HomeMy WebLinkAboutAnnual Financial Report
Augusta Richmond GA
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CITY OF AUGUSTA
Augusta, Georgia
Annual Financial Report
December 31, 1990
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CITY OF AUGUSTA, GEORGIA
ANNUAL FINANCIAL REPORT
Year ended December 31, 1990
TABLE OF CONTENTS
Exhibit Paqe
REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS 2
COMBINED STATEMENTS - OVERVIEW ("Liftable"
General Purpose Financial Statements):
COMBINED BALANCE SHEET - All Fund Types and
Account Groups A 3
COMBINED STATEMENT OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCE - All Governmental Fund
Types and Expendable Trust Funds B 7
COMBINED STATEMENT OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUAL -
General and Special Revenue Fund Types C 11
COMBINED STATEMENT OF REVENUES, EXPENSES AND
CHANGES IN RETAINED EARNINGS/FUND BALANCES -
All Proprietary Fund Types and Similar Trust
Funds D 13
COMBINED STATEMENT OF CASH FLOWS - All
Proprietary Fund Types and Similar Trust Funds E 15
NOTES TO FINANCIAL STATEMENTS 19
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FINANCIAL SECTION
o REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS
o COMBINED STATEMENTS - OVERVIEW ("LIFTABLE" GENERAL PURPOSE
FINANCIAL STATEMENTS)
o COMBINING, INDIVIDUAL FUND, AND ACCOUNT GROUP FINANCIAL
STATEMENTS
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CHERRY "\
BEKAERT&..
HOLLAND
CERTIFIED PUBLIC
ACCOUNfANfS
REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS
The Honorable Mayor and
Members of the city council
City of Augusta
Augusta, Georgia
We have audited the accompanying general purpose financial
statements of the city of Augusta, Georgia (lithe city"), as of and
for the year ended December 31, 1990, as listed in the table of
contents. These financial statements are the responsibility of the
City's management. Our responsibility is to express an opinion on
these financial statements based on our audit.
i
We conducted our audit in accordance with generally accepted
audi ting standards. Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the
amounts and disclosures in the financial statements. An audit also
includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall
financial statement presentation. We believe that our audit
provides a reasonable basis for our opinion.
.
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In our opinion, the general purpose financial statements referred
to above present fairly, in all material respects, the financial
position of the City of Augusta, Georgia, as of December 31, 1990,
and the results of its operations and the cash flows of its
proprietary and similar trust fund types for the year then ended,
in conformity with generally accepted accounting principles.
.
Our audit was conducted for the purpose of forming an opinion on
the general purpose financial statements taken as a whole. The
combining and individual fund and account group financial
statements and schedules listed in the table of contents are
presented for purposes of additional analysis and are not a
required part of the general purpose financial statements of the
City of Augusta, Georgia. Such information has been subjected to
the auditing procedures applied in the audit of the general purpose
financial statements and, in our opinion, is fairly presented in
all material respects in relation to the general purpose financial
statements taken as a whole.
Augusta, Georgia
June 21, 1991
~, 13.ekov.J ~ ~
2
Exhibit A
Paqe 1 of 2
ASSETS
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CITY OF AUGUSTA, GEORGIA
Combined Balance Sheet
All Fund Types and Account Groups
December 31, 1990
Cash and temporary
investments
Investments, at cost
Receivables (net of allowance
for uncollectibles)
Taxes
Accounts
Interest
Notes - current portion
Due from other funds
Due from other governments
Notes receivable - long term
Inventories
Restricted assets
Cash and temporary
investments
Due from other funds
Fixed assets - net
Amount to be provided for
retirement of long-term debt
Governmental Fund Types
Special Capital
General Revenue Proiects
$ 6,364,546 $
$
345,603
4,543,705
587,421
34,431
50,382
101,855
10,951,750
522,595
824,740
138,458
3,278
23,339
5,881,358
770,522
5,254,095
2,642,714
8,886,554
$19.576,178 $16.476.297 $11.874.871
The accompanying notes are an integral part of the financial
statements.
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I Exhibit A
CITY OF AUGUSTA, GEORGIA Paqe 1 of 2
I combined Balance Sheet
All Fund Types and Account Groups
I December 31, 1990
ASSETS
I Proprietary Fiduciary
Fund Fund
TYPes Tvpes Account Groups
I General Totals
Trust and General Long-Term (Memorandum
Enterprise Aqencv Fixed Assets Debt Only)
I $ 5,217,514 $ 1,470#375 $ $ $ 17,941,743
36,397,289 36,397,289
I 590,699
1,982,743 1,652 2,018,826
4,989 78,710
I 101,855
1,510,519 1,040,925 22,027,266
3,341,578 13,521,249
I 6,078,835
1,027,906 1,166,364
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911,081 911,081
I 327,824 327,824
77,267,395 24,420,347 101,687,742
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I 4.100.000 4.100.000
$91. 586.560 $38..915,230 $24,420,347 $4,100,000 $206,949,483
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Liabilities
Accounts payable and accrued
liabilities $
Current portion of long-term
debt
Other payables
Payable from restricted assets
Payables and deposits
Current portion of long-
term debt
Due to other governments
Due to other funds
Deferred revenue
Long-term debt
Total liabilities
2,021,188 $
563,820 $
911,825
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Exhibit A
Paqe 2 of 2
CITY OF AUGUSTA, GEORGIA
combined Balance Sheet
All Fund Types and Account Groups
December 31, 1990
LIABILITIES AND FUND EQUITY
Governmental Fund Types
General
Special
Revenue
Capital
proiects
56,216
13,928,672
583,793
16.589.869
832,348
1,234
8.970.633
10.368.035
1,930,586
7,779,326
10.621.737
Fund equity
contributed capital
Investment in general fixed
assets
Retained earnings
Reserved per grant and debt
provisions
Unreserved
Fund balances (deficit)
Reserved for encumbrances
Reserved for specific
purposes
Unreserved - designated for
Special revenue
Capital Projects
Trust Funds
Unfunded pension
obligation
Unreserved - undesignated
163,590
1,200,679
2,589,000
3,519,262
1,253,134
718,274
903.766
Total fund equity
2.986.309
6.108.262
1.253.134
contingencies and litigation
$19.576.178 $16.476.297 $11.874.871
The accompanying notes are an integral part of the financial
statements.
5
other financing sources (uses)
Sale of fixed assets
Operating transfers in
Operating transfers out
31,990
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Exhibit B
Paqe 1 of 2
CITY OF AUGUSTA, GEORGIA
combined statement of Revenues, Expenditures and
Changes in Fund Balance - All Governmental Fund Types
and Expendable Trust Funds
Year ended December 31, 1990
Governmental Fund Types
General
Revenues
Taxes and special assessments
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Interest and miscellaneous
Overhead allocation
Total revenues
$14,203,413
1,004,662
4,267,868
348,034
1,236,225
822,451
2.352.232
24.234.885
Expenditures
Current operating
General government
Public safety
Public works
Health and welfare
Culture and recreation
Miscellaneous
Capital projects
Debt service
Principal retirement
Interest and fiscal charges
9,012,996
10,518,429
4,884,340
469,992
1,653,493
537,575
Total expenditures
27.076.825
Excess of revenues over (under)
expenditures
(2.841.940)
Total other financing sources (uses)
( 206.773)
( 174.783)
The accompanying notes are an integral part of the financial
statements.
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CITY OF AUGUSTA, GEORGIA
Exhibit B
Page 1 of 2
Combined Statement of Revenues, Expenditures and
Changes in Fund Balance - All Governmental Fund Types
and Expendable Trust Funds
Year ended December 31, 1990
Governmental Fund Types
Fiduciary
Fund Types
Special
Revenue
Capital
Projects
Expendable
Trusts
Totals
(Memorandum Only)
638,928
225,403
55,144
$18,600,695
1,004,662
S,771,382
348,034
1,236,225
1,741,926
2.352.232
35.055.156
$ 4,397,282
$
$
172,051
5,331,463
5.208.261
5.556.866
55.144
90,265
9,012,996
10,593,986
11,809,119
469,992
1,653,493
90,265
6,128,018
75,557
6,924,779
6,128,018
379.486
537,575
379.486
7.379.822
6.128.018
90.265
40.674.930
(2,171.561)
( 571.152)
( 35,121)
(5,619.774)
738,947
2,887,597
(1.403,750)
1.483,847
28,923
31,990
3,655,467
(1.610.523)
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738.947
28,923
2.076,934
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Fund balance at beginning of year
6,003,032
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Exhibit B
Paae 2 of 2
CITY OF AUGUSTA, GEORGIA
combined Statement of Revenues, Expenditures and
Changes in Fund Balance - All Governmental Fund Types
and Expendable Trust Funds
Year ended December 31, 1990
Governmental Fund Types
General
Excess of revenues and other sources
over (under) expenditures and other
uses
$(3,016,723)
Fund balance at end of year
$ 2,986,309
The accompanying notes are an integral part of the financial
statements.
