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Page 2
CITY OF UVALDE Uvalde, Texas
COMPREHENSIVE ANNUAL FINANCIAL REPORT
For The Fiscal Year Ended
September 30, 2013
Prepared by:
City of Uvalde Finance Department
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Page 4
INTRODUCTORY SECTION
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i
CITY OF UVALDE
Uvalde, Texas
COMPREHENSIVE ANNUAL FINANCIAL REPORT
For The Fiscal Year Ended September 30, 2013
TABLE OF CONTENTS
PAGE
INTRODUCTORY SECTION Table of Contents ......................................................................................................................................
i – iv
Directory of Officials ................................................................................................................................
v
Letter of Transmittal .................................................................................................................................
vi – ix
Organizational Chart .................................................................................................................................
x
Certificate of Achievement for Excellence in Financial Reporting ..........................................................
xi
FINANCIAL SECTION Independent Auditors’ Report ..................................................................................................................
1-3
Management’s Discussion and Analysis...................................................................................................
4-13
BASIC FINANCIAL STATEMENTS
Government-Wide Financial Statements
Statement of Net Position .....................................................................................................................
14
Statement of Activities .........................................................................................................................
15-16
Governmental Fund Financial Statements
Balance Sheet – Governmental Funds..................................................................................................
17-18
Reconciliation of the Governmental Funds Balance Sheet to the
Statement of Net Position .................................................................................................................
19
Statement of Revenues, Expenditures, and Changes in Fund Balance –
Governmental Funds .........................................................................................................................
20-21
Reconciliation of the Governmental Funds Statement of Revenues, Expenditures,
and Changes in Fund Balances to the Statement of Activities ..........................................................
22 Proprietary Fund Financial Statements
Statement of Net Position – Proprietary Funds ....................................................................................
23-24
Statement of Revenues, Expenses, and Changes in Fund Net Assets –
Proprietary Funds ............................................................................................................................
25
Statement of Cash Flows – Proprietary Funds .....................................................................................
26 Fiduciary Funds
Statement of Fiduciary Net Position – Fiduciary Funds .......................................................................
27
Notes to Financial Statements ...................................................................................................................
28-57
(Continued)
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ii
CITY OF UVALDE
Uvalde, Texas
COMPREHENSIVE ANNUAL FINANCIAL REPORT
For The Fiscal Year Ended September 30, 2013
TABLE OF CONTENTS
PAGE
FINANCIAL SECTION (Continued) REQUIRED SUPPLEMENTARY INFORMATION
Schedule of Revenues, Expenditures, and Changes in Fund Balance –
Budget and Actual (GAAP Budgetary Basis) – General Fund .........................................................
58
Schedule of Funding Progress Texas Municipal Retirement System ...................................................
59
NON-MAJOR GOVERNMENTAL FUND STATEMENTS, BUDGET SCHEDULES,
AND CAPITAL ASSET SCHEDULES
Combining Balance Sheet – Nonmajor Governmental Funds ..............................................................
60-62
Combining Statement of Revenues, Expenditures, and
Changes in Fund Balance – Nonmajor Governmental Funds ...........................................................
63-65
Combining Statement of Changes in Assets and Liabilities – All Agency Funds ................................
66 Statements of Revenues, Expenditures, and Changes in Fund Balance –
Budget and Actual
Hotel/Motel Tax ...................................................................................................................................
67
Police Forfeiture Fund ..........................................................................................................................
68
Debt Service .........................................................................................................................................
69
Capital Assets Used in the Operation of Governmental Funds
Comparative Schedules By Source ......................................................................................................
70
Schedule by Function and Activity ......................................................................................................
71
Schedule of Changes by Function and Activity ...................................................................................
72
STATISTICAL SECTION
Financial Trend Information
Net Assets by Component – Last Nine Fiscal Years ................................................................................
73-74
Changes in Net Position – Last Nine Fiscal Years ...................................................................................
75-78
Fund Balances of Governmental Funds – Last Ten Fiscal Years .............................................................
79-80
Changes in Fund Balance of Governmental Funds – Last Ten Fiscal Years ............................................
81-82
(Continued)
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iii
CITY OF UVALDE
Uvalde, Texas
COMPREHENSIVE ANNUAL FINANCIAL REPORT
For The Fiscal Year Ended September 30, 2013
TABLE OF CONTENTS
PAGE
STATISTICAL SECTION (Continued)
Revenue Capacity Information
Assessed Value and Estimated Actual Value of Taxable Property –
Last Ten Fiscal Years ...........................................................................................................................
83 Principal Property Taxpayers – Current Year and Nine Years Ago .........................................................
84
General Governmental Tax Revenues By Source .....................................................................................
85
General Governmental Revenues By Source – Last Ten Fiscal Years .....................................................
86
Taxable Sales by Category – Last Nine Calendar Years ..........................................................................
87-88
Direct and Overlapping Sales Tax Rates – Last Ten Fiscal Years ............................................................
89
Property Tax Rates Direct and Overlapping – Last Ten Fiscal Years ......................................................
90
Property Tax Levies and Collections – Last Ten Fiscal Years .................................................................
91
Debt Capacity Information
Ratios of Outstanding Debt by Type – Last Ten Fiscal Years ..................................................................
92-93
Ratios of General Bonded Debt Outstanding – Last Ten Fiscal Years .....................................................
94
Direct and Overlapping Governmental Activities Debt – As of September 30, 2011 ..............................
95
Legal Debt Margin Information – Last Ten Fiscal Years .........................................................................
96-97
Pledged-Revenue Coverage – Last Ten Fiscal Years ...............................................................................
98
Demographic and Economic Information
Demographics and Economic Statistics – Last Ten Years ........................................................................
99
Principal Employers – Current Year and Nine Years Ago .......................................................................
100
Operating Information
Full-Time-Equivalent City Government Employees by Function/Program –
Last Ten Fiscal Years ................................................................................................................................
101-102 Operating Indicators by Function/Program – Last Ten Fiscal Years ........................................................
103-104
Capital Asset Statistics by Function/Program – Last Ten Fiscal Years ....................................................
105-106
(Continued)
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iv
CITY OF UVALDE
Uvalde, Texas
COMPREHENSIVE ANNUAL FINANCIAL REPORT
For The Fiscal Year Ended September 30, 2013
TABLE OF CONTENTS
PAGE
SINGLE AUDIT SECTION 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 ............................................................................
107-108 Report on Compliance with Requirements Applicable to Each Major Program and
Internal Control Over Compliance in Accordance with OMB Circular A-133 ..................................
109-110 Schedule of Findings and Questioned Costs .............................................................................................
111-114
Schedule of Expenditures of Federal Awards and Related Notes ............................................................
115
Summary Schedule of Prior Year Audit Findings ....................................................................................
116
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v
City of Uvalde, Texas Directory of Officials
FY 2012-2013
Mr. J Allen Carnes
Mayor First Term Began: May 2008
Current Term Expires: May 2014
Mr. Rogelio M. Munoz Mr. Jesse Rodriguez Mr. Ernest “Chip W. King, III
District 3-Mayor Pro Tem District 1-Councilmember District 5-Councilmember First Term Began: May 2008 First Term Began: May 2008 First Term Began: May 2013 Current Term Expires: May 2014 Current Term Expires: May 2014 Current Term Expires: May 2014
Mr. John H. Flores, Jr. Mr. Stephen Balke
District 2-Councilmember District 4-Councilmember First Term Began: May 2012 First Term Began: May 2012
Current Term Expires: May 2016 Current Term Expires: May 2016
Jennifer E. Garver Joe A. Cardenas
City Manager Assistant City Manager Hired July 2009 Hired August 1998
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Uvalde Texas P.O. BOX 799, 78802-0799
(830) 278-3315 FAX: (830) 591-2685
vi
CITY OF UVALDE
March 31, 2014
To the Honorable Mayor, Council Members, and Citizens of the City of Uvalde, Uvalde, Texas:
State law requires that every general-purpose local government publish at the close of each fiscal
year a complete set of financial statements presented in conformity with Generally Accepted
Accounting Principles (GAAP) and audited in accordance with generally accepted auditing
standards by a firm of licensed certified public accountants. Pursuant to that requirement, we
hereby issue the Comprehensive Annual Financial Report of the City of Uvalde for the Fiscal
Year Ended September 30, 2013.
This report consists of management's representations concerning the finances of the City of
Uvalde. Consequently, management assumes full responsibility for the completeness and
reliability of all of the information presented within this report. To provide a reasonable basis
for making these representations, management has established a comprehensive internal control
framework that is designed to monitor and protect the government's assets from loss, theft, or
misuse and to compile sufficient reliable information for the preparation of the City of Uvalde's
financial statements in conformity with GAAP. Because the cost of internal controls should not
outweigh their benefits, the City of Uvalde's comprehensive framework of internal controls has
been designed to provide reasonable rather than absolute assurance that the financial statements
will be free from material misstatement. As management, we assert that, to the best of our
knowledge and belief, this financial report is complete and reliable in all material aspects.
The City of Uvalde's financial statements have been audited by Garza/Gonzalez & Associates, a
Firm of licensed Certified Public Accountants. The goal of the independent audit was to provide
reasonable assurance that the financial statements of the City of Uvalde for the fiscal year ended
September 30, 2013, are free of material misrepresentation. 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
unqualified opinion that the City of Uvalde's financial statements for the fiscal year ended
September 30, 2013, are fairly presented in conformity with GAAP. The independent auditor's
report is presented as the first component of the financial section of this report.
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GAAP requires that management provide 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 MD&A and should be read in
conjunction with it. The City of Uvalde's MD&A can be found immediately following the report
of the independent auditors.
The City of Uvalde, was incorporated in 1889, and is located in the southwest part of the state,
which is considered to be one of the top growth areas in the state, and one of the top growth
areas in the country. The City of Uvalde currently occupies a land area of 5.177 square miles
and serves a population of approximately 15,751. The City of Uvalde is empowered to levy a
property tax on both real and personal properties located within its boundaries. It also is
empowered by state statute to extend its corporate limits by annexation, which occurs
periodically when deemed appropriate and necessary by the governing council.
The City of Uvalde has operated under the council-manager form of government since 1934.
Policy-making and legislative authority are vested in governing council consisting of the mayor
and five council members. The governing council is responsible, among other things, for
passing ordinances, adopting the budget, appointing committees, and hiring both the city
manager and city attorney. The city manager is responsible for carrying out the policies and
ordinances of the governing council, for overseeing the day-to-day operations of the city, and for
appointing the heads of various departments. The city council is composed of the Mayor and
five (5) Council Members. The Mayor is elected to serve a two-year term and is elected at each
biennial, city general election. The Mayor is elected by the entire city population, while the five
(5) Council members are each elected by their respective district as a result of a special election
held in 2008. Places 1, 3, and 5 became single member districts in 2010, and places 2 and 4
became single member districts in 2012. Council members are elected to serve four-year
staggered terms, with places 1, 3, 5 and 2 and 4 respectively, alternating every two years on even
numbered years.
The City of Uvalde provides a full range of services, including police and fire protection; the
construction and maintenance of streets, alleys, and other infrastructure; and recreational
activities and cultural events. Water, sewer, gas and sanitation services are provided by the City
of Uvalde and are included in the enterprise section of the City’s financial statements.
The annual budget serves as the foundation for the City of Uvalde's financial planning and
control. All departments of the City of Uvalde were required to submit their requests for
appropriation to the city manager on or before May 20, 2013. The city manager used these
requests as the starting point for developing a proposed budget. The city manager then presented
this proposed budget to the council for review and comment prior to the month of June. The
council is then required to hold public hearings on the proposed budget and to adopt a final
budget by no later than September 30, 2013, the close of the City of Uvalde's fiscal year.
The appropriated budget is prepared by fund, function (e.g., public safety), and department (e.g.,
police). Department heads are allowed to make transfers of appropriations within
interdepartmental line items. Transfers of appropriations between departments, however, require
the special approval of the city manager and of the governing council. Budget-to-actual
comparisons are provided in this report for each individual governmental fund for which an
appropriated annual budget has been adopted. For the general fund, this comparison is presented
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viii
on page 58 as part of the required supplementary information. For governmental funds, other
than the general fund, with appropriated annual budgets, this comparison is presented in the
governmental fund subsection of this report, which starts on page 60. Also included in the
governmental fund subsection are project-length budget-to-actual comparisons for each
governmental fund for which a project-length budget has been adopted.
The information presented in the financial statements is perhaps best understood when it is
considered from the broader perspective of the specific environment within which the City of
Uvalde operates.
Local economy. The City of Uvalde currently enjoys a favorable economic environment and
local indicators point to continued stability. The principal industries within the county include
agriculture, tourism, manufacturing of asphalt & limestone paving materials, food processing,
aviation services and retail establishments. The community's economic development and
revitalization efforts are strong and continue to pay dividends in the form of expansion of
existing businesses, new businesses, increased tourism and moderate population growth. As a
portion of the population ages, Uvalde continues to increasingly become an area for retirees. It’s
good hospital, health care facilities, climate, abundance of recreational activities, quality of life
and low cost of living makes this city an ideal place for citizens of all ages, incomes, and walks
of life.
The following are ten-year goals established by the City of Uvalde:
1. Implement the comprehensive street improvement and maintenance plan with voter
approval and identify funding sources to support the program and related debt payments.
2. Develop a separate capital equipment budget to plan for future capital needs in all
departments, including heavy equipment, fleet vehicles and all other major capital
outlays. Establish capital fund accounts to aid in the future purchase of capital needs and
identify funding mechanisms.
3. Continue to upgrade aging infrastructure in city utility systems as follows:
a. Reinstate water meter replacement program to upgrade the 5,400 plus water
meters and 3,000 plus gas meters to ensure accurate readings;
b. Replace all existing steel gas pipe with PVC pipe;
c. Refurbish old clarifier at wastewater treatment plant;
4. Install a 3rd elevated water tower (500,000 gallon) to serve the North/Northeast portion
of Uvalde.
5. Identify and implement technologies that can assist the city in providing more efficient
service deliver and better data collection and storage. Network all city facilities.
6. Begin the permitting process to acquire permits for additional cells at the landfill.
7. Reconstruct Airport Boulevard to include widening of the road with curbing and a
sidewalk on one side and extend Garner Field Airport runway by 1,000 feet.
8. Upgrade all cart paths at the Uvalde Memorial Golf Course from asphalt to concrete and
create a linkage from the East side of the Leona River to the Golf Course.
9. Identify areas for annexation that would benefit the City.
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Awards and Acknowledgements: The City of Uvalde, Texas will submit this report (CAFR) to
the Government Finance Officers Association (GFOA) to be considered for a Certificate of
Achievement for Excellence in Financial Reporting award. This report satisfies both GAAP and
applicable legal requirements. A Certificate of Achievement is valid for a period of one year
only. We believe that our current CAFR continues to meet the Certificate of Achievement
Program's requirements and we are submitting it to the GFOA to determine its eligibility for a
certificate.
In addition, the city has also submitted to the GFOA's Distinguished Budget Presentation Award
for its annual budget document for fiscal year ended September 30, 2013. In order to qualify for
the Distinguished Budget Presentation Award, the government'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. The Distinguished Budget Presentation Award
was received for the City’s budget for the year ended September 30, 2013.
The preparation of this report would have not been possible without the efficient and dedicated
services of the entire staff of the Finance and Administration department. We would like to
express our appreciation to all members of the department who assisted and contributed to the
preparation of this report. Credit, must also be given to the Mayor and Council Members for
their unfailing support for maintaining the highest standards of professionalism in the
management of the City of Uvalde's finances.
Respectfully Submitted,
Jennifer E. Garver
City Manager
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Mayor
City Council
City Attorney
Municipal Prosecutor
Municipal Judge
City Manager
Assistant City
Manager
Building Official
Permit Clerks
Code Enforcement
Official
Code Enforcement
Assistant
Municipal Court Clerk
Information Technology
Main Street Manager
Main Street Asst.
Director of Utilities
Water Superintendant
Water Foreman
Water Utility Workers
Gas Supervisor
Gas Crew Leader
Gas Utility Workers
Sewer Supervisor
Sewer Plant Operator
Sewer Utility Workers
Landfill Supervisor
Landfill Spotters
Landfill Labor Collection
Drivers
Recycling Coordinator
Recyling Assistant
Utility Office Manager
Utility Office Clerks
Meter Readers
Director of Public Works
Facilities/
Maint. Foreman
Custodians
Street Foreman
Street Labor
Lead Mechanic
Shop Mechanic
Service Center Clerk
Director of Parks &
Recreation
Golf Pro Shop
Parks Supervisor
Civic Center Labor
Parks Labor
Cemetery Labor
Golf Labor
Swimming Pool
Seasonal Workers
Finance Director (VACANT)
Comptroller Accounts Payable
Clerk
Budget Director
Payroll Clerk
Purchasing Agent
City Secretary
Human Resources
Asst. to CM
Volunteer Fire Chief (Elected
Annually)
Volunteer Firefighters
City of Uvalde Paid Firefighters
Fire Marshal
Organizational Chart
Elected Officials
Appointed Officers
Leadership Team
Department Heads
City Staff
Outside Services
x
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City Manager
Chief of Police
Assistant Chief of Police
Lieutenant - Professional Standards
Animal Control Officers
Lieutenant - Uniform Patrol
Division
Sergeants
Corporals
Patrol Officers & Student
Resource
Communication Director/Asst.
to Lt.
Communication Supervisor
Dispatchers
Lieutenant - Criminal
Investigations
Detectives
Records Clerk
Crossing Guards
Administrative Assistant
Evidence Technician
Appointed Officers
Leadership Team
Department Heads
City Staff
Uvalde Police Department Organizational Chart
xi
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FINANCIAL SECTION
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2
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, each major
fund, and the aggregate remaining fund information of the City as of September 30, 2013, and the
respective changes in financial position and, where applicable, cash flows thereof, for the year then
ended in conformity 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 and Budgetary Comparison Information and the Schedule of
Funding Progress, as listed in the table of contents, 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’s financial statements. The introductory section, combining and
individual nonmajor fund financial statements, statistical section, budget schedules and capital asset
schedules, are presented for purposes of additional analysis and are not a required part of the basic
financial statements. The accompanying schedule of expenditures of federal awards is presented for
purposes of additional analysis as required by U.S. Office of Management and Budget Circular A-133,
Audits of States, Local Governments, and Non-Profit Organizations, and is also not a required part of
the financial statements.
The combining and individual nonmajor fund financial statements, budget schedules, and capital asset
schedules and the schedule of expenditures of federal awards are the responsibility of management and
were derived from and relate directly to the underlying accounting and other records used to prepare the
financial statements. Such information has been subjected to the auditing procedures applied in the
audit of the financial statements and certain additional procedures, including comparing and reconciling
such information directly to the underlying accounting and other records used to prepare the financial
statements or to the financial statements themselves, and other additional procedures in accordance with
auditing standards generally accepted in the United States of America. In our opinion, the information
is fairly stated in all material respects in relation to the 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.
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Page 30
CITY OF UVALDE
Uvalde, Texas
MANAGEMENT’S DISCUSSION AND ANALYSIS
4
Our discussion and analysis of the City of Uvalde, Texas’ financial performance provides an overview
of the City’s financial activities for the fiscal year ended September 30, 2013. Please, read it in
conjunction with the City’s audited financial statements, which begin on page 14.
FINANCIAL HIGHLIGHTS
Total net position of the City increased by $2,956,341 in 2013. Of this increase, $1,926,176 (or
65%) was contributed by the Business-Type Activities.
The Government’s total net position of governmental activities increased by $1,030,165. In FY
2012 the increase was $226,232.
The ending combined Governmental Funds’ fund balance totaled $5,099,359. The fund
balance increased $543,131 from the prior year of $4,556,228. The significant increase was
attributed to the General Fund balance increase of $477,399.
The fund balance in the General Fund as of September 30, 2013 is $2,723,022. Unassigned
fund balance is $2,669,600. This amount is sufficient to fund approximately one hundred and
twenty-one (121) days of operations.
OVERVIEW OF THE FINANCIAL STATEMENTS
The City of Uvalde, Texas’ 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 supplemental information in addition to the basic financial
statements themselves.
Government-wide financial statements: The government-wide financial statements are designed to
provide readers with a broad overview of the City of Uvalde finances in a manner similar to a private-
sector business.
The statement of net position presents information on all of the City of Uvalde’s assets and liabilities,
with the difference between the two reported as net position. Over time, increase or decrease in net
position may serve as a useful indicator of whether the financial position of the City is improving or
declining.
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CITY OF UVALDE
Uvalde, Texas
MANAGEMENT’S DISCUSSION AND ANALYSIS
5
The statement of activities presents information showing how the government’s net position changed
during the most recent fiscal year. All changes in net position are reported as soon as the underlying
event giving raise 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 future
fiscal periods (e.g., uncollected taxes and earned but unused sick leave).
Both of the government-wide financial statements distinguish functions of the City of Uvalde, Texas
that are principally supported by taxes and intergovernmental revenues (governmental activities) from
other 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, public safety, public works, health and welfare, bond interest and fiscal agent fees, and
culture and recreation. The business-type activities of the City include Utility Fund (Water, Sewer,
and Gas), Sanitation fund, and Airport fund.
The government-wide financial statements include only the City of Uvalde, Texas itself (known as the
primary government). The government-wide financial statements can be found on pages 14-16.
Fund financial statements. A fund is a grouping of related accounts that 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 financial-
related legal requirements. All of the funds of the City can be divided into three categories:
governmental funds, proprietary funds, and fiduciary funds.
