Financial Report - CAFRMEMORANDUM
January 15,2002
TO:
FROM:
SUBJECT:
The Honorable Mayor and City Council Members
Michael C. Van Milligen, City Manager
Submission of Fiscal Year Ended June 30, 2001 Comprehensive Annual
Financial Report (CAFR), Parking Facilities Financial Statements,
Management Letter and Responses to Management Letter
Finance Director Ken TeKippe is transmitting the Fiscal Year 2001 Comprehensive
Financial Report (CAFR), Parking Facilities Financial Statements, Management Letter
and City Responses to the Management Letter. The City's independent auditor found
no instances of matedal non-compliance with all applicable laws, regulations, contracts,
and grants; and found the general-purpose financial statements free of material
misstatement. The auditor's report also notes that there are no material weaknesses in
the City's internal control structure. As part of the annual audit, the Auditor provides
comments in a management letter for improving the financial management system of
the City. The Auditor's comments are attached, as well as Finance Department
responses.
MCVM/jh
Attachment
CC;
Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
Kenneth J. TeKippe, Finance Director
CITY OF DUBUQUE, IOWA
MEMORANDUM
TO:
FROM:
SUBJECT:
DATE:
Michael C. Van Milligen, City Manager
Kenneth J. TeKippe, Finance Director
Submission of Fiscal Year Ended June 30, 2001 Comprehensive Annual
Financial Report (CAFR), Parking Facilities Financial Statements,
Management Letter and Responses to Management Letter
December 21, 2001
INTRODUCTION
The purpose of this memorandum is to submit the Fiscal Year 2001 CAFR and Parking
Facilities Financial Statements audited by Eide Bailly, LLP, and to enclose the Auditor's
Management Letter along with the City Finance staff's response. The City's
independent auditor found no instances of material non-compliance with all applicable
laws, regulations, contracts, and grants; and found the general-purpose financial
statements free of material misstatement. The auditor's report also notes that there are
no material weaknesses in the City's internal control structure.
BACKGROUND
The City of Dubuque is required to have an annual audit in accordance with generally
accepted auditing standards, Chapter 11 of the Code of lows, Government Auditinq
Standards and Office of Management and Budget (OMB) Circular A-133.
This Comprehensive Annual Financial Report is in conformance with the standardS Set
by OMB Cimular A-133. This federal regulation mandates audit standards for federal
programs.
The financial reports for governmental funds were prepared on the modified accrual
basis of accounting, under which revenues are recorded when they are measurable and
available and expenditures (other than interest on long-term debt) are recorded when
the liability is incurred. Financial reports for enterprise activities (Sewage Disposal
Works, Water Utility, Parking Facilities, Refuse Collection, Transit System) were
prepared on a full accrual basis.
Separate financial statements are required for Parking Facilities and Dubuque
Metropolitan Area Solid Waste Agency and have been received. The financial
information for these entities is included in the City of Dubuque Comprehensive Annual
Financial Report.
AUDITOR'S MANAGEMENT LETTER
As part of the annual audit, the Auditor provides comments in a management letter for
improving the financial management system of the City. The Auditor's comments are
attached as well as Finance Department responses.
ACTION STEP
It is recommended that the City Council receives and files the Fiscal Year 2001 reports
identified above and receives and files this communication and related enclosures.
Copies of the financial statements for the Dubuque Metropolitan Area Solid Waste
Agency are available in the Finance Department if desired by Council members.
KJT/gmm
Enclosures:
Fiscal Year 2001 CAFR
Parking Facilities Financial Statements
Auditor Management Letter
Responses to Comments in Auditor Management Letter
2
CITY OF DUBUQUE, IOWA
MEMORANDUM
TO:
FROM:
SUBJECT:
DATE:
Michael C. Van Milligen, City Manager
Kenneth J. TeKippe, Finance Director ~~//~. ~-"~;~
Responses to Audit Management Letter-Fiscal Year Ended June 30, 2001
December 21, 2001
INTRODUCTION
Responses to the "other comments" section of the October 25, 2001 management letter
issued by Eide Bailly LLP subsequent to completion of the Fiscal Year 2001 audit of the
City are hereby submitted.
BACKGROUND
A separate section in the Comprehensive Annual Financial Report (CAFR) for Fiscal
Year 2001 details specific findings and recommendations as well as City responses.
Pages 102-104 of the report provide this information. In addition to the comments in the
report, a management letter dated October 25, 2001 was issued which includes more
general comments relative to improving the City's overall accounting and control
systems.
DISCUSSION
Finance Department responses to the other comments follow:
Conversion of Accountinq Records - As noted in the management letter, City staff
prepared all workpapers to convert records to the modified accrual/accrual basis. City
staff will continue to work towards converting records from cash to GAAP at year end.
Policies and Procedures - Selected policies and procedures, such as travel
reimbursement, fixed asset accounting, insurance requirements, and purchasing are
documented by City Administrative Policies. The Finance Department has prepared a
manual to help define roles and duties of employees. This manual will be beneficial in
cross training employees and training new employees. The manual will be expanded to
detail accounting policies and procedures.
Federal Awards - The City Finance Department has expanded consolidated record
keeping for federal and state grants in recent years. The number of grants and
departments involved in grant projects has grown considerably over the past few years,
with the number of individual grants doubling. We will expand the grant accounting
function to include selected compliance elements other than financial.
Notes Receivable - Finance personnel had created a spreadsheet to track actual loan
receivables versus approved loan totals. Loan receivable reconciliations will be
maintained quarterly with the annual audit workpaper revised to reflect the actual
balances.
GASB 34 - Finance Department management has begun the process of preparing for
implementing GASB 34. The implementation will be a major project for the Finance
Department and requires the assistance of other City departments. A consulting firm will
be retained to assist with the project.
KJT/gmm
2
EideBailly LLP
Consultants Certified Public Accountants
To the Honorable Mayor and Members of
the City Council
City of Dubuque
Dubuque, Iowa
We have audited the financial statements of the City of Dubuque, Iowa, for the year ended June 30, 2001, and
have issued our report thereon dated October 25, 2001. Professional standards require that we provide you with
the following information related to our audit.
Our Responsibility Under Auditing Standards Generally Accepted in the United
States of America and OMB Circular A-133
As stated in our engagement letter dated May 9, 2001, our responsibility, as described by professional standards,
is to plan and perform our audit to obtain reasonable, but not absolute, assurance about whether the financial
statements are free of material misstatement. Because an audit is designed to provide reasonable, but not absolute,
assurance and because we did not perform a detailed examination of alt transactions, there is a risk that material
errors, fraud, or illegal acts may exist and not be detected by us.
In planning and performing our audit, we considered the City's internal control over fmancial reporting in order to
determine our auditing procedures for the purpose of expressing our opinion on the financial statements and not to
provide assurance on the internal control over f'mancial reporting. We also considered internal control over
compliance with requirements that could have a direct and material effect on a major federal program in order to
determine our auditing procedures for the purpose of expressing our opinion on compliance and to test and report
on internal control over compliance in accordance with OMB Circular A-133.
As part of obtaining reasonable assurance about whether the City's fmancial statements are free of material
misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts and
grants, noncompliance with which could have a direct and material effect on the determination of financial
statement mounts. However, providing an opinion on compliance with those provisions was not an objective of
our audit. Also, in accordance with OMB Circular A-133, we examined, on a test basis, evidence about the City's
compliance with the types of compliance requirements described in the U.S. Office of Management and Budget
(OMB) Circular A-133 Compliance Supplement applicable to each of its major federal programs for the purpose
of expressing an opinion on the City's compliance with those requirements. While our audit provides a reasonable
basis for our opinion, it does not provide a legal determination on the City's compliance with those requirements.
3999 Pennsylvania Ave. ° Suite 100 ° Dubuque, Iowa 52002.2639 ° 563.556.1790 ° Fax 563.557.7842
Offices in Arizona, Iowa, Minnesota, Montana, North Dakota and Souda Dakota ° Equal Opportunity Employer
To the Honorable Mayor and Members of
the City Council
City of Dubuque
Page 2
Significant Accounting Policies
Management has the responsibility for selection and use of appropriate accounting policies. In accordance with
the terms of our engagement letter, we will advise management about the appropriateness of accounting policies
and their application. The sigrdficant accounting policies used by the City of Dubuque, Iowa, are described in
Note 1 to the financial statements. For the year ended June 30, 2001, the City adopted Governmental Accounting
Standards Board Statement No. 33, Accounting and Financial Reporting for Nonexchange Transactions. Tins
standard establishes accounting and financial reporting standards for nonexchange transactions involving capital
or financial resources (for example, most taxes, grants, and private donations). The principal issue addressed in
the standard is the timing of recognition of nonexchange transactions. We noted no transactions entered into by
the City during the year that were both significant and unusual, and of which, under professional standards, we are
required to inform you, or transactions for which there is a lack of authoritative guidance or consensus.
Accounting Estimates
Accounting estimates are an integral part of the f'mancial statements prepared by management and are based on
management's knowledge and experience about past and current events and assumptions about future events.
Certain accounting estimates are particularly sensitive because of their significance to the financial statements and
because of the possibility that future events affecting them may differ significantly from those expected.
Audit Adjustments
For purposes of this letter, professional standards define an audit adjustment as a proposed correction of the
financial statements that, in our judgment, may not have been detected except through our auditing procedures.
An audit adjustment may or may not indicate matters that could have a significant effect on the City's financial
reporting process (that is, cause future financial statements to be materially misstated). In our judgment, none of
the adjustments we proposed, whether recorded or unrecorded by the City, either individually or in the aggregate,
indicate matters that could have a significant effect on the City's financial reporting process.
Disagreements With Management
For purposes of tiffs letter, professional standards define a disagreement with management as a matter, whether or
not resolved to our satisfaction, concerning a financial accounting, reporting, or auditing matter that could be
significant to the financial statements or the auditor's report. We are pleased to report that no such disagreements
arose during the course of our audit.
Difficulties Encountered in Performing the Audit
We encountered no significant difficulties in dealing with management in performing and completing our audit.
To the Honorable Mayor and Members of
the City Council
City of Dubuque
Page 3
Other Comments
We have included additional comments regarding the f'mancial statements and operations. These comments are
not a result of in-depth study of any specific areas but are based on observations made during the course of our
audit. Our observations indicate that overall financial operations of the City continue to be conducted in an
efficient and effective manner.
This report, a public record by law, is intended solely for the information and use of the officials, employees, and
citizens of the City of Dubuque, Iowa, and other parties to whom the City of Dubuque, Iowa, may report. This
report is not intended to be and should not be used by anyone other than these specified parties.
As always, we will be happy to discuss these or any other topics at your convenience. We would like to take this
opportunity to express our appreciation to you and your staff for the fine cooperation that we received during the
course of the audit. We look forward to many years of continued service to the City of Dubuque, Iowa.
Dubuque, Iowa
October 25, 2001
CITY OF DUBUQUE, IOWA
YEAR ENDED JUNE 30, 2001
OTHER COMMENTS
Conversion of Accounting Records
The City maintains its accounting records using the cash basis of accounting. However, in order to comply with
accounting principles generally accepted in the United States of America, the comprehensive armual financial
report (CAFR) must be prepared using the modified accrual/accrual basis of accounting. Eide Bailly LLP currently
posts all adjustments at year-end which are necessary to convert the City's cash-basis amounts to the amounts
used in the CAFR.
At this time, the City is doing the workpapers needed to convert the accounting records to the modified
accrual/accrual basis at year-end. Eide Bailly LLP posts the journal entries and prepares the financial statements.
Although it may require increased staff'mg levels, we encourage the Finance Department to continue in their
advancement of converting to the modified accrual/accrual basis and preparation of the financial statements
required in the CAFR.
Policies and Procedures
We noted that the City has begun to develop a written manual of accounting policies and procedures but that the
manual is not complete at this time. Such a manual helps to define the roles and duties of employees and ensures
that policies and procedures are consistently applied. The City should continue to develop the manual of
accounting polices and procedures and complete it as soon as possible.
Federal Awards
The City receives many federal awards each year. Some of these award programs are ongoing from year to year,
such as the CDBG Entitlement Program~ For all federal programs, there are requirements that must be adhered to
in order to be in compliance with federal laws and regulations.
Presently, the City of Dubuque has a part-time person in the Finance Department providing limited accounting
assistance to some of the departments with federal programs. We recommend that the City expand this position to
offer compliance assistance, in addition to accounting assistance, to all departments that receive federal grants.
This position would assist the City in staying in compliance with federal laws and regulations and would
eliminate much unnecessary time being spent in various City departments trying to determine which compliance
elements apply to their particular grant.
Notes Receivable
The City has several loan programs under which it loans money to individuals owning certain housing for the
purpose of rehabilitating the property. The City uses a software program to track the amount of notes receivable
under these various programs. We noted that loan amounts are entered into the software program as receivable
amounts immediately upon the approval of the loan, regardless of whether the money has actually been paid out
by the City. As a result, the outstanding loan amounts per the loan reports may overstate the amount due to the
City. Finance personnel should include these unfunded amounts in their notes receivable reconciliation to arrive at
the correct receivable.
CITY OF DUBUQUE, IOWA
YEAR ENDED JUNE 30, 2001
OTHER COMMENTS
GASB 34
The Governmental Accounting Standards Board has issued Statement 34, Basic Financial Statements - and
Management's Discussion and Analysis - for State and Local Governments. Tins statement presents the most
sweeping changes ever in f'mancial reporting for local governments. When implemented it will create new
information and will restructure much of the information that governments have presented in 'the past. The
following are some of the major changes required by the statement:
Management's discussion and analysis of the financial statements will be required supplementary
information.
The basic financial statements will now include additional entity-wide financial statements prepared on
the accrual basis.
The fund level statements will present "major funds" rather than having totals for each individual fund
type. Since the fund level statements for governmental funds will continue to be presented on the
modified accrual basis, a reconciliation to the entity-wide statements must be presented.
Fixed assets and long-term debt, which had previously been reported in account groups separate from the
funds, will now be reported within the funds in the entity-wide statements; and depreciation must be
recorded on the fixed assets. Also, the fixed assets are to include infrastructure assets determined on a
retroactive as well as prospective basis. Infrastructure assets must also be depreciated unless you choose
to adopt the allowable modified approach described in the statement.
Budget to actual comparisons will now be required supplemental information and must include
information on the original adopted budget as well as the final adopted budget.
There are many more changes that will be required to your financial reporting in order to comply with all of the
provisions of Statement 34. We recommend that you familiarize yourselves with the statement and continue
planning for the many changes that will be needed. The requirements of the statement are effective in three phases
based on a government's total revenues (excluding extraordinary items) for the year ended June 30, 1999. Based
on this information, we believe the City of Dubuque is required to adopt the statement for the fiscal year ending
June 30, 2003.
CITY OF DUBUQUE, IOWA
Comprehensive Annual
Financial Report
For the fiscal year ended
June 30, 2001
Prepared by:
Department of Finance
INTRODUCTORY SECTION
CITY OF DUBUQUE, IOWA
Table of Contents
INTRODUCTORY SECTION
Table of Contents
Letter of Transmittal
City Organizational Chart
Officials
Certificate of Achievement for Excellence in Financial Reporting
FINANCIAL SECTION
Independent Auditor's Report
General Purpose Financial Statements:
Combined Balance Sheet - All Fund Types, Account Groups, and
Discretely Presented Component Unit
Combined Statement of Revenues, Expenditures, and Changes in Fund
Balances - All Governmental Fund Types and Expendable Trust Funds
Combined Statement of Revenues, Expenditures, and Changes in Fund
Balances - Budget and Actual (Budgetary Basis) - All Governmental
Fund Types
Combined Statement of Revenues, Expenses, and Changes in Retained
Earnings/Fund Balances - All Proprietary Fund Types, Nonexpendable
Trust Funds, and Discretely Presented Component Unit
Combined Statement of Cash Flows - All Proprietary Fund Types,
Nonexpendable Trust Funds, and Discretely Presented Component Unit
Notes to Financial Statements
Combining and Individual Fund and Account Group Statements and
Schedules:
General Fund: Balance Sheet
Statement of Revenues, Expenditures, and Changes in Fund Balances
Special Revenue Funds: Combining Baianee Sheet
Combining Statement of Revenues, Expenditures, and Changes in Fund
Balances
Debt Service Fund: Balance Sheet
Statement of Revenues, Expenditures, and Changes in Fund Balance
Capital Projects Funds: Combining Balance Sheet
Combining Statement of Revenues, Expenditures, and Changes in Fund
Balances
Exhibit
1
2
3
4
5
A-1
A-2
B-1
B-2
C-1
C-2
D-1
D-2
Page
1-3
4-14
15
16
17
18-19
20-22
23
24
25
26-27
28-49
5O
51
52
53
54
55
56
57
1
CITY OF DUBUQUE, IOWA
Table of Contents
Enterprise Funds:
Combining Balance Sheet
Combining Statement of Revenues, Expenses, and Changes in
Retained Earnings
Combining Statement of Cash Flows
Internal Service Funds:
Combining Balance Sheet
Combining Statement of Revenues, Expenses, and Changes in
Retained Earnings
Combining Statement of Cash Flows
Trust and Agency Funds:
Combining Balance Sheet
Expendable Trust Ftmds:
Combining Balance Sheet
Combining Statement of Revenues, Expenditures, and Changes
in Fund Balances
Nonexpendable Trust Funds: Combining Balance Sheet
Combining Statement of Revenues, Expenses, and Changes in
Fund Balances
Combining Statement of Cash Flows
Agency Funds:
Combining Statement of Changes in Assets and Liabilities
General Fixed Assets Account Group:
Comparative Schedules of General Fixed Assets by Source
Schedule of General Fixed Assets - By Program and Department
Schedule of Changes in General Fixed Assets - By Program and
Department
STATISTICAL SECTION (Unaudited)
General Governmental Expenditures by Function
General Governmental Revenues by Source
General Governmental Tax Revenues by Source
Property Tax Levies and Collections
Assessed and Estimated Actual Value of Property
Property Tax Rates - Direct and Overlapping Governments
Principal Taxpayers
Special Assessment Billings and Collections
Computation of Legal Debt Margin
Ratio of Net General Obligation Bonded Debt to Assessed
Value and Net General Obligation Bonded Debt Per Capita
Ratio of Annual Debt Service Expenditures for General Obligation
Bonded Debt to Total General Governmental Expenditures
Exhibit
E-1
E-2
E-3
F-1
F-2
F-3
G-1
G-2
G-3
G-4
G-5
G-6
G-7
H-1
H-2
H-3
1
2
2A
3
4
5
6
7
8
10
Page
58-59
6O
61-62
63
64
65
66
67
68
69
70
71
72
73
74
75
76
77
77
78
79
80
81
82
83
84
85
2
CITY OF DUBUQUE, IOWA
Table of Contents
STATISTICAL SECTION (Unaudited) (continued)
Computation of Direct and Overlapping Debt - General Obligation
Bonds
Revenue Bond Coverage - Parking Bonds
Property Value, Construction Permits, and Bank Deposits
Taxable Retail Sales
Demographic Statistics
Schedule of Insurance in Force
Miscellaneous Stafistcs
COMPLIANCE SECTION
Independent Auditor's Report on Compliance and on Intemal
Control over Financial Reporting Based on an Audit of Financial
Statements Performed in Accordance with Government Auditing
Standards
Independent Auditor's Report on Compliance with Requirements
Applicable to Each Major Program and Internal Control Over
Compliance in Accordance with OMB Circular A-133
Schedule of Expenditures of Federal Awards
Notes to the Schedule of Expenditures of Federal Awards
Schedule of Findings and Questioned Costs
Table
11
12
13
14
15
16
17
Page
86
87
88
89
90
91-92
93
94-95
96-97
98-100
101
102-105
Finance Department
50 West 13th Street
Dubuque, Iowa 52001-4864
October 25, 2001
TO THE CITIZENS OF DUBUQUE, IOWA:
The comprehensive annual finaneial report of the City of Dubuque, Iowa, for the fiscal year
ended June 30, 2001, is hereby submitted. Responsiblity for both the accuracy of the data and the
completeness and fairness of the presentation, including all disclosures, rests with this governing
body. To the best of our knowledge and belief; the enclosed data is accurate in all material
respects, and is reported in a manner designed to present fairly the financial position and results of
operations of the various funds and account groups of this municipality. All disclosures necessary
to enable the reader to gain an understanding of the government's financial activities have been
included.
The comprehensive annual financial report is presented in four sections: introductory,
financial, statistical and compliance. The introductory section includes this transmittal letter, the
government's organizational chart and a list of principal officials. The financial section includes the
general-purpose financial statements and the combining and individual fund and account group
financial statements and schedules, as well as the auditor's report on the fina~ial statements and
schedules. The statistical section includes selected financial and demographic information,
generally presented on a multi-year basis.
The City of Dubuque is required to undergo an annual single audit in conformity with the
U.S. Office of Management and Budget Circular A-133, Audits of States, Local Governments end
Non-Profit Or~animtions. Information related to this single audit, including the Schedule of
Expenditures of Federal Awards, findings and recommendations, and the auditor's report on
internal control over financial reporting and compliance with requirements applicable to laws,
regulations, contracts, and grants, are included in the Compliance Section of this report.
This report includes all funds- and account groups of the City of Dubuque, as well as its
component unit. Component units are legally separate entities for which the City of Dubuque is
financially accountable. The City provides a full range of services including; police and fire
protection, sanitation services, the construction and maintenance of roads, streets, and
infrastracture, inspection and licensing functions, maintenance of grounds and buildings, municipal
airport, library, recreational activities and cultural events. In addition to general government
activities, the municipality owns and operates enterprises for a water system, water pollution
control facility, parking facilities, refuse collection, and public transportation. Also, the governing
body is financially accountable for the operations of the Dubuque Library Board, Airport
Commksion, Civic Center Commiasion, Cable TV Commission, Transit Board, and the Park and
Recreation Commission. These activities are not legally separate entities, and therefore are
included in the reporting entity.
Service People Integrity Responsibility Innovation Teamwork
This report includes the Dubuque Metropolitan Area Solid Waste Agency (DMASWA) as
a discretely presented component unit. The discretely presented component unit is reported in a
separate colunm in the combined financial statements to emphasize that it is legally separate
from the City of Dubuque and to differentiate its f'mancial position, results of operations and
cash flows from those of the City. The City of Dubuque appoints a voting majority to the
DMASWA governing board and operates the landfill.
ECONOMIC CONDITION AND OUTLOOK
The City of Dubuque is located on the Mississippi River in northeast Iowa, adjacent to the
states of Illinois and Wisconsin. The City was founded by Julien Dubuque in 1785 and is the
oldest City in Iowa. The City of Dubuque has a unique combination of the old and new ranging
from cable cars, Victorian architecture, and a Civil War shot tower, to an enclosed shopping
mall, riverboat casino, and a pari-mutuel dog track with a slot machine casino. Dubuque has a
stable and diversified manufacturing base and is the major tri-state retail center. Employment
growth was strong throughout the year, as Dubuque ended the fiscal year with an unemployment
rate of approximately four percent. The City of Dubuque currently has a land area of 27 square
miles and a population of 57,686. As the largest City in the tri-state area, Dubuque serves as the
hub of a trade area with a population estimated at 250,000.
The City of Dubuque is empowered to levy a property tax on real property located within
the City limits. The City has operated under a council-manager form of government since 1920.
Policymaking and legislative authorities are vested in the governing council, which consists of a
mayor and a six-member council. The governing council is responsible for, among other things,
passing ordinances, adopting the budget, appointing committees, and hiring the City Manager,
City Attorney, and City Clerk. The City Manager is responsible for overseeing the day-to-day
operations of the government, and for appointing the heads of the government's departments.
The council is elected on a non-partisan basis. Council members are elected to four-year
staggered terms with three council members elected every two years. The mayor is elected to a
four-year term. Four of the council members are elected within their respective wards; the mayor
and the two remaining council members are elected at large.
The Dubuque workforce recruitment program called "Come Back to Your Future, Come
Home to Dubuque" continues to be an effective workfome solution for businesses in the area.
Since its inception in November 1997, more than 700 individuals have been hired as a direct
result of the program. An average of 250 users per day access the interactive website to find new
employment opportunities among the 450 job listings. Four hundred employers have signed up
to use the recruitment tool. Currently there are 27,500 resumes posted in the 25 categories &the
online JobQuest ResumeBank. Candidates can apply on-line and employers can search the
resume database by keywords. This proven recruitment tool continues to be an invaluable
method for attracting new businesses to the Dubuque area and assisting existing industries to
expand. The program was featured on Good Morning America and in the New York Times and
USA Today.
Development of Dubuque Industrial Center West continues. The first phase of the 550-acre
development of City owned land made 135 acres available for medium to heavy industrial uses.
Dubuque Area Industrial Development Corporation continues to market to developers its 40,000
square foot speculative industrial building located on twelve acres of Dubuque Industrial Center
West. The McGraw-Hill Company announced its intent to construct a 330,000 square foot
warehouse and distribution center at Dubuque Industrial Center West. Also, the sale of 17 acres
to Alliant Energy for a new operations facility is pending. Dubuque Industrial Center West
complements the recently completed, city-owned, 100 acm Dubuque Technology Park that
already has three occupants: Advanced Data-Comm, Cartegraph, and McLeod USA.
Eagle Window and Door completed construction of a new 400,000 square foot
manufacturing facility in the Kerper Boulevard industrial area, and moved into the facility in
December 2000. This $17,000,000 project will add 168 employees over the next three years.
CIGNA celebrated its grand opening in June 2001 following completion of a new 115,000
square foot office building in downtown Dubuque. With this expansion, CIGNA has already
added more than 200 employees. SISCO, a Dubuque based third party insurance administrator, is
currently renovating the Town Clock Building that is adjacent to their downtown Dubuque
facility. The renovation will give SISCO the potential to house another 100 employees.
Other downtown development includes the construction of the three-story Harbor View
Building at 300 Main Street. The building is home to the Chamber of Commerce and offers
additional office space for lease. The $2.5 million renovation of the Cooper Wagon Works
building at 3rd and Main Street continues. Once renovated, the building will house a restaurant,
lounge, banquet facilities, and upper floor office space. The Iowa Inn, located at 9th and Iowa
Street, is currently being rehabbed to provide 32 units for low-income senior housing.
On Dubuque's west side, development of 330,000 square feet of retail space in Asbury
Plaza began in July 2001. The plaza encompasses 190 acres and is anchored by Hy-Vee Food
Store.
With the recent economic growth, the City has annexed over 2,400 acres since 1995. In
contrast, only 40 acres were annexed in the first half of the decade. This is consistent with the
non-residential construction numbers in the community. From 1990-1997 the City averaged
300,000 square feet of non-residential construction per year. In the four years from 1998-2001,
the City has averaged 1,100,000 million square feet of non-residential construction.
MAJOR INITIATIVES
For the Year. The City of Dubuque staff, following the adopted priorities of the Mayor and
City Council, has been involved in a variety of projects throughout the year. These projects
reflect the City's commitment to continue to provide high quality services to the citizens of
Dubuque within the budget guidelines set by the Mayor and City Council.
Downtown revitalization continued as a high priority of City Council, with programs such
as the Downtown Rehabilitation Loan Program and Facade Grant Program providing incentives
for property improvement in the downtown area. The City Council voted to open Town Clock
Plaza from 5th to 8th Street, with construction scheduled to be completed in the fall of 2002. The
opening of Eighth Street to traffic through the plaza was the first phase of a multi-million-dollar
upgrade to the Town Clock Plaza. The City continued implementation of major parking
expansion to meet the increased parking demand in the downtown area. Included in the
expansion was a three-level, 240-space addition to the existing parking ramp at Fifth and Iowa
Street, and construction of a new 425 space parking ramp facility at Third and Iowa Street
scheduled for completion in June 2002. The City also sponsored a downtown visioning process
in conjunction with state and local partners.
Design and planning for the last phase of the Northwest Arterial, from JFK Road to U.S.
52, was completed and construction is under way. Grading for this project took place in 2001,
and paving is scheduled for 2002.
The Dubuque Regional Airport completed the second phase of the extension and
reconstruction of Runway 18/36 with the FAA providing ninety pement of the funding. The
extended Runway 18/36 will serve as the primary runway, and air service will be greatly
improved by reducing landing approach angles and weather related flight cancellations. An
eight-foot perimeter fencing project is underway which should improve safety by reducing the
amount of wildlife on the airfield. Passenger enplanement counts grew again from 56,084 in
1999 to 58,531 passengers in calendar year 2000. The City is currently served by two major
commuter airlines: American Eagle, with three daily round-trip flights to Chicago; and
Northwest Airlink, with three daily round-trip flights to Minneapolis. American Eagle has
replaced their turbo-prop aircraft, and Dubuque is now served by 50 passenger regional jets. The
Dubuque Regional Airport just received its eleventh consecutive year of a perfect FAA Part 139
inspection compliance. Dubuque is the only airport in the nation to currently hold this record.
The City and the Federal Government will have invested $25 million in the airport over a 10-
year period.
Implementation of the City Council's Neighborhood Reinvestment Strategy provided many
'quality of life' improvements for City residents. The Community Oriented Policing Program
expanded to include other City Departments in landlord/tenant training and building code
enforcement. Dubuque is one of the safest places to live in the Midwest, and 13 police officer
positions have been added since 1994 to implement new programs and enhance police coverage.
The Housing Department continued housing rehabilitation efforts including various home
ownership initiatives. During the.past fiscal year, 40 families were assisted in purchasing their
first home through use of Community Development Block Grant (CDBG) funds and a grant
received from the Federal Home Loan Bank. Housing rehabilitation assistance included
$682,000 in grants to remove lead paint hazards in single and multi-family housing units.
Through loans of $211,000 in CDBG funds, 35 rental units were rehabilitated. In total, the
Housing Department invested more than $2.6 million in homeowner and rental housing projects,
matched by $3.1 million in private investment. Neighborhood park development included the
installation of new play units in several neighborhood parks during the year. Seven million
dollars has been invested in the park system over a five-year period.
