932 38,224 2,708 37,927
32,794 14,429 18,365 29,550
10,500 10,561 61) 2,613
5,600 2,954 2,646 5152
151,087 124,961 26,126 132,337
48,215 39,177
18,455 12,165
60,600 36,908
21,100 21,492
94,250 67,915
3,000 16,885
245,620 193,542
10,038
6,290 70,502
23,692 14,320
392) 43,713
26,335 1,748
13.8851 2,865
52,078 133148
9,190 9,190 - 9,258
20,920 20,920 - 21,071
1,800 11800 - 1,000
1,000 1,000 - 1,000
7,923 7,923 7,343
90,000 901000 35,000
4 I7- 31
20,943
1833 130,833 95j615
43
1,899 571 735231 164,,340 1592 -475
669,044 626,179 42,865 627,241
280,442 258,531 21,911 260,072
79,320 65,368 13,952 62,528
39,100 28,589 10,511 45,063
28,921 24,744 4 I7- 31
1,096,827 1,003,411 93,416 1L026 ,466
CITY OF SEWARD
General Fund
Statement of Revenues, Expenditures acrd Changes its Fund Balance -
Budget and Actual, continued
Expenditures, continued:
Public safety, continued:
ail:
Salaries
Employee benefits
Purchased services
Supplies and maintenance
General and administrative
Total jail
Animal control:
Salaries
Employee benefits
Purchased services
Supplies and maintenance
General and administrative
Total animal control
Fire:
Salaries
Employee benefits
Purchased services
Supplies and maintenance
General and administrative
Capital outlay
Total fire
Volunteer training:
Employee benefits
Purchased services
Supplies and maintenance
General and administrative
Capital outlay
Total volunteer training
Emergency preparedness:
Purchased services
Supplies and maintenance
General and administrative
Capital outlay
Total emergency preparedness
Exhibit - cot u
2001
Variance
Favorable
Bu actual (Unfavorable}
S 221,064 209,151 11,913 203,145
100,605 93,670 6,935 90,409
19,900 16,711 3,189 17,950
11,600 7,997 3,603 8,604
81,365 75,846 5.519 69,978
434,534 403,375 X31 _159 390,0086
100 -
56,200 57,408
56,300 _ 57,408
110,129 99,616
45,219 40,295
128,923 125,191
28,500 22,200
13,900 9,885
8.000 8,016
44
334,669 305,203
100 6,181
509
1,208) 44,745
2,249
178
1108 53,862
10,512 105,096
4,923 41,508
3,732 130,060
6,300 22,454
4,015 12,908
10,800 11,909
29,466 312,026
5,300 5,300
3,900 3,895 5 3,654
10,800 11,909 1,109) 9,227
23,630 29,326 5,696) 17,020
72000 7 0 0
50,630 45,130 5,500 29,901
18
4,700 6,070 (1,370) 1,715
4,300 1,505 2,795 2,944
2,500 2.59Q -
11,500 7,575 3,925 4,677
t
u
I
CITY OF SEWARD
general Fund
Statement of Revenues, Expenditure: and Changes in Fund Balance -
Budget and Actual, continued
1
68,335 2,493)
Expenditures, continued:
25,159
public safety, continued:
Engineer and utility manager.
31,223
Salaries
8,295
Employee benefits
3,500
Purchased services
Supplies and maintenance
5,400
General and administrative
1,418
Capital outlay
Total engineer and utility manager
Building inspector:
Salaries
134,124
Employee benefits
7 ?090
Purchased services
Supplies and maintenance
18,954
General and administrative
22,679
Total building inspector
Total public safety
4,810
Public works:
Roads and streets:
5,793
Salaries
1,527
Employee benefits
1,028
Purchased services
4,687
Supplies and maintenance
General and administrative
Capital outlay
2,131
35709
Total roads and streets
39762
City shop:
1,984,$45
Salaries
1,970,643_
Employee benefits
Purchased services
Supplies and maintenance
General and administrative-
Capital outlay
Total city shop
2001
Exhibit F -3. MUtinucd
T;99
Variance
Favorable
Budget Actuld (Unfavorable) AMW
65,842 68,335 2,493) 68,248
25,159 27,406 2,247) 27,842
31,223 22,928 8,295 10,224
3,500 4,383 883) 2,767
5,400 3,982 1,418 4,782
3,000
2,950
3,000
134,124 127,034 7 ?090 1138 3
165,634
26,538 18,954 7,584 22,679
7,855 6,152 1,703 4,810
6,200 6,945 745) 5,793
1,600 1,527 73 1,028
11,650
4,687
9,519 5,462
53,843
2,131
35709 18,134 39762
2172,427
y
1,984,$45 187,592 1,970,643_
186,421 178,753 7,668 219,667
88,967 84,261 4,706 84,276
224,177 220,704 3,473 131,637
174,100 146,345 27,755 167,357
28,686 24,680 4,006 14,537
2,950 2,950
702,351 657,693 44,658 617,474
165,634 160,053 5,581 85,381
88,082 90,485 2,403) 58,152
39,023 40,914 1,891) 37,8266
35,500 34,614 886 27,170
8,500 3,813 4,687 1,311
2,500 3,080 80
339,239 332,959 6,280 209,840
45
CITY OF SEWARD
General Fund
Statement of Revenues, Expendittm and Changes in Fund Balance -
Budget and Actual, continued
Expenditures, continued:
Public works, continued:
Municipal building:
Salaries
Employee benefits
Purchased services
Supplies and maintenance
General and administrative
Total municipal building
Total public works
Parks and recreation:
Salaries
Employee benefits
Purchased services
Supplies and maintenance
General and administrative
Capital outlay
Total parks and recreation
Library:
Salaries
Employee benefits
Purchased services
Supplies and maintenance
General and administrative
Capital outlay
total library
Debt service:
Principal
Interest
Total debt service
Total expenditures
Excess of revenues over expenditures
2001
Variance
Favorable
B2#W AOW WAY20bW
1
i onMu
47,668 48,459 791) 46,550
22,473 19,862 2,611 63,042
69,584 73,916 4,332)
3,689
22,850 19,634 3,216 25,506
426
450
1_6_3 025
425 ----Z
162 6?g I 53,713
1L204,615 1,152 948 511667 981,0,27
386,468 360,799
140,031 103,973
166,808 165,156
75,663 105,335
44,150 50,663
23'5+ 5
3,689
813,120 789,615
25,669 351,464
36,058 116,597
1,652 131,001
29,672) 65,356
6,513) 47,303
23'5+ 5 71 1,721
125,462 117,925 7,537 118,220
60,054 56,408 3,646 51,869
25,500 27,266 1,766) 29,892
36,846 34,722 2,124 32,297
17,550 15,194 2,356 10,932
2500
000
270,412
7,317
258,832
M
11,580 2410
137,696 125,005
90x919,
12,691 119,123
lr03,462
241158 215,924 25234
98z657
217,780
6,60: 303 6,137,395 463,908 5,719,356
M
486,197 1,946,993 1,460,796 2,237,969
L
1
LI
CITY OF SEWARD
General Fund
Statement of Revenues, Expenditures and Changes in Fund Balance -
Budget and Actual, continued
Other financing sources (uses):
Operating transfers from other funds
Operating transfers to other funds
Net other financing sources (uses)
Excess of revenues and other financing sources
over (under) expenditures and other uses
Beginning fund balance
Residual equity transfers from other funds
Residual equity transfers to other funds
Ending fund balance
i
Exhibit
2001 M
Variance
Favorable
Bud ASWI (Unfavorable) A91W
S 529,345 513,621 15,724) 179,846
1,234103 4 1,216 687 17.347 1,328
704,68 9) 703 066 1,623 1,149,959
218,492) 1,243,927 1,462,419 1,089,011
4,697,463 4,697,463 3,613,262
4,312 4,312
949,094) 959,943 101859) 4,91
3,529,887 4,985,759 1,455 872 4,697,463
47
1
THIS PAGE LEFT BLANK INTENTIONALLY ,
48
I SPECIAL REVEPIUE FUNDS
1
The Special Revenue Farads are used to account for revenues from specific
sources, which are restricted to finance particular functions and activities.
Funding sources include external grants and operating transfers from the
General Fund.
1
n
J
1 SPECIAL REVENUE FUNDS
Special Revenue Funds are used to account for expenditures associated with dedicated or restricted
revenue sources.
High School Greenhouse -- The purpose of this project is to account for the costs of
light fixtures, renovating the Seward High School Gmenhouse, and installing new
exhaust fans and thermostats, a new watering system, benches and non -slip flooring.
The greenhouse will be used to grow seedlings as part of an education program to
teach students about sustainable forestry-
Litter Control (ALPAR) — To account for the cost of a City — administered litter
control program. The program employs local youth and is financed by grants from
the non -profit Alaskans for Litter Prevention and Recycling and the Kenai Peninsula
Borough.
Two Lakes Park — To account for acquisition of land, survey and development of the
park area, including site preparation, picnic tables, and other improvements.
Avalanche 2000 — To account for the costs of repairing and mitigating damage to
electric infrastructure, roads, and other City facilities, resulting from a major
avalanche event in February 2000
High Risk Traffic Enforcement — To account for the costs of improving traffic safety
enforcement in the community, including the purchase of radar speed detection
well as a radar certification
1
equipment and video surveillance systems, as providing
course.
Seward Comprehensive Plan — To account for the costs of updating the Seward
Comprehensive Plan and preparing and producing the Comprehensive Plan
document.
Historical Records Preservation — To account for the costs of preserving the City's
historical records. Funding is provided by a State grant and the City.
Seward Community Cemetery — To account for the refurbishment of the Seward
community cemetery, provide for improved access to cemetery sites, upgrade and
straighten the existing road, plat land to establish formal grave sites, and clear and
level 75 new grave sites.
Computer Network/Web Page — To account for the costs of implementing Phase 1
of the City- funded computer network, including development of a City web page to
improve citizen access to public information.
1 49
Exhibit 0-1
CITY OF SEWARD
Special Revenue Funds
Combining Balance Sheet
December 31, 2001
with Comparative Totals for December 31, 2000
Liabilities and Fund Balances
Liabilities:
Accounts Payable
Deferred revenue
Due to other funds
Total liabilities
Fund balances - unreserved
and undesignated
995 3,900 5,255
Other
5,349
6,109
Parks and Public General Total
195,620
Assets Recreation S*y Government 20111 2000
Cash and investments S 26,508 44,225 70,733 83,880
Receivables:
S 2 6,508 19,
E
9
State and federal grants 199,520 199,520 11,849
Other 26,875
S 26,508 199,520 44,225 270,253 122,604
Liabilities and Fund Balances
Liabilities:
Accounts Payable
Deferred revenue
Due to other funds
Total liabilities
Fund balances - unreserved
and undesignated
995 3,900 5,255 10,150 5,349
6,109 16,970 23,079 31,185
195,620 195,620 38,724
7,104 199,520 22,225 228,849 75,258
19,404 22,000 41,404 47,346
S 2 6,508 19,
E
9 270,253 122;.=
50
Exhibit G-2
CTTY OF SEWARD
Special Revenue Funds
Combining Statement of Revenues, Expenditures
and Changes in Fund Balances
Year Ended December 31, 2001
with Comparative Totals for Year Ended December 31, 2000
Other
Parks and Public General Totals
Recreation Sdety Government, 2001 2000
141,370
Revenues: 138,122
Federal grants
State grants
49,591
Miscellaneous
8,399
Total revenues
Expenditures:
Salaries and employee benefits
Contracted services
Supplies
Pass - through payments
other services and charges
Total expenditures
2,426 141,370 143,796 138,122
47,123 2,468 49,591 62,910
8,399 5,000 5,2?5 ---!-81654
Residual equity transfers to other funds
3152006
10,825 193,493 7,723 212.041 516,038
2,865 184 3,049 107,078
193,211 5,255 198,466 228,802
4,934 282 2,434 7,650 28,123
4,182 324 4,506 154,222
l 1,981 193 493 8197 213,671 518,225
Excess of revenues over (under)
474) (1,630) (2,187)
expenditures
other financing sources - operating transfers - 23,828
from other funds --- -
Excess of revenues and
other financing sources
over (under) expenditures 1,156) - (474) 1,630) 21,641
Beginning fund balances
20,560 2,250 24,536 47,346 25,705
Residual equity transfers to other funds 2,250 2,062 4,312 -
Ending fund balances 19,404 - 22,000 41404 6
1 51
Exhibit G -3
CITY OF SEWARD
Parks and Recreation Special Revenue Funds
Combining Balance Sheet
December 31, 2001
High Two
School Litter Lakes
Asset ree uc1usg ContrQl Park TT
Cash and investments $ 1,574 5,530 ,4 2 6• 08
Liabilities and Fund Balances
Liabilities: 995
Accounts payable
995
Deferred revenue 1,574 4,535 -
Total liabilities 1,574 5,530 - 7,104
Fund balances - unreserved
and undesignated - -
19,404 _ 19,404
X1,
574 5 0 19,404
52 i
CM OF SEWARD
Parks and Recreation Special Revenue Funds
Combining, Statement of Revenues, Expenditures
and Changes in Fund Balances
Year Ended December 31, 2001
Revenues:
Federal grants
Miscellaneous
Total revenues
Expenditures:
Salaries and employee benefits
Supplies
Other services and charges
Total expenditures
Excess of revenues over (under)
expenditures
Beginning fund balances
Ending fund balances
53
Exhibit G4
High Two
School Litter Lakes
Greenhouse Control Park Totals
2,426 2,426
8,399 8,399
426 8.399 10 82
2,865 2,865
4,934 4,934
2,426 600 1,1156 4,118„2
2,426 8,399 1,156 11,981
1,156) (1,156)
20,560 20,560
19,404 19,404
CITY OF SEWARD
Public Safety Special Revenue Funds
Balance Sheet
December 31, 2001
Assets
Receivables - State and federal grants
Liabilities:
Accounts payable
Due to other funds
Total liabilities
Fund balance
Liabilities and Fund Balance
54
Exhibit G -5
Avalance
2000
S 1,520
3,900
195,620
199,520
S 199,520
t
i
CITY OF SEWARD
Public Safety Special Revenue Funds
Combining Statement of Revenues, Expenditures
and Changes in Fund Balances
Year Ended December 31, 2001
Revenues:
Federal grants
State grants
Miscellaneous
Total revenues
Expenditures:
Contracted services
Supplies
Total expenditures
Excess of revenues over
expenditures
Beginning fund balances
Residual equity transfer to other fund
Ending fund balances
55
Exhibit G-6
High Risk
Avalanche Traffic
2000 Enforcement Totals
141,370 141,370
47,123 47,123
57000 51000
193,493 193,493
193,211 - 193,211
282 - 282
193,493 - 193,493
2,250 2,250
2,250 (2,250}
Exhibit G -7
CTTY OF SEWARD
Other General Goverment Special Revenue Funds
Combining Balance Sheet
December 31, 2001
Seward
Compre- Computer
hensive Network/
Assets Plan We Page Totals
Cash and investments S 22,225 22,000 X25
Liabilities and Fod Balances
Liabilities:
Accounts payable 5,255 5,255
Deferred revenue 16,970 16,970
Total liabilities 22,225 22,225
1
Fund balances - unreserved and
undesignated 22,000 22,000
S 22,225 22,009 44,225
1
1
S6
CITY OF SEWARD
Other General Government Special Revenue Funds
Combining Statement of Revenues, Expenditures
and Changes in Fund Balances
Year Ended December 31, 2001
Excess of revenues over (under)
expenditures
Beginning fund balances
Residual equity transfer to other fund
Ending fund balances
1
Exhibit -8
Seward
Compre- Historical Seward Computer
hensive Records Community Network/
Plan Preservation Cemetea Web P Totals
2,468 - - 2,4668
5,255 - - 5255
5_,255 2,468 - - 71723
184 - - 184
5,255 - - - 5,255
29434 - - 2,434
324 - - 324
5,255 2,942 - - _8,197
57
474)
474
474)
2,062 22,000 24,536
2,062 - 2,062
22,000 22,000
Revenues:
State grants
Miscellaneous
Total revenues
Expenditures:
Salaries and employee benefits
Contracted services
Supplies
Other services and charges
Total expenditures
Excess of revenues over (under)
expenditures
Beginning fund balances
Residual equity transfer to other fund
Ending fund balances
1
Exhibit -8
Seward
Compre- Historical Seward Computer
hensive Records Community Network/
Plan Preservation Cemetea Web P Totals
2,468 - - 2,4668
5,255 - - 5255
5_,255 2,468 - - 71723
184 - - 184
5,255 - - - 5,255
29434 - - 2,434
324 - - 324
5,255 2,942 - - _8,197
57
474)
474
474)
2,062 22,000 24,536
2,062 - 2,062
22,000 22,000
1
1
THIS PAGE INTENTIONALLY LEFT BLANK 1
u
I
58 1
DEBT SERVICE FUND
The Debt Service Fund is used to account for the accumulation of
resources for payment of the $7,540,000 ingeneral obligation bonds issued
for construction of a new medical center, and the retirement of the
liability to the State of Alaska Public Employees Retirement System
resulting from the dissolution of the Seward General Hospital Enterprise
Fund.