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 near-term
inflows and outflows 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 the government-wide financial statements, it
is useful to compare the information presented for the 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 fund balance sheet and the governmental fund statement of revenues,
expenditures, and changes in fund balances provide a reconciliation to facilitate this comparison
between governmental funds and governmental activities.
Page 32
CITY OF UVALDE
Uvalde, Texas
MANAGEMENT’S DISCUSSION AND ANALYSIS
6
The City of Uvalde maintains several individual governmental funds. Information is presented
separately in the governmental fund balance sheet and in the governmental fund statement of revenue,
expenditures, and changes in fund balance for the General fund, Debt Service, and the Capital Projects
fund, 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.
The City of Uvalde adopts an annual appropriated budget for its General Fund, Debt Service Fund
Hotel/Motel, and Police Forfeiture funds. A budgetary comparison statement has been provided for the
General Fund, Hotel/Motel, Police Forfeiture and Debt Service Fund to demonstrate compliance with
this budget.
The basic governmental fund financial statements can be found on pages 17-22 of this report.
Proprietary Funds: The City of Uvalde maintains one type of proprietary fund. Enterprise funds are
used to report the same functions presented as a business-type activities in the government-wide
financial statements. The City of Uvalde uses enterprise funds to account for its Utility (Water, Sewer,
and Gas), Sanitation, and Airport activities.
Proprietary funds provide the same type of information as the government-wide financial statements,
only in more detail. The proprietary fund financial statements provide separate information for the
Utility fund, the Sanitation fund, and the Airport fund, each of which are considered to be major funds
of the City of Uvalde, Texas.
The basic proprietary fund financial statements can be found on pages 23-26 of this report.
Notes to the Financial Statements. The notes provide additional information that is essential to a full
understanding of the data provided in the governmental-wide and fund financial statements. The notes
to the financial statements can be found on pages 28-57 of this report.
Other information. In addition to the basic financial statements and accompanying notes, this report
also presents certain required supplementary information concerning the City’s progress in funding its
obligations to provide pension benefits to its employees. Required supplemental information can be
found on pages 58-59 of this report.
The combining statements referred to earlier in connection with non-major governmental funds is
presented immediately following the required supplementary information on pensions. Combining and
individual fund statements and schedules can be found on pages 60-66 of this report.
Page 33
CITY OF UVALDE
Uvalde, Texas
MANAGEMENT’S DISCUSSION AND ANALYSIS
7
GOVERNMENT-WIDE FINANCIAL ANALYSIS
Net position may serve over time as a useful indicator of a government’s financial position. In the case
of the City of Uvalde assets exceeded liabilities by $28,615,424 at the close of the year.
The largest portion of the City’s net position (nearly 70 percent) reflects its net investment in capital
assets (e.g. land, building, machinery, infrastructure, and equipment), less any related debt used to
acquire those assets that is still outstanding. The City of Uvalde uses these capital assets to provide
services to the citizens; consequently, these assets are not available for future spending. Although the
City’s investment in its capital assets is reported net of related debt, it should be noted that the
resources needed to repay this debt must be provided from other sources, since the capital assets
themselves can not be used to liquidate these liabilities.
Activities Activities
2013 2012 2013 2012 2013 2012
Current & Other Assets 6,743,162$ 6,732,245$ 6,728,497$ 4,222,334$ 13,471,659$ 10,954,579$
Capital Assets 16,069,703 16,060,483 23,375,465 24,550,398 39,445,168 40,610,881
Total Assets 22,812,865$ 22,792,728$ 30,103,962$ 28,772,732$ 52,916,827$ 51,565,460$
Long-Term Liabilities 8,570,223$ 9,094,768$ 14,267,003$ 14,782,111$ 22,837,226$ 23,876,879$
Other Liabilities 669,711 1,155,195 794,466 874,304 1,464,177 2,029,499
Total Liabilities 9,239,934$ 10,249,963$ 15,061,469$ 15,656,415$ 24,301,403$ 25,906,378$
Net Investment in Capital
Assets 7,918,932$ 7,681,162$ 10,810,803$ 12,300,857$ 18,729,735$ 19,982,019$
Restricted 2,236,898 1,149,100 1,268,769 1,676,281 3,505,667 2,825,381
Unrestricted 3,417,101 3,712,503 2,962,921 (860,821) 6,380,022 2,851,682 Total Net Position 13,572,931$ 12,542,765$ 15,042,493$ 13,116,317$ 28,615,424$ 25,659,082$
Governmental Business-Type
Total
Net Position
An additional portion of the City of Uvalde’s net position (12%) represents resources that are subject
to external restrictions on how they may be used. The remaining balance of unrestricted net position
(22%) may be used to meet the governments’ on going obligations to citizens and creditors. At the end
of the current fiscal year the City reported a positive balance in the governmental activities and a
positive balance in the business-type activities.
There was a decrease in unrestricted net position reported in connection with the City of Uvalde’s’
governmental activities. During the current fiscal year, the government’s unrestricted net position
decreased by $295,402. The City’s net investment in capital assets for governmental activities totaled
$7,918,932, an increase of $237,770 over the prior year. This increase was attributed to an increase in
construction related projects funded by previously issued Certificate of Obligations for City projects.
Page 34
CITY OF UVALDE
Uvalde, Texas
MANAGEMENT’S DISCUSSION AND ANALYSIS
8
Change in Net Position
2013 2012 2013 2012 2013 2012
Revenues:
Program Revenues:
Charges for Services 865,523$ 846,929$ 10,323,934$ 7,883,390$ 11,189,457$ 8,730,319$
Operating Grants and Contribution 530,788 112,302 21,927 1,286,188 552,715 1,398,490
General Revenues:
Maintenance and Operations 3,219,823 2,828,989 - - 3,219,823 2,828,989
Taxes
Sales Taxes 2,663,942 2,472,197 - - 2,663,942 2,472,197
Franchise Taxes 642,316 656,515 - - 642,316 656,515
Other Taxes 505,815 497,514 - - 505,815 497,514
Unrestricted Investment Earnings 42,828 52,049 27,018 38,540 69,846 90,589
Grants and Contributions Not
to Specific Programs 14,600 12,500 - - 14,600 12,500
Miscellaneous 354,237 337,501 436,254 252,244 790,491 589,745
Total Revenues 8,839,872 7,816,496 10,809,133 9,460,362 19,649,005 17,276,858
Expenses
General Administration 1,448,998 1,287,606 - - 1,448,998 1,287,606
Public Safety 4,094,734 4,024,670 - - 4,094,734 4,024,670
Public Transportation 1,503,894 1,282,871 - - 1,503,894 1,282,871
Culture and Recreation 2,335,706 1,966,105 - - 2,335,706 1,966,105
Health and Welfare 64,250 155,816 - - 64,250 155,816
Conservation and Development - 14,093 - - - 14,093
Interest and Fiscal Charges 282,766 285,599 - - 282,766 285,599
Water - - 5,248,655 4,736,955 5,248,655 4,736,955
Sanitation - - 1,941,304 1,721,707 1,941,304 1,721,707
Airport - - 449,431 279,041 449,431 279,041
Total Expenses 9,730,348 9,016,760 7,639,390 6,737,703 17,369,738 15,754,463
Change in Net Position Before
Transfers (890,476) (1,200,264) 3,169,743 2,722,659 2,279,267 1,522,395
Transfers 1,975,000 1,375,000 (1,975,000) (1,375,000) - -
Change in Net Position 1,084,524 174,736 1,194,743 1,347,659 2,279,267 1,522,395
Net Position - Beginning 12,542,766 12,316,533 13,116,317 12,876,676 25,659,083 25,193,209
Prior Period Adjustments (54,359) 51,497 731,433 (1,108,018) 677,074 (1,056,521)
Net Position at September 30, 2013 13,572,931$ 12,542,766$ 15,042,493$ 13,116,317$ 28,615,424$ 25,659,083$
Governmental Business-Type
Activities Activities Total
Page 35
CITY OF UVALDE
Uvalde, Texas
MANAGEMENT’S DISCUSSION AND ANALYSIS
9
Expenses Program Revenues2013 2012 2013 2012
Expenses
General Administration 1,448,998$ 1,287,606$ 144,144$ 146,238$
Public Safety 4,094,734 4,024,670 374,934 442,352
Public Works 1,503,894 1,282,871 6,955 4,422
Culture and Recreation 2,335,706 1,966,105 870,278 334,491
Health and Welfare 64,250 155,816 - -
Conservation and Development - 14,093 - 31,728
Bond Interest 281,966 284,400 - -
Fiscal Agent Fees 800 1,200 - -
9,730,348$ 9,016,761$ 1,396,311$ 959,231$
2013 2013 2012 2012
Revenues % Revenues %
Revenue by Source
Governmental Activities 865,523$ 10% 846,929$ 11%
Operating Grants and Contribution 530,788 6% 112,302 1%
Maintenance and Operations Taxes 3,122,361 35% 2,744,766 35%
Sales Taxes 2,663,942 30% 2,472,197 32%
Franchise Taxes 642,316 7% 656,515 8%
Other Taxes 505,815 6% 497,514 6%
Unrestricted Investment Earnings 42,828 0% 52,049 1%
Penalty and Interest 97,462 1% 84,223 1%
Grants and Contributions Not
Restricted to Specific Programs 14,600 0% 12,500 0%
Miscellaneous 354,237 4% 337,501 4%
8,839,872$ 100% 7,816,496$ 100%
Expense and Program Revenue - Governmental Activites
For the most part, expenses closely paralleled the prior year levels or were slightly higher than the
previous year. The largest increase occurred in supplies. Some of the reasons for the increased
expenses in supplies were increased repairs and maintenance to the water and sewer systems.
Page 36
CITY OF UVALDE
Uvalde, Texas
MANAGEMENT’S DISCUSSION AND ANALYSIS
10
Business-Type Activities
Business-type activities increased the City of Uvalde, Texas’ net position by $1,194,743. The increase
in the business-type activities was due mainly to higher billings and collections for the Utility and
Sanitation funds.
Expenses Program Revenues Grants2013 2012 2013 2012 2013 2012
Utilities 5,248,655$ 4,736,955$ 7,718,596$ 5,697,533$ -$ -$
Sanitation 1,941,304 1,721,707 2,605,338 2,185,857 15,000 -
Airport 449,431 279,041 - - 6,927 1,286,188
Total Business-Type Activities 7,639,390$ 6,737,703$ 10,323,934$ 7,883,390$ 21,927$ 1,286,188$
2013 2013 2012 2012
Revenues % Revenues %
General Revenue by Source
Unrestricted Investment Earnings 27,018$ 6% 38,540$ 8%
Miscellaneous 436,254 94% 252,244 54%
463,272$ 100% 290,784$ 63%
Expense and Program Revenue - Business-Type Activites
FUND FINANCIAL ANALYSIS
As noted earlier, the City of Uvalde uses fund accounting to ensure and demonstrate compliance with
finance-related legal requirements.
Governmental funds. The focus of the City of Uvalde’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.
As of the end of the current fiscal year, the City of Uvalde’s governmental funds reported a combined
ending fund balance of $5,099,359, an increase of $543,131 from the prior year. Approximately
ninety-eight (98) percent constitutes unassigned fund balance, which is available for spending at the
government’s discretion. The remainder of fund balance is restricted to indicate that is not available
for new spending because it has already been reserved for debt and capital construction.
Page 37
CITY OF UVALDE
Uvalde, Texas
MANAGEMENT’S DISCUSSION AND ANALYSIS
11
The General fund is the chief operating fund of the City of Uvalde. At the end of the current fiscal
year, unassigned fund balance for the General fund was $2,669,600. As a measure of the General
fund’s liquidity, it may be useful to compare both unassigned fund balance and total fund balance to
total expenditures. Unassigned fund balance represents approximately 33 percent of total general fund
expenditures.
During the current fiscal year, the unassigned fund balance of the City of Uvalde’s General fund
increased by $481,241.
The Debt Service Fund ended the year with a fund balance of $1,056,664, which represents an increase
of $182,262 for the year. Although property tax revenues received during the year were lower than
budgeted, no transfers were necessary which contributed to a positive net change in fund balance.
The Capital Projects Fund saw a reduction from fund balance of $66,757 due to completion of the
SSgt. Willie De Leon Civic Center renovation project.
Proprietary funds
The City of Uvalde’s Proprietary funds provide the same type of information found in the
governmental-wide financial statements, but in more detail. Unrestricted net position of the Utility
fund at the end of the year were $1,904,227 and that for the Sanitation fund amounted to $747,628.
The increase in net position for all proprietary funds was $1,926,176. Utility fund net position
increased by $1,351,745, Sanitation fund increased by $818,301 and Airport net position decreased by
$(243,870). Other factors concerning the finances of these three funds have already been addressed in
the discussion of the City of Uvalde’s business-type activities.
General Fund Budgetary Highlights
Each year the City of Uvalde spends a significant amount of time developing the annual budget. Staff
analyzes both prior year actual results and the needs for the upcoming year in order to determine the
final budget. Throughout the year, the budget is also amended to reflect changes in expectations for
revenues and expenses based on actual results during the year. The original and the final budget figures
reflect the differences between the two budgets.
Actual revenues and expenses compared to the budget reflect more favorable results than anticipated.
Actual revenues were $69,196 more than budgeted. Actual expenditures were $336,132 less than
budgeted. Transfers from the general fund to other funds were exactly as budgeted. The budget
projected an increase in fund balance of $266,840 while the final actual result was an increase of
$468,061 to General Fund Balance as of 9/30/2013.
Page 38
CITY OF UVALDE
Uvalde, Texas
MANAGEMENT’S DISCUSSION AND ANALYSIS
12
CAPITAL ASSET AND DEBT ADMINISTRATION
Capital Assets
The City of Uvalde’s net investment in capital assets for its governmental and business type activities
as of September 30, 2013 amounts to $39,445,168. This investment in capital assets includes land,
building and system, improvements, machinery and equipment, park facilities, roads, highways, and
bridges. The City’s investment in capital assets for the current year decreased by approximately (3%).
The decrease was attributed an increase in depreciation expense.
Activities Activities
2013 2012 2013 2012 2013 2012
Land 884,245$ 884,245$ 3,364,461$ 3,364,462$ 4,248,706$ 4,248,707$
Construction in Progress 801,914 4,500,061 - 1,648,579 801,914 6,148,640
Buildings 2,653,906 2,747,104 2,526,987 894,031 5,180,893 3,641,135
Improvements Other than
Buildings 5,937,397 1,658,789 16,413,224 17,341,016 22,350,621 18,999,805
Machinery and Equipment 476,239 588,170 1,070,793 1,302,310 1,547,032 1,890,480
Infrastructure 5,316,002 5,682,114 - - 5,316,002 5,682,114
Total 16,069,703$ 16,060,483$ 23,375,465$ 24,550,398$ 39,445,168$ 40,610,881$
Capital Assets
(net of depreciation)
Governmental Business-Type
Total
Additional information on the City of Uvalde, Texas’s capital assets can be found in note IV.D on page
42-44 of this report.
Long-term Debt
At the end of the current fiscal year, the City of Uvalde had total bonded debt outstanding of
$19,695,000. Of this amount, $6,545,000 comprises debt solely backed by the full faith and credit of
the City of Uvalde, Texas (the “City”). The remainder of the City’s debt is comprised of certificates of
obligation backed by the full faith and credit of the City and further secured by a lien on and pledge of
the net revenues of the City’s utility system.
2013 2012 2013 2012 2013 2012
Bonded Debt 8,115,000$ 8,500,000$ 11,580,000$ 12,845,000$ 19,695,000$ 21,345,000$
Outstanding DebtCertificate of Obligations and Revenue Bonds
Governmental Business-TypeTotalActivities Activities
Page 39
CITY OF UVALDE
Uvalde, Texas
MANAGEMENT’S DISCUSSION AND ANALYSIS
13
The City of Uvalde’s total bonded debt decreased by $1,650,000 during the current fiscal year.
The City of Uvalde Texas and its Utility fund maintain an “A/stable” rating from Standard and Poor’s.
Additional information on the City of Uvalde, Texas’ long-term debt can be found in note IV.G on
pages 47 to 49.
ECONOMIC FACTORS AND NEXT FISCAL YEAR’S BUDGET AND RATES
One of the large economic factors affecting the City of Uvalde has been the Eagle Ford Shale oil and
gas exploration and production. Although to-date no exploration and production has occurred in the
City or Uvalde County, the City is positioned as the largest city nearest too some of the activity and
has benefited from geographic proximity to the Eagle Ford Shale. This has resulted in a positive
financial effect on the City’s sales taxes, businesses, hotel and motels, and real estate.
Water and the continuing drought have also been a large economic factor in the City of Uvalde. The
City is working towards a permit for alternate source water and continuing to study both sources of
water and the current utility rate structure. Conservation efforts continue to be a key factor in any
future water plans.
During the 2014 budget year, the primary factors affecting the budget continue to be public safety;
replacement of aging infrastructure, and investment in capital assets. The City had a very slight
decrease in total property taxes of $.0044 over the prior year levy. This was a result of a decrease in
the maintenance and operations tax levy of $0.0126. The maintenance and operations tax adopted was
the effective rate and it was slightly less than last year’s rate due to an increase in taxable value of
properties on the City’s tax rolls. At the same time, the interest and sinking portion of ad valorem
taxes increased by $0.0079 in order to meet current year debt payment obligations.
REQUEST FOR INFORMATION
This financial report is designated to provide a general overview of the City of Uvalde, Texas’ finances
for all those with an interest in the government’s finances. Questions concerning any of the
information provided in this report or requests for additional financial information should be addressed
to the Finance Department, City of Uvalde, P.O. Box 799, Uvalde, Texas 78802.
Page 40
BASIC FINANCIAL STATEMENTS
Page 41
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Page 42
Government-Wide Financial Statements
Page 43
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Page 44
CITY OF UVALDESTATEMENT OF NET POSITION
SEPTEMBER 30, 2013
GovernmentalActivities Activities
TypeBusiness
Total
Primary Government
ASSETS3,917,4944,569,888 8,487,382Cash and Cash Equivalents $ $ $
175,0001,004,837 1,179,837Investments - Current1,987,932972,760 2,960,692Receivables (net of allowance for uncollectibles)
696,000- 696,000Due from Others(142,230)142,230 -Internal Balances
49,17453,422 102,596Inventories45,12725 45,152Deferred charges
Capital Assets:3,364,461884,245 4,248,706 Land
-5,316,002 5,316,002 Infrastructure, net2,526,9872,653,906 5,180,893 Buildings, net
16,413,2245,937,397 22,350,621 Improvements other than Buildings, net1,070,793476,239 1,547,032 Machinery and Equipment, net
-801,914 801,914 Construction in Progress
Total Assets 22,812,865 30,103,962 52,916,827
LIABILITIES343,390622,017 965,407Accounts Payable58,24947,694 105,943Accrued Interest Payable
392,827- 392,827Other Current LiabilitiesNoncurrent Liabilities
863,406579,486 1,442,892 Due Within One Year13,403,5977,990,737 21,394,334 Due in More Than One Year
Total Liabilities 9,239,934 15,061,469 24,301,403
NET POSITION10,810,8037,918,932 18,729,735Net Investment in Capital Assets
Restricted for:1,268,7691,056,664 2,325,433 Restricted for Debt Service
-144,055 144,055 Restricted for Capital Projects-1,036,179 1,036,179 Restricted for Endowment
2,962,9213,417,101 6,380,022Unrestricted Net Position
Total Net Position 13,572,931 15,042,493 28,615,424$ $ $
The notes to the financial statements are an integral part of this statement.
14
Page 45
CITY OF UVALDESTATEMENT OF ACTIVITIES
FOR THE YEAR ENDED SEPTEMBER 30, 2013
Expenses ServicesCharges for
ContributionsGrants andOperating
Program Revenues
Primary Government:
GOVERNMENTAL ACTIVITIES:144,1441,448,998 -General Government $ $ $344,1464,094,734 30,788Public Safety
6,9551,503,894 -Public Works-64,250 -Health and Welfare
370,2782,335,706 500,000Culture and Recreation-281,966 -Bond Interest-800 -Fiscal Agent's Fees
9,730,348 865,523 530,788Total Governmental Activities:
BUSINESS-TYPE ACTIVITIES:7,718,5965,248,655 - Utility Fund2,605,3381,941,304 15,000 Sanitation Fund
-449,431 6,927 Airport Fund7,639,390 10,323,934 21,927Total Business-Type Activities:
TOTAL PRIMARY GOVERNMENT: 17,369,738 11,189,457 552,715$ $ $
General Revenues:Taxes:
Property Taxes, Levied for General Purposes Property Taxes, Levied for Debt ServiceSales TaxesFranchise TaxesOther TaxesPenalty and Interest
Grants and Contributions Not RestrictedMiscellaneous RevenueInvestment Earnings
Transfers In (Out)Total General Revenues and Transfers
Net Position - Beginning
Change in Net Position
Net Position--EndingPrior Period Adjustment
The notes to the financial statements are an integral part of this statement.