The City's ambitious riverfront development moved forward as planned during the year
and was awarded $40 million from the State of Iowa Vision Iowa program. The America's River
project is a public/private partnership between the City of Dubuque, the Dubuque County
Historical Society, the Dubuque Area Chamber of Commerce, and Dubuque County, to carry out
a comprehensive $188 million riverfront development along the Fourth Street Peninsula. This
area already includes historic sites, such as a Civil War Shot Tower, the William M. Black
steamboat, Mississippi River Museum, Dubuque Star Brewery, and the Ice Harbor. Progress on
riverfront development during the year included the following:
Mississippi River Discovery Center and Aquarium
The River Discovery Center and Aquarium will be a world-class national museum
for the entire Mississippi River. The Center will include 15 aquariums, including
five that measure 30 feet across. A dynamic immersion theater will surround
visitors with the story of the Mississippi River's creation, its floods, its history, and
its underwater life. An outdoor wetland will feature natural and living history with
floating laboratories and classrooms. Stream tables will let visitors create their own
rivers, and the educational overnight program will let visitors sleep on a "Boat and
Breakfast" on a National Historic Landmark steamboat.
Heritage Trail Riverfront System
Two and one-half miles of an 18-mile extension of the Heritage Bike Trail from the
north end of Dubuque through downtown, to the Mines of Spain State Recreation
Area were recently completed, with the opening of the North End Neighborhood
Trail and the Heron Pond Wetlands Nature Trail. Design and engineering are
proceeding on additional off-road and on-street segments of the trail extension.
When completed, Heritage Trail Riverfront System, with links to riverfront parks
and the Ice Harbor, will create a major recreational facility.
River's Edge Plaza
Construction was completed on a 5,000 square foot plaza outside the floodwall gate
at the historic Ice Harbor. This plaza serves as the City's riverfront gateway, as well
as a landing for large steamboats.
Mississippi Riverwalk
The City acquired a riverfront property on the 4th Street Peninsula for construction
of a one-third mile Riverwalk. This 15-foot wide promenade is scheduled for
completion by calendar year end 2002. The existing concrete floodwall will be
buried, and the walk will include benches, historic lighting, shade structures, and
cascading stairs to the river.
Hotel and Education/Conference Center
A 196-room seven-story hotel, and a 24,000 square foot indoor water park are
under construction near the Ice Harbor with completion anticipated by calendar
year end 2002.
Mississippi River National Education and Conference Center
A 115,000 square foot Education and Conference Center is in the design phase,
with connections to the hotel and riverwalk to be completed by September 2003.
The City's application for State Vision Iowa funding was approved for $40 million,
with half of this going to the City for the conference center related public
improvements.
The $188 million America's River Project is funded (River Discovery Center in process of
raising f'mal $4 million) and under construction. The 4th Street Peninsula has an additional 60
acres available for private development.
For the Future. The Mayor and City Council will continue to take action to achieve their goals
of maintaining a strong local economy, sustaining stable property tax levies, and enhancing the
safety and security of citizens through neighborhood vitality. The City staff will work to
implement the City Council's vision that "Dubuque is a Hometown for Our Families." A
program of comprehensive service reviews has continued as a vehicle for analyzing City
services, identifying opportunities for improvement, and determining areas of possible cost
reductions. The goal of the service review program is to ensure that services desired by the
cit/zens are provided in the most cost effective and efficient method possible. The City Council's
goals for the next five years and beyond include the following:
· Improved transportation network
· Strong local economy
· A "Balanced" community
· A safe community
· Riverfront Development
· Top quality City services
Specific programs are being implemented by City staff to meet the City Council's five-year
goals. Some of the most significant programs include:
· Riverfront Development - The City has partnered with several other agencies to enhance
one of Dubuque's greatest treasures, the Mississippi riverfront area. A $188 million
comprehensive plan for riverfront improvements has been developed, with implementation
scheduled over the next five years.
· Industrial Park Development - The City has acquired over 900 acres of industrial land and
has completed the first phase of construction for two industrial parks. City staff and the
Greater Dubuque Development Corporation are now working to attract new businesses and
meet the expansion needs of current businesses.
· Neighborhood Reinvestment - The highly successful Community Oriented Policing and
Uptown Recreation programs will continue. Work will continue on neighborhood
empowerment programs including property management and tenant training. The City
Street, Historic Preservation and Housing programs are also being expanded to affect
quality of life improvements at the neighborhood level.
9
· Downtown Redevelopment - Dubuque's downtown, situated between the Mississippi
River and tall tree-lined bluffs, is the home to many unique and historic buildings as well
as being the center of commerce and tourism. Several initiatives with other public and
private organizations have been planned for the downtown areas, including improvements
to Flat Iron Park, renovation of Town Clock Plaza, and a master plan for Five Flags Civic
Center.
· Transportation Improvements - The City will maintain its aggressive program to improve
local streets. Plans are in place to reconstruct or overlay sixty miles of streets over the next
five years. In a sixteen-year period from 1990-2006, the City will have completed sixty-
nine percent of the streets. From a more regional perspective, construction began on the
Northwest Arterial extensions in 2001, and corridor studies will be completed for the
Southwest Arterial and the Julien Dubuque Bridge four-lane replacement. Plans are also in
place to expand U.S. Highway 151, providing Dubuque with a four-lane link to Madison,
Wisconsin, and Cedar Rapids, Iowa, by 2004. The City, in partnership with local
stakeholders, also will implement a comprehensive way finding signage program
throughout the City with IDOT support.
All of this is being done while the City maintains fiscal integrity. Through efficient operation,
revenue diversification, and debt reduction, the City has not increased the average homeowners
property taxes in seven years, in fact, four of those year's property taxes went down.
These are a few of the many activities being addressed by the community, City Council, and City
staffto improve the quality of life in Dubuque.
FINANCIAL INFORMATION
City management is responsible for establishing and maintaining internal controls to ensure
that the assets of the government are protected from loss, theft or misuse, and to ensure that
adequate accounting data is compiled to allow for the preparation of financial statements in
conformity with generally accepted accounting principles. The internal controls are designed to
provide reasonable, but not absolute, assurance that these objectives are met. The concept of
reasonable assurance recognizes that: (1) the cost of a control should not exceed the benefits
likely to be derived; and (2) the valuation of costs and benefits requires estimates and judgments
by management.
Single Audit. As a recipient of federal and state financial assistance, the City of Dubuque's
government is responsible for ensuring that adequate internal controls are in place to ensure
compliance with applicable laws, regulations, contracts, and grants related to those programs.
These internal controls are subject to periodic evaluation by management and the internal audit
staff. As a part of the government's single audit described earlier, tests are made to determine the
adequacy of internal controls, including that portion related to federal programs, as well as to
determine that the government has complied with applicable laws, regulations, contracts, and
grants. The results of the government's single audit for the fiscal year ended June 30, 2001,
provided no instances of material weaknesses in internal control over compliance, or significant
violations of applicable laws, regulations, contracts and grants.
10
Budgeting Controls. In addition, the government maintains budgetary controls. The objective of
these budgetary controls is to ensure compliance with legal provisions embodied in the annual
appropriated budget approved by the City Council. All funds are included in the annual
appropriated budget. The level of budgetary control (that is the level at which expenditures
cannot legally exceed the appropriated mount) is established by program. The government also
maintains an encumbrance accounting system as one technique for accomplishing budgetary
control. Encumbered amounts lapse at year-end, however, encumbrances generally are re-
appropriated as part of the following year's budget.
As demonstrated by the statements and schedules included in the financial section of this
report, the government continues to meet its responsibility for sound financial management.
General Government Functions. The following schedule presents a summary of general fund,
special revenue funds and debt service fund revenues for the fiscal year ended June 30, 2001,
and the amount and percentage of increases and decreases in relation to prior year revenues.
Increase
(Decrease) Percent
Amount Percent from 2000 of Increase
Revenues (000's) of Total (000's) (Decrease)
Taxes $ 26,799 49.32% 1,238 4.84%
Special assessments 784 1.44% 706 903.85%
Licenses and permits 576 1.06% (37) -6.04%
Intergovernmental 13,769 25.33% 1,629 13.41%
Charges for services 8,127 14.95% 245 3.11%
Fines and forfeits 369 0.68% 28 8.21%
Miscellaneous 1,204 2.22% 332 38.07%
Interest 2,720 5.00% 907 50.03%
Total Revenues $ 54,348 100.00% $ 5,048 10.24%
The tax rate of $5.99014 established for general fund operations (excluding fringe benefits)
for FY 2001 is within the tax rate limit of $8.10 per $i,000 of taxable valuation allowed by the
Code of Iowa. The $.2193 increase bom FY 2000 is primarily a result of wage settlements and
inflation.
Special assessments increased due to substantial projects during FY 2001.
Intergovernmental revenue increased due to the number of grants received.
Interest eumings increased due to prudent investing and good economic condition.
The following schedule presents a summary of general fund, special revenue funds and
debt service fund expenditures for the fiscal year ended June 30, 2001, and the percentage of
increases and decreases in relation to prior year amounts.
11
Amount
Expenditures (O00's)
Increase
(Decrease) Percent
Percent From2000 oflncrease
of Total (000's) (Decrease)
Policy & Administration $ 5,442
Community Protection 15,064
Home & Community Env/ron. 16,410
Human Development 8,653
11.23% $ 504 10.19%
31.09% 1,157 8.32%
33.87% 1,427 9.52%
17.86% 1,159 15.45%
Debt Service:
Principal 2,112
Interest and fiscal charges 770
4.36% 267 14.47%
1.59% 303 64.67%
Total Expenditures
$ 48,45t 100.00% $ 4,817 11.03%
The increase in expenditure mounts for the Policy and Administration program was
primarily related to capital improvement programs ($327) with the balance for operations.
The increase in expenditure amounts for the Community Protection programs was
primarily related to capital improvement programs, increased flood control and enhanced
operations.
The increase in expenditure amounts for the Home & Community Environment programs
was primarily related to snow removal costs doubling and America's River Project matching
costs incurred.
The increase in expenditure amounts for the Human Development programs was primarily
related to Park & Recreation capital improvement programs with the balance for operations.
The increase in debt service is due to additional debt incurred during 2000 for parking
ramp projects and the T-hanger project.
General Fund Balance. The Dubuque City Council has set a budget guideline of maintaining a
general fund balance of ten percent of the budget provision which is available.
Enterprise Operations. The enterprise operations consist of water and wastewater systems,
parking facilities, refuse collection, and a transit system. With respect to the outstanding parking
revenue bonds, earnings from the parking facilities have met bond covenant requirements for net
revenues to be equal to either 130% or 135% of current debt service requirements.
Debt Administration. At June 30, 2001, the City of Dubuque had a number of debt issues
outstanding. These issues included $12,410,000 of general obligation bonds, $5,963,585 of tax
increment financing debt, $1,890,000 of revenue bonds, and a $313,445 of note payable to be
funded by grants, donations and guarantors. The government has maintained its Aa3 rating from
Moody's Investors Service on general obligation bond issues. Under current state statutes, the
government's general obligation bonded debt issues are subject to a legal lim/tation based on five
12
percent of total actual value of real property. As of June 30, 2001, the government's net general
obligation debt of $18,687,000 was well below the legal limit of $100,745,000.
Cash Management. Cash temporarily idle during the year was invested in demand deposits,
certificates of deposit, repurchase agreements, U.S. Treasury securities, federal agency
obligations, and authorized mutual funds. The City recorded investment earnings of $3,678,412
for the year.
The investment policy adopted by the City Council stresses the importance of capital
preservation. The policy directives intend to minimize credit and market risks while maintaining
a competitive yield on the portfolio. Accordingly, deposits were either covered by federal
depository insurance or collateralized. All collateral on uninsured deposits was held either by the
State Treasurer, the government, its agnnt, or a financial institution's trust department in the
government's name. All of the investments subject to risk categorization were classified in the
category of lowest credit risk as defined by the Governmental Accounting Standards Board. The
non-classified investments include mutual funds.
Risk Management. The City of Dubuque is a member of a statewide risk pool for local
governments, the Iowa Communities Assurance Pool. The coverage for general and auto
liability, as well as public official and police professional liability are acquired through this
agency. Worker's compensation coverage up to $400,000 for each accident is provided through
self-insurance. The accumulated reserve provision for such claims equaled $936,539 as of June
30, 2001. The City has also established self-insurance plans for medical, dental, prescription
drug, and short-term disability. The accumulated reserve provision for such claims equaled
$1,240,391 as of June 30, 2001. All self-insured health plans are certified as actuarially sound
and certificates of compliance have been filed with the State of Iowa.
OTHER INFORMATION
Independent Audit. State statutes require an annual audit by independent certified public
accountants. The accounting firm of Eide Bailly LLP was selected for this purpose. In addition
to meeting the requirements set forth in state statutes, the audit also was designed to meet the
requirements of OMB Circular A-133, Audits of States, Local Governments, and Non-Profit
Organizations. The independent auditor's report on the general-purpose financial statements and
combining and individual fund statements and schedules is included in the financial section of
this report. The auditor's report related specifically to the single audit is included in the
Compliance Section.
Awards. The Government Finance Officers Association of the United States and Canada
(GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to the City
of Dubuque, Iowa, for its comprehensive armual financial report for the fiscal year ended June
30, 2000. This was the thirteenth consecutive year that the government has achieved this
prestigious award. In order to be awarded a Certificate of Achievement, a government unit must
publish an easily readable and efficiently organized comprehensive annual financial report. This
report must satisfy both generally accepted accounting principles and applicable legal
requirements.
13
A Certificate of Achievement is valid for a period of one year only. We believe our current
comprehensive annual financial report continues to meet the Certificate of Achievement program
requirements, and we are submitting it to the GFOA to determine its eligibility for another
certificate.
Acknowledgments. We compliment the staff of the finance department for their assistance in
preparing this report. We also commend the City Council and all department and division
managers for their interest and support in planning and conducting the financial operations of the
City of Dubuque in a responsible and progressive manner. We also thank the independent
certified public accountants, Eide Bailly LLP, whose competent assistance and technical
expertise have enabled the production of this report.
Michael C. Van Milligen
City Manager
Kenneth J. TeKippe, CPA
Finance Director
I4
CITY OF DUBUQUE, IOWA
OFFICIALS
JUNE 30, 2001
CITY COUNCIL
Terrance M. Duggan
Daniel E. Nicholson
Ann E. Michalski
John H. Markham
Roy D. Bnol
Joseph T. Robbins
Patricia A. Cline
Mayor
Council Member - At Large
Council Member - At Large
Council Member - 1st Ward
Council Member - 2~d Ward
Council Member - 3rd Ward
Council Member - 4t~ Ward
COUNCIL APPOINTED OFFICIALS
Michael C. Van Milligen
Barry A. Lindahl
William G. Blum
James A. O'Brien
Jeanne F. Schneider
City Manager
Corporation Counsel
City Solicitor
Assistant City Attorney
City Clerk
DEPARTMENT MANAGERS
Pauline J. Joyce
Kenneth J. Kraemer
Cynthia M. Ste'mhauser
Richard R. Russell
Pamela K. Myhre
Kenneth J. TeKippe
E. Daniel Brown
Mary Rose Corrigan
David W. Harris, Jr.
Kelly R. Larson
Randall K. Peck
Christine A. Kohlmarm
Gil D. Spence
Thomas J. Moran
Donald J. Vogt
Lama B. Carstens
~ B. Wadding
Michael A. Koch
Robert M. Green
Paul J. Horsfall
Administrative Services Manager
Airport Manager
Assistant City Manager
Building Services Manager
Economic Development Director (Acting)
Finance Director
Fire Chief
Health Services Manager
Housing and Community Development Manager
Human Rights Director
Personnel Manager
Information Services Manager
Leisure Services Manager
Library Director
Operations & Maintenance Manager
Planning Services Manager
Police Chief
Public Works Director
Water Department Manager
Water Pollution Control Plant Manager
16
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
City of Dubuque,
Iowa
For its Comprehensive Annual
Financial Report
for the Fiscal Year Ended
June 30, 2000
A Certificate of Achievement for Excellence in Financial
Reporting is presented by the Government Finance Officers
Association of the United States and Canada to
government units and public employee retirement
systems whose comprehensive annual financial
reports (CAFRs) achieve the highest
standards in government accounting
and financial reporting.
~ Executive Director
17
FINANCIAL SECTION
Consult. ants · Certified Public Accountants
INDEPENDENT AUDITOR'S REPORT
To the Honorable Mayor and
Members of the City Council
City of Dubuque, Iowa
We have audited the accompanying general purpose financial statements of the City of Dubuque, Iowa, as
of and for the year ended June 30, 2001, as listed in the table of contents. These general purpose financial
statements are the responsibility of the management of the City of Dubuque, Iowa. Our responsibility is to
express an opinion on these general purpose financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally accepted in the United States of
America; Chapter 11 of the Code of Iowa; and the standards applicable to f'mancial audits contained in
Government Auditing Standards, issued by the Comptroller General of the United States. Those standards
and provisions require that we plan and perform the audit to obtain reasonable assurance about whether
the general purpose financial statements are free of material misstatement. An audit includes examining,
on a test basis, evidence supporting the amounts and disclosures in the general purpose financial
statements. An audit also includes assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall general purpose financial statement presentation. We
believe that our audit provides a reasonable basis for our opinion.
In our opinion, the general purpose, financial statements referred to above present fairly, in all material
respects, the financial position of the City of Dubuque, Iowa, as of June 30, 2001, and the results of its
operations and the cash flows of its proprietary fund types and nonexpendable trust funds for the year
then ended in conformity with accounting principles generally accepted in the United States of America.
In accordance with Government Auditing Standards, we have also issued our report dated October 25,
2001, on our consideration of the City's internal control over financial reporting and our tests of its
compliance with certain provisions of laws, regulations, contracts, and grants. That report is an integral
part of an audit performed in accordance with Government Auditing Standards and should be read in
conjunction with this report in considering the results of our audit.
3999 Pennsylvania Ave. ° Suite i O0 ° Dubuque, Iowa 52002.2639 · 319.556.1790 ° Fax 319.557.7842 18
Offices in Arizona, Iowa, Minnesota, Montana, North Dakota and South Dakota · Equal Oppormni~. Employer
Our audit was performed for the purpose of forming an opinion on the general purpose financial
statements taken as a whole. The combining and individual fund and account group financial statements,
schedules, statistical data, and the Schedule of Expenditures of Federal Awards required by the U.S.
Office of Management and Budget (OMB) Ckcular A-133 listed in the table of contents are presented for
purposes of additional analysis and are not a required part of the general purpose financial statements of
the City of Dubuque, Iowa. Such information, except for that portion marked "unaudited" on which we
express no opinion, has been subjected to the auditing procedures applied in our audit of the general
purpose fmuncial statements and, in our opinion, is fairly stated in all material respects in relation to the
general purpose financial statements taken as a whole.
Dubuque, Iowa
October 25, 2001
19
GENERAL PURPOSE
FINANCIAL STATEMENTS
CITY OF DUBUQUE, IOWA
COMBINED BALANCE SHEET - ALL FUND TYPES~ ACCOUNT GROUPS,
AND DISCRETELY PRESENTED COMPONENT UNIT ·
JUNE 30, 2001
Governmental Fund Types Proprietary
Special Debt Capital
General Revenue Service Projects Enterprise
ASSETS AND OTIt~R DEBITS
ASSETS
Cash and pooled cash investments
Cash and pooled cash investments -
nonexpendable trust
Receivables
Property tax
Delinquent
Succeeding year
Accounts
Special assessments
Accrued interest
Notes - current
Notes - long-term
Intergovernmental
Due from other funds
Due from primary government
Inventory
Prepaid items
Advances to other funds
Advances to primary government
Restricted assets
Cash and pooled cash investments
Land
Buildings and Lmprovements
Improvements other than buildings
Machinery and equipment
Construction in progress
Accumulated depreciation
OTHER DEBITS
Amount available in Debt Service Fund
Amount to be provided for retirement
of general long-term debt
Total Assets and Other Debits
$ 18,953,647 $ 13,711,640 $ 330,884 $ 8,554,197 $ 10,142,295
108,155 18,686 I6,684 4,775
11,142,300 2,317,703 1,011,820 366,796
363,945 1,208,616
654,050
318,017 76,410 9,792 82,792 101,308
1,225,155
8,220,516
1,759,649 1,225,493 25,913
774,677
769,112
60,564
817,912
316,693
5,037
552,653
4,616,265
52,389,337
23,743,21I
38,020,841
5,606,391
(51,928,724)
$ 33,308,329 $ 27,983,809 $ 1,369,180 $ 9,862,48~2 $ 85,171,407
See notes to financial statements.
EXHIBIT 1
Fiduciary
Fund Types Fund Type
Trust
Intemal and
Service Agency
Account Groups
General General
Fixed Long-Term
AsseB Debt
Component
Totals Unit Totals
PriramT Dubuque Reporting
Goverrmaent Metropolitan Entity
(Memorandum Area Solid (Memorandum
Only) Waste Agency Only)
$ 2,911,787 $ 860,356 $
174,579
- $ 55,464,806 $ 5,026,419 $ 60,491,225
174,579 174,579
23,374
43,606
177,519
(136,923)
37,202
8,792
29,090
15,543,862
40,430,140
19,808,901
18,369,074
2,521,883
148,300
14,838,619
1,609,763
654,050
620,485
1,225,155
8,220,516
3,785,732
769,112
420,863
5,037
817,912
581,743
20,160,127
92,819,477
43,552,112
56,567,434
8,128,274
(52,065,647)
148,300
i4,838,619
287,648 1,897,411
654,050
53,371 673,856
1,225,155
8,220,516
3,785,732
769,112
40,289 40,289
420,863
5,037
817,912
988,750 988,750
2,022,070 2,603,813
552,528 20,712,655
5,945,497 98,764,974
43,552,112
1,843,192 58,410,626
8,i28,274
(4,025,948) (56,091,595)
$ 3,019,363 $ 1,110,01~9 $
354,890 354,890
16,497,302 i6,497,302
96,673,860 $ 16,852,192 $ 275,350,641
354,890
16,497,302
$ I2,733,816 $ 288,084,457
(continued)
20
CITY OF DUBUQUE, IOWA
COMBINED BALANCE SHEET - ALL FUND TYPES, ACCOUNT GROUPS,
AND DISCRETELY PRESENTED COMPONENT UNIT
JUNE 30, 2001
Goveramental Fund Types
Proprietary
LIABILITIES, EQUITY, AND
OTHER CREDITS
LIABILITIES
Accounts payable
Accrued payroll
General obligation bonds payable - current
Revenue bonds payable - current
Accrued compensated absences
Due to employees
Intergovernmental payable
Due to other funds
Due to component unit
Payable from restricted assets
Accrued interest payable
Advances from other funds
Advances from component unit
Notes payable
General obligation bonds payable
Revenue bonds payable
Landfill closure and postclosure care
Tax-increment £mancing bonds payable
Deferred revenue
Succeeding year property tax
Other
Total Liabilities
Special Debt Capital
General Revenue Service Projects Enterprise
810,013 $ 162,762 $ 453$ 640,152 $ 2,507,928
124,284 14,529 63,095
300,000
170,000
386,376 251,657
16,091
1,192,188
768,782
40,289
27,540
817,912
988,750
3,078,875
1,696,000
11,142,300 2,317,703 1,011,820 366,796
22,372 521,009 2,017
12,485,345 4,224,282 1,014,290 1,408,934 10,308,842
See notes to financial statements.
EXHIBIT 1
(continued)
Fiduciary
Fund ~pes Fund Type Account Groups Totals
?rima~
Trust General General Government
Internal and Fixed Long-Term (Memorandum
Service Agency Assets Debt Only)
Component
Unit
Dubuque
Metropolitan
Area Solid
Waste Agency
Totals
Reporting
Entity
(Memorandum
Ordy)
745,934 $
15,219
330
2,766
I4,231
9,763
1,570,162
$ 4,870,008
231,358
300,000
170,000
2,224,286
9,763
1,192,I88
769,112
40,289
80,381 $ 4,950,389
6,906 238,264
300,000
I70,000
37,172 2,261,458
9,763
86,877 1,279,065
769,I12
40,289
2,118,279
9,005,000
4,158,751
27,540
817,912
988,750
2,118,279
I2,083,875
1,696,000
4,158,751
1,445,798
27,540
817,912
988,750
2,118,279
12,083,875
1,696,000
1,445,798
4,158,751
761,483
26,760
14,838,619
545,398
14,838,619
545,398
16,852,192 47,082,128 1,657,134 48,739,262
(continued)
21
CITY OF DUBUQUE, IOWA
COMBINED BALANCE SHEET - ALL FUND TYPES, ACCOUNT GROUPS,
AND DISCRETELY PRESENTED COMPONENT UNIT
JUNE 30, 2001
Governmental Fund Types
~o~etary
EQUITY AND OTHER CREDITS
Contributed capital
Investment in general fixed assets
Retained earnings
Reserved for/by
State statute
Bond ordinance
Minority interests
Unreserved
Fund balances
Reserved for/by
Long-term notes receivable
Encumbrances
Dog track
Franchise agreement
Endowments
Advances
Debt service
Urtreserved, undesi~ated
Total Equity and Other C~edits
Total Liabilities, Equity, and
Other Credits
Special Debt Capital
General Revenue Service Projects Enterprise
$ $ $ $ - $ 40,007,832
552,653
34,302,080
8,220,516
2,423,024 815,982
2,072.643
756,060
817,912
150,526 354,890
17,582,048 14,572,503 5,624,845
20,822,984 23,759,527 354,890 8,453,548 74,862,565
$ 33,308,329 $ 27,983,809 $ 1,369,180 $ 9,862,482 $ 85,171,40~7
See notes to financial statements.
EXHIBIT 1
(continued)
Fiduciary
Fund Types Fund Type Account Groups
Trust General General
Internal and Fixed Long-Term
Service Agency Assets Debt
Totals
Government
(Memorandum
Ordy)
Component
Unit
Dubuque
Melropolitan
Area Solid
Waste Agency
Totals
Reporting
Entity
(Memorandum
On~y)
$ 24,233 $ $ $
96,673,860
- $ 40,032,065 $
96,673,860
40,032,065
96,673,860
2,233,647
552,653
36,535,727
576,272
2,383,593
8,116,817
576,272
552,653
2,383,593
44,652,544
19,327
172,361
891,571
2,257,880 1,083,259 96,673,860
8,220,516
5,311,649
756,060
19,327
172,361
817,912
505,416
38,670,967
8,220,516
5,311,649
756,060
19,327
172,361
817,912
505,416
38,670,967
228,268,513 11,076,682 239,345,195
$ 3,019,36~3 $ 1,110,019 $ 96,673,860 $ 16,852,19~2 $ 275,350,64i $ 12,733,816 $ 288,084,457
22
CITY OF DUBUQUE, IOWA
COMBINED STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND
BALANCES - ALL GOVERNMENTAL FUND TYPES AND EXPENDABLE TRUST FUNDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
Governmental
Special
General Revenue
REVENUES
Taxes $ 21,889,496 $ 3,035,497
Special assessments 783,633
Licenses and permits 576,136
Intergovernmental 2,711,649 11,057,029
Charges for services 8,127,372
Fines and forfeits 369,391
Miscellaneous 776,542 427,918
Interest 2,097,430 557,905
Total Revenues 36,548,016 15,861,982
EXPENDITURES
Current
Policy and administration
Community protection
Home and community environment
Human development
Debt service
Principal retirement
Interest
Capital outlay
Total Expenditures
EXCESS (DEFiCIENCY) OF REVENUES OVER (UNDER)
EXPENDITURES
OTHER FINANCING SOURCES (USES)
Proceeds from issuance of debt
Operating transfers in
Operating transfers from component unit
Operating transfers out
Total Other Financing Sources (Uses)
EXCESS (DEFiCIENCY) OF REVENUES AND OTHER
SOURCES OVER (UNDER) EXPENDITURES AND
OTHER USES
FUND BALANCES, BEGINNING
FUND BALANCES, ENDING
4,977,495 460,725
15,064,313 74
6,118,157 10,291,588
8,475,658 176,997
350,666
526,846
34,635,623 ii,806,896
1,912,393 4,055,086
60,000 7,756,314
3,433,458 255,I06
27,822
(3,846,628) (8,629,648)
(325,348) (618,228)
1,587,045 3,436,858
19,235,939 20,322,669
$ 2____0,822,984 $ 23,759,527
See notes to financial statements.
