FY13 Comprehensive Annual Financial Report - City of PrattvilleCITY OF PRATTVILLEO ALABAMA
FOR THE FISCAL YEAR ENDED SEPTEMBER 30,2013
COMPREHEI{SIVE ANNUAL
FINANCIAL REPORT
Prepared by:
Department of Finance
Douglas C. Moseley, CGMA, CITP, CISA, CPA
Finance Director
INTRODUCTORY SECTION
CITY OF PRATTVILLE, ALABAMA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FOR THE FISCAL YEAR ENDED SEPTEMBER 30. 2OI3
TABLE OF CONTENTS
I. INTRODUCTORY SECTION
Table of contents
Letter of transmittal
List of principal officials
Organtzational chart
Map of the City
II. FINAI\CIAL SECTION
Independent auditor's report
Management's discussion and analysis
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BASIC FINANCIAL STATEMENTS
Government-Wide Financial Statements
Statement of net position
Statement of activities
Fund Financial Statements
Balance sheet - governmental funds
Reconciliation of balance sheet of governmental funds to statement of net position
Statement of revenues, expenditures, and changes in fund balances - governmental funds
Reconciliation of statement of revenues, expenditures, and changes in fund balances
of governmental funds to statement of activities
Statement of net position - proprietary funds
Statement of revenues, expenditures, and changes in net position - proprietary funds
Statement of cash flows - proprietary funds
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CITY OF PRATTVILLE. ALABAMA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FOR THE FISCAL YEAR ENDED SEPTEMBER 30,2OI3
TABLE OF CONTENTS (Continued)
II. FINANCIAL SECTION (Continued)
PAGE
Statement ofrevenues, expenditures, and changes in fund balances - budget and actual
general fund 24 -27
Statement ofrevenues, expenditures, and changes in fund balances - budget and actual 28
Gas Tax Special Revenue Fund
Notes to Financial Statements 29-64
Schedule of funding progress of the City's post-employment benefits other than pensions 66
III. STATISTICAL SECTION
Financial Trends
REQUIRED SUPPLEMENTARY INFORMATION
Schedule of funding progress of the City's defined benefit pension plan
Schedule I Net assets by component
Schedule 2 Changes in net position
Schedule 3 Fund balances of governmental funds
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68-69
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CITY OF PRATTVILLE. ALABAMA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2OI3
TABLE OF CONTENTS (Continued)
III. STATISTICAL SECTION (Continued)
Schedule 4 Changes in fund balances of governmental funds
Revenue Capacity
Schedule 5 Net taxable sales by category
Schedule 6 Sales tax revenue payers by category
Schedule 7 Direct and overlapping sales tax rates
Debt Capacity
Schedule 8 Ratios of outstanding debt by type
Schedule 9 Ratios of net general bonded debt outstanding
Schedule l0 Direct and overlapping governmental activities debt
Schedule 1 I Legal debt margin information
Demographic and Economic Information
Schedule l2 Demographic and economic statistics
Schedule 13 Principal employers
Operating Information
Schedule l4 Full-time equivalent city government employees by function
Schedule 15 Operating indicators by function/program
Schedule 16 Capital asset statistics by function/program
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March 18, 2014
To the Citizens of
The City of Prattville
Prattville, Alabama
The Comprehensive Annual Financial Report (CAFR) of The City of Prattville (the government) for the
fiscal year ended September 30, 2013 is hereby transmitted. Responsibility for both the accuracy of the
data and the completeness and fairness of the presentation, including all disclosures, rests with the City
of Prattville management. To the best of our knowledge and belief, the enclosed data is accurate in all
material aspects and is reported in a manner designed to present fairly the financial position and results
of operations of the various funds of the government and its component units. All disclosures necessary
to enable the reader to gain an understanding of the government’s financial activities have been
included.
The Report
The financial section of the CAFR includes the management’s discussion and analysis (MD&A), the basic
financial statements for the primary government and its separately presented component units, and the
primary government’s combining and individual financial statements and schedules, as well as the
independent auditor’s report on the financial statements and schedules. The MD&A contains a
narrative introduction, overview, and analysis of the City’s financial statements. It should be read in
conjunction with this letter of transmittal.
This report includes all funds of the primary government and its component units. The primary
government provides a full range of services. These services include public safety, public works,
environmental services, culture and recreation, economic and community development, planning, and
general administrative services.
GASB Reporting Requirements
Each year, management evaluates new GASB reporting requirements to determine applicability to the
City. The requirements issued by GASB that became effective during this fiscal period and those that
will become effective in the next fiscal period are described in this document.
GASB Statement 61, “The Financial Reporting Entity: Omnibus (an amendment of GASB statements 14
and 34)” changes certain requirements for the inclusion of component units in the financial reporting
the fiscal 2013 reporting period. The City is aware of this pronouncement and will evaluate its
implications.
GASB Statement No. 63, "Financial Reporting of Deferred Outflows of Resources, Deferred Inflows of
Resources, and Net Position," provides financial reporting guidance by standardizing the presentation of
deferred outflows of resources and deferred inflows of resources and their effects on a government's
net position. The requirements of this statement are effective for financial statements for periods
beginning after December 31, 2011.
City Profile
The City of Prattville is the County seat of Autauga County, was incorporated on August 8th 1865, and is
located in south central Alabama. lt serves a population of approximately 33,960. The City of Prattville
operates under a Mayor/Council form of government with a fiscal year from October l't through
September 30th. The Mayor and seven (7) Council members are each elected to four (4) year terms. City
services include police and fire protection; sanitation services; sewer services; the construction and
maintenance of highways, streets, and infrastructure; recreational activities and cultural events.
Formal budgetary integration is employed as a management control device. On a day to be set by the
Council, the Mayor submits to the Council a balanced budget for the next fiscal year. The Council
schedules public hearings for the purpose of discussing and adopting the budget and may add to or
delete from the budget submitted by the Mayor as long as the budget remains in balance. The Council,
by a majority vote, shall adopt the budget. Activities of the General Fund, Debt Service Fund, Special
Revenue Funds, and Enterprise Funds are included in the annual appropriated budget, The City also
maintains an encumbrance accounting system as one technique of accomplishing budgetary control.
Appropriations lapse at the end of the fiscal year unless expended or encumbered.
In order to prepare a financial report, it is necessary to identify all components of the reporting entity.
Potential component units were evaluated to determine whether they should be reported in the City's
financial report. A component unit was considered to be part of the City's reporting entity if it was
concluded that the City was financially accountable for the entity or the nature and significance of the
relationship between the City and the entity was such that exclusion would cause the City's financial
statements to be misleading or incomplete. The Autauga-PratWille Public Library, Prattville Airport
Authority, and Historical Prattville Redevelopment Authority were determined to be the only reportable
component units and have been included in this report.
Economic Condition and Outlook
The proximity of the state capital and Maxwell Gunter Air Force Base make significant contributions to
the localeconomy.
The City of Prattville maintains a contract for service with The Prattville Area Chamber of Commerce to
provide economic development services. The Prattville Area Chamber of Commerce is a voluntary
partnership of business and professional people working together to build a healthy economy and to
improve the community's quality of life. The Prattville Area Chamber of Commerce has the
responsibility to promote the economic wellbeing and to advocate for a positive business environment.
Chamber members are businesses, organizations, and individuals concerned with the socio-economic
climate of the community.
The Chamber works to improve the community, observing these objectives:
to help businesses grow and prosper;
to increase job opportunities;
to encourage orderly expansion/development of all segments;
to contribute to the overall economic stability of the community;
to encourage and promote the nation's private enterprise system of competitive marketing.
Financial lnformation
Management of the government is responsible for establishing and maintaining an internal control
structure designed to ensure that the assets of the government are protected from loss, theft, or misuse
and to ensure that adequate data is compiled to allow for the presentation of financial statements in
conformance with generally accepted accounting principles. The internal control structure is 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) that valuation of costs and benefits requires estimates and judgments by management.
Single Audit - As recipient of federal and state financial assistance, the government is also responsible
for ensuring that an adequate internal control structure is in place to ensure compliance with applicable
laws and regulations related to those programs. This internal control structure is subject to periodic
evaluation by management. The City did not meet the expenditures threshold to require a single audit
for the fiscal 2013 reporting period.
As part of the City's audit in accordance with generally accepted government auditing standards, tests
are made to determine the adequacy of the internal control structure, including that portion related to
federal assistance programs, as well as to determine that the government has complied with applicable
laws and regulations.
Budgeting - Budgetary tracking is maintained at the line item level by the encumbrance of actual or
estimated purchase amounts prior to the release of purchase orders to vendors. Accountability for
budgetary compliance is held at the department level. The objective of these budgetary controls is to
ensure compliance with legal provisions embodied in the annual appropriated budget approved by the
City's governing body. Purchase orders resulting in an overrun of a department balance are released
only after the approval of finance director or mayor,
Budget amendments are effected by resolutions enacted by the governing body when needed.
Activities of the General Fund, Debt Service Fund, Special Revenue Funds, and Enterprise Funds are
included in the budget. Encumbrances lapse at year-end; however, encumbrances remaining against a
positive department budget balance may be re-appropriated as a "prior year carryover."
VI
The City's budget is prepared in accordance with generally accepted accounting principles (GAAP), with
the exception that capital outlays are budgeted within those departments. The financial statements
presented in the financial section of this report are presented in accordance with GAAP; that is all capital
outlays have been aggregated in a single line captioned "capitaloutlay."
Healthcare costs - With the healthcare costs continuing to increase, the City of Prattville opened the
primary healthcare clinic in 2011. This clinic provides City employees and their dependents with those
services that would be rendered by a family practice physician. The City hired CareHere, LLC to manage
all aspects of operations for these clinics.
General Fund Reserues - Management has,
net ending fund balance in the General
expenditures and other financing uses,
Awards and Acknowledgements
through council resolution, established a goal of achieving a
Fund that is equal to or greater than L5% of the total
During 2012 the City of Prattville won Coca-Cola's America's Favorite Park contest. The prize for the
contest was a 5100,000 grant to be used for a project within the park. During the 2013 Fiscal year the
city used the funds to construct a splash pad for all citizens to enjoy.
During 2013 the Alabama Policy Institute ranked Prattville number 6 out of 50 cities in their Overall
Business-Friendly Ranking. This was based on economic vitality, business tax burden, community allure,
and transportation infrastructure. Prattville was ranked #1 on community allure based on our cost of
living, per capita violent crime rate, high school graduation rate and SAT averaged reading and math
scores.
Two bronze medals were awarded to the City of Prattville for action taken to improve access to healthy
affordable food and increased opportunities for physical activity. These medals were awarded because
of Prattville's achievements in collaborating with other agencies on early care and education programs
and for also having at least 60% of public schools participating in the School Breakfast Program.
Other Information
Independent Audit - The government is required by State law to undergo an annual audit by
independent public accountants; to meet federal requirements of the Single Audit Act Amendments of
1996, and the resultant issuance of OMB Circular No. 4-133 (Audits of States, Local Governments, and
Non-Profit Organizations); and the City's audit report must be signed by a certified public accountant.
The accounting firm of Jackson Thornton & Co. P.C. was selected through a competitive proposal
process. The auditor's report on the basic financial statements and the combining and individual fund
statements and schedules is included in the financial section of this report.
Acknowledgements - The preparation of the comprehensive annual financial report could not be
accomplished without the dedicated services of all City departments but in particular an efficient
Finance Department staff. We express appreciation to each member of these departments for their
contributions made in the preparation of this report.
vii
CITY OF PRATTVILLE, ALABAMA
LIST OF PRINCIPAL OFFICIALS
AS OF SEPTEMBER 30, 2OI3
Mayor
CITY COTINCIL
Willie Lee Wood, Jr., President
Albert Striplin, President Pro Tempore
Jerry Starnes
Clyde Chambliss
HEADS OF DEPARTMENTS
Munisipal Court
City Attorney
City Prosecutor
City Clerk
Finance Director
Engineering
Sanitation
Police
Fire
Vehicle Maintenance
Wastewater
Leisure Services
Human Resources
Information Techno logy
Planning
Bill Gillespie, Jr.
Denise Brown
Ray Boles
Lora Lee Boone
Judge Louis C. Colley
David McDowell
Robert E. Riddle
Cathy Dickerson
Douglas C. Moseley
Robby Anderson
Walter Love
Chief Mark Thompson
Chief Terry' Brown
Kenny Rawlinson
Rick Teague
Kellie Cook
Lisa Thrash
Douglas C. Moseley
Joel Duke
vl11
Citizens of Prattville
City Judge
Information
Technology
Finance
Human
Resources
Benefits
Management
Judicial
Public Safety
Leisure
Services
Sanitation-
Enterprise Fund
Urban
Management
City Clerk
Authorities,
Boards &
Commissions
Wastewater-
Enterprise Fund
Performing
Arts
Engineering
Planning
Vehicle
Maintenance
Animal Control
Public Works
Mayor
City
Council
Payroll
Risk
Management
Accounting
Accounts
Payable
Prosecuting
Attorney
Executive
Department
Computer
Forensics
Drug
Enforcement
Investigations
School
Relations
Sex Offender
Registry
Special
Operations
Traffic Patrol
Building
Maintenance
Codes &
Standards
EMS
Fire Marshal
Fire Suppression
Fire Training
Police
Fire
Recycling
Code
Enforcement
GIS
Policy or Judicial Authority
Department
Department Division
Legends:
City Attorney
Street
Business
Licenses
Revenue
General
Government
Arts &
Recreation
Adult Programs
& Sports
Custodial
Services
Park
Maintenanace
Senior Programs
Youth Programs
& Sports
Service Area
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CITY OF PRATTVILLE, 2013
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FINANCIAL SECTION
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INDEPENDENT AUDITOR' S REPORT
The Honorable Mayor and
Members of the City Council
City of Prattville, Alabama
Report on the Financial Statements
We have audited the accompanying financial statements of the governmental activities, the business-
tlpe activities, the discretely presented component units, and each major fund of the City of Prattville,
Alabama (the City), as of and for the year ended September 30,2013, and the related notes to the
financial statementso which collectively comprise the City's basic financial statements as listed in the
table of contents.
Management' s Responsibi lity for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in
accordance with accounting principles generally accepted in the United States of America; this
includes the design, implementation, and maintenance of internal control relevant to the preparation
and fair presentation of financial statements that are free from material misstatement, whether due to
fraud or error.
Auditor's Responsibility
Our responsibility is to express opinions 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 and the standards applicable to financial audits contained in Government Auditing
Standards, issued by the Comptroller General of the United States. Those standards require that we
plan and perform the audit to obtain reasonable assurance about whether the financial statements are
free from material misstatement. The financial statements of the Autauga Prattville Public Library
and the Historical Prattville Redevelopment Authority were not audited in accordance with
Government Auditing Standards.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures
in the financial statements. The procedures selected depend on the auditor's judgment, including the
assessment of the risks of material misstatement of the financial statements, whether due to fraud or
error. [n making those risk assessments, the auditor considers internal control relevant to the entity's
preparation and fair presentation ofthe financial statements in order to design audit procedures that
are appropriate in the circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the entity's intemal control. Accordingly, we express no such opinion. An audit also
includes evaluating the appropriateness of accounting policies used and the reasonableness of
significant accounting estimates made by management, as well as evaluating the overall presentation
of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our audit opinions.
Opinions
In our opinion, the financial statements present fairly, in all material respects, the respective financial
position of the governmental activities, the business-type activities, the discretely presented
component units, and each major fund of the City of Prattville, Alabama, as of September 30, 2013,
and the respective changes in financial position and, where applicable, cash flows thereof for the year
then ended in accordance with accounting principles generally accepted in the United States of
America.
Other Matters
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the
management's discussion and analysis and the schedule of funding progress of the City's defined
benefit pension plan and post-employment benefits other that pensions on pages 3 through 14 and
pages 65 and 66 be presented to supplement the basic financial statements. Such information,
although not a required part of the basic financial statements, is required by the Governmental
Accounting Standard Board, who considers it be an essential part of financial reporting for placing
the basic financial statements in an appropriate operational, economic, or historical context. We have
applied certain limited procedures to the required supplementary information in accordance with
auditing standards generally accepted in the United States of America, which consisted of inquiries of
management about the methods of preparing the information and comparing the information for
consistency with management's responses to our inquiries, the basic financial statements, and other
knowledge we obtained during our audit of the basic financial statements. We do not express an
opinion or provide any assurance on the information because the limited procedures do not provide us
with suffrcient evidence to express an opinion or provide any assurance.
Other ldormation
Our audit was conducted for the purpose of forming opinions on the financial statements that
collectively comprise the City of Prattville, Alabama's basic financial statement. The introductory
section and statistical section are presented for the purposes of additional analysis and are not a
required part of the basic financial statements.
The introductory section and statistical schedules have not been subjected to the auditing procedures
applied in the audit of the basic financial statements and, accordingly, we do not express an opinion
or provide any assurance on them.
Other Reporting Required by Gove{nment Auditi4g Standards
In accordance with Governrnental Auditing Standards, we have also issued our report dated
March 18, 2014 on our consideration of the City of Pratffille, Alabama's intemal control over
financial reporting and on our tests of its compliance with certain provisions of laws, regulations,
confiacts and grant agreements, and other matters. The purpose of that report is to describe the scope
of our testing of internal control over financial reporting and compliance and the results of that testing
and not to provide an opinion on the internal control over financial reporting or on compliance. That
report is an integral part of an audit performed in accordance with Governmental Auditing Standards
in considering City of Prattville, Alabama's intemal control over financial reporting and compliance.
{trl'r*M4h, Pc
Prattville, Alabama
March 18,2014
MANAGEMENT'S DISCUSSION AND ANALYSIS
As management of the City of Prattville, Alabama, we offer readers of the City's financial statements
this narrative overview and analysis of the financial activities of the City for the fiscal year ended
September 30, 2013. This discussion and analysis is designed to look at the City's financial
performance as a whole. We encourage readers to consider the information presented here in
conjunction with the City's financial statements.
Financial Highlights
The City of Prattville, Alabama's assets exceeded its liabilities at
September 30, 2013, by $14,426,929 (net position). Of the net position balance
amount, ($27,106,123) (unrestricted net position) is the deficit balance of the City
representing the indebtedness incurred for incentive obligations including the
purchase of development property supporting the significant retail development
activities within the City which originated in the fiscal years ended 2006 and 2008.
During the year, the City's total net position increased by $12,259,996, as revenues
of $45,492,194 exceeded expenses of $33,232,198. The increase in revenue is due to
the increase in sales tax revenue, increase in charges for services, and the acceptance
of donated infrastructure.
Under the Government Accounting Standards Board Statement Number 45,
Accounting and Financial Reporting by Employees for Post-Retirement BeneJits
Other than Pensions (GASB 45), the City recognized an expense of $360,862 in the
current year to record unfunded OPEB obligation.
o As of the close of the current fiscal year, the City's governmental funds reported
combined ending fund balances of $8,223,903. There was an increase of $2,420,077
from the prior year.
Overview of the Financial Statements
This discussion and analysis is intended to serve as an introduction to the City of Prattville,
Alabama's basic financial statements. The City's basic financial statements comprise of three
components: (l) government-wide financial statements, (2) fund financial statements, and (3) notes to
the financial statements. In addition to the basic financial statements, this report contains other
supplementary information that will enhance the reader's understanding of the financial condition of
the City of Prattville, Alabama.
Government-Wide Financial Statements
The government-wide financial statements are designed to provide readers with a broad overview of
the City of Prattville, Alabama's finances in a manner similar to a private-sector business. The basic
financial statements include two kinds of statements that present different views of the City, a
statement of net position and a statement of activities. These statements included the City's three
component units, the Autauga-Prattville Public Library (the Library), the Prattville Airport Authority
(the Authority), and the Historic Prattville Redevelopment Authority (HPRA), which are separate
legal entities. Although legally separate, these component units are important because the City is
financially accountable for them. Complete financial statements of the Library and the Authority can
be obtained at their administrative offices located in Prattville. Alabama.
The statement of net position presents information on all of the City's assets and liabilities, with the
difference between the two reported as net position. Over time, increases or decreases in net position
may serve as a useful indicator of whether the financial position of the City is improving or
deteriorating. The statement of activities presents information showing how the City's net position
changed during the most recent fiscal year. All changes in net position are reported as soon as the
underlying event giving rise to the change occurs, regardless of the timing of the related cash flows.
Thus, revenues and expenses are reported in this statement for some items that will only result in cash
flows in future fiscal periods.
Both statements distinguish functions of the City of Prattville, Alabama that are principally supported
by sales taxes, property taxes, and gasoline taxes (governmental activities) from other functions that
are intended to recover all or a significant portion of their costs through user fees and charges
(business-type activities). The governmental activities reported in the statements include general
government, public safety, public works, and cultural/recreational. The business-type activities of the
City of Prattville, Alabama include the Sanitation and Wastewater departments.
Fund Financial Statements
The fund financial statements provide more detailed information about the City's most significant
activities. A fund is a grouping of related accounts that is used to maintain control over resources that
have been segregated for specific activities or objectives. Like other state and local governments, the
City of Prattville, Alabama uses fund accounting to ensure and demonstrate compliance with finance-
related legal matters. All of the funds of the City of Prattville, Alabama are govenrmental funds
which account for the basic services of the government. Experienced readers of governmental
financial statements will find these financial statements most familiar.
Governmental funds - Governmental funds are used to account for those functions reported as
governmental activities in the government-wide financial statements. Most of the City's basic
services are accounted for in governmental funds. These funds focus on how assets can readily be
converted into cash flow in and out, and what monies are left at year-end that will be available for
spending in the next year. Governmental funds are reported using an accounting method called
modi/ied accrual accounting, which provides a conservative short-term spending focus. As a result,
the governmental fund financial statements give the reader a detailed short-term view that helps in
determining if there are more or less financial resources available to finance the City's programs. The
relationship between governmental activities in the government-wide financial statements and the
governmental funds financial statements is described in a reconciliation that is a part of the fund
financial statements.
The City maintains four individual governmental funds. lnformation is presented separately in the
governmental fund balance sheet and in the governmental fund statement of revenues, expenditures,
and changes in fund balance of the major funds.
The City adopts an annual appropriated budget for its general fund and gas tax special revenue fund.
A budgetary comparison statement has been provided for the general fund and gas tax special revenue
fund to demonstrate compliance with these budgets.
Proprietary funds - Services for which the City charges customers a fee are generally reported in
proprietary funds. The City of Pratfville, Alabama maintains one type of proprietary fund.
