Comprehensive Annual Financial Report - 1998-1999Comprehensive
Annual Financial. Report
Fiscal Year Ended
September 30, 1999
Ojos
City of Clermont, Florida
Pictured is the City of Clermont's first full-time firefighting staff (fire
chief, lieutenant, firefighters and staff assistant) that were hired during
fiscal year 1998-1999. Also included in the picture are the City's first
tower/ladder fire truck and newest pumper fire truck that were
recently purchased.
Comprehensive
Annual Financial Report
Fiscal Year Ended
September 30, 1999
City of Clermont, Florida
CITY OF CLERMONT, FLORIDA
COMPREHENSIVE ANNUAL FINANCIAL
REPORT SEPTEMBER 30, 1999
Prepared by:
Finance Department
Joseph E. Van Zile
Finance Director
CITY OF CLERMONT, FLORIDA
COMPREHENSIVE ANNUAL FINANCIAL REPORT -
FISCAL YEAR ENDED SEPTEMBER 30, 1999
® TABLE OF CONTENTS
INTRODUCTORY SECTION
Letterof Transmittal............................................................................................1
OrganizationalChart .........................................................................................12
Listing of City Officials......................................................................................13
Certificate of Achievement................................................................................14
FINANCIAL SECTION
INDEPENDENT AUDITOR'S REPORT
Independent Auditor's Report ................................................................15
GENERAL PURPOSE FINANCIAL STATEMENTS
Combined Balance Sheet — All Fund Types and Account Groups ......... 16
Combined Statement of Revenues, Expenditures and
Changes in Fund Balances — All Governmental Fund
Types and Expendable Trust Fund..................................................20
Combined Statement of Revenues, Expenses and Changes in
Fund Balances — Budget and Actual — General,
Budgeted Special Revenue and Debt Service Funds.......................21
Combined Statement of Revenues, Expenses and Changes in
Retained Earnings/Fund Balances — All Proprietary
Fund Types and Nonexpendable Trust Funds.................................23
Combined Statement of Changes in Plan Net Assets —
Pension Trust Fund..........................................................................24
Combined Statement of Cash Flows — All Proprietary Fund
Types and Nonexpendable Trust Funds...........................................25
Notes to Financial Statements...............................................................27
TABLE OF CONTENTS
FINANCIAL SECTION CONTINUED
COMBINING AND INDIVIDUAL FUND AND ACCOUNT GROUP STATEMENTS
General Fund:
Comparative Balance Sheet..................................................................50
Statement of Revenues, Expenditures and Changes in
Fund Balance — Budget and Actual..................................................51
Schedule of Revenues — Budget and Actual.........................................52
Schedule of Expenditures — Budget and Actual.....................................53
Special Revenue Funds:
Combining Balance Sheet.....................................................................56
Combining Statement of Revenues, Expenditures and
Changes in Fund Balance................................................................57
Statement of Revenues, Expenditures and Changes in
Fund Balance — Budget and Actual — Infrastructure Fund ................58
Sales Tax Revenue Bond Sinking Fund:
Comparative Balance Sheet..................................................................59
Statement of Revenues, Expenditures and Changes in
Fund Balance — Budget and Actual..................................................60
Enterprise Funds:
Combining Balance Sheet.....................................................................61
Combining Statement of Revenues, Expenses and Changes in
RetainedEarnings............................................................................63
Combining Statement of Cash Flows.....................................................64
LU
TABLE OF CONTENTS
FINANCIAL SECTION CONTINUED
COMBINING AND INDIVIDUAL FUND AND ACCOUNT GROUP STATEMENTS
CONTINUED
Group Self Insurance Fund:
Comparative Balance Sheet..................................................................66
Comparative Statement of Revenues, Expenses and Changes in
RetainedEarnings............................................................................67
Comparative Statement of Cash Flows.................................................68
Trust Funds:
Combining Balance Sheet — Fiduciary Fund Types...............................69
Comparative Balance Sheet — Expendable Trust Fund —
Community Redevelopment Fund....................................................70
Comparative Statement of Revenues, Expenditures and
Changes in Fund Balance — Expendable Trust Fund —
Community Redevelopment Fund....................................................71
Comparative Statement of Plan Net Assets —
PensionTrust Funds........................................................................72
Combining Statement of Changes in Plan Net Assets —
PensionTrust Funds........................................................................73
Comparative Balance Sheet — Nonexpendable Trust Fund —
Cemetery Perpetual Care Fund........................................................74
Comparative Statement of Revenues, Expenses and Changes in
Fund Balance — Nonexpendable Trust Fund —
Cemetery Perpetual Care Fund........................................................75
Statement of Cash Flows — Nonexpendable Trust Fund —
Cemetery Perpetual Care Fund........................................................76
M
TABLE OF CONTENTS
FINANCIAL SECTION CONTINUED
COMBINING AND INDIVIDUAL FUND AND ACCOUNT GROUP STATEMENTS
CONTINUED
Account Groups:
Schedule of General Fixed Assets by Sources......................................77
Schedule of General Fixed Assets by Function.....................................78
Schedule of Changes in General Fixed Assets by Function ..................79
Schedule of General Long -Term Debt...................................................80
STATISTICAL SECTION
Comments on the Statistical Section................................................................81
General Governmental Expenditures by Function —
LastTen Fiscal Years.................................................................................82
General Revenue by Source — Last Ten Fiscal Years......................................84
Property Tax Levies, Tax Collections and Assessed
Valuations — Last Ten Fiscal Years.............................................................86
Property Tax Rates — Direct and All Overlapping Governments —
LastTen Fiscal Years.................................................................................88
Water and Sewer Customer Data — Last Ten Fiscal Years..............................90
Utility Revenue Bond Coverage — All Utility Revenue Bonds —
LastTen Fiscal Years.................................................................................91
Demographic Statistics — Last Ten Fiscal Years..............................................93
Property Value, Construction and Bank Deposits —
LastTen Fiscal Years.................................................................................94
PrincipalTaxpayers..........................................................................................96
ry
TABLE OF CONTENTS �
STATISTICAL SECTION CONTINUED
LargestEmployers............................................................................................97
Schedule of Insurance Coverage.....................................................................98
Miscellaneous Statistical Data........................................................................100
OTHER REPORTS
Report on Compliance and on Internal Control over Financial Reporting
Based on an Audit of Financial Statements Performed in Accordance
with Government Auditing Standards........................................................101
ManagementLetter........................................................................................103
v
INTRODUCTORY SECTION
This section contains the letter of transmittal,
organizational chart, and listing of city officials.
CITY OF CLERMONT
Office of the City Manager
March 17, 2000
Honorable Mayor and Council Members
City of Clermont
Clermont, Florida
The Comprehensive Annual Financial Report of the City of Clermont, Florida, for the
fiscal year ended September 30, 1999, is hereby submitted. This report was prepared by
the City's Finance Department. Responsibility for both the accuracy of the presented
data and the completeness and fairness of the presentation, including all disclosures, rests
with the City. We believe the data, as presented, is accurate in all material aspects; that is
presented in a manner designed to fairly present the financial position and results of
operations of the City as measured by the financial activity of its various funds, and that
it includes the disclosures necessary to enable the reader to gain the maximum
understanding of the City's financial activities.
rl THE REPORTING ENTITY AND ITS SERVICES 1
The City of Clermont, which occupies 11.26 square miles, was incorporated in 1916.
The City is located in south Lake County, approximately twenty-two miles west of the
City of Orlando and twenty-two miles southeast of the City of Leesburg. The City is
conveniently accessible to Orlando via Florida Highway 50.
The City is essentially residential in character and its economy is primarily centered in
retail trade as well as lodging, food and beverage establishments, which are tourism
oriented.
Lake County, located in Central Florida, is bounded to the north by Marion County, to
the south by Polk County, to the east by Orange County, Seminole County and Volusia
County, and to the west by Sumter County. Tavares, the County Seat, is located
approximately 190 miles southeast of Tallahassee, the State Capitol, and 50 miles
northeast of Orlando.
P.O. BOX 120219 • CLERMONT, FLORIDA 34712-0219 • PHONE: 352/394-4081
FAX: 352/394-1452
The City has a Council -Manager form of government, with a Mayor and four other
Council Members who are elected at large for two year staggered terms. Elections are
held on the first Tuesday after the first Monday in November of each year. The City
employs a full-time manager who is the chief executive and administrative officer of the
City.
The City provides a full range of municipal services as directed by its charter. These
include Police and Fire Protection, Street and Sidewalk Maintenance, Planning and
Development, Code Enforcement, Recreational Facilities and Programs, Cemetery and
General Administrative functions. Clermont also operates and maintains water,
wastewater treatment, sanitation, and stormwater utilities. In addition, the City is the
largest financial supporter of a private library that serves city residents, as well as
residents of the surrounding area.
The funds and entities related to the City of Clermont included in our Comprehensive
Annual Financial Report, are those for which the City Council has financial
accountability. According to criteria outlined in Governmental Accounting Standards
Board (GASB) statements, financial accountability is present if the City Council appoints
a voting majority of a component unit's governing body and has the ability to impose its
will on that organization or if there is a potential for the organization to provide specific
financial benefits to or impose specific financial burdens on the City. Based on these
criteria, the various funds and account groups shown in the table of contents are properly
included in this report.
ACCOUNTING SYSTEM AND BUDGETARY CONTROL
The City's accounting records for General, Special Revenue and certain Trust and
Agency Funds are maintained on a modified accrual basis with revenues being
recognized when they become measurable and available, while expenditures are recorded
at the time liabilities are incurred. Accounting records for the Enterprise, Internal Service
and certain Trust and Agency Funds are maintained on a full accrual basis.
In developing and modifying the city's accounting system, consideration is given to the
adequacy of internal accounting controls. Internal accounting controls are designed to
provide reasonable, but not absolute assurance regarding:
1. The safeguarding of assets against loss from unauthorized use or disposition; and
2. The reliability of financial records for preparing financial statements and maintaining
accountability for assets.
The concept of reasonable assurance recognizes that:
1. The cost of control should not exceed the benefits likely to be derived; and
2. The evaluation of costs and benefits requires estimates and judgements by
management.
2
All internal control evaluations occur within the above framework. The City's internal
accounting controls adequately safeguard assets and provide reasonable assurance of
proper recording of financial transactions.
Budgetary integration is established in the accounting records for control purposes at the
object level. The City Manager is authorized to approve transfers within departments,
but changes in total budget appropriations for a department must have prior approval of
the City Council. Budgetary reports are issued and reviewed monthly by staff.
I FINANCIAL STATEMENT FORMAT I
The report is arranged in the following sections:
Section I: Introduction Section
This section contains the Letter of Transmittal and other such
material as may be useful in understanding the reporting entity.
Section II: Financial Section
This section of the report contains the Independent Auditor's
report and financial statements of the City. The financial
statements include the General Purpose Financial Statements,
which display financial data for the City as _-a whole and
Combining Statements by Fund Type, which present data for
homogeneous funds.
Section III: Statistical Section
This section presents detailed historical information that will be
beneficial to the reader in understanding the City's growth and its
future potential.
Section IV: Other Reports
This section contains other Independent Auditor's reports.
3
GENERAL FUND
The General Fund encompasses the general government functions of the City and all
other functions not accounted for in other separate funds.
Unreserved, undesignated fund balance increased 3.3% from $712,974 to $736,358.
Fund balance is the amount of resources available for expenditure in future years.
Revenues and other financing sources of the current fiscal year as compared with those of
the previous year are presented as follows:
1998-1999
Amount % of total
1997-1998
1 Amount % of total
% Inc./Dec.
Over 1997-98
Taxes
$2,623,966
62.7%
$2 294,295
61.4%
14.4 %
Licenses and Permits
149,702
3.6
133,595
3.6
12.1
Intergovernmental
838,118
20.0
633,344
17.8
32.3
Charges for Services
44,336
1.1
42,459
1.1
4.4
Fines and Forfeitures
108,720
2.6
160,522
4.3
(47.6)
Miscellaneous Revenues
135,550
3.2
165,084
4.4
(21.8)
Transfers In
283,337
6.8 j
275,960
7.4
2.7
Total
$4,183,729
100%
$3,735,259
100%
12.0%
General Fund revenues increased 12% from $3,735,259 to $4,183,729 primarily due to
increases in ad valorem taxes, franchise fees, utility service taxes, construction permits
and grants. While other revenues may have increased at a higher percentage rate than the
total general fund increase, the dollar increases were not significant and did not reflect a
change in the City's revenue policy.
The City's ad valorem, franchise fee and utility service tax rates were maintained at the
1997-98 rates. The revenue increases were the result of growth as is documented in
Table 8 of the statistical section of this report. As noted in Table 4 of the statistical
section, Clermont continues to enjoy being one of the lowest taxed communities in
Central Florida.
4
Expenditures and other financing uses of the current fiscal year as compared with those
of the previous year are as follows:
1998-1999
Amount % of total
1997-1998
Amount % of total
% Inc./Dec.
Over 1997-98
General Government
$1,020,864
22.4%
$808,901
21.2%
26.2 %
Public Safety
1,733,444
38.0
1,614,460
42.4
7.4
Physical Environment
137,219
3.0
152,476
4.0
(11.1)
Transportation
419,830
9.2
472,515
12.4
(12.5)
Economic Development
7,547
0.2
11,146
.3
(47.7)
Human Services
25,794
0.6
24,150
.6
6.8
Culture & Recreation
1,214,759
26.5
726,444
19.1
67.2
Transfers Out
4,419
.1
0
0
100.0
Total
$4,563,876
100%
$3,810,092
1000%
General Fund expenditures increased 19.8% from $3,810,092 to $4,563,876. The
primary reason for the increase in total expenditures was the completion of the
Waterfront Park boat ramp relocation ($434,133) and the construction of McKinney Park,
a multi -purpose recreational facility ($105,459). In addition, land was purchased as a site
for a new city hall ($130,839). Without these capital projects, total expenditures would
have only increased by 2.2%.
During fiscal year 1998-1999, the City staffed full-time firefighters for the first time. A
full-time fire chief, lieutenant, three firefighters and a staff assistant were added. In
addition, the City began planning for the purchase of a mini -pumper fire truck and
construction of two new fire stations.
SPECIAL REVENUE FUNDS
INFRASTRUCTURE FUND
The Infrastructure Fund accounts for the City's share of the Local Government
Infrastructure Surtax. The surtax, which represents a county -wide one -cent increase in
the States Sales Tax until the end of fiscal year 2002, may only be expended on items
pertaining to the construction of fixed capital outlay.
Infrastructure surtax funds were used in the fiscal year 1998-99 for the future city hall
space needs assessment study, partial funding of the Waterfront Park boat ramp
relocation and annual debt service associated with the 1989 Sales Tax Revenue Bond
issue.
5
IMPACT FEE FUND
The Impact Fee Fund accounts for the police , fire and recreation impact fees paid by
developers. The fees were adopted by the City to require new development to pay its
proportionate share of the capital costs necessary to accommodate new development
impacts on police, fire and recreational services.
Total police, fire and recreation impact fees collected in the 1998-99 fiscal year totaled
$240,412. Police and fire impact fees were used to provide partial funding for the
purchase of various equipment items. Recreation impact fees were used to provide
partial funding for the relocation of the Waterfront Park boat ramp.
BLOCK GRANT FUND
The City received a $600,000 Community Development Block Grant from the U.S.
Department of Housing and Urban Development in fiscal year 1995-96. The grant is
administered through the Florida Department of Community Affairs. The grant provides
funds for low-income residents to bring their homes up to minimum property standards.
During the 1998-99 fiscal year, the City expended $28,564.
L� DEBT SERVICE FUND
The Sales Tax Revenue Bond Sinking Fund is maintained to account for the
accumulation of resources and the payment of debt service on the 1989 Sales Tax
Revenue Bond. The bond was issued to provide funding for the development of the
Palatlakaha Recreation Area and construction of the Public Services Complex and Public
Safety Building.
ENTERPRISE FUNDS
WATER FUND
The Water Fund accounts for the provision of potable water service to City and non -City
residents. Comparative data for the last three fiscal years is as follows:
1998-1999
1997-1998
1996-1997
02erating Revenues
$1,640,642
$1,362,906
$1.107,101
Operating Ex enses
$1,232,089
$1,123,451
$878,643
Operating Income
$408,553
$239,455
$228,458
Net Working Capital
$879,491
$833,503
$785,034
Debt Service Coverage
(Combined Water/Sewer)
1.69%
1.59%
1.46%
6
Operating revenues and expenses increased 20.4% and 9.7% respectively from 1997-
1998 to 1998-1999, primarily due to servicing the expanding East Water System
customer base. The east water system customer base has increased from 1,565 customers
in September 1998 to 2,278 as of September 1999.
SEWER FUND
The Sewer Fund accounts for the provision of sewer services to City and non -City
residents. Comparative data for the last three fiscal years is as follows:
1998-1999
1997-1998
1996-1997
Operating Revenues
$1,162,550
$1,094,321
$915,382
Operating Expenses
$1,056,058
$939,820
$834,260
Operating Income
$106,492
$154,501
$81,122
Net Working Capital
$541,091
$598,185
$870,537
Debt Service Coverage
Combined Water/Sewer
1.69%
1.59%
1.46%
Operating revenues and expenses increased 6.2% and 12.4% respectively from 1997-
1998 to 1998-1999 primarily due to servicing the expanding East Sewer System customer
base. The east sewer system customer base has increased from 593 customers in
September 1998 to 1,193 as of September 1999.
SANITATION FUND
The Sanitation Fund accounts for the provision of garbage and trash collection, recycling,
and composting services to City residents. Comparative data for the last three fiscal
years is as follows:
1998-1999
1997-1998
1996-1997
Revenues
$727,273
$660,841
$601,628
-Operating
Expenses
$851,159
$738,998
$675,807
-Operating
Income (Loss
($123,886)
($78,157)
($74,179)
-Operating
Net Working Ca ita1
$142,806
$217,648
$234,539
Operating revenues and expenses increased 10.0% and 15.2% respectively from 1997-
1998 to 1998-1999. Due to the recent trend of operating losses, the City is planning to
perform a sanitation service rate study during fiscal year 1999-2000.
7
STORMWATER UTILITY FUND
The Stormwater Utility Fund accounts for the maintenance and improvement of the
City's stormwater drainage system. The stormwater utility fee is charged to all property
owners/tenants throughout the City and is based on the impervious area of their property.
Comparative data for the last three fiscal years is as follows:
1998-1999
1997-1998
1996-1997
Operating Revenues
$156,864
$151,244
$146,590
Operating Expenses
$130,569
$129,806
$133,503
Operating Income
$26,295
$21,438
$13,087
Net Working Capital
$135,721
$103,759
$228,867
During fiscal year 1998-99, the City used a portion of the utility fees to maintain the
existing stormwater drainage retention system. The remaining funds were held in reserve
for major stormwater drainage projects to be performed in the future.
