HomeMy WebLinkAbout2017 Comprehensive Annual Financial ReportCITY OF
COLLEYVILLE, TEXAS
COMPREHENSIVE ANNUAL FINANCIAL REPORT
YEAR ENDED SEPTEMBER 30, 2017
Prepared by
Finance Department
Shereen Gendy
Chief Financial Officer
Karen Hines
Accounting Manager
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CITY OF COLLEYVILLE, TEXAS
TABLE OF CONTENTS
YEAR ENDED SEPTEMBER 30, 2017
Page
Number
INTRODUCTORY SECTION
Letter of Transmittal ........................................................................................................... 3 – 8
Organizational Chart ........................................................................................................... 9
Certificate of Achievement ................................................................................................. 10
Principal Officials ............................................................................................................... 11
FINANCIAL SECTION
Independent Auditors’ Report............................................................................................. 15 – 17
Management’s Discussion and Analysis ............................................................................ 21 – 31
Basic Financial Statements
Statement of Net Position ................................................................................................ 34 – 35
Statement of Activities ..................................................................................................... 36 – 37
Balance Sheet – Governmental Funds ............................................................................. 38 – 39
Statement of Revenues, Expenditures and Changes in
Fund Balances – Governmental Funds ......................................................................... 40 – 41
Reconciliation of the Statement of Revenues, Expenditures
and Changes in Fund Balance of Governmental Funds to the
Statement of Activities .................................................................................................. 43
Statement of Revenues, Expenditures and Changes in
Fund Balances – Budget and Actual – General Fund ................................................... 45
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CITY OF COLLEYVILLE, TEXAS
TABLE OF CONTENTS
(Continued)
YEAR ENDED SEPTEMBER 30, 2017
Page
Number
FINANCIAL SECTION (Continued)
Basic Financial Statements (Continued)
Statement of Net Position – Proprietary Funds................................................................ 46
Statement of Revenues, Expenses and Changes in
Fund Net Position – Proprietary Funds ......................................................................... 47
Statement of Cash Flows – Proprietary Funds ................................................................. 48 – 49
Statement of Fiduciary Net Position – Fiduciary Funds .................................................. 50
Notes to the Financial Statements .................................................................................... 51 – 79
Required Supplementary Information
Schedule of Changes in Net Pension Liability and Related Ratios ................................. 82
Schedule of Contributions ................................................................................................ 83
Nonmajor Governmental Funds
Combining Balance Sheet ................................................................................................ 86 – 91
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances ............................................................................................ 92 – 97
Schedule of Revenues, Expenditures and Changes in
Fund Balance – Budget and Actual – Debt Service Fund ............................................ 98
Agency Funds
Combining Statement of Fiduciary Net Position ............................................................. 100
Combining Statement of Changes in Assets and Liabilities ............................................ 101
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CITY OF COLLEYVILLE, TEXAS
TABLE OF CONTENTS
(Continued)
YEAR ENDED SEPTEMBER 30, 2017
Page
STATISTICAL SECTION (Unaudited) Exhibit/Table Number
Net Position by Component .................................................................... 1 104 – 105
Changes in Net Position .......................................................................... 2 106 – 109
Fund Balances – Governmental Funds ................................................... 3 111
Changes in Fund Balances – Governmental Funds ................................ 4 112 – 113
Assessed Value and Estimated Actual Value
of Taxable Property.............................................................................. 5 114
Direct and Overlapping Property Tax Rates ........................................... 6 115
Principal Property Taxpayers .................................................................. 7 116
Property Tax Levies and Collections ...................................................... 8 117
Principal Water Customers ..................................................................... 9 119
Ratios of Outstanding Debt by Type ...................................................... 10 120
Ratios of General Bonded Debt Outstanding.......................................... 11 121
Direct and Overlapping Governmental Activities Debt .......................... 12 122
Legal Debt Margin Information .............................................................. 13 123
Pledged Revenue Coverage .................................................................... 14 124 – 125
Demographic and Economic Statistics ................................................... 15 126
Principal Employers ................................................................................ 16 127
Fulltime Equivalent City Government Employees by
Function/Program ................................................................................ 17 128
Operating Indicators by Function/Program ............................................ 18 129
Capital Asset Statistics by Function/Program......................................... 19 130
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CITY OF COLLEYVILLE, TEXAS
TABLE OF CONTENTS
(Continued)
YEAR ENDED SEPTEMBER 30, 2017
Page
Number
COMPLIANCE
Independent Auditors’ Report on Internal Control Over Financial
Reporting and on Compliance and Other Matters Based on an
Audit of Financial Statements Performed in Accordance with
Government Auditing Standards ...................................................................................... 133 – 134
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INTRODUCTORY SECTION
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March 2, 2018
To the Citizens of the City of Colleyville:
The Comprehensive Annual Financial Report of the City of Colleyville (the "City") for the fiscal year
ended September 30, 2017, is hereby submitted. Responsibility for both the accuracy of the data, and
completeness and fairness of the presentation, including all disclosures, rests with the City. To the best
of our knowledge and belief, the enclosed data are accurate in all material respects and are reported in a
manner designed to present fairly the financial position, results of operations and cash flows of the various
funds of the City. All disclosures necessary to enable the reader to gain an understanding of the City's
financial activities have been included.
In developing and evaluating the City's accounting system, consideration is given to the adequacy of
internal accounting controls. These controls are designed to provide reasonable, but not absolute,
assurance regarding the safeguarding of assets against loss from unauthorized use or disposition, and the
reliability of financial records for preparing financial statements and maintaining accountability for assets.
The concept of reasonable assurance recognizes that the cost of a control should not exceed the benefits
likely to be derived, and the evaluation of costs and benefits requires estimates and judgments by
management. We believe that the City's current system of internal controls ad equately safeguards assets
and provides reasonable assurance of proper recording of financial transactions.
As required by the City’s charter, the financial statements have been audited by Pattillo, Brown & Hill,
L.L.P., a firm of certified public accountants. The goal of the independent audit was to provide reasonable
assurances that the financial statements of the City of Colleyville for the fiscal year ended September 30,
2017, are free of material misstatement. The independent audit involved examining on a test basis,
evidence supporting the amounts and disclosures in the financial statements; assessing the accounting
principles used and significant estimates made by management; and evaluating the overall financial
statement presentation. The independent auditor concluded, based upon the audit, that there was a
reasonable basis for rendering an unmodified opinion that the City of Colleyville’s financial statements
for fiscal year ended September 30, 2017, are presented in conformity with generally accepted accounting
principles (GAAP).
As required by GAAP, management provides a narrative introduction, overview and analysis to accompany
the basic financial statements in the form of Management’s Discussion and Analysis (MD&A). This letter
of transmittal is designed to complement the MD&A and should be read in conjunction with it. The City’s
MD&A can be found immediately following the independent auditors report.
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PROFILE OF THE GOVERNMENT
On January 10, 1956, the City of Colleyville was incorporated and adopted a home-rule charter on January
15, 1977. It has a Council-Manager form of government with policy making and legislative authority
vested in a governing body consisting of a Mayor and six Council members. The Mayor and Council are
responsible for passing ordinances, adopting the budget, appointing board and committee members, and
hiring the City Manager. The City Manager is responsible for carrying out the policies and ordinances of
the Mayor and Council, overseeing the day-to-day operations of the City, and appointing department
heads. The Mayor and six Council members are elected on an at large, non-partisan basis for three year
terms. The three year terms are staggered so that the Mayor and City Council persons from Place 1 and
2 are elected in year one, City Council persons from Places 3 and 4 are elected in year two, and City
Council persons from Places 5 and 6 are elected in year three.
The City provides a full range of municipal services. These services include police and fire protection,
municipal court, streets, drainage utility, leisure services (parks and recreation, Colleyville Center and
library), water and sewer, engineering/community development, and general administrative services.
Based upon the criterion set forth in generally accepted accounting principles, the following organizations
are includable within the City's reporting entity:
Entity Method of Inclusion
Colleyville Economic Development Corporation (CEDC) Blended
Colleyville Crime Control and Prevention District Blended
Colleyville Tax Investment Financing Reinvestment Zone
Zone Number One (TIF) Discretely Presented
The City Charter of the City of Colleyville establishes the fiscal year as October 1 through September 30.
The Charter requires the City Manager to submit a proposed budget and accompanying budget message
to the City Council each year and the proposed budget is presented to the City Council at a budget work
session. After public hearings at two consecutive regular City Council meetings, the Council may adopt
the proposed budget, with or without amendment. The budget ordinance is to be adopted no later than the
30th day of September and requires an affirmative vote of a majority of the Council. The City maintains
budgetary control by adopting an annual operating budget for the General Fund, Debt Service Fund,
Drainage Utility Fund, and Water and Wastewater Enterprise Fund. Detail control is maintained at the
line item level by encumbering available funds at the time a purchase order is written. Encumbrances
lapse at fiscal year-end, but can be re-appropriated through a budget amendment during the following
fiscal year. The City Manager is authorized to transfer budgeted amounts between departments within
any fund. However, any revisions that alter the total expenditures of any fund must be approved by the
City Council.
LOCAL ECONOMY
The City of Colleyville is a primarily residential-oriented community located 11 miles northeast of the
City of Fort Worth, 22 miles northwest of Dallas and 5 miles west of Dallas/Fort Worth International
Airport in Northeast Tarrant County. During the fiscal year, the City issued 137 residential building
permits, and the average appraised value of a residential property was $492,188. The City issued 98
certificates of occupancy for new, remodeled, and expanding businesses. The City’s strong economy
supports a 95% occupancy rate of existing retail and office spaces.
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In fiscal year 2017, commercial developments continued to bring new tenants and sales tax dollars to
Colleyville including:
• Pet Supermarket
• Brazos Running Company
• Loveria Café
• Vitality Bowls
• Costa Vida (underwent a major renovation)
• McAllister’s (underwent a major renovation)
• Sofie Tel Diaz Real Estate Office
• English Rose Organic Spa
In addition to these new businesses and tenants, Colleyville expects to see the following developments in
the near future:
• Chipotle is taking over the previous Taco Casa site and is remodeling the building inside and
outside (currently under construction)
• A new ±8,000 square foot office building behind Dallas Craft Co. on SH 121
• A new ±9,000 square foot wedding & event venue (Mont Claire) off of Colleyville Boulevard in
the Winding Creek development
Transportation projects completed in fiscal year 2017 include street rehabilitation of Bedford Road phase
II, Brown Trail, Cheek Sparger Road, Glade Road phases II & IV, Hunter Lane, John McCain Road phase
I (Westcoat Drive to Pleasant Run Road) and Westcoat Drive (White Drive to McDonwell School Road).
Transportation projects in progress at the end of fiscal year 2017 are State Highway 26/Colleyville
Boulevard (construction of Phases II and III), Glade Road phase 1A and Pleasant Run Road (Shelton
Drive to John McCain Road).
For the Future. In fiscal year 2018, major transportation projects include rehabilitation of Frontier
Court, John McCain Road (Pleasant Run to State Highway 26/Colleyville Boulevard), L.D. Lockett
Road, Roberts Road and Glade Road phases 1B and 2. The 2018 local street maintenance program
includes the rehabilitation of Stafford Drive, Manning Drive, Bluebonnet Drive, Montclair Drive, Oak
Knoll Drive, Wayne Drive, Pleasant Run Road (John McCain North City Limit), Thompson Terrace,
Oak Timbers Court and Bowman Drive.
FINANCIAL INFORMATION:
Financial Policies
The City of Colleyville operates under financial policies that include multiple components to provide
consistency, clarity, and appropriate statutory compliance in the City’s financial processes. The City’s
Charter provides a strong foundation, outlining requirements for the annual budget, monthly financial
reports, and annual audit. Additional policies such as the Investment Policy which is reviewed annually
by the City Council and the Fund Balance Policy which is reviewed every three years by the Audit
Committee provide further details and guidance. Decisions are also made in accordance with any existing
bond covenants or state law.
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Long Term Financial Planning
In Fiscal Year 2005, the City Council adopted a Fund Balance Policy requiring a ninety day reserve for
fund balance in both the General Fund and the Utility Fund. In Fiscal Year 2011, the policy was updated
to reflect the designations of non-spendable, restricted, committed, assigned and unassigned as required
by GASB 54 and was reviewed for update in Fiscal Year 2017. At the end of Fiscal Year 2017, both the
General Fund and the Utility Fund have a fund balance in excess of the required ninety day reserve.
Amount in excess of the reserve may be used to fund one-time capital expenditures.
In June 2016, the City Council held a priority setting work session, at which eight consensus priorities
were identified (listed below).
• Property tax relief
• Restructure water rates
• Accelerate the street capital program
• Improve the Comprehensive Plan
• Fiscal stewardship
• Revise the City Charter
• Improve Glade Road design
• Manage SH26 project impacts
A few months later in January 2017, the City Council held a Visioning Workshop and created a new
Strategic Plan, with support from an outside facilitator and senior staff. The Strategic Plan included an
updated Vision, Mission, and Values. The Strategic Plan also articulated six overall goals and several
strategies to achieve each, as shown below. For each strategy identified, one or more objectives were
assigned. This included incorporating the original consensus priorities (above) into the new Strategic Plan
objectives.
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Staff’s role is to manage City activities and finances in a way that reflects the City Council’s and the
community’s highest priorities. Development of the annual budget is guided by the priorities outlined in
the City of Colleyville’s Strategic Plan. Every new effort and element of the City’s budget, including
existing programs, is tied to one or more of these goals, strategies, and objectives.
In fiscal year 2017, departments created Business Plans, which identify their core services, as well as
strengths and opportunities for each. Each core service is also linked to one or more objectives in the
City’s Strategic Plan, providing linkages and responsibility for furthering the City’s goals. Department
business plans are updated in advance of, and ultimately drive, all budget requests. The future outlook
section of the Business Plans ensures that staff is constantly monitoring needs and trends on the horizon.
As a part of the annual budget process, an updated five-year forecast for the General Fund, Utility Fund,
Drainage Fund, and Debt Service Fund is presented to the City Council with the proposed budget. The
budget process also includes an annual update of the five-year capital improvement program
(CIP). Projects in the CIP are funded from a variety of sources including the Capital Projects Fund, Utility
Capital Projects Fund, the Tax Increment Financing (TIF) District Fund, or Special Revenue Funds. The
Capital Projects Fund accounts for money transferred from the General Fund for use on capital projects,
street impact fees, perimeter street fees, and other funds for general capital projects. For internal reporting
and tracking, a Utility Capital Projects Fund was created in Fiscal Year 2017 to account for money
transferred from the Utility Fund (the operating fund) for use on utility capital projects, water impact fees,
and wastewater impact fees. For the Comprehensive Annual Financial Reporting (CAFR) purposes, the
activity for the Utility Fund and the Utility Capital Projects funds are combined as the Water and
Wastewater Fund.
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In Fiscal Year 2017, the ad hoc Water and Wastewater Rate citizen committee recommended creation of
a “CIP” base rate on utility bills to generate funding for utility capital projects, which was ultimately
adopted by the City Council. The revenue from the CIP base rate is also accounted for in the Utility
Capital Projects Fund. Risk to the City is minimized under the new utility rate structure adopted in Fiscal
Year 2016, which recovers all of the City’s distribution and collection costs in the base rate component
and costs related to the purchase of treated water or wastewater treatment are recovered in the volumetric
component of the rate. For the next several years, utility capital projects will be funded using available
cash in the Utility Capital Projects Fund, which will be replenished with revenue from the CIP base rate
over time.
AWARDS AND ACKNOWLEDGEMENTS
Awards. 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 Colleyville for
its comprehensive annual financial report for the fiscal year ended September 30, 2016. This was the
twenty eighth consecutive year that the City has received this prestigious award. In order to be awarded
a Certificate of Achievement, a government must publish an easily readable and efficiently organized
comprehensive annual financial report. This report must satisfy both generally accepted accounting
principles and applicable legal requirements.
A Certificate of Achievement is valid for a period of one year only. We believe that our current
comprehensive annual financial report continues to meet the Certificate of Achievement Program's
requirements and we are submitting it to GFOA to determine its eligibility for another certificate.
In addition, the City also received the GFOA’s Distinguished Budget Presentation award for its annual
budget dated October 1, 2016. In order to qualify for this award, the City’s budget document was judged
to be proficient in several categories, including as a policy document, a financial plan, an operations guide,
and a communications device.
Acknowledgements. The preparation of this report could not be accomplished on a timely basis without
the dedicated endeavors of the entire staff of the Finance Department. We would like to express our
sincere appreciation to all employees who contributed to the preparation. Additionally, we would also
like to thank the Mayor, City Council, and City Manager for their support in planning and conducting the
financial operations of the City in a responsible and progressive manner.
Respectfully submitted,
Shereen Gendy, MSA, CPA, CGFO
Chief Financial Officer
Karen Hines
Accounting Manager
As of 9/30/2017
CITY
COUNCIL
CITIZENS OF COLLEYVILLE
ZONING
BOARD OF
ADJUSTMENT
PLANNING AND
ZONING
COMMISSION
LIBRARY
BOARD
AD HOC
COMMITTEES
PARKS AND
RECREATION
ADVISORY
BOARD
SIGN
BOARD OF
APPEALS
CRIME CONTROL
AND PREVENTION
DISTRICT
BOARD
TAX INCREMENT
FINANCING
DISTRICT BOARD
CITY MANAGER
Jerry Ducay
CITY ATTORNEY
Whitt Wyatt MUNICIPAL COURT
JUDGE
Sara Jane del Carmen
COLLEYVILLE
CENTER MANAGER
Leslie Hill
LIBRARY AND
RECREATION DIRECTOR
Mary Rodne
COMMUNITY
DEVELOPMENT
DIRECTOR
Ben Bryner
ASSISTANT CITY MANAGER/
DIRECTOR OF PUBLIC SAFETY
Mike Holder
PUBLIC WORKS DIRECTOR
Jeremy Hutt
FIRE CHIEF
Brian Riley
CHIEF FINANCIAL
OFFICER
Shereen Gendy
CITY SECRETARY
Amy Shelley
ENGINEERING
CONSTRUCTION MANAGEMENT & INSPECTION
WATER AND WASTEWATER OPERATIONS
STREET MAINTENANCE & DRAINAGE
BUILDING MAINTENANCE
FLEET MAINTENANCE
FIRE/EMS OPERATIONS
INSPECTIONS
INVESTIGATIONS
EMERGENCY MANAGEMENT
UTILITY BILLING
MUNICIPAL COURT
PATROL
INVESTIGATIONS
CODE ENFORCEMENT
BUILDING
INSPECTION
PLANNING
INFORMATION
SERVICES MANAGER
Chris Pena
STRATEGIC SERVICES
MANAGER
Adrienne Lothery
GIS
COLLEYVILLE
ECONOMIC
DEVELOPMENT
CORPORATION
HUMAN RESOURCES
DIRECTOR
Rachel Huitt
ASSISTANT CITY MANAGER (Interim)/
EXECUTIVE DIRECTOR OF
ECONOMIC DEVELOPMENT and COMMUNICATIONS
Mark Wood
PARKS MANAGER
Heather Dowell
COLLEYVILLE
CENTER
ADVISORY
BOARD
EVENTS
STEERING
COMMITTEE
HISTORICAL
PRESERVATION
COMMITTEE
SENIOR
CENTER
COMMUNICATIONS &
MARKETING
Dustin Dangli
SH 26 PROJECT
COORDINATOR
James Hubbard
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Government Finance Officers Association
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
City of Colleyville
Texas
For its Comprehensive Annual
Financial Report
for the Fiscal Year Ended
September 30, 2016
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CITY OF COLLEYVILLE, TEXAS
HOME RULE, COUNCIL – MANAGER
FORM OF GOVERNMENT
CITY OFFICIALS
YEAR ENDED SEPTEMBER 30, 2017
Richard Newton
Mayor
Tammy Nakamura
Councilmember, Place 1
Bobby Lindamood
Mayor Pro Tem and
Councilmember, Place 2
Kathy Wheat
Councilmember, Place 3
George W. Dodson
Councilmember, Place 4
Nancy Coplen
Councilmember, Place 5
Mike Taylor
Councilmember, Place 6
Jerry Ducay
City Manager
Shereen Gendy
Chief Financial Officer
Karen Hines
Accounting Manager
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FINANCIAL SECTION
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INDEPENDENT AUDITORS’ REPORT
To the Honorable Mayor and
Members of the City Council
City of Colleyville, Texas
Report on the Financial Statements
We have audited the accompanying financial statements of the governmental activities, the
business-type activities, the discretely presented component unit, each major fund, and the aggregate
remaining fund information of City of Colleyville, Texas, as of and for the year ended September 30,
2017, and the related notes to the financial statements, which collectively comprise the City of
Colleyville, Texas’ basic financial statements as listed in the table of contents.
Management’s Responsibility for the Financial Statements
The City of Colleyville’s management is responsible for the preparation and fair presentation of
these financial statements in accordance with accounting principles generally accepted in the United
States of America; this includes the design, implementation, and maintenance of internal control relevant
to the preparation and fair presentation of financial statements that are free from material misstatement,
whether due to fraud or error.
Auditors’ Responsibility
Our responsibility is to express opinions on these financial statements based on our audit. We
conducted our audit in accordance with auditing standards generally accepted in the United States of
America and the standards applicable to financial audits contained in Government Auditing Standards,
issued by the Comptroller General of the United States. Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the financial statements are free from
material misstatement.
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An audit involves performing procedures to obtain audit evidence about the amounts and
disclosures in the financial statements. The procedures selected depend on the auditor’s judgment,
including the assessment of the risks of material misstatement of the financial statements, whether due to
fraud or error. In making those risk assessments, the auditor considers internal control relevant to the
entity’s preparation and fair presentation of the financial statements in order to design audit procedures
that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also
includes evaluating the appropriateness of accounting policies used and the reasonableness of significant
accounting estimates made by management, as well as evaluating the overall presentation of the financial
statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a
basis for our audit opinions.
Opinions
In our opinion, the financial statements referred to above present fairly, in all material respects,
the respective financial position of the governmental activities, the business-type activities, the discretely
presented component unit, each major fund, and the aggregate remaining fund information of the City of
Colleyville, Texas, as of September 30, 2017, and the respective changes in financial position, and,
where applicable, cash flows thereof and the respective budgetary comparison for the General Fund, for
the year then ended in accordance with accounting principles generally accepted in the United States of
America.
Other Matters
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the
management’s discussion and analysis, schedule of changes in net pension liability and related ratios and
schedule of contributions, on pages 21 – 31 and 82 – 83 be presented to supplement the basic financial
statements. Such information, although not a part of the basic financial statements, is required by the
Governmental Accounting Standards Board, who considers it to be an essential part of financial
reporting for placing the basic financial statements in an appropriate operational, economic, or historical
context. We have applied certain limited procedures to the required supplementary information in
accordance with auditing standards generally accepted in the United States of America, which consisted
of inquiries of management about the methods of preparing the information and comparing the
information for consistency with management’s responses to our inquiries, the basic financial
statements, and other knowledge we obtained during our audit of the basic financial statements. We do
not express an opinion or provide any assurance on the information because the limited procedures do
not provide us with sufficient evidence to express an opinion or provide any assurance.
Other Information
Our audit was conducted for the purpose of forming opinions on the financial statements that
collectively comprise the City of Colleyville, Texas’ basic financial statements. The introductory section,
combining and individual nonmajor fund financial statements and schedules, and statistical section, are
presented for purposes of additional analysis and are not a required part of the basic financial statements.
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The combining and individual nonmajor fund financial statements and schedules are the
responsibility of management and were derived from and relate directly to the underlying accounting and
other records used to prepare the basic financial statements. Such information has been subjected to the
auditing procedures applied in the audit of the basic financial statements and certain additional
procedures, including comparing and reconciling such information directly to the underlying accounting
and other records used to prepare the basic financial statements or to the basic financial statements
themselves, and other additional procedures in accordance with auditing standards generally accepted in
the United States of America. In our opinion, the combining and individual nonmajor fund financial
statements and schedules are fairly stated in all material respects in relation to the basic financial
statements as a whole.
The introductory and statistical sections have not been subjected to the auditing procedures
applied in the audit of the basic financial statements and, accordingly, we do not express an opinion or
provide any assurance on them.
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated March
2, 2018, on our consideration of the City of Colleyville, Texas’ internal control over financial reporting
and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant
agreements and other matters. The purpose of that report is to describe the scope of our testing of
internal control over financial reporting and compliance and the results of that testing, and not to provide
an opinion on internal control over financial reporting or on compliance. That report is an integral part of
an audit performed in accordance with Government Auditing Standards in considering City of
Colleyville, Texas’ internal control over financial reporting and compliance.
Waco, Texas
March 2, 2018
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19
MANAGEMENT’S
DISCUSSION AND ANALYSIS
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Management’s Discussion and Analysis
As management of the City of Colleyville, we offer readers of the City’s financial statement this
narrative overview and analysis of the financial activities of the City for the fiscal year ended September
30, 2017. We encourage readers to consider the information presented here in conjunction with
additional information that we have furnished in our letter of transmittal, which can be found on pages 3
– 8 of this report.