Enterprise funds are used to report the same functions presented as business-type aetivities in the
entity-wide financial statements. The City of Prattville, Alabama uses enterprise funds to account for
its Sanitation and Wastewater departments. Internal service funds are an accounting device used to
accumulate and allocate costs intemally among the City's various functions. The City uses internal
funds to account for its employees' medical insurance. The internal service fund is presented, in total,
in the fund financial statements. Proprietary funds provide the same tlpe of information as the
government-wide financial statements, only in more detail. The proprietary fund financial statements
provide separate information for the Sanitation and the Wastewater departments, which are
considered to be major funds of the City of Prattville, Alabama.
Notes to the Financial Statements
The notes provide additional information that is essential to a fulI understanding of the data provided
in the government-wide and fund financial statements. The notes to the basic financial statements
also include information regarding the City of Prattville, Alabama's progress in funding its obligation
to provide pension benefits to its employees. The notes are presented on pages 29 through 64 of this
report.
Government-Wide Financial Analysis
The City's condensed statement of net position as of September 30, 2013 and2012, derived from the
government-wide statement of net position is presented below.
GOVERNMENTAL
ACTIVITIES
BUSINESS-TYPE
ACTIVITIES TOTALS
Current and other assets
Capital assets, net of depreciation
Restricted assets
Total assets
Long-term liabi lities outstanding
Other liabilities
Total liabilities
Net position:
Net investment in capital assets
Restricted
Unrestricted (deficit)
Total net position
20.1-3
$ I1,496,718
48,603,735
476,00]
- 60,576,45q_,
50,572,057
2,t2,645
52,904,702
36,395,763g0l,lg0
(?9,625,19,9-\.
$ 7,671,754
2pt2
$ 8,505,992
45,209 ,029
_, 221,349
.13,e36;7,0
54,284,059
2,703,564
56,987 2623 ,
31,400,291
803, I 80
, {?\224,724,)
$ (3,05 | ,253)
2013
$ 2,985,896
7,322,360
@
3,294,831. -.251,25p
lsJ,08!-
4,236,099
- 2;19;,q.6
$ q/q5r | ?5,
2012.
$ 1,785,058
6,479,196
@
2,886,978
, 159,089 .
3,046.067
3,751,152
1.467.034
$ 5,2 I 8,1 86
2A13
$ 14,482,614
55,926,095
476,003
70,,884,712
53,866,888
- ?,5e0se5- 16,457,783
40,631,862g0l,l90
QL!06,123\,
$ 14,426,929
2012
$ 10,291,050
51,688,225
221,349
62,200,624
57,171,037
_.J!,962,65,3
_,p0,033,690
35,151,443
803, I 80
(33,787,690)
$ 2,166,933
The largest component of the City's net position as of September 30,2013 reflects its investment in
capital assets (i.e. land, buildings, fumiture and equipment, infrastructure, etc.); less any related
outstanding debt used to acquire those assets. The City uses these capital assets to provide services to
citizens; consequently, these assets are not available for future spending. Although the City's
investment in its capital assets is reported net of related debt, it should be noted that the resources
needed to repay this debt must be provided from other resources, since the capital assets themselves
cannot be used to liquidate these liabilities. The City's capital assets, net of accumulated
depreciation, at September 30, 2013 increased by $4,237,870 from the prior year primarily due to the
amount of donated infrastructure of $3,396,290 and current year additions in excess of current year
depreciation expense.
As noted earlier in this discussion, changes in net position over time can be one of the best and most
useful indicators of the City's financial position. The City of Prattville, Alabama's total assets
exceeded liabilities by $ | 4,426,929 .
The City's net position increased by $12,259,996 during the cunent fiscal year primarily due to
increasing revenues and overall continued control over expenses. In addition, the City accepted
donated infrastructure of $3,396,290 and saw an increase in sales tax revenues of $1,094,580 during
the current fiscal year.
A portion of net position is restricted, or has restrictions on how they may be used. Governmental
activities restricted net position totaled $901,190 at September 30, 2013 and is restricted for use in
public safety, capital projects, road projects, and debt service. The remaining balance ofunrestricted
net position generally may be used to meet the City's ongoing obligations. The City, at
September 30, 2013, reported a defrcit balance in unrestricted net position in governmental type
activities of ($29,625,199). The large negative unrestricted net position is the result of $41,010,000
in outstanding general obligation warrants that were issued in the fiscal years ended September 30,
2006 and 2008 to finance economic development incentive obligations for retail development within
the City. It is anticipated the governmental revenues generated from the retail growth will provide the
primary source of revenue for repayment of this debt. Business-qpe activities reported unrestricted
net assets of $2,519,076 at September 30,2013.
The following presents the City's condensed statement of activities for the fiscal years ended
September 30, 2013 and 2012 as derived from the government-wide statement of activities. Over
time, increases and decreases in net assets measure whether the City's financial position is improving
or deteriorating. During the fiscal year, the net position of the primary government increased by
512,259,996. This increase includes the acceptance of donated infrastructure of $3,396,290 with the
remainder of the increase primarily due to an increase in general sales tax, use tax, restaurant tax, and
rental tax; reduction in workforce and the associated personnel costs; and a reduction in operating
expenses.
CITY OF PRATTVILLE, ALABAMA
STATEMENT OF ACTIVITIES
GOVERNMENTAL
ACTryITIES
BUSINESS.TYPE
ACTIVITIES TOTALS
Revenues:
Program revenues:
Charges for services
Operating grants, capital grants,
and contributions
Total progrcm revenues
General revenues:
Sales tax
Property tax
Intergovernmenta I revenues
lnvestment earnings
and miscellaneous
Total general revenues
Total revenues
Expenses:
General government
Public safety
Public works
Culture and recreation
Debt service
Sanitation
Wastewater
Total expenses
Increase in net position
before transfers
Transfers
Increase in net position
Net position - beginning
Net position - ending
$ 7,396,427 $ 7,369,546
- 4,965,750 _ 2,,770,?60,,
12,262,177, 10,140, 106
23,550,637 22,456,0572,651,051 2,689,777
286,883
,694,969 .. 503,l5q
26,896,656 25,934,973
6,613,871 6,969,707
l4,ll5,9l I 12,,918,701
3,703,761 3,519,0151,830,376 1,766,958
1,97 | ,907 2, l 95,04g
20t2 20t3 2UZ
$ 6,299,512 $ 6,267 ,019 $ 13,695,939 $ 13,636,565
30r4gl _ !q93,21 {:,8e6,lsl 2,e3039134.
6,329 ,913 6,477 ,343 1 8,592,090 16567 49
23 ,550,,637 22,456,057
2,651 ,05 I 2,688,777
286,883
6P8,tr 6 50+,578
26,900,104 25,936,295
39,l 58,833 36,074,979 6,333,36 | 6,428,765 45,492,194 42,503,744
6,613,871 6,868,707
l4,ll5,9l I 12,918,701
3 ,7 A3,7 61 3,5 I 8,01 5
I ,830,376 1,766,958
| ,,97 | ,907 2, 195,048
2,230,497 2,069,3l8
, 21765,,875 2,115,354
33,232,198 27 ,267,42928e15,.826
-
10,923,007
27,,267rf?2
9,907,550
2,230,497 2,069,318
v,765,87 5 2,515,354
4,584,672
I ,336,989 I ,844,093 12,259,996 10,65 | ,643
200,000 3 ,37 4,093(290,900) (? ?37 4,023)
10,723,007 5,433,,457
. (3,05L253) (8,481,71.0)
$ 7,671,754 $ (3,051,253)
1,536,989 5,218,186
5r2IB-'189
-
$ 5,2 | 8,186
t2,259 ,996 10,65 | ,643
.jl, tq6,9l3 (8,484,710)
$ 14,426,929 $ 2,166,933$ 6,7 55 ,17 5
3.448 1,422
3,448 | ,422
8
Expenses and Program Revenues for Governmental Activities
Governmental activities increased the City of Prattville, Alabama’s net position by $10,723,007 for fiscal year 2013. The key elements of the increase in net position are the increases in revenue and the decreases in expenses from the prior year as follows:
Donated infrastructure of $3,396,290 is included in total program revenues which
increased from donated infrastructure in the prior year by $1,129,490.
Transfers to proprietary funds decreased by $3,174,093 from the prior year due to
$3,374,093 made in transfers in the prior year to initiate proprietary fund reporting.
-
2,000,000.00
4,000,000.00
6,000,000.00
8,000,000.00
10,000,000.00
12,000,000.00
14,000,000.00
16,000,000.00
General government Public safety Public works Culture and recreation Interest on long-term debt
Expenses and Program Revenue - Governmental Activity
2013 Expenses
2013 Revenues
2012 Expenses
2012 Revenues
9
Program and General Revenues for Governmental Activities
19%
60%
7%
12%2%
0%
Revenues By Source - Governmental Activities - FYE 2013
Charges for services
Sales tax
Property taxes
Operating grants & contributions
Miscellaneous
Investment earnings
20%
62%
8%
8%
1%
1%
0%
Revenues By Source - Governmental Activities - FYE 2012
Charges for services
Sales tax
Property taxes
Grants and contributions
Intergovernmental revenues
Miscellaneous
Investment earnings
10
Expenses and Program Revenues for Business-Type Activities
Business-type activities increased the City of Prattville, Alabama’s net position by $1,536,989. Key elements of this change in net position are as follows:
• Decrease in transfers in from governmental funds of $3,174,093 due to the transfers made in the prior year to fund the initial year of proprietary fund reporting.
• Capital grants and donations for the Wastewater fund decreased by $129,923.
• Wastewater expenses increased $250,521 due primarily to increases in costs of sales, repair
and maintenance, and utility expenses, as well as a transfer made to the group health fund in the initial year of internal service fund reporting.
• Sanitation expenses increased $161,179 due primarily to increases in cost of sales expenses and a transfer made to the group health fund in the initial year of internal service fund
reporting.
-
500,000.00
1,000,000.00
1,500,000.00
2,000,000.00
2,500,000.00
3,000,000.00
3,500,000.00
4,000,000.00
4,500,000.00
Sanitation Wastewater
Expenses and Program Revenue - Business-Type Activity
2013 Expenses
2013 Revenues
Financial Analysis of the City's Funds
As noted earlier, the City of Prattville, Alabama uses fund accounting to ensure and demonshate
compliance with finance-related legal requirements.
Governmental funds - The focus of the City's governmental funds is to provide information on near-
term inflows, outflows, and balances of expendable resources. Governmental fund types include
general, debt service, capital projects, and special revenue funds. Such information is useful in
assessing the City's financing requirements. Specifically, unassigned fund balance can be a useful
measure of a government's net resources available for spending at the end of the fiscal year. The
general fund is the chief operating fund of the City of PratMlle, Alabama.
As of September 30, 2013, governmental funds reported a combined ending fund balance of
$8,223,903, an increase of $2,420,077 in comparison with the prior year balance. Of this balance
$102,322 is not available for new spending because it is a prepaid item; $901,190 is restricted for
public safety, road projects, and capital improvements; $3,402,163 is committed to debt service and
capital projects; and$764,673 is assigned for industrialpark improvements, fire training, debt service,
and other purposes.
The fund balance of the general fund increased $1,873,933 druing the current fiscal year after other
financing sources including fund transfers. Total revenue increased $1,348,214 as compared to the
prior year primarily due to an increase in sales tax revenue. There was an increase in net transfers out
of $4,554,214 primarily due to the funding for the initial year of internal service fund reporting.
The fund balance of the capital projects fund increased $353,748 during the current fiscal year after
other financing sources including fund transfers. Total revenue increased $810,403 as compared to
the prior year. The primary revenue source of the capital projects fund is grant reimbursement and
intergovernmental revenue.
The fund balance of the debt service fund increased $203,617 during the current fiscal year after other
financing sources including transfers. This increase in fund balance is the result of an interest
payment in the amount of $203,619 for the 2013A GO Refunding Warrants that was transferred to the
debt service frurd but was not paid until after the fiscal year end.
The fund balance of the gas tax special revenue fund decreased $l1,221 durtng the cunent fiscal year
after other financing sources including transfers. This decrease in fund balance was the result of
expenditures exceeding revenues by $1 1,221.
Proprietary funds - The City of Prattville, Alabama's proprietary funds provide the same type of
information found in the government-wide financial statements, but in more detail. Unrestricted net
position of the proprietary funds at the end of the year amounted to $2,519,076. The Sanitation fund
had an overall operating income of $440,894 and Wastewater fund had an overall operating income
of $ 1,391,931 .
Internal Service Funds - Internal service funds are designed to recover the internal costs of
government services provided to other funds groups. At September 30, 2013, the intemal service
fund reported a surplus of $1,387,073 for its net position balance. For 2013, the Enterprise funds
funded the exact allocation of costs.
ll
Capital Assets and Long-Term Debt Administration
Capital assets - The City of Prattville, Alabama's investment in capital assets for its governmental and
business-type activities as of September 30, 2013 was $55,926,095 (net of accumulated depreciation).
This investment in capital assets includes land, infrastructure, buildings, improvements, construction
in progress, vehicles, and machinery and equipment.
Major capital asset additions during the year include:
Investment in infrastructure of $3,396,290 resulting from donated infrastructure from
residential developments.
Purchase of equipment of $1,130,767.
Purchase of vehicles of $958.868.
lncrease in construction in progress of$202,691.
CITY OF PRATTVILLE, ALABAMA
CAPITAL ASSETS
GOVERNMENTAL
ACTIVITIES
BUSINESS.TYPE
ACTIVITIES TOTAL
Land
Construction in progress
Buildings and building improvements
Land improvements
Vehicles
Office, nonoffice, and computer equipment
Infrastrucfure
Total
2,322,,406
679,097
5, I 54,485
4,948,252
4,829,852
5,098,270
45,125,739
1,257 ,019
5,889,7 62
3,221 ,430
1,761,525
| ,57 6,043
$ 3,579,425
679,097
1l ,044,247
8,169,682
6,591,377
6,67 4,313
45,125,739
68,158,101 13,705 ,779
Additional information on the City's capital assets can be found in Note 4 on page 39 of this report.
Long-term debt - As of September 30, 2013, the governmental activities had total debt outstanding of
$50,572,057 and the business-type activities had a total debt outstanding of $3,294,831 .
$ 8l ,863,880
--
Outstanding debt:
Warrants and other notes payable
Capital lease payable
Post-retirement benefits other than pensions
Compensated absences
Total
50,605,203
9,334
1,990,427
1,261,924
l2
53,866,888
The City of PratMlle, Alabama's total debt outstanding decreased by $3,304,150 during the current
fiscal year. This decrease was the result of payments made in accordance with regularly scheduled
maturity dates. Additional information on the City's debt can be found in Note 6 of the financial
statements.
The City issued $9,815,000 of general obligation refunding bonds to advance refund the Series
20064 general obligation warrants.
Budgetary Highlights for the fiscal year ending September 30, 2013
Budget to actual statements and schedules are provided in the financial statements for the general
fund and gas tax special revenue fund. Columns are provided for both the original adopted budget as
well as the final budget. These budgets are followed by columns for actual expenditures and for
variances between the final budget and actual expenditures.
As of September 30, 2013, actual operating revenues for the general fund were more than the
budgeted amount by 82,623,660, or 8.19%. The primary reasons for the variance are as follows:
Miscellaneous revenues were more than budgeted by $318,087 due primarily to an
unbudgeted settlement of $270,000.
Sales taxes were $1,339,937 more than budgeted due to increased sales primarily as
result of an overall improvement in economic conditions.
As of September 30, 2013, actual operating expenditures for the general fund were more than the
budgeted amount by $555,859, or 2.21o/o.
Economic Factors and Year 2014 Budget
Economic conditions for the City of Pratwille, Alabama remain stable in the current environment.
o The City relies on taxes, fees, fines, and charges for services to fund their governmental
activities. The primary source of revenue is sales taxeso which comprised
approximately 68% of general fund revenues in fiscal year 2013. In the current
economic climate, the City has instituted a temporary increase to the City's sales tax
rate to be used to service the Cify's debt and to build reserves.
The unemployment rate for Autauga County, where the City of Prattville, Alabama is
located, is cunently 5.9o/o, which is a minimal increase over the prior year. The
unemployment rate compares favorably to the state's current unemployment rate of
6.lYo and is favorable to the national average rate of 6.7Yo.
The level of taxes, fees, and charges for services have a direct bearing on the City's
ability to (a) annex additional land into its corporate limits and (b) encourage
development (office, retail, residential, and industrial) to choose to be located in the
jurisdiction. The City places emphasis on encouraging both annexation and economic
development.
l3
Requests for Information
This financial report is designed to provide our citizens, taxpayers, customers and investors, and
creditors with a general overview of the City of Prattville, Alabama's finances and to demonstrate the
City's accountability. Questions concerning any of the information provided in this report or requests
for additional financial information should be addressed to the City Clerk, l0l West Main Street,
Prattville, Alabama 36067 .
t4
BASIC FINANCIAL STATEMENTS
THIS PAGE INTENTIONALLY LEFT BLANK
CITY OF PRATTVILLE, ALABAMA
STATEMENT OF NET POSITION
SEPTEMBER 30,20I3
PRIMARY GOVERNMENT COMPONENT LTNITS
AUTAUGA.HISTORICAL
GOVERNMENTAL BUSINESS-TYPE
PRATTVILLE PMTTVILLE PRATTVILLE
PUBLIC AIRPORT REDEVELOPMENT
ACTIVITIES ACTIVITIES TOTAL LIBRARY AUTHORITY AUTHORITY
8.084.254 $ 2,636,599 $ 10,720,853 $ 284,629 $ 353,045 $ 132,31 |
237,454 (237,454)2,052,427 2,052,427430,075 496,755 926,830 500 18,139
l0z,3z2 17.335 119,657590.186 72.661 662,847
476.003 3,042
Capitafassets,nordeprtriated 3,001,503 1.257,019 4,258,522 2,621,549 183'500
Capitaldsets,netofaccumlateddepreciation 45,602,212 6.065,341 51,667,51J 74,436 5.887,817 234,417
Restricted assets:
Cash and cash equivalents
Total assets
LIABILITIES:
Accounts payable
Accrued liabilities
Accrued interest
Defened revenues
Other liabilities
Longterm liabilities:
Portion due or payable in one year:
General obligation warrants payable,
capital leases, and other
long-term debt
Compensated absences
Portion due or payable after one year:
General obligation warrants payable,
capital leases. and other
long-term debt
Compensated absences
Post-emp loyment bene fi ts
476,40360J?6r56 10J08J56 -- ?0,.8s4JD reJ5l 8.883Je2 re
852,660 258,250 l,ll0,9l0 3,146 9,749
508,332
1,990,427 1.990,427
Total liabilities 52,904,702 3.553,081 56,457,783 - 64,844 577,428 160'760
ASSETS:
Cash and cash equivalents
Internal balances
Taxes receivable
Accounts receivable. net
Prepaid items
Defened debt expense
NET POSITION:
Net investment in capital assets
Restricted for:
Law enforcement
Road projects
Debt service
Capital projects
Elmore County district improvements
Cultural and recreational
Unrestricted (deficit)
4e3.350
606,873
379.762
2,952,805 419,804 3,372,609
269.1 30 9l .7 I 0 360,840
44,556.63 | 2,685.297 47,241,928
803.064 98,020 s01,084
493.350 25,333
606.873
36,365
379.762
123,713
470,737
8
186,426
I I 1,082
9.224
4,218
55.129 160,760
36,395,763 4,236,099 40,63 1,862 74,435 7 ,945,905 257 ,157
123,713
470,737
8
186,426
l l l,082
9,224
_12e.625.1e?) .. -,?,sle.O1g --(27.106:uJ) 220;28s 3li0:2se., . _11q,4?4
Totalnerposition $ 7.671.754 $ 6,755,17s $14,426,929 S 294,12t $ 8,30q1!4 $ 397'651''
-
#-
The accompanying notes are an integral part of these financial statements.
CITY OF PRATTVILLE. ALABAMA
STATEMENT OF ACTIVITIES
FOR THE YEAR ENDED SEPTEMBER 30. 2013
NET (EXPENSE) REVENUE AND CHANGES IN NET ASSETS
PROGRAM REVENUE PRIMARY GOVERNMENT COMPONENT UNITS
FINES, FEES,
AND CHARGES
EXPENSES FOR SERVTCES
OPERATTNG CAPTTAL
GRANTS AND GRANTS AND GOVERNMENTAL
CONTRIBUTIONS CONTRIBUTIONS ACTTVITIES
BUSTNESS -
TYPE
ACTTVITTES
AUTAUGA-
PRATTVILLE PRATTVILLE
PUBLIC AIRPORT
LIBRARY AUTHORTTY
HTSTORICAL
PRATTVTLLE
REDEVELOPMENT
AUTHORN'Y
ACTIVITIES:
Primary governrnent:
Governmental activities :
General govemrnent
Public safety
Public works
Cultural and recreational
lnterest on long-term debt
Total goverffnental activit ies
Business-t1pe activities :
Sanitation
Wastewater
Total business-t)pe activities
Total prunary govenunent
Conponent units:
Autauga-Prattville Public Library
Pranvilh Airport Authority
Historical Prattville Redevelopment Authoriry
$ 6,61 3"871 $
14,l 15,91 I
3,703,761
1,830,376
5,525,847
1,661,549 S
209,031
$ 4,64L,690
$ ( | ,088,024)
( l2,230,302)
937,929
(1,621,345)
23,550,637
2,651,051
69,467
625,501
$ ( 1,088,024)
(t2,230,302)
937,929
(1,621,345)
23,550,637
2,651,051
69,467
3,448 628,949
224,460
1,97r,9O7 (1,971,907) {1971,907)2a,235,a26 t,zx,6 ,*,* --r,e+t,eso os,s'13,64s1 (15,973,fl91
2,230,497 2,M7,84 $ 217.347 217.347
2,765,875 3,851,668 30,401 I,116,194 t,ll6l94 _4,996,372 6,29,512 3o,ilol 1,133,541 1,333,541
$ 33.232.198 $ 13.695.931_!________@ _9_!SJ2pJ_ (15,973,649) 1,333,541 (14,640,108)
$ 558,010 $27.235 $87,223 $ (465,833)
456,278 115,262 $ 99,322 s (241,6941
Total cornponent units
38,055 68,732
$ 1,052.343 $ 2t1,229 S 87,223 $ 99,322
General revenue:
Sales taxes
Real and personal property taxes
Investrnent eamtngs
Miscellaneous revenue
Transfers
Total general revenues and transfers
CHANGE IN NET POSITION
NET POSTTTON . BEGTNNING
NET POSITTON - ENDING
s 30,671
(465,833) \241,6941 30,677
568 666
445,000
2W
55.O00
(200,000) 200,000
26,696,656 203,448 26,900,104 45,568 6ffi 55,209
10,723,007 1,536,989 12,259,996 (2A,265\ (241,028) 85,886
(3.051,253) 5,218,186 2.166,933 314.986 8,547,192 3l l,?65
s 7,67r3s4 l-___EZssJZl_ JJ!-!2SW_ s 2e4JA _$_!,1068_ $ 3e7,65t
The accompanyng notes are an integral part of these financial staterDents.