INTERNAL SERVICE FUND
The City maintains a Group Self -Insurance Fund to account for the accumulation of
resources and the payment of insurance claims pertaining to the employee health and -
insurance coverage. The modified Self -Insurance Program is responsible for health and
dental claims up to $30,000 per employee. Reinsurance provides coverage in excess of
the City's limits up to $1,000,000 per employee.
TRUST FUNDS
Trust Funds account for assets held by the City as Trustee for individuals, private
organizations and other governmental units and/or funds.
The General Employees', Police Officers' and Volunteer Firefighters' Pension Trust
Funds account for the accumulation of resources to be used for the retirement annuities of
all city employees.
The Cemetery Perpetual Care Trust Fund accounts for monies received from people
buying lots in the City cemetery. The principal must be kept intact, but the interest may
be transferred to General Fund to defray the cost of cemetery operation and maintenance.
The Community Redevelopment Fund accounts for funds administered by the Downtown
Clermont Redevelopment Agency. The agency is authorized to use the funds to finance
community redevelopment projects within the downtown area.
8
GENERAL FIXED ASSETS
The general assets of the City of Clermont are those fixed assets used in the performance
of general governmental functions and exclude the fixed assets of the Proprietary Funds.
As of September 30, 1999, the general fixed assets of the City totaled $12,725,562. This
amount represents the original cost of the assets and is, therefore, considerably less than
their present value. Depreciation of general fixed assets is not recognized in the City's
accounting system.
CASH MANAGEMENT
The City maintains an investment policy that is based on the theory of minimizing credit
and market risks, maintaining reasonable liquidity to meet maturing obligations, and
maximizing return through the use of various investment sources.
The City's investment program consists of funds invested in overnight repurchase
agreements, the Florida State Board of Administration Investment Pool and in United
States Treasury securities. The overnight repurchase agreements are in relation to a
banking service agreement the City maintains with a local qualified public depository.
The agreement provides that a specific rate of return based on the bank's federal funds
rate and amount of excess funds to be credited to the City's account on a daily basis.
The Florida State Board of Administration Investment Pool is managed by the State of
Florida and is available to any governmental agency within the State. The major
advantages the pool offers to small cities such as Clermont are the higher rate of return
from the large amount of funds available to invest and the liquidity of the invested funds.
Access to the invested funds is on a daily basis.
DEBT ADMINISTRATION
The City has the following long-term debt issues outstanding on September 30, 1999.
➢ A long-term note issued in 1980 to finance the construction of the Library Building.
➢ A Sales Tax Revenue Bond issued in 1989 to provide funding for the development of
the Palatlakaha Recreation Area and construction of the Public Services Complex and
Police Department Building.
➢ A Water and Sewer Revenue Refunding Bond issued in 1993 to refinance two
previously issued Water and Sewer Revenue Bonds.
9
➢ A Water and Sewer Revenue Bond Anticipation Note issued in 1996 to refinance a
1995 line of credit financing as well as to provide additional funding for major East
Water and Sewer System improvements.
➢ A Capital Improvement Revenue Note issued in 1998 to provide funding for the
purchase of computer equipment and a fire truck.
RISK MANAGEMENT
The City maintains Commercial Liability and Worker's Compensation insurance through
programs sponsored and administered by the Florida League of Cities. The limit of
protection for the liability coverage is $1,500,000 per occurrence. The City is not aware
of any pending or threatened litigation, which would not be covered by insurance.
FINANCIAL POSITION AND FUTURE PROSPECTS
The overall financial position of the City is good, however, the pressures placed on the
City services by the recent growth of the City requires careful short and long term
planning. The City's tax base is expanding due to recent annexations and subsequent
development is providing additional revenues. Along with this additional development
comes increased demands on all City services.
The revenue stream created by growth is usually several months behind the demand for
services which places additional pressures on all departments to have the ability to
continue to provide the necessary level of service within budget constraints.
Fortunately, the City currently enjoys one of the area's lowest ad valorem millage rates
and charges for service are within acceptable ranges. This allows for necessary
adjustments in the future to meet the demands for continued and expanded services at
acceptable levels.
We must carefully monitor the economy as it relates to growth so as not to expand too
quickly while continuing to budget adequately for the continuance of services at a level
all of our residents have come to enjoy. A combination of adequate planning,
conservative budgeting, and sound management practices should help maintain the City's
financial stability.
CERTIFICATE OF ACHIEVEMENT
The Government Finance Officers Association of the United States and Canada (GFOA)
awarded a Certificate of Achievement for Excellence in Financial Reporting to the City
of Clermont, Florida, for its Comprehensive Annual Financial Report for the fiscal year
10
ended September 30, 1998. The Certificate of Achievement is the highest form of
recognition for excellence in state and local government financial reporting.
In order to be awarded a Certificate of Achievement, a government must publish an
easily readable and efficiently organized Comprehensive Annual Financial Report, whose
contents conform to program standards. Such reports must satisfy both generally
accepted accounting principles and applicable legal requirements.
A Certificate of Achievement is valid for a period of one year only. The City of
Clermont has received a Certificate of Achievement for the last eleven consecutive fiscal
years. We believe our current report continues to conform to the Certificate of
Achievement Program requirements, and we are submitting it to GFOA.
1 INDEPENDENT AUDIT Q
Florida Statutes and the City Charter require an annual financial audit of the financial
statements of the City of Clermont by an independent certified public accountant selected
by the City Council. This requirement has been satisfied and the Auditor's unqualified
opinion has been included in this report.
ACKNOWLEDGEMENTS
The preparation of this report on a timely basis could not have been accomplished
without the efficient and dedicated services of the staffs in the City Manager's office,
Planning Department and Finance Department. I would also like to thank the Mayor and
members of the City Council for their interest and support in planning and conducting the
financial operations of the City in a responsible and progressive manner.
Respectfully submitted,
Wye Saunders
City Manager
Joseph E. V He
Finance Director
11
City of Clermont, Florida
Organizational Chart
City Attorney
Police
Fare
a
CID
Inspections
Transportation
Traffic Division
Dive Team
Parks
Public Fire
Water Treatment
Road Patrol
Education
and Distribution
Sewer Collection
Communications
and Treatment
Stormwater
Records
Drainage
Sanitation
Citizens
Clermont City Council 1 Committees
City Manager
Finance I Planning Recreation
Financial Reporting Occupational Licenses Programs
Utility Billing Permitting
Accounts Payable Code Enforcement
Personnel/Payroll Animal Control
Risk Management Zoning
Budgeting
Engineering
Inspections
Mapping
Water System
Improvements
Wastewater System
Improvements
Stormwater
Management
12
Mayor
Mayor Pro-Tem
Council Member
Council Member
Council Member
CITY OF CLERMONT, FLORIDA
LISTING OF CITY OFFICIALS
ELECTED OFFICIALS �`-
Harold S. Turville, Jr.
Jim Brown
Hope Lamb
Lawson Wolfe
Jeff Biddle
APPOINTED OFFICIALS
City Manager
Wayne Saunders
City Attorney
Robert D. Guthrie
Finance Director
Joseph E. Van Zile
Public Services Director
Preston Davis
Chief of Police
Randy Story
Fire Chief
Carle Bishop
City Engineer
Tamara Richardson
Planning Director
Barry Brown
13
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
City of Clermont,
Florida
For its Comprehensive Annual
Financial Report
for the Fiscal Year Ended
September 30., 1998
A Certificate of Achievement 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 financial reporting.
(f"°� President
00,
Executive Director
14
FINANCIAL SECTION
This section contains the following subsections:
INDEPENDENT AUDITOR'S REPORT
GENERAL PURPOSE FINANCIAL STATEMENTS
COMBINING AND INDIVIDUAL FUND AND
ACCOUNT GROUP STATEMENTS
INDEPENDENT AUDITOR'S
REPORT
CLERMONT OFFICE
Herbert John Greenlee, Jr., C.P.A.
Jerry D. Brown, C.P.A.
Suzanne M. Wolfe, C.P.A.
p GREENLEE
KURRAS
RICE &
BROWN, PA
CERTIFIED PUBLIC
ACCOUNTANTS
INDEPENDENT AUDITOR'S REPORT
The Honorable Mayor and City Council
City of Clermont, Florida
MOUNT DORA OFFICE
John S. Rice, C.P.A.
Patricia A. Sykes -Amos, C.P.A.
C. L. (Chip) Garner, C.P.A.
Dorothy A. Kurras, C.P.A.
John A. Powers, C.P.A.
Keire Rice Hosley, C.P.A.
David S. McDonald, C.P.A.
We have audited the general purpose financial statements of the City of Clermont, Florida, as of and for
the year ended September 30, 1999, as listed in the table of contents. 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 generally accepted auditing standards and Government
Auditing Standards, issued by the Comptroller General of the United States. Those standards require
that we plan and perform the audit to obtain reasonable assurance about whether the general purpose
financial statements are free of material misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the general purpose 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 the City of Clermont, Florida, at September 30, 1999, and the results
of its operations and its cash flows in its proprietary and nonexpendable trust fund for the year then
ended in conformity with generally accepted accounting principles.
Our audit was made for the purpose of forming an opinion on the general purpose financial statements
taken as a whole. The combining, individual fund and individual account group financial statements and
schedules listed in the accompanying table of contents are presented for purposes of additional analysis
and are not a required part of the general purpose financial statements of the City of Clermont, Florida.
Such information has been subjected to the auditing procedures applied in the audit of the general
purpose financial statements and, in our opinion , is fairly presented in all material respects in relation
to the general purpose financial statements taken as a whole.
In accordance with Government Auditing Standards, we have also issued our report dated February 20,
2000, on our consideration of the City of Clermont's internal control over financial reporting and our
tests of i compliance with certain provisions of laws, regulations, contracts and grants.
Clermont, Florida
February 18, 2000
15
MEMBER: FLORIDA INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS & AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS
605 Montrose Street 1627 N. Donnelly Street
P.O. Box 120400 • Clermont, FL 34712-0400 P.O. Box 8 • Mount Dora, FL 32756-0008
(352) 394-3256 • Fax (352) 394-6910 _ (352) 383-6300 • Fax (352) 383-6356
CITY OF CLERMONT, FLORIDA
COMBINED BALANCE SHEET
ALL FUND TYPES AND ACCOUNT GROUPS
SEPTEMBER 30, 1999
GOVERNMENTAL FUND TYPES
SPECIAL
DEBT
ASSETS AND OTHER DEBITS
GENERAL
REVENUE
SERVICE
Assets:
Cash and equivalents
$119,193
$169,578
$84,437
Investments
908,353
9,836
...
Receivables:
Accounts
42,179
...
...
Interest -
5,087
...
...
Other
26,664
...
...
Interfund receivables
...
•••
•••
Due from other governments
44,539
40,712
...
Prepaid items
417
...
...
Inventory
8,794
...
• • •
Restricted Assets:
Cash and equivalents
...
...
•••
Investments
•••
•••
•••
Mortgage receivables
...
302,983
...
Deferred charges
•••
•••
•••
Land
•••
•••
•••
Buildings
•••
•••
•••
Water system
•••
•••
•••
Sewer system
•••
•••
•••
Improvements other than buildings
...
•••
•••
Machinery and equipment
...
•••
•••
Accumulated depreciation
•••
•••
•••
Other Debits:
Amount available for principal in debt service fund
...
...
...
Amount to be provided for retirement
of general long-term debt
•••
TOTAL ASSETS
$1,155,226
$743,565
$84,437
continued
The notes to the financial statements are an integral part of this statement.
16
FIDUCIARY
TOTALS
PROPRIETARY FUND TYPES
FUND TYPE
ACCOUNT
GROUPS
(MEMORANDUM ONLY)
GENERAL
GENERAL
INTERNAL
FIXED
LONG-TERM
ENTERPRISE
SERVICE
TRUST
ASSETS
DEBT
1999
1998
$545,169
...
$35,993
$
$ ...
$954,370
$800,759
1,042,169
64,281
5,315,699
...
7,560,794
6,724,579
328,442
...
...
...
...
370,621
337,235
13,895
18,982
...
496
...
...
...
...
27,160
49,511
...
...
50,583
...
...
50,583
59,931
3,141
...
...
...
88,392
170,359
4,787
...
...
...
5,204
9,658
26,097
...
...
...
...
34,891
41,112
1,172,229
...
...
...
...
1,172,229
563,733
2,809,518
...
...
...
...
2,809,518
2,028,301
...
...
...
302,983
395,960
214,379
-
...
...
...
214,379
254,967
1,464,129
...
...
1,535,811
...
2,999,940
2,899,226
...
...
...
2,911,970
...
2,911,970
2,838,468
8,562,929
...
...
...
...
8,562,929
8,304,721
12,300,474
...
...
...
...
12,300,474
11,903,085
454,807
...
...
5,751,296
...
6,206,103
5,534,499
1,514,335
...
...
2,526,485
...
4,040,820
3,575,979
(6,569,236)
...
...
...
...
(6,569,236)
(5,938,766)
...
...
...
...
66,667
66,667
61,667
...
...
...
...
725,395
725,395
919,812
$23,887,760
$64,281
$5,402,275
$12,725,562
$792,062
$44,855,168
$41,534,796
continued
17
CITY OF CLERMONT, FLORIDA
COMBINED BALANCE SHEET
ALL FUND TYPES AND ACCOUNT GROUPS
SEPTEMBER 30, 1999
GOVERNMENTAL FUND TYPES
SPECIAL
DEBT
LIABILITIES, EQUITY AND OTHER CREDITS
GENERAL
REVENUE
SERVICE
Liabilities:
Accounts payable
$187,579
$14
$
Payroll related accruals
83,404
...
...
Contracts payable
35,791
Interest payable
5,226
Payable From Restricted Assets:
Deposits
Accrued interest
Revenue bonds
...
...
...
Interfund payables
37,203
...
...
Deferred revenue
26,664
302,983
...
Revenue bonds payable
...
...
...
Mortgage payable
..,
Total Liabilities
375,867
302,997
Equity and Other Credits:
Contributed capital
...
...
...
Investment in general fixed assets
...
...
...
Retained Earnings:
Reserved
Unreserved
Fund Balances:
Reserved for parking lots
4,638
...
...
Reserved for police education
29,152
...
...
Reserved for inventory
8,794
...
Reserved for prepaids
417
Reserved for downtown development
...
...
Reserved for cemetery care
...
...
...
Reserved for debt service principal
...
...
66,667
Reserved for debt service interest
...
...
17,770
Reserved for employees' retirement systems
...
...
Unreserved, undesignated
736,358
440,568
...
Total Equity and Other Credits
779,359
440,568
84,437
TOTAL LIABILITIES, EQUITY AND OTHER CREDITS
$1,155,226
$743,565
$84,437
continued
The notes to the financial statements are an integral part of this statement.
18
GENERAL PURPOSE
FINANCIAL STATEMENTS
(Combined Statements -Overview)
These basic financial statements provide a summary overview of the
financial position of all funds and account groups as well as the
operating results of all funds. They also serve as an introduction to
the more detailed statements and schedules that follow in the next
subsection.
FIDUCIARY
PROPRIETARY FUND TYPES FUND TYPE
INTERNAL
ENTERPRISE SERVICE TRUST
$156,256 $20,349 $
75,113 ...
20,338 ...
89,459 ...
182,756 ...
180,000 ...
13,380 ...
11,304,899 20,349
TOTALS
ACCOUNT GROUPS (MEMORANDUM ONLY)
GENERAL GENERAL
$ $ ... $364,198
$275,128
158,517
127,085
... ... 56,129
38,906
5,226
...
... 89,459
86,225
182,756
185,146
... ... 180,000
175,000
... ... 50,583
59,931
... ... 329,647
430,664
7,273,400 ... ... ...
... ... ... 12,725,562
3,400,783 ... ... ...
1,908,678 43,932 ... ...
... 17,515
... 308,325
C /17C AAG
7,273,400
5,575,594
... 12,725,562
...
... 3,400,783
2,145,663
... 1,952,610
3,408,159
... 4,638
4,638
... 29,152
31,687
... 8,794
13,207
417
2,555
... 17,515
...
... 308,325
283,833
... 66,667
61,667
... 17,770
22,372
12,582,861
43,932
5,402,275
12,725,562
792,062
32,058,994
16,949,287
$23,887,760
$64,281
$5,402,275
$12,725,562
$792,062
$44,855,168
$30,056,239
19
-
rkf
x
CITY OF CLERMONT, FLORIDA
COMBINED STATEMENT OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES
ALL GOVERNMENTAL FUND TYPES AND EXPENDABLE TRUST FUND
FOR THE YEAR ENDED SEPTEMBER 30, 1999
FIDUCIARY
GOVERNMENTAL FUND TYPES
FUND TYPE
TOTAL (MEMORANDUM ONLY)
EXPENDABLE
SPECIAL
DEBT
TRUST
GENERAL
REVENUE
SERVICE
FUND
1999
1998
Revenues:
Taxes
$2,623,966
$547,480
$ ...
$12,276
$3,175,865
$2,769,826
Licenses and permits
149,702
...
...
...
149,702
133,595
Intergovernmental revenues
838,118
33,963
...
...
872,081
1,012,582
Charges for services
44,336
...
...
...
44,336
42,459
Fines and forfeitures
108,720
_
...
...
108,720
160,522
Miscellaneous revenues
135,550
257,882
4,861
820
399,113
378,993
Total Revenues
3,900,392
839,325
4,861
$13,096
4,757,674
4,497,977
Expenditures:
Current:
General government
1,020,864
38,694
...
1,059,558
808,901
Public safety
1,733,444
...
...
...
1,733,444
1,633,630
Physical environment
137,219
...
...
...
137,219
152,476
Transportation
419,830
17,556
...
437,386
589,385
Economic environment
7,547
28,564
...
...
36,111
416,930
Human services
25,794
...
...
...
25,794
24,150
Culture and recreation
1,214,759
133,200
...
...
1,347,959
743,864
Debt Service:
•••
Principal
...
...
185,000
...
185,000
175,000
Interest and fiscal charges
...
67,543
...
67,543
79,462
Total Expenditures
4,559,457
218,014
252,543
5,030,014
4,623,798
Excess (Deficiency) of Revenues
Over Expenditures
(659,065)
621,311
(247,682)
13,096
(272,340)
(125,821)
Other Financing Sources (Uses):
Operating transfers in
283,337
...
248,080
4,419
535,836
526,020
Operating transfers out
(4,419)
(380,080)
...
...
(384,499)
(408,277)
Debt proceeds
$397,000
...
...
...