FINANCIAL HIGHLIGHTS
• The assets of the City of Colleyville exceeded its liabilities as of September 30, 2017,
by $205,882,475 (net position). Of this amount, $38,608,197 (unrestricted net
position) may be used to meet the City’s ongoing obligations to citizens and creditors
in accordance with the City’s fund designation and fiscal policies.
• The City’s total net position increased by $3,764,661 from FY 2017 operations.
• As of the close of the current fiscal year, the City of Colleyville’s governmental funds
reported combined ending fund balances of $40,531,493. Of this amount, $8,866,760
is unassigned fund balance available for use within the City’s fund designation and
fiscal policies.
• As of September 30, 2017, unreserved, unassigned fund balance for the General Fund
was $8,866,760 or 43.6% of the total General Fund expenditures.
OVERVIEW OF THE FINANCIAL STATEMENTS
This discussion and analysis is intended to serve as an introduction to the City’s basic financial
statements. The City’s basic financial statements are comprised of three components: (1) government-
wide financial statements, (2) fund financial statements and (3) notes to the financial statements. This
report also contains other supplementary information in addition to the basic financial statements
themselves.
Government-wide financial statements – The government-wide financial statements, which begin on
page 34 of this report, are designed to provide readers with a broad overview of the City’s finances, in a
manner similar to a private-sector business.
The Statement of Net Position presents information on all of the City’s assets, liabilities, and deferred
inflows/outflows of resources, with the difference between the two reported as net position. Over time,
increases or decreases in net position may serve as a useful indicator of whether the financial position of
the City is improving or deteriorating.
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The Statement of Activities presents information showing how the City’s net position changed during
the fiscal year. All changes in net position are reported when the underlying event giving rise to the
change occurs, regardless of the timing of related cash flows.
Thus, revenues and expenses are reported in this statement for some items that will only result in cash
flows in the future fiscal periods (e.g., uncollected taxes and earned but unused compensated absences).
Both of the government-wide financial statements distinguish functions of the City that are principally
supported by taxes and intergovernmental revenues (governmental activities) from functions that are
intended to recover all or a significant portion of their costs through user fees and charges (business-type
activities). The governmental activities of the City include General Government, Community
Development and Engineering, Fire and Rescue, Leisure Services, Maintenance, Municipal Court,
Police, and Streets and Drainage. The business-type activities of the City include Water and Wastewater,
and Drainage Utility.
Fund financial statements – A fund is a grouping of related accounts th at is used to maintain control
over resources that have been segregated for specific activities or objectives. The City, like other state
and local governments, uses fund accounting to ensure and demonstrate compliance with finance -related
legal requirements. All of the funds of the City can be divided into three categories: governmental funds,
proprietary funds, and fiduciary funds. The fund financial statements for governmental funds,
proprietary funds, and fiduciary funds can be found in the financial section of this report.
Governmental Funds – Governmental funds are used to account for essentially the same functions
reported as governmental activities in the government-wide financial statements. However, unlike the
government-wide financial statements, governmental fund financial statements focus on current sources
and uses of spendable resources, as well as on balances of spendable resources available at the end of
the fiscal year. Such information may be useful in evaluating a government’s near-term financing
requirements.
Because the focus of governmental funds is narrower than that of the government-wide financial
statements, it is useful to compare the information presented for governmental funds with similar
information presented for governmental activities in the government-wide financial statements. By
doing so, readers may better understand the long-term impact of the government’s near-term financing
decisions. Both the governmental funds balance sheet and the governmental fund statements of
revenues, expenditures, and changes in fund balances provide a reconciliation to facilitate this
comparison between governmental funds and governmental activities.
Beginning on page 38 of this report, information is presented separately in the Governmental Fund
Balance Sheet and in the Governmental Fund Statement of Revenues, Expenditures, and Changes in
Fund Balances for the General Fund, Capital Projects and Debt Service Fund, all of which are
considered to be major funds. Data from the other governmental funds are combined into a single,
aggregated presentation. Individual fund data for each of these non-major governmental funds is
provided in the form of combining statements elsewhere in this report.
Proprietary Funds – The City maintains one type of proprietary fund. Enterprise Funds are used to
report the same functions presented as business-type activities in the government-wide financial
statements. The City uses Enterprise Funds to account for the Water and Wastewater and Drainage
Utility Funds.
23
Proprietary funds provide the same type of information as the government-wide financial statements,
only in more detail. The basic proprietary fund financial statements which begin on page 46 of this
report provide separate information for the Water and Wastewater and Drainage Utility Enterprise Funds
since these are considered to be major funds of the City.
Fiduciary Funds – Fiduciary funds are used to account for resources held for the benefit of parties
outside the City. Fiduciary funds are not reflected in the government-wide financial statements because
the resources of those funds are not available to support the City’s own programs. The Fiduciary fund
statement is presented on page 50. The accounting used for fiduciary funds is similar to the accounting
used for proprietary funds. The City has two agency funds: Employee activity and Sesquicentennial
Fund. Agency funds are one of the City’s fiduciary fund types. The agency funds account for funds held
in an agency capacity for the benefit of the City employees and for the benefit of the City’s historical
purposes.
Notes to the Financial Statements – The notes provide additional information that is essential to a full
understanding of the data provided in the government-wide and fund financial statements. The notes to
the financial statements can be found on pages 51 – 79 of this report.
Other Information – In addition to the basic financial statements and accompanying notes, this report
also presents combining fund statements and schedules that further support the information in the
financial statements. The combining fund statements and schedules for nonmajor funds are presented
immediately following the notes to the financial statements beginning on page 86 of this report.
GOVERNMENTAL-WIDE FINANCIAL ANALYSIS
As noted earlier, net position may serve over time as a useful indicator of government’s financial
position. In the case of the City of Colleyville, assets exceeded liabilities by $205,882,475 as of
September 30, 2017.
The largest portion of the City’s net position ($144,005,069) reflects its investments in capital assets
(e.g., land, building, equipment, improvements, construction in progress and infrastructure), less any
outstanding debt used to acquire those assets. The City uses these capital assets to provide service to
citizens; consequently, these assets are not available for future spending. Although the City’s investment
in its capital assets is reported net of related debt, it should be noted that the resources needed to repay
this debt must be provided from other sources, since the capital assets themselves cannot be used to
liquidate these liabilities.
24
CITY OF COLLEYVILLE’S NET POSITION
2017 2016 2017 2016 2017 2016
Current and other assets 44,138,502$ 44,128,921$ 20,613,149$ 18,131,916$ 64,751,651$ 62,260,837$
Capital assets 112,067,401 111,178,574 44,698,792 45,067,040 156,766,193 156,245,614
Total assets 156,205,903 155,307,495 65,311,941 63,198,956 221,517,844 218,506,451
Deferred outflow of resources 3,354,608 4,730,558 496,362 723,084 3,850,970 5,453,642
Total deferred outflow
of resources 3,354,608 4,730,558 496,362 723,084 3,850,970 5,453,642
Other liabilities 3,565,444 3,997,794 1,960,547 1,862,421 5,525,991 5,860,215
Long-term liabilities 13,393,803 15,158,243 534,348 780,000 13,928,151 15,938,243
Total liabilities 16,959,247 19,156,037 2,494,895 2,642,421 19,454,142 21,798,458
Deferred inflow of resources 28,414 38,650 3,783 5,171 32,197 43,821
Total deferred inflow
of resources 28,414 38,650 3,783 5,171 32,197 43,821
Net position:
Net investment in
capital assets 99,881,334 97,982,160 44,123,735 44,010,618 144,005,069 141,992,778
Restricted 23,269,209 22,064,007 - - 23,269,209 22,064,007
Unrestricted 19,422,307 20,797,199 19,185,890 17,263,830 38,608,197 38,061,029
Total net position 142,572,850$ 140,843,366$ 63,309,625$ 61,274,448$ 205,882,475$ 202,117,814$
Governmental Activities Business-type Activities Totals
A portion of the City’s net position ($23,269,209) represents resources that are subject to external
restriction on how they may be used. The remaining balance ($38,608,197) of unrestricted net position
may be used to meet the City’s ongoing obligation to citizens and creditors in accordance with the City’s
fund designation and fiscal policies.
As of September 30, 2017, the City has positive balances in all three categories of net position, both for
the City as a whole, as well as for its governmental and business-type activities separately. The increase
of $1,729,484 in net position relating to governmental activities is primarily due to the deferred outflow
of resources related to the City’s defined benefit pension plan administered by the Texas Municipal
Retirement System (TMRS). Deferred outflows arise with differences between expected and actual plan
expenditures and earnings, or changes in plan and actuarial assumptions. These deferred outflows
represent future pension expenditures. The plan, including the related notes and disclosures, is discussed
in detail starting on page 73 of the report. The increase in net position of business type activities
$2,035,177 is related to an increase in the deferred outflows of resources related to the TMRS defined
benefit pension plan and a decrease in liabilities in the fund. As of September 30, 2017, the city had
$1.1M in capital projects outstanding that are funded by the business-type activities. Pleasant Run John
McCain to Tinker Waterline Replacement ($765k), John McCain 12” Waterline Replacement ($321k)
and Replacement of 6” and 8” wastewater pipelines ($12k). Tiered rates which have been in place since
December 2012 were replaced with a flat rate structure in July 2016. The flat rate provides a more
equitable basis for our residents by charging a flat base rate that varies depending on the meter size
(rather than consumption) and a flat volumetric rate per thousand gallons of usage. The new rate
structure gave the residents a relief from high water bills in summer months.
Risk to the City is minimized under the new utility rate structure adopted in Fiscal Year 2016, which
recovers all of the City’s distribution and collection costs in the base rate component and costs related to
the purchase of treated water or wastewater treatment are recovered in the volumetric component of the
rate.
25
Analysis of the City’s Operations – The following table provides a summary of the City’s operations
for the year ended September 30, 2017. Governmental activities increased the City of Colleyville’s net
position by $1,729,484. Business-type activities contributed an increase to the City’s net position of
$2,035,177.
CITY OF COLLEYVILLE’S CHANGES IN NET POSITION
2017 2016 2017 2016 2017 2016
Revenues:
Program revenues:
Charges for services 4,296,470$ 4,459,223$ 16,941,965$ 16,453,801$ 21,238,435$ 20,913,024$
Operating grants
and contributions 507,616 514,845 - - 507,616 514,845
Capital grants
and contributions 1,302,174 319,541 481,413 43,104 1,783,587 362,645
General revenues:
Ad valorem taxes 14,548,461 13,790,347 - - 14,548,461 13,790,347
Sales taxes 7,304,507 7,252,963 - - 7,304,507 7,252,963
Franchise taxes 2,105,881 2,206,890 - - 2,105,881 2,206,890
Other taxes 263,587 106,607 - - 263,587 106,607
Investment earnings 148,933 142,343 100,525 76,014 249,458 218,357
Miscellaneous 168,865 150,630 - - 168,865 150,630
Gain on sale of
capital assets 17,000 51,849 - 71,003 17,000 122,852
Total revenues 30,663,494 28,995,238 17,523,903 16,643,922 48,187,397 45,639,160
Expenses:
General government 4,881,741 4,449,317 - - 4,881,741 4,449,317
Community development
and engineering 1,672,823 1,558,750 - - 1,672,823 1,558,750
Fire and rescue 5,524,975 4,783,421 - - 5,524,975 4,783,421
Leisure services 4,987,965 4,701,443 - - 4,987,965 4,701,443
Maintenance 1,243,614 689,861 - - 1,243,614 689,861
Municipal court 606,269 448,420 - - 606,269 448,420
Police 6,093,309 5,734,116 - - 6,093,309 5,734,116
Streets and drainage 3,578,365 5,150,390 - - 3,578,365 5,150,390
Water and wastewater - - 14,779,262 13,995,038 14,779,262 13,995,038
Drainage - - 646,145 563,268 646,145 563,268
Interest on
long-term debt 408,268 614,159 - - 408,268 614,159
Total expenses 28,997,329 28,129,877 15,425,407 14,558,306 44,422,736 42,688,183
Increases in net position
before transfers 1,666,165 865,361 2,098,496 2,085,616 3,764,661 2,950,977
Transfers 63,319 895,668 63,319)( 895,668)( - -
Change in net position 1,729,484 1,761,029 2,035,177 1,189,948 3,764,661 2,950,977
Net position, beginning 140,843,366 139,082,337 61,274,448 60,084,500 202,117,814 199,166,837
Prior period adjustments - - - - - -
Net position, ending 142,572,850$ 140,843,366$ 63,309,625$ 61,274,448$ 205,882,475$ 202,117,814$
Governmental Activities Business-type Activities Totals
26
FINANCIAL ANALYSIS OF THE GOVERNMENT’S FUNDS
Governmental funds – The focus of the City of Colleyville’s governmental funds is to provide
information on near-term inflows, outflows, and balances of spendable resources. Such information is
useful in assessing the City’s financing requirements. In particular, unassigned fund balance may serve
as a useful measure of a government’s net resources available for spending at the end of the fiscal year.
In fiscal year 2017, the governmental funds’ unrestricted fund balance increased by $147,140 due to a
number of factors. The General Fund is the only governmental fund that can have an unrestricted fund
balance. The total General Fund revenue was over $900,000 above budget, including $600,000 in tax
revenue (property taxes, sales taxes and franchise taxes). Colleyville benefits fro m a strong residential
base which helps mitigate the negative effects of economic fluctuations. Despite the property tax rate
reduction, the General Fund’s property tax revenue was more than $400,000 above budget. The excess
revenue combined with the city’s successful efforts to cut down on expenditures eliminated the need to
spend the $1 million budgeted strategic draw down of the fund balance. Also, in fiscal year 2017, the
City Council provided direction to transfer the excess fund balance above 100 days of reserves ( policy
minimum requires 90 day reserve) to the Capital Projects Fund to fund future capital projects. The fiscal
year 2017 excess fund balance allowed Council to authorize a transfer of $582,012 to the Capital
Projects Fund, in addition to the originally budgeted transfers of $2,425,000, for a net increase in the
Capital Projects Fund balance of $3,007,012. The aforementioned transfers from the General Fund to the
Capital Projects Fund were contained within funds that are in the governmental fund classification and
did not change the total governmental activities fund balance.
The actual fiscal year 2017 Debt Service Fund balance decreased by $67,306 primarily due to a planned
budgeted utilization of $49,723 of surplus fund balance (for the first annual payment of a ten-year lease-
purchase agreement for a new fire engine) combined with a greater than anticipated property tax and
investment interest revenues of $98,197, as well as a $125,000 down payment for the for the fire truck
lease purchase. The fire truck purchase was budgeted and paid for in fiscal year 2016 but the expense
and the reduction in fund balance were not recognized until fiscal year 2017, when the truck was
delivered.
The unrestricted net position of the proprietary funds are $16,913,756 for the Water and Wastewater
Fund and $2,272,134 for the Drainage Utility Fund. The net position of the Water and Wastewater Fund
increased by $1,703,499 and the Drainage Fund increased by $331,678, due to the receipt of about
$500,000 in developers contributions and the city’s diligent efforts to cut down on expenses. The water
and wastewater sales were $316,000 above budget and the Drainage fees were $17,440 above budget.
Tiered rates which have been in place since December 2012 were replaced with a flat rate structure in
July 2016. The flat rate provides a more equitable basis for our residents by charging a flat base rate that
varies depending on the meter size (rather than consumption) and a flat volumetric rate per thousand
gallons of usage. The new rate structure gave the residents a relief from high water bills in summer
months. The new rates did include the continued pass-through of the Trinity River Authority water and
wastewater rate increases.
27
Governmental Activities – There was an increase of $1,668,256 in revenue compared to fiscal year
2016. About $870,000 of that increase was related to tax revenues. Colleyville benefits from a strong
residential base which helps mitigate the negative effects of economic fluctuations. Property values have
experienced a 9.14% growth over the prior year’s certified values. Despite the tax rate reduction from
$0.3559/$100 valuation to $0.33913/$100 valuation, the city’s actual property tax revenue was more
than $750,000 above last year’s collections for the General Fund and the Debt Service Fund. The current
year tax collection rate was 99.46% of the levy. In 2017, the City’s first hotel opened for business and
the City collected about $150,000 in hotel occupancy taxes. That is a new source of revenue for the City.
There was also an increase in capital contributions of about $1 million primarily due to an increase in
the street developers contributions over the last year due to new construction.
In fiscal year 2017, there was a compensation and classification study performed. This resulted in a new
compensation structure that was implemented in fiscal year 2018. Employees earning below the new
minimum salary of their position’s pay range received a market adjustment to bring them into the new
ranges, and feathering tenured employees into their ranges based on years of service to address
compression. Also in fiscal year 2018, the City provided a staffing level of 206 full-time equivalents
(FTEs), 2 FTEs more than in fiscal year 2017. The two new FTEs were added by bringing certain
landscaping work in-house, as opposed to paying a contractor, and did not result in any net increase to
the budget. Major capital purchases included six vehicles for the police department, a pothole patching
unit for public works and a four-wheel drive fairway mower for the Parks department.
Business-type Activities – The City has two enterprise operations, the Water and Wastewater Fund and
the Drainage Utility Fund. The total operating revenue of the Water and Sewer Fund was $15,956,329
for the fiscal year with an increase of about $460,000 from the prior year. The increase in the water and
wastewater sales of about $900,000 was offset by a decrease in impact fees of approximately $425,000.
The revenue increased primarily due to a 4.8% increase in consumption with only 1% increase in the
number of the customers. Also, in December 2016, the volumetric rates went up to pass through the rate
increase from the Trinity River Authority, the City’s provider of treated water. The increase in the
Trinity River Authority rates was the primary factor behind the increase in the fund’s operating expense
of about $580,000. The coverage ratio for debt for this fund was 9.36 for the fiscal year, exclusive of
transfers. The slight increase in the Drainage Utility Fund’s revenue increase of about $30,000 was due
to new residential and commercial construction.
General Fund Budgetary Highlights – In July 2016, the City Council directed staff to eliminate the
two transfers from the utility fund to the general fund (franchise fee and general and administrative
transfers) in order to eliminate tiered water rates and implement a flat rate model. Elimination of these
transfers reduces general fund revenues by approximately $1.2 million annually. The City Council also
provided direction to propose a 2016 tax rate that is as close to the effective tax rate as possible. In order
to accomplish those objectives, general fund expenditures have been reduced by $647,609 in total,
compared to the fiscal year 2016 budget. Increased revenue from the proposed tax rate (1 cent above the
effective rate) and other general fund revenue sources provide the funding needed for cost increases
necessary to sustain current programs and services.
28
Items proposed for elimination were selected based on those that would have the least impact to citizen
services, while maintaining the Council’s priority of fiscal stewardship. When possible, expenditures
were moved out of the General Fund to other eligible funding sour ces. This includes funding the
compensation and classification study from the Strategic Initiatives Fund, the pavement condition
assessment from the Capital Projects Fund, moving one existing police officer position to the Colleyville
Crime Control and Prevention District (CCCPD) budget, funding various landscaping improvements and
parks maintenance expenditures from the Voluntary Parks Fund, and funding library books and
programming costs entirely out of the Voluntary Library Fund. One part -time and three full-time
positions were eliminated, including a part-time police records clerk, the communications and marketing
director, economic development coordinator, and a secondary construction manager position vacated as
a result of a retirement.
The General Fund transferred out $3,435,717 to several funds including $428,706 to the Vehicle and
Capital Equipment Replacement fund and $3,007,012 to the Capital Projects Fund.
For the year ended September 30, 2017, revenues exceeded the final budget in the General Fund due to
tax receipts being greater than anticipated, and overall expenditures were lower than the budget due to
the city’s efforts to cut down on expenditures and when possible, moving expenditures out of the
General Fund to other eligible funding sources
Refer to the General Fund Statement of Revenue, Expenditures and Changes in Fund Balances – Budget
and Actual on page 45 of this report for a detailed presentation of the actual General Fund operations
compared to both the original and final budget for fiscal year 2017.
CAPITAL ASSETS
The City of Colleyville’s investment in capital assets for its governmental and business-type activities as
of September 30, 2017, amounts to $156,766,193 (net of accumulated depreciation). This investment in
capital assets includes land, building, equipment, improvements other than buildings, infrastructure, and
construction work in progress. Declines in overall asset valuations were due to accumulated depreciation
on aging assets. Major capital asset events occurring during the current fiscal year included the
following:
• Capitalized $1.1 million in street improvements including Cheeksparger Road
($575,000), Westcoat Road ($325,000), Brown Trail ($80,000) and Hunter Lane
($90,000).
• Capitalized $562,000 in infrastructure improvements at LD Lockett/Cottonbelt
Trailhead.
• Capitalized $287,000 in water and $402,000 in wastewater.
29
CITY OF COLLEYVILLE’S CAPITAL ASSETS AT YEAR-END
2017 2016 2017 2016 2017 2016
Land 9,178,641$ 9,178,641$ 304,839$ 304,839$ 9,483,480$ 9,483,480$
Buildings and improvements 50,400,558 49,775,646 53,922 53,922 50,454,480 49,829,568
Equipment 12,872,812 12,404,954 2,019,281 1,966,904 14,892,093 14,371,858
Infrastructure/water
distribution sewer collection 98,134,864 95,872,787 79,732,627 79,044,264 177,867,491 174,917,051
Construction in progress 2,309,931 661,576 1,100,366 - 3,410,297 661,576
Less: accumulated
depreciation 60,829,405)( 56,715,030)( 38,512,243)( 36,302,889)( 99,341,648)( 93,017,919)(
Total capital assets 112,067,401$ 111,178,574$ 44,698,792$ 45,067,040$ 156,766,193$ 156,245,614$
Governmental Activities Business-type Activities Totals
Additional information on the City’s capital assets can be found in Note 4, pages 66 – 67 of this report.
DEBT ADMINISTRATION
At the end of the current fiscal year, the City of Colleyville had total bonded debt, notes payable and
capital lease obligations of $14,457,110. Of this amount, $7,125,000 represents bonded debt backed by
the full faith and credit of the government, $6,105,000 represents bonds secured by sales tax revenues,
$155,000 represents bonds secured solely by water and sewer revenues, and $475,000 represents bonds
secured solely by drainage utilit y system revenues. The City’s capitalized lease obligations of $597,110
pertain to the prior year lease purchase of a fire pumper truck and mid-mount aerial platform fire
apparatus, and equipment conversion.
OUTSTANDING DEBT AT YEAR-END
BONDS, NOTES AND CAPITALIZED LEASE OBLIGATIONS PAYABLE
2017 2016 2017 2016 2017 2016
General obligation bonds
and certificates of
obligation 7,125,000$ 8,550,000$ -$ -$ 7,125,000$ 8,550,000$
Sales tax revenue bonds 6,105,000 6,525,000 - - 6,105,000 6,525,000
Revenue bonds payable - - 630,000 1,090,000 630,000 1,090,000
Capitalized lease
obligations 597,110 362,251 - - 597,110 362,251
13,827,110$ 15,437,251$ 630,000$ 1,090,000$ 14,457,110$ 16,527,251$
Governmental Activities Business-type Activities Totals
The City's General Obligation, Tax and Water Works and Sewer System Certificates of Obligation, and
Water Works and Sewer System Revenue Bond ratings are listed below.
Standard
Fitch Ratings & Poor's
General Obligation Bonds AAA AAA
Water Revenue Bonds AAA AAA
30
In July 2016, the AAA rating on the City’s General Obligation Bonds was reaffirmed by both Standard
and Poor’s and Fitch Ratings. These are the highest bond ratings assigned to municipal debt by these
agencies. Additional information on the City of Colleyville’s long term debt can be found in footnote 4
on pages 69 – 72 of this report.
ECONOMIC FACTORS AND NEXT YEAR’S BUDGETS AND RATES
Colleyville benefits from a strong residential base, which helps mitigate the negative effects of
economic fluctuations. Property values have rebounded from the declines experiences in fiscal years
2011 and 2012, and have experienced tremendous growth in the last several years. 2017 certified values
increased 10.4% in total, compared to 2016 certified values. One of the City Council’s highest priorities
is minimizing the tax burden of our citizens. As such, careful consideration is given to the amount of
revenue (and associated tax rate) needed, as opposed to simply maintaining a tax rate that brings in ever
increasing amounts of revenue due to increased property values. Any tax rate above the effective rate
(i.e. that bring in more revenue than the prior year, excluding revenue from new construction) must be
fully justified, with the reasons for adopting such a rate clearly communicated. The fiscal year 2018
budget includes a tax rate of $0.333834/$100 valuation, a $0.0053 reduction from the current $0.33913
tax rate. This rate reduction serves to provide some relief to property owners receiving higher appraisal
values, while also providing the revenue necessary to fund programs and services.
Sales tax is the second largest revenue source, however, the City’s primary commercial corridor along
Colleyville Boulevard (SH26) will be under construction for the next several years. Fiscal year 2018
sales tax is projected to have zero growth from fiscal year 2017 year-end projections due to the potential
for construction to impact traffic to nearby businesses, and one percent growth is projected for the next
several years. The City will be continuing efforts to support and market the impacted businesses during
construction, furthering the objective to manage SH26 project impacts.