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CITY OF AUGUSTA, GEORGIA
Exhibit B
Paqe 2 of 2
Combined Statement of Revenues, Expenditures and
Changes in Fund Balance - All Governmental Fund Types
and Expendable Trust Funds
Year ended December 31, 1990
Governmental Fund Types
Fiduciary
Fund Types
Special
Revenue
capital
proiects
Expendable
Trusts
Totals
(Memorandum Only)
$(1,432,614)
$
912,695
$( 6,198)
$(3,542,840)
7.540.876
$ 6.108.262
340.439
$ 1.253.134
612.205
$ 606.007
14.496.552
$10.953.712
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Exhibit C
CITY OF AUGUSTA, GEORGIA
Variance
Favorable
(Unfavorable)
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Combined Statement of Revenues, Expenditures and
Changes in Fund Balance - Budget and Actual -
General and special Revenue Fund Types
Year ended December 31, 1990
Revenues
Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Interest and miscellaneous
Indirect cost allocation
Total revenues
Expenditures
Current
General government
Public safety
Public works
Health and welfare
Culture and recreation
Debt service
Total expenditures
Excess of expendi-
tures over
revenues
other financing sources
Sale of fixed assets
Operating transfers in
(out), net
'I'otal other
financing sources
Excess of revenues
and other sources
over (under)
expenditures $
General Fund
Budqet
Actual
$ (
(
(
(
(
( 871,449)
1.017.232
( 758.069)
580,030)
15,838)
175,843)
105,366)
26,775)
8,469,223 9,012,996 ( 543,773)
10,491,846 10,518,429 ( 26,583)
5,979,084 4,884,340 1,094,744
448,658 469,992 ( 21,334)
2,240,080 1,653,493 586,587
537.575 537.575
28.166.466 27.076.825 1. 089.641
(3.173.512) (2.841.940) 331.572
516,000 31,990 ( 484,010)
2.702.641 ( 206.773) (2.909.414)
.3.218.641 ( 174.783) (3.393.424)
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45.129 $(3.016.723) $(3.061.852)
The accompanying notes are an integral part of the financial
statements.
$14,783,443
1,020,500
4,443,711
453,400
1,263,000
1,693,900
1.335.000
24.992.954
$14,203,413
1,004,662
4,267,868
348,034
1,236,225
822,451
2.352.232
24.234.885
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Exhibit C
CITY OF AUGUSTA, GEORGIA
combined statement of Revenues, Expenditures and
Changes in Fund Balance - Budget and Actual -
General and Special Revenue Fund Types
Year ended December 31, 1990
Special Revenue Fund
Totals (Memorandum OnlY)
Budqet
Variance
Favorable
Actual (Unfavorable)
Budqet
Actual
Variance
Favorable
(Unfavorable)
$ 4,107,000 $ 4,397,282 $ 290,282 $18,890,443 $18,600,695 $( 289,748)
1,020,500 1,004,662 ( 15,838)
172,000 172,051 51 4,615,711 4,439,919 ( 175,792)
453,400 348,034 ( 105,366)
1,263,000 1,236,225 ( 26,775)
110,586 638,928 528,342 1,804,486 1,461,379 ( 343,107)
1.335.000 2.352.232 1.017.232
4.389.586 5.208.261 818.675 29.382.540 29.443.146 60.606
8,469,223 9,012,996 ( 543,773)
65,000 75,557 ( 10,557) 10,556,846 10,593,986 ( 37,140)
4,517,207 6,924,779 (2,407,572) 10,496,291 11,809,119 (1,312,828)
448,658 469,992 ( 21,334)
2,240,080 1,653,493 586,587
399.983 379.486 20.497 937.558 917.061 20.497
4.982.190 7.379.822 (2.397.632) 33.148.656 34.456.647 (1.307.991)
( 592.604) (2.171.561) (1.578.957) (3.766.116) (5.013.501) (1.247.385)
516,000 31,990 ( 484,010)
(3.379.841) 738.947 4.118.788 ( 677.200) 532.174 1.209.374
(3.379.841) 738.947 4.118.788 ( 161.200) 564.164 725.364
$(3.972.445)$(1.432.614)$ 2.539.831 $(3.927.316)$(4.449.337)$( 522.021)
12
Operating income
1.310.750
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Exhibit D
CITY OF AUGUSTA, GEORGIA
Combined statement of Revenues, Expenses and
Changes in Retained Earnings/Fund Balances -
All Proprietary Fund Types and similar Trust Funds
Year ended December 31, 1990
Proprietary
Fund Tvpes
Enterprise
Operating revenues
Charges for services and sales
Other charges and rentals
Intergovernmental
Other
Interest
contributions
Total operating revenues
$20,172,713
2,216,113
867,593
9,574
23.265.993
Operating expenses
Cost of sales
Personal services
Other operating expenses
Payments in lieu of taxes
Depreciation
Benefit payments
Refunds
2,618,026
5,909,948
6,761,593
3,700,000
2,965,676
Total operating expenses
21.955.243
Non-operating revenues (expenses)
Interest income
Interest expense
Total non-operating revenues (expenses)
Income before operating transfers
operating transfers in (out)
Net income (loss)
676,929
( 358.964)
317.965
1,628,715
(2.016.021)
387.306)
Retained earnings/fund balances at beginning of year,
as previously reported
Prior period adjustment
39,845,739
(1. 787.935)
Retained earnings/fund balances at beginning of year,
as restated
Retained earnings/fund balances at end of year
38.057.804
$37.670,498
The accompanying notes are an integral part of the financial
statements.
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Exhibit D
CITY OF AUGUSTA, GEORGIA
combined statement of Revenues, Expenses and
Changes in Retained Earnings/Fund Balances -
All proprietary Fund Types and Similar Trust Funds
Year ended December 31, 1990
Fiduciary Fund
Types
Pension
Trusts
Nonexpendable
Trusts
Totals
(Memorandum
Only)
$
$
$20,172,713
2,216,113
867,593
9,574
2,803,927
1.747.949
27.817.869
2,775,744
1.747.949
4.523.693
28,183
28.183
100,969
2,618,026
5,909,948
6,862,562
3,700,000
2,965,676
2,001,719
279.994
24.337.925
2,001,719
279.994
2.382.682
2.141.011
28.183
3.479.944
676,929
( 358.964)
317.965
3,797,909
(2.044.944)
2,141,011
28,183
( 28.923)
740)
1. 752.965
2.141.011
35,749,719
347,059
75,942,517
(1.787.935)
35.749.719
$37.890.730
347.059
$ 346.319
74.154.582
$75.907.547
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Exhibit E
CITY OF AUGUSTA, GEORGIA
combining Statement of Cash Flows -
Proprietary Fund Types and similar Trust Funds
Year ended December 31, 1990
Cash flows from operating activities
Operating income
Adjustments to reconcile net operating income to net cash
provided by operating activities
Depreciation
(Increase) decrease in accounts receivable
(Increase) decrease in accrued interest receivable
(Increase) decrease in investments, at cost
(Increase) decrease in due from other funds
(Increase) decrease in due from other taxing units
(Increase) decrease in inventories
Increase (decrease) in accounts payable and accrued
liabilities
Increase (decrease) in customer deposits
Increase (decrease) in due to other funds
Increase (decrease) in due to other taxing units
Total adjustments
Net cash provided by (used for) operating activities
Cash flows from noncapital financing activities
Receipt of capital contributions
Payments to other funds
Receipts from other funds
Net cash provided by (used for) financing activities
Cash flows capital and related financing activities
Payments for capital acquisitions
Principal repayments
Interest paid
Net cash provided by (used for) capital and related
financing activities
Cash flows from investing activities
Interest received
Net cash provided by (used for) investing activities
Net cash increase (decrease) for year
Cash at beginning of year
Cash at end of year
I Exhibit E
CITY OF AUGUSTA, GEORGIA
I combining Statement of Cash Flows -
proprietary Fund Types and Similar Trust Funds
I Year ended December 31, 1990
I Proprietary Fiduciary
Fund Types Fund Type Totals
Pension (Memorandum
I Enterprise Trusts Only)
$ 1.310.750 $ 2.141. 011 $ 3.451.761
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2,965,676 2,965,676
I 312,436 312,436
56,468 56,468
(6,812,389) (6,812,389)
(1,142,455) ( 817,677) (1,960.,132)
I (1,621,846) (1,621,846)
145,095 145,095
I 277,404 2,146 279,550
( 117,759) ( 117,759)
I 2,763,811 2,763,811
7.753 7.753
3.590.115 (7.571.452) (3.981. 337)
4.900.865 (5.430.441) ( 529.576)
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1,787,227 1,787,227
I (3,437,307) (3,437,307)
1. 421. 286 1.421.286
( 228.794) ( 228.794)
I (3,839,205) (3,839,205)
( 793,750) ( 793,750)
I ( 358.964) ( 358.964)
(4.991.919) (4.991.919)
I 676.929 676.929
676.929 676.929
I 357,081 (5,430,441) (5,073,360)
- 5.771. 514 6.750.816 12.522.330
$ 6.128.595 $ 1.320.375 $ 7.448.970
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NOTES TO FINANCIAL STATEMENTS
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements
December 31, 1990
NOTE 1 - Summary of significant Accounting Policies
A. The Reporting Entity
The City of Augusta ("the City"), the county seat of Richmond
County and the second oldest city in Georgia, is located in
the northeast section of the state on the south bank of the
Savannah River, which serves as the boundary between Georgia
and South Carolina. Augusta is on the fall line and has a
landscape dotted with foot hills which descend to the coastal
plain. The sixth largest city in Georgia, Augusta is at the
head of navigation on the Savannah River and is 135 miles east
of Atlanta, 127 miles northwest of the port of Savannah, and
72 miles southwest of ColUmbia, South Carolina. Augusta is
the trade center for 13 counties in Georgia and five in South
Carolina, a section known as the Central Savannah River Area.