$397,000
Total Other Financing Sources (Uses)
675,918
(380,080)
4,419
548,337
117,743
Excess (Deficiency) of Revenues and Other
Financing Sources Over Expenditures
and Other Financing Uses
16,853
241,231
(247,682)
17,515
275,997
(8,078)
Fund Balances - October 1
762,506
199,337
84,039
1,045,882
1,053,960
FUND BALANCES - SEPTEMBER 30
$779,359
$440,568
($163,643)
$17,515
$1,321,879
$1,045,882
20
CITY OF CLERMONT, FLORIDA
COMBINED STATEMENT OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUAL -
GENERAL, BUDGETED SPECIAL REVENUE, AND DEBT SERVICE FUNDS
FOR THE YEAR ENDED SEPTEMBER 30, 1999
Revenues:
Taxes
Licenses and permits
Intergovernmental revenues
Charges for services
Fines and forfeitures
Miscellaneous
Total Revenues
Expenditures:
Current:
General government
Public safety
Physical environment
Transportation
Economic environment
Human services
Culture and recreation
Debt service
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
Other Financing Sources (Uses):
Operating transfers in
Operating transfers out
Debt proceeds
Total Other Financing Sources (Uses)
Excess (Deficiency) of Revenues and Other Financing Sources
Over (Under) Expenditures and Other Financing Uses
Fund Balances - October 1
FUND BALANCES - SEPTEMBER 30
GENERALFUND
VARIANCE
FAVORABLE
BUDGET
ACTUAL
(UNFAVORABLE)
$2,454,053
$2,623,966
$169,913
115,000
149,702
34,702
699,225
838,118
138,893
265,632
270,968
5,336
163,000
108,720
(54,280)
115,512
135,550
20,038
3,812,422
4,127,024
314,602
1,217,497
1,242,963
(25,466)
2,315,461
1,733,444
582,017
155,196
141,752
13,444
548,911
419,830
129,081
10,015
7,547
2,468
24,353
25,794
(1,441)
1,257,198
1,214,759
42,439
5,528,631
4,786,089
742,542
(1,716,209)
(659,065)
1,057,144
382,846
28,337
(99,509)
...
(4,419)
(4,419)
850,897
397,000
(453,897)
1,233,743
675,918
(557,825)
(482,466)
16,853
499,319
762,506
762,506
$280,040
$779,359
$499,319
continued
The notes to the financial statements are an integral part of this statement.
21
SPECIAL REVENUE FUND
DEBT SERVICE FUND
VARIANCE
VARIANCE
FAVORABLE
FAVORABLE
BUDGET
ACTUAL
(UNFAVORABLE)
BUDGET
ACTUAL
(UNFAVORABLE)
$495,000
$547,480
$51,780
$
$
$
1,500
7,358
5,858
1,500
4,861
3,361
496,500
554,838
57,638
1,500
4,861
3,361
50,000
38,694
11,306
...
66,000
17,556
48,444
...
...
...
134,500
133,200
1,300
...
...
...
•..
...
...
252,482
252,543
(61)
250,500
189,450
61,050
252,482
252,543
(61)
246,700
365,388
118,688
(250,982)
(247,682)
3,300
...
•..
...
250,982
248,080
(2,902)
(262,982)
(248,080)
14,902
...
•••
(262,982)
(248,080)
14,902
250,982
248,080
(2,902)
(16,282)
117,308
133,590
...
398
398
2,472
62,472
...
84,039
84,039
...
$46,190
$179,780
$133,590
$84,039
$84,437
$398
22
Operating Revenues:
Charges for services
Sale - cemetery lots
Sale of recycled materials
Reimbursements
Total Operating Revenues
CITY OF CLERMONT, FLORIDA
COMBINED STATEMENT OF REVENUES, EXPENSES AND CHANGES
IN RETAINED EARNINGS/FUND BALANCES
ALL PROPRIETARY FUND TYPES AND NONEXPENDABLE TRUST FUNDS
FOR THE YEAR ENDED SEPTEMBER 30, 1999
Operating Expenses:
Personal services
Utilities
Dumping fees
Administrative services
Repair and maintenance
Depreciation
Professional services
Insurance
Operating supplies
Office expense
Bad debt
Trustee/administrative fees
Medical claims
Total Operating Expenses
Operating Income (Loss)
Nonoperating Revenues (Expenses):
Interest revenue
Interest expense
Grants
Change in fair value
Total Nonoperating Revenues (Expenses)
Income (Loss) Before Operating Transfers
Other Financing Sources (Uses):
Operating transfers out
Total Other Financing Sources
Net Income (Loss)
PROPRIETARY FUND TYPES
INTERNAL
ENTERPRISE SERVICE
FIDUCIARY TOTALS
FUND TYPE (MEMORANDUMS ONLY)
EXPENDABLE
1998
$3,673,076
$367,882
$ ...
$4,040,958
$3,529,858
•••
...
24,625
24,625
22,795
7,179
...
...
7,179
7,304
7,074
43,795
50,869
66,294
3,687,329
411,677
24,625
4,123,631
3,626,251
1,061,074
...
...
1,061,074
920,045
343,481
...
...
343,481
270,090
309,003
...
...
309,003
294,843
226,632
...
...
226,632
186,694
292,312
...
...
292,312
280,474
645,887
...
...
645,887
630,083
187,848
...
...
187,848
164,254
37,971
...
...
37,971
48,824
112,378
...
133
112,511
99,485
44,187
...
...
44,187
31,358
9,102
...
...
9,102
5,925
...
70,679
...
70,679
62,184
386,894
386,894
286,767
3,269,875
457,573
133
3,727,581
3,281,026
417,454
(45,896)
24,492
396,050
345,225
178,039 5,404
(611,491) ...
3,141 ...
A26,054) 5,404
(8,600) (40,492)
(151,337)
(151,337)
(159,937) (40,492)
Retained Earnings/Fund Balances - October 1 5,469,398 84,424
RETAINED EARNINGS/FUND BALANCES - SEPTEMBER 30 $5,309,461 $43,932
The notes to the financial statements are an integral part of this statement.
...
183,443
209,672
...
(611,491)
(619,460)
...
3,141
99,953
4,257
(420,650)
(309,835)
24,492
(24,600)
35,390
(151,337)
(117,743)
(151,337)
(117,743)
24,492
(175,937)
(82,353)
283,833
5,837,655
5,920,008
$308,325
$5,661,718
$5,837,655
23
CITY OF CLERMONT, FLORIDA
PENSION TRUST FUND
COMBINED STATEMENT OF CHANGES IN PLAN NET ASSETS
FOR THE YEAR ENDED SEPTEMBER 30, 1999 AND 1998
(MEMORANDUM
ONLY)
Additions
Contributions:
Employer
Plan members
State
Total contributions
Investment Income:
Net investment income including
appreciation in fair value
Less: Investment expense
Net investment income
Total additions
Deductions
Benefits
Total deductions
Net increase
Net assets held in trust for pension benefits
Beginning of year
End of Year
$134,167
$147,449
8,041
6,773
121,083
116,246
561,994 288,967
540,107 242,403
803,398 512,871
217,119
189,676
217,119
189,676
586,279
323,195
4,490,156 4,166,961
$5,076,435 -- $4,490,156
The notes to the financial statements are an integral part of this statement.
24
CITY OF CLERMONT, FLORIDA
COMBINED STATEMENT OF CASH FLOWS
ALL PROPRIETARY FUND TYPES AND NONEXPENDABLE TRUST FUNDS
FOR THE YEAR ENDED SEPTEMBER 30, 1999
Cash Flows From Operating Activities:
Cash received from customers
Cash payments to suppliers
Cash payments for employee services
Cash payments for medical claims
Net Cash Provided (Used) By Operating Activities
Cash Flows From NonCapital Financing Activities:
Operating transfers out
Grants
Interest to be transferred
Net Cash Provided (Used) By Non Capital Financing Activities
Cash Flows From Capital and Related Financing Activities:
Acquisition and construction of capital assets
Principal paid
Interest paid
Contributed capital
Sales of assets
Net Cash Provided (Used) By Capital
and Related Financing Activities
Cash Flows From Investing Activities:
Interest
Investment sales
Investment purchases
Net Cash Provided (Used) By Investing Activities
Net Increase (Decrease) In Cash and Equivalents
Cash At Beginning Of Year
Cash At End Of Year
The notes to the financial statements are an integral part of this statement.
FIDUCIARY TOTALS
PROPRIETARY FUND TYPES FUND TYPE (MEMORANDUM ONLY)
INTERNAL NONEXPENDABLE
ENTERPRISE SERVICE TRUST 1999 1998
$3,658,113
$411,677
$24,625
$4,094,415
$3,571.423
(1,561,719)
(70,679)
(133)
(1,632.531)
(1,353,553)
(1,042,294)
...
...
(1,042.294)
(920,752)
(398,869)
(398,869)
(264,010)
1,054.100
(57,871)
24,492
1,020,721
1,033.108
(151,337)
...
...
(151,337)
(117,743)
2,802
...
...
2,802
97.151
...
...
...
...
4,204
(148,535)
0
(148,535)
(16,3158)
(773,234)
...
(773,234)
(1,042,298)
(175,000)
...
...
(175,000)
(170,000)
(553,085)
...
...
(553,085)
(560,006)
1,697,806
...
...
1,697,806
879,425
30,125
...
...
30,125
226,612
226,612
(892,879)
174,949
5,404
180,353
209,672
10,592
42,942
...
53.534
344,837
(617,698)
(18,037)
(635,735)
(704,452)
(432,157)
48,346
(18,037)
(401,848)
(149,943)
700,020
(9,525)
6,455
696,950
(26,102)
1,017,378
9,525
12,023
1.038,926
1,065,028
$1,717,398
$0
$18,478
$1,735,876
$1,038,926
(continued)
25
Reconcilation of Operating Income to Net Cash Provided
(Used) by Operating Activieits:
Operating Income (Loss)
Ajustments to Reconcile Operating Income to Net Cash Provided
(Used) by Operating Activities:
Depreciation
Change in Assets and Liabilities:
Decrease (Increase) in receivables
Decrease (Increase) in prepaids
Decrease (Increase) in inventory
Increase (decrease) in deposits
Increase (Decrease) in accrued expenses
Increase (Decrease) in payables
Total Adjustments
NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES
FIDUCIARY TOTALS
PROPRIETARY FUND TYPES FUND TYPE (MEMORANDUM ONLY)
INTERNAL NONEXPENDABLE
ENTERPRISE SERVICE TRUST 1999 1998
$417.454
($45,896)
$24.492 $396,050
$345,225
645,887
...
... 645,887
630,083
(32,449)
...
... (32,449)
(59,131)
2,316
...
... 2,316
2.518
1,809
...
... 1,809
(9,501)
3,233
3.233
...
17,644
...
... 17.644
(7,687)
(1,794)
(11,975)
(13,769)
131.601
636,646
(11,975)
624,671
687,883
$1,054,100
($57,871)
$24,492 $1.020,721
$1,033.108
26
CITY OF CLERMONT, FLORIDA
NOTES TO THE FINANCIAL STATEMENTS
1. Summary of Significant Accounting Policies:
The City of Clermont, Florida was incorporated December 1916, under the laws of the State
of Florida and operates under the council-manager form of government under its charter
adopted pursuant to H.B. 2223 ch 67 - 1217, Special Acts 1967, of the State of Florida.
The financial statements of the City of Clermont, Florida have been prepared in conformity
with generally accepted accounting principles as applicable to governments. The following
is a summary of the City's more significant accounting policies:
A. Reporting Entity - These financial statements include all the City's funds and account
groups. There are no component units, separate governmental units, agencies or
nonprofit corporations which require inclusion in the City's financial statements.
B. 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, revenue and expenditures,
or expenses, as appropriate. Government resources are allocated to and accounted
for in individual funds based upon the purposes for which they are to be spent and
the means by which spending activities are controlled. The- various funds and
account groups of the City are as follows:
Governmental Funds -
1. General Fund - To account for all financial resources except those required to be
accounted for in another fund.
2. Special Revenue Funds - To account for the proceeds of specific revenue sources
(other than special assessments, expendable trusts or for major capital projects)
that are legally restricted to expenditure for specified purposes.
3. Debt Service Fund - To account for the accumulation of resources for, and the
payment of, general long term debt principal, interest and related cost.
Proprietary Funds -
1. Enterprise Funds - 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 costs (expenses, including depreciation) of providing
goods or services to the general public on a continuing basis be financed or
recovered primarily through user charges; or (b) where the governing body had
decided that periodic determination of revenues earned, expenses incurred, and/or
27
CITY OF CLERMONT, FLORIDA
NOTES TO THE FINANCIAL STATEMENTS
net income is appropriate for capital maintenance, public policy, management
control, accountability or other purposes.
2. Internal Service Fund - To account for the financing of goods or services
provided by one department or agency to other departments or agencies of the
City, or to other governments, on a cost -reimbursement basis.
Fiduciary Funds -
1. Trust Funds - To account for assets held by the City in a trustee capacity. Non -
expendable and pension trust funds are accounted for in essentially the same
manner- as Proprietary Funds, since capital maintenance is critical. The
expendable trust fund measurement focus is the same as Governmental Funds.
Account Groups -
1. General Fixed Asset Account Group - is used to maintain control and cost
information for all fixed assets other than those accounted for in the Proprietary
and Nonexpendable Trust Funds.
2. General Long -Term Debt Account Group - is used to record the outstanding
long-term obligations not otherwise recorded in Proprietary, Nonexpendable
Trust and Pension Trust Funds.
C. Basis of Accounting - The accounting and financial reporting treatment applied to a
fund is determined by its measurement focus. All governmental funds and
expendable trust funds are accounted for using a current financial resources
measurement focus. With this measurement focus, only current assets and current
liabilities generally are included on the balance sheet. Operating statements of these
funds present increases (i.e., revenues and other financing sources) and decreases
(i.e., expenditures and other financing uses) in net current assets.
All proprietary funds, nonexpendable trust funds and pension trust funds are
accounted for on a flow of economic resources measurement focus. With this
measurement focus, all assets and all liabilities associated with the operation of these
funds are included on the balance sheet or statement of plan net assets. Fund equity
(i.e., net total assets) is segregated into contributed capital and retained earnings
components. Proprietary fund -type operating statements present increases (e.g.,
revenues) and decreases (e.g., expenses) in net total assets. The City has chosen not
to use FASB pronouncements issued after November 30, 1989, for its proprietary
activities.
28
CITY OF CLERMONT, FLORIDA
NOTES TO THE FINANCIAL STATEMENTS
The modified accrual basis of accounting is used by all governmental fund types and
expendable trust funds. Under the modified accrual basis of accounting, revenues are
recognized when susceptible to accrual (i.e., when they become both measurable and
available, ) "Measurable" means the amount of the transaction can be determined and
"available" means collectible within the current period or soon enough thereafter to
be used to pay liabilities of the current period. The government considers property
taxes as available if they are collected within 60 days after year end. A one-year
availability period is used for revenue recognition for all other governmental fund
revenues. Expenditures are recorded when the related fund liability is incurred.
Principal and interest on general long-term debt are recorded as fund liabilities when
due or when amounts have been accumulated in the debt service fund for payments
to be made early in the following year.
All major revenues, except property taxes and licenses, are considered measurable
and available and, as such, susceptible to accrual.
The accrual basis of accounting is utilized by proprietary fund types, pension trust
funds and nonexpendable trust funds. Under this method, revenues are recorded
when earned and expenses are recorded at the time liabilities are incurred.
Encumbrance accounting is not used by the City.
D. Budgets
The City follows these procedures in establishing the budgetary data reflected in the
financial statements:
1. Prior to August 31, the City Manager submits to the City Council the proposed
operating budget for the fiscal year commencing the following October 2. The
operating budget includes proposed expenditures and the means of financing
them.
2. Public hearings are conducted to obtain taxpayer comments.
3. Prior to October 1, the budget is legally enacted through passage of an
ordinance.
The legal level of budgetary control is the department level. Administrative control
is maintained at the object level through integration with the accounting records.
Appropriations lapse at the end of each fiscal year.
t
CITY OF CLERMONT, FLORIDA
NOTES TO THE FINANCIAL STATEMENTS
In the general fund, the following departments had an excess of expenditures over
appropriations: legislative ($901), legal ($766), planning and zoning ($21,267), other
general services ($2,751), law enforcement ($43,340), animal control ($1,441) and
library ($722).
Budgets are prepared on a basis consistent with generally accepted accounting
principles (GAAP) for the infrastructure fund and the nonexpendable trust fund. The
general fund's non-GAAP basis budget includes reimbursements from other funds
as revenues rather than as reductions of expenditures. The enterprise funds' budgets
are prepared on a non-GAAP basis as depreciation in the utility fund is not budgeted
while debt principal payments and capital additions are budgeted as expenses in all
enterprise funds.
The City Manager is authorized to transfer budgeted amounts within departments
within any fund. However, any revisions that alter the total expenditures of a
department must be approved by the City Council. Budget amounts are reported as
originally adopted or revised. A schedule summarizing budget revisions by fund is
presented in notes to the financial statements No. 2.
Budgets are not adopted for the impact fee, block grant, expendable trust fund,
internal service and trust funds. Budget amounts for the general,.infra-structure, and
debt service funds are reported in the combined financial statements. A comparison
of budgeted and actual (budgetary basis) expenses in the enterprise funds is shown
in notes to financial statements No. 2.
E. Assets, Liabilities and Fund Equity
1. Cash, Cash Equivalents, and Investments - For purposes of cash flows, cash
includes amounts in demand deposits as well as short-term investments with a
maturity date within three months of the date acquired by the government.
Governmental fund investments, proprietary fund investments, and pension funds
investments are reported at fair value.
2. Accounts Receivable From Other Governments - Those amounts that represent
a claim against another government, and are measurable, have been accrued.
3. Receivables - All the Utility Funds maintain the direct write-off method of bad
debt recognition due to the immateriality of the amounts. The City has no
concentrations of credit risk.
30
CITY OF CLERMONT, FLORIDA
NOTES TO THE FINANCIAL STATEMENTS
4. Inventories - Inventories are priced at cost using the first -in, first -out method.
Inventories are maintained by the General Fund and the Utility Fund. The City
uses the consumption method in expensing governmental fund inventories.
5. Restricted Assets - The restricted assets shown on the Enterprise Fund balance
sheet represent those assets of the Enterprise Fund which are earmarked for
specific purposes and cannot be used for paying general obligations of the Fund.
The corresponding liability designated as payable from restricted assets
represents the current maturities for which the restricted assets are accumulated.
6. Fixed Assets - General fixed assets are not capitalized in the funds used to
acquire or construct them. Instead, capital acquisition and construction are
reflected as _expenditures in governmental funds, and the related assets are
reported in the general fixed assets account group. All purchased fixed assets are
valued at cost where historical records are available and at an estimated historical
cost where no historical records exists. Donated fixed assets are valued at their
estimated fair market value on the date received.
The costs of normal maintenance and repairs that do not add to the value of the
asset or materially extend asset lives are not capitalized. Improvements are
capitalized and depreciated over the remaining useful lives of the related fixed
assets, as applicable.
Public domain ("infrastructure") general fixed assets consisting of roads, bridges,
curbs and gutters, streets and sidewalks, drainage systems and lighting systems
are capitalized by the City along with other general fixed assets.
Assets in the general fixed assets account group are not depreciated.
Depreciation of buildings, equipment and vehicles in the proprietary fund types
is computed using the straight-line method, over the following estimated useful
lives.