1
11
Exhibit H -I
CITY OF SEWARD
Debt Service Fund
Balance Sheet
December 31, 200I
with Comparative Amounts for December 31, 2000
Assets 2001 20
Cash and investments $ 685Aa 564-909
Fund B Mee
Fund balance - reserved for debt service
59
a 685"422 3ra=
Exhibit H -2
CITY OF SEWARD
Debt Service Fund
Statement of Revenues, Expenditures
and Changes in Fund Balance
Year Ended December 31, 2001
with Comparative Amounts for Year Ended December 31, 2000
Revenues - investment income
Expenditures:
Interest payments
Principal payments
Total expenditures
Excess of revenues over (under) expenditures
Other financing sources - operating transfers
from other funds
Excess of revenues and other financing
sources over expenditures
Beginning fund balance
Ending fund balance
60
2001
21,914 25,3 52
377,055 388,217
265,000 235,000
642,055 623,217
620,141) (597,865)
740,654 732,945
120,513 135,060
564,909 429,829
685,422 564,90
i
CAPTrnI, PROJECT FUNDS
1
The Capital Project Funds are established to account for the resources
expended to acquire assets of a relatively permanent nature. These funds
are established for the purpose of segregating the accounting for bond
proceeds, grants and contributions for the acquisition of capital assets.
C Project Capital Proect Funds provide a formal mechanism which enables
administrators to ensure that revenues dedicated to a certain purpose are
used only for that purpose, and further enables them to report to
creditors and other grantors of Capital Project Fund revenue, that their
requirements regarding the use of the revenue were fully satisfied.
C
ICAPITAL PROJECT FUNDS
Capital Project Funds are established to account for the resources expended to acquire assets of a
relatively permanent nature.
Gateway Subdivision — To account for the cost of acquiring lots and developing a
park. A State grant and the City provide monies.
Bike Path Continuation — To account for the construction of a high school bike path
extension. Monies were provided through a State matching grant.
Ballfield — To account for the cost of a new community softball field called
Citizens Field." The City provides funding.
Campground ADA and Waterfront Improvements — To account for the costs of
providing wheelchair accessible camping and parking sites at Waterfront Paris, as
well as to construct a recreational vehicle sewer dump station.
City Playgrounds — To account for the costs of upgrading, repairing and constructing.
tot lots and playgrounds in the City.
Hoben Park -- To account for improvements to Hoben Park, located adjacent to the
Alaska SeaLife Center, including removal and replacement of fencing, monuments
and trees, and installation of a sidewalk.
Flood Mitigation — To account for the costs of engineering and construction of a
levee at Japanese Creek, to mitigate flooding at Resurrection River.
911 Equipment Replacement — To account for the costs of upgrading the City's 911
emergency telephone equipment, including the purchase of recording equipment.
Fourth and Adams Park — To account for the costs of building a town square park to
e include a public restroom facility, bus pullout, covered waiting area, and green
space, servicing to revitalize the downtown area.
Capital Acquisition — To account for purchase of equipment not financed by the
Motor Pool Fund and capital improvements and projects of at least $20,000.
Funding is provided as available from the General Fund.
Streets and Sidewalks — To account for the cost of repairing and installing new
sections of sidewalks, curbs and gutters, and to improve handicapped accessibility of
sidewalks.
Hospital Construction -- To account for the cost of constructing the new hospital.
Funding is provided primarily by the 1996 hospital bond issue for $7.5 million.
1 61
CAPITAL PROJECT FUNDS, oontinued 1
Fuel Tank — To account for the costs of removing an underground storage tank used '
by city hall and the fire ball, and replacing that fuel tank above ground The project
also includes building a housing structim to secure the teak. ,
Fin Hall Roof Repair — To account for the cost of repairing and/or replacing the roof
at the fire hall.
Library Project — To account for the cost of replacing windows and exterior siding
necessitated by water damage. '
Street improvements -- to account for the costs of reconditioning portions of Ballaine
Boulevard, Bear Drive, and Maratim Drive. '
City Hall Facilities and Equipment — To account for the cats of replacing aging
lighting ballasts and fixtures throughout the City Hall building, as well as replacing ,
some areas ofworn carpet.
62
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Exhibit I -1
CITY OF SEWARD
Capital Project Funds
Combining Balance Sheet
December 31, 2001
with Comparative Totals for December 31, 2000
Liabilities and Fund Balances
Liabilities:
Accounts payable - -
70,974 70,974 118,642
Deferred revenue - -
14,000 14,000 -
Due to other funds - _ 67,b09 - 67,609 173,609
Total liabilities - 67,609 84,974 152,583 292,251
Fund balances - unreserved - designated
for capital improvements 53,363 - 380,912 434275 642,131
S 53,363 67,609 465,886 586,85$ 934,382
64
t
Other
parks and Public General Totals
Assets Recim do fety Government 2001 2000
Cash and investments S 53,363 465,886 519,249 654,269
Receivables:
Federal and State grants 66,609 66,609 235,548
Other 1,000 X000 56?
S 53,363 67,609 465,886 586,858 934,382
Liabilities and Fund Balances
Liabilities:
Accounts payable - -
70,974 70,974 118,642
Deferred revenue - -
14,000 14,000 -
Due to other funds - _ 67,b09 - 67,609 173,609
Total liabilities - 67,609 84,974 152,583 292,251
Fund balances - unreserved - designated
for capital improvements 53,363 - 380,912 434275 642,131
S 53,363 67,609 465,886 586,85$ 934,382
64
t
C
CITY OF SEWARD
Cipital Project Funds
Combining Statement of Revenues, Expenditures
and Changes in Fund Balances
Year Ended Docenber 31, 2001
with Comparative Totals for Year Ended December 31, 2000
Other
Parks and Public General
fig Saferi Government
Exhibit 1-2
Totals
M1 2M
S - 647,196
Revenues:
Federal grants
73,990Stategrants 79,611
Investment income
other
Total
16,515
revenues
20,732
Expenditures:
Salaries and employee benefits
30,000
Contracted services
111
Equipment
52,025
Land
537,032
Supplies
119
Pass - through payments
Other services and charges
28,740
Total expenditures
Excess of revenues over
857,278
under) expenditures
Other financing sources (uses):
operating transfers from other funds
124,302
Operating transfers to other funds
Net other financing sources (uses)
Excess of revenues and other
1,627
financing sources over (under)
expenditures and other uses
53,247
Beginning fund balances
Residual equity transfers from other funds
Residual equity transfers to other funds
12 17,407
Ending fund balances
Other
Parks and Public General
fig Saferi Government
Exhibit 1-2
Totals
M1 2M
S - 647,196 647,196 303,606
111 73,990 5,510 79,611 178,497
16,515 16,515 20,732
30,000 30,000 34,197
111 721,186 _ 52,025 773,322 537,032
119 13,098 1,845 15,062 28,740
1,874 701,593 153,811 857,278 662,411
6,469 254,281 260,750 124,302
155,089
1,627 17 6,006 7,650 53,247
99,274
5,352 12 17,407
T
22,771 531694
8,972 721,189 433,350 1,163,511 1,176,757
8,861) (3) (381,325) (390,189) (639,725)
246,474 246,474 553,640
75 000 75 000 (189,90
171,474 171,474 363,738
8,861) 3) (209,851) 218,715) (275,987)
51,365 3 590,763 642,131 918,118
10,859 42,889 53,748 -
42,889 42,889 -
S 53,363 380,912 434,275 642,131
65
CITY OF SEWARD
Parks and Recreation Capital Project Funds
Combining Balance Sheet
December 31, 2001
Assets
Cash and investments
Fund Balances
Fund balances - unreserved -
designated for capital improvements
Exhibit I_3
Campground
ADA and
Bike Path Waterfront Hoben
Continuation lm rovements Park Totals
X2,
4118 951 49,9% 53,363
8 951 49 53 363
i
i
i
Eabibit
Ci'I'Y OF SEWARD
Parks and Recreation Capital Project Funds
Combining Statement of Revenues, Expenditures
and Changes in Fund Balances (Deficit)
Year Ended December 31, 2001
Campground
ADA and City
Gateway Bike Path Waterfront Play- Hoban
SgWivision o t' fi IMRrovernents grounds Ellk Tak
Revenues - State grants $
Expenditures:
Salaries and employee benefits 119 - - 119
Contracted services
1,874 -
1,627
1,874
1,627
Supplies
Other services and charges 12 5,340 5,352
Total expenditures 131 1,974 - 6,967 X972
Excess of revenues
over (under)
expenditures 20) {1,874} 6,967) 8,861)
Beginning fund balances (deficit) 10,859) 2,438 1,874 951 6,967 49,994 51,365
fromResidualequitytransfer 1 59
her ndotfu 1 U - _
Ending fund balances S 2,418 _ = 951 49,994 53,363
1
t
t
67
Receivables:
Federal and State grants
Other
CITY OF SEWARD
Public Safety Capital Project Funds
Balance Sheet
December 31, 2001
Assets
Liabilities and Fund Balances
Liabilities - due to other funds
Fund balance
68
Exhibit I -5
Flood
Mitigation
66,609
1,000
67,609
67,609
S 67,609
CITY OF SEWARD
Public Safety Capital Project Funds
Combining Statement of Revenues, Expenditures
and Changes in Fund Balances
Year Ended December 31, 2001
Revenues:
Federal grants
State grants
Total revenues
Expenditures:
Salaries and employee benefits
Contracted services
Equipment
Supplies
Other services and charges
Total expenditures
Excess of revenues
over (under) expenditures
Beginning fund balances
Ending fund balances
i 69
Exhibit I
911
Flood Equipment
Mitieation Reylacement Totals
647,196 - 647,196
73,975 15 731990
721,171 15 721,186
13,098
701,593
6,469
11
721,171
MEMNON
13,098
701,593
6,469
17 17
1 12
18 721,189
3) (3)
3 3
CITY OF SEWARD
Other General Government Capital Project Funds
Combining Balance Sheet
Devember 31, 2001
1
City Hall
Street Facilities
Fourth and Capital Street and Hospital Library Improve - and
A Adams Park Acguigition S+dewalks Constructive Ewiga meats Eguipm IOWA
Ca3h and investment S 53,279 230,021 3,312 99,933 61,986
X510
13,844 465,886
Liabilities:
Accounts payable 2,858 68,116 70,974
Deferred revenue 14,000 1 14,000
Total liabilities 14,000 2,858 68,116 84,974
Fund balances (deficit) -
unreserved - designated for
capital kgxovanmts 39,278 230,021 3,312 _ 97,075 3,128) 510 13,844 380,912_
53 278 230,021 3,312 99,933 64,988 510 13,844 465,886 t
1
70
i
i
i
CITY OF SEWARD
Odwr GemW Oovwnmmt Capital Pwjea Fads
Combumg Stma na of Rerasns, Expeodiara
and Cbm" in Fund babism (Deficit)
Yew Ended Dezember 31.2001
71
City Hd1
Feattb td CapMtl Seats end Hospip l Fi" LAMA 1mPPow- mad
iJ mp1 i 3i2a Sldnwh Comstwu EMLL t blig b 1m mm Imii2 21L Tslw
Revem ss:
SUN Sim" s S 110 3.510
IF,V incomt 6,599 7,616 16,315
Odiw 30 flop 301000
Total myeimmimi 32,599 1,616 51310 52,025
Salvias eod be A 1,545 1.545
Camected eavu= 72,904 177 279 62.116 333 6.000 133.911
25.504 221,777 254,281
SUPP 3,917 5 1,611 466 6,006
Olww earvicm and fps 9126 4117 203 47 6,311
71 92?
33 600 X40?
Taal ag7mdinres 92,047 25,991 230 230,674 Sl3 365 6,600 433 330
Excea of mrrttw
ovw(usdw)expmdit- 92,047) 12.902 2,230) 223,058) 313) 74,927) 361) 1.090) 351,325)
4tbw fineoeins wwcea (zeta):
0"Mua2 tranof ws fiom O&W fw* 13025 76,140 37,905 404 246,474
oparma5 narfen m od w fitds 75 000 7000
Net 06W fir,aocift - (ma) 131,325 1,840 37,903 404 171,474
Excew 9hevomm and od w
emmoci It so., - i ovw (MAW)
jye midathw um 39,2T8 14,742 2.230) 223,032) 513) 37,022) NA) 686) 209,151)
Bogiorift findpdm= 206.278 5,342 320,133 2,995 34,407 575 14,530 590,763
Rwdusl equity &msfws fiom othcr bands 9,995 33.2% 4209
Raeidwl equity &mifwe to odtw funds J5,995 (3 3194 4T ( 2.999)
Etdial fund balwrrss (deficit) S 39.272 230,021_ 3,J 12 97,075 3 125 S 10 13,#44 330912
71
L
THIS PAGE LEFT BLANK INTENTIONALLY
72
ENTERPRisE FUNDS
The Enterprise Funds are established to account for the financing of self-
supporting activities of governmental units which reader services to the
general public on a user- charge basis. Enterprise Foods are maintained
on the accrual basis of accounting.
l
L'.
J
IENTERPRISE FUNDS
Enterprise Funds are established to account For the financing of self- supporting activities of
governmental units, which render services to the general public on a user - charge basis. Enterprise
Funds are maintained on the accrual basis of accounting.
Electric — To account for the provision of electrical service to the residents of the
City and other areas within the electric service area
Water and Sewer — To account for the provision of water and sewer services to the
residents of the City.
Harbor — To account for the provision of harbor and marine services within the
Small Boat Harbor basin to the public.
Seward Marine Industrial Center (SNEC) — To account for the provision of marine-
related services to the public on the east side of Resurrection Bay.
Parking Revenue — To account for the provision of public parking services.