15
Page 46
Net (Expense) Revenue and
Activities ActivitiesBusiness-type
TotalGovernmental
Changes in Net PositionPrimary Government
-(1,304,854) (1,304,854)$ $ $-(3,719,800) (3,719,800)-(1,496,939) (1,496,939)-(64,250) (64,250)-(1,465,428) (1,465,428)-(281,966) (281,966)-(800) (800)
(8,334,037) - (8,334,037)
2,469,941- 2,469,941679,034- 679,034
(442,504)- (442,504)
- 2,706,471 2,706,471
(8,334,037) 2,706,471 (5,627,566)
-2,165,862 2,165,862-956,499 956,499-2,663,942 2,663,942-642,316 642,316-505,815 505,815-97,462 97,462-14,600 14,600
436,254354,237 790,49127,01842,828 69,846
(1,975,000)1,975,000 -9,418,561 (1,511,728) 7,906,833
1,084,52412,542,766
13,572,931$
1,194,74313,116,317
15,042,493$
2,279,26725,659,083
28,615,424$(54,359) 731,433 677,074
16
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Page 48
Governmental Fund Financial Statements
Page 49
CITY OF UVALDEBALANCE SHEET
GOVERNMENTAL FUNDSSEPTEMBER 30, 2013
GeneralFund Fund
Debt ServiceFund
ProjectsCapital
ASSETS1,056,664 2,966,724 364,263 Cash and Cash Equivalents $ $ $
- - - Investments - Current113,442 254,757 - Taxes Receivable
(5,355)(12,714) - Allowance for Uncollectible Taxes (credit) - 620,608 - Receivables (Net) - 377,653 - Special Assessments Receivable, net - - - Intergovernmental Receivables - 151,349 - Due from Other Funds - 53,422 - Inventories - 25 - Deferred Charges
Total Assets 4,411,824 1,164,751 364,263 $ $ $
LIABILITIES - 176,673 220,208 Accounts Payable $ $ $ - 220,777 - Wages and Salaries Payable - 55,189 - Compensated Absences Payable - - - Due to Other Funds
108,087 1,236,163 - Deferred Revenues
Total Liabilities 1,688,802 108,087 220,208
FUND BALANCES
Nonspendable Fund Balance: - 53,422 - Inventories - - - Endowment Principal
Restricted Fund Balance: - - 144,055 Capital Acquisiion and Contractural Obligation
1,056,664 - - Retirement of Long-Term DebtAssigned Fund Balance:
- - - Other Assigned Fund Balance - 2,669,600 - Unassigned Fund Balance
Total Fund Balances 2,723,022 1,056,664 144,055
$ 4,411,824 $ 1,164,751 $ 364,263 Total Liabilities and Fund Balances
The notes to the financial statements are an integral part of this statement.
17
Page 50
OtherFunds Funds
GovernmentalTotal
182,237 4,569,888 $ $1,004,837 1,004,837
- 368,199 - (18,069)
36 620,644 - 377,653
1,986 1,986 - 151,349 - 53,422 - 25
1,189,096 7,129,934 $ $
4,359 401,240 $ $ - 220,777 - 55,189
9,119 9,119 - 1,344,250
13,478 2,030,575
- 53,422 1,036,179 1,036,179
- 144,055 - 1,056,664
139,439 139,439 - 2,669,600
1,175,618 5,099,359
$ $ 7,129,934 1,189,096
18
Page 51
CITY OF UVALDERECONCILIATION OF THE GOVERNMENTAL FUNDS BALANCE SHEET TO THE
STATEMENT OF NET POSITIONSEPTEMBER 30, 2013
5,099,359$Total Fund Balances - Governmental Funds
16,069,703Capital assets used in governmental activities are not financial resources and therefore are not reported in governmental funds. The net effect of including the beginning balances for capital assets (net of depreciation) and additions and reductions to capital assets in the governmental activities is to increase net position.
(8,562,728)Long-term liabilities, including bonds payable are not due and payable in the current period, and, therefore are not reported as liabilities in the funds. The net effect of this consolidation is to (decrease) net position.
350,130Property Taxes Receivable unavailable to pay for current period expenditures are deferred in the funds (net of allowance). The net effect of the current year property taxes receivable is to increase net position.
616,467Court Fines Receivable are unavailable to pay for current period expenditures and are therefore deferred in the funds. The net effect is to increase net position.
13,572,931$Net Position of Governmental Activities
The notes to the financial statements are an integral part of this statement.
19
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Page 53
CITY OF UVALDESTATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE
GOVERNMENTAL FUNDSFOR THE YEAR ENDED SEPTEMBER 30, 2013
FundGeneral
FundDebt Service
FundProjectsCapital
REVENUES:Taxes:
2,200,635 972,122 -Property Taxes $ $ $2,663,942 - -General Sales and Use Taxes
626,392 - -Franchise Tax17,140 - -Other Taxes69,489 27,973 -Penalty and Interest on Taxes77,677 - -Licenses and Permits14,600 - 500,000Intergovernmental Revenue and Grants
573,481 - -Charges for Services200,622 - -Fines
6,956 - -Special Assessments29,744 11,315 578Investment Earnings74,486 - -Rents and Royalties
272,070 - 50Other Revenue
Total Revenues 6,827,234 1,011,410 500,628
EXPENDITURES:Current:
1,351,558 - -General Government3,918,301 - -Public Safety1,017,420 - 5,380Public Works
64,250 - -Health and Welfare1,592,814 - -Culture and Recreation
Debt Service:78,289 500,000 -Bond Principal5,572 324,348 -Bond Interest
- 800 -Fiscal Agent's FeesCapital Outlay:
173,778 - 878,995Capital Outlay
Total Expenditures 8,201,982 825,148 884,375
Excess (Deficiency) of Revenues Over (Under) Expenditures
(1,374,748) 186,262 (383,747)
OTHER FINANCING SOURCES (USES): - - 115,000Capital-related Debt Issued (Certificate of Oblig)
2,044,800 - 201,990Transfers In(201,990) - -Transfers Out (Use)
Total Other Financing Sources (Uses) 1,842,810 - 316,990
Net Change in Fund Balances 468,062 186,262 (66,757)Fund Balance - October 1 (Beginning) 2,245,623 870,402 210,812Prior Period Adjustment 9,337 - -
Fund Balance - September 30 (Ending) $ 2,723,022 $ 1,056,664 $ 144,055
The notes to the financial statements are an integral part of this statement.
20
Page 54
OtherFunds Funds
GovernmentalTotal
3,172,757-$ $2,663,942-
642,31615,924505,815488,67597,462-77,677-
545,38830,788573,481-207,4106,788
6,956-42,8281,19174,486-
279,7507,630
550,996 8,890,268
1,356,5835,0253,962,79144,4901,022,800-
64,250-2,014,572421,758
578,289-329,920-
800-
1,052,773-
471,273 10,382,778
79,723 (1,492,510)
115,000-2,256,1529,362(281,152)(79,162)
(69,800) 2,090,000
9,923 597,4901,229,391 4,556,228
(63,696) (54,359)
$ 1,175,618 $ 5,099,359
21
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CITY OF UVALDERECONCILIATION OF THE GOVERNMENTAL FUNDS STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCES TO THE STATEMENT OF ACTIVITIESFOR THE YEAR ENDED SEPTEMBER 30, 2013
597,490$Total Net Change in Fund Balances - Governmental Funds
1,607,931Current year capital outlays and long-term debt principal payments are expenditures in the fund financial statements, but they should be shown as increases in capital assets and reductions in long-term debt in the government-wide financial statements. Capital outlays $1,079,721; current year bond payments $500,000; Lease/Loan Payments $94,189;bond premium(discount) amortization expense $39,889; interst payable $9,132 and proceeds from USDA certificates of obligation of $(115,000) The net effect of removing the 2013 capital outlays and debt principal payments is to increase the change in net position.
(1,070,501)Depreciation is not recognized as an expense in governmental funds since it does not require the use of current financial resources. The net effect of the current year's depreciation is to (decrease) the change in net position.
(50,396)Governmental funds do not present revenues that are not available to pay current obligations. In contrast, such revenues are reproted in the Statement of Activities when earned. The net effect of these reclassifications and recognitions is to (decrease) net position.
1,084,524$ Change in Net Position of Governmental Activities
The notes to the financial statements are an integral part of this statement.
22
Page 56
Proprietary Fund Financial Statements
Page 57
CITY OF UVALDESTATEMENT OF NET POSITION
PROPRIETARY FUNDSSEPTEMBER 30, 2013
Business-Type Activities - Enterprise Funds
TotalUtility Sanitation Airport EnterpriseFund Fund Fund Funds
ASSETSCurrent Assets:
2,795,8691,121,625 - 3,917,494Cash and Cash Equivalents $ $ $ $-175,000 - 175,000Investments - Current
578,4251,263,054 146,453 1,987,932Accounts Receivable-Net of Uncollectible Allowance-- 696,000 696,000Due from Others-215,412 - 215,412Due from Other Funds-49,174 - 49,174Inventories-45,127 - 45,127Prepaid Items
2,869,392 3,374,294 842,453 7,086,139Total Current AssetsNoncurrent Assets:
Capital Assets:322,1762,946,133 96,152 3,364,461Land Purchase and Improvements25,760365,614 3,400,668 3,792,042Buildings
(21,205)(224,369) (1,019,481) (1,265,055) Accumulated Depreciation - Buildings5,745,37321,397,898 5,098,488 32,241,759Improvements other than Buildings
(2,273,755)(11,530,785) (2,023,995) (15,828,535) Accumulated Depreciation - Other Improvements4,879,6522,134,957 591,241 7,605,850Machinery and Equipment
(4,162,902)(1,902,707) (469,448) (6,535,057) Accumulated Depreciation - Machinery & Equipment13,186,741 4,515,099 5,673,625 23,375,465Total Noncurrent Assets
Total Assets 16,056,133 7,889,393 6,516,078 30,461,604
The notes to the financial statements are an integral part of this statement.
23
Page 58
CITY OF UVALDESTATEMENT OF NET POSITION
PROPRIETARY FUNDSSEPTEMBER 30, 2013
Business-Type Activities - Enterprise Funds
TotalUtility Sanitation Airport EnterpriseFund Fund Fund Funds
LIABILITIESCurrent Liabilities:
96,682125,352 55,114 277,148Accounts Payable22,69343,549 - 66,242Wages and Salaries Payable12,48320,734 - 33,217Compensated Absences Payable
-- 357,642 357,642Due to Other Funds20,91620,703 16,630 58,249Accrued Interest Payable
-- 50,026 50,026Notes Payable - Current280,000405,000 - 685,000Bonds Payable - Current95,163- - 95,163Capital Leases Payable - Current94,235298,592 - 392,827Other Current Liabilities
913,930 622,172 479,412 2,015,514Total Current LiabilitiesNonCurrent Liabilities:
3,315,0005,880,000 1,700,000 10,895,000Bonds Payable - Noncurrent-- 686,661 686,661Notes Payable - Noncurrent
(66,666)(229,990) (35,463) (332,119)Unamortized Premiums (Discounts) on Bonds186,350- - 186,350Capital Leases Payable - Noncurrent
1,967,705- - 1,967,705Other Noncurrent Liabilities5,650,010 5,402,389 2,351,198 13,403,597Total Noncurrent Liabilities
Total Liabilities 6,563,940 6,024,561 2,830,610 15,419,111
NET POSITION712,2916,826,110 3,272,402 10,810,803Net Investment in Capital Assets404,913761,856 102,000 1,268,769Restricted for Debt Service747,6281,904,227 311,066 2,962,921Unrestricted Net Position
Total Net Position 9,492,193 1,864,832 3,685,468 15,042,493$ $ $ $
The notes to the financial statements are an integral part of this statement.
24
Page 59
CITY OF UVALDESTATEMENT OF REVENUES, EXPENSES, AND CHANGES IN FUND NET POSITION
PROPRIETARY FUNDSFOR THE YEAR ENDED SEPTEMBER 30, 2013
Business-Type Activities - Enterprise Funds
UtilityFund Fund
SanitationFund
AirportFunds
EnterpriseTotal
OPERATING REVENUES:-4,176,590 - 4,176,590Charges for Water Services $ $ $ $-1,415,143 - 1,415,143Charges for Gas Services-2,126,863 - 2,126,863Charges for Sewerage Service
2,605,338- - 2,605,338Sanitation Charges for Services-- 188,220 188,220Rents and Royalties
67,785169,835 10,414 248,034Other Revenue
Total Operating Revenues 7,888,431 2,673,123 198,634 10,760,188
OPERATING EXPENSES:698,3451,099,542 - 1,797,887Personnel Services - Salaries and Wages186,349373,134 - 559,483Personnel Services - Employee Benefits74,381209,581 500 284,462Purchased Professional & Technical Services4,94922,094 2,585 29,628Purchased Property Services
107,604732,459 1,757 841,820Other Operating Expenses275,4821,591,169 27,142 1,893,793Supplies442,090794,761 296,950 1,533,801Depreciation
Total Operating Expenses 4,822,740 1,789,200 328,934 6,940,874Operating Income (Loss) 3,065,691 883,923 (130,300) 3,819,314
NON-OPERATING REVENUES (EXPENSES):15,000- 6,927 21,927Grants25,1821,836 - 27,018Investment Earnings
(152,104)(425,915) (120,497) (698,516)Interest Expense - Non-OperatingTotal Non-operating Revenue (Expenses) (424,079) (111,922) (113,570) (649,571)
Income (Loss) Before Transfers 2,641,612 772,001 (243,870) 3,169,743
(125,000)(1,850,000) - (1,975,000)Transfers Out
Change in Net PositionTotal Net Position - October 1 (Beginning)Prior Period AdjustmentTotal Net Position - September 30 (Ending)
791,6128,140,448
560,133$ 9,492,193
647,0011,046,531
171,300$ 1,864,832
(243,870)3,929,338
-$ 3,685,468
1,194,74313,116,317
731,433$ 15,042,493
The notes to the financial statements are an integral part of this statement.
25
Page 60
CITY OF UVALDE
Statement of Cash Flows
Proprietary Funds
For The Year Ended September 30, 2013
Business Type Activities - Enterprise Funds
Total
Utility Sanitation Airport Enterprise
Fund Fund Fund Funds
CASH FLOWS FROM OPERATING ACTIVITIES:
Receipts from Customers and Users 7,664,085$ 2,497,011$ 142,269$ 10,303,365$
Payments to Suppliers (2,562,686) (448,816) (264,664) (3,276,166)
Payments to Employees (1,462,726) (881,398) - (2,344,124)
Net Cash Provided/(Used) by Operating Activities 3,638,673 1,166,797 (122,395) 4,683,075
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES:
Operating Grant - 15,000 6,927 21,927
Transfers to other funds (1,850,000) (125,000) (365,716) (2,340,716)
Net Cash Provided/(Used) by Non-Capital and Related
Financing Activities (1,850,000) (110,000) (358,789) (2,318,789)
CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES:
Principal Payment on Bonds, Notes and Capital Leases (720,924) (350,071) (58,329) (1,129,324)
Proceeds from Notes payable - - 710,231 710,231
Interest and Fiscal Charges (449,664) (153,455) (102,000) (705,119)
Purchases of Capital Assets (181,548) (108,605) (68,718) (358,871)
Net Cash Provided/(Used) by Capital and
Related Financing Activities (1,352,136) (612,131) 481,184 (1,483,083)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of Investments (175,000) - - (175,000)
Interest Received 1,836 25,182 - 27,018
Net Cash Provided/(Used) by Investment Activities (173,164) 25,182 - (147,982)
Net Increase/(Decrease) in Cash Equivalents 263,373 469,848 - 733,221
Cash and Cash Equivalents - October 1 858,252 2,326,021 - 3,184,273
Cash and Cash Equivalents - September 30 1,121,625$ 2,795,869$ -$ 3,917,494$
Reconciliation of Operating Income (Loss) to Net Cash
Provided/(Used) By Operating Activities:
Operating Income/(Loss) 3,065,691$ 883,923$ (130,300)$ 3,819,314$
Adjustments to Reconcile Operating Income to
Net Cash Provided (Used) by Operating Activities:
Depreciation 794,761 442,090 296,950 1,533,801
Decrease (Increase) Accounts Receivable (248,085) (176,112) (56,365) (480,562)
Decrease(Increase in Prepaid Items (45,127) - - (45,127)
Decrease(Increase in Intergovernmental Receivable - - 24,000 24,000
Decrease (Increase) in Inventory 897 - - 897
Increase (Decrease) in Sales Tax Payable (2,932) - - (2,932)
Increase (Decrease) in Accounts Payable 39,779 90,775 (256,680) (126,126)
Increase (Decrease) in Accrued Wages 2,426 (1,319) - 1,107
Increase (Decrease) in Compensated Absences 7,524 4,615 - 12,139
increase (Decrease) other liabilities - (110,021) - (110,021)
Increase(Decrease) in Customer Meter Deposits 23,739 32,846 - 56,585
Total Adjustments 572,982 282,874 7,905 863,761
Net Cash Provided by Operating Activities 3,638,673$ 1,166,797$ (122,395)$ 4,683,075$
The accompanying notes to financial statements form an integral part of this statement.
26
Page 61
This Page Left Blank Intentionally.
Page 63
CITY OF UVALDESTATEMENT OF NET POSITION
FIDUCIARY FUNDSSEPTEMBER 30, 2013
AgencyFunds
ASSETS16,625Cash and Cash Equivalents $
Total Assets 16,625$
LIABILITIES16,625Due to Others $
Total Liabilities 16,625$
The notes to the financial statements are an integral part of this statement.
27
Page 64
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
28
I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
A. REPORTING ENTITY
The City of Uvalde, Texas, was incorporated in 1889, and adopted its Home Rule Charter on
September 18, 1934. The City operates under a charter, Manager-Council type of government
and provides the following services: public safety (fire, ambulance, and law enforcement),
public works (streets), culture and recreation, legal, election functions, and general
administrative services.
B. BASIC FINANCIAL STATEMENTS – GOVERNMENT-WIDE STATEMENTS AND
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 City. Governmental
activities, which normally are supported by taxes and intergovernmental revenues, are reported
separately from business-type activities, which rely to a significant extent on fees and charges
for support.
The statement of activities demonstrates the degree to which the direct expenses of a given
function or segments are offset by program revenu `. Direct expenses are those that are clearly
identified with a specific function or segment. Program revenues include 1) charges to
customers or applicants who purchase, use, or directly benefit from goods, services, or
privileges provided by a given function or segment, 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 revenues are reported
instead as general revenues.
Separate financial statements are provided for governmental funds, proprietary funds, and
fiduciary funds, even though the fiduciary funds are excluded from the government-wide
financial statements. Major individual governmental and major individual enterprise funds are
reported as separate columns in the fund financial statements.
Page 65
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
29
I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
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. 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 revenues 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.
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 revenues to be available if
they are 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, are recorded only when payment is due. Compensated absences
expenditures are recognized when the benefits are earned by employees.
Property taxes, franchise taxes, licenses, and interest associated with the current fiscal period
are all considered to be susceptible to accrual and so have been recognized as revenues of the
current fiscal period. Only the portion of special assessments receivable due within the current
fiscal period is considered to be susceptible to accrual as revenue of the current period. All
other revenue items are considered to be measurable and available only when cash is received
by the government.
The government reports the following major governmental funds:
The general fund is the government's primary operating fund. It accounts for all financial
resources of the general government, except those required to be accounted for in another fund.
The general fund is a budgeted fund.
The capital project fund accounts for the finanical resources to be used for activities approved
under the 2009 Series Certificate of Obligations.
Page 66
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
30
I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
The debt service fund accounts for accumulation of resources and for payment of debt principal
and interest. The primary source is local property taxes levied for debt service. The debt
service fund is a budgeted fund.
The government reports the following major proprietary funds:
The utility fund accounts for the activities of the government's water, sewer, and gas
distribution operations.
The sanitation fund accounts for the activities of the government's sanitary operations.
The airport fund accounts for the activities of the government's airport operations.
Additionally, the government reports the following fund types:
The permanent trust funds are used to report resources that are legally restricted to the
extent that only earnings, not principal, may be used for purposes that support the
government programs. Earnings for the year ended September 30, 2013 totaled $1,067
and are considered unrestricted for use.
The agency fund accounts for resources held for others in a custodial capacity. The City
accounts for the police holding fund as an agency fund.
As a general rule the effect of interfund activity has been eliminated from the government-wide
financial statements. Exceptions to this general rule are payments-in-lieu of taxes and other
charges between the government's water and sewer function and various other functions of the
government. Elimination of these charges would distort the direct costs and program revenues
reported for the various functions concerned.
Page 67
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
31
I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
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 enterprise funds are charges to customers for sales and
services. The enterprise funds also recognize as operating revenue the portion of tap fees
intended to recover the cost of connecting new customers to the system. Operating expenses
for enterprise funds and internal service funds include the cost of sales and services,
administrative expenses, and depreciation on capital assets. All revenues and expenses not
meeting this definition are reported as nonoperating revenues and expenses. Under the full
accrual method of accounting revenues are recorded when earned and expenses are recorded at
the time liabilities are incurred.
D. ASSETS, LIABILITIES, AND NET POSITION OR EQUITY
1. Deposits and Investments
The City's cash and cash equivalents consist of cash on hand, demand deposits, and short-
term investments with original maturities of three months or less from the date of
acquisition.
State statutes authorize the government to invest in obligations of the U.S. Treasury.
Investments for the government are reported at fair value, based on publicly quoted prices
or the best available estimate.
Page 68
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
32
I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
2. 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 non-
current 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.
3. Property Taxes
Property is appraised and a lien on such property becomes enforceable as of January 1,
subject to certain procedures for rendition, appraisal, appraisal review and judicial review.
Traditionally, property taxes are levied October 1, of the year in which assessed or as soon
thereafter as practicable. Taxes are due and payable when levied since that is when the
City bills the taxpayers. The City begins to collect the taxes as soon as the taxpayers are
billed. The appraisal of property values is performed by the Uvalde County Appraisal
District for the City.