Useful
ProprietaryType Funds Lives (years)
Buildings 25 - 40
Land Improvements 5 - 40
Equipment 3 - 3 5
Interest is capitalized on proprietary fund assets acquired with tax-exempt debt.
The amount of interest to be capitalized is calculated by offsetting interest
31
CITY OF CLERMONT, FLORIDA
NOTES TO THE FINANCIAL STATEMENTS
expense incurred from the date of the borrowing until completion of the project
with interest earned on invested proceeds over the same period.
7. Compensated Absences - No accrual is made for accrued vacation leave in the
governmental funds because of immateriality. Accumulated vacation leave of
employees in the proprietary funds is recorded as an expense and liability of
those funds as the benefits accrue to employees. No accrual is made for sick
leave benefits which accumulate but do not vest until retirement.
8. Long -Term Obligations - Long-term debt is recognized as a liability of a
governmental fund when due. For other long-term obligations, only that portion
expected to be financed from expendable available financial resources is reported
as a fund liability of a governmental fund. The remaining portion of such
obligations is reported in the general long-term debt account group. Long-term
liabilities expected to be financed from proprietary fund operations are accounted
for in those funds.
9. Risk Management - The City is exposed to various risks of loss related to torts,
theft of, damage to and destruction of assets; errors and omissions; natural
disasters; and job -related illnesses or injuries to employees. Significant losses
are covered through participation in a local government non -assessable self
insurance pool. For these insured programs, there have been no significant
reductions in insurance programs, there have been no significant reductions in
insurance coverage. Settlement amounts have not exceeded insurance coverage
for the current year or the three prior years.
The City provides coverage for the first $30,000 per year in medical, dental, or
prescription claims for each covered employee. The City purchases commercial
insurance for claims in excess of coverage provided by the City with a total
aggregate stop -loss of $1,000,000.
10. Fund Equity - Contributed capital is recorded in proprietary funds that have
received capital grants or contributions from developers, customers or other
funds. Reserves represent those portions of fund equity not appropriable for
expenditure or legally segregated for a specific future use. Designated fund
balances represent tentative plans for future use of financial resources.
F. Revenues, Expenditures and Expenses
1. Interest income resulting from pooling of cash in master bank accounts is
allocated to the funds in their proportionate share.
.3
CITY OF CLERMONT, FLORIDA
NOTES TO THE FINANCIAL STATEMENTS
2. Unbilled revenue, which results from cyclical billing practices, is recorded in the
following fiscal year.
3. Interfund Transactions - Legally authorized transfers from the fund receiving
revenue to the fund through which the resources are to be expended, transfers of
tax revenues from a special revenue fund to a debt service fund, transfers from
the general fund to a special revenue or capital projects fund, operating subsidy
transfers from the general or a special revenue fund to an enterprise fund, and
transfers from an enterprise fund other than payments in lieu of taxes to finance
general fund expenditures.
4. Property Tax Recognition - The key dates in the property tax cycle (latest date
where appropriate) are as follows:
Assessment/lien date
January 1
Assessment roll validated
July 1
Millage resolution approved
September 30
Beginning of fiscal year for which
taxes have been levied
October 1
Tax bills rendered and due
November 1
Property taxes payable:
Maximum discount
November 30
Delinquent
April 1
Tax certificates sold
May 31
Property taxes are collected and remitted by the county tax collector. The City
does not accrue its portion of county held tax sale certificates because such
amounts are neither measurable nor available at balance sheet date.
The statutory maximum tax rates which may be assessed by the City are as
follows:
Ad valorem millage 10 mills
Utility tax (Electric, gas, telephone) 10%
Utility tax (Telecommunications) 7%
G. Total Columns on the Combined Statements -Overview - Total columns on the
Combined Statements -Overview are captioned Memorandum Only to indicate that
they are presented only to facilitate financial analysis. Data in these columns do not
present financial position, results of operations, or changes in cash flows in
33
CITY OF CLERMONT, FLORIDA
NOTES TO THE FINANCIAL STATEMENTS
conformity with generally accepted accounting principles. Neither is such data
comparable to a consolidation. Interfund eliminations have not been made in the
aggregation of this data.
2. Stewardship, Compliance and Accountability:
A. Budget Revisions
The following schedule summarizes budget revisions by Fund:
Original Final
Budget Revisions Budget
General Fund $5,022,228 $ 506,403 $5,528,631
B. General Fund Budget/GAAP Reconciliation:
Excess of revenues and other sources over
expenditures and other uses (budgetary basis) $ (16,853)
Adjustments:
To reduce revenues for administrative service fees (226,632)
To reduce expenditures for administrative service fees 226,632
Excess of revenues and other sources over expenditures
and other uses (GAAP basis) 16 853
C. Special Revenue Funds Budget/GAAP Reconciliation:
Excess of revenues and other financing sources over
expenditures and other financing uses (budgetary basis) $ 117,308
Adjustments:
— To record excess of revenues and other financing
sources over expenditures and other financing uses for
unbudgeted Impact Fee andBlock Grant Funds. 123,923
Excess of revenues and other financing sources over
expenditures and other financing uses (GAAP basis) L2LI 231
34
CITY OF CLERMONT, FLORIDA
NOTES TO THE FINANCIAL STATEMENTS
D. Enterprise Funds Budget Comparisons
Comparison of budgeted and actual (budget basis) expenses at the legal level of
control for the Enterprise Funds is presented as follows:
Water Sewer Sanitation Stormwater
Fund Fund Fund Fund
Actual Expenses (GAAP Basis) $1,486,826 $ 1,412,812 $851,159 $ 130,569
Less:
Depreciation (244,354) (306,577) ... (18,783)
Add:
Capital additions
288,709 420,280 37,189 18,617
Principal payments 50,750 124,250
Actual (Budget Basis) 1,581,931 1,650,765 888,348 130,403
Budget 1.473,084 L569.162 _ 854r654 186,188
Variance -favorable (unfavorable) 108 847 w 8L603 S 33,694 $ 55J85
3. Deposits and Investments:
DEPOSITS
The Florida Security for Depositors Act identifies those financial institutions that have
deposited the required collateral in the name of the treasurer of the State of Florida as
qualified public depositories. The City only places deposits with qualified public
depositories. Therefore, all City deposits are entirely insured by FDIC or Florida's Multiple
Financial Institution Collateral Pool.
INVESTMENT
The City's investments are categorized below to give an indication of the level of risk
assumed by the entity at year-end. Category 1 includes investments that are insured or
registered, or securities held by the City or its agent in the City's name. Category 2 includes
uninsured and unregistered investments held by the counterparty's agent in the City's name.
35
CITY OF CLERMONT, FLORIDA
NOTES TO THE FINANCIAL STATEMENTS
Category 3 includes uninsured and unregistered investments held by a counterparty but not
in the City's name.
State statutes and the City's investment policies authorize investment in U.S. Government
Obligations, Federal Farm Credit Banks, Federal National Mortgage Association Obligations
and Repurchase Agreements.
Carrying Fair
Value Value
Risk Category 3:
Repurchase Agreement $ 1,791,000 $ 1,791,000
(Securities held by bank in bank's name)
FHLB notes (held by broker) 2,880,437 2,880,437
Investment in local government surplus funds trust 2,464,021 2,464,021
Florida Municipal Pension Trust Fund 5,025.852 5,025,852
Total 12 161 310 12 161 310
The Local Government Surplus Funds Trust Fund is governed by Ch. 19-7 of the Florida
Administrative Code, which identifies the Rules of the State Board of Administration. These
rules provide guidance and establish the general operating procedures for the administration
of the Local Government Surplus Funds Trust Fund. Additionally, the Office of the Auditor
General performs the operational audit of the activities and investments of the State Board
of Administration.
The Local Government Surplus Funds Trust Fund is not a registrant with the Securities and
Exchange Commission (SEC): however, the Board has adopted operating procedures
consistent with the requirements for a 2a-7 fund. Therefore the pool account balance
(amortized cost) can be used as fair value for financial reporting.
4. Community Development Block Grant Fund Mortgages Receivable:
The City rehabilitated houses using Community Development Block Grant funds. A
mortgage for the amount of rehabilitation costs was recorded for each house. Twenty percent
of the mortgage is forgiven each year the homeowner continues to live in the home and
properly maintains it. In each of the next five years the amount of mortgage receivable will
be reduced along with a corresponding amount of deferred revenue. During the year ended
September 30, 1999, $92,977 of the original mortgage amounts was forgiven.
___ 36
CITY OF CLERMONT, FLORIDA
NOTES TO THE FINANCIAL STATEMENTS
5. Changes In General Fixed Assets:
A summary of changes in general fixed assets is as follows:
Balance -
9/30/98 Additions
Land $ 1,404,972 $ 130,839
Buildings 2,838,468 73,502
Improvements other
than buildings 5,098,309 652,987
Machinery and equipment 2,136,808 389,677
Totals $11,478.557 $,1,247 005
6. Changes in Proprietary Fund Fixed Assets:
Balance -
9/30/98
Additions
Land
$ 1,494,254
$
Water system
8,304,721
258,208
Sewer system
11,903,085
397,389
Improvements other
than buildings
Total Assets
Less: Accumulated
depreciation
Net
7. Pension Funds:
Deletions
$
Balance -
9/30/99
$ 1,535,811
2,911,970
... 5,751,286
2.526,485
Balance -
Deletions 9/30/99
$ 30,125 $ 1,464,129
... 8,562,929
12,300,474
436,190
18,617
454,807
1,514,335
24,296,674
5.938,766 645.887 15.417 6,569.236
117,638.655 S 118.908 30125 $17,72T438
The City has three separate single employer defined benefit plans for general employees,
sworn police officers, and firefighters respectively, as well as a defined contribution plan for
general employees. The investment and administrative agent for these plans is the Florida
Municipal Pension Trust Fund, an agent multiple -employer Public Employee Retirement
System. Costs of administering the plans are paid from investment income.
37
CITY OF CLERMONT, FLORIDA
NOTES TO THE FINANCIAL STATEMENTS
DEFINED BENEFIT PENSION PLANS
Membership in each of the defined benefit pension plans at September 30, 1999, was as
follows:
Retirees/beneficiaries
currently receiving benefits
Vested terminated employees
Active employees:
Fully vested
Nonvested
Eligibility for Partici ati n
General employees
Police officers
Firefighters
General Police Volunteer
Employees Officers Firefighters
14 3 2
0 0 2
1 1 4
0 20 17
- all permanent general employees actively employed by
the City on September 30, 1985, who elected to
participate.
- all actively employed sworn police officers.
- all actively employed firefighters.
GENERAL
VESTING EMPLOYEES POLICE OFFICERS FIREFIGHTERS
Full Age 65; 10 years service Age 55; 10 years Age 55; 10 years service
service
vesting as 10/1/90,
age 60
Partial Age 60; 10 years service Age 50; 10 years Age 50; 10 years service
service
':3
CITY OF CLERMONT, FLORIDA
NOTES TO THE FINANCIAL STATEMENTS
GENERAL
VESTING EMPLOYEES
Monthly 2% of highest 5 year
Benefits average salary times
years of --creditable
service
POLICE OFFICERS
2.25% of average
monthly earnings
times years of
creditable service
FIREFIGHTERS
$5.00 per month times
years of creditable
service
For all plans the partially vested monthly benefit shall be the fully vested amount reduced
by 5/12th of 1% of said amount for each month that early retirement precedes the normal
retirement date.
Each defined benefit plan provides disability. benefits. Benefit provision and all other
requirements are established by Florida Statute and City Ordinance.
If an employee terminates his or her employment with the Police or Volunteer Fire
Departments, the employee is entitled to a refund of his or her contribution.
Police officers and firefighters contribute 1 % of their annual salary to their respective plans.
The General Employee plan is non-contributory. The City is required to contribute the
remaining amount necessary to fund the Plans according to the actuarial valuations.
All three plans use the aggregate actuarial cost method which does not identify or separately
amortize unfunded actuarial liabilities.
FUNDING POLICY
GENERAL POLICE
EMPLOYEES OFFICERS FIREFIGHTERS
Contribution rates:
City 38.7% 10.7% 12.4%
Plan members 0% 1 % 1 %
Annual pension cost $ 13,438 $ 89,564 $ 11,135
Contributions made 112,311 41,646
Actuarial surplus applied 135438 ... ...
Actuarial valuation date 10/01/98 10/01/98 10/01/98
39
CITY OF CLERMONT, FLORIDA
NOTES TO THE FINANCIAL STATEMENTS
Actuarial cost method
Amortization method
Remaining
amortization period
Asset valuation method
Actuarial assumptions:
Investment rate of return
Projected salary increases
Includes inflation at
Cost of living adjustments
GENERAL POLICE
EMPLOYEES OFFICERS FIREFIGHTERS
Aggregate cost Aggregate cost
N/A
N/A
N/A
N/A
5 year
5 year
smoothed
smoothed
market
market
7.5%
6.0%
3.5%
N/A
7.5%
5.5%
3.5%
N/A
Three Year Trend Information
Aggregate cost
N/A
N/A
5 year
smoothed
market
7.5%
5.5%
3.5%
N/A
Annual
Percentage
Net
Year
Pension
of APC
Pension
Ending
Cost (APQ
Contributed
Obligation
General Employees 9/30/99
$ 13,438
100
0
9/30/98
13,500
170
0
9/30/97
13,500
100
0
Police Officers 9/30/99
$ 89,564
125
0
9/30/98
68,311
161
0
9/30/97
78,058
105
0
Firefighters 9/30/99
$ 11,135
374
0
9/30/98
9,395
485
0
9/30/97
8,444
259
0
M
CITY OF CLERMONT, FLORIDA
NOTES TO THE FINANCIAL STATEMENTS
SCHEDULE OF CONTRIBUTIONS
ANNUAL
CITY
STATE
FISCAL
REQUIRED
CONTRIBUTION
CONTRIBUTION
YEAR
CONTRIBUTION
PERCENTAGE
PERCENTAGE
General Employees
1991-92
$11,556
100.0%
0.0%
1992-93
5,543
147.6%
0.0%
1993-94
13,348
100.0%
0.0%
1994-95
17,120
100.0%
0.0%
1995-96
20,738
100.0%
0.0%
1996-97
13,500
100.0%
0.0%
1997-98
13,500
170.7%
0.0%
1998-99
13,438
100.0%
0.0%
Police Officers
1991-92
$72,415
134.4%
49.0%
1992-93
65,540
40.4%
57.4%
1993-94
72,517
39.4%
54.6%
1994-95
74,514
33.9%
64.3%
1995-96
73,945
32.6%
68.9%
1996-97
78,058
26.7%
71.8%
1997-98
68,311
48.2%
104.1 %
1998-99
82,558
30.1 %
97.5%
Firefighters
1991-92
$(526)
0.0%
-2010.3%
1992-93
180
0.0%
5627.2%
1993-94
184
0.0%
9122.8%
1994-95
6,273
0.0%
235.6%
1995-96
7,774
0.0%
232.6%
1996-97
8,444
0.0%
254.6%
1997-98
9,395
0.0%
480.3%
1998-99
10,100
0.0%
402.1 %
41
CITY OF CLERMONT, FLORIDA
NOTES TO THE FINANCIAL STATEMENTS
GENERAL EMPLOYEE DEFINED CONTRIBUTION PENSION PLAN
The defined Contribution Pension Plan for General Employees of the City of Clermont was
established October 1, 1985, as defined in Chapter 16, Article IV, of the Clermont Code.
This Plan is available to all permanent general employees of the City at September 30, 1985, who
elected participation in this plan and all permanent general employees hired by the City on or after
October 1, 1985.
Employees are fully vested in the Plan after ten years of service. The following is the partial vesting
schedule:
YEARS OF SERVICE
Less than five years
5 years
6 years
7 years
8 years
9 years
10 years
VESTED INTEREST
0%
50%
60%
70%
80%
90%
100%
Membership in the defined contribution pension plan at September 30, 1999, was as follows:
General Employees
Retirees and beneficiaries
currently receiving benefits 0
Vested terminated employees 0
Active employees:
Fully vested 15
Partially vested 8
Nonvested 45
In a defined contribution plan, benefits depend solely on amounts contributed to the plan plus
investments earnings. Contributions for, and interest forfeited by, employees who terminate
employment before five years of service are used to reduce the City's current period contributions.
Covered payroll for this Plan for fiscal year 1999 was $1,772,000; the City's total payroll was
$2,787,846.
42
CITY OF CLERMONT, FLORIDA
NOTES TO THE FINANCIAL STATEMENTS
The City contributes annually to the pension account of each active participant an amount equal to
eight percent (8%) of the employee's annual compensation. No contribution is required of
employees.
The required contribution by the City for fiscal year 1999 was $141,760 or eight percent (8%) of
covered payroll, less forfeitures of $32,960. Actual contribution was $109,344.
8. Post -retirement Benefits:
Retired employees have the option of continuing the same type of health and dental
insurance coverages available to them while they were employed with the City. The cost of
the premiums is paid totally by the retirees.
9. Risk Management
During fiscal year 1990, the City established an internal service fund to account for its
uninsured risk of loss for employee medical and dental coverage. Under this program, the
fund provides coverage for the first $30,000 per year in medical, dental, or prescription
claims for each covered employee. The City purchases commercial insurance for claims in
excess of coverage provided by the fund with a total aggregate stop -loss of $1,000,000.
There has been no reduction in insurance coverage from that carried in the prior year.
Claims paid have not exceeded insurance coverage in any of the past three fiscal years.
The general, water, sewer, sanitation and stormwater funds participate in the program and
make payments to the internal service fund based on the number of employees budgeted in
each fund.
1999
Claims liabilities,
beginning of year $ 32,324
Incurred claims 386,894
Payments on claims 39[ 8,86J
Claims liabilities, end of year 20,349
1998 1997
$ 9,567 $ 11,909
286,767 181,405
i 264.010) (183,747)
32,324 9 567
Unpaid claims are based on reported claims up to sixty days after year end and personal
knowledge of any employees' major health crisis.
— 43
CITY OF CLERMONT, FLORIDA
NOTES TO THE FINANCIAL STATEMENTS
10. General Long -Term Debt:
The following is a summary of changes in notes payable and bonds outstanding for the year
ended September 30, 1999:
Bonds and Note Payable
at October 1, 1998
New debt
Retirements
Bonds and Notes Payable
At September 30, 1999
Note
Bonds Payable
$ 950,000 $ ...
... 397,000
_(185,000)
$ 765,000 Ja2Z 000
Note
Payable Total
$ 31,479 $981,479
... 397,000
(4.417) _ 18( 9.417)
27.062 1 189 062
Bonds and notes payable at September 30, 1999, are comprised of the following individual
issues:
$2,070,000 Sales Tax Revenue Bond, Series 1989 due serially in
annual installments of $110,000 to $225,000 starting June 1,
1991 through June 1, 2003; interest rates vary from 6.3% to
7.05%
Capital Improvement Notes, Series 1998A due to SunTrust Bank
in five annual installments of $88,829 (including interest) and
two annual installments of $22,979 starting December 1, 1999.