EXHIBIT 2
Fund Types
Debt
Service
Totals
Fiduciary Primary
Fund Type Government
Capital Expendable (Memorandum
Projects Trust Only)
$ 1,874,514 $ $
64,890
$ 29,970, i75
783,633
576,136
19,909,434
8,127,372
369,391
584,504 2,306,808
3,116,056
3,170,668
6,140,756
517,844
395,831
10,225,099
1,939,404 584,504 65,159,005
3,532
179,089 5,620,841
15,064,387
182,374 16,592,119
8,652,655
1,761,555 2,112,221
243,041 769,887
13,191,465 13,191,465
2,008,128 13,191,465 361,463 62,003,575
(68,724) (2,966,366) 223,041 3,155,430
660,337 8,476,651
66,952 3,956,011 7,711,527
27,822
(15,120) (573) (12,491,969)
66,952 4,601,228 (573) 3,724,031
(1,772) 1,634,862 222,468 6,879,461
356,662 6,818,686 688,430 47,422,386
$ 354,890 $ 8,453,548 $ 910,898 $ 54,301,847
23
CITY OF DUBUQUE, IOWA
COMBINED STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES
IN FUND BALANCES - BUDGET AND ACTUAL (BUDGETARY BASIS) -
ALL GOVERNMENTAL FUND TYPES
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
General Fund Special Revenue
Favorable
Budget Actaal (Utffavorable) Budget
Actual
REVENUES
Taxes $ 21,634,941 $ 21,854,449 $ 219,508 $ 3,507,836 $ 3,030,980
Special assessments 700,000 697,664
Licenses and permits 631,884 576,135 (55,749)
Intergovernmental 6,876,959 2,727,763 (4,14%196) 15,i80,960 I0,395,005
Charges for services 8,364,135 8,070,954 (293,181)
Fines and forfeits 376,593 369,636 (6,957)
Miscellaneous 1,924,217 1,762,816 (161,401) 3,721,i41 1,760,106
Interest 868,794 1,774,012 905,218 301,940 272,116
Total Revenues 40,677,523 37,135,765 (3,541,758) 23,411,877 16,155,87i
EXPENDITURES
Current
Policy and administration 5,969,563 4,957,470 1,012,093 489,498 460,467
Community protection 16,641,833 14,885,745 1,756,088 1,397
Home and community
envkonment 19,815,164 6,151,955 13,663,209 21,858,250 11,539,491
Human development I1,924,872 8,129,290 3,795,582 314,818 176,954
Debt service
Principal retirement 350,666 350,666
Interest and fiscal charges 553,765 526,846
Capita/outlay
Total Expenditures 54,351,432 34,124,460 20,226,972 23,568,394 13,054,424
EXCESS (DEFICIENCY) OF
REVENUES OVER (UNDER)
EXPENDITURES
OTHER FINANCING SOURCES
(USES)
Proceeds from issuance of debt
Operating U-ansfers in
Operating transfers out
Total Other Financing
Sources (Uses)
(13,673,909) 3,011,305 16,685,214 (156,517) 3,101,447.
2,462,806 2,195,581
2,802,648 3,461,280 658,632 219,106 289,536
(I,417,416) (3,816,267) (2,398,851) (10,958,075) (6,635,396)
1,385,232 (354,987) (I,740,219) (8,276,163) (4,150,279)
EXCESS (DEFICIENCY) OF
REVENUES AND OTHER
SOURCES OVER (UNDER)
EXPENDITURES AND
OTHER USES
FUND BALANCES, BEGINNING
FUND BALANCES, ENDING
(12,288,677) 2,656,318 14,944,995 (8,432,680) (1,048,832)
16,940,410 16,940,410 11,025,625 11,025,625
4,651,733 $ 19,596,728 $ 14,944,995 $ 2,592,945 $ 9,976,793
See notes to financial statements.
EXHIBIT 3
Funds Debt Service Fund Capital Projects Funds
Variance Variance Variance
Favorable Favorable Favorable
(Unfavorable) Budget Actual (Unfavorable) Budget Actual (Unfavorable)
$ (476,856) $ 1,829,705 $ 1,873,284 $ 43,579 $ 3,200,072 $ 3,137,382 $ (62,690)
(2,336)
(4,785,955)
5,550,889 189,227 (5,361,662)
602,592 308,25I (294,341)
(1,961,035) 9,045,627 5,439,898 (3,605,729)
(29,824) 15,000 54,889 39,889 49,000 304,246 255,246
(7,256,006) 1,844,705 1,928,i73 83,468. 18,448,180 9,379,004 (9,069,176)
29,031 2, I50 3,079 (929)
1,397
10,318,759
137,864
1,755,000 1,755,000
26,919 219,I45 219,234 (89)
34,258,606 13,331,879 20,926,727
10,513,970 1,976,295 1,977,313 (1,018) 34,258,606 i3,331,879 20,926,727
3,257,964 (131,590) (49,140) 82,450 (15,810,426) (3,952,875) 11,857,55I
(267,225) 7,706,070 6,221,070 (1,485,000)
70,430 36,590 36,590 11,300,583 4,777,961 (6,522,622)
4,322,679 (7,858,662) (6,397,80~ 1,460,861
4,125,884 36,590 36,590 11,147,991 4,601,230 (6,546,761)
7,383,848 (95,000) (12,550) 82,450 (4,662,435) 648,355
339,554 339,554 7,104,249 7,104,249
5,310,790
$ 7,383,848 $ 244,554 $ 327,004 $ 82,450 $ 2,441,814 $ 7,752,604 $ 5,310~790
24
CITY OF DUBUQUE, IOWA
COMBINED STATEMENT OF REVENUES, EXPENSES, AND
CHANGES IN RETAINED EARNINGS/FUND BALANCES - ALL
PROPRIETARY FUND TYPES, NONEXPENDABLE TRUST FUNDS,
AND DISCRETELY PRESENTED COMPONENT UNIT
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
OPERATING REVENUES
Charges £or sales and services
Other
Investment earnings
Total Operating Revenues
OPERATING EXPENSES
Employee expense
Utilities
Repairs and maintenance
Supplies and services
Insurance
Landfill closure and postclosure care
Depreciation
Total Operating Expenses
OPERATING INCOME (LOSS)
NONOPERATING REVENUES (EXPENSES)
Interest revenue
Interest expense
Operating grants
Taxes
Loss on disposal o£assets
Total Nonopemting Revenues (Expenses)
INCOME (LOSS) BEFORE CAPITAL CONTRIBUTIONS AND
OPERATING TRANSFERS
CAPITAL CONTRIBUTIONS
OPERATING TRANSFERS
Operating transfers in
Opemting transfers out
Operating transfers to primary government
Total Operating Transfers
NET INCOME (LOSS)
RETAINED EARNINGS/FUND BALANCES, BEGINNING
RETAINED EARNINGS/FUND BALANCES, ENDING
Proprietary Fund Types
Internal
Enterprise Service
$ I1,694,687 $ 5,112,226
510,099
12,204,786 5,112,226
4,643,243 1,114,937
912,257 20,525
1,101,417 31,411
3,246,488 360,741
225,529 3,884,812
2,507,944 11,346
12,636,878 5,423,772
¢32,092) (311,546)
667,577 ~ 184,950
(377,425)
718,423
521,731
(46,860)
1,483,446 184,950
1,051,354 (126,596)
482,679
6,370,655 100,176
(I,689,151) (1,240)
4,681,504 98,936
6,215,537 (27,660)
28,639,196 2,261,307
$ 34,854,733 $ 2,233,647
See notes to fmancial statements.
EXHIBIT 4
Component Unit
Totals Dubuque Totals
Fiduciary Primary Metropolkan Reporting
Fund Type Government Area Entity
Nonexpendable (Memorandum Solid Waste (Memorandum
Trust Only) Agency Only)
$ $ 16,806,913 $ 2,417,138 $ 19,224,051
36,113 546,212 546,212
(23,224) (23,224) (23,224)
12,889 17,329,901 2,417,138 19,747,039
5,758,180 469,724 6,227,904
932,782 14,744 947,526
1,132,828 90,351 1,223,179
45,294 3,652,523 927,148 4,579,671
4,110,341 30,707 4,141,048
209,669 209,669
2,519,290 503,206 3,022,496
45,294 18,105,944 2,245,549 20,351,493
(32,405) (776,043) 171,589 (604,454)
852,527 431,418 1,283,945
(377,425) (377,425)
718,423 43,252 761,675
521,731 521,731
(46,860) (46,860)
1,668,396 474,670 2,143,06~
(32,405) 892,353 646,259 1,538,612
482,67~ 482,679
6,470,831 6,470,83I
(i,690,391) (1,690,391)
(27,822) (27,822)
4,780,440 (27,822) 4,752,618
(32,405) 6,155,472 618,437 6,773,909
204,766 3i,I05,269 i0,458,245 41,563,514
172,361 $ 37,260,741 $ 11,076,682 $ 48,337,423
25
CITY OF DUBUQUE, IOWA
COMBINED STATEMENT OF CASH FLOWS - ALL PROPRIETARY FUND
TYPES, NONEXPENDABLE TRUST FUNDS, AND DISCRETELY PRESENTED
COMPONENT UNIT
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
CASH FLOWS FROM OPERATING ACTIVITIES
Operating income (loss)
Adjustments to reconcile operating income (loss) to net cash
provided (used) by operating activities
Landfill closure and postclosure care
Depreciation
Investment earnings
Changes in assets and liabilities
(Increase) decrease in accounts receivable
Increase in intergovernmental receivable
Decrease in due fi-om primary government
Increase in inventory
Increase (decrease) in accounts payable
Increase (decrease) in accrued payroll
Decrease in accrued compensated absences
Increase in intergovernmental payable
Decrease in due to other funds
Decrease in due to component unit
NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES
CASH FLOWS FROM NONCAPITAL FI2qANCING ACTIVITIES
Property taxes received
Operating grants received
Operating transfers in
Operating transfers out
Operating transfers to primary government
Repayment of advances from other funds
NET CASH PROVIDED BY NONCAPITAL FINANCING ACTIVITIES
CASH FLOWS FROM CAPITAL AND RELATED
FINANCING ACTIVITIES
Acquisition and construction of fixed assets
Principal paid on bonds
Interest paid on bonds
Capital contributions
NET CASH USED BY CAPITAL AND RELATED
FINANCING ACTIVITIES
Proprietary Fund Types
Internal
Enterprise Service
$ (432,092) $ (311,546)
2,507,944 11,346
70,462
(24,322)
(88,685) (14,213)
2,277,653 156,287
(1,067) 955
(9,237)
(170,467)
(1;800)
4,298,856 (327,638)
521,984
718,423
6,370,655 100,176
(1,689,151) (i,240)
(1,113,037)
4,808,874 98,936
(12,458,302)
(355,959)
(378,529)
482,679
(12,710,111)
See notes to financial statements.
EXItlBIT 5
Component
Unit
Totals Dubuque Totals
Fiduciary Primary Metropolitan Reporting
Fund Type Goverament Area Entity
Nonexpendable (Memorandum Solid Waste (Memorandum
Tmst Only) Agency Only)
$ (32,405) $ (776,043) $ 171,589 $ (604,454)
209,669 209,669
2,519,290 503,206 3,022,496
23,224 23,224 23,224
2,766
70,462 (113,688) (43,226)
(24,322) (24,322)
1,800 1,800
(102,898) (102,898)
2,436,706 (256,547) 2,180,159
(112) 224 112
(9,237) (4,232) (13,469)
28,838 28,838
(170,467) (170,467)
(1,80o) (1,80o)
(6,415) 3,964,803 540,859. 4,505,66~
521,984 521,984
718,423 43,252 761,675
6,470,831 6,470,831
(1,690,391) (1,690,391)
(27,822) (27,822)
(1,113,037) (1,113,037)
4,907,810 15,430 4,923,240
(I2,458,302) (1,846,168) (14,304,470)
(355,959) (355,959)
(378,529) (378,529)
482,679 482,679
(12,710,111) (1,846,168) (i4,556,279)
(continued)
26
CITY OF DUBUQUE, IOWA
COMBINED STATEMENT OF CASH FLOWS - ALL PROPRIETARY FUND
TYPES, NONEXPENDABLE TRUST FUNDS, AND DISCRETELY PRESENTED
COMPONENT UNIT
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
CASH FLOWS FROM INVESTING ACTIVITIES
Interest on cash and pooled cash investments
NET DECREASE IN CASH AND CASH EQUIVALENTS
CASH AND CASH EQUIVALENTS AT BEGINNING
OF YEAR
CASH AND CASH EQUIVALENTS AT END OF YEAR
Proprietar7 Fund Types
Internal
Enterprise Service
622,321 $ 177,620
(2,980,060) (51,082)
13,675,008 2,962,869
$ 10,694,948 $ 2,911,787
$ 3,740,611 $
NONCASH INVESTING, CAPITAL, AND FINANCING ACTIVITIES
Contributions of fixed assets from government
See notes to financial statements.
EXHIBIT 5
(continued)
Compone~
U~t
Totals Dubuque Totals
Fiduciary Primary Metropolitan Reporting
Fund Type Government Area Entity
Nonexpendable (Memorandum Solid Waste (Memorandtun
Trust Only) Agency Only)
$ (23,383) $ 776,558 $ 378,047 $ 1,154,605
(29,798) (3,060,940) (911,832) (3,972,772)
204,377 16,842,254 7,960,321 24,802,575
174,579 $ 13,781,314 $ 7,048,489 $ 20,829,803
$ $ 3,740,611 $ $ 3,740,611
27
CITY OF DUBUQUE, IOWA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
The notes to financial statements contain a summary of significant accounting policies and other notes
considered necessary for an understanding of the financial statements of the City and are an integral part
of this report. The index to the notes is as follows:
1. Summary of Significant Accounting Policies
2. Stewardship, Compliance, and Accountability
3. Cash on Hand, Deposits, and Investments
4. Cash and Pooled Cash Investments - Overdraft
5. Fixed Assets
6. Interfund Receivables and Payables
7. Long-Term Debt
8. Contributed Capital
9. Risk Management
10. Segment Information- Enterprise Funds
11. Commitments and Contingent Liabilities
12. Post-Employment Health Care Benefits
13. Employee Retirement Systems
14. Conduit Debt
15. Landfill Closure and Postclosure Care
16. Subsequent Event
28
CITY OF DUBUQUE, IOWA
NOTES TO FINANCIAL STATEMENTS
JUN~ 30, 2001
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Reporting Entity
The City of Dubuque, Iowa, is a municipal corporation governed by an elected mayor and a six-member
council. As required by accounting principles generally accepted in the United States of America, these
f'mancial statements present the City and its component unit, an entity for which the City is considered to
be financially accountable. The City has no blended component units. The discretely presented
component unit is reported in a separate coltman in the combined financial statements to emphasize that it
is legally separate from the City. The component unit has a June 30 year end.
Discretely Presented Component Unit. The Dubuque Metropolitan Area Solid Waste Agency has been
organized as a joint venture under Chapter 28E of the Code of Iowa between the City of Dubuque and
Dubuque County. The Agency's purpose is to provide solid waste management for the Dubuque
metropolitan area. The City appoints a voting majority of the Agency's governh~g board and has authority
over those persons responsible for the day-to-day operations of the Agency. The Agency is presented as a
proprietary fund type. Complete financial statements for the Agency may be obtained from the City of
Dubuque.
City of Dubuque
Finance Departxnent
50 West 13th Street
Dubuque, Iowa 52001
Jointly Governed Organizations
The City also participates in several jointly governed organizations that provide goods or services to the
citizenry of the City but do not meet the criteria of a joint venture since there is no ongoing financial
interest or responsibility by the participating governments. City officials are members of the following
boards and commissions:
City of Dubuque Conference Board
Dubuque County E-911 Committee
Dubuque Drug Task Force
Measurement Focus, Basis of Accounting, and Basis of Presentation
The accounts of the City are organized and operated on the basis of funds and account groups. A fund is
an independent fiscal and accounting entity with a self-balancing set of accounts. Fund accounting
segregates funds according to their intended purpose and is used to aid management in demonstrating
compliance with finance-related legal and contractual provisions. The minimum number of funds are
maintained consistent with legal and managerial requirements. AccOunt groups are a reporting device to
account for certain assets and liabilities of the governmental funds not recorded directly in those funds.
(continued on next page) 29
CITY OF DUBUQUE, IOWA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
The City has the following fund types and account groups:
Governmental funds are used to account for the City's general government activities. Governmental
fund types use the flow of current financial resources measurement focus and the modified accrual basis
of accounting. Under the modified accrual basis of accounting, revenues are recognized when susceptible
to accrual (i.e., when they are "measurable and available"). "Measurable" means the amount of the
transaction can be determined and "available" means collected within the current period or expected to be
collected soon enough thereafter to pay liabilities of the current period. The City considers property taxes
as available if they are collected within 60 days after year end. Expenditures are recorded when the
related fund liability is incurred, except for tmmatured interest on general long-term debt which is
recognized when due, and certain compensated absences and claims and judgments which are recognized
when the obligations are expected to be liquidated with expendable available f'mancial resources.
Property taxes, franchise taxes, licenses, interest, and special assessments are susceptible to accrual. Sales
taxes collected and held by the state at year end on behalf of the City are also recognized as revenue.
Other receipts and taxes become measurable and available when cash is received by the City and are
recognized as revenue at that time.
Entitlements and shared revenues are recorded at the time of receipt or earlier if the susceptible to accrual
criteria are met. Expenditure-driven grants are recognized as revenue when the qualifying expenditures
have been incurred and all other grant requirements have been met.
Governmental funds include the following fund types:
The general fund is the City'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 special revenue funds account for revenue sources that are legally restricted to expenditure for
specific purposes (not including expendable trusts or major capital projects).
The debt service fund accounts for the servicing of general long-term debt not being financed by
proprietary or nonexpendable trust funds.
The capital projects funds account for the acquisition of fixed assets or construction of major capital
projects not being financed by proprietary or nonexpendable trust funds.
Proprietary funds are accounted for on the flow of economic resources measurement focus and use the
accrual basis of accounting. Under this method, revenues are recorded when earned and expenses are
recorded at the time liabilities are incurred. The City applies only the applicable FASB pronouncements
issued prior to November 30, 1989, in accounting for and reporting its proprietary operations. Proprietary
funds include the following fund types:
Enterprise funds are used to account for those operations that are fmanced and operated in a manner
similar to private business or where the City Council has decided that the determination of revenues
earned, costs incurred, and/or net income is necessary for management accountability.
(continued on next page) 30
CITY OF DUBUQUE, IOWA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
Internal service funds account for operations that provide services to other departments or agencies of
the City or to other governments on a cost-reimbursement basis.
Fiduciary funds account for assets held by the City in a trustee capacity or as an agent on behalf of
others. Trust funds account for assets held by the City under the terms of a formal trust agreement.
The expendable trust funds are accounted for in essentially the same manner as the governmental
fund types, using the same measurement focus and basis of accounting. Expendable trusts account for
assets where both the principal and interest may be spent.
The nonexpendable trust funds are accounted for~in essentially the same mariner as the proprietary
funds, using the same measurement focus and basis of accounting. Nonexpendable trust funds
account for assets of which the principal may not be spent.
The agency funds are custodial in nature and do not present results of operations or have a
measurement focus. The agency funds are accounted for using the modified accrual basis of
accounting. These funds are used to account for assets that the City holds for others in an agency
capacity.
Account Groups. The general fixed assets account group is used to account for fixed assets not
accounted for in proprietary or trust funds. The general long-term debt account group is used to account
for general long-term debt and certain other liabilities that are not specific liabilities of proprietary or trust
funds.
Assets, Liabilities, and Equity
Deposits and Investments
Cash and cash equivalents are considered to be cash on hand, demand deposits, and short-term
investments with original maturities of three months or less from the date of acquisition.
State statute authorizes the City and the Dubuque Metropolitan Area Solid Waste Agency to invest public
funds in obligations of the United States government, its agencies and instnmaentalities; certificates of
deposit or other evidences of deposit at federally insured depository institutions approved by the City
Council; prime eligible bankers acceptances; certain high-rated commercial paper; perfected repurchase
agreements; certain registered open-end management investment companies; certain joint investment
masts; and warrants or improvement certificates of a drainage district.
Investments are stated at fair value or amortized cost. Amortized cost is used only for money market
investments that have a remaining maturity at time of purchase of one year or less.
Receivables and Payables
During the course of operations, numerous transactions occur between individual funds for goods
provided or services rendered. These receivables and payables are classified as "due to/from other funds."
(continued on next page)
31
CITY OF DUBUQUE, IOWA
NOTES TO FINANCIAL STATEMENTS
JUNE 3O, 2001
Transactions between funds that are representative of lending/borrowing arrangements outstanding at the
end of the fiscal year are referred to as "advances to/from other funds" to indicate the non-current nature
of the interfund loans.
Advances between funds are offset by a fund balance reserve account in applicable governmental funds to
indicate they are not available for appropriation and are not expendable available financial resources.
Property tax receivable is recognized in these funds on the levy or lien date, which is the date that the tax
asking is certified by the City to the County. Current year delinquent property taxes receivable represents
unpaid taxes from the current year. The succeeding year property tax receivable represents taxes certified
by the City to be collected in the next fiscal year for the purposes set out in the budget for the next fiscal
year. By statute, the City is required to certify its budget to the County Auditor by March 15 of each year
for the subsequent fiscal year. However, by statute, the tax asking and budget certification for the
following fiscal year becomes effective on the first day of that year. Although the succeeding year
property tax receivable has been recorded, the related revenue is deferred and will not be recognized as
revenue until the year for which it is levied.
Property taxes are levied as of July 1 on property values assessed as of January 1 of the previous year.
The tax levy is divided into two billings. The first billing is mailed on July 1 and the second billing is
mailed on January 1. The billings are considered due upon receipt by the taxpayer; however, the actual
due date is based on a period ending three months after the tax bill mailing. On these dates (September 30
and March 31), the bill becomes delinquent, and penalties and interest may be assessed by the
government.
Inventory and Prepaid Items
Inventory included in the governmental funds is valued at cost using the first-in, first-out (F1FO) basis.
The costs of governmental fund inventories are recorded as expenditures when consumed rather than
purchased.
Inventory of materials and supplies in the enterprise funds is determined by actual count and priced on the
F1FO basis.
Inventory included in internal service funds is stated at the lower of cost (F1FO basis) or market and
consists of consumable supplies. The cost of these supplies is recorded as an expense at the time they are
removed from inventory for use.
Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as
prepaid items.
Restricted Assets
Certain proceeds of the City's enterprise fund revenue bonds, as well as certain resources set aside for
their repayment, are classified as restricted assets on the balance sheet because their use is limited by
applicable bond covenants. The "revenue bond operating" account is used to report resources set aside to
subsidize potential deficiencies from the enterprise fund's operation that could adversely affect debt
service payments. The "revenue bond sinking" account is used to segregate resources accumulated for
debt service payments over the next twelve months. The "revenue bond reserve" account is used to report
resources set aside to make up potential future deficiencies in the revenue bond sinking account.
(continued on next page)
32
CITY OF DUBUQUE, IOWA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
Certain assets of the expendable trust funds are classified as restricted assets because their use is limited
by the City's cable television franchise agreement.
Certain assets of the Dubuque Metropolitan Area Solid Waste Agency are classified as restricted assets
because their use is restricted by state statute for certain specified uses.
Fixed Assets
Fixed assets that have been purchased with City funds are valued at cost where historical records are
available and at estimated cost where no historical records exist. Assets acquired by gift are accounted for
at the asset's fair value as of the date the property was received.
Fixed assets used in governmental fund types of the City are recorded in the general fixed assets account
group and are not depreciated. Interest incurred during construction is not capitalized.
Public domain (infrastructure) general fixed assets (e.g., roads, bridges, sidewalks, and other assets that
are immovable and of value only to the City) are not capitalized.
The cost of normal maintenance and repairs that do not add to the value of an asset or materially extend
the fife of an asset are not included hi the general f~xed assets account group or capitalized in the
proprietary funds.
Major outlays for capital assets and improvements are capitalized in proprietary funds as projects are
constructed. Interest incurred during construction is not capitalized.
Fixed assets are depreciated in the proprietary funds using the straight-line method over the following
estimated useful lives:
Buildings and improvements
Improvements other than buildings
Machinery and equipment
50 years
50 years
4 - 20 years
Compensated Absences
The City allows employees to accumulate earned but unused vacation and sick pay benefits. Vacation pay
is payable to employees upon retirement or termination. Sick pay is payable only upon retirement, in
which event employees are paid for 25% of all eligible hours (50% in the case of police and fire
employees). A liability has been recorded for all earned but unused vacation and sick pay benefits.
Vacation and sick pay is accrued when incurred in proprietary funds and reported as a fund liability.
Amounts that are expected to be liquidated with expendable available financial resources are reported as
an expenditure and a fund liability of the governmental fund that will pay them. Amounts not expected to
be liquidated with expendable available financial resources are reported in the general long-term debt
account group. No expenditure is reported for these amounts.
(continued on next page) 33
CITY OF DUBUQUE, IOWA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
Long-Term Obligations
The City reports long-term debt of governmental funds at face value in the general long-term debt account
group. Certain other govenmaental fund obligations not expected to be financed with current available
financial resources are also reported in the general long-term debt account group. Long-term debt and
other obligations f'manced by proprietary funds are reported as liabilities in the appropriate funds.
For governmental fund types, bond prerdums and discounts, as well as issuance costs, are recognized
during the current period. Bond proceeds are reported as an other financing source net of the applicable
premium or discount. Issuance costs, even if withheld from the actual net proceeds received, are reported
as debt service expenditures. For proprietary fund types, 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. Issuance costs are reported as
deferred charges.
Fund Equity
Reservations of fund balance represent amounts that are not appropriable or are legally segregated for a
specific purpose. Reservations of retained earnings are limited to outside third-party restrictions. The
proprietary funds' contributed capital represents equity acquired through capital grants and capital
contributions from developers, customers, or other funds.
Memorandum Only--Total Columns
Total columns on the general purpose financial statements are captioned as "memorandum only" because
they do not represent consolidated financial information and are presented only to facilitate financial
analysis. The columns do not present information that reflects financial position, results of operations, or
cash flows in accordance with accounting principles generally accepted in the United States of America.
Interfund eliminations have not been made in the aggregation of this dam.
NOTE 2 - STEWARDSHIP, COMPLIANCE, AND ACCOUNTABILITY
Budgetary Information
The Code of Iowa requires the adoption of an annual budget on or before March 15 of each year which
becomes effective July 1 and constitutes the appropriation for each program specified therein until
amended. The legal level of control (the level on which expenditures may not legally exceed
appropriations) is the program level for the City as a whole, rather than at the fund level. Appropriations
as adopted and amended lapse at the end of the fiscal year.
(continued on next page) 34
CITY OF DUBUQUE, IOWA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
The City's budget is prepared on the cash basis of accounting. After the initial annual budget is adopted, it
may be amended for specified purposes. Budget amendments must be prepared and adopted in the same
manner as the original budget. Management is not authorized to amend the budget or to make budgetary
transfers between programs without the approval of the City Council. Management may make budgeting
transfers between funds as long as the transfers are within the same program. The City has adopted a
policy relative to budgetary control and amendment which provides for control at the line-item level and
review of the current year's budget at the time the next year's budget is prepared. This usually results in
amending the appropriations of all programs to adjust to current conditions. Supplemental appropriations
are only provided when unanticipated revenues or budget surpluses become available.
The budget for the fiscal year ended June 30, 2001, was amended three times during the year to allow the
City to increase program expenditures by approximately $58,473,000, primarily for the carry-forward of
unfinished capital improvement projects, expenditure of additional grants for capital improvements, and
the expenditure of additional intergovernmental revenue for community development projects.
Encumbrances represent commitments related to unperformed contracts for goods or services.
Encumbrance accounting--under which purchase orders, contracts, and other commitments for the
expenditure of resources are recorded to reserve that portion of the applicable appropriation--is utilized in
the governmental funds. Encumbrances outstanding at year-end are reported as reservations of fund
balances and do not constitute expenditures or liabilities because the commitments will be honored during
the subsequent year.
Budget/GAAP Reconciliation
The accompanying "Combined Statement of Revenues, Expenditures, and Changes in Fund Balances -
Budget and Actual (Budgetary Basis) - All Governmental Fund Types" presents comparisons of the
legally adopted budget with actual data on a budgetary basis for the general, special revenue, debt service,
and capital projects fund types. Since accounting principles applied for purposes of developing data on a
budgetary basis differ significantly from those used to present fmancial statements in conformity with
accounting principles generally accepted in the United States of America, a reconciliation of resultant
basis, timing, perspective, and entity differences in excess (deficiency) of revenues and other sources of
financial resources over (under) expenditures and other uses of financial resources for the year ended June
30, 2001, is presented as follows:
Excess (deficiency) of revenues and other
sources over (under) expenditures and
other uses (budgetary basis)
Special Debt Capital
General Revenue Service Projects
$2,656,318 $(1,048,832) $ (12,550) $ 648,355
Adjustments:
To adjust revenues for accruals
To adjust expenditures for accruals
(527,749) 5,232,414 41,593 (5,536,588)
(541,524) (746,724) (30,815) 6,523,095
Excess (deficiency) of revenues and other
sources over (under) expenditures and
other uses (GAAP basis)
$ 1,587,045 $ 3,436,858 $ (1,772) $ 1,634,862
(continued on next page) 35
CITY OF DUBUQUE, IOWA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
Deficit Fund Equity
The following funds had deficit retained eurnings/fund balances amounts as of June 30, 2001:
Capital Projects
Airport Construction $ 453,887
Enterprise
Transit System 3,484,162
Internal Service
General Service
7,387
Comparison of Actual Expenditures with Budget (Budgetary Basis)
Under Iowa law, cities are required to account for disbursements in terms of City government programs.
The four City government programs are Policy and Administration, Community Protection, Home and
Community Environment, and Httman Development. The following table for the entire City, which
includes the general, special revenue, debt service, capital projects, enterprise, internal service, and trust
funds, has been prepared to demonstrate legal compliance with that requirement:
Variance
Actual Favorable
Pro,ram Appropriations Disbursements (Unfavorable)
Policy and administration
Community protection
Home and community environment
Human development
$ 7,431,450 $ 6,055,967 $ 1,375,483
16,842,473 15,034,588 1,807,885
111,391,546 57,627,333 53,764,213
13.075,265 8,763.937 4,311.328
Total
$ 148.740,734 $ 87 481 825 ~
NOTE 3 - CASH ON HAND, DEPOSITS, AND INVESTMENTS
Cash on Hand. Cash on hand represents undeposited collections together with authorized change funds
and petty cash funds used for current operating purposes. The carrying amount at year end was $8,725 for
the City and $350 for the Dubuque Metropolitan Area Solid Waste Agency.
Deposits. At year end, the City's carrying amount of deposits was $31,452,440 and the bank balance was
$33,460,267. The City's deposits in banks at June 30, 2001, were entirely covered by federal depository
insurance or by the State Sinking Fund in accordance with Chapter 12C of the Code of Iowa. This chapter
provides for additional assessments against the depositories to insure there will be no loss of public funds.
The carrying amount of deposits for the Dubuque Metropolitan Area Solid Waste Agency was $6,051,300
and the bank balance was $6,048,850. The Agency's deposits in banks at June 30, 2001, were entirely
covered by federal depository insurance or by the State Sinking Fund in accordance with Chapter 12C of
the Code of Iowa.