At the budget work session presentation on August 8, staff reviewed a five-year forecast for all
operating funds to fiscal year 2022. That forecast includes estimates for expenditures and the revenues
necessary to continue balancing the budget. Ad valorem revenue was projected with growth of 5%, and
sales tax was projected with limited growth for the reasons mentioned above. The forecast for General
Fund expenditures includes general costs increases of 3.5% for materials and contractual services
required each year, as well as personnel costs to continue funding appropriate market and merit
adjustments and increasing healthcare costs. These forecasts help staff and the City Council focus on the
long-term budgetary implications of current funding decisions. They also help to put long-term goals
into perspective relative to the overall resources available.
One of the largest expenses of any City is the cost of the personnel to carry out the community’s desired
programs and services. The proposed budget provides a staffing level of 206 full-time equivalents
(FTEs), 2 FTEs more than in fiscal year 2017. The two new FTEs were added by bringing certain
landscaping work in-house, as opposed to paying a contractor, and did not result in any net increase to
the budget. This year the City was fortunate to receive no increase on health insurance costs, which
makes up the largest portion of the City’s personnel budget after salaries. The fiscal year 2018 budget
reflects the City Council’s bold vision of fully implementing the recommendations of the 2017
Compensation and Classification Study. The study was a six month effort guided by a committee of
citizens, Councilmembers, and staff. Final recommendations included updating pay ranges consistent
with the market, bringing all employees into the new ranges, and feathering tenured employees into their
ranges based on years of service to address compression for a total cost of just over $657,000.
31
Water and wastewater base rates are directly related to the City’s budget for the Utility Fund, and rates
are set to only recover the City’s cost of operating the utility system. Based on the fiscal year 2018
proposed budget, which includes declining debt payments and a slight increase in the number of
customers, it is possible to lower base rates. The City Council recognized this opportunity to carry out
their intention of creating a capital funding component in the rate structure, and approved staff’s and the
Water and Wastewater Rate Advisory Committee’s recommendation to maintain current base rates in
total, using the difference above what is needed for operations to create a separate CIP base rate. This
change completes the City Council’s objective to restructure water rates.
REQUEST FOR INFORMATION
The financial report is designed to provide our citizens, customers, investors and creditors with a general
overview of the City’s finances. If you have questions about this report or need any additional
information, contact Shereen Gendy, Chief Financial Officer, at 100 Main Street, Colleyville, Texas
76034, or call (817) 503-1014.
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BASIC
FINANCIAL STATEMENTS
Governmental
Activities
Business-type
Activities
ASSETS
Cash and equivalents 23,829,563$ 14,277,766$
Investments 16,505,608 2,919,775
Receivables (net of allowances for uncollectibles of $262,534)
Accounts 83,535 2,467,866
Property taxes 236,897 -
Loans 2,022,500 -
Due from other governments 1,421,897 -
Prepaid expenses 9,726 -
Inventories 1,426 190,842
Accrued interest 27,350 7,629
Restricted assets:
Cash and equivalents - 278,811
Investments - 470,460
Capital assets:
Land 9,178,641 304,839
Buildings and improvements 50,400,558 53,922
Equipment 12,872,812 2,019,281
Infrastructure/water distribution/sewer collection 98,134,864 79,732,627
Construction in progress 2,309,931 1,100,366
Less: accumulated depreciation 60,829,405)( 38,512,243)(
Total capital assets 112,067,401 44,698,792
Total assets 156,205,903 65,311,941
DEFERRED OUTFLOWS OF RESOURCES
Deferred charge on refunding - 42,805
Deferred outflows related to pensions 3,354,608 453,557
3,354,608 496,362
LIABILITIES
Accounts payable 1,038,074 962,325
Accrued liabilities 221,315 31,481
Unearned revenues 57,606 -
Accrued interest payable 80,554 3,910
Advances from developers 47,548 212,506
Customer deposits 43,065 469,760
Noncurrent liabilities:
Due within one year 2,077,282 280,565
Due in more than one year 13,393,803 534,348
Total liabilities 16,959,247 2,494,895
DEFERRED INFLOWS OF RESOURCES
Deferred inflows related to pensions 28,414 3,783
Total deferred outflows of resources 28,414 3,783
NET POSITION
Net investment in capital assets 99,881,334 44,123,735
Restricted:
Debt service 612,641 -
Court security and technology 158,853 -
Grant programs 11,530 -
Leisure services 353,561 -
Economic development 4,221,531 -
Streets and drainage 16,351,066 -
Police 1,560,027 -
Unrestricted 19,422,307 19,185,890
Total net position 142,572,850$ 63,309,625$
CITY OF COLLEYVILLE, TEXAS
STATEMENT OF NET POSITION
SEPTEMBER 30, 2017
The accompanying notes are an integral
part of these financial statements.34
Total Component Units
38,107,329$ 13,560,312$
19,425,383 5,401,594
2,551,401 -
236,897 -
2,022,500 -
1,421,897 -
9,726 -
192,268 -
34,979 15,998
278,811 -
470,460 -
9,483,480 6,878,536
50,454,480 -
14,892,093 -
177,867,491 12,655,623
3,410,297 -
99,341,648)( 546,145)(
156,766,193 18,988,014
221,517,844 37,965,918
42,805 -
3,808,165 -
3,850,970 -
2,000,399 531,109
252,796 -
57,606 -
84,464 6,288
260,054 -
512,825 -
2,357,847 610,000
13,928,151 1,342,121
19,454,142 2,489,518
32,197 -
32,197 -
144,005,069 17,035,893
612,641 -
158,853 -
11,530 -
353,561 -
4,221,531 -
16,351,066 -
1,560,027 -
38,608,197 18,440,507
205,882,475$ 35,476,400$
35
Functions/Programs Expenses Charges for Services
Operating Grants
and Contributions
Capital Grants and
Contributions
Primary government
Governmental activities:
General government 4,881,741$ 338,857$ 12,230$ 55,781$
Community development 1,672,823 1,148,293 - -
Fire and rescue 5,524,975 340,630 13,869 -
Leisure services 4,987,965 553,633 373,619 50,388
Maintenance 1,243,614 - - -
Municipal court 606,269 1,181,280 - -
Police 6,093,309 98,859 107,898 -
Streets and drainage 3,578,365 634,918 - 1,196,005
Interest on long-term debt 408,268 - - -
Total governmental activities 28,997,329 4,296,470 507,616 1,302,174
Business-type activities:
Water and wastewater 14,779,262 15,956,329 - 481,413
Drainage 646,145 985,636 - -
Total business-type activities 15,425,407 16,941,965 - 481,413
Total primary government 44,422,736$ 21,238,435$ 507,616$ 1,783,587$
Component unit
Tax increment financing 226,352$ -$ -$ -$
Total component unit 226,352$ -$ -$ -$
General revenues:
Taxes:
Property taxes, levied for general purposes
Property taxes, levied for debt service
TIF taxes
Sales taxes
Franchise taxes
Other taxes
Investment earnings
Miscellaneous
Gain on sale of capital assets
Transfers
Total general revenues and transfers
Change in net position
Net position - beginning
Net position - ending
CITY OF COLLEYVILLE, TEXAS
STATEMENT OF ACTIVITIES
FOR THE YEAR ENDED SEPTEMBER 30, 2017
Program Revenue
The accompanying notes are an integral
part of these financial statements.36
Governmental
Activities
Business-type
Activities Total Component Units
4,474,873)$( -$ 4,474,873)$( -$
524,530)( - 524,530)( -
5,170,476)( - 5,170,476)( -
4,010,325)( - 4,010,325)( -
1,243,614)( - 1,243,614)( -
575,011 - 575,011 -
5,886,552)( - 5,886,552)( -
1,747,442)( - 1,747,442)( -
408,268)( - 408,268)( -
22,891,069)( - 22,891,069)( -
- 1,658,480 1,658,480 -
- 339,491 339,491 -
- 1,997,971 1,997,971 -
22,891,069)( 1,997,971 20,893,098)( -
- - - 226,352)(
- - - 226,352)(
13,808,947 - 13,808,947 -
739,514 - 739,514 -
- - - 4,779,832
7,304,507 - 7,304,507 -
2,105,881 - 2,105,881 -
263,587 - 263,587 -
148,933 100,525 249,458 167,075
168,865 - 168,865 -
17,000 - 17,000 -
63,319 63,319)( - -
24,620,553 37,206 24,657,759 4,946,907
1,729,484 2,035,177 3,764,661 4,720,555
140,843,366 61,274,448 202,117,814 30,755,845
142,572,850$ 63,309,625$ 205,882,475$ 35,476,400$
Net (Expense) Revenue and Changes in Net Position
Primary Government
37
General Capital Projects Debt Service
ASSETS
Cash and cash equivalents 1,059,037$ 13,674,475$ 691,402$
Investments 8,561,650 3,076,557 -
Receivables (net of allowances for uncollectibles)
Accounts 83,535 - -
Taxes 210,003 - 26,894
Loans 142,500 - 1,880,000
Due from other governments 747,877 - 1,793
Inventories 1,426 - -
Accrued interest 14,106 - -
Prepaid items 9,726 - -
Total assets 10,829,860 16,751,032 2,600,089
LIABILITIES
Accounts payable 623,578 398,333 -
Accrued liabilities 205,488 1,633 -
Unearned revenue 57,606 - -
Advances from developers 47,548 - -
Customer deposits 43,065 - -
Total liabilities 977,285 399,966 -
DEFERRED INFLOWS OF RESOURCES
Unavailable revenue - property taxes 210,003 - 26,894
Unavailable revenue - municipal fines 12,005 - -
Unavailable revenue - ambulance fees 70,499 - -
Unavailable revenue - receivable from component unit - - 1,880,000
Total deferred inflows of resources 292,507 - 1,906,894
FUND BALANCES
Non-spendable:
Inventories 1,426 - -
Prepaid items 9,726 - -
Restricted:
Streets and drainage - 16,351,066 -
Debt service - - 693,195
Court security and technology - - -
Grant programs - - -
Leisure services - - -
Economic development - - -
Police - - -
Committed:
Strategic initiatives 682,156 - -
Leisure services - - -
Capital projects - - -
Assigned:
Capital projects - - -
Leisure services - - -
Unassigned 8,866,760 - -
Total fund balances 9,560,068 16,351,066 693,195
Total liabilities, deferred inflows of resources, and fund balances 10,829,860$ 16,751,032$ 2,600,089$
Amounts reported for governmental activities in the statement of net position are different because:
Capital assets used in governmental activities are not financial resources and, therefore, are not reported in the funds.
Long term assets are not available for net pension obligation.
Other long-term assets are not available to pay for current-period expenditures and, therefore are deferred in the funds.
Long-term liabilities are not due and payable in the current period and, therefore, are not reported in the funds.
Net position of governmental activities
CITY OF COLLEYVILLE, TEXAS
BALANCE SHEET
GOVERNMENTAL FUNDS
SEPTEMBER 30, 2017
The accompanying notes are an integral
part of these financial statements.38
Other Governmental
Total Governmental
Funds
8,404,649$ 23,829,563$
4,867,401 16,505,608
- 83,535
- 236,897
- 2,022,500
672,227 1,421,897
- 1,426
13,244 27,350
- 9,726
13,957,521 44,138,502
16,163 1,038,074
14,194 221,315
- 57,606
- 47,548
- 43,065
30,357 1,407,608
- 236,897
12,005
- 70,499
- 1,880,000
- 2,199,401
- 1,426
- 9,726
- 16,351,066
- 693,195
158,853 158,853
11,530 11,530
353,561 353,561
4,221,531 4,221,531
1,560,027 1,560,027
- 682,156
1,617,104 1,617,104
4,885,496 4,885,496
1,100,457 1,100,457
18,605 18,605
- 8,866,760
13,927,164 40,531,493
13,957,521$
112,067,401
2,778,417
2,199,401
15,003,862)(
142,572,850$
39
General Capital Projects Debt Service
REVENUES
Taxes 19,722,933$ -$ 736,053$
Fees and fines 840,585 - -
Licenses and permits 1,049,673 - -
Intergovernmental - - 655,781
Charges for services 1,455,665 - -
Capital improvement fees - 612,134 -
Donations - - -
Investment earnings 79,327 3,644 6,815
Miscellaneous 80,655 80,659 -
Total revenues 23,228,838 696,437 1,398,649
EXPENDITURES
Current:
General government 4,029,370 13,276 -
Community development and engineering 1,404,161 107,239 -
Fire and rescue 4,840,545 - -
Leisure services 2,514,340 15,000 -
Maintenance 673,865 42,971 -
Municipal court 363,962 - -
Police 4,576,807 999 -
Streets and drainage 1,332,402 182,881 -
Debt service:
Principal - - 1,731,212
Interest and other charges - - 238,605
Capital outlay 581,120 2,929,284 -
Total expenditures 20,316,572 3,291,650 1,969,817
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES 2,912,266 2,595,213)( 571,168)(
OTHER FINANCING SOURCES (USES)
Capital lease 541,073 - -
Sale of capital assets 17,000 - -
Transfers in - 3,007,012 503,862
Transfers out 3,435,717)( 30,796)( -
Total other financing sources and uses 2,877,644)( 2,976,216 503,862
NET CHANGE IN FUND BALANCES 34,622 381,003 67,306)(
FUND BALANCES, BEGINNING 9,525,446 15,970,063 760,501
FUND BALANCES, ENDING 9,560,068$ 16,351,066$ 693,195$
FOR THE YEAR ENDED SEPTEMBER 30, 2017
CITY OF COLLEYVILLE, TEXAS
STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCES
GOVERNMENTAL FUNDS
The accompanying notes are an integral
part of these financial statements.40
Other
Governmental
Total
Governmental
Funds
3,700,030$ 24,159,016$
377,609 1,218,194
- 1,049,673
12,688 668,469
29,993 1,485,658
- 612,134
449,130 449,130
59,123 148,909
22,575 183,889
4,651,148 29,975,072
124,089 4,166,735
- 1,511,400
30,214 4,870,759
765,857 3,295,197
- 716,836
179,167 543,129
920,600 5,498,406
- 1,515,283
420,000 2,151,212
181,872 420,477
922,480 4,432,884
3,544,279 29,122,318
1,106,869 852,754
- 541,073
- 17,000
532,820 4,043,694
513,862)( 3,980,375)(
18,958 621,392
1,125,827 1,474,146
12,801,337 39,057,347
13,927,164$ 40,531,493$
41
42
THIS PAGE INTENTIONALLY LEFT BLANK
Net change in fund balances - total governmental funds:1,474,146$
Governmental funds report capital outlays as expenditures.However,in the
statement of activities,the cost of those assets is allocated over their estimated
useful lives and reported as depreciation expense. 888,827
Revenues,in the statement of activities,that do not provide current financial
resources, are not reported as revenues in the funds.524,583)(
The issuance of long-term debt (e.g.,bonds,leases)provides current financial
resources to governmental funds,while the repayment of the principal of long-
term debt consumes the current financial resources of governmental funds.1,610,347
Certain pension expenditures are not expended in the government-wide financial
statements and recorded as deferred resource outflows or inflow.This item relates
to contributions made after the measurement date.Additionally,a portion of the
City's unrecognized deferred resource outflows related to the pension liability
were amortized.1,713,648)(
Some expenses reported in the statement of activities do not require the use of
current financial resources and therefore are not reported as expenditures in
governmental funds.5,605)(
1,729,484$
FOR THE YEAR ENDED SEPTEMBER 30, 2017
Amounts reported for governmental activities in the Statement of Activities are
different because:
CITY OF COLLEYVILLE, TEXAS
RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
TO THE STATEMENT OF ACTIVITIES
Change in net position of governmental activities
The accompanying notes are an integral
part of these financial statements.43
44
THIS PAGE INTENTIONALLY LEFT BLANK
Variance with
Final Budget -
Actual Positive
Original Final Amounts (Negative)
REVENUES
Taxes 19,123,370$ 19,123,370$ 19,722,933$ 599,563$
License and permits 931,500 931,500 1,049,673 118,173
Fees and fines 874,420 874,420 840,585 33,835)(
Charges for services 1,316,893 1,316,893 1,455,665 138,772
Investment earnings 25,000 25,000 79,327 54,327
Other 55,100 55,100 80,655 25,555
Total revenues 22,326,283 22,326,283 23,228,838 902,555
EXPENDITURES
Current:
General government 4,209,650 4,209,650 4,029,370 180,280
Community development and engineering 1,485,431 1,485,431 1,404,161 81,270
Fire and rescue 4,520,121 4,520,121 4,840,545 320,424)(
Leisure services 2,783,978 2,783,978 2,514,340 269,638
Maintenance 745,578 745,578 673,865 71,713
Municipal court 419,415 419,415 363,962 55,453
Police 4,702,861 4,702,861 4,576,807 126,054
Streets and drainage 1,600,593 1,600,593 1,332,402 268,191
Capital outlay 8,428 8,428 581,120 572,692)(
Total expenditures 20,476,055 20,476,055 20,316,572 159,483
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES 1,850,228 1,850,228 2,912,266 1,062,038
OTHER FINANCING SOURCES (USES)
Capital lease - - 541,073 541,073
Transfers out 2,853,706)( 2,853,706)( 3,435,717)( 582,011)(
Sale of capital assets 5,000 5,000 17,000 12,000
Total other financing sources and uses 2,848,706)( 2,848,706)( 2,877,644)( 28,938)(
NET CHANGE IN FUND BALANCE 998,478)( 998,478)( 34,622 1,033,100
FUND BALANCE, BEGINNING 9,525,446 9,525,446 9,525,446 -
FUND BALANCE, ENDING 8,526,968$ 8,526,968$ 9,560,068$ 1,033,100$
Budgeted Amounts
CITY OF COLLEYVILLE, TEXAS
STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30, 2017
GENERAL FUND
The accompanying notes are an integral
part of these financial statements.45
Water and
Wastewater Drainage Utility Total
ASSETS
Current assets:
Cash and cash equivalents 12,315,672$ 1,962,094$ 14,277,766$
Investments 2,720,161 199,614 2,919,775
Accounts receivable, net of allowances 2,350,303 117,563 2,467,866
Inventories 190,842 - 190,842
Restricted assets:
Cash and cash equivalents 157,325 121,486 278,811
Investments 470,460 - 470,460
Total current assets 18,204,763 2,400,757 20,605,520
Non-current assets:
Accrued interest receivable 7,324 305 7,629
Capital assets:
Land and improvements 304,839 - 304,839
Buildings 53,922 - 53,922
Utility system 75,429,615 4,303,012 79,732,627
Equipment and furniture 1,568,241 451,040 2,019,281
Construction in progress 1,100,366 - 1,100,366
Less accumulated depreciation 36,835,535)( 1,676,708)( 38,512,243)(
Total non-current assets 41,628,772 3,077,649 44,706,421
Total assets 59,833,535 5,478,406 65,311,941
DEFERRED OUTFLOWS OF RESOURCES
Deferred charge on refunding 39,935 2,870 42,805
Deferred outflows related to pensions 378,091 75,466 453,557
Total deferred outflows of resources 418,026 78,336 496,362
LIABILITIES
Current liabilities:
Accounts payable 952,512 9,813 962,325
Accrued liabilities 26,370 5,111 31,481
Accrued interest payable 1,163 2,747 3,910
Advances from developers 95,613 116,893 212,506
Customer deposits 469,760 - 469,760
Compensated absences 13,162 2,403 15,565
Revenue bonds payable 155,000 110,000 265,000
Total current liabilities 1,713,580 246,967 1,960,547
Non-current liabilities:
Compensated absences 52,646 17,743 70,389
Net pension obligation 61,980 12,040 74,020
Revenue bonds payable 24,939 365,000 389,939
Total non-current liabilities 139,565 394,783 534,348
Total liabilities 1,853,145 641,750 2,494,895
DEFERRED INFLOWS OF RESOURCES
Deferred inflows related to pensions 3,216 567 3,783
Total deferred inflows of resources 3,216 567 3,783
NET POSITION
Net investment in capital assets 41,481,444 2,642,291 44,123,735
Unrestricted 16,913,756 2,272,134 19,185,890
Total net position 58,395,200$ 4,914,425$ 63,309,625$
SEPTEMBER 30, 2017
Enterprise Funds
CITY OF COLLEYVILLE, TEXAS
STATEMENT OF NET POSITION
PROPRIETARY FUNDS
The accompanying notes are an integral
part of these financial statements.46
Water and
Wastewater Drainage Utility Total
OPERATING REVENUES
Metered water sales 10,958,905$ -$ 10,958,905$
Wastewater service charges 3,876,154 - 3,876,154
Drainage service charges - 972,082 972,082
Other charges and services 1,075,890 13,554 1,089,444
Miscellaneous 45,380 - 45,380
Total operating revenues 15,956,329 985,636 16,941,965
OPERATING EXPENSES
Personnel services 1,833,303 395,231 2,228,534
Maintenance and contractual services 10,709,725 79,197 10,788,922
Materials and supplies 134,848 22,330 157,178
Depreciation and amortization 2,093,361 131,706 2,225,067
Total operating expenses 14,771,237 628,464 15,399,701
OPERATING INCOME 1,185,092 357,172 1,542,264
NON-OPERATING REVENUES (EXPENSES)
Interest and investment revenues 89,306 11,219 100,525
Interest expense and fiscal charges 8,025)( 17,681)( 25,706)(
Total non-operating revenues (expenses)81,281 6,462)( 74,819
INCOME BEFORE CONTRIBUTIONS
AND TRANSFERS 1,266,373 350,710 1,617,083
Capital contributions 481,413 - 481,413
Transfers out 44,287)( 19,032)( 63,319)(
CHANGE IN NET POSITION 1,703,499 331,678 2,035,177
TOTAL NET POSITION, BEGINNING 56,691,701 4,582,747 61,274,448
TOTAL NET POSITION, ENDING 58,395,200$ 4,914,425$ 63,309,625$
CITY OF COLLEYVILLE, TEXAS
STATEMENT OF REVENUES, EXPENSES
AND CHANGES IN FUND NET POSITION
PROPRIETARY FUNDS
FOR THE YEAR ENDED SEPTEMBER 30, 2017
Enterprise Funds
The accompanying notes are an integral
part of these financial statements.47
Water and Drainage
Wastewater Utility Totals
CASH FLOWS FROM OPERATING ACTIVITIES
Cash received from customers 15,789,019$ 1,095,130$ 16,884,149$
Cash paid to suppliers for goods and services 10,733,340)( 93,550)( 10,826,890)(
Cash paid to employees for services 1,636,513)( 360,100)( 1,996,613)(
Net cash provided by operating activities 3,419,166 641,480 4,060,646
CASH FLOWS FROM NONCAPITAL
FINANCING ACTIVITIES
Transfers out 44,287)( 19,032)( 63,319)(
Net cash used for noncapital
financing activities 44,287)( 19,032)( 63,319)(
CASH FLOWS FROM CAPITAL AND RELATED
FINANCING ACTIVITIES
Acquisition of capital assets 1,841,106)( - 1,841,106)(
Capital grants and contributions 481,413 - 481,413
Principal paid on debt 350,001)( 110,000)( 460,001)(
Interest paid on debt 8,025)( 17,680)( 25,705)(
Net cash used for capital and
related financing activities 1,717,719)( 127,680)( 1,845,399)(
CASH FLOWS FROM INVESTING ACTIVITIES
(Purchase) sale of investments 4,869,266 219,635 5,088,901
Earnings on investments 89,306 11,219 100,525
Net cash provided (used) by investing activities 4,958,572 230,854 5,189,426
NET INCREASE IN CASH
AND CASH EQUIVALENTS 6,615,732 725,622 7,341,354
CASH AND CASH EQUIVALENTS, BEGINNING 5,857,265 1,357,958 7,215,223
CASH AND CASH EQUIVALENTS, ENDING 12,472,997$ 2,083,580$ 14,556,577$
CITY OF COLLEYVILLE, TEXAS
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDS
FOR THE YEAR ENDED SEPTEMBER 30, 2017
Enterprise Funds
The accompanying notes are an integral
part of these financial statements.48
Water and Drainage
Wastewater Utility Totals
Reconciliation of operating income (loss) to net cash
provided (used) by operating activities:
Operating income 1,185,092$ 357,172$ 1,542,264$
Adjustments to reconcile operating income (loss)
to net cash provided by (used for) operating activities:
Depreciation and amortization expense 2,093,361 131,706 2,225,067
Changes in assets and liabilities:
Decrease (increase) in assets:
Accounts receivable 180,520)( 7,399)( 187,919)(
Inventory 55,617)( - 55,617)(
Accrued interest receivable 13,643 1,113 14,756
Increase (decrease) in liabilities:
Accounts payable 155,832 7,501 163,333
Accrued liabilities 4,459 1,202 5,661
Compensated absences payable 7,342)( 1,922 5,420)(
Customer deposits 13,210 - 13,210
Advances from developers - 116,893 116,893
Net pension liability 199,673 32,007 231,680
Accrued interest payable 2,625)( 637)( 3,262)(
Net cash provided by operations 3,419,166$ 641,480$ 4,060,646$
Noncash investing, capital, and financing activities:
Contributions of capital assets 43,104$ -$ 43,104$
Enterprise Funds
FOR THE YEAR ENDED SEPTEMBER 30, 2017
(Continued)
CITY OF COLLEYVILLE, TEXAS
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDS
The accompanying notes are an integral
part of these financial statements.49
Agency Fund
ASSETS
Cash and investments 25,246$
Total assets 25,246$
LIABILITIES
Due to other agencies and individuals 25,246$
Total liabilities 25,246$
CITY OF COLLEYVILLE, TEXAS
STATEMENT OF FIDUCIARY NET POSITION
FIDUCIARY FUNDS
SEPTEMBER 30, 2017
The accompanying notes are an integral
part of these financial statements.50
51
CITY OF COLLEYVILLE, TEXAS
NOTES TO THE FINANCIAL STATEMENTS
SEPTEMBER 30, 2017
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The City of Colleyville Home Rule Charter was adopted by the voters at an election held on
January 15, 1977. The City operates under a Council-Manager form of government.