The notes bear an interest rate of 3.95% and are secured by the
City's general government revenues. The loan was obtained to
upgrade the City's computer system, achieve Y2K compliance
and purchase a firetruck.
Note payable to Nations Bank, dated May 23, 1980, due in 24
annual installments of $14,417 each, starting May 23, 1982, plus
interest at 5 1 /2% per annum, secured by the gasoline tax
revenues of the City.
Total General Long Term Debt
765,000
397,000
I- 2T062
$1.189, 062
44
11
12
CITY OF CLERMONT, FLORIDA
NOTES TO THE FINANCIAL STATEMENTS
The annual requirements to amortize all general long-term debt outstanding as of September
30, 1999, including interest payments of $178,394, are as follows:
YEAR ENDING
NOTE
NOTE
SEPTEMBER 30
BONDS
PAYABLE
PAYABLE
TOTAL
2000
$ 253,310
$ 80,481
$ 5,904 $
339,695
2001
249,510
79,490
5,661
334,661
2002
249,915
79,437
5,418
334,770
2003
139,165
79,383
5,175
223,723
2004
...
79,326
4,935
84,261
2005 - 2006
45,102
5.244
50.346
S 891,900 44 32,337 $ 1,367.456
Advance Refunding:
On July 1, 1993, the City received a $3,905,000 loan from the City of Arcadia Dedicated
Pool Local Government Revenue Bonds, Series 1993, with an interest rate of 5.48 percent
to advance refund $1,055,000 of outstanding 1972 Series bonds with an interest rate of 6
percent and $2,080,000 of 1988 refunding bonds with interest rates ranging from 5.25 to 8
percent. The net proceeds of $3,480,987 (after payment of $424,013 in underwriting fees,
insurance, issuance costs, and reserve allocation) were disbursed through an escrow deposit
agreement and invested in defeasance obligations which will produce sufficient maturing
principal and interest to timely pay the principal and interest of the outstanding obligations.
As a result, both the 1972 and 1988 issues are considered to be defeased and the liability for
these bonds has been removed from the City's financial statements. At September 30, 1999,
$2,320,000 of bonds outstanding are considered defeased.
Enterprise Fund Long -Term Debt:
The following is a summary of changes in issues outstanding for the year ended September
30, 1999:
1993 Issue
Bonds and notes payable - October 1, 1998 $11,135,000
Retirements (175,000)
Bonds and notes payable - September 30, 1999 $10,960.000
45
CITY OF CLERMONT, FLORIDA
NOTES TO THE FINANCIAL STATEMENTS
The debt is comprised of the following items:
$3,905,000 1993 refunding bond issue due serially in annual
installments of $125,000 to $515,000 starting December 1, 1993,
through December 1, 2015; interest of 5.48% is paid semiannually.
The net revenues of the water and sewer funds are pledged to secure
the repayment of the debt. $ 2,970,000
$7,990,000 water and sewer revenue and refunding bond anticipation
notes bearing interest of 5%. Interest only payments due semi-
annually with a balloon principal payment due December, 2000. 7.990.000
$ 10.960.000
The annual requirements to amortize the debt outstanding as of September 30, 1999,
including interest payments of $2,049,762, are as follows:
YEAR ENDING
SEPTEMBER 30
TOTAL
2000
$ - 724,400
2001
8,516,600
2002
323,282
2003 _
324,078
2004
216,740
2005 "- 2009
1,082,688
2010 - 2014
1,076,561
2015
745AB
S 13.009.762
13. Interfund Receivables and Payables:
Individual fund interfund receivable and payable balances at September 30, 1999, are as
follows:
Interfund Interfund
Receivables Parables
General Fund $ $ 37,203
Sewer Fund 4,893
Water Fund 3,262
Sanitation Fund 4,247
Stormwater Fund ... 978
Police Pension Trust Fund 17,958 ...
General Employee
Defined Contribution Pension Fund 32.625
Totals 1 50.583 's 50.583
_ 46
14
CITY OF CLERMONT, FLORIDA
NOTES TO THE FINANCIAL STATEMENTS
Reserved Fund Balances and Retained Earnings:
Fund Balance - Reserves have been established for the following items:
Reserved for Parking Lots - Funds collected specifically for off
street parking. $ 4,638
Reserved for Police Education - Funds reserved by state statute
for training of police officers. 29,152
Reserved for Inventory - Funds expended for goods that will be
used in the -following year. 8,794
Reserved for Prepaids - Funds expended for service that will be
used in the following year. 417
Reserved for Downtown Redevelopment - Funds restricted for
infrastructure improvements in a geographic area defined by
ordinance. 17,515
Reserved for Debt Service - Funds restricted for payment of
general long term debt principal. 66,667
Reserved for Debt Service - Funds restricted for payment of
interest on general long term debt. 17,770
Reserved for Cemetery Care - Funds reserved by City ordinance
for future care of the cemetery. 308,325
Reserved for Employees' Retirement Systems - Funds restricted
for payment of retirement benefits. 5.076,435
$5,529,713
Total Reserved Fund Balances
Retained Earnings - Reserves have been established in accordance with both the covenants
of the City's bond indentures for the following items in the Enterprises Funds:
Reserved for Debt Service - Fund restricted for future servicing $ 276,075
of the revenue bonds.
Reserved for Expansion - Utility Benefits Fees and loan proceeds
restricted for utility expansion. 3,124,708
47
15
16
17.
CITY OF CLERMONT, FLORIDA
NOTES TO THE FINANCIAL STATEMENTS
Changes in Contributed Capital:
Balance October 1, 1998 $ 5,575,594
Contributions from developers 1.69T806
Balance September 30, 1999 $7,273,400
Segment Information:
The City maintains four Enterprise Funds which provide water, sewer, sanitation, and
stormwater services. Segment information for the year ended September 30, 1999, is as
follows:
Operating Revenues
Depreciation
Operating Income (Loss)
Operating Grants
Operating transfer out
Operating transfer in
Net Income (Loss)
Current Capital - Contributions
Plant, Property and Equipment:
Additions
Net Working Capital
Total Assets
Bonds and Other Long -Term
Liabilities:
Payable From Operating Revenues
Total Equity
Contingencies:
FUND
Water
Sewer
Sanitation
Stormwater
Totals
$ 1.640.642
$ 1,162,550
$ 727,273
$ 156,864
$ 3,687,329
244.354
306,577
76,173
18,783
645,887
408.553
106,492
(123,886)
26,295
417,454
...
...
3,141
...
3,141
(142.218)
(8,406)
(396)
(317)
(151,337)
74,432
(152,339)
(113,826)
31,796
(159,937)
635,977
1,061,829
...
...
1,697,806
288,709
420,280
37,189
18,61.7
764,795
879,491
541,091
142,806
135,721
1,699,109
8,965,494
13,816,394
443,741
662,131
23,887,760
4,556,689 6,223,311 ... ... 10,780,000
4,150,329 7,405,641 391,507 635,384 12,582,861
The City is not aware of any pending or threatened litigation which would not be covered by
insurance.
48
CITY OF CLERMONT, FLORIDA
NOTES TO FINANCIAL STATEMENTS
18. Awards:
The City received several state and local grants.
Program Total
Grantor/ Program Assistance Disbursements/
Program Title I.D. Number Received Expenditures
Florida Department of Community
Affairs:
Community Development
Block Grant 96-DB-1E-06-45-02-H10 $ 33,963 $ 28,564
Police Department Network 99-CJ-AZ-06-45-02-114 $ 7,225 $ 7,225
Lake County:
Recycling and Education Grant
RE99-33
$
3,141
$
3,141
Youth Summer Program
N/A
$
8,666
$
8,666
Youth Recreation Grant
N/A
$
16,479
$
16,479
Lincoln Park Recreation
N/A
$
15,000
$
15,000
Lake Minneola Boat Ramp
N/A
$
62,500
$
62,500
Lake County Water Authority:
Lake Minneola Boat Ramp N/A $ 120,000 $ 120,000
19. Y2K:
The City did not experience any computer system disruptions at the calendar year change.
During the year ended September 30, 1999 the City expended $ 147,187 on computer
equipment, software and training.
EEO
COMBINING AND INDIVIDUAL
FUND AND ACCOUNT GROUP
STATEMENTS
These financial statements provide a more detailed view of the
"General Purpose Financial Statements" presented in the preceding
subsection_
Combining statements are presented when there are more than one
fund of a given fund type. Individual fund and account group
statements are presented when there is only one fund of a given type
and for the account group. They are also necessary to present
budgetary comparisons.
GOVERNMENTALFUNDTYPES
GENERALFUND
The General Fund accounts for all revenues and expenditures of the
City that are not required to be accounted for in other funds. It
receives a greater variety and number of taxes and other general
revenues than any other fund.
CITY OF CLERMONT, FLORIDA
GENERALFUND
COMPARATIVE BALANCE SHEETS
SEPTEMBER 30, 1999 AND 1998
TOTALS
ASSETS 1999 1998
Cash and equivalents
$119,193
$79,217
Investments
908,353
671,368
Receivables:
Accounts
42,179
44,748
Assessments
26,664
34,704
Interfund receivables
...
22,094
Interest
5,087
...
Due from other governments
44,539
97,859
Prepaid expenditures
417
2,555
Inventory
8,794
13,207
TOTAL ASSETS
$1,155,226
$965,752
ILITIES AND FUND BALANCE
Liabilities:
Accounts payable
$187,579
$73,334
Interest payable
5,226
...
Contracts payable
35,791
...
Payroll related accruals
83,404
69,615
Interfund payables
37,203
25,593
Deferred revenue
26,664
34,704
Total Liabilities
375,867
203,246
Fund Balance:
Reserved for parking lots
4,638
4,638
Reserved for police education
29,152
31,687
Reserved for inventory
8,794
13,207
Reserved for prepaid
417
2,555
Unreserved, undesignated
736,358
710,419
Total Fund Balance
779,359
762,506
TOTAL LIABILITIES AND FUND BALANCE
$1,155,226
$965,752
50
CITY OF CLERMONT, FLORIDA
GENERAL FUND
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30, 1999
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30, 1998
1999
Revenues:
Taxes
Licenses and permits
Intergovernmental revenues
Charges for services
Fines and forfeitures
Miscellaneous
Total Revenues
Expenditures:
Current:
General government
Public safety
Physical environment
Transportation
Economic environment
Human services
Culture and recreation
Total Expenditures
Excess (Deficiency) of Revenues Over Expenditures
Other Financing Sources (Uses):
Operating transfers in
Operating transfers out
Debt proceeds
Total other financing sources
Excess (Deficiency) of Revenues over Expenditures
and Other Sources (Uses)
Fund Balance - October 1
FUND BALANCE - SEPTEMBER 30
BUDGET
$2,454,053
115,000
699,225
265,632
163,000
115,512
3,812,422
VARIANCE
FAVORABLE
1998
ACTUAL
(UNFAVORABLE)
ACTUAL
$2,623,966
$169,913
$2,294,295
149,702
34,702
133,595
838,118
138,893
617,604
270,968
5,336
229,153
108,720
(54,280)
160,522
4,127,024 314,602
1,217,497
1,242,963
(25,466)
2,315,461
1,733,444
582,017
155,196
141,752
13,444
548,911
419,830
129,081
10,015
7,547
2,468
24,353
25,794
(1,441)
1,257,198
1,214,759
42,439
5,528,631 4,786,089
(1,716,209) (659,065)
3,645,993
991,861
1,614,460
156,210
472,515
11,146
24,150
3,996,786
1,057,144 (350,793)
382,846
283,337.
(99,509)
275,960
...
(4,419)
(4,419)
...
850,897
397,000
(453,897)
...
1,233,743
675,918
(557,825)
275,960
(482,466)
16,853
499,319
(74,833)
762,506
762,506
837,339
$280,040
$779,359
$499,319
$762,506
51
CITY OF CLERMONT, FLORIDA
GENERALFUND
SCHEDULE OF REVENUES - BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30, 1999
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30, 1998
1999
VARIANCE
FAVORABLE
1998
BUDGET
ACTUAL
(UNFAVORABLE)
ACTUAL
Revenues:
Taxes:
Ad valorem
$838,053
$837,908
($145)
$709,953
Local option gas tax
174,200
198,877
24,677
171,694
Franchise fees
536,500
560,156
23,656
527,643
Utility taxes
905,300
1,027,025
121,725
885,005
Total Taxes
2,454,053
2,623,966
169,913
2,294,295
Licenses and Permits:
Professional and occupational
40,000
38,660
(1,340)
42,706
Other permits
75,000
111,042
36,042
90,889
Total Licenses and Permits
115,000
149,702
34,702
133,595
Intergovernmental Revenues:
Two -cent cigarette tax
32,500
31,381
(1,119)
31,484
State revenue sharing
146,700
150,636
3,936
155,144
Mobile home licenses
9,200
8,412
(788)
8,667
Alcoholic beverage licenses
5,000
5,342
342
5,088
Half -cent sales tax
318,900
335,509
16,609
300,506
Motor fuel tax rebate
5,000
6,333
1,333
8,584
Municipality share of county occupational licenses
9,700
9,701
1
9,444
Municipality share of one -cent voted gas tax
54,000
60,934
6,934
55,480
Grants
118,225
229,870
111,645
43,207
Total Intergovernmental Revenues
699,225
838,118
138,893
617,604
Charges For Services:
Public safety
2,000
1,840
(160)
1,430
Program activity fees
37,000
42,496
5,496
41,029
Administrative service fee
226,632
226,632
186,694
Total Charges For Services
265,632
270,968
5,336
229,153
Fines and Forfeitures:
Court fines
125,000
85,252
(39,748)
122,947
Police education
6,500
3,794
(2,706)
6,208
False alarms
2,000
...
(2,000)
1,430
Confiscations
3,000
1,068
(1,932)
3,682
Automation
26,500
18,606
(7,894)
26,255
Total Fines and Forfeitures
163,000
108,720
(54,280)
160,522
Miscellaneous Revenues:
Interest and change in value
54,500
64,468
9,968
72,191
Rentals
23,600
22,256
(1,344)
22,801
Memorial sales
1,500
20
(1,480)
1,009
Surplus equipment
3,000
...
(3,000)
3,711
Contributions
1,200
2,069
869
48,681
Reimbursements
21,712
34,330
12,618
52,428
Other miscellaneous
10,000
12,407
2,407
10,003
Total Miscellaneous Revenues
115,512
135,550
20,038
210,824
TOTAL REVENUES
$3,812,422
$4,127,024
$314,602
$3,645,993
52
CITY OF CLERMONT, FLORIDA
GENERALFUND
SCHEDULE OF EXPENDITURES - BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30, 1999
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30, 1998
1999
General Government:
Legislative:
Personal services
Operating expenses
Total Legislative
Executive:
Personal services
Operating expenses
Capital outlay
Total Executive
Finance and Administrative:
Personal services
Operating expenses
Capital outlay
Debt service
Total Finance and Administrative
Legal Services:
Operating expenses
Total Legal Services
Planning and Zoning:
Personal services
Operating expenses
Capital outlay
Total Planning and Zoning
Other General Services:
Personal services
Operating expenses
Capital outlay
Total Other General Services
Total General Government
FAVORABLE 1998
BUDGET ACTUAL (UNFAVORABLE) ACTUAL
$20,668
$20,561
$107
$22,329
6,960
7,968
(1,008)
10,615
27,628
28,529
(901)
32,944
138,464
142,474
(4,010)
134,527
9,698
5.619
4.079
6.851
2,000
1,913
87
3,211
150,162
150,006
156
144,589
233,578
240,659
(7,081)
225,943
108,035
121,991
(13,956)
75,787
87,535
97,105
(9,570)
4,050
38,600
7,930
30,670
...
467,748
467,685
63
305,780
11,050
11,816
(766)
9,000
11,050
11,816
(766)
9,000
245,049
188,448
56,601
179,480
46,142
146,583
(100,441)
220,427
69,888
47,315
21,267
23,266
361,079
382,346
(21,267)
423,173
32,130
nn inn
31,647
on nno
483
/n Cnn\
20,891
AO Oro
v�,v.av LVG,JV
1,217,497 1,242,963
(continued)
53
CITY OF CLERMONT, FLORIDA
GENERALFUND
SCHEDULE OF EXPENDITURES - BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30, 1999
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30, 1998
1999
Public Safety-
Law Enforcement:
Personal services
Operating expenses
Capital outlay
Total Law Enforcement
Fire Control:
Personal services
Operating expenses
Capital outlay
Debt service
Total Fire Control
Total Public Safety
Physical Environment:
Public Works:
Personal services
Operating expenses
Capital outlay
Total Physical Environment
Transportation:
Road and Streets:
Personal services
Operating expenses
Capital outlay
Total Transportation
BUDGET ACTUAL
VARIANCE
FAVORABLE 1998
(UNFAVORABLE) ACTUAL
1,111,250
1,151,081
(39,831)
1,069,922
157,193
161,332
(4,139)
156,875
153,854
153,224
630
155,027
1,422,297
1,465,637
(43,340)
1,381,824
120,883
142,281
(21,398)
64,904
56,601
92,514
(35,913)
43,081
678,780
28,834
649,946
124,651
36,900
4,178
32,722
893,164
267,807
625,357
232,636
2,315,461
1,733,444
582,017
1,614,460
90,922
83,362
7,560
98,691
42,803
34,867
7,936
45,391
21,471
23,523
(2,052)
12,128
155,196
141,752
13,444
156,210
214,889
222,277
(7,388)
172,876
210,257
153,703
56,554
249,869
123,765
43,850
79,915
49,770
548,911
419,830
129,081
472,515
(continued)
54
CITY OF CLERMONT, FLORIDA
GENERALFUND
SCHEDULE OF EXPENDITURES - BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30, 1999
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30, 1998 -
1999
_
VARIANCE
FAVORABLE
1998
BUDGET
ACTUAL
(UNFAVORABLE)
ACTUAL
Economic Environment:
Economic Development:
Operating expenses
9,515
7,038
2,477
11,146
Capital outlay
500
509
(9)
Total Economic Environment
10,015
7,547
2,468
11,146
Human Services:
Animal Control:
Personal services
18,621
20,491
(1,870)
19,458
Operating expenses
5,732
5,303
429
4,692
Total Human Services
24,353
25,794
(1,441)
24,150
Culture and Recreation:
Library:
Operating expenses
Debt service
Total Library
Parks and Recreation:
Personal services
Operating expenses
Capital outlay
Total Parks and Recreation
Total Culture and Recreation
TOTAL EXPENDITURES
148,336 149,058
321,325 292,673
1,108,862 1,065,701
(722) 137,135
28,652 251,192
(124,147) 196,574
1,257,198
1,214,759
42,439
726,444
$5,528,631
$4,786,089
$742,542
$3,996,786
55
SPECIAL REVENUE FUNDS
The Special Revenue Funds are used to account for the proceeds of
specific revenue sources (other than special assessments,
expendable trust, or major capital projects) that are legally restricted
to expenditure for specified purposes. The General Fund pays
certain administrative expenses.