(continued on next page) 36
CITY OF DUBUQUE, IOWA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
Investments. The City classifies its investments into categories which present an indication of the level
of credit risk in relation to the nature of the investment and the custodial provisions. Category 1 records
securities that are insured, registered, held by the City, or held by the City's agent in the City's name.
Category 2 denotes uninsured and unregistered securities that are held by a counterparty's trust
department or agent in the City's name. Category 3 specifies uninsured and unregistered securities that are
held by a counterparty% trust department or agent in other than the City's name.
The City's investments at June 30, 2001, are as follows:
Categories Fair
1 2 3 Value
U.S. Treasury Securities $ 3,881,294
Federal Agency Obligafi OhS 19,366,414
Corporate Stock 89.704
$ $
$ 3,881,294
19,366,414
89.704
Investment Pools:
Mutual U.S. Government Bond Fund
$ -_ $ 23,337,412
1,422~542
Total Investments ~
The Dubuque Metropolitan Area Solid Waste Agency's investments at June 30, 2001, are as follows:
Categories Fair
1 2 3 Value
U.S. Treasury Securities $ 996.840 $ _ $ ~
A reconciliation of cash and investments as shown on the combined balance sheet for the prinmry
government follows:
Cash on hand
Carrying amount of deposits
Carrying amount of investments
Total
Cash and pooled cash investments
Cash and pooled cash investments - nonexpendable trust
Cash and pooled cash investments - restricted
Total
$ 8,725
31,452,449
24.759,954
$ 55,464,806
174,579
58L743
(continued on next page) 37
CITY OF DUBUQUE, IOWA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
NOTE 4 - CASH AND POOLED CASH INVESTMENTS - OVERDRAFT
When a fund overdraws its share of a pooled cash account, the overdraft is reported as an interfund
payable in that fund. The offsetting interfund receivable has been reported in the General Fund. The
difference between the General Fund's carrying amount of the cash pool and the equity displayed on the
General Fund's balance sheet amounts to $769,112.
NOTE 5 - FIXED ASSETS
The following is a summary of changes in the general fixed assets account group during the fiscal year:
Balance Balance
July 1, 2000 Additions Retirements June 30, 200~
Land
Buildings and improvements
Improvements other than
buildings
Machinery and equipment
Construction in progress
$ 13,815,263 $ 2,164,902 $ 436,303 $ 15,543,862
39,022,065 1,490,144 82,069 40,430,140
4,511,968 15,296,933 19,808,901
17,382,944 2,172,510 1,186,380 18,369,074
26.571,664 20,067.371 44.117,152 2,521,883
Total General Fixed Assets $ 101.303.904 $ 41.191.860 ~ $ 96.673.860
The following is a summary of proprietary fund type assets at June 30, 2001:
Internal
Enterprise Service
Funds Funds
Land
Buildings and improvements
Improvements other than buildings
Machinery and equipment
Construction in progress
Accumulated depreciation
Net Fixed Assets
$ 4,616,265
52,389,337
23,743,211
38,020,841
5,606,391
(51,928,724)
177,519
(136,923)
$ 40.596
The following is a summary of proprietary fund type fixed assets for the Dubuque Metropolitan Area
Solid Waste Agency at June 30, 2001:
Land
Buildings and improvements
Machinery and equipment
Accumulated depreciation
Net Fixed Assets
$ 552,528
5,945,497
1,843,192
(4,025,948)
~269
(continued on next page) 38
CITY OF DUBUQUE, IOWA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
NOTE 6 - INTERFUND RECEIVABLES AND PAYABLES
Due to/from other funds:
Receivable Fund
General
Advance to/from other ftmds:
Receivable Fund
General
Payable Fund
Capital Projects Funds
Airport Construction
Internal Service Funds
General Service
Amount
$ 768,782
33O
Payable Fund
Alnount
$ 304,502
513,410
$ 817.912
Enterprise Funds
Sewage Disposal Works
Water Utility
Due to/from primary government and component unit:
Receivable Entity
Payable Entity
Component unit - Dubuque Metropolitan Primary government - Refuse Collection
Area Solid Waste Agency Enterprise Fund $
40.289
Advances to/from primary government and component unit:
Receivable F~ntity
Payable Entity Amount
Component unit - Dubuque Metropolitan Primary government - Sewage Disposal
Area Solid Waste Agency Works Enterprise Fund
988.750
NOTE 7 - LONG-TERM DEBT
General Obligation Bonds. The City issues general obligation bonds to provide funds for the acquisition
and construction of major capital facilities. General obligation bonds have been issued for general
government.
(continued on next page) 39
CITY OF DUBUQUE, IOWA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
General obligation bonds are direct obligations and pledge the full faith and credit of the City. These
bonds generally are issued as serial bonds with varying amounts of principal maturing annually and with
interest payable semi-annually. General obligation bonds outstanding at June 30, 2001, are as follows:
Amount Amount
Date of Interest Originally Outstanding
Purpose Issue Maturity Dates Rates Issued End of Year
Corporatepmpose 05/01/91 05/01/92-05/01/02 6.10% $ 2,500,000 $ 410,000
Corporate purpose 06/01/93 05/01/94-05/01/03 4.40-4.50 4,615,000 875,000
Corporate purpose 05/01/94 05/01/95-05/01/04 5.05-5.13 3,100,000 930,000
Corporate purpose 07/01/95 05/01/96-05/01/05 4.55-4.90 2,000,000 1,180,000
Corporate purpose 06/01/00 06/01/02-06/01/20 5.80-5.88 2,750,000 2,750,000
Corporate purpose 11/01/00 06/01/02-06/01/20 5.00-5.25 6,265,000 6.265,000
Annual debt service requirements to maturity for general obligation bonds, including interest of
$5,861,024, are as follows:
General Long-Term
Fiscal Year Ending Debt Account Group/
June 30 Enterprise Funds
2002 $ 2,367,793
2003 1,910,130
2004 1,494,651
2005 1,034,341
2006 768,991
2007-2020 10,695,118
Total ~
Tax-Increment Financing Bonds. The City issues tax-increment financing bonds to provide funds for
urban renewal projects. The City pledges property tax revenues from the tax-increment financing districts
to pay debt service. These bonds generally are issued as serial bonds with varying amounts of principal
maturing annually and with interest payable semi-annually. Tax-increment financing bonds outstanding at
June 30, 2001, are as follows:
Amount Amount
Date of Interest Originally Outstanding
Purpose Issue Maturity Dates Rates Issued End of Year
Advanced Data-
Comm 03/18/99 12/31/01-06/30/11 6.0-9.0% $ 900,000 $~ 900,000
Categraph Systems 12/01/99 12/31/01-12/31/10 8.8 360,000 360,000
Eagle Window &
Door 02/15/00 12/31/02-06/30/12 9.1 2,898,751 2.898.751
$ 4.158.751 $ 4.158.751
(continued on next page) 40
CITY OF DUBUQUE, IOWA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
Annual debt service requirements to maturity for tax-increment financing bonds, including interest of
$2,547,566, are as follows:
Fiscal Year Ending
June 30 Amount
2002 $ 456,235
2003 675,372
2004 675,372
2005 675,372
2006 675,372
2007-2011 3,548,594
Total $ 6.706.317
Revenue Bonds. The City also issues bonds where the City pledges income derived from acquired or
constructed assets to pay debt service. These bonds generally are issued as serial bonds with varying
amounts of principal maturing annually and with interest payable semi-annually. Revenue bonds
outstanding at June 30, 2001, are as follows:
Amount Amount
Date of Interest Originally Outstanding
Purpose Issue Maturity Dates Rates Issued End of Year
Parking facilities 03/01/98 05/01/98-05/01/10 4.20-4.75% $ 2.515.000 $ 1.890.000
Revenue bond debt service requirements to maturity, including interest of $464,175, are as follows:
Fiscal Year Ending
June 30 Amount
2002 $ 255,765
2003 258,625
2004 260,885
2005 262,525
2006 262,525
2007-2010 1,053,850
Total $ 2.354.175
(continued on next page) 41
CITY OF DUBUQUE, IOWA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
Notes Payable. Notes payable have been issued to provide funds for economic development and for the
purchase of land. Notes payable at June 30, 2001, are as follows:
Amount Amount
Date of Interest Originally Outstanding
Propose Issue Maturity Dates Rates Issued End of Year
Economic
development 04/15/97 05/01/03 4.40% $ 700,000 $ 616,000
Economic
development 02/27/98 03/01/04 4.40 655,500 655,500
Economic
development 07/15/99 07/01/00-07/01/02 None 800,000 533,334
Land purchase 06/30/00 07/01/03 6.00 320,000 313,445
$ 2.475.500 $ 2.118.279
Debt service requirements to maturity for notes payable, including interest of $192,769, are as follows:
Fiscal Year Ending
June 30 Amount
2002 $ 355,843
2003 1,270,863
2004 684,342
Total $ 2.311.048
Changes in Long-term Liabilities. During the fiscal year ended June 30, 2001, the following changes
occurred in liabilities reported in the general long-term debt account group:
Balance Balance
July L 2000 Additions Reductions June 30. 2001
Accrued Compensated Absences $ 1,613,455 $
Notes Payable - Long-term 2,415,500 60,000
General Obligation Debt 4,495,000 6,265,000
Tax-Increment Financing Debt 1,963,169 2,195,582
$ 43,293 $ 1,570,162
357,221 2,118,279
1,755,000 9,005,000
4,158,751
Totals $ 10.487.124 $ 8.520.582 $ 2.155.514 $ t6.852.192
(continued on next page) 42
CITY OF DUBUQUE, IOWA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
NOTE 8 - CONTRIBUTED CAPITAL
The changes in the City's contributed capital accounts for its enterprise and intemal service funds were as
follows:
Sewage
Disposal Water Parking Refuse Transit Garage
Sources Works Ut/lit~ Facilities Collection System Service
Beg/nning balance,
contributed capit~l $ 26,726,365 $ 2,590,135 $ $ 336.354 $ 6,614,367 $ 24,233
Contributions received
from government 1.938.896 1~623A08 178,307
Ending balance,
contributed capital $ 28.665.261 $ 4.213.543 $ 178.307 $ 336.354 $ 6.614.367 $ 24.233
NOTE 9 - RISK MANAGEMENT
The City is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets;
errors and om/ssions; and natural disasters for which the government carries commercial insurance and
participates in a local government risk pool.
The City has established a Health Insurance Reserve Fund for insuring benefits provided to City
employees and covered dependents which is included in the Internal Service Fund Type. Health benefits
were self-insured up to an individual stop loss amount of $70,000, and an aggregate stop loss of
approximately $3,740,000 for 2001. Coverage from a private insurance company is maintained for losses
in excess of the stop loss amount. All claims handling procedures are performed by a third-party claims
administrator. Incurred but not reported claims have been accrued as a liability based upon the claims
administrator's estimate. Settled claims have not exceeded commercial coverage in any of the past three
fiscal years. The estimated liability does not include any allocated or unallocated claims adjustment
expense.
The City has established a Workers' Compensation Reserve Fund for insuring benefits provided to City
employees which is included in the hitemal Service Fund Type. Workers' compensation benefits were
self-insured up to a specific stop loss amount of $400,000, and an aggregate stop loss of $5,000,000 for
2001. Coverage from a private insurance company is maintained for losses in excess of the stop loss
amount. All claims handling procedures are performed by a third-party claims administrator. Incurred but
not reported claims have been accrued as a liability based upon the claims administrator's estimate.
Settled claims have not exceeded commercial coverage in any of the last three fiscal years. The estimated
liability does not include any allocated or unallocated claims adjustment expense.
(continued on next page) 43
CITY OF DUBUQUE, IOWA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
All funds of the City participate in both programs and make payments to the Health Insurance Reserve
Fund and the Workers' Compensation Reserve Fund based on actuarial estimates of the mounts needed
to pay prior- and current-year claims. The claims liability of $536,508 in the Health Insurance Reserve
Fund and $176,549 in the Workers' Compensation Reserve Fund is based on the requirements of
Governmental Accounting Standards Board Statement No. i0, which requires that a liability for claims be
reported if information prior to the issuance of the financial statements indicates that it is probable that a
liability has been incurred at the date of the financial statements and the amount of the loss can be
reasonably estimated.
Changes in reported liabilities for the fiscal years ended June 30, 2000 and 2001, are summarized as
follows:
Health Workers'
Insurance Compensation
Reserve Fund Reserve Fund
Liabilities at June 30, 1999
Claims and changes in estimates during fiscal year 2000
Claim payments
444,035 $ 153,665
2,742,581 196,528
(2,727,749) (223,114)
Liabilities at June 30, 2000
Claims and changes in estimates during fiscal year 2001
Claim payments
458,867 127,079
3,309,388 205,638
(3,231,747) (156A68)
Liabilities at June 30, 2001
$ 536.508 $ 176,549
The City is a member in the Iowa Communities Assurance Pool, as allowed by Chapter 384.12 of the
Code of Iowa. The Iowa Communities Assurance Pool (Pool) is a local government risk-sharing pool
whose 371 members include various governmental entities throughout the State of Iowa. The Pool was
formed in August 1986 for the purpose of managing and funding third-party liability claims against its
members. The Pool provides coverage and protection in the following categories: general liability,
automobile liability, automobile physical damage, public officials liability, police professional liability,
property, inland marine, and boiler/machinery. There have been no reductions in insurance coverage from
prior years.
Each member's annual casualty contributions to the Pool fund current operations and a reserve fund.
Annual operating contributions are those amounts necessary to fund, on a cash basis, the Pool's general
and adminlsU:ative expenses, claims, claims expenses and rehismance expenses due and payable in the
current year, plus all or any portion of any deficiency in capital. During the f~rst six years of membership,
a portion of the member's contribution is allocated to a Cumulative Reserve Fund. Thereafter, no further
annual contribution shall be made to the Cumulative Reserve Fund unless the Board shall require further
annual contributions for the purpose of maintaining the Cumulative Reserve Fund at a level equal to 300
percent of the total current Basis Rates of all Members, or to comply with the requirements of any
applicable regulatory authority having jurisdiction over the Pool.
(continued on next page)
44
CITY OF DUBUQUE, IOWA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
The Pool also provides property coverage. Members who elect such coverage make annual operating
contributions which are necessary to fund, on a cash basis, the Pool's general and administrative expenses
and reinsurance premiums, all of which are due and payable in the current year, plus all or any portion of
any deficiency in capital. Any year-end operating surplus is transferred to capital. Deficiencies in
operations are offset by transfers from capital and, if insufficient, by the subsequent year's member
contributions.
The City's property and casualty contributions to the risk pool are recorded as expenditures from its
operating funds at the time of payment to the risk pool. The City's annual contributions to the Pool for the
year ended June 30, 2001, were $373,373.
The Pool uses reinsurance and excess risk-sharing agreements to reduce its exposure to large losses. The
Pool retains general, automobile, police professional, and public officials' liability risks up to $250,000
per claim, Claims exceeding $250,000 are reinsured in an amount not to exceed $1,750,000 per claim and
$5,000,000 in aggregate per year. For members requiring specific coverage from $2,000,000 to
$10,000,000, such excess coverage is also reinsured. Automobile physical damage risks are retained by
the Pool up to $50,000 each accident, each location, with excess coverage reinsured on an individual-
member basis. All property risks are also reinsured on an individual-member basis.
The Pool's intergovernmental contract with its members provides that in the event a casualty claim or
series of claims exceeds the amount of risk-sharing protection provided by the member's risk-sharing
certificate, or in the event that a series of casualty claims exhausts total members' equity plus any
reinsurance and any excess risk-sharing recoveries, then payment of such claims shall be the obligation of
the respective individual member. The City does not report a liability for losses in excess of reinsurance
or excess risk-sharing recoveries unless it is deemed probable that such losses have occurred and the
amount of such loss can be reasonably estimated. Accordingly, at June 30, 2001, no liability has been
recorded in the City's financial statements. As of June 30, 2001, settled claims have not exceeded the risk
pool or reinsurance company coverage since the Pool's inception.
Members agree to continue membership in the Pool for a period of not less than one full year. After such
period, a member who has given 60 days' prior written notice may withdraw from the Pool. Upon
withdrawal, payments for all claims and claims expenses become the sole responsibility of the
withdrawing member, regardless of whether a claLm was incurred or reported prior to the member's
withdrawal. Members withdrawing within the first six years of membership may receive a partial refund
of thek reserve contributions. If a member withdraws after the sixth year, the member is refunded 100
percent of its Cumulative Reserve Fund, however, the refund is reduced by an amount equal to the annual
operating contribution which the withdrawing member would have made for the one-year period
following withdrawal.
NOTE 10 - SEGMENT INFORMATION - ENTERPRISE FUNDS
The City maintains six enterprise funds which provide sewage disposal, water, parking, refuse, and transit
services, as well as accounting for construction associated with the America's River Project. Selected
financial information for the fiscal year ended June 30, 2001, is as follows:
(continued on next page) 45
CITY OF DUBUQUE, IOWA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
Operating revenues
Depreciation expense
Operating income (loss)
Operating graats
Operating lransfers:
In
Out
Tax revenues
Net income (loss)
Current capital
con~ibufions
Fixed asseB:
Additions
Deletions
Net working capital
Total asset~
Bonds payable from
operating revenues
Total equity
Sewage America's Total
Disposal Water Parking Refuse Transit River Enterprise
Works Utility Facilities Collection System Prqject Funds
$ 4,408,663 $ 4,209,261 $ 1,446,917 $ 1,921,972 $ 217,973 $ - $ I2,204,786
1,048,0tM 786,215 29i ,064 124,453 258,208 2,507,944
166,376 358,675 438,828 139,771 (1,519,936) (15,806) (432,092)
718,423 718,423
I00,826 40,000 732,968 5,496,861 6,370,655
572,528 232,403 27,125 174,695 682,400 1,689,151
521,731 521,731
290,278 430,762 981,320 (19,591) (265,887) 4,798,655 6,215,537
2,236,265 1,794,823 I78,307 13,895 4,223,290
4,999,324 4,996,290 2,537,917 471,339 5,901 6,928,753 19,939,524
29,672 326,470 260,576 281,454 898,I72
3,873,766 1,763,287 1,282,836 1,040,096 835,119 (2,130,098) 6,665,006
37,860,122 23,I60,529 11,925,007 1,747,464 3,549,532 6,928,753 85,171,407
460,000 195,000 4,589,875 5,244,875
35,822,301 22,227,145 7,252,295 1,631,964 3,130,205 4,798,655 74,862,565
NOTE 11 - COM1VflTMENTS AND CONTINGENT LIABILITIES
Grants
The City has received f'mancial assistance from numerous federal and state agencies in the form of grants
and entitlements. The disbursement of funds received under these programs generally requires
compliance with terms and conditions specified in the grant agreements and is subject to audit by the
grantor agencies. Any disallowed claims resulting from such audits could become a liability of the general
fund or other applicable funds. However, in the opinion of management, liabilities resulting from
disallowed claims, if any, will not have a material effect on the City's financial position as of June 30,
2001.
Litigation
The City's corporation counsel reported that as of June 30, 2001, various claims and lawsuits were on file
against the City. The corporation counsel estimated that all potential settlements against the City not
covered by insurance would not materially affect the financial position of the City. The City has authority
to levy additional taxes (outside the regular limit) to cover uninsured judgments against the City.
(continued on next page) 46
CITY OF DUBUQUE, IOWA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
Construction Contracts
The City has recognized as a liability only that portion of construction contracts representing construction
completed through June 30, 2001. The City has additional commitments for signed construction contracts
of approximately $7,613,000 as of June 30, 2001. These commitments will be funded by federal and state
grants, cash reserves, and bond proceeds.
Dubuque County Jail Expansion Project
As of the end of the year, the City has committed to fund $1.4 m/Ilion of the expansion of the Dubuque
County jail project.
NOTE 12 - POST-EMPLOYMENT HEALTH CARE BENEFITS
In addition to providing pension benefits, the City provides certain health care benefits for retired disabled
police officers and firefighters as mandated by the Code of Iowa. The cost of health care benefits for
retired disabled police officers and firefighters is recognized as an expenditure as claims are paid. As of
June 30, 2001, 60 retirees were eligible for these benefits, and the cost of the benefits for the fiscal year
ended June 30, 2001, totaled $22,228.
NOTE 13 - EMPLOYEE RETIREMENT SYSTEMS
MFPRSI
The City contributes to the Municipal Fire and Police Retirement System of Iowa (the Plan), which is a
cost-sharing, multiple-employer defined benefit pension plan administered by a Board of Trustees. The
Plan provides retirement, disability, and death benefits which are established by state statute to plan
members and beneficiaries. The Plan issues a publicly available financial report that includes financial
statements and required supplementary information. The report may be obtained by writing to Municipal
Fire and Police Retirement System of Iowa, 2836 104~ Street, Urbandale, Iowa, 50322.
Plan members are required to contribute 9.35% of earnable compensation, and the City's contribution rate
may not be less than 17% of earnable compensation. Contribution requirements are established by state
statute. The City's contributions to the Plan for the years ended June 30, 2001, 2000, and 1999, were
$1,327,178, $1,280,060, and $1,186,840, respectively, which met the required minimum contribution for
each year.
IPERS
The City contributes to the Iowa Public Employees Retirement System (IPERS) which is a cost-sharing
multiple-employer defined benefit pension plan administered by the State of Iowa. ]Fl?ERS provides
retirement and death benefits which are established by state statute to plan members and beneficiaries.
IPERS issues a publicly available financial report that includes financial statements and required
supplementary information. The report may be obtained by writing to 1PERS, P.O. Box 9117, Des
Moines, Iowa, 50306-9117.
(continued on next page) 47
CITY OF DUBUQUE, IOWA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
Plan members are required to contribute 3.70% of their annual covered salary, and the City is required to
contribute 5.75% of annual covered payroll. Contribution requirements are established by state statute.
The City's contributions to 1PERS for the years ended June 30, 2001, 2000, and 1999, were $828,947,
$802,297, and $737,541, respectively, equal to the required contributions for each year.
NOTE 14 - CONDUIT DEBT
From time to time, the City has issued Industrial Revenue Bonds to provide financial assistance to
private-sector entities for the acquisition and construction of industrial and commercial facilities deemed
to be in the public interest. The bonds are secured by the property financed and are payable solely from
payments received on the underlying mortgage loans. Upon repayment of the bonds, ownership of the
acquired facilities transfers to the private-sector entity served by the bond issuance. Neither the City, the
State, nor any political subdivision thereof is obligated in any manner for repayment of the bonds.
Accordingly, the bonds are not reported as liabilities in the accompanying financial statements.
As of June 30, 2001, there were six series of Industrial Revenue Bonds outstanding, with an aggregate
principal amount payable of $16,427,056.
NOTE 15 - LANDFILL CLOSURE AND POSTCLOSURE CARE
State and federal laws and regulations require the Dubuque Metropolitan Area Solid Waste Agency to
place a final cover on each cell of its landfill site when filled and to perform certain maintenance and
monitoring functions at the site for thirty years after closure.
Although closure and postclosure care costs will be paid only near or after the date that each cell stops
accepting waste, the Agency reports a portion of these closure and postclosure care costs as an operating
expense in each period based on landfill capacity used as of each balance sheet date. The $1,445,798
reported as landfill closure and postclosure care liability at June 30, 2001, represents the cumulative
amount reported to date based on the use of 95 percent of the estimated capacity of cells 3 and 4 and the
use of 20 percent of the estimated capacity of cells 5 and 6. The Agency will recognize the remaining
estimated cost of closure and postclosure care of $1,385,628 as the remaining capacity is filled.
These amounts are based on what it would cost to perform all closure and postclosure care in 2001. The
Agency expects to close cells 3 and 4 in 2002 and to close the entire landfill in 2010. Actual cost may be
higher due to inflation, changes in technology, or changes in regulations.
The agency has begun to accumulate resources to fund these costs in accordance with state and federal
requirements. At June 30, 2001, funds have been restricted for closure and postclosure costs in the
amount of $1,445,798, which equals the liability currently recognized.
(continued on next page) 48
CITY OF DUBUQUE, IOWA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
NOTE 16 - SUBSEQUENT EVENT
In luly 2001, the City, along with the Dubuque County Historical Society, entered into a $40 million
Vision Iowa Grant for the construction of the America's River Project. As part of the agreement, the City
is to issue $12,360,000 in general obligation bonds and is to receive approximately $20 million of the
grant proceeds, with the Historical Society receiving the remaining proceeds.
49
GENERAL FUND
The general fund is used to account for resources traditionally associated with government which are not
required legally or by sound financial management to be accounted for in another fund.
CITY OF DUBUQUE, IOWA
GENERAL FUND
BALANCE SHEET
JUNE 30, 2001
EXHIBIT A-1
ASSETS
Cash and pooled cash investments
Receivables
Property tax
Delinquent
Succeeding year
Accounts
Accrued interest
Intergovernmental
Due from other funds
Inventory
Advances to other funds
Total Assets
$18,953,647
108,155
11,142,300
363,945
318,017
774,677
769,112
60,564
817,912
$ 33,308,329
LIABILITIES AND FUND BALANCES
LIABILITIES
Accounts payable
Accrued payroll
Accrued compensated absences
Deferred revenue
Succeeding year property tax
Other
Total Liabilities
$ 810,013
124,284
386,376
11,142,300
22,372
12,485,345
FUND BALANCES
Reserved for
Encumbrances
Advances
Unreserved, undesignated
Total Fund Balances
Total Liabilities and Fund Balances
2,423,024
817,912
17,582,048
20,822,984
$ 33,308,329
50
CITY OF DUBUQUE, IOWA EXHIBIT A-2
GENERAL FUND
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES
FOR THE HSCAL YEAR ENDED JUNE 30, 2001
REVENUES
Taxes $ 21,889,496
Licenses and permits 576,136
Intergovernmental 2,711,649
Charges for services 8,127,372
Fines and forfeits 369,391
Miscellaneous 776,542
Interest 2,097,430
Total Revenues 36,548,016
EXPENDITURES
Current
Policy and administration
Community protection
Home and community environment
Human development
Total Expenditures
EXCESS OF REVENUES OVER EXPENDITURES
4,977,495
15,064,313
6,118,157
8,475,658
34,635,623
1,912,393
OTHER FINANCING SOURCES (USES)
Proceeds from issuance of debt
Operating transfers in
Operating transfers from component unit
Operating transfers out
Total Other FInancing Somces (Uses)
EXCESS OF REVENUES AND OTHER SOURCES
OVER EXPENDITURES AND OTHER USES
FUND BALANCES, BEGINNING
FLrND BALANCES, ENDING
60,000
3,433,458
27,822
(3,846,628)
(325,348)
1,587,045
19,235,939
20,822,98~
51
SPECIAL REVENUE FUNDS
Special revenue funds are used to account for specific revenues that are legally restricted to expenditure
for particular purposes.
Road Use Tax Fund - This fund is used to account for state revenues allocated to the City for
maintenance and improvement of City streets.
Employee Benefits Fund - This fund is used to account for pension and related employee benefit
costs for those employees paid wages from the general fund.
Community Development Fund - This fund is used to account for the use of Community
Development Block Grant funds as received from federal and state governmental agencies.
Section VIII Housing Fund - This fund is used to account for the operations of federal Section VIII
existing, voucher, and mod rehab projects.
Tort Liability Fund - This fund is used to collect a special property tax levy which is then
transferred to the General Fund. The General Fund accounts for the administration and payment of
damage claims against the City.
Police and Fire Retirement Fund - This fund is used to account for the balance of actuarially-
determined excess pension funds as calculated when local retirement systems were terminated and
combined into a statewide retirement system. The excess funds may be used to help fund the City's
portion of contributions to the statewide police and fire retirement system.
Special Assessments Fund - This fund is used to account for the financing of public improvements
that are deemed to benefit primarily the properties against which special assessments are levied and to
accumulate monies for the payment of principal and interest on the outstanding long-term debt
service.
Tax Increment Financing Fund - This fund is used to account for the receipt of property taxes, for
the payment of projects within the tax increment financing district, and for the payment of remaining
principal and interest costs on the tax increment financing districts' long-term debt service.
