Fort Walton Beach — Comprehensive Financial Report September 30, 2017 — reading text

and transfers 18,562,413 (615,782) 17,946,631 CHANGE IN NET POSITION (1,200,414) 2,461,975 1,261,561 NET POSITION AT BEGINNING OF YEAR - RESTATED 29,194,062 23,697,724 52,891,786 NET POSITION AT END OF YEAR $ 27,993,648 $ 26,159,699 $ 54,153,347 See notes to the financial statements. 16  CITY OF FORT WALTON BEACH, FLORIDA GOVERNMENTAL FUNDS BALANCE SHEET SEPTEMBER 30, 2017 Community Other Total Redevelopment Governmental Governmental General Agency Funds Funds ASSETS Cash and cash equivalents $ 2,116,586 $ 312,224 $ 489,598 $ 2,918,408 Investments 10,806,734 1,350,842 2,728,937 14,886,513 Receivables 893,146 332,855 - 1,226,001 Due from other funds 67,846 - - 67,846 Due from other governments 150,817 - 87,301 238,118 Inventory, at cost 245,181 - - 245,181 Restricted assets Cash and cash equivalents - - 21,156 21,156 TOTAL ASSETS $ 14,280,310 $ 1,995,921 $ 3,326,992 $ 19,603,223 LIABILITIES Accounts payable $ 299,647 $ 104,995 $ 57,972 $ 462,614 Accrued liabilities 316,614 6,647 19,122 342,383 Due to other funds - - 67,846 67,846 Due to other governments 18,108 - - 18,108 Advance from other funds 360,253 - - 360,253 Unearned revenue 23,720 - - 23,720 Total liabilities 1,018,342 111,642 144,940 1,274,924 DEFERRED INFLOW OF RESOURCES Unavailable revenue 782,633 331,795 - 1,114,428 FUND BALANCE Nonspendable 245,181 - - 245,181 Restricted 93,456 1,552,484 448,048 2,093,988 Committed 6,687,557 - 2,739,865 9,427,422 Assigned 1,891,555 - - 1,891,555 Unassigned 3,561,586 - (5,861) 3,555,725 Total fund balance 12,479,335 1,552,484 3,182,052 17,213,871 TOTAL LIABILITIES, DEFERRED INFLOW OF RESOURCES, AND FUND BALANCE $ 14,280,310 $ 1,995,921 $ 3,326,992 $ 19,603,223 See notes to the financial statements. 17  CITY OF FORT WALTON BEACH, FLORIDA GOVERNMENTAL FUNDS RECONCILIATION OF THE BALANCE SHEET TO THE STATEMENT OF NET POSITION SEPTEMBER 30, 2017 Fund balance, total governmental funds (page 17) $ 17,213,871 Amounts reported for governmental activities in the statement of net position are different because: Capital assets used in governmental activities are not financial resources and therefore are not reported in the funds. Governmental non-depreciable/amortizable assets 11,121,076 Governmental depreciable/amortizable assets 67,800,526 Less accumulated depreciation/amortization (40,424,749) 38,496,853 Unavailable revenues in governmental funds is susceptible to full accrual on the entity-wide statements. Special assessments 376,619 Receivable related to sale of capital asset 737,809 1,114,428 Deferred inflows of resources and deferred outflows of resources are not available/receivable or due/payable, respectively, in the current period and therefore are not reported in the governmental funds. Deferred outflows of resources – City pension contributions made subsequent to the measurement date 2,689,792 Deferred outflows of resources – net difference between projected and actual earnings on pension plan investments 2,211,907 Deferred outflows of resources - differences between expected and actual experience with regard to economic or demographic assumptions on pension plan investments 394,085 Deferred outflows of resources - changes in assumptions on pension plan investments 4,296,406 Deferred outflows of resources - changes in assumptions related to OPEB plan 443,296 Deferred inflows of resources – differences between expected and actual experience with regard to economic or demographic assumptions on pension plan investments (1,032,099) 9,003,387 Long-term liabilities are not due and payable in the current period and therefore are not reported in the governmental funds. Notes payable (11,073,656) Accrued interest (70,816) Capital leases (76,099) Compensated absences (666,754) Other post-employment benefits (4,815,320) Net pension liability (21,132,246) (37,834,891) Net position of governmental activities (page 15) $ 27,993,648 See notes to the financial statements. 18  CITY OF FORT WALTON BEACH, FLORIDA GOVERNMENTAL FUNDS STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE FOR THE YEAR ENDED SEPTEMBER 30, 2017 Community Other Total Redevelopment Governmental Governmental General Agency Funds Funds REVENUES Taxes $ 11,183,941 $ 1,036,451 $ - $ 12,220,392 Permits and fees 2,081,095 23,163 409,920 2,514,178 Intergovernmental 3,386,955 613,138 266,332 4,266,425 Charges for services 2,488,384 - - 2,488,384 Fines 118,740 - 8,666 127,406 Miscellaneous 686,390 69,791 286,777 1,042,958 Total revenues 19,945,505 1,742,543 971,695 22,659,743 EXPENDITURES Current General governmental services 3,228,767 - - 3,228,767 Public safety 8,967,487 403,380 542,477 9,913,344 Physical environment 359,428 - 13,124 372,552 Transportation 890,762 - - 890,762 Economic environment - 1,214,268 254,125 1,468,393 Culture and recreation 4,170,787 - - 4,170,787 Capital outlay 1,579,541 9,774 8,970 1,598,285 Debt service Principal - - 682,229 682,229 Interest 8,155 - 308,474 316,629 Total expenditures 19,204,927 1,627,422 1,809,399 22,641,748 EXCESS (DEFICIENCY) OF REVENUES OVER (UNDER) EXPENDITURES 740,578 115,121 (837,704) 17,995 OTHER FINANCING SOURCES (USES) Transfers in 781,956 - 1,012,463 1,794,419 Transfers out (1,012,463) - (20,217) (1,032,680) Total other financing sources (uses) (230,507) - 992,246 761,739 NET CHANGE IN FUND BALANCE 510,071 115,121 154,542 779,734 FUND BALANCE AT BEGINNING OF YEAR 11,969,264 1,437,363 3,027,510 16,434,137 FUND BALANCE AT END OF YEAR $ 12,479,335 $ 1,552,484 $ 3,182,052 $ 17,213,871 See notes to the financial statements. 19  CITY OF FORT WALTON BEACH, FLORIDA GOVERNMENTAL FUNDS RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE TO THE STATEMENT OF ACTIVITIES FOR THE YEAR ENDED SEPTEMBER 30, 2017 Net change in fund balance – governmental funds (page 19) $ 779,734 Amounts reported for governmental activities in the statement of activities are different because: Governmental funds do not report capital assets on the balance sheet; however, they are reported in the government-wide financial statements. Governmental funds report capital outlays as expenditures; however, in the statement of activities, the cost of those assets is depreciated/amortized over the estimated useful lives of the assets. Expenditures for capital assets 1,598,285