CITY OF PRATTVILLE. ALABAMA
BALANCE SHEET
GOVERNMENTAL FI-INDS
SEPTEMBER 30. 20I3
CAPITAL
PROJECTS
GENERAL FLTNDS
TOTAL
GAS TAX SPECIAL GOVERNMENTAL
REVENUE FLIND FLTNDS
DEBT
SERVICE
FLINDS
ASSETS:
Cash and cash equivalents
Receivables:
Taxes receivable
Accounts receivable, net
Due from other funds
Prepaid items
Restricted assets:
Cash and cash equivalents
Total assets
LIABILITIES AND FLTND BALANCES:
Liabilities:
Accounts payable
Accrued liabilities
Other liabilities
Due to other funds
Total liabilities
Fund balances:
Nonspendable:
Prepaid items
Restricted for:
Law enforcement
Road projects
Capital projects
Elmore County district improvements
Cultural and recreational
Debt service
Committed to:
Debt service
Capital projects
Assigned to:
Industrial Park Improvement fund
Fire training
Debt service
Other purposes
Unassigned
Total fund balances
$ 5,319,077 $ 347,183 $ 203,619 $476,124 $ 6,346,003
24,564
2,052,427
430,075
373,4r7
r02,322
47 6,003
$ 29,950 $ 516,979
493,350
425,549
120,466
29,950 | ,556,344
470,737
102,322
123,713
470,737
186,426
l l l,082
9,224
8
3,381,590
20,573
299,67 |
24,,7 42
203,619
236,,641
- - 3,053,555
8,223,903
305,402 170,593 8
$ 8,486,281 $ 589,651 $ 203,,627 $ 500,688 $ 9,780,247
+#+--
2,052,427
333,636
373,417
102,322
71 ,87 5
150,021
20,57 3
299,67 |
$ 483 ,,429 $ 3,600
493,350
425,549
4,680 ._ l,Ur786
1,407,008 I 19,386
102,322
123,713
36,405
I 1 1,082
9,224
3,381,590
24,7 42
203,619
236,641
ffi- *op6sw 47 0,7 38
Total liabilities and fund balances $ 8,486,281 $ 589,651 $ 203,627 S 500,688 g 9,780,247
--:::
The accompanying notes are an integral part of these financial statements.
t7
CITY OF PRATryILLE. ALABAMA
RECONCILIATION OF BALANCE SHEET OF
GOVERNMENTAL FLNDS TO STATEMENT OF NET POSITION
SEPTEMBER 30. 20I3
Differences in arnounts reported for govemmental activities in the statement of net position on page I 5.
Total fund balances - governmental funds
Capital assets used in govemmental activities are not financial resources and,
therefore, are not reported in the governmental funds. Those assets consist of:
Land
Construction in progress
[,and improvements, net of $4,543,734 accumulated depreciation
Buildings and building improvements, net of $ l,l 62,748 accumulated
depreciation
Office, nonoftice, and computer equipment, net of$3,237,396 accumulated
depreciation
Vehicles, net of $3,592,854 accumulated depreciation
lnfrastructure, net of $7,017,634 accumulated depreciation
Total capital assets
Deferred debt expenses are allocated over the life ofthe debt and are shown
net ofamortization expense as an asset on the statement ofngt position.
Receivables are not available to pay for cunent period expenditures and, therefore,
are defened in the govemmental funds.
Intemal service funds are used by management to charge the costs of employee medical insurance
to individual funds . The assets and liabilities of the intemal service fund are included in
governmental activities in the statement ofnet position.
Long-term liabilities, including general obligation warrants payable and capital leases, are not due and
payable in the current period and, therefore, are nol reported in the govemmental funds.
Balances at September 30, 2013 were:
Accrued interest on bonds
General obligation warrants and other notes payable
Defened loss on advance refunding
Unamortized debt issuance premiums
Compensated absences
Post-employment benefit plans other than pensions
Total long-term liabililies'
Total net position ofgovemmental activities
$ 2,322,446
679,097
404,518
3,991,737
1,860,874
1 ,236,998
3q,108,J 05.
606,873
48,572,7 84
(l,085,403)
22,055
1,072,194
1,99A,427
$ 8,223,903
48,603,735
590,1 86
45,787
1,387,073
(5 I ,l_J8,930)
$ 7 ,671,7 54
The accompanying notes are an integral part of these financial statements.
CITY OF PRATTVILLE. ALABAMA
STATEMENT OF REVENUES, EXPENDITURES, AND CHANCES IN FLTND BALANCES
GOVERNMENTAL FUNDS
FOR THE YEAR ENDED SEPTEMBER 30, 2OI3
GENERAL
CAPITAL
PROJECT
FLINDS
DEBT
SERVICE
FLINDS
TOTAL
GAS TAX SPECIAL GOVERNMENTAL
REVENUE FLND FLTNDS
REVENUES:
Sales taxes
Real and personal property taxes
Licenses and permits
Intergovernmental revenue s
Charges and fees for services
Fines and forfeitures
Interest
Miscellaneous revenues
Total revenues
EXPENDITURES:
Current:
General governmental
Public works
Public safety
Cultural and recreational
Capital outlay
Debt service:
Principal payments
Interest and fiscal charges
Bond issue costs
Total expenditwes
Excess of revenue over (under) expenditures
OTHER FINANCING SOURCES (USES):
Transfers in
Transfers out
lssuance of refunding warrants
Payment to refunded bonds escrow agent
Bond discount
Total other financing sources (uses)
NET CHANGE IN FUND BALANCE
FLIND BALANCE - BEGINNING
FUND BALANCE. ENDING
34,644,625 161 ,614 8
$ 23,550,637
2,651,05 I
5,525,847
1,284,750
630,728
66,780
934,832
5,039,571
2,861,557
I 1,852,136
1,436,057
| ,769,645
1,466,121
47,008
$ 765,508
583
95,523
31,952
337,588
23,550,637
2,651,051
5,525,847
1,103,096
1,284,750
630,728
67,371
1,030,355
337,588 35,843,835
2,545,000
2,1 1 8,1 25
316,752
5,039,571
3,210,261
I I ,852,1 36
1,436,057
1,769,645
4,01l,l2l
2,1 65,1 33
83,464
24,472,095 4,746,589
l0?172,530... ,8?9,66.2 (4,7461581)
507 ,972 4,660,81 6
(8,806,569) (47 5,914)
g,g l 5,000
(9,434,619\
316,752 29,567,388
20,836 6,276,447
_(8,?eue7)
1,873,933
_5:?05,340 I 16,5 17 l0
47,045
(79,102\
481,959
470,738
5,215,833
(9,361 ,585)
9,815,000
(9,434,619)
5,803,826
$ 8,223,903
(47sst4)#re#
353,748 203,617 (11,221) 2,420,077
$ 7,079,273 $ 470,265 $ 203,627
The accompanying notes are an integral part of these financial statements.
CITY OF PRATTVILLE. ALABAMA
RECONCILIATION OF STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FLTND BALANCES OF GOVERNMENTAL FLI-NDS
TO STATEMENT OF ACTIVITIES
FOR THE YEAR ENDED SEPTEMBER 30, 2013
Differences in amounts reported for governmental activities in the statement of activities on page 16.
Net change in fund balance - total governmental funds
Capital outlay, reported as expenditures in governmental funds, is shown as capital assets
in the statement of net position.
Donations of capital assets increase net position in the statement of net position but do not
appear in the governmental funds because they are not financial resources,
Depreciation expense on governmental capital assets included in the governmental activities
in the statement of activities.
The net effect of transactions involving the sale of capital assets is to decrease net assets
in the statement of net position.
Revenues are reported in the funds when there is an established claim to the resources and the
resources are available to finance current expenditures. Revenues are reported in the
statement of activities when there is an established claim with no availability criterion.
Loan proceeds provide current financial resources to the governmental funds and thus contribute
to the change in fund balance. However, issuing debt increases long-term
liabilities in the statement of net position:
Refunding bond proceeds
Payment to escrow agent for refunding
The repayment of the principal of long-term debt consumes the current financial resources of
governmental funds, but has no effect on net position. Also, governmental funds report the
effect of issuance costs, premiums and similar items when debt is first issued,
whereas these amounts are deferred and amortized in the statement of activities.
General obligation warrants payable
Capitalized lease obli gati ons
Bond issuance costs
Bond issue discount
Some expenses reported in the statement of activities do not require the use of current
financial resources and, therefore, are not reported as expenditures in governmental funds:
Accrued interest payable
Compensated absences
Post-employment benefit plans other than pensions
Governmental funds report the effect of issuance costs, premiums and
discounts, and similar items when debt is first issued, whereas these
amounts are deferred and amortized in the statement of activities:
Amortization
$ 2,420,077
1,960,557
3,396,290
(l,908,705)
(53,437)
(45,787)
(9,815,000)
I ,434,619
3,922,559
88,562
83,464
. 90,992_
lg3,226
(1el)
- (360,89?)
(380,381 )
4,185,584
(t67,827)
(70,437)
(70,437)
Intemal service firnds are used by management to charge the costs of employee
medical insurance to individual funds , The net income (expense) of certain activities of
internal service funds is reported with govemmental activities. 1,387,073
Change in net position of govemmental activities -{_l-q,?23,007-
The accompanying notes are an integral part of these financial statements.
ASSETS:
Current assets:
Cash and cash equivalents
Accounts receivables, net
Due from other funds
Prepaid items
Total current assets
Noncunent assets:
Defened debt expense
Capital assets, not being depreciated
Capital assets,
Total assets
LI.ABILITIES:
Current liabilities:
Due to other funds
Current portion of long-term debt
Compensated absences
Total current liabilities
Noncurrent I iabilities :
Long-term debt
Compensated absences
Total noncurrent liabilities
Total liabilities
NET POSITION:
Net investment in capital assets
Unrestricted
Total net position
Net position of business-type activities
72,661 72,661
338,654 918,365 1,257,019
, 1,632,669. , 8,?17 z72l 1!:.550,390 1.,73151
242.t34 242,134
419,804 419,804
335,681
15,497
25,820 65,890 91J!0
358,329 653,569 l,oll898 35 1,1 78
2,685,297 2,685,29726,r?2 - 71.,89q- _ 98,020
26,122 2,7 57 ,195 2,783,317
184,451 _ 3,41,L764 3,79,5,?15 .J51,178
822,066 3,414,033 4,236,099
426,152 2,092,924 2,519,076 1,387,073r-v'LJu
--
$ 1,248,218 $ 5,5A6,957 6,755,175 $ 1,387,073:#-:
$ 6,7 55,17 5
-
CITY OF PRATTVILLE, ALABAMA
STATEMENT OF NET POSITION
PROPRIETARY FLINDS
SEPTEMBER 30, 20I3
BUSINES S-TYPE ACTIVITIES.
ENTERPRISE FLTNDS
GOVERNMENTAL
ACTIVITIES-
INTERNAL
SANITATION WASTEWATER TOTAL SERVICE FTINDS
$ 598,364 $ 2,038,235 $ 2,636,599 $ 1,738,251
202,652 294,103 496,7 55
4,680 4,680
9,587 7 ,748 17 ,335810,603 2,344,766 3,155,369 1,738,251
net ofaccumulated depreciation 483,412 5,581,929 6,065,341
Total noncunent assets 822,066 6,57?,955 7,395,021
Accounts payable and accrued liabilities 90,375 167,875 258,250
The accompanying notes are an integral part of these financial statements.
CITY OF PRATTVILLE, ALABAMA
STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION
PROPRIETARY FLiNDS
FOR THE YEAR ENDED SEPTEMBER 30,2OI3
BUSINES S.TYPE ACTIVITIE S-
ENTERPRISE FIINDS
SANITATION WASTEWATER
GOVERNMENTAL
ACTIVITIES-
INTERNAL
TOTAL SERVICE FLINDS
OPERATING REVENUES:
Charges for goods and services
Capital grants and contributions
Total operating revenues
OPERATING EXPENSES:
Cost of sales and services
Salaries and benefits
Repairs and maintenance
Utilities
Insurance
Other
Depreciation
Benefits paid
Total operating expenses
OPERATTNG TNCOME (LOSS)
NONOPERATING REVENUES (EXPENSES) :
lnterest income
lnterest expense
Total nonoperating revenues (expenses)
Net income before transfers
TRANISFERS IN
TRANSFERS OUT
CHANGE IN NET POSITION
TOTAL NET POSITION. BEGINNING
TOTAL NET POSITION . ENDING
2,447,844 3,85 I ,668 $ 6,299 ,512
30,401 30,401
574,801
_ _-2,!!7 2844
613,248
1,058,924
| 59 ,796
4,381
53,235
117,366
308,512
I , I 93,034
93,220
4l 8,599
45,797
3l,543
399,433
6,3.L9,?13
g2l ,7 60
2,251,958
253,016
422,980
gg,032
31,543
516,799
335,287
3,199,416
3,8 82,069 574,801
2,096,959 ,
440,894
2,490,138
1 ,391 ,931
511 2,,937
(2,672.)- ,_._ (e7,!97.)
- - .. (2,191) -.. (e4J-:9)
438,733 1,297,381
200,000
-_. (2202q7q, - .gJp'2:o)
417,858 l,l l9,l3l
, 930,36-0
$ 1,248,218
4,387,826
$ 5,506,957
1,497,0p8 .
__ I,81?,825
3,534,7 03
(2,959,902)
3,448
(ryO' 15e)
-(96,71 1)
1,736,114
200,000
- (3ee3l2s)
1,536,989
5,2.1 8,186
,.,,6'7,5:,!75 .
$ 6,755,175
--
(2,957,805)
4,344,878
2,097
2,097
1,387 ,073
1,387,073
Change in net position of business-type activities
The accompanying notes are an integral part of these financial statements.
22
CITY OF PRATTVILLE. ALABAMA
STATEMENT OF CASH FLOWS
PROPRIETARY FLNDS
FOR THE YEAR ENDED SEPTEMBER 30,2OI3
BUSINES S-TYPE ACTIVITIES-
ENTERPRISE FLINDS
CASH FLOWS FROM (USED FOR) OPERATTNC ACTTVTTTES:
Receipts from customers
Receipts from interfund services provided
Payments to suppliers
Payments to employees
Net cash from (used for) operating activities
CASH FLOWS FROM (USED FOR) NONCAPITAL FINANCING ACTIVITIES:
Transfers to other funds
Transfers from other funds
Net cash payments from (to) other funds
Net cash frorn (used for) noncapital financing activities
CASH FLOWS FROM (USED FOR) CAPITAL AND RELATED FINANCING
ACTIVITIES:
Acquisition and construction of capital assets
Sale of capital assets
Proceeds from long-term debt
Principal paid on long-term debt
Interest paid on long-term debt
Net cash used for capital and related financing activities
CASH FLOWS FROM INVESTING ACTIVITIES:
Interest received
Net cash from investing activities
NET INCREASE IN CASH AND CASH EQUIVALENTS
CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR
CASH AND CASH EQUIVALENTS, END OF YEAR
RECONCTLIATION OF OPERATING INCOME (LOSS) TO NET
CASH FROM (USED FOR) OPERATING ACTIVITIES:
Operating income (loss)
Adjustments to reconcile operating income to net cash provided by operations:
Depreciation expense
(Gain) loss on disposition of assets
(lncrease) decrease in assets:
Accounts receivable
Prepaid expenses
Increase in liabilities:
Accounts payable and accrued liabilities
Net cash from (used for) operating activities
$ 2,420,603 $ 3,811,776 $ 6,232,379 $ 574,801
(8 I 8, I 43) (82 5,205) ( I ,643,348) (3, | 99,4 I 6)
(1,047,q79) -.- (1,lqpr6Tq) Q,2l3r7!5)
- 5:5,J81_ -.._. 1,819,895 ., 2,37X76 , (2,624,61r\
Q2A,87 5\ ( I 78,250) (399,125)
200,000 200,000 4,344,878
J!7,064_ l?6,182. -_(178,169) (51,9.80) _ . - 4,360,375,
(201,985) (l,308,456) (1,510,441)
190,000 190,000
900,000 900,000
( 104,945) (418,219) (523,1 64)
. p,-q7-2) . . -. (q9,028) _ (91,700)
(30e,6q?). _- (7_2s,,7.A3) (l,93s,305)
,_ ._, 5l I , -_ ?,e37-- . , 3,a1$ 2,4?t ,. ,..511 .,, _2,e37 _ 3,11p- .- -.-_, ?,4e1
372,479 918,960 1,2q1,439 I ,738,25 I
2-25,8q5 ,,1,119,275 1,345,1q9
$ 598,364 $ 2,038,235 $ 2,636,599 $ 1,738,251
$ 440,994 $ t,391,931 $ 1,832,825 $ (2,959,902)
117,366 399,433 516,799
1,232 (44,956',) (43,724)
(28,468) (25,337) (53,805)
728 734 1,462
SANITATION WASTEWATER TOTAL FLINDS
23,629 98,090 ulJlg
GOVERNMENTAL
ACTIVITIES.
INTERNAL SERVICE
335,287
$ 555,391 $ 1,819,895 g 2,375,276 $ (2,624,615)::::
The accompanying notes are an integral part of these financial statements.
CITY OF PRATTVILLE. ALABAMA
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FLTND BALANCES
BUDGET AND ACTUAL
GENERAL FLTND
FOR THE YEAR ENDED SEPTEMBER 30, 2OI3
BUDGETED AMOUNTS
ACTUAL AMOUNTS VARIANCE WITH
BUDGETARY FINAL BUDGET.
BASIS POSITIVE (NEGATIVE)ORIGINAL FINAL
REVENUES:
Taxes:
Ad valorem taxes
Sales taxes
Local gasoline tax
Cigarette tax
Whiskey tax
Beer tax
Wine tax
ABC sales tax
Excise tax
Lodging tax
Rental tax
Total taxes
Licenses and permits:
Business licenses
Yard sale permits
Franchise fees
Building permits and
inspection fees
Zoning and plat fees
Total licenses and permits
Charges and fees for services:
Ambulance fees
Recreation rentals
Total charges and fees for services
$ 2,552,000 $ 2,552,000
17 ,684,592 19 ,224,592886,000 886,000160,000 160,00053,000 53,000223,000 223,00015,200 15,20044,000 44,00016,600 16,600
1,090,000 1,090,000296,90.0 296f90
23,021 ]92 ?4,561 ,222
4,322,500 4,322,5004,500 4,500450,000 450,000
202,800 202,800
. 40,009 _. 19:oo0
5,019,800-- _ 5,019,q00
1,125,787 1,125,787
_ .215,453 215,453 .
1,341 ,240- l_,3+l,249
2,651,051
20,564,529
906,939
142,723
53,850
243,790
13,405
37 ,969
70,,817
I ,201 ,424
3l 5,l9l
gg,05l
1,339,937
20,939
(17,277)
850
20,790
( I,795)
(6,031)
54,217
lll,424
18,291
26,201 ,688 1,640,396
4,689,436
4,1 80
512,I l0
246,544
73,577
366,936
(320)
62,1 1 0
43,744
33,577
5,525,847 506,047
1,075,719
209,031
(50,068)
(6,422)
| ,284,7 50 (56,490)
(Continued)
The accompanying notes are an integral part of these financial statements.
CITY OF PRATTVILLE, ALABAMA
STATEMENT OF REVENUES. EXPENDITURES. AND CHANGES IN FLTND BALANCES
BUDGET AND ACTUAL
GENERAL FLIND
FOR THE YEAR ENDED SEPTEMBER 30, 2OI3
BUDGETED AMOTJNTS
ACTUAL AMOLTNTS VARIANCE WITH
BUDGETARY FINAL BUDGET.
ORIGINAL FINAL BASIS losIrIVE (NEGATryE)
REVENUES: (continued)
Fines and forfeitures:
Court fines
Correction fund
Drug proceeds
Court costs
Total fines and forfeitures
Miscellaneous revenues :
Donations
County commission - RTJ
Interest income
Sex offender registration fee
Accident reports
Miscellaneous income
Parades
Performing and creative arts
Penalties
Sale of surplus equipment
Stanley stadium
Swimming pool concessions
Lambert property tower
Grant income
Insurance proceeds
Bullet proof vest grant
Total miscellaneous revenues
Total revenues
590,200 590,200
427,000
80,000
16,500
66,700
427,,000
80,000
l6,500
66,700
175,000
50,000
18,000
400
9,400
66,803
5,000
22,7 00
10,000
6,000
19,060
77,869
50,201
373, I 80
1 25,1 68
79,670
52,7lA
(53,820)
45, I 68
63, I 70
(t 3,990)
630,728 40,528
75,000
50,000
18,000
400
8,400
40,849
5,000
22,700
10,000
6,000
18,060
35,869
10,000
178,379
50,000
66,780
889
9,399
384,890
3,360
13,467
29,266
37 ,599
3,000
5,336
19,748
t22,578
66,7 09
10,212
3,379
48,780
489
999
3l 8,087
( I ,640)
(9,233)
19,266
3l,599
3,000
5,336
1,688
44,7 09
16,508
la,2l2
?00,27-8 508,133,
39,27.?,810 _. 32,020,965.
1,001,612 493,179
34,644,625 2,623,660
(Continued)
The accompanying notes are an integral part of these financial statements.
CITY OF PRATTVILLE, ALABAMA
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FLTND BALANCES
BUDGET AND ACTUAL
GENERAL FUND
FOR THE YEAR ENDED SEPTEMBER 30, 2OI3
BUDGETED AMOLINTS
ACTUAL AMOLI-NTS VARIANCE WITH
BUDGETARY FINAL BUDGET -
ORIGINAL FINAL BASIS POSITIVE (NEGATIvE)
EXPENDITURES:
General government:
Executive
Legislative
Judicial
Administrative finance
Administrative city clerk
Human resources
Information technology
Vehicle maintenance
Sales tax incentives
CityiCounty services
Community initiatives
Total general government
Public works:
Planning and development
Urban management
Engineering
Total public works
Public safety:
Police
Fire
Total public safety
Cultural and recreation :
Leisure services
Performing and creative art
Total cultural and recreation
Debt service:
Principal
Interest
Total debt service
$ 303,033
165,337
401,770
579,847
179,448
322,544
I,077,981
443,486
85,000
330,000
5t,,084@
895,486
$ 303,033
165,337
401,770
579,847
179,448
322,544
| ,077,981
443,486
85,000
330,000
. _ s48,qq1
4:43,6??20
895,486
247,570 $
157,245
487,444
567 ,221
172,264
286,627
1,077 ,073
313,622
937,419
330,000
336,790
55,463
8,092
(85,674)
12,626
7,184
35,917
908
129,864
(852,419)
2ll,294
4,913,27 5 (476,745).