CITY OF DUBUQUE, IOWA
SPECIAL REVENUE FUNDS
COMBINING BALANCE SHEET
JUNE 30, 2001
ASSETS
Cash and pooled cash investments
Receivables
Property tax
Delinquent
Succeeding year
Special assessments
Accrued interest
Notes - current
Notes - long-term
Intergovernmental
Total Assets
Road Employee Community Section VIIt
Use Tax Benefits Development Housing
$ 3,886,099 $ 72,526 $ 4,143,606 $ 645,732
343,816
16,565
2,107,538
58,845
1,223,655 1,500
8,206,944 13,572
430,107 985,726
$ 4,229,915 $ 2,I96,629 $ i4,063,157 $ 1,646,530
LIABILITIES AND FUND BALANCES
LIABILITIES
Accounts payable
Accrued payroll
Accrued compensated absences
Intergovernmental payable
Deferred revenue
Succeeding year property tax
Other
Total Liabilities
$ 76,501 $ - $ 59,647 $ 26,614
6,278 5,997 2,254
1,989 14,102
1,192,188
2,107,538
2,003
82,779 2,109,54i 67,633 1,235,158
FUND BALANCES
Reserved for
Long-term notes receivable 8,206,944 13,572
Encumbrances 50,325 761,976 3,681
Debt service
Unreserved, undesignated 4,096,811 87,088 5,026,604 394,119
Total Fund Balances 4,147,i36 87,088 13,995,524 411,372
Total Liabilities and Fund Balances $ 4,229,915 $ 2,196,629 $ 14,063,157 $ 1,646,530
EXHIBIT B-1
Police Tax
Tort and Fire Special Increment
Liability Retkement Assessments Financing
Tom[
$ 15,205 $ 518,510 $ 696,807 $ 3,733,155 $ 13,711,640
2,i21
210,165
654,050
i6,039 1,526
18,686
2,317,703
654,050
76,410
1,225,155
8,220,516
1,759,649
$ 227,491 $ 518,510 $ 1,366,896 $ 3,734,681 $ 27,983,809
$ $ $ $
- $ 162,762
14,529
16,091
1,192,188
210,165 2,317,703
257 518,749 521,009
210,422 518,749 4,224,282
8,220,516
815,982
150,526 150,526
17,069 518,510 848,147 3,584,155 14,572,503
17,069 518,510 848,147 3,734,681 23,759,527
$ 227,491 $ 518,510 $ 1,366,896 $ 3,734,681 $ 27,983,809
52
CITY OF DUBUQUE, IOWA
SPECIAL REVENUE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND
CHANGES IN FUND BALANCES
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
REVENUES
Taxes
Special assessments
Intergovernmental
Miscellaneous
Interest
Total Revenues
EXPENDITURES
Current
Policy and administration
Community protection
Home and community environment
Human development
Debt service
Principal retirement
Interest
Total Expenditures
EXCESS (DEFiCIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES
OTHER FINANCING SOURCES (USES)
Proceeds from issuance of debt
Operating transfers in
Operating transfers out
Total Other Financing Sources (Uses)
EXCESS (DEFICIENCY) OF REVENUES
AND OTHER SOURCES OVER
(UNDER) EXPENDITURES AND
OTHER USES
FUND BALANCES, BEGINNING
Road Employee Community Section VIII
Use Tax Benefits Development Housing
$ $ 1,730,014 $ $
4,603,402
2,831,671 3,621,956
371,228 56,690
220,098 2,762
4,603,402 1,730,014 3,422,997 3,681,408
47,860 287 412,578
74
2,899,550 1,628,977
176,997
3,642,406
2,947,484 287 2,218,552 3,642,406
1,655,918 1,729,727 1,204,445 39,002
119,106 136,000
(1,799,630) (1,836,136) (1,150,819) (820)
(I,799,630) (1,717,030) (1,014,819) (820)
(143,712) 12,697 189,626 38,182
4,290,848 74,391 13,805,898 373,190
FUND BALANCES, ENDING $ 4,147,i36 $ 87,088 $ 13,995,524 $ 411,372
EXHIBIT B-2
Police Tax
Tort and Fire Special Increment
Liability Retirement Assessments Financing
Total
221,921 $ $ $ 1,083,562 $ 3,035,497
783,633 783,633
11,057,029
427,918
1,200 101,078 232,767 557,905
221,921 1,200 884,711 1,316,329 15,861,982
460,725
74
2,120,655 10,291,588
176,997
350,666 350,666
526,846 526,846
2,998,167 11,806,896
221,921 1,200 884,711 (1,681,838) 4,055,086
7,756,314 7,756,314
255,106
(219,817) (119,106) (933,659) (2,569,661) (8,629,648)
(219,817) (119,106) (933,659) 5,I86,653 (618,228)
2,104 (117,906) (48,948) 3,504,815 3,436,858
14,965 636,416 897,095 229,866 20,322,669
$ 17,069 $ 518,510 $ 848,147 $ 3,734,681 $ 23,759,527
53
DEBT SERVICE FUND
The debt service fund is used to account for the accumulation of resources and payment of general
obligation bond principal and interest from governmental resources and special assessment bond principal
and interest from special assessment levies when the government is obligated in some manner for the
payment.
CITY OF DUBUQUE, IOWA
DEBT SERVICE FUND
BALANCE SHEET
JUNE 30, 2001
EXHIBIT C-1
ASSETS
Cash and pooled cash investments
Receivables
Property tax
Delinquent
Succeeding year
Accrued interest
Total Assets
$ 330,884
16,684
1,01t,820
9,792
$ 1,369,180
LIABILITIES AND FUND BALANCE
LIABILITIES
Accounts payable
Deferred revenue
Succeeding year property tax
Other
$ 453
1,011,820
2,017
Total Liabilities
FUND BALANCE
Reserved for debt service
Total Liabilities and Fund Balance
1,014,290
354,890
$ 1,369,180
54
CITY OF DUBUQUE, IOWA EXmBIT C-2
DEBT SERVICE FUND
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
REVENUES
Taxes $ 1,874,514
Interest 64,890
Total Revenues 1,939,404
EXPENDITURES
Current
Policy and administration
Debt service
Principal retirement
Interest
Total Expenditures
DEFICIENCY OF REVENUES UNDER EXPENDITURES
OTHER FINANCING SOURCES
Operating transfers in
DEFICIENCY OF REVENUES AND OTHER SOURCES
UNDER EXPENDITURES
FUND BALANCE, BEGINNING
FUND BALANCE, ENDING
3,532
1,761,555
243,041
2,008,128
(68,724)
66,952
(1,772)
356,662
$ 354,890
55
CAPITAL PROJECTS FUNDS
Capital projects funds account for resources used for the acquisition of fixed assets and construction of
major capital facilities other than those financed by proprietaxy funds and trust funds.
Street Construction Fund - This fund is used to account for the resources and costs related to street
capital improvements.
Storm Sewer Construction Fund - This fund is used to account for the resources and costs related to
storm sewer capital improvements.
Dog Track Depreciation Fund - This fund is used to account for the resources and costs related to
capital improvements and maintenance at the greyhound racing facility.
General Construction Fnnd - This fund is used to account for the resources and costs related to non-
assignable capital improvements.
Airport Construction Fund - This fund is used to account for the resources and costs related to
airport capital improvements.
Sales Tax Construction Fund - This fund is used to account for the resources and costs related to
capital improvements financed through the local option sales tax.
CITY OF DUBUQUE, IOWA
CAPITAL PROJECTS FUNDS
COMBINING BALANCE SHEET
JUNE 30, 2001
ASSETS
Cash and pooled cash investments
Receivables
Accrued interest
Intergovernmental
Total Assets
Street Storm Sewer Dog Track
Construction Construction Depreciation
$ 3,616,119 $ 413,070 $ 751,852
38,711 4,886 4,208
302,561
$ 3,957,391 $ 417,956 $ 756,060
LIABILITIES AND FUND BALANCES (DEFICIT)
LIABILITIES
Accounts payable
Due to other funds
$ 75,790 $ 12,513 $
Total Liabilities
FUND BALANCES (DEFICIT)
Reserved for
Encumbrances
Dog track
Unreserved, undesignated (deficit)
Total Fund Balances (Deficit)
Total Liabilities and Fund Balances (Deficit)
75,790 12,513 -
1,193,292 51,364
2,688,309 354,079
756,060
3,881,601 405,443 756,060
$ 3,957,391 $ 417,956 $ 756,060
EXHIBIT
General Airport Sales Tax
Construction Construction Construction
Total
$ 1,319,218 $
$ 2,453,938 $ 8,554,197
8,829 26,158 82,792
721,224 201,708 1,225,493
$ 1,328,047 $ 721,224 $ 2,681,804 $ 9,862,482
$ 14,128 $ 406,329 $ 131,392 $ 640,152
768,782 768,782
14,128 1,175,111 131,392 1,408,934
272,655 555,332 2,072,643
756,060
1,041,264 (453,887) 1,995,080 5,624,845
1,313,919 (453,887) 2,550,412 8,453,548
$ 1,328,047 $ 721,224 $ 2,681,804 $ 9,862,482
56
CITY OF DUBUQUE~ IOWA
CAPITAL PROJECTS FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND
CHANGES IN FUND BALANCES
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
REVENUES
Taxes
Intergovernmental
Miscellaneous
Racing Association
Passenger facility charges
Interest
Total Revenues
EXPENDITURES
Capital outlay
EXCESS (DEFICIENCY) OF REVENUES
OVER (UNDER) EXPENDITURES
OTHER FINANCING SOURCES (USES)
Proceeds from issuance of debt
Operating transfers in
Operating transfers out
Total Other Financing Sources (Uses)
EXCESS (DEFICIENCY) OF REVENUES
AND OTHER SOURCES OVER (UNDER)
EXPENDITURES AND OTHER USES
FUND BALANCES (DEFICIT), BEGINNING
Street Storm Sewer Dog Track
Construction Construction Depreciation
$ 1,902,400 $ $
189,227
138,445
120,000
148,670 34,451 42,702
2,378,742 34,451 162,702
3,585,346 332,818 13,829
1,206,604) (298,367) 148,873
2,684,531
2,684,531
1,477,927 (298,367) 148,873
2,403,674 703,810 607,187
FUND BALANCES (DEFICIT), ENDING $ 3,881,601 $ 405,443 $ 756,060
EXHIBIT D-2
General Airport Sales Tax
Construction Construction Construction Total
$ $ 1,268,268 $ 3,170,668
5,951,529 6,140,756
68,148 3,000 209,593
15,000 135,000
173,251 173,251
22,985 2,706 144,317 395,831
106,133 6,127,486 1,415,585 10,225,099
574,245 7,404,046 1,281,181 13,191,465
(468,112) (1,276,560) 134,404 (2,966,366)
660,337 660,337
597,063 366,417 308,000 3,956,011
(15,120) (15,120)
597,063 1,026,754 292,880 4,601,228
128,951 (249,806) 427,284 1,634,862
1,184,968 (204,081) 2,123,128 6,818,686
$ 1,313,919 $ (453,887) $ 2,550,412 $ 8,453,548
57
ENTERPRISE FUNDS
Enterprise funds are used to account for operations that are financed and operated in a manner similar to
private business enterprises -- where the intent of the government's council is that the costs of providing
goods or services to the general public on a continuing basis be financed or recovered primarily through
user charges; or where the government's council has decided that periodic determination of net income is
appropriate for accountability purposes.
Sewage Disposal Works Fund - This fund is used to account for the operations of the City's sewage
disposal works and services.
Water Utility Fund - This fund is used to account for the operations of the City's water facilities and
services.
Parking Facilities Fund - This fund is used to account for the operations of the City-owned parking
ramps and other parking facilities.
Refuse Collection Fund - This fund is used to account for the operations of the City's refuse
collection services.
Transit System Fund - This fund is used to account for the operations of the City's bus and other
transit services.
America's River Project - This fund is used to account for the construction of all projects covered
by the Vision Iowa Grant, including all matching funds.
CITY OF DUBUQUE, IOWA
ENTERPRISE FUNDS
COMBINING BALANCE SHEET
JUNE 30, 2001
ASSETS
CURRENT ASSETS
Cash and pooled cash investments
Receivables
Property tax
Delinquent
Succeeding year
Accounts
Accrued interest
Intergovernmental
Inventory
Prepaid items
Total Current Assets
RESTRICTED ASSETS
Cash and pooled cash investments
FIXED ASSETS
Land
Buildings and improvemems
Improvements other than buildings
Sewage
Disposal Water
Works Utility
Machinery and equipment
Constmction in progress
Accumulated depreciation
Net Fixed Assets
$ 5,023,355 $ 1,743,007
514,302 486,239
58,893 23,395
309,030
5,037
5,601,587 2,561,67i
175,671 144,066
31,586,670 7,054,665
23,743,21t
6,150,647 27,193,446
322,083 848,748
(29,719,747) (14,642,067)
32,258,535 20,598,858
TomlAssets $ 37,860,122 $ 23,160,529
EXHIBIT E-1
America's
Parking Refuse Transit River
Facilities Collection System Project
Total
$ 1,584,830 $ 941,819 $ 849,284 $ $10,142,295
3,979
9,324
4,775
366,796
204,081 15
9,696
25,913
7,663
4,775
366,796
1,208,616
101,308
25,913
316,693
5,037
1,598,133 1,155,596 1,254,446 12,171,433
552,653 552,653
1,182,717 36,000 3,077,811 4,616,265
11,850,701 1,897,301 52,389,337
23,743,211
586,063 1,204,579 2,886,106 38,020,841
584,618 3,850,942 5,606,391
(4,429,878) (612,711) (2,524,321) (51,928,724)
9,774,221 591,868 2,295,086 6,928,753 72,447,321
$11,925,007 $ 1,747,464 $ 3,549,532 $ 6,928,753 $85,171,407.
(continued)
58
CITY OF DUBUQUE, IOWA
ENTERPRISE FUNDS
COMBINING BALANCE SHEET
JUNE 30, 2001
LIABILITIES AND EQUITY
CURRENT LIABILITIES
Accounts payable
Accrued payroll
General obligation bonds payable - current
Revenue bonds payable - current
Accrued compensated absences
Due to component unit
Advances from other funds
Advances from component unit
Deferred revenue - succeeding year property tax
Total Current Liabilities
CURRENT LIABILITIES PAYABLE FROM RESTRICTED ASSETS
Accrued interest payable
NONCURRENT LIABILITIES
General obligation bonds payable (net of
discount of $26,125)
Revenue bonds payable (net of $24,000
deferred amount on refunding)
Total Noncurrent Liabilities
Total Liabilities
EQUITY
Contributed Capital
Government
Intergovernmental
Developers and users
Total Contributed Capital
Retained Earnings (Deficit)
Reserved by bond ordinance
Unreserved
Total Retained Earnings (Deficit)
Total Equity
Sewage
Disposal Water
Works Utility
$ 191,734 $ 135,596
16,753 15,330
150,000 60,000
76,082 74,048
304,502 513,410
988,750
1,727,821 798,384
310,000 135,000
310,000 135,000
2,037,821 933,384
5,369,732 1,623,408
11,943,895
11,351,634 2,590,135
28,665,261 4,213,543
7,157,040 I8,013,602
7,157,040 18,013,602
35,822,301 22,227,145
Total Liabilities and Equity $ 37,860,122 $ 23,160,529
EXHIBIT E-1
(continued)
Parking Refuse Transit
Facilities Collection System
America's
River
Project
Total
19,782 $ 7,508 $
7,435 14,439
90,000
170,000
28,080
23,210 $ 2,130,098
9,138
53,264 20,183
40,289
$ 2,507,928
63,095
300,000
170,000
251,657
40,289
817,912
988,750
366,796
366,796
315,297 115,500 419,327 2,130,098 5,506J27
27,540 27,540
2,633,875 3,078,875
1,696,000 1,696,000
4,329,875 4,774,875
4,672,712 115,500 419,327 2,130,098 10,308,842
178,307 61,704 1,408,710 8,641,861
274,650 5,205,657 17,424,202
13,941,764
178,307 336,354 6,614,367 40,007,832
552,653 552,653
6,521,335 1,295,610 (3,484,162) 4,798,655 34,302,080
7,073,988 1,295,610 (3,484,162) 4,798,655 34,854,733
7,252,295 1,631,964 3,130,205 4,798,655 74,862,565
$ 11,925,007 $ 1,747,464 $ 3,549,532 $ 6,928,753 $ 85,171,407
59
CITY OF DUBUQUE, IOWA
ENTERPRISE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENSES, AND
CHANGES IN RETAINED EARNINGS (DEFICIT)
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
OPERATING REVENUES
Charges for sales and services
Other
Total Operating Revem~es
OPERATING EXPENSES
Employee expense
Utilities
Repairs and maintenance
Supplies and services
Insurance
Depreciation
Total Operating Expenses
OPERATING INCOME (LOSS)
NONOPERATING REVENUES (EXPENSES)
Interest revenue
Interest expense
Operating grants
Taxes
Loss on disposal of assets
Total Nonoperating Revenues (Expenses)
INCOME (LOSS) BEFORE CAPITAL CONTRIBUTIONS AND
OPERATING TRANSFERS
CAPITAL CONTRIBUTIONS
OPERATING TRANSFERS
Operating transfers in
Operating transfers out
Total Operating Transfers
NET INCOME (LOSS)
RETAINED EARNINGS (DEFICIT), BEGINNING
Sewage
Disposal Water
Works Utility
$ 4,249,177 $ 3,992,810
159,486 216,451
4,408,663 4,209,261
1,260,529 1,235,090
431,386 352,765
341,106 109,364
1,095,396 1,317,742
65,866 49,410
1,048,004 786,215
4,242,287 3,850,586
166,376 358,675
376,i95 171,418
(77,812) (44,477)
(148) (33,866)
298,235 93,075
464,611 451,750
297,369 171,415
100,826 40,000
(572,528) (232,403)
(471,702) (192,403)
290,278 430,762
6,866,762 17,582,840
RETAINED EARNINGS (DEFICIT), ENDING $ 7,157,040 $ 18,013,602
EXHIBIT E-2
America's
Parking Refuse Transit River
Facilities Collection STstem Project
Total
1,345,653 $ 1,913,735 $ 193,312 $ - $ 11,694,687
101,264 8,237 24,661 510,099
1,446,917 1,921,972 217,973 12,204,786
433,237 921,940 792,447 4,643,243
65,257 1,452 61,397 912,257
30,873 517,475 102,599 1,101,417
173,355 195,740 448,449 15,806 3,246~88
14,303 21,i4i 74,809 225,529
291,064 124,453 258,208 2,507,944
1,008,089 1,782,201 1,737,909 15,806 I2,636,878
438,828 139,771 (1,519,936) (15,806) (432,092)
104,631 15,333
(255,136)
718,423
521,731
(12,846)
(163,351) 15,333 1,240,154 1,483,446
667,577
(377,425)
718,423
521,731
(46,860)
275,477 155,104 (279,782) (15,806) 1,051,354
13,895 482,679
732,968 5,496,861 6,370,655
(27,125) (174,695) (682,400) (1,689,151)
705,843 (174,695) 4,814,461 4,681,504
981,320 (19,591) (265,887) 4,798,655 6,215,537
6,092,668 1,315,201 (3,218,275) 28,639,196
$ 7,073,988 $ 1,295,610 $ (3,484,162) $
4,798,655 $ 34,854,733
60
CITY OF DUBUQUE, IOWA
ENTERPRISE FUNDS
COMBINING STATEMENT OF CASH FLOWS
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
CASH FLOWS FROM OPERATING ACTIVITIES
Operating income (loss)
Adjustments to reconcile operating income
(loss) to net cash provided (used) by
operating activities
Depreciation
Changes in assets and liabilities
(Increase) decrease in accounts receivable
Increase in intergovernmental receivable
(Increase) decrease in inventory
Increase (decrease) in accounts payable
Increase (decrease) in accrued payroll
Increase (decrease) in accrued compensated absences
Decrease in due to component unit
NET CASH PROVIDED (USED) BY OPERATING
ACTIVITIES
CASH FLOWS FROM NONCAP1TAL FINANCING
ACTWITIES
Property taxes received
Operating grants received
Operating transfers in
Operating transfers out
Repayment of advances from other funds
NET CASH PROVIDED (USED) BY NONCAPITAL
FINANCING ACTIVITIES
CASH FLOWS FROM CAPITAL AND RELATED
FINANCING ACTIVITIES
Acquisition and construction of fixed assets
Principal paid on bonds
Interest paid on bonds
Capital contributions
NET CASH PROVIDED (USED) BY CAPITAL
AND RFJ ,A_TED FINANCING ACTIVITIES
Sewage
Disposal Water
Works Utility
$ 166,376 $ 358,675
1,048,004 786,215
92,805 (5,747)
100,826 40,000
(572,528) (232,403)
(1,083,337) (29,700)
(1,555,039) (222,103)
(1,121,532) (1,749,474)
(140,000) (55,000)
(77,812) (44,477)
297,369 171,415
(1,041,975) (1,677,536)
1,413,603 1,143,787
(92,078)
101,909 94,422
(2,125) (561)
6,634 2,861
EXHIBIT E-3
Parking Refuse
Facilities Collection
$ 438,828 $ 139,771
America's
Transit River
System Project
Total
$ (1,519,936) $ (15,806) $ (432,092)
291,064 124,453
(430) (16,494)
(49,161) 1,825
1,964 829
(1,063) 3,751
(1,8oo)
681,202
258,208 2,507,944
328 70,462
(24,322) (24,322)
3,393 (88,685)
(1,440) 2,130,098 2,277,653
(1,174) (1,067)
(21,420) (9,237)
(1,800)
252,335 (1,306,363) 2,114,292 4,298,856
732,968
(27,125)
(174,695)
521,984 521,984
718,423 718,423
5,496,861 6,370,655
(682,400) (1,689,151)
(1,113,037)
705,843 (174,695) 1,240,407 4,814,461 4,808,874
(2,181,303)
(160,959)
(256,240)
(471,339)
(5,901) (6,928,753)
13,895
(12,458,302)
(355,959)
(378,529)
482,679
(2,598,502)
(471,33~
7,994 (6,928,753) (12,710,111)
(continued)
61
CITY OF DUBUQUE, IOWA
ENTERPRISE FUNDS
COMBINING STATEMENT OF CASH FLOWS
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
CASH FLOWS FROM INVESTING ACTIVITIES
Interest on cash and pooled cash investments
NET DECREASE IN CASH AND CASH
EQUIVALENTS
CASH AND CASH EQUIVALENTS AT BEGINNING
OF YEAR
Sewage
Disposal Water
Works Utility
CASH AND CASH EQUIVAI,ENTS AT END OF
YEAR
$ 350,209 $ 160,831
NONCASH INVESTING, CAPITAL, AND FINANCING
ACTIVITIES
Contributions of fixed assets from government
(833,202) (595,021)
5,856,55T 2,338,028
$ 1,938,896 $ 1,623,408
$ 5,023,355 $ 1,743,007
EXHIBIT E-3
(continued)
America's
Parking Refuse Transit River
Facilities Collection System Project
$ 105,644 $ 5,637 $ $
Total
$ 622,321
(1,105,813) (388,062) (57,962)
(2,980,06O)
3,243,296 1,329,881 907,246
13,675,008
$ 2,137,483 $ 941,819 $ 849,284 $
$ 10,694,948
$ 178,307 $ $ $
$ 3,740,611
62
INTERNAL SERVICE FUNDS
Internal service funds are used to account for the financing of goods or services provided by one
department to other departments of the government and to other government units on a cost-
reimbursement basis.
General Service Fund - This fund is used to account for engineering, street, and general services
supplied to other departments.
Garage Service Fund - This fund is used to account for the maintenance and repair services for the
City's automotive equipment.
Stores/Printing Fund - This fund is used to account for printing, supplies, and other services
provided to other departments.
Health Insurance Reserve Fund - This fund is used to account for the health insurance costs of the
City.
Workers' Compensation Reserve Fund - This fund is used to account for the workers'
compensation costs of the City.
CITY OF DUBUQUE, IOWA
INTERNAL SERVICE FUNDS
COMBINING BALANCE SHEET
JUNE 30, 2001
ASSETS
CURRENT ASSETS
Cash and pooled cash investments
Accrued interest receivable
Inventory
Total Current Assets
FIXED ASSETS
Machinery and equipmem
Accumulated depreciation
Net Fixed Assets
Total Assets
LIABILITIES AND EQUITY
CURRENT LIABILITIES
Accounts payable
Accrued payroll
Due to other funds
Total Liabilities
EQUITY
Contributed Capital - Government
Retained earnings (deficit), unreserved
Total Equity
General Garage
Service Service
35,288
24,745
$ $
60,033
177,519
(136,923)
40,596
$ $ 100,629
$ $ 17,640
7,057 8,162
330
7,387 25,802
24,233
(7,387) 50,594
(7,387) 74,827
Total Liabilities and Equity $ $ i00,629
EXHIBIT F-1
Health Workers'
Stores/ Insurance Compensation
Printing Reserve Reserve
Total
9,886 $ 1,762,845 $ 1,103,768 $ 2,911,787
14,054 9,320 23,374
18,861 43,606
28,747 1,776,899 1,113,088 2,978,767
177,519
(136,923)
40,596
28,747 $ 1,776,899 $ 1,113,088 $ 3,019,363
15,237 $ 536,508
$ 176,549 $ 745,934
15,219
33O
15,237 536,508 176,549 761,483
24,233
13,510 1,240,391 936,539 2,233,647
13,510 1,240,391 936,539 2,257,880
28,747 $ 1,776,899 $ 1,113,088 $ 3,019,363
63
CITY OF DUBUQUE, IOWA
INTERNAL SERVICE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENSES, AND
CHANGES IN RETAINED EARNINGS
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
OPERATING REVENUES
Charges for sales and services
OPERATING EXPENSES
Employee expense
Utilities
Repairs and maintenance
Supplies and services
Insurance
Depreciation
Total Operating Expenses
OPERATING INCOME (LOSS)
NONOPERATING REVENUES
Interest revenue
General Garage
Service Service
$ 659,386 $ 926,067
588,183 526,754
20,525
31,411
322,047
6,352
11,346
588,183 918,435
71,203 7,632
71,203 7,632
100,176
(1,240)
INCOME (LOSS) BEFORE OPERATING TRANSFERS
OPERATING TRANSFERS
Operating transfers in
Operating transfers out
Total Operating Transfers
NET INCOME (LOSS)
RETAINED EARNINGS (DEFICIT), BEGINNING
RETAINED EARNINGS (DEFICIT), ENDING
100,176 (1,240)
171,379 6,392
(178,766) 44,202
$ (7,387) $ 50,594
EXHIBIT F-2
Health Workers'
Stores/ Insurance Compensation
Printing Reserve Reserve
42,517
Total
$ 3,277,996 $ 206,260 $ 5,112,226
38,694
3,647,933 230,527
1,114,937
20,525
31,411
360,741
3,884,812
11,346
38,694 3,647,933 230,527 5,423,772
3,823 (369,937) (24,267) (311,546)
120,145 64,805 184,950
3,823 (249,792) 40,538 (126,596.)
100,176
(1,240)
98,936
3,823 (249,792) 40,538 (27,660)
9,687 1,490,183 896,001 2,26t,307
13,510 $ 1,240,39~1 $ 936,539
$ 2,233,647
64
CITY OF DUBUQUE, IOWA
INTERNAL SERVICE FUNDS
COMBINING STATEMENT OF CASH FLOWS
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
CASH FLOWS FROM OPERATING ACTIVITIES
Operating income (loss)
Adjustments to reconcile operating income
(loss) to net cash provided (used) by
operating activities
Depreciation
Changes in assets and liabilities
(Increase) decrease in inventory
Increase in accounts payable
Increase (decrease) in accrued payroll
Decrease in due to other funds
NET CASH PROVIDED (USED) BY OPERATING
ACTiVITIES
General Garage
Service Service
CASH FLOWS FROM NONCAP1TAL FINANCING
ACTIVITIES
Operating transfers in
Operating transfers out
NET CASH PROVIDED (USED) BY NONCAPITAL
FINANCING ACTIVITIES
CASH FLOWS FROM INVESTING ACTiVITIES
Interest on cash and pooled cash investments
NET INCREASE (DECREASE) IN CASH
AND CASH EQUIVALENTS
CASH AND CASH EQLrfVALENTS AT
BEGINNING OF YEAR
$ 71,203 $ 7,632
11,346
493
15,190
(7,207) 8,t62
(164,172) (6,295)
(100,176) 36,528
100,176
(1,240)
100,176 (1,240)
35,288
CASH AND CASH EQUIVALENTS AT END OF YEAR $ $ 35,288
EXHIBIT F-3
Health Workers'
Stores/ Insurance Compensation
Printing Reserve Reserve
Total
3,823 $ (369,937) $ (24,267) $ (311,546)
11,346
(14,706) (14,213)
13,986 77,641 49,470 156,287
955
(170,467)
3,103 (292,296) 25,203 (327,638)
100,176
(1,240)
98,936
116,476 61,144 177,620
3,103 (175,820) 86,347 (51,082)
6,783 1,938,665 1,017,421 2,962,869
9,886 $ 1,762,845 $ 1,103,768 $ 2,911,787
65
TRUST AND AGENCY FUNDS
Trust funds are used to account for assets held by the government in a trustee capacity. Agency funds are
used to account for assets held by the govermnent as an agent for individuals, private organizatiuns, other
governments, and/or other funds.
EXPENDABLE TRUST FUNDS
Cable TV Fund - This fund is used to account for the monies and related costs as set forth in the cable
franchise agreement between the City of Dubuque and the cable franchisee.
Respiratory Disease Trust Fund - This fund is used to account for the monies and related costs as
agreed to by the City of Dubuque and the Dubuque Tuberculosis Association.
NONEXPENDABLE TRUST FUNDS
Ella Lyons Peony Trail Trust Fund - This fund is used for dividends and maintenance cost related to
the City Peony Trail, per trust agreement.
Library Gifts Trust Fund - This fund is used to account for testamentary gifts to the City library.
AGENCY FUNDS
Flexible Spending Fund - This fund is used to account for the accumulation and disbursement of Internal
Revenue Service Section 125 flexible spending health care and child care accounts. Pre-tax contributions
are made by employees, and qualified expenditures from the fund are made through a third party
administrator.