The Augusta Standard Metropolitan Statistical Area is the
second largest metro area in Georgia and includes Richmond and
ColUmbia counties in Georgia and Aiken County, South Carolina.
The City operates under a council/mayor form of government and
provides the following services: public safety, highways and
streets, sanitation, culture and recreation, public
improvements and general and administrative services. In
addition, the City operates a public utility (water and
sewer), airport and transit system for the incorporated and
immediate surrounding areas.
For financial reporting purposes the City includes all funds,
account groups, agencies, boards, commissions, and authorities
that are controlled by or financially dependent upon the City,
except as described in the following paragraphs. Control or
financial dependence is determined on the basis of the
obligation of the Ci.....y to finance deficits, guarantee of
debts, selection of governing authority, approval of budget,
authority to make a public levy, ownership of assets, scope
of public service and special financing relationships where
there is only partial or no oversight responsibility.
utilizing the above criteria, the City has included in its
financial statements the Augusta Port Authority, Aviation
Commissions of Bush and Daniel Fields, Downtown Development
Authority, the Waterworks operations and the Public Transit
operations. Agencies and commissions which are supported
jointly by the City and County governments are not included
in the financial statements of the City. These include the
Augusta-Richmond County Planning Commission and the Augusta-
Richmond County Coliseum Authority.
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - continued
December 31, 1990
NOTE 1 - Summary of significant Accounting Policies (continued)
A. The Reporting Entity (Continued)
The Augusta-Richmond County Planning Commission was created to
serve the planning function for the City of Augusta and
Richmond County by injecting a long-range perspective into the
decision-making process. The Commission is governed by a board
of ten members appointed by the City and the County. The
expenditures of the Planning Commission are financed by Federal
and state grants, as well as by appropriations from the City
and County.
The Augusta-Richmond County Coliseum Authority was created to
build and maintain a mUltiple-use coliseum. The Authority is
governed by a board of ten members appointed by the City and
the County. The Authority may accept grants and Federal loans,
establish user charges, and issue revenue bonds.
As of June 30, 1990, the total of the Authority's revenue bonds
outstanding was $11,850,000. To support the payment of these
revenue bonds, the City has pledged revenue from the Hotel-
Motel Excise and Beer tax.
The City, along with Richmond County, will provide such funds
as necessary to service this debt to the extent the Hotel-
Motel Excise and Beer taxes are not sufficient. The amount to
be paid by each will be determined by their respective tax
digest.
B. Basis of Presentation - Fund Accounting
The accounts of the City are organized on the basis of funds
and account groups, each of which is considered a separate
accounting entity. The operations of each fund are accounted
for with a separate set of self-balancing accounts that
comprise its assets, liabilities, fund equity, revenues, and
expenditures, or expenses, as appropriate. Government
resources are allocated to and accounted for in individual
funds based upon the purposes for which they are to be spent
and the means by which spending activities are controlled.
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - continued
December 31, 1990
NOTE 1 - Summary of Significant Accounting Policies (Continued)
B. Basis of Presentation - Fund Accounting (Continued)
The various funds are grouped in the financial statements in
this report into generic fund types and broad fund categories
as follows:
Governmental funds
General Fund - 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.
Special Revenue Funds - Special Revenue Funds are used to
account for the proceeds of specific revenue sources (other
than expendable trusts or major capital projects) that are
legally restricted to expenditures for specified purposes.
Capital proiects Funds - Capital Projects Funds are used to
account for financial resources to be used for the
acquisi tion or construction of maj or capital facilities
(other than financed by Proprietary Funds and Trust Funds) .
Proprietary Funds
Enterprise Funds - Enterprise Funds are used to account for
operations (a) that are financed and operated in a manner
similar to private business enterprises where the intent of
the governing body is that the cost (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 revenues
earned, expenses incurred, and/or net income is appropriate
for capital maintenance, public policy, management control,
accountability or other purposes.
Fiduciarv Funds
Trust and Aqencv Funds - Trust and Agency Funds are used to
account for assets held by the City in a trustee capacity
or as an agent for individuals, private organizations, other
governments and/or other funds. These include Pension
Funds, Expendable Trust, Nonexpendable Trust and Agency
Funds. Nonexpendable Trust Funds are accounted for in
essentially the same manner as Proprietary Funds since
capital maintenance is critical. Expendable Trust Funds are
accounted for in essentially the same manner as Governmental
Funds. Agency Funds are custodial in nature (assets equal
liabilities) and do not involve measurement of results of
operations.
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CITY OF AUGUSTA, GEORGIA
Notes to Financial statements - Continued
December 31, 1990
NOTE 1 - Summary of significant Accounting Policies (continued)
B. Basis of Presentation - Fund Accounting (Continued):
Account Groups
General Fixed Assets Account Group - This group of accounts
is established to account for all fixed assets of the City,
other than those accounted for in the proprietary fund.
General Lonq-Term Debt Account Group - This group of accounts
is established to account for all long-term obligations of the
City except those which are accounted for in the Proprietary
Fund.
C. Basis of Accounting:
Basis of accounting refers to when revenues and expenditures
or expenses are recognized in the accounts and reported in the
financial statements. Basis of accounting relates to the
timing of the measurements made, regardless of the measurement
focus applied.
All Governmental Funds and Expendable Trust Funds are accounted
for using the modified accrual basis of accounting. Their
revenues are recognized when they become measurable and
available as net current assets. Revenues measurable but not
yet available and revenues billed in advance are recorded as
deferred revenue. Sales taxes are considered "measurable" when
in the hands of intermediary collecting governments and are
recognized as revenue at that time. Anticipated refunds of
such taxes are recorded as liabilities and reductions of
revenue when they are measurable and their validity seems
certain. Al though agency funds do not have revenues and
expenditures, their assets and liabilities are accounted for
using the modified accrual basis of accounting. Expenditures
for insurance and similar services which extend over more than
one accounting period are not allocated between or among
accounting periods, but are accounted for as expenditures of
the period of acquisitions.
Expenditures are generally recognized under the modified
accrual basis of accounting when the related fund liability is
incurred. Exceptions to this general rule include principal
and interest on general long-term debt, which is recognized
when due.
All Proprietary Funds and Nonexpendable Trust and Pension Trus~
Funds are accounted for using the accrual basis of accounting,
under which revenues are recognized when earned and expenses
are recognized when incurred.
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - Continued
December 31, 1990
NOTE 1 - Summary of significant Accounting Policies (Continued)
D. Budgets and Budgetary Accounting:
General Budqet Policies
The City Council adopts the budget on a total revenues and
total expenditures basis. The detailed budgetary data shown
in Exhibit C was based upon the details available which
supported the approved budget. The amounts used were taken
from the budget data as amended by Council after the end of the
year.
The budgetary process, which includes all funds, begins in
January when the Budget Commission, which consists of the
members of the Finance Committee and the Comptroller, submits
to the city Council a proposed operating budget for the fiscal
year beginning January 1. There is an open budget committee
meeting before adoption cf the budget. During Mayor June, the
budget is adopted by the full City Council on total revenues
and total expenditures only. The City Council may approve
transfers of budgeted amounts between departments. Any
expendi tures exceeding budgeted appropriations must be reported
to and approved by the Finance Committee.
Capital projects are budgeted on a project basis. Unbudgeted
capi tal proj ects are approved on a per-proj ect basis. Any
other unbudgeted expenses are approved on a per-item basis.
Encumbrances
Encumbrance accounting, under which purchase orders, contracts
and other commitments for the expenditure of funds are recorded
in order to reserve that portion of the applicable
appropriation, is employed in the Governmental Fund types.
Encumbrances are reported as reservations of fund balances at
year end since they do not constitute expenditures.
E. Assets, Liabilities and Fund Equity:
Investments - Investments are stated at cost on a specific
identification basis.
Inventorv - Inventory is stated at cost on a FIFO basis.
Inventory in the General Fund consists of expendable shop
supplies and stockroom supplies held for consumption. The cost
is recorded as an expenditure at the time individual inventory
items are consumed by the various departments.
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - continued
December 31, 1990
NOTE 1 - Summary of significant Accounting Policies (Continued)
E. Assets, Liabilities and Fund Equity (Conti~ued):
Ad Valorem Taxes Receivable - Ad valorem taxes are recognized
as revenues when collected. Uncollected delinquent taxes are
recorded, net of an allowance for estimated uncollectib~es, as
an asset in the applicable funds, but are offset by deferred
revenue accounts on the liability section of the balance sheet
until they are considered "available", which for practical
purposes means the amount collectible within 60 days from the
end of the year.
Allowances for Doubtful Accounts - Allowances for doubtful
accounts are maintained on all types of receivables which
historically experience uncollectible accounts.
Fixed Assets and Lonq-Term Liabilities - The accounting and
reporting treatment applied to the fixed assets and long-term
liabilities associated with a fund are determined by its
measurement focus. All Governmental Funds and Expendable Trust
Funds are accounted for on a spending or "financial flow"
measurement focus. This means that only current assets and
current liabilities are generally included on their balance
sheets. Their reported fund balance (net current assets) is
considered a measure of "available spendable resources".
Governmental Fund operating statements present increases
(revenues and other financing sources) and decreases
(expenditures and other financing uses) in net current assets.
Accordingly, they are said to present a summary of sources and
uses of "available spendable resources" during a period.