The accounting policies of the City of Colleyville, Texas (the “City”) conform to ge nerally
accepted accounting principles as applicable to governmental units. The following is a summary
of the more significant of such policies:
A. Reporting Entity
As required by generally accepted accounting principles, these financial statements present
the government and its component units, entities for which the government is considered to
be financially accountable. Blended component units, although legally separate entities are,
in substance, part of the government’s operations and so data from these units are combined
with data of the primary government. Each discretely presented component unit, on the other
hand, is reported in a separate column in the combined financial statements to emphasize it is
legally separate from the government. Each blended component unit has a September 30
year-end.
Blended Component Unit – The Colleyville Economic Development Corporation (CEDC)
was incorporated on September 3, 1996, as a nonprofit industrial development corporation
under the Development Corporation Act of 1979 (“Act”). The CEDC operates under a seven
(7) member Board of Directors appointed by the City Council. Each of the directors shall be
a resident of the City. The Corporation is organized exclusively for the purposes of
benefiting and accomplishing public purposes of and to act on behalf of, the City, and the
specific purposes for which the Corporation is organized. This includes municipal park
improvements, the purchase of land and improvements for additional neighborhood parks,
the construction of a community center and library. Although it is legally separate from the
City, the CEDC is reported as if it were part of the primary government, because CEDC is
financing public improvements and the City is the primary beneficiary of the services
provided.
Blended Component Unit – Colleyville Crime Control and Prevention District (the District)
was formed under Chapter 363 of the Texas Local Government Code, the Crime Control and
Prevention District Act. The District is organized to act on behalf of the City for financing,
development of crime control throughout the City. The District is governed by a seven-
member board consisting of all members of the City Council. The District is reported as a
part of the primary government because it provides services entirely for the City.
52
Discretely Presented Component Unit – Colleyville Tax Increment Financing Reinvestment
Zone Number One (the TIF) was formed to make public improvements, under the authority
of the Tax Increment Financing Act. The TIF is governed by a nine-member board consisting
of five members appointed by the City Council and one member each appointed by the four
other participating taxing entities. The primary government appoints a voting majority of the
unit’s governing body and the City has a potential economic benefit from this unit.
Therefore, the TIF is presented in the accompanying financial statements as a discretely
presented component unit. Complete financial statements for the TIF may be obtained from
the City of Colleyville Finance Department, 100 Main Street, Colleyville, Texas 76034.
B. Government-wide Fund Financial Statements
The government-wide financial statements (i.e., the statement of net position and the
statement of activities) report information on all of the nonfiduciary activities of the primary
government and its component units. For the most part, the effect of interfund activity has
been removed from these statements. Governmental activities, which normally are supported
by taxes and intergovernmental revenue, are reported separately from business-type
activities, which rely to a significant extent on fees and charges for support. Likewise, the
primary government is reported separately from certain legally separate component units for
which the primary government is financially accountable.
The statement of activities demonstrates the degree to which the direct expenses of a given
function or segment are offset by program revenue. Direct expenses are those that are clearly
identifiable with a specific function or segment. Program revenue includes 1) charges to
customers or applicants who purchase, use, or directly benefit from goods, services, or
privileges provided by a given function or segment, and 2) grants and contributions that are
restricted to meeting the operational or capital requirements of a particular function or
segment. Taxes and other items not properly included among program revenue are reported
instead as general revenue.
Separate financial statements are provided for governmental funds, proprietary funds, and
fiduciary funds, even though the latter are excluded from the government-wide financial
statements. Major individual governmental funds and major individual Enterprise Funds are
reported as separate columns in the fund financial statements.
C. Measurement Focus, Basis of Accounting and Financial Statement Presentation
The government-wide financial statements are reported using the economic resources
measurement focus and the accrual basis of accounting, as are the proprietary fund and
fiduciary fund financial statements, except for Agency Funds, which have no measurement
focus. Revenues are recorded when earned and expenses are recorded when a liability is
incurred, regardless of the timing of related cash flows. Property taxes are recognized as
revenue in the year for which they are levied. Grants and similar items are recognized as
revenue as soon as all eligibility requirements imposed by the provider have been met.
53
Governmental fund financial statements are reported using the current financial resources
measurement focus and the modified accrual basis of accounting. Revenues are recognized
as soon as they are both measurable and available. Revenues are considered to be available
when they are collectible within the current period or soon enough thereafter to pay liabilities
of the current period. For this purpose, the government considers revenue to be available if
collected within 60 days of the end of the current fiscal period. Expenditures generally are
recorded when a liability is incurred, as under accrual accounting. However, debt service
expenditures, as well as expenditures related to compensated absences and claims and
judgments, are recorded only when payment is due.
Property taxes, franchise taxes, sales taxes, and interest associated with the current fiscal
period are all considered to be susceptible to accrual and so have been recognized as revenue
of the current fiscal period. All other revenue items are considered to be measurable and
available only when cash is received by the City.
GOVERNMENTAL FUNDS
Governmental Funds are those through which most governmental functions of the City
are financed. The acquisition, use, and balances of the City’s expendable financial
resources and the related liabilities (except those accounted for in the proprietary fund
type) are accounted for through governmental funds. The measurement focus is upon
determination of changes in financial position, rather than upon net income
determination. The following are the City’s governmental fund types:
The City reports the following major governmental funds:
The General Fund – is the general operating fund of the City. It is used to
account for all financial resources except those required to be accounted for in
another fund.
The Capital Projects Fund – is used to account for financial resources to be
used for the acquisition or construction of general major capital facilities.
Financing is provided primarily by the sale of general obligation bonds and
developer contributions.
The Debt Service Fund – is used to account for the acquisition of resources
for, and the payment of, general long-term debt principal and interest, and
related costs.
Additionally, the City also reports the following fund type:
The Special Revenue Fund – accounts for the revenues and expenditures
associated with a special project or purpose.
PROPRIETARY FUNDS
Proprietary Funds are used to account for activities that are similar to those often found
in the private sector. The measurement focus is upon determination of net income and
capital maintenance.
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The City reports the following major proprietary funds:
The Water and Wastewater Fund – is 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 charges ; or
(b) where the governing body has decided that periodic determination of
revenue earned, expenses incurred, and/or net income is appropriate for
capital maintenance, public policy, management control, accountability, or
other purposes. This fund is used to account for water and wastewater
operations.
The Drainage Utility Fund – is used to account for the establishment and
maintenance of drainage facilities within the municipal boundaries of the City.
All activities necessary to provide such facilities are accounted for in this
fund, included but not limited to, administration, operations, maintenance,
billing and collections.
FIDUCIARY FUNDS
Agency Fund – Fiduciary Funds are used to account for assets held by the
City in a trustee capacity or as an agent on behalf of others. Agency funds are
custodial in nature and do not present results of operations or have a
measurement focus. The City has two agency funds: Employee Activity and
the Sesquicentennial Fund. These funds are held for the benefit of City
employees and to benefit the City’s historical purposes.
As a general rule, the effect of interfund activity has been eliminated from the government -
wide financial statements. Exceptions to this general rule are charges between the City’s
water and wastewater function and various other functions of the government. Elimination of
these charges would distort the direct costs and program revenue reported for the various
functions concerned.
Amounts reported as program revenues include: 1) charges to customers or applicants for
goods, services, or privileges provided, 2) operating grants and contributions, and 3) capital
grants and contributions, including special assessments. Internally dedicated resources are
reported as general revenues rather than as program revenue. Likewise, general revenue
includes all taxes.
Proprietary funds distinguish operating revenues and expenses from nonoperating items.
Operating revenues and expenses generally result from providing services and producing and
delivering goods in connection with a proprietary fund’s principal ongoing operations. The
principal operating revenues of the City’s Enterprise Funds are charges to customers for sales
and services. Operating expenses for Enterprise Funds include the cost of sales and services,
administrative expenses, and depreciation on capital assets. All revenue and expenses not
meeting this definition are reported as nonoperating revenue and expenses.
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D. Cash and Cash Equivalents and Investments
For purposes of the statement of cash flows, the Enterprise Fund considers all highly liquid
investments (investments with original maturities less than 90 days, including restricted
assets) to be cash equivalents.
The City’s cash and cash equivalents are considered to be cash on hand, demand deposits and
short-term investments with original maturities of three months or less from the date of
acquisition. Investments for the City are reported at fair value, except for the position in
investment pools. The City’s investment in pools are reported at the net asset value per share
(which approximates fair value) even though it is calculated using the amortized cost method.
E. Receivables and Payables
Activity between funds that are representative of lending/borrowing arrangements
outstanding at the end of the fiscal year are referred to as either “due to/from other funds”
(i.e., the current portion of interfund loans) or “advances to/from other funds” (i.e., the
noncurrent portion of interfund loans). All other outstanding balances between funds are
reported as “due to/from other funds.” Any residual balances outstanding between the
governmental activities and business-type activities are reported in the government-wide
financial statements as “internal balances.”
Advances between funds, as reported in the fund financial statements, are offset by a fund
balance reserve account in applicable governmental funds to indicate that they are not
available for appropriation and are not expendable available financial resources.
The allowance for uncollectible accounts receivable for utility billing is estimated as a
percentage of sales calculated based on historical experience. Ambulance receivables in
excess of 180 days comprise the ambulance allowance for uncollectables. The allowance for
uncollectable accounts for capias warrants is set at 90% of outstanding receivables.
Property taxes are imposed nonexchange revenues. Assets from imposed nonexchange
transactions are recorded when the entity has enforceable legal claim to the asset, or when the
entity receives resources, whichever comes first. The enforceable legal claim date for
property taxes is the assessment date. The assessment date has been designated in the
enabling legislation as of October 1. The City’s property tax is levied on the assessed value
listed as of the prior January 1. Taxes are due upon receipt of the tax bill. All unpaid taxes
become delinquent if not paid before February 1 of the current fiscal year.
F. Inventories and Prepaid Items
Inventories are valued at cost using the first-in/first-out (FIFO) method and consist of
expendable supplies and vehicle repair parts. The cost of such inventories is recorded as
expenditures/expenses when consumer rather than when purchased.
Certain payments to vendors reflect costs applicable to future accounting periods and are
recorded as prepaid items in both the government-wide and fund financial statements. The
cost of prepaid items is recorded as expenditures/expenses when consumed rather than when
purchased.
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G. Capital Assets
Capital assets, which include property, plant, equipment and infrastructure assets (e.g. roads,
bridges, sidewalks and similar items) are reported in the applicable governmental or
business-type activities columns in the government-wide financial statements. The City
defines capital assets as assets with an initial, individual cost of more than $5,000 (amount
not rounded) and an estimated useful life in excess of one year. Such assets are recorded at
historical cost or estimated historical cost if purchased or constructed. Donated capital assets
are recorded at acquisition cost, which is the price that would be paid to acquire an asset with
equivalent service potential at the acquisition date.
The costs of normal maintenance and repairs that do not add to the value of the asset or
materially extend assets’ lives are not capitalized.
Major outlays for capital assets and improvements are capitalized as projects are constructed.
Property, plant and equipment is depreciated using the straight-line method over the
following estimated useful lives:
Assets Years
Buildings 15 - 50
Improvements 20 - 50
Equipment 5 - 10
Infrastructure (streets and drainage)50
Water distribution/sewer collection 5 - 40
H. Compensated Absences
City employees are granted vacation and sick pay in varying amounts. In the event of
termination, an employee is paid for all accumulated, unused vacation. Vacation pay is
accrued as it vests to the employee. Sick pay is recorded when paid or upon retirement when
a maximum of 90 days is paid. The accrued sick pay is not recorded, as the City’s policy is
not to compensate employees upon separation of services with the City, except for
retirement, and such amounts are not considered material. All vacation pay is accrued when
incurred in the government-wide and proprietary fund financial statements.
I. Long-term Obligations
In the government-wide financial statements and proprietary fund types in the fund financial
statements, long-term debt and other long-term obligations are reported as liabilities in the
applicable governmental activities, business-type activities, or proprietary fund type statement
of net position.
In the fund financial statements, the face amount of debt issued is reported as other financing
sources for the governmental fund types.
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For governmental fund types, bond premiums and discounts, as well as issuance costs, are
recognized during the current period. Bond proceeds are reported as another financing source.
Issuance costs, even if withheld from the actual net proceeds received, are reported as
expenditures. For proprietary fund types, bond premiums and discounts, as well as issuance
costs, are charged to current operations rather than being deferred and amortized due to the
relatively immaterial effect on the basic financial statements taken as a whole.
J. Fund Balance Classification
The governmental fund financial statements present fund balances based on classifications that
comprise a hierarchy that is based primarily on the extent to which the City is bound to honor
constraints on the specific purposes for which amounts in the respective governmental funds
can be spent. The classifications used in the governmental fund financial statements are as
follows:
• Nonspendable: This classification includes amounts that cannot be spent because they
are either (a) not in spendable form or (b) are legally or contractually required to be
maintained intact. Nonspendable items are not expected to be converted to cash or are
not expected to be converted to cash within the next year.
• Restricted: This classification includes amounts for which constraints have been
placed on the use of the resources either (a) externally imposed by creditors, grantors,
contributors, or laws or regulations of other governments, or (b) imposed by law
through constitutional provisions or enabling legislation.
• Committed: This classification includes amounts that can be used only for specific
purposes pursuant to constraints imposed by resolution of the City Council, the City’s
highest level of decision making authority. These amounts cannot be used for any
other purpose unless the Council removes or changes the specified use by taking the
same type of action that was employed when the funds were initially committed. This
classification also includes contractual obligations to the extent that existing resources
have been specifically committed for use in satisfying those contractual requirements.
• Assigned: This classification includes amounts that are constrained by the City’s
intent to be used for a specific purpose but are neither restricted nor committed. This
is done through resolution of the City Council. This intent can be expressed by the
Chief Financial Officer.
• Unassigned: This classification includes the residual fund balance for the General
Fund. The unassigned classification also includes negative residual fund balance of
any other governmental fund that cannot be eliminated by offsetting of assigned fund
balance amounts.
When an expenditure is incurred for purposes for which both restricted and unrestricted fund
balance is available, the City considers restricted funds to have been spent first. When an
expenditure is incurred for which committed, assigned, or unassigned fund balances are
available, the City considers amounts to have been spent first out of committed funds, then
assigned funds, and finally unassigned funds.
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K. Minimum Unassigned Fund Balance
It is the goal of the City to achieve and maintain an unassigned fund balance in the General
Fund equal to three months of that year’s budgeted expenditures for both the General and
Utility Funds. The City Council may declare a fiscal emergency and withdraw any amount of
the unassigned General and Utility Funds’ balances for purposes of addressing the fiscal
emergency. Any such action must also provide for necessary appropriations to restore the
designated fund balance to the balance within a three-year period.
L. Net Position Flow Assumption
Sometimes the City will fund outlays for a particular purpose from both restricted (e.g.,
restricted bond or grant proceeds) and unrestricted resources. In order to calculate the
amounts to report as restricted – net position and unrestricted – net position in the
government-wide and proprietary fund financial statements, a flow assumption must be made
about the order in which the resources are considered to be applied. It is the City’s policy to
consider restricted – net position to have been depleted before unrestricted – net position is
applied.
M. Deferred Outflows/Inflows of Resources
In addition to assets, the statement of financial position will sometimes report a separate
section for deferred outflows of resources. This separate financial statement element,
deferred outflows of resources, represents a consumption of net position that applies to a
future period(s) and so will not be recognized as an outflow of resources
(expense/expenditure) until then. The City has the following items that qualify for reporting
in this category.
• Deferred charges on refundings - A deferred charge on refunding results from the
difference in the carrying value of refunded debt and its reacquisition price. This
amount is deferred and amortized over the shorter of the life of the refunded or
refunding debt.
• Pension contributions after measurement date – These contributions are deferred and
recognized in the following fiscal year.
• Difference in projected and actual earnings on pension assets – This difference is
deferred and amortized over a closed five year period.
• Difference in expected actual pension experience – This difference is deferred and
recognized over the estimated average remaining lives of all members determined as
of the measurement date.
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In addition to liabilities, the balance sheet will sometimes report a separate section for
deferred inflows of resources. This separate financial statement element, deferred inflows of
resources, represents an acquisition of fund that applies to a future period(s) and so will not
be recognized as an inflow of resources (revenue) until that time. The government has one
type of item, which arises only under a modified accrual basis of accounting, which qualifies
for reporting in this category. Accordingly, the item, unavailable revenue, is reported only in
the governmental funds balance sheet. The governmental funds report unavailable revenues
from four sources: property taxes, municipal fines and ambulance fees, and a note payable
from the component unit. These amounts are deferred and recognized as an inflow of
resources in that period that the amounts become available. The City also had a deferred
inflow of resources for the following:
• Difference in projected and actual earnings on pension assets. The difference will be
amortized over a closed five year period.
N. Estimates
The preparation of financial statements, in conformity with generally accepted accounting
principles, requires management to make estimates and assumptions that affect the reported
amounts of assets and liabilities and disclosures of contingent liabilities at the date of the
financial statements and the reported amounts of revenue and expenses during the reporting
period. Actual amounts could differ from those estimates.
O. Risk Management
Insurance coverage for property, liability and workers’ compensation is provided by the
Texas Municipal League Intergovernmental Risk Pool, a state insurance pool. Contributions
to the Risk Pool for workers’ compensation are based on the City’s past claims history. The
Risk Pool is self-sustaining through members’ contributions and maintains insurance to limit
risk of loss with an external insurance company. Settlement claims have not exceeded
aggregate limits in the past three fiscal years.
P. Pensions
For purposes of measuring the net pension liability, pension related deferred outflows and
inflows of resources, and pension expense, City specific information about its Fiduciary Net
Position in the Texas Municipal Retirement System (TMRS) and additions to/deduction s
from the City’s Fiduciary Net Position have been determined on the same basis as they are
reported by TMRS. For this purpose, plan contributions are recognized in the period that
compensation is reported for the employee, which is when contributions are legally due.
Benefit payments and refunds are recognized when due and payable in accordance with the
benefit terms. Investments are reported at fair value. Information regarding the City’s Total
Pension Liability is obtained from TMRS through a report prepared for the City by TMRS
consulting actuary, Gabriel Roeder Smith & Company, in compliance with Governmental
Accounting Standards Board (GASB) Statement No. 68, Accounting and Financial Reporting
for Pensions.
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2. RECONCILIATION OF GOVERNMENT-WIDE AND FUND FINANCIAL STATEMENTS
Explanation of Certain Differences Between the Governmental Fund Balance Sheet and the
Government-wide Statement of Net Position
The governmental fund balance sheet includes a reconciliation between fund balance – total
governmental funds and net position – governmental activities as reported in the government-
wide statement of net position. One element of that reconciliation explains, “Long-term liabilities
are not due and payable in the current period and therefore are not reported in the funds.” The
details of this $(15,003,862) difference are as follows:
Bonds payable 13,230,000)$(
Bond premiums 238,957)(
Capital leases payable 597,110)(
Accrued interest payable 80,554)(
Compensated absences 857,241)(
Net adjustment to reduce fund balance - total
governmental funds to arrive at net position -
governmental activities 15,003,862)$(
Explanation of Certain Differences Between the Governmental Fund Statement of Revenue,
Expenditures and Changes in Fund Balances and the Government-wide Statement of Activities
The governmental fund statement of revenue, expenditures and changes in fund balances includes
a reconciliation between net changes in fund balances – total governmental fund and changes in
net position of governmental activities as reported in the government-wide statement of activities.
One element of that reconciliation explains, “Governmental funds report capital outlays as
expenditures. However, in the statement of activities the cost of those assets is allocated over their
estimated useful lives and reported as depreciation expense.” The details of this $888,827
difference are as follows:
Capital outlay 4,392,545$
Capital contributions 1,196,005
Depreciation expense 4,699,723)(
Net adjustment to increase net changes in fund balances -
total governmental funds to arrive at changes in net
position of governmental activities 888,827$
Another element of that reconciliation states, “Revenues in the statement of activities that do not
provide current financial resources are not reported as revenues in the funds.” The details of this
$(524,583) difference are as follows:
Property taxes 63,420$
Ambulance revenue 11,992
Adjudicated fines 5
CEDC 600,000)(
Net adjustment to net changes in fund balances -
total governmental funds to arrive at changes in net
position of governmental activities 524,583)$(
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Another element of that reconciliation states, “The issuance of long-term debt (e.g., bonds,
leases) provides current financial resources to governmental funds, while the repayment of the
principal of long-term debt consumes the current financial resources of governmental funds.”
Neither transaction, however, has any effect on net position. The details of this $1,610,347
difference are as follows:
Principal payments 2,151,420$
Capital lease - proceeds 541,073)(
Net adjustment to reduce fund balance -total
governmental funds to arrive at net position -
governmental activities 1,610,347$
Another element of that reconciliation states, “Some expenses reported in the statement of
activities do not require the use of current financial resources, and therefore are not reported as
expenditures in governmental funds.” The details of this $(5,605) difference are as follows:
Compensated absences 17,606)$(
Accrued interest 12,001
Net adjustment to decrease net changes in fund balances -
total governmental funds to arrive at changes in net
position of governmental activities 5,605)$(
3. STEWARDSHIP, COMPLIANCE AND ACCOUNTABILITY
A. Budgetary Information
The City Council follows these procedures in establishing budgetary data reflected in the
basic financial statements:
(1) Prior to September 1, the City Manager submits to the City Council a
proposed operating budget for the fiscal year commencing the following
October 1. The operating budget includes proposed expenditures and the
means of financing them.
(2) Public hearings are conducted to obtain taxpayer comments.
(3) Prior to September 30, the budget is legally enacted through passage of an
ordinance.
(4) The City Manager is authorized to transfer budgeted amounts between
departments within any fund; however, any revisions that alter the total
expenditures of any fund must be approved by the City Council.
(5) Formal budgetary integration is employed as a management control device
during the year for the General, Debt Service, and Enterprise Funds.
Budgetary control is maintained at the fund level.
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Internal budgets prepared for various boards are reviewed by the City Council
for expenditures of Special Revenue Funds. These budgeted expenditures are
not formally adopted by the City Council. No budgets were prepared for
revenue of these funds for the year ended September 30, 2017.
(6) Budgets for the General and the Debt Service Funds are adopted on a basis
consistent with generally accepted accounting principles (GAAP). Formal
budgeted amounts are as amended by the City Council for the General, Debt
Service and Enterprise Funds.
(7) Budgetary data for the Capital Projects Fund has not been presented in the
accompanying basic financial statements, as such funds are budgeted over the
life of the respective project and not on an annual basis. Accordingly, formal
budgetary integration of the Capital Projects Fund is not employed and
comparison of actual results of operations to budgetary data for such fund is
not presented.
(8) Budgetary data for the Enterprise and Drainage Utility Funds has not been
presented since the reporting on such budgets is not legally required.
Expenditures Over Appropriations
Fire and rescue, and capital outlay expenditures in the general fund exceeded
appropriations by $320,424, and $572,692. This overage was funded by under spending in
other functions. The debt service fund had expenditures in excess of appropriations of
$115,780. This was due to the down payment for the fire truck lease purchase agreement
being budgeted in fiscal year 2016, but actually delivered in fiscal year 2017.
4. DETAILED NOTES ON ALL FUNDS
Deposits and Investments
In fiscal year 2016, the City adopted GASB Statement No. 72 (“GASB 72”), Fair Value
Measurement and Application. GASB 72 was issued to address accounting and financial
reporting issues related to fair value measurements.
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The City categorizes its fair value measurements within the fair value hierarchy established
by generally accepted accounting principles. The hierarchy is based on the valuation inputs
used to measure the fair value of the asset. Level 1 inputs are quoted prices in active markets
for identical assets; Level 2 inputs are significant other observable inputs; and Level 3 inputs
are significant unobservable inputs. As of September 30, 2017, the City held the following
fair value measurements:
Weighted
Percent Average
of Total Maturity
9/30/2017 (Level 1)(Level 2)(Level 3)Portfolio (Days)
Primary government
Cash and cash equivalents
Cash deposits - City 23,857,404$ -$ -$ -$
Cash deposits - trust and agency 25,246 - - -
Total cash and cash equivalents 23,882,650 - - -
Investments measured at net asset
value per share:
Investment pools:
LOGIC 14,528,736 - - - 42.20%34
Investments in certictes of deposits
Certificates of deposits 4,591,089 - - -
Investments by fair value level:
Debt securities:
Federal Farm Credit Bonds 5,528,506 - 5,528,506 - 16.06%100
Federal Home Loan Bank Bonds 4,289,321 1,249,754 3,039,567 - 12.46%88
Federal Home Loan Mortgage Corporation 3,488,592 3,488,592 - - 10.13%56
Federal National Mortgage Association 1,998,335 999,887 998,448 - 5.80%12
Total investments 34,424,579 5,738,233 9,566,521 -
Total cash and investments of
the primary government 58,307,229$ 5,738,233$ 9,566,521$ -$
Portfolio weighted average maturity (days)62
Component unit
Cash deposits 2,969$ -$ -$ -$
LOGIC 13,557,343 - - - 39.38%34
Federal Farm Credit Bonds 2,352,387 - 2,352,387 - 6.83%100
Federal Home Loan Bank Bonds 3,049,207 1,699,745 1,349,462 - 8.86%88
Total cash and investments of 18,961,906 1,699,745 3,701,849 -
the component
Total cash and investments
of the reporting entity 77,269,135$ 7,437,978$ 13,268,370$ -$
Fair Value Measurement Using
The City categorizes its fair valu e measurements within the fair value hierarchy established by
generally accepted accounting principles. The hierarchy is based on the valuation inputs used to
measure the fair value of the asset. Level 1 inputs are quoted prices in active markets for
identical assets; Level 2 inputs are significant other observable inputs; Level 3 inputs are
significant unobservable inputs.