CITY OF DUBUQUE, IOWA
TRUST AND AGENCY FUNDS
COMBINING BALANCE SHEET
JUNE 30, 2001
EXHIBIT G-1
ASSETS
Cash and pooled cash investments
Receivables
Accounts
Accrued interest
Restricted assets
Cash and pooled cash investments
Total Assets
Expendable Nonexpendable
Trust Trust Ag~ency
Totals
$ 860,356 $ 174,579 $ $ 1,034,935
37,202 37,202
8,244 548 8,792
19,327 9,763 29,090
$ 925,129 $ i75,127 $_~9,763 $ 1,110,019
LIABILITIES AND FUND BALANCES
LIABILITIES
Accounts payable
Accrued payroll
Due to employees
Total Liabilities
FUND BALANCES
Reserved by franchise agreement
Reserved for endowments
Unreserved, undesignated
Total Fund Balances
Total Liabilities and Fund Balances
$ - $ 2,766 $
14,231
- $ 2,766
14,231
9,763 9,763
14,231 2,766 9,763 26,760
19,327 19,327
i72,361 172,36i
891,571 891,571
910,898 172,361 1,083,259
$ 9~25,129 $ 175,127 $ 9,763 $ 1,110,019
66
CITY OF DUBUQUE, IOWA
EXPENDABLE TRUST FUNDS
COMBINING BALANCE SHEET
JUNE 30, 2001
EXHIBIT G-2
ASSETS
Cash and pooled cash investments
Receivables
Accounts
Accrued interest
Restricted assets
Cash and pooled cash investments
Total Assets
Respiratory
Disease
Cable TV Trust Total
$ 858,622 $ 1,734 $ 860,356
37,202 37,202
8,244 8,244
19,327 19,327
$ 923,395 $ 1,734 $ 925,129
LIABILITIES AND FUND BALANCES
LIABILITIES
Accrued payroll
FUND BALANCES
Reserved by franchise agreement
Unreserved, undesignated
Total Fund Balances
Total Liabilities and Fund Balances
$ 14,231 $ $ 14,231
19,327 19,327
889,837 1,734 891,571
909,164 1,734 910,898
$ 923,395 $ 1,734 $ 925,129
67
CITY OF DUBUQUE, IOWA
EXPENDABLE TRUST FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND
CHANGES IN FUND BALANCES
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
EXHIBIT G-3
REVENUES
Franchise fees
Miscellaneous
Investment earnings
Total Revenues
EXPENDITURES
Current
Policy and administration
Home and community environment
Total Expenditures
EXCESS (DEFICIENCY) OF REVENUES OVER
(UNDER) EXPENDITURES
OTHER FINANCING USES
Operating transfers out
EXCESS (DEFICIENCY) OF REVENUES OVER
(UNDER) EXPENDITURES AND OTHER USES
FUND BALANCES, BEGINNING
FUND BALANCES, ENDING
Respiratory
Disease
Cable TV Tmst Total
$ 529,408 $ $ 529,408
948 948
54,148 54,148
584,504 584,504
179,089 179,089
182,330 44 182,374
361,419 44 361,463
223,085 (44) 223,041
573 573
222,512 (44) 222,468
686,652 1,778 688,430
$ 909,164 $~ 1,734 $ 910,898
68
CITY OF DUBUQUE, IOWA
NONEXPENDABLE TRUST FUNDS
COMBINING BALANCE SHEET
JUNE 30, 2001
EXHIBIT G-4
ASSETS
Cash and pooled cash investments
Accrued interest receivable
Total Assets
Ella Lyons Library
Peony Trail Gifts
Trust Trust
Total
$ 104,858 $ 69,721$ 174,579
548 548
$ 104,858 $ 70,269 $ 175,127
LIABILITIES AND FUND BALANCES
LIABILITIES
Accounts payable
FUND BALANCES
Reserved for endowments
Total Liabilities and Fund Balances
$ $ 2,766 $ 2,766
104,858 67,503 172,361
$ 104,858 $ 70,269$ 175,127
69
CITY OF DUBUQUE, IOWA
NONEXPENDABLE TRUST FUNDS
COMBINING STATEMENT OF REVENUES, EXPENSES, AND
CHANGES IN FUND BALANCES
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
EXHIBIT G-5
OPERATING REVENUES
Miscellaneous
Investment earnings
Total Operating Revenues
OPERATING EXPENSES
Supplies and services
NET LOSS
FUND BALANCES, BEGINNING
FUND BALANCES, ENDING
Ella Lyons Library
Peony Trail Gifts
Trust Trust
Total
$ $ 36,113$ 36,113
(28,177) 4,953 (23,224)
(28,177) 41,066 12,889
1,854 43,440 45,294
(30,031) (2,374) (32,405)
134,889 69,877 204,766
$ 104,858 $ 67,503 $ 172,361
70
CITY OF DUBUQUE, IOWA
NONEXPENDABLE TRUST FUNDS
COMBINING STATEMENT OF CASH FLOWS
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
EXHIBIT G-6
CASH FLOWS FROM OPERATING ACTWITIES
Net loss
Adjustments to reconcile net loss to net cash
used by operating activities
Investment earnings
Changes in liabilities
Increase in accounts payable
NET CASH USED BY OPERATING
ACTIVITIES
CASH FLOWS FROM INVESTING ACTIVITIES
Interest on cash and pooled cash investments
NET INCREASE (DECREASE) IN CASH AND
CASH EQUIVALENTS
CASH AND CASH EQUIVALENTS AT
BEGINNING OF YEAR
CASH AND CASH EQUIVALENTS AT END OF
YEAR
Ella Lyons Library
Peony Trail Gifts
Trust Trust
Total
$ (30,031) $ (2,374) $ (32,405)
28,177
(4,953) 23,224
2,766 2,766
(1,854) (4,561) (6,415)
(28,177) 4,794 (23,383)
(30,031) 233 (29,798)
134,889 69,488 204,377
$ 104,858 $ 69,721 $ 174,579
71
CITY OF DUBUQUE, IOWA
ALL AGENCY FUNDS
COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
EXHIBIT G-7
Flexible Spending Fund
ASSETS
Restricted cash and
pooled cash investments
LIABILITIES
Due to employees
Balance Balance
July 1 Net Net June 30
2000 Additions Deductions 2001
$ 16,021 $ 150,785 $ 157,043 $ 9,763
$ 16,021 $ 150,785 $ 157,043 $ 9,763
72
GENERAL FIXED ASSETS
ACCOUNT GROUP
CITY OF DUBUQUE, IOWA
COMPARATIVE SCHEDULES OF GENERAL FIXED ASSETS BY SOURCE
JUNE 30, 2001
EXHIBIT H-1
GENERAL FIXED ASSETS
Land
Buildings and improvements
Improvements other than buildings
Machinery and equipment
Construction in progress
Total General Fixed Assets
$ 15,543,862
40,430,140
19,808,901
18,369,074
2,521,883
$ 96,673,860
INVESTMENT IN GENERAL FIXED ASSETS BY SOURCE
Investments in property acquired prior to July 1,1983
General fund
Special revenue funds
Capital projects funds
Donations
Total Investment in General Fixed Assets by Source
1,440,960
41,702,169
1,959,850
49,108,951
2,461,930
96,673,860
* It is impossible to determine the source of investments prior to this date because
records reflecting information in this form were not maintained.
73
CITY OF DUBUQUE, IOWA
SCHEDULE OF GENERAL FIXED ASSETS - BY PROGRAM AND DEPARTMENT
JUNE 30, 2001
PROGRAM AND DEPARTM3ENT
POLICY AND ADMINISTRATION
Planning Services
City Council
City Manager
City Clerk
Finance
Cable TV
Legal
Information Services
Dog Track
Unclassified Land
Ice Harbor Improvements
Total Policy and Administration
COMMUNITY PROTECTION
Police
Joint Communications
Fire
Disaster Services
Total Community Protection
HOME AND COMMUNITY ENVIRONMENT
Street and Sewers
Enghaeering
Building Services
Community Development
Housing Services
Total Home and Community Environment
HUMAN DEVELOPMENT
Human Rights
Health Services
Park
Civic Center
Recreation
Library
Total Human Development
CONSTRUCTION IN PROGRESS
TOTAL GENERALFIXED ASSETS
Buildings
and
Land Improvements
$ 788,400 $
2,698
9,070,894
3,559,675
4,418,364
4,348,075 13,491,956
23,860 238,036
2,295
161,100 2,i06,284
184,960 2,346,615
1,021,201 5,715,178
131,030 795,668
422,473 81,000
65,510 2,566,796
3,313,160
4,953,374 9,158,642
4,483,087 3,189,623
172,246 5,291,769
1,335,160 3,802,075
66,960 3,149,460
6,057,453 i5,432,927
$ 15,543,862 $ 40,430,140
EXHIBIT H-2
Improvements
Other Than
Buildings
Machinery
and
Equipment
Constraction
in Progress
Total
1,073,877
1,073,877
86,175
39,688
443,551
52,147
333,488
321,127
25,087
281,257
1,582,520
874,575
39,688
443,551
52,147
333,488
321,I27
25,087
283,955
10, I44,771
3,559,675
4,418,364
20,496,428
1,204,438
69,534
2,582,987
4,700
3,861,659
1,466,334
71,829
4,850,371
4,700
6,393,234
1,308,316 2,277,173
17,135 4,015,205
134,521 420,163
190,940
15,058,405 47,887
303,547
10,321,868
4,959,038
1,058,157
2,823,246
I8,419,452
303,547
i6,518,377 7,254,915 37,885,308
19,932
81,066
1,958,436 2,093,767
43,573 1,463,684
214,638 440,059
1,571,472
19,932
81,066
11,724,913
6,971,272
5,791,932
4,787,892
2,216,647 5,669,98~ 29,377,007
2,521,883 2,521,883
$ 19,808,901 $ 18,369,074 $ 2,521,883 $ 96,673,860
74
CITY OF DUBUQUE, IOWA
SCHEDULE OF CHANGES IN GENERAL FIXED ASSETS -
BY PROGRAM AND DEPARTMENT
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
EXHIBIT H-3
PROGRAM AND DEPARTMENT
General General
Fixed Assets Fixed Assets
July 1 June
2000 Additions Deductions 2001
POLICY AND ADMINISTRATION
Planning Services
City Council
City Manager
City Clerk
Finance
Cable TV
Legal
Information Services
Dog Track
Unclassified Land
Ice Harbor Improvements
Total Pol/cy and Administration
859,696 $ 14,879 $ $ 874,575
9,382 30,306 39,688
101,310 348,836 6,595 443,551
18,379 38,776 5,008 52,147
325,669 28,741 20,922 333,488
356,006 13,074 47,953 321,127
18,305 6,782 25,087
240,704 43,251 283,955
10,144,771 I0,144,771
3,559,675 3,559,675
4,418,364 4,418,364
20,052,261 524,645 80,478 20~496,428
COMMUNITY PROTECTION
Police
Joint Communications
F/re
Disaster Services
Total Community Protection
1,578,563 461,016 573,245 1,466,334
63,561 8,268 71,829
4,797,276 154,896 101,801 4,850,371
16,900 12,200 4,700
6,456,300 624,180 687,246 6,393,234
HOME AND COMMUNITY ENVIRONMENT
Airport
Streets and Sewers
Engineering
Bu/Iding Services
Community Development
Housing Services
Total Home and Communky Environment
10,238,551 161,602 78,285 10,321,868
4,715,263 333,103 89,328 4,959,038
451,023 653,262 46,128 1,058,157
2,390,734 445,458 12,946 2,823,246
2,432,814 16,526,465 539,827 I8,419,452
294,912 17,930 9,295 303,547
20,523,297 18,137,820 775,809 37,885,308
HUMAN DEVELOPMENT
Human Rights
Health Services
Park
Civic Center
Recreation
Library
Total Human Development
20,189 257 19,932
80,769 2,192 1,895 81,066
10,616,125 1,I39,389 30,60i 11,724,913
6,503,099 556,290 88,117 6,971,272
5,744,828 86,753 39,649 5,791,932
4,735,372 53,220 700 4,787,892
27,700,382 1,837,844 161,219 29,377,007
CONSTRUCTION IN PROGRESS
26,566,491 20,067,371 44,111,979 2,521,883
TOTAL GENERAL FIXED ASSETS
$ 101,298,731 $ 41,191,860 $ 45,816,731 $ 96,673,860
75
STATISTICAL SECTION
(Unaudited)
CITY OF DUBUQUE, IOWA
GENERAL GOVERNMENTAL EXPENDITURES BY FUNCTION (1)
LAST TEN FISCAL YEARS
(AMOUNTS EXPRESSED IN THOUSANDS)
(UNAUDITED)
Table 1
Home and
Fiscal Community Human Community Policy and
Year Protection Development Environment Administration
Debt
Service Total
1992 $ 7,843 $ 3,429 $ 9,123
1993 7,874 3,548 8,776
1994 11,068 4,407 11,092
1995 11,747 5,207 9,785
1996 12,202 5,508 10,060
1997 12,082 5,856 11,050
1998 12,827 6,200 10,380
1999 13,343 6,599 15,136
2000 13,907 7,493 14,983
2001 15,064 8,653 16,410
2,270 $ 5,532 $ 28,197
2,237 3,915 26,350
5,456 4,276 36,299
2,927 3,764 33,430
3,252 3,750 34,772
3,891 3,492 36,371
4,386 2,898 36,691
3,981 2,747 41,806
4,938 2,312 43,634
5,442 2,882 48,451
(1) Includes general, special revenue, and debt service funds.
76
CITY OF DUBUQUE, IOWA
GENERAL GOVERNMENTAL REVENUES BY SOURCE (1)
LAST TEN FISCAL YEARS
(AMOUNTS EXPRESSED IN THOUSANDS)
(UNAUDITED)
Table 2
Licenses Charges
Fiscal and Inter- for
Year Taxes Permits Governmental Services Fines
Interest
Miscellaneous Total
1992 $ 14,420 $ 639 $ 8,049 $ 3,150 $346 $1,785 $ 3,426 $ 31,815
1993 15,016 666 7,662 2,944 337 1,474 749 28,848
1994 20,295 673 10,417 3,526 388 1,438 736 37,473
1995 20,889 921 9,457 4,494 341 2,155 1,130 39,387
1996 21,620 717 9,253 5,491 350 1,686 765 39,882
1997 24,772 507 11,454 6,637 358 1,596 1,487 46,811
1998 24,848 507 10,351 7,106 371 1,989 1,619 46,791
1999 25,629 580 10,375 7,843 337 1,948 1,926 48,638
2000 25,562 613 12,140 7,882 341 1,813 950 49,300
2001 26,800 576 13,769 8,127 369 2,720 1,988 54,349
(1) Includes general, special revenue, and debt service funds.
CITY OF DUBUQUE, IOWA
GENERAL GOVERNMENTAL TAX REVENUES BY SOURCE (1)
LAST TEN FISCAL YEARS
(AMOUNTS EXPRESSED IN THOUSANDS)
(UNAUDITED)
Table 2A
Money and State
Credits Mobile Replacement
Fiscal Property Replacement Homes Personal Prop.
Year Tax Tax Tax Exemption
1992 $ 8,580 $ 72 $ 34$ 492
1993 8,762 38 31 493
1994 14,168 38 33 493
1995 14,300 39 33 493
1996 14,928 40 32 472
1997 18,454 15 33 492
1998 18,562 42 37 494
1999 19,890 44 33 492
2000 20,519 45 32 492
2001 21,615 45 31 490
Sales
Tax
Hotel
Motel
Tax
Total
4,618 $ 624 $ 14,420
4,821 871 15,016
4,796 767 20,295
5,182 842 20,889
5,318 830 21,620
5,373 784 25,151
4,856 857 24,848
4,206 964 25,629
3,489 985 25,562
3,624 995 26,800
(1) Includes general, special revenue, and debt service funds.
77
CITY OF DUBUQUE, IOWA
PROPERTY TAX LEVIES AND COLLECTIONS
LAST TEN FISCAL YEARS
(AMOUNTS EXPRESSED IN THOUSANDS)
(UNAUDITED)
Percent of Delinquent
Fiscal Total Tax Current Year Current Taxes Tax
Year Lew (1) Collections Collected Collections
Total Tax
Collections
Ratio of
Total Tax
Collections
to Total
Tax Levy
1992 $ 12,694 $ 12,042 94.9%
1993 13,242 12,635 95.4
1994 14,851 14,101 94.9
1995 14,997 14,635 97.6
1996 15,182 14,832 97.7
1997 15,299 15,025 98.2
1998 15,538 15,426 99.3
1999 16,587 16,528 99.6
2000 16,497 16,380 99.3
2001 17,163 16,662 97.1
6O8 $
571
161
116
118
132
172
121
115
120
12,650
13,206
14,262
14,751
14,950
15,157
15,598
16,649
16,494
16,782
99.7%
99.7
96.0
98.4
98.5
99.1
100.4
100.4
99.9
97.8
(1) Includes tax increment levy.
Ta~e3
Ratio of
Outstanding Delinquent
Delinquent Taxes to Total
Taxes Tax Levy
$ 331 2.6%
367 2.8
956 6.4
245 1.6
232 1.5
274 1.8
112 0.7
59 0.4
57 0.3
48 0,3
78
CITY OF DUBUQUE, IOWA
ASSESSED AND ESTIMATED ACTUAL VALUE OF PROPERTY
LAST TEN FISCAL YEARS
(AMOUNTS EXPRESSED IN THOUSANDS)
(UNAUDITED)
Table 4
Real Property Exemptions Total
Fiscal Taxable Assessed Real Assessed Estimated
Year Value Actual Value Property Value Actual Value
Ratio of Total
Assessed
Value to
Total
Estimated
Actual Value
1992 $ 984,894 $ 1,129,691 $ 11,160$ 973,734 $ 1,129,691 86.19%
1993 960,732 1,185,363 10,783 949,949 1,185,363 80.14
1994 997,573 1,229,395 10,681 986,892 1,229,395 80.27
1995 1,127,153 1,450,026 10,642 1,116,511 1,450,026 77.00
1996 1,151,187 1,487,208 10,467 1,140,720 1,487,208 76.70
1997 1,237,246 1,750,830 10,405 1,226,841 1,750,830 70.07
1998 1,259,649 1,776,342 10,218 1,249,431 1,776,342 70.34
1999 1,344,102 1,987,466 10,385 1,333,717 1,987,466 67.11
2000 1,379,335 1,990,428 10,319 1,369,016 1,990,428 68.78
2001 1,377,518 2,014,897 10,894 1,366,624 2,014,897 67.83
79
CITY OF DUBUQUE, IOWA
PROPERTY TAX RATES
DIRECT AND OVERLAPPING GOVERNMENTS
LAST TEN FISCAL YEARS
TAX RATES PER $1,000 ASSESSED VALUE
(AMOUNTS EXPRESSED IN THOUSANDS)
(UNAUDITED)
Table 5
Board
Dubuque of Education
Fiscal Dubuque School and Area 1
Year City District Independents Voc. Tech
1992 $12.7742 $13.6506 $ .6186 $ .4620
1993 12.4989 13.6650 .6733 .4699
1994 12.60588 13.92886 .50303 .47495
1995 11.78206 13.60398 .53777 .49222
1996 11.78215 13.70668 .74972 .49360
1997 11.38153 12.39251 .70548 .50348
1998 11.40112 12.03974 .52563 .49951
1999 11.07340 11.98226 .50368 .48592
2000 11.15945 11.53111 .66882 .55128
2001 11.93556 13.50ddd .54806 .57072
Source: Dubuque County Auditor's Office.
Ratio of
Dubuque
Dubuque City
County Total to Total
7.0749 $34.5803 36.94%
7.6173 34.9244 35.79
7.61714 35.12986 35.88
6.95885 33.37488 35.30
6.13169 32.86384 35.85
5.87236 30.85536 36.89
5.54113 30.00713 37.99
5.52169 29.56695 37.45
5.54016 29.45082 37.89
5.73669 32.29547 36.96
80
CITY OF DUBUQUE, IOWA
PRINCIPAL TAXPAYERS
PAYABLE FISCAL YEAR 2001
(AMOUNTS EXPRESSED IN THOUSANDS)
(UNAUDITED)
Table 6
Taxpayer
Kennedy Mall
Medical Associates Realty
Nordstrom, Inc.
U.S. West Communications
Plaza 20, Inc.
McGraw Hill
A.Y. McDonald Manufacturing Co.
American Trust and Savings Bank
Plastic Center, Inc.
Color-Box, LLC
Totals
1999 Percentage of
Assessed Total Assessed
Type of Business Valuation Valuation
Shopping Center $ 19,990 .95 %
Health Services 17,646 .84
Warehouse Distributor 14,193 .67
Telecommunications 8,476 .40
Shopping Plaza 7,861 .37
Publishing 7,685 .36
Plumbing Supplies 7,490 .35
Bank 7,378 .35
Real Estate Management 6,927 .33
Manufacturing 6,378 .30
$ 104.024 4.92%
Source: Dubuque County Auditor's Office.
Alliant Energy Power Company and Peoples Natural Gas Company are not on the above schedule.
Effective 2001 utility companies pay excise tax on revenue to the state rather than property taxes.
81
CITY OF DUBUQUE, IOWA
SPECIAL ASSESSMENT BILLINGS AND COLLECTIONS
LAST TEN FISCAL YEARS
(AMOUNTS EXPRESSED IN THOUSANDS)
(UNAUDITED)
Table 7
Fiscal Special Assessment Special Assessment
Year Billings Collections (1)
1992 $ 59 $ 276
1993 58 333
1994 44 339
1995 51 609
1996 33 147
1997 41 378
1998 73 179
1999 67 644
2000 67 203
2001 82 698
(1) Includes prepayments.
82
CITY OF DUBUQUE, IOWA
COMPUTATION OF LEGAL DEBT MARGIN
JUNE 30, 2001
(AMOUNTS EXPRESSED IN THOUSANDS)
(UNAUDITED)
Table 8
Actual Valuations
$ 2,014.897
Legal debt margin:
Debt limitation - 5% of actual valuations
Debt applicable to limitation:
Total bonded debt
Less: Revenue bonds
Total debt applicable to limitation
Legal debt margin
20,577
(1.890)
$ 100,745
18,687
82.058
83
CITY OF DUBUQUE, IOWA
RATIO OF NET GENERAL OBLIGATION BONDED DEBT TO ASSESSED
VALUE AND NET GENERAL OBLIGATION BONDED DEBT PER CAPITA
LAST TEN FISCAL YEARS
(AMOUNTS EXPRESSED IN THOUSANDS)
(UNAUDITED)
Table 9
Ratio of
Net Bonded Net
Net Debt to Bonded
Fiscal Population Assessed Bonded Assessed Debt Per
Year (1) Value (2) Debt (3) Value Capita
1992 58 $ 973,734 $ 16,255 1.67% $ .280
1993 58 949,949 16,340 1.72 .282
1994 58 986,892 17,125 1.74 .295
1995 58 1,116,511 14,775 1.32 .255
1996 59 1,140,720 14,200 1.24 .241
1997 59 1,226,841 11,755 0.96 .199
1998 59 1,249,431 10,795 0.86 .183
1999 56 1,333,717 8,545 0.64 .153
2000 56 1,369,016 10,511 0.77 .188
2001 58 1,366,624 18,687 1.37 .322
(1) U.S. Census Bureau.
(2) From Table 4.
(3) Amount does not include revenue bonds.
84
CITY OF DUBUQUE, IOWA
RATIO OF ANNUAL DEBT SERVICE EXPENDITURES
FOR GENERAL OBLIGATION BONDED DEBT TO TOTAL
GENERAL GOVERNMENTAL EXPENDITURES
LAST TEN FISCAL YEARS
(AMOUNTS EXPRESSED IN THOUSANDS)
(UNAUDITED)
Table 10
Total
General
Total Governmental
Fiscal Debt Expenditures
Year Principal Interest (1) Service (2)
Ratio of
Debt Service to
General Govenm~ental
Expenditures
1992 $ 2,140 $ 1,242 $ 3,382 $ 28,197 11.99%
1993 4,530 * 1,137 5,667 26,350 21.51
1994 2,315 908 3,223 36,299 8.88
1995 2,350 915 3,265 33,430 9.77
1996 2,435 757 3,192 34,772 9.18
1997 2,445 740 3,185 36,371 8.76
1998 2,150 551 2,701 36,691 7.36
1999 2,060 438 2,498 41,806 5.98
2000 1,655 320 1,975 43,634 4.53
2001 1,974 219 2,193 42,638 5.14
(1) Excludes bond issuance and other costs.
(2) Includes general, special revenue, and debt service funds.
* Includes advance refunded principal of $2,300,000.
85
CITY OF DUBUQUE, IOWA
COMPUTATION OF DIRECT AND OVERLAPPING DEBT
GENERAL OBLIGATION BONDS
JUNE 30, 2001
(AMOUNTS EXPRESSED IN THOUSANDS)
(UNAUDITED)
Table 11
Jurisdiction
Net General
Obligation
Bonded Debt
Outstanding
Direct:
City of Dubuque $ 9,005 (1)
Total $ 9.005
(1) Excluding general obligation bonds reported in the enterprise funds.
Percentage
Applicable
to
Government
100.000%
Amount
^pplicable
to Government
$ 9,005
$ 9.005
86
CITY OF DUBUQUE, IOWA
REVENUE BOND COVERAGE
PARKING BONDS
LAST TEN FISCAL YEARS
(AMOUNTS EXPRESSED IN THOUSANDS)
(UNAUDITED)
Table 12
Net
Revenue
Gross Operating Available
Fiscal Revenue Expenses For Debt
Year (1) (2) Service
Debt Service Requirements
Principal Interest Total
Coverage
1992 $ 1,061 $ 513$ 548$ 80 $ 224 $ 304 1.80
1993 1,160 504 656 85 218 303 2.17
1994 1,090 543 547 90 212 302 1.81
1995 1,108 592 516 95 205 300 1.72
1996 1,152 631 521 105 198 303 1.72
1997 1,175 551 624 110 191 301 2.07
1998 1,268 570 698 150 195 345 2.02
1999 1,303 876 427 155 98 253 1.69
2000 1,278 900 379 165 93 258 1.47
2001 1,552 1,008 544 170 86 256 2.13
(1) Total revenues (including interest).
(2) Total operating expenses exclusive of depreciation.
(3) Bond ordinance requires 1.3 coverage.
87
CITY OF DUBUQUE, IOWA
PROPERTY VALUE, CONSTRUCTION PERMITS, AND BANK DEPOSITS
LAST TEN FISCAL YEARS
(DOLLAR AMOUNTS EXPRESSED IN THOUSANDS)
(UNAUDITED)
Table 13
Property Value (1) Consa-action Permits Bank Deposits (2)
Number
Fiscal of Calendar Total
Year Other (3) Residential Totals Permits Value Year Deposits
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
424616
352 979
381 324
441 399
456 075
519 104
521 327
589 760
586 318
593 085
$ 705,075 $ 1,129,691 1,656 $ 38,532 1991 $ 833,931
832,384 1,185,363 1,780 41,964 1992 869,000
848,071 1,229,395 1,862 56,928 1993 852,000
1,008,627 1,450,026 6,918 * 65,599 1994 883,000
1,031,133 1,487,208 4,190 75,569 1995 902,659
1,231,726 1,750,830 2,039 34,950 1996 901,724
1,255,015 1,776,342 1,572 35,647 1997 701,402 **
1,397,706 1,987,466 1,500 58,309 1998 782,248
1,404,110 1,990,428 1,502 78,500 1999 842,165
1,421,812 2,014,897 1,448 72,073 2000 t,269,631
(1) Estimated actual value fromTable 4.
(2) Source: Federal Depository Insurance Corporation.
(3) Commercial, Industrial, and Utilities.
www.fdic.gov)
Hail and wind storm in August t994, caused extensive roof and siding damage throughout the City,
greatly increasing permit activity.
In 1998, two major banks in the City were consolidated into larger bank corporations; deposits were
recorded only at source of charter.
88
CITY OF DUBUQUE, IOWA
TAXABLE RETAIL SALES
DUBUQUE COUNTY
LAST TEN YEARS
(AMOUNTS EXPRESSED IN THOUSANDS)
(UNAUDITED)
Table 14
Calendar
Year
1991
1992
1993
1994
1995
1996
1997
1998
1999
2O00
Source: Iowa Department of Revenue and Finance.
Taxable
Sales
530,852
599,002
610,691
688,699
771,946
700,350
718,761
868,822
791,425
800,058
Percent
Growth
(Decline)
4.88%
12.84
1.95
12.77
12.09
(9.27)
2.63
20.88
(9.11)
1.10
89
CITY OF DUBUQUE, IOWA
DEMOGRAPHIC STATISTICS
LAST TEN FISCAL YEARS
(UNAUDITED)
Table 15
Fiscal
Year
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
Data Sources:
(1)
(2)
(3)
(4)
(5)
(2) (3) (4) (5)
( 1 ) Per Capita Median School Unemployment
Population Income Age Enrollment Rate
57,538 $ 17,208 34
57,538 18,453 34
57,538 19,110 34
57,538 20,113 34
59,084 21,755 34
59,084 22,096 34
59,084 23,293 34
56,467 24,499 34
56,467 38,998 34
57,686 * 34
Bureau of Census; 2000 Census.
Survey of Current Business, U.S. Department of Commerce.
Bureau of Census; 2000 Census.
School District
Iowa Department of Employment Services.
Unavailable at report date.
9,867 6.8%
9,995 5.5
10,022 4.3
10,133 3.8
10,065 4.8
9,985 4.7
9,857 3.1
9,735 3.1
9,697 2.7
9,680 3.4
90
CITY OF DUBUQUE, IOWA
SCHEDULE OF INSURANCE IN FORCE
JUNE 30, 2001
LIABILITY INSURANCE
Iowa Communities Assurance Pool
Expiration
Policy Number Date
Details of Coverage
IP041901414000003 7/1/01
Municipal General Liability
Includes EMT's and
Ambulance Service
Iowa Communities Assurance Pool IP035901414000003 7/1/01
Municipal Auto Liability
Includes Transit Liability
Iowa Communities Assurance Pool IP015901414000003 7/1/01 Comprehensive & Collision
Iowa Communities Assurance Pool IP039901414000003 7/1/01 Public Official Liability
Iowa Communities Assurance Pool IP040891414000003 7/1/01 Police Professional
Zurich-American Insurance Group
AAA3783561-00 4/15/02
Environment Liability
Lead Pollution
Great American Insurance Co.
Northland Insurance Co.
St. Paul F & M Ins. Group
Transcontinental Insurance Co.
Mount Vernon Fire Insurance Co.
PROPERTY INSURANCE
The Cincinnati Insurance Co.
15965 7/1/01
A4010489 7/1/02
EM06649597 8/1/01
LLP1622436 8/1/01
CL2231997 4/16/02
CAP 769 5890 7/1/01
Airport Liability
Public Officials Liability
Professional Liability -
Nurses
Liquor Law Liability -
Five Flags
Liquor Law Liability -
Bunker Hill
Comprehensive Business
Policy
Table 16
Liability Limits
Annual
Premimn
$ 5,000,000
$ 100,000
$ 10,000
Each Occurrence
Aggregate Per Year
Deductible Per Occurrence
$ 5,000,000 Each Accident
$ 100,000 Aggregate
$ 10,000 Deductible Per Accident
Per Scheduled
Motor Vehicles
147,290
108,962
49,736
$ 5,000,000 Each Claim
$ 100,000 Aggregate
$ i0,000 Deductible Per Claim
$ 5,000,000 Per Person/Agg.