Fixed Assets - Fixed assets used in Governmental Fund Type
operations are accounted for in the General Fixed Assets
Account Group, rather than in governmental funds. Public
domain ("infrastructure") general fixed assets consisting of
certain improvements other than buildings, including roads,
bridges, curbs and gutters, streets and sidewalks, d~ainage
systems, and lighting systems, are not capitalized as part of
general fixed assets. No depreciation has been provided on
general fixed assets. All fixed assets are valued at
historical cost or estimated histcrical cost if actual
historical cost is not available. Donated fixed assets are
valued at their estimated fair value on the date donated.
24
Buildings and improvements
Major moveable equipment
Permanent improvements
Vehicles
40 Years
5 - 20 Years
40 Years
6 - 15 Years
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - Continued
December 31, 1990
NOTE 1 - Summary of significant Accounting Policies (Continued)
E. Assets, Liabilities and Fund Equity (Continued):
Lonq-Term Liabilities - Long-term liabilities expected to be
financed from Governmental Funds are accounted for in the
General Long-Term Debt Account Group, not in the Governmental
Funds. The single exception to this general rule is for
special assessment bonds, which are accounted for in Special
Revenue Funds.
Account Groups - The General Fixed Asset Account Group and the
General Long-Term Debt Account Group are not "funds". They are
concerned only with the measurement of financial position. They
are not involved with measurement of results of operations.
Depreciation - Depreciation of all exhaustible fixed assets
used by Proprietary Funds is charged as an expense against
their operations. Accumulated depreciation is reported on
Proprietary Fund balance sheets. Depreciation has been
provided over the estimated useful lives using the straight-
line method. The estimated useful lives are as follows:
Bonded Debt - General obligation bonds which were listed to
finance construction of facilities utilized in the operations
of the Proprietary Funds are being reported as long-term debt
in the Proprietary Funds balance sheets.. All other general
obligation bonds are maintained in the General Long-Term Debt
Account Group.
Deferred Revenue - Deferred revenue consists of a contra-
reserve for receivables which are measurable but not available
at December 31, (meaning collected within 60 days from the
year-end) and prepaid income resulting from receipts of revenue
before the service is rendered. The revenues for services
which are expected to be rendered in the following year are
classified as liabilities.
Fund Balance - The amounts shown in the fund balance section
of the balance sheet reflect fund balance as defined by
"generally accepted accounting principles" in NCGA Statement
1. Portions of fund balance have been reserved for
encumbrances and the portion of fund equity segregated for
specific use is not available for appropriation or
expenditures.
"
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - continued
December 31, 1990
NOTE 1 - Summary of significant Accounting Policies (Continued)
E. Assets, Liabilities and Fund Equity (Continued):
All Proprietary Funds and Nonexpendable Trust and Pension Trust
Funds are accounted for .on a cost of services or "capital
maintenance" measurement focus. This means that all assets and
all liabilities (whether current or noncurrent) associated with
their activity are included on their balance sheets. Their
reported fund equity (net total assets) is segregated into
contributed capital and retained earnings components.
Proprietary Fund Type operating statements present increases
(revenues) and decreases (expenses) in net total assets.
F. Property taxes:
Property owned at January 1 is taxable to the owner during the
year. The tax rate is normally set by the end of June, and
property taxes may be paid after receipt of the tax bill.
Property taxes are due mid September and are delinquent 60 days
later.
Vehicles become subject to property tax on January 1 following
the year of purchase. The tax is due by April 1 of that year,
and succeeding years based on the assessed value of the car as
of January 1.
Property taxes are recorded as receivables when levied. The
amount of uncollected taxes, reduced by an allowance for
doubtful accounts, is recorded as deferred revenue until
collected. Such revenue is deferred because the amount is
measurable, although not available.
G. compensated Absences:
Employees may carryover to the following year a maximum of 20
days of accrued vacation leave, and a maximum of 90 days of
sick leave. The City records the accrued liability for the
vacation leave as a current liability in the General Fund and
Enterprise Funds. No liability is recorded for sick leave
since employees are not paid for accumulations upon
termination.
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - continued
December 31, 1990
NOTE 1 - Summary of significant Accounting Policies (Continued)
H. Total Columns on combined statements:
Total columns on the Combined statements are captioned
Memorandum Only to indicate that they are presented only to
facilitate financial analysis. Data in these columns do not
present financial position, results of operations, or changes
in financial position in conformity with generally accepted
accounting principles. Neither is such data comparable to a
consolidation. Interfund eliminations have not been made in
the aggregation of this data.
I. Interfund Transactions:
Maj or interfund transactions during the year included operating
transfers and payment in lieu of taxes by the Waterworks Fund
to the General Fund, contributions by the General Fund and
Enterprise Funds to the Pension Trust Funds, and payments by
the Airport (Bush Field) Fund to the General Fund for principal
and interest on the notes outstanding.
J. Self Insurance:
The City is self-insured for public liability and property
damage claims on the first $250,000 of any accident and for the
amount, if any, in excess of $75,610,000 for property coverage
and $2,000,000 for liability. The City carries liability
insurance for amounts not otherwise self-insured.
NOTE 2 - Stewardship, Compliance and Accountability
A. Legal provisions:
Certain intergovernmental revenues and grants require
compliance with federal laws, particularly the Single Audit Act
of 1984 and OMB Circular A-128. The city administers each of
its major federal financial assistance programs in compli~nce,
in all material respects, with laws and regulations, including
those pertaining to financial reports and claims for advances
and reimburseThents.
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - Continued
December 31, 1990
NOTE 2 - stewardship, compliance and Accountability (Continued)
B. Deficit Fund Balance/Retained Earnings:
Included in the Special Revenue Fund type of the City is the
City's Downtown Development Authority, which receives funding
through collections from a special tax on downtown merchants
and additional amounts as needed per approval of City Council.
These funds are used to satisfy the quarterly payments due on
a twenty-year note incurred in a prior year to revitalize Broad
street (Note 8). Because the fund includes a twenty-year
liability that is paid from annual earnings and appropriations,
the financial statements of the fund reflect a fund deficit of
$3,997,584 at December 31, 1990.
NOTE 3 - Deposits and Investments (Including Repurchase Agreements)
The City invests all available nonoperating funds in a short-term
pooled investment, utilizing the City'S general fund as a clearing
account. At the investment's maturity, the interest earned is
distributed to each fund participating in the investment based on
each fund's weighted average balance in relation to the total
amount of the investment. Each participating fund's portion of the
pooled investment is included by fund type in the combined balance
sheet in cash and temporary investments.
In addition to the pooled investments, other temporary investments
are made based on cash availability. A sufficient amount of cash
is maintained in the general operating checking account of the City
to provide for cash needs for operating purposes. The funds are
invested daily in an overnight collateralized investment at the
bank, generally in the form of a repurchase agreement.
various restrictions on deposits and investments,
repurchase agreements, are imposed by statutes
ordinances. These restrictions are summarized below.
including
and local
The City is authorized to make direct investments in obligations
of this State or the U.S. Government, obligations fully insured or
guaranteed by the U. S . Government, repurchase agreements, and
certificates of deposit which are secured by direct obligations of
the state or the U.S. Government.
The Retirement trust funds are also allowed to invest in (1)
corporate bonds rated (AAA), (AA), (A), (2) equity securities, not
to exceed 25% of funds, and (3) real estate located within the
State of Georgia, not to exceed 5% of funds. The city uses
professional fund management and custodial services to assist in
administering the Retirement funds.
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Carrying
Amount
Market
Value
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - Continued
December 31, 1990
NOTE 3 - Deposits and Investments (Including Repurchase Agreements)
(Continued)
The City's deposits at December 3:, 1990, are categorized as
follows:
Amount insured by the FDIC and FSLIC
Amount collateralized with securities held by
the pledging financial institution in the
City's name
Uncollateralized
$ 1,708,963
11,668,353
358,619
Total bank balance
13,735,935
Cash on hand
11, 889
Total cash and deposits
$13,747,824
The above amount is classified in the accompanying combined balance
sheet - all fund types and account groups as follows:
Cash and temporary investments - unrestricted $12,836,743
Restricted assets - cash and temporary
investments 911,081
$13,747,824
Investments made by the City, including repurchase agreements, are
summarized below. All investments made by the City are categorized
as insured or registered, or as securities held by the City or its
agent in the City's name.
Repurchase agreements
$ 5,105,000
$ 5,105,000
U.S. Government securities
Equity investments
Certificates of deposit
Real estate
25,119,700
8,126,474
2,176,020
975,095
36.397,289
25,671,610
8,255,806
2,176,020
975,095
37,078,531
$41,502,289 $42,183,531
Net realized gains on investments included in the determination of
net income are $61,851 in 1990. Cost of investments is determined
by specific identification of the securities sold.