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U.S. Government Agency Securities classified as Level 1 of the fair value hierarchy are valued
using the documented trade history in exact security pricing model.
$6,181,200 of U.S. Government Agency Securities classified as Level 2 of the fair value
hierarchy are valued using the documented trade history in exact security pricing model.
$1,199,700 of U.S. Government Agency Securities classified as Level 2 of the fair value
hierarchy are valued using the option-adjusted discounted cash flow model. $5,887,470 of U.S.
Government Agency Securities classified as Level 2 of the fair value hierarchy are valued using
the present value of expected future cash flow model.
The Public Funds Investment Act (Government Code Chapter 2256) contains specific provisions
in the areas of investment practices, management reports and establishment of appropriate
policies. Among other things, it requires the City to adopt, implement, and publicize an
investment policy. That policy must address the following areas: (1) safety of principal and
liquidity, (2) portfolio diversification, (3) allowable investments, (4) acceptable risk levels, (5)
expected rates of return, (6) maximum allowable stated maturity of portfolio investments, (7)
maximum average dollar-weighted maturity allowed based on the stated maturity date for the
portfolio, (8) investment staff quality and capabilities, and (9) bid solicitation preferences for
certificates of deposit. Statutes authorize the City to invest in (1) obligations of the U. S.
Treasury, certain U. S. agencies, and the State of Texas; (2) certificates of deposit, (3) certain
municipal securities, (4) money market savings accounts, (5) repurchase agreements, (6) bankers
acceptances, (7) Mutual Funds, (8) investment pools, (9) guaranteed investment contracts, and
(10) common trust funds. The Act also requires the City to have independent auditors perform
test procedures related to investment practices as provided by the Act. The City is in substantial
compliance with the requirements of the Act and with local policies.
The LOGIC pool has a redemption notice period of one day and may redeem daily. The
investment pool’s authorities may only impose restrictions on redemptions in the event of a
general suspension of trading on major securities markets, general banking moratorium or
national state emergency that affects the pool’s liquidity.
Interest Rate Risk. In accordance with its investment policy, the government manages its
exposure to declines in fair market values by limiting the average dollar weighted maturity of its
investment portfolios to a maximum of 540 days.
Custodial Credit Risk. The City maintains a cash and investment pool that combines cash of the
various funds in order to maximize investment opportunities. The City’s policy and state statu tes
require that all deposits in financial institutions be insured by the Federal Depository Insurance
Corporation (FDIC) or fully collateralized as per the Public Funds Collateral Act. The City’s
deposits were fully insured or collateralized as required by state statutes as of September 30,
2017.
Credit Risk. It is the City’s policy to limit its investments to investment types with an investment
quality rating not less than A or its equivalent by a nationally recognized statistical rating
organization. The City’s investment pools are rated as follows by Standard & Poor’s Investors
Service.
LOGIC AAAm
U. S. Treasuries and Agencies AA+
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Receivables
Receivables as of year-end for the government’s individual major funds, nonmajor funds and
enterprise funds in the aggregate, including the applicable allowances for uncollectible accounts,
are as follows:
Debt Nonmajor Water and Drainage
General Service Funds Wastewater Utility Total
Receivables:
Accounts 304,849$ -$ -$ 2,391,523$ 117,563$ 2,813,935$
Taxes 210,003 26,894 - - - 236,897
Due from other
governments 747,877 1,793 672,227 - - 1,421,897
Loans 142,500 1,880,000 - - - 2,022,500
Accrued interest 14,106 - 13,244 7,324 305 34,979
Gross receivables 1,419,335 1,908,687 685,471 2,398,847 117,868 6,530,208
Less: allowance for
uncollectibles 221,314)( - - 41,220)( - 262,534)(
Net total receivables 1,198,021$ 1,908,687$ 685,471$ 2,357,627$ 117,868$ 6,267,674$
Governmental Funds Enterprise Funds
The City’s property tax is levied each October 1 on the assessed value listed as of the prior
January 1 for all real property and certain personal property located in the City. The asses sed
value, net of exemptions, upon which the fiscal 2017 levy was based, was $4,501,835,710.
Property taxes are limited by the Texas constitution to $2.50 per $100 of assessed valuation and
by City Charter to $1.50 per $100 valuation. Also, the tax rate set per budget year shall not result
in property tax revenue increase greater than seven percent of the total property tax revenue
collected in the preceding budget year, adjusted for new construction, unless authorized by the
voters of the City at a special election. The combined tax rate to finance general governmental
service and debt service for the year ended September 30, 2017, was $.3391 per $100 of assessed
valuation.
Taxes are due by January 31 following the levy date. Tax collections, including related penalties
and interest, was $15,533,114 for the year ended September 30, 2017. Property taxes receivable
at September 30, 2017, were $236,897.
The appraisal of property within the City is the responsibility of a countywide appraisal district
as required by legislation passed by the Texas Legislature. The appraisal district is required
under such legislation to assess all property within the appraisal district on the basis of 100% of
its appraised value and is prohibited from applying any assessment ratios. The value of property
within the appraisal district must be reviewed every three years; however, the City may, at its
own expense, require annual reviews of appraised values. The City may challenge appraised
values established by the appraisal district through various appeals and, if necessary, legal action.
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Capital Assets
Capital asset activity for the year ended September 30, 2017, was as follows:
Primary Government
Beginning Decreases/Ending
Balance Increases Reclasses Balance
Governmental activities:
Capital assets, not being depreciated:
Land 9,178,641$ -$ -$ 9,178,641$
Construction in progress 661,576 3,309,658 1,661,303)( 2,309,931
Total assets not being depreciated 9,840,217 3,309,658 1,661,303)( 11,488,572
Capital assets, being depreciated:
Buildings and improvements 49,775,646 29,680 595,232 50,400,558
Machinery and equipment 12,404,954 1,053,206 585,348)( 12,872,812
Infrastructure 95,872,787 1,196,006 1,066,071 98,134,864
Total capital assets being depreciated 158,053,387 2,278,892 1,075,955 161,408,234
Less accumulated depreciation:
Buildings and improvements 18,981,354)( 1,652,831)( - 20,634,185)(
Machinery and equipment 9,499,187)( 1,083,595)( 585,348 9,997,434)(
Improvements other than buildings 28,234,489)( 1,963,297)( - 30,197,786)(
Total accumulated depreciation 56,715,030)( 4,699,723)( 585,348 60,829,405)(
Total capital assets being depreciated, net 101,338,357 2,420,831)( 1,661,303 100,578,829
Governmental activities capital
assets, net 111,178,574$ 888,827$ -$ 112,067,401$
Beginning Ending
Balance Increases Decreases Balance
Business-type activities:
Capital assets, not being depreciated:
Land 304,839$ -$ -$ 304,839$
Construction in progress - 1,100,366 - 1,100,366
Total assets not being depreciated 304,839 1,100,366 - 1,405,205
Capital assets, being depreciated:
Buildings and improvements 53,922 - - 53,922
Machinery and equipment 1,966,904 52,377 - 2,019,281
Improvements other than buildings 79,044,264 688,363 - 79,732,627
Total capital assets being depreciated 81,065,090 740,740 - 81,805,830
Less accumulated depreciation:
Buildings and improvements 50,817)( 622)( - 51,439)(
Machinery and equipment 1,403,068)( 240,622)( - 1,643,690)(
Improvements other than buildings 34,849,004)( 1,968,110)( - 36,817,114)(
Total accumulated depreciation 36,302,889)( 2,209,354)( - 38,512,243)(
Total capital assets being depreciated, net 44,762,201 1,468,614)( - 43,293,587
Business-type activities capital assets, net 45,067,040$ 368,248)$( -$ 44,698,792$
67
Beginning Ending
Balance Increases Decreases Balance
Component unit:
Capital assets, not being depreciated:
Construction in progress 9,418,864$ 3,236,759$ -$ 12,655,623$
Total assets not being depreciated 9,418,864 3,236,759 - 12,655,623
Capital assets, being depreciated:
Improvements other than buildings 6,879,118 582)( - 6,878,536
Total capital assets being depreciated 6,879,118 582)( - 6,878,536
Less accumulated depreciation:
Improvements other than buildings 404,390)( 141,755)( - 546,145)(
Total accumulated depreciation 404,390)( 141,755)( - 546,145)(
Total capital assets being depreciated, net 6,474,728 142,337)( - 6,332,391
Component unit capital assets, net 15,893,592$ 3,094,422$ -$ 18,988,014$
Depreciation expense was charged to functions/programs of the primary government as follows:
Governmental activities:
General government 447,322$
Fire and rescue 478,907
Leisure services 1,178,645
Maintenance 16,064
Police 557,120
Streets and drainage 2,021,665
Total depreciation expense - governmental activities 4,699,723$
Business-type activities:
Water and wastewater 2,078,365$
Drainage utility 130,989
Total depreciation expense - business-type activities 2,209,354$
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Construction Commitments
The government has active construction projects as of September 30, 2017. The major projects
are listed as follows:
Remaining
Project Spent-to-date Commitment
Bedford Road Retaining Wall 951,988$ 228,175$
Frontier Court Drainage 41,600 6,400
Glade Road Design Phase 1 650,852 13,513
Glade Road ROW Phase 1 Consultant 251,148 1,907
Glad Road ROW Phase 1 Acquisition 879,928 45,072
Glade Road Reconstruction Phase 1 1,059,029 944,317
Glade Road Design Phases 2-4 553,611 388,519
Pleasant Run - John McCain to Shelton - Design 311,907 35,593
Water Project 9: Misc. Repairs to Elevated Storage Tanks - 226,600
Glade Road PH II ROW Consultant - 132,500
John McCain Rehabilitation 103,733 1,543,489
Pleasant Run - Rehabilitation 1,609,603 3,328,958
Water Project 11: John McCain 12" Water Line Replacement 321,272 124,728
Water Project 8: Pressure Relief and Flow Control Valves Design 1,740 49,600
WW Project 3: Replacement Pipelines on Manning Dr. Design 12,400 7,600
Total 6,748,811$ 7,076,971$
Interfund Transactions
The composition of interfund transfers as of September 30, 2017, is as follows:
Interfund Transfers
Nonmajor
Capital Debt Government
General Projects Service Funds Total
Transfer Out:
General -$ 3,007,012$ -$ 428,705$ 3,435,717$
Nonmajor governmental - - 503,862 10,000 513,862
Capital projects - - - 30,796 30,796
Water and wastewater - - - 44,287 44,287
Drainage fee - - - 19,032 19,032
Total Transfers Out -$ 3,007,012$ 503,862$ 532,820$ 4,043,694$
Transfer In
The transfer of $3,007,012 from the General Fund to the Capital Projects and nonmajor
governmental funds represents transfers for capital replacement. The transfer of $503,862 from
the Crime District to the Debt Service Fund is for the repayment of debt. All principal and
interest is paid from the Debt Service Fund.
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Long-term Liabilities
General Obligation Bonds
The government issues general obligation bonds to provide funds for the acquisition and
construction of major capital facilities. General obligation bonds have been issued for
governmental activities. The original amount of general obligation bonds issued in prior years
was $35,540,000.
General obligation bonds are direct obligations and pledge the full faith and credit of the
government. These bonds generally are issued as 20-year serial bonds with equal amounts of
principal maturing each year. General obligation bonds currently outstanding are as follows:
Purpose Interest Rates Amount
Governmental activities 2% - 5%13,230,000$
13,230,000$
Long-term liability activity for the year ended September 30, 2017, was as follows:
Balance Balance Amounts
September 30,September 30,Due Within
2016 Additions Retirements 2017 One Year
Governmental activities
General obligation bonds and
certificates of obligation 8,550,000$ -$ 1,425,000$ 7,125,000$ 1,460,000$
Premium on bonds 239,163 - 206 238,957 -
Sales tax revenue bonds 6,525,000 - 420,000 6,105,000 425,000
Capital lease obligations 362,251 541,073 306,214 597,110 138,732
Net pension obligation 199,843 1,176,747 828,813 547,777 -
Compensated absences 839,635 513,460 495,854 857,241 53,550
Total governmental activities 16,715,892 2,231,280 3,476,087 15,471,085 2,077,282
Business-type activities
Revenue bonds and certificates
of obligation 1,090,000 - 460,000 630,000 265,000
Premium on bonds 49,878 - 24,939 24,939 -
Net pension obligation 27,023 158,922 111,925 74,020 -
Compensated absences 91,374 61,597 67,017 85,954 15,565
Total business-type activities 1,258,275 220,519 663,881 814,913 280,565
Total primary government 17,974,167$ 2,451,799$ 4,139,968$ 16,285,998$ 2,357,847$
Component unit
Tax increment financing fund
Note payable to primary government 2,480,000$ -$ 600,000$ 1,880,000$ 610,000$
Bond premium 96,161 - 24,040 72,121 -
Total component unit 2,576,161$ -$ 624,040$ 1,952,121$ 610,000$
For the governmental activities, compensated absences are generally liquidated by the General
Fund.
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Governmental activities long-term liabilities at September 30, 2017, consisted of the following:
$2,915,000 Series 2006 General Obligation Refunding bonds due in
annual installments of $25,000 to $540,000 through February 15,2019;
interest at 3.64%.1,050,000$
$4,325,000 Series 2007 General Obligation Bonds due in annual
installments of $50,000 to $555,000 through February 15,2027;interest
at 4.00% to 5.00%. Partially refunded in 2016.-
$1,435,000 Series 2011 General Obligation Refunding Bonds due in
annual installments of $135,000 to $800,000 through February 15,
2020; interest at 2.00% to 4.00%.480,000
$6,225,000 Series 2016 General Obligation Refunding Bonds due in
annual installments of $475,000 to $875,000 through February 15,
2027; interest at 2.00% to 3.00%.5,595,000
Total General Obligation Bonds and Certificates of Obligation 7,125,000$
General obligation bonds and certificates of obligation serviced by property tax revenue:
$9,570,000 Series 2013 Colleyville Economic Development Corporation
Refunding and Improvement Sales Tax Revenue Bonds due in annual
installments of $340,000 to $635,000 through February 15,2029;
interest at 2.88%6,105,000$
Total Revenue Bonds 6,105,000$
Business-type activities long-term liabilities at September 30, 2017, consisted of the following:
$1,890,000 Series 2010 Waterworks and Wastewater System
Refunding Bonds due in annual installments of $155,000 to $580,000
through January 1, 2018; interest at 2.00% - 3.00%.155,000$
Total Water and Wastewater Fund 155,000$
Water and Wastewater Fund:
Drainage Utility Fund:
$1,135,000 Series 2011 Waterworks and Wastewater System
Refunding Bonds due in annual installments of $105,000 to $225,000
through February 15, 2021; interest at 3.47%.475,000$
Total Drainage Utility Fund 475,000$
Total Business-type activities 630,000$
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The ordinances authorizing the issuance of Waterworks and Wastewater System Revenue Bonds
created the Interest and Sinking Fund and Reserve Fund. The gross revenue of the waterworks
and wastewater system, after deduction of reasonable expenses of operations and maintenance,
are pledged to such funds in amounts equal to the total annual principal and interest requirements
of the bonds and amounts required to maintain the Reserve Fund. At September 30, 2017, the
City was in compliance with these requirements.
The City’s component unit, the Tax Increment Financing District, long-term liabilities at
September 30, 2017, consisted of the following:
$2,480,000 Note Payable to Primary Government due in annual
installments of $600,000 to $645,000 through February 15,2020;
interest at 2.00% to 4.00%.1,880,000$
Total Tax Increment Financing District 1,880,000$
Tax Increment Financing District
September 30,Principal Interest Principal Interest
2018 1,460,000$ 177,838$ 425,000$ 169,704$
2019 1,510,000 133,128 445,000 157,176
2020 1,045,000 91,425 460,000 144,144
2021 410,000 68,750 470,000 130,752
2022 425,000 56,225 490,000 130,752
2023-2027 2,275,000 117,925 2,645,000 363,528
2023-2027 - - 1,170,000 33,984
7,125,000$ 645,291$ 6,105,000$ 1,130,040$
Governmental Activities
General
Obligation Bonds and
Certificates of Obligation Revenue Bonds
September 30,Principal Interest
2018 265,000$ 16,899$
2019 115,000 10,670
2020 125,000 6,506
2021 125,000 2,169
630,000$ 36,244$
Business-type Activities
Revenue Bonds
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September 30,Principal Interest
2018 610,000$ 44,200$
2019 625,000 28,725
2020 645,000 9,675
1,880,000$ 82,600$
Discretely Presented Component Unit -
Tax Increment Financing Fund
Revenue Bonds
Capital Leases
The City has entered into lease agreements as lessee for financing and acquisition of equipment
for the Fire Department. These lease agreements qualify as capital leases for accounting purposes
and, therefore, have been recorded at the present value of its future minimum lease payments as
of the inception date.
On October 10, 2016 the City entered into a capital lease agreement for a 2017 Pierce Impel
Pumper Fire Engine. The total amount financed was $541,073. The City will make annual
payments of $48,485 through October 2025 at an interest rate of 2.883%.
The assets acquired through capital leases are as follows:
Governmental
Activities
Asset:
Machinery and equipment 1,694,191$
Less: accumulated depreciation 900,174)(
Total 794,017$
The future minimum lease obligations and the net present value of these minimum lease
payments as of September 30, 2017, were as follows:
Governmental
Activities
2018 165,323$
2019 165,323
2020 48,484
2021 48,484
2022 48,484
2023-2027 193,945
Total minimum lease payments 670,043
Less: amount representing interest 72,933)(
Present value of minimum lease payments 597,110$
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Defined Benefit Pension Policies
Plan Descriptions
The City participates as one of 872 plans in the nontraditional, joint contributory, hybrid defined
benefit pension plan administered by the Texas Municipal Retirement System (TMRS). TMRS is
an agency created by the State of Texas and administered in accordance with the TMRS Act,
Subtitle G, Title 8, Texas Government Code (the TMRS Act) as an agency multiple -employer
retirement system for municipal employees in the State of Texas. The TMRS Act places the
general administration and management of the System with a six-member Board of Trustees.
Although the Governor, with the advice and consent of the Senate, appoints the Board, TMRS is
not fiscally dependent on the State of Texas. TMRS’s defined benefit pension plan is a tax -
qualified plan under Sections 401(a) of the Internal Revenue Code. TMRS issues a publicly
available comprehensive annual financial report (CAFR) that can be obtained at www.tmrs.org.
All eligible employees of the City are required to participate in TMRS.
Benefits Provided
TMRS provides retirement, disability, and death benefits. Benefit provisions are adopted by the
governing body of the City, within the options available in the state statutes governing TMRS.
At retirement, the benefit is calculated as if the sum of the employee’s contributions, with
interest, and the City-financed monetary credits with interest were used to purchase an annuity.
Members may choose to receive their retirement benefit in one of seven payments options.
Members may also choose to receive a portion of their benefit as a Partial Lump Sum
Distribution in an amount equal to 12, 24, or 36 monthly payments, which cannot exceed 75% of
the member’s deposits and interest.
A summary of plan provisions for the City are as follows:
Employee deposit rate 7%
Matching ratio (City to employee)2 to 1
Years required for vesting 5
Service retirement eligibility 20 years to any age,
5 years at age 60 and above
Updated service credit 100% repeating, transfers
Annuity increase to retirees 0% of CPI
Employees covered by benefit terms
At the December 31, 2016 valuation and measurement date, the following employees were
covered by the benefit terms:
Inactive employees or beneficiaries currently receiving benefits 111
Inactive employees entitled to but not yet receiving benefits 130
Active employees 186
427
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Contributions
The contribution rates for employees in TMRS are either 5%, 6%, or 7% of employee gross
earnings, and the City matching percentages are with 100%, 150%, or 200%, both as adopted by
the governing body of the City. Under the state law governing TMRS, the contributions rate for
each city is determined as the estimated amount necessary to finance the cost of benefits earned
by employees during the year, with an additional amount to finance any unfunded accrued
liability.
Employees for the City were required to contribute 7% of their annual gross earnings during the
fiscal year. The contribution rates for the City were 7.73% and 8.57% in calendar years 2016 and
2017, respectively. The city’s contributions to TMRS for the year ended September 30, 2017,
were $1,048,848, and were equal to the required contributions.
Net Pension Liability
The city’s Net Pension Liability (NPL) was measured as of December 31, 2016, and the Total
Pension Liability (TPL) used to calculate the Net Pension Liability was determined by an
actuarial valuation as of that date.
Actuarial assumptions:
The Total Pension Liability in the December 31, 2016 actuarial valuation was determined using
the following actuarial assumptions:
Inflation 2.5% per year
Overall payroll growth 3.0% per year
Investment Rate of Return 6.75%, net of pension plan investment expense, including inflation
Salary increases were based on a service-related table. Mortality rates for active members,
retirees, and beneficiaries were based on the gender-distinct RP2000 Combined Healthy
Mortality Tables with Blue Collar Adjustment, with male rates multiplied by 109% and female
rates multiplied by 103%. Based on the size of the city, rates are multiplied by a factor of 100%.
The rates are projected on a fully generational basis by scale BB to account for future mortality
improvements. For disabled annuitants, the gender-distinct RP2000 Combined Healthy Mortality
Tables with Blue Collar Adjustments are used with males rates multiplied by 109% and female
rates multiplied by 103% with a 3-year-set-forward for both males and females. In addition, a
3% minimum mortality rate is applied to reflect the impairment for younger members who
become disabled. The rates are projected on a fully generational basis by scale BB to account for
future mortality improvements subject to the 3% floor.
Actuarial assumptions used in the December 31, 2016, valuation were based on the results of
actuarial experience studies. The experience study in TMRS was for the period of December 31,
2010 through December 31, 2014. Healthy post-retirement morality rates and annuity purchase
rates were updated based on a Mortality Experience Investigation Study covering the 2009
through 2011, and the dated December 31, 2013. These assumptions were first used in the
December 31, 2013 valuation, along with a change to the Entry Age Normal (EAN) actuarial
cost method. Assumptions are reviewed annually. Plan assets are managed on a total return basis
with an emphasis on both capital appreciation as well as the production of income, in order to
satisfy the short-term and long-term funding needs of TMRS.
75
The long-term expected rate of return on pension plan investments was determined using a
building-block method in which best estimate ranges of expected future real rates of return
(expected returns, net of pension plan investment expenses and inflation) are developed for each
major asset class. These rangers are combined to produce the long-term expected rate of return
by weighting the expected future real rates of return by the target asset allocation percentage and
by adding expected inflation. In determining their best estimate of a recommended investment
return assumption under the various alternative asset allocation portfolios, GRS focused on the
area between (1) arithmetic mean (aggressive) without an adjustment for time (conservative) and
(2) the geometric mean (conservative) with an adjustment for time (aggressive). The target
allocation and best estimates of arithmetic real rates of return for each major assets class in fiscal
year 2017 are summarized in the following table:
Asset Class Target Allocation Long-Term Expected Real Rate of Return (Arithmetic)
Domestic Equity 17.5%4.55%
International Equity 17.5%6.35%
Core Fixed Income 10.0%1.00%
Non-Core Fixed Income 20.0%4.15%
Real Return 10.0%4.15%
Real Estate 10.0%4.75%
Absolute Return 10.0%4.00%
Private Equity 5.0%7.75%
Total 100.0%
Discount Rate
The discount rate used to measure the Total Pension Liability was 6.75%. The projection of cash
flows used to determine the discount rate assumed that employee and employer contributions
will be made at the rates specified in statue. Based on that assumption, the pension plan’s
Fiduciary Net Position was projected to be available to make all projected future benefit
payments of current active and inactive employees. Therefore, the long-term expected rate of
return on pension plan investments was applied to all period of projected benefit payments to
determine the Total Pension Liability.