816,641
1,082,541
78,845
232,1061,314,647 1,314,647
I ,120,059_ L590,0503,33q,183 1,8q0,183
I ,585,198 4.852
3.484.380 315,803
6,353,029
6,12l,l?7 .w 13,085,81 I
433,907
(3,922)
430,885
6,449,684
6,636,127
6,4I5,777
6.639.149
12,654,926
1,560,314 I ,783,584
. 149,060.. 149,969
- | ,7 09.,37 4. _ 1L,9 ,32,9!4 .
464,257 1,499,175
, - 59,048 _,!2,9!6
523,305 _ _ 1,542991
1,574,071
l0l ,619
209,513
47,441
| ,67 5,690 256,954
1,466,121
47,008
33,054
(4,092)
I,5 l3 ,129 28,962
(Continued)
The accompanying notes are an integral part of these financial statements.
26
CITY OF PRATTVILI..E. AIABAMA
STATEMENT OF REVENUES. EXPENDITURES, AND CHANGES IN FLIND BALANCES
BUDGET AND ACTUAL
GENERAL FLJND
FOR THE YEAR ENDED SEPTEMBER 30, 2OI3
DGENDITURES : (continued)
Transfers:
Transfers to component units
Total transfers
Total expenditures
Other financing sources (uses):
Transfers to debt service fund
Transfers to internal service fund
Transfers from capital improvement fund
Transfers from special revenue fund
Transfer to sanitation fund
Total other financing uses
ACTUAL AMOLINTS VARIANCE WITH
BUDGETED AMOIINTS BUDGETARY FINAL BUDGET -
ORIGINAL FINAL BASIS POSITIVE (NEGATTVE)
$ 320,000 $ 370,000 $ 370,000
32opoo m
22,793,548 25,167,259
(2,073,125) (2,073,125)(265,854) 3 49,654
(4,660,816)
(3,945,753)
428,869
79, I 03
$ 7,079,273
370,000
24,611,400 $555,859
Excess of revenues over expenditures 7,479,262 6,853,706 10,033,225 3,179,5 l9
(4,660,816)
( I,872,628)
79,215
79, I 03
Net change in fund balance, budgetary basis _$_-U402!:_ $ J,930;35
Deduct other reconciling items to adjust from
budgetary basis to modified accrual basis:
Change in encumbrances
NET CFTANGE IN FLTND BALANCE. MODIFIED ACCRUAL BASIS
FLIND BAI"\NCE - BEGINNING
FLTND BALANCE - ENDTNG
The accompanying notes are an integral part of these financial statements,
(2J38,q?e)#
1,734,628 $ = _(3,t95,903)
139,305
139.305
I,873,933
5,205,340
27
CIry OF PRATTVILLE. ALABAMA
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FLIND BALANCES
BUDGET AND ACTUAL
GAS TAX SPECIAL REVENUE FLTND
FOR THE YEAR ENDED SEPTEMBER 30, 2013
BUDGETED AMOLTNTS
ORIGINAL FINAL
ACTUAL AMOLINTS VARIANCE
BUDGETARY WITH
BASIS BUDGET
REVENUES:
State gasoline and lubricating oil excise tax
Grantt"till,
revenues
EXPENDITURES:
Current operations:
rublic;'jio*oitures
EXCESS OF REVENUES OVER EXPENDITURES
OTHER FINANCING USES:
Transfers in
TransfertfJt
, other financing uses
EXCESS OF REVENUES AND OTHER
FINANCING USES OVER EXPENDITURES
FLIND BALANCE AT BEGINNING OF YEAR
FUND BALANCE AT END OF YEAR
$ 243 ,000 $ 243,000
243,000 243 ,000 337,588
257 ,777
79,81 I
$ 14,777
79,811
e4f 88
(3t6,712)
(316,7 52)
316,7 52
316,7 52
243,000 243,000
(265,854) (349,654)
(26s_:8s4) .J?+,e,f? ) .
q p2fs3t .$ Jtqq,654l
20,836 411,340
47,045 ffi
(It,22t)$ 140,788
-
481,959
470,738
The accompanying notes are an integral part of these financial statements.
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.2OI3
NOTE I - SUMMARY OF SIGNIFICANT ACCOTINTING POLICIES:
Reporting entity - The City of Prattville, Alabama (the City) was incorporated under the laws of the
State of Alabama in 1865 and operates under a Mayor-Council form of government. The Mayor is
elected at large and all seven council members are elected by districts for concurrent terms of four
years. As required by accounting principles generally accepted in the United States of America, the
financial statements of the reporting entity include those of the City of Prattville, Alabama (the
primary govemment) and its component units. The component units discussed below are included in
the City's reporting entity because of the significance of its operational or financial relationship with
the City. Each discretely presented component unit is reported in a separate column in the
government-wide financial statements to emphasize that it is legally sepaxate from the City.
The component unit's column in the combined financial statements includes the financial data of the
Autauga-Prattville Public Library (the Library), the Prattville Airport Authority (the Authority), and
the Historic Prattville Redevelopment Authority (HPRA), which are determined to be component
units of the City.
The Library operates for the benefit of the City and Autauga County residents. The City annually
provides significant operating subsidies to the Library and appoints its governing body. Based on
these criteria, the Library is included as a component unit of the City for the year ended
September 30,2013. The Library operates on a fiscal year ending September 30. Financial
statements of the Library can be obtained at its administrative office located in Prattville, Alabama.
The Prattville Airport Authority was established for the purpose of acquiring, operating,
constructing, and developing airport and industrial facilities. The City appoints the governing body
and became obligated under a federal grant initiated by the Authority in September 2000. Based on
this criteria, the Authority is included as a component unit of the City for the year ended
September 30,2013. The Authority also operates on a fiscal year ending September 30. Financial
statements of the Authority can be obtained at its administrative office located in Prattville, Alabama.
The Historic Prattville Redevelopment Authority (HPRA) was formed to promote trade and
cotnmerce by inducing commercial enterprises to upgrade, improve, modernize, and expand existing
facilities and to locate new facilities to the central business district of Prattville. The City annually
provides operating subsidies to the HPRA and appoints its governing body. Based on this criteria,
the HPRA is included as a component unit of the City for the year ended September 30, 2013.
Financial statements of HPRA can be obtained from the City's finance department in Prattville,
Alabama.
The City's offrcials are also responsible for appointing the members of the boards of other
organizations, but the City's accountability for these organizations does not extend beyond making
the appointments. These organizations would not be considered component units of the Cify;
therefore, their financial information is not reflected in the City's financial statements.
29
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.2OI3
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: (continued)
Government-wide and fund financial statements - The basic financial statements consist of the
government-wide financial statements and fund financial statements. Both sets of statements
distinguish between governmental and business-type activities. Government-wide financial
statements are comprised of the statement of net position and the statement of activities. The effects
of interfund activity have been removed from these statements, Governmental activities, which
normally are supported by taxes, intergovernmental revenues, and other nonexchange transactions,
are reported separately from business-tlpe activities, which rely to a significant extent on fees and
charges for support.
The statement of activities demonstrates the degree to which the direct expenses of the City's
governmental activities are offset by the City's progmm revenues. Direct expenses are those that are
clearly identifiable with a specific prog&m or function. Program revenues are classified into three
categories: (l) fines, fees, and charges, (2) operating grants and contributions, and (3) capital grants
and contributions. Charges for services refer to direct recovery from customers for services
rendered. Grants and contributions refer to revenues restricted for specific programs whose use may
be restricted further to operational or capital items. The general revenues section displays revenue
collected that helps support all functions of government and contribute to the change in the net
position for the fiscal year.
The fund financial statements follow and report additional and detailed information about operations
for major funds individually and nonmajor funds in the aggregate for governmental funds. A
reconciliation is provided that converts the results of governmental fund accounting to the
government-wide presentations.
The City reports the following major governmental funds:
General fund - This is the City's primary operating fund. It accounts for all financial
resources of the general government, excapt those required to be accounted for in another
fund.
Capital projects funds - Capital Projects funds are used to account for financial resources
used for the acquisition or construction of major capital facilities,
Debt service fund - The Debt Service fund is used to account for the resources accumulated
and payments made for principal and interest on general long-term debt.
Gas tax special revenue fund The Gas
proceeds from a state gasoline tax. The
related to construction, improvements,
highwayS, roads, bridges, and streets.
tax special revenue fund is used to account for
use of these funds is restricted to expenditures
resurfacing, restoration, and rehabilitation of
30
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.20I3
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: (continued)
The City reports the following major proprietary funds:
Sanitation - The fund accounts for the revenues and costs related to the provision of
sanitation services in the City.
lV'astewater - The fund accounts for the revenues and costs related to the provision of
sanitary sewer and wastewater treatment services in the City.
Additionally, the City reports the following fund type:
Internal Service Fund - The fund accounts for the operations of the self-insured medical
insurance plan provided to funds of the City on a cost reimbursement basis.
Measurement focus. basis of accounting. and financial statement presentation - Government-wide
Jinancial statements - The government-wide financial statements are reported using the economic
resources measurement focus and the accrual basis of accounting. Revenues are recorded when
earned and expenses are recorded when a liability is incurred, regardless of when the related cash
flows take place. Nonexchange transactions, in which the City gives (or receives) value without
directly receiving (or giving) equal value in exchange, include propefi taxes, grants, entitlements,
and donations. On an accrual basis, revenue from property taxes is recognized in the fiscal year for
which the taxes are levied. Grants and similar items are recognized as revenue in the fiscal year in
which all eligibility requirements imposed by the provider have been met.
Governrnental fund financial statemenls - The governmental fund financial statements are reported
using the current financial resources measurement focus and the modified accrual basis of
accounting. Revenues are recognized as soon as they are both measurable and available. Revenues
are considered to be available when they are collectible within 90 days after year-end. Sales taxes,
gasoline taxes, grants, donations, and interest revenue are all considered to be susceptible to accrual.
Deferred revenue arises when assets are recognized before revenue recognition criteria have been
satisfied. All other revenue items are considered to be measurable and available only when cash is
received by the City.
Expenditures generally are recorded when a liability is incurred, as under accrual accounting.
However, debt service expenditures, as well as expendifures related to compensated absences and
claims and judgements, axe recorded only when payment is due. Allocations of cost, such as
depreciation and amortization, are not recognized in governmental funds. General capital asset
acquisitions are reported as expenditures in governmental funds. Proceeds of general long-term debt
and acquisitions under capital leases are reported as other financing sources.
3l
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.20I3
NOTE I - SUMMARY OF SIGNIFICANT ACCOLINTING POLICIES: (continued)
Under the terms of grant agreements, the City funds certain programs by a combination of specific
cost-reimbursement grants, categorical block grants, and general revenues. Thus, when program
expenses are incurred, there are both restricted and unrestricted net assets available to finance the
program. It is the City's policy to first apply cost-reimbursement grant resources to such programs,
followed by categorical block grants, and then by general revenues.
Proprietary fund financial statemenls - Proprietary funds are used to account for operations that are
(a) financed and operated in a manner similar to private business enterprises - where the intent of the
governing body is that the costs (expenses, including depreciation) ofproviding goods or services to
the general public on a continuing basis be financed or recovered primarily through user charges; or
(b) where the governing body has decided that periodic determination of revenues earned, expenses
incurred and/or net income is appropriate for capital maintenance, public policy, management
control, accountability, or other purposes.
Proprietary funds distinguish operating revenues and expenses from non-operating items. Operating
revenues and expenses generally result from providing services and producing and delivering goods
in connection with a proprietary fund's principal ongoing operations. All revenues and expenses not
meeting this definition are reported as non-operating revenues and expenses.
Cash and cash equivalents - 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.
Property tax calendar - All ad valorem taxes levied by the state, county, and any municipality in
Autauga County are assessed by the Tax Assessor and collected by the Tax Collector of Autauga
County. The Autauga County property tax calendar requires the Tax Assessor to assess and attach
taxes as enforceable liens on property as of September 30 and taxes are due October 1 through
December 3l of the following year. Property taxes that have not been paid by January I are
considered delinquent. Tax collections received by the County Tax Collector are remitted to the City
on a monthly basis.
Receivables - Activity between funds that are representative of lending,/borrowing arrangements
outstanding at the end of the fiscal year are refened to as either "due to/from other funds" (i.e., the
current portion of inter-fund loans) or "advances tolfrom other funds" (i.e., the noncurent portion of
interfund loans). All other outstanding balances between funds are reported as "due to/from other
funds."
32
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.20I3
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: (continued)
Accounts receivable in govemmental funds consist of fees for public services rendered, reimbursable
payments paid for the benefit of other governmental entities that are collected on a periodic basis,
and gtants receivable from other governments. Accounts receivable are stated at the amount
management expects to collect from balances outstanding at year-end. Based on management's
assessment, it has concluded that realization losses on balances outstanding at year-end will be
immaterial. Receivables as of year end are considered fully collectible and are recorded at net
realizable value.
Accounts receivable in the proprietary funds consist of monthly billings to customers for services
provided. The City extends credit to its customers, who are located primarily in Prattville, Alabama.
Trade accounts receivable are stated at the amount management expects to collect from balances
outstanding at year-end. Based on management's assessment of the credit history with customers
having outstanding balances and current relationships with them, it has concluded that realization
losses on balances outstanding at year-end will be immaterial; therefore, no allowance for doubtful
accounts has been provided.
Prepaid items - Certain payments to vendors reflect costs applicable to future accounting periods and
are recorded as prepaid items in both govemment-wide and fund financial statements.
lnventory Governmental fund inventories are reported as
than capitalized as an asset. The City has no significant
therefore, none are reported on the statement of net position.
an expenditure when purchased rather
inventories as of September 30, 2013;
Restricted assets - Resources from federal and state grants and drug proceeds are classified as
restricted assets on the balance sheet.
Certain resources from federal and state grants set aside for airport improvements are classified as
restricted assets on the statement of net position of the Prattville Airport Authority because their use
is limited by their funding agreement.
Capital assets - Capital assets, which include property, plant, equipment, and infrastructure assets
(e.g. roads, bridges, sidewalks, and similar items), are reported in the applicable governmental or
business-type activities columns in the government-wide financial statements. Such assets are
recorded at historical cost or estimated historical cost. Donated capital assets are recorded at their
estimated fair value at the date of donation.
33
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30,2013
NOTE I - SUMMARY OF SIGNIFICANT ACCOLINTING POLICIES: (continued)
The cost of normal maintenance and repairs that do not add to the value of the asset or materially
extend assets' lives are not capitalized. Capital assets of the primary government and the Autauga-
Prattville Public Library, a component unit, are depreciated using the straight-line method over the
following estimated useful lives:
ASSET CLASS
Buildings and building
improvements
Land improvements
Vehicles
Office, nonoffice, and
computer equipment
Infrastrucfure
ASSET CLASS
Land improvements
Building and improvements
Furniture and equipment
Runways
ASSET CLASS
Machinery and equipment
Land improvements
Buildings
ESTIMATED
USEFUL LIVES
CAPITALIZATION
THRESHOLD
CAPTTALIZATION
THRESHOLD
5,000
5,000
5,000
5,000
CAPITALIZATION
THRESHOLD
5,000
25,000
25,000
40 years
20 years
5 - 15 years
5 - 20 years
50 years
25,000
25,000
5,000
5,000
50,000
unit, are depreciated using theCapital assets of the Prattville Airport Authority, a component
straight-line method over the following estimated useful lives:
ESTIMATED
USEFUL LIVES
20 years
3 - 25 years
5 - 7 years
8 - 25 years
Capital assets of the Historic Prattville Redevelopment Authority, a component unit, are depreciated
using the straight-line method of depreciation over the following estimated useful lives:
ESTIMATED
USEFUL LIVES
5 l0 years
20 years
40 years
34
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.2013
NOTE I - SUMMARY OF SIGNIFICANT ACCOLTNTING POLICIES: (continued)
The City has historical assets including statues and fountains that are not capitalized, in accordance
with established criteria. Specifically, the historical assets are held for reasons other than financial
gain. The assets are protected, kept unencumbered, cared for and preserved, and are subject to a City
policy requiring that sales proceeds from any historical assets be used to acquire similar assets.
Compensated absences - The City allows employees to accumulate vacation and sick leave up to
certain limits for use in subsequent periods. Upon termination of employment, an employee receives
payment of accumulated vacation hours up to a maximum of 360 hours at current wage rates. Upon
retirement, an employee can receive payment of 50% of accumulated sick leave hours up to a
maximum of 360 hours at current wage rates. All vacation and sick pay is accrued when incuned in
the government-wide financial statements up to certain limits for use in subsequent periods. A
liability for these amounts is reported in governmental funds only if they have matured, for example,
as a result of employee resignations and retirements.
Long-term obligations - In the government-wide financial statements and proprietary fund types in
the fund financial statements, long-term obligations are reported as liabilities in the applicable
governmental activities, business-type activities, or proprietary fund type statement of net assets.
Bond premiums and discounts, as well as issuance costs, are deferred and amortized over the life of
the bonds using the effective interest method. Bonds payable are reported net of the applicable bond
premium or discount. Bond issuance costs are reported as deferred charges and amortized over the
term ofthe related debt.
In the fund financial statements, governmental fund types recognize bond premiums and discounts, as
well as bond issuance costs, during the current period. The face amount of debt issued is reported as
other financing sources. Premiums received on debt issuances are reported as other financing
sources while discounts on debt issuances are reported as other financing uses. Issuance costs,
whether or not withheld from the actual debt proceeds received, are reported as debt service
expenditures.
Lease obligations - Capital lease obligations are stated at the original fair market value of leased
assets capitalized,less payments since the inception of the lease discounted at the implicit rate of
interest in the lease. Also, in the year an asset is acquired by capital lease, the expenditure for the
asset and the offsetting amount of the financing source are reflected in the fund financial statements
in the statement of revenues, expenditures, and changes in fund balances. Capital lease obligations
of govemmental activities in the government-wide financial statements and the cost of assets so
acquired are reflected in the accounts of those statements. Capital lease obligations of business-type
activities in the government-wide financial statements and proprietary fund type financial statements
and the cost of assets so acquired are reflected in the accounts of those funds and statements.
35
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30. 2OI3
NOTE I - SUMMARY OF SIGNIFICANT ACCOLINTING POLICIES: (continued)
Fund balance - [n accordance with Governmental Accounting Standards Board Statement 54, "Fund
Balance Reporting and Governmental Fund Type Definitions", the City classifies government fund
balance as follows:
Nonspendable - includes fund balance amounts that
not in spendable form, or for legal or contractual
inventories, deposits, and prepaid items.
cannot be spent either because it is
requirements. This would include
Restricted - includes fund balance amounts that are constrained for specific purposes
which are externally imposed by providers, such as creditors, or amounts constrained due
to constitutional provisions or enabling legislation.
Committed - includes fund balance amounts that can be used only for the specific
purposes that are internally imposed by formal action of the government's highest level
of decision making authority. Commitments may be charged by the government taking
the same action that imposed the constraint initially, Contractual obligations are
included to the extent that existing resources in the fund have been specifically
committed for use in satisfying those contractual obligations. Fund balance is committed
by the City Council by ordinance.
Assigned - includes spendable fund balance amounts that are intended to be used for
specific purposes that are neither considered restricted or committed. This indicates that
resources in these funds are, at a minimum, intended to be used for the purpose of that
fund. Fund balance may be assigned by the City Council or the Mayor.
Unassigned - includes residual positive fund balance within the general fund which has
not been classified within the other above mentioned categories. Unassigned fund
balance may also include negative balances for any govemmental fund if expenditures
exceed amounts restricted, committed, or assigned for those specific purposes.
The City considers restricted amounts to have been spent when an expenditure is incurred for
purposes for which both restricted and unrestricted fund balance is available. The City considers
committed, then assigned amounts to have been spent when an expenditure is incurred for purposes
for which amounts of unrestricted fund balance is available.
Management estimates and assumptions - The preparation of financial statements in conformity with
accounting principles generally accepted in the United States of America requires management to
make estimates and assumptions that affect the reported amounts of assets and liabilities and
disclosure of contingent assets and liabilities at the date of the financial statements and the reported
amount of revenues and expenses during the reporting period. Actual results could vary from
estimates used.
36
CITY OF PRATTVILLE, ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.20I3
NOTE 2 - STEWARDSHIP, COMPLTANCE, AND ACCOTJNTABILITY:
Budgets and budgetary accounting - The budget is adopted annually at the beginning of each fiscal
year for the gas tax special revenue fund. The Council must approve transfers of appropriations or
revisions between and among government function categories. Management can approve transfers
within government function categories only. Actual expenditures should not exceed appropriations
in governmental function categories. Appropriations lapse at the end of the fiscal year. In addition
to the legally adopted budget, formal budgetary integration is employed as a management control
device during the year for the general fund.
Budgets for the above-mentioned funds are adopted on a basis other than accounting principles
generally accepted in the United States of America (GAAP) insofar as encumbrances are included
with expenditures. Reconciliation of expenditures reported in accordance with GAAP and those
presented in accordance with the non GAAP budgetary basis are noted below.
Encumbrance accounting is employed in governmental funds. Encumbrances (e.g., purchase orders,
contracts) outstanding at year-end are reported as restricted or assigned fund balance and do not
constitute expenditures or liabilities of the fund. The only exception to this rule is the Statement of
Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual - General Fund. Acfual
expenditures in this statement include outstanding encumbrances at September 30,2013 of $213,081.
Encumbrances are included in the actual expenditure figwes on this statement so that a meaningful
comparison can be made with the adopted budget.
A reconciliation of the two statements is as follows:
GENERAL
FLIND
Excess of revenues and other financing sources over expendituers
and other uses (GAAP basis)
Encumbrances at beginning of the year
Encumbrances at end of the year
Excess of revenues and other financing sources over
expenditures and other uses - actual (non GAAP budgetary basis)
I ,873,933
73,77 6
(2t3,081 )
$ 1,734,628
--
37
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.20I3
Excess of expenditures over appropriations - For the year ended September 30, 2013, one general
fund functional expenditure categories (the legal level of budgetary control) exceeded appropriations.
The City exceeded its budgeted appropriations in general government as a result of underbudgeted
incentive payments. These expenditures were funded from sales tax revenues.
Deficit net position - The Cify had a deficit unrestricted net position at September 30, 2013 of
$26,995,04L This deficit represents the indebtedness incurred for incentive obligations including
the purchase of development property supporting the significant retail development activities within
the City which originated in the fiscal years ended 2006 and 2008.