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - Continued
December 31, 1990
NOTE 4 - Taxes Receivable
As of December 31, 1990, the amount of delinquent taxes receivable
and related allowance accounts by fund are as follows:
General Fund:
Taxes receivable
Less allowance
Total taxes receivable
$ 672,911
( 85.490)
587.421
3,857
( 579)
3.278
$ 590.699
special Revenue Fund:
Taxes receivable
Less allowance
NOTE 5 - Accounts and Notes Receivable
Accounts receivable at December 31, 1990 consists of the following:
General Fund:
General operating:
Sanitation accounts
Other
$
25,861
8.075
33.936
Augusta Ports Authority:
Other
495
34.431
Proprietary Funds:
Waterworks:
Water accounts (net of allowance for
uncollectibles of $27,557)
Airport:
Airport accounts (net of allowance for
uncollectibles of $39,261)
1,443,674
Total accounts receivable
539.069
1.982.743
1.652
$2,018,826
Fiduciary Funds:
Perpetual care - Expendable
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30,670
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - continued
December 31, 1990
NOTE 5 - Accounts and Notes Receivable (continued)
Notes receivable at December 31, 1990, consists of the following:
General Fund:
Notes receivable from airport authority (Note 8):
original amount $600,000, due in monthly
installments of $6,193, including interest
at 11%. $
Original amount $745,000, due in monthly
installments of $5,776, including interest
at 7%.
494,045
279.399
773.444
Notes receivable for Economic Development
Riverfront Loans:
Original amount $100,000, due interest only
at 5% for first eighteen months, then 102
monthly payments of $1,152, including
interest at 5%.
original amount $50,000, due in monthly in-
stallments of $944, including interest at 5%.
original amount $30,000, due in monthly in-
stallments of $580, including interest at
6%.
97,786
Less current portion
24.695
153.151
926,595
101.855)
Total General Fund
824.740
Special Revenue Funds:
UDAG loans receivable
3.654.095
Section 108 Loan Guarantee Assistance:
Note receivable secured by subject property
from Augusta limited partnership under
Section 108 - HUD loan. $1,600,000 total
funds available, with repayment in annual
installments on August 1, 1991 to 2005.
Interest due quarterly at .35% above London
LIBO rate. See additional disclosure at
Note 15.
Notes receivable - long term
1,600,000
$f,078,E35
In addition to the above notes receivable, a bank maintains records
for certain notes receivable that are not recorded in the accounts
of the city. These loans represent funds received through HUD's
Housing Rehabilitation Program. The Housing Rehabilitation Program
is designed to fund improvements to homes owned and occupied by
persons in low to moderate income ranges. In 1990, loans were also
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - continued
December 31, 1990
NOTE 5 - Accounts and Notes Receivable (Continued)
made to owners of rental units under a deferred loan arrangement
as a part of the Housing Rehabilitation Program. Loans made for
these projects vary as to amounts and interest rates based on the
level of income of the owner/occupiers. Repayments of these loans
are classified as other Project Income in the year received and
are classified as other Program Income in the total Community Block
Program.
The City entered into an agreement with the Georgia Residential
Finance Authority (GRFA) to aid in the administration of Federal
funds granted through the state for RUD's Rental Rehabilitation
Program. The City acts only in an administrative capacity and does
not directly receive or disburse any funds related to this project.
Therefore, the receipts, disbursements and related notes receivable
for the GRFA program have not been included in the financial
statements.
NOTE 6 - Due from Other Governments
Due from other governments at December 31, 1990, consisted of the
following:
General Fund:
General operating:
state $
Local
Capital improvements:
Local
Total General Fund
Current
Assets
389,813
103,293
29,489
522,595
Special Revenue Funds:
streets & drains:
Local
State Capital Grants:
state
Total Special Revenue Funds
727,524
42,998
770,522
Capital Projects Funds:
Community development:
Federal
Daniel Field:
Federc.l
Total capital Projects Funds
Proprietary Fund Types:
Transit:
Federal
State
8,885,832
722
8,886,554
Airport:
Federal
2,163,775
385,233
2,549,008
91.469
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$23,008
$1, 574
$
162
$ 8,580
6,907
2,753
6,180
$ 24,420
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CITY OF AUGUSTA, GEORGIA
Notes to Financial statements - continued
December 31, 1990
NOTE 6 - Due from Other Governments (Continued)
Current
Assets
Waterworks - 201 EPA Facilities:
Federal
Total proprietary funds
Total due from other governments
$ 701,101
3,341,578
$13,521,249
NOTE 7 - Fixed Assets
General Fixed Assets Account Group consists of the following
(amounts in thousands):
Land
Buildings and
improvements
Major moveable
equipment
Vehicles
Balance
Jan. 1, 1990
$ 8,297
Adjustments
and
Additions Deletions
Balance
Dec. 31, 1990
$ 283
$
6,888
19
2,087
5,736
666
606
162
Proprietary Funds
Amounts reported on the combined balance sheet as property, plant
and equipment are net of. accumulated depreciation. Details of
these assets by fund are as follows (amounts in thousands):
Old
Public Government
Waterworks Airport Transit House Total
Land $ 671 $ 4,232 $ 207 $ $ 5,110
Buildings and
improvements 19,002 7,837 946 200 27,985
Permanent
improvements 70,680 7,131 77,811
Vehicles 1,162 945 4,069 6,176
Machinery &
equipment 610 108 260 45 1,023
Construction
in process 1,735 255 589 9 2,588
93,860 20,508 6,071 254 120,693
Less accumulated
depreciation 35,157 5,958 2,277 34 43,426
Net property
and equipment $58,703 $14,550 $ 3,794 $ 220 $ 77,267
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - continued
December 31, 1990
NOTE 7 - Fixed Assets (continued)
For the year ended December 31, 1989, an independent appraisal and
valuation company performed an inventory and valuation of the
City's fixed assets in both the General Fixed Asset Account Group
and the Proprietary Funds. Where known, actual original cost and
acquisi tion dates were used for the property inventoried; when
historical costs were not readily available, the method used to
establish the historical cost value was the Cost Approach, where
an estimated acquisition date and reproduction costs were utilized
to calculate an estimated original cost. The Cost Approach was
used to estimate historical cost on a significant portion of the
City's assets.
NOTE 8 - Long-Term Debt
The following is a summary of debt transactions for the city for
the year ended December 31, 1990:
General
Obligation
Bonds
Revenue
Bonds
Notes
Payable
Total
Debt payable at
January 1, 1990 $4,400,000 $ 9,057,000 $1,504,320 $14,961,320
Additions of new
debt 3,816,000 1,956,451 5,772,451
Debt retired 300.000 727,000 132.694 1.159,694
Debt payable at
December 31, 1990 $4,100,000 $12,146,000 $3,328,077 $19,574,077
The composition of long-term debt at December 31, 1990, by fund
type is as follows:
GenE:::::-a1
Obligation
Bonds
Revenue
Bonds
Notes
Payable
Total
General long-term
debt
Enterprise
Special revenue
$4,100,000 $
$
5,730,000
6,416,000
773,444
2,554,633
$ 4,100,000
6,503,444
8,970,633
$4,100,000 $12,146,000 $3,328,077 $19.574,077
General Long-Term Debt Account Group:
General Obliqation Bonds
$7,020,000 of 1973 Public Improvement Bonds, due
in annual installments of $300,000 for 1990 with
increasing principal amounts through maturity in
2003; interest ranging from 4.75% to 5.75% due
May 1st and November 1st. $4.100.000
34
CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - Continued
December 31, 1990
NOTE 8 - Long-Term Debt (Continued)
Proprietary Funds:
Revenue Bonds - Airport
$1,200,000 of 1972 Augusta Airport Improvement
Bonds due in annual installments of $35,000 in
1990 with increasing principal amounts through
maturity in 2002; interest at 5.95% due April
1st and October 1st.
Total Airport
Revenue Bonds - Water and Sewer
$6,000,000 of 1963 Water and Sewer Bonds, due in
annual installments of $310,000 in 1991 with
principal payments increasing $10,000 annually
until maturity in 1993; interest at 3.4% due
May 1st and November 1st.
$8,000,000 of 1972 Water and Sewer Bonds, due in
annual installments of $415,000 in 1991 with
increasing principal amounts through maturity
in 1998; interest at 5.5% due May 1st and
November 1st.
Total Water and Sewer
special Revenue Funds:
Revenue Bonds - Downtown Development Authoritv
$2,600,000 of 1989 Downtown Development
Authority Bonds, due in annual installments of
$100,000 beginning in 1996 with increasing
principal amounts through maturity in 2010;
interest at 7.4% due January 1st and July 1st
beginning July 1, 1990.
$3,816,000 of 1990 Downtown Development Authority
Bonds; $250,000 due January 1, 1995 with interest
at 7.0%, and $3,566,000 due January 1, 2010 with
interest at 7.55%. Interest is payabl~ semi-
annually on January 1st.and July 1st beginning
January 1, 1991.
Total Downtown Development Authority
Total Revenue Bonds
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$ 785.000
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785.000
950,000
3.995.000
4.945.000
2,600,000
3.816.000
6.416.000
$12,:46.000
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - continued
December 31, 1990
NOTE 8 - Long-Term Debt (Continued)
Notes Payable:
Special Revenue Debt - Downtown Development Authoritv
$1,175,000 of 1977 note with bank, due in
quarterly installments of $28,482, including
principal and interest at 7.5%, through 1997. $ 598,182
$3,900,000 Line of Credit with bank; interest
only due monthly at 10.5% through July 16, 1992.
