Fort Walton Beach Council agenda — 03-19-12--special--audit — reading text

51, 534 2016 53, 080 2017 54, 673 2018 through 2022 298, 973 2023 through 2027 346, 591 2028 through 2032 40U94 2033 through 2037 465, 790 2038 through 2039 206, 466 Total $ 1, 977, 510 Fees paid for wastewater treatment to Okaloosa County. Florida during the year ended September 30, 2012, were $1, 871, 209. 76  3. 1. a City of Fort Walton Beach, Florida NOTES TO FINANCIAL STATEMENTS September 30, 2012 NOTE 21 - GASB PRONOUNCEMENTS ISSUED BUT NOT YET ADOPTED In June 2012, the GASB issued GASB Statement No. 67, Financial Repaving for Pension Plans - an amendment to Statement Na. 25. This Statement enhances the financial reporting by state and local governmental pension plans. This Statement replaces the requirement of Statement No. 25, Financial Reporting for Defined Benefit Pension Plans and Note Disclosures for Defined Contribution Plans and No. 50, Pension Disclosures, as they relate to pension plans that are administered through trusts or equivalent arrangements that meet certain criteria. This statement entrances note disclosures and required supplemental information ( RSI) for both defined benefit and defined contribution pension plans. It also requires the presentation of new information about annual money -weighted rates of return in the notes to the financial statements and in 10 year RSI schedules. The provisions of this Statement are effective for financial statements for periods beginning after June 15, 2013, which requires the City to implement this statement in FY 2013 -2014. In June 2012, the GASB issued GASB Statement No. 68, Accounting and Financial Repaving for Pensions - an amendment to Statement No. 27. This Statement enhances the financial reporting by state and local govertmtents for pensions. It also improves information provided by state and local governmental employers about financial support for pensions that is provided by other entities. This statement requires govermnents providing defined benefit pensions to recognize their long -term obligation for pension benefits as a liability for the first time, and to more comprehensively and comparably measure the annual costs of pension benefits. It also enhances accountability and transparency through revised and new note disclosures and required supplementary information. Management believes GASB Statement No. 68 will have a significant impact on the financial position and changes in net assets of the City; however, the amounts are not quantifiable as of the date of this report. the provisions of this Statement are effective for financial statements for periods beginning after June I5. 2014, which requires the City to implement this statement in FY 2014 -2015. NOTE 22 - SUBSEQUENT EVENTS Recreation Consolidation In October 2012, the City began a project to consolidate four recreation centers into a new recreation facility. The estimated cost of the facility is $ 8. 1 million dollars. The City intends to obtain funding for this project by applying for grants, obtaining private sponsors, evaluating current City properties for lease or sale opportunities, and issuing debt. 77 Packet Pg. 103  3. 1. a City of Fort Walton Beach, Florida NOTES TO FINANCIAL STATEMENTS September 30, 2012 NOTE 22 - SUBSEQUENT EVENTS (CONTINUED) Slate of Florida Revolving, Loan for Pump Station and Force Main Proiect In January 2013, the City executed a State of Florida Revolving Loan in an amount of approximately $ 19, 000,000 for the pump station and force main project. The interest rate on the loan is 1. 9% and the repayment period is 20 years. The total project is currently estimated at $ 16, 000, 000 and after application of unspent bond proceeds and a contribution from Okaloosa County, Florida, the final loan amount is estimated at $ 13 million. Sanitation Fee Schedule Amendment In January 2013, a 10 -year contract with Allied Waste Services for Solid Waste Disposal, Recycling, and Transfer Services was approved. The contract includes fixed pricing for the first five years, followed by biennial increases for the last five years. A resolution amending the comprehensive fee schedule was also adopted in January 2013. Acceptance of Federal Emergency Management Agency Grant In January 2013, a grant award was received from the Federal Emergency Management Agency in the amount of $508, 400. The award is a 95 %/ 5% matching grant that includes 482,980 in federal funds and $ 25, 420 in City funds. The grant includes funding for a new cascade system at Station 7 to refill SCBA bottles, an upgrade of the alerting system at Stations 6 & 7, and new source capture exhaust systems for each apparatus. Landmark Development Agreement In February 2013, the City approved a development agreement for the Landmark Center. The development calls for a parking garage to support the hotel and shopping complex and the agreement requires the City to pay up to $ 1, 700. 000 for 32 parking spaces in the garage, developer participation in various economic incentive programs currently active in the Community Redevelopment Agency, and assistance with the installation of public infrastructure improvements. The agreement provides the City with the option to purchase an additional 195 spaces at a fee of $ 15, 379 per space between the completion of the garage and the sunset of the Community Redevelopment Agency. The parking spaces are to enhance parking opportunities in the downtown area and will be payable from the Community Redevelopment Agency. a blended component unit of the City of Fort Walton Beach. Florida. Refunding, of 2001 Capital Improvement Revenue Bonds In February 2013, the 2001 Capital Improvement Revenue Bonds, of which $ 4,470, 000 was outstanding as of September 30, 2012, were approved for refunding via a bank qualified loan. The estimated present value savings is $ 600, 000. In order to maintain bank qualified status of the refunding, the cost of issuance will be funded by the City in a not to exceed amount of $45. 000. ifl  3. 1. a City of Fort Walton Beach, Florida NOTES TO FINANCIAL STATEMENTS September 30, 2012 NOTE 22 - SUBSEQUENT EVENTS (CONTINUED) Amendment to Soundside Lnterlocal Agreement In February 2013, the Interlocal Agreement whereby the City approved the use of up to 700, 000 in Community Redevelopment Agency funds for site demolition, infrastructure improvements, site restoration, and other costs for the Soundside Development was amended. The amendment revised the payback period of the assessment to 40 years. The assessment will be paid to the City from surplus cash generated from the development and the interest rate remains at 79 PacketPg,f:{ 5  3. 1. a THIS PAGE INTENTIONALLY LEFT BLANK.) PeGket Pg. 106  3. 1. a REQUIRED SUPPLEMENTARY INFORMATION Packet Pg: 107  3. 1. a Schedule A -1 City of Fort Walton Beach, Florida REQUIRED SUPPLEMENTAL INFORMATION SCHEDULE OF FUNDING PROGRESS Unaudited Actuarial Accrued Actuarial Liability Unfunded Funded Annual UAAL as Actuarial Valuation Value of AAL) Entry AAL( UAAL) Ratio Covered of Date Assets ( a) Age ( b) b -a) b) Payroll ( c) Payroll General Employees' Retirement Fund September 30, 2012 32, 776,563 41 , 2W()63 8, 503, 500 79. 40 L542, 537 18720 September 30, 2011 33, 678, 210 40, 196, 872 6, 518, 662 83. 78 5, 004, 486 13026 September 30, 2010 34,352, 072 40, 510, 991 6, 158, 919 84. 80 5, 595,076 110. 08 September 30, 2009 33, 336, 278 38, 411778 5, 076, 500 86. 78 7, 252, 396 70. 00 September 30, 2008 33, 388, 423 37349, 742 3, 961319 89. 39 7, 521, 520 52. 67 September 30, 2007 32, 271, 940 34, 783, 263 2, 511, 323 92. 78 8, 199, 930 311. 63 September 30, 2006 29,449, 082 33, 885, 353 4, 436, 271 86. 91 7, 715, 643