1
1 73
Current assets:
Cash ow investments
CITY OF SEWARD
Eamprise Punds
Combining 1 dune Shot
December 31, 2001
withComparWve Totals for Dwen ber 31.2000
WNW Totals ,
ARM Ekg* and Sewer k1joM am EKWAll nu &M
4,169,435 23, 06.226 756,460 356,556 96,173 7,694,850 10,634,604 '
Receivables:
Acwamts 676,053 118,476 222,259 44,324 1,061,112 968,506
Assessments 5,497 7,069 4,286 - 16,BS2
Crr'mts 4,484
Other 10,340 10,340 29,991
Less allowance for doubtPolroccivabla X30 ,422) 4,581) 28704 - 63,707) 55,161) '
Net receivables 661,468 120,964
T
197,841 44x324 I,024,597 946,920
8,290,456
Cash held by fiscal agent 153 000
Prepaid eapmaes 10,716 10,716
bNentory 519,009 20,126
19,006,863
539,135 5 17,294
Total amsnt assets 5,349,912 2,458,032 954,301 400,890 96,173 9,259,299 12,253_ y23_
Restricted assets - crib and invemuents radioed
for bond ratbumut
Asseasrnawts receivable
307,205 - 20,518 555,723 555,723
61,140 120,002 53,399 - 234,541 294,968 '
may, pjaat aad cquipmmt:
Land and land improvemmts 230,951 113,518 3,377,979 12,044,821 500,041 16,267,310 15,754,269
Buildags 281,474 3,701,087 396,187 271,649 4,650,397 4,650,397
Inipro mients other than buildings 34,920,918 9,874,566 4,560,597 38,938,681 88,294,762 88,273,746
Equipment 4,830,169 1,731,450 8119 908,788 8,500_ 8,290,456 7901,410
Property, plant and equipment m service 40,263,512 15,420,621 9,146,312 52,163,939 508,541 117,502,925 116,579,11M
Less accumWated depredation 18,796,879) 7 65 193 2S ,998, 19,006,863 415,3U C48 482,973) 45,125,32S)
Net property, plant and equipment in service 21,466,633 8,155,428 6,147,618 33,157,076 93,197 69,019,952 71,454,497
Construction in pmgmu 2,447,371 33,202 7,819,539 113,012 10,413,124 51858,192
Total property, plant and equipment 23 914,004 8,189,630 13,967,157 33,270,089 93,197 79,433076 77,312,699
Defaced charges - unamoamd debt issuance coats 20,304 14,743 35,047 43,119
S 29,652,565 107664 15_223,375 33,685,711 189,370 999517,695 90 460 2 1
74
1 75
F chihit J-1. contim od
CITY OF SEWARD
Enterprise Funds
Combining Balance Shea, cmtmwd
wow Totals
E1toLig ma. Lwa am Ptldc U 2m 2444
Liabilities:
Cwreat liabilities:
Accounts payable S 455,197 57,160 37,362 107,201 2,360 659,280 4$4,474
Current patron.
Bp, payablepy,
90,000 152,348 892,348 8'99 ,991
Notes pay"
48,479 48,479 46,118
Capita kale obligations
75,000 75,000 70,000
Rehm" incentive PmVm payer 9,657 10,661 20318 20,319
t Custame deposits 159,587 159,587 143,319
Accrued annual leave 38,645 18,177 40,162 97,004 103,421
Accrued interest 34,339 2,695 39,629 12,217 88,880 72833
Odor accrued liabilities 2,252 34,431 24,542 246 14 61,485 64,783
738 374,037 98,216 472,991 465,554
urTotalcrent liabilities 134„0,,020 171,337 X413 44,5,,228 2,374 2575,372- 2,870,821
Deferred revwue - ML*a Railroad Corporatsan
lo reivabonw k 39,932 39,932 73,622
Long-term excluding current portion:
3,830,000 1,910,000 889,380 7,629,380 8,521,728
Bonds piyable
L.435 rnumw d . wwjm on refunding gq 902) 97,$10) 192,712} 234,875)
Notes payable 619,244 619244 667,726
Capital least obligations
265,000 265.000 340,000
Retirement incentive program payable
20,318
Total long -term debt 3! 73098 61944 2___ x_911000 1,056,574 8,320,912 9,314,897
J ,
Total liabilities 5,075,118 790,581 3,566,343 I,501,798 y4 10,936.2-16 12,259340
Fund equity:
Contnbutcdcapital 24,227,405 11,852,790 10,870,412 49,923,694 433,543 97,307,841 95.731,438
LAM ascunrulated amOM2600 8,901,287) 10,139.225) 1 855 871 17,367,01 8 404,598) 34,667, 999 31001 804
Net coumbuted capital 15,326,118 5,713,565 9,014,541 32,556,676 28,945 62,639,915 63,729,629
Retained earnings (deficit) - unreserved 9,251,329 4,262,518 2? 489 372,763 I58,OS1 151,624 14,471,252
Total find equity 24,577,447 9,976083 11,657 030 32,183,91.3 186,996 78,581,469 78 00 881
S 29,652,563 10,766,664 15 ,223,375 33,685,711 189,370 89,517,685 90,46OX1
1 75
CITY OF SEWARD
Enterprise Funds
Combining Statement of Revenues,
301
Expenses and Changes in Retained Earnings (Deficit)
Year Ended Deonnber 31, 2001
15,980
with Comparative Totals for Year Ended Dcownber 31, 2000
44270,4519 537,
Operating revenues
1 wing etpenses
Earnuigs from operations. before
depreciation
Depreciation
Earnings (loss) from operatrons
Non-opc ating revenues (expenses):
Gain on disposal of property and equipment
Invest income
Interest expense
Other revenues
Net non - operating revenues (atper=)
Earnings (loss) before operating
transfers
Operating transfers from other funds
Operating transfers to other funds
Net operating transfers
Net earnings (loss)
Increase in retained earnings for oorrr'awm
to contributed capital and accumulated depreciation
Amortization of contributed capital
Increase in retained earnings
Beginning retained earnings (deficit)
Residual equity transfers to outer funds
Ending retained earnings (deficit)
F
wow Totals
Ekctn and H SI diC Parking =1 2M
S 6,782,265 1,484,559 1,735,281 390,323 109,603 10,502,031 10,011,875
5.1022251 976,557 1,132,855 369,769 76,066 7,577,598 7,311,040
1,759,914 508,002 602,426 20,554 33,537 2,924,433 2,700,835
1,263,095 377,933 392,897 1,232,620 461909 3,313,444 3,2866,142
496,819 130,069 209,539 (1,212,066) (13,372) (389,011) (585,307)
111,593
795,314 299,647 336162 1,113,815 _45,784 2,590,722 2,578,795
823,692 409,940 345,049 147,119 35,353 1,761,152 2,197,425
8,683,417 3,852,578 2,332,440 (519,881) 122,698 14,471,252 12,273,827
255,78 0) - (35,000) 2( 90,780) -
S 9,251,329 4,2 62,518 2,642,489 3 72,763 158,051 15,941,624 14,471,252
1 77
301
111,327 63,581 76,615 15,980 21941 44270,4519537,
259,821) 17,542) 163,361) 113,416) 554,140) 502,821)
43,908 8,291 52,199 28,898
104,5 54,330 96,746 97,436) 2,941 231.49 63,897
392,233 184,399 122,793 1,309,502) 10,431) 620,508) 521,410)
3,130 9.734 9,651 358,884 381,399 285,133
3_( 56,985} 8( 3,840) l( 23,557) 16,079 51 256,686)
3653,855} 7( 4,106) 1( 13,9Db) 342,805 2{ 09,062) 28,447
28,378 110,293 8,887 966,697) 10,431) 829,570) 492,963)
111,593
795,314 299,647 336162 1,113,815 _45,784 2,590,722 2,578,795
823,692 409,940 345,049 147,119 35,353 1,761,152 2,197,425
8,683,417 3,852,578 2,332,440 (519,881) 122,698 14,471,252 12,273,827
255,78 0) - (35,000) 2( 90,780) -
S 9,251,329 4,2 62,518 2,642,489 3 72,763 158,051 15,941,624 14,471,252
1 77
CITY OF SEWARD
Entetprisc Funds
Combining Stdcment of Cash Flaws
Year faded December 31, 2001
with Compancive Totals for Year Ended December 31, 2000
Cash flows from Operating activities:
Earrings (loss) fran operat'°"s
Adjustnterr<s to mmk ile earnings (loss) from
operations to net cash flows from Operating
activities:
Depreciation
Cdw non.operating revenues
Increase (decrease) in allowance for
dwabtfW mceivables
increase) decrease in assets:
Roceivabks
Prepaid expauscs
lnvattary
Increase (decrease) in liabilities:
Accounts payable
Customer deposits
Accrued annul leave
Other accrued liabilities
Die to Other fords
Deferred revenue
Ratircnmt iwmtiva program payable
Net cash flows from operating activities
Cash flows from non- capital financing activities:
Operating transfers from other funds
Operating transfers to other funds
Opm*ing grants received
Net cash flows fiom non- capital
financing activities
Water
Fkxtdc and Hfftff MQ rEking
S 496,819 130,069 209,539 (1,212,066) (13,372)
Totals '
M M
389,011) (585,307) '
1,263,095 377,933 392,887 1,232,620 46,909 3,313,444 3,28042
43,908 8,291 52,199 3,509
1,458 21 7,067 046 8,721)
41,422) 15,894) 9.156) 10,332) 76,804) 21,310
10,716) 10,716)
28,467) 6,631 21,836) 37,319
139,313) 9,940 301,217) 103,126 2,270 316 7(
6'
5
16,268
168)
9,707) 3,816 526) 6,417) 6,940)
16.556) 7,394) 11,421) 1,592) 28) 36-991) 288)
34.431 118,212) 91,216 7.435 33,536)
9658 10,661) 20319 3,662}
1 5483 527,470 158,300 202,972 3_ 5,779 2,510,604 3-410.355
3,130 9,734 9,651 358,884 381.399 285,133
366,985) 83.640) 123,557) 16,079) 590,461)
363,855) 74,1 113906 342,805 209, 53,247
I
I
1 Exhibit ] -3. continued
CITY OF SEWARD
1 Entnpriae Funds
Combining Statement of Cub Flows, continued
1
W Totals
1 Gash lows from capital and rebated financing activities' 3,008,366
Procoecl+t from issuance of long-teem debt
Priwc on long-term debt 760,000) 46,121) 2091995) 1,016,116) 941,512)
payment;
Interest psymou on long -term debt 239,241) 19,949) 132,098) 96,670) 497,858)
155,000
427,682)
500
Crib bald by fiscal agent
Acquisition of property, plant and cquipment
155,000
693,770) 62,253) 4,570,024) 117,384) 8,500) 5,451,931) 5,910,505)
44,209
Colloctioos on special auessma" 25,338 16,610 4,466 46,414
3011Pt000edsfrom "IC of property and egnipmem
123,739 25,491 1,261,279 113,012 1,523,521 4,192,165
capital
Residual equity trs fem to other funds 255,790) 35,000) 2"'7
3,237,164)
Decrease in de nyA revenue 589
Penalties and koenat on spesssmspecial aue
Net cash Vows from capita
and rely financing &Mvd 1 644 714 86,122) 311.03 8,500) S 521 750 3270,733
1 Cash flows from investing activities
income received 111,327 63,581 74,615 2,941 270,4M 537,519
investment
Net w" asa (4c=w) in casb and invesbnents (311,159) 430,823 3,350,368) 250,730 30,220 2,949,754) 730,389
Begmnm6 cash and invests 4,787,799 1,875,403 4,355,346 X826 65,953 11r 1u27 10,459,939
Ending cash andinvestmCMq
S 4,476,640 2,306,226 1,004,978 356,5S6 X173 8,240,573 11,190,327
Reooaeiluum of cash and investments to balance sheet:
Cash and investments: - -
Cusent asset 4,169,435 2,306,226 756,460 356,556 96,173 7,684,850 10,634,604
Restricted assets
307,205 - 248,518 555,723 555,723
1 S 4,476,640 2,306,226 1,004,478 356,556 96,173 82,40;573 11190 27
1 79
80 1
1
Exhibit J-4
CITY OF SEWARD
Electric Enterprise Fund
Balance Sheet
December 31, 2001
with Comparative Amounts for December 31, 2000
20002001
Current assets:
Cash and investments 4,169,435 42480,594
Receivables:
67b,053 620,059
Accounts
5,497
Assessments
10,340 24,912
Other
Less allowance for doubtful receivables 30,422 28 964)
receivables
661,468661,468 616 007
Cash held by fiscal agent
155, 000
Inventory
519,009 442
Total current assets 5,3_ 49912 5,742,143
Restricted assets - cash and investments restricted
for bond retirement
307,205 307 205
Assessments receivable
61,140 91,975
Property, plant and equipment:
Land and land improvements 230,951 217,951
Buildings
281,474 281,474
improvements other than buildings 34,920,918 34,494,187
Equipment 4 830 169 4,850,332
Property, plant and equipment in service 40,263,512 39,843,944
Less accumulated depreciation 18,796,879 17,553,94
Net property, plant and equipment in service 21,466,633 22,289,997
Construction in progress 2,447,371 2,193,332
Total property, plant and equipment 23,914,004 24,483,329
unamorhzeDeferredcharges - d debt issuance costs 20,304 26,106
29,652,565: 30,665_0,,758
80 1
Exhibit J-4 continued
CITY OF SEWARD
Electric Enterprise Fund
Balance Sheet, continued
Liabilities and Fund Equity 2001 2000
Liabilities:
Current liabilities:
Accounts payable 455,197
650,000
594,510
760,000Currentportionofbondspayable
Customer deposits 159,587 143,319
Accrued annual leave 38,645 48,352
Accrued interest 34,339 46,676
other accrued liabilities 2,252 18,808
Total current liabilities 1,340,020 1,611,665
Long -term debt - bonds payable, excluding
current portion 3,830,000 4,480,000
Less unamortized deferred amount on refunding 94,902 122 017
Net long -term debt 3,735,098 4,357 9,8`3
Total liabilities 51075,118 5,969,648
Fund equity:
Contributed capital 24,227,405 24,103,666
Less accumulated amortization 8,901,28 8,105,973
Net contributed capital 15,326,118 15,997,693
Retained earnings - unreserved 9,251 329 8,683,417
Total fund equity 24,577,447 24,681,110
29,66552,,565 30,650
CrrY OF SEWARD '
Electric Enterprise Fund
Statanent of Revenues, Expemes
and Changes in Ruined Earnings ,
Year Ended December 31, 2001
with Comparative Amounts for Year Ended December 31, 2000
92 1
Operating revenues: S 2,047,192 1,910,509
Residential
Small general service
1,234,639 1,237,376
Large general service
2,673,894 2,612,133
Industrial
570,802 347,791
83,780 113,958
Harbor power
71,973 66,546
Street and yard lights
99,985 178,6.92
Miscellaneous
6 78 5 6,467, WS
Total operating revenues
Operating expenses' 3,062,135 2,682,188
Power
Distribution
185,759 274,425
Administration and general
1,774,45
y5,022,351
1,725,598
Total operating expenses
4 68 11
Earnings from operations before depreciation 1,759,914 1,784,794
Depreciation 1 26-x— 3-095 1,234,373
496,819 550,421
Earnings from operations
Non - operating revenues (acparsesr 111,327 233,757
Investment income
259,821) 346,252)
Interest expense
589
penalties and interest on assessments
908XOtherrevenues
Net non -0per"4 revenues (expenses)
l04 586 108 9
Earnings before operating transfers
392,233 442,024
operating transfers from other funds
3,130
366,995 35000
Nong
nfi
36 3855 35 000
Net earnings
28,378 407,024
Amortization of contributed capital
795,314 788531
Increase in retained earnings
823,692 1,195,555
Beginning retained earnings
8,683,417 7,487,862
Residual equity transfers to other funds
255,780
Ending retained earnings
S 9,251,329 8,683 417
92 1
1 83
CITY OF SEWARD
Electric Enterprise Fund
Statement of Cash Flows
Year Ended December 31, 2001
31, 2000withComparativeAmountsfarYearEndedDecenba
2491 2M
Cash flows from operating activities: 496,819 550,421
Earnings from operations
Adjustments to reconcile eamings from operations to net
t cash flows from operating activities: 1,263,095 1,234,373
Depreciation 43,908 3,509
Other non - operating revenues
Increase (decrease) in allowance for doubtful receivables
1,458 2,855)
Increase) decrease in assets: 41,422) 65,773
Receivables
29,467) 37,753
Inventory
Increase (decrease) in liabilities: 139,313) 405,795
Accounts payable
16,268 6.777)
Customer deposits 707) 10,739)
Accrued annual leave 1166,00883
43
Other accrued liabilities
1,586, 2,2381.0122238
Net cash flows from operating activities
Cash flows from non - capital financing activities:
Operating transfers from other funds
3,130
366 995 35 000
operating transfers to other funds 363 BSS 35000
Net cash flows from non - capital financing activities
Cash flows from capital and related financing activities: 760,000) 700,000)
Principal payments on long -term debt 286,355)
Interest payments on long -term debt 15555,000000 500
Cash held by fiscal agent 693,770) 2,422,138)
1 Acquisition of property, plant and equipment 25,338 22,992
Collections on special assessments 123,739 1,1 44,221
Contributed capital 255 ,780)
Residual equity transfers to other funds 207,766)
Decrease in deferred revenue 589
Penalties and interest on special assessments
1,644,714) 2483 457
Net cash flows from capital and related financing activities
Cash flows from investing activities - investment income received
111,32 2- 3375%
Net decrease in cash and investments
31 1,159) 47,188)
4x787,799 4,834
Beginning cash and investments
444640 4,787,799
Ending cash and investments
Reconciliation of cash and investments to balance sheet:
Cash and investments: 4,169,435 4,480,594
Current assns
307,205 307,205
Restricted assets
4,476,640 4,7,87,799
1
1 83
Exhibit J -7
CITY OF SEWARD '
Electric Enterprise Fund
Schedule of Operating Expenses '
Year Ended December 31, 2001
with Comparative Amounts for Year Ended December 31, 2000
1
Distribution:
Salaries and employee benefits 338, 285,979 '
168,440101 )
2001 200„
32,848
188,031
Power:
Salaries and employee benefits
43,243 53, i 21 t
Purchased services
1 15,543 218,785
Administration and general
Power for resale
2,816,971 2,287,606
Supplies, maintenance and other
6,378 122676
Total power
3,062,135 22682,188
Distribution:
Salaries and employee benefits 338, 285,979 '
Salary credits - work orders
168,440101 ) 1 76,791)
Purchased services
32,848
188,031
56,534
297,273 '
Supplies and maintenance
205,39$) 190,858)
Supply credits -work orders 2,288
Administration and general
payment in lieu of taxes
509,889
Total distribution
185,754 274,425
Administration and general:
268,798 306,168
Salaries and employee benefits
232,494 205,194
Purchased services
140,050 130,318
Supplies and maintenance
542,581 511,101
payment in lieu of taxes
509,889 486,768
Administrative fee
8064? 86,049
Other
Total administration and general
1,774,457 1,725,598
Total operating expenses
5,022,351 4L682,211
t,..+
w
t
CITY OF SEWARD
Electric Enterprise Fund
Schedule of Electric Capital Projects
Year Ended December 31, 2001
Funding source - Electric funds
Expenditures:
Salaries and employee benefits
Contracted services
Supplies and materials
Equipment
Other services and charges
Total expenditures
1
1
1
1
85
ExWbit J-8
Standby
Electric
Genera
6=
1,360
42,148
6,609
3,000
7,087
6„,204
Liabilities:
FWit.0
Cwralt liabilities:
7,160
CITY OF SEWARD
Ao MMU PIMA*
Wow ad Sewer EmMapres Fuel
cwrent pOf t1ow
48,479
t154156100ooto0Sh
9657 9.652
Atued smug k n
Dwanber 31, 2001
14.361
Accnxd iswnest
wilb Coatpasative An a m far DecanW 31, 2000
A1111n X41
737 1i32
Cwralt a ow:
invesuro m
Trial OxnZA liabddm
2306 1.473 403
Gash and
619,244 667,726
Notes payabk
9,657
117,476 101,342
Accounts
7,069 1,767
Assestmet>ts
Odw
Total liabilities
790,591
1X40
Less allowom for doubtful mmnbks
11,132,790
4,531 4560
Less accumulated amommdion
Net receivable;
s 134 57e
1201964- 99'769
PmpRd
10,716
20,126 26,757
3,652,57&
T sumcurrag
Tool fwd equity
4236,032 2.001 L949
A rosaivabk
S 10,766,664
120,002 141.914
may' PhM nd CqU1Pn-t 113,516 113,516
land ad bed unpn n-naas
Buildor;a
3,701,067 3,701,067
Leprove —las od>ex wee buikhW
9,674.566 9,527,545
Bwkmcnt
prop". Pl" atd in 5.7162115,420,621
l93
13,060,696
6767
Lem a= nwmd dqxwmuon zap,
Net property. PIM 00 O*dPnemt in swum 6,155.426 9,163,439
Caaiauc m in 1xow
33,202 340,671
TOW pwpmW Plant and c%pVPwk 6,166,630 8,604,310
S 10,7666664 10,646,173
Liabilities:
Cwralt liabilities:
7,160 47,022
Ao MMU PIMA*
cwrent pOf t1ow
48,479 46,119
Notes payable
Roet MCCXA
9657 9.652
Atued smug k n
1 8.177 14.361
Accnxd iswnest
6,002
344314314.