NOTE 3 - CASH, CASH EQUTVALENTS, AND INVESTMENTS:
Deposits - Custodial credit risk - The City's investment policy requires that bank deposits be fully
insured by the Federal Deposit Insurance Corporation or be covered under the Security for Alabama
Funds Enhancement (SAFE) Program. The SAFE program is a multiple financial collateral pool
administered by the State Treasurer according to State of Alabama statute.
38
CITY OF PRATTVILLE, ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 2OT3
NOTE 4. CAPITAL ASSETS:
Capital asset activity for the year ended September 30, 2013
BEGINNING
BALANCE
was as follows:
ENDING
INCREASE DECREASE BALANCE
Governmental activities :
Capital assetso not being
depreciated:
Construction in progress
Land
Total capital assets, not
being depreciated
Capital assets, being depreciated:
Buildings and building
lmprovements
Land improvements
Vehicles
Office, nonoffice, and
computer equrpment
Infrastructure
Total capital assets,
being depreciated
Less accumulated depreciation for:
Buildings and building
lmprovements
Land improvements
Vehicles
Office. nonoffice. and
computer equipment
lnfrastrucfure
Total accumulated
depreciation
Total capital assets,
being depreciated, net
Governmental activities
capital assets, net
5,1 54,485
4,948,252
97,915 4,829,852
170,960 5,098,270
45,125,73941 ,729,449 3,396,290
1,028,7 55 I 33 ,9934,227,779 315,955
3 ,349,323 341 ,446
3,085 ,7 53 269,1 65
$ 476,406
2,322,406--
5, I 09,001
4,7 66,853
4,417,469
4,248,543
45,484
181,399
510,298
1,020,687
$ 679,097
__ 21322,406
?.0q 1..593
1,162,748
4,543,734
3,592,854
3,237 ,396
7,017 ,634
202,691
5, 154, I 58 ?68,,875, , pir 1,5.6.59_8.
97,915
I 17 ,522
6,169,488 848,146
I 7,86 1,9:g J,999.,41 ,?,15,437 _ 19,.554,166
42,410?J1-- 3 ,245 ,453 5 3,43 8 45,60?.232
" D*--
$ 45,209,029 $ 3,,448,1!.4 $ - 53,,43q_ $, +8,603,735
39
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.2013
NOTE 4 - CAPITAL ASSETS: (continued)
Capital asset activity for the City's business-type activities for the year ended September 30,2013
was as follows:
BEGINNING ENDING
BALANCE INCREASE DECREASE BALANCE
Business-type activities :
Capital assets, not being
depreciated:
Construction in progress $ 203,719 $ 18,992 $ 222,711
Land 338,654 918,365 $ I ,257.019
Total capital assets, not
being depreciated 542,373 937 ,357 222,711 1,257.019
Capital assets, being depreciated:
Buildings and building
1,556,713 448,570 243,758 1,76r,525
computer equipment 1,478,645 I 10,080 12,682 1.576,043
Total capital assets,
being depreciated 11,906,556 798,644 256,440 12,448,760
Less accumulated depreciation for:
Buildings and building
lmprovements
Land improvements
Vehicles
Office, nonoffice, and
rmprovements
Land improvements
Vehicles
Office, nonoffice, and
5,649,768 239,994
3,221,430
2,427 ,719 144,1 03
I ,3 15,183 160,668
5,889,7 62
3,221 ,430
2,571,822
1,47 5,85 I
| ,239,918 102,962 93,440 1 ,249,440
computer equipment 986.913 109.066 9$73 1.086,306
Total accumulateddepreciation 5,969,733 516,799 103,113 6,383.419
Total capital assets,
being depreciated, net 5.936.823 281.845 153.127 6,065.341
Business-type activities
capital assets, net $ 6,479,196 9 1,219,202 $ .,376,038 -$ 7;W6A-
40
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.2013
NOTE 4 - CAPITAL ASSETS: (continued)
Depreciation expense was charged to functions/programs of the primary government as follows:
Governmental activities :
General government
Public works
Public safety
Cultural and recreational
Total depreciation expense - governmental activities
Business-type activities :
Sanitation
Wastewater
$ 889, I 80
172,600
516,7 65
330, I 60
$ 1,908,705
--
$ 117,366
399,433
Total depreciation expense - business-type activities q 5 t 6,?19_
Component units - Capital asset activity for the Autauga-Prattville Public Library for the fiscal year
ended September 30, 2013 is as follows:
BEGINNING ENDING
BALANCE INCREASE DECREASE BALANCE
Capital assets, being depreciated:
Equipment
Total capital assets,
being depreciated
$ 219,654 $ 10,922 $ 208,732
219,654 10,922 208,732
Less: Accumulated depreciation 114,095 $ 25,123 4,922 13422!
Total capital assets,
being depreciated, net $ 105,559 $ (25,123) $ 6=,000 _$ 74,436.
4l
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.2OI3
NOTE 4 - CAPITAL ASSETS: (continued)
Capital asset activity for the Prattville Airport Authority for the fiscal year ended September 30, 2013
is as follows:
BEGINNING
BALANCE INCREASE
ENDING
DECREASE BALANCE
Capital assets, not being depreciated:
Land
Construction in progress
Total capital assets,
not being depreciated
Capital assets, being depreciated:
Land improvements
Runways
Building improvements
Furniture and equipment
Total capital assets,
being depreciated
Less: Accumulated depreciation
Land improvements
Runways
Building improvements
Furniture and equipment
Total accumulated depreciation
Total capital assets,
being depreciated, net
Total capital assets, net
46,966 52,883
2,627,466 46.966 52,883 2,621 ,549
$ 2,593,729
33,737
$ 2,593,729
27,820
1,442,41 8
6,530,7 45
1,402,007
90,47 5
52,883 1,495,301
6,530,7 45
r,402,007
90,47 5
9,465,645 52,883 9,5 18,528
486,273
2,349,172
404,422
52,140
7 4,104
226,1 88
31,353
7,059
560,377
2,57 5,360
435,77 5
59,1 99
3,292,007 338,704 3,630,7 | |
6,173,63 8 (285,821)5,887,817
$ 8,801 ,104 $ (238,855) $ 52,883 $ 8,509,366
------
42
Capital asset activity for the Historic
September 30, 2013 is as follows:
CITY OF PRATTVILLE, ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 2AI3
Prattville Redevelopment Authority
BEGINNING
BALANCE INCREASE
for the fiscal
DECREASE
year ended
ENDING
BALANCE
Capital assets, not being depreciated:
Land
Total capital assets,
not being depreciated
Capital assets, being depreciated:
Land improvements
Building improvements
Machinery and equipment
Total capital assets,
being depreciated
Less: Accumulated depreciation
Total capital assets,
being depreciated, net
Total capital assetso net
I 83,500 183,500
I 83,500 183,500
12,000
285,000
23,000
12,000
285,000
23,000
320,000 320,000
77 ,85I 7,725 85,5 83
242,142 (7,725)234,417
NOTE 5 - INTERFT/ND BALANCES:
Interfund transactions are generally used to meet cash demands necessary to pay operating
expenditures. These amounts should be repaid during the next fiscal year. Amounts reported in the
fund financial statements as interfund receivables and payables are eliminated in the entity-wide
governmental column of the statement of net assets, except for the net residual amounts due between
governmental and business-tlpe activities, which are presented as internal balances.
43
CITY OF PRATTVILLE, ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30. 2OI3
The composition of interfund receivables and payables as
following:
RECEIVABLE FUND PAYABLE FUND
of September 30, 2013
AMOLINT
consists of the
General
General
General
Wastewater
Total
Sanitation
Capital projects fund
Internal Service fund
General
242,134
I l5 ,786
15,497
4,680
378,097
The following is a schedule of interfund transfers for the year ended Sepetember 30, 2013:
TRANSFER OUT TRANSFER IN
GENERAL
FLND
DEBT
SERVICE
FTIND
GAS
TAX
FUND
INTERNAL
SANITATION SERVICE
FUND FL]ND TOTAL
General fund
Capital projects fund
Gas tax fund
Wastewater fund
Sanitation fund
Totals
$ 4,660,8 l6 200.000 $ 3,945,753
178,250
220,87 5
$ 8,806,569
475,914
79,102
178,250
220,875
$ 428,869
79,102
$ 47.045
$ 507,97r $ 4,660,816 $ 47,045 $ 200,000 $ 4,344,878 $ 9,760,710
Transfers are used to move revenues from the fund with collection authorization to the debt service
fund as debt service principal and interest payments become due, and to move unrestricted general
fund revenues to finance various programs that the government must account for in other funds in
accordance with budgetary authorizations, including amounts provided as subsidies or matching
funds for various grant programs.
NOTE6-LONG-TERMDEBT:
State statute limits the amount of long-term debt the City can incur. The amount of debt applicable
to this limit during a year can be no greater than ZQ%o of the assessed value of taxable property as of
the beginning of the fiscal year. As of September 30, 2013, the amount of outstanding debt
applicable to this limit was equal to 4.66% of property assessments as of October 1,2012.
44
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.2013
NOTE 6 - LONG-TERM DEBT: (continued)
Long-term debt activity for the year ended September 30, 2013, was as follows:
BEGINNING
DUE
WITHIN
ENDING ONE
BALANCE ADDITIONS REDUCTIONS BALANCE YEAR
Govemmental activities:
Warrant and other notes payable $ 49,574,464 $ 9,815,000 $ 12,384,455 $ 47,005,009 $ 2,952,805
Limited obligation warrant 1,580,851 13,076 1,567,775
Less defened arnounts:
On retunding (1,126,964) 41,561 (1,085,403)
Add deferred amounts:
Debt issuance premiums 338,615 (90,999) 225,561 22,055
Total warrants and
other note s payable 5 1,493,930 8,597 ,037 12,664,653 47 ,509,436 2,952'805
Capital leases 88,562 88,562
Compensated absences 1,072,003 517,611 517,420 1,072,194 269,130
Post-employment benefits other
than pensions 1,629,565 413,354 52,492 1,990,427
Govemmental activities long-term
liabilities 54,284,060 9,528,002 13,323,127 50,572,057 3,221,9?5
Business-type activities:
General obligation warrants 2,490,000 900,000 294,233 3,095,767 410,470
Capital leases
Compensated absences
Business-type activities
238,07 4 228,7 40 9,334 9,334
I 58,904 I I 4,81 4 83,988 I 89,730 91,710
long-term liabilities 2,886,978 1,014,814 606,961 3,294,831 511,514
rotar rong-term debt _q-:4?1,93!_ j_t0,542,919- _$_l-i,e30,9!g- _$-53,866,!!!- -$ 3J31A4r-
4s
CITY OF PRATTVILLE, ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30. 2OI3
NOTE6-LONG.TERMDEBT:
Long-term debt at September 30,
Governmental activities:
(continued)
2013 consists of the following:
General Obligation Economic Development Improvement
Warrantso Series 2006A; principal amount $ 19,87 5,000;
graduated principal payments are due annually beginning
November 1, 2010 and semiannual interest payments due each
November I and May l; interest at 3,650A to 5,00oA; current
rate on bonds 5%; final maturity date is November l, 2A26.
Proceeds used for economic development.
General Obligation Economic Development Improvement
Warrants, Series 20068; principal amount $9,000,000;
graduated principal payments due annually beginning
November l, 2009 and semiannual interest payments due each
November I and May l; interest at 3.50Yo to 5,000 ; rate on
current bonds 4.5o/o; final maturity date is November 1, 2025.
Proceeds used for economic development.
General Obligation Economic Development Improvement
Warrant, Series 2007; principal amount $1 4,920,000; graduated
principal payments due annually beginning November 1o 201 0
and semiannual interest payments due each November 1 and
May I ; interest at 3 .50oh to 4.37 5o/o; rate on current bond s 4o/o;
final maturity date is November l, 2025. Proceeds used for
economic development.
General Obligation Warrant, Series 2008; principal amount
$3 80,000; due in semiannual installments of principal and
interest on November 20 and May 20 of each year, beginning
November 20, 2008; interest at 3.21%; final maturity date is
May 20,2018. Proceeds used to purchase a fire truck.
TOTAL
$ 10,250,000
7,425,000
12,7 85,000
202,441
46
CITY OF PRATTVILLE, ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30. 2OI3
NOTE 6 - LONG-TERM DEBT: (continued)
General Obligation Warrant, Series 2009; principal amount
$ 1,134,447; scheduled monthly payments of principal and
interest; interest rate 3.690 ; unsecured; final payment on
February 1, 2014. Proceeds used to pay the amount due to
Elmore County for overpayment of taxes.
2009 General Obligation Refunding Warrants; principal
amount $6,3 15,000; graduated principal payments are due
annually beginning on September l, 2010 and semiannual
interest payments due each March I and September I o
beginning March l, 20 10; interest rate ranges from 2% to 4%;
rate on current bonds 3%; final payment is due September I o
2022. Proceeds used to refund the 2001 and 2002 Warrants.
General Obligation Chevron Warrants Series 20094; principal
amount $ 1,820,000; graduated principal payments are due
annually beginning on December 1 , 2010 and semiannual
interest payments due each June 1 and December 1, beginning
June l, 2010; interest rate ranges from 2.2oh to 4,5o/o; rate on
current bonds 2.2oh; final payment is due December 1, 2029,
Proceeds used for the acquisition, construction, installation, and
equipping of certain energy efficient improvements.
General Obligation Refunding Warrants Series 2013A;
principal amount $9,815,000; graduated principal payments are
due annually beginning on March l, 2014 and semiannual
interest payments due each September I and March l,
beginning September 30, 2013; interest rate ranges from .80oh
to 2,75%; rate on current bonds 2,0o/o; final payment is due
March l, 2027. Proceeds used for the partial refunding of the
Series 2006A General Obligation Economic Development
Improvement Warrants.
TOTAL
82,568
4,71 5,000
1,730,000
9,815,000
Total governmental activities
47
47,005,009
NOTE 6 - LONG.TERM
Busines s-type activiti es :
CITY OF PRATTVILLE, ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 2OI3
DEBT: (continued)
General Obligation Sewer Warrant, Series 1996; principal
amount $3,025,000; graduated principal payments are due
annually on August 15 and semiannual interest payments due
each February 15 and August 15; interest rate of 3,18oh; final
maturity date is August 15, 2017 . Proceeds used for sludge
digesters and wastewater treatment plant upgrade.
General Obligation Sewer Warrant, Series 2004; principal
amount $2,085,000; graduated principal payments are due
annually on Febru ary I 5 and semiannual interest payments due
each Febru ary I 5 and August I 5; interest rate of 3 .05ya; final
maturity date is February 18,2025. Proceeds used to pay costs
of constructing wastewater treatment and related facilities in
connection with the sanitary sewer system.
General Obligation Sewer Warrant, Series 2013: principal
amount $900,000; monthly principal and interest payments of
$l I ,570 due monthly beginning on September 15, 2013;
interest rate of 2J90o6; final maturity date is August 15, 2020,
Proceeds used to pay for purchase of property to be used as a
waste water byproduct application site.
Total business-type activities
Total general obligation warrants
TOTAL
810,000
1,405,000
980,7 67
3,095 ,7 67
$ 50, 100,776
--
48
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.2OI3
NOTE 6 - LONG-TERM DEBT: (continued)
Limited Obligation Wanant - The City issued Limited Obligation Warrant, Series 20068 in the
amount of $ 1,594,489 for the construction of infrastructure. The warrant bears a -0-% interest rate
and matures on August 1,2036. The warrant was issued pursuant to an agreement with a private
entity for the construction of infrastructure. Repayment of the warrant is secured by a pledge of 75%
of the sales tax revenue remitted by retail establishments located on the specified property. As of
September 30,2013, the City had redeemed$26,714 of the outstanding warrants, The balance on the
warrant at September 30,2013 is $1,567,775.
The Limited Obligation Warrant does not constitute a direct obligation and pledge of the full faith
and credit of the Ciw.
Debt service requirements on long-term debt at September 30, 2013 are as follows:
TOTAL ANNUAL REQUIREMENTS GOVERNMENTAL AC TI VITIE S BUSINESS.TYPE ACTIVITIES
PRJNCIPAL INTEREST TOTAL PRINCTPAL INTEREST TOTAL PRINCIPAL INTEREST TOTAL
YEAR ENDTNG
SEPTEMBER 30:
2014 $ 3,363, 100 $ I,969,656 $
2015 3,392,993 1,713,626
5,232,756 $ 2,952,805 $ 1,784,021 $ 4,736,826 $ 410,295 $ 85,635 $ 495,930
5,106,619 2,970,000 1,639,781 4,609,781 422,993 73,845 496,838
2016 3,550,716 t,571,960 5,t22,676 3,1 l5,0oo 1,510,324 4,625,324 435,716 61,636 49'1,352
2017 3,699,572 |,429,325
2018 3,621,456 1,292,576
5,126,897
4,904,032
3,245,000 1,379,343 4,624,343 453,57? 48,982 502,554
3,390,000 1,246,67Q 4,626,670 241,456 35,906 277,362
2019 - 2023
2024 - 2028
19,006,4?8 4,476,464 23,482,s42 13,135,000 4,381,842 22,516,842 8?1,478 94,622 966'100
13, | 35,000 909,621 14,044,621 12,865,000 901,386 13,766,386 270,000 8,235 278,235
2o2e -2033
-I4l----19--11!99]--1]4].-19:19--llt!91-rotals _!_s0,'00JL_t_E,r6s,56!-_l_Wli1_-t_16,995'266_.ltlry-. $ s9'854'973 -l-:'10543--l-108'86.1-l-?ry1-
Advance Refunding - The City issued $9,815,000 of general obligation refunding bonds to provide
resources to purchase U.S. Government State and Local Govemment Series securities that were
placed in an inevocable trust for the purpose of generating resources for all future debt service
payments of $8,475,000 general obligation bonds. As a result, the refunded bonds are considered to
be defeased and the liability has been removed from the governmental activities column of the
statement of net position. The reacquisition price exceeded the net carrying amount of the old debt
by $1,126,964. This amount is being netted against the new debt and amortized over the remaining
life of the old debt. Over the life of the bonds, the City decreased its total debt service requirements
by $922,757. The result of this refunding was an economic gain of $826,788.
49
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.2013
NOTE 6 - LONG-TERM DEBT: (continued)
Component units - The Prattville Airport Authority's capital debt at September 30, 2013 is as
follows:
Revenue and Grant Anticipation Bond Series 2008
BankTrust; $ I,000,000; amount drawn to date $677 ,l 50;
interest rate of 3 .58o until July 1,201 3, variable rate equal to
65% of BankTrust base rate thereafter; interest due quarterly
beginning October 1, 2008; principal payments due quarterly
beginning October l, 201 I ; remaining balance due on July I ,
2016; secured by pledge of all revenues, rents, receipts,
income, and funds derived by the Airport Authority.
Proceeds used for capital improvements.$ 563 ,461
Total long-terrn capital debt
Maturities on capital debt are as follows:
YEAR ENDING SEPTEMBER 30:
20t4
20ts
20t6
Totals
Total interest cost on capital debt in 201 3 was $20,454.
PRINCIPAL INTEREST TOTAL
$ 55,129 $ 15,507 $ 70,636
57,129 13,856 70,985
451 ,203 9,3 I 3 460,5 I 6
$ 563 ,461 $ 38,67 6 $ 602,137
$ 563,461
--
50
CTTY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.2OI3
NOTE 6 - LONG-TERM DEBT: (continued)
Capital debt activity for the year ended September 30, 2013 was as follows:
BEGINNING
BALANCE ADDITIONS REDUCTIONS BALANCE ONE YEAR
ENDING DUE WITHIN
$ 141,724
19,036
$ 160,7 60
--
Revenue and grant anticipation
Bond-BankTrust $ 597,187 $ 33,726 $ 563 ,461 $ 55,129
Totals $ 5t7,tfl s . ,- $, ,,33J26 $==5=63,491 $=,i11t29_
The Historic Prattville Redevelopment Authority's notes payable at September 30, 2013 are as
follows:
BankTrust secured by real estate; monthly principal and
interest payments of Sl ,972 due on the 5th of every
month; interest rate of 6.150/o; final maturity date is
July 5,2014. Proceeds used to purchase real estate.
BankTrust unsecured; monthly principal and interest
payments of $393 due on the l5th of every month;
interest rate of 6.150/o; maturity date of
September 15, 2014, Proceeds used to pay unsecured
loan.
Total
5l
CITY OF PRATTVILLE, ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30. 2OI3
Notes payable maturities at September 30, 2013 are as follows:
YEAR ENDING SEPTEMBER 30:
2014
Totals
HISTORIC PRATTVILLE
REDEVELOP MENT AUTHORITY
PRINCIPAL INTEREST TOTAL
160,760 8,896 169,656
$ 1 60,7 60 $ 8,896 $ 169,656
Long-term debt activity for the Historic Pratfville Redevelopment Authority for the year ended
September 30, 2013, was as follows:
BEGINNING ENDING DUE WITHIN
BALANCE ADDITIONS REDUCTIONS BALANCE ONE YEAR
Notes payable to bank $ 194,537 $ 33,777 $ 160,7 6A $ rc0,7 60
Totals $ 194,537 $ $ 33,777 $160,760 $ 160,760
NOTET-NOTESPAYABLE:
The City issued General Obligation Note, Series 201lA dated May I, 20ll in the amount of
$ I ,000,000. The proceeds of the note were used as a line of credit for paying operation expenditures
as needed for the City. The line of credit was most recently renewed on June 26, 2013 with a
maturity date of May 30, 2014. The line of credit currently bears an interest rate of 3.09%, At
September 30, 2013, the balance of the loan had been paid in full.
Notes payable activity for the year ended September 30,2013, was as follows:
BEGINNING ENDING
BALANCE ADDITION REDUCTION BALANCE
Notes payable to bank
Totals
$ 137 ,517 $ 137 ,517
$ $ 137,517 $ 137,517 $
52
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.2013
NOTE8-CAPITALLEASES:
The Cify has entered into lease agreements as lessee for financing the acquisition of properfy and
equipment. These lease agreements qualiff as capital leases for accounting purposes and, therefore,
have been recorded at the present value of their future minimum lease payments as of the inception
date.