76
Changes in the Net Pension Liability
Total Pension Plan Fiduciary Net Pension
Liability Net Position Liability
(a)(b)(a) - (b)
Balance at 12/31/2015 49,029,491$ 48,802,624$ 226,867$
Changes for the year:
Service cost 1,920,420 - 1,920,420
Interest 3,302,291 - 3,302,291
Difference between expected and actual experience 205,568 - 205,568
Changes of assumptions - - -
Contributions - employer - 922,484 922,484)(
Contributions - employee - 851,897 851,897)(
Net investment income - 3,298,224 3,298,224)(
Benefit payments, including refunds of employee
contributions 2,133,755)( 2,133,755)( -
Administrative expense - 37,249)( 37,249
Other changes - 2,007)( 2,007
Net changes 3,294,524 2,899,594 394,930
Balance at 12/31/2016 52,324,015$ 51,702,218$ 621,797$
Increase (Decrease)
The following presents the net pension liability of the City, calculated using the discount rate of
6.75%, as well as what the City’s net pension liability would be if it were calculated using a
discount rate that is 1-percentage-point lower (5.75%) of 1-percentage-higher (7.75%) than the
current rate:
1% Decrease in 1% Increase in
Discount Rate (5.75%)Discount Rate (6.75%)Discount Rate (7.75%)
City's net pension
liability 7,954,436$ 621,797$ 5,419,645)$(
Pension Plan Fiduciary Net Position
Detailed information about the pension plan’s Fiduciary Net Position is available in a separately-
issued TMRS financial report. The report may be obtained on the Internet at www.tmrs.org.
Pension Expense and Deferred Outflows of Resources and Deferred Inflows of Resources
Related to Pensions. For the year ended September 30, 2017, the City recognized pension
expense of $2,160,659.
77
At September 30, 2017, the City reported deferred outflows of resources and deferred inflows of
resources related to pensions from the following sources:
Deferred Deferred
Outflows of Resources Inflows of Resources
Differences between expected and
actual economic experience 213,407$ 32,197$
Changes in actuarial assumptions 544,197 -
Difference between projected and actual
investment earnings 2,243,649 -
Contributions subsequent to the
measurement date 806,912 -
Total 3,808,165$ 32,197$
$806,912 reported as deferred outflows of resources related to pensions resulting from
contributions subsequent to the measurement date will be recognized as a reduction of the net
pension liability for the year ending September 30, 2017. Other amounts reported as deferred
outflows and inflows of resources related to pensions will be recognized in pension expenses as
follows:
Year ended September 30,
2018 1,044,766$
2019 1,040,385
2020 855,222
2021 28,682
2,969,055$
Tax Abatements
The City negotiates Chapter 380 sales tax rebate agreements on an individual basis. The City has
tax rebate agreements with one entity as of September 30, 2017:
Percentage Amount of
of Taxes Taxes Abated
Abated during during the
Purpose the Fiscal Year Fiscal Year
Company desires to purchase and use
new building materials within the
City that will generate additional
sales and use tax revenue for the City 80%10,329$
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Water and Wastewater Contracts
The City has two contracts with the Trinity River Authority of Texas (TRA) for the purchase of
treated water and for the transportation, treatment and disposal of sanitary sewage and other waste.
The initial term of the contracts are 35 years (water – April 2014) and 50 years (wastewater –
November 2023), however both contain language that they will continue in effect until all related
bonds and refunding bonds in lieu of debt have been paid. While the provisions of each of the
contracts vary, each contract basically requires the City to pay varying amounts based on the costs
associated with water purchased and sewage transported and/or treated and disposed. The cost
includes the City’s proportionate share of TRA’s operating and maintenance expenses, related debt
service costs, and certain other miscellaneous charges. Purchases of treated water and charges for
the transportation, treatment and disposal of sewage and other wastes during fiscal year 2017
amounted to approximately $7,588,127 and $2,624,416, respectively.
Contingent Liabilities
The City has been named as a defendant or co-defendant in a number of legal actions. While the
outcome of these cases is not known at this time, City management believes that any awards to
insured parties which must be paid in excess of amounts covered by insurance will not be
material to the financial position of the City.
Risk Financing and Insurance
The City is exposed to various risks of loss related to torts, theft of, damage to, and destruction
of assets; errors and omissions; injuries to employees; and natural disasters. During the fiscal
year 1974, the City joined the Texas Municipal League Workers Compensation Joint Insurance
Fund for risks related to employees. During the fiscal year 1992, the City joined the Texas
Municipal League Joint Insurance Fund for risks related to general liability, property and errors
and omissions. Premiums are paid to the Pool, which retains a limit of loss. Reinsurance
companies insure the risks beyond those limits. The City retains, as a risk, only the deductible
amount of each policy. There have been no significant reductions in insurance coverage and no
settlements exceeded insurance coverage in the past three fiscal years.
Other Postemployment Benefits
Supplemental Death Benefits Fund
The City also participates in the cost sharing multiple-employer defined benefit group term life
insurance plan operated by the Texas Municipal Retirement System (TMRS) known as the
Supplemental Death Benefits Fund (SDBF). The City elected, by ordinance to provide group
term life insurance coverage to both current and retired employees. The City may terminate
coverage under and discontinue participation in the SDBF by adopting an ordinance before
November 1 of any year to be effective the following January 1.
The death benefit for active employees provides a lump sum payment approximately equal to the
employee’s annual salary (calculated based on the employee’s actual earnings, for the 12-month
period preceding the month of death); retired employees are insured for $7,500; this coverage is
an “other postemployment benefit,” or OPEB.
79
The City contributes to SDBF at a contractually required rate as determined by an annual
actuarial valuation. The rate is equal to the cost of providing one-year term life insurance. The
funding policy for the SDBF program is to assure that adequate resources are available to meet
all death benefit payments for the upcoming year; the intent is not to pre-fund retiree life
insurance during employees’ entire careers.
The City’s contributions to the TMRS SDBF for the years ended 2017, 2016, and 2015 were
$18,793, $18,639, and $17,776, respectively, which equaled the required contributions each year.
Annual Actual
Accounting Required Contribution Percentage
Year Contribution Made of ARC
Ending (Rate)(Rate)Contributed
09/30/15 0.15%0.15%100%
09/30/16 0.15%0.15%100%
09/30/17 0.15%0.15%100%
Schedule of Contribution Rates
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REQUIRED
SUPPLEMENTARY INFORMATION
Plan Year 2014 2015 2016
A. Total pension liability
Service Cost 1,598,908$ 1,820,192$ 1,920,420$
Interest (on the Total Pension Liability)2,938,763 3,149,676 3,302,291
Difference between expected and actual experience 136,216 55,444)( 205,568
Changes in assumptions - 937,119 -
Benefit payments, including refunds of employee contributions 1,728,299)( 1,814,665)( 2,133,755)(
Net change in total pension liability 2,945,588 4,036,878 3,294,524
Total pension liability - beginning 42,047,025 44,992,613 49,029,491
Total pension liability - ending (a)44,992,613$ 49,029,491$ 52,324,015$
B. Plan fiduciary net position
Contributions - Employer 745,874$ 903,631$ 922,484$
Contributions - Employee 763,324 822,553 851,897
Net Investment Income 2,657,437 72,103 3,298,224
Benefit payments, including refunds of employee contributions 1,728,299)( 1,814,665)( 2,133,755)(
Administrative Expenses 27,747)( 43,918)( 37,249)(
Other 2,281)( 2,170)( 2,007)(
Net change in plan fiduciary net position 2,408,308 62,466)( 2,899,594
Plan fiduciary net position - beginning 46,456,782 48,865,090 48,802,624
Plan fiduciary net position - ending (b)48,865,090$ 48,802,624$ 51,702,218$
C. Net pension liability - ending (a) - (b)3,872,477)$( 226,867$ 621,797$
D. Plan fiduciary net position as a percentage of total pension liability 108.61%99.54%98.81%
E. Covered employee payroll 10,904,635$ 11,750,753$ 12,169,964$
F. Net position liability as a percentage of covered employee payroll -35.51%1.93%5.11%
Note: This schedule is required to have 10 years of information, but the information prior to 2014 is not available.
CITY OF COLLEYVILLE, TEXAS
SCHEDULE OF CHANGES IN NET PENSION LIABILITY
AND RELATED RATIOS
FOR THE YEAR ENDED SEPTEMBER 30, 2017
82
Fiscal Year 2014 2015 2016 2017
Actuarial determined contribution 738,034$ 868,363$ 941,907$ 1,048,848$
738,034 868,363 941,907 1,048,848
Contribution deficiency (excess)- - - -
Covered employee payroll 10,707,890 11,640,489 12,281,471 12,528,384
6.89%7.46%7.67%8.37%
Valuation Date:
Methods and Assumptions Used to Determine Contribution Rates:
Actuarial Cost Method Entry Age Normal
Amortization Method Level Percentage of Payroll, Closed
Remaining Amortization 25 years
Period
Asset Valuation Method 10 Year smoothed market; 15% soft corridor
Inflation 2.50%
Salary Increases 3.50% to 10.5% including inflation
Investment Rate of Return 6.75%
Retirement Age
Mortality
Other Information:
Notes
Note: This schedule is required to have 10 years of information, but the information prior to 2014 is not available.
CITY OF COLLEYVILLE, TEXAS
Contributions as a percentage of covered employee
payroll
Actuarially determined contribution rates are calculated as of December 31 and become
effective in January 13 months later.
NOTES TO SCHEDULE OF CONTRIBUTIONS
Experience-based table of rates that are specific to the City's plan of benefits.Last updated
for the 2015 valuation pursuant to an experience study of the period 2010-2014.
There were no benefit changes during the year.
RP2000 Combined Mortality Table with Blue Collar Adjustment with male rates multiplied
by 109%and female rates multiplied by 103%and projected on a fully generational basis
of with scale BB.
Contributions in relation to the actuarially determined
contribution
FOR THE YEAR ENDED SEPTEMBER 30, 2017
SCHEDULE OF CONTRIBUTIONS
83
84
NONMAJOR GOVERNMENTAL FUNDS
SPECIAL REVENUE FUNDS
Special Revenue Funds are used to account for specific revenues that are legally restricted to
expenditure for particular purposes.
Voluntary Park – This fund is used to account for the operations for which voluntary
contributions by citizens are used. Contributions are used primarily to support park
activities.
Voluntary Library – This fund is used to account for the operations for which voluntary
contributions by citizens are used. Contributions are used primarily to support library
activities.
Police Asset Forfeiture –This fund is used to account for activity related to seizure of assets
in criminal-related activities.
Tree Preservation – This fund is used to account for operations related to replacement of
trees, which are eliminated due to commercial development. Contributions are received from
entities that are developing the property.
Library Donation – This fund is used to account for private and corporate donations for
capital purchases related to the library building for the City.
Recreational Event – This fund is used to account for activities related to special events for
the City.
Colleyville Center Development – This fund is used to account for contributions received to
construct a community center.
Recycling – This fund is used to account for the promotion of recycling activities in the City
of Colleyville. Contributions are received from the holder of the City’s recycling franchise.
LEOSE (Law Enforcement Officer Standards and Education) – This fund is used to
account for activities related to the continuing education of qualified law enforcement
officers as funded by the State of Texas LEOSE Account.
Colleyville Economic Development – This fund is used to account for the use of bond
proceeds and sales tax revenues for municipal park improvements, the purchase of land and
equipment for additional neighborhood parks and for the construction of a community center
and library.
Crime District – This fund is used to account for the Colleyville Crime Control and
Prevention District formed to act on behalf of the City for financing the development of
crime control throughout the City.
85
Kidsville Maintenance – This fund is used to account for contributions received for the
maintenance of Kidsville Playground.
Special Donations – This fund is used to account for various donations made to the City for
specific projects.
Court Technology – This fund is used to account for the collection and use of fines collected to
be specifically used on technology for the court.
Court Security – This fund is used to account for the collection and use of fines collected to be
specifically used for court security purposes.
TDPA Grant – This fund is used to account for grant proceeds received for the acquisition of
equipment and expenditures relating to fire and rescue.
Public Art – This fund is used to account for the acquisition of art to be placed in City owned
facilities with high public visibility.
Juvenile Case Manager – This fund is used to account for staff, whose primary role is handling
juvenile defendants in terms of teen court dockets, all school violations including truancy, failure
to attend school and parental noncompliance violations, and mandatory classes for drug, tobacco
and alcohol defendants, as permitted by state statute.
Hotel Tax Fund – This fund is used to account for all hotel occupancy tax revenues which are
restricted by state statute and can only be used on expenditures related to tourism activities.
CAPITAL PROJECTS FUNDS
Capital Projects Funds are used to account for the acquisition and construction of major capital
facilities other than those financed by proprietary funds and trust funds.
Colleyville Tomorrow Fund – is used to account for proceeds received on gas leases on City-
owned property to be used for capital purchases.
Parks Tomorrow Fund – This fund is used to account for proceeds received on gas leases on
City-owned parks property for parks capital projects.
Park Land Dedication Fund – This fund is used to account for the acquisition of land for new
park sites and to make improvements to or expand existing parks to better serve new
development. Fees collected from the developers of residential and commercial development
finance the improvements.
Colleyville Economic Development Corporation (CEDC) – This fund is used to account for
financial resources to be used for the acquisition or construction or CEDC capital facilities.
Financing is provided primarily by the revenue from certificate of obligation bonds.
Vehicle/Equipment Replacement – This fund is used to account for the replacement of vehicle
and other capital equipment.
Voluntary Park
Voluntary
Library
Police Asset
Forfeiture
ASSETS
Cash and cash equivalents 26,248$ 70,775$ 9,077$
Investments 849,518 358,949 -
Due from other governments - - -
Accrued interest 614 1,687 -
Total assets 876,380 431,411 9,077
LIABILITIES
Accounts payable - 2,383 -
Accrued liabilities - - -
Total liabilities - 2,383 -
FUND BALANCES
Restricted - - 9,077
Committed 876,380 429,028 -
Assigned - - -
Total fund balances 876,380 429,028 9,077
Total liabilities and fund balances 876,380$ 431,411$ 9,077$
CITY OF COLLEYVILLE, TEXAS
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
SEPTEMBER 30, 2017
Special Revenue Funds
86
Tree
Preservation
Library
Donation
Recreational
Event
Colleyville
Center
Development Recycling LEOSE
311,696$ 138,573$ 10,701$ -$ -$ 3,397$
- - - - - -
- - - - - -
- - - - - -
311,696 138,573 10,701 - - 3,397
- 1,278 - - - -
- - - - - -
- 1,278 - - - -
- 137,295 - - - 3,397
311,696 - - - - -
- - 10,701 - - -
311,696 137,295 10,701 - - 3,397
311,696$ 138,573$ 10,701$ -$ -$ 3,397$
Special Revenue Funds
87
Colleyville
Economic
Development Crime District
Kidsville
Maintenance
ASSETS
Cash and cash equivalents 2,404,845$ 1,274,683$ 8,408$
Investments 1,497,107 - -
Due from other governments 328,494 286,357 -
Accrued interest 6,715 - -
Total assets 4,237,161 1,561,040 8,408
LIABILITIES
Accounts payable 12,450 45 -
Accrued liabilities 3,180 10,045 -
Total liabilities 15,630 10,090 -
FUND BALANCES
Restricted 4,221,531 1,550,950 8,408
Committed - - -
Assigned - - -
Total fund balances 4,221,531 1,550,950 8,408
Total liabilities and fund balances 4,237,161$ 1,561,040$ 8,408$
Special Revenue Funds
NONMAJOR GOVERNMENTAL FUNDS
SEPTEMBER 30, 2017
(Continued)
CITY OF COLLEYVILLE, TEXAS
COMBINING BALANCE SHEET
88
Special
Donations
Court
Technology Court Security TDPA Grant Public Art
Juvenile Case
Manager Hotel Fund
61,586$ 75,178$ 60,113$ 8,133$ 7,904$ 24,538$ 88,896$
- - - - - - -
- - - - - - 57,376
- - - - - - -
61,586 75,178 60,113 8,133 7,904 24,538 146,272
- - 2 - - 5 -
- - 177 - - 792 -
- - 179 - - 797 -
61,586 75,178 59,934 8,133 - 23,741 146,272
- - - - - - -
- - - - 7,904 - -
61,586 75,178 59,934 8,133 7,904 23,741 146,272
61,586$ 75,178$ 60,113$ 8,133$ 7,904$ 24,538$ 146,272$
Special Revenue Funds
89
Colleyville
Tomorrow
Parks
Tomorrow
Park Land
Dedication
ASSETS
Cash and cash equivalents 1,884,083$ 1,033,637$ 250,573$
Investments 474,525 - 1,173,994
Due from other governments - - -
Accrued interest 1,228 - 1,662
Total assets 2,359,836 1,033,637 1,426,229
LIABILITIES
Accounts payable - - -
Accrued liabilities - - -
Total liabilities - - -
FUND BALANCES
Restricted - - -
Committed 2,359,836 1,033,637 1,426,229
Assigned - - -
Total fund balances 2,359,836 1,033,637 1,426,229
Total liabilities and fund balances 2,359,836$ 1,033,637$ 1,426,229$
(Continued)
SEPTEMBER 30, 2017
Capital Project Funds
CITY OF COLLEYVILLE, TEXAS
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
90
CEDC Capital
Project
Vehicle/
Equipment
Replacement
Total
Governmental
Funds
65,794$ 585,811$ 8,404,649$
- 513,308 4,867,401
- - 672,227
- 1,338 13,244
65,794 1,100,457 13,957,521
- - 16,163
- - 14,194
- - 30,357
- - 6,305,502
65,794 - 6,502,600
- 1,100,457 1,119,062
65,794 1,100,457 13,927,164
65,794$ 1,100,457$ 13,957,521$
Capital Project Funds
91
Voluntary Park
Voluntary
Library
Police Asset
Forfeiture
REVENUES
Taxes -$ -$ -$
Fees and fines - - -
Intergovernmental - - -
Charges for services - - -
Donations 163,705 163,705 -
Investment earnings 76 2,757 -
Miscellaneous - - 7,575
Total revenues 163,781 166,462 7,575
EXPENDITURES
Current:
General government - - -
Community development and engineering - - -
Fire and rescue - - -
Leisure services 108,930 150,887 -
Municipal court - - -
Police - - 610
Debt service:
Principal - - -
Interest and other charges - - -
Capital outlay - - -
Total expenditures 108,930 150,887 610
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES 54,851 15,575 6,965
OTHER FINANCING SOURCES (USES)
Transfers in - - -
Transfers out - - -
Total other financing sources and uses - - -
NET CHANGE IN FUND BALANCES 54,851 15,575 6,965
FUND BALANCES, BEGINNING 821,529 413,453 2,112
FUND BALANCES, ENDING 876,380$ 429,028$ 9,077$
CITY OF COLLEYVILLE, TEXAS
COMBINING STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
FOR THE YEAR ENDED SEPTEMBER 30, 2017
Special Revenue Funds
92
Tree
Preservation
Library
Donation
Recreational
Event
Colleyville
Center
Development Recycling LEOSE
-$ -$ -$ -$ -$ -$
284,724 - - - - -
- 5,783 - - - 4,012
- - - - - -
- 20,874 15,568 - - -
- - - - - -
- - - - 15,000 -
284,724 26,657 15,568 - 15,000 4,012
2,537 - - - 16,627 -
- - - - - -
- - - - - -
6,233 28,585 15,473 5,857 - -
- - - - - -
- - - - - 3,233
- - - - - -
- - - - - -
- - - - - -
8,770 28,585 15,473 5,857 16,627 3,233
275,954 1,928)( 95 5,857)( 1,627)( 779
21,700 - - - - -
- - - - - -
21,700 - - - - -
297,654 1,928)( 95 5,857)( 1,627)( 779
14,042 139,223 10,606 5,857 1,627 2,618
311,696$ 137,295$ 10,701$ -$ -$ 3,397$
Special Revenue Funds
93
Colleyville
Economic
Development Crime District
Kidsville
Maintenance
REVENUES
Taxes 1,872,562$ 1,681,196$ -$
Fees and fines - - -
Intergovernmental - - -
Charges for services - - -
Donations - - -
Investment earnings 7,099 8,719 -
Miscellaneous - - -
Total revenues 1,879,661 1,689,915 -
EXPENDITURES
Current:
General government 63,626 - -
Community development and engineering - - -
Fire and rescue - - -
Leisure services 418,004 - 11,829
Municipal court - - -
Police - 906,665 -
Debt service:
Principal 420,000 - -
Interest and other charges 181,872 - -
Capital outlay 31,525 202,097 -
Total expenditures 1,115,027 1,108,762 11,829
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES 764,634 581,153 11,829)(
OTHER FINANCING SOURCES (USES)
Transfers in - - -
Transfers out - 513,862)( -
Total other financing sources and uses - 513,862)( -
NET CHANGE IN FUND BALANCES 764,634 67,291 11,829)(
FUND BALANCES, BEGINNING 3,456,897 1,483,659 20,237
FUND BALANCES, ENDING 4,221,531$ 1,550,950$ 8,408$
NONMAJOR GOVERNMENTAL FUNDS
(Continued)
FOR THE YEAR ENDED SEPTEMBER 30, 2017
AND CHANGES IN FUND BALANCES
CITY OF COLLEYVILLE, TEXAS
COMBINING STATEMENT OF REVENUES, EXPENDITURES
Special Revenue Funds
94
Special
Donations
Court
Technology Court Security TDPA Grant Public Art
Juvenile Case
Manager Hotel Fund
-$ -$ -$ -$ -$ -$ 146,272$
- 21,599 16,181 - - 55,105 -
2,893 - - - - - -
- 21,765 8,228 - - - -
34,890 - - - - - -
- - - - - - -
- - - - - - -
37,783 43,364 24,409 - - 55,105 146,272
- - - - - - -
- - - - - - -
30,214 - - - - - -
20,059 - - - - - -
- 90,006 32,703 - - 56,458 -
2,993 - - - - - -
- - - - - - -
- - - - - - -
- - - - - - -
53,266 90,006 32,703 - - 56,458 -
15,483)( 46,642)( 8,294)( - - 1,353)( 146,272
9,096 - - - - - -
- - - - - - -
9,096 - - - - - -
6,387)( 46,642)( 8,294)( - - 1,353)( 146,272
67,973 121,820 68,228 8,133 7,904 25,094 -
61,586$ 75,178$ 59,934$ 8,133$ 7,904$ 23,741$ 146,272$
FOR THE YEAR ENDED SEPTEMBER 30, 2017
CITY OF COLLEYVILLE, TEXAS
COMBINING STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
(Continued)
Special Revenue Funds
95
Colleyville
Tomorrow
Parks
Tomorrow
Park Land
Dedication
REVENUES
Taxes -$ -$ -$
Fees and fines - - -
Intergovernmental - - -
Charges for services - - -
Donations - - 50,388
Investment earnings 20,721 10,708 6,497
Miscellaneous - - -
Total revenues 20,721 10,708 56,885
EXPENDITURES
Current:
General government - - -
Community development and engineering - - -
Fire and rescue - - -
Leisure services - - -
Municipal court - - -
Police - - -
Debt service:
Principal - - -
Interest and other charges - - -
Capital outlay - 13,120 406,549
Total expenditures - 13,120 406,549
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES 20,721 2,412)( 349,664)(
OTHER FINANCING SOURCES (USES)
Transfers in 63,318 - -
Transfers out - - -
Total other financing sources and uses 63,318 - -
NET CHANGE IN FUND BALANCES 84,039 2,412)( 349,664)(
FUND BALANCES, BEGINNING 2,275,797 1,036,049 1,775,893
FUND BALANCES, ENDING 2,359,836$ 1,033,637$ 1,426,229$
FOR THE YEAR ENDED SEPTEMBER 30, 2017
Capital Project Funds
CITY OF COLLEYVILLE, TEXAS
COMBINING STATEMENT OF REVENUES, EXPENDITURES
AND CHANGES IN FUND BALANCES
NONMAJOR GOVERNMENTAL FUNDS
(Continued)
96
CEDC Capital
Project
Vehicle/
Equipment
Replacement
Total
Governmental
Funds
-$ -$ 3,700,030$
- - 377,609
- - 12,688
- - 29,993
- - 449,130
- 2,546 59,123
- - 22,575
- 2,546 4,651,148
- 41,299 124,089
- - -
- - 30,214
- - 765,857
- - 179,167
- 7,099 920,600
- - 420,000
- - 181,872
- 269,189 922,480
- 317,587 3,544,279
- 315,041)( 1,106,869
- 438,706 532,820
- - 513,862)(
- 438,706 18,958
- 123,665 1,125,827
65,794 976,792 12,801,337
65,794$ 1,100,457$ 13,927,164$
Capital Project Funds
97
Variance with
Budget -
Positive
Budget Actual (Negative)
REVENUES
Taxes 642,420$ 736,053$ 93,633$
Intergovernmental 655,781 655,781 -
Investment earnings 2,251 6,815 4,564
Total revenues 1,300,452 1,398,649 98,197
EXPENDITURES
Debt service:
Principal retirement 1,731,212 1,731,212 -
Interest and fiscal charges 122,825 238,605 115,780)(
Total expenditures 1,854,037 1,969,817 115,780)(
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES 553,585)( 571,168)( 17,583)(
OTHER FINANCING SOURCES
Transfers in 503,862 503,862 -
Total other financing sources 503,862 503,862 -
NET CHANGE IN FUND BALANCE 49,723)( 67,306)( 17,583)(
FUND BALANCE, BEGINNING 760,501 760,501 -
FUND BALANCE, ENDING 710,778$ 693,195$ 17,583)$(
FOR THE YEAR ENDED SEPTEMBER 30, 2017
CITY OF COLLEYVILLE, TEXAS
DEBT SERVICE FUND
SCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCE - BUDGET AND ACTUAL
98
99
AGENCY FUNDS
Employee Activity Fund – This fund is used to account for funds held by the City for the benefit
of employees of the City.