Detested mvawc
Odler accn Hawitics 737 1 i32
Trial OxnZA liabddm
171,337 130,491
Long -term deK excludift —mg Pte:
619,244 667,726
Notes payabk
9,657
Ream mll inometive pro M payable
Total long -lorm debt
619,244 677,393
Total liabilities
790,591 307,e_74
Fund equity
Contributed capital
11,132,790 11,&27,299
Less accumulated amommdion
6,139,225 ? s 134 57e
Net cmtnbuW caOW
5,713,565 5,917.721
Retsilsed eami W - wueraved
4,262,51 d
9,976,0113
3,652,57&
Tool fwd equity
9 940
S 10,766,664 10,649,173
36 1
CITY OF SEWARD
water and Sewer Enterprise Fund
Statement of Rwvnues, Expenses
and Changes in Retawed Earnings
Year Ended December 31, 2001
with Comparative Amounts for Year Ended December 31, 2000
87
M M
S 587,139 581,698
140,719
Operating revenues:
Residential
117,281
Small general service
127,913
Large general service
157,752 126,467
Industrial
68,930
Seward Marine Industrial Center
Ship water sales
76 B40
Miscellaneous
Total operating revenues
70,834
299,647
Operating expenses:
Water
409,940
Wastewater
3,852,578
Administration and general
Total operating expenses
3,852,579
Earnings from operations before depreciation
Depreciation
Earnings from operations
Non - operating revenues (expenses):
Investment income
interest expense
Grants
Other revenues
Net non - operating revenues (expenses)
Earnings before operating transfers
Operating transfers from other funds
Operating transfers to other funds
Net operating transfers
Net earnings
Amortization of contributed capital
Increase in retained earnings
Beginning retained earnings
Ending retained earnings
87
M M
S 587,139 581,698
140,719 142,443
288,635 284,088
117,281 133,158
127,913 124,521
157,752 126,467
65120 68,930
484,559 1.461305
356,315 477,836
275,788 221,453
344,454 3 32,196
976.557 1.031,485
508,002 429,820
377.933 377,101
130,069 52,719
63,581 102,470
17,542) 32,315)
24,800
8,291
54,330 94,955
184,399 147,674
9,734
83,8
74 106 76 B40
110,293 70,834
299,647 298,769
409,940 369,603
3,852,578 3,482
S 4,2 62,518 3,852,579
89 1
Exhibit J -11
CITY OF SEWARD
Water and Sewer Enterp w Fwmd
Statement of Cash Flown
Year Ended December 31, 2001
with Comparative Amounts for Year Ended Deo mtber 31, 2000
Cash flows from operating activities:
Earnings from operations $ 130,069 52,719
Adjustments to reconcile earnings from operations
to net cash flows from operating activities:
Depreciation 377,933 377.L01
Other non - operating revenues
8,291
Increase (decrease) in allowance for doubtful receivables 21 598)
Increase) decrease in assets:
Receivables 15,894) 62,454)
Prepaid expenses 10,716)
Inventory
6,631 436)
increase (decrease) in liabilities:
Accounts payable 9,940 34,623
Accrued annual leave 3,816 764
Retirement incentive program payable 9.658) 19,315
Deferred revenue 34,431
Other accrued liabilities 7) 2,374
Net cash flows from operating activities 527,470 423,408
Cash flows from non- capital financing activities:
Operating transfers from other funds 9,734
operating transfers to other funds 83,840) 76.840)
Operating grants received
24,800
Net cash flows from non - capital financing activities 74,106 52 040
Cash flows from capital and related financing activities:
Principal payments on long -term debt 46,121) 40,634)
Interest payments on long -term debt 19,849) 32,604)
Acquisition of property, plant and equipment
62,253) 350,106)
Collections on special assessments 16,610 19,075
Contributed capital 25,491 11,050
Net cash flows from capital and related financing activities 86,122 393,21
Cash flows from investing activities - investment income received 63,581 102,470
Net increase in cash and investments 430,823 80,619
Beginning cash and investments 1,875,403 1,794,784
Ending cash and investments S 2,306,226, 1,975,403
89 1
i
Exhibit M2
CITY OF SEWARD
Water and Sewer Enterprise Fund
Schedule of Operating Expenses
Year Ended December 31, 2001
with Comparative Amounts for Year Ended December 31, 2000
1
2001 LM
Water:
r Salaries and employee benefits 125,075 172,337
Purchased services 145,552 137,930
Supplies and maintenance 75,187 40,827
rOther 10,501 126,742
Total water 356,315 477,836
rWastewater:
Salaries and employee benefits 131,544 82,076
Purchased services 107,584 107,245
Supplies and maintenance 26,997 29,115
Other 9,663 3,017
Total wastewater 275,788 221,453
Administration and general:
Payment in lieu of taxes 118,765 116,741
Administrative fee 225689 215,455
Total administration and general 344,454 332,196
Total operating expenses S 976,557 1,031,485
r
r
r
r
r
r
99
CITY OF SEWARD
Water and Sewer Enterprise Fund
Combining Schedule of Water and Sewer Capital Projects
Year Ended December 31, 2001
Funding sources:
State grants
Kenai Peninsula Borough
Water and Sewer funds
Total funding sources
Expenditures:
Salaries and benefits
Contracted services
Supplies
Other services and charges
Total expenditures
90
Exht_ bit ] -13
Backup
Generator Fire
and Hydrant
Building Phase 11 To s
2,422 2,422
23,069 - 23,069
479 479
29 2,901 25,97,U
11,195 11,195
2,111 2,111
7,665 2,523 10,188
2,098 378 _2476
2, 3 069 2 9s1 259
s
t
CITY OF STEWARD
L Hwba psftWise Fund
Balance Sheet
December 31, 2001
with COmpa a ive Amounts for Dumber 31, 2000
Ago
Current assets: S 756,460 4y„a2a
Cash wd investrnenU
Receivables: 222,239 213,103
Aaounfs 4,484
Grants 4,256 1,072
ASSessments 28 704 l 63
LAN allowamx for doubtful wmvsbks 197,941 197,022
Net receivables
954 --112_3,850
Taal anrrent assets
249,518248,5lE
Restricted assets - crib and irrramlits restricted fa bond mtmneht
53,399 61079
1 Assessments receivable
property, plant and equipment: 3,377,979 3,377,979
Land and land improvaDCW
Buildings
396,187 396,187
4,560,397 4,501,215
WWmvamm other tnw buildings 811,549 it 1S0
Equipnant 9,146,312 9,087,531
property, plot and equipment in smvice 2,999,04) 2 62l
Less wcwm wd depeeistion 6,147,618 6,466,031
Net propety, plant wd equipment in savioe 7,819,M9 _ _ 3,323,989
Contraction in puVM 13,967,157 9,790 020
Total property, plant and equipment
S 152W75 14,403 467
Liabilities:
Current liabilities, 37,362 338,579
Accounts payable
Current portion: 90,000 -
Bonds payable 10,661 10,661
Retirement incentive prosTaru payable 40,192 40,708
Accrued annual leave 39,629 8,366
Accrued interest 24,342 35.963
Other a=wW liabilities 374,037 4J58,559
Defaced revenue 6_ 16,413 892 836
Tool current liabilities
Deterred revenue - Alaska Railroad Corporation low raxivable
39,932 __ 73622
Lmg.wm debt, excluding eurmat portion: 2,910,000 3,000,000
Boots payable 10.661
Retirement incentive progtwn payable 2,910,000 33 010661
Total tongtam debt
3,566,345 3,977l 19
Total liabilities
Fund equity: 10,970,412 9,613,617
Contributed capital 1,855,17!)
Less accumulated manatz2 ion 9,014,541 8,093,908
Net contributed capita
2,642,489 2 3444
Retained earnings . unsaved 11,657,030. 10,426.30
Total fund equity
S 15,223,375 14,403 467
91
CITY OF SEWARD
Harbor Enterprise Fund
Statement of Reventim Expenses
and Changes in Retained Earnings
Year Ended December 31, 2001
with Comparative Amounts for Year Ended December 31, 2000
I
2M 2M
operating, revenues: S 877,629 864.788
Moorage
4Q,702 70,539
B fenBootlift
120,924
Power Sales
104,889
228,090
137,661
244,9911 9
Rentals and leases
238,880
Passenger transit fee 157,9!6 X393
Miscellaneous
1,733,281 1,508,524
Total operating revenues
Operating expenses: 352,746 341,676
Salaries
161,245 246,312
Employee benefits
159,615 236,397
Purchased services
59,677 159,863
Power for resale
107,366 59,076
Supplies and maintxatance
232 3-4 061
Administration and general
i 1-- 853 1-- PTotaloperatingexpenses
32xg53
277,939
Earnings from operations before depreciation 602,426
Depreciation
392,887 39742
Earnings (loss) from operations 209,539 120,053)
Non -operating revenues (expenses): 301
Gaits on disposal of propefty and equipment
76,613 186,458
InvesMent income
163
laterest expense
Net non - operating revenues (expenses)
86,7 186,739
Earnings before operating transfers
122,793 66,736
Operating transfers from other funds
9,651
123,557 132460
Operating transfers to other funds
Net operating trannsfers
123,55 132460
Net earnings (loss)
764) 65,724)
Increase in retained earnings for reclassification from contributed capital 1,447,251
Amortization of contributed capital
336,162 335 091
Increase in retained earnings
333,398 1,716,618
Beginning reWned earnings
2,332,440 618.822
Residual equity transfers to other funds
35, M I
Ending retained earnings
S 2,632,838 2,332,440
92
Exhibit J -16
MY OF SEWARD
Harbor Enterprise Fund
Statanent of Cash Plows
9,651
Year Faded December, 31, 2001
123,55 132 460
with Comparative Annowu for Yes Ended Dooemba 31, 2000
I 13,906) J132 460
financing activities:
2 2444
Cash flows from operating activities:
S 209,339 120,033) Earnings (loss) from operations
3,008,366
Adjustments to reconcile earnings (lots) tram operations to net cab
132,046)
flows Boom operating activities;
392,887 397,992
Depreciation
Increase (decrease) in allowance for doubtful MMvebles 7,067 5,268)
Increase) de acne in assets - receivables 9,156) 19,704
h=ease (deavow) in liabilities:
1,261,279 3,036,894
Accounts payable
301,217) 306,457
Accrued annual leave 526) 3,035
Other accrued liabilities 1 1,421) 20,281
Deferred revennrne 118,212) 16,208)
Rdiremennt incentive program payable 19,661)
616,996
Net cash flows from operating activities 138,300 58&963
1 93
Cash flows from non - capital funancing activities;
Opersi ft transfers from other [bads 9,651
Operating crannrfen to other funds 123,55 132 460
Net cash flows from non - capital financing activities I 13,906) J132 460
financing activities: Cash flows from capital and related
Proceeds from issuance of long -term debt 3,008,366
Inntamt payments on long-term debt 132,046)
Acquisition of property, plant and equipment
4,570,024) 3,038,300)
proceeds from sale of property and equipment 301
Collections on special Mmu ants 4,466 2,142
Contributed capital 1,261,279 3,036,894
Residual equity transfer to other funds 35,000)
Decrease in deferred revenue 3 029 398
Net cash flows from capital and related frn=M9 activities L3,471,377 l9 945
Cash flows from investing activities - investment income received 76,615 186,488
Net increase ( decrease) in cash and investmenits 3,350,368) 616,996
Beginning cads and investments 4,353,346 3,738,350
Ending cash and investments S 1,004,978 4,3551346
Reconciliation of cash and investments to balance sheet:
Cash and investments:
5 736,460 4,106,828
Current assets
Restricted assets 248,518 248,518
1,004,978 4 3 ,33 34b
1 93
CITY OF SEWARD
Harbor Enterprise Fund
Combining Schedule of Harbor Capital Projects
Year Ended December 31, 2001
Funding sources:
State grants
Harbor revenue bonds
Harbor funds
Total funding sources
Expenditures:
Salaries and employee benefits
Contracted services
Supplies and materials
Other services and charges
Total expenditures
94
Exhibit
Harbor Harbor
Plaza Repair and
Renovation Renovations Totals
S 1,955 49,839 51,794
3,000,000 3,000,000
368 1,502,635 1,503,003
4,5 4 j5..97
265 882 1,147
824 3,050,906 3,051,730
935 1,054,050 1,054,985
299 446.636 446,935
2,323 4,5_52,474 4,554,7 97
I
w
i
MY OF SEWARD
Seward Marine Industrial Center Entorprioe Fund
Balance Sheet
Deom*w 31, 3001
with Comparative Teals for December 31, 2000
9WO 25141 S?44
Currem assets:
356,556 105,826
Cash and investments
44,32444,324 34002
Accounts receivable
Total current assets
400.8$0 139 82a
Property, plant and equipment in service
Land and land rights 12,044,821 12,044,821
Buildings
271,649 271,649
Improvements other than buildings 25,792,993 25,792,993
Equipment
908,788 904,416
t Docks and floats
13.145.688 13- 14.(:S!