The assets acquired through capital leases are as follows:
ASSET
BUSINESS-TYPE
ACTIVITIES
Machinery and equipment
Less: Accumulated depreciation
Total 40,052
The future minimum lease obligations and the net present value of these minimum lease payments as
of September 30,2013, were as follows:
BU S INE S S-TYPE ACTTVITIES
r29,400
89,348
YEAR ENDING SEPTEMBER 30:
2014
Less: Deferred interest
Present value of minimum lease payments
AMOLTNT
9,419
85
9,334
NOTE9-PENSIONCOSTS:
Plan description - The City of Pratwille, Alabama participates in the Employees' Retirement System
of Alabama (ERS), an agent multiple-employer public employee retirement system (PERS) that acts
as a common investment and administrative agent for qualified persons employed by local
government entities in Alabama. ERS PERS is a defined benefit plan that provides retirement,
disability, and death benefits to plan members and beneficiaries.
The ERS was established October 1945 under the provisions of Act 515, Acts of Alabama 1945, for
the purpose of providing retirement allowances and other specified benefits for State employees,
State police, and on an elective basis to all cities, counties, towns, and quasi-public organizations.
The responsibility for general administration and operation of the ERS is vested in the Board of
Control. Benefit provisions are established by the Code of Alabama 1975. Authority to amend the
benefit provisions of the plan rests with the State Legislature.
s3
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.20I3
NOTE 9 - PENSION COSTS: (continued)
ERS PERS issues a publicly available financial report that includes financial statements and required
supplemental information for the Employees' Retirement System of Alabama. That report may be
obtained by writing to: The Retirement Systems of Alabama, P.O. Box 302150, Montgomery,
Alabama 36130-2150 or by calling (334\ 832-4140.
Funding policy - Plan members are required by statute to contribute 5% of their annual salary, except
for full-time, certified firefighters and law enforcement officers, who contribute 6Vo of their annual
covered salary. The City is required to contribute at an actuarially determined rate; the City's current
contribution rate is 9.57% of covered payroll based on the actuarial valuation report of
September 30, 2010. The contribution requirements of plan members are set by the State
Legislature. The contribution requirements of the City are established and may be amended by the
ERS based on actuarial valuations.
Annual pensior] cost For the year ended
$1,095,375 was equal to the City's required
Trend information for the City of Prattville
September 30, 2A13, the City's annual pension cost of
and actual contributions.
Alabama is as follows:
TREND INFORMATION
FISCAL YEAR
ENDED
September 30, 20ll
September 30, 2012
September 30, 2013
ANNUAL PENSION
cosr (APC)
1,193 ,439
1,092,669
1,095 ,37 5
PERCENTAGE OF APC NET PENSION
CONTRIBUTED OBLIGATION
100%
r00%
100%
-0-
-0-
-0-
The required contribution was determined as part of the September 30, 2010 actuarial valuation using
the entry age actuarial cost method. Significant actuarial assumptions used in the valuation included
(a) an investment rate of return on assets of 8.00% per year, and (b) projected salary increases of
4.61% to 7 .75o/o per year, including inflation of 4.50%. The actuarial value of assets was determined
using techniques that smooth the effects of short-term volatility in the market value of investments
over a five-year period. The unfunded actuarial accrued liability is being amortized as a level
percentage of projected payroll on an open basis. The remaining amortization period as of
September 30, 2010 was 30 years.
54
CITY OF PRATTVILLE, ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.2OI3
Funding status and prosress - As of September 30,2012, the most recent actuarial valuation date, the
plan was 73.0% frrnded. The actuarial accrued liability for benefits was $40,760,572, and the
actuarial value of assets was $29,752,154 resulting in funding deficit of $11,008,418. The covered
payroll (annual payroll of active employees covered by the plan) was $12,341,426, and the ratio of
the funding deficit to the covered payroll was89.2a/o.
The schedule of funding progress for the City of Prattville, Alabama, presented as required
supplementary information following the notes to the financial statementso presents multiyear trend
information about whether the actuarial value of plan assets is increasing or decreasing over time
relative to the actuarial accrued liability for benefits.
NOTE 10 - POST-EMPLOYMENT BENEFITS OTHER THAN PENSIONS:
The City of Prattville administers a single-employer defined benefit (OPEB) plan for the employees
of the City. From an accrual accounting perspective, the cost of post-employment healthcare
benefits, like the cost of pension benefits, should be associated with the periods in which the cost
occurs, rather than in the future year when it will be paid. The City recognizes the cost of post-
employment healthcare in the year when employee services are received, reports the accumulated
liability from prior years, and provides information useful in assessing potential demands on the
City's future cash flows. The recognition of the liability accumulated from prior years will be phased
in over 30 years, commencing with the 2009 liability.
Plan description - The City of Prattville, Alabama's medical benefits are provided through a
comprehensive medical plan and are made available to employees upon actual retirement.
The employees are covered by the Retirement System of Alabama and must meet the eligibility
provisions adopted by resolution to receive retiree medical benefits. Those eligibility provisions are
as follows: l0 years of consecutive service and attainment of age 60; or,25 years of service atany
age. Complete plan provisions are included in the official plan documents.
Contribution rates - Employees do not contribute to
become retirees and begin receiving those benefits.
contained in the official plan documents.
their post employment benefits costs until they
The plan provisions and contribution rates are
55
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30. 2OI3
NOTE IO - POST-EMPLOYMENT BENEFITS OTHER THAN PENSIONS: (contiNucd)
The number of participants as of September 30, 2012, the effective date of the biannual actuarial
valuation. are as follows:
NUMBER OF
ENROLLEES
Active employees
Retired employees
Total
Normal cost
30 year unfunded AAL amortization amount
Annual required contribution (ARC)
29r
ll
302
Funding policy - Until fiscal year ended September 30, 2008, the City of Prattville, Alabama
recognized the cost of providing post-employment medical benefits (the City of Prattville's portion
of the retiree medical benefit premiums) as an expense when the benefit premiums were due and thus
financed the cost of the post-employment benefits on a pay-as-you-go basis. The City's funding
policy is not to fund the Annual Required Contribution (ARC) of the employer except to the extent
of the current year's retiree funding costs.
In fiscal year ended September 30, 2013, the City of Prattville, Alabama's portion of health care
funding cost for retired employees totaled 552,492. These amounts were applied toward the net
OPEB obligation as shown in the table below,
Annual required contribution - The City of Prattville's Annual Required Contribution (ARC) is an
amount actuarially determined in accordance with GASB 45. The ARC is the sum of the Normal
Cost plus the contribution to amortize the Unfunded Actuarial Accrued Liability (UAAL). A level
dollar, open amortization period of 30 years, (the maximum amortization period allowed by GASB
43145\ has been used for the post-employment benefits. The total ARC for the fiscal year beginning
October l,2Al2 is $442,409, as set forth below:
MEDICAL
228,385
214,024
442,409
56
CITY OF PRATTVTLLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.2013
NOTE IO - POST-EMPLOYMENT BENEFITS OTHER THAN PENSIONS: (contiNuEd)
Net oost-employment benefit oblieation (asset) - The following table shows the components of the
annual OPEB cost for the year, the amount actually contributed to the plan, and changes in the City's
net OPEB obligation:
MEDICAL
Annual required contribution
Interest on net OPEB obligation
Adjustment to annual required oontribution
Annual OPEB cost
Contributions made
Current year retiree premium
lncrease in net OPEB obligation
Net OPEB obligation - beginning of year
Net OPEB obligation - end of year
The City's annual OPEB costo percentage
fiscal year 2013 and the previous two years
$ 442,409
65,1 83
-, - - (2+,238)
413,354
-0-
.,. (5.2,+92)
360,862
1,629,565
1,990,427
of the cost contributed, and the net OPEB obligation for
is as follows:
PERCENTAGE
OF ANNUAL
ANNUAL COST NET OPEB
OPEB COST CONTRIBUTED OBLIGATION
POST
EMPLOYMENT
BENEFIT
FISCAL YEAR
ENDED
Medical
Medical
Medical
September 30, 201 I
September 30, 2012
September 30, 2013
328,260
337,315
413,354
17 .000
17.19%
19.06%
1,081,342
1,629,565
1,990,427
57
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.20I3
NOTE IO. POST-EMPLOYMENT BENEFITS OTHER THAN PENSIONS: (continued)
Funded status and funding progress - As of September 20,2013, the actuarial accrued liability for
benefits was $3,848 ,992 all of which was unfunded. The covered payroll (annual payroll of active
employees covered by the plan) was $13,570,036 and the ratio of the unfunded actuarial liability to
the covered payroll was 28Yo as presented in the following table:
MEDICAL
Actuarial accrued liability (AAL)
Actuarial value of plan assets
Unfunded actuarial accrued liability (UAAL)
Funded ratio (Actuarial value assets/AAl)
Covered payroll (active plan members)
UAAL as a percentage of covered payroll
3,948,992
-0-
3,848,992
-0-o/o
1 3,5 7 0,036
28%
Actuarial methods and assumptions - Actuarial valuations involve estimates of the value of reported
amounts and assumptions about the probability of events far into the future. The actuarial valuation
for post-employment benefits includes estimates and assumptions regarding (l) turnover rate; (2)
retirement rate; (3) health care cost trend rate; (4) mortality rate; (5) discount rate (investment return
assumption); and (6) the period to which the costs apply (past, current, or future years of service by
employees). Actuarially determined amounts are subject to continual revision as actual results are
compared to past expectations and new estimates are made about the future.
The actuarial calculations are based on the types of benefits provided under the terms of the
substantive plan (the plan as understood by the City and its employee plan members) at the time of
the valuation and on the pattern of sharing costs between the City of Prattville, Alabama and its plan
members to that point. The projection of benefits for financial reporting purposes does not explicitly
incorporate the potential effects of legal or contractual funding limitations on the pattern of cost
sharing between the City and plan members in the future. Consistent with the long-term perspective
of actuarial calculations, the actuarial methods and assumptions used include techniques that are
designed to reduce short-term volatility in actuarial liabilities and the actuarial value ofassets.
58
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.2OI3
NOTE IO - POST-EMPLOYMENT BENEFITS OTHER THAN PENSIONS: (continuEd)
The following significant assumptions were made:
Actuarial cost method - The ARC is determined using the projected unit credit actuarial cost
method. The employer portion of the cost for retiree medical care in each future year is determined
by projecting the current cost levels using the healthcare cost trend rate and discounting this
projected amount to the valuation date using the other described pertinent actuarial assumptions,
including the investment return assumption (discount rate), mortality, and turnover.
Actuarial value of plan assets - There are not any plan assets. It is anticipated that in future
valuations, should funding take place, a smoothed market value consistent with Actuarial Standards
Board ASOP 6, as provided in paragraph number 125 of GASB Statement 45 would be used.
Turnover rate - An age-related turnover scale based on actual experience has been used. The rates,
when applied to the active employee census, produce a composite average annual turnover of
approximately 9%. It has further been assumed that l}Yo of retirees decline coverage because of the
substantial retiree contribution required.
Post-employment benefit plan eligibility requirements - Based on past experience, it has been
assumed that entitlement to benefits will colnmence immediately upon retiree coverage eligibility, as
described under "Plan Description". In addition, 'oTier II" retirement plan members (those hired on
and after January 1, 2013) would not be eligible to retire before age 62. Medical benefits are
provided to employees upon actual retirement.
lnvestment return assumption (discount rate) - GASB Statement 45 states that the investment return
assumption should be estimated long-term investment yield on the investments that are expected to
be used to finance the payment of benefits (that is, for a plan which is funded). Based on'the
assumption that the ARC will not be funded, a 4Yo anwal investment return has been used in this
valuation.
Health care cost trend rate
schedule beginning with 8%
later.
The expected rate of increase in medical cost is based on a graded
annually, down to an ultimate annual rute of 5 .0'h for ten years out and
Mortality rate - The 1994 Group Annuity Reserving (94GAF) table, projected to 2002, based on a
fixed blend of 50% of the unloaded male mortality rates and 50%o of the unloaded female mortality
rates, is used. This is a recently published mortality table which has been used in determing the value
of accrued benefits in defined benefit pension plans. Projected future mortalify improvement has not
been used since it is our opinion that this table contains sufficiently conservative margin for the
population involved in this valuation.
59
CTTY OF PRATTVTLLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30,2013
Method of determining value of benefits - The value of benefits has been assumed to be the portion
of the premium after retirement date expected to be paid by the employer for each retiree and has
been used as the basis for calculating the actuarial present value of OPEB benefits to be paid. The
retiree pays for 100% of the cost of the medical insurance for the retiree and dependents (except for
the incentive retirees), but it is based on the active/retiree blended rate. Therefore, there is an
implicit employer subsidy since a portion of the active/retired blended rate is attributable to the
retiree coverage. Since use of unblended rates is required by GASB 45 for valuation purposes, we
have estimated the unblended retiree total rate before age 65 to be 130% of the blended rate. The
employer cost is then the difference between this total unblended rate and the portion paid by the
retiree, ifany. Retiree coverage ceases at age 65.
lnflation rate - Included in both the Investment Return Assumption and the Healthcare Cost Trend
rates above is an implicit inflation assumption of 2.50% annually.
Projected salary increases - This assumption is not applicable since neither the benefit structure nor
the valuation methodology involves salary.
Post-retirement benefit increases - The plan benefit provisions in effect for retireees as of the
valuation date have been used and it has been assumed for valuation purposes that there will not be
any changes in the future.
NOTE I I - CONTINGENT LIABILITIES:
The City has received federal and state grants for specific purposes which are subject to review and
audit by the grantor agencies. Such audits could produce requests for reimbursements to the grantor
agencies due to the disallowance of expenditures pursuant to the terms of the grant. It is the opinion
of the City that such disallowances, if any, would not be material.
The City is a defendant in various lawsuits. Although the outcome of these lawsuits is not presently
determinable, in the opinion of the City's counsel, the resolution of these matters will not have a
material adverse effect on the financial condition of the Citv.
NOTE 12 - RISK MANAGEMENT:
The City is exposed to various risks of losses related to tort; theft of, damage to, and destruction of
assets; errors and omissions; natural disasters; injuries to employees; and self-insured employee
health. The City purchases commercial insurance for property, general liability claims, and title
insurance and has effectively managed risk through various employee education and prevention
programs. All risk management activities are accounted for in the general fund.
The City has estimated that the amount of actual
September 30, 2013, will not materially affect the
amounts have not exceeded insurance coverage for the
or potential claims against the City as of
financial condition of the City. Settlement
current year or the three previous years,
60
CITY OF PRATTVTLLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30. 2013
Employees' medical insurance fund - The City maintains the employees' medical insurance fund (an
internal service fund) to account for and finance its uninsured risks of loss. Liabilities of the fund are
reported when it is probable that a loss has occurred and the amount of the loss can be reasonably
estimated. Liabilities include an amount for claims that have been incurred but not reported
(IBNRs). The result of the process to estimate the claims liability is not an exact amount, as it
depends on many complex factors. The estimate of the claims liability includes amounts for
incremental claim adjustments related to specific claims and other claim adjustments regardless of
whether they are allocated to specific claims. Estimated recoveries are another component of the
claims liability estimate. An excess coverage insurance policy covers individual claims in excess of
$100,000. Changes in the balances of claims liabilities during the year are as follows:
EMPLOYEES' MEDICAL INSURANCE
FLTND
Unpaid claims, beginning of fisc al year
Incurred claims (including IBNRs)
Claim payments
Unpaid claims, end of fisc al year
$ 128,300 $ 173,600
2,931 ,018 2,56r,453
(2,888,3 I 8) (2,606,7 53)
$ 17 1,000
--
128,300
2013 2012
NOTE 13 . RELATED PARTY TRANSACTIONS:
The City chose the Water Works Board of the City of Pratwille as the collection agent for the sewer
and sanitation collection fees. The City recognizes revenue for services when billed by the Water
Works Board of the City of Prattville. The amount receivable to the City for sewer and sanitation
collection fees at September 30,2013 was $490,918.
The City imposes a 3% license fee on gross water receipts. The 3% fees are collected by the Water
Works Board of the City of Prattville from charges to water customers on their monthly water bill
and remitted to the City annually on January 1. The receivable from the Water Works Board of the
Cify of Prattville for license fees at September 30, 2013 was $120,906.
On May 1, 2006, the City of Prattville, Alabama entered into a lease agreement with the Historic
Prattville Redevelopment Authority to lease a building on West 4' Street. The term of the lease is
five years with quarterly rent payments of $8,183. The City of Prattville, Alabama paid $32,732 in
rent payments to Historic Prattville Redevelopment Authority during fiscal year ended
September 30, 2013.
6l
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.2013
The City appropriated $265,000 to the Library, $50,000 to the Airport Authority, and $55,000 to the
Historic Prattville Redevelopment Authority, all component units, during the fiscal year ended
September 3A,2013. These appropriations made were used as operating subsidies.
NOTE 14 - FLTNDING AGREEMENT:
On September l, 2006, the City of Prattville, Alabama entered into a funding agreement with the
Cooperative District of the City of Pratwille (the District), a public corporation, simultaneously with
the District's issuance of Limited Obligation Taxable Economic Development Bonds (Bass Pro
Project), Series 2006 which were used to finance the acquisition, construction, and installation of a
retail shopping center and related improvements in the City of Prattville, Alabama. The funding
agreement provides that the City agrees to collect certain taxes on persons, firms, and corporations
which sell at retail certain tangible personal property (excluding automotive vehicles) in the area
owned by the District. Pursuant to the funding agreement, the City will collect and remit to First
Commercial Bank, the trustee of the District's bond indenture, an amount equal to 2,5% of the gross
proceeds of such sales through the earlier date of September 2026 or full payment of bonds. The
Limited Obligation Taxable Economic Development Bonds (Bass Pro Project), Series 2006 do not
constitute an obligation of the City of Prattville, Alabama.
In December 2008, the City of Prattville, Alabama entered into a funding agreement with The
Exchange Cooperative District (the District), a public corporation to provide assistance in connection
with proposed financing, construction, and installation of a retail shopping facility and related
improvements in the City (the Project). The funding agreement provides that the City agrees to
collect Project sales tax revenues and remit 50% of the City's actual receipts from the businesses
located within the Project to fund the indebtedness of The Exchange Cooperative District. Payments
under the agreement shall be made directly to the Trustee for the account of the District, if requested
by the District, otherwise, all payments shall be made to the District or to the Dishict Director. The
maximum amount shall be the aggregate amount necessary to amortize $9,000,000 over thirry (30)
years at an average yield. The average yield is the annual cost of any credit enhancement or
remarketing fees expressed as a percentage, plus the average yield of the District's tax-exempt
indebtedness, if any, or if no tax-exempt indebtedness is outstanding, the average yield of all of the
indebtedness of the District, in the event the indebtedness is refinanced or fully satisfied. The City
shall have no obligation to make any payment from any other sources. Any indebtedness issued by
The Exchange Cooperative District does not constitute an obligation of the City of Prattville,
Alabama.
62
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.2013
NOTE 15 - COMMITMENTS:
The City has a contractual commitment with the Autauga County Commission for the funding of the
metro jail facility. The contract provides for annual payments of no less than S325,000 for a period
of 20 years. Monthly payments on the commitment commenced when the facility became
operational in July 2004. These annual payments include facility rental payments of $ 160,000 and
operating cost of a minimum of $165,000. The City paid a total of $418,507 during the fiscal year
ended September 30, 2013.
The City entered an agreement to support the indebtedness incurred to finance property of the
Historic Prattville Redevelopment Authority with an annual allocation in the event that the lease
ilrangements on the financed property prove not to be financially viable. The initial loan balance on
the property totaled 5252,200. The loan balance as of September 30, 201 3 was $ l4l ,726.
On March 30, 2009, the City entered into a contract with an engineering company to provide
engineering services related to the widening and resurfacing of McQueen Smith Road from South
Memorial Drive to Cobbs Ford Road. The contract amount is $642,704, This cost of the contract is
federally funded at80Vo up to $520,000, and the remainder is to be paid from the City's funds.
contractors on capital projects are as follows:As of September 30, 2013, commitments to
Commitments
Spent-to-date
642,704
(5 I 1,47 l)
Remaining commitments 13 I ,233
NOTE 16 - EFFECT OF NEW PRONOLTNCEMENTS:
Management has not currently determined what, if any, impact implementation of the following
statements may have on the financial statements of the City.
GASB Statement No. 65, Items Previously Reported as Assets and Liabilities. This
statement establishes accounting and financial reporting standards that reclassiff, as deferred
outflows of resources or deferred inflows of resources, certain items that were previously
reported as assets and liabilities and recognizes, as outflows of resources or inflows of
resources, certain items that were previously reported as assets and liabilities. The
requirements of this statement are effective for the periods beginning after December 15,
20t2.
63
CITY OF PRATTVILLE. ALABAMA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30.2013
NOTE 16 - EFFECT OF NEW PRONOUNCEMENTS: (continued)
GASB Statement No. 68, Accounting and Financial Reporting for Pensions; an amendment
of GASB Statement No. 27. This Statement replaces the requirements of Statements. No. 27
and No. 50 related to pension plans that are administered through trusts or equivalent
anangements. The requirements of statements No. 27 and No, 50 remain applicable for
pensions that are not administered as trusts or equivalent arrangements. The Statement
requires governments providing defined benefit pensions to recognize their long-term
obligation for pension benefits as a liability, and to more comprehensively and comparably
measure the annual costs of pension benefits. The Statement also adds revised and new note
disclosures and required supplementary information. The requirements of this Statement are
effective for financial statements for fiscal years beginning after June 15, 2014.
64
REQUIRED SUPPLEMENTARY INFORMATION
THIS PAGE INTENTIONALLY LEFT BLANK
CITY OF PRATTVILLE, ALABAMA
REQUIRED SUPPLEMENTARY INFORMATION
SCHEDULE OF FUNDING PROGRESS OF THE CITY'S DEFINED BENEFIT
PENSION PLAN
LAST THREE FISCAL YEARS
ACTUARIAL
VALUATION
DATE
September 30, 2010
September 30, 201 I
September 30, 2012
ACTUARTAL
VALUE OF
ASSETS
(a)
$ 29,286,356
29,406,664
29,7 52,154
ACTUARTAL
ACCRUED
LIABILITY
(AAL)
ENTRY AGE
(b)
$ 43,165,309
42,166,299
40,7 60,572
UNFLTNDED
AAL
(UAAL)
(b-a) - -
$ I 3,878,953
12,7 59,635
I I ,008,41 8
67 ,8% $14,949,370
69.7% 13,066,762
73,0% 12,341,426
UAAL AS A
PERCENTAGE
OF
FLTNDED COVERED COVERED
RATIO PAYROLL PAYROLL
(a/b) (c) ((b-a)/c)
92$%
97.6%
89,2%
65
CITY OF PRATTVILLE, ALABA]\4A
REQUIRED SUPPLEMENTARY INFORMATION
SCHEDULE OF FTJNDING PROGRESS OF THE CITY'S
POST-EMPLOYMENT BENEFITS OTHER THAN PENSIONS
LAST THREE FISCAL YEARS
ACTUARIAL
VALUATION
DATE
September 30,2010
September 30, 2011
September 30, 2012
ACTUARIAL
VALUE OF
ASSETS
(a)
ACTUARIAL
ACCRUED
LIABILITY
(AAL)
UNIT CREDIT
(b)
LTNFUNDED
UAAL AS A
PERCENTAGE
OF
AAL FLTNDED COVERED COVERED
(UAAL) RATIO PAYROLL PAYROLL
_ (b-a) - . !./9) .(c) ((b-a)/c)
-0- $
-0-
-0-
2,854,883 $ 2,854,883
2,969 ,07 8 2,969 ,07 8
3,848,992 3,848,992
0,a% $14,2a7,1 3l
0.00h 13,110,114
0,00h 13,570,036
20%
23%
28%
66
STATISTICAL SECTION
This part of the City of Prattville, Alabama's comprehensive annual financial report presents detailed information as a context
for understanding what the information in the financial statements, note disclosures, and required supplementary information
says about the City's overall financial health.