$ 100,000 Aggregate
$ i0,000 Deductible Per Claim
$ 1,000,000 Each Occurrence
$ 2,000,000 Aggregate
$ 5,000 Deductible
$ 20,000,000 Aggregate
$ 5,000,000 Aggregate
$ 1,000,000 Each Person
$ 3,000,000 Total Limit
$ 1,000,000
Each Common Cause
27,226
39,160
22,710
34,500
7,554
175
2,052
$ 5,000,000 Each Occurrence/Aggregate
4,182
$ 104,057,915 Building & Contents
$ 10,000 Deductible Per Occurrence
$ 20,000 Aggregate Per Year
$ 10,000,000 Earthquake
$ 807,497 Business Interruption
$ 747,307 EDP Equipment
$ 2,859,289 Mobile Equipment
$ 317,347 Communications Equipment
$ 16,000 Signing
$ 252,560 Artwork
110,020
(continued)
91
CITY OF DUBUQUE, IOWA
SCHEDULE OF INSURANCE IN FORCE
JUNE 30, 2001
Insurer
Expkafion
Policy Number Date
CRIME INSURANCE
Allied Group Insurance
Travelers Casualty and Surety
BD7900575274 7/1/01
020BY103338754BCM 7/1/01
Details of Coverage
Public Official Bond
Public Official Bond
BOILER INSURANCE
The Cincinnati Insurance Co. BEP 264 96 23 7/1/01 Boiler & Machinery
Table 16
(continued)
Liabiliw Limits
Annual
Premium
100,000 All Employees
900,000 City Manager
900,000 Finance Director
900,000 Assistant Finance Director
900,000 Administrative Service Manager
3,080
1,144
2,500,000 Per Accident
5,000 Deductible
Total
56,876
$ 614.667
92
CITY OF DUBUQUE, IOWA
MISCELLANEOUS STATISTICS
JUNE 30, 2001
(UNAUDITED)
Table 17
Date of Incorporation
Form of Government
Population - 2000 Census
Number of employees:
Full Time
Part Time/Seasonal
Area in square miles
City of Dubuque facilities and services:
Mi/es of streets
Number of street lights
Number of traffic signals
Culture and Recreation:
Parks
Park acreage
Golf courses
Swimming Pools
Civic Center
Fire Protection:
Number of stations
Number of fire personnel and officers
Police Protection:
Number of stations
Number of police personnel and officers
Water Pollution Control System:
Miles of sanitary sewers
Miles of storm sewers
Number of treatment plants
Number of service connections
Daily average treatment in gallons
Maximum daily capacity of treatment plant in gallons
Water System:
Miles of water mains
Number of service colmections
Number of fire hydrants
Dally average consumption in gallons
Maximum daily capacity of plant in gallons
Public Transit System
Facilities and services not included in the reporting entity:
Education:
Number of elementary schools
Number of secondary schools
Number of colleges
Number of universities
Number of theological seminaries
Hospitals:
Number of hospitals
Number of licensed patient beds
1837
Council/Manager-Ward
57,686
519
205
27
336
1,191
106
38
833
1
2
1
6
9O
1
100
166
150
1
20,550
9,000,000
15,000,000
302
21,000
2,685
8,000,000
18,000,000
Vehicles- 20
19
7
4
1
2
2
478
93
COMPLIANCE SECTION
Consukams · Ceaified Pub~ ^ccountan~s
INDEPENDENT AUDITOR'S REPORT ON COMPLIANCE AND ON
INTERNAL CONTROL OVER FINANCIAL REPORTING BASED ON AN AUDIT OF
FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH
GOVERNMENT AUDITING STANDARDS
To the Honorable Mayor and
Members of the City Council
City of Dubuque, Iowa
We have audited the general purpose financial statements of the City of Dubuque, Iowa, as of and for the
year ended June 30, 2001, and have issued our report thereon dated October 25, 2001. We conducted our
audit in accordance with auditing standards generally accepted in the United States of America; Chapter
11 of the Code of Iowa; and the standards applicable to financial audits contained in Government Auditing
Standards, issued by the Comptroller General of the United States.
Compliance
As part of obtaining reasonable assurance about whether the City's general purpose financial statements
are free of material misstatement, we performed tests of its compliance with certain provisions of laws,
regulations, contracts, and grants, non-compliance with which could have a direct and material effect on
the determination of financial statement amounts. However, providing an opinion on compliance with
those provisions was not an objective of our audit, and accordingly we do not express such an opinion.
The results of our tests disclosed no instances of non-compliance that are required to be reported under
Government Auditing Standards. However, we noted a certain immaterial instance of non-compliance that
is described in Part iii of the accompanying Schedule of Findings and Questioned Costs.
Comments involving statutory and other legal matters about the City's operations for the year ended
June 30, 2001, are based exclusively on knowledge obtained from procedures performed during our audit
of the general purpose financial statements of the City. Since our audit was based on tests and samples,
not all transactions that might have had an impact on the comments were necessarily audited. The
comments involving statutory and other legal matters are not intended to constitute legal interpretations of
those statutes. There were no prior year statutory comments and recommendations.
Internal Control Over Financial Reporting
In planning and performing our audit, we considered the City's internal control over financial reporting in
order to determine our auditing procedures for the purpose of expressing our opinion on the general
purpose financial, statements and not to provide assurance on the internal control over financial reporting.
However, we noted a certain matter involving the internal control over f'mancial reporting and its
operation that we consider to be a reportable condition. Reportable conditions involve matters coming to
our attention relating to significant deficiencies in the design or operation of the internal control over
financial reporting that, in our judgment, could adversely affect the City's ability to record, process,
summarize, and report financial data consistent with the assertions of management in the general purpose
financial statements. The reportable condition is described in Part II of the accompanying Schedule of
Findings and Questioned Costs.
3999 Pennsylvania Ave. ·Su/te i00 · Dubv4ue, Iowa 52002.2639 · 319.556.1790 · Fax 319.55Z7842 94
Off'es in Ar/zona, Iowa, Minnesota, Montana, North Dakota and South Dakota · Equal OpportuniU Employer
A material weakness is a condition in which the design or operation of one or more of the intemal control
components does not reduce to a relatively Iow level the risk that misstatements in mounts that would be
material in relation to the general purpose financial statements being audited may occur and not be
detected within a timely period by employees in the normal course of performing their assigned functions.
Our consideration of the internal control over financial reporting would not necessarily disclose all
matters in the internal control over financial reporting that might be reportable conditions and,
accordingly, would not necessarily disclose all reportable conditions that are also considered to be
material weaknesses. However, we believe the reportable condition described above is not a material
weakness. We also noted other matters involving the internal control over financial reporting that we have
reported to management of the City of Dubuque, Iowa, in a separate letter dated October 25, 2001. Prior
year reportable conditions have been resolved except for item II-A-01.
This report, a public record by law, is intended solely for the information and use of the officials,
employees, and citizens of the City of Dubuque, Iowa, and other parties to whom the City of Dubuque,
Iowa, may report. This report is not intended to be and should not be used by anyone other than these
specified parties.
We would like to acknowledge the many courtesies and assistance extended to us by personnel of the City
of Dubuque, Iowa, during the course of our audit. Should you have any questions concerning any of the
above matters, we shall be pleased to discuss them with you at yom' convenience.
Dubuque, Iowa
October 25, 2001
95
Consultants · Certified Public Accountants
INDEPENDENT AUDITOR'S REPORT ON COMPLIANCE WITH REQUIREMENTS
APPLICABLE TO EACH MAJOR PROGRAM AND INTERNAL CONTROL OVER
COMPLL~NCE IN ACCORDANCE WITH OMB CIRCULAR A-133
To the Honorable Mayor and
Members of the City Council
City of Dubuque, Iowa
Compliance
We have audited the compliance of the City of Dubuque, Iowa, with the types of compliance
requirements described in the U.S. Office of Management and Budget (OMB) Circular A-133 Compliance
Supplement that are applicable to each of its major federal programs for the year ended June 30, 2001.
The City's major federal programs are identified in the summary of the independent auditor's results
section of the accompanying Schedule of Findings and Questioned Costs. Compliance with the
requirements of laws, regulations, contracts, and grants applicable to each of its major federal programs is
the responsibility of the City's management. Our responsibility is to express an opinion on the City's
compliance based on our audit.
We conducted our audit of compliance in accordance with auditing standards generally accepted in the
United States of America; Chapter 11 of the Code of Iowa; the standards applicable to f'mancial audits
contained in Government Auditing Standards, issued by the Comptroller General of the United States; and
OMB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations. Those
standards and provisions require that we plan and perform the audit to obtain reasonable assurance about
whether non-compliance with the types of compliance requirements referred to above that could have a
direct and material effect on a major federal program occurred. An audit includes examining, on a test
basis, evidence about the City's compliance with those requirements and performing such other
procedures as we considered necessary in the circumstances. We believe that our audit provides a
reasonable basis for our opinion. Our audit does not provide a legal determination on the City's
compliance with those requirements.
In our opinion, the City of Dubuque, Iowa, complied, in all material respects, with the requirements
referred to above that are applicable to each of its major federal programs for the year ended June 30,
2001.
Internal Control Over Compliance
The management of the City of Dubuque, Iowa, is responsible for establishing and maintaining effective
internal control over compliance with requirements of laws, regulations, contracts, and grants applicable
to federal programs. In planning and performing our audit, we considered the City's internal control over
compliance with requirements that could have a direct and material effect on a major federal program in
order to determine our auditing procedures for the purpose of expressing out' opinion on compliance and
to test and report on the internal control over compliance in accordance with OMB Circular A-133.
3999 Pennsylvania Ave. "' Su/te I00 ° Dubuque, Iowa 52002-2639 · 3 I9.556.1790 ° Fax 319.557.784296
Offices in A:,/zona, Iowa, Minnesota, Montana, North Dakota and South Dakota ° Equal Opportunity_ Employer
Our consideration of the internal control over compliance would not necessarily disclose all matters in the
intemat control that might be material weaknesses. A material weakness is a condition in which the
design or operation of one or more of the internal control components does not reduce to a relatively low
level the risk that non-compliance with applicable requirements of laws, regulations, contracts, and grants
that would be material in relation to a major federal program being audited may occur and not be detected
within a timely period by employees in the normal course of performing their assigned functions. We
noted no matters involving the internal control over compliance and its operation that we consider to be
material weaknesses.
This report, a public record by law, is intended solely for the information and use of the officials,
employees, and citizens of the City of Dubuque, Iowa, and other patties to whom the City of Dubuque,
Iowa, may report, including federal awarding agencies and pass-through entities. This report is not
intended to be and should not be used by anyone other than these specified parties.
Dubuque, Iowa
October 25, 2001
97
CITY OF DUBUQUE, IOWA
SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
CFDA
Grantor/Program Number
Agency or
Pass-Throu~h Number
Direct:
Department of Housing and Urban Development:
Community Development Block Grants/
Entitlement Grants
14.218 B-9X-MC-19-004
Community Development Block Grants/
Economic Development Initiative
14.246 B-99-SP-IA-0085
Fair Housing Assistance Program- State
and Local
14.401 FF207K007006
Lower Income Housing Assistance
Program- Section 8 Moderate
Rehabilitation
Lower Income Housing Assistance
Program- Section 8 Moderate
Rehabilitation
Lower Income Housing Assistance
Program- Section 8 Moderate
Rehabilitation
Lower Income Housing Assistance
Program- Section 8 Moderate
Rehabilitation
14.856 KC-9004MR-007
14.856 KC-9004MR-005
14.856 KC-9004MR-002
14.856 KC-9004MR-001
Section 8 Housing Choice Vouchers
Section 8 Housing Choice Vouchers
Lead-Based Paint Hazard Control in
Privately-Owned Housing
Department of Justice:
Local Law Enforcement Block Grants
Program
Federal Drug Task Force Grant
Department of Transportation:
Airport Improvement Program
Airport Improvement Program
Airport Improvement Program
Airport Improvement Program
Airport Improvement Program
14.871 KC-9004V
14.871 KC-9004E
14.900 IALAG0066-97
16.592 1999LBVX7215
N/A WC IAN 036
20.106 3-19-0028-22
20.106 3 - 19-0028 -24
20.106 3-19-0028-25
20.106 3-19-0028-26
20.106 3 - 19 -0028 -27
Program
Expenditures
$ 2.886,050
428,865
45,400
25,217
277,480
13,646
22.830
339.173
2,749,890
536,373
3.286,263
662,516
9.294
614
135,036
48,267
2,060,454
3,008,005
614,780
5,866,542
(continued)
98
CITY OF DUBUQUE, IOWA
SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
CFDA
Grantor/Program Number
Direct: (continued)
Department of Transportation: (continued)
Highway PlAnning and Construction
Federal Transit - Formula Grants
Federal Transit - Formula Grants
Federal Transit - Formula Grants
Total Direct
Indirect:
Department of Housing and Urban Development:
Iowa Department of Economic Development:
HOME Investment Parmerships Program
Department of Justice:
Dubuque County, Iowa:
Byme Formula Grant Program
Violence Against Women Formula Grants
Violence Against Women Formula Grants
Local Law Enforcement Block Grants
Program
Department of Transportation:
Iowa Department of Transportation:
Highway Planning and Construction
Capital Assistance Program for Elderly
Persons and Persons with Disabilities
Govemor's Traffic Safety Bureau:
State and Community Highway Safety
Environmental Protection Agency:
Iowa Department of Public Health and
L'mn County, Iowa:
State Indoor Radon Grants
20.205
20.507
20.507
20.507
14.239
16.579
16.588
16.588
16.592
20.205
20.513
20.600
66.032
Agency or
Pass-ThroughNumber
IA-90-×240
IA-90-X222
IA-90-X234
IA-90-X240
97-LHAP-003
00A-0206
00V-0219
99V-0211
99LE-0114
STP-U-2100(12)- - 70-31
PAP 01-02, TASK 05
5889RC02
Program
Expenditures
$ 530,467
7,290
6,605
530,467
544,362
14,599,546
82,000
2,812
4,285
1,230
5,515
548
55,252
13.246
27,188
3,000
(continued)
99
CITY OF DUBUQUE, IOWA
SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
FOR THE FISCAL YEAR ENDED JIJNE 30, 2001
Grantor/Pro.am
CFDA Agency or
Number Pass-Through Number
Indirect: (continued)
Federal Emergency Management Agency:
Iowa Department of Public Defense:
Public Assistance Grants
Program
Expenditures
Hazard Mitigation Grant
Deparm~ent of Health and Human Services:
Iowa Department of Public Health:
Childhood Lead Poisoning Prevention
Projects
83.544 DRIA1277/1367 $ 265,495
83.548 HMGP 1277/996 2.531
Preventive Health and Health Services
Block Grant
Preventive Health and Health Services
Block Grant
Iowa Department of Human Services:
Temporary Assistance for Needy Families
93.197 5881LP08
93.991 5881AS05
93.991 5889AS05
Total indirect
Total
93.558 DEA01-007
21,489
698
698
1,396
11,302
491,774
$ 15.091.320
N/A - Not Available
See notes to the Schedule of Expenditures of Federal Awards.
100
CITY OF DUBUQUE, IOWA
NOTES TO THE SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
NOTE 1 - BASIS OF PRESENTATION
The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the
City of Dubuque, Iowa, and is presented on the modified accrual basis of accounting, except for the
Community Development Block Grants/Entitlement Grants - CFDA Number 14.218 - Agency Number
B-9X-MC-19-0004 which is presented using the cash basis of accounting. 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 mounts presented in this schedule
may differ from amounts presented in, or used in the preparation of, the general propose financial
statements.
NOTE 2 - SUBRECIPIENTS
Of the federal expenditures presented in the schedule, the City of Dubuque, Iowa, provided federal
awards to subrecipients as follows:
Federal Amount Provided
Program Title CFDA Number. to Subrecipients
Community Development Block Grants/
Entitlement Grants
14.218 $ 171,542
Community Development Block Grants/
Economic Development Initiative
14.246 428,865
101
CITY OF DUBUQUE, IOWA
SCHEDULE OF FINDINGS AND QUESTIONED COSTS
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
Part I: Summary of the Independent Auditor's Results:
(a) An unqualified opinion was issued on the financial statements.
(b) A reportable condition in internal control over £mancial reporting was disclosed by the audit of
the financial statements but was not considered a material weakness.
(c) The audit did not disclose any non-compliance which is material to the financial statements.
(d) No reportable conditions in internal control over maj or programs were identified.
(e) An unqualified opinion was issued on compliance with requLrements applicable to each major
program.
(f) The audit did not disclose any audit findings which are required to be reported in accordance
with Office of Management and Budget Circular A-133, Section .510(a).
(g) Major programs were as follows:
· CFDANamber 14.856-Lower Income Housing Assistance Program - Section 8
Moderate Rehabilitation
· CFDA Number 14.871 - Section 8 Housing Choice Vouchers
· CFDA Number 83.544 - Public Assistance Grants
(h) The dollar threshold used to distinguish between Type A and Type B programs was $452,740.
(i) The City of Dubuque, Iowa, did qualify as a Iow-risk auditee.
Part II: Findings Related to the General Purpose Financial Statements:
REPORTABLE CONDITION
II-A-01
Fixed Assets - The City has a centralized custodian who maintains a record of the City's
fixed assets, including additions and deletions made during the year. Many of the City's
fixed assets (land, buildings, improvements, and equipment) and non-fixed assets (roads,
bridges, and repairs) are accounted for by project numbers. When compiling fLxed asset
information, the custodian uses spreadsheets that include both fixed and non-fixed asset
project information. Consequently, non-fLxed asset projects are often carried to the fixed
asset records in error.
Complicating these procedures is the fact that an asset may be charged to various ftmds
or paid for in installments, and this information may not get properly combined and
summarized for the fixed asset documentation.
102
CITY OF DUBUQUE, IOWA
SCHEDULE OF FINDINGS AND QUESTIONED COSTS
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
Part H: Findings Related to the General Purpose Financial Statements: (continued)
Recommendation - To assure non-fixed asset projects are not included on fixed asset
records, non-fixed asset projects should be segregated from fixed asset projects as soon
as possible by City staff knowledgeable of both the projects and fixed asset policies. The
distinction made between fixed and non-fixed asset projects and the project spreadsheets
should be closely reviewed for errors by other City staff with knowledge of fixed asset
polices. Compilation and review of f~xed asset records should be completed prior to the
beginning of audit work.
To make the information easier to accumulate and more reliable, a project or asset
should be budgeted and paid from a single fund and project number and transfers made
from other funds as needed to fund the project.
Response - The Finance Director and Assistant Finance Director will spend additional
time prior to the fieldwork on the audit in future years to verify the accuracy of
information included in the City's fixed asset records. Many project numbers are utilized
by the City, which complicates year-end work. improved detailed instructions and
monitoring will be provided to individuals associated with the fixed asset record
keeping.
The City will continue to attempt to reduce the number of individual project and fixed
asset expenditures allocated to more than one fund. Finance department personnel will
work with Information Services personnel and the City's budget officer to identify
expenditure funding sources and reporting aitematives.
Problems with the Pentamation software depreciation system continue to be identified
and resolved. Limited report writing and support from the software provider contribute
to the fixed asset issues.
Conclusion - Response accepted.
Part III: Other Findings Related to Statutory Reporting:
Official Depositories - A resolution naming official depositories has been approved by
the City. The maximum deposit amounts stated in the resolution were not exceeded
during the year ended June 30, 2001.
III-S 01
Certified Budeet - Program disbursements during the year ended June 30, 2001, did not
exceed the amounts budgeted.
III-C-01
Questionable Expenditures - We noted no expenditures which fail to meet the
requirements of public purpose as defined in au Attorney General's opinion dated
April 25, 1979.
BI-D-01
Travel Expense - No expenditures of City money for travel expenses of spouses of City
officials or employees were noted.
103
CITY OF DUBUQUE, IOWA
SCHEDULE OF FINDINGS AND QUESTIONED COSTS
FOR TIlE FISCAL YEAR ENDED JUNE 30, 2001
Part HI: Other Findings Related to Statutory Reporting: (continued)
III-E-01
Business Transactions - Business transactions between the City and City officials or
employees are detailed as follows:
Name, Title, and
Business Connection
Transaction
Description
John Zenner, Employee,
owner of building
Building rent $ 550
In accordance with Chapter 362.5 of the Code of Iowa, this transaction does not appear
to represent a conflict of interest since the balance of the transaction is less than $1,500.
IlI-F-01
Bond Coverage - Surety bond coverage of City officials and employees is in accordance
with statutory provisions. The amount of coverage should be reviewed annually to
insure that the coverage is adequate for current operations.
III-G-01
Council Minutes - No transactions were found that we believe should have been
approved in the Council minutes but were not.
III-H-01
Revenue Bonds - No instances of non-compliance with the provisions of the City's
revenue bond resolutions were noted.
1II-I-01
Deposits and Investments - No instances of non-compliance with the deposit and
investment provisions of Chapters 12B and 12C of the Code of Iowa and the City's
investment policy were noted.
m4-01
Solid Waste Fees Retainage - The Dubuque Metropolitan Area Solid Waste Agency, a
component unit of the City, used or retained the solid waste fees in accordance with
Chapter 455B.310(2) of the Code of Iowa.
III-K-O1
Notice of Public Hearing for Public Improvements - The City did not publish a notice of
public hearing on airport and library projects as required by Chapters 384.102 and 362.3
of the Code of Iowa.
Recommendation - Before entering into any contract for public improvements where the
cost is $25,000 or more, the Council should set a date for public hearing and give notice
at least four but not more than 20 days prior to the hearing as provided in Chapter 362.3
of the Code of Iowa.
Response - The City will set a date for public hearings and publish timely notices for all
future airport and library projects. In accordance with State of Iowa Code, the City has
adhered to requirements relative to public improvements for all other projects. The
Airport Commission and Library Board of Trustees have provided primary oversight for
their public improvement projects in the past.
104
CITY OF DUBUQUE, IOWA
SCHEDULE OF FINDINGS AND QUESTIONED COSTS
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
Part HI: Other Findings Related to Statutory Reporting: (continued)
A number o£ City representatives will be attending a December 7~ seminar relative to
Public Contract Code and Competitive Public Bidding in Iowa, which will assist in
confirming and meeting all requirements.
Conclusion - Response accepted.
105
CITY OF DUBUQUE, IOWA
PARKING FACILITIES
FINANCIAL STATEMENTS
JUNE 30, 2001
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CITY OF DUBUQUE, IOWA
PARKING FACILITIES
Table of Contents
OFFICIALS
INDEPENDENT AUDITOR'S REPORT
FINANCIAL STATEMENTS Balance Sheet
Statement of Revenues, Expenses, and Changes in Retained Em'nings
Statement of Cash Flows
Notes to Financial Statements
SUPPLEMENTARY INFORMATION Combining Balance Sheet
Combining Statement of Revenues, Expenses, and Changes in Retained Earnings
Bond Ordinance Requirements
Schedule of Insurance Coverage
Schedule of Statistical Data
INDEPENDENT AUDITOR'S REPORT ON BOND ORDINANCE CO1VtPLIANCE
INDEPENDENT AUDITOR'S REPORT ON COMPLIANCE AND ON INTERNAL
CONTROL OVER FINANCIAL REPORTING BASED ON AN AUDIT OF
FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH
GOVERNMENT AUDITING STANDARDS
SCHEDULE OF FINDINGS
Page
1
2
3
4
5
6-11
12
13
14
15-16
17
18
19-20
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CITY OF DUBUQUE, IOWA
PARKING FACILITIES
OFFICIALS
Nalrle
Title
TermExpkes
Terrance M. Duggan
Roy D. Buol
Patricia A. Cline
Ann E. Michalski
John H. Markham
Daniel E. Nicholson
Joseph T. Robbins
Michael C. Van Milligen
Barry A. Lindahl
Jeanne F. Schneider
Kenneth J. TeKippe
Cynthia M. Steinhauser
Mayor
Council Member
Council Member
Council Member
Council Member
Council Member
Council Member
City Manager
Corporation Counsel
City Clerk
Finance Director/Treasurer
Parking Division Manager
December 2001
December 2003
December 2003
December 2003
December 2001
December 2001
December 2001
Appointed by Council
Appointed by Council
Appointed by Council
Appointed by City Manager
Appointed by City Manager
EideBailly LLP
Consultants · Certified Public Accountants
INDEPENDENT AUDITOR'S REPORT
To the Honorable Mayor and Members of
the City Council:
We have audited the accompanying financial statemen, ts of the Parking Facilities of the City of Dubuque,
Iowa, as of and for the year ended June 30, 2001, as listed in the table of contents. These financial
statements are the responsibility of the City's management. Our responsibility is to express an opinion on
these financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally accepted in the United States of
America; Chapter 11 of the Code of Iowa; and the standards applicable to financial audits contained in
Government Auditing Standards, issued by the Comptroller General of the United States. Those standards
and provisions require that we plan and perform the audit to obtain reasonable assurance about whether
the financial statements are free of material misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by management, as well as
evaluating the overall f'mancial statement presentation. We believe that our audit provides a reasonable
basis for our opinion.
As discussed in Note 1, the financial statements referred to above present only the Parking Facilities of
the City of Dubuque, Iowa, and are not intended to present fairly the financial position of the City of
Dubuque and the results of its operations and the cash flows of its proprietary fund types and
nonexpendable trust funds in conformity with accounting principles generally accepted in the United
States of America.
In our opinion, the financial statements referred to above present fairly, in all material respects, the
financial position of the Parking Facilities of the City of Dubuque, Iowa, at June 30, 2001, and the results
of its operations and cash flows for the year then ended in conformity with accounting principles
generally accepted in the United States of America.
In accordance with Government Auditing Standards, we have also issued our report dated September 28,
2001, on our consideration of the Parking Facilities' internal control over financial reporting and our tests
of its compliance with certain provisions of laws, regulations, contracts, and grants. That report is an
integral part of an audit performed in accordance with Government Auditing Standards and should be
read in conjunction with this report in considering the results of our audit.
Our audit was performed for the purpose of forming an opinion on the financial statements taken as a
whole. The supplementary information listed in the table of contents is presented for purposes of
additional analysis and is not a required part of the financial statements. Such information has been
subjected to the auditing procedures applied in our audit of the aforementioned financial statements and,
in our opinion, is fairly stated in ail material respects in relation to the financial statements taken as a
whole·
Dubuque, Iowa
September 28, 2001
2
3999 Pennsylvania Ave. · Suite 100 ° Dutmque, Iowa 52002-2639 · 563.556.1790 · Fax 563.557.7842
Offices in Arizona, Iowa, Minnesota, Montana, North Dakota and South Dakota · Equal Opportunity Employer
CITY OF DUBUQUE, IOWA
PARKING FACILITIES
BALANCE SHEET
JUNE 30, 2001
ASSETS
CURRENT ASSETS
Cash and pooled cash investments
Accounts receivable
Accrued interest receivable
· Total Cttrrent Assets
RESTRICTED ASSETS
Cash and pooled cash investments
FIXED ASSETS
Land
Buildings and improvements
Machinery and equipment
Construction in progress
Accumulated depreciation
Net Fixed Assets
Total Assets
See notes to financial statements.
$ 1,584,830
3,979
9,324
1,598,133
552,653
1,182,717
11,850,701
586,063
584,618
(4,429,878)
9,774,221
$11,925,007
LIABILITIES AND EQUITY
CURRENT LIABILITIES
Accounts payable
Accrued Payroll
General obligation bonds payable - current
Revenue bonds payable - current
Accrued compensated absences
Total Current Liabilities
CURRENT LIABILITIES PAYABLE FROM
RESTRICTED ASSETS
Accrued interest payable
NONCURRENT LIABILITIES
General obligation bonds payable (net of
discoUnt of $26,125)
Revenue bonds payable (net of $24,000
deferred amount on refunding)
Total Noncurrent Liabilities
Total Liabilities
EQUITY
Contributed capital by government
Retained earnings
Reserved by bond ordinance
Unreserved
Total Retained Earnings
Total Equity
Total Liabillties and Equity
$ 19,782
7,435
90,000
170,000
28,080
315,297
27,540
2,633,875
1,696,000
4,329,875
4,672,712
178,307
552,653
6,521,335
7,073,988
7,252,295
$11,925,007
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CITY OF DUBUQUE, IOWA
PARKING FACILITIES '
STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN RETAINED EARNINGS
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
OPERATING REVENUES
Charges for sales and services
Other
Total Operating Revenues
OPERATING EXPENSES
Employee expense
Utilities
Repairs and maintenance
Supplies and services
Insurance
Depreciation
Total Operating Expenses
OPERATING INCOME
NONOPERATING REVENUES (EXPENSES)
Interest revenue
Interest expense
Loss on disposal of assets
Total Nonoperating Revenues (Expenses)
INCOME BEFORE OPERATING TRANSFERS
OPERATING TRANSFERS
Operating transfers from City of Dubuque
Operating transfers to City of Dubuque
Total Operating Transfers
NET INCOME
RETAINED EARNINGS, BEGINNING OF YEAR
RETA1NED EARNINGS, END OF YEAR
$ 1,345,653
101,264
1,446,917
433,237
65,257
30,873
173,355
14,303
291,064
1,008,089
438,828
104,631
(255,136)
(12,846)'
(163,351)
275,477
732,968
(27,125)
705,843
981,320
6,092,668
$ 7,073,988
See notes to financial statements.