Sesquicentennial Fund – This fund is used to account for funds held by the City for the benefit
of the City of Colleyville’s historical purposes.
Employee
Activity Sesquicentennial
Fund Fund Total
ASSETS
Cash and cash equivalents 4,700$ 20,546$ 25,246$
Total assets 4,700$ 20,546$ 25,246$
LIABILITIES
Due to other agencies and individuals 4,700$ 20,546$ 25,246$
Total liabilities 4,700$ 20,546$ 25,246$
CITY OF COLLEYVILLE, TEXAS
COMBINING STATEMENT OF FIDUCIARY NET POSITION
AGENCY FUNDS
SEPTEMBER 30, 2017
100
Balance Balance
10/01/16 Additions Deletions 09/30/17
Cash and cash equivalents 5,773$ 3,769$ 4,842$ 4,700$
Total assets 5,773$ 3,769$ 4,842$ 4,700$
Due to other agencies and individuals 5,773$ 3,769$ 4,842$ 4,700$
Total liabilities 5,773$ 3,651$ 4,842$ 4,700$
Balance Balance
10/01/16 Additions Deletions 09/30/17
Cash and cash equivalents 19,716$ 830$ -$ 20,546$
Total assets 19,716$ 830$ -$ 20,546$
Due to other agencies and individuals 19,716$ 830$ -$ 20,546$
Total liabilities 19,716$ 830$ -$ 20,546$
Balance Balance
10/01/16 Additions Deletions 09/30/17
Cash and cash equivalents 25,489$ 4,599$ 4,842$ 25,246$
Total assets 25,489$ 4,599$ 4,842$ 25,246$
Due to other agencies and individuals 25,489$ 4,481$ 4,842$ 25,128$
Total liabilities 25,489$ 4,481$ 4,842$ 25,128$
Employee Activity Fund
Sesquicentennial Fund
Total Agency Funds
CITY OF COLLEYVILLE, TEXAS
COMBINING STATEMENT OF CHANGES IN
AGENCY FUNDS
FOR THE YEAR ENDED SEPTEMBER 30, 2017
ASSETS AND LIABILITIES
101
102
THIS PAGE INTENTIONALLY LEFT BLANK
103
STATISTICAL SECTION
This part of the City of Colleyville, Texas’ comprehensive annual financial report
presents detailed information as a context for understanding what the information in the
financial statements, note disclosures, and required supplementary information says about
the government’s overall financial health.
Contents Page
Financial Trends 104
These schedules contain trend information to help the reader
understand how the government’s financial performance and well-
being have changed over time.
Revenue Capacity 114
These schedules contain information to help the reader assess the
government’s most significant local revenue source, the property
tax.
Debt Capacity 120
These schedules present information to help the reader assess the
affordability of the government’s current levels of outstanding debt
and the government’s ability to issue additional debt in the future.
Demographic and Economic Information 126
These schedules offer demographic and economic indicators to
help the reader understand the environment within which the
government’s financial activities take place.
Operating Information 128
These schedules contain service and infrastructure data to help the
reader understand how the information in the government’s financial
report relates to the services the government provides and the
activities it performs.
Sources: Unless otherwise noted, the information in these schedules is derived from the
comprehensive annual financial reports for the relevant year.
2008 2009 2010
Governmental activities:
Net investment in capital assets 77,484,725$ 79,243,497$ 81,970,674$
Restricted for:
Debt service 889,689 1,040,896 1,057,699
Court security and technology - - -
Grant programs - - -
Leisure services - - -
Economic development - - -
Streets and drainage - - -
Police - - -
Unrestricted 21,862,136 27,498,864 25,936,703
Total governmental activities net position 100,236,550$ 107,783,257$ 108,965,076$
Business-type activities:
Net investment in capital assets 39,442,148$ 39,174,562$ 39,080,043$
Restricted for:
Debt service 1,024,349 987,181 983,225
Unrestricted 7,837,790 8,127,736 7,747,336
Total business-type activities net position 48,304,287$ 48,289,479$ 47,810,604$
Primary government:
Net investment in capital assets 116,926,873$ 118,418,059$ 121,050,717$
Restricted for:
Debt service 1,914,038 2,028,077 2,040,924
Court security and technology - - -
Grant programs - - -
Leisure services - - -
Economic development - - -
Streets and drainage - - -
Police - - -
Unrestricted 29,699,926 35,626,600 33,684,039
Total primary government net position 148,540,837$ 156,072,736$ 156,775,680$
Note: The City implemented GASB 54 in fiscal year 2011 to provide clearer fund balance classifications.
Prior years were not restated.
Fiscal Year
CITY OF COLLEYVILLE, TEXAS
NET POSITION BY COMPONENT
(Accrual Basis of Accounting)
104
TABLE 1
2011 2012 2013 2014 2015 2016 2017
83,166,142$ 83,211,988$ 84,414,252$ 89,754,051$ 98,958,693$ 97,982,160$ 99,881,334$
1,106,893 1,159,092 857,143 831,073 744,295 692,093 612,641
153,420 91,637 101,411 109,766 154,901 215,142 158,853
23,208 21,116 16,489 9,190 9,844 10,751 11,530
201,184 207,736 207,770 224,064 233,472 233,290 353,561
1,863,900 1,998,845 2,277,373 2,733,995 2,975,894 3,456,897 4,221,531
6,428,106 8,192,568 8,432,946 12,188,836 13,838,090 15,970,063 16,351,066
994,913 1,143,454 1,223,271 1,403,502 1,485,735 1,485,771 1,560,027
17,837,593 19,559,719 18,680,620 17,930,939 20,681,413 20,797,199 19,422,307
111,775,359$ 115,586,155$ 116,211,275$ 125,185,416$ 139,082,337$ 140,843,366$ 142,572,850$
38,892,098$ 38,395,708$ 39,269,943$ 41,567,161$ 44,823,618$ 44,010,618$ 44,123,735$
662,050 - - - -
10,111,776 12,332,238 13,702,724 14,827,594 15,260,882 17,263,830 19,185,890
49,665,924$ 50,727,946$ 52,972,667$ 56,394,755$ 60,084,500$ 61,274,448$ 63,309,625$
122,058,240$ 121,607,696$ 123,684,195$ 131,321,212$ 143,782,311$ 141,992,778$ 144,005,069$
1,768,943 1,159,092 857,143 831,073 744,295 692,093 612,641
153,420 91,637 101,411 109,766 154,901 215,142 158,853
23,208 21,116 16,489 9,190 9,844 10,751 11,530
201,184 207,736 207,770 224,064 233,472 233,290 353,561
1,863,900 1,998,845 2,277,373 2,733,995 2,975,894 3,456,897 4,221,531
6,428,106 8,192,568 8,432,946 12,188,836 13,838,090 15,970,063 16,351,066
994,913 1,143,454 1,223,271 1,403,502 1,485,735 1,485,771 1,560,027
27,949,369 31,891,957 32,383,344 32,758,533 35,942,295 38,061,029 38,608,197
161,441,283$ 166,314,101$ 169,183,942$ 181,580,171$ 199,166,837$ 202,117,814$ 205,882,475$
Fiscal Year
105
2008 2009 2010
EXPENSES
Governmental activities:
General government 2,814,874$ 2,945,481$ 2,691,905$
Community Development and Engineering 1,481,124 1,530,901 1,645,221
Fire and rescue 3,958,111 4,113,793 4,419,945
Leisure services 4,033,105 3,941,259 4,118,769
Maintenance 417,265 455,752 423,783
Municipal court 324,020 291,724 302,756
Police 4,657,438 4,841,217 4,836,274
Streets and drainage 3,129,730 3,503,519 3,885,182
Interest on long-term debt 1,101,714 1,051,180 1,000,061
Total governmental activities expenses 21,917,381 22,674,826 23,323,896
Business-type activities:
Water and wastewater 11,179,548 10,612,372 11,242,553
Drainage 593,600 658,016 572,234
Interest on long-term debt 362,642 331,361 296,288
Total business-type activities expenses 12,135,790 11,601,749 12,111,075
Total primary government program expenses 34,053,171$ 34,276,575$ 35,434,971$
PROGRAM REVENUES
Governmental activities:
Charges for services:
General government 16,000$ 15,000$ 15,000$
Community Development and Engineering 1,332,453 666,914 647,298
Fire and rescue 250,814 271,216 235,225
Leisure services 563,738 6,595,487 468,426
Municipal court 1,171,919 1,002,008 1,213,178
Police 79,699 51,631 94,059
Streets and drainage 358,688 215,619 345,780
Operating grants and contributions 1,856,567 713,189 543,516
Capital grants and contributions 3,973,954 360,023 423,873
Total governmental activities program revenues 9,603,832 9,891,087 3,986,355
CITY OF COLLEYVILLE, TEXAS
CHANGES IN NET POSITION
(Accrual Basis of Accounting)
Fiscal Year
106
2011 2012 2013 2014 2015 2016 2017
2,715,154$ 3,125,214$ 4,075,001$ 4,103,928$ 4,676,185$ 4,449,317$ 4,881,741$
1,402,669 1,397,839 1,429,755 1,613,311 1,582,461 1,558,750 1,672,823
4,421,496 4,321,929 4,529,225 4,625,036 5,264,026 4,783,421 5,524,975
4,191,960 4,124,619 4,106,822 3,776,068 4,042,252 4,701,443 4,987,965
412,513 400,306 494,545 575,696 684,301 689,861 1,243,614
303,839 319,445 586,709 501,604 522,422 448,420 606,269
4,878,055 4,579,570 4,961,444 5,019,343 5,681,698 5,734,116 6,093,309
3,657,591 3,073,530 5,322,510 4,128,365 4,404,701 5,150,390 3,578,365
849,390 780,029 724,458 717,045 536,161 614,159 408,268
22,832,667 22,122,481 26,230,469 25,060,396 27,394,207 28,129,877 28,997,329
12,009,187 12,258,587 12,544,530 13,238,893 14,055,232 13,995,038 14,779,262
742,160 723,994 707,647 571,886 833,599 563,268 646,145
- - - - - - -
12,751,347 12,982,581 13,252,177 13,810,779 14,888,831 14,558,306 15,425,407
35,584,014$ 35,105,062$ 39,482,646$ 38,871,175$ 42,283,038$ 42,688,183$ 44,422,736$
97,234$ 28,408$ 15,000$ 15,000$ 17,500$ 15,075$ 338,857$
868,363 1,146,518 927,690 1,387,329 1,587,038 1,356,581 1,148,293
305,882 335,308 308,339 377,021 327,264 387,705 340,630
1,213,167 520,433 501,260 510,991 503,098 505,203 553,633
970,143 1,015,804 1,271,095 1,268,447 1,474,485 1,306,924 1,181,280
70,709 81,056 70,513 71,022 75,415 93,566 98,859
296,350 338,845 316,338 347,565 802,551 794,169 634,918
822,056 490,069 468,361 486,869 450,559 514,845 507,616
405,347 381,308 1,158,050 5,943,465 7,712,266 319,541 1,302,174
5,049,251 4,337,749 5,036,646 10,407,709 12,950,176 5,293,609 6,106,260
TABLE 2
Fiscal Year
107
2008 2009 2010
PROGRAM REVENUES
Business-type activities:
Charges for services:
Water and wastewater 11,114,892$ 11,303,868$ 11,414,425$
Drainage 859,013 874,637 897,361
Capital grants and contributions 1,415,785 63,293 147,014
Total business-type activities program revenues 13,389,690 12,241,798 12,458,800
Total primary government program revenues 22,993,522$ 22,132,885$ 16,445,155$
NET (EXPENSE) REVENUES
Governmental activities 12,313,549)$( 12,783,739)$( 19,337,541)$(
Business-type activities 1,253,900 640,049 347,725
Total primary government net expense 11,059,649)( 12,143,690)( 18,989,816)(
GENERAL REVENUES AND OTHER CHANGES IN NET POSITION
Governmental activities:
Taxes
Property 11,367,967 12,121,420 12,557,716
Franchise 1,818,060 2,017,440 1,867,065
Sales 4,740,964 4,718,976 4,936,484
Other 82,532 74,198 75,365
Investment earnings 804,864 471,524 76,968
Miscellaneous 96,348 77,854 82,833
Gain on sale of capital assets 116,112 25,237 65,306
Transfers 841,936 823,797 857,622
Total governmental activities 19,868,783 20,330,446 20,519,359
Business-type activities:
Investment earnings 380,595 168,940 15,158
Gain on sale of capital assets - - 15,864
Transfers 841,936)( 823,797)( 857,622)(
Total business-type activities 461,341)( 654,857)( 826,600)(
Total primary government 19,407,442 19,675,589 19,692,759
CHANGE IN NET POSITION
Governmental activities 7,555,234 7,546,707 1,181,818
Business-type activities 792,559 14,808)( 478,875)(
Total primary government 8,347,793$ 7,531,899$ 702,943$
Note: See Table 9 for information about Water and Wastewater Charges for services
CITY OF COLLEYVILLE, TEXAS
CHANGES IN NET POSITION
Fiscal Year
(Accrual Basis of Accounting)
108
(continued)
2011 2012 2013 2014 2015 2016 2017
14,355,418$ 14,034,600$ 14,661,491$ 14,789,614$ 15,800,163$ 15,499,159$ 15,956,329$
903,089 918,323 928,863 939,868 948,565 954,642 985,636
168,365 169,464 876,660 2,707,835 2,362,261 43,104 481,413
15,426,872 15,122,387 16,467,014 18,437,317 19,110,989 16,496,905 17,423,378
20,476,123$ 19,460,136$ 21,503,660$ 28,845,026$ 32,061,165$ 21,790,514$ 23,529,638$
17,783,416)$( 17,784,732)$( 21,193,823)$( 14,652,687)$( 14,444,031)$( 22,836,268)$( 22,891,069)$(
2,675,525 2,139,806 3,214,837 4,626,538 4,222,158 1,938,599 1,997,971
15,107,891)( 15,644,926)( 17,978,986)( 10,026,149)( 10,221,873)( 20,897,669)( 20,893,098)(
12,414,948 12,414,457 12,497,692 12,950,832 13,493,621 13,790,347 14,548,461
2,031,268 2,207,463 2,074,731 2,172,801 2,319,723 2,206,890 7,304,507
5,056,597 5,495,730 5,902,557 6,472,195 6,705,914 7,252,963 2,105,881
80,731 65,808 68,592 98,160 107,977 106,607 263,587
95,822 108,192 77,269 39,697 100,843 142,343 148,933
55,454 74,041 85,562 61,643 82,873 150,630 168,865
- 147,969 - 810,020 - 51,849 17,000
858,879 1,081,868 1,112,540 1,180,292 1,178,590 895,668 63,319
20,593,699 21,595,528 21,818,943 23,785,640 23,989,541 24,597,297 24,620,553
38,674 4,084 38,987 23,655 52,480 76,014 100,525
- - 103,437 40,814 5,062 71,003 -
858,879)( 1,081,868)( 1,112,540)( 1,180,292)( 1,178,590)( 895,668)( 63,319)(
820,205)( 1,077,784)( 970,116)( 1,115,823)( 1,121,048)( 748,651)( 37,206
19,773,494 20,517,744 20,848,827 22,669,817 22,868,493 23,848,646 24,657,759
2,810,283 3,810,796 625,120 9,132,953 9,545,510 1,761,029 1,729,484
1,855,320 1,062,022 2,244,721 3,510,715 3,101,110 1,189,948 2,035,177
4,665,603$ 4,872,818$ 2,869,841$ 12,643,668$ 12,646,620$ 2,950,977$ 3,764,661$
Fiscal Year
TABLE 2
109
110
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TABLE 3
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
General fund
Non-spendable -$ -$ -$ 2,147$ 132,664$ 1,759$ 1,269$ 2,119$ 9,388$ 11,152$
Committed - - - 706,942 813,536 813,536 813,536 813,536 796,438 682,156
Unassigned 8,717,398 8,207,420 8,813,597 10,223,232 11,762,625 11,006,716 10,080,617 8,736,746 8,719,620 8,866,760
Total general fund 8,717,398$ 8,207,420$ 8,813,597$ 10,932,321$ 12,708,825$ 11,822,011$ 10,895,422$ 9,552,401$ 9,525,446$ 9,560,068$
All other governmental funds
Non-spendable -$ -$ -$ -$ -$ -$ -$ -$ -$ -$
Restricted 987,681 1,121,567 1,154,570 10,853,638 12,894,768 13,190,883 17,571,843 19,527,446 22,132,415 23,349,763
Committed - - - 5,967,620 6,193,060 6,262,082 6,793,236 7,150,127 6,402,557 6,502,600
Assigned - - - 1,148,548 954,818 910,611 765,908 812,939 996,929 1,119,062
Unassigned - - - 4,975)( - - - -
Unassigned, reported in:
Special revenue funds 5,696,905 7,267,350 5,664,493 - - - - - - -
Capital projects funds 7,811,492 12,369,631 11,524,206 - - - - - - -
Total all other
governmental funds 14,496,078$ 20,758,548$ 18,343,269$ 17,969,806$ 20,042,646$ 20,358,601$ 25,130,987$ 27,490,512$ 29,531,901$ 30,971,425$
Note: This schedule does not restate prior years for Special Revenue and Capital Projects Funds.
The City implemented GASB 54 in fiscal year 2011 to provide clearer fund balance classifications. Prior years were not restated.
(Modified Accrual Basis of Accounting)
Fiscal Year
CITY OF COLLEYVILLE, TEXAS
FUND BALANCES
GOVERNMENTAL FUNDS
LAST TEN FISCAL YEARS
111
TABLE 4
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
REVENUES
Taxes 17,975,445$ 18,889,480$ 19,353,358$ 19,627,734$ 20,235,012$ 20,541,466$ 21,747,244$ 22,620,506$ 23,367,715$ 24,159,016$
Developer contributions 226,488 - - - - - - - - -
Licenses, fees and permits 1,113,595 646,302 607,132 923,590 1,130,426 857,135 1,090,012 1,303,710 1,337,928 1,049,673
Capital improvement fees 358,688 208,622 334,075 281,260 322,498 300,900 333,496 785,992 766,398 612,134
Fines and penalties 1,203,260 1,028,425 1,244,146 998,221 1,051,899 1,000,954 1,043,821 1,217,654 1,023,202 1,218,194
Charges for services 1,322,732 7,129,322 917,884 1,694,993 1,030,439 1,321,927 1,577,564 1,571,510 1,398,579 1,485,658
Interest 804,864 471,524 76,968 95,823 110,550 77,269 39,697 100,842 142,330 148,909
Intergovernmental 1,437,935 350,468 100,807 541,709 124,056 76,506 556,954 1,377,763 224,367 668,469
Donations 548,093 401,432 379,853 602,401 406,789 487,066 918,613 981,282 421,497 449,130
Miscellaneous 116,280 155,100 97,833 70,453 89,041 100,562 76,643 97,873 165,642 183,889
Total revenues 25,107,380 29,280,675 23,112,056 24,836,184 24,500,710 24,763,785 27,384,044 30,057,132 28,847,658 29,975,072
-
EXPENDITURES
General government 2,537,699 2,639,218 2,423,869 2,383,276 2,753,457 3,171,582 3,746,619 4,126,132 4,036,395 4,166,735
Comm Development/Eng 1,462,566 1,531,785 1,642,047 1,397,256 1,396,259 1,429,574 1,606,589 1,524,342 1,623,972 1,511,400
Fire 3,755,575 3,840,118 3,955,407 3,972,053 3,888,225 4,062,535 4,174,745 4,618,103 4,568,639 4,870,759
Police 4,395,056 4,588,576 4,552,947 4,596,862 4,304,710 4,670,639 4,707,315 5,143,662 5,393,431 3,295,197
Leisure services 3,171,514 3,058,332 3,173,352 3,177,878 3,049,908 3,035,583 2,702,313 2,996,371 3,588,611 727,986
Streets and drainage 1,649,037 1,917,536 2,297,719 2,052,298 1,388,970 3,597,965 2,055,631 2,407,780 3,148,848 543,129
Municipal court 323,059 291,893 302,172 302,666 319,084 586,911 501,027 508,566 461,393 5,498,406
Maintenance 410,636 449,806 417,946 405,911 394,830 489,685 570,011 662,480 690,007 1,515,283
Capital outlay 5,150,286 2,759,774 4,935,053 2,510,027 2,515,115 2,668,074 3,250,508 6,268,273 2,373,025 4,421,734
Debt service:
Interest 2,584,790 1,033,148 944,751 838,320 757,594 697,140 716,228 524,414 563,660 420,477
Principal 1,189,798 2,275,553 2,180,061 2,259,004 2,007,585 2,246,921 1,342,586 1,459,693 1,467,094 2,151,212
Total expenditures 26,630,016 24,385,739 26,825,324 23,895,551 22,775,737 26,656,609 25,373,572 30,239,816 27,915,075 29,122,318
CITY OF COLLEYVILLE, TEXAS
CHANGES IN FUND BALANCES
GOVERNMENTAL FUNDS
LAST TEN FISCAL YEARS
(Modified Accrual Basis of Accounting)
112
TABLE 4
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
EXCESS OF REVENUES
OVER (UNDER)
EXPENDITURES 1,522,636)$( 4,894,936$ 3,713,268)$( 940,633$ 1,724,973$ 1,892,824)$( 2,010,472$ 182,684)$( 932,583$ 852,754$
OTHER FINANCING
SOURCES (USES)
Bonds issued - - - 2,945,000 - -
Refunding bonds - - - - - - 7,330,000 - 6,225,000 -
Notes payable - - - - - -
Capital lease 176,150 - 981,238 - 894,534 209,425 - 541,073
Sale of capital assets 98,168 33,759 65,306 7,098 147,969 - 925,033 20,598 95,796 17,000
Premium on bond issue 6,561 - - 239,163 -
Payments to escrow - - - 3,012,910)( - - 7,600,000)( - 6,373,776)( -
Transfers in 2,082,101 2,338,776 1,884,896 2,458,396 3,893,584 4,189,380 7,355,334 6,497,252 5,665,493 4,552,668
Transfers out 1,240,165)( 1,514,979)( 1,027,274)( 1,599,517)( 2,811,716)( 3,076,840)( 6,175,042)( 5,318,662)( 4,769,825)( 4,489,349)(
Total other financing
sources (uses)1,116,254 857,556 1,904,166 804,628 2,124,371 1,321,965 1,835,325 1,199,188 1,081,851 621,392
NET CHANGE IN
FUND BALANCES 406,382)$( 5,752,492$ 1,809,102)$( 1,745,261$ 3,849,344$ 570,859)$( 3,845,797$ 1,016,504$ 2,014,434$ 1,474,146$
DEBT SERVICE AS
A PERCENTAGE
OF NONCAPITAL
EXPENDITURES 17.6% 15.3% 14.3% 14.5% 13.6% 12.3% 9.3% 8.3% 8.0% 10.4%
LAST TEN FISCAL YEARS
(Modified Accrual Basis of Accounting)
CITY OF COLLEYVILLE, TEXAS
CHANGES IN FUND BALANCES
GOVERNMENTAL FUNDS
113
TABLE 5
Estimated
Less:Total Taxable Total Actual
Fiscal Residential Personal Tax-exempt Assessed Direct Taxable
Year Property Property Property Value Tax Rate Value
2008 3,531,988,996$ 97,998,283$ 228,915,486$ 3,401,071,793$ 0.3559 3,401,071,793$
2009 3,748,968,313 99,556,111 230,676,995 3,617,847,429 0.3559 3,617,847,429
2010 3,907,288,105 95,261,420 237,293,931 3,765,255,594 0.3559 3,765,255,594
2011 3,917,415,346 92,176,541 253,414,335 3,756,177,552 0.3559 3,756,177,552
2012 3,941,020,477 89,758,416 277,077,387 3,753,701,506 0.3559 3,753,701,506
2013 3,997,250,723 91,264,033 296,807,896 3,791,706,860 0.3559 3,791,706,860
2014 4,129,613,419 93,604,217 307,729,550 3,915,488,086 0.3559 3,915,488,086
2015 4,314,297,434 102,095,151 313,245,782 4,103,146,803 0.3559 4,103,146,803
2016 4,332,288,268 106,282,459 301,657,610 4,136,913,117 0.3559 4,136,913,117
2017 4,712,035,716 113,056,889 323,256,895 4,501,835,710 0.3391 4,501,835,710
Source:Tarrant Appraisal District
Note:
CITY OF COLLEYVILLE, TEXAS
ASSESSED VALUE AND ESTIMATED ACTUAL VALUE OF TAXABLE PROPERTY
LAST TEN FISCAL YEARS
Property in Tarrant County is reassessed once every two years.The Appraisal District assesses property at 100 percent of actual value for residential and
personal. Tax rates are per $100 of assessed value.