Beginning with August 16, 1992 payment, principal
and interest due in monthly installments of
$38,937, with maturity no later than July 16,
2002. $3,543,549 remaining credit available at
December 31, 1990. 356,451
Total Downtown Development Authority 954,633
Special Revenue Debt - section 108 Loan Guarantee
$1,600,000 from the Department of Housing and
Urban Development, borrowed as fifteen guaranteed
notes payable, with interest rates varying from
8.0% to 9.25%. Interest is due semiannually on
February 1st and August 1st, beginning February 1,
1991. Notes mature on August 1st from 1991
through 2005. Notes are guaranteed by a note
receivable from a developer. 1,600.000
Proprietary Funds - Airport Authoritv
$600,000 Loan from the General Fund, due in
monthly installments of $6,193, including
interest at 11.0%. 494,045
$745,000 Loan from the General Fund, due in
monthly installments of $5,776, including
interest at ~~. 279.399
Total Airport Authority 773.444
Total notes payable
$3.328.077
Revenue Bond Covenants. Collateral Requirements and Redemption
provisions:
Airport Bonds:
The bond ordinances provide that certain
and maintained to insure prompt payment
interest and to maintain the operations.
the purpose of each are as follows:
1. Revenue Fund - To receive all revenue of the airport.
2. Sinking Fund - To provide a means for payment of bond
interest and principal.
3. Construction Fund To account for bond proceeds and
disbursements for construction.
funds be established
of bond principal and
The funds required and
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Water and Sewer Bonds:
The bond ordinances provide that certain funds be established
and maintained while the bonds are outstanding. The funds
required and the purpose of each are as follows:
1. Revenue Fund - To receive all revenue of the water and sewer
operation, fund the operation of the system and fund the
other required funds.
2. Sinking Funds - To provide a means for payment of principal
and interest.
3. Renewal and Extension Fund To
additions, extensions and improvements
pay principal and interest on bonds
payable from the sinking fund.
4. Construction Fund - To account for the bond proceeds and the
disbursements fo= construction costs.
make replacements,
to the system, and to
and any obligations
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CITY OF AUGUSTA, GEORGIA
Notes to Financial statements - Continued
December 31, 1990
NOTE 8 - Long-Term Debt (continued)
In addition, the ordinance specifies the minimum levels of
funding required to be maintained in the sinking funds. The
ordinance also provides for redemption of bonds if certain
conditions are met by the city. The City has complied with the
requirements of the ordinance.
The ordinance specifies the minimum levels of funding required
to be maintained in the sinking funds and the renewal and
extension fund. The ordinance also provides for redemption of
bonds if certain conditions are met by the City. The City has
complied with the requirements of the ordinance.
Downtown Development Authoritv Bonds:
The revenue bonds restrict the use of both the $2,600,000 1989
bond proceeds and the $3,816,000 1990 bond proceeds each to
finance a public parking garage. The Authority is also charged
with the responsibility to prevent arbitrage with bond proceeds
during the interim period until construction is completed. The
Authority has.complied with the preceding requirements. The
Authority is required to make sinking fund payments to a bank
trustee account beginning January 1, 1994 for the 1990 bonds.
Debt service requirements to maturity:
The annual requirements to amortize all debt outstanding as of
December 31, 1990, including interest are as follows:
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - continued
December 31, 1990
NOTE 8 - Long-Term Debt (Continued)
General
Obligation
Bonds
Revenue
Bonds
Notes
Payable
1991 $ 521,375 $ 1,509,174 $ 455,825
1992 505,175 1,506,863 643,590
1993 488,975 1,503,169 603,568
1994 472,775 1,188,207 427,961
1995 456,575 1,424,534 408,077
Thereafter 3.239.000 14.124.291 3.356.195
5,683,875 21,256,238 5,895,216
Less
interest 1.583.875 9.110.238 2.567.139
$4.100.000 $12.146.000 $3.328.077
NOTE 9 - Deferred Revenues:
Total
$ 2,486,374
2,655,628
2,595,712
2,088,943
2,289,186
20.719,486
32,835,329
13.261.252
$19.574.077
Deferred revenues consist of two general types of items.
Receivables for which collection is not expected within a period
soon enough after year-end to pay current liabilities are not
considered "available" under the modified accrual basis of
accounting, and are, therefore, offset by deferred revenue
accounts. These include property taxes. The other type of items
is from revenues billed in advance, which are received prior to
their normal time of receipt. Details of deferred revenue by fund
are as follows:
General Fund:
Contra reserve for:
Taxes receivable
Sheriff's surplus
Unearned revenue:
Business licenses
Alcohol licenses
Franchise taxes
Deposits
Other
Augusta Port Authority
Total General Fund
Special Revenue:
Downtown Development Authority
Capital Projects Funds:
Unearned grant revenue
38
$ 413,312
14,753
51,623
46,877
35,100
17,000
1,428
3,700
583,793
1.234
7.779.326
$8.364.353
Interfund
Receivables
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - continued
December 31, 1990
NOTE 10 - Interfund Receivables and Payables
Individual fund interfund receivables and payables at December 31,
1990, were as follows:
Fund
General Fund
Augusta Ports Authority
Capital Improvements
Augusta Canal Authority
Special Revenue Funds:
State Capital Grants
Downtown Development Authority
UDAG Loan Fund
Police Vice Fund
streets and Drains
Capital Projects Funds:
Rights of Way
Storm Sewer
Street Improvements
Urban Redevelopment
Riverfront Improvement
Daniel Field
Community Development
Proprietary Funds:
Waterworks Fund
Airport Fund
Public Transit Fund
Old Government House Fund
Pension Funds:
General Retirement
Trust Funds:
Perpetual Care Expendable
J. R. Lamar Expendable
Agency Funds:
Municipal Court Training
Recorders Court Special
Fund
civic Center Alcohol Tax
civic Center Hotel/Motel Tax
Fund
C&VB Mixed Drink Tax Fund
C&VB Alcohol Tax Fund
Interfund
Pavables
$10,951,750
$11,403,339
10,297
2,511,326
3,710
1,841,130
832,348
158
138,077
3,901,993
470,611
1,745,154
277,175
149,774
1,581,995
722
347,869
1,838,343
1,698,613
3,921,998
42,873
817,677
159,840
5
10,726
6,559
18,452
13,907
7,608
6.151
$22.355.090 $22.355.090
In addition to the above inter fund accounts, the city General Fund
holds two long-term notes from the Airport (Bush Field) Fund.
These notes are shown as long-term debt (Note 8) on the Airport
Fund and as a separate note receivable on the general fund
(Note 5).
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - Continued
December 31, 1990
NOTE 11 - Segment Information for Enterprise Funds
Key financial data of the City's four enterprise funds is as
follows (amounts in thousands):
Airport
Waterworks (Bush Field)
Public
Transit
Old
Government
House
Operating:
Revenues
Expenses:
Depreciation
other
Operating income
(loss)
Nonoperating in-
come (expenses)
Net income (loss)
Balance Sheet:
Current assets
Total assets
Current
liabilities
Long-term debt -
net of current
portion
Retained earnings
(deficit)
contributed
capital balance
$15,223
2,185
10,860
2,178
76
(1,183)
4,369
64,216
526
4,220
28,486
29,918
$ 6,316
$ 1,697
$
30
414
5,480
357
2,547
8
104
422
(1,207)
82)
242
664
(
27)
159
5,931
20,576
2,780
6,575
220
2,170
4,554
53
1,436
12,261
( 3,234)
158
4,645
5,255
NOTE 12 - contributed Capital
Totals
$23,266
2,964
18,991
1,311
318
387)
13,080
91,587
7,303
5,656
37,671
9
39,827
Additions to contributed capital for the year ended December 31,
1990, amounted to $1,787,000, resulting in total contributed
capital at December 31, 1990, in the amount of $39,827,000.
Details are as follows (amounts in thousands):
Airport Public
Waterworks (Bush Field) Transit
Beginning balance,
January 1, 1990 $29.918 $4.554 $3,568
Additions:
Other
State
Federal
Total additions
Ending balance,
December 31, 1990 $29.918
$38.040
9 9
409
1. 369
9 1. 787
9 $39.827
Old
Government
House
$
91
91
409
1. 278
1.687
$4.645
$5.255 $
4C
Totals
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - Continued
December 31, 1990
NOTE 13 - Retirement Commitments
ci ty employees are covered under one of seven retirement plans
currently in existence. Policemen and firemen hired before 1945 are
covered under the General Pension Fund. Policemen hired between 1945
and 1949 are covered under the Policemen's Pension Fund. Firemen
hired between 1945 and 1949 are covered under the Firemen's Pension
Fund. Other City employees hired between 1945 and 1949 are covered
by the City Employees' Pension Fund. All other employees hired after
March 1, 1949 and before March 1, 1987, whose age did not exceed
thirty-five years at the time of their employment, are covered under
the General Retirement Fund. Employees hired after March 1, 1987,
are covered under the Joint Municipal Employees Benefit System
(JMEBS) .
As of December 31, 1990, employee membership data related to the
pension plans was as follows:
Retirees,
Number of Active Beneficiaries
Dates of Participants & Terminated
Coverage Retirement Fund at 12-31-90 Employees
Vested Nonvested
Prior to 1945 General Pension Fund 0 0 12
1945 - 49 Policemen's Pension Fund 0 0 8
1945 - 49 Firemen's Pension Fund 0 0 19
1945 - 49 City Employees' Pension Fund 2 0 48
After 1949 General Retirement Fund 79 323 96
After 1987 JMEBS 66 325 5
Employees not covered by City
sponsored plan --.Q 246 --.Q
Total City employees 1:1 ~ ~
The City'S legal obligation is to contribute sums necessary upon the
basis of the actuarial survey and valuation provided. An actuarial
study is required by City code at least every five years.