4. Inventories
All inventories are valued at cost using the first-in/first-out (FIFO) method. Inventories of
governmental funds are recorded as expenditures when consumed rather than when
purchased.
Page 69
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
33
I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
5. Restricted Net Position
The restricted net position in the proprietary funds at September 30, 2013 totaled
$1,268,769 for debt service.
The restricted net position in the governmental activities at September 30, 2013 totaled
$1,056,664 for debt service, $144,055 for construction and $1,036,179 for endowment
principal.
6. 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. Capital
assets are defined by the government as assets with an initial, individual cost of more than,
$5,000 and an estimated useful life in excess, of two years. Such assets are recorded at
historical cost or estimated historical cost if purchased or constructed. Donated capital
assets are recorded at estimated fair market value at the date of donation.
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. Interest incurred during the construction phase of capital assets of business-
type activities is included as part of the capitalized value of the assets constructed.
Property, plant, and equipment of the primary government are depreciated using the
straight line method over the following estimated useful lives:
Assets Years
Buildings 50
Building Improvements 20
Public Domain Infrastructure 50
System Infrastructure 30
Vehicles and Equipment 5
Page 70
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
34
I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
7. Compensated Absences
It is the government's policy to permit employees to accumulate earned but unused
vacation and sick pay benefits. There is no liability for unpaid accumulated sick leave
since the government does not have a policy to pay any amounts when employees separate
from service with the government. All vacation pay is accrued when incurred in the
government-wide and proprietary fund financial statements. A liability for these amounts
is reported in governmental funds only if they have matured, and the benefits have been
earned by employees. Compensated absences are generally liquidated by the general fund,
utility fund and sanitation fund and are presented as current liabilities since all leave is
required to be taken by the end of the calendar year.
8. 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. Bond premiums and discounts, as well as issuance
costs, are deferred and amortized over the life of the bonds using the effective interest
method. Bonds payable are reported net of the applicable bond premium or discount.
Bond issuance costs are reported as deferred charges and amortized over the term of the
related debt.
In the fund financial statements, governmental fund types recognize bond premiums and
discounts, as well as bond issuance costs, during the current period. The face amount of
debt issued is reported as other financing sources. Premiums received on debt issuances
are reported as other financing sources while discounts on debt issuances are reported as
other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds
received, are reported as debt service expenditures.
Page 71
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
35
I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
9. Fund Balance Policies
Fund balance of governmental funds is reported in various categories based on the nature
of any limitations requiring the use of resources for specific purposes. The government
itself can establish limitations on the use of resources through either a commitment
(committed fund balance) or an assignment ( assigned fund balance).
Nonspendable
Amounts not available for appropriation or legally earmarked for a specific use. Examples
include inventories, prepaid items, and deferred expenditures.
Restricted
Amounts that have been legally separated for a specific purpose; such as, grants, capital
acquisition from bond proceeds and long-term debt.
Committed
Amounts that require Council action to be used for a specific purpose; such as, construction
improvements not funded by bond proceeds. Formal action by City Council, which
consists of majority approval of an ordinance, to commit funds must occur prior to fiscal
year end and can only be modified or removed by the same formal action. Once adopted,
the limitaion imposed by the ordinance remains in place until a similar action is taken (the
adoption of another ordinance) to remove or revise the limitation.
Assigned
Amounts that do not require Council approval but are intended to be used for a specific
purpose, as determined by an official or body to which the Council has delegated authority;
such as, the Finance Director or City Manager. The governing council (council) has by
resolution authorized the Finance Director or City Manager to assign fund balance. The
council may also assign fund balance as it does when appropriating fund balance to cover a
gap between estimated revenue and appropriations in the subsequent year’s appropriated
budget. These amounts do not meet the criteria to be classified as restricted or committed.
Page 72
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
36
I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Unassigned
Residual amount in the general fund that is available to finance operating expenditures. In
other funds, this classification is used only to report a deficit balance resulting from
overspending for specific purposes for which amounts had been restricted, committed, or
assigned.
10. Spending Order
Fund balance amounts that are restricted, committed, or assigned are considered to have
been spent when an expenditure is incurred for the respective purpose. If an expenditure is
incurred that meets the criteria in more than one fund balance category, then the City
considers that fund balance is relieved in the following order: restricted, committed,
assigned, and then unassigned.
11. Deficit Fund Balance
The Joint Drug enforcement grant and the Local Border Security Program reported deficit
fund balance of $332 and $6,801, respectively. As of September 30, 2013 the City plans to
finance the deficit with transfers from the General Fund.
12. Restricted/Unrestricted Resources
Under the terms of grant agreements, the City funds certain programs by a combination of
specific cost-reimbursement grants and general revenues. Thus, when program
expenditures are incurred, there are both restricted and unrestricted resources available to
finance the program. It is the City’s policy to first apply cost-reimbursement grant
(restricted) resources to such programs and then general revenues.
13. Estimates
The preparation of the financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions that affect
certain reported amounts and disclosures. Accordingly, actual results could differ from
those estimates. Management’s estimates were considered for depreciation, estimated
useful lives, and allowance for doubtful accounts.
Page 73
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
37
II. 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 assets.
The governmental fund balance sheet includes reconciliation between fund balance - total
governmental funds and net assets - governmental activities as reported in the government-wide
statement of net assets. One element of that reconciliation explains that long-term liabilities,
including bonds payable, are not due and payable in the current period and therefore are not
reported in the funds. The details of this $8,562,728 reconciling item are as follows:
Capital Leases Payable $ 16,425 Loans Payable
153,450
Bonds Payable
8,345,159
Accrued Interest Payable
47,684
$ 8,562,728
III. STEWARDSHIP, COMPLIANCE, AND ACCOUNTABILITY
The governmental fund balance sheet includes reconciliation between fund balance - total
governmental funds and net assets – governmental activities as reported in the government-wide
statement of net assets. One element of that reconciliation explains that Property taxes receivable
unavailable to pay for current period expenditures are deferred in the funds. The details of this
$350,130 difference are as follows:
Property Taxes Receivable $ 368,199 Allowance for Doubtful Accounts
(18,069)
Net
$ 350,130
Page 74
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
38
III. STEWARDSHIP, COMPLIANCE, AND ACCOUNTABILITY (Continued)
The governmental fund balance sheet includes reconciliation between fund balance – total
governmental funds and net assets – governmental activities as reported in the government-wide
statement of net assets. One element of that reconciliation explains that other long-term assets are
not available to pay for current period expenditures are deferred in the funds. The details of this
$616,467 difference are as follows:
Court Fines Receivable $ 3,823,982 Allowance for Doubtful Accounts
(3,207,515)
Net
$ 616,467
Budgetary Information
The City Manager has been authorized by the council to prepare the budget. The budget is
adopted on budgetary basis in conformity with generally accepted accounting principles for the
general fund, debt service fund, hotel/motel fund and the police foreiture fund. After the budget is
prepared, it is reviewed by the City Council. The budget is adjusted by the City Council if desired.
Then a final budget is prepared by the City Manager. A public hearing is held on the budget by the
City Council. Before determining the final budget, the City Council may increase or decrease the
amounts requested by the various departments or citizens. Amounts finally budgeted may not
exceed the estimate of revenues and available cash. Appropriations lapse at year end.
When the budget is adopted by the City Council, the City Manager is responsible for monitoring
the expenditures of the various departments of the City to prevent expenditures from exceeding
budgeted appropriations and for keeping the members of the City Council advised of the
conditions of the various funds and accounts.
The appropriated budget is prepared by fund, function, and department. The government's
department heads may make transfers of appropriations within a department. Transfers of
appropriations between departments require the approval of the council. The legal level of
budgetary control (i.e., the level at which expenditures may not legally exceed appropriations) is
the department level. The council made supplemental budgetary appropriations throughout the
year. The governmental funds that have legally adopted budget are general fund, debt service
fund, hotel/motel tax, and police forefeiture fund.
Page 75
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
39
III. STEWARDSHIP, COMPLIANCE, AND ACCOUNTABILITY (Continued)
Encumbrance accounting is employed in governmental funds. Encumbrances (e.g., purchase
orders, contracts) outstanding at year end are reported as reservations of fund balances and do not
constitute expenditures or liabilities because the commitments will be re-appropriated and honored
during the subsequent year.
Excess of Expenditures over Appropriations
For the year ended September 30, 2013, expenditures exceeded appropriations as follows:
Debt Service Fund – $43,281 excess in interest expense.
Police Forfeiture Fund – $5,063 excess in the public safety function due to operating costs
higher than anticipated.
General Fund – $98 excess in City Countil/Mayor’s office due to higher disbursements
than anticipated; $3,989 in debt service function due to interest costs higher than
anticipated.
IV. DETAILED NOTES ON ALL FUNDS
A. DEPOSITS AND INVESTMENTS
Legal and Contractual Provisions Governing Deposits and Investments
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, (9) and bid
Page 76
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
40
IV. DETAILED NOTES ON ALL FUNDS (Continued)
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, (10) and 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.
Policies Governing Deposits and Investments
In compliance with the Public Funds Investment Act, the City has adopted a deposit and
investment policy. That policy addresses the following risks:
a. Custodial Credit Risk – Deposits: in the case of deposits, this is the risk that in the event of
a bank failure, the government's deposits may not be returned to it. The City is not exposed
to custodial credit risk for its deposits are either covered by depository insurance and/or are
collateralized.
b. Custodial Credit Risk – Investments: The City’s general investment policy is to apply the
prudent-person rule: Investments are made as a prudent person would be expected to act,
with discretion and intelligence, to seek reasonable income, preserve capital, and, in
general, avoid speculative investments. The City’s investments in the bonds of U.S.
agencies were rated AAA by Standard & Poor’s and Fitch Ratings, and Aaa by Moody’s
Investors Service.
c. Interest-rate Risk – In accordance with its investment policy, the government manages its
exposure to declines in fair values by limiting the weighted average maturity of its
investment portfolio to less than twelve months.
d. Concentration of Credit Risk – The City places no limit on the amount the City may invest
in any one issuer. At year end all of the City’s investments consist of Certificates of
Deposits with maturities of twelve months.
Page 77
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
41
IV. DETAILED NOTES ON ALL FUNDS (Continued)
B. RECEIVABLES
Receivables as of year end for the government’s individual major funds and nonmajor funds
including the applicable allowances for uncollectible accounts, are as follows:
General Debt Service Other Enterprise Funds
Fund Fund Nonmajor Utility Sanitation Airport Total
Receivables
Taxes 254,757$ 113,442$ -$ -$ -$ -$ 368,199$
Accounts 4,141 - 36,000 1,496,357 688,766 146,453 2,371,717
Fines 616,467 - - - - - 616,467
Special Assessments 377,653 - - - - - 377,653
Gross Receivables 1,253,018 113,442 36,000 1,496,357 688,766 146,453 3,734,036
Less: Allowance
for Uncollectibles (390,367) (5,355) - (233,303) (110,341) - (739,366) Net Total Receivables 862,651$ 108,087$ 36,000$ 1,263,054$ 578,425$ 146,453$ 2,994,670$
C. DEFERRED REVENUES
Governmental funds report deferred revenue in connection with receivables for revenues that
are not considered to be available to liquidate liabilities of the current period. Governmental
funds also defer revenue recognition in connection with resources that have been received, but
not yet earned. Deferred revenues at Septembert 30, 2013 consisted of the following:
General
Fund
Debt Service
Funds
Total
All Funds Property Taxes
$ 242,043
$ 108,087
$ 350,130
Municipal Court Fines
616,467
-
616,467
Special Assesments
377,653
-
377,653
Total Deferred Revenue
$ 1,236,163
$ 108,087
$ 1,344,250
Page 78
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
42
IV. DETAILED NOTES ON ALL FUNDS (Continued)
D. CAPITAL ASSETS
Capital Asset activity for the year ended September 30, 2013 was as follows:
Beginning EndingBalances Balances
October 1, September 30,2012 Additions Deductions 2013
Governmental Activities:Capital Assets, not being Depreciated:Land 884,245$ -$ -$ 884,245$ Construction in Progress 4,500,061 922,910 (4,621,057) 801,914
Total Capital Assets, not being Depreciated 5,384,306 922,910 (4,621,057) 1,686,159
Capital Assets, being Depreciated:Building and Improvements 4,869,910 - - 4,869,910 Improvements other than Buildings 3,964,091 4,648,458 - 8,612,549 Machinery, Equipment and Vehicles 4,101,059 129,410 (38,781) 4,191,688 Infrastructure 10,673,970 - - 10,673,970
Total Capital Assets, being Depreciated 23,609,030 4,777,868 (38,781) 28,348,117
Less Accumulated Depreciation for:Building and Improvements (2,122,806) (93,198) - (2,216,004) Improvements other than Buildings (2,305,302) (369,850) - (2,675,152) Machinery, Equipment and Vehicles (3,512,889) (241,341) 38,781 (3,715,449) Infrastructure (4,991,856) (366,112) - (5,357,968) Total Accumulated Depreciation (12,932,853) (1,070,501) 38,781 (13,964,573) Total Capital Assets Depreciated, Net 10,676,177 3,707,367 - 14,383,544
Total Capital Assets, Net 16,060,483$ 4,630,277$ (4,621,057)$ 16,069,703$
(Continued)
Page 79
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
43
IV. DETAILED NOTES ON ALL FUNDS (Continued)
Beginning Ending
Balances Balances
October 1, September 30,
2012 Additions Deductions 2013
Business Type Activities:
Capital Assets, not being Depreciated:
Land 3,364,461$ -$ -$ 3,364,461$
Construction in Progress 1,648,579 60,218 (1,708,797) -
Total Capital Assets, not being Depreciated 5,013,040 60,218 (1,708,797) 3,364,461
Capital Assets, being Depreciated:
Building and Improvements 2,083,245 1,708,797 - 3,792,042
Improvements other than Buildings 32,215,024 26,735 - 32,241,759
Machinery, Equipment and Vehicles 7,333,933 271,917 - 7,605,850
Total Capital Assets, being Depreciated 41,632,202 2,007,449 - 43,639,651
Less Accumulated Depreciation for:
Building and Improvements (1,189,215) (75,840) - (1,265,055)
Improvements other than Buildings (14,874,011) (954,524) - (15,828,535)
Machinery, Equipment and Vehicles (6,031,624) (503,433) - (6,535,057)
Total Accumulated Depreciation (22,094,850) (1,533,797) - (23,628,647)
Total Capital Assets Depreciated, Net 19,537,352 473,652 - 20,011,004
Total Capital Assets, Net 24,550,392$ 533,870$ (1,708,797)$ 23,375,465$
Page 80
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
44
IV. DETAILED NOTES ON ALL FUNDS (Continued)
Depreciation expense was charged to functions/programs of the primary government as
follows:
Governmental Activities
General Administration $ 92,415
Public Safety 131,943
Public Works 481,094
Culture and Recreation 362,846
Public Facilities 2,203
Total Depreciation Expense – Governmental Activities $ 1,070,501
Business Type Activities
Water and Sewer $ 794,758
Sanitation 442,090
Airport 296,949
Total Depreciation Expense – Business Type Activities $ 1,533,797
E. INTERFUND BALANCES AND TRANSFERS
Receivable Fund Amount Payable Fund
General Fund $ 142,230 Airport Fund
Utility Fund 215,412 Airport Fund
General Fund 9,119 Non-Major Governmental Fund
$ 366,761
The interfund balances at year end consist of payables from the airport fund to the general and
utility fund. The nonmajor governmental fund payables consist of reimbursements to the
general fund for grant subsidized expenditures related to the local border security program and
joint drug enforcement grant.
Page 81
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
45
IV. DETAILED NOTES ON ALL FUNDS (Continued)
The interfund transfers during the year consisted of the following amounts:
Transfers In
Transfers
General
Fund
Capital
Projects
Fund
Non-Major
Governmental
Funds
Transfers out:
General Fund $ - $ 201,990 $ -
Non-Major Governmental Fund 69,800 - 9,362
Utility Fund 1,850,000 - -
Sanitation Fund 125,000 - -
$ 2,044,800 $ 201,990 $ 9,362
F. LEASES
Operating Leases
The City leases equipment under non-cancelable operating leases. Total payments for such
leases were $35,741 for the year ended September 30, 2013. The future minimum lease
payments for these leases are as follows:
Year Ending
September 30,
Amount
2014 $ 15,417
2015 7,067
2016 3,479
2017 569
Total $ 26,532
Capital Leases
The City has entered into a lease agreement with Frost Bank as lessee for financing the
acquisition of two reel master golf course mowers. The City has also financed the acquisition
of two garbage trucks and one roll-off truck through the Sanitation Fund with Frost bank.
These lease agreements qualify as capital leases for accounting purposes and, therefore, have
been recorded at the present value of their future minimum lease payments as of the inception
date.
Page 82
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
46
IV. DETAILED NOTES ON ALL FUNDS (Continued)
The assets acquired through capital leases are as follows:
Governmental
Activities
Sanitation
Fund
Asset:
Vehicles, Machinery & Equipment $ 64,684 $ 545,886
Less: Accumulated Depreciation (37,733) (325,335)
Total $ 26,951 $ 220,551
The future minimum lease obligations and the net present value of these minimum lease
payments as of September 30, 2013, are as follows:
Year Ending
September 30,
Governmental
Activities
Sanitation
Fund
2014 $ 16,967 $ 103,371
2015 - 105,153
2016 - 81,350
2017 - 6,382
Total minimum lease payments 16,967 296,256
Less: amount representing interest (542) (14,744)
Present value of minimum lease payments $ 16,425 $ 281,513
Page 83
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
47
IV. DETAILED NOTES ON ALL FUNDS (Continued)
G. LONG-TERM DEBT
Certificates of Obligation Bonds & Revenue Bonds
The City issued certificates of obligation to provide funds for the acquisition and construction
of major capital facilities. Certificates of Obligation have been issued for both governmental
and proprietary activities. The amounts outstanding as of September 30, 2013 are as follows.
Description
Maturity
Date Rates
Amount
Outstanding
9/30/13
Governmental Activities
Series 2006 General Obligation Bonds 2/01/2018 3.75% $ 1,260,000
Series 2009 Certificates of Obligation 2/01/2029 4.0%-4.45% 4,355,000
Series 2012 Certificates of Obligation 2/01/2051 3.25% 2,500,000
Total Governmental Activities $ 8,115,000
Business Type Activities – Utility
Series 2005 Certificates of Obligation 2/01/2028 3.75%-4.5% $ 110,000
Series 2006 General Obligation Bonds 2/01/2020 3.75% 950,000
Series 2007 Certificates of Obligation 2/01/2023 4.375% 1,225,000
Series 2010 Certificates of Obligation 2/01/2025 2.0%-4.0% 1,055,000
Series 2013 General Obligation Refunding Bonds 2/01/2028 2.0%-3.5% 2,945,000
6,285,000
Business Type Activities – Sanitation
Series 2006 General Obligation Bonds 2/01/2020 3.75% 1,390,000
Series 2010 CO’s 2/01/2030 2.0%-4.0% 2,205,000
3,595,000
Business Type Activities – Airport
Series 2012 CO’s 2/01/2032 6.0% 1,700,000
Total Business Type Activities $ 11,580,000
Page 84
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
48
IV. DETAILED NOTES ON ALL FUNDS (Continued)
General Obligation Bonds
On May 28, 2013, the City of Uvalde issued $2,945,000 General Obligation Refunding Bonds
Series 2013 with an interest rate of 2.00%-3.50% and a final maturity date of February 1, 2028.
The bonds are being issued to refund a portion of the City’s currently outstanding Certificates
of Obligation Series 2005 and to pay certain costs of issuance relating to the bonds. As a
result, $3,040,000 of the Series 2005 CO’s are considered to be defeased and the liability has
been removed from the business type activities column on the statement of net position.
Although the advance refunding resulted in an accounting loss of $125,941 for the year ended
September 30, 2013, the City’s gross debt service savings was $430,810 with a net present
value savings of $371,161.
Annual debt service requirements to maturity for the Certificates of Obligation debt are as
follows:
Governmental Activities Business-Type Activities
Year Ending
September 30, Principal Interest Principal Interest
2014 $ 460,000 $ 317,614 $ 685,000 $ 475,050
2015 475,000 299,433 760,000 449,738
2016 500,000 280,214 790,000 422,350
2017 515,000 260,195 810,000 393,056
2018 540,000 239,153 840,000 362,613
2019 – 2023 1,520,000 982,789 4,090,000 1,299,041
2024 – 2028 1,880,000 617,093 2,715,000 570,608
2029 – 2033 665,000 307,920 890,000 89,000
2034 – 2038 345,000 243,688 - -
2039 – 2043 405,000 178,063 - -
2044 – 2048 480,000 100,625 - -
2049 – 2053 330,000 15,663 - -
TOTALS $ 8,115,000 $ 3,842,450 $ 11,580,000 $ 4,061,456
Page 85
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
49
IV. DETAILED NOTES ON ALL FUNDS (Continued)
Notes Payable
In prior years, the City secured 4 interest free capital and economic development notes from
the Texas Department of Housing and Community Affairs, due in monthly installments. The
City also entered into a finance contract on August 25, 2009 for the purpose of financing a
street sweeper. The amount financed by the City totalled $115,793 and is due in 4 equal
annual installments of $32,000 beginning February 15, 2010. The annual interest rate is
4.98%.