CONTENTS
Financial frends
These schedules contain trend information to help the reader understand how the City's financial
performance and well-being have changed over time.
Revenue capacity
These schedules contain information to help the reader assess the factors affecting the City's
ability to generate its sales taxes.
Debt capacity'l hese schedules present rnlbrmation to help the reader assess the attbrdabilrty ofthe Crty's current
levels of outstanding debt and the City's ability to issue additional debt in the future,
Demographic and economic information
These schedules offer demographic and economic indicators to help the reader understand the
environment witlrin which the City's financial activities take place and to help make comparisons
over time and with otler govemments.
Operating information
These schedules contain information about the City's operations and resources to help the reader
understand how the City's financial information relates to the services the City provides and the
activities it performs.
PAGE
67
72
76
80
83
Sources: Unless otherwise noted, the information in these schedules is derived from the comprehensive annual financial reports.
THIS PAGE INTENTIONALLY LEFT BLANK
CTTY OF PRATTVILLE. ALABAMA
SCHEDULE I
NET POSITION BY COMPONENT
(accrual basis of accounting)
2006 2AA7 2008 2009 2010 201 I 2012 2013
GOVERNMENTAL ACTIVITTES :
Net investnent in capital assets
Restricted
Unrestricted
Total governmental activities net position
BUSINESS-TYPE ACTTVTTIES:
Invested in capital assets, net of related debt
Unrestricted
Total business-[pe activities net position
PRIMARY GOVERNMENT:
Net investrnent in capital assets
Restricted
Unrestricted
Total primary govemment activities net position
2004
$ (835,480)
2,710,330
g3g,g70
_s 2343,820
2005
$ 200,301
2,670,892
(477,82t)
_$23e33n_
s t,747,5t6 S 23,286,126 526,252,599 $27,913,767 $ 28,197,019 $ 33,144,191 $31,400,291 $36,395,76312,053,513 6,911,387 6,238,962 3,761,598 851,251 653A78 803,180 901,190
(29,sr4,3161 (28,r62,e24) (42,378,700) (44,366,9ffi' (46,2s6,970) (42,282,379\ (3s,2s4,724) (2e,62s,tee)
_! r4t41_ _!__411t!2_ _qE gqJ_12_ _lg42ues)_ _lSzrggJgg_ _q_G,48449t _$11,05r,2s!I _!J_sTt:!_
$ 3,751,152 $ 4,236,099
_ 1,467,034 2,519,076
$ - $ - $5,218,186 $6,755,175
s r,747,516 S 23,286,t26 $26,252,599 527,913,767 $ 28,197,019 $ 33,144,191 $35,151,443 $40,631,86212,053,513 6,911,387 6,238,962 3,761,s98 8s1,251 653,478 803,180 901,190
(29,514,316) (28,162,924) (42,378,700) (44,366,9ffi) (46,2s6,97o) (42,282,379' (33,787,690) (27,106,123)
_!115.?t3,28?t _L_Z91IJ!2_ _!A,9!1J3e)_ _!C421I21_ _!111?9!l!q_ _!__GMtlE _!_?J!glti_ _tt4.426s2e_
o\{
j-
$ (835,480)
2,710,330
838,970
$ 2,74:j,82Q
$ 200,301
2"670,892
{477,821\
_s23%3n_
GOVERNM ENTAL ACTIVITIES
EXPENSES:
Governmental activities :
General government
Public sfety
Public works
Cultural and recreational
lnterest on long-term debt
Total govemmental activities expens€s
PROGRAM REVENUES:
Governmental activities :
Charges for services:
General government
Public safety
Public works
Cultural and recreational
Operating grants and contributions
Capital grants and contributions
Total governmental activities program revenues
Total primary govemment net expense
GENERAL REVENUES AND OTHER CHANGES IN NET POSITION:
Govemmental activities:
Taxes:
Sales taxes
Real and personal property taxes
Motor fuel taxes
lntergovernmental
lnvestment earnings
Miscellaneous revenue
Gain (loss) on sale of capital assets
Transfers
Total govemrn€ntal activities general revenues
and other changes in net position
Total governmental activities change in net position
20f | 2012 20t3
$3,536,671 $4,238,631 $4,86t244 $5,350,00t $6,765,361 $8,093,710 59,t24,t72 $6,9E4,31t $6,868,707 $6,613,871
11,s21,996 t2,485,t23 ll,&2,t33 u,6t0-t24 13,028,713 t3,401,417 14,719,827 13,369,0t3 t2,9t8;t0l l4,ll5,9ll6,fE4,r00 6,033,293 2s,283479 6,548,115 20,54t,tM 8,005,s00 8,7ss,792 7,23s,4U 3,5lEpl5 3;t03;t6l2,236,072 2362,297 2,098,474 2,38r,700 2,s02,3'1s 2,s49t80 2,449,1U 2,O8O,@2 1,76695E r,830.376678,652 606,59t I,188,3t5 2,M'1,2t3 2,327,227 2,445,024 2,585,660 2,460,545 2,195,M8 1,9'n,907
24,157,491 2s,72s,935 4s973,64s 27,93'1,7@ 4s,164,78O 14.1.95,t6t 37,634,63s 32,129,992 27267A29 28,235,E26
3,231,3210 3,580,3t3 f,939,277 4,654,085 5,183,865 4,mt,8r9 4,874,993 4,990,894 5,351,940 s,s2s,U11,292,271 r,3r0,831 t'4t7,909 1.4&,651 1,781,289 1,20t,853 t,287,322 rJ53,fi4 1,517,963 t,66t,549
3,&Orr0 2,993,596 3,2t9,938 3,969,798 3,930206 3,92t,43s 4,412,889 5,400,680 264,744
213,697 209,t31 226,ffi 303,580 318,697 26t429 265,M4 238279 234,899 209,03r
304,866 265,2s2 1,015,035 385,083 460,308 3t3,642 206,761 193,703 I t2,012 224,060
.1,245,578 1,975,5M 2,037,803 2,122,469 5,847,250. 2,658,548 4,U1,69A
8,082,384 8,359,823 9,8t8,819 12,022,775 13,649,869 12,644,941 13,t69,478 18"223,850 tO,t4O,tO6 12,262,177
(16,075,107) (r7,166,112) (35254,826) (15,914,985) (3r,514,911) (21,850220) Q4A65,r57', (13,906,142) (l?,127,323) (ts973,649\
20082004 2005
CTTY OF PRATTVILLE. ALABAMA
SCHEDULE 2
CHANGES IN NET POSITION
(accrual basis of accounting)
2006 2007
14,199,349 14,729,824 15,365,612 15,965,129
1,638,862 1,798,544 2,065,975 2,273,782
242,684 242,416 243,557 239,897
15,357 20,228 17,753 9,092
165,783 182,995 644,767 232,387772,830 742,006 530,5U 872"896
(19,201)
2009 2010
15,890,723 16,796,679 19,432,210 22,456,057 23,550,637
2381,450 2,500,129 2,545,750 2,688,777 2,651,051
238,361 240,547 239,616
9,159 161,534 153,240 286,88339,410 42,318 32,621 26,685 69,467386,661 206,845 226,695 476,471 625,501
o\m
I 3,360,23l
1,543,217
241,512
16,458
160,&6
740,819
10,955
(3,374,093', (200,000)
16,133,836 17,015,664 17,716,013 18,868:08 19,593,183 r9,0/.s,7& t9,948,Os2 22,630,132 22,s6O,78O 26,696,6s6
$ s8,731 $ (350,448) $(17,538,813) S 2,953,223 $til,921,728) $(2,804156) $(4,5t7,105) $ 8,723990 $ s,433J57 $10,723,00?
CITY OF PRATWILLE. ALABAMA
, SCHEDULE 2
CHANGES IN NET POSITION
(accrual basis of accounting)
2004 2005 2006 2007 2008 2009 2010 20rr 20t2 2013
1,842,671 1,333,541
BU S INESS.ryPE ACTIVITIES
E,XPENSES:
Sanitation
Wastewater
Total business-type activities expenses
REVENUES:
Charges for services:
Sanitation
Wastewater
Capital grants and contributions:
Wastewater
Total business-t)lpe activities revenues
Total business-type activities net program revenue
OTHER CHANGES TN NET ASSETS
Miscellaneous revenue
Transfers
Total business-type activities change in net position
Total primary government change in net position
$ 2,069,318 S 2,230A97
2,515,354 2,765,87s
4,584,6't2 4,996,372
2,392,771 2447,U4
3,874,244 3,E51,66E
160.324 30.4016427J43 6,329,913
|,422
3374,493
3,448
200,000o\\o 3.375.515 243-448
$ 5,218,186 $ 1,536,989
_{_5841_ _!_$:!3M _X!-Zf]gq]]I _!_J9s3223_ _!.9!,e2r,i2gt _$_(2,804,459_ _! (4.5r7.r05l _{_q.723929_ _!_!-0.651,911_ _!_12,25e99!_
Note: Business-type activities prior to 2012 were accounted for as governmental activities-
CITY OF PRATTVILLE. ALABAMA
SCHEDULE 3
FUND BALANCES OF GOVERNMENTAL FUNDS
(modified accrual basis of accounting)
GENERAL FUND:
Reserved
Unreserved
Nonspendable
Restricted
Committed
Assigned
Unassigned
Total general fund
ALL OTHER GOVERNMENTAL FUNDS:
Reserved, reported in:
Capital projects fund
Reserved, reported in:
Debt service fund
Unreserved, reported in:
Special revenue funds
Unreserved, reported in:
Debt service fund
Unreserved, reported in:
Capital projects fund
Restricted
Committed
Assigned
Unassigned
2004 2005
$ 2,063,054 S 1,777 ,r14(520,470) ( t,429,357)
$ 2,031,204 $ 944,030
(1,370,935) (545,442)
2008 2049 2010
$ l,l 81,267 $ I,043,077 $ 821,293
(744,577 ) (3 16,5 t 7) (2,313,284)
2006 2007
$ ( 1 ,49 1,99 1)
20Ll
$ 159,850
653,478
12,185
172,653
550,285
$ 1,548,451
2012
$ 98,908
204^694
2,567.260
1,235,310
I ,099., 168
_$1,205'319_
20r3
$ 102,322
280.424
3,381,590
261,383
3,053,554
_s 7 ,079 273__$__1J12ff1_ _s 34? Jsl_
$ 492,482 $ 664,,592
$ 660,269 $ 398,588 $ 436,690 $ 726,560
{
350,577
270.,241
88,158
264,820
$ 6,176,905
2,,654,17 5
326,192
258,009
2,964,424
5 I 1,735
255,06r
63,082
(61,295',)
$ 2,371,105
858,397
373,568
169'558
25,258
618,868
80'178
566,257
(357,885)
2,607,652 $ 2,510,352
1,060,466 1,192,527
2,425,627 2,053,100 2,445,873 2,47 1,886
480,627
Totalallothergovernmentaltunds $3,538,927 $3,070,670 512,379,705 $ 6,880,787 $6,176,552 $3,797,E86 $ 907,418 $ 480,627 $ 598,486 $ 1,1214,630
Note: Periods prior to 20 I I have not been retroactively restated for the impact of Statement No. 54 of the Govemrnental Accounting Standards Board:
Fund Balance Reporting and the Govemmental Fund Type Definitions.
598,486 $ 620,7 66
20,573
503,290
I
REVENUES:
Sales taxes
Real and personal property taxes
Motor fuel taxes
Licenses and permits
Intergo vernmental revenues
Charges and fees for services
Fines and forfeitures
Interest
Miscellaneous
Total revenues
EXPENDITURES:
Unreserved, reported in:
Current:
General govemmental
Public safety
Public works
Cultural and recreation
Capital outlay
Debt service:
Principal paya:rents
lnterest and fiscal charges
Bond issuance costs
Total expenditures
Excess of revenues over (under) expenditures
OTHER FINANCING SOURCES (USES):
Transfers in
Transfers out
Transfers to component units
Issuance ofbonds
Issuance of refirnding bonds
Issuance of notes payable
Proceeds from capital lease
Payment to refunded bonds escrow agent
Sale of capital assets
Bond premium (discount)
Total other financing sources (uses)
Net change in fund balance
Debt service as a percentage of noncapital expenditures
CITY OF PRATTVILLE. AT ARAMA
SCHEDUIE 4
CHANGES IN FTIND BALANCES OF GOVERNMENTAL FUNDS
(modified accrual basis of accounting)
2004 2005 2006 2AA7
3,488,777 4,16L,340 4,825,371 5,261,945 6,280,215
10,733,001 11,665,559 11,141,574 11,153,949 12,746,727
5,017,663 5,613,345 24,664,571 5,588,300 18,984,015
1,761,700 I,780,612 1"796,512 2,005,573 2,152,013
1,391,229 2,193,165 2,493,938 8,505,999 3,756,955
6,318,533 7,537,961 5,973,871 5,757,5& 5,039,57L
12,989,658 14,023,058 L2,712,387 12,346,346 11,852,136
7,182,300 8,007,685 6,5L9,457 3,332,207 3,2t0,261
2,488,332 2,371,770 1,749,355 L,434,309 1,436,057
2,811,090 3,290,520 478,136 379,900 1,769,645
2008 2009 2010 201 I 20t2 201,3
$15,144,960 $14,199,349 $14.729.824 $15,365,612 $15,965,129 $15,890,723 516,796,679 $19,432,210 $22,4s6.0s7 $23,550,637
1,638,862 t,798,544 2,065,975 2,273,782 2,481,450 2,500,t29 2,545,750 2,688,777 2,651,051
242,6U 242At6 241,557 239,898 238,361 240,547 239,616
3,231,340 3,580,313 3.939,277 4,654,085 5,183,865 4,901,819 4,874,993 4,990,894 5,351,940 5,525,U7
321,324 280,609 780,502 222,043 302,118 343,156 2t7,70I 153240 548,280 I,103,096
4,133,186 4,177,380 4,5ll,611 5,319,420 5,493,106 4,905,652 5,564,563 6,655,705 1,223,888 1,284,750
4t2,392 336,878 352,896 418,609 537,086 486,065 400,692 536,298 532,32t 630,728
644,772 232,387 39.410 M,844 32,621 26,685 67,371
901,465 938,613 1,170,940 849" 160 1,197,161 1,109,616 1,099,914 909,449 1.067,962 1,030,355
24,t45,26? 25J%rS8 27,526,0t0 2rJlf.,zn 31,424,5n 30,3%,252 3\740W 35,4%,7n X.895,9t0 35343335
1,567,485 1,476,500 2,s99,045 1,418,665 t,445,9t2 1,816,556 2331J& 9,073,190 4,070,296 4,0ll,l2l
674,599 650279 650,342 t,9t7,209 2,158,816 2,430,712 2,465,127 2,492,666 2,230,996 2,165,133
85,000 741,010 366,450 217,411 83,464
24,7t9A54 27,540,800 48,912,363 35,851,640 47,891,t03 36,037,181 40,244,896 38,999,062 29,5s1,618 29,567,388
(574,187) (2,146,112) (21,386,353) (6,068,407) (16,466,571) (5,640,929) (8,504,834) (3,504,279) 4,344,292 6,276447
3,209,831 4,46t246 32,2s4,124 4,979,825 16,586,498 7,276,949 3,t49,228 5,525,970 4,610,138 5,215,833
(3,209,831) (4,46r,246) (32,2s4,r241 (4,979,82s) (16,586,498) (7,276949\ (3,t49228) (s,525,970) (4,699,05s) (9,36r,58s)
(201,7s0) (302,350)
2,085,000 30,470,000 15,300,000 1,621,373 2,670,000
6,315,000 9,815,m0
625,000 625,000 136,099 1,000,000 300,000 5,637,303373,259 t57,792 307,808 45t,767 930,760 260,000(6,322,926',) (eA34,6re)
272,836 2,586
z,s2s.4s 4s3p2s =ffi 30?',08 #iiP 3rrrx --## 5'u,?r0r (ss,r?) t#i
_!_1,e55.r5!_ _$_(!,6619!11_CI_!0,18e.121_ _!._gJggt92)_ _!__$ggJ:l_ _!__(z'0!u2gl _!__GJ!2I12_ _S.__a!33CI1_ _l_4.255.375_ _)__2.4n.073_
9.78%8.49%122r%8.85%t2.74%13.54o/o 2L.6loh 22.37%
CITY OF PRATTVILLE. ALABAMA
SCHEDULE 5
NET TAXABLE SALES BY CATEGORY
Apparel stores
Food stores
Automotive
Manufacturing machine
Restaurants
Home furnishings and appliances
Building materials
Service stations
Other retail stores
Totals
City direct sales tax rate
Source: City's Finance Department.
2045 2006
$ 45,541 ,937 $ 44,070,516
78,477 ,260 79 ,l19,35 I
90,016,728 78,357 ,966
59,626,869 63,443,3944,599,982 5,138,448
44,164,704 44,491,167
8,639,890 9 ,7 65,852
111,509,853 118,363,518
$ 44,057 ,97 3 $ 49 ,891 ,5 1 0 $ 6r ,7 66.,37 3
75,830,662 7A,156,,573 73,331,244
7 4,7 34,128 65,3 84,5 86 46,030,67 4
| ,225,203 I ,8 I 3,5 1 7
62.,844,097 51,658,420 53,838,468
6,693,246 13,638,375 21,877,677
36,036,047 48,684,662 39,460,896
10,784, 193 2l ,7 6l ,093 22,983 ,026
149,544,076 256,892,888 244,770,686
2004
$ 40,062,414
7 5,47 5 ,57 3
96,341,702
57 ,047,006
5,1 57,1 60
37,753,,39r
6,428,097
104,053,618
$ 422,3 1 8,96 t
2.50%
20 10
$ 72,438,782
7 1,839.,635
58,984,572
1,5L2,332
62,888,874
20,566,253
39,128,465
22,447,212
262,697,325
20Ll
$ 81,049,639
77,704,211
63,1 59,678
r,512,272
69,407,860
17 ,869,458
4L,682,202
2I,425,351
266,079,295
2012
$ 78,,698,228
7 6,108,625
62,669,770
1 ,855, 136
72,159,8 19
17,145,730
40,414,3 50
I 5, 120,821
253,,682,787
2013
$ 78,722,449
77,168,242
68,449,77 4
2,025,497
83,073,365
16,256,815
42,467,529
19,967 ,285
259,689,798
2047 2008 2009
s442,577,223 $442,750,2t2 $460,524,422 $s79,293,310 $565,872,56r $612,503,450 $639,889,966 $ 617,855,266 $647,8-2_094
2.50%2.s0%2s4%2.s0%2.50%2.50%350%350%3.s0%
{N)
201l
CITY OF PRATTVILLE. ALABAMA
SCHEDULE 6
SALES TAX REVENUE PAYERS BY CATEGORY
FISCAL YEARS zO04 THROUGH 2OI3
20r2 2013
NUMBEROF TAX
OF TAX REMITTED
TAX TOTAL TAX BY TOP TEN
FILERS LIABTLITY LIABILITY TN?AYERS FILERS LIABILITY LTABILITY TAXPAYERS FILERS LIABILITY LIABILITY TAXPAYERS
PERCENTAGE PERCENT OF
OF TAX REMITTED NUMBER
TOTAL TAX BY TOP TEN OF
PERCENTAGE PERCENT OFOF TAX REMITTED NUMBER
TOTAL TAX BY TOP TEN OF TAX
PERCENTAGE PERCENT OF
Apparel stores
Food stores
Automotive
Machine
Restaurants
Home furnishings and appliances
Building materials
Service stations
Other retail stores
Totals
1,7 $ 2,300,0088 2.205.072
13.81% 7.69013.24% tt.e1%
1.90o/o
0.07o/o
l r.83%3.05% 2.t80h
7.r0% 6.20%
3.650/o
20 $ 2.754,4388 2,663,802
13.3V/o 10.30%t2.95% r2.t4%
1.5204
0.Q7o/o
12.28o/o2.92o/o 2.23%
6.88% 6.410/o
2.570h
22 $ 2,755,2868 2,700,88823 342,24922 15,18885 2,907,568
13.400 8.900h
t3.13% tt.500h
1.66o/s
0.07%
14.l4%o
2-77o/o 2.00o/o
7.23o/o 6.300
3.40o/o
27
25
315,798
11,342
23
2L
_lg2_
313,349
13,91395 r,969,640
t2 507.0958 1.182.848
81 2.525,594t2 600,t01
8 1,4r4,5Q2
25 529-229
T2 568.989g 1,496,364
25 698,855
9 8 7,550,736 45.35% 9.22yo 931 8,878,898 43.l8yo 6.1,50/0 931 9,089,143 44.20o/o g"l0oh28 608.003
_1,-E!_ _$_16,650,542_ 100.00%
2008
$ 19,693,925 95.77%100.00%
20r0
-J(,
NUMBER
OF
FILERS
PERCENTAGE
OFTAX TOTAL TAXLTABILITY LIABILITY
PERCENT OF
TAX REMITTED NUMBER
BY TOP TEN OF
TAXPAYERS FTLERS
PERCENTAGE
OFTA)( TOTAL TAXLIABILITY LIABILITY
PERCENT OF
TAX REMITTED NUMBER
BY TOP TEN OF
TAXPAYERS FTLERS
PERCENTAGE PERCENT OFOF TAX REMITTEDTAX TOTALTAX BY TOP TEN
LIABILITY LIABILITY TAXPAYERS
Apparel stores
Food stores
Automotive
Machine
Restaurants
Home furnishings and appliances
Building materials
Service stations
Other retail stores
Totals
t4 $ 1.247.2887 1.753.91425 326.923
t7 9.189
84 1.291.461
T2 340,959
8 L,2l7.ll1
28 544.027
9"48%
1333ah
2.49o/o
0.07Vo
9.82"
2.59o/o
9.25o/o
4.14o/o
6.00o/o
12.56Yo
1,.3504
1,.35%
7.900
t2.48%
Ll,.70o/o
L3.89o/a
1.7404
0.to%
14.20%
4.15o/o
7.48o/o
4.35o/o
8.490h
12.250
2.54%
6.74o/o
rc.70%
L2.84Yo
1,2.73Yo
2.09o/o
0.08%
I I .15%
3.6504
6.94%
3.98o/o
8.05%
r 1.83%
2.MOA
6.220
9.55A
L4 $ 1,544,1598 1,833,281
24 230,t53
22 13,601
89 1,345,962
12 546,942
8 986,522
30 574-576
17 $ 1,810,970
1,795,991
294,923
Lr,342
1,572,222
514,156
978,212
561, I 806,565,423 46.54yo
8
27
25
90
t2
8
29
9641,150 6,422,322 48.83%
__1,13:_ _$_llJl!gg_ 100.00%
4639%
100.00%_1,1!9_ _$-11J04412_ 100.00%
CITY OF PRATTVILLE. ALABAMA
SCHEDULE 6
SALES TAX REVENUE PAYERS BY CATEGORY
FISCAL YEARS 2OO4 THROUGH 2OI3
PERCENTAGE PERCENTOF PERCENTAGE PERCENTOF PERCENTAGE PERCENTOFNUMBER OF TAXREMITTED NUMBER OF TAXREMITTED NUMBER OF TAXREMITTEDOF TAX TOTALTAX BYTOPTEN OF TAX TOTALTAX BYTOPTEN OF TAX TOTALTAX BYTOPTENFILERS LIABILITY LIABILITY TAXPAYERS FILERS LIABILITY LIABILITY TAXPAYERS FILERS LIABILITY LIABILITY TAXPAYERS
9 $ I,138,548 1229% ll.l5% 9 $ I,101,763 ll.600/o lQ.3lo/o 13 $ I,101,,149 10.99% 8.10%
6 1,961,932 2t.t8% 2t.tt%o 6 t,977,984 20.820/o 20.550/o 7 1,895,767 18.92./o t7.1to/o
31 450,084 4.86% 2.82o/o 30 391,790 4.12o/o l.5lo/o 26 373,671 3.73o/o 1.680/o
70 1,490,672 t6.09%75 1,57t,102 t5.68%l0 167,331 r .67%Home furnishings and appliances l0 I15,000 1.24%
6 l,l04,l 18 Ll.gzo/o to.92% 6 t,llz,2'19 tt.7to/o to.Ttyo 8 900901 8.99/o 7.82o/o30 2t5.997 2.33%30 2M.146 2.57o/o 28 269,605 2.690/0943 2,787,746 30.99% t1.93% 955 2,959,088 3r.t40/o tt.8vyo 1,056 3,738,602 3'1.33yo 1Q.980/o
____!!05_ _s e264,0e1_ 100.00%
2004
I,l 15 $ 9,501,596 100.00%_!p__$_t0,0r8,42!_ 100.00%
PERCENTAGE PERCENT OFNUMBER OF TAX REMITTEDOF TAX TOTALTAX BY TOP TEN
FTLERS LIABILITY LIABILITY TAXPAYERS
Apparel stores 9 $ 1,001,560 lL.6lYo L0.45yo
Food stores 5 1,886,889 21.86% 21.78%
Automotive 30 481.709 5.58o/o 2.4304
Machine
Restaurants 65 I,426,175 16.52%
Home furnishings and appliances 7 128,929 l.49o/o
Building materials 6 943,835 l0.94yo 10.18%
Service stations 28 160.702 1.86%
Apparel stores
Food stores
Automotive
Machine
Restaurants
Building materials
Service stations
0ther retail stores
Totals
Other retail stores
Totals
69 1,586,085 16.69%
l0 128,461 t.350/o
-ts
88,2 2,60t,340 30.t4% tz.OAoA
1,033 $ 8,631,139 100.00%
Note: Due to confidentiality issues, the nam€s of the tm largest Henue paym rc not available- The categories pGmted
ar€ intmded to prcvide altmtive infomtion regarding thc surces of the City's revenue.