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CITY OF DUBUQUE, IOWA
PARKING FACILITIES
STATEMENT OF CASH FLOWS
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
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CASH FLOWS FROM OPERATING ACTiVITIES
Operating income
Adjustments to reconcile operating income to net
cash provided by operating activities
Depreciation
Changes in assets and liabilities
Increase in accounts receivable
Decrease in accounts payable
Increase in accrued payroll
Decrease in accrued compensated absences
NET CASH PROVIDED BY OPERATING ACTIVITIES
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES
Operating transfers from City of Dubuque
Operating transfers to City of Dubuque
NET CASH PROVIDED BY NONCAPITAL FINANCING
ACTIVITIES
CASH FLOWS FROM CAPITAL AND RELATED FINANCING
ACTIVITIES
Acquisition and construction of fixed assets
Principal paid on bonds
Interest paid on bonds
NET CASH USED BY CAPITAL AND RELATED
FINANCING ACTIVITIES
CASH FLOWS FROM INVESTING ACTIVITIES
Interest on cash and pooled cash investments
NET DECREASE IN CASH AND CASH EQUIVALENTS
CASH AND CASH EQUIVAI ,ENTS AT BEGINNING OF YEAR
CASH AND CASH EQUIVALENTS AT END OF YEAR
NONCASH INVESTING, CAPITAL, AND FINANCING
ACTIVITIES
Contributions of fixed assets from government
See notes to financial statements.
$ 438,828
291,064
(430)
(49,161)
1,964
(1,063)
681,202
732,968
(27,125)
705,843
(2,181,303)
(160,959)
(256,24O)
(2,598,502)
105,644
(1,105,813)
3,243,296
$ 2,137,483
· $ 178,307
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CITY OF DUBUQUE, IOWA
PARKING FACILITIES
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
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NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Reporting Entity
The financial statements include only those funds of the Parking Facilities and are not intended to present
all funds of the City of Dubuque, Iowa.
Basis of Accounting
The Parking Facilities' accounting records are maintained on the cash basis. However, for financial
reporting purposes, the accounting records have been adjusted to the accrual method, recognizing revenue
when earned and expenses when liabilities are incurred.
Budgets and Budgetary Accounting
In accordance with the Code of Iowa, the City Council annually adopts a budget on the cash basis
following required public notice and hearing for all funds. The annual budget may be amended during the
year utilizing similar statutorily prescribed procedures.
Formal and legal budgetary control is based upon four major classes of expenditures known as programs,
not by fund. These four programs are community protection, human development, home and community
environment, and policy and administration.
Deposits and Investments
The Parking Facilities' cash and cash equivalents are considered to be cash on hand, demand deposits, and
short-term investments with original maturities of three months or less from the date of acquisition.
The Parking Facilities are authorized by statute to invest public funds in obligations of the United States
government, its agencies and instrumentalities; certificates of deposit or other evidences of deposit at
federally insured depository institutions approved by the City Council; prime eligible bankers
acceptances; certain high rated commercial paper; perfected repurchase agreements; certain registered
open-end management investment companies; certain joint investment trusts; and warrants or
improvement certificates of a drainage district.
Investments are stated at fair value.
Restricted Assets
Certain proceeds of revenue bonds, as well as certain resources set aside for their repayment, are
classified as restricted assets on the balance sheet because their use is limited by applicable bond
covenants.
(continued on next page) 6
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CITY OF DUBUQUE, IOWA
PARKING FACILITIES
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
Fixed Assets
Fixed assets are recorded at cost. Major outlays for capital assets and improvements are capitalized as
projects are constructed or equipment is purchased. The costs of normal maintenance and repairs that do
not add to the value of an asset or materially extend the life of an asset are not capitalized.
Fixed assets are depreciated using the straight-line method over the following estimated useful lives:
Assets
Years
Buildings and improvements
Machinery and equipment
5-50
5 -20
Compensated Absences
The Parking Facilities allow employees to accumulate earned but unused vacation and sick pay benefits.
Such benefits are accrued when earned and are reported as liabilities.
Equity
Reservations of retained earnings represent amounts restricted by applicable bond covenants.
NOTE 2 - DEPOSITS AND INVESTMENTS
The Parking Facilities' deposits at June 30, 2001, were entirely covered by federal depository insurance or
by the State Sinking Fund in accordance with Chapter 12C of the Code of Iowa. This chapter provides for
additional assessmen, ts against the depositories to insure there will be no loss of public funds.
The Parking Facilities' investments are pooled with other investments of the City. It is, therefore, not
possible to list the types of investments held by the Parking Facilities at June 30, 2001, nor is it possible
to categorize the investments to give an indication of the level of risk assumed by the Parking Facilities at
year-end.
NOTE 3 - LONG-TERM DEBT
General Obligation Bonds. The City issued general obligation bonds to provide financing for the
acquisition and consWaction of parking facilities.
General obligation bonds are direct obligations and pledge the full faith and credit of the City. These
bonds were issued as serial bonds with varying amounts of principal maturing annually and with interest
payable semi-annually. General obligation bonds outstanding at June 30, 2001, are as follows:
(continued on next page)
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CITY OF DUBUQUE, IOWA
PARKING FACILITIES
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
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Amount Amount
Date of Maturity Interest Originally Outstanding
Issue Dates Rates Issued End of Year
06/01/00 06/01/02-06/01/20 5.80-5.875% $ 2,750,000 $ 2,750,000
Net of unamortized
discounts 27.500 26,125
$ 2.722.500 $ 2.723.875
Annual debt service requirements to maturity for general obligation bonds, including interest of
$1,841,806 are as follows:
Fiscal Year Endin~ June 30
Amount
2002 $ 249,669
2003 249,449
2004 243,939
2005 243,429
2006 242,629
ThereaRer 3,362.691
Total $ 4,591.806
Revenue Bonds. The City issued parking revenue bonds to provide financing for the acquisition and
construction of parking facilities. These bonds were issued as serial bonds with varying amounts of
principal maturing annually and with interest payable semi-annually. Parking revenue bonds outstanding
at June 30, 2001, are as follows:
Amount Amount
Date of Maturity Interest Originally Outstanding
Issue Dates Rates Issued End of Year
03/01/98 05/01/01-05/01/I0 4.20~4.75% $ 2,515,000 $ 1,890,000
Annual debt service requirements to maturity for revenue bonds, including interest of $464,175 are as
follows:
Fiscal Year Endine June 30 Amount
2002 $ 255,765
2003 258,625
2004 260,885
2005 262,525
2006 263,525
2007 263,970
2008 263,850
2009 263,155
2010 261,875
Total $ 2.354.175
(continued on next page)
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CITY OF DUBUQUE, IOWA
PARKING FACILITIES
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
The resolution providing for the issuance of the revenue bonds includes the following provisions:
A sam equal to one-tenth (1/10) of the principal of all bonds maturing on May 1 next succeeding, plus
a sam equal to one-fifth (1/5) of the interest coming due 6n the next succeeding interest payment date
on all of the then outstanding bonds, shall be set aside into a resWicted sinking account from the net
revenue of the Operating Fund until the full amount of such installments is on hand.
b. A restticted reserve account shall maintain the lesser of 1) the maximum amount of principal and
interest coming due in any fiscal year; or 2) ten percent of the proceeds of the sale of the bonds.
$5,000 shall be set apart and paid into a restricted depreciation account from the balance of the net
off-street parking revenues and net on-street parking revenues remaining after first making the
required payments into the sinking account and the reserve account on the first day of each month of
each year up to a maximum of $250,000.
NOTE 4 - PENSION AND RETIREMENT BENEFITS
The Parking Facilities of the City of Dubuque, Iowa, contribute to the Iowa Public Employees Retirement
System (IPERS) which is a cost-sharing multiple-employer def'med benefit pension plan administered by
the State of Iowa. IPERS provides retirement and death benefits which are established by state statute to
plan members and beneficiaries. IPERS issues a publicly available financial report that includes financial
statements and required supplementary information. The report may be obtained by writing to IPERS,
P.O. Box 9117, Des Moines, Iowa, 50306-9117.
Plan members are required to contribute 3.70% of their annual covered salary, and the Parking Facilities
are required to contribute 5.75% of annual covered payroll. Contribution requirements are established by
state statute. The Parking Facilities' contributions to IPERS for the years ended June 30, 2001, 2000, and
1999, were $19,063, $18,257, and $17,336, respectively, equal to the required contributions for each year.
NOTE 5 - LEGAL COMPLIANCE WITH BUDGET
The City of Dubuque, Iowa, adopts a budget annually as required by Iowa law. The budget, which is
prepared on the cash basis of accounting, includes those funds of the Parking Facilities.
Following is a schedule comparing the Parking Facilities' budget and actual disbursements using the cash
basis of accounting for the year ended June 30, 2001:
Variance -
Program Budget Actual Favorable
Home and Community Environment
$ 10.404.772 ~ $ 4.974.835
As required by Iowa law, the City prepares its budget based upon four major classes of expenditures
known as programs, not by individual fund. Therefore, the City must amend the budget only if the entire
City's program amounts will be exceeded. For the year ended June 30, 2001, the City's actual
disbursements were less than budgeted amounts for all programs, so the City has complied with legal
budget requirements.
(continued on next page) 9
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CITY OF DUBUQUE, IOWA
PARKING FACILITIES
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
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NOTE 6 - 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 government carries commercial insurance and
participates in a local government risk pool.
The City of Dubuque has established a Health Insurance Reserve Fund for insuring benefits provided to
City employees and covered dependents which is included in the Internal Service Fund Type. Health
benefits were self-insured up to an individual stop loss amount of $70,000 and an aggregate stop loss of
approximately $3,740,000 for 2001. Coverage from a private insurance company is maintained for losses
in excess of the stop loss amount. All claims handling procedures ~re performed by a third-party claims
administrator. Incurred but not reported claims have been accrued as a liability based upon the claims
administrator's estimate. Settled claims have not exceeded commercial coverage in any of the past three
fiscal years. The estimated liability does not include any allocated or unallocated claims adjustment
expense.
The City of Dubuque has established a Workers' Compensation Reserve Fund for insuring benefits
provided to City employees which is included in the Internal Service Fund Type. Workers' compensation
benefits were self-insured up to a specific stop loss amount of $400,000, and an aggregate stop loss of
$5,000,000 for 2001. Coverage from a private insurance company is maintained for losses in excess of the
stop loss amount. All claims handling procedures are performed by a third-party claims administrator.
Incurred but not reported claims have been accrued as a liability based upon the claims administrator's
estimate. Settled claims have not exceeded commercial coverage in any of the last three fiscal years. The
estimated liability does not include any allocated or unallocated claims adjustment expense.
All funds of the City participate in both programs and make payments to the Health Insurance Reserve
Fund and the Workers' Compensation Reserve Fund based on actuarial estimates of the amounts needed
to pay prior- and current-year claims.
The City is a member in the Iowa Communities Assurance Pool, as allowed by Chapter 384.12 of the
Code of Iowa. The Iowa Communities Assurance Pool (Pool) is a local government risk-sharing pool
whose 371 members include various governmental entities throughout the State of Iowa. The Pool was
formed in August t986 for the purpose of managing and funding th/rd-party liability claims against its
members. The Pool provides coverage and protection in the following categories: general liability,
automobile liability, automobile physical damage, public officials liability, police professional liability,
property, inland marine, and boiler/machinery. There have been no reductions in insurance coverage from
prior years.
Each members' annual casualty contributions to the Pool fund current operations and a reserve fund.
Annual operating contributions are those amounts necessary to fund, on a cash basis, the Pool's general
and administrative expenses, claims, claims expenses and reinsurance expenses due and payable in the
current year, plus all or any portion of any deficiency in capital. During the fin:st six years of membership,
a portion of the member's contribution is allocated to a Cumulative Reserve Fund. Thereafter, no further
annual contribution shall be made to the Cumulative Reserve Fund unless the Board shall require further
annual contributions for the purpose of maintaining the Cumulative Reserve Fund at a level equal to 300
percent of the total current Basis Rates of all Members, or to comply with the requirements of any
applicable regulatory authority having jurisdiction over the Pool.
(continued on next page)
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CITY OF DUBUQUE, IOWA
PARKING FACILITIES
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2001
The Pool also provides property coverage. Members who elect such coverage make annual operating
contributions which are necessary to fund, on a cash basis, the Pool's general and administrative expenses
and reinsurance premiums, all of which are due and payable in the current year, plus all or any portion of
any deficiency in capital. Any year-end operating surplus is transferred to capital. Deficiencies in
operations are offset by transfers from capital and, if insufficient, by the subsequent year's member
contributions.
The Pool uses reinsurance and excess risk-sharing agreements to reduce its exposure to large losses. The
Pool retains general, automobile, police professional, and public officials' liability risks up to $250,000
per claim Claims exceeding $250,000 are reinsured in an amount not to exceed $1,750,000 per claim and
$5,000,000 in aggregate per year. For members requiring specific coverage from $2,000,000 to
$10,000,000, such excess coverage is also reinsured. Automobile physical damage risks are retained by
the Pool up to $50,000 each accident, each location, with excess coverage reinsured on an individual-
member basis. All property risks are also reinsured on an individual-member basis.
The Pool's intergovernmental contract with its members provides that in the event a casualty claim or
series of claims exceeds the amount of risk-sharing protection provided by the member's risk-sharing
certificate, or in the event that a series of casualty claims exhausts total members' equity plus any
reinsurance and any excess risk-sharing recoveries, then payment of such claims shall be the obligation of
the respective individual member. The City does not report a liability for losses in excess of reinsurance
or excess risk-sharing recoveries unless it is deemed probable that such losses have occurred and the
amount of such loss can be reasonably estimated. Accordingly, at June 30, 2001, no liability has been
recorded in the City's f'mancial statements. As of June 30, 2001, settled claims have not exceeded the risk
pool or reinsurance company coverage since the Pool's inception.
Members agree to continue membership in the Pool for a period of not less than one full year. After such
period, a member who has given 60 days' prior written notice may withdraw from the Pool. Upon
withdrawal, payments for all claims and claims expenses become the sole responsibility of the
withdrawing member, regardless of whether a claim was incurred or reported prior to the member's
withdrawal. Members withdrawing within the first six years of membership may receive a partial refund
of their reserve contributions. If a member withdraws after the sixth year, the member is refunded 100
percent of its Cumulative Reserve Fund, however, the refund is reduced by an amount equal to the annual
operating contribution which the withdrawing member would have made for the one-year period
following withdrawal.
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CITY OF DUBUQUE, IOWA
PARKING FACILITIES
COMBINING BALANCE SHEET
JUNE 30, 2001
ASSETS
Operating Construction
Fund Fund Total
CURRENT ASSETS
Cash and pooled cash investments
Accounts receivable
Accrued interest receivable
Total Current Assets
RESTRICTED ASSETS
Cash and pooled cash investments
FIXED ASSETS
Land
Buildings and improvements
Machinery and equipment
Construction in progress
Accumulated depreciation
Net Fixed Assets
200,990 $ 1,383,840 $ 1,584,830
3,979 3,979
9,324 9,324
214,293 1,383,840 1,598,133
552,653 552,653
1,182,717 1,182,717
tl,850,701 11,850,701
586,063 586,063
584,618 584,618
(4,429,878) (4,429,878)
9,189,603 584,6t8 9,774,221
Total Assets
$ 9,956,549 $ 1,968,458 $11,925,007
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LIABILITIES AND EQUITY
CURRENT LIABILITIES
Accounts payable
Accrued payroll
General obligation bonds payable - current
Revenue bonds payable - current
Accrued compensated absences
Total Current Liabilities
CURRENT LIABILITIES PAYABLE FROM
RESTRICTED ASSETS
Accrued interest payable
NONCURRENT LIABILITIES
General obligation bonds payable (net of
discount of $26,125)
Revenue bonds payable (net of $24,000
deferred amount on refunding)
Total Noncun'ent Liabilities
Totat Liabilities
EQUITY
Contributed capital by government
Retained earnings
Reserved by bond ordinance
Unreserved
Total Retained Earnings
Total Equity
Total Liabilities and Equity
Operating Construction
Fund Fund Total
8,096 $ 11,686$ 19,782
7,435 7,435
90,000 90,000
170,000 170,000
28,080 28,080
303,611 1t,686 315,297
27,540 27,540
2,633,875 2,633,875
1,696,000 1,696,000
4,329,875 4,329,875
4,661,026 11,686 4,672,712
178,307 178,307
552,653 552,653
4,564,563 1,956,772 6,521,335
5,117,216 1,956,772 7,073,988
5,295,523 1,956,772 7;252,295
$ 9,956,549 $ 1,968,458 $11,925,007
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CITY OF DUBUQUE, IOWA
PARKING FACILITIES
COMBINING STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN
RETAINED EARNINGS
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
OPERATING REVENUES
Charges for sales and services
Other
Total Operating Revenues
OPERATING EXPENSES
Employee expense
Utilities
Repairs and maintenance
Supplies and services
Insllrance
Depreciation
Total Operating Expenses
OPERATING INCOME
NONOPERATING REVENUES (EXPENSES)
Interest revenue
Interest expense
Loss on disposal of assets
Total Nonoperating Revenues (Expenses)
INCOME BEFORE OPERATING TRANSFERS
OPERATING TRANSFERS
Operating transfers from other funds
Operating transfers to other funds
Operating transfers from City of Dubuque
Operating transfers to City of Dubuque
Total Operating Transfers
NET INCOME (LOSS)
RETAINED EARNINGS, BEGINNING OF YEAR
RETALNED EARNINGS, END OF YEAR
Operating Construction
Fund Fund Total
$ 1,345,653 $ $ 1,345,653
3,893 97,37t 101,264
1,349,546 97,371. 1,446,917
433,237 433,237
65,257 65,257
30,873 30,873
106,300 67,055 173,355
14,303 14,303
291,064 291,064
941,034 67,055 1,008,089
408,512 30,316 438,828
68,321 36,310 104,631
(255,136) (255,136)
(12,846) (12,846)
(199,661) 36,310 (163,351)
208,851 66,626 275,477
2,995,316 470,000 3,465,316
(470,000) (2,995,316) (3,465,316)
732,968 732,968
(27,125) (27,12~)
2,498,191 (1,792,348) 705,843
2,707,042 (1,725,722) 981,320
2,410,174 3,682,494 6,092,668
$ 5,117,216 $ 1,956,772 $ 7,073,988
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CITY OF DUBUQUE, IOWA
PARKING FACILITIES
BOND ORDINANCE REQUIREMENTS
JUNE 30, 2001
Following is a summary of the bond ordinance requirements of the parking revenue refunding bond issue
dated March 1, 1998.
A sum equal to one-tenth (1/10) of the principal of all bonds inaturing on May 1 next succeeding, plus
a sum equal to one-fifth (1/5) of the interest coming due on the next succeeding interest payment date
on all of the then outstanding bonds, shall be set aside into a restricted sinking account from the net
revenue of the Operating Fund until the full amount of such installments is on hand.
2. A restricted reserve account shall maintain the lesser of 1) the maximum amount of principal and
interest coming due in any fiscal year; or 2) ten percent of the proceeds of the sale of the bonds.
$5,000 shall be set apart and paid into a restricted depreciation account from the balance of the net
off-street parking revenues and net on-street parking revenues remaining after first making the
required payments into the sinking account and the reserve account on the first day of each month of
each year up to a maximum of $250,000.
The City will cause an audit of such books and accounts of the Parking Facilities to be made by a
certified public accountant not in the regular employ of the City showing the receipts and
disbursements for each account of the Parking Facilities. The audit reports required shall include, but
not be limited to, the following:
a. An evaluation of the manner in which the City has complied with the covenants of this resolution,
including particularly the rate covenants included herein;
b. A statement of net revenues and current expenses;
c. Analyses of each fund and account created, including deposits, withdrawals, and beginning and
ending balances;
d. A balance sheet;
e. The rates in effect at the end of the fiscal year, and the number of customers of the Parking
Facilities;
A schedule of insurance policies and fidelity bonds in force at the end of the fiscal year, showing
with resPect to each policy and bond the nature of the risks covered, the limits of liability, the
name of the insurer, and the expiration date;
g. An evaluation of the issuer's system of internal f'mancial controls and the sufficiency of fidelity
bond and insurance coverage in force;
h. The names and titles of the principal officers of the City; and
i. A general statement covering any events or circumstances which might affect the financial status
of the Parking Facilities.
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CITY OF DUBUQUE, IOWA
PARKING FACILITIES '
SCHEDULE OF INSURANCE COVERAGE
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
At June 30, 2001, the property of the Parking Facilities was insured through a blanket f'n:e and extended
coverage policy with the Cincinnati Insurance Company in the amount of $13,611,819. Tins policy
expired July 1, 2001. The Parking Facilities were also insured against general, vehicle, and personal
liability through the Iowa Communities AssUrance Pool. These policies expired July 1, 2001. Also in
force at June 30, 2001, was a standard workers' compensation and employers' liability policy winch
expired July 1, 2001.
Listed below is a detailed schedule of the policies in effect at June 30, 2001:
FIRE AND EXTENDED COVERAGE
VALUES
Building and
Description Structure Contents Total
Concrete Parking Ramp
601-795 Iowa Street
$ 3,788,250 $ 10,106 $ 3,798,356
Concrete Parking Ramp
801-899 Locust Street
4,399,126 42,090 4,441,216
Concrete Parking Ramp
501-599 Iowa Street
5.372.247 5.372,247
52.196 $ 13.611.8t9
BUSINESS INCOME
on earnings - $218,989
at 601-795 Iowa Street - 80% co-insurance.
on earnings - $291,108
at 801-899 Locust Street - 80% co-insurance.
on earnings - $297,400
at 501-599 Iowa Street - 80% co-insurance.
(continued on next page)
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CITY OF DUBUQUE, IOWA
PARKING FACILITIES '
SCHEDULE OF INSURANCE COVERAGE
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
Each Occurrence
BREAKDOWN COVERAGE - EQUIPMENT
$ 2,500,0O0
Each Occurrence
GENERAL LIABILITY INSURANCE
BODILY INJURY - PROPERTY DAMAGE - PRODUCTS
ICAP
$ 5,000,000
Each Occurrence
VEHICLES
ICAP
$ 5,000,000
EXCESS WORKERS' COMPENSATION & EMPLOYERS' LIABILrrY
Each Accident $ 400,000 Retention
Each Disease $ 400,000 Retention
Limit Workers' Compensation - Statutory
Employers' Liability $ 1,000,000
FIDELITY BOND COVERAGE
Each employee $ 100,000
City Manager, Administrative Services Manager, Finance Director, and Assistant Finance Director -
$900,000 additional.
The above insurance policies have been renewed through July 1, 2002.
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CITY OF DUBUQUE, IOWA
PARKING FACILITIES
SCHEDULE OF STATISTICAL DATA
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
Number of Customers: (Estimated)
Locust Ramp:
Cash customers
Monthly customers
Iowa Ramp:
Cash customers
Monthly customers
5m Street Ramp:
Cash customers
Monthly customers
Rates in Effect per Month:
Locust Ramp:
Reserved stalls (Bay)
Reserved stalls (Undercover)
Roof stalls (South Side)
Roof stalls (Center)
Iowa Ramp:
Non-assigned stalls
Reserved stalls
Top of ramp stalls
5 t~ Street Ramp:
Non-assigned stalls
Other:
Residential Street Meters
Lot 1
Lot 2
Lot 10
Lot 12
Holiday Inn
N/A = Not Applicable
37,816
156,000
48,862
227,000
N/A
240,000
49
44
38
32
N/A
44
32
38
37.50/qtr
25
25
35
25
36
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EideBaillyL=
Consultants · Certified Public Accountants
INDEPENDENT AUDITOR'S REPORT ON BOND ORDINANCE COMPLIANCE
To the Honorable Mayor and Members of
the City Council:
We have audited the f'mancial statements of the liarking Facilities of the City of Dubuque, Iowa, as of
June 30, 2001, and for the year then ended, and have issued our report thereon dated September 28, 2001.
These financial statements are the responsibility of the City's management. Our responsibility is to
express an opinion on these f'mancial statements based on our audit.
We conducted our audit in accordance with auditing standards generally accepted in the United States of
America; Chapter 11 of the Code of Iowa; and the standards applicable to f'mancial audits contained in
Government Auditing Standards, issued by the Comptroller General of the United States. Those standards
and provisions require that we plan and perform the audit to obtain reasonable assurance about whether
the financial statements are free of material misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by management, as well as
evaluating the overall financial statement presentation. We believe that our audit provides a reasonable
basis for our opinion.
In the course of our audit, nothing came to our attention that caused us to believe there had been a lack of
compliance with the accounting or reporting requirements of the bond ordinance governing the parking
revenue refunding bond issue dated March I, 1998.
Dubuque, Iowa
September 28, 2001
3999 Pennsylvania Ave. · Suite 100 · Dubuque, Iowa 52002.2639 · 563.556.1790 ° Fax 563.557.7842
Offices in Arizona, Iowa, Minnesota, Montana, North Dakota and South Dakota ' Equal Opportunity Employer
18
EideBailly=,
Consultants · Certified Public Accountants
INDEPENDENT AUDITOR'S REPORT ON COMPLIANCE AND ON
INTERNAL CONTROL OVER FINANCIAl. REPORTING BASED ON AN
AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH
GO VERNMENT AUDITING STANDARDS
To the Honorable Mayor and
Members of the City Council:
We have audited ~ he financial sl
for the year ende :1 June 30, 2(
conducted our au alt in actor&
America; ChapteI 11 of the Co
Government Audi: ing Stanclarda
Compliance
As part of obtaini ~g reasonable
free of material ~ aisstatement,
regulations, contn cts, and grant
the determination of financial ~,
those provisions x ~as not an obi
The results of om tests disclose
Government Auditing Standards.
Comments involving statutory ar
ended June 30, 200., are based e:
audit of the financi [1 statements
Schedule of Findinl s. Since our ~
had an impact on t ~e comments
legal matters are no: intended tO i
statutory comments and recommendations.
We have audited the financial statements of the Parking Facilities of the City of Dubuque, Iowa, as of and
for the year ended June 30, 2001, and have issued our report thereon dated September 28, 2001. We
conducted our audit in accordance with auditing standards generally accepted in the United States of
America; Chapter 11 of the Code of Iowa; and the standards applicable to financial audits contained in
Government Auditing Standards, issued by the Comptroller General of the United States.
As part of obtaining reasonable assurance about whether the Parking Facilities' f'mancial statements are
free of mater/al misstatement, we performed tests of its compliance with certain provisions of laws,
regulations, contracts, and grants, non-compliance with which could have a direct and material effect on
the determination of financial statement amounts. However, providing an opinion on compliance with
those provisions was not an objective of our audit, and accordingly we do not express such an opinion.
The resuks of our tests disclosed no instances of non-compliance that are required to be reported under
Comments involving statutory and other legal matters about the Parking Facilities' operations for the year
ended June 30, 2001, are based exclusively on knowledge obtained from procedures performed during our
audit of the financial statements of the Parking Facilities and are reported in Part I of the accompanying
Schedule of Findings. Since our audit was based on tests and samples, not all transactions that might have
had an impact on the comments were necessarily audited. The comments involving statutory and other
legal matters are not intended to constitute legal interpretations of those statutes. There were no prior year
3999 Pennsylvania Ave. · Suite 100 · Dubuque, Iowa 52002.2639 ° 563.556.1790 · Fax 563.557.7842
Offices in Arizona, Iowa, Minnesota, Montana, North Dakota and South Dakota · Equal Opportunity Employer
¸19
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Internal Control Over Financial Reportin f~
In planning and performing our audit, we considered the Parking Facilities' internal control over financial
reporting in order to determine our auditing procedures for the purpose of expressing our opinion on the
financial statements and not to provide assurance on the internal control over financial reporting. Our
consideration of the internal control over financial reporting would not necessarily disclose all matters in
the internal control over f'mancial reporting that might be material weaknesses. A material weakness is a
condition in which the design or operation of one or more of the internal control components does not
reduce to a relatively low level the risk that misstatements in mounts that would be material in relation to
the financial statements being audited may occur and not be detected within a timely period by employees
in the normal course of performing their assigned functions. We noted no matters involving the internal
control over f'mancial reporting and its operation that we consider to be material weaknesses. There were
no prior year reportable conditions.
This report, a public record by law, is intended solely for the information and use of the officials,
employees, and citizens of the City of Dubuque and other parties to whom the City of Dubuque may
report. This report is not intended to be and should not be used by anyone other than these specified
parties.
We would like to acknowledge the many courtesies and assistance extended to us by personnel of the City
of Dubuque during the course of our audit. Should you have any questions concerning any of the above
matters, we shall be pleased to discuss them with you at your convenience.
Dubuque, Iowa
September 28, 2001
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CITY OF DUBUQUE, IOWA
PARKING FACILITIES
SCHEDULE OF FINDINGS
FOR THE FISCAL YEAR ENDED JUNE 30, 2001
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Part h Other Findings Related to Statutory Reporting:
I-A-O1
Official Depositories - A resolution natrfing official depositories has been approved by the City.
The maximum depdsit amounts stated in the resolution were not exceeded during the year ended
June 30, 2001.
I-B-01 Certified Budget - Disbursements during the year ended June 30, 2001, did not exceed the
amounts budgeted.
I-C-01 Questionable Expenditures - No expenditures that fail to meet the requirements of public
purpose as defined in an Attorney General's opinion dated April 25, 1979, were noted.
I-D-01 Travel Expense - No expenditures of Parking Facilities' money for travel expenses of spouses of
Parking Facilities' officials or employees were noted.
I-E-01 Business Transactions - No business transactions between the Parking Facilities and its officials
or employees were noted.
I-F-01
Bond Coverage - Surety bond coverage of Parking Facilities' officials and employees is in
accordance with statutory provisions. The amount of coverage should be reviewed annually to
insure that the coverage is adequate for current operations.
I-G-01 Council Minutes - No transactions were found that we believe should have been approved in the
Council minutes but were not.
I-H-01 Revenue Bonds - The provisions of the Parking Facilities' Revenue Refunding Bond resolution
have been met for the year ended June 30, 2001.
I-I-01
Deposits and Investments - No instances of non-compliance with the deposit and investment
provisions of Chapters 12B and 12C of the Code of Iowa and the City's investment policy were
noted.
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