During the year, the City entered into a loan agreement with the Texas Department of
Agriculture for $710,231. This loan is an interest-free loan and the proceeds were used to
construct improvements at the City airport. The loan is payable in 240 monthly installments
maturing in September 2032.
Purpose Amount
Governmental Activities
$ 153,450
Business-Type Activities
736,687
Total
$ 890,137
The following are annual principal payments due:
Year Ending
September 30,
Amount
2014 $ 97,898
2015 80,604
2016 75,026
2017 75,026
2018 70,351
2019 – 2023 180,000
2024 – 2028 180,000
2029 – 2033 131,232
$ 890,137
Page 86
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
50
IV. DETAILED NOTES ON ALL FUNDS (Continued)
H. CHANGES IN LONG-TERM DEBT
Changes in Long-Term
Debt
Beginning
Balance Additions Reductions
Ending
Balance
Due Within
One Year
Governmental Activities
Bonds and Certificates of
Obligation Payable $ 8,500,000 $ 115,000 $ (500,000) $ 8,115,000 $ 460,000
Bond Issuance Cost (Net of
unamortized discount) 270,048 - (39,889) 230,159 -
Loan Payable 231,739 - (78,289) 153,450 47,872
Capital Leases 32,325 - (15,900) 16,425 16,425
Compensated Absences 60,656 59,258 (64,725) 55,189 55,189
9,094,768 174,258 (698,803) 8,570,223 579,486
Business-Type Activities
Bonds and Certificates of
Obligation Payable 12,845,000 2,945,000 (4,210,000) 11,580,000 685,000
Bond Issuance Cost (Net of
unamortized discount) (729,599) (72,454) 146,821 (655,232) -
Bonds Premium 106,128 229,451 (12,465) 323,114 -
Loan Payable 84,785 710,231 (58,329) 736,687 50,026
Capital Leases 376,994 - (95,481) 281,513 95,163
Accrued Post-Closure 2,077,725 - (110,020) 1,967,705 -
Compensated Absences 21,078 57,856 (45,717) 33,217 33,217
14,782,111 3,870,084 (4,385,192) 14,267,003 863,406
Grand Total $ 23,876,879 $ 4,044,342 $ (5,083,995) $ 22,837,226 $ 1,442,892
Page 87
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
51
V. OTHER INFORMATION
A. COMMITMENTS AND CONTINGENCIES
State and Federal Programs
Amounts received or receivable from grant agencies are subject to audit and adjustment by
grantor agencies. Any disallowed claims, including amounts already collected, may constitute
a liability of the applicable funds. In the opinion of the City, there are no significant contingent
liabilities relating to compliance with the rules and regulations governing the respective grants;
therefore, no provision has been recorded in the accompanying financial statements for such
contingencies.
Legal Proceedings
From time to time, the City is a defendant in legal proceedings relating to its operations as a
City. In the best judgment of the City’s management, the outcome of any present legal
proceedings will not have any material adverse effect on the financial condition of the City.
Accordingly, no provision for losses has been recorded in the accompanying financial
statements for such contingencies.
Construction commitments
At September 30, 2013, the outstanding commitments under construction contracts were
$269,973.
B. RISK MANAGEMENT
The City is exposed to various risks of loss related to torts; theft of, damage to and destruction
of assets; errors and omissions; and natural disasters for which the City carries commerical
insurance. The City has not had any significant reductions in insurance coverage from
coverage in the prior year, and there were no settlements exceeding insurance coverage for
each of the past three fiscal years.
Page 88
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
52
V. OTHER INFORMATION (Continued)
C. PENSION PLAN
Plan Description
The City provides pension benefits for all of its eligible full-time employees through a non-
traditional, joint contributory, hybrid defined benefit plan in the state-wide Texas Municipal
Retirement System (TMRS), an agent multiple-employer public employee retriement system.
The plan provisions that have been adopted by the City are within the options available in the
governing state statutes of TMRS.
TMRS issues a publicly available comprehensive annual financial report that includes financial
statements and required supplementary information (RSI) for TMRS; the report also provides
detailed explanations of the contributions, benefits and actuarial methods and assumptions used
by the System. This report may be obtained by writing to TMRS, P.O. Box 149153, Austin,
TX 78714-9153 or by calling 800-924-8677; in addition, the report is available on TMRS’
website at www.TMRS.com.
The plan provisions are adopted by the governing body of the City, within the options available
in the state statutes governing TMRS. Plan provisions for the City were as follows:
Plan Year 2012 Plan Year 2013
Employee deposit rate 5.0% 5.0%
Matching ratio (city to employee) 1.5 to 1 1.5 to 1
Years required for vesting 5 5
Service retirement eligibility (expressed as
age / years of service)
60/5,0/20
60/5,0/20
Updated Service Credit
100% Repeating,
Transfers
100% Repeating,
Transfers
Annuity Increase (to retirees) 70% of CPI Repeating 70% of CPI Repeating
Page 89
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
53
V. OTHER INFORMATION (Continued)
Contributions
Under the state law governing TMRS, the contribution rate for each city is determined annually
by the actuary, using the Projected Unit Credit actuarial cost method. This rate consists of the
normal cost contribution rate and the prior service cost contribution rate, which is calculated to
be a level percent of payroll from year to year. The normal cost contribution rate finances the
portion of an active member’s projected benefit allocated annually; the prior service
contribution rate amortizes the unfunded (overfunded) actuarial liability (asset) over the
applicable period for that city. Both the normal cost and prior service contribution rates
include recognition of the projeted impact of annually repearting benefits, such as Updated
Service Credits and Annuity Increases.
The City contributes to the TMRS Plan at an actuarially determined rate. Both the employees
and the City make contributions monthly. Since the City needs to know its contribution rate in
advance for budgetary purposes, there is a one-year delay between the actuarial valuation that
serves as the basis for the rate and the calendar year when the rate goes into effect. The annual
pension cost and net pension obligation/(asset) are as follows:
(Continued)
Page 90
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
54
V. OTHER INFORMATION (Continued)
Schedule of Actuarial Liabilities and Funding Progress
Actuarial Valuation Date 12/31/2012
Actuarial Cost Method Projected Unit Cost
Amortization Method Level Percent of Payroll
Inflation Rate 3.0%
Investment Rate at Return 7.0%
Projected Salary Increase Varies by Aged Service
Single Amortization Period 26.9 years; Closed Period
Asset Valuation Method 10 years smoothed Market
Actuarial Value of Assets $ 10,998,872
Actuarial Accrued Liability $ 12,326,274
Percentage Funded 89.2%
Unfunded (Over-Funded) Actuarial Accrued Liability (UAAL) $ 1,327,402
Annual Covered Payroll $ 5,005,199
UAAL as a Percentage of Covered Payroll 26.5%
Net Pension Obligation (NPO) at the Beginning of Period -
Annual Pension Cost:
Annual Required Contribution (ARC) $ 352,863
Interest on NPO -
Adjustment to ARC -
Contributions Made $ 352,863
Increase in NPO -
NPO at the End of the Period -
Trend Information for the Retirement Plan for the Employees of the City of Uvalde, Texas.
Accounting
Year
Ending
Annual
Pension
Cost (APC)
Percentage
of APC
Contributed
Net
Pension
Obligation
9/30/2010 $ 227,042 100% $ -
9/30/2011 $ 245,971 100% $ -
9/30/2012 $ 352,863 100% $ -
Page 91
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
55
V. OTHER INFORMATION (Continued)
The required schedule of funding progress immediately following the notes to the financial
statements presents multiyear trend information about whether the actuarial value of plan
assets is increasing or decreasing over time relative to the actuarial accrued liability for
benefits.
D. SUPPLEMENTAL DEATH BENEFITS FUND
TMRS also administers and the City participates in a cost sharing multiple-employer defined
benefit group term life insurance plan known as the Supplemental Death Benefits Fund
(SDBF). This ia a voluntary program in which participating municipalities may elect, by
ordinance, to provide group-term life insurance coverage (“supplemental death benefits”) for
their active members and/or retirees. 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. This is a separate trust administred by the TMRS Board of
Trustees. TMRS issues a publicly available Comprehensive Annual Financial Report (CAFR)
that includes financial and supplementary information for the SDBF. That report may be
obtained from the TMRS website at www.tmrs.com.
Benefits
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 the12-
month period preceding the month of death). The death benfit for retirees is considered a
postemployment benefit other than pension (OPEB or other postemployment benefit) and is a
fixed amount of $7,500.
Contributions
The City contributes to the 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 term life
insurance during employees’ entire careers.
Page 92
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
56
V. OTHER INFORMATION (Continued)
TMRS records indicate the following amounts being contributed by the City of Uvalde as
employer contributions for the following fiscal years ending:
Accounting
Year
Ending
Supplemental
Death
Benefits
9/30/2010 $ 17,543
9/30/2011 $ 9,576
9/30/2012 $ 9,260
E. MUNICIPAL SOLID WASTE LANDFILL
GASB Statement No. 18, Accounting for Municipal Solid Waste Landfill (MSWLF) Closure
and Post Care Costs, applies to any state or local governmental unit that includes a MSWLF in
its financial reporting entity and that is required by local, state, or federal laws or regulations to
incur closure or post closure care costs. The Statement was issued primarily as a result of the
EPA RULE, Solid Waste Disposal Facility Criteria, which established closure or capping
requirements for all MSWLF's that receive waste after October 9, 1991. The rule also
established 30-year post closure care requirements for MSWLF's that accepted solid waste
after October 9, 1993. Owners and operators are obligated to perform certain closing and post
closure monitoring and maintenance functions as a condition for the right to operate in the
current period. For example, when a landfill stops accepting waste (i.e., closure), it must be
covered to keep liquid away from the buried waste; and once the landfill is closed (i.e., post
closure), the owner is responsible during the next 30 years for maintaining the final cover,
monitor groundwater and methane gas, and managing leachate.
The City has reported $1,967,705 as landfill closure and post closure care liability at
September 30, 2013. This represents the cumulative amount reported to date based on the use
of 49% of the estimated capacity of the landfill. The City will recognize the remaining
estimated closure and post closure costs of $2,054,590 as the remaining estimated capacity is
filled.
Actual cost may be higher due to inflation, changes in technology, or changes in laws and
regulations. The City used 1.5% of the landfill's capacity in the current year. The landfill's
approximate remaining life is 14.0 years. The City meets the financial assurance requirements
for closure and post closure by maintaining a bond rating of BAA issued by Standard & Poor's.
Page 93
CITY OF UVALDE
Uvalde, Texas
NOTES TO FINANCIAL STATEMENTS
September 30, 2013
57
VI PRIOR PERIOD ADJUSTMENTS
Prior period adjustments were as follows:
Governmental
Activities
Business-Type
Activities
Reflect transfer of expenditures from Water Conservation
Special Revenue fund to Utility Fund. $ 51,497 $ (51,497)
Reflect General Fund Activity in the Local Border
Security Program. 9,337 -
Reflect revenues earned in the prior year in the Utility Fund. - 496,437
Reflect revenues earned in the prior year in the Sanitation
Fund. - 171,300
$ (54,359) $ 731,433
VII. SUBSEQUENT EVENTS
In October, 2013 the City issued ‘City of Uvalde, Texas Tax Notes, Series 2013’ in the aggregate
principal amount of $ 895,000. The Tax Notes are to finance the costs of paying contractual
obligations to be incurred for (1) renovating, equipping and improving the existing Issuer-owned
Opera House; (2) renovating, equipping, asbestos removal, and improving the existing City Hall;
(3) constructing, renovating, equipping and improving the existing City Parks and recreational
facilities, including the construction of a new skate park and municipal swimming pool
improvements; (4) purchasing public safety vehicles and renovating, equipping, improving, and
enlarging existing Public Safety Building office space; (5) purchasing equipment and vehicles for
various City departments; and (6) the payment of professional services related to the design,
construction, landscaping, and financing of the aforementioned projects. The Tax Notes mature in
2015 at an interest rate of 0.750%.
Page 94
REQUIRED SUPPLEMENTARY INFORMATION
Page 95
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL - (GAAP Budgetary Basis) - GENERAL FUND
FOR THE YEAR ENDED SEPTEMBER 30, 2013
Variance With
Budgeted Amounts Final Budget -
Actual Over
Original Final Amounts (Under)
REVENUES
Taxes - Property 2,271,000$ 2,255,250$ 2,270,124$ 14,874$
Taxes - Sales 2,600,000 2,663,950 2,663,942 (8)
Taxes - Franchise 637,000 626,385 626,392 7
Taxes - Other 15,000 17,140 17,140 -
Licenses and Permits 69,600 74,090 77,677 3,587
Intergovernmental 15,000 15,000 14,600 (400)
Charges for Services 565,850 598,850 628,685 29,835
Fines and Forfeitures 215,000 196,500 200,622 4,122
Interest 20,000 26,775 29,744 2,969
Miscellaneous Revenues 165,005 284,098 298,307 14,209
Total Revenues 6,573,455 6,758,038 6,827,234 69,196
EXPENDITURES
Current Expenditures
City Council/Mayor 15,100 11,900 11,998 (98)
General Government 686,260 723,673 694,468 29,205
Permits 186,415 187,615 177,917 9,698
Non-Departmental 779,541 759,166 736,320 22,846
Police Department/Animal Control 3,082,274 3,054,079 3,020,872 33,207
Fire Department 381,560 416,765 409,419 7,346
Municipal Court 114,850 154,850 143,535 11,315
Code Enforcement 237,210 208,210 189,990 18,220
Streets 1,189,233 1,120,713 1,073,002 47,711
Culture and Recreation
Parks 547,115 584,997 517,170 67,827
Golf 621,995 646,055 610,275 35,780
Swimming Pool 143,500 136,000 126,986 9,014
Opera House/Main Street Program 186,395 155,664 134,593 21,071
Civic Center 116,889 127,889 109,051 18,838
Public Facilities
Cemeteries 157,150 170,665 162,524 8,141
Debt Service
Principal Retirement 78,290 78,290 78,289 1
Interest and Fiscal Chargers 1,383 1,583 5,572 (3,989)
Total Expenditures 8,525,160 8,538,114 8,201,982 336,132
Excess/(Deficiency) of Revenues Over/(Under) Expenditures (1,951,705) (1,780,076) (1,374,749) 405,328
OTHER FINANCING SOURCES/(USES)
Sale of Assets 5,000 2,115 - (2,115)
Operating Transfers In 1,979,000 2,044,800 2,044,800 -
Operating Transfers Out - (201,990) (201,990) -
Total Other Financing Sources (Uses) 1,984,000 2,046,915 1,842,810 (2,115)
Net Changes in Fund Balances 32,295 266,840 468,061 403,213
Fund Balances - Beginning 1,878,724 1,823,659 2,254,960 431,301
Fund Balances - Ending 1,911,019$ 2,090,499$ 2,723,021$ 632,523$
58
Page 96
CITY OF UVALDE
Uvalde, Texas
Schedule of Funding Progress
Texas Municipal Retirement System
September 30, 2013
ANALYSIS OF FUNDING PROGRESS
Actuarial Unfunded Annual UAAL as a
Actuarial Actuarial Accrued Liability Funded AAL Covered Percentage
Valuation Value of Assets (AAL) Ratio (UAAL) Payroll of PayrollDate (a) (b) (a/b) (b-a) (c) ((b-a)/c)
12/31/10 9,767,471$ 11,651,641$ 83.8% 1,884,170$ 4,700,657$ 40.1%
12/31/11 10,340,208$ 12,090,312$ 85.5% 1,750,104$ 4,880,365$ 35.9%
12/31/12 10,998,872$ 12,326,274$ 89.2% 1,327,402$ 5,005,199$ 26.5%
Historical trend information about the Texas Municipal Retirement System (TMRS), an agent multiple-employer defined
benefit pension plan, is presented as supplementary information. It is intended to help users assess the plan’s funding status
on an on-going basis, assess progress made in accumulating assets to pay benefits when due, and make comparisons with
other comparable retirement systems
59
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NON-MAJOR GOVERNMENTAL FUND STATEMENTS,
BUDGET SCHEDULES, AND CAPITAL ASSET SCHEDULES
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Page 100
COMBINING STATEMENTS OF NON-MAJOR
GOVERNMENTAL FUNDS
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Page 102
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.
Hotel/Motel Tax Fund Accounts for the accumulation of resources from the Hotel/Motel Tax
Assessment levied by the City. These monies are to be spent to promote the
progress, development or growth of the City within the guidelines set forth on
disposition or revenues collected under the authority of the Texas Hotel
Occupancy Tax Act.
Police Forfeiture Fund Accounts for local confiscated funds adjudicated to the City. These funds are
limited to law enforcement purposes.
Federal Forfeiture Fund Accounts for federal confiscated funds adjudicated to the City. These funds are
limited to law enforcement purposes.
Water Conservation Fund Accounts for reimbursements received on Edwards Aquifer Authority
management fees that are designated by Mayor and Council for conservation
projects.
Municipal Court
Technology Fund Accounts for proceeds and expenditures relating to a Municipal Court fee charge
assessed to defendants upon conviction of a misdemeanor offense as allowed
under Article 102.0172 of the Texas Code of Criminal Procedure.
Municipal Court
Bldg Security Fund Accounts for proceeds and expenditures relating to a Municipal Court Building
Security fee charge assessed to defendants upon conviction of a misdemeanor
offense as allowed under Article 102.0172 of the Texas Code of Criminal
Procedure.
Joint Drug
Enforcement Grant Accounts for proceeds and expenditures related to a grant from the Drug
Enforcement administration to purchase equipment and pay overtime to interdict
drugs.
Local Border Security Program Accounts for the proceeds from the Texas Department of Public Safety (Texas
Rangers Division) to pay for overtime salaries and surveillance monitoring for
police officers.
Cable Franchise Program Accounts for franchise tax fees collected under Senate Bill 1087. Resources will
be used for allowable expenditures.
Page 103
Permanent Funds
Permanent Funds are used to report resources that are legally restricted to the extent that only earnings, not principal,
may be used for purposes that support the reporting government’s programs.
Uvalde Cemetery Accounts for Endowment Care proceeds from the sales of Old Uvalde cemetery lots.
Earnings may be used for maintenance and improvements of cemetery.
Hillcrest Cemetery Accounts for Endowment Care proceeds from the sales of Hillcrest cemetery lots.
Earnings may be used for maintenance and improvements of cemetery.
Municipal Parks Accounts for an endowment for City parks. Earnings may be used for maintenance
and improvements of city parks.
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Page 105
CITY OF UVALDECOMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDSSEPTEMBER 30, 2013
MotelTaxFund Fund
ForfeiturePolice
FundForfeiture
Federal
FundConservation
Water
ASSETS
12,053 74,234 - - $ $ $ $Cash and Cash Equivalents
- - - - Investments - Current
- 36 - - Receivables (Net)
- - - - Intergovernmental Receivables
Total Assets 74,270 12,053 - - $ $ $ $
LIABILITIES
- 22 - - $ $ $ $Accounts Payable
- - - - Due to Other Funds
Total Liabilities 22 - - -
FUND BALANCES
Nonspendable Fund Balance: - - - - Endowment Principal
Assigned Fund Balance:12,053 74,248 - - Other Assigned Fund Balance
Total Fund Balances 74,248 12,053 - -
Total Liabilities and Fund Balances 74,270 12,053 - - $ $ $ $
The notes to the financial statements are an integral part of this statement.
60
Page 106
CourtTechnology
FundSecurityCourt
GrantEnforcementJoint Drug
ProgramSecurity
Local Border CableFranchise
Fund
NonmajorSpecial
Revenue Funds
PermanentHillcrest
Trust
PermanentCemetary
Trust
Total
Fund
27,108- 146,55815,821 17,342 - 34,883 796$ $ $ $ $ $ $ $-- -- - - 507,834 473,566-- 36- - - - --- 1,986- - 1,986 - -
15,821 17,342 1,986 - 27,108 148,580 542,717 474,362$ $ $ $ $ $ $ $
-- 22- - - - 4,337$ $ $ $ $ $ $ $-6,801 9,119- - 2,318 - -
- - 2,318 6,801 - 9,141 - 4,337
-- -- - - 542,717 470,025
27,108(6,801) 139,43915,821 17,342 (332) - -
15,821 17,342 (332) (6,801) 27,108 139,439 542,717 470,025
15,821 17,342 1,986 - 27,108 148,580 542,717 474,362$ $ $ $ $ $ $ $
61
Page 107
CITY OF UVALDECOMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDSSEPTEMBER 30, 2013
PermanentMuni. Parks
Trust FundsGovernmental
NonmajorTotal
ASSETS
182,237-Cash and Cash Equivalents $ $1,004,83723,437Investments - Current
36-Receivables (Net)1,986-Intergovernmental Receivables
Total Assets 23,437 1,189,096$ $
LIABILITIES
4,359-Accounts Payable $ $9,119-Due to Other Funds
Total Liabilities - 13,478
FUND BALANCES
Nonspendable Fund Balance:1,036,17923,437 Endowment Principal
Assigned Fund Balance:139,439- Other Assigned Fund Balance
Total Fund Balances 23,437 1,175,618
Total Liabilities and Fund Balances 23,437 1,189,096$ $
The notes to the financial statements are an integral part of this statement.