114
TABLE 6
General Grapevine-Hurst-Euless
Operations and Obligation Total Birdville Carroll Colleyville Bedford Keller Tarrant County Tarrant County
Fiscal Maintenance Debt Direct Independent Independent Independent Independent Independent Tarrant College Hospital
Year Rate Service Rate School District School District School District School District School District County District District
2008 0.28299 0.07291 0.35590 1.4050 1.4650 1.29000 1.3037 1.3574 0.26650 0.139380 0.230397
2009 0.28860 0.06731 0.35590 1.4100 1.4150 1.29000 1.2955 1.4169 0.26400 0.137960 0.227897
2010 0.29864 0.05726 0.35590 1.4050 1.4150 1.29000 1.2955 1.4863 0.26400 0.137670 0.227897
2011 0.29758 0.05832 0.35590 1.4250 1.4150 1.29000 1.2882 1.5306 0.26400 0.137600 0.227900
2012 0.30881 0.04709 0.35590 1.4350 1.4150 1.32010 1.4140 1.5400 0.26400 0.148970 0.227897
2013 0.31385 0.04205 0.35590 1.4350 1.4000 1.32010 1.4075 1.5400 0.26400 0.148970 0.227897
2014 0.32442 0.03148 0.35590 1.4350 1.4000 1.32010 1.3875 1.5400 0.26400 0.149500 0.227897
2015 0.33461 0.02129 0.35590 1.4350 1.4000 1.32010 1.3750 1.5400 0.26400 0.149500 0.227897
2016 0.33624 0.01966 0.35590 1.4539 1.3950 1.32010 1.3500 1.5400 0.26400 0.149500 0.227897
2017 0.32191 0.01722 0.33913 1.4539 1.3900 1.39670 1.3160 1.5200 0.25400 0.144730 0.227897
Source:Tarrant Appraisal District
Notes:Overlapping rates are those of local and county governments that apply to property owners within the City of Colleyville,Texas.Not all school district overlapping rates apply to all
Colleyville property owners because the City is served by five different independent school districts;for example,although the county property tax rates apply to all City property
owners,the Grapevine-Colleyville Independent School District rates apply only to the approximately two-thirds of City property owners whose property is located within that school
district's geographic boundaries.
CITY OF COLLEYVILLE, TEXAS
DIRECT AND OVERLAPPING PROPERTY TAX RATES
LAST TEN FISCAL YEARS
City Direct Rates Overlapping Rates
115
TABLE 7
Percentage Percentage
of Total City of Total City
Taxable Taxable Taxable Taxable
Assessed Assessed Assessed Assessed
Taxpayer Value Value Value Value
Colleyville Downs (KRG Colleyville LLC)33,883,995$ 0.75% -$ -%
Town Center (Velocis Colleyville)33,603,245 0.75% - -%
Toll Dallas TX LLC 20,154,400 0.45% - -%
Oncor Electric Delivery 16,036,630 0.36% - -%
Lifetime Fitness Real Estate 13,685,000 0.30% 12,275,000 0.34%
Standard Pacific of Texas Inc 12,032,695 0.27% - -%
Memory Care Facility (Welltower Inc)10,965,235 0.24% - -%
Colleyville Lofts Venture LLC 9,502,079 0.21% - -%
Mainvue TX LLC 7,689,461 0.17% - -%
Atmos Energy/Mid Tex 7,046,620 0.16% 6,042,358 0.17%
Walmart Real Estate Trust 7,009,811 0.16% - -%
Melvin & Martindale Ltd - -% 25,806,252 0.71%
TXU Electric Delivery - -% 17,858,176 0.49%
Albertsons Inc - -% 14,416,298 0.40%
Colleyville Plaza LP - -% 6,508,174 0.18%
Private Individual Taxpayer - -% 6,283,500 0.17%
G Points SC Ltd (Shopping Ctr)- -% 6,042,358 0.17%
American National Bank of Texas - -% 5,880,738 0.16%
RP25 Development LP - -% 5,801,685 0.16%
Total 171,609,171$ 3.81% 106,914,539$ 2.96%
Source: Tarrant Appraisal District
2017 2009
CITY OF COLLEYVILLE, TEXAS
PRINCIPAL PROPERTY TAXPAYERS
CURRENT YEAR AND NINE YEARS AGO
116
TABLE 8
Taxes Levied Collections
Fiscal for the Percentage in Subsequent Percentage
Year Ended Fiscal Year Amount of Levy Years Amount of Levy
2008 12,024,882$ 11,903,333$ 99.0% 121,542$ 12,024,875$ 100.00%
2009 12,875,919 12,734,871 98.9% 140,871 12,875,742 100.00%
2010 13,351,922 13,166,515 98.6% 185,189 13,351,705 100.00%
2011 13,183,932 13,063,575 99.1% 120,061 13,183,636 100.00%
2012 13,163,735 13,082,029 99.4% 81,440 13,163,469 100.00%
2013 13,291,462 13,207,902 99.4% 82,965 13,290,867 100.00%
2014 13,722,602 13,681,269 99.7% 38,819 13,720,087 99.98%
2015 14,305,704 14,242,584 99.6% 54,878 14,297,462 99.94%
2016 14,675,127 14,612,632 99.6% 3,026 14,615,658 99.59%
2017 15,508,345 15,423,832 99.5% - 15,423,832 99.46%
Sources: Tarrant County Appraisal District and City of Colleyville Finance Department.
Fiscal Year of the Levy
Collected With the
Total Collections to Date
CITY OF COLLEYVILLE, TEXAS
PROPERTY TAX LEVIES AND COLLECTIONS
LAST TEN FISCAL YEARS
117
118
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TABLE 9
Percentage Percentage
of Total City of Total City
Water Water Water Water
Taxpayer Usage Usage Usage Usage
School District 26,391,900 1.15% 38,616,200 1.61%
Shopping Center 13,100,100 0.57% 12,114,500 0.50%
Fitness Facility 13,041,800 0.57% 10,932,900 0.46%
Health Care Facility 5,337,200 0.23% - -%
Shopping Center 5,151,500 0.23% - -%
Cemetary 4,956,000 0.22% 5,935,000 0.25%
Irrigation Meters 4,077,200 0.18% - -%
HOA 3,949,400 0.17% 2,821,800 0.12%
Grocery Store 3,728,600 0.16% 8,393,800 -%
HOA 3,625,000 0.16% 3,886,400 0.16%
School District 3,335,900 0.15% - -%
Condominium Irrigation Meters 3,256,400 0.14% 4,671,900 0.19%
Hotel 3,246,500 0.14% - -%
Car Wash 3,069,600 0.13% 2,815,800 0.12%
HOA 2,985,500 0.13% - -%
HOA 2,812,000 0.12% 3,055,400 0.13%
Shopping Center 2,792,900 0.12% - -%
HOA 2,668,600 0.12% - -%
HOA 2,613,400 0.11% - -%
Restaurant 2,489,300 0.11% 3,883,800 0.16%
Total 112,628,800 4.92% 97,127,500 3.70%
Source: City utility billing records.
Notes: City chose not to include the exact names to protect the customers confidentiality.
2017 2009
CITY OF COLLEYVILLE, TEXAS
PRINCIPAL WATER CUSTOMERS
CURRENT YEAR AND NINE YEARS AGO
119
TABLE 10
General Sales Tax Water and Sewer Drainage Total Percentage
Fiscal Obligation Revenue Capital Revenue Revenue Capital Primary of Personal Per
Year Bonds Bonds Leases Premium Bonds Bonds Leases Premium Government Income Capita
2008 16,275,000$ 9,765,000$ 430,549$ -$ 5,840,000$ 2,040,000$ -$ -$ 34,350,549$ 2.64% 1,527$
2009 14,665,000 9,170,000 359,996 - 5,200,000 1,870,000 - - 31,264,996 2.51% 1,386
2010 13,300,000 8,545,000 1,151,173 - 4,520,000 1,695,000 - - 29,211,173 2.31% 1,281
2011 11,510,000 8,245,000 972,170 5,905 3,600,000 1,550,000 - 99,756 25,982,831 1.73% 1,137
2012 9,975,000 7,930,000 1,709,120 5,249 2,850,000 1,345,000 - 89,780 23,904,149 1.57% 1,042
2013 8,675,000 7,600,000 1,301,624 4,593 2,085,000 1,135,000 - 79,805 20,881,022 1.38% 904
2014 7,660,000 7,330,000 974,038 - 1,310,000 915,000 - 69,830 18,258,868 1.16% 769
2015 6,920,000 6,935,000 649,345 - 850,000 690,000 - 59,854 16,104,199 1.02% 676
2016 8,550,000 6,525,000 362,251 239,163 505,000 585,000 - 49,878 16,816,292 1.05% 696
2017 7,125,000 6,105,000 597,110 238,957 155,000 475,000 - 24,939 14,721,006 0.88% 598
Notes:Details regarding the City's outstanding debt can be found in the notes to the financial statements.
See Table 15 for personal income and population data.
CITY OF COLLEYVILLE, TEXAS
RATIOS OF OUTSTANDING DEBT BY TYPE
LAST TEN FISCAL YEARS
Governmental Activities Business-type Activities
120
TABLE 11
Percentage of
General Less Amounts Actual Taxable
Fiscal Obligation Restricted to Value of Per
Year Bonds Repaying Principal Total Property Capita
2008 16,275,000$ 889,689$ 15,385,311$ 0.45% 684$
2009 14,665,000 1,040,896 13,624,104 0.38% 604
2010 13,300,000 1,057,699 12,242,301 0.33% 537
2011 11,510,000 1,106,893 10,403,107 0.28% 455
2012 9,933,921 1,159,092 8,774,829 0.23% 382
2013 8,639,056 857,143 7,781,913 0.21% 337
2014 7,660,000 831,073 6,828,927 0.17% 288
2015 6,920,000 744,295 6,175,705 0.15% 259
2016 8,550,000 692,093 7,857,907 0.19% 324
2017 7,363,957 612,641 6,751,316 0.15% 274
Notes:
Details regarding the City's outstanding debt can be found in the notes to the financial statements.
See Table 5 for property value data.
Population data can be found in Table 15.
General Bonded Debt Outstanding
CITY OF COLLEYVILLE, TEXAS
RATIOS OF GENERAL BONDED DEBT OUTSTANDING
LAST TEN FISCAL YEARS
121
TABLE 12
Estimated
Share of
Estimated Direct and
Debt Percentage Overlapping
Outstanding Applicable Debt
Debt repaid with property taxes
Birdville Independent School District 266,624,695$ 0.080% 213,300$
Carroll Independent School District 269,575,246 0.370% 997,428
Grapevine-Colleyville Independent School District 438,049,452 22.760% 99,700,055
Hurst-Euless-Bedford Independent School District 412,119,890 1.580% 6,511,494
Keller Independent School District 706,960,916 3.500% 24,743,632
Tarrant County 321,795,000 2.960% 9,525,132
Tarrant County Hospital District 20,835,000 2.960% 616,716
Subtotal overlapping debt 142,307,758
City direct debt 14,066,067 100.000% 14,066,067
Total direct and overlapping debt 156,373,825$
Sources:
Government Unit
Assessed value data used to estimate applicable percentages provided by the Tarrant County Appraisal District
and debt outstanding data provided by each governmental unit.
CITY OF COLLEYVILLE, TEXAS
DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITIES DEBT
AS OF SEPTEMBER 30, 2017
122
TABLE 13
Assessed value 4,501,835,710$
Debt limit (2.5% of assessed value)112,545,893
Debt applicable to limit:
General obligation bonds 7,363,957
Less: Amount set aside for
repayment of general
obligation debt 612,641)(
Total net debt applicable to limit 6,751,316
Legal debt margin 105,794,577$
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Debt limit 85,026,795$ 87,755,997$ 94,131,390$ 93,904,439$ 93,842,538$ 94,792,672$ 97,887,202$ 102,578,670$ 103,422,828$ 112,545,893$
Total net debt applicable to limit 15,385,131 13,624,104 12,242,301 10,403,107 8,815,908 7,817,857 6,828,927 6,175,705 7,857,907 6,751,316
Legal debt margin 69,641,664$ 74,131,893$ 81,889,089$ 83,501,332$ 85,026,630$ 86,974,815$ 91,129,692$ 96,402,965$ 95,564,921$ 105,794,577$
Total net debt applicable to the limit
as a percentage of debt limit.18.09% 15.52% 13.01% 11.08% 9.39% 8.25% 6.98% 6.02% 7.60% 6.00%
Note:
Under state finance law, the City's outstanding general obligation debt should not exceed 2.50 percent of total assessed property value.
Fiscal Year
CITY OF COLLEYVILLE, TEXAS
LEGAL DEBT MARGIN INFORMATION
LAST TEN FISCAL YEARS
Legal Debt Margin Calculation for Fiscal Year 2017
123
TABLE 14
Utility Less:Net
Fiscal Service Operating Available
Year Charges Expenses Revenue Principal Interest Coverage
2008 11,452,268$ 9,670,881$ 1,781,387 700,000$ 265,658$ 815,729$
2009 11,458,282 8,943,803 2,514,479 640,000 241,223 1,633,256
2010 11,427,074 9,458,355 1,968,719 680,000 213,358 1,075,361
2011 14,391,910 10,120,678 4,271,232 920,000 57,819 3,293,413
2012 13,986,067 10,395,517 3,590,550 750,000 77,947 2,762,603
2013 14,802,351 10,707,017 4,095,334 765,000 58,430 3,271,904
2014 14,852,535 11,331,749 3,520,786 775,000 44,137 2,701,649
2015 15,856,242 12,043,267 3,812,975 460,000 30,100 3,322,875
2016 15,638,670 11,965,525 3,673,145 345,000 20,325 3,307,820
2017 16,045,635 12,673,136 3,372,499 350,000 9,900 3,012,599
Debt Service
Water Revenue Bonds
PLEDGED REVENUE COVERAGE
LAST TEN FISCAL YEARS
CITY OF COLLEYVILLE, TEXAS
124
TABLE 14 TABLE 14
Drainage Drainage Net
Fiscal Service Operations Available Sales Tax
Year Charges Expenses Revenue Principal Interest Coverage Increment Principal Interest Coverage
2008 902,232$ 510,259$ 391,973$ 165,000$ 96,984$ 129,989$ 1,300,260$ 270,000$ 380,013$ 650,247$
2009 889,163 500,677 388,486 170,000 90,138 128,348 1,264,385 275,000 368,195 621,190
2010 915,734 484,712 431,022 175,000 82,930 173,092 1,317,161 290,000 356,290 670,871
2011 905,271 551,049 354,222 152,163 58,979 143,080 1,319,517 300,000 344,195 675,322
2012 908,387 531,705 376,682 205,000 51,244 120,438 1,426,909 315,000 331,588 780,321
2013 930,427 541,598 388,829 210,000 41,733 137,096 1,534,635 330,000 318,365 886,270
2014 941,416 416,957 524,459 220,000 35,398 269,061 1,673,351 - 138,390 1,534,961
2015 959,833 700,939 258,894 225,000 27,847 6,047 1,725,809 395,000 205,416 1,125,393
2016 966,687 414,619 552,068 105,000 22,121 424,947 1,864,084 410,000 193,824 1,260,260
2017 996,855 493,796 503,059 110,000 18,391 374,668 1,872,563 420,000 181,872 1,270,691
Debt Service Debt Service
Sales Tax BondsDrainage Revenue Bonds
125
TABLE 15
Tarrant
Per Capita County
Calendar Personal Personal Unemployment
Year Population Income Income Rate
2008 22,500 173,853$ 57,758$ 5.1%
2009 22,550 166,063 55,170 8.2%
2010 22,807 166,063 55,354 7.9%
2011 22,860 199,168 65,516 8.3%
2012 22,950 199,168 65,516 6.2%
2013 23,090 199,168 65,516 6.0%
2014 23,740 200,822 66,060 5.0%
2015 23,830 200,822 66,060 4.0%
2016 24,230 200,822 66,060 4.1%
2017 24,630 207,438 68,236 3.4%
Sources:
CITY OF COLLEYVILLE, TEXAS
DEMOGRAPHIC AND ECONOMIC STATISTICS
LAST TEN FISCAL YEARS
Population -North Central Texas Council of Governments,personal income -City of Colleyville Economic
Development Department,Unemployment Rate -Texas Workforce Commission (unemployment rate is not
available solely for the City of Colleyville)
126
TABLE 16
Percentage Percentage
of Total City of Total City
Employer Employees Employment Employees Employment
Grapevine Colleyville ISD 611 5.9% 150 2.6%
Market Street 345 3.3% 200 3.5%
Lifetime Fitness 250 2.4% 230 4.0%
City of Colleyville 206 2.0% 199 3.4%
Covenant Christian Academy 130 1.3% - -%
Whole Foods Market 125 1.2% - -%
Albertsons 118 1.1% 110 1.9%
LaHacienda Ranch 100 1.0% 100 1.7%
Walmart Neighborhood Market 72 0.7% - -%
US Memory Care 60 0.6% - -%
Morgan Stanley - -% 122 2.1%
DigiMedical Solutions - -% 90 1.6%
Mac's Steak and Seafood - -% 80 1.4%
TGW Insurance - -% 75 1.3%
Neo Industries - -% 60 1.0%
Crème de la Crème - -% 60 1.0%
Sonshine Academy - -% 60 1.0%
Total 2,017 19.5% 1,536 26.5%
Source: City Economic Development Division
CITY OF COLLEYVILLE, TEXAS
PRINCIPAL EMPLOYERS
CURRENT YEAR AND NINE YEARS AGO
2017 2009
127
Function/Program 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
General government
Management services 5 4 4 4 4 4 4 4 3.75 5
Finance/court 6 6 6 6 6 8 8 8 8 9
Planning 3 3 2 2 2 2 4 3 4 4
Building 6 6 5 4 3 3 3.5 5 5 5
Other 6.5 7.5 9.5 11 11 13 11.625 13.52 14.14 12.14
Police
Officers 37 38 38 38 39 40 41 42.5 43 43
Civilians 14 14 13 6 6 6 6.5 7 6.5 6
Fire
Firefighters and officers 33 33 33 33 35 36 38 41 41 41
Civilians 1 1 2 1 1 1 1 1 1 1
Other public works
Engineering 5 5 4 4.5 3 3 4.05 3.95 4.75 2.75
Other 3 3 3 3 3 3 3 3 3 3
Streets 10 10 10 10 10 7 8.35 8.35 8.35 8.35
Parks and recreation 13.5 13.5 16.5 16 16 16 15.75 15 15 17
Library 8 8 9.5 11.5 11.5 12 13 13.625 13 13
Colleyville center 4.5 4.5 4.5 4.5 4.5 3.5 4 4.5 4.5 4.0
Water/wastewater 29 29 28 24 24.5 23 24.675 25.025 24.225 25.6
Drainage 6 6 6 6 6 7 6 6 6.41 6.41
Total 190.5 191.5 194.0 184.5 185.5 187.5 196.5 204.5 205.6 206.0
Source:City Human Resources Office
Notes:A fulltime employee is scheduled to work 2080 hours per year (including vacation and sick leave).Fulltime equivalent employment is
calculated by dividing total labor hours by 2080.
TABLE 17
Fulltime Equivalent Employees as of September 30,
CITY OF COLLEYVILLE TEXAS
FULLTIME EQUIVALENT CITY GOVERNMENT EMPLOYEES
BY FUNCTION/PROGRAM
LAST TEN FISCAL YEARS
128
TABLE 18
Function/Program 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
General government
Building permits issued 131 90 77 104 155 103 108 181 182 136
Building inspections conducted 8,108 5,641 6,149 6,737 8,310 8,292 7,807 7,307 8,940 10,666
Police
Physical arrests 514 809 764 666 653 632 863 800 918 602
Calls for service 15,292 23,480 12,242 27,254 48,076 61,270 58,522 51,537 43,492 34,437
Traffic violations 15,621 12,550 13,822 11,354 11,980 11,766 19,955 21,450 20,790 13,016
Fire
Emergency responses 681 737 762 830 724 557 627 694 1,783 1,768
Ambulance calls 667 693 751 765 803 829 950 959 1,037 967
Inspections 666 796 784 397 342 306 317 363 400 361
Other public works
Street resurfacing (miles)8.5 13.9 8.0 6.2 1.0 4.0 1.7 3.7 10.9 6.8
Parks and recreation
Athletic field participants 5,159 4,617 4,296 4,378 3,946 4,287 4,315 4,434 4,302 4,517
Community center rentals 627 507 373 410 404 398 412 452 376 405
Library
Volumes in collection 50,348 54,659 58,147 62,997 65,740 69,736 74,525 77,664 80,452 82,182
Total volumes borrowed 211,674 238,459 244,458 235,238 244,613 250,737 234,667 228,160 222,128 227,252
Water
Customers 8,893 8,960 9,014 9,103 9,285 9,396 9,507 9,631 9,858 9,987
Average daily consumption
(thousands of gallons)6,619 6,578 5,990 7,928 7,217 6,785 6,539 6,451 5,889 6,355
Peak daily consumption
(thousands of gallons)16,764 16,674 18,207 18,935 18,707 17,052 15,204 19,866 15,724 12,434
Wastewater
Customers 8,138 8,315 8,389 8,457 8,603 8,731 8,817 8,905 9,071 9,270
Source: Various City departments
CITY OF COLLEYVILLE, TEXAS
OPERATING INDICATORS BY FUNCTION/PROGRAM
LAST TEN FISCAL YEARS
129
Function/Program 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Police
Stations 1 1 1 1 1 1 1 1 1 1
Patrol units 13 13 13 13 12 12 12 13 13 13
Fire
Stations 3 3 3 3 3 3 3 3 3 3
Public works
Streets (miles)312 312 318 282 282 282 283 283 283 289
Streetlights 1,010 1,168 1,188 1,169 1,169 1,175 1,175 1,227 1,269 1,269
Traffic signals 2 2 2 2 2 2 2 2 2 2
Parks and recreation
Acreage 224 224 224 224 224 224 224 224 225 225
Playgrounds 6 6 6 6 6 6 6 6 7 7
Baseball/softball diamonds 9 9 9 9 9 9 9 9 9 9
Soccer fields 14 14 14 14 14 14 14 14 14 14
Community centers 1 1 1 1 1 1 1 1 1 1
Water
Water mains (miles)192 199 200 195 201 202 204 205 206 206
Fire hydrants 1,271 1,340 1,345 1,362 1,389 1,389 1,403 1,422 1,507 1,517
Storage capacity 4,900 9,900 9,900 8,500 8,500 8,500 8,500 8,500 8,500 8,500
(thousands of gallons)
Wastewater
Sanitary sewers (miles)164 166 170 162 169 170 172 172 179 180
Storm sewers (miles)59 63 63 58 64 58 60 67 69 70
Source: Various City departments
Note: No capital asset indicators are available for the general government or library function.
Fiscal Year
TABLE 19
CITY OF COLLEYVILLE, TEXAS
CAPITAL ASSET STATISTICS BY FUNCTION/PROGRAM
LAST TEN FISCAL YEARS
130
131
COMPLIANCE
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INDEPENDENT AUDITORS’ REPORT ON INTERNAL CONTROL OVER FINANCIAL
REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT
OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH
GOVERNMENT AUDITING STANDARDS
To the Honorable Mayor and
Members of the City Council
City of Colleyville, Texas
We have audited, in accordance with the auditing standards generally accepted in the United
States of America and the standards applicable to financial audits contained in Government Auditing
Standards issued by the Comptroller General of the United States, the financial statements of the
governmental activities, the business-type activities, the discretely presented component unit, each major
fund, and the aggregate remaining fund information of the City of Colleyville, Texas, as of and for the
year ended September 30, 2017, and the related notes to the financial statements, which collectively
comprise the City of Colleyville Texas’ basic financial statements, and have issued our report thereon
dated March 2, 2018.
Internal Control Over Financial Reporting
In planning and performing our audit of the financial statements, we considered the City of
Colleyville Texas’ internal control over financial reporting (internal control) to determine the audit
procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the
financial statements, but not for the purpose of expressing an opinion on the effectiveness of the City of
Colleyville Texas’ internal control. Accordingly, we do not express an opinion on the effectiveness of
the City of Colleyville Texas’ internal control.
A deficiency in internal control exists when the design or operation of a control does not allow
management or employees, in the normal course of performing their assigned functions, to prevent, or
detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a
combination of deficiencies, in internal control, such that there is a reasonable possibility that a material
misstatement of the entity’s financial statements will not be prevented, or detected and corrected on a
timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control
that is less severe than a material weakness, yet important enough to merit attention by those charged
with governance.
133
134
Our consideration of internal control over financial reporting was for the limited purpose
described in the first paragraph of this section and was not designed to identify all deficiencies in
internal control over financial reporting that might be material weaknesses or, significant deficiencies.
Given these limitations, during our audit we did not identify any deficiencies in internal control over
financial report that we consider to be material weaknesses. However, material weaknesses may exist
that have not been identified.
Compliance and Other Matters
As part of obtaining reasonable assurance about whether the City of Colleyville Texas’ financial
statements are free from material misstatement, we performed tests of its compliance with certain
provisions of laws, regulations, contracts, and grant agreements, 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 or other
matters that are required to be reported under Government Auditing Standards.
Purpose of this Report
The purpose of this report is solely to describe the scope of our testing of internal control and
compliance and the results of that testing, and not to provide an opinion on the effectiveness of the
entity’s internal control or on compliance. This report is an integral part of an audit performed in
accordance with Government Auditing Standards in considering the entity’s internal control and
compliance. Accordingly, this communication is not suitable for any other purpose.
Waco, Texas
March 2, 2018