Okaloosa County BOCC — May 20, 2014 — reading text

be found in notes to the financial statements (Note 5). Long-term debt. At the end of the current fiscal year, the primary government, Okaloosa County, had bonded and revolving loans long-term debt outstanding of $149,237. Of this amount, $34,192 comprises governmental activities bonds payable while the remaining 13 Packet Pg. 56 Okaloosa County, Florida Management’s Discussion and Analysis $87,514 in revenue bonds and $27,531 in revolving loans and a revenue note is secured solely by specified revenue sources in business-type activities. Okaloosa County, Florida Outstanding Debt September 30, 2013 and 2012 Govenmental Busines-type Activities Activities Total 2013 2012 2013 2012 2013 2012 Governmental Loans $ - $ - $ - $ - $ - $ - Revenue Bonds 29,192 29,905 87,514 93,044 116,706 122,949 Revolv & Comm Loan 5,000 - 27,531 28,621 32,531 28,621 Total $ 34,192 $ 29,905 $ 115,045 $ 121,665 $ 149,237 $ 151,570 Additional information on Okaloosa County’s long-term debt can be found in notes to the financial statements (Note 10). Okaloosa County, Florida, Debt Ratings at September 30, 2013 Type of Debt Issue: S&P Fitch/Moody’s 2009 Sales Tax Rev Bonds AA AA- Cap Imprv Rev Bonds, Ser 2011 Not rated Not rated Water and Sewer System Enterprise revenue bonds: 1985 Subordinated Not rated Not rated 2004 Series AAA Aaa 2006 Series AAA Aaa 2000 Tourist Develop Tax AAA Aa2 Revenue 2003 Airport Revenue Bonds A Not Rated Taxable Airport Rev Bond 2007 AA Not Rated Highest rating: AAA/Aaa Investment grade ratings: AAA/Aaa through BBB-/Baa- Lowest rating: C 14 Packet Pg. 57 Okaloosa County, Florida Management’s Discussion and Analysis Economic Factors Local, national, and international economic factors influence the County’s revenues in a variety of ways. Positive economic growth is correlated with increased revenues from property taxes, state sales taxes, fuel taxes, charges for services, state revenue sharing as well as state and federal grants, while negative economic growth generally has the opposite reaction. Economic growth may be measured by a variety of indicators such as employment growth, unemployment, new construction and assessed values, diversification of the property tax base, and Enterprise Fund revenue and net asset growth. The Florida Research and Economic Database reported that the number of employed Okaloosa County civilian residents increased from 93,597 in 2012 to 94,042 in 2013, an increase of approximately 0.5 percent. Increasing labor force coupled with somewhat improving economic times led to the County’s unemployment rate falling to 5.2 percent in 2013 compared to 6.1% for 2012. The County’s unemployment rate still remains extremely favorable compared to the state and national rates of 7.2 percent and 7.4 percent, respectively, for 2013. The assessed value of real property located in the County after exemptions shrank from $13.067 billion in 2012 to $12.805 billion, while the total assessed value of the County decreased from $13.781 billion to $13.566 billion in 2013. This represented a decrease of ($.215) billion or (1.6) percent in property valuation. Okaloosa County has a diversified property tax base. The ten largest property tax payers in the County represent approximately only 3.82 percent of the total ad valorem property tax levy. During 2013, total value of new residential construction in the County was valued at $121 million and total value of new non-residential construction was valued at $30 million for a total of just $151 million in new construction. The total construction figure for 2013 represented a $34 million increase from 2012. More information on economic factors is provided in the Statistical Section. Request for information This financial report is designed to provide the reader an overview of the County. Questions regarding any information provided in this report should be directed to: Finance Department 302 N Wilson Street, Suite 203 Crestview, Florida, 32536. 15 Packet Pg. 58 (THIS PAGE INTENTIONALLY LEFT BLANK) Packet Pg. 59 Basic Financial Statements Packet Pg. 60 Packet Pg. 61  Exhibit I Okaloosa County, Florida STATEMENT OF NET POSITION September 30, 2013 Primary Government Governmental Business-type Total Activities Activities ASSETS Current Assets Cash and Cash Equivalents $ 29,243,043 $ 23,610,150 $ 52,853,193 Investments 25,084,962 9,317,723 34,402,685 Receivables, Net of Allowance for Uncollectibles 1,379,800 8,406,481 9,786,281 Internal Balances (187,841) 187,841 - Due from Other Governments 5,089,918 1,986,774 7,076,692 Inventories 297,228 1,701,785 1,999,013 Prepaid Expenses 441,755 132,584 574,339 Restricted Assets Cash and Cash Equivalents Customer Deposits - 1,396,154 1,396,154 Other Deposits - 11,327,466 11,327,466 Investments - 18,992,708 18,992,708 Total Current Assets 61,348,865 77,059,666 138,408,531 Noncurrent Assets Capital Assets (Net of Accumulated Depreciation) Land 11,558,076 11,317,940 22,876,016 Buildings 49,247,391 69,030,835 118,278,226 Improvements Other Than Buildings 23,695,092 138,389 23,833,481 Intangibles 1,365,248 131,171 1,496,419 Machinery and Equipment 8,483,694 3,381,094 11,864,788 Construction in Progress 2,082,658 7,414,812 9,497,470 Infrastructure 66,812,907 227,241,336 294,054,243 Works of Art - 99,060 99,060 Total Noncurrent Assets 163,245,066 318,754,637 481,999,703 Total Assets $ 224,593,931 $ 395,814,303 $ 620,408,234 LIABILITIES Current Liabilities Accounts Payable and Other Accrued Liabilities 6,213,204 3,141,902 9,355,106 Due to Other Governments 302,119 26,802 328,921 Unearned Revenue 1,343,027 2,921,838 4,264,865 Due to Depositors 160,075 - 160,075 Continued… 16 Packet Pg. 62  Exhibit I Okaloosa County, Florida STATEMENT OF NET POSITION September 30, 2013 Primary Government Governmental Business-type Total Activities Activities Current Liabilities (Continued) Liabilities Payable from Restricted Assets Customer Deposits - 1,508,893 1,508,893 Interest Payable - 1,622,336 1,622,336 Loans and Revenue Bonds Payable - 4,992,295 4,992,295 Current Portion of Long-term Obligations Compensated Absences 3,312,560 972,808 4,285,368 Closure Costs Payable - 249,692 249,692 Claims and Judgments 2,540,030 - 2,540,030 Notes Payable 591,000 432,190 1,023,190 Revenue Bonds Payable 738,000 60,809 798,809 Total Current Liabilities 15,200,015 15,929,565 31,129,580 Noncurrent Liabilities Noncurrent Portion of Long-term Obligations Compensated Absences 2,330,532 739,441 3,069,973 Closure Costs Payable - 3,151,516 3,151,516 Claims and Judgments 2,613,782 - 2,613,782 Notes Payable 4,382,393 20,096,841 24,479,234 Loans and Bonds Payable, Net of Unamortized Loan costs 27,772,203 88,798,188 116,570,391 Other Post Employment Benefits 4,490,462 284,986 4,775,448 Total Noncurrent Liabilities 41,589,372 113,070,972 154,660,344 Total Liabilities