62
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CITY OF UVALDECOMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - NONMAJOR GOVERNMENTAL FUNDSFOR THE YEAR ENDED SEPTEMBER 30, 2013
MotelTaxFund Fund
ForfeiturePolice
FundForfeiture
Federal
FundConservation
Water
REVENUES:Taxes:
-- - -Franchise Tax $ $ $ $-488,675 - -Other Taxes-- - -Intergovernmental Revenue and Grants-- - -Fines
124- - -Investment Earnings7,630- - -Other Revenue
Total Revenues 488,675 7,754 - -
EXPENDITURES:Current:
-- - -General Government5,063- - -Public Safety
-418,908 - -Culture and Recreation Total Expenditures 418,908 5,063 - -
Excess (Deficiency) of Revenues Over (Under) Expenditures
2,69169,767 - -
OTHER FINANCING SOURCES (USES): 9,362- - -Transfers In
(8,292)(69,800) (1,070) -Transfers Out (Use) Total Other Financing Sources (Uses) (69,800) 1,070 (1,070) -
Net Change in Fund Balance (33) 3,761 (1,070) -
Fund Balance - October 1 (Beginning) 74,281 8,292 1,070 63,696Prior Period Adjustment -
Fund Balance - September 30 (Ending)
- - (63,696)
$ 74,248 $ 12,053 $ - $ -
The notes to the financial statements are an integral part of this statement.
63
Page 110
CourtTechnology
Fund FundSecurityCourt
GrantEnforcementJoint Drug
ProgramSecurity
Local Border PermanentHillcrest
Trust
PermanentCemetary
Trust
TotalNonmajor
SpecialRevenue Funds
CableFranchise
Fund
-- - - --15,92415,924$ $ $ $ $ $ $ $-- - - --488,675--- - 30,788 --30,788-
4,4282,360 - - --6,788--- - - 481567124--- - - --7,630-
2,360 4,428 - 30,788 481567549,92915,924
-- - - --5,0255,0251,100406 332 37,589 --44,490-
-- - - 2,850-418,908-406 1,100 332 37,589 2,850-468,4235,025
1,954 3,328 (332) (6,801) 10,899 81,506 567 (2,369)
-- - - --9,362--- - - --(79,162)-
- - - - --(69,800)-
1,954 3,328 (332) (6,801) 10,899 11,706 567 (2,369)
13,867 14,014 - - 16,209 191,429 542,150 472,394- - - - - (63,696) - -
$ 15,821 $ 17,342 $ (332) $ (6,801) $ 27,108 $ 139,439 $ 542,717 $ 470,025
64
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CITY OF UVALDECOMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - NONMAJOR GOVERNMENTAL FUNDSFOR THE YEAR ENDED SEPTEMBER 30, 2013
PermanentMuni. Parks
Trust FundsGovernmental
NonmajorTotal
REVENUES:Taxes:
15,924-Franchise Tax $ $488,675-Other Taxes30,788-Intergovernmental Revenue and Grants6,788-Fines1,19119Investment Earnings7,630-Other Revenue
Total Revenues 19 550,996
EXPENDITURES:Current:
5,025-General Government44,490-Public Safety
421,758-Culture and Recreation Total Expenditures - 471,273
Excess (Deficiency) of Revenues Over (Under) Expenditures
79,72319
OTHER FINANCING SOURCES (USES): 9,362-Transfers In
(79,162)-Transfers Out (Use) Total Other Financing Sources (Uses) - (69,800)
Net Change in Fund Balance 19 9,923
Fund Balance - October 1 (Beginning) 23,418 1,229,391Prior Period Adjustment -
Fund Balance - September 30 (Ending)
(63,696)
$ 23,437 $ 1,175,618
The notes to the financial statements are an integral part of this statement.
65
Page 112
CITY OF UVALDECOMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
ALL AGENCY FUNDSFOR THE YEAR ENDED SEPTEMBER 30, 2013
BALANCEOCTOBER 1
2012 ADDITIONS
DEDUCTIONS
2013SEPTEMBER 30
BALANCE
POLICE HOLDING TRUST FUNDAssets:
9,25415,371 8,000Cash and Cash Equivalents 16,625$ $ $ $
Liabilities:9,25415,371 8,000Due to Others 16,625$ $ $ $
TOTAL AGENCY FUNDSAssets:
9,25415,371 8,000Cash and Cash Equivalents 16,625$ $ $ $
Liabilities:9,25415,371 8,000Due to Others 16,625$ $ $ $
The notes to the financial statements are an integral part of this statement.
66
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Page 114
Statements of Revenues, Expenditures, and Changes in Fund Balance
– Budget and Actual
Page 115
CITY OF UVALDE
HOTEL/MOTEL TAX
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL - (GAAP Budgetary Basis)
FOR THE YEAR ENDED SEPTEMBER 30, 2013
Variance with
Budgeted Amounts Final Budget -
Actual Over
Original Final Amounts (Under)
REVENUES
Taxes
Interest 500$ 500$ -$ (500)$
Occupancy Tax 379,000 500,000 488,675 (11,325)
Total Revenues 379,500 500,500 488,675 (11,825)
EXPENDITURES
Current Expenditures
Culture and Recreation 325,000 428,500 418,908 9,592
TOTAL EXPENDITURES 325,000 428,500 418,908 9,592
OTHER FINANCING SOURCES/(USES)
Transfers Out (54,000) (71,500) (69,800) (1,700)
Total Other Financing Sources (Uses) (54,000) (71,500) (69,800) (1,700)
Net Changes in Fund Balances 500 500 (33) 533
Fund Balances - Beginning 74,281 74,281 74,281 -
Fund Balances - Ending 74,781$ 74,781$ 74,248$ (533)$
67
Page 116
CITY OF UVALDE
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE
BUDGET TO ACTUAL - (GAAP Budgetary Basis)
FOR THE YEAR ENDED SEPTEMBER 30, 2013
Variance with
Budgeted Amounts Final Budget -
Actual Over
Original Final Amounts (Under)
REVENUES
Taxes -$
Interest Earnings 500$ 80$ 124$ 44$
Miscellaneous - - 1,311 1,311$
Forfeitures 7,500 6,315 6,319 4
Total Revenues 8,000 6,395 7,754 1,359
EXPENDITURES
Public Safety 7,000 - 5,063 (5,063)
Total Expenditures 7,000 - 5,063 (5,063)
OTHER FINANCING SOURCES (USES)
Transfers In - 9,350 9,362 (12)
Transfers Out - (8,275) (8,292) 17
Total Other Financing Sources (Uses) - 1,075 1,070 5
Net Changes in Fund Balances 1,000 7,470 3,761 (3,699)
Fund Balances - Beginning 8,292 8,292 8,292 -
Fund Balances - Ending 9,292$ 15,762$ 12,053$ (3,709)$
POLICE FORFEITURE FUND
68
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CITY OF UVALDE
DEBT SERVICE
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL - (GAAP Budgetary Basis)
FOR THE YEAR ENDED SEPTEMBER 30, 2013
Variance with
Budgeted Amounts Final Budget -
Actual Over
Original Final Amounts (Under)
REVENUES
Taxes - Property 875,000$ 983,550$ 1,000,095$ 16,545$
Interest 3,500 8,500 11,315 2,815
Total Revenues 878,500 992,050 1,011,410 19,360
EXPENDITURES
Debt Service
Principal Retirement 500,000 500,800 500,000 800
Interest 248,820 281,067 324,348 (43,281)
Miscellaneous - - 800 (800)
Total 748,820 781,867 825,148 43,281
OTHER FINANCING SOURCES/(USES)
Transfers In - - - -
Transfers Out - - - -
Total Other Financing Sources (Uses) - - - -
Net Changes in Fund Balances 129,680 210,183 186,262 (23,921)
Fund Balances - Beginning 870,402 870,402 870,402 -
Fund Balances - Ending 1,000,082$ 1,080,585$ 1,056,664$ (23,921)$
69
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Capital Assets Used in the Operation of Governmental Funds
Page 119
CITY OF UVALDE
CAPITAL ASSETS USED IN THE OPERATION OF GOVERNMENTAL FUNDS
COMPARATIVE SCHEDULES BY SOURCE
SEPTEMBER 30, 2013 and 2012
2013 2012
Governmental Funds Capital Assets
Land 884,245$ 884,245$
Buildings 4,869,910 4,869,910
Improvements other than Buildings 8,612,549 3,964,091
Machinery and Equipment 4,191,688 4,101,059
Construction in Progress 801,914 4,500,061
Infrastructure 10,673,970 10,673,970
Total Governmental Funds Capital Assets 30,034,276 28,993,336
Investments in Governmental Funds Capital Assets by Source
General Fund 9,877,879 5,100,011
Capital Projects Funds (Bonds) 14,236,170 17,973,098
Grants 5,920,227 5,920,227
Total Governmental Funds Capital Assets 30,034,276$ 28,993,336$
70
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CITY OF UVALDE
CAPITAL ASSETS USED IN THE OPERATION OF GOVERNMENTAL FUNDS
SCHEDULE BY FUNCTION AND ACTIVITY
SEPTEMBER 30, 2013
Construction Improvements Machinery
in Other Than and
Land Progress Buildings Buildings Equipment Infrastructure Total
Function and Activity
General Administration
City Council/Mayor -$ -$ -$ -$ 19,540$ -$ 19,540$
City Hall - - 12,218 184,880 20,386 - 217,484
General Government 151,010 - 2,961,390 67,441 394,744 - 3,574,585
General Services - - - - 10,621 - 10,621
Economic Development - - - 9,000 - - 9,000
Permits - - - - - - -
Public Safety
Police Department/Animal Control - - 254,676 27,871 1,449,535 - 1,732,082
Fire Department 25,483 - 64,064 98,829 855,452 - 1,043,828
Code Enforcement - - - - 44,045 - 44,045
Municipal Court - - - - 8,189 - 8,189
Public Works
Streets 578,328 - 22,366 988,877 844,583 10,673,970 13,108,125
Culture and Recreation
Parks 27,999 164,204 - 1,474,799 171,335 - 1,838,336
Golf 81,425 - 213,304 881,920 284,057 - 1,460,706
Swimming Pool - - 15,000 70,000 - - 85,000
Opera House 20,000 - 863,119 94,551 17,502 - 995,172
Museum - - - - - - -
Civic Center - 637,710 463,773 4,702,565 33,629 - 5,837,677
Public Facilities
Cemeteries - - - 11,817 38,069 - 49,886
884,245$ 801,914$ 4,869,910$ 8,612,549$ 4,191,688$ 10,673,970$ 30,034,276$
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CITY OF UVALDE
CAPITAL ASSETS USED IN THE OPERATION OF GOVERNMENTAL FUNDS
SCHEDULE OF CHANGES BY FUNCTION AND ACTIVITY
SEPTEMBER 30, 2013
October 1, 2012 Additions Deductions September 30, 2013
Function and Activity
General Administration
City Council/Mayor 19,540$ -$ -$ 19,540$
City Hall 217,484 - - 217,484
General Government 3,605,060 - - 3,605,060
General Services 10,621 - - 10,621
Economic Development 9,000 - - 9,000
Permits - - - -
Public Safety
Police Department/Animal Control 1,763,782 7,081 38,781 1,732,082
Fire Department 1,043,828 - - 1,043,828
Code Enforcement 27,694 - - 27,694
Municipal Court 8,189 - - 8,189
Public Works
Streets 13,025,944 79,308 - 13,105,252
Culture and Recreation
Parks 1,764,516 62,571 - 1,827,087
Golf 1,460,706 - - 1,460,706
Swimming Pool 85,000 - - 85,000
Opera House 995,170 - - 995,170
Museum - - - -
Civic Center 4,914,768 5,543,966 4,621,057 5,837,677
Public Facilities
Cemeteries 42,034 7,852 - 49,886
28,993,336$ 5,700,778$ 4,659,838$ 30,034,276$
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STATISTICAL SECTION
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CITY OF UVALDE, TEXAS
Statistical Section Overview
The statistical section is organized in five sections:
Financial Trends Compiles information reported in the Comprehensive Annual
Financial Report over the past ten years. Information for
Government Wide statements are only available back to 2004
when the City implemented GASB 34 reporting. These
schedules report how the City’s financial position has changed
over time.
Revenue Capacity Information Provides information regarding the City’s major own-source
revenue (property taxes) and the stability/growth of that revenue.
Debt Capacity Information Provides information on the City’s outstanding debt, the City’s
ability to repay the debt, and its ability to issue additional debt if
needed.
Demographic and Economic
Information Provides information regarding the City’s socioeconomic
environment; specifically, its taxpayers, employers, and the changes
to those groups over the past ten y ears if possible.
Operating Information Provides information on the City’s employees, operations of the
City, and facilities.
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Financial Trend Information
Page 127
CITY OF UVALDE
Uvalde, Texas
Statistical Data
Net Position by Component
Last Ten Fiscal Years
(accrual basis of accounting)
(unaudited )
2004 2005 2006 2007
Governmental Activities
Net Investment in Capital Assets 5,096,148$ 5,253,423$ 5,210,655$ 5,410,988$
Restricted for Debt Service 515,752 599,400 839,983 473,084
Restricted for Construction - - - -
Restricted for Permanent Trust - - - -
Restricted for Federal Programs - - - -
Restricted for Endownment - - - -
Unrestricted 1,026,657 1,353,607 1,976,086 2,321,907
Total Governmental Activities Net Position 6,638,557$ 7,206,430$ 8,026,724$ 8,205,979$
Business-type Activities
Invested in Capital Assets, Net of Related Debt 3,765,095$ 2,545,117$ 3,101,322$ 5,140,096$
Restricted for Debt Service - 3,740,406 1,274,355 2,993,153
Unrestricted 839,129 (1,933,529) 1,786,099 (404,923)
Total Business-type Activities Net Position 4,604,224$ 4,351,994$ 6,161,776$ 7,728,326$
Primary Government
Net Investment in Capital Assets 8,861,243$ 7,798,540$ 8,311,977$ 10,551,084$
Restricted for Debt Service 515,752 4,339,806 2,114,338 3,466,237
Restricted for Permanent Trust - - - -
Restricted for Federal Programs - - - -
Restricted for Construction - - - -
Restricted for Endownment - - - -
Unrestricted 1,865,786 (579,922) 3,762,185 1,916,984
Total Primary Government Net Position 11,242,781$ 11,558,424$ 14,188,500$ 15,934,305$
73
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Uvalde, Texas
Fiscal Year
2008 2009 2010 2011 2012 2013
5,536,671$ 5,769,325$ 3,184,285$ 7,132,929$ 7,681,162$ 7,918,932$
630,934 439,431 877,838 789,620 870,402 1,056,664
- 17,254 4,110,648 2,496,589 210,812 144,055
- - 1,011,003 - - -
- - - 4,190 4,190 -
- - - - - 1,036,179
2,089,742 3,921,819 2,850,642 1,893,215 3,776,199 3,417,101
8,257,347$ 10,147,829$ 12,034,416$ 12,316,543$ 12,542,765$ 13,572,931$
6,112,629$ 8,598,388$ 7,617,090$ 10,833,257$ 12,300,857$ 10,810,803$
2,006,137 1,131,129 1,649,691 1,839,634 1,676,281 1,268,769
1,129,549 (722,697) 604,739 203,785 (860,821) 2,962,921
9,248,315$ 9,006,820$ 9,871,520$ 12,876,676$ 13,116,317$ 15,042,493$
11,649,300$ 14,367,713$ 10,801,375$ 17,966,176$ 19,982,019$ 18,729,735$
2,637,071 1,570,560 2,527,529 789,620 2,546,683 2,325,433
- - 1,011,003 - - -
- - - 1,843,824 4,190 -
- 17,254 4,110,648 2,496,589 210,812 144,055
- - - - - 1,036,179
3,219,291 3,199,122 3,455,381 2,097,000 2,915,378 6,380,022
17,505,662$ 19,154,649$ 21,905,936$ 25,193,209$ 25,659,082$ 28,615,424$
74
Page 129
CITY OF UVALDE
Uvalde, Texas
Statistical Data
Changes in Net Position
Last Ten Fiscal Years
(accrual basis of accounting)
(unaudited)
2004 2005 2006 2007
Expenses
Governmental Activities
General Government 1,742,133$ 1,800,866$ 2,124,464$ 2,060,115$
Public Safety 2,325,152 2,211,513 2,520,787 2,975,175
Public Works 1,060,822 859,572 891,503 865,666
Culture and Recreation 1,327,029 1,319,880 1,275,257 1,423,751
Health and Welfare 105,291 111,773 93,344 85,585
Conservation and Development 96,807 96,396 111,779 110,147
Bond Interest, Fees & Issuance Costs - - - -
Capital Projects 212,293 33,940 - -
Interest and Fiscal Charges 233,329 178,397 209,285 260,520
Total Governmental Activities Expenses 7,102,856 6,612,337 7,226,419 7,780,959
Business-type activities
Utility Fund 3,576,938 4,210,601 4,433,235 4,129,355
Sanitation Fund 1,554,422 1,708,647 1,443,371 1,441,207
Airport Fund 198,299 251,962 183,954 180,799
Total Business-type Activities Expenses 5,329,659 6,171,210 6,060,560 5,751,361
Total Primary Government 12,432,515$ 12,783,547$ 13,286,979$ 13,532,320$
Program Revenues
Charges for Services
General Government 11,837$ 94,897$ 178,565$ 183,370$
Public Safety 152,605 204,931 117,924 136,007
Culture and Recreation 430,101 499,405 469,312 401,514
Health & Welfare 20,766 - 34,830 39,581
Public Works 44,574 64,267 56,105 63,828
Operating Grants - - - -
Total Government Activities Revenue 659,883 863,500 856,736 824,300
Business-type activities:
Charges for services:
Utility Fund 5,134,290 5,553,621 6,824,268 6,734,365
Sanitation Fund 1,606,093 1,670,890 1,753,341 1,869,457
Operating Grants and Contributions - - 218,589 -
Airport Fund 112,532 153,243 124,838 118,843
Capital Grants and Contributions - - - -
Total Business-type Activities Revenue 6,852,915 7,377,754 8,921,036 8,722,665
Total Primary Government Program Revenue 7,512,798$ 8,241,254$ 9,777,772$ 9,546,965$
(Continued)
75
Page 130
Fiscal Year
2008 2009 2010 2011 2012 2013
2,161,363$ 2,578,214$ 1,440,531$ 1,409,432$ 1,287,606$ 1,448,998$
3,298,628 3,357,436 3,676,508 4,097,088 4,024,670 4,094,734
952,164 1,017,133 1,184,235 1,169,339 1,282,871 1,503,894
1,345,928 1,495,755 1,838,118 1,799,114 1,966,105 2,335,706
89,384 92,530 183,765 143,491 155,816 64,250
92,020 - 15,537 - 14,093 -
- 84,494 357,028 322,107 284,400 281,966
- - - - - -
93,954 - - 1,200 1,200 800
8,033,441$ 8,625,562$ 8,695,722$ 8,941,771$ 9,016,761$ 9,730,348$
4,628,770 4,027,322 4,539,050 4,545,509 4,736,955 5,248,655
1,458,397 1,676,694 1,728,381 2,306,386 1,721,707 1,941,304
195,820 185,781 137,520 155,234 279,041 449,431
6,282,987 5,889,797 6,404,951 7,007,129 6,737,703 7,639,390
14,316,428$ 14,515,359$ 15,100,673$ 15,948,900$ 15,754,464$ 17,369,738$
188,921$ 254,352 263,620 146,585 146,238 144,144
522,208 260,079 231,949 309,617 361,778 344,146
348,533 359,885 324,217 328,351 334,491 370,278
47,954 39,660 30,328 33,361 - -
62,099 - - - 4,422 6,955
- - - 126,582 112,302 530,788
1,169,715 913,976 850,114 944,496 959,231 1,396,311
6,932,337 6,745,725 6,922,530 6,902,193 5,697,533 7,718,596
1,985,376 1,990,877 1,961,180 2,226,810 2,185,857 2,605,338
- - - - 1,286,188 21,927
110,818 - - - - -
- - 393,982 - - -
9,028,531 8,736,602 9,277,692 9,129,003 9,169,578 10,345,861
10,198,246$ 9,650,578$ 10,127,806$ 10,073,499$ 10,128,809$ 11,742,172$
76
Page 131
CITY OF UVALDE
Uvalde, Texas
Statistical Data
Changes in Net Position
Last Ten Fiscal Years
(accrual basis of accounting)
(unaudited)
2004 2005 2006 2007
Net (Expense)/Revenue
Governmental Activities (6,442,973)$ (5,748,837)$ (6,369,683)$ (6,956,659)$
Business-type Activities 1,523,256 1,206,544 2,860,476 2,971,304
Total Primary Government Net Expenses (4,919,717)$ (4,542,293)$ (3,509,207)$ (3,985,355)$
General Revenue and Other Changes in Net Position
Governmental Activities
Taxes