Actuarial assumptions common to all citv retirement funds
The amount of the total pension benefit obligation is based on a
standardized measurement established by GASB-5 that, with some
exceptions, must be used by a Putlic Employees Retirement System
(PERS). The standardized measurement is the actuarial preser.t value
of credited projected benefits. This pension valuatio;-. method
reflects the present value of estimated pension benefits t~at will
be paid in future years as a result of employee services performed
to date and is adjusted for the effects of projected salary
increases. A standardized measure of the pension benefit obligation
was adopted by the GASB to enable readers of PERS financial
statements to (a) assess PERS funding status on a going-concern
basis, (b) assess progress made in accumulating sufficient assets to
pay benefits when due, and (c) make comparisons among PERS.
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CITY OF AUGUSTA, GEORGIA
Notes to Financial statements - continued
December 31, 1990
NOTE 13 - Retirement Commitments (Continued)
Because the standardized measure is used only for disclosure
purposes by the General Retirement Fund PERS and the JMEBS PERS,
the measurement is independent of the actuarial computation made
to determine contributions to the PERS.
A variety of significant actuarial assumptions is used to determine
the standardized measure of the pension benefit obligation. These
assumptions are summarized below:
o The present value of future pension payments was computed by
using a discount rate of 8%. The discount rate is equal to
the estimated long-term rate of retu~n on current and future
investments of the pension plan.
o Future pension payments reflect an assumption of a 6.5%
(compounded annually) salary increase for plans with active
employees (5% for inflation and 1. 5% for merit/seniority
adjustments).
o Future pension payments reflect 6% postretirement benefit
increases for the General Retirement Fund PERS and no
increases for the JMEBS PERS.
General Pension Fund, Policemen's Pension Fund, Firemen's Pension
Fund, and the citv Employee's Pension Fund
Pension benefits are being paid under the General Pension Fund,
Policemen's Pension Fund, Firemen's Pension Fund, and the City
Employee's Pension Fund to retired City employees and
beneficiaries. These are closed retirement plans (new employees
may not participate in the plans), and there are 2 active City
employees currently participating in the City Employees' Pension
Fund. Each of the plans is a single-employer public employees
retirement system (PERS).
The following retirement benefits were paid under each of the plans
in 1990:
General Pension Fund
Policemen's Pension Fund
Firemen's Pension Fund
City Employee's Pension Fund
$ 178,573
120,761
234,606
504,500
Total
$1,038.440
The City contributed $1,038,440 to the plans in 1990.
Past service costs of the plans have not been funded, and the City
is thus funding the plans as needed to cover the retirement
benefits paid out. According to the January 1, 1990 actuarial
report, the standardized measure of the unfunded pension benefit
obligation as of January 1, 1990 is as follows:
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Total
7,182,742
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - continued
December 31, 1990
NOTE 13 - Retirement Commitments (Continued)
Actuarial present value of projected benefits:
General Pension Fund
Policemen's Pension Fund
Firemen's Pension Fund
City Employee's Pension Fund
$ 895,880
804,713
1,809,546
3,672,603
Net assets available for benefits, at market
Unfunded pension benefit obligation
$7,182,742
$718,274 of the fund balance of the General Fund has been
designated for the unfunded pension benefit obligation.
General Retirement Fund
A. Plan Description
The city of Augusta contributes to the General Retirement Fund
which is a single-employer public employees retirement system
(PERS). It is the responsibility of the General Retirement Fund
PERS to function as an investment and administrative agent for
the City of Augusta with respect to the pension plan.
For the year ended December 31, 1990, the City's total payroll
for all employees was $19,031,903 and the City's total covered
payroll totalled approximately $8,032,688. Covered payroll
refers to all compensation paid by the City to active employees
covered by the General Retirement Fund PERS on which
contributions to the pension are based.
Under the provisions of the City's pension plan, pension
benefits vest after an employee is 45 years of age and has 15
years of full-time employment. An employee may retire at age
60 with 25 years of service and receive annual pension benefits
equal to 2% of the employee's salary earned during the last
three years of employment, multiplied by the number of full-
time years of employment with the City. Also, the pension plan
provides for death benefits and disability benefits.
All full-time elliployees hired before July 1, 1980, must
contribute 5% and employees hired on or after July 1, 1980, must
contribute 8% of gross earnings to the pension plan, with the
ci ty contributing remaining amounts sufficient to provide future
pensions.
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - continued
December 31, 1990
NOTE 13 - Retirement commitments (Continued)
B. Summa~y of Significant Accounting Policies and Plan Asset
Matters
The General Retirement Fund PERS financial statements are
prepared on the accrual basis of accounting. Contributions from
the City and the City's employees are recognized as revenue in
the period in which employees provide services to the City.
Investment income is recognized as earned by the pension plan.
The net appreciation (depreciation) in the fair value of
investments held by the pension plan is recorded as an increase
(decrease) to investment income based on the vc luation of
investments as of the date of the balance sheet.
Investments in securities are valued at current market prices.
Corporate bond securities are assigned a value based on yields
currently available on securities of issuers with credit ratings
similar to the securi ties held by the pension plan.
Unrestricted capital stock securities are assigned a value based
on quoted market prices. The estimated value assigned to
restricted capital stock securities is based on a multiple of
current earnings less an appropriate discount. The earnings
multiple is based on current multiples and earnings for
companies similar to the securities held by the pension plan.
No investment in anyone organization represents 5% or more of
the net assets available for pension benefits.
There are no investments in, loans to, or leases with parties
related to the pension plan.
C. Funding status and Progress
Presented below is the total pension benefit obligation of the
General Retirement Fund PERS.
According to the January 1, 1990, actuarial report, which is the
most recent report available, the standardized measure of the
pension benefit obligation funding excess as of January 1, 1990,
is as follows:
Pension benefit obligation:
Retirees and beneficiaries currently
receiving benefits and terminated
employees not yet receiving benefits
Current employees
Accumulated employee contributions
including allocated investment income
Employer-financed vested
Employer-financed nonvested
Total pension benefit obligation
Net assets available for benefits, at market
$11,233,366
3,620,137
8,758,596
4.069.425
27,681,524
36.588.507
Excess of net assets over obligation
$ 8.906.983
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Fiscal YEar
1990 1989 1987
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CITY OF AUGUSTA, GEORGIA
Notes to Financial statements - Continued
December 31, 1990
NOTE 13 - Retirement Commitments (Continued)
C. Funding status and Progress (Continued)
Significant actuarial assumptions used to compute pension
contribution requirements are the same as those used to
determine the standardized measure of the pension obligation.
The computation of the pension contribution requirements for
1990 was based on the same actuarial assumptions, benefit
provisions, actuarial funding method, and other significant
factors as used to determine pension contribution requirements
in the previous year.
D. contributions Required and Contributions Made
Periodic employer contributions to the pension plan are
determined on an actuarial basis using the entry age normal
actuarial cost method. Normal cost is funded on a current
basis. The unfunded actuarial accrued liability is funded over
a 30-year period. Periodic contributions for both normal cost
and the amortization of the unfunded actuarial accrued liability
are based on the level percentage of payroll method. The
funding strategy for normal cost and the unfunded actuarial
accrued liability should provide sufficient resources to pay
employee pension benefits on a timely basis.
Total contributions to the pension plan in 1990 amounted to
$709,509, of which $192,226 and $517,283 were made by the City
of Augusta and its employees, respectively. ThE contributed
amounts were actuarially determined as described above and were
based on an actuarial valuation as of January 1, 1990. The
pension contributions represent funding for normal cost
($604,521) and the amortization of the unfunded actuarial
accrued liability ($63,879). contributions made by the City of
Augusta and its employees represent 2.4 % and 6.4 % , respectively,
of covered payroll for the year.
E. Trend Information
Historical trend inforr..ation for 1990, 1989 and 1987 for the
General Retirement Fund PERS is presented below:
o Net assets available for benefits
as a percentage of the pension
benefit obligation applicable to
the City's employees 132.2% 74.2% 72.7%
o Unfunded pension benefit obligation
as a percentage of the City's
annual covered payroll (110.9)%141.8% 2.6%
o City's contributions to the pension
plan as a percentage of annual
covered payroll 2.4% 7.2% 8.2%
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - continued
December 31, 1990
NOTE 13 - Retirement Commitments (Continued)
E. Trend Information (Continued)
Historical trend information is presented in order for a reader
to assess the progress made in accumulating sufficient assets
to pay pension benefits as they become payable.
Joint Municipal Employees Benefit System
A. Plan Description
All full-time employees of the City of Augusta who began
employment with the City after March 1, 1987 and who are not
participants in any other employer-sponsored retirement plan
qualify for participation in the Joint Municipal Employees
Benefit System (JMEBS), which is a single-emplcyer PERS.
The pension plan provides pension benefits, deferred allowances,
and death and disability benefits. A member may retire after
reaching the age of 65 if the participant is not classified as
public safety personnel: participating public safety personnel
may retire at age 65 or at age 55 v,'ith 25 years of total
credited service, whichever is earlier. Early retirement may
be taken at age 55 with 10 years of credited service. Benefits
vest after 10 years of service. Employees who retire at or
after age 55 with 10 or more years of service are entitled to
pension payments for the remainder of their lives equal to 1-
1/4% of their final, five-year average salary times the number
of years for which they were employed as a participant in the
JMEBS PERS (the "Normal Retirement Benefit"). The final five-
year average salary is the average salary of the employee during
the final five years of full-time employment.