CITY OF PRATTVILLE. ALABAMA
SCHEDULE 7
DIRECT AND OVERLAPPING SALES TAX RATES
FISCAL
YEAR
CITY
DIRECT
RATE
AUTAUGA
COLINTY
DISTRICT
TAX
STATE OF
ALABAMA
TOTAL
SALES
TAX
2004
2005
2006
2007
2008
2009
2010
20t I
20t2
20t3
FISCAL
YEAR
2,50h
25%
2.50h
2.50
2,sYo
2,50
2,50
35%
3,50h
3,50
CITY
DIRECT
RATE
ELMORE
COTINTY
DISTRICT
TAX
4,000h
4.0004
4.00%
4.004h
4,0004
4,000h
4.00%
4.00%
4,000
4.000
STATE OF
ALABAMA
9.50/o
9,50
8.s%
g.5yo
9.50/o
8,50h
g.svo
9,50A
95%
9.50h
TOTAL
SALES
TAX
2%
2%
2%
2%
2%
2%
2%
2%
2%
2%
2004
2005
2006
2007
2008
2009
201 0
201 I
20t2
2013
2.50
2.sya
25%
2.50h
2.s%
2,50A
3,syo
35%
3,50/o
3.50
T%
r%
r%
I%
t%
t%
t%
r%
L%
t%
T%
t%
r%
t%
T%
T%
t%
T%
L%
t%
4,Oao6
4,0004
4.000h
4.000
4,000h
4,000
4,00%
4.00%
4.00vo
4,000/0
8.50
8.504
g,syo
g,svo
g.syo
8.s%
9,50h
9,504
9,syo
9.50/o
Sources: Cify Finance Departmento Autauga County Revenue Commissioner's Office,
and Elmore County Department of Finance.
75
CITY OF PRATTVILLE. ALABAMA
SCHEDULE 8
RATIOS OF OUTSTANDING DEBT BY TYPE
GOVERNMENTAL ACTTVITIES
FISCAL
YEAR
GENERAL
OBLIGATION
BONDS
TERM
t,OAN
LIMITED
OBLIGATION
WARRANT
1,594,489
1,594,489
|,594.489
1,594,489
1,594,489
1,580,851
r,567,775
BUSINESS-TYPE ACTTVITIES
CAPITAL
LEASE
TOTAL
OUTSTANDING
DEBT
16,400,680
15,081,973
44,647.555
45,133,603
59,449,764
6r.164.822
62,337,354
58,853,728
51,582,494
48,572,784
PERCENTAGE
OF TAXABLE
SALES (b)
3.88%
3.4r%
10.08%
9.80%
10.2604
10.81%
10. l8%
9.20%
8.35%
7.50yo
PERCENTAGE
OF TAXABLE
SALES (b)
0.46%
0.48%
PERCENTAGE
OF TAXABLE
SALES (b)
4.120
3.88%
3.41%
10.08%
9.80%
10.2604
10.81%
10.18%
8.40%
7.ggoh
PERCENTAGE PER
OF PERSONAL CAPTTA
INCOME (a)
2004
2005
2006
2007
2008
2009
2010
2011
20r2
20t3
FISCAL
YEAR
GENERAL
OBLIGATTON
BONDS
TERM
T'AN
$ 99,344
1,025,708
1,803,956
1,755,709
701,035
LIMTTED
OBLIGATION
WARRANT
CAPITAL
LEASE
TOTAL
OUTSTANDING
DEBT
r.29%
r.r0%
3.04%
2.90%
3.62%
3.68%
3.71o/o
3.260h
2.73%
:r
a.r4%
:*
PERCENTAGE
OF PERSONAL
INCOME (a)
1.29o/o
r.r0%
3.O40A
2.90%
3.62%
3.68%
3.7loh
3.26%
2"87%
*
PER
CAPTTA
(a)
$ 349
315
909
906
l,181
1,205
r,142
1,065
978
!t
15.811,724
14.595,000
44.352,609
43.102,M3
56.994,583
57,099,163
57,699,065
54,755,183
49,212,M6
47,005,009
99,344
1,025,708
1,803,956
1,,755,749
701,035
$ 588,956
486,973
294,946
437,071
761,348
1,,445,462
|,239,844
748,347
88,562
349
3r5
909
906
I,l8l
1,205
1,142
1,065
929*
49
*
GENERAL
OBLIGATTON
BONDS
TERM
LOAN
LIMITED
OBLIGATION
WARRANT
PRIMARY GOVERNMENT
CAPITAL
LEASE
TOTAL
OUTSTANDING
DEBT
2,728,074
3,105,101
PERCENTAGE PER
OF PERSONAL CAPTTA
INCoME (a) (a)
2Al2
2013
FISCAL
YEAR
2,490,000
3,095,767
238,074
9,334
2004
2005
2006
2007
2008
2009
2010
2011
20r2
2013
15,81r,724
14,595,000
44,352,609
43,102,M3
56,994,583
57,099,163
57 ,699,465
54,755,183
51,702,046
50,100,776
1,594,489
[,594,489
1,594,489
1,594,489
1,594,489
1,580,851
1,567,775
588,956
486,973
294,946
437,071
761,348
1,445,462
1,239"84
748,347
326,636
9,334
16,400,680
15,081,973
44,647,555
45,133,603
59,449,764
6l,l&,822
62,337,354
58,853,728
54,310,568
51,677,885
Notes: Details reguding thc Citys outstanding debt cm be found in the notes to the financial statements.
(a) See the Schedule of Demographics and Economic Statistics on page 80 for personal income and population data.
@) See page 72 for net taxable sales.
' Information not available.
FISCAL
YEAR
CITY OF PRATTVILLE, ALABAMA
SCHEDULE 9
RATIOS OF NET GENERAL BONDED DEBT OUTSTANDING
LESS: AMOI-jNTS
AVAILABLE
DEBT SERVICE
FLiND TOTAL
2004
2005
2006
2007
2008
2009
2010
20tl
20t2
20t3
GENERAL
OBLIGATION
BONDS
PERCENTAGE OF
NET TN&{BLE
S{L.ES (a)
3,680h
3,24%
9,360/0
9,070
9,6404
9.91%
9.41%
8,560h
9,370
7.70%
PER
CAPITA
(b)
$ 331
299
844
839
I ,109
1,105
1,056
991
931
*
$ 1 5,8 lr ,724
14,595,000
44,352,609
43,102,043
56,994,593
57 ,099,163
57 ,699,065
54,7 55,183
51,702,046
50,1 00,776
$ 270,24r
264,820
2,912,184
1,3 I 5,527
I ,13 1,232
1,027 ,955
80, I 78
5
l0
203,627
1 5,541 ,483
14,330,1 80
41,440,425
41,7 86,5 l6
55,863,351
56,071,208
57 ,61 8,887
54,7 55,178
51,702,036
49,897 ,149
Notes: Details regarding the City's outstanding debt can be found in the notes to the financial statements.
(a) See page72 for net taxable sales.
(b) See the Schedule of Demographics and Economic Statistics on page 84 for population data.
* Information not available.
77
CITY OF PRATTVILLE. ALABAMA
SCHEDULE IO
DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITIES DEBT
AS OF SEPTEMBER 30, 2OI3
GOVERNMENTAL UNIT
Debt repaid with property taxes: Autauga County
Subtotalo overlapping debt
Debt repaid with property taxes: Autauga County
Board of Education Subtotal, overlapping debt
Debt repaid with property taxes: Elmore County
Subtotal, overlapping debt
Debt repaid with property taxes: Elmore County
Board of Education Subtotal, overlapping debt
City of Prattville, Alabama direct debt
Total direct and overlapping debt
DEBT
OUTSTANDING
13,788,124
35,514,143
I ,61 8,854
55,870,71 I
ESTIMATED
PERCENTAGE
APPLICABLE (a)
ESTIMATED
SHARE OF
DIRECT AND
OVERLAPPING
DEBT
6,728,605
17,330,902
106,844
3,687 ,467
5 I ,5 82,494
$ 79,436,312
-
48.80%
48.80%
6.60%
6,60%
Sources: Assessed value data used to estimate applicable percentages provided by the Auiauga County Revenue
Commissioner and Elmore County Revenue Commissioner. Debt outstanding data provided by the County.
Notes: Overlapping govemments are those that coincide, at least in part, with the geogaphic boundaries of the City. This
schedule estimates the portion of the outstanding debt of those overlapping govemments that is bome by the residents and
businesses of the City of Prattville, Alabama. This process recognizes that, when considering the City's ability to issue and
repay long-term debt, the entire debt burden bome by the residents and businesses should be taken into account. However,
this does not imply that every taxpayer is a resident, and therefore responsible for repaying the debt, of each overlapping
govemment.
(a) The percentage of overlapping debt applicable is estimated using taxable assessed property values. Applicable percentages
were estimated by determining the portion of the City's taxable assessed value that is within the County's boundaries and
dividing it by the County's total taxable assessed value.
78
Net assessed value of Taxable Property
Debt limit
Total net debt applicable to limit
L,egal debt margin
Total net debt applicable to the limit
as a percentage of debt limit
CITY OF PRATTVTLLE. ALABAMA
SCHEDULE I I
LEGAL DEBT MARGIN TNFORMATION
2004 2005 2046 2007 2008 2009 20r0 201I 20t2 2013
3213,196,?40 5225,944,8s0 S26/,7r1,2s7 5292,907,660 5338,273A22 $348,899,620 $358,625,820 $353,46r,200 $356,934,340 $401,266,360
42,639,348 45,t88,970 52,942,251 58,581,532 67,6s4,6U 69,779,924 7r,72s,t& 70,692,240 71,386,868 80,253,272
It,845,439 10,899,363 9,1s3,937 9,8s3,367 9,649,304 u,690,201 t4,4t5,694 \2A36A82 9,818,857 t8,697,026
$ 30,793,eO9 $ 34,289,607 $ 43,788,314 $ 48,728,r6s $ 58,005,380 $ 58,089,723 $ 57,309J70 $ 58,255,758 $ 61,568,011 $ 6r,556,246
27.78%24.12o/o 17.294/o 16.82o/o t4.26%16.7504 20.r0% t7.59%t3.7 5%23.30%
trgal Debt Margin Calculation for Fiscal Year 2013
Assessed value
Debt limit (20% of total assessed value)
Debt applicable to limit:
General obligation bonds
Notes payable
Lease payable
Accrued compensated absences
[rss: Amount set aside for repayment
of general obligation debt
Total net debt applicable to limit
kgal debt margin
$ 401,266iq0
s 80,253,272
16,260,000
1,165,776
9,334
1,261,924
243,627
18,697,026
$ 61,556,246
Note: Unds state law, the City of Pmttville, Alabm's ourstanding genml obligation debt slpuld mt sceed 20olo of total 6ssed property value.
aide for rcpaying general obligation bonds.
By law, the general obligation debt subject to the limitation may be offset by amounts set
CITY OF PRATTVILLE, ALABAMA
SCHEDULE 12
DEMOGRAPHIC AND ECONOMIC STATISTICS
CALENDAR
YEAR
2004
2005
2006
2007
2008
2009
2010
zALL
2012
20t3
POPULATTON
46,933
47,870
49,105
49,834
50,354
50,,756
54,571
55,267
55,5 14*
PERSONAL TNCOME
(THOUSANDS
oF DOLLARS)
1,273,284
1,371,084
1,467 ,514
1,555,999
1,644,244
L,660,766
r,679,535
1,804,87 I
1,889,867*
PER CAPTTA
PERSONAL
TNCOME
SCHOOL
ENROLLMENT
9,083 (03-04)
9,282 (04-05)
9,379 (05-06)
9,649 (06-07)
9,819 (07-08)
9,854 (08-09)
10,076 (09- l0)
9,877 (10-ll)
9,825 (11-12)
9,,642(12-13)
AUTAUGA COLINTY
UNEMPLOYMENT
RATE
4.30%
3.20%
2.90%
2.90%
4.s0%
8.60%
8.00%
6.84%
6.80%
5.90%
MEDTAN
AGE
@
27,130
28.,642
29,885
31,224
32,573
32,72r
30,740
32,657
34,043
36. r0
36.46
36.26
36.t6
36.37
36.69
37.00
36.00
Note: Population and median age information are based on surveys conducted during the last quarter of the calendar year. Personal income information
is a total for the year. Unemployment rate information is an adjusted yearly average. School enrollment is based on the census at the start of the school
yeax.
* Unavailable
EMPLOYER
Autauga County Board of Education
lnternational Paper
Wal-Mart
City of Prattville, Alabama
Prattville Baptist Hospital
Autauga County
Prattville Health and Rehabilitation
M-Tek
LoneStar Plastics
Kinedyne
Totals
CITY OF PRATTVILLE, ALABAMA
SCHEDULE 13
PRINCIPAL EMPLOYERS
EMPLOYEES
1,120
s50
348
340
275
240
200
r28
80
70
3,3 I 1
20t3
PERCENTAGE
OF TOTAL CITY
EMPLOYMENT
7 ,3504
3,61%
2.28o/o
2.230/0
I,90%
r,3lo
l.3106
0,840/0
0,520
0,460
2l .7l%
Source: Prattville Area Chamber of Commerce.
Note: Information does not include government employment,
Average number employed in City for 2013 was 15,239
per www2. labor.alabama. gov/LAUS/LAUScities.pdf.
hW i I lwwwz. labor. alabama. gov/LAUS I CLF I citybyyear. aspx?area:0000 I 9
8l
CITY OF PRATTVILLE, ALABAMA
SCHEDULE 14
FULLTIME EQUIVALENT CITY
GOVERNMENT EMPLOYEES BY FLTNCTION
2004 2005 2006 2007 2008 2A09 2010 20ll 70t2 2013
Function/Program
General government:
Executive
Legislative
Finance
City Clerk
Human resources
Judicial
Information technology
Vehisle maintenance
Public safety:
Police:
Officers
Civilians
Fire:
Officers
Civilians
Public works:
Engineering
Planning and development
Street
Sanitation
Wastewater
Urban management
Culture and recreation:
Leisure services
Performing and creative arts
Totals
Source : Human Resources.
.'J
7
7
4
2
4
3
l0
88
5
8l
4
4
9
l8
27
23
22
4
7
7
4
2
4
3
t0
86
5
82
4
4
10
l6
27
26
22
5
7
6
4
2
4
3
9
87
5
75
5
4
I
t4
26
26
22
5
7
7
4
4
4
3I
85
7
85
4
4
l3
l8
28
25
23
5
7
8
4
4
4
aJ
l0
87
I
89
4
5
l3
22
28
26
24
3
7
7
5
4
6
4
T2
90
n
89
4
4
t6
22
30
29
24
2
92
9
4
l4
2l
29
28
3377
76
52
44
65
3l
l0 6
85
7
8l
9
79
7
I l0
74
23
77
65
33
4466
1l
66
88 84
48
81
8
8l
7
9
7
28
25
2l
24 15
22
28
23
l9
l2
I
32
23
23
t2
321 323 313 335 3s2 369 360 325 3ll 315
---G -
Notes: This report includes regular full time employees, regular part time employees (based on full time equivalent employment
calculated by dividing labor hours by 2,080 hours), elected and appointed officials as of September 30 each year.
82
CITY OF PRATTVILLE, ALABAMA
SCHEDULE 15
OPERATTNG INDICATORS BY FUNCTTON/PROGRAM
2004 200s 2006 2007 2008
Function/Proqram
General government:
Building permits issued:
Residential
Residential remodel
Commercial
Commercial buildout, remodel, addition
Building inspections conducted
Building plan reviews
Public safety:
Police:
Physical arrests
Parking violations
Traffic violations
Fire:
Emergency responses
Fires extinguished
lnspections
Public works:
Potholes repaired
Street resurfacing (miles)
Wastewater:
Average daily sewage treatrnent (millions of gallons):
Autauga Creek
Pine Creek
Refuse collection:
Refuse collected (tons per day)
Recyclables collected (tons per day)
Sources: Various City departments
3 13 351
18 1,7
6,537 8,727
3,283 3,30210s 89
3,531 3 ,942
6,199 6,4996 r432,291 2,395
3,000 2,000
7
2.s4 2.06
1.67 1.77
38 39
18,500 20,000
264 t73
26 16
7,493 7,455
317 325
3,252 3,28877 2s3
6,399 6,236
1 ,026 6,184t42 1 152,522 2,766
3,000 2,000
8
1.75
r.7a
1.90
1.88
135 106
3,658 3,142
t49 147
3,035 3,208348 3736,299 6,450
5,199 5,22t115 113
2,996 2,725
2,000 2,000
3
2.18 1.60
1.87 1.90
45 46
29,000 30,000
20tl 2012 2013
r28 120
392 327
8843 493,512 4,5062r2 181
2,208 2,1282s9 t224,460 4,782
5,673 5,786
75 r0l2,846 2,846
1,500 1,750
2
2009
106
2010
367
27
2,955
274
4.,454
5,547
135
2,229
2,000
9
1.82
t.49
37
17,500
L7
6,472
177
2,651
143
7,914
4989
r32
3,772
3,000
t110
oo(,
2.3s
1.99
44
28,000
1.72
1.90
1.92
2.01
4t 42
25,000 27,044
49 4t.46
32,000 32,000
CITY OF PRATTVILLE. ALABAMA
SCHEDULE I6
CAPITAL ASSET STATISTICS BY FUNCTION/PROGRAM
2004 2005 2006
1l
65 70
lt ll
a1JJ
66
66
55
76
330 33099
16 1699
22
ll
ll
66 66
t0 1l
33
66
66
56
78
330 33099
t6 1699
22
ll
ll
71 8l
n ll
3366
77
6699
330 3s4
9 l0
16 16
99
22
ll
I
82
ll
3
7
7
I
81
I
3
7
7
66
99
209
23
2,450
270
354 354
l0 l0
16 1699
22
ll
20t-2 20t3
209 21223 23
2,450 2,450270 270
2007 2008 2009 2010 201 I
FlrnctionProgram
Public safety:
Police:
Stations
Patrol cars
Motorcvcles
Fire:
Stations
Fire Engines
Ambulances
Refuse collection:
Trash Trucks
Garbage Trucks
Public works:
Streets (miles)
Highways (miles)
Streetlights
Traffic signal heads
Cultural and recreation:
Acreage
Playgrounds
BasebalVsoftball diamonds
Soccer fields
Community centers
Senior citizens center
I
84
9
3
8
7
3
7
7
I
84
9
354
10
l6
9
2
I
354
l0
l6
9
2
I
Sources : Various City departments.
Notes: No capital asset indicators are available for the general government.
84