Property Taxes 1,897,059$ 2,085,176$ 2,247,756$ 2,247,756$
Sales Taxes 1,784,533 1,983,672 1,941,801 1,941,801
Franchise Taxes 551,552 752,019 623,213 623,213
Other Taxes 199,528 252,361 155,301 155,301
Penalty and Interest - - - -
Licenses and Permits - 40,515 45,705 45,705
Investment Earnings 14,462 56,614 77,156 77,156
Grants and Contribution - - - -
Gain on Sale of Capital Assets - - - -
Specific Programs 55,803 24,664 15,800 15,800
Miscellaneous 289,056 419,785 353,194 353,194
Transfers 1,524,717 1,675,988 1,675,988 1,675,988
Total Governmental Activities 6,316,710 7,290,794 7,135,914 7,135,914
Business-type Activities
Unrestricted Investment Earnings 48,191 253,474 267,409 267,409
Grants and Contributions 17,752 - - -
Miscellaneous - - 3,999 3,999
Sale of Capital Assets - - - -
Transfers (1,524,717) (1,675,988) (1,676,163) (1,676,163)
Total Business-type Activities (1,458,774) (1,422,514) (1,404,755) (1,404,755)
Total Primary Government 4,857,936$ 5,868,280$ 5,731,159$ 5,731,159$
Change in Net Position
Governmental Activities (126,263)$ 1,541,957$ 766,231$ 179,255$
Business-type Activities 64,482 (215,970) 1,455,721 1,566,549
Total Primary Government (61,781)$ 1,325,987$ 2,221,952$ 1,745,804$
77
Page 132
Fiscal Year
2008 2009 2010 2011 2012 2013
(6,863,726)$ (7,700,150)$ (7,680,888)$ (8,006,037)$ (8,057,530)$ (8,334,037)$
2,745,544 2,846,805 2,872,741 4,433,443 2,431,875 2,706,471
(4,118,182)$ (4,853,345)$ (4,808,147)$ (3,572,594)$ (5,625,655)$ (5,627,566)$
2,128,615$ 2,342,798$ 2,907,063 3,119,198 2,744,766 3,122,361
1,905,506 2,053,717 1,937,921 2,281,800 2,472,197 2,663,942
638,421 633,713 636,269 633,040 656,515 642,316
59,277 238,330 248,435 378,745 497,514 505,815
- 82,600 83,645 84,983 84,223 97,462
208,735 - - - - -
77,744 76,345 122,071 101,099 52,049 14,600
- 11,435 14,843 14,601 12,500 354,237
- 428,994 - 20,992 - -
122,378 - - - - -
35,636 292,762 176,146 250,782 337,501 42,828
1,738,781 3,429,937 2,377,521 1,588,852 1,375,000 1,975,000
6,915,093 9,590,631 8,503,914 8,474,092 8,232,265 9,418,561
179,581 82,695 18,225 24,299 38,540 27,018
- - - - - -
- 258,942 351,255 136,266 252,244 436,254
33,647 - - -
(1,738,783) (3,429,937) (2,377,521) (1,588,852) (1,375,000) (1,975,000)
(1,525,555) (3,088,300) (2,008,041) (1,428,287) (1,084,216) (1,511,728)
5,389,538$ 6,502,331$ 6,495,873$ 7,045,805$ 7,148,049$ 7,906,833$
51,367$ 1,890,481$ 823,026 468,055$ 174,735$ 1,084,524$
1,219,989 (241,495) 864,700 3,005,156 1,347,659 1,194,743
1,271,356$ 1,648,986$ 1,687,726$ 3,473,211$ 1,522,394$ 2,279,267$
78
Page 133
CITY OF UVALDE
Uvalde, Texas
Statistical Data
Fund Balances
of Governmental Funds
Last Ten Fiscal Years
(modified accrual basis of accounting)
(unaudited)
2004 2005 2006 2007
General Fund
Unreserved Designated -$ -$ -$ 160,000$
Reserved for Encumbrance - - - -
Unreserved 685,855 983,424 1,624,813 1,423,251
Nonspendable:
Inventories - - - -
Restricted Fund Balance:
Federal or State funds Grant Restriction - - - -
Capital Acquisition and Contractual Obligation - - - -
Retirement of Long-Term Debt - - - -
Unassigned Fund Balance - - - -
Total General Fund 685,855$ 983,424$ 1,624,813$ 1,583,251$
All Other Governmental Funds
Reserved 688,244$ 663,111$ 593,864$ 541,879$
Nonspendable:
Inventories - - - -
Restricted Fund Balance:
Federal or State Funds Grant Restriction - - - -
Capital Acquistion and Contractual Obligation - - - -
Other Assigned Fund Balance - - - -
Retirement of Long-Term Debt - - - -
Unassigned Fund Balance - - - -
Total All Other Govermental Funds 688,244$ 663,111$ 593,864$ 541,879$
Total Government Funds 1,374,099$ 1,646,535$ 2,218,677$ 2,125,130$
79
Page 134
Fiscal Year
2008 2009 2010 2011 2012 2013
-$ -$ -$ -$ -$ -$
104,521 7,526 3,665 - - -
1,135,651 2,015,762 2,346,094 - - -
- - - 64,706 53,074 53,422
- - - 4,190 4,190 -
- - - - - -
- - - - - -
- - - 2,230,085 2,188,359 2,669,600
1,240,172$ 2,023,288$ 2,349,759$ 2,298,981$ 2,245,623$ 2,723,022$
620,024$ 6,476,840$ 6,076,066$ -$ -$ -$
- - - - 1,037,962 1,036,179
- - - - - -
- - - 2,496,589 210,812 144,055
- - - - 191,429 139,439
- - - 789,620 870,402 1,056,664
- - - 1,153,063 - -
620,024$ 6,476,840$ 6,076,066$ 4,439,272$ 2,310,605$ 2,376,337$
1,860,196$ 8,500,128$ 8,425,825$ 6,738,253$ 4,556,228$ 5,099,359$
80
Page 135
CITY OF UVALDE
Uvalde, Texas
Statistical Data
Changes in Fund Balances
of Governmental Funds
Last Ten Fiscal Years
(modified accrual basis of accounting)
(unaudited)
2004 2005 2006 2007
Revenues
Taxes 4,041,624$ 4,387,430$ 5,003,278$ 4,867,974$
Licenses, fees, and permits 60,645 61,178 40,515 45,705
Intergovernmental 228,072 55,803 24,664 138,551
Intergovernmental Revenue and Grants - - - -
Charges for services 525,163 600,916 740,356 690,092
Fines and penalties 132,531 100,619 109,487 134,209
Interest Earnings 11,208 14,462 56,614 77,156
Miscellaneous 519,662 289,056 419,785 230,443
Total Revenues 5,518,905 5,509,464 6,394,699 6,184,130
Expenditures
City council/mayor 21,615 4,866 6,240 31,487
City hall 48,158 58,628 55,557 48,443
General government 308,646 357,977 353,294 491,585
Economic development 56,818 43,836 45,793 45,966
General services 51,801 54,452 55,647 54,251
Permits/ Non-departmental 1,376,068 1,409,062 1,666,239 1,737,310
Police/Animal Control 1,592,124 1,632,138 1,820,680 2,228,884
Fire department 419,643 288,726 322,911 285,054
Municipal court 184,604 201,697 209,341 249,272
Code enforcement 78,674 108,436 109,921 124,926
Streets 1,174,134 667,055 769,532 625,703
Parks 342,466 330,092 359,194 339,830
Golf 781,754 448,183 481,126 580,036
Civic center 78,848 91,172 91,075 78,063
Swimming pool 57,401 59,118 71,683 62,098
Opera house 83,790 89,708 83,062 101,544
Health 104,291 111,039 92,406 84,603
Cemeteries 90,653 95,410 94,559 92,122
Capital outlay 212,293 33,940 495,214 196,969
Debt service
Interest 202,534 181,565 215,708 260,520
Principal 345,752 541,623 198,240 235,000
Total Expenditures 7,612,067 6,808,723 7,597,422 7,953,666
Other Financing Sources (Uses):
Payment to escrow agent - - (2,766,759) -
Bond issued/lease proceeds/other 200,000 46,978 2,766,759 -
Operating transfers in (out) 1,613,565 1,524,717 1,675,988 1,675,988
Total Other Financing Sources (Uses) 1,813,565 1,571,695 1,675,988 1,675,988
Net change in fund balances (279,597)$ 272,436$ 473,265$ (93,548)$
Debt service as a percentage of
non-capital expenditures 7.41% 10.67% 5.83% 6.39%
81
Page 136
Fiscal Year
2008 2009 2010 2011 2012 2013
4,965,781$ 5,394,487$ 5,641,116$ 6,310,049$ 6,672,257$ 7,082,292$
59,277 60,948 48,480 61,276 99,299 77,677
122,378 11,435 - - - -
- - 179,563 141,183.00 124,802 545,388
649,499 566,569 505,464 532,061 564,137 573,481
258,586 203,037 218,800 224,097 223,886 207,410
77,744 76,345 122,071 10,109 52,049 42,828
35,634 272,903 178,064 251,262 297,108 361,192
6,168,899 6,585,724 6,893,558 7,530,037 8,033,538 8,890,268
37,236 9,506 34,203 19,452 40,116 12,000
48,112 72,627 - - - -
419,684 533,337 696,959 743,533 633,661 694,468
49,276 49,309 15,537 324,537 - -
59,277 57,019 - - - -
1,637,734 1,746,848 913,395 808,782 693,503 1,374,537
2,661,998 2,686,235 2,934,833 3,127,747 3,042,533 3,013,791
291,738 423,413 411,015 408,619 410,787 409,419
140,662 147,299 148,378 135,980 139,237 143,535
118,158 130,625 165,780 156,084 189,244 189,990
814,420 922,723 900,302 824,696 1,105,689 1,010,045
515,607 408,548 410,642 427,777 483,097 454,600
461,406 517,029 578,885 476,725 552,838 593,309
90,013 292,906 112,643 100,022 15,741 109,051
74,218 120,102 83,734 89,158 85,728 126,986
97,823 122,418 115,378 143,844 126,479 134,593
89,384 92,280 109,160 85,769 93,566 -
92,020 102,050 104,041 116,661 133,788 154,672
194,896 212,725 2,009,359 2,103,545 5,157,710 1,052,773
93,954 141,175 355,228 292,168 274,049 330,720
185,000 195,000 384,926 598,028 572,185 578,289
8,172,616 8,983,174 10,484,398 10,983,127 13,749,951 10,382,778
- 5,000,000 - 6,515 - -
- 609,945 8,400 79,161 2,385,000 115,000
1,738,781 3,427,437 2,377,521 1,588,852 1,375,000 1,975,000
1,738,781 9,037,382 2,385,921 1,674,528 3,760,000 2,090,000
(264,936)$ 6,639,932$ (1,204,919)$ (1,778,562)$ (1,956,413)$ 597,490$
3.50% 3.83% 8.73% 10.03% 9.85% 9.74%
82
Page 137
This Page Left Blank Intentionally.
Page 138
Revenue Capacity Information
Page 139
CITY OF UVALDE
Uvalde, Texas
Statistical Data
Assessed Value and Estimated Actual Value of Taxable Property
Last Ten Fiscal Years
(unaudited)
Total Estimated Assessed Value
Less: Total Taxable Direct Actual As A
Fiscal Year Ended Residential Commercial Industrial Tax-Exempt Assessed Tax Taxable Percentage of
September 31, Property Property Property Property Value Rate Value Actual Value (1)
2004 253,396,450 126,698,225 42,232,742 31,272,357 391,055,060 0.4746 391,055,060 0.91
2005 254,152,990 127,076,495 42,358,832 33,858,746 389,729,571 0.4746 389,729,571 0.91
2006 275,904,994 137,952,497 45,984,166 35,231,460 424,610,197 0.4644 424,610,197 0.92
2007 289,860,129 171,261,933 22,299,101 36,340,675 447,080,488 0.4500 447,080,488 0.92
2008 313,814,369 175,539,876 17,223,035 37,958,931 468,618,349 0.4500 468,618,349 0.99
2009 345,243,901 167,670,450 28,247,224 40,195,524 500,966,051 0.5466 500,966,051 1.01
2010 342,281,096 165,095,315 26,076,721 42,401,484 491,051,648 0.5934 491,051,648 1.01
2011 345,654,051 164,857,953 29,704,945 45,948,331 494,268,618 0.5928 494,268,618 1.01
2012 342,077,219 165,397,940 29,015,532 45,148,500 491,342,191 0.6309 491,342,191 1.02
2013 344,828,923 171,660,581 29,517,108 54,393,428 491,613,184 0.6265 491,613,184 0.92
(1) Excludes tax-exempt property
Source: Uvalde County Appraisal District
83
Page 140
CITY OF UVALDE
Uvalde, Texas
Statistical Data
Principal Property Taxpayers
(amounts expressed in thousands)
Current Year and Nine Years Ago
(unaudited)
2013 2004
Percentage Percentage
Taxable of Total City Taxable of Total City
Assessed Assessed Assessed Assessed
Taxpayer Rank Value Value Rank Value Value
Wal-Mart Stores Texas LP 1 15,768$ 2.95 4 3,709$ 0.85
Williamson Dickie Mfg Co 2 10,328 1.93 - - -
First State Bank of Uvalde 3 5,512 1.03 3 4,877 1.12
Butt H.E.Groceries Company 4 4,277 0.80 1 6,485 1.49
Amistad Realty, LLC 5 3,296 0.62 - 6,485 1.49
Neutze Properties LTD 6 2,966 0.56 6 3,173 0.73
UAL 90 LLC 7 2,502 0.47 - - -
Sierra Industries 8 2,303 0.43 - - -
Martin Roy L & Associates Partners 9 2,204 0.41 - - -
UAL Plaza LLC 10 2,110 0.40 - - -
AEP Texas Central Co - - - 2 5,061 1.17
Martin Roy L & Associates Partners - - - - - -
Southwestern Bell - - - 7 3,122 0.72
Huffstutler Mark T - - - 10 2,014 0.46
B & W Investment - - - 8 2,482 0.57
Texas Cable Partners LP - - - 9 2,284 0.53
Granada Apartments - - - 5 3,255 0.75
Total 51,266$ 9.60 36,462$ 8.40
Source: Uvalde County Appraisal District.
84
Page 141
CITY OF UVALDE
Uvalde, Texas
Statistical Data
General Governmental Tax Revenues By Source
(amounts expressed in thousands)
(unaudited)
Fiscal
Year Property
Ended (1) Taxes Sales Franchise Other Total
2004 1,762 1,554 554 171 4,041
2005 1,852 1,785 551 199 4,387
2006 2,085 1,983 752 252 5,072
2007 2,147 1,941 623 155 4,866
2008 2,211 1,897 638 217 4,963
2009 2,386 2,053 633 320 5,392
2010 2,734 1,937 636 332 5,639
2011 2,931 2,282 633 464 6,310
2012 2,961 2,472 656 497 6,586
2013 3,173 2,664 642 604 7,083
85
Page 142
CITY OF UVALDE
Uvalde, Texas
Statistical Data
General Governmental Revenues By Source
Last Ten Fiscal Years
(amounts expressed thousands)
(unaudited)
Fiscal Licenses Charges
Year and for
Ended (3) Total Taxes (1) Permits Intergovernmental Services Fines Other
2004 5,519 4,041 61 228 525 133 531
2005 5,509 4,387 61 56 601 101 303
2006 6,394 5,003 41 24 740 109 477
2007 6,184 4,868 46 138 690 134 308
2008 6,168 4,965 59 122 649 258 113
2009 6,585 5,394 60 11 566 203 349
2010 6,889 5,639 48 179 505 218 300
2011 7,615 6,310 61 141 532 224 347
2012 8,031 6,672 99 124 564 223 349
2013 8,890 7,083 78 545 573 207 404
Notes:
(1) Includes Franchise Fees and Sales Tax Revenue.
(2) Includes General and Debt Service Funds prior to 1996, for 1997 and thereafter
includes Special Revenue and Capital Projects Funds.
(3) In 1999 the City changed its fiscal year end to September 30, from June 30.
86
Page 143
CITY OF UVALDE
Uvalde, Texas
Statistical Data
Taxable Sales by Category
Last Ten Calendar Years
(unaudited)
Fiscal
2004 2005 2006 2007 2008
Accommodation/Food Services 25,394,123$ 27,269,902$ 29,691,350$ 31,825,488$ 33,598,103$
Arts/Entertainment/Recreation 2,544,592 2,726,121 3,005,931 3,304,845 3,538,883
Construction 7,389,237 8,638,414 10,761,387 12,106,165 13,006,479
Manufacturing 12,914,694 15,788,026 17,738,545 19,821,834 20,765,299
Public Administration 2,389,579 2,512,513 1,408,876 1,438,264 1,565,921
Real Estate/Rental/Leasing 4,325,314 5,044,506 6,377,989 7,027,599 7,144,564
Retail Trade 104,093,732 112,658,189 121,536,304 129,358,330 131,987,061
Wholesale Trade 15,156,816 16,302,186 20,246,942 20,773,556 23,150,291
Totals 174,208,087$ 190,939,857$ 210,767,324$ 225,656,081$ 234,756,601$
City direct sales tax rate 1% 1% 1% 1% 1%
Source: Texas Comptroller of Public Accounts
Future years will be included until ten years are shown.
(1) Only reflects 2 quarter totals due to the timing of the preparation of the schedule
87
Page 144
Year
2009 2010 2011 2012 2013 (1)
33,208,389$ 34,569,171$ 37,062,879$ 30,565,006$ 15,436,236$
3,499,133 3,586,212 3,820,021 811,325 383,591
9,952,509 9,666,603 11,042,779 1,881,066 969,475
16,094,707 16,412,388 19,898,311 2,135,540 1,361,062
1,566,965 1,590,730 1,636,444 2,026,435 1,253,756
5,372,609 5,237,211 6,024,964 6,603,082 2,197,795
125,606,509 127,925,079 134,710,942 143,519,216 70,146,439
17,514,147 19,174,320 22,018,553 5,949,554 2,591,049
212,814,968$ 218,161,714$ 236,214,893$ 193,491,224$ 94,339,403$
1% 1% 1% 1% 1%
88
Page 145
CITY OF UVALDE
Uvalde, Texas
Statistical Data
Direct and Overlapping Sales Tax Rates
Last Ten Fiscal Years
(unaudited)
Uvalde
County
City Uvalde Health
Fiscal Direct County Services State
Year Rate Rate Rate Rate
2004 1.00 0.50 0.50 6.25
2005 1.00 0.50 0.50 6.25
2006 1.00 0.50 0.50 6.25
2007 1.00 0.50 0.50 6.25
2008 1.00 0.50 0.50 6.25
2009 1.00 0.50 0.50 6.25
2010 1.00 0.50 0.50 6.25
2011 1.00 0.50 0.50 6.25
2012 1.00 0.50 0.50 6.25
2013 1.00 0.50 0.50 6.25
Source: Texas Controller of Public Accounts
89
Page 146
CITY OF UVALDE
Uvalde, Texas
Statistical Data
Property Tax Rates
Direct and Overlapping
Last Ten Fiscal Years
(rate per $100 of assessed value)
(unaudited)
City Direct Rates Overlapping Rates
Maintenance Interest Total Southwest Total
Fiscal & Operations & Sinking Direct Uvalde Texas Junior Uvalde Overlapping
Year Rate Rate Rate CISD College County Rates
2004 0.3744 0.1002 0.4746 1.5966 0.1100 0.4385 2.1451
2005 0.3744 0.1002 0.4746 1.5966 0.1100 0.4807 2.1873
2006 0.3635 0.1009 0.4644 1.5485 0.1100 0.5433 2.2018
2007 0.3525 0.0975 0.4500 1.2417 0.1100 0.5697 1.9214
2008 0.3516 0.1028 0.4544 1.2417 0.1100 0.5662 1.9179
2009 0.3790 0.1676 0.5466 1.1697 0.1300 0.5895 2.4358
2010 0.4161 0.1773 0.5934 1.1627 0.1300 0.6167 2.5028
2011 0.4329 0.1599 0.5928 1.2427 0.1300 0.6362 2.6017
2012 0.4365 0.1944 0.6309 1.2427 0.1300 0.6360 2.6396
2013 0.4239 0.2026 0.6265 1.2427 0.1300 0.6359 2.6351
Source: Uvalde County Appraisal District.
90
Page 147
CITY OF UVALDE
Uvalde, Texas
Statistical Data
Property Tax Levies and Collections
Last Ten Fiscal Years
(unaudited)
Collected within the
Taxes Levied Fiscal Year of the Levy Collection (Current and Delinquent)
Fiscal for the Percentage in Subsequent Percentage
Year Fiscal Year Amount of Levy Years Amount of Levy
2004 1,735,399 1,456,879 83.95 28,357 1,485,236 85.58
2005 1,855,947 1,596,654 86.03 19,140 1,615,794 87.06
2006 1,998,885 1,718,258 85.96 53,679 1,771,937 88.65
2007 2,154,038 1,881,130 87.33 - 2,055,700 95.43
2008 2,160,027 2,048,230 94.80 115,570 2,163,800 100.15
2009 2,357,282 2,208,828 94.10 179,524 2,388,352 100.09
2010 2,769,281 2,603,009 94.31 131,877 2,734,886 98.75
2011 2,959,097 2,792,474 94.37 149,663 2,942,137 99.43
2012 2,983,597 2,829,160 94.96 138,486 2,967,646 99.46
2013 3,144,267 2,993,918 95.39 165,094 3,159,012 00.47
Source: Uvalde County Appraisal District.
Total Collections in Fiscal Year
91
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Debt Capacity Information
Page 149
CITY OF UVALDE
Uvalde, Texas
Statistical Data
Ratios of Outstanding Debt by Type
Last Ten Fiscal Years
(unaudited)
General
Fiscal Refunding Certificates of Term Capital Obligation Revenue
Year Bonds (2) Obligations (2) Loans Leases Bonds Bonds (2)
2004 - 3,570,000 610,722 - 5,006,000 1,426,500
2005 - 3,295,000 35,645 34,625 4,753,000 1,176,500
2006 2,967,842 330,000 621,959 23,549 2,499,730 3,361,500
2007 2,315,000 470,000 434,787 12,013 - 3,260,000
2008 2,300,000 - 386,915 - - 3,235,000
2009 2,105,000 5,000,000 454,835 - - 3,210,000
2010 1,905,000 4,890,000 379,909 - - 3,180,000
2011 1,700,000 4,895,000 308,532 47,717 - 2,910,000
2012 1,485,000 7,015,000 231,739 32,325 - 2,630,000
2013 1,534,010 6,811,149 153,450 16,425 - 2,321,667
Note: Details regarding the City's outstanding debt can be found in the
notes to the financial statements.