Total property, plant and equipment
52,163,939 52,159,567
Less accumulated depreciation 19,006,863 17,771,24j3
Net property, plant and equipment in service 33,157,076 34,385,324
Construction in progress 3.012113.012
Total Property, Plant and Equipment 33,270,088 34 3485,324
iDeferred charges - unamortized debt issuance costs 14,743 17,012
S 33685,711 34,542,164
Liabilities and Fund Eauity
Liabilities:
Current iiabilities:
107,201 4,075
Accounts payable
Current portion:
152,348 139,995
Bands payable
15,000 70,000
Capital lean obligations
12,217 12,789
Accrued interest
246 1,838
Other accrued liabilities
Deferred revenue
98.216 494
5
Total current liabilities
235'697
Long -term debt, excluding current portion:
Bonds payable
889,380 1,041,728
L= unamortize d deferred amount an refunding 97,810) 1 12,
000
Capital lease obligations 265,000
Total long -term debt 1,056,570 1,268,870
Total liabilities 1,501,798 1,504,567
Fund equity
Contributed capital
49,923,694 44,810,682
Less accumulated amortization
17,367,0 16 253 204
Net contributed capital
32,556,676 33,557,478
Retained earnings deficit - unreserved 372,763 519,881
Total fund equity 32,183,913 33,037,597
Z 33,685,7 34,542,, 164
1 95
CITY OF SEWARD
Seward Marine whistrial cm mw Enterprise Fund
Statement of Rgw omw Expenses
and Changes in Retained Famines (Deficit)
Year Ended December 31, ?,001
with Comparative Amounts for Year Ended December 31, 2000
Operating expenses:
na am
Operating revenues: S 23,825 62,404
Moorage
97 436
54,384
Wharfage
122.820122.820 121,170
Boat lift fees
47,398 133,139
Storage
37,997 63,207
Rentals and leases
13,840 15,225
apowersales
1,540 3,71 S
Miscellaneous
390,323 453,449
opwiting uesTowMy
1,1 13 S
1,335,658)
11113,915
Operating expenses: sa,97s s3,7a3
Employee benefits
13, 7,071
eryPurchasedservices
97 436
67,197
Supplies and maintenance
59,03638,036
189,430
77,202
7SAdministrationandgeneral
358,884 283,133
Total operating expenses
7 69 28D,770 770
Earnings from operations before depreciation 20,534 172,679
Depreciation
1,232, 1,232,863
Loss from operations 1,212,066) 1,060,194)
Non - operating revenues (expenses): 13,480 10,564
Investment inco me
113 416 124,251) Interest expense
Net non - operating revenues (expenses)
97 436 113 690
Loss before operating transfers
1,309,502) 1,173,874)
Operating transfers from other funds
358,884 283,133
Operating trawfen to other funds 16,07 12 366
Net operating transfers
342,805 272,747 ,
Net loss
966,697) 901,127)
Decrease in retained earnings for corrections to contributed capital
and accumulated depreciation
1,1 13 S
1,335,658)
11113,915
Amortization of contributed capital t61
Increase (dcerease) in retained earnings 147,118 1,122,970)
Beginning stained earnings (deficit)
519.88.11 603.089
Ending deficit S 372,763 S 19 88l
PTI
1
r
Exhibit J7!20
CITY OF SEWARD
1 Seward marine Industrial Center Enterprise Fund
Statement of Cash Flows
Year Ended December 31, 2001
with Comparative Amounts for Year Ended December 31, 2000
M 2.M
Cash flows from operating activities:
Loss from operations S 1,212,066) 1,060,184)
Adjustments to reconcile loss from operations to net cash
flows from operating activities:
Depreciation 1,232,620 1,232,863
Increase in assets - receivables 10,322) 1,713)
Increase (decrease) in liabilities:
Accounts payable 103,126 484
I Other accrued liabilities 1,592) 735
Due to other funds 20,688)
Deferred revenue 91.216 17,328)
Net cash flows from operating activities 202,982.
T
134,169
ICash flows from non - capital financing activities:
fuOperatingtransfersfromotherfunds 358,884 2$5,133
Operating transfers to other funds 16,0791 12Z3
Net cash flows from non - capital financing activities 342,805 272,747
Cash flows from capital and related financing activities:
I Principal payments on long -term debt 209,995) 200,878)
ants on long-term debtInterestpaymentsg-
96,670) 108,723)
Acquisition of property, plant, and equipment 117,384) 2,053 )
Contributed capital 113,012
Net cash flows from capital and related financing activities 311 037 311 654
Cash flows from investing activities - investment income received 15,980 10,564
Net increase in cash and investments 250,730 105,826
Beginning cash and investments 105,826
IEnding cash and investments S 356,556 145,826
I
IP,
1 97
Exhibit J -21
CITY OF SEWARD
Seward Marine Industrial Center Enterprise Fund
Schedule of SMIC Capital Projects
Year Ended December 31, 2001
Shipyard
urovement
Funding source - State grant $ 113,012
Expenditures:
99,044
Pass through payments
13,969Otherservicesandcharges
Total expenditures $ 113,012
98
Exhibit J -22
CITY OF SEWARD
Parking Revenue Enterprise Fund
Balance Sheet
December 31, 2001
with Comparative Amounts for December 31, 2000
I
Liabilities and Fund Equity
Current liabilities:
Assets M 2000
Current assets - cash and investments 96,173 65,953
I Property, plant and equipment
132
Land and land improvements 500,041 500,041
Equipment 8.500
433,543
Total property, plant and equipment 508,541 500,041
404,598)
Less accumulated depreciation 415,344 368,435
INet property, plant and equipment 93,197 131,606
158,051 122,698
iTotal
189,370 197,559
Liabilities and Fund Equity
Current liabilities:
Accounts payable 2,360 90
Other accrued liabilities 14 42
Total current liabilities 2,374 132
Fund equity:
Contributed capital 433,543 433,543
Less accumulated amortization 404,598) 358,814
Net contributed capital 28,945 74,729
Retained earnings - unreserved 158,051 122,698
iTotal fund equity 186,996 197,427
I$ 18_ 9,370 197,
Exhibit 3 -23
CITY OF SEWARD
Parking Revenue Enterprix Fund
Statement of Revenues, Expenses,
and Changes in Retained Earnings
Year Ended December 31, 2001
with Comparative Amounts for Year Ended December 31, 2400
2001 2000
operating revenues - parking fees $ 109,603 1212 592
Operating expenses:
Salaries and employee benefits 4$ 813 42,005
Contracted services
5,682 1 z,44a
Supplies and maintenance
4, 15,977
Rents and leases
Administration and general
3,333131
14,12.6_
2,331
1_ 3236
Total operating expenses 76,066 85,989
Earnings from operations before depreciation 33,537 35,603
Depreciation
46, 909 - -34,813
Loss from operations (13,372) (8,210)
Non - operating revenues - investment income 2,941 _4,240
Net loss (10,431) (3,970)
Amortization of contributed capital
45,784 _ 42,589
Increase in retained earnings 35,353 38,619
Beginning retained earnings
122,698 84,079
Ending retained earnings $
15_ 8 122,
100
CITY OF SEWARD
Parking Revenue Enterprise Fund
Statement of Cash Flows
Year Ended December 31, 2001
with Comparative Amounts for Year Ended December 31, 2000
Cash flows from operating activities:
Exhibit
2001 2000
Loss from operations $ (13,372) (8,210)
Adjustments to reconcile loss from operations
to net cash flows from operating activities:
Depreciation
iIncrease (decrease) in liabilities:
Accounts payable
Other accrued liabilities
Net cash flows from operating activities
Cash flows from capital and related financing activities -
acquisition of property, plant and equipment
Cash flows from investing activities - investment income received
Net increase (decrease) in cash and investments
Beginning cash and investments
Ending cash and investments
1
t 101
46,909 43,813
2,270 (3,842)
28 42
35,779 31,803
8,500 61,908
2,941 4,240
30,220 (25,865)
65,953 91,818
96,173 65,9,53
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102
1
INTERNAL SERVICE FUND
The Internal Service Fund is used to account for goods and services
provided on a cost - reimbursement basis, by one City department to other
City departments, and consists of the Motor Pool which accounts for the
acquisition of vehicles and mobile equipment which are then leased to the
various departments of the City.
S
CITY OF SEWARD
Motor fool Internal Service Fund
Balance Sheet
December 31, 2001
with Comparative Amounts for December 31, 2000
Exhibit K-
i Assets 2001 2000
Current assets - cash and investments S 617,834 456,980
Equipment and vehicles 1,760,011 1,277,855
48,646
Less accumulated depreciation 876,24$ 754 086
Total liabilities
Net equipment and vehicles 883,763 523,769
r$ 1,501,597 9 80,74.9
101,824
Liabilities and Fund EauiV
6,809
Liabilities:
75,852
Current liabilities:
1031017
Current portion of capital lease obligations
Accrued interest
544,917
Total current liabilities
48,646
Long -term debt - capital lease obligations, excluding
496,271
current portion
533,867
Total liabilities
1,030,138
Fund equity:
Contributed capital
Less accumulated amortization
Net contributed capital
Retained earnings - unreserved
Total fund equity
1
1 103
101,824 75,852
6,809
108,633 75,852
362,826 1031017
471,459 178,869
544,917 509,918
48,646 38,91
496,271 471,001
533,867 330,879
1,030,138 801,880
1,501,597 980,749
Exhibit K -2
CITY OF SEWARD
Motor Pool Internal Service Fund
Statement of Revenues, Expenses,
and Changes in Retained Earnings
Year Ended December 31, 2001
with Comparative Amounts for Year Ended December 31, 2000
2001 2000
Operating revenues - vehicle rental $ 317,775 213,983
operating expenses - depreciation 122,162 1317739
Earnings from operations 195,613 82,244
Non - operating revenues (expenses):
Investment income 17,090 22,478
Interest expense (19,444) 12,547
Net non - operating revenues (expenses) ( 2, 9,„931
Net earnings 193,259 92,175
Amortization of contributed capital 9,729 9,729
Increase in retained earnings 202,988 101,904
Beginning retained earnings 330,879 228,975
Ending retained earnings S 533,8667, 330,879
104
CITY OF SEWARD
Motor Pool internal Service Fund
Statement of Cash Flows
Year Ended December 31, 2001
with Comparative Amounts for Year Ended December 31, 2000
Cash flows from operating activities:
Earnings from operations
Adjustments to reconcile earnings from operations
to net cash flows from operating activities -
depreciation
Net cash flows from operating activities
Cash flows from capital and related financing activities:
Principal payments on long -term debt
interest payments on long -term debt
Acquisition of equipment and vehicles
Contributed capital
Net cash flows from capital and
related financing activities
Cash flows from investing activities -
investment income received
Net increase in cash and investments
Beginning cash and investments
Ending cash and investments
Noncash capital and related financing activities:
Equipment purchased by capital lease
1
105
E2kbij
2001 2000
195,613 82,244
122,162 131,739
317,775 213,983
87,263) 93,323)
12,635) 13,380)
109,112) 4,810)
34,999 4V810
174,01 1!2§1703
17,090 _ 22,478
160,854 129,758
456,980 327,222
617,8 45 6w
373,044
THIS PAGE LEFT BLANK INTENTIONALLY
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106
1
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I
FIDUCIARY FUND
The City utilizes agency funds, which are a category of Fiduciary Funds. Agency
funds are used to account for assets held by the City in an agent capacity for other
funds, governments, or individuals.
1
Exhibit L -1
CITY OF SEWARD
Agency Funds
Combining Balance Sheet
December 31, 2001
with Comparative Totals for December 31, 2000
AVTEC
Teen Council Contract
Agency Agency Totals
As
Fund Fund 2001 2000
sets
Cash and investments 21,561 1,648 23,209 15,714
iabiliti
Accounts payable 2,891 88 2,979 1,228
Due to others 18,670 1,560 20,230 14,486
21! 11,66448 23 ,209 15!
1
1
107
CITY OF SEWARD
Agency Funds
Combining Statement of Changes in Assets and Liabilities
Year Ended December 31, 2001
Teen Council Agency Fund
A" ssets
Cash and investments
Liabi i ie
Accounts payable
Due to Teen Council
AVTEC Contract Agency Fund
Cash and investments
Liabilities
Accounts payable
Due to AVTEC
Totals - All Agency Funds
Assets
Cash and investments
Liabilities
Accounts payable
Due to others
Exhibit L-2
Balance at Balance at
January 1, December 31,
220 w. Additiou Deletions 2M
15:079 22,106 15,6 21,561
1,012 1,891 12 2,891
14,067 20,227 15,624 18,670
115,00779„ 22,E 1_.5,6 ,.,21,561
23,209,
S 6335 3,458 2,445 1,649
216 88 216 88
419 3,370 2,229 1,560
635 3,458 2,445 1,648
15,714 25,564 18,069 ,,. 23,209
1,228 1,979 228 2,979
14,486 23,597 17,853 20,230
1 5,7 14 25,576 18,0 23,209,
109
GENERAL F=n AssrT ACCOUNT Gltolrn
Account GroupTheGeneralFacedAssetp is established to account for the
City's sizeable investment in fixed assets, which are tangible assets of
significant value, having a useful life of more than one year. No
depreciation is computed on general fixed assets. This accountgroup also
enables the City to maintain custodial responsibility for the assets.