INFRASTRUCTURE FUND
To account for the proceeds of the Local Government Infrastructure
Surtax to be received by the City until the end of fiscal year 2002.
The proceeds and interest accrued thereto, by law are only to be
used to finance, plan and construct infrastructure.
IMPACT FEE FUND
To account for the recreation, police and fire impact fees collected
from new developments constructed in the City.
BLOCK GRANT FUND
To account for the Community Development Block Grant from the
U.S. Department of Housing and Urban Development.
CITY OF CLERMONT, FLORIDA
SPECIAL REVENUE FUNDS
J
COMBINING BALANCE SHEET
SEPTEMBER 30, 1999
WITH COMPARATIVE TOTALS FOR SEPTEMBER 30,
1998
INFRA- BLOCK
STRUCTURE IMPACT FEE GRANT
TOTALS
ASSETS
FUND FUND FUND
1999
1998
Cash and equivalents
$ 3,920 $165,405 $ 253
$169,578
$162,310
Investments
135,162 95,130 ...
230,292
9,836
Due from other government
40,712 ... ...
40,712
69,698
Mortgages receivable
302,983
302,983
395,960
TOTAL ASSETS
$175,874 $260,535 $302,983
$743,565
$637,804
LIABILITIES AND
FUND BALANCE
Liabilities:
Accounts payable
$ 14 $ $
$
$ 10,284
Contracts payable
... ...
10,129
Interfund payable
... ... ...
...
22,094
Deferred revenue
... 302,983
302,983
395,960
Total Liabilities
... 302,983
302,983
428,183
Fund Balance
175,874 260,535 0
440,582
209,621
TOTAL LIABILITIES AND
FUND BALANCE
$175,874 $260,535 $302,983
$743,565
$637,804
56
CITY OF CLERMONT, FLORIDA
SPECIAL REVENUE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
FOR THE YEAR ENDED SEPTEMBER 30, 1999
WITH COMPARATIVE TOTALS FOR THE YEAR ENDED SEPTEMBER 30, 1998
INFRA- BLOCK
STRUCTURE IMPACT FEE GRANT TOTALS
FUND FUND FUND 1999 1998
Revenues:
Taxes $547,480 $ $ ... $547,480 $475,531
Intergovernmental ... ... 33,963 33,963 349,238
Miscellaneous:
Interest 7,358 10,014 98 17,470 9,265
Impact fees
Total Revenues
Expenditures:
Current:
General Government
Public safety
Transportation
Economic environment
Culture and recreation
Total Expenditures
Excess of Revenues
Over Expenditures
Other Financing Sources (Uses):
Operating transfers out
Total Other Financing
Sources (Uses)
Excess (Deficiency) of
Revenues Over Expenditures
and Other Financing (Uses)
Fund Balances - October 1
FUND BALANCES - SEPTEMBER 30
240,412 240,412 200,960
554,838 250,426 34,061 839,325 1,034,994
... ... ... $38,694 ...
38,694 ... ... ... 19,170
17,556 ... ... 17,556 116,870
... ... 28,564 28,564 405,784
189,450 28,564 218,014 559,244
365,388 250,426 5,497 621,311 475,750
(248,080) (132,000)
(380,080) (408,277)
117,308
118,426
5,497
241,231
67,473
62,472
142,109
(5,244)
199,337
131,864
$179,780
$260,535
$253
$440,568
$199,337
57
CITY OF CLERMONT, FLORIDA
INFRASTRUCTURE FUND
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30, 1999
WITH COMPARATIVE TOTALS FOR THE YEAR ENDED SEPTEMBER 30, 1998
Revenues:
Taxes
Miscellaneous:
Interest
Total Revenues
Expenditures:
Current:
General government
Public safety
Transportation
Culture and recreation
Total Expenditures
Excess of Revenues Over Expenditures
Other Financing Sources (Uses):
Operating transfers out
Total Other Financing Sources (Uses)
Excess (Deficiency) of Revenues Over
Expenditures and Other Financing (Uses)
Fund Balance - Beginning of Year
FUND BALANCE - END OF YEAR
1999
VARIANCE
FAVORABLE
1998
BUDGET
ACTUAL
(UNFAVORABLE)
ACTUAL
$495,700
$547,480
$51,780
$475,531
1,500
7,358
5,858
3,279
497,200
554,838
57,638
478,810
50,000
38,694
11,306
•••
•••
...
19,170
66,000
17,556
48,444
98,135
134,500
133,200
1,300
36,155
250,500
189,450
61,050
153,460
246,700
365,388
118,688
325,350
(262,982)
(248,080)
14,902
(300,061)
(262,982)
(248,080)
14,902
(300,061)
(16,282)
117,308
133,590
25,289
62,472
62,472
37,183
$46,190
$179,780
$133,590
$62,472
58
DEBT SERVICE FUND
The Debt Service Fund is used to account for the accumulation of
resources for, and the payment of, general long-term debt principal
and interest.
SALES TAX REVENUE BOND SINKING FUND
To account for the accumulation of funds and payment of debt
service pertaining to the 1989 sales tax revenue bond. The City's
share of the local government infrastructure surtax has been pledged
to pay the 1989 sales tax bond debt service. A portion of the surtax
revenue is transferred to the sales tax bond fund monthly.
CITY OF CLERMONT, FLORIDA
SALES TAX REVENUE BOND SINKING FUND
COMPARATIVE BALANCE SHEETS
SEPTEMBER 30, 1999 AND 1998
TOTALS
ASSETS 1999 1998
Cash and equivalents $84,437 $84,039
TOTAL ASSETS $84,437 $84,039
FUND BALANCE
Fund Balance:
Reserved for debt service - principal $66,667 $61,667
Reserved for debt service - interest 17,770 22,372
TOTAL FUND BALANCE $84,437 $84,039
59
CITY OF CLERMONT, FLORIDA
SALES TAX REVENUE BOND SINKING FUND
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30, 1999
WITH COMPARATIVE TOTALS FOR THE YEAR ENDED SEPTEMBER 30, 1998
1999
Revenues:
Miscellaneous:
Interest
Total Revenues
Expenditures:
Debt Service:
Fees
Interest
Principal
Total Expenditures
Excess (Deficiency) of Revenues
Over Expenditures
Other Financing Sources:
Operating transfers in
Excess (Deficiency) of Revenues and
Other Financing Sources Over Expenditures
Fund Balance - Beginning of Year
FUND BALANCE - END OF YEAR
VARIANCE
FAVORABLE
1998
BUDGET
ACTUAL
(UNFAVORABLE)
ACTUAL
$1,500
$4,861
$3,361
$3,684
1,500
4,861
3,361
3,684
2,000
1,561
439
1,580
65,482
65,982
(500)
77,882
185,000
185,000
...
175,000
252,482
252,543
(61)
254,462
(250,982)
(247,682)
3,300
(250,778)
250,982
248,080
(2,902)
250,060
398 398 (718)
84,039 84,039 .. 84,757
$84,039 $84,437 $398 $84,039
i
PROPRIETARY FUND TYPES
� �,\ \ « \\�\:
, \ yi<\� � \
\.%� v,� .
� « /,/ �J`� ® \
x2 «2d2��a
ENTERPRISE FUNDS
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 costs
(expenses, including depreciation) of providing goods or services to
the general public on a continuing basis be financed or recovered
primarily through user charge; or (b) where the governing body has
decided that periodic determination of revenues earned, expenses
incurred, and/or net income is appropriate for capital maintenance,
public policy, management control, accountability, or other purposes.
WATER FUND
To account for the provision of water services to City residents and
some out -of -city customers. All activities necessary to the provision
of these services are accounted for in this fund, including, but not
limited to administration, plant and line maintenance.
SEWER FUND
To account for the provision of services to City residents and some
out -of -city customers. All activities necessary to the provision of
these services are accounted for in this fund, including, but not limited
to administration, plant and line maintenance.
SANITATION FUND
To account for the provision of garbage and trash removal service to
the residents of the City. All activities necessary to the provision of
these services are accounted for in this fund.
STORMWATER UTILITY FUND
To account for the construction and maintenance of stormwater
drainage systems within the City. All activities necessary to the
provision of this service are accounted for in this fund.
CITY OF CLERMONT, FLORIDA
ENTERPRISE FUNDS
COMBINING BALANCE SHEET
FOR THE YEAR ENDED SEPTEMBER 30, 1999
WITH COMPARATIVE TOTALS FOR THE YEAR ENDED SEPTEMBER 30, 1998
WATER
SEWER
SANITATION
STORMWATER
TOTALS
ASSETS
FUND
FUND
FUND
FUND
1999
1998
Current Assets:
Cash and equivalents
$221,836
$118,987
$67,062
$137,284
$545,169
$453,645
Investments
575,508
400,991
55,122
10,548
1,042,169
1,212,023
Receivables:
Accounts
140,777
107,830
65,269
14,566
328,442
292,487
Interest
10,805
3,090
...
...
13,895
Other
...
496
...
...
496
-4,807
Due from other governments
...
3,141
...
3,141
2,802
Prepaid items
113
158
4,446
70
4,787
7,103
Inventory
26,097
...
...
...
26,097
27,905
Total Current Assets
975,136
631,552
195,040
162,468
1,964,196
2,010,772
Restricted Assets:
Cash and equivalents
415,409
756,820
...
...
1,172,229
563,733
Investments
1,151,515
1,658,003
2,809,518
2,028,301
Total Restricted Assets
1,566,924
2,414,823
3,981,747
2,592,034
Other Assets:
Deferred charges
68,477
145,902
...
...
214,379
254,967
Property, Plant and Equipment
Land
224,209
1,239,920
...
...
1,464,129
1,494,254
Water system
8,562,929
...
...
...
8,562,929
8,304,721
Sewer sytem
...
12,300,474
...
12,300,474
11,903,085
Improvements other than buildings
...
...
454,807
454,807
436,190
Machinery and equipment
286,613
338,289
791,905
97,528
1,514,335
1,439,171
9,073,751
13,878,683
791,905
552,335
24,296,674
23,577,421
Less accumulated depreciation
2,718,794
3,254,566
543,204
52,672
6,569,236
5,938,766
Net Property, Plant and Equipment
6,354,957
10,624,117
248,701
499,663
17,727,438
17,638,655
TOTAL ASSETS
$8,965,494
$13,816,394
$443,741
$662,131
$23,887,760
$22,496,428
61
WATER SEWER SANITATION STORMWATER
LIABILITIES AND FUND EQUITY FUND FUND FUND FUND
TOTALS
1999 1998
Liabilities:
Current Liabilities
(payable from current assets):
Accounts payable
$51,886
$65,655
$35,181
$3,534
$156,256
$159,186
Contracts payable
...
...
...
20,338
20,338
28,777
Other accrued expenses
40,497
19,913
12,806
1,897
75,113
57,470
Interfund payables
3,262
4,893
4,247
978
13,380
12,244
Total Current Liabilities
(payable from current assets)
95,645
90,461
52,234
26,747
265,087
257,677
Current Liabilities
(payable from restricted assets):
Deposits
89,459
...
...
...
89,459
86,225
Accrued interest
76,969
105,787
...
...
182,756
185,146
Revenue bonds
52,200
127,800
180,000
175,000
Total Current Liabilities
(payable from restricted assets)
218,628
233,587
452,215
446,371
Long -Term Liabilites:
Revenue bonds (net of current portion
and deferred refunding amount)
4,500,892
6,086,705
10,587,597
10,747,388
Total Long -Term Liabilities
4,500,892
6,086,705
10,587,597
10,747,388
Total Liabilities
4,815,165
6,410,753
52,234
26,747
11,304,899
11,451,436
Fund Equity:
Contributed capital
1,681,977
5,353,154
101,722
136,547
7,273,400
5,575,594
Retined Earnings:
Reserved for debt service
163,214
112,861
...
...
276,075
360,146
Reserved for expansion
1,185,082
1,939,626
...
...
3,124,708
1,785,517
Unreserved
1,120,056
289,785
498,837
1,908,678
3,323,735
Total Retained Earnings
2,468,352
2,052,487
289,785
498,837
5,309,461
5,469,398
Total Fund Equity
4,150,329
7,405,641
391,507
635,384
12,582,861
11,044,992
TOTAL LIABILITIES AND FUND EQUITY
$8,965,494
$13,816,394
$443,741
$662,131
$23,887,760
$22,496,428
62
CITY OF CLERMONT, FLORIDA
ENTERPRISE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS
FOR THE YEAR ENDED SEPTEMBER 30, 1999
WITH COMPARATIVE TOTALS FOR THE YEAR ENDED SEPTEMBER 30, 1998
WATER SEWER SANITATION STORMWATER
FUND FUND FUND FUND
Operating Revenues
TOTALS
1999 1998
Charges for services
$1,635,027
$1,161,148
$720,037
$156,864
$3,673,076
$3,198,692
Miscellaneous
5,615
1,402
7,236
14,253
70,620
Total Operating Revenues
1,640,642
1,162,550
727,273
156,864
3,687,329
3,269,312
Operating Expenses:
Personal services
385,799
341,905
273,528
89,842
1,061,074
920,045
Utilities
165,024
178,457
...
...
343,481
270,090
Dumping fees
...
...
287,212
21,791
309,003
294,843
Administrative services
92,090
89,242
37,200
8,100
226,632
186,694
Repair and maintenance
175,602
63,098
39,646
13,966
292,312
280,474
Depreciation
244,354
306,577
76,173
18,783
645,887
630,083
Professional services
66,905
23,783
95,067
2,093
187,848
164,254
Insurance
10,261
14,739
11,118
1,853
37,971
48,824
Operating supplies
66,229
19,262
25,442
1,445
112,378
99,485
Office expense
21,763
16,368
4,860
1,196
44,187
31,358
Bad debt
4,062
2,627
913
1,500
9,102
5,925
Total Operating Expenses
1,232,089
1,056,058
851,159
130,569
3,269,875
2,932,075
Operating Income (Loss)
408,553
106,492
(123,886)
26,295
417,454
337,237
Nonoperating Revenues (Expenses):
Interest revenue
59,568
105,338
7,315
5,818
178,039
203,272
Interest expense
(254,737)
(356,754)
...
...
(611,491)
(619,460)
G rants/contributions
...
...
3,141
3,141
99,953
Change in fair value
3,266
991
4,257
Total Nonoperating
Revenues (Expenses)
(191,903)
(250,425)
10,456
5,818 _
(426,054)
(316,235)
Income (Loss) Before
Operating Transfers
216,650
(143,933)
(113,430)
32,113
(8,600)
21,002
Operating transfers (out)
(142,218)
(8,406)
(396)
(317)
(151,337)
(117,743)
Net Income (Loss)
74,432
(152,339)
(113,826)
31,796
(159,937)
(96,741)
Retained Earnings - October 1
2,393,920
2,204,826
403,611
467,041
5,469,398
5,566,139
RETAINED EARNINGS - SEPTEMBER 30
$2,468,352
$2,052,487
$289,785
$498,837
$5,309,461
$5,469,398
63
CITY OF CLERMONT, FLORIDA
ENTERPRISE FUNDS
COMBINING STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED SEPTEMBER 30, 1999
WITH COMPARATIVE TOTALS FOR THE YEAR ENDED SEPTEMBER 30, 1998
Cash Flows From Operating Activities:
Charges for services
Cash payments to suppliers
Cash payments for employee services
Net Cash Provided (Used)
By Operating Activities
Cash Flows From NonCapital
Financing Activities:
Operating transfers out
Grants/contributions
Net Cash Provided (Used) By
NonCapital Financing Activities
Cash Flows From Capital and
Related Financing Activities:
Acquisition and construction of capital assets
Principal paid
Interest paid
Contributed capital
Sale of assets
Net Cash Provided (Used) By Capital and
Related Financing Activities
Cash Flows From Investing Activities:
Interest
Investment sales
Investment purchases
Net Cash Provided (Used)
By Investing Activities
Net Increase (Decrease)
in Cash and Equivalents
Cash and Equivalents at Beginning of Year
Cash and Equivalents at End of Year
WATER
SEWER
SANITATION
STORMWATER
TOTALS
FUND
FUND
FUND
FUND
1999
1998
$1,612,389
$1,167,002
$721,314
$157,408
$3,658,113
$3,214,484
(620,226)
(345,990)
(493,955)
(101,548)
(1,561,719)
(1,291,369)
(376,848)
(334,042)
(272,232)
(59,172)
(1,042,294)
(920,752)
615,315
486,970
(44,873)
(3,312)
1,054,100
1,002,363
(142,218)
(8,406)
(396)
(317)
(151,337)
(117,743)
...
2,802
2,802
97,151
(142,218)
(8,406)
2,406
(317)
(148,535)
(20,592)
(288,709)
(420,280)
(37,189)
(27,056)
(773,234)
(1,042,298)
(50,750)
(124,250)
...
...
(175,000)
(170,000)
(232,392)
(320,693)
...
(553,085)
(560,006)
625,977
1 ,061 ,829
...
136,832
1,697,806
879,425
30,125
...
30,125
64,126
226,731
(37,189)
(27,056)
226,612
(892,879)
59,568
102,248
7,315
5,818
174,949
203,272
...
...
10,303
289
10,592
344,837
(273,287)
(344,411)
(617,698)
(613,085)
(213,719)
(242,163)
17,618
6,107
(432,157)
(64,976)
323,504
463,132
(62,038)
(24,578)
700,020
23,916
313,741
412,675
129,100
161,862
1,017,378
993,462
$637,245
$875,807
$67,062
$137,284
$1,717,398
$1,017,378
64
WATER SEWER SANITATION STORMWATER
FUND FUND FUND FUND
TOTALS
1999 1998
Reconciliation of Operating Income To Net Cash
Provided By Operating Activities:
Operating income (loss)
$408,553
$106,492
($123,886)
$26,295
$417,454
$337,237
Adjustments to Reconcile Operating Income
to Net Cash Provided by Operating Activities:
Depreciation
244,354
306,577
76,173
18,783
645,887
630,083
Change in Assets and Liabilities:
Decrease (Increase) in receivables
(31,486)
4,452
(5,959)
544
(32,449)
(59,131)
Decrease (Increase) in prepaids
579
802
579
356
2,316
2,518
Decrease (Increase) in inventory
1,809
...
...
...
1,809
(9,501)
Increase (Decrease) in deposits
3,233
...
...
...
3,233
4,303
Increase (Decrease) in accrued expenses
8,675
7,450
931
588
17,644
(7,687)
Increase (Decrease) in payables
(20,402)
61,197
7,289
(49,878)
(1,794)
104,541
Total Adjustments
206,762
380,478
79,013
(29,607)
636,646
665,126
Net Cash Provided (Used) by Operating Activities
$615,315
$486,970
($44,873)
($3,312)
$1,054,100
$1,002,363
65
- ti���� w%i = r r
INTERNAL SERVICE FUND
The Internal Service Fund is used to account for the financing of
goods or services provided by one department to the other
departments on a cost reimbursement basis.