Pension provisions include deferred allowances, whereby an
employee may terminate his or her employment with the City after
accumulating 10 years of service but before reaching the age of
55. If the employee does not withdraw his or her accumulated
contributions, the employee is entitled to all pension benefits
upon reaching the age of 55.
Pension provisions include disability benefits, whereby the
disabled employee is entitled to receive annually an amount
equal to the "Normal Retirement Benefitll. A decreased
retirement benefit, paya~le during the lifetime of the
participant and during the lifetime of a surviving beneficiary,
is an optional form 0= retirement.
The City'S current-year covered payroll was $6,184,510 and its
total current-year payroll for all employees amounted to
$19,031,903.
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Pension benefit obligation:
Retirees and beneficiaries currently receiving
benefits and terminated employees not yet
receiving benefits $
Current employees
Accumulated employee contributions including
allocated investment income
Employer-financed vested
Employer-financed nonvested
Total pension benefit obligation
Net assets available for benefits, at market
31,721
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - continued
December 31, 1990
NOTE 13 - Retirement Commitments (Continued)
B. Summary of Significant Accounting Policies and Plan Asset
Matters
The General Retirement Fund PERS financial statements are
prepared on the accrual basis of accounting. contributions from
the City and the City's employees are recognized as revenue in
the period in which employees provide services to the city.
Investment income is recognized as earned by the pension plan.
The net appreciation (depreciation) in the fair value of
investments held by the pension plan is recorded as an increase
(decrease) to investment income based on the valuation of
investments as of the date of the balance sheet.
Investments in securities are valued at current market prices.
Corporate bond securities are assigned a value based on yields
currently available on securities of issuers with credit ratings
similar to the securities held by the pension plan.
Unrestricted capital stock securities are assigned a value based
on quoted market prices. The estimated value assigned to
restricted capital stock securities is based on a multiple of
current earnings less an appropriate discount. The earnings
multiple is based on current multiples and earnings for
companies similar to the securities held by the pension plan.
No investment in anyone organization represents 5% or more of
the net assets available for pension benefits.
There are no investments in, loans to, or leases with parties
related to the pension plan.
C. Funding Status and Progress
Presented below is the total pension benefit obligation of the
JMEBS PERS.
According to the March 1, 1991, actuarial report, which is the
most recent report available, the standardized measure of the
unfunded pension benefit obligation funding excess as of March
1, 1991, is as follows:
458,322
291,342
438.207
1,219,592
998.258
Pension benefit obligation unfunded $
221. 334
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - continued
December 31, 1990
NOTE 13 - Retirement Commitments (Continued)
C. Funding status and Progress (Continued)
No changes in actuarial assumptions or benefit provisions that
would significantly affect the valuation of the pension benefit
obligation occurred during 1990.
D. contributions Required and Made
Participating employees of the City are
of gross earnings to the pension plan.
contributions to the pension plan equal
by JMEBS.
required to pay 3-1/2%
The City makes annual
to the amount required
Total contributions made during fiscal year 1990 amounted to
$396,986, of which $159,458 was made by the City and $237,528
was made by employees. These contributions represented 2.6%
(City) and 3.8% (employees) of covered payroll.
E. Trend Information
Historical trend information at March 1, 1991 for the JMEBS PERS
is presented below:
o Net assets available for benefits as a
percentage of the pension benefit obligation
applicable to the City'S employees
o Unfunded pension benefit obligation as a
percentage of the City's annual covered
payroll
o City'S contributions to the pension plan as
. a percentage of annual covered payroll
81. 9%
3.1%
2.6%
Historical trend information is presented in order for a reader
to assess the progress made in accumulating sufficient assets
to pay pension benefits as they become payable.
NOTE 14 - Litigation, contingencies and Commitments
Litiqation
The City is the defendant in several lawsuits involving claims of
violation of due process rights and various civil rights statutes,
and claims for physical and other damages. While the City is
vigorously opposing these claims, the ultimate outcome cannot be
determined.
The City has received requests for refunds of life insurance
premiums tax for the year 1984. Apparently due to a change in
Georgia law, numerous life insurance carriers doing business in the
City of Augusta paid their premiums tax twice: once to the City,
and once to the state Insurance Commissioner. The amount for which
the City may be liable is not presently determinable.
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December 31, 1990
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - continued
NOTE 14 - Litigation, contingencies and commitments (continued)
There are various workers' compensation claims outstanding at the
end of the year. During 1990, the City purchased Specific Excess
Workers' Compensation Insurance for claims over $200,000 self-
insurance retention. The total amount of liability rtlating to
workers' compensation claims is not determinable.
While the ultimate resolution of the lawsuits and contingent
liabilities considered individually may not have a material adverse
effect on the financial statement~ taken as a whole, the ultimate
outcome of the litigation and contingencies considered jointly
cannot be determined. However, the City is insured for amounts in
excess of its self-insured retention.
continqencies & Commitments
As of December 31, 1990 construction on Phases I, II & III of the
Augusta Riverfront Improvements were completed. As of December 31,
1990, the City has entered contracts for Phase IV, section A, for
$3,663,118 and has expended $3,402,470, leaving $260,648 remaining
in commitments. ci ty Council has approved further expenditures for
Phase IV, section B, of $2,039,000; however, no contracts have been
signed for this section.
During 1989, the City entered into an agreement with the U. S.
Department of Housing and Urban Development (HUD) under section 108
of the Housing and Community Development Act of 1974 for loan
guarantee assistance. Community Development incurred expenses of
$1,600,000 in 1990, and borrowed $1,600,000 from HUD to finance the
rehabilitation of a City project consisting of rental housing units
for low to moderate income persons. The loan is guaranteed by
notes receivable from the developer to the City, and is subject to
being deducted from future community Development Entitlement Awards
if not repaid to HUD. The balance due to HUD at December 31, 1990
is $1,600,000.
The City is liable for all funds received under the HUD loan.
Principal payments are payable annually in varying amounts from
August 1, 1991 through 2005.
The City, along with Richmond County, has committed to provide
funds to service the Augusta-Richmond County Coliseum Authority's
debt to the extent it exceeds the Hotel-Motel Excise Tax and Beer
Tax. The size of the tax digest of each entity will determine its
proportionate share.
The City has committed to contribute $1,000,000 for the relocation
of the Augusta Richmond county Museum to the City's Central
Business District to complement the current development of the
riverfront.
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - continued
December 31, 1990
NOTE 14 - Litigation, contingencies and Commitments (Continued)
The City has committed to participate in a proj ect called the
Augusta Riverfront Center. The City has an Urban Development
Action Grant available in the amount of $7,562,454 which was
condi tional upon a private developer obtaining $24,437,348 in
financing and upon construction of the project commencing no later
than May 31, 1990. The City is committed to fund $2,191,000 in
addi tion to the grant, the Downtown Development Authority is
commi tted to fund $7,715,000, and private investment will fund
$26,248,275 of the project. Downtown Development Authority sold
revenue bonds of $3,816,000 in 1990 and obtained a line of credit
for $3,900,000 to finance the required portion.
NOTE 15 - Reservations of Fund Balance
A portion of the Fund Balances in the various funds has been
reserved for specific purposes as follows:
General Fund:
Inventory
Daniel Field
Reward Money
Pendleton King Park
Note receivable - Bush Field (Note 5)
Other General Fund Reserves
Augusta Port Authority
$ 138,458
195,383
6,710
13,295
773,444
827
72,562
1. 200,679
Special Revenue Funds:
Streets & Drainage:
Forest Hills Storm Sewer
Albion Acres Street & Storm Sewer
Harrisburg Storm Sewer
10th Street Improvements
Hickory Street Basin Storm Sewer
9th Street Lights
Reynolds Street Improvements
36,000
258,000
1,205,000
939,000
18,000
92,000
41. 000
2,589,000
$3,789,679
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CITY OF AUGUSTA, GEORGIA
Notes to Financial Statements - continued
December 31, 1990
NOTE 16 - Other Matters
A. Prior period adjustments
Fixed asset inventorv and valuation
As more fully described in Note 7, an independent appraisal and
valuation company performed an inventory and valuation of the
City's fixed assets in both the Proprietary Funds and the
General Fixed Asset Account Group as of December 31, 1989. In
the Proprietary Funds, the property, plant and equipment
accounts, and the related accumulated deprecia-, ion accounts,
have been adjusted to agree with the fixed asset inventory; the
retained earnings accounts have been adjusted to make this
change. The decrease recorded in the retained earnings accounts
for the Proprietary Funds were:
Proprietary Funds
Waterworks Fund
Airport (Bush Field) Fund
$ 723,972
1. 063 ,963
Total Proprietary Funds
$1,787,935
B. Airport Leases:
The City is lessor of terminal space, land and buildings at Bush
Field and Daniel Field under various operating leases. Revenues
and the related expenses for Bush Field are recorded in the
Airport Proprietary Fund while the revenue and related expenses
for Daniel Field are recorded in the General Fund. Some of the
leases provide for additional payments based on usage activity
in addition to non-cancelable amounts of fixed rates.
Future minimum lease payments to the City at December 31, 1990
are as follows:
Year ended
December 31
Bush Field
Daniel Field
1991
1992
1993
1994
1995
Later years
$355,036
261,735
242,762
241,696
237,215
3,389,852
$ 36,000
36,000
36,000
7,000
$4,728,296
$115,000
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