The investment by Enterprise Funds and the Internal Service Fund in
fixed assets is accounted for in the Proprietary Fund Type.
n
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1
1
1
1
1
1
1
1
1
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1
1
1
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1
CITY OF SEWARD
General Fixed Assets Account Group
Schedule of General Fixed Assets by Sources
December 31, 2001
with Comparative Amounts for December 31, 2000
General fixed assets:
Land and land improvements
Buildings
Improvements other than buildings
Equipment
Construction in progress
Investment in general fixed assets:
Capital Project Funds
General Fund
109
Exhibit M -1
2001 2000
4,233,205 4,053,605
51,391,552 51,318,129
11,057,047 10,883,191
3,541,556 3,151,491
5.110.314 1,332,178
75,333,674 70,738,594
66,499,754 65,059,438
8,833,920 5,679,156
75,333,674 70,738,594
Exhibit M -2
CTTY OF SEWARD
General Fixed Assets Account Group
Schedule of Changes in General Fixed Assets
Year Ended December 31, 2001
70,738,594 4,996,729 401,649 75,333,674
110
Balance at Balance at
January 1, December 31,
2001 Additio ns Deletions 2001
Land and land improvements 4,053,605 179,600 4,233,205
Buildings 51,318,129 73,423 51,391,552
Improvements other than buildings 10,883,191 173,856 11,057,047
Equipment 3,151,491 495,083 105,018 3,541,556
Construction in progress 1,3321178 4,074,767 2%,631 , 5,110.314
70,738,594 4,996,729 401,649 75,333,674
110
CITY OF SEWARD
General Fixed Assets Account Group
Schedule of General Fixed Assets by Function and Activity
December 31, 2001
Function_and 60N-itY
General government:
City Council/Mayor
City manager
City clerk
Finance
Community development
Municipal building
Alaska SeaLife Center
General services
Community and Senior Center
Non-departmental
Total general government
Public safety:
Police
Jail
Animal control
Fire
Seward Volunteer Ambulance Corp
Total public safety
Public works:
iStreets
Building inspector
City shop
Total public works
Hospital
Parks and recreation
Library
Total general fixed assets allocated
to functions
1 Construction in progress
1
Total general fixed assets
Land and
Land
ImRrovements BuildiM
Improve-
ments
Other than
Building; ui me
Exhibit M -3
Total
54,323 54,323
11,793 11,793
7,394 7,394
190,440 190,440
5,860 5,860
2,200,080 - 60,852 2,260,932
37,599,774 1,976,439 1,487,845 41,064,058
8,005,938 35,169 8,041,107
920, - - 709 920,709
88,768
4,233,205
4.233,205 40,720,563 ,992_.37_7 1,853.676 56,789,821
212,825 212,825
12,562 12,562
156,720 - - 156,720
947,137 - 493,756 1,440,893
6100 6.300
1.103,857 7_ 25,44_3 L&22.2-00
116,945 129,804 619,508 866,257
2,600 2,600
771,823 31,030 802,853
88,768 129,804 653,138 1,671.710
7,745,896 116,012 7,861,908
284,909 932,066 120,425 1,337,400
647,559 12.800 72.,,862 733,221
4,233,205 51,391,552 11,0, 57 =047 3,5 41,556 70,223,360
111
5,110,314
S 75,333,674
Exhibit M-4
CITY OF SEWARD '
General Fixed Assets Account Group
Schedule of Changes in General Fixed Assets by Function and Activity
Year Ended December 31, 2001 i
General Fixed General Fixed '
Assets at Assets at
January 1, December 31,
Function and Activill 2001 Additions Delefignps 2001 ,
General government:
City Council/Mayor 54,323 54,323
City manager 9,140 2,653 11,793
City cleric 10,613 3,219 7,394
Finance 187,516 2,924 190,440
Community development 5,860 5,860
Municipal building 2,233,949 26,983 2,260,932
Alaska Sealife Center 40,698,078 365,981 41,064,059
General services 8,037,651 3,455 8,041,106
Community and Senior Center 920,709 920,709
Non - departmental 4,053,605 179,600 4,233,2 OS
Total general government 56_ ,211,444 581,596 3,219 56,789,828
1
Public safety:
Police 177,219 35,606 212,825
Jail 12,562 12,562
Animal control 156,720 156,720
Fin 1,303,168 137,725 1,440,893
Seward Volunteer Ambulance Corp 61,614 55,384 6,300
Total public safety 1,711,283_ 173,331 55,314 1 8300
Public works:
Streets 866,257 866,257
Building inspector 2,600 2,600
City shop 796,823 6,030 802,853
Total public works 1,665,680
T
6,030 1,671,710
Hospital 7,861,908 7,861,908
Parks and recreation 1,206,865 153,688 23,153 1,337,400
Library 749,236 7,317 23,332 733,221
Construction in progress 1,332,178 4,074,767 296,631 5,110,314
70,738,594 4,996,729 401,649 75,333,674
112 1
GENERAL LONGTERM DEBT ACCOUNT GROUP
The General Long-Term Debt Account Group records the unmatured
principal of long-term general obligation bonds and the long -term portion
of the accrued annual leave and accrued retirement payable from general
revenues and backed by the full faith and credit of the City.
n
CITY OF SEWARD
General Long -Term Debt Account Group
Schedule of General Long -Term Debt
December 31, 2001
with Comparative Amounts for December 31, 2000
Amount Available and to be Provider, for the
Payment of General Long -Term De
Amount available in Debt Service Fund
Amount to be provided:
Accrued annual leave
Bonds payable
Retirement incentive program payable
Seward General Hospital PERS liability
Total amount to be provided
General lone -Term Debt Payable
Accrued annual leave
1993 refunding bonds payable for the 1987 Series A
1993 refunding bonds payable for the 1990 Series A
1996 Hospital bonds
Retirement incentive program payable
Seward General Hospital PERS liability
113
2001
Exhibit N-
685,422 564,909
229,151 190,016
7,560,134 8,070,652
24,526 49,053
960,286 9286
8,774,097 9,2 70,007
S 9,459,5^ 9,8916
229,151 190,016
223,272 253,277
1,280,000 1,375,000
6,620,000 6,885,000
24,526 49,053
1,082,570 1,082,570
9,459,511,9 9,8_34,
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114 1
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FEDERAL AND STATE
FINANCIAL ASSISTANCE SCHEDULES
0
The Schedules of Expenditures of Federal Awards and State Financial Assistance
itemize the sources of grant funds received by the City during the year, as required by
the Gowrnment Audi ft Standards and State of Alaska Audit Guide and Conyanae
Sgpplu wnt for Single Audit.
1
CITY OF SEWARD
Sole of Bxpedluaea of Fed" Awards
Yew Faded Decomber 31. 2001
paMartawe of Alrirrkara
NRCS Flood M 6pUmfEaii -u*
NRCS Flood MuiptionV—MUW-
H* Seh001 Grawhooae
ToW D"rmtent of A1r—h rs
Daprlwaat of lowder Yard Ibroalli State of Ahuka
Drprmant of Nuaral itwumm
Hitmr" Prerrvatiw
10.904 6"1504424 500,000 227.030 57,667 49,737 119,102} 15,1311
C"" of
119.112 l01
10.670 01 DGI 1 100000232 1000 _ 2424 4.000 1,574
238s4i _ 427,696 619,579 43,665
Federald
Fe iopd
Grant
Jac. 1, 2001
Receivable
Federal
Share of Federal
Dec. 31, 2001
Receiv"
AssiManoe Grant
Number Number Award ditum R ' aa0meep
Vairal Lmerpsq' Maaoparat Ara4 Fred tLr00 30M of Alaaha
Do" rtaetat of MI"" a" VeMrau AHa1n
326,151 221,925 205,191 16,417
e JipaaeKCreeklavy 13.519 -
13.544 YFIwIA•AX- DR•1316 372,129 11,11117 141.375 617 149
Avalanche "Ptioo
i11 3?? 206.515 165,667
Total Federal Ermetleac7 Maarbemwt Aswcy
Daprtnwt of Traaeprtatim Maned
throaiM State of AIuYa Dpnrtmwt of f b k SOW
BicycloTedomMiaa Safes ONO 20.600 1.500 1,500 I'M
paMartawe of Alrirrkara
NRCS Flood M 6pUmfEaii -u*
NRCS Flood MuiptionV—MUW-
H* Seh001 Grawhooae
ToW D"rmtent of A1r—h rs
Daprlwaat of lowder Yard Ibroalli State of Ahuka
Drprmant of Nuaral itwumm
Hitmr" Prerrvatiw
10.904 6"1504424 500,000 227.030 57,667 49,737 119,102} 15,1311
10,904 68-0150-0423 1.000,000 1,511 367,603 565,122 119.112 l01
10.670 01 DGI 1 100000232 1000 _ 2424 4.000 1,574
238s4i _ 427,696 619,579 43,665
13 mm
Daprt,aat of H"M ant Haman Services paaad th"00 State
of Alaalu Depot I of Hoahf aa6 Social Service"
Health Servieas Fio&wW Analysis 93.xxx
Olin of lAhrary liervbr pied thrwO State of Alm"
Depremwl of Edaeatlaa nerd Early D-An mmat
ftblic Access Camyuw m 45.310
Total Federal Finamciml Arasranc e
013351
061122
a"1- 770.129
1 115
1,540 1,196 1.196
14,000 12_044 !2000
201 2-641 Lot
S 244,435 101335 131,431 i 221,332
116 1
Exhibit P -1
CITY OF SEWARD
Schedule of State Financial Assbw=
Year Eaded December 31, 2001
Total Jan. 1, 2001 State Dec. 31, 2001
cram Grant PW*ivable Shan of State Receivable
State Grant Title Number Award farad Ex 'tares Receipts Deferred
Department of Community sad Eeoaomlc Developmest
02-DC -039 x 1,000,000 113,012 200,000 86,998)
Shipyard Portable Worl Wstion
941668 -9.003 50,700 111 11 !
Hillh School B&e Path Extension
Historic Records Preservation, Phase 11 97!666 -9-007 28,662 326) 2,468 1,942
Harbor Plaza Renovation 98/668 -9-001 50,000 4,484 1,955
15
6,439
14,000 14,000)
ADA Bus Stop 02- RR-003
99/666-5-003
70,000
29,980 1S
911 Equiprent Replaoammt
City Hall Facilities and Equipment 01- MG-141 75,532 5,510 5,510
2,317
Fire Hydrant Upgrade 02- MG-128 73,546
69,197
2,422
89,187
103
S9,197
Revenue Shaft 79,647 79,647 79,647
Safe Communities
Shavd Fisheries Business Tm 5,7% 5,7% 5,7%
Fisheries Resource Landing Tax 18,096 18,096 180%
420.848 19$.6711
Total Departawnt of Community and Economic Developno nt 9,754 312A23
Department of Envimm"W Coaaervatiea
76909 24,800 1,240 X240
Water Distribution System Analysis
Department of Reverse
9351,
19
351,549 331,549
Fish Business Tax
Electric and Telephone Cooperative Tax 189 189 l89
19,500 19.300
Liquor Tax
371,239 371,238
Total Deportment of Revenue
Department of Tramportadoe sod Pablic Facilities
Seward Haber, Transfer 3.134,200 49,93 49,939
Department of Education and Early Development
50,800 19,473 19,473
AVTEC Student Service Center Grant 50,800 39,563 17.119 22,445
AVTEC Student Service Center Grrrtt
Gmt PLA -02- 770-70 6,400 14 6.400 6,386)
Library Public Assistance
Library Public Assistance Grant PLA -01- 770.68 6,300 b 300 6,300
Total 13ep+stmert of Education and Early Development 13 173 45,877 42. 991 05916-
Department of Fish and Game
VOS Alasim SeaLite :nter Y41y 26,092,445 43,345
Deportment of Military and Veterans Again
Avalanche Mitigation FEMA -AK -DR -1316 101,112 2, %2 47,123 206 49,879
Japanese Creek Levy
105,571 7975 68,632 5,343
Total Department of Military and Veterans Affairs
29662 121,098 69,838 5S,222
Department of Nswral Resoarces
Fine Equipment 39672 2,500 2,300 2,500
Department of Public Safety
Equipment
4,000 4'000 4,000
Total State Financial Assistance S 955 906,975 9531 980 6,! 50)
Mmia p op- t
116 1
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1
PART III
I STATISTICAL SECTION
1 Table 1: Greueral Fund Revenue by Source
C
Table IA: General Government Tax Revenues by Source
Table 2: General Fund EMmiditures by Function
Table 3:
Table 4:
Property Tax Levies and Collection
Assessed Estimated Actualand Value of Taxable Property
Table 5: Property Tax dates — Direct and Overlapping Debt
Table b: Special Property Assessment Collections
Table 7: Ratio of Net General Obligation Bonded Debt to Assessed Value
Net General Obligation BondedAnd Debt Per Capita
Table 8: Legal Debt Margin
Table 8A: Computation of Direct and Overlapping Bonded Debt
Table 9: Ratio of Annual Debt Service Expenditures for General Obligation
Debt to Total General Fund Expenditures
Table 10: Revenue Bond Coverage
Table 11: Property Value, Construction and Bank Deposits
Table 12: Principal Taxpayers
Table 13: Miscellaneous Statistics
C
1
CITY OF SEWARD
General Fund Revenues By Source
Last Ten Fiscal Periods's
i
Property LS=M 1st CMMM raw
Fa, As and for and
1992 2,627,050 6,506 74.005 913,137 1,879,663 18,158 245,872 124,466 5,888.856
1993 2„509.708 32473 23,736 983,759 2,425.012 41,892 236.986 47,862 6,301,528
1994 202,005 19,795 33.132 903,835 2,104,588 35,230 102,824 36,807 6,118216
1995 3,081,177 2,241 61,073 789,157 1,760.860 49.289 221,832 39,340 6,044,969
1996 2,923,340 524 119,982 909,521 1,595,223 26,945 219,514 106.126 5,901.175
1997 3,072,913 1,871 240.964 1,099,869 1,662.854 12,383 280.363 50,079 6,381.294
1998 3,293,763 0 115.106 1,105.212 1,50,141 14.495 261,974 147,861 6,478,552
1999 3,584,389 0 144,003 1.021,204 1,475.581 17,347 214,140 218,597 6,675.266
i"1999 2,255,326 0 73,715 438,185 925,721 10.748 104,719 41.956 3,850.370
2000 3,953,139 0 139,871 984,231 2.179,832 14.786 438,005 247,461 7.957.313
2001 3,913.556 0 134,396 1,120,299 2.161,177 16,378 447.888 290.694 8484.388
I
Effective July 1, 1999, the City of Seward changed fi nm a fiscal year ending June 30, to a calendar year ending Decaaber 31.
This schedule includes ten full fiscal years plus the six -month transition period.
Reprcsents the six-month period from July 1. 1999 Wrough December 31. 1999.
117
i
Table IA I
CM OF SEWARD '
General Government Tax Revenues By Source
Last Tea Focal Periods'
F W Property Sala LUm Hotd/mem
JLUL TM- S#L iTll B Tazfll SSW_
1992 619366 1,268.572 694653 46.259 2•627•S
1993 5515,286 1, 286,358 681,613 26,449 2,309,708
1994 466.880 1,484355 864,922 6,295 57.553 2,882,005
1995 498,016 1.587.199 904,889 7.350 83,723 3,081,177
1996 514.588 1, 619, 606 693,626 53,461 42,059 2.923.340
1997 479,062 1,734.019 729.498 128,188 2,146 3,07x,913
1998 S518,788 1,820,230 799,978 148,211 6.536 530293.763
1999 523,993 2.029.483 864,106 163.330 3,475 3.584.389
1999 515344 1,197.288 419,108 122.248 1,138 2255.326
2000 694,332 52,197,561 844383 212.619 4.044 3,953,139
2001 663,747 2, 165, 586 872,749 209.458 SZO16 3,913,5%
m a calendar December 31. l;ffectiv e July 1. 1999. the City of Seward dhat gpd from a fugal year erdtng June 3Q year endn
This scbedule includes tea fall focal years plus the six -month traga um period.
RqNmenu the six - montb period ftm July 1, 1999 through December 31. 1999.
1) In Fiscal Year 1954 and 1995, lodging assessment fee was based on $30 per room. per year.
Beginning Fiscal Year 1996, lodging assessment foe was replaced by 4% howl/motel roan tax.
2) Represents tax - related penalties and interest, and harbor paridng assessu mt fee (discontinued after FY96).
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I
CITY OF SEWARD
General Governmental Expenditt m By Function (1)
Last Ten Fiscal Periods *
Kcal General Publk Public Park* sad DM
1992 $1,851,718 $1,64001 $692,653 $493,106 $193,510 $345,265 $5,216.333
1993 $1,779.085 $1,682,176 $689" $471,045 $184,274 5367509 $5,173.298
1994 $1,542,179 $1.782,396 $722,202 $443,661 $200,553 $343,702 $5,034,693
1995 $1.567387 $1.835,194 $801,753 $430,112 $190,517 $282,748 $5,107.611
1996 $1,485.9W $1.860.349 $791, 868 5508.467 $218,175 $270.201 $5.134,963
1997 1972,584 1.919.233 790.386 632,389 228.894 220,816 5,764,302
1998 1.960,687 1, 876, 870 931. 248 609,001 234,033 278.506 5.790,345
1999 1,542,370 1,914,943 863.536 597 ,516 227,882 792,267 5.938.514
1999 864,468 1,029.356 490,459 386.599 117.411 570.058 3.458.351
2000 1,592,475 1,970,643 981.027 711,721 245,710 840.997 6.342,573
2001 1,735.231 1,984.845 1,152,948 789,615 238,832 957,979 6,779,450
Ef1'octive July 1. 1999, the City of Seward changed from a fiscal year ending June 30. to a calendar year ending December
31. This schedule includes ten full fiscal years plus the six -month transition period.
Represents the six -month period from July 1, 1999 through December 31, 1999.
1) Includes General Fund and Debt Service Fund
I
119
Table 3
CITY OF SEWARD
Property Tax Levies And Collections '
Lubt Ten Fiw4l Periods *
120
TOW Ta:
Web of
DdWqomt
TOW great Percent Ddingowt TOW Callecam Ontstendioi Taw As A
FWW Tams Tax of Leery Tax Tax As A % Ddiaguent S Of
TOW Le"
xlK JAM valkawn QdIMUL Qdkd= COUNAM -QLUM lug-
1992 489.225 447,123 91.4% 22,471 S4fi9.594 96.0% 76.962 15.7%
1993 498,366 470,322 94.4% 31,983 502.305 100.9% 67,164 13.5%
1994 496.933 434,736 87.5% 29,171 463,907 93.4% 98,709 19.9%
1995 546115 46+9,274 85.9% 99,191 568,465 104.1% 76.237 14.0%
1996 505.034 447,110 88.5% 66.044 513,153 101.6% 68,253 133%
1997 489.187 438312 89.6% 2,294 440.807 90.1% 83,3x9 17.1%
1998 495;052 466328 94.2% 13,791 480.319 97.0% 60,601 12.2%
1999 505,323 488.883 96.7% 32,515 521.398 103.2% 40,930 8.1%
1999 523.453 484.306 925% 4.627 488.931 93.4% 70,490 13.5%
2000 606781 571.261 94.2% 41,770 613,031 101.0% 64,241 10.6%
2001 625, 110 592. 042 94.7% 32,951 624.993 99.9% 564,358 103%
EffoWvc iuly 1, 1999. the City of Sewud changed from a fmscal year ending June 30, to a calendar yew ending December 31.
Timis schedule includes ten full fiscal years plus the six -month OwNIti00 paiad.
Rapresamts the six -month period finch July 1, 1999 through Decembcr 31, 1999.
Source: Kenai Peamsula Borough
120
MY OF SEWARD
Assessed And Estimated Actual Value of Taxable Property
Last Ten Fiscal Pwiods
Effective July 1. 1999, the City of Seward changed from a fiscal yew andiog June 30, to a calendar year ending December 31. This
schedule includes ten fitll fiscal years plus the six -month transition period.
A Represents the six -month period from July 1. 1999 through December 31. 1999.
I Source: "Alaska Taxable ", State of Alaska
Kenai peninsula Borough Certified Assessment Roll
1
121
Real Property Pew Property Total Properly
Ratio d Tatal
Estimated Estimated Estimated Assessed Value
Flacal Assessed Actual Assessed Actual Assessed Actual To Total Est.
YAL YAW Vdtte Value _ vtllo_ Value slValue-
1992 288,464,566 100,667,900 52,574,761 68.929,200 141.039.327 169 ,597,100 3.16%
1993 292,122.160 98,261,300 50,038,979 266,112.200 142.161,159 164.383,500 86.48'4+
1994 102,022.980 111 .378,100 53,373,128 269.439,400 155.396,108 180.817.500 85.9496
1993 103,330.330 2111,294,400 73.604,139 94,472,100 2178,934,469 203.766,500 80696
1 1996 105,272,150 2113.833.300 38,875,732 77.447,000 2164.147,882 191,300,300 85.8196
1997 108.318,979 117,443.100 50.476.044 70,537,400 158,793,023 187,980,300 84.47%
1998 106,196.750 117.506,400 49,233,008 267.733,600 153,449,758 185262,000 83.91%
1999 2106.918,000 114,049.300 52.852.139 70.534,400 139.770,139 184,583.700 86.5696
A 1999 113,464,200 124,730,000 38,163,405 72.987,600 171.627,605 2197,717,600 86.80%
2000 134,991.200 167.589,200 33,354,065 271,932.600 210.343.265 239,541,800 97.91%
2001 2152.839,700 2172,127,800 257.901,379 77,274, 400 2210.741.079 2249.402,200 84.5096
Effective July 1. 1999, the City of Seward changed from a fiscal yew andiog June 30, to a calendar year ending December 31. This
schedule includes ten fitll fiscal years plus the six -month transition period.
A Represents the six -month period from July 1. 1999 through December 31. 1999.
I Source: "Alaska Taxable ", State of Alaska
Kenai peninsula Borough Certified Assessment Roll
1
121
CITY OF SEWARD
property Tax Rates
Direct and Overlapping G veanments
Last Ten Fiscal Yews
per $1.000 of Assessed Value)
i
FlKal
CIU lemma (1)
1992 3.00 7.55 10.55
1993 3.00 8.55 11.55
1994 3.00 8.55 11.55
1995 3.00 8.62 11.62
1996 3.00 8.62 11.62
1997 3.00 8.30 11.30
1998 3.12 8.38 11.50
1999 3.12 8.10 11.22
2000 3.12 7.60 10.72
2001 3.12 7.10 10.22
t) Includes Kenai F'enimwla BarouO and K=w Pg@bmk CON ty Cdkie.
Source: City of Sewaed
Kenai Peninsula Borough
i
122
Table 6
MY OF SEWARD
Special Assessment Billings and Collections
Last Ten Fiscal Periods *
2001 $24,372 $49,652 $260,530
1
Effective July 1. 1999, the City of Seward changed 6om a fiscal yea ending June 30, to a calendar year ending December 31.
This schedule includes ten full fiscal years plus the six -month transition period.
Represents the six -month period from July 1. 1999 through December 31. 1999.
1 ( 1) Includes pre-payments, current payments. and past due payments.
123
Special Special Total
Fiscal Assessment Assessment Outstanding
year-
1992
Billines
26,190
Collccdow M
6,505
Assessmeptl
263,978
1993 27,618 32,573 249,385
1994 27,618 19,795 265,103
1995 21,759 2,241 285,889
1996 18,368 524 272,190
1997 1,111 2,175 94,395
1998 1,273 3,182 91,127
1999 1,106 3,138 87,989
1999 0 0 85,357
2000 32,102 47,246 395,539
2001 $24,372 $49,652 $260,530
1
Effective July 1. 1999, the City of Seward changed 6om a fiscal yea ending June 30, to a calendar year ending December 31.
This schedule includes ten full fiscal years plus the six -month transition period.
Represents the six -month period from July 1. 1999 through December 31. 1999.
1 ( 1) Includes pre-payments, current payments. and past due payments.
123
crrY OF SEWARD
Ratio of Net Genend Obligation Bonded Debt ,
To Assessed Value And Net General Obligation Bonded Debt Per Capita
Last Ten Fiscal Periods *
Fbod
YML
1992 2.878 141,039
1993 2.886 142,161
1994 2.965 155.396
1995 2,917 178934
1996 2,891 164,148
1997 2,9% 158.795
1998 3.028 155,450
1999 3,010 159,770
1999 3.010 171,627
2000 2,830 210.345
2001 3,040 210,741
Gnm Debt Rath at Nd Net
Ballad Payable grout Net Banded Debt Bonded
Debt
3)#
Enu rpuime Bonded
Deb
to Asaeraad Debt Per
CMIIa-
10563 8,351 2,212
yabw-_
1.57% 769
10,039 7.886 2,153 1 .51% 746
10.249 7930 2.319 1.49% 782
59549 7.310 2,239 125% 768
8.788 6,636 2,152 131% 744
15,600 6.037 9,563 6.02% 3,192
14.Sb5 5.398 9.467 6.09% 3.126
13910 4.724 9,186 5.75% 3,052
13025 4,157 8,867 5.17% 2946
11.935 3.421 8,513 4.05% 3,008
10.775 2.651 8,123 3.95% 2,672
I
Effective July 1. 1999. the City of Seward changed from a fiscal year ending June 30, to a calendar year ending Dooember 31. '
This schodulc includes ten full fiscal years plus the six -month transition Period.
Represents the six -math period from July 1. 1999 through Dweanber 31. 1999.
4 Amounts expressed in thousands.
1) Alaska Department of Labor and Workforce Development
2) From table 4
3) Amount does not include revenue bonds
Source: State of Alaska
Kenai Peninsula Borough
WZ-1
Table 8
CITY OF SEWARD
Lagal Debt Margm
De=ber 31, 2001
t
INo debt limit mandated by law.
Ll
U
11
125
JA&0
CITY OF SEWARD
Computation of rh oct And Overlapping Bonded Debt
Gencrai Obligation Bonds
December 3i 2001
Net Genoa!
Oblip 6m p tap Amount
Bonded Debt Applicable To Applicable To
iudwidiu Our_ City oi - CUT Of
Diract:
City of Seward $8,123.273 (1) 100.00% $8,123,273
Overlapping:
Kenai Peninsula Borough 14-329M (3) 6.84% (2) 980,104
Total WAVOM
1
1) Excluding genaai obligation bonds mp xW in die EntaVise Funds.
QfPrnC
nsu4
2) Based
of the Kenai Borough ($3AV,335.94 Source: `M Alaska T xaW. Stme of Ala" p-40
and Kenai Peninsula Banugh certified maim and supplemental tan inks.
3) Source: Kenai Peninsula BovouO finance depstn=L
1
1
126
CITY OF SEWARD
Ratio of Annual Debt SeMce Expenditures
For General Obligation Debt (1)
to Total General Fund Expenditures
Last Ten Fiscal Periods *
FIKal
ISAL
1992
1993
1994
1995
1996
1997
1998
1999
1999
2000
2001
Mac"
143,563
180,448
199,898
143,511
139,216
99.187
115,275
281,475
318,240
507,340
390.005
nom
201,701
187,061
143,804
139,237
130,985
121,629
163,231
510,792
251,818
333,657
467,974
Total
Debt
Service (1)
345,265
367,509
343,702
282,748
270,201
220,816
278,506
792,267
570,058
840,997
857,979
Total
General
5,216,333
5,173,298
5,034,693
5,107,611
5,134,963
5,764,302
5,790,345
5,938,514
3,458,351
6,342,573
6,779,450
Ratio of
Debt Serrke to
General
6.62%
7.10%
6.83%
5.54%
5.26%
3.83%
4.81%
13.34%
16.48%
13.26%
12.66%
Effective July 1. 1999, the City of Seward changed from a fiscal year ending June 30, to a calendar year ending December 31. This
schedule includes ten full final years plus the six -month transition period.
Represents the six -month period hum July 1. 1999 through December 31, 1999.
1) GeneW obligation debt reported in the Enterprise Funds, with government commitlmentt, have been excluded.
2) Total General Expenditures includes General Fund and Debt Service Fund.
1
127
1
CITY OF SEWARD
Revenue Bond Cowerp
Electric Enterprise Fund
Last Ten Fiscal Periods (5) '
1) Total mvmim including interest
in lips of , 2) Total operating a wfial exclusive o[ depro¢b on payment
3) twludes principal and Mtermt of revam bonds only. Excludes geraal obligation bond` repm"d in due Electric
Enterprise Fund.
4) Revenue bond Wmaent requires Net Revenue Available for Debt Service be at last 1.30 times the amount '
of the total annual debt savica reguinaneat.
5) No Electric Enterprise Fund revenue bonds prior to 1995.
128
Net Revenge Debt
pucal Gros Operating AvaU" for
xw- ROMHAta KUUMM DeM SWAN him" Imam
1995 5.92715 3.538.065 2,389,880
1996 5.830.903 3.624,001 2"6.902 184.435 184,435 11.97
1997 5,955,699 3,604,036 2.351.663 5184,435 184„435 12.75
1998 6, 428,124 4,064.418 2.363.706 50,000 184A35 234.435 10.08
1999 6,720,313 3.644.529 3,075.784 75,000 180,760 255,760 12.03
2000 6 ,704,860 4,171.110 2.533.750 100.000 171,573 271.573 9.33
2001 6,937.500 4.479.710 2,457.730 130,000 163,120 293.120 38
1) Total mvmim including interest
in lips of , 2) Total operating a wfial exclusive o[ depro¢b on payment
3) twludes principal and Mtermt of revam bonds only. Excludes geraal obligation bond` repm"d in due Electric
Enterprise Fund.
4) Revenue bond Wmaent requires Net Revenue Available for Debt Service be at last 1.30 times the amount '
of the total annual debt savica reguinaneat.
5) No Electric Enterprise Fund revenue bonds prior to 1995.
128
ITable ll
CITY OF SEWARD
Property Value, Construction and Bank Deposits
Last Ten Fiscal Periods
Effective July 1, 1999, the City of Seward changed from a fiscal year ending June 30, to a calendar year ending December 31.
This schedule includes tea full fiscal years plus the six -monde transition period.
Represents the six -month period from July 1. 1999 through December 31, 1999.
I (
1) Estimated actual value from Table 4
Source: Kenai Peninsula Borough - Quarterly Report of Economic Indicators for December 31, 2001
1.oe:al Banks - First National Bank of AnchofW and Wells Fargo
129
i
Commercial Residential
Construction Construction
Total Real Number Number
Fiscal Property' of of Bank
jLUr VaIlle ML perdu Value 1'gn Denoaia_
1992 100,667,900 21 842,685 20 620,425 32,518,000
1993 98,261,300 16 328,462 34 1,504,173 27,808,000
1994 111,378,100 20 3,120 ,673 24 384,400 28,409,000
1995 111,294 400 27 31,539,700 28 746,600 35,186,501
1996 113,853,300 16 8,076,000 31 1,093,800 36,572,000
1997 117,443,100 29 7,770,836 41 1,513,902 38,598,136
1998 117,506,400 24 2,095,035 34 1,493,675 43,350.000
1999 114,049,300 22 5,937,950 25 1,271,900 47,116,749
A1999 124,730,000 24 1,407,699 12 719,300 42,661,000
2000 167,589,200 23 1,982,065 36 1,469,000 45,217,355
2001 172,127,800 27 1,922,767 21 794,214 46,527,000
Effective July 1, 1999, the City of Seward changed from a fiscal year ending June 30, to a calendar year ending December 31.
This schedule includes tea full fiscal years plus the six -monde transition period.
Represents the six -month period from July 1. 1999 through December 31, 1999.
I (
1) Estimated actual value from Table 4
Source: Kenai Peninsula Borough - Quarterly Report of Economic Indicators for December 31, 2001
1.oe:al Banks - First National Bank of AnchofW and Wells Fargo
129
i
1} Includes real and personal property based na 2001 tax rolls. Source: Kenai Peninsula Borough - Assessing Departcnt ,
2) ToW assessed valuation (real and personal property) is $210, 741,079. Scwree: Kenai Peninwla Baa+uu h.
130
jAle 12
CITY OF SEWARD
Principal Taxpayers
December 31, 2001
Percent or
FY01 Total
Assessed Assessed
T YnaIeer - Valuation[l) YWHAWRO
CIRI Alaska Tourism Co. Tourism 10,994,941 5.2%
Izirer Enterprises -
Steve, Carol, James. Winifred Leirer Real Estate/Leasing 8,183.200 3.9%
Icicle Seafoods Seafood Processing 8,028,0% 3.8%
Seward Terminal, Inc. Coal Export 7,327,721 3.5%
Shoreside Petroleum, Inc. -
Kurt and Diana Lindsey Petroleum Products 4,244,304 2.0%
Tel Alaska Communications 3,797,961 1.8%
Hotel Edgewater Hotei/Gift Shop 3,211,800 1.5%
Afogiiak Logging -Albert Schafer Construction/ Logging 3,155,085 1.5%
Breeze Inn Motel - Juris N indenberg Motel / Restaurant 2,880,500 1.4%
New Seward HotOUNew Seward Saloon
2,617,089 1.2%
Brad Snowden and Virginia Bradley Hotel/Saloon
1} Includes real and personal property based na 2001 tax rolls. Source: Kenai Peninsula Borough - Assessing Departcnt ,
2) ToW assessed valuation (real and personal property) is $210, 741,079. Scwree: Kenai Peninwla Baa+uu h.
130
City of Seward facilities and services:
TI&Ie 13
CITY OF SEWARD
43.64
233
MIS US STATISTICS
58
December 31 2041
Date of incorporation
June 1,1912
Home Rule
Class
Form of Government
I
28,740
Number of employees
63
Non - Exempt
15
Exempt
22
Area, Square Miles 2,860
Population
1,931
Qualified Voters
419
City of Seward facilities and services:
Miles of streets
43.64
233
Number of street lights
58
Building Permits Issued
Recreation and Culture:
17
Number of Parks & Playgrounds
Number of Libraries
I
28,740NumberofVolumes
Fire Protection 2
Number of Stations
2NumberofPaidFirefightersandOfficen
Number of Volunteers
30
216
Number of Calls Answered
419
Fire Rating (ISO)
Police Protection I
Number of Stations
9
Number of Officers
Number of law violations:
483
Physical arrrsts
1.186
Traffic violations
146
Parking violations
Sewerage System: 2
Number of treatment plants
856
Number of service connections
870.000Dailyaveragetreatmentingallons1Maximumdailycapacityoftreatmentplantingallons
11=
1000
Water System: 876
Number of service connections
Number of fire hydrants
185
1,300,000
Daily average consumption in gallons
Maximum daily capacity of plant in gallons
Electric Distribution System:
5,500,000
2,458
Number of service connections
55
Miles of distribution lines
131
MY OF SEWARD
MISCELLANEOUS STAMMCS
December 31 2001
Miles of transmission lines
Number of sub - stations
Total number of kilowatt sakes
Harbor and Port Operations:
Registered vessels
Number on waiting list for boat slips
Number of boat lifts
General cargo to mnage
Fish product tonnage
Petroleum (gallons)
Facilities and services not included in the reporting entity:
Education
Elementary School
Number of Students Enrolled
Number of Teachers
Jr/Sr High School
Number of Students Enrolled
Number of Teachers
Alaska Vocational Technical Center
Number of Students Served Annually
Number of Teachers
Hospital
Providence Seward Medical Center.
Number of patient beds (4 Primary care; 2 swing beds)
Number of empioyees:
Non - Exempt
Exempt
42
3
54,940,719
4,000
327
613
1,831
13,502
2,610,537
386
16
410
29
1,721
31
r.
50
1
1
11
132
1
PART IV
SINGLE AUDIT SECTION
The Single Audit Section of the CAFR provides the results of the auditor's report on compliance
and on internal control over financial reporting, for the major state and federal giant prngmm& This
section includes any applicable schedules of findings and questioned vows, schedules of prior audit
findings, and corrective action plans.
L
MIKUNDA, COTTRELL & CO.
A Professional Corporation
CERTIFIED PUBLIC ACCOUNTANTS a CONSULTANTS
3601 "C" Street, Suite 600 • Anchorage, Alaska 99503
907) 278 -8878, Fax (907) 278 -5779
www.incc- cpa.corn
Independent Auditor's Report on Compliance any on internal Control Over i:irlancial Renar k_g 4n.
Audit of Financial Stn is Performed in nt Aucking
Honorable Mayor and City Council
City of Seward, Alaska
We have audited the general purpose financial statements of City of Seward as of and for the year ended
December 31, 2001, and have issued our report thereon dated March 27, 2002. We conducted our audit in
accordance with auditing standards generally accepted in the United States of America and the standards
applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller
General of the United States.
Co n Fance
As part of obtaining reasonable assurance about whether City of Seward's financial statements are free of
material rnisstatermt, we performed tests of its compliance with certain provisions of laws, rephoons,
contracts and grants, noncompliance with which could have a direct and material effect on the detenninatiorl
of financial statement amounts. However, providing an opinion on compliance with those provisions was not
an objective of our audit and, accordingly, we do not express such an opinion. The results of our tests
disclosed no instances of noncompliance that arc required to be reported under Government Auditing
Standards.
Internal Control Over Financial Reporting
in planning and performing our audit, we considered City of Seward's internal control over financial
reporting in order to determine our auditing procedures for the purpose of expressing our opinion an the
financial statements and not to provide assurance on the internal control over financial reporting. Our
consideration of the internal control over financial reporting would not necessarily disclose all nu#= in the
internal control over financial reporting that might be material w . A material weakness is a
condition in which the design or operation of one or more of the internal control components does not reduce
to a relatively low level the risk that misstatements in amounts that would be material in relation to the
financial statements being audited may occur and not be detected within a timely period by employees in the
normal course of performing their assigned fimctions. We noted no matters involving the internal control
over financial reporting and its operation that we consider to be material weaknesses.
This report is intended solely for the information of City of Seward's management, Honorable Mayor and
City Council, and appropriate federal and state agencies, and is not intended to be and should not be used by
anyone other than thew specified parties.
C. e.
4e &.
1
March 27, 2002
McGLADREY NETWORK
133
An I„ andenty ;,,,.,, r; -; ; Dices: Anchorage, Bethel, Kenai & SewardrWofiAwxieSafvcaSTt,o,gn RSM lrlematiCr al
MIKUNDA, COTTRELL & CO.
A Professional CorpvraUOn ,
CERTIFIED PUBLIC ACCOUNTANTS & CONSULTANTS
3601 "C" Street, Suite 604 * Anchorage, Alaska 99543 '
907) 278 -8878, Fax (907) 278 -5779
www.n=-cga.com
1
Ind t Auditoes ESMrt on Co li with R e to—Each- '
Proom and on In trol Over Comglianco.in AgmUm milh OMB.Cioft A-133
Honorable Mayor and City Council '
City of Seward, Alaska
C =liance 1
We have audited the compliance of City of Seward with the types of compliance requirements
described in the U.S. Office of Management and Budget (OMB) Circular A -133 Compliance
Supplement that are applicable to each of its major federal programs for the year ended December
31, 2001. City of Seward's major federal programs are identified in the summary of auditor's
results section of the accompanying schedule of findings and questions costs. Compliance with the
requirements of laws, regulations, contracts and grants applicable to each of its major federal
programs is the responsibility of City of Seward's management. Our responsibility is to express an
opinion on City of Seward's compliance based on our audit.
We conducted our audit of compliance in accordance with auditing standards generally accepted in
the United States of America; the standards applicable to financial audits contained in Government
Auditing Standards, issued by the Comptroller General of the United States; and OMB Circular A-
133, Audits of States, Local Governments, and Non Profit Organizations. Those standards and
OMB Circular A -133, require that we plan and perform the audit to obtain reasonable assurance
about whether noncompliance with the types of compliance requirements referred to above that
could have a direct and material effect on a major federal program occurred. An audit includes
examining, on a test basis, evidence about City of Seward's compliance with those requirements
and performing such other procedures as we considered necessary in the circumstances. We believe
that our audit provides a reasonable basis for our opinion. Our audit does not provide a legal
determination on City of Seward's compliance with those requirements.
in our opinion, City of Seward complied, in all material respects, with the requirements referred to
above that are applicable to each of its major federal programs for the year ended December 31,
2001.
134
WE McGLADREY NETWORK
a c r Offces:.Anchoracge, Bethel, Kenai & Sewar
WorV+ntle Sarv cea Through RSM In18Mf 0nal
1
Honorable Mayor and City Council
City of Seward, Alaska
interrmal Control OverConli en
The management of City of Seward is responsible for establishing and maintaining effective
internal control over compliance with requirements of laws, regulations, contracts and grants
applicable to federal programs. In planning and performing our audit, we considered City of
Seward's internal control over compliance with requirements that could have a direct and
material effect on a major federal program in order to determine our auditing procedures for the
purpose of expressing our opinion on compliance and to test and report on internal control over
compliance in accordance with OMB Circular A -133.
1 Our consideration of the internal control over compliance would not necessarily disclose all matters
in the internal control that might be material weaknesses. A material weakness is a condition in
which the design or operation of one or more of the internal control components does not reduce to
a relatively low level the risk that noncompliance with applicable requirements of laws, regulations,
contracts and grants that would be material in relation to a major federal program being audited may
occur and not be detected within a timely period by employees in the normal course of performing
their assigned functions. We noted no matters involving the internal control over compliance and
its operation that we consider to be material weaknesses.
This report is intended solely for the information of City of Seward's management, Honorable
Mayor and City Council, and appropriate federal and state agencies, and is not intended to be and
should not be used by anyone other than these specified parties.
ezeaze 4,
March 27, 2002
1 135
CITY OF SEWARD
Schedule of Findings and Questioned Costs
Year Ended December 31, 2001 '
U ILTRESULT
I. Summary of Auditor's Results:
Financial Statements:
Type of auditor's report issued: Unqualified
Internal control over financial reporting:
Material weaknesses identified? yes _a. no
identified thatReportableconditions are not
considered to be material weaknesses? Yes -z-now reponed
Noncompliance material to financial i
statements noted? Yes _IL no
Federal Awards:
Internal control over major programs:
Material weaknesses identified? Ya x no
Reportable conditions identified that are not
considered to be material weaknesses? m __)L.none reported
Type of auditor's report issued on compliance for
major programs:
Unqualified
Any audit findings disclosed that are required to be
reported in accordance with section 510(a) of
Circular A- 133? yes x no
Major program: Agencv CFDA Nurrib r P
Department of Agriculture 10.904 NRCS Flood
Mitigation
Federal Emergency Management Agency 83.519 Japanese Crack Levy
Dollar threshold used to distinguish between
Type A and B programs 300,000
Low -risk auditee
No
H. Financial Statement Findings None noted
III. Federal Awards Findings and Questioned Costs None noted
136 1
CITY OF SEWARD
Summary Schedule of Prior Audit Findings
Year Ended December 31, 2001
1 There were no prior year audit findings.
1 137
CITY OF SEWARD
Corrective Action Plan
Year Ended December 31, 2001
There arc no current year findings; therefore no corrective action plan is required.
1
1
138
MIKUNDA, COTTRELL & CO.
A Professional Co porrt&n
CERTIFIED PUBLIC ACCOUNTANTS & CONSULTANTS
3601 "C" Street, Suite 600 a Anchorage, Alaska 99503
907) 278 -8878, Fax (907) 278-5779
www.mcc -cpa.com
Ind dent Auditor's R rt on Com fiance and on Internal Control Over Financial R
Based on an Audit of Financial Statements Performed in Accordance with Government Auditin
St rds
Honorable Mayor and City Council
City of Seward, Alaska
We have audited the general purpose financial statements of City of Seward as of and for the year
ended December 31, 2001, and have issued our report thereon dated March 27, 2002. We
conducted our audit in accordance with auditing standards generally accepted in the United States of
America and the standards applicable to financial audits contained in Government Auditing
Standards, issued by the Comptroller General of the United States.
Compliance
As part of obtaining reasonable assurance about whether City of Seward's financial statements are
free of material misstatement, we performed tests of its compliance with certain provisions of laws,
regulations, contracts, and grants, noncompliance with which could have a direct and material of cd
on the determination of financial statement amounts. However, providing an opinion on
compliance with those provisions was not an objective of our audit, and accordingly, we do not
express such an opinion. The results of our tests disclosed no instances of noncompliance that are
required to be reported under Government Auditing Standards.
Internal Control Over Financial R rtin
In planning and performing our audit, we considered City of Seward's internal control over
financial reporting in order to determine our auditing procedures for the purpose of expressing our
opinion on the financial statements and not to provide assurance on the internal control over
financial reporting. Our consideration of the internal control over financial reporting would not
necessarily disclose all matters in the internal control over financial reporting that might be material
weaknesses. A material weakness is a condition in which the design or operation of one or more of
the internal control components does not reduce to a relatively low level the risk that misstatements
in amounts that would be material in relation to the financial statements being audited may occur
and not be detected within a timely period by employees in the normal course of performing their
assigned functions. We noted no matters involving the internal control over financial reporting and
its operation that we consider to be material weaknesses.
This report is intended solely for the information of the City of Seward's management, Honorable
Mayor and City Council, and the State of Alaska, and is not intended to be and should not be used
by anyone other than these specified parties.
March 27, 2002
139
McGLADREY NETWORK
Ar Inde,,enoemly Owned Men*mr
l-PO W-AMW je Sr- - +.:b5 I nl ,n,np -RSM klzf r',dl 00al
Orces: Anchorage, Bethel. Kenai & Seward
MIKUNDA, COTTRELL & CO.
A P"ftsional Corporation '
CERTIFIED PUBLIC ACCOUNTANTS & CONSULTANTS
3601 "C" Street, Suite 600 • Anchorage, Alaska 99503 ,
907) 278 -8878, Fax (907) 278 -5779
www.mcc- cpa.com
Ind dent Auditor's R .port on Compliance with R uirements Aolicable to Each '
ProMM and on Internal Control Over Co liance in Accordance with the State o Alaska Audit
Guide and Compliance SiMlement for State Sihgle Audits
Honorable Mayor and City Council '
City of Seward, Alaska
om R ce ,
We have audited the compliance of City of Seward with the types of compliance requirements ,
described in the State of Alaska Audit Guide and Compliance Supplement for State Single Audits
that are applicable to each of its major state programs for the year ended December 31, 2001. City
of Seward's major state prograrns are identified in the accompanying schedule of state financial '
assistance. Compliance with the requirements of laws, regulations, contracts, and grants, general
requirements, and the specific requirements applicable to each of its major state programs is the
responsibility of City of Seward's management. Our responsibility is to express an opinion on City ,
of Seward's compliance based on our audit.
We conducted our audit of compliance in accordance with auditing standards generally accepted in ttheUnitedStatesofAmerica; the standards applicable to financial audits contained in Government
Auditing Standards issued by the Comptroller General of the United States and the State of Alaska
Audit Guide and Compliance Supplement for State Single Audits. Those standards and the State of '
Alaska Audit Guide and Compliance Supplement for State Single Audits require that we plan and
perform the audit to obtain reasonable assurance about whether noncompliance with the types of
compliance requirements referred to above that could have a direct and material effect on a major '
state program occurred. An audit includes examining, on a test basis, evidence about City of
Seward's compliance with those requirements and performing such other procedures as we
considered necessary in the circumstances. We believe that our audit provides a reasonable basis for '
our opinion. Our audit does not provide a legal determination of City of Seward's compliance with
those requirements. ,
In our opinion, City of Seward complied, in all material respects, with the requirements referred to
above that are applicable to each of its major state programs for the year ended December 31, 2001.
1
McGLADREY NETWORK
An inde,xrrn WA,, 6,.r AM6; r-- e;
dy Worldwde Serves T4 -1 RSM Inlernawal
140
ai & SewalOffices: Anchorage, Bethel, Ken
1
Honorable Mayor and City Council
City of Seward, Alaska
Internal Control Over Com fiance
The management of City of Seward is responsible for establishing and maintaining effective
internal control over compliance with the requirements of laws, regulations, contracts, and grants
applicable to state programs. In planning and performing our audit, we considered City of Seward's
internal control over compliance with requirements that could have a direct and material effect on a
major state program in order to determine our auditing procedures for the purpose of expressing our
opinion on compliance and to test and report on the internal control over compliance in accordance
with the State ofAlaska Audit Guide and Compliance Supplement for State Single Audits.
Our consideration of the internal control over compliance would not necessarily disclose all matters
in the internal control that might be material weaknesses. A material weakness is a condition in
which the design or operation of one or more of the internal control components does not reduce to
a relatively low level the risk that noncompliance with applicable requirements of laws, regulations,
contracts, and grants that would be material in relation to a major state program being audited may
occur and not be detected within a timely period by employees in the normal course of performing
their assigned functions. We noted no matters involving the internal control over compliance and
its operation that we consider to be material weaknesses.
This report is intended solely for the information of the City of Seward's mng c ent, Honorable
Mayor and City Council, and the State of Alaska, and is not intended to be and should not be used
by anyone other than these specified parties.
1
March 27, 2002
1 141
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