GROUP SELF-INSURANCE FUND
To account for the City's retention of risk financing arising from
employee medical and dental expense claims. Costs are billed
based on historical costs and to the various departments.
CITY OF CLERMONT, FLORIDA
GROUP SELF INSURANCE FUND
COMPARATIVE BALANCE SHEETS
SEPTEMBER 30, 1999 AND 1998
TOTALS
ASSETS 1999 1998
Cash and equivalents $ ... $9,525
Investments 64,281 107,223
TOTAL ASSETS $64,281 $116,748
LIABILITIES AND FUND EQUITY
Liabilities:
Accounts payable $20,349 $32,324
Retained Earnings:
Unreserved 43,932 84,424
TOTAL LIABILITIES AND FUND EQUITY $64,281 $116,748
CITY OF CLERMONT, FLORIDA
GROUP SELF INSURANCE FUND
COMPARATIVE STATEMENT OF REVENUES, EXPENSES
AND CHANGES IN RETAINED EARNINGS
FOR THE YEARS ENDED SEPTEMBER 30, 1999 AND 1998
TOTALS
1999
1998
Operating Revenues:
Charges for services
$367,882
$331,166
Insurance stop -loss payments
43,795
2,978
Total Operating Revenues
411,677
334,144
Operating Expenses:
Re -insurance premiums
49,886
42,904
Administrative fees
20,793
19,280
Medical claims
386,894
286,767
Total Operating Expenses
457,573
348,951
Operating Income (Loss)
(45,896)
(14,807)
Nonoperating Revenues:
Interest revenue
5,404
6,400
Net Income (Loss)
(40,492)
(8,407)
Retained Earnings - October 1
84,424
92,831
RETAINED EARNINGS - SEPTEMBER 30
$43,932
$84,424
67
CITY OF CLERMONT, FLORIDA
GROUP SELF INSURANCE FUND
COMPARATIVE STATEMENT OF CASH FLOWS
FOR THE YEARS ENDED SEPTEMBER 30, 1999 AND 1998
TOTALS
1999
1998
Cash Flows From Operating Activities:
Cash received from customers
$411,677
$334,144
Cash payments to suppliers
(70,679)
(62,184)
Cash payments for medical claims
(398,869)
(264,0.10
Net Cash Provided (Used) By Operating Activities
(57,871)
7,950
Cash Flows From Investing Activities:
Interest
5,404
6,400
Investment purchase
...
(68,517)
Investment sales
42,942
Net Cash Provided(Used) By Investing Activities
48,346
(62,117)
Net Decrease in Cash
(9,525)
(54,167)
Cash at Beginning of Year
9,525
63,692
Cash at End of Year
$9,525
Reconciliation of Operating Income to Net Cash
Provided (Used) By Operating Activities:
Operating income (loss) ($45,896) ($14,807)
Adjustments to Reconcile Operating Income to Net Cash
Provided (Used) By Operating Activities:
Increase (Decrease) in payables (11,975) 22,757
Net Cash Provided (Used) By Operating Activities ($57,871) $7,950
68
FIDUCIARY FUND TYPES
TRUST FUNDS
Trust Funds are used to account for assets held by the City in a
trustee capacity.
PENSION TRUST FUNDS:
GENERAL EMPLOYEES PENSION TRUST FUND
To account for the accumulation of resources to be sued for the
retirement annuities of all full-time permanent employees, except
police officers and firefighters. The City maintains defined benefit
and defined contribution plans for its general employees. Annual
contributions made to the defined benefit plan are in accordance with
an actuarial study, whereas, a fixed percentage of employees
salaries is used in determining the annual contribution to the defined
contribution plan.
POLICE OFFICERS PENSION TRUST FUND
To account for the accumulation of resources to be used for the
retirement annuities of all police officers. The state contributes
money based upon the number of police officers and the City
contributes an amount determined by an actuarial study.
FIREFIGHERS PENSION TRUST FUND
To account for the accumulation of resources to be used for the
retirement annuities of all firefighters. The state contributes money
based upon the number of firefighters and the City contributes an
amount determined by an actuarial study.
NON -EXPENDABLE TRUST FUND:
CEMETERY PERPETUAL CARE FUND
To account for monies provided by people buying lots in the City
cemetery. The principal must be kept separate and apart from all
other funds, but the interest may be transferred to the General Fund
to defray the cost of cemetery operation and maintenance.
EXPENDABLE TRUST FUND:
COMMUNITY REDEVELOPMENT FUND
To account for funds administered by Downtown Clermont
Redevelopment Agency. The agency is authorized to use the funds
to finance community redevelopment projects within the downtown
area.
CITY OF CLERMONT, FLORIDA
COMBINING BALANCE SHEET
FIDUCIARY FUND TYPES
SEPTEMBER 30, 1999 AND 1998
EXPENDABLE PENSION
NON -
TRUST TRUST
EXPENDABLE
FUND FUNDS
TRUST
COMMUNITY
CEMETERY
REDEVELOP- PUBLIC
PERPETUAL
TOTALS
MENT FUND EMPLOYEES
CARE
1999
1998
ASSETS
Cash and equivalents
$ 17,515 $
$ 18,478
$ 35,993 $
12,023
Investments
... 5,025,852
289,847
5,315,699
4,724,129
Interfund receivable
50,583
50,583
37,837
Total Assets
$17,515 $5,076,435
$308,325
$5,402,275
$4,761,966
FUND BALANCES
Reserved for downtown redevelopment
$ 17,515 $
$
$ 17,515 $
...
Net assets held in trust for
pension benefits
... 5,076,435
...
5,076,435
4,490,156
Reserved for cemetery care
308,325
308,325
283,833
Total Fund Balance
$17,515 $5,076,435
$308,325
$5,402,275
$4,773,989
69
ASSETS
Cash and equivalents
TOTAL ASSETS
FUND BALANCE
Fund Balance:
CITY OF CLERMONT, FLORIDA
EXPENDABLE TRUST FUND
COMMUNITY REDEVELOPMENT FUND
COMPARATIVE BALANCE SHEET
SEPTEMBER 30, 1999 AND 1998
TOTALS
1999
$17,515
$17,515
Reserved for downtown redevelopment $17,515 $
1998
70
CITY OF CLERMONT, FLORIDA
EXPENDABLE TRUST FUND
COMMUNITY REDEVELOPMENT FUND
COMPARATIVE STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
FOR THE YEARS ENDED SEPTEMBER 30, 1999 AND 1998
TOTAL
1999 1998
Revenues:
Ad valorem taxes $ 12,276 $
Interest 820
Total Revenues 13,096
Other financing sources
Operating transfer in 4,419
Excess of revenues and other
financing sources over expenditures 17,515
Fund Balance - Beginning of Year
Fund Balance - End of Year $ 17,515 $
71
CITY OF CLERMONT, FLORIDA
PENSION TRUST FUNDS
COMPARATIVE STATEMENT OF PLAN NET ASSETS
SEPTEMBER 30, 1999 AND 1998
GENERAL EMPLOYEES
Defined Defined Police Firemen
Benefit Contribution Pension Pension
ASSETS
TOTALS
1999 1998
Investments (at fair value) $1,046,095 $1,174,398 $2,141,687 $663,672 $5,025,852 $4,452,319
Receivables
Interfund 32,625 17,958 50,583 37,837
TOTAL ASSETS $1,046,095 $1,207,023 $2,159,645 $663,672 $5,076,435 $4,490,156
LIABILITIES
Net assets held in trust
for pension benefits
$1,046,095 $1,207,023 $2,159,645
$663,672 $5,076,435 $4,490,156
72
Additions
Contributions
Employer
Plan members
State
Total Contributions
Investment income
Less: Investment expenses
Net investment income
Total Additions
Deductions
Benefits
Net increase
Net assets held in
trust for pension benefits
Beginning of year
End of Year
CITY OF CLERMONT, FLORIDA
PENSION TRUST FUNDS
COMBINING STATEMENT OF CHANGES IN PLAN NET ASSETS
FOR THE YEARS ENDED SEPTEMBER 30, 1999 AND 1998
GENERAL EMPLOYEES TOTALS
Defined Defined Police Firemen
Benefit Contribution Pension Pension 1999 1998
$109,334 $24,833 ... $134,167 $147,449
... 7,006 1,035 8,041 6,773
. 80,472 40,611 121,083 116,246
109,334
112,311
41,646
127,599
127,459
237,007
69,929
5,341
5,008
6,335
5,203
122,258
122,451
230,672
64,726
122,258
231,785
342,983
106,372
75,920
66,862
73,106
1,231
46,338
164,923
269,877
105,141
21,887 46,564
217,119 189,676
586,279 323,195
999,757
1,042,100
1,889,768
558,531
4,490,156
4,166,961
$1,046,095
$1,207,023
$2,159,645
$663,672
$5,076,435
$4,490,156
73
CITY OF CLERMONT, FLORIDA
NONEXPENDABLE TRUST FUND
CEMETERY PERPETUAL CARE FUND
COMPARATIVE BALANCE SHEET
SEPTEMBER 30, 1999 AND 1998
TOTALS
ASSETS 1999 1998
Cash and equivalents
Investments
TOTAL ASSETS
FUND BALANCE
Fund Balance:
Reserved for cemetery care
$18,478 $12,023
$308,325 $283,833
$308,325 $283,833
74
CITY OF CLERMONT, FLORIDA
NONEXPENDABLE TRUST FUND
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED SEPTEMBER 30, 1999
WITH COMPARATIVE TOTALS FOR THE YEAR ENDED SEPTEMBER 30, 1998
TOTALS
Cash Flows from Operating Activities:
Cash received from customers
Cash payments to suppliers
Net Cash Provided by Operating Activities
Cash Flows from Investing Activities:
Investment purchases
Cash Flows from Non -capital Financing Activities:
Interest receivable tranferred to General Fund
Net Increase in Cash and Equivalents
Cash and Equivalents at Beginning of Year
Cash and Equivalents at End of Year
Reconciliation of Operating Income to Net Cash
Provided by Operating Activities:
Operating Income
Net Cash Provided by Operating Activities
1999
1998
$24, 625
$22, 795
(133)
24,492
22,795
(18, 037)
(22, 850)
(4,204)
6,455
4,149
12,023 7,874
$18,478 $12,023
$24,492 $22,795
75
CITY OF CLERMONT, FLORIDA
NONEXPENDABLE TRUST FUND
CEMETERY PERPETUAL CARE FUND
COMPARATIVE STATEMENT OF REVENUES, EXPENSES AND CHANGES IN FUND BALANCE
FOR THE YEARS ENDED SEPTEMBER 30, 1999 AND 1998
TOTALS
1AAA 1AAR
Operating Revenues:
Sales - cemetery lots $24,625 $22,795
Operating Expenses:
Operating supplies 133 ...
Operating income 24,492 22,795
Fund Balance - Beginning of Year 283,833 261,038
Fund Balance - End of Year $308,325 $283,833
76
ACCOUNT GROUPS
ACCOUNT GROUPS
GENERAL FIXED ASSETS ACCOUNT GROUP
This is a self -balancing account group used to record the fixed assets
of the City that are not used in proprietary fund operations or
accounted for in trust funds.
GENERAL LONG-TERM DEBT ACCOUNT GROUP
This is a self -balancing account group used to record the principal
portion of the City's general long-term debt that is not related to the
proprietary fund operations or accounted for in trust funds.
CITY OF CLERMONT, FLORIDA
SCHEDULE OF GENERAL FIXED ASSETS BY SOURCES
FOR THE YEAR ENDED SEPTEMBER 30, 1999
WITH COMPARATIVE TOTALS FOR THE YEAR ENDED SEPTEMBER 30, 1998
TOTALS
1999 1998
General Fixed Assets:
Land
$1,535,811
$1,404,972
Buildings
2,911,970
2,838,468
Improvements other than buildings
5,751,296
5,098,309
Equipment and vehicles
2,526,485
2,136,808
Total General Fixed Assets
$12,725,562
$11,478,557
Investments in General Fixed Assets From:
Capital Projects Funds:
Revenue bonds
$2,302,411
$2,302,411
Federal, state and local grants
720,247
537,747
General Fund revenues
6,662,141
5,747,478
Special Revenue Fund revenues
2,406,786
2,256,944
Gifts and other
633,977
633,977
Total Investment in General Fixed Assets
$12,725,562
$11,478,557
77
CITY OF CLERMONT, FLORIDA
SCHEDULE OF GENERAL FIXED ASSETS
BY FUNCTION
AS OF SEPTEMBER 30, 1999
IMPROVEMENTS
OTHER THAN
FUNCTION TOTAL LAND BUILDINGS BUILDINGS EQUIPMENT
General government
$712,305
$208,848
$25,186
$ ...
$478,271
Public safety
2,668,235
183,458
1,133,820
...
1,350,957
Physical environment
1,165,445
47,168
721,814
98,938
297,525
Transportation
2,456,016
...
...
2,371,878
84,138
Culture/recreation
5,242,376
868,229
945,880
3,134,107
294,160
Older assets not maintained by function
481,185
228,108
85,270
146,373
21,434
TOTAL GENERAL FIXED ASSETS
$12,725,562
$1,535,811
$2,911,970
$5,751,296
$2,526,485
78
CITY OF CLERMONT, FLORIDA
SCHEDULE OF CHANGES IN GENERAL FIXED ASSET
BY FUNCTION
AS OF SEPTEMBER 30, 1999
GENERAL
GENERAL
FIXED
FIXED
ASSETS
ASSETS
FUNCTION
9/30/98
ADDITIONS DEDUCTIONS
9/30/99
General government
$422,528
$289,777 $ ...
$712,305
Public safety
2,477,849
190,386 ...
2,668,235
Physical environment
1,126,423
39,022 ...
1,165,445
Transportation 2,399,068 56,948 ... 2,456,016
Culture/recreation 4,571,504 670,872 ... 5,242,376
Older assets not maintained by function 481,185 481,185
TOTAL GENERAL FIXED ASSETS $11,478,557 $1,247,005 $ $12,725,562
79
CITY OF CLERMONT, FLORIDA
SCHEDULE OF GENERAL LONG-TERM DEBT
SEPTEMBER 30, 1999
WITH COMPARATIVE TOTALS FOR SEPTEMBER 30, 1998
TOTALS
Amount To Be Provided For The Payment of General Long -Term Debt
Amount available for principal payment in debt service fund $66,667 $61,667
Amount to be provided 1,122,395 919,812
Total to be Provided $1,189,062 $981,479
General Lon -Term Debt Pavable
Revenue bonds payable $765,000 $950,000
Note payable - System upgrade & firetruck 397,000 ...
Note payable - Library 27,062 31,479
Total General Long -Term Debt Payable $1,189,062 $981,479
80
STATISTICAL SECTION
Statistical tables differ from financial statements because they cover
more than ❑ne fiscal year and may present non -accounting data.
These tables reflect social and economic data, financial trends, and
the fiscal capacity of the City.
CITY OF CLERMONT, FLORIDA
COMMENTS ON THE STATISTICAL SECTION
SEPTEMBER 30, 1999
The following Statistical Tables recommended by the National
Council on Governmental Accounting are not included for the reasons
stated below:
• Tables that concern General Obligation
Debt are omitted because neither the
City nor other overlapping Governments
has incurred tax -supported debt.
• The Legal Debt Margin Computation
Table is not presented because there is
no law or ordinance that sets the
maximum amount of debt the City is
legally permitted to issue.
81
CITY OF CLERMONT, FLORIDA
GENERAL GOVERNMENTAL EXPENDITURES BY FUNCTION (1)
LAST TEN FISCAL YEARS
FISCAL
GENERAL
PUBLIC
PHYSICAL
YEAR
GOVERNMENT
SAFETY
ENVIRONMENT
1989-90
$464,818
$767,734
$99,084
1990-91
440,789
830,411
99,989
1991-92
397,880
931,441
101,512
1992-93
446,284
997,295
137,960
1993-94
420,678
1,017,962
144,789
1994-95
492,751
1,063,691
134,633
1995-96
561,876
1,257,255
112,794
1996-97
636,895
1,299,427
126,409
1997-98
808,901
1,633,630
152,476
1998-99
1,059,558
1,733,444
137,219
(1) Includes General and Special Revenue Funds
(2) Community Development Block Grant expenditures were included in
the 1992-93, 1995-96, 1996-97, 1997-98 and 1998-99 Fiscal Years.
82
TABLE 1
(2)
ECONOMIC
HUMAN
CULTURE AND
TRANSPORTATION
ENVIRONMENT
SERVICES
RECREATION
TOTAL
$442,340
$9,596
$18,703
$421,271
$2,223,546
330,476
9,283
13,665
435,748
2,160,361
249,736
11,817
13,650
503,764
2,209,800
283,169
545,518
15,317
518,837
2,944,380
257,539
14,065
17,034
573,517
2,445,584
413,565
10,895
17,141
934,829
3,067,505
448,615
89,101
20,191
1,145,205
3,635,037
912,130
247,422
20,974
1,205,642
4,448,899
589,385
416,930
24,150
743,864
4,369,336
437,386
36,111
25,794
1,347,959
4,777,471
83
CITY OF CLERMONT, FLORIDA
GENERAL REVENUE BY SOURCE (1)
LAST TEN FISCAL YEARS
LICENSES
FISCAL
AND
INTER -
YEAR
TAXES
PERMITS
GOVERNMENTAL
1989-90
$1,143,268
$25,688
$918,517
1990-91
1,281,612
28,917
786,966
1991-92
1,676,117
41,127
721,510
1992-93
1,793,267
40,054
857,841
1993-94
1,983,016
39,910
505,432
1994-95
2,142,822
67,549
576,484
1995-96
2,377,962
84,260
665,899
1996-97
2,497,102
97,347
988,581
1997-98
2,769,826
133,595
1,012,582
1998-99
3,171,446
149,702
872,081
(1) Includes General, Special Revenue and Debt Service Funds
84
CHARGES
FOR
SERVICES
$8,585
19,327
32,676
36,662
38,402
57,241
32,537
46,354
42,459
44,336
FINES
AND
FORFEITURES
TABLE 2
INTEREST
ON
INVESTMENTS MISCELLANEOUS TOTAL
$40,572
$144,963
$33,057
$2,314,650
69,571
106,962
66,917
2,360,272
90,039
84,415
55,515
2,701,399
75,224
49,740
154,318
3,007,106
91,066
9,906
122,270
2,790,002
152,020
86,600
510,081
3,592,797
151,879
102,405
244,904
3,659,846
128,047
81,605
224,626
4,063,662
160,522
85,140
293,853
4,497,977
108,720
86,799
311,494
4,744,578
CITY OF CLERMONT, FLORIDA
PROPERTY TAX LEVIES, TAX COLLECTIONS AND ASSESSED VALUATIONS
LAST TEN FISCAL YEARS
(2)
ESTIMATED (1) (4)
FISCAL TAX ACTUAL ASSESSED TAX
YEAR YEAR VALUE VALUATION RATE
1989-90
1989
$157, 547, 919
$141, 793,127
2.429
1990-91
1990
164,683,728
148,215,355
2.729
1991-92
1991
185,301,076
166,770,968
2.729
1992-93
1992
190,878,314
171,790,483
2.729
1993-94
1993
190,036,425
171,032,783
2.979
1994-95
1994
206,921,182
186,229,064
2.979
1995-96
1995
228,727,934
205,855,141
2.979
1996-97
1996
236,824,197
213,141,778
2.979
1997-98
1997
274,964,642
247,468,178
2.979
1998-99
1998
324,049,311
291,644,380
2.979
(1) Final gross taxable assessed valuation per Lake County Property Appraiser's
form DR-422.