(1) See the Schedule of Demographic and Economic Statistics for
personal income and population data.
(2) Bonded debt of both governmental and business-type activities, net of
original issuance discounts and premiums.
Business-Type ActivitiesGovernmental Activities
92
Page 150
Total Percentage
Refunding Certificates of Term Capital Primary of Personal Per
Bonds (2) Obligations (2) Loans Leases Government Income Capital (1)
- 1,932,500 654,130 194,016 13,393,868 2.31 897.17
- 5,487,500 623,568 183,122 15,912,767 2.54 1,065.90
- 4,387,500 261,867 124,263 14,578,210 2.23 871.43
- 9,215,000 231,303 64,944 16,003,047 2.50 956.61
- 8,530,000 200,741 - 14,652,656 2.09 891.01
- 7,560,000 170,179 - 18,500,014 4.60 1,152.24
- 10,525,000 143,363 - 21,023,272 4.72 1,278.71
- 9,375,000 115,346 467,558 19,819,153 2.87 1,227.80
- 10,215,000 84,785 376,994 22,070,843 3.89 1,367.29
3,098,249 5,827,966 736,687 281,513 20,781,116 2.23 1,290.11
Business-Type Activities
93
Page 151
CITY OF UVALDE
Uvalde, Texas
Statistical Data
Ratios of General Bonded Debt Outstanding
Last Ten Fiscal Years
(unaudited)
Percentage of
Less: Amounts Actual Taxable
Fiscal Certificate of Available in Value of Per
Year Bonds (1) Obligations Debt Service Fund (2) Total Property Capita
2004 6,432,500 5,502,500 5,159 11,929,841 3.05 799
2005 5,932,500 8,782,500 26,605 14,688,395 3.78 984
2006 8,829,072 4,717,500 135,265 13,411,307 3.19 802
2007 5,575,000 9,685,000 155,346 15,104,654 3.12 903
2008 5,535,000 8,530,000 439,431 13,625,569 2.69 829
2009 5,315,000 12,560,000 439,431 17,435,569 3.22 1,060
2010 5,085,000 15,415,000 877,838 19,622,162 3.68 1,193
2011 4,610,000 14,270,000 789,620 18,090,380 3.35 1,100
2012 4,115,000 17,230,000 870,402 20,474,598 3.82 1,268
2013 6,953,926 12,639,115 1,056,664 18,536,377 3.77 1,151
Source: Current and prior year Comprehensive Annual Financial Report.
(1) Bonded debt of both governmental and business-type activities, net of
original issuance discounts and premiums.
(2) This is the amount restricted for debt service principal payments.
94
Page 152
CITY OF UVALDE
Uvalde, Texas
Statistical Data
Direct and Overlapping Governmental Activities Debt
As of September 30, 2013
(unaudited)
Estimated
Share of
Estimated Direct and
Debt Percentage Overlapping
Government Unit Outstanding Applicable Debt
Debt repaid with property taxes
Uvalde Consolidated ISD 21,819,996$ 60% 13,091,998$
Uvalde County 23,140,000 40% 9,256,000
Debt repaid with Tuition Revenues
Southwest Texas Junior College 17,745,000 0.12% 21,294
Subtotal, overlapping debt 22,369,292
City direct debt 20,781,116 100% 20,781,116
Total direct overlapping debt 43,150,408$
Source: Assessed value data used to estimate applicable percentages provided by the
Uvalde County Appraisal District. Debt outstanding provided by each governmental unit.
Fall enrollment of the College and number of enrolled students residing within the
City boundaries was provided by the SWTJC Registrar to estimate percentages.
95
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CITY OF UVALDE
Uvalde, Texas
Statistical Data
Legal Debt Margin Information
Last Ten Fiscal Years
(in thousands of dollars)
(unaudited)
Fiscal
2004 2005 2006 2007
Debt Limit 91,414$ 98,229$ 106,153$ 120,855$
Total net debt applicable to limit 3,565 3,268 13,412 16,888
Legal Debt Margin 87,849$ 94,961$ 92,741$ 103,967$
Total net debt applicable to the limit
as a percentage of debt limit 3.90% 3.33% 12.63% 13.97%
Debt applicable to limit:
Bonds
Certificates of Obligations
Less: Amount set aside for repayment of general
obligation debt:
Total net applicable to limit:
Legal Debt Margin:
96
Page 154
Year
2008 2009 2010 2011 2012 2013
130,602$ 135,290$ 133,363$ 135,054$ 134,123$ 122,903$
13,626 17,436 19,623 18,091 20,475 18,639
116,976$ 117,854$ 113,740$ 116,963$ 113,648$ 104,264$
10.43% 12.89% 13.97% 13.40% 15.27% 15.17%
Legal Debt Margin Calculation for Fiscal Year 2012
Assessed Value 491,613$
Debt limit 25% of assessed value of real property (Article III,
Section 52, Constitution of the State pd Texas) 122,903
Debt applicable to limit:
Bonds 3,600
Certificates of Obligations 16,095
Less: Amount set aside for repayment of general
obligation debt: 1,056
Total net applicable to limit: 18,639
Legal Debt Margin: 104,264$
97
Page 155
CITY OF UVALDE
Uvalde, Texas
Statistical Data
Pledged-Revenue Coverage
Last Ten Fiscal Years
(unaudited)
Utility/
Sanitation/
Airport Less: Net
Fiscal Services Operating Available Debt Service
Year Charges Expenses Revenue Principal Interest Coverage
2004 6,852,915 4,459,306 2,393,609 977,027 394,653 1.75
2005 7,377,754 4,628,593 2,749,161 966,041 503,745 1.87
2006 8,702,447 4,698,321 4,004,126 1,030,069 381,721 2.84
2007 8,722,665 5,751,361 2,971,304 1,000,000 450,457 2.05
2008 8,958,161 6,315,907 2,642,254 995,000 750,446 1.51
2009 8,736,602 5,889,797 2,846,805 1,065,000 720,579 1.59
2010 8,883,710 6,449,317 2,434,393 1,245,000 578,828 1.33
2011 9,129,003 5,161,474 3,967,529 1,140,000 439,634 2.51
2012 7,883,390 6,737,703 1,145,687 1,170,000 508,281 0.68
2013 10,323,934 5,407,073 4,916,861 685,000 475,050 4.24
Note: Details regarding the City's outstanding debt can be found in the notes of the financial statements.
Operating expenses does not include interest, depreciation, or amortization expenses.
98
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Demographic and Economic Information
Page 157
CITY OF UVALDE
Uvalde, Texas
Demographics and Economic Statistics
Last Ten Years
(unaudited)
Personal Per
Income Capita
Calendar (thousands Personal Unemployment
Year Population of dollars) Income Rate
2004 14,929 580,240 38,867 7.1
2005 14,929 626,353 41,955 5.4
2006 14,929 652,448 43,703 5.1
2007 14,929 634,447 42,498 5.4
2008 14,929 711,149 47,635 4.2
2009 14,929 723,867 48,487 6.5
2010 15,783 732,187 46,391 9.3
2011 15,847 788,263 49,742 8.9
2012 16,108 859,853 53,380 7.2
2013 16,108 931,042 57,800 7.1
Source: Middle Rio Grande Workforce Board
Statistical Data
99
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CITY OF UVALDE
Uvalde, Texas
Statistical Data
Principal Employers
Current Year and Nine Years Ago
(unaudited)
2013 2004
Percentage Percentage
of Total City of Total City
Employer Rank Employees Employment Rank Employees Employment
Uvalde Consolidated ISD 1 780 10.60% 1 816 11.62%
Southwest Texas Jr. College 2 650 8.83 2 450 6.41
Agril-Link Foods - - - 9 80 1.14
Wal-Mart 3 280 3.80 - - -
HEB Foods 4 210 2.85 3 240 3.42
Williamson Dickies 5 188 2.55 4 215 3.06
Amistad Nursing Home 6 180 2.45 5 206 -
Vulcan Materials 8 150 2.04 6 150 2.14
City of Uvalde 7 160 2.17 7 148 2.11
Uvalde County 9 125 1.70 8 120 1.71
Sierra Industries 10 67 0.91 10 67 0.95
General Tire Proving Grounds - - - -
Total 2,790 27.41 2,492 20.94
Source: Middle Rio Grande Workforce Board
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Page 160
Operating Information
Page 161
CITY OF UVALDE
Uvalde, Texas
Statistical Data
Full-Time-Equivalent City Government Employees by Function/Program
Last Ten Fiscal Years
(unaudited)
Full-Time-Equivalent
2004 2005 2006 2007 2008
Function/Program
General Government
General Government 7 7 7 7 7
Opera House 2 2 2 2.5 2.5
City Hall 1 1 1 1 1
Permits 3.5 3 3 4 4
General Services 2 2 2 2 2
Economic Development 1 1 1 1 1
Health Care & Walfare
Health Department 4 4 0 0 0
Parks and Recreation
Swimming Pool 0.5 0.5 0.5 0.5 0.5
Civic Center 2 2 2 2 2
Parks 9 9 9 7 7
Golf 8.5 8.5 8.5 8.5 8.5
Public Safety
Police Officers 29 29 35 38 38
Civilians 14 14 14 15.5 15.5
Fire 5 5 4 4 4
Municipal Court 2 2 2 2 2
Code Enforcement 1.5 2 2 2 2
Public Works
Cemeteries 4 4 4 4 4
Streets 12 12 11 11.5 11.5
Utility Office 4 4 4 4 4
Water 9 9 8 8 8
Gas 9 9 8 8 8
Sewer 7 7 7 7 7
Service Center 4 4 4 4.5 4.5
Landfill 5 5 4 4 4
Brush 3 3 3 3 3
Collection 6 6 6 6 6
Recycling Center 1.5 1.5 1.5 1.5 1.5
Total 156.5 156.5 153.5 158.5 158.5
*General government is a shared cost between the general fund, utility fund & sanitation fund
101
Page 162
Employees as of September 30
2009 2010 2011 2012 2013
8 8.5 8.5 4.3 5.8
2.5 2.5 1.5 2 2
0.5 0 0 0 0
2 3.5 3.5 3 1.5
2* 0 0 0 0
1* 0 0 0 0
0 0 0 0 0
0.5 0.5 0.5 0.5 0.5
2 2 2 0 1.5
7 7 7 8 6.5
8.5 8.5 8.5 8.5 7.5
39 39 34 36 34
15.5 15.5 15.5 17.5 23.5
4 4 4 3 3.5
2 2 2 1.3 1
2 2 2 3 3.5
4 4 4 4 4
11.5 11.5 11.5 11.5 11.5
4* 3 3 3 14.8
8 8 8 8 7
7 7 7 7 7.5
7 8 8 8 8.5
4.5 4.5 4.5 4.5 3.5
5 5 6.5 8.3 8.97
3 3 3 3 3
6 7 7 7 6.5
1.5 1.5 1.5 1.5 2
158 (155) 157.5 153 152.9 168.07
102
Page 163
CITY OF UVALDE
Uvalde, Texas
Statistical Data
Operating Indicators by Function/Program
Last Ten Fiscal Years
(unaudited)
Fiscal
2004 2005 2006 2007 2008
Function/Program
General Government
Building permits issued 403 425 666 354 362
Building inspections conducted 1120 1130 1180 1073 1086
Police
Physical Arrests 566 630 730 975 961
Traffic Violations 3115 3220 3359 4435 5515
Fire
Emergency responses 401 430 417 105 295
Fires extinguished 44 75 77 113 187
Inspections 398 430 400 60 75
Refuse Collection
Refuse Collected (tons per day) 85 98.31 100.2 97 96
Public Works
Street resurfacing (miles) 1 1.2 1.35 3.5 0
Water
New connections 56 32
Water mains breaks 102 115 123 23 29
Average daily consumption
(millions) 2627 2664 2708 2959 3801
Wastewater
Average daily sewage treatment
(mgd) 1.71 1.80 1.75 1.70 1.60
103
Page 164
Year
2009 2010 2011 2012 2013
355 301 309 577 411
1420 1200 1300 1600 1600
961 989 591 736 624
3380 3350 4546 5705 3891
278 242 346 370 419
103 185 235 316 371
25 28 0 27 45
95.96 85.21 96.50 96.50 98.50
0 0 0 2.05 0
31 20 16 65 71
29 35 58 49 42
3451 3169 3823 3400 3202
1.50 1.45 1.49 1.49 1.5
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Page 165
CITY OF UVALDE
Uvalde, Texas
Statistical Data
Capital Asset Statistics by Function/Program
Last Ten Fiscal Years
(unaudited)
Fiscal
2004 2005 2006 2007 2008
Function/Program
Police
Stations 1 1 1 1 1
Patrol Units 17 19 20 14 14
Fire stations 1 1 1 2 2
Refuse Collection
Collection trucks 7 7 7 7 7
Public works
Streets (miles) 76 76 76 76 76
Parks and Recreation
Acreage 163 163 163 163 163
Baseball fields 5 5 5 5 5
Tennis Courts 2 2 2 0 0
Golf Courses 1 1 1 1 1
Civic Centers 1 1 1 1 1
Swimming Pools 1 1 1 1 1
Water
Water Mains (miles) 150 150 150 150 152
Fire Hydrants 615 615 615 620 627
Storage Capacity
(millions) 2550 2550 2550 2550 2550
Wastewater
Sanitary Sewer (miles) 135 136 136 136 136
Treatment Plants 1 1 1 1 1
Treatment Capacity
(mgd) 2.5 2.5 2.5 2.5 2.5
105
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Year
2009 2010 2011 2012 2013
1 1 1 1 1
22 21 22 22 23
2 2 2 2 2
7 13 13 13 13
76 76 76 76 76
163 163 163 163 163
5 5 5 5 5
0 0 0 0 0
1 1 1 1 1
1 1 1 1 1
1 1 1 1 1
153 153 153 153 153
630 630 630 630 630
2550 2550 2550 2550 2250
136 136 136 136 136
1 1 1 1 1
2.5 2.5 2.5 2.5 2.5
106
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SINGLE AUDIT SECTION
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Page 178
CITY OF UVALDE
Uvalde, Texas
SCHEDULE OF FINDINGS AND QUESTIONED COSTS
For The Year Ended September 30, 2013
111
SECTION I --- SUMMARY OF AUDITORS’ RESULTS
Financial Statements
Type of auditor’s report issued: Unmodified
Internal control over financial reporting:
Material weakness (es) identified?
X Yes
No
Significant deficiencies identified not considered
to be material weaknesses?
X Yes
No
Noncompliance material to financial statements noted?
Yes
X No
Federal Awards
Internal control over major programs:
Material weakness (es) identified?
Yes
X No
Significant deficiencies identified not considered
to be material weaknesses?
Yes
X No
Type of auditor’s report issued on compliance for
Major programs
Unmodified
Any audit findings disclosed that are required to be
reported in accordance with Circular A-133,
Section. 510(a)?
Yes
X No
Identification of Major Programs
CFDA Numbers(s)
Name of Federal Program or Cluster
10.780
Community Facilities Loan and Grant Program (ARRA)
Dollar threshold used to distinguish between Type A and Type B
programs:
$300,000 Auditee qualified as low-risk auditee?
Yes
X No
(Continued)
Page 179
CITY OF UVALDE
Uvalde, Texas
SCHEDULE OF FINDINGS AND QUESTIONED COSTS
For The Year Ended September 30, 2013
112
SECTION II --- FINANCIAL STATEMENT FINDINGS
Finding 2013-II-1 Capital Assets
Type of Finding: Material Weakness
Criteria: An integral part of the internal control over financial reporting includes maintaining a complete
capital asset subsidiary ledger that incorporates all the details of the City’s assets, including costs, dates of
acquisition, asset descriptions, locations, and identification numbers.
Condition/Effect: As mentioned in previous years, we detected the following weaknesses with regards to
the City’s capital asset records:
The City currently tracks its capital assets using Excel spreadsheets, which is cumbersome and
contributes to the risk of errors in computing depreciation and accumulated depreciation.
The Excel schedules do not consistently include complete asset descriptions, locations,
identification/serial numbers, asset condition and related acquisition dates;
The Excel schedules are not updated during the year to reflect additions/deletions.
Capital asset policies have not been updated and approved by City Council to reflect the adoption
of capitalization thresholds, asset useful lives, depreciation methods, etc.
A number of reclassification adjustments were required as part of the audit to capture assets with
a value greater than $5,000 as asset additions on the general ledger.
Recommendation: We recommend that the City improve its internal control over capital assets. The
following should be considered:
Complete the physical inventory of capital assets with an individual cost of $5,000 or greater.
Reconcile inventory records to the financial statements.
Record all capital asset details (asset descriptions, cost, date of acquisition, etc) into the capital
asset INCODE program and compute accumulated depreciation and depreciation expense.
Review, and approve existing capital asset policies and procedures in order to strengthen internal
controls over the City’s capital assets.
Page 180
CITY OF UVALDE
Uvalde, Texas
SCHEDULE OF FINDINGS AND QUESTIONED COSTS
For The Year Ended September 30, 2013
113
Corrective Action Plan: The City of Uvalde will complete the data entry of all capital assets into the
INCODE software prior to year end 9/30/14. Use of the Excel spreadsheet will be discontinued once all
capital assets have been entered into the system and the totals have been reconciled. Going forward, assets
will be added into the INCODE program as purchases are made throughout the year.
City staff will be attending training in the fall of 2014 to develop a new accounting policy and procedures
manual. The capital assets policies will be updated and incorporated into the new policy manual.
Responsible Person(s): Jennifer Garver, City Manager; Debbie Pike, Controller; LeeAnn Ortiz, Budget
Director; and Larissa Flores, Purchasing Agent
Finding 2013-II-2 – General Ledger Review and Reconciliation
Type of Finding: Significant Deficiency
Criteria: An integral part of internal control is the monthly review and reconciliation of the general ledger
balance sheet accounts. This is necessary to detect any unexpected errors and correct them in order to
provide reliable reports for decision making.
Condition/Effect: The City does not effectively review and reconcile its general ledger. During our testing,
we identified several general ledger accounts, including accounts payable, bonds payable, utility revenues
and receivables and capital expenditures that contained misstatements. As a result, a number of
adjustments were recommended as part of the audit to fairly state the account balances as of September 30,
2013. A contributing factor to this condition is that the City did not have a finance director during the year.
Recommendation: We recommend that management implement a monthly review and reconciliation
process of the general ledger account balances to strengthen controls over financial reporting. This process
will mitigate the number of errors in the general ledger and will provide management with more accurate
information to aid in decision making.
Corrective Action Plan: The City of Uvalde will develop a monthly closing schedule to ensure all items
are posted in a timely manner and that all necessary adjustments are made prior to the bank statement
reconciliation. Once the bank statement has been reconciled, the general ledger will be closed for the prior
month end so that no changes can be made. At this time, reports can be generated to review balances and
determine necessary adjusting entries.
Page 181
CITY OF UVALDE
Uvalde, Texas
SCHEDULE OF FINDINGS AND QUESTIONED COSTS
For The Year Ended September 30, 2013
114
City staff will be attending the INCODE conference in April 2014 to learn what options are available for
closing general ledger periods to prevent changes be made once a month has been reconciled. In addition,
the City Manager will be attending the GFOA Spring Conference to receive updates on new governmental
accounting standards.
Responsible Person(s): Jennifer Garver, City Manager; Debbie Pike, Controller; and LeeAnn Ortiz,
Budget Director.
SECTION III --- FEDERAL AWARD FINDINGS AND QUESTIONED COSTS
There were no federal award findings or questioned costs required to be reported in accordance with OMB
Circular A-133.
Page 182
CITY OF UVALDE
SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
FOR THE YEAR ENDED SEPTEMBER 30, 2013
Federal
CFDA Pass-Through Entity Federal
Federal Grantor/Program Title Number Identifying Number Expenditures
U.S. Department of Agriculture
ARRA Community Facilities Loan and Grant Program 10.780 TX-97-01 115,000$
ARRA Community Facilities Loan and Grant Program 10.780 TX-97-01 500,000
Total U.S. Department of Agriculture 615,000
TOTAL EXPENDITURES OF FEDERAL AWARDS 615,000$
NOTES TO THE SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS:
1. The accompanying schedule of expenditures of federal awards includes the federal grant activity of the City and
is presented on the modified accrual basis of accounting for amounts recorded in governmental funds and full accrual
for Business-Type Funds. The information in this schedule is presented in accordance with the requirements of OMB
Circular A-133, “Audits of States, Local Governments, and Non-Profit Organizations.” Therefore, some
amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic
financial statements.
For programs which require a local match the amount reported as expenditures does not include expenditures
paid with local matching funds.
2. The City expended $115,000 in connection with the Community Facilities Loan and Grants Program CFDA No. 10.780
funded by the U.S. Department of Agricultural (USDA). The loan is scheduled for repayment over a period not to
exceed 40 years. This program was considered a major program in the current year.
3. The City did not have any sub-recipients or non-cash awards during the year ended September 30, 2013.
115
Page 183
CITY OF UVALDE
Uvalde, Texas
SUMMARY SCHEDULE OF PRIOR YEAR AUDIT FINDINGS
Year Ended September 30, 2013
116
There were no findings relative to federal awards in the prior year.