(2) The Florida Department of Revenue has certified the Lake County tax rolls
as being at least 90% of the estimated actual value of property within the
County. T here u1C, hle est1111a1Cu actual values shown are ca1GUIdlIU115
based on the 90% certification.
(3) Outstanding delinquent taxes are not available from the Lake County Property
Appraiser's office.
(4) Tax rate per $1,000 of taxable valuation.
TABLE 3
RATIO OF
RATIO OF
CURRENT TAX
(3)
TOTAL TAX
COLLECTIONS
DELINQUENT
TOTAL
COLLECTIONS
TAX
CURRENT TAX
TO TOTAL
TAX
TAX
TO TOTAL
LEVY
COLLECTIONS
LEVY
COLLECTIONS
COLLECTIONS
TAX LEVY
$344,416
$333,058
96.7%
$191
$333,249
96.8%
404,480
392,259
97.0%
1,095
393,354
97.2%
455,118
439,404
96.5%
2,045
441,449
97.0%
468,816
452,756
96.6%
496
453,252
96.7%
509,504
494,226
97.0%
631
494,857
97.1 %
554,776
538,217
97.0%
893
539,110
97.2%
613,242
592,529
96.6%
2,406
594,935
97.0%
634,949
608,205
95.8%
9,224
617,429
97.2%
737,207
700,112
95.0%
9,841
709,953
96.3%
868,809
836,304
96.3%
1,604
837,908
96.4%
87
CITY OF CLERMONT, FLORIDA
PROPERTY TAX RATES - DIRECT AND ALL OVERLAPPING GOVERNMENTS (1)
LAST TEN FISCAL YEARS
(2)
LAKE ,
COUNTY
FISCAL
TAX
LAKE
SCHOOL
YEAR
YEAR
CITY
COUNTY
DISTRICT
1989-90
1989
2.429
4.938
8.451
1990-91
1990
2.729
4.938
8.749
1991-92
1991
2.729
4.938
8.880
1992-93
1992
2.729
4.864
9.005
1993-94
1993
2.979
5.135
8.938
1994-95
1994
2.979
5.135
8.515
1995-96
1995
2.979
4.927
9.678
1996-97
1996
2.979
4.909
9.228
1997-98
1997
2.979
4.733
9.100
1998-99
1998
2.979
4.733
9.190
(1) Information was obtained from the City of Clermont tax rolls, as prepared by
the Lake County Property Appraiser's office.
(2) Tax rate per $1,000 of taxable valuation.
m
TABLE 4
OKLAWAHA
SOUTH LAKE
ST. JOHNS RIVER
WATER
HOSPITAL
WATER MANAGEMENT
DISTRICT
DISTRICT
DISTRICT
TOTAL
0.621
2.000
0.346
18.785
0.771
2.000
0.358
19.545
0.751
2.000
0.358
19.656
0.740
2.000
0.358
19.696
0.517
2.000
0.470
20.039
0.400
2.000
0.482
19.511
0.384
2.000
0.482
20.450
0.384
2.000
0.482
19.982
0.384
2.000
0.482
19.678
0.384
2.000
0.482
19.768
CITY OF CLERMONT, FLORIDA
WATER AND SEWER CUSTOMER DATA
LAST TEN FISCAL YEARS
NUMBER OF CUSTOMERS
FISCAL
WATER
YEAR
RESIDENTIAL
COMMERCIAL
1989-90
N/A
N/A
1990-91
N/A
N/A
1991-92
2419
355
1992-93
2484
1993-94
2526
385
1994-95
3136
392
1995-96
3483
391
1996-97
3987
439
1997-98
4549
447
1998-99
5009
490
SEWER
RESIDENTIAL
COMMERCIAL
N/A
N/A
N/A
N/A
1849
307
1893
313
1931
330
1978
350
2334
358
2770
386
3099
388
3328
443
Source: Water and Sewer Customer Data Reports as of September 30
TABLE 5
ANNUAL
WATER
USAGE
(GAL)
448,388,000
440,624,000
429,716,000
465,789,000
493, 821, 000
482,962,000
630,763,000
833,834,000
1, 087, 078, 000
1,146,663,000
CITY OF CLERMONT, FLORIDA
UTILITY REVENUE BOND COVERAGE - ALL UTILITY REVENUE BONDS
LAST TEN FISCAL YEARS
TOTAL (1)
FISCAL SYSTEM OPERATING
YEAR REVENUES EXPENSES
1989-90
$1, 343, 909
$731, 397
1990-91
1,295,653
743,715
1991-92
1,283,276
725,969
1992-93
1,306,683
794,614
1993-94
1,315,271
956,638
1994-95
1,569,180
948,234
1995-96
1,997,673
1,038,809
1996-97
2,277,479
1,240,707
1997-98
2,641,987
1,514,280
1998-99
2,968,098
1,737,216
(1) Excludes interest expense and depreciation.
(2) Maximum debt service in any subsequent year is $724,400.
91
TABLE 6
(2)
DEBT
NET SERVICE
REVENUES REQUIREMENTS COVERAGE
$612,512
$327,330
1.87%
551,938
335,579
1.64%
557,307
339,689
1.64%
512,069
338,256
1.51 %
358,633
290,083
1.24%
620,946
326,420
1.90%
958,864
509,355
1.88%
1,036,772
708,660
1.46%
1,127,707
711,250
1.59%
1,230,882
726,858
1.69%
92
CITY OF CLERMONT, FLORIDA
DEMOGRAPHIC STATISTICS
LAST TEN FISCAL YEARS
TABLE 7
(2)
(3)
FISCAL
(1)
SCHOOL
UNEMPLOYMENT
YEAR
POPULATION
ENROLLMENT
RATE
1989-90
6,910
1,897
6.2%
1990-91
6,910
1,975
8.7%
1991-92
6,930
2,169
7.4%
1992-93
7,013
1,482
4.3%
1993-94
7,174
1,629
8.1 %
1994-95
7,233
1,787
5.0%
1995-96
7,291
2,381
5.2%
1996-97
7,582
2,180
3.1 %
1997-98
8,202
2,412
2.2%
1998-99
8,861
3,683
2.7%
DATA SOURCES:
(1) College of Business Administration, University of Florida - Bureau of Economic
and Business Research.
(2) Figures represent grades K-9 in public schools.
Source - Lake County School Board
(3) Information available on countywide basis only. Data was obtained from the
Florida Department of Labor, Bureau of Labor Market Information.
93
CITY OF CLERMONT, FLORIDA
PROPERTY VALUE, CONSTRUCTION AND BANK DEPOSITS
LAST TEN FISCAL YEARS
(2)
(2)
COMMERCIAL
RESIDENTIAL
CONSTRUCTION
CONSTRUCTION
FISCAL
# OF
# OF
YEAR
UNITS
VALUE
UNITS
VALUE
1989-90
7
$367,000
48
$3,036,250
1990-91
1
480,000
12
1,214,600
1991-92
6
1,902,000
28
2,177,500
1992-93
4
5,551,684
46
3,051,541
1993-94
2
402,000
26
2,091,200
1994-95
2
450,000
19
1,412,837
1995-96
17
6,735,881
157
10,386,535
1996-97
14
3,340,805
289
17,797,703
1997-98
13
24,686,500
333
21,414,385
1998-99
5
17,725,000
492
34,375,122
DATA SOURCES:
(1) Information available on countywide basis only.
Data was obtained from the Florida Bankers Association.
(2) City of Clermont zoning clearances.
(3) Taxable assessed valuation per Lake County Property Appraiser's from DR-422.
(4) Non-taxable assessed valuation per Lake County Property Appraiser's office.
M
(1)
BANK
DEPOSITS
$1,523,941,000
1,624,935,000
1,628,750,000
1,632,882,000
1,701,038,000
1,718,591,000
1,776,670,000
2,035,941,000
2,421,416,000
2,563,111,000
ASSESSED TAXABLE
PROPERTY VALUE
(3)
TAXABLE
$141, 793,127
148,215,355
166,770,968
171,790,483
171,032,783
186,229,064
205,855,141
213,141,778
247,468,178
291,644,380
(4)
NONTAXABLE
$47,279,344
47,907,074
49,624,516
50,404,700
56,272,383
56,910,019
58,399,561
65,771,140
75,608,647
82,258,004
95
CITY OF CLERMONT, FLORIDA
PRINCIPAL TAXPAYERS
TABLE 9
PERCENTAGE
ASSESSED
OF TOTAL
VALUATION
ASSESSED
TAXPAYER
AS OF 1/1/99
VALUATION
CPF Property Investments, Inc.
$8,442,695
2.89%
8556 Palm Parkway
Orlando, FL 32836
Hurtak, Family Partnership Ltd.
5,245,529
1.80%
525 NE 58th Street
Miami, FL 33137
Lennar Land Partners 5,015,934 1.72%
1110 Douglas Avenue, Suite 2040
Altamonte Springs, FL 32714
Lucas Clermont Limited Partnership 4,872,525 1.67%
209 E. State Street
Columbus, OH 43215
Health Care Reit, Inc. 4,132,211 1.42%
P.O. Box 1475
Toledo, OH 43603
Mercator Properties, Inc. 4,071,765 1.40%
P.O. Box 2310
Minneola, FL 34755
Lakeworth MHP, Ltd. 4,038,969 1.38%
5603 N. State Road 7
Ft. Lauderdale, FL 33319
Lennar Homes, Inc. 3,503,757 1.20%
700 NW 107th Avenue
Miami, FL 33172
Westminster Community Care 2,967,576 1.02%
Services, Inc.
80 W. Lucerne Circle
Orlando, FL 32801
Levitt Homes, Inc. 2,460,989 0.84%
7777 Glade Rd., Ste. 410
Boca Raton, FL 33434
TOTAL 44.751,950
Source: 2000 City of Clermont Tax Roll, prepared by the Lake County Property
Appraiser's office. 96
CITY OF CLERMONT, FLORIDA
EMPLOYER
Lake County School System
South Lake Hospital
Westminister Care of Clermont
City of Clermont
CBS Industries
Publix
KMart
Exceletech, Inc.
Rolling Hills Ford
Winn Dixie
LARGEST EMPLOYERS
TABLE 10
NUMBER OF
INDUSTRY EMPLOYEES
Education
Health Care
Retirement and Nursing
Municipality
Construction Supplies
Grocery
Retail
Steel Fabrication/Erection
Automobile Dealer
Grocery
221
216
120
113
104
83
83
65
65
50
CITY OF CLERMONT, FLORIDA
SCHEDULE OF INSURANCE COVERAGES
SEPTEMBER 30, 1999
POLICY
TYPE OF COVERAGE & INSURER NUMBER
LIABILITY
Florida Municipal Liability
Self Insurer's Program
WORKERS COMPENSATION
Florida Municipal Self
Insurers Fund
FIRE AND EXTENDED COVERAGE
Florida Municipal Property
Self -Insurers Program
FMIT 101
FMIT 101
FMIT 101
EXPIRATION
DATE
9/30/99
9/30/99
9/30/99
K3
TABLE 11
DETAILS LIMITS
General Liability $100,000/Person
Bodily Injury Liability $200,000/Occurrence
Auto Liability
Law Enforcement Liability
Specific Excess Liability $1,500,000/Occurrence
Public Officials Errors $1,500,000/Occurrence
and Omissions Liability
Finance Director -Bond $100,000
Public Employees Blanket Bond $5,000
Accidental Death-Police/Fire $50,000
Statutory
Workers Compensation $100,000/500,000
per Schedule
Blanket Building and Property $18,788,340
CITY OF CLERMONT, FLORIDA
MISCELLANEOUS STATISTICAL DATA
SEPTEMBER 30, 1999 TABLE 12
Date of Incorporation 1916
Present Charter Adopted 1962
Form of Government Council -Manager
Number of Council Members Five (5)
Term of Office
Mayor/Council Members Two Years (2)
City Manager Appointed
Area of City
Municipal Boundaries 11.26 square miles
Miles of Streets 48
Number of Streetlights 775
Fire Protection
Number of Stations
1
Number of Volunteer Firefighters
33
Number of Full-time Firefighters
5
Number of Fire Hydrants
642
Police Protection
Number of Stations
2
Number of Sworn Personnel
24
Education
Number of Schools:
Elementary
3
Middle
1
9th Grade Center
1
Number of Teachers
191
Number of Students
3,683
Municipal Water Department
Number of Customers
5,499
Average Daily Consumption
3,141,542 gallons
Miles of Water Mains
101
Wastewater and Sanitary Sewers
Miles of Sanitary Sewer Lines
90
Miles of Storm Sewer Lines
20
Recreation and Culture
Number of Parks
23 with 110 acres
Number of Libraries
1
City Employees
Full -Time -
113
Part -Time
6
100
f
F w
L A
OTHER REPORTS
CLERMONT OFFICE
Herbert John Greenlee, Jr., C.P.A.
Jerry D. Brown, C.P.A.
Suzanne M. Wolfe, C.P.A.
1 GREENLEE
KURRAS
RICE &
BROWN, PA
CERTIFIED PUBLIC
ACCOUNTANTS
MOUNT DORA OFFICE
John S. Rice, C.P.A.
Patricia A. Sykes -Amos, C.P.A.
C. L. (Chip) Garner, C.P.A.
Dorothy A. Kurras, C.P.A.
John A. Powers, C.P.A.
Keire Rice Hosley, C.P.A.
David S. McDonald, C.P.A.
REPORT ON COMPLIANCE AND ON INTERNAL CONTROL OVER FINANCIAL
REPORTING BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED
IN ACCORDANCE WITH GO VERNMENTA UDITING STANDARDS
The Honorable Mayor and City Council
City of Clermont, Florida
We have audited the general purpose financial statements of City of Clermont, Florida as of and for the
year ended September 30, 1999, and have issued our report thereon dated February 18, 2000. We
conducted our audit in accordance with generally accepted auditing standards and the standards
applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller
General of the United States.
Compliance
As part of obtaining reasonable assurance about whether City of Clermont, Florida's general purpose
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 effect on the determination of financial statement amounts. However, providing an opinion on
compliance with those provisions was not an objective of our audit and, accordingly, we do not express
such an 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 Reporting
In planning and performing our audit, we considered City of Clermont, Florida's internal control over
financial reporting in order to determine our auditing procedures for the purpose of expressing our
opinion on the general purpose 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 general purpose 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.
MEMBER: FLORIDA INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS & AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS
605 Montrose Street 627 N. Donnelly Street
P.O. Box 120400 • Clermont, FL 34712-0400 P.O. Box 8 • Mount Dora, FL 32756-0008
(352) 394-3256 • Fax (352) 394-6910 1 0 1 (352) 383-6300 • Fax (352) 383-6356
This report is intended for the information of the City Council, management, and awarding agencies.
However, this report is a matter of public record and its distribution is not limited. _
Mount Dora, Florida
February 20, 2000
Z" / � z 4A� iz-14
102
CLERMONT OFFICE
Herbert John Greenlee, Jr., C.P.A.
Jerry D. Brown, C.P.A.
Suzanne M. Wolfe, C.P.A.
GREENLEE
KURRAS
(DICE &
BROWN, PA
CERTIFIED PUBLIC
ACCOUNTANTS
MANAGEMENT LETTER
The Honorable Mayor and City Council
City of Clermont, Florida
MOUNT DORA OFFICE
John S. Rice, C.P.A.
Patricia A. Sykes -Amos, C.P.A.
C. L. (Chip) Garner, C.P.A.
Dorothy A. Kurras, C.P.A.
John A —Powers, C.P.A.
Keire Rice Hosley, C.P.A.
David S. McDonald, C.P.A.
This report contains our comments as required by Chapter 10.554(1)(e), Rules of the Auditor General,
Local Governmental Entity Audits, for the City of Clermont, Florida, for the year ended September 30,
1999. --
Subparagraph (1) refers to whether inaccuracies or irregularities reported in the preceding annual
financial audit have been corrected. There were no such findings in the preceding annual financial audit.
Subparagraph (2) refers to whether recommendations made in the preceding annual audit have been
followed. There were no recommendations offered in the prior audit.
Subparagraph (3) refers to the City's being in a state of financial emergency during the fiscal year. The
City did not experience any of the conditions described in Section 218.503(1) of Florida Statutes.
Subparagraph (4) refers to the agreement of the financial report filed with the Department of Banking
and Finance pursuant to Section 218.32, Florida Statutes with the annual financial audit report. For the
year ended September 30, 1999, the financial report was in agreement in all respects.
Subparagraph (6) refers to recommendations to improve the City's accounting procedures and internal
controls. We continue to offer no recommendations.
Subparagraph (7) refers to violations of laws, rules and regulations discovered within the scope of the
financial audit. We noted no violations.
Subparagraph (8) refers to illegal or improper expenditures discovered within the scope of the financial
audit. We did not discover any illegal or improper expenditures.
Subparagraph (9)(a)(b) and (c) requires disclosure of improper or inadequate accounting procedures,
failures to properly record financial transactions, and other inaccuracies, irregularities, shortages, and
defalcations discovered. Our examination did not discover any of the above items which would require
disclosure. Adjustments were made to the City's's accounts for the year ended September 30, 1999.
All adjustments are reviewed with the City's Finance Director prior to delivery of this report.
MEMBER: FLORIDA INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS & AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS
605 Montrose Street 627 N. Donnelly Street
P.O. Box 120400 • Clermont FL 34712-0400 P.O. Box 8 • Mount Dora, FL 32756-0008
(352) 394-3256 • Fax (352) 394-6910 103 (352) 383-6300 • Fax (352) 383-6356
Subparagraph (10) requires disclosure of the official title and legal authority for the entity. The City of
Clermont was incorporated December 1916, under the laws of the State of Florida and operates under
the council-manager form of government under its charter adopted pursuant to H.B. 2223 Chapter 67-
1217, Special Acts 1967, of the State of Florida.
The foregoing conditions were considered in determining the nature, timing, and extent of the audit tests
to be applied in our examination of the City's financial statements, and this report does not affect our
report on these financial statements dated February 18, 2000.
This report is intended solely for the use of management and the State of Florida and should not be used
for any other purpose. This restriction is not intended to limit the distribution of this report which, upon
acceptance by the City of Clermont and the State of Florida, is a matter of public record.
Clermont, Florida
February